Sen. Elizabeth Warren (D-MA) unveiled a plan for federal marijuana reform on Sunday, calling for legalization as well as a series of policies aimed at righting the wrongs of the drug war and promoting involvement in the legal industry by communities harmed by prohibition.
In the “Just and Equitable Cannabis Industry” plan, which Warren’s campaign shared with Marijuana Moment ahead of a town hall event in Colorado, the 2020 Democratic presidential candidate slams the “racist ‘War on Drugs’ policy” perpetuated during the Nixon administration and the mass incarceration that has followed.
She also introduces noteworthy ideas, such as using her executive authority to begin the federal legalization process within 100 days of taking office, respecting the sovereignty of other nations to legalize marijuana, protecting immigrants who participate in the legal industry, empowering veterans to access medical cannabis and ensuring that corporations aren’t able to monopolize the market.
Further, the Warren plan promotes unionization in the marijuana industry, protecting Indian tribes’ authority to enact their own reform programs and lifting a current ban so that Washington, D.C. can use its local monies to implement legal marijuana sales
“Even as the federal government has held fast to its outdated marijuana policy, states have led the charge in adopting thoughtful, evidenced-based marijuana policy,” the six-page document says. “And what have we learned in the eight years since the first states legalized marijuana? Legalization works.”
The senator details the progress of the legalization movement and the economic potential of the industry, and she argues that access to cannabis has been shown to play a role in mitigating the opioid epidemic. All that said, she notes that marijuana arrests have continued to increase nationally—and they continue to be carried out on racially disproportionate basis—and so comprehensive reform at the federal level is a goal she is pledging to pursue starting day one if elected president.
“It’s not justice when we lock up kids caught with an ounce of pot, while hedge fund managers make millions off of the legal sale of marijuana. My administration will put an end to that broken system.”
“Legalizing marijuana is about more than just allowing recreational use, or the potential medicinal benefit, or the money that can be made from this new market,” the Warren plan says. “It’s about undoing a century of racist policy that disproportionately targeted Black and Latinx communities. It’s about rebuilding the communities that have suffered the most harm. And it’s about ensuring that everyone has access to the opportunities that the new cannabis market provides.”
I've got a plan to legalize marijuana, rebuild communities devastated by failed anti-marijuana policies, and ensure that those communities are equally able to participate in the budding cannabis industry. Here’s how we’ll do it. https://t.co/11E2gfCHel
— Elizabeth Warren (@ewarren) February 23, 2020
The plan for marijuana reform.
Warren’s proposal is two-pronged. The first objective is to “address the disproportionate enforcement of our drug laws.” Here’s how she plans to accomplish that:
1. Urge Congress to pass comprehensive marijuana legalization bill such as the Marijuana Opportunity Reinvestment and Expungement (MORE) Act, which cleared the House Judiciary Committee last year. “We need full legalization, as quickly as possible,” the plan states.
2. Should Congress not follow suit, Warren says she will use her executive powers to begin the process of descheduling marijuana within her first 100 days in office. The senator is promising to appoint heads of the Justice Department, Drug Enforcement Administration, Food and Drug Administration and Office of National Drug Control Policy who support legalization and says she will “direct those agencies to begin the process of delisting marijuana via the federal rule-making process.” Additionally, Warren is pledging to reinstate Obama-era guidance directing federal prosecutors to generally respect local cannabis laws.
3. Expunge prior cannabis convictions. Again the candidate cites the MORE Act as an ideal vehicle for that policy change, stating that it would also “prohibit the denial of federal benefits, such as housing, because of the use or possession of, or even a past conviction for, marijuana.”
4. Ensure that immigrants are not penalized over marijuana convictions or participation in a state-legal cannabis market. That’s “because any equitable and just cannabis economy must also include immigrant communities,” she says, slamming a Trump administration move declaring that those who use cannabis do not have the “good moral character” needed for citizenship.
5. Encourage the U.S. Department of Veterans Affairs (VA) to research the therapeutic potential of cannabis for service members and allow VA doctors to recommend medical marijuana to veterans. She is also pledging to end a current policy that blocks veterans from getting home loans “for no reason other than being employed in their state’s legal marijuana industry“—an issue she recently filed Senate legislation on.
6. Deschedule cannabis to promote “serious research into the potential benefits and drawbacks of medical marijuana [that’s been] largely blocked by outdated federal laws and policies”and allocate funds for such studies.
7. Lift the appropriations ban that prohibits Washington, D.C. from using its local tax dollars to implement a regulated cannabis market. While there’s been widespread interest in removing the congressional rider at issue, eliminating the policy hasn’t received much attention on the presidential stage until now. Warren says she will “encourage the District to develop a legal market that includes impacted communities and fulfills the racial justice goals of the original referendum” that voters approved in 2014.
8. Warren says she will “streamline and remove unnecessary administrative barriers that impede economic growth on Tribal lands, respect tribal jurisdiction over tribal businesses, and promote forward-looking efforts to ensure full access to new and emerging economic opportunities, including in the cannabis industry.“
9. Respect the sovereignty of other nations that opt to legalize marijuana. The senator promises she will “support the legalization of marijuana in any nation that wishes to do so and fully support our neighbors exercising their sovereignty when it comes to their internal drug policy.” She further says that U.S. officials need to “recognize the role our War on Drugs has had in destabilizing Latin America – a root cause of migration to the United States.”
We can't allow affluent and mostly white hedge-funders and capital investors to hoard the profits from the same behavior that led to the incarceration of generations Black and Latino youth. We must ensure equity in accessing the cannabis industry. https://t.co/4lsPQByHli pic.twitter.com/FgjLQxeJXp
— Elizabeth Warren (@ewarren) February 23, 2020
Warren’s second broad objective as described in the plan is to “prioritize opportunities in the cannabis industry for communities of color and others who were harmed by the failed policies of the past.” That will involve:
1. Working to support unions, including those representing cannabis workers, to enhance collective bargaining rights. “As president, I will safeguard the organizing rights of working people and make it easier for unions to secure contracts and assert their rights in the cannabis industry,” Warren says. Sen. Bernie Sanders (I-VT), another 2020 candidate, also raised this issue last month, imploring employees at a major marijuana business in Illinois to vote in favor of unionization.
2. Freeing up banks and financial institutions to service cannabis businesses. Additionally, Warren says she will direct her administration “to investigate discrimination in cannabis-related capital lending that prevents many aspiring entrepreneurs of color from securing needed loans.”
3. Promoting participation in the legal industry by minorities and women—something that Warren says the MORE Act would accomplish. She also says she would “mitigate the high permitting and licensing fees that prevent many aspiring entrepreneurs of color from starting a cannabis business.”
4. Preventing large corporations from overtaking the marijuana industry and working to “protect consumers by closely regulating the safety and marketing of marijuana products.” Like Sanders, Warren points specifically at tobacco companies as examples of businesses that shouldn’t be able to enter the market. “We’ll make sure Big Tobacco can’t muscle in on the fledgling marijuana industry,” she says, adding that her administration will “use anti-trust laws and federal oversight to prevent consolidation in the cannabis industry that drives up prices, restricts new businesses from entering the markets, and lowers quality.”
5. Allowing individuals with prior drug convictions to participate in the marijuana and hemp industries. “I will remove collateral sanctions associated with federal convictions for activity that is no longer criminalized and encourage states to do the same,” the senator says.
“For four decades, we’ve subscribed to a ‘War on Drugs’ theory of crime, which has criminalized addiction, ripped apart families—and failed to curb drug use,” the plan states. “Legalizing marijuana and erasing past convictions won’t fully end the War on Drugs or address its painful legacy, but it’s a needed step in the right direction.”
My friends and colleagues @KamalaHarris and @CoryBooker have led the fight to repair the damage done by failed anti-marijuana policies. I am proud to support the MORE Act and the Marijuana Justice Act, and will continue to fight for those reforms as president.
— Elizabeth Warren (@ewarren) February 23, 2020
“As we move to harness the economic potential of a legalized cannabis industry, we must ensure that the communities that were harmed by the War on Drugs—disproportionately communities of color—are fully included in the opportunity and prosperity that legalization will create. I support investing federal and state revenue from the cannabis industry into communities that have been disproportionately impacted by enforcement of our existing marijuana laws.
“Legalizing marijuana gives us an opportunity to repair some of the damage caused by our current criminal justice system, to invest in the communities that have suffered the most harm, and to ensure that everyone can participate in the growing cannabis industry. We have an opportunity now to get this right, and I’ll fight to make that happen.”
Warren also calls out former House Speaker John Boehner (R-OH) in her proposal, stating that the country “cannot allow affluent and predominantly white hedge-funders and capital investors to hoard the profits from the same behavior that led to the incarceration of generations of Black and Latino youth.”
“Boehner, who declared that he was ‘unalterably opposed’ to legalization while in Congress, now profits handsomely as a lobbyist for legalization even as others continue to live with the consequences of a prohibition he defended,” she points out, referencing the former speaker’s role as a board member at the cannabis firm Acreage Holdings.
Legalizing marijuana is about more than just allowing its use. It’s about undoing a century of racist policy that disproportionately targeted Black and Latino communities and rebuilding the communities that have suffered the most harm. https://t.co/11E2gfl5PL
— Elizabeth Warren (@ewarren) February 23, 2020
While Warren’s plan repeatedly cites the need to broadly address the harms of the broader drug war, her proposals are exclusively focused on cannabis policy changes. While she and Sanders have been strong champions of marijuana reform, drug policy advocates have emphasized the need to expand reform to other illicit substances, as former South Bend, Indiana Mayor Pete Buttigieg and Rep. Tulsi Gabbard (D-HI) have by proposing decriminalization and legalization of all illegal drugs, respectively.
In terms of her marijuana reform agenda, however, experts who spoke to Marijuana Moment recently have indicated that Warren’s 100-day plan would probably be legally and practically more realistic that Sanders’s most recent proposal to use an executive order to legalize marijuana in all 50 states on day one of his presidency.
While Sanders initially proposed something similar to Warren—appointing key officials within his administration who would pursue legalization during his first 100 days in office—he shifted gears last month and pledged to deschedule cannabis on his first day in the White House.
Last year, Warren laid out a criminal justice reform plan that called for marijuana reform, as well as the legalization of safe injection sites where individuals could use illicit substances under medical supervision—a move also backed by Sanders.
Warren and Sanders might have differing approaches to marijuana legalization, but what’s clear is they stand in stark contrast to former New York City Mayor Mike Bloomberg and former Vice President Joe Biden, both of whom are the only contenders in the Democratic race who remain opposed to ending cannabis prohibition.
Read Warren’s full marijuana plan below:
Photo element courtesy of Gage Skidmore.
United Nations To Vote On Marijuana Rescheduling And CBD Issues This Week, With U.S. Backing Some Reforms
A key United Nations (UN) commission will vote on a series of World Health Organization (WHO) recommendations concerning international marijuana reform this week. And the U.S. is in favor of the boldest policy change.
UN’s Commission on Narcotic Drugs (CND) has held numerous meetings on the proposals—including removing cannabis from the most restrictive global drug scheduling category under a global treaty—since WHO made its six recommendations last year. Now, after several delays, CND is finally scheduled to meet to decide on the measures on Wednesday.
Advocates are generally encouraged by the development, arguing that a vote in favor of the reforms will promote research into the therapeutic potential of cannabis. However, they say removing marijuana from its current international Schedule IV status does not go far enough and means that many member nations will continue to criminalize the plant.
Here are each of WHO’s cannabis recommendations:
1. Remove marijuana from Schedule IV of the 1961 Single Convention.
2. Add THC and dronabinol (synthetic THC medication) to Schedule I of the 1961 Convention and, if approved, delete them from Schedule II of the 1971 Convention.
3. If the second recommendation is adopted, add tetrahydrocannabinol to Schedule I of the 1961 Convention and, if approved, delete it from Schedule I of the 1971 Convention.
4. Delete “extracts and tinctures of cannabis” from Schedule I of the 1961 Convention.
5. Add footnote to clarify that CBD products containing no more than 0.2 percent THC are not subject to international control.
6. Add “preparations containing dronabinol” to Schedule III of the 1961 Convention.
Last month, the U.S. government said it is backing the WHO recommendation to remove marijuana from the most restrictive global drug scheduling category—though it’s opposing separate cannabis reform proposals, including the one to clarify that CBD is not under international control.
John Walsh, director of drug policy for Washington Office on Latin America (WOLA), told Marijuana Moment that this upcoming vote is “momentous,” especially as “this is the first time that the UN scientific bodies has assessed placing cannabis and drug control schedules.”
‘And it’s extremely significant that the United States is supporting a recommendation to remove cannabis from Schedule IV, which strongly discourages medical uses of cannabis, even if it doesn’t outright prohibit it,” he said.
Of principal concern to advocates is that while marijuana would be removed from Schedule IV under the 1961 Single Convention—the most strict international category—it would maintain its status as a Schedule I controlled substance if the panel accepts the recommendation. (The international scheduling system differs from that of the U.S. in that the country’s most restrictive category is Schedule I.)
But despite supporting that recommendation, the U.S. circulated a proposed joint statement to other member states that claims consensus on the notion “that cannabis is properly subject to the full scope of international controls of the 1961 Single Convention, due in particular to the high rates of public health problems arising from cannabis use and the global extent of such problems, as identified in the critical review by WHO.”
It also stipulates that “no Party shall be precluded from adopting measures of control more strict or severe than those required as a result of this decision, if such measures in its opinion are necessary or desirable for the protection of the public health or welfare.” The language seems to attempt to leave room for countries to continue enforcing more restrictive cannabis policies regardless of international rules.
In an email obtained by Marijuana Moment, a State Department official said that the U.S. “believes, to demonstrate unity, every CND member and observer could ideally join the statement below, regardless of how their government will vote.” They also plan to proceed with filing the statement even if no other member states join them.
The statement represents a “disconnect” from the country’s planned vote in favor of removing marijuana from the international body’s most restrictive drug classification, Walsh said.
“Civil society had called for, and welcomed, this long overdue review process—but many have been critical of some of the recommendations,” drug policy reform advocates said in a media advisory. “While recommendations on medical cannabis and CBD are certainly positive steps, profound concerns have been raised around leaving cannabis in Schedule I of the 1961 Convention.”
“This recommendation is at odds with The Who Expert Committee on Drug Dependence’s clear finding that cannabis was less harmful than other drugs included in that schedule (heroin and cocaine),” the advisory, prepared by advocacy groups Transform Drug Policy Foundation, Transnational Institute, International Drug Policy Consortium and WOLA, said.
“Regardless of the outcome of the votes on 2 December, this historic review process has demonstrably failed to implement a much-needed modernization of an outdated and malfunctioning system, and to resolve key scientific, political, institutional and human rights challenges related to cannabis and its status in the international drugs control system,” they said.
Numerous health and drug policy reform groups have advocated for the more modest changes WHO proposed.
A coalition of drug policy groups told member nations in a sign-on statement that patients worldwide are “counting on you to seize the opportunity offered by WHO to update the treaties, doing all you can to ensure access to all useful medicines. Including cannabis medicines.”
“Adopting WHO’s recommendations would lead to better medications being developed and more tools for doctors to alleviate suffering while simultaneously reinforcing the UN’s relevance,” they said.
The Multidisciplinary Association for Psychedelic Studies also weighed in in favor of the recommendations.
While the WHO’s CBD recommendation would simply offer clarification that cannabidiol products containing no more than 0.2 percent THC isn’t a controlled substance under international treaties, the U.S. came down against that and several other cannabis-related proposals.
It should be noted that none of WHO’s recommendations would promote the legalization of cannabis in any country, but advocates nonetheless seem that as a step forward from the status quo.
“This is super, super meaningful. But I don’t want to overstate it,” Michael Krawitz, a U.S. Air Force veteran and legalization advocate who has spent years working to reform international drug treaties, told Marijuana Moment. “I’ve been cautioning really hard to member states to not fall into this trap that the opposition fell into on [on California’s 1996 medical cannabis initiative] of overstating what this does in an effort to try to stop it—and then vicariously creating expectations in people’s minds that this actually does much more than it does.”
But the U.S.’s expected support for the proposal to remove marijuana from Schedule IV represents a departure from its position as articulated in a government document that Marijuana Moment obtained earlier this year. The document stated that it’s “possible that civil society, the media, and the general public will view deleting cannabis from Schedule IV as a first step toward widespread legalization of marijuana use, especially without proper messaging.”
Meanwhile, if the recommendation on CBD is adopted, it could potentially have far-reaching implications in the U.S. In 2018, the FDA determined that CBD does not meet the criteria for federal control—except for the fact that international treaties to which the U.S. is party could potentially be construed as requiring it.
The U.S. does intend to back the fourth WHO recommendation on deleting cannabis extracts and tinctures from Schedule I of the 1961 Convention, according to advocates familiar with the delegation’s thinking.
FDA has on several occasions solicited public input to shape the government’s position on the international scheduling of marijuana and cannabinoids. The agency initially requested feedback on the proposal in March 2019 and then reopened that comment period five months later.
Photo by Aphiwat chuangchoem.
House Leaders Propose Changes To Federal Marijuana Legalization Bill Up For Floor Vote This Week
A key House committee has scheduled a Wednesday hearing to advance a bill to federally legalize marijuana toward a full floor vote, which could then happen as soon as Thursday. Meanwhile, leaders in the chamber are proposing an amendment that would make several changes to the cannabis legislation.
Among the most significant revisions would be to the tax-related provisions of the bill.
The Rules Committee’s move to take up the Marijuana Opportunity, Reinvestment and Expungement (MORE) Act follows Majority Leader Steny Hoyer (D-MD) announcement that the chamber would be holding a floor vote on the bill before the end of the year.
The Committee on Rules will meet Wednesday, December 2 at 1:00 PM via Cisco Webex on the following measure:
H.R. 3884 — Marijuana Opportunity Reinvestment and Expungement Act of 2019 (MORE Act of 2020) pic.twitter.com/jlNrCLj0K9
— House Committee on Rules (@RulesDemocrats) November 30, 2020
Judiciary Committee Chairman Jerrold Nadler (D-NY), the lead sponsor of the bill, transmitted it to Rules with the series of modifications—many of them technical in nature. But beyond the tax changes, the newly proposed language also reaffirms the regulatory authority of certain federal agencies such as the Food and Drug Administration (FDA) and clarifies that cannabis can still be included in drug testing programs for federal workers.
Other members of the House are likely to file proposed amendments as well, though the Democratic majority of the Rules panel will determine which ones can be made in order for floor votes later this week.
As originally drafted, the legislation would have imposed a five percent tax on marijuana products, revenue from which would be used in part to fund a grant program to support communities disproportionately impacted by the war on drugs. In Nadler’s amendment, that language is being removed and replaced with text that more closely reflects a separate descheduling bill, the Marijuana Revenue and Regulation Act.
The modified tax provisions of the MORE Act would make it so cannabis would be federally taxed at five percent for the first two years after implementation and then increased by one percent each year until reaching eight percent. After five years, taxes would be applied to marijuana products based on weight rather than price.
At its core, the MORE Act would federally deschedule cannabis from the Controlled Substances Act and expunge the records of those with prior marijuana convictions. The descheduling provisions would be retroactive.
The bill would also create a pathway for resentencing for those incarcerated for marijuana offenses, as well as protect immigrants from being denied citizenship over cannabis and prevent federal agencies from denying public benefits or security clearances due to its use.
A new Cannabis Justice Office under the Justice Department would be responsible for distributing funds providing loans for small cannabis businesses owned and controlled by socially and economically disadvantaged individuals. The bill also seeks to minimize barriers to licensing and employment in the legal industry.
While the bill still calls for the establishment of a Community Reinvestment Grant Program, the new leadership amendment would remove a line calling for it to specifically fund “services to address any collateral consequences that individuals or communities face as a result of the War on Drugs.”
Tax dollars appropriated to that program would instead more generally go to job training, legal aid for criminal and civil cases such as those concerning marijuana-related expungements, literacy programs and youth recreation and mentoring services, among other programs.
The definition of people impacted by the drug war who could be eligible for aid is also being changed to narrow the scope. At first it included those who have “been arrested for or convicted of the sale, possession, use, manufacture, or cultivation of cannabis or a controlled substance,” but now it only extends to marijuana and not other illicit drugs.
Other changes included in Nadler’s latest revision include one requiring FDA and the U.S. Department of Health and Human Services (HHS) to hold public meetings on “regulation, safety, manufacturing, product quality, marketing, labeling, and sale of products containing cannabis or cannabis-derived compounds” within one year of the bill’s enactment.
The language is also being updated to reflect the current number of states where marijuana is legal for medical or recreational purposes, clarify that FDA and HHS maintain their authorities to regulate cannabis products and stipulate that federal agencies can continue to include cannabis in employee drug testing. A conforming amendment would clarify that the U.S. Department of Transportation could continue to require drug testing for workers in safety sensitive positions.
The revised version also stipulates that funding can be made available to “connect patients with substance use disorder services” and apply to “individuals who have been arrested for or convicted of the sale, possession, use, manufacture, or cultivation of a controlled substance other than cannabis (except for a conviction involving distribution to a minor).”
The proposal also deletes from the definition of substance misuse treatment language stating that it would be an “evidence-based, professionally directed, deliberate, and planned regimen including evaluation, observation, medical monitoring, harm reduction, and rehabilitative services and interventions such as pharmacotherapy, mental health services, and individual and group counseling, on an inpatient or outpatient basis, to help patients with substance use disorder reach remission and maintain recovery.”
There are also a number of technical and conforming changes in the proposal, as well as the removal of the word “most” from “individuals most adversely impacted by the War on Drugs” when it comes to determining eligibility for the new programs and services created by the legislation.
In a new report on the bill that was submitted by the Democratic majority in Judiciary, members said cannabis enforcement “has been a key driver of mass criminalization in the United States” and the “drug war has produced profoundly unequal outcomes across racial groups, manifested through significant racial disparities throughout the criminal justice system.”
“The higher arrest and incarceration rates for communities of color do not reflect a greater prevalence of drug use, but rather the focus on law enforcement on urban areas, lower income communities, and communities of color,” they wrote.
Further, the “collateral consequences of even an arrest for marijuana possession can be devastating, especially if a felony conviction results.”
“Those arrested can be saddled with a criminal conviction that can make it difficult or impossible to vote, obtain educational loans, get a job, maintain a professional license, secure housing, secure government assistance, or even adopt a child,” the report states. “These exclusions create an often-permanent second-class status for millions of Americans. Like drug war enforcement itself, these consequences fall disproportionately on people of color. For non-citizens, a conviction can trigger deportation, sometimes with almost no possibility of discretionary relief.”
Rep. Jim Jordan (R-OH), GOP ranking member on the panel, wrote the minority opinion in the report.
He argued that the MORE Act “disregards established science” and “would open the floodgates to marijuana cultivation, distribution, and sale within the United States—allowing bad actors and transnational criminal organizations to further exploit America’s addiction crisis.”
The congressman complained that the legislation—which he called “an extreme and unwise measure”—wouldn’t impose limits on THC concentration or ban flavored cannabis products, and he said it “fails to funnel any tax revenue towards a public awareness campaign to discourage teen use of marijuana, modeled on successful anti-tobacco campaigns.”
He also claimed it “does nothing to help the Federal government and scientific community to understand the effects of marijuana usage.”
Vice President-elect Kamala Harris (D-CA) is the lead sponsor of the Senate companion version of the MORE Act.
One provision of the bill requires that any uses of the words “marijuana” or “marihuana” in U.S. Code or regulations be replaced with the term “cannabis”—despite the fact that the legislation has “marijuana” in its own title.
The Congressional Research Service released an analysis of the MORE Act last week, finding that the bill’s passage could “reverse” the current cannabis policy gap that exists between states and the federal government.
That’s because the bill does not require states to stop criminalizing cannabis, and so jurisdictions with prohibition still on the books could continue to punish people over marijuana even as such activity is legalized at the federal level.
Even if the legislation does pass in the Democratic-controlled chamber, as it’s expected to with some bipartisan support, it remains unlikely that the Senate will follow suit. Majority Leader Mitch McConnell (R-KY) is a champion of the hemp industry but staunchly opposes further marijuana reform.
That said, a symbolic vote for legalization could send a strong signal to the incoming Biden administration.
Given Biden’s former approach to championing punitive anti-drug legislation as a senator and his ongoing obstinance on marijuana legalization at a time when polls show that a clear majority of Americans favor the policy change, there remains some skepticism about his willingness to make good on his campaign promises to achieve more modest reforms he has endorsed, such as decriminalizing possession and expunging records.
A transition document the incoming Biden-Harris administration released this month left out mention of those cannabis pledges.
That said, the president-elect has conceded that his work on punitive anti-drug legislation during his time in Congress was a “mistake.”
For his part, Rep. Earl Blumenauer (D-OR) told Marijuana Moment in August that “the Biden administration and a Biden Department of Justice would be a constructive player” in advancing legalization.
USDA Expands Hemp Crop Insurance Program For Farmers In More States
The U.S. Department of Agriculture announced on Monday that it is expanding and improving a crop insurance program for hemp farmers.
The Multi-Peril Crop Insurance is one of several coverage programs for which hemp qualifies. Under the new expansion, farmers in certain counties of the additional states of Arizona, Arkansas, Nevada and Texas will be eligible, as will those in new counties of states already included in the program, such as Colorado, Kentucky, Michigan, Montana, New Mexico, Tennessee and Virginia.
Broker contracts for hemp grain will also be allowed for the first time, and reporting and billing dates will be adjusted to match those for similar crops.
.@USDA today announced it is expanding the pilot Multi-Peril Crop Insurance plan for #hemp. The expansion, as well as other improvements to the plan, will begin in the 2021 crop year. https://t.co/gwlOFJolUh #cropinsurance pic.twitter.com/FkR09NBmjP
— Risk Management Agency (@usdaRMA) November 30, 2020
“We are pleased to expand the hemp program and make other improvements for hemp producers,” USDA Risk Management Agency Administrator Martin Barbre said in a press release. “Hemp offers exciting economic opportunities for our nation’s farmers, and we are listening and responding to their risk management needs.”
Crop insurance policies are one of many areas USDA has acted in following hemp’s legalization through the 2018 Farm Bill.
The department has approved nearly 70 state and tribal regulatory hemp proposals and recently awarded an advocacy group $200,000 to support America’s international hemp trade.
Last month USDA closed an extended public comment period on its proposed hemp regulations after temporarily reopening the feedback period due to strong pushback from stakeholders, many of whom said the policies were too restrictive. An initial comment round saw more than 4,600 submissions.
Due to the concerns, Congress approved a continuing resolution that extends a current hemp pilot program established in 2014 through September 2021. That program, which many in the industry feel is more flexible than USDA’s proposed rules, was initially set to expire in October.
The department announced last month that it is planning to distribute a national survey to gain insights from thousands of hemp businesses that could inform its approach to regulating the industry.
Also last month, USDA issued and then rescinded guidance on providing federal loans for hemp processors.
Several members of Congress sent a letter to USDA and other federal agencies this month, telling them to better coordinate their hemp policies.
Amid the coronavirus pandemic, hemp industry associations pushed for farmers to be able to access to certain COVID-19 relief loans—a request that Congress granted in the most recent round of coronavirus legislation.
While USDA previously said that hemp farmers are specifically ineligible for its Coronavirus Food Assistance Program, that decision was reversed. While the department initially said it would not even reevaluate the crop’s eligibility based on new evidence, it removed that language shortly after Marijuana Moment reported on the exclusion.
Photo courtesy of Pixabay.