BILL NUMBER: S5284
SPONSOR: SEPULVEDA
 
TITLE OF BILL:
An act to amend the cannabis law, in relation to cannabinoid hemp retail
sales and retailers
 
PURPOSE::
The legislation will ensure that licensed hemp dealers are allowed to
distribute and/or sell hemp-derived cannabinoid products so long as
those products meet the definition of cannabinoid hemp in Article 5 of
the MRTA.
 
SUMMARY OF PROVISIONS::
MRTA Article 1, Section 3, subsections 52 and 53 are amended by altering
the definitions to better reflect federal regulations to which they now
read:
52. "THC" means Delta-9-tetrahydrocannabinol
53. "Total THC" means the dry weight total percentage of Delta-9-tetrah-
ydrocannabinol in each product.
MRTA Article 5, Section 91 is amended to add new subsection two (2)
which shall read: Commencing on January 1, 2023, a CBD retailer licensed
by the Office of Cannabis Management pursuant to this Article or appli-
cable rule shall be permitted to sell any and all forms of Cannabinoid
Hemp provided that such forms of Cannabinoid Hemp meet the requirements
set'forth in this article. The Board shall have the authority to promul-
gate any rules necessary to ensure the safety of Cannabinoid Hemp, so
long as said rules do not infringe upon the ability of licensed hemp
retailers to sell Cannabinoid Hemp. Any prior or future rules, policies,
or regulations promulgated by the board or any other rulemaking body to
prohibit the selling of any form of cannabinoid hemp shall become null
and void.
MRTA Article 5, Section 91, subsection 14 is amended to remove the
following language: in adult-use cannabis retail dispensaries licensed
pursuant to article four of this chapter.
This language is replaced with the following: to those individuals 21
years of age and older.
MRTA Article 5, Section 103 is amended to add new subsection two (2)
which shall read:
Notwithstanding any statute, rule, or regulation to the contrary, all
hemp-derived cannabinoid products must meet the following labeling
requirements:
(1) Nutrition label with serving size
(2) Warning label that the product is not meant to treat or cure any
medical ailment and that it is not regulated by the FDA.
(3) Amount of hemp derived product in each serving of the product in
milligrams
(4) The address of the manufacturer or distributor.
 
JUSTIFICATION::
Over the last several years, states across the country have ended the
prohibition of hemp-derived cannabis products. New York has been no
different as it recently legalized recreational marijuana and ended the
prohibition of cannabis. However, recently enacted regulations by the
Cannabis Control Board threaten to criminalize the sale of certain hemp-
derived products. The decisions to make certain hemp-derived cannabi-
noids illegal to distribute or sell in a licensed environment will once
again turn law abiding citizens and business owners into criminals in
the eyes of the state. This would greatly hinder the work being done to
aid those disproportionately impacted communities most affected by the
prohibition of cannabis. There is no justification as to why licensed
and regulated businesses should not be allowed to distribute or sell
hemp-derived cannabinoid products in a safe manner. This bill would
protect the free market of the hemp industry and ensure that the entire-
ty of the hemp plant is available in the free market, and that a monopo-
ly of cannabinoid hemp products does not arise within marijuana dispen-
saries.
Thus, this legislation will ensure greater public accessibility to
cannabinoid hemp products, provided that those products are sold in a
licensed and regulated manner. All cannabinoid hemp products that meet
the definition in Article 5 of the MRTA should be permitted to be
distributed or sold by licensed dealers, regardless if they are within
hemp retail locations or marijuana dispensaries.
 
LEGISLATIVE HISTORY::
S.4910 of 2023-2024; Referred to Investigations and Government Oper-
ations;
S.9165 of 2021-22: New Bill, Civil Service and Pensions
 
FISCAL IMPLICATIONS::
None.
 
EFFECTIVE DATE::
Immediately.

Statutes affected:
S5284: 91 cannabis law, 91(13) cannabis law, 103 cannabis law, 103(2) cannabis law