Review of LRB-4974/1 – Testin / Kurtz Hemp (HDC) Reg Bill

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LRB-4974/1 is a comprehensive regulation bill for hemp-derived cannabinoid (HDC) products in Wisconsin. It does not ban intoxicating hemp, but it creates a strict safety, testing, age-limit, and packaging framework around it.

Below is a section-by-section breakdown of what the bill does.


1. Redefines “Hemp” in Wisconsin law

The bill modifies the definition of hemp in two important ways:

A. Hemp is tested using scientifically reliable methods

Adds HPLC, GC-MS, or similar reliable methods as the required testing method for determining THC levels and removes the decarboxylation requirement.

B. Hemp now includes hemp-derived cannabinoid (HDC) products

This is big: any product containing hemp-derived cannabinoids is now legally included under “hemp.”

This ensures intoxicating hemp is regulated — not banned.

C. Hemp does NOT include FDA-approved prescription drug products


2. Creates a new regulatory category: Hemp-Derived Cannabinoid Products

The bill defines:

A. “Hemp-derived cannabinoid (HDC)”

Any cannabinoid extracted from hemp, including:

  • Delta-6 THC
  • Delta-8 THC
  • Delta-9 THC
  • Delta-10 THC
  • Their acidic forms (THCa versions)
  • Their varin forms (THCv versions)

Excludes:

  • THC-O / acetate derivatives
  • Synthetic cannabinoids

B. “Hemp-derived cannabinoid product”

Any product containing or labeled to contain an HDC that is:

  • Eaten
  • Inhaled
  • Absorbed through the skin

Exemptions (these are not regulated as HDC products):

  1. Topicals not intended to enter the bloodstream
  2. CBD medical products legally dispensed under existing WI statutes
  3. FDA-approved prescription cannabinoids

3. Creates a statewide 21+ age limit

The bill makes intoxicating hemp products treated like alcohol or tobacco:

  • 21+ to buy, possess, or attempt to purchase
  • Underage persons may not falsely represent age
  • Sellers have a legal defense if:
    • Customer looked 21
    • Customer claimed they were 21
    • Customer presented documentation showing 21
    • Sale was made in good faith

This protects retailers when IDs are faked.


4. Mandatory Lab Testing for Every Batch

Before any product can be sold:

A. Each batch must be tested by an independent accredited lab

The lab must certify:

  1. Cannabinoids match the label
    • Must be accurate within 1 mg or 10%, whichever is greater
    • Must list mg/serving and mg/container
  2. No harmful contaminants, including:
    • Mold
    • Solvents
    • Catalysts
    • Pesticides
    • Fertilizers
    • Mycotoxins
    • Heavy metals
  3. Delta-9 THC is within legal hemp limits (0.3% or federal max up to 1%)

B. Certificate of Analysis (COA) required

Retailers may only sell products with an accompanying COA.

  • COA may be provided through a QR code on the label.

5. Strict Labeling Requirements

Labels must include:

  1. Manufacturer / Brand owner info:
    • Name
    • Location
    • Phone number
    • Website
  2. Batch number
  3. Serving size and number of servings
  4. Cannabinoid profile per serving and per container
  5. Ingredient list, including allergens
  6. Potency disclosure (mg per serving & mg total)
    • Lists total THC
    • Lists each HDC present in >1% of the total THC
    • Must be accurate within 1 mg or 10%
  7. Warning statement, including:
    • Keep out of reach of children
    • Must be 21+
    • Pregnancy/breastfeeding warning
    • Impairment warning (driving/machinery)
    • “May contain unidentified substances”
    • “Not approved by FDA for treatment of disease”
    • “May result in positive drug test”
  8. Additional warning for inhaled products:
    • “WARNING: Inhalation of cannabis smoke has been associated with lung injury.”

6. Packaging Requirements

Products must have:

A. Child-resistant packaging

(Unless it is a beverage.)

B. No packaging appealing to children

Prohibited imagery includes:

  • Cartoons
  • Superheroes
  • Video game characters
  • Movie characters
  • Unicorns / mythical creatures
  • Anything resembling existing candy/snacks/soda brands

C. Tamper-evident seals are required.

D. Small containers

If the immediate container is too small for full labeling, information may be placed on:

  • Outer packaging
  • QR code

7. Beverage-Specific Rules

If an HDC product is marketed as a beverage:

  1. Max 10 mg total THC per serving
  2. If non-resealable, the container may hold no more than 2 servings

Example:
A 12 oz THC seltzer could contain 20 mg total maximum — only if labeled as 2 servings.


8. Export Protection

A manufacturer in Wisconsin may produce products for export, even if:

  • The products cannot legally be sold in Wisconsin
  • The concentration of cannabinoids exceeds WI limits
  • Formulations differ from WI regulations

This protects interstate wholesalers and processors.


9. Removes DATCP Referral Requirement

Currently, hemp violations can only be prosecuted after a referral from DATCP.

This bill removes that protection for violations relating to HDC products.

Meaning:

  • District Attorneys and DOJ can directly enforce violations
  • Stronger enforcement on intoxicating hemp dealers

10. Exclusions and Non-Applicability

The bill explicitly states:

  • Some existing hemp subsections do not apply to HDC products anymore
  • Criminal enforcement referral protections under s. 961.32 (3)(c) do not apply

What the Bill Does NOT Do

It is important to note:

❌ It does NOT ban intoxicating hemp

❌ It does NOT implement a three-tier system

❌ It does NOT regulate where stores may operate

❌ It does NOT require new retail licenses

❌ It does NOT prohibit THCa, delta-8, delta-10, or other hemp-derived THC forms

Instead, it legalizes them with guardrails:

  • Age 21+
  • Testing
  • Labeling
  • Packaging
  • Beverage potency caps

Overall Assessment

This bill is a consumer protection bill, not a prohibition bill.

It is likely intended to:

✔ Protect the existing hemp industry

✔ Avoid a three-tier alcohol-style distribution model

✔ Get ahead of federal pressure

✔ Address youth access concerns

✔ Preserve THCa/delta-8/delta-10 legality

✔ Standardize testing and reduce bad actors

✔ Align Wisconsin with what many other states are already doing

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