The bill proposes the establishment of a consumable hemp products account within the general revenue fund of Texas, aimed at regulating the manufacturing and sale of consumable hemp products. It introduces a new subsection to the Health and Safety Code, which mandates that penalties collected for violations related to consumable hemp products be deposited into this account. Additionally, the bill outlines the sources of funding for the account, including legislative appropriations, donations, fees collected from licensing manufacturers, and penalties for violations of relevant chapters.

Furthermore, the bill sets forth specific licensing and registration fees for manufacturers and retailers of consumable hemp products. An initial licensing fee of $10,000 is required for each location where hemp is processed or consumable hemp products are manufactured, with the same amount applicable for license renewals. Retailers selling consumable hemp products containing cannabidiol must pay an annual registration fee of $20,000 for each location. The bill also removes previous provisions that allowed the department to adopt a flexible registration fee schedule, thereby establishing fixed fees for these activities. The act is set to take effect immediately upon receiving a two-thirds majority vote or on September 1, 2025, if that threshold is not met.

Statutes affected:
Introduced: Health and Safety Code 431.011, Health and Safety Code 443.2025 (Health and Safety Code 443, Health and Safety Code 431)