As midterm elections approach, the prospect of legalizing marijuana in these six U.S. states in 2022 is promising

In November 2022, the U.S. midterm elections will kick off, and this period is also a critical time for the legalization of marijuana in each U.S. state. Five U.S. states, including Maryland, North Dakota, Missouri, Arkansas, and Oklahoma, will decide whether to legalize the commercial sale of adult-use marijuana, and Nebraska will hold a referendum on a bill to legalize medical marijuana.

The market is bullish on the prospect of legalizing marijuana in U.S. states this year. First and foremost is the support from the American public, as a Gallup poll in November 2021 showed that more than two-thirds of Americans support the legalization of marijuana. In addition, state marijuana legalization in the U.S. is progressing steadily and focusing on adult-use marijuana, with 19 states and Washington, D.C., currently legalizing recreational marijuana and 39 states and territories legalizing medical marijuana.

In addition, Ohio's recreational marijuana bill will be up for referendum in 2023, provided the legislature does not pass a legalization bill next year. In Florida, proponents of legalizing adult-use marijuana plan to hold a referendum in 2024.

The following marijuana legalization ballot bills are on the ballot this fall.

Recreational Marijuana

Arkansas

Initiator: Responsible Growth Arkansas

Citizen Legislative Initiative: Arkansas Recreational Marijuana Amendment of 2022

Initiative Type: Constitutional Amendment

Key Business Details.

The recreational marijuana market would be launched with the help of existing medical marijuana providers, and each medical marijuana provider would be allowed to open 1 additional adult-use marijuana store.

40 new marijuana store licenses by July 5, 2023, and 12 new cultivation licenses by November 8.

A 10 percent retail tax will be imposed on recreational marijuana products, in addition to local and state sales taxes.

Maryland

Initiator: State legislature referred to referendum

Citizen Legislative Initiative: House Bill 1 (HB 1)

Initiative Type: Constitutional Amendment

Expected Opening Date: Pending decision by the General Assembly, the referendum will take effect on July 1, 2023.

Key business details.

If voters approve the bill, the Legislature will need to enact additional legislation to establish regulations governing the marijuana market.

Missouri

Initiator: Legal Missouri 2022

Citizen Legislative Initiative: Missouri Marijuana Legalization Initiative 2022 (MMLI 2022)

Initiative Type: Constitutional Amendment

Expected opening date: To be determined

Key business details.

Medical marijuana operators will be able to change their license type to medical and adult-use.

The law will take effect 30 days after the election, during which time regulators will use a lottery to issue 16 microbusiness cannabis store licenses and 32 microbusiness wholesale licenses to the state's low-income residents, residents of extremely poor communities, disabled veterans, and non-violent marijuana offenders.

The same criteria will be used to issue 96 new microbusiness licenses in the 18 months following the law's effective date.

Cannabis products will be subject to a 6 percent retail sales tax plus a 3 percent local tax.

North Dakota

Initiator: New Approach North Dakota

Citizen Legislative Initiative: Legalization of Cannabis

Type of initiative: Statutory law

Expected start date: To be determined. Regulators require policy implementation no later than October 1, 2023.

Key Business Details.

Authorization and licensing will be accomplished through a competitive process based on specified criteria.

No more than seven manufacturing (cultivation and processing) licenses will be issued.

No more than 18 retail licenses will be issued.

Ownership by a single individual or organization is limited to 1 manufacturing facility or 4 marijuana stores, while stores must be no closer than 20 miles from each other.

Oklahoma

Initiator: Oklahomans for Sensible Marijuana Laws, supported by New Approach PAC, Washington, D.C.

Citizen Legislative Initiative: State Question 820

Initiative Type: Statutory Law

Expected Opening Date: To be determined

Key Business Details.

The Oklahoma Medical Marijuana Authority (OMAMA) will be responsible for marijuana licensing and regulation of the recreational marijuana industry.

Five types of licenses will be issued: cultivator, processor, marijuana store, transporter, and marijuana testing facility licenses.

Local governments may regulate but may not restrict or prohibit marijuana businesses.

Marijuana sales will be taxed at 15%.

Medical Marijuana

Nebraska

Initiator: Nebraskans for Medical Marijuana

Citizen Legislative Initiative: Nebraska Medical Cannabis Regulation Act (NMCRA)

Initiative Type: Statutory Law

Expected launch date: To be determined

Key business details.

The Nebraska Medical Cannabis Commission (NMC), with no more than five members, will establish cannabis authorization standards and other regulations by July 1, 2023.

The Commission will begin the licensing process on Oct. 1, 2023.

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