Texas Legislature passes bill to ban all THC products: What’s next for the industry?

HOUSTON – Senate Bill 3, a controversial measure that would ban all THC products in Texas, has officially passed both chambers of the Texas Legislature.

The bill is now on Governor Greg Abbott’s desk, where he will make the final decision on whether it becomes law.

While Gov. Abbott has yet to publicly comment on the bill, it has strong backing from Lieutenant Governor Dan Patrick, who has voiced serious concerns about the unregulated nature of many THC products currently on the market.

A Booming Industry at Risk

THC products have been legal in Texas since 2019 under the condition they contain less than 0.3% delta 9 THC. In just a few years, the industry has grown into a powerhouse, generating nearly $8 billion in economic activity and supporting over 50,000 jobs, according to the Texas Hemp Business Council.

Business owners like Adyson Howard, who runs Wild Concepts—a dispensary offering THC, CBD, and infused beverages—fear the legislation could devastate thousands of livelihoods.

“We’re talking about tens of thousands of jobs of hardworking Texans,” Howard said. “Not to mention thousands of local small businesses that that are operating within compliance.”

Howard says more regulations rather than a total ban is the answer to Senate Bill 3.

“For several sessions now, we’ve actually been trying to get these products regulated and controlled better. We would love for there to be a strong age gate on it and strict guidelines that regulate what kind of packaging you can put these products, that definitely do not attract children. And, if there are a few bad actors out there, we’re all for increasing regulation and eliminating those people from our industry” Howard said.

Howard says THC and CBD dispensaries are regulated, but, he also points out that the current oversight is already under strain. The Texas Department of State Health Services (DSHS) handles inspections but, according to multiple dispensary owners, is overworked and under-resourced.

“They check all our product. They make sure we are compliant.” “I think a big reason why it’s falling behind is because there’s just not enough people that are doing it” Howard said. “The inspectors, when we talk to them, seem like they’re way behind and overworked and they need help.”

Public Health Concerns Driving the Bill

Supporters of SB 3, including Lt. Gov. Dan Patrick, argue that many THC products are being marketed to children and pose public health risks due to their lack of oversight. He also says many dispensaries are selling products with much higher THC dosage than allowed.

“They have turned Texas into a drug trade,” Patrick said. “We will not let the state of Texas be in the drug business and put these products on the shelf.”

Industry Pushback

Other business owners share Howard’s concerns. One dispensary and smoke shop operator who owns three locations—and asked not to be identified—said a ban would force many of his customers to turn to dangerous, unregulated alternatives.

“A lot of my customers are going to be out of legal options,” he said.

“You never know what’s in street products—there could be meth, cocaine, even poison. Legal dispensaries offer certified, regulated products. So, how can THC just be banned like this?”

What’s Next?

If signed by Governor Abbott, SB 3 would take effect on September 1. Meanwhile, on Tuesday, the Senate approved SB 3, lawmakers also passed an expansion of the state’s medical marijuana program, adding new formats like vapes, patches, and lotions.

This could offer a lifeline to some patients—but for many businesses and consumers, the future of the THC industry in Texas now hinges on the Governor’s decision.


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