Marijuana reclassification: How the change in drug laws impacts Arizona
PHOENIX - This week, the federal government made the formal move to reclassify marijuana as a less dangerous drug, and it seems people agree, after a new study found more Americans are using marijuana daily.
So how would this change in marijuana drug laws impact Phoenix?
Marijuana sits right next to heroin and LSD. The federal shift would make it more like codeine and ketamine. This doesn't change anything for users in Arizona, since it's legal, but it changes everything for the businesses that sell it.
Business continues to boom for the more than a dozen legal weed dispensaries in Phoenix and beyond. Nationwide, the National Survey on Drug Use and Health data shows everyday use of marijuana is surpassing that of alcohol.
Daily marijuana use surpasses daily drinking in US, study finds
For the first time, more Americans use marijuana daily or nearly every day than those who drink alcohol that frequently, a shift 40 years in the making as recreational pot use has become mainstream and legal in nearly half of U.S. states.
"I think it's incredible. It's a big change. It's definitely a different type of recreational activity," said Raul Molina, Mint Cannabis' Chief Operations Officer.
Widespread use is what's behind the Biden administration's move to reclassify the flower, according to advocates. From Schedule I alongside LSD and heroin, to Schedule III, with low risk of physical dependence, it would put marijuana in the category of codeine and ketamine, and lift the 280E tax on dispensaries.
"So right now, these enterprises are paying a fortune in taxes. I mean 60% of gross revenue, sometimes higher," said Demitri Downing of the Marijuana Industry Trade Association.
Watch FOX 10 Phoenix Live:
The reclassification wouldn't just cut taxes for Mint Cannabis. Molina says it would allow him to take out loans, grow his business, and hire more people. But critics say more regulations should be in place before the feds make the change, pointing to marijuana's potential side effects, such as addiction, schizophrenia, and psychosis.
"Ultimately, this keeps marijuana illegal federally. But what it does do is it gives the marijuana industry a major tax write off for all of their advertising expenses. And from a public health perspective, that's really concerning, because we know that the industry is targeting kids with cartoon characters and Girl Scout cookie flavors," said Luke Niforatos, Executive Vice President of Smart Approaches to Marijuana. "I think it just sends a bad message."
If the Drug Enforcement Administration reclassifies marijuana, this would affect drug testing in the workplace.
Critics say employers, like the Department of Defense or truck driving companies, could sue, citing safety issues.