The U.S. Drug Enforcement Agency (DEA) Proposed Drug Policy on Re-classification of Marijuana

The DEA is about to adjust the reclassification of marijuana under the Controlled Substances Act. It will see the agency move marijuana from a Schedule I drug to a Schedule III drug. 

“Over the years, there has been debate on the misplacement of marijuana as a Schedule I substance. One of the major arguments was that the classification obstructs research into the benefits of marijuana. 

Moreover, medical researchers have hinted at the medical benefits of marijuana, but federal laws have made the exploration into making cannabis-related drugs exhaustive. This new proposal may be a game-changer in the industry,” says criminal defense lawyer Jeffrey Lichtman.

This article discusses the DEA’s proposed changes to the classification and highlights the reasons for reconsidering reclassification. 

Classification of Substances in the U.S.

As per the US government, psychoactive substances like alcohol, marijuana, OCT drugs, etc., can be categorized into three categories. These categories are decided as per the effects of the said substance. As a result, this categorization is key in identifying the substance.

In this section, we will examine the schedules of substances as determined by the US government. Hence, this is an important part of the conversation. Therefore, try to follow through to understand the drug policy on marijuana’s re-classification. So, let’s go!

Schedule I

The DEA classifies drugs with the highest risk of abuse under Schedule I. These drugs include substances such as heroin, LSD, and ecstasy. These substances have the highest potential for users’ physical and psychological dependence. 

They are the most controlled drugs. The provisions contained in the Controlled Substances Act or CSA consider these substances to be highly dangerous. U.S. laws do not provide any controlled medical use for such drugs. 

Schedule II

Like Schedule I drugs, Schedule II drugs are also dangerous. They include substances such as oxycodone and Fentanyl. Under the Controlled Substances Act, Schedule II drugs are hazardous. 

They have a high risk of abuse due to users’ psychological dependence. However, unlike Schedule I drugs, they have an accepted medical use threshold.

Schedule III

Schedule III drugs have a moderate potential for abuse. This is because they carry a lower risk for users’ physical and psychological dependence. The U.S. laws also accept them for medical use where necessary. 

The regulations guiding the use of Schedule III drugs are less strict than those of Schedule I and II. However, the DEA still carries out an oversight function on the use of these substances. That is because Schedule III drugs still fall under the Controlled Substances Act.

Reasons for Classification of Marijuana as a Schedule III Drug

There are two major reasons for the DEA’s proposal to reclassify marijuana as a Schedule III substance. The first reason is the potential medical benefit. The second reason is the recognition of a lower risk of abuse.

Potential Medical Benefits

One of the biggest changes that the drug policy on re-classification of Marijuana could bring is increasing the availability. If the policies are revised, then the overall availability of the substance can increase. 

This will have two prominent benefits. First, cannabis can help people with problems like seizures and other chronic pain. Secondly, companies working on cannabis to develop drugs or other products can access the substance with more ease.

However, a reclassification under Schedule III substances will allow for less stringent control regulations. This will reduce the purchase cost for medical researchers and pharmaceutical companies, thereby making the acquisition process less burdensome.

The proposal recognizes that the reclassification has led to the development of newer cannabis-related drugs for medical use. 

This development can ultimately lead to technological advancement in the pharmaceutical industry, and companies can profit from any economic growth that may arise.  

Lower Risk of Abuse

Unlike the other drugs classified under Schedule I and II, Marijuana poses a lower risk of substance abuse.

Hence, the classification of the drug under Schedule I was a misplacement. As a result, the new DEA proposal will reflect the right amount of abuse risk that marijuana possesses. 

The Process of Effecting the Change in Classification

Changes in the classification of drugs do not happen immediately after drafting a proposal. The process of change is as follows:

The country’s attorney general submits the proposal to the White House, and the Office of Management and Budget reviews it. Subsequently, the next stage is to seek public opinion. 

After collecting public views, the DEA collates and reviews them. The DEA then drafts a final rule that reflects the public opinion. 

The next step is for an administrative law judge to review the final rule. After the review, the DEA will publish the final rule. 

Notably, the publication of the final rule does not always equate to immediate implementation. Different legal challenges may hinder the implementation of the new policy.

Impacts of the Proposal

The IRS Code 280E prevents businesses that deal with drugs under Schedule I classification from taking deductions on their federal tax returns like a regular business. 

This restriction has made the cannabis business less profitable over the years. The proposed classification seeks to lift this restriction.

Furthermore, cannabis businesses have had trouble transporting their products from one state to another due to clashes in federal and state laws. Hence, the new proposal seeks to address some of these legal conflicts. 

This will lead to a larger distribution chain, which will allow businesses to operate in many states. 

Cannabis businesses have also had issues with banking in the past. The classification of marijuana as a Schedule I substance made banking complex for marijuana businesses. 

Lawmakers are proposing new banking regulations to complement the DEA’s proposal. These regulations will make banking easier for cannabis businesses and grant them access to more capital for their growth. 

Wrapping It Up!

The DEA will soon request a public opinion stage, which is a crucial part of the final rule drafting.

This is a chance for you to participate in the decision-making process for a new drug policy. You may choose to liaise with an attorney on your submission.

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