HB445ENGROSSED
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HB445
DG7XGNH-2
By Representative Whitt
RFD: Health
First Read: 18-Mar-25
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First Read: 18-Mar-25
A BILL
TO BE ENTITLED
AN ACT
Relating to consumable hemp products; to add Chapter 12
to Title 28, Code of Alabama 1975; to regulate the
manufacture, wholesale distribution, and retail sale of
consumable hemp products in this state; to authorize the
Alcoholic Beverage Control Board to license manufacturers,
wholesalers, and retailers of these products; to impose
restrictions on retail establishments; to prohibit the sale of
consumable hemp products to minors; to impose testing and
labeling requirements on these consumable hemp products; to
prohibit the sale of inhalable hemp products; to impose an
excise tax on consumable hemp products and provide for the
distribution of tax proceeds; to establish the Consumable Hemp
Product Compliance Fund and provide for expenditures of the
fund; to authorize the board to seize unlawful consumable hemp
products; to provide for civil and criminal penalties for
violations; and to repeal Section 13A-12-214.4, Code of
Alabama 1975, relating to the sale of psychoactive
cannabinoids.
BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
Section 1. Chapter 12 is added to Title 28, Code of
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Section 1. Chapter 12 is added to Title 28, Code of
Alabama 1975, to read as follows:
Article 1 General Provisions
§28-12-1
(a) The purpose of this chapter is to regulate the
manufacture, wholesale distribution, and sale of hemp-derived
consumable hemp products, including products containing
cannabidiol (CBD) or tetrahydrocannabinol (THC). It is the
intent of the Legislature that the manufacture, wholesale
distribution, and sale of hemp-derived cannabinoid products is
strictly prohibited unless specifically provided for in this
chapter. In acknowledging that the products regulated in this
chapter may be psychoactive, the regulation and control of
these products in this state are in the interest of public
health and safety through ensuring proper age verification and
the state's ability to efficiently enforce the requirements
and restrictions contained in this chapter.
(b) Nothing contained in this chapter relates to
medical cannabis regulated under Chapter 2A of Title 20.
§28-12-2
As used in this chapter, the following terms have the
following meanings:
(1) BATCH. A specific quantity of a specific product
containing cannabinoids that: (i) is manufactured at the same
time and using the same methods, equipment, and ingredients
that are uniform and intended to meet specifications for
identity, strength, purity, and composition; and (ii) is
manufactured, packaged, and labeled according to a single
batch production record executed and documented.
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batch production record executed and documented.
(2) CANNABINOIDS. Includes cannabidiol (CBD) and any
tetrahydrocannabinol (THC), whether naturally occurring or
synthetically created, from hemp.
(3) CARTON. The package or container or containers in
which consumable hemp products are originally packaged for
shipment to market by the manufacturer.
(4) CERTIFICATE OF ANALYSIS. A document issued by an
independent, accredited laboratory that provides information
about the chemical composition of a particular batch of
consumable hemp product.
(5) CERTIFIED LABORATORY. An ISO (International
Organization for Standardization)/IEC (International
Electrotechnical Commission) 17025:2017 certified laboratory.
(6) CONSUMABLE HEMP PRODUCT. A finished product that is
intended for human or animal consumption and that contains any
part of the hemp plant or any compound, concentrate, extract,
isolate, or resin, whether naturally occurring or
synthetically created, derived from hemp. The term includes,
but is not limited to, products that contain cannabinoids,
whether psychoactive or not.
(7) CONSUMPTION. Ingesting or topically applying to
skin or hair.
(8) CONTAINER. The bottle, can, bag, or other
receptacle, excluding cartons, in which consumable hemp
products are originally packaged for the market by the
manufacturer and from which the consumable hemp product is
consumed by the public.
(9) CONTAMINANT. A foreign substance or compound that,
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(9) CONTAMINANT. A foreign substance or compound that,
if ingested, inhaled, or absorbed, may have an adverse effect
on the health of a human or animal. The term includes, but is
not limited to, heavy metals, pesticide residuals, residual
solvents or processing chemicals, and any other substance or
compound that the Alabama Department of Public Health
determines, if ingested, inhaled, or absorbed, could have an
adverse effect on the health of a human or animal.
(10) DISQUALIFYING OFFENSE. Any crime against children,
cruelty to animals, human trafficking, any crime involving
controlled substances, sex offenses, or any crime of violence.
(11) HEMP. The term as defined in Section 2-8-381.
(12) IMPORT. To bring any consumable hemp product
manufactured outside the state into this state for
distribution of consumable hemp products in this state.
(13) LICENSEE. A person licensed by the board pursuant
to this chapter as a manufacturer, a wholesaler, or a retailer
of consumable hemp products.
(14) MANUFACTURER. A person licensed by the board that
manufactures and packages consumable hemp products for
wholesale distribution or sale to retailers in this state.
(15) RETAILER. A person licensed by the board located
in this state that purchases consumable hemp products from a
manufacturer or a wholesaler and sells consumable hemp
products at retail in this state for off-premises consumption.
(16) THC. Any tetrahydrocannabinol, whether naturally
occurring in, or synthetically created from, hemp, including,
but not limited to, delta-8-tetrahydrocannabinol,
delta-9-tetrahydrocannabinol, or
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delta-9-tetrahydrocannabinol, or
delta-10-tetrahydrocannabinol.
(17) WHOLESALER. A person licensed by the board located
in this state that purchases consumable hemp products from a
manufacturer and distributes and sells the products to
retailers.
§28-12-3
(a) The manufacture, possession, distribution, and sale
of consumable hemp products within this state shall be
regulated and enforced by the board through the licensure of
manufacturers, wholesalers, and retailers of consumable hemp
products as provided in this chapter.
(b) In addition to the powers provided to the board
under this chapter, the board shall retain all powers
otherwise provided in this title as necessary to administer
and enforce this chapter, and this chapter shall be construed
in pari materia with other provisions of this title
authorizing the board to regulate intoxicating products and
restricting sales and possession of products to individuals
under 21 years of age.
(c) On and after January 1, 2026, any person that
manufactures, distributes, or sells at retail any consumable
hemp product in this state without a license issued pursuant
to this chapter shall be in violation of this section, and all
consumable hemp products in that person's possession shall be
considered contraband and may be seized by the board or its
agents or any law enforcement officer of the state without a
warrant.
(d) Every place licensed as a manufacturer shall be
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(d) Every place licensed as a manufacturer shall be
subject to inspection by members of the board or by agents
authorized and designated by the board at any time of the day
or night as they may deem necessary, for the detection of
violations of this chapter, any law, or the rules of the
board, or for the purpose of ascertaining the correctness of
the records required to be kept by a licensee.
(e) The board shall adopt rules as necessary to
implement this chapter.
§28-12-4
(a) The Consumable Hemp Product Compliance Fund is
created within the State Treasury and shall be administered by
the board. All filing fees, annual license fees, and label
approval fees collected under this chapter shall be deposited
into the fund. Amounts deposited into the fund shall be
budgeted and allotted in accordance with Sections 41-4-80
through 41-4-96 and Sections 41-19-1 through 41-19-12.
(b) The board may expend monies in the Consumable Hemp
Product Compliance Fund only for the following purposes:
(1) Training, education, and administrative and
operating costs for the administration and enforcement of this
chapter.
(2) Pursuant to an agreement between the board and the
Alabama State Law Enforcement Agency, operating and staffing
costs incurred by the Alabama State Law Enforcement Agency to
conduct underage purchase compliance checks pursuant to this
chapter.
(3) Random purchases by the board of consumable hemp
products and testing of products to ensure compliance with
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products and testing of products to ensure compliance with
this chapter.
(c) Any remaining funds on September 30 shall be
distributed to the State General Fund.
§28-12-5
(a) A manufacturer or wholesaler shall be assessed an
excise tax at the rate of seven percent of gross sales of
consumable hemp products sold to retailers. The tax is in
addition to any other tax imposed by federal, state, or local
law.
(b)(1) The tax levied in subsection (a) shall be
collected by a return which shall be filed by a manufacturer
or wholesaler licensee with the board postmarked not later
than the last day of the month following the month of sale of
consumable hemp products and shall be accompanied by the
remittance of the tax due. The manufacturer licensee report
shall include, but not be limited to, gross sales to licensed
retailers and to customers for off-premises consumption. The
wholesaler licensee report shall include, but not be limited
to, gross sales to licensed retailers. The report shall be in
a form and contain information as the board may prescribe.
(2) If a licensee fails to file any return by the date
described in subdivision (1), including any written extension
of time granted by the board in advance, there shall be
assessed as a penalty the greater of 10 percent of the tax
required to be shown on the return or fifty dollars ($50).
(3) If a licensee fails to pay to the board the amount
of the tax due by the date described in subdivision (1),
including any written extension of time granted by the board
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including any written extension of time granted by the board
in advance, there shall be added as a penalty 10 percent of
the unpaid amount due on the return.
(4) Interest shall be added to any tax due which is not
paid by the due date, from the due date of the tax, computed
based on the underpayment rate established by the U.S.
Secretary of the Treasury pursuant to 26 U.S.C. § 6621.
(c) The revenue generated from the tax shall be
distributed as follows:
(1) Fifty percent to the State General Fund.
(2) Twenty-five percent to the respective counties in
the state proportionate to the ratio of the population of each
respective county to the total population of all counties,
based on the most recent federal decennial census.
(3) Twenty-five percent to the respective
municipalities in the state proportionate to the ratio of the
population of each respective municipality to the total
population of all municipalities, based on the most recent
federal decennial census.
(d) If the board or any authorized agent of the board
finds any illegal product sold at a retailer establishment,
the illegal product shall be confiscated and, in addition to
all other penalties authorized by law, the board shall assess
taxes based on an excise tax at the rate of seven percent of
the gross wholesale value of the illegal product.
Article 2 Licensure
§28-12-20
(a) The board shall issue and renew licenses to
manufacturers, wholesale distributors, and retailers of
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manufacturers, wholesale distributors, and retailers of
consumable hemp products as provided in this chapter.
(b) The board is granted discretionary powers in acting
upon license applications under this chapter.
(c) Every applicant for an original license issued
under this chapter shall file a written application with the
board in such form and containing such information as the
board may prescribe, by rule, which shall be accompanied by a
nonrefundable initial filing fee of fifty dollars ($50) and
the appropriate license fee.
(d) The board may not issue a license under this
chapter unless the local governing body of the county or
municipality in which the licensee's facility will be located
has approved the application for licensure.
(e) Licenses issued under this chapter, unless revoked
or suspended by the board, shall be valid for the license year
which shall begin on October 1 of each year. Licenses may be
issued at any time during the year, but license fees shall not
be prorated.
(f) The board may suspend or revoke a license in
accordance with Section 28-3A-24 or 28-3A-26; provided,
however, the board may suspend a license without a hearing in
situations of imminent danger to the public or for purposes of
protecting the public welfare, peace, safety, and health of
the residents of the state.
§28-12-21
(a) For purposes of this section, the term "applicant"
includes every individual that has any proprietary or
financial interest of 10 percent or more in the licensed
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financial interest of 10 percent or more in the licensed
establishment but shall not include any public corporation
whose shares are traded on a recognized stock exchange.
(b) Each applicant must be legally present in the
United States and shall provide to the board a valid driver
license issued in the United States, a valid military
identification, or other valid identification card, as
determined by the board.
(c)(1) In addition to all other requirements, an
applicant for a license under this section shall submit to the
board a form, sworn to by the applicant, providing written
consent from the applicant for the release of criminal history
background information. The form shall also require the
applicant's name, date of birth, and Social Security number
for completion of a criminal history background check.
(2) An applicant shall provide the board with two
complete functional sets of fingerprints, either cards or
electronic, properly executed by a criminal justice agency or
an individual properly trained in fingerprinting techniques.
The fingerprints and form shall be submitted by the board to
the State Bureau of Investigations for the purposes of
furnishing criminal background checks. The State Bureau of
Investigations shall forward a copy of the applicant's prints
to the Federal Bureau of Investigation for a national criminal
background check. The applicant shall pay all costs associated
with the background checks required by this section.
(d) The board shall keep information received pursuant
to this section confidential, except that information received
and relied upon in denying the issuance of a license in this
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and relied upon in denying the issuance of a license in this
state may be disclosed as may be necessary to support the
denial or when subpoenaed by a court.
(e) The board shall not issue a license to any
applicant that has been convicted of a disqualifying offense
within 10 years of the date of the application.
(f)(1) Any person applying for an initial license under
this chapter shall be required to purchase and maintain a
surety bond, payable to the board, for each licensed location,
executed by the applicant as principal, and by a corporate
surety company qualified to do business in this state as
surety, in the amount of twenty-five thousand dollars
($25,000).
(2) The board may file a claim against the surety bond
of any licensee that fails to timely collect and remit taxes
under this chapter or fails to timely pay any outstanding
penalty imposed by the board.
(g) Every license issued under this title shall be
constantly and conspicuously displayed on the licensed
premises.
§28-12-22
(a)(1) Effective January 1, 2026, upon the applicant's
compliance with this title and rules adopted thereunder, as
appropriate, and submission of an application, initial filing
fee, and license fee, the board shall issue to the applicant a
manufacturer license that authorizes the licensee to
manufacture or otherwise produce consumable hemp products
within this state or for sale or distribution within this
state.
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state.
(2) No person shall manufacture or otherwise produce
consumable hemp products within this state or for sale or
distribution within this state, unless the person is issued a
manufacturer license by the board.
(b) A manufacturer may:
(1) Sell consumable hemp products to licensed
wholesalers or directly to licensed retailers; and
(2) Sell consumable hemp products directly to
customers, but only for off-premises consumption and not for
resale.
(c) A manufacturer may not:
(1) Sell any consumable hemp product for consumption on
the licensed premises or conduct any tastings for customers;
(2) Sell any consumable hemp product in other than
original containers approved by the board; or
(3) Sell any consumable hemp product whose label and
certificate of analysis have not been approved as provided in
subsections (d) and (e).
(d)(1) Prior to the initial sale of any consumable hemp
product in this state, a manufacturer shall submit to the
board a label that meets the standards set forth in Section
28-12-41, and obtain label approval from the board. At the
time of submission, the licensee shall pay a label approval
fee of fifty dollars ($50).
(2) If the board determines that the label meets the
requirements of Section 28-12-42, the board shall approve the
label.
(3) A manufacturer licensee must resubmit the label for
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(3) A manufacturer licensee must resubmit the label for
board approval if there is any change to the label other than
the date of manufacture, the date of expiration, or the batch
number.
(e) In addition to subsection (d), prior to the initial
sale of any consumable hemp product, and at least annually
thereafter for each consumable hemp product, a manufacturer
shall obtain approval from the Alabama Department of Public
Health that the product meets the criteria for a certificate
of analysis as provided in Section 28-12-42.
(f) On and after January 1, 2026, all consumable hemp
products whose labels and certificates of analysis have not
been approved as required under subsections (d) and (e) shall
be considered contraband and may be seized by the board or its
agents, or any law enforcement officer of the state without a
warrant.
(g) A manufacturer shall submit to the board prior to
the twentieth day of each month a consolidated report of all
shipments of consumable hemp products made to each wholesaler
and retailer during the preceding month and any other
information relevant to the manufacturing of consumable hemp
products as determined by the board, by rule. The reports
shall be in the form and containing information as the board
may prescribe.
(h) A manufacturer shall keep at its licensed premises
daily permanent records that show the quantities of raw
materials received and used in the manufacture of consumable
hemp products and the quantities of consumable hemp products
manufactured and stored, the sale of consumable hemp products,
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manufactured and stored, the sale of consumable hemp products,
and the names and addresses of the purchasers of consumable
hemp products, excluding sales made to customers under
subdivision (b)(2). In addition, a manufacturer shall retain
on the licensed premises the applicable certificates of
analysis and approvals by the Alabama Department of Public
Health, as well as the labels approved by the board for a
period of three years.
§28-12-23
(a)(1) Effective January 1, 2026, upon the applicant's
compliance with this title and rules adopted thereunder, as
appropriate, and submission of an application, the initial
filing fee, and license fee, the board shall issue to the
applicant a wholesaler license that authorizes the licensee to
purchase, import, and receive shipments of consumable hemp
products from outside the state from licensed manufacturers,
to purchase consumable hemp products from manufacturers within
this state, and to sell at wholesale and distribute consumable
hemp products to retailers in this state.
(2) No person shall import or receive consumable hemp
products or distribute and sell consumable hemp products to
retailers in this state unless the person is issued a
manufacturer license by the board.
(b) Sales to all retailers shall be in original
containers approved by the board.
(c) A wholesaler shall submit to the board prior to the
twentieth day of each month a consolidated report of all
receipts and shipments of consumable hemp products made to
each retailer during the preceding month and any other
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each retailer during the preceding month and any other
information relevant to the wholesale distribution of
consumable hemp products as determined by the board, by rule.
The reports shall be in the form and containing information as
the board may prescribe.
§28-12-24
(a)(1) Effective January 1, 2026, upon the applicant's
compliance with this title and rules adopted thereunder, as
appropriate, and submission of an application, the initial
filing fee, and license fee, the board shall issue to the
applicant a retailer license that authorizes the licensee to
purchase consumable hemp products from a licensed wholesaler
or licensed manufacturer and to sell consumable hemp products
at retail for off-premises consumption.
(2) No person shall sell consumable hemp products in
this state to customers unless the person has been issued a
retailer license by the board.
(b) Topical consumable hemp products may be sold in a
pharmacy licensed by the Alabama State Board of Pharmacy,
provided the pharmacy obtains a consumable hemp product
retailer license from the Alcoholic Beverage Control Board and
complies with this chapter and rules of the board. Any topical
consumable hemp product sold in a pharmacy must be sold by a
licensed pharmacist or by a pharmacy technician or employee
who is under the direct supervision and control of a licensed
pharmacist.
(c) Sales to all customers shall be in original
packages or containers as prepared for the market by the
manufacturer.
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manufacturer.
(d) Except for pharmacies selling topical consumable
hemp products pursuant to subsection (b), the location of any
retailer licensee must be restricted so that only those
individuals 21 years of age or older are permitted to enter
the location. The board shall only issue retailer licenses to:
(1) Applicants that have a valid retail liquor license
from the board that authorizes off-premises consumption only;
or
(2) Applicants whose retail premises is a standalone
location that only sells consumable hemp products.
(e) A retailer may not:
(1) Purchase consumable hemp products from or sell
consumable hemp products to another retailer;
(2) Sell any consumable hemp product for consumption on
the licensed premises or conduct any tastings for customers;
or
(3) Sell any consumable hemp product in other than
original sealed containers approved by the board.
(f) A retailer shall submit to the board prior to the
twentieth day of each month a consolidated report of all
receipts and sales of all consumable hemp products made to
customers during the preceding month and any other information
relevant to the retail sale of consumable hemp products as
determined by the board, by rule. The reports shall be in the
form and containing information as the board may prescribe.
(g) A retailer licensee shall maintain at its licensed
premises a copy of the certificate of analysis and approved
label for every consumable hemp product available for sale by
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label for every consumable hemp product available for sale by
the retailer, which shall be made available for inspection to
any law enforcement officer or authorized agent of the board.
§28-12-25
(a) The following annual license fees are levied and
prescribed for licenses issued and renewed by the board
pursuant to the authority of this chapter:
(1) Manufacturer license, license fee of five thousand
dollars ($5,000).
(2) Wholesaler license, license fee of five thousand
dollars ($5,000).
(3) Retailer license, license fee of one thousand
dollars ($1,000).
(b) The license fees levied and fixed by this section
shall be paid before a license is issued or renewed.
§28-12-26
(a) A license issued under this article shall be
renewed annually upon the filing of an application and payment
of the applicable license fee. A licensee must file a renewal
application, as prescribed by the board, by rule, by August 1
annually.
(b) A consumable hemp product license may be renewed
without penalty during the following fiscal year between
October 1 and October 20 and may continue to be renewed after
October 20 of such license year by payment of appropriate
state and county licensing and filing fees and a penalty of 50
percent of the annual license fee. If a license is not renewed
before midnight September 30 of the succeeding license year,
the license shall terminate with no privilege of renewal.
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the license shall terminate with no privilege of renewal.
Thereafter, a new application must be made and a new license
issued before continuation of the business.
(c) No consumable hemp product licensee may purchase,
receive, store, ship, sell, or give away any consumable hemp
product or enjoy any of the rights and privileges of the
license after the expiration of a license.
(d) Unless the licensee is notified by the board of
objections to the renewal of the license, the board shall
renew the license of any licensee who has submitted the
renewal application and license fee.
§28-12-27
(a) The books and records of licensees at all times
shall be open to inspection by members of the board or by
agents authorized and designated by the board. Members of the
board and its authorized agents, without hindrance, may enter
any place that is subject to inspection under this chapter or
any place where records are kept for the purpose of making
inspections and making transcripts thereof.
(b) A licensee shall keep and preserve all invoices,
books, papers, canceled checks, or other memoranda relating to
the purchase, sale, exchange, or receipt of all consumable
hemp products for a period of three years. This includes the
applicable certificates of analysis and label approvals as
otherwise required under this chapter.
(c) All invoices, books, papers, canceled checks or
other memoranda shall be subject to audit and inspection by
any duly authorized agents of the board at any time.
(d) Any person who fails or refuses to keep and
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(d) Any person who fails or refuses to keep and
preserve the records as required by this section or who, upon
request by an authorized agent of the board, fails or refuses
to allow an audit or inspection of records as provided in this
section shall be guilty of a Class C misdemeanor.
(e) The board may enter upon the premises of any
licensee to inspect, examine, audit, or cause to be examined
or audited by any agent or representative designated by the
board for that purpose, any books, papers, or other records to
verify the proper filing and to determine the accuracy of any
state tax return required to be filed by any licensee
authorized to distribute or sell, and to determine the payment
of all state taxes when and where due with respect to any
state tax levied on consumable hemp products by statute. This
section imposes no duty upon the board to inspect, examine,
and audit with respect to local taxes on consumable hemp
products.
Article 3 Consumable Hemp Products
§28-12-40
(a)(1) One serving size of a consumable hemp product
may not contain more than the following amount of THC:
a. For a beverage or any edible product, five
milligrams of total THC or 0.3 percent total THC on a dry
weight basis, whichever is less.
b. For any topical, sublingual, or other consumable
hemp product not addressed in paragraph a., 0.3 percent total
THC on a dry weight basis.
(2) All edible consumable hemp products shall be
individually wrapped in single serve packaging.
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individually wrapped in single serve packaging.
(3) A beverage serving size may not exceed 12 fluid
ounces or 355 milliliters.
(b) A consumable hemp product may not contain alcohol,
other than as a flavoring agent, or any other intoxicating
compound other than cannabinoids.
(c) The packaging of consumable hemp products:
(1) May not be designed in a manner that appeals to
minors;
(2) May not include a statement, artwork, or design
that could reasonably mislead an individual to believe that
the package contains anything other than a consumable hemp
product; and
(3) Must be child-resistant.
(d) Notwithstanding any provision of state law other
than Chapter 2A of Title 20, inhalable products containing
cannabinoids, whether psychoactive or not, are strictly
prohibited for sale or possession in the state. Inhalable
products include, but are not limited to:
(1) Any product marketed to consumers as an electronic
cigarette, electronic cigarillo, electronic pipe, electronic
hookah, vape pen, vape tool, vaping device, or any variation
of these terms, to include an e-liquid that contains
cannabinoids, whether psychoactive or not.
(2) Any plant product or raw hemp material that is
marketed to consumers as hemp cigarettes, hemp cigars, hemp
joints, hemp buds, hemp flowers, hemp leaves, ground hemp
flowers, or any variation of these terms to include any
product that contains a cannabinoid, whether psychoactive or
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product that contains a cannabinoid, whether psychoactive or
not.
(3) Any other product designed to be inhaled through
the nose or mouth.
§28-12-41
Each label for a consumable hemp product must contain,
at a minimum:
(1) A list of all ingredients in descending order of
predominance;
(2) The name, address, and website of the manufacturer
of the product;
(3) The manufacture date and expiration date;
(4) The batch number;
(5) The total number of milligrams of THCs found in the
container;
(6) The serving size;
(7) The total number of milligrams of THCs per serving;
and
(8) The following warnings:
a. That consumption of the product may cause the person
to fail a drug test due to THC being present;
b. That the product is not safe nor intended for any
person under 21 years of age;
c. That the product is not safe for any person who is
pregnant or breastfeeding; and
d. That the product may impair a person's ability to
drive and operate machinery.
§28-12-42
(a) Prior to making the initial sale of a consumable
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(a) Prior to making the initial sale of a consumable
hemp product to be sold within this state or for sale or
distribution within this state, a manufacturer licensee shall
submit representative samples of each batch of the product to
a certified laboratory for a certificate of analysis. A
certifying laboratory conducting analyses pursuant to this
section may not be affiliated in any way or have any financial
or business interest in any manufacturer, wholesaler, or
retailer licensed by the board.
(b) A certificate of analysis shall include, at a
minimum:
(1) The batch number or lot number of the product;
(2) The date the certificate of analysis is issued;
(3) The method of analysis for each test conducted;
(4) The product name;
(5) The cannabinoid profile by the percentage in dry
weight of CBD and total THC content, and verification that the
product contains an amount of total THC not exceeding that
which is stated on the label of the product; and
(6) A listing of all ingredients for each product,
including, if present, solvents, pesticides, microbial
contaminants, and heavy metals.
(c) A manufacturer shall submit the unredacted and
unedited certificate of analysis to the Alabama Department of
Public Health, along with a processing fee in an amount
determined by the department, by rule. The certified
laboratory conducting the analysis shall report results for
each representative sample on the certificate of analysis as
an overall "pass" or "fail" for the entire batch. Based on the
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an overall "pass" or "fail" for the entire batch. Based on the
certificate of analysis, the department shall determine if the
consumable hemp product is safe for human consumption and, if
the product is safe, shall approve the product and notify the
manufacturer in a method prescribed by the department, by
rule.
§28-12-43
(a) A retailer shall maintain a minimum of 500 square
feet of sales and service area. A retailer may not include in
the calculation of sales and service area any areas that are
not open to customers or not used for sales or displaying
products, such as office space or storage.
(b) Consumable hemp products may not be sold using a
vending machine or other self-service display and payment
system.
(c) An individual under 21 years of age may be employed
by a retailer licensee to the same extent and under the same
conditions as set forth for employees of alcoholic beverage
establishments in Section 28-1-5(c).
(d) Prior to initiating a sale or otherwise providing
consumable hemp products to a customer, an employee of a
retailer must verify that the customer is at least 21 years of
age. Proof of age may be established only by one of the
following:
(1) A valid driver license of any state.
(2) A valid United States Uniformed Service
Identification.
(3) A valid passport.
(4) A valid identification card issued by any agency of
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(4) A valid identification card issued by any agency of
a state for the purpose of identification, bearing a
photograph and date of birth of the individual in question.
(e) The board shall levy a penalty against any person,
retailer licensee, or servant, agent, or employee of the
retailer who sells, attempts to sell, delivers, furnishes, or
gives away a consumable hemp product to an individual under 21
years of age as follows:
(1) For a first offense within a four-year period,
suspension of the license for 90 days and a fine of five
thousand dollars ($5,000) earmarked for the State General
Fund.
(2) For a second offense within a four-year period,
suspension of the license for 180 days and a fine of ten
thousand dollars ($10,000) earmarked for the State General
Fund.
(3) For a third offense within a four-year period,
revocation of the license and any other license issued by the
board under this title and a fine of twenty thousand dollars
($20,000) earmarked for the State General Fund. In addition,
the board may impose a fine of up to twenty thousand dollars
($20,000) against any officer or any individual who has any
proprietary or financial interest of 10 percent or more in the
licensed retailer, and the board may not issue any license
authorized under this title to the retailer or any affiliate
of the retailer at any location in the state for a period of
36 months.
§28-12-44
Except as authorized for retailer employees under
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Except as authorized for retailer employees under
Section 28-12-43(c), any individual under 21 years of age who
attempts to purchase, purchases, consumes, possesses, or
transports consumable hemp products within this state, or who
knowingly uses or attempts to use a false, forged, deceptive,
or otherwise nongenuine driver license to obtain or attempt to
obtain a consumable hemp product in this state, shall be
subject to the same penalties as provided in Section 28-3A-25
for underage drinking.
§28-12-45
The board shall levy a penalty against any person,
retailer licensee, or servant, agent, or employee of the
retailer who sells, attempts to sell, delivers, furnishes, or
gives away a consumable hemp product in violation of Section
28-12-40, 28-12-41, or 28-12-42, as follows:
(1) For a first offense within a four-year period, a
fine of one thousand dollars ($1,000) earmarked for the State
General Fund.
(2) For a second offense within a four-year period, a
fine of two thousand five hundred dollars ($2,500) earmarked
for the State General Fund.
(3) For a third offense within a four-year period, a
fine of five thousand dollars ($5,000) earmarked for the State
General Fund and the board may revoke the retailer license.
§28-12-46
Online sales, direct delivery, drive-through sales, and
direct shipment of consumable hemp products within or into
this state are strictly prohibited.
§28-12-47
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§28-12-47
(a) The following products shall be considered
contraband and may be seized by the board or its agents or by
any law enforcement officer of the state without a warrant:
(1) Any consumable hemp product for which taxes were
not assessed and remitted to the board as required under
Section 28-12-5.
(2) Any consumable hemp product sold in this state
which does not have an approved label as required under
Section 28-12-41.
(3) Any consumable hemp product sold in this state
which does not have an approved certificate of analysis as
required under Section 28-12-42.
(4) Any inhalable hemp product sold in violation of
Section 28-12-40(d).
(5) Any consumable hemp product sold in or delivered
into this state in violation of Section 28-12-46.
(6) Any consumable hemp product sold in this state at
an unlicensed location.
(b) Any unlawful consumable hemp products kept, stored,
or deposited in any place in this state for the purpose of
unlawful sale or unlawful disposition or unlawful furnishing
or distribution, and the vessels and receptacles in which the
products are contained are declared to be contraband, shall be
seized and forfeited to the state, and may be condemned for
destruction pursuant to the procedures set out in Article 11
of Chapter 4 concerning alcoholic beverages.
(c) In any criminal prosecutions against a person for a
violation of this chapter, upon conviction, the court may
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violation of this chapter, upon conviction, the court may
order the destruction of any unlawful consumable hemp products
that were: (i) sold, offered for sale, possessed, or otherwise
disposed of by the defendant; (ii) possessed or used in
conducting the business of a hemp product dealer; or (iii)
used as evidence in the case.
(d) All fixtures, equipment, materials, and personal
property used in substantial connection with the sale or
possession of consumable hemp products involved in a violation
of this chapter shall be subject to the same seizure and
forfeiture procedures as provided pursuant to Article 11 of
Chapter 4. The board shall dispose of consumable hemp products
seized under this chapter by destruction as provided by rule
of the board.
(e) Any person from whom a consumable hemp product is
seized and destroyed pursuant to this section shall be subject
to a fee, to be determined based on the cost of the
destruction and disposal of the hemp product as hazardous
waste.
Section 2. Section 13A-12-214.4, Code of Alabama 1975,
relating to the sale of psychoactive cannabinoids, is
repealed.
Section 3. This act shall become effective on July 1,
2025.
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2025.
House of Representatives
Read for the first time and referred
to the House of Representatives
committee on Health
................18-Mar-25
Read for the second time and placed
on the calendar:
0 amendments
................08-Apr-25
Read for the third time and passed
as amended
Yeas 76
Nays 15
Abstains 11
................10-Apr-25
John Treadwell
Clerk
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