Tag: Tennessee Growers Coalition

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THCA Products to Remain on Shelves Until Summer

Delta-8 flower on display at The Perfect Plant in Nashville. Legal Delta-8 flower is nearly indistinguishable from marijuana.(Photo: John Partipilo)

The sale of popular hemp products will remain legal in Tennessee until at least June, when a legal challenge to state rules that would outlaw many best-selling products goes to trial in Nashville.

The decision represents a six-month reprieve for Tennessee’s burgeoning hemp industry, which has grown to an estimated $280 million to $560 million in annual sales since the products were legalized nearly six years ago, according to industry survey data.

In dispute are rules, formulated by the Tennessee Department of Agriculture, to require new testing of hemp products for so-called delta-9 THC.

Two industry groups, the Tennessee Growers Coalition and the Tennessee Healthy Alternatives Association, argued the rules, set to go into effect Dec. 26, represented agency overreach and would lead to the ban of products that have not been outlawed by the Tennessee General Assembly.

Tennessee hemp industry makes last-minute legal bid to halt rules banning popular products

State attorneys argued the agriculture agency is well within its rights to set certain limits on chemicals found in hemp.

Days before the rules were set to take effect, Davidson County Chancellor I’Ashea Myles issued a temporary injunction until Feb. 18. That injunction will now remain in effect until trial, scheduled for June 5.

Hemp is a cannabis plant that has been legally available in Tennessee since the Legislature first approved its production, possession and sale in 2019.

It’s distinguished from marijuana by its concentration of a compound known as delta-9 THC. Cannabis with a concentration of less than 0.3 percent delta-9 THC is defined as legal hemp in Tennessee — and federally. Cannabis with concentrations greater than .3 percent is classified as marijuana and is illegal to grow, sell or possess in Tennessee.

Hemp flowers also contain THCA, a nonintoxicating acid that has not been outlawed in Tennessee. When heated or smoked, however, the THCA in the plant converts into delta-9 THC — an illegal substance in Tennessee when it is present in greater than trace amounts. The new rules would require testing for the delta-9 THC produced when THCA is heated.

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Tennessee Lookout is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Tennessee Lookout maintains editorial independence. Contact Editor Holly McCall for questions: info@tennesseelookout.com.

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CannaBeat: State Sued for Rule Change on Smokeables

CBD and Delta-8 products on a shelf at Cumberland Cannabis (Photo: John Partipilo)

Tennessee’s hemp industry is making a last-ditch legal effort to halt sweeping new rules that would ban the sale of popular hemp products legally available in the state since 2019.

Attorneys representing Tennessee hemp retailers and producer associations are expected in a Nashville court Monday just ahead of new state product testing rules scheduled to take effect Dec. 26.

The rules would bar the manufacture, distribution and sale of many of the best-selling hemp products that have helped drive a nascent state industry to generate $280-$560 million in sales annually, based on survey data cited in legal documents.

The hemp products haven’t been outlawed by the Tennessee legislature or the federal government.

TN Agriculture officials want to curb CBD and THCA smokables, offer cryptic response to questions

Rather, new legislation designed to impose first-time regulations on Tennessee’s five-year-old hemp industry –—such as license requirements, taxes, and age restrictions — have been interpreted by the Tennessee Department of Agriculture in a way that would render certain hemp products illegal.

The rules require products to be tested for the first time for so-called TCHA content, a naturally occurring and still-legal substance found in all hemp plants. When hemp flowers are heated or smoked, the substance converts to THC — an illegal substance in Tennessee when it is present in greater than trace amounts.

The Tennessee Growers Association and the Tennessee Healthy Alternatives Association are seeking a temporary injunction they say is necessary to prevent widespread devastation to the burgeoning industry.

Should the new rules go into effect, “a large share of Tennessee’s hemp-derived cannabinoid market will be rendered illegal overnight, shuttering many businesses and forcing downsizing and layoffs at others,” legal filings by the Tennessee Healthy Alternatives Association read.

Hemp is a cannabis plant that has been legally available in Tennessee since the Legislature first approved its production, possession, and sale in 2019.

It’s distinguished from marijuana by its concentration of a compound known as delta-9 THC. Cannabis with a concentration of less than 0.3 percent delta-9 THC is defined as legal hemp in Tennessee — and federally. Cannabis with concentrations greater than .3 percent is classified as marijuana and is illegal to grow, sell, or possess in Tennessee.

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Hemp flowers also contain THCA, a nonintoxicating acid that has not been outlawed in Tennessee. When heated or smoked, however, the THCA in the plant converts into delta-9 THC.

The state product testing rules unveiled by Tennessee’s agriculture department earlier this year will now make THCA products illegal based on their combined concentration of delta-9 THC and THCA, rather than solely their delta-9 THC concentration.

A spokesperson for the Department of Agriculture, which rejected hemp industry administrative appeals of the rules, declined to comment Tuesday on pending legislation.

Both industry groups argue the state’s agriculture department exceeded its authority in formulating the rules, essentially outlawing a product the legislature has determined to be legal.

“Here, it blinks reality to conclude that the General Assembly — in the very statute that expressly defines (THCA) as a legal hemp-derived cannabinoid without any concentration limits — delegated to the Department a clandestine power to outlaw (THCA) products that have been legally sold in Tennessee for years,” legal filings said.

The Tennessee Growers Association has also put forth a separate legal argument that the 2023 law intended to regulate “hemp-derived products” does apply to the unadulterated hemp plant itself.

“Hemp and raw flowers are not HDC’s (hemp derivative products),” the Tennessee Growers Coalition argued. “After all, hemp cannot be ‘derived’ from itself.”

The groups are seeking an immediate preliminary injunction in Davidson County Chancery Court to prevent the rules from taking effect.

Tennessee Lookout is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Tennessee Lookout maintains editorial independence. Contact Editor Holly McCall for questions: info@tennesseelookout.com.

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CannaBeat: Cannabis Group Follows Through on Promise to Sue State

Credit: Budding on Unsplash

As promised, the Tennessee Growers Coalition (TGC), the state’s advocate for the cannabis industry, sued the state over new rules it says are “void” and threaten the industry. 

State lawmakers passed new laws last year to regulate the burgeoning cannabis industry in Tennessee. Among many other things, the new law made the Tennessee Department of Agriculture (TDA) responsible for regulating the cannabis industry in the state. Late last year, the department issued a draft of new rules for cannabis producers and products. 

The department updated those rules in July after a public comment period. However, TGC said state officials did not include ideas from the nearly 19,000 public comments in the new rules.

Instead of blending those ideas into a set of final rules, the TGC said agriculture officials issued emergency rules. The timing and procedure of issuing these new rules form the basis of the cannabis industry’s lawsuit filed Friday. The process, TGC said, “imposed an immediate and irreparable threat of harm” to the businesses of its members.

“TGC members’ businesses and livelihoods are at stake by being forced to adapt their business practices to regulations, change the type of products they sell, and how they manage compliance while paying a license fee under regulations that are void as a matter of law,” reads a statement from the group. “The (TDA) has nothing to lose while TGC Members risk losing everything.”

The new rules still include new THC standards for THCA and CBD flowers. New limits could see those products removed completely. The new rules would also allow police to arrest manufacturers, retailers, and consumers for selling or possessing these smokable products, according to Cultivate Tennessee, another hemp advocacy group.

The new state rules redefine THC to include a product’s total THC. This includes a lot of THCA — the cannabinoid that produces a “high” — smokeable products.

“They’re trying to redefine it by combining two different cannabinoids,” TGC executive director Kelley Mathis Hess told us last month, “two different things, when it should just be Delta 9, and Delta 9 only. They’re trying to put a limit on [THCA] but the limit would, basically, ban a lot of it.” 

Hess said these products are probably the most popular products on the market right now. Many small businesses have built their business around sales of these products, she said. Removing them could prove fatal to them. 

TGC promised to fight the rules in court last month. A court date for the lawsuit has been set for next Thursday, September 19th. 

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CannaBeat: “Legal High” Products Still at Risk in Tennessee

Photo: Budding | Unsplash

Smokeable THCA and CBD products are wildly popular in Tennessee, according to industry advocates, but they remain at risk of disappearing from store shelves under new state rules. 

State lawmakers passed new laws last year to regulate the growing cannabis industry in Tennessee. For example, cannabis products were moved behind shelves of stores that aren’t 21 and up. A new 6-percent tax on cannabis products was levied, too. A single serving of a cannabis product cannot exceed a dosage of 25 milligrams in the state.

The new law also made the Tennessee Department of Agriculture (TDA) responsible for regulating the cannabis industry here. Late last year, the department issued new rules for cannabis producers and products. 

The department updated those rules at the beginning of this month after a public comment period. Tennessee Growers Coalition (TGC) executive director Kelley Mathis Hess said nearly 19,000 comments were submitted to the agency. But officials must not have listened, she said.

The new rules still include new THC standards for THCA and CBD flower. New limits could see those products removed completely. The new rules would also allow police to arrest manufacturers, retailers, and consumers for selling or possessing these smokable products, according to Cultivate Tennessee, another hemp advocacy group.

The new state rules redefine THC to include a product’s total THC. This includes a lot of THCA — the cannabinoid that produces a “high” — smokeable products.

“They’re trying to redefine it by combining two different cannabinoids,” Hess said, “two different things when it should just be Delta 9, and Delta 9 only. They’re trying to put a limit on [THCA] but the limit would, basically, ban a lot of it.” 

Hess said these products are probably the most popular products on the market right now. Many small businesses have built their business around sales of these products, she said. Removing them could prove fatal to them. 

TGC and Cultivate Tennessee have promised to fight. 

“We will fight to keep smokable hemp products, such as THCA flower, concentrates, and vapes legal in Tennessee,” Cultivate Tennessee says on its website. “We will defend against the TDA attempting to rewrite laws through the rules. We assert that the TDA rules are potentially illegal and unconstitutional.”

The new rules, though, are considered “emergency rules,” meaning they are not the final rules. So, they’re not set in stone. Hess said she hopes agency officials will reconsider the new rules for cannabis flower. If they don’t, TGC will file a lawsuit for legal clarification, she said.

These particular products were likely targeted by the agency, Hess said, for one big open secret.

 “These products get you high,” she said. “That’s not a secret anymore. That’s the whole reason [Rep. William Lamberth (R-Portland)] and [Sen. Richard Briggs (R-Knoxville)] brought a bill, because it gets you high and they wanted it regulated.”  

The new rules won’t affect edible products, like gummies, Hess said. Those products are made with cannabis oils that can be measured, fine-tuned all along the production process, and remain stable on the shelf. Cannabinoid profiles in flower products, however, can change. 

No state official has made any public comment on the new rules. However, when the Biden administration announced new rules not approved by Congress in a different matter, Tennessee Attorney General Jonathan Skrmetti led a multi-state revolt against them (and temporarily won). The U.S. Department of Education added “gender identity” to Title IX. Skrmetti said only Congress could change rules and that the government agency “has no authority to let boys into girls’ locker rooms.”