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News & Blog

NM medical marijuana enrollment sees record 77 percent increase

The Las Cruces Sun-News
Published on December 11, 2017

LAS CRUCES – Patient enrollment in New Mexico’s medical cannabis program reached 45,347 as of Nov. 30, a 77 percent increase and a 19,650 net patient gain over the same period last year. On an annual basis, this is the highest percentage gain and the greatest net patient increase since the inception of the program in 2007.

At the same time, the program’s patient count has also experienced ongoing enrollment adjustments by New Mexico Department of Health officials, which has been attributed by the NMDOH to “legacy data” being removed from the database, according to a news release from the New Mexico medical cannabis dispensary Ultra Health. The department has disenrolled thousands of patients from September 2017 to October 2017 for the third consecutive year, according to the dispensary chain.

Based on documents obtained through an Inspection of Public Records Act request, it is believed more patient data was removed than indicated by the net month-to-month differences. Written communication between NMDOH and the vendor responsible for program data confirm ongoing reporting concerns.

“The challenge we run into, as we have stated several times, is these reports keep having staggering changes in numbers,” Andrea Sundberg, NMDOH Patient Services Manager, said in an email obtained by an IPRA. “Last year we had a change of 5,000 active enrollees in a one month period that nobody could ever explain. Then last month (September 2017) we ran the report and the numbers by county and condition were different than the active count by over 7,000,” Sundberg continued. “These type of issues two years into the system are not appropriate and only lead to greater confusion about our valid data.”

Despite the frequent restatement of data by the NMDOH, the rapidly expanding Medical Cannabis Program continues to exceed projections and show significant year-over-year growth. The program remains on track to reach near 50,000 patients by Dec. 31.


New Mexico Medical Cannabis Enrollment Sees Record 77 Percent Increase

Patient numbers experience highest gain in program history despite NMDOH enrollment adjustments

(Albuquerque) – Patient enrollment in New Mexico’s Medical Cannabis Program reached 45,347 as of November 30, 2017, a 77 percent increase and a 19,650 net patient gain over the same period last year.

On an annual basis, this is the highest percentage gain and the greatest net patient increase since the inception of the program in 2007. Continue reading “New Mexico Medical Cannabis Enrollment Sees Record 77 Percent Increase”


Medical Cannabis Program Continues Growth in Third Quarter

Supply remains in jeopardy as patient enrollment increases at double the rate of industry sales

(Albuquerque) – The 35 licensed commercial producers in New Mexico’s Medical Cannabis Program brought in a record $22.1 million for the third quarter of 2017, an increase of 4 percent from the second quarter.

Patient enrollment increased by over 10 percent, from 44,403 to 48,861, during the same quarterly period.

Continue reading “Medical Cannabis Program Continues Growth in Third Quarter”


Medical Cannabis Provider Sets New Single Month Record

New Mexico industry leader reaches over one million dollar sales in single month

(Albuquerque) – Ultra Health, New Mexico’s #1 Cannabis Company, achieved $1.1 million in sales for the month of September 2017, the highest single month revenue ever recorded by a New Mexico cannabis provider. It is the first time a licensed New Mexico producer has achieved greater than $1 million for a single month. There are currently 35 licensed commercial medical cannabis producers in New Mexico serving nearly 50,000 patients.

Ultra Health recently opened its eighth location serving six New Mexico counties and became the nation’s largest vertically integrated solely medical cannabis provider.

“The milestone achieved is a direct reflection of how the New Mexico Medical Cannabis Program is sustaining its upward momentum,” said Duke Rodriguez, CEO and President of Ultra Health®. “We remain committed to providing every patient in every county equal access to safe, affordable and convenient medicine. The continued growth of the industry is fully dependent on new products, patients and locations being successfully integrated.”

Patients have responded favorably to Ultra Health’s new pharmaceutical-grade, smokeless medicinal products which include sublingual and oral tablets, vaginal and rectal suppositories, oils, topicals, pastilles and patches.

“We are dedicated to enhancing patient choice, which means giving all patients the healthy advantages of purchasing accurately dosed medications with varied delivery methods, much like you would purchase from your neighborhood pharmacy,” Rodriguez said.

As of September 30, 2017 the New Mexico Department of Health reported 48,861 medical cannabis patients enrolled in the program. Currently, thousands of patients still reside in 14 counties without a full time dispensary. New Mexico is the 5th largest state by area which makes rural access challenging but essential for improved health.  

New Mexico’s medical cannabis industry is expected to reach $90 million in revenue by the end of the current year and hit $205 million by 2020.


City won’t let pot grower advertise on buses

By Olivier Uyttebrouck / The Albuquerque Journal
Published on September 28, 2017
ALBUQUERQUE, N.M. — A New Mexico medical cannabis grower who wants to advertise on Albuquerque buses was turned down by city officials, who say the ads would violate federal laws and put the city at risk of losing transit funding.

Duke Rodriguez, owner of Ultra Health LLC, had planned to buy an ad on the outside of ABQ Ride buses advertising the firm’s three Albuquerque dispensaries. Ultra Health had planned to spend up to $25,000 a year on the ads, he said.

Bruce Rizzieri, director of the city’s transit department, cited federal drug laws in a Sept. 13 letter to Rodriguez rejecting Ultra Health’s request.

Rizzieri said that “even if the medical cannabis program is allowed under state law, advertising of Schedule 1 substances is still prohibited by federal law.”

The federal Drug Enforcement Administration lists marijuana as a Schedule 1 controlled substance.

Albuquerque and other agencies that receive Federal Transit Administration grants are prohibited from advertising a substance that remains illegal under federal law, Rizzieri wrote.

Rizzieri said Ultra Health’s proposed ad would violate the city’s policy, which prohibits advertising that “relates to an illegal or unlawful activity.”

City officials confirmed Rizzieri wrote the letter but did not offer additional comment Wednesday.

Albuquerque City Councilor Pat Davis sent a letter this week to the Federal Transit Administration expressing support for Ultra Health’s request and asking federal officials to approve the ads.

“I believe that distributing medical cannabis pursuant to a state law does not constitute illegally distributing a controlled substance,” Davis wrote in a letter dated Tuesday.

Rodriguez said he doubts the federal agency will approve his request to advertise on city buses, in which case Ultra Health would consider filing a federal lawsuit alleging the city violated the firm’s constitutional rights.

“If the answer remains unclear, then we have to go into the realm of whether this is a freedom of speech issue that needs to be adjudicated by the court,” Rodriguez said.


Citing concerns about federal law, Albuquerque rejects medical marijuana bus ads

By Steve Terrell / The Santa Fe New Mexican
Published on September 27, 2017

Ultra Health, a medical marijuana provider licensed by the state of New Mexico, wanted to advertise on the outside of city buses in Albuquerque. The proposed wraparound ads featured large color photos of people of various ethnic groups and ages and a slogan, “Your Health. Our Commitment.”

But even though the sale and use of marijuana for medical purposes has been legal under state law for a decade, and the city of Albuquerque’s bus advertising policy does not specifically prohibit medical cannabis ads, the city’s Transit Department rejected the ads, citing concerns about federal law and restrictions on federal grant funding.

“The City Legal department has concluded that any advertisement displayed by the Transit Department for any sale or distribution related to medical cannabis, including THC or CDB, is prohibited by federal law, despite the state of New Mexico’s medical cannabis laws and regulations which provide limited license for distribution and patient use,” said Bruce Rizzieri, director of Albuquerque’s Transit Division, in a Sept. 13 letter to Ultra Health’s president and CEO Duke Rodriguez, who was state Human Services Department secretary under Gov. Gary Johnson.

Rizzieri added that recipients of federal transportation grants are prohibited from advertising marijuana.

The issue highlights the conflict between federal law and less restrictive state statutes and policies concerning the production and sale of cannabis, which a growing number of states have legalized even for recreational use.

A spokeswoman for Ultra Health said the design of the bus ads purposely avoided advertising the company’s products as recreational drugs.

“It’s a health care-centric design,” said Marissa Novel in an interview Wednesday. “If we took off our logo and used the name of another health care provider, like Lovelace, I’m sure the city wouldn’t have rejected it.”

Rizzieri said the city would be willing to write to the Federal Transit Administration requesting its position on medical marijuana advertising. One Albuquerque city councilor who disagrees with the city’s rejection of the ad proposal took it upon himself to do just that.

Councilor Pat Davis — who is seeking the Democratic Party’s nomination for a congressional seat — sent a letter this week to the agency’s chief counsel, Dana Nifosi, as well as to Acting U.S. Attorney James Tierney asking for guidance. “I do not see that advertising medical cannabis (that is offered for sale pursuant to a state law) is prohibited,” Davis wrote.

Albuquerque’s bus advertising policy prohibits ads related to “an illegal or unlawful activity” or alcohol or tobacco products. But none of the policy’s restrictions deal with medical cannabis.

Referring to a federal law that Rizzieri had cited, Davis wrote, “Please note that this section of law prohibits advertising that seeks to illegally distribute a controlled substance. I believe that distributing medical cannabis pursuant to a state law does not constitute illegally distributing a controlled substance.”

Davis also argued that an amendment added by Congress to the federal government’s appropriations bills specifically forbids the U.S. Justice Department from taking actions against people and companies participating in medical cannabis programs licensed by the states. However, that protection is set to expire in December.

Ultra Health has eight dispensaries in New Mexico, including one in Santa Fe. Novel said the company has not tried to advertise with Santa Fe’s bus system but might consider it in the future.

It’s not clear what would happen if they did try it.

Don Templeton, president of Templeton Marketing Services in Albuquerque, which handles advertising on Santa Fe Trails buses, said Wednesday the city of Santa Fe does not have a specific policy related to medical marijuana advertising. “I’ve never been asked by any [dispensary],” he said. “If I did, I’d want to bounce it off the city first. Anything that might be controversial I’d always ask the city.”

Ads for marijuana have appeared on buses in California — where both medical and recreational marijuana are legal — without any federal repercussions.

But even though medical marijuana is legal in more than half of the states, other cities have been reluctant to allow advertising for it on their buses. The Boston Globe in March reported that the Massachusetts Bay Transportation Authority “has an explicit policy prohibiting ads that promote ‘the sale, use, or cultivation of marijuana or marijuana-related products.’ ”


Medical pot producer claims it was barred from advertising on buses

KRQE News 13
Published on September 27, 2017

ALBUQUERQUE, N.M. (KRQE) – The city has barred a medical marijuana company from advertising on buses.

Ultra Health says its proposed bus wraps do not violate any laws and do not show any images of cannabis, but the company says ABQ Ride wouldn’t go for it and expressed concerns about losing federal funding since pot is still illegal on the federal level.

Ultra Health is of 35 medical cannabis providers in New Mexico.

Earlier this year, Ultra Health filed a lawsuit against Expo New Mexico, for refusing to allow a pot plant to be displayed at the State Fair.


NM cannabis firm teams with Israeli pharmaceutical manufacturer

By Olivier Uyttebrouck / Albuquerque Journal
Published on September 26, 2017

ALBUQUERQUE, N.M. — For those seeking a cannabis suppository for sale at a local dispensary, your wait is over.
Tablets, patches, oils, topical creams, and lozenge-like “pastilles,” all containing measured doses of THC or CBD, also are on the market now. The suppositories are available in both rectal and vaginal varieties.

Ultra Health, a Bernalillo medical cannabis grower, is ramping up production now under a joint venture with Panaxia Pharmaceutical Industries, an Israeli pharmaceutical manufacturer.

Dadi Segal, CEO of Panaxia, and three employees were in New Mexico recently setting up a 3,600-square-foot production facility at Ultra Health’s property in Bernalillo. They also will oversee training of a local workforce at the plant.

Segal said he started Panaxia in 2010 to apply good manufacturing practices in the pharmaceutical industry to cannabis, which he says will make products more useful to patients and doctors.

“Our idea is to offer products to those patients who will not try the benefits of cannabis because they can’t use it like any other medication,” Segal said.

Panaxia and its parent firm manufacture a variety of prescription and over-the-counter pharmaceuticals in Israel, he said.

Ultra Health plans to manufacture 28 Panaxia products in all, each containing specific doses of THC or CBD, the active components of cannabis. The measured dosages in Panaxia products have made it possibly to begin clinical trials that are now underway in Israel, Segal said. The findings from those trials will help U.S. physicians use cannabis more effectively as a medicine, he said.

“You can’t do clinical trials unless you have measurable dosages,” he said. Marijuana “can never be a medication if you have to smoke it.”

Leonard Salgado, Ultra Health’s director of New Mexico operations, said the new manufacturing facility is a $1.7 million investment for Ultra Health. It will employ at least 12 people when production ramps up, he said.

The joint venture between Panaxia and Ultra Health emerged from three years of discussions between the firms, Salgado said. Panaxia products now are on sale at Ultra Health’s eight dispensaries statewide, he said. Costs range from $20 to $70 per product, with most falling in the $25 to $30 range.

“I think what the medical community is looking for is a product that is consistent, that has a measured dose, and that actually has the look and feel of a pharmaceutical product,” Salgado said.


Medical Cannabis Provider Denied Advertising on City Transit

City of Albuquerque cites funding concerns for denying advertising to state-licensed business

(Albuquerque) – Ultra Health, New Mexico’s #1 Cannabis Company, has been denied the opportunity to advertise on the ABQ Ride Buses due to concerns about losing federal funding.

Ultra Health is one of the 35 medical cannabis providers licensed by the New Mexico Department of Health, and its operations are completely legal under the Lynn and Erin Compassionate Use Act.

In a letter sent September 13, the city’s legal counsel believed it would lose federal grants which are used to fund ABQ Ride Buses because it is illegal on the federal level to advertise a Schedule I substance.

In response to the city’s letter, City Councilman Pat Davis sent the Federal Transit Administration a letter asking for clarification on the legality of advertising medical cannabis in New Mexico as it is legal pursuant to state law.

“I believe that the patients who rely on medical cannabis to treat their debilitating medical conditions will benefit from the goods and services of licensed producers being advertised,” Councilman Davis states in the letter. “Competition in the marketplace is to be encouraged, and advertising is part of encouraging a thriving market will emerge in New Mexico.”

Ultra Health submitted bus design

The provider’s submitted advertising design does not violate any of the transit agency’s policies or contain any cannabis imagery.

Currently, the ABQ Ride Bus Advertising policy states advertising content will not be displayed that:

  • Is false, misleading, or deceptive,
  • Relates to an illegal or unlawful activity,
  • Advertises alcohol or tobacco products,
  • Depicts violence and/or anti-social behavior, or
  • Includes language, which is obscene, vulgar, profane and scatological.

Ultra Health submitted bus design

In 2016, The San Francisco Municipal Transportation Agency allowed a cannabis campaign to advertise on its buses. The agency is federally funded and did not report losing grants due to the campaign.

It is unknown whether any other transit agency or organization has lost federal funding by allowing state-licensed and legally operating cannabis business to advertise their service or products.


Ultra Health says Deming dispensary will open

By Algernon D’Ammassa / Deming Headlight
Published on August 31, 2017

A proposed medical marijuana dispensary in downtown Deming remains empty almost one year after the City Council approved a special use permit for New Mexico Top Organics-Ultra Health to open here. The storefront is located at 117 E. Spruce.

With the opening of a new location in Alamogordo on Tuesday, however, the Bernalillo-based provider tells the Headlight they are confident Deming will soon follow.

“In my opinion,” said Ultra Health spokeswoman Marissa Novel, “allowing us to open Alamogordo is a reflection of [the Department of Health’s] willingness to recognize a Licensed Non-Profit Producer’s right to produce, possess, dispense, and distribute cannabis…without arbitrary limitations.”

The New Mexico Department of Health limits licensed providers to a total of 450 plants, and has blocked Ultra from opening more locations, arguing that it cannot it stock more dispensaries and legally comply with the plant count. Meanwhile, by July of 2017, the number of authorized patients in the Medical Cannabis program has increased by 42 percent to more than 45,000 individuals.

An amendment that would have allowed Ultra Health to open the Deming location was denied late last year. For 207 Luna County patients enrolled in New Mexico’s medical cannabis program, the nearest dispensaries are in Las Cruces, a trip that requires passing through a border patrol checkpoint where federal laws forbidding possession of marijuana for any purpose are in force.

Members of the Deming City Council voted to approveBuy Photo
Members of the Deming City Council voted to approve a special-use permit for Ultra Health’s medical marijuana dispensary downtown in September 2016. (Photo: Bill Armendariz – Headlight Photo)
In a civil lawsuit heard in Santa Fe earlier this month, Ultra Health argued the plant count limit is arbitrary and prevents licensed providers from serving the growing number of New Mexico cannabis patients. Ultra Health CEO Duke Rodriguez, reached by phone on Monday, said he was confident of a favorable ruling. “This case is going to become probably the single-biggest decision since the beginning of the program,” he said.

The Department of Health would not comment on the pending litigation, but in a written statement for the Headlight DOH spokesman David Morgan said, “Our job is to assure that there is enough medicine available for patients. Ultra Health continues to request approval for opening still more locations while admitting publicly that it can’t sustain them.” Rodriguez argues that Ultra would be able to stock locations through wholesale purchases.

For patients, blocked access

While Ultra Health seeks to expand its share of a lucrative and growing market in more parts of the state, for Luna County patients, as in other rural parts of the state, the issue is access to legally prescribed medicine.

“Having a local, licensed dispensary in Deming would be the difference between having a card but no care,” said Deming resident Jennie Kirchen, a cancer patient struggling to pay for treatment while also seeking employment. She travels to Las Cruces for her medication and says that while the border patrol hasn’t stopped her yet, she is aware during every trip that “they are federal agents and have the legal right to inspect and confiscate my medication if they believe I am transporting an illegal federal substance.”

On Kirchen’s budget, the medication is hard to afford. In Las Cruces, she pays between $20 and $40 for one gram of concentrated product. She said she may apply for a permit to grow her own, although that comes with its own restrictions and challenges.
Novel attributes high prices to the plant count, which she said allows less than 1/3 of a plant for each patient enrolled in the program. “Because the plant count is so restrictive, many providers cannot ramp up to economies of scale which would reduce costs for patients,” said Novel. Rodriguez added that DOH regulations prevent volume discounts that would save patients money.

William Wiggins of Deming enrolled in the state medical cannabis program for treatment of Post-Traumatic Stress Disorder, and says the difficulty and expense of obtaining his medicine has exacerbated his anxiety. “It’s scary at times going through the checkpoint,” he said, although he has not had his medicine confiscated either. Wiggins estimates his costs for a round trip to Las Cruces at about $25 on top of his medication. He adds, “Because of the lack of product in southern New Mexico, the prices get jacked.” Some dispensaries will deliver, but they add a service charge. He said a Deming dispensary would be “a game-changer” for himself and other patients in town.

When the city approved Ultra’s special-use permit last year, Rodriguez said the company anticipated $600,000 to $1 million in revenue in the first year, and on Monday he told the Headlight the number of patients from Luna County would likely increase if medical cannabis could be purchased in Deming.

Novel said that Ultra Health has resubmitted an amendment that would permit the Deming location to open. “We believe once we hear word from NMDOH about an inspection date we can have the location operational within 30 days of the inspection date…Driving all the way to Grant County for an alternative medicinal option is unfair, and we plan to establish increased access and patient choice across the entire state of New Mexico.”