CANNASWEEP

May 2025

OFW’s Cannabis Team regularly monitors cannabis news, legislation, regulation, and policy so our clients stay up-to-date on the latest developments impacting their business.

If you have any questions or would like more information about any of the items below, please contact us.

We also track cannabis-related legislation introduced in the U.S. Congress.  If you would like to learn more about our Congressional Bill Tracker, please reach out to Ben Dash. 

Cannabis Rescheduling/Descheduling

• Trump’s DEA Administrator nominee sidesteps marijuana rescheduling questions
  

  • Sens. Cory Booker (N.J.) and Alex Padilla (Calif.) asked Cole his position on whether he agrees with a proposal to move cannabis from Schedule I to Schedule III under the Controlled Substances Act (CSA). In a written response, Cole wrote that he would “give the matter careful consideration after consulting with appropriate personnel within the Drug Enforcement Administration, familiarizing myself with the current status of the regulatory process, and reviewing all relevant information.”

Executive Branch/Enforcement

• FDA Commissioner identifies psychedelic drug development as a top agency priority in an effort to address unmet needs in mental health.
• U.S. Justice Dept (DOJ) takes next steps to merge ATF and DEA.
• 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.
• A report from The National Institute of Standards and Technology (NIST) examines moisture and drying standards in hemp, part of an ongoing project to help laboratories ensure accuracy and precision when testing cannabis products.
• U.S. Customs and Border Protection (CBP) Drug Seizures Statistics indicate that US Border Patrol (USBP) and Office of Field Operations (OFO) have seized 102,293 lbs. in FYTD 2025.

U.S. Congress

• Lack of federal Farm Bill leaves states to deal with hemp-derived THC chaos.
• A newly filed pair of GOP-led congressional bills would prevent people from using federal financial assistance at marijuana dispensaries.
• Republicans in the House and Senate are asking for an investigation to identify any potential cases where government employees have used their federal charge cards at “high-risk merchants,” including businesses that sell marijuana.
• Rep. Morgan Luttrell (R-TX) Reborn’ Through Psychedelic Therapy, Wants the GOP to Embrace It.
• A handful of federal cannabis bills have been introduced this session. But in order for these bills to move forward, they need to receive a hearing this year.

The States

• Alabama: Alabama Gov. Kay Ivey signed legislation putting new regulations on gummies, drinks, and other products containing cannabinoids from hemp, a legal variety of the marijuana plant; Alabama hemp bill creates confusion, industry braces for fight; Alabama Court of Civil Appeals blocks new order holding up medical cannabis program
• California: California Governor Gavin Newsom seems pleased with the results of emergency rules banning the sale of intoxicating hemp products in his state; California awards $52.4 million to reinvest in communities, increase economic opportunity across the state via funds from cannabis tax revenue; Enforcement conducted their largest operation to date, seizing 105,700 illicit cannabis plants and 22,057 pounds of processed cannabis worth $123.5 million.
• Colorado: The Colorado Department of Revenue’s Marijuana Enforcement Division (MED) issued a compliance tip regarding the necessity for licensees to reconcile business-to-business transfers; a Colorado judge dismissed a lawsuit over marijuana testing rules.
• Connecticut: Connecticut House Passes Psilocybin Decriminalization Bill To Remove Threat Of Jail For Possessing The Psychedelic.
• Delaware: Delaware’s adult-use marijuana program marked a major milestone as Joshua Sanderlin was officially sworn in as the state’s new Marijuana Commissioner. A New bill would regulate THC-infused drinks like alcohol.
• Florida: U.S. Reps. Kathy Castor (FL-14) and Darren Soto (FL-09) Urge Federal Investigation into Unlawful Diversion of Medicaid Funds to Hope Florida; Florida Gov. Ron DeSantis (R) has signed a wide-ranging agriculture bill passed by the legislature that contains, among other provisions, a new prohibition on the spores of psychedelic mushrooms.
• Idaho: Marijuana legalization hits roadblocks after years of expansion.
• Kentucky: ‘We started getting calls’: Kentucky Auditor probes into lottery process for marijuana business licenses.
• Maryland: Senate Bill 0214 and House Bill 0012 are a significant step in Maryland’s continued effort to regulate the sale and distribution of THC.
• Minnesota: Minnesota Court of Appeals to decide if state can prosecute cannabis crimes on tribal lands; Conferees OK cannabis agreement as Minnesota readies for adult-use market; This fact sheet is intended as an educational resource regarding the sale of cannabinoids derived from hemp.
• Nebraska: Pillen orders Nebraska medical cannabis regulations to proceed as legislative, legal fights approach; Medical Cannabis Commission would still lack immediate funds for regulation without state law change.
• New Hampshire: New Hampshire Psilocybin Decriminalization Bill Sponsor Says Senate’s Amendment On Fentanyl Mandatory Minimums Is A ‘Fair Trade’ To Get It Enacted.
• New Jersey: The New Jersey Economic Development Authority (NJEDA) Board approved the creation of the Cannabis Business Development (CBD) Grant Program, a new $5 million initiative designed to provide targeted financial support to eligible recreational cannabis entrepreneurs in New Jersey; The NJ Assembly Oversight Committee held a hearing on cannabis product safety issues and testing that have been in the news recently; The NJ Assembly Agriculture Committee held an informational hearing on a bill for the Department of Agriculture instead of the NJ Cannabis Regulatory Commission (NJCRC) to regulate intoxicating hemp.
• New York: New York State Office of Cannabis Management Seed-to-Sale Tracking System Digital Inventory Tag Guide; New York Officials Take Steps To Expand Marijuana Farmers Market Program.
• Ohio: Big Alcohol lobbies for a piece of the hemp sector in Ohio; Defining hemp products.
• Oklahoma: After a software glitch mistakenly canceled the licenses of thousands of medical marijuana businesses earlier this week, the Oklahoma Medical Marijuana Authority says the licensing issue has been resolved.
• Oregon: Craig Prins, Oregon Liquor and Cannabis Commission’s Executive Director, Announces Retirement; Oregon youth have some of the most elevated rates of cannabis use in the country — but when it comes to recognizing the risks, they rank at the very bottom; Products containing artificially derived CBN can no longer be sold to Oregon consumers unless the manufacturer of the CBN has made a “Generally Recognized as Safe” (GRAS) determination or submitted a New Dietary Ingredient Notification (NDIN) to the FDA and received a “no objections” response.
• Pennsylvania: PA recreational marijuana bill goes up in smoke after being rejected by state senate committee.
• Rhode Island: Rhode Island Cannabis Office Officially Established: Streamlining Regulation and Oversight for a Growing Industry.
• Tennessee: Bill would change Tennessee’s cannabis market, which would move the regulation of hemp products from the Department of Agriculture to the Alcoholic Beverage Commission; Anti-hemp measure deprives Tennesseans with chronic pain of relief (opinion).
• Texas: Bill to expand Texas’s medical marijuana program heads to Senate. House Bill 46 would increase the number of health conditions eligible and would offer smokeable products under the state’s medical marijuana program; A bill that would significantly expand Texas’s medical marijuana program had its first Senate committee hearing on Monday, where a key senator called the House-passed measure a “work in process” and said future changes are in store.
• Utah: Utah officials have confirmed that the state reached a new milestone with its medical marijuana program, with more than 100,000 patients now registered.
• Vermont: Lt. Gov. John Rodgers is lobbying hard for a cannabis bill that would slash licensing fees for growers such as him while doubling them for large indoor growers — his main competitors. The CCB has been made aware of recent scam attempts targeting cannabis establishments in Vermont.
• Washington: Washington cities are decriminalizing magic mushrooms. Could a psychedelic ‘renaissance’ take hold statewide?;WA civil legal aid organizations mourn state funding cuts: ‘It’s a gut punch’.

Cannabis Abroad

• What Europe Can Learn From Cannabis Legalization In North America (Op-Ed).
• UK vs Germany: Medical Cannabis Products & Prices.
• South Korea: Welfare Ministry reviews medical cannabis criteria to expand patient access in South Korea.
• Australia: ‘We’ll win sooner or later’: Legalise Cannabis Party has high hopes after surprise election result.
• Rwanda: Rwanda’s first medical cannabis production facility is now 83 percent complete, according to the Rwanda Development Board (RDB), placing the country in a leading position among East African states exploring the controversial yet lucrative industry.
• Germany: Bavarian Minister of Health Judith Gerlach mentions that the legalization of cannabis is wrong and should be corrected

Business, Banking, Insurance

• 7 Best Marijuana Stocks and ETFs to Buy in 2025.
• Conifer Insurance Services launches cannabis select program, a high-capacity insurance solution built for the evolving needs of multi-state operators (MSOs) and larger cannabis businesses nationwide.

Research

• Compared with the general population or individuals who receive all-cause hospital-based care, those with acute care due to cannabis use may be at an increased risk for incident dementia, according to study results published in JAMA Neurology.
• Psychedelic substances, particularly when combined with behavioral therapies such as Motivational Enhancement Therapy (MET), show significant promise in reducing alcohol misuse and fostering long-term recovery. 
• More than one in 10 older veterans who received treatment in the Veterans Health Administration (VHA) reported use of cannabis in the past 30 days, according to a study published this week in JAMA Network Open. This prevalence was about double that of current prevalence estimates in civilian adults aged 65 or older.
• Study: Classical psychedelic practitioners in research settings believed that physical touch is an important part of psychedelic therapy.

Other Noteworthy Updates

• The 2025 VA Cuts & Services Survey gathered responses from nearly 2,000 veterans and family members across all 50 states. Among those surveyed, 57% said they support the VA offering medical marijuana as a treatment option, one of the highest levels of support among all proposed services. Only obesity treatment ranked higher, with 67% in favor.
• The Road to Cannabis Research: Interview with Anna Schwabe, PhD, Associate Lecturer/ Professor at the University of Colorado and Chief Operating Officer of CannaGen, an online cannabis genetic marketplace for licensed breeders, nurseries, and cultivators.
• From Prohibition to Participation: Measuring the Impact of Cannabis and Psychedelic Mushroom Legalization on Consumer Spending.

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If you are interested in exploring commercial opportunities in the cannabis space, we would be happy to assist you in any of your cannabis law questions, comments, or concerns. Please contact Tish Pahl (tpahl@ofwlaw.com), Kyla Kaplan (kkaplan@ofwlaw.com), Denise Calle (dcalle@ofwlaw.com), and Ben Dash (bdash@ofwlaw.com) for assistance.