South Carolina General Assembly126th Session, 2025-2026
Bill 3924
Indicates Matter StrickenIndicates New Matter
(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)
Committee Report April 2, 2025 H. 3924 Introduced by Reps. Wooten, W. Newton, Erickson, Neese, Hager, Bannister, Herbkersman, M. M. Smith, Pedalino, Mitchell, Bustos, Lawson, Guffey, Hiott, Taylor, Ballentine, Vaughan, White, Long, Ligon, Guest, Gilliam, Hartnett, Bailey, Landing, B. J. Cox, Hayes, Atkinson, Willis, Lowe, T. Moore, Davis, Hixon, Martin, Pope and Robbins S. Printed 4/2/25--H. Read the first time February 6, 2025 ________ The committee on House Judiciary To whom was referred a Bill (H. 3924) to amend the South Carolina Code of Laws by adding Chapter 56 to Title 46 so as to regulate the sale of hemp-derived consumables, among other things, etc., respectfully Report: That they have duly and carefully considered the same, and recommend that the same do pass with amendment: Amend the bill, as and if amended, by striking all after the enacting words and inserting: SECTION 1. Title 56 of the S.C. Code is amended by adding: CHAPTER 46 Consumable Hemp Products Section 56-46-10. It is unlawful for a person under the age of twenty-one to possess or consume a "consumable hemp product." A "consumable hemp product" is defined as a hemp, tetrahydrocannabinol (THC) or cannabinoid product that is a hemp or cannabinoid derived good intended for human ingestion, absorption, or consumption made from a cannabinoid that is naturally occurring in a hemp plant or made from a cannabinoid that is chemically derived or otherwise synthetically manufactured that has been extracted or purified from an agricultural product. The following chemically derived hemp cannabinoids are specifically included in the definition of a consumable hemp product: (1) Hexahydrocannabinol (HHC); (2) Tetrahydrocannabinol acetate ester (THCo); (3) Tetrahydrocannabiphorol (THCp); (4) Delta 8 Tetrahydrocannabinol; (5) Delta 10 Tetrahydrocannabinol; (6) Delta 4 Tetrahydrocannabinol; (7) Delta 11 Tetrahydrocannabinol; (8) Delta 6a10a Tetrahydrocannabinol; (9) Hehahydrocannabinol Acetate (HHC-O); (10) Delta 9 Tetrahydrocannabiphorol; (11) Delta 9 Tetrahydrocannabihexol; (12) Delta 9 Tetrahydrocannabinol octyl; (13) Delta 9 Tetrahydrocannabinol methyl ether (THC-M); (14) Delta 8 Tetrahydrocannabinol octyl; or (15) Delta 7 Tetrahydrocannabinol. Section 56-46-20. (A) No person may knowingly: (1) sell or distribute a product containing a consumable hemp product to a person who is under twenty-one years of age or purchase a product containing a consumable hemp product on behalf of a person who is under twenty-one years of age; (2) persuade, entice, send, or assist a person who is under twenty-one years of age to purchase, acquire, receive, or attempt to purchase a consumable hemp product. This section does not preclude law enforcement efforts involving: (a) the use of a minor if the minor's parent or legal guardian has consented to this action; or (b) the use of a person under twenty-one years of age who is not a minor if the individual has consented to this action; (3) distribute samples of consumable hemp product in or on a public street, sidewalk, or park; or (4) sell or distribute a consumable hemp product without having first obtained proof of age from the purchaser or recipient. (B) Any consumable hemp beverage product offered for retail sale shall be merchandised in such a manner including, but not limited to, signage, shelf-talkers, and stickers on cooler doors, so as to clearly indicate to consumers the product contains hemp-derived cannabinoids. (C) With the exception of consumable hemp beverages, it is a violation to fail to maintain any product containing consumable hemp products locked away or behind the counter of a retail establishment in an area inaccessible to the customer. (D) A person violating subsection (A) is guilty of a misdemeanor and, upon conviction: (1) for a first offense, must be fined not less than two hundred dollars nor more than three hundred dollars or imprisoned not more than thirty days, or both; and (2) for a second or subsequent offense, must be fined not less than four hundred dollars nor more than five hundred dollars or imprisoned not more than thirty days, or both. (E) Section 61-6-4080 is applicable to a person who is in violation of subsection (A)(1) for the sale or distribution of a consumable hemp product. (F) It is unlawful for a person under twenty-one years of age to: (1) knowingly purchase, possess, or accept receipt of a consumable hemp product; or (2) knowingly present purported proof of age that is false, fraudulent, or not actually that person for the purpose of purchasing or receiving a consumable hemp product. (G) A person violating subsection (F) is guilty of a misdemeanor and, upon conviction, must be fined not less than one hundred dollars nor more than two hundred dollars or must be imprisoned for not more than thirty days, or both. (H) A person eighteen years of age and older lawfully employed to serve or remove consumable hemp products, beer, wine, or alcoholic beverages in establishments licensed to sell these beverages is not considered to be in unlawful possession of the beverages during the course and scope of his duties as an employee. The provisions of this subsection do not affect the requirement that a bartender must be at least twenty-one years of age. Section 56-46-30. (A) The Department of Agriculture must enforce this chapter in a manner that may reasonably be expected to reduce the extent to which consumable hemp products are sold or distributed to persons under twenty-one years of age, and must conduct random, unannounced inspections at locations where such products are sold or distributed to ensure compliance with this chapter. (B) The Department of Agriculture must submit an annual report to the General Assembly describing in detail the department's enforcement efforts under this chapter. The report also must be published and made available to the public on the department's website. Section 56-46-40. (A) A person engaged in the business of selling at retail consumable hemp products must post in each location for which he has obtained a license a sign with the following words printed thereon: "The possession of a consumable hemp product by a person under twenty-one years of age is a criminal offense under the laws of this State, and it is also unlawful for a person to knowingly give false information concerning his age for the purpose of purchasing a consumable hemp product." (B) The South Carolina Department of Agriculture must prescribe by regulation the size of the lettering and the location of the sign on the seller's premises. (C) A retail seller of consumable hemp products who fails to display the sign required by this section is guilty of a misdemeanor and, upon conviction, must be fined not more than one hundred dollars or imprisoned for not more than thirty days, or both. Section 56-46-50. (A) Nothing in this act shall be construed to: (1) legalize the sale, possession, or consumption of THC products by any person in this State where such products are otherwise prohibited by law; (2) permit the sale or distribution of any product that exceeds the established THC limits; or (3) prohibit the sale or distribution of any hemp product that is otherwise legal under state or federal law provided the sale or distribution is not in violation of this article. (B) This article does not limit or affect any other federal or state law more strictly regulating THC or controlled substances in this State. Section 56-46-60. An entity that is in the business of manufacturing or selling products containing a hemp-derived cannabinoid in this State, including a producer or retailer, may not be located within one thousand feet of a school, daycare facility, or other similar locations. SECTION 2. If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act is for any reason held to be unconstitutional or invalid, such holding shall not affect the constitutionality or validity of the remaining portions of this act, the General Assembly hereby declaring that it would have passed this act, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective. SECTION 3. During the first 180 days after the effective date of this act, law enforcement officers shall only issue warnings for violations of this article. SECTION 4. This act takes effect upon approval by the Governor. Renumber sections to conform. Amend title to conform. W. NEWTON for Committee. statement of estimated fiscal impact Explanation of Fiscal Impact State Expenditure This bill creates a new Chapter 56 in Title 46 pertaining to hemp-derived consumables. This bill defines hemp-derived consumables and specifies that they may not contain chemically derived hemp cannabinoids. This bill also sets serving size limits and creates requirements for the appearance of hemp-derived consumables. There are currently no statutes in South Carolina law regarding hemp-derived consumables intended for human ingestion made from a naturally occurring cannabinoid, although it is illegal to possess or use marijuana with a THC content above 0.3 percent. Currently, hemp-derived cannabinoid products are legal in the U.S. pursuant to the United States Agriculture Improvement Act of 2018, otherwise known as the 2018 Farm Bill. The Act of 2018 removed hemp, defined as cannabis and derivatives of cannabis with extremely low concentrations of delta-9-tetrahydrocannabinol (THC), no more than 0.3 percent THC on a dry weight basis, from the definition of marijuana in the Controlled Substances Act. This bill requires that any person or entity who sells hemp-derived consumables must hold a valid off-premises beer and wine permit or a retail liquor store license, as defined by Title 61. This bill states that hemp-derived consumables may not be made available for on-premises consumption by a permitted or licensed person or entity. This bill requires retailers of hemp-derived consumables to post signs at each permitted location that states the laws in relation to possession and purchasing hemp-derived consumables by people under the age of twenty-one. The Department of Agriculture must prescribe the size, lettering, and location of signs through the use of regulations. Additionally, failing to display the required sign is a misdemeanor offense that carries a fine of up to $100 or thirty days of imprisonment, or both. This bill establishes several instances in which a permit holder authorized to sell hemp-derived consumables may have their permit revoked or suspended. This bill also states that if hemp-derived consumables are sold by a person who does not have a valid permit, all hemp-derived consumables found on the premises of the person are considered contraband and must be seized by a peace officer. This bill creates several new offenses dealing with hemp-derived consumables. This bill makes it illegal to sell a hemp-derived consumable to a person under twenty-one years old. First offense violations of this provision are fined $200 to $300, or imprisoned for not more than thirty days, or both. Second and subsequent offense violations must be fined $400 to $500, or imprisoned not more than thirty days, or both. This bill also makes it illegal for a person to give false information concerning their age in order to purchase a hemp-derived consumable illegally. Violations of this law are fined $100 to $200, or imprisoned for not more than thirty days, or both. Further, this bill makes it illegal for a person to lawfully purchase a hemp-derived consumable from a licensed premises and give the product to a person who cannot lawfully purchase that product from the licensed premises. First offense violations are subject to a fine of $200 to $300, or imprisonment for up to thirty days, or both. Second offense violations are subject to a fine of $400 to $500, or imprisonment for up to thirty days, or both. Additionally, this bill makes it illegal for a person to transfer or give hemp-derived consumables to a person under the age of twenty-one, with some exceptions. First offense violations of this provision are subject to a fine of $200 to $300, or imprisonment of not more than thirty days, or both. Second offense violations are subject to a fine of $400 to $500, or imprisonment of not more than thirty days, or both. This bill also makes it illegal for a person under the age of twenty-one to purchase, attempt to purchase, consume or knowingly possess hemp-derived consumables, beer, ale, porter, wine or other similar malt or fermented beverage, with some exceptions. Violators are guilty of a misdemeanor and must be fined $100 to $200 or imprisonment of up to thirty days, or both. Additionally, violators must successfully complete an alcohol prevention education or intervention program approved by DAODAS. This bill requires that during the first ninety days after the effective date of this act, law enforcement officers shall only issue warnings for violations. This bill states that if a law enforcement officer has probable cause to believe that a person is under the age of twenty-one and has consumed hemp-derived beverages or alcohol, the law enforcement officer may request that the person submits to any available alcohol screening test using a device approved by SLED. Testing must be under the direct supervision of a law enforcement agency, and the agency must have a person's parental consent. This bill also makes it illegal to have a hemp-derived beverage in an open container while located upon public highways or highway rights of way. Any violations of this provision are guilty of a misdemeanor and subject to a fine of not more than $100 or imprisonment of up to thirty days. This bill also requires that establishments offering hemp-derived consumable products may not be located within one thousand feet of a church or elementary, middle, or high school. Additionally, this bill states that nothing in Chapter 56 of Title 46 authorizes the consumption, possession, or purchase of a hemp-derived consumable that contains tetrahydrocannabinol (THC). Although, the serving size requirements of this bill state that a hemp-derived consumable may contain five-tenth milligrams or less of delta-9-tetrahydrocannabinol which is a type of tetrahydrocannabinol. This bill takes effect upon approval by the Governor. This bill creates penalties for new misdemeanor offenses dealing with hemp-derived consumables. This bill may result in an increase in the number of summary court cases and circuit court cases and potentially the number of incarcerations, which may increase the workload of the court system and the Commission of Indigent Defense, the Commission on Prosecution Coordination, PPP, and local jails. The potential increase in expenses for each agency will depend upon the increase in the number of cases, the number of repeat offenders, and the number of incarcerations. These agencies indicate that if this bill results in a significant increase in the workload, then an increase in General Fund appropriations may be requested. The Department of Corrections indicates that this bill will have no impact on the agency as this bill creates offenses that are subject to up to 30 days of imprisonment and the department only receives inmates sentenced to more than 90 days. Those sentenced to 90 days or less remain in local detention centers. South Carolina Law Enforcement Division. SLED is required to enforce the provisions of Title 61 which regulates beer, wine, and spirits. This bill places enforcement of the new hemp-derived consumable provisions under Title 61 and thereby creates new responsibilities for the department. SLED indicates that to properly enforce the provisions of this bill, expenses for the department will increase by approximately $2,027,000, including $1,365,000 recurring expenses beginning in FY 2025-26 and $662,000 non-recurring expenses in FY 2025-26. Recurring expenses consist of expenditures for 10.0 new FTEs including approximately $148,000 for salary and fringe for 1 Lieutenant responsible for supervising the new agents, $852,000 for salary and fringe and $55,000 for overtime salary and fringe for 8 Regional Agents responsible for carrying out the day-to-day functions of the narcotics unit, and $64,000 for salary and fringe for 1 Administrative Assistant responsible for providing administrative support for the narcotics unit. Recurring expenses also include approximately $76,000 for gas, $7,000 for phones with hotspot capabilities, $14,000 for mobile and portable 800 radio service, $5,000 for other recurring costs, $5,000 for uniform replacements, $15,000 for training and travel, $11,000 for technology licenses, $108,000 for 1/5 vehicle replacements, and $5,000 for evidence and storage destruction. Non-recurring expenses for agents include $540,000 for vehicles, $27,000 for protective vests and covers, $10,000 for Glocks, duty belts, and holsters, $10,000 for AR-15s, $41,000 for uniforms, boots, raingear, protective gloves, handcuffs, PPE, and other expenses, and $30,000 for computer equipment. Therefore, SLED anticipates requesting approximately $1,365,000 of recurring General Fund appropriations beginning in FY 2025-26 and $662,000 of non-recurring General Fund appropriations in FY 2025-26 to fund the expenses due to this bill. Judicial. This bill creates several summary court misdemeanors related to the possession and sale of hemp-derived consumables. Judicial indicates that the possession and sale of hemp-derived consumables is not currently covered by state law. Judicial reports that this bill would require summary courts to hear additional misdemeanor cases, which they would do in their ordinary course of business; however, it is impossible to precisely gauge the impact this bill will have on summary court caseloads as there is no data available to estimate the increase in caseloads. Judicial indicates that while summary courts are locally funded, Judicial provides some resources such as court interpreters to the summary courts. Judicial anticipates that the increase in cases and associated resources can be initially managed within existing appropriations. However, if this bill results in a significant increase in summary court cases and, consequently, in state resources such as court interpreters, Judicial will request an increase in General Fund appropriations. Department of Agriculture. This bill requires the Department of Agriculture to prescribe by regulation, the size of the lettering and location of placement of the sign required by this bill for retailers. The Department of Agriculture indicates that this bill will have no impact on the department as any increase in workload is expected to be minimal and can be managed with existing staff and resources. Department of Alcohol and Other Drug Abuse Services. This bill creates additional workload for DAODAS as it requires the department to approve an alcohol prevention education or intervention program of a minimum of 8 hours with a cost not exceeding $150. DAODAS indicates that any increase in workload can be managed with existing staff and appropriations as the department has existing staff with subject matter expertise to review and approve programs provided by local services providers. Department of Revenue. DOR must administer the provisions of Title 61 and has the sole and exclusive power to issue all licenses, permits, and certificates provided for in this title. DOR currently issues beer and wine permits and retail liquor licenses during the department's normal course of business. DOR anticipates that this bill may have a minimal impact on the department in order to update forms, systems, and website information and indicates that any increase in workload can be managed with existing resources. State Revenue This bill requires that any person or entity who sells hemp-derived consumables must hold a valid off-premises beer and wine permit or a retail liquor store license, as defined by Title 61. Off-premises beer and wine permits are currently subject to a $300 non-refundable filing fee and a $600 biennial fee for the retail permit. A separate off-premises beer and wine permit is required for each separate place of business. Retail liquor store licenses are currently subject to a $200 non-refundable filing fee and a $1,400 biennial renewal fee. This bill may increase General Fund revenue by an undetermined amount due to the increase in off-premises beer and wine permits and retail liquor store licenses fees. Some retailers that currently offer hemp-derived consumables already hold valid off-premises beer and wine permits or retail liquor store licenses due to the nature of their businesses. However, some existing retailers will be required to obtain such licenses, including some vape and smoke shops, or otherwise cease selling hemp-derived consumables. There is no data available to estimate the total number of businesses that currently sell hemp-derived consumables but do not have the permit or license required by this bill and that will choose to continue selling these consumables, thus requiring either an off-premises beer and wine permit or a retail liquor store license. Therefore, the number of new off-premises beer and wine permits and retail liquor licenses that will be issued and the associated fees that will be collected are unknown. Furthermore, some businesses who currently have on-premises consumption licenses or permits as well as brewpubs, breweries, and wineries are already currently offering hemp-derived consumables available for on-premises and off-premises consumption. While this bill specifies that hemp-derived consumables may not be made available for on-premises consumption by a person or entity in possession of a permit or license issued pursuant to Title 61, it does not address whether these businesses would be required to obtain a separate license in order to sell their hemp-derived consumable products for off-premises consumption; and thereby, the number of businesses that currently sell hemp-derived consumables and hold a permit or license pursuant to Title 61, other than the off-premises beer and wine permit or retail liquor store license, and that may be required to obtain an additional permit or license pursuant to Title 61 in order to sell their hemp-derived consumable products for off-premises consumption is unknown. Therefore, the total increase to General Fund revenue due to the increase in off-premises beer and wine permits and retail liquor store licenses fees is undetermined. This bill may result in a change in the fines and fees collected in court. Court fines and fees are distributed to the General Fund, Other Funds, and local funds. Therefore, RFA anticipates that this bill may result in a change to General Fund and Other Funds revenue due to the change in fines and fees collections in court. Local Expenditure This bill may result in an increase in the number of summary court cases and potentially the number of persons sentenced to jail time, which may increase the workload of the court system and local jails. The potential increase in expenses will depend upon the increase in the number of cases and number of sentences. Judicial anticipates that the increase in cases can be initially managed within existing appropriations; however, they indicate that it is impossible to precisely gauge the impact this bill will have on summary court caseloads as there is no data available to estimate the increase in caseloads and thereby the increase in the local jail population. Therefore, the potential increase in local expenses is undetermined. Frank A. Rainwater, Executive Director Revenue and Fiscal Affairs Office _______
Committee Report
April 2, 2025
H. 3924
Introduced by Reps. Wooten, W. Newton, Erickson, Neese, Hager, Bannister, Herbkersman, M. M. Smith, Pedalino, Mitchell, Bustos, Lawson, Guffey, Hiott, Taylor, Ballentine, Vaughan, White, Long, Ligon, Guest, Gilliam, Hartnett, Bailey, Landing, B. J. Cox, Hayes, Atkinson, Willis, Lowe, T. Moore, Davis, Hixon, Martin, Pope and Robbins
S. Printed 4/2/25--H.
Read the first time February 6, 2025
________
The committee on House Judiciary
To whom was referred a Bill (H. 3924) to amend the South Carolina Code of Laws by adding Chapter 56 to Title 46 so as to regulate the sale of hemp-derived consumables, among other things, etc., respectfully
Report:
That they have duly and carefully considered the same, and recommend that the same do pass with amendment:
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
SECTION 1. Title 56 of the S.C. Code is amended by adding:
CHAPTER 46
Consumable Hemp Products
Section 56-46-10. It is unlawful for a person under the age of twenty-one to possess or consume a "consumable hemp product." A "consumable hemp product" is defined as a hemp, tetrahydrocannabinol (THC) or cannabinoid product that is a hemp or cannabinoid derived good intended for human ingestion, absorption, or consumption made from a cannabinoid that is naturally occurring in a hemp plant or made from a cannabinoid that is chemically derived or otherwise synthetically manufactured that has been extracted or purified from an agricultural product. The following chemically derived hemp cannabinoids are specifically included in the definition of a consumable hemp product:
(1) Hexahydrocannabinol (HHC);
(2) Tetrahydrocannabinol acetate ester (THCo);
(3) Tetrahydrocannabiphorol (THCp);
(4) Delta 8 Tetrahydrocannabinol;
(5) Delta 10 Tetrahydrocannabinol;
(6) Delta 4 Tetrahydrocannabinol;
(7) Delta 11 Tetrahydrocannabinol;
(8) Delta 6a10a Tetrahydrocannabinol;
(9) Hehahydrocannabinol Acetate (HHC-O);
(10) Delta 9 Tetrahydrocannabiphorol;
(11) Delta 9 Tetrahydrocannabihexol;
(12) Delta 9 Tetrahydrocannabinol octyl;
(13) Delta 9 Tetrahydrocannabinol methyl ether (THC-M);
(14) Delta 8 Tetrahydrocannabinol octyl; or
(15) Delta 7 Tetrahydrocannabinol.
Section 56-46-20. (A) No person may knowingly:
(1) sell or distribute a product containing a consumable hemp product to a person who is under twenty-one years of age or purchase a product containing a consumable hemp product on behalf of a person who is under twenty-one years of age;
(2) persuade, entice, send, or assist a person who is under twenty-one years of age to purchase, acquire, receive, or attempt to purchase a consumable hemp product. This section does not preclude law enforcement efforts involving:
(a) the use of a minor if the minor's parent or legal guardian has consented to this action; or
(b) the use of a person under twenty-one years of age who is not a minor if the individual has consented to this action;
(3) distribute samples of consumable hemp product in or on a public street, sidewalk, or park; or
(4) sell or distribute a consumable hemp product without having first obtained proof of age from the purchaser or recipient.
(B) Any consumable hemp beverage product offered for retail sale shall be merchandised in such a manner including, but not limited to, signage, shelf-talkers, and stickers on cooler doors, so as to clearly indicate to consumers the product contains hemp-derived cannabinoids.
(C) With the exception of consumable hemp beverages, it is a violation to fail to maintain any product containing consumable hemp products locked away or behind the counter of a retail establishment in an area inaccessible to the customer.
(D) A person violating subsection (A) is guilty of a misdemeanor and, upon conviction:
(1) for a first offense, must be fined not less than two hundred dollars nor more than three hundred dollars or imprisoned not more than thirty days, or both; and
(2) for a second or subsequent offense, must be fined not less than four hundred dollars nor more than five hundred dollars or imprisoned not more than thirty days, or both.
(E) Section 61-6-4080 is applicable to a person who is in violation of subsection (A)(1) for the sale or distribution of a consumable hemp product.
(F) It is unlawful for a person under twenty-one years of age to:
(1) knowingly purchase, possess, or accept receipt of a consumable hemp product; or
(2) knowingly present purported proof of age that is false, fraudulent, or not actually that person for the purpose of purchasing or receiving a consumable hemp product.
(G) A person violating subsection (F) is guilty of a misdemeanor and, upon conviction, must be fined not less than one hundred dollars nor more than two hundred dollars or must be imprisoned for not more than thirty days, or both.
(H) A person eighteen years of age and older lawfully employed to serve or remove consumable hemp products, beer, wine, or alcoholic beverages in establishments licensed to sell these beverages is not considered to be in unlawful possession of the beverages during the course and scope of his duties as an employee. The provisions of this subsection do not affect the requirement that a bartender must be at least twenty-one years of age.
Section 56-46-30. (A) The Department of Agriculture must enforce this chapter in a manner that may reasonably be expected to reduce the extent to which consumable hemp products are sold or distributed to persons under twenty-one years of age, and must conduct random, unannounced inspections at locations where such products are sold or distributed to ensure compliance with this chapter.
(B) The Department of Agriculture must submit an annual report to the General Assembly describing in detail the department's enforcement efforts under this chapter. The report also must be published and made available to the public on the department's website.
Section 56-46-40. (A) A person engaged in the business of selling at retail consumable hemp products must post in each location for which he has obtained a license a sign with the following words printed thereon:
"The possession of a consumable hemp product by a person under twenty-one years of age is a criminal offense under the laws of this State, and it is also unlawful for a person to knowingly give false information concerning his age for the purpose of purchasing a consumable hemp product."
(B) The South Carolina Department of Agriculture must prescribe by regulation the size of the lettering and the location of the sign on the seller's premises.
(C) A retail seller of consumable hemp products who fails to display the sign required by this section is guilty of a misdemeanor and, upon conviction, must be fined not more than one hundred dollars or imprisoned for not more than thirty days, or both.
Section 56-46-50. (A) Nothing in this act shall be construed to:
(1) legalize the sale, possession, or consumption of THC products by any person in this State where such products are otherwise prohibited by law;
(2) permit the sale or distribution of any product that exceeds the established THC limits; or
(3) prohibit the sale or distribution of any hemp product that is otherwise legal under state or federal law provided the sale or distribution is not in violation of this article.
(B) This article does not limit or affect any other federal or state law more strictly regulating THC or controlled substances in this State.
Section 56-46-60. An entity that is in the business of manufacturing or selling products containing a hemp-derived cannabinoid in this State, including a producer or retailer, may not be located within one thousand feet of a school, daycare facility, or other similar locations.
SECTION 2. If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act is for any reason held to be unconstitutional or invalid, such holding shall not affect the constitutionality or validity of the remaining portions of this act, the General Assembly hereby declaring that it would have passed this act, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective.
SECTION 3. During the first 180 days after the effective date of this act, law enforcement officers shall only issue warnings for violations of this article.
SECTION 4. This act takes effect upon approval by the Governor.
Renumber sections to conform.
Amend title to conform.
W. NEWTON for Committee.
statement of estimated fiscal impact
Explanation of Fiscal Impact
State Expenditure
This bill creates a new Chapter 56 in Title 46 pertaining to hemp-derived consumables. This bill defines hemp-derived consumables and specifies that they may not contain chemically derived hemp cannabinoids. This bill also sets serving size limits and creates requirements for the appearance of hemp-derived consumables. There are currently no statutes in South Carolina law regarding hemp-derived consumables intended for human ingestion made from a naturally occurring cannabinoid, although it is illegal to possess or use marijuana with a THC content above 0.3 percent. Currently, hemp-derived cannabinoid products are legal in the U.S. pursuant to the United States Agriculture Improvement Act of 2018, otherwise known as the 2018 Farm Bill. The Act of 2018 removed hemp, defined as cannabis and derivatives of cannabis with extremely low concentrations of delta-9-tetrahydrocannabinol (THC), no more than 0.3 percent THC on a dry weight basis, from the definition of marijuana in the Controlled Substances Act.
This bill requires that any person or entity who sells hemp-derived consumables must hold a valid off-premises beer and wine permit or a retail liquor store license, as defined by Title 61. This bill states that hemp-derived consumables may not be made available for on-premises consumption by a permitted or licensed person or entity. This bill requires retailers of hemp-derived consumables to post signs at each permitted location that states the laws in relation to possession and purchasing hemp-derived consumables by people under the age of twenty-one. The Department of Agriculture must prescribe the size, lettering, and location of signs through the use of regulations. Additionally, failing to display the required sign is a misdemeanor offense that carries a fine of up to $100 or thirty days of imprisonment, or both. This bill establishes several instances in which a permit holder authorized to sell hemp-derived consumables may have their permit revoked or suspended. This bill also states that if hemp-derived consumables are sold by a person who does not have a valid permit, all hemp-derived consumables found on the premises of the person are considered contraband and must be seized by a peace officer.
This bill creates several new offenses dealing with hemp-derived consumables. This bill makes it illegal to sell a hemp-derived consumable to a person under twenty-one years old. First offense violations of this provision are fined $200 to $300, or imprisoned for not more than thirty days, or both. Second and subsequent offense violations must be fined $400 to $500, or imprisoned not more than thirty days, or both. This bill also makes it illegal for a person to give false information concerning their age in order to purchase a hemp-derived consumable illegally. Violations of this law are fined $100 to $200, or imprisoned for not more than thirty days, or both. Further, this bill makes it illegal for a person to lawfully purchase a hemp-derived consumable from a licensed premises and give the product to a person who cannot lawfully purchase that product from the licensed premises. First offense violations are subject to a fine of $200 to $300, or imprisonment for up to thirty days, or both. Second offense violations are subject to a fine of $400 to $500, or imprisonment for up to thirty days, or both. Additionally, this bill makes it illegal for a person to transfer or give hemp-derived consumables to a person under the age of twenty-one, with some exceptions. First offense violations of this provision are subject to a fine of $200 to $300, or imprisonment of not more than thirty days, or both. Second offense violations are subject to a fine of $400 to $500, or imprisonment of not more than thirty days, or both. This bill also makes it illegal for a person under the age of twenty-one to purchase, attempt to purchase, consume or knowingly possess hemp-derived consumables, beer, ale, porter, wine or other similar malt or fermented beverage, with some exceptions. Violators are guilty of a misdemeanor and must be fined $100 to $200 or imprisonment of up to thirty days, or both. Additionally, violators must successfully complete an alcohol prevention education or intervention program approved by DAODAS. This bill requires that during the first ninety days after the effective date of this act, law enforcement officers shall only issue warnings for violations. This bill states that if a law enforcement officer has probable cause to believe that a person is under the age of twenty-one and has consumed hemp-derived beverages or alcohol, the law enforcement officer may request that the person submits to any available alcohol screening test using a device approved by SLED. Testing must be under the direct supervision of a law enforcement agency, and the agency must have a person's parental consent. This bill also makes it illegal to have a hemp-derived beverage in an open container while located upon public highways or highway rights of way. Any violations of this provision are guilty of a misdemeanor and subject to a fine of not more than $100 or imprisonment of up to thirty days.
This bill also requires that establishments offering hemp-derived consumable products may not be located within one thousand feet of a church or elementary, middle, or high school.
Additionally, this bill states that nothing in Chapter 56 of Title 46 authorizes the consumption, possession, or purchase of a hemp-derived consumable that contains tetrahydrocannabinol (THC). Although, the serving size requirements of this bill state that a hemp-derived consumable may contain five-tenth milligrams or less of delta-9-tetrahydrocannabinol which is a type of tetrahydrocannabinol. This bill takes effect upon approval by the Governor.
This bill creates penalties for new misdemeanor offenses dealing with hemp-derived consumables. This bill may result in an increase in the number of summary court cases and circuit court cases and potentially the number of incarcerations, which may increase the workload of the court system and the Commission of Indigent Defense, the Commission on Prosecution Coordination, PPP, and local jails. The potential increase in expenses for each agency will depend upon the increase in the number of cases, the number of repeat offenders, and the number of incarcerations. These agencies indicate that if this bill results in a significant increase in the workload, then an increase in General Fund appropriations may be requested.
The Department of Corrections indicates that this bill will have no impact on the agency as this bill creates offenses that are subject to up to 30 days of imprisonment and the department only receives inmates sentenced to more than 90 days. Those sentenced to 90 days or less remain in local detention centers.
South Carolina Law Enforcement Division. SLED is required to enforce the provisions of Title 61 which regulates beer, wine, and spirits. This bill places enforcement of the new hemp-derived consumable provisions under Title 61 and thereby creates new responsibilities for the department. SLED indicates that to properly enforce the provisions of this bill, expenses for the department will increase by approximately $2,027,000, including $1,365,000 recurring expenses beginning in FY 2025-26 and $662,000 non-recurring expenses in FY 2025-26. Recurring expenses consist of expenditures for 10.0 new FTEs including approximately $148,000 for salary and fringe for 1 Lieutenant responsible for supervising the new agents, $852,000 for salary and fringe and $55,000 for overtime salary and fringe for 8 Regional Agents responsible for carrying out the day-to-day functions of the narcotics unit, and $64,000 for salary and fringe for 1 Administrative Assistant responsible for providing administrative support for the narcotics unit. Recurring expenses also include approximately $76,000 for gas, $7,000 for phones with hotspot capabilities, $14,000 for mobile and portable 800 radio service, $5,000 for other recurring costs, $5,000 for uniform replacements, $15,000 for training and travel, $11,000 for technology licenses, $108,000 for 1/5 vehicle replacements, and $5,000 for evidence and storage destruction. Non-recurring expenses for agents include $540,000 for vehicles, $27,000 for protective vests and covers, $10,000 for Glocks, duty belts, and holsters, $10,000 for AR-15s, $41,000 for uniforms, boots, raingear, protective gloves, handcuffs, PPE, and other expenses, and $30,000 for computer equipment. Therefore, SLED anticipates requesting approximately $1,365,000 of recurring General Fund appropriations beginning in FY 2025-26 and $662,000 of non-recurring General Fund appropriations in FY 2025-26 to fund the expenses due to this bill.
Judicial. This bill creates several summary court misdemeanors related to the possession and sale of hemp-derived consumables. Judicial indicates that the possession and sale of hemp-derived consumables is not currently covered by state law. Judicial reports that this bill would require summary courts to hear additional misdemeanor cases, which they would do in their ordinary course of business; however, it is impossible to precisely gauge the impact this bill will have on summary court caseloads as there is no data available to estimate the increase in caseloads. Judicial indicates that while summary courts are locally funded, Judicial provides some resources such as court interpreters to the summary courts. Judicial anticipates that the increase in cases and associated resources can be initially managed within existing appropriations. However, if this bill results in a significant increase in summary court cases and, consequently, in state resources such as court interpreters, Judicial will request an increase in General Fund appropriations.
Department of Agriculture. This bill requires the Department of Agriculture to prescribe by regulation, the size of the lettering and location of placement of the sign required by this bill for retailers. The Department of Agriculture indicates that this bill will have no impact on the department as any increase in workload is expected to be minimal and can be managed with existing staff and resources.
Department of Alcohol and Other Drug Abuse Services. This bill creates additional workload for DAODAS as it requires the department to approve an alcohol prevention education or intervention program of a minimum of 8 hours with a cost not exceeding $150. DAODAS indicates that any increase in workload can be managed with existing staff and appropriations as the department has existing staff with subject matter expertise to review and approve programs provided by local services providers.
Department of Revenue. DOR must administer the provisions of Title 61 and has the sole and exclusive power to issue all licenses, permits, and certificates provided for in this title. DOR currently issues beer and wine permits and retail liquor licenses during the department's normal course of business. DOR anticipates that this bill may have a minimal impact on the department in order to update forms, systems, and website information and indicates that any increase in workload can be managed with existing resources.
State Revenue
This bill requires that any person or entity who sells hemp-derived consumables must hold a valid off-premises beer and wine permit or a retail liquor store license, as defined by Title 61. Off-premises beer and wine permits are currently subject to a $300 non-refundable filing fee and a $600 biennial fee for the retail permit. A separate off-premises beer and wine permit is required for each separate place of business. Retail liquor store licenses are currently subject to a $200 non-refundable filing fee and a $1,400 biennial renewal fee.
This bill may increase General Fund revenue by an undetermined amount due to the increase in off-premises beer and wine permits and retail liquor store licenses fees. Some retailers that currently offer hemp-derived consumables already hold valid off-premises beer and wine permits or retail liquor store licenses due to the nature of their businesses. However, some existing retailers will be required to obtain such licenses, including some vape and smoke shops, or otherwise cease selling hemp-derived consumables. There is no data available to estimate the total number of businesses that currently sell hemp-derived consumables but do not have the permit or license required by this bill and that will choose to continue selling these consumables, thus requiring either an off-premises beer and wine permit or a retail liquor store license. Therefore, the number of new off-premises beer and wine permits and retail liquor licenses that will be issued and the associated fees that will be collected are unknown. Furthermore, some businesses who currently have on-premises consumption licenses or permits as well as brewpubs, breweries, and wineries are already currently offering hemp-derived consumables available for on-premises and off-premises consumption. While this bill specifies that hemp-derived consumables may not be made available for on-premises consumption by a person or entity in possession of a permit or license issued pursuant to Title 61, it does not address whether these businesses would be required to obtain a separate license in order to sell their hemp-derived consumable products for off-premises consumption; and thereby, the number of businesses that currently sell hemp-derived consumables and hold a permit or license pursuant to Title 61, other than the off-premises beer and wine permit or retail liquor store license, and that may be required to obtain an additional permit or license pursuant to Title 61 in order to sell their hemp-derived consumable products for off-premises consumption is unknown. Therefore, the total increase to General Fund revenue due to the increase in off-premises beer and wine permits and retail liquor store licenses fees is undetermined.
This bill may result in a change in the fines and fees collected in court. Court fines and fees are distributed to the General Fund, Other Funds, and local funds. Therefore, RFA anticipates that this bill may result in a change to General Fund and Other Funds revenue due to the change in fines and fees collections in court.
Local Expenditure
This bill may result in an increase in the number of summary court cases and potentially the number of persons sentenced to jail time, which may increase the workload of the court system and local jails. The potential increase in expenses will depend upon the increase in the number of cases and number of sentences. Judicial anticipates that the increase in cases can be initially managed within existing appropriations; however, they indicate that it is impossible to precisely gauge the impact this bill will have on summary court caseloads as there is no data available to estimate the increase in caseloads and thereby the increase in the local jail population. Therefore, the potential increase in local expenses is undetermined.
Frank A. Rainwater, Executive Director
Revenue and Fiscal Affairs Office
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A bill TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ADDING CHAPTER 56 TO TITLE 46 SO AS TO REGULATE THE SALE OF HEMP-DERIVED CONSUMABLES, AMONG OTHER THINGS. Be it enacted by the General Assembly of the State of South Carolina: SECTION 1. Title 46 of the S.C. Code is amended by adding: CHAPTER 56 Hemp-Derived Consumables Section 46-56-10. (A) For purposes of this article, "hemp-derived consumable" means a hemp product that is a finished good intended for human ingestion made from a cannabinoid that is naturally occurring in the hemp plant that has been extracted or purified from an agricultural product without chemical alteration. It may not contain chemically-derived hemp cannabinoids including, but not limited to: (1) Hexahydrocannabinol (HHC); (2) Tetrahydrocannabinol acetate ester (THCo); (3) Tetrahydrocannabiphorol (THCp); (4) Delta-8-Tetrahydrocannabinol; (5) Delta-10-Tetrahydrocannabinol; (6) Delta-4-Tetrahydrocannabinol; (7) Delta-11-Tetrahydrocannabinol; (8) Delta-6a10a-Tetrahydrocannabinol; (9) Hehahydrocannabinol Acetate (HHC-O) (10) Delta-9-Tetrahydrocannabiphorol; (11) Delta-9-Tetrahydrocannabihexol; (12) Delta-9-Tetrahydrocannabinol-octyl; (13) Delta-9-Tetrahydrocannabinol methyl ether (THC-M); (14) Delta-8-Tetrahydrocannabinol-octyl; or (15) Delta-7-Tetrahydrocannabinol. (B) A hemp-derived consumable must not: (1) contain more than five-tenths of a milligram of delta-9-tetrahydrocannabinol per serving. (2) be sold in a serving that contains more than twenty-five milligrams, in the aggregate, of one or more hemp-derived cannabinoids; or (3) be formed into the shape of or that depicts or signifies characters or symbols known to appeal primarily to persons under twenty-one years of age including, but not limited to, animals, celebrities, superheroes, comic book characters, video game characters, television show characters, movie characters, or mythical creatures. Section 46-56-20. Any person or entity who sells hemp-derived consumables must hold a valid off-premises beer and wine permit or a retail liquor store license, as defined by Title 61, at all times that the hemp-derived consumables are available for sale. Hemp-derived consumables may not be made available for on-premises consumption by a person or entity in possession of a permit or license issued pursuant to Title 61. Section 46-56-30. (A) It is unlawful for a person to sell a hemp-derived consumable to a person under twenty-one years of age. A person who makes a sale in violation of this section, upon conviction: (1) for a first offense, must be fined not less than two hundred dollars nor more than three hundred dollars or imprisoned not more than thirty days, or both; and (2) for a second or subsequent offense, must be fined not less than four hundred dollars nor more than five hundred dollars or imprisoned not more than thirty days, or both. (B) Failure of a person to require identification to verify a person's age is prima facie evidence of the violation of this section. Section 46-56-40. It is unlawful for a person to whom a hemp-derived consumable cannot legally be sold to knowingly give false information concerning his age for the purpose of purchasing a hemp-derived consumable. A person who violates the provisions of this section, upon conviction, must be fined not less than one hundred dollars nor more than two hundred dollars or be imprisoned for not more than thirty days, or both. Section 46-56-50. (A) A person engaged in the business of selling at retail hemp-derived consumables must post in each location for which he has obtained a permit a sign with the following words printed thereon: "The possession of a hemp-derived consumable by a person under twenty-one years of age is a criminal offense under the laws of this State, and it is also unlawful for a person to knowingly give false information concerning his age for the purpose of purchasing a hemp-derived consumable." (B) The South Carolina Department of Agriculture must prescribe by regulation the size of the lettering and the location of the sign on the seller's premises. (C) A retail seller of hemp-derived consumables who fails to display the sign required by this section is guilty of a misdemeanor and, upon conviction, must be fined not more than one hundred dollars or imprisoned for not more than thirty days. Section 46-56-60. It is unlawful for a person who purchases a hemp-derived consumable while on licensed premises to give the hemp-derived consumable to a person to whom hemp-derived consumables cannot lawfully be sold on the premises. A person who violates this section, upon conviction: (1) for a first offense, must be fined not less than two hundred dollars nor more than three hundred dollars or imprisoned not more than thirty days, or both; and (2) for a second or subsequent offense, must be fined not less than four hundred dollars nor more than five hundred dollars or imprisoned not more than thirty days, or both. Section 46-56-70. (A) It is unlawful for a person to transfer or give to a person under the age of twenty-one years, for the purpose of consumption of hemp-derived consumables in the State, unless the person under the age of twenty-one is recruited and authorized by a law enforcement agency to test a person's compliance with laws relating to the unlawful transfer or sale of hemp-derived consumables to a minor. A person who violates this section is guilty of a misdemeanor and, upon conviction: (1) for a first offense, must be fined not less than two hundred dollars nor more than three hundred dollars or imprisoned not more than thirty days, or both; and (2) for a second or subsequent offense, must be fined not less than four hundred dollars nor more than five hundred dollars or imprisoned not more than thirty days, or both. (B) A person found guilty of a violation of Section 61-6-4070 and this section may not be sentenced under both sections for the same offense. (C) The provisions of this section do not apply to a: (1) spouse over the age of twenty-one giving hemp-derived consumables to his spouse under the age of twenty-one in their home; (2) parent or guardian over the age of twenty-one giving hemp-derived consumables to his children or wards under the age of twenty-one in their home; or (3) person giving hemp-derived consumables to another person under the age of twenty-one in conjunction with a religious ceremony or purpose if the hemp-derived consumables was lawfully purchased. (D) A person eighteen years of age and over lawfully employed to serve or remove hemp-derived consumables in establishments licensed to sell these hemp-derived consumables are not considered to be in unlawful possession of the beverages during the course and scope of their duties as an employee. The provisions of this subsection do not affect the requirement that a bartender must be at least twenty-one years of age. (E) This section does not apply to an employee lawfully engaged in the sale or delivery of these beverages in an unopened container. (F) The provisions of this section do not apply to a student who: (1) is eighteen years of age or older; (2) is enrolled in an accredited college or university and a student in a culinary course that has been approved through review by the S.C. Commission on Higher Education; (3) is required to taste, but not consume or imbibe, any hemp-derived beverage as part of the required curriculum; and (4) tastes a beverage pursuant to item (3) only for instructional purposes during classes that are part of the curriculum of the accredited college or university. The consumables must remain at all times in the possession and control of an authorized instructor of the college or university who must be twenty-one years of age or older. Nothing in this subsection may be construed to allow a student under the age of twenty-one to receive any hemp-derived consumables unless the beverage is delivered as part of the student's required curriculum and the beverage is used only for instructional purposes during classes conducted pursuant to the curriculum. Section 46-56-80. It is unlawful for a person to have in his possession, except in the trunk or luggage compartment in a motor vehicle of any kind, a hemp-derived beverage in an open container while located upon the public highways or highway rights of way of this State. This section must not be construed to prohibit the transporting of hemp-derived beverages in a closed container, and this section does not apply to vehicles parked in legal parking places during functions such as sporting events where law enforcement officers are on duty to perform traffic control duties. A person who violates the provisions of this section is guilty of a misdemeanor and, upon conviction, must be fined not more than one hundred dollars or imprisoned not more than thirty days. Section 46-56-90. If hemp-derived consumables are sold to anyone by a person who does not have a valid beer and wine permit for off-premises consumption to make the sale, all hemp-derived consumables found on the premises of the person is contraband and must be seized by a peace officer and treated as contraband. Section 46-56-100. (A) No holder of a permit authorizing the sale of hemp-derived consumables or a servant, agent, or employee of the permittee may knowingly commit any of the following acts upon the licensed premises covered by the holder's permit: (1) sell hemp-derived consumables to a person under twenty-one years of age; (2) knowingly sell hemp-derived consumables to a person who is visibly intoxicated or impaired; (3) permit gambling or games of chance except game promotions including contests, games of chance, or sweepstakes in which the elements of chance and prize are present and which comply with the following: (a) the game promotion is conducted or offered in connection with the sale, promotion, or advertisement of a consumer product or service, or to enhance the brand or image of a supplier of consumer products or services; (b) no purchase payment, entry fee, or proof of purchase is required as a condition of entering the game promotion or receiving a prize; (c) all materials advertising the game promotion clearly disclose that no purchase or payment is necessary to enter and provide details on the free method of participation; and (d) this subsection is not an exception or limitation to Section 12-21-2710 or other provisions of the S.C. Code in which gambling or games of chance are unlawful and prohibited; (4) permit lewd, immoral, or improper entertainment, conduct, or practices. This includes, but is not limited to, entertainment, conduct, or practices where a person is in a state of undress so as to expose the human male or female genitals, pubic area, or buttocks cavity with less than a full opaque covering; (5) permit any act, the commission of which tends to create a public nuisance or which constitutes a crime under the laws of this State; (6) sell, offer for sale, or possess any beverage or hemp-derived consumables the sale or possession of which is prohibited on the licensed premises under the law of this State; or (7) conduct, operate, organize, promote, advertise, run, or participate in a "drinking contest" or "drinking game." For purposes of this item, "drinking contest" or "drinking game" includes, but is not limited to, a contest, game, event, or other endeavor which encourages or promotes the consumption of hemp-derived consumables, beer, or wine by participants at extraordinary speed or in increased quantities or in more potent form. "Drinking contest" or "drinking game" does not include a contest, game, event, or endeavor in which hemp-derived beverages, beer, or wine is not used or consumed by participants as part of the contest, game, event, or endeavor, but instead is used solely as a reward or prize. Selling hemp-derived consumables, beer, or wine in the regular course of business is not considered a violation of this section. (B) A violation of any provision of this section is a ground for the revocation or suspension of the holder's permit. Section 46-56-110. (A) It is unlawful for a person under the age of twenty-one to purchase, attempt to purchase, consume, or knowingly possess hemp-derived consumables, beer, ale, porter, wine, or other similar malt or fermented beverage. Possession is prima facie evidence that it was knowingly possessed. Notwithstanding another provision of law, if the law enforcement officer has probable cause to believe that a person is under the age of twenty-one and has consumed hemp-derived beverages or alcohol, the law enforcement officer or the person may request that the person submit to any available alcohol screening test using a device approved by the State Law Enforcement Division. A person who violates the provisions of this section is guilty of a misdemeanor and, upon conviction, must be fined not less than one hundred dollars nor more than two hundred dollars or must be imprisoned for not more than thirty days, or both. (B) A person who violates the provisions of this section also is required to successfully complete an alcohol prevention education or intervention program approved by the S.C. Department of Alcohol and other Drug Abuse Services. The program must be a minimum of eight hours and the cost to the person may not exceed one hundred fifty dollars. (C) A person eighteen years of age and over lawfully employed to serve or remove hemp-derived consumables, beer, wine, or alcoholic beverages in establishments licensed to sell these beverages is not considered to be in unlawful possession of the beverages during the course and scope of his duties as an employee. The provisions of this subsection do not affect the requirement that a bartender must be at least twenty-one years of age. (D) This section does not apply to an employee lawfully engaged in the sale or delivery of these beverages in an unopened container. (E) The provisions of this section do not apply to a student who: (1) is eighteen years of age or older; (2) is enrolled in an accredited college or university and a student in a culinary course that has been approved through review by the S.C. Commission on Higher Education; (3) is required to taste, but not consume or imbibe, any hemp-derived consumables, beer, ale, porter, wine, or other similar malt or fermented beverage as part of the required curriculum; and (4) tastes a beverage pursuant to item (3) only for instructional purposes during classes that are part of the curriculum of the accredited college or university. The beverage must remain at all times in the possession and control of an authorized instructor of the college or university who must be twenty-one years of age or older. Nothing in this subsection may be construed to allow a student under the age of twenty-one to receive any hemp-derived consumables, beer, ale, porter, wine, or other similar malt or fermented beverage unless the beverage is delivered as part of the student's required curriculum and the beverage is used only for instructional purposes during classes conducted pursuant to the curriculum. (F) The provisions of this section do not apply to a person under the age of twenty-one who is recruited and authorized by a law enforcement agency to test an establishment's compliance with laws relating to the unlawful transfer or sale of hemp-derived consumables, beer, or wine to a minor. The testing must be under the direct supervision of a law enforcement agency, and the agency must have the person's parental consent. (G) During the first ninety days after the effective date of this act, law enforcement officers shall only issue warnings for violations of this section. Section 46-56-120. Retail establishments offering hemp-derived consumable products may not be located within one thousand feet of a church or elementary, middle, or high school. Section 46-56-130. Nothing in this chapter authorizes the consumption, possession, or purchase of a hemp-derived consumable that contains Tetrahydrocannabinol. SECTION 2. This act takes effect upon approval by the Governor. ----XX----
A bill
TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ADDING CHAPTER 56 TO TITLE 46 SO AS TO REGULATE THE SALE OF HEMP-DERIVED CONSUMABLES, AMONG OTHER THINGS.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Title 46 of the S.C. Code is amended by adding:
CHAPTER 56
Hemp-Derived Consumables
Section 46-56-10. (A) For purposes of this article, "hemp-derived consumable" means a hemp product that is a finished good intended for human ingestion made from a cannabinoid that is naturally occurring in the hemp plant that has been extracted or purified from an agricultural product without chemical alteration. It may not contain chemically-derived hemp cannabinoids including, but not limited to:
(1) Hexahydrocannabinol (HHC);
(2) Tetrahydrocannabinol acetate ester (THCo);
(3) Tetrahydrocannabiphorol (THCp);
(4) Delta-8-Tetrahydrocannabinol;
(5) Delta-10-Tetrahydrocannabinol;
(6) Delta-4-Tetrahydrocannabinol;
(7) Delta-11-Tetrahydrocannabinol;
(8) Delta-6a10a-Tetrahydrocannabinol;
(9) Hehahydrocannabinol Acetate (HHC-O)
(10) Delta-9-Tetrahydrocannabiphorol;
(11) Delta-9-Tetrahydrocannabihexol;
(12) Delta-9-Tetrahydrocannabinol-octyl;
(13) Delta-9-Tetrahydrocannabinol methyl ether (THC-M);
(14) Delta-8-Tetrahydrocannabinol-octyl; or
(15) Delta-7-Tetrahydrocannabinol.
(B) A hemp-derived consumable must not:
(1) contain more than five-tenths of a milligram of delta-9-tetrahydrocannabinol per serving.
(2) be sold in a serving that contains more than twenty-five milligrams, in the aggregate, of one or more hemp-derived cannabinoids; or
(3) be formed into the shape of or that depicts or signifies characters or symbols known to appeal primarily to persons under twenty-one years of age including, but not limited to, animals, celebrities, superheroes, comic book characters, video game characters, television show characters, movie characters, or mythical creatures.
Section 46-56-20. Any person or entity who sells hemp-derived consumables must hold a valid off-premises beer and wine permit or a retail liquor store license, as defined by Title 61, at all times that the hemp-derived consumables are available for sale. Hemp-derived consumables may not be made available for on-premises consumption by a person or entity in possession of a permit or license issued pursuant to Title 61.
Section 46-56-30. (A) It is unlawful for a person to sell a hemp-derived consumable to a person under twenty-one years of age. A person who makes a sale in violation of this section, upon conviction:
(1) for a first offense, must be fined not less than two hundred dollars nor more than three hundred dollars or imprisoned not more than thirty days, or both; and
(2) for a second or subsequent offense, must be fined not less than four hundred dollars nor more than five hundred dollars or imprisoned not more than thirty days, or both.
(B) Failure of a person to require identification to verify a person's age is prima facie evidence of the violation of this section.
Section 46-56-40. It is unlawful for a person to whom a hemp-derived consumable cannot legally be sold to knowingly give false information concerning his age for the purpose of purchasing a hemp-derived consumable. A person who violates the provisions of this section, upon conviction, must be fined not less than one hundred dollars nor more than two hundred dollars or be imprisoned for not more than thirty days, or both.
Section 46-56-50. (A) A person engaged in the business of selling at retail hemp-derived consumables must post in each location for which he has obtained a permit a sign with the following words printed thereon:
"The possession of a hemp-derived consumable by a person under twenty-one years of age is a criminal offense under the laws of this State, and it is also unlawful for a person to knowingly give false information concerning his age for the purpose of purchasing a hemp-derived consumable."
(B) The South Carolina Department of Agriculture must prescribe by regulation the size of the lettering and the location of the sign on the seller's premises.
(C) A retail seller of hemp-derived consumables who fails to display the sign required by this section is guilty of a misdemeanor and, upon conviction, must be fined not more than one hundred dollars or imprisoned for not more than thirty days.
Section 46-56-60. It is unlawful for a person who purchases a hemp-derived consumable while on licensed premises to give the hemp-derived consumable to a person to whom hemp-derived consumables cannot lawfully be sold on the premises. A person who violates this section, upon conviction:
(1) for a first offense, must be fined not less than two hundred dollars nor more than three hundred dollars or imprisoned not more than thirty days, or both; and
(2) for a second or subsequent offense, must be fined not less than four hundred dollars nor more than five hundred dollars or imprisoned not more than thirty days, or both.
Section 46-56-70. (A) It is unlawful for a person to transfer or give to a person under the age of twenty-one years, for the purpose of consumption of hemp-derived consumables in the State, unless the person under the age of twenty-one is recruited and authorized by a law enforcement agency to test a person's compliance with laws relating to the unlawful transfer or sale of hemp-derived consumables to a minor. A person who violates this section is guilty of a misdemeanor and, upon conviction:
(1) for a first offense, must be fined not less than two hundred dollars nor more than three hundred dollars or imprisoned not more than thirty days, or both; and
(2) for a second or subsequent offense, must be fined not less than four hundred dollars nor more than five hundred dollars or imprisoned not more than thirty days, or both.
(B) A person found guilty of a violation of Section 61-6-4070 and this section may not be sentenced under both sections for the same offense.
(C) The provisions of this section do not apply to a:
(1) spouse over the age of twenty-one giving hemp-derived consumables to his spouse under the age of twenty-one in their home;
(2) parent or guardian over the age of twenty-one giving hemp-derived consumables to his children or wards under the age of twenty-one in their home; or
(3) person giving hemp-derived consumables to another person under the age of twenty-one in conjunction with a religious ceremony or purpose if the hemp-derived consumables was lawfully purchased.
(D) A person eighteen years of age and over lawfully employed to serve or remove hemp-derived consumables in establishments licensed to sell these hemp-derived consumables are not considered to be in unlawful possession of the beverages during the course and scope of their duties as an employee. The provisions of this subsection do not affect the requirement that a bartender must be at least twenty-one years of age.
(E) This section does not apply to an employee lawfully engaged in the sale or delivery of these beverages in an unopened container.
(F) The provisions of this section do not apply to a student who:
(1) is eighteen years of age or older;
(2) is enrolled in an accredited college or university and a student in a culinary course that has been approved through review by the S.C. Commission on Higher Education;
(3) is required to taste, but not consume or imbibe, any hemp-derived beverage as part of the required curriculum; and
(4) tastes a beverage pursuant to item (3) only for instructional purposes during classes that are part of the curriculum of the accredited college or university.
The consumables must remain at all times in the possession and control of an authorized instructor of the college or university who must be twenty-one years of age or older. Nothing in this subsection may be construed to allow a student under the age of twenty-one to receive any hemp-derived consumables unless the beverage is delivered as part of the student's required curriculum and the beverage is used only for instructional purposes during classes conducted pursuant to the curriculum.
Section 46-56-80. It is unlawful for a person to have in his possession, except in the trunk or luggage compartment in a motor vehicle of any kind, a hemp-derived beverage in an open container while located upon the public highways or highway rights of way of this State. This section must not be construed to prohibit the transporting of hemp-derived beverages in a closed container, and this section does not apply to vehicles parked in legal parking places during functions such as sporting events where law enforcement officers are on duty to perform traffic control duties. A person who violates the provisions of this section is guilty of a misdemeanor and, upon conviction, must be fined not more than one hundred dollars or imprisoned not more than thirty days.
Section 46-56-90. If hemp-derived consumables are sold to anyone by a person who does not have a valid beer and wine permit for off-premises consumption to make the sale, all hemp-derived consumables found on the premises of the person is contraband and must be seized by a peace officer and treated as contraband.
Section 46-56-100. (A) No holder of a permit authorizing the sale of hemp-derived consumables or a servant, agent, or employee of the permittee may knowingly commit any of the following acts upon the licensed premises covered by the holder's permit:
(1) sell hemp-derived consumables to a person under twenty-one years of age;
(2) knowingly sell hemp-derived consumables to a person who is visibly intoxicated or impaired; (3) permit gambling or games of chance except game promotions including contests, games of chance, or sweepstakes in which the elements of chance and prize are present and which comply with the following:
(a) the game promotion is conducted or offered in connection with the sale, promotion, or advertisement of a consumer product or service, or to enhance the brand or image of a supplier of consumer products or services;
(b) no purchase payment, entry fee, or proof of purchase is required as a condition of entering the game promotion or receiving a prize;
(c) all materials advertising the game promotion clearly disclose that no purchase or payment is necessary to enter and provide details on the free method of participation; and
(d) this subsection is not an exception or limitation to Section 12-21-2710 or other provisions of the S.C. Code in which gambling or games of chance are unlawful and prohibited;
(4) permit lewd, immoral, or improper entertainment, conduct, or practices. This includes, but is not limited to, entertainment, conduct, or practices where a person is in a state of undress so as to expose the human male or female genitals, pubic area, or buttocks cavity with less than a full opaque covering;
(5) permit any act, the commission of which tends to create a public nuisance or which constitutes a crime under the laws of this State;
(6) sell, offer for sale, or possess any beverage or hemp-derived consumables the sale or possession of which is prohibited on the licensed premises under the law of this State; or
(7) conduct, operate, organize, promote, advertise, run, or participate in a "drinking contest" or "drinking game." For purposes of this item, "drinking contest" or "drinking game" includes, but is not limited to, a contest, game, event, or other endeavor which encourages or promotes the consumption of hemp-derived consumables, beer, or wine by participants at extraordinary speed or in increased quantities or in more potent form. "Drinking contest" or "drinking game" does not include a contest, game, event, or endeavor in which hemp-derived beverages, beer, or wine is not used or consumed by participants as part of the contest, game, event, or endeavor, but instead is used solely as a reward or prize. Selling hemp-derived consumables, beer, or wine in the regular course of business is not considered a violation of this section.
(B) A violation of any provision of this section is a ground for the revocation or suspension of the holder's permit.
Section 46-56-110. (A) It is unlawful for a person under the age of twenty-one to purchase, attempt to purchase, consume, or knowingly possess hemp-derived consumables, beer, ale, porter, wine, or other similar malt or fermented beverage. Possession is prima facie evidence that it was knowingly possessed. Notwithstanding another provision of law, if the law enforcement officer has probable cause to believe that a person is under the age of twenty-one and has consumed hemp-derived beverages or alcohol, the law enforcement officer or the person may request that the person submit to any available alcohol screening test using a device approved by the State Law Enforcement Division. A person who violates the provisions of this section is guilty of a misdemeanor and, upon conviction, must be fined not less than one hundred dollars nor more than two hundred dollars or must be imprisoned for not more than thirty days, or both.
(B) A person who violates the provisions of this section also is required to successfully complete an alcohol prevention education or intervention program approved by the S.C. Department of Alcohol and other Drug Abuse Services. The program must be a minimum of eight hours and the cost to the person may not exceed one hundred fifty dollars.
(C) A person eighteen years of age and over lawfully employed to serve or remove hemp-derived consumables, beer, wine, or alcoholic beverages in establishments licensed to sell these beverages is not considered to be in unlawful possession of the beverages during the course and scope of his duties as an employee. The provisions of this subsection do not affect the requirement that a bartender must be at least twenty-one years of age.
(D) This section does not apply to an employee lawfully engaged in the sale or delivery of these beverages in an unopened container.
(E) The provisions of this section do not apply to a student who:
(1) is eighteen years of age or older;
(2) is enrolled in an accredited college or university and a student in a culinary course that has been approved through review by the S.C. Commission on Higher Education;
(3) is required to taste, but not consume or imbibe, any hemp-derived consumables, beer, ale, porter, wine, or other similar malt or fermented beverage as part of the required curriculum; and
(4) tastes a beverage pursuant to item (3) only for instructional purposes during classes that are part of the curriculum of the accredited college or university.
The beverage must remain at all times in the possession and control of an authorized instructor of the college or university who must be twenty-one years of age or older. Nothing in this subsection may be construed to allow a student under the age of twenty-one to receive any hemp-derived consumables, beer, ale, porter, wine, or other similar malt or fermented beverage unless the beverage is delivered as part of the student's required curriculum and the beverage is used only for instructional purposes during classes conducted pursuant to the curriculum.
(F) The provisions of this section do not apply to a person under the age of twenty-one who is recruited and authorized by a law enforcement agency to test an establishment's compliance with laws relating to the unlawful transfer or sale of hemp-derived consumables, beer, or wine to a minor. The testing must be under the direct supervision of a law enforcement agency, and the agency must have the person's parental consent.
(G) During the first ninety days after the effective date of this act, law enforcement officers shall only issue warnings for violations of this section.
Section 46-56-120. Retail establishments offering hemp-derived consumable products may not be located within one thousand feet of a church or elementary, middle, or high school.
Section 46-56-130. Nothing in this chapter authorizes the consumption, possession, or purchase of a hemp-derived consumable that contains Tetrahydrocannabinol.
SECTION 2. This act takes effect upon approval by the Governor.
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This web page was last updated on April 02, 2025 at 10:49 PM