Vicente LLP Hemp Law and Policy Briefing: December 2025
Dec 31, 2025
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What’s new in December
December was a busy month for hemp regulation. At the federal level, President Trump issued an executive order directing the Department of Justice to begin reclassifying marijuana under the Controlled Substances Act (CSA). At the state level, things were quite busy: Missouri pre-filed bills to unify hemp and cannabis regulation; New Jersey advanced a bill that would bring the hemp definition into alignment with the upcoming federal definition to the governor’s desk; South Carolina moved forward on competing hemp bills; Tennessee launched a new wholesale tax and brand-registration system; and Texas shifted from emergency to permanent hemp rules.
Below are a few of the most notable developments from last month.
State Updates
Missouri
Missouri lawmakers pre-filed a number of bills for the 2026 session that would impact the way cannabis and hemp are regulated. Notably, the HJR 106 ballot measure would let voters decide whether the state constitution should be amended to treat cannabis and hemp as one plant. SB 1026 would permit sales of intoxicating cannabinoids for adults over 21, and SB 993 would tightly regulate hemp beverages, including age limits, delivery bans and THC caps, as well as packaging and tax parameters.
Missouri HB1634, which was introduced on January 7, 2026, expanded and clarified how hemp can be incorporated into animal feed. At the municipal level, Kansas City introduced an ordinance that would ban hemp-derived cannabinoids as well as nitrous oxide, kratom and other currently unregulated psychoactive substances.
New Jersey
New Jersey sent bill S. 4509, redefining hemp in accordance with recent federal legislation, to the Governor’s desk. Should outgoing Governor Phil Murphy or Governor-elect Mikie Sherrill sign the bill, which is set to take effect January 13, 2026, the rules regarding which entities can sell intoxicating hemp beverages will change. Effective April 13, 2026, both Cannabis Regulatory Commission (CRC) and Alcoholic Beverage Control (ABC) licensees will be able to sell through their existing inventory. After November 13, 2026, however, only CRC licensees may continue to sell hemp beverages. ABC licensees will no longer be permitted to do so.
For a deeper dive: Our Hemp & Cannabinoid Compliance Guides offer monthly summaries on product rules, cannabinoid legality, packaging and labeling, licensing, and enforcement trends. View sample guides here and schedule a consult with a member of our hemp and cannabinoids team today!
South Carolina
South Carolina is gearing up for a busy legislative session, which is set to begin on January 14, 2026. Three competing bills have been pre-filed, all with slightly different takes on hemp. H. 3924 went back to the Senate Agriculture and Natural Resources Subcommittee on November 24, 2025. If passed, it would regulate the distribution and retail sale of consumable hemp. Meanwhile, state lawmakers pre-filed both H. 4758, which would prohibit the sale of all consumable hemp products, and H. 4759, which would establish a licensing and regulatory framework for intoxicating hemp beverages, but prohibit delivery and direct-to-consumer sales.
Those bills advance against a backdrop of increased law enforcement action regarding illegal THC products, a major investigation targeting distributors and wholesalers with search warrants, product seizure and arrests.
Tennessee
Following the December 26, 2025 publication of new emergency regulations regarding cannabinoid testing, labeling and laboratory documentation that are effective for up to 180 days, Tennessee debuted a brand-new wholesale tax and brand-registration system for ABC Alcoholic Beverage Commission (ABC)-licensed suppliers on January 1, 2026. The Volunteer State also debuted a new hemp FAQ on December 18, 2025, which serves as the official opinion of TN ABC, until superseded. Tennessee is also launching a new portal for licensees, dubbed “Mockingbird.”
Ahead of these changes, principally the changes to how hemp-derived cannabinoid (HDC) are licensed, the Tennessee Department of Agriculture (TDA) is no longer accepting legacy applications and existing TDA-issued legacy licenses expire June 30, 2026. TDA is maintaining the existing Title 43/TDA compliance regime for legacy licensees through June 30, 2026.
Texas
State agencies in Texas are moving forward on Executive Order GA-56, which directed the Texas Alcoholic Beverage Commission (TABC) and Department of State Health Services (DSHS) to promulgate rules relating to consumable hemp products (CHPs).
The TABC has begun the process of swapping its emergency rules with permanent regulations concerning consumable hemp and hemp-derived cannabinoid products. These rules include age restrictions, ID verification, and enforcement penalties for alcohol licensees regarding hemp. The proposed rules are open for public comment through January 4, 2026, and slated for a January 20, 2026 vote on final adoption.
Additionally, the DSHS proposed amendments to regulations concerning CHPs, including market participation costs, age-based sales prohibitions, the inspection authority of state agencies and compliance frameworks for testing, recordkeeping, packaging, and product safety. Written public comments are being accepted until January 26, 2026:
- By email (before midnight) to HHSRulesCoordinationOffice@hhs.texas.gov
- By hand delivery by 5:00 p.m. CST
- By mail (postmarked by January 25, 2026) to: Rules Coordination Office, P.O. Box 13247, Mail Code 4102, Austin, Texas 78711-3247, or street address 4601 West Guadalupe Street, Austin, Texas 78751
Comprehensive Coverage Across All 50 States
For a complete view of hemp legislation and policy trends, look no further than the Vicente LLP Hemp & Cannabinoid Compliance Guide.
Each month, our attorneys track and summarize key developments in hemp law and THC regulation across all 50 states, including updates on cannabinoid compliance, product legality, packaging, labeling, licensing, and enforcement. The result is a clear, practical resource for businesses navigating the ever-evolving hemp and cannabinoid regulatory landscape. Schedule a consult with a member of our team to learn more.