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Texas Retailers Say Hemp Product Ban Will Be ‘Devastating’ For Businesses Across The State

Published
4 weeks agoon

“This fight is not over, and we’ll keep fighting to ensure that your businesses, your livelihoods, and this community survive.”
By Stephen Simpson, The Texas Tribune
Sydney Torabi, co-founder of Austin-based Restart CBD, could only watch in disbelief late Wednesday night as the Texas House delivered a key vote to push through a ban on all products containing THC, essentially stripping her of a significant piece of her livelihood by this fall.
“My jaw dropped. I didn’t understand the outcome,” said Torabi, who started her business with her sister seven years ago.
Senate Bill 3 by Sen. Charles Perry, a Lubbock Republican who also carried the 2019 hemp legalization bill that created the THC proliferation, would penalize violators who knowingly possess hemp products with any amount of THC with a misdemeanor that can carry up to a year in jail. Those who manufacture or sell these products would face up to 10 years in prison. The measure is a few procedural steps away from going to Gov. Greg Abbott’s (R) desk.
As of April 2024, Texas had over 7,000 registered hemp sellers. The state’s hemp industry is estimated to employ more than 50,000 people and generate $7 billion in tax revenue annually, according to a study done by Whitney Economics. However, with THC-containing hemp products, like gummies, drinks, lotions, clothing, coffee, and much more, slated to be criminalized by Sept. 1, retailers are telling The Texas Tribune they plan to close shop, ship their product out in mass, or stay open and be declared a drug dealer by the state while they fight the issue in the courts.
“It’s devastating,” Torabi said, adding that she was disheartened that other bills had been held hostage until Senate Bill 3 was passed. “That is the saddest part. [Lt. Gov. Dan Patrick (R)] used people against people and surprised everyone.”
This session, Patrick, who oversees the Senate, has led the charge to ban THC, accusing retailers of preying on susceptible minors by setting up stores near schools and marketing products to children.
“We cannot in good conscience leave Austin without banning THC, which is harming our children, and destroying Texans’ lives and families,” Patrick said in a social media post before Senate Bill 3 passed.
The GOP-controlled Legislature authorized the sale of consumable hemp a year after it was legalized nationwide to boost Texas agriculture by allowing the commercialization of hemp containing trace amounts of delta-9 THC.
What ensued was a proliferation of hemp products sold at dispensaries and convenience stores across the state.
“We are deeply disappointed by the Texas House’s passage of SB 3, a bill that dismantles the legal hemp industry and ignores the voices of small businesses, farmers, veterans and consumers across the state who rely on hemp-derived products for their livelihoods and well-being,” according to a statement from the Texas Hemp Business Council on Thursday. “We urge Governor Abbott to reject SB 3 and protect the tens of thousands of hardworking Texans.”
Hemp manufacturers and retailers had championed to House lawmakers their willingness to adopt stricter oversight and licensing requirements. Lawmakers in the lower chamber initially seemed willing to adopt regulations despite an outright ban, which makes the sequence of events this week feel like a betrayal to many business owners.
“I know there are some people in the House who care. It’s just unfortunate,” Torabi said.
What the future holds for hemp retailers and their customers in Texas now looks different
For Nick Mortillaro, a managing partner at Lazy Daze, a Central Texas-based cannabis coffee shop chain, the ban means moving his business to another state.
“We are looking at potentially closing stores and consolidating and moving staff and inventory to other states like New Mexico, Maryland, and Florida,” he said. “We will, unfortunately, have to retool a lot of shops to different products.”
When California implemented a hemp ban, it led to a rush of retailers holding flash sales to get rid of inventory and customers buying items in bulk. Customers from the state’s robust medical marijuana program helped buy up the product.
Torabi said she doesn’t think her store will try to dump merchandise. There’s not a large enough medical marijuana customer base in Texas to do so.
“They have made small steps to fix the medical marijuana program in Texas, and we need large leaps,” Torabi said. “Medical marijuana is still in its infancy stage and isn’t accessible to many Texans. California had the infrastructure we don’t, so where are we supposed to push our customers who depend on us to?”
Torabi said if the full ban goes through, she would lose “a grand majority” of the products she can legally sell, including gummies, drinks, hemp flower to smoke and delta 8 vape pens. She said it’s almost impossible to have a product without THC in a store like hers.
Some of the most vigorous opposition to the all-out ban on hemp products has come from those who use it for medical purposes. Veterans, parents of kids with mental health or physical disabilities, and the elderly spoke to lawmakers this year about the importance of having easy access to hemp products, not the medical marijuana program.
The Legislature is considering plans to expand the state’s medical marijuana program by April 2026. Even so, some users have said they would strongly prefer to continue buying products at smoke shops, because doing so is cheaper, more accessible, and does not require an expensive and sometimes far-away visit to a medical professional.
Shortly after Wednesday’s House vote, Lukas Gilkey, chief executive of Hometown Hero, a manufacturer of hemp-derived products, said industry leaders would immediately begin preparing a lawsuit to challenge the expected ban, likely on the grounds that it disrupts interstate commerce, similar to arguments made in other court cases across the country.
“This fight is not over, and we’ll keep fighting to ensure that your businesses, your livelihoods, and this community survive,” he said in a social media post.
This strategy might buy retailers some time. A Tennessee judge allowed hemp products to remain on the shelves earlier this year as she worked on arriving on a decision on whether to allow the state to regulate the industry there.
Torabi said she and her sisters are already passing around petitions and speaking with various business councils about how to fight back against the ban, including asking Abbott to veto the bill.
“This will recreate the illicit market as people will be timid or scared,” she said.
Mortillaro is more skeptical and is focused on the future of his employees and customers who rely on them.
“I don’t think the governor will veto. We have signed the petition and support the industry groups, but we are focused on getting to our customers while it’s still legal, helping them stock up, and educating them as long as we are open,” Mortillaro said.
This article originally appeared in The Texas Tribune at https://www.texastribune.org/2025/05/22/texas-hemp-THC-retail-smoke-shop-ban/.
The Texas Tribune is a member-supported, nonpartisan newsroom informing and engaging Texans on state politics and policy. Learn more at texastribune.org.
Photo courtesy of Kimzy Nanney.

Author: mscannabiz.com
MScannaBIZ for all you Mississippi Cannabis News and Information.
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Trump’s VA Head Visits Psychedelics Research Center, Reiterating ‘Promise’ To Explore Benefits For Military Veterans

Published
1 hour agoon
June 18, 2025
The head of the U.S. Department of Veterans Affairs (VA) visited a facility conducting research on psychedelics this week, reiterating that it’s his “promise” to advance research into the therapeutic potential of the substances—even if that might take certain policy changes within the department and with congressional support.
In a video shared on X on Tuesday, VA Secretary Doug Collins talked about his commitment to pursuing clinical trials into substances such as MDMA—standing alongside Rachel Yehuda, the director of mental health at VA’s James J. Peters Veterans Affairs Medical Center who has overseen and advocated for psychedelics research.
“I told you all along that we are looking at psychedelics. We’re looking at anything to help our veterans,” Collins said, while stressing that he acknowledges “there’s no silver bullet for the things we have for trauma and our stress and the incidences of childhood.”
“These are all things that come out in our veterans as they come back from war zones, but also just in everyday life. But you know, sitting here with Rachel and the doctors here, I have found that there’s some things that are working,” the secretary said. “I promised you that we’re going to look into this, and we’re making changes to make it even better so we can make it more available.”
Visited the VA Bronx Health Care System today to have a look at some of the groundbreaking research they are doing regarding potential psychedelic treatments for Veterans. Excellent work! pic.twitter.com/VlbJHH44rA
— VA Secretary Doug Collins (@SecVetAffairs) June 17, 2025
“It’s going to take some change in the VA. It’s going to take some changes in Congress. But it’s a thing that I have said we want to do because we want to take care of veterans,” Collins said, noting that the room they filmed the video in is one of the facilities where MDMA clinical trials are currently underway.
“These are things we’re going to continue. I promise you, we’re going to do it,” he said, telling Yehuda to “keep doing what you’re doing because it is meaningful to our veterans, and I want to thank you.”
Yehuda shared the secretary’s post and said she was pleased to meet Collins and “show what we’ve built at [VA] for our veterans.”
“We’re excited about the expansion of our [Parsons Research Center for Psychedelic Healing] at the VA and the two new studies that have just begun here with MDMA and psilocybin,” she said.
Collins’s visit to the psychedelics research center comes about a month after the VA secretary met with a military veteran who’s become an advocate for psilocybin access to discuss the therapeutic potential of psychedelic medicine for the veteran community.
Collins also briefly raised the issue in a Cabinet meeting with President Donald Trump in April.
The secretary also disclosed in April that he had an “eye-opening” talk with U.S. Department of Health and Human Services (HHS) Secretary Robert F. Kennedy Jr. about the therapeutic potential of psychedelic medicine. And Collins said he’s open to the idea of having the government provide vouchers to cover the costs of psychedelic therapy for veterans who receive services outside of VA as Congress considers pathways for access.
During a recent Senate committee hearing, he separately reiterated his commitment to exploring the efficacy of psychedelic therapy to address serious mental health conditions that commonly afflict military veterans.
Meanwhile last month, bipartisan congressional lawmakers asked the VA head to meet with them to discuss ways to provide access to psychedelic medicine for military veterans.
In a letter sent to Collins, Reps. Lou Correa (D-CA) and Jack Bergman (R-MI)—co-chairs of the Congressional Psychedelic Advancing Therapies (PATH) Caucus—said they were “encouraged by your recent remarks about the importance of pursuing research into psychedelic treatments and other alternative treatments to improve Veterans’ care.”
Correa and Bergman separately introduced a bill in April to provide $30 million in funding annually to establish psychedelics-focused “centers for excellence” at VA facilities, where veterans could receive novel treatment involving substances like psilocybin, MDMA and ibogaine.
Bergman has also expressed optimism about the prospects of advancing psychedelics reform under Trump, arguing that the administration’s efforts to cut spending and the federal workforce will give agencies “spines” to tackle such complex issues.
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Marijuana Moment is tracking hundreds of cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments.
Learn more about our marijuana bill tracker and become a supporter on Patreon to get access.
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In December, VA separately announced that it’s providing $1.5 million in funding to study the efficacy of MDMA-assisted therapy for veterans with PTSD and alcohol use disorder (AUD).
Last year, VA’s Yehuda also touted an initial study the agency funded that produced “stunning and robust results” from its first-ever clinical trial into MDMA therapy.
In January, former VA Under Secretary for Health Shereef Elnahal said that it was “very encouraging” that Trump’s pick to have Kennedy lead HHS has supported psychedelics reform. And he hoped to work with him on the issue if he stayed on for the next administration, but that didn’t pan out.
Photo elements courtesy of carlosemmaskype and Apollo.

Author: mscannabiz.com
MScannaBIZ for all you Mississippi Cannabis News and Information.
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Lawmakers Could Reschedule Marijuana With ‘Greater Speed And Flexibility’ Than Administration Officials, Congressional Researchers Say

Published
2 hours agoon
June 18, 2025
Amid a stalled marijuana rescheduling process that’s carried over from the last presidential administration, congressional researchers are reiterating that lawmakers could enact the reform themselves with “greater speed and flexibility” if they so choose, while potentially avoiding judicial challenges.
In an “In Focus” brief published by the Congressional Research Service (CRS) last week, analysts provided an overview of the different mechanisms through which scheduling actions can be implemented, noting the limitations of the process that the Biden administration initiated—and that the Trump administration has since inherited—to move cannabis from Schedule I to Schedule III of the Controlled Substances Act (CSA).
“There are two ways in which substances can be scheduled under the CSA: Congress can schedule substances by enacting legislation, or the Attorney General (in conjunction with the U.S. Department of Health and Human Services, or HHS) can schedule substances via an administrative process laid out in the CSA,” CRS said.
For this report, which is an update to an earlier analysis CRS put out last year, researchers detailed various instances where Congress has stepped in and made a scheduling decision—such as the federal legalization of hemp under the 2018 Farm Bill.
“Congress placed numerous substances in Schedules I through V when it enacted the CSA in 1970,” it says. “Since the CSA’s enactment, most subsequent scheduling changes have been made by DEA via the rulemaking process, but Congress has at times enacted legislation to schedule controlled substances or change the status of existing controlled substances.”
“There are several reasons why Congress might decide to schedule or reschedule substances via legislation,” it says. “For instance, compared to administrative scheduling, legislative scheduling may offer greater speed and flexibility.”
“Administrative scheduling under the CSA proceeds via formal rulemaking, which generally takes months or years to complete. In making scheduling decisions, DEA is required by statute to make certain findings with respect to each substance’s potential for abuse and accepted medical use,” it continues. “DEA scheduling orders (other than temporary scheduling orders) are subject to judicial review, including consideration of whether the agency properly applied the relevant statutory standards.”
To that point, it did take 11 months for HHS under the Biden administration to complete its review into cannabis and make an initial rescheduling recommendation. DEA then completed a separate review before the Justice Department formally proposed moving marijuana to Schedule III—but even then, there have been months of delay in the administrative hearing process to potentially finalize the rule.
Congress, on the other hand, could reschedule or deschedule marijuana more quickly and with a lower threat of a judicial challenge, CRS said.
“Congress is not bound by the CSA’s substantive or procedural requirements,” the report says. “This means that it can schedule a substance immediately, regardless of whether the substance meets the statutory criteria. While scheduling legislation may also be challenged in court, the scope of judicial review of legislation is typically more limited than judicial review of regulations.”
It also says legislative action “may be the only way to permanently schedule large classes of substances” such as fentanyl-related substances, given the intensive statutory requirements imposed on DEA under the CSA.
“Relatedly, the CSA provides DEA with limited options for regulating controlled substances,” CRS said. “The CSA established Schedules I-V, with each schedule carrying a defined set of regulatory controls and penalties for unauthorized activities. If DEA decides to control a substance under the CSA, it must place the substance in one of the existing schedules.”
“The agency has asserted some authority to tailor controls to specific substances, but it cannot create new schedules or implement regulations or exceptions from control that are not authorized under the CSA. If Congress wishes to regulate a controlled substance in a way that does not fit within the existing CSA framework, or allow DEA to do so, it must enact legislation.”
Additionally, the report notes that while DEA is bound to consider certain international treaty obligations when it comes to drug scheduling, those same commitments “do not prevent Congress from exercising its constitutional authority to enact new laws, even when doing so might cause the United States to violate its treaty obligations.”
Meanwhile, last month a Senate committee advanced the confirmation of Terrance Cole to become the administrator of DEA amid the ongoing review of a marijuana rescheduling proposal that he’s refused to commit to enacting.
Cole—who has previously voiced concerns about the dangers of marijuana and linked its use to higher suicide risk among youth—said he would “give the matter careful consideration after consulting with appropriate personnel within the Drug Enforcement Administration, familiarizing myself with the current status of the regulatory process, and reviewing all relevant information.”
However, during an in-person hearing before the Judiciary Committee in April, he said examining the rescheduling proposal will be “one of my first priorities” if he was confirmed for the role, saying it’s “time to move forward” on the stalled process—but again without clarifying what end result he would like to see.
“I’m not familiar exactly where we are, but I know the process has been delayed numerous times—and it’s time to move forward,” he said at the time. “I need to understand more where [agencies] are and look at the science behind it and listen to the experts and really understand where they are in the process.”
Cole also said he feels it’s appropriate to form a “working group” to look at the federal-state marijuana law disconnect in order to “stay ahead of it.”
DEA recently notified an agency judge that the proceedings are still on hold—with no future actions currently scheduled. The matter sat without action before an acting administrator, Derek Maltz, who has called cannabis a “gateway drug” and linked its use to psychosis. Maltz has since left the position.
Photo courtesy of Chris Wallis // Side Pocket Images.

Author: mscannabiz.com
MScannaBIZ for all you Mississippi Cannabis News and Information.
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Trump’s Pollster Says Texas Hemp Ban Bill Faces ‘Bipartisan Opposition’ From Voters As Governor Nears Deadline To Act

Published
4 hours agoon
June 18, 2025
Texas Democratic and Republican voters are unified in their opposition to a bill on the governor’s desk that would ban consumable hemp products with any trace of THC, according to a new poll from a GOP pollster affiliated with President Donald Trump.
As Gov. Greg Abbott (R) weighs the controversial proposal—which advocates and stakeholders say would effectively decimate the state’s hemp industry—the poll from the firm Fabrizio, Lee & Associates found the measure is opposed across party lines. A majority of Democrats (80 percent) and independents (66 percent), as well as a plurality of Republicans (44 percent) said they don’t want the governor to sign it.
“When given a head-to-head choice, 7-in-10 Texas voters say they want hemp-derived consumable THC to remain legal in Texas with strict regulations like age restrictions and warning labels, while only 16 percent want it to be banned outright,” the polling memo says. “Republicans want hemp to remain legal by a substantial 59 percent-23 percent margin, with even bigger shares of Independents and Democrats choosing remain legal with regulations over an outright ban.”
In addition to the 59 percent of GOP voters who want hemp to stay legal in a separate question, 83 percent of Democrats and 73 percent of independents said the same.
There was notably high awareness of the bill among voters, with 52 percent of Texans saying they’ve seen, read or heard about the hemp ban proposal.
Asked whether their understanding of the legislation made them “more or less favorable toward the Texas State Legislature,” 57 percent said it left them feeling less favorable, compared to just 6 percent who said more favorable.
“Texas voters across party lines want hemp to remain legal and clearly oppose Governor Abbott signing the bill banning hemp into law,” the polling firm said. “A narrow majority have already heard about the ban passing the state house, and it’s hurting the legislature’s image and could cost them in the ballot box. The Governor can avoid the same fate and get credit across the political spectrum by vetoing this unpopular bill.”
The survey involved interviews with 600 registered Texas voters from May 28-29, with a +/-4 percentage point margin of error.
Earlier this year, Fabrizio, Lee & Associates also polled Americans on a series of broader marijuana policy issues. Notably, it found that a majority of Republicans back cannabis rescheduling—and, notably, they’re even more supportive of allowing states to legalize marijuana without federal interference compared to the average voter.
Tony Fabrizio, the polling firm’s principal, served as pollster for Trump’s 2016 and 2024 presidential campaigns.
On the Texas hemp issue, the governor still hasn’t made a decision on the bill.
“I’ll tell you this: Listen, there are meaningful positions and concerns on both sides of the issue, and I’ll look into all of those and evaluate all of those,” he told reporters during a Q & A session on Monday following a bill signing ceremony for an unrelated measure.
That largely echoes comments Abbott made earlier this month, when he said SB 3 “is one of literally more than a thousand bills on my desk—all of which need my careful consideration and evaluation.”
Also this month, hemp advocates and stakeholders delivered more than 100,000 petition signatures asking Abbott to veto the measure. Critics of the bill have said the industry—which employs an estimated 53,000 people—would be effectively eliminated if the measure becomes law.
—
Marijuana Moment is tracking hundreds of cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments.
Learn more about our marijuana bill tracker and become a supporter on Patreon to get access.
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Texas lawmakers legalized the sale of consumable hemp in 2019, following enactment of the 2018 federal Farm Bill that Trump signed, which legalized the plant nationwide. That’s led to an explosion of products—including edibles, drinks, vape products and cured flower—sold by an estimated 8,000 retailers.
Military veterans advocates, including Texas Veterans of Foreign Wars, have also called on the governor to veto the hemp ban, saying it “would cause irreversible harm to communities across the state.”
Farmers have also said the prohibition would devastate a key sector of the state’s agriculture industry.
Meanwhile, a recent poll commissioned the Texas Hemp Business Council (THBC) found that Texas Republican primary voters oppose the proposal to ban hemp products containing THC.
Read the polling memo on the Texas hemp ban below:
Photo courtesy of Brendan Cleak.

Author: mscannabiz.com
MScannaBIZ for all you Mississippi Cannabis News and Information.

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