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Montana Lawmakers Consider Major Changes to Marijuana Industry

Missoula, MT – — A series of bills currently being debated in the Montana Legislature could significantly reshape the state’s legal marijuana industry, with key proposals aiming to limit the potency of marijuana products and adjust how marijuana tax revenue is distributed.

On Thursday morning, the Senate Business, Labor, and Economic Affairs Committee held a hearing on Senate Bill 443, introduced by Sen. Greg Hertz, R-Polson. This bill seeks to cap the THC content — the psychoactive compound in marijuana — at 15%, a sharp reduction from the current 35% limit for marijuana flower. The 15% THC cap would not apply to medical marijuana products, which would remain exempt from the restriction.

Sen. Hertz, along with other supporters, argued that high-potency products, particularly those with THC levels above 15%, are associated with increased health risks, particularly for younger users. Hertz emphasized that this legislation is designed to safeguard public health and send a strong message across the country about the importance of regulating marijuana use.

“This is a very important bill for the people of Montana,” Hertz said. “I think we can send a good message across the United States, that everyone needs to start looking at this and paying attention to what’s going on.”

However, those working in the marijuana industry voiced strong opposition to the bill, warning that it could have dire consequences for local businesses. Industry representatives pointed out that most marijuana products sold in Montana currently exceed the proposed 15% THC limit. They argued that imposing such a strict cap would drive consumers back to the black market or push them to purchase marijuana from neighboring states where the limits are less stringent.

Jackson Kajander, a marijuana grower in Montana, expressed concern that the bill would force businesses to cease operations. “If this bill passes, we will have nothing to sell that meets the 15% THC requirement, and the legal Montana businesses will go out of business,” Kajander said. “7,000 people will lose their jobs.”

Sen. Hertz, in response to concerns raised by the industry, suggested that he could amend the bill to delay its implementation by one year, allowing businesses more time to comply with the new regulations.

In addition to SB 443, lawmakers also discussed Senate Bill 307, introduced by Senate Majority Leader Tom McGillvray, R-Billings. Unlike SB 443, SB 307 does not alter marijuana sales regulations but proposes to redirect marijuana tax revenue. The bill would shift funding from several wildlife and recreation programs to support substance abuse prevention and marijuana enforcement efforts.

Leanna Troesh of SafeMontana, a proponent of SB 307, argued that the bill would complement SB 443 by addressing the broader issue of the black market. “When you put the potency cap in place, you need to couple that with prevention and enforcement,” Troesh said, highlighting that the bill would provide necessary resources for these efforts.

Opponents of SB 307, including representatives from the Montana Wildlife Federation, warned that the bill could undermine vital conservation programs. They expressed concern that redirecting marijuana tax revenue from wildlife and recreation projects would leave these programs underfunded and jeopardize important environmental efforts.

“Rather than saying, you know, prevention and these things are important — they’re so important we’ll take the money out of the rest of this — we want to rob it from something that’s also incredibly important to our constituents and our communities,” said Tom Jacobson, a representative from the Montana Wildlife Federation.

In addition to these bills, other marijuana-related proposals were discussed in the legislature this week. On Wednesday, the House Business and Labor Committee held a hearing on House Bill 636, introduced by Rep. Jodee Etchart, R-Billings. This bill seeks to limit the THC content of marijuana edibles and prevent dispensaries from selling products in child-friendly shapes or packaging, such as brownies, cookies, and cupcakes.

Also on Wednesday, the Senate Public Health, Welfare and Safety Committee considered Senate Bill 375, introduced by Sen. Mark Noland, R-Bigfork. This bill would prohibit the sale of edible products containing hemp.

As the legislative session progresses, lawmakers will continue to debate these bills and other proposals that could fundamentally alter Montana’s marijuana industry. Advocates and opponents alike are closely monitoring the developments, as the outcome could have significant implications for public health, business operations, and the state’s economy.

Written by Denise Malone

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