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Senate Passes One-Month Delay to Hemp Ban, No Thanks to Budd

Senate Passes One-Month Delay to Hemp Ban, No Thanks to Budd

The Senate early Saturday passed a continuing resolution that would delay the federal crackdown on most hemp-derived THC products for about one month, pushing the effective date from November 12 to December 11. The 90-6 vote sends the measure back to the House, where its fate—and the survival of the hemp-delay language—remains uncertain.

The Senate vote followed an overnight fight over the provision led by Sen. Ted Budd, R-N.C. Budd and a bipartisan group of senators sought to strip the hemp-delay language from the spending bill, which would have allowed the broader restrictions to take effect as scheduled in November. But the Senate voted 61-32 to table Budd’s amendment, preserving the delay before approving the underlying funding measure.

The Senate vote does not settle the policy fight. The delay is a temporary reprieve attached to a must-pass government-funding bill, and Budd and other opponents have signaled they intend to renew their push to keep the November deadline in place when Congress returns to the issue this fall.

The provision would postpone most of the new restrictions until December 11, while leaving the November 12 effective date in place for synthetic cannabinoids that are not capable of being naturally produced by the cannabis plant. For hemp beverage makers, retailers, manufacturers and farmers, the Senate vote keeps open a short but consequential window to pursue a longer-term legislative or regulatory solution.

Jonathan Miller, general counsel for the U.S. Hemp Roundtable, called the extensiona landmark victory for the hemp industry,but noted that work remains to ensure the language survives the legislative process.Our work is not done,Miller said, noting that industry groups will continue working with lawmakers before the next government funding deadline in December.

The Hemp Beverage Alliance, which represents 375 hemp beverage companies and supply chain partners across the U.S. and Canada, also welcomed the proposed delay.

The Hemp Beverage Alliance is thrilled the Senate is standing up for responsible hemp beverage suppliers and their supply chain partners,said Christopher Lackner, founder and president of the Hemp Beverage Alliance.

Lackner said the delay would provide Congress with additional time to consider legislation already introduced to regulate the category, while also creating an opportunity for new proposals to be introduced.

 

Why the Extra Month Matters

A one-month delay may not seem significant. But in Washington, it creates another opportunity for Congress to revisit the issue before the restrictions become law.

Jonathan Miller, general counsel for the U.S. Hemp Roundtable, said the extension, while brief, could be a critical window for the industry.While the extension is just a month, it is an uber-critical month. This CR is likely the last major bill to pass Congress before the ban takes effect in November. Without the extension, it would be extremely difficult to fix before the industry is shut down,Miller said.If the extension does pass, it will bridge the gap to the next big piece of legislation, the December government funding bill, which could serve as the vehicle for a more substantial fix.

Because the continuing resolution would expire on December 11, lawmakers would once again need to negotiate a government funding package. That funding bill could become the vehicle for additional hemp legislation, whether that means modifying the current language, delaying it again, or replacing it with a more comprehensive regulatory framework.

This delay will provide Congress with more time to discuss legislation that already has been introduced to regulate the category. It provides time for new legislation to be introduced, as well.

Industry advocates have argued that the current restrictions would eliminate many federally legal hemp products without creating a clear regulatory pathway for businesses.

The additional month also gives industry groups more time to educate lawmakers, organize lobbying efforts, and build support for alternative legislation that regulates intoxicating hemp products rather than broadly prohibiting them.

Geoff Whaling, chairman of the National Hemp Association, said the extension alone does not resolve the industry’s challenges but provides an opportunity for lawmakers to pursue a longer-term solution.A four-week extension alone doesn’t solve the problem, but it does send an important message: Congress wants a long-term solution, not a rushed outcome,Whaling said.We appreciate lawmakers recognizing the need for additional time, and NHA will continue advancing the Goodness of Hemp Act as the comprehensive legislative framework the entire hemp industry deserves.

 

The House is now the test

The Senate’s vote does not make the delay law. Because the Senate amended the House-passed funding bill, the House must now approve the Senate version—including its hemp language—before it can go to President Trump.

The House has not yet scheduled a vote. That presents the industry’s next immediate challenge: The House previously passed its own continuing resolution without a hemp-delay provision, meaning House leaders must decide whether to accept the Senate’s revised bill or seek additional changes.

The prospects for House passage are difficult to handicap. The Senate’s 90-6 final vote indicates broad bipartisan support for the funding deal, particularly with pressure to avoid a government shutdown. But the House has narrower political margins, and the hemp provision has already proved controversial among Republicans, including Budd and his allies, who argue that the November restrictions should take effect on schedule.

For now, the most likely path is for House leadership to bring up the Senate-passed CR when members return from recess. If the House approves the measure without changes and President Trump signs it, the December 11 effective date would take effect. If the House strips or alters the provision, however, the bill would have to return to the Senate—putting the one-month reprieve at risk and reopening the fight Budd lost overnight.

 

What Happens in December?

December could become the next major turning point for federal hemp policy.

Congress could:

  • extend the delay again;
  • negotiate changes to the hemp provisions;
  • replace the language with a broader regulatory framework; or
  • allow the restrictions to take effect.

For hemp beverage companies, the next month could prove critical. While the proposal would not resolve the industry’s long-term uncertainty, it would provide additional time for lawmakers to debate how intoxicating hemp products should be regulated rather than allowing the current restrictions to take effect automatically.

 

For now, the industry’s immediate focus will be on preserving the hemp language as the Senate-passed continuing resolution moves to the House, before attention shifts to what could be an even larger legislative fight in December.

TAKE ACTION:  Hemp needs your voice. Right now.

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