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DEA Unveils New Rule To Finally Allow More Marijuana Growers For Research

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The Drug Enforcement Administration (DEA) announced on Friday that it will be taking significant steps to expand marijuana research.

The agency is proposing a rule change that would enable it to approve additional cannabis growers and diversify the types of marijuana available to be used in studies. The move comes more than three years after the agency initially said it was accepting applications for additional marijuana manufacturers.

DEA stressed throughout the new notice that it will have sole ownership over any marijuana that’s cultivated for research purposes. That includes any cannabis that’s stored at cultivation facilities. This appears to be a fundamental change in policy. As it stands, a single facility in Mississippi is authorized to grow cannabis through a contract with the National Institute on Drug Abuse (NIDA), and DEA does not maintain ownership over its products.

“The Drug Enforcement Administration continues to support additional research into marijuana and its components, and we believe registering more growers will advance the scientific and medical research already being conducted,” Acting Administrator Uttam Dhillon said in a press release. “DEA is making progress to register additional marijuana growers for federally authorized research, and will continue to work with other relevant federal agencies to expedite the necessary next steps.”

A 60-day public comment period will be open for individuals to provide feedback on the proposal, which will be formally published in the Federal Register on Monday.

After DEA said in 2016 that it would allow more cannabis cultivators, 37 institutions submitted applications. Many applicants grew frustrated with inaction on their proposals, and one filed a lawsuit alleging that the agency was deliberately avoiding making good on its pledge. The plaintiff won a procedural victory in that case, with the court mandating that DEA take action.

However, because the agency did provide an update on the status of its process, the suit was dismissed last year. DEA argued that the high volume of applicants to manufacture cannabis, as well as what it saw as complications arising from international drug treaties to which the U.S. is a party, meant that it would have to develop new regulations to approve them.

“This is an important step and a byproduct of the legal action we filed last summer,” Sue Sisley, a researcher with the institution that filed the suit, told Marijuauna Moment. “The agency indicated it would propose new rules to govern approving new applicants to manufacture marijuana for research, and these appear to be those rules.”

Lawmakers have repeatedly pressured the agency to expedite the process of allowing more cannabis to be grown for studies. Last year, thirty bipartisan members of the House and Senate sent a letter to the Justice Department, urging officials to approve additional applications.

Attorney General William Barr has said he favors expanding research opportunities and testified at a Senate Appropriations Committee hearing last year that it’s something he’s “ been pushing very hard over the last few weeks.” He also said at that meeting that he’d prefer some level of federal regulations over cannabis as opposed to maintaining the status quo of prohibition.

His interim predecessor, Matthew Whitaker, had previously told Congress that international treaty obligations were complicating efforts to authorize more marijuana manufacturers—a point that’s was disputed by the U.S. State Department’s Bureau of International Narcotics and Law Enforcement in a 2016 letter to senators.

President Trump’s first attorney general, Jeff Sessions, had reportedly interfered in the process during his time in office. The anti-cannabis official also rescinded Obama era guidance laying out enforcement guidances on marijuana for federal prosecutors.

With respect to international treaty obligations, DEA said there are five requirements that countries allowing marijuana cultivation for research must adhere to in order to maintain compliance with United Nations rules. The agency already follows three of the five, but the “proposed rule would amend DEA’s regulations so that DEA directly carries out these remaining two functions.”

Those functions are: 1) requiring cultivators to deliver their cannabis directly to a government agency in a timely manner, but no longer than four months after harvest, and 2) ensuring that the agency holds the “exclusive right of importing, exporting, wholesale trading, and maintaining stocks of cannabis and cannabis resin,” except as it concerns medical marijuana preparations.

“DEA may accept delivery and maintain possession of such crops at the registered location of the registered manufacturer authorized to cultivate cannabis consistent with the maintenance of effective controls against diversion,” the notice states. “In such cases, DEA shall designate a secure storage mechanism at the registered location in which DEA may maintain possession of the cannabis, and DEA will control access to the stored cannabis.”

Further, the agency said it will control “importing, exporting, wholesale trading, and maintaining stocks,” and it may “exercise its exclusive right by authorizing the performance of such activities by appropriately registered persons.” It will also require written notice from cultivators about their estimated harvest date. That notice should be submitted at least 15 days prior to harvest.

“It should be noted that the timing of when DEA would take physical possession of the crops, if delayed, would not only increase the risk of diversion, but would also adversely impact the quality of the crop,” DEA said.

“If this proposed rule is promulgated, the following key changes are anticipated: more persons will be authorized to grow marihuana, DEA will purchase and take title to the crops of marihuana, and DEA will, with respect to marihuana, have the exclusive right of importing, exporting, wholesale trading, and maintaining stocks,” the notice states. “These changes would mean that authorized purchasers of bulk marihuana to be used for research, product development, and other purposes permitted by the CSA may only purchase from DEA, except that DEA’s exclusive rights would not extend to medicinal cannabis or cannabis preparations.”

DEA said this notice, which also lays out criteria for eligible cultivation applicants, “is the latest and most significant action taken to expand the number of registered marijuana growers in the United States and underscores the federal government’s support for scientific and medical research with marijuana and its chemical constituents.”

Corey Cox, a senior associate at Vicente Sederberg LLP, told Marijuana Moment that DEA’s application approval process has been “very slow” so far, but that the new filing is a positive sign.

“Given this history, even if the rules leave significant room for improvement, their publication in the Federal Register represents meaningful movement beyond the stalling tactics DEA has employed to date,” he said.

The agency said the proposed rule would increase the diversity of cannabis grown for research purposes—including products of varying quality and potency—which could produce “more effective research” and facilitate possible development of Food and Drug Administration-approved medicines.

There’s been widespread criticism over the quality of cannabis produced at the only federally authorized cultivation facility at the University of Mississippi. Studies have indicated that the institute’s products are chemically more similar to hemp than marijuana available in state-legal markets, raising questions about the applicability of studies that have relied on the government’s cannabis on real consumers.

The head of the federal cultivation facility said last year that he couldn’t understand demand for marijuana with higher THC concentrations, arguing that even eight percent THC (significantly lower that most products in commercial markets) is “extremely” potent.

Unlike the current system, DEA would have a much more hands-on role under the proposed rule.

For example, “DEA would travel to the National Center at the time of harvest and take title and possession to the crop.” After that point, the material would be maintained, under seal, in DEA’s possession in the National Center’s schedule I vault until such time that a distribution to another DEA registrant is authorized.”

It remains unclear how many cultivator applications will be approved. An economic analysis the agency will conduct will consider two hypothetical scenarios. Under the first, DEA would consider the impact of approving three additional growers. Under the second, it would look at the effects of approving 15 more. However, the agency said that “this range of potential registrants is not necessarily reflective of the actual number of applications that DEA will grant.”

The agency also described how it will judge various manufacturer applications, explaining that it would consider their “ability to consistently produce and supply marihuana of a high quality and defined chemical composition” and also look into whether “the applicant has demonstrated prior compliance with the CSA and DEA regulations.”

That second criterion could pose problems for several companies that have filed applications—such as Columbia Care and The Giving Tree Wellness Center—which operate cannabis dispensaries in defiance of federal marijuana prohibition.

Individuals with prior cannabis convictions may also be adversely impacted in the application process, as the proposed rule states that the agency will take into account violations of federal or state law “relating to the manufacture, distribution, or dispensing of such substances.”

Another provision of the rule concerns pricing for cannabis sold or purchased by DEA for research purposes. The agency said it will negotiate a fee based on “market forces” and also potentially add an administrative cost “to add onto the sales price of the marihuana it sells to end users.”

“DEA believes that economic forces will not only drive the types, varieties and strains of marihuana materials that will be produced by growers, but that such forces will also drive the fees that DEA-registrants will be willing to pay for marihuana used for research purposes,” it states.

The agency also said it anticipates “minimal procedural change for authorized researchers who plan to acquire bulk marihuana for research” as compared to current policy and that the “only anticipated procedural change is that some researchers would acquire the bulk marihuana from DEA, rather than from NIDA.”

This story has been updated to include additional information about the proposed rule change.

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Photo courtesy of Philip Steffan.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.

Kyle Jaeger is Marijuana Moment's Los Angeles-based associate editor. His work has also appeared in High Times, VICE and attn.

Politics

Local Massachusetts Lawmakers Unanimously Approve Psychedelics Decriminalization Measure

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Local Massachusetts lawmakers on Thursday unanimously approved a resolution to decriminalize a wide range of psychedelics—the latest in a national movement to reform laws on entheogenic plants and fungi.

Prior passing the measure in a 9-0 vote, the Somerville City Council took testimony from two people with personal experience benefiting from the therapeutic use of psychedelics. Several members of the council also discussed the failures of the drug war and the potential medical value of entheogenic substances, particularly as it concerns mental health.

The resolution was supported by the mayor.

“By decriminalizing psychedelic plants, Massachusetts can mainstream harm-reduction strategies as therapists and health providers embrace these compounds for physical, psychological, and spiritual relief,” Decriminalize Nature, Bay Staters for Natural Medicines and the Heroic Hearts Project said in written testimony to lawmakers.

“Somerville has a chance to empower our neighbors, friends, and loved ones to seek the physical and spiritual relief they need and put public health above incarcerating people even in cases of addiction and abuse of controlled substances,” they wrote.

Under the proposal, enforcement of laws against psychedelics such as psilocybin mushrooms and ayahuasca would be among the city’s lowest priorities. It also calls on the county prosecutor to cease pursing cases for persons charged with possessing or distributing entheogens.

The measure states that “the City Council hereby maintains it should be the policy of the City of Somerville that the investigation and arrest of adult persons for planting, cultivating, purchasing, transporting, distributing, engaging in practices with, and/or possessing entheogenic plants… shall be amongst the lowest law enforcement priority for the City of Somerville.”

It also stipulates that “no City of Somerville department, agency, board, commission, officer or employee of the city, including without limitation, Somerville Police Department personnel, should use any city funds or resources to assist in the enforcement of laws imposing criminal penalties for the use and possession of entheogenic plants by adults.”

The resolution emphasizes that the measure would not allow for commercial sales of these substances, nor would it permit driving while under the influence of them.

“I love living in a city where this is not controversial and you got unanimous support,” Council President Matt McLaughlin said at the close of the meeting. “Let’s end this war on drugs, and this is a good step.”

Watch the lawmakers discuss the psychedelics reform resolution, starting around 25:45 into the video below: 

With Thursday’s vote, Somerville joins a growing number of cities across the U.S. that have enacted psychedelics decriminalization. Most of the reforms have advanced legislatively, though Washington, D.C. became the first jurisdiction to decriminalize via the ballot in November.

Three other cities—Oakland, Santa Cruz and Ann Arbor—have also decriminalized possession of plant-and fungi-based psychedelics.

In Oregon, November’s election saw the passage of a historic initiative to legalize psilocybin mushrooms for therapeutic purposes. The governor announced in November that applications for an advisory board to oversee implementation of the program were being accepted up until January 1.

Much of this reform progress can be traced back to Denver, which became the first city in the country to decriminalize psilocybin mushrooms in May 2019. Since then, activists in more than 100 cities have expressed interest in pursuing psychedelics decriminalization.

In Oakland, the first city where a city council voted to broadly deprioritize criminalization of entheogenic substances, lawmakers approved a follow-up resolution last month that calls for the policy change to be adopted statewide and for local jurisdictions to be allowed to permit healing ceremonies where people could use psychedelics.

A California state senator plans to file a bill to decriminalize psychedelics for the 2021 session.

Meanwhile, after Ann Arbor legislators passed a decriminalization resolution in September, a county prosecutor recently announced that his office will not be pursuing charges over possessing entheogenic plants and fungi—“regardless of the amount at issue.”

Virginia Senate Holds First Marijuana Legalization Hearing, With More Scheduled Next Week

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North Dakota Lawmakers File Bill To Significantly Expand Marijuana Decriminalization Law

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North Dakota lawmakers have introduced a bill to significantly expand marijuana decriminalization in the state.

The legislation, which was filed on Monday, would build on an initial cannabis decriminalization law that was enacted in 2019.

Under the current statute, possession of half an ounce or less of marijuana is an infraction punishable by a fine of up to $1,000, with no jail time. The new proposal would make possession of up to an ounce a non-criminal offense that carries a $50 fine.

Further, possession of more than one ounce and less than 250 grams would be treated as an infraction, rather than a class B misdemeanor, as it is currently classified.

Possessing more than 250 grams of marijuana would be a class B misdemeanor and possessing more than 500 grams would be a class A misdemeanor.

The bill is being sponsored by Rep. Shannon Roers Jones (R) and Sen. Scott Meyer (R) in their respective chambers. It’s been referred to the House Judiciary Committee.


Marijuana Moment is already tracking more than 250 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments.

Learn more about our marijuana bill tracker and become a supporter on Patreon to get access.

“It’s encouraging to see Rep. Roers Jones and her colleagues continue the push to reduce harsh and senseless penalties for possession of small amounts of marijuana in North Dakota,” Jared Moffat, state campaigns manager at the Marijuana Policy Project, told Marijuana Moment. “Decriminalization is no substitute for legalizing and regulating marijuana for adults, as several of North Dakota’s neighbors have now done. But passage of this bill would continue the trend of progress the state has seen in recent years.”

Activists are moving forward with plans to put a cannabis legalization ballot initiative before voters in 2022.

The measure, which would allow adults 21 and older to possess and cultivate cannabis for personal use, was submitted to Secretary of State Al Jaeger on Monday. If its language is accepted, the campaign will be able to start signature gathering to qualify for the ballot.

The same team behind the new initiative came close to putting a similar measure on the state’s ballot last year, but petitioning efforts were impeded by the coronavirus pandemic.

A separate group of advocates, Legalize ND, also attempted to qualify a different legalization initiative in 2020 that would have allowed retail sales but excluded a home grow option. That organization is also considering plans for its own 2022 measure.

Previously, a 2018 legalization push that did qualify for the ballot was defeated. Voters in the state did approve a measure to legalize medical cannabis in 2016, though the law was scaled down by the legislature the following year.

While activists are skeptical that the legislature has the appetite to enact the policy change on their own, it is the case that lawmakers may feel increased pressure given that voters in neighboring South Dakota and Montana elected to legalize cannabis in November.

Read the new North Dakota marijuana decriminalization bill below: 

North Dakota Decriminalizat… by Marijuana Moment

New Mexico Governor Says Marijuana Legalization Is A 2021 Priority

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Virginia Senate Holds First Marijuana Legalization Hearing, With More Scheduled Next Week

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A Virginia Senate committee held an initial hearing on Friday on a bill to legalize marijuana that was introduced with support from the governor just two days ago.

The legislation’s quick consideration by the Senate Rehabilitation and Social Services Committee is an early sign that lawmakers intend to advance it expeditiously. Two additional hearings are scheduled for Tuesday and Wednesday in a newly formed subcommittee of the panel that’s specifically focused on cannabis policy.

The bill, which is being carried by top Senate and House leaders, would create a system of regulated and taxed marijuana sales and production, and allow adults 21 and older to purchase and possess up to one ounce of cannabis and cultivate up to four plants for personal use, two of which could be mature.

After the bill is considered by the new marijuana-focused subcommittee next week, the full Rehabilitation panel is expected to hold a vote next Friday to refer it to the Senate Judiciary Committee. After that panel considers the legislation, it would head to the Finance Committee before coming to the full Senate floor.

At the initial hearing, members heard testimony from a representative of Gov. Ralph Northam’s (D) administration and asked questions about components of the bill such as those concerning expungements and social equity grants.

The legislation’s provisions have been informed by two official state studies on legalization that were recently conducted by a legislative commission and a separate working group comprised of four Virginia cabinet secretaries and other officials, both of which looked at how to effectively implement legalization and submitted recommendations to the governor’s office late last year.

Those studies were required under a marijuana decriminalization bill that was approved last year.

Many of those recommendations have been incorporated into the new legislation, including provisions to promote social equity in the cannabis market. Notably, it would also apportion almost half of the tax revenue the state collects from marijuana sales to funding pre-kindergarten education—a policy championed by First Lady Pamela Northam.

The state’s alcohol regulatory body would be renamed the Virginia Alcoholic Beverage and Cannabis Control Authority, and it would be responsible for promulgating rules and issuing licenses.

A new 21 percent tax would be imposed on cannabis sales, and local jurisdictions that allow marijuana businesses to operate could levy an additional three percent tax. Existing state sales taxes would also apply on purchases, for a total potential 30 percent tax rate.

Revenue from the new state tax would go toward funding pre-k education (40 percent), a Cannabis Equity Reinvestment Fund (30 percent), substance misuse and treatment programs (25 percent) and public health initiatives (five percent).


Marijuana Moment is already tracking more than 250 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments.

Learn more about our marijuana bill tracker and become a supporter on Patreon to get access.

Deputy Secretary of Agriculture and Forestry Brad Copenhaver, who testified on behalf of the Northam administration on Friday, emphasized that the “keystone of this entire bill is marijuana legalization of a social equity endeavor.”

Advocates have celebrated the bill’s introduction and are optimistic about the prospects of getting the reform enacted this session, but they also feel the legislation as proposed can be improved upon.

One problematic provision from advocates’ perspective is that the bill would make public consumption a misdemeanor, whereas currently it is a civil offense punishable by a $25 fine.

Additionally, it seems to increase the fine for people aged 18-20 who possess cannabis. The fine would be $250 for a first offense, and the legislation also stipulates that underage people could be subject to mandatory substance misuse treatment for violating the law.

This introduction of the bill comes one month after the governor included provisions to lay the groundwork for cannabis legalization in a budget proposal that also calls for millions of dollars to support expungements. Northam had campaigned on merely decriminalizing possession, but he publicly backed broader legalization of marijuana for adult use in November.

Northam said during his State of the Commonwealth address on Wednesday that cannabis prohibition was deliberately enacted as a means to discriminate against people of color.

“The administration’s proposal does an excellent job of centering equity and restorative justice, but we are greatly concerned by the proposed rollbacks of newly enacted decriminalization measures and creation of new crimes for consumption and possession,” Jenn Michelle Pedini, executive director of Virginia NORML, told Marijuana Moment.

“Not only would this escalation in criminalization not increase public safety, this will specifically target young, Black, Brown, and poor Virginians, those who are already overwhelmingly and disproportionately harmed by marijuana prohibition,” Pedini, who also serves as NORML’s national development director, said. “Governor Northam wants to get this right, and NORML will be offering policy guidance to help the administration do just that. It’s time to move forward, not backward, with cannabis policies in the Commonwealth.”

Separate legislation to legalize cannabis for adult use was filed by Del. Steve Heretick (D) last week.

Meanwhile, legislation to stop police from searching people or seizing property based solely on the smell of marijuana in Virginia is set to take effect after lawmakers adopted recommended changes from the governor in October.

Also during the recently concluded special session, Northam signed another bill that will allow people issued summonses for cannabis offenses under the state’s new decriminalization law to prepay their civil penalty rather than having show up in court.

USDA Releases Final Rule For Hemp, Two Years After Crop Was Federally Legalized

Photo courtesy of Philip Steffan.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.
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