On November 5, 2024, Kim Rivers of Trulieve Cannabis waited to determine if her company’s $50 million investment in Amendment 3 would pass—receiving only 55.9% “yes” votes. Still, the amendment failed to reach the 60% supermajority required. In April of that year, Rivers and the attendees of the Benzinga Capital Conference could not have anticipated this result.

Getting Amendment 3 on the Ballot

Based in Quincy near Tallahassee, Florida, Trulieve spearheaded the initiative to get Amendment 3 on the ballot. Under Rivers’ guidance, the company spent $50 million in April to secure the 1 million signatures necessary. After this notable achievement, Rivers was confident to attend a marijuana investment conference as the reason why voters would have the chance to authorize a commercial recreational marijuana industry in the state of Florida.

Trulieve’s Growth and Prominence in Florida

Since its founding in 2015 and the approval of commercial medical marijuana in Florida in 2016, Trulieve has undergone dramatic growth. By store count, the company stands as the largest legal marijuana business in the world, with 200 stores across several states. Trulieve owns 136 of the 638 marijuana dispensaries in Florida, 61 more than its closest competitor. This company would be in charge of recreational legalization.

Opposition to Marijuana Legalization

Unfortunately for Trulieve and the rest of the marijuana industry, several anti-legalization groups and Governor Ron DeSantis have expressed disapproval. Though national marijuana movements have been prone to success, mainly due to their ability to outspend their opponents, this sort of opposition makes a significant difference. 

In addition, Florida’s 60% voter approval threshold is not something other recreational legalization measures have had to overcome.

“You should be able to be on the beaches, you should be able to walk down the street, you should be able to be in public places without having this permeate everywhere,” DeSantis noted concerning Amendment 3. “There is nothing in this amendment that restricts the use of marijuana in public.”

Does Florida Already Have Safeguards?

Proponents of recreational marijuana legalization have pointed out that Florida already has guardrails in place for medical marijuana use, and there are several examples to borrow from in other states. Leaders like Rivers see little reason why these restrictions would not continue to function for recreational marijuana use. 

“Those rules would apply to, and we would expect those rules to apply to the adult use marketplace as well,” Rivers said. “So we have a framework in place. We’re not building from scratch.”

Plans for Legalization Remain in Place

As of the end of April 2024, Trulieve retained $327 million in cash to help fund the pro-pot campaign in Florida or capitalize on a sudden legal market. With this in May, Rivers told investors that Trulieve was well-positioned for the coming years. 

“I wouldn’t trade hands with anyone in the industry,” she said. We intend to remain out front in Florida, so I will tell you that I feel very optimistic.”

While the legalization of recreational marijuana use may not have come to pass last year, cannabis companies like Trulieve will likely get a similar initiative back on the ballot in the future.