Tucked into a bill to re-open the federal government, the U.S. Senate has advanced a provision to ban hemp products containing above 0.4 milligrams of total THC.
The ban would take place one year after the bill is signed into law. The bill, which contains mostly spending language focused on re-opening the government, must be approved by the U.S. House of Representatives and signed by President Trump.
A wide range of hemp-derived products would be recriminalized under the provision, as it would cap the total THC content at just 0.4 milligrams per product. Under the 2018 Farm Bill, hemp-derived products could contain up to 0.3 percent of delta-9 THC on a dry-weight basis. The new provision replaces that cap with one applying to total THC, including delta-8, delta-10 and other cannabinoids with intoxicating effects.
Sen. Rand Paul, R-Kentucky, has promised efforts to strike the recriminalization language, saying it would “kill an entire industry” that has developed since the 2018 Farm Bill’s passage. Many of the products that would be outlawed are sold in liquor stores, gas stations, convenience stores and online businesses and contribute an estimated $1.5 billion annually in tax revenue.
U.S. Hemp Roundtable said the Senate’s provision would “threatens to eliminate America’s $28.4 billion hemp industry and jeopardizes more than 300,000 American jobs,” and the industry should not be used as a “pawn…to reopen the government.”
“Recriminalizing hemp will force American farms and businesses to close and disrupt the wellbeing of countless Americans who depend on hemp,” said Jonathan Miller, U.S. Hemp Roundtable General Counsel.
Paul, whose home state of Kentucky has a thriving hemp industry, plans to push for a vote on the hemp provision, saying it is unrelated to government spending, or to employ tactics to slow the bill’s advancement at a time when many are eager to quickly re-open the government.
The bill also proposes prohibiting hemp-derived cannabinoids manufactured outside the plant’s natural processes and “intermediate” hemp-derived cannabinoids sold directly to consumers, calling for the federal government to publish lists of all naturally occurring cannabinoids, all THC-class compounds and any cannabinoids with similar effects.
While many are opposed to hemp regulations, Congress has been lobbied for years by proponents, including the American Trade Association for Cannabis and Hemp and some in the alcohol industry, asking for regulation of synthetic THC products.
Our Cannabis Industry Team will continue watching this bill and related matters and report back as necessary. If you have questions or need assistance with a cannabis-related matter, please contact attorney F.L. Gorman at (585) 419-8628 and flgorman@harrisbeachmurtha.com; attorney Jason W. Klimek at (585) 419-8646 and jklimek@harrisbeachmurtha.com; or the Harris Beach Murtha attorney with whom you most frequently work.
This alert is not a substitute for advice of counsel on specific legal issues.
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