CSSB 6(JUD): "An Act relating to the regulation and production of industrial hemp; relating to industrial hemp pilot programs; providing that industrial hemp is not included in the definition of 'marijuana'; and clarifying that adding industrial hemp to food does not create an adulterated food product."
00 CS FOR SENATE BILL NO. 6(JUD) 01 "An Act relating to the regulation and production of industrial hemp; relating to 02 industrial hemp pilot programs; providing that industrial hemp is not included in the 03 definition of 'marijuana'; and clarifying that adding industrial hemp to food does not 04 create an adulterated food product." 05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 06 * Section 1. The uncodified law of the State of Alaska is amended by adding a new section 07 to read: 08 LEGISLATIVE INTENT. It is the intent of the legislature that the legislature 09 reevaluate the regulation of industrial hemp, as provided under this Act, in seven years. 10 * Sec. 2. AS 03.05.010 is amended to read: 11 Sec. 03.05.010. Powers and duties of commissioner of natural resources. 12 (a) The commissioner of natural resources shall 13 (1) direct, administer, and supervise promotional and experimental 14 work, extension services, and agricultural projects for the purpose of promoting and
01 developing the agricultural industry within the state including such fields as 02 horticulture, dairying, cattle raising, fur farming, grain production, vegetable 03 production, and development of other agricultural products; 04 (2) procure and preserve all information pertaining to the development 05 of the agricultural industry and disseminate that information to the public; 06 (3) assist prospective settlers and others desiring to engage in the 07 agricultural industry in the state with information concerning areas suitable for 08 agriculture and other activities and programs essential to the development of the 09 agricultural industry in the state; 10 (4) review the marketing, financing, and development of agricultural 11 products inside the state including transportation, with special emphasis on [UPON] 12 local production, and negotiate for the marketing of agricultural products of the state 13 with federal and state agencies operating in the state; 14 (5) regulate and control the entry into the state and the transportation, 15 sale, or use inside the state of plants, seeds, vegetables, shell eggs, fruits and berries, 16 nursery stock, animal feeds, remedies and mineral supplements, fertilizers, and 17 agricultural chemicals in order to prevent the spread of pests, diseases, or toxic 18 substances injurious to the public interest, and to protect the agricultural industry 19 against fraud, deception, and misrepresentation; in this connection the commissioner 20 may require registration, inspection, and testing, and establish procedures and fees; 21 (6) regulate the farming of elk in a manner similar to the manner in 22 which the commissioner regulates domestic animals and livestock, to the extent that is 23 appropriate; 24 (7) adopt regulations relating to industrial hemp, including 25 regulations that 26 (A) specify approved sources or varieties of hemp seed to be 27 grown, sold, or offered for sale by an individual registered to produce 28 industrial hemp; 29 (B) require testing, paid for by the registrant, for delta-9 30 tetrahydrocannabinol concentration following harvest of the industrial 31 hemp;
01 (C) provide for general production practices to avoid the 02 unintended distribution of industrial hemp seeds by registrants into 03 nonagricultural land; 04 (D) establish isolation distances for the production of 05 industrial hemp; in this subparagraph, "isolation distance" means the 06 minimum separation required between two or more varieties of the plant 07 (genus) cannabis for the purpose of keeping the seed pure; 08 (8) submit a list of individuals registered to produce industrial 09 hemp under AS 03.05.076 and the expiration dates of the registration to the 10 marijuana control board and the Department of Public Safety [REPEALED]. 11 (b) To carry out the requirements of this title, the commissioner of natural 12 resources may issue orders, regulations, quarantines, and embargoes relating to 13 (1) examination and inspection of premises containing products, 14 articles, and commodities carrying pests; 15 (2) establishment of quarantines for eradication of pests; 16 (3) establishment of standards and labeling requirements pertaining to 17 the sale of agricultural and vegetable seeds; 18 (4) tests and analyses which may be made and hearings which may be 19 held to determine whether the commissioner will issue a stop order or quarantine; 20 (5) cooperation with federal and other state agencies; and 21 (6) industrial hemp. 22 * Sec. 3. AS 03.05.010 is amended by adding a new subsection to read: 23 (c) The commissioner of natural resources shall issue a stop order to any 24 person who is found to be producing a plant product with a delta-9 25 tetrahydrocannabinol over 0.3 percent, regardless of whether the person is registered 26 under AS 03.05.076. The commissioner of natural resources shall notify the Marijuana 27 Control Board and the Department of Public Safety when the commissioner issues a 28 stop order. 29 * Sec. 4. AS 03.05 is amended by adding new sections to read: 30 Sec. 03.05.076. Industrial hemp. (a) Industrial hemp is an agricultural crop in 31 the state. An individual who produces industrial hemp shall apply to the department
01 for registration under this section. Registration is valid for one year but may be 02 renewed. An application for registration or renewal must be on a form prescribed by 03 the department that includes 04 (1) the name and address of the applicant; 05 (2) the address and global positioning system coordinates of the area to 06 be used for the production of industrial hemp. 07 (b) An individual registered under this section may 08 (1) produce industrial hemp, including growing, harvesting, 09 possessing, transporting, processing, selling, or buying industrial hemp; 10 (2) use any propagation method, including planting seeds or starts or 11 using clones or cuttings to produce industrial hemp; 12 (3) retain industrial hemp seeds for the purpose of propagating 13 industrial hemp in future years; 14 (4) retain and recondition any industrial hemp that tests between 0.3 15 percent and one percent delta-9 tetrahydrocannabinol on a dry-weight basis. 16 (c) An individual registered under this section shall 17 (1) comply with testing standards and procedures established by the 18 commissioner by regulation; 19 (2) maintain, for at least three years following the sale or transfer of 20 industrial hemp, records showing 21 (A) the name and address of the person that received the 22 industrial hemp; 23 (B) the amount of industrial hemp transferred; 24 (3) make the records required under (2) of this subsection available for 25 inspection by the department during normal business hours if the department provides 26 at least three days' notice before inspecting the records. 27 (d) The department shall 28 (1) establish fee levels for application, registration, and renewal of 29 registration so that the total amount of fees collected under this section approximately 30 equals the regulatory costs for regulating the industrial hemp industry; 31 (2) annually review each fee level to determine whether the regulatory
01 cost of industrial hemp is approximately equal to the fees collected; 02 (3) notify the Marijuana Control Board and the Department of Public 03 Safety when the department issues a stop-sale order and issues a violation notice under 04 this section; 05 (4) require an individual registered under this section whose industrial 06 hemp tests over one percent delta-9 tetrahydrocannabinol to destroy the product so 07 that it cannot be used for the purpose of reconditioning other hemp crops or gifted or 08 transferred to another individual other than for the purpose of having the industrial 09 hemp destroyed in full form. 10 (e) The department may 11 (1) issue a stop-sale order and issue a violation notice to a person 12 who10 is producing industrial hemp without a current registration; 13 (2) adopt regulations regarding approved shipping documentation for 14 the transportation of industrial hemp; 15 (3) conduct random tests and inspections of industrial hemp for delta-9 16 tetrahydrocannabinol concentration produced by an individual registered under this 17 section. 18 (f) The department, an individual registered under this section, or any 19 institution of higher education may import into the state and resell industrial hemp 20 seeds. 21 (g) Industrial hemp products intended for human consumption may not exceed 22 0.3 percent delta-9 tetrahydrocannabinol. Industrial hemp produced under a 23 registration under this section may not be used to produce hashish, hashish oil, or 24 marijuana concentrates. In this subsection, "hashish" and "hashish oil" have the 25 meanings given in AS 11.71.900, but do not include cannabidiol oil. 26 (h) Producing industrial hemp without a registration issued under this section 27 is a violation punishable by a fine of $500. 28 Sec. 03.05.077. Industrial hemp pilot program. (a) The department or an 29 institution of higher education in the state may create and administer an agricultural 30 pilot program to study the growth, cultivation, or marketing of industrial hemp. 31 (b) An institution of higher education in the state, the division of the
01 department with responsibility for agriculture, or an individual registered under 02 AS 03.05.076 may participate in an agricultural pilot program created under (a) of this 03 section or engage in industrial hemp research. 04 (c) The department may adopt regulations to implement this section. 05 Sec. 03.05.078. Transportation of industrial hemp. (a) An individual 06 registered under AS 03.05.076 shall have a copy of the individual's registration in 07 immediate possession at all times when transporting industrial hemp and shall present 08 the copy of the registration for inspection upon the demand of a peace officer or other 09 authorized representative of the department. An individual may display a copy of the 10 individual's registration on a mobile electronic device. 11 (b) Displaying proof of registration on a mobile electronic device under this 12 section does not constitute consent for a peace officer or other authorized 13 representative of the department to access other contents of the mobile electronic 14 device. 15 (c) An individual who violates (a) of this section is guilty of a violation. 16 Sec. 03.05.079. Production in violation of delta-9 tetrahydrocannabinol 17 limit. Notwithstanding AS 11.71.040 - 11.71.060, an individual registered under 18 AS 03.05.076 to produce industrial hemp whose product has a delta-9 19 tetrahydrocannabinol content between 0.3 percent and one percent is guilty of a 20 violation. 21 * Sec. 5. AS 03.05.100 is amended by adding a new paragraph to read: 22 (5) "industrial hemp" means all parts and varieties of the plant 23 Cannabis sativa L. containing not more than 0.3 percent delta-9 tetrahydrocannabinol. 24 * Sec. 6. AS 11.71.900(14) is amended to read: 25 (14) "marijuana" means the seeds, and leaves, buds, and flowers of the 26 plant (genus) Cannabis, whether growing or not; it does not include the resin or oil 27 extracted from any part of the plants, or any compound, manufacture, salt, derivative, 28 mixture, or preparation from the resin or oil, including hashish, hashish oil, and natural 29 or synthetic tetrahydrocannabinol; it does not include the stalks of the plant, fiber 30 produced from the stalks, oil or cake made from the seeds of the plant, any other 31 compound, manufacture, salt, derivative, mixture, or preparation of the stalks, fiber,
01 oil or cake, or the sterilized seed of the plant which is incapable of germination; it 02 does not include industrial hemp as defined in AS 03.05.100; 03 * Sec. 7. AS 17.20.020 is amended by adding a new subsection to read: 04 (e) Food is not adulterated under this section solely because it contains 05 industrial hemp, as defined in AS 03.05.100, or an industrial hemp product. 06 * Sec. 8. AS 17.38.900(10) is amended to read: 07 (10) "marijuana" means all parts of the plant of the genus cannabis 08 whether growing or not, the seeds thereof, the resin extracted from any part of the 09 plant, and every compound, manufacture, salt, derivative, mixture, or preparation of 10 the plant, its seeds, or its resin, including marijuana concentrate; "marijuana" does not 11 include fiber produced from the stalks, oil, or cake made from the seeds of the plant, 12 sterilized seed of the plant which is incapable of germination, [OR] the weight of any 13 other ingredient combined with marijuana to prepare topical or oral administrations, 14 food, drink, or other products, or industrial hemp as defined in AS 03.05.100; 15 * Sec. 9. The uncodified law of the State of Alaska is amended by adding a new section to 16 read: 17 REPORT ON INDUSTRIAL HEMP. On or before December 1, 2024, the Department 18 of Natural Resources shall provide a written report to the legislature on the regulation of 19 industrial hemp. The department shall deliver the report to the senate secretary and the chief 20 clerk of the house of representatives not later than December 1, 2024, and notify the 21 legislature that the report is available. The report must include 22 (1) the total number, for each of the previous seven calendar years and the 23 combined total for the previous seven years, of 24 (A) individuals registered in the state to produce industrial hemp; 25 (B) violations that occurred; and 26 (C) stop orders issued; 27 (2) the total amount of industrial hemp grown for each of the previous seven 28 calendar years and the combined total for the previous seven years; and 29 (3) a summary of the economic effects of the regulation of industrial hemp for 30 the state.