SOLID Advisor, Professor Julie Werner-Simon, has published a new article discussing Cannabis Legalization post election: The November Election is Behind Us: Where Are We Now on Cannabis Legalization–Across the States and by the Feds?
Short Summary: Since the November 2024 election, three of four states with recreational or medical marijuana legalization on their ballots have rejected legalization measures (Florida, South Dakota, and North Dakota) and the potential for federal rescheduling remains uncertain.
Only Nebraska has changed its legalization status in this past election cycle, legalizing medical marijuana and creating a state commission to regulate its sale and distribution. Lower courts have upheld the new legislation, but the decision may ultimately be ruled upon by the Nebraska Supreme Court. With this change, a total of 39 states now have some degree of medical marijuana legalization.
Cannabis remains a federally illegal Schedule I controlled substance. This greatly restricts cannabis business and physicians practicing medicine in the United States. For example, cannabis businesses cannot have federally insured bank accounts and physicians with a DEA license to prescribe medication can’t prescribe marijuana.
In May 2024, the Biden administration proposed to reclassify marijuana to a Schedule III controlled substance so that the Food and Drug Administration would have the power to regulate its use as a medicine. The DEA held an initial public hearing in December to address marijuana’s rescheduling, but postponed testimonies for future proceeding scheduled to run from January 21 to March 6, 2025. DEA’s lead counsel, Deputy Section Chief James J. Schwartz appeared less than enthusiastic about the rescheduling at the hearing, informing the court “that the agency was merely a “proponent” of the rule change. "Proponent" is a legal term for placing the item before the court.
The change in Presidents will likely mean a change in legalization positions. Although Trump has flip-flopped on the issue, both his past and current picks for his upcoming presidential administration have taken an anti-marijuana position. This does not bode well for the Biden Administration’s efforts to reschedule marijuana and stop America’s war on drugs.
Importantly, Prof. Werner-Simon notes that the new administration happens at noon EST on Jan. 20, 2025. With the DEA’s hearings scheduled to run through March 6, 2025, the current administration will not be able to adopt the proposed rescheduling before the transition. Therefore, the Trump administration will be able to revoke the proposed rule before administrative law judge Mulrooney issues a recommended decision. If the federal agency has not yet published the final rule, the proposed rule can be withdrawn at any time before it has been published in the Federal Register. Ultimately, it will depend on whether the Trump administration allows a reclassification rule to be formally published.
Comments