Why the industry needs to defend federal marijuana rescheduling

This is part of a regular series of MJBizDaily interviews with major THC industry players. To be considered for an interview, contact editorial@mjbizdaily.com.

Michael Bronstein isn’t satisfied with medical cannabis reform.

The president of the American Trade Association for Cannabis and Hemp (ATACH) plans to push for also reclassifying adult-use marijuana as a Schedule 3 drug during a potentially historic Drug Enforcement Administration (DEA) hearing later this month, he told MJBizDaily.

For now, the April 23 Justice Department final order reclassifying medical cannabis as a Schedule 3 drug is the most important piece of federal cannabis policy in 50 years – a genuine before-and-after moment for the industry, Bronstein said.

But what comes out of the hearings, scheduled to begin June 29 and last through early-to-mid July, could be even bigger.

“What happens is going to be of great importance,” he said. “Several questions could be raised, but the thing we continue to be most focused on is mounting a vigorous defense of the (existing) rule.”

For ATACH, the goal is to lead a unified effort to ensure the industry’s voice is heard.

“Laws are changing – the decisions that are made now are things that could impact the industry for years to come,” said Bronstein, who expects to find out by June 22 whether ATACH can participate in the hearing.

What’s at stake in the marijuana rescheduling fight?

This isn’t the first time the industry’s prepared to argue its case before a DEA administrative law judge. ATACH applied to participate in Biden administration-era hearings that began in December 2024, but was not selected. That ultimately did not matter, as the hearings were indefinitely postponed on the eve of President Donald Trump’s second inauguration amid accusations that proceedings were biased against cannabis reform.

This time around, Bronstein doesn’t expect a smooth ride. The opposition – groups like Smart Approaches to Marijuana – is organized and well-funded, and the industry should treat it that way.

His view is that rescheduling comes down to evidence, not politics.

“It really is about science, it really is about looking at what we know to be true and what has been proven out over time that led to this momentous decision,” he said.

The range of possible outcomes is wide, and many questions could surface during the proceedings, Bronstein said.

“The hearing is a recommendation, and the range of nonbinding outcomes is broad,” he said.

The outcomes could include:

• Rescheduling adult-use cannabis to Schedule 2
• Rescheduling adult-use marijuana to Schedule 3
• Rescheduling adult-use marijuana beyond Schedule 3

Another change in scheduling would shift how banks, insurers, landlords and other service providers assess cannabis companies, many of whom have spent years navigating relationships built on shaky federal ground.

“If you have a DEA license or are in a state-legal market, from a compliance perspective, that will be treated differently at an institution,” Bronstein said. “It will be treated differently by landlords and folks offering insurance.

Is cannabis gaining acceptance?

The hearing has implications that reach further than rescheduling.

“There’s also the cultural acceptance portion of it,” Bronstein said.

“A lot of this is acknowledging what we’ve already known about cannabis – there’s a much more mainstream acceptance of what it is.”

It’s the American public that stands to gain the most.

“I got into (cannabis reform) fighting for medical cannabis legalization,” Bronstein said. “Patients who have been looking for dignity and the treatment they’re looking for – that’s something I continuously think about.”

Bronstein pointed to a broader cultural shift already underway – one where mainstream institutions are starting to recognize cannabis as a legitimate business category.

“It creates less friction for the business in general and more acceptance of what’s happened at the state level writ large,” he said.

That acceptance has been hard-fought over the past decade, and Bronstein sees it now playing out in real time.

Even when he talks to people who oppose adult-use legalization, the debate has shifted away from party lines and toward something more generational.

“It’s less about partisanship and more about are you of a certain age, and where do you think this is going,” he said.

“With the changes we’ve seen right now, we’re not going backward, we are going forward.”

What does it signal beyond US borders?

Bronstein spent years working internationally, including creating a national media campaign for the Labour Party in the United Kingdom, and clearly sees the global implications.

Despite decades-old state-legal medical cannabis industries, on a national level, the U.S. has lagged behind other industrialized countries on medical cannabis reform.

For example, medical cannabis is legal in at least 14 European countries, with a few offering reimbursement, including Germany and France.

With medical cannabis reclassification, the U.S. is in a position to become a leader in the industry.

“When America gets involved, it continues the path forward. There’s very little that would stop us from being true leaders on this. That’s the hope.”

Margaret Jackson can be reached at margaret.jackson@mjbizdaily.com.