Pennsylvania House Advances Bill for State-Run Cannabis Stores

Democrats in the Pennsylvania House have moved forward with a bill that would allow recreational cannabis sales through state-run stores. This is a new approach that hasn’t been tried in any other U.S. state and could face legal challenges.

Supporters believe this model—similar to how the state sells alcohol—could help generate more public revenue. They say it would fund programs like social equity efforts, tax credits, and other public services.

Advocates also say state-run stores could prevent large cannabis companies from taking over the market and help protect public health through stricter oversight.

But not everyone agrees. Cannabis industry leaders worry the state-store system would be too complicated. They argue that the current medical cannabis system already works well.

Critics also raise legal concerns. Since cannabis is still illegal under federal law, state employees selling it could be at risk.

The bill was introduced by Democratic Reps. Rick Krajewski and Dan Frankel. It passed the House Health Committee in a narrow 14-12 vote, with no Republican support.

Some Republicans said they didn’t have enough time to review the 200-page bill. The text was only introduced two days before the vote.

Rep. Kathy Rapp, a Republican, criticized the rushed process. She acknowledged past hearings on cannabis but said the legislation needed more time and discussion.

A Republican attempt to delay the vote failed along party lines.

Krajewski said the state should prioritize cannabis legalization before the June 30 budget deadline. He said it could bring in hundreds of millions in revenue for things like public transit.

A vote by the full state House is expected soon. If it passes, the bill will go to the Republican-led Senate.

Democratic Sen. Sharif Street supports cannabis legalization but favors using existing dispensaries, not state stores. He doubts the Senate has enough support for the state-run model.

Still, Street called the bill a positive first step. He said the Senate may revise the plan but that it could still lead to legalizing adult-use cannabis in Pennsylvania.

Frankel said he hopes Senate Republicans will work with Democrats on the issue. He believes the bill addresses public health, social equity, criminal justice, and state revenue concerns.

Some key Senate Republicans remain opposed or undecided. But former GOP lawmakers suggest the final decision could come down to economics.

There are also different views among Democrats. Rep. Emily Kinkead supports legal cannabis but wants to use the current medical system with new rules.

Her proposal would let existing dispensaries sell recreational cannabis but limit them from opening new locations. Most new licenses would go to social equity applicants.

Kinkead said her bill includes input from both parties and focuses on lessons from other states that have legalized cannabis through private markets.

She warned that trying a state-run model could create unknown risks and challenges.

Kinkead’s bill already has a Republican co-sponsor, Rep. Abby Major.

Some in the cannabis industry say they feel left out of the current proposal. Meredith Buettner of the Pennsylvania Cannabis Coalition said the bill lacks strong inclusion of existing businesses.

Still, she sees the vote as progress and believes the Senate will push for changes.

The bill would also create licenses for cannabis growing and small on-site consumption businesses like cafés and lounges.

At least half of those licenses would go to people impacted by past cannabis arrests or from communities harmed by cannabis laws.

It also proposes grants and loans to help these entrepreneurs get started.

Some advocates say the bill still doesn’t do enough to support Black communities and local small businesses trying to enter the cannabis market.

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