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SB 521

Relating to: highway signs for the Mount Horeb Veterans Memorial. (FE)

2025-2026 Regular Session Introduced by Dianne Hesselbein and 4 co-sponsors

Creates a voluntary state GMP certification for hemp cannabinoids with labeling, COAs from ISO labs, and expanded enforcement to boost safety and transparency.

Received from Senate
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Bill Summary · SB 521

SB 521 — Regulate Cannabinoid Products

Status: Passed 1st Reading (Introduced Feb 19, 2025)
Subject areas: Agriculture, Hemp & Hemp Products, Manufacturing, Licensing & Permits, Public Safety

Purpose / Intent

SB 521 would create a state-regulated, voluntary certification (licensing) program for hemp-derived cannabinoid products and establish labeling, testing, and market‑authorization standards intended to increase product transparency and consumer safety. It also clarifies that the inclusion of hemp alone does not render a product “adulterated” and expands certain enforcement jurisdiction to locations selling hemp/cannabinoid products.

Key provisions

  • Definitions
    • “Cannabinoid-related compounds” enumerated to include common phytocannabinoids (THC, THCA, CBD, CBDA, CBN, CBG, CBC, THCV, CBDV, etc.).
    • “Hemp” defined as Cannabis sativa (L.) and parts/derivatives with delta‑9 THC ≤ 0.3% (dry weight). “Hemp products” excludes smokeable products.
  • Voluntary certification program (Board of Agriculture)
    • The Board must adopt rules to establish a voluntary Good Manufacturing Practices (GMP) certification program for manufacture, packaging, and labeling of hemp‑derived cannabinoid products.
    • Certification is applicant‑based; the Department (via Commissioner) will take applications and the Board will set license/fee schedules. Fees are to cover program administration and staffing.
  • Labeling and testing requirements (to be included in the Board’s rules)
    • Labels must disclose total marketed cannabinoid content per product unit and (for ingestibles) per recommended serving size.
    • Products must include a machine‑readable code (e.g., QR) linking to a lot‑specific Certificate of Analysis (COA) hosted online.
    • COA requirements: ISO/IEC 17025‑accredited independent laboratory testing; lot‑specific potency profile and contaminant analyses (residual solvents, heavy metals, pesticides, mycotoxins, microbials).
  • Enforcement and prohibitions
    • Manufacture/sale/offer of products falsely certified under the program is prohibited and may trigger existing statutory remedies for adulteration/misbranding.
    • Alcohol law‑enforcement agents’ subject matter jurisdiction is expanded to permit investigation/enforcement at locations engaged in or marketing sale/distribution of hemp/hemp products/cannabinoid compounds (per defined statute).
  • “Hemp not adulterant” clause
    • The bill states, subject to Board rules, that hemp products shall not be considered adulterated or misbranded solely due to inclusion of hemp.
  • Rulemaking and timing (as written in the bill)
    • The Board must adopt temporary rules no later than Jan 1, 2024, and permanent rules no later than Jan 1, 2025. (The bill text also specifies effective dates for particular sections: e.g., Section 2 effective Jan 1, 2024; Sections 3 and 5 effective Oct 1, 2023; remainder on enactment.)

Who is affected

  • Hemp growers, processors, manufacturers and product formulators (especially producers of ingestibles, topicals, and other non‑smokeable hemp products).
  • Retailers and distributors of hemp/cannabinoid products.
  • Independent testing laboratories (ISO 17025 accreditation becomes central).
  • Department/Board of Agriculture (program administration) and alcohol law‑enforcement agents (expanded enforcement role).
  • Consumers benefit from increased testing transparency and labeling.

Potential impacts

  • Consumer protection: greater transparency on potency and contaminants through lot‑specific COAs and standardized labeling.
  • Costs & compliance: producers may face testing and licensing costs to participate and to meet labeling/testing expectations; fees are intended to fund program administration.
  • Market effects: voluntary nature preserves marketplace flexibility, but false certification is penalized. Declaring hemp not automatically “adulterated” could reduce regulatory uncertainty for some products.
  • Enforcement: broadened investigatory authority may increase compliance actions at retail points selling cannabinoid products.

Notes / Caveats

  • The program as drafted is voluntary; businesses are not required to participate to sell hemp products but may be subject to prohibitions if they falsely claim certification.
  • The bill text includes specific rulemaking and effective dates that precede the stated 2025 introduction date; those dates appear in the bill language and would take effect if enacted as written.

Compiled from official sources — confirm details with the bill’s official record.

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