News Summary
Governor Greg Abbott has announced significant changes to Texas hemp regulations through an executive order aimed at controlling hemp-derived THC products. The order includes age restrictions prohibiting sales to individuals under 21 and mandates state agencies to review current regulations. While the industry expresses cautious optimism about these changes, concerns persist regarding the potential impact on hemp flower sales and economic consequences for businesses. The move reflects broader national conversations about cannabis regulation and public safety.
Big Changes to Hemp Regulations Announced by Governor Abbott
In the bustling city of Austin, Texas, a significant shake-up is occurring in the hemp industry as Governor Greg Abbott takes action to regulate hemp-derived THC. This comes on the heels of a frustrating legislative deadlock, where no laws regulating consumable hemp products were able to make it through the Texas Legislature after a regular session as well as two special sessions.
Executive Order Issued
On September 10, Governor Abbott issued an executive order expressing his dissatisfaction with the ongoing legislative failures. This order introduces several important measures aimed at tightening rules surrounding hemp products, particularly those that contain THC.
New Age Restrictions
Perhaps the most notable change is the establishment of age restrictions. The order specifies that the sale of hemp products to individuals under the age of 21 will be prohibited. Retailers are now required to check government-issued IDs for customers when they purchase these items, a move that aims to keep younger populations safe from potentially harmful substances.
A Close Look by State Agencies
This executive order doesn’t just stop at age restrictions. It directs several state agencies, including the Department of State Health Services (DSHS) and the Texas Alcoholic Beverage Commission (TABC), to review existing rules concerning hemp products. Their goal will be to gather data on how to make sense of the current landscape and potentially update regulations surrounding THC.
Industry Concerns
The lack of specific THC regulation has been a pressing issue, with several related bills previously vetoed. Although Senate Bill 2024 was signed into law, banning hemp-derived cannabinoids in vape products, the broader regulations concerning THC are still in limbo. Many in the industry are expressing cautious optimism about the proposed changes, particularly regarding the age restrictions and potential improvements in regulation.
However, there are lingering concerns. For example, the executive order includes a provision that may force retailers to conduct tests for total THC levels, including THCA. This could unintentionally lead to a ban on hemp flower products, cutting off a significant revenue source for many businesses.
Economic Impact
If stricter regulations emerge from the ongoing review, many businesses may find themselves in a precarious position. The economic significance of hemp flower sales cannot be overstated, and a reduction or removal of such sales could potentially push some retailers out of the market entirely.
Division Among State Leadership
In political circles, the conversation around this executive order is contentious. Lt. Gov. Dan Patrick has openly criticized Abbott’s actions, asserting that the order essentially legitimizes the existing THC market without adequate oversight. He argues for a complete ban on THC products, voicing concerns that dangerous products are being marketed to minors despite the supposed ID checks being implemented by businesses.
Moving Forward
Governor Abbott’s order highlights the ongoing division within Texas leadership concerning the best approach to regulate hemp and THC products. State agencies are instructed to begin the rule-making process by September 24, with TABC holding a meeting on September 23 to discuss new emergency rules that likely include prohibiting the sale of hemp products to minors.
A National Conversation
This debate about hemp-derived products isn’t confined to Texas; it reflects a larger national conversation about cannabis regulations that seeks to strike a balance between public safety and consumer access. While some in the cannabis community welcome these regulatory changes, there are warnings that poorly defined guidelines could push users toward unregulated markets.
As Texas navigates this complex landscape, all eyes will be on the developments in the hemp industry and how they will unfold in the months ahead.