North Carolina (NC) is a leader in hemp. Over the years, the state’s hemp-friendly laws and overall pro-hemp environment have resulted in NC being the home base for many of the world’s top companies. At Kight Law Office, we regularly consult with major national and international cannabis companies that are expanding into hemp. Many of them decide to set up their hemp operations in NC, despite the fact that it has not enacted any “marijuana” reform, because it has a history of supporting the hemp industry.

It is not a surprise that a new NC hemp bill, SB 265, is a “model” of sorts for how hemp should be regulated at the state level. In stark contrast to claims by the anti-hemp lobby that the hemp industry does not want regulations, SB 265 has strong industry support and sets out a comprehensive regulatory scheme focused on the “Three Pillars” of regulatory oversight: (1) limiting access by minors, (2) standardized quality control in production and manufacturing of cannabinoid products, and (3) uniform labeling requirements to provide sufficient information that adults can make an informed decision about the cannabinoid products they use.

Notably, SB 265 does the following:

• Defines hemp, hemp-derived cannabinoids, and hemp products in a way that supports the industry and consumer demand while focusing on safety.
• Mandates full panel testing and potency testing using HPLC, rather than gas chromatography, and creates a 12 month expiration date for COAs.
• Creates several supply-chain categories, from manufacturer to distributor to retailer, and mandates permits and licensing fees.
• Sets twenty-one (21) as the minimum for purchasing hemp products.
• Creates a “safe-harbor” for manufacturers.
• Grants authority to the NC Alcohol Law Enforcement (ALE) to enforce the state’s hemp laws and regulations.

Many thanks to Senators Johnson, Britt, and Lazzara for sponsoring this bill. Also, thanks to Tami Wahl and the NC Healthy Alternatives Association for their support.

North Carolina’s new hemp bill should serve as a model for states currently struggling with how to regulate hemp. (We’re looking at you, Arkansas, Florida, Illinois, Kentucky, Missouri, Tennessee, and Texas.)

Here’s the bill:

See at 

https://cannabusiness.law/north-carolina-hemp-bill-a-model-for-other-states/