The Republican electoral victory this November indicates significant policy changes are coming over the next few years. One of many issues President-elect Donald Trump’s new administration will need to consider is the federal treatment of marijuana. We urge him to partner with Republicans in Congress already leading on the issue to fulfill his campaign promise.
Organizations on the political right have evolved their vision on marijuana policy to one that advances individual freedom and legitimate entrepreneurship. By contrast, prohibition has been a justification for massive growth in the size and scope of government and has ruined the lives of millions of Americans who engaged in peaceful behaviors that may hold medical benefits.
As states have allowed their own legal marijuana markets, partial federal deference toward these state markets has introduced massive uncertainty. For now, state-licensed marijuana producers and retailers operate with apparent impunity but practical inefficiency. Federal inaction means banks cannot lend to these companies, they cannot raise capital on major public exchanges, they cannot claim standard tax deductions, and they often cannot even deposit cash in a bank or work with a payroll servicing provider.
These inefficiencies result in higher prices for consumers who are left to choose between expensive regulated products and cheaper illicit products.
In sum, current federal policy undermines the goals of regulated markets and perpetuates dangerous criminal activity — including international drug cartels — with which federal policymakers ought to be concerned.
Republicans concerned about law and order need to resolve the conflict between state and federal law to root out true dangers to public safety.
After voters overwhelmingly carried Trump back to the White House, we believe Republicans have a clear mandate to take this on.
Candidate Trump did not mince words this September when he declared his support for changing federal marijuana laws. As he wrote on Truth Social, “I believe it is time to end needless arrests and incarcerations of adults for small amounts of marijuana for personal use. We must also implement smart regulations, while providing access for adults, to safe, tested product … 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 … that work so well for their citizens.”
We concur with Trump’s assessments and applaud his commitment to changing federal law. We have worked with Republican offices to introduce two proposals in Congress that would align federal law and empower states to make their own decisions about marijuana legalization. The STATES Act 2.0 would remove marijuana produced in compliance with state law from scheduling under the Controlled Substances Act, making these products and the companies that manufacture them fully legal under federal law. Marijuana that is not authorized under state law would remain federally criminal.
The States Reform Act represents a more comprehensive approach that would establish a federal regulatory apparatus to award federal licensure, set compliance standards and facilitate interstate commerce among the states that choose to legalize marijuana in a fashion similar to how federal authorities regulate alcohol.
President-elect Trump campaigned on this issue and Republicans across the country rode his coattails into legislative majorities. The vehicles for accomplishing his goals have been thoughtfully drafted over the past several sessions of Congress in ways that align with conservative principles. It is the time for Republicans to step up because majorities of voters from all parts of the political spectrum want to see change.
Now is the time for Congress to lay the foundations for a safe, legal and regulated market.
Geoffrey Lawrence is research director at Reason Foundation and policy director of the Cannabis Freedom Alliance. Jeremiah Mosteller is a policy director at Americans for Prosperity and executive director of the Cannabis Freedom Alliance.
