NORTH CAROLINA IN HUGE TROUBLE! ...This New Law is BAD!

[00:00:00]So, the federal THC headband has everyone on edge. From business owners to consumers and medical patients to veterans, everyone's hoping for the best, but expecting the worst. And the worst is exactly what's happening right now in certain currently prohibition states. Over in North Carolina, the gurb is fully illegal. There's no medical, there's no recreational, and soon there could be no hemp industry either, as new laws could literally send the whole thing up in smoke.

[00:00:23]>> The 1 billion dollar hemp industry in North Carolina may go up in smoke.

[00:00:28]Supporters say the move would protect children and align with new federal restrictions set to take effect in November. Shanam Desh takes a look at what that means for consumers and business. Every single thing in this cabinet is a THC dominant product.

[00:00:42]>> North Carolina's hemp boom could be headed for a sudden shutdown.

[00:00:47]>> This feels like prohibition. In every single situation in US history, prohibition is never the answer. House Bill 328 would immediately ban the sale of intoxicating hemp products to anyone under 21.

[00:01:01]>> Want to protect children um from these products. And so that's really the sense of urgency that that we've led into.

[00:01:08]>> The bill also redefineses hemp to match a new federal standard that takes effect in November. 4 milligrams of THC per serving.

[00:01:18]>> The only way we're going to get these products off the market is if we do what we're doing in this bill. The change would mean most intoxicating hemp products like gummies, vapes, and THC drinks would disappear from store shelves.

[00:01:32]>> And so essentially 99% of the products you see on our shelf today would be made illegal.

[00:01:37]>> Eric Stall, the owner of Modern Apotheca in Raleigh, has spent years pushing lawmakers to regulate, not ban, the industry.

[00:01:45]>> This legislation is throwing the baby out with the bathwater. It's getting rid of every single retailer, farmer, or manufacturer in North Carolina who carries or manufactures these products and replaces them with nothing other than a ban to make them completely illegal.

[00:02:02]>> Not all lawmakers believe a ban is the answer.

[00:02:05]>> So, you guys can already see the direction that North Carolina is going with this whole thing. They're definitely aiming for a ban rather than regulation. But some lawmakers are literally pushing for regulation rather than wiping out the multi-billion dollar industry over in North Carolina.

[00:02:19]>> Not all lawmakers believe a ban is the answer.

[00:02:22]>> My concern is that this just simply opens up a black market that will expose our kids to even worse things. We may be causing ourselves a different problem and maybe a more intractable problem once this becomes sort of a criminal enterprise on the streets.

[00:02:37]>> And let's keep it real. That's exactly what's going to happen. In every situation where there is prohibition, there's a black market. And in 99% of those situations, the black market thrives. Even in legal states like California, where there's so much regulation and red tape, the black market is thriving. So, let's just think about this for one second. If lawmakers ban everything, then what'll happen to the black market over in North Carolina?

[00:03:00]It'll also thrive. It doesn't take a rocket scientist to figure that out. But despite all that, yet here we are. North Carolina Senate passes a bill to restrict hemp THC andratom products.

[00:03:10]Now, the North Carolina Senate approved this bill last Thursday, House Bill 328.

[00:03:15]And this bill will not only change the limits and definitions, but it'll also increase the penalties, which will range from $10,000 to $50,000. Now, this bill still has to go through the North Carolina House and be signed into law by the governor. And what we're seeing is a complete soap opera because the North Carolina governor and the House Speaker are clashing on cannabis legalization.

[00:03:35]And according to this, North Carolina's Democratic governor supports legalization. He says that a well- reggulated market will put public safety and public health first and that will protect kids. Now, despite the fact that the North Carolina Senate has approved this ban, it has stalled in the House.

[00:03:50]>> A crackdown on intoxicating hemp products has hit a stalemate at the General Assembly. Republicans in both chambers reached a deal, then they split on whether or not to vote on it. So, if lawmakers agree on the policy, why is it stuck? Our state government reporter Caroline Yafa explains what happened and what comes next.

[00:04:07]>> It was supposed to be a finished deal aimed at regulating THC and CBD products sold in gas stations and smoke shops across North Carolina, but now it's on hold at the legislature and it's frustrating a top leader.

[00:04:23]>> There always was an excuse not to do something. The Senate passed the measure Thursday, banning intoxicating hemp products for those under 21 and tightening restrictions on other products, but the House never took a vote. House Speaker Dustin Hall says lawmakers support the goal, but needed more time to review what he called a complicated agreement.

[00:04:46]>> Our caucus desire uh is to make sure that we're uh keeping the bad products out. The debate centers on products like gummies, drinks, and vapes that have exploded since hemp was legalized federally in 2018. Often sold as legal, but still capable of getting users high.

[00:05:04]Congress has voted to outlaw hemp products at the federal level, adding urgency to the issue here in state politics.

[00:05:12]>> Doing nothing uh was not an option.

[00:05:16]>> But Hall says there's a good reason for this pause. I'm want to be clear reserving judgment on the bill uh quite yet at this point just to make sure uh it does what uh we it's been portrayed to do but uh if it doesn't then we won't take it up and it won't be any pressure over here.

[00:05:33]>> Lawmakers return July 27th when they could take up these ideas or leave it unresolved again.

[00:05:40]>> Now in this particular situation having the lawmakers stolen this bill so they can iron out some of the details. I have no problem with that. We've seen situations where lawmakers ram through legislation and they don't fully understand the repercussions. Because let's be clear, as of right now, a lot of these products are currently legal over in North Carolina thanks to the 2018 Farm Bill. And what we're seeing is an attempt by North Carolina lawmakers to regulate the market. Because the truth is with the status quo right now, there's very little regulation.

[00:06:08]>> Now to a story we've been following out of Raleigh tonight. Our Julie Kay is joining us to talk about this bill that's moving forward tonight. It would put stricter regulations on hemp products.

[00:06:17]>> Yeah, that is right. This is obviously a huge talker and the Senate passed a bill to ban it for those under 21 and create a more restrictive definition of hemp.

[00:06:26]State lawmakers say the goal is to match federal language around hemp. But I spoke with a local business who says this actually takes it much further. If you walk into a Crown Town cannabis, you'll find hundreds of hemp products >> and energy and clarity and >> some days you'll find owner Mike Sims, but he's worried his products and his livelihood, >> it will all be banned, >> is threatened by new legislation.

[00:06:48]>> The the devil's in the details with these uh laws uh and ultimately it would be a kill bill. Would absolutely put our entire industry out of business. We're talking about 15,000 jobs in a $4 billion industry in North Carolina alone. Right now, hemp is legal under both federal and state law, a key difference for marijuana, which has a higher concentration of THC or the component that causes the high. There are also no age restrictions for using or buying hemp. House Bill 328 would change that, restricting anyone under the age of 21. It also redefineses hemp to match new federal legislation. Sims supports regulations like age restrictions and child locks, >> keep them out of reach of children.

[00:07:27]They're not for children, >> but says the state bill actually goes much further. We are panicked. It is almost impossible to run a business in this gauntlet of everchanging laws that literally change week by week and day by day. Many of these stores, including ourselves, have been raided.

[00:07:43]>> The state senate passed it Thursday, but the House adjourned without taking it up. House Speaker Justin Hall has said he personally supports cracking down on this, but the House needs some time to study the proposal. The general assembly will be back in session July 27th. Sims says he's going to spend the next few weeks talking to lawmakers, advocating and and hopefully getting some of them to sway their their mind here.

[00:08:03]>> Yeah. I mean, to your point, though, Julia, I mean, this is something that lots of folks talk about. This gets gets folks talking when they >> talk about those regulations with the ham.

[00:08:11]>> Absolutely. And there's stuff going on at the federal level, too. So, there's just a lot going on at the moment.

[00:08:15]>> Well, thank you for keeping us posted.

[00:08:17]>> Now, for me, with prohibition, everyone loses. The state loses out on tax dollars. Business owners and medical patients, they all lose out. The impacts to the hemp industry are going to be catastrophic. And I'll show you guys what a few North Carolina residents have to say about this whole thing. But before we do, just a quick reminder. If you're getting value from this video, please do like, share, and subscribe to the channel. And if you want to support us further, join the Icon VIP Bean Club or cop some merch from our merch store.

[00:08:41]And if you happen to be a home gardener, try the Icon Organics. Use the code legal. It works on the bundle and that new female.

[00:08:47]>> Part of the billiond dollar North Carolina hemp industry could soon go up in smoke. Supporters say the move would protect children and align with new federal restrictions set to take effect in November.

[00:08:56]>> Something is happening in Raleigh right now that affects our business, our customers, and thousands of jobs across North Carolina. There's a bill called House Bill 328. And when the House wrote it, it did something we actually agree with. Hemp products 21 and up.

[00:09:14]Responsible retailers like us have been asking for age limits and standard testing for years. We want regulation.

[00:09:26]But the Senate took that bill and completely rewrote it. Their version bans all hemp derived THC products to 4 mg of THC per container. To put that in perspective, that threshold is so low, it wipes out nearly every product in this market. THCA, Delta8, hemp derived, Delta 9 beverages, and full spectrum products that veterans and people with chronic pain rely on day in and day out.

[00:09:57]Hemp business owners have said the same thing across the state. This isn't regulation. This is prohibition with extra steps.

[00:10:08]And the way it happened matters. The Senate literally voted on this 37-6 after the House had already packed up and gone home for recess. The final language came out so late that Speaker Hall said his members didn't even have time to read it. The House voted 95 to 18 against the Senate's approach back in April. This ban locks this into state law permanently. Even if Congress repeals the federal ban, which the White House has formally asked them to do, North Carolina would stay banned forever unless a future legislature undoes it.

[00:10:49]>> So you guys can see just how serious this bill is. And over in North Carolina, the residents are paying attention. So, even though the lawmakers are trying these sly antics and semantics to pass these bills through, a lot of folks are paying attention and they're not going to let this stand. And again, we've already seen situations where lawmakers think that they know better than what the people want. A lot of folks over in North Carolina, similarly to Iowa and Idaho, they're all in favor of legalization. But yet, the lawmakers are trying everything in their power to prevent that from happening.

[00:11:19]And like we mentioned already, over in Idaho, the lawmakers are trying to prevent the voters from putting legalization onto the ballot. And over in North Carolina, the same thing is happening because according to this, the bill to put marijuana on the ballot in North Carolina is unlikely to advance.

[00:11:33]And that's according to a Senate leader.

[00:11:35]So with lawmakers over in North Carolina pushing back hard on legalization and also going after a lot of these THC derived hemp products, then what's left?

[00:11:44]Pretty much nothing. stock prohibition and a lot of folks will be seriously affected and this is what they have to say. Listen, >> look at where the industry is right now in cannabis. This is a long history. We have been in this for decades, you know, in this movement to free the plant. And so this is not new. I've been in a black market, unregulated market all the way to a legal market over almost four decades.

[00:12:14]And so here we are again and this is what we have been waiting for all along.

[00:12:19]Where we sit right now and what the repercussions could be are very serious.

[00:12:25]You know if everything goes the way it is, hemp is illegal. You have put thousands upon thousands of businesses out of business. You've already heard the farmers that have invested the ones that have invested to grow. This is vertically integrated. I have 40 employees and I'm just one small company. Think of all the ripple effect.

[00:12:46]So you are going to kill the economy and it's not just cannabis. We have attorneys, bankers, everybody is in cannabis now in one way or another. And so it is not a good economic choice. And with the state of our economy, we don't need it in states or federally. So, as you guys can see, there are folks who've been operating in the legacy market over in North Carolina for decades, and especially since that 2018 Farm Bill. So, let me know what you guys think about all that. Over in North Carolina, they're in a really tricky position, and it'll be really interesting to see how this whole thing plays out. Drop your thoughts and concerns in the comments section down below. Now, in our next video, over in Texas, it feels like ground zero for the THD hemp ban, and the prohibitionists over there are labeling the good as a weapon of mass destruction. It's absolutely mind-blowing. So, if you haven't seen that, check it out. It's coming up right now.