Bill Text: HI SB1455 | 2023 | Regular Session | Introduced
Bill Title: Relating To Hemp.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2023-01-31 - Re-Referred to AEN, CPN/WAM. [SB1455 Detail]
Download: Hawaii-2023-SB1455-Introduced.html
THE SENATE |
S.B. NO. |
1455 |
THIRTY-SECOND LEGISLATURE, 2023 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO HEMP.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
Accordingly, the purpose of this Act is to:
(1) Authorize and regulate the manufacture of certain hemp products within the State;
(3) Repeal the sunset date of the State's existing hemp laws.
SECTION 2. Chapter 328G, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§328G- Restrictions on sales. (a) No person shall sell, hold for sale, offer,
or distribute any food, as that term is defined in section 328-1, into which
hemp, processed hemp, a hemp product, or a synthetic cannabinoid has been added
as an ingredient or component. This
section shall not apply to hemp that is generally recognized as safe (GRAS) by
the United States Food and Drug Administration for use in foods, as intended,
in a public GRAS notification.
(b) No person
shall sell, hold for sale, offer, or distribute any hemp product into which a
synthetic cannabinoid has been added, or any synthetic cannabinoid intended for
oral consumption or topical use.
(c) No person shall sell, hold for
sale, offer, or distribute any product containing hemp, made from hemp, or
containing synthetic cannabinoids for respiratory routes of delivery, including
cigarettes, cigars, pre-rolls, inhalers, nebulizers, electronic smoking
devices, or other devices designed for that purpose.
(d)
No person shall sell, hold for sale, offer, or distribute directly to
consumers any hemp leaf or hemp floral material.
(e) Except for hemp products
intended for external topical application to the skin or hair, no person shall
sell, hold for sale, offer, or distribute any products containing hemp, made
from hemp, or containing synthetic cannabinoids that are intended to be
introduced via non-oral routes of entry to the body, including use in eyes,
ears, and nasal cavities.
(f) No person shall sell, hold for sale, offer,
or distribute any processed hemp or hemp product unless the hemp used to make
the processed hemp or hemp product was grown by a person holding a valid
license issued by the United States Department of Agriculture pursuant to title
7 United States Code section 1639q or by a state or tribal agency administering
a plan approved by the United State Department of Agriculture pursuant to title
7 United States Code section 1639p.
(g) No person shall sell, hold for sale, offer, or
distribute any processed hemp or hemp product that has a delta‑9-tetrahydrocannabinol
concentration of more than 0.3 per cent, as measured post-decarboxylation, or
by other similarly reliable methods.
(h) No person shall sell, hold for sale, offer,
or distribute any hemp product intended to be consumed orally to supplement the
human or animal diet, unless the product is in the form of a tablet, capsule,
powder, softgel, gelcap, gummy, or liquid to be ingested in daily quantities
measured in drops or similar units of measure.
(i) No person shall sell, hold for sale, offer,
or distribute processed hemp or a hemp product unless it has been tested in
accordance with, and meets the standards established by, rules adopted by the
department.
(j)
No person shall
sell, hold for sale, offer, or
distribute any processed hemp or hemp product without a label, in a form
prescribed by the department, affixed to the packaging that includes
confirmation that the processed hemp or hemp product has been tested pursuant
to department rules.
(k)
No person shall sell, hold for sale, offer, or distribute any hemp
product without a label, in a form prescribed by the department, affixed to the
packaging that includes, at minimum:
(1) The hemp product name;
(2) A list of all ingredients;
(3) The name and business address of the manufacturer, or, in the case of processed hemp intended for sale direct to consumers, the name and business address of the hemp processor; and
(4) A
statement that reads: "This product has not been evaluated by the United
States Food and Drug Administration and is not intended to diagnose, treat,
cure, or prevent any disease".
(l) No person shall sell, offer, or distribute for sale any hemp product to any individual younger than twenty-one years of age."
SECTION 3. Chapter 328G, Hawaii Revised Statutes, is amended by amending its title to read as follows:
"Chapter 328G
HEMP
[PROCESSORS] PROCESSING AND HEMP PRODUCT MANUFACTURING"
SECTION 4. Section 328G-1, Hawaii Revised Statutes, is amended follows:
1. By adding two new definitions to be appropriately inserted and to read as follows:
""Gummy" means a gelatinous cube, sphere, prismatoid, or ovoid.
"Processed
hemp" means any compounds, concentrates, extracts, isolates, resins, or
derivatives generated from the processing of hemp, excluding any part of the
hemp plant and waste byproduct."
2. By amending the definition of "applicant" to read:
""Applicant" means the person applying to register [as a]
to process hemp [processor] or manufacture hemp products
under this chapter."
3. By amending the definition of "certificate of registration" to
read:
""Certificate of registration" means the certificate issued by
the department attesting that the applicant is registered to process hemp[.]
or manufacture a hemp product."
4. By amending the definition of "hemp" to read:
""Hemp" means Cannabis sativa L. and any part of that plant,
whether growing or not, including the seeds thereof [and all derivatives,
extracts, cannabinoids, isomers, acids, salts, and salts of isomers], with
a delta-9-tetrahydrocannabinol concentration of not more than 0.3 per cent on a
dry weight basis, as measured post-decarboxylation or by other similarly
reliable methods."
5. By amending the definition of "hemp product" to read:
""Hemp product" means [a product that:
(1) Contains naturally occurring cannabinoids, compounds, concentrates,
extracts, isolates, resins or derivatives from processed hemp;
(2) Does not include any living hemp plants, viable seeds, leaf materials, or
floral materials;
(3) Has a delta-9-tetrahydrocannabinol concentration of not more than 0.3 per
cent, as measured post-decarboxylation, or other similarly reliable methods;
(4) Is intended to be consumed orally to supplement the human or animal diet;
and
(5) Is in the form of a tablet, capsule, powder, softgel, gelcap, or liquid
form (e.g. hemp oil) to be used by the consumer to infuse edible items at home
for personal use or for topical application to the skin or hair.
For purposes of this chapter, a hemp product
shall be considered as intended for oral ingestion in liquid form only if it is
formulated in a fluid carrier and it is intended for ingestion in daily
quantities measured in drops or similar small units of measure per labeled
directions for use.] processed
hemp:
(1) Intended
for direct sales to consumers; and
(2) To which additives have been introduced during manufacture."
6. By amending the definition of "manufacture" to read:
""Manufacture" means to compound,
blend, extract, infuse, or otherwise use processed hemp to make or
prepare a hemp product[, but does not include planting, growing, harvesting,
drying, curing, grading, or trimming a hemp plant or part of a hemp plant]."
7. By amending the definition of "processing" to read:
""Processing" means making a transformative change to the hemp
plant [following harvest by converting an agricultural commodity into a hemp
product.] using mechanical, chemical, or other means, to produce
processed hemp that is intended:
(1) To be consumed orally to supplement the human or animal diet or be applied topically to the skin or hair; or
(2) For use in manufacture of a hemp product intended to be consumed orally to supplement the human or animal diet or be applied topically to the skin or hair."
8. By deleting the definition of "FDA":
[""FDA" means the United
States Food and Drug Administration."]
9.
By deleting the definition of "Hemp processor":
[""Hemp processor" means a person processing hemp to manufacture
a hemp product."]
SECTION 5. Section 328G-2, Hawaii Revised Statutes, is amended to read as follows:
"§328G-2 Hemp [processor] processing and
manufacture registry; [application;
removal from registry.]; registration; updates.
(a) No person shall process hemp
without first obtaining a license to produce hemp, issued by the Secretary of
the United States Department of Agriculture pursuant to title 7 United States
Code section 1639q.
(b) No person shall process hemp or
manufacture a hemp product without being registered by the department as a
hemp processor pursuant to this [part] chapter and any rules
adopted pursuant [[]to[]] this chapter.
(c) A person who intends to process hemp or
manufacture a hemp product shall apply to the department for
registration on an application form [created] provided by the
department.
(d) The applicant shall provide,
at a minimum, the following information:
(1) The applicant's name, mailing address,
and phone number in [Hawaii;] the State;
(2) The legal description of [the] each
parcel of land on which [the] hemp is to be processed [or];
hemp products are to be manufactured; or hemp, processed hemp, or hemp products
are to be stored;
(3) A description of [the] each
enclosed indoor facility where hemp processing or hemp product manufacturing
will occur;
(4) [Documentation that the indoor
facility and planned hemp processing operation complies with all zoning
ordinances, building codes, and fire codes;
(5) Documentation] For persons
intending to process hemp, documentation showing that the applicant has
obtained a license to produce hemp, issued by the Secretary of the United
States Department of Agriculture pursuant to title 7 United States Code section
1639q; and
[(6)]
(5) Any
other information required by the department.
(e) In addition to the application form, each applicant shall submit a non-refundable application fee established by the department. If the fee does not accompany the application, the application for registration shall be deemed incomplete.
(f) Any incomplete application shall be denied.
(g) Upon the department's receipt of a complete
and accurate application that meets the requirements adopted by the
department pursuant to this chapter, any other information requested by the
department, and [remittal of] the application fee, the [applicant
shall be registered and shall be issued] department shall issue a
certificate of registration [to process hemp].
(h) [The certificate of registration shall be
renewed] Persons on the registry shall re-register annually by [payment
of] paying the [annual renewal] re-registration fee to
be determined by the department[.] and:
(1) Certifying
that there has been no change to the information required in subsection (d); or
(2) Submitting an update as provided in
subsection (i).
(i) The person to whom a certificate of
registration was issued shall update the information required by subsection (d),
on a form provided by the department, no later than sixty days after any event
giving rise to the need to make any corrections or to otherwise update
information in the registry, and shall accurately account for any changes
related to that person's registration.
[(i)]
(j) [Hemp processors] Persons
processing hemp or manufacturing hemp products shall allow any member of
the department, or any agent or third party authorized by the department, to
enter at reasonable times upon any private property in order to inspect,
sample, and test the hemp processing or hemp product manufacturing area,
processed hemp, hemp products, and equipment[,] and
facilities incident to the processing or storage of hemp[,] and
manufacturing or storage of hemp products, and review all pertinent
records.
[(j) The department may remove any person from the
registry for failure to comply with any law or regulation under this
chapter. It is the responsibility of the
hemp processor to make sure it is registered and legally allowed to process
hemp and in compliance with any and all laws and regulations. The removal of a hemp processor from the
registry shall be in accordance with the procedures set forth in section
328G-6.]
(k) A person on the registry or applying for registration shall, upon request, submit to the department documentation that the person's indoor facility and hemp processing or hemp product manufacturing operation complies with all zoning ordinances, building codes, and fire codes."
SECTION 6. Section 328G-3, Hawaii Revised Statutes, is amended to read as follows:
"[[]§328G-3[]] Hemp processing[;] and hemp
product [sale and prohibitions; labeling.] manufacturing.
(a) No hemp shall be processed [into
hemp products], nor shall any [hemp processor] person hold
for processing or sale any hemp, unless lawfully obtained from a person [approved
or otherwise authorized by applicable federal, state or local law to cultivate
hemp plants.] holding a valid license issued by the United States
Department of Agriculture pursuant to title 7 United States Code section 1639q
or by a state or tribal agency administering a plan approved by the United
States Department of Agriculture pursuant to title 7 United States Code section 1639p.
(b) Hemp shall be processed
and hemp products shall be [processed] manufactured within an
enclosed indoor facility secured to prevent unauthorized entry. Hemp, hemp products, and any toxic or
otherwise hazardous by-products of hemp processing[, or by-products,] or
hemp product manufacturing, including but not limited to delta-9-tetrahydrocannabinol,
shall be stored within an enclosed indoor facility, secured to prevent
unauthorized entry in a manner that prevents cross-contamination and unintended
exposures.
(c) Hemp shall not be processed
within 500 feet of a pre‑existing playground, school, state park, state
recreation area, residential neighborhood, hospital, or daycare facility.
(d)
Hemp shall not be processed nor shall hemp products be manufactured
using butane in an open system where fumes are not contained or by use of any
other method of processing the department determines poses a risk to health and
safety.
[(e) No person shall sell, hold,
offer, or distribute for sale any food, as that term is defined in section
328-1, into which a cannabinoid, synthetic cannabinoid, hemp extract, hemp
derivatives or other hemp product that has been added as an ingredient or
component. This section shall not apply
to hemp that is generally recognized as safe (GRAS) by FDA for use in foods, as
intended, in a public GRAS notification.]
(e) Hemp processing and hemp product
manufacturing facilities and operations shall comply with applicable state laws
and county ordinances."
SECTION 7. Section 328G-4, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:
"(a) The department [shall] may
adopt rules, pursuant to chapter 91, [that include but are not
limited] necessary for the purposes of this chapter, including rules
relating to:
(1) [Inspection and sampling
requirements of hemp products;] Handling, storage, and quality control
requirements for persons processing hemp and manufacturing hemp products;
(2) Labeling requirements and restrictions for processed hemp and hemp products, including those related to intended use, health advisories and warnings, and medical claims;
[(2)] (3) [Testing protocols, including
certification by state laboratories or independent third-party laboratories,]
Requirements for sampling and testing of processed hemp and hemp products
to determine delta-9-tetrahydrocannabinol concentration and [screening for
contaminants of hemp products;] the presences of contaminants;
(4) Procedures
for certification of state laboratories and independent third-party
laboratories;
[(3)]
(5) Reporting
and record-keeping requirements[;] for persons processing hemp and
manufacturing hemp products;
[(4)]
(6) [Assessment
of fees] Fees for application, inspecting, sampling, and other fees
as deemed necessary[;] to implement this chapter; and
[(5)]
(7) Penalties
for any violation[; and
(6) Any other rules and procedures necessary
to carry out this chapter]."
SECTION 8. Section 328G-6, Hawaii Revised Statutes, is amended by amending subsections (b) to (e) to read as follows:
"(b)
Any order issued under this chapter shall become final, unless not later
than twenty days after the notice of order is served, the person or persons
named therein request in writing a hearing before the director. Any penalty imposed[, including removal
from the registry,] shall become final, and any monetary penalty shall
become due and payable twenty days after the order is served unless the person
or persons named therein request in writing a hearing before the director. Whenever a hearing is requested, the penalty imposed[,
including removal from the registry,] shall become final, and any monetary
penalty shall become due and payable only upon completion of all review
proceedings and the issuance of a final order confirming the penalty in whole
or in part. Any hearing shall be in
accordance with chapter 91.
(c) For any judicial proceeding to recover an
administrative penalty imposed by order [or to enforce a cease and desist
order against a hemp processor removed from the registry], the director may
petition any court of appropriate jurisdiction and need only show that:
(1) Notice was given;
(2) A hearing was held or the time granted for requesting a hearing has expired without such a request;
(3) The administrative penalty was imposed [or
the hemp processor was removed from the registry]; and
(4) The penalty remains unpaid [or the
hemp processor continues to process hemp.]
(d) The director, in the event there is deemed a
potential health hazard, may take precautionary measures to protect the public
through imposition of a cease and desist order, an embargo, the
detention and removal of hemp products from the market, and the sequestration
of processed hemp or hemp products suspected to be contaminated or
otherwise harmful to human health. In
the event of any embargo or detention of hemp products, the person or persons
so named in the order imposing the cease and desist order, embargo or
detention shall be afforded an opportunity to contest the findings of the [findings
of the department] order in a hearing pursuant to chapter 91.
(e) The director may institute a civil action in any court of competent jurisdiction for injunctive relief to prevent violation of any order issues or rule adopted pursuant to this chapter, in addition to any other remedy or penalty provided for under this chapter. Nothing in this chapter shall limit any other legal remedy, or limit any civil or criminal action, available under any other statute, rule, or ordinance."
SECTION 9. Section 328G-7, Hawaii Revised Statutes, is amended to read as follows:
"[[]§328G-7[]] Hawaii
hemp processing and hemp product manufacturing special fund
established. (a) There is established within the state
treasury the Hawaii hemp processing and hemp product manufacturing special
fund into which shall be deposited:
(1) Appropriations made by the legislature to the special fund;
(2) Any income and capital gains earned by the fund; and
(3) Any fees or fines collected by the
department pursuant to this this [part.] chapter.
(b) Moneys in the Hawaii hemp processing and hemp product manufacturing special fund shall be used by the department for the following purposes:
(1) To establish and regulate a system of
registering persons intending to process hemp [processors;] or
manufacture hemp products;
(2) To fund positions and operating costs authorized by the legislature; and
(3) For any other expenditure necessary, consistent with this chapter, to implement the Hawaii hemp processing and hemp product manufacturing program."
SECTION 10. Section 328G-5, Hawaii Revised Statutes, is repealed.
["[§328G-5]
Laboratory standards and testing; certification.
(a) The department shall
establish and enforce standards for laboratory-based testing of the hemp
products for content, contamination, and consistency.
(b) The
department may certify laboratories and recognize certifications from other
jurisdictions of laboratories that are qualified to test hemp products for
quality control prior to sale."]
SECTION 11. Act 14, Session Laws of Hawaii 2020, as amended by Act 137, Session Laws of Hawaii 2022, is amended by amending section 9 to read as follows:
"SECTION
9. This Act shall take effect upon its
approval[, and shall be repealed on July 1, 2025; provided that the
definition of "marijuana" in section 329–1, Hawaii Revised Statutes,
and the definitions of "marijuana" and "marijuana
concentrate" in section 712–1240, Hawaii Revised Statutes, shall be
reenacted in the form in which they read on the day prior to the effective date
of this Act]."
SECTION 12. This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date.
SECTION 13. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 14. This Act shall take effect upon its approval.
INTRODUCED BY: |
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Report Title:
Hemp Products; Hemp Processors; Hemp Manufacturing
Description:
Authorizes and regulates the manufacture of certain hemp products within the State. Clarifies the respective roles of persons growing hemp, processing hemp, and manufacturing hemp products. Repeals the sunset date of the State's hemp laws.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.