H.B. 227
LEGISLATIVE GENERAL COUNSEL
6 Approved for Filing: C. Williams 6
6 01-17-23 3:28 PM 6
H.B. 227
1 HEMP AMENDMENTS
2 2023 GENERAL SESSION
3 STATE OF UTAH
4 Chief Sponsor: Jennifer Dailey-Provost
5 Senate Sponsor: ____________
6
7LONG TITLE
8General Description:
9 This bill amends provisions related to hemp.
10Highlighted Provisions:
11 This bill:
12 <defines terms;
13 <modifies definitions;
14 <allows the Department of Agriculture and Food (department) to require the
15registration of non-cannabinoid hemp products;
16 <creates an industrial hemp producer registration process;
17 <prohibits the sale of a cannabinoid product to an individual who is not at least 21
18years old;
19 <allows a cannabinoid processor to produce products that may not be sold in the
20state;
21 <requires a warning label to be added to all cannabinoid products that are designed to
22be inhaled;
23 <authorizes rulemaking for the department:
24 Cto test a cannabinoid processor's cannabinoid at the processor's expense; and
25 Cto ban or limit the presence of a substance if the department receives a
26recommendation from the public health authority; and
27 <makes technical changes.
*HB0227* H.B. 227 01-17-23 3:28 PM
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28Money Appropriated in this Bill:
29 None
30Other Special Clauses:
31 None
32Utah Code Sections Affected:
33AMENDS:
34 4-41-102, as last amended by Laws of Utah 2022, Chapters 74, 290
35 4-41-103.1, as last amended by Laws of Utah 2022, Chapter 74
36 4-41-103.2, as last amended by Laws of Utah 2022, Chapter 74
37 4-41-103.3, as last amended by Laws of Utah 2022, Chapter 290
38 4-41-103.4, as last amended by Laws of Utah 2022, Chapter 290
39 4-41-104, as last amended by Laws of Utah 2022, Chapter 74
40 4-41-105, as last amended by Laws of Utah 2022, Chapters 74, 290 and last amended
41by Coordination Clause, Laws of Utah 2022, Chapter 74
42 4-41-106, as last amended by Laws of Utah 2022, Chapter 74
43 4-41-402, as last amended by Laws of Utah 2022, Chapter 290
44 4-41-403, as last amended by Laws of Utah 2022, Chapter 74
45ENACTS:
46 4-41-103.5, Utah Code Annotated 1953
47
48Be it enacted by the Legislature of the state of Utah:
49 Section 1. Section 4-41-102 is amended to read:
50 4-41-102. Definitions.
51 As used in this chapter:
52 (1) "Adulterant" means any poisonous or deleterious substance in a quantity that may
53be injurious to human health, including:
54 (a) pesticides;
55 (b) heavy metals;
56 (c) solvents;
57 (d) microbial life;
58 (e) artificially derived cannabinoids; 01-17-23 3:28 PM H.B. 227
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59 (f) toxins; or
60 (g) foreign matter.
61 (2) (a) "Artificially derived cannabinoid" means a chemical substance that is created by
62a chemical reaction that changes the molecular structure of any chemical substances derived
63from the cannabis plant.
64 (b) "Artificially derived cannabinoid" does not include:
65 (i) a naturally occurring chemical substance that is separated from the cannabis plant
66by a chemical or mechanical extraction process; or
67 (ii) cannabinoids that are produced by decarboxylation from a naturally occurring
68cannabinoid acid without the use of a chemical catalyst.
69 (3) "Cannabidiol" or "CBD" means the cannabinoid identified as CAS# 13956-29-1.
70 [(2)] (4) "Cannabidiolic acid" or "CBDA" means the cannabinoid identified as CAS#
711244-58-2.
72 (5) "Cannabinoid processor license" means a license that the department issues to a
73person for the purpose of processing a cannabinoid product.
74 [(3)] (6) "Cannabinoid product" means a product that:
75 (a) contains or is represented to contain one or more naturally occurring cannabinoids;
76[and]
77 (b) contains less than the cannabinoid product THC level, by dry weight; [and]
78 (c) [after December 1, 2022,] contains a combined amount of total THC and any THC
79analog that does not exceed 10% of the total cannabinoid content[.]; and
80 (d) does not exceed a total of THC and any THC analog that is greater than:
81 (i) 5 milligrams per serving; or
82 (ii) 50 milligrams per package.
83 (7) "Cannabinoid product class" means a group of cannabinoid products that:
84 (a) have all ingredients in common; and
85 (b) are produced by or for the same company.
86 [(4)] (8) "Cannabinoid product THC level" means a combined concentration of total
87THC and any THC analog of less than 0.3% on a dry weight basis if laboratory testing confirms
88a result within a measurement of uncertainty that includes the combined concentration of 0.3%.
89 [(5)] (9) "Delta-9-tetrahydrocannabinol" or "delta-9-THC" means the cannabinoid H.B. 227 01-17-23 3:28 PM
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90identified as CAS# 1972-08-3, the primary psychotropic cannabinoid in cannabis.
91 [(6) "Derivative cannabinoid" means any cannabinoid that has been intentionally
92created using a process to convert one cannabinoid into another.]
93 [(7) "Dosage form" means the form in which a product is produced for individual
94dosage and that is not specified as unlawful in this chapter.]
95 [(8)] (10) "Industrial hemp" means any part of a cannabis plant, whether growing or
96not, with a concentration of less than 0.3% tetrahydrocannabinol by dry weight.
97 [(9)] (11) "Industrial hemp laboratory permit" means a permit that the department
98issues to a laboratory qualified to test industrial hemp [under the state hemp production plan].
99 [(10)] (12) "Industrial hemp producer [license] registration" means a [license]
100registration that the department issues to a person for the purpose of processing industrial hemp
101or an industrial hemp product.
102 [(11)] (13) "Industrial hemp retailer permit" means a permit that the department issues
103to a retailer who sells any viable industrial hemp [product] seed or cannabinoid product.
104 [(12)] (14) (a) "Industrial hemp product" means a product [derived from, or made by,]
105made by processing industrial hemp plants or industrial hemp parts.
106 (b) "Industrial hemp product" does not include cannabinoid material.
107 (15) "Key participant" means any of the following:
108 (a) a licensee;
109 (b) an operation manager;
110 (c) a site manager; or
111 (d) an employee who has access to any industrial hemp material with a THC
112concentration above 0.3%.
113 [(13) "Industrial hemp product class" means a group of cannabinoid products:]
114 [(a) that have all ingredients in common; and]
115 [(b) are produced by or for the same company.]
116 [(14) (a) "Key participant" means any person who has a financial interest in the
117business entity, including members of a limited liability company, a sole proprietor, partners in
118a partnership, and incorporators or directors of a corporation.]
119 [(b) "Key participant" includes an:]
120 [(i) individual at an executive level, including a chief executive officer, chief operating 01-17-23 3:28 PM H.B. 227
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121officer, or chief financial officer; and]
122 [(ii) operation manager, site manager, or any employee who may present a risk of
123diversion.]
124 [(15)] (16) "Laboratory permittee" means a person possessing an industrial hemp
125laboratory permit that the department issues under this chapter.
126 [(16)] (17) "Licensee" means a person possessing [an industrial hemp producer] a
127cannabinoid processor license that the department issues under this chapter.
128 [(17)] (18) "Non-compliant material" means:
129 (a) a hemp plant that does not comply with this chapter, including a cannabis plant
130with a concentration of 0.3% tetrahydrocannabinol or greater by dry weight; and
131 (b) a cannabinoid product, chemical, or compound with a concentration that exceeds
132the cannabinoid product THC level.
133 [(18)] (19) "Permittee" means a person possessing a permit that the department issues
134under this chapter.
135 [(19)] (20) "Person" means:
136 (a) an individual, partnership, association, firm, trust, limited liability company, or
137corporation; and
138 (b) an agent or employee of an individual, partnership, association, firm, trust, limited
139liability company, or corporation.
140 [(20)] (21) "Retailer permittee" means a person possessing an industrial hemp retailer
141permit that the department issues under this chapter.
142 [(21) "Synthetic cannabinoid" means any cannabinoid that:]
143 [(a) was chemically synthesized from starting materials other than a naturally occurring
144cannabinoid; and]
145 [(b) is not a derivative cannabinoid.]
146 (22) "Tetrahydrocannabinol" or "THC" means a delta-9-tetrahydrocannabinol, the
147cannabinoid identified as CAS# 1972-08-3.
148 (23) (a) "THC analog" means a substance that is structurally or pharmacologically
149substantially similar to, or is represented as being similar to, delta-9-THC.
150 (b) "THC analog" does not include the following substances or the naturally occurring
151acid forms of the following substances: H.B. 227 01-17-23 3:28 PM
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152 (i) cannabichromene (CBC), the cannabinoid identified as CAS# 20675-51-8;
153 (ii) cannabicyclol (CBL), the cannabinoid identified as CAS# 21366-63-2;
154 (iii) cannabidiol (CBD), the cannabinoid identified as CAS# 13956-29-1;
155 (iv) cannabidivarol (CBDV), the cannabinoid identified as CAS# 24274-48-4;
156 (v) cannabielsoin (CBE), the cannabinoid identified as CAS# 52025-76-0;
157 (vi) cannabigerol (CBG), the cannabinoid identified as CAS# 25654-31-3;
158 (vii) cannabigerovarin (CBGV), the cannabinoid identified as CAS# 55824-11-8;
159 (viii) cannabinol (CBN), the cannabinoid identified as CAS# 521-35-7;
160 (ix) cannabivarin (CBV), the cannabinoid identified as CAS# 33745-21-0; or
161 (x) delta-9-tetrahydrocannabivarin (THCV), the cannabinoid identified as CAS#
16231262-37-0.
163 (24) "Total cannabidiol" or "total CBD" means the combined amounts of cannabidiol
164and cannabidiolic acid, calculated as "total CBD = CBD + (CBDA x 0.877)".
165 (25) "Total tetrahydrocannabinol" or "total THC" means the sum of the determined
166amounts of delta-9-THC, tertrahydrocannabinolic acid, calculated as "total THC = delta-9-THC
167+ (THCA x 0.877)".
168 Section 2. Section 4-41-103.1 is amended to read:
169 4-41-103.1. Authority to regulate production, sale, and testing of cannabinoid
170products and industrial hemp.
171 (1) The department shall make rules in accordance with Title 63G, Chapter 3, Utah
172Administrative Rulemaking Act, to:
173 (a) establish requirements for [an industrial hemp producer] a cannabinoid processor
174license to process [industrial hemp] cannabinoid products;
175 (b) establish requirements for an industrial hemp retailer permit to market or sell
176industrial hemp products; [and]
177 (c) establish the standards, methods, practices, and procedures a laboratory must use to
178qualify for a permit to test industrial hemp and [industrial hemp] cannabinoid products and to
179dispose of non-compliant material[.]; and
180 (d) establish requirements for registration of processors of non-cannabinoid industrial
181hemp products.
182 (2) The department shall maintain a list of each licensee and permittee. 01-17-23 3:28 PM H.B. 227
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183 Section 3. Section 4-41-103.2 is amended to read:
184 4-41-103.2. Cannabinoid processor license.
185 (1) The department or a licensee of the department may process [industrial hemp] a
186cannabinoid product.
187 (2) A person seeking [an industrial hemp producer] a cannabinoid processor license
188shall provide to the department:
189 (a) the legal description and global positioning coordinates sufficient for locating the
190facility the person uses to process industrial hemp; and
191 (b) written consent allowing a representative of the department and local law
192enforcement to enter all premises where the person processes or stores industrial hemp for the
193purpose of:
194 (i) conducting a physical inspection; or
195 (ii) ensuring compliance with the requirements of this chapter.
196 (3) An individual who has been convicted of a drug-related felony within the last 10
197years is not eligible to obtain [an industrial hemp producer] a cannabinoid processor license.
198 (4) The department may set a fee in accordance with Subsection 4-2-103(2) for the
199application for [an industrial hemp producer] a cannabinoid processor license.
200 (5) A licensee may only market [industrial hemp] a cannabinoid product that the
201licensee [cultivates or] processes.
202 (6) (a) Each applicant for a license to process [industrial hemp] cannabinoid products
203shall submit to the department, at the time of application, from each key participant:
204 (i) a fingerprint card in a form acceptable to the Department of Public Safety;
205 (ii) a signed waiver in accordance with Subsection 53-10-108(4) acknowledging the
206registration of the individual's fingerprints in the Federal Bureau of Investigation Next
207Generation Identification System's Rap Back Service; and
208 (iii) consent to a fingerprint background check by:
209 (A) the Bureau of Criminal Identification; and
210 (B) the Federal Bureau of Investigation.
211 (b) The Bureau of Criminal Identification shall:
212 (i) check the fingerprints the applicant submits under Subsection (6)(a) against the
213applicable state, regional, and national criminal records databases, including the Federal H.B. 227 01-17-23 3:28 PM
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214Bureau of Investigation Next Generation Identification System;
215 (ii) report the results of the background check to the department;
216 (iii) maintain a separate file of fingerprints that applicants submit under Subsection
217(6)(a) for search by future submissions to the local and regional criminal records databases,
218including latent prints;
219 (iv) request that the fingerprints be retained in the Federal Bureau of Investigation Next
220Generation Identification System's Rap Back Service for search by future submissions to
221national criminal records databases, including the Next Generation Identification System and
222latent prints; and
223 (v) establish a privacy risk mitigation strategy to ensure that the department only
224receives notifications for an individual with whom the department maintains an authorizing
225relationship.
226 (c) The department shall:
227 (i) assess an individual who submits fingerprints under Subsection (6)(a) a fee in an
228amount that the department sets in accordance with Section 63J-1-504 for the services that the
229Bureau of Criminal Identification or another authorized agency provides under this section; and
230 (ii) remit the fee described in Subsection (6)(c)(i) to the Bureau of Criminal
231Identification.
232 Section 4. Section 4-41-103.3 is amended to read:
233 4-41-103.3. Industrial hemp retailer permit.
234 (1) Except as provided in Subsection (4), a retailer permittee of the department may
235market or sell [industrial hemp products] a cannabinoid product or a viable industrial hemp
236seed.
237 (2) A person seeking an industrial hemp retailer permit shall provide to the department:
238 (a) the name of the person that is seeking to market or sell [an industrial hemp product]
239a cannabinoid product or a viable industrial hemp seed;
240 (b) the address of each location where [the industrial hemp product] a cannabinoid
241product or a viable industrial hemp seed will be sold; and
242 (c) written consent allowing a representative of the department to enter all premises
243where the person is selling [an industrial hemp product] a cannabinoid product or a viable
244industrial hemp seed for the purpose of: 01-17-23 3:28 PM H.B. 227
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245 (i) conducting a physical inspection; or
246 (ii) ensuring compliance with the requirements of this chapter.
247 (3) The department may set a fee in accordance with Subsection 4-2-103(2) for the
248application for an industrial hemp retailer permit.
249 (4) Any marketing for [an industrial hemp product] a cannabinoid product or a viable
250industrial hemp seed shall include a notice to consumers that the product is hemp and is not
251cannabis or medical cannabis, as those terms are defined in Section 26-61a-102.
252 Section 5. Section 4-41-103.4 is amended to read:
253 4-41-103.4. Industrial hemp laboratory permit.
254 (1) The department or a laboratory permittee of the department may test industrial
255hemp and [industrial hemp] cannabinoid products.
256 (2) The department or a laboratory permittee of the department may dispose of
257non-compliant material.
258 (3) A laboratory seeking an industrial hemp laboratory permit shall:
259 (a) demonstrate to the department that:
260 (i) the laboratory and laboratory staff possess the professional certifications required by
261department rule;
262 (ii) the laboratory has the ability to test industrial hemp and industrial hemp products
263using the standards, methods, practices, and procedures required by department rule;
264 (iii) the laboratory has the ability to meet the department's minimum standards of
265performance for detecting concentration levels of THC and any cannabinoid known to be
266present; and
267 (iv) the laboratory has a plan that complies with the department's rule for the safe
268disposal of non-compliant material; and
269 (b) provide to the department written consent allowing a representative of the
270department and local law enforcement to enter all premises where the laboratory tests,
271processes, or stores industrial hemp, industrial hemp products, and non-compliant plants for the
272purpose of:
273 (i) conducting a physical inspection; or
274 (ii) ensuring compliance with the requirements of this chapter.
275 (4) An individual who has been convicted of a drug-related felony within the last 10 H.B. 227 01-17-23 3:28 PM
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276years is not eligible to obtain a license under this chapter.
277 (5) The department may set a fee in accordance with Subsection 4-2-103(2) for the
278application for an industrial hemp laboratory permit.
279 Section 6. Section 4-41-103.5 is enacted to read:
280 4-41-103.5. Industrial hemp producer registration -- Limitation on industrial
281hemp product use.
282 (1) A person may produce an industrial hemp product if the person has registered with
283the department as an industrial hemp producer.
284 (2) A person seeking to register under Subsection (1) shall provide to the department:
285 (a) the name of the person that is seeking to produce an industrial hemp product;
286 (b) the address of each location where the industrial hemp product will be
287manufactured; and
288 (c) written consent allowing a representative of the department to enter any premise
289where the person is manufacturing industrial hemp product for:
290 (i) conducting a physical inspection; or
291 (ii) ensuring compliance with the requirements of this chapter.
292 (3) Any industrial hemp product or by product cannot be used for production of
293cannabinoid products.
294 (4) An industrial hemp product or byproduct may not be used for production of a
295cannabinoid product.
296 Section 7. Section 4-41-104 is amended to read:
297 4-41-104. Product registration required for distribution -- Application -- Fees --
298Renewal.
299 (1) [An industrial hemp] A cannabinoid product class or cannabinoid product that is
300not registered with the department may not be distributed in this state.
301 (2) A person seeking registration for [an industrial hemp] a cannabinoid product class
302or cannabinoid product shall:
303 (a) apply to the department on forms provided by the department; and
304 (b) submit an annual registration fee, determined by the department pursuant to
305Subsection 4-2-103(2), for each [industrial hemp] cannabinoid product class or cannabinoid
306product the person intends to distribute in this state. 01-17-23 3:28 PM H.B. 227
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307 (3) The department may conduct tests, or require test results, to ensure that any claim
308made by an applicant about [an industrial hemp] a cannabinoid product class or cannabinoid
309product is accurate.
310 (4) Upon receipt by the department of a proper application and payment of the
311appropriate fee, as described in Subsection (2), the department shall issue a registration to the
312applicant allowing the applicant to distribute the registered [industrial hemp] cannabinoid
313product class or cannabinoid product in the state for one year from the date of the payment of
314the fee, subject to suspension or revocation for cause.
315 (5) The department shall mail, either through the postal service or electronically, forms
316for the renewal of a registration to a registrant at least 30 days before the day on which the
317registrant's registration expires.
318 Section 8. Section 4-41-105 is amended to read:
319 4-41-105. Unlawful acts.
320 (1) It is unlawful for a person to handle, process, or market living industrial hemp
321plants, viable hemp seeds, leaf materials, or floral materials derived from industrial hemp
322without the appropriate license or permit issued by the department under this chapter.
323 (2) It is unlawful for any person to:
324 (a) distribute, sell, or market [an industrial hemp product or] a cannabinoid product
325that is:
326 (i) not registered with the department under Section 4-41-104; or
327 (ii) noncompliant material;
328 (b) transport into or out of the state extracted material or final product that contains
3290.3% or more of total THC; [or]
330 (c) [produce, sell,] sell or use a cannabinoid product that is:
331 (i) added to a conventional food or beverage, as the department further defines in rules
332described in Section 4-41-403;
333 (ii) marketed or manufactured to be enticing to children, as further defined in rules
334described in Section 4-41-403; or
335 (iii) smokable flower[.]; or
336 (d) knowingly or intentionally sell or give a cannabinoid product in the course of
337business to an individual who is not at least 21 years old. H.B. 227 01-17-23 3:28 PM
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338 (3) The department may seize and destroy non-compliant material.
339 (4) Nothing in this chapter authorizes any person to violate federal law, regulation, or
340any provision of this title.
341 Section 9. Section 4-41-106 is amended to read:
342 4-41-106. Enforcement -- Fine -- Citation.
343 (1) If a person violates this part, the department may:
344 (a) revoke the person's license or permit;
345 (b) decline to renew the person's license or permit; or
346 (c) assess the person a civil penalty that the department establishes in accordance with
347Section 4-2-304.
348 (2) Except for a fine that the department assesses for an unlicensed processor or
349unregistered product, the department shall deposit a penalty imposed under this section into the
350General Fund.
351 (3) The department may take an action described in Subsection (4) if the department
352concludes, upon investigation, that a person has violated this chapter, a rule made under this
353chapter, or an order issued under this chapter.
354 (4) If the department makes the conclusion described in Subsection (3), the department
355shall:
356 (a) issue the person a written administrative citation;
357 (b) attempt to negotiate a stipulated settlement;
358 (c) seize, embargo, or destroy the industrial hemp batch or unregistered product;
359 (d) order the person to cease the violation; and
360 (e) if a stipulated settlement cannot be reached, conduct an adjudicative proceeding
361under Title 63G, Chapter 4, Administrative Procedures Act.
362 (5) The department may, for a person, other than an individual, that is subject to an
363uncontested citation, a stipulated settlement, or a finding of a violation in an adjudicative
364proceeding under this section, for a fine amount not already specified in law, assess the person
365a fine of up to $5,000 per violation, in accordance with a fine schedule that the department
366establishes by rule in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking
367Act.
368 (6) The department may not revoke [an industrial hemp producer's] a cannabinoid 01-17-23 3:28 PM H.B. 227
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369processor license, an industrial hemp retailer's permit, or an industrial hemp laboratory permit
370without first giving the person the opportunity to appear before an adjudicative proceeding
371conducted under Title 63G, Chapter 4, Administrative Procedures Act.
372 (7) If, within 30 calendar days after the day on which a department serves a citation for
373a violation of this chapter, the person that is the subject of the citation fails to request a hearing
374to contest the citation, the citation becomes the department's final order.
375 (8) The department may, for a person who fails to comply with a citation under this
376section:
377 (a) refuse to issue or renew the person's [producer] processor license, retailer permit, or
378laboratory permit; or
379 (b) suspend, revoke, or place on probation the person's [producer] processor license,
380retailer permit, or laboratory permit.
381 Section 10. Section 4-41-402 is amended to read:
382 4-41-402. Cannabinoid sales and use authorized.
383 (1) The sale or use of a cannabinoid product is prohibited:
384 (a) except as provided in this chapter; or
385 (b) unless the United States Food and Drug Administration approves the product.
386 (2) The department shall keep a list of registered cannabinoid products that the
387department has determined, in accordance with Section 4-41-403, are safe for human
388consumption.
389 (3) (a) A person may sell or use a cannabinoid product that is in the list of registered
390cannabinoid products described in Subsection (2).
391 (b) An individual may use cannabidiol or a cannabidiol product that is not in the list of
392registered cannabinoid products described in Subsection (2) if:
393 (i) the individual purchased the product outside the state; and
394 (ii) the product's contents do not violate Title 58, Chapter 37, Utah Controlled
395Substances Act.
396 (4) Any marketing for a cannabinoid product shall include a notice to consumers that
397the product is hemp or CBD and is not cannabis or medical cannabis, as those terms are
398defined in Section 26-61a-102.
399 (5) A cannabinoid product that is designed to be inhaled shall include a warning on the H.B. 227 01-17-23 3:28 PM
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400label regarding the possible health effects of inhaling cannabinoid products.
401 Section 11. Section 4-41-403 is amended to read:
402 4-41-403. Standards for registration.
403 (1) (a) The department shall make rules in accordance with Title 63G, Chapter 3, Utah
404Administrative Rulemaking Act:
405 (i) to determine standards for a registered cannabinoid product, including standards for:
406 (A) testing to ensure the product is safe for human consumption; and
407 (B) accurate labeling;
408 (ii) governing an entity that manufactures cannabinoid products, including standards
409for health and safety;
410 (iii) to determine when and how a cannabinoid processor's cannabinoid must be tested
411by the department at the expense of the cannabinoid processor;
412 [(iii)] (iv) regarding what constitutes:
413 (A) a conventional food or beverage; and
414 (B) a product that is marketed or manufactured to be enticing to children; and
415 [(iv)] (v) regarding any other issue the department considers necessary for the safe
416production and sale of cannabinoid products.
417 (b) Notwithstanding Subsection (1)(a), the department may not prohibit a sugar coating
418on a cannabinoid product to mask the product's taste, subject to the limitations described in
419Subsection [(1)(a)(iii) or (iv)] (1)(a)(iv) or (v).
420 (2) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
421department may make rules to immediately ban or limit the presence of any substance in a
422cannabinoid product after receiving a recommendation to do so from a public health authority
423as defined in Section 26B-1-102.
424 [(2)] (3) The department shall set a fee for a registered cannabinoid product, in
425accordance with Section 4-2-103.
426 [(3)] (4) (a) A producer, manufacturer, or distributor of a cannabinoid product may pay
427the fee described in Subsection [(2)] (3).
428 (b) A cannabinoid product may not be registered with the department until the fee
429described in Subsection [(2)] (3) is paid.
430 [(4)] (5) The department shall set an administrative fine, larger than the fee described 01-17-23 3:28 PM H.B. 227
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431in Subsection [(2)] (3), for a person who sells a cannabinoid product that is not registered by
432the department.