Two years after becoming a prominent Republican advocate for federal cannabis reform, a U.S. congresswoman has introduced a new legalization bill on Oct. 24.
Rep. Nancy Mace, R-S.C., has presented a bill titled “States Reform Act of 2023,” aiming to revise the Controlled Substances Act in relation to marijuana, among other objectives. The bill was filed on Tuesday.
The details of the bill were made public on Nov. 8.
StatesReformActof2023_NancyMace by Tony Lange on Scribd
This legislation is an extension of Mace’s previous “States Reform Act,” submitted in November 2021 with four Republican co-sponsors. It primarily seeks to declassify cannabis from Schedule I of the Controlled Substances Act and establish federal regulations similar to those for alcohol.
A notable aspect of the new bill is its bipartisan support, including co-sponsors like Reps. Tom McClintock, R-Calif.; Dean Phillips, D-Minn.; David Trone, D-Md.; and Matt Gaetz, R-Fla.
The proposed act aims to create a federal permitting system for cannabis enterprises, oversee interstate medical cannabis products, and introduce a 3% federal cannabis excise tax, with a decade-long freeze on tax increases to maintain market competitiveness.
Contrasting with other Democratic-led federal reform efforts, Mace’s proposal suggests a significantly lower excise tax. For instance, the Cannabis Administration and Opportunity Act (CAOA), championed by Senate Majority Leader Chuck Schumer in the last Congress, proposed a 25% federal sales tax on cannabis by its fifth year of deregulation.
Mace recommends allocating the revenues from this tax to support law enforcement, small businesses, and veterans’ mental health programs.
“This bill is designed to benefit veterans, law enforcement, farmers, businesses, those with serious illnesses, and contribute to criminal justice reform,” Mace stated in November 2021. “Moreover, an overwhelming majority of Americans are in favor of ending cannabis prohibition, which is evident as only three states in the nation have no form of cannabis reform.”
Mace’s bill also suggests assigning the Alcohol and Tobacco Tax and Trade Bureau (TTB) under the U.S. Department of the Treasury with federal regulation responsibilities for interstate cannabis products, while the Food and Drug Administration (FDA) would oversee medical uses.
Additionally, the bill outlines that the Alcohol, Tobacco, Firearms and Explosives Bureau should support the TTB, similar to its role in alcohol regulation. This is in contrast to Schumer’s CAOA, which envisioned the FDA as the primary regulator for the cannabis industry.
Although Mace’s previous States Reform Act did not progress to committee markup in the last Congress, the current Republican majority in the House could change its fate.
However, despite bipartisan support, Mace’s new bill faces competition from other federal legalization measures, like the Marijuana Opportunity, Reinvestment and Expungement (MORE) Act reintroduced by Rep. Jerry Nadler, D-N.Y., on Sept. 20, which now has 69 co-sponsors but only Democratic backing.
With the Republicans holding a slight majority in the U.S. House, bipartisan support for legislation has become increasingly significant.
Rep. Mike Johnson, R-La., who was recently elected as the House Speaker, may influence the advancement of cannabis-related legislation, given his past voting record against incremental cannabis reforms.
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