Pennsylvania senators passed a bipartisan measure that will create a regulatory agency to monitor the medical cannabis and hemp intoxicating products programs, and prepare for the future adult cannabis market.
The Senate Law & Justice Committee advanced the legislation from Sen. Dan Laughlin (R), who chairs the panel, in a 10-1 vote on Tuesday.
Laughlin stated ahead of the voting that the Cannabis Control Board will “ensure consistency, accountability and public safety.”
He criticised the Department of Health which oversees medical marijuana for having a program “slowed down by slow products, slow responses and inconsistent oversight that frustrates both legitimate businesses and patients.”
Senator McConnell also raised concerns about unregulated hemp products, which are being “sold openly” in convenience stores, gas stations, and vape shops “across this Commonwealth.” She said that these are often “marketed without any testing, with no labeling or age restrictions.”
Laughlin has said that the bill “does not legalize adult-use marijuana,” but he supports it separately. It would set up a regulatory framework to be used for a similar program if passed into law.
In May, the senator wrote that Pennsylvania must take immediate steps in order to be “ready for action when legalization is passed” and establish a CCB.
The legalization of cannabis for adult use in Pennsylvania has become a question of when, not if. “When that day arrives, Pennsylvania should not have to scramble to create a regulatory framework from scratch,” he added. “A transparent framework that is efficient and designed to promote a safe industry should be available from the first day.”
It is not until later that the Board will focus its attention on the use of medical marijuana and hemp-based products.
In a release issued when the bill was introduced, Laughlin stated that, “since 2016’s legalization of Medical Marijuana in Pennsylvania, state Department of Health oversight of the Medical Marijuana Program is inconsistent, inefficient, and lacks transparency.”
“That coupled with the concerning unregulated intoxicating hemp products being proliferated across our commonwealth warrants the need for a dedicated regulatory board to eliminate these inconsistencies, enhance transparency and provide the structure needed to responsibly manage this industry,” he said. This board’s first task will be to regulate these intoxicating products. These products will thrive without oversight and continue to be sold in a legal grey area without age restrictions, proper labeling, or tax collection.
In a cosponsorship message circulated this year by Laughlin, he said that his bill will “transfer the regulatory control over the Medical Marijuana Program (MMP) to the CCB in order to improve oversight and continuity of medical cannabis business and patients’ access.” The bill would also “establish uniform standards of safety to protect the public from potentially dangerous products and untested goods.”
It also does not mention adult-use or recreational marijuana in the bill, nor would it legalize on its own. However, the bill’s description implies that its sponsors think the Pennsylvania Department of Health regulatory framework should be changed to one that is more targeted and better equipped to manage an adult market in the event that lawmakers decide to lift the ban.
The memo states that “by consolidating the oversight under one regulatory board we can eliminate inconsistent practices, increase transparency and provide the necessary structure to manage the industry responsibly.”
Most of the bill that advanced out of committee describes the process of establishing the CCB, with details about the selection criteria and other procedural information. This section lists the different powers of the board. Members can conduct investigations, issue regulations, consult other departments, etc.
Meanwhile in Pennsylvania, bipartisan senators earlier this month introduced a bill that would allow terminally ill patients to use of medical marijuana in hospitals.
The move comes at a time when state legislators continue to press for the legalization of adult-use cannabis in Massachusetts.
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A top aide to Pennsylvania’s governor said last month, however, that lawmakers should stop introducing new competing legalization bills and instead focus on building consensus on the issue—while emphasizing that any measure that advances needs to contain equity provisions if the governor is going to sign it into law.
Laughlin, for his part, said in August that the House “needs to pass the language in my bill and send it to my committee” after which point he “can negotiate with the Senate and the governor.”
The Democratic-controlled House, however, has already advanced a legalization proposal this session that called for a state-run sales model. The measure was quickly quashed by Laughlin’s Senate Committee, as the GOP legislator and others insisted that a traditional licensing approach would be better.
Laughlin separately said recently that supporters are “picking up votes” to enact the reform this session.
Gov. Josh Shapiro (D), for his part, said last month that he won’t “concede” on his plan to legalize adult-use cannabis through the budget.
Meanwhile, the leading Republican candidate in the race to become the next governor of Pennsylvania dodged a question about her stance on legalizing marijuana—saying she doesn’t have a “policy position” on the issue and arguing that the sitting governor’s proposal for reform “way, way overstated” potential revenue.
Stacy Garrity of Pennsylvania (R) referred to Ohio’s adult-use marijuana market, launched this year. She said, “They have generated approximately $115,000,000 in revenue.” And while the populations of both states are relatively comparable, Shapiro’s budget projected $536.5 million in cannabis revenue in the first fiscal year of implementation.
The governor did state, though, that she would “ensure that the money is banked correctly” if Pennsylvania were to move forward with the reform.
Meanwhile, a Pennsylvania Democratic senator recently said that federal marijuana rescheduling would be “very influential” in advancing legalization in his state, giving “political cover” to GOP members on the fence about reform.
Sen. Sharif Street (D) discussed the status of cannabis legalization efforts in the Keystone State, including a bipartisan proposal to end prohibition that he filed alongside Laughlin in July.
The House-passed legalization measure with the state-run sale model, which was a tool to promote reforms in the House, isn’t necessarily doomed for this session. And Democrats in the chamber recently called on voters to pressure state senators to sign off on the cannabis measure, arguing that it would benefit health and safety and bring in billions of dollars in revenue for the commonwealth.
Despite bipartisan support among voters for legalization, the legislation has stalled repeatedly in the legislature due to the GOP’s opposition. But not all Republican members are against the policy change—and one recently said she felt her party should seize the “opportunity to snatch” the issue from Democrats.
Scott Martin, the powerful Appropriations Chair, is another Republican who has also been pushing back against adult use legalization. He said this earlier in the month, that he did not plan on moving forward with any bills.
Separately, just days after Laughlin and Street filed their measure, Reps. Emily Kinkead (D) and Abby Major (R)—alongside eight other cosponsors—filed legislation in the House to enact the reform. The pair have previously championed other proposals to end prohibition.
Separately, a recent poll found that Pennsylvania voters say they favor a model where cannabis is sold by licensed private businesses rather than through a system of state-run stores.
Meanwhile, a Democratic lawmaker recently filed a bill that seeks to require employers to cover the costs of medical cannabis for qualifying patients receiving workers’ compensation.
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