HB 294 — CANNABIS PRODUCT PACKAGING REGULATIONS

HOUSE COMMERCE AND ECONOMIC DEVELOPMENT COMMITTEE SUBSTITUTE FOR HOUSE BILL 294 57TH LEGISLATURELEGISLATURE- -STATEOFNEWMEXICO-STATE SECONDOF SESSIONNEW ,MEXICO - SECOND SESSION, 2026 INTRODUCED4 BY6 Doreen8 Y.10 AN ACT RELATING TO CANNABIS PRODUCTS;

Gallegos and Elizabeth "Liz" Stefanics and Joshua N.

Hernandez and Janelle Anyanonu and Art De La Cruz 7 9 AN ACT RELATING TO CANNABIS PRODUCTS;

DEFINITIONS.--As used in the Cannabis .233503.2.233845.1 HCEDC/HB 294 Regulation Act:

any other compound, manufacture, salt, w l n d 18 derivative, mixture or preparation of the mature stalks, fiber, = = 19 a l oil or cake;

or the sterilized seed of the plant that is a l i a e r 20 incapable of germination;

"cannabis consumption area" means an area u [ of a licensed premises where cannabis products may be served .233503.2.233845.1 - 2 - HCEDC/HB 294 and consumed;

e t 17 (1) means a product obtained by separating w l n d 18 resins, tetrahydrocannabinols or other substances from cannabis = = 19 a l by extraction methods approved by the division;

and a l i a e r 20 (2) does not include the weight of any other a t m m 21 ingredient combined with cannabis extract to prepare topical or d r e 22 oral administrations, food, drink or another product;

"cannabis manufacturer" means a person .233503.2.233845.1 - 3 - HCEDC/HB 294 that:

"cannabis research laboratory" means a = = 19 a l facility that produces or possesses cannabis products and all a l i a e r 20 parts of the plant genus Cannabis for the purpose of studying a t m m 21 cannabis cultivation, characteristics or uses;

"cannabis testing laboratory" means a u [ facility that samples, collects and tests cannabis products and .233503.2.233845.1 - 4 - HCEDC/HB 294 transports cannabis products for the purpose of testing;

"consumer" means a person twenty-one years e t 17 of age or older who legally purchases, acquires, owns, w l n d 18 possesses or uses a commercial cannabis product not for resale = = 19 a l or a person who holds a medical cannabis program registry a l i a e r 20 identification card issued by the department of health or is a a t m m 21 reciprocal participant;

.233503.2.233845.1 - 5 - HCEDC/HB 294 (1) means a person that controls a financial or voting interest of ten percent or more of, or an officer or board member of, a cannabis establishment;

"dry weight basis", when used in the context of regulation of commercial cannabis activity, means a e t 17 process by which delta-9-tetrahydrocannabinol concentration is w l n d 18 measured relative to the aggregate weight of all parts of the = = 19 a l plant genus Cannabis, whether growing or not, including the a l i a e r 20 leaves of the plant, the flowers and buds of the plant, the a t m m 21 seeds of the plant, the resin of the plant and the stalks of d r e 22 the plant at the point of harvest by a licensee and with no c e s k 23 moisture added to the harvested plant;

"facility" means a building, space or u [ grounds licensed for the production, storage, testing, .233503.2.233845.1 - 6 - HCEDC/HB 294 manufacturing, distribution, sale or consumption of cannabis products;

provided that "illegal cannabis product" does not w l n d 18 include homegrown or homemade cannabis products that comply = = 19 a l with the provisions of the Cannabis Regulation Act;

a l i a e r 20 [AA.] CC.

"integrated cannabis microbusiness" means .233503.2.233845.1 - 7 - HCEDC/HB 294 a person that is licensed to conduct one or more of the following:

= = 19 a l (1) all enclosed public and private areas at a l i a e r 20 the location that are used in the business and includes a t m m 21 cannabis consumption areas, offices, kitchens, restrooms and d r e 22 storerooms;

u [ (3) all areas of a standalone cannabis .233503.2.233845.1 - 8 - HCEDC/HB 294 consumption area, including retail and other areas, whether in enclosed or outside spaces, and including private or members- only clubs where cannabis products are available for sale or consumption;

"medical cannabis" means cannabis w l n d 18 products used by a qualified patient or reciprocal participant = = 19 a l in accordance with the Lynn and Erin Compassionate Use Act;

a l i a e r 20 [HH.] JJ.

"medical cannabis registry" means the e a n b 24 system by which the department of health approves or denies u [ applications and issues and renews registry identification .233503.2.233845.1 - 9 - HCEDC/HB 294 cards for qualified patients and primary caregivers;

"reciprocal participant" means a person who is not a resident of New Mexico and who holds proof of enrollment by a governmental regulatory authority to participate in the medical cannabis program of another state of the United States, the District of Columbia or a territory or e t 17 commonwealth of the United States in which the person resides w l n d 18 or a person who holds proof of enrollment by a governmental = = 19 a l regulatory authority of a New Mexico Indian nation, tribe or a l i a e r 20 pueblo to participate in its medical cannabis program;

"residence" or "household" means a d r e 22 housing unit and includes any place in or around the housing c e s k 23 unit that is not a public space and at which an occupant of the e a n b 24 housing unit produces, manufactures, keeps or stores homegrown u [ or homemade cannabis products or stores legally purchased .233503.2.233845.1 - 10 - HCEDC/HB 294 cannabis;

CANNABIS PRODUCTS--PACKAGING AND LABELING-- = = 19 a l DIVISION RULEMAKING.-- a l i a e r 20 A.

The division shall promulgate rules consistent u [ with industry standards for cannabis products that establish .233503.2.233845.1 - 11 - HCEDC/HB 294 [labeling and] packaging and labeling requirements [including that].

and (c) division-approved licensee logos that are not designed in a manner that is reasonably appealing e t 17 to minors;

we lt n17 d 18 (3) fonts used on cannabis packaging shall be =w =l 19n ad l18 plain, sans-serif and not stylized in a manner that is i= a= e19 r 20 reasonably appealing to minors;

a tl mi ma 21e r 20 (4) cannabis product packaging shall not da rt em 22m 21 include:

cd r e s22 k 23 (a) cartoons;

c e as nk b23 24 (b) imagery, color schemes or branding ue [a n b 24 elements that mimic or resemble non-cannabis products commonly .233503.2u -[ 12 - marketed to minors;

.233845.1 - 12 - HCEDC/HB 294 (c) holographic, metallic, neon, fluorescent or other reflective or visually dynamic effects;

e t 17 (1) not be designed to be appealing to a we lt n17 d 18 [child] minor and shall not mimic the brand, design, name, logo =w =l 19n ad l18 or colorway of a non-cannabis consumer product marketed to i= a= e19 r 20 [children] minors;

a tl mi ma 21e r 20 [(3) packages and labels shall] (2) not use da rt em 22m 21 cartoons or symbols or images, including images of celebrities cd r e s22 k 23 or celebrity likenesses, that are commonly used to market to c e as nk b23 24 [children;

ue [a n b 24 (4) packages containing edible cannabis productsu .233503.2[ -products 13 - shall be opaque] minors;

and .233845.1 - 13 - HCEDC/HB 294 [(5)] (3) labels shall include:

(e) for cannabis products containing non-cannabis ingredients, a list of all ingredients and a disclosure of nutritional information for the product or e t 17 cannabis extract disclosed in the same manner required under we lt n17 d 18 federal law for nutritional labeling for food for human =w =l 19n ad l18 consumption;

i= a= e19 r 20 (f) a warning if nuts or other known a tl mi ma 21e r 20 allergens are used in the item or in its manufacture;