Why Should Delaware Care?
Smoke shops proliferated in Wilmington in recent years just as THC-infused drinks and edibles quietly entered Delaware’s retail market without state oversight. Now, authorities say some of those shops have broken the rules around how much THC can be in a product. Still others have allegedly been illegally selling marijuana, police say.
The Wilmington City Council is scheduled to vote next week on an ordinance that would temporarily prevent new smoke shops from opening in Delaware’s largest city.
Advocates of the proposal say that such a moratorium would give local officials time to assess the health and safety impacts of smoke shops – which typically sell cigarettes, cigars, pipes, and, more recently, hemp-derived THC products.
The ordinance follows at least two arrests in Wilmington over the previous three months involving the alleged selling of marijuana within smoke shops that were not licensed cannabis retailers.
One occurred last week at the VIP Smoke Shop, located on Maryland Avenue near Browntown. In a statement, Wilmington Police said its officers arrested the retailer at the shop, where they also found a loaded 9mm handgun, and about 4,630 grams of “marijuana and marijuana products.”
Wilmington City Councilman Chris Johnson, who introduced the proposal for a smoke shop moratorium, claimed that several smoke shops across the city have increasingly been selling illegal products, including unregulated marijuana. He also alleged that some are linked to illegal firearm possession.
If passed, the moratorium on smoke shops would last for one year, or until an equity impact assessment is completed. Johnson said his goal for the assessment is to better understand how to properly license and regulate smoke shops.
According to the ordinance, the assessment will be conducted by the Department of Land Use and Planning and, “at minimum,” will identify areas in the city that are overcrowded with smoke shops and analyze their impact on public health, safety, and economic development.
Johnson’s measure, which currently has support from councilmembers Zanthia Oliver, Coby Owens and Yolanda McCoy, will go to the full City Council floor for a final vote on Feb. 19.
Currently, smoke shops operate under standard retail business licenses issued by the municipalities in which they are located. Many of the products they sell are not produced or tested in Delaware, and the stores themselves are not licensed or regulated by the state government.
“Unfortunately, our brothers and sisters and the General Assembly have not quite yet grappled with how to deal with smoke shops,” Johnson said during a City Council Public Safety commission meeting on Monday.
“So we’re taking the lead,” he said.
Concerns over unregulated THC products
Since recreational marijuana became legal in Delaware in 2023, state and local lawmakers have expressed concerns over unregulated products derived from hemp that contain tetrahydrocannabinol (THC) – the compound responsible for the high in marijuana.
THC-infused products have become popular in corner stores, gas stations and smoke shops ever since the passage of the 2018 U.S. Farm Bill, which allowed for the legal commercial and retail sale of hemp-derived substances.
Hemp is legally defined as a non-intoxicating cannabis plant that contains 0.3% or less THC by dry weight. But entrepreneurial hemp farmers have figured out ways to chemically convert the non-intoxicating compound cannabidiol (CBD) from hemp into intoxicating substances like delta-9 and delta-8 THC. The process is legal so long as the raw material hemp stays below legal thresholds at the time of harvest.
Last year, Rep. Debra Heffernan (D-Bellefonte) introduced a bill to regulate the THC-infused product market by mandating its sales occur at state-regulated alcohol retail shops. Heffernan’s bill would have also placed hemp-derived THC edibles, such as gummies, chocolates, smokable flower, and oils under the purview of Delaware’s established marijuana industry.
Heffernen ultimately pulled the measure after hearing concerns from retailers who said such regulations would break their businesses.
On Tuesday, Heffernan told Spotlight Delaware that she is currently working on another draft for a bill that will regulate THC-infused beverages. She said the bill will be introduced at some point this year.
Late last month, Delaware Marijuana Commissioner Joshua Sanderlin told the Wilmington City Council that the state’s illicit marijuana market remains widespread. He said many smoke shops sell products with illegal levels of THC, rely on questionable or fraudulent certificates of analysis, and will sometimes use packaging that appeals to younger adults and children.
“Some of these places … are opened up across the street from schools,” he said while delivering a presentation to council members.
While the Delaware Department of Alcohol and Tobacco Enforcement conducts undercover purchases at smoke shops and similar retailers, Sanderlin said his office can only issue cease-and-desist letters to stores and confiscate products that test above legal THC limits.
Beyond that, there are no criminal penalties.