Chocolate City Wellness fourth dispensary to face closure, Maryland reports $18.4M in Q2 cannabis taxes

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Chocolate City Wellness, latest D.C. medical dispensary to face closure

Chocolate City Wellness, a popular cannabis shop that transitioned into a licensed dispensary earlier this year, was raided and closed by MPD and DEA on Sept. 10. Two people were arrested, and products including cannabis, vapes, edibles, and mushroom pills were seized. The Alcoholic Beverage and Cannabis Board has not yet released a statement. Chocolate City Wellness is the fourth licensed dispensary to be shut down for violations since April.

Maryland nets $18.4M in cannabis tax revenue for Q2 2025

Maryland collected $18.4 million in cannabis sales tax revenue between April and June 2025, with the Central Region, including Baltimore City and Anne Arundel County, contributing the largest share. At the time, adult-use cannabis was taxed at 9%, but that rate increased to 12% on July 1 under the state’s Budget Reconciliation and Financing Act to further support the General Fund. Of the Q2 revenue, nearly $9.8 million went to the Maryland Cannabis Administration, while the remainder was distributed to community reinvestment, public health initiatives, business assistance, local governments, and the state’s General Fund.

  • The Maryland Office of Social Equity will host a CRRF Virtual Townhall on Sept. 17 at 11 A.M. to highlight key insights from the 2024 Community Reinvestment and Repair Fund Report.
  • An appellate court in Maryland ruled that delta-8 and delta-10 THC products are illegal in the state, stating that they have “always been illegal,” despite previously lax enforcement.

ICYMI: D.C. Board denies Ward 5 protest, Maryland workers rally, and Virginia’s legal market hangs in the balance

East Coast Roundup

New York agreed to a temporary court order blocking changes to how cannabis dispensary distances from schools and houses of worship are measured. State leaders plan to amend the law to let affected businesses remain at their licensed locations.

The 2nd U.S. Circuit Court of Appeals ruled that New York’s cannabis licensing system, which gives priority to in-state applicants with prior marijuana convictions, violates the Dormant Commerce Clause. The decision highlights that state programs favoring local applicants over out-of-state applicants may be unconstitutional, even in the legal cannabis market. 

Amish farmers in Pennsylvania’s Lancaster County embraced hemp cultivation since its legalization in 2019, producing organic CBD products like oils and edibles that have led to multimillion-dollar sales.

Rhode Island is offering up to 24 new adult-use cannabis retail licenses, marking the first expansion since legalization in 2022. Applications are open through December 29, 2025, with six licenses reserved for social equity applicants and another six for worker-owned cooperatives. 

Culture & More

The cannabis industry generates significant plastic waste due to regulations requiring tamper-proof, child-resistant, and odor-sealing packaging. While some companies explore glass or biodegradable alternatives, most still rely on single-use plastics, highlighting a growing environmental concern.

Many pregnant and breastfeeding women are using cannabis to manage symptoms like nausea, anxiety, and pain. However, health experts warn that THC can harm fetal development, and they recommend consulting healthcare providers for safer alternatives.

Around the Country 

A central Alabama cannabis grower, Native Black Cultivation, may have to destroy his medical marijuana crop due to the lack of licensed dispensaries. The grower faces $80,000–$100,000 in losses per harvest, though upcoming dispensary license hearings could allow sales by year’s end.

California lawmakers approved a reduction in the state’s cannabis excise tax from 19% to 15%, effective October 1, 2025, aiming to alleviate pressure on the struggling legal cannabis industry. 

710 Labs marijuana products, including flower and pre-rolls, were recalled in Colorado due to contamination with mold and yeast exceeding state safety limits. The affected products were sold at 172 dispensaries across the state between May 21 and September 1, 2025, prompting a health and safety notice from the Marijuana Enforcement Division.

From the swamp

Attorney General Pam Bondi has withdrawn 54 proposed regulations, including rules enabling bipartisan cannabis research and allowing Farm Bill-compliant hemp testing without DEA certification. 

A GOP-led congressional committee voted to prevent the Biden administration from rescheduling cannabis, maintaining its federal classification as a Schedule I substance.

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Find a licensed dispensary near you:

Did you know that the popular “gifting” shop model is no longer allowed under Washington, D.C. regulations? To find a legal medical cannabis provider or adult-use retailer, browse our maps of licensed dispensaries in D.C. and Maryland below:

Find the best legal weed near you:

We’re excited to announce the first edition of our new series, DMV’s Most Wanted, where we highlight the best legal weed products in the DMV, as nominated by our readers.

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