DEA to reclassify cannabis as a Schedule III controlled substance

by Omar Figueroa and Lauren Mendelsohn

April 30, 2024

On April 30, 2024, the Associated Press reported that the “U.S. Drug Enforcement Administration will move to reclassify marijuana as a less dangerous drug.”  The proposal would “not legalize marijuana outright for recreational use” but “would move marijuana from its current classification as a Schedule I drug, alongside heroin and LSD” to “Schedule III, alongside ketamine and some anabolic steroids, following a recommendation from the federal Health and Human Services Department.”

It should be noted that dronabinol (also known by its registered trademark Marinol®), which consists of pharmaceutically pure delta-9-tetrahydrocannabinol, is currently classified as a Schedule III controlled substance under the Controlled Substances Act (CSA).

Back in September of 2023, the Congressional Research Service released a report entitled Department of Health and Human Services Recommendation to Reschedule Marijuana: Implications for Federal Policy.  The report notes several federal policy implications once cannabis is rescheduled:

• Those who manufacture, distribute, dispense, and possess medical marijuana may now be able to do so lawfully (under the CSA).

• States’ medical marijuana programs may now be able to comply with the CSA, and will still be subject to CSA/DEA criminal and regulatory control, federal public health laws such as the Federal Food, Drug, and Cosmetic Act, and agricultural laws such as the Agricultural Marketing Act of 1946.

• The scope of and demand for FDA oversight for medical marijuana and related products may grow considerably. In the short term, FDA may need to generate or update a substantial amount of technical information to clarify its regulatory approach to marijuana for relevant stakeholders. Given that marijuana is a complex substance containing various pharmaceutical components and is available to consumers in numerous formats, FDA may also need to consider long-term resource allocation to ensure that marijuana products consistently meet applicable regulatory standards.

• Marijuana producers and retailers would be able to deduct the costs of selling their product (e.g., payroll, rent, advertising) for the purposes of federal income tax filings.

• Those who use medical marijuana lawfully may now be eligible to (1) access public housing, (2) obtain immigrant and nonimmigrant visas, and (3) purchase and possess firearms. Those who use marijuana recreationally would still face restrictions in these areas.

• Researchers would face less strict regulatory controls in researching marijuana as a Schedule III controlled substance, which may in turn promote further research on marijuana.

• DEA would no longer set production quota limitations for marijuana.

• Those who use medical marijuana lawfully may contend with fewer barriers to federal employment and eligibility to serve in the military.

The report can be downloaded here and viewed below:

Cannabis Rescheduling Implications

This is a developing story; stay tuned for updates.

This information is intended as a public educational service and is not intended, nor should be construed, as legal advice. For specific questions regarding the reclassification of cannabis under the Controlled Substances Act (CSA), please contact the Law Offices of Omar Figueroa at 707-829-0215 or info@omarfigueroa.com to schedule a confidential legal consultation.