Congressional Pressure Mounts on DOJ Over Stalled Cannabis Rescheduling

Congressional frustration over the pace of federal marijuana rescheduling intensifies as a House Democrat formally demands answers from Attorney General Pam Bondi and the Drug Enforcement Administration. The inquiry comes three months after President Trump issued an executive order directing expedited completion of the rescheduling review process, raising questions about bureaucratic delays that continue to create uncertainty for cannabis operators and investors.

The pressure from Capitol Hill underscores growing impatience with a rescheduling process that has dragged on for over two years since the Biden administration initiated the review. Cannabis companies have built business models around the expectation that marijuana will move from Schedule I to Schedule III, which would eliminate the punitive 280E tax provision that prevents normal business deductions. This tax relief could boost margins by 20-40% for major operators.

The regulatory limbo particularly impacts multi-state operators who face effective tax rates exceeding 70% under current federal scheduling. Companies like Curaleaf, Green Thumb Industries, and Trulieve have structured operations and debt facilities anticipating rescheduling benefits, making the timeline crucial for financial planning and investor confidence. The uncertainty also complicates capital raising efforts as institutional investors remain hesitant without clear federal policy direction.

Trump's previous campaign promises to support rescheduling and state-level cannabis programs initially boosted sector sentiment, but the lack of visible progress since taking office has tempered expectations. The cannabis industry faces a critical juncture where prolonged delays could force companies to restructure growth plans and reassess market expansion strategies built around anticipated federal policy changes.

The congressional intervention signals that political pressure may accelerate DOJ action, though the agency's response timeline remains unclear. Cannabis stocks have shown volatility around rescheduling developments, and any substantive update from the DOJ could trigger significant price movements across the sector as investors recalibrate expectations for federal reform progress.