North Carolina Panel Recommends Legalizing and Regulating Adult Cannabis

Advisory council finds $3 billion in annual black market sales, calls for consumer protections

Apr. 7, 2026 at 11:31pm

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A vibrant, abstract painting of overlapping, fragmented shapes in shades of green, blue, and purple, conveying the dynamic and rapidly evolving nature of the legal cannabis industry.An advisory council's recommendations to legalize and regulate adult-use cannabis in North Carolina could disrupt the state's thriving black market and generate new tax revenue.Today in Raleigh

A North Carolina state advisory council created by Democratic Gov. Josh Stein is recommending that lawmakers establish a legal, regulated marijuana and hemp market for adults. The council's interim report found that North Carolina residents spent approximately $3 billion on illegal marijuana in 2022, ranking the state second in the nation for black market cannabis activity.

Why it matters

The council's recommendations aim to create a safe, legal cannabis market that protects consumers and generates tax revenue for the state, rather than allowing the unregulated black market to continue dominating the industry. Legalization could also enable criminal justice reforms around past marijuana convictions.

The details

The advisory council was created by Gov. Stein in June 2025 to examine the feasibility of legalizing and regulating adult-use cannabis in North Carolina. Its interim report found that states with regulated adult-use markets have generated between $33 million and $552 million in annual tax revenue. The council recommended consumer protections such as low-THC product options, expanded health warnings, and recall authority. The next phase of the council's work will examine regulatory structure, criminal justice reform, and federal compliance, with a final report due in December 2026.

  • The advisory council was created by Gov. Stein in June 2025.
  • The council released its interim report in April 2026.
  • A final report is due in December 2026.

The players

Josh Stein

The Democratic governor of North Carolina who created the advisory council in June 2025.

North Carolina Advisory Council on Cannabis

A state-appointed panel tasked with examining the feasibility of legalizing and regulating adult-use cannabis in North Carolina.

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What they’re saying

“Our state's unregulated cannabis market is the wild west and is crying for order. Let's get this right and create a safe, legal market for adults that protects kids.”

— Josh Stein, Governor of North Carolina

What’s next

The advisory council will next examine regulatory structure, criminal justice reform, and federal compliance, with a final report due in December 2026.

The takeaway

North Carolina's move to legalize and regulate adult-use cannabis could generate significant tax revenue for the state, while also providing consumer protections and enabling criminal justice reforms. The recommendations aim to transition the existing black market to a safe, legal market that benefits both consumers and the state.