Bill > HB5040

This bill establishes a comprehensive regulatory framework for industrial hemp processing and consumable hemp products in Michigan. The bill requires individuals or businesses processing consumable hemp products to obtain a state license from the Cannabis Regulatory Agency, which will be valid for one year and cost $1,350. Licensees must follow strict guidelines, including testing all products, destroying any intoxicating cannabinoids, and ensuring products meet specific labeling requirements such as warning statements and ingredient lists. The bill defines different types of cannabinoids (nonintoxicating, intoxicating, and potentially intoxicating) and prohibits the processing or sale of products containing intoxicating or converted cannabinoids. The legislation creates a Consumable Hemp Product Fund to support regulatory activities, establishes penalties for violations (including fines up to $25,000 and potential imprisonment), and requires the agency to develop rules for testing, product requirements, and cannabinoid classification. Notably, the bill repeals the previous Industrial Hemp Research and Development Act and will only take effect if three related bills are also enacted into law.

Government Affairs

https://legislature.mi.gov/Bills/Bill?ObjectName=2025-HB-5040