Public input needed!
Federal first then Texas:
Federal Update: CMS & Hemp-Derived Cannabinoids
On November 28, the Centers for Medicare & Medicaid Services (CMS) filed a proposed ruleto incorporate the federal definition of hemp that will take effect on November 12, 2026.
This proposed rule clarifies that cannabis or hemp-derived products illegal under federal or state law, including the FFDCA, are excluded from coverage for Special Supplemental Benefits for the Chronically Ill (SSBCI) offered by Medicare Advantage organizations.
Executive Order on Cannabinoid Research
The Trump Administration’s December 18 executive order “Increasing Medical Marijuana and Cannabidiol Research” directs the Health and Human Services, the Food and Drug Administration, and the Centers for Medicare and Medicaid Services to further cannabinoid research utilizing real-world data, aiming to increase patient access and inform medical standards of care.
The executive order also directs administration policy staff to work with Congress to improve the recently amended definition of hemp-derived cannabinoids to allow for full-spectrum CBD products.
Products Excluded Under the Amended Federal Definition
Under the recently amended federal definition, the following products are specifically excluded from the definition of hemp and will therefore become Schedule I controlled substances as of November 12, 2026:
- Cannabinoids not naturally found or produced in the cannabis plant
- Cannabinoids that are synthesized outside of the plant
- Final form products for human use that contain more than 0.4 milligrams per container combined total of naturally occurring tetrahydrocannabinols and other naturally produced cannabinoids determined by the Secretary of Health and Human Services to have the same effect.
In 2018, the FDA completed Generally Recognized as Safe (GRAS) notices for hulled hemp seed, hemp seed protein powder, and hemp seed oil. This proposed regulation would allow Medicare Advantage organizations to offer GRAS non-psychoactive hemp seed products produced from hemp with less than 0.3% THC and with less than 0.4 mg of THC per container as an SSBCI to qualifying enrollees, provided they are legal under applicable federal and state law.
Comments provided to the Centers for Medicare and Medicaid Services supporting expanded coverage of cannabinoid products can be impactful in supporting the Trump Administration’s efforts to improve access to federally legal hemp-derived cannabinoid products.
Public Comment Period and Next Steps
Public comments will be accepted until 5:00 p.m. ET, January 26, 2026.
If adopted, these new regulations take effect on January 1, 2027, unless otherwise specified by rule.
Comments can be provided either:
- Electronically at www.regulations.gov by following the “Submit a comment” instructions.
- By regular mail to the following address: Centers for Medicare & Medicaid Services, Department of Health and Human Services, Attention: CMS-4212-P, P.O. Box 8013, Baltimore, MD 21244-8013.
This is an important opportunity for cannabis companies to provide comments on these rules in support of expanded access to medical cannabis and provide comments on the proposed rules.
Now my birth state of Texas has public comment as well:
Texas Update: Consumable Hemp Product (CHP) Regulations
Please note Texas’s important public comment period that could significantly impact businesses involved in the manufacture, distribution, and retail sale of consumable hemp products (CHPs) in Texas.
The Texas Department of State Health Services is accepting comments on its proposed amendments to regulations concerning CHPs.
Proposed Regulatory Changes
As drafted, the proposed rules would substantially expand regulatory oversight and compliance obligations, including:
- Significant fee increases (i.e. $20,000 for a retail location)
- 21+ sales prohibitions with expanded inspection authority
- A comprehensive compliance framework for testing, recordkeeping, packaging, and product safety, including: but not limited
- Requiring that CHPs must be sold in tamper-evident, child-resistant packaging and may not be shaped, labeled, or marketed in a manner attractive to children
- Adopting a Total THC standard for hemp products
- Labeling requirements including specific warning statements regarding THC content, psychoactive effects, and drug-testing risks
- Expanded mandatory testing to include delta-9 THC, total delta-9 THC, and total THC
- Expanded COA requirements.
Public Comment Period and Next Steps
Given the scope and potential impact of these changes, we strongly encourage participation in the public comment process.
Oral comment registration and written comments will be accepted until January 7, 2026 at 5:00pm CST.
Oral comments will be heard at a hearing on January 9, 2026 at 1:00 pm CST. You may register here.
Written comments will be accepted until January 26, 2026:
- By email (before midnight) to HHSRulesCoordinationOffice@hhs.texas.gov
- By hand delivery by 5:00 p.m. CST
- By mail (postmarked by January 25, 2026) to: Rules Coordination Office, P.O. Box 13247, Mail Code 4102, Austin, Texas 78711-3247, or street address 4601 West Guadalupe Street, Austin, Texas 78751.
Please reach out to a member of our team if you would like assistance drafting or submitting comments, or if you would like to discuss the potential impacts in more detail.

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