Lawful Hemp Protection Act
Sponsored By: Representative Barr, Andy [R-KY-6]
Introduced
Summary
This bill would create a federal regulatory and taxation system for hemp-derived cannabinoid products. It would set product limits, uniform labels and testing rules, restrict some synthetic or non‑U.S. cannabinoids, and bar sales to people under 21.
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- Families and consumers would see stricter labels and safety info. Packages must show total THC per serving and per package, include pregnancy and impaired‑driving warnings, QR codes linking to lab certificates, and age‑21 warnings.
- Manufacturers and wholesalers would enter a new federal tax and permit system under Chapter 56. Businesses must get permits to operate, existing firms have 30 days to apply, and Treasury must write tax rules within 1 year. The FDA would set manufacturing, testing, and labeling standards and default cannabinoid limits if it misses rule deadlines.
- Health programs, States, and enforcement would gain new tools and funding. Medicare Advantage plans could offer hemp products as supplemental benefits, CMS innovation models could include consultations and limited provision after 1 year, and a Trust Fund funded by hemp taxes plus 1% of hemp beverage taxes would support oversight and State enforcement.
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Bill Overview
Analyzed Economic Effects
7 provisions identified: 1 benefits, 0 costs, 6 mixed.
Highway funding for hemp-impaired driving
If enacted, the bill would direct 1 percent of hemp beverage taxes into the Highway Trust Fund to support State training, enforcement, and testing for hemp-impaired driving. Starting in fiscal year 2027, the Secretary would withhold 10 percent of certain highway apportionments from any State that does not have a law treating hemp impairment with the same field sobriety standards and penalties as other impairing substances. The section says no per se blood threshold is required before enforcement.
Medicare access to hemp products
If enacted, the bill would let Medicare Advantage plans offer hemp-derived cannabinoid products as a supplemental benefit for chronically ill enrollees, starting with the first MA plan year after enactment and subject to Secretary criteria. Beginning one year after enactment, providers in certain CMS innovation models could offer consultations about these products and, where allowed, provide them to participating beneficiaries. These options would depend on plan and model participation and Secretary-set limits.
State rules and interstate passage of hemp
If enacted, the bill would let States, territories, and Tribes keep or adopt stricter in-state rules for hemp and hemp-derived products, so long as those rules are at least as protective as alcoholic beverage laws. At the same time, it would bar any State or Tribe from stopping the passage or delivery of compliant hemp products through their borders under the Commerce Clause.
New product rules, labels, and limits
If enacted, the bill would set a federal definition of lawful hemp (total THC ≤ 1% dry weight) and exclude certain artificially modified cannabinoids. The FDA would treat finished hemp-derived cannabinoid products as "food," set manufacturing, testing, and detailed labeling rules (including total THC per serving and pregnancy and driving warnings), and ban sales to people under 21. The Secretary must set per-serving and per-package cannabinoid maximums within 12 months, with default limits if the Secretary misses that deadline (oral 5 mg; inhalable 50 mg; topical 50 mg). The bill makes many failures to test, label, or permit inspection illegal and allows misdemeanor fines and permit actions for unlawful transfers of unfinished ingredients.
New taxes, permits, and registry for hemp
If enacted, the bill would create a new federal tax and a Chapter 56 permit system for manufacturers and wholesalers of hemp-derived cannabinoid products. The Treasury must write implementing rules within one year and businesses operating at enactment must apply for permits within 30 days. The IRS could share Chapter 56 tax return information with agencies that enforce hemp laws and would publish a public registry of manufacturers and wholesalers. The bill would put taxes for these products into a Trust Fund to pay for oversight and State cooperation, with annual reporting to Congress.
Ban on exclusionary sales rules for retailers
If enacted, the bill would make it unlawful for hemp-beverage manufacturers or wholesalers to force retailers into exclusive purchasing, consignment sales, tied sales, or other anti-competitive practices. Exceptions cover ordinary returns and State agencies. Violations could be misdemeanors with fines up to $1,000 and seizure or forfeiture of the products involved.
Repeal of a 2026 appropriations section
If enacted, the bill would repeal Section 781 of the Agriculture, Rural Development, Food and Drug Administration, and Related Agency Appropriations Act, 2026 (division B of Public Law 119-37). The bill text does not specify direct dollar changes in this provision, so the practical effects depend on what Section 781 currently does. No immediate household dollar impacts are stated in this bill text.
Sponsors & CoSponsors
Sponsor
Barr, Andy [R-KY-6]
KY • R
Cosponsors
Rep. Craig, Angie [D-MN-2]
MN • D
Sponsored 7/22/2026
Rep. Moore, Tim [R-NC-14]
NC • R
Sponsored 7/30/2026
Rep. Veasey, Marc A. [D-TX-33]
TX • D
Sponsored 7/30/2026
Rep. Evans, Gabe [R-CO-8]
CO • R
Sponsored 8/20/2026
Rep. Gottheimer, Josh [D-NJ-5]
NJ • D
Sponsored 8/20/2026
Roll Call Votes
No roll call votes available for this bill.
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