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Huntsville council adopts zoning and licensing rules for consumable hemp products

Huntsville City Council · March 26, 2026
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Summary

Council amended zoning and city code to implement Alabama House Bill 445, adding land-use siting rules, separation distances, and a municipal licensing process for consumable hemp products while allowing case-by-case grandfathering for existing lawful CBD sellers.

The Huntsville City Council approved zoning and code changes March 26 to incorporate Alabama House Bill 445 into local land-use rules and licensing processes for consumable hemp products. The ordinance adds definitions, distance separations from protected uses, and a licensing pathway handled through the city alcohol/consumable-hemp committee.

Planning staff said the amendment treats consumable hemp retailers similarly to alcohol in land-use approach, with a 500-foot separation from protected uses for most retailers but exemptions for retailers within shopping centers with at least 100,000 square feet. Specialty retailers and pharmacy accessory sales are placed in specific zoning districts, and the Board of Adjustment retains oversight of special exceptions.

"Grandfathering is not really included in our zoning ordinance but it is a policy that we have adopted for any kind of regulations that we adopt," Planning staff told the council, adding that retailers who were lawfully selling CBD or consumable hemp products before the state law will generally be allowed to continue subject to documentation.

Finance Director Penny Smith told council the municipal licensing step will mirror existing alcohol licensing procedures and that, under state law, the city cannot charge a fee for the state consumable-hemp license itself.

Philip Smith, owner of a local Sun Med franchise, said he had operated for six years and feared losing his business; staff and the city attorney advised that lawful, preexisting sellers should be able to continue operating after completing routine municipal paperwork.

Council approved the ordinance on the same night it held the public hearing; related business-license amendments will be considered later in the agenda. The change brings local regulations into alignment with the state licensing and enforcement framework while preserving municipal land-use authority.