Arizona Passed Budget Bill to Fund Psilocybin Research | Mr. Cannabis Law

Arizona Passed Budget Bill to Fund Psilocybin Research: What’s Next?

Arizona has signed into law a budget bill that includes provisions to fund $5,000,000 of research relating to psilocybin for various indications for fiscal year 2023-2024. So what happens next?


First, a “psilocybin research advisory council” will be created that consist of the following: (1) the director of the department of health or his/her designee; (2) a military veteran; (3) a law enforcement officer of Arizona; and (4) a professor or researcher from a university under the jurisdiction of Arizona board of regents who specializes in clinical research or psychedelic studies.

Second, the psilocybin research advisory council will establish criteria for the clinical trials that qualify to receive the grants. To be considered for the grant, the clinical trials must (1) use whole mushroom psilocybin (not synthetic mushroom psilocybin); (2) be for a phase one, phase two, and phase three clinical trial that is capable of being approved by the FDA; and (3) evaluate the effects of whole mushroom psilocybin on treating one of the following indications: PTSD, symptoms associated with long COVID-19, depression, anxiety disorders, symptoms associated with end-of-life distress, obsessive compulsive disorder, substance abuse and addiction disorders, eating disorders, chronic pain, inflammatory disorders, eating disorders, autoimmune disorders, seizure disorders, or other degenerative disorders. The clinical trials should prioritize (1) using whole mushroom psilocybin cultivated under a schedule I license issued by the DEA; and (2) using veterans, first responders, frontline health care workers and persons from underserved communities as the research subjects.

Third, the department of health services will announce the opening of the application process at least 30 days before applications are available and allow at least thirty days for applicants to complete their submission.


Fourth, the psilocybin research advisory council will oversee the application process and review applications for the clinical trial research grants to assist the director of the department of health in selecting the most credible clinical trials to award the research grants. The grants will be awarded no later the February 1 each year.


Fifth, on or before June 1 of each year, the psilocybin research advisory council will make recommendations to the governor, the speaker of the house of representatives, the president of the senate and the department of health on psychedelic-assisted therapy based on current federal and state research policy.