A new law in Kentucky should all but wipe out the state market for products containing intoxicating hemp substances. The bill, which puts tight restrictions on beverages and snacks containing the synthetic compounds – such as delta-8 THC – was signed by Gov. Andy Beshear this week.
Senate Bill 202 (SB 202) sets a THC limit of 5 milligrams per 12-ounce serving for cannabis-infused beverages. That miniscule THC limit means the products will produce no psychoactive response in consumers. While the market may not dry up altogether, the new regulations are sure to impact the availability and variety of such products as well as profitability.
The bill passed with bipartisan support in the Kentucky General Assembly, with the Senate voting 29-6 in favor, and the House approving it by 77–17, with six abstentions.
Consumers split on pot
Recreational marijuana is not legal in Kentucky, although half of those polled consistently support adult-use pot. That made the state fertile ground for the producers of products containing delta-8 THC and other cannabinoids that can be boosted to higher potency, which have been available in a wide number of retail outlets. The psychoactive substances are made by putting CBD – extracted from “legal” hemp flowers – through a process in the lab.
A loophole in the 2018 Farm Bill, which legalized industrial hemp, allowed for the production of the intoxicating THC analogs. In the wake of the Farm Bill, products containing the substances, often marketed as “diet weed” or “marijuana light,” rapidly spread across the U.S., largely unregulated and often in packaging that mimics popular brands of candies and treats. Law enforcement has reported THC levels in some products ranging from 7% to 78%, far exceeding the federal limit of 0.3% THC for hemp products. Officials have also expressed fears over their easy availability to youth in convenience stores and smoke shops.
‘Balanced approach’
“This legislation ensures that as this emerging (hemp) industry takes shape, Kentucky leads with a balanced approach that protects public health, supports responsible business practices and promotes transparency,” said Sen. Julie Raque Adams, who sponsored the bill. Adams, a Republican, called SB 202 “thoughtful regulation in this space.”
The Kentucky law brings consumable products that contain hemp compounds under the oversight of the state’s Department of Alcoholic Beverage Control (ABC), aligning the industry with state alcohol regulations. The ABC will oversee licensing and compliance of hemp-infused beverages, and ensure proper distribution and sales practices. Sales are restricted to individuals aged 21 and over.
Product labeling rules and fee structures for cannabis-infused beverage licensees are also set out in SB202.
Limits in snacks
Beyond beverages, the new law also imposes a potency limit of 5 milligrams per serving of gummies and other snacks, and a total package cap of 100 milligrams. Manufacturers must comply with strict testing requirements.
As states are forced to take the lead in protecting consumers from unregulated intoxicating hemp products, the looming reauthorization of the U.S. Farm Bill could provide a federal solution to the issue. The bill is expected to include provisions that would clarify the legal status of hemp-derived cannabinoids, including those with psychoactive effects. Industry leaders are advocating for more uniform regulations across the country, hoping that federal action will resolve the confusion and inconsistency at the state level.