MURFREESBORO, Tenn., May 02, 2023 (GLOBE NEWSWIRE) -- The most substantive cannabis regulatory legislation in Tennessee history will soon become law, creating critical regulations on producing, selling and distributing products containing hemp-derived cannabinoids in the state. House Bill 403/Senate Bill 378 passed the full General Assembly and is headed to Gov. Bill Lee, who is expected to sign the bill into law. Cultivate Tennessee, a coalition of industry leaders, helped spearhead support for the legislation.
“This is a huge step forward for Tennessee in terms of helping define the industry by creating needed safety, accountability and consumer protection guardrails,” said Jason Pickle, Co-founder of Volunteer Botanicals and a Cultivate Tennessee board member. “The common-sense requirements of this new bill will ensure that Tennessee residents and resellers can feel comfortable with the safety and efficacy of hemp-derived products, as well as in the responsibility of the companies that produce them. This will help tremendously with the growth of the industry. This bill creates a legal framework to operate and distribute products.”
The comprehensive bill creates a solid foundation from which the hemp industry can grow and includes the following:
- Requires a privilege tax of 6% of the sales price for these products, with revenue going to the state general fund
- Requires that manufacturers and sellers obtain a license from the Department of Agriculture
- Requires hemp-based cannabinoid products to be tested for safety and toxicity by an accredited laboratory
- Creates child-resistant effectiveness standards for cannabinoid products, as well as requiring label warnings, disclaimers and one-year expiration dates on all products
- Introduces new offenses for selling to or assisting someone under 21 to buy products with hemp-derived cannabinoids
The Department of Agriculture will enforce the new provisions and report annually to the general assembly.
“The industry pushed for these regulations in order to demonstrate that it is solidly on the side of safety and accountability,” said Devin Aracena, Co-chair of Cultivate Tennessee. “The only way for us to grow this industry and educate Tennessee consumers is to create an environment where trust and consumer confidence is paramount. We think this bill is an incredible first step in the next phase of the industry in the state.”
Cultivate Tennessee partnered with House Majority Leader William Lamberth and Senator Richard Briggs, Chairman of the Senate State & Local committee, as well as a long list of supportive State Representatives to secure passage of the bill, which protects consumers and keeps them safe by requiring licenses, testing, child-safe packaging, and proper disclaimers.
Cultivate Tennessee is a non-profit 501-(c)6 group formed by industry leaders to create a self-regulated framework for legal hemp products in the state of Tennessee. This is the first of many steps as Tennessee walks slowly toward a fully regulated cannabis industry in the state. Cultivate Tennessee is asking anyone who wants to see the cannabis industry bloom in the state to financially support the group to keep the momentum moving forward. Support monthly on Patreon or one-time donations at www.cultivatetennessee.com.
About Volunteer Botanicals
Volunteer Botanicals develops precise cannabinoid formulations, providing manufacturers with consistent, versatile hemp-based ingredients for use in a wide variety of products that meet specific demands of product creators inside and outside the hemp industry. The company’s products provide the building blocks of miscible and “flowable” powders suited for supplements, nutraceutical, pharmaceutical, food and beverage applications. Through innovation and technology, Volunteer Botanicals is taking cannabinoids mainstream. For more information, visit https://volunteerbotanicals.com.
About Cultivate Tennessee
Cultivate Tennessee is a 501(c)6 organization that brings together a broad group of professionals to deliver a well-balanced strategic approach to policy development in the cannabis industry. Professionals in the organization range from growers, manufacturers, retailers, lawyers, accountants, government relations advisors, real estate professionals, and more. With this broad spectrum of influence, the recommendations and proposed policies we develop will be directed to stabilize and propel the industry forward in a balanced way that retains the success of the industry with politically tenable legislation for decades to come. For more information, visit the group’s website.
Contact: Jim Dissett
The 9th Block
303-532-7392
jim@the9thblock.com
