The Nevada Department of Taxation declared a “statement of emergency” Friday, as the state’s supply of marijuana was in danger of running out less than two weeks after dispensaries began selling the drug for recreational use.
Republican governor Brian Sandoval approved the emergency declaration to allow state officials at the Department of Taxation to reexamine how many marijuana distribution licenses it awards, according to the Reno Gazette-Journal.
Nevada dispensaries began selling marijuana for recreational use on July 1, with local outlets reporting extremely high demand and long lines at dispensaries across the state.
A court order issued in June by a Carson City judge awarded the state’s alcohol wholesalers with exclusive rights to distribute marijuana between growers and retailers for the first 18 months. However, the Gazette-Journal reports that state officials have not yet distributed any licenses to alcohol wholesalers to supply marijuana, due to zoning and other issues.
Just seven applications by alcohol wholesalers had reportedly been submitted to the state since November.
That has left the roughly 50 dispensaries licensed to sell marijuana recreationally in Nevada without a way to re-stock on supplies.
Last November, voters in neighboring California approved a ballot initiative to legalize recreational marijuana in the state.
Follow Daniel Nussbaum on Twitter: @dznussbaum
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