In July 2021, three senators proposed removing marijuana from the Controlled Substances Act, and two months later the House Judiciary Committee approved a bill to decriminalize it, bringing federal oversight closer.
Those that do need ordnances regulating how many businesses they’ll allow or how they’ll handle licensing, Felix said.
That came from only for a handful of states: Alaska, Arizona, California, Colorado, D.C., Illinois, Maine, Massachusetts, Michigan, Montana, New Jersey, Nevada, Oregon, South Dakota, Washington and Vermont, he said.
Most states begin their cannabis legalization with medical use, which means they first set up a system – ideally, automated – to handle licensing businesses, registering approved consumers and tracking and tracing supply.
Voters there approved medical use in 2020, and although the state supreme court blocked the legalization of adult use in November 2021, it may be on the ballot again this year.
“The proof is two years down a year later in the program and are you seeing things like rampant, runaway, uncontrollable illegal market, breaches into the system, unhappy businesses, or in some cases extreme imbalance between supply and demand, which ultimately ends up creating terrible problems with the illegal market,” he said.
And more complication is coming, Felix predicts, when federal legalization of cannabis passes, paving the way for interstate cannabis commerce.
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