Texas hemp companies sue state over new rules on smokeable THC
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Texas hemp businesses on Tuesday sued the state, aiming to reverse new rules that ban pre-rolled joints and other smokeable THC products made legal under a 2019 state law.
Why it matters: The lawsuit is the latest battle over hemp-derived THC in Texas' multibillion-dollar industry.
Catch up quick: Federal and Texas law states consumable hemp products must contain less than 0.3% of delta-9 THC, the main psychoactive ingredient in cannabis.
- The law does not include limits on THCA, a compound in hemp that turns into delta-9 THC when burned.
- That allowed the sale of smokable products containing THCA in Texas because they did not contain more than 0.3% delta-9 THC at the point of sale.
Flashback: The Texas Department of State Health Services and the Health and Human Services Commission implemented rules March 31 that dictate limits on the "total THC" in a product, including THCA.
- The move effectively banned all smokable hemp products, like flower buds or pre-rolls. Other consumable products, including THC-infused edibles and drinks, remain available.
Driving the news: The Texas Hemp Business Council, manufacturers and retailers assert in their lawsuit that the departments exceeded their legal authority by counting a product's "total THC" toward the delta-9 THC limit imposed by Congress in 2019 and the Texas Legislature in 2018.
- They are asking a judge to immediately block the rules as the lawsuit plays out. They also want to end an increase in regulatory fees that went into effect March 31.
What they're saying: "Lawmakers carefully debated hemp policy and chose not to change the statutory THC standard (last year)," Texas Hemp Business Council president Cynthia Cabrera said in a statement.
- "State agencies cannot override the decision by regulation," Cabrera wrote. "Our members support reasonable, lawful regulation, but regulation must follow the Constitution and the statutes the Legislature enacted."
The big picture: Republican Lt. Gov. Dan Patrick last year led a failed fight in the Legislature to ban all forms of THC, saying the products are dangerous and marketed to children.
- After Gov. Greg Abbott vetoed Patrick's ban last year, he ordered the state departments to add regulations.
The other side: The state has yet to formally respond to the lawsuit, court records show.
- Patrick's office and the Texas Attorney General's Office, which will defend the state departments, did not immediately respond to Axios' request for comment.
Zoom out: A federal ban of hemp-derived THC products goes into effect in November, although hemp industry leaders are hopeful the Trump administration will reverse course before then.