Florida Senate - 2019 SENATOR AMENDMENT Bill No. CS for CS for SB 1020 Ì925196FÎ925196 LEGISLATIVE ACTION Senate . House . . . . . ————————————————————————————————————————————————————————————————— ————————————————————————————————————————————————————————————————— Senator Bradley moved the following: 1 Senate Amendment (with title amendment) 2 3 Delete everything after the enacting clause 4 and insert: 5 Section 1. Section 581.217, Florida Statutes, is created to 6 read: 7 581.217 State hemp program.— 8 (1) CREATION AND PURPOSE.—The state hemp program is created 9 within the department to promote the cultivation of hemp in this 10 state. 11 (2) LEGISLATIVE FINDINGS.—The Legislature finds that: 12 (a) Hemp is an agricultural commodity. 13 (b) Hemp-derived cannabinoids, including, but not limited 14 to, cannabidiol, are not controlled substances or adulterants. 15 (c) Products containing one or more hemp-derived 16 cannabinoids, including, but not limited to, cannabidiol, 17 intended for ingestion are foods and not controlled substances 18 or adulterated products. 19 (d) The addition of hemp derivatives, including, but not 20 limited to, hemp-derived cannabidiol, to cosmetics, personal 21 care products, and products intended for human or animal 22 consumption is not an adulteration of such products. 23 (3) DEFINITIONS.—As used in this section, the term: 24 (a) “Cannabidiol” means the compound by the same name 25 derived from the hemp variety of the Cannabis sativa L. plant. 26 (b) “Contaminants unsafe for human consumption” includes, 27 but is not limited to, any microbe, fungus, yeast, mildew, 28 herbicide, pesticide, fungicide, residual solvent, metal, or 29 other contaminant found in any amount that exceeds any of the 30 accepted limitations as determined by rules adopted by the 31 Department of Health in accordance with s. 381.986, or other 32 limitation pursuant to the laws of this state, whichever amount 33 is less. 34 (c) “Cultivate” means planting, watering, growing, and 35 harvesting a hemp plant or a hemp crop. The term does not 36 include the transport of a hemp plant or a hemp crop. 37 (d) “Federally defined THC level for hemp” means a total 38 delta-9-tetrahydrocannabinol concentration that does not exceed 39 0.3 percent on a dry-weight basis, or the tetrahydrocannabinol 40 concentration for hemp defined in 7 U.S.C. s. 5940, whichever is 41 greater. 42 (e) “Hemp” means the plant Cannabis sativa L. and any part 43 of that plant, including seeds, derivatives, extracts, 44 cannabinoids, isomers, acids, salts, and salts of isomers 45 thereof, whether growing or not, which has the federally defined 46 THC level for hemp. The term includes industrial hemp as defined 47 in s. 1004.4473. 48 (f) “Hemp extract” means a no-THC or low-THC substance or 49 compound intended for ingestion, containing more than trace 50 amounts of cannabidiol, which: 51 1. Is derived from or contains any part of the plant 52 Cannabis sativa L. which meets the definition of hemp under this 53 section; 54 2. Contains a total delta-9-tetrahydrocannabinol 55 concentration that does not exceed 0.3 percent on a dry-weight 56 basis; and 57 3. Does not contain other controlled substances. 58 (g) “Hemp products” means all products with the federally 59 defined THC level for hemp derived from or made by processing 60 hemp plants or plant parts that are prepared in a form available 61 for retail sale, including, but not limited to, cosmetics, 62 personal care products, food intended for animal or human 63 consumption, cloth, cordage, fiber, fuel, paint, paper, 64 particleboard, plastics, and any product containing one or more 65 hemp-derived cannabinoids, such as cannabidiol. 66 (h) “Independent testing laboratory” means a laboratory 67 that: 68 1. Does not have a direct or indirect interest in the 69 entity whose product is being tested; 70 2. Does not have a direct or indirect interest in a 71 facility that cultivates, processes, distributes, dispenses, or 72 sells hemp or hemp extract in this state or in another 73 jurisdiction or cultivates, processes, distributes, dispenses, 74 or sells marijuana, as defined in s. 381.986; and 75 3. Is accredited by a third-party accrediting body as a 76 competent testing laboratory pursuant to ISO/IEC 17025 of the 77 International Organization for Standardization. 78 (i) “Licensee” means all owners, officers, stakeholders, 79 and directors of such legal or business entity that have a 80 direct or indirect interest in a business seeking to cultivate 81 hemp. 82 (4) LICENSURE.—A licensee: 83 (a) Must submit the results of a Level 1 background 84 screening to the department with every initial and renewal 85 licensure. The department must deny the issuance of a hemp 86 license to an applicant, or refuse to renew the hemp license of 87 a licensee, if the department finds that the applicant or 88 licensee: 89 1. Has falsified any information contained in an 90 application for a hemp license or hemp license renewal; or 91 2. Has been convicted of a felony relating to a controlled 92 substance under state or federal law. A hemp license may not be 93 issued for 10 years after the date of the conviction. 94 (b) May not cultivate hemp in this state without being 95 annually licensed by the department. 96 (c) Must provide to the department the legal land 97 description and global positioning coordinates of the area where 98 hemp will be cultivated. 99 (d) Must provide to the department prior written consent 100 allowing representatives of the department, the state police, 101 and other state and local law enforcement agencies to enter onto 102 all premises, during regular business hours, where hemp is 103 cultivated for the purpose of conducting physical inspections 104 and ensuring compliance with the requirements of this section 105 and department rules. 106 (5) INDUSTRIAL HEMP PILOT PROJECTS.—Notwithstanding s. 107 1004.4473, an existing industrial hemp project approved by a 108 university under s. 1004.4473 is eligible to cultivate hemp and 109 may obtain a license from the department to participate in the 110 state hemp program. 111 (6) DISTRIBUTION AND RETAIL SALE OF HEMP EXTRACT.— 112 (a) Hemp extract may only be distributed and sold in this 113 state if the product: 114 1. Has a certificate of analysis prepared by an independent 115 testing laboratory which states: 116 a. The hemp extract is the product of a batch tested by the 117 independent testing laboratory; 118 b. The batch contained a total delta-9-tetrahydrocannabinol 119 concentration that did not exceed 0.3 percent on a dry-weight 120 basis pursuant to the testing of a random sample of the batch; 121 and 122 c. The batch does not contain contaminants unsafe for human 123 consumption. 124 2. Is distributed or sold in packaging that includes: 125 a. A scannable barcode or quick response code linked to the 126 certificate of analysis of the hemp extract by an independent 127 testing laboratory; 128 b. The batch number; 129 c. The Internet address of a website where batch 130 information may be obtained; 131 d. The expiration date; 132 e. The number of milligrams of hemp extract; and 133 f. A statement that the product contains a total delta-9 134 tetrahydrocannabinol concentration that does not exceed 0.3 135 percent on a dry-weight basis. 136 (b) A violation of this subsection is punishable by a civil 137 fine of $500 and the forfeiture of any products found to be in 138 violation. 139 (c) Hemp, hemp products, and hemp extract may be legally 140 transported across state lines and exported to foreign nations 141 consistent with federal laws, laws of other states, and the laws 142 of respective foreign nations. 143 (7) HEMP SEED.—Hemp seed and hemp seed dealers are subject 144 to chapter 578 and the rules adopted thereto. Licensees shall 145 only use seeds certified by one of the following: 146 (a) A certifying agency as defined in s. 578.011(8). 147 (b) A university conducting an industrial hemp pilot 148 project pursuant to s. 1004.4473. 149 (c) A member of the Association of Official Seed Certifying 150 Agencies. 151 (8) RULES.—Within 90 days after the effective date of this 152 act, the department shall, in consultation with the Department 153 of Health and the Department of Business and Professional 154 Regulation, adopt rules to administer the state hemp program. 155 The rules must ensure that the application process and licensure 156 requirements are reasonable and attainable for small farmers, 157 small businesses, and private individuals. Rules adopted 158 pursuant to this section are not subject to s. 120.541(3). The 159 rules must provide for: 160 (a) Sampling and testing measures to ensure that hemp 161 cultivated under this section do not exceed the federally 162 defined THC level for hemp; 163 (b) Due process and an appeals process; 164 (c) Enforcement of this section and department rules; 165 (d) A civil penalty schedule for violations; 166 (e) A schedule of nonrefundable fees for administering the 167 program; 168 (f) Inclusion of the state hemp program in the Florida 169 Agricultural Promotional Campaign and for promotion and labeling 170 of hemp, hemp products, and hemp extract as “Fresh From Florida” 171 or any other agricultural campaign for the promotion of 172 agriculture products; 173 (g) The regulation of the transportation of hemp, hemp 174 products, and hemp extract in this state; and 175 (h) The implementation of the department plan and this 176 section. 177 (9) DEPARTMENT PLAN.— 178 (a) Within 90 days after the effective date of this act, 179 the Commissioner of Agriculture, in consultation with and with 180 final approval from the Administration Commission as defined in 181 s. 14.202, shall submit to the United States Secretary of 182 Agriculture the department plan for regulating hemp production. 183 The plan must include: 184 1. A procedure for maintaining relevant information 185 regarding the locations in the state where hemp is cultivated 186 for not less than 3 calendar years; 187 2. A procedure that uses post-decarboxylation or other 188 similarly reliable methods for testing delta-9 189 tetrahydrocannabinol concentration levels of hemp cultivated in 190 this state; 191 3. A procedure for the effective disposal of hemp, hemp 192 products, and hemp extract cultivated in violation of this 193 section and department rules; 194 4. Notwithstanding s. 120.569-120.595, a procedure for the 195 enforcement of violations as outlined in 7 U.S.C. s. 1639o to s. 196 1639s; 197 5. A procedure for conducting annual inspections of at 198 least a random sample of licensees to verify that hemp is not 199 being produced in violation of this section; 200 6. A procedure for submitting the information described in 201 7 U.S.C. s. 1639q(d)(2) to the United States Secretary of 202 Agriculture within 30 days after the date on which the 203 information is received; and 204 7. A certification that this state has the resources and 205 personnel to carry out the practices and procedures described in 206 this subsection. 207 (b) If the department plan for regulating hemp production 208 is not approved by the United States Secretary of Agriculture, 209 the Commissioner of Agriculture, in consultation with and with 210 final approval from the Administration Commission, shall submit 211 an amended plan. 212 (10) INDUSTRIAL HEMP ADVISORY BOARD.—An Industrial Hemp 213 Advisory Board is created to provide advice and expertise as 214 needed by a university or the department with respect to plans, 215 policies, and procedures applicable to the administration of 216 their respective industrial hemp pilot programs. 217 (a) The Industrial Hemp Advisory Board shall be adjunct to 218 the department for administrative purposes. 219 (b) The Industrial Hemp Advisory Board shall be composed of 220 all of the following members: 221 1. Two members appointed by the Commissioner of Agriculture 222 and Consumer Services. 223 2. Two members appointed by the Governor. 224 3. Two members appointed by the President of the Senate. 225 4. Two members appointed by the Speaker of the House of 226 Representatives. 227 5. The dean for research of the Institute of Food and 228 Agricultural Sciences of the University of Florida or his or her 229 designee. 230 6. The president of Florida Agricultural and Mechanical 231 University or his or her designee. 232 7. The executive director of the Department of Law 233 Enforcement or his or her designee. 234 8. The president of the Florida Sheriffs Association or his 235 or her designee. 236 9. The president of the Florida Police Chiefs Association 237 or his or her designee. 238 10. The president of the Florida Farm Bureau Federation or 239 his or her designee. 240 11. The president of the Florida Fruit and Vegetable 241 Association or his or her designee. 242 (c) The board shall elect by a two-thirds vote of the 243 members one member to serve as chair of the board. 244 (d) A majority of the members of the board shall constitute 245 a quorum. 246 (e) The board shall meet at least once annually at the call 247 of the chair. 248 (f) Board members may not receive compensation but may be 249 reimbursed for any actual travel expense incurred while 250 attending meetings of the board. 251 Section 2. Subsection (3) of section 893.02, Florida 252 Statutes, is amended to read: 253 893.02 Definitions.—The following words and phrases as used 254 in this chapter shall have the following meanings, unless the 255 context otherwise requires: 256 (3) “Cannabis” means all parts of any plant of the genus 257 Cannabis, whether growing or not; the seeds thereof; the resin 258 extracted from any part of the plant; and every compound, 259 manufacture, salt, derivative, mixture, or preparation of the 260 plant or its seeds or resin. The term does not include 261 “marijuana,” as defined in s. 381.986, if manufactured, 262 possessed, sold, purchased, delivered, distributed, or 263 dispensed, in conformance with s. 381.986; “hemp,” as defined in 264 s. 581.217(3); or “industrial hemp,” as defined in s. 265 1004.4473(1). 266 Section 3. Paragraph (a) of subsection (2) of section 267 1004.4473, Florida Statutes, is amended, and subsection (8) is 268 added to that section, to read: 269 1004.4473 Industrial hemp pilot projects.— 270 (2)(a) The department shall authorize and oversee the 271 development of industrial hemp pilot projects for the Institute 272 of Food and Agricultural Sciences at the University of Florida, 273 Florida Agricultural and Mechanical University,
andany land 274 grant university in the state that has a college of agriculture, 275 and any Florida College System institution or state university 276 that has an established agriculture, pharmacy, or engineering 277 program. The department shall adopt rules as required under the 278 Agricultural Act of 2014, 7 U.S.C. s. 5940, to implement this 279 section, including rules for the certification and registration 280 of sites used for growth or cultivation. The purpose of the 281 pilot projects is to cultivate, process, test, research, create, 282 and market safe and effective commercial applications for 283 industrial hemp in the agricultural sector in this state. 284 (8) Notwithstanding this section, a university may choose 285 to implement an industrial hemp pilot project pursuant to s. 286 581.217. 287 Section 4. The Department of Agriculture and Consumer 288 Services shall include, at a minimum, all of the following 289 information for administering the state hemp program as created 290 pursuant to s. 581.217, Florida Statutes, in the department’s 291 legislative budget request for the 2020-2021 fiscal year: 292 (1) An estimate of the number of licensees for the first 293 year. 294 (2) An outline of costs associated with operation of the 295 program. 296 (3) A recommended fee schedule. 297 Section 5. The Division of Law Revision is directed to 298 replace the phrase “the effective date of this act” wherever it 299 occurs in this act with the date this act becomes a law. 300 Section 6. This act shall take effect upon becoming a law. 301 302 ================= T I T L E A M E N D M E N T ================ 303 And the title is amended as follows: 304 Delete everything before the enacting clause 305 and insert: 306 A bill to be entitled 307 An act relating to the state hemp program; creating s. 308 581.217, F.S.; creating the state hemp program within 309 the Department of Agriculture and Consumer Services; 310 providing the purpose of the program; providing 311 legislative findings; defining terms; providing 312 requirements for program licensure; requiring the 313 department to deny a license or renewal to certain 314 applicants; authorizing certain industrial hemp pilot 315 projects to participate in the program; providing for 316 the distribution and retail sale of hemp extract; 317 providing civil penalties; providing that hemp seed 318 and hemp seed dealers are subject to the Florida Seed 319 Law; providing hemp seed certification requirements; 320 requiring the department, in consultation with the 321 Department of Health and the Department of Business 322 and Professional Regulation, to adopt specified rules 323 within a specified timeframe; directing the 324 Commissioner of Agriculture, in consultation with and 325 with final approval from the Administration 326 Commission, to submit a specified plan within a 327 specified timeframe to the United States Secretary of 328 Agriculture; creating an Industrial Hemp Advisory 329 Board for a specified purpose; providing that the 330 board is adjunct to the department for administrative 331 purposes; providing for the membership and meetings of 332 the board; prohibiting members of the board from 333 receiving compensation; authorizing members of the 334 board to receive reimbursements for certain expenses; 335 amending s. 893.02, F.S.; revising the definition of 336 the term “cannabis” to exclude hemp and industrial 337 hemp for purposes of the Florida Comprehensive Drug 338 Abuse Prevention and Control Act; amending s. 339 1004.4473, F.S.; revising the schools at which the 340 department is required to authorize and oversee the 341 development of industrial hemp pilot projects; 342 authorizing universities to implement industrial hemp 343 pilot projects pursuant to the state hemp program; 344 requiring the department to submit certain program and 345 fee information in its legislative budget request for 346 the 2020-2021 fiscal year; providing a directive to 347 the Division of Law Revision; providing an effective 348 date.