Farm Bill Compliance: How Our CBD Meets Every Federal Requirement

The 2018 Farm Bill created the legal framework for hemp in the United States. Here's exactly what it requires, how we meet every standard, and what Farm Bill compliance means for the Medicare CBD program.

Related: USDA Organic Cert | Lab Results | Medicare CBD Guide

What the 2018 Farm Bill Established

The Agriculture Improvement Act of 2018 (the Farm Bill) removed hemp from the Controlled Substances Act and established it as an agricultural commodity. The law defined hemp as Cannabis sativa L. and any part of that plant with a delta-9 THC concentration of no more than 0.3% on a dry weight basis. Hemp below this threshold is federally legal. Cannabis above this threshold remains federally controlled as marijuana.

The Farm Bill also established USDA oversight of hemp production and authorized states to develop their own hemp programs under USDA approval. Kentucky's hemp program was among the first approved, and it has a long history dating back to the state's hemp pilot program years before the 2018 law.

How Our Farm Maintains Farm Bill Compliance

Every step in our operation is designed to maintain continuous Farm Bill compliance:

  • Licensed grower. We operate under a Kentucky Department of Agriculture hemp grower license, which operates under USDA's federal program authorization.
  • Pre-harvest testing. Every hemp crop is tested before harvest to confirm delta-9 THC is below 0.3%. Kentucky requires this testing within 30 days of harvest. We also test our finished products.
  • Approved disposal of non-compliant material. On the rare occasion a field tests above the legal limit (called "hot hemp"), we have a USDA-approved remediation and disposal plan. In practice, our USDA Organic growing practices and strain selection keep our crops well below the threshold.
  • USDA Organic certification. Our organic certification process reinforces and overlaps with Farm Bill compliance documentation requirements, creating a dual layer of accountability.

Farm Bill Compliance and the Medicare Program

The Medicare CBD program explicitly requires that products come from a Farm Bill compliant hemp source. This isn't a suggestion, products from non-compliant sources don't qualify for the program. Our compliance documentation package for wholesale partners includes a formal Farm Bill compliance letter confirming our status. See our compliance documentation page for details.

What's Coming in 2026 Hemp Law Changes

Federal hemp law is expected to be updated in 2026 with revisions to the legal definition and regulatory framework. CMS has indicated it will update the Medicare CBD program's definitions to align with any new federal hemp law. We're monitoring this closely. Check our program updates page for the latest.

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