CANNASWEEP

WEEK OF APRIL 5, 2024

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. 

Federal Executive Branch — Office of the President, Departments and Agencies

• A Proclamation on Second Chance Month, 2024: The White House

  • “It is simple:  No one should be in jail or prison for using or possessing marijuana alone” – President Biden

• Biden vs. Trump: High Stakes for Cannabis Policy? (National Law Review)
• USDA Greenlights Modified Hemp Variant Free from CBD, THC
• Justice Department Expects ‘Influx’ Of Marijuana Pardon Certificate Applications, Setting Targets To Quickly Process Requests
• Cannabis Industry Facing High-Cost Challenges As Tax Day Approaches.
• DEA Agrees To Hold Hearing On Proposed Ban Of Two Psychedelics Amid Pushback From Researchers

Recent FDA Remarks

• Two FDA officials working on cannabis policy spoke at an industry panel on April 4.  [PoliticoPro subscriber only]
• FDA speakers included FDA Senior Science Advisor and Cannabis Products Committee Lead Patrick Cournoyer, FDA Senior Public Health Advisor Norman Birenbaum, Center for Veterinary Medicine Deputy Director Charlotte Conway, and Office of Dietary Supplement Programs Director Cara Welch.  Among their remarks:
• “[CBD and Delta-8 regulation] are two problems that are the consequence of the 2018 Farm Bill”  and “Both of those problems need a solution”
• Regulating hemp-derived cannabis products does not fit within any existing regulatory pathway
• FDA’s three main concerns are (and continue to be) liver toxicity, reproductive health, and drug interactions.  If CBD was submitted to FDA as a food additive, it would not be approved
• Contaminants and the many formats for CBD products are also a concern, from inhaled products to food additives to products for animals
• Congress needs to make a new regulatory pathway, though there is uncertainty as to whether Congress could simply direct the agency to create the pathway or whether additional legislation is needed.  A fully regulated market, however, is likely still years away. 
• The FDA panelists would not comment on rescheduling.  FDA stated that they completed their process and that there was nothing further to speak to. 

U.S. Congress

• The Past: How Cannabis Policy Has Evolved
• 22 AGs Call on Congress to End Hemp Intoxicants ‘Loophole’ in Federal Farm Bill and;  want them to undo it; Attorney General Alliance tweeted, “AGA was honored to collaborate with @AGWilliamTong on this critical message for families and communities regarding unsafe and illegal cannabis edibles.”
• SAFE Banking Act Could Transform the Cannabis Industry as Demand Continues to Climb
• Hemp-derived THC producers wary of how US Farm Bill could change market.

Cannabis Rescheduling/Descheduling

• Kamala Harris is gravely wrong about rescheduling marijuana (Opinion – The Hill)

The States

• Recreational cannabis legalization and immigration enforcement: a state-level analysis of arrests and deportations in the United States, 2009–2020
• California: The Department of Cannabis Control (DCC) is issuing this consumer advisory due to inaccurate THC content labeling
• Colorado: Bill Banning Social Media MJ, Drug Posts Raises Constitutional Concerns
• Delaware: Delaware lawmakers vote to expand access to medical marijuana, send bill to Gov. Carney
• Florida: The Florida Supreme Court issued rulings allowing the state’s voters to decide whether to protect abortion rights and legalize the recreational use of marijuana; Requirements for transporting hemp into or within the state of Florida including paperwork and inspection; How recreational marijuana would change Florida cannabis industry if approved by voters
• Georgia: Georgia hemp bill imposing age limits on CBD, delta-8 THC goes to Governor
• Hawaii: Hawaii Lawmakers Advance Bill To Expand State’s Marijuana Decriminalization Law As Broader Legalization Hangs In The Balance; Will Hawaii legalize weed? The fight for recreational marijuana is complicated
• Iowa: Iowa bill regulating THC in consumable hemp products headed to Gov. Kim Reynolds’ desk; Business owners say Hemp bill headed to governor’s desk could wipe out the industry
• Louisiana: New hemp THC products could be outlawed in Louisiana in the proposed bill. Here’s what to know.
• Maine: Maine bill aims to change how edible cannabis products are labeled
• Massachusetts: Massachusetts Governor’s Council Weighs Maura Healey Marijuana Pardon Plan; Massachusetts-Based Adult Beverage Alliance Forms to Advocate for Responsible State Regulation of CBD/THC Drinks
• Missouri: Proposed legislation (here and here) could ban the majority of Delta-8 drinks and edibles in Missouri; The Missouri Division of Cannabis Regulation (DCR) has revoked nine microbusiness marijuana licenses after a review found them unable to meet strict, equitable eligibility rules; Delta Hate: Unregulated products and trick advertising forge a harmful shadow industry
• Nebraska: Hemp and CBD industry could be in trouble as lawmakers propose 100% tax increase to fund property tax cuts
• New York: From raided to rewarded: NY’s unlicensed cannabis shops get license priority, sparking outrage; ‘Proximity protection’ in New York a new battleground for dispensaries
• Ohio: Ohio doubled the number of medical marijuana dispensaries; Administrative rulemaking for the state’s pending recreational marijuana program is moving full steam ahead, one industry trade association says, with sales likely to start by the third quarter of the year; Ohio lawmakers likely won’t agree on marijuana law changes, House speaker says
• Pennsylvania: Pa. Farm Bill invests in state agriculture – the Center for Animal Agriculture Excellence makes hemp an approved animal feed;
• Virginia: Virginia Governor vetoes bills (here and here) to legalize cannabis sales
• Washington: Teen Marijuana Use Has Declined In Washington Since Legalization, New State Research Shows
• Washington, D.C.: D.C’s first transitioning I-71 cannabis gifting stores cleared to open as legal medical dispensaries

Cannabis Abroad

• Cannabis Is Officially Legal In Germany – What You Need To Know: (1) Cannabis users celebrate relaxation of laws on personal use in Germany (The Guardian); (2) Germany becomes the largest EU country to legalize cannabis for recreational use (La Monde – France); (3) Who benefits from the legalization of cannabis in Germany? (North Macedonia); (4) Germany becomes the biggest E.U. country to legalize marijuana possession (The Washington Post); and (5) Germans celebrate as recreational cannabis use becomes legal (CNN)
• Austria stepping up police checks in border areas after Germany liberalizes cannabis rules
• Medical cannabis could soon get the green light in France after an unprecedented trial
• Marijuana in Thailand will be regulated, not banned: Public Health Minister

Business, Banking, Insurance

• The Big Problem for Marijuana Companies? What to Do With All That Cash. Few banks will work with cannabis upstarts—but some lawmakers hope to change that this year (The Wall Street Journal)
• OSHA Enforcement and Guidance on Protecting Workers within the Cannabis Industry – Webinar Series
• Medical Marijuana: New Court Ruling on Impairment at Work

Other Noteworthy Updates

• 9 Out Of 10 Americans Support Legalizing Marijuana, New Poll Finds (Forbes)
• Large Review Finds CBD Products Don’t Relieve Chronic Pain After All
• Study: Medical Marijuana Use Rises as Prescription Pain Reliever Dips
• Patients keep asking if they should take cannabis for their cancer. The answer is still no (The Guardian)
• How Do US Hemp-Derived Cannabinoid Sales and Craft Beer Sales Compare? The U.S. hemp-derived cannabinoid market is “conservatively” estimated to be $28.4 billion, according to Whitney Economics’ “2023 National Cannabinoid Report,” making the market size the same as the 2022 craft beer market.

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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.