As Introduced 136th General Assembly Regular Session H. B. No. 198 2025-2026 Representatives Fischer, Mathews, T. Cosponsors: Representatives Hall, T., Creech, Kishman, Johnson, Ferguson, Mullins, Gross, Swearingen, Newman, Robb Blasdel, Pizzulli, Jones, King, Rogers, Lear, Lorenz, Dean, Daniels, Deeter, Barhorst, Ritter A B I L L To amend sections 928.01, 928.06, and 3719.01 and to enact sections 930.01, 930.02, 930.03, 930.04, 930.05, 930.06, 930.07, 930.08, 930.09, 930.10, 930.11, 930.12, 930.13, 930.14, 930.15, 930.16, 930.17, and 930.99 of the Revised Code to regulate the manufacture, distribution, and sale of inhalable and ingestible hemp products. BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: Section 1. That sections 928.01, 928.06, and 3719.01 be amended and sections 930.01, 930.02, 930.03, 930.04, 930.05, 930.06, 930.07, 930.08, 930.09, 930.10, 930.11, 930.12, 930.13, 930.14, 930.15, 930.16, 930.17, and 930.99 of the Revised Code be enacted to read as follows: Sec. 928.01. As used in this chapter: (A) "Cannabidiol" means the cannabidiol compound, containing a delta-9 tetrahydrocannabinol concentration of not more than three-tenths per cent, derived from hemp. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 H. B. No. 198 Page 2 As Introduced (B) "Cultivate" or "cultivating" means to plant, water, grow, fertilize, till, or harvest a plant or crop. "Cultivating" includes possessing or storing a plant or crop on a premises where the plant or crop was cultivated until transported to the first point of sale. (C) "Hemp" means the plant Cannabis sativa L. and any part of that plant, including the seeds thereof and all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of isomers, whether growing or not, with a delta-9 tetrahydrocannabinol concentration of not more than three-tenths per cent on a dry weight basis. (D) "Hemp cultivation license" means a license to cultivate hemp issued under section 928.02 of the Revised Code. (E) "Hemp processing license" means a license to process hemp issued under section 928.02 of the Revised Code. (F) "Hemp product" means any product, containing a delta-9 tetrahydrocannabinol concentration of not more than three-tenths per cent, that is made with hemp and that is not a hemp-derived consumable product as defined in section 930.01 of the Revised Code. "Hemp product" includes cosmetics, personal care products, dietary supplements or food intended for animal or human consumption, cloth, cordage, fiber, fuel, paint, paper, particleboard, and any other product containing one or more cannabinoids derived from hemp, including cannabidiol. (G) "Marihuana" has the same meaning as in section 3719.01 of the Revised Code. (H) "Medical marijuana" has the same meaning as in section 3796.01 of the Revised Code. (I) "Process" or "processing" means converting hemp into a 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 H. B. No. 198 Page 3 As Introduced hemp product. (J) "Delta-9 tetrahydrocannabinol" means the sum of the percentage by weight of tetrahydrocannabinolic acid multiplied by 0.877 plus the percentage by weight of delta-9 tetrahydrocannabinol. (K) "University" means an institution of higher education as defined in section 3345.12 of the Revised Code and a private nonprofit institution with a certificate of authorization issued pursuant to Chapter 1713. of the Revised Code. (L) "USDA" means the United States department of agriculture. Sec. 928.06. There is hereby created in the state treasury the hemp program fund. The fund shall consist of all fees collected under rules adopted under section 928.03 of the Revised Code; fees and fines collected under Chapter 930. of the Revised Code; money appropriated to the fund; and any other money received from gifts or federal grants. All investment earnings of the fund shall be credited to the fund. The director of agriculture shall use money in the fund to as follows: (A) Money collected from fees under rules adopted under section 928.03 of the Revised Code and money appropriated to the fund for purposes of this chapter or received from gifts or federal grants for purposes of this chapter shall be used to administer and enforce this chapter and rules adopted under it . (B) Money collected from fees or fines under Chapter 930. of the Revised Code and money appropriated to the fund for purposes of that chapter or received from gifts or federal grants for purposes of that chapter shall be used to administer and enforce Chapter 930. of the Revised Code and rules adopted 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 H. B. No. 198 Page 4 As Introduced under it. Sec. 930.01. As used in this chapter: (A) "Batch" means a specific quantity of hemp-derived consumable product to which all of the following apply: (1) It is manufactured at the same time using the same methods, equipment, and ingredients. (2) It is uniform and intended to meet specifications for identity, strength, purity, and composition. (3) It is manufactured, packaged, and labeled according to a single batch production record executed and documented in accordance with rules adopted under section 930.07 of the Revised Code. (B) "Batch identification number" means a unique numeric or alphanumeric identifier assigned to a batch. (C) "Counter" means the point of purchase at a retail establishment. (D) "Distributor" means a person or entity that purchases hemp-derived consumable products from a manufacturer and sells those products to a retailer. (E) "Franchise" means a contract of definite duration or continuing indefinite duration, between a manufacturer and a distributor, in which the distributor is granted the right to sell within this state or any designated area of the state some or all of the manufacturer's hemp-derived consumable products to retailers licensed under this chapter. (F) "Food service operation" has the same meaning as in section 3717.01 of the Revised Code. 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 H. B. No. 198 Page 5 As Introduced (G) "Hemp" has the same meaning as in section 928.01 of the Revised Code. (H) "Hemp-derived cannabinoid" means any cannabinoid derived from a compound found in hemp, including delta-9 tetrahydrocannabinol, tetrahydrocannabinolic acid (THCA), cannabidiol (CBD), cannabidiolic acid (CBDA), cannabinol (CBN), cannabigerol (CBG), cannabichromene (CBC), cannabicycol (CBL), cannabivarin (CBV), tetrahydrocannabivarin (THCV), cannabidivarin (CBDV), cannabicitran (CBT), delta-7 tetrahydrocannabinol, delta-8 tetrahydrocannabinol, delta-10 tetrahydrocannabinol, or hexahydrocannabinol (HHC). "Hemp- derived cannabinoid" includes any synthetic cannabinoid derived from hemp and contained in a hemp-derived consumable product. (I) "Hemp-derived consumable product" means a hemp product that is a finished good intended for human ingestion or inhalation that contains a delta-9 tetrahydrocannabinol concentration of not more than three-tenths of one per cent on a dry weight basis, but may contain concentrations of other hemp- derived cannabinoids in excess of three-tenths of one per cent. "Hemp-derived consumable product" does not include hemp products that are not intended for ingestion or inhalation, or seeds or seed-derived ingredients that are generally recognized as safe by the United States food and drug administration. (J) "Identification card" means a driver's or commercial driver's license or state identification card issued under Chapters 4506. and 4507. of the Revised Code, as applicable, or an equivalent license or identification card issued by another state, a military identification card issued by the United States department of defense, or a United States or foreign passport that displays a picture of the individual for whom the 102 103 104 105 106 107 108 109 110 111 112 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 H. B. No. 198 Page 6 As Introduced license, card, or passport was issued. (K) "Ingestion" means the process of consuming hemp through the mouth by swallowing into the gastrointestinal system or through tissue absorption. (L) "Inhalation" means the process of consuming hemp through the respiratory system through the mouth or nasal passageway. (M) "Manufacture" means to compound, blend, extract, infuse, cook, or otherwise make or prepare products containing a hemp-derived cannabinoid, including the processes of extraction, infusion, packaging, repackaging, labeling, and relabeling of products containing a hemp-derived cannabinoid. (N) "Manufacturer" means any person who manufactures a hemp-derived consumable product. (O) "Retail establishment" means a place of business open to the general public for the sale of goods or services. (P) "Retailer" means a person that sells a hemp-derived consumable product at retail to consumers. (Q) "School" means a school operated by a city, local, exempted village, or joint vocational school district or an educational service center, a community school under Chapter 3314. of the Revised Code, a STEM school under Chapter 3326. of the Revised Code, a college-preparatory boarding school under Chapter 3328. of the Revised Code, or a chartered or nonchartered nonpublic school. (R) "Serving" means a quantity of a hemp-derived consumable product indicated on the label of the product that is intended for a single use by an individual. 132 133 134 135 136 137 138 139 140 141 142 143 144 145 146 147 148 149 150 151 152 153 154 155 156 157 158 159 H. B. No. 198 Page 7 As Introduced (S) "Sell" means the exchange, barter, gift, sale, distribution, or delivery of a hemp-derived consumable product. (T) "Testing laboratory" means a laboratory that meets all of the following conditions: (1) Holds an ISO 17025 accreditation or is registered with the drug enforcement administration in accordance with 21 C.F.R. 1301.13; (2) Does not have a direct or indirect interest in the entity whose product is being tested; (3) Does not have a direct or indirect interest in a facility that cultivates, processes, distributes, dispenses, or sells hemp-derived consumable products in this state or any other jurisdiction; (4) Performs tetrahydrocannabinol concentration sampling and testing using the high-performance chromatography (HPLC) method. Sec. 930.02. (A) It is the intent of the General Assembly to establish uniform and statewide regulations governing the manufacture, distribution, and retail sale of hemp-derived consumable products in this state. (B) The department of agriculture shall enforce this chapter in a manner that may reasonably be expected to reduce the extent to which hemp-derived consumable products are sold or distributed to persons under twenty-one years of age and shall conduct inspections under the authority of section 930.15 of the Revised Code at locations where such products are manufactured, sold, or distributed to ensure compliance with this chapter. Sec. 930.03. (A) No person shall manufacture a hemp- 160 161 162 163 164 165 166 167 168 169 170 171 172 173 174 175 176 177 178 179 180 181 182 183 184 185 186 187 H. B. No. 198 Page 8 As Introduced derived consumable product for sale in this state without a license issued by the director of agriculture in accordance with rules adopted under section 930.07 of the Revised Code. The director shall issue a license under this section if the applicant submits to the director an application in compliance with those rules and pays to the director a license application fee of two hundred fifty dollars. (B) A license issued under this section is valid for one year after issuance and shall be renewed in the same manner as an initial license, including payment of a two-hundred-fifty- dollar license renewal application fee. (C) Fees collected under this section shall be credited to the hemp program fund created in section 928.06 of the Revised Code. Sec. 930.04. (A) No person shall distribute a hemp-derived consumable product for sale in this state without a license issued by the director of agriculture in accordance with rules adopted under section 930.07 of the Revised Code. The director shall issue a license under this section if the applicant submits to the director an application in compliance with those rules and pays to the director a license application fee of two hundred fifty dollars. An applicant need not submit a fee under this division or division (B) of this section if the applicant holds a license under section 5743.61 of the Revised Code. (B) A license issued under this section is valid for one year after issuance and shall be renewed in the same manner as an initial license, including payment of a two-hundred-fifty- dollar license renewal application fee, if applicable. (C) Fees collected under this section shall be credited to 188 189 190 191 192 193 194 195 196 197 198 199 200 201 202 203 204 205 206 207 208 209 210 211 212 213 214 215 216 H. B. No. 198 Page 9 As Introduced the hemp program fund created in section 928.06 of the Revised Code. Sec. 930.05. (A) No person shall sell or offer for sale at retail in this state a hemp-derived consumable product without a license issued by the director of agriculture in accordance with rules adopted under section 930.07 of the Revised Code. The director shall issue a license under this section if the applicant submits to the director an application in compliance with those rules and pays to the director a license application fee of one hundred dollars per retail location. An applicant shall not pay more than a two-thousand-five-hundred-dollar application fee if the applicant has more than twenty-five retail locations. An applicant need not submit a fee under this division or division (B) of this section if the applicant holds a license under section 5743.15 of the Revised Code. (B) A license issued under this section is valid for one year after issuance and shall be renewed in the same manner as an initial license, including payment of a two-hundred-fifty- dollar license renewal application fee, if applicable. (C) Fees collected under this section shall be credited to the hemp program fund created in section 928.06 of the Revised Code. (D) No person shall operate in this state a retail establishment that sells hemp-derived consumable products to consumers if the establishment is located within one hundred feet of a school. Sec. 930.06. (A) As used in this section, "small beverage manufacturer" means a manufacturer licensed under this chapter that exclusively manufactures beverages that are hemp-derived 217 218 219 220 221 222 223 224 225 226 227 228 229 230 231 232 233 234 235 236 237 238 239 240 241 242 243 244 245 H. B. No. 198 Page 10 As Introduced consumable products in amounts not exceeding one thousand gallons per year. (B) With respect to persons or entities licensed under this chapter, all of the following apply: (1) A manufacturer shall not hold a distributor or retailer license issued under this chapter and shall not have a financial interest, either direct or indirect, in any person or entity holding such a license. (2) A distributor shall not hold a manufacturer or retailer license issued under this chapter and shall not have a financial interest, either direct or indirect, in any person or entity holding such a license. (3) A retailer shall not hold a manufacturer or distributor license issued under this chapter and shall not have a financial interest, either direct or indirect, in any person or entity holding such a license. (C) No manufacturer licensed under this chapter shall directly sell or offer to sell hemp-derived consumable products to a retailer. Such a manufacturer shall only sell such products to a distributor licensed under this chapter. (D) No distributor licensed under this chapter shall sell or offer to sell hemp-derived consumable products at retail. Such a distributor shall only sell such products to a retailer licensed under this chapter for subsequent sale to a consumer. (E) Divisions (B) and (C) of this section do not apply to a small beverage manufacturer. (F) A small beverage manufacturer may sell beverages that are hemp-derived consumable products at retail or to a 246 247 248 249 250 251 252 253 254 255 256 257 258 259 260 261 262 263 264 265 266 267 268 269 270 271 272 273 H. B. No. 198 Page 11 As Introduced distributor licensed under this chapter or a retailer licensed under this chapter. Sec. 930.07. The director of agriculture shall adopt rules in accordance with Chapter 119. of the Revised Code that do all of the following: (A) Establish all of the following regarding licenses issued under sections 930.03, 930.04, and 930.05 of the Revised Code: (1) Information that must be included with an application for a license; (2) Procedures for the approval of a license; (3) Grounds and procedures for the denial, suspension, or revocation of a license. (B) Establish requirements and procedures regarding the testing of hemp-derived consumable products under section 930.08 of the Revised Code. Such requirements and procedures shall include maximum allowable levels for the substances and organisms specified in division (A)(1) of section 930.08 of the Revised Code to ensure the safety of hemp-derived consumable products sold and offered for sale in this state. (C) Establish any additional requirements and procedures for the labeling of hemp-derived consumable products for purposes of implementing section 930.09 of the Revised Code; (D) Establish both of the following regarding registration of hemp-derived consumable products: (1) Registration and registration renewal procedures, including specific deadlines by which products must be registered; 274 275 276 277 278 279 280 281 282 283 284 285 286 287 288 289 290 291 292 293 294 295 296 297 298 299 300 301 H. B. No. 198 Page 12 As Introduced (2) Reasons, in addition to those established in section 930.10 of the Revised Code, that a manufacturer must submit a new registration for a hemp-derived consumable product that has been previously registered. (E) Establish requirements governing the execution and documentation of batch production records; (F) Specify definitions that delineate what constitutes a ready-to-consume or a direct consumption prepackaged hemp- derived consumable product for purposes of section 930.14 of the Revised Code; (G) Establish any additional requirements and procedures necessary to implement this chapter. Sec. 930.08. (A)(1) A manufacturer licensed under this chapter shall test each hemp-derived consumable product in accordance with rules adopted under section 930.07 of the Revised Code prior to selling the product or offering the product for sale to a distributor licensed under this chapter. The manufacturer shall test for the presence and amounts of any of the following substances or organisms in accordance with those rules: (a) Heavy metals; (b) Pesticides; (c) Mycotoxins; (d) Solvents; (e) Microbials. (2) No manufacturer, distributor, or retailer shall sell or offer to sell a hemp-derived consumable product that is not 302 303 304 305 306 307 308 309 310 311 312 313 314 315 316 317 318 319 320 321 322 323 324 325 326 327 328 H. B. No. 198 Page 13 As Introduced tested in accordance with this section and rules adopted under section 930.07 of the Revised Code or that exceeds the maximum allowable level for a substance or organism specified in those rules. (B) A manufacturer shall contract with a testing laboratory to provide the testing required under this section. A testing laboratory that tests a hemp-derived consumable product for a manufacturer shall use high-performance liquid chromatography for any separation and measurement required in the testing. (C) A manufacturer shall ensure that each hemp-derived consumable product tested in accordance with this section is accompanied by a certificate of analysis issued by the testing laboratory. The laboratory shall include all of the following on the certificate of analysis: (1) The batch identification number; (2) The date the hemp-derived consumable product was received by the laboratory; (3) The date that the testing was completed; (4) The method of analysis for each test conducted; (5) Proof that the applicable certificate of analysis is congruent with the hemp-derived consumable product being tested. (D) The director shall do both of the following: (1) Maintain and post on the department of agriculture's web site a registry of testing laboratories that are qualified to test hemp-derived consumable products; (2) Develop an application and process by which testing 329 330 331 332 333 334 335 336 337 338 339 340 341 342 343 344 345 346 347 348 349 350 351 352 353 354 355 H. B. No. 198 Page 14 As Introduced laboratories are listed on the department of agriculture's web site. The application submitted by a potentially qualifying testing laboratory shall include a sample certificate of analysis issued by the applying laboratory. (E) No manufacturer or testing laboratory shall fail to comply with this section. Sec. 930.09. (A) A manufacturer licensed under this chapter shall include a label on each hemp-derived consumable product container that it sells or offers for sale by the manufacturer in this state that includes the following information in legible print: (1) The product name or common name on the front of the label; (2) The brand name on the front of the label; (3) The size of the container or net count of individual items included in the container on the front of the label; (4) The net weight or volume of the items included in the container; (5) The recommended use of the product, including the recommended serving size; (6) A list of ingredients, including the amount of any cannabinoid, in milligrams; (7) A list of allergens included in the product; (8) The name and address of the manufacturer and distributor; (9) The batch identification number of the ingredients included in the product; 356 357 358 359 360 361 362 363 364 365 366 367 368 369 370 371 372 373 374 375 376 377 378 379 380 381 382 H. B. No. 198 Page 15 As Introduced (10) A statement that the use of the product may be harmful while pregnant or breastfeeding; (11) A statement that the product contains hemp-derived cannabinoids and that consumption of certain cannabinoids may impair a person's ability to drive or operate heavy machinery; (12) A statement recommending that consumers keep the product out of the reach of children; (13) A statement that the product is only for persons twenty-one years of age or over; (14) A statement that a person should consult the person's physician before use; (15) A statement that consuming hemp-derived consumable products may result in a failed drug test; (16) An expiration date that conforms with applicable laws; (17) The following text: "This product has not been evaluated by the Food and Drug Administration. This product is not intended to diagnose, treat, cure, mitigate, or prevent any disease. Warning – The safety of this product has not been determined." (B) The manufacturer shall ensure that a label does not: (1) Include any likeness that bears a resemblance to a human or animal or to a cartoon or fictional character; (2) Imply to a consumer in any manner that the hemp- derived consumable product is a food, candy, or snack product, including a product that is typically marketed toward or 383 384 385 386 387 388 389 390 391 392 393 394 395 396 397 398 399 400 401 402 403 404 405 406 407 408 409 H. B. No. 198 Page 16 As Introduced appealing to children. (C) No manufacturer shall fail to comply with this section. Sec. 930.10. (A) A manufacturer licensed under this chapter shall annually register with the director of agriculture each hemp-derived consumable product that it intends to sell or offer for sale in this state. The manufacturer shall register or renew the registration of the product in accordance with deadlines established in rules adopted under section 930.07 of the Revised Code. (B) A manufacturer shall apply for registration on a form prescribed by the director. The application shall include all of following information: (1) The name and address of the applicant; (2) The name of the product; (3) The type and use of the product; (4) A complete copy of the label as it will appear on the product in a legible format; (5) If the product has been assigned a national drug code in accordance with 21 C.F.R. 207.33, the national drug code number; (6) The certificate of analysis from an independent testing laboratory for the hemp-derived consumable product as required under section 930.08 of the Revised Code. (C) The director may deny the application for registration of a hemp-derived consumable product if the application is incomplete. 410 411 412 413 414 415 416 417 418 419 420 421 422 423 424 425 426 427 428 429 430 431 432 433 434 435 436 H. B. No. 198 Page 17 As Introduced (D) A manufacturer shall apply for a new registration for a hemp-derived consumable product that has been previously registered if either of the following apply: (1) The product's ingredients, directions, or name has changed since its initial registration or most recent registration renewal. (2) Any other change has occurred regarding the product that necessitates a new registration as determined by the director in rules adopted under section 930.07 of the Revised Code. (E) A manufacturer shall continue to register a hemp- derived consumable product that has been discontinued until the product is no longer available for sale in this state. (F) No manufacturer shall fail to comply with the requirements of this section or falsify any information submitted for the registration of a hemp-derived consumable product. (G) No person, including any manufacturer, distributor, or retailer, shall sell or offer for sale a hemp-derived consumable product that is not registered as required by this section. Sec. 930.11. (A)(1) A manufacturer that is licensed under this chapter shall ensure that each hemp-derived consumable product it sells or offers for sale in this state meets the following requirements: (a) Except for a hemp-derived consumable product that is a beverage, the container in which the product is sold complies with child-resistant effectiveness standards under 16 C.F.R. 1700.15(b)(1) when tested in accordance with the requirements set forth in 16 C.F.R. 1700.20. 437 438 439 440 441 442 443 444 445 446 447 448 449 450 451 452 453 454 455 456 457 458 459 460 461 462 463 464 465 H. B. No. 198 Page 18 As Introduced (b) The product is manufactured in the United States in accordance with all applicable laws governing the manufacture of hemp-derived products in its jurisdiction of manufacture. (c) With respect to a hemp-derived consumable product intended for inhalation, the product is sold in a container that contains not more than six milliliters or six grams, in the aggregate, of hemp-derived cannabinoids. (d) The product is sold with a valid certificate of analysis issued for the product by an independent testing laboratory within the previous twelve months prior to its sale in accordance with section 930.08 of the Revised Code and rules adopted under section 930.07 of the Revised Code. (e) Each serving included within the product is not formed in the shape of a person or animal or cartoon character or fictional character. (2) No manufacturer shall fail to comply with division (A) (1) of this section. (B)(1) No retailer or distributor licensed under this chapter shall advertise, market, sell, or offer for sale a hemp- derived consumable product that is not in compliance with section 930.09 of the Revised Code or division (A)(1) of this section. (2) No retailer or distributor shall advertise or market a hemp-derived consumable product that includes trade dress, trademarks, branding, or other related imagery or scenery that depicts or signifies characters or symbols known to appeal primarily to persons under twenty-one years of age or that mimics commonly available food products, including candy or snack products. Division (B)(2) of this section does not prevent 466 467 468 469 470 471 472 473 474 475 476 477 478 479 480 481 482 483 484 485 486 487 488 489 490 491 492 493 494 H. B. No. 198 Page 19 As Introduced a retailer or distributor from using drawings, illustrations, or artwork depicting inanimate objects, scenery, fruit- or flavor- focused images, or any other items not known to appeal primarily to persons under twenty-one years of age. Sec. 930.12. (A) As used in this section: (1) "Good faith" means the duty of any party to any franchise, and all officers, employees, or agents of any party to any franchise, to act in a fair and equitable manner towards each other. (2) "Good cause" means any of the following: (a) Failure of a distributor to comply substantially with a franchise with a manufacturer, provided the provisions of the franchise are reasonable; (b) Use of bad faith by a distributor or failure to observe reasonable commercial standards of fair dealing in the trade by a distributor; (c) Revocation or suspension for more than thirty days of a distributor's license issued under this chapter. (B) If a manufacturer licensed under this chapter grants more than one franchise for the same brand or brands of hemp- derived consumable products to different licensed distributors in this state, the manufacturer shall not discriminate between the distributors with respect to any of the terms, provisions, and conditions of these franchises. (C) Notwithstanding the terms, provisions, and conditions of any franchise, no licensed manufacturer of a hemp-derived consumable product shall unilaterally terminate or refuse to continue or substantially change the condition of any franchise 495 496 497 498 499 500 501 502 503 504 505 506 507 508 509 510 511 512 513 514 515 516 517 518 519 520 521 522 H. B. No. 198 Page 20 As Introduced with a distributor unless the manufacturer has first established good cause for such termination, noncontinuance, or change. (D) Any distributor licensed under this chapter may bring an action in a court of competent jurisdiction against a hemp- derived consumable product manufacturer for violation of any of the provisions of this section and may recover damages sustained by the distributor together with the costs of the action and reasonable attorney's fees. In any such action brought by a distributor for termination, noncontinuance, or substantial change of a franchise in violation of the provisions of this section, it is a complete defense for the manufacturer that the termination, noncontinuance, or change was done in good faith and for good cause. Sec. 930.13. No person shall do any of the following: (A) Sell or distribute a hemp-derived consumable product to a person who is under twenty-one years of age; (B) Purchase a hemp-derived consumable product on behalf of a person who is under twenty-one years of age; (C) Persuade, entice, send, or assist a person who is under twenty-one years of age to purchase, acquire, receive, or attempt to purchase a hemp-derived consumable product. This division does not preclude the involvement of persons under twenty-one years of age in law enforcement investigations conducted for purposes of enforcing this section, provided the law enforcement agency has received the consent of such person or, in the case of a person seventeen years of age or younger, the consent of the parent or guardian of that person. (D) Distribute samples of a hemp-derived consumable product in or on a public street, sidewalk, or park; 523 524 525 526 527 528 529 530 531 532 533 534 535 536 537 538 539 540 541 542 543 544 545 546 547 548 549 550 551 H. B. No. 198 Page 21 As Introduced (E) Fail to verify that a person who attempts to purchase or purchases a hemp-derived consumable product is at least twenty-one years of age by examining the person's identification card; (F) If the person is under twenty-one years of age, purchase, possess, or accept receipt of a hemp-derived consumable product; (G) Furnish any false information regarding the name, age, or other identification of any person under twenty-one years of age with purpose to obtain a hemp-derived consumable product; (H) With the exception of a hemp-derived consumable product that is a beverage not exceeding 10 milligrams per serving, in the aggregate, of delta-8 tetrahydrocannabinol, delta-9 tetrahydrocannabinol, and delta-10 tetrahydrocannabinol, fail to maintain a hemp-derived consumable product behind the counter of a retail establishment in an area inaccessible to customers. A retailer shall ensure that any beverage that is not subject to this division, but that is a hemp-derived consumable product, is offered for sale at retail in such a manner so as to clearly indicate to consumers that the product contains hemp- derived cannabinoids, including through signage, shelf-talkers, and stickers on cooler doors. (I) If the person is a manufacturer or distributor, pay to a retailer any payment, credit, or any other consideration to induce the retailer to advertise or display a hemp-derived consumable product in a certain manner in the retailer's licensed premises; (J) If the person is a retailer, accept any payment, credit, or any other consideration to advertise or display a 552 553 554 555 556 557 558 559 560 561 562 563 564 565 566 567 568 569 570 571 572 573 574 575 576 577 578 579 580 H. B. No. 198 Page 22 As Introduced hemp-derived consumable product in a certain manner at the retailer's licensed premises; (K) Deliver, ship, or cause to be delivered or shipped any hemp-derived consumable beverage products directly to any consumer in this state; (L) Use a hemp-derived consumable product in any area under the control of a school or at a school-sponsored event that does not occur in an area under the control of a school. Sec. 930.14. (A) As used in this section, "food service operation" means a food service operation licensed under Chapter 3717. of the Revised Code and licensed under this chapter to sell hemp-derived consumable products at retail. (B) Except as provided in this section, a food service operation may sell or offer for sale a hemp-derived consumable product for on-site consumption only if it is a ready-to-consume or a direct consumption prepackaged hemp-derived consumable product. (C)(1) Except as provided in division (C)(2) of this section, no food service operation shall add a hemp-derived consumable product to a food product for sale at the food service operation. (2) A food service operation may add a hemp-derived consumable product that is a beverage to a nonalcoholic beverage product at the food service operation, provided the food service operation furnishes to consumers upon request all of the following: (a) The common name of the product; (b) The name of the distributor and manufacturer of the 581 582 583 584 585 586 587 588 589 590 591 592 593 594 595 596 597 598 599 600 601 602 603 604 605 606 607 608 H. B. No. 198 Page 23 As Introduced product; (c) A copy of the product's registration required under section 930.10 of the Revised Code. (3) No person, including a person issued a liquor permit under Chapter 4303. of the Revised Code, shall add a hemp- derived consumable product to a beverage that includes beer or intoxicating liquor, as those terms are defined in section 4301.01 of the Revised Code. (D) A food service operation shall notify the department of agriculture within twenty-four hours after becoming aware of or within twenty-four hours after the food service operation should have been aware of any serious adverse event related to a hemp-derived consumable product served to a consumer by the operation. Sec. 930.15. (A) The director of agriculture or the director's designee may inspect the location of a licensed manufacturer, distributor, or retailer or any other location to ensure compliance with this chapter and rules adopted under it. The director or the director's designee may conduct an inspection under this section during regular business hours without providing notice in advance of such inspection. (B) The director or the director's designee shall periodically sample, analyze, and test hemp-derived consumable products distributed and sold within this state to ensure that such products comply with this chapter and rules adopted under it. The director or the director's designee may seize a product containing a hemp-derived cannabinoid that is sold or offered for sale in violation of this chapter. (C) The director shall submit a report by the first day of 609 610 611 612 613 614 615 616 617 618 619 620 621 622 623 624 625 626 627 628 629 630 631 632 633 634 635 636 637 H. B. No. 198 Page 24 As Introduced March of each year to the general assembly describing the number and types of violations of this chapter committed during the prior calendar year. The director also shall post the report on the department of agriculture's web site. Sec. 930.16. (A) Nothing in this chapter does any of the following: (1) Requires an employer to permit or accommodate an employee's use, possession, or distribution of a hemp-derived consumable product; (2) Prohibits an employer from refusing to hire, discharging, disciplining, or otherwise taking an adverse employment action against an individual with respect to hire, tenure, terms, conditions, or privileges of employment because of that individual's use, possession, or distribution of a hemp- derived consumable product; (3) Prohibits an employer from establishing and enforcing a drug testing policy, drug-free workplace policy, or zero- tolerance drug policy; (4) Interferes with any federal restrictions on employment, including the regulations adopted by the United States department of transportation in Title 49 of the Code of Federal Regulations, as amended; (5) Permits an individual to commence a cause of action against an employer for refusing to hire, discharging, disciplining, discriminating, retaliating, or otherwise taking an adverse employment action against an individual with respect to hire, tenure, terms, conditions, or privileges of employment related to the individual's use of a hemp-derived consumable product; 638 639 640 641 642 643 644 645 646 647 648 649 650 651 652 653 654 655 656 657 658 659 660 661 662 663 664 665 666 H. B. No. 198 Page 25 As Introduced (6) Affects the authority of the administrator of workers' compensation to grant rebates or discounts on premium rates to employers that participate in a drug-free workplace program established in accordance with rules adopted by the administrator under Chapter 4123. of the Revised Code. (B) An individual who is discharged from employment because of that individual's use of a hemp-derived consumable product shall be considered to have been discharged for just cause for purposes of division (D) of section 4141.29 of the Revised Code if the individual's use of a hemp-derived consumable product was in violation of an employer's drug-free workplace policy, zero-tolerance policy, or other formal program or policy. Sec. 930.17. (A) As used in this section: (1) "Safe harbor hemp product" means a hemp-derived consumable product or hemp-derived cannabinoid, whether a finished product or in the process of being produced, that is not permitted to be manufactured for sale or distribution, produced for sale or distribution, packaged for sale or distribution, processed for sale or distribution, prepared for sale or distribution, transported for sale or distribution, or held for sale or distribution in this state, but that is intended for export from this state to be sold or distributed in another jurisdiction in which such sale or distribution is permitted. (2) "Safe harbor manufacturer, distributor, or storage facility" means a facility that manufactures, distributes, or stores a safe harbor hemp product. (B) This chapter does not apply to the following: 667 668 669 670 671 672 673 674 675 676 677 678 679 680 681 682 683 684 685 686 687 688 689 690 691 692 693 694 695 H. B. No. 198 Page 26 As Introduced (1) A safe harbor hemp product; (2) A safe harbor manufacturer, distributor, or storage facility solely with respect to the manufacture, distribution, or storage of safe harbor hemp products. (C) No person shall sell a safe harbor hemp product in this state. Sec. 930.99. Whoever knowingly violates any provision of this chapter is guilty of a misdemeanor of the first degree. Each day of violation is a separate offense. Notwithstanding section 2929.28 of the Revised Code and in addition to any other penalty that may be imposed, if a court imposes a fine on an offender, the fine shall not exceed two hundred fifty dollars. Any money collected from such fines shall be deposited in the hemp program fund created in section 928.06 of the Revised Code. Sec. 3719.01. As used in this chapter: (A) "Administer" means the direct application of a drug, whether by injection, inhalation, ingestion, or any other means to a person or an animal. (B) "Drug enforcement administration" means the drug enforcement administration of the United States department of justice or its successor agency. (C) "Controlled substance" means a drug, compound, mixture, preparation, or substance included in schedule I, II, III, IV, or V. (D) "Dangerous drug" has the same meaning as in section 4729.01 of the Revised Code. 696 697 698 699 700 701 702 703 704 705 706 707 708 709 710 711 712 713 714 715 716 717 718 719 720 721 722 H. B. No. 198 Page 27 As Introduced (E) "Dispense" means to sell, leave with, give away, dispose of, or deliver. (F) "Distribute" means to deal in, ship, transport, or deliver but does not include administering or dispensing a drug. (G) "Drug" has the same meaning as in section 4729.01 of the Revised Code. (H) "Drug abuse offense" and "felony drug abuse offense" have the same meanings as in section 2925.01 of the Revised Code. (I) "Federal drug abuse control laws" means the "Comprehensive Drug Abuse Prevention and Control Act of 1970," 84 Stat. 1242, 21 U.S.C. 801, as amended. (J) "Hospital" means a facility registered as a hospital with the department of health under section 3701.07 of the Revised Code. (K) "Hypodermic" means a hypodermic syringe or needle, or other instrument or device for the injection of medication. (L) "Manufacturer" means a person who manufactures a controlled substance, as "manufacture" is defined in section 3715.01 of the Revised Code, and includes a "manufacturer of dangerous drugs" as defined in section 4729.01 of the Revised Code. (M) "Marihuana" means all parts of a plant of the genus cannabis, whether growing or not; the seeds of a plant of that type; the resin extracted from a part of a plant of that type; and every compound, manufacture, salt, derivative, mixture, or preparation of a plant of that type or of its seeds or resin. "Marihuana" does not include the mature stalks of the plant, 723 724 725 726 727 728 729 730 731 732 733 734 735 736 737 738 739 740 741 742 743 744 745 746 747 748 749 750 H. B. No. 198 Page 28 As Introduced fiber produced from the stalks, oils or cake made from the seeds of the plant, or any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks, except the resin extracted from the mature stalks, fiber, oil or cake, or the sterilized seed of the plant that is incapable of germination. "Marihuana" does not include "hemp" or a "hemp product" as those terms are defined in section 928.01 of the Revised Code or a hemp-derived consumable product as that term is defined in section 930.01 of the Revised Code . (N) "Narcotic drugs" means coca leaves, opium, isonipecaine, amidone, isoamidone, ketobemidone, as defined in this division, and every substance not chemically distinguished from them and every drug, other than cannabis, that may be included in the meaning of "narcotic drug" under the federal drug abuse control laws. As used in this division: (1) "Coca leaves" includes cocaine and any compound, manufacture, salt, derivative, mixture, or preparation of coca leaves, except derivatives of coca leaves, that does not contain cocaine, ecgonine, or substances from which cocaine or ecgonine may be synthesized or made. (2) "Isonipecaine" means any substance identified chemically as 1-methyl-4-phenyl-piperidine-4-carboxylic acid ethyl ester, or any salt thereof, by whatever trade name designated. (3) "Amidone" means any substance identified chemically as 4-4-diphenyl-6-dimethylamino-heptanone-3, or any salt thereof, by whatever trade name designated. (4) "Isoamidone" means any substance identified chemically as 4-4-diphenyl-5-methyl-6-dimethylaminohexanone-3, or any salt 751 752 753 754 755 756 757 758 759 760 761 762 763 764 765 766 767 768 769 770 771 772 773 774 775 776 777 778 779 H. B. No. 198 Page 29 As Introduced thereof, by whatever trade name designated. (5) "Ketobemidone" means any substance identified chemically as 4-(3-hydroxyphenyl)-1-methyl-4-piperidyl ethyl ketone hydrochloride, or any salt thereof, by whatever trade name designated. (6) "Cocaine" has the same meaning as in section 2925.01 of the Revised Code. (O) "Official written order" means an order written on a form provided for that purpose by the director of the United States drug enforcement administration, under any laws of the United States making provision for the order, if the order forms are authorized and required by federal law. (P) "Person" means any individual, corporation, government, governmental subdivision or agency, business trust, estate, trust, partnership, association, or other legal entity. (Q) "Pharmacist" means a person licensed under Chapter 4729. of the Revised Code to engage in the practice of pharmacy. (R) "Pharmacy" has the same meaning as in section 4729.01 of the Revised Code. (S) "Poison" means any drug, chemical, or preparation likely to be deleterious or destructive to adult human life in quantities of four grams or less. (T) "Licensed health professional authorized to prescribe drugs," "prescriber," and "prescription" have the same meanings as in section 4729.01 of the Revised Code. (U) "Sale" includes delivery, barter, exchange, transfer, or gift, or offer thereof, and each transaction of those natures made by any person, whether as principal, proprietor, agent, 780 781 782 783 784 785 786 787 788 789 790 791 792 793 794 795 796 797 798 799 800 801 802 803 804 805 806 807 H. B. No. 198 Page 30 As Introduced servant, or employee. (V) "Schedule I," "schedule II," "schedule III," "schedule IV," and "schedule V" mean controlled substance schedules I, II, III, IV, and V, respectively, as established by rule adopted under section 3719.41 of the Revised Code, as amended pursuant to section 3719.43 or 3719.44 of the Revised Code, or as established by emergency rule adopted under section 3719.45 of the Revised Code. (W) "Wholesaler" means a person who, on official written orders other than prescriptions, supplies controlled substances that the person has not manufactured, produced, or prepared personally and includes a "wholesale distributor of dangerous drugs" as defined in section 4729.01 of the Revised Code. (X) "Animal shelter" means a facility operated by a humane society or any society organized under Chapter 1717. of the Revised Code or a dog pound operated pursuant to Chapter 955. of the Revised Code. (Y) "Terminal distributor of dangerous drugs" has the same meaning as in section 4729.01 of the Revised Code. (Z)(1) "Controlled substance analog" means, except as provided in division (Z)(2) of this section, a substance to which both of the following apply: (a) The chemical structure of the substance is substantially similar to the structure of a controlled substance in schedule I or II. (b) One of the following applies regarding the substance: (i) The substance has a stimulant, depressant, or hallucinogenic effect on the central nervous system that is 808 809 810 811 812 813 814 815 816 817 818 819 820 821 822 823 824 825 826 827 828 829 830 831 832 833 834 835 H. B. No. 198 Page 31 As Introduced substantially similar to or greater than the stimulant, depressant, or hallucinogenic effect on the central nervous system of a controlled substance in schedule I or II. (ii) With respect to a particular person, that person represents or intends the substance to have a stimulant, depressant, or hallucinogenic effect on the central nervous system that is substantially similar to or greater than the stimulant, depressant, or hallucinogenic effect on the central nervous system of a controlled substance in schedule I or II. (2) "Controlled substance analog" does not include any of the following: (a) A controlled substance; (b) Any substance for which there is an approved new drug application; (c) With respect to a particular person, any substance if an exemption is in effect for investigational use for that person pursuant to federal law to the extent that conduct with respect to that substance is pursuant to that exemption; (d) Any substance to the extent it is not intended for human consumption before the exemption described in division (Z) (2)(b) of this section takes effect with respect to that substance. (AA) "Benzodiazepine" means a controlled substance that has United States food and drug administration approved labeling indicating that it is a benzodiazepine, benzodiazepine derivative, triazolobenzodiazepine, or triazolobenzodiazepine derivative, including the following drugs and their varying salt forms or chemical congeners: alprazolam, chlordiazepoxide hydrochloride, clobazam, clonazepam, clorazepate, diazepam, 836 837 838 839 840 841 842 843 844 845 846 847 848 849 850 851 852 853 854 855 856 857 858 859 860 861 862 863 864 H. B. No. 198 Page 32 As Introduced estazolam, flurazepam hydrochloride, lorazepam, midazolam, oxazepam, quazepam, temazepam, and triazolam. (BB) "Opioid analgesic" means a controlled substance that has analgesic pharmacologic activity at the opioid receptors of the central nervous system, including the following drugs and their varying salt forms or chemical congeners: buprenorphine, butorphanol, codeine (including acetaminophen and other combination products), dihydrocodeine, fentanyl, hydrocodone (including acetaminophen combination products), hydromorphone, meperidine, methadone, morphine sulfate, oxycodone (including acetaminophen, aspirin, and other combination products), oxymorphone, tapentadol, and tramadol. (CC) "Outsourcing facility," "repackager of dangerous drugs," and "third-party logistics provider" have the same meanings as in section 4729.01 of the Revised Code. Section 2. That existing sections 928.01, 928.06, and 3719.01 of the Revised Code are hereby repealed. 865 866 867 868 869 870 871 872 873 874 875 876 877 878 879 880 881