There’s one group that’s thrilled with Donald Trump’s embattled pick for attorney general: weed companies.
Trump’s first administration took an adversarial approach to cannabis policy, and the industry worried a second term could roll back the few advances made during the Biden administration or target cannabis users and companies once again.
But then came Matt Gaetz.
Few lawmakers on Capitol Hill have taken a more pro-cannabis stance than Gaetz, and his selection has left the weed industry feeling like it’s Christmas morning.
“He’s very vocal on this issue, and he’s on our side,” said Boris Jordan, CEO of Curaleaf, the largest cannabis company in America. “Sometimes it takes an unpleasant person to get something radical done.”
More than half of Americans live in a state where recreational cannabis is legal, but the industry is hampered by the lack of federal legalization and regulations. Companies face challenges accessing banking services, high federal tax rates and a ban on interstate commerce, some of which the DOJ has the power to address.
The Biden administration began a process two years ago to lessen federal restrictions on marijuana, and the Trump administration will either shepherd it over the finish line or derail it. The attorney general is key in that process, and the industry was hoping for someone who would not be as combative to the weed industry as attorneys general Jeff Sessions and Bill Barr were in the last Trump administration.
“That bodes well for the industry and understanding that a solution needs to be brought to bear,” former GOP Colorado Sen. Cory Gardner, who championed federal cannabis policy changes during his time on Capitol Hill, said on Friday. Gardner met with Gaetz about cannabis policy during their time in Congress, and said he was “very knowledgeable [and] understood the issues at stake.”
Cannabis stocks shot up immediately after Gaetz’s nomination was announced on Wednesday, a sign of the industry’s optimism that he could bring about much-needed policy changes. It’s a surprising development for an industry disappointed by lawmakers in Washington, D.C. after high hopes that 2020’s Democratic trifecta would bring progress.
Recreational cannabis legalization enjoys support among more than 60 percent of the country, including about half of Republicans. But despite bipartisan support on Capitol Hill for piecemeal legislation to help the cannabis industry access banking services more easily — including backing from Majority Leader Chuck Schumer — only a research bill has passed during four years of Democratic Senate control.
Trump changed the game when he came out strongly in favor of Florida’s marijuana legalization referendum — which ultimately failed — during this election cycle, and the weed world has been waiting to see if his appointees would reflect that stance.
“The choice of Gaetz signals to me and many of my colleagues that [Trump is] going to follow through on his campaign promises,” said David Culver of the U.S. Cannabis Council, a trade group. “[Gaetz has] been involved in all the major pieces of cannabis reform that have surfaced over the years.”
The reaction of cannabis advocates in the criminal justice reform space — who uniformly requested anonymity to candidly discuss their views of Gaetz’s nomination — was less enthusiastic.
The cannabis advocacy world, which leans strongly progressive, has a long-standing aversion to Gaetz, originating with his guest to the 2018 State of the Union — a man accused of denying the holocaust and promoting white nationalism.
“It’s horrible but great at the same damn time,” texted one legalization advocate, who wished to remain anonymous because they may need to work with Gaetz in the future. “We are gonna get EVERYTHING we want.”
A number of these advocates told POLITICO as far back as 2019 that they would not answer questions about Gaetz’s involvement in the policy space. And two advocates and one former Hill staffer told POLITICO this week that they stopped meeting with Gaetz and his staff about cannabis policy after the Department of Justice launched a sex trafficking investigation into Gaetz. (The investigation has since been dropped, though a House ethics probe into the matter continued. Gaetz has denied the allegations.)
They could not deny, however, that Gaetz voted for and introduced legislation on cannabis policy — including amendments to allow use of cannabis products by active military members. And most of those same advocates are now acknowledging the likelihood of working with Gaetz if he is confirmed as AG because of what he could do for their issue.
“He’s no longer one of 435 … he’s in a very prominent role,” one legalization advocate explained. “A lot of this is very, very bad but in the narrow scope of drug policy, there might be room for making things better.”
Of course, Gaetz still faces a very difficult confirmation battle. Anti-legalization groups, meanwhile, are pointing to Gaetz’s vote against recreational legalization in Florida as a sign he may not be as amenable to the industry as widely believed.
If Gaetz is confirmed, the industry is optimistic that he could do more than just shepherd through rescheduling. Reinstating Obama-era protections for the cannabis industry and beginning the process for full decriminalization are two steps some hope Gaetz would push for if he takes the role atop the DOJ.
“That was the first good piece of news I got for cannabis in three years,” Jordan said of Gaetz’s nomination.
