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Industry and health witnesses warn Ohio committee that hemp ban or dispensary-only sales would harm small businesses and patients

Senate General Government Committee · December 10, 2024
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Summary

At the fourth hearing on Senate Bill 326 and a related substitute House Bill 327 opponent testimony, farmers, business owners and a nurse warned lawmakers that restricting hemp sales to licensed dispensaries or banning federally legal hemp products would damage small Ohio businesses, reduce access for elderly and medical consumers, and produce unintended legal and logistical consequences for contractors and public projects; no committee votes occurred on these measures.

Multiple witnesses spoke in opposition to restrictive provisions affecting hemp products and to administrative provisions raised in a related substitute bill.

Chris Runyon, president of the Ohio Contractors Association, testified in opposition to substitute House Bill 327, focusing on construction-related provisions. Runyon argued the bill’s compliance threshold unfairly targets the construction industry (compliance would begin at the first employee for construction while other employers would face a larger threshold), said E-Verify mechanics may conflict with federal I-9 and E-Verify rules, and warned that language that voids public contracts for missing E-Verify requirements could halt public projects and leave contractors unpaid. He also raised concerns about inconsistent definitions, seasonal-worker protections, and state debarment language that could supersede existing contract-owner authority.

At the fourth hearing on Senate Bill 326, entrepreneurs, farmers and health-care professionals warned that restricting hemp products or limiting sales to licensed dispensaries would harm small businesses and patient access.

Ahmad Khalil, a 26-year-old entrepreneur who said he operates more than 10 brick-and-mortar locations and employs over 50 people, told the committee a ban on federally legal hemp products would “directly threaten small business owners,” citing payroll and lease expenses and arguing customers would be driven to unregulated markets. Khalil referenced state statutory language in his testimony (transcribed references to Ohio revised code chapter 1331 and section 10763) and urged sensible regulation rather than an outright ban.

Jasmine Trowbridge, a licensed nurse, said hemp (which she described as a nonintoxicating variant of Cannabis sativa with ≤0.3% THC) provides therapeutic benefits such as pain relief and sleep support. Trowbridge warned limiting sales to dispensaries could create barriers for elderly patients and for health-care workers who might face professional scrutiny if seen purchasing products at dispensaries; she urged lawmakers to preserve broader retail access.

Producers and advocates pressed for a measured approach. Joseph Ellwood of Appalachian Girls Cannabis Company asked lawmakers not to "regulate Ohio hemp farmers out of business" and to seek more input. Josh Crozier, an industry educator, raised technical questions about measuring intoxication (0.3% THC versus milligrams per serving) and urged consultation with existing regulators before changing rules. Wesley Bryan, founder and CEO of 4 20 Craft Beverages, provided business figures (testimony included company-level revenue and employment numbers and larger industry claims) and said the bill would devastate small hemp companies while benefiting larger out-of-state corporations.

No committee vote occurred on SB 326 in this session; the chair closed the hearing and adjourned the committee.

What’s next: Multiple witnesses provided oral and written testimony urging amendments to preserve small-business access and permit targeted testing and enforcement. The transcript records no final committee action on SB 326 during this meeting.