Bill > AB1397

This bill establishes a comprehensive regulatory framework for low-dose hemp drinks in California, allowing hemp manufacturers to produce and sell beverages that contain no more than 5 milligrams of total THC per container and have a THC concentration not exceeding 0.3 percent. The bill requires these drinks to be tested by an independent laboratory, have their THC concentration clearly marked on the container, and prohibits sales to individuals under 21 years old. Additionally, the bill imposes a 10 percent excise tax on low-dose hemp drink sales, effective January 1, 2026, with retailers responsible for collecting and remitting this tax to the California Department of Tax and Fee Administration. The tax revenues will be deposited into a newly created Low-Dose Hemp Drink Excise Tax Fund, which will be used to reimburse regulatory costs for both the tax department and the State Department of Public Health. The bill amends existing food and drug laws to incorporate these new provisions and ensures that low-dose hemp drinks meet specific safety and labeling standards, providing a legal pathway for a new category of hemp-infused beverages in the state.

Business and Industry

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260AB1397