Nevada marijuana distribution licenses on hold another week

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Nevada’s plan to expand its pool of recreational marijuana distributors is delayed again.

The state’s Tax Commission has agreed not to issue distribution licenses to any non-liquor entities until the panel hears an Aug. 29 appeal from the Independent Alcohol Distributors of Nevada.

A judge last week lifted an injunction that prohibited the Nevada Taxation Department from licensing anyone other than alcohol businesses to transport recreational marijuana from cultivators to dispensaries.

Judge James Russell said he had no authority to override the tax department’s decision earlier this month that there weren’t enough alcohol distributors to keep up with demand.

Heeding the judge’s order to exhaust all administrative remedies, the alcohol wholesalers group filed a formal appeal, which the Tax Commission will hear next week.

Nevada’s adult-use market got off to a flying start when it launched July 1, but sales have since dropped 20%-30%, according to a tax department report. Retailers have been unable meet demand because of supply shortfalls stemming from the transportation dispute.

– Associated Press and Marijuana Business Daily