US Justice Department Proposes Historic Reclassification of Marijuana

Regulations by 2FIRSTS.ai
May.17.2024
US Justice Department Proposes Historic Reclassification of Marijuana
U.S. Justice Department proposes historic reclassification of marijuana as safer drug, prompting potential benefits for research and cannabis industry.

According to a report by Reuters on May 17, the U.S. Department of Justice officially proposed a historic measure on Thursday (16th) to reclassify marijuana as a safer drug, stating that the risk of marijuana abuse is lower compared to other higher risk substances. If this regulation is enacted, it will also help facilitate further research on the medical benefits of marijuana.

 

The proposal states, "Furthermore, the FDA's review did not find any safety issues, indicating that the medical use of marijuana does not pose unacceptable high safety risks.

 

The Drug Enforcement Administration (DEA) in the United States is currently soliciting public feedback on the proposal, a process that may take some time, but Attorney General Merrick Garland has already given his approval. If approved, this new regulation would remove marijuana from the list of Schedule I drugs (which includes heroin, LSD, etc.) and reclassify it as a Schedule III drug, on par with ketamine and some synthetic steroids.

 

The department conducted a classification review of marijuana at the request of President Joe Biden in 2022. Additionally, Biden has taken steps to pardon thousands of individuals who were sentenced at the federal level for possession of marijuana, and has urged governors and mayors to take similar actions to commute these sentences. He hopes that this move will increase support for the Democratic party in an election year, especially among younger voters. Biden has promised, "Too many lives have been put in jeopardy due to the mishandling of marijuana, and I am committed to correcting these mistakes. You can trust my word."

 

Previously, the Assistant Secretary for Health at the U.S. Department of Health and Human Services (HHS) had recommended in August 2023 that the DEA classify marijuana as a Schedule III drug. The DEA has yet to make a specific classification for marijuana.

 

If the federal government relaxes marijuana classification, marijuana companies stand to benefit, such as being eligible to list on major stock exchanges and receive more generous tax breaks. Additionally, the banking restrictions they face may be reduced. Because marijuana is illegal at the federal level, most American banks do not provide loans or services to marijuana companies, prompting many banks to rely on cash transactions.

 

The public will have 60 days to submit comments on the proposal from the Department of Justice, and can also request a public hearing to be held on the proposal.

 

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