Jonathan S. Miller has been a central figure in Kentucky’s hemp industry for more than a decade. A Lexington native and Harvard-educated attorney, Miller served two terms as Kentucky State Treasurer and later as Secretary for the Kentucky Finance and Administration Cabinet. Today, he is Partner-in-Charge of the Washington, D.C., office of Frost Brown Todd and General Counsel to the U.S. Hemp Roundtable, the industry’s national advocacy organization.
Miller was instrumental in the legalization of hemp in Kentucky and at the federal level, and he continues to lead efforts to protect and expand the market for hemp products nationwide. In 2023, Kentucky's hemp industry generated approximately $43.5 million in gross product sales, underscoring its significant role in the state's agricultural economy.
Business Lexington spoke with Miller about the state of the hemp industry in Kentucky, how it’s grown, and the challenges that lie ahead.
How did you first get involved in hemp?
When I left politics, I started a website called the Recovering Politician. I started to write a lot, and one of the articles I wrote argued for legalizing marijuana. Jamie Comer, then Kentucky’s Agriculture Commissioner, saw it and reached out — he wanted to legalize hemp in Kentucky and asked me to help. At the time, I didn’t know the difference between hemp and marijuana. I quickly got educated, and began working with Congressman Comer and ultimately Senator Mitch McConnell. Now, much of my career is built around my hemp law practice and our U.S. Hemp Roundtable collective.
What’s the difference between state and federal laws on hemp and marijuana?
Hemp was legalized in Kentucky in 2013. In 2014, Senator McConnell led an effort through the Farm Bill to legalize hemp pilot programs nationwide. Then the 2018 Farm Bill made hemp permanently legal.
The difference between hemp and marijuana comes down to THC content — hemp must have less than 0.3% Delta-9 THC on a dry weight basis. Marijuana remains illegal at the federal level, even though medical marijuana is now legal in Kentucky. Because many banks are federally chartered, there are issues about banking when it comes to medical marijuana. There are efforts in Congress to try to fix that, but so far, they've been unsuccessful.
Kentucky recently passed Senate Bill 202. What does it do?
That bill, which is now law, regulates hemp-derived beverages. It requires products to be sold only to adults, follow good manufacturing practices, and limit THC content to five milligrams or less per serving. It also serves as a model for national regulations.
At the federal level, some in Congress have tried to ban hemp products outright. Senator Rand Paul has helped block those efforts. As an industry, we favor strong, clear regulations over prohibition.
What are some other issues that Kentucky-based hemp businesses are navigating right now?
Compliance is a big one — making sure products are labeled accurately, manufactured safely, and sold only to adults. There are a number of safeguards in place to ensure all of those aspects. Testing is another. If a hemp crop tests above 0.3% THC, even slightly, it must be destroyed. The Department of Agriculture works closely with farmers to make sure that kind of activity doesn't have to happen. Senator Paul has also introduced legislation to raise that threshold to 1% in the field, which would give farmers more flexibility and reduce losses.
What’s on your legislative watch list for the next Congressional session?
There are efforts in Congress to ban hemp products that contain any amount of THC. That would wipe out 95% or more of all hemp products, because even nonintoxicating CBD products have a small amount of THC in them. We’ve successfully fought off these measures so far, including working with Senator Paul on a key effort in the Senate just last month, but we expect the debate to return during the 2025 or 2026 Farm Bill discussions.
Has this uncertainty affected investment in the industry?
It's a challenge to attract capital in a market that is under fire, especially when the federal government has yet to issue clear regulations for hemp products. We’ve been pushing the FDA to act for years, but progress has been slow. Even so, demand remains strong. The U.S. hemp marketplace is worth about $28 billion, and the beverage category in particular has grown enormously over the past two years.
Hemp is a bipartisan issue — it unites people across party lines and ideologies. It offers opportunities for small businesses, supports farmers, and fuels an innovative, fast-growing industry. That’s why we’re committed to keeping it legal and helping it thrive.
