The most consequential cannabis proceeding in a generation has come to a close. After more than two weeks of testimony, the Drug Enforcement Administration's hearing on whether to move marijuana from Schedule I to Schedule III wrapped up on July 15, and while nothing was decided in the room, the industry walked out cautiously encouraged.
What happens next
Chief Administrative Law Judge Derek Julius laid out the road ahead: parties have until August 17 to file optional post-hearing briefs, up to 50 pages each, with closing arguments and any remaining issues. After that, the judge will prepare a recommendation to the DEA Administrator, who makes the final call on whether to publish a new scheduling rule. In other words, the decision is still months away, and legal challenges are already circling.
How it played out
The hearing opened June 29 with a surprise: the Justice Department did not just present the proposal, it argued in favor of Schedule III. Over the following weeks, testimony surfaced an intra-agency divide, and observers said the proceeding closed on a note favorable to reform. The opposition did not concede, though. A DEA pharmacologist called by Smart Approaches to Marijuana argued that under the agency's stricter five-part test, cannabis still lacks a currently accepted medical use, the core legal question the whole case turns on.
Why it matters
Schedule III would reshape taxes, research, and banking for the entire industry, New York's included. For how we got here, see our coverage of the July 4 recess and the companies defending rescheduling in court and our explainer on what the hearing decides. We will keep this updated as the August briefs land. For adults 21 and over.