Cannabis Set for Reclassification

By Isaac White

The U.S. Drug Enforcement Administration (DEA) is preparing to reclassify marijuana as a Schedule III drug, signaling a historic shift in American drug policy that recognizes the medical benefits of cannabis and reduces its perceived potential for abuse. This decision, still pending review by the White House Office of Management and Budget (OMB), reflects a more progressive stance on marijuana while maintaining restrictions on its recreational use. The AP was the first to report on this development.

Justice Department director of public affairs Xochitl Hinojosa confirmed the plan, stating, “Today, the Attorney General circulated a proposal to reclassify marijuana from Schedule I to Schedule III. Once published by the Federal Register, it will initiate a formal rulemaking process as prescribed by Congress in the Controlled Substances Act.” This step initiates public commentary on moving marijuana from its current classification as a Schedule I drug to Schedule III, alongside ketamine and certain anabolic steroids. The DEA will finalize the rule after public comments and an administrative judge review.

This proposal aligns with President Joe Biden’s 2022 call for a review of federal marijuana laws and his move to pardon thousands convicted of simple possession. In December, Biden emphasized, “Criminal records for marijuana use and possession have imposed needless barriers to employment, housing, and educational opportunities. Too many lives have been upended because of our failed approach to marijuana. It’s time that we right these wrongs.”

While many see the DEA’s move as a landmark step toward acknowledging the benefits of cannabis and reforming outdated policies, critics express caution over potential ramifications. Jack Riley, a former DEA deputy administrator, voiced concern over marijuana’s potential as a “gateway drug,” but acknowledged the benefits: “In terms of us getting clear to use our resources to combat other major drugs, that’s a positive.” Riley’s remarks were reported by the Associated Press.

Senate Majority Leader Chuck Schumer (D-NY) welcomed the proposed rescheduling but urged comprehensive legislative action, stating, “It is great news that DEA is finally recognizing that restrictive and draconian cannabis laws need to change to catch up to what science and the majority of Americans have said loud and clear. While this rescheduling announcement is a historic step forward, I remain strongly committed to continuing to work on legislation like the SAFER Banking Act as well as the Cannabis Administration and Opportunity Act, which federally deschedules cannabis by removing it from the Controlled Substances Act. Congress must do everything we can to end the federal prohibition on cannabis and address longstanding harms caused by the War on Drugs.”

Senator Kirsten Gillibrand of New York also applauded the DEA’s move, emphasizing, “I’m grateful that the DEA is heeding my call to reclassify marijuana as a Schedule III substance. As most Americans realize, marijuana is simply not comparable to other Schedule I substances like heroin and LSD. This is an important first step to remedying decades of unjust federal marijuana policy.”

Senator Cory Booker (D-NJ) reinforced the sentiment, calling the reclassification a step in the right direction. “Moving cannabis from Schedule I to Schedule III is a step in the right direction, and I’m deeply grateful for it. The long-term solution to righting the injustices of our federal marijuana laws is for Congress to act. We have long known that federal law should not treat marijuana the same way it does meth and heroin, but Congress has failed to correct this mistake despite the overwhelming evidence of marijuana’s benefits.

“I thank President Biden for his leadership in directing the Department of Justice to review cannabis scheduling under the Controlled Substances Act and HHS and DOJ for conducting the scientific review that officially aligns the federal government with a majority of our states in agreeing that cannabis has medical benefits. I urge the administration to quickly finalize the reclassification and allow legal cannabis businesses in New Jersey and around the country to use the same tax deductions enjoyed by other legal businesses.

“However, we still have a long way to go. Thousands of people remain in prisons around the country for marijuana-related crimes. They continue to bear the devastating consequences that come with a criminal history. Legal marijuana businesses, especially those in communities hardest hit by the War on Drugs, still have to navigate a convoluted patchwork of state laws and regulatory schemes. I hope that my colleagues on both sides of the aisle, especially those who represent constituents benefiting from medical or adult-use programs, will join me to pass federal legislation, like the Cannabis Administration and Opportunity Act, legalize cannabis for adult-use and create a comprehensive taxation and regulatory scheme.”

While the rescheduling won’t fully legalize marijuana, it is expected to ease burdens on cannabis businesses, facilitate research, and reduce the stigma surrounding its use. The move aligns the federal government with 38 states that have legalized medical marijuana and 24 that have legalized recreational use.

Reclassifying marijuana as a Schedule III drug places it alongside substances like ketamine, testosterone, anabolic steroids, and Tylenol with codeine, all considered by the DEA to have “moderate to low potential for physical and psychological dependence.” Schedule III drugs can be legally prescribed by licensed healthcare providers and dispensed by licensed pharmacies. This reclassification could alleviate the significant federal tax burden currently imposed on cannabis businesses, which have been categorized as drug traffickers for tax purposes.

Despite the optimism, international treaty obligations may pose challenges. The 1961 Single Convention on Narcotic Drugs requires the criminalization of cannabis. In 2016, the Obama administration cited international obligations when denying a similar rescheduling request.

With a significant shift in federal drug policy on the horizon, the DEA’s proposal could pave the way for further reforms, offering relief to those impacted by past legislation while still ensuring controlled regulations.