Ohio Republicans want to make major changes to marijuana law approved by voters
Ohio would impose a higher tax on recreational marijuana and limit home grow under a new bill that marks a major departure from the law approved by voters in 2023.
Senate Bill 56, introduced Tuesday by Sen. Steve Huffman, R-Tipp City, increases the excise tax on adult-use cannabis products from 10% to 15%, with all revenue going into the state general fund. Ohio currently directs marijuana dollars to several different pots, including one to support municipalities with dispensaries.
The proposal also:
Reduces the maximum number of plants people can grow at home from 12 to six.
Eliminates the social equity and jobs program, which aims to promote diversity in the marijuana industry and support those who were disenfranchised by prohibition.
Requires anyone transporting adult-use marijuana and paraphernalia to store it in the trunk of their car.
Decreases the THC product cap from from 90% to 70%.
Permits smoking and vaping only in private residences. Current law already prohibits smoking in public areas, similar to the tobacco ban.
Caps the number of active dispensaries to 350 and requires them to sell both adult-use and medical marijuana.
Does not require the Division of Cannabis Control to set rules for delivery and online ordering.
"I wouldn't say we're gutting everything," Huffman told a Senate committee Wednesday. "We're trying to improve it."
Recreational marijuana sales in Ohio began last summer, months after voters legalized it for adults 21 and older. Total sales were nearing $300 million as of Saturday, according to data from the Division of Cannabis Control, and the average price of flower sat around $192 per ounce.
The voter-approved measure was an initiated statute, not a constitutional amendment, which means lawmakers can tweak as much or as little as they want. Potential changes stalled last year because of Republican infighting, but the Legislature's new GOP leaders generally support overhauling the marijuana law.
"Are we telling (voters), 'Screw you, you don't know what you're talking about. You passed it with an overwhelming majority in the state, but we know better than they did what they were voting on?'" Sen. Bill DeMora, D-Columbus, said.
Spokespeople for the Division of Cannabis Control and Ohio Cannabis Coalition did not immediately respond to requests for comment.
(This story was updated with additional information.)
Haley BeMiller covers state government and politics for the USA TODAY Network Ohio Bureau, which serves the Columbus Dispatch, Cincinnati Enquirer, Akron Beacon Journal and 18 other affiliated news organizations across Ohio.
This article originally appeared on The Columbus Dispatch: Ohio bill would increase recreational marijuana tax, limit home grow
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'I think Pulte has probably confused people more than anything with his message,' said Tim Pagliara, a shareholder and author of the book 'Another Big Lie: How the Government Stole Billions from the American Dream of Home Ownership and Got Caught!' 'So the idea, for example, of allowing these entities to operate in conservatorship is a strategy that they probably talked about with the investment bankers on their primary concern, which is mortgage rates going up,' he added. 'It's like putting training wheels on a bike.' The administration's pronouncements have perplexed housing finance analysts who are unsure of what a scheme to take the companies public while keeping them in conservatorship would look like — or whether there would be sufficient investor appetite to make it worthwhile. JPMorgan strategists wrote in a note that they were 'flummoxed' by the comments. 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Another housing finance analyst, granted anonymity to frankly discuss the nascent plans, also expressed skepticism about the idea that investors would bite on purchasing shares in conservatorship, with the federal government still owning the vast majority of the asset. 'The direction of that control can change at the next election,' the analyst said. 'Each administration has already demonstrated they want to use Fannie and Freddie in different ways, so what are you investing in?' For the most part, Republican lawmakers are keeping their powder dry as they wait for additional details about the administration's plans. '[Senate Banking Committee] Chairman [Tim] Scott looks forward to hearing more' from Trump and Pulte on their plans for Fannie and Freddie, spokesperson Ben Watson said. Asked if conservatorship should end, Sen. John Kennedy (R-La.), a member of the Banking subcommittee with oversight of Fannie and Freddie, said, 'I don't know.' 'We're going to wait until the first quarter of 2026 to have that conversation,' said Rep. Mike Flood (R-Neb.), chair of the Financial Services housing subcommittee. 'Releasing them from conservatorship, that's one thing, but most of the folks I talked to still want the federal government on the hook.' The first Trump administration worked to build capital at the companies to prepare them for the end of conservatorship, an effort led by then-Treasury Secretary Steve Mnuchin and former Federal Housing Finance Agency Director Mark Calabria. Calabria has returned for Trump 2.0, now in a position with the White House Office of Management and Budget. Two key Treasury officials — Jonathan McKernan and Luke Pettit — also hail from the school of thought that Fannie and Freddie should be released from conservatorship. 'The Treasury Department has not really engaged on this yet — so it does not appear to me that the administration is very far into the analysis of options phase,' Parrott said. 'Until the Treasury Department really engages in any of this meaningfully, it's hard to know where all this lands.'