North Dakota voters rejected Initiative Measure 5 legalizing recreational cannabis on Tuesday, with those opposed garnering 53.% of the vote, according to AP.

The third time was not the charm for voters in North Dakota to legalize marijuana. Two years ago, a similar measure was also rejected at the ballot box, and another attempt in 2018 also failed. Even though Measure 5 offered a more structured approach to regulation and licensing, it was not enough to gather support. Even a summer poll indicated a tight battle, with most voters not wanting legal weed.

“While we are disappointed that Measure 5 did not pass, Curaleaf remains committed to advocating for responsible cannabis access and education across the country,” Curaleaf’s CURLF chairman and CEO Boris Jordan told Benzinga. “Although this outcome continues to delay the opportunity for legal cannabis in North Dakota, we respect the democratic process and the will of the voters. Curaleaf believes in the potential of cannabis to improve lives and drive economic growth through job creation and tax revenue. As more states across the country embrace reform, we are confident that North Dakota will continue the conversation about cannabis legalization in the future.”

The New Economic Frontier formally launched the campaign in April after filing the initiative with the state. The organization highlighted the financial benefits North Dakota could gain by following neighboring states that have already legalized cannabis.

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Measure 5

Under this measure, adults 21 and older would be allowed to use cannabis at home without punishment. The proposal would have allowed possession of one ounce of cannabis, 4 grams of concentrate and 1,500 milligrams of adult-use cannabinoid products.

“Due to the failure to pass Measure 5, individuals in the state can still face criminal penalties for possession—from a criminal infraction of up to a $1,000 fine to a Class A misdemeanor,” Paula Savchenko Esq., founding partner of Cannacore Group and PS Law Group told Benzinga. “Although criminal charges for cannabis-related offenses have declined since the state implemented its medical cannabis program, over 1,800 arrests were related to cannabis in 2023.”

According to her, with medical cannabis sales at $21.6 million for the state in 2023, adult-use sales could reach $70 million within its first year of operations and acquire up to $115 million by its fourth year. She stressed that “the state has forgone the potential tax revenue from the program, which could have supported public services such as health, infrastructure and education.”

Savchenko pointed out that it is unlikely any other legalization effort will make it through the legislature, which means that voters will not be able to legalize adult-use cannabis until the next general election in 2026.

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Industry Reactions

Leafwell CEO Emily Fisher told Benzinga, “Leafwell is disappointed that North Dakota did not support Measure 5, which would have expanded responsible access to cannabis for adults. We remain committed to educating and guiding North Dakotans on safe cannabis care and will continue to work toward increased access and regulation in the state.”

Gurpreet (Pete) Sahani CEO of The Blinc Group, commented, “Although this vote did not result in the legalization of recreational cannabis, the push for reform is far from over. Cannabis has already become a part of the national conversation, and North Dakota’s progress toward legalization will continue. Advocates will keep pushing for a legal framework that promotes responsible use, economic growth, and social justice, ensuring this effort returns stronger in the next election cycle.

Louis Samuel, CEO of Golden State Canna, said “For the third time the voters of North Dakota have decided that the nickname they hold on their license plates, ‘The Peace Garden State’ excludes the plant more associated with Peace than any other. Measure 5 provided an opportunity to overcome past failures of initiative and increase liberty in the state, but instead the voters of North Dakota have chosen to place tradition over progress and keep a shadow over their garden.”

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Photo: Courtesy of CRYSTALWEED cannabis on Unsplash