For years, Florida has struggled to find balance in its hemp regulations. From the popularity of Delta-8/9 THC to the controversy over hemp-infused beverages, lawmakers are once again taking aim with Senate Bill 438 (SB 438). This bill, among other things, seeks to ban Delta-8 and severely restrict other hemp-derived cannabinoid products, threatening the hemp industry, which those opposed to SB 438 argue is integral to the state’s economy.
But beneath the surface of this legislative battle lies a politically charged history, with significant consequences not just for hemp businesses and consumers, but also for the cannabis legalization movement in Florida.
What SB 438 Would Do to the Florida Hemp Industry
If passed, SB 438 would introduce significant restrictions on hemp products. The bill aims to ban Delta-8/9 and other cannabinoids like Delta-10, THCA, THC-O, and THCP. Some of these cannabinoids are often created through chemical processes and do not naturally occur in significant amounts in the cannabis plant.
Additionally, the legislation seeks to limit THC concentration in hemp products to 5 milligrams per serving or 50 milligrams per package. Hemp beverages would also be specifically targeted, with restrictions on their THC content and a requirement that they can only be sold at licensed alcohol vendors.
Supporters of the bill argue it’s necessary for public safety, claiming unregulated Delta-8/9 products often exceed legal THC limits and may contain harmful contaminants. For instance, testimony in a House committee revealed that many hemp products tested by labs in Florida had THC levels far beyond the federal 0.3% limit and included potentially dangerous impurities.
But these regulations could devastate small hemp businesses. Caitlyn and Michael Smith, owners of Herban Flow, a non-alcoholic bottle shop in St. Petersburg, argued that requiring a liquor license for stores like theirs undermines their mission of offering alternatives to alcohol. Caitlyn noted via the Florida Phoenix, “Requiring us to carry a liquor license…kind of goes against what we built.”
Additionally, SB 438 would expand restrictions on advertising and limit where hemp retailers can operate, effectively reducing access for consumers and squeezing retail shops out of popular areas like strip malls and near schools or daycares.
Why Florida Governor DeSantis Vetoed a Similar Hemp Bill in 2024
The current confusion over hemp regulation isn’t new in Florida. Just last year, Governor Ron DeSantis vetoed a similar bill that aimed to reform the hemp marketplace by imposing restrictions on Delta-8/9 and other hemp products.
DeSantis called the 2024 legislation “commendable” but ultimately rejected it, citing burdens it would place on small businesses. Hemp companies initially celebrated the veto as a temporary victory, relieved their products would remain on shelves. However, insiders suggest the veto was less about protecting businesses and more about fueling political motives.
DeSantis’s veto was allegedly an attempt to pit hemp businesses and cannabis advocates against each other. This divide-and-conquer approach was reportedly designed to secure financial contributions from hemp companies for his campaign opposing Amendment 3 – the constitutional amendment that sought to legalize recreational marijuana in the state, which ultimately failed to pass.
Parallels in Texas and Beyond
Florida isn’t alone in restricting hemp-derived cannabinoids. Texas recently proposed Senate Bill 3, which has similarities to SB 438 by banning Delta-8 and other synthetically derived cannabinoids.
What we see in Florida and Texas represents a broader movement nationwide: conservative-led states attempting to rein in hemp products following the passage of the federal 2018 Farm Bill, which legalized hemp but left regulation to individual states.
These restrictions often press the boundaries of federal law, clashing with the intended spirit of hemp legalization and creating confusion for consumers and businesses alike.
Florida’s hemp sector, now a multibillion-dollar industry, is at a crossroads. If SB 438 passes, the state’s hemp entrepreneurs will likely face tremendous challenges, and many could lose their businesses entirely.
It’s also worth considering how these restrictions could stifle innovation. Delta-8/9 products have opened up new markets, offering consumers who may otherwise avoid marijuana a way to experience cannabis’s benefits. Curtailing these innovations not only harms businesses but also limits consumer choice in an evolving cannabis landscape.
SB 438 is moving swiftly. The Senate Agriculture Committee has already approved it unanimously, showing solid legislative support. However, it hasn’t yet reached the House or landed on Governor DeSantis’s desk. For hemp businesses and advocates, this is the time to mobilize, educate lawmakers on the real-world implications of the bill, and advocate for sensible regulations that prioritize safety without crippling small businesses.
