The chairman of a key congressional committee responsible for crime policy is teaming up with a senator running for president to file legislation on Tuesday that would federally legalize marijuana and seek to repair some of the harms of a war on drugs that has been waged primarily against people of color.
The move by Rep. Jerrold Nadler (D-NY), who leads the Judiciary Committee, and 2020 Democratic contender Sen. Kamala Harris (D-CA) signals that, at least on the House side of Capitol Hill, a floor vote to end federal cannabis prohibition could come before the end of the year.
If enacted, the Marijuana Opportunity Reinvestment and Expungement (MORE) Act would remove marijuana and THC from the Controlled Substances Act, provide for expungement and resentencing of prior convictions and prevent federal agencies from using cannabis as a reason to deny access to benefits or citizenship status for immigrants.
It would also impose a five percent federal tax on the sales of marijuana products. Some of that revenue would be directed toward a new Opportunity Trust Fund aimed at supporting grant programs to provide job training and legal aid for people impacted by prohibition enforcement, loans for small marijuana businesses owned and controlled by socially and economically disadvantaged individuals and efforts to minimize barriers to licensing and employment in the legal industry. Some of these efforts would be run through a new Cannabis Justice Office in the Department of Justice.
The far-reaching legislation was filed on the same day that a Senate committee is scheduled to hold a highly anticipated hearing on banking access by marijuana businesses, indicating that federal cannabis reform has increased momentum on both sides of Capitol Hill.
It also comes as Nadler prepares for an unrelated high-stakes Judiciary Committee hearing on Wednesday with Robert Mueller, the former special counsel, about his investigation into Russia’s interference with the 2016 election and President Donald Trump’s conduct.
“Despite the legalization of marijuana in states across the country, those with criminal convictions for marijuana still face second class citizenship. Their vote, access to education, employment and housing are all negatively impacted,” Nadler said. “Racially motivated enforcement of marijuana laws has disproportionally impacted communities of color. It’s past time to right this wrong nationwide and work to view marijuana use as an issue of personal choice and public health, not criminal behavior.”
Proud to introduce the Marijuana Opportunity Reinvestment and Expungement Act w/ @SenKamalaHarris to decriminalize marijuana at the federal level and bring justice to communities that have been disproportionately harmed by the war on drugs. https://t.co/VoGuDxlbKc
— (((Rep. Nadler))) (@RepJerryNadler) July 23, 2019
The panel’s Crime, Terrorism and Homeland Security Subcommittee held a hearing earlier this month focused on the issue of ending cannabis prohibition. While lawmakers from both parties voiced broad support for some measure of marijuana reform, there was disagreement on specific components of would-be legalization plans—with significant contention over whether restorative justice and equity measures must be included. A look at the new bill’s provisions indicates that Democratic leadership believes simply legalizing marijuana is not enough.
The legislation from Nadler and Harris includes language making provisions that deschedule marijuana retroactive and also specifies that federal agencies “may not use past or present cannabis or marijuana use as criteria for granting, denying, or rescinding a security clearance.”
The bill would require 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.
Original cosponsors of Harris’s Senate bill include Sens. Cory Booker (D-NJ) and Elizabeth Warren (D-MA)—two of her rivals for the Democratic presidential nomination—as well as Sens. Jeff Merkley (D-OR) and Ron Wyden (D-OR).
Signing onto the House version are Rules Committee Chair James McGovern (D-MA) and Small Business Committee Chair Nydia Velazquez (D-NY).
Rep. Matt Gaetz (R-FL) is the sole Republican cosponsor, and is joined by Reps. Barbara Lee (D-CA), Earl Blumenauer (D-OR), Hakeem Jeffries (D-NY), David Cicilline (D-RI), Steve Cohen (D-TN), Lou Correa (D-CA), Madeleine Dean (D-PA), Ted Deutch (D-FL), Veronica Escobar (D-TX), Sheila Jackson Lee (D-TX), Pramila Jayapal (D-WA), Hank Johnson (D-GA), Ted Lieu (D-CA), Zoe Lofgren (D-CA), Jamie Raskin (D-MA), Eric Swalwell (D-CA), Dwight Evans (D-PA), Tulsi Gabbard (D-HI), Debra A. Haaland (D-NM), Ro Khanna (D-CA), Eleanor Holmes Norton (D-DC), Ayanna Pressley (D-MA), Maxine Waters (D-CA) and Bonnie Watson Coleman (D-NJ).
✅Expunge marijuana convictions
✅Create economic opportunities for communities
This is the most comprehensive cannabis reform bill to ever come before Congress!
— Rep. Lou Correa (@RepLouCorrea) July 23, 2019
The #MOREAct would legalize #marijuana, require resentencing and expungement of old marijuana convictions, and invest money in communities most affected by the failed War on Drugs. This is real reform. I’m proud to be an original cosponsor of the bill. #LegalizeIt #Cannabis https://t.co/luzZUCzLXg
— Steve Cohen (@RepCohen) July 23, 2019
Numerous alternate proposals to overhaul federal cannabis laws have already been filed during the 116th Congress, but that the new bill displays the House Judiciary Committee chairman’s name as its chief sponsor suggests it will likely be the vehicle through which the chamber considers ending prohibition in any votes over the coming months.
That said, the legislation as introduced may well see large and small revisions during an as yet unscheduled committee markup session, or later on the floor. And it is possible that provisions from other existing proposals could be merged in to achieve greater support for the bill when it comes time for a vote.
The new measure and others that have previously been filed with social equity components are largely cosponsored by Democrats—in most cases with zero Republicans on board.
A different approach, the Strengthening the Tenth Amendment Through Entrusting States (STATES) Act, has achieved bipartisan support by maintaining a narrower focus on respecting the implementation of local marijuana laws without including justice-focused provisions.
Some advocates believe that the simpler bill stands a better chance of moving through the GOP-controlled Senate, though its even being brought up for consideration there before the end of this Congress is far from certain. It is possible that the Democratic House will pass something closer to Nadler’s justice-inclusive approach with the Senate potentially opting for a states’ rights-focused effort, after which the two chambers could negotiate some form of compromise to send to President Trump for signing into law.
Meanwhile, the House Financial Services Committee has already approved even narrower cannabis banking legislation, with its Senate counterpart set to consider the issue on Tuesday. While a House floor vote had been long anticipated prior to the August recess, expectations have recently shifted toward potential fall action.
Proud to support the Marijuana Opportunity Reinvestment and Expungement Act here in the House of Representatives. This bill is one of the most comprehensive marijuana reform bills ever introduced in Congress & aims to correct the historical injustices of failed drug policies. https://t.co/tBXQeAKYQp
— Rep. Ted Lieu (@RepTedLieu) July 23, 2019
Nadler has consistently voted in favor of marijuana amendments on the House floor since at least 2003, and he has cosponsored numerous reform bills, dating back to a 1997 proposal to protect state medical cannabis laws from federal interference as well as descheduling legislation beginning in 2011. He’s since signed onto measures concerning marijuana business banking and taxes.
“An examination of our marijuana laws and potential reforms is long overdue,” he said at the start of the Judiciary subcommittee hearing on cannabis this month. “I should add that one of my first votes that I cast as a freshman member of the state Assembly in New York in 1977 was to decriminalize marijuana in New York.”
For Harris, her sponsorship of the new comprehensive legislation is the latest step in an ongoing evolution on cannabis policy as she seeks the presidency.
Today I introduced a comprehensive marijuana reform bill that is the first step towards legalization. My bill will:⁰
✅Decriminalize marijuana at the federal level
⁰✅Expunge prior marijuana convictions⁰
✅Use tax revenue from marijuana sales to help those w/ prior convictions
— Kamala Harris (@KamalaHarris) July 23, 2019
In 2010, as San Francisco’s district attorney, she coauthored an official California voter guide argument against a proposed marijuana legalization measure that appeared on the state’s ballot that year, saying it was “flawed public policy and would compromise the safety of our roadways, workplaces and communities.”
In 2014, during her reelection bid as state attorney general, she laughed at a reporter rather than supply a substantive response when asked about her Republican opponent’s support for legalizing cannabis.
She later declined to endorse the 2016 legalization measure that her state’s voters went on to approve, and first publicly backed ending prohibition last year when cosponsoring a separate cannabis reform bill filed by presidential rival Booker.
“Times have changed—marijuana should not be a crime,” Harris said in a press release about the new bill. “We need to start regulating marijuana, and expunge marijuana convictions from the records of millions of Americans so they can get on with their lives. As marijuana becomes legal across the country, we must make sure everyone—especially communities of color that have been disproportionately impacted by the War on Drugs—has a real opportunity to participate in this growing industry.”
The War on Drugs was an abject failure that disproportionately criminalized people of color—it's time we take steps to fix that.
Today I’m introducing a bill to decriminalize marijuana and bring justice to communities of color harmed by failed drug policies.
— Kamala Harris (@SenKamalaHarris) July 23, 2019
Other provisions of the new legislation would allow cannabis firms to take advantage of Small Business Administration programs and would mandate that the Bureau of Labor Statistics collect data on the demographic makeup of the marijuana industry. It would also require cannabis product manufacturers to register with the Treasury Department and would treat cannabis products in the same manner as tobacco products under the Internal Revenue Code.
Leading pro-legalization organizations praised the MORE Act’s focus on restorative justice.
“The disproportionate rates of marijuana arrests and incarceration faced by low-income communities and communities of color only scratch the surface of the devastation that prohibition has caused,” said Queen Adesuyi, policy coordinator for the Drug Policy Alliance. “Marijuana convictions have disrupted people’s lives—from one’s ability to secure or maintain employment, housing, funds for education, a valid driver’s license to the ability to keep one’s kids or remain in this country for noncitizens. The Marijuana Opportunity Reinvestment and Expungement Act ends prohibition in a way that centers communities most impacted by criminalization with reform that is as comprehensive as the decades of harm inflicted.”
— David Cicilline (@davidcicilline) July 23, 2019
NORML Political Director Justin Strekal said the bill “embodies the need to legalize cannabis and restore the rights of those who have suffered under the cruel and failed policy of criminalization.”
“At a point in time when simultaneously one person could have their life ruined in New York for the exact same action that makes someone in California a millionaire, now more than ever we must end the federal prohibition of marijuana,” he said.
It absolutely is! Proud to be an original co-sponsor of this gamechanging legislation & grateful to you & my colleagues for their leadership #cannabis #equity #restorativejustice #wealthgap https://t.co/rck9NnCW8e
— Ayanna Pressley (@AyannaPressley) July 23, 2019
Neal Levine, CEO of the Cannabis Trade Federation, which has focused much of its efforts around the more limited STATES Act this year, said that it represents “a momentous amount of progress” to have the chairman of a major House panel file legislation to end marijuana prohibition.
“With both the chair and the ranking member of the Judiciary Committee supporting major cannabis policy reform, the end of federal cannabis prohibition is undoubtedly near,” he said, referring to cosponsorship of the STATES Act from Rep. Doug Collins (R-GA), the panel’s top GOP member.
For too long, our federal cannabis policies have been rooted in the past. Congress has a responsibility to ensure that our laws are fair, equitable, and inclusive. As Cannabis Caucus Co-Chair, I’m proud to work with @RepJerryNadler on the MORE Act. https://t.co/JpMEUHb08I
— Rep. Barbara Lee (@RepBarbaraLee) July 23, 2019
In other congressional cannabis news, the Senate Agriculture Committee is scheduled to hold a Thursday hearing on the implementation of hemp legalization featuring testimony from U.S. Department of Agriculture, Food and Drug Administration and Environmental Protection Agency officials.
And last month, the House of Representatives approved an amendment to a spending bill that would prevent the Department of Justice from intervening in state and territory marijuana laws, though the Senate has not yet taken up its version of the appropriations legislation.
Read the full text of the new Marijuana Opportunity Reinvestment and Expungement below:
Bipartisan Lawmakers Circulate Letter Urging FDA To Back Off CBD Companies
A bipartisan pair of lawmakers are circulating a sign-on letter asking colleagues to join them in urging the Food and Drug Administration (FDA) to back off companies that are selling CBD products in a responsible manner.
The “Dear Colleague” letter, which is being led by Reps. Chellie Pingree (D-ME) and James Comer (R-KY), emphasizes that hemp and CBD were federally legalized under the 2018 Farm Bill and argues that the lack of regulations for such products is creating industry uncertainty that’s inhibiting economic opportunities.
The letter was first reported by the U.S. Hemp Roundtable, which is asking its supporters to encourage their representatives to sign on.
FDA has said it is in the process of developing rules for the non-intoxicating compound, including a potential alternative regulatory pathway allowing for CBD to be added to the food supply and as dietary supplements. That could take years, however, as former FDA Commissioner Scott Gottlieb has noted.
In the meantime, the agency is being selective about enforcement action against companies that make unsanctioned claims about their products while also maintaining that all businesses selling CBD food items are violating the law.
The lawmakers aren’t satisfied. They described FDA’s regulatory timeframe as “untenable,” particularly because the U.S. Department of Agriculture is expected to release its rules for hemp “any day now,” and an official revealed this month that its draft regulations are currently undergoing final White House and Department of Justice review.
The members of Congress added that FDA’s current approach to CBD has “created significant regulatory and legal uncertainty for participants in this quickly evolving industry.”
“Given the widespread availability of CBD products, growing consumer demand, and the expected surge in the hemp farming in the near future, it’s critical that FDA act quickly to provide legal and regulatory clarity to support this new economic opportunity,” they wrote.
“Please join us in signing this bipartisan letter to Acting FDA Commissioner Ned Sharpless urging the agency to adopt a risk-based policy of enforcement discretion that targets bad actors while eliminating uncertainty for responsible industry stakeholders and consumers. Additionally, we are requesting that FDA to issue an interim final rule to regulate CBD as a dietary supplement and food additive.”
In the letter to Sharpless that Pingree and Comer are asking fellow lawmakers to sign, they laid out two requests for FDA.
First, the agency should “promptly issue guidance announcing a policy of enforcement discretion that maintains FDA’s current risk-based enforcement approach towards hemp-derived CBD products.” And second, it should “consider issuing an interim final rule, pending issuance of a permanent final rule, to establish a clear regulatory framework for CBD as a dietary supplement and food additive.”
The lawmakers added that they appreciate that FDA has pursued “enforcement actions against the worst offenders,” but that “it can do so while eliminating regulatory uncertainty for farmers, retailers, and consumers.”
“Without a formal enforcement discretion policy, anyone participating in the growing marketplace for legal hemp-derived products will continue to face significant legal and regulatory uncertainty,” they wrote.
Though issuing guidance on a “policy of enforcement discretion” wouldn’t be a codified law allowing companies to market CBD in the food supply, it would demonstrate to the industry that some protections are in place while FDA continues to navigate the rulemaking process.
Lawmakers have until Tuesday to sign the letter to FDA.
Read the Dear Colleague invitation and CBD letter to FDA below:
Photo by Kimzy Nanney.
Marijuana Banking Bill Will Get A Full House Floor Vote This Month
A bipartisan bill to protect banks that service marijuana businesses will get a House floor vote by the end of the month, the office of Majority Leader Steny Hoyer (D-MD) confirmed to Marijuana Moment on Friday.
House leadership announced the decision to Democratic lawmakers at a closed-door meeting on Thursday.
“Mr. Hoyer said at the Whip meeting yesterday that he intends to move it this month,” a Hoyer staffer said in an email. “We’re discussing it with Members, but it hasn’t been scheduled just yet.”
Prior to confirmation from Hoyer’s office, four sources initially described the development to Marijuana Moment, with some saying the vote would be made under suspension of the rules—a procedure that is generally reserved for non-controversial legislation.
Voting on suspension would require two-thirds of the chamber (290 members) to vote in favor of the Secure and Fair Enforcement (SAFE) Banking Act in order for it to pass. The bill, which cleared the House Financial Services Committee in March, currently has 206 cosponsors, including 26 Republicans.
No amendments would be allowed to be added on the floor under the suspension process.
Problems could arise if lawmakers aren’t able to rally additional votes from conservative members or if there’s pushback over the strategy from progressive lawmakers, though it is unlikely Democratic leadership would advance the bill if they didn’t believe they have the votes for passage.
While interest in resolving the banking issue is generally bipartisan, it’s within reason to assume that lawmakers on both sides of the aisle might have wanted the opportunity to offer provisions such as extending protections to hemp businesses or adding language promoting social equity policies. That said, it is possible that leadership could file an entirely new piece of legislation that is similar to the SAFE Banking Act but contains modified provisions negotiated with key members and use that as the vehicle for floor action.
Many expected cannabis banking legislation to receive a floor vote before the August recess, but that did not come to fruition.
In any case, the development comes as the Senate Banking Committee is also preparing to hold a vote on marijuana banking legislation, with Chairman Mike Crapo (R-ID) announcing on Thursday that his panel is “working to try to get a bill ready.” He didn’t offer a timeline, however, other than saying he hoped to advance the legislation by the end of the year.
While sources told Marijuana Moment that Hoyer made his decision to allow cannabis banking vote following an earlier Wednesday meeting on the issue, it is likely that building momentum in the GOP-controlled Senate added to pressure on the House to act so that Democrats wouldn’t be seen as lagging behind Republicans on cannabis reform, an issue the party has sought to take political ownership of.
Following Crapo’s statement on advancing the banking legislation, Rep. Ed Perlmutter (D-CO), chief sponsor of the SAFE Banking Act, told Marijuana Moment that he welcomes the senator’s “commitment to resolve the banking conflicts that have been created by the misalignment in state and federal law on the issue of cannabis.”
“I remain focused on passing the SAFE Banking Act out of the House and look forward to working with my colleagues in the Senate as they take up the SAFE Banking Act or work to develop and pass similar legislation,” he said.
Banking access is largely seen as one of the most achievable pieces of cannabis legislation that stands to pass this Congress. Advocates and reform-minded lawmakers view it as one of the first steps on the path toward ending federal marijuana prohibition.
“We are seeing the blueprint in action and moving forward on critical legislation to protect state legal cannabis banking,” Rep. Earl Blumenauer (D-OR) told Marijuana Moment, referring to a memo he sent to House leadership last year outlining a committee-by-committee process for passing incremental cannabis bills leading up to major legislation to end federal prohibition. “Earlier this summer, the House passed protections for state and tribal cannabis laws. In the most cannabis friendly Congress in history, we need to keep up this momentum. There is still much to be done.”
There has been some disagreement within advocacy circles about whether it’s prudent to pass legislation viewed as primarily favorable to the industry before advancing comprehensive legislation that deschedules cannabis and takes steps to repair the harms of prohibition enforcement.
“It is our hope that after the successful passage of the SAFE Banking Act in the House, we will be able to advance legislation that ends the federal criminalization of cannabis once and for all,” Justin Strekal, political director of NORML, told Marijuana Moment. “Now is our time to demonstrate that marijuana law reform is both good policy and good politics.”
“We will not stop until otherwise law-abiding Americans are no longer discriminated against or criminalized due to the past or future choice to consume cannabis,” he said.
Neal Levine, CEO of the Cannabis Trade Federation, told Marijuana Moment that the group is “delighted that the U.S. House of Representatives is on the brink of passing a landmark piece of cannabis policy legislation that modernizes our antiquated banking laws to reflect the will of the people.”
“This is welcomed and long overdue news for the over 200,000 employees that work in the industry, cannabis businesses, and for public safety in the communities in which we operate,” he said. “Once the SAFE Banking Act passes the U.S. House, we call on the U.S. Senate to move quickly to protect our businesses and our workers.”
Pressure has been building all year from stakeholders and policymakers alike to get the legislation passed. Endorsements aren’t just coming from reform groups, either; 50 state banking associations, the National Association of State Treasurers, the top financial regulators of 25 states, a majority of state attorneys general and bipartisan governors of 20 states have also voiced support for the SAFE Banking Act.
Earlier this month, the head of the American Bankers Association predicted that the bill would be passed in the House “as early as September.”
This story was updated to add comment from Perlmutter and Hoyer’s office.
New ‘Marijuana 1-to-3 Act’ Would Reclassify Cannabis Under Federal Law
Another bill to reschedule marijuana was filed in Congress on Thursday.
Rep. Greg Steube (R-FL) introduced the legislation, which is titled the “Marijuana 1-to-3 Act.” True to its name, the bill would simply require the attorney general to move cannabis from Schedule I to Schedule III under the Controlled Substances Act, with the aim of increasing research on the drug’s effects.
“As marijuana is legalized for medical and recreational use across the United States, it is important that we study the effects of the substance and the potential impacts it can have on various populations,” Steube said in a press release. “By rescheduling marijuana from a schedule I controlled substance to a schedule III controlled substance, the opportunities for research and study are drastically expanded.
Today, I introduced a bill to reschedule marijuana from a schedule I to a schedule III controlled substance. The Marijuana 1-to-3 Act will allow additional research to be done on the benefits of marijuana by removing bureaucratic red tape. https://t.co/w45WAKHBr9
— Congressman Greg Steube (@RepGregSteube) September 12, 2019
“With this rescheduling, researchers can now access federal funds to research this substance and determine its medical value,” he said.
The press release came hours after a bipartisan pair of lawmakers introduced separate legislation to reschedule marijuana, also to Schedule III.
That bill contained additional provisions that would require federal agencies to develop research agendas for marijuana within one year of its enactment and also establish a system whereby universities could be designated as “Centers of Excellence in Cannabis Research” if they conducted comprehensive studies on issues related to marijuana.
Rep. Matt Gaetz (R-FL), who is a sponsor of the broader research bill, is also cosponsoring Steube’s more focused rescheduling proposal.
It’s not clear why Steube chose to file his own reclassification bill or whether the other legislation’s additional provisions were a factor.
The congressman’s two-page bill states that “the Attorney General of the United States shall, by order not later than 60 days after the date of enactment of this section, transfer marijuana…from schedule I of such Act to schedule III of such Act.”
“We hear every day about the positive health benefits of marijuana,” Steube said. “Whether it’s young children with seizure disorders, or veterans suffering from chronic pain, it is clear that there are medical benefits to marijuana and I think it’s time we remove the bureaucratic red tape that prevents us from thoroughly studying this substance.”
While he emphasized that the intent of his legislation is to encourage research into marijuana, placing cannabis in Schedule III would also have implications for marijuana businesses, who are currently ineligible for federal tax deductions under an Internal Revenue Code section that applies to anyone “trafficking in controlled substances” in Schedule I or II.
Read the full text of the bill below:
Photo by Ndispensable.