State Treasurer Larry Pack has not spent $34 million collected from the state's medical marijuana program due to federal concerns about marijuana's classification as a Schedule I narcotic, which puts the legal status of the funds in limbo. The Treasurer's Office is working on a resolution, which may be influenced by a potential federal reclassification of marijuana to a Schedule III drug, though the timeline for any decision remains uncertain.

West Virginia Leaves Medical Cannabis Revenue Unspent Due to Federal Worries

Jan 26, 2026

Source:

Marijuana Moment

West Virginia is currently sitting on a massive $34 million stockpile of cash generated from its medical cannabis program, and surprisingly, none of it has been spent. While the state’s medical market is up and running, State Treasurer Larry Pack has kept these funds—earmarked for addiction treatment and research—in a state of perpetual limbo. The hang-up stems from federal banking fears related to marijuana's Schedule I status, even though neighboring states like Maryland and Ohio have already successfully navigated these hurdles to put their tax dollars to work.

There is a glimmer of hope that federal rescheduling to Schedule III could finally unlock the vault, but for now, the state is just waiting. For local tokers and patients, this is a frustrating example of how bureaucratic hesitation can stall the community benefits that legalization is supposed to provide. Ensuring these millions are actually reinvested into health and research is vital for the long-term legitimacy and growth of the industry, proving that cannabis can be a powerful tool for positive social change rather than just a source of unspent tax revenue.