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cannabis policy

Anti-Cannabis Coalition Sues Trump Admin Over Medicare Hemp Coverage Plan

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Anti-Cannabis Coalition Sues Trump Admin Over Medicare Hemp Coverage Plan

A coalition of health advocacy organizations and anti-cannabis groups sued the Trump administration on Monday over its plan to allow Medicare coverage for hemp-derived CBD and THC products. Plaintiffs include Smart Approaches to Marijuana, Cannabis Industry Victims Educating Judges, North Carolinians Against Legalization of Marijuana, Cannabis Impact Prevention Coalition, LLC, Cannabis Industry Victims Seeking Justice, County Drug Foundation of America, Save Drugs Courses International Anti-Drug Alliance, Illinois Family Institute and North Carolina resident and SAM donor David Evans.

The lawsuit was filed after the Centers for Medicare & Medicaid Services (CMS) will begin covering CBD and THC products as an incentive to engage beneficiaries of substance access (BEI). The document names CMS Administrator Mehmet Oz and US Department of Health and Human Services (HHS) Secretary Robert F. Kennedy, Jr. as a defendant.

Under the proposed BEI, patients enrolled in certain federal health insurance programs could cover up to $500 worth of hemp-derived products each year. The lawsuit alleges that the plan violates administrative rules because the CBD and THC products covered by the program have not received Food and Drug Administration approval and because CMS did not publish a notice of proposed rulemaking, which prevented public comment.

The complaint further alleges that the program would violate the Social Security Act, which “does not permit CMS to sanction the possession and use of illegal and dangerous Schedule I substances by Medicare patients without express congressional authorization.”

“CMS’s action represents an unprecedented and unlawful assertion of binding decision-making authority that will profoundly affect the health of older Americans. “CMS took this action without the hurdles imposed by the administrative process, without any reasoned explanation, in violation of the agency’s final determination pursuant to the APA, and without statutory authority.” – Smart approaches to marijuana, etc. al v. HHS, US CMS

The filing alleges that Evans would be personally harmed by CMS’ changes because he is a Medicare recipient who was not allowed to submit public comment on the BEI and whose “health care relationship” with CMS is changed by the plan.

The lawsuit alleges that there is a “research gap” for medical cannabis and hemp products and alleges that “commercially available CBD products are contaminated and mislabeled.”

The suit seeks a temporary restraining order, a preliminary injunction, a stay of the agency’s action pending a judicial review, and asks the court to vacate the EIB, declare it illegal and permanently enjoin the policy.

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California

Los Angeles Votes to Raise Taxes on Unlicensed Cannabis Shops

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Los Angeles Votes to Raise Taxes on Unlicensed Cannabis Shops

During the city’s recent midterm elections, Los Angeles voters approved Measure CB, which would require unlicensed cannabis distributors within city limits to pay taxes required of city-licensed vendors. NBC Los Angeles reports.

Currently, only licensed distributors must pay the city’s 10% cannabis business tax.

Voters approved the CB measure with 72% support. The measure was projected to raise between $30 million and $35 million in new tax revenue annually.

According to the report, the city also passed Measure TC, which closes tax loopholes for online hotel reservations.

Meanwhile, in March, the Los Angeles City Council asked The Finance Office drafted language to create an “amnesty” program for the city’s licensed cannabis businesses, which at the time collectively owed more than $400 million in back taxes and fees.

Based in Portland, Oregon, Graham is the editor-in-chief of Ganjapreneur. He has been writing about the legalization landscape since 2012 and has contributed to Ganjapreneur since our official launch in…

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cannabis policy

Pennsylvania Senate Rejects Bill to Create Cannabis Control Board

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Pennsylvania Senate Rejects Bill to Create Cannabis Control Board

The Pennsylvania Senate rejected it lEGISLATION to remove oversight of the state’s medical cannabis program from the Department of Health and create a new and independent Pennsylvania Cannabis Control Board, PennLive reports.

Authored by state Sen. Dan Laughlin (R), the proposal would also give the new agency regulatory power over intoxicating hemp products, as well as any future grow-out cannabis markets in the state.

Laughlin said he knew the proposal would be opposed by some Republicans, but that he didn’t know until the last minute that Democrats would unite against the proposal. Lawmakers opposed the bill 23-27 on Wednesday, with six Republicans against and two Democrats in support.

“I knew it was a risk to put it up for a vote because there was some discussion going back and forth.” – Laughlin, in a statement

However, lawmakers followed up the rejection with a vote allowing the bill to be reconsidered later.

“We’re going to get another pass on that,” Laughlin said. “I’m not sure when, but hopefully by the end of June.”

Meanwhile, Pennsylvania Governor Josh Shapiro (D) supports the legalization of cannabis for adult use and INCLUDING Revenue from cannabis taxes in his 2026-2027 state budget plan.

Based in Portland, Oregon, Graham is the editor-in-chief of Ganjapreneur. He has been writing about the legalization landscape since 2012 and has contributed to Ganjapreneur since our official launch in…

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ballot initiatives

Idaho Legislative Council Approves Ballot Language to Limit Legalization Powers to Lawmakers

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Idaho Legislative Council Approves Ballot Language to Limit Legalization Powers to Lawmakers

The Idaho Legislature last week approved language for a ballot measure seeking to amend the state constitution so that only the legislature has the authority to legalize cannabis and other psychoactive or narcotic substances, Idaho Capital Sun reports.

The adopted voting language includes statements for and against the proposal.

Language supporting the proposal states:

“Drugs destroy lives, tear apart families and threaten the safety of our communities. Decisions to legalize marijuana, narcotics and other psychoactive substances are too important to be taken lightly. The proposed amendment would ensure that any proposal to legalize these dangerous substances would go through the legislative process. Public hearings would be held on the proposal and people could be harmed by the law. Lawmakers would consider carefully each proposal and would be publicly accountable for their votes.

Language opposing the proposal reads:

“The Idaho Constitution states that all political power belongs to the people. But the proposed amendment would take that power away from the people by taking away their ability to pass drug legalization laws themselves through ballot initiatives. The people are just as capable of making good and prudent decisions about drug policy as the legislators. The amendment is also unnecessary because if the people had the power to legislate or ever pass the law for drugs to change or abolish it.”

The ballot measure could appear on the same ballots as a question directed by citizen advocates to legalize medical cannabis. Idaho Natural Medicine Alliance last month submitted petition signatures to county clerks and indicated he had collected more than 100,000 signatures to place the issue on the November general ballot.

It’s unclear what would happen if voters pass both initiatives, voting to both legalize medical cannabis and put legalization reforms solely in the hands of the Legislature.

TG joined Ganjapreneur in 2014 as a news writer and began hosting the Ganjapreneur podcast in 2016. He is based in upstate New York, where he also teaches media at a local university.

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