Metrc Inc. has partnered with BioTrack, shifting the latter's government contracts for seed-to-sale cannabis tracking to a new Metrc subsidiary, BT Government. BioTrack, acquired by Alleaves in 2023, will concentrate on commercial software like enterprise resource planning and point-of-sale systems. This arrangement, announced August 5, consolidates control over state regulatory platforms while the companies insist they remain separate entities.
Division of Roles and Continuity Commitments
BioTrack's government-facing operations transfer to BT Government, led by Moe Afaneh as general manager alongside his role as BioTrack's chief operating officer. Metrc CEO Michael Johnson described the partnership as a way to strengthen the industry through innovation, transparency, and regulatory integrity. A Metrc spokesperson emphasized maintaining secure supply chains for regulators, licensees, and consumers across every state program.
Dominance Across State Cannabis Markets
The deal positions Metrc and BT Government to lead seed-to-sale government contracts. BT Government inherits BioTrack's agreements in Arkansas, Connecticut, Delaware, Hawaii, Florida, New Hampshire, New Mexico, New York, and North Dakota. Metrc already serves 24 states including Alabama, Alaska, California, Colorado, Illinois, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nevada, New Jersey, Ohio, Oklahoma, Oregon, Rhode Island, South Dakota, Virginia, and West Virginia, plus Washington D.C., the U.S. Virgin Islands, and Guam.
Regulatory Responses and Technological Hurdles
New York's Office of Cannabis Management suspended its deadline for licensees to implement BioTrack on August 5, pending evaluation of system implications. Past controversies highlight differences in tracking technologies, such as RFID tags required in some state contracts, which have favored Metrc and drawn scrutiny like Colorado's 2023 audit of its no-bid renewal. Oklahoma recently broadened its rules to "inventory tracking system," moving beyond RFID mandates.
Implications for Federal Rescheduling
Speculation surrounds cannabis rescheduling, but Metrc states it would have marginal impact since states control most regulations. The spokesperson noted ongoing monitoring of policies to help partners adapt. While not a merger, the partnership could draw more states to Metrc as BioTrack contracts expire, enhancing standardization in a fragmented market.
