CS for CS for SB 1726 Second Engrossed 20171726e2 1 A bill to be entitled 2 An act relating to industrial hemp pilot projects; 3 creating s. 1004.4473, F.S.; defining terms; directing 4 the Department of Agriculture and Consumer Services to 5 authorize and oversee the development of industrial 6 hemp pilot projects for certain universities; 7 providing the purpose of the pilot projects; requiring 8 the department to adopt certain rules by a specified 9 date; requiring each university to obtain the 10 authorization of its board of trustees before 11 implementing a pilot project; requiring pilot projects 12 to comply with rules adopted by the department; 13 requiring the universities to develop partnerships 14 with certain entities; authorizing the universities to 15 develop pilot projects in partnership with public, 16 nonprofit, and private entities; requiring the 17 universities to establish guidelines for the approval, 18 oversight, and enforcement of pilot project rules; 19 requiring universities to delay industrial hemp 20 commercialization projects under certain conditions; 21 requiring a report to the Governor and the Legislature 22 within a specified timeframe; providing an effective 23 date. 24 25 Be It Enacted by the Legislature of the State of Florida: 26 27 Section 1. Section 1004.4473, Florida Statutes, is created 28 to read: 29 1004.4473 Industrial hemp pilot projects.— 30 (1) As used in this section, the term: 31 (a) “Department” means the Department of Agriculture and 32 Consumer Services. 33 (b) “Hemp material” means a substance containing hemp 34 stems, leaves, fibers, seeds, extracts, oil, or any other 35 substance derived or harvested from a species of the cannabis 36 plant. 37 (c) “Industrial hemp” means all parts and varieties of the 38 cannabis sativa plant, cultivated or possessed by an approved 39 grower under the pilot project, whether growing or not, which 40 contain a tetrahydrocannabinol concentration that does not 41 exceed 0.3 percent on a dry-weight basis. 42 (d) “Industrial hemp pilot project” or “pilot project” 43 means a project that includes research of industrial hemp and 44 any aspect of cultivation, harvesting, processing, market 45 research, and sales of approved industrial hemp agricultural, 46 industrial, and commercial products. 47 (e) “Qualified program personnel” means a person who, or an 48 employee of a company that, partners with a university on a 49 pilot project, is certified by the university, and is 18 years 50 of age or older. 51 (f) “Qualified project partner” means a public, nonprofit, 52 or private entity that: 53 1. Has a principal place of business is in this state. 54 2. Has access to a grow site and research facility located 55 in this state which is acceptable for the cultivation, 56 processing, and manufacturing of industrial hemp and hemp 57 products, as determined by the department. 58 3. Submits a comprehensive business or research plan 59 acceptable to the partnering university. 60 4. Provides proof of prior experience in or knowledge of, 61 or demonstrates an interest in and commitment to, the 62 cultivation, processing, manufacturing, or research of 63 industrial hemp, as determined by the department. 64 (2)(a) The department shall authorize and oversee the 65 development of industrial hemp pilot projects for the Institute 66 of Food and Agricultural Sciences at the University of Florida, 67 Florida Agricultural and Mechanical University, and any land 68 grant university in the state that has a college of agriculture. 69 The department shall adopt rules as required under the 70 Agricultural Act of 2014, 7 U.S.C. s. 5940, to implement this 71 section, including rules for the certification and registration 72 of sites used for growth or cultivation. The purpose of the 73 pilot projects is to cultivate, process, test, research, create, 74 and market safe and effective commercial applications for 75 industrial hemp in the agricultural sector in this state. 76 (b) The department shall adopt rules that address safety, 77 compliance, and accountability and, at a minimum, require the 78 universities to provide detailed information on: 79 1. The scope, design, and objectives of the pilot project. 80 2. Personnel and participants involved in the pilot 81 project. 82 3. Facility locations and security. 83 4. The chain of control of hemp material. 84 5. The economic impact of the pilot project on the state’s 85 agricultural sector. 86 6. Genetic research, ensuring that psychotropic compounds 87 will not be synthesized. 88 7. Compliance with state and federal law. 89 (c) The department shall initiate rulemaking pursuant to 90 this subsection within 4 months after the effective date of this 91 act. 92 (3) A university must obtain the authorization of its board 93 of trustees before implementing an industrial hemp pilot 94 project. A pilot project authorized by a university must be 95 registered with the department and must comply with rules 96 adopted by the department. 97 (4) A university that implements an industrial hemp pilot 98 project shall develop partnerships with qualified project 99 partners to attract experts and investors experienced with 100 agriculture and may develop the pilot project in partnership 101 with public, nonprofit, and private entities in accordance with 102 this section and all applicable state and federal laws. 103 (5) The research office of a university that implements an 104 industrial hemp pilot project shall oversee the pilot project 105 and ensure compliance with rules adopted by the department. The 106 office must identify a contact person who is responsible for 107 oversight of the pilot project and shall adopt procedures and 108 guidelines to ensure the proper operation of the pilot project, 109 the proper handling of hemp material and products, compliance 110 with state and federal law, and the safety and security of the 111 pilot project facility. At a minimum, the guidelines must: 112 (a) Designate the physical location, global positioning 113 system position, and map of the pilot project facility. Areas 114 within the facility must be designated as general access or 115 limited access. An area where hemp material is cultivated, 116 processed, stored, or packaged or where industrial hemp research 117 is conducted must be designated as limited access. Limited 118 access areas must be restricted to entry by qualified program 119 personnel and authorized visitors accompanied at all times by 120 qualified program personnel. All other areas of the facility may 121 be designated as general access and are open to authorized 122 visitors, regardless of whether accompanied by qualified program 123 personnel. 124 (b) Identify the qualified program personnel involved in 125 the pilot project who meet the requirements of 21 CFR s. 1301.18 126 pursuant to the Agricultural Act of 2014, 7 U.S.C. s. 5940. 127 (c) Authorize the qualified program personnel to handle, 128 grow, cultivate, process, and manufacture hemp materials. 129 (d) Establish a testing program and protocols to ensure the 130 proper labeling of hemp material. 131 (6) An industrial hemp commercialization project may only 132 be conducted after an industrial hemp pilot project has been in 133 place for 2 years to determine if there are any adverse impacts 134 of hemp cultivation on current indigenous crops in the state. 135 (7) A university that implements an industrial hemp pilot 136 project shall submit a report to the Governor, the President of 137 the Senate, and the Speaker of the House of Representatives on 138 the status of its pilot project and any research related to the 139 cultivation, harvesting, processing, and uses of industrial 140 hemp. The report must be prepared and submitted within 2 years 141 after the pilot project’s creation. 142 Section 2. This act shall take effect upon becoming a law.