CS for CS for SB 1726 First Engrossed 20171726e1 1 A bill to be entitled 2 An act relating to industrial hemp pilot projects; 3 creating s. 1004.4473, F.S.; authorizing the 4 Department of Agriculture and Consumer Services to 5 oversee the development of industrial hemp pilot 6 projects for the Institute of Food and Agricultural 7 Sciences at the University of Florida and the Florida 8 Agricultural and Mechanical University; authorizing 9 the universities to develop the pilot projects in 10 partnership with public, nonprofit, and private 11 entities; providing the purpose of the pilot projects; 12 defining terms; providing requirements for a qualified 13 project partner; requiring each university to obtain 14 the authorization of its board of trustees before 15 implementing a pilot project; requiring pilot projects 16 to comply with rules adopted by the department; 17 requiring the department to adopt certain rules by a 18 specified date; requiring the universities to develop 19 partnerships with certain entities; requiring the 20 universities to establish guidelines for the approval, 21 oversight, and enforcement of pilot project rules; 22 requiring a report to the Governor and the Legislature 23 within a specified timeframe; providing an effective 24 date. 25 26 Be It Enacted by the Legislature of the State of Florida: 27 28 Section 1. Section 1004.4473, Florida Statutes, is created 29 to read: 30 1004.4473 Industrial hemp pilot projects.— 31 (1) The Department of Agriculture and Consumer Services 32 shall authorize and oversee the development of industrial hemp 33 pilot projects, and adopt rules as required under the 34 Agricultural Act of 2014, 7 U.S.C. s. 5940, to implement this 35 section, including rules for the certification and registration 36 of sites used for growth or cultivation, for the Institute of 37 Food and Agricultural Sciences at the University of Florida and 38 the Florida Agricultural and Mechanical University. The 39 Institute of Food and Agricultural Sciences at the University of 40 Florida and the Florida Agricultural and Mechanical University 41 may develop industrial hemp pilot projects in partnership with 42 public, nonprofit, and private entities in accordance with this 43 section and all applicable state and federal laws. The purpose 44 of the pilot projects is to cultivate, process, test, research, 45 create, and market safe and effective commercial applications 46 for industrial hemp in the agricultural sector in this state. 47 (2) As used in this section, the term: 48 (a) “Hemp material” means a substance containing hemp 49 stems, leaves, fibers, seeds, extracts, oil, or any other 50 substance derived or harvested from a species of the cannabis 51 plant. 52 (b) “Industrial hemp” means all parts and varieties of the 53 cannabis sativa plant, cultivated or possessed by an approved 54 grower under the pilot project, whether growing or not, which 55 contain a tetrahydrocannabinol concentration that does not 56 exceed 0.3 percent on a dry-weight basis. 57 (c) “Industrial hemp pilot project” or “pilot project” 58 means a project that includes research of industrial hemp and 59 any aspect of cultivation, harvesting, processing, market 60 research, and sales of approved industrial hemp agricultural, 61 industrial, and commercial products. 62 (d) “Qualified program personnel” means a person who, or an 63 employee of a company, that, partners with the University of 64 Florida or the Florida Agricultural and Mechanical University on 65 a pilot project, is certified by the university, is 18 years of 66 age or older, and has passed the required criminal background 67 check. 68 (e) “Qualified project partner” means a public, nonprofit, 69 or private entity that has a principal place of business is in 70 this state and meets the requirements of subsection (3). 71 (3) A qualified project partner must, at a minimum, meet 72 all of the following requirements: 73 (a) Have access to a grow site and research facility 74 located in this state which is acceptable for the cultivation, 75 processing, and manufacturing of industrial hemp and hemp 76 products, as determined by the Department of Agriculture and 77 Consumer Services. 78 (b) Submit a comprehensive business or research plan 79 acceptable to the partnering university. 80 (c) Provide proof of prior experience in or knowledge of, 81 or demonstrate a strong interest in and commitment to, the 82 cultivation, processing, manufacturing, or research of 83 industrial hemp, as determined by the Department of Agriculture 84 and Consumer Services. 85 (4) Each university must obtain the authorization of its 86 board of trustees before implementing an industrial hemp pilot 87 project. A pilot project authorized by a university must be 88 registered with the Department of Agriculture and Consumer 89 Services. The pilot project must comply with rules adopted by 90 the department, which must address safety, compliance, and 91 accountability and, at a minimum, must require the universities 92 to provide detailed information on the scope, design, and 93 objectives of the pilot project; information on personnel and 94 participants involved in the pilot project; facility locations 95 and security; the chain of control of hemp material; the 96 economic impact of the pilot project on the state’s agricultural 97 sector; genetic research, ensuring that psychotropic compounds 98 will not be synthesized; and compliance with state and federal 99 law. The rules shall be promulgated by the department no later 100 than October 31, 2018. 101 (5) Each university shall develop partnerships with 102 qualified project partners to attract experts and investors 103 experienced with industrial hemp research and the 104 commercialization of such projects. 105 (6) The universities’ respective research offices shall 106 oversee the pilot projects and ensure compliance with department 107 rule. The offices must identify a contact person who is 108 responsible for oversight of the pilot project. Each university 109 research office shall adopt procedures and guidelines to ensure 110 the proper operation of the pilot project, the proper handling 111 of hemp material and products, compliance with state and federal 112 law, and the safety and security of the pilot project 113 facilities. At a minimum, the guidelines must meet all of the 114 following requirements: 115 (a) Designate the physical location, global positioning 116 system position, and map of the pilot project facility. Areas 117 within the facility must be designated as general access or 118 limited access. An area where hemp material is cultivated, 119 processed, stored, or packaged or where industrial hemp research 120 is conducted must be designated as limited access. Limited 121 access areas must be restricted to entry by qualified program 122 personnel and authorized visitors accompanied at all times by 123 qualified program personnel. All other areas of the facility may 124 be designated as general access and are open to authorized 125 visitors, regardless of whether accompanied by qualified program 126 personnel. 127 (b) Identify the qualified program personnel involved in 128 the pilot projects. The personnel must have successfully 129 completed a level 2 screening pursuant to s. 435.04. Owners and 130 employees of companies directly involved in the pilot projects 131 must comply with this requirement. 132 (c) Authorize the qualified program personnel to handle, 133 grow, cultivate, process, and manufacture hemp materials. 134 (d) Establish a testing program and protocols to ensure the 135 proper labeling of hemp material. 136 (e) Establish guidelines for attracting successful, 137 entrepreneurial, and experienced public and private investors 138 and partners who are interested in pursuing an industrial hemp 139 pilot project. 140 (7) Each university that implements an industrial hemp 141 pilot project shall submit a report to the Governor, the 142 President of the Senate, and the Speaker of the House of 143 Representatives on the status of its pilot project and any 144 research related to the cultivation, harvesting, processing, and 145 uses of industrial hemp. The report must be prepared and 146 submitted within 2 years after the pilot project’s creation. 147 Section 2. This act shall take effect upon becoming a law.