19.0930.01000
Sixty-sixth
Legislative Assembly HOUSE BILL NO. 1349
of North Dakota
Introduced by
Representatives Monson, D. Johnson, Kading
Senators Luick, Oban, Wanzek
1 A BILL for an Act to create and enact chapter 4.1-18.1 of the North Dakota Century Code,
2 relating to the regulation of industrial hemp; to amend and reenact subdivision b of subsection 2
3 of section 12-60-24 of the North Dakota Century Code, relating to criminal history background
4 checks; to repeal chapter 4.1-18 of the North Dakota Century Code, relating to the regulation of
5 industrial hemp; to provide a penalty; to provide a continuing appropriation; and to declare an
6 emergency.
7 BE IT ENACTED BY THE LEGISLATIVE ASSEMBLY OF NORTH DAKOTA:
8 SECTION 1. Chapter 4.1-18.1 of the North Dakota Century Code is created and enacted as
9 follows:
10 4.1-18.1-01. Industrial hemp (cannabis sativa l.).
11 "Industrial hemp" or "hemp" means the plant cannabis sativa l. and any part of the plant,
12 including the seeds and all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts
13 of isomers, whether growing or not, with a delta-9 tetrahydrocannabinol concentration of not
14 more than three-tenths of one percent on a dry weight basis.
15 4.1-18.1-02. Industrial hemp - Licensure.
16 Any person desiring to grow or process industrial hemp shall apply to the agriculture
17 commissioner for a license on a form prescribed by the commissioner. A license must be
18 obtained before a person purchases or obtains industrial hemp material for planting or
19 propagation. The applicant is responsible for anyone working under the applicant's license for
20 all sections of this chapter.
21 1. The application for a license must include the name and address of the applicant, and
22 the legal description of the land area to be used to produce or process industrial
23 hemp.
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1 2. The commissioner shall require each applicant for initial licensure to submit to a
2 statewide and nationwide criminal history record check. The nationwide criminal
3 history record check must be conducted in the manner provided in section 12-60-24.
4 All costs associated with the criminal history record check are the responsibility of the
5 applicant.
6 3. Criminal history records provided to the commissioner under this section are
7 confidential. The commissioner may use the records only in determining an applicant's
8 eligibility for licensure.
9 4. The commissioner shall deny licensure to any person convicted of a felony relating to
10 a controlled substance under state or federal law in the last ten years.
11 5. If the applicant has completed the application process to the satisfaction of the
12 commissioner, the commissioner shall issue the license. A license issued under this
13 chapter expires December thirty-first.
14 6. An application for a license under this subsection may be submitted to the
15 commissioner any time before the purchase of hemp seed or viable propagation
16 material.
17 4.1-18.1-03. License Fee.
18 The commissioner shall assess each producer and processor a fee not to exceed three
19 hundred and fifty dollars. The commissioner shall deposit fees collected under this chapter in
20 the commissioner's operating fund which are appropriated to the commissioner on a continuing
21 basis for the purpose of enforcing this chapter.
22 4.1-18.1-04. License - Grounds for denial.
23 1. The agriculture commissioner may deny or revoke a license to any person who:
24 a. Repeatedly violates this chapter;
25 b. Provides false or misleading information in connection with any application
26 required by this chapter; or
27 c. Has been convicted of a felony, as described in section 4.1-18.1-02, since the
28 most recent criminal history background check.
29 2. Any person denied a license under this section may request a hearing before the
30 commissioner within thirty days after the date of the denial.
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1 4.1-18.1-05. Violations.
2 1. A producer found in violation of this chapter for negligently failing to provide the legal
3 description of the land where the producer is growing hemp, failing to obtain a license,
4 or by producing hemp with a delta-9 tetrahydrocannabinol concentration of more than
5 three-tenths of one percent on a dry weight basis is subject to:
6 a. Meeting a deadline set by the commissioner to come into compliance with this
7 chapter; and
8 b. Additional reporting requirements set by the commissioner for a period of no less
9 than two years.
10 2. An applicant or person licensed to grow hemp under this chapter found in violation of
11 the chapter with a culpable mental state greater than negligence must be reported to
12 the attorney general.
13 4.1-18.1-06. Confiscation and disposal.
14 1. Any hemp found to be in violation of this chapter is subject to confiscation and
15 disposal by the commissioner.
16 2. Any disposal related costs will be the responsibility of the producer, owner, or person
17 responsible for the hemp.
18 3. The commissioner is not liable for any destruction of hemp or hemp products carried
19 out under this chapter.
20 4.1-18.1-07. Commissioner powers.
21 The commissioner may enter on any land or areas where hemp is grown, stored, or
22 processed for the purposes of inspections, sample collection, testing, or investigation for the
23 purposes of enforcing this chapter.
24 4.1-18.1-08. Industrial hemp - Research.
25 1. Any researcher associated with or operating under an institution under the control of
26 the state board of higher education is exempt from obtaining a license described under
27 section 4.1-18-02 to grow industrial hemp. A researcher shall notify the commissioner
28 of the researcher's intent to plant industrial hemp and provide the following information
29 to the commissioner:
30 a. The name and contact information of the primary investigator; and
31 b. The legal description of all land where hemp will be grown as part of the project.
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1 2. The research institution shall ensure the primary investigator and all other project
2 participants meet the criminal history background restrictions in section 4.1-18.1-02.
3 SECTION 2. AMENDMENT. Subdivision b of subsection 2 of section 12-60-24 of the North
4 Dakota Century Code is amended and reenacted as follows:
5 b. The agriculture commissioner for each applicant for a license to grow or process
6 industrial hemp under section 4.1-18-02 and any individual engaged in an activity
7 authorized under section 4.1-18-034.1-18.1-02.
8 SECTION 3. REPEAL. Chapter 4.1-18 of the North Dakota Century Code is repealed.
9 SECTION 4. EMERGENCY. This Act is declared to be an emergency measure.
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Statutes affected: INTRODUCED: 12-60-24
Adopted by the House Agriculture Committee: 19-24.1-01
FIRST ENGROSSMENT: 12-60-24, 19-24.1-01
SECOND ENGROSSMENT: 12-60-24, 19-24.1-01
Enrollment: 12-60-24, 19-24.1-01