The Daily Brief

October 29, 2026

Michigan's Republican lieutenant governor nominee is mounting a challenge to the state's new 24 percent wholesale cannabis tax, filing legislation this week to suspend the levy for one year. Rep. Jay DeBoyer argues the tax—enacted by Gov. Gretchen Whitmer and the legislature to fund road repairs—has generated tens of millions less than projected and lacks an enforcement mechanism, pushing licensed operators to compete with black-market sellers. "This is a lose-lose," DeBoyer said, noting the tax creates uncertainty without the infrastructure to collect it. His gubernatorial running mate, John James, has pledged to repeal or significantly roll back the tax entirely, earning endorsement from the Michigan Cannabis Industry Association. Democratic Senator Jeff Irwin countered that James "has not been a friend to legalization," citing his 2018 opposition to the ballot initiative that legalized recreational cannabis.

Money New York Governor Kathy Hochul has gutted a proposed Cannabis Wage Board after pressure from industry groups, signing legislation Wednesday that eliminates mandatory labor peace agreements between cannabis businesses and unions while negotiating to strip out wage-setting provisions. The original bill, sponsored by Senator Jessica Ramos and Assemblymember Harry Bronson, would have created a three-member board to recommend minimum hourly wages for cultivation, processing, packaging, and retail workers. Hochul cited concerns that wage mandates would raise operating costs and drive consumers to unlicensed sellers. Industry groups including the Empire Cannabis Manufacturers Alliance and Association of New York Cannabis Processors celebrated the move, calling it a safeguard for small businesses and workers in an industry already facing "substantial financial pressures." The governor preserved the repeal of labor peace agreements, meaning cannabis businesses are no longer required to maintain neutrality during union organizing efforts—though they may still voluntarily enter such agreements.

Federal hemp regulation faces a December 11 deadline, and Republican Rep. Morgan Griffith is exploring a novel path to preserve the market: attaching hemp product rules to a post-election budget reconciliation package. Griffith's Hemp Enforcement, Modernization, and Protection (HEMP) Act would direct the FDA to establish potency limits on hemp-derived THC and CBD products within three years, with default caps of 5 mg per serving and 30 mg per package if the agency misses the deadline. To qualify for reconciliation's simple-majority Senate passage, Griffith said the proposal would need to couple with Rep. Beth Van Duyne's Beverage Regulatory Parity Act, which would create a three-tier distribution system for hemp drinks and impose federal excise taxes. Griffith told reporters, "I truly believe if we don't do something before that December 11th deadline, that it's going to create all kinds of issues." Context The hemp industry generates billions annually, and the federal ban threatens most THC drinks, full-spectrum CBD oil, and related products currently on shelves.

Virginia's Senate Finance Committee chair, Louise Lucas, faces federal racketeering charges stemming from allegations of large-scale marijuana distribution—raising uncomfortable questions about how the state's new legal retail market will be regulated. The indictment alleges Lucas discussed cannabis licensing with unnamed state legislators, including one who responded that cannabis legislation would ensure "everything is on the up and up," to which Lucas allegedly replied she made it "legal I did, because I did, when I did it, it was obviously illegal." The charges also reference a senior law enforcement officer and another legislator who allegedly warned Lucas in 2022 that selling marijuana was illegal—but took no apparent action at the time. The case unfolds weeks before Virginia's legal retail market launches July 1, and the indictment's references to potential manipulation of licensing rules underscore regulatory challenges as states transition from prohibition to legal markets.

Republican Senators James Lankford and Ted Budd are pressing the U.S. Postal Service not to participate in Georgia's new medical marijuana delivery rule, even though President Trump's administration federally rescheduled cannabis. Georgia's cannabis commission voted to allow medical deliveries via USPS, FedEx, UPS, and DHL, citing Trump's rescheduling as justification. Lankford and Budd argue state licensing schemes are unreliable, pointing to Oklahoma's previous glut of 9,178 licensed grow operations and 2,611 dispensaries as evidence products are leaking into black markets and states where cannabis remains illegal. "USPS should not give these actors access to the mail," they wrote, also raising concerns about youth access. The Georgia rule contains no provision allowing state-licensed operators to ship across state lines, but the senators' letter signals ongoing federal opposition to cannabis delivery infrastructure despite the Trump administration's reschedule decision.

On the campaign trail, cannabis legalization is emerging as a mid-election issue in gubernatorial races. In New Hampshire's governor debate, Democratic challenger Cinde Warmington backed adult-use legalization, arguing a regulated market would prevent contamination from unlicensed sellers and generate tax revenue now flowing to neighboring states. "It is really odd that we are sending our citizenry over state lines and paying millions and millions, tens of millions of dollars, to our neighboring state in taxes when that revenue should be here in our state," Warmington said. Incumbent Republican Governor Kelly Ayotte opposed legalization on youth-impact grounds, citing research on mental health effects on young brains. Ayotte currently leads in polling by 10 points. Meanwhile, Massachusetts voters will decide Question 8 on November 3, a measure that would repeal the state's recreational retail market while preserving medical access—a rare attempt to roll back legalization. An October poll found 71 percent of likely voters opposed the repeal.

October 29, 2026

Verano Holdings posted $212.4 million in third-quarter revenue, a 5% year-over-year gain, while hitting its strongest operating cash flow in four years at $49 million—a nearly 90% jump from $26 million in Q3 2025. The multistate operator slashed its quarterly net loss to $4.1 million from $43.8 million a year earlier, expanded its Florida footprint to 86 dispensaries in the state and 163 nationwide, and launched Easy Landings, its first national cannabis beverage brand. Money Verano's adjusted EBITDA reached $50.4 million for the quarter, and year-to-date operating cash flow climbed to $98 million versus $39 million in the first nine months of 2025. The company now holds $102 million in cash, increased its 2026 capital expenditure guidance to $54–60 million, and flagged Virginia's incoming recreational market as a near-term growth engine.

Jushi Holdings reported $70.5 million in Q3 revenue, up 7% annually, fueled by a 40% surge in wholesale sales to $9.7 million—its second consecutive quarterly wholesale record. Retail revenue climbed 3.5% to $60.8 million, with Virginia delivering back-to-back record quarters and all six of its state dispensaries posting year-over-year gains. Money The company's net loss narrowed from $23.7 million to $12.5 million, and adjusted EBITDA rose to $13.6 million from $12.8 million. Massachusetts and Pennsylvania drove wholesale growth, contributing $1.1 million and $700,000 respectively, while Jushi introduced 665 new product offerings across flower, pre-rolls, vapes, concentrates and edibles during the quarter.

Hemp-derived THCa flower prices rose 4% in October and now exceed wholesale marijuana prices in nine state-licensed markets, according to Hemp Benchmarks' latest report. Indoor-grown THCa held steady while greenhouse prices climbed 3.9%, signaling robust demand for federally legal alternatives. Context States with restrictive marijuana licensing—Illinois and Connecticut included—still command higher wholesale marijuana prices, though producers there shoulder steeper production costs and tax burdens. Meanwhile, CBD isolate prices fell another 6% for the month and 41% year-over-year due to ample supplies, while CBG isolate dropped 3% monthly and 21% annually. CBD biomass showed modest recovery, hitting its highest level since June at 12% above October 2025 levels, driven partly by reduced purchases of aging inventory and lower overall hemp production.

New York's legal cannabis market generated $1.4 billion in sales through Q3 2026, accounting for roughly 34% of the $4.1 billion in cumulative sales since the market launched in December 2022. Money The state's recreational market continues accelerating three years into operations, solidifying New York as one of the nation's largest legal cannabis economies.

Vermont's Cannabis Control Board approved procedures for a pilot program allowing licensed retailers to sell products at public events, clearing the path toward implementation under Act 176. The state will issue up to 10 permits annually through a regional lottery system covering five geographic areas, with applicants required to demonstrate at least six months of compliant operations. Notable A notable provision mandates that at least 40% of an event's marijuana offerings come from unaffiliated cultivators or manufacturers, ensuring independent businesses gain shelf space alongside vertically integrated players. Events cap at 24 hours, alcohol sales are prohibited, and retailers must carry $1 million per-occurrence liability insurance. The pilot runs through June 2028, giving regulators time to evaluate whether public sales events expand access without disrupting existing retail channels.

Federal rescue legislation for hemp THC products is likely after the midterm elections, Capitol Hill sources suggest, though new regulatory rules will narrow which products survive. The contours remain fluid, but consensus is emerging that not every hemp cannabinoid currently on shelves will qualify under a tightened framework. Grön, the acclaimed edibles brand, launched its Pearls product line in Massachusetts, New Mexico and Washington, continuing rapid expansion. JUNGL, a Sarasota-based THC beverage and gummy maker founded in June 2025, directs a portion of proceeds to wildlife conservation—supporting black rhino anti-poaching efforts in Zimbabwe through Imire Wildlife Conservancy and ecosystem preservation in the Peruvian Amazon. The brand emphasizes all-natural ingredients and positions THC drinks as a sophisticated alcohol alternative for consumers seeking cannabis without smoking.

October 29, 2026

Congressional researchers confirmed today that the FDA has failed to publish any of the three federally required cannabinoid classification lists as the first phase of sweeping hemp restrictions lands in just two weeks. The Food and Drug Administration was supposed to release these lists—identifying naturally occurring cannabinoids, THC-class variants, and synthetic compounds mimicking THC effects—by February 2026 under Public Law 119-37, but has missed every deadline. The Congressional Research Service report, issued October 28, found zero published guidance on any of the required materials, including clarification on how "container" definitions will determine THC limits on products hitting shelves across the country.

November 12 will be the enforcement date for the toughest restrictions: products containing cannabinoids that cannot be produced naturally by cannabis plants will no longer qualify as hemp and will face controlled substance penalties. THC-O, a synthetic cannabinoid produced through chemical processing, is the marquee example. This November deadline survived a September congressional delay that pushed most other hemp definition changes to December 11. Context The legal terrain here is already contested—in 2024 a federal appeals court ruled that THC-O derived from cannabis could qualify as legal hemp under the 2018 Farm Bill, directly contradicting a 2023 DEA determination that synthetic THC-O is Schedule I. The new law attempts to settle that dispute by explicitly excluding non-natural cannabinoids from the hemp definition.

Retailers in multiple states face inventory cliffs. Illinois retailers have until November 12 to pull hemp-derived THC beverages from shelves, as do Ohio businesses selling intoxicating hemp drinks. The clock is running on the legal sale window for products that have operated in the federal gray zone for years. Money Hundreds of small beverage companies, convenience stores, and independent retailers built business models around hemp THC products in states without mature cannabis markets—and now face either pulling inventory, pivoting to remaining compliant cannabinoids, or exiting the space entirely as federal law tightens.

The legislative fight isn't over. U.S. Rep. Morgan Griffith, R-Virginia, outlined a plan to attach hemp product regulation language to a post-election reconciliation bill, potentially creating a pathway for federal standards that could differ from the outright ban now scheduled. That approach requires passage after the November midterms and would need to move through a fast-track reconciliation process—a narrow window with no guarantee of success. Several states are also moving their own hemp rules on November 12, including Illinois replacing its old Industrial Hemp Act with new regulations, while Wisconsin businesses are urging the state to codify hemp safety standards before the federal framework shifts.

The FDA's failure to publish required guidance creates real-world uncertainty for compliance. Without the three lists and container definitions, retailers, manufacturers, and regulators are operating on a statutory date without the interpretive material Congress mandated to implement it. Notable Some states like Rhode Island have already issued guidance allowing hemp businesses to quarantine inventory ahead of the federal ban, preserving products from destruction while preventing sales—a practical workaround for the December 11 transition period. But most retailers and distributors are left navigating November 12 without the federal roadmap that was supposed to be ready nine months ago.

October 29, 2026

Research published this week reveals cannabis compounds working in three distinct domains: pain management, infectious disease, and neurological conditions—each offering implications for how medical systems might approach treatment alternatives.

Notable A major study of 8,358 New York patients published in the Journal of Addiction Medicine found that chronic pain patients receiving medical marijuana for more than 30 days were twice as likely to discontinue opioid prescriptions compared to those using cannabis for shorter periods. Among patients on lower to moderate opioid doses (under 90 morphine milligram equivalents daily), the discontinuation rate jumped to nearly three times higher during the first 30 days of extended cannabis use. The research, which analyzed records from 2017 through 2019, showed the strongest signal in patients already taking the lowest doses—suggesting medical marijuana may offer a viable off-ramp from long-term opioid therapy for a significant subset of patients. The finding aligns with a 2023 New York study showing cannabis use was associated with reduced prescribed opioid doses, though researchers emphasize the observational nature of the work means causation cannot be definitively established.

Notable Nigerian researchers testing silver nanoparticles synthesized using Cannabis sativa leaf extract demonstrated synergistic antibacterial effects against drug-resistant bacteria when combined with conventional antibiotics. The marijuana-derived particles, tested with cefotaxime and meropenem against Escherichia coli and Salmonella typhi, produced fractional inhibitory concentration indices as low as 0.04—well below the 0.5 threshold indicating synergy. The combination of marijuana-assisted silver particles with meropenem outperformed either substance alone, suggesting complementary mechanisms: while antibiotics disrupt bacterial cell walls, the silver compounds may attack membranes and cellular proteins through independent pathways. The particles ranged from 179 to 269 nanometers in diameter and showed inhibitory activity at clinically meaningful concentrations. Researchers noted additional safety and efficacy studies are needed before clinical translation.

New research pipelines examining cannabinoid receptor distribution in adult ADHD brains and cannabidiol's preclinical activity against Alzheimer's disease represent emerging frontiers in neuropsychiatric cannabis science. A PET imaging study will map cannabinoid receptor expression patterns in ADHD populations, potentially clarifying biological mechanisms behind anecdotal reports of symptom improvement. Meanwhile, CBD research against Alzheimer's has shown preclinical promise, though significant evidence gaps remain regarding dosing, blood-brain barrier penetration, and long-term safety profiles in human subjects. Context These studies reflect a broader shift: cannabis compounds are moving from Schedule I prohibition into serious neuroscience labs, where researchers can finally ask whether earlier medical observations warrant systematic investigation.

International cannabis regulation is consolidating. Pakistan's Cannabis Control and Regulatory Authority and the Pakistan Medicinal and Allied Sciences Academy signed a memorandum of understanding to strengthen research infrastructure and regulatory frameworks, signaling that cannabis science governance is professionalizing beyond Western markets. The partnership aims to coordinate research protocols and establish evidence-based policy standards in a country where cannabis cultivation remains widespread but largely informal—a model other developing economies may follow as global medical evidence accumulates.