Oklahoma 2023 Regular Session

Oklahoma Senate Bill SB635 Latest Draft

Bill / Engrossed Version Filed 03/23/2023

                             
 
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ENGROSSED SENATE 
BILL NO. 635 	By: Paxton of the Senate 
 
  and 
 
  Dobrinski of the House 
 
 
 
 
An Act relating to Oklahoma Industrial Hemp Program; 
amending 2 O.S. 2021, Section 3-402, as amended by 
Section 1, Chapter 265, O.S.L. 2022 (2 O.S. Supp. 
2022, Section 3-402), which relates to definition s; 
defining term; requiring registration of hem p-derived 
cannabinoid product with th e State Board of 
Agriculture; establishing conditions for registration 
by applicant to the Board; providing for promulgatio n 
of rules by Board for registration; establishing 
requirements for labeling and packaging necessary to 
sell hemp-derived cannabinoid products in the state; 
allowing for hemp-derived cannabinoids to be added to 
products under certain conditions; prohibiting 
distribution of products if misbranded or 
adulterated; allowing the Board to issue and enforce 
stop sale, stop use, or r emoval or products under 
certain conditions; providing for codification; and 
providing an effective date . 
 
 
 
 
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: 
SECTION 1.     AMENDATORY     2 O.S. 2021, Section 3 -402, as 
amended by Section 1, Chapter 265, O .S.L. 2022 (2 O.S. Supp. 2022, 
Section 3-402), is amended to read as follows: 
Section 3-402. As used in the Oklahoma Industrial Hemp Program: 
1.  “Department” means the Oklahoma Department of Agriculture, 
Food, and Forestry;   
 
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2.  “Fiber” means the stalk of the industrial hemp plant and 
does not include the flower or seeds of the plant; 
3. “Flower” means the part of the industrial hemp plant that 
contains the majority of the industrial hemp plant’s 
tetrahydrocannabinol and other cann abinoids; 
4.  “Grain” means all of the parts of an industrial hemp plant 
except the stalk or the flower of the industrial hemp plant; 
5.  “Handling” means possessing or storing industrial hemp for 
any period of time on premises owned, operated or controlled by a 
person licensed to cultivat e or process industrial hemp and also 
includes possessing or storing industrial hemp in a vehicle for any 
period of time other than during its actual transport from the 
premises of a licensed person to cultivate or process industrial 
hemp to the premises o f another licensed person; 
6.  “Hemp-derived cannabinoid product” means a product that 
contains cannabinoids that are extracted from hemp or resin from 
hemp by physical or chemical means and is intended for 
administration to a consumer including, but not limited to, 
concentrates, oils, tinctures, edibles, pills, topicals, gels, 
creams, and other derivative forms.  The term shall also mean 
products available for animal or human consumption, which may be in 
the form of inhalation into the respiratory system and ingestion in 
the gastrointestinal system, or tissue absorption.  The term shall 
not include seeds or seed-derived ingredients that are generally   
 
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recognized as safe by the United State s Food and Drug 
Administration; 
7. “Industrial hemp” means the plant Cannabis sativa L. and any 
part of the 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 mor e than three-tenths of one percent (0.3%) on 
a dry-weight basis; 
7. 8.  “Licensee” means a person who holds a valid Industrial 
Hemp License to grow industrial hemp under the Oklahoma Industrial 
Hemp Program.  A licensee shall have the ability to remediate 
noncompliant industrial hemp with a delta-9 tetrahydrocannabinol 
concentration of not more than one percent (1.0%) on a dry-weight 
basis for retesting as set forth by the Department as long as the 
noncompliant industrial hemp has a delta-9 tetrahydrocannabinol 
concentration of not more than three-tenths of one percent (0.3%) on 
a dry-weight basis after retesting, and the option to remediate the 
industrial hemp through the reasonable destruction of the flower or 
shredding of the entire lot into a homogeneous biomass results in 
the remediation of any part of the industrial hemp plant that is 
above three-tenths of one percent (0.3%) on a dry-weight basis.  All 
noncompliant hemp must be tracked and documented .  The State Board 
of Agriculture shall have jurisdiction over such remediation, which 
includes, but is not limited to, destruction through composting,   
 
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burning, or other regulated disposal methods if the industrial hemp 
is not remediated into a final product bef ore processing below 
three-tenths of one percent (0.3%) on a dry-weight basis; 
8. 9.  “License” means authorization by the Department for any 
person to grow and cultivate industrial hemp on a registered land 
area as part of the Oklahoma Industrial Hemp Pro gram; and 
9. 10.  “Processing” means converting industrial hemp into a 
marketable form, including the production of all derivatives, 
extracts, cannabinoids, isomers, acids, salts and salts of isomers. 
SECTION 2.     NEW LAW     A new section of law to be codified 
in the Oklahoma Statutes as Section 3-412 of Title 2, unless there 
is created a duplication in numbering, re ads as follows: 
A.  Each hemp-derived cannabinoid product shall be registered 
with the State Board of Agricultu re prior to distribution in this 
state by the manufacturer.  The application shall be submitted to 
the State Department of Agriculture on a registration form provided 
by the Board. 
B.  All registration shall expire on December 31 of the year for 
which the hemp-derived cannabinoid product is reg istered. 
C.  The applicant shall submit with the application for 
registration a copy of the label and, upon request of the 
Department, a copy of all advertisements, brochures, posters, and 
television and radio announcements to be used in promoting the sale 
of the hemp-derived cannabinoid product.   
 
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D.  If the Board discovers any hemp-derived cannabinoid product 
that is not registered, for which the registration was falsely 
submitted, or for which the registration was late, the Board may 
assess an administrative penalty.  The penalty shall be assessed per 
offending product. 
E.  The State Board of Agriculture may promulgate rules 
containing the requirements for regist ration, registration fees, 
label requirements, and an y other rules necessary for the 
implementation of this section. 
SECTION 3.    NEW LAW     A new section of law to be codified 
in the Oklahoma Statutes as Section 3-413 of Title 2, unless there 
is created a duplication in numbering, reads as follows: 
A.  Each container of hemp -derived cannabinoid product shall be 
labeled on the face or display side in a readable and conspicuous 
form to show at a minimum the following information: 
1.  The net weight of the contents; 
2.  The name of the product; 
3.  The total amount of milligrams of hemp-derived cannabinoid 
in the entire package; 
4.  Milligrams per servin g of cannabidiol (CBD), 
tetrahydrocannabinol (THC), or any other marketed cannabinoid, if 
applicable; 
5.  A list of all ingredients;   
 
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6.  A statement that the product is not approved for any medi cal 
use by the United States Food and Drug Administration; 
7.  The lot or batch number; 
8.  The expiration or best-by date; 
9.  Adequate directions for use; 
10.  A web address, QR code, or other scannable barcode 
accessing the laboratory te sting reports; 
11.  The country or state of origin where hemp is sourced; 
12.  Servings per package; 
13.  Means for reporting adve rse events; 
14.  The name, address, and telephone number of the registrant; 
and 
15. Warnings regarding children , pets, and pregnancy. 
B.  The applicant shall su bmit a current label with a working 
barcode for the certificate of analysis for the hemp-derived 
cannabinoid products with the application. 
C.  A hemp-derived cannabinoid product shall not imitate any 
packaging used for products typically marketed to childre n. 
D.  All packaging shall be chil d-resistant. 
E.  Packaging that contains more than one (1) serving shall be 
resealable. 
F.  If the Board approved the guaranteed analysis and listing of 
a hemp-derived cannabinoid product, the product shall be subject to 
inspection and analysis.   
 
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G.  The Board may prescribe methods and procedures of inspecti on 
and analysis of hemp-derived cannabinoid products.  The Board may 
stipulate, by rule, the quantities that are allowed in a hemp-
derived cannabinoid product. 
SECTION 4.     NEW LAW    A new section of law to be codified 
in the Oklahoma Statutes as Section 3-414 of Title 2, unless there 
is created a duplication in numbering, reads as follows: 
A.  A hemp-derived cannabinoid may be added to an ingestible 
product during the manufacturing process or prior to retail sale at 
a food service establishment. 
B.  The hemp-derived cannabinoid shall be obtain ed from product 
grown under the United States Department of Agricultur e (USDA) hemp 
licensing program. 
C.  The food processor or food service esta blishment shall 
obtain a valid certificate of analysis from the licensed USDA hemp 
grower or processor and provide a copy upon request or inspection. 
SECTION 5.     NEW LAW     A new section of law to be codified 
in the Oklahoma Statutes as Section 3-415 of Title 2, unless there 
is created a duplication in numbering, reads as follows: 
A.  No person shall distribute misbranded hem p-derived 
cannabinoid product.  A hemp-derived cannabinoid product shall be 
considered misbranded if: 
1.  The labeling is false or misleading;   
 
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2.  The product is distributed under the name of another hemp-
derived cannabinoid product; or 
3.  The product is not lab eled in compliance with the rules of 
the State Board of Agricultur e. 
B.  No person shall distribute an adulterated hemp-derived 
cannabinoid product.  A hemp-derived cannabinoid product shall be 
considered adulterated if: 
1.  The product contains any deleterious or harmful substance in 
sufficient amounts to render the product injurious to beneficial 
plant life, animals, humans, aquatic life, soil, or water when 
applied in accordance with directions for use on the label; 
2.  Adequate warning statements or directions for use , which may 
be necessary to protect plant life, animals, humans, aquatic life, 
soil, or water, are not shown upon the label; or 
3.  The product’s composition falls below or differs from that 
which the product is purported to possess by labeling. 
SECTION 6.     NEW LAW     A new section of law to be codified 
in the Oklahoma Statutes as Section 3-416 of Title 2, unless there 
is created a duplication in numbering, reads as follows: 
A.  The State Board of Agriculture may issue and enforce a st op 
sale, stop use, or removal order to the owner or custo dian of any 
lot of hemp-derived cannabinoid product.  The owner or custodian 
shall hold the lot of hemp-derived cannabinoid product until the 
time when the product or labeling complies with this act.   
 
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B.  It shall be a violation of thi s act for any person to: 
1.  Distribute a hemp-derived cannabinoid product that is not 
registered with the State Board of Agriculture; 
2.  Distribute a hemp-derived cannabinoid product that is not 
labeled in accordance with the requirements of the Board; 
3.  Distribute a hemp-derived cannabinoid product th at is 
misbranded; 
4.  Distribute a hemp-derived cannabinoid product that is 
adulterated; 
5.  Violate any provision of the requirements of the Board; or 
6.  Fail to comply with a stop sale, stop use, or removal order. 
SECTION 7.  This act shall become effective November 1, 2023. 
Passed the Senate the 22nd day of March, 2023. 
 
 
  
 	Presiding Officer of the Senate 
 
 
Passed the House of Representatives the ____ day of __________, 
2023. 
 
 
  
 	Presiding Officer of the House 
 	of Representatives