That Ain't Chicken, it's Foul

DeSantis goes off the rails in Florida.

Daily Recap

Gov. Ron DeSantis (R) is using every lever at his disposal to defeat a November ballot measure that would legalize cannabis in the Sunshine State.

The all-encompassing effort has drawn in state agencies ranging from the one that oversees elections to the one that builds roads, and they’ve spent taxpayer money on ads warning voters about the dangers of marijuana.

“No matter where you stand on an issue, this is still a democracy and in a democracy, we don’t spend taxpayer dollars in advance of a political issue. Tax dollars are meant to be spent on our police, schools, roads and other public programs that make our state great, not for political agendas.” Florida State Sen. Joe Gruters (R)

Right on Schedule

The DEA started selecting witnesses to participate in a much-anticipated hearing on the Biden administration’s proposal to federally reschedule marijuana, which has been scheduled for December 2nd, per Marijuana Moment.

With a month until the hearing, several groups were notified about their selection by the DEA. They include at least one top cannabis industry organization, a drug testing association and two prohibitionist groups.

Kelly Fair, a partner at Dentons, opined on a USCC conference call today that if the ALJ hearing is “kept tight” (a week or so) there’s a path to a final rule being published by the time the administration changes on January 20th.

“It would be very tight but it’s doable.”

Melting Pot

A New York state judge ruled that NYC’s Operation Padlock, which has shuttered more than 1,000 unlicensed cannabis retailers in the Big Apple, is unconstitutional because the underlying code gave too much discretion to the sheriff.

The ruling only directly affects one business forced to close under the crackdown, but it will almost certainly lead to additional lawsuits, the company's attorney predicted.

Raising Arizona

Deliveries of legal adult-use marijuana will begin in Arizona on Friday, allowing adults 21 to purchase cannabis to be dropped off at their doorstep. Previously, the service was available only to registered medical marijuana patients.

Stocks & Stuff

Cannaland was green for the better part of the session before afternoon supply filled in to pressure the space for the fourth straight day. U.S. cannabis ETF MSOS lost 1.5% by the time the dust settled, and is now down 5% YTD.

Below, we’ll top-line the landscape, unpack the recent price action, preview earnings, channel check the Florida polls and count down the days to clarity.

All that and more, just scroll down.

SPY 0.00%↑ QQQ 0.00%↑ IWM 0.00%↑ MSOS 0.00%↑ ETF Notional: $83M

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