By Madeline Grant, NCIA’s Government Relations Manager
It’s always an invigorating time on Capitol Hill when a new Congress begins to get to work. The atmosphere is unlike any other; Hill offices are getting situated with their staff, hallways are full of exhilarated constituents, freshman members are finding their footing while moving into their offices, and committee assignments are being finalized. Congressional staffers, members of Congress, lobbyists, constituents, and advocates are back in action.
As we gear up for the 118th Congress, let’s take a look at some bills that we will see introduced to address descheduling, decriminalizing, and banking legislative efforts for the cannabis industry.
The Cannabis Administration and Opportunity (CAOA) Act
The long-awaited CAOA was unveiled last congress by Senate Majority Leader Chuck Schumer (D-NY), Senator Cory Booker (D-NJ), and Senate Finance Committee Chair Ron Wyden (D-OR). The comprehensive legalization would end federal prohibition by removing cannabis from the Controlled Substances Act, empower states to create their own cannabis laws, ensure federal regulation protects public health and safety, and prioritize restorative and economic justice. CAOA was first released as a discussion draft last year, alongside a request for comments from stakeholders. The National Cannabis Industry Association worked directly with Senator Schumer’s office and submitted comments to the bill. Although there was no movement, NCIA will continue to work directly with these offices to continue to improve the bill for the cannabis sector.
The States Reform Act
Rep. Nancy Mace’s (R-SC) States Reform Act was introduced last congress by a freshman congresswoman from a state without any cannabis laws. The bill would federally decriminalize cannabis by fully deferring to state powers over prohibition and commercial regulation, regulate cannabis products like alcohol, institute a three percent federal excise tax on those products to fund law enforcement and small business programs, and protect our veterans by ensuring they will not be discriminated against in federal hiring for cannabis use or lose their healthcare, and more. Last year this bill received positive feedback from the industry and NCIA will continue to work with Rep. Mace’s office this congress.
The Marijuana Opportunity, Reinvestment, and Expungement (MORE) Act
The MORE Act would end the criminalization of cannabis for adults by removing it from the list of controlled substances, eliminate related criminal penalties, and take several other major steps toward criminal justice reform, social justice, and economic development. Some key provisions of this bill are automatic expungements, impose a five percent tax on the retail sales of cannabis, create the Office of Cannabis Justice to oversee the social equity provisions, ensure the federal government could not discriminate against people because of cannabis use, and much more. Rep. Jerrold Nadler (D-NY), who served as chair to the House Judiciary Committee, was the sponsor of the bill last congress and was able to advance the bill through the chamber with ease. However, with Republicans winning back the majority in the House, successes like this will be more challenging. Additionally, Rep. Jim Jordan (R-OH), the new chair of the House Judiciary Committee, has not been supportive of the cannabis sector.
The Securing and Fair Enforcement (SAFE) Banking
The SAFE Banking Act aims to protect banking institutions- as well as their insurers- that choose to offer services to legitimate cannabis-related businesses operating in accordance with their respective state laws. The bill prevents federal banking regulators from imposing penalties on depository institutions that offer services to cannabis-related businesses. SAFE Banking is a bipartisan bill that has passed the House seven times. The broad consensus was that inaction on SAFE Banking came down to Senate leadership. As bipartisan Senate discussions materialized towards the end of last Congress, Republican senators requested the Department of Justice (DOJ) to analyze the bill. The DOJ wrote, “because marijuana would remain illegal under federal law, Congress should ensure efforts to provide access to financial services for state-legal businesses does not unintentionally erect obstacles to prosecution of other illicit activity or activities involving money laundering of proceeds of other illegal drugs or sales of marijuana that do not comply with state requirements.” Despite the concerns, the DOJ stated they would be happy to work with Congress on ways to improve the bill. As the 118th Congress begins, we will continue to do what we can to get SAFE Banking to this finish line.
The Harnessing Opportunity by Pursuing Expungement (HOPE) Act
In 2021 Rep. David Joyce (R-OH), who is a co-chair of the House Cannabis Caucus, and Rep. Alexandria Ocasio-Cortez (D-NY) introduced the HOPE Act to help states with expunging cannabis offenses by reducing the financial and administrative burden of such efforts through federal grants. Both lawmakers have advocated for cannabis reform on their respective sides of the aisle, with Rep. Joyce (R-OH) sponsoring the first Republican-led effort to decriminalize cannabis at the federal level in the House. Towards the end of last year discussions surfaced around including the HOPE Act in a SAFE Plus package. Unfortunately, with the end of the congressional session quickly coming to an end, so did the proposed package.
NCIA will continue to work with Capitol Hill offices to advance cannabis policy in the 118th Congress. With a shift in political dynamic, it’s imperative to continue to be a resource for congressional offices. Don’t miss the opportunity to attend our 11th Annual Cannabis Industry Lobby Days will be held May 16-18 in Washington, D.C.! You can register here. If you’re interested in getting more involved in our policy efforts or have questions about NCIA’s lobby days please reach out to madeline@thecannabisindustry.org. Stay tuned for more updates from the Government Relations team and check out last week’s blogs here.
Video: NCIA Today – June 18, 2021
NCIA Deputy Director of Communications Bethany Moore checks in with what’s going on across the country with the National Cannabis Industry Association’s membership, board, allies, and staff. Join us every Friday here on Facebook for NCIA Today Live.
Momentum Across The Nation – New Mexico, Virginia, and the District of Columbia
By Madeline Grant, NCIA’s Government Relations Manager
We may be barely three months into 2021, but we’ve seen a lot of action in state legislatures already! This week, let’s take a look at three significant state victories in their respective state legislatures: Virginia, New Mexico, and the District of Columbia.
Virginia
The Virginia legislature approved adult-use cannabis legalization this past Saturday in a historic vote. The state of Virginia specifically is a major achievement as it’s the first state in the South to embrace full cannabis legalization. The House passed the measure in a 48-43 vote, and the Senate approved it in a 20-19 vote. It is important to note that not a single Republican voted for the bill in either chamber, but regardless, it passed and this is a major victory for cannabis policy reform.
So, what’s next? Virginia is the 16th state to pass an adult-use cannabis legalization law. Along with Illinois and Vermont, Virginia is the third state to pass legalization to legalize, tax and regulate recreational cannabis through the state legislature.
The Conference Committee established a January 1, 2024 enactment date for the law — this is when regulated sales are scheduled to start. Additionally, lawmakers agreed to establish an independent agency, the Virginia Cannabis Control Authority, to oversee the regulations and govern the adult-use market in Virginia. Adults will be able to possess up to one ounce of marijuana and cultivate up to four plants per household without penalty. The remainder of the bill, which details regulatory and market structure social equity provisions, and repeals criminal penalties, is subject to a second review and vote by the assembly next year. Lawmakers were sure to address issues such as how to prevent large corporations from taking over the cannabis market, how to handle expungement of cannabis offenses, addressing social equity provisions, including prioritizing business licenses for individuals who have been disproportionately impacted by criminal enforcement, and more. This is a big move for Virginia and we are excited to keep a close eye.
New Mexico
Last Friday, Members of the New Mexico House of Representatives approved House Bill 12, to legalize and regulate the use, possession, cultivation, and retail sale of cannabis for adults. House Bill 12 will move to the Senate for further consideration. If passed, the current measure, approved by the House by a 39 to 31 vote, would allow adults to purchase at least two ounces of marijuana and cultivate up to six plants for personal use. Additionally, those convicted of an offense involving up to two ounces of marijuana possession would be eligible for automatic expungement, and those currently incarcerated for these offenses would be eligible for dismissal. House Bill 12 is one of the five competing adult-use legalization measures and specifically addresses social equity and community reinvestment provisions.
So, what’s next? We’ve seen a history of opposing chambers in New Mexico through cannabis legalization efforts in 2019 and 2020. The following day after the vote in the House, the Senate Tax, business Transportation Committee considered three additional measures to legalize and regulate cannabis retail sales. The lawmakers discussed the differences and similarities between the competing cannabis measures and noted the need to reach an agreement on differences before the end of the short legislative session, adjourning for the year on March 20, 2021. We will keep an eye on the Virginia state legislature and actions moving forward.
District of Columbia
We saw movement in D.C. when voters showed support at the ballot box by passing Initiative 71 in 2014, which allows adults in D.C. to grow, possess, and gift marijuana but not sell it. Since then, we’ve seen Congress prevent D.C. from allowing the sale of cannabis by attaching a provision to D.C.’s appropriations bill that precludes the District from using its fund to legalize or regulate cannabis sales. The District’s Mayor, Muriel Bowser, is pushing forward with legalization to legalize cannabis in the District. The Safe Cannabis Sales Act of 2021 was introduced last Friday. It would legalize recreational cannabis sales in the District for people 21 and up. The bill also takes steps to combat the toll cannabis criminalization has taken on communities of color, expunge some marijuana-related offenses from people’s criminal records, funnel sales tax revenue into helping get start-ups off the ground, and creates a new license category for microbusiness and third-party “social equity” delivery services. Additionally, more revenue from cannabis sales would go towards funding organizations in wards 7 and 8, which includes women and minority-owned small businesses opening or expanding restaurants; small grocery stores; and public school after-school programs. D.C. would require cannabis vendors to have their products tested by an independent facility to track their potency and check them for contaminants. Days after Mayor Bowser unveiled her reform proposal, Council Chairman Phil Mendelson introduced a cannabis regulation bill. When comparing the two pieces of legislation there are some key differences surrounding tax rate, revenue, licensing, and expungements. For more details, check out Washington City Paper’s article here.
What’s next? As I mentioned previously, since 2014, Congress has included language in a spending bill that prevents the District from spending any of its funds to create a tax-and-regulate system. Because of this, the District has been stalled in implementing the sale of cannabis. However, now that Democrats control both houses of Congress and therefore the appropriations committees, we are hopeful that this rider preventing cannabis sales in the nation’s capital could be lifted.
According to the latest Gallup poll, 68% percent of Americans support legalizing cannabis, which is up from last year’s 66 percent. With support for full cannabis legalization growing, it’s not particularly surprising to see reform happening in these states. We are watching these states closely as they inch towards cannabis legalization. We see different entities making efforts to reform outdated cannabis laws; such as governors, mayors, advocates, patients, lawmakers, and the overall cannabis community. Together, through dedication and commitment, we will continue to move the ball forward in states and at the federal level.
Please stay tuned for more updates and please make sure to check out NCIA’s State Policy Map where all state updates are housed. As we continue the good fight it’s important to count our victories.
Meet The Team: Madeline Grant – NCIA’s Government Relations Manager
by Madeline Grant, NCIA’s Government Relations Manager
It’s funny how things just happen… one day, like any normal day, I was working the lunch shift at a restaurant called Carolina Ale House in Columbia, South Carolina. At first, I was worried about how much I would make in tips that day, as anyone with experience in the service industry can relate to, but then I started chatting with one of my tables… small talk, really. I told them how I was a sophomore at the University of South Carolina studying journalism and mass communications with a focus in public relations and a minor in women and gender studies. One man asked, “Well what do you want to do after college?” A question I thought about often but never had an answer to. He handed me his business card and asked if I was interested in politics. A few days later, I reached out, interviewed with the firm partners, and successfully scored the internship.
As I entered the political realm, I knew close to nothing but had a desire to learn as much as possible. Growing up, I was never really introduced into the world of politics as my parents didn’t say much about it – it was a whole new world to me! I attended caucus meetings, sat in the Senate and listened, followed legislation pertaining to their clients, researched, etc. My boss walked in one day and said he had an interesting project for me: to research and find everything I can about medical cannabis. I discovered so many fascinating miracle stories such as the effectiveness of medical cannabis for children with epilepsy. Seeing the great benefits and possibility, I kept thinking: why is this classified a Schedule 1 substance?
Fast forward to the classic “college graduate in search of a job” situation. I moved back home to Frederick, Maryland and started as an intern on Capitol Hill. After two months of interning, I landed a job on Capitol Hill and fell passionately in love with health issues (every staffer that went the legislative route had their assigned issues to become experts on). I began to learn more about cannabis and the detrimental effects of its Schedule 1 status.
Cannabis being classified as a Schedule 1 substance deems it to have a high potential for abuse, no currently accepted medical treatment use, and lack of accepted safety for use under medical supervision. Because of this classification, we can’t fully explore the medicinal benefit that it can in fact offer.
As I started taking more meetings with cannabis advocates, lobbyists, and patients, there was one significant group that stuck with me: a group of mothers and children with debilitating chronic diseases. The mothers were there to advocate on behalf of their children who significantly benefited from CBD oil. They told me a story about a family that uprooted their entire lives for their epileptic child because CBD was the only medicine that was working to reduce the seizures. On that day, I realized how important cannabis is for patients and how it truly can make an unlivable life livable. And that was JUST CBD. Can you imagine what we could gain from the whole plant? If we had the ability to research every single component of the plant, we could begin to know the full, true potential of medical cannabis.
The Schedule 1 status of marijuana hinders research and that needs to change, but thankfully, I can help.
As the Government Relations Manager at NCIA, I passionately lobby for those patients and businesses. I’ve been at NCIA for nearly three years and slowly but surely I’ve seen a significant change in the stigma associated with cannabis on Capitol Hill. It is my job to educate members of Congress, Hill staffers, and the public on all issues the cannabis community faces. This can include anything from cannabis business getting access to banking to educating members on the injustice the war on drugs had on Americans. My job is to educate and tell your stories which I do with great honor. I’m proud to represent you and what you do in the cannabis community.
As we are at home, I would love to meet with you virtually!
As I am unable to be on Capitol Hill right now, I want to use my time to compile your stories to forward to Hill offices, so please reach out if you are able and willing to tell your story. Stay safe and healthy.
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By Madeline Grant, NCIA’s Government Relations Manager
It’s funny how things just happen… one day, like any normal day, I was working the lunch shift at a restaurant called Carolina Ale House in Columbia, South Carolina. At first, I was worried about how much I would make in tips that day, as anyone with experience in the service industry can relate to, but then I started chatting with one of my tables… small talk, really. I told them how I was a sophomore at the University of South Carolina studying journalism and mass communications with a focus in public relations and a minor in women and gender studies. One man asked, “Well what do you want to do after college?” A question I thought about often but never had an answer to. He handed me his business card and asked if I was interested in politics. A few days later, I reached out, interviewed with the firm partners, and successfully scored the internship.