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HOPE soared with the Possibility of a Federal Cannabis Reform in 2022.
Hope soared with the possibility of federal cannabis reform in 2021. Some of those reasons – the induction of a new, more liberal administration, state-level legalization, great support by Americans, and growing bipartisan backing led many to believe that 2021 was going to be the year where federal decriminalization of cannabis would become a reality. But, as 2021 progressed, optimism dwindled as any advancement in federal cannabis reform was hobbled by the inability of Congress to agree on the appropriate level of reform and the proper mechanics for passage.
In many ways, 2021 was a banner year for the U.S. cannabis industry, largely thanks to the continued legalization of adult-use cannabis at the state level. While the industry will face some of the same headwinds it did last year related to continued federal prohibition; there is hope! It looks like 2022 promises to be another exciting year for cannabis. Despite federal prohibition, the U.S. cannabis industry has experienced dramatic growth in recent years. By estimates, total U.S. cannabis sales were expected to surpass $24 billion in 2021, representing 38% growth over 2020 sales. Additionally, in considering the industry's broader effects on the economy, a recent analysis states the industry is projected to add $92 billion to the U.S. economy in 2022.
Still, momentum for reform has not been lost this year. If anything, last year saw more bills introduced into Congress, which included two new federal legalization proposals, than before. It can be presumed its import to our nation's leaders. For example, Justice Clarence Thomas from the Supreme Court has advised Congress to address legalization, noting that the Federal Government's current "half in, half out regime" on cannabis strained the principles of federalism. As mentioned earlier, one of the federal legalization proposals is the SAFE Banking Act. Mainly focused on granting cannabis-related businesses access to federally backed financial institutions. The bill was introduced early in 2021 and passed in the U.S. House of Representatives in April 2021. At the House's passage, many believed the SAFE Banking Act of 2021 would quickly move its way through the Senate. However, after its passage in the House, the SAFE Banking Act stalled in the Senate's Committee on Banking, Housing, and Urban Affairs. Partially due to those opposing it campaigning for more comprehensive legalization. In late September 2021, the SAFE Banking Act of 2021 arose again when the House passed, by voice vote, an amendment to the National Defense Authorization Act for Fiscal Year 2022 to add the SAFE Banking Act of 2021. Still, no dice.
However, I cannot help but think there is a sense of optimism that the reform movement will expand rapidly in 2022. And activists are pleased to see the range of policy reforms being pursued. There was a significant number of marijuana reform victories in state legislatures in 2021, but they are hopeful they can get even more accomplished in the new year. In states across the country, activists are already in the process of qualifying cannabis legalization, and other drug policy reform measures for November 2022 ballots as lawmakers separately work to advance reform bills.
Another hot topic making headway -- cannabis research is in full swing! We often think about cannabis legalization from a customer-based perspective, but there is another benefit to its growing availability. After a dormant period, the U.S. Drug Enforcement Administration has authorized federally authorized marijuana manufacturers for research. According to Marijuana Moment, this opportunity opens the door to studying the characteristics of cannabinoids and how they get into the bloodstream.
Fun Fact: before 1999, there were fewer than 5,000 published cannabis studies in total, but with cannabis reform, over 3,500 peer-reviewed scientific papers were published in 2020 alone. This critical work helps destigmatize cannabis and reinforces the potential medical benefits of cannabis. Plus, understanding cannabinoids can lead to more efficient products.
Look at the states below. Keep your eyes out for these marijuana law changes.
Arkansas
Three campaigns are working to give voters a say in whether Arkansas should legalize marijuana in 2022. Arkansans for Marijuana Reform, which filed its reform initiative with the state in November. Also, last year, a former Arkansas lawmaker announced a campaign that intends to put cannabis legalization on the state's 2022 ballot.
Eddie Armstrong, a Democrat who previously served as minority leader in the state House of Representatives before leaving office in 2019, is chairing the newly formed advocacy group Responsible Growth Arkansas.
Kansas
A medical cannabis bill that passed the House last year is still alive and poised for action in the Senate in 2022. However, Kansas Democratic leaders want to go further and recently announced new proposals to let voters decide on legalizing medical and adult-use marijuana in the state.
"It's time to give voters their opportunity to have their say and let the legislature know how they feel," House Minority Leader Tom Sawyer (D) said. If approved in the legislature and then by voters in November, the laws would take effect in July 2023. For her part, Gov. Laura Kelly (D) supports medical cannabis.
She previously pushed a separate proposal to legalize medical cannabis and use the resulting revenue to support Medicaid expansion.
Kentucky
This month, a Republican-led bill to legalize medical marijuana in Kentucky landed in the state legislature. The measure is an update to lead sponsor Rep. Jason Nemes's (R) past legalization efforts and includes several conservative-minded adjustments to win broad support among lawmakers, including leaders of his party who control the legislative agenda.
Rep. Nemes filed a medical legalization bill in 2020 that soundly passed the House but later died in the Senate without a vote amid the early part of the coronavirus pandemic.
He reintroduced the legislation for the 2021 session, but it did not advance.
In recent months, Nemes has been working to build support for a new, scaled-back version of the bill for 2022 and in October said he was confident it could pass if only legislative leaders had the "courage" to allow a vote on it.
North Carolina
A proposal to legalize medical cannabis in North Carolina advanced through three Senate committees last year and advocates are optimistic that the reform could be taken up again in the new year.
Under the proposal, patients would be allowed to access cannabis if they have a "debilitating medical condition" such as cancer, epilepsy, HIV/AIDS, Parkinson's disease, multiple sclerosis, and post-traumatic stress disorder.
In addition, patients could possess up to one and a half ounces of marijuana, but home cultivation would not be permitted.