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 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.
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 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.
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.
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.”
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.”
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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.
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 Rash, chief 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 Kirk, chief 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 Flores, chief 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.”
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.
Adult-use cannabis sales in Washington state have been falling for five years, according to Department of Revenue data reported by KHQ.
First-quarter sales in 2025 reached $277 million, which is nearly $100 million less than the market’s peak during the pandemic in 2021. Based on current trends, annual cannabis sales this year could be the state’s lowest since 2019 after five straight years of declining sales in Washington.
Regulators attribute the decline to oversupply issues, which drive prices down and make it more difficult for licensees to turn a profit.
Officials with the state Liquor and Cannabis Board (LCB) recently announced the largest expansion of cannabis dispensaries since the market’s launch over a decade ago, offering up to 52 new retail social equity licenses.
Meanwhile, a report from the state’s legislative auditor found that “Washington businesses produced two to three times more cannabis than retailers sold in 2023,” and that “inaccurate and incomplete data” had hampered regulators’ capacity for “data-driven regulation.”
The auditcalls on the LCB to submit a plan to lawmakers by December 31, 2025, containing strategies to improve data accuracy.
Based in Portland, Oregon, Graham is Ganjapreneur’s Chief Editor. He has been writing about the legalization landscape since 2012 and has been contributing to Ganjapreneur since our official launch in…
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During an interview with Delaware Public Media, Gov. Matt Meyer (D) also discussed a conversation he had with Colorado Gov. Jared Polis (D) about regulating the marijuana industry, drawing a contrast between their respective responsibilities given the fact that Colorado is much larger with more local jurisdictions to interact with compared to Delaware, which has just three counties.
Delaware’s adult-use cannabis market launched at the beginning of this month, but legislation awaiting Meyer’s action would make a key change related to local control of where marijuana businesses could operate. And the governor has indicated he’s still wavering on the proposal.
Asked about the fate of the bill from Sen. Trey Paradee (D), who also championed the state’s legalization legislation, Meyer said: “Stay tuned. You’ll hear soon. We will be taking action very shortly.”
“Listen, I have local government background. I don’t think it’s appropriate that, when state government likes local government regulation, they say, ‘Yeah, we support it,’” the governor said. “And when they don’t like local government regulation, they overrule it.”
“At the same time, it’s important for communities that this moves forward,” he said, referring to the implementation of the adult-use cannabis market.
The response didn’t clearly indicate where Meyer currently stands on the proposal, but he also said it’s “always on the table” that he could allow the bill to take effect without his signature.
“I was talking to Governor Polis of Colorado about marijuana regulation just the other day and he’s just like, ‘Just let the counties do it.’ He has too many counties to know,” Meyer said. “I was asking, ‘What’s the regulation of counties?’ He’s like, ‘I have no idea.’ He’s like, ‘Some do it, some don’t. I don’t really know.’”
The Delaware Public Media host said: “But he’s not going to run into the problem, though, where if there’s enough zoning laws, there’s literally no place to put the facilities. That’s probably not a problem for him.”
The governor agreed, saying “Colorado is much larger” with a “three-mile [zoning] limitation from schools,” which would be less feasible in the smaller state of Delaware. “We’re going to see what we can do,” he said.
On the topic of broader regulatory responsibilities, Meyer said the state is “very lucky” that the Office of the Marijuana Commissioner (OCM) is headed up by someone who comes from outside of Delaware who is “one of the leading thinkers on this issue.”
“He looks at it from a business and community aspect, whereas traditionally Delaware has looked at it as a public safety issue,” the governor said. For his part, Meyer said revenue generated from cannabis taxes is “clearly third” on his list of reasons to support legalization.
The first priority, he said, is ensuring that “communities are sustainable and they’re safe and they’re protected.”
“I think there’s a lot of concern in communities. I have small children. What are we doing? Do we want this thing all around our kids? I don’t know how many of you have been to New York or San Francisco lately, but you go outside and there’s that stench,” he said. “That’s not Delaware. We’re doing everything to make sure that we continue to retain the same communities we have.”
“We also have a historic obligation. Marijuana and marijuana enforcement in this state has not been equitable. There are people in our communities today, almost all Black and brown people, who have been imprisoned for years and years for using and selling marijuana, where people of different colors of skin have not had that same experience. We need to make sure we use whatever revenue we have to address that historic wrong going forward.”
“We’re continuing to watch and monitor to make sure communities are being protected as this economic opportunity grows and make sure people are safe,” Meyer said.
While marijuana revenue might be “third” on his list, the governor recently touted the state’s first “successful” weekend of adult-use cannabis sales, with total purchases for medical and recreational marijuana totaling nearly $1 million—and compliance checks demonstrating that the regulated market is operating as intended under the law.
Delaware’s first adult-use marijuana shops officially opened for business on August 1, with a handful of existing medical cannabis operators able to service consumers 21 and older.
Ahead of the sales roll-out, the governor last month toured one of the state’s cannabis cultivation facilities, praising the quality of marijuana that’s being produced, which he said will be the “French wine of weed.”
Dozens of other would-be retailers that have either already received licenses or are still awaiting issuance will need to wait for further regulatory approvals until they can open their doors—a situation that’s frustrated some advocates.
The idea is to identify any hiccups that lawmakers might need to address when they return for next year’s legislative session.
OCM initially projected that recreational sales would start by March, but complications related to securing an FBI fingerprint background check service code delayed the implementation. Lawmakers passed a bill in April to resolve the issue, and the FBI subsequently issued the code that the stat’s marijuana law requires.
A total of 125 licenses will ultimately be issued, including 30 retailers, 60 cultivators, 30 manufacturers and five testing labs. Last year, regulators also detailed what portion of each category is reserved for social equity applicants, microbusinesses and general open licenses.
The then-governor last year signed several additional marijuana bills into law, including measures that would allow existing medical cannabis businesses in the state to begin recreational sales on an expedited basis, transfer regulatory authority for the medical program and make technical changes to marijuana statutes.
The dual licensing legislation is meant to allow recreational sales to begin months earlier than planned, though critics say the legislation would give an unfair market advantage to larger, more dominant businesses already operating in multiple states.
The policy change removes limitations for patient eligibility based on a specific set of qualifying health conditions. Instead, doctors will be able to issue cannabis recommendations for any condition they see fit.
The law also allows patients over the age of 65 to self-certify for medical cannabis access without the need for a doctor’s recommendation.
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