California Governor Announces Largest Ever Multi-Agency Operation Seizes $123.5 Million in Illicit Cannabis

In its largest operation to date, the state’s Unified Cannabis Enforcement Task Force dedicated to eradicating illegal cannabis operations conducted a large-scale, multi-agency operation in the Central Valley, leading to the seizure of 105,700 illicit cannabis plants and 22,057 pounds of processed cannabis worth $123.5 million.

Through the Task Force, during the week of May 5, 2025, more than 200 sworn officers and staff from 15 state, local, and federal law enforcement partners coordinated a multifaceted search warrant operation through Kern, Kings, and Tulare counties in an area of about 4,600 square miles, according to a press release from Governor Gavin Newsom’s office.

“Let this be a reminder to all who grow cannabis illegally: we won’t tolerate the undermining of our legal industry and impacts to our environment”, said Governor Newsom. “I appreciate the multi-agency, cross-county efforts to take on the illicit market.”
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Cannabis Leaders Urge California Legislature to Freeze Excise Tax Increase to Preserve Public Health Gains & Stabilize the Legal Market

Today, cannabis industry leaders met with California legislators, policymakers, and regulators to urge them to freeze the cannabis excise tax at its current 15% rate through a budget trailer bill.

Without action, the excise tax will automatically increase to 19% on July 1, 2025, a more than 25% increase that would “further drive consumers to the dangerous illicit market while actually reducing state tax revenue”, according to a press release from the California Cannabis Operators Association (CaCOA).

“Halting this scheduled tax hike would protect consumers, public health, and the viability of the regulated market voters approved in 2016,” said Alex Freedman, President of CaCOA. “Excise tax increases leave consumers and patients holding the bill at a time when many are struggling with cost-of-living challenges. With more than 60% of cannabis sales already occurring in the illicit market, a 25% tax increase would push even more Californians toward untested, potentially dangerous products. And because those products are also untaxed, the unintended consequence would be even less tax revenue available for the vital community programs they’re currently funding.”

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Washington State Study Finds Cannabis Production Far Outpaces Sales, Raises Concerns About Surplus Product

A new report presented to Washington lawmakers shows the state produced far more marijuana in 2023 than it sold, prompting concerns about where the excess product is ending up.

According to the Washington State Institute for Public Policy, marijuana production in 2023 was two to three times greater than what was purchased by consumers. Yet the state Liquor and Cannabis Board (LCB) has no clear data on what happened to the remaining supply.

“Surplus cannabis may be destroyed, or it could be diverted to the illegal market either in state or out of state,” the report notes.
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New York Bill Filed to Allow Marijuana Microbusinesses to Shift to Cultivation or Sell Without Storefront

Senator Michelle Hinchey (D) introduced new legislation today that would expand flexibility for licensed marijuana microbusinesses in New York.

The proposal, Senate Bill 8189, would give licensed microbusinesses the ability to convert their license type to an adult-use cannabis cultivation license, with approval from the Office of Cannabis Management. Those choosing to convert would be required to relinquish any interest in property used for adult-use retail sales, unless they can demonstrate the property will not be used for retail purposes.

Additionally, the bill directs the Office of Cannabis Management to establish rules allowing microbusinesses to sell marijuana directly to consumers without needing to open a retail storefront. This provision is contingent on receiving office approval to conduct sales from a non-storefront location.
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Study: Full-Spectrum Cannabis Extract May Aid Gut and Organ Recovery After Stroke

According to the results of a new study published in Inflammopharmacology, full-spectrum cannabis sativa extract (FSC) may offer significant benefits in protecting the gut and peripheral organs following an ischemic stroke.

Researchers from Brazil, Canada, and the United States examined the effects of FSC on male Wistar rats that underwent a 60-minute middle cerebral artery occlusion, a common model for stroke. The animals received doses of FSC (15 or 30 mg/kg) or a control oil at various intervals following the stroke. After 72 hours, researchers measured neurological performance, organ weights, blood markers, hormone levels, intestinal permeability, oxidative stress, and inflammation.

The study found that FSC significantly improved neurological scores, suggesting therapeutic potential for post-stroke recovery. Treated rats also showed reduced intestinal permeability, decreased inflammation in the lungs, and lower levels of oxidative stress. Additionally, there was a reduction in body mass and blood cell counts related to immune response, as well as atrophy in certain lymphoid organs such as the spleen and thymus. Serum corticosterone levels—a stress hormone—were also lower in the FSC group.
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Oregon House Passes Bill to Allow Marijuana Sales and Sampling at Events, Sending it to Governor

The Oregon House of Representatives voted 40 to 10 yesterday to pass a bill that would allow marijuana businesses to share and sell products at certain events, while expanding rules around employee access to samples.

The measure, Senate Bill 558, has already cleared the Senate and will soon be sent to Governor Tina Kotek.

The proposed law would authorize licensed marijuana producers, processors, wholesalers, and retailers to provide samples to other licensed businesses and permitted employees at trade shows and similar events registered with the Oregon Liquor and Cannabis Commission (OLCC). It would also allow wholesalers to sell products directly to retailers at these events.
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Minnesota Budget Deal Would Raise Cannabis Tax by 50% Before Legal Sales Even Begin

Minnesota’s legal marijuana market hasn’t launched yet, but lawmakers have already agreed to raise taxes on cannabis products under a new budget deal.

The bipartisan agreement would increase the state’s cannabis tax from 10% to 15% , in addition to Minnesota’s standard sales tax of 6.875% and any applicable local taxes. The increase would apply to both marijuana products and low-dose THC edibles derived from hemp.

House Speaker Lisa Demuth (R) defended the move, calling the current 10% rate “very low” and describing the increase as a way to “right-size” the tax. However, some lawmakers and industry advocates argue the change could undercut the legal market before it has a chance to get off the ground.
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Rhode Island Senate Committee to Hold Hearing and Potential Vote Tuesday on Cannabis Equity Expansion Bill

The Rhode Island Senate Judiciary Committee is scheduled to hold a public hearing and potential vote tomorrow on legislation that would overhaul and expand the state’s cannabis equity policies.

Rhode Island State House.

Senate Bill 531, sponsored by Senator Jonathon Acosta (D) and co-sponsored by Senators Tiara Mack (D), Robert Britto (D), Victoria Gu (D), Ana Quezada (D) and Samuel Bell (D), was filed in February and referred to the committee.

If passed into law, the measure would establish two new funds: the Social Equity Assistance Fund and the Disproportionately Impacted Areas Investment Fund. These funds would be supported by cannabis licensing revenue and 50% of the state’s excise tax on marijuana sales.
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More New Jersey Cannabis Workers Vote to Unionize With UFCW Local 360 as Part of “Cannabis Workers Rising” Campaign

United Food and Commercial Workers (UFCW) Local 360 announced today that more New Jersey cannabis workers have voted to unionize as part of its long-running Cannabis Workers Rising campaign.

Employees at Fresh Eatontown LLC, a licensed adult-use cannabis dispensary, are the latest to join the labor movement as it continues to expand across the state’s legal marijuana industry. The latest vote in favor of union membership with Local 360 came at the Fresh Eatontown LLC dispensary in Eatontown, NJ. Fresh Eatontown is one of two dispensaries in New Jersey operated by multi-state cannabis company Fresh Cannabis, which also has locations in Colorado and Delaware. Fresh Cannabis’ other New Jersey dispensary, Fresh Elizabeth LLC, voted to join UFCW Local 360 towards the end of 2024.

“I hope the management team at Fresh Eatontown recognizes how lucky it is to have such committed employees,” said Hugh Giordano, UFCW Local 360’s director of organizing. “Voting to unionize is a powerful step. It represents a professional and personal commitment to the future of the company and signals that these cannabis workers want to be partners in creating long-term success.”
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Survey Shows Large Majority of Veterans and Their Family Support Medical Marijuana, Oppose VA Cuts

A new national survey by Mission Roll Call finds strong support among veterans for allowing the Department of Veterans Affairs (VA) to provide medical marijuana, even as many express concern over recent job cuts and support greater access to community care.

The 2025 VA Cuts & Services Survey gathered responses from nearly 2,000 veterans and family members across all 50 states. Among those surveyed, 57% said they support the VA offering medical marijuana as a treatment option—one of the highest levels of support among all proposed services. Only obesity treatment ranked higher, with 67% in favor.

The survey also sheds light on broader frustrations with the VA’s direction. 64% of veterans said they are concerned or strongly concerned that recent or upcoming job cuts at the VA will impact the care or services they receive. More than half (55%) do not support the cuts, and 40% said the workforce reductions have negatively impacted their well-being.
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