On June 22, 2025, Governor Greg Abbott issued a veto of Senate Bill 3 (SB 3), a bill that would have effectively banned hemp-derived THC products across Texas. This move protects an $8 billion industry and more than 53,000 jobs tied to hemp and CBD products. But what does this mean for businesses, consumers, and the future of THC regulation in Texas? And what happens next with the upcoming special legislative session?

Let’s break it down in plain English.

What Did SB3 Propose and Why Did Abbott Veto It?

Senate Bill 3 (SB 3) aimed to prohibit the production, sale, and possession of hemp-derived THC products, including delta-8, delta-9, and other cannabinoids commonly sold in Texas smoke shops and wellness stores.

Gov. Abbott’s veto message cited several concerns:

• Potential constitutional issues: A blanket ban could face legal challenges.

• Impact on small businesses and farmers: The ban risked criminalizing hardworking Texans who rely on hemp cultivation and retail.

• Need for regulation, not prohibition: Abbott argued it’s better to craft clear, enforceable regulations rather than an outright ban.

What Is a Special Session in Texas?

With SB 3 vetoed, Governor Abbott announced a special session starting July 21, 2025, focused on creating new hemp and THC product regulations.

👉 Here’s how a special session works in Texas:

• Called by the Governor — only the Governor can call one.

• Lasts up to 30 days — lawmakers must act within this window.

• Covers only specific topics set by the Governor, in this case: hemp-derived THC regulations.

✅ Key fact: The Governor can call multiple special sessions back-to-back if lawmakers don’t pass the necessary legislation.

What Will the Special Session Cover?

The upcoming session will likely focus on:

• Setting age restrictions (21+ for purchasing THC products)

• Banning sales near schools, parks, and child-focused spaces

• Mandating childproof packaging and clear warning labels

• Creating a licensing and taxation structure

• Giving local governments more authority over where products can be sold

This approach aims to balance public safety with the rights of businesses and consumers.

How Long Will Lawmakers Have to Act?

The special session will run from July 21, 2025 through August 20, 2025 unless lawmakers pass new rules sooner. If they can’t reach an agreement, Gov. Abbott can and likely will call additional special sessions until a regulatory framework is in place.

Why Does This Matter?

This development is critical for:

• Consumers who rely on hemp products for wellness.

• Small businesses that sell hemp and THC-derived goods.

• Farmers and processors whose livelihoods depend on this industry.

The coming weeks will shape the future of THC legality in Texas, making it essential for stakeholders to stay informed.

What’s Next for Texas Hemp and THC Regulations?

👉 Stay tuned as lawmakers meet and debate.
👉 Expect new rules on packaging, age limits, and where products can be sold.
👉 Watch for additional special sessions if the Legislature doesn’t finalize regulations within 30 days.

Final Thoughts

Gov. Abbott’s veto of SB 3 is not the end of the story, it’s the start of a crucial conversation about how Texas will regulate hemp-derived THC products. Whether you’re a business owner, consumer, or advocate, it’s important to follow these developments closely as they will directly impact the hemp industry in Texas.