In a national vote widely viewed as a victory for conservatives, last year’s elections also yielded a win for liberals in eight states
that legalized marijuana for medical or recreational use. But the
growing industry is facing a federal crackdown under Attorney General
Jeff Sessions, who has compared cannabis to heroin.
A
task force
Mr. Sessions appointed to, in part, review links between violent crimes
and marijuana is scheduled to release its findings by the end of the
month. But he has already asked Senate leaders to roll back rules that block the Justice Department from bypassing state laws to enforce a federal ban on medical marijuana.
That
has pitted the attorney general against members of Congress across the
political spectrum — from Senator Rand Paul, Republican of Kentucky, to
Senator Cory Booker, Democrat of New Jersey — who are determined to
defend states’ rights and provide some certainty for the
multibillion-dollar pot industry.
“Our
attorney general is giving everyone whiplash by trying to take us back
to the 1960s,” said Representative Jared Huffman, Democrat of
California, whose district includes the so-called Emerald Triangle that
produces much of America’s marijuana.
“Prosecutorial
discretion is everything given the current conflict between the federal
law and the law of many states,” he said in an interview last month.
In February, Sean Spicer, the White House press secretary, said the Trump administration would look into enforcing federal law
against recreational marijuana businesses.
Some states are considering
tougher stands: In Massachusetts, for example, the Legislature is trying to rewrite a law to legalize recreational marijuana that voters passed in November.
Around one-fifth of Americans
now live in states where marijuana is legal for adult use, according to
the Brookings Institution, and an estimated 200 million live in places
where medicinal marijuana is legal. Cannabis retailing has moved from
street corners to state-of-the-art dispensaries and stores, with
California entrepreneurs producing rose gold vaporizers and businesses in Colorado selling infused drinks.
Mr. Sessions is backed by a minority of Americans who view cannabis as a “gateway” drug that drives social problems, like the recent rise in opioid addiction.
“We
love Jeff Sessions’s position on marijuana because he is thinking about
it clearly,” said Scott Chipman, Southern California chairman for
Citizens Against Legalizing Marijuana.
He
dismissed the idea of recreational drug use. “‘Recreational’ is a bike
ride, a swim, going to the beach,” he said. “Using a drug to put your
brain in an altered state is not recreation. That is self-destructive
behavior and escapism.”
Marijuana merchants are protected by a provision in the federal budget that prohibits the Justice Department from spending money to block state laws that allow medicinal cannabis. Under the Obama administration,
the Justice Department did not interfere with state laws that legalize
marijuana and instead focused on prosecuting drug cartels and the
transport of pot across state lines.
In
March, a group of senators that included Elizabeth Warren, Democrat of
Massachusetts, and Lisa Murkowski, Republican of Alaska, asked
Mr. Sessions to stick with existing policies. Some lawmakers also want
to allow banks to work with the marijuana industry and to allow tax
deductions for business expenses.
Lawmakers
who support legalizing marijuana contend that it leads to greater
regulation, curbs the black market and stops money laundering. They
point to studies showing that the war on drugs, which began under President Richard M. Nixon, had disastrous impacts on national incarceration rates and racial divides.
In
a statement, Mr. Booker said the Trump administration’s crackdown
against marijuana “will not make our communities safer or reduce the use
of illegal drugs.”
“Instead,
they will worsen an already broken system,” he said, noting that
marijuana-related arrests are disproportionately high for black
Americans.
Consumers
spent $5.9 billion on legal cannabis in the United States last year,
according to the Arcview Group, which studies and invests in the
industry. That figure is expected to reach $19 billion by 2021.
A Quinnipiac University poll
in February concluded that 59 percent of American voters believe
cannabis should be legal. Additionally, the poll found, 71 percent say
the federal government should not prosecute marijuana use in states that
have legalized it.
“This
is part of a larger set of issues that the country is wrestling with
right now, where a very strong-willed minority is trying to impose its
value system on the country as a whole,” said Roger McNamee, an industry
investor.
But marijuana businesses are bracing for a possible clampdown.
“People
that were sort of on the fence — a family office, a high-net-worth
individual thinking of privately financing a licensed opportunity — it
has swayed them to go the other way and think: not just yet,” said Randy
Maslow, a founder of iAnthus Capital Holdings. The public company
raises money in Canada, where Prime Minister Justin Trudeau campaigned
on a promise to legalize recreational use of marijuana.
Representative
Earl Blumenauer, Democrat of Oregon and a co-chairman of the
Congressional Cannabis Caucus, is urging marijuana businesses not to be
“unduly concerned.”
“We
have watched where the politicians have consistently failed to be able
to fashion rational policy and show a little backbone,” he said. “This
issue has been driven by the people.”
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