THE MOST COMMON METRC TRANSITION CHALLENGES ACROSS CALIFORNIA'S SUPPLY CHAIN


CULTIVATION

COMPLICATIONS DURING HARVEST BATCH CREATION

When RMCC engages with licensed operators Data Standardization is one of the first things discussed onsite. It’s just so important; incorrect harvest batch names lead to infractions. Especially in California, where the CDFA is very clear on Harvest Batch naming convention standardization. A licensee needs to consider the additional costs of these entry error mistakes such as additional labor and supplies. Rework means using more plant tags, time away from other work, and more labor to correct issues. 

To avoid these mistakes with potential infractions:

1. Verify all the harvest actions you’ve done in METRC were submitted accurately.

2. Brush up on the topic with the course CALIFORNIA CULTIVATION: METRC OVERVIEW from RMCC.

 

DISTRIBUTION

TRANSFER BOTTLENECKS AND LACK OF METRC PACKAGE TAGS

The BCC is advising to manage all inventory within METRC as a batch rather than serialization by case.

From our previous operational experience it became very clear the only way to accurately maintain METRC inventory was through serialization on a case level rather than by batch.

In most other states that use METRC, the state allows the licensed operator to order package and plants tags by purchasing the tags directly in the UI (a tech term for User Interface). However, California functions a bit differently. The price of METRC Package Tags are included in the application fee. California has provided a set amount of tags per license type and volume of sales in the operation. In our opinion, this is attempting to dictate how the licensed operator controls their inventory without the state of California fully understanding the impact this creates to the operation.

Tags may be in short supply but they still should be used properly to ensure all inventory items can be tracked from seed to sale. Look at the diagram to better understand the flow of METRC package tag management.

BOTTLENECKS IN THE CALIFORNIA SUPPLY CHAIN ARE OCCURRING BECAUSE THE TRANSFERS API ROUTE IS INACCESSIBLE.

The lack of an open Transfers API route within METRC will effect every single licensee in the supply-chain. At California’s scale and volume of transactions it is imperative this API route opens up for the success of the California market on METRC.

Be warned - Any technology solution that is overselling stating they have automated the building of the METRC manifest is not telling the truth. There are some other available system features to help facilitate this, however, the actual building of the manifest is not automated for anyone in California.

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Consultations are a great time to discuss your challenges with operational workflows, dispensary operations, and cannabis compliance operations. Schedule your cannabis business consultation with the RMCC team to help you get and stay compliant

TESTING

ASSORTMENT PACKS CONFUSION

Some distributors are experiencing confusion about what labs can and cannot test. For example, the lab says, “We cannot do tests on this assortment pack configuration in METRC.” 

It might be hard to see the problem, but if the assortment pack (5 flavors of a specific product packaged in one unit)  is sent under one METRC Package Tag the lab still needs to, but is unable, to send 5 results through the METRC API and UI. However, when the Assortment Packs are split up as one SKU under one Package Tag (a total of 5 Package Tags), the lab is not receiving the product in their “final form”.

To try for consistency with labs, send alike items in final form units per tag for testing. After you get your test results then you may repackage and combine the packages into the Assortment Pack unit that is now in final form

MANUFACTURING

CONVERSIONS ARE NOT EASY

Unfortunately, there are no safeguards any where in METRC, and this includes converting from trim to hash to edibles. Keep in mind that METRC was designed for tracking only, not to prevent you from accidentally inputting wrong data. Converting improperly can lead to “Ghost Weight” (an RMCC term that means virtual records in METRC that are physically not on premise), unit of measure discrepancies, and even an improper category selection can lead to costly tax issues.

RETAILERS

MAYBE YOU’VE EXPERIENCED POINT OF SALE COMPANIES OVERSELLING BY TELLING YOU THEY WILL AUTOMATE ALL OF METRC FOR YOU.

Please be warned, this is a huge compliance risk. Understanding how your POS impacts METRC is crucial to every retailer’s METRC compliance success.

Often times it’s the bad data entry into the Point-of-Sale that caused the discrepancy in METRC, and no Point-of-Sale will save you from your own mistakes.

Maybe you’ve experienced some of these entry errors yourself:

  • Incorrect unit of measure leading to conversion errors

  • Missed or duplicated sales due to an API error

  • Receiving an error when trying to submit a consumer return resulting in a lack of seed-to-sale tracking

  • Misplaced decimal point leading to over selling or under selling in METRC

  • Errors when submitting sales via CSV upload

To avoid compliance risks:

  1. Verify all the actions you’ve done in METRC.

  2. Brush up on the topic with the course CALIFORNIA DISTRIBUTION: METRC OVERVIEW from RMCC.

 
You can’t learn to ride a bike by someone telling you how. You might know where to put your hands and feet and how to move them but when you get on, you fall right over. The truth is you’re going to fall a few times. You are going to fall a few times during the METRC transition. A lot of hands-on practice is key to balance and a successful METRC implementation
— Leah Houghton, RMCC Compliance Operations Specialist
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Some distributors are experiencing confusion about what labs can and cannot test. For example, the lab says, “We cannot do tests on this assortment pack configuration in METRC.
— Rose Moberly, RMCC Compliance Operations