On June 18, 2024, the Massachusetts Workplace of Inspector Basic (“OIG”) addressed a letter to the Massachusetts State Legislature (“Legislature”) urging it to take motion to appropriate the maladministration construction of the Hashish Management Fee (“CCC”). “) (click on right here to see the complete letter).
The letter says that the CCC's enabling statute lacks readability to determine the hierarchy of management and outline the duties and tasks of its employees and management. Regardless of obvious efforts over the previous two years by the CCC, together with its commissioners, to determine a transparent governance construction, the OIG postulates that it’s no nearer to fixing the issue than two years in the past.
Many in Massachusetts, together with the OIG, really feel that the management of the CCC as we speak is in disarray. The commissioners disagreed on who had the suitable authority to nominate the president after the suspension by Treasurer of the President Shannon O'Brien, with O'Brien nominating Kimberly Roy and the commissioners nominating Ava Callender Concepcion. Eventually week's CCC assembly, commissioners voted to alleviate the interim government director of his day-to-day tasks, leaving the CCC with no correctly appointed and clear chief. The OIG sees this decentralization of management and uncertainty as to the place some authority lies as opposite to the perfect pursuits of the CCC, the hashish business and its customers.
The OIG requests that the Legislature instantly appoint a receiver to handle the day-to-day operations of the CCC, whereas concurrently reviewing and correcting the deficiencies and ambiguities within the CCC's enabling standing. The receiver would have undisputed authority from the present management and commissioners till such time because the governing construction of the CCC is addressed through legislative motion. The truth that the CCC is answerable for unimaginable sums of tax and non-tax income (for instance$ 322 million in 2023), the issue is made extra pressing.
Whereas it’s an unprecedented motion, a refund might result in a extra environment friendly and efficient regulatory physique at a time when the hashish business in Massachusetts (as in different states) is going through each day challenges. We are going to proceed to observe and replace this growth.