CANNASWEEP

March & April 2026

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

Marijuana Rescheduling Advancing Despite Trump DOJ Turmoil — Following President Trump’s dismissal of Attorney General (AG) Pam Bondi, multiple sources close to the process confirmed to MJBizDaily that her departure is not expected to delay cannabis rescheduling to Schedule III. Acting AG Todd Blanche, Trump’s former personal attorney, is described as already familiar with the rescheduling process and actively involved in drafting the final rule. Observers suggest movement could come within 30 to 60 days.

White House Confirms Rescheduling Remains on Track Despite Bondi Firing — A White House press office representative told GreenState the Administration “continues to implement the President’s executive order on cannabis rescheduling.” EPA Administrator Lee Zeldin is reportedly under consideration as permanent AG, raising questions given his mixed cannabis record as a former congressman.

DEA Rescheduling Appeal Still “Pending” With No Briefing Schedule Set — In its fifth consecutive joint status report with essentially identical language, the DEA confirmed that the interlocutory appeal in the rescheduling proceeding “remains pending with the Administrator” and that no briefing schedule has been set—more than three months after Trump’s executive order directing the AG to complete the process “in the most expeditious manner possible.”

White House Holds Series of Stakeholder Meetings on FDA CBD Enforcement Policy — OIRA under the White House OMB conducted a series of five stakeholder meetings (April 1–7) tied to an as-yet-unpublished FDA guidance document titled “Cannabidiol (CBD) Products Compliance and Enforcement Policy.” The sessions involved cannabis operators, hemp farmers, and industry stakeholders and are seen as a signal that a formal federal CBD enforcement framework is imminent.

Executive Branch

Feds Launch Medicare CBD Pilot; FDA Issues Hands-Off Enforcement Memo — As noted above, on April 1, CMS launched its Substance Access Beneficiary Engagement Initiative (BEI), covering up to $500 per year in hemp-derived CBD products for eligible Medicare patients under select alternative payment models. Simultaneously, FDA Commissioner Marty Makary issued a guidance memo clarifying that the agency will not enforce premarket approval requirements against qualifying orally administered CBD products meeting dietary supplement standards (here). This is a limited shift in FDA enforcement posture and from the long-accepted practice that federal health plans only reimburse for FDA-approved drugs. Notably, the “Cannabidiol (CBD) Products Compliance and Enforcement Policy” is pending at OMB, here.

Trump Proposes Continuing to Protect State Medical Marijuana Laws From Federal Interference — In his FY 2027 budget request, President Trump proposed for the first time to maintain the appropriations rider shielding state medical marijuana programs from DOJ enforcement—a notable reversal from prior budget proposals that had suggested its removal. The budget simultaneously continues blocking D.C. from legalizing recreational marijuana sales.

Anti-Marijuana Groups Sue to Block Medicare Hemp Coverage; Judge Denies TRO — A coalition including Smart Approaches to Marijuana (SAM) filed suit seeking to halt the CMS BEI program, alleging violations of federal administrative law. A federal judge denied the motion for a temporary restraining order, allowing the program to launch as scheduled. A hearing on a preliminary injunction was set for April 20.

FBI Declassifies Memo Barring Agents From Investing in or Working at Marijuana Companies — A newly declassified 2022 guidance memo bars FBI agents from any employment or investment in marijuana businesses—regardless of state legal status—but permits involvement in hemp and CBD companies, with an exception for firms whose packaging depicts a cannabis leaf, which the Bureau treats as “promotion of marijuana.”

U.S. Congress

Rep. Baird Continues Push to Delay Federal Hemp THC Ban — Rep. Jim Baird (R-IN) raised concerns at a House Appropriations Subcommittee hearing about the November 2026 federal recriminalization of hemp products and reiterated support for the bipartisan Hemp Planting Predictability Act, which would delay the ban by two years to November 2028. The House Agriculture Committee advanced the 2026 Farm Bill in March without adopting amendments to delay or repeal the hemp ban.

The States

Colorado: Gov. Polis Signs Medical Marijuana in Hospitals Bill — Gov. Jared Polis signed SB 007 on April 1, allowing terminally ill patients registered in CO’s medical marijuana program to use non-smokable cannabis forms in participating healthcare facilities. The governor publicly criticized an amendment making participation voluntary rather than mandatory. The law takes effect on August 12, 2026.

Hawaii: Senate Approves Resolutions Calling on Congress to Federally Legalize Marijuana — The HI Senate Judiciary Committee approved resolutions urging Congress to federally legalize marijuana, support state expungement efforts, and facilitate cannabis banking access for industry businesses.

Idaho: ID Senate Passes Resolution to Keep Medical Cannabis Legalization Off Ballot — State lawmakers passed a resolution urging voters not to sign petitions for a medical marijuana legalization initiative, while simultaneously attempting to block future cannabis reform from reaching the ballot.

Illinois: The IL Medical Cannabis Advisory Board voted to recommend adding sickle cell disease as a qualifying condition for the state’s medical marijuana program.

Louisiana: Senate Committee Advances Bill to Allow Medical Marijuana for Terminally Ill in Hospitals — The LA Senate Health and Welfare Committee approved legislation permitting patients with terminal and irreversible conditions to use medical marijuana in hospital settings, subject to specified limitations.

Maryland: The MD House of Delegates advanced a Senate-passed bill to extend the Task Force on Responsible Use of Natural Psychedelic Substances for one year and require new recommendations ensuring broad, equitable, and affordable access to psychedelic substances.

Massachusetts: Bicameral Conference Committee Reaches Deal on Major Cannabis Overhaul — Lawmakers finalized a landmark compromise bill (H 5350) on April 6 that restructures the Cannabis Control Commission from five to three members (all governor-appointed), doubles the personal possession and purchase limit from one to two ounces, raises the per-entity license cap from three to six, and clarifies delivery and advertising rules. Both chambers are expected to vote before the bill heads to Gov. Healey. For a detailed legal analysis of the bill’s provisions, see Foley Hoag’s breakdown.

Missouri: Legislature Passes Bill to Ban Intoxicating Hemp Products, Sending It to Gov. Kehoe — The MO legislature passed HB 2641, which would effectively ban all intoxicating hemp products—including THC seltzers sold in bars and grocery stores—by restricting such sales exclusively to licensed marijuana dispensaries effective November 12, 2026. The bill also includes provisions protecting marijuana consumer privacy and recognizing cannabis industry workers’ right to unionize. Gov. Kehoe has signaled support, calling it “definitely something we need to get done.”

Nebraska: Legislature Makes History, Passes First-Ever Medical Cannabis Bill — The NE Legislature voted 46-2 on April 1 to pass LB 1235, establishing a dedicated cash fund for the Medical Cannabis Commission, setting commissioner salaries, authorizing application fees up to $50,000, and requiring background check fingerprinting for license applicants. The milestone comes nearly two years after 67% of Nebraska voters approved the program. A companion bill (LB 933) to provide legal protections for physicians recommending cannabis was separately advanced but later withdrawn after unrelated amendments were attached.

North Carolina: Gov. Stein Endorses Adult-Use Cannabis Market After Advisory Council Issues Interim Report — Gov. Josh Stein stepped up legalization efforts after his appointed Advisory Council on Cannabis released an April 2 interim report finding that the state has one of the largest unregulated cannabis markets in the nation, estimated at $3.2 billion annually, with no age-gating, potency limits, or mandatory labeling standards. The council recommended moving directly to adult-use legalization through licensed retail, calling a medical-only interim step insufficient. A final report with detailed regulatory recommendations is due December 2026.

Ohio: Judge Issues TRO Blocking Enforcement of Hemp Product Ban, Calls Law “Discriminatory” — Sandusky County Judge Jeremiah Ray issued a temporary restraining order in late March blocking local police from enforcing Ohio’s SB 56 hemp ban (effective March 20), finding the law likely violates the Dormant Commerce Clause by granting licensed marijuana dispensaries a monopoly over federally legal hemp products. The TRO is in place through April 28; plaintiff Cycling Frog has moved to expand it to a statewide class action. The Ohio AG moved to intervene on April 3.

Texas: Smokable Hemp Ban Takes Effect March 31 Under New Total-THC Rules — New DSHS regulations effective March 31 redefined “total THC” to include THCA in the Delta-9 calculation, effectively banning all THCA flower, pre-rolls, concentrates, and hemp-derived vape products. Annual licensing fees for retailers increased from $155 to $5,000 per location; manufacturer fees rose from $258 to $10,000 per facility. A coalition of hemp industry groups subsequently filed suit challenging the rules as exceeding DSHS’s statutory authority.

Virginia: Gov. Spanberger Signs Psilocybin Contingency Legislation — Gov. Abigail Spanberger (D) signed a bill to automatically legalize a form of psilocybin under state law contingent on FDA approval of the compound. The Virginia Cannabis Control Authority also opened applications for regulatory and compliance roles ahead of legal recreational marijuana sales.

Washington, D.C.: Mayor Proposes Allowing Medical Cannabis and Alcohol Companies to Partner on THC Beverages — Mayor Bowser announced legislation that would allow D.C.’s medical cannabis industry to apply for a cannabis production endorsement to manufacture THC beverages in partnership with licensed alcohol companies, at a cost of $500 per year.

Cannabis Abroad

Canada: Marijuana Sales Rising as Alcohol Purchases Decline — A new Canadian federal government report shows marijuana sales continuing to increase while alcohol purchases fall, with the 2024/2025 decline in alcohol sales representing the largest annual decrease since Statistics Canada began tracking the series.

Japan: Japanese Police Arrested a Record-High Number of People for Marijuana Last Year – Japanese authorities reported arresting a record-high number of individuals for marijuana-related offenses over the past year, underscoring the country’s continued strict prohibitionist stance.

Business, Banking, Insurance

Curaleaf Found to Have Violated Federal Labor Law — The National Labor Relations Board ruled that Curaleaf Holdings violated federal law by refusing to bargain with a union. The ruling represents a significant development for cannabis industry labor relations as unionization efforts continue to expand across the sector.

Massachusetts Cannabis Overhaul Raises License Cap, Restructures CCC — Beyond the possession limit increase, the bicameral compromise bill raising the per-entity dispensary license cap from three to six is expected to facilitate consolidation and survivability among the state’s approximately 400 active dispensaries, which have faced sustained pressure from record-low wholesale flower prices and market oversaturation.

Charlotte’s Web Targets Medicare CBD Pilot for Growth — Charlotte’s Web and other hemp-derived CBD companies are positioning to capitalize on the new Medicare BEI pilot, which analysts characterize as the most significant federal momentum for hemp-CBD since the 2018 Farm Bill. Cannabis stocks recorded their strongest weekly performance in months following the April 1 program launch and FDA enforcement memo.

Research

Lancet Psychiatry / STAT News: No Evidence Cannabis Is Effective for PTSD, Anxiety, or Depression — A landmark systematic review and meta-analysis published in The Lancet Psychiatry in March 2026 analyzed 54 randomized controlled trials covering the period 1980–2025 and found no evidence that cannabinoids are effective for anxiety, PTSD, depression, bipolar disorder, ADHD, or psychotic disorders—conditions that represent the most common justifications for medical cannabis prescriptions. The full study was led by the University of Sydney; a related UCLA-led review published in JAMA reached similar conclusions. Coverage via Scientific American and NPR.

ScienceDaily: Massive Review Finds No Evidence Cannabis Helps Anxiety, Depression, or PTSD — The University of Sydney-led study, described as the largest of its kind, found some limited evidence for reduction in insomnia symptoms and autistic traits but cautioned that evidence certainty was very low. Researchers noted the public’s embrace of cannabis has far outpaced clinical evidence for most psychiatric indications.

Other Noteworthy Updates

Ohio Hemp Ban Litigation Sets Commerce Clause Precedent to Watch — Judge Ray’s Dormant Commerce Clause ruling in Ohio—finding that the state’s hemp ban effectively immunizes in-state marijuana dispensaries from out-of-state competition over federally legal products—is being closely watched as a potential template for challenges to similar state-level intoxicating hemp bans ahead of the November 2026 federal crackdown.

SōRSE Technologies April 2026 Hemp & Cannabis Regulatory Roundup — A useful synthesis of federal and state hemp regulatory changes in March and April 2026 for compliance teams, covering the 2026 Farm Bill, FDA’s pending CBD enforcement policy, and four states (Pennsylvania, Rhode Island, Texas, Ohio) moving to tighten hemp rules ahead of the November federal ban.

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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 our cannabis team (Tish Pahl, Kyla Kaplan, Ben Dash, Denise Calle, and Michael Goodman) for assistance.