Mayor Backed Bill Would Let D.C. Breweries And Distilleries Produce Medical Cannabis Beverages

A new D.C. bill seeks to turn cannabis into a category that’s more CPG-like and less plant-touching business that’s strictly controlled, amid the U.S. tightening cannabinoid rules nationwide.

What Happened

Washington Mayor Muriel Bowser recently requested a policy change to allow local breweries and distilleries to manufacture THC-infused drinks for sale at licensed dispensaries in the nation’s capital.

The Medical Cannabis Beverage Product Amendment Act of 2026, introduced by District of Columbia Chairman Phil Mendelson on April 2 on Mayor Bowser’s behalf, allows licensed medical cannabis manufacturers to create alcohol-free, cannabis-infused beverages.

Sales directly to consumers through breweries, distilleries, or conventional retail, including grocery stores, bars, and restaurants, remain illegal under the new proposal. All beverages are to undergo mandatory testing by a DC-licensed laboratory before retail distribution, the bill stipulates.

The bill offers structured licensing and low entry cost, with a minimum annual licensing fee for a medical cannabis beverage production endorsement of $500. The tax would be 6% on total sales of medical cannabis and related products.

Why It Matters

The policy change will create a partnership model instead of direct market entry by allowing alcohol companies (Class A/B license holders) to produce cannabis beverages without full cannabis licenses.

It simultaneously eases manufacturing hurdles in the medical cannabis sector while creating new revenue opportunities for D.C.’s craft beverage producers.

That said, lower barriers lead to more players and faster category growth.

Mayor Bowser stated in a press release that this bill would help “keep business in DC.”

“We have fantastic local brewers and distillers in our city, we have a robust medical cannabis market, and this is a new opportunity for those two markets to collaborate and create a safe and smoke-free alternative for patients in DC,” Bowser said.

The new bill comes amid a federal crackdown on hemp, which threatens to treat nearly 90–95% of hemp-derived cannabinoid products as illegal by late 2026. This effectively makes it risky for non-compliant material to be moved interstate or exported, directly affecting supply.

To that end, the new D.C. bill allows federally compliant cannabinoids (0% THC) to be imported by licensed medical cannabis producers or growers for a $1,000 annual fee. For operators, this particular provision translates to better margins and more consistent production.

The DMV Corridor Is Watching

For MSOs already active across the DMV corridor — including Curaleaf Holdings (OTC:CURLF), Green Thumb Industries (CSE:GTII) (OTC:GTBIF), Verano Holdings (OTC:VRNO), and Cresco Labs (CSE:CL) (OTCQX: CRLBF), all operating in neighboring Maryland and Virginia — DC’s beverage bill is a policy signal worth tracking. As the District moves toward a more CPG-friendly framework, operators positioned along its borders may find the model relevant as cannabis regulation continues to evolve across the region.