Cannabis News Roundup: Week 2025-06: Tennessee & Hawaii Push Cannabis Legalization, Maryland Clears Records, Minnesota Prepares for Business, and Arkansas Supports Schools with Weed Taxes

Week of 8 Feb, 2025

This week’s episode covers the latest cannabis policy changes across the U.S. Tennessee and Hawaii push forward with new legalization efforts, while Pennsylvania eyes a $1.3 billion tax windfall. Minnesota’s cannabis business licenses are finally opening up, Maryland expands expungement laws, and Arkansas uses marijuana tax revenue to fund student meals. Plus, we discuss the ongoing cannabis banking battle in Congress.

 

 

 

 

 

 

TENNESSEE In Tennessee this week, lawmakers were working on four cannabis-related bills. Two of the proposed measures aim to establish a regulated market for both recreational and medical marijuana. If passed, adults 21 and older would be allowed to possess up to 60 grams of cannabis, cultivate up to 12 plants, and purchase marijuana from licensed dispensaries. The legislation includes provisions for taxation, criminal justice reforms, and consumer protections. If approved, these laws would take effect on January 1, 2026.

 

The third bill, while not legalizing cannabis, would impact the sale of smoking hemp, along with tobacco and vape products. It proposes raising the age verification threshold for these purchases. Currently, retailers must check ID unless a buyer appears at least 30 years old. The new measure would increase that threshold to 50 years old, requiring more customers to provide proof of age at checkout. If passed, the law would take effect in July 2025.

The fourth bill filed in Tennessee this week proposes legalizing marijuana and using 75% of its tax revenue to repair the state’s highways.

HAWAII

Hawaii lawmakers have taken a major step toward legalizing recreational cannabis as the new House Bill advances through legislative committees. The bill proposes a single regulatory agency for medical, recreational, and hemp cannabis. It establishes a 14% tax on recreational sales, and sets strict local business protections. If enacted, Hawaii would join 24 other states in cannabis legalization, with sales expected to start in 2026. While the measure faces mixed public opinion, it has strong support from social equity advocates and local cannabis businesses. 

TEXAS

A University of Houston Hobby School of Public Affairs survey, released on February 4, 2025, reveals that a majority of Texans across political, racial, and religious demographics support easing restrictions on cannabis use. According to the study, 79% of respondents favor expanding medical cannabis access, 69% back decriminalization for those 21 and older, and 62% support legalizing a commercial adult-use cannabis marketplace. 

 

PENNSYLVANIA

Pennsylvania Governor Josh Shapiro has once again called on state lawmakers to legalize adult-use cannabis, citing economic losses to neighboring states and the potential for $1.3 billion in new tax revenue over five years. Under his budget proposal, legalization would take effect on July 1, 2025, with retail sales beginning in January 2026. A 20% wholesale tax on cannabis would help alleviate the state’s growing budget deficit, while funding for social equity programs and criminal expungements would address past injustices. While bipartisan support is increasing, the Republican-controlled Senate remains divided, raising questions about whether Pennsylvania will finally legalize cannabis or continue to fall behind its neighbors.

MINNESOTA

Minnesota’s long-awaited cannabis business licensing process is set to begin this month. The state’s Office of Cannabis Management announced that applications will be accepted from February 18 through March 14, with a lottery for capped licenses taking place in May or June. Half of these licenses will be reserved for social equity applicants, individuals from communities affected by past cannabis prohibition. Meanwhile, businesses applying for uncapped license types—such as microbusinesse