Rescheduling of Cannabis and the DEA

Rescheduling of Cannabis and the DEA

On May 21, 2024, the U.S. Department of Justice (DOJ) proposed to reschedule cannabis from Schedule I of the Controlled Substances Act (CSA) to Schedule III of the CSA. Schedule III drugs have a lower risk of dependence, and the rescheduling could bolster positive perceptions of cannabis’ medical and therapeutic benefits. The U.S. Food and Drug Administration’s medical and scientific review and rescheduling recommendation to the DOJ stated that cannabis has legitimate medical benefits. While rescheduling cannabis to Schedule III will not make cannabis legal on a federal level, it will provide cannabis business tax relief on a state level and will provide scientists with greater access to cannabis for study and potential drug development.

In the United States, medical use of cannabis is legal in 38 states, four U.S. territories, and the District of Columbia (D.C.). Recreational use of cannabis is legal in 24 states, three U.S. territories, and D.C.

A preliminary hearing about the DOJ’s proposal to reschedule cannabis occurred on December 2, 2024. Administrative Law Judge John J. Mulrooney issued a Prehearing Ruling on December 4, 2024, setting the dates for evidentiary hearings early next year. Judge Mulrooney stated in the Ruling that the purpose of the hearings would be to “receive factual and expert opinion testimony regarding whether marijuana should be transferred to Schedule III under the CSA.”

The hearings will start on January 21, 2025, and are expected to wrap up on March 6, 2025.