Live Oak, TX Cannabis Regulations: Dispensary Zoning (2026)

Cannabis dispensaries for recreational sales are prohibited statewide in Texas under the Controlled Substances Act in Texas Health and Safety Code Chapter 481. Live Oak does not permit recreational dispensaries and could not authorize them even if the city wished to because state law preempts local legalization. The only legal form of cannabis commerce in Texas is the Compassionate Use Program under Texas Occupations Code Chapter 169 and Health and Safety Code 487, which allows licensed providers to dispense low-THC cannabis (under 1.0 percent THC as of recent legislative updates) to patients with qualifying conditions. The state has issued a small number of Compassionate Use dispensary licenses, and as of current data none are physically located in Live Oak; patients typically receive product via licensed delivery to their residence. CBD retail stores selling hemp-derived products with less than 0.3 percent THC are legal under the 2019 Texas hemp law and may operate in commercially zoned areas of Live Oak subject to standard retail zoning rules. Smoke shops and hemp stores must comply with any applicable state registration for consumable hemp products with the Texas Department of State Health Services.