The U.S. Drug Enforcement Administration (DEA) last week announced the federal registration of more than 900 medical cannabis dispensaries in Alabama, Florida, Mississippi, South Dakota, Texas, Virginia, and West Virginia. Notably, the agency chose not to register any dispensaries located in a state with regulated adult-use cannabis access.
The dispensaries all submitted applications during the 60-day registration window held earlier this year. The DEA said that to qualify, “applicants must operate under a state medical marijuana regulatory framework consistent with federal law.”
Simply holding a state-issued license did not guarantee federal registration. Additionally, dispensaries must satisfy certain federal requirements, including a pre-registration investigation, before they can be registered.
“The American people deserve access to the best medical treatments in the world. The regulated distribution of medical marijuana by the applicants that have been granted registration by the Drug Enforcement Administration will help ensure broader access to chronic pain treatment and the safety of the American people. The Department of Justice will continue prosecuting illegal marijuana trafficking and related criminal activity in accordance with federal law.” — U.S. Attorney General Todd Blanche, in a statement
Once registered, the businesses should no longer be subject to Internal Revenue Code Section 280E, providing immediate tax relief, and they should be able to access traditional banking services.
The agency reiterated that cannabis outside of a state-regulated medical program is still prohibited and “remains subject to Schedule I controls.”
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