Senator Charles Perry has officially filed Senate Bill 3 (SB 3), a sweeping piece of legislation that, while introducing some consumer protections, ultimately seeks to re-criminalize THC and nearly all other cannabinoids in Texas’ booming hemp market.
If enacted, this bill would undo years of progress, forcing the multi-billion-dollar hemp industry underground and eliminating a thriving market that provides jobs and safe, regulated products to responsible adults.
SB 3 aims to ban THC and all cannabinoids except cannabidiol (CBD) and cannabigerol (CBG) in consumable hemp products, drastically reducing consumer choices and economic opportunities. While the bill includes age restrictions, child-resistant packaging mandates, and tighter advertising controls to prevent youth access, it goes too far by criminalizing businesses and consumers alike.
“We share Senator Perry’s concern about regulatory oversight and youth access,” said Heather Fazio, director of the Texas Cannabis Policy Center. “However, an outright ban on THC will only fuel the illicit market, making it impossible to enforce regulations and ensure product safety for Texas consumers.”
Key Provisions of SB 3
Consumer Protection Measures
- Mandatory testing for microbial contamination in consumable hemp products.
- Retailers must report cannabinoid content for all hemp products to the Texas Department of State Health Services (DSHS).
- Medical claims are prohibited in packaging and advertising.
- Labels must certify that any cannabinoid other than CBD or CBG is not present beyond 0.0001% on a dry-weight basis.
Restrictions on Youth Access
- A person must be 21+ to purchase any hemp product containing cannabinoids.
- Hemp products must be displayed separately from items legal for children to consume.
- No hemp product containing any cannabinoids can be sold within 1,000 feet of a school.
- Strict packaging regulations requiring tamper-evident, child-resistant, and resealable packaging for multi-serving products.
Severe Criminal and Financial Penalties
- Third-degree felony for manufacturing or selling hemp products containing cannabinoids other than CBD or CBG.
- Class A misdemeanor for possessing such products, with potential for dual prosecution under additional laws.
- Class A misdemeanor for shipping or mailing any consumable hemp product containing cannabinoids.
- Administrative fines up to $10,000 per violation for businesses that do not comply with new regulations.
Economic Impact: A Blow to Texas’ Growing Hemp Industry
Texas’ hemp industry, valued at $8 billion in 2022, supports an estimated 50,000 jobs, with projected growth to $10–15 billion in 2025. By pushing THC and other cannabinoids into prohibition, SB 3 threatens thousands of livelihoods and eliminates consumer access to tested, regulated products.
In 2019, Sen. Perry played a pivotal role in legalizing hemp in Texas, aligning the state with federal regulations. However, as the industry evolved, laboratories began legally converting CBD to Delta-8 and Delta-10 THC, creating a robust market for alternative cannabinoids. SB 3 now seeks to dismantle this progress by criminalizing products that have been legally sold and taxed in Texas for years.
What’s Next?
SB 3 is a priority for Lt. Governor Dan Patrick, signaling that it may move quickly through the Senate. However, the Texas House appears less inclined to re-criminalize THC, suggesting the battle over hemp regulation is far from over.
