The Office of National Drug Policy (ONDCP) director Dr. Rahul Gupta, often referred to as President Joe Biden’s appointed “drug czar,” spoke about the ongoing discussion of rescheduling cannabis.

In a recent interview with Star Tribune on May 24, which was originally featured in the news outlet’s free email newsletter, the first question inquired about Gupta’s “main takeaway” in regard to federal rescheduling. “We’ve had a policy for over half a century where so many lives have been upended because of our failed approach to marijuana,” Gupta responded. “We’ve had so many people arrested, prosecuted and incarcerated. We know white, Black and brown people use marijuana at similar rates, but Black and brown incarceration rates are higher.”

He cited Biden’s October 2022 announcement to pursue pardoning cannabis offenses and instructing the Department of Justice (DOJ) and Department (of Health and Human Services (HHS) to review the current schedule category that cannabis is positioned in. Now that request has been acted upon through the HHS in August 2023, with more recent moves suggesting progress within the Drug Enforcement Administration as well, Gupta commented on the importance of what happens next. “This is going to be really important to remove barriers to critical research and perhaps drug development, and it could also lead to more research into the benefits of medical marijuana,” he said. “Clearly this decision is going to have a historic and long-lasting impact.”

When asked if Gupta could offer clarity in how federal law enforcement will alter their prioritization of cannabis, he referred to other substances that are included in the Schedule III classification and thus have much lower priority, such as Tylenol with codeine and testosterone. “It will have an impact on racial disparity, incarceration and prosecutions,” he said. “And whether in Massachusetts or West Virginia or Texas, Americans should be able to get treatment for their condition.”

It’s important to note the differences between rescheduling cannabis and federally legalizing cannabis. Rescheduling cannabis doesn’t include approval from the U.S. Food and Drug Administration (FDA), which means that it can still lead to cannabis-related prosecution. Furthermore, the status of cannabis as a federally illegal substance means that incarcerations and prosecutions will continue if or when cannabis is rescheduled to a Schedule III substance.

In another interview between WGCU and Gupta published on May 20, he suggested that Schedule I substances have no approved medical use, but anything categorized between Schedule II-V “can be prescribed when appropriate by a licensed provider who has a DEA registration…” However, the FDA hasn’t approved cannabis as a medicine overall, just a few exceptions with drugs derived from cannabis.

The Star Tribune subject shifted to the topic of banking, but preferred to refer the question to others involved more closely in that discussion. “We do know the drugs that are Schedule III are in legitimate interstate commerce within the federal system. I’ll leave it to others to talk about the commercial process,” he said. “The focus for the president has been making sure Americans are able to get the help they need no matter where they live, and on the other side making sure we’re not [harming] people.”

One of the final questions in the interview asked that if a new president is elected later this year, how this entire process of rescheduling could be paused, canceled, or reversed. “The president has given the opportunity to Congress to take action; he did because he could wait no longer,” Gupta said. “The independent reviews of these agencies followed established processes and procedures in getting to this result. That process is driven through science. I can’t provide any hypothetical answers to what may happen. This is a change that is driven by policy, by science, by data, regardless of the political process.”

He concluded the interview by restating how the president is following through with his promise to help the people avoid being incarcerated. “The president has been very consistent: No one should be in jail for using or possessing marijuana,” Gupta said. “These steps to move marijuana from Schedule I to Schedule III is a policy that is consistent with science in the 21st century.”

Former ONDCP director Gil Kerlikowske, who served under former President Barack Obama between 2009-2014, recently spoke on the podcast Sagely Speaking with Mary Bono on May 13. Kerlikowske’s response to Biden’s approach to rescheduling cannabis was more negative. “It’s not medicine. This is all Big Cannabis,” Kerlikowske said. “This isn’t people my age that are just old hippies that want to open up a pot shop somewhere. This is a huge business like Big Tobacco. Absolutely.”

He explained that the HHS decided not to reschedule cannabis due to no evidence of health three years ago, but now has changed its tune, with the DOJ expected to follow suit. Later on in the discussion, Kerlikowske compared the rise of cannabis to the rise of Big Tobacco.

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Cannabis stocks spiked immediately after President Joe Biden announced the reclassification of cannabis from a Schedule I to a Schedule III drug, endorsing the Justice Department’s recommendation. 

Biden posted a video on X at 1 p.m. May 16, declaring that the U.S. Department of Justice would indeed reclassify cannabis, and within hours, cannabis-related stocks began rising amid the growing excitement.

“Today’s step is another historic step moving forward,” Poseidon Investment Management co-founder Emily Paxhia told Yahoo! Finance on an episode of Market Domination. “I think anything around cannabis reform has been very difficult for the past 10 years plus, obviously, and so anything that’s working through an ordinary process and following the steps as it should is very confirmatory.” 

Familiar names of bigger players in the industry are popping up. “We’ve seen increasing volumes in the top names in the industry,” Paxhia added.

Multi-state operators (MSOs) would benefit the most from the Schedule III classification, like Canopy Growth, Curaleaf Holdings, Green Thumb Industries, and Trulieve Cannabis, with operations in about three dozen states that allow cannabis sales. Shares of Canopy Growth, an enormous Canadian cannabis producer that trades on the New York Stock Exchange, rose 15%, to $11.95, after the tweet, Barron’s reports.

The reclassification of cannabis doesn’t fix the gap between federal and state law, and it sparked some negative feedback of a potential pharmaceutical takeover.

“On behalf of thousands of legal businesses operating across the country, we commend President Biden for taking this important first step toward a more rational marijuana policy,” said Aaron Smith, who heads the National Cannabis Industry Association. “Now it’s time for Congress to enact legislation that would protect our industry.”

Forbes reports that shares of Canopy Growth Corp. ended up closing at roughly $11, an increase of over 11% on the day to a one-month high. Canadian cannabis producer Aurora Cannabis’ stock rose nearly 7%, closing Thursday at nearly $8 per share. Cannabis product manufacturer Green Thumb Industries’ stock rose nearly 3%, climbing to a high of just over $13.

Shares of Trulieve Cannabis Corp rose as well to nearly 6% to just under $13 per share, while Tilray Brands’ shares increased by roughly 2.5% to just over $2 per share. Shares of Cronos Group also jumped over 4% on Thursday, closing at over $3 per share.

It’s important to keep in perspective the overall picture. Despite the recent gains seen by cannabis MSOs, several cannabis-related stocks are far below their 5-year highs. Curaleaf is down nearly 66% from its February 2021 high, while Tilray is down nearly 97% from its high from the same month, Reuters reports.

A 60-day commitment period will take place for a space for public input.

The Justice Department will take comments on the proposal after it appears in the Federal Register. A final rule would have to be issued before the reclassification would take effect. The process can be lengthy,  and it must undergo a public comment period before it can be implemented, which can take up to a year.

Tax Implications of a Schedule III Classification

Part of the excitement surrounding the reclassification move could be centered on the probate changes in tax policy that is near. Legal advisors are expecting the limitations of tax code Section 280E will change significantly now that cannabis is moving to Schedule III of the Controlled Substances Act

Duane Morris LLP & Affiliates, for instance, provided an explainer that indicates Section 280E provides that:

“No deduction or credit shall be allowed for any amount paid or incurred during the taxable year in carrying on any trade or business if such trade or business (or the activities which comprise such trade or business) consists of trafficking in controlled substances (within the meaning of schedule I and II of the Controlled Substances Act) which is prohibited by Federal law or the law of any State in which such trade or business is conducted.”

Once cannabis is rescheduled as a Schedule III substance, Section 280E will not apply to that company’s tax return and additionally, the company would no longer be banned from deducting expenses on tax returns like any other type of legal business.

Kilpatrick Townsend & Stockton LLP provided a Truth vs. Fiction article that explains  reclassification, in reality, it will probably take over a year for major changes to roll out. But one of the biggest lies or rumors, they explained, is that Schedule III will wipe out existing state cannabis markets. No one knows that at this point, and state cannabis markets have always operated in the gray market.

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President Joe Biden announced that the U.S. Department of Justice will officially reschedule cannabis, moving it from Schedule I, reserved for dangerous drugs with no medical value, to Schedule III. The news follows the historic announcement on April 30, that the U.S. Drug Enforcement Administration (DEA), will move to reclassify cannabis under Schedule III, the Associated Press reported.

Biden, along with Vice President Kamala Harris, both recorded videos of the announcement and posted them on social media.

“This is monumental,” Biden said in a video that was posted on X. “Today my administration took a major step to reclassify marijuana from a Schedule I to a Schedule III drug. It’s an important move towards reversing longstanding inequities.”  

“Today’s announcement builds on the work we’ve already done to pardon a record number of federal offenses for simple possession of marijuana. And it adds to the action we’ve taken to lift barriers to housing, employment, small business loans, and so much more for tens of thousands of Americans.”

Biden continued, “No one should be in jail just for using or possessing marijuana.”

“Today’s announcement builds on the work we’ve already done to pardon a record number of federal offenses for simple possession of marijuana. I’m committed to writing those historic wrongs,” he said. “You have my word.

“Currently marijuana is classified on the same level as heroin and more dangerous than fentanyl,” Harris said in another video. “We are finally changing that. But I want to thank all of the advocates and everyone out there for helping to make this possible and we are on the road to getting it done.” 

“This recommendation validates the experiences of tens of millions of Americans, as well as tens of thousands of physicians, who have long recognized that cannabis possesses legitimate medical utility,” NORML Deputy Director Paul Armentano said. “But it still falls well short of the changes necessary to bring federal marijuana policy into the 21st century. Specifically, the proposed change fails to harmonize federal marijuana policy with the cannabis laws of most U.S. states, particularly the 24 states that have legalized its use and sale to adults.”

“Nevertheless, as a first step forward, this policy change dramatically shifts the political debate surrounding cannabis,” Armentano added. “Specifically, it delegitimizes many of the tropes historically exploited by opponents of marijuana policy reform. Claims that cannabis poses unique harms to health, or that it’s not useful for treating chronic pain and other ailments, have now been rejected by the very federal agencies that formerly perpetuated them. Going forward, these specious allegations should be absent from any serious conversations surrounding cannabis and how to best regulate its use.”

A 60-day comment period will soon begin to allow input on the pros and cons of Schedule III.

Questions and Shortcomings of Schedule III

Industry leaders pointed out that reclassifying cannabis under Schedule III won’t absolve the discord between federal law and dozens of medical adult-use cannabis laws at the state level. For some, the reclassification announcement leads to more questions.

“While there’s still work to be done, I’m optimistic about what this means in terms of a domino that needed to fall in order for the wave to come that we’ve all been waiting for and working towards for so long,” said Caleb Counts, CEO & Co-Founder, Connected Cannabis. “Rescheduling is a step in the right direction without question, and while it isn’t at the stage of descheduling, it’s still impactful for so many people and that doesn’t go unnoticed. Loosening taxes and regulations where customers benefit is always a win in my book.”

“While a great step for the industry, the truth is, most of our operational challenges remain,” said Roger Volodarsky, Founder and CEO, Puffco. “A lot of people think that moving cannabis from Schedule I to Schedule III will drive additional research in the space, but the reality is that it’s more complicated than that. In late 2022, the Medical Marijuana Expansion Research Act was passed, which essentially says that regardless of the scheduling of cannabis, the DEA still holds the final ruling of who’s allowed to research the plant, and where those research materials are coming from. So while a move to Schedule III is a huge step forward in terms of protecting our freedoms in this industry, we are still at the mercy of policy-makers. Ultimately, the goal is a complete descheduling of the plant and until that happens our fight is not over.”

“For me, it raises more questions than solving any problems that we have,” said Christopher Louie, Co-Founder & CEO of Made in Xiaolin, a legacy cannabis operator in Colorado and soo in New York. “What does this mean from here? Great, marijuana now has medical benefits in the eyes of the government. Does this mean that in order to obtain it you need a prescription and in order to distribute or manufacture it I would need a medical license? It seems this could help out pharmaceutical companies and big businesses affiliated in the medical field, but I’m not sure how this benefits companies like ours.”

Others commended the small step towards legalization that signals a shift in the way cannabis is viewed in the eyes of the federal government.

“We commend the POTUS’s efforts to reschedule cannabis to Schedule III. While the fight isn’t over to legalize cannabis nationally, this is a much-needed wind in our sails that we haven’t felt in over 50 years at the federal level,” said Vince Ning, co-founder and CEO of Nabis, a leading wholesale marketplace. “As far as public commentary goes, we will certainly be providing our thoughts on how to improve this change to push for the full legalization of this controlled substance, and how to provide safe access of quality tested cannabis products to the patients in need through existing regulatory frameworks that currently exist today.”

“President Biden characterized rescheduling as a means of reversing longstanding inequities,” said Brian Vicente, founder of Vicente LLP. “One dominating inequity cannabis businesses face is the inability to deduct regular business expenses, since they sell a Schedule 1 substance.  We work with hundreds of licensed cannabis businesses, and the ability to deduct ordinary operating costs under the Schedule 3 proposal would be a game-changer for them. This proposal will release cannabis businesses from the crippling tax burden they are currently shackled with and allow these businesses to grow and prosper.”

“On behalf of thousands of legal businesses operating across the country, we commend President Biden for taking this important first step toward a more rational marijuana policy. Now it’s time for Congress to enact legislation that would protect our industry, uphold public safety, and advance the will of the voters who overwhelmingly support making cannabis legal for adults,” said Aaron Smith, NCIA CEO & co-founder. “Rescheduling alone does not fix our nation’s state and federal cannabis policy conflict. Only Congress can enact the legislation needed to fully respect the states and advance the will of the vast majority of voters who support legal cannabis.”

There will then be a 60-day public comment period before the rule is potentially finalized.

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The U.S. Drug Enforcement Administration (DEA), under the Biden administration, will move to reclassify cannabis under Schedule III, meaning its medical benefits will be recognized by the federal government, the Associated Press first reported today. By all accounts, it’s a historic move by the DEA and the federal government as the plant was wrongly classified as a substance with no accepted medical value, for decades.

The DEA’s move to reclassify cannabis must first be reviewed by the White House Office of Management and Budget (OMB), and for the first time in 50 years would recognize the medical uses of cannabis. The move to Schedule III was recently recommended by the U.S. Department of Health and Human Services (HHS). By definition, Schedule I substances are criminally prohibited under federal law because they possess a “high potential” for abuse and have no currently accepted medical use. 

Leadership from The National Organization for the Reform of Marijuana Laws (NORML) broke down the pros and cons of Schedule III and why this move is so historic.

“While the DEA’s decision fails to go far enough, it represents the first time the agency has ever abandoned its ‘Flat Earth’ position toward cannabis and acknowledged that the substance possesses legitimate therapeutic utility and that it doesn’t belong in the same federal classification as heroin,” NORML Deputy Director Paul Armentano tells High Times. 

It won’t erase the discord between federal and state law fully, however. Armentano continues, “Unfortunately, this move—if and when finalized—continues to perpetuate the growing divide between federal marijuana laws and the marijuana laws of most states. It also fails to align with public opinion, as most Americans would like to see cannabis treated more like alcohol than like anabolic steroids.”

Fifty Years Under Schedule I

For the Scientific American, David Downs reported in 2016 that disgraced former Attorney General John Mitchell of the Nixon administration placed cannabis in this category as part of the classification or “scheduling” of all drugs under the 1970 Controlled Substances Act.

U.S. leaders also provided comments on the DEA announcement.

“If today’s reporting proves true, we will be one step closer to ending the failed war on drugs,” Rep. Earl Blumenauer said in an emailed statement obtained by High Times. “Marijuana was scheduled more than 50 years ago based on stigma, not science. The American people have made clear in state after state that cannabis legalization is inevitable. The Biden-Harris Administration is listening.” 

According to the National Cannabis Industry Association (NCIA), moving cannabis to Schedule III is expected to lift the unfair burden of 280E on thousands of state-legal cannabis businesses. The Legal Intelligencer reported that Schedule III would remove the prohibitions against tax deductions under tax code 280E.

“Moving marijuana out of its absurd classification as a Schedule I drug is long overdue and we applaud the administration for finally acknowledging the therapeutic value that has been widely accepted by the medical community and millions of medical cannabis patients for decades,” said CEO, Aaron Smith. “While this is undoubtedly a very positive first step, rescheduling will not end federal marijuana prohibition and doesn’t harmonize federal law with the laws allowing some form of legal cannabis in the vast majority of the states. In order for this move to be meaningful on the ground, we need clear enforcement guidelines issued to the DEA and FDA that would ensure the tens of thousands of state-licensed businesses responsibly serving cannabis to adults are not subject to sanctions or criminal prosecution under federal laws.”

“Further, it’s imperative that Congress build upon this development by passing comprehensive legislation to remove cannabis from the Controlled Substances Act and forge a new regulatory framework for whole plant cannabis products.” added Smith.

“The goal of any federal cannabis policy reform ought to be to address the existing, untenable divide between federal marijuana policy and the cannabis laws of the majority of US states,” he said. “Rescheduling the cannabis plant to Schedule III fails to adequately address this conflict, as existing state legalization laws—both adult use and medical—will continue to be in conflict with federal regulations, thereby perpetuating the existing divide between state and federal marijuana policies.”

Cannabis Industry Reacts

The US Cannabis Council (USCC) aims to be the voice of America’s regulated cannabis industry. “The US Cannabis Council strongly supports the move by the DEA to reclassify cannabis at a lower level under the Controlled Substances Act,” USCC Executive Director Edward Conklin said in a statement. “President Biden and his Administration should be commended for recognizing that cannabis was wrongly classified as a Schedule I controlled substance and pursuing an administrative review to reclassify it.

“The proposed DEA rule implements the recommendations of the Department of Health and Human Services, which were based on an extensive scientific review by the Food and Drug Administration. Once finalized, the reclassification of cannabis to Schedule III will mark the most significant federal cannabis reform in modern history and place the nation on a clear path toward our ultimate goal of federal legalization…”

High Times also received a high volume of comments from cannabis business leadership.

“Today’s decision by the DEA to reschedule cannabis to Schedule III is one of the most monumental developments that cannabis has seen in years and is a crucial step in undoing the harms caused by the failed and discriminatory War on Drugs,” said Matt Darin, CEO of Curaleaf. “We are thankful to President Biden and his Administration for helping to push this process forward. This ruling reflects evolving attitudes towards the plant, recognizing its well-documented therapeutic value and medicinal applications. It’s very clear that the country is ready for this step, given that 92% of Americans are now in support of legalization in some form. As the cannabis industry undergoes regulatory transformations, Curaleaf remains committed to collaborating with regulatory authorities, industry members, and the broader community to ensure the responsible and sustainable growth of the cannabis sector. The future for the cannabis industry is real and we look forward to seeing what 2024 has in store.”

“AYR Wellness applauds the historic proposal by the Drug Enforcement Administration’s to reclassify cannabis from Schedule I to Schedule III, in alignment with the science-backed recommendation made earlier this year by the Department of Health and Human Services,” David Goubert, President & CEO of AYR Wellness.

It’s now up to the OMB at the White House to give final approval of the DEA’s move to reschedule cannabis.

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A majority of cannabis consumers who are likely to vote in this fall’s general election say they would vote for a pro-cannabis candidate regardless of their party affiliation, according to the results of a recent survey. The poll, which was conducted by the medical marijuana telehealth platform NuggMD, found that 59% of likely voters who use weed would cast their ballot for a pro-cannabis presidential candidate regardless of that candidate’s political party.

NuggMD’s 2024 Election Poll surveyed 755 cannabis users about their opinions surrounding the relevance of cannabis reform in the upcoming presidential election. When asked whether a presidential candidate’s endorsement of pro-cannabis policies would increase their likelihood of voting for that candidate, 59% of the respondents selected the reply “Yes, this would make me more likely to vote for that candidate regardless of their party.” Only 14% of respondents said they are already locked into voting for their party or candidate of choice.

“This poll shows that adopting pro-cannabis policies can move more constituents into either party’s camp,” Deb Tharp, head of legal and policy research at NuggMD, said in a statement from the company. “This is a large voting population we’re talking about, and its demographics are changing quickly.”

The poll showed the Democratic candidate outpacing the GOP frontrunner in the November election among those who use cannabis regularly, a voting block that is approximately 35 million strong nationwide. The poll showed that 43% of respondents planned to vote for President Joseph Biden, while 36% said they intended to vote for Donald Trump, the presumptive Republican nominee. Biden also polled well ahead of a generic Republican candidate, while Trump was roughly tied with a generic Democratic candidate.

The Democratic Party also faired better when respondents were asked about cannabis policy in general. A majority of respondents (56%) said the Democrats in elected positions have better ideas for cannabis policy, while only 16% said the same of Republican elected officials

Both political parties could be doing a better job of supporting cannabis policy reform, according to the survey. Nearly 40% of the poll’s respondents indicated that they believe Democrats “want to suppress the legal use of cannabis,” while two-thirds (68%) said the same of Republicans.

The survey also found that 88% of respondents said understanding cannabis culture is a requirement for writing and passing effective cannabis legislation. However, 73% said elected officials in general currently lack that understanding.

Overall, the survey showed that Democratic candidates in the upcoming election have an opportunity to gain votes from the cannabis community by leaning into weed reform, a move that would likely separate them from their GOP opponents.

“Respondents say they’re motivated by policy commitments and wins, not by grievance politics, outrage, or red meat,” Tharp explained. “The degree to which this emerging constituency is moveable, and how to move them, will probably come as a surprise to insiders of both parties.”

“To me, it signals that Republicans are shooting themselves in the foot by continuing to embrace the platform of prohibition,” she continued. “Democrats should double down on cannabis and expand their voting base by embracing full decriminalization and expungement for victims of targeted, unjust enforcement.”

In an email, Tharp pointed to Florida, where the state Supreme Court ruled last week that a weed legalization bid can appear on the November ballot, as “an example of a state where cannabis consumers as a voting bloc could help drive an electoral surprise this November.”

“Adult-use legislation is on the November ballot in Florida and needs 60 percent to pass,” she said. “It’s going to be close, and this will motivate turnout among the estimated two million voting-age Floridians who use cannabis every month.” 

“Governor Ron DeSantis, Attorney General Ashley Moody, and practically every other Republican elected official in Florida continue to rail against the measure,” she added. “While our poll doesn’t measure whether there’s an electoral punishment associated with loudly and wrongly rejecting common-sense drug policy, it does establish that there is an electoral reward for endorsing pro-cannabis policies, so the opening for Democrats is obvious.”

“If Democrats want to win seats, they should use their platform to support legal cannabis,” Tharp concluded. “If Republicans want to keep their seats, then they need to wake up and realize their voting base is sick of seeing people imprisoned over cannabis when there are real issues that need our attention.”

NuggMD.com conducted the poll digitally from March 25 to April 3 using a random sample of its first-party data. In total, 53,380 individuals were contacted and 755 completed the survey, resulting in a margin of error of 3.89% at a confidence level of 95%. Six swing states (Arizona, Georgia, Michigan, Nevada, Pennsylvania, and Wisconsin) that could likely decide the outcome of this fall’s election were over-indexed to give the poll more electoral relevance. 

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The Office of the Pardon Attorney (PARDON), which operates under the U.S. Department of Justice (DOJ), recently published its FY 2025 President’s Budget Submission. PARDON is responsible for carrying out instructions related to the executive clemency process, which includes reviewing and investigating clemency applications, as well as issuing recommendations to the president. 

For next year, PARDON is requesting $12,568,000 in funds, which would go toward funding 40 additional positions (including 26 attorneys) “to achieve its mission of advising and assisting the president in the exercise of the executive clemency power conferred to him by Article III, Section 2 of the Constitution.”

Among various listed upcoming challenges is the recent increase in clemency applications. The report stated that prior to FY 2014, and especially during the 1990s, PARDON only included 11 staff positions, which was enough to tackle the 600 applications that would come in annually. However, between FY 2012-FY 2023, PARDON received 52,065 applications.

PARDON is hoping to increase its resources further due to this increase in applications specifically related to cannabis. “PARDON expects to continue to receive incoming clemency cases, both pursuant to ordinary case submissions—which historically increase in proximity to presidential elections—and to the President’s October 2022 and December 2023 Proclamations pardoning individuals convicted of simple possession of marijuana,” the report stated.

The report continued to explain the status of the agency, noting that as of February 2024, only 171 pardon certificates were issued, and a total of 184 since 2023. PARDON explained that certificates are issued only after a thorough case investigation has been conducted.

However, with an increase in funds, PARDON seeks to increase the rate at which cases are conducted. “The FY 2025 request will allow PARDON to both continue to review and address pending clemency cases, receive new ones, evaluate capital cases, and process the influx of submissions pursuant to the two Presidential Proclamations on marijuana,” PARDON stated.

Furthermore, PARDON is setting a goal of increasing its “Percentage of marijuana certificates issued to eligible recipients within 30 days of application receipt,” to 80% in FY 2024.

President Joe Biden initially announced that he would be pardoning federal cannabis prisoners in October 2022, and also promised that the White House would “review expeditiously” the current classification of cannabis. The DOJ began to conduct investigations for pardon applications in March 2023, but didn’t begin issuing pardon certificates until after September 2023 under Biden’s order. It also held a public comment period between March 2023 and August 2023, in order to gather information on how to “expeditiously” act on Biden’s order to grant pardons related to simple cannabis possession.

In December 2023, Biden pardoned 11 people who held non-violent cannabis convictions and expanded his pardon initiative to include offenses that occurred on federal property. “America was founded on the principle of equal justice under law. Elected officials on both sides of the aisle, faith leaders, civil rights advocates, and law enforcement leaders agree that our criminal justice system can and should reflect this core value that makes our communities safer and stronger,” Biden said. “That is why today I am announcing additional steps I am taking to make the promise of equal justice a reality.”

Much more recently in March, Vice President Kamala Harris hosted a weed policy reform summit where she said that the current schedule of cannabis is “absurd” and called for it to be rescheduled as soon as possible. The summit was attended by rapper Fat Joe, recently pardoned advocate Chris Goldstein, and Kentucky Gov. Andy Beshear. “I hope everyone can recognize the importance of Vice President Harris calling to “legalize marijuana” in a room that Richard Nixon built = huge,” Goldstein posted on X.

Amidst a shift in promises for cannabis rescheduling or a lifting of federal prohibition, legislators are still calling on Biden to commute the sentences of all federal cannabis prisoners. A total of 36 legislators signed a letter to Biden on March 14, inquiring about Biden’s 2020 campaign pledge to decriminalize cannabis on a federal level. “Until the day Congress sends you a marijuana reform bill to sign, you have a unique ability to lead on criminal justice reform and provide immediate relief to thousands of Americans,” the letter stated. “It is inconsistent for the federal government to keep punishing individuals for violating a ban that it does not actually support and that an overwhelming majority of Americans oppose on a bipartisan basis… We ask that you commute the prison sentences of all individuals who are incarcerated for federal marijuana offenses.”

Some governors are continuing to push for cannabis-related pardons, such as Massachusetts Gov. Maura T. Healey. In mid-March Healey announced her plans to pardon cannabis misdemeanors. She said it “would be the most comprehensive action by a governor since President Joe Biden pardoned federal marijuana possession convictions and called on governors to take similar actions in their states,” and that it “could impact hundreds of thousands of people.”

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In a recent campaign stop in California, President Joe Biden said that people in other countries are paying 40-60% less than what Americans are paying for prescription drugs. A fact-checker recently approved his claim, affirming that Americans are indeed paying double for prescription drugs compared to prices in other countries.

“If I put you on Air Force One with me, and you have a prescription—no matter what it’s for, minor or major—and I flew you to Toronto or flew to London or flew you to Brazil or flew you anywhere in the world, I can get you that prescription filled for somewhere between 40 to 60% less than it costs here,” Biden said at a Feb. 22 campaign reception in Los Altos, California, where he was joined by Vice President Kamala Harris.

WLRN, which can be found on 91.3 FM in Florida, partnered with PolitiFact to fact-check politicians and the claims that they make while on the campaign trail. Biden’s comments last month were ranked “mostly true” by fact-checkers, reports WUWF, and NPR member station.

Biden then cited provisions in the 2022 Inflation Reduction Act to lower prescription drug prices, including capping insulin at $35 per month for Medicare enrollees. Lawmakers also put a limit on older Americans’ out-of-pocket prescription costs to $2,000 per year starting in 2025. 

The law also authorizes Medicare to negotiate prices directly with drug makers for 10 prescription drugs, and the list is expected to grow.

There’s a growing body of evidence to suggest that overall, U.S. prescription drug prices are significantly higher, sometimes two to four times, compared with prices in other industrialized nations. Generic drugs, however, are an anomaly and are typically cheaper in the U.S. compared with other countries. 

A recent study by Rand found that across all drugs, U.S. prices were 2.78 times higher than prices in 33 other countries, based on 2022 data. The divide was largest for brand-name drugs, with U.S. prices averaging 4.22 times higher than those in the other nations. After adjusting for manufacturer-funded rebates, U.S. prices for brand-name drugs remained more than three times higher than prices in other countries. 

“The analysis used manufacturer gross prices for drugs because net prices—the amounts ultimately retained by manufacturers after negotiated rebates and other discounts are applied—are not systematically available,” a press release about the report said.

A series of other studies show that in the U.S., people are paying more than any other peer countries for brand-name drugs, and it’s not offset enough by generic drug prices.

Drug patents and exclusivity are other factors keeping U.S. drug prices higher than in other countries.

Other Politicians Agree Prescription Drug Costs Are Too High

Last February, Sen. Bernie Sanders (I-Vermont) issued a report slamming the U.S. prices of drugs and executive pay of three major drug manufacturers—Johnson & Johnson (J&J), Merck, and Bristol Myers Squibb—just before a hearing.

The CEOs of all three drug manufacturers had to appear before a hearing to be grilled by Sanders, prepared by staff associated with the U.S. Senate Committee on Health, Education, Labor, and Pensions (HELP Committee). The New York Times reports that they testified on their behalf Feb. 8, telling their side of the story.

Americans pay the most for life-saving drugs compared to other countries, the senator’s report summarized—by far. In some cases, Americans are paying nearly 10 times the price as what Germans pay. Sanders’ detailed report outlines how the three companies are spending more on executive pay and stock buybacks than drug research and development (R&D).

“The United States pays, by far, the highest prices in the world for prescription drugs,” the report reads, written by staff and headed by Sanders as Chair. “At a time when one out of four Americans cannot afford the medicine their doctors prescribe, ten large pharmaceutical companies made over $112 billion in profits in 2022 while paying their chief executives exorbitant compensation packages and spending billions of dollars on stock buybacks and dividends to make their wealthy stockholders even richer.”

Sens. Maggie Hassan (D-NH) and Bob Menendez (D-N.J.) voted last July to advance a bipartisan bill she personally helped develop to reduce the rocketing cost of prescription drugs and the way pharmacy managers benefit from rising drug prices. 

The Modernizing and Ensuring PBM Accountability (MEPA) Act, which passed the Finance Committee July 26 on a bipartisan basis, reduces the cost incentive for pharmacy benefit managers (PBMs) to prioritize more expensive drugs because they receive higher payouts for higher priced drugs.

The MEPA Act would scale back incentives to jack up prescription drug prices at pharmacies. The legislation shows that lawmakers understand change is needed regarding sky-high drug prices.

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Calling it a “nation-leading effort,” Massachusetts Gov. Maura T. Healey on Wednesday announced her intention to take executive action to pardon misdemeanor marijuana possession convictions in the commonwealth. 

If it is approved by the “Governor’s Council,” Healey’s office said it “would be the most comprehensive action by a governor since President Joe Biden pardoned federal marijuana possession convictions and called on governors to take similar actions in their states,” and “could impact hundreds of thousands of people.”

Per the official state website, the Massachhuestts Governor’s Council is “composed of eight individuals elected from districts, and the Lieutenant Governor who serves ex officio,” and it “provides advice and consent on gubernatorial appointments, pardons and commutations, and warrants for the state treasury.”

The governor’s office said that, if approved, the pardon “will apply to all eligible convictions, and most people will not need to take any action to have their criminal records updated,” as well as “to all adult Massachusetts state court misdemeanor convictions before March 13, 2024 for possession of marijuana (sometimes referred to as possession of a “Class D substance”).”

“Nobody should face barriers to getting a job, housing or an education because of an old misdemeanor marijuana conviction that they would not be charged for today,” Healey, a Democrat who is serving her first term after being elected in 2022, said in a statement on Tuesday. “We’re taking this nation-leading action as part of our commitment to using the clemency process to advance fairness and equity in our criminal justice system. We’re grateful for President Biden’s leadership on this at the federal level and proud to answer his call to take action in the states.” 

Other top state officials in Massachusetts, including Lieutenant Governor Kim Driscoll, hailed the announcement of the pardon.

“Marijuana laws have significantly changed over the past decade, and it’s essential that our criminal justice system adjusts with them. Governor Healey’s proposed pardon represents an important step toward righting historic wrongs, particularly around our country’s misguided War on Drugs,” said Driscoll. “We thank the Governor’s Council for their careful consideration of this recommendation and look forward to continuing our progress to make Massachusetts a more fair and equitable home for all.” 

Massachusetts Attorney General Andrea Joy Campbell applauded the “Healey-Driscoll administration’s efforts to rectify historic racial disparities, including with this proposed pardon, and President Biden’s leadership at the federal level on the same issue.”

“Convictions for simple marijuana possession – which someone could not be charged with today – have led to the disproportionate incarceration of Black and brown people and made it nearly impossible for them to obtain a job, housing, educational opportunities and more. As the AG’s Office also works to address injustice and close the racial wealth gap, this proposed pardon meaningfully moves the Commonwealth in the right direction,” the attorney general said.

Democratic House Speaker Ronald J. Mariano, meanwhile, said the “decision from Governor Healey to pardon certain marijuana convictions is the right one, as it is another step towards rectifying decades of injustices stemming from the criminalization of cannabis.”

“This announcement is consistent with the Legislature’s intent during the passage of the 2018 criminal justice reform law, which was updated in 2022 when the Legislature passed further cannabis reforms, that allowed residents to seek expungements for convictions that are no longer crimes following voter-approved reforms,” Mariano said. 

As the statements from Healey and other officials referenced, the pardon takes a cue from President Biden, who in the fall of 2022 issued a pardon to thousands of Americans who were convicted of violating federal cannabis laws.

“Sending people to prison for possessing marijuana has upended too many lives and incarcerated people for conduct that many states no longer prohibit,” Biden said in a statement then. “Criminal records for marijuana possession have also imposed needless barriers to employment, housing, and educational opportunities. And while white and Black and brown people use marijuana at similar rates, Black and brown people have been arrested, prosecuted, and convicted at disproportionate rates.”

At the time, the president also urged governors to take their own action to clear the records of such individuals at the state level.

“In October 2022, President Biden issued a presidential proclamation that pardoned many federal and D.C. offenses for simple marijuana possession offenses. In December 2023, the President expanded that pardon to include more offenses He also issued a call to Governors to take action to pardon marijuana convictions in their states and, in the State of the Union last week, the President directed his Cabinet to review the federal classification of marijuana,” Healey’s office explained. “Governor Healey has already taken historic action on pardons. She became the first Massachusetts Governor in decades to recommend pardons in her first year in office. She has pardoned a total of 13 people to date. She also issued new clemency guidelines to center fairness and equity in the criminal justice system.”

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President Joe Biden issued his State of the Union address on Thursday, March 7, and among many topics, he said he’ll direct his Cabinet to consider reclassifying cannabis at the federal level. It’s the first time that a president of the United States addressed cannabis reform as part of his State of the Union address.

“Keep building public trust, as I’ve been doing by taking executive action on police reform, and calling for it to be the law of the land, directing my Cabinet to review the federal classification of marijuana, and expunging thousands of convictions  for mere possession, because no one should be jailed for using or possessing marijuana!” Biden said.

Biden also posted on X that “no one should be jailed for using or possessing marijuana,” which prompted responses from people who pushed for real expungements—not the mostly meaningless wave of pardons to people with minor cannabis convictions issued by Biden in 2022.

Biden issued two executive orders in October 2022, pardoning some people with nonviolent federal cannabis records, and he asked the Department of Health and Human Services to evaluate if cannabis should be rescheduled under the Controlled Substances Act.

The US Cannabis Council (USCC) launched in 2021 with a goal to build better access to an equitable and values-driven industry. The USCC has been working hard to advance federal cannabis legalization and promote restorative justice to the people harmed the most by the War on Drugs.

“The US Cannabis Council applauds President Biden for highlighting cannabis reform as an issue of national concern during his State of the Union address,” David Culver, SVP of Public Affairs at the USCC said in a statement obtained by High Times. “The President has issued historic pardons for nonviolent cannabis offenses and initiated a groundbreaking review of the status of cannabis under federal law. Tonight’s remarks before a national audience signal the President’s ongoing commitment to advancing cannabis reform. We are encouraged by what we heard this evening and optimistic that the Biden Administration will move cannabis down to Schedule III this year.” 

“President Biden made history tonight by addressing cannabis reform during the State of the Union,” said Adam Goers, co-chair, Coalition for Cannabis Scheduling Reform. The President is committed to modernizing the federal government’s approach to cannabis, and he reinforced that commitment tonight in front of the American people. Moving cannabis down to Schedule III would represent an historic shift in our nation’s drug laws. We thank the President for his remarks and urge his Administration to push ahead with rescheduling.” 

Cannabis Pardons and President Biden

Thousands of people received one of Biden’s pardons for federal cannabis possession convictions under two announcements issued in 2022 and in February. The Justice Department issued certificates to eligible people who applied for the pardons, but the certificates actually read “the pardon means that you’re forgiven, but you still have a criminal record.”

Former prisoner Weldon Angelos corrected Biden’s comment, adding that possession generally never leads to jail time alone. “Nobody goes to jail for use or simple possession,” Angelos posted on X. “But those imprisoned federally for marijuana felonies shouldn’t be forced to serve out the remainder of their decades long sentences either so please commute their sentences as you promised when you were running for president. 

Before Thursday’s State of the Union address, The Sentencing Project urged President Biden to remember his 2020 campaign promises to oppose mandatory minimum sentences and significantly reduce the prison population.

“America surpassed the grim milestone of 50 years of mass incarceration, with the prison population growing nearly 500% since 1973,” said Kara Gotsch, executive director for The Sentencing Project. “Today, almost 2 million individuals, and disproportionately Black Americans, are incarcerated in our nation’s prisons and jails. The U.S. incarcerates more of its citizens—for longer periods of time—than any other major democratic country in the world.” 

“President Biden promised four years ago to reduce federal incarceration levels by 50% and to oppose mandatory minimum sentences. We urge the president to keep those promises, and to scale up solutions that actually make communities safer, such as good schools, affordable childcare, broadly accessible mental health services, more effective and widely available substance use treatment programs, and more support for vulnerable children and youth. 

“Americans deserve safety, security, and community-based solutions that will build up our communities and actually stop the cycle of crime. We can get there if we put evidence-based solutions over politics, thriving communities over extreme sentences, and rehabilitation over punishment.”

In addition, Sen. Kirsten Gillibrand told High Times last that rescheduling cannabis under schedule III would do little by simply moving it to a less restrictive category. A recent survey found broad support across demographics and suggested Biden could see an 11% favorability boost if it occurs.

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If the Department of Health & Human Services’ (HHS) recommendation to reschedule cannabis on the federal Controlled Substances Act becomes a reality, it could make an impact on President Joe Biden’s favorability ahead of the upcoming 2024 presidential election.

A new survey, conducted by Lake Research Partners, revealed a number of key findings surrounding registered voters and attitudes surrounding cannabis, namely that Biden could boost his favorability by 11% among younger voters should cannabis move from Schedule I to Schedule III.

To gather the data, researchers engaged 900 likely voters through phone calls and text-to-online outreach. The survey includes oversamples of younger voters and voters in presidential battleground states (100 voters aged 18-25 and 200 voters in battleground states, Arizona, Georgia, Michigan, North Carolina, Nevada, Pennsylvania and Wisconsin).

A Look at Voter Opinions on Cannabis Rescheduling

The survey looked more generally at the support behind rescheduling cannabis, with 58% of participants showing support and 19% opposed. Researchers said that support also crossed most demographic lines, and no more than one-third of voters in any major subgroup was opposed to rescheduling. Young voters, those aged 18-25, showed the strongest levels of support for rescheduling at 65%, with nearly half indicating they felt strongly about the issue. Support was strong across age demographics, with seniors showing support by a double-digit margin.

Democrats and independents also showed strong support (74% to 7% and 55% to 15%, respectively), while Republicans were more divided (41% to 31%) despite showing more support overall. The survey also found that younger Republicans and Republican women were disproportionately more supportive.

Two-thirds (66%) of voters also said that Biden should accept the recommendation, with young voters 18-25 showing overwhelming support (84% with 77% indicating they felt strongly about their answer). 

Researchers also found that attacking rescheduling didn’t sway voters, despite the fact that “no punches were pulled” in articulating the opposing viewpoints. These include the rescheduling proposal being a “half measure,” comparing cannabis regulation unfavorably to regulating alcohol, the argument that it will provide “massive profits to pharmaceutical companies” while resulting in “hundreds of thousands of Americans behind bars for marijuana-related offenses).

After reviewing opposing arguments for rescheduling cannabis, 58% voters continued to support rescheduling while 18% opposed. Support among young voters remained strong, with 66% behind rescheduling including 50% with strong support.

A Potential Boost for Biden?

“By the end of the poll, impressions of Biden improve by a net double-digits — an 11-point swing overall, including a double-digit (+11-point) swing among younger voters,” the survey notes. 

“In conclusion, rescheduling cannabis is not only the right move from a policy perspective, it is also politically helpful,” the survey concludes. “Nowhere is this more true than for younger voters—one of the most cross-pressured groups of voters, and also the most sanguine about rescheduling.”

Concrete talks of rescheduling cannabis first began in Oct. 2022, when Biden made a statement asking the secretary of HHS and the attorney general to review the scheduling of cannabis under federal law. In Aug. 2023, the HHS submitted its recommendation to the DEA to reschedule cannabis from Schedule I to Schedule III. 

The U.S. Food and Drug Administration (FDA) also recently said they support reclassifying cannabis as a Schedule III substance, which would make medical cannabis and the research supporting it federally legal but still heavily regulated.

The DEA has final authority to schedule, reschedule or deschedule a drug under the DEA and is currently conducting its review. However, there is currently no specific timeframe on when the DEA will make its decision.

Researchers also note that the findings of the survey align with a recent Gallup poll, which found that support for legal cannabis hit a record high of 70% among all adults in the U.S. Namely, they highlight that the poll found the highest levels of support in the youngest age cohort, with 78% of the 18-34 age group supporting legalization.

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