Congress Discusses Remaining FY2024 Spending Bill With Provisions On Cannabis Sales And Psychedelic Clinical Trials

Zinger Key Points
  • A total $10 million would be allocated for psychedelic medical clinical trials under the Department of Defense.
  • D.C.’s ban on use of local tax dollars for implementing a legal cannabis sales system would remain.

On March 20, Congressional leaders at both the House and Senate Appropriations Committees released new spending legislation that would continue blocking Washington D.C.'s legal marijuana sales and fund psychedelic clinical studies.

The new Financial Services and General Government legislation follows an agreement on the remaining FY 2024 spending (second and final round,) and legislators aim to pass it before a close deadline on the current continuing resolution, noted Marijuana Moment.

D.C.'s current rider, in effect since 2014, bans the use of local tax dollars for implementing a legal cannabis sales system. The new legislation would leave that ruling intact as does President Biden's FY 2025 proposal despite D.C. voters having approved cannabis legalization at the ballot a decade ago. 

Want to delve into the latest updates on cannabis regulations? Then join us at the upcoming Benzinga Cannabis Capital Conference in Florida at the new Hollywood venue on April 16 and 17, 2024. 

Specifically, it says that "None of the Federal funds contained in this Act may be used to enact or carry out any law, rule, or regulation to legalize or otherwise reduce penalties associated with the possession, use, or distribution of any schedule I substance under the Controlled Substances Act or any tetrahydrocannabinols derivative."

The Departments of Labor, Health and Human Services and the Education Dept. would also not be able to use funds "for any activity that promotes the legalization of any drug or other substance" in Schedule I, which to date includes cannabis and virtually all psychedelics.

Also Read: VP Kamala Harris Urges DEA To Reschedule Cannabis ‘As Quickly As Possible,’ Calls Prohibition ‘Absurd’ & ‘Unfair’

Another section, including the report covering funding for the Department of Homeland Security (DHS), calls on the department's Investigations division to report to Congress on issues related to illicit grow operations in legal marijuana states that are run by "transnational criminal organizations, including but not limited to those based in the People's Republic of China."

Separately, the legislation would provide a total $10 million for psychedelic medical clinical trials under the Department of Defense. This funding allocation likely responds to the implementation of the 2024 National Defense Authorization Act (NDAA) tasking the federal department to conduct trials on psilocybin, MDMA, ibogaine and 5-MeO-DMT for active duty service members with PTSD or TBI.

The Benzinga Cannabis Capital Conference is being hosted at the Diplomat Beach Resort where the two-day event promises unparalleled opportunities to network, gain invaluable insights, and foster growth within the cannabis industry. Renowned for its cutting-edge discussions and profound impact on the future of cannabis, this conference stands as the premier event of the year for industry professionals. Get your tickets now on bzcannabis.com – Prices will increase very soon!

Photo: Benzinga edit with photo by Flametric, aiyoshi597, Gisele Yashar, Bacsica and Freedomz on Shutterstock.

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In:
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Cannabis is evolving – don’t get left behind!

Curious about what’s next for the industry and how to leverage California’s unique market?

Join top executives, policymakers, and investors at the Benzinga Cannabis Market Spotlight in Anaheim, CA, at the House of Blues on November 12. Dive deep into the latest strategies, investment trends, and brand insights that are shaping the future of cannabis!

Get your tickets now to secure your spot and avoid last-minute price hikes.