Paul Szydelko
With cannabis consumption lounges poised to open soon in Las Vegas, the local university has opened the Cannabis Policy Institute.
Officials behind the initiative at the University of Nevada, Las Vegas, hope to develop scholarship and public policy as legalization of the drug continues to grow.
"Cannabis research and policy work has lagged," said Riana Durrett, the institute's director. "On the research side, there hasn't been the federal funding like there's been for other areas of research because it's federally illegal. … On the policy work, because it's such a new industry, there just hasn't been the time and the maturity to develop reliable policy sources."
Launching a panel discussion series and hosting a cannabis policy summit are among the institute's first-year goals.
"There's go-to legal conferences for cannabis attorneys. There's MJ Biz Con, a huge convention for the businesses. There are research and regulator conferences. ... But there's not really a top-of-mind policy summit where the top people engaged in cannabis policy convene," Durrett said.
More specifically, Durrett hopes to secure a grant from Clark County to study the implications of cannabis tourism, what she calls a "natural nexus" for Las Vegas.
"When you say cannabis tourism, people picture people flying into Vegas to consume cannabis," she said. "That's not what we expect and not what we're looking at. It's more like, what is the cannabis picture for tourists? What are they interested in when they're here? How does that match with their other experiences here? Where are they purchasing from?"
• Related: Where can you smoke weed legally in Las Vegas?
Moving in slow motion
Although recreational sales in Nevada have been legal since 2017 and the concept of lounges has been approved since 2021, developing stringent regulations, the application process and conditionally licensing the lounges have taken time. Lounges still have not opened, leaving tourists to light up in public garages and sidewalks up and down the Strip.
"Vegas will have impressive consumption lounges like no other jurisdiction with legal cannabis," Durrett said. "But they're a tough business model. And that's why we don't have lounges all over the place."
Competing with the illegal market, having to buy at retail rates and securing capital to comply with regulations (such as those having to do with ventilation) are among the factors that have made it made it tough for lounges to open more quickly, she said.
Durrett, who also serves as vice chair of the state's Cannabis Compliance Board, said she would support revising some regulations to level the playing field.
"One thing that we didn't foresee -- a lot of jurisdictions didn't foresee -- is how significant the illegal market would be," Durrett said. "So even though our regulations are well thought out, and I don't think they're draconian, if we do want to let the legal market compete with the illegal market, we have to take the hard step of relaxing a little bit and let them cut their costs by cutting some of these regulations -- none that would threaten public safety, of course."
Durrett, who teaches cannabis law at the William S. Boyd School of Law at UNLV, was director of the Nevada Dispensary Association from 2015 to 2020. She sees a path for the federal government to eventually reschedule the narcotic.
A rendering of the Dazed consumption lounge, expected to open this year in Las Vegas. Photo Credit: Planet 13
Meanwhile, she said she anticipates the Cannabis Policy Institute working with dispensaries and lounges to develop helpful information and useful resources, an effort supported by at least one prominent advocate for the industry.
"There's a lot of stuff in cannabis that's anecdotal. We've got to eliminate a lot of that, so that we can start making better arguments," said Christopher LaPorte, managing partner of Reset, a consultant helping Thrive Cannabis Marketplace to open the Smoke & Mirrors lounge. LaPorte said he is excited to help the institute to study real-world operations and evaluate the consumer experience.
"I'm very proud of the way Nevada is really pushing forward with taking cannabis seriously," LaPorte said. "There are a lot of people in this industry and outside of this industry that understand just how many cannabis consumers are out there, and we just can't ignore it anymore. For UNLV to jump in front of this is going to not only help tourism, but it just helps the industry as a whole."
Lounges coming in 2024?
Both LaPorte and Durrett anticipate a handful of lounges opening this year.
"I thought they were going to open early last year, and I'm on the board that authorizes them! I have a front-row seat for the timeline of these things," Durrett said. "I absolutely would place money that they will open this year. They will make headlines, and several will be very impressive tourist destinations."