N.M. Lawmakers Consider Law Enforcement Unit for Cannabis Division

New Mexico lawmakers Wednesday discussed the prospect of giving "police power" to the state Cannabis Control Division, which issues permits for the state-legal industry, to ramp up enforcement against the still-thriving illicit market.

The proposal comes amid concern from many retailers and growers who have sounded the alarm about black market products and a high volume of state-licensed dispensaries.

"It's a big problem. The underground market is very prevalent in New Mexico," said Sen. Moe Maestas, D- Albuquerque, during a meeting of the interim Courts, Corrections and Justice Committee.

Maestas said lawmakers are planning to introduce a bill in the upcoming legislative session that would create a "law enforcement arm" within the cannabis oversight agency of the state Regulation and Licensing Department. Under such legislation, the agency would have certified law enforcement officers of its own with the ability to seize illegal weed and make arrests.

"We need a special law enforcement arm in New Mexico to eliminate the underground market," Maestas said.

Currently, the Cannabis Control Division does not have any authority to conduct criminal investigations or bring criminal charges but does have administrative enforcement powers over licenses.

Law enforcement agencies are responsible for bringing criminal charges.

"Everyone is doing the best they can, so I don't necessarily want to get into it. But for whatever reason, local law enforcement is not devoting the time and resources necessary to deal with the underground market as it relates to these illegal growers and illegal sellers," Maestas said.

"When the division identifies situations where it appears criminal activity has taken place, or is ongoing, it notifies the Department of Public Safety and local law enforcement agencies in the jurisdiction where the activity has occurred," Andrea Brown, a spokesperson for the state Regulation and Licensing Department, wrote in an email.

"If the Cannabis Control Division is authorized to employ certified law enforcement officers to enforce criminal statutes, those officers could conduct criminal investigations, obtain search warrants, seize evidence of criminal acts, make arrests, and work with the district attorneys to see that criminal offenders violating New Mexico cannabis laws are prosecuted and brought to justice," Brown wrote.

But some members of the committee expressed concerns Wednesday about government efficiency, indicating the Legislature could better equip state and local police to address New Mexico's marijuana black market.

"Why wouldn't we just provide more funding to law enforcement or create a statute on something law enforcement could do?" said Sen. Antoinette Sedillo Lopez, D- Albuquerque, who said she wanted more clarification on the problem and how such a proposal would help solve it.

"What is the specific need for police power to be given to this agency that couldn't be solved with what we have now?" she asked.

The proposal was expected to be presented by Sen. Katy Duhigg, D- Albuquerque, but Maestas stepped in because Duhigg was unable to attend the committee meeting.

Duke Rodriguez, president and CEO of New Mexico Top Organics-Ultra Health — the state's largest cannabis company — tuned into the Wednesday meeting and said he didn't think it seemed the committee overall was necessarily receptive to the idea.

"I don't think we would benefit from this proposal in the short term, and any benefit that might be derived probably won't be seen till 2026, and the problem exists today," Rodriguez said. "I don't think we have the luxury of waiting two and a half, three years."

He added, "To reduce the illicit market simply requires a will to do that by not just the Legislature, by not just the executive branch, but by all parties telling law enforcement: 'It is a task you are expected to complete.'

"... Give [law enforcement] the tools to get it done" he said. "You don't have to create another police function within a state agency."

Gov. Michelle Lujan Grisham signed legislation legalizing recreational marijuana use in 2021, and sales began the following year. According to the state's Cannabis Reporting Online Portal, combined recreational and medical marijuana sales through the legal market have totaled around $1.3 billion, with $92 million of those sales recorded in Santa Fe.

In March, Lujan Grisham signed a bill that makes several major changes to the Cannabis Regulation Act, including giving the Cannabis Control Division more enforcement power.

Maestas argued police powers for the agency would create a more efficient system of addressing illegal production and sales. While the division now has to call law enforcement if it is aware of an illegal operation, he said, under the proposed plan, the agency "would actually be the police officers" and could "seize the plants or tag the plants," while knowing "the cannabis laws inside and out."

"There wouldn't be this delay," Maestas said, noting local and state law enforcement are often preoccupied with other matters.

Rep. Alan Martinez, R- Rio Rancho, asked whether the bill would create a separate law enforcement agency.

"It would be a bureau of law enforcement officers. I don't know if I would call it an agency," Maestas, said, adding the officers would have to go through the law enforcement academy and would have arrest powers.

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