Tech Troubles: Pennsylvania Cannabis Operators Grapple with State-Mandated Software

Pennsylvania’s medical cannabis operators reported unprecedented sales exceeding $1.3 billion last year. Despite this financial success, persistent issues with the state-mandated track-and-trace software have cast a shadow over these achievements. This software, essential for legal compliance and operational efficiency, has repeatedly failed to perform as required by law.

Software Shortcomings and Industry Frustration

The software provided by MJ Freeway, under a 2017 contract and now part of the Alleaves brand after a merger, remains the only authorized system for seed-to-sale tracking in Pennsylvania. However, it lacks a functional two-way Application Programming Interface (API) that would allow seamless communication with other state-approved systems. This gap forces businesses to manually input critical data, a process fraught with potential for errors and inefficiencies.

Meredith Buettner, the executive director of the Pennsylvania Cannabis Coalition, highlighted the operational challenges caused by these software limitations. During a system outage in September last year, all business activities were halted, illustrating the severe impact of these shortcomings. “The API doesn’t work as it should, causing significant disruptions,” Buettner stated.

Legislative Action and Calls for Improvement

State Rep. Joe McAndrew, representing Pittsburgh’s northeastern suburbs, has voiced concerns over the slow progress in integrating API technology, mandated by a 2021 law. McAndrew criticized the monopoly held by a single software provider in the industry. In response, he introduced a resolution in the state Legislature urging a review of the health department’s contract with MJ Freeway and faster implementation of API technology.

Despite the health department approving seven software vendors for use by state-regulated medical marijuana companies, there remains confusion over which systems can effectively communicate with MJ Freeway’s software. Neil Ruhland, a spokesperson for the department, reassured that improvements are sought to balance MMO needs with patient data protection.

Exploring Alternatives and Future Prospects

As the state contemplates replacing MJ Freeway, the medical marijuana industry also faces the potential introduction of recreational use. Legalizing recreational marijuana could significantly expand the market, emphasizing the urgent need for a reliable and effective tracking system.

The industry continues to advocate for solutions that will prevent future disruptions and support the growing needs of Pennsylvania’s medical marijuana market. As discussions and legislative efforts unfold, stakeholders remain hopeful for prompt and effective improvements to the state’s cannabis tracking infrastructure.