After months of silence and bureaucratic stalling, the DEA finally has a new boss: Terrance Cole, confirmed by the Senate earlier this week.

That might not sound like major weed news since it’s the DEA and all, but it is. The federal effort to reschedule cannabis — perhaps the biggest shift in US drug policy in over half a century — now flows directly through him.

Let’s break it down: Cannabis is still a Schedule I substance under federal law, the same category as heroin and LSD, meaning the government officially considers it to have no medical value and a high potential for abuse. Yes, even in 2025, after nearly half of the U.S. states have legalized cannabis for adults to buy and consume.

Rescheduling to Schedule III, alongside Tylenol with codeine and anabolic steroids, wouldn’t legalize cannabis outright. But it would mark the biggest federal policy shift since the Nixon Administration launched the War on Drugs in 1970.

Cole told lawmakers prior to his confirmation that advancing the rescheduling process, initiated by the Biden Administration but since stalled under President Trump, is one of his top priorities.

That’s the good news.

The not-so-good? He has a long track record of anti-cannabis statements and refused to give direct answers about what outcome he wants for the process. He’s playing it close to the chest.

Then came a twist: Just one day after Cole’s confirmation, the DEA’s administrative law judge overseeing the rescheduling process, John Mulrooney, announced his retirement. In a letter, he said all matters now go straight to the DEA Administrator. That’s Cole.

The cannabis industry is cautiously spinning Cole’s appointment as a win. That’s mostly because it’s been starving for any federal progress. Hearings were supposed to begin in January but quickly got bogged down by procedural fights, witness disputes, and a general lack of urgency.

So now, he has two choices:

• Finalize the rescheduling recommendation and jam it through himself — unlikely, but possible.
• Appoint a new judge and restart hearings from scratch. That would mean more delays and more dysfunction. More on that below.

If rescheduling happens, the implications are massive, especially for cannabis businesses.

The biggest shift? Eliminating IRS Code 280E, a tax rule that bars cannabis operators from deducting normal expenses like payroll, rent, and office supplies. That rule has gutted balance sheets and pushed even profitable companies into the red.

Rescheduling could also unlock access to banking, ease mergers and acquisitions, and possibly even allow U.S. cannabis firms to list on major stock exchanges — though it’s unclear if Nasdaq or NYSE would permit that under Schedule III.

For social equity operators, it could be a lifeline. States like New York and Illinois established these licensing programs to give entrepreneurs harmed by the War on Drugs a first crack at the newly legal market. But the lack of federal reform and banking access has left many undercapitalized, buried in debt, and unable to open. New investment and lower capital costs could give them some breathing room.

But here’s the rub: Many grassroots advocates worry Schedule III could cement the dominance of deep-pocketed multistate operators like Curaleaf and Green Thumb Industries that cultivate and sell cannabis in multiple states. These companies already have the compliance teams, legal firepower, and capital to navigate federal ambiguity — and now, potentially, tax relief too.

Rescheduling doesn’t legalize cannabis. It doesn’t expunge records. And it technically wouldn’t stop federal agencies from hassling state-legal operators if they wanted to. It just makes the math easier — for the businesses that are already surviving.

Trump has political reasons to move on cannabis reform. He backed rescheduling during the campaign — meaning it would be a fulfilled campaign promise — and it could distract from Epstein file fallout and DOJ scandals. More importantly, he’s hemorrhaging Gen Z support, and they overwhelmingly back cannabis reform.

It also gives Trump a way to split the difference in his big-tent party. It’s not full legalization (which could trigger backlash from the religious Ron DeSantis/Mike Johnson wing), but it is a policy win that helps small American businesses, plays well with young voters, and looks like reform and a broadly popular issue without going all the way.

It’s a politically useful half-measure. But in this administration, it might be the best we get. Now that Judge Mulrooney’s out, the ball is squarely in Cole’s court.

Will he push it through? Or slow-walk it into oblivion? The industry’s watching. Closely.

Editor’s note: Check out more of Jeremy’s work over at Cultivated — one of our favorite sources for smart, nuanced cannabis coverage.

Photo by Thom Milkovic on Unsplash

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As debates over cannabis reform continue across the globe, Uruguay remains the only country with more than a decade of real-world data on full adult-use legalization. That milestone took on new significance this year with the death of José “Pepe” Mujica, the former president who championed the world’s first national legalization framework.

Mujica’s law, passed in 2013, was never about profit. It aimed to dismantle hypocrisy, protect public health and reduce the harms of prohibition. Today, his vision lives on through Uruguay’s cannabis system, which continues to evolve and offer insights to countries still grappling with reform.

At C-Days 2025, a global cannabis and psychedelics summit held in Barcelona, Mercedes Ponce de León, founder of Latinnabis and director of Expo Cannabis Uruguay, presented a data-driven update on Uruguay’s cannabis model: what has worked, where challenges remain and what the world can learn from it.

Three Legal Channels, Over 100,000 Registered Consumers

Uruguay’s adult-use system allows for three legal pathways to access cannabis:

• Home grow: Up to six flowering female plants and 480 grams per year
• Cannabis clubs: Non-profit associations of 15 to 45 members, with up to 99 plants and a 40-gram monthly cap per person
• Pharmacies: Up to 10 grams per week, sold in 5-gram packs, with four THC-limited strains authorized (up to 20% THC)

As of early 2025, 102,125 users were officially registered through these channels:

• 11,465 home growers
• 15,162 cannabis club members
• 75,498 pharmacy purchasers

The country has over 460 licensed clubs and 40 pharmacies participating in the program.

What’s Available and at What Cost?

Pharmacies remain the most common access point, offering four strains with distinct THC and CBD profiles. Cannabis is sold in sealed 5-gram packs, with prices set by the government:

Despite widespread access, restrictions on potency, product format and availability continue to limit impact and consumer satisfaction, Ponce de León noted.

Is It Working?

Yes, but not without caveats. According to official data presented at C-Days:

• Problematic cannabis use has remained stable at 2.1% since 2011
• Overall cannabis consumption declined from 14.6% in 2018 to 12.3% in 2024
• Average age of first use rose from 18 to 20 years old
• The illicit market has shrunk significantly

Uruguay’s 2024 National Drug Survey showed that 37% of cannabis users now access the plant through legal means.

What Still Needs Work?

Despite positive public health outcomes, the model faces persistent challenges:

• Limited product variety and innovation
• Uneven geographic access, especially outside major cities
• Logistical and financial barriers to exports
• A broader drug policy framework that remains punitive in other areas

Ponce de León outlined four priorities for 2025 and beyond:

1. Foster stronger public-private collaboration
2. Invest in research and development
3. Update regulations to expand legal access and improve user experience
4. Integrate Uruguay into global markets through ethical and sustainable trade

What’s Next?

Uruguay did what many countries are still debating. It built a legal cannabis system that reduces harm, shrinks the illicit market and respects consumer rights. The outcomes are measurable. So are the gaps.

In Ponce de León’s words:

“The positive impact is proven. But if the framework isn’t updated, if access doesn’t expand and innovation isn’t guaranteed, the model risks becoming symbolic rather than functional.”

As the world reflects on the legacy of José “Pepe” Mujica, Uruguay’s cannabis experiment remains part of his lasting imprint on history. The road ahead will determine whether that legacy deepens or stalls.

Via El Planteo

Photo by Jared Schwitzke on Unsplash.

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A company created by Cheech Marin and Tommy Chong—the iconic comedy duo known as Cheech and Chong—filed to hire a lobbyist in order to get involved with the lawmaking process in Sacramento, California. 

Marin, 79, and Chong, 86, are moving their interests into California politics as it impacts businesses they own. CBS News reports that Cheech and Chong’s Global Holdings Company recently registered with the California Secretary of State.

The company filed with the state of California on June 1 to register with Secretary of State Shirley M. Weber to hire a lobbyist. Cheech and Chong’s Global Holdings Company CEO Jonathan Black said the move is both about laws that impact hemp-derived product laws as well as laws that impact the cannabis industry in the state.

“The reason why we hired a lobbyist is because there’s a bill—Assembly Bill 2223—that’s on the floor right now that regards intoxicating hemp products,” Black tells High Times in a phone call. “We’ve had conversations with the CCIA [California Cannabis Industry Association]” Black said, describing the burdens of tax revenue that impacts hemp and cannabis, in comparison to other states like Illinois. AB 2223 would bring hemp-derived products into California’s state compliance system alongside cannabis products. 

The 2018 Farm Bill legalized hemp and hemp-derived products, however, interest in active compounds like delta-8 led states to implement laws to either crack down on them or regulate them like cannabis in an age-gated system like you’d see for wine.

“Ultimately we’ll continue to move the cannabis market in California forward,” he said, saying that they’re seeking an amendment that would provide wins for both the hemp and cannabis industries.

“We hired a lobbyist, Kirk Hale from Aaron Reed & Associates, who’s a fantastic lobbyist doing great things for a long time to come,” Black says. “Right now if you look, there’s about 1,000 dispensary licenses in the state of California that are active but you have [around 200] paying taxes on time,” he says.

Cheech and Chong’s Cannabis sells all types of terpene-based products ranging from concentrates to pre-rolls, gummies, and vapes. And they also sell hemp smokables.

The Wild West days of Prop. 215 in California are over in the aftermath of adult-use cannabis. Today,  regulations and taxes are so burdensome they are forcing many cannabis businesses to close.

One factor is the battle for hemp-derived products. In 2021, California Gov. Gavin Newsom signed Assembly Bill 45, establishing a comprehensive regulatory framework for the manufacture and sale of hemp-derived products in the state, including smokable hemp as well as hemp-infused food and drink sales. As an emergency statute, the bill goes into effect immediately.

It allowed hemp-derived products like pre-rolls to thrive, as well as edibles and drinks, however dozens of states are in the process of regulating hemp or banning certain compounds from products. Assembly Bill 45 explicitly allows the sale of hemp-derived extracts that comply with testing and labeling standards.

While CBD products are freely found in stores, they are considered “adulterated” under existing California law, which is defined under the Sherman Food, Drug, and Cosmetic Law. What AB-45 did is provide clarity for the hemp industry—more importantly, reassuring hemp consumers that products are independently tested and labeled properly.

There are many other bills moving through Sacramento that impact cannabis and hemp businesses including the companies linked to Cheech and Chong.

Marketing research firms BDSA Analytics and Headset both report that Michigan cannabis businesses sold more products than California’s industry. While California’s cannabis industry sales revenue remains a few billion higher than Michigan’s, cheaper prices in Michigan led to more units being sold in recent years. And it shouldn’t be happening for a state as large as California.

Cheech and Chong’s Cannabis Company Forms

Cheech and Chong’s company rebranded back in 2021. Eighth Icon Holdings announced in a press release that it changed its name to Cheech and Chong’s Cannabis Company, effective immediately. Consolidating the name with the comedy duo’s iconic brand aligns with the company’s mission.

The company formerly known as Eighth Icon produces Tommy Chong’s Cannabis and Cheech’s Stash wholesale flower brands in California—with plans to continue that momentum. Being in operation for less than a year, the company recently redirected its website to Cheech And Chong’s Cannabis.

“Our team is prepared for the challenge and committed to representing Cheech and Chong’s cannabis across the United States and around the world. This name change allows for clear representation of what our company is executing,” Black said.

The company is also behind other various projects in past years such as Cheech and Chong’s Takeout, as well as Cheech and Chong’s Dispensoria—providing delivery experiences. Cheech and Chong’s Dispensoria was developed by Eight Icon last year, and Cheech and Chong’s Takeout was developed amid a sudden need for more delivery options during the pandemic.

By the end of the month, Cheech and Chong Global Holdings is expected to file more paperwork with the state showing how much money they have spent and on exactly what issues in order to follow through with the plan.

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On June 12, the North Carolina House Judiciary Committee discussed House Bill 563, which would implement a new law banning the sale of hemp-derived consumables to anyone under 17 years of age (unless consent is offered by a parent or guardian).

One of the bill’s primary sponsors, Rep. Jeff McNeely, told the committee how his bill has progressed since he first introduced it. “When I started naively, I thought I just wanted to make sure that a 10-year-old kid can’t walk into a smoke shop and buy some of these products,” McNeely said. Now the bill spans 17 pages, with numerous inclusions to regulate hemp-derived products for youth. “Research is suggesting that around three-fourths of our youth are finding their way to marijuana by ways of these type products that are in smoke shops and convenience stores,” he added.

According to NC News Line, if passed the bill would require that both manufacturers and distributors would be required to apply for a state license in order to start selling by July 1. Lab testing would also be required under the bill. More restrictions would implement a ban on edibles that are shaped similarly to animals or cartoon characters. It would also require manufacturers to create child-proof packaging and a label with information about included ingredients and allergens. Additionally, a warning label would be required to inform the consumer that they shouldn’t drive or operate heavy machinery while consuming.

North Carolina Retail Merchants Association senior director, Elizabeth Robinson, expressed support on behalf of her association. “We appreciate the framework for legitimate businesses to continue to operate responsibly and at the same time regulate those bad actors that, as he said, unfortunately have some of these products getting in the hands of our youth,” Robinson said.

Recently, the bill was amended on June 12 as well, which would require that both public and charter schools write policies that ban both tobacco and hemp-derived consumables from being present on school campuses or any related events.

This bill has developed in part because of the rise in youth gaining access to psychoactive cannabis consumables. In December 2023, seven middle school kids were taken to the hospital due to consuming an infused rice krispy treat. Two other students were arrested for supplying THC-infused edibles along with psilocybin mushrooms, which was later confirmed to be a “planned” activity by the group of kids.

McNeely answered questions at the most recent hearing from other representatives such as Rep. Marcia Morey. “Are the penalties consistent with what it is for small amounts of marijuana?” Morey inquired.

“No ma’am, they’re really not,” McNeely said in response. “I kind of look at this product like non-alcoholic beer. If it’s made right, there’s really nothing there that’s criminal or wrong. It’s when it’s not made right that we have our issue.”

McNeely is pushing for the North Carolina Department of Agriculture to take up responsibility for proper testing. “Department of Ag says they don’t have the abilities, the time, the people to be able to do this,” McNeely said. “So, the only way I knew to rope this in for a smaller amount of money was to put harsh enforcement on the backside, hoping that the players in the game will play by the rules and clean up whatever it’s not doing right.”

Rep. David Willis also asked McNeely about how the testing process works and who would pay for it. Currently, the manufacturer of the cannabis product would test the products before it can be distributed. After that, it is the responsibility of the North Carolina Alcohol Law Enforcement (ALE).

McNeely added that the bill would give $500,000 to ALE in order to cover the testing costs. Willis also asked if there was a way to have the cannabis industry pay for that instead of taxpayers, which McNeely confirmed is a hopeful outcome. “We’re hoping that the industry will end up being able to fund these agents and the sampling, and all once this bill gets going,” McNeely explained. “But we had to have some start money to get it going.”

ALE will publish its first annual report to the General Assembly starting in January 2025, which will include “enforcement efforts,” according to NC News Line.

If passed, HB-563 would take effect starting in July 2024. “I understand that there’s stuff in the pipeline. We’re not asking anybody to go just rip everything off the shelf,” McNeely said. “We’re giving them time to do that.” The bill will be considered by the House Appropriations committee next.

While North Carolina legislators are working toward protecting children from hemp-derived consumables, the Eastern Band of Cherokee Indians (EBCI) recently opened the state’s first medical cannabis dispensary in April. Medical cannabis is currently not legalized in North Carolina otherwise, but EBCI now allows medical cannabis cardholders to purchase medical cannabis on tribal land.

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Police across the country continue to pull drivers over for one reason, then choose to search their vehicle for an entirely different reason—if it smells like pot. But it isn’t holding up in court as justification for probable cause. A Minnesota Supreme Court ruling, one of several ruling affirming the decision, suggests police in the state will be barred from citing cannabis odor alone as reason to search a vehicle. 

The 5-2 decision in State v. Torgerson rules that cannabis odor is insufficient to constitute probable cause for police officers to conduct a warrantless search of a vehicle. The 26-page opinion was written by Justice Anne McKeig and explained the reasons why odor cannot constitute probable cause.

In Litchfield, Minnesota in July, 2021, Adam Lloyd Torgerson was driving a car that had a light bar on its grill with more lights than are permitted under state law. A cop saw his car and determined that Torgerson might have an equipment violation. Police say the vehicle’s grill had more auxiliary driving lights than are permitted under Minnesota law under an obscure rule.

The officer pulled him over and said he smelled pot, asking Torgerson if there was any reason for the odor. Torgerson said there was not. A second officer arrived and was alerted about the smell. He agreed.

A subsequent search found meth and drug paraphernalia, and Torgerson was arrested and charged. While Torgerson happened to be in possession of meth and a pipe. The first officer searched the vehicle and found a film canister, three pipes, and a small plastic bag in the center console. The plastic bag contained a white powder and the film canister contained meth, which was confirmed in a field test. But the officers failed to gather enough probable cause in order to legally search the vehicle, a court ruled. 

Torgerson was with his wife and a child, so he was charged with possession of a meth pipe in the presence of a minor and fifth-degree possession of a controlled substance after the unwarranted search of Torgerson’s vehicle. High Times covered the case in September 2023.

Minnesota Supreme Court Ruling

McKeig ruled that police lacked sufficient probable cause.

“The Supreme Court affirmed the decision of the court of appeals affirming the judgment of the district court granting Defendant’s motion to suppress evidence found during a search of his vehicle, holding that the odor of marijuana emanating from a vehicle, alone, is insufficient to create the requisite probable cause to search a vehicle under the automobile exception to the warrant requirement,” McKeig’s opinion summary reads.

“After a traffic stop and subsequent search of his vehicle Defendant was convicted of possession of methamphetamine paraphernalia in the presence of a minor and fifth-degree possession of a controlled substance,” the opinion continues. “Defendant moved to suppress the evidence, arguing that the odor of marijuana, alone, is insufficient to create the requisite probable cause to search a vehicle under the automobile exception to the warrant requirement. The district court granted the motion and dismissed the complaint. The court of appeals affirmed. The Supreme Court affirmed, holding that evidence of medium-strength odor of marijuana, on its own, is insufficient to establish a fair probability that the search would yield evidence of criminally-illegal conduct or drug-related contraband.”

In an earlier ruling filed in the State of Minnesota Court of Appeals on Sept. 13, 2023, the Minnesota Supreme Court affirmed that cannabis odor does not constitute probable cause to search a vehicle.

MinnPost reports that  authorities are questioning whether odor can be used by police as justification to search vehicles and detain drivers.

Tom Gallagher is a cannabis advocate and a practicing defense attorney for 35 years. “It’s a recognition of a big change in marijuana law,” Gallagher told MinnPost. “In law school they talk about line-drawing, where do you draw the line type of problem? Now we know. We’ve drawn the line, finally.”

Similar cases impacted people in other states. An Illinois judge, for instance, ruled in 2021 that the odor of cannabis is not sufficient grounds for police to search a vehicle without a warrant during a traffic stop.

Daniel J. Dalton, Associate Judge of the 14th Judicial Circuit, issued a ruling in response to a motion to suppress evidence in the case of Vincent Molina, a medical cannabis patient arrested for cannabis possession last year.

In that case, Molina was arrested despite the decriminalization of small amounts of cannabis in Illinois in 2019 with the passage of the Illinois Cannabis Regulation and Tax Act. 

Torgenson’s case highlights the legal grounds in which police can search a vehicle simply based on if it smells like pot. The rulings represent the rights of citizens when they are pulled over by police, even if there are hard drugs involved.

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GOP lawmakers in the U.S. House of Representatives this week removed legislative provisions to protect banks that serve cannabis businesses from a federal funding bill after resistance from fellow Republicans. The legislation was removed from the financial services and general government bill that provides annual funding for the Treasury Department and federal payments for the District of Columbia and the Securities and Exchange Commission, as well as other federal agencies, according to a report from The Hill.

The cannabis banking provisions of the bill would have blocked federal funds from being used to “penalize a financial institution solely because the institution provides financial services” to businesses involved in the hemp and state-legal cannabis industries. The legislation was included in the Republicans’ initial draft version of one of the dozen annual funding bills GOP leaders hope to pass into law before election season heats up this fall.

GOP Representative Dave Joyce of Ohio, the co-chair of the Congressional Cannabis Caucus and the chair of the House subcommittee responsible for drafting the funding bill, said that the cannabis banking provisions were struck from the legislation after some of his fellow Republicans had “taken issue” with the measure.

“With over 40 states enacting some degree of cannabis reform, it is past time that the federal government respect the will of these states. This issue is especially pertinent as cannabis regulations have been proven to increase public safety and quality of life for Americans,” Joyce said at a subcommittee markup hearing for the legislation earlier this month, The Hill reported.

“My Financial Services and General Government bill included provisions to do just that and ensure states’ rights to make the best choices for their unique constituencies are protected,” the lawmaker added.

During the subcommittee markup hearing, North Carolina GOP Representative Chuck Edwards attacked the cannabis banking provisions of the funding bill, characterizing the legislation as “affirmative authorization disguised as a limitation” and noting that marijuana is still illegal under federal law.

“Our country has never allowed a federally illegal activity to be banked, and it’s important to note that, despite some states trying to legalize marijuana, still a Schedule I drug, marijuana is still illegal,” Edwards told his fellow lawmakers on the subcommittee. “And I believe that it should remain illegal. It’s dangerous, and more and more evidence is being found that it causes irreparable harm, particularly to younger minds.”

Cannabis Banking Legislation An Elusive Goal

Although the Biden administration has taken steps to reclassify cannabis under the Controlled Substances Act, the full legalization of recreational marijuana at the federal level is still seemingly years away. While Congress is still opposed to comprehensive legalization, many lawmakers, particularly from states that have legalized medical marijuana or adult-use cannabis, want to see federal banking restrictions on cannabis businesses eased. Under federal drug and money laundering laws, financial institutions are subjected to onerous federal restrictions on cannabis business accounts, making banking services for weed companies expensive or unattainable.

Legislation to ensure equal access to banking services for businesses in the cannabis industry, the Secure and Fair Enforcement (SAFE) Banking Act, has been passed in the House, either as standalone legislation or attached to another bill, more than half a dozen times. But so far, the Senate has failed to bring the legislation, including a revamped measure known as the Secure and Fair Enforcement Regulation (SAFER) Banking Act, up for a vote by the full chamber.

After the cannabis provisions were stricken from the funding bill, Joyce vowed to continue efforts to ease banking restrictions on marijuana businesses.

“While the provisions maintain strong bipartisan support, as Chairman, I will work to alleviate their concerns but will not delay my responsibility to fund the government and therefore my legislation in the meantime,” he said Thursday. “However, let me be clear, I will not abandon this effort in Congress and will continue to work with my colleagues in good faith to ensure they become law.”

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State lawmakers in Massachusetts say a bill to regulate intoxicating hemp products is unlikely to pass this year despite their insistence that regulations are needed. 

Massachusetts has legalized and regulated medical marijuana and adult-use cannabis, and both are tightly regulated under state law. Hemp products, however, are generally legal under federal law but unregulated at the state level. As a result, hemp products are widely available at retailers including gas stations, convenience stores and smoke shops throughout the Bay State without regulations governing their sale, including minimum age requirements.

On Tuesday, the state legislature’s Joint Committees on Agriculture and Cannabis Policy held an oversight hearing to consider proposals to regulate ingestible hemp products that contain THC. Democratic state Representative Paul Schmid, co-chair of the Agriculture Committee, decried the current regulatory environment for intoxicating hemp products at the end of the joint hearing.

“My goodness,” Schmid exclaimed, WBUR local news reported on Thursday. “We have a situation where intoxicating hemp products are being produced, probably from hemp that isn’t grown in Massachusetts, in labs that have no supervision, being put into packages that have no age requirements, and they’re competing with our lawful cannabis retailers. This is a heck of a situation.” 

The oversight hearing was held because of confusion in the state government about who is responsible for regulating hemp products and enforcing the regulations. At the hearing, state agencies including the Department of Public Health (DPH), the Massachusetts Department of Agricultural Resources (MDAR), and the Cannabis Control Commission offered input to lawmakers. 

Kimberly Roy, a member of the Cannabis Control Commission, said that hemp products the agency had tested by an independent lab often had 15 to 30 contaminants. She also said that licensed cannabis operators are being squeezed by competition from unregulated hemp products.

“Licensees who have in some cases spent a large portion of their personal savings and devoted their professional lives to building a compliant, regulated business are faced with the demoralizing site of intoxicating cannabinoid products being sold down the street with no regulation, no testing, and no protection for children,” said Roy.

DPH and MDAR maintained that unregulated intoxicating hemp products are illegal. Last month, the two agencies released guidance warning that it is illegal to sell edible hemp products outside of a regulated dispensary. But regulation is the responsibility of local health boards already strained by a shortage of resources.

“The current situation is untenable. The joint guidance is very welcome and it is going to assist in our ability to enforce, but it’s not a silver bullet,” said Cheryl Sbarra, the head of the Massachusetts Association of Health Boards. “We’re still going to see those [hemp] Skittles and gummies, and beverages out there. We really can’t respond in force as quickly as we need to or with the clarity that we need.”

After the hearing, lawmakers said legislation to regulate intoxicating hemp products is needed but unlikely to be ready before the current legislative session ends on July 31. Schmid said he expects the issue to be taken up again during the next session, which won’t be until next year.

“We hope that we can work with those who testified today to solve this issue, but we realize that a well-thought-out solution will require continued conversations into the next session and beyond,” Schmid said in a statement, according to a report from CommonWealth Beacon. “As was highlighted in the hearing, this is a matter that involves significant portions of local, state, and federal law, whose concerns must all be satisfied.”

Pete Gallagher, CEO and co-founder of Massachusetts-based medical and adult-use cannabis multistate operator Insa, applauded efforts to regulate intoxicating hemp products while criticizing the delay.

“We are encouraged that lawmakers are focused on the public health concerns related to intoxicating hemp, but we are discouraged by the pace of progress. Intoxicating hemp represents a significant public health threat and an existential risk to the regulated cannabis market,” Gallagher wrote in a statement emailed to High Times. “The regulated cannabis industry employs tens of thousands of people in Massachusetts and generates more than $200 million in tax revenue for Massachusetts. Without stronger, swifter action by legislators and regulators, the safety of the general public, Massachusetts cannabis workers, and cannabis tax revenue are at significant risk.”

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On Monday, Vermont Gov. Phil Scott signed several bills related to animal welfare, diversity in courts, and addiction recovery support, and allowed a cannabis bill to pass into law without signature. The bill is designed to improve regulations surrounding cannabis and hemp-derived products.

Scott also allowed H.612 to pass into law without his signature. The bill creates a series of changes to Vermont’s laws on cannabis, most notably, banning psychoactive hemp-derived products. Scott said there are pros and cons, and that the bill takes “some steps forward, and some steps back” in terms of regulations to keep products safe. 

Among the pros include a loophole related to hemp products that are infused with THC. The law “ensures individuals with significant, documented medical needs continue to have access to medical cannabis,” he wrote. It “makes progress toward safeguards” for people under 21 who want access to “more potent medical products,” and the bill is “responsive to municipal concerns regarding setbacks for outdoor cannabis cultivators.”

On the other hand, Scott wrote that he is concerned about “warnings from healthcare providers that the availability of high potency medical cannabis products in more retail stores will increase use among those who do not have a valid medical prescription.”

The bill will codify rules the Vermont Cannabis Control Board already adopted last year, limiting the sale of intoxicating hemp-derived products in the state and regulate them as cannabis products if they contain more than 0.3% of total THC. 

The Brattleboro Reformer reported last May that the bill cleared the Senate. “We finally got it down,” Cannabis Control Board Chairman James Pepper told the Reformer. “The Senate made some changes then the House concurred with the Senate.” 

H.612 passed “very late in the day Friday,” Pepper said at the time. The bill loosened up advertising restrictions slightly from earlier versions and added some working groups and more requirements regarding a patient-provider relationship for people under the age of 21. 

The bill provides a path for municipalities to establish preferred cultivation districts and have some power over where cannabis can be grown. It also creates several more changes. A medical use endorsement option will allow adult-use retailers to serve patients with the same authorizations as medical dispensaries such as curbside delivery pickup and tax-exempt sales to patients. On top of the $10,000 fee retailers pay for their license will be a $250 charge for the endorsement. 

Under the bill, retailers with a medical endorsement will be allowed to sell products that exceed potency caps to medical patients. Sales to medical patients will be exempt from taxes. 

Added to the list of conditions to qualify a person for the medical registry is ulcerative colitis. Renewal terms for patients will extend from one to three years. 

Fees for medical dispensaries would be cheaper, with applications costing $1,000 instead of $2,500, and the annual charge would go from $25,000 to $5,000. An initial $20,000 fee is eliminated by the bill. 

Geoffrey Pizzutillo, executive director of Vermont Growers Association, counted more than a dozen sections in the legislation. “We have yet to see the final version of the bill,” he said. “We have an idea of what’s in the bill.” 

“Though we didn’t manage to stop the cultivation districts, we feel like a compromise was arrived at,” he said of language on zoning. “There’s not going to be immediate setbacks. There’s going to be a working group. We’re part of the working group to assess the outdoor siting issue for next year’s General Assembly.” 

Local leaders also applauded its ban on hemp-derived psychoactive products like those containing delta-8 THC and similar compounds.

“Importantly, H.612 will ban synthetic hemp derived intoxicating products with psychoactive THC that are currently unregulated and appear in gas stations and convenience stores, taking advantage of a federal loophole,” Rep. Matthew Birong, D-Addison-3, said from the floor in March before the bill headed to the Senate. “Another major theme will be adopting the medical cannabis statutes to preserve access to products for patients, as the current model for medical dispensaries is becoming economically unviable alongside adult use retail cannabis stores.”

Current state law caps the THC percentage in smokable cannabis flower products at 30%—which is high but exceeded in certain varieties—and the amount of THC in solid or liquid concentrated cannabis at 60%. Vermont also imposes a 5 mg serving size/dose cap on edibles and 100 mg cap on entire packaged edibles. The edible dosages align with what you’d see in most other states.

The governor wrote that the bill’s pros outweigh the cons as he allowed it to pass into law.

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The Canadian government is proposing a series of amendments to federal cannabis regulations ranging from packaging to reporting requirements, all part of an effort to help ease the regulatory burden cannabis businesses in the country face. It would allow, among many other things, for producers to contain individual packages in bulk outer packaging.

CTV News reports that a raft of changes are expected as a push to fix several problems burdening cannabis producers remains a priority. Health Canada indicated that the amendments are expected to return about $41 million in annualized net benefits in terms of administrative and compliance cost savings. The amendments remove problematic regulations that make it more difficult to market cannabis. 

Changes to Canada’s Cannabis Act include an Order Amending Schedule 2 to the Cannabis Act, and a second Order Amending the Cannabis Tracking System Order (Cultivation Waste).

Changes to the Cannabis Act and Food and Drugs Act included Regulations Amending Certain Regulations Concerning Cannabis (Streamlining of Requirements).

“Health Canada recognizes that there may be regulatory measures that could be made more efficient and streamlined without compromising the public health and public safety objectives,” a representative of Health Canada said.

Proposed amendments including packaging changes, such as allowing the lids and containers of cannabis products to display different colors, allowing cut-out windows or transparent packaging, and allowing QR codes on packaging so buyers are able to find more information.

Producers would also be allowed to package multiple products together as long as the package is still under the 30-gram limit, and products inside also meet packaging requirements. The change would mean producers could sell higher quantities of edibles in one single, outer package.

Images or information on the packaging would still not be allowed, for the most part, but images would be exempt if other statutes require it, such as the recycling icon.

The changes mean that producers no longer have to provide paper copies of information sheets to retailers, wouldn’t have to submit a notice to the government on every new dried or fresh cannabis product they want to sell, and the sale and distribution of cannabis pollen would be allowed. Producers also wouldn’t be required to report annually on promotional efforts, and would no longer need to report on cultivation waste.

The changes aim to ease some of the problems the industry is grappling with. This includes bankruptcies and market consolidation following legalization in 2018.

The problems impacting the industry were identified earlier. Canada’s oversupply of cannabis led to $53.7 million unsold cannabis products last December.

A group organized by the federal government to study Canada’s cannabis laws earlier this year made 54 recommendations. The updates that range from packaging and labeling rule changes to a review of the excise taxes imposed on cannabis producers.

Cannabis Sales Impact Alcohol Sales in Canada

Cannabis and alcohol are highly regulated, and sales of the two impact one another.

A study conducted in Canada and recently published in the journal Drug and Alcohol Dependence shows that beer sales have declined since cannabis sales rolled out in the country in 2018. The study was conducted by researchers associated with the College Pharmacy at the University of Manitoba, School of Pharmacy at Memorial University of Newfoundland, Leslie Dan Faculty of Pharmacy at the University of Toronto.

The study, which was published last February, shows that beer sales in Canada have dropped significantly. “Canada-wide beer sales fell by 96 hectoliters per 100,000 population immediately after non-medical cannabis legalization and by 4 hectoliters per 100,000 population each month thereafter for an average monthly reduction of 136 hectoliters per 100,000 population post-legalization,” authors wrote. A hectoliter is a unit of measurement frequently used in reference to wine, beer, grain, or other agricultural goods, and is the total of 100 liters (1 liter is approximately 0.26 liquid gallons).

Researchers also explained that cannabis legalization did not impact spirit sales in the same way. Additionally, researchers believe that cannabis use could potentially lead to higher alcohol use in some people, specifically “those with greater sensation-seeking behaviors.” However, they also wrote that some consumers are substituting cannabis in the place of alcohol. 

Data on beer and spirits sales in Canada were compiled by Beer Canada and Spirits Canada. 

Beer Canada provided details about approximately 90% of total Canadian beer sales, while Spirits Canada showed sales in relation to whisky, rum, gin, tequila, liqueurs, and vodka but did not include ready-to-drink cocktails. Beer sales were reviewed between January 2012-February 2020, and spirits sales were examined between January 2016-February 2020.

The new proposed changes to Canada’s Cannabis Act and Food and Drugs Act could propel these sales even more if producers are better equipped to handle it. 

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The deadline for ballot initiatives to submit valid signatures is rapidly approaching, and the advocacy group Nebraska for Medical Marijuana (NMM) is requesting help from supporters to obtain the signatures for their initiative to pass.

NMM campaign manager Crista Eggers recently sent out an email asking for help on June 6. 

“There is no doubt we are farther ahead than in past petition drives, but still have a tremendous push to gather over 30,000 signatures on each petition over the next 27 days to assure we are successful,” Eggers said.

Eggers has spent numerous years advocating for medical cannabis legalization. Her son has suffered from epileptic seizures since he was two years old, and she saw the relief and benefits that medical cannabis offered to him in comparison to pharmaceutical medicines. “There is no doubt Nebraskans want to see this on the ballot, so we need them to step up and help make that happen,” Eggers said. “My personal ask, not as a campaign manager, but as a mother, is that people would react as if their child’s life depends on it and go sign; because for many of us, our child’s life really does depend on it.”

By July 3, NMM’s initiative must be submitted with signatures from 7% of voters. Additionally, the signatures must be collected from voters in at least 38 counties throughout the state (which has a total of 93 counties).  “We made the counties our main focus because they require a great deal of time and resources that cannot wait until the last minute,” Eggers said. “We have the counties, but we have an urgent need to collect bulk signatures.” At least 87,000 signatures would need to be verified by the Nebraska Secretary of State’s Office before being approved to appear on the ballot.

NMM recently shared on social media that one of its volunteers is watching their child suffer from a condition that could be treated with medical cannabis. “There’s a parent sitting in the hospital right now, exhausted and desperate for help for their suffering child who lay in the bed before them,” the post stated. “With nothing left to try, they cling onto the hope that medical cannabis may someday bring relief to this hell they are living. With only 29 days until signature turn in, and thousands of signatures to still be collected, this parent, and patients across this state are begging for help. Be a part of something today, that may change someone’s life tomorrow. #getinvolved #cannabisismedicine”.

This year’s ballot initiative marks the third time that advocates have worked to get medical cannabis legalized. The first was in 2020, which did not make it onto the ballot because the Nebraska Supreme Court ruled that it violated the state’s single-subject rule. Another attempt was made in 2022, but it also didn’t make it onto the ballot because NMM didn’t collect signatures from voters in at least 38 counties.

Medical cannabis isn’t the only hot-button topic aiming for ballot consideration includes an amendment that would eliminate property tax, income tax, sales tax, and inheritance tax, a law that would require employers to provide paid sick leave for workers, and three separate amendments to either permit or ban abortions.

Nebraska is one of few states that haven’t legalized medical cannabis yet, including Idaho, Kansas, Wyoming, North Carolina and South Carolina.

This year’s voting opportunities include four primary cannabis-related ballots. In Idaho, which doesn’t allow any form of cannabis use, a group called Kind Idaho was working to collect signatures for the Idaho Medical Marijuana Initiative. Although it will not appear on this year’s ballot, it would have allowed patients with chronic conditions or who are terminally ill to use cannabis to treat their symptoms. It would also have included protections for those patients so they wouldn’t have to worry about prosecution for cannabis use.

In South Dakota, Measure 29 (or The South Dakota Marijuana Legalization Initiative) is officially on the ballot, which would legalize adult-use cannabis consumption, possession, and distribution. Technically both medical and recreational cannabis were legalized by voters back in 2020 but in 2021 the recreational initiative was found to be unconstitutional. Voters also rejected another attempt to legalize adult-use cannabis in 2022.

Meanwhile, there has been strong support for adult-use cannabis legalization in Florida. According to a recent poll, 66% of Florida voters plan to support the initiative. By party, 76% of Democrats support the initiative, alongside 71% of Independents and 57% of Republicans. The likelihood of legalization is strong, considering that a constitutional amendment requires 60% or more of votes on the ballot in order to pass. “Floridians want and deserve the same right to consume recreational marijuana that more than half the country already enjoys,” said Smart & Safe Florida campaign manager Morgan Hill. “This poll reflects what we at Smart & Safe Florida know to be true: legalizing recreational adult-use marijuana is good for Floridians’ health, safety, and individual freedom.”

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