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Marijuana advocates seriously eye federal legalization after election

2020-10-17

Federal marijuana legalization could be only months from becoming reality, spurring Washington DC-based MJ advocates to seriously consider a “post-prohibition” world as they map out political strategies for 2021.

Several DC-based nonprofits and trade associations predict a bill to federally legalize marijuana could pass Congress in the near future – but only if Democrat Joe Biden wins the White House and his party controls the Senate and the House of Representatives.

If that occurs – and it’s not a sure bet – the move could become a game changer for the national marijuana industry.

Descheduling is akin to the cannabis holy grail.

It would simultaneously:

  • Legalize marijuana federally.
  • End the 280E tax restrictions.
  • Open banking access.
  • Allow for interstate and international cannabis trade.

How it could play out

Meyer, a former staffer in the office of Kentucky Republican U.S. Sen. Rand Paul, predicted the Marijuana Opportunity Reinvestment and Expungement (MORE) Act “would be the primary vehicle” if the Democrats do take the White House and the Senate, in part because it’s already teed up in the House this year.

While legalizing marijuana federally by removing the plant from the federal Controlled Substances Act, the MORE Act would allow states to continue to choose how to regulate a commercial MJ industry.

But many questions remain, and much could change depending on the election.

If, for instance, Republicans retain control of the Senate or the White House, then the fallback plan for many groups is to focus on piecemeal bills such as the Secure And Fair Enforcement (SAFE) Banking Act.

That legislation would enable financial institutions to serve cannabis-related businesses without fear of federal punishment.

But should Democrats win big on Election Day, the next question – after the presumed passage of the MORE Act or legislation close to it – would become the regulatory framework.

But, Meyer added, a solution already exists.

GACC issued a 66-page draft of a bill that “ends cannabis prohibition and creates an all-encompassing regulatory framework” that:

  • Allows states to take the lead.
  • Also allows the U.S. Food and Drug Administration and the Alcohol and Tobacco Tax and Trade Bureau to oversee interstate marijuana trade.

The National Cannabis Industry Association (NCIA) issued a 48-page white paper touting a similar approach, arguing that a “‘one-size-fits all’ regulatory framework would be ineffective.”


 
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