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Calls to "regulate marijuana like alcohol" placed comparisons between the two intoxicants in the spotlight during state legalization efforts over a decade ago. Those calls and comparisons continue during contemporary debates over hemp. Yet no state has really heeded the recommendation when choosing how to regulate either source of THC, panelists at the recent NABCA Legal Symposium explained. That the discussion of key differences between hemp THC and alcohol policy happened at a NABCA meeting posed its own striking contrast to the persistent plea to mirror one set of policies after the other. NABCA is the trade association for the 18 "control state" agencies, which both regulate and sell alcohol. No state has yet erected such a structure for THC. Not that they haven't tried. But when the notion is floated, it's often shot down, coming with perennial critiques of the alcohol system's efficacy. Amid those questions, it's no wonder if some control state regulator-operators are attracted to taking on THC.But how well do alcohol policies actually apply to THC? The question gains additional urgency in 2026 as the clock ticks ever closer to a mid-November deadline when federal law will push almost all hemp-derived THC products back into federal marijuana prohibition. Pleas for more moderate regulation are loud as ever, often invoking alcohol policies and aligning with members of the alcohol industry.No State Copy/Pasted Alc Bev Codes to Hemp; Details Matter When tasked with standing up regulations for hemp-derived THC in the last few years, states may have used alcohol laws as a model, but only a "small handful" brought hemp into an alcohol-like system, attorney Christine Dower commented, moderating the panel at NABCA last month. Most states have been "borrowing pieces" of their alcohol and cannabis regs to build hemp rules, often giving hemp "the short end of the stick," attorney Michelle Bodian observed. Retail limits, testing requirements and packaging restrictions are all areas where hemp can be more heavily regulated than alcohol, at least, she explained. Given concerns about youth access, some states passed language barring packaging that's "attractive to children," including prohibiting the use of "mythical creatures" and specifically calling out "unicorns."None of the hemp laws are "truly one for one" with alcohol, Michelle shared, with no state copying the whole alcohol code for hemp. A few states give "regulatory authority" to the same agency and others "modeled some restrictions similar to alcohol," but there are mostly "a lot of differences," in her view. Sometimes they're not as restrictive, however. Tennessee created 3 license types akin to the 3 tiers in alcohol. But applicants are "eligible to obtain all three licenses," Michelle reminded.Describing different proposals to regulate hemp THC in Illinois, attorney in the state Jennifer Niesen pointed out key differences between one modeled after alcohol and the actual alcohol code. The effort sought to place hemp directly within the state liquor laws, using licensing and age-gating akin to alcohol. But draft text "leaves off" plenty of other provisions that appear in alcohol laws like "trade practice protections," Jennifer shared. There's "no mention of the slotting fee rules" and there are "no wholesaler protections." Franchise laws are a key sticking point for beer distributors and a dispute over a termination by a THC hemp bev producer is already the subject of a lawsuit in the state. Hemp advocates will probably need to address those things "if that bill wants to get the support of the industry" as a whole, Jennifer commented.Wine & Spirits Wholesalers, Retailers "All In," Echo Hemp Bev Advocates Other alc bev wholesalers are among the loudest industry proponents for hemp bevs. Vocal support for hemp-derived THC got lots of air time at WSWA's Access Live convention in Las Vegas earlier this year. Speakers from major liquor store chains like Total Wine & More, Spec's and ABC Fine Wines & Spirits pointed to the exceptional growth and high demand for hemp bevs among their customers. With such demand, prohibition isn't a sound option, the folks at WSWA reason. So "if it's going to be available, it should be properly regulated," and "if products are intoxicating, they should be regulated like beverage alcohol," WSWA president and CEO Francis Creighton summarized.It was music to the ears of hemp advocates in attendance, many of which see aligning with members of the alcohol industry as the clearest path toward regulation and a permanent place in the market. "The only way we see ourselves moving forward is by working with alcohol," chair of the Coalition for Adult Beverage Alternatives (CABA), Diana Eberlein commented during the panel at NABCA's legal meeting last month. "Regulate us. Tax us," she pleaded, joking that hers is the "only group on the Hill" that's actively asking for taxes."No one would argue that it's a perfect system," Diana said of structures governing the alcohol industry. But it works and, importantly for her members, it already exists; using a model is always easier than building something from scratch. She also echoed a familiar theme from speakers at WSWA as well as the president/CEO of the Hemp Beverage Alliance (HBA), Chris Lackner, speaking at the Center for Alcohol Policy (CAP) meeting last year: clearer regulations, including a 3-tier system, can help "clean up the marketplace."More Enforcement Needed Make no mistake: the market needs some cleaning. These advocates and attorneys all recognize that there are plenty of bad actors in hemp right now, taking advantage of consumer confusion and regulatory haziness. But Michelle takes issue with those who argue that hemp is "the wild west" with "no regulations." There are hemp regs on the books in 32 states, she reminded at NABCA last month, and she knows them better than most. The problem, in her view, is a "huge lack of enforcement."That can stem from funding gaps. Just 5 states tax hemp bevs, while others get merely minimal licensing fees, Michelle pointed out. But Minnesota is the top state for the category and it has "robust taxation." It "collected $32 million" last year, she noted. It's also "very active on enforcement." To her, the industry needs more "state capitols asking for taxation so there is enforcement happening and a level playing field."State Variation Likely for Years to Come; But What of Fed Regs? The willingness of certain industry members to self-regulate in the absence of government action discussed by Diana at NABCA also echoed comments brought up at CAP. Another common theme: frustrations with widely varying state approaches. The "heterogeneity" of state laws is certainly difficult for small businesses working across state lines, Dr Gillian Schauer, exec director of the Cannabis Regulators Assn, CANNRA, acknowledged at CAP last year. But we're likely to "continue to see states kind of deviate on" various particulars and definitions for five or ten more years, she thinks.Given the current situation with marijuana, how different would it be if most hemp reverted to being a federally controlled substance but treated as legal in a bunch of states? That's set to happen if Congress doesn't take additional action by November. Could states "just push through and continue to" go their own way, Diana gets asked a lot. Maybe, from a policy perspective. But for beverages, the "logistics" get "a lot more complicated," she explained.Once hemp THC is a controlled substance again, it "can't be moved across state lines," Diana explained, severely hindering current market realities. Retailers or wholesalers may be more wary to "have an illegal product" in their stores or warehouses, especially wholesalers that have a "federal basic permit," Jennifer pointed out. So they may want to be "whittling down [their] product before" the November deadline. Hemp advocates and industry members desperately seek to avoid that situation. And plenty of bills have been introduced to address it, including a straight repeal of language passed last November, a two-year extension of the timeline and far more robust regulatory proposals, with more "in the works," Michelle explained.Will Lawmakers "Think of the Children"? What Will a "One Molecule Solution" Take? When speaking to policy makers who tend to hold skeptical stances about hemp, "certainly 'think of the children' is a common theme," Michelle reflected. "Protecting the children" and preventing "access to minors" is a paramount concern, Diana echoed. Her members in the hemp beverage industry are on the same page, she reminded, seeking to "legitimize" the industry with restrictions for "children" and barring "synthetics" and "high dosage" products. Yet "what passed through appropriations" last fall didn't address any of that, Michelle reminded. So lawmakers seeking to fix those gaps won't necessarily succeed if they just let the November deadline pass without additional action, in her view.But mere inertia isn't the only thing generating resistance to further action. Some lawmakers in DC "don't care if it's from hemp or marijuana," they simply "don't want THC," Diana explained. She argued that "they can wrap their minds around beverage," thinking it's possible to get them on board because of alcohol parallels. It's still a high bar, requiring "some education" to help them understand how a consistent, safe supply is achieved.And it bears repeating: it's all THC. As CANNRA's Gillian commented at CAP last year: it's the "same molecule" whether it comes from a cannabis plant that federal definitions deem to be hemp or marijuana. Many in the industry ultimately seek a "one molecule solution," as Diana commented during a member webinar late last year. But the molecule in question here poses unique policy challenges. Stay tuned.Cheers,

Facing Down Federal Deadline on Hemp, Alcohol Policy Still Much on Advocate Minds

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