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A strong majority of Americans agree that passing a marijuana banking bill would improve public safety, according to a new poll commissioned by Independent Community Bankers of America (ICBA). The survey, conducted by Morning Consult, found that 64 percent of Americans feel the provisions of the Secure and Fair Enforcement Regulation (SAFER) Banking Act to allow cannabis businesses to access the banking system will “help improve public safety.” A second question in the poll noted that some cannabis-related businesses are owned and led by people of color, women and members of the LGBTQ community, asking respondents whether “opening the banking system to cannabis-related businesses would help these underserved communities.” Fifty-four percent agreed. As Senate leadership works to advance the legislation, which cleared committee last September, the ICBA poll that was released last week underscores that the proposal enjoys sizable public support. ICBA has long advocated for the bipartisan cannabis banking legislation and commissioned several polls consistently demonstrating its popularity. The association’s president, Rebeca Romero Rainey, said in a press release that this latest survey featuring questions on cannabis banking and other policies of concern for the association shows that “Americans from coast to coast support our views on key policy issues.” “With polling conducted by Morning Consult showing Americans understand the importance of these issues in ensuring continued access to locally based banking, ICBA is proud to continue helping community banks advocate in Washington and power the potential of local communities nationwide,” she said. The polling is consistent with findings from a separate American Bankers Association (ABA) survey released last month that found 63 percent of Americans back cannabis businesses banking access, compared to just 17 percent who are opposed. A prior ABA survey, in 2022, found 66 percent of people either strongly (37 percent) or somewhat (29 percent) supported marijuana banking reform, while 16 percent either strongly (8 percent) or somewhat (8 percent) opposed it. Nineteen percent of respondents last year said they didn’t know or didn’t have an opinion. A separate ABA poll earlier in 2022 found that 68 percent of respondents felt Capitol Hill should act. ICBA, meanwhile, also hosted a summit in Washington, D.C. this week, where House Financial Services Committee Chairman Vice Chair French Hill (R-AR) discussed ongoing bipartisan collaboration on a cryptocurrency regulations bill that certain lawmakers, including Senate Majority Leader Chuck Schumer (D-NY), hope will be merged with the SAFER Banking Act. Hill said last week that he’d support a hybrid marijuana banking and cryptocurrency bill, saying “our country will benefit” if both reforms are enacted. There have also been talks about attaching both measures to a must-pass Federal Aviation Administration (FAA) reauthorization bill. But those plans are meeting some opposition, with a Senate aide telling Marijuana Moment on Monday that Republican leadership is proactively opposing that possibility. A spokesperson for Senate Minority Leader Mitch McConnell (R-KY) separately told Marijuana Moment that the senator, who is considered a legislative gatekeeper in the GOP caucus, “continues to oppose marijuana banking.” House Speaker Mike Johnson (R-LA) is also reportedly against the move to attach cannabis banking to the aviation legislation. The U.S. Cannabis Council (USCC) said in a leaked internal email to members last week that their sources said that lawmakers have abandoned plans to pursue the SAFER Banking Act through the FAA bill. But Schumer is still pushing to get cannabis banking attached to the legislation, and there are still options on the table to move the SAFER Banking Act. Supporters aren’t giving up hope just yet that McConnell—who championed provisions of the 2018 Farm Bill to federally legalize hemp—can be swayed to let the marijuana financial services reform advance. Meanwhile, last week Schumer once again included the bipartisan marijuana banking bill in a list of legislative priorities he hopes to advance this year. Since the Senate recently approved must-pass appropriations legislation and foreign aid to Ukraine, Israel and Taiwan, there are heightened expectations that floor action could be on the horizon. Adding to those expectations is the recent introduction of a bill to incentivize expungements for past cannabis offenses at the state, local and tribal levels. Schumer has made clear he intends to attach that measure to the banking legislation on the floor. Schumer also recently asked people to show their support for the SAFER Banking Act by signing a petition as he steps up his push for the legislation. A poll released last month by the American Bankers Association (ABA) shows that roughly three out of five Americans support allowing marijuana industry access to the banking system. Rep. Nancy Mace (R-SC) said that that “if Republicans want to keep the House,” they should pass the marijuana banking bill, arguing that “there are votes” to approve it. Schumer told Marijuana Moment last month that the bill remains a “very high priority” for the Senate, and members are having “very productive” bicameral talks to reach a final agreement. Senate Banking Committee Chairman Sherrod Brown (D-OH) said last month that passing the SAFER Banking Act off the floor is a “high priority.” However, he also recently said in a separate interview that advancing the legislation is complicated by current House dynamics. House Majority Whip Tom Emmer (R-MN) separately said during a recent American Bankers Association (ABA) summit that he wants to see the SAFER Banking Act move. He said that, “for whatever reason, the federal government has been slow” to act on the incremental reform that he supports even though he doesn’t identify as “a marijuana guy.” One key factor that’s kept the bill from the Senate floor is disagreement over mostly non-cannabis provisions dealing with broader banking regulations, primarily those contained in Section 10 of the legislation. — Marijuana Moment is tracking more than 1,400 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments. Learn more about our marijuana bill tracker and become a supporter on Patreon to get access. — Bicameral negotiations have been ongoing, however, and recent reporting suggests that a final deal could be just over the horizon. The Democratic Senate sponsor of the SAFER Banking Act, Sen. Jeff Merkley (D-OR), told Marijuana Moment last month that the legislation is “gaining momentum” as lawmakers work to bring it to the floor and pass it “this year.” Rep. Earl Blumenauer, founding co-chair of the Congressional Cannabis Caucus, told Marijuana Moment last week that, “every day we’re closer on SAFE Banking, and negotiations “are ongoing in the House and Senate, and we are, in fact, making progress.” At the close of the first half of the 118th Congress in December, Schumer said in a floor speech that lawmakers would “hit the ground running” in 2024, aiming to build on bipartisan progress on several key issues, including marijuana banking reform—though he noted it “won’t be easy.” Top House Democrat Says Marijuana Rescheduling Is A ‘Step In The Right Direction,’ While GOP Leader Opposes Reform Photo courtesy of Mike Latimer. The post Majority Of Americans Say Marijuana Banking Bill Would Promote Public Safety And Help Underserved Communities, Financial Association Poll Finds appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

The top Democrat in the U.S. House says the Biden administration’s move to reschedule marijuana is a “step in the right direction,” but it should be followed up with congressional action such as passing a legalization bill that was reintroduced on the Senate side this week. A top GOP leader, on the other hand, is voicing opposition to even the modest proposal to reclassify cannabis. House Minority Leader Hakeem Jeffries (D-NY) said during a press briefing on Wednesday that he supports both the administrative reform that the Justice Department announced—moving to reclassify marijuana as a Schedule III drug under the Controlled Substances Act (CSA)—and the legislation filed by Senate Majority Leader Chuck Schumer (D-NY) and 17 Democratic colleagues to end prohibition altogether. Jeffries said he’s been “long involved in the effort to try to deschedule marijuana and break the back of the prison industrial complex and mass incarceration in the United States of America,” adding that it was an “honor” to work on a bipartisan basis during the last administration to enact sentencing reform. Jeffries and Schumer also previously introduced companion versions of a separate cannabis legalization proposal called the Marijuana Freedom and Opportunity Act. With respect to rescheduling, Jeffries said “the effort taken by the Biden administration was impactful and another step in the right direction that we should build upon legislatively.” House Majority Leader Steve Scalise (R-LA), meanwhile, criticized the administration’s rescheduling action, saying the government should be focused on “reducing the number of people that use drugs and not increasing that number.” “We shouldn’t be making matters worse,” he said. MARIJUANA : House Majority Leader @SteveScalise criticizes reclassifying marijuana “We need to be reducing the number of people that use drugs and not increasing that number” he says of reclassification. “We shouldn’t be making matters worse “ — Erik Wasson (@elwasson) April 30, 2024 President Joe Biden directed the scheduling review, but he has not specifically weighed in on DOJ’s proposal to move marijuana Schedule III yet. The White House said on Wednesday that the decision is generally consistent with the president’s 2020 marijuana reform campaign pledges. The prospects of building upon that with legislation to legalize marijuana are doubtful this session in a divided Congress, however. Instead, lawmakers, advocates and stakeholders are focused on advancing a bipartisan cannabis banking bill. To that end, Schumer signaled he’s not giving up hope on attaching the Secure and Fair Enforcement Regulation (SAFER) Banking Act to must-pass aviation legislation. But Republican leaders in both chambers represent roadblocks for the reform. Senate Minority Leader Mitch McConnell (R-KY) has made clear that he’s opposed to that option. Schumer also said on Tuesday that while the Drug Enforcement Administration’s (DEA) decision to propose marijuana rescheduling is a “historic step forward,” he remains “strongly committed” to advancing cannabis banking and legalization legislation this session. — Marijuana Moment is tracking more than 1,400 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments. Learn more about our marijuana bill tracker and become a supporter on Patreon to get access. — Meanwhile, Sen. Chuck Grassley (R-IA) spoke out against the marijuana banking bill this week, linking the legal marketplace to a deadly 2022 shooting at a cannabis facility that involved people who “were all from China.” The bipartisan support for the bill is evident, however. Just last week, the Republican vice chair of the House Financial Services Committee, Rep. French Hill (R-AR) said he would support a hybrid marijuana banking and cryptocurrency regulation bill, saying “our country will benefit” if both reforms are enacted. Rep. Maxine Waters (D-CA), separately said that “now is the time” to pass cannabis banking reform, and she’s “hopeful” lawmakers will “overcome” any potential challenge from McConnell as they work to advance the legislation. Last week Schumer once again included the bipartisan marijuana banking bill in a list of legislative priorities he hopes to advance this year. Marijuana Legalization Opponents Raise Money For Potential Lawsuit Against Federal Rescheduling Move Photo element courtesy of Carlos Gracia. The post Top House Democrat Says Marijuana Rescheduling Is A ‘Step In The Right Direction,’ While GOP Leader Opposes Reform appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

New Jersey marijuana shops sold a record $201 million worth of product in the first quarter of 2024, regulators say. And the state also reached new “historical highs” in sales over the 4/20 weekend, including more than $5.2 million worth of purchases on the holiday alone. The New Jersey Cannabis Regulatory Commission (CRC) announced on Thursday that first quarter sales from January to March were up 38 percent compared to the same time period last year. They attribute that in part to the expansion of retailers in the state, which grew from 96 to 130 over the course of the year. “The significant growth in sales year over year is an indication of the strong potential of New Jersey’s cannabis market,” CRC Executive Director Jeff Brown said in a press release. “We anticipate that as even more dispensaries open across the state, new brands are introduced to the market, and cannabis becomes less stigmatized, sales numbers will continue to go up.” New Jerseyans spent $4,028,365 on adult-use cannabis on April 19, then beat that record with $5,219,294 on the marijuana holiday 4/20 itself. The weekend wrapped up with about $12.5 million in recreational and medical cannabis sales combined. Brown, who recently predicted the state would hit a $1 billion milestone for annual marijuana sales this year, said regulators are “very excited to see all the new, local businesses that have come online and are able to participate in this thriving market.” “I’m particularly proud that we have been able to support this progress while remaining committed to fairness, equity, and safety,” he said. Brown also told Marijuana Moment in March that New Jersey “can be and will be the premier cannabis market on the East Coast.” CRC Chair Dianna Houenou said the “rising sales figures demonstrate a shift in consumer behavior as more people are choosing the safety and reliability of the regulated market over untested or questionable products.” Regulators also celebrated in March after reaching $2 billion in marijuana sales since the market launched in 2018, as well as the opening of more than 100 retailers statewide. — Marijuana Moment is tracking more than 1,400 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments. Learn more about our marijuana bill tracker and become a supporter on Patreon to get access. — CRC officials have also stressed that they will not be letting the medical cannabis system fall by the wayside even as they work to support the burgeoning recreational market. To that end, the commission recently eliminated the cost of obtaining a medical cannabis card. In January, CRC also approved final rules to allow marijuana consumption lounges in the state where people could buy and use cannabis products on-site. And as that’s rolled out, advocates are hoping lawmakers will take steps to authorize home cultivation—a policy that Brown has encouraged the legislature to consider. For the time being, however, home cultivation remains a felony in New Jersey, spurring lawmakers and activists to push for a change. Meanwhile, regulators have also solicited input on how to distribute $3 million in revenue from a social equity tax on cannabis cultivators. Marijuana Legalization Opponents Raise Money For Potential Lawsuit Against Federal Rescheduling Move The post New Jersey Set A New Marijuana Sales Record Last Quarter, With Regulators Touting ‘Historical Highs’ On 4/20 Weekend appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

A day after the Drug Enforcement Administration’s (DEA) decision that marijuana will move to the less-restrictive Schedule III of the Controlled Substances Act, a leading cannabis prohibition group sent an email to supporters asking for money to fuel its fight against the reform. “SAM will oppose this change at every level, including, if necessary, pursuing legal action,” the group, Smart Approaches to Marijuana, wrote in the email on Wednesday. An included link to what SAM describes as a “Rescheduling Legal Defense Fund” asks for one-time or monthly recurring donations of between $250 and $5,000, though supporters can also choose an “other” amount. “Our new Rescheduling Legal Defense Fund will be used to support our challenges of marijuana laws and regulations, specifically marijuana’s Schedule III recommendation,” the donation page says. SAM, one of the most outspoken organizations against legalizing marijuana, then cited its representatives’ multiple recent appearances in national news and print media. “Let’s be clear: this does not mean marijuana is legalized—it will remain federally illegal,” SAM said in its fundraising email. “But, if implemented, moving marijuana to Schedule III would give Big Marijuana billions in tax write-offs as well as continue the normalization of high-potency THC drugs.” SAM did not immediately provide more details about the possible legal action in response to a query from Marijuana Moment. In the immediate aftermath of the rescheduling announcement on Tuesday, the organization warned that rescheduling “could have far-reaching consequences for public health and safety.” Like many supporters cannabis reform, SAM’s president, Kevin Sabet, also complained that the government’s review process was opaque. “Only when compelled by a legal challenge did they provide clarity on their decision,” Sabet said, referencing the result of a Freedom of Information Act (FOIA) request filed by cannabis lawyers. He further accused the Biden administration of “starting with the decision and working backward to find the supporting materials.” The White House, meanwhile, said on Wednesday that President Joe Biden directive to review marijuana’s status—which resulted in the rescheduling decision—was part of the president’s cannabis pledge he made to voters in the 2020 election. “Let’s not forget that this is something that the president talked about during his campaign,” White House Press Secretary Karine Jean-Pierre said. “He said no American who only possesses marijuana should go to jail. It is affecting communities across the country, including communities of color.” As for the rescheduling decision itself, Jean-Pierre was asked by reporters on Wednesday about the status of DOJ’s proposed rule change and replied that the “process continues”—but couldn’t confirm that the Office of Management and Budget (OMB) has received the proposed rule yet. The Justice Department did confirm on Tuesday that Attorney General Merrick Garland has “circulated a proposal to reclassify marijuana,” but it’s procedurally unclear where the proposal currently sits. A DOJ spokesperson told Marijuana Moment on Wednesday that they don’t have “any additional information beyond the statement from yesterday.” A White House staffer deferred to DOJ. The Justice Department has nevertheless confirmed that the review is now complete, meaning the next step should be a White House OMB review before publishing the proposed rule in the Federal Register. It’s then expected to go through a public comment period and possible administrative hearing before being finalized. Though Biden did previously campaign on rescheduling marijuana, he also pledged to federally decriminalize the plant. But rescheduling, as is now in the works, would neither legalize nor decriminalize cannabis. The president has issued two proclamations granting mass marijuana pardons to people who’ve committed federal possession offenses, but there are still thousands of people incarcerated in federal prison over cannabis-related convictions. The press secretary also said last month that Biden has been “very, very clear” about his support for decriminalizing marijuana. Days earlier, Jean-Pierre reiterated that HHS made its rescheduling recommendation to DEA based on a review that was “guided by evidence [and] by science,” which is “what we believe here in this administration.” In any case, Biden and Vice President Kamala Harris have also become increasingly vocal about marijuana policy reform actions in the lead-up to the November election. Also on Wednesday, congressional lawmakers reintroduced legislation to legalize marijuana nationwide. SAM greeted the development by posting repeatedly on social media that “Marijuana is STILL addictive!” SHARE THIS NEWS: Marijuana is STILL addictive! Marijuana is STILL addictive! Marijuana is STILL addictive! Marijuana is STILL addictive! Marijuana is STILL addictive! Marijuana is STILL addictive! Marijuana is STILL addictive! Marijuana is STILL addictive! https://t.co/2gKEnqqXBV — SAM (@learnaboutsam) May 1, 2024 Hemp Growers Would See Reduced Regulatory Barriers Under Senate Democrats’ Farm Bill The post Marijuana Legalization Opponents Raise Money For Potential Lawsuit Against Federal Rescheduling Move appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

Senate Democrats are proposing key changes to federal hemp laws as part of a large-scale agriculture bill—including eliminating a ban on participation in the industry by people with felony drug convictions and reducing regulatory barriers for hemp farmers growing for grain or fiber. The Senate Agriculture, Nutrition, and Forestry Committee released a section-by-section summary of the chamber’s version of the 2024 Farm Bill on Wednesday. It also calls for freeing up federal food assistance benefits for people with drug convictions on their records. The GOP-controlled House Agriculture Committee also posted a much shorter summary of its own separate version of the legislation. While it doesn’t contain any explicit references to hemp-related issues, a top industry group advised stakeholders not to “read too much into that” because they’ve had discussions with leadership on both sides and remain “hopeful that several items of our agenda will be incorporated.” The Senate bill’s summary says it updates the definition of hemp and “lowers regulatory barriers for farmers who are growing industrial hemp for grain and fiber.” It also removes the ban “on persons who were previously convicted of a felony relating to a controlled substance from participating in the program or producing hemp.” The U.S. Hemp Roundtable is also calling attention to the lack of details around the proposed redefining of hemp, cautioning stakeholders about efforts by certain industry groups and prohibitionists to use the agriculture legislation to outright ban hemp-derived cannabinoid products that have “rescued the industry and farmers in recent years.” Jonathan Miller, general counsel for the Roundtable, told Marijuana Moment on Wednesday that the association is “pleased to see the reductions in regulatory burdens for fiber and grain farmers and the repeal of the hemp felon ban for all hemp farmers in the Senate summary.” “We look forward to seeing specifics when the language is released,” he said. “We’re also pleased that, so far, we have not seen any efforts to prohibit or federally criminalize hemp products that have been advocated recently in the last few weeks.” Both of the hemp-focused proposals described in the Senate committee summary appear responsive to standalone legislation that’s been introduced this session to build upon the federal legalization of the crop under the previous 2018 Farm Bill. A press release from Sen. Debbie Stabenow (D-MI), chair of the committee, notes that the legislation incorporates provisions from over 100 bills. Bipartisan senators and House members last year filed legislation to reduce regulations on farmers that grow industrial hemp for non-extraction purposes. Under the measures, farmers that cultivate industrial hemp would no longer be subject to background checks in order to participate in the market, and they wouldn’t have to fulfill rigorous sampling and testing requirements. With respect to lifting the felony conviction ban for hemp farmers, Reps. David Trone (D-MD), Chellie Pingree (D-ME), Dave Joyce (R-OH) and Nancy Mace (R-SC) introduced the “Free to Grow Act” last March. They said upon introduction that it would end what they called a “discriminatory” federal policy barring people with prior felony drug convictions from owning or leading legal hemp businesses. Pingree also introduced legislation last session titled the “Hemp Advancement Act” that would reduce regulatory barriers for hemp farmers cultivating the crop for fiber or grain, while enacting other changes favored by stakeholders such as increasing the THC threshold for legal hemp from 0.3 percent THC by dry weight to one percent. The summary of the Senate bill does not mention any decision to increase the THC threshold, but the full text of the legislation has not yet been introduced. House members, for their part, have yet to release any details of how their bill might address the hemp industry’s concerns. “This is a serious proposal that reflects bipartisan priorities to keep farmers farming, families fed, and rural communities strong,” Sen. Debbie Stabenow (D-MI), chair of the committee, said. “The foundation of every successful Farm Bill is built on holding together the broad, bipartisan coalition of farmers, rural communities, nutrition and hunger advocates, researchers, conservationists, and the climate community. This is that bill, and I welcome my Republican colleagues to take it seriously and rejoin us at the negotiating table so we can finish our work by the end of the year. Farmers, families, and rural communities cannot wait any longer on the 2024 Farm Bill.” Lawmakers and stakeholders have also been eyeing a number of other proposals that could be incorporated into the Farm Bill, including measures to free up hemp businesses to legally market products like CBD as dietary supplements or in the food supply. — Marijuana Moment is tracking more than 1,400 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments. Learn more about our marijuana bill tracker and become a supporter on Patreon to get access. — Meanwhile, the hemp market started to rebound in 2023 after suffering significant losses the prior year, the latest annual industry report from the U.S. Department of Agriculture (USDA) that was released last month found. The data is the result of a survey that USDA mailed to thousands of hemp farmers across the U.S. in January. The first version of the department’s hemp report was released in early 2022, setting a “benchmark” to compare to as the industry matures. Bipartisan lawmakers and industry stakeholders have sharply criticized FDA for declining to enact regulations for hemp-derived CBD, which they say is largely responsible for the economic stagnation. To that end, FDA Commissioner Robert Califf testified before the House Oversight and Accountability Committee last month, where he faced questions about the agency’s position that it needed additional congressional authorization to regulate the non-intoxicating cannabinoid. USDA is also reportedly revoking hemp licenses for farmers who are simultaneously growing marijuana under state-approved programs, underscoring yet another policy conflict stemming from the ongoing federal prohibition of some forms of the cannabis plant. For the time being, the hemp industry continues to face unique regulatory hurdles that stakeholders blame for the crop’s value plummeting in the short years since its legalization. Despite the economic conditions, however, a recent report found that the hemp market in 2022 was larger than all state marijuana markets, and it roughly equaled sales for craft beer nationally. Meanwhile, internally at USDA, food safety workers are being encouraged to exercise caution and avoid cannabis products, including federally legal CBD, as the agency observes an “uptick” in positive THC tests amid “confusion” as more states enact legalization. Schumer Suggests Marijuana Banking Could Still Be Attached To Aviation Bill, As GOP House And Senate Leaders Reaffirm Opposition Photo courtesy of Brendan Cleak. The post Hemp Growers Would See Reduced Regulatory Barriers Under Senate Democrats’ Farm Bill appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

As expectations mount about updated federal guidance on marijuana enforcement priorities that could accompany a rescheduling move, the former U.S. deputy attorney general behind an earlier memo on prosecutorial discretion says “almost anything is possible” in terms of expanding its scope to provide more protections for state cannabis markets—including the possibility of sanctioning interstate commerce. A Democratic congressman agrees, telling Marijuana Moment on Tuesday that he expects the Justice Department with “reissue and expand” the Obama-era guidance that generally formalized a policy of non-intervention with respect to state marijuana laws. The so-called Cole memo was rescinded under the Trump administration. James Cole, the former DOJ official who authored that earlier guidance, spoke on Wednesday about federal cannabis policy issues—including the Drug Enforcement Administration’s (DEA) newly announced rescheduling determination—during an event organized by the National Cannabis Roundtable (NCR). “It’s hard for me to speak for DOJ presently—but I think, obviously, you’ve got an enormous step forward with the decision to reschedule,” Cole told Marijuana Moment. “It shows an institutional softening of the position both at DOJ and even more significantly at DEA. It seems to me at this point that the memo I wrote seems to still have some lingering effect.” “It’s always a good idea, every 10 years or so, to take a look at something and see if it needs to be tweaked and if it needs to be improved and what lessons are learned,” he said. “Knowing a lot of people at the Justice Department—these are very smart and very able administrators, and people who run the department really know what they’re doing. I think it’s probably likely they will consider the issue and determine whether or not any further guidance is necessary once the rule has taken effect.” He added that it’s important that “everybody know where the federal government stands on prosecutions and what the guardrails are going to be.” More broadly, Cole said that Congress should establish a regulatory framework for marijuana. But interim guidance could help mitigate confusion resulting from the existing federal-state cannabis policy disconnect. The former deputy attorney general also said future guidance may take into account more contemporary concerns in the state marijuana industry such as restricting products that may appeal to youth. He also said federal prosecutions of the illicit market should be “stepped up both state-wise and federally, because to me the key to all of this is the maintenance of a legitimate and well-regulated business. That’s how you’re going to ensure public safety in this area.” Meanwhile, during a press briefing on Tuesday that followed DEA’s rescheduling announcement, Congressional Cannabis Caucus founding co-chair Rep. Earl Blumenauer (D-OR) told Marijuana Moment that he’s “confident” the Justice Department will “reissue and expand” the Cole memo, though he hasn’t heard directly about the potential timing for such an action. He and Rep. Barbara Lee (D-CA) led a letter to Attorney General Merrick Garland in March that addressed the issue, calling it “unacceptable” that DOJ has yet to reissue the marijuana guidance to discourage interference in state cannabis programs, leaving Americans in a “legal limbo” despite promises to update the policy. During Tuesday’s briefing, Lee also took a question from Marijuana Moment about her views on DEA’s decision to move cannabis from Schedule I to Schedule III under the Controlled Substances Act (CSA). While she previously said the incremental reform could set the country back on the path to federal legalization “another 50 years,” the congresswoman seemed to walk that position back on Tuesday, saying it will only set the movement back “if we don’t continue to fight for full descheduling and decriminalization.” “We have to double our efforts—triple our efforts—right now for full descheduling, and that’s what I mean by that,” Lee said. “I don’t mean letting this just rest and move into Schedule III. We have to keep fighting hard and the next eight months I think will be, hopefully, very successful.” It’s not exactly clear how long it will take for the DOJ’s marijuana rescheduling rule to be finalized. First it must receive initial approval from the White House Office of Management and Budget (OMB), after which point it will be published in the Federal Register and open for public comment. There’s also a distinct possibility that opponents may seek to challenge the rule in court or via an administrative hearing. When the rescheduling decision is formally posted in the Federal Register, Cannabis Wire reported that it will be accompanied by a Justice Department Office of Legal Counsel (OLC) opinion that contests the idea that rescheduling would put the U.S. in violation of international treaty obligations, as some opponents have argued. It will also defend the revised two-part scheduling review that the U.S. Department of Health and Human Services (HHS) relied on to make its Schedule III recommendation and clarify that DEA is obligated to defer to the health agency’s scientific findings, the outlet reported. Meanwhile, Senate Majority Leader Chuck Schumer (D-NY), Senate Finance Committee Chairman Ron Wyden (D-OR) and Sen. Cory Booker (D-NJ) and a coalition of other Democratic senators are officially reintroduced a bill to federally legalize marijuana on Wednesday. Schumer Suggests Marijuana Banking Could Still Be Attached To Aviation Bill, As GOP House And Senate Leaders Reaffirm Opposition Photo courtesy of Philip Steffan. The post Former Top DOJ Official And Congressman Say Federal Marijuana Guidance May Expand State Protections Following Rescheduling Announcement appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

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WH: Rescheduling part of Biden campaign pledge; SAFE Banking debate; Congress psychedelics vote; SC medical marijuana; OH legalization changes Subscribe to receive Marijuana Moment’s newsletter in your inbox every weekday morning. It’s the best way to make sure you know which cannabis stories are shaping the day. Get our daily newsletter. Email address: Leave this field empty if you're human: Your support makes Marijuana Moment possible… Your good deed for the day: donate to an independent publisher like Marijuana Moment and ensure that as many voters as possible have access to the most in-depth cannabis reporting out there. Support our work at https://www.patreon.com/marijuanamoment / TOP THINGS TO KNOW Senate Majority Leader Chuck Schumer (D-NY) and 17 other Democratic senators filed a bill to federally legalize marijuana—one day after the Drug Enforcement Administration agreed to reschedule cannabis. White House Press Secretary Karine Jean-Pierre said the federal move to reschedule marijuana is part of fulfilling the pledge President Joe Biden made to voters in the 2020 campaign. Senate Majority Leader Chuck Schumer (D-NY) said he’s not giving up on trying to attach marijuana banking provisions to an aviation bill even though House Speaker Mike Johnson (R-LA) and Senate Minority Leader Mitch McConnell (R-KY) are opposed. Sen. Chuck Grassley (R-IA) argued during a hearing that passing a marijuana banking bill will mean that “Chinese money laundering organizations will have an additional avenue for cleaning dirty money.” The House Veterans’ Affairs Committee approved a bill to direct the Department of Veterans Affairs to notify lawmakers if psychedelics are added to its formulary of covered drugs in the event of their federal approval by the Food and Drug Administration. Ohio’s Senate president wants to scale back marijuana home cultivation provisions and make other changes to the voter-approved legalization law by June, but the House speaker says passing something “depends on what it looks like.” The chair of the South Carolina House Medical Cannabis Ad Hoc Committee said it is unlikely a Senate-passed bill to legalize patient access will get a vote in her chamber by the end of the session next week. Shawn Hauser of Vicente LLP argues in a new Marijuana Moment op-ed that the federal decision to reschedule cannabis is “a historic and critically important shift”—with the government “finally (and officially) recognizing the efficacy and safety of cannabis for medical use.” The Missouri Division of Cannabis Regulation’s decision to revoke marijuana social equity licenses from businesses tied to out-of-state companies that used Craigslist to recruit applicants is being appealed. / FEDERAL Former Surgeon General Jerome Adams tweeted, “Another observation on New York City: It smells of weed, everywhere. In the hotel, in the cabs and Ubers, in the restaurants, and even in the hospital. EVERYWHERE. ” Sen. Tim Kaine (D-VA) discussed his support for marijuana banking legislation. Rep. Brian Mast (R-FL) authored a blog post about the federal cannabis rescheduling decision. Rep. Nicole Malliotakis (R-NY) tweeted, “New York Democrats passed legislation to legalize marijuana with NO plan to crack down on the black market or the impact it would have on quality of life. We thank the NYPD for shutting these illegal shops down.” / STATES Georgia Gov. Brian Kemp (R) signed a hemp regulation bill. New York Gov. Kathy Hochul (D) nominated a new secretary of state, with her office noting in a press release that he previously served as co-chair of the Black, Puerto Rican, Hispanic & Asian Legislative Caucus’s Marijuana Regulation and Taxation Task Force on Cannabis. Oklahoma’s attorney general said a new immigration law signed by Gov. Kevin Stitt (R) will “enhance law enforcement’s ability to combat the state’s many illegal marijuana grow operations.” The Connecticut House of Representatives passed a bill to regulate THC-infused beverages. The Minnesota Senate Commerce and Consumer Protection Committee approved a bill to change various cannabis rules. The Pennsylvania House Health Committee approved a bill on oversight of medical cannabis testing labs. The Tennessee Senate Democratic Caucus chairwoman cheered the federal marijuana rescheduling decision. The Ho-Chunk Nation, located within Wisconsin, is moving to decriminalize marijuana. California regulators approved rules allowing marijuana processor, nursery and cultivation licensees to make a one-time change to their license expiration date. Alabama regulators filed several medical cannabis rules. Ohio regulators issued a reminder that marijuana use is strictly prohibited in liquor permit premises. — Marijuana Moment is tracking more than 1,400 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments. Learn more about our marijuana bill tracker and become a supporter on Patreon to get access. — / LOCAL Oakland, Mendocino County and Humboldt County, California tourism officials launched a new project that marks historic spots celebrating “the cultural heritage stories of California’s famed cannabis tradition.” The Hialeah, Florida City Council passed a resolution opposing the marijuana legalization initiative on the state’s November ballot. Oakland, California’s Cannabis Regulatory Commission will meet on Thursday. / INTERNATIONAL The Bahamian health minister said legislation to legalize medical cannabis and decriminalize recreational marijuana will be passed before the end of the year. The leader of the Canadian Conservative Party is pressing Prime Minister Justin Trudeau to reject Toronot’s application to enact a drug decriminalization policy. / SCIENCE & HEALTH A study of trends before and after legal marijuana sales began in Washington State found that “prevalence of [driving under the influence of alcohol] decreased overall and among drinkers,” that “overall [driving under the influence of cannabis] did not change significantly but decreased among those who used cannabis” and that “[driving under the influence of both substances] decreased but not significantly.” A study found that “MDMA enhances empathy-like behaviors in mice.” / ADVOCACY, OPINION & ANALYSIS The American Bankers Association said marijuana banking legislation is still needed even in light of a federal rescheduling decision. The Los Angeles Times editorial board is celebrating the federal marijuana rescheduling decision but says more action is needed. / BUSINESS Cookies announced its intention to acquire all operational cannabis assets related to the production and sale of Cookies-branded products in Florida from TRP Co. and its affiliates. The Scotts Miracle-Gro Company reported that its cannabis-focused Hawthorne unit saw $66.4 million in quarterly sales. High Tide Inc. has a new chief financial officer. Make sure to subscribe to get Marijuana Moment’s daily dispatch in your inbox. Get our daily newsletter. Email address: Leave this field empty if you're human: The post Federal cannabis legalization bill filed by 18 senators (Newsletter: May 2, 2024) appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

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Senate Majority Leader Chuck Schumer (D-NY) has signaled he’s not giving up hope on attaching a marijuana banking bill to must-pass aviation legislation. But Republican leaders in both chambers represent roadblocks for the reform. Shortly after unveiling his reintroduced legislation to federally legalize cannabis on Wednesday, Schumer was asked about the prospect of attaching marijuana banking and cryptocurrency regulations measures to the Federal Aviation Administration (FAA) bill that’s being negotiated. Senate Minority Leader Mitch McConnell (R-KY) has already made clear that he’s opposed to that option, and anti-cannabis House Speaker Mike Johnson (R-LA) said broadly that he’s against adding any unrelated measures to the FAA legislation, Bloomberg News reported. But Schumer said on Wednesday that “there are lots of people who have different amendments not relevant to the FAA that want to get them on.” “I’m one of those—but we have to get this done in a bipartisan way. And we’ll figure out the best way to get it done,” he said. McConnell’s office told Marijuana Moment on Monday that the minority leader “continues to oppose marijuana banking,” without specifically responding to a question about whether he was resisting a push to adding the Secure and Fair Enforcement Regulation (SAFER) Banking Act to the FAA legislation. With new reporting that Johnson is also against advancing the package as part of the Federal Aviation Administration bill, it seems increasingly unlikely that the legislation will serve as the vehicle for the cannabis reform. There are other options, however, including the continued possibility that it moves as a standalone or attached to another bill in the lame duck session following the November elections, for example. A Senate source told Marijuana Moment this week that SAFER Banking supporters on the Hill are hoping that other GOP leaders in favor of the proposal, such as the bill’s chief Republican sponsor Sen. Steve Daines (R-MT), will put pressure on McConnell to let it advance. That said, Bloomberg reported that Daines expressed skepticism about the FAA-marijuana banking-cryptocurrency package coming to fruition in an interview this week. Daines’s office has not responded to multiple requests for comment. For his part, Schumer said on Tuesday that while the Drug Enforcement Administration’s (DEA) newly reported decision to propose marijuana rescheduling is a “historic step forward,” he remains “strongly committed” to advancing cannabis banking and legalization legislation this session. Meanwhile, Sen. Chuck Grassley (R-IA) spoke out against the marijuana banking bill this week, linking the legal marketplace to a deadly 2022 shooting at a cannabis facility that involved people who “were all from China.” The bipartisan support for the bill is evident, however. Just last week, the Republican vice chair of the House Financial Services Committee, Rep. French Hill (R-AR) said he would support a hybrid marijuana banking and cryptocurrency regulation bill, saying “our country will benefit” if both reforms are enacted. Rep. Maxine Waters (D-CA), separately said that “now is the time” to pass cannabis banking reform, and she’s “hopeful” lawmakers will “overcome” any potential challenge from McConnell as they work to advance the legislation. Meanwhile, last week Schumer once again included the bipartisan marijuana banking bill in a list of legislative priorities he hopes to advance this year. Since the Senate recently approved must-pass appropriations legislation and foreign aid to Ukraine, Israel and Taiwan, there are heightened expectations that floor action could be on the horizon. Adding to those expectations is the recent introduction of a bill to incentivize expungements for past cannabis offenses at the state, local and tribal levels. Schumer has made clear he intends to attach that measure to the banking legislation on the floor. Schumer also recently asked people to show their support for the SAFER Banking Act by signing a petition as he steps up his push for the legislation. A poll released in March by the American Bankers Association (ABA) shows that roughly three out of five Americans support allowing marijuana industry access to the banking system. Rep. Nancy Mace (R-SC) said that that “if Republicans want to keep the House,” they should pass the marijuana banking bill, arguing that “there are votes” to approve it. Schumer told Marijuana Moment in March that the bill remains a “very high priority” for the Senate, and members are having “very productive” bicameral talks to reach a final agreement. Senate Banking Committee Chairman Sherrod Brown (D-OH) said in March that passing the SAFER Banking Act off the floor is a “high priority.” However, he also recently said in a separate interview that advancing the legislation is complicated by current House dynamics. House Majority Whip Tom Emmer (R-MN) separately said during a recent American Bankers Association (ABA) summit that he wants to see the SAFER Banking Act move. He said that, “for whatever reason, the federal government has been slow” to act on the incremental reform that he supports even though he doesn’t identify as “a marijuana guy.” One key factor that’s kept the bill from the Senate floor is disagreement over mostly non-cannabis provisions dealing with broader banking regulations, primarily those contained in Section 10 of the legislation. — Marijuana Moment is tracking more than 1,400 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments. Learn more about our marijuana bill tracker and become a supporter on Patreon to get access. — Bicameral negotiations have been ongoing, however, and recent reporting suggests that a final deal could be just over the horizon. The Democratic Senate sponsor of the SAFER Banking Act, Sen. Jeff Merkley (D-OR), told Marijuana Moment in March that the legislation is “gaining momentum” as lawmakers work to bring it to the floor and pass it “this year.” Rep. Earl Blumenauer (D-OR), founding co-chair of the Congressional Cannabis Caucus, told Marijuana Moment last month that, “every day we’re closer on SAFE Banking, and negotiations “are ongoing in the House and Senate, and we are, in fact, making progress.” At the close of the first half of the 118th Congress in December, Schumer said in a floor speech that lawmakers would “hit the ground running” in 2024, aiming to build on bipartisan progress on several key issues, including marijuana banking reform—though he noted it “won’t be easy.” White House Says Marijuana Rescheduling Is Part Of Pledge Biden Made To Voters In Last Campaign The post Schumer Suggests Marijuana Banking Could Still Be Attached To Aviation Bill, As GOP House And Senate Leaders Reaffirm Opposition appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

The White House says that President Joe Biden’s marijuana review directive that’s now resulted in a Justice Department rescheduling decision is part of fulfilling the pledge he made to voters in the 2020 election. At a press briefing on Wednesday, White House Press Secretary Karine Jean-Pierre was asked about the status of DOJ’s proposed rule to move marijuana from Schedule I to Schedule III of the Controlled Substances Act (CSA). She said that the “process continues,” but she couldn’t confirm that the Office of Management and Budget (OMB) has received the proposed rule yet. The Justice Department did confirm on Tuesday that Attorney General Merrick Garland has “circulated a proposal to reclassify marijuana,” but it’s procedurally unclear where exactly that proposal currently sits. A DOJ spokesperson told Marijuana Moment on Wednesday that they don’t have “any additional information beyond the statement from yesterday.” A White House staffer deferred to DOJ. During Wednesday’s briefing, Jean-Pierre simply reiterated that Biden directed the scheduling review in late 2022, the U.S. Department of Health and Human Services (HHS) recommended moving cannabis to Schedule III and “DOJ is looking into that.” “I just want to be really mindful there. They’re moving with that process. I don’t have anything more to say,” she said. While she deferred to DOJ after being asked whether the White House OMB has received the rescheduling proposal, the press secretary added: “Let’s not forget that this is something that the president talked about during his campaign. He said no American who only possesses marijuana should go to jail. It is affecting communities across the country, including communities of color.” “This is why he asked HHS and Department of Justice to look into this, and that’s what they’re doing,” she said. “This is a commitment and a promise that he made when he decided to run back in 2019, and he was very clear why it was important, he believed, to ask the Department of Justice and HHS to review this,” the press secretary said. “That review continues, and so don’t want to get ahead of how [DOJ is] moving forward.” Again, the Justice Department confirmed that the review is now complete, meaning the next step should be a White House OMB review before publishing the proposed rule in the Federal Register. It’s then expected to go through a public comment period and possible administrative hearing before being finalized. While Jean-Pierre is right that Biden did previously campaign on rescheduling marijuana, he also pledged to federally decriminalize the plant. But rescheduling, as is now in the works, would not legalize or decriminalize cannabis. The president has issued two proclamations granting mass marijuana pardons to people who’ve committed federal possession offenses, but there are still thousands of people incarcerated in federal prison over cannabis-related convictions. The press secretary also said last month that Biden has been “very, very clear” about his support for decriminalizing marijuana. Days earlier, Jean-Pierre reiterated that HHS made its rescheduling recommendation to DEA based on a review that was “guided by evidence [and] by science,” which is “what we believe here in this administration.” In any case, Biden and Vice President Kamala Harris have also become increasingly vocal about marijuana policy reform actions in the lead-up to the November election. Congressional Committee Approves GOP-Led Psychedelics Bill Focused On Military Veterans’ Therapeutic Access The post White House Says Marijuana Rescheduling Is Part Of Pledge Biden Made To Voters In Last Campaign appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

A congressional committee has approved a GOP-led psychedelics bill focused on military veterans’ access. About two weeks after the House Veterans’ Affairs Health Subcommittee advanced the legislation, members of the full committee on Wednesday advanced it to potential floor action in a voice vote as part of an en bloc package with other measures. The proposal from Rep. Derrick Van Orden (R-WI) would require the U.S. Department of Veterans Affairs (VA) to notify Congress if any psychedelics are added to its formulary of covered prescription drugs. The bill states that VA must report to Congress on the addition of any psychedelic medicines to its formulary within 180 days of their federal approval by Food and Drug Administration (FDA). The report would need to include “the determination of the Secretary whether to include such drug in the formulary of the Department,” as well as “the justification of the Secretary for such determination,” the bill text says. At a hearing earlier this year, VA came out against the psychedelics bill, arguing that it’s “unnecessary.” Currently, there are no psychedelic drugs that are federally approved to prescribe as medicine. But that could soon change, as FDA recently agreed to review a new drug application for MDMA-assisted therapy on an expedited basis. The agency has also designated psilocybin, and more recently an LSD-like compound, as “breakthrough therapies.” In January, VA separately issued a request for applications to conduct in-depth research on the use of psychedelics to treat PTSD and depression. Van Orden, who filed the psychedelics bill, is also a co-sponsor of a bipartisan measure to provide funding to the Department of Defense (DOD) to conduct clinical trials into the therapeutic potential of certain psychedelics for active duty military members. That reform was signed into law by President Joe Biden under an amendment attached to the 2024 National Defense Authorization Act (NDAA). In March, congressional appropriations leaders also unveiled a spending package that contains language providing $10 million to facilitate the psychedelics studies. The health subcommittee last month also approved a separate medical cannabis measure, sponsored by the subcommittee chair Rep. Mariannette Miller-Meeks (R-IA), titled the Veterans Cannabis Analysis, Research, and Effectiveness (CARE) Act. But the full panel has not yet acted on the legislation. The proposal would require VA to “conduct and support research relating to the efficacy and safety of forms of cannabis” for chronic pain, post-traumatic stress disorder (PTSD) and “other conditions the Secretary determines appropriate.” The legislation specifies that the VA studies must involve plants and extracts, at least three varieties of cannabis with different concentrations of THC and CBD and “varying methods of cannabis delivery, including topical application, combustable and non-combustable inhalation, and ingestion.” VA would first have to submit a research plan to House and Senate Veterans’ Affairs Committees and make any requests to support the studies. Over the course of five years after the bill is enacted, VA would need to send annual reports on its progress to the panels. At last month’s hearing, the U.S. Department of Veterans Affairs (VA) voiced support for the bill on the condition that certain amendments were made. The measure as drafted is identical to an earlier bill Miller-Meeks sponsored last Congress. On the Senate side, a committee approved a separate bill last February to promote research into the therapeutic effects of marijuana for military veterans with certain conditions. However, Senate Republicans blocked a procedural motion to advance it to the floor. In a floor speech last year, Miller-Meeks, the subcommittee chair, talked about the need to support “novel forms of research” to unlock the potential of psychedelics and cannabis for the treatment of conditions like PTSD that commonly afflict veterans. She also touted first-ever FDA guidance on psychedelics research that she separately requested in a bill filed last year alongside Reps. Dan Crenshaw (R-TX) and Ro Khanna (D-CA). — Marijuana Moment is tracking more than 1,400 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments. Learn more about our marijuana bill tracker and become a supporter on Patreon to get access. — During joint U.S. House and Senate committee meetings in March, VSOs also pressed members of Congress to more urgently pursue the potential benefits of psychedelic-assisted therapy and medical marijuana. The requests from groups like the Iraq and Afghanistan Veterans of America, Veterans of Foreign Wars of the United States, Disabled American Veterans and the Wounded Warrior Project came on the heels of organizations at last year’s set of annual VSO hearings criticizing VA for “dragging their feet” on medical marijuana research. In October, VA separately launched a new podcast about the future of veteran health care, and the first episode of the series focuses on the healing potential of psychedelics. FDA officials also recently joined scientists at a public meeting on next steps for conducting research to develop psychedelic medicines. Schumer Says DEA Marijuana Rescheduling Decision Is ‘Historic,’ But He Remains ‘Strongly Committed’ To Passing Banking And Legalization Bills Image courtesy of Kristie Gianopulos. The post Congressional Committee Approves GOP-Led Psychedelics Bill Focused On Military Veterans’ Therapeutic Access appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

Lawmakers on a South Carolina House committee took testimony on Tuesday on a Senate-passed bill that would legalize medical marijuana in the state, but the panel’s chair says it’s unlikely the proposal will actually receive a vote in her chamber by the end of the legislative session. At a roughly two-and-a-half-hour hearing, the House Medical Cannabis Ad Hoc Committee took testimony from doctors, patients and members of the public. After the hearing, however, Rep. Sylleste Davis (R), who chairs the panel, told reporters that the body is unlikely to meet again before lawmakers adjourn on May 9. “We just don’t have a lot of time,” Davis said, according to The Post and Courier. “But I mean, I do think this was a worthwhile effort. It certainly isn’t time wasted. We learned a lot today and got some good information.” The bill’s sponsor, meanwhile—Sen. Tom Davis (R), has said he was frustrated by how long it took for his measure to be taken up by House lawmakers following its passage by the Senate. “I intentionally, you know, got the Senate to move it up and move it quickly,” he told SC Public Radio. “It got passed out, I think, the first or second week in February to get it over to them in time. And, so, they’ve had over two months, and it’s just been sitting in committee. And, look, that is frustrating.” The House committee held an initial last week, taking testimony from medical experts and law enforcement. On Tuesday, the committee opened comments to the broader public, drawing patients, veterans, medical professionals and various other advocates. There was little discussion from lawmakers themselves, though some asked questions of those who testified. Following the first speaker, for example—Bill Lynch, a clinical pharmacist in Philadelphia who warned of a litany of individual health and public safety dangers that he said legalization would worsen—Rep. Wendell Jones (D) asked whether the majority of the problems Lynch cited were about medical patients or recreational consumers. Lynch replied that recreational users made up the bulk of the cases with negative outcomes—involving heart trouble among young adults, increased risk of psychosis and schizophrenia as well as heightened violence, he said—but added: “That does not mean you cannot have some of these cardiovascular and mind-altering events happen for medically prescribed” marijuana. Rep. Heath Sessions (R), meanwhile, queried Lynch about his comments that the pharmacist currently dispenses synthetic cannabinoids in his practice. “Did you mention that you can prescribe synthetic THC?” the lawmaker asked. Lynch confirmed that his clinic does provide the pharmaceutical Marinol, a form of synthesized THC, and the cannabis-derived drug Epidiolex, a purified CBD product. “Those two products do exist,” he said, “and are approved prescriptions that I do give out and dispense at the hospital. But they’re the only two that are quote-unquote ‘isolated forms of marijuana’ that we use.” Passed by the Senate in February, the bill languished in the House for weeks until it was first taken up in committee earlier this month. Davis, the Senate sponsor, has pointed out that there are just a few weeks left in the session to get the bill through the full chamber before potentially going to the desk of Gov. Henry McMaster (R). Any amendments made in the House would mean that it’d need to return to the Senate for concurrence. “I just implore you to please send [S. 423] to the House so that the full body of legislators can give it the vetting, and hopefully the support that the Senate did after six years of contentious consideration,” said Margaret Richardson, a patient with trigeminal neuralgia—a chronic pain disorder—who’s worked for years to bring medical marijuana to South Carolina. Among the public, the reform enjoys overwhelming bipartisan support in the state, with the latest medical cannabis legalization poll finding support among 93 percent of Democrats, 74 percent of Republicans and 84 percent of independents. Broadly, the bill would allow patients to access cannabis from licensed dispensaries if they receive a doctor’s recommendation for the treatment of qualifying conditions, which include several specific ailments as well as terminal illnesses and chronic diseases where opioids are the standard of care. The state Senate passed an earlier version of the legislation in 2022, but it stalled in the opposite body over a procedural hiccup. David Mangone, a legalization advocate who began his career in South Carolina before moving to Washington, D.C., remarked that “versions of this bill have come up before in the statehouse, but this is really the first time where we are sitting with a change in federal status.” Referring to the announcement that the Drug Enforcement Administration had given the OK to moving marijuana to Schedule III, Mangone encouraged the Senate lawmakers to “read at least the summary of the 250 pages put together finding that there is a currently accepted medical use and an abuse potential lower than drugs in Schedule I and Schedule II.” Two speakers—one a patient with multiple sclerosis, another a 26 year old with degenerative disc disorder—shared how experiences in California’s legal marijuana market led them to believe that cannabis could offer more relief for their ailments than the prescription drugs they were taking. “I was off of opioids within, I want to say, a month. I did not have hardly as severe withdrawal symptoms because of it,” said Wade Tolleson, who began using opioids for his back pain when he was 18. “Even though I have doctors that will look me dead in the eye and tell me that medical cannabis would be better for me in the long run, they tell me their hands are tied,” Tolleson told the panel. “Basically my future looks like either living with more degenerative discs and a lot of pain or they want to do double triple fusions. At 26 I won’t be able to even pick up a child.” Opponents of the bill who spoke at the hearing shared stories of family members whose lives they said were destroyed by cannabis use, for example as the result of suicidal ideation. Others granted that marijuana isn’t a cure-all but said patients deserve to have access to it as part of a treatment regimen. “Cannabis isn’t a perfect medicine,” said Jennifer Kovacs, a clinical pharmacist who works with the cannabis industry. “But it certainly has a better safety profile than most pharmaceuticals dispensed, including opiates and benzos. Cannabis has multi-target therapy. Pharmaceuticals do not.” But critics warned that whole plant cannabis medicine, with its mixture of hundreds of compounds, departs too much from established pharmaceutical standards to be embraced as a mainstream treatment. A number of other opponents spoke against the medical marijuana proposal on religious and family-values grounds. “From our perspective, I want to say, first of all, that we pray for our legislators, because we know you are leaders and you’re guides and, biblically, you’re actually shepherds,” said Steve Pettit, the president of the Palmetto Family Council, telling lawmakers that “we represent the families of the state in many ways.” Though his wife has had multiple sclerosis and non-Hodgkin’s lymphoma and currently has a type of carcinoma, Pettit said, “we would be very opposed to the approach of medical marijuana.” “We know that from a biblical perspective that a being involved in hallucinogenic drugs is a sinful behavior,” he said, “because even drunkenness is considered sinful behavior.” Here are the main provisions of the bill: “Debilitating medical conditions” for which patients could receive a medical cannabis recommendation include cancer, multiple sclerosis, epilepsy, post-traumatic stress disorder (PTSD), Crohn’s disease, autism, a terminal illness where the patient is expected to live for less than one year and a chronic illness where opioids are the standard of care, among others. The state Department of Health and Environmental Control (DHEC) and Board of Pharmacy would be responsible for promulgating rules and licensing cannabis businesses, including dispensaries that would need to have a pharmacist on-site at all times of operation. In an effort to prevent excess market consolidation, the bill has been revised to include language requiring regulators to set limits on the number of businesses a person or entity could hold more than five percent interest in, at the state-level and regionally. A “Medical Cannabis Advisory Board” would be established, tasked with adding or removing qualifying conditions for the program. The legislation was revised from its earlier form to make it so legislative leaders, in addition to the governor, would be making appointments for the board. Importantly, the bill omits language prescribing a tax on medical cannabis sales, unlike the last version. The inclusion of tax provisions resulted in the House rejecting the earlier bill because of procedural rules in the South Carolina legislature that require legislation containing tax-related measures to originate in that body rather than the Senate. Smoking marijuana and cultivating the plant for personal use would be prohibited. The legislation would sunset five years after the first legal sale of medical cannabis by a licensed facility in order to allow lawmakers to revisit the efficacy of the regulations. Doctors would be able to specify the amount of cannabis that a patient could purchase in a 14-day window, or they could recommend the default standard of 1,600 milligrams of THC for edibles, 8,200 milligrams for oils for vaporization and 4,000 milligrams for topics like lotions. Edibles couldn’t contain more than 10 milligrams of THC per serving. There would also be packaging and labeling requirements to provide consumers with warnings about possible health risks. Products couldn’t be packaged in a way that might appeal to children. Patients could not use medical marijuana or receive a cannabis card if they work in public safety, commercial transportation or commercial machinery positions. That would include law enforcement, pilots and commercial drivers, for example. Local governments would be able to ban marijuana businesses from operating in their area, or set rules on policies like the number of cannabis businesses that may be licensed and hours of operation. DHEC would need to take steps to prevent over-concentration of such businesses in a given area of the state. Lawmakers and their immediate family members could not work for, or have a financial stake in, the marijuana industry until July 2029, unless they recuse themselves from voting on the reform legislation. DHEC would be required to produce annual reports on the medical cannabis program, including information about the number of registered patients, types of conditions that qualified patients and the products they’re purchasing and an analysis of how independent businesses are serving patients compared to vertically integrated companies. Despite strong support among the public, many in South Carolina’s law enforcement community have come out in opposition to the reform. Sheriff Duane Lewis of Berkeley County, representing the South Carolina Sheriff’s Association (SCSA), for example, testified in opposition to the proposal last week, arguing that marijuana is a gateway drug and that the proposed reform “would only exacerbate existing challenges and jeopardize safety.” Mark Keel, chief of the S.C. Law Enforcement Division (SLED), also spoke against the medical cannabis bill, stating that “once we go down that road, we’re not gonna be able to claw it back.” Other commenters, however, pushed back against those claims. Retired Chief Jeffrey Moore, Lewis’s predecessor at SCSA, came out in strong support of the medical cannabis bill, describing how his son struggled with alcohol abuse after experiencing significant trauma during military service in Iraq, only to find recovery with the help of marijuana he obtained legally in Michigan. “Marijuana saved his life,” Moore said. Cannabis “gave him a relief from the nightmares, the grief, the constant tears—gave him a chance to put his life back together.” Prakash Nagarkatti, a professor of medicine at the University of South Carolina, defended the therapeutic potential of cannabis for dozens of health conditions. “People who are healthy do not have a right to tell people who are sick and say that, ‘No you cannot have this plant, which has the medicinal value, because if you start using this, we who are healthy will also start abusing it,’” he said. “I don’t think the society should be made in such such a way that we decline any type of medicine that provides relief for patients who have no other source of medicines available to treat that pain as well as debilitating conditions.” Rep. Marvin Smith (R) told the chief that while he is “not in favor or in support of legalizing marijuana usage throughout the state,” it is “impossible not to empathize with the stories that we hear from families who were in the oftentimes end-of-life situations, are dealing with significant chronic pain issues and seizure issues.” “It’s really, really difficult for me to just totally dismiss this bill as as an elected official—to say that it’s not an issue that we need to deal with. I don’t think that’s fair,” he said. “We’re here to serve all the populations.” When senators began debating the medical marijuana legislation in February, the body adopted an amendment that clarifies the bill does not require landlords or people who control property to allow vaporization of cannabis products. As debate on the legislation continued, members clashed over whether the current version of the legislation contains major differences from an earlier iteration that the body passed in 2022. Certain lawmakers have also raised concerns that medical cannabis legalization would lead to broader reform to allow adult-use marijuana, that it could put pharmacists with roles in dispensing cannabis in jeopardy and that federal law could preempt the state’s program, among other worries. After Davis’s Senate-passed medical cannabis bill was blocked in the House in 2022, he tried another avenue for the reform proposal, but that similarly failed on procedural grounds. The lawmaker has called the stance of his own party, particularly as it concerns medical marijuana, “an intellectually lazy position that doesn’t even try to present medical facts as they currently exist.” DEA, FDA And Other Agencies To Discuss Marijuana’s Potential To Treat Pain At Upcoming Federal Research Meeting Photo courtesy of Chris Wallis // Side Pocket Images. The post South Carolina Medical Marijuana Bill Won’t Receive House Vote By End Of Session, Committee Chair Says appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

Senate Majority Leader Chuck Schumer (D-NY), Senate Finance Committee Chairman Ron Wyden (D-OR) and Sen. Cory Booker (D-NJ) and a coalition of other Democratic senators are officially reintroducing a bill to federally legalize marijuana. One day after the Justice Department announced that it is moving to reschedule cannabis in a historic policy shift, the senators held a press conference on Wednesday to unveil the Cannabis Administration and Opportunity Act (CAOA). The bill is largely identical to an earlier version the senators previously introduced in 2022, except that language around fair hiring in banking was removed because that issue has already been addressed in the most recent National Defense Authorization Act (NDAA). The senators’ move to file the broad legalization measure also comes as industry advocates continue to push to enact narrower legislation focused on cannabis business’s access to banking services. “It’s past time for the federal government to catch up to the attitudes of the American people when it comes to cannabis,” Schumer said in a press release on Wednesday. “That’s why we’re reintroducing the Cannabis Administration and Opportunity Act, legislation that would finally end the federal prohibition on cannabis while prioritizing safety, research, workers’ rights and restorative justice.” “We have more work to do to address decades of over-criminalization, particularly in communities of color, but today’s reintroduction shows the movement is growing, and I will keep working until we achieve meaningful change,” he said. Watch the senators discuss the federal marijuana legalization bill in the video below: Wyden stressed that the CAOA “doesn’t tell states what to do—but it provides them with the tools to effectively implement the laws their voters and legislators choose.” “Public health, public safety, opportunity and social justice must be at the core of any cannabis reform proposal, and it’s crucial stakeholders continue to have a seat at the table,” he said. “I look forward to working with my colleagues and advocates across the country to make these priorities a reality.” Booker, meanwhile, said it’s “long past time to confront the failure of the War on Drugs, particularly its disproportionate impact on communities of color and low-income individuals. We must take proactive and significant steps to rectify these ongoing injustices.” “Thousands of people have suffered at the hands of our broken cannabis laws, and the Cannabis Administration and Opportunity Act would finally dismantle the outdated federal marijuana prohibition, expunge past convictions for people with low-level cannabis offenses, and ensure restorative justice for communities impacted by the War on Drugs,” he said. “These common-sense policies will ensure a more equitable criminal justice system and promote public safety.” The legislation is being introduced with a total of 18 original cosponsors. In addition to the trio leading the bill, the other members signed on are Sens. Patty Murray (D-WA), Jeff Merkley (D-OR), Kirsten Gillibrand (D-NY), Elizabeth Warren (D-MA), Ed Markey (D-MA), Michael Bennet (D-CO), Gary Peters (D-MI), Tina Smith (D-MN), John Hickenlooper (D-CO), Ben Ray Luján (D-NM), Alex Padilla (D-CA), Peter Welch (D-VT), Raphael Warnock (D-GA), John Fetterman (D-PA) Laphonza Butler (D-CA). Here are the key versions of the CAOA as reintroduced: Require the attorney general to finalize a rule removing marijuana from the CSA within 180 days of enactment. Impose a 5 percent federal excise tax on small- to mid-sized cannabis producers, which would gradually increase to 12.5 percent after five years. For large businesses, the tax would start at 10 percent and increase to a maximum of 25 percent. Only those 21 and older would be allowed to purchase recreational marijuana products, as is already the policy in states that have legalized for adult use. Expunge the records of people with low-level, federal cannabis convictions within one year of enactment, while allowing those currently incarcerated over marijuana to petition the courts for relief. Create a federal regulatory framework for the marijuana industry, with the Food and Drug Administration (FDA), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Alcohol and Tobacco Tax and Trade Bureau (TTB) all playing key roles. Within FDA, there would be a Center for Cannabis Products responsible for regulating “the production, labeling, distribution, sales and other manufacturing and retail elements of the cannabis industry,” according to a summary. The Financial Crimes Enforcement Network (FinCEN) would need to update or issue new guidance clarifying to banks and credit unions that the policy change means that they can lawfully service legitimate cannabis businesses. States could choose to continue prohibiting marijuana production and sales, but they could not prevent transportation of cannabis products between legal states through their jurisdictions. Federal laws would still prohibit trafficking in states that ban marijuana and in legal states that impose laws for trafficking. Establish a grant program to fund non-profit organizations that provide job training, reentry services and legal aid. The program would be managed by a new Cannabis Justice Office under the Justice Department. DOJ grants would also go toward law enforcement hiring and community outreach to combat the illicit market. Separate Equitable Licensing Grant and Equitable Licensing Grant Programs would provide funding for states and localities to promote participation in the industry by minority and low-income people. Further, there would be a 10-year pilot program through the federal Small Business Administration “for intermediary lending” to provide “direct loans to eligible intermediaries that in turn make small business loans to startups, businesses owned by individuals adversely impacted by the War on Drugs, and socially and economically disadvantaged small businesses.” People could not be denied federal benefits due to the use or possession of marijuana or for a conviction for a cannabis offense. That includes preventing the revocation of security clearances for federal employees. Federal employment drug testing for marijuana would also be prohibited, with certain exceptions for sensitive positions such as law enforcement and those involving national security. Physicians with the U.S. Department of Veterans Affairs (VA) would be authorized to issue recommendations for medical cannabis to veterans. There would be measures taken to prevent diversion, including the establishment of a track-and-trace regime. Further, retail cannabis sales would be limited to 10 ounces in a single retail transaction. Federal law would be amended to explicitly state that SBA programs and services available to marijuana businesses and companies that work with them. The Government Accountability Office (GAO) would be required to facilitate a number of studies into marijuana policy—for example evaluations of the societal impact of legalization in states with recreational marijuana laws on the books, including information on impaired driving, violent crime and more. The Bureau of Labor Statistics (BLS) would need to compile demographic data on business owners and employees in the cannabis industry. Employers with federal cannabis permits required under the legislation that violate certain federal labor laws could see their permits rescinded—a bold policy proposal that would make the marijuana industry uniquely labor friendly. The U.S. Department of Health and Human Services (HHS) would be required to work with the National Institutes of Health (NIH) on ways to promote research into cannabis impacts. There would be a specific requirement to study the diversity of marijuana products available for research purposes. The bill calls for an increase in the quantity of cannabis that’s available for study purposes. There would be targeted public education campaigns meant to deter youth consumption. States would also receive funding for initiatives to prevent youth use and impaired driving, which would include money for education and enforcement. The Department of Transportation would be responsible for developing a standard for THC-impaired driving within three years of the bill’s enactment that states would be required to adopt, unless the secretary finds the department is unable to set such a scientific standard. The National Highway Traffic Safety Administration (NHTSA) would be tasked with collecting data on impaired driving, producing educational materials on the issue for states to distribute and carry out education campaigns. Vaping delivery system products that contain added natural or artificial flavors would be banned under the proposal. Schumer said in a floor speech earlier on Wednesday that the CAOA is a “comprehensive and necessary update to the federal government’s approach to cannabis.” “I am proud to be the first majority leader ever to call for an end to the marijuana prohibition because I’ve seen both the consequences of outdated drug laws and the benefits of common sense cannabis regulation at the state level,” he said. “It’s time for Congress to follow suit.” While advocates support ending federal prohibition, some are withholding their endorsement from the bill unless it is revised to more effectively prevent corporate consolidation in the marijuana market. “CAOA represents a historic step towards comprehensive federal marijuana legalization and restorative justice. However, in its current form, we cannot endorse the bill,” Shaleen Title, founder and director of the Parabola Center, told Marijuana Moment. “It fails to adequately address the high risk of market consolidation that could harm small and POC-owned businesses, leaving a need for additional legislative and regulatory work going forward,” she said. “Without stronger guardrails, the bill would lead to monopolization by industries that have historically profited from addiction and opposed legalization. We appreciate the sponsors’ commitment to supporting workers and small businesses and remain ready to collaborate on equity-centered solutions as cannabis legalization moves forward.” The bill’s prospects of passage this year are slim. Democrats only hold a narrow majority in the Senate and would need GOP buy-in to advance it through the chamber. And it’s highly unlikely that the GOP-controlled House would take it up, especially under the leadership of anti-cannabis Speaker Mike Johnson (R-LA). Instead, most advocates and stakeholders are awaiting action on a bipartisan marijuana banking bill that cleared a Senate committee last September and is now awaiting floor action before potentially moving to the House. — Marijuana Moment is tracking more than 1,400 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments. Learn more about our marijuana bill tracker and become a supporter on Patreon to get access. — Schumer and other Democratic senators are “trying to recruit Republicans” to join them in the push for federal marijuana legalization, Senate Finance Committee Chairman Ron Wyden (D-OR) said at an event ahead of 4/20 last month. Schumer said in a separate Dear Colleague letter last month that he intends to pass the legislation to “safeguard cannabis banking” as part of a “busy agenda” that he hopes to achieve in the “weeks and months ahead,” though he again stressed the need for bipartisan cooperation. He also recently asked people to show their support for the SAFER Banking Act by signing a petition as he steps up his push for the legislation. A poll released in March by the American Bankers Association (ABA) shows that roughly three out of five Americans support allowing marijuana industry access to the banking system. Rep. Nancy Mace (R-SC), who also sits on that committee, said last month that that “if Republicans want to keep the House,” they should pass the marijuana banking bill, arguing that “there are votes” to approve it. Schumer told Marijuana Moment in March that the bill remains a “very high priority” for the Senate, and members are having “very productive” bicameral talks to reach a final agreement. Sen. Jacky Rosen (D-NV) introduced a bill last month to create federal incentives for states, localities and Indian tribes that expunge low-level marijuana records—an equity-focused reform proposal Schumer has repeatedly discussed attaching to the SAFER Banking Act. Senate Banking Committee Chairman Sherrod Brown (D-OH) also said recently that passing the SAFER Banking Act off the floor is a “high priority.” However, he also recently said in a separate interview that advancing the legislation is complicated by current House dynamics. Meanwhile, a top Democratic House member also reintroduced legislation last year to federally legalize, tax and regulate marijuana, with provisions to expunge prior cannabis convictions. The Congressional Progressive Caucus (CPC) recently unveiled a legislative agenda that includes marijuana legalization and expungements among a list of priorities that members say Democrats “can pass with congressional majorities” if they keep the Senate and retake the House in the November elections. Read the full text of the federal cannabis legalization bill below: DeSantis Will Be ‘Getting Involved’ In Effort To Defeat Marijuana Measure On Florida Ballot The post Watch Live: Schumer And Other Democratic Senators File Bill To Federally Legalize Marijuana appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

“Schedule III will not lift all barriers to research, but it may contribute to the advancement of urgently needed research, which should be prioritized and vigorously pursued.” By Shawn Hauser, Vicente LLP The Drug Enforcement Administration’s (DEA) decision to reschedule cannabis represents a historic and critically important shift in U.S. drug policy. By moving cannabis from Schedule I to Schedule III of the federal Controlled Substances Act, the U.S. government is finally (and officially) recognizing the efficacy and safety of cannabis for medical use. There are valid and important reasons why Schedule III is not the most appropriate classification for cannabis. It does not achieve imminently needed criminal justice reforms; state-regulated cannabis activities remain federally illegal; and some barriers to research and effective regulation remain. A strong case can be made that cannabis, like alcohol, should not be included in the drug schedules. There are also reasons to believe that “descheduling” was not in the realm of possibility in this administrative process and that rescheduling will hasten the route to that goal. Rather than debating what the federal government could have or should have done, let’s take a closer look at what it is doing and why it matters. Specifically, let’s look at its implications for medical patients and the enduring impacts that will come from the federal government officially acknowledging cannabis’s medical value. Legitimacy in the Medical Community Despite evidence of medical cannabis use dating back thousands of years, a growing body of promising research and doctors recommending medical cannabis in 38 states where it is legal under state law, cannabis has spent the last 50 years on Schedule I—which is reserved for substances with “no currently accepted medical use and a high potential for abuse.” Recognition of cannabis’s medical benefits has grown considerably in recent years, but it remains less accepted and less understood than many other medications and treatments. The endocannabinoid system is not typically included in American medical school curriculums, despite being the largest neurotransmitter system in the body, with critical importance to its function. A lot of physicians will not recommend medical cannabis because they fear legal or professional repercussions, including many in states with medical cannabis programs. Even when doctors do recognize cannabis as a potentially valuable treatment, most are not equipped to fully utilize it. In Schedule III, cannabis is deemed to have an accepted medical use in treatment and relatively low potential for abuse. This legitimization could be transformative for the medical community and its role in advancing medical cannabis, inviting engagement and shifts in public opinion by doctors, universities and medical institutions. Paired with some loosened requirements for research and the potential for additional capital (which are discussed further below), this should result in more studies on product formulations, dosage and modes of administration. It may also reduce stigma and alleviate physicians’ concerns about recommending it or learning about its benefits. To be clear, Schedule III does not allow cannabis to be dispensed at neighborhood pharmacies and sold through interstate commerce, as these avenues are limited to Food and Drug Administration (FDA)-approved drugs. To date, FDA has approved only one cannabis-derived drug (Epidiolex), along with three synthetic cannabinoid-based drugs for specific conditions. Cannabis sold in state-legal dispensaries will remain in clear violation of federal law. For over a decade, however, DEA and FDA have not interfered with state cannabis programs, which is a testament to the relative safety of marijuana when it is regulated responsibly. Opportunities for Research and a New Standard for Medical Use in Treatment Marijuana’s Schedule I status and unreasonable DEA policies that stemmed from it made it nearly impossible (by design) to conduct the standard of research that proves the medical efficacy and safety of cannabis. For decades, DEA has denied petitions and ignored mountains of compelling evidence, often citing the lack of scientific evidence that it was overtly blocking. President Biden’s strong directive to expeditiously review the scheduling of cannabis provided the force necessary to spark a review by HHS and DEA that applied more reasonable standards when considering whether cannabis has accepted medical use. Remarkably, they considered state data in determining whether cannabis has accepted medical use. This evolved standard also holds promise for the development of cannabis-based medicines. Rates of innovation and consumer demand in both pharmaceutical and more raw forms of cannabis indicate a place and need for both. A “regulate cannabis like alcohol model,” preserving the FDA drug pathway while providing a framework for adult-use products (as proposed in the STATES 2.0 Act), would support this. Existing research indicates cannabis holds tremendous promise for a wide range of medical and therapeutic uses, including pain and opiate use disorders, which have reached epidemic levels in recent years. Yet clinical trials are limited in comparison to other treatments. Schedule III will not lift all barriers to research, but it may contribute to the advancement of urgently needed research, which should be prioritized and vigorously pursued. Momentum Toward Ending Prohibition Given marijuana’s relatively low potential for abuse, Schedule III is likely the best outcome that could have resulted from this historic administrative reclassification process. Rather than thinking of it as not going far enough, it should be viewed as a significant shift for medicine and a key stepping stone to the ultimate solution of descheduling, which is required to achieve criminal justice reform, social equity and a regulatory model appropriate for cannabis. The removal of cannabis from the purview of 280E and likelihood to attract investors will free up industry capital that is needed to fund research and further reform efforts to achieve this. By establishing the legitimacy of cannabis as medicine and more materially engaging the industry and medical community, we can more effectively persuade and influence legislators and leaders across the political spectrum. Rescheduling to Schedule III is neither the perfect nor final solution. It does, however, finally and officially recognize the medical efficacy of cannabis, which has dramatic and long-term societal impacts for medicine, patients and the industry. Shawn Hauser is a partner at Vicente LLP, where she co-chairs the firm’s Hemp and Cannabinoids Department and serves as a leading member of the firm’s psychedelics and emerging therapies practice. Senator Attacks Marijuana Banking Bill At Hearing On Chinese Money Laundering Photo courtesy of Carlos Gracia. The post Rescheduling Cannabis Shifts The Paradigm By Finally Recognizing Its Medical Value (Op-Ed) appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

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“The lack of knowledge, control, agency or decision-making demonstrated by the individual used to meet eligibility does not meet even the most liberal understanding of owning and operating a business.” By Rebecca Rivas, Missouri Independent Two Missouri social-equity licensees connected to a Michigan company that used Craigslist to recruit applicants have appealed the state’s decision to revoke their dispensary licenses. The Michigan company, Canna Zoned, was behind two of the 16 microbusiness dispensary licenses issued by lottery in October—Frankenstein Enemy LLC in Columbia and Seashore Rhythm LLC in Arnold. Both licenses were revoked on March 27. Their appeals will be argued before the Administrative Hearing Commission on September 26. Missouri’s microbusiness license program is meant to boost opportunities in the industry for businesses in disadvantaged communities, and it was part of the constitutional amendment to legalize recreational marijuana that voters passed in 2022. The program is designed to provide a path to larger facility ownership for individuals who might not otherwise easily access that opportunity, such as having a net worth of less than $250,000 or veterans with a service-connected disability. The microbusiness license must always be majority owned and operated by individuals who meet these eligibility criteria. According to the revocation notices for the Canna Zoned-backed licensees, cannabis regulators were unable to verify the licenses would be owned and operated by eligible individuals. Canna Zoned’s owner, Jeffrey Yatooma, was listed as the “designated contact” for the two licenses, and the purported owners of the licenses told the state they did not know who Yatooma was, according to the notices. “While owning and operating a license may include contracting for management services or consulting services, the lack of knowledge, control, agency or decision-making demonstrated by the individual used to meet eligibility does not meet even the most liberal understanding of owning and operating a business,” the letter from Missouri regulators states. Illinois resident Aric Rybacki is listed as the owner of Seashore Rhythm, and he told The Independent he had no comment in a phone conversation Monday. Curtis Floyd, owner of Frankenstein Enemy, did not respond to a request for comment. State records show Yatooma was listed as the designated contact on 104 out of the 1,048 applications that were entered into a lottery selection for the dispensary licenses. An investigation by The Independent in October found applicants said that they thought they were partnering with the Michigan investor but had signed agreements requiring them to relinquish all control and profits of the business. The Independent obtained an agreement between a Missouri social-equity applicant who did not win a license and Canna Zoned. It stated that he must appear to have 100 percent ownership interest on the application but wouldn’t get revenue or profits from the business. After the business passed through all the state and municipal approvals, the contract stated the applicant would be required to sell his share of the business for $1 to the group or be held in breach of contract. Frankenstein Enemy’s attorney, Nadeem Harfouch, did not deny that the agreement described in The Independent article existed, in a January 12 letter sent to the Division of Cannabis Regulation that was included as part of the appeal documents. And Harfouch acknowledged that such an agreement wouldn’t be legally enforceable. “Even if the ‘agreement’ described in the news articles exists between licensee and the eligible owners, such an ‘agreement’ would not meet the requirements for transfer of ownership stated in the regulations and would be of no effect,” the January letter states. Harfouch states that The Independent’s October 26 article quoted people who weren’t the license winners and their comments “have no bearing on the application that was submitted.” The letter also accused state regulators of “cowering” to the press. “The department is bowing to public pressure to revoke licensee’s license for arbitrary reasons completely disconnected from the statutory requirements,” it states. Another company that used the strategy of flooding Missouri’s lottery with applications was an Arizona-based consulting firm called Cannabis Business Advisors. It was connected to more than 400 dispensary applicants, including six winners. All six of the group’s licenses were revoked. According to the Division of Cannabis Regulation, the “purported majority owners” of the eight revoked licenses lacked knowledge of agreements or operations of the license—and in some cases did not know the person who applied for the license on their behalf. The Arizona group has submitted appeals for all six licenses, said Sara Gullickson, founder and CEO of the consulting firm. The cases are not yet available on the Administrative Hearing Commission portal. Gullickson told The Independent last month that the state decision was “severely unjust.” The revocations, she said, “irreparably penalized the qualified social equity applicants who were awarded the life-changing opportunity to become successful cannabis entrepreneurs and provide generational wealth for their families.” This story was first published by Missouri Independent. DEA, FDA And Other Agencies To Discuss Marijuana’s Potential To Treat Pain At Upcoming Federal Research Meeting Photo courtesy of Mike Latimer. The post Companies Appeal Missouri’s Revocation Of Social Equity Marijuana Licenses Tied To Out-Of-State Firms appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

During a congressional hearing on Chinese money laundering and “cleaning cartel cash” on Tuesday—a meeting that focused mostly on the topic of fentanyl—Sen. Chuck Grassley (R-IA) spoke out against a congressional bill that would ease access to banking services for state-legal marijuana businesses, pointing to a deadly 2022 shooting at a cannabis facility that involved people who “were all from China,” the senator said. Grassley showed members of the Senate Caucus on International Narcotics Control a video of law enforcement responding to the incident, which occurred at what he described as a “fraudulently registered medical marijuana farm in Kingfisher County, Oklahoma.” The shooter, Chen Wu, was convicted and sentenced to life in prison in February. “Inside, four workers were packaging marijuana, supervised by their boss who, like Wu, they were all from China,” Grassley said. “Wu waved a nine-millimeter pistol as he entered the garage and demanded back pay. He fired a warning shot into his boss’s knee and told the group they had a half an hour to pay him. If they didn’t, he’d kill then all. And that’s exactly what Wu did.” Grassley pointed to the event as “a troubling example that should caution Congress to consider carefully legislative proposals easing money laundering laws.” He also said it “wasn’t an isolated occurrence,” noting that police have shut down “more than 800 marijuana farms in the last two years for operating illegally.” “According to Oklahoma law enforcement, 2,000 of the 3,000 licensed marijuana farms flagged for suspicious activity over the last year had a Chinese connection,” he continued, “providing funding, labor or both.” Grassley’s argument at the hearing was that marijuana banking reform, most notably the Secure and Fair Enforcement Regulation (SAFER) Banking Act, could enable Chinese money laundering by fraudulent businesses operating under he auspices of state legalization. “There’s been a lot of debate about whether state-sanctioned marijuana businesses should be able to access the U.S. banking system,” he said. “The proposal on the table assumes that state [and] local regulations will hold back organized crime. The Kingfisher County murders show us that that assumption is just plain wrong.” “If this legislation passes, Chinese money laundering organizations will have an additional avenue for cleaning dirty money,” the senator told colleagues. “They can simply hand it off to Chinese criminal organizations fraudulently running state sanctioned marijuana farms, for introduction into the U.S. banking system.” Later in the hearing, Grassley asked William Kimbell, chief of operations for the Drug Enforcement Administration (DEA) about the sufficiency of state cannabis regulations. “Given history like I just stated,” he said, “does this fact that a state—any state—licensed a marijuana farm mean that the farm isn’t generating illegal proceeds?” Kimbell responded that DEA has identified 23 states where “Chinese organizations have taken over the cultivation of marijuana. Some of those are legitimate, some of those are illegitimate.” “The vast majority that we find and working with our state and local counterparts are illegitimate,” he continued. “The people working in those facilities and cultivating for those facilities are controlled and work at the behest of Chinese money laundering organizations or growers’ organizations.” “We found this is a significant problem,” he added, “and it goes from California all the way across the country and to the Northeast, and it’s becoming a serious challenge.” Sen. John Cornyn (R-TX) said after Grassley’s comments that “according to news reports in 2021, 80 percent of the marijuana sold in California originated in illegal grows.” “Can anybody explain to me why, when states have presumably legalized some aspect of the marijuana trade, some medical marijuana and others recreational, why 80 percent of the marijuana sold in California…originated in illegal grows?” he asked. “I think with any business, there’s the ability to break the law with that business,” answered Kimbell, DEA’s operations chief. “By selling marijuana illegally through the black market, they’re able to skirt tax laws and they’re able to do a multitude of different things by not following regulations.” “So by presumably legalizing, at least at the state level, if not at the federal level, of marijuana trade, it hasn’t eliminated the illegal activities of growers, distributors and users, right?” Cornyn questioned. “Correct,” Kimbell replied. Grassley’s and Cornyn’s criticisms of state-legal marijuana markets and the pending banking legislation come on the heels of similar pushback from Senate Minority Leader Mitch McConnell (R-KY), whose office recently told Marijuana Moment that the lawmaker “continues to oppose marijuana banking.” Across the aisle, Senate Majority Leader Chuck Schumer (D-NY) said Tuesday, in the aftermath of a DEA marijuana rescheduling decision he called “historic,” that he remains “strongly committed” to passing marijuana banking and legalization bills. “It is great news that DEA is finally recognizing that restrictive and draconian cannabis laws need to change to catch up to what science and the majority of Americans have said loud and clear,” the majority leader said. “While this rescheduling announcement is a historic step forward, I remain strongly committed to continuing to work on legislation like the SAFER Banking Act as well as the Cannabis Administration and Opportunity Act, which federally deschedules cannabis by removing it from the Controlled Substances Act.” The SAFER Banking Act already already moved through the Senate Banking Committee last September. The legalization bill, meanwhile, is expected to be reintroduced on Wednesday, after Schumer and other prime sponsors solicited support from colleagues, with a sign-on deadline passing last week. How news of DEA’s rescheduling decision affects the prospects of advancing other cannabis legislation is yet to be seen. The SAFER Banking Act already enjoys bipartisan support, though sources have said Republican leadership—principally McConnell—has posed an obstacles to pushing it forward as part of an unrelated aviation bill alongside cryptocurrency regulations legislation. Rep. Nancy Mace (R-SC) said during an interview with The Dales Report on Tuesday that DEA’s possible reclassification of cannabis is something she’s “going to be looking at” in terms of how it affects the SAFER Banking Act, as well as her own separate legalization bill. “How does this affect things moving forward?” she asked. “What’s the next goalpost?” Schumer Says DEA Marijuana Rescheduling Decision Is ‘Historic,’ But He Remains ‘Strongly Committed’ To Passing Banking And Legalization Bills Photo courtesy of Chris Wallis // Side Pocket Images. The post Senator Attacks Marijuana Banking Bill At Hearing On Chinese Money Laundering appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

Top Ohio Republican lawmakers say plans are still in the works to amend the state’s marijuana legalization law, with the Senate president setting a June target as regulators work to develop rules and launch an adult-use market. It remains unclear what that future cannabis legislation will look like, but leadership has discussed addressing issues such as tax revenue distribution, scaling back home cultivation rules and restricting public smoking. “I am—I would not say optimistic—but I am reasonably hopeful, if you need words, that we can get something done by June,” Senate President Matt Huffman (R), whose chamber has already passed legislation to amend the voter-approved legalization policy, told WCMH-TV. “With greater access to marijuana, there will be more visits to poison control centers,” he said, adding that it’s “really important” that lawmakers allocate tax dollars to those centers as part of any amendment package. The senator additionally said he thinks “what’s most pressing is people smoking marijuana when they’re walking down the street.” Gov. Mike DeWine (R) has previously pressed the legislature to enact changes to expedite recreational marijuana sales, despite his personal opposition to the ballot initiative that voters passed in November. But he’s indicated that his more immediate concern is regulating the sale of intoxicating hemp-derived cannabinoids such as delta-8 THC. “This is time for the legislature to move,” the governor, who also raised the issue during his State of the State address earlier this month, said. “We can’t do it ourselves.” He also said he’s “not going to get into that” when asked about disagreements within Republican leadership with respect to revising the state’s marijuana law. House Speaker Jason Stephens (R), who has been reluctant to join the Senate’s push to change the cannabis law that voters approved, said the prospect of passing such legislation “depends on what it looks like.” “A lot of members have certain things that they think are important, others don’t think they are as important,” he said. “It’s about building a consensus.” The speaker added that while he believes it’s critical for the legislature to determine how to most effectively distribute marijuana tax revenue, they need to first get a clearer sense of how much the state stands to generate when the legal market opens. “There’s estimates,” he said. “But we’ve seen estimates before whether it’s gambling or other revenue services that were going to be X and turned out they would be Y.” “What is the exact amount of taxes? What does that add up to? How does that compare? How much flexibility do local communities have,” Stephens said. “As we go into the future there will continually be changes and tweaks to recreational marijuana in Ohio.” Huffman, the Senate president, said that “most reasonable people, including people in the industry, believe that it would be better to have it clarified in law.” — Marijuana Moment is tracking more than 1,400 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments. Learn more about our marijuana bill tracker and become a supporter on Patreon to get access. — The Senate did pass an amendment package just prior to legalization taking effect in December, but the House has not taken it up, nor has it moved to advance a different proposal that originate in the House. While regulators have until September to start issuing cannabis business licenses, a GOP lawmaker who chairs a rulemaking committee said this month that sales could launch as soon as June under a regulatory plan that his panel set to approve. Regulators already implemented a change last month that allows medical marijuana patients and caregivers to obtain or renew their registrations for only one penny. The fee elimination is part of an initial package of rules that DCC released in February to implement adult-use legalization. Following voter approval of legalization at the ballot, the Department of Commerce was quick to publish an FAQ guide for residents to learn about the new law and timeline for implementation. DEA, FDA And Other Agencies To Discuss Marijuana’s Potential To Treat Pain At Upcoming Federal Research Meeting The post Top Ohio GOP Lawmakers Struggle To Reach Consensus On Bill To Amend Marijuana Legalization Law appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

Schumer on SAFER Banking; DEA & FDA at marijuana meeting; FL gov trashes ballot measure; NC medical cannabis deal; NH legalization Subscribe to receive Marijuana Moment’s newsletter in your inbox every weekday morning. It’s the best way to make sure you know which cannabis stories are shaping the day. Get our daily newsletter. Email address: Leave this field empty if you're human: Your support makes Marijuana Moment possible… Hold on, just one second before you read today’s news. Have you thought about giving some financial support to Marijuana Moment? If so, today would be a great day to contribute. We’re planning our reporting for the coming months and it would really help to know what kind of support we can count on. Check us out on Patreon and sign up to give $25/month today: https://www.patreon.com/marijuanamoment / TOP THINGS TO KNOW The Drug Enforcement Administration has agreed to move marijuana to Schedule III—a historic reform in line with a recommendation from health officials who determined that cannabis has medical value. The federal decision to reschedule marijuana is receiving diverse reactions from across the spectrum—from praise for finally recognizing cannabis’s medical benefits to condemnation that it will not fulfill President Joe Biden’s campaign pledge to decriminalize. Senate Majority Leader Chuck Schumer (D-NY) said that while the federal marijuana rescheduling decision is a “historic step forward,” he remains “strongly committed” to advancing cannabis banking and broader legalization legislation this session. Officials with the Drug Enforcement Administration, Food and Drug Administration and other federal agencies will participate in a June meeting focused on the potential of cannabinoids and terpenes in marijuana to treat pain. Florida Gov. Ron DeSantis (R) said he will be “getting involved” in the effort to defeat the marijuana legalization initiative on the November ballot, arguing that people won’t “be able to take your family out to dinner” without smelling cannabis. North Carolina’s Senate president pro tempore is floating a proposal to pass a medical cannabis legalization bill by combining it with a measure to regulate intoxicating hemp products. But a Democratic senator also wants broader marijuana decriminalization provisions attached. New Hampshire Republican gubernatorial candidate Kelly Ayotte said she would not support legalizing marijuana if elected. “I don’t think this helps advance…our quality of life,” the former U.S. senator and state attorney general said. Virginia lawmakers and marijuana reform activists say Gov. Glenn Youngkin’s (R) veto of a bill to legalize recreational sales will fuel the state’s existing unregulated market for cannabis products. / FEDERAL Rep. Ayanna Pressley (D-MA) tweeted, “The power of clemency is immeasurable. TY @POTUS & @VP for taking this action to address the harmful legacy of the War on Drugs. We must use clemency every chance we get to end mass incarceration & set our communities on a path to healing.” The House bill to seal marijuana conviction records got two new cosponsors for a total of 11. The House bill to encourage the Department of Veterans Affairs to study medical cannabis got one new cosponsor for a total of nine. / STATES Michigan regulators posted a guide about how to file a complaint against a marijuana business. Washington State regulators posted a streamlined version of a proposed marijuana social equity business scoring rubric. California regulators announced a martijuana product recall due to inaccurate labeling. Washington, D.C. regulators reported continued growth in the city’s medical cannabis patient registry even as sales decline. Ohio regulators posted updated medical cannabis patient and caregiver numbers. The Tennessee Medical Cannabis Commission will meet on Friday. The Oregon Psilocybin Advisory Board will meet on Friday. Nevada regulators plan to consider changes to marijuana packaging and advertising, possession and purchase limits, annual agent card costs and wholesale distribution rules on May 17. — Marijuana Moment is tracking more than 1,400 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments. Learn more about our marijuana bill tracker and become a supporter on Patreon to get access. — / LOCAL A Wilmington, Delaware mayoral candidate is criticizing Gov. John Carney (D), who is also running for the position, for his reluctance to embrace marijuana legalization. / INTERNATIONAL A shakeup of Thailand’s cabinet could have implications for cannabis reform. / SCIENCE & HEALTH A study concluded that “cannabis use may benefit some adults who are reducing their opioid or stimulant use, especially during early recovery.” A review concluded that “early evidence suggests that psilocybin therapy is well-tolerated in individuals with” anorexia nervosa. / ADVOCACY, OPINION & ANALYSIS The National Consumers League published a report on the market size, popularity and growth trajectories of high THC potency products. / BUSINESS Acreage Holdings, Inc. reported quarterly consolidated revenue of $52.8 million and a net loss of $35.7 million. RIV Capital Inc. reported quarterly net revenue of $2.1 million and a net loss of $47.3 million. KPMG is ending services to cannabis businesses, citing “elevated risk.” Make sure to subscribe to get Marijuana Moment’s daily dispatch in your inbox. Get our daily newsletter. Email address: Leave this field empty if you're human: Photo courtesy of Chris Wallis // Side Pocket Images. The post DEA agrees to reschedule cannabis (Newsletter: May 1, 2024) appeared first on Marijuana Moment. View the live link on MarijuanaMoment.net

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