Senate Bill 86 Could Deal a Major Blow to Ohio’s Hemp Retailers and Consumers

Senate Bill 86 Could Deal a Major Blow to Ohio’s Hemp Retailers and Consumers

Ohio's hemp industry has seen remarkable growth. Retailers across the state have built thriving small businesses, offering accessible CBD and hemp-derived products to consumers seeking alternatives to traditional cannabis. But Senate Bill 86 threatens to dramatically reshape the landscape, pushing legal hemp products out of everyday retailers and into the hands of a few select dispensaries. Here’s what Ohio’s hemp retailers, consumers, and industry advocates need to know about SB86, why it’s such a contentious issue, and what you can do about it.

What Is Senate Bill 86 and Why Does It Matter?

Senate Bill 86 (SB86) proposes sweeping restrictions on the sale of all intoxicating hemp products—including those containing hemp-derived Delta-8, Delta-9, and Delta-10 THC, as well as other popular cannabinoids. If passed, the bill would:

  • Ban the sale of these products through gas stations, convenience stores, independent smoke shops, and specialty CBD retailers.

  • Restrict legal sales exclusively to a small number of state-licensed medical marijuana dispensaries.

  • Impose a 10% excise tax on all products containing "intoxicating cannabinoids."

  • Override a key segment of the 2018 Federal Farm Bill by dramatically narrowing the definition of legal hemp in Ohio.

These changes would have an immediate and profound impact on the hemp marketplace, threatening hundreds of small businesses and narrowing consumer choice.

How SB86 Threatens Ohio’s Hemp Retailers

The Ohio hemp industry is powered by independent shops and family-owned businesses. These retailers provide not just jobs, but also education and alternative wellness options in their local communities. SB86 would sweep these businesses off the map with the stroke of a pen.

Retail Stores at Risk

  • Widespread Closures: Hundreds of CBD shops, wellness boutiques, and smoke shops could be forced to shutter. The sudden loss of revenue from their most popular products would make day-to-day operations unsustainable.

  • Job Losses: The hemp sector supports thousands of Ohioans, from store clerks and wellness advisors to logistics personnel and local farmers. Statewide job losses would ripple out to affect communities well beyond the stores themselves.

  • Limited Market Access: Only a few dozen dispensaries would be allowed to sell these products. Rural and smaller communities, already underserved by the state’s medical marijuana infrastructure, would see their access to legal hemp vanish.

Example: The CBD Corner Shop

Take a small business like "The CBD Corner Shop" in Cleveland. This local shop’s revenue is more than 70% dependent on the sale of hemp-derived cannabinoids. If SB86 passes, the shop would lose authorization to sell these core products overnight, putting the livelihood of its staff and owners at immediate risk.

Impact on Ohio Consumers

Ohioans choose hemp-derived products for many reasons—to manage anxiety, address pain, assist with sleep, and more. SB86 would severely curtail those options.

Fewer Options, Higher Prices

  • Restricted Selection: By consolidating sales under the state’s medical marijuana program, consumers would see a drastic reduction in product variety. Dispensaries focus on a narrow range of products, ignoring the diversity found in independent retail.

  • Skyrocketing Prices: Dispensaries already charge premium prices. Add a new 10% tax, and many consumers will be priced out of the market entirely.

  • Access Barriers: Not everyone qualifies for a medical marijuana card. SB86 would force consumers to jump through regulatory hoops or simply forgo access altogether.

Who Loses the Most?

  • Patients managing chronic pain or anxiety outside the medical cannabis program.

  • Consumers in small towns and rural Ohio, where medical dispensaries are few and far between.

  • Anyone looking for affordable, safe, and legal wellness options.

Taxation Without Representation

The 10% excise tax proposed by SB86 hits both customers and business owners hard.

  • Disproportionate Impact: For small businesses, balancing this new tax on top of shrinking margins isn’t feasible. Consumers will pay more for the same products—with no improvement in safety or quality.

  • No Funding for Oversight: The bill doesn’t earmark tax revenue for product safety, lab testing, or consumer education. Instead, it simply serves as a barrier, not a benefit.

What Industry Advocates Are Saying

Industry leaders, business owners, and consumer advocates are sounding the alarm on SB86.

Voices from the Community

  • Ohio Small Business Association: “This bill would devastate independent retailers and destroy an emerging sector built on access, education, and community.”

  • Delta-8 Ohio Association: “We support safe and responsible sales, but SB86 is a sledgehammer, not a scalpel. It eliminates good businesses rather than addressing bad actors.”

  • Local Consumer: “I use CBD gummies for anxiety. If I can’t buy them at my neighborhood shop, I don’t know where I’ll go. I shouldn’t need a prescription or drive 40 miles for something so basic.”

National Perspective

Since the passage of the 2018 Farm Bill, hemp-derived cannabinoids have existed in a complex (and sometimes confusing) legal gray area. States across the US are enacting restrictions, but few have gone as far as Ohio’s SB86. Industry groups argue that responsible regulation—not outright prohibition—is the best way to safeguard consumers and businesses alike.

Your Action Can Make a Difference

If signed into law, SB86 could reshape Ohio's hemp market almost overnight. But legislation is not a foregone conclusion. Stakeholders across the state are urging lawmakers to:

  • Consider the disproportionate economic impact on small businesses.

  • Consult with independent retailers and consumer groups—not just medical marijuana interests.

  • Pursue more targeted, evidence-based regulation to protect consumers from truly unsafe or gray-market products, rather than banning an entire industry.

What Can You Do Next?

  • Contact your legislators. Share how SB86 would impact you as a business owner or consumer.

  • Support Ohio’s local hemp retailers. Frequent their stores and speak up in support at upcoming legislative hearings.

  • Stay informed. Follow updates through reputable industry organizations and community groups.

  • Share your story. Lawmakers listen to constituents, especially when you reach out with personal impact statements.

Protect Ohio’s Hemp Future

Senate Bill 86 presents a clear threat to Ohio's diverse and thriving hemp industry. Restricting sales to a handful of dispensaries, imposing heavy taxes, and eliminating choice for consumers undermines the principles of access and fair business. If you value affordable, legal hemp wellness products and the small businesses that provide them, your voice is needed.

Reach out to your elected officials, support your local retailers, and stay engaged. Ohio's hemp industry is worth protecting.

 

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