Colorado Attorney General Phil Weiser joined a dozen others nationwide in signing a letter addressed to the federal Drug Enforcement Administration asking that marijuana be downgraded from a Schedule I to a Schedule III substance, which would allow it to be officially accepted for medical use at the federal level.

In the undated letter, the officials said they were encouraged by the recommendation from the U.S. Department of Health and Human Services to move cannabis to Schedule III in the interest of public health and safety.

“For these reasons, we encourage the DEA to implement a final rule rescheduling cannabis to Schedule III based on the Federal Drug Administration’s scientific and medical conclusions,” the letter said. “We see this as a public safety imperative and write in support of this policy change.”

Dating back to the 1970s, marijuana has been designated as a Schedule I substance. According to the DEA, the current designation does not allow medical use and has a high potential for abuse. Other drugs designated as a Schedule I substance include heroin, lysergic acid diethylamide (LSD); 3,4-methylenedioxymethamphetamine (ecstasy), methaqualone, and peyote.

Although legalized in about about two dozen states including Colorado, cannabis remains illegal at the federal level because of its designation. 

Schedule III drugs, on the other hand, are considered to be substances with moderate to low potential for physical and psychological dependence. That category includes products containing less than 90 milligrams of codeine per dosage unit (Tylenol with codeine), ketamine, anabolic steroids and testosterone.

Another obstacle for those states that have legalized marijuana is the lack of legal authority, which means marijuana businesses are limited in their access to banking and capital. The largest hurdle, however, is IRS regulations that bar marijuana businesses from being able to deduct overhead expenses, such as wages and salaries, advertising and travel costs. They can however, deduct the cost of goods sold, which is their inventory, according to an IRS expert.

The issue of rescheduling has been a bit murky of late.

Dated Aug. 29, the Health and Human Services letter recommending the DEA reschedule cannabis has never been fully seen by the public. To date, it has only been seen by one reporter from Bloomberg News. However, HHS Secretary Xavier Becerra said in June that he hoped to have a recommendation ready by the end of 2023.

In October, the health department released a highly-redacted version of the letter. 

That led attorney Matt Zorn to file a complaint under the federal Freedom of Information Act, seeking all documentation related to the health department’s recommendation. That lawsuit was scheduled to go to a hearing next week.

Yesterday, the agency agreed to release all documentation and without redaction, according to Marijuana Moment.

That has led to speculation that rescheduling could be imminent, although Zorn appears skeptical.

The letter from the attorneys general noted that 38 states have now legalized the use of cannabis for medical purposes, and 24 states, including Colorado, allow it for recreational use.

The letter outlined the steps those states have taken to regulate the market, such as seed-to-sale tracking, THC and serving limits, restrictions on minor-directed marketing and advertisements, age verification requirements prior to a sale of marijuana products to limit underage access, packaging and labeling standards, laboratory testing requirements, warning symbols, and regulation of pesticides for use in cultivation of marijuana, among others. 

Those regulations are all part of Colorado’s legal framework. 

“While we are not all aligned on the wisdom of fully legalizing cannabis, we do agree, however, that a state-regulated cannabis industry better protects consumers than the illicit marijuana market or the unregulated intoxicating hemp-derived marketplace,” the attorneys general said.

In addition to Weiser, the letter is signed by the attorneys general of Illinois, California, Maryland, Connecticut, Massachusetts, Delaware, Oregon, Pennsylvania, Nevada, New Jersey and Rhode Island.