🌿 Pennsylvania ponders adult-use legalization, DOGE ditches cannabis grants, and TerrAscend takes pair of dispensaries

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:

• Pennsylvania ponders adult-use legalization

• DOGE ditches federal cannabis grants

• TerrAscend takes pair of dispensaries

…and more. Let’s get to it.

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🚨 ROLL CALL

Policy

Recreational roundtable. Democrats in the Pennsylvania House of Representatives narrowly passed an adult-use cannabis bill in a vote along party lines. The legislation proposes a state-run model where cannabis would be sold through state-owned dispensaries managed by the Pennsylvania Liquor Control Board.

The issue has drawn a wide range of reactions from legislators, but Governor Josh Shapiro remains optimistic that an agreement can be reached to put forth a bill both parties are comfortable with.

The bill now moves to the Republican-led Pennsylvania State Senate, where it is said to be “dead on arrival” according to one key lawmaker.

Policy

Cancel culture. The Trump administration's Department of Government Efficiency (DOGE) canceled a federal grant to the University of Mississippi, ending its long-standing role in monitoring cannabis potency levels in seized illicit products.

This comes only a short time after the organization scrapped funding earmarked for Ohio State University to research cannabis use disorder in the LGBTQ+ community.

In January, Senator Elizabeth Warren recommended reducing federal cannabis enforcement as a cost-saving measure in a letter to then DOGE Chair Elon Musk.

Business

Take two. North American cannabis company TerrAscend, with vertically integrated operations in Pennsylvania, New Jersey, Maryland, Michigan, and California and retail operations in Canada, has further expanded its footprint in the United States through strategic acquisitions in both New Jersey and Ohio.

In New Jersey, TerrAscend has signed an agreement to acquire Union Chill. The Hunterdon County dispensary, a high-performing retailer generating over $11 million in annualized revenue, marks TerrAscend's fourth location in the state.

TerrAscend has also completed the acquisition of Ratio Cannabis in Goshen Township, Ohio. This dispensary, which brings in $9 million in annualized revenue, is TerrAscend’s first foray into the state.

Following these two deals, TerrAscend's retail footprint is nearing 40 dispensaries across six U.S. states and Canada.

🇺🇸 STATE OF THE INDUSTRY

California: Governor Gavin Newsom raised the cannabis tax rate from 15% to 19%, the highest allowed by state law.

Minnesota: The Office of Cannabis Management has scheduled the first round of cannabis business license lotteries for June 5.

Nebraska: Attorney General Mike Hilgers has intensified opposition to medical cannabis while a regulatory bill awaits legislative debate after advancing from a committee.

New Mexico: Duke Rodriguez, a prominent cannabis entrepreneur and CEO of Ultra Health, is strongly considering a gubernatorial run in 2026 as a Republican and expects to decide by summer.

Ohio: The Senate unanimously passed a bill that would require hemp-derived products to be sold only at adult-use cannabis dispensaries.

Oklahoma: Governor Kevin Stitt has called for a coordinated statewide effort of enforcement against the unlawful manufacturing, distribution, and sale of hemp-derived products.

Virginia: Governor Glenn Youngkin vetoed a bill that would have made updates to the state’s medical cannabis program; he cited concerns about allowing medical cannabis deliveries to businesses and temporary residences despite supporting the proposed changes regarding product labeling.

💼 BUSINESS

nuEra presents new high-potency line of products

The Illinois-based family-owned dispensary chain launched "Midweek Friday Happy Hour" THC gummies and beverages featuring 100mg of THC per pack; flavors include Cherry Bliss, Tropical Blast, and Orange Float.

🌏 AROUND THE WORLD

Portugal: Cannabis exports nearly tripled in 2024, solidifying the nation as Europe's leading exporter and the world's second-largest to Canada.

💨 QUICK HITTERS

• Barcelona cracked down on cannabis-infused edibles, targeting at least 35 establishments.

• A Chicago-area dispensary was targeted by an arsonist, the third such incident in the region within a week.

• Organigram's Collective Project won medals for its Blood Orange, Yuzu & Vanilla and Mango, Pineapple & Coconut hemp-derived THC beverages at the 2025 High Spirits Awards.

• Prism Bank VP & Director of Cannabis Banking Delene Gilbert spoke at the 2025 Financial Brand Forum, a conference for senior executives in retail banking, on how to navigate the cannabis banking sector.

📚 WHAT WE’RE READING

• Trump’s Controversial US Attorney Is Coming for Medical Marijuana (POLITICO)

• A new high for some, a buzzkill for others as D.C. shutters rogue weed shops (The Washington Post)

• ‘A betrayal’: Calif. plan to help Black shop owners leaves business with millions in debt (SFGATE)

• Weed ads on TV are mostly illegal. This Michigan company is banking on a work-around. (Crain’s Detroit Business)

• Illinois pot business owners seek relief from costly regulations (Chicago Sun-Times)

• Op-ed: Federal cannabis regulations should be revised to reflect legalization in states (Mainebiz)

📽️ VIDEO OF THE WEEK

🔎 JOB BOARD

• Vice President, Finance

  • Connected Cannabis Co.

  • $200,000—$225,000

• AVP Treasury Management - Cannabis

  • Bridgewater Bank

  • $101,380—$121,500

• Director of Supply Operations

  • WholesomeCo

  • $100,000—$120,000

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Stay tuned for more cannabis industry news next week!

💚,

The Pre Roll Team

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