Cannabis policy reform has been a major topic throughout the 2020 election cycle. While many state legislatures across the country have battled reluctance to pass cannabis policy reforms in recent years, this election cycle, cannabis policy reform was on the ballot in many states and voters took action.
Results from November 3rd revealed five states approved ballot measures that legalized cannabis in some form.
Arizona, New Jersey, and Montana voters decided to legalize cannabis for persons over the age of 21. Mississippi voters decided to legalize medical cannabis. South Dakota voters decided to legalize both in one sweep. This brings legalization totals to 15 states for recreational cannabis and 35 states for medical cannabis.
Drug policy reform was further supported by the below, non-cannabis measures. Oregon voters legalized psilocybin, the active psychoactive ingredient in psychedelic mushrooms, for persons over the age of 21 as well as decriminalized possession of small amounts of drugs. Washington, D.C. voters also decided to decriminalize a wide range of psychedelics. These relatively progressive measures further indicate increasing focus on drug policy reform.
Days after the election, the House Majority Leader Steny Hoyer (D-MD) announced that the MORE Act will be brought to the floor for a vote in December 2020. The MORE Act, introduced in July 2019 with little movement since, is a federal measure to end cannabis prohibition and expunge convictions for non-violent cannabis offenses.
While the MORE Act will likely pass the Democratically-controlled House, it’s unlikely to be taken up by the Republican-controlled Senate given Senate Majority Leader Mitch McConnell’s (R-KY) strong opposition. President-elect Joe Biden’s campaign promise for modest marijuana reform was joined by a concession on his past anti-drug policies in the final days leading up to the election. However, the Biden-Harris transition plan on racial equity released over the weekend did not include any specific mention of cannabis reform.
Despite its fate, the MORE Act’s passage on the House floor would mark an important milestone in the movement for reform at the federal level and help shift the conversation at the state levels.
Drug policy reforms offer an unparalleled opportunity to establish a new regulated industry as a boost to local and national economies with the bonus potential for scaled generational wealth creation. It will be crucial for Black Americans, who have been disproportionately impacted by the War on Drugs, to be at the center of this economic opportunity.
Nationwide, states have been battling significant budget shortfalls for years. The pain has only been exacerbated by the damage of COVID-19 pandemic impacts (including but not limited) to key economic indicators such as employment figures, industrial production, and consumer spending. From a hard dollar perspective, bringing marijuana into federal legalization has the potential to fully untap an estimated $50-55 billion USD national market for recreational marijuana alone. By bringing operations and sales out of the black market into a regulated marketplace, states are able to stimulate employment and cash flow as well as generate resulting tax revenue to relieve the pain of budget deficits.
It is important to note that there are legitimate criticisms of the assumption that legalization means more tax revenue. The black market is well supported by realities such as high sales taxes and price markups on legal cannabis products, suggesting unlicensed trade may continue to live on past federal legalization.
Economic opportunities associated with cannabis legalization is tightly tied with criminal justice reform activism that has repeatedly occupied the mainstage in American politics in recent years and months. National movements, local organizations, and common-interest alliances are consistently investing in increasing the momentum for justice for individuals victimized by the War on Drugs. The campaign, ongoing since the early 1970s, has disproportionately affected and depressed persons of color, primarily Black Americans, over the last five decades.
Rather than attempting to summarize the important work being done on the ground, we have compiled a mini-bank of recognized and respected organizations and resources:
Written by Sara Wells, Trace BBLLC Chief Strategy Officer
Trace delivers soil-to-shelf supply chain transparency through our custom-fit software solutions that are homegrown in cannabis. With our industry-tested product development and blockchain-enabled data integrity, Trace works alongside government and commercial entities to empower consumer confidence, drive operational performance, and ultimately speak truth to flower. For more information, contact our team today or visit www.tracevt.com.