1 STATE OF OKLAHOMA
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2 2nd Session of the 59th Legislature (2024)
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3 SENATE BILL 1934 By: Kidd
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6 AS INTRODUCED
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7 An Act relating to agriculture; amending 2 O.S. 2021,
7 Sections 3-402 and 3-403, as amended by Sections 1
8 and 2, Chapter 265, O.S.L. 2022 (2 O.S. Supp. 2023,
8 Sections 3-402 and 3-403), which relate to the
9 Oklahoma Industrial Hemp Program; modifying
9 definitions; modifying amount of allowable delta-9
10 tetrahydrocannabinol concentration; requiring certain
10 harvest within certain timeframe; modifying elements
11 of remediation; allowing animal consumption of
11 industrial hemp within certain criteria; amending 2
12 O.S. 2021, Sections 3-404, 3-406.1, and 3-408, as
12 amended by Section 3, Chapter 265, O.S.L. 2022 (2
13 O.S. Supp. 2023, Section 3-408), which relate to the
13 Oklahoma Industrial Hemp Program; modifying elements
14 of application process; modifying elements of
14 remediation; modifying amount of allowable delta-9
15 tetrahydrocannabinol concentration; and providing an
15 effective date.
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18 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
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19 SECTION 1. AMENDATORY 2 O.S. 2021, Section 3-402, as
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20 amended by Section 1, Chapter 265, O.S.L. 2022 (2 O.S. Supp. 2023,
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21 Section 3-402), is amended to read as follows:
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22 Section 3-402. As used in the Oklahoma Industrial Hemp Program:
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23 1. “Department” means the Oklahoma Department of Agriculture,
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24 Food, and Forestry;
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 1 2. “Fiber” means the stalk of the industrial hemp plant and
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2 does not include the flower or seeds of the plant;
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3 3. “Flower” means the part of the industrial hemp plant that
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4 contains the majority of the industrial hemp plant’s
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5 tetrahydrocannabinol and other cannabinoids;
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6 4. “Grain” means all of the parts of an industrial hemp plant
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7 except the stalk or the flower of the industrial hemp plant;
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8 5. “Handling” means possessing or storing industrial hemp for
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9 any period of time on premises owned, operated or controlled by a
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10 person licensed to cultivate or process industrial hemp and also
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11 includes possessing or storing industrial hemp in a vehicle for any
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12 period of time other than during its actual transport from the
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13 premises of a licensed person to cultivate or process industrial
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14 hemp to the premises of another licensed person;
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15 6. “Industrial hemp” means the plant Cannabis sativa L. and any
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16 part of the plant, including the seeds thereof, and all derivatives,
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17 extracts, cannabinoids, isomers, acids, salts and salts of isomers,
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18 whether growing or not, with a total delta-9 tetrahydrocannabinol
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19 concentration of not more than three-tenths of one percent (0.3%) on
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20 a dry-weight basis;
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21 7. “Key participant” means a person who has a direct or
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22 indirect financial interest in the entity producing hemp, such as an
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23 owner or partner in a partnership. A key participant includes an
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24 individual who is part of a corporate entity or a tribal-owned
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 1 corporation. A key participant also includes an executive level
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2 individual such as a chief executive officer, chief operating
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3 officer, or chief financial officer. Such term shall not include
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4 such management personnel as a farm, field, or shift manager or a
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5 member of the leadership of a tribal government who is acting in his
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6 or her capacity as a tribal leader except when such member exercises
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7 executive managerial control over hemp production.
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8 8. “Licensee” means a person who holds a valid Industrial Hemp
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9 License to grow industrial hemp under the Oklahoma Industrial Hemp
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10 Program. A licensee shall have the ability to remediate
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11 noncompliant industrial hemp with a total delta-9
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12 tetrahydrocannabinol concentration of not more than one percent
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13 (1.0%) on a dry-weight basis for retesting as set forth by the
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14 Department as long as the noncompliant industrial hemp has a total
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15 delta-9 tetrahydrocannabinol concentration of not more than three-
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16 tenths of one percent (0.3%) on a dry-weight basis after retesting,
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17 and the option to remediate the industrial hemp through the
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18 reasonable destruction of the flower or shredding of the entire lot
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19 into a homogeneous biomass results in the remediation of any part of
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20 the industrial hemp plant that is above three-tenths of one percent
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21 (0.3%) on a dry-weight basis. All noncompliant hemp must be tracked
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22 and documented. The State Board of Agriculture shall have
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23 jurisdiction over such remediation, which includes, but is not
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24 limited to, destruction through composting, burning, or other
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 1 regulated disposal methods if the industrial hemp is not remediated
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2 into a final product before processing below three-tenths of one
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3 percent (0.3%) on a dry-weight basis;
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4 8. 9. “License” means authorization by the Department for any
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5 person to grow and cultivate industrial hemp on a registered land
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6 area as part of the Oklahoma Industrial Hemp Program; and
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7 9. 10. “Processing” means converting industrial hemp into a
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8 marketable form, including the production of all derivatives,
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9 extracts, cannabinoids, isomers, acids, salts, and salts of isomers.
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10 SECTION 2. AMENDATORY 2 O.S. 2021, Section 3-403, as
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11 amended by Section 2, Chapter 265, O.S.L. 2022 (2 O.S. Supp. 2023,
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12 Section 3-403), is amended to read as follows:
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13 Section 3-403. A. 1. A licensee is authorized to engage in
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14 the growth, cultivation, handling or processing of industrial hemp
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15 and may remediate noncompliant industrial hemp with a total delta-9
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16 tetrahydrocannabinol concentration of not more than one percent
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17 (1.0%) on a dry-weight basis and prepare for retesting as set forth
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18 by the Department as long as the noncompliant industrial hemp has a
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19 total delta-9 tetrahydrocannabinol concentration of not more than
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20 three-tenths of one percent (0.3%) on a dry-weight basis after
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21 retesting, or all or part of the product is disposed of in the
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22 process of remediation so that only a compliant product (with a
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23 total delta-9 tetrahydrocannabinol concentration of not more than
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24 three-tenths of one percent (0.3%) on a dry-weight basis) is left,
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 1 or all disposable waste is destroyed following a remediation
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2 process. Upon a sample collection verifying a compliant delta-9
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3 tetrahydrocannabinol concentration, the licensee shall harvest
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4 within thirty (30) days of sample collection.
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5 2. A remediation facility shall be an option of the remediation
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6 process. The licensee may remediate any noncompliant industrial
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7 hemp at its own facilities, affiliated facilities, or third-party
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8 facilities as long as these facilities are licensed and approved by
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9 the State Board of Agriculture as a remediation facility. The State
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10 Board of Agriculture shall be notified before any noncompliant
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11 industrial hemp is transported to a remediation facility Remediation
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12 shall occur on the facility of the licensee. Noncompliant
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13 industrial hemp shall not leave such facility until a compliant test
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14 is conducted by the Department or a lab approved by the Department.
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15 Retesting of any noncompliant industrial hemp shall be done within
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16 sixty (60) days post-harvest. Within seven (7) days of receiving
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17 notice of a measured tetrahydrocannabinol concentration that exceeds
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18 the acceptable hemp tetrahydrocannabinol level but is less than one
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19 percent (1.0%), the licensed grower shall consent to the destruction
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20 of all cannabis from that lot, or he or she may request remediation
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21 and a post-harvest retest in a homogenized form in accordance with
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22 the procedures established by the State Board of Agriculture. A
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23 measured tetrahydrocannabinol concentration that exceeds one percent
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24 (1.0%) shall require the licensed grower to properly dispose of all
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 1 cannabis from that lot. The retest fee shall be paid in an amount
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2 established by the State Board of Agriculture. Samples with a
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3 measured tetrahydrocannabinol concentration of one percent (1.0%) or
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4 greater shall not be eligible for a post-harvest retest or
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5 remediation and shall be destroyed.
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6 3. Licensees are allowed to may sell industrial hemp grain and
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7 other industrial hemp derivatives that are either grown or processed
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8 in this state, that do not include the flower, for the purpose of
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9 livestock feed and other animal consumption in this state if the
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10 licensee meets the requirements for compliant hemp with a total
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11 delta-9 tetrahydrocannabinol concentration not more than three-
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12 tenths of one percent (0.3%).
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13 B. The activities performed under the Oklahoma Industrial Hemp
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14 Program shall not subject the persons participating in the program
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15 to criminal liability under the Uniform Controlled Dangerous
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16 Substances Act. The exemption from criminal liability provided for
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17 in this subsection is a limited exemption that shall be strictly
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18 construed and shall not apply to an activity that is not expressly
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19 permitted under the Oklahoma Industrial Hemp Program.
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20 SECTION 3. AMENDATORY 2 O.S. 2021, Section 3-404, is
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21 amended to read as follows:
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22 Section 3-404. A. A person intending to engage in industrial
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23 hemp growth, cultivation, handling, or processing authorized under
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24 the Oklahoma Industrial Hemp Program shall apply to the Oklahoma
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 1 Department of Agriculture, Food, and Forestry for a license prior to
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2 planting, handling, or processing the industrial hemp.
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3 1. The application shall include:
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4 a. the name and address of the applicant,
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5 b. the legal description, global positioning system
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6 location, and map of the land area on which the
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7 applicant will engage in industrial hemp growth and
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8 cultivation operations, handling operations or
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9 processing operations, and
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10 c. a statement of intended end use, and
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11 d. a criminal history record check for all key
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12 participants submitted with the initial or renewal
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13 application.
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14 2. By submitting an application, the applicant acknowledges and
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15 agrees that:
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16 a. information provided to the Department may be provided
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17 to law enforcement agencies,
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18 b. the applicant shall allow and fully cooperate with any
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19 inspection and sampling that the Department deems
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20 necessary,
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21 c. the applicant will submit all required reports by the
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22 applicable due dates specified by the Department, and
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23 d. the applicant has the legal right to cultivate, handle
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24 or process industrial hemp on the registered land area
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 1 and shall grant the Department access for inspection
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2 and sampling.
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3 B. The Department shall collect a nonrefundable fee from the
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4 applicant at the time of application. The Department shall set a
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5 fee schedule based on the size and use of the land area on which the
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6 licensee will conduct industrial hemp growing or cultivation
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7 operations and shall set the fee at a level sufficient to generate
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8 the amount of monies necessary to cover the Department’s direct
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9 costs in implementing the Oklahoma Industrial Hemp Program. Denied
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10 applications for a license may be resubmitted within a twelve-month
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11 period. The Department may waive the fee for resubmitted
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12 applications.
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13 C. A license issued pursuant to this section is valid for one
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14 (1) year. In order to continue engaging in industrial hemp growth
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15 and cultivation operations in Oklahoma, the licensee shall annually
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16 apply for a license in accordance with subsection A of this section.
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17 The Department may set a separate fee schedule for renewal of
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18 existing licenses in good standing.
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19 D. All industrial hemp plant material shall be planted, grown
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20 and harvested under a valid license. Any plant material that is not
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21 harvested in the license period in which it was planted or volunteer
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22 plants that are not destroyed must be declared for inclusion in a
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23 subsequent license.
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 1 E. If the licensee wishes to alter the land area on which the
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2 licensee will conduct industrial hemp growth, cultivation, handling
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3 or processing operations within thirty (30) days of any new license,
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4 before altering the area, the licensee shall submit to the
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5 Department and the United States Department of Agriculture Farm
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6 Service Agency an updated legal description, global positioning
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7 system location, and map specifying the proposed alterations.
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8 F. Each licensee shall report any changes to information
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9 provided in the license application within ten (10) days of such
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10 change to the Department and the United States Department of
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11 Agriculture Farm Service Agency.
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12 G. A licensee shall maintain all records pertaining to the
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13 license and growing records for a minimum of three (3) years.
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14 H. The Department shall promulgate rules necessary to implement
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15 the licensing program and to implement the Oklahoma Industrial Hemp
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16 Program.
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17 I. The Department shall promulgate rules to facilitate
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18 transportation of industrial hemp.
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19 SECTION 4. AMENDATORY 2 O.S. 2021, Section 3-406.1, is
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20 amended to read as follows:
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21 Section 3-406.1. An industrial hemp processor licensee may
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22 shall only remediate any industrial hemp legally grown pursuant to
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23 the Oklahoma Department of Agriculture, Food, and Forestry and the
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24 United States Department of Agriculture programs so long as all THC
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 1 is removed and it is processed as Cannabidiol (CBD) at the
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2 licensee’s facility. Noncompliant hemp shall not leave the facility
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3 until a compliant test is conducted by the Department or a lab
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4 approved by the Department.
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5 SECTION 5. AMENDATORY 2 O.S. 2021, Section 3-408, as
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6 amended by Section 3, Chapter 265, O.S.L. 2022 (2 O.S. Supp. 2023,
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7 Section 3-408), is amended to read as follows:
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8 Section 3-408. A. The Department may deny, revoke or suspend a
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9 license if the licensee:
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10 1. Violates any provision of the Oklahoma Industrial Hemp
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11 Program or rules adopted pursuant to the program;
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12 2. Engages in fraud or deception in the procurement of or
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13 attempt to procure a license under the Oklahoma Industrial Hemp
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14 Program or provides false information on a license application;
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15 3. Refuses or fails to cooperate and assist the Department with
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16 the inspection process;
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17 4. Refuses or fails to provide any information required or
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18 requested by the Department for purposes of the Oklahoma Industrial
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19 Hemp Program;
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20 5. Knowingly provides false, misleading or incorrect
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21 information pertain