<section article="gag" article_name="Agriculture" number="14-101" title_number="14" title_name="Hemp" subtitle_number="1" subtitle_name="Definitions"> <level label="a"> <text>In this title the following words have the meanings indicated.</text> </level> <level label="b"> <text>“Fund” means the Hemp Farming Fund established under § 14–304 of this title.</text> </level> <level label="c"> <level label="1"> <text>“Hemp” means the plant Cannabis sativa L. and any part of that plant, including all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of isomers, whether growing or not, with a delta–9–tetrahydrocannabinol concentration that does not exceed 0.3% on a dry weight basis.</text> </level> <level label="2"> <text>“Hemp” does not include any plant or part of a plant intended for a use that is regulated under Title 13, Subtitle 33 of the Health – General Article.</text> </level> </level> <level label="d"> <text>“Hemp product” means a product derived from hemp produced in accordance with Subtitle 3 of this title.</text> </level> <level label="e"> <text>“Independent testing laboratory” has the meaning stated in § 13–3301 of the Health – General Article.</text> </level> <level label="f"> <text>“Institution of higher education” has the meaning stated in the federal Higher Education Act of 1965.</text> </level> </section> <section article="gag" article_name="Agriculture" number="14-201" title_number="14" title_name="Hemp" subtitle_number="2" subtitle_name="Hemp Research Pilot Program"> <text>In this subtitle, “Program” means the Hemp Research Pilot Program.</text> </section> <section article="gag" article_name="Agriculture" number="14-202" title_number="14" title_name="Hemp" subtitle_number="2" subtitle_name="Hemp Research Pilot Program"> <level label="a"> <text>There is a Hemp Research Pilot Program.</text> </level> <level label="b"> <text>The purpose of the Program is to authorize and facilitate the research of hemp and any aspect of growing, cultivating, harvesting, processing, manufacturing, transporting, marketing, or selling hemp for agricultural or commercial purposes.</text> </level> <level label="c"> <text>The Department or an institution of higher education that submits an application to the Department in a manner determined by the Department may grow, cultivate, harvest, process, manufacture, transport, market, or sell hemp under the Program if the hemp is grown or cultivated to further agricultural research or academic research purposes.</text> </level> <level label="d"> <level label="1"> <text>The Department shall certify and register a site that will be used to grow or cultivate hemp under the Program.</text> </level> <level label="2"> <text>The Department may charge a fee of up to $250 to certify and register a site that will be used to grow or cultivate hemp.</text> </level> </level> <level label="e"> <text>In order to carry out the purpose of the Program:</text> <level label="1"> <text>To the extent necessary, the Department or an institution of higher education may contract with a person to grow or cultivate hemp; and</text> </level> <level label="2"> <text>A person that grows or cultivates hemp under the Program may purchase or otherwise obtain seeds that produce plants that meet the definition of “hemp” under § 14–101 of this title.</text> </level> </level> <level label="f"> <level label="1"> <text>In accordance with paragraph (2) of this subsection and subject to paragraphs (3) and (4) of this subsection, a person that grows or cultivates hemp under the Program shall:</text> <level label="i"> <text>Verify that the plants grown or cultivated by the person meet the definition of “hemp” under § 14–101 of this title;</text> </level> <level label="ii"> <text>Maintain all records of verification at the site that is used to grow or cultivate hemp; and</text> </level> <level label="iii"> <text>Make all records available for inspection by:</text> <level label="1"> <text>The Department; or</text> </level> <level label="2"> <text>The institution of higher education that contracted with the person under subsection (e)(1) of this section to grow or cultivate hemp.</text> </level> </level> </level> <level label="2"> <text>The verification required under this subsection shall include:</text> <level label="i"> <text>Documentation from an independent testing laboratory registered under § 13–3311 of the Health – General Article; or</text> </level> <level label="ii"> <text>Documentation from the institution of higher education that contracted with the person under subsection (e)(1) of this section to grow or cultivate hemp.</text> </level> </level> <level label="3"> <text>An independent testing laboratory or an institution of higher education that provides verification documentation under paragraph (2) of this subsection shall conduct on–site inspections to perform the testing necessary for the verification.</text> </level> <level label="4"> <text>The frequency of the verification required under this subsection shall be determined by:</text> <level label="i"> <text>The Department; or</text> </level> <level label="ii"> <text>The institution of higher education that contracted with a person under subsection (e)(1) of this section to grow or cultivate hemp.</text> </level> </level> </level> <level label="g"> <text>Notwithstanding any other provision of law:</text> <level label="1"> <text>Hemp grown or cultivated under the Program is an agricultural product that may be:</text> <level label="i"> <text>Possessed in the State; and</text> </level> <level label="ii"> <text>Sold, distributed, transported, marketed, or processed in the State or outside the State; and</text> </level> </level> <level label="2"> <text>Hemp grown, cultivated, and harvested in a state that authorizes the growth, cultivation, and harvesting of hemp may be processed, manufactured, transported, marketed, or sold in the State under the Program.</text> </level> </level> <level label="h"> <text>The Department or an institution of higher education may collect and publish data and research on hemp, including data and research on the growth, cultivation, production, and processing of hemp and products derived from hemp.</text> </level> <level label="i"> <text>The Department shall adopt regulations to carry out this subtitle.</text> </level> </section> <section article="gag" article_name="Agriculture" number="14-301" title_number="14" title_name="Hemp" subtitle_number="3" subtitle_name="Hemp Production"> <text>In this subtitle, “Program” means the Hemp Farming Program.</text> </section> <section article="gag" article_name="Agriculture" number="14-302" title_number="14" title_name="Hemp" subtitle_number="3" subtitle_name="Hemp Production"> <text>It is the intent of the General Assembly that:</text> <level label="1"> <text>Hemp be established as an agricultural commodity;</text> </level> <level label="2"> <text>Hemp produced in accordance with this subtitle may be:</text> <level label="i"> <text>Possessed in the State; and</text> </level> <level label="ii"> <text>Sold, distributed, transported, marketed, manufactured, or processed in the State or outside the State; and</text> </level> </level> <level label="3"> <text>Hemp produced outside the State in a state that authorizes the production of hemp may be sold, distributed, transported, marketed, manufactured, or processed in the State.</text> </level> </section> <section article="gag" article_name="Agriculture" number="14-303" title_number="14" title_name="Hemp" subtitle_number="3" subtitle_name="Hemp Production"> <level label="a"> <text>There is a Hemp Farming Program.</text> </level> <level label="b"> <text>The purpose of the Program is to:</text> <level label="1"> <text>Promote the production of hemp in the State;</text> </level> <level label="2"> <text>Promote the commercial sale of hemp products in the State or outside the State;</text> </level> <level label="3"> <text>Facilitate the research of hemp and hemp products between institutions of higher education and the private sector; and</text> </level> <level label="4"> <text>Monitor and regulate the production of hemp in the State.</text> </level> </level> <level label="c"> <text>The Department shall administer the Program.</text> </level> </section> <section article="gag" article_name="Agriculture" number="14-304" title_number="14" title_name="Hemp" subtitle_number="3" subtitle_name="Hemp Production"> <level label="a"> <text>There is a Hemp Farming Fund.</text> </level> <level label="b"> <text>The purpose of the Fund is to defray the costs of administering and enforcing the Program.</text> </level> <level label="c"> <text>The Department shall administer the Fund.</text> </level> <level label="d"> <level label="1"> <text>The Fund is a special, nonlapsing fund that is not subject to § 7–302 of the State Finance and Procurement Article.</text> </level> <level label="2"> <text>The State Treasurer shall hold the Fund separately, and the Comptroller shall account for the Fund.</text> </level> </level> <level label="e"> <text>The Fund consists of:</text> <level label="1"> <text>Revenue distributed to the Fund under § 14–306 of this subtitle;</text> </level> <level label="2"> <text>Money appropriated in the State budget to the Fund;</text> </level> <level label="3"> <text>Interest earnings of the Fund; and</text> </level> <level label="4"> <text>Any other money from any other source accepted for the benefit of the Fund.</text> </level> </level> <level label="f"> <text>The Fund may be used only for the costs associated with administering and enforcing the Program.</text> </level> <level label="g"> <level label="1"> <text>The State Treasurer shall invest the money of the Fund in the same manner as other State money may be invested.</text> </level> <level label="2"> <text>Any interest earnings of the Fund shall be credited to the Fund.</text> </level> </level> </section> <section article="gag" article_name="Agriculture" number="14-305" title_number="14" title_name="Hemp" subtitle_number="3" subtitle_name="Hemp Production"> <level label="a"> <text>The Department, in consultation with the Governor and the Attorney General, shall establish a plan for monitoring and regulating the production of hemp in the State.</text> </level> <level label="b"> <level label="1"> <text>The plan required under subsection (a) of this section shall include:</text> <level label="i"> <text>A practice to maintain, for a period of not less than 3 calendar years, relevant information regarding the land on which hemp is produced, including a legal description of the land;</text> </level> <level label="ii"> <text>A procedure for testing, using postdecarboxylation or another similarly reliable method, the delta–9–tetrahydrocannabinol concentration levels of hemp produced in the State;</text> </level> <level label="iii"> <text>A procedure for the effective disposal of:</text> <level label="1"> <text>Plants, whether growing or not, that are produced in violation of this subtitle; and</text> </level> <level label="2"> <text>Products derived from plants that are produced in violation of this subtitle;</text> </level> </level> <level label="iv"> <text>A procedure for the enforcement of this subtitle;</text> </level> <level label="v"> <text>A procedure for conducting annual inspections that include, at a minimum, a random sample of hemp producers to verify that hemp is being produced in accordance with this subtitle;</text> </level> <level label="vi"> <text>A procedure for submitting to the Secretary of the U.S. Department of Agriculture within 30 days of receipt by the Department:</text> <level label="1"> <text>The contact information for each person licensed to produce hemp;</text> </level> <level label="2"> <text>The legal description of the land on which hemp is produced; and</text> </level> <level label="3"> <text>The status of each license and any changes to the status of a license; and</text> </level> </level> <level label="vii"> <text>A certification that the State has the resources and personnel to carry out the practices and procedures required under the plan.</text> </level> </level> <level label="2"> <text>The plan required under subsection (a) of this section may include any other practice or procedure that is consistent with federal law.</text> </level> </level> <level label="c"> <level label="1"> <text>The Department shall submit the plan required under subsection (a) of this section to the Secretary of the U.S. Department of Agriculture for approval.</text> </level> <level label="2"> <text>If the Secretary of the U.S. Department of Agriculture does not approve the plan submitted under paragraph (1) of this subsection, the Department shall:</text> <level label="i"> <text>Amend the plan; and</text> </level> <level label="ii"> <text>Submit the amended plan to the Secretary of the U.S. Department of Agriculture.</text> </level> </level> </level> </section> <section article="gag" article_name="Agriculture" number="14-306" title_number="14" title_name="Hemp" subtitle_number="3" subtitle_name="Hemp Production"> <level label="a"> <text>The Department shall establish a procedure for licensing the production of hemp in accordance with the plan established under § 14–305 of this subtitle.</text> </level> <level label="b"> <text>The Department may set reasonable fees for the issuance and renewal of licenses and other services the Department provides under this subtitle.</text> </level> <level label="c"> <text>The Department shall pay all funds collected under this section into the Fund.</text> </level> </section> <section article="gag" article_name="Agriculture" number="14-307" title_number="14" title_name="Hemp" subtitle_number="3" subtitle_name="Hemp Production"> <text>The Department shall adopt regulations to carry out this subtitle.</text> </section> <section article="gag" article_name="Agriculture" number="14-308" title_number="14" title_name="Hemp" subtitle_number="3" subtitle_name="Hemp Production"> <level label="a"> <text>This section does not apply to an institution of higher education or a person that produces hemp under the Hemp Research Pilot Program in accordance with Subtitle 2 of this title.</text> </level> <level label="b"> <text>A person may not produce hemp in the State unless the person is licensed by:</text> <level label="1"> <text>The Department; or</text> </level> <level label="2"> <text>The Secretary of the U.S. Department of Agriculture.</text> </level> </level> </section> <section article="gag" article_name="Agriculture" number="14-309" title_number="14" title_name="Hemp" subtitle_number="3" subtitle_name="Hemp Production"> <level label="a"> <level label="1"> <text>A person may not knowingly:</text> <level label="i"> <text>Fail to comply with the Department’s plan for monitoring and regulating the production of hemp established under § 14–305 of this subtitle;</text> </level> <level label="ii"> <text>Misrepresent or fail to provide the legal description of land on which hemp is produced;</text> </level> <level label="iii"> <text>Produce hemp without a valid license; or</text> </level> <level label="iv"> <text>Produce plants, or any part of a plant, that exceeds a delta–9–tetrahydrocannabinol concentration of 0.3% on a dry weight basis.</text> </level> </level> <level label="2"> <text>The Department shall report a person that knowingly violates this subtitle to the Attorney General and the U.S. Attorney.</text> </level> </level> <level label="b"> <level label="1"> <text>If the Department determines that a person negligently violated this subtitle, the Department shall require the person to correct the violation, including requiring that:</text> <level label="i"> <text>The violation be corrected by a reasonable date; and</text> </level> <level label="ii"> <text>The person report to the Department, at a frequency determined by the Department and for a period of not less than 2 calendar years, to verify compliance with this subtitle.</text> </level> </level> <level label="2"> <text>If a person is found by the Department to have negligently violated this subtitle three times in a 4–year period, the person may not produce hemp in the State for a period of 5 years beginning on the date of the third violation.</text> </level> </level> </section>