SB 237 Fails: Alabama Lawmakers Split Over Hemp Product Rules

27 March 2025

A bill to regulate Alabama’s hemp market—especially products like delta-8 THC edibles and beverages—failed to pass the Senate Judiciary Committee this week after a 4–4 tie. SB 237, introduced by Sen. Tim Melson (R–Florence), would have treated psychoactive hemp like alcohol and tobacco, adding a 10% excise tax, age limit of 21+, licensing, and a ban on smokable hemp

Melson said the bill was needed to protect minors and prevent ER visits tied to unregulated products. But hemp business owners pushed back, calling it overly strict and harmful to local operators. They argued that most legitimate businesses already use third-party testing and that the bill punishes compliant producers while doing little to curb bad actors.

A key disagreement was over who should regulate hemp. While SB 237 placed control with the Department of Revenue, industry leaders urged shifting oversight to the Department of Agriculture to better reflect hemp’s status as a farm product, not a controlled substance.

The bill would have created a state registry and licensing for hemp beverage sales and use, but with its failure in committee, attention now turns to a similar bill, HB 445, still active in the House.

For hemp businesses, users, and retailers in Alabama, the market remains largely unregulated—raising ongoing questions about product safety, enforcement, and the future of the industry.