Medpot OK? DEA Says No Way

SF cops called in the feds after a cannabis dispensary explosion, and they ripped apart an entire crop

When Santa Fe police responded to the scene of an explosion at a Santa Fe medical cannabis dispensary on July 23, they knew right away that they wanted reinforcements to help with the investigation.

But the decision to call in the federal Drug Enforcement Agency was a surprising one.

DEA agents subsequently yanked all the marijuana plants that were growing there and hauled them away for destruction.

Without more information, the seizure seems to be a shift in the understanding that the DEA would turn a blind eye to producers in states that allow medical cannabis, which is still considered a banned substance by the federal government. It also raises questions about how local cops view the legality of the program.

As investigators try to determine more details about what caused the explosion, suspected to have occurred during an extraction process at New MexiCann Natural Medicine's compound on West San Mateo Lane, attorney Marc Lowry says the management and staff are more concerned about the health and recovery of Nick Montoya, 29, and Aaron Smith, 28, who both received third-degree burns and remain hospitalized.

Yet the loss of the 150 plants—conservatively valued at $750,000—will impact New MexiCann's fall harvest and ongoing operation; the dispensary reopened Monday.

SFPD Lt. Andrea Dobyns confirms the commander in charge of arson investigations asked then-Chief Eric Garcia's approval to call in the DEA. She also tells SFR that police did not request investigators from the US Bureau of Alcohol, Tobacco and Firearms, even though that federal agency usually investigates explosions.

"This was a large-scale explosion and tragedy," says Dobyns, who denies the accusation that the department objects to the state medical cannabis law. "We were concerned with everyone's safety, and the DEA was asked to secure the scene."

Local police are reviewing the incident for any zoning infractions, while the DEA is looking into the gas extraction process. Officials with the US Department of Justice and DEA have declined to answer any of SFR's questions about why they seized the plants.

Lowry says he understands that federal agents are in an "impossible position."

"The DEA is in uncharted territory as it tries to reconcile federal policy with state-run programs," he says "Historically, the DEA has always confiscated contraband, and under federal law, all cannabis is contraband, medical or not."

No civil or criminal charges have been filed, and it's unknown whether the dispensary is suspected of violating state laws or workplace safety rules. Inspectors from the city fire marshal's office visited New MexiCann's facility after the producer filed a certificate of occupancy in January, but Fire Marshal Rey Gonzales Jr. says the gas extraction equipment was not in place during his team's original site visit. Extraction is used to create a concentrated THC product known as shatter or wax.

Other state-licensed producers tell SFR they plan to provide new plants to New MexiCann so its patients have a consistent supply of medication.

"The timing of this accident is bad. It hurts everybody," says Rachael Speegle, director of operations at Verdes Foundation, an Albuquerque-area dispensary.

Speegle, who is also a registered nurse with experience in public health policy, says the conflict between federal and state laws needs to be worked out.

"It's impossible to operate in this country when we still have this divide between the two regulatory bodies," she says.

Earlier this year, Speegle helped potential new growers apply for producer licenses. She says many of the new groups have been calling her with concerns about the DEA seizure.

"They want to know if they should invest money in this business, because federal agents can seize plants at their whim," she adds.

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