On Monday, Vermont Gov. Phil Scott signed several bills related to animal welfare, diversity in courts, and addiction recovery support, and allowed a cannabis bill to pass into law without signature. The bill is designed to improve regulations surrounding cannabis and hemp-derived products.
Scott also allowed H.612 to pass into law without his signature. The bill creates a series of changes to Vermont’s laws on cannabis, most notably, banning psychoactive hemp-derived products. Scott said there are pros and cons, and that the bill takes “some steps forward, and some steps back” in terms of regulations to keep products safe.
Among the pros include a loophole related to hemp products that are infused with THC. The law “ensures individuals with significant, documented medical needs continue to have access to medical cannabis,” he wrote. It “makes progress toward safeguards” for people under 21 who want access to “more potent medical products,” and the bill is “responsive to municipal concerns regarding setbacks for outdoor cannabis cultivators.”
On the other hand, Scott wrote that he is concerned about “warnings from healthcare providers that the availability of high potency medical cannabis products in more retail stores will increase use among those who do not have a valid medical prescription.”
The bill will codify rules the Vermont Cannabis Control Board already adopted last year, limiting the sale of intoxicating hemp-derived products in the state and regulate them as cannabis products if they contain more than 0.3% of total THC.
The Brattleboro Reformer reported last May that the bill cleared the Senate. “We finally got it down,” Cannabis Control Board Chairman James Pepper told the Reformer. “The Senate made some changes then the House concurred with the Senate.”
H.612 passed “very late in the day Friday,” Pepper said at the time. The bill loosened up advertising restrictions slightly from earlier versions and added some working groups and more requirements regarding a patient-provider relationship for people under the age of 21.
The bill provides a path for municipalities to establish preferred cultivation districts and have some power over where cannabis can be grown. It also creates several more changes. A medical use endorsement option will allow adult-use retailers to serve patients with the same authorizations as medical dispensaries such as curbside delivery pickup and tax-exempt sales to patients. On top of the $10,000 fee retailers pay for their license will be a $250 charge for the endorsement.
Under the bill, retailers with a medical endorsement will be allowed to sell products that exceed potency caps to medical patients. Sales to medical patients will be exempt from taxes.
Added to the list of conditions to qualify a person for the medical registry is ulcerative colitis. Renewal terms for patients will extend from one to three years.
Fees for medical dispensaries would be cheaper, with applications costing $1,000 instead of $2,500, and the annual charge would go from $25,000 to $5,000. An initial $20,000 fee is eliminated by the bill.
Geoffrey Pizzutillo, executive director of Vermont Growers Association, counted more than a dozen sections in the legislation. “We have yet to see the final version of the bill,” he said. “We have an idea of what’s in the bill.”
“Though we didn’t manage to stop the cultivation districts, we feel like a compromise was arrived at,” he said of language on zoning. “There’s not going to be immediate setbacks. There’s going to be a working group. We’re part of the working group to assess the outdoor siting issue for next year’s General Assembly.”
Local leaders also applauded its ban on hemp-derived psychoactive products like those containing delta-8 THC and similar compounds.
“Importantly, H.612 will ban synthetic hemp derived intoxicating products with psychoactive THC that are currently unregulated and appear in gas stations and convenience stores, taking advantage of a federal loophole,” Rep. Matthew Birong, D-Addison-3, said from the floor in March before the bill headed to the Senate. “Another major theme will be adopting the medical cannabis statutes to preserve access to products for patients, as the current model for medical dispensaries is becoming economically unviable alongside adult use retail cannabis stores.”
Current state law caps the THC percentage in smokable cannabis flower products at 30%—which is high but exceeded in certain varieties—and the amount of THC in solid or liquid concentrated cannabis at 60%. Vermont also imposes a 5 mg serving size/dose cap on edibles and 100 mg cap on entire packaged edibles. The edible dosages align with what you’d see in most other states.
The governor wrote that the bill’s pros outweigh the cons as he allowed it to pass into law.
