🌿 Democratic lawmakers push for federal cannabis clemency, NORML seeks seat during DEA rescheduling talks, and New York proposes track-and-trace relief

Happy Friday Pre Rollers! Welcome to another edition of The Pre Roll, the cannabis newsletter that keeps you up-to-date on the industry happenings you need to know.

Here’s what we’re rolling up this week:

…and more. Let’s get to it.

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Cannabis clemency. A coalition of Democratic lawmakers led by Steve Cohen, Cory Booker, and Steven Horsford sent a letter to President Trump urging him to commute the sentences of individuals incarcerated for non-violent cannabis offenses, arguing that continued imprisonment is unjust as more states legalize cannabis and the federal government moves toward rescheduling.

The letter also pointed to overcrowding and staffing shortages within the Federal Bureau of Prisons, saying clemency for non-violent cannabis offenders would help relieve pressure on the prison system. In addition, it calls for expanded reentry support services for released individuals, noting that many serving long-term or life sentences are currently unable to access programs designed to reduce recidivism and help with successful reintegration after years of incarceration.

Procedural participation. NORML, the nonprofit public-interest advocacy and lobbying group for cannabis policy reform, is seeking formal participant status in the upcoming DEA administrative hearing on cannabis rescheduling, arguing that the process would be incomplete without direct representation of adult cannabis consumers, whom the organization says are the primary stakeholders affected by federal policy decisions.

NORML is urging regulators to ensure that consumer perspectives are included alongside industry, medical, and government voices as the DEA considers broader changes to the federal classification of cannabis.

Retail relief. New York cannabis regulators are moving to ease the financial burden of the state’s long-delayed track-and-trace rollout by proposing $10 million in state funding to help licensed operators cover compliance costs tied to Metrc’s seed-to-sale system.

The funding, currently part of ongoing state budget negotiations, would support businesses struggling with the expense of mandatory Retail ID tags and related labor requirements. Industry stakeholders have argued that the rollout has created significant operational challenges, particularly for smaller operators already navigating a difficult market environment.

The move follows years of delays and controversy surrounding New York’s cannabis tracking program. The state originally selected BioTrack in 2022 before the company’s acquisition by Metrc shifted the implementation plan. Operators have criticized the transition for increasing costs and adding logistical complexity, especially around the requirement to apply and scan individual package tags.

While many in the industry welcomed the prospect of financial assistance, some continue to push regulators to reconsider the broader Retail ID mandate, arguing that subsidies alone will not resolve the underlying compliance concerns.

California: The Department of Cannabis Control is proposing emergency regulations that would let retailers split combined adult-use and medicinal cannabis licenses into separate entities and licenses, helping medical operators quickly pursue new DEA registration opportunities created by the federal rescheduling of medical cannabis to Schedule III.

Delaware: Lawmakers are divided over competing bills that would either tightly restrict or more broadly regulate hemp-derived THC products, as cannabis retailers, smoke shops, and alcohol industry groups battle over who can legally sell intoxicating hemp products.

Illinois: Legislators unveiled a proposed sweeping overhaul of the state’s cannabis regulations aimed at reducing burdens on dispensaries and social equity businesses while preparing for possible future federal cannabis policy changes.

Massachusetts: Cannabis regulators are launching audits and spot checks of cannabis products to crack down on inflated or inaccurate THC labeling, with products falling outside an acceptable potency range being removed from store shelves.

Nevada: A UNLV report argues that Nevada’s 1,500-foot separation rule and related restrictions between casinos and cannabis businesses are costing the state close to $80 million in lost tax revenue by preventing cannabis integration with the gaming and tourism industries.

New Jersey: The NJEDA says about $5 million remains available through its Cannabis Business Development Grant Program, which provides $75,000 reimbursements to eligible licensed cannabis businesses to help cover compliance and operating costs.

Rhode Island: Governor Dan McKee nominated Michelle A. Reddish to chair the Cannabis Control Commission, citing her leadership in building the state’s cannabis regulatory framework and overseeing adult-use cannabis administration.

Cresco Labs clears DEA compliance threshold

The vertically integrated cannabis company registered select state-licensed medical cannabis facilities with the U.S. DEA following the federal rescheduling to Schedule III, marking a major step toward federal recognition of its dispensary, cultivation, and processing operations.

Curaleaf carries out stock split

The mega multi-state operator executed a 1-for-3 reverse stock split of its shares to increase its share price and meet U.S. stock exchange listing requirements as part of preparations for a potential uplisting.

FundCanna finds additional financing

The cannabis lending platform secured a senior credit facility of up to $60 million from a global institutional investor to expand its cannabis financing platform, alongside a broader capital restructuring that raises total capital to about $75 million and supports significantly increased lending capacity across the industry.

IndicaOnline introduces AI insights tool

The cannabis dispensary POS software provider announced “IndicaOnline AI,” an AI analytics layer that connects to point-of-sale systems to deliver instant plain-language insights, reporting, and operational recommendations from live retail data while removing personally identifiable information for compliance and privacy.

Thailand: The cannabis market has remained largely resilient despite new medical-only regulations and prescription requirements, as inconsistent enforcement allows many dispensaries, especially in tourist areas like Bangkok’s Khaosan Road, to continue operating with minimal disruption.

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Stay tuned for more cannabis industry news next week!

💚,

The Pre Roll Team

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