Cannabis Administration and Opportunity Act

Key Points

• The bill removes cannabis from the federal list of controlled substances, ending the federal ban. States keep the power to decide if cannabis is legal within their borders, but they cannot block legal products from being shipped through the state.
• Federal courts must automatically clear records of past non-violent federal cannabis convictions going back to 1971. People currently in prison for these offenses must be released within 60 days, and pending charges must be dropped within 30 days.
• A new federal tax on cannabis products starts at 10% and rises to 25% over five years, then shifts to a per-ounce rate. The money goes into an Opportunity Trust Fund for job training, legal aid, and youth programs in communities hit hardest by the War on Drugs.
• The bill builds a federal regulatory system: the FDA oversees product safety and labeling through a new Center for Cannabis Products, while the Treasury handles business permits and tax collection, similar to alcohol and tobacco.
• People cannot be denied federal benefits, security clearances, or immigration protections based on cannabis use or past cannabis convictions. Immigrants cannot be deported or denied entry solely for cannabis-related issues.
• Legal cannabis businesses gain access to Small Business Administration loans and services and clearer banking rules, with special programs and set-asides for owners harmed by the War on Drugs and Tribal businesses.