Tag: marijuana legalization

Trump’s Federal Budget Cuts Could Boost Marijuana Legalization Efforts As States Seek New Revenue, Congresswoman Says

A Democratic congresswoman says the Trump administration’s push to make states pay a larger share for public services such as food assistance and health care amid his efforts to cut federal spending might ultimately “push them in the direction of legalizing marijuana” so they can offset those costs with cannabis tax revenue.

In an interview on the National Cannabis Industry Association (NCIA) Voice of Cannabis podcast that was released on Thursday, Congressional Cannabis Caucus co-chair Rep. Dina Titus (D-NV) commented on a wide range of marijuana policy issues—including bipartisan legalization legislation, stalled action on federal reform and the destigmatization of cannabis use in her state after enacting an adult-use marijuana market.

One of the “only good things that comes out of the policy of the White House is that they are pushing more things to the states to pay for—like [Supplemental Nutrition Assistance Program (SNAP)] and like Medicaid—and so states may be looking for additional sources of revenue,” Titus said. “That may push them in the direction of legalizing marijuana, to some extent, so they can get that tax revenue generated.”

Titus said the lawmakers who back reform were initially “optimistic” about the prospects of a federal policy change under President Donald Trump because of comments he made on the campaign trail in favor of rescheduling, industry banking access and a Florida adult-use legalization ballot initiative left the impression “he was going to be supportive.”

“Now we’ve seen that kind of stall, and we have this crazy secretary of [the U.S. Department of Health and Human Services (HHS)] that I think is on drugs,” the congresswoman said, referencing Robert F. Kennedy Jr. “I don’t know where he’s coming from, and so it’s hard to read what the administration is going to do and if they’re going to make it a priority and if they’re going to weigh in. So that’s another element of the politics that we have to keep in mind.”

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Hotels See Significant Boost In Revenue Following Marijuana Legalization, New Study Shows

A new study exploring the impacts of adult-use marijuana legalization on the hospitality industry finds that “hotel revenue increases by 25.2% (or $63,671 monthly) due to dispensary legalization, with the effect continuing to grow even six years after legalization.”

The research article, published in the journal Production Operations and Management (POMS), draws its inferences from a review of data from Colorado, which authors say saw “a 7.9% increase in room night bookings and a 16.0% rise in daily room rates,” though impacts varied based on a number of factors.

“These findings are relevant for professionals in marketing, operations management, hospitality, tourism, and public policy,” the study says, noting that the “rapid expansion of the marijuana business presents both opportunities and challenges for the hotel industry.”

“On the one hand, recreational marijuana dispensaries could become attractions that entice travelers to visit places they might not otherwise explore. For instance, around 12% of US tourists have reported positive experiences with marijuana-related travel… On the other hand, the lingering social stigma surrounding marijuana could negatively affect businesses, including hotels, located near these dispensaries. This concern is underscored by a Colorado Office of Economic Development and International Trade (OEDIT 2019) report, which found that about 10% of US leisure travelers view Colorado as a less desirable destination because of recreational marijuana.”

Despite the apparently polarized feelings around traveling to jurisdictions where marijuana is legal, the study found that hotels seemed to perform better following the policy change.

Comparing hotels in Colorado to hotels in New Mexico, where cannabis was illegal during the study period, the team’s analysis found that “on average, monthly hotel revenue increases by 25.2% upon the legalization of recreational marijuana dispensaries, which is equivalent to a substantial increase of $63,671 per hotel.”

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Pennsylvania Senator Announces New Marijuana Legalization Bill After Committee Defeats House-Passed Reform Proposal

A Pennsylvania Democratic senator has announced his intent to file a new bill to legalize marijuana in the state, calling on colleagues to join him on the measure days after a Senate committee killed a separate House-passed proposal to enact cannabis legalization with state-run stores.

In a cosponsorship memo circulated last week, Sen. Marty Flynn (D) said his bill would establish a “responsible framework for cultivation, distribution, and retail sales to adults aged 21 and over,” indicating that the legislation will follow a more conventional regulatory model for cannabis.

“This legislation represents a commonsense opportunity to modernize our cannabis laws by delivering lasting economic benefits to communities across the Commonwealth while balancing individual liberty with public safety,” he said of the bill, which will be called the Keystone Cannabis Act.

Notably, Flynn put out an earlier cosponsorship memo in 2022 that detailed a bill he said he’d be introducing that would have sought to legalize marijuana through a state-run model, similar to the legislation that narrowly advanced through the House only to be rejected in a Senate committee last week.

The new memo signals his forthcoming legislation will steer clear of the controversial proposal, placing regulatory responsibility in the hands of the state Departments of Health, Agriculture and Community and Economic Development, as well as the attorney general and state police.

It would also create a Commonwealth Community Reinvestment and Infrastructure Fund, using marijuana tax revenue—which Flynn estimates will be upwards of $500 million annually—to support the revitalization of rural areas, infrastructure initiatives and local grants for “law enforcement, public health, and educational programs focused on substance use prevention and mental health.”

There would also be equity components embedded in the measure, including provisions that would prioritize cannabis business licensing for those from communities disproportionately impacted by prohibition and creating a pathway for expunging past marijuana records.

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GOP Senator Who Opposes Marijuana Legalization Complains About Federal Alcohol Guidelines Recommending Americans Drink Less

A GOP senator is complaining about pending revisions to federal guidelines that could recommend Americans drink less alcohol, even as he maintains his strong opposition to legalizing marijuana.

As the Substance Abuse and Mental Health Services Administration (SAMHSA) works to finalize updated dietary guidance for Americans, which will be partly informed by a study that some expect will recommend further reducing alcohol intake, Sen. Tom Cotton (R-AR) is standing strong in defense of alcohol’s legal status.

“Wasting taxpayer dollars on studies to ban alcohol is exactly why [former President Joe Biden] and his cronies were voted out of the White House,” he told The Washington Reporter.

To be clear, the study that’s being carried out by SAMHSA’s Interagency Coordinating Committee on the Prevention of Underage Drinking (ICCPUD) isn’t intended to impose a “ban” on alcohol. Rather, it’s meant to provide updated data on the potential risks of alcohol use, with findings that could be incorporated into the 2025 Dietary Guidelines for Americans, which is not legally binding for consumers.

But Cotton’s comment reflects a policy disconnect that has long frustrated cannabis reform advocates who’ve long argued that, if alcohol is legal and regulated, it’s nonsensical to continue prohibiting marijuana, which many studies show is comparably safer and therapeutically beneficial for many patients.

If pursuing a ban on alcohol is a waste of taxpayer dollar, as the senator suggested, it’s notable he doesn’t feel similarly about the millions of dollars that continue to be spent arresting, prosecuting and incarcerating people over cannabis. But instead, Cotton has long maintained opposition to legalizing marijuana, including through an initiative to end cannabis prohibition that appeared on Arkansas’s 2022 ballot.

While he said in 2018 that he respected the will of voters in his state to legalize medical cannabis, he didn’t think the federal government should as much as decriminalize it. And in 2023, he sharply criticized then-Senate Majority Leader Chuck Schumer (D-NY) for proposing criminal justice provisions he wanted to add to a bipartisan marijuana banking bill, claiming Schumer was supporting “letting drug traffickers out of prison.”

In any case, Cotton isn’t the first senator to take a conflicting position on alcohol and marijuana as it concerns the SAMHSA study. Sen. Ted Cruz (R-TX), another staunch cannabis prohibition, made headlines in 2023 said that federal officials “can kiss my ass” if they decide to reduce the recommended maximum consumption of alcohol to two drinks per week.

“What is it with liberals and wanting to control every damn aspect of your life?” he said during an interview with Newsmax.

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The New Hampshire Senate Has Rejected Every Marijuana Bill Passed By The House This Session

The New Hampshire Senate on Thursday moved to scuttle two marijuana measures already passed by the House, including a proposal to allow medical cannabis businesses to cultivate in greenhouses and a separate bill to expand the state’s annulment process for past arrest and conviction records.

Senators also voted to delay consideration until next month of a separate bill that would decriminalize small amounts of psilocybin.

The actions reflect the chamber’s broad hostility toward drug reform measures this session. While a number of bills cleared the House of Representatives—including to legalize adult-use marijuana and allow medical marijuana patients to grow cannabis at home—nearly all have gone on to die in the Senate.

“These outcomes are disappointing, but unfortunately, they aren’t surprising,” Matt Simon, director of public and government relations at the medical marijuana provider GraniteLeaf Cannabis, told Marijuana Moment.

Earlier this year, Simon said it appeared “that a few senators just want to kill every bill that deals with cannabis policy, no matter how modest and non-controversial.”

All told, senators have now moved to table or kill eight House-passed measures related to marijuana this session.

One of the bills taken up at Thursday’s Senate floor session—HB 301, from Rep. Suzanne Vail (D)—would have allowed medical marijuana operators (known in the state as alternative treatment centers, or ATCs) to each establish a single additional cultivation location, including in a greenhouse.

Under current law, all growing by ATCs must happen indoors, with greenhouse cultivation prohibited.

Though House lawmakers passed the bill in February, a Senate committee earlier this month marked the proposal “inexpedient to legislate,” effectively recommending it be abandoned. On Thursday, senators voted to table it.

Simon noted that in New Hampshire, there’s strong support for broader legalization of marijuana, “so it’s hard to understand why letting ATCs grow in secure greenhouses is even remotely controversial.”

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Marijuana Rescheduling Blocked By Opposition ‘From Within’ DEA, Biden’s Drug Czar Says

Former President Joe Biden’s drug czar says the process to reschedule marijuana as initiated under the last administration may have been compromised by officials with the Drug Enforcement Administration (DEA), which was supposed to be defending the proposed policy change.

At the same time, a pro-legalization former  OP congressman allied with President Donald Trump is raising questions about the sincerity of the current president’s endorsement of rescheduling on the campaign trail.

About four months into Trump’s second term, there has still been no movement on the pending plan to move cannabis from Schedule I to Schedule III of the Controlled Substances Act (CSA), leaving advocates and stakeholders frustrated both by the current inaction but also the Biden administration’s failure to get the job done before the transition.

According to former White House Office of National Drug Control Policy (ONDCP) Director Rahul Gupta, that may have been due to deliberate resistance from within DEA—a suspicion shared widely among supporters of the reform, including those involved in an administrative hearing that’s been stalled for months, with no clear indication it will proceed any time soon.

“We got stuck moving at the slow speed of government, which was also marred, potentially, by some opposing it from within,” Gupta told The New York Times as part of a broader story examining the rescheduling effort.

The article also features interviews with a former senior DEA agent and former Rep. Matt Gaetz (R-FL), who notably suggested that Trump’s endorsement of a Schedule III reclassification on the campaign trail was essentially an attempt to shore up support among young voters rather than a sincere reflection of his personal views about cannabis.

As far as speculation about DEA’s role in the protracted process goes, there are several factors that have led many to conclude the agency’s leadership internally opposed the proposal, including the fact that there was a break in precedent when then-Attorney General Merrick Garland signed off on it after the U.S. Department of Health and Human Services (HHS) made the recommendation. Historically, the DEA administrator approves drug scheduling proposals.

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DEA Blames Legal Marijuana States For Inadvertently Aiding Cartels While Also Admitting That Prohibition States Create Illegal Market Opportunities

The Drug Enforcement Administration (DEA) says that states that have legalized marijuana are providing cover for illicit cultivation operations by foreign cartels—while at the same time implicitly acknowledging that ongoing prohibition in other states creates opportunities for that cannabis to be sold on the illegal market.

The agency’s 2025 National Drug Threat Assessment that was released on Thursday includes a section on marijuana trafficking, claiming that cartels and other organized crime groups “operate under business registrations granted by state licensing authorities in jurisdictions where marijuana cultivation and sales are ‘legal’ at the state level.”

“However, absent overt evidence such as the trafficking of marijuana across state lines or the commission of non-drug crimes such as money laundering and human trafficking, it can be difficult for law enforcement to immediately identify violations or discover an illegal grow,” the report says. “Asian [Transnational Criminal Organizations, or TSOs] defy restrictions on plant quantities, production quotas, and non-licensed sales, and hide behind state-by-state variations in laws governing plant counts, registration requirements, and accountability practices.”

DEA suggested that cartels are leveraging state cannabis markets by transporting “large amounts of marijuana directly from ‘legal’ states to states that have not legalized recreational use and those where state-level recreational approval is sufficiently recent to not yet have an established, regulated cannabis industry.”

Underlying that analysis seems to be a perhaps inadvertent acknowledgment by DEA that cartels are profiting off ongoing prohibition outside of legal states—indicating that the main demand for illicit marijuana isn’t coming from within states that provide regulated access to consumers but instead those where cannabis remains criminalized.

Implicit in that analysis is exactly what advocates have long argued: Legalization disrupts the illegal market.

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Members Of Congress Want Federal Investigation Into Use Of Florida Medicaid Funds To Oppose Marijuana Legalization By Group Tied To DeSantis

Two Democratic members of Congress representing Florida are asking the federal government to investigate what they describe as “potentially unlawful diversion” of millions in state Medicaid funds via a group with ties to Gov. Ron DeSantis (R). The money was used to fight against a citizen ballot initiative, vehemently opposed by DeSantis, that would have legalized marijuana for adults.

Reps. Kathy Castor and Darren Soto sent a letter on Thursday to the Department of Health and Human Services (HHS) inspector general as well as Mehmet Oz, the administrator of the Centers for Medicare and Medicaid Services, formally requesting they initiate a Medicaid fraud investigation.

“The diversion of Medicaid dollars requires immediate investigation,” the two lawmakers wrote. “These are proceeds that rightfully belong to state taxpayers to serve the citizens who rely on Medicaid, including children, pregnant women, neighbors with disabilities and those served by long-term care.”

The two lawmakers, members of a House committee with oversight of Medicaid, emphasized that Congress is “very focused on waste, fraud and abuse of Medicaid dollars.”

“Any unlawful diversion of Medicaid dollars in Florida,” they wrote, “means that the state is less able to provide services to our neighbors who rely on Medicaid and the providers who serve them.”

The letter follows allegations that a $10 million donation from a state legal settlement was improperly made to the Hope Florida Foundation, which later sent the money to two political nonprofits, which in turn sent $8.5 million to a campaign opposing the proposed marijuana legalization ballot measure, Amendment 3.

Notably, the Hope Florida Foundation was founded by Florida First Lady Casey DeSantis, the governor’s wife.

“On October 17, Secure Florida’s Future donated $2 million to Keep Florida Clean Inc., a Political Action Committee (PAC) controlled by Governor DeSantis’s then-chief of staff James Uthmeier that was created to campaign against Amendment 3,” the lawmakers’ new letter says. “Governor DeSantis strongly opposed Amendment 3. Days later, Secure Florida’s Future sent Keep Florida Clean Inc. an additional $1.75 million.”

“On October 22, the Hope Florida Foundation wired $5 million to the 501(c)4 nonprofit Save Our Society from Drugs that proposed spending the ‘grant’ on ‘developing and implementing strategies that directly address the substance use crisis facing our communities,’” it continues, detailing the alleged impropriety. “On October 23, the next day, Save Our Society from Drugs donated $1.6 million to Keep Florida Clean Inc. Over the coming days, Save Our Society from Drugs donated an additional $3.15 million to Keep Florida Clean Inc.”

“While there are limited financial disclosure requirements associated with 501(c)4 organizations,” the lawmakers said, “records appear to show that a total of $8.5 million from the Centene settlement with AHCA went from the Hope Florida Foundation to the Amendment 3-focused Keep Florida Clean, Inc. PAC, the same PAC that also donated funding to the Republican Party of Florida and the Florida Freedom Fund. ”

“Hope Florida had raised only about $2 million during its three years of existence,” they pointed out, “but in one fell swoop, received $10 million from a Medicaid settlement, which was immediately funneled through other nonprofits to a PAC directed by the Governor’s Chief of Staff.”

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GOP-Led Wisconsin Committee Cuts Governor’s Marijuana Legalization Proposal From Budget

Republicans in Wisconsin’s legislature on Thursday cut key provisions from a state budget proposal by Gov. Tony Evers (D), including plans to legalize and regulate marijuana.

The changes came in a Joint Finance Committee hearing, where members removed a long list of items included in the governor’s budget. In addition to cannabis legalization, other deleted items include tax cuts for the middle class, tax increases for millionaires and state support for children, farmers and veterans.

Evers said on social media ahead of the vote that “today, Republican lawmakers are gutting my budget that does what’s best for our kids and the folks, families, and communities that raise them.”

The committee’s 21 pages of cuts remove multiple marijuana provisions from Evers’s budget, such as regulation, taxation, licensing and civil and criminal legal adjustments.

The actions are a repeat of two years ago, when GOP members of the same committee removed proposals to legalize marijuana for recreational and medical use from the governor’s biennial executive budget at that time.

A press release from the governor’s office about Thursday’s committee changes says the legalization proposal would have regulated marijuana “much like the state already does with alcohol, which would help Wisconsin compete with other states for talented workers and have more resources to invest in critical state priorities.”

The reform is “a proposal that over 60 percent of Wisconsinites support,” the release notes, pointing to a poll from February.

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Pennsylvania House Approves Bill To Legalize Marijuana Sales Through State-Owned Stores

The Pennsylvania House of Representatives has given initial approval to a bill that would legalize marijuana with a novel model of state-run stores.

This has been an especially fast-moving legislative process for the measure from Reps. Rick Krajewski (D) and Dan Frankel (D). It was introduced on Sunday, advanced through the House Health Committee Frankel chairs on Monday and has now been approved on second reading in the full chamber on Tuesday in a vote of 102-101.

All Democrats in the body voted in favor of the legislation, and all Republicans were opposed. A third reading vote, expected soon, would send the measure to the Senate.

While there’s a competing bipartisan legalization measure that’s expected to be unveiled soon, this one already has 27 House Democrats signed on as cosponsors—more than one-fourth of the party’s caucus in the chamber.

The expedited consideration of the bill has already elicited criticism from the GOP side of the aisle, with Rep. Charity Grimm Krupa (R), a member of the Health Committee, saying during Monday’s Health Committee hearing that “it’s no secret that I stand in opposition to broadly legalized adult-use marijuana—but frankly, I’m appalled by the manner in which it’s being rammed through the committee and the legislature.”

Frankel responded to the critique, saying “this has been a transparent process” that has “taken into consideration input from every potential stakeholder.”

“My door has been open to all those stakeholders on an ongoing basis for the past two year—the six hearings we had and an opportunity for the minority party to have to have a meeting to talk about this,” the chair said.

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