1.1 A bill for an act 1.2 relating to cannabis; authorizing certain liquor wholesalers to purchase and sell 1.3 lower-potency hemp edibles; proposing coding for new law in Minnesota Statutes, 1.4 chapter 342. 1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.6 Section 1. [342.463] LOWER-POTENCY HEMP EDIBLE WHOLESALER. 1.7 Subdivision 1.Authorization.A wholesaler, as defined in section 340A.101, subdivision 1.828, with a valid license issued under chapter 340A may purchase and sell lower-potency 1.9hemp edibles subject to the requirements of this section. 1.10 Subd. 2.Registration.Every wholesaler purchasing and selling lower-potency hemp 1.11edibles on or after April 1, 2025, must be registered with the office. A wholesaler must 1.12register in the form and manner established by the office. The sale of lower-potency hemp 1.13edibles by a person who is not registered with the office is prohibited and subject to the 1.14penalties in section 342.09, subdivision 6; any applicable criminal penalty; and any other 1.15applicable civil or administrative penalty. 1.16 Subd. 3.Approved actions.A registered wholesaler may: 1.17 (1) purchase lower-potency hemp edibles from cannabis microbusinesses, cannabis 1.18mezzobusinesses, cannabis cultivators, cannabis manufacturers, and lower-potency hemp 1.19edible manufacturers; 1.20 (2) sell lower-potency hemp edibles to lower-potency hemp edible retailers, cannabis 1.21microbusinesses with a retail endorsement, cannabis mezzobusinesses with a retail 1.22endorsement, cannabis retailers, and medical cannabis combination businesses; 1Section 1. REVISOR SS/NS 25-0423502/25/25 State of Minnesota This Document can be made available in alternative formats upon request HOUSE OF REPRESENTATIVES H. F. No. 1735 NINETY-FOURTH SESSION Authored by West and Stephenson02/27/2025 The bill was read for the first time and referred to the Committee on Commerce Finance and Policy 2.1 (3) import lower-potency hemp edibles that contain hemp concentrate or artificially 2.2derived cannabinoids that are derived from hemp plants or hemp plant parts; and 2.3 (4) perform other actions approved by the office. 2.4 Subd. 4.Operations.(a) A registered wholesaler must maintain accurate records and 2.5ensure that appropriate labels remain affixed to lower-potency hemp edibles. 2.6 (b) A registered wholesaler must maintain compliance with state and local building, fire, 2.7and zoning requirements or regulations and must ensure that the wholesaler's premises are 2.8maintained in a clean and sanitary condition, free from infestation by insects, rodents, or 2.9other pests. 2.10 (c) A registered wholesaler may purchase and sell other products or items for which the 2.11wholesaler has a license or an authorization or that do not require a license or an 2.12authorization. Products for which no license or authorization is required include but are not 2.13limited to industrial hemp products, products that contain hemp grain, hemp-derived topical 2.14products, and cannabis paraphernalia. Cannabis paraphernalia includes but is not limited to 2.15childproof packaging containers and other devices designed to ensure the safe storage and 2.16monitoring of cannabis flower and cannabis products in the home to prevent access by 2.17individuals under 21 years of age. 2.18 (d) The limitations on financial relationships described in section 342.23, subdivision 2.195, apply to registered wholesalers. 2.20 Subd. 5.Transportation of lower-potency hemp edibles.(a) A registered wholesaler 2.21may transport lower-potency hemp edibles on public roadways if: 2.22 (1) the lower-potency hemp edibles are in final packaging; 2.23 (2) the lower-potency hemp edibles are packaged in tamper-evident containers that are 2.24not visible or recognizable from outside the transporting vehicle; 2.25 (3) the registered wholesaler has a shipping manifest in the registered wholesaler's 2.26possession that describes the contents of all tamper-evident containers; 2.27 (4) all departures, arrivals, and stops are appropriately documented; 2.28 (5) no person other than a designated employee enters a vehicle at any time that the 2.29vehicle is transporting lower-potency hemp edibles; and 2.30 (6) the registered wholesaler complies with any other rules adopted by the office related 2.31to the transportation of lower-potency hemp edibles by a lower-potency hemp edible retailer. 2Section 1. REVISOR SS/NS 25-0423502/25/25 3.1 (b) Any vehicle assigned for the purposes of transporting lower-potency hemp edibles 3.2is subject to inspection at any time. 3.3 Subd. 6.Importation of hemp-derived products.(a) A registered wholesaler may sell 3.4products manufactured outside the boundaries of the state of Minnesota if: 3.5 (1) the manufacturer is licensed in another jurisdiction and subject to regulations designed 3.6to protect the health and safety of consumers that the office determines are substantially 3.7similar to the regulations in this state; or 3.8 (2) the registered wholesaler establishes, to the satisfaction of the office, that the 3.9manufacturer engages in practices that are substantially similar to the practices required for 3.10licensure of manufacturers in this state. 3.11 (b) The office may cancel the registration of a wholesaler who is prohibited from 3.12distributing products containing cannabinoids in any other jurisdiction, convicted of an 3.13offense involving the distribution of products containing cannabinoids in any other 3.14jurisdiction, or found liable for distributing any product that injured customers in any other 3.15jurisdiction. A registered wholesaler shall disclose all relevant information related to actions 3.16in another jurisdiction. Failure to disclose relevant information may result in disciplinary 3.17action by the office, including cancellation of a registration. 3.18 (c) Notwithstanding any law to the contrary, it shall not be a defense in any civil or 3.19criminal action that a registered wholesaler relied on information on a product label or 3.20otherwise provided by a manufacturer who is not licensed in this state. 3.21 Subd. 7.Enforcement.The office may enforce this section under the relevant provisions 3.22of section 342.19, including but not limited to issuing administrative orders, embargoing 3.23products, and imposing civil penalties. 3.24 EFFECTIVE DATE.This section is effective the day following final enactment. 3Section 1. REVISOR SS/NS 25-0423502/25/25