Ohio Bill Allows CUs to Serve Businesses That Cultivate, Sell Hemp Products

Ohio Gov. Mike DeWine signed a bill Tuesday that will allow credit unions and other financial institutions to lawfully serve businesses that cultivate hemp and sell cannabidiol products containing the federal legal limit of no more than 0.3% of THC, the chemical that triggers marijuana’s intoxicating effects.

Marijuana products with THC levels of more than 0.3% are illegal, according the U.S. Food and Drug Administration.

“While the Ohio Credit Union League takes no stance on the legality of marijuana, we do stand by our credit unions and their ability to legally serve all of their members and their financial needs,” Ohio League President/CEO Paul Mercer said. “Today’s [Tuesday] signing of SB57 allows Ohio businesses to do that effectively, while also bringing our state into alignment with federal legislation.”

The bill directs the Ohio Department of Agriculture to draft rules to regulate the licensing and processing of hemp consistent with the 2018 federal Farm Bill, which removed hemp from the controlled substances list, Gov. DeWine’s office said.

Last year, the federal government removed hemp and cannabinoid products that contain no more than 0.3% of THC from the list of federally-controlled substances, opening the door for states to implement their own programs.

The Ohio league, which represents the interests of the Buckeye state’s 262 credit unions, supported the new state legislation to bring Ohio law into congruence with federal standards, and to help hemp and CBD businesses access financial services through their local credit unions.

The bill passed with an emergency clause, which means credit unions can begin serving hemp and CBD businesses immediately, according to the Ohio league.

Additionally, the Ohio Department of Agriculture will ease any compliance concerns by ensuring the hemp and CBD industry is properly licensed and meets required potency thresholds.