This is undoubtedly a significant victory for the cannabis industry.
President Trump’s nominee for Drug Enforcement Administration (DEA) administrator stated that if confirmed, reviewing the proposal to reclassify cannabis under federal law would be “one of my top priorities,” noting that it is time to “move forward” with the stalled process.
However, Terrance Cole, the newly nominated DEA administrator, repeatedly declined to commit to supporting the Biden administration’s specific proposed rule to reclassify cannabis from Schedule I to Schedule III under the Controlled Substances Act (CSA). “If confirmed, one of my first priorities upon taking over the DEA would be to understand where the administrative process stands,” Cole told California Democratic Senator Alex Padilla during his confirmation hearing before the Senate Judiciary Committee. “I’m not entirely clear on the specifics, but I know the process has been delayed multiple times—it’s time to move forward.”
When asked about his stance on the specific proposal to move cannabis to Schedule III, Cole responded, “I need to learn more about the positions of the various agencies, study the science behind it, and consult with experts to truly understand where they are in this process.” During the hearing, Cole also told Senator Thom Tillis (R-NC) that he believed a “working group” should be established to address the disconnect between federal and state cannabis laws to “stay ahead of the issue.”
Senator Tillis expressed concerns about a Native American tribe in North Carolina legalizing adult-use cannabis while the state itself has not enacted legalization at the state level. “The patchwork of state laws on legal and medical cannabis is incredibly confusing. I think it’s gotten out of control,” the senator said. “Ultimately, I believe the federal government needs to draw a line.” Cole responded, “I think we need to form a working group to address this because we need to stay ahead of it. First, we should consult with U.S. attorneys in the region and DEA lawyers to provide a thorough response. From a law enforcement perspective, we should establish regulatory guidelines to ensure uniform enforcement of cannabis laws across all 50 states.”
The series of questions during the hearing did not reveal Cole’s final stance on cannabis policy or provide a clear answer on how he would handle the reclassification proposal once in office. However, it did show that he has given the issue considerable thought as he prepares to assume the critical role of DEA administrator.
“Regardless of how one views Senator Thom Tillis’ questions or comments, the fact that cannabis was brought up in the Senate Judiciary Committee means we’ve already won,” Don Murphy, co-founder of the U.S. Cannabis Coalition, told the media. “We are taking gradual steps toward ending federal prohibition.” Cole has previously expressed concerns about the harms of cannabis, linking it to increased suicide risks among youth. The nominee, who spent 21 years at the DEA, currently serves as Virginia’s Secretary of Public Safety and Homeland Security (PSHS), where one of his responsibilities is overseeing the state’s Cannabis Control Authority (CCA). Last year, after visiting the CCA office, Cole posted on social media: “I’ve worked in law enforcement for over 30 years, and everyone knows my stance on cannabis—so no need to ask!”
Trump initially chose Florida’s Hillsborough County Sheriff Chad Chronister to lead the DEA, but the strongly pro-legalization candidate withdrew his nomination in January after conservative lawmakers scrutinized his record on public safety enforcement during the COVID-19 pandemic.
As for the reclassification process, the DEA recently notified an administrative judge that proceedings remain on hold—no further action is scheduled as the matter is now under the purview of Acting Administrator Derek Maltz, who has referred to cannabis as a “gateway drug” and linked its use to mental illness.
Meanwhile, although shutting down licensed cannabis dispensaries is not a DEA priority, a U.S. attorney recently warned a Washington, D.C., cannabis store about potential federal violations, stating, “My gut tells me cannabis shops shouldn’t be in neighborhoods.”
A political action committee (PAC) backed by the cannabis industry has also released a series of ads in recent weeks attacking the Biden administration’s record on cannabis policy and Canada, criticizing misleading claims from the previous administration while asserting that the Trump administration could achieve reform.
The latest ads accuse former President Joe Biden and his DEA of waging a “deep state war” against medical cannabis patients but fail to mention that the reclassification process—which cannabis businesses hope to see finalized under Trump—was initiated by the former president himself.
Currently, the reclassification process is under an interim appeal to the DEA regarding ex parte communications between the agency and opponents of the policy change during the Biden administration. The issue stems from the DEA’s mishandling of administrative law judge hearings.
The remarks from the DEA’s new leader, Cole, are a very positive sign that the new administration may bypass interim appeals, administrative hearings, and other cumbersome procedures to directly issue a final rule reclassifying cannabis to Schedule III. One of the biggest benefits of this reform would be eliminating the restrictions of IRS code 280E, allowing cannabis businesses to deduct standard business expenses and compete on a level playing field with all other legal industries.
Post time: May-07-2025