Trump Signals Supports for Federal Cannabis Rescheduling, Banking Reform

Former president Donald Trump indicated Sept. 8 that he backs President Joe Biden administration’s push for the Drug Enforcement Administration (DEA) to reclassify cannabis as a Schedule III drug under the Controlled Substance Act (CSA).

Not only that, but Trump confirmed that he will be voting in support of Amendment 3 this November in Florida—to legalize adult-use cannabis in the Sunshine State—and that he plans to work with Congress to provide state-licensed cannabis businesses access to traditional banking services if he’s elected to a second term as president.

While the Secure and Fair Enforcement Regulation (SAFER) Banking Act has the support it needs to avoid a filibuster in the U.S. Senate this Congress, Majority Leader Chuck Schumer, D-N.Y., has yet to call the legislation to the floor for a vote.

While Trump already indicated his likely support for Florida’s constitutional ballot measure less than two weeks ago, his comments Sunday night regarding cannabis rescheduling and banking reform offer cannabis industry stakeholders hope that a new White House administration won’t derail progress made on these issues.

“As a Floridian, I will be voting YES on Amendment 3 this November,” Trump wrote Sept. 8 on Truth Social.” As President, we will continue to focus on research to unlock the medical uses of marijuana to a Schedule 3 drug, and work with Congress to pass common sense laws, including safe banking for state authorized companies, and supporting states rights to pass marijuana laws, like in Florida, that work so well for their citizens.”

Trump’s comments came after he predicted on Aug. 31 that Florida voters would secure the 60% supermajority support required to pass Amendment 3 in this November’s election. But Trump didn’t explicitly say he would vote in favor of the ballot measure—primarily funded by Tallahassee-based cannabis company Trulieve—until now. 

Trulieve has contributed nearly $83 million of the $90 million donated to Amendment 3 sponsor Smart & Safe Florida, according to the Florida Division of Elections.

Perhaps most notable is Trump’s comments about rescheduling, a Biden reform initiative with significant implications, from the federal government recognizing cannabis has currently accepted medical use in the U.S. to providing state-licensed cannabis companies substantial federal tax relief. Under cannabis’s current Schedule I listing, plant-touching companies are unable to take standard business tax deductions, including payroll, under Section 280E of the Internal Revenue Code.

The current rescheduling process comes nearly two years after Biden directed his cabinet in October 2022 to review how cannabis is classified under the CSA. The following has happened since then:

• August 2023: The U.S. Department of Health and Human Services (HHS) recommended to the DEA that cannabis be reclassified to Schedule III after conducting a scientific and medical evaluation.
• January 2024: The HHS released an unredacted version of its 250-page rescheduling evaluation, including its finding that cannabis has currently accepted medical use in the U.S. and therefore cannot be classified as a Schedule I substance.
• March 2024: Vice President Kamala Harris urged the DEA to Act “as quickly as possible” on its cannabis rescheduling review.
• May 2024: Attorney General Merrick Garland signed off on a 92-page notice of proposed rulemaking from the Department of Justice (DOJ) that cannabis be reclassified to Schedule III.
• July 2024: The 60-day public comment period for the DOJ’s proposed rescheduling rule closed with more than 43,000 comments, nearly 70% of which indicated support for full descheduling, decriminalizing or legalizing cannabis at the federal level.
• August 2024: DEA Administrator Anne Milgram announced that she will grant an administrative law judge hearing to start Dec. 2, meaning the DEA won’t issue a final rule on rescheduling until after the presidential election.
  

Since the “DEA has not yet made a determination as to its view of the appropriate schedule for marijuana,” according to the DOJ’s notice of proposed rulemaking published May 21 in the Federal Register, many industry stakeholders had hoped the DEA would issue a final rule before the election amid the unknown of a new White House administration.

That element of risk—the rescheduling process not finalizing before a new president is sworn in come January 2025—became clearer Sunday evening.

Adam Goers, who has been involved with the inner workings of the cannabis rescheduling process in Washington as the co-chair of the Coalition for Cannabis Rescheduling Reform, said Trump’s comments make clear that reclassifying cannabis is not a partisan issue.

“Reclassifying cannabis is smart science, smart policy, and smart politics,” he said in a public statement. “With last night's announcement by former President Trump, both major party candidates support moving cannabis down to Schedule III. There should be no further delay.

“Americans overwhelmingly support reclassifying cannabis, and there is irrefutable scientific evidence for the move. Regardless of the outcome in November, it is clear that cannabis will soon be rescheduled after spending more than 50 years alongside heroin on Schedule I.”

Goers also said rescheduling cannabis will benefit millions of Americans in a clear break from the “failed policies of the past.”

Although reclassifying cannabis to Schedule III won’t decriminalize the plant at the federal level, it will allow for the medical use of cannabis if approved by the Food and Drug Administration.

Trump also reaffirmed his stance Sept. 8 that Americans shouldn’t face imprisonment for simple cannabis use and possession.

“As I have previously stated, I believe it is time to end needless arrests and incarcerations of adults for small amounts of marijuana for personal use,” Trump wrote on Truth.

The National Cannabis Roundtable (NCR) also welcomed Trump’s comments.

NCR Executive Director Saphira Galoob said the 24 states that have legalized adult-use cannabis and the 14 states with medical-only cannabis programs provide examples of what regulated marketplaces can offer.

“We welcome the support of former President Trump for states’ rights to implement their own cannabis legalization policies,” Galoob said in a public statement. “As we’ve seen in 38 states to date, such legal programs implement strict regulations to best protect our children, patients, consumers, and communities.

“It is a monumental moment in our ongoing fight for federal cannabis reform as the presidential nominees of our two major parties have now both embraced legalization efforts, acknowledging that no one should be in jail for personal use of cannabis and that the establishment of responsible, regulated cannabis markets is the pathway to a safer America.”