1 | 1 | | |
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2 | 2 | | Introduced Version |
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3 | 3 | | HOUSE BILL No. 1049 |
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4 | 4 | | _____ |
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5 | 5 | | DIGEST OF INTRODUCED BILL |
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6 | 6 | | Citations Affected: IC 2-5-46; IC 7.1-8; IC 15-15-13; IC 15-16-2-36; |
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7 | 7 | | IC 24-4-21; IC 24-4-22. |
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8 | 8 | | Synopsis: Cannabis regulation. Establishes the cannabis compliance |
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9 | 9 | | advisory committee to review and evaluate certain rules, laws, and |
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10 | 10 | | programs. Establishes the cannabis compliance commission to regulate |
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11 | 11 | | all forms of legal cannabis in Indiana, including industrial hemp and |
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12 | 12 | | low THC hemp extract. |
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13 | 13 | | Effective: July 1, 2022. |
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14 | 14 | | Errington, Campbell |
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15 | 15 | | January 4, 2022, read first time and referred to Committee on Agriculture and Rural |
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16 | 16 | | Development. |
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17 | 17 | | 2022 IN 1049—LS 6404/DI 77 Introduced |
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18 | 18 | | Second Regular Session of the 122nd General Assembly (2022) |
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19 | 19 | | PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana |
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20 | 20 | | Constitution) is being amended, the text of the existing provision will appear in this style type, |
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21 | 21 | | additions will appear in this style type, and deletions will appear in this style type. |
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22 | 22 | | Additions: Whenever a new statutory provision is being enacted (or a new constitutional |
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23 | 23 | | provision adopted), the text of the new provision will appear in this style type. Also, the |
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24 | 24 | | word NEW will appear in that style type in the introductory clause of each SECTION that adds |
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25 | 25 | | a new provision to the Indiana Code or the Indiana Constitution. |
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26 | 26 | | Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts |
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27 | 27 | | between statutes enacted by the 2021 Regular Session of the General Assembly. |
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28 | 28 | | HOUSE BILL No. 1049 |
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29 | 29 | | A BILL FOR AN ACT to amend the Indiana Code concerning |
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30 | 30 | | agriculture and animals. |
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31 | 31 | | Be it enacted by the General Assembly of the State of Indiana: |
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32 | 32 | | 1 SECTION 1. IC 2-5-46 IS ADDED TO THE INDIANA CODE AS |
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33 | 33 | | 2 A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY |
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34 | 34 | | 3 1, 2022]: |
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35 | 35 | | 4 Chapter 46. Cannabis Compliance Advisory Committee |
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36 | 36 | | 5 Sec. 1. The following definitions apply throughout this chapter: |
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37 | 37 | | 6 (1) "Advisory committee" means the cannabis compliance |
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38 | 38 | | 7 advisory committee established by section 2 of this chapter. |
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39 | 39 | | 8 (2) "Cannabis compliance commission" means the |
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40 | 40 | | 9 commission established by IC 7.1-8-2-1. |
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41 | 41 | | 10 Sec. 2. The cannabis compliance advisory committee is |
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42 | 42 | | 11 established. |
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43 | 43 | | 12 Sec. 3. (a) The advisory committee consists of the following four |
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44 | 44 | | 13 (4) voting members and five (5) nonvoting members: |
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45 | 45 | | 14 (1) One (1) legislative member appointed by the speaker of the |
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46 | 46 | | 15 house of representatives. |
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47 | 47 | | 16 (2) One (1) legislative member appointed by the minority |
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48 | 48 | | 17 leader of the house of representatives. |
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49 | 49 | | 2022 IN 1049—LS 6404/DI 77 2 |
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50 | 50 | | 1 (3) One (1) legislative member appointed by the president pro |
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51 | 51 | | 2 tempore of the senate. |
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52 | 52 | | 3 (4) One (1) legislative member appointed by the minority |
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53 | 53 | | 4 leader of the senate. |
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54 | 54 | | 5 (5) One (1) representative of law enforcement, appointed as a |
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55 | 55 | | 6 nonvoting member by the chairperson of the legislative |
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56 | 56 | | 7 council. |
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57 | 57 | | 8 (6) The commissioner of the department of state revenue or |
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58 | 58 | | 9 the commissioner's designee, who serves ex officio as a |
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59 | 59 | | 10 nonvoting member. |
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60 | 60 | | 11 (7) The director of the department of agriculture or the |
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61 | 61 | | 12 director's designee, who serves ex officio as a nonvoting |
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62 | 62 | | 13 member. |
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63 | 63 | | 14 (8) The state seed commissioner, who serves ex officio as a |
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64 | 64 | | 15 nonvoting member. |
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65 | 65 | | 16 (9) The executive director of the cannabis compliance |
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66 | 66 | | 17 commission or the executive director's designee, who serves |
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67 | 67 | | 18 ex officio as a nonvoting member. |
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68 | 68 | | 19 (b) The chairperson of the legislative council shall annually |
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69 | 69 | | 20 select one (1) of the voting members to serve as chairperson. |
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70 | 70 | | 21 Sec. 4. (a) A legislative member of the advisory committee may |
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71 | 71 | | 22 be removed at any time by the appointing authority who appointed |
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72 | 72 | | 23 the legislative member. |
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73 | 73 | | 24 (b) An appointed member of the advisory committee may be |
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74 | 74 | | 25 removed at any time by the appointing authority who appointed |
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75 | 75 | | 26 the member. |
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76 | 76 | | 27 (c) If a vacancy exists on the advisory committee, the appointing |
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77 | 77 | | 28 authority who appointed the former member whose position has |
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78 | 78 | | 29 become vacant shall appoint an individual to fill the vacancy. |
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79 | 79 | | 30 Sec. 5. Each member of the advisory committee is entitled to |
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80 | 80 | | 31 receive the same per diem, mileage, and travel allowances paid to |
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81 | 81 | | 32 individuals who serve as legislative and lay members, respectively, |
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82 | 82 | | 33 of interim study committees established by the legislative council. |
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83 | 83 | | 34 Sec. 6. The affirmative votes of a majority of the voting |
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84 | 84 | | 35 members appointed to the advisory committee are required for the |
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85 | 85 | | 36 advisory committee to take action on any measure, including final |
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86 | 86 | | 37 reports. |
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87 | 87 | | 38 Sec. 7. The advisory committee shall do the following: |
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88 | 88 | | 39 (1) Review rules adopted by the cannabis compliance |
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89 | 89 | | 40 commission. |
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90 | 90 | | 41 (2) Review legislative proposals suggested by the cannabis |
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91 | 91 | | 42 compliance commission. |
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92 | 92 | | 2022 IN 1049—LS 6404/DI 77 3 |
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93 | 93 | | 1 (3) Evaluate the cannabis research and development program |
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94 | 94 | | 2 under IC 7.1-8-5. |
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95 | 95 | | 3 (4) Evaluate the operation of the industrial hemp program |
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96 | 96 | | 4 under IC 15-15-13. |
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97 | 97 | | 5 (5) Evaluate the processing, packaging, distribution, and sale |
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98 | 98 | | 6 of low THC hemp extract under IC 24-4-21 through |
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99 | 99 | | 7 IC 24-4-22. |
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100 | 100 | | 8 (6) Consider any other matter that relates to cannabis. |
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101 | 101 | | 9 SECTION 2. IC 7.1-8 IS ADDED TO THE INDIANA CODE AS A |
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102 | 102 | | 10 NEW ARTICLE TO READ AS FOLLOWS [EFFECTIVE JULY 1, |
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103 | 103 | | 11 2022]: |
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104 | 104 | | 12 ARTICLE 8. CANNABIS REGULATION |
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105 | 105 | | 13 Chapter 1. Definitions |
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106 | 106 | | 14 Sec. 1. As used in this article, "cannabis" means cannabis that |
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107 | 107 | | 15 is legal under Indiana law, including industrial hemp and low THC |
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108 | 108 | | 16 hemp extract. |
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109 | 109 | | 17 Chapter 2. General Provisions |
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110 | 110 | | 18 Sec. 1. The cannabis compliance commission is established to |
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111 | 111 | | 19 regulate the growth, processing, distribution, and sale of legal |
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112 | 112 | | 20 cannabis in Indiana, including industrial hemp and low THC hemp |
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113 | 113 | | 21 extract. |
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114 | 114 | | 22 Sec. 2. (a) The cannabis compliance commission consists of: |
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115 | 115 | | 23 (1) the cannabis compliance commission executive committee; |
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116 | 116 | | 24 (2) the executive director; and |
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117 | 117 | | 25 (3) other employees necessary to carry out the duties of the |
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118 | 118 | | 26 cannabis compliance commission. |
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119 | 119 | | 27 (b) The cannabis compliance commission executive committee |
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120 | 120 | | 28 consists of four (4) commissioners, who shall hire the executive |
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121 | 121 | | 29 director and direct and oversee the operation of the cannabis |
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122 | 122 | | 30 compliance commission. |
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123 | 123 | | 31 Sec. 3. (a) The cannabis compliance commission executive |
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124 | 124 | | 32 committee commissioners shall be appointed by the governor. |
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125 | 125 | | 33 (b) A commissioner is eligible for reappointment. |
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126 | 126 | | 34 (c) Not more than two (2) commissioners may belong to the |
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127 | 127 | | 35 same political party. |
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128 | 128 | | 36 (d) A commissioner shall be appointed to a four (4) year term. |
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129 | 129 | | 37 (e) A commissioner serves the commissioner's term at the |
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130 | 130 | | 38 pleasure of the governor. |
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131 | 131 | | 39 Sec. 4. To be eligible for appointment as a commissioner, an |
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132 | 132 | | 40 individual must have the following qualifications: |
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133 | 133 | | 41 (1) The individual may not be employed by the state in any |
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134 | 134 | | 42 other capacity. |
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135 | 135 | | 2022 IN 1049—LS 6404/DI 77 4 |
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136 | 136 | | 1 (2) The individual must have good moral character. |
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137 | 137 | | 2 (3) The individual must have been a resident of Indiana for at |
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138 | 138 | | 3 least five (5) years immediately preceding the appointment. |
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139 | 139 | | 4 Sec. 5. (a) The governor shall appoint, from among the four (4) |
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140 | 140 | | 5 commissioners appointed under section 3(a) of this chapter: |
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141 | 141 | | 6 (1) one (1) commissioner to serve as chairperson; and |
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142 | 142 | | 7 (2) one (1) commissioner to serve as vice chairperson; |
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143 | 143 | | 8 of the cannabis compliance commission executive committee. |
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144 | 144 | | 9 (b) The vice chairperson shall act as the chairperson if the |
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145 | 145 | | 10 chairperson is unable to attend a meeting of the cannabis |
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146 | 146 | | 11 compliance commission executive committee. |
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147 | 147 | | 12 Sec. 6. A commissioner appointed to fill a vacancy in the |
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148 | 148 | | 13 cannabis compliance commission executive committee shall serve |
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149 | 149 | | 14 only for the unexpired part of the original vacated term. In all |
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150 | 150 | | 15 other respects, an appointment to fill a vacancy shall be made in |
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151 | 151 | | 16 the same manner that an original appointment is made. |
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152 | 152 | | 17 Sec. 7. As compensation for services, each commissioner is |
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153 | 153 | | 18 entitled to the minimum salary per diem provided by |
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154 | 154 | | 19 IC 4-10-11-2.1(b). A commissioner is also entitled to |
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155 | 155 | | 20 reimbursement for traveling expenses as provided under |
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156 | 156 | | 21 IC 4-13-1-4 and other expenses actually incurred in connection |
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157 | 157 | | 22 with the commissioner's duties as provided in the state policies and |
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158 | 158 | | 23 procedures established by the Indiana department of |
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159 | 159 | | 24 administration and approved by the budget agency. |
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160 | 160 | | 25 Sec. 8. (a) Each commissioner shall execute: |
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161 | 161 | | 26 (1) a surety bond in the amount of ten thousand dollars |
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162 | 162 | | 27 ($10,000), with surety approved by the governor; and |
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163 | 163 | | 28 (2) an oath of office. |
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164 | 164 | | 29 (b) The surety bond and the oath of office shall be filed in the |
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165 | 165 | | 30 office of the secretary of state. |
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166 | 166 | | 31 Sec. 9. The required surety bond executed and filed on behalf of |
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167 | 167 | | 32 a commissioner shall be made payable to the state of Indiana and |
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168 | 168 | | 33 conditioned upon the faithful discharge of the commissioner's |
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169 | 169 | | 34 duties. |
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170 | 170 | | 35 Sec. 10. The cannabis compliance commission executive |
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171 | 171 | | 36 committee shall hold meetings at the call of the chairperson. The |
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172 | 172 | | 37 cannabis compliance commission executive committee may |
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173 | 173 | | 38 establish rules governing meetings. |
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174 | 174 | | 39 Sec. 11. (a) Three (3) cannabis compliance commission |
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175 | 175 | | 40 commissioners constitute a quorum for the transaction of business. |
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176 | 176 | | 41 (b) Each commissioner has one (1) vote. |
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177 | 177 | | 42 (c) Action of the cannabis compliance commission executive |
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178 | 178 | | 2022 IN 1049—LS 6404/DI 77 5 |
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179 | 179 | | 1 committee may be taken only upon the affirmative votes of at least |
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180 | 180 | | 2 two (2) commissioners. If a vote is a tie, the position for which the |
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181 | 181 | | 3 chairperson voted prevails, as long as that position has received the |
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182 | 182 | | 4 affirmative votes of at least two (2) commissioners. |
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183 | 183 | | 5 Sec. 12. A commissioner may not solicit or accept a political |
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184 | 184 | | 6 contribution from any individual or entity that has a permit or has |
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185 | 185 | | 7 applied for a permit issued by the cannabis compliance |
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186 | 186 | | 8 commission, or that is otherwise regulated by the cannabis |
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187 | 187 | | 9 compliance commission. However, the right of a commissioner to |
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188 | 188 | | 10 vote as the commissioner chooses and to express the |
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189 | 189 | | 11 commissioner's opinions on political subjects and candidates may |
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190 | 190 | | 12 not be impaired. |
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191 | 191 | | 13 Chapter 3. Employees and Administration |
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192 | 192 | | 14 Sec. 1. (a) The cannabis compliance commission executive |
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193 | 193 | | 15 committee shall appoint an executive director to assist the cannabis |
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194 | 194 | | 16 compliance commission in the efficient administration of its powers |
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195 | 195 | | 17 and duties. |
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196 | 196 | | 18 (b) The cannabis compliance commission executive committee |
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197 | 197 | | 19 shall fix the salary of the executive director, subject to the approval |
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198 | 198 | | 20 of the budget agency. |
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199 | 199 | | 21 (c) The executive director: |
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200 | 200 | | 22 (1) is the executive agent of the cannabis compliance |
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201 | 201 | | 23 commission executive committee in the administration of the |
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202 | 202 | | 24 committee's policies; and |
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203 | 203 | | 25 (2) has the other powers and duties delegated to the executive |
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204 | 204 | | 26 director by the cannabis compliance commission executive |
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205 | 205 | | 27 committee or specifically assigned to the executive director by |
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206 | 206 | | 28 statute. |
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207 | 207 | | 29 Sec. 2. The executive director has the power to employ all |
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208 | 208 | | 30 necessary employees, determine their duties, and, subject to the |
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209 | 209 | | 31 approval of the cannabis compliance commission executive |
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210 | 210 | | 32 committee and the budget agency, fix their salaries. |
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211 | 211 | | 33 Chapter 4. Powers and Duties |
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212 | 212 | | 34 Sec. 1. The chairperson is the presiding officer at the meetings |
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213 | 213 | | 35 of the cannabis compliance commission executive committee. The |
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214 | 214 | | 36 chairperson, together with the executive director, shall prepare, |
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215 | 215 | | 37 certify, and authenticate all proceedings, minutes, records, rules, |
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216 | 216 | | 38 and regulations of the cannabis compliance commission executive |
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217 | 217 | | 39 committee. The chairperson shall also perform all other duties as |
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218 | 218 | | 40 imposed on the chairperson by this title. |
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219 | 219 | | 41 Sec. 2. (a) The cannabis compliance commission has the general |
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220 | 220 | | 42 power to organize its work, and to enforce and administer: |
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221 | 221 | | 2022 IN 1049—LS 6404/DI 77 6 |
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222 | 222 | | 1 (1) this article; |
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223 | 223 | | 2 (2) IC 15-15-13 (industrial hemp); |
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224 | 224 | | 3 (3) IC 24-4-21 (distribution of low THC hemp extract); |
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225 | 225 | | 4 (4) IC 24-4-22 (sale of low THC hemp extract); and |
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226 | 226 | | 5 (5) rules adopted by the cannabis compliance commission. |
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227 | 227 | | 6 (b) The cannabis compliance commission has the following |
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228 | 228 | | 7 additional powers and duties: |
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229 | 229 | | 8 (1) To have a designated agent, upon presentation of proper |
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230 | 230 | | 9 credentials, enter upon private or public property to inspect |
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231 | 231 | | 10 for and investigate possible violations of: |
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232 | 232 | | 11 (A) this article; |
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233 | 233 | | 12 (B) IC 15-15-13 (industrial hemp); |
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234 | 234 | | 13 (C) IC 24-4-21 (distribution of low THC hemp extract); |
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235 | 235 | | 14 (D) IC 24-4-22 (sale of low THC hemp extract); and |
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236 | 236 | | 15 (E) rules adopted by the cannabis compliance commission. |
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237 | 237 | | 16 (2) To employ or contract for the legal, professional, and |
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238 | 238 | | 17 other personnel and assistance that is necessary for the |
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239 | 239 | | 18 efficient performance of the cannabis compliance |
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240 | 240 | | 19 commission's duties. |
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241 | 241 | | 20 (3) To issue orders to: |
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242 | 242 | | 21 (A) secure compliance with: |
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243 | 243 | | 22 (i) this article; |
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244 | 244 | | 23 (ii) IC 15-15-13 (industrial hemp); |
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245 | 245 | | 24 (iii) IC 24-4-21 (distribution of low THC hemp extract); |
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246 | 246 | | 25 (iv) IC 24-4-22 (sale of low THC hemp extract); and |
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247 | 247 | | 26 (v) rules adopted by the cannabis compliance |
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248 | 248 | | 27 commission; and |
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249 | 249 | | 28 (B) assess civil penalties. |
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250 | 250 | | 29 (4) To bring an appropriate action in court to: |
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251 | 251 | | 30 (A) enforce any order of the cannabis compliance |
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252 | 252 | | 31 commission; |
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253 | 253 | | 32 (B) collect any penalties or fees; and |
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254 | 254 | | 33 (C) procure or secure compliance with: |
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255 | 255 | | 34 (i) this article; |
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256 | 256 | | 35 (ii) IC 15-15-13 (industrial hemp); |
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257 | 257 | | 36 (iii) IC 24-4-21 (distribution of low THC hemp extract); |
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258 | 258 | | 37 (iv) IC 24-4-22 (sale of low THC hemp extract); and |
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259 | 259 | | 38 (v) rules adopted by the cannabis compliance |
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260 | 260 | | 39 commission. |
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261 | 261 | | 40 (5) To hold hearings before the cannabis compliance |
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262 | 262 | | 41 commission or its representative. |
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263 | 263 | | 42 (6) To take testimony and receive evidence. |
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264 | 264 | | 2022 IN 1049—LS 6404/DI 77 7 |
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265 | 265 | | 1 (7) To conduct inquiries with or without a hearing. |
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266 | 266 | | 2 (8) To receive reports of investigators or other governmental |
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267 | 267 | | 3 officers and employees. |
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268 | 268 | | 4 (9) To administer oaths. |
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269 | 269 | | 5 (10) To subpoena witnesses and to compel them to appear and |
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270 | 270 | | 6 testify. |
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271 | 271 | | 7 (11) To certify copies of records of the cannabis compliance |
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272 | 272 | | 8 commission or any other document or record on file with the |
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273 | 273 | | 9 cannabis compliance commission. |
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274 | 274 | | 10 (12) To fix the form, mode, manner, time, and number of |
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275 | 275 | | 11 times for the posting or publication of any required notices if |
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276 | 276 | | 12 not otherwise provided. |
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277 | 277 | | 13 (13) To adopt rules under IC 4-22-2 to carry out: |
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278 | 278 | | 14 (A) this article; |
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279 | 279 | | 15 (B) IC 15-15-13 (industrial hemp); |
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280 | 280 | | 16 (C) IC 24-4-21 (distribution of low THC hemp extract); |
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281 | 281 | | 17 and |
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282 | 282 | | 18 (D) IC 24-4-22 (sale of low THC hemp extract). |
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283 | 283 | | 19 (14) To establish fees for licenses, permits, and applications. |
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284 | 284 | | 20 (15) To retain and consult with experts and other consultants. |
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285 | 285 | | 21 (16) To carry out any other duties assigned by statute. |
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286 | 286 | | 22 Sec. 3. The cannabis compliance commission shall adopt rules |
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287 | 287 | | 23 under IC 4-22-2 to prescribe the forms for all applications, |
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288 | 288 | | 24 documents, permits, and licenses used in the administration of: |
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289 | 289 | | 25 (1) this article; |
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290 | 290 | | 26 (2) IC 15-15-13 (industrial hemp); |
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291 | 291 | | 27 (3) IC 24-4-21 (distribution of low THC hemp extract); |
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292 | 292 | | 28 (4) IC 24-4-22 (sale of low THC hemp extract); and |
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293 | 293 | | 29 (5) rules adopted by the cannabis compliance commission. |
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294 | 294 | | 30 Sec. 4. The cannabis compliance commission has the following |
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295 | 295 | | 31 duties: |
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296 | 296 | | 32 (1) To regulate, enforce, and carry out the provisions of |
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297 | 297 | | 33 IC 15-15-13 (industrial hemp). |
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298 | 298 | | 34 (2) To regulate, enforce, and carry out the provisions of |
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299 | 299 | | 35 IC 24-4-21 and IC 24-4-22 (distribution and sale of low THC |
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300 | 300 | | 36 hemp extract). |
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301 | 301 | | 37 (3) To adopt protocols to: |
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302 | 302 | | 38 (A) prevent fraud; |
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303 | 303 | | 39 (B) ensure the accuracy of information contained in an |
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304 | 304 | | 40 application relating to industrial hemp and low THC hemp |
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305 | 305 | | 41 extract; and |
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306 | 306 | | 42 (C) protect the privacy of an applicant. |
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307 | 307 | | 2022 IN 1049—LS 6404/DI 77 8 |
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308 | 308 | | 1 (4) To encourage research concerning cannabis and issue |
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309 | 309 | | 2 research licenses as described in IC 7.1-8-5. |
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310 | 310 | | 3 Chapter 5. Research and Development |
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311 | 311 | | 4 Sec. 1. To permit and encourage research concerning cannabis: |
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312 | 312 | | 5 (1) an accredited institution of higher education with a |
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313 | 313 | | 6 physical presence in Indiana; and |
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314 | 314 | | 7 (2) a pharmaceutical or agricultural business having a |
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315 | 315 | | 8 research facility in Indiana; |
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316 | 316 | | 9 may apply to the cannabis compliance commission for a license to |
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317 | 317 | | 10 conduct research concerning cannabis. |
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318 | 318 | | 11 Sec. 2. An application under this chapter must include the |
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319 | 319 | | 12 following: |
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320 | 320 | | 13 (1) The nature of the research project. |
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321 | 321 | | 14 (2) The names of the individuals who will conduct the |
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322 | 322 | | 15 research project. |
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323 | 323 | | 16 (3) The approximate quantity of cannabis that will be used in |
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324 | 324 | | 17 the research project. |
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325 | 325 | | 18 (4) The security protocol to be implemented to ensure that |
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326 | 326 | | 19 cannabis is not diverted for uses other than the research |
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327 | 327 | | 20 project. |
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328 | 328 | | 21 (5) Any other information required by the cannabis |
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329 | 329 | | 22 compliance commission. |
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330 | 330 | | 23 Sec. 3. Upon receipt of a completed application, the cannabis |
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331 | 331 | | 24 compliance commission may issue a research license to the |
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332 | 332 | | 25 accredited institution of higher education or pharmaceutical or |
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333 | 333 | | 26 agricultural business. The research license must specifically list the |
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334 | 334 | | 27 names of each individual participating in the research project who |
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335 | 335 | | 28 will have custody or control of cannabis for research purposes and |
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336 | 336 | | 29 the approximate quantity of cannabis that will be used in the |
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337 | 337 | | 30 research project. |
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338 | 338 | | 31 Sec. 4. The cannabis compliance commission may charge a |
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339 | 339 | | 32 reasonable fee for issuance of a research license. |
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340 | 340 | | 33 SECTION 3. IC 15-15-13-0.5, AS ADDED BY P.L.165-2014, |
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341 | 341 | | 34 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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342 | 342 | | 35 JULY 1, 2022]: Sec. 0.5. The state seed commissioner cannabis |
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343 | 343 | | 36 compliance commission shall administer this chapter. |
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344 | 344 | | 37 SECTION 4. IC 15-15-13-1, AS AMENDED BY P.L.190-2019, |
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345 | 345 | | 38 SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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346 | 346 | | 39 JULY 1, 2022]: Sec. 1. (a) Nothing in this chapter authorizes any |
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347 | 347 | | 40 person to violate any federal law or regulation. |
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348 | 348 | | 41 (b) Nothing in this chapter authorizes the state seed commissioner |
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349 | 349 | | 42 to regulate a hemp product. |
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350 | 350 | | 2022 IN 1049—LS 6404/DI 77 9 |
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351 | 351 | | 1 SECTION 5. IC 15-15-13-2, AS ADDED BY P.L.165-2014, |
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352 | 352 | | 2 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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353 | 353 | | 3 JULY 1, 2022]: Sec. 2. As used in this chapter, "agricultural hemp |
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354 | 354 | | 4 seed" means Cannabis sativa seed that meets any labeling, quality, and |
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355 | 355 | | 5 other standards set by the state seed commissioner cannabis |
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356 | 356 | | 6 compliance commission and that is intended for sale or is sold to, or |
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357 | 357 | | 7 purchased by, licensed growers for planting. |
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358 | 358 | | 8 SECTION 6. IC 15-15-13-2.5 IS ADDED TO THE INDIANA |
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359 | 359 | | 9 CODE AS A NEW SECTION TO READ AS FOLLOWS |
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360 | 360 | | 10 [EFFECTIVE JULY 1, 2022]: Sec. 2.5. As used in this chapter, |
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361 | 361 | | 11 "cannabis compliance commission" means the cannabis |
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362 | 362 | | 12 compliance commission established by IC 7.1-8-2-1. |
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363 | 363 | | 13 SECTION 7. IC 15-15-13-7, AS AMENDED BY P.L.190-2019, |
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364 | 364 | | 14 SECTION 8, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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365 | 365 | | 15 JULY 1, 2022]: Sec. 7. (a) Subject to section 15 of this chapter, The |
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366 | 366 | | 16 production of, possession of, scientific study of, and commerce in hemp |
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367 | 367 | | 17 is authorized in Indiana. Hemp is subject to regulation by the state seed |
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368 | 368 | | 18 commissioner. cannabis compliance commission. The state seed |
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369 | 369 | | 19 commissioner cannabis compliance commission shall adopt rules to |
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370 | 370 | | 20 oversee the licensing, production, and management of: |
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371 | 371 | | 21 (1) hemp; and |
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372 | 372 | | 22 (2) agricultural hemp seed. |
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373 | 373 | | 23 (b) All growers and handlers must have a hemp license issued by |
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374 | 374 | | 24 the state seed commissioner. cannabis compliance commission. |
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375 | 375 | | 25 Growers and handlers engaged in the production of agricultural hemp |
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376 | 376 | | 26 seed must also have an agricultural hemp seed production license. |
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377 | 377 | | 27 (c) An application for a hemp license or agricultural hemp seed |
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378 | 378 | | 28 production license must include the following: |
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379 | 379 | | 29 (1) The name and address of the applicant. |
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380 | 380 | | 30 (2) The name and address of the hemp operation of the applicant. |
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381 | 381 | | 31 (3) The global positioning system coordinates and legal |
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382 | 382 | | 32 description of the property used for the hemp operation. |
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383 | 383 | | 33 (4) If the hemp license or agricultural hemp seed production |
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384 | 384 | | 34 license application is made by a grower, the acreage size of the |
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385 | 385 | | 35 field where the hemp will be grown. |
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386 | 386 | | 36 (5) A statement signed by the applicant, under penalty of perjury, |
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387 | 387 | | 37 that the person applying for the hemp license or agricultural hemp |
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388 | 388 | | 38 seed production license has not been convicted of a drug related |
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389 | 389 | | 39 felony or misdemeanor in the previous ten (10) years. |
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390 | 390 | | 40 (6) A written consent allowing the state police department to |
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391 | 391 | | 41 conduct a state or national criminal history background check. |
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392 | 392 | | 42 (7) A written consent allowing the state police department, the |
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393 | 393 | | 2022 IN 1049—LS 6404/DI 77 10 |
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394 | 394 | | 1 state seed commissioner, cannabis compliance commission, or |
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395 | 395 | | 2 the state seed commissioner's cannabis compliance |
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396 | 396 | | 3 commission's authorized representative, if a license is issued to |
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397 | 397 | | 4 the applicant, to conduct aerial inspections and to enter the |
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398 | 398 | | 5 premises on which the hemp is grown to conduct physical |
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399 | 399 | | 6 inspections of hemp planted and grown by the applicant, and to |
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400 | 400 | | 7 ensure the plants meet the definition of hemp as set forth in |
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401 | 401 | | 8 section 6 of this chapter. |
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402 | 402 | | 9 (8) A nonrefundable application fee, which must include the |
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403 | 403 | | 10 amount necessary to conduct a state or national criminal history |
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404 | 404 | | 11 background check, in an amount determined by the state seed |
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405 | 405 | | 12 commissioner. cannabis compliance commission. |
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406 | 406 | | 13 (9) Any other information required by the state seed |
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407 | 407 | | 14 commissioner. cannabis compliance commission. |
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408 | 408 | | 15 (d) Rules adopted by the state seed commissioner before July 1, |
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409 | 409 | | 16 2022, concerning industrial hemp are considered, after June 30, |
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410 | 410 | | 17 2022, rules of the cannabis compliance commission. |
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411 | 411 | | 18 SECTION 8. IC 15-15-13-8, AS AMENDED BY P.L.156-2020, |
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412 | 412 | | 19 SECTION 62, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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413 | 413 | | 20 JULY 1, 2022]: Sec. 8. (a) Each license application received under this |
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414 | 414 | | 21 chapter must be processed as follows: |
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415 | 415 | | 22 (1) Upon receipt of a license application, the state seed |
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416 | 416 | | 23 commissioner cannabis compliance commission shall do one (1) |
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417 | 417 | | 24 of the following: |
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418 | 418 | | 25 (A) Forward a copy of the application to the state police |
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419 | 419 | | 26 department. The state police department shall then do the |
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420 | 420 | | 27 following: |
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421 | 421 | | 28 (i) Perform a state or national criminal history background |
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422 | 422 | | 29 check of the applicant. |
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423 | 423 | | 30 (ii) Determine if the requirements under section 7(c)(5) of |
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424 | 424 | | 31 this chapter concerning prior criminal convictions have been |
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425 | 425 | | 32 met. |
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426 | 426 | | 33 (iii) Return the application to the state seed commissioner |
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427 | 427 | | 34 cannabis compliance commission along with the state |
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428 | 428 | | 35 police department's determinations and a copy of the state or |
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429 | 429 | | 36 national criminal history background check. |
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430 | 430 | | 37 (B) Do the following: |
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431 | 431 | | 38 (i) Perform a state or national criminal history background |
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432 | 432 | | 39 check of the applicant under the same standards as the state |
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433 | 433 | | 40 police department would perform. |
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434 | 434 | | 41 (ii) Determine if the requirements under section 7(c)(5) of |
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435 | 435 | | 42 this chapter concerning prior criminal convictions have been |
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436 | 436 | | 2022 IN 1049—LS 6404/DI 77 11 |
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437 | 437 | | 1 met. |
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438 | 438 | | 2 (2) The state seed commissioner cannabis compliance |
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439 | 439 | | 3 commission shall review the license application and the criminal |
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440 | 440 | | 4 history background check. |
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441 | 441 | | 5 (b) If the state seed commissioner cannabis compliance |
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442 | 442 | | 6 commission determines that all the requirements under this chapter |
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443 | 443 | | 7 have been met and that a license should be granted to the applicant, the |
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444 | 444 | | 8 state seed commissioner cannabis compliance commission shall |
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445 | 445 | | 9 approve the application for issuance of a license. |
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446 | 446 | | 10 (c) A hemp license or agricultural hemp seed production license |
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447 | 447 | | 11 expires on December 31 of the year for which the license was issued, |
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448 | 448 | | 12 unless revoked. A hemp license or agricultural hemp seed production |
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449 | 449 | | 13 license may be renewed in accordance with rules adopted by the state |
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450 | 450 | | 14 seed commissioner cannabis compliance commission and is |
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451 | 451 | | 15 nontransferable. |
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452 | 452 | | 16 SECTION 9. IC 15-15-13-9, AS AMENDED BY P.L.190-2019, |
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453 | 453 | | 17 SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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454 | 454 | | 18 JULY 1, 2022]: Sec. 9. (a) An agricultural hemp seed production |
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455 | 455 | | 19 license issued under this chapter authorizes a grower or handler to |
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456 | 456 | | 20 produce and handle agricultural hemp seed for sale to licensed hemp |
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457 | 457 | | 21 growers and handlers. A seller of agricultural hemp seed shall ensure |
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458 | 458 | | 22 that the seed complies with any standards set by the state seed |
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459 | 459 | | 23 commissioner. cannabis compliance commission. The state seed |
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460 | 460 | | 24 commissioner cannabis compliance commission shall make available |
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461 | 461 | | 25 to growers information that identifies sellers of agricultural hemp seed. |
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462 | 462 | | 26 (b) A person who sells agricultural hemp seed to a grower must be |
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463 | 463 | | 27 a seed distributor who has a permit under IC 15-15-1-34. |
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464 | 464 | | 28 (c) All growers and handlers must keep records in accordance with |
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465 | 465 | | 29 rules adopted by the state seed commissioner. cannabis compliance |
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466 | 466 | | 30 commission. Upon at least three (3) days notice, the state seed |
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467 | 467 | | 31 commissioner cannabis compliance commission may audit the |
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468 | 468 | | 32 required records during normal business hours. The state seed |
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469 | 469 | | 33 commissioner cannabis compliance commission may conduct an |
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470 | 470 | | 34 audit for the purpose of ensuring compliance with: |
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471 | 471 | | 35 (1) this chapter; |
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472 | 472 | | 36 (2) rules adopted by the state seed commissioner; cannabis |
---|
473 | 473 | | 37 compliance commission; or |
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474 | 474 | | 38 (3) hemp license or agricultural hemp seed production license |
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475 | 475 | | 39 requirements, terms, and conditions. |
---|
476 | 476 | | 40 (d) In addition to an audit conducted in accordance with subsection |
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477 | 477 | | 41 (c), the state seed commissioner cannabis compliance commission |
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478 | 478 | | 42 may inspect independently, or in cooperation with the state police |
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479 | 479 | | 2022 IN 1049—LS 6404/DI 77 12 |
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480 | 480 | | 1 department, a federal law enforcement agency, or a local law |
---|
481 | 481 | | 2 enforcement agency, any hemp crop during the crop's growth phase and |
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482 | 482 | | 3 take a representative composite sample for field analysis. If a crop |
---|
483 | 483 | | 4 contains an average delta-9-tetrahydrocannabinol (THC) concentration |
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484 | 484 | | 5 exceeding three-tenths of one percent (0.3%) on a dry weight basis, the |
---|
485 | 485 | | 6 state seed commissioner cannabis compliance commission may |
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486 | 486 | | 7 detain, seize, or embargo the crop. |
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487 | 487 | | 8 (e) The state seed commissioner cannabis compliance commission |
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488 | 488 | | 9 may revoke a license issued under this chapter to a person that fails to |
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489 | 489 | | 10 cooperate with: |
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490 | 490 | | 11 (1) the state seed commissioner; cannabis compliance |
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491 | 491 | | 12 commission; |
---|
492 | 492 | | 13 (2) the state police; |
---|
493 | 493 | | 14 (3) a federal law enforcement agency; or |
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494 | 494 | | 15 (4) a local law enforcement agency; |
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495 | 495 | | 16 in an inspection, or in the taking of a sample, under subsection (d). |
---|
496 | 496 | | 17 (f) A failure to cooperate described in subsection (e) constitutes |
---|
497 | 497 | | 18 probable cause for the state seed commissioner, cannabis compliance |
---|
498 | 498 | | 19 commission, state police, federal law enforcement agency, or local law |
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499 | 499 | | 20 enforcement agency to search the premises of the licensee's hemp |
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500 | 500 | | 21 operation. |
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501 | 501 | | 22 (g) If the state police department, a federal law enforcement agency, |
---|
502 | 502 | | 23 or a local law enforcement agency cooperates with the state seed |
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503 | 503 | | 24 commissioner cannabis compliance commission in the detention, |
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504 | 504 | | 25 seizure, or embargo of a crop under this section: |
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505 | 505 | | 26 (1) the state police department, federal law enforcement agency, |
---|
506 | 506 | | 27 or local law enforcement agency; and |
---|
507 | 507 | | 28 (2) any officer or employee of the state police department, federal |
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508 | 508 | | 29 law enforcement agency, or local law enforcement agency who is |
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509 | 509 | | 30 involved in the detention, seizure, or embargo; |
---|
510 | 510 | | 31 is immune from civil liability for the detention, seizure, or embargo. |
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511 | 511 | | 32 (h) The state seed commissioner cannabis compliance commission |
---|
512 | 512 | | 33 may order a hemp crop that is detained, seized, or embargoed for |
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513 | 513 | | 34 noncompliance with this chapter to be destroyed by the owner. |
---|
514 | 514 | | 35 However, except as prohibited by federal law, the grower may appeal |
---|
515 | 515 | | 36 to the state seed commissioner cannabis compliance commission for |
---|
516 | 516 | | 37 the hemp crop to be diverted to a willing licensed processor for |
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517 | 517 | | 38 processing and sale for industrial use. A hemp crop that is detained, |
---|
518 | 518 | | 39 seized, or embargoed may not be used for cannabidiol, other extracts, |
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519 | 519 | | 40 oil, food, or cosmetic products that are used for humans or animals. |
---|
520 | 520 | | 41 (i) A grower shall reimburse the state seed commissioner cannabis |
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521 | 521 | | 42 compliance commission for the cost of testing conducted on the |
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522 | 522 | | 2022 IN 1049—LS 6404/DI 77 13 |
---|
523 | 523 | | 1 grower's crop under this section. |
---|
524 | 524 | | 2 SECTION 10. IC 15-15-13-9.5, AS ADDED BY P.L.190-2019, |
---|
525 | 525 | | 3 SECTION 11, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
---|
526 | 526 | | 4 JULY 1, 2022]: Sec. 9.5. (a) A person who is a handler licensed under |
---|
527 | 527 | | 5 this section may distribute clones and other nonseed propagative |
---|
528 | 528 | | 6 materials of a hemp plant using the person's own labeling, if the |
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529 | 529 | | 7 distributor does the following: |
---|
530 | 530 | | 8 (1) Complies with the requirements of this chapter. |
---|
531 | 531 | | 9 (2) Reports the variety and quantity of each variety of the |
---|
532 | 532 | | 10 propagative material of plant sold. |
---|
533 | 533 | | 11 (3) Pays the inspection fee on the basis of the report. |
---|
534 | 534 | | 12 (4) Labels the propagative material with the information required |
---|
535 | 535 | | 13 by the state seed commissioner. cannabis compliance |
---|
536 | 536 | | 14 commission. |
---|
537 | 537 | | 15 (5) Keeps records to accurately determine the named varieties and |
---|
538 | 538 | | 16 the number of plants of each variety distributed. |
---|
539 | 539 | | 17 (6) Grants the state seed commissioner cannabis compliance |
---|
540 | 540 | | 18 commission or the state seed commissioner's cannabis |
---|
541 | 541 | | 19 compliance commission's authorized representative access to |
---|
542 | 542 | | 20 examine the handler's records and verify the quantity and each |
---|
543 | 543 | | 21 variety of propagative material distributed. |
---|
544 | 544 | | 22 (7) Report, under oath, to the state seed commissioner cannabis |
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545 | 545 | | 23 compliance commission on forms furnished by the state seed |
---|
546 | 546 | | 24 commissioner cannabis compliance commission each variety |
---|
547 | 547 | | 25 and quantity of propagative material sold during each semiannual |
---|
548 | 548 | | 26 period. |
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549 | 549 | | 27 (8) Any other information or conditions stated in the application. |
---|
550 | 550 | | 28 (b) The state seed commissioner cannabis compliance commission |
---|
551 | 551 | | 29 may revoke a handler's license if the commissioner commission |
---|
552 | 552 | | 30 determines any of the following: |
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553 | 553 | | 31 (1) That the licensee has not complied with the requirements |
---|
554 | 554 | | 32 under this chapter. |
---|
555 | 555 | | 33 (2) The report required in subsection (a) has not been submitted |
---|
556 | 556 | | 34 and is more than ten (10) days late. |
---|
557 | 557 | | 35 (3) The report required in subsection (a) contained false |
---|
558 | 558 | | 36 information. |
---|
559 | 559 | | 37 (4) The labeling requirements under this chapter have not been |
---|
560 | 560 | | 38 met. |
---|
561 | 561 | | 39 (c) If the inspection fee has not been paid and is more than ten (10) |
---|
562 | 562 | | 40 days late, the state seed commissioner cannabis compliance |
---|
563 | 563 | | 41 commission shall assess a late fee. |
---|
564 | 564 | | 42 (d) Each year the: |
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565 | 565 | | 2022 IN 1049—LS 6404/DI 77 14 |
---|
566 | 566 | | 1 (1) report required under subsection (a)(7); and |
---|
567 | 567 | | 2 (2) inspection fees required under this chapter; |
---|
568 | 568 | | 3 for the period beginning on January 1 and ending on June 30 and for |
---|
569 | 569 | | 4 the period beginning on July 1 and ending on December 31 are due not |
---|
570 | 570 | | 5 more than thirty (30) days after the end of the semiannual period. |
---|
571 | 571 | | 6 SECTION 11. IC 15-15-13-10, AS ADDED BY P.L.165-2014, |
---|
572 | 572 | | 7 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
---|
573 | 573 | | 8 JULY 1, 2022]: Sec. 10. The amount of any fees charged growers and |
---|
574 | 574 | | 9 handlers by the state seed commissioner cannabis compliance |
---|
575 | 575 | | 10 commission under this chapter must be sufficient to cover the cost of |
---|
576 | 576 | | 11 the administration of this chapter, including the cost of conducting |
---|
577 | 577 | | 12 audits and testing. |
---|
578 | 578 | | 13 SECTION 12. IC 15-15-13-11, AS AMENDED BY P.L.190-2019, |
---|
579 | 579 | | 14 SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
---|
580 | 580 | | 15 JULY 1, 2022]: Sec. 11. Only a hemp licensee, the licensee's designee, |
---|
581 | 581 | | 16 or the licensee's agents may be permitted to transport hemp off a |
---|
582 | 582 | | 17 production site. When transporting hemp off the production site, the |
---|
583 | 583 | | 18 hemp licensee, designee, or agent shall have in the licensee's, |
---|
584 | 584 | | 19 designee's, or agent's possession the licensing documents from the state |
---|
585 | 585 | | 20 seed commissioner cannabis compliance commission evidencing that |
---|
586 | 586 | | 21 the hemp is from certified seed produced by a licensed grower. |
---|
587 | 587 | | 22 SECTION 13. IC 15-15-13-12, AS AMENDED BY P.L.156-2020, |
---|
588 | 588 | | 23 SECTION 63, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
---|
589 | 589 | | 24 JULY 1, 2022]: Sec. 12. The state seed commissioner cannabis |
---|
590 | 590 | | 25 compliance commission is responsible for the following: |
---|
591 | 591 | | 26 (1) Monitoring the hemp grown by any license holder. |
---|
592 | 592 | | 27 (2) Conducting random testing of the hemp for compliance with |
---|
593 | 593 | | 28 tetrahydrocannabinol (THC) levels. The state seed commissioner |
---|
594 | 594 | | 29 cannabis compliance commission may enter into agreements |
---|
595 | 595 | | 30 with one (1) or more laboratories selected by the Indiana state |
---|
596 | 596 | | 31 police department to perform testing under this subdivision. |
---|
597 | 597 | | 32 (3) Establishing necessary testing criteria and protocols, including |
---|
598 | 598 | | 33 a procedure for testing, using post decarboxylation or other |
---|
599 | 599 | | 34 similarly reliable methods, for delta-9-tetrahydrocannabinol |
---|
600 | 600 | | 35 concentration levels of the hemp produced. |
---|
601 | 601 | | 36 (4) Establishing the minimum number of acres to be planted |
---|
602 | 602 | | 37 under each license issued under this chapter. |
---|
603 | 603 | | 38 (5) Regulating any propagative material of a hemp plant. |
---|
604 | 604 | | 39 SECTION 14. IC 15-15-13-13, AS AMENDED BY P.L.190-2019, |
---|
605 | 605 | | 40 SECTION 14, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
---|
606 | 606 | | 41 JULY 1, 2022]: Sec. 13. (a) Subject to section 13.5 of this chapter, in |
---|
607 | 607 | | 42 addition to any other liability or penalty provided by law, the state seed |
---|
608 | 608 | | 2022 IN 1049—LS 6404/DI 77 15 |
---|
609 | 609 | | 1 commissioner cannabis compliance commission may revoke or refuse |
---|
610 | 610 | | 2 to issue or renew a hemp license or an agricultural hemp seed |
---|
611 | 611 | | 3 production license and may impose a civil penalty for a violation of: |
---|
612 | 612 | | 4 (1) a license requirement; |
---|
613 | 613 | | 5 (2) license terms or conditions; |
---|
614 | 614 | | 6 (3) a rule relating to growing or handling hemp; or |
---|
615 | 615 | | 7 (4) section 19 of this chapter. |
---|
616 | 616 | | 8 (b) The state seed commissioner cannabis compliance commission |
---|
617 | 617 | | 9 may not impose a civil penalty under this section that exceeds two |
---|
618 | 618 | | 10 thousand five hundred dollars ($2,500). |
---|
619 | 619 | | 11 (c) The state seed commissioner cannabis compliance commission |
---|
620 | 620 | | 12 may revoke or refuse to issue or renew a hemp license or an |
---|
621 | 621 | | 13 agricultural hemp seed production license for a violation of any rule of |
---|
622 | 622 | | 14 the state seed commissioner cannabis compliance commission that |
---|
623 | 623 | | 15 pertains to agricultural operations or activities other than hemp |
---|
624 | 624 | | 16 growing or handling. |
---|
625 | 625 | | 17 (d) Any civil penalties collected under this section shall be |
---|
626 | 626 | | 18 transferred to the Indiana state department of agriculture and used for |
---|
627 | 627 | | 19 hemp marketing and research purposes. |
---|
628 | 628 | | 20 (e) In addition to payment of any civil penalty imposed under this |
---|
629 | 629 | | 21 section, a person who commits a violation described in subsection (a) |
---|
630 | 630 | | 22 shall reimburse the state seed commissioner cannabis compliance |
---|
631 | 631 | | 23 commission for any costs incurred by the state seed commissioner |
---|
632 | 632 | | 24 cannabis compliance commission for laboratory testing of material |
---|
633 | 633 | | 25 pertaining to the violation. |
---|
634 | 634 | | 26 SECTION 15. IC 15-15-13-13.5, AS AMENDED BY P.L.156-2020, |
---|
635 | 635 | | 27 SECTION 64, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
---|
636 | 636 | | 28 JULY 1, 2022]: Sec. 13.5. (a) Except as provided in subsection (b), the |
---|
637 | 637 | | 29 state seed commissioner cannabis compliance commission shall give |
---|
638 | 638 | | 30 a person who negligently violates this chapter a reasonable time, |
---|
639 | 639 | | 31 determined by the state seed commissioner, cannabis compliance |
---|
640 | 640 | | 32 commission, to correct the violation without imposing a penalty under |
---|
641 | 641 | | 33 section 13 of this chapter. However, the state seed commissioner |
---|
642 | 642 | | 34 cannabis compliance commission may require the person who |
---|
643 | 643 | | 35 committed the violation to comply with a corrective action plan |
---|
644 | 644 | | 36 determined by the state seed commissioner cannabis compliance |
---|
645 | 645 | | 37 commission and report to the state seed commissioner cannabis |
---|
646 | 646 | | 38 compliance commission on compliance with the corrective action |
---|
647 | 647 | | 39 plan. |
---|
648 | 648 | | 40 (b) A person who commits a negligent violation of this chapter three |
---|
649 | 649 | | 41 (3) times in a five (5) year period shall immediately be ineligible to |
---|
650 | 650 | | 42 produce hemp for five (5) years. |
---|
651 | 651 | | 2022 IN 1049—LS 6404/DI 77 16 |
---|
652 | 652 | | 1 (c) If the state seed commissioner cannabis compliance |
---|
653 | 653 | | 2 commission believes that a person has knowingly or intentionally |
---|
654 | 654 | | 3 violated this chapter, the state seed commissioner cannabis |
---|
655 | 655 | | 4 compliance commission shall notify: |
---|
656 | 656 | | 5 (1) the superintendent of the state police department; and |
---|
657 | 657 | | 6 (2) the prosecuting attorney of the county in which the violation |
---|
658 | 658 | | 7 occurred; |
---|
659 | 659 | | 8 of the violation. |
---|
660 | 660 | | 9 (d) A person who commits a negligent violation under this chapter |
---|
661 | 661 | | 10 is subject to a late fee as established by rule adopted by the state seed |
---|
662 | 662 | | 11 commissioner. cannabis compliance commission. |
---|
663 | 663 | | 12 SECTION 16. IC 15-15-13-14, AS AMENDED BY P.L.190-2019, |
---|
664 | 664 | | 13 SECTION 16, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
---|
665 | 665 | | 14 JULY 1, 2022]: Sec. 14. (a) The state seed commissioner cannabis |
---|
666 | 666 | | 15 compliance commission shall adopt rules under IC 4-22-2 to |
---|
667 | 667 | | 16 implement and administer this chapter. |
---|
668 | 668 | | 17 (b) The state seed commissioner cannabis compliance commission |
---|
669 | 669 | | 18 may adopt emergency rules in the manner provided under |
---|
670 | 670 | | 19 IC 4-22-2-37.1 to comply with any federal requirement under the |
---|
671 | 671 | | 20 Agriculture Improvement Act of 2018 to implement and administer this |
---|
672 | 672 | | 21 chapter. |
---|
673 | 673 | | 22 SECTION 17. IC 15-15-13-15 IS REPEALED [EFFECTIVE JULY |
---|
674 | 674 | | 23 1, 2022]. Sec. 15. Before December 31, 2019, the state seed |
---|
675 | 675 | | 24 commissioner, after consultation with the governor, the director of the |
---|
676 | 676 | | 25 state department of agriculture, and the superintendent of the state |
---|
677 | 677 | | 26 police department, shall submit a plan that monitors and regulates the |
---|
678 | 678 | | 27 production of hemp to the United States Department of Agriculture. If |
---|
679 | 679 | | 28 the United States Department of Agriculture disapproves the plan, the |
---|
680 | 680 | | 29 state seed commissioner shall submit an amended plan to the United |
---|
681 | 681 | | 30 States Department of Agriculture. |
---|
682 | 682 | | 31 SECTION 18. IC 15-15-13-16, AS ADDED BY P.L.165-2014, |
---|
683 | 683 | | 32 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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684 | 684 | | 33 JULY 1, 2022]: Sec. 16. (a) The state seed commissioner cannabis |
---|
685 | 685 | | 34 compliance commission shall pay all fees collected under this chapter |
---|
686 | 686 | | 35 to the treasurer of Purdue University. |
---|
687 | 687 | | 36 (b) The board of trustees of Purdue University shall expend the fees |
---|
688 | 688 | | 37 on proper vouchers filed with the treasurer of Purdue University. The |
---|
689 | 689 | | 38 treasurer shall pay vouchers for the following expenses: |
---|
690 | 690 | | 39 (1) The employment of inspectors and seed analysts. |
---|
691 | 691 | | 40 (2) Procuring samples. |
---|
692 | 692 | | 41 (3) Printing bulletins giving the results of inspection. |
---|
693 | 693 | | 42 (4) Any other expenses of the Purdue University agricultural |
---|
694 | 694 | | 2022 IN 1049—LS 6404/DI 77 17 |
---|
695 | 695 | | 1 programs authorized by law and for implementing this chapter. |
---|
696 | 696 | | 2 (c) The dean of agriculture of Purdue University shall make and |
---|
697 | 697 | | 3 submit a financial report to the governor in such form as the state board |
---|
698 | 698 | | 4 of accounts requires, showing the total receipts and expenditures of all |
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699 | 699 | | 5 fees received under this chapter. |
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700 | 700 | | 6 (d) Excess funds from the collection of fees under this chapter are |
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701 | 701 | | 7 subject to IC 15-16-2-36. |
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702 | 702 | | 8 SECTION 19. IC 15-15-13-17, AS AMENDED BY P.L.190-2019, |
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703 | 703 | | 9 SECTION 18, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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704 | 704 | | 10 JULY 1, 2022]: Sec. 17. (a) The seed commissioner cannabis |
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705 | 705 | | 11 compliance commission may keep the: |
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706 | 706 | | 12 (1) names of growers and handlers who are licensed under this |
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707 | 707 | | 13 chapter; and |
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708 | 708 | | 14 (2) locations of licensed hemp crops; |
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709 | 709 | | 15 confidential for purposes of IC 5-14-3. |
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710 | 710 | | 16 (b) The seed commissioner cannabis compliance commission may |
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711 | 711 | | 17 share confidential information under subsection (a) with the state |
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712 | 712 | | 18 police department, law enforcement officers (as defined in |
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713 | 713 | | 19 IC 35-31.5-2-185), and federal enforcement officers (as defined in |
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714 | 714 | | 20 IC 35-31.5-2-129). |
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715 | 715 | | 21 SECTION 20. IC 15-15-13-19, AS ADDED BY P.L.190-2019, |
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716 | 716 | | 22 SECTION 20, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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717 | 717 | | 23 JULY 1, 2022]: Sec. 19. (a) Hemp bud (as defined in IC 35-48-1-17.2) |
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718 | 718 | | 24 and hemp flower (as defined in IC 35-48-1-17.3) may be sold only to |
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719 | 719 | | 25 a processor licensed under this chapter. |
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720 | 720 | | 26 (b) The state seed commissioner cannabis compliance commission |
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721 | 721 | | 27 may impose a civil penalty under section 13 of this chapter for a |
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722 | 722 | | 28 violation of subsection (a). |
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723 | 723 | | 29 SECTION 21. IC 15-15-13-20, AS ADDED BY P.L.190-2019, |
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724 | 724 | | 30 SECTION 21, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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725 | 725 | | 31 JULY 1, 2022]: Sec. 20. (a) A person who knowingly or intentionally |
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726 | 726 | | 32 violates: |
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727 | 727 | | 33 (1) a term, condition, or requirement of a license issued; or |
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728 | 728 | | 34 (2) a rule adopted; |
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729 | 729 | | 35 under this chapter is subject to a civil penalty, determined by the state |
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730 | 730 | | 36 seed commissioner, cannabis compliance commission, not to exceed |
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731 | 731 | | 37 ten thousand dollars ($10,000) per violation. The state seed |
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732 | 732 | | 38 commissioner cannabis compliance commission may also revoke the |
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733 | 733 | | 39 license of a person who violates this subsection. |
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734 | 734 | | 40 (b) A person who knowingly or intentionally: |
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735 | 735 | | 41 (1) grows hemp; |
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736 | 736 | | 42 (2) handles hemp; or |
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737 | 737 | | 2022 IN 1049—LS 6404/DI 77 18 |
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738 | 738 | | 1 (3) sells agricultural hemp seed; |
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739 | 739 | | 2 not including smokable hemp (as defined by IC 35-48-1-26.6), and is |
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740 | 740 | | 3 not licensed under this chapter, commits a Class A misdemeanor. |
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741 | 741 | | 4 SECTION 22. IC 15-16-2-36, AS AMENDED BY P.L.141-2018, |
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742 | 742 | | 5 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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743 | 743 | | 6 JULY 1, 2022]: Sec. 36. (a) Notwithstanding any other law, all excess |
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744 | 744 | | 7 funds accumulated from the fees collected by: |
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745 | 745 | | 8 (1) the state chemist, under this chapter, IC 15-15-2, IC 15-16-4, |
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746 | 746 | | 9 IC 15-16-5, and IC 15-19-7; and |
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747 | 747 | | 10 (2) the state seed commissioner under IC 15-15-1 and, before |
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748 | 748 | | 11 July 1, 2022, IC 15-15-13; and |
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749 | 749 | | 12 (3) after June 30, 2022, the cannabis compliance commission |
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750 | 750 | | 13 under IC 15-15-13; |
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751 | 751 | | 14 shall be paid to the treasurer of Purdue University. The funds shall be |
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752 | 752 | | 15 administered by the board of trustees of Purdue University. |
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753 | 753 | | 16 (b) On approval of the governor and the budget agency, the board |
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754 | 754 | | 17 of trustees may spend the excess funds for the construction, operation, |
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755 | 755 | | 18 rehabilitation, and repair of buildings, structures, or other facilities |
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756 | 756 | | 19 used for: |
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757 | 757 | | 20 (1) carrying out the purposes of those chapters referred to in |
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758 | 758 | | 21 subsection (a) under which the fees are collected; or |
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759 | 759 | | 22 (2) the agricultural programs authorized by law and in support of |
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760 | 760 | | 23 the purposes of the chapters referred to in subsection (a). |
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761 | 761 | | 24 SECTION 23. IC 24-4-21-1, AS AMENDED BY P.L.190-2019, |
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762 | 762 | | 25 SECTION 23, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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763 | 763 | | 26 JULY 1, 2022]: Sec. 1. The following definitions apply throughout this |
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764 | 764 | | 27 chapter: |
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765 | 765 | | 28 (1) "Cannabis compliance commission" means the cannabis |
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766 | 766 | | 29 compliance commission established by IC 7.1-8-2-1. |
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767 | 767 | | 30 (1) (2) "Certificate of analysis" means a certificate from an |
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768 | 768 | | 31 independent testing laboratory describing the results of the |
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769 | 769 | | 32 laboratory's testing of a sample. |
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770 | 770 | | 33 (2) (3) "Independent testing laboratory" means a laboratory: |
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771 | 771 | | 34 (A) with respect to which no person having a direct or indirect |
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772 | 772 | | 35 interest in the laboratory also has a direct or indirect interest |
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773 | 773 | | 36 in a facility that: |
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774 | 774 | | 37 (i) processes, distributes, or sells low THC hemp extract, or |
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775 | 775 | | 38 a substantially similar substance in another jurisdiction; |
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776 | 776 | | 39 (ii) cultivates, processes, distributes, dispenses, or sells |
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777 | 777 | | 40 marijuana; or |
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778 | 778 | | 41 (iii) cultivates, processes, or distributes hemp; and |
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779 | 779 | | 42 (B) that is accredited as a testing laboratory to International |
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780 | 780 | | 2022 IN 1049—LS 6404/DI 77 19 |
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781 | 781 | | 1 Organization for Standardization (ISO) 17025 by a third party |
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782 | 782 | | 2 accrediting body such as the American Association for |
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783 | 783 | | 3 Laboratory Accreditation (A2LA) or Assured Calibration and |
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784 | 784 | | 4 Laboratory Accreditation Select Services (ACLASS). |
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785 | 785 | | 5 (3) (4) "Low THC hemp extract" has the meaning set forth in |
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786 | 786 | | 6 IC 35-48-1-17.5. |
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787 | 787 | | 7 SECTION 24. IC 24-4-21-1.5 IS ADDED TO THE INDIANA |
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788 | 788 | | 8 CODE AS A NEW SECTION TO READ AS FOLLOWS |
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789 | 789 | | 9 [EFFECTIVE JULY 1, 2022]: Sec. 1.5. (a) The cannabis compliance |
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790 | 790 | | 10 commission shall administer and enforce this chapter. |
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791 | 791 | | 11 (b) The cannabis compliance commission may: |
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792 | 792 | | 12 (1) conduct inspections, review certifications, inspect |
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793 | 793 | | 13 packaging, and engage in other enforcement actions to ensure |
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794 | 794 | | 14 compliance with this chapter; and |
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795 | 795 | | 15 (2) seek injunctions and impose civil penalties to enforce this |
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796 | 796 | | 16 chapter. |
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797 | 797 | | 17 SECTION 25. IC 24-4-21-5, AS ADDED BY P.L.153-2018, |
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798 | 798 | | 18 SECTION 9, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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799 | 799 | | 19 JULY 1, 2022]: Sec. 5. (a) This section applies after June 30, 2018. |
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800 | 800 | | 20 (b) A person who distributes low THC hemp extract in violation of |
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801 | 801 | | 21 this chapter commits a Class B infraction. However, the offense is a |
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802 | 802 | | 22 Class A infraction if the person has a prior unrelated judgment for a |
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803 | 803 | | 23 violation of this chapter. |
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804 | 804 | | 24 (c) These The penalties described in this section are in addition to |
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805 | 805 | | 25 any: |
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806 | 806 | | 26 (1) criminal penalties that may be imposed for unlawful |
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807 | 807 | | 27 possession or distribution of a controlled substance; or |
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808 | 808 | | 28 (2) civil penalties or injunctive relief imposed by or sought by |
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809 | 809 | | 29 the cannabis compliance commission. |
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810 | 810 | | 30 SECTION 26. IC 24-4-22-1, AS AMENDED BY P.L.10-2019, |
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811 | 811 | | 31 SECTION 106, IS AMENDED TO READ AS FOLLOWS |
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812 | 812 | | 32 [EFFECTIVE JULY 1, 2022]: Sec. 1. As used in this chapter: |
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813 | 813 | | 33 (1) "cannabis compliance commission" means the cannabis |
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814 | 814 | | 34 compliance commission established by IC 7.1-8-2-1; and |
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815 | 815 | | 35 (2) "low THC hemp extract" has the meaning set forth in |
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816 | 816 | | 36 IC 35-48-1-17.5. |
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817 | 817 | | 37 SECTION 27. IC 24-4-22-4, AS ADDED BY P.L.153-2018, |
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818 | 818 | | 38 SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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819 | 819 | | 39 JULY 1, 2022]: Sec. 4. (a) This section applies after June 30, 2018. |
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820 | 820 | | 40 (b) A person who violates section 3 of this chapter commits a Class |
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821 | 821 | | 41 C infraction. However, the violation is a Class B infraction if the |
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822 | 822 | | 42 person has one (1) prior unrelated judgment for a violation of section |
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823 | 823 | | 2022 IN 1049—LS 6404/DI 77 20 |
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824 | 824 | | 1 3 of this chapter, and a Class A infraction if the person has two (2) or |
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825 | 825 | | 2 more prior unrelated judgments for a violation of section 3 of this |
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826 | 826 | | 3 chapter. |
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827 | 827 | | 4 (c) These The penalties described in this section are in addition to |
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828 | 828 | | 5 any: |
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829 | 829 | | 6 (1) criminal penalties that may be imposed for unlawful |
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830 | 830 | | 7 possession or distribution of a controlled substance; or |
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831 | 831 | | 8 (2) civil penalties or injunctive relief imposed by or sought by |
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832 | 832 | | 9 the cannabis compliance commission. |
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833 | 833 | | 10 SECTION 28. [EFFECTIVE JULY 1, 2022] (a) As used in this |
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834 | 834 | | 11 SECTION, "cannabis compliance commission" means the cannabis |
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835 | 835 | | 12 compliance commission established by IC 7.1-8-2-1, as added by |
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836 | 836 | | 13 this act. |
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837 | 837 | | 14 (b) On July 1, 2022, all powers, duties, agreements, and |
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838 | 838 | | 15 liabilities of the state seed commissioner with respect to hemp and |
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839 | 839 | | 16 industrial hemp are transferred to the cannabis compliance |
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840 | 840 | | 17 commission, as the successor agency. |
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841 | 841 | | 18 (c) On July 1, 2022, all records and property of the state seed |
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842 | 842 | | 19 commissioner relating to hemp and industrial hemp, including |
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843 | 843 | | 20 appropriations and other funds under the control or supervision of |
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844 | 844 | | 21 the state seed commissioner that are designated for the hemp and |
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845 | 845 | | 22 industrial hemp program, are transferred to the cannabis |
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846 | 846 | | 23 compliance commission, as the successor agency. |
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847 | 847 | | 24 (d) After June 30, 2022, any amounts owed to the state seed |
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848 | 848 | | 25 commissioner before July 1, 2022, in connection with hemp and |
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849 | 849 | | 26 industrial hemp are considered to be owed to the cannabis |
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850 | 850 | | 27 compliance commission, as the successor agency. |
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851 | 851 | | 28 (e) After June 30, 2022, a reference to the state seed |
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852 | 852 | | 29 commissioner in a statute, rule, or other document related to |
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853 | 853 | | 30 industrial hemp is considered a reference to the cannabis |
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854 | 854 | | 31 compliance commission, as the successor agency. |
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855 | 855 | | 32 (f) Any rules adopted under IC 15-11-15-3 or IC 15-15-13 by the |
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856 | 856 | | 33 state seed commissioner before July 1, 2022, concerning hemp and |
---|
857 | 857 | | 34 industrial hemp are considered, after June 30, 2022, rules of the |
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858 | 858 | | 35 cannabis compliance commission. |
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859 | 859 | | 36 (g) Proceedings relating to hemp and industrial hemp that are |
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860 | 860 | | 37 pending before the state seed commissioner on July 1, 2022, shall |
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861 | 861 | | 38 be transferred from the state seed commissioner to the cannabis |
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862 | 862 | | 39 compliance commission and treated as if initiated by the cannabis |
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863 | 863 | | 40 compliance commission. |
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864 | 864 | | 41 (h) A license or permit relating to hemp and industrial hemp |
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865 | 865 | | 42 that is issued by the state seed commissioner before July 1, 2022, |
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866 | 866 | | 2022 IN 1049—LS 6404/DI 77 21 |
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867 | 867 | | 1 shall be treated after June 30, 2022, as a license or permit issued by |
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868 | 868 | | 2 the cannabis compliance commission. |
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869 | 869 | | 3 (i) This SECTION expires July 1, 2023. |
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870 | 870 | | 2022 IN 1049—LS 6404/DI 77 |
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