More than six months into oversight by former Trump administration officials, the U.S. Drug Enforcement Administration (DEA) says the marijuana rescheduling process remains stalled. Despite significant progress under the Biden administration—including a historic recommendation by the Department of Health and Human Services (HHS) to move cannabis from Schedule I to Schedule III—the DEA has yet to finalize its decision.
This delay is causing mounting frustration among advocates, lawmakers, and industry leaders who had hoped for swift federal reform. The rescheduling process, which began officially in 2023 following a directive from President Biden, was seen as a major step toward easing federal restrictions on cannabis. But recent developments show that momentum has stalled under new leadership.
The current acting solicitor general—appointed during the Trump administration—recently asked the U.S. Supreme Court for more time to consider a challenge related to gun rights for cannabis consumers, citing marijuana’s still-illegal federal status. That same administration-aligned leadership is now overseeing DEA decisions, potentially influencing how and when cannabis is moved on the federal drug schedule.
The DEA’s hesitancy to act has reignited debates about whether the agency is using its authority to stall reforms that are supported by growing bipartisan majorities. In contrast, the HHS concluded last year that cannabis has accepted medical uses and is less likely to be abused than other Schedule I substances—criteria that would support rescheduling to Schedule III under the Controlled Substances Act.
For the cannabis industry, the delay has major financial implications. Rescheduling would relieve cannabis businesses from the burdens of IRS Code 280E, which currently blocks them from deducting common business expenses. Moving marijuana to Schedule III would also open up new pathways for research, insurance coverage, and broader medical applications.
While some lawmakers continue to apply pressure on the DEA to act, the agency maintains that it is conducting its own scientific review. Critics argue that the review is redundant, given that the HHS already completed its assessment in consultation with the FDA and NIH.
As the wait drags on, the lack of clarity is contributing to industry uncertainty and dampening investor confidence. Many advocates worry that the window for meaningful reform could close if political leadership changes after the 2024 election, particularly if cannabis policy falls back under more conservative control.
For now, the DEA’s silence leaves a significant question unanswered: will the U.S. government finally align its drug policy with science and public opinion, or will bureaucratic inertia continue to hold back one of the fastest-growing industries in the country?
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