A group representing thousands of lawmakers from around the U.S. is calling on the federal government to end marijuana prohibition so that states can enact their own cannabis policies without intervention.
“The federal government should respect state decisions to regulate cannabis, including hemp in non-FDA approved cannabis products,” reads one of two new policy directives adopted on Wednesday by the National Conference of State Legislatures. “NCSL believes that federal laws, including the Controlled Substances Act (CSA), should be amended to explicitly allow states to set their own cannabis policies without federal interference and urges the administration not to undermine state cannabis policies.”
“NCSL maintains that the administration should prioritize its enforcement actions against criminal enterprises engaged in cannabis production and sale, and not against citizens who are compliant with state cannabis laws. Furthermore, NCSL urges Congress to prohibit the administration from using federal funds to enforce the CSA in a manner inconsistent with these enforcement priorities.”
The other directive, which focuses on banking access for marijuana businesses, says that federal prohibition forces growers, processors and retailers to operate on a cash-only basis, which “attracts criminal activity and creates substantial public safety risks.”
“NCSL acknowledges that a cash-only industry reduces transparency in accounting and makes it difficult for states to implement an effective regulatory regime that ensures compliance.”
Letting state-legal cannabis businesses use banks will provide access to “capital, security, efficiency, and record keeping,” the state lawmakers say.
Calling existing Treasury Department guidance enacted during the Obama administration “insufficient,” the group says that “current federal regulations force financial institutions to incur inordinate risk, should they decide to provide banking services to licensed cannabis businesses.”
Very pleased that Oregon-led directive to push Congress to remove #cannabis from DEA schedule just passed @NCSL unanimously. With cannabis legal in >30 states & territories, this action must happen soon so legitimate businesses have access to financial services.
— Sen. Steiner Hayward (@ESHforOregon) August 1, 2018
“Thirty states, the District of Columbia and Guam already allow some form of legal cannabis use,” Oregon Senate Majority Leader Ginny Burdick, (D), said in a press release. “We are trying to create an above-board, legitimate industry, where for many years only an unregulated market prevailed. It’s past time for Congress to finally help us do that by removing cannabis from the federal Controlled Substances Act. Operating as a cash-only business invites crime and hinders our work to improve public safety. When businesses in this industry begin using banking services, it will lead to better regulation and improve access to capital. Congress needs to step up and help us make sure this legal industry is properly regulated and contributing to our states’ economies.”
A Republican colleague agreed with Burdick.
“The cannabis industry is making big contributions to Oregon’s economy, and giving these business owners access to secure banking is critical to their ongoing success,” Senate Republican Leader Jackie Winters said. “Voters across the nation have shown support for the legal cannabis industry, it is time for the federal government to take the necessary steps and deschedule cannabis in order to promote safety, security, and remove barriers to much needed research.”
The state legislators’ policy positions are similar to those recently adopted by the U.S. Conference of Mayors and the National Association of Counties, both of which are pushing the federal government to respect state and local marijuana laws.
40 states, including VA, just voted in favor of state-level cannabis regulation. Not legally binding, obviously, but a strong message to Congress to get out of the way. #NCSLsummit
— Lee J. Carter (@carterforva) August 1, 2018
“NCSL’s directives reflect the growing support for reform at the federal level,” said Karen O’Keefe, the state policies director for the Marijuana Policy Project. “State lawmakers, like most of their constituents, are increasingly frustrated with Congress’s failure to resolve the conflict between state and federal marijuana laws. Whereas lawmakers previously expressed their collective opinion on the subject, they are now taking it a step further and demonstrating a commitment to advocating for reform.”
NCSL itself has adopted a number of marijuana reform positions at past conferences, most recently calling for cannabis descheduling last year.
Also at this year’s conference in Los Angeles, lawmakers heard two separate panels on cannabis issues, one focused on banking access and another looking more broadly at the federal-state divide on marijuana.
Sen. @hertzieLA (D-CA) & experts from @NCIAorg, @ABABankers, @Weedmaps & @EastCarolina discuss novel ways to provide financial services to the #marijuana business. #NCSLsummit pic.twitter.com/fKKwJdEVjT
— NCSL (@NCSLorg) July 30, 2018
— Mary Ann Dunwell (@MTMaryAnn) July 31, 2018
Among the exhibitors at the event were the pro-legalization Marijuana Policy Project, the anti-legalization Smart Approaches to Marijuana and the narcs at the Drug Enforcement Administration.
Marijuana Moment Patreon supporters can read the full text of NCSL’s new cannabis policy directives below:
Photo courtesy of Max Pixel.
Marijuana Industry Groups Ask States For Coronavirus Relief Loans That Feds Won’t Provide
A coalition of marijuana industry associations sent a letter to governors and state treasurers on Wednesday, asking them to help secure financial relief that cannabis businesses are being denied by the federal government amid the coronavirus outbreak.
The letter emphasizes that marijuana companies are providing jobs and essential services during the pandemic, and some are producing needed medical supplies like hand sanitizer. Despite this, the cannabis industry is specifically ineligible for federal disaster loans and other relief programs due to their product’s ongoing status as an illegal controlled substance. The groups said the treasurers could provide assistance to that end.
“Like all essential businesses, cannabis businesses are facing significant uncertainty and costs to provide for our employees and to maintain the medical supply chain during this pandemic,” the groups said. “Yet, unlike every other essential business, there is an underlying federal-state tension which puts our businesses in a uniquely vulnerable and dire operational and financial position. This is particularly true of our small and minority-owned businesses.”
They made two requests to the state officials: 1) encourage congressional delegations to insert language into future COVID-19 legislation that would enable marijuana companies to access federal Small Business Administration (SBA) relief loans and disaster assistance, and 2) consider creating state-level lending programs for the industry to help fill the gap in the meantime.
“Although cannabis businesses operate in strict compliance with state law and comply with a broad range of federal mandates, including paying federal corporate taxes at a much higher effective rate than other businesses due to a quirk in the tax code, their activity is still considered illegal under federal law,” the letter states. “This creates all kinds of hardship, including this current prohibition on SBA assistance.”
“While the underlying federal issues with banking, taxes, and capital access remain, our businesses need access to some additional liquidity to ensure reliability in the medical supply chain for patient access and employee retention in these uncertain times,” they said.
The National Cannabis Industry Association (NCIA), Marijuana Policy Project, Minority Cannabis Industry Association, Cannabis Trade Federation, National Cannabis Roundtable and Global Alliance for Cannabis Commerce each signed the letter.
“The cannabis industry is under the same strains as many other industries in these difficult times, in addition to existing unduly burdensome regulatory and financial requirements,” Morgan Fox, NCIA media relations director, said on behalf of the groups in a statement to Marijuana Moment. “Given the increasing recognition of cannabis businesses as necessary components of healthcare and economic stability, it is absolutely vital that they can access relief loans to continue to provide services effectively.”
SBA has made clear that its services are not available to marijuana businesses, or even those that indirectly work with the industry. While eleven senators recently requested that a key committee approve spending bill language allowing SBA program access to cannabis companies, the request was targeted at future spending legislation in the works, rather than bills concerning the coronavirus outbreak that will likely be enacted in short order.
In a separate letter to governors and regulators in states with medical cannabis programs, another set of industry and advocacy organizations stressed the need to maintain access to medical cannabis for patients. They thanked the states for deeming dispensaries to be essential services and said, additionally, they should allow home deliveries, curbside pickup and recommendations via telemedicine while removing or reducing caregiver application fees, among other steps.
“On behalf of medical cannabis businesses, patients, and our communities, we again express our gratitude for your leadership and work to ensure continued access to safe and effective medicine,” the groups, which includes all of those in the aforementioned letter as well as Americans for Safe Access and NORML. “We welcome the opportunity to help identify and implement safe means to ensure continued access to medicine.”
Read the letter concerning financial relief below:
Read the letter concerning medical cannabis access below:
Lawmakers Mourn Loss Of Charlotte Figi, Whose Story Inspired National CBD Movement And Helped Change Policies
Advocates and lawmakers are mourning the loss of a young icon in the medical marijuana reform movement. Charlotte Figi, who showed the world how CBD can treat severe epilepsy, passed away on Tuesday at the age of 13 due to complications from a likely coronavirus infection.
Across social media, people are sending their support to the Figi family and sharing anecdotes about how Charlotte’s battle against Dravet syndrome—and the success she demonstrated in treating it with the cannabis compound—changed hearts and minds. Her impact has been felt across state legislatures and in Congress, where her story was often told as a clear example of why laws prohibiting access to cannabidiol needed to change.
The domino effect Charlotte’s story helped set off—with states, particularly conservative ones, passing modest reform bills for CBD access—paved the path for a successful congressional rider that ended up protecting more far-reaching medical cannabis programs across the U.S., advocates say.
Rep. Matt Gaetz (R-FL), who has become one of the leading GOP champions for broad marijuana reform on Capitol Hill, said he was personally influenced by Charlotte and, as a state lawmaker in 2014, her story motivated him to support legislation to reform Florida’s medical cannabis policies.
Charlotte lived a life of tremendous significance. Her story inspired me to completely change my views on medical cannabis and successfully pass legislation so that patients could get help in Florida.
I’m so sad she is gone, but the movement she has ignited will live forever. https://t.co/e0IO0BM6Bg
— Matt Gaetz (@mattgaetz) April 8, 2020
“Charlotte lived a life of tremendous significance. Her story inspired me to completely change my views on medical cannabis and successfully pass legislation so that patients could get help in Florida,” the congressman said. “I’m so sad she is gone, but the movement she has ignited will live forever.”
Sen. Cory Gardner (R-CO), another top marijuana reform advocate who has raised the issue directly with President Trump on several occasions, wrote that Charlotte “made a positive and everlasting change in the world by the age of 13, and her inspirational courage will always be remembered.”
Charlotte changed the way the nation thinks about #CBD through her grace and advocacy. We should honor her by fixing our federal cannabis laws as soon as possible.
Rest in Peace, Charlotte.
— Cory Gardner (@SenCoryGardner) April 8, 2020
“Charlotte changed the way the nation thinks about CBD through her grace and advocacy,” he said. “We should honor her by fixing our federal cannabis laws as soon as possible.”
Florida state Rep. Rob Bradley (R) agreed with the sentiment, writing that “Charlotte Figi was a bright, beautiful light that changed how our state and country views cannabis. I am saddened to hear that this sweet soul has left us.”
Charlotte Figi was a bright, beautiful light that changed how our state and country views cannabis. I am saddened to hear that this sweet soul has left us. https://t.co/lg4tj2bcHn
— Rob Bradley (@Rob_Bradley) April 8, 2020
In Illinois, state Rep. Bob Morgan (D) said Charlotte, who is the namesake of one of the most well-known CBD brands, Charlotte’s Web, “singlehandedly transformed how the world viewed medical cannabis and children with epilepsy.”
Charlotte Figi singlehandedly transformed how the world viewed medical cannabis and children with epilepsy.
She suffered so much so that others would not have to. May her memory be a blessing. https://t.co/r4d0nHeR5C
— Bob Morgan (@RepBobMorgan) April 8, 2020
“She suffered so much so that others would not have to,” he said. “May her memory be a blessing.”
Pennsylvania state Sen. Daylin Leach (D) also said Charlotte “inspired me to get involved in the cannabis movement” and “showed the world that Cannabis is medicine and the trail she blazed has helped millions.”
This is incredibly sad. #CharlotteFigi journey inspired me to get involved in the #cannabis movement. She showed the world that Cannabis is medicine and the trail she blazed has helped millions. The world will miss you Charlotte. https://t.co/8uQ3Wehfjx
— Daylin Leach (@daylinleach) April 8, 2020
“The world lost a fighter,” Missouri Attorney General Eric Schmitt, who previously advocated for CBD reform as a state senator, said. “Charlotte Figi-who helped inspire passage of CBD Oil legislation for epilepsy treatment nationwide-passed away. I worked w/her mom/others in 14 in MO. My speech in the Senate was a tribute to her, June Jesse, my son & many others.”
The world lost a fighter. Charlotte Figi-who helped inspire passage of CBD Oil legislation for epilepsy treatment nationwide-passed away. I worked w/her mom/others in 14 in MO. My speech in the Senate was a tribute to her, June Jesse, my son & many others.https://t.co/LlMi8bOq0u
— Eric Schmitt (@Eric_Schmitt) April 8, 2020
Beyond championing a successful CBD bill in Florida, Charlotte’s family also captivated national audiences and became a household name in the reform movement. Her story was featured on a popular CNN documentary, “Weed,” hosted by Sanjay Gupta, that introduced people from diverging political ideologies to an issue that’s since become a focus of legislation across the country.
A bipartisan congressional bill named after her—the Charlotte’s Web Medical Access Act—was first introduced in 2015.
But while that standalone legislation didn’t advance, the growing number of state-level policy changes that were inspired by Charlotte and other young patients could help to explain why Congress, including members who oppose legalization, has consistently supported a budget rider that prohibits the Justice Department from interfering in state-legal medical cannabis programs. It was first approved in 2014—after repeatedly failing on the House floor—and has been renewed each year since.
With CBD-only states included on an enumerated list of those that would be protected from legal action, it became increasingly difficult for lawmakers to defend voting against a measure to prevent federal harassment of their own constituents. Support from more conservative-minded Democrats and a handful of Republicans, including those from states that had recently enacted or were debating their own CBD laws, allowed the amendment to narrowly advance for the first time when it had been handily defeated two years earlier.
Alabama, Florida, Iowa, Kentucky and South Carolina stand out as examples of states where cannabis reform came online between those votes and where support for the measure also increased among their congressional delegations.
The measure as approved by Congress and first signed into law law President Obama, has given explicit protection from federal prosecution not just to people complying with limited CBD-focused state laws but also medical cannabis growers, processors and retailers in states with more robust policies such as California and Colorado (though it does not protect recreational marijuana businesses or consumers).
“Charlotte Figi personalized this issue in a way that few others have, and her story humanized the medical cannabis fight to such a degree that many politicians could no longer ignore it,” Paul Armentano, deputy director of NORML, told Marijuana Moment. “There is little doubt that Charlotte’s story, arguably more than any other, paved the way for politicians in several southern and midwestern states to finally move forward to recognize the need for CBD, and in some cases, whole-plant cannabis access.”
Don Murphy, director of federal policies for the Marijuana Policy Project, said even opponents of cannabis legalization “can’t say ‘no’ to young mothers pushing sick kids in strollers,” referencing the many other patient advocates who helped usher the reform to victory.
“There’s no doubt it helped move the debate in our direction,” he said. “Truth is, I was once told that CBD hurt our effort [for broader reform]. I don’t think so.”
A person writing on behalf of the family on Tuesday said that “Charlotte is no longer suffering” and will be forever seizure-free.
Image element courtesy of Paige Figi.
FBI Policy On CBD Use By Agents Is ‘Under Review’
The Federal Bureau of Investigation (FBI) is apparently looking into changing internal policy when it comes to the use of CBD products by its agents and other employees, the agency said on Tuesday.
While workers are prohibited from using marijuana—and applicants can be disqualified for consuming cannabis within the past three years—it seems FBI is open to loosening rules for the non-intoxicating cannabis compound, which has become more widely available since hemp was federally legalized under the 2018 Farm Bill, creating a massive market for its derivatives.
During a Q&A on Twitter, FBI’s Newark office was asked two marijuana-related questions. One person wanted to know why the agency says “you cannot use marijuana within 3 years of applying, even with a medical card/prescription.”
“The policy regarding CBD oil is currently under review,” FBI replied. “Check the other eligibility requirements.”
Q8: Why does the FBI state you cannot use marijuana within 3 years of applying, even with a medical card/prescription?
A8: The policy regarding CBD oil is currently under review. Check the other eligibility requirements.
— FBI Newark (@FBINewark) April 7, 2020
The overall thread was about questions people had about the process of becoming a special agent, so it’s not clear if the CBD policy is being reevaluated for applicants only regarding past use, or if any change would cover active agents as well. Marijuana Moment reached out to FBI and its Newark division for clarification, but representatives did not respond by the time of publication.
Another person asked whether the three-year cannabis abstinence requirement applies to positions other than special agents and FBI said: “Yes, that policy applies to all positions within the FBI.”
Q24: Is it 3 years of no marijuana use for other positions other than Special Agents too?
A24: Yes, that policy applies to all positions within the FBI.
— FBI Newark (@FBINewark) April 7, 2020
The simple fact that FBI fielded multiple marijuana questions while promoting recruitment seems to speak to a point that the agency’s former director, James Comey, made in 2014. He suggested that he wanted to loosen the agency’s employment policies as it concerns marijuana, as potential skilled workers were being passed over due to the requirement.
“I have to hire a great work force to compete with those cyber criminals and some of those kids want to smoke weed on the way to the interview,” he said at the time.
Last year, FBI said it wanted the public to send tips on illicit activity in state-legal marijuana markets, stating that restrictive licensing policies could open the door to corruption.
While FBI’s CBD policy is in review, other federal agencies—particularly for within the military—have strongly discouraged or outright banned its use.
The Department of Defense made clear that CBD is off limits for service members.
The Navy told its ranks that they’re barred from using CBD regardless of its legal status.
And the Coast Guard said last year that sailors can’t use marijuana or visit state-legal dispensaries.
Meanwhile, NASA said that CBD products could contain unauthorized THC concentrations that could jeopardize jobs if employees fail a drug test.
The Substance Abuse and Mental Health Services Administration issued guidance to federal agency drug program coordinators last year, expressing concern about excess THC in CBD products, which seems to have prompted the various departments to clarify their rules.
The Department of Transportation took a different approach in February, stating in a notice that it would not be testing drivers for CBD.
While much of the CBD found in markets across the U.S. is largely unregulated, as the Food and Drug Administration is in the process of developing rules for the compound, a CBD-based prescription medication for epilepsy was entirely removed from the Controlled Substances Act this week, which should lead to easier access for patients.
Photo by Kimzy Nanney.