SB2952 - Relating to the regulation of hemp and nonconsumable hemp products; increasing a criminal penalty; increasing a civil penalty and providing other penalties; requiring an occupational license; imposing and authorizing certain fees.

      By: Perry S.B. No. 2952               A BILL TO BE ENTITLED   AN ACT   relating to the regulation of hemp and nonconsumable hemp products;   increasing a criminal penalty; increasing a civil penalty and   providing other penalties; requiring an occupational license;   imposing and authorizing certain fees.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 12.020(c), Agriculture Code, is amended   to read as follows:          (c)  The provisions of law subject to this section and the   applicable penalty amounts are as follows:       Provision Amount of Penalty   Chapters 13, 14A, 18, 19, 41, 46, 61, 72, 73, not more than $5,000   74, 76, 94, 95, 101, 102, 103, 122, 123, 125,     132, and 134       Subchapters A, B, and C, Chapter 71 not more than $5,000   Chapter 14 not more than $10,000   Chapter 1951, Occupations Code not more than $5,000   Chapter 153, Natural Resources     Code not more than $5,000   Section 91.009 not more than $5,000.          SECTION 2.  Section 121.002, Agriculture Code, is amended to   read as follows:          Sec. 121.002.  LEGISLATIVE FINDINGS; INTENT. (a) The   legislature finds that nothing in 7 U.S.C. Section 1639p:                 (1)  preempts or limits any law of this state that:                       (A)  regulates the production of hemp; or                       (B)     is more stringent than 7 U.S.C. Section 1639o   et. seq.; or                 (2)     prohibits the production of hemp in this state, if   the production of hemp is not otherwise prohibited by this state.           (b)   It is the intent of the legislature that this state have   primary regulatory authority over the production of hemp in this   state.           (c)     It is the intent of the legislature that the statutory   definition of hemp shall not include any material that is not itself   naturally created in the plant Cannabis sativa L.           (d)     It is the intent of the legislature that the word   "derivatives" in the definition of hemp shall refer only to first   order derivatives of the plant Cannabis sativa L.          SECTION 3.  Section 121.003(a), Agriculture Code, is amended   to read as follows:          (a)  The department, after consulting with the governor and   attorney general, shall develop a state plan to monitor and   regulate the production of hemp in this state. The plan must comply   with:                (1)  7 U.S.C. Section 1639p;                (2)   Chapters [ Chapter ] 122 and 123 ; and                (3)  Chapter 443, Health and Safety Code.          SECTION 4.  Section 122.001, Agriculture Code, is amended to   read as follows:          Sec. 122.001.  DEFINITIONS.  In this chapter:                (1)  "Cultivate" means to plant, irrigate, cultivate,   or harvest a hemp plant.                (2)   "Delta-9 tetrahydrocannabinol concentration"   shall be established by:                       (A)     a procedure for testing a sample using post   decarboxylation, such that all delta-9 tetrahydrocannabinolic acid   in the sample, where applicable, has been converted to delta-9   tetrahydrocannabinol, thereby identifying the total percentage by   weight of delta-9 tetrahydrocannabinol, on a dry weight basis; or                         (B)     a procedure for testing a sample using a   conversion factor, by identifying the sum of the percentage by   weight, on a dry weight basis where applicable, of delta-9   tetrahydrocannabinolic acid multiplied by 0.877 plus the   percentage by weight, on a dry weight basis where applicable, of   delta-9 tetrahydrocannabinol, to calculate the total percentage by   weight of delta-9 tetrahydrocannabinol, on a dry weight basis.                 (3)     "Disposal" means an activity that irreversibly   transitions a non-compliant substance into a non-retrievable and   non-ingestible form that is unfit to enter the stream of commerce.                 (4)     "Dry weight basis" means a basis for expressing   the percentage of a chemical in a substance after removing the   moisture from the substance.                   (5)   "Governing person" has the meaning assigned by   Section 1.002, Business Organizations Code.                 (6)  [ (3) ]  "Handle" means to possess , manipulate, or   store a hemp plant:                      (A)   at a licensed location [ on premises owned,   operated, or controlled by a license holder ] for any period of time;   or                      (B)  in a vehicle for any period of time other than   during the actual transport of the plant from a licensed location   [ premises owned, operated, or controlled by a license holder ] to:                            (i)   a licensed location of [ premises owned,   operated, or controlled by ] another license holder; [ or ]                            (ii)   a person licensed under Chapter 123;   or                             (iii)   a person licensed under Chapter 443,   Health and Safety Code.                 (7)  [ (4) ]  "Hemp" has the meaning assigned by Section   121.001.                 (8)  [ (5) ]  "Institution of higher education" has the   meaning assigned by Section 61.003, Education Code.                 (9)  [ (6) ]  "License" means a hemp grower's license   issued under Subchapter C.                 (10)  [ (7) ]  "License holder" means an individual or   business entity holding a license.                 (11)     "Licensed location" means a premises at which a   license holder operates a license issued under this chapter.                   (12)  [ (8) ]  "Nonconsumable hemp product" means a   product that contains hemp, other than a consumable hemp product as   defined by Section 443.001, Health and Safety Code. The term   includes cloth, cordage, fiber, fuel, paint, paper, particleboard,   and plastics containing [ derived from ] hemp.                 (13)  [ (9) ]  "Plot" means a contiguous area in a field,   greenhouse, or indoor growing structure containing the same variety   or cultivar of hemp throughout the area.                 (14)     "Tetrahydrocannabinol" means any   tetrahydrocannabinol, including its salts, isomers, and salts of   isomers whenever the existence of such salts, isomers, or salts of   isomers is possible within the specific chemical designation.                (15)   "Total tetrahydrocannabinol concentration" shall   be established by:                       (A)     a procedure for testing a sample using post   decarboxylation, such that all tetrahydrocannabinolic acids in the   sample, where applicable, have been converted to   tetrahydrocannabinols, thereby identifying the total percentage by   weight of tetrahydrocannabinols, on a dry weight basis; or                         (B)     a procedure for testing a sample using a   conversion factor, by identifying the sum of the percentage by   weight, on a dry weight basis where applicable, of   tetrahydrocannabinolic acids multiplied by 0.877 plus the   percentage by weight, on a dry weight basis where applicable, of   tetrahydrocannabinols, to calculate the total percentage by weight   of tetrahydrocannabinols, on a dry weight basis.          SECTION 5.  Subchapter A, Chapter 122, Agriculture Code, is   amended by adding Section 122.005 to read as follows:           Sec.   122.005.     APPLICABILITY OF CHAPTER. This chapter does   not apply to a patient, organization, person, product, or activity   regulated under Chapter 487, Health and Safety Code.          SECTION 6.  Sections 122.052(a) and (b), Agriculture Code,   are amended to read as follows:          (a)  The department shall set and collect:                (1)  an application fee for an initial license in an   amount not to exceed $100;                (2)  a license renewal fee in an amount not to exceed   $ 100;                (3)  a participation fee for each location described by   Section 122.103 [ 122.103(a)(1) and each location added after the   application is submitted ] in an amount not to exceed $100;                (4)  a site modification fee for each change to a   location described by Section 122.103 [ 122.103(a)(1) ] in an amount   not to exceed $500; [ and ]                (5)  a collection and testing fee for each preharvest   test or postharvest test if performed by the department in an amount   not to exceed $300 ; and                 (6)  any other fee the department determines necessary .          (b)  [ A fee set by the department under this section may not   exceed the amount necessary to administer this chapter. ] The   comptroller may authorize the department to collect a fee described   by Subsection (a) in an amount greater than the maximum amount   provided by that subsection if necessary to cover the department's   costs of administering this chapter.          SECTION 7.  Sections 122.053(b), (c), and (d), Agriculture   Code, are amended to read as follows:          (b)  The department may enter onto land described by Section   122.103 [ 122.103(a)(1) ], conduct inspections, and collect and test   plant samples.          (c)  Using [ participation ] fees set and collected under   Section 122.052 [ 122.052(a)(3) ], the department shall pay the cost   of inspections under this section.          (d)  The Department of Public Safety or a state or local law   enforcement agency may inspect, collect samples from, or test   plants from any portion of a plot to ensure compliance with this   chapter. A license holder shall allow the Department of Public   Safety or a state or local law enforcement agency access to the plot   and the property on which the plot is located for purposes of this   subsection.          SECTION 8.  Section 122.054, Agriculture Code, is amended to   read as follows:      &#xA0 [Text truncated for display. Full text available on LegiScan.]