Indiana 2023 Regular Session

Indiana Senate Bill SB0293 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	~~SB0293.1~~
2		-	~~February 15, 2023~~
	1	+
	2	+	Introduced Version
3	3		SENATE BILL No. 293
4	4		_____
5		-	DIGEST OF SB 293 (Updated February 14, 2023 1:50 pm - DI 129)
6		-	Citations Affected: IC 7.1-3; IC 15-15; IC 16-42; IC 24-4;
7		-	IC 35-31.5; IC 35-46; IC 35-48; IC 35-52.
8		-	Synopsis: Craft hemp flower products. Establishes certain regulatory
9		-	testing and packaging requirements for the distribution and sale of craft
10		-	hemp flower products and specifies penalties applicable to the unlawful
11		-	possession or distribution of craft hemp flower products. Prohibits the
12		-	possession of craft hemp flower unless it is being used by a licensee to
13		-	manufacture a legal hemp product, including a craft hemp flower
14		-	product. Provides that a food is not considered adulterated for
	5	+	DIGEST OF INTRODUCED BILL
	6	+	Citations Affected: IC 6-2.5; IC 6-7-5; IC 6-8.1; IC 7.1-3-18.5;
	7	+	IC 15-15-13; IC 16-42-2-2; IC 24-4; IC 35-31.5-2; IC 35-46-1;
	8	+	IC 35-48; IC 35-52-6.
	9	+	Synopsis: Craft hemp flower distribution and taxation. Imposes an
	10	+	excise tax on the retail sale of craft hemp flower products at a rate of
	11	+	8%. Defines "craft hemp flower". Requires a retail dealer to obtain a
	12	+	craft hemp flower products retail dealer's certificate from the
	13	+	department of state revenue (in addition to a retail merchant's
	14	+	certificate). Deposits the revenue from the excise tax in the state
	15	+	general fund. Establishes certain regulatory testing and packaging
	16	+	requirements for the distribution and sale of craft hemp flower.
	17	+	Excludes craft hemp flower from the definition of "hemp product".
	18	+	Removes references to smokable hemp. Repeals a law that requires that
	19	+	a hemp bud or a hemp flower be sold only to a processor licensed in
	20	+	Indiana. Provides that a food is not considered adulterated for
15	21		containing low THC hemp extract or craft hemp flower. Provides that
16		-	craft hemp flower product is not included in the definition of
17		-	"controlled substance analog", "hashish", "low THC hemp extract", or
18		-	"marijuana". Prohibits the sale of low THC hemp extract to a person
19		-	less than 21 years of age, if it contains certain elements. Adds craft
20		-	hemp flower products to a statute imposing an infraction that applies
21		-	with regard to persons less than 21 years of age involving the sale,
22		-	distribution, purchase, and possession of craft hemp flower product.
23		-	Defines terms. Makes conforming changes. Makes technical
24		-	corrections.
	22	+	craft hemp flower is not included in the definition of "controlled
	23	+	substance analog", "hashish", "low THC hemp extract", or "marijuana".
	24	+	Prohibits the sale of low THC hemp extract to a person less than 21
	25	+	years of age, if it contains certain elements. Repeals the definition of
	26	+	"smokable hemp" and criminal penalties concerning smokable hemp.
	27	+	Adds infractions that apply with regard to persons less than 21 years of
	28	+	age involving the sale, distribution, purchase, and possession of craft
	29	+	hemp flower. Makes conforming changes. Makes technical corrections.
25	30		Effective: July 1, 2023.
26		-	Holdman~~, Walker K, Pol Jr.~~
	31	+	Holdman
27	32		January 12, 2023, read first time and referred to Committee on Tax and Fiscal Policy.
28		-	February 14, 2023, amended, reported favorably — Do Pass.
29		-	SB 293—LS 6864/DI 120 February 15, 2023
	33	+	2023 IN 293—LS 6864/DI 120 Introduced
30	34		First Regular Session of the 123rd General Assembly (2023)
31	35		PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
32	36		Constitution) is being amended, the text of the existing provision will appear in this style type,
33	37		additions will appear in this style type, and deletions will appear in this style type.
34	38		Additions: Whenever a new statutory provision is being enacted (or a new constitutional
35	39		provision adopted), the text of the new provision will appear in this style type. Also, the
36	40		word NEW will appear in that style type in the introductory clause of each SECTION that adds
37	41		a new provision to the Indiana Code or the Indiana Constitution.
38	42		Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
39	43		between statutes enacted by the 2022 Regular Session of the General Assembly.
40	44		SENATE BILL No. 293
41		-	A BILL FOR AN ACT to amend the Indiana Code concerning ~~trade~~
42		-	~~regulation~~.
	45	+	A BILL FOR AN ACT to amend the Indiana Code concerning
	46	+	taxation.
43	47		Be it enacted by the General Assembly of the State of Indiana:
44		-	1 SECTION 1. IC 7.1-3-18.5-5, AS AMENDED BY P.L.49-2020,
45		-	2 SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
46		-	3 JULY 1, 2023]: Sec. 5. (a) Subject to subsection (b), the commission
47		-	4 may suspend the certificate of a person who fails to pay a civil penalty
48		-	5 imposed for violating IC 35-46-1-10, IC 35-46-1-10.2, IC 35-46-1-11,
49		-	6 IC 35-46-1-11.2, IC 35-46-1-11.4, IC 35-46-1-11.5, IC 35-46-1-11.7,
50		-	7 or IC 35-46-1-11.8.
51		-	8 (b) Before enforcing the imposition of a civil penalty or suspending
52		-	9 or revoking a certificate under this chapter, the commission shall
53		-	10 provide written notice of the alleged violation to the certificate holder
54		-	11 and conduct a hearing. The commission shall provide written notice of
55		-	12 the civil penalty or suspension or revocation of a certificate to the
56		-	13 certificate holder.
57		-	14 (c) Subject to subsection (b), the commission shall revoke the
58		-	15 certificate of a person upon a finding by a preponderance of the
59		-	16 evidence that the person:
60		-	17 (1) has violated IC 35-45-5-3, IC 35-45-5-3.5, IC 35-45-5-4,
61		-	SB 293—LS 6864/DI 120 2
62		-	1 IC 35-46-1-11, IC 35-46-1-11.2, IC 35-46-1-11.4, or
63		-	2 IC 35-46-1-11.8;
64		-	3 (2) has committed habitual illegal sale of tobacco sales as
65		-	4 established under IC 35-46-1-10.2(j); or
66		-	5 (3) has committed habitual illegal entrance by a minor as
67		-	6 established under IC 35-46-1-11.7(f).
68		-	7 SECTION 2. IC 7.1-3-18.5-9, AS AMENDED BY P.L.49-2020,
69		-	8 SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
70		-	9 JULY 1, 2023]: Sec. 9. A certificate holder shall exercise due diligence
71		-	10 in the supervision and training of the certificate holder's employees or
72		-	11 agents in the handling and sale of tobacco products and electronic
73		-	12 cigarettes on the holder's retail premises. Proof that employees or
74		-	13 agents of the certificate holder, while in the scope of their employment,
75		-	14 committed at least six (6) violations relating to IC 35-46-1-10.2(b)
76		-	15 IC 35-46-1-10.2(c) in any one (1) year period shall be prima facie
77		-	16 evidence of a lack of due diligence by the certificate holder in the
78		-	17 supervision and training of the certificate holder's employees or agents.
79		-	18 SECTION 3. IC 15-15-13-6.7 IS ADDED TO THE INDIANA
80		-	19 CODE AS A NEW SECTION TO READ AS FOLLOWS
81		-	20 [EFFECTIVE JULY 1, 2023]: Sec. 6.7. As used in this chapter,
82		-	21 "work in progress hemp extract" means a compound:
83		-	22 (1) derived from hemp;
84		-	23 (2) intended to be processed into a hemp product;
85		-	24 (3) in a partially processed state;
86		-	25 (4) having a concentration of delta-9 THC that exceeds
87		-	26 three-tenths of one percent (0.3%) by dry weight; and
88		-	27 (5) not marketed for consumer use or consumption.
89		-	28 SECTION 4. IC 15-15-13-11, AS AMENDED BY P.L.190-2019,
	48	+	1 SECTION 1. IC 6-2.5-1-5, AS AMENDED BY P.L.199-2021,
	49	+	2 SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	50	+	3 JULY 1, 2023]: Sec. 5. (a) Except as provided in subsection (b), "gross
	51	+	4 retail income" means the total amount of consideration, including cash,
	52	+	5 credit, property, and services, for which tangible personal property is
	53	+	6 sold, leased, or rented, valued in money, whether received in money or
	54	+	7 otherwise, without any deduction for:
	55	+	8 (1) the seller's cost of the property sold;
	56	+	9 (2) the cost of materials used, labor or service cost, interest,
	57	+	10 losses, all costs of transportation to the seller, all taxes imposed
	58	+	11 on the seller, and any other expense of the seller;
	59	+	12 (3) charges by the seller for any services necessary to complete
	60	+	13 the sale, other than delivery and installation charges;
	61	+	14 (4) delivery charges; or
	62	+	15 (5) consideration received by the seller from a third party if:
	63	+	16 (A) the seller actually receives consideration from a party
	64	+	17 other than the purchaser and the consideration is directly
	65	+	2023 IN 293—LS 6864/DI 120 2
	66	+	1 related to a price reduction or discount on the sale;
	67	+	2 (B) the seller has an obligation to pass the price reduction or
	68	+	3 discount through to the purchaser;
	69	+	4 (C) the amount of the consideration attributable to the sale is
	70	+	5 fixed and determinable by the seller at the time of the sale of
	71	+	6 the item to the purchaser; and
	72	+	7 (D) the price reduction or discount is identified as a third party
	73	+	8 price reduction or discount on the invoice received by the
	74	+	9 purchaser or on a coupon, certificate, or other documentation
	75	+	10 presented by the purchaser.
	76	+	11 For purposes of subdivision (4), delivery charges are charges by the
	77	+	12 seller for preparation and delivery of the property to a location
	78	+	13 designated by the purchaser of property, including but not limited to
	79	+	14 transportation, shipping, postage charges that are not separately stated
	80	+	15 on the invoice, bill of sale, or similar document, handling, crating, and
	81	+	16 packing. Delivery charges do not include postage charges that are
	82	+	17 separately stated on the invoice, bill of sale, or similar document.
	83	+	18 (b) "Gross retail income" does not include that part of the gross
	84	+	19 receipts attributable to:
	85	+	20 (1) the value of any tangible personal property received in a like
	86	+	21 kind exchange in the retail transaction, if the value of the property
	87	+	22 given in exchange is separately stated on the invoice, bill of sale,
	88	+	23 or similar document given to the purchaser;
	89	+	24 (2) the receipts received in a retail transaction which constitute
	90	+	25 interest, finance charges, or insurance premiums on either a
	91	+	26 promissory note or an installment sales contract;
	92	+	27 (3) discounts, including cash, terms, or coupons that are not
	93	+	28 reimbursed by a third party that are allowed by a seller and taken
	94	+	29 by a purchaser on a sale;
	95	+	30 (4) interest, financing, and carrying charges from credit extended
	96	+	31 on the sale of personal property if the amount is separately stated
	97	+	32 on the invoice, bill of sale, or similar document given to the
	98	+	33 purchaser;
	99	+	34 (5) any taxes legally imposed directly on the consumer that are
	100	+	35 separately stated on the invoice, bill of sale, or similar document
	101	+	36 given to the purchaser, including an excise tax imposed under
	102	+	37 IC 6-6-15;
	103	+	38 (6) installation charges that are separately stated on the invoice,
	104	+	39 bill of sale, or similar document given to the purchaser;
	105	+	40 (7) telecommunications nonrecurring charges;
	106	+	41 (8) postage charges that are separately stated on the invoice, bill
	107	+	42 of sale, or similar document; or
	108	+	2023 IN 293—LS 6864/DI 120 3
	109	+	1 (9) charges for serving or delivering food and food ingredients
	110	+	2 furnished, prepared, or served for consumption at a location, or on
	111	+	3 equipment, provided by the retail merchant, to the extent that the
	112	+	4 charges for the serving or delivery are stated separately from the
	113	+	5 price of the food and food ingredients when the purchaser pays
	114	+	6 the charges.
	115	+	7 (c) Notwithstanding subsection (b)(5):
	116	+	8 (1) in the case of retail sales of special fuel (as defined in
	117	+	9 IC 6-6-2.5-22), the gross retail income is the total sales price of
	118	+	10 the special fuel minus the part of that price attributable to tax
	119	+	11 imposed under IC 6-6-2.5 or Section 4041 or Section 4081 of the
	120	+	12 Internal Revenue Code;
	121	+	13 (2) in the case of retail sales of cigarettes (as defined in
	122	+	14 IC 6-7-1-2), the gross retail income is the total sales price of the
	123	+	15 cigarettes including the tax imposed under IC 6-7-1; and
	124	+	16 (3) in the case of retail sales of consumable material (as defined
	125	+	17 in IC 6-7-4-2), vapor products (as defined in IC 6-7-4-8), and
	126	+	18 closed system cartridges (as defined in IC 6-7-2-0.5) under the
	127	+	19 closed system cartridge tax, the gross retail income received from
	128	+	20 selling at retail is the total sales price of the consumable material
	129	+	21 (as defined in IC 6-7-4-2), vapor products (as defined in
	130	+	22 IC 6-7-4-8), and closed system cartridges (as defined in
	131	+	23 IC 6-7-2-0.5) including the tax imposed under IC 6-7-4 and
	132	+	24 IC 6-7-2-7.5; and
	133	+	25 (4) in the case of retail sales of craft hemp flower products (as
	134	+	26 defined in IC 6-7-5-2), the gross retail income received from
	135	+	27 selling at retail is the total sales price of the craft hemp flower
	136	+	28 product, including the tax imposed under IC 6-7-5.
	137	+	29 (d) Gross retail income is only taxable under this article to the
	138	+	30 extent that the income represents:
	139	+	31 (1) the price of the property transferred, without the rendition of
	140	+	32 any services; and
	141	+	33 (2) except as provided in subsection (b), any bona fide charges
	142	+	34 which are made for preparation, fabrication, alteration,
	143	+	35 modification, finishing, completion, delivery, or other service
	144	+	36 performed in respect to the property transferred before its transfer
	145	+	37 and which are separately stated on the transferor's records. For
	146	+	38 purposes of this subdivision, a transfer is considered to have
	147	+	39 occurred after the delivery of the property to the purchaser.
	148	+	40 (e) A public utility's or a power subsidiary's gross retail income
	149	+	41 includes all gross retail income received by the public utility or power
	150	+	42 subsidiary, including any minimum charge, flat charge, membership
	151	+	2023 IN 293—LS 6864/DI 120 4
	152	+	1 fee, or any other form of charge or billing.
	153	+	2 SECTION 2. IC 6-2.5-8-1, AS AMENDED BY P.L.165-2021,
	154	+	3 SECTION 70, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	155	+	4 JULY 1, 2023]: Sec. 1. (a) A retail merchant may not make a retail
	156	+	5 transaction in Indiana, unless the retail merchant has applied for a
	157	+	6 registered retail merchant's certificate.
	158	+	7 (b) A retail merchant may obtain a registered retail merchant's
	159	+	8 certificate by filing an application with the department and paying a
	160	+	9 registration fee of twenty-five dollars ($25) for each place of business
	161	+	10 listed on the application. The retail merchant shall also provide such
	162	+	11 security for payment of the tax as the department may require under
	163	+	12 IC 6-2.5-6-12.
	164	+	13 (c) The retail merchant shall list on the application the location
	165	+	14 (including the township) of each place of business where the retail
	166	+	15 merchant makes retail transactions. However, if the retail merchant
	167	+	16 does not have a fixed place of business, the retail merchant shall list the
	168	+	17 retail merchant's residence as the retail merchant's place of business. In
	169	+	18 addition, a public utility may list only its principal Indiana office as its
	170	+	19 place of business for sales of public utility commodities or service, but
	171	+	20 the utility must also list on the application the places of business where
	172	+	21 it makes retail transactions other than sales of public utility
	173	+	22 commodities or service.
	174	+	23 (d) Upon receiving a proper application, the correct fee, and the
	175	+	24 security for payment, if required, the department shall issue to the retail
	176	+	25 merchant a separate registered retail merchant's certificate for each
	177	+	26 place of business listed on the application. Each certificate shall bear
	178	+	27 a serial number and the location of the place of business for which it is
	179	+	28 issued.
	180	+	29 (e) The department may deny an application for a registered retail
	181	+	30 merchant's certificate if the applicant's business is operated, managed,
	182	+	31 or otherwise controlled by or affiliated with a person, including a
	183	+	32 relative, family member, responsible officer, or owner, who the
	184	+	33 department has determined:
	185	+	34 (1) failed to:
	186	+	35 (A) file all tax returns or information reports with the
	187	+	36 department for listed taxes; or
	188	+	37 (B) pay all taxes, penalties, and interest to the department for
	189	+	38 listed taxes; and
	190	+	39 (2) the business of the person who has failed to file all tax returns
	191	+	40 or information reports under subdivision (1)(A) or who has failed
	192	+	41 to pay all taxes, penalties, and interest under subdivision (1)(B)
	193	+	42 is substantially similar to the business of the applicant.
	194	+	2023 IN 293—LS 6864/DI 120 5
	195	+	1 (f) If a retail merchant intends to make retail transactions during a
	196	+	2 calendar year at a new Indiana place of business, the retail merchant
	197	+	3 must file a supplemental application and pay the fee for that place of
	198	+	4 business.
	199	+	5 (g) Except as provided in subsection (i), a registered retail
	200	+	6 merchant's certificate is valid for two (2) years after the date the
	201	+	7 registered retail merchant's certificate is originally issued or renewed.
	202	+	8 If the retail merchant has filed all returns and remitted all taxes the
	203	+	9 retail merchant is currently obligated to file or remit, the department
	204	+	10 shall renew the registered retail merchant's certificate within thirty (30)
	205	+	11 days after the expiration date, at no cost to the retail merchant. Before
	206	+	12 issuing or renewing the registered retail merchant certification, the
	207	+	13 department may require the following to be provided:
	208	+	14 (1) The names and addresses of the retail merchant's principal
	209	+	15 employees, agents, or representatives who engage in Indiana in
	210	+	16 the solicitation or negotiation of the retail transaction.
	211	+	17 (2) The location of all of the retail merchant's places of business
	212	+	18 in Indiana, including offices and distribution houses.
	213	+	19 (3) Any other information that the department requests.
	214	+	20 (h) The department may not renew a registered retail merchant
	215	+	21 certificate of a retail merchant who is delinquent in remitting
	216	+	22 withholding taxes required to be remitted under IC 6-3-4, the electronic
	217	+	23 cigarette tax under IC 6-7-4, or sales or use tax. The department, at
	218	+	24 least sixty (60) days before the date on which a retail merchant's
	219	+	25 registered retail merchant's certificate expires, shall notify a retail
	220	+	26 merchant who is delinquent in remitting withholding taxes required to
	221	+	27 be remitted under IC 6-3-4, the electronic cigarette tax under IC 6-7-4,
	222	+	28 the craft hemp flower products tax under IC 6-7-5, or sales or use
	223	+	29 tax that the department will not renew the retail merchant's registered
	224	+	30 retail merchant's certificate.
	225	+	31 (i) If:
	226	+	32 (1) a retail merchant has been notified by the department that the
	227	+	33 retail merchant is delinquent in remitting withholding taxes or
	228	+	34 sales or use tax in accordance with subsection (h); and
	229	+	35 (2) the retail merchant pays the outstanding liability before the
	230	+	36 expiration of the retail merchant's registered retail merchant's
	231	+	37 certificate;
	232	+	38 the department shall renew the retail merchant's registered retail
	233	+	39 merchant's certificate for one (1) year.
	234	+	40 (j) The department may permit an out-of-state retail merchant to
	235	+	41 collect the gross retail tax in instances where the retail merchant has
	236	+	42 not met the thresholds in IC 6-2.5-2-1(d). However, before the
	237	+	2023 IN 293—LS 6864/DI 120 6
	238	+	1 out-of-state retail merchant may collect the tax, the out-of-state retail
	239	+	2 merchant must obtain a registered retail merchant's certificate in the
	240	+	3 manner provided by this section. Upon receiving the certificate, the
	241	+	4 out-of-state retail merchant becomes subject to the same conditions and
	242	+	5 duties as an Indiana retail merchant and must then collect the gross
	243	+	6 retail tax due on all retail transactions that the out-of-state retail
	244	+	7 merchant knows are sourced to Indiana pursuant to IC 6-2.5-13-1.
	245	+	8 (k) Except as provided in subsection (l), the department shall submit
	246	+	9 to the township assessor, or the county assessor if there is no township
	247	+	10 assessor for the township, before January 15 of each year:
	248	+	11 (1) the name of each retail merchant that has newly obtained a
	249	+	12 registered retail merchant's certificate during the preceding year
	250	+	13 for a place of business located in the township or county;
	251	+	14 (2) the address of each place of business of the taxpayer in the
	252	+	15 township or county described in subdivision (1);
	253	+	16 (3) the name of each retail merchant that:
	254	+	17 (A) held a registered retail merchant's certificate at any time
	255	+	18 during the preceding year for a place of business located in the
	256	+	19 township or county; and
	257	+	20 (B) had ceased to hold the registered retail merchant's
	258	+	21 certificate at the end of the preceding year for the place of
	259	+	22 business; and
	260	+	23 (4) the address of each place of business described in subdivision
	261	+	24 (3).
	262	+	25 (l) If the duties of the township assessor have been transferred to the
	263	+	26 county assessor as described in IC 6-1.1-1-24, the department shall
	264	+	27 submit the information listed in subsection (k) to the county assessor.
	265	+	28 SECTION 3. IC 6-7-5 IS ADDED TO THE INDIANA CODE AS
	266	+	29 A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY
	267	+	30 1, 2023]:
	268	+	31 Chapter 5. Craft Hemp Flower Products Tax
	269	+	32 Sec. 1. As used in this chapter, "craft hemp flower" has the
	270	+	33 meaning set forth in IC 35-31.5-2-68.8.
	271	+	34 Sec. 2. As used in this chapter, "craft hemp flower product"
	272	+	35 means any craft hemp flower for sale to consumers.
	273	+	36 Sec. 3. As used in this chapter, "department" means the
	274	+	37 department of state revenue and includes its employees and agents.
	275	+	38 Sec. 4. As used in this chapter, "gross retail income" has the
	276	+	39 meaning set forth in IC 6-2.5-1-5.
	277	+	40 Sec. 5. As used in this chapter, "person" has the meaning set
	278	+	41 forth in IC 6-7-1-4.
	279	+	42 Sec. 6. As used in this chapter, "retail dealer" means a person
	280	+	2023 IN 293—LS 6864/DI 120 7
	281	+	1 engaged in selling craft hemp flower products to ultimate
	282	+	2 consumers.
	283	+	3 Sec. 7. (a) An excise tax, known as the craft hemp flower
	284	+	4 products tax, is imposed on the retail sale of craft hemp flower
	285	+	5 products in Indiana.
	286	+	6 (b) The craft hemp flower products tax equals eight percent
	287	+	7 (8%) of the gross retail income received by the retail dealer for the
	288	+	8 sale.
	289	+	9 (c) The person who acquires craft hemp flower products in a
	290	+	10 retail transaction is liable for the tax on the transaction, and,
	291	+	11 except as otherwise incorporated in this chapter, shall pay the tax
	292	+	12 to the retail dealer as a separate added amount to the consideration
	293	+	13 in the transaction. A retail dealer that either:
	294	+	14 (1) has a physical presence in Indiana, as described in
	295	+	15 IC 6-2.5-2-1(c); or
	296	+	16 (2) meets one (1) or both of the thresholds in IC 6-2.5-2-1(d);
	297	+	17 shall collect and remit the tax as an agent for the state.
	298	+	18 (d) If the tax is not collected by the retail dealer, the consumer
	299	+	19 is responsible to remit the tax to the department. A retail dealer
	300	+	20 that is required to collect and remit tax under this chapter is
	301	+	21 jointly and severally liable for uncollected tax absent proof of
	302	+	22 exemption or payment by the purchaser.
	303	+	23 (e) Before the fifteenth day of each month, each retail dealer
	304	+	24 liable for the collection and remittance of the tax imposed by this
	305	+	25 chapter shall:
	306	+	26 (1) file a return with the department that includes all
	307	+	27 information required by the department including, but not
	308	+	28 limited to:
	309	+	29 (A) the name of the retail dealer;
	310	+	30 (B) the address of the retail dealer; and
	311	+	31 (C) the certificate number of the retail dealer's craft hemp
	312	+	32 flower products retail dealer's certificate; and
	313	+	33 (2) pay the tax for which the retail dealer is liable under this
	314	+	34 chapter for the preceding month.
	315	+	35 All returns required to be filed and taxes required to be paid under
	316	+	36 this chapter must be made in an electronic format prescribed by
	317	+	37 the department.
	318	+	38 (f) All of the provisions of IC 6-2.5 relating to rights, duties,
	319	+	39 liabilities, procedures, penalties, definitions, exemptions, and
	320	+	40 administration apply to the imposition and administration of the
	321	+	41 tax imposed under this section, except to the extent such provisions
	322	+	42 are in conflict or inconsistent with the specific provisions of this
	323	+	2023 IN 293—LS 6864/DI 120 8
	324	+	1 chapter.
	325	+	2 (g) A marketplace facilitator (as defined in IC 6-2.5-1-21.9) who
	326	+	3 is considered a retail merchant under IC 6-2.5-4-18 for a
	327	+	4 transaction to which this chapter applies shall collect and remit the
	328	+	5 tax imposed on the retail transaction.
	329	+	6 Sec. 8. (a) It is unlawful for any retail dealer to sell craft hemp
	330	+	7 flower products in Indiana unless the retail dealer has a valid craft
	331	+	8 hemp flower products retail dealer's certificate issued by the
	332	+	9 department.
	333	+	10 (b) The department shall issue certificates to applicants that
	334	+	11 qualify under this section. A certificate issued under this section is
	335	+	12 valid for one (1) year unless revoked or suspended by the
	336	+	13 department and is not transferable. A craft hemp flower products
	337	+	14 retail dealer's certificate may be revoked or suspended by the
	338	+	15 department in the same manner, for the same reasons, and is
	339	+	16 subject to the same procedures as for the revocation or suspension
	340	+	17 of a retail merchant's certificate under IC 6-2.5-8-7. If a retail
	341	+	18 dealer's retail merchant's certificate under IC 6-2.5-8 expires or is
	342	+	19 revoked by the department, a craft hemp flower products retail
	343	+	20 dealer's certificate issued to the retail dealer under this subsection
	344	+	21 shall automatically be revoked without notice otherwise required
	345	+	22 under IC 6-2.5-8.
	346	+	23 (c) An applicant for a certificate under this section must submit
	347	+	24 proof to the department of the appointment of an agent for service
	348	+	25 of process in Indiana if the applicant is:
	349	+	26 (1) an individual whose principal place of residence is outside
	350	+	27 Indiana; or
	351	+	28 (2) a person, other than an individual, that has its principal
	352	+	29 place of business outside Indiana.
	353	+	30 (d) To obtain or renew a certificate under this section, a person
	354	+	31 must:
	355	+	32 (1) submit, for each location where it intends to distribute
	356	+	33 craft hemp flower products, an application that includes all
	357	+	34 information required by the department;
	358	+	35 (2) pay a fee of twenty-five dollars ($25) at the time of
	359	+	36 application; and
	360	+	37 (3) at the time of application, post a bond, issued by a surety
	361	+	38 company approved by the department, in an amount not less
	362	+	39 than one thousand dollars ($1,000) and conditioned on the
	363	+	40 applicant's compliance with this chapter.
	364	+	41 (e) If business is transacted at two (2) or more places by one (1)
	365	+	42 retail dealer, a separate certificate must be obtained for each place
	366	+	2023 IN 293—LS 6864/DI 120 9
	367	+	1 of business.
	368	+	2 (f) Each certificate must be numbered, show the name and
	369	+	3 address of the retail dealer, and be posted in a conspicuous place
	370	+	4 at the place of business for which it is issued.
	371	+	5 (g) If the department determines that a bond provided by a
	372	+	6 certificate is inadequate, the department may require a new bond
	373	+	7 in the amount necessary to fully protect the state.
	374	+	8 Sec. 9. A retail dealer that sells craft hemp flower products in
	375	+	9 Indiana without having obtained a craft hemp flower products
	376	+	10 retail dealer's certificate, or after the retail dealer's certificate has
	377	+	11 been revoked or suspended by the department, commits a Class A
	378	+	12 misdemeanor.
	379	+	13 Sec. 10. An individual who:
	380	+	14 (1) is an individual retail dealer or an employee, an officer, or
	381	+	15 a member of a corporate or partnership retail dealer; and
	382	+	16 (2) has a duty to remit craft hemp flower products taxes to the
	383	+	17 department;
	384	+	18 holds those taxes in trust for the state and is personally liable for
	385	+	19 the payment of those taxes, plus any penalties and interest
	386	+	20 attributable to those taxes, to the state. If the individual knowingly
	387	+	21 fails to collect or remit those taxes to the state, the individual
	388	+	22 commits a Level 6 felony.
	389	+	23 Sec. 11. All revenue from the tax imposed by this chapter must
	390	+	24 be deposited in the state general fund.
	391	+	25 Sec. 12. The department may adopt rules under IC 4-22-2
	392	+	26 necessary to enforce this chapter, including emergency rules under
	393	+	27 IC 4-22-2-37.1.
	394	+	28 SECTION 4. IC 6-8.1-1-1, AS AMENDED BY P.L.138-2022,
90	395		29 SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
91		-	30 JULY 1, 2023]: Sec. 11. Only a hemp licensee, the licensee's designee,
92		-	31 or the licensee's agents may be permitted to transport hemp or work in
93		-	32 progress hemp extract off a production site. When transporting hemp
94		-	33 or work in progress hemp extract off the production site, the hemp
95		-	34 licensee, designee, or agent shall have in the licensee's, designee's, or
96		-	35 agent's possession the licensing documents from the state seed
97		-	36 commissioner evidencing that the hemp or work in progress hemp
98		-	37 extract is from certified seed produced by a licensed grower.
99		-	38 SECTION 5. IC 15-15-13-11.5 IS ADDED TO THE INDIANA
100		-	39 CODE AS A NEW SECTION TO READ AS FOLLOWS
101		-	40 [EFFECTIVE JULY 1, 2023]: Sec. 11.5. (a) Subject to subsection (b),
102		-	41 a handler holding a valid license under this chapter may possess,
103		-	42 manufacture, store, transport, or sell work in progress hemp
104		-	SB 293—LS 6864/DI 120 3
105		-	1 extract.
106		-	2 (b) Work in progress hemp extract may be sold only to a:
107		-	3 (1) handler holding a valid license under this chapter; or
108		-	4 (2) person holding a valid hemp or cannabis license in another
109		-	5 jurisdiction.
110		-	6 SECTION 6. IC 15-15-13-19, AS ADDED BY P.L.190-2019,
111		-	7 SECTION 20, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
112		-	8 JULY 1, 2023]: Sec. 19. (a) Hemp bud (as defined in IC 35-48-1-17.2)
113		-	9 and hemp flower (as defined in IC 35-48-1-17.3) Craft hemp flower
114		-	10 (as defined by IC 35-31.5-2-68.8) may be transported or sold
115		-	11 intrastate only to a processor licensed under this chapter for
116		-	12 processing or manufacturing into a legal hemp product, including
117		-	13 a craft hemp flower product (as defined by IC 35-31.5-2-68.9).
118		-	14 (b) Craft hemp flower may be sold and transported interstate in
119		-	15 accordance with section 11 of this chapter.
120		-	16 (b) (c) The state seed commissioner may impose a civil penalty
121		-	17 under section 13 of this chapter for a violation of subsection (a).
122		-	18 SECTION 7. IC 16-42-2-2 IS AMENDED TO READ AS
123		-	19 FOLLOWS [EFFECTIVE JULY 1, 2023]: Sec. 2. (a) A food is
124		-	20 considered adulterated under any of the following conditions:
125		-	21 (1) If the food bears or contains any poisonous or deleterious
126		-	22 substance that may make the food injurious to health. However,
127		-	23 if the substance is not an added substance, the food is not to be
128		-	24 considered adulterated under this subdivision if the quantity of the
129		-	25 substance in the food does not ordinarily make the food injurious
130		-	26 to health.
131		-	27 (2) If:
132		-	28 (A) the food bears or contains any added poison or added
133		-	29 deleterious substance (other than a poison or a deleterious
134		-	30 substance that is a pesticide chemical in or on a raw
135		-	31 agricultural commodity, a food additive, or a color additive)
136		-	32 that is unsafe within the meaning of section 5 of this chapter;
137		-	33 (B) the food is a raw agricultural commodity and the food
138		-	34 bears or contains a pesticide chemical that is unsafe under
139		-	35 section 5 of this chapter; or
140		-	36 (C) the food is or contains a food additive that is unsafe under
141		-	37 section 5 of this chapter.
142		-	38 However, when a pesticide chemical is used in or on a raw
143		-	39 agricultural commodity in conformity with an exemption granted
144		-	40 or tolerance prescribed under section 5 of this chapter and the raw
145		-	41 agricultural commodity has been subjected to processing such as
146		-	42 canning, cooking, freezing, dehydrating, or milling, the residue of
147		-	SB 293—LS 6864/DI 120 4
148		-	1 the pesticide chemical remaining in or on the processed food,
149		-	2 notwithstanding section 5 of this chapter and clause (C) is not
150		-	3 considered unsafe if the residue in or on the raw agricultural
151		-	4 commodity has been removed to the extent possible in good
152		-	5 manufacturing practice, and the concentration of the residues in
153		-	6 the processed food, when ready to eat, is not greater than the
154		-	7 tolerance prescribed for the raw agricultural commodity.
155		-	8 (3) If the food consists in whole or in part of a diseased,
156		-	9 contaminated, filthy, putrid, or decomposed substance or if the
157		-	10 food is otherwise unfit for food.
158		-	11 (4) If the food has been produced, transported, handled, prepared,
159		-	12 packed, or held under unsanitary conditions or in unsanitary
160		-	13 containers as the result of which the food may have become
161		-	14 contaminated with filth or made diseased, unwholesome, or
162		-	15 injurious to health.
163		-	16 (5) If the food is, in whole or in part, the product of:
164		-	17 (A) a diseased animal;
165		-	18 (B) an animal that has died otherwise than by slaughter; or
166		-	19 (C) an animal that has been fed upon the uncooked offal from
167		-	20 a slaughterhouse.
168		-	21 (6) If the food's container is composed in whole or in part of any
169		-	22 poisonous or deleterious substance that may make the contents
170		-	23 injurious to health.
171		-	24 (7) If the food has been intentionally subjected to radiation, unless
172		-	25 the use of the radiation was in conformity with a rule or an
173		-	26 exemption in effect under section 5 of this chapter.
174		-	27 (8) If any valuable constituent has been in whole or in part
175		-	28 omitted or abstracted from the food.
176		-	29 (9) If any substance has been substituted wholly or in part.
177		-	30 (10) If damage or inferiority has been concealed in any manner.
178		-	31 (11) If any substance has been added to the food or mixed or
179		-	32 packed with the food to:
180		-	33 (A) increase the food's bulk or weight;
181		-	34 (B) reduce the food's quality or strength;
182		-	35 (C) make the food appear better or of greater value than the
183		-	36 food is; or
184		-	37 (D) create a deceptive appearance.
185		-	38 (12) If the food bears or contains a coal-tar color other than one
186		-	39 from a batch that has been certified by the federal Food and Drug
187		-	40 Administrator, as provided by regulations promulgated under
188		-	41 authority of the Federal Act.
189		-	42 (13) If the food is a confectionery and has partially or completely
190		-	SB 293—LS 6864/DI 120 5
191		-	1 imbedded embedded in the food any nonnutritive object.
192		-	2 However, this subdivision does not apply in the case of any
193		-	3 nonnutritive object if, in the judgment of the state department as
194		-	4 provided by rules, the nonnutritive object is of practical,
195		-	5 functional value to the confectionery product and would not make
196		-	6 the product injurious or hazardous to health.
197		-	7 (14) If the food is a confectionery and bears or contains any
198		-	8 alcohol other than alcohol not in excess of one-half of one percent
199		-	9 (0.5%) by volume derived solely from the use of flavoring
200		-	10 extracts.
201		-	11 (15) If the food is a confectionery and bears or contains any
202		-	12 nonnutritive substance. However, this subdivision does not apply
203		-	13 to a safe, nonnutritive substance if:
204		-	14 (A) the nonnutritive substance is in or on a confectionery for
205		-	15 a practical, functional purpose in the manufacture, packaging,
206		-	16 or storing of the confectionery; and
207		-	17 (B) the use of the substance does not promote deception of the
208		-	18 consumer or otherwise result in adulteration or misbranding in
209		-	19 violation of any provision of IC 16-42-1 through IC 16-42-4.
210		-	20 In addition, the state department may, for the purpose of
211		-	21 avoiding or resolving uncertainty as to the application of this
212		-	22 subdivision, adopt rules allowing or prohibiting the use of
213		-	23 particular nonnutritive substances.
214		-	24 (16) If the food falls below the standard of purity, quality, or
215		-	25 strength that the food purports or is represented to possess.
216		-	26 (17) If the food is or bears or contains any color additive that is
217		-	27 unsafe under section 5 of this chapter.
218		-	28 (b) Subsection (a)(8) and (a)(9) do not prohibit:
219		-	29 (1) the removal of butterfat from; or
220		-	30 (2) the addition of skim milk to;
221		-	31 dairy products that comply with the definitions and standards for dairy
222		-	32 products adopted by the state department.
223		-	33 (c) A food is not considered adulterated for containing low THC
224		-	34 hemp extract (as defined in IC 35-48-1-17.5) or craft hemp flower
225		-	35 (as defined in IC 35-31.5-2-68.8).
226		-	36 SECTION 8. IC 24-4-21-4, AS ADDED BY P.L.153-2018,
227		-	37 SECTION 9, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
228		-	38 JULY 1, 2023]: Sec. 4. (a) Except as provided in subsection (b), low
229		-	39 THC hemp extract must be distributed in packaging that contains the
230		-	40 following information:
231		-	41 (1) A scannable bar code or QR code linked to a document that
232		-	42 contains information with respect to the manufacture of the low
233		-	SB 293—LS 6864/DI 120 6
234		-	1 THC hemp extract, including the:
235		-	2 (A) batch identification number;
236		-	3 (B) product name;
237		-	4 (C) batch date;
238		-	5 (D) expiration date, which must be not more than two (2) years
239		-	6 from the date of manufacture;
240		-	7 (E) batch size;
241		-	8 (F) total quantity produced; and
242		-	9 (G) ingredients used, including the:
243		-	10 (i) ingredient name;
244		-	11 (ii) name of the company that manufactured the ingredient;
245		-	12 (iii) company or product identification number or code, if
246		-	13 applicable; and
247		-	14 (iv) ingredient lot number; and
248		-	15 (H) (G) download link for a certificate of analysis for the low
249		-	16 THC hemp extract.
250		-	17 (2) The batch number.
251		-	18 (3) The Internet address of a web site website to obtain batch
252		-	19 information.
253		-	20 (4) The expiration date.
254		-	21 (5) The number of milligrams of low THC hemp extract.
255		-	22 (6) The manufacturer.
256		-	23 (7) The fact that the product contains not more than three-tenths
257		-	24 percent (0.3%) total delta-9-tetrahydrocannabinol (THC),
258		-	25 including precursors, by weight.
259		-	26 (b) Before July 1, 2018, low THC hemp extract may be distributed
260		-	27 in Indiana without having met the requirements described in subsection
261		-	28 (a).
262		-	29 (b) After June 30, 2023, the packaging of low THC hemp extract
263		-	30 may not:
264		-	31 (1) contain any statement, artwork, or design that could
265		-	32 reasonably mislead any person to believe that the package
266		-	33 contains anything other than low THC hemp extract;
267		-	34 (2) bear the likeness or contain a cartoon-like characteristic
268		-	35 of a real or fictional person, animal, or fruit that appeals to
269		-	36 children; or
270		-	37 (3) bear an unauthorized trademark, trade name, famous
271		-	38 mark, or other identifying mark, imprint, or device, or any
272		-	39 likeness thereof.
273		-	40 SECTION 9. IC 24-4-22-3, AS ADDED BY P.L.153-2018,
274		-	41 SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
275		-	42 JULY 1, 2023]: Sec. 3. (a) Except as provided in subsection (b), A
276		-	SB 293—LS 6864/DI 120 7
277		-	1 person may sell low THC hemp extract at retail only if the packaging
278		-	2 complies with the requirements of IC 24-4-21-4.
279		-	3 (b) Before July 1, 2018, a person may sell low THC hemp extract at
280		-	4 retail even if the packaging does not comply with the requirements of
281		-	5 IC 24-4-21-4.
282		-	6 (b) Beginning July 1, 2023, no low THC hemp extract
283		-	7 containing:
284		-	8 (1) Delta-8 THC;
285		-	9 (2) Delta-10 THC;
286		-	10 (3) Hexahydrocannabinol (HHC);
287		-	11 (4) Tetrahydrocannabinol acetate ester (THCo);
288		-	12 (5) Tetrahydrocannabiporol (THCp); or
289		-	13 (6) Tetrahydrocannabivarin (THCv);
290		-	14 may be distributed, sold, or offered for sale at retail or online to a
291		-	15 person who is less than twenty-one (21) years of age.
292		-	16 (c) Any website owned, managed, or operated by a person who
293		-	17 distributes or sells a product containing:
	396	+	30 JULY 1, 2023]: Sec. 1. "Listed taxes" or "taxes" includes only the
	397	+	31 pari-mutuel taxes (IC 4-31-9-3 through IC 4-31-9-5); the supplemental
	398	+	32 wagering tax (IC 4-33-12); the riverboat wagering tax (IC 4-33-13); the
	399	+	33 slot machine wagering tax (IC 4-35-8); the type II gambling game
	400	+	34 excise tax (IC 4-36-9); the gross income tax (IC 6-2.1) (repealed); the
	401	+	35 utility receipts and utility services use taxes (IC 6-2.3) (repealed); the
	402	+	36 state gross retail and use taxes (IC 6-2.5); the adjusted gross income tax
	403	+	37 (IC 6-3); the supplemental net income tax (IC 6-3-8) (repealed); the
	404	+	38 county adjusted gross income tax (IC 6-3.5-1.1) (repealed); the county
	405	+	39 option income tax (IC 6-3.5-6) (repealed); the county economic
	406	+	40 development income tax (IC 6-3.5-7) (repealed); the local income tax
	407	+	41 (IC 6-3.6); the auto rental excise tax (IC 6-6-9); the financial
	408	+	42 institutions tax (IC 6-5.5); the gasoline tax (IC 6-6-1.1); the special fuel
	409	+	2023 IN 293—LS 6864/DI 120 10
	410	+	1 tax (IC 6-6-2.5); the motor carrier fuel tax (IC 6-6-4.1); a motor fuel tax
	411	+	2 collected under a reciprocal agreement under IC 6-8.1-3; the vehicle
	412	+	3 excise tax (IC 6-6-5); the aviation fuel excise tax (IC 6-6-13); the
	413	+	4 commercial vehicle excise tax (IC 6-6-5.5); the excise tax imposed on
	414	+	5 recreational vehicles and truck campers (IC 6-6-5.1); the hazardous
	415	+	6 waste disposal tax (IC 6-6-6.6) (repealed); the heavy equipment rental
	416	+	7 excise tax (IC 6-6-15); the vehicle sharing excise tax (IC 6-6-16); the
	417	+	8 cigarette tax (IC 6-7-1); the closed system cartridge tax (IC 6-7-2-7.5);
	418	+	9 the electronic cigarette tax (IC 6-7-4); the craft hemp flower products
	419	+	10 tax (IC 6-7-5); the beer excise tax (IC 7.1-4-2); the liquor excise tax
	420	+	11 (IC 7.1-4-3); the wine excise tax (IC 7.1-4-4); the hard cider excise tax
	421	+	12 (IC 7.1-4-4.5); the petroleum severance tax (IC 6-8-1); the various
	422	+	13 innkeeper's taxes (IC 6-9); the various food and beverage taxes (IC
	423	+	14 6-9); the county admissions tax (IC 6-9-13 and IC 6-9-28); the oil
	424	+	15 inspection fee (IC 16-44-2); the penalties assessed for oversize vehicles
	425	+	16 (IC 9-20-3 and IC 9-20-18); the fees and penalties assessed for
	426	+	17 overweight vehicles (IC 9-20-4 and IC 9-20-18); and any other tax or
	427	+	18 fee that the department is required to collect or administer.
	428	+	19 SECTION 5. IC 6-8.1-3-16, AS AMENDED BY P.L.165-2021,
	429	+	20 SECTION 121, IS AMENDED TO READ AS FOLLOWS
	430	+	21 [EFFECTIVE JULY 1, 2023]: Sec. 16. (a) The department shall
	431	+	22 prepare a list of all outstanding tax warrants for listed taxes each
	432	+	23 month. The list shall identify each taxpayer liable for a warrant by
	433	+	24 name, address, amount of tax, and either Social Security number or
	434	+	25 employer identification number. Unless the department renews the
	435	+	26 warrant, the department shall exclude from the list a warrant issued
	436	+	27 more than ten (10) years before the date of the list. The department
	437	+	28 shall certify a copy of the list to the bureau of motor vehicles.
	438	+	29 (b) The department shall prescribe and furnish tax release forms for
	439	+	30 use by tax collecting officials. A tax collecting official who collects
	440	+	31 taxes in satisfaction of an outstanding warrant shall issue to the
	441	+	32 taxpayers named on the warrant a tax release stating that the tax has
	442	+	33 been paid. The department may also issue a tax release:
	443	+	34 (1) to a taxpayer who has made arrangements satisfactory to the
	444	+	35 department for the payment of the tax; or
	445	+	36 (2) by action of the commissioner under IC 6-8.1-8-2(k).
	446	+	37 (c) The department may not issue or renew:
	447	+	38 (1) a certificate under IC 6-2.5-8, or IC 6-7-4, or IC 6-7-5;
	448	+	39 (2) a license under IC 6-6-1.1 or IC 6-6-2.5; or
	449	+	40 (3) a permit under IC 6-6-4.1;
	450	+	41 to a taxpayer whose name appears on the most recent monthly warrant
	451	+	42 list, unless that taxpayer pays the tax, makes arrangements satisfactory
	452	+	2023 IN 293—LS 6864/DI 120 11
	453	+	1 to the department for the payment of the tax, or a release is issued
	454	+	2 under IC 6-8.1-8-2(k).
	455	+	3 (d) The bureau of motor vehicles shall, before issuing the title to a
	456	+	4 motor vehicle under IC 9-17, determine whether the purchaser's or
	457	+	5 assignee's name is on the most recent monthly warrant list. If the
	458	+	6 purchaser's or assignee's name is on the list, the bureau shall enter as
	459	+	7 a lien on the title the name of the state as the lienholder unless the
	460	+	8 bureau has received notice from the commissioner under
	461	+	9 IC 6-8.1-8-2(k). The tax lien on the title:
	462	+	10 (1) is subordinate to a perfected security interest (as defined and
	463	+	11 perfected in accordance with IC 26-1-9.1); and
	464	+	12 (2) shall otherwise be treated in the same manner as other title
	465	+	13 liens.
	466	+	14 (e) The commissioner is the custodian of all titles for which the state
	467	+	15 is the sole lienholder under this section. Upon receipt of the title by the
	468	+	16 department, the commissioner shall notify the owner of the
	469	+	17 department's receipt of the title.
	470	+	18 (f) The department shall reimburse the bureau of motor vehicles for
	471	+	19 all costs incurred in carrying out this section.
	472	+	20 (g) Notwithstanding IC 6-8.1-8, a person who is authorized to
	473	+	21 collect taxes, interest, or penalties on behalf of the department under
	474	+	22 IC 6-3 or IC 6-3.6 may not, except as provided in subsection (h) or (i),
	475	+	23 receive a fee for collecting the taxes, interest, or penalties if:
	476	+	24 (1) the taxpayer pays the taxes, interest, or penalties as
	477	+	25 consideration for the release of a lien placed under subsection (d)
	478	+	26 on a motor vehicle title; or
	479	+	27 (2) the taxpayer has been denied a certificate or license under
	480	+	28 subsection (c) within sixty (60) days before the date the taxes,
	481	+	29 interest, or penalties are collected.
	482	+	30 (h) In the case of a sheriff, subsection (g) does not apply if:
	483	+	31 (1) the sheriff collects the taxes, interest, or penalties within sixty
	484	+	32 (60) days after the date the sheriff receives the tax warrant; or
	485	+	33 (2) the sheriff collects the taxes, interest, or penalties through the
	486	+	34 sale or redemption, in a court proceeding, of a motor vehicle that
	487	+	35 has a lien placed on its title under subsection (d).
	488	+	36 (i) In the case of a person other than a sheriff:
	489	+	37 (1) subsection (g)(2) does not apply if the person collects the
	490	+	38 taxes, interests, or penalties within sixty (60) days after the date
	491	+	39 the commissioner employs the person to make the collection; and
	492	+	40 (2) subsection (g)(1) does not apply if the person collects the
	493	+	41 taxes, interest, or penalties through the sale or redemption, in a
	494	+	42 court proceeding, of a motor vehicle that has a lien placed on its
	495	+	2023 IN 293—LS 6864/DI 120 12
	496	+	1 title under subsection (d).
	497	+	2 (j) IC 5-14-3-4, IC 6-8.1-7-1, and any other law exempting
	498	+	3 information from disclosure by the department do not apply to this
	499	+	4 subsection. The department shall prepare a list of retail merchants
	500	+	5 whose registered retail merchant certificate has not been renewed
	501	+	6 under IC 6-2.5-8-1(h) or whose registered retail merchant certificate
	502	+	7 has been revoked under IC 6-2.5-8-7, or whose electronic cigarette
	503	+	8 retail dealer's certificate has been revoked or suspended under
	504	+	9 IC 6-7-4-10, or whose craft hemp flower products retail dealer's
	505	+	10 certificate has been revoked or suspended under IC 6-7-5-8. The list
	506	+	11 compiled under this subsection must identify each retail merchant by
	507	+	12 name (including any name under which the retail merchant is doing
	508	+	13 business), address, and county. The department shall publish the list
	509	+	14 compiled under this subsection on the department's Internet web site
	510	+	15 website (as operated under IC 4-13.1-2) and make the list available for
	511	+	16 public inspection and copying under IC 5-14-3. The department or an
	512	+	17 agent, employee, or officer of the department is immune from liability
	513	+	18 for the publication of information under this subsection.
	514	+	19 SECTION 6. IC 7.1-3-18.5-5, AS AMENDED BY P.L.49-2020,
	515	+	20 SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	516	+	21 JULY 1, 2023]: Sec. 5. (a) Subject to subsection (b), the commission
	517	+	22 may suspend the certificate of a person who fails to pay a civil penalty
	518	+	23 imposed for violating IC 35-46-1-10, IC 35-46-1-10.2, IC 35-46-1-11,
	519	+	24 IC 35-46-1-11.2, IC 35-46-1-11.4, IC 35-46-1-11.5, IC 35-46-1-11.7,
	520	+	25 or IC 35-46-1-11.8.
	521	+	26 (b) Before enforcing the imposition of a civil penalty or suspending
	522	+	27 or revoking a certificate under this chapter, the commission shall
	523	+	28 provide written notice of the alleged violation to the certificate holder
	524	+	29 and conduct a hearing. The commission shall provide written notice of
	525	+	30 the civil penalty or suspension or revocation of a certificate to the
	526	+	31 certificate holder.
	527	+	32 (c) Subject to subsection (b), the commission shall revoke the
	528	+	33 certificate of a person upon a finding by a preponderance of the
	529	+	34 evidence that the person:
	530	+	35 (1) has violated IC 35-45-5-3, IC 35-45-5-3.5, IC 35-45-5-4,
	531	+	36 IC 35-46-1-11, IC 35-46-1-11.2, IC 35-46-1-11.4, or
	532	+	37 IC 35-46-1-11.8;
	533	+	38 (2) has committed habitual illegal sale of tobacco sales as
	534	+	39 established under IC 35-46-1-10.2(j); or
	535	+	40 (3) has committed habitual illegal entrance by a minor as
	536	+	41 established under IC 35-46-1-11.7(f).
	537	+	42 SECTION 7. IC 7.1-3-18.5-9, AS AMENDED BY P.L.49-2020,
	538	+	2023 IN 293—LS 6864/DI 120 13
	539	+	1 SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	540	+	2 JULY 1, 2023]: Sec. 9. A certificate holder shall exercise due diligence
	541	+	3 in the supervision and training of the certificate holder's employees or
	542	+	4 agents in the handling and sale of tobacco products and electronic
	543	+	5 cigarettes on the holder's retail premises. Proof that employees or
	544	+	6 agents of the certificate holder, while in the scope of their employment,
	545	+	7 committed at least six (6) violations relating to IC 35-46-1-10.2(b)
	546	+	8 IC 35-46-1-10.2(c) in any one (1) year period shall be prima facie
	547	+	9 evidence of a lack of due diligence by the certificate holder in the
	548	+	10 supervision and training of the certificate holder's employees or agents.
	549	+	11 SECTION 8. IC 15-15-13-6.5, AS ADDED BY P.L.190-2019,
	550	+	12 SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	551	+	13 JULY 1, 2023]: Sec. 6.5. As used in this chapter, "hemp product"
	552	+	14 means a product derived from, or made by, processing hemp plants or
	553	+	15 plant parts including derivatives, extracts, cannabinoids, isomers, acids,
	554	+	16 salts, and salts of isomers. However, the term does not include
	555	+	17 (1) smokable hemp (as defined by IC 35-48-1-26.6); or
	556	+	18 (2) products that contain a total delta-9-tetrahydrocannabinol
	557	+	19 concentration of more than three-tenths of one percent (0.3%) by
	558	+	20 weight.
	559	+	21 SECTION 9. IC 15-15-13-13, AS AMENDED BY P.L.190-2019,
	560	+	22 SECTION 14, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	561	+	23 JULY 1, 2023]: Sec. 13. (a) Subject to section 13.5 of this chapter, in
	562	+	24 addition to any other liability or penalty provided by law, the state seed
	563	+	25 commissioner may revoke or refuse to issue or renew a hemp license
	564	+	26 or an agricultural hemp seed production license and may impose a civil
	565	+	27 penalty for a violation of:
	566	+	28 (1) a license requirement;
	567	+	29 (2) license terms or conditions; or
	568	+	30 (3) a rule relating to growing or handling hemp. or
	569	+	31 (4) section 19 of this chapter.
	570	+	32 (b) The state seed commissioner may not impose a civil penalty
	571	+	33 under this section that exceeds two thousand five hundred dollars
	572	+	34 ($2,500).
	573	+	35 (c) The state seed commissioner may revoke or refuse to issue or
	574	+	36 renew a hemp license or an agricultural hemp seed production license
	575	+	37 for a violation of any rule of the state seed commissioner that pertains
	576	+	38 to agricultural operations or activities other than hemp growing or
	577	+	39 handling.
	578	+	40 (d) Any civil penalties collected under this section shall be
	579	+	41 transferred to the Indiana state department of agriculture and used for
	580	+	42 hemp marketing and research purposes.
	581	+	2023 IN 293—LS 6864/DI 120 14
	582	+	1 (e) In addition to payment of any civil penalty imposed under this
	583	+	2 section, a person who commits a violation described in subsection (a)
	584	+	3 shall reimburse the state seed commissioner for any costs incurred by
	585	+	4 the state seed commissioner for laboratory testing of material
	586	+	5 pertaining to the violation.
	587	+	6 SECTION 10. IC 15-15-13-19 IS REPEALED [EFFECTIVE JULY
	588	+	7 1, 2023]. Sec. 19. (a) Hemp bud (as defined in IC 35-48-1-17.2) and
	589	+	8 hemp flower (as defined in IC 35-48-1-17.3) may be sold only to a
	590	+	9 processor licensed under this chapter.
	591	+	10 (b) The state seed commissioner may impose a civil penalty under
	592	+	11 section 13 of this chapter for a violation of subsection (a).
	593	+	12 SECTION 11. IC 15-15-13-20, AS ADDED BY P.L.190-2019,
	594	+	13 SECTION 21, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	595	+	14 JULY 1, 2023]: Sec. 20. (a) A person who knowingly or intentionally
	596	+	15 violates:
	597	+	16 (1) a term, condition, or requirement of a license issued; or
	598	+	17 (2) a rule adopted;
	599	+	18 under this chapter is subject to a civil penalty, determined by the state
	600	+	19 seed commissioner, not to exceed ten thousand dollars ($10,000) per
	601	+	20 violation. The state seed commissioner may also revoke the license of
	602	+	21 a person who violates this subsection.
	603	+	22 (b) A person who knowingly or intentionally:
	604	+	23 (1) grows hemp;
	605	+	24 (2) handles hemp; or
	606	+	25 (3) sells agricultural hemp seed;
	607	+	26 not including smokable hemp (as defined by IC 35-48-1-26.6), and is
	608	+	27 not licensed under this chapter commits a Class A misdemeanor.
	609	+	28 SECTION 12. IC 16-42-2-2 IS AMENDED TO READ AS
	610	+	29 FOLLOWS [EFFECTIVE JULY 1, 2023]: Sec. 2. (a) A food is
	611	+	30 considered adulterated under any of the following conditions:
	612	+	31 (1) If the food bears or contains any poisonous or deleterious
	613	+	32 substance that may make the food injurious to health. However,
	614	+	33 if the substance is not an added substance, the food is not to be
	615	+	34 considered adulterated under this subdivision if the quantity of the
	616	+	35 substance in the food does not ordinarily make the food injurious
	617	+	36 to health.
	618	+	37 (2) If:
	619	+	38 (A) the food bears or contains any added poison or added
	620	+	39 deleterious substance (other than a poison or a deleterious
	621	+	40 substance that is a pesticide chemical in or on a raw
	622	+	41 agricultural commodity, a food additive, or a color additive)
	623	+	42 that is unsafe within the meaning of section 5 of this chapter;
	624	+	2023 IN 293—LS 6864/DI 120 15
	625	+	1 (B) the food is a raw agricultural commodity and the food
	626	+	2 bears or contains a pesticide chemical that is unsafe under
	627	+	3 section 5 of this chapter; or
	628	+	4 (C) the food is or contains a food additive that is unsafe under
	629	+	5 section 5 of this chapter.
	630	+	6 However, when a pesticide chemical is used in or on a raw
	631	+	7 agricultural commodity in conformity with an exemption granted
	632	+	8 or tolerance prescribed under section 5 of this chapter and the raw
	633	+	9 agricultural commodity has been subjected to processing such as
	634	+	10 canning, cooking, freezing, dehydrating, or milling, the residue of
	635	+	11 the pesticide chemical remaining in or on the processed food,
	636	+	12 notwithstanding section 5 of this chapter and clause (C) is not
	637	+	13 considered unsafe if the residue in or on the raw agricultural
	638	+	14 commodity has been removed to the extent possible in good
	639	+	15 manufacturing practice, and the concentration of the residues in
	640	+	16 the processed food, when ready to eat, is not greater than the
	641	+	17 tolerance prescribed for the raw agricultural commodity.
	642	+	18 (3) If the food consists in whole or in part of a diseased,
	643	+	19 contaminated, filthy, putrid, or decomposed substance or if the
	644	+	20 food is otherwise unfit for food.
	645	+	21 (4) If the food has been produced, transported, handled, prepared,
	646	+	22 packed, or held under unsanitary conditions or in unsanitary
	647	+	23 containers as the result of which the food may have become
	648	+	24 contaminated with filth or made diseased, unwholesome, or
	649	+	25 injurious to health.
	650	+	26 (5) If the food is, in whole or in part, the product of:
	651	+	27 (A) a diseased animal;
	652	+	28 (B) an animal that has died otherwise than by slaughter; or
	653	+	29 (C) an animal that has been fed upon the uncooked offal from
	654	+	30 a slaughterhouse.
	655	+	31 (6) If the food's container is composed in whole or in part of any
	656	+	32 poisonous or deleterious substance that may make the contents
	657	+	33 injurious to health.
	658	+	34 (7) If the food has been intentionally subjected to radiation, unless
	659	+	35 the use of the radiation was in conformity with a rule or an
	660	+	36 exemption in effect under section 5 of this chapter.
	661	+	37 (8) If any valuable constituent has been in whole or in part
	662	+	38 omitted or abstracted from the food.
	663	+	39 (9) If any substance has been substituted wholly or in part.
	664	+	40 (10) If damage or inferiority has been concealed in any manner.
	665	+	41 (11) If any substance has been added to the food or mixed or
	666	+	42 packed with the food to:
	667	+	2023 IN 293—LS 6864/DI 120 16
	668	+	1 (A) increase the food's bulk or weight;
	669	+	2 (B) reduce the food's quality or strength;
	670	+	3 (C) make the food appear better or of greater value than the
	671	+	4 food is; or
	672	+	5 (D) create a deceptive appearance.
	673	+	6 (12) If the food bears or contains a coal-tar color other than one
	674	+	7 from a batch that has been certified by the federal Food and Drug
	675	+	8 Administrator, as provided by regulations promulgated under
	676	+	9 authority of the Federal Act.
	677	+	10 (13) If the food is a confectionery and has partially or completely
	678	+	11 imbedded embedded in the food any nonnutritive object.
	679	+	12 However, this subdivision does not apply in the case of any
	680	+	13 nonnutritive object if, in the judgment of the state department as
	681	+	14 provided by rules, the nonnutritive object is of practical,
	682	+	15 functional value to the confectionery product and would not make
	683	+	16 the product injurious or hazardous to health.
	684	+	17 (14) If the food is a confectionery and bears or contains any
	685	+	18 alcohol other than alcohol not in excess of one-half of one percent
	686	+	19 (0.5%) by volume derived solely from the use of flavoring
	687	+	20 extracts.
	688	+	21 (15) If the food is a confectionery and bears or contains any
	689	+	22 nonnutritive substance. However, this subdivision does not apply
	690	+	23 to a safe, nonnutritive substance if:
	691	+	24 (A) the nonnutritive substance is in or on a confectionery for
	692	+	25 a practical, functional purpose in the manufacture, packaging,
	693	+	26 or storing of the confectionery; and
	694	+	27 (B) the use of the substance does not promote deception of the
	695	+	28 consumer or otherwise result in adulteration or misbranding in
	696	+	29 violation of any provision of IC 16-42-1 through IC 16-42-4.
	697	+	30 In addition, the state department may, for the purpose of
	698	+	31 avoiding or resolving uncertainty as to the application of this
	699	+	32 subdivision, adopt rules allowing or prohibiting the use of
	700	+	33 particular nonnutritive substances.
	701	+	34 (16) If the food falls below the standard of purity, quality, or
	702	+	35 strength that the food purports or is represented to possess.
	703	+	36 (17) If the food is or bears or contains any color additive that is
	704	+	37 unsafe under section 5 of this chapter.
	705	+	38 (b) Subsection (a)(8) and (a)(9) do not prohibit:
	706	+	39 (1) the removal of butterfat from; or
	707	+	40 (2) the addition of skim milk to;
	708	+	41 dairy products that comply with the definitions and standards for dairy
	709	+	42 products adopted by the state department.
	710	+	2023 IN 293—LS 6864/DI 120 17
	711	+	1 (c) A food is not considered adulterated for containing low THC
	712	+	2 hemp extract (as defined in IC 35-48-1-17.5) or craft hemp flower
	713	+	3 (as defined in IC 35-31.5-2-68.8).
	714	+	4 SECTION 13. IC 24-4-21-4, AS ADDED BY P.L.153-2018,
	715	+	5 SECTION 9, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	716	+	6 JULY 1, 2023]: Sec. 4. (a) Except as provided in subsection (b), low
	717	+	7 THC hemp extract must be distributed in packaging that contains the
	718	+	8 following information:
	719	+	9 (1) A scannable bar code or QR code linked to a document that
	720	+	10 contains information with respect to the manufacture of the low
	721	+	11 THC hemp extract, including the:
	722	+	12 (A) batch identification number;
	723	+	13 (B) product name;
	724	+	14 (C) batch date;
	725	+	15 (D) expiration date, which must be not more than two (2) years
	726	+	16 from the date of manufacture;
	727	+	17 (E) batch size;
	728	+	18 (F) total quantity produced; and
	729	+	19 (G) ingredients used, including the:
	730	+	20 (i) ingredient name;
	731	+	21 (ii) name of the company that manufactured the ingredient;
	732	+	22 (iii) company or product identification number or code, if
	733	+	23 applicable; and
	734	+	24 (iv) ingredient lot number; and
	735	+	25 (H) (G) download link for a certificate of analysis for the low
	736	+	26 THC hemp extract.
	737	+	27 (2) The batch number.
	738	+	28 (3) The Internet address of a web site website to obtain batch
	739	+	29 information.
	740	+	30 (4) The expiration date.
	741	+	31 (5) The number of milligrams of low THC hemp extract.
	742	+	32 (6) The manufacturer.
	743	+	33 (7) The fact that the product contains not more than three-tenths
	744	+	34 percent (0.3%) total delta-9-tetrahydrocannabinol (THC),
	745	+	35 including precursors, by weight.
	746	+	36 (b) Before July 1, 2018, low THC hemp extract may be distributed
	747	+	37 in Indiana without having met the requirements described in subsection
	748	+	38 (a).
	749	+	39 (b) After June 30, 2023, the packaging of low THC hemp extract
	750	+	40 may not:
	751	+	41 (1) contain any statement, artwork, or design that could
	752	+	42 reasonably mislead any person to believe that the package
	753	+	2023 IN 293—LS 6864/DI 120 18
	754	+	1 contains anything other than low THC hemp extract;
	755	+	2 (2) bear the likeness or contain a cartoon-like characteristic
	756	+	3 of a real or fictional person, animal, or fruit that appeals to
	757	+	4 children; or
	758	+	5 (3) bear an unauthorized trademark, trade name, famous
	759	+	6 mark, or other identifying mark, imprint, or device, or any
	760	+	7 likeness thereof.
	761	+	8 SECTION 14. IC 24-4-22-3, AS ADDED BY P.L.153-2018,
	762	+	9 SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	763	+	10 JULY 1, 2023]: Sec. 3. (a) Except as provided in subsection (b), A
	764	+	11 person may sell low THC hemp extract at retail only if the packaging
	765	+	12 complies with the requirements of IC 24-4-21-4.
	766	+	13 (b) Before July 1, 2018, a person may sell low THC hemp extract at
	767	+	14 retail even if the packaging does not comply with the requirements of
	768	+	15 IC 24-4-21-4.
	769	+	16 (b) Beginning July 1, 2023, no low THC hemp extract
	770	+	17 containing:
294	771		18 (1) Delta-8 THC;
295	772		19 (2) Delta-10 THC;
296	773		20 (3) Hexahydrocannabinol (HHC);
297	774		21 (4) Tetrahydrocannabinol acetate ester (THCo);
298	775		22 (5) Tetrahydrocannabiporol (THCp); or
299	776		23 (6) Tetrahydrocannabivarin (THCv);
300		-	24 directly to consumers must verify a consumer's age by either using
301		-	25 a reliable online age verification service, or by obtaining and
302		-	26 examining a copy of a government issued identification, prior to
303		-	27 completing a purchase.
304		-	28 (d) A person who violates this section is subject to a civil penalty
305		-	29 not to exceed the following:
306		-	30 (1) One thousand dollars ($1,000) for a first violation.
307		-	31 (2) Five thousand dollars ($5,000) for a second violation that
308		-	32 occurs within two (2) years after a first violation, and
309		-	33 suspension of the retail dealer's certificate for up to six (6)
310		-	34 months.
311		-	35 (3) Ten thousand dollars ($10,000) for each subsequent
312		-	36 violation that occurs within two (2) years of the preceding
313		-	37 violation, and revocation of the retail dealer's certificate, with
314		-	38 a one (1) year waiting period for reapplication.
315		-	39 (e) It is a defense to a violation under this section that the
316		-	40 distributor or seller examined the purchaser's or recipient's
317		-	41 driver's license, or other valid government issued identification,
318		-	42 that positively identified the purchaser or recipient as being at least
319		-	SB 293—LS 6864/DI 120 8
320		-	1 twenty-one (21) years of age.
321		-	2 SECTION 10. IC 24-4-23 IS ADDED TO THE INDIANA CODE
322		-	3 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
323		-	4 JULY 1, 2023]:
324		-	5 Chapter 23. Distribution of Craft Hemp Flower Products
325		-	6 Sec. 1. As used in this chapter, "certificate of analysis" means
326		-	7 a certificate from an independent testing laboratory describing the
327		-	8 results of the laboratory's testing of a sample.
328		-	9 Sec. 2. As used in this chapter, "craft hemp flower product" has
329		-	10 the meaning set forth in IC 35-31.5-2-68.9.
330		-	11 Sec. 3. As used in this chapter, "independent testing laboratory"
331		-	12 means a laboratory:
332		-	13 (1) with respect to which no person having a direct or indirect
333		-	14 interest in the laboratory also has a direct or indirect interest
334		-	15 in a facility that:
335		-	16 (A) processes, distributes, or sells a craft hemp flower
336		-	17 product, or a substantially similar substance in another
337		-	18 jurisdiction;
338		-	19 (B) cultivates, processes, distributes, dispenses, or sells
339		-	20 marijuana;
340		-	21 (C) cultivates, processes, or distributes hemp; or
341		-	22 (D) processes, distributes, or sells low THC hemp extract
342		-	23 (as defined in IC 35-48-1-17.5); and
343		-	24 (2) that is accredited as a testing laboratory under
344		-	25 International Organization for Standardization (ISO) 17025
345		-	26 by a third party accrediting body such as the American
346		-	27 Association for Laboratory Accreditation (A2LA) or Assured
347		-	28 Calibration and Laboratory Accreditation Select Services
348		-	29 (ACLASS).
349		-	30 Sec. 4. As used in this chapter, "tamper evident packaging"
350		-	31 means a package having at least one (1) indicator or a barrier to
351		-	32 entry that, if breached or missing, can reasonably be expected to
352		-	33 provide visible evidence to consumers that tampering has occurred.
353		-	34 Sec. 5. (a) Before a person may distribute a craft hemp flower
354		-	35 product, the distributor must have a certificate of analysis
355		-	36 prepared by an independent testing laboratory showing the
356		-	37 following:
357		-	38 (1) That the craft hemp flower product is the product of a
358		-	39 batch tested by the independent testing laboratory.
359		-	40 (2) That the independent testing laboratory determined that
360		-	41 the batch contained not more than three-tenths percent
361		-	42 (0.3%) delta-9-tetrahydrocannabinol (THC), including
362		-	SB 293—LS 6864/DI 120 9
363		-	1 precursors, by weight, based on the testing of a random
364		-	2 sample of the batch.
365		-	3 (3) That the batch has been tested for and does not exceed the
366		-	4 acceptable levels set forth under section 7 of this chapter for
367		-	5 the following contaminants:
368		-	6 (A) Heavy metals, including cadmium, lead, arsenic, and
369		-	7 mercury.
370		-	8 (B) Pesticides.
371		-	9 (C) Herbicides.
372		-	10 (D) Mycotoxins.
373		-	11 (E) Bacterial toxins.
374		-	12 (F) Chemical solvent residues.
375		-	13 (4) The potency of the craft hemp flower product, including
376		-	14 the projected percentage of:
377		-	15 (A) THC;
378		-	16 (B) cannabidiol; and
379		-	17 (C) other cannabinoids in the craft hemp flower product;
380		-	18 by weight or volume.
381		-	19 (b) Each batch of a craft hemp flower product submitted to an
382		-	20 independent testing laboratory under this section must have been
383		-	21 harvested at the same time and cultivated in a contiguous area in
384		-	22 the same field or facility.
385		-	23 Sec. 6. A craft hemp flower product must be distributed in
386		-	24 tamper evident packaging that contains the following information:
387		-	25 (1) A scannable bar code or QR code linked to a document
388		-	26 that contains information with respect to the craft hemp
389		-	27 flower product, including the:
390		-	28 (A) batch identification number;
391		-	29 (B) product name;
392		-	30 (C) batch date;
393		-	31 (D) expiration date, which must be not more than two (2)
394		-	32 years from the date of harvest;
395		-	33 (E) batch size;
396		-	34 (F) total quantity produced;
397		-	35 (G) ingredients used, including the:
398		-	36 (i) ingredient name;
399		-	37 (ii) name of the company that manufactured the
400		-	38 ingredient;
401		-	39 (iii) company or product identification number or code,
402		-	40 if applicable; and
403		-	41 (iv) ingredient lot number; and
404		-	42 (H) download link for a certificate of analysis for the craft
405		-	SB 293—LS 6864/DI 120 10
406		-	1 hemp flower product.
407		-	2 (2) The batch identification number.
408		-	3 (3) The address of a website to obtain batch information.
409		-	4 (4) The expiration date, which must be not more than two (2)
410		-	5 years from the date of harvest.
411		-	6 (5) The number of grams of craft hemp flower (as defined by
412		-	7 IC 35-31.5-2-68.8) contained in the craft hemp flower product.
413		-	8 (6) The facility that produced the craft hemp flower product.
414		-	9 (7) The fact that the product contains not more than
415		-	10 three-tenths percent (0.3%) delta-9-tetrahydrocannabinol
416		-	11 (THC), including precursors, by weight.
417		-	12 Sec. 7. A craft hemp flower product may not be distributed if a
418		-	13 certificate of analysis prepared by an independent testing
419		-	14 laboratory shows any of the following:
420		-	15 (1) A concentration of metals that is more than any of the
421		-	16 following:
422		-	17 (A) Four-tenths (0.4) part per million of cadmium.
423		-	18 (B) Five-tenths (0.5) part per million of lead.
424		-	19 (C) Four-tenths (0.4) part per million of arsenic.
425		-	20 (D) Two-tenths (0.2) part per million of mercury.
426		-	21 (2) A concentration of microbiological units that is more than
427		-	22 any of the following:
428		-	23 (A) One (1) colony forming unit per gram of Shiga-Toxin
429		-	24 Escherichia coli.
430		-	25 (B) One (1) colony forming unit per gram of Salmonella
431		-	26 spp.
432		-	27 (C) Ten thousand (10,000) colony forming units of
433		-	28 culturable mold.
434		-	29 (3) A concentration of residual solvents and chemicals that is
435		-	30 not more than any of the following:
436		-	31 (A) Five thousand (5,000) parts per million of butane.
437		-	32 (B) Two (2) parts per million of benzene.
438		-	33 (C) Five thousand (5,000) parts per million of heptane.
439		-	34 (D) Two hundred ninety (290) parts per million of hexane.
440		-	35 (E) Eight hundred ninety (890) parts per million of toluene.
441		-	36 (F) One (1) part per million of total xylenes, including
442		-	37 ortho-xylene, meta-xylene, and para-xylene.
443		-	38 Sec. 8. (a) A person in a motor vehicle who, while the motor
444		-	39 vehicle is in operation or the motor vehicle is located on the
445		-	40 right-of-way of a public highway (as defined in IC 9-25-2-4),
446		-	41 knowingly or intentionally possesses a container that contains a
447		-	42 craft hemp flower product, and:
448		-	SB 293—LS 6864/DI 120 11
449		-	1 (1) the container does not have tamper evident packaging; or
450		-	2 (2) the tamper evident packaging has a broken seal;
451		-	3 commits a Class C misdemeanor.
452		-	4 (b) A violation of this section is not considered a moving traffic
453		-	5 violation:
454		-	6 (1) for purposes of IC 9-14-12-3; and
455		-	7 (2) for which points are assessed by the bureau of motor
456		-	8 vehicles under the point system.
457		-	9 Sec. 9. (a) A person who knowingly or intentionally distributes
458		-	10 or sells a craft hemp flower product in violation of this chapter
459		-	11 commits a Class B misdemeanor. However, the offense is a Class
460		-	12 A misdemeanor if the person has a prior unrelated conviction for
461		-	13 a violation of this chapter.
462		-	14 (b) The penalties in this section are in addition to any criminal
463		-	15 penalties that may be imposed for unlawful possession or
464		-	16 distribution of a controlled substance.
465		-	17 SECTION 11. IC 35-31.5-2-68.8 IS ADDED TO THE INDIANA
466		-	18 CODE AS A NEW SECTION TO READ AS FOLLOWS
467		-	19 [EFFECTIVE JULY 1, 2023]: Sec. 68.8. (a) "Craft hemp flower"
468		-	20 means the harvested reproductive organ, whether immature or
469		-	21 mature, of the female Cannabis sativa L. plant containing not more
470		-	22 than three-tenths percent (0.3%) delta-9-tetrahydrocannabinol
471		-	23 (THC), including precursors of THC, in a form that is intended to
472		-	24 allow THC to be introduced into the human body by inhalation of
473		-	25 smoke.
474		-	26 (b) The term does not include agricultural hemp seed (as defined
475		-	27 in IC 15-15-13-2).
476		-	28 SECTION 12. IC 35-31.5-2-68.9 IS ADDED TO THE INDIANA
477		-	29 CODE AS A NEW SECTION TO READ AS FOLLOWS
478		-	30 [EFFECTIVE JULY 1, 2023]: Sec. 68.9. "Craft hemp flower
479		-	31 product" means a substance or product for sale to consumers that:
480		-	32 (1) is derived from or contains any part of craft hemp flower;
481		-	33 and
482		-	34 (2) is in the form of:
483		-	35 (A) a gummy;
484		-	36 (B) an edible;
485		-	37 (C) a tincture; or
486		-	38 (D) an e-liquid in a tamper evident container.
487		-	39 The term does not include smokable hemp.
488		-	40 SECTION 13. IC 35-31.5-2-100, AS AMENDED BY P.L.49-2020,
489		-	41 SECTION 25, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
490		-	42 JULY 1, 2023]: Sec. 100. (a) "Distribute", for purposes of
491		-	SB 293—LS 6864/DI 120 12
492		-	1 IC 35-45-4-8, has the meaning set forth in IC 35-45-4-8.
493		-	2 (b) "Distribute", for purposes of IC 35-46-1-10, has the meaning set
494		-	3 forth in IC 35-46-1-10(f). IC 35-46-1-10(a).
495		-	4 (c) "Distribute", for purposes of IC 35-46-1-10.2, has the meaning
496		-	5 set forth in IC 35-46-1-10.2(g). IC 35-46-1-10.2(a).
497		-	6 (d) "Distribute", for purposes of IC 35-47.5, has the meaning set
498		-	7 forth in IC 35-47.5-2-6.
499		-	8 (e) "Distribute", for purposes of IC 35-48, has the meaning set forth
500		-	9 in IC 35-48-1-14.
501		-	10 (f) "Distribute", for purposes of IC 35-49, has the meaning set forth
502		-	11 in IC 35-49-1-2.
503		-	12 SECTION 14. IC 35-46-1-10, AS AMENDED BY P.L.32-2021,
504		-	13 SECTION 97, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
505		-	14 JULY 1, 2023]: Sec. 10. (a) As used in this section, "distribute"
506		-	15 means to give tobacco, a craft hemp flower product, an e-liquid, or
507		-	16 an electronic cigarette to another person as a means of promoting,
508		-	17 advertising, or marketing the tobacco, craft hemp flower product,
509		-	18 e-liquid, or electronic cigarette to the general public.
510		-	19 (a) (b) A person may not be charged with a violation under this
511		-	20 section and a violation under IC 7.1-7-6-5.
512		-	21 (b) (c) A person who knowingly:
513		-	22 (1) sells or distributes tobacco, a craft hemp flower product, an
514		-	23 e-liquid, or an electronic cigarette to a person less than
515		-	24 twenty-one (21) years of age; or
516		-	25 (2) purchases tobacco, a craft hemp flower product, an e-liquid,
517		-	26 or an electronic cigarette for delivery to another person who is
518		-	27 less than twenty-one (21) years of age;
519		-	28 commits a Class C infraction. For a sale to take place under this
520		-	29 section, the buyer must pay the seller for the tobacco, craft hemp
521		-	30 flower product, e-liquid, or electronic cigarette.
522		-	31 (c) (d) It is not a defense that the person to whom the tobacco, craft
523		-	32 hemp flower product, e-liquid, or electronic cigarette was sold or
524		-	33 distributed did not smoke, chew, inhale, or otherwise consume the
525		-	34 tobacco, craft hemp flower product, e-liquid, or electronic cigarette.
526		-	35 (d) (e) The following defenses are available to a person accused of
527		-	36 selling or distributing tobacco, a craft hemp flower product, an
528		-	37 e-liquid, or an electronic cigarette to a person who is less than
529		-	38 twenty-one (21) years of age:
530		-	39 (1) The buyer or recipient produced a driver's license bearing the
531		-	40 purchaser's or recipient's photograph, showing that the purchaser
532		-	41 or recipient was of legal age to make the purchase.
533		-	42 (2) The buyer or recipient produced a photographic identification
534		-	SB 293—LS 6864/DI 120 13
535		-	1 card issued under IC 9-24-16-1, or a similar card issued under the
536		-	2 laws of another state or the federal government, showing that the
537		-	3 purchaser or recipient was of legal age to make the purchase.
538		-	4 (3) The appearance of the purchaser or recipient was such that an
539		-	5 ordinary prudent person would believe that the purchaser or
540		-	6 recipient was not less than thirty (30) years of age.
541		-	7 (e) (f) It is a defense that the accused person sold or delivered the
542		-	8 tobacco, craft hemp flower product, e-liquid, or electronic cigarette
543		-	9 to a person who acted in the ordinary course of employment or a
544		-	10 business concerning tobacco, a craft hemp flower product, an
545		-	11 e-liquid, or electronic cigarettes including the following activities:
546		-	12 (1) Agriculture.
547		-	13 (2) Processing.
548		-	14 (3) Transporting.
549		-	15 (4) Wholesaling.
550		-	16 (5) Retailing.
551		-	17 (f) As used in this section, "distribute" means to give tobacco, an
552		-	18 e-liquid, or an electronic cigarette to another person as a means of
553		-	19 promoting, advertising, or marketing the tobacco, e-liquid, or electronic
554		-	20 cigarette to the general public.
555		-	21 (g) Unless the person buys or receives tobacco, a craft hemp
556		-	22 flower product, an e-liquid, or an electronic cigarette under the
557		-	23 direction of a law enforcement officer as part of an enforcement action,
558		-	24 a person who sells or distributes tobacco, a craft hemp flower
559		-	25 product, an e-liquid, or an electronic cigarette is not liable for a
560		-	26 violation of this section unless the person less than twenty-one (21)
561		-	27 years of age who bought or received the tobacco, craft hemp flower
562		-	28 product, e-liquid, or electronic cigarette is issued a citation or
563		-	29 summons under section 10.5 of this chapter.
564		-	30 (h) Notwithstanding IC 34-28-5-5(c), civil penalties collected under
565		-	31 this section must be deposited in the Richard D. Doyle youth tobacco
566		-	32 education and enforcement fund (IC 7.1-6-2-6).
567		-	33 SECTION 15. IC 35-46-1-10.2, AS AMENDED BY P.L.32-2021,
568		-	34 SECTION 98, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
569		-	35 JULY 1, 2023]: Sec. 10.2. (a) As used in this section, "distribute"
570		-	36 means to give tobacco, a craft hemp flower product, an e-liquid, or
571		-	37 an electronic cigarette to another person as a means of promoting,
572		-	38 advertising, or marketing the tobacco, craft hemp flower product,
573		-	39 e-liquid, or electronic cigarette to the general public.
574		-	40 (a) (b) A person may not be charged with a violation under this
575		-	41 section and a violation under IC 7.1-7-6-5.
576		-	42 (b) (c) A retail establishment that sells or distributes tobacco, a
577		-	SB 293—LS 6864/DI 120 14
578		-	1 craft hemp flower product, an e-liquid, or an electronic cigarette to
579		-	2 a person less than twenty-one (21) years of age commits a Class C
580		-	3 infraction. For a sale to take place under this section, the buyer must
581		-	4 pay the retail establishment for the tobacco, craft hemp flower
582		-	5 product, e-liquid, or electronic cigarette.
583		-	6 (c) (d) Notwithstanding IC 34-28-5-4(c), a civil judgment for an
584		-	7 infraction committed under this section must be imposed as follows:
585		-	8 (1) If the retail establishment at that specific business location has
586		-	9 not been issued a citation or summons for a violation of this
587		-	10 section in the previous one (1) year, a civil penalty of up to four
588		-	11 hundred dollars ($400).
589		-	12 (2) If the retail establishment at that specific business location has
590		-	13 had one (1) citation or summons issued for a violation of this
591		-	14 section in the previous one (1) year, a civil penalty of up to eight
592		-	15 hundred dollars ($800).
593		-	16 (3) If the retail establishment at that specific business location has
594		-	17 had two (2) citations or summonses issued for a violation of this
595		-	18 section in the previous one (1) year, a civil penalty of up to one
596		-	19 thousand four hundred dollars ($1,400).
597		-	20 (4) If the retail establishment at that specific business location has
598		-	21 had three (3) or more citations or summonses issued for a
599		-	22 violation of this section in the previous one (1) year, a civil
600		-	23 penalty of up to two thousand dollars ($2,000).
601		-	24 A retail establishment may not be issued a citation or summons for a
602		-	25 violation of this section more than once every twenty-four (24) hours
603		-	26 for each specific business location.
604		-	27 (d) (e) It is not a defense that the person to whom the tobacco, craft
605		-	28 hemp flower product, e-liquid, or electronic cigarette was sold or
606		-	29 distributed did not smoke, chew, inhale, or otherwise consume the
607		-	30 tobacco, craft hemp flower product, e-liquid, or electronic cigarette.
608		-	31 (e) (f) The following defenses are available to a retail establishment
609		-	32 accused of selling or distributing tobacco, a craft hemp flower
610		-	33 product, an e-liquid, or an electronic cigarette to a person who is less
611		-	34 than twenty-one (21) years of age:
612		-	35 (1) The buyer or recipient produced a driver's license bearing the
613		-	36 purchaser's or recipient's photograph showing that the purchaser
614		-	37 or recipient was of legal age to make the purchase.
615		-	38 (2) The buyer or recipient produced a photographic identification
616		-	39 card issued under IC 9-24-16-1 or a similar card issued under the
617		-	40 laws of another state or the federal government showing that the
618		-	41 purchaser or recipient was of legal age to make the purchase.
619		-	42 (3) The appearance of the purchaser or recipient was such that an
620		-	SB 293—LS 6864/DI 120 15
621		-	1 ordinary prudent person would believe that the purchaser or
622		-	2 recipient was not less than thirty (30) years of age.
623		-	3 (f) (g) It is a defense that the accused retail establishment sold or
624		-	4 delivered the tobacco, craft hemp flower product, e-liquid, or
625		-	5 electronic cigarette to a person who acted in the ordinary course of
626		-	6 employment or a business concerning tobacco, a craft hemp flower
627		-	7 product, an e-liquid, or electronic cigarettes for the following
628		-	8 activities:
629		-	9 (1) Agriculture.
630		-	10 (2) Processing.
631		-	11 (3) Transporting.
632		-	12 (4) Wholesaling.
633		-	13 (5) Retailing.
634		-	14 (g) As used in this section, "distribute" means to give tobacco, an
635		-	15 e-liquid, or an electronic cigarette to another person as a means of
636		-	16 promoting, advertising, or marketing the tobacco or electronic cigarette
637		-	17 to the general public.
638		-	18 (h) Unless a person buys or receives tobacco, a craft hemp flower
639		-	19 product, an e-liquid, or an electronic cigarette under the direction of
640		-	20 a law enforcement officer as part of an enforcement action, a retail
641		-	21 establishment that sells or distributes tobacco, a craft hemp flower
642		-	22 product, an e-liquid, or an electronic cigarette is not liable for a
643		-	23 violation of this section unless the person less than twenty-one (21)
644		-	24 years of age who bought or received the tobacco, craft hemp flower
645		-	25 product, e-liquid, or electronic cigarette is issued a citation or
646		-	26 summons under section 10.5 of this chapter.
647		-	27 (i) Notwithstanding IC 34-28-5-5(c), civil penalties collected under
648		-	28 this section must be deposited in the Richard D. Doyle youth tobacco
649		-	29 education and enforcement fund (IC 7.1-6-2-6).
650		-	30 (j) A person who violates subsection (b) (c) at least six (6) times in
651		-	31 any one (1) year commits habitual illegal sale of tobacco, sales, a Class
652		-	32 B infraction.
653		-	33 SECTION 16. IC 35-46-1-10.5, AS AMENDED BY P.L.49-2020,
654		-	34 SECTION 32, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
655		-	35 JULY 1, 2023]: Sec. 10.5. (a) A person less than twenty-one (21) years
656		-	36 of age who:
657		-	37 (1) purchases tobacco, a craft hemp flower product, an e-liquid,
658		-	38 or an electronic cigarette;
659		-	39 (2) accepts tobacco, a craft hemp flower product, an e-liquid,
660		-	40 or an electronic cigarette for personal use; or
661		-	41 (3) possesses tobacco, a craft hemp flower product, an e-liquid,
662		-	42 or an electronic cigarette on the person's person;
663		-	SB 293—LS 6864/DI 120 16
664		-	1 commits a Class C infraction.
665		-	2 (b) It is a defense under subsection (a) that the accused person acted
666		-	3 in the ordinary course of employment in a business concerning tobacco,
667		-	4 a craft hemp flower product, an e-liquid, or an electronic cigarette for
668		-	5 the following activities:
669		-	6 (1) Agriculture.
670		-	7 (2) Processing.
671		-	8 (3) Transporting.
672		-	9 (4) Wholesaling.
673		-	10 (5) Retailing.
674		-	11 SECTION 17. IC 35-48-1-9, AS AMENDED BY P.L.153-2018,
675		-	12 SECTION 17, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
676		-	13 JULY 1, 2023]: Sec. 9. "Controlled substance" means a drug,
677		-	14 substance, or immediate precursor in schedule I, II, III, IV, or V under:
678		-	15 (1) IC 35-48-2-4, IC 35-48-2-6, IC 35-48-2-8, IC 35-48-2-10, or
679		-	16 IC 35-48-2-12, if IC 35-48-2-14 does not apply; or
680		-	17 (2) a rule adopted by the board, if IC 35-48-2-14 applies.
681		-	18 The term does not include low THC hemp extract or a craft hemp
682		-	19 flower product.
683		-	20 SECTION 18. IC 35-48-1-9.3, AS AMENDED BY P.L.80-2019,
684		-	21 SECTION 18, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
685		-	22 JULY 1, 2023]: Sec. 9.3. (a) "Controlled substance analog" means a
686		-	23 substance that, due to its chemical structure and potential for abuse or
687		-	24 misuse, meets the following criteria:
688		-	25 (1) The substance is substantially similar to a controlled substance
689		-	26 classified under IC 35-48-2.
690		-	27 (2) The substance has a narcotic, stimulant, depressant, or
691		-	28 hallucinogenic effect on the central nervous system or is
692		-	29 represented or intended to have a narcotic, stimulant, depressant,
693		-	30 or hallucinogenic effect on the central nervous system
694		-	31 substantially similar to or greater than that of a controlled
695		-	32 substance classified under IC 35-48-2.
696		-	33 (b) The definition set forth in subsection (a) does not include:
697		-	34 (1) a controlled substance;
698		-	35 (2) a legend drug;
699		-	36 (3) a substance for which there is an approved new drug
700		-	37 application;
701		-	38 (4) any compound, mixture, or preparation that contains any
702		-	39 controlled substance, that is not for administration to a human
703		-	40 being or an animal, and that is packaged in a form or
704		-	41 concentration, or with adulterants or denaturants, such that as
705		-	42 packaged it does not present any significant potential for abuse;
706		-	SB 293—LS 6864/DI 120 17
707		-	1 or
708		-	2 (5) a substance to which an investigational exemption applies
709		-	3 under Section 505 of the federal Food, Drug and Cosmetic Act
710		-	4 (chapter 675, 52 Stat. 1052 (21 U.S.C. 355)), but only to the
711		-	5 extent that conduct with respect to the substance is pursuant to the
712		-	6 exemption; or
713		-	7 (6) low THC hemp extract; or
714		-	8 (7) a craft hemp flower product.
715		-	9 (c) For purposes of subsection (a), "substantially similar", as it
716		-	10 applies to the chemical structure of a substance, means that the
717		-	11 chemical structure of the substance, when compared to the structure of
718		-	12 a controlled substance, has a single difference in the structural formula
719		-	13 that substitutes one (1) atom or functional group for another, including:
720		-	14 (1) one (1) halogen for another halogen;
721		-	15 (2) one (1) hydrogen for a halogen;
722		-	16 (3) one (1) halogen for a hydrogen; or
723		-	17 (4) an alkyl group added or deleted:
724		-	18 (A) as a side chain to or from a molecule; or
725		-	19 (B) from a side chain of a molecule.
726		-	20 SECTION 19. IC 35-48-1-10.5 IS ADDED TO THE INDIANA
727		-	21 CODE AS A NEW SECTION TO READ AS FOLLOWS
728		-	22 [EFFECTIVE JULY 1, 2023]: Sec. 10.5. "Craft hemp flower
729		-	23 product" has the meaning set forth in IC 35-31.5-2-68.9.
730		-	24 SECTION 20. IC 35-48-1-16.8, AS ADDED BY P.L.153-2018,
731		-	25 SECTION 19, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
732		-	26 JULY 1, 2023]: Sec. 16.8. "Hashish" does not include:
733		-	27 (1) low THC hemp extract; or
734		-	28 (2) a craft hemp flower product.
735		-	29 SECTION 21. IC 35-48-1-17.2 IS REPEALED [EFFECTIVE JULY
736		-	30 1, 2023]. Sec. 17.2. (a) "Hemp bud" means the harvested immature
737		-	31 reproductive organ of the female hemp plant.
738		-	32 (b) The term does not include agricultural hemp seed.
739		-	33 SECTION 22. IC 35-48-1-17.3 IS REPEALED [EFFECTIVE JULY
740		-	34 1, 2023]. Sec. 17.3. (a) "Hemp flower" means the harvested
741		-	35 reproductive organ, whether immature or mature, of the female hemp
742		-	36 plant.
743		-	37 (b) The term does not include agricultural hemp seed.
744		-	38 SECTION 23. IC 35-48-1-17.5, AS AMENDED BY P.L.190-2019,
745		-	39 SECTION 28, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
746		-	40 JULY 1, 2023]: Sec. 17.5. (a) "Low THC hemp extract" means a
747		-	41 substance or compound that:
748		-	42 (1) is derived from or contains any part of the plant Cannabis
749		-	SB 293—LS 6864/DI 120 18
750		-	1 sativa L. that meets the definition of hemp under IC 15-15-13-6;
751		-	2 (2) contains not more than three-tenths percent (0.3%) total
752		-	3 delta-9-tetrahydrocannabinol (THC), including precursors, by
753		-	4 weight; and
754		-	5 (3) contains no other controlled substances.
755		-	6 (b) The term does not include:
756		-	7 (1) the harvested reproductive organ, whether immature or
757		-	8 mature, of the female hemp plant; or
758		-	9 (2) smokable hemp. a craft hemp flower product; or
759		-	10 (3) smokable hemp.
760		-	11 SECTION 24. IC 35-48-1-19, AS AMENDED BY P.L.190-2019,
761		-	12 SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
762		-	13 JULY 1, 2023]: Sec. 19. (a) "Marijuana" means any part of the plant
763		-	14 genus Cannabis whether growing or not; the seeds thereof; the resin
764		-	15 extracted from any part of the plant, including hashish and hash oil; any
765		-	16 compound, manufacture, salt, derivative, mixture, or preparation of the
766		-	17 plant, its seeds or resin.
767		-	18 (b) The term does not include:
768		-	19 (1) the mature stalks of the plant;
769		-	20 (2) fiber produced from the stalks;
770		-	21 (3) oil or cake made from the seeds of the plant;
771		-	22 (4) any other compound, manufacture, salt, derivative, mixture,
772		-	23 or preparation of the mature stalks (except the resin extracted
773		-	24 therefrom);
774		-	25 (5) the sterilized seed of the plant which is incapable of
775		-	26 germination;
776		-	27 (6) hemp (as defined by IC 15-15-13-6);
777		-	28 (7) low THC hemp extract; or
778		-	29 (8) smokable hemp. a craft hemp flower product; or
779		-	30 (9) smokable hemp.
780		-	31 SECTION 25. IC 35-48-1-26.6, AS ADDED BY P.L.190-2019,
781		-	32 SECTION 30, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
782		-	33 JULY 1, 2023]: Sec. 26.6. (a) Except as provided in subsection (b),
783		-	34 "smokable hemp" means a product plant or a part of a plant
784		-	35 containing not more than three-tenths percent (0.3%)
785		-	36 delta-9-tetrahydrocannabinol (THC), including precursors and
786		-	37 derivatives of THC, in a form that allows THC to be introduced into the
787		-	38 human body by inhalation of smoke. Except as provided in subsection
788		-	39 (b), the term includes craft hemp flower.
789		-	40 (1) hemp bud; and
790		-	41 (2) hemp flower.
791		-	42 (b) The term does not include a craft hemp flower product (as
792		-	SB 293—LS 6864/DI 120 19
793		-	1 defined by IC 35-31.5-2-68.9), or:
794		-	2 (1) a hemp plant that is; or
795		-	3 (2) parts of a hemp plant that are; or
796		-	4 (3) craft hemp flower that is;
797		-	5 grown or handled by a licensee for processing or manufacturing into a
798		-	6 legal hemp product, including a craft hemp flower product.
799		-	7 SECTION 26. IC 35-52-24-20.3 IS ADDED TO THE INDIANA
800		-	8 CODE AS A NEW SECTION TO READ AS FOLLOWS
801		-	9 [EFFECTIVE JULY 1, 2023]: Sec. 20.3. IC 24-4-23-8 defines a crime
802		-	10 concerning possession of craft hemp flower products.
803		-	11 SECTION 27. IC 35-52-24-20.4 IS ADDED TO THE INDIANA
	777	+	24 may be distributed, sold, or offered for sale at retail or online to a
	778	+	25 person who is less than twenty-one (21) years of age.
	779	+	26 (c) Any website owned, managed, or operated by a person who
	780	+	27 distributes or sells a product containing:
	781	+	28 (1) Delta-8 THC;
	782	+	29 (2) Delta-10 THC;
	783	+	30 (3) Hexahydrocannabinol (HHC);
	784	+	31 (4) Tetrahydrocannabinol acetate ester (THCo);
	785	+	32 (5) Tetrahydrocannabiporol (THCp); or
	786	+	33 (6) Tetrahydrocannabivarin (THCv);
	787	+	34 directly to consumers must verify a consumer's age by either using
	788	+	35 a reliable online age verification service, or by obtaining and
	789	+	36 examining a copy of a government issued identification, prior to
	790	+	37 completing a purchase.
	791	+	38 (d) A person who violates this section is subject to a civil penalty
	792	+	39 not to exceed the following:
	793	+	40 (1) One thousand dollars ($1,000) for a first violation.
	794	+	41 (2) Five thousand dollars ($5,000) for a second violation that
	795	+	42 occurs within two (2) years after a first violation, and
	796	+	2023 IN 293—LS 6864/DI 120 19
	797	+	1 suspension of the retail dealer's certificate for up to six (6)
	798	+	2 months.
	799	+	3 (3) Ten thousand dollars ($10,000) for each subsequent
	800	+	4 violation that occurs within two (2) years of the preceding
	801	+	5 violation, and revocation of the retail dealer's certificate, with
	802	+	6 a one (1) year waiting period for reapplication.
	803	+	7 (e) It is a defense to a violation under this section that the
	804	+	8 distributor or seller examined the purchaser's or recipient's
	805	+	9 driver's license, or other valid government issued identification,
	806	+	10 that positively identified the purchaser or recipient as being at least
	807	+	11 twenty-one (21) years of age.
	808	+	12 SECTION 15. IC 24-4-23 IS ADDED TO THE INDIANA CODE
	809	+	13 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
	810	+	14 JULY 1, 2023]:
	811	+	15 Chapter 23. Distribution of Craft Hemp Flower
	812	+	16 Sec. 1. As used in this chapter, "certificate of analysis" means
	813	+	17 a certificate from an independent testing laboratory describing the
	814	+	18 results of the laboratory's testing of a sample.
	815	+	19 Sec. 2. As used in this chapter, "craft hemp flower" has the
	816	+	20 meaning set forth in IC 35-31.5-2-68.8.
	817	+	21 Sec. 3. As used in this chapter, "independent testing laboratory"
	818	+	22 means a laboratory:
	819	+	23 (1) with respect to which no person having a direct or indirect
	820	+	24 interest in the laboratory also has a direct or indirect interest
	821	+	25 in a facility that:
	822	+	26 (A) processes, distributes, or sells craft hemp flower, or a
	823	+	27 substantially similar substance in another jurisdiction;
	824	+	28 (B) cultivates, processes, distributes, dispenses, or sells
	825	+	29 marijuana;
	826	+	30 (C) cultivates, processes, or distributes hemp; or
	827	+	31 (D) processes, distributes, or sells low THC hemp extract
	828	+	32 (as defined in IC 35-48-1-17.5); and
	829	+	33 (2) that is accredited as a testing laboratory under
	830	+	34 International Organization for Standardization (ISO) 17025
	831	+	35 by a third party accrediting body such as the American
	832	+	36 Association for Laboratory Accreditation (A2LA) or Assured
	833	+	37 Calibration and Laboratory Accreditation Select Services
	834	+	38 (ACLASS).
	835	+	39 Sec. 4. As used in this chapter, "tamper evident packaging"
	836	+	40 means a package having at least one (1) indicator or a barrier to
	837	+	41 entry that, if breached or missing, can reasonably be expected to
	838	+	42 provide visible evidence to consumers that tampering has occurred.
	839	+	2023 IN 293—LS 6864/DI 120 20
	840	+	1 Sec. 5. (a) Before a person may distribute craft hemp flower, the
	841	+	2 distributor must have a certificate of analysis prepared by an
	842	+	3 independent testing laboratory showing the following:
	843	+	4 (1) That the craft hemp flower is the product of a batch tested
	844	+	5 by the independent testing laboratory.
	845	+	6 (2) That the independent testing laboratory determined that
	846	+	7 the batch contained not more than three-tenths percent
	847	+	8 (0.3%) delta-9-tetrahydrocannabinol (THC), including
	848	+	9 precursors, by weight, based on the testing of a random
	849	+	10 sample of the batch.
	850	+	11 (3) That the batch has been tested for and does not exceed the
	851	+	12 acceptable levels set forth under section 7 of this chapter for
	852	+	13 the following contaminants:
	853	+	14 (A) Heavy metals, including cadmium, lead, arsenic, and
	854	+	15 mercury.
	855	+	16 (B) Pesticides.
	856	+	17 (C) Herbicides.
	857	+	18 (D) Mycotoxins.
	858	+	19 (E) Bacterial toxins.
	859	+	20 (F) Chemical solvent residues.
	860	+	21 (4) The potency of the craft hemp flower, including the
	861	+	22 projected percentage of:
	862	+	23 (A) THC;
	863	+	24 (B) cannabidiol; and
	864	+	25 (C) other cannabinoids in the craft hemp flower;
	865	+	26 by weight or volume.
	866	+	27 (b) Each batch of craft hemp flower submitted to an
	867	+	28 independent testing laboratory under this section must have been
	868	+	29 harvested at the same time and cultivated in a contiguous area in
	869	+	30 the same field or facility.
	870	+	31 Sec. 6. Craft hemp flower must be distributed in tamper evident
	871	+	32 packaging that contains the following information:
	872	+	33 (1) A scannable bar code or QR code linked to a document
	873	+	34 that contains information with respect to the craft hemp
	874	+	35 flower, including the:
	875	+	36 (A) batch identification number;
	876	+	37 (B) product name;
	877	+	38 (C) batch date;
	878	+	39 (D) expiration date, which must be not more than two (2)
	879	+	40 years from the date of harvest;
	880	+	41 (E) batch size;
	881	+	42 (F) total quantity produced;
	882	+	2023 IN 293—LS 6864/DI 120 21
	883	+	1 (G) ingredients used, including the:
	884	+	2 (i) ingredient name;
	885	+	3 (ii) name of the company that manufactured the
	886	+	4 ingredient;
	887	+	5 (iii) company or product identification number or code,
	888	+	6 if applicable; and
	889	+	7 (iv) ingredient lot number; and
	890	+	8 (H) download link for a certificate of analysis for the craft
	891	+	9 hemp flower.
	892	+	10 (2) The batch identification number.
	893	+	11 (3) The address of a website to obtain batch information.
	894	+	12 (4) The expiration date, which must be not more than two (2)
	895	+	13 years from the date of harvest.
	896	+	14 (5) The number of grams of craft hemp flower.
	897	+	15 (6) The facility that produced the craft hemp flower.
	898	+	16 (7) The fact that the product contains not more than
	899	+	17 three-tenths percent (0.3%) delta-9-tetrahydrocannabinol
	900	+	18 (THC), including precursors, by weight.
	901	+	19 Sec. 7. A craft hemp flower may not be distributed if a
	902	+	20 certificate of analysis prepared by an independent testing
	903	+	21 laboratory shows any of the following:
	904	+	22 (1) A concentration of metals that is more than any of the
	905	+	23 following:
	906	+	24 (A) Four-tenths (0.4) part per million of cadmium.
	907	+	25 (B) Five-tenths (0.5) part per million of lead.
	908	+	26 (C) Four-tenths (0.4) part per million of arsenic.
	909	+	27 (D) Two-tenths (0.2) part per million of mercury.
	910	+	28 (2) A concentration of microbiological units that is more than
	911	+	29 any of the following:
	912	+	30 (A) One (1) colony forming unit per gram of Shiga-Toxin
	913	+	31 Escherichia coli.
	914	+	32 (B) One (1) colony forming unit per gram of Salmonella
	915	+	33 spp.
	916	+	34 (C) Ten thousand (10,000) colony forming units of
	917	+	35 culturable mold.
	918	+	36 (3) A concentration of residual solvents and chemicals that is
	919	+	37 not more than any of the following:
	920	+	38 (A) Five thousand (5,000) parts per million of butane.
	921	+	39 (B) Two (2) parts per million of benzene.
	922	+	40 (C) Five thousand (5,000) parts per million of heptane.
	923	+	41 (D) Two hundred ninety (290) parts per million of hexane.
	924	+	42 (E) Eight hundred ninety (890) parts per million of toluene.
	925	+	2023 IN 293—LS 6864/DI 120 22
	926	+	1 (F) One (1) part per million of total xylenes, including
	927	+	2 ortho-xylene, meta-xylene, and para-xylene.
	928	+	3 Sec. 8. (a) A person in a motor vehicle who, while the motor
	929	+	4 vehicle is in operation or the motor vehicle is located on the
	930	+	5 right-of-way of a public highway (as defined in IC 9-25-2-4),
	931	+	6 possesses a container that contains craft hemp flower, and:
	932	+	7 (1) the container does not have tamper evident packaging; or
	933	+	8 (2) the tamper evident packaging has a broken seal;
	934	+	9 commits a Class C infraction.
	935	+	10 (b) A violation of this section is not considered a moving traffic
	936	+	11 violation:
	937	+	12 (1) for purposes of IC 9-14-12-3; and
	938	+	13 (2) for which points are assessed by the bureau of motor
	939	+	14 vehicles under the point system.
	940	+	15 Sec. 9. (a) A person who distributes or sells craft hemp flower
	941	+	16 in violation of this chapter commits a Class B infraction. However,
	942	+	17 the offense is a Class A infraction if the person has a prior
	943	+	18 unrelated judgment for a violation of this chapter.
	944	+	19 (b) The penalties in this section are in addition to any criminal
	945	+	20 penalties that may be imposed for unlawful possession or
	946	+	21 distribution of a controlled substance.
	947	+	22 SECTION 16. IC 35-31.5-2-68.8 IS ADDED TO THE INDIANA
	948	+	23 CODE AS A NEW SECTION TO READ AS FOLLOWS
	949	+	24 [EFFECTIVE JULY 1, 2023]: Sec. 68.8. (a) "Craft hemp flower"
	950	+	25 means the harvested reproductive organ, whether immature or
	951	+	26 mature, of the female Cannabis sativa L. plant containing not more
	952	+	27 than three-tenths percent (0.3%) delta-9-tetrahydrocannabinol
	953	+	28 (THC), including precursors of THC, in a form that is intended to
	954	+	29 allow THC to be introduced into the human body by inhalation of
	955	+	30 smoke.
	956	+	31 (b) The term does not include agricultural hemp seed (as defined
	957	+	32 in IC 15-15-13-2).
	958	+	33 SECTION 17. IC 35-31.5-2-100, AS AMENDED BY P.L.49-2020,
	959	+	34 SECTION 25, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	960	+	35 JULY 1, 2023]: Sec. 100. (a) "Distribute", for purposes of
	961	+	36 IC 35-45-4-8, has the meaning set forth in IC 35-45-4-8.
	962	+	37 (b) "Distribute", for purposes of IC 35-46-1-10, has the meaning set
	963	+	38 forth in IC 35-46-1-10(f). IC 35-46-1-10(a).
	964	+	39 (c) "Distribute", for purposes of IC 35-46-1-10.2, has the meaning
	965	+	40 set forth in IC 35-46-1-10.2(g). IC 35-46-1-10.2(a).
	966	+	41 (d) "Distribute", for purposes of IC 35-47.5, has the meaning set
	967	+	42 forth in IC 35-47.5-2-6.
	968	+	2023 IN 293—LS 6864/DI 120 23
	969	+	1 (e) "Distribute", for purposes of IC 35-48, has the meaning set forth
	970	+	2 in IC 35-48-1-14.
	971	+	3 (f) "Distribute", for purposes of IC 35-49, has the meaning set forth
	972	+	4 in IC 35-49-1-2.
	973	+	5 SECTION 18. IC 35-46-1-10, AS AMENDED BY P.L.32-2021,
	974	+	6 SECTION 97, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	975	+	7 JULY 1, 2023]: Sec. 10. (a) As used in this section, "distribute"
	976	+	8 means to give tobacco, craft hemp flower, an e-liquid, or an
	977	+	9 electronic cigarette to another person as a means of promoting,
	978	+	10 advertising, or marketing the tobacco, craft hemp flower, e-liquid,
	979	+	11 or electronic cigarette to the general public.
	980	+	12 (a) (b) A person may not be charged with a violation under this
	981	+	13 section and a violation under IC 7.1-7-6-5.
	982	+	14 (b) (c) A person who knowingly:
	983	+	15 (1) sells or distributes tobacco, craft hemp flower, an e-liquid, or
	984	+	16 an electronic cigarette to a person less than twenty-one (21) years
	985	+	17 of age; or
	986	+	18 (2) purchases tobacco, craft hemp flower, an e-liquid, or an
	987	+	19 electronic cigarette for delivery to another person who is less than
	988	+	20 twenty-one (21) years of age;
	989	+	21 commits a Class C infraction. For a sale to take place under this
	990	+	22 section, the buyer must pay the seller for the tobacco, craft hemp
	991	+	23 flower, e-liquid, or electronic cigarette.
	992	+	24 (c) (d) It is not a defense that the person to whom the tobacco, craft
	993	+	25 hemp flower, e-liquid, or electronic cigarette was sold or distributed
	994	+	26 did not smoke, chew, inhale, or otherwise consume the tobacco, craft
	995	+	27 hemp flower, e-liquid, or electronic cigarette.
	996	+	28 (d) (e) The following defenses are available to a person accused of
	997	+	29 selling or distributing tobacco, craft hemp flower, an e-liquid, or an
	998	+	30 electronic cigarette to a person who is less than twenty-one (21) years
	999	+	31 of age:
	1000	+	32 (1) The buyer or recipient produced a driver's license bearing the
	1001	+	33 purchaser's or recipient's photograph, showing that the purchaser
	1002	+	34 or recipient was of legal age to make the purchase.
	1003	+	35 (2) The buyer or recipient produced a photographic identification
	1004	+	36 card issued under IC 9-24-16-1, or a similar card issued under the
	1005	+	37 laws of another state or the federal government, showing that the
	1006	+	38 purchaser or recipient was of legal age to make the purchase.
	1007	+	39 (3) The appearance of the purchaser or recipient was such that an
	1008	+	40 ordinary prudent person would believe that the purchaser or
	1009	+	41 recipient was not less than thirty (30) years of age.
	1010	+	42 (e) (f) It is a defense that the accused person sold or delivered the
	1011	+	2023 IN 293—LS 6864/DI 120 24
	1012	+	1 tobacco, craft hemp flower, e-liquid, or electronic cigarette to a
	1013	+	2 person who acted in the ordinary course of employment or a business
	1014	+	3 concerning tobacco, craft hemp flower, an e-liquid, or electronic
	1015	+	4 cigarettes including the following activities:
	1016	+	5 (1) Agriculture.
	1017	+	6 (2) Processing.
	1018	+	7 (3) Transporting.
	1019	+	8 (4) Wholesaling.
	1020	+	9 (5) Retailing.
	1021	+	10 (f) As used in this section, "distribute" means to give tobacco, an
	1022	+	11 e-liquid, or an electronic cigarette to another person as a means of
	1023	+	12 promoting, advertising, or marketing the tobacco, e-liquid, or electronic
	1024	+	13 cigarette to the general public.
	1025	+	14 (g) Unless the person buys or receives tobacco, craft hemp flower,
	1026	+	15 an e-liquid, or an electronic cigarette under the direction of a law
	1027	+	16 enforcement officer as part of an enforcement action, a person who
	1028	+	17 sells or distributes tobacco, craft hemp flower, an e-liquid, or an
	1029	+	18 electronic cigarette is not liable for a violation of this section unless the
	1030	+	19 person less than twenty-one (21) years of age who bought or received
	1031	+	20 the tobacco, craft hemp flower, e-liquid, or electronic cigarette is
	1032	+	21 issued a citation or summons under section 10.5 of this chapter.
	1033	+	22 (h) Notwithstanding IC 34-28-5-5(c), civil penalties collected under
	1034	+	23 this section must be deposited in the Richard D. Doyle youth tobacco
	1035	+	24 education and enforcement fund (IC 7.1-6-2-6).
	1036	+	25 SECTION 19. IC 35-46-1-10.2, AS AMENDED BY P.L.32-2021,
	1037	+	26 SECTION 98, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	1038	+	27 JULY 1, 2023]: Sec. 10.2. (a) As used in this section, "distribute"
	1039	+	28 means to give tobacco, craft hemp flower, an e-liquid, or an
	1040	+	29 electronic cigarette to another person as a means of promoting,
	1041	+	30 advertising, or marketing the tobacco, craft hemp flower, e-liquid,
	1042	+	31 or electronic cigarette to the general public.
	1043	+	32 (a) (b) A person may not be charged with a violation under this
	1044	+	33 section and a violation under IC 7.1-7-6-5.
	1045	+	34 (b) (c) A retail establishment that sells or distributes tobacco, craft
	1046	+	35 hemp flower, an e-liquid, or an electronic cigarette to a person less
	1047	+	36 than twenty-one (21) years of age commits a Class C infraction. For a
	1048	+	37 sale to take place under this section, the buyer must pay the retail
	1049	+	38 establishment for the tobacco, craft hemp flower, e-liquid, or
	1050	+	39 electronic cigarette.
	1051	+	40 (c) (d) Notwithstanding IC 34-28-5-4(c), a civil judgment for an
	1052	+	41 infraction committed under this section must be imposed as follows:
	1053	+	42 (1) If the retail establishment at that specific business location has
	1054	+	2023 IN 293—LS 6864/DI 120 25
	1055	+	1 not been issued a citation or summons for a violation of this
	1056	+	2 section in the previous one (1) year, a civil penalty of up to four
	1057	+	3 hundred dollars ($400).
	1058	+	4 (2) If the retail establishment at that specific business location has
	1059	+	5 had one (1) citation or summons issued for a violation of this
	1060	+	6 section in the previous one (1) year, a civil penalty of up to eight
	1061	+	7 hundred dollars ($800).
	1062	+	8 (3) If the retail establishment at that specific business location has
	1063	+	9 had two (2) citations or summonses issued for a violation of this
	1064	+	10 section in the previous one (1) year, a civil penalty of up to one
	1065	+	11 thousand four hundred dollars ($1,400).
	1066	+	12 (4) If the retail establishment at that specific business location has
	1067	+	13 had three (3) or more citations or summonses issued for a
	1068	+	14 violation of this section in the previous one (1) year, a civil
	1069	+	15 penalty of up to two thousand dollars ($2,000).
	1070	+	16 A retail establishment may not be issued a citation or summons for a
	1071	+	17 violation of this section more than once every twenty-four (24) hours
	1072	+	18 for each specific business location.
	1073	+	19 (d) (e) It is not a defense that the person to whom the tobacco, craft
	1074	+	20 hemp flower, e-liquid, or electronic cigarette was sold or distributed
	1075	+	21 did not smoke, chew, inhale, or otherwise consume the tobacco, craft
	1076	+	22 hemp flower, e-liquid, or electronic cigarette.
	1077	+	23 (e) (f) The following defenses are available to a retail establishment
	1078	+	24 accused of selling or distributing tobacco, craft hemp flower, an
	1079	+	25 e-liquid, or an electronic cigarette to a person who is less than
	1080	+	26 twenty-one (21) years of age:
	1081	+	27 (1) The buyer or recipient produced a driver's license bearing the
	1082	+	28 purchaser's or recipient's photograph showing that the purchaser
	1083	+	29 or recipient was of legal age to make the purchase.
	1084	+	30 (2) The buyer or recipient produced a photographic identification
	1085	+	31 card issued under IC 9-24-16-1 or a similar card issued under the
	1086	+	32 laws of another state or the federal government showing that the
	1087	+	33 purchaser or recipient was of legal age to make the purchase.
	1088	+	34 (3) The appearance of the purchaser or recipient was such that an
	1089	+	35 ordinary prudent person would believe that the purchaser or
	1090	+	36 recipient was not less than thirty (30) years of age.
	1091	+	37 (f) (g) It is a defense that the accused retail establishment sold or
	1092	+	38 delivered the tobacco, craft hemp flower, e-liquid, or electronic
	1093	+	39 cigarette to a person who acted in the ordinary course of employment
	1094	+	40 or a business concerning tobacco, craft hemp flower, an e-liquid, or
	1095	+	41 electronic cigarettes for the following activities:
	1096	+	42 (1) Agriculture.
	1097	+	2023 IN 293—LS 6864/DI 120 26
	1098	+	1 (2) Processing.
	1099	+	2 (3) Transporting.
	1100	+	3 (4) Wholesaling.
	1101	+	4 (5) Retailing.
	1102	+	5 (g) As used in this section, "distribute" means to give tobacco, an
	1103	+	6 e-liquid, or an electronic cigarette to another person as a means of
	1104	+	7 promoting, advertising, or marketing the tobacco or electronic cigarette
	1105	+	8 to the general public.
	1106	+	9 (h) Unless a person buys or receives tobacco, craft hemp flower,
	1107	+	10 an e-liquid, or an electronic cigarette under the direction of a law
	1108	+	11 enforcement officer as part of an enforcement action, a retail
	1109	+	12 establishment that sells or distributes tobacco, craft hemp flower, an
	1110	+	13 e-liquid, or an electronic cigarette is not liable for a violation of this
	1111	+	14 section unless the person less than twenty-one (21) years of age who
	1112	+	15 bought or received the tobacco, craft hemp flower, e-liquid, or
	1113	+	16 electronic cigarette is issued a citation or summons under section 10.5
	1114	+	17 of this chapter.
	1115	+	18 (i) Notwithstanding IC 34-28-5-5(c), civil penalties collected under
	1116	+	19 this section must be deposited in the Richard D. Doyle youth tobacco
	1117	+	20 education and enforcement fund (IC 7.1-6-2-6).
	1118	+	21 (j) A person who violates subsection (b) (c) at least six (6) times in
	1119	+	22 any one (1) year commits habitual illegal sale of tobacco, sales, a Class
	1120	+	23 B infraction.
	1121	+	24 SECTION 20. IC 35-46-1-10.5, AS AMENDED BY P.L.49-2020,
	1122	+	25 SECTION 32, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	1123	+	26 JULY 1, 2023]: Sec. 10.5. (a) A person less than twenty-one (21) years
	1124	+	27 of age who:
	1125	+	28 (1) purchases tobacco, craft hemp flower, an e-liquid, or an
	1126	+	29 electronic cigarette;
	1127	+	30 (2) accepts tobacco, craft hemp flower, an e-liquid, or an
	1128	+	31 electronic cigarette for personal use; or
	1129	+	32 (3) possesses tobacco, craft hemp flower, an e-liquid, or an
	1130	+	33 electronic cigarette on the person's person;
	1131	+	34 commits a Class C infraction.
	1132	+	35 (b) It is a defense under subsection (a) that the accused person acted
	1133	+	36 in the ordinary course of employment in a business concerning tobacco,
	1134	+	37 craft hemp flower, an e-liquid, or an electronic cigarette for the
	1135	+	38 following activities:
	1136	+	39 (1) Agriculture.
	1137	+	40 (2) Processing.
	1138	+	41 (3) Transporting.
	1139	+	42 (4) Wholesaling.
	1140	+	2023 IN 293—LS 6864/DI 120 27
	1141	+	1 (5) Retailing.
	1142	+	2 SECTION 21. IC 35-48-1-9, AS AMENDED BY P.L.153-2018,
	1143	+	3 SECTION 17, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	1144	+	4 JULY 1, 2023]: Sec. 9. "Controlled substance" means a drug,
	1145	+	5 substance, or immediate precursor in schedule I, II, III, IV, or V under:
	1146	+	6 (1) IC 35-48-2-4, IC 35-48-2-6, IC 35-48-2-8, IC 35-48-2-10, or
	1147	+	7 IC 35-48-2-12, if IC 35-48-2-14 does not apply; or
	1148	+	8 (2) a rule adopted by the board, if IC 35-48-2-14 applies.
	1149	+	9 The term does not include low THC hemp extract or craft hemp
	1150	+	10 flower.
	1151	+	11 SECTION 22. IC 35-48-1-9.3, AS AMENDED BY P.L.80-2019,
	1152	+	12 SECTION 18, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	1153	+	13 JULY 1, 2023]: Sec. 9.3. (a) "Controlled substance analog" means a
	1154	+	14 substance that, due to its chemical structure and potential for abuse or
	1155	+	15 misuse, meets the following criteria:
	1156	+	16 (1) The substance is substantially similar to a controlled substance
	1157	+	17 classified under IC 35-48-2.
	1158	+	18 (2) The substance has a narcotic, stimulant, depressant, or
	1159	+	19 hallucinogenic effect on the central nervous system or is
	1160	+	20 represented or intended to have a narcotic, stimulant, depressant,
	1161	+	21 or hallucinogenic effect on the central nervous system
	1162	+	22 substantially similar to or greater than that of a controlled
	1163	+	23 substance classified under IC 35-48-2.
	1164	+	24 (b) The definition set forth in subsection (a) does not include:
	1165	+	25 (1) a controlled substance;
	1166	+	26 (2) a legend drug;
	1167	+	27 (3) a substance for which there is an approved new drug
	1168	+	28 application;
	1169	+	29 (4) any compound, mixture, or preparation that contains any
	1170	+	30 controlled substance, that is not for administration to a human
	1171	+	31 being or an animal, and that is packaged in a form or
	1172	+	32 concentration, or with adulterants or denaturants, such that as
	1173	+	33 packaged it does not present any significant potential for abuse;
	1174	+	34 or
	1175	+	35 (5) a substance to which an investigational exemption applies
	1176	+	36 under Section 505 of the federal Food, Drug and Cosmetic Act
	1177	+	37 (chapter 675, 52 Stat. 1052 (21 U.S.C. 355)), but only to the
	1178	+	38 extent that conduct with respect to the substance is pursuant to the
	1179	+	39 exemption; or
	1180	+	40 (6) low THC hemp extract; or
	1181	+	41 (7) craft hemp flower.
	1182	+	42 (c) For purposes of subsection (a), "substantially similar", as it
	1183	+	2023 IN 293—LS 6864/DI 120 28
	1184	+	1 applies to the chemical structure of a substance, means that the
	1185	+	2 chemical structure of the substance, when compared to the structure of
	1186	+	3 a controlled substance, has a single difference in the structural formula
	1187	+	4 that substitutes one (1) atom or functional group for another, including:
	1188	+	5 (1) one (1) halogen for another halogen;
	1189	+	6 (2) one (1) hydrogen for a halogen;
	1190	+	7 (3) one (1) halogen for a hydrogen; or
	1191	+	8 (4) an alkyl group added or deleted:
	1192	+	9 (A) as a side chain to or from a molecule; or
	1193	+	10 (B) from a side chain of a molecule.
	1194	+	11 SECTION 23. IC 35-48-1-10.5 IS ADDED TO THE INDIANA
804	1195		12 CODE AS A NEW SECTION TO READ AS FOLLOWS
805		-	13 [EFFECTIVE JULY 1, 2023]: Sec. 20.4. IC 24-4-23-9 defines a crime
806		-	14 concerning distribution or sale of craft hemp flower products.
807		-	SB 293—LS 6864/DI 120 20
808		-	COMMITTEE REPORT
809		-	Madam President: The Senate Committee on Tax and Fiscal Policy,
810		-	to which was referred Senate Bill No. 293, has had the same under
811		-	consideration and begs leave to report the same back to the Senate with
812		-	the recommendation that said bill be AMENDED as follows:
813		-	Delete the amendment AM029301 adopted by the Senate Tax and
814		-	Fiscal Policy Committee on January 24, 2023.
815		-	Delete the title and insert the following:
816		-	A BILL FOR AN ACT to amend the Indiana Code concerning trade
817		-	regulation.
818		-	Page 1, delete lines 1 through 17.
819		-	Delete pages 2 through 11.
820		-	Page 12, delete lines 1 through 18.
821		-	Page 13, delete lines 11 through 42, begin a new paragraph and
822		-	insert:
823		-	"SECTION 8. IC 15-15-13-6.7 IS ADDED TO THE INDIANA
824		-	CODE AS A NEW SECTION TO READ AS FOLLOWS
825		-	[EFFECTIVE JULY 1, 2023]: Sec. 6.7. As used in this chapter,
826		-	"work in progress hemp extract" means a compound:
827		-	(1) derived from hemp;
828		-	(2) intended to be processed into a hemp product;
829		-	(3) in a partially processed state;
830		-	(4) having a concentration of delta-9 THC that exceeds
831		-	three-tenths of one percent (0.3%) by dry weight; and
832		-	(5) not marketed for consumer use or consumption.
833		-	SECTION 9. IC 15-15-13-11, AS AMENDED BY P.L.190-2019,
834		-	SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
835		-	JULY 1, 2023]: Sec. 11. Only a hemp licensee, the licensee's designee,
836		-	or the licensee's agents may be permitted to transport hemp or work in
837		-	progress hemp extract off a production site. When transporting hemp
838		-	or work in progress hemp extract off the production site, the hemp
839		-	licensee, designee, or agent shall have in the licensee's, designee's, or
840		-	agent's possession the licensing documents from the state seed
841		-	commissioner evidencing that the hemp or work in progress hemp
842		-	extract is from certified seed produced by a licensed grower.
843		-	SECTION 10. IC 15-15-13-11.5 IS ADDED TO THE INDIANA
844		-	CODE AS A NEW SECTION TO READ AS FOLLOWS
845		-	[EFFECTIVE JULY 1, 2023]: Sec. 11.5. (a) Subject to subsection (b),
846		-	a handler holding a valid license under this chapter may possess,
847		-	manufacture, store, transport, or sell work in progress hemp
848		-	extract.
849		-	SB 293—LS 6864/DI 120 21
850		-	(b) Work in progress hemp extract may be sold only to a:
851		-	(1) handler holding a valid license under this chapter; or
852		-	(2) person holding a valid hemp or cannabis license in another
853		-	jurisdiction.".
854		-	Page 14, delete lines 1 through 27, begin a new paragraph and
855		-	insert:
856		-	"SECTION 11. IC 15-15-13-19, AS ADDED BY P.L.190-2019,
857		-	SECTION 20, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
858		-	JULY 1, 2023]: Sec. 19. (a) Hemp bud (as defined in IC 35-48-1-17.2)
859		-	and hemp flower (as defined in IC 35-48-1-17.3) Craft hemp flower
860		-	(as defined by IC 35-31.5-2-68.8) may be transported or sold
861		-	intrastate only to a processor licensed under this chapter for
862		-	processing or manufacturing into a legal hemp product, including
863		-	a craft hemp flower product (as defined by IC 35-31.5-2-68.9).
864		-	(b) Craft hemp flower may be sold and transported interstate in
865		-	accordance with section 11 of this chapter.
866		-	(b) (c) The state seed commissioner may impose a civil penalty
867		-	under section 13 of this chapter for a violation of subsection (a).".
868		-	Page 19, line 15, after "Flower" insert "Products".
869		-	Page 19, line 19, delete "flower"" and insert "flower product"".
870		-	Page 19, line 20, delete "IC 35-31.5-2-68.8." and insert "IC
871		-	35-31.5-2-68.9.".
872		-	Page 19, line 26, delete "craft hemp flower," and insert "a craft
873		-	hemp flower product,".
874		-	Page 20, line 1, delete "craft hemp flower," and insert "a craft
875		-	hemp flower product,".
876		-	Page 20, line 4, delete "craft hemp flower" and insert "craft hemp
877		-	flower product".
878		-	Page 20, line 21, delete "craft hemp flower," and insert "craft hemp
879		-	flower product,".
880		-	Page 20, line 25, delete "craft hemp flower;" and insert "craft hemp
881		-	flower product;".
882		-	Page 20, line 27, delete "craft hemp flower" and insert "a craft
883		-	hemp flower product".
884		-	Page 20, line 31, delete "Craft hemp flower" and insert "A craft
885		-	hemp flower product".
886		-	Page 20, line 34, delete "craft hemp" and insert "craft hemp flower
887		-	product,".
888		-	Page 20, line 35, delete "flower,".
889		-	Page 21, line 9, delete "flower." and insert "flower product.".
890		-	Page 21, line 14, delete "flower." and insert "flower (as defined by
891		-	IC 35-31.5-2-68.8) contained in the craft hemp flower product.".
892		-	SB 293—LS 6864/DI 120 22
893		-	Page 21, line 15, delete "craft hemp flower." and insert "craft hemp
894		-	flower product.".
895		-	Page 21, line 19, delete "craft hemp flower" and insert "craft hemp
896		-	flower product".
897		-	Page 22, line 6, delete "possesses" and insert "knowingly or
898		-	intentionally possesses".
899		-	Page 22, line 6, delete "craft hemp flower," and insert "a craft
900		-	hemp flower product,".
901		-	Page 22, line 9, delete "infraction." and insert "misdemeanor.".
902		-	Page 22, line 15, delete "distributes" and insert "knowingly or
903		-	intentionally distributes".
904		-	Page 22, line 15, delete "craft hemp flower" and insert "a craft
905		-	hemp flower product".
906		-	Page 22, line 16, delete "infraction." and insert "misdemeanor.".
907		-	Page 22, line 17, delete "infraction" and insert "misdemeanor".
908		-	Page 22, line 18, delete "judgment" and insert "conviction".
909		-	Page 22, between lines 32 and 33, begin a new paragraph and insert:
910		-	"SECTION 17. IC 35-31.5-2-68.9 IS ADDED TO THE INDIANA
911		-	CODE AS A NEW SECTION TO READ AS FOLLOWS
912		-	[EFFECTIVE JULY 1, 2023]: Sec. 68.9. "Craft hemp flower
913		-	product" means a substance or product for sale to consumers that:
914		-	(1) is derived from or contains any part of craft hemp flower;
915		-	and
916		-	(2) is in the form of:
917		-	(A) a gummy;
918		-	(B) an edible;
919		-	(C) a tincture; or
920		-	(D) an e-liquid in a tamper evident container.
921		-	The term does not include smokable hemp.".
922		-	Page 23, line 8, delete "craft hemp flower," and insert "a craft
923		-	hemp flower product,".
924		-	Page 23, line 10, delete "craft hemp flower," and insert "craft hemp
925		-	flower product,".
926		-	Page 23, line 15, delete "craft hemp flower," and insert "a craft
927		-	hemp flower product,".
928		-	Page 23, line 18, delete "craft hemp flower," and insert "a craft
929		-	hemp flower product,".
930		-	Page 23, line 23, delete "flower," and insert "flower product,".
931		-	Page 23, line 25, delete "flower," and insert "flower product,".
932		-	Page 23, line 27, delete "flower," and insert "flower product,".
933		-	Page 23, line 29, delete "craft hemp flower," and insert "a craft
934		-	hemp flower product,".
935		-	SB 293—LS 6864/DI 120 23
936		-	Page 24, line 1, delete "craft hemp flower," and insert "craft hemp
937		-	flower product,".
938		-	Page 24, line 3, delete "craft hemp flower," and insert "a craft
939		-	hemp flower product,".
940		-	Page 24, line 14, delete "craft hemp flower," and insert "a craft
941		-	hemp flower product,".
942		-	Page 24, line 17, delete "craft hemp flower," and insert "a craft
943		-	hemp flower product,".
944		-	Page 24, line 20, delete "craft hemp flower," and insert "craft hemp
945		-	flower product,".
946		-	Page 24, line 28, delete "craft hemp flower," and insert "a craft
947		-	hemp flower product,".
948		-	Page 24, line 30, delete "craft hemp flower," and insert "craft hemp
949		-	flower product,".
950		-	Page 24, line 34, delete "craft" and insert "a craft hemp flower
951		-	product,".
952		-	Page 24, line 35, delete "hemp flower,".
953		-	Page 24, line 38, delete "craft hemp flower," and insert "craft hemp
954		-	flower product,".
955		-	Page 25, line 20, delete "flower," and insert "flower product,".
956		-	Page 25, line 22, delete "flower," and insert "flower product,".
957		-	Page 25, line 24, delete "craft hemp flower," and insert "a craft
958		-	hemp flower product,".
959		-	Page 25, line 38, delete "craft hemp flower," and insert "craft hemp
960		-	flower product,".
961		-	Page 25, line 40, delete "craft hemp flower," and insert "a craft
962		-	hemp flower product,".
963		-	Page 26, line 9, delete "craft hemp flower," and insert "a craft
964		-	hemp flower product,".
965		-	Page 26, line 12, delete "craft hemp flower," and insert "a craft
966		-	hemp flower product,".
967		-	Page 26, line 15, delete "craft hemp flower," and insert "craft hemp
968		-	flower product,".
969		-	Page 26, line 28, delete "craft hemp flower," and insert "a craft
970		-	hemp flower product,".
971		-	Page 26, line 30, delete "craft hemp flower," and insert "a craft
972		-	hemp flower product,".
973		-	Page 26, line 32, delete "craft hemp flower," and insert "a craft
974		-	hemp flower product,".
975		-	Page 26, line 37, delete "craft hemp flower," and insert "a craft
976		-	hemp flower product,".
977		-	Page 27, line 9, delete "craft hemp" and insert "a craft hemp flower
978		-	SB 293—LS 6864/DI 120 24
979		-	product.".
980		-	Page 27, delete line 10.
981		-	Page 27, line 41, delete "craft hemp flower." and insert "a craft
982		-	hemp flower product.".
983		-	Page 28, line 13, delete "flower"" and insert "flower product"".
984		-	Page 28, line 14, delete "IC 35-31.5-2-68.8." and insert "IC
985		-	35-31.5-2-68.9.".
986		-	Page 28, line 19, delete "craft hemp flower." and insert "a craft
987		-	hemp flower product.".
988		-	Page 28, line 41, strike "or".
989		-	Page 28, line 42, delete "craft hemp flower." and insert "a craft
990		-	hemp flower product; or
991		-	(3) smokable hemp.".
992		-	Page 29, line 18, strike "or".
993		-	Page 29, line 19, delete "craft hemp flower." and insert "a craft
994		-	hemp flower product; or
995		-	(9) smokable hemp.".
996		-	Page 29, delete lines 20 through 42, begin a new paragraph and
997		-	insert:
998		-	"SECTION 30. IC 35-48-1-26.6, AS ADDED BY P.L.190-2019,
999		-	SECTION 30, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1000		-	JULY 1, 2023]: Sec. 26.6. (a) Except as provided in subsection (b),
1001		-	"smokable hemp" means a product plant or a part of a plant
1002		-	containing not more than three-tenths percent (0.3%)
1003		-	delta-9-tetrahydrocannabinol (THC), including precursors and
1004		-	derivatives of THC, in a form that allows THC to be introduced into the
1005		-	human body by inhalation of smoke. Except as provided in subsection
1006		-	(b), the term includes craft hemp flower.
1007		-	(1) hemp bud; and
1008		-	(2) hemp flower.
1009		-	(b) The term does not include a craft hemp flower product (as
1010		-	defined by IC 35-31.5-2-68.9), or:
1011		-	(1) a hemp plant that is; or
1012		-	(2) parts of a hemp plant that are; or
1013		-	(3) craft hemp flower that is;
1014		-	grown or handled by a licensee for processing or manufacturing into a
1015		-	legal hemp product, including a craft hemp flower product.
1016		-	SECTION 31. IC 35-52-24-20.3 IS ADDED TO THE INDIANA
1017		-	CODE AS A NEW SECTION TO READ AS FOLLOWS
1018		-	[EFFECTIVE JULY 1, 2023]: Sec. 20.3. IC 24-4-23-8 defines a crime
1019		-	concerning possession of craft hemp flower products.
1020		-	SECTION 32. IC 35-52-24-20.4 IS ADDED TO THE INDIANA
1021		-	SB 293—LS 6864/DI 120 25
1022		-	CODE AS A NEW SECTION TO READ AS FOLLOWS
1023		-	[EFFECTIVE JULY 1, 2023]: Sec. 20.4. IC 24-4-23-9 defines a crime
1024		-	concerning distribution or sale of craft hemp flower products.".
1025		-	Delete page 30.
1026		-	Renumber all SECTIONS consecutively.
1027		-	and when so amended that said bill do pass.
1028		-	(Reference is to SB 293 as introduced, and amended by the Senate
1029		-	Tax and Fiscal Policy Committee on January 24, 2023.)
1030		-	HOLDMAN, Chairperson
1031		-	Committee Vote: Yeas 11, Nays 1.
1032		-	SB 293—LS 6864/DI 120
	1196	+	13 [EFFECTIVE JULY 1, 2023]: Sec. 10.5. "Craft hemp flower" has
	1197	+	14 the meaning set forth in IC 35-31.5-2-68.8.
	1198	+	15 SECTION 24. IC 35-48-1-16.8, AS ADDED BY P.L.153-2018,
	1199	+	16 SECTION 19, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	1200	+	17 JULY 1, 2023]: Sec. 16.8. "Hashish" does not include:
	1201	+	18 (1) low THC hemp extract; or
	1202	+	19 (2) craft hemp flower.
	1203	+	20 SECTION 25. IC 35-48-1-17.2 IS REPEALED [EFFECTIVE JULY
	1204	+	21 1, 2023]. Sec. 17.2. (a) "Hemp bud" means the harvested immature
	1205	+	22 reproductive organ of the female hemp plant.
	1206	+	23 (b) The term does not include agricultural hemp seed.
	1207	+	24 SECTION 26. IC 35-48-1-17.3 IS REPEALED [EFFECTIVE JULY
	1208	+	25 1, 2023]. Sec. 17.3. (a) "Hemp flower" means the harvested
	1209	+	26 reproductive organ, whether immature or mature, of the female hemp
	1210	+	27 plant.
	1211	+	28 (b) The term does not include agricultural hemp seed.
	1212	+	29 SECTION 27. IC 35-48-1-17.5, AS AMENDED BY P.L.190-2019,
	1213	+	30 SECTION 28, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	1214	+	31 JULY 1, 2023]: Sec. 17.5. (a) "Low THC hemp extract" means a
	1215	+	32 substance or compound that:
	1216	+	33 (1) is derived from or contains any part of the plant Cannabis
	1217	+	34 sativa L. that meets the definition of hemp under IC 15-15-13-6;
	1218	+	35 (2) contains not more than three-tenths percent (0.3%) total
	1219	+	36 delta-9-tetrahydrocannabinol (THC), including precursors, by
	1220	+	37 weight; and
	1221	+	38 (3) contains no other controlled substances.
	1222	+	39 (b) The term does not include:
	1223	+	40 (1) the harvested reproductive organ, whether immature or
	1224	+	41 mature, of the female hemp plant; or
	1225	+	42 (2) smokable hemp. craft hemp flower.
	1226	+	2023 IN 293—LS 6864/DI 120 29
	1227	+	1 SECTION 28. IC 35-48-1-19, AS AMENDED BY P.L.190-2019,
	1228	+	2 SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	1229	+	3 JULY 1, 2023]: Sec. 19. (a) "Marijuana" means any part of the plant
	1230	+	4 genus Cannabis whether growing or not; the seeds thereof; the resin
	1231	+	5 extracted from any part of the plant, including hashish and hash oil; any
	1232	+	6 compound, manufacture, salt, derivative, mixture, or preparation of the
	1233	+	7 plant, its seeds or resin.
	1234	+	8 (b) The term does not include:
	1235	+	9 (1) the mature stalks of the plant;
	1236	+	10 (2) fiber produced from the stalks;
	1237	+	11 (3) oil or cake made from the seeds of the plant;
	1238	+	12 (4) any other compound, manufacture, salt, derivative, mixture,
	1239	+	13 or preparation of the mature stalks (except the resin extracted
	1240	+	14 therefrom);
	1241	+	15 (5) the sterilized seed of the plant which is incapable of
	1242	+	16 germination;
	1243	+	17 (6) hemp (as defined by IC 15-15-13-6);
	1244	+	18 (7) low THC hemp extract; or
	1245	+	19 (8) smokable hemp. craft hemp flower.
	1246	+	20 SECTION 29. IC 35-48-1-26.6 IS REPEALED [EFFECTIVE JULY
	1247	+	21 1, 2023]. Sec. 26.6. (a) Except as provided in subsection (b), "smokable
	1248	+	22 hemp" means a product containing not more than three-tenths percent
	1249	+	23 (0.3%) delta-9-tetrahydrocannabinol (THC), including precursors and
	1250	+	24 derivatives of THC, in a form that allows THC to be introduced into the
	1251	+	25 human body by inhalation of smoke. The term includes:
	1252	+	26 (1) hemp bud; and
	1253	+	27 (2) hemp flower.
	1254	+	28 (b) The term does not include:
	1255	+	29 (1) a hemp plant that is; or
	1256	+	30 (2) parts of a hemp plant that are;
	1257	+	31 grown or handled by a licensee for processing or manufacturing into a
	1258	+	32 legal hemp product.
	1259	+	33 SECTION 30. IC 35-48-4-10.1 IS REPEALED [EFFECTIVE JULY
	1260	+	34 1, 2023]. Sec. 10.1. (a) A person who:
	1261	+	35 (1) knowingly or intentionally:
	1262	+	36 (A) manufactures;
	1263	+	37 (B) finances the manufacture of;
	1264	+	38 (C) delivers;
	1265	+	39 (D) finances the delivery of; or
	1266	+	40 (E) possesses;
	1267	+	41 smokable hemp; or
	1268	+	42 (2) possesses smokable hemp with intent to:
	1269	+	2023 IN 293—LS 6864/DI 120 30
	1270	+	1 (A) manufacture;
	1271	+	2 (B) finance the manufacture of;
	1272	+	3 (C) deliver; or
	1273	+	4 (D) finance the delivery of;
	1274	+	5 smokable hemp;
	1275	+	6 commits dealing in smokable hemp, a Class A misdemeanor.
	1276	+	7 (b) Subsection (a)(1)(B), (a)(1)(D), (a)(2)(B), and (a)(2)(D) do not
	1277	+	8 apply to:
	1278	+	9 (1) a financial institution organized or reorganized under the laws
	1279	+	10 of Indiana, any other state, or the United States; or
	1280	+	11 (2) any agency or instrumentality of the state or the United States.
	1281	+	12 (c) Subsection (a)(1)(C), (a)(1)(D), (a)(1)(E), (a)(2)(C), and
	1282	+	13 (a)(2)(D) do not apply to the shipment of smokable hemp from a
	1283	+	14 licensed producer in another state in continuous transit through Indiana
	1284	+	15 to a licensed handler in any state.
	1285	+	16 SECTION 31. IC 35-48-4-12, AS AMENDED BY P.L.156-2020,
	1286	+	17 SECTION 134, IS AMENDED TO READ AS FOLLOWS
	1287	+	18 [EFFECTIVE JULY 1, 2023]: Sec. 12. If a person who has no prior
	1288	+	19 conviction of an offense under this article relating to controlled
	1289	+	20 substances pleads guilty to possession of marijuana, hashish, or salvia
	1290	+	21 or smokable hemp as a misdemeanor, the court, without entering a
	1291	+	22 judgment of conviction and with the consent of the person, may defer
	1292	+	23 further proceedings and place the person in the custody of the court
	1293	+	24 under conditions determined by the court. Upon violation of a
	1294	+	25 condition of the custody, the court may enter a judgment of conviction.
	1295	+	26 However, if the person fulfills the conditions of the custody, the court
	1296	+	27 shall dismiss the charges against the person. There may be only one (1)
	1297	+	28 dismissal under this section with respect to a person.
	1298	+	29 SECTION 32. IC 35-52-6-56.4 IS ADDED TO THE INDIANA
	1299	+	30 CODE AS A NEW SECTION TO READ AS FOLLOWS
	1300	+	31 [EFFECTIVE JULY 1, 2023]: Sec. 56.4. IC 6-7-5-9 defines a crime
	1301	+	32 concerning the craft hemp flower products tax.
	1302	+	33 SECTION 33. IC 35-52-6-56.5 IS ADDED TO THE INDIANA
	1303	+	34 CODE AS A NEW SECTION TO READ AS FOLLOWS
	1304	+	35 [EFFECTIVE JULY 1, 2023]: Sec. 56.5. IC 6-7-5-10 defines a crime
	1305	+	36 concerning the craft hemp flower products tax.
	1306	+	2023 IN 293—LS 6864/DI 120