SOUTH AVIS — Local medical marijuana manufacturer and retailer Terrapin is lauding the Trump Administration’s move to reclassify the product as a less-dangerous drug.

On Thursday, United States Acting Attorney General Todd Blanche signed an order reclassifying state-licensed medical marijuana as a Schedule III drug. Prior to this, it was recognized as a Schedule I drug, which is reserved for drugs without medical use and with high potential abuse.

The Associated Press reported the Trump administration indicated it would be jump-starting the process to reclassify marijuana more broadly, setting a hearing late June.

According to the AP, the action will largely legitimize medical marijuana programs in 40 states that have adopted them. It also sets up an expedited system for state-licensed medical marijuana producers and distributors to register with the U.S. Drug Enforcement Administration.

Terrapin, which has a manufacturing facility in South Avis and dispensaries in Woodward Township, Lewisburg and Bellefonte, called the move “the most consequential federal cannabis policy development in the history of our industry, finally validating the critical healing benefits Terrapin and patients have always known.”

It further said the change eliminated the “wait and see” era.

“Harrisburg must now act decisively to legalize cannabis, protecting patients and securing the Commonwealth’s economic future,” a release from Terrapin said.

Terrapin’s Founder and CEO Chris Woods noted this opens the opportunity for state leaders to act.

“The federal government has finally caught up to the reality on the ground, but Pennsylvanians need their own leaders to act,” said Woods. “Pennsylvania lawmakers must break the logjam on legalization immediately. There are responsible bipartisan and bicameral bills — specifically SB120 and HB20 — along with efforts to ensure regulations in the Keystone State mirror federal hemp standards. There is no longer any excuse for delay; it is time to deliver the comprehensive cannabis framework that Pennsylvanians deserve.”

Terrapin’s release also said the change for state-regulated medical marijuana to a Schedule III meant the federal government was acknowledging the science and the state programs that have served communities over the years.

“This order provides immediate clarity to researchers, patients and providers while effectively ending the era of punitive federal tax treatment,” the release said. “Effective immediately, medical cannabis businesses will finally be treated like any other legitimate industry when it comes to federal taxes, allowing for the reinvestment and growth necessary to continue serving our patient base.”

Terrapin called this change “the ultimate springboard” for progress on the state level.

“Pennsylvania now has a historic opportunity to build on this order by passing comprehensive cannabis legalization and regulation that moves beyond the status quo and aligns with widespread public support,” the release said. “Harrisburg can finally acknowledge that prohibition has failed and unlock the full economic and social potential of a modernized, fully legalized and regulated cannabis industry that provides safe access for all adults.”

Terrapin’s release notes Gov. Josh Shapiro and lawmakers on either side of the political aisle have previously pledged to lower the cost of living for Commonwealth residents. It said regulating cannabis “is a direct path to deliver on that promise.”

The company stated a fully regulated framework could potentially generate $420 million in new annual tax revenue, $2.1 billion in first-year sales and $4.2 billion in total economic output.

“Furthermore, it would create more than 33,350 jobs across retail, cultivation and related industries — especially in rural areas. This revenue would shore up critical state funding for infrastructure, education and public services,” the release said.

Terrapin also acknowledged the Trump administration’s plans to expand upon this reclassification.

“While today’s order provides immediate relief and recognition, the DOJ has also initiated an expedited administrative hearing process, beginning June 29, 2026, to consider the broader status of marijuana under federal law,” the release said. “Terrapin remains committed to working with the Shapiro administration and the General Assembly to ensure Pennsylvania remains a leader in the cannabis industry, prioritizing patient access, safety and economic growth.”