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Texas Officials Take Key Step To Expand Medical Marijuana Program As Hemp Ban Bill Stalls

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Texas officials have taken an initial step toward implementing a law to expand the state’s medical marijuana program, with the Department of Public Safety (DPS) previewing proposed rules to significantly increase the number of licensed dispensaries.

As a controversial Senate-passed bill to ban hemp THC products remains stalled in the House due to a lack of quorum during an ongoing special legislative session, DPS’s regulatory chief Wayne Mueller discussed forthcoming draft rules for the medical cannabis law at a meeting before the Public Safety Commission on Thursday.

One the proposed rules are formally published in the Texas Register, which advocates expect to happen within the next week, they will still need to go through a public comment period. They must be finalized by October 1.

“We’ve received a lot of questions about this. We’ve gotten a lot of opinions about this,” Mueller said at the commission meeting. “And to be perfectly frank, we’ve had at least some that I would describe as attempts at undue influence on which direction we need to go with this.”

To comply with the medical marijuana expansion legislation that Gov. Greg Abbott (R) signed into law in June, DPS will be formally proposing a future licensing application process, security standards for satellite locations and license revocation parameters.

In addition to increasing the number of dispensaries in the state, the law also expands the state’s list of medical cannabis qualifying conditions to include chronic pain, traumatic brain injury (TBI), Crohn’s disease and other inflammatory bowel diseases, while also allowing end-of-life patients in palliative or hospice care to use marijuana. That policy change is automatically adopted via the enacted statute, so it will not require further rulemaking.


DPS Explains Application Window for 12 New Medical Cannabis Licenses

DPS will ultimately be issuing 12 new licenses for dispensaries across the state. Currently there are only three. The additional licensees will go through a competitive process, with officials prioritizing Texas’s public health regions to optimize access.

The first round of licenses will be awarded to nine of 139 applicants who submitted their forms during an earlier application window in 2023. DPS will select those nine licensees on December 1. The 2023 applicants that didn’t receive a license, as well as any new prospective licensees, will have another shot at getting their license during a second round where awardees will be announced on April 1, 2026.

The 2023 group can still revise their applications up until September 15. New would-be dispensary owners have until that date to submit their applications as well.

“This broad expansion of the Compassionate Use Program is a long time coming,” Heather Fazio, director of the advocacy group Texas Cannabis Policy Center, told Marijuana Moment on Friday. “Finally, Texas patients will have more options and new businesses will have the opportunity to operate.”

“There are still quite a few shortcomings in the program, including patient protections for employment, child custody, and gun rights, but we are grateful to see an improved and expanding program,” she said. “Unlike during previous application periods, new applicants will have the benefit of knowing the rating criteria in advance. This is a big step toward transparency, which we’ve supported for years.”

“While we work to preserve legal hemp-derived THC for responsible adult use, it’s important that we continue our efforts to provide patients with safe and effective medical cannabis through the Compassionate Use Program,” Fazio said.

(Disclosure: Fazio supports Marijuana Moment’s work via monthly Patreon pledges.)

Meanwhile, more rulemaking is expected in the coming weeks, as the Department of State Health Services (DSHS) is separately required to develop rules related to allowable vaping devices, which also must be finalized by October 1.

DSHS is further tasked with creating a pathway for doctors to make recommendations to the department about adding additional qualifying conditions for medical cannabis. If DSHS determines that another condition warrants inclusion in that list, it is empowered to forward those recommendations to the legislature for consideration in the next legislative session.

Meanwhile, House lawmakers are in a standstill after multiple Democratic members left the state to deny the chamber a quorum that’s necessary to pass legislation—specifically a proposed redistricting of the state’s congressional map that would generally favor Republicans.

That also means that the hemp ban bill that passed the Senate is on hold, with just weeks left before the current special session is set to end.

The governor vetoed an earlier version of the controversial proposal, and he recently outlined what he’d like to see in a revised version of the bill.

The special session started on July 21. Under the state constitution, special sessions cannot last longer than 30 days, meaning a quorum would need to be reestablished before August 20 if any bills are to move. Of course, nothing prevents the governor from calling another special session once that deadline passes.

At a press conference last month, a group of Democratic state senators introduced two new cannabis-related bills, including one that would regulate the hemp market, allowing adults 21 and older to purchase hemp products containing no more than 5 mg of THC per serving.

A second new bill would effectively legalize cannabis for adult use by removing criminal penalties for possession of up to two ounces of marijuana on a person and up to 10 ounces in a single household if it’s secure and out of sight. Cultivation of up to six plants, only half of which could be mature, would also be legalized.

Some advocates are hopeful that either SB 5 or its House counterpart could see revisions as they make their way through the legislative process—either to affirmatively regulate the hemp market or to at least ease some of the criminal penalties on individuals found in possession of the affected products.

For what it’s worth, a new poll shows likely voters in the state across the political spectrum aren’t on board with the outright ban—with an overwhelming majority saying they support regulation over prohibition of cannabinoids.


Marijuana Moment is tracking hundreds of cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments.


Learn more about our marijuana bill tracker and become a supporter on Patreon to get access.

Separately, Rep. Nicole Collier (D) introduced a one-page bill, HB 42, designed to protect consumers in the state from criminal charges if what they believed was a legal hemp product turned out to contain excessive amounts of THC, making it illegal marijuana. It would prevent the criminalization of someone found in possession of a product that’s labeled as hemp but is determined to contain “a controlled substance or marihuana.”

In order for the person to obtain the legal protection, the product would need to have been purchased “from a retailer the person reasonably believed was authorized to sell a consumable hemp product.”

Another bill—HB 195, introduced by Rep. Jessica González (D)—would legalize marijuana for people 21 and older, allowing possession of up to 2.5 ounces of cannabis, with no more than 15 grams of that amount being in concentrated form.

Yet another proposal would order state officials to conduct a study on testing for THC intoxication.

As for what Texans themselves want to see from their representatives, proponents of reining in the largely unregulated intoxicating hemp industry in Texas shared new polling data indicating that majorities of respondents from both major political parties support outlawing synthetic cannabinoids, such as delta-8 THC.

The survey also found that respondents would rather obtain therapeutic cannabis products through a state-licensed medical marijuana program than from a “smoke shop selling unregulated and untested hemp.”

Ahead of the governor’s veto in June of SB 3—the earlier hemp product ban—advocates and stakeholders had delivered more than 100,000 petition signatures asking Abbott to reject the measure. Critics argued that the industry—which employs an estimated 53,000 people—would be decimated if the measure became law.

Image element courtesy of AnonMoos.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.

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Massachusetts Auditor Notes ‘Violations’ and ‘Mismanagement’ At Cannabis Control Commission

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Massachusetts Auditor Diana DiZoglio last week released an audit of the state’s Cannabis Control Commission (CCC), claiming to have uncovered violations and mismanagement issues at the commission, NBC Boston reports.

The audit found that officials “failed to take appropriate steps and institute procedures” to guarantee the administering of cannabis industry license extensions, and that a “lack of supervision and minimal accountability over licensing staff members” helped contribute to the breakdown.

“CCC’s mismanagement of prorated fees for license extensions resulted in procedural inequity, revenue loss, and noncompliance with state regulations.” — Excerpt from the audit summary

The commission said it has “been working closely with the State Auditor’s Office for almost a year and will review the report released today in furtherance of our shared commitment to government improvement. Over the course of the audit period and since, the Commission has hired key leaders, made progress to address many of the issues referenced, and begun to move forward in a constructive way.”

The report was released hours after the commission voted unanimously to reinstate the license of Assured Testing, a testing lab accused of failing to report thousands of contaminated cannabis samples, the report said. The commission issued penalties against the lab, including a $300,000 fine and two years of probation. Additionally, the lab — which has publicly disagreed with the findings but says it will honor the commission’s terms for reinstatement — will have to hire an independent auditor, an internal control manager, and a new interim CEO.

“We are eager to return to what we do best: delivering scientific, evidence-backed testing with industry-leading cannabis expertise,” Assured Testing said in a statement.



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Supreme Court Gives Marijuana Companies More Time To File Petition In Case Challenging Federal Prohibition

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The U.S. Supreme Court has granted a request to give marijuana companies suing the Justice Department in an effort to overturn federal prohibition two more months to file their petition with the justices.

Lawyers for the cannabis firms said the extension was needed due to the “significant and complex constitutional issues” that are being raised in the case, as well as the fact that state governments and other experts who plan to file support briefs need more time to “carefully craft their arguments.”

The prominent litigation firm Boies Schiller Flexner LLP that’s representing the companies—Canna Provisions, Gyasi Sellers, Wiseacre Farm and Verano Holdings—entered a request for a 60-day extension to submit its writ of certiorari last week. Justice Ketanji Brown Jackson approved the proposal on Friday, pushing back the current deadline of August 25 to October 24.

The companies’ request noted that counsel for the Office of the Solicitor General don’t oppose the extension.

The brief gave three reasons for the request: 1) the lead attorney on the case, David Boies, is “heavily engaged in previously scheduled matters” before other federal courts, 2) several experts who expressed interest in supporting their lawsuit with amicus briefs have said they need more time and 3) the case involves complex legal issues that require more in-depth consideration.

“This case presents significant and complex constitutional issues concerning both state-regulated marijuana specifically and the authority of Congress to regulate purely intrastate commerce generally,” the filing says. “The additional time will permit counsel to prepare a petition that appropriately addresses the questions of nationwide importance raised by this case.”

That includes “the question of whether [Gonzales v. Raich] was correctly decided,” it says, referencing a landmark 2005 Supreme Court ruling, wherein justices narrowly determined that the federal government could enforce prohibition against cannabis cultivation that took place wholly within California based on Congress’s authority to regulate interstate commerce.

With respect to future amicus briefs the applicants are expecting, they said “counsel have heard from law professors, non-profits, state governments, and others interested in submitting amicus briefs in these proceedings, and several of these potential amici have expressed concern about having sufficient time to prepare over the summer.”

“An extension will provide potential amici adequate time to consider the case and carefully craft their arguments,” the filing says.

This comes about three months after a U.S. appeals court rejected the arguments of the state-legal cannabis companies, one the latest blow to the high-profile lawsuit following a lower court’s dismissal of the claims. But it’s widely understood that the plaintiffs’ legal team has long intended the matter to end up before the nine justices.

“It’s fair to assume that we shall seek Supreme Court review,” attorney Jonathan Schiller told Marijuana Moment in June.

The latest filing concludes by saying respondents “will not suffer any prejudice from the requested extension,” and because “the First Circuit affirmed the dismissal of Applicants’ claims, a brief extension will not in any way alter the status quo of this case.”

While it remains to be seen whether the high court will ultimately take the case, one sign that at least some on court might be interested in the appeal is a 2021 statement from Justice Clarence Thomas, issued as the court denied review of a separate dispute involving a Colorado medical marijuana dispensary.

Thomas’s comments seemed to suggest that it’d be appropriate revisit Raich—a move that could largely upend federal prohibition.

The statement pointed to policy developments since the earlier case was decided, such as the hands-off enforcement approach taken by the Department of Justice as more states legalized cannabis and a congressional budget rider protecting state-legal medical marijuana programs.

“Whatever the merits of Raich when it was decided, federal policies of the past 16 years have greatly undermined its reasoning,” Thomas wrote, describing the government’s approach to cannabis enforcement as “a half-in, half-out regime that simultaneously tolerates and forbids local use of marijuana.”

“Though federal law still flatly forbids the intrastate possession, cultivation, or distribution of marijuana…the Government, post-Raich, has sent mixed signals on its views,” the justice continued, saying the situation “strains basic principles of federalism and conceals traps for the unwary.”

Once plaintiffs in the case at hand file their forthcoming petition for a writ of certiorari, it would need needs the votes of four justices to put the case before the Supreme Court.

The initial complaint, filed in U.S. District Court for the District of Massachusetts, argued that government’s ongoing prohibition on marijuana under the Controlled Substances Act (CSA) was unconstitutional because Congress in recent decades had “dropped any assumption that federal control of state-regulated marijuana is necessary.”

At oral argument on appeal late last year, Boies told judges that under the Constitution, Congress can only regulate commercial activity within a state—in this case, around marijuana—if the failure to regulate that in-state activity “would substantially interfere [with] or undermine legitimate congressional regulation of interstate commerce.”

Judges, however, said they were “unpersuaded,” ruling in last month’s opinion that “the CSA remains fully intact as to the regulation of the commercial activity involving marijuana for non-medical purposes, which is the activity in which the appellants, by their own account, are engaged.”

The district court, meanwhile, said in the case that while the there are “persuasive reasons for a reexamination” of the current scheduling of cannabis, its hands were effectively tied by past U.S. Supreme Court precedent in Raich.

Meanwhile, amid a series of legal challenges, the Trump administration recently asked the Supreme Court to take up a case on the federal government’s ban on users of marijuana and other illegal drugs from owning firearms and uphold the prohibition, saying it is consistent with the Second Amendment.

Separately at the federal level, a pending Biden-era recommendation to reschedule marijuana to the less restrictive Schedule III of the CSA is remains stalled.

The MAGA world is divided on how it wants President Donald Trump to come down on that proposal, with key right-wing influencers voicing conflicting positions on the issue after the president announced an imminent decision last week.

While Trump endorsed moving marijuana to Schedule III during last year’s presidential campaign—along with cannabis industry banking access and a Florida legalization ballot initiative that ultimately fell short—last week he merely said he is considering the issue, with a decision expected within weeks.

The overall bipartisanship of the issue, however, was also reflected in recent comments from one Democratic and one Republican member of Congress, who urged Trump to federally reschedule marijuana.

A new political committee that shares the same treasurer as Trump’s own super PAC is also pushing the president to follow through on rescheduling marijuana, releasing an ad that highlights his previous endorsement of the reform on the campaign trail.

Photo elements courtesy of rawpixel and Philip Steffan.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.

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Canopy USA Appoints New Executive Team to Accelerate Growth

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[PRESS RELEASE] – BOULDER, Colo., Aug. 18, 2025 – Canopy USA LLC, a brand-driven organization strategically positioned across the fastest-growing states and highest potential segments of the U.S. cannabis market, announced the appointment of a new executive team responsible for driving the company’s next phase of expansion.

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Drawing on extensive industry experience, these leaders will steer Canopy USA forward through a shared vision to elevate the company’s brand portfolio, enhance day-to-day operations and execution, and advance growth initiatives across multiple state markets.

  • Casey Rashchief financial officer, will oversee centralized functions including finance, human resources and IT. Rash brings deep expertise in regulated industries and a strategic approach to driving organizational scale and efficiency.
  • Rebecca Kirkchief operating officer, will lead the company’s operations, innovation and legal teams. Known for building scalable systems and launching category-leading products, Kirk will play a critical role in driving Canopy USA’s performance across its value chain.
  • Kelly Floreschief business development officer, will be responsible for marketing, market expansion and product strategy. With a proven track record in cannabis commercialization, Flores will guide brand development and strategic growth initiatives in both existing and emerging state markets.

“These leadership appointments mark the start of a plan to capture growth in the U.S. cannabis market,” Canopy USA President Brooks Jorgensen said. “Within the best of each Acreage, Jetty and Wana, we’ve been aligning systems, teams and processes across markets to create a scalable, efficient organization. With our leadership team now in place, we’re moving forward with purpose.”

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Canopy USA’s platform is built to deliver consistent quality, innovative products and trusted brands to consumers and retail partners nationwide. By combining deep market expertise with a focus on execution, the company aims to set the standard for growth and leadership in the evolving U.S. cannabis industry.



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