Indiana 2022 Regular Session

Indiana Senate Bill SB0197 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2	Introduced Version
3	3	SENATE BILL No. 197
4	4	_____
5	5	DIGEST OF INTRODUCED BILL
6	6	Citations Affected: IC 2-5-46; IC 7.1-8; IC 15-15-13; IC 15-16-2-36;
7	7	IC 24-4-21; IC 24-4-22.
8	8	Synopsis: Cannabis regulation. Establishes the cannabis compliance
9	9	advisory committee to review and evaluate certain rules, laws, and
10	10	programs. Establishes the cannabis compliance commission to regulate
11	11	all forms of legal cannabis in Indiana, including hemp and low THC
12	12	hemp extract. Makes conforming amendments.
13	13	Effective: July 1, 2022.
14	14	Pol Jr.
15	15	January 10, 2022, read first time and referred to Committee on Commerce and Technology.
16	16	2022 IN 197—LS 6959/DI 77 Introduced
17	17	Second Regular Session of the 122nd General Assembly (2022)
18	18	PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
19	19	Constitution) is being amended, the text of the existing provision will appear in this style type,
20	20	additions will appear in this style type, and deletions will appear in this style type.
21	21	Additions: Whenever a new statutory provision is being enacted (or a new constitutional
22	22	provision adopted), the text of the new provision will appear in this style type. Also, the
23	23	word NEW will appear in that style type in the introductory clause of each SECTION that adds
24	24	a new provision to the Indiana Code or the Indiana Constitution.
25	25	Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
26	26	between statutes enacted by the 2021 Regular Session of the General Assembly.
27	27	SENATE BILL No. 197
28	28	A BILL FOR AN ACT to amend the Indiana Code concerning
29	29	agriculture and animals.
30	30	Be it enacted by the General Assembly of the State of Indiana:
31	31	1 SECTION 1. IC 2-5-46 IS ADDED TO THE INDIANA CODE AS
32	32	2 A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY
33	33	3 1, 2022]:
34	34	4 Chapter 46. Cannabis Compliance Advisory Committee
35	35	5 Sec. 1. The following definitions apply throughout this chapter:
36	36	6 (1) "Advisory committee" means the cannabis compliance
37	37	7 advisory committee established by section 2 of this chapter.
38	38	8 (2) "Cannabis compliance commission" means the
39	39	9 commission established by IC 7.1-8-2-1.
40	40	10 Sec. 2. The cannabis compliance advisory committee is
41	41	11 established.
42	42	12 Sec. 3. (a) The advisory committee consists of the following four
43	43	13 (4) voting members and five (5) nonvoting members:
44	44	14 (1) One (1) legislative member appointed by the speaker of the
45	45	15 house of representatives.
46	46	16 (2) One (1) legislative member appointed by the minority
47	47	17 leader of the house of representatives.
48	48	2022 IN 197—LS 6959/DI 77 2
49	49	1 (3) One (1) legislative member appointed by the president pro
50	50	2 tempore of the senate.
51	51	3 (4) One (1) legislative member appointed by the minority
52	52	4 leader of the senate.
53	53	5 (5) One (1) representative of law enforcement, appointed as a
54	54	6 nonvoting member by the chairperson of the legislative
55	55	7 council.
56	56	8 (6) The commissioner of the department of state revenue or
57	57	9 the commissioner's designee, who serves ex officio as a
58	58	10 nonvoting member.
59	59	11 (7) The director of the department of agriculture or the
60	60	12 director's designee, who serves ex officio as a nonvoting
61	61	13 member.
62	62	14 (8) The state seed commissioner, who serves ex officio as a
63	63	15 nonvoting member.
64	64	16 (9) The executive director of the cannabis compliance
65	65	17 commission or the executive director's designee, who serves
66	66	18 ex officio as a nonvoting member.
67	67	19 (b) The chairperson of the legislative council shall annually
68	68	20 select one (1) of the voting members to serve as chairperson.
69	69	21 Sec. 4. (a) A legislative member of the advisory committee may
70	70	22 be removed at any time by the appointing authority who appointed
71	71	23 the legislative member.
72	72	24 (b) An appointed member of the advisory committee may be
73	73	25 removed at any time by the appointing authority who appointed
74	74	26 the member.
75	75	27 (c) If a vacancy exists on the advisory committee, the appointing
76	76	28 authority who appointed the former member whose position has
77	77	29 become vacant shall appoint an individual to fill the vacancy.
78	78	30 Sec. 5. Each member of the advisory committee is entitled to
79	79	31 receive the same per diem, mileage, and travel allowances paid to
80	80	32 individuals who serve as legislative and lay members, respectively,
81	81	33 of interim study committees established by the legislative council.
82	82	34 Sec. 6. The affirmative votes of a majority of the voting
83	83	35 members appointed to the advisory committee are required for the
84	84	36 advisory committee to take action on any measure, including final
85	85	37 reports.
86	86	38 Sec. 7. The advisory committee shall do the following:
87	87	39 (1) Review rules adopted by the cannabis compliance
88	88	40 commission.
89	89	41 (2) Review legislative proposals suggested by the cannabis
90	90	42 compliance commission.
91	91	2022 IN 197—LS 6959/DI 77 3
92	92	1 (3) Evaluate the cannabis research and development program
93	93	2 under IC 7.1-8-5.
94	94	3 (4) Evaluate the operation of the hemp program under
95	95	4 IC 15-15-13.
96	96	5 (5) Evaluate the processing, packaging, distribution, and sale
97	97	6 of low THC hemp extract under IC 24-4-21 through
98	98	7 IC 24-4-22.
99	99	8 (6) Consider any other matter that relates to cannabis.
100	100	9 SECTION 2. IC 7.1-8 IS ADDED TO THE INDIANA CODE AS A
101	101	10 NEW ARTICLE TO READ AS FOLLOWS [EFFECTIVE JULY 1,
102	102	11 2022]:
103	103	12 ARTICLE 8. CANNABIS REGULATION
104	104	13 Chapter 1. Definitions
105	105	14 Sec. 1. As used in this article, "cannabis" means cannabis that
106	106	15 is legal under Indiana law, including hemp and low THC hemp
107	107	16 extract.
108	108	17 Sec. 2. As used in this article, "commission" refers to the
109	109	18 cannabis compliance commission established by IC 7.1-8-2-1.
110	110	19 Sec. 3. As used in this article, "executive committee" refers to
111	111	20 the cannabis compliance commission executive committee
112	112	21 established by IC 7.1-8-2-2.
113	113	22 Chapter 2. General Provisions
114	114	23 Sec. 1. (a) The cannabis compliance commission is established
115	115	24 to regulate the growth, processing, distribution, and sale of legal
116	116	25 cannabis in Indiana, including hemp and low THC hemp extract.
117	117	26 (b) The commission consists of:
118	118	27 (1) the cannabis compliance commission executive committee;
119	119	28 (2) the executive director; and
120	120	29 (3) other employees necessary to carry out the duties of the
121	121	30 commission.
122	122	31 Sec. 2. (a) The cannabis compliance commission executive
123	123	32 committee is established.
124	124	33 (b) The cannabis compliance commission executive committee
125	125	34 consists of four (4) commissioners, who shall hire the executive
126	126	35 director and direct and oversee the operation of the commission.
127	127	36 Sec. 3. (a) The cannabis compliance commission executive
128	128	37 committee commissioners shall be appointed by the governor.
129	129	38 (b) A commissioner is eligible for reappointment.
130	130	39 (c) Not more than two (2) commissioners may belong to the
131	131	40 same political party.
132	132	41 (d) A commissioner shall be appointed to a four (4) year term.
133	133	42 (e) A commissioner serves the commissioner's term at the
134	134	2022 IN 197—LS 6959/DI 77 4
135	135	1 pleasure of the governor.
136	136	2 Sec. 4. To be eligible for appointment as a commissioner, an
137	137	3 individual must have the following qualifications:
138	138	4 (1) The individual may not be employed by the state in any
139	139	5 other capacity.
140	140	6 (2) The individual must have good moral character.
141	141	7 (3) The individual must have been a resident of Indiana for at
142	142	8 least five (5) years immediately preceding the appointment.
143	143	9 Sec. 5. (a) The governor shall appoint, from among the four (4)
144	144	10 commissioners appointed under section 3(a) of this chapter:
145	145	11 (1) one (1) commissioner to serve as chairperson; and
146	146	12 (2) one (1) commissioner to serve as vice chairperson;
147	147	13 of the executive committee.
148	148	14 (b) The vice chairperson shall act as the chairperson if the
149	149	15 chairperson is unable to attend a meeting of the executive
150	150	16 committee.
151	151	17 Sec. 6. A commissioner appointed to fill a vacancy in the
152	152	18 executive committee shall serve only for the unexpired part of the
153	153	19 original vacated term. In all other respects, an appointment to fill
154	154	20 a vacancy shall be made in the same manner that an original
155	155	21 appointment is made.
156	156	22 Sec. 7. As compensation for services, each commissioner is
157	157	23 entitled to the minimum salary per diem provided by
158	158	24 IC 4-10-11-2.1(b). A commissioner is also entitled to
159	159	25 reimbursement for traveling expenses as provided under
160	160	26 IC 4-13-1-4 and other expenses actually incurred in connection
161	161	27 with the commissioner's duties as provided in the state policies and
162	162	28 procedures established by the Indiana department of
163	163	29 administration and approved by the budget agency.
164	164	30 Sec. 8. (a) Each commissioner shall execute:
165	165	31 (1) a surety bond in the amount of ten thousand dollars
166	166	32 ($10,000), with surety approved by the governor; and
167	167	33 (2) an oath of office.
168	168	34 (b) The surety bond and the oath of office shall be filed in the
169	169	35 office of the secretary of state.
170	170	36 Sec. 9. The required surety bond executed and filed on behalf of
171	171	37 a commissioner shall be made payable to the state of Indiana and
172	172	38 conditioned upon the faithful discharge of the commissioner's
173	173	39 duties.
174	174	40 Sec. 10. (a) The executive committee shall hold meetings at the
175	175	41 call of the chairperson.
176	176	42 (b) The executive committee may establish rules governing
177	177	2022 IN 197—LS 6959/DI 77 5
178	178	1 meetings.
179	179	2 Sec. 11. (a) Three (3) commission commissioners constitute a
180	180	3 quorum for the transaction of business.
181	181	4 (b) Action of the executive committee may be taken only upon
182	182	5 the affirmative votes of at least two (2) commissioners. If a vote is
183	183	6 a tie, the position for which the chairperson voted prevails, as long
184	184	7 as that position has received the affirmative votes of at least two (2)
185	185	8 commissioners.
186	186	9 Sec. 12. A commissioner may not solicit or accept a political
187	187	10 contribution from any individual or entity that has a permit or has
188	188	11 applied for a permit issued by the commission, or that is otherwise
189	189	12 regulated by the commission. However, the right of a commissioner
190	190	13 to vote as the commissioner chooses and to express the
191	191	14 commissioner's opinions on political subjects and candidates may
192	192	15 not be impaired.
193	193	16 Chapter 3. Employees and Administration
194	194	17 Sec. 1. (a) The executive committee shall appoint an executive
195	195	18 director to assist the commission in the efficient administration of
196	196	19 its powers and duties.
197	197	20 (b) The commission executive committee shall fix the salary of
198	198	21 the executive director, subject to the approval of the budget
199	199	22 agency.
200	200	23 (c) The executive director:
201	201	24 (1) is the executive agent of the executive committee in the
202	202	25 administration of the committee's policies; and
203	203	26 (2) has the other powers and duties delegated to the executive
204	204	27 director by the executive committee or specifically assigned to
205	205	28 the executive director by statute.
206	206	29 Sec. 2. The executive director has the power to employ all
207	207	30 necessary employees, determine their duties, and, subject to the
208	208	31 approval of the executive committee and the budget agency, fix
209	209	32 their salaries.
210	210	33 Chapter 4. Powers and Duties
211	211	34 Sec. 1. The chairperson is the presiding officer at the meetings
212	212	35 of the executive committee. The chairperson, together with the
213	213	36 executive director, shall prepare, certify, and authenticate all
214	214	37 proceedings, minutes, records, rules, and regulations of the
215	215	38 executive committee. The chairperson shall also perform all other
216	216	39 duties as imposed on the chairperson by this article.
217	217	40 Sec. 2. (a) The commission has the general power to organize its
218	218	41 work, and to enforce and administer:
219	219	42 (1) this article;
220	220	2022 IN 197—LS 6959/DI 77 6
221	221	1 (2) IC 15-15-13 (hemp);
222	222	2 (3) IC 24-4-21 (distribution of low THC hemp extract);
223	223	3 (4) IC 24-4-22 (sale of low THC hemp extract); and
224	224	4 (5) rules adopted by the commission.
225	225	5 (b) The commission has the following additional powers and
226	226	6 duties:
227	227	7 (1) To have a designated agent, upon presentation of proper
228	228	8 credentials, enter upon private or public property to inspect
229	229	9 for and investigate possible violations of:
230	230	10 (A) this article;
231	231	11 (B) IC 15-15-13 (hemp);
232	232	12 (C) IC 24-4-21 (distribution of low THC hemp extract);
233	233	13 (D) IC 24-4-22 (sale of low THC hemp extract); and
234	234	14 (E) rules adopted by the commission.
235	235	15 (2) To employ or contract for the legal, professional, and
236	236	16 other personnel and assistance that is necessary for the
237	237	17 efficient performance of the commission's duties.
238	238	18 (3) To issue orders to:
239	239	19 (A) secure compliance with:
240	240	20 (i) this article;
241	241	21 (ii) IC 15-15-13 (hemp);
242	242	22 (iii) IC 24-4-21 (distribution of low THC hemp extract);
243	243	23 (iv) IC 24-4-22 (sale of low THC hemp extract); and
244	244	24 (v) rules adopted by the commission; and
245	245	25 (B) assess civil penalties.
246	246	26 (4) To bring an appropriate action in court to:
247	247	27 (A) enforce any order of the commission;
248	248	28 (B) collect any penalties or fees; and
249	249	29 (C) procure or secure compliance with:
250	250	30 (i) this article;
251	251	31 (ii) IC 15-15-13 (hemp);
252	252	32 (iii) IC 24-4-21 (distribution of low THC hemp extract);
253	253	33 (iv) IC 24-4-22 (sale of low THC hemp extract); and
254	254	34 (v) rules adopted by the commission.
255	255	35 (5) To hold hearings before the commission or its
256	256	36 representative.
257	257	37 (6) To take testimony and receive evidence.
258	258	38 (7) To conduct inquiries with or without a hearing.
259	259	39 (8) To receive reports of investigators or other governmental
260	260	40 officers and employees.
261	261	41 (9) To administer oaths.
262	262	42 (10) To subpoena witnesses and to compel them to appear and
263	263	2022 IN 197—LS 6959/DI 77 7
264	264	1 testify.
265	265	2 (11) To certify copies of records of the commission or any
266	266	3 other document or record on file with the commission.
267	267	4 (12) To fix the form, mode, manner, time, and number of
268	268	5 times for the posting or publication of any required notices if
269	269	6 not otherwise provided.
270	270	7 (13) To adopt rules under IC 4-22-2 to carry out:
271	271	8 (A) this article;
272	272	9 (B) IC 15-15-13 (hemp);
273	273	10 (C) IC 24-4-21 (distribution of low THC hemp extract);
274	274	11 and
275	275	12 (D) IC 24-4-22 (sale of low THC hemp extract).
276	276	13 (14) To establish fees for licenses, permits, and applications.
277	277	14 (15) To retain and consult with experts and other consultants.
278	278	15 (16) To carry out any other duties assigned by statute.
279	279	16 Sec. 3. The commission shall adopt rules under IC 4-22-2 to
280	280	17 prescribe the forms for all applications, documents, permits, and
281	281	18 licenses used in the administration of:
282	282	19 (1) this article;
283	283	20 (2) IC 15-15-13 (hemp);
284	284	21 (3) IC 24-4-21 (distribution of low THC hemp extract);
285	285	22 (4) IC 24-4-22 (sale of low THC hemp extract); and
286	286	23 (5) rules adopted by the commission.
287	287	24 Sec. 4. The commission has the following duties:
288	288	25 (1) To regulate, enforce, and carry out the provisions of
289	289	26 IC 15-15-13 (hemp).
290	290	27 (2) To regulate, enforce, and carry out the provisions of
291	291	28 IC 24-4-21 and IC 24-4-22 (distribution and sale of low THC
292	292	29 hemp extract).
293	293	30 (3) To adopt protocols to:
294	294	31 (A) prevent fraud;
295	295	32 (B) ensure the accuracy of information contained in an
296	296	33 application relating to hemp and low THC hemp extract;
297	297	34 and
298	298	35 (C) protect the privacy of an applicant.
299	299	36 (4) To encourage research concerning cannabis and issue
300	300	37 research licenses as described in IC 7.1-8-5.
301	301	38 Chapter 5. Research and Development
302	302	39 Sec. 1. To permit and encourage research concerning cannabis
303	303	40 the following may apply to the commission for a license to conduct
304	304	41 research concerning cannabis:
305	305	42 (1) An accredited institution of higher education with a
306	306	2022 IN 197—LS 6959/DI 77 8
307	307	1 physical presence in Indiana.
308	308	2 (2) A pharmaceutical or agricultural business having a
309	309	3 research facility in Indiana.
310	310	4 Sec. 2. An application under this chapter must include the
311	311	5 following:
312	312	6 (1) The nature of the research project.
313	313	7 (2) The names of the individuals who will conduct the
314	314	8 research project.
315	315	9 (3) The approximate quantity of cannabis that will be used in
316	316	10 the research project.
317	317	11 (4) The security protocol to be implemented to ensure that
318	318	12 cannabis is not diverted for uses other than the research
319	319	13 project.
320	320	14 (5) Any other information required by the commission.
321	321	15 Sec. 3. Upon receipt of a completed application, the commission
322	322	16 may issue a research license to the accredited institution of higher
323	323	17 education or the pharmaceutical or agricultural business. The
324	324	18 research license must specifically list:
325	325	19 (1) the names of each individual participating in the research
326	326	20 project who will have custody or control of cannabis for
327	327	21 research purposes; and
328	328	22 (2) the approximate quantity of cannabis that will be used in
329	329	23 the research project.
330	330	24 Sec. 4. The commission may charge a reasonable fee for issuance
331	331	25 of a research license.
332	332	26 SECTION 3. IC 15-15-13-0.5, AS ADDED BY P.L.165-2014,
333	333	27 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
334	334	28 JULY 1, 2022]: Sec. 0.5. The state seed commissioner cannabis
335	335	29 compliance commission shall administer this chapter.
336	336	30 SECTION 4. IC 15-15-13-1, AS AMENDED BY P.L.190-2019,
337	337	31 SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
338	338	32 JULY 1, 2022]: Sec. 1. (a) Nothing in this chapter authorizes any
339	339	33 person to violate any federal law or regulation.
340	340	34 (b) Nothing in this chapter authorizes the state seed commissioner
341	341	35 to regulate a hemp product.
342	342	36 SECTION 5. IC 15-15-13-2, AS ADDED BY P.L.165-2014,
343	343	37 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
344	344	38 JULY 1, 2022]: Sec. 2. As used in this chapter, "agricultural hemp
345	345	39 seed" means Cannabis sativa seed that meets any labeling, quality, and
346	346	40 other standards set by the state seed commissioner cannabis
347	347	41 compliance commission and that is intended for sale or is sold to, or
348	348	42 purchased by, licensed growers for planting.
349	349	2022 IN 197—LS 6959/DI 77 9
350	350	1 SECTION 6. IC 15-15-13-2.5 IS ADDED TO THE INDIANA
351	351	2 CODE AS A NEW SECTION TO READ AS FOLLOWS
352	352	3 [EFFECTIVE JULY 1, 2022]: Sec. 2.5. As used in this chapter,
353	353	4 "cannabis compliance commission" means the cannabis
354	354	5 compliance commission established by IC 7.1-8-2-1.
355	355	6 SECTION 7. IC 15-15-13-7, AS AMENDED BY P.L.190-2019,
356	356	7 SECTION 8, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
357	357	8 JULY 1, 2022]: Sec. 7. (a) Subject to section 15 of this chapter, The
358	358	9 production of, possession of, scientific study of, and commerce in hemp
359	359	10 is authorized in Indiana. Hemp is subject to regulation by the state seed
360	360	11 commissioner. cannabis compliance commission. The state seed
361	361	12 commissioner cannabis compliance commission shall adopt rules to
362	362	13 oversee the licensing, production, and management of:
363	363	14 (1) hemp; and
364	364	15 (2) agricultural hemp seed.
365	365	16 (b) All growers and handlers must have a hemp license issued by
366	366	17 the state seed commissioner. cannabis compliance commission.
367	367	18 Growers and handlers engaged in the production of agricultural hemp
368	368	19 seed must also have an agricultural hemp seed production license.
369	369	20 (c) An application for a hemp license or agricultural hemp seed
370	370	21 production license must include the following:
371	371	22 (1) The name and address of the applicant.
372	372	23 (2) The name and address of the hemp operation of the applicant.
373	373	24 (3) The global positioning system coordinates and legal
374	374	25 description of the property used for the hemp operation.
375	375	26 (4) If the hemp license or agricultural hemp seed production
376	376	27 license application is made by a grower, the acreage size of the
377	377	28 field where the hemp will be grown.
378	378	29 (5) A statement signed by the applicant, under penalty of perjury,
379	379	30 that the person applying for the hemp license or agricultural hemp
380	380	31 seed production license has not been convicted of a drug related
381	381	32 felony or misdemeanor in the previous ten (10) years.
382	382	33 (6) A written consent allowing the state police department to
383	383	34 conduct a state or national criminal history background check.
384	384	35 (7) A written consent allowing the state police department, the
385	385	36 state seed commissioner, cannabis compliance commission, or
386	386	37 the state seed commissioner's cannabis compliance
387	387	38 commission's authorized representative, if a license is issued to
388	388	39 the applicant, to conduct aerial inspections and to enter the
389	389	40 premises on which the hemp is grown to conduct physical
390	390	41 inspections of hemp planted and grown by the applicant, and to
391	391	42 ensure the plants meet the definition of hemp as set forth in
392	392	2022 IN 197—LS 6959/DI 77 10
393	393	1 section 6 of this chapter.
394	394	2 (8) A nonrefundable application fee, which must include the
395	395	3 amount necessary to conduct a state or national criminal history
396	396	4 background check, in an amount determined by the state seed
397	397	5 commissioner. cannabis compliance commission.
398	398	6 (9) Any other information required by the state seed
399	399	7 commissioner. cannabis compliance commission.
400	400	8 (d) Rules adopted by the state seed commissioner before July 1,
401	401	9 2022, concerning hemp are considered, after June 30, 2022, rules
402	402	10 of the cannabis compliance commission.
403	403	11 SECTION 8. IC 15-15-13-8, AS AMENDED BY P.L.156-2020,
404	404	12 SECTION 62, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
405	405	13 JULY 1, 2022]: Sec. 8. (a) Each license application received under this
406	406	14 chapter must be processed as follows:
407	407	15 (1) Upon receipt of a license application, the state seed
408	408	16 commissioner cannabis compliance commission shall do one (1)
409	409	17 of the following:
410	410	18 (A) Forward a copy of the application to the state police
411	411	19 department. The state police department shall then do the
412	412	20 following:
413	413	21 (i) Perform a state or national criminal history background
414	414	22 check of the applicant.
415	415	23 (ii) Determine if the requirements under section 7(c)(5) of
416	416	24 this chapter concerning prior criminal convictions have been
417	417	25 met.
418	418	26 (iii) Return the application to the state seed commissioner
419	419	27 cannabis compliance commission along with the state
420	420	28 police department's determinations and a copy of the state or
421	421	29 national criminal history background check.
422	422	30 (B) Do the following:
423	423	31 (i) Perform a state or national criminal history background
424	424	32 check of the applicant under the same standards as the state
425	425	33 police department would perform.
426	426	34 (ii) Determine if the requirements under section 7(c)(5) of
427	427	35 this chapter concerning prior criminal convictions have been
428	428	36 met.
429	429	37 (2) The state seed commissioner cannabis compliance
430	430	38 commission shall review the license application and the criminal
431	431	39 history background check.
432	432	40 (b) If the state seed commissioner cannabis compliance
433	433	41 commission determines that all the requirements under this chapter
434	434	42 have been met and that a license should be granted to the applicant, the
435	435	2022 IN 197—LS 6959/DI 77 11
436	436	1 state seed commissioner cannabis compliance commission shall
437	437	2 approve the application for issuance of a license.
438	438	3 (c) A hemp license or agricultural hemp seed production license
439	439	4 expires on December 31 of the year for which the license was issued,
440	440	5 unless revoked. A hemp license or agricultural hemp seed production
441	441	6 license may be renewed in accordance with rules adopted by the state
442	442	7 seed commissioner cannabis compliance commission and is
443	443	8 nontransferable.
444	444	9 SECTION 9. IC 15-15-13-9, AS AMENDED BY P.L.190-2019,
445	445	10 SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
446	446	11 JULY 1, 2022]: Sec. 9. (a) An agricultural hemp seed production
447	447	12 license issued under this chapter authorizes a grower or handler to
448	448	13 produce and handle agricultural hemp seed for sale to licensed hemp
449	449	14 growers and handlers. A seller of agricultural hemp seed shall ensure
450	450	15 that the seed complies with any standards set by the state seed
451	451	16 commissioner. cannabis compliance commission. The state seed
452	452	17 commissioner cannabis compliance commission shall make available
453	453	18 to growers information that identifies sellers of agricultural hemp seed.
454	454	19 (b) A person who sells agricultural hemp seed to a grower must be
455	455	20 a seed distributor who has a permit under IC 15-15-1-34.
456	456	21 (c) All growers and handlers must keep records in accordance with
457	457	22 rules adopted by the state seed commissioner. cannabis compliance
458	458	23 commission. Upon at least three (3) days notice, the state seed
459	459	24 commissioner cannabis compliance commission may audit the
460	460	25 required records during normal business hours. The state seed
461	461	26 commissioner cannabis compliance commission may conduct an
462	462	27 audit for the purpose of ensuring compliance with:
463	463	28 (1) this chapter;
464	464	29 (2) rules adopted by the state seed commissioner; cannabis
465	465	30 compliance commission; or
466	466	31 (3) hemp license or agricultural hemp seed production license
467	467	32 requirements, terms, and conditions.
468	468	33 (d) In addition to an audit conducted in accordance with subsection
469	469	34 (c), the state seed commissioner cannabis compliance commission
470	470	35 may inspect independently, or in cooperation with the state police
471	471	36 department, a federal law enforcement agency, or a local law
472	472	37 enforcement agency, any hemp crop during the crop's growth phase and
473	473	38 take a representative composite sample for field analysis. If a crop
474	474	39 contains an average delta-9-tetrahydrocannabinol (THC) concentration
475	475	40 exceeding three-tenths of one percent (0.3%) on a dry weight basis, the
476	476	41 state seed commissioner cannabis compliance commission may
477	477	42 detain, seize, or embargo the crop.
478	478	2022 IN 197—LS 6959/DI 77 12
479	479	1 (e) The state seed commissioner cannabis compliance commission
480	480	2 may revoke a license issued under this chapter to a person that fails to
481	481	3 cooperate with:
482	482	4 (1) the state seed commissioner; cannabis compliance
483	483	5 commission;
484	484	6 (2) the state police;
485	485	7 (3) a federal law enforcement agency; or
486	486	8 (4) a local law enforcement agency;
487	487	9 in an inspection, or in the taking of a sample, under subsection (d).
488	488	10 (f) A failure to cooperate described in subsection (e) constitutes
489	489	11 probable cause for the state seed commissioner, cannabis compliance
490	490	12 commission, state police, federal law enforcement agency, or local law
491	491	13 enforcement agency to search the premises of the licensee's hemp
492	492	14 operation.
493	493	15 (g) If the state police department, a federal law enforcement agency,
494	494	16 or a local law enforcement agency cooperates with the state seed
495	495	17 commissioner cannabis compliance commission in the detention,
496	496	18 seizure, or embargo of a crop under this section:
497	497	19 (1) the state police department, federal law enforcement agency,
498	498	20 or local law enforcement agency; and
499	499	21 (2) any officer or employee of the state police department, federal
500	500	22 law enforcement agency, or local law enforcement agency who is
501	501	23 involved in the detention, seizure, or embargo;
502	502	24 is immune from civil liability for the detention, seizure, or embargo.
503	503	25 (h) The state seed commissioner cannabis compliance commission
504	504	26 may order a hemp crop that is detained, seized, or embargoed for
505	505	27 noncompliance with this chapter to be destroyed by the owner.
506	506	28 However, except as prohibited by federal law, the grower may appeal
507	507	29 to the state seed commissioner cannabis compliance commission for
508	508	30 the hemp crop to be diverted to a willing licensed processor for
509	509	31 processing and sale for industrial use. A hemp crop that is detained,
510	510	32 seized, or embargoed may not be used for cannabidiol, other extracts,
511	511	33 oil, food, or cosmetic products that are used for humans or animals.
512	512	34 (i) A grower shall reimburse the state seed commissioner cannabis
513	513	35 compliance commission for the cost of testing conducted on the
514	514	36 grower's crop under this section.
515	515	37 SECTION 10. IC 15-15-13-9.5, AS ADDED BY P.L.190-2019,
516	516	38 SECTION 11, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
517	517	39 JULY 1, 2022]: Sec. 9.5. (a) A person who is a handler licensed under
518	518	40 this section may distribute clones and other nonseed propagative
519	519	41 materials of a hemp plant using the person's own labeling, if the
520	520	42 distributor does the following:
521	521	2022 IN 197—LS 6959/DI 77 13
522	522	1 (1) Complies with the requirements of this chapter.
523	523	2 (2) Reports the variety and quantity of each variety of the
524	524	3 propagative material of plant sold.
525	525	4 (3) Pays the inspection fee on the basis of the report.
526	526	5 (4) Labels the propagative material with the information required
527	527	6 by the state seed commissioner. cannabis compliance
528	528	7 commission.
529	529	8 (5) Keeps records to accurately determine the named varieties and
530	530	9 the number of plants of each variety distributed.
531	531	10 (6) Grants the state seed commissioner cannabis compliance
532	532	11 commission or the state seed commissioner's cannabis
533	533	12 compliance commission's authorized representative access to
534	534	13 examine the handler's records and verify the quantity and each
535	535	14 variety of propagative material distributed.
536	536	15 (7) Report, under oath, to the state seed commissioner cannabis
537	537	16 compliance commission on forms furnished by the state seed
538	538	17 commissioner cannabis compliance commission each variety
539	539	18 and quantity of propagative material sold during each semiannual
540	540	19 period.
541	541	20 (8) Any other information or conditions stated in the application.
542	542	21 (b) The state seed commissioner cannabis compliance commission
543	543	22 may revoke a handler's license if the commissioner commission
544	544	23 determines any of the following:
545	545	24 (1) That the licensee has not complied with the requirements
546	546	25 under this chapter.
547	547	26 (2) The report required in subsection (a) has not been submitted
548	548	27 and is more than ten (10) days late.
549	549	28 (3) The report required in subsection (a) contained false
550	550	29 information.
551	551	30 (4) The labeling requirements under this chapter have not been
552	552	31 met.
553	553	32 (c) If the inspection fee has not been paid and is more than ten (10)
554	554	33 days late, the state seed commissioner cannabis compliance
555	555	34 commission shall assess a late fee.
556	556	35 (d) Each year the:
557	557	36 (1) report required under subsection (a)(7); and
558	558	37 (2) inspection fees required under this chapter;
559	559	38 for the period beginning on January 1 and ending on June 30 and for
560	560	39 the period beginning on July 1 and ending on December 31 are due not
561	561	40 more than thirty (30) days after the end of the semiannual period.
562	562	41 SECTION 11. IC 15-15-13-10, AS ADDED BY P.L.165-2014,
563	563	42 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
564	564	2022 IN 197—LS 6959/DI 77 14
565	565	1 JULY 1, 2022]: Sec. 10. The amount of any fees charged growers and
566	566	2 handlers by the state seed commissioner cannabis compliance
567	567	3 commission under this chapter must be sufficient to cover the cost of
568	568	4 the administration of this chapter, including the cost of conducting
569	569	5 audits and testing.
570	570	6 SECTION 12. IC 15-15-13-11, AS AMENDED BY P.L.190-2019,
571	571	7 SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
572	572	8 JULY 1, 2022]: Sec. 11. Only a hemp licensee, the licensee's designee,
573	573	9 or the licensee's agents may be permitted to transport hemp off a
574	574	10 production site. When transporting hemp off the production site, the
575	575	11 hemp licensee, designee, or agent shall have in the licensee's,
576	576	12 designee's, or agent's possession the licensing documents from the state
577	577	13 seed commissioner cannabis compliance commission evidencing that
578	578	14 the hemp is from certified seed produced by a licensed grower.
579	579	15 SECTION 13. IC 15-15-13-12, AS AMENDED BY P.L.156-2020,
580	580	16 SECTION 63, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
581	581	17 JULY 1, 2022]: Sec. 12. The state seed commissioner cannabis
582	582	18 compliance commission is responsible for the following:
583	583	19 (1) Monitoring the hemp grown by any license holder.
584	584	20 (2) Conducting random testing of the hemp for compliance with
585	585	21 tetrahydrocannabinol (THC) levels. The state seed commissioner
586	586	22 cannabis compliance commission may enter into agreements
587	587	23 with one (1) or more laboratories selected by the Indiana state
588	588	24 police department to perform testing under this subdivision.
589	589	25 (3) Establishing necessary testing criteria and protocols, including
590	590	26 a procedure for testing, using post decarboxylation or other
591	591	27 similarly reliable methods, for delta-9-tetrahydrocannabinol
592	592	28 concentration levels of the hemp produced.
593	593	29 (4) Establishing the minimum number of acres to be planted
594	594	30 under each license issued under this chapter.
595	595	31 (5) Regulating any propagative material of a hemp plant.
596	596	32 SECTION 14. IC 15-15-13-13, AS AMENDED BY P.L.190-2019,
597	597	33 SECTION 14, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
598	598	34 JULY 1, 2022]: Sec. 13. (a) Subject to section 13.5 of this chapter, in
599	599	35 addition to any other liability or penalty provided by law, the state seed
600	600	36 commissioner cannabis compliance commission may revoke or refuse
601	601	37 to issue or renew a hemp license or an agricultural hemp seed
602	602	38 production license and may impose a civil penalty for a violation of:
603	603	39 (1) a license requirement;
604	604	40 (2) license terms or conditions;
605	605	41 (3) a rule relating to growing or handling hemp; or
606	606	42 (4) section 19 of this chapter.
607	607	2022 IN 197—LS 6959/DI 77 15
608	608	1 (b) The state seed commissioner cannabis compliance commission
609	609	2 may not impose a civil penalty under this section that exceeds two
610	610	3 thousand five hundred dollars ($2,500).
611	611	4 (c) The state seed commissioner cannabis compliance commission
612	612	5 may revoke or refuse to issue or renew a hemp license or an
613	613	6 agricultural hemp seed production license for a violation of any rule of
614	614	7 the state seed commissioner cannabis compliance commission that
615	615	8 pertains to agricultural operations or activities other than hemp
616	616	9 growing or handling.
617	617	10 (d) Any civil penalties collected under this section shall be
618	618	11 transferred to the Indiana state department of agriculture and used for
619	619	12 hemp marketing and research purposes.
620	620	13 (e) In addition to payment of any civil penalty imposed under this
621	621	14 section, a person who commits a violation described in subsection (a)
622	622	15 shall reimburse the state seed commissioner cannabis compliance
623	623	16 commission for any costs incurred by the state seed commissioner
624	624	17 cannabis compliance commission for laboratory testing of material
625	625	18 pertaining to the violation.
626	626	19 SECTION 15. IC 15-15-13-13.5, AS AMENDED BY P.L.156-2020,
627	627	20 SECTION 64, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
628	628	21 JULY 1, 2022]: Sec. 13.5. (a) Except as provided in subsection (b), the
629	629	22 state seed commissioner cannabis compliance commission shall give
630	630	23 a person who negligently violates this chapter a reasonable time,
631	631	24 determined by the state seed commissioner, cannabis compliance
632	632	25 commission, to correct the violation without imposing a penalty under
633	633	26 section 13 of this chapter. However, the state seed commissioner
634	634	27 cannabis compliance commission may require the person who
635	635	28 committed the violation to comply with a corrective action plan
636	636	29 determined by the state seed commissioner cannabis compliance
637	637	30 commission and report to the state seed commissioner cannabis
638	638	31 compliance commission on compliance with the corrective action
639	639	32 plan.
640	640	33 (b) A person who commits a negligent violation of this chapter three
641	641	34 (3) times in a five (5) year period shall immediately be ineligible to
642	642	35 produce hemp for five (5) years.
643	643	36 (c) If the state seed commissioner cannabis compliance
644	644	37 commission believes that a person has knowingly or intentionally
645	645	38 violated this chapter, the state seed commissioner cannabis
646	646	39 compliance commission shall notify:
647	647	40 (1) the superintendent of the state police department; and
648	648	41 (2) the prosecuting attorney of the county in which the violation
649	649	42 occurred;
650	650	2022 IN 197—LS 6959/DI 77 16
651	651	1 of the violation.
652	652	2 (d) A person who commits a negligent violation under this chapter
653	653	3 is subject to a late fee as established by rule adopted by the state seed
654	654	4 commissioner. cannabis compliance commission.
655	655	5 SECTION 16. IC 15-15-13-14, AS AMENDED BY P.L.190-2019,
656	656	6 SECTION 16, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
657	657	7 JULY 1, 2022]: Sec. 14. (a) The state seed commissioner cannabis
658	658	8 compliance commission shall adopt rules under IC 4-22-2 to
659	659	9 implement and administer this chapter.
660	660	10 (b) The state seed commissioner cannabis compliance commission
661	661	11 may adopt emergency rules in the manner provided under
662	662	12 IC 4-22-2-37.1 to comply with any federal requirement under the
663	663	13 Agriculture Improvement Act of 2018 to implement and administer this
664	664	14 chapter.
665	665	15 SECTION 17. IC 15-15-13-15 IS REPEALED [EFFECTIVE JULY
666	666	16 1, 2022]. Sec. 15. Before December 31, 2019, the state seed
667	667	17 commissioner, after consultation with the governor, the director of the
668	668	18 state department of agriculture, and the superintendent of the state
669	669	19 police department, shall submit a plan that monitors and regulates the
670	670	20 production of hemp to the United States Department of Agriculture. If
671	671	21 the United States Department of Agriculture disapproves the plan, the
672	672	22 state seed commissioner shall submit an amended plan to the United
673	673	23 States Department of Agriculture.
674	674	24 SECTION 18. IC 15-15-13-16, AS ADDED BY P.L.165-2014,
675	675	25 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
676	676	26 JULY 1, 2022]: Sec. 16. (a) The state seed commissioner cannabis
677	677	27 compliance commission shall pay all fees collected under this chapter
678	678	28 to the treasurer of Purdue University.
679	679	29 (b) The board of trustees of Purdue University shall expend the fees
680	680	30 on proper vouchers filed with the treasurer of Purdue University. The
681	681	31 treasurer shall pay vouchers for the following expenses:
682	682	32 (1) The employment of inspectors and seed analysts.
683	683	33 (2) Procuring samples.
684	684	34 (3) Printing bulletins giving the results of inspection.
685	685	35 (4) Any other expenses of the Purdue University agricultural
686	686	36 programs authorized by law and for implementing this chapter.
687	687	37 (c) The dean of agriculture of Purdue University shall make and
688	688	38 submit a financial report to the governor in such form as the state board
689	689	39 of accounts requires, showing the total receipts and expenditures of all
690	690	40 fees received under this chapter.
691	691	41 (d) Excess funds from the collection of fees under this chapter are
692	692	42 subject to IC 15-16-2-36.
693	693	2022 IN 197—LS 6959/DI 77 17
694	694	1 SECTION 19. IC 15-15-13-17, AS AMENDED BY P.L.190-2019,
695	695	2 SECTION 18, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
696	696	3 JULY 1, 2022]: Sec. 17. (a) The seed commissioner cannabis
697	697	4 compliance commission may keep the:
698	698	5 (1) names of growers and handlers who are licensed under this
699	699	6 chapter; and
700	700	7 (2) locations of licensed hemp crops;
701	701	8 confidential for purposes of IC 5-14-3.
702	702	9 (b) The seed commissioner cannabis compliance commission may
703	703	10 share confidential information under subsection (a) with the state
704	704	11 police department, law enforcement officers (as defined in
705	705	12 IC 35-31.5-2-185), and federal enforcement officers (as defined in
706	706	13 IC 35-31.5-2-129).
707	707	14 SECTION 20. IC 15-15-13-19, AS ADDED BY P.L.190-2019,
708	708	15 SECTION 20, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
709	709	16 JULY 1, 2022]: Sec. 19. (a) Hemp bud (as defined in IC 35-48-1-17.2)
710	710	17 and hemp flower (as defined in IC 35-48-1-17.3) may be sold only to
711	711	18 a processor licensed under this chapter.
712	712	19 (b) The state seed commissioner cannabis compliance commission
713	713	20 may impose a civil penalty under section 13 of this chapter for a
714	714	21 violation of subsection (a).
715	715	22 SECTION 21. IC 15-15-13-20, AS ADDED BY P.L.190-2019,
716	716	23 SECTION 21, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
717	717	24 JULY 1, 2022]: Sec. 20. (a) A person who knowingly or intentionally
718	718	25 violates:
719	719	26 (1) a term, condition, or requirement of a license issued; or
720	720	27 (2) a rule adopted;
721	721	28 under this chapter is subject to a civil penalty, determined by the state
722	722	29 seed commissioner, cannabis compliance commission, not to exceed
723	723	30 ten thousand dollars ($10,000) per violation. The state seed
724	724	31 commissioner cannabis compliance commission may also revoke the
725	725	32 license of a person who violates this subsection.
726	726	33 (b) A person who knowingly or intentionally:
727	727	34 (1) grows hemp;
728	728	35 (2) handles hemp; or
729	729	36 (3) sells agricultural hemp seed;
730	730	37 not including smokable hemp (as defined by IC 35-48-1-26.6), and is
731	731	38 not licensed under this chapter, commits a Class A misdemeanor.
732	732	39 SECTION 22. IC 15-16-2-36, AS AMENDED BY P.L.141-2018,
733	733	40 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
734	734	41 JULY 1, 2022]: Sec. 36. (a) Notwithstanding any other law, all excess
735	735	42 funds accumulated from the fees collected by:
736	736	2022 IN 197—LS 6959/DI 77 18
737	737	1 (1) the state chemist, under this chapter, IC 15-15-2, IC 15-16-4,
738	738	2 IC 15-16-5, and IC 15-19-7; and
739	739	3 (2) the state seed commissioner under IC 15-15-1 and, before
740	740	4 July 1, 2022, IC 15-15-13; and
741	741	5 (3) after June 30, 2022, the cannabis compliance commission
742	742	6 under IC 15-15-13;
743	743	7 shall be paid to the treasurer of Purdue University. The funds shall be
744	744	8 administered by the board of trustees of Purdue University.
745	745	9 (b) On approval of the governor and the budget agency, the board
746	746	10 of trustees may spend the excess funds for the construction, operation,
747	747	11 rehabilitation, and repair of buildings, structures, or other facilities
748	748	12 used for:
749	749	13 (1) carrying out the purposes of those chapters referred to in
750	750	14 subsection (a) under which the fees are collected; or
751	751	15 (2) the agricultural programs authorized by law and in support of
752	752	16 the purposes of the chapters referred to in subsection (a).
753	753	17 SECTION 23. IC 24-4-21-1, AS AMENDED BY P.L.190-2019,
754	754	18 SECTION 23, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
755	755	19 JULY 1, 2022]: Sec. 1. The following definitions apply throughout this
756	756	20 chapter:
757	757	21 (1) "Cannabis compliance commission" means the cannabis
758	758	22 compliance commission established by IC 7.1-8-2-1.
759	759	23 (1) (2) "Certificate of analysis" means a certificate from an
760	760	24 independent testing laboratory describing the results of the
761	761	25 laboratory's testing of a sample.
762	762	26 (2) (3) "Independent testing laboratory" means a laboratory:
763	763	27 (A) with respect to which no person having a direct or indirect
764	764	28 interest in the laboratory also has a direct or indirect interest
765	765	29 in a facility that:
766	766	30 (i) processes, distributes, or sells low THC hemp extract, or
767	767	31 a substantially similar substance in another jurisdiction;
768	768	32 (ii) cultivates, processes, distributes, dispenses, or sells
769	769	33 marijuana; or
770	770	34 (iii) cultivates, processes, or distributes hemp; and
771	771	35 (B) that is accredited as a testing laboratory to International
772	772	36 Organization for Standardization (ISO) 17025 by a third party
773	773	37 accrediting body such as the American Association for
774	774	38 Laboratory Accreditation (A2LA) or Assured Calibration and
775	775	39 Laboratory Accreditation Select Services (ACLASS).
776	776	40 (3) (4) "Low THC hemp extract" has the meaning set forth in
777	777	41 IC 35-48-1-17.5.
778	778	42 SECTION 24. IC 24-4-21-1.5 IS ADDED TO THE INDIANA
779	779	2022 IN 197—LS 6959/DI 77 19
780	780	1 CODE AS A NEW SECTION TO READ AS FOLLOWS
781	781	2 [EFFECTIVE JULY 1, 2022]: Sec. 1.5. (a) The cannabis compliance
782	782	3 commission shall administer and enforce this chapter.
783	783	4 (b) The cannabis compliance commission may:
784	784	5 (1) conduct inspections, review certifications, inspect
785	785	6 packaging, and engage in other enforcement actions to ensure
786	786	7 compliance with this chapter; and
787	787	8 (2) seek injunctions and impose civil penalties to enforce this
788	788	9 chapter.
789	789	10 SECTION 25. IC 24-4-21-5, AS ADDED BY P.L.153-2018,
790	790	11 SECTION 9, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
791	791	12 JULY 1, 2022]: Sec. 5. (a) This section applies after June 30, 2018.
792	792	13 (b) A person who distributes low THC hemp extract in violation of
793	793	14 this chapter commits a Class B infraction. However, the offense is a
794	794	15 Class A infraction if the person has a prior unrelated judgment for a
795	795	16 violation of this chapter.
796	796	17 (c) These The penalties described in this section are in addition to
797	797	18 any:
798	798	19 (1) criminal penalties that may be imposed for unlawful
799	799	20 possession or distribution of a controlled substance; or
800	800	21 (2) civil penalties or injunctive relief imposed by or sought by
801	801	22 the cannabis compliance commission.
802	802	23 SECTION 26. IC 24-4-22-1, AS AMENDED BY P.L.10-2019,
803	803	24 SECTION 106, IS AMENDED TO READ AS FOLLOWS
804	804	25 [EFFECTIVE JULY 1, 2022]: Sec. 1. As used in this chapter:
805	805	26 (1) "low THC hemp extract" has the meaning set forth in
806	806	27 IC 35-48-1-17.5; and
807	807	28 (2) "cannabis compliance commission" means the cannabis
808	808	29 compliance commission established by IC 7.1-8-2-1.
809	809	30 SECTION 27. IC 24-4-22-4, AS ADDED BY P.L.153-2018,
810	810	31 SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
811	811	32 JULY 1, 2022]: Sec. 4. (a) This section applies after June 30, 2018.
812	812	33 (b) A person who violates section 3 of this chapter commits a Class
813	813	34 C infraction. However, the violation is a Class B infraction if the
814	814	35 person has one (1) prior unrelated judgment for a violation of section
815	815	36 3 of this chapter, and a Class A infraction if the person has two (2) or
816	816	37 more prior unrelated judgments for a violation of section 3 of this
817	817	38 chapter.
818	818	39 (c) These The penalties described in this section are in addition to
819	819	40 any:
820	820	41 (1) criminal penalties that may be imposed for unlawful
821	821	42 possession or distribution of a controlled substance; or
822	822	2022 IN 197—LS 6959/DI 77 20
823	823	1 (2) civil penalties or injunctive relief imposed by or sought by
824	824	2 the cannabis compliance commission.
825	825	3 SECTION 28. [EFFECTIVE JULY 1, 2022] (a) As used in this
826	826	4 SECTION, "cannabis compliance commission" means the cannabis
827	827	5 compliance commission established by IC 7.1-8-2-1, as added by
828	828	6 this act.
829	829	7 (b) On July 1, 2022, all powers, duties, agreements, and
830	830	8 liabilities of the state seed commissioner with respect to hemp are
831	831	9 transferred to the cannabis compliance commission, as the
832	832	10 successor agency.
833	833	11 (c) On July 1, 2022, all records and property of the state seed
834	834	12 commissioner relating to hemp, including appropriations and other
835	835	13 funds under the control or supervision of the state seed
836	836	14 commissioner that are designated for the hemp program, are
837	837	15 transferred to the cannabis compliance commission, as the
838	838	16 successor agency.
839	839	17 (d) After June 30, 2022, any amounts owed to the state seed
840	840	18 commissioner before July 1, 2022, in connection with hemp are
841	841	19 considered to be owed to the cannabis compliance commission, as
842	842	20 the successor agency.
843	843	21 (e) After June 30, 2022, a reference to the state seed
844	844	22 commissioner in a statute, rule, or other document related to hemp
845	845	23 is considered a reference to the cannabis compliance commission,
846	846	24 as the successor agency.
847	847	25 (f) Any rules adopted under IC 15-15-13 by the state seed
848	848	26 commissioner before July 1, 2022, concerning hemp are
849	849	27 considered, after June 30, 2022, rules of the cannabis compliance
850	850	28 commission.
851	851	29 (g) Proceedings relating to hemp that are pending before the
852	852	30 state seed commissioner on July 1, 2022, shall be transferred from
853	853	31 the state seed commissioner to the cannabis compliance
854	854	32 commission and treated as if initiated by the cannabis compliance
855	855	33 commission.
856	856	34 (h) A license or permit relating to hemp that is issued by the
857	857	35 state seed commissioner before July 1, 2022, shall be treated after
858	858	36 June 30, 2022, as a license or permit issued by the cannabis
859	859	37 compliance commission.
860	860	38 (i) This SECTION expires July 1, 2023.
861	861	2022 IN 197—LS 6959/DI 77