Lawful Hemp Protection Act

Sponsor: Andy Barr (Republican-KY)July 22, 2026

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Introduced

In Committee

Passed One Chamber

Passed Both Chambers

Signed into Law

Referred to the Committee on Ways and Means, and in addition to the Committees on Energy and Commerce, Agriculture, and Transportation and Infrastructure, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

New rules would change how hemp products are made, sold, and taxed, and allow Medicare coverage.

This bill would set new federal rules for hemp-derived products, changing what counts as legal hemp and how these products are regulated by the FDA. It would also add new taxes on these products and require states to adopt strict impaired driving laws for hemp. For some, it would allow Medicare to cover certain hemp products.

What Would Change

Currently, the legal definition of hemp allows for a total THC concentration of 0.3%. There are varying state-level regulations for hemp-derived cannabinoid products, and federal oversight by the FDA is limited. There are no specific federal taxes on these products, and Medicare generally does not cover them. States have different approaches to impaired driving laws related to hemp. If this bill becomes law, the legal THC limit for hemp would increase to 1%, but many synthetic cannabinoids would become illegal. The FDA would gain significant authority, setting age limits (21+), mandating detailed labels, establishing maximum cannabinoid content, and requiring uniform manufacturing and testing. All products would need to be fully U.S.-sourced. New federal taxes would be imposed: 5 cents per milligram of THC for beverages, 5% of the sales price for other products, and a 5% sales revenue tax for manufacturers. A three-tiered distribution system would be created for hemp beverages. States would be required to implement "zero tolerance" impaired driving laws for hemp, with penalties similar to alcohol, or face a 10% cut in federal highway funds. Medicare Advantage plans would be allowed to offer coverage for hemp-derived cannabinoid products as a supplemental benefit for the chronically ill.

Key Provisions

Redefines Hemp: The bill raises the legal total tetrahydrocannabinol (THC) concentration for hemp from 0.3% to 1% on a dry weight basis. It also explicitly excludes certain synthetic or artificially modified cannabinoids, such as HHC, THC-O-acetate, and THCP, from the definition of hemp, making them federally illegal.
Establishes FDA Oversight: The bill grants the Food and Drug Administration (FDA) broad authority over hemp-derived cannabinoid products. This includes setting a minimum age of 21 for purchase and possession, mandating strict labeling requirements (e.g., THC content, government warnings, QR codes for testing), establishing maximum cannabinoid content limits, and requiring uniform manufacturing and testing standards. Products must be entirely sourced, processed, and packaged within the U.S.
Imposes New Federal Taxes: The bill creates new federal excise taxes on hemp-derived cannabinoid products. Hemp-derived beverages would be taxed at 5 cents on each milligram of tetrahydrocannabinol in such beverage. Other hemp-derived cannabinoid products would face a 5% tax on their sales price. Manufacturers would also pay a 5% tax on their total sales revenue. The bill establishes a three-tiered distribution system for hemp-derived beverages, similar to alcohol.
Addresses Impaired Driving: The bill requires states to adopt "zero tolerance" laws for driving impaired by hemp. These laws must apply the same field sobriety standards and penalties as for alcohol or other impairing substances. States that do not comply could lose 10% of their federal highway funds.

View on Congress.gov

HR 9830 · 119th Congress · July 22, 2026 · AI Summary by gemini-2.5-flash · 8/10

Lawful Hemp Protection Act

What Would Change

Key Provisions

Lobbying Activity