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Maine Lawmakers reject Interstate Marijuana Trade Bill in Committee

May 8, 2023 by Kyle Jaeger

A Maine legislative panel has rejected a proposal that would have allowed the governor to sign agreements with other states where marijuana is legal to allow for interstate cannabis trade once federal policy changed.

The Joint Standing Committee on Veterans and Legal Affairs of the legislature took up a bill from Rep. Joseph Perry, but unanimously voted to not pass it.

The chairman did emphasize that, despite the fact that the panel’s hearings were stalled, cross-border cannabis trade and other issues could be addressed in a separate way as legislators continue their work through the summer. He said that, “the topic is not off the radar.”

The measure, as introduced last month would have allowed the governor to simply forge agreements between states to allow marijuana exports and imports. The bill’s sponsor wanted to change the language to give the governor the authority to make these agreements. However, the committee did not act on this proposed revision.

The legislation states that the Governor “may” enter into agreements with other states to authorize commercial cannabis activities in Maine by out-of-state businesses or to allow a Maine business to engage commercial cannabis activities in another state as long as they meet the requirements of the subchapter. The sponsor’s proposed amendment would have changed this language to state the Governor “shall”.

The proposed amendment also removed the language stating that other states than Maine must meet specific requirements in order to engage in interstate marijuana commerce.

The bill states that non-Maine companies must “apply standards that are in Maine law to commercial cannabis businesses that operate in other states that meet or surpass the standards”.

Perry testified in testimony prepared to be presented at a public hearing held last week that “Cannabis has now become Maine’s most valuable agricultural product, surpassing its signature products like potatoes, blueberries, and milk.” When you combine the adult-use and medical markets, estimates put the value of the cannabis industry at more than $500 million. This is significantly higher than the lobster harvest last year.

He said that federal legalization was on its way, noting that Congress is actively working on advancing a bipartisan marijuana bank bill which will be heard by a U.S. Senate Committee on Thursday.

According to the Maine legislation interstate commerce could have only taken place in one of four situations: if federal laws changed, if Congress restricted funding to the agencies so they wouldn’t enforce the interstate ban, if Justice Department released a memo tolerating commerce or if U.S. Attorney General issued a written statement affirming that marijuana exports and imports would not put the state’s enforcement at risk.

These requirements are similar to the laws that were enacted by California, Oregon and Washington State. However, California’s policy gives the governor the authority to enter into interstate commerce agreements when the attorney general of the state determines that it would not put the state at greater risk to be penalized.

After Washington State Gov. After Washington State Gov.

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New Jersey Senate President filed a similar proposal for interstate travel last year. However, it was not enacted.

Maine is an isolated state that borders only New Hampshire. The bill stated that marijuana could not be transported by states that did not permit it. This could have caused additional regulatory complications, given that New Hampshire still hasn’t legalized recreational cannabis.

Last year, a federal appeals court ruled that Maine’s law prohibiting residents from owning medical cannabis businesses in the state was in violation of the Commerce Clause. Legal experts think that the same reasoning used to invalidate the residency restrictions may be used in challenging state-level prohibitions on marijuana exports and imports.

The thinking goes that preventing the import and export of medical cannabis among states who consent could be construed to be similarly protectionist and inconstitutional.

A Oregon marijuana company filed a suit in November at the federal court claiming that the current state ban on cannabis imports and exports from and to other states is a violation of the Constitution.

Perry stated in his testimony that there are “numerous legal theories” of how interstate trade could occur today without the involvement of Congress. He also added that “the Courts may act independently to allow interstate commerce.”

He said that legalization of the interstate trade of cannabis was on its way, regardless of when or how it occurs. Maine must be prepared for that day. Maine’s reputation as a leader in the craft beer industry is similar to its unique culture of small producers and manufacturers. I have been told that this is a highly sought-after product throughout the United States.

In Maine, the state’s cannabis regulators published a report in 2017 that found the launch of a cannabis market for adult use in the state had already exceeded expectations in terms of reducing illicit sales.


Activist Preserves the Legacy of Husband who Won Right to Medical Marijuana Grown by The Feds 45 years ago

Photo by Philip Steffan.

The article Maine Lawmakers reject Interstate Marijuana Commerce Bill in Committee first appeared on Marijuana Moment.

Kyle Jaeger
Author: Kyle Jaeger

About Kyle Jaeger

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