Featured

Texas Hemp Industry Sues State Agencies Over New Regulations

The Texas Hemp Business Council (THBC), along with industry groups and businesses, has filed a lawsuit in Travis County challenging new state rules governing consumable hemp products, arguing regulators are overstepping their legal authority.

The suit targets regulations adopted by the Texas Department of State Health Services (DSHS) and the Texas Health and Human Services Commission (HHSC), which took effect March 31, 2026, that banned the sale of smokable hemp products. The plaintiffs are seeking a temporary restraining order to block enforcement while the case proceeds.

Industry leaders contend the new rules conflict with state law and the Texas Constitution by effectively rewriting how hemp is regulated without legislative approval.

"This case is about protecting the integrity of Texas law," said THBC President Cynthia Cabrera, pointing to the legislature's decision not to alter hemp standards during the 2025 session.

At the center of the dispute is a shift from the state's existing delta-9 THC standard, established under 2019 law, to a broader "total THC" formula. Plaintiffs argue this change could render many previously legal products unlawful.

The lawsuit also challenges provisions that restrict the transportation of hemp into Texas for processing, significantly increase licensing fees, and impose steep daily penalties for violations. Businesses say these measures could disrupt supply chains and threaten the viability of smaller operators.

"These rules upend that framework," said Brian Swenson of the Hemp Industry Farmers of America, warning that limiting the movement of hemp products could cripple farm-to-market operations.

Retailers have also raised concerns about cost increases, noting that licensing fees have risen dramatically, which they argue creates barriers to entry rather than ensuring compliance.

The legal challenge comes after years of legislative debate over hemp regulation. While lawmakers considered stricter limits in 2025, no new law was ultimately enacted, leaving the 2019 framework in place.

The lawsuit sets up a significant legal battle over regulatory authority in Texas, with the outcome likely to shape the future of a hemp industry that has grown into a multibillion-dollar sector across the state.

Raeylee Barefield

Raeylee Barefield is a Legislative Correspondent based in Austin, Texas, specializing in state government and public policy. With one year of reporting under her belt, she covers legislative developments, committee hearings, and policy debates. She has been cited by Texas Politics and Big Energy for her coverage and analysis of legislative and regulatory issues. Her reporting typically focuses on Public policy, Stare government, environmental policy, and energy regulation. To contact her, please reach out at Raeylee@dnm.news

View Comments

Recent Posts

Pete Hegseth Chides Reporters for Allegedly Spreading False Information About Iran War

U.S. Secretary of Defense Pete Hegseth pushed back on reporters over the weekend for allegedly…

7 hours ago

Secretary Jane Nelson Calls Election Integrity 'Cornerstone' of her Work Ahead of November Midterm Election

Ahead of the November midterm election, former Texas Secretary of State Jane Nelson provided updates…

8 hours ago

Big Digital Acquires Hood County Site for AI Data Center Expansion

Big Digital Energy has completed the acquisition of a power-ready industrial site in Hood County…

8 hours ago

Beth Van Duyne Condemns Omar Suleiman After Celebrating Lindsey Graham's Death

Congresswoman Beth Van Duyne (R) introduced a House resolution condemning Omar Suleiman after comments he…

8 hours ago

Vicente Gonzalez Opposes Republican Veterans Bill

Congressman Vicente Gonzalez (D) announced his opposition to House Republicans' "Take Care of America's Veterans…

9 hours ago

Al Green Claims Trump Would Pardon ICE Officers Convicted of Federal Crimes

Congressman Al Green (D) accused President Donald Trump (R) of creating conditions that have led…

9 hours ago