Federal and state hemp regulatory changes continue to evolve rapidly, affecting both beverage makers and consumers. This April update covers the updated Farm Bill, FDA’s new CBD products enforcement policy, four states tightening hemp rules to align with the upcoming federal ban, and two cannabis bills in California.
Federal regulatory updates
Farm Bill advances without hemp ban relief
On March 5, the House Agriculture Committee voted 34-17 to advance the Farm, Food, and National Security Act of 2026 without adopting amendments to delay or repeal the November 2026 intoxicating hemp ban. Committee Chairman Glenn Thompson (R-PA) ruled such amendments non-germane, stating that regulating finished hemp products falls under the House Energy and Commerce Committee and FDA, not Agriculture. The November ban, enacted in November 2025 agriculture appropriations, prohibits hemp-derived consumables containing more than 0.4 milligrams total THC per container, which the US Hemp Roundtable estimates will eliminate 95% of current products.
Rescheduling language softened
A March 17 Congressional Research Service report downgraded the likelihood of cannabis rescheduling, removing language stating it’s “likely” DOJ “will move marijuana from Schedule I to Schedule III” and replacing it with “may.” The report notes that even if rescheduling occurs, it would not bring state-legal medical marijuana into federal compliance without additional legislation.
FDA submits CBD enforcement policy
While FDA missed its February 10 deadline to publish three required cannabinoid lists mandated by the November 2025 spending bill, the agency submitted a separate “Cannabidiol (CBD) Products Compliance and Enforcement Policy” to the White House Office of Management and Budget (OMB) for review on March 15. The full text is not yet public. It’s unclear whether this proposal addresses the missed cannabinoid list mandate or relates to the separate CMS Medicare coverage initiative.
Medicare CBD pilot to start April 1
CMS pilot sets limit of 3 mg THC per serving, covers $500 annually
The Centers for Medicare and Medicaid Services (CMS) plans to launch a Medicare pilot program in April covering CBD costs for eligible patients (primarily those over 65 with cancer-related chronic pain) and covering up to $500 annually in hemp-derived CBD products. The program sets a limit of 3 milligrams total THC per serving, which is more than seven times the 0.4mg per container limit imposed by the November 2025 spending bill that takes effect this November. A CMS spokesperson told Cannabis Wire the agency “will adjust its definition in accordance with the law,” but did not explain how it arrived at the 3mg threshold or how manufacturers can comply with both contradictory standards.
Cornbread Hemp joins the institutional health care supply chain
Cornbread Hemp secured an exclusive contract with Alliant Purchasing (a GPO serving 68,000 healthcare locations) to supply USDA organic CBD products for the Medicare pilot program launching April 2026. The Kentucky-based company meets all CMS requirements with certified organic, GMP-compliant products backed by third-party testing and oncology expertise, though the program faces potential disruption from November 2026 federal hemp redefinition that could eliminate most eligible products.
State regulatory updates
Four states–Pennsylvania, RI, Texas, and Ohio—are moving to tighten hemp restrictions to align with the upcoming federal hemp ban. Texas banned THCA flower as of March 31. In Pennsylvania, Senate Bill 49 proposes redefining hemp to ban most intoxicating products if adult-use legalization passes. In Rhode Island, the Cannabis Control Commission (CCC) wants to halt the sale of THC-infused beverages at establishments with a liquor license.
Ohio implementation
In Ohio, Senate Bill 56 gook effect March 20, 2026, after voters failed to get enough signatures for a referendum to block the ban, and an 11th-hour lawsuit also failed. The law bans all intoxicating hemp products, including THC/CBD beverages. Gov. DeWine line-item vetoed a provision that would have allowed 5mg THC beverages through December 2026.
Two legal challenges are active against the bill. The Franklin County Common Pleas argues that the Ohio law conflicts with federal hemp provisions and that DeWine exceeded line-item veto authority on “substantive policy” vs. appropriations. Several brands are also challenging the beverage veto specifically in the Ohio Supreme Court.
California
In California, assembly member Jacqui Irwin has proposed several cannabis-related bills. Among them is AB 2532, Cannabis: Labels, Packaging, and Manufacturing, which would change the limit from 10 mg THC per serving to 10 mg THC per container, effectively eliminating multi-serving beverages. It would also require product labels or inserts to include the national poison control hotline.
Rhode Island
The Rhode Island Cannabis Control Commission recommends hemp beverages to be held to the same standard as regulated cannabis in the state and calls for a moratorium on issuing new hemp-derived consumable retail licenses to establishments who serve alcohol.
For the latest in regulatory changes, subscribe to our monthly newsletter.
