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Home » The North Carolina Legislature has taken the first step toward regulating consumable CBD products derived from hemp. • NC Newsline
Cannabis Pioneers

The North Carolina Legislature has taken the first step toward regulating consumable CBD products derived from hemp. • NC Newsline

adminBy adminJune 22, 2023No Comments4 Mins Read
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“When I started out naively, I thought I just wanted to prevent 10-year-old kids from going into the smoking area and buying these products,” said Rep. Jeff McNeely, a member of the House Judiciary Committee. told. Wednesday.

But House Bill 563 has grown into a 17-page bill over the past three months, establishing age limits for hemp-derived consumables, licensing requirements for manufacturers and distributors, and new testing requirements.

“Studies show that about three-quarters of young people get their marijuana through these types of products found in smoke shops and convenience stores,” McNeely said.

The Iredell County Republican said the cannabinoid industry is currently largely unregulated in the state. HB 563 would make it illegal to give cannabis-derived consumables to anyone under the age of 18 without the consent of the minor's parent or legal guardian.

Manufacturers and distributors must obtain state sales permits by July 1, 2024. Independent laboratory tests will also be required to confirm the presence of cannabinoids, heavy metals, microorganisms and pesticides.

Elizabeth Robinson of the North Carolina Retail Merchants Association said her members support McNeely's bill.

Mr. Robinson said, “I hope that legitimate companies continue to operate responsibly and at the same time, as he said, protect the bad guys that unfortunately some of these products end up in the hands of our youth.'' We appreciate the regulatory framework,” Robinson said.

U.S. Rep. Carson Smith, a former Pender County sheriff, on Wednesday urged school governing bodies to adopt a written policy prohibiting the use of tobacco and hemp-based consumables on campus or at school-sponsored events. We succeeded in amending the bill to make it mandatory. This applies to charter schools and all public schools.

Schools in Iredell and Pitt counties had to call in emergency personnel last year after students ingested colorful gummies containing THC. In both cases, the children were ultimately safe, but authorities were concerned that hemp-based consumables could be easily confused with candy by unsuspecting children.

HB 563 would ban food shaped like animals or cartoon characters.

Rep. Jeff McNeely answers questions about HB 563: Regulation of hemp-based consumables and kratom

“Are those penalties consistent with the penalties for small amounts of marijuana?” asked Rep. Marcia Morley (D-Durham).

“No, ma'am, I really don't,” McNeely replied. “I think of this product like non-alcoholic beer. If it's made right, there's nothing criminal or wrong about it. That's when it's not done correctly.”

McNeely said he was hopeful the North Carolina Department of Agriculture could assist with testing.

“The Department of Agriculture says they don't have the capacity, time, or manpower to do this. So the only way I knew to do this for less money was to have the players of the game follow the rules. It was about making plays and doing some hard enforcement on the backside in hopes of cleaning up everything that wasn’t being done correctly.”

“Can you explain the testing process? Who is responsible and who will pay for it?” asked Rep. David Willis (R-Union).

The manufacturer is responsible for testing before distribution. Once distributed, additional testing will also be part of ALE's mission, according to legislative staff.

The $500,000 allocation will help ALE increase testing.

“Is there a way to have industry pay for that cost instead of North Carolina taxpayers?” Willis asked.

“We're hopeful that if this bill passes, it will eventually allow industry to fund these agencies and sampling and things like that. But it will take some time to get started. We needed start-up capital,” McNeely said.

Starting in January 2025, North Carolina's ALE Division will submit an annual report to the General Assembly detailing its enforcement efforts.

Manufacturers would also be required to ensure that packaging is child-safe and include a list of ingredients and possible allergens. The warning label states that ingesting certain cannabinoids may impair your ability to drive or operate heavy machinery.

If approved, the restrictions would not take effect until July 2024.

“We understand there's something in the pipeline. We're not asking anyone to strip everything off the shelves,” McNeely said. “We're giving them time to do that.”

If voted yes, HB 563's next stop is the House Appropriations Committee.



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