OLCC-licensed marijuana retailers can receive hemp items (usable hemp, hemp concentrate, hemp extracts, and hemp cannabinoid products) and sell these items to consumers, subject to OLCC rules. A retailer can only receive these items through a licensed transfer in Metrc from:
- An OLCC-licensed marijuana processor with a hemp endorsement;
- An OLCC-licensed marijuana wholesaler;
- Another OLCC-licensed marijuana retailer under common ownership; or
- An ODA-licensed hemp handler with an OLCC Hemp Certificate
Hemp items sold by an OLCC-licensed marijuana retailer are not subject to the retail sales tax on marijuana items.
Hemp items must pass compliance testing prior to being transferred to the retailer, and the test results must show that the product is below the THC limits in OAR 845-025-2760. For products being transferred to the retailer by an ODA-licensed hemp handler with an OLCC hemp certificate, the compliance testing needs to be done after the handler enters the item in their Metrc account. Testing done prior to entering the item into Metrc or testing performed by a lab that does not hold an OLCC laboratory license does not meet this requirement.
Any finished hemp items packaged for sale to a consumer must comply with OLCC packaging and labeling requirements. This includes either having a label that has been pre-approved by OLCC or a valid “generic label." A generic label cannot contain any logos, colors, or text beyond the label information required by OLCC rules. Note that products containing artificially derived cannabinoids and inhalable cannabinoid products that contain non-cannabis additives are not eligible to use a generic label and must have an OLCC-approved label.
Beginning July 1, 2022, an OLCC-licensed marijuana retailer cannot sell any product that contains artificially derived cannabinoids unless the product complies with OAR 845-025-1310. This rule allows products that contain artificially derived cannabinoids to be sold if the product is not intended for inhalation and the artificially-derived cannabinoid:
- Is not intoxicating or impairing; and
- Also occurs naturally in cannabis (as established by at least three peer-reviewed publications); and
- Was manufactured in a facility with an ODA food safety license; and
- Was manufactured by an OLCC-licensed processor or ODA-licensed hemp handler; and
- The manufacturer has gone through one of the ordinary regulatory processes for introducing a novel substance into foods or dietary supplements (GRAS determination or New Dietary Ingredient Notification)
Additionally, from July 1, 2022 through June 30, 2023, this rule allows products containing artificially derived CBN to continue to be sold as long as the product is not intended for inhalation and the CBN was manufactured at a facility with an ODA food safety license by an OLCC-licensed processor or an ODA-licensed hemp handler.
Beginning July 1, 2022, all products containing artificially derived cannabinoids must be labeled in accordance with OAR 845-025-7145. The product identity on the label must include the words “artificially derived cannabinoid." If the product type requires that the label include a list of ingredients, the ingredient listing must identify any artificially derived cannabinoid by its full name and use the words “artificially derived" in the description of that specific ingredient. Products containing artificially derived cannabinoids cannot use a “generic label." In order to continue to be sold on and after July 1, 2022, any product containing an artificially derived cannabinoid must use a label that complies with these requirements and has been pre-approved by OLCC.
The requirements described above apply to cannabinoid hemp items. They do not apply to products made from hemp seed or hemp fiber unless those products contain added cannabinoids. Examples of products made from hemp seed or hemp fiber include hemp clothing, hemp paper, hemp hearts, hemp seed oil, and soaps made from hemp seed oil. These products do not qualify as a “hemp item" as defined in OLCC and ODA rules. A retailer can carry and sell these products just like any non-cannabis product; they do not need to be tracked in Metrc.
Businesses that want to have their hemp items sold by OLCC-licensed marijuana retailers have two options:
- OLCC hemp handler certificate: An ODA-licensed hemp handler can apply for an OLCC Hemp Certificate which gives them a Metrc account. The handler can then enter hemp items that they manufacture into Metrc in order to transfer those items to an OLCC-licensed retailer or wholesaler. After the hemp or hemp item is entered into Metrc, it must undergo certain required compliance testing. At minimum, it needs to pass a potency test to make sure it's below the THC thresholds for hemp items that OLCC licensees are allowed to receive. Additionally, it needs to pass compliance testing for any other test that would be required for the equivalent marijuana item under OAR Chapter 333 Division 7. These requirements are essentially the same as the compliance testing requirements for hemp and hemp items under ODA's rules for hemp growers and handlers. A test performed by an out-of-state lab, or any lab not licensed by OLCC, cannot satisfy this requirement. The sampling and testing has to be performed by an OLCC-licensed ORELAP-accredited lab, and the transfer of the samples and the test results are all recorded in Metrc. Testing performed prior to entering the hemp or hemp item into Metrc cannot satisfy this requirement. Any products that are packaged for sale to consumers must also comply with OLCC packaging and labeling requirements.
- OLCC marijuana processor license: An OLCC-licensed marijuana processor with a hemp endorsement may receive hemp or hemp items via a licensed transfer in Metrc and process that material into a consumer-ready hemp item. Processors can receive hemp biomass from a hemp grower certificate holder, and hemp items (hemp concentrates, extracts, flower, and products) as well as biomass from a hemp handler certificate holder. The biomass or hemp item needs to be tested by the certificate holder after being entered into Metrc before it can be transferred to the processor's licensed premises. If the processor will be receiving biomass, they will likely need to obtain an ODA hemp handler license as well. Information about the ODA hemp handler license can be found on the ODA hemp website: https://oda.direct/hemp