Lawmakers across at least 19 states have introduced legislation this year to regulate or ban hemp-derived cannabinoid (HDC) products, prompted by rising concerns over safety, sales to minors, and the consequences for regulated cannabis markets. The 2018 Farm Act legalized hemp containing less than 0.3% delta-9 THC and its derivatives. In the absence of a new Farm Bill to address other intoxicating cannabinoids, state governments feel the urgency to regulate a rapidly expanding and unregulated industry.
Currently, 42 states, along with Puerto Rico and the U.S. Virgin Islands, have established laws or executive orders governing HDCs, imposing severe restrictions or outright bans. This year, states such as Nebraska, Illinois, Mississippi, Ohio, and North Carolina are set to position new hemp regulations. Some states propose outright bans on HDC products, while others are focused on tightening existing regulations.
Fast-Moving Legislation in Key States
Several bills aiming to ban nearly all HDC products are progressing swiftly in Mississippi, New Mexico, Georgia, and Texas. For example, Mississippi’s HB 1502 would prohibit finished consumable hemp products with more than 0.3% delta-9 THC and any amount of delta-8, delta-10, and other cannabinoids, mandating licensing by the Department of Health for retailers, wholesalers, manufacturers, and processors. As of March 27, this bill was under conference committee review.
In New Mexico, the state legislature has passed a near-total HDC ban through HB 346, which prohibits synthetic and semi-synthetic cannabinoids, limiting finished products to a maximum of 0.3% THC and requiring licensing for manufacturers. Georgia’s recent legislative efforts, led by Sen. Bill Cowsert through SB 254, aim to further restrict consumable hemp products, including limits on total THC per serving.
In Texas, SB 3, which successfully passed the Senate, targets consumable products containing cannabinoids other than CBD and cannabigerol (CBG), necessitating licenses for their sale. Lt. Gov. Dan Patrick emphasized the importance of this legislation to protect public safety and keep dangerous products out of children’s hands.
Regulatory Efforts in Other States
States such as Nebraska and Illinois are also pursuing regulatory measures for HDC markets. In Nebraska, Sen. Kathleen Kauth has introduced LB 316, which seeks to define legal hemp with a maximum of 0.3% total THC and restrict the possession and sale of intoxicating HDCs, pending the approval of the USDA for growers. Attorney General Mike Hilgers is proactively addressing sales in Nebraska, sending cease-and-desist letters to retailers selling products allegedly exceeding legal THC limits.
In Illinois, HB 1 mandates licensing for consumable hemp businesses, while HB 64 proposes specific rules for HDCs, including prohibitions on sales to individuals under 21. Ohio is exploring legislative frameworks through bills HB 160 and SB 86, both proposing to regulate HDCs over 0.3% THC in licensed dispensaries.
California’s Continued Restrictions
California has extended its ban on all consumable hemp products with even trace amounts of THC. In March, the California Department of Public Health reaffirmed the necessity of these emergency regulations, stating that they remain essential for public safety. Assemblymember Cecilia Aguiar-Curry introduced AB 8, which would allow HDC products to be sold in licensed cannabis shops, arguing that current restrictions have negatively impacted the consumable hemp industry.
Efforts to Align HDC Markets with Cannabis Regulations
As states strive to regulate intoxicating cannabinoids, others are actively working to integrate HDC products into legal cannabis markets. New York’s proposed Bill A 4574 would allow licensed cannabis businesses to sell HDC products. Arizona’s SB 1702 outlines licensing requirements for manufacturers and retailers while clarifying that all THC-infused edible products must be sold in licensed marijuana establishments.
While efforts to regulate HDC products vary across states, a more moderate approach is evident in states like Tennessee, which is considering multiple bills that restrict HDCs without imposing an outright ban, and Florida, where two bills focus on limiting delta-9 THC levels in products.
Despite the complexities and market implications, Mississippi’s engagement in these national discussions positions it as a critical player in shaping the future of the hemp and cannabis industry.