Alabama has a growing public safety crisis caused by synthesized hemp products containing dangerously high levels of THC. Even though Alabama has not legalized recreational marijuana, a loophole in the 2018 Farm Bill has allowed certain manufacturers to manipulate legal hemp—containing less than 0.3% THC dry weight at harvest—and synthesize it into highly potent psychoactive products. These items, misleadingly marketed as “hemp,” are being sold in gas stations, convenience stores, and vape shops throughout the state. Though regulations prohibit sales to minors, these dangerous substances are increasingly making their way into the hands of Alabama’s youth.

Throughout the legislative session, Eagle Forum advocated for a total ban on the sale of psychoactive, synthetic consumable hemp products in Alabama.  We supported both SB273 (Sen. Weaver) and SB274 (Sen. Roberts).   However, neither chamber was willing to consider a total ban.  HB445 was substituted and passed in the Senate on May 7th and is awaiting the Governor’s signature. While HB445 is not ideal, and supporting the Governor’s signing places Eagle Forum in a difficult position, we believe it is imperative to protect as many Alabamians as possible, as soon as possible. This bill will negatively impact the industry, almost as much as a total ban. The stringent manufacturing requirements will drastically reduce the availability of high-potency products in Alabama. The financial burden on manufacturers will be immense, leading many to exit the state.  No matter whether this bill gets signed into law or not, we will continue to work for a total ban of consumable THC products in Alabama. 

 Here are some of the things that the bill does:

1. All hemp plant material and any smokeable hemp products are unlawful and banned.
2. Consumable hemp products may only be sold in 21+ stores, with all buyers required to have their ID checked.
3. Consumable hemp products distributed or sold in this State shall be governed by the Rules adopted and administered by the ABC Board.
4. Direct shipment sales, online sales or drive through sales of hemp products are prohibited. Penalties for violation of these provisions range from Class A misdemeanor to Class C felony for subsequent offenses.
5. All hemp derived products are banned from having any psychoactive cannabinoids that are created by a chemical synthesis, modification, or chemical conversion from another cannabinoid, utilizing non‐cannabis materials.
6. Any consumable hemp product may not have more than 10mg of total THC, per serving, and no more than 40mg total THC, per package.
7. Any consumable hemp product must be individually wrapped, with strict child resistant packaging, labeling requirements, and warnings.
8. Beverages may only be sold in 21+ stores, or grocery stores that are licensed by the ABC Board and have 75% of their sale area dedicated to food, is at least 14,000 square feet in size, with hemp beverages located in an area that is separated from non‐alcoholic beverages, separated from beverages for children, and must be behind glass, with hemp specific signage.
9. Hemp and THC infused beverages may not exceed 10mg total THC, and 12 ounce serving size.
10. No hemp beverages may be offered for consumption on the licensed premises, with retailer also banned from offering any tastings. 
11. Hemp products must first be tested and have a Certificate of Analysis (CoA), issued from an accredited laboratory, and be available for inspection from manufacturer to retail, per batch of product. If the CoA cannot be produced at the point of retail, the hemp product shall be considered contraband and seized by law enforcement or ABC agent, without a warrant.
12. Creates an excise tax of 10% on hemp products and beverages, with 90% going to the State General Fund, and 10% to the Treasury of the municipality or county where it is sold.
13. Penalties for persons found to be selling hemp products in violation of HB445 are $1,000-$5,000 for 1st to 3rd offenses. Retailers found to be selling in violation of HB445 have penalties ranging from $5,000‐$10,000 for 1st to 3rd offenses. If any retailer is found to have sold hemp products to Minors, penalties range from $5,000‐$20,000 with the potential to also lose their retailer license.
14. All proceeds, property obtained from proceeds, equipment, materials, and personal property used in the illegal sale or possession of hemp products shall be subject to forfeiture proceedings.