Congressional Committee Pushes To ‘Eliminate’ Illegal Marijuana Grows And Tackle Money Laundering By Chinese-Linked Cannabis Operations

A key congressional committee is calling for a stepped-up effort to eradicate illegal marijuana grows that are “not sanctioned” by state or tribal law, while also tackling money laundering issues associated with illicit Chinese-connected cannabis businesses.

The House Appropriations Committee included sections in reports attached to spending bills that are aimed at increasing federal resources targeting bad actors around the marijuana space.

As in past sessions, the report language for the Interior, Environment, and Related Agencies appropriations legislation says the committee is “aware that trespassers illegally grow marijuana on public lands in California.”

“These unlawful activities harmfully impact the public, water, soil, and wildlife,” it says, adding that members support Forest Services “efforts to develop tools to detect and eradicate grow sites, including a potential remote-sensing survey of Federal public lands to identify grow sites and allow for the development of cost estimates for reclamation.”

Accordingly, Forest Services and the Bureau of Land Management are directed to work with state, local and tribal governments “on survey, reclamation, and prevention efforts to the maximum extent possible, including to prevent the displacement of criminal activities to illegal grow sites on non-Federal lands.”

Further, the covered agencies would be required to work with the Justice Department and U.S. Department of Homeland Security (DHS) to “eliminate grow operations that are not sanctioned by State or Tribal authorities and provide a report to the Committee on its efforts and the estimated cost for reclamation not later than 180 days following the enactment of this Act.”

Here’s the full text of the section:

“Marijuana on Public Lands.—The Committee is aware that trespassers illegally grow marijuana on public lands in California. These unlawful activities harmfully impact the public, water, soil, and wildlife. The Committee supports Forest Service efforts to develop tools to detect and eradicate grow sites, including a potential remote-sensing survey of Federal public lands to identify grow sites and allow for the development of cost estimates for reclamation. The Committee directs the Forest Service and the Bureau of Land Management to continue to cooperate with State, local, and Tribal governments on survey, reclamation, and prevention efforts to the maximum extent possible, including to prevent the displacement of criminal activities to illegal grow sites on non-Federal lands. Additionally, the Committee directs each agency to convene and develop a strategy with the Departments of Justice and Homeland Security to eliminate grow operations that are not sanctioned by State or Tribal authorities and provide a report to the Committee on its efforts and the estimated cost for reclamation not later than 180 days following the enactment of this Act. Additionally, the Committee encourages the Forest Service’s Law Enforcement and Investigations to increase the use of novel models for the detection of illegal marijuana cultivation sites on Forest System land.”

The interior and environment funding bill and report was approved by the panel on Tuesday.

Another report—which is being attached to appropriations legislation covering Commerce, Justice, Science, and Related Agencies (CJS)—focuses on combating money laundering by cannabis businesses associated with the Chinese Community Party (CCP).

It says agencies must “utilize funds directed to anti-money laundering programs to investigate potential money laundering schemes involving CCP-connected marijuana businesses and entities providing financial services to these businesses.”

Here’s the text:

“CCP Money Laundering.—The Committee directs the Department to utilize funds directed to anti-money laundering programs to investigate potential money laundering schemes involving CCP-connected marijuana businesses and entities providing financial services to these businesses. The Department is further directed to provide a report on its activities within 120 days of enactment.”

The underlying CJS bill has proved more controversial, with provisions to block the Justice Department from rescheduling marijuana. The legislation would also maintain a separate longstanding rider protecting state medical cannabis programs from federal interference—though with new language authorizing enhanced penalties for sales near schools and parks.

The CJS legislation also keeps intact another longstanding rider preventing DOJ interference in state hemp research programs.

The committee was expected to take up the draft CJS bill and report on Thursday but that was postponed as lawmakers left the capital for August recess.

Last week, the Senate Appropriations Committee advanced its own version of the CJS measure, which would also maintain protections for states with medical marijuana programs. However, it omits the separate proposal included in the House version preventing DOJ from rescheduling cannabis.

—Marijuana Moment is tracking hundreds of cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments.

Learn more about our marijuana bill tracker and become a supporter on Patreon to get access.—

Meanwhile, the Senate committee also recently included a variety of marijuana and psychedelics-related provisions in a report attached to a pair of spending bills—including calls to allow U.S. Department of Veterans Affairs (VA) doctors to recommend medical cannabis if the federal government reschedules it, exploring the possibility of “reducing opioid use through medical marijuana” and cracking down on illicit grow operations.

The panel also approved the veterans funding bill along with an amendment allowing VA doctors to recommend medical cannabis to their military veteran patients in legal states.

A House appropriations subcommittee separately approved a spending bill that would maintain a controversial provision preventing Washington, D.C. from using its own tax dollars to create a regulated marijuana market.