CALIFORNIA BILL AB 2028

The race is on to get California CBD legislation passed before the end of August, when the state legislature’s 2020 session ends. Lawmakers have to file, debate and pass the bill by Monday – or California’s booming hemp and CBD industries will have to wait until 2021 to see an update to creaky CBD regulations in the nation’s most populous state.

Bill Summary:

 

AB 2028 is the product of over 18-months of extensive negotiations with a broad coalition and the Newsom Administration. 

Establishes a framework for California hemp manufacturing. AB 2028 develops a robust framework to allow hemp CBD and other derivatives to be safely and legally manufactured and sold in food, beverages and dietary supplements across the state.

Protects consumers with strong labeling and advertising standards. AB 2028 outlines rigorous consumer safety protocols, including advertising and labeling standards, providing essential information to consumers that are based on existing standards for cannabis.

Ensures manufactured hemp products are safe. AB 2028 establishes comprehensive testing requirements that mirror the State’s current testing requirements for cannabis, guaranteeing the same level of safety and peace of mind currently afforded to cannabis consumers.

Ensures ongoing communication and collaboration among hemp and cannabis licensing agencies. AB 2028 establishes a process that requires coordination and ongoing communications amongst the licensing authorities charged with regulating both the cannabis and hemp industries. As outlined in the legislation, collaborative efforts will include the sharing of enforcement information to facilitate compliance and enforcement against unlicensed hemp manufacturers.

Provides a pathway for the incorporation of hemp into the cannabis supply chain. AB 2028 requires the development of a report by the cannabis licensing authorities on or before July 1, 2020, that will provide recommendations regarding the incorporation of hemp into the cannabis supply chain. Among other things, the report will explore a process to allow hemp CBD and other derivatives to be incorporated into cannabis products, and a framework to allow for the sale of hemp products by cannabis retail licensees.

Age restriction removed. When the Administration proposed to include language that would have banned the use of hemp products by individuals under 21 years of age.

Ban on interstate sales removed. Prior versions of the language, as proposed by the Administration, would have banned the interstate sale of final form manufactured hemp products.

Milligram cap removed. When the Administration proposed to set a milligram cap of 20 milligrams per serving, CCIA helped successfully advance amendments to the language that instead authorizes the DPH to establish a maximum serving size and serving per container threshold through the regulatory process. This will ensure adequate time for public input from both the hemp and cannabis industries.