The Joint Committee on Ways and Means accepted a joint report from the Oregon Liquor and Cannabis Commission (OLCC) and the Department of Agriculture on the state cannabis reference laboratory and its operating costs.
The Transportation and Economic Development Subcommittee reported that House Bill 2931 (2023) established an independent reference laboratory to review test results for cannabis potency and contaminant testing. The Department of Agriculture operates the lab and the OLCC funds it by transferring cannabis licensing revenues. The lab employs three chemists and maintains dedicated equipment. For the 2025–27 biennium, operating cost estimates rose from a previous estimate of $608,000 to $1,400,000, reflecting increases in personnel costs, equipment and supplies, and an indirect rate covering rent, utilities and administrative overhead.
Committee members asked what the lab’s role is in setting THC levels; Legislative Fiscal Office staff explained the lab confirms whether a product’s label matches testing and does not set strain potency or marketing levels—those are set by producers and market choices. Members emphasized the importance of clear public communication about the lab’s purpose: verifying product contents (potency and contaminants) and ensuring label accuracy, not promoting or setting potency standards. Some members expressed political and community concerns about a state‑operated lab in college towns and about labeling and potential addiction messaging; others stressed the lab’s role in detecting contaminants and pesticides.
The subcommittee recommended acknowledgment of the report and the committee accepted it. The transcript records that the cost estimate for the lab’s operation in 2025–27 is revised to approximately $1.4 million.
Why it matters: the state reference lab is intended to provide independent verification of cannabis test results to protect consumers and help regulators ensure labeling accuracy; the revised cost estimate affects licensing revenue transfer planning for OLCC.
The committee acknowledged the report and closed the item.