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Thursday, November 5, 2026Nov 5

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Giving the gift of green in the “District of Cannabis”

In this Sept. 11, 2017, photo, jars of marijuana buds are displayed in Washington at a closed Ethiopian restaurant at a "gifted" marijuana event. In the so-called “District of Cannabis” it’s legal to grow and consume marijuana, but illegal to buy or sell it. The result of this unique legal grey area has spawned a thriving cottage industry of businesses using the “gifting” loophole. So far the city government and police are letting it happen. (AP Photo/P. Solomon Banda)
In this Sept. 11, 2017, photo, jars of marijuana buds are displayed in Washington at a closed Ethiopian restaurant at a "gifted" marijuana event. In the so-called “District of Cannabis” it’s legal to grow and consume marijuana, but illegal to buy or sell it. The result of this unique legal grey area has spawned a thriving cottage industry of businesses using the “gifting” loophole. So far the city government and police are letting it happen. (AP Photo/P. Solomon Banda) In this Sept. 11, 2017, photo, jars of marijuana buds are displayed in Washington at a closed Ethiopian restaurant at a "gifted" marijuana event. In the so-called “District of Cannabis” it’s legal to grow and consume marijuana, but illegal to buy or sell it. The result of this unique legal grey area has spawned a thriving cottage industry of businesses using the “gifting” loophole. So far the city government and police are letting it happen. (AP Photo/P. Solomon Banda)

WASHINGTON (AP) – In the District of Columbia, an ordinary black t-shirt can cost $45 and a baseball cap can cost $50. That’s because both purchases come with a free “gift”–a small amount of marijuana.

In the so-called “District of Cannabis” it’s legal to consume marijuana, but illegal to buy or sell it. The result of this unique legal grey area is a thriving industry of businesses using the “gifting” loophole. So far the city government and police are letting it happen.

A legalization initiative passed overwhelmingly in 2014, but Congress, which oversees the D.C. city government, blocked the city from regulating or taxing marijuana sales. The results are mixed: marijuana enthusiasts are certainly happy, but legalization activists are unsatisfied and the city council is annoyed at all the lost potential tax revenue.