Bill Proposing Marijuana, Psilocybin Sales Restrictions Pulled by Sponsors

A bill proposing significant restrictions on retail marijuana sales and upcoming psilocybin healing centers was pulled by its sponsors, who say the measure didn't have enough support to pass its first committee hearing.

Senate Bill 25-076 aimed to ban dispensary customers under the age of 26 from buying certain products, while adding more labeling requirements and mandating that "inhaled marijuana" be limited by weight. The measure also proposed prohibiting psilocybin extracts and edibles from Colorado's regulated psychedelic spaces, which are currently still in the application phase.

The legislation was pushed by groups that lobby for youth protection, often against legal cannabis, and was vocally opposed by the cannabis industry, psilocybin advocates and users of both substances, which are legal for medical and personal use in Colorado — although psilocybin isn't allowed to be sold at the retail level.

After its first hearing was postponed, sponsors of SB 076 asked the Senate Business, Labor & Technology Committee to kill the measure on Tuesday, March 11. According to state senators Byron Pelton and Julie Amabile, they wanted to spare the committee and public from a long testimony period for a doomed bill.

Pelton, a Republican, said that today's commercial marijuana "has evolved and has been manipulated," leading to unsafe product potency and effects on users.

"The more potent the product, the more risks that an individual can experience negative mental and physical health impact, such as cannabis hyperemesis syndrome (CHS), anxiety, depression, schizophrenia and psychosis," he told the committee.

Pelton then cited famous do-your-own-researcher Joe Rogan for further proof:

"I know that he's not a doctor, or anything, but he's a libertarian; a lot of people listen to him. I was listening to a Joe Rogan podcast the other day, and he even said, 'I don't think marijuana is 100 percent safe.'"

Amabile, a Democrat, has spoken of her son's struggles with mental health, schizoaffective disorder and marijuana use numerous times. During the hearing, she said that the marijuana industry has "run amok" in Colorado and that legalizing commercial cannabis "isn't good for our society."

Data from the Colorado Department of Public Health & Environment shows a drop in youth marijuana use from 2021 to 2023, as well as an overall decline since recreational pot sales began in Colorado. However, groups pushing for the bill to pass, such as Blue Rising Colorado and One Chance to Grow Up, say that highly potent extracted THC products are a concern among parents and educators.

The bill proposed a set of color strips for product labels to correspond with THC potency percentages, with anything at more than 50 percent stuck with a red sticker. The bill also proposed banning customers under 26 from purchasing any product with more than 10 percent THC or inhaled products containing added flavor ingredients, such as flavored vapes.

In addition, according to the bill summary, SB 076 would have limited the standard serving size of inhalable marijuana, such as flower, hash and pre-rolled joints, to ten milligrams while also limiting a total package to a half-gram in weight.

Proponents of the bill said most of these measures were pursued to protect young adults, pointing to research that shows the prefrontal cortex of human brains doesn't fully develop until the age of 25.

The state's social equity marijuana program, intended to spur cannabis ownership from people of diverse backgrounds, would have no longer been limited to marijuana businesses if the proposed bill had passed, despite that program being completely funded by industry tax revenue.

On top of limiting marijuana dispensary purchases, SB 076 also sought to limit psychedelic products at newly licensed psilocybin healing centers. If the measure had passed, psychedelic gummies, chocolates or other candies and confections would have been barred from licensed facilities, and so would any psychedelic product with added flavors or administered by non-oral means.

According to a fiscal note attached to the bill, the proposed rules would have lost the state over $14 million per year in tax revenue over the first two years.

Stuck in a three-year recession with no signs of ending, Colorado's marijuana industry couldn't afford for the bill to pass, says marijuana business executive Chuck Smith.

"We are pleased to see SB25-076 has been postponed indefinitely, and we are grateful to the many policymakers, business leaders and community members who spoke out against its extreme provisions. While well-intentioned, the bill threatened to undermine Colorado’s regulated cannabis industry and the critical role it plays in protecting public safety and supporting our state’s economy," says Smith.

The president of marijuana trade group Colorado Leads, Smith says that the cannabis business community is "committed" to working with lawmakers, state regulators and proponents of SB 076 to develop policies that "protect consumers and youth, support businesses, and advance a sustainable and responsible cannabis market."