Pennsylvania stands at a pivotal moment in cannabis reform as two bipartisan bills emerge to as more attempts to legalize recreational marijuana for adults. Senate Bill 120 and House Bill 20 are the most detailed attempts yet to bring adult-use cannabis to the Pennsylvania, each offering distinct approaches to regulation, taxation, and social equity.

These legislative efforts come at a time when Pennsylvania finds itself surrounded by states that have already embraced recreational cannabis legalization. With 24 states now permitting its use—including nearly all of Pennsylvania’s neighbors—the momentum for reform has never been stronger.

Senate Bill 120: The Laughlin-Street Approach

Senator Daniel Laughlin, a Republican from Erie County, has partnered with Democrat Sharif Street of Philadelphia to introduce Senate Bill 120, a comprehensive cannabis legalization framework that prioritizes regulatory structure and social equity.

The bill establishes the Cannabis Control Board, an independent regulatory body that would oversee both recreational and medical marijuana programs. This consolidated approach aims to streamline oversight while maintaining rigorous standards for public safety and product quality.

Under SB120, adults 21 and older would be permitted to possess up to 30 grams of cannabis flower, 1,000 milligrams of THC in infused products, and 5 grams of cannabis concentrate. The legislation includes strict age verification requirements for all purchases and maintains robust penalties for underage use or public consumption.

The regulatory framework emphasizes seed-to-sale tracking, ensuring every cannabis product can be monitored from cultivation through retail sale. Licensed businesses would operate under comprehensive security protocols, with regular inspections and strict inventory management requirements.

Senator Street has emphasized that the bill addresses historical injustices through expungement provisions for non-violent cannabis offenses and creates meaningful opportunities for small and minority-owned businesses to participate in the legal market. Communities disproportionately impacted by prohibition would receive priority consideration for licenses and access to grants and loans.

House Bill 20: The Kinkead-Major Alternative

Representative Emily Kinkead, a Democrat, has joined forces with Republican Representative Abby Major to introduce House Bill 20, which establishes the Keystone Cannabis Authority instead of the Cannabis Control Board proposed in the Senate version.

HB20 creates a Community Opportunity Fund designed to support social and economic equity initiatives. The bill sets possession limits at 2.5 ounces of cannabis flower, 1,000 milligrams of THC in cannabis-infused products, and 15 grams of cannabis concentrate—slightly more generous than the Senate proposal.

The House bill includes comprehensive provisions for cannabis business establishments, covering cultivation, processing, dispensing, and transportation. Like its Senate counterpart, HB20 mandates laboratory testing for all products and establishes strict advertising, marketing, packaging, and labeling requirements.

Both bills incorporate cannabis clean slate provisions, automatically expunging certain marijuana-related convictions while creating pathways for individuals to clear their records of non-violent cannabis offenses.

Tax Structure and Revenue Allocation

The two bills propose different approaches to cannabis taxation and revenue distribution. SB120 would impose an 6% sales tax and 8% excise tax on cannabis products, while HB20 suggests an 8% sales tax and 5% excise tax structure for recreational cannabis in Pennsylvania.

Revenue from cannabis taxes would support various programs under both proposals. SB120 allocates funds to the Cannabis Control Board for operations, public safety initiatives, medical marijuana assistance programs, drug addiction prevention, workforce development, and the state’s general fund.

HB20 proposes a more detailed revenue distribution model, directing 30% of funds to the Community Opportunity Fund for social equity programs, 10% to municipalities where cannabis businesses operate, and portions to agricultural innovation, medical cannabis patient assistance, and various state departments.

Governor Josh Shapiro’s proposed budget calls for a 20% wholesale and retail sales tax on legalized marijuana sales, which would generate an estimated $540 million annually in the first year. This projection highlights the significant revenue potential that cannabis legalization could bring to Pennsylvania.

Social Equity and Community Reinvestment

Both bills recognize that cannabis prohibition has disproportionately affected certain communities and include provisions to address these historical inequities. Priority licensing for businesses in disproportionately impacted areas represents a key component of both proposals.

SB120 establishes grant and loan programs specifically for small businesses and applicants from communities most harmed by prohibition. The legislation requires that license applications include diversity plans and community engagement strategies.

HB20 goes further by creating the Office of Social Equity within the Keystone Cannabis Authority, dedicated to promoting full participation by individuals from communities disproportionately harmed by cannabis prohibition. The bill includes fee waivers for social equity applicants meeting certain income thresholds.

Regulatory Framework and Business Operations

Both bills establish regulatory frameworks for cannabis businesses. Licensed cultivation centers would operate under strict security protocols, with mandatory video surveillance, restricted access areas, and detailed inventory tracking systems.

Both proposals require dispensaries to source cannabis only from licensed Pennsylvania cultivators and processors. Operating hours are limited to 8 a.m. to 10 p.m. under SB120 and 6 a.m. to 10 p.m. under HB20. Local municipalities can impose additional restrictions.

The bills include provisions for various business types, including cultivation centers, micro-cultivation facilities, dispensaries, and transportation services. Each category would operate under specific licensing requirements and regulatory oversight.

Both legislative proposals include important employment protections for cannabis users. Employers would be prohibited from discriminating against employees solely based on their status as certified medical cannabis users, though safety-sensitive positions would maintain drug testing requirements.

The bills clarify that legal cannabis use cannot be the sole basis for child welfare proceedings unless it creates an unreasonable danger to a child’s safety. Landlords would be protected from penalties for leasing to legal cannabis users.

Public safety remains a priority in both bills. Strict rules would ban marketing cannabis to children, with severe penalties for violations. Public consumption would remain prohibited.

Both proposals maintain existing protections for employers to enforce drug-free workplace policies and prohibit operating vehicles or engaging in safety-sensitive activities while under the influence of cannabis.

Medical Cannabis Program Integration

Current medical marijuana permit holders would benefit under both proposals, with opportunities to expand into the adult-use market. The bills consolidate medical cannabis oversight under the same regulatory bodies managing recreational programs.

Both SB120 and HB20 transfer certain powers and duties from the Department of Health to their respective regulatory boards, streamlining oversight while maintaining patient protections and access to medical cannabis.

Looking Forward to Pennsylvania’s Recreational Cannabis Future

The introduction of these two bipartisan bills represents significant progress toward cannabis legalization in Pennsylvania. Senate Majority Leader Joe Pittman stated that marijuana legalization will not be part of the 2026 budget. However, the bipartisan support for both proposals shows growing political momentum.

Recent polling shows that Pennsylvania voters favor a model where cannabis is sold by licensed private businesses rather than through state-run stores, which was a major reason why another attempt at recreational cannabis in the state that failed earlier this year with HB1200.

Both SB120 and HB20 align with this preference, establishing frameworks for private cannabis businesses operating under strict regulatory oversight.

The success of these bills could position Pennsylvania as a leader in comprehensive cannabis reform, particularly regarding social equity and community reinvestment. As surrounding states continue to reap the benefits of legalization, Pennsylvania lawmakers face increasing pressure to act on these proposals.

Both bills demonstrate that cannabis legalization has evolved beyond partisan politics to become a bipartisan policy priority. The comprehensive nature of these proposals suggests that Pennsylvania is ready to join the growing number of states that have embraced cannabis reform while maintaining rigorous standards for public safety and social equity.

The coming months will be crucial as these bills advance through the legislative process. With strong bipartisan support and growing public approval, Pennsylvania appears closer than ever to ending cannabis prohibition and establishing a regulated market that serves both economic and social justice goals.