PUSHING PROGRESS

Events, INDUSTRY, Manufacturing, Marketing, R&D
November 13, 2025

The 2018 Farm Bill legalized hemp as an agricultural commodity under 7 U.S.C. §§ 1639o–1639s, but it did not establish a framework for post-harvest manufacturing or retail cannabinoid products. Congress’s intent was clear: to decriminalize cultivation, not to regulate cannabinoids in commerce.

The absence of a coherent federal framework for finished cannabinoid products stems from FDA’s failure to implement rules under DSHEA (21 U.S.C. § 321(ff)) and DEA’s narrow interpretation of the Controlled Substances Act (21 U.S.C. § 802).

Our objective in the next Farm Bill is to clearly define industrial and floral hemp separately and direct USDA to manage hemp production based on the intended end use of the material. This bifurcation protects agricultural producers growing grain and fiber while establishing a clear regulatory pathway for cannabinoid-producing hemp. By doing so, Congress can properly assign jurisdiction and guarantee action by subsequent regulatory bodies—USDA for agriculture, FDA for consumables, and TTB for impairing products.

This represents the first step toward restoring clarity and balance to federal hemp policy. Complementary language under the Energy & Commerce Committee will be imperative to secure a complete solution to the challenges facing today’s hemp industry. This document outlines the foundational concepts that must be addressed in that forthcoming policy work and reflects the united effort of a coalition of hemp advocates and subject-matter experts prepared to support and advance that next phase.

FRAMEWORK:
STEP-BY-STEP POLICY FRAMEWORK IMPLEMENTATION

Step 1 — Farm Bill: Establish Clear Definitions and Jurisdiction

Objective: Create the legal foundation for bifurcation and purpose-driven regulation.

Define Industrial Hemp (fiber & grain) and Floral Hemp (cannabinoid-producing).
Direct USDA to administer a licensing framework that aligns crop production with intended end use.
Update USDA compliance testing to maintain pre-harvest sampling but adopt a 1.0% Total THC threshold to reflect real-world crop variability and eliminate exploitation of the 0.3% Δ9 loophole.
Clarify that USDA manages agricultural hemp, while FDA, TTB, and DEA regulate downstream consumer and chemical applications.

Step 2 — Energy & Commerce (E&C) Bill: Direct FDA to Regulate Non-Impairing Cannabinoids

Objective: Create a lawful, science-based path for consumer products that are non-impairing.

Amend DSHEA to establish clear authority for FDA over non-impairing cannabinoids.
Require FDA to maintain its acknowledgement of prior GRAS applications for hemp seed, oil, protein, and hull ingredients
Direct FDA-CVM to approve hemp grain products for use in feed and products specifically intended for companion animals and non-food-producing animals, including horses, consistent with the fact that these ingredients would have been considered generally recognized as safe and effectively grandfathered prior to enactment of the Food, Drug, and Cosmetic Act.
Direct FDA to set serving limits, labeling standards, and GMP requirements for hemp-derived cannabinoid ingredients, working in coordination with scientific experts (e.g., NCCRE, APHA) to base dosage thresholds on validated research.
Ensure FDA rulemaking sets clear labeling, marketing, and product-quality requirements that uphold consumer protection and public health.

Step 3 — Within E&C Bill: Appoint TTB to Regulate Impairing Cannabinoids

Objective: Create a controlled, adult-use framework modeled on alcohol.

Assign TTB as the lead regulator for potentially impairing cannabinoid products in coordination with FDA for health and labeling standards.
Establish minimum age (21+), serving limits, QR-code disclosure, and child-resistant packaging requirements.
Provide excise tax authority and state coordination mechanisms similar to alcohol distribution systems.
Ensure DEA retains authority under the Controlled Substances Act for artificial cannabinoids—defined as compounds not naturally present in the cannabis plant.

Outcome:

A cohesive, end use regulatory structure that:

Aligns agricultural oversight (USDA) with public health regulation (FDA, TTB, DEA).
Establishes a complementary Energy & Commerce bill requiring FDA and TTB to assume jurisdiction over cannabinoid-containing products and to establish a federal definition of impairment and regulatory standards to govern it, along with consistent labeling and quality requirements.
Eliminates regulatory gaps and gray areas post-Loper Bright by restoring clear congressional direction across all agencies.
Protects consumers, strengthens lawful markets, and restores Congressional intent for hemp as a legitimate U.S. agricultural commodity.