HOUSE AGRICULTURE AND WATER RESOURCES COMMITTEE SUBSTITUTE FOR

HOUSE BILL 565

50th legislature - STATE OF NEW MEXICO - first session, 2011

AN ACT

RELATING TO AGRICULTURE; PROVIDING FOR LICENSING THE GROWING, SELLING AND PROCESSING OF INDUSTRIAL HEMP; ESTABLISHING FEES; PROVIDING FOR ADMINISTRATIVE MONITORING.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. RULES TO ENCOURAGE GROWTH AND SALES OF INDUSTRIAL SANTHICA--REGISTRATION.--The New Mexico department of agriculture shall:

          A. provide for registration of Santhica plants and seeds and act as a monitoring and marketing agency for growers of Santhica and of other hemp varieties that are THC-free; and

          B. determine rules to encourage growth and sales of industrial Santhica and ensure the participation by and inclusion of individual farmers, agricultural cooperatives and businesses in the rulemaking process.

     SECTION 2. LICENSE--FEES.--

          A. A person or business planning to grow and sell industrial Santhica seed or industrial Santhica fiber shall obtain a grower's license by submitting an application to the New Mexico department of agriculture containing the following:

                (1) the name and address of the applicant;

                (2) the location and legal description of the land to be used for the production of industrial Santhica and the name and address of the person holding title to the land on which the industrial Santhica will be planted;

                (3) authorization of field inspections and certification at the time of sale; and

                (4) a nonrefundable application or renewal fee of no more than one hundred fifty dollars ($150).

          B. A grower shall maintain records showing:

                (1) the origin of the seed purchased and planted;

                (2) the quantity of the seed purchased and planted;

                (3) the amount of industrial Santhica harvested and sold; and

                (4) buyers and recipients of the industrial Santhica plants, fiber and seed.

          C. The New Mexico department of agriculture shall help to ensure availability of seed. The department shall:

                (1) maintain an authorized list of certified seed sources for industrial Santhica;

                (2) certify industrial Santhica seed obtained from other sources;

                (3) maintain a list of growers and processors for whom seed has been provided; and

                (4) maintain a list of growers and processors.

          D. The New Mexico department of agriculture may enter into joint powers agreements with an Indian nation, tribe or pueblo to share information, to provide technical assistance and to generally cooperate with the Indian nation, tribe or pueblo to facilitate the production of industrial Santhica.

          E. The New Mexico department of agriculture may revoke or suspend the license of a grower if there is substantial evidence of violations of the provisions of or rules adopted pursuant to this 2011 act.

           F. Fees collected pursuant to this section are appropriated to the New Mexico department of agriculture to carry out the provisions of this 2011 act, including assistance to Indian tribes, nations and pueblos in New Mexico.

     SECTION 3. DEPARTMENT OF PUBLIC SAFETY--DUTIES AND POWERS.--The department of public safety:

          A. shall inspect growing fields and processing facilities upon verifiable evidence that a designated industrial Santhica field is unlicensed and is in violation of this 2011 act; and

          B. may enter into joint powers agreements with an Indian nation, tribe or pueblo to share information, to provide technical assistance and to generally cooperate with the Indian nation, tribe or pueblo to facilitate the production of industrial Santhica on tribal land.

     SECTION 4. COOPERATION BETWEEN AGENCIES.--The New Mexico department of agriculture and the department of public safety shall cooperate fully with one another to implement and enforce the provisions of this 2011 act.

     SECTION 5. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2011.

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