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Alabama hemp bill creates confusion; industry braces for fight
Alabama hemp bill creates confusion; industry braces for fight

Yahoo

time14-05-2025

  • Business
  • Yahoo

Alabama hemp bill creates confusion; industry braces for fight

Rep. Andy Whitt, R-Harvest, displays a hemp-derived product as he introduces a bill to regulate the industry to the House Health Committee on April 2, 2025, in Montgomery, Ala. Whitt's bill is on Gov. Kay Ivey's desk, but the provisions of the legislation have led to criticism of the bill and confusion over what it does. (Alander Rocha/Alabama Reflector) A bill aimed at regulating consumable hemp products has landed on Gov. Kay Ivey's desk, but its future is uncertain. HB 445, sponsored by Rep. Andy Whitt, R-Harvest, would establish regulations for consumable hemp products in Alabama, but the bill's language and potential consequences have led the hemp industry to suggest the possibility of litigation and led to uncertainty among lawmakers, business owners, patients and lobbyists. 'It is my hope that the governor signs the bill this week. I think it's a good piece of legislation. I think it's a bipartisan piece of legislation, and certainly, we have to get the guardrails up on this industry,' Whitt said in a phone interview Tuesday. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX Key provisions of the bill include: Testing and labeling requirements for all consumable hemp products. Caps of 10 milligrams per individually wrapped product, with a cap of 40 milligrams per package. Authorization for the Alcoholic Beverage Control (ABC) Board to license retailers of these products. Restrictions on retail establishments selling hemp products. Prohibition of sales to minors. Prohibition of smokable hemp products and restrictions on online sales and direct delivery. Imposition of an excise tax on consumable hemp products. The bill defines 'consumable hemp product' broadly as any finished product intended for human or animal consumption that contains any part of the hemp plant or its derivatives, but explicitly bans smokable hemp products and certain psychoactive cannabinoids. It's unclear whether the bill would ban CBD, a non-psychoactive cannabinoid found in hemp. According to the bill, 'any smokeable hemp product' not limited to 'plant product or raw hemp material that is marketed to consumers as hemp cigarettes, hemp cigars, hemp joints, hemp buds, hemp flowers, hemp leaves, ground hemp flowers, or any variation of these terms to include any product that contains a cannabinoid, whether psychoactive or not.' The bill was replaced with a substitute on the floor that had not been discussed in the Senate committee hearing, and a copy was not made available to the public until after its passage. Molly Cole, a lobbyist for the Alabama Hemp and Vape Association, said she wished a senator had asked for the bill to be read on the floor. 'When Sen. Melson came onto the floor and proposed this bill for the substitute, … no one called for it to be read on the floor. And then the way he proposed it was that all this bill does is move products to 21 and up stores,' Cole said, which she felt was misleading. Even the bill's sponsor and the senator who handled the bill in the upper chamber appear to be at odds over its implementation. Sen. Tim Melson, R-Florence, whose bill aimed at hemp regulation failed in committee but who handled Whitt's legislation in the Senate, said in an interview Tuesday that he was uncertain about whether the bill bans hemp-derived THC vapes. He thought that hemp-derived vapes could still be purchased in a 21+ vape shop. 'The hemp vape products, yes, anything with the THC would go to, my understanding … they would go to vape stores. But that being said, I'd have to double check now that you got me questioning,' Melson said. Whitt, however, was clear on the matter. 'Any smokeable, any inhalable product, is banned under this legislation. Vapes would be banned as well that had delta-8 and (delta)-9 in those,' he said. Delta-8 THC and delta-9 THC are psychoactive compounds found in cannabis, according to the U.S. Food and Drug Administration (FDA). Representatives of the hemp industry strongly oppose the measure, warning of consequences for both businesses and consumers. Carmelo Parasiliti, founder and CEO of Green Acres Organic Pharms in Florence, pointed to the potential damage the bill could have on his business. Parasiliti said that nearly every product they currently offer is federally legal and lab tested. Under HB 445, he said, it would all be illegal. 'We're going to keep our storefront open and serve Alabama to the best of our ability, but our future in Alabama is uncertain, and I'm really hoping Gov. Kay Ivey will veto this bill if she truly supports small businesses,' Parasiliti said in an interview Tuesday. He also pointed to potential harm to people who benefit from hemp medically, particularly those in a cancer program he started to provide free or low-cost hemp-derived products to people referred by providers. 'Even more troubling is the bill makes it unlawful to give these products away to people in need, no matter their condition, which I think is cruelty,' Parasiliti said. Nancy Owen Nelson, a cancer patient living in Florence who uses hemp, mostly CBD, for symptom management and a participant in the Green Acres Organic Pharm cancer program, said she was disappointed with the bill. Nelson said he plans to write a letter to Ivey encouraging her to veto it. She said she tried to leave a voicemail, but found it was full. 'The thing about this condition is that it is not anywhere in particular, so it is a whole body sensation, and a whole body fatigue. It helps me sleep, it helps me rest, and it helps me feel calmer,' Owen Nelson said. Whitt and Melson say that the bill's primary objective is to protect children and regulate an industry that has operated largely unchecked. Owen Nelson said she agrees with regulating the hemp industry but feels the bill goes too far, and that she wasn't sure if the bill would accomplish its intent of limiting access for minors, saying that children will find a way to these products. 'It's the responsibility of the vendors to not sell children and the families to protect their children within their homes,' she said. Whitt felt strongly that the need for 'guardrails' on the hemp industry, saying it was his goal to rein in 'the wild west of what's been derived out of the 2018 Farm Bill.' The 2018 Farm Bill removed hemp and any cannabis product with no more than 0.3% THC by dry weight from the definition of marijuana under federal law. Molly Cole, a lobbyist for the Alabama Hemp and Vape Association, said the industry is confused about how the bill defines consumable hemp product. She also pointed to conflicting implementation dates, which say that the 'act shall become effective on July 1, 2025,' but indicate that businesses have until Jan. 1, 2026, to comply. 'That's causing a lot of chaos and confusion,' she said. The hemp industry is urging Ivey to veto HB 445. Gina Maiola, a spokeswoman for the governor, did not respond to a request for comment. If the governor vetoes the bill, the Legislature could override her veto, but it's also unclear whether the Legislature has the votes. The bill passed with a 60-27 vote and 14 abstentions out of the House and a 19-13 vote in the Senate. Parasiliti said he is hopeful for a veto. 'The governor's office just celebrated last week small business week, and here we are,' he said. 'If this bill is signed and put into law, it's going to be putting a lot of small businesses out of business.' Cole said that litigation is being considered, saying that 'the entire industry is looking at best practices moving forward, and litigation is being contemplated.' 'We're just trying to figure out what exactly is going to happen and what is not going to happen before we really start doing anything, but we are discussing it,' she said. The Alabama Policy Institute, a conservative think tank, also came out against the bill, though for different reasons, claiming on X, formerly known as Twitter, that the bill would legalize recreational cannabis use 'under the guise of protecting children.' Adding to the opposition, Birmingham Mayor Randall Woodfin posted a statement on Facebook saying the bill undermines progress made in cannabis reform and harms small businesses. 'Alabama House Bill 445 is a step backwards and harmful to small businesses in Birmingham,' Woodfin said. 'Instead of moving us closer to justice and equity, this bill risks dragging us back to an era of cannabis criminalization, overregulation, and lost opportunity.' SUPPORT: YOU MAKE OUR WORK POSSIBLE

Alabama bill giving ABC Board regulation over THC products derived from hemp awaiting Gov. Ivey's signature
Alabama bill giving ABC Board regulation over THC products derived from hemp awaiting Gov. Ivey's signature

Yahoo

time07-05-2025

  • Business
  • Yahoo

Alabama bill giving ABC Board regulation over THC products derived from hemp awaiting Gov. Ivey's signature

MONTGOMERY, Ala. (WHNT) — A new bill to regulate THC products derived from hemp in Alabama has passed through the House and Senate and is headed to Governor Kay Ivey's desk. House Bill 445, sponsored by Andy Whitt, would grant the Alabama Alcoholic Beverage Control Board to regulate all consumable hemp products through the licensure of manufacturers, wholesale distributors and retailers of consumable hemp products. The bill says that under existing law, products that have 'psychoactive cannabinoids found in or derived from hemp may not be sold to minors but are otherwise not regulated.' It also defines THC as 'any tetrahydrocannabinol derived from hemp, including, but not limited to, Delta-8, Delta-9 or Delta-10. Under HB445, if passed into law, it would: Impose testing and labeling requirements on all consumable hemp products sold in this state Authorize the Alcoholic Beverage Control Board to license retailers of these products Establish restrictions on retail establishments Prohibit the sale of consumable hemp products to minors Prohibit the sale of smokable hemp products Prohibit online sales and direct delivery of consumable hemp products Impose an excise tax on consumable hemp products and provide for the distribution of tax proceeds Establish the Consumable Hemp Product Compliance Fund and provide for expenditures of the fund Authorize the board to seize unlawful consumable hemp products Provide for civil and criminal penalties for violations Repeal Section 13A-12-214.4, Code of Alabama 1975, relating to the sale of psychoactive cannabinoids If signed into law, HB445 would go into effect on Jan. 1, 2026. After this, 'consumable hemp products distributed into or within the state and offered for sale and sold to consumers in this state shall be governed by this chapter. The Alcoholic Beverage Control Board shall administer and enforce this chapter and shall adopt rules as necessary to implement this chapter.' The Consumable Hemp Product Compliance Fund, as stated in HB445, is created within the State Treasury and is said to be administered by the Board. 'All filing fees, annual license fees, and label approval fees collected under this chapter shall be deposited into the fund. Amounts deposited into the fund shall be budgeted and allotted in accordance with Sections 41-4-80 through 41-4-96 and Sections 41-19-1 through 41-19-12.,' the bill says. The bill defines the contents of the consumable hemp products: For a beverage or any edible product, a consumable hemp product may not contain more than 10 milligrams of total THC For any topical, sublingual, or other consumable hemp product not addressed in subdivision (1), one container of a consumable hemp product may not contain more than 40 milligrams of total THC All edible consumable hemp products shall be individually wrapped in single-serve packaging. One carton may not contain more than 40 milligrams of total THC A beverage serving size may not exceed 12 fluid ounces or 355 milliliters. One carton may not contain more than four 12-ounce containers A consumable hemp product may not contain alcohol, other than as a flavoring agent, or any other intoxicating compound other than cannabinoids The bill said that, if passed, a 10% excise tax would be levied on the retail sales price of consumable hemp products. This is in addition to any other tax imposed by federal, state or local law. The bill also lists out what each label/packaging for a consumable hemp product must contain at a minimum: May not bear the likeness or contain cartoon-like characteristics of a real or fictional person, animal, or fruit that appeals to children Must be child-resistant A list of all ingredients in descending order of predominance A scannable barcode or quick response code linked to the certificate of analysis The batch number that corresponds to the certificate of analysis The total number of milligrams of THC per serving May not be modeled after a brand of products primarily consumed by or marketed to children May not include a statement, artwork, or design that could reasonably mislead an individual to believe that the package contains anything other than a consumable hemp product The manufacture date and expiration date The total number of milligrams of THC found in the container and the serving size This bill was first introduced on March 18, it passed the House on April 10 and then passed the Senate on May 6. You can read what the full enrolled bill entails below. Alabama-2025-HB445-EnrolledDownload Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. For the latest news, weather, sports, and streaming video, head to

Alabama House Passes Bill To Regulate Consumable Hemp Products
Alabama House Passes Bill To Regulate Consumable Hemp Products

Forbes

time11-04-2025

  • Business
  • Forbes

Alabama House Passes Bill To Regulate Consumable Hemp Products

The Alabama House of Representative this week passed legislation to regulate consumable hemp goods, with supporters of the bill saying it is needed to keep intoxicating products out of the hands of children. The measure, House Bill 445 (HB 445), was approved by the House without debate on Thursday by a vote of 76-15, according to a report from 'This is one of the bills that I think you saw wide, bipartisan support,' Republican state Rep. Andy Whitt, the sponsor of the bill, told reporters after Thursday's vote. 'It affects every neighborhood across the state. These are unregulated, unchecked, and dangerous products that are being sold to our children in our convenience stores and retailers across the state, and it is time we put guardrails on this to protect our students in high school.' If passed by the Alabama Senate and signed into law by Republican Gov. Kay Ivey, HB 445 would authorize the Alabama Alcoholic Beverage Control Board to regulate consumable hemp products. The board would be responsible for issuing licenses to oversee the manufacturing, distribution and sales of hemp consumables, similar to the agency's oversight of the state's alcoholic beverage industry. The measure also restricts sales of consumable hemp products to adults aged 21 and older. Sales would only be permitted by retailers that are licensed to sell alcoholic beverages and stand-alone shops that do not permit access to minors. HB 445 also sets a limit for consumable hemp products of 5mg THC, the cannabis compound primarily responsible for marijuana's psychoactive effects. The legislation also levies a tax on consumable hemp products. 'We are coming for the bad actors that put profit and the safety of our children. Convenience stores need to stick to selling gas and sodas, and they are not our local pharmacy stores. We're going to regulate these products,' Whitt said during a meeting of the House Health Committee, the Alabama Reflector reported. The lawmaker added that the state's current market for consumable hemp products is 'unregulated, unchecked and dangerous.' 'When you go into a convenience store and see these products, you think that someone has looked over them, and that is just complete inaccuracy,' Whitt added. Prior to Thursday's vote on the bill, Whitt told his colleagues in the House that the measure had taken on new urgency because of 'recent developments.' He said that a press release from hemp products manufacturer Herbal Oasis reported the company was expanding operations into Alabama, saying that 'their product will be in convenience stores, grocery stores and other locations throughout Alabama and Florida Panhandle, starting in late March.' The bill is opposed by representatives of Alabama's hemp products industry, including Carmelo Parasiliti, founder and CEO of Green Acres Organic Pharms in Florence, who told lawmakers that the 'data simply does not support the hysteria.' He added that the Alabama Poison Information Center reported 235 cases related to Delta-8 THC, a compound found in many consumable hemp products, in 2023, and that these cases represent just 0.018% of Alabama residents under 21. 'Most importantly, no deaths have occurred. Cannabinoids like Delta-8, CBD, and CBG are nonlethal, nonaddictive, and federally legal,' Parasiliti said. Molly Cole, a lobbyist for the Alabama Hemp and Vape Association, said the bill would 'eliminate over 10,000 jobs in Alabama.' 'Instead of rushing HB 445, I urge you to support a study commission. Bring together legislators, regulatory regulators, industry leaders and public health experts to craft long-term, evidence-based policy. Other states have done this successfully. Now Alabama can too,' Cole said. House Bill 445 now heads to the Alabama Senate for consideration.

Alabama House approves regulations on hemp products
Alabama House approves regulations on hemp products

Yahoo

time11-04-2025

  • Business
  • Yahoo

Alabama House approves regulations on hemp products

Rep. Andy Whitt, R-Harvest, displays a hemp-derived product as he introduces a bill to regulate the industry to the House Health Committee on April 2, 2025, in Montgomery, Ala. The House passed Whitt's bill on Thursday. (Alander Rocha/Alabama Reflector) The Alabama House of Representatives approved legislation Thursday to regulate hemp products consumed by the public amid concerns that minors will have access to the products. HB 445, sponsored by Rep. Andy Whitt, R-Harvest, that authorizes the Alabama Alcoholic Beverage Control Board to issue licenses and regulate the manufacturing, distribution and sale of consumables derived from hemp to individuals who are younger than 21 years old. 'This is one of the bills that I think you saw wide, bipartisan support,' Whitt said in an interview with the media after the vote. 'It affects every neighborhood across the state. These are unregulated, unchecked, and dangerous products that are being sold to our children in our convenience stores and retailers across the state, and it is time we put guardrails on this to protect our students in high school.' SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX While the legislation provoked strong opinions from both supporters and proponents at two hearings in the Alabama House Health Committee, it passed the House with little debate. Whitt's bill restricts the sale of hemp products to people who are younger than 21 years old and limits the sale of the product to stores that sell alcohol and standalone shops that do not allow minors access. It also limits the THC content to five milligrams for hemp products that people consume as well as beverages, along with imposing sales tax on such items. Opponents of the legislation said that the regulations set in the bill do not support the data related to the market for hemp products during the public hearing at the Alabama House Health Committee meeting last Wednesday. Carmelo Parasiliti, founder and CEO of Green Acres Organic Pharms in Florence, said in an interview in March that 235 cases dealt with Delta-8 THC, a type of cannabinoid and that amounts to 0.018% of the cases for Alabama residents who are younger than 21 years old. Law enforcement supports the bill, and said that tests on the product showed that the THC levels from products that were purchased exceeded the 0.3% hemp limit. Members of the committee considered the legislation once again during the committee meeting Wednesday and approved it Thursday's vote on the House floor. 'When you go into a convenience store and see these products, you think that someone has looked over them, and that is just complete inaccuracy,' Whitt said. The bill moves to the Senate. SUPPORT: YOU MAKE OUR WORK POSSIBLE

Alabama House committee approves hemp product regulations despite opposition
Alabama House committee approves hemp product regulations despite opposition

Yahoo

time09-04-2025

  • Business
  • Yahoo

Alabama House committee approves hemp product regulations despite opposition

Rep. Andy Whitt, R-Harvest, walks on the floor of the Alabama House of Representatives on Feb. 13, 2024. An Alabama House committee Tuesday approved a bill sponsored by Whitt to regulate hemp products. (Brian Lyman/Alabama Reflector) An Alabama House committee Tuesday approved a bill that would impose new regulations on consumable hemp products amid concerns over youth access and a lack of oversight of the products. HB 445, sponsored by Rep. Andy Whitt, R-Harvest, would give the Alabama Alcoholic Beverage Control (ABC) Board authority to license and regulate the manufacturing, distribution and retail sale of hemp-derived consumables and banning their sale to anyone under 21. Whitt said that there were 'recent developments' that made the bill more urgent and read a press release from Herbal Oasis, a company that produces hemp-derived products that planned to expand to Alabama, saying 'their product will be in convenience stores, grocery stores and other locations throughout Alabama and Florida Panhandle, starting in late March.' 'This is exactly what we discussed last week that we were trying to do, was stop this product being served in such a manner,' Whitt said. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX In a public hearing Wednesday, opponents of the bill said that there was a lack of data for what Carmelo Parasiliti, founder and CEO of Green Acres Organic Pharms in Florence, referred to as a lawmakers' 'hysteria,' and that data from the Alabama Poison Information Center suggests it is currently affecting less than .1% of children in Alabama. Opponents also suggested a study commission to develop 'evidence-based policy' on cannabis regulation. Under the proposed law, consumable hemp products could only be sold in regulated, 21-and-over retail environments — either standalone hemp product stores or existing off-premise liquor stores approved by local authorities. The bill sets a five-milligram THC limit per serving and prohibits marketing or packaging that appeals to minors. It also bans vending machines and self-serve displays for such products. 'We do have some bad activities that are our problems,' Whitt said, referencing children's snacks being used to market these products, but he did not reference evidence supporting the claim. 'You'll not see the Doritos, the Airheads and things like that that are strictly marketed for our kids.' The bill also creates civil and criminal penalties, such as fines starting at $1,000 for exceeding allowed THC percentages or a Class C misdemeanor, with punishments of up to 30 days in jail and up to a $500 fine, for failing to keep records like invoices for inspection, an excise tax, and a dedicated compliance fund. It would repeal an existing law that currently allows the sale of psychoactive cannabinoids to adults. Rep. Jeremy Gray, D-Opelika, said he did not oppose the bill but wanted to study the matter further. 'What I would encourage is that we look at… an economic impact study and maybe a task force… so that way we actually know the facts.' The bill passed by voice vote and now moves to the full House for consideration. SUPPORT: YOU MAKE OUR WORK POSSIBLE

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