Politics
New Hampshire House Passes Bills To Legalize Marijuana And Let Dispensaries Convert To For-Profit Status
The New Hampshire House of Representatives has approved a bill to legalize marijuana in the state—though its chances of passage in the Senate remain dubious, and the governor has expressed clear opposition to the reform.
Also on Wednesday, the House passed a proposal to allow medical cannabis dispensaries to become for-profit businesses.
The marijuana legalization measure, sponsored by Rep. Jared Sullivan (D), cleared the House Commerce and Consumer Affairs Committee in October. And on Wednesday, the body approved it in a 208-135 vote.
“It is time to stop arresting people for simple possession of cannabis and start treating it with the same fairness and regulation we apply to alcohol,” Sullivan said in a committee majority report. “The majority of our constituents already support legal cannabis, and it is time for the law to reflect the will of the people.”
“This bill creates a framework for responsible regulation, testing, and taxation while protecting public safety and freeing law enforcement to focus on serious crimes,” he said. “Legalization will open the door to new economic opportunities for local businesses and generate revenue for prevention, treatment, and education. Most importantly, it acknowledges reality—cannabis is already part of our society, and it is better for everyone when it is safe, legal, and responsibly regulated.”
At the committee level, members agreed to move forward with the cannabis bill, even though they generally accepted that it was unlikely to advance beyond the chamber given opposition in the Senate and the threat of a veto by the governor.
Rep. Lilli Walsh (R) argued in a committee minority report that legalizing marijuana “would come with significant psychiatric, public safety, and societal costs that far outweigh any projected state revenue.”
“Numerous studies show that frequent marijuana use—especially among young men—leads to higher rates of depression, psychosis, and long-term cognitive decline,” she said. “Daily users often struggle with motivation, concentration, and productivity, creating barriers to steady employment and personal stability. We have an obligation to protect our youth from the proven mental health risks of early cannabis use, not normalize it under the false guise of harmless recreation.”
If enacted, HB 186 would legalize possession of up to 2 ounces of cannabis flower, 10 grams of concentrates and products with up to 2 grams of THC for adults over 21 years of age. They could also grow six plants at home, three of which could be mature.
Past cannabis possession convictions would be vacated, and non-discrimination protections for consumers would be established, including for access to medical care, public benefits, child custody and government employment.
A new Cannabis Commission would be established to license and regulate the marijuana industry, along with a Cannabis Advisory Board.
Recreational cannabis sales would be taxed at 8.5 percent, with revenue being split between program administration, municipalities, substance misuse programs, public safety agencies and the state general fund.
Localities across the state would have ballot referendums asking voters if they want to opt in to allowing retail marijuana sales.
The bill will now head to the House Finance Committee before potentially coming back to the House floor for a final vote and, if approved there a second time, will advance to the Senate for consideration.
Sullivan’s legalization bill is one of several cannabis proposals filed for the 2026 session, including legislation from Rep. Jonah Wheeler (D) that seeks to put a constitutional amendment on the state ballot that would let voters decide if they want to legalize marijuana for adults 21 and older, allowing them to “possess a modest amount of cannabis for their personal use.”
Gov. Kelly Ayotte (R) has already threatened to veto any legalization bill that reaches her desk, though the constitutional amendment proposal would not require gubernatorial action.
The governor said in August that her position on the reform would not change even if the federal government moved forward with rescheduling the plant. Since then, President Donald Trump has directed the attorney general to finalize the process of moving cannabis from Schedule I to Schedule III of the Controlled Substances Act (CSA).
At a committee meeting last year, Sullivan ultimately made a persuasive argument for advancing his legalization bill, pointing out that the House has repeatedly passed similar legislation and that the chamber should stand its ground, forcing the Senate and governor to again go on record with their opposition to a policy popular among voters.
“We know where it’s going to go. Let’s send a virtue signal,” Sullivan said. “Let them be the ones that are pissing off voters who care about this.”
Meanwhile, the House also approved a bill on Wednesday from Rep. Wendy Thomas (D) that would allow medical marijuana dispensaries (known as “alternative treatment centers,” or ATCs, in the state) to convert their dispensary licenses to become for-profit entities. HB 54, which passed on the consent calendar with other legislation, previously advanced unanimously out of the House Finance Committee.
Part of the motivation behind the legislation is the fact that medical marijuana dispensaries don’t qualify for federal non-profit status. But in the state, they’re considered non-profit organizations, which has resulted in disproportionately increased operating costs.
Other bills filed for 2026 include two proposals to protect the gun rights of medical cannabis patients.
There are also a few pieces of legislation aimed at regulating hemp sales—an issue that’s receiving heightened attention given that Congress passed, and Trump signed, an appropriations bill that would effectively re-criminalize most consumable hemp products.
Meanwhile, after the House added provisions to a Senate-passed bill last year that would allow medical marijuana patients to grow cannabis at home, those measures were stripped in conference.
Photo courtesy of Mike Latimer.
