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Vermont Bill Would Legalize Commercial Marijuana Sales Despite Federal Prohibition

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MONTPELIER, Vt. (Jan. 9, 2020) – A bill introduced in the Vermont Senate would create a licensing and regulatory structure for commercial marijuana cultivation and sales despite federal prohibition.

Sen. John Rodgers (D-Glover) introduced Senate Bill 214 (SB214) on Jan. 7. The legislation would establish policies and procedures for growing, processing, testing, and marketing marijuana and marijuana products. According to the bill’s statement of purpose, the enactment of SB214 would allow “farmers and other businesses in the Vermont agricultural industry can take advantage of this market opportunity.”

Vermont legalized the possession and home cultivation of marijuana by adults over 21 last year, but the law does not allow commercial production or distribution of cannabis for the recreational market. The passage of SB214 would take the next step forward and treat marijuana similar to alcohol in the state with a tax, license and regulatory structure.

The legislation will have a tough road to enactment. Vermont Gov. Phil Scott (R) has expressed reservations about commercial marijuana sales.  In a message to the General Assembly, he expressed “mixed emotions” about signing the bill. “I personally believe that what adults do behind closed doors and on private property is their choice, so long as it does not negatively impact the health and safety of others, especially children,” he said. But he added that he still has “reservations about a commercial system which depends on profit motive and market-driven demand for its growth.”

The debate over commercial marijuana cultivation and sales continues despite ongoing federal prohibition.

Step-By-Step

Vermont legalized medical marijuana back in 2004. Decriminalization of recreational marijuana last year removed another layer of laws prohibiting the possession and use of cannabis, and passage of SB214 would take yet another step forward. Despite this, federal prohibition remains on the books.

Under the Controlled Substances Act (CSA) passed in 1970, the federal government maintains complete prohibition of marijuana. Of course, the federal government lacks any constitutional authority to ban or regulate marijuana within the borders of a state, despite the opinion of the politically connected lawyers on the Supreme Court. If you doubt this, ask yourself why it took a constitutional amendment to institute federal alcohol prohibition.

Stripping away state laws criminalizing cannabis is significant because FBI statistics show that law enforcement makes approximately 99 of 100 marijuana arrests under state, not federal law. When states stop enforcing marijuana laws, they sweep away most of the basis for 99 percent of marijuana arrests.

Furthermore, figures indicate it would take up to 40 percent of the DEA’s yearly annual budget just to investigate and raid all of the dispensaries in Los Angeles – a single city in a single state. That doesn’t include the cost of prosecution either. The lesson? The feds lack the resources to enforce marijuana prohibition without state assistance.

A GROWING MOVEMENT

Vermont joins a growing number of states simply ignoring federal prohibition, and nullifying it in practice.

Colorado, Washington state, Oregon and Alaska were the first states to legalize recreational cannabis, and California, Nevada, Maine and Massachusetts joined them after ballot initiatives in favor of legalization passed in November 2016. Michigan followed suit when voters legalized cannabis for general use in 2018. Vermont became the first state to legalize marijuana through a legislative act in 2018. Illinois followed suit in 2019.

With 33 states including allowing cannabis for medical use, the feds find themselves in a position where they simply can’t enforce prohibition anymore.

“The lesson here is pretty straightforward. When enough people say, ‘No!’ to the federal government, and enough states pass laws backing those people up, there’s not much the feds can do to shove their so-called laws, regulations or mandates down our throats,” Tenth Amendment Center founder and executive director Michael Boldin said.

The push to legalize commercial marijuana sales in Vermont underscores another important strategic reality. Once a state legalizes marijuana – even if only in a very limited way – it tends to eventually expand. As the state tears down some barriers, markets develop and demand expands. That creates pressure to further relax state law. These new laws represent a further erosion of unconstitutional federal marijuana prohibition.

WHAT’S NEXT

SB214 was referred to the Senate Committee on Agriculture where it must pass by a majority vote before moving forward in the legislative process.


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