Trump’s DEA Nominee Remains Vague on Cannabis Rescheduling Amid Senate Scrutiny

Terrance Cole’s Confirmation Hearing Fails to Clarify Federal Cannabis Policy Under New Administration

President Donald Trump’s latest nominee to head the U.S. Drug Enforcement Administration, Terrance Cole, has provided no clear indication on whether he would support the long-anticipated rescheduling of marijuana under federal law. His written and oral responses during and after his Senate Judiciary Committee hearing have left cannabis policy observers and industry stakeholders with more questions than answers.

Cole, who has a history with the DEA and most recently served as homeland security chief under Virginia Governor Glenn Youngkin, testified before the Senate panel on April 30. In the following week, senators sought further clarification on his stance toward cannabis reform, particularly the rescheduling process initiated during President Joe Biden’s first term.

Cannabis Industry Watches Closely as DEA Leadership May Determine Fate of Rescheduling Process

The marijuana industry has been in a state of suspended anticipation since President Biden initiated a review of cannabis scheduling in October 2022. This review resulted in a recommendation by the U.S. Department of Health and Human Services (HHS) in August 2023 that marijuana be moved from Schedule I to Schedule III under the Controlled Substances Act.

Such a shift would mark a pivotal regulatory moment, signaling federal recognition of marijuana’s medical use and allowing cannabis businesses to access tax relief previously unavailable due to Internal Revenue Code Section 280E. However, despite expectations that the Drug Enforcement Administration would follow the health agency’s lead, progress stalled in early 2025 after administrative hearings were paused due to ongoing litigation involving bias claims against the DEA.

With Cole nominated to take the helm of the agency, the cannabis sector was hopeful for a more defined position on whether the agency would honor the HHS recommendation. Instead, Cole committed only to reviewing the matter in detail if confirmed and reiterated his intent to follow all applicable laws and agency protocols.

Nominee Sidesteps Direct Commitment on Cannabis Policy Despite Pressure from Lawmakers

Senators Cory Booker of New Jersey and Alex Padilla of California directly questioned Cole in writing following his initial appearance, urging clarification on the nominee’s stance toward rescheduling. Both Democrats sought assurances that the DEA would defer to HHS’s findings, which concluded that cannabis has accepted medical value.

Cole declined to commit to following the HHS recommendation, instead offering a standard procedural response emphasizing careful internal review, interagency consultation, and adherence to legal requirements. He reiterated this measured language when responding to other regulatory issues, including questions regarding the use of telemedicine for controlled substances.

Rescheduling in Jeopardy as Trump Administration Shows No Active Support for Policy Shift

The ambiguity of Cole’s statements adds to a growing sentiment among advocates that marijuana rescheduling may stall under the current administration unless pushed forward by the White House. The lack of executive direction from President Trump has so far signaled limited interest in prioritizing cannabis reform during his second term.

Biden-era DEA Administrator Anne Milgram came under criticism for not finalizing the rescheduling decision before President Trump took office in January 2025. Some observers viewed her inaction as a missed opportunity to solidify long-awaited changes before a likely shift in federal cannabis priorities.

The fate of rescheduling now appears tied to internal decisions at the DEA, where historical resistance to cannabis reform has been well documented. While Cole has not voiced open opposition, his reluctance to affirm support leaves many anticipating continued delays or outright rejection of the HHS recommendation.

DEA Drug Threat Assessment Signals Ongoing Hostility Toward State-Level Marijuana Legalization

The DEA’s most recent National Drug Threat Assessment, released just days before Cole submitted his written responses to senators, may offer deeper insight into the agency’s current mindset on marijuana policy. In the annual report, the agency outlined a detailed critique of state-level legalization efforts and cited a rise in organized crime activity tied to the cannabis sector.

Specifically, the DEA report accused Chinese transnational criminal organizations of dominating illicit marijuana cultivation across the United States, particularly in states where cannabis is legal for recreational or medical use. The agency claimed that these groups have successfully infiltrated the legal cannabis supply chain and are producing historically potent strains with THC levels ranging between 25% and 30%.

According to the assessment, the legalization of marijuana in 23 states for adult-use and 39 states for medical purposes has coincided with a significant increase in illegal grow operations. The DEA cited examples of criminal organizations “exploiting” the regulated market to expand black market distribution.

Law Enforcement and Federal Agencies Intensify Focus on Chinese-Linked Grow Operations

The DEA’s warnings about foreign criminal networks align with increasing concern among federal and state law enforcement agencies regarding illegal cannabis cultivation. Local authorities in several states, including Maine and Oklahoma, have attributed large-scale illicit grow operations to groups with ties to Chinese nationals.

In Maine, which supports both medical and adult-use cannabis programs, the Department of Homeland Security has claimed there are over 270 illegal grow sites with alleged Chinese connections. Officials say these operations often bypass licensing requirements, undercut legal operators, and pose serious risks to public safety and infrastructure.

The presence of these networks has been cited by some policymakers as justification for delaying or rejecting further cannabis reform. They argue that without stronger federal oversight and law enforcement resources, legal cannabis frameworks are vulnerable to exploitation by organized crime.

Future of Federal Cannabis Policy Hinges on DEA’s Response and Political Will from White House

As the Trump administration continues to take shape in its second term, federal cannabis policy remains in flux. The lack of a definitive statement from Terrance Cole, combined with the DEA’s skeptical assessment of legalization, suggests that rescheduling may not proceed unless President Trump explicitly intervenes to support reform.

Industry leaders, investors, and policymakers alike are awaiting a signal that the federal government is willing to modernize its cannabis policies in line with state laws and public opinion. Until then, the DEA’s next moves under new leadership will determine whether marijuana policy in the U.S. continues its slow evolution—or returns to entrenched resistance.

If Cole is confirmed without a clear mandate to follow HHS’s recommendation, the cannabis sector may face further regulatory limbo, with stalled tax relief, continued criminalization at the federal level, and ongoing challenges navigating an uncertain legal landscape.