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Senate File 599 - ReprintedA Bill ForAn Act 1relating to hemp, including the regulation of hemp,
2providing for enforcement and the confiscation and
3destruction or disposal of certain property, providing for
4fees, including penalties, and providing implementation and
5effective date provisions.
6BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1DIVISION I
2Iowa Hemp Act
3 Section 1. NEW SECTION. 204.1 Short title.
4This chapter shall be known as the “Iowa Hemp Act”.
5 Sec. 2. NEW SECTION. 204.2 Definitions.
6As used in this chapter, unless the context otherwise
7requires:
81. “Controlled substance” means the same as defined in
9section 124.101.
102. “Conviction” means a conviction for an indictable
11offense, in this state or another state, and includes a guilty
12plea, deferred judgment from the time of entry of the deferred
13judgment until the time the defendant is discharged by the
14court without entry of judgment, or other finding of guilt by a
15court of competent jurisdiction.
163. “Crop site” or “site” means a single contiguous parcel
17of agricultural land suitable for the planting, growing, or
18harvesting of hemp, if the parcel does not exceed forty acres.
194. “Department” means the department of agriculture and land
20stewardship.
215. “Federal hemp law” means that part of Tit.X of the
22Agriculture Improvement Act of 2018, Pub.L. No.115-334, that
23authorizes hemp production according to a state plan approved
24by the United States department of agriculture, as provided in
25§10113 of that Act, amending the Agricultural Marketing Act
26of 1946, 7 U.S.C.§1621 et seq., including by adding §§297A
27through 297E.
286. a. “Hemp” means the plant cannabis sativa L. and
29any part of that plant, including the seeds thereof, and
30all derivatives, extracts, cannabinoids, isomers, acids,
31salts, and salts of isomers, whether growing or not, with a
32delta-9 tetrahydrocannabinol concentration of not more than
33three-tenths of one percent on a dry weight basis.
34b. “Hemp” also means a plant of the genus cannabis other
35than cannabis sativa L., with a delta-9 tetrahydrocannabinol
-1-1concentration of not more than three-tenths of one percent
2on a dry weight basis, but only to the extent allowed by the
3department in accordance with applicable federal law, including
4the federal hemp law.
57. “Hemp license” or “license” means a hemp license issued
6pursuant to section 204.4.
78. a. “Hemp product” means an item derived from or made
8by processing hemp or parts of hemp, including but not limited
9to any item manufactured from hemp, including but not limited
10to cloth, cordage, fiber, food, fuel, paint, paper, particle
11board, plastic, hemp seed, seed meal, or seed oil.
12b. “Hemp product” does not include any of the following:
13(1) An item or part of an item with a maximum delta-9
14tetrahydrocannabinol concentration that exceeds three-tenths of
15one percent on a dry weight basis.
16(2) Hemp seed that is capable of germination.
179. “Licensee” means a person who obtains a hemp license from
18the department under this chapter.
1910. “Local law enforcement agency” means an office of county
20sheriff or a municipal police department.
2111. “Negligent violation program” or “program” means the
22program that may be established by the department to allow
23a licensee to correct certain violations of this chapter as
24provided in section 204.14.
2512. “Produce” means to provide for the planting, raising,
26cultivating, managing, harvesting, and storing a crop.
27 Sec. 3. NEW SECTION. 204.3 State plan — implementing
28rules.
291. The department shall prepare a state plan to be submitted
30to the United States secretary of agriculture under the federal
31hemp law.
322. Upon approval of the state plan, the department shall
33assume primary regulatory authority over the production of hemp
34in this state as provided in this chapter. However, nothing in
35this chapter affects the powers and duties of the department of
-2-1public safety or local law enforcement agencies from enforcing
2any law within its purview or jurisdiction. The department of
3public safety shall be the chief criminal enforcement agency
4under this chapter.
53. The department may prepare any number of amended state
6plans or any number of amendments to an existing state plan to
7be submitted for approval by the United States secretary of
8agriculture.
94. The department may provide for the receipt, filing,
10processing, and return of documents described in this chapter
11in an electronic format, including but not limited to the
12transmission of documents by the internet. The department
13shall provide for the authentication of official forms in an
14electronic format that may include electronic signatures as
15provided in chapter 554D. An official form in an electronic
16format shall have the same validity and is discoverable and
17admissible in evidence if given under penalty of perjury in the
18same manner as an original printed form. The department shall
19provide for the issuance of certificates of crop inspection in
20an electronic format as provided in section 204.8.
215. a. The department shall prepare the state plan, any
22amended state plan, or amendment to an approved state plan, by
23adopting rules pursuant to chapter 17A.
24b. The department may adopt the rules on an emergency basis
25as provided in section 17A.4, subsection 3, and section 17A.5,
26subsection 2, and the rules shall be effective immediately upon
27filing unless a later date is specified in the rules.
28 Sec. 4. NEW SECTION. 204.4 Hemp license — requirements.
291. The department shall establish and administer a process
30to receive, evaluate, and approve or disapprove applications
31for a hemp license.
322. The department shall prepare and publish one or more hemp
33license application forms in cooperation with the department of
34public safety. A completed application form submitted to the
35department shall contain all of the following:
-3- 1a. The applicant’s full name and residence address.
2b. A legal description and map of each crop site where the
3applicant proposes to produce the hemp including its global
4positioning system location.
5c. The number of crop acres to be used for hemp production.
6d. The name of the hemp variety.
7e. The results of a national criminal history record check
8of an applicant as may be required by the department. The
9department shall inform an applicant if a national criminal
10history record check will be conducted. If a national criminal
11history record check is conducted, the applicant shall
12provide the applicant’s fingerprints to the department. The
13department shall provide the fingerprints to the department
14of public safety for submission through the state criminal
15history repository to the federal bureau of investigation. The
16applicant shall pay the actual cost of conducting any national
17criminal history record check to the department of agriculture
18and land stewardship. The department shall pay the actual cost
19of conducting the national criminal history record check to
20the department of public safety from moneys deposited in the
21hemp fund pursuant to section 204.6. The department of public
22safety shall treat such payments as repayment receipts as
23defined in section 8.2. The results of the national criminal
24history check shall not be considered a public record under
25chapter 22.
26f. Any other information required in order to administer and
27enforce the provisions of this chapter.
283. As a condition for issuance of a hemp license, the
29licensee consents to the department, the department of public
30safety, or a local law enforcement agency entering upon a crop
31site as provide in section 204.9.
324. The department may do all of the following:
33a. Require that all or some licenses expire on the same
34date.
35b. Provide a different application form and requirements
-4-1relating to the submission, evaluation, and approval or
2disapproval of an application for a renewed hemp license
3consistent with federal law.
45. An applicant shall not be issued a hemp license unless
5the applicant agrees to comply with all terms and conditions
6relating to the regulation of a licensee as provided in this
7chapter.
86. A person may hold any number of licenses at the same
9time. However, the person shall not hold a legal or equitable
10interest in a licensed crop site, if the total number of acres
11of all licensed crop sites in which the person holds all such
12interests equals more than forty acres.
137. An initial hemp license expires one year from the date
14of issuance and may be issued on a renewal basis annually. The
15department may require that a licensee apply for an amended or
16new initial license if information contained in the existing
17application is no longer accurate or is incomplete.
188. The department and the department of public safety shall
19cooperate to develop procedures for the sharing of information
20regarding applicants, including information required to be
21completed on application forms. Upon request, the department
22or the department of public safety shall provide information
23regarding an applicant to a department of agriculture or law
24enforcement agency in another state.
259. Information received on an application form shall be
26maintained by the department for not less than three years.
2710. The department shall disapprove the application of a
28person for good cause, which shall include, but is not limited
29to, any of the following:
30a. A conviction for committing a criminal offense involving
31a controlled substance as described in section 204.7.
32b. A third violation of a provision of this chapter in
33a five-year period. The department shall disapprove any
34application of a person for a five-year period following the
35date of the person’s last violation in the same manner as
-5-1provided in section 204.15.
2c. The revocation of a hemp license under section 204.11,
3or the revocation of a license, permit, registration, or other
4authorization to produce hemp in any other state.
511. A hemp license shall be suspended or revoked as provided
6in section 204.11.
7 Sec. 5. NEW SECTION. 204.5 Hemp fees.
81. The department shall impose, assess, and collect the
9following hemp fees:
10a. A license fee which shall be paid by a person being
11issued a hemp license as provided in section 204.4.
12b. An inspection fee which shall be paid by a licensee for
13the inspection of the licensee’s crop site, including obtaining
14samples of plants to conduct a test, as provided in section
15204.8.
162. a. For each hemp license, the license fee shall be
17imposed on an interim basis until June 30, 2022. The amount of
18the license fee shall not be more than the following:
19(1) Five hundred dollars plus five dollars per acre, for
20each crop site that is five acres or less.
21(2) Seven hundred and fifty dollars, plus five dollars per
22acre, for each crop site that is more than five acres but not
23more than ten acres.
24(3) One thousand dollars plus five dollars per acre, for
25each crop site that is more than ten acres.
26b. For conducting an inspection and official test as
27provided in section 204.8, the department shall charge an
28inspection fee on an interim basis until June 30, 2022, as
29follows:
30(1) In the case of an annual inspection and official test, a
31base fee of not more than one thousand dollars. The department
32may charge a supplemental fee in an amount determined by the
33department for conducting an inspection and official test of
34any additional variety of hemp produced on the same licensed
35crop site.
-6- 1(2) In the case of any other inspection and official test,
2conducted at the request of the licensee, the department shall
3charge a base fee or supplemental fee in the same manner as
4provided in subparagraph (1).
5c. This subsection is repealed on July 1, 2022.
63. a. The department shall adopt rules to establish hemp
7fees for the issuance of a hemp license pursuant to section
8204.4.
9b. The department shall adopt rules to establish hemp fees
10for conducting inspections and obtaining samples of plants
11to conduct tests, including but not limited to an annual
12inspection and official test, pursuant to section 204.8.
13c. The department shall calculate the rates, or a range of
14rates, of the hemp fees to be effective for each successive
15twelve-month period. The total amount of hemp fees collected
16by the department pursuant to this subsection shall not be
17more than the department’s estimate of the total amount of
18revenues necessary to administer and enforce the provisions
19of this chapter based on the expected revenue collected from
20the hemp fees and the costs to be incurred by the department
21in administering and enforcing the provisions of this chapter
22during that period. The department may adjust the rates within
23the range throughout the period as the department determines
24necessary to comply with this paragraph.
25d. The department may establish different rates for any
26category of hemp fees based on criteria determined relevant by
27the department, which may include the number of acres of the
28licensee’s crop site and the type of hemp license issued.
29e. (1) The rules shall first take effect immediately after
30the repeal of subsection 2.
31(2) This paragraph “e” is repealed immediately after the
32rules described in subparagraph (1) take effect.
334. The license fee and any annual inspection fee shall
34be collected by the department at the time the hemp license
35application is submitted.
-7- 15. Any hemp fee collected by the department under this
2section shall be deposited in the hemp fund established
3pursuant to section 204.6.
46. The department may refund all or any part of a hemp fee
5collected under this section to an applicant.
6 Sec. 6. NEW SECTION. 204.6 Hemp fund.
71. A hemp fund is established in the state treasury under
8the management and control of the department.
92. The hemp fund shall include moneys collected by the
10department from hemp fees imposed and assessed under section
11204.5 and moneys appropriated by the general assembly for
12deposit in the hemp fund. The hemp fund may include other
13moneys available to and obtained or accepted by the department,
14including moneys from public or private sources.
153. Moneys in the hemp fund are appropriated to the
16department and shall be used exclusively to carry out the
17responsibilities conferred upon the department under this
18chapter as determined and directed by the department, and
19shall not require further special authorization by the general
20assembly.
214. a. Notwithstanding section 12C.7, interest or earnings
22on moneys in the hemp fund shall be credited to the hemp fund.
23b. Notwithstanding section 8.33, moneys credited to the
24hemp fund that remain unexpended or unobligated at the end of a
25fiscal year shall not revert to any other fund.
26 Sec. 7. NEW SECTION. 204.7 Regulations — exemption for
27certain criminal offenses.
281. The Iowa crop improvement association recognized in
29chapter 177 shall adopt procedures to certify hemp seed capable
30of germination. Hemp seed certified under this subsection
31shall be presumed to comply with the requirements for hemp
32produced under this chapter.
332. A person who materially falsifies any information
34contained in an application under section 204.4 shall be
35ineligible to produce hemp under this chapter.
-8- 13. a. A licensee convicted of an offense punishable
2as a felony, for producing, possessing, using, harvesting,
3handling, manufacturing, marketing, transporting, delivering,
4or distributing a controlled substance before, on, or after
5the implementation date of this chapter shall be ineligible to
6produce hemp under this chapter for a ten-year period following
7the date of conviction.
8b. A licensee convicted in another state of an offense,
9punishable in that state as a felony, substantially
10corresponding to an offense described in paragraph “a”, before,
11on, or after the implementation date of this chapter, shall be
12ineligible to produce hemp under this chapter for a ten-year
13period following the date of conviction. The department shall
14recognize the statute of another state which defines such
15offense substantially equivalent to an offense described in
16paragraph “a” as a corresponding statute.
174. The department shall adopt rules regulating the
18production of hemp, including but not limited to inspection
19and testing requirements under section 204.8 or 204.9, and the
20issuance of a certificate of crop inspection under section
21204.8. The department shall adopt rules as necessary to
22administer the negligent violation program. The department may
23adopt other rules as necessary or desirable to administer and
24enforce the provisions of this chapter relating to hemp or hemp
25products.
265. A licensee is not subject to a criminal offense
27under chapter 124 or 453B for producing, possessing, using,
28harvesting, handling, manufacturing, marketing, transporting,
29delivering, or distributing hemp, if all of the following
30apply:
31a. The hemp is hemp seed delivered to the licensee for
32planting at the licensee’s crop site, or the hemp is or was
33produced at the licensee’s crop site.
34b. The department, the department of public safety, or
35a local law enforcement agency is allowed to access the
-9-1licensee’s crop site as part of an inspection as provided in
2sections 204.8 and 204.9, including by obtaining a sample of
3plants to conduct a test pursuant to section 204.8.
4c. The department has issued a certificate of crop
5inspection to the licensee covering the harvested hemp as
6provided in section 204.8.
76. A person other than a licensee is not subject to a
8criminal offense under chapter 124 or 453B for producing,
9possessing, using, harvesting, handling, manufacturing,
10marketing, transporting, delivering, or distributing hemp,
11while on the licensee’s crop site, if all of the following
12applies:
13a. The hemp is produced at the licensee’s crop site.
14b. The person is authorized to be on the licensee’s crop
15site by the licensee.
167. A person other than a licensee is not subject to a
17criminal offense under chapter 124 or 453B for possessing,
18handling, using, manufacturing, marketing, transporting,
19delivering, or distributing hemp produced in this state, if all
20of the following applies:
21a. The hemp is hemp seed delivered to the licensee for
22planting at the licensee’s crop site, or the hemp was produced
23at a licensee’s crop site.
24b. If the hemp has been harvested, the person holds a
25certificate of crop inspection covering the harvested hemp as
26provided in section 204.8.
27c. The person is acting in compliance with the federal hemp
28law and other applicable federal law.
298. A person is not subject to a criminal offense under
30chapter 124 or 453B for possessing, using, harvesting,
31handling, manufacturing, marketing, transporting, delivering,
32or distributing hemp produced in another state in compliance
33with the federal hemp law and other applicable federal law.
349. a. A person may engage in the retail sale of a hemp
35product if the hemp was produced in this state or another state
-10-1in compliance with the federal hemp law or other applicable
2federal law. A person may engage in the retail sale of a hemp
3product if the hemp was produced in another jurisdiction in
4compliance with applicable federal law and the laws of the
5other jurisdiction, if such law is substantially the same as
6applicable federal law.
7b. To the extent consistent with applicable federal law,
8a derivative of hemp, including hemp-derived cannabidiol, may
9be added to cosmetics, personal care products, and products
10intended for human or animal consumption. The addition of such
11a derivative shall not be considered an adulteration of the
12product, unless otherwise provided in applicable federal law.
13c. A person may transport a hemp product within and through
14this state and may export a hemp product to any foreign nation,
15in accordance with applicable federal law and the law of the
16foreign nation.
17d. A hemp product complying with this subsection is not a
18controlled substance under chapter 124 or 453B.
19 Sec. 8. NEW SECTION. 204.8 Inspections and tests —
20certificate of crop inspection.
211. a. The department shall conduct an annual inspection
22of a licensee’s crop site to determine if the crop produced
23at the site qualifies as hemp under this section. The annual
24inspection shall include obtaining a sample of plants that
25are part of the crop and providing for an official test of
26that sample. The inspection shall be conducted as provided in
27section 204.9.
28b. A licensee shall deliver a notice to the department
29stating the expected harvest date for the crop produced at the
30licensee’s crop site. The department must receive the notice
31at least thirty days prior to the expected harvest date. The
32department shall conduct the annual inspection of the site
33within thirty days prior to the actual harvest date.
34c. The department shall provide the department of public
35safety any official test results that indicate a sample exceeds
-11-1the maximum concentration of delta-9 tetrahydrocannabinol in
2excess of two percent on a dry weight basis.
3d. A licensee shall not harvest any portion of a crop
4produced at the licensee’s crop site unless the department has
5issued the licensee a certificate of crop inspection. The
6department shall issue a verified copy of the certificate to
7any other person upon request of the licensee. The certificate
8shall be published by the department as an official form. To
9the extent allowed by the federal hemp law, the certificate
10shall be proof that the harvested crop described on the form
11qualifies as hemp pursuant to the results of an official test.
122. The department may conduct official tests for additional
13varieties of hemp located on the same licensed crop site. The
14department may conduct additional inspections and tests upon
15the request of a licensee.
163. The official test shall be a composite test of the plants
17obtained by the department from a licensee’s crop site during
18the annual inspection and shall be conducted by a laboratory
19designated by the department. The sample must have a maximum
20concentration of delta-9 tetrahydrocannabinol that does not
21exceed three-tenths of one percent on a dry weight basis.
224. The department of public safety or a local law
23enforcement agency may conduct an inspection of a licensee’s
24crop site in order to determine that the licensee is complying
25with the criminal provisions of this chapter as well as
26chapters 124 and 453B. The department of public safety or a
27local law enforcement agency may conduct a test of the plants
28obtained by that department or local law enforcement agency
29from the licensee’s crop site during the inspection according
30to procedures adopted by the department of public safety.
31 Sec. 9. NEW SECTION. 204.9 Right of access.
321. a. The department, including an authorized inspector,
33employee, or agent of the department, may enter onto a crop
34site during reasonable hours to determine whether a licensee is
35acting in compliance with the requirements under this chapter.
-12-1The department may also enter into any structure if all of the
2following apply:
3(1) The structure is not a dwelling.
4(2) The structure is located on or in close proximity to the
5licensee’s crop site, and the use of such structure is directly
6related to the production of hemp, including but not limited to
7a barn, machine shed, greenhouse, or storage crib.
8b. The department may require the licensee to furnish
9business records, including books, accounts, records, files,
10and any other documents in print or electronic media that the
11department deems relevant to an inquiry conducted under this
12chapter.
13c. The department may request the department of public
14safety or a local law enforcement agency accompany the
15department of agriculture and land stewardship when conducting
16an inspection.
172. a. The department of public safety or a local law
18enforcement agency may conduct an inspection of a licensee’s
19crop site or enter into a structure located on or in close
20proximity to the crop site and may require a licensee to
21furnish business records, in the same manner and according to
22the same limitations as the department of agriculture and land
23stewardship pursuant to subsection 1.
24b. The department of public safety or a law enforcement
25agency may obtain a sample of plants that are part of the
26crop and provide for a test of that sample as provided in
27section 204.8. The department of public safety or a local law
28enforcement agency shall not impose, assess, or collect a fee
29for conducting an inspection or test under this section.
304. A person shall not prevent the department, the department
31of public safety, or a local law enforcement agency from
32administering and enforcing the provisions of this section by
33any means, including but not limited to any act, including
34a refusal to allow entry, misrepresentation, omission, or
35concealment of facts.
-13- 15. A licensee shall not harvest any portion of a crop
2produced at the licensee’s crop site if the department, the
3department of public safety, or a local law enforcement agency
4has been prevented from accessing the site under this section.
5 Sec. 10. NEW SECTION. 204.10 Order of disposal.
61. If a crop that is produced at a licensee’s crop site does
7not qualify as hemp according to an official test conducted
8pursuant to section 204.8, the department, in consultation with
9the department of public safety, shall order the disposal of
10the crop by destruction at the site or if necessary require the
11crop to be removed to another location for destruction.
122. The department may request assistance from the
13department of public safety or a local law enforcement agency
14as necessary to carry out the provisions of this section. The
15department upon request shall deliver any sample of the crop
16to the department of public safety or a local law enforcement
17agency.
183. The licensee shall pay the department for all actual
19and reasonable costs of the destruction of the crop. If the
20department assumes any amount of the costs, it may charge that
21amount to the licensee. If the licensee fails to reimburse any
22of that amount to the department, the department may report the
23amount to the county treasurer. The amount shall be placed
24upon the tax books, and collected with interest and penalties
25after due, in the same manner as other unpaid property taxes.
26The county shall reimburse the department within thirty days
27from the collection of the property taxes.
284. To the extent allowed by applicable federal law, the
29department may provide for the disposal of the mature stalks
30of the crop confiscated by the department for the licensee’s
31on-farm use and at the licensee’s expense.
32 Sec. 11. NEW SECTION. 204.11 Disciplinary action.
331. The department may suspend or revoke a hemp license
34obtained under section 204.4 by a person who does any of the
35following:
-14- 1a. Provides false or misleading information to the
2department under this chapter, including by submitting a false
3application.
4b. Fails to comply with or violates any provision of this
5chapter, including a rule adopted by the department, the
6department of public safety, or a condition of an application
7for the issuance of a hemp license under section 204.4.
8c. Fails to comply with an order issued by the department
9under this chapter.
102. The department shall revoke a license issued pursuant to
11section 204.4, if any of the following apply:
12a. The department would disapprove a new application to that
13person for good cause as provided in section 204.4, subsection
1410.
15b. The person submits a materially false application to
16participate in the negligent violation program.
173. The suspension or revocation of a hemp license is in
18addition to an order of disposal under section 204.10; the
19imposition of a civil penalty under section 204.12, subject
20to the provisions of section 204.15; or the imposition of any
21other civil or criminal penalty authorized under state law.
22 Sec. 12. NEW SECTION. 204.12 Civil penalties.
231. A person who violates a provision of this chapter is
24subject to a civil penalty of not less than five hundred
25dollars and not more than two thousand five hundred dollars.
26The department shall impose, assess, and collect the civil
27penalty. Each day that a continuing violation occurs may be
28considered a separate offense.
292. Notwithstanding subsection 1, a civil penalty shall not
30be imposed, assessed, or collected against a licensee who is
31participating in or has successfully completed the negligent
32violation program pursuant to section 204.15.
333. All civil penalties collected under this section shall be
34deposited into the general fund of the state.
35 Sec. 13. NEW SECTION. 204.13 Injunctive relief.
-15- 1The department, or the attorney general acting on behalf of
2the department, may apply to the district court for injunctive
3relief in order to restrain a person from acting in violation
4of this chapter. In order to obtain injunctive relief, the
5department, or attorney general, shall not be required to post
6a bond or prove the absence of an adequate remedy at law unless
7the court for good cause otherwise orders. The court may order
8any form of prohibitory or mandatory relief that is appropriate
9under principles of equity, including but not limited to
10issuing a temporary or permanent restraining order.
11 Sec. 14. NEW SECTION. 204.14 Criminal offense — falsified
12certificate of crop inspection.
13A person is subject to criminal penalties provided under the
14applicable provisions in chapter 124 or 453B, if all of the
15following apply:
161. The person commits an offense under one of the applicable
17provisions of chapter 124 or 453B by possessing, handling,
18using, manufacturing, marketing, transporting, delivering, or
19distributing the plant cannabis, regardless of whether the
20plant was produced in compliance with the provisions of this
21chapter.
222. The person is required to hold a certificate of crop
23inspection under section 204.8 to possess, handle, use,
24manufacture, market, transport, deliver, or distribute hemp
25that has been harvested under this chapter.
263. The person knowingly or intentionally does any of the
27following:
28a. Falsifies the certificate of crop inspection.
29b. Acquires the certificate of crop inspection that the
30person knows has been falsified.
31 Sec. 15. NEW SECTION. 204.15 Negligent violation —
32program.
331. a. The department may find that a licensee has
34negligently violated a provision of this chapter by doing any
35of the following:
-16- 1(1) Completing an application for a license without
2providing a legal description of the crop site pursuant to
3section 204.4.
4(2) Failing to renew a hemp license for an existing crop
5site or obtain a hemp license for a new crop site pursuant to
6section 204.4.
7(3) Producing a crop on the licensee’s crop site with a
8maximum concentration of delta-9 tetrahydrocannabinol that
9exceeds three-tenths of one percent according to the results of
10an official test of a sample obtained from the licensed crop
11site pursuant to an inspection conducted under section 204.8.
12b. It is conclusively presumed that a licensee acted
13with a culpable mental state greater than negligence, if
14the department obtains a sample of a crop produced on the
15licensee’s crop site and the official test results of the
16sample conducted pursuant to section 204.8 indicate a maximum
17concentration of delta-9 tetrahydrocannabinol in excess of two
18percent on a dry weight basis.
19c. If the department determines a licensee violated this
20chapter with a culpable mental state greater than negligence,
21the department shall immediately report the licensee’s
22violation to the department of public safety, the county
23attorney, and the attorney general, who shall take action as
24the facts and circumstances warrant. The department shall also
25report the licensee to the United States attorney general to
26the extent required by the federal hemp law.
272. The department may establish a negligent violation
28program. The purpose of the program is to allow a
29participating licensee who has negligently violated a provision
30of this chapter as described in subsection 1 to comply with a
31corrective plan established by the department to correct each
32negligent violation, including by providing for all of the
33following:
34a. A reasonable date, established by the department, for the
35licensee to correct each cause for the violation.
-17- 1b. The filing of periodic reports to the department
2evidencing that the licensee is complying with the requirements
3of this chapter. The licensee shall submit the reports to the
4department according to a schedule required by the department.
5The licensee shall submit a report to the department for
6at least two years from the date that the licensee first
7participated in the program.
8c. Any other requirement established by the department.
93. A licensee shall not participate in the negligent
10violation program, if a test of a sample of plants that
11are part of a crop produced on the licensee’s crop site
12exceeds a maximum concentration of two percent delta-9
13tetrahydrocannabinol on a dry weight basis.
144. A person who has violated a provision of this chapter
15three times in a five-year period shall be ineligible to
16participate in the negligent violation program, or produce
17hemp, for a period of five years beginning on the date of the
18third violation.
195. The department shall certify that a licensee has
20successfully completed the negligent violation program. The
21certification shall be published by the department as an
22official form. The department shall deliver the certification
23to the licensee which shall be proof of the licensee’s
24compliance.
256. A licensee who is participating in or has successfully
26completed the negligent violation program shall not be subject
27to any of the following:
28a. A civil penalty under section 204.12 for committing a
29violation of this chapter.
30b. A criminal offense under chapter 124 or 453B arising
31out of a negligent violation of this chapter, if the licensee
32would otherwise be guilty of producing, possessing, using,
33harvesting, handling, or distributing the plant cannabis
34pursuant to the results of a test conducted pursuant to section
35204.8.
-18-1 Sec. 16. NEW SECTION. 204.16 Waivers or variances.
2If the department determines there is a conflict with a
3regulation or order promulgated by a federal agency and a
4provision of this chapter, the department may grant a variance
5or waiver from the provision of this chapter to the extent such
6variance or waiver is allowed under the federal hemp law and
7the United States department of agriculture. The waiver or
8variance shall expire not later than July 1 of the succeeding
9legislative session.
10 Sec. 17. NEW SECTION. 204.17 Statutory construction.
111. Nothing in this chapter shall be construed or applied to
12be less stringent than required under the federal hemp law.
132. Nothing in this chapter shall be construed or applied to
14be in conflict with any of the following:
15a. Applicable federal law and related regulations.
16b. Other laws of this state, including any administrative
17rules, relating to product development, product manufacturing,
18consumer safety, or public health so long as the state law is
19compatible with applicable federal law.
20c. Local law relating to product development, product
21manufacturing, consumer safety, or public health so long as the
22local law is consistent with federal and state law.
233. Except as provided in section 204.7, nothing in this
24chapter shall be construed or applied to prohibit a person
25from possessing, handling, using, manufacturing, marketing,
26transporting, delivering, or distributing a hemp product.
274. Nothing in this chapter shall be construed or applied
28to authorize a person to manufacture, recommend, possess, use,
29dispense, deliver, transport, or administer medical cannabidiol
30pursuant to chapter 124E.
315. Nothing in this chapter shall be construed or applied to
32infringe upon the ability of the department of public safety
33or a local law enforcement agency to obtain a search warrant
34issued by a court, or enter onto any premises in a manner
35consistent with the laws of this state and the United States,
-19-1including Article I, section 8, of the Constitution of the
2State of Iowa, or the fourth amendment to the Constitution of
3the United States.
46. Nothing in this chapter shall be construed or applied
5to affect a statue or rule of which applies to hemp or hemp
6product in the same manner as other articles subject to the
7same general regulation.
8 Sec. 18. CONTINGENT IMPLEMENTATION.
91. Except as provided in subsection 2, the provisions of
10chapter 204, as enacted in this division of this Act, shall
11only be implemented, including administered and enforced,
12by the department of agriculture and land stewardship,
13the department of public safety, and local law enforcement
14agencies, beginning on the publication date of the edition of
15the Iowa administrative bulletin that includes a statement by
16the secretary of agriculture of the department of agriculture
17and land stewardship certifying that the United States
18department of agriculture has approved a state plan as
19described in section 204.3, as enacted in this division of this
20Act. The department shall forward a copy of the statement to
21the Iowa Code editor prior to publication.
222. Section 204.3 and this subsection shall be implemented on
23the effective date of this Act.
24 Sec. 19. EFFECTIVE DATE. This division of this Act, being
25deemed of immediate importance, takes effect upon enactment.
26DIVISION II
27COORDINATING AMENDMENTS
28 Sec. 20. Section 29B.107A, Code 2019, is amended by adding
29the following new subsection:
30 NEW SUBSECTION. 3. Notwithstanding subsection 2,
31“controlled substance” does not include hemp or a hemp product
32excluded from schedule I of controlled substances as provided
33in section 124.204, subsection 7.
34 Sec. 21. Section 80.9, subsection 7, Code 2019, is amended
35to read as follows:
-20- 17. a. The department shall assist persons who are
2responsible for the care of private and public land in
3identifying growing marijuana plants when the plants are
4reported to the department. The department shall also provide
5education to the persons regarding methods of eradicating the
6plants.
7b. Notwithstanding paragraph “a”, the department is not
8required to provide such assistance if the marijuana plants are
9hemp produced in accordance with the provisions of chapter 204.
10c. The department shall adopt rules necessary to carry out
11this subsection.
12 Sec. 22. Section 124.204, subsection 4, paragraphs m and u,
13Code 2019, are amended to read as follows:
14m. Marijuana, except as otherwise provided by rules of the
15board for medicinal purposes in subsection 7.
16u. (1) Tetrahydrocannabinols, except as otherwise
17provided by rules of the board for medicinal purposes,
18meaning tetrahydrocannabinols naturally contained in a plant
19of the genus Cannabis (Cannabis plant) as well as synthetic
20equivalents of the substances contained in the Cannabis plant,
21or in the resinous extractives of such plant, and synthetic
22substances, derivatives, and their isomers with similar
23chemical structure and pharmacological activity to those
24substances contained in the plant, such as the following:
25(1) (a) 1 cis or trans tetrahydrocannabinol, and their
26optical isomers.
27(2) (b) 6 cis or trans tetrahydrocannabinol, and their
28optical isomers.
29(3) (c) 3,4 cis or trans tetrahydrocannabinol, and their
30optical isomers. (Since nomenclature of these substances
31is not internationally standardized, compounds of these
32structures, regardless of numerical designation of atomic
33positions covered.)
34(2) Subparagraph (1) does not include tetrahydrocannabinol
35to the extent excluded in subsection 7.
-21-1 Sec. 23. Section 124.204, subsection 7, Code 2019, is
2amended to read as follows:
37. Exclusions. This section does not apply to marijuana,
4 any of the following:
5a. Marijuana,tetrahydrocannabinols, or chemical
6derivatives of tetrahydrocannabinol, when utilized for
7medicinal purposes pursuant to rules of the board.
8b. (1) Hemp as defined in section 204.2 that is or was
9produced in this state, or was produced in another state, in
10accordance with the provisions of chapter 204 with a maximum
11delta-9 tetrahydrocannabinol concentration that does not exceed
12three-tenths of one percent on a dry weight basis.
13(2) A hemp product as provided in chapter 204 with a maximum
14delta-9 tetrahydrocannabinol concentration that does not exceed
15three-tenths of one percent on a dry weight basis.
16 Sec. 24. Section 124.401, Code 2019, is amended by adding
17the following new subsection:
18 NEW SUBSECTION. 6. Notwithstanding any other provision in
19this section to the contrary, a person may produce, possess,
20use, harvest, handle, manufacture, market, transport, deliver,
21or distribute any of the following:
22a. Hemp that is hemp seed delivered for planting at a
23licensed crop site, or hemp that is or was produced at the
24site, by a person operating under a hemp license issued by the
25department of agriculture and land stewardship in accordance
26with the provisions of chapter 204.
27b. Hemp that was produced in another state in accordance
28with the federal hemp law and other applicable law.
29c. A hemp product as provided in chapter 204.
30 Sec. 25. NEW SECTION. 124.401H Iowa hemp Act — negligent
31violation program.
32Notwithstanding any provision of this chapter to the
33contrary, a person shall not be guilty of an offense under
34this chapter, including under section 124.401 or 124.410,
35for producing, possessing, using, harvesting, handling,
-22-1manufacturing, marketing, transporting, delivering, or
2distributing the plant cannabis, if all of the following apply:
31. The person holds a valid hemp license issued by the
4department of agriculture and land stewardship as provided in
5chapter 204.
62. The plant is or was produced on the licensee’s crop site
7as provided in chapter 204.
83. The offense arises out of a test of a sample of plants
9that are part of a crop produced on the licensee’s crop site
10and the test indicates that the sample does not qualify as hemp
11under section 204.8 and does not exceed maximum concentration
12of two percent delta-9 tetrahydrocannabinol on a dry weight
13basis.
144. The licensee is participating in or has successfully
15completed the negligent violation program that applies to the
16licensee’s crop site described in subsection 3 if such program
17is established by the department of agriculture and land
18stewardship pursuant to section 204.15.
19 Sec. 26. Section 124.410, Code 2019, is amended to read as
20follows:
21124.410 Accommodation offense.
221. In a prosecution for unlawful delivery or possession
23with intent to deliver marijuana, if the prosecution proves
24that the defendant violated the provisions of section 124.401,
25subsection 1, by proving that the defendant delivered or
26possessed with intent to deliver one-half ounce or less of
27marijuana which was not offered for sale, the defendant is
28guilty of an accommodation offense and rather than being
29sentenced as if convicted for a violation of section 124.401,
30subsection 1, paragraph “d”, shall be sentenced as if
31convicted of a violation of section 124.401, subsection 5. An
32accommodation offense may be proved as an included offense
33under a charge of delivering or possessing with the intent to
34deliver marijuana in violation of section 124.401, subsection
351. This section
-23- 12. Subsection 1does not apply to hashish, any of the
2following:
3a. Hashish,hashish oil, or other derivatives of marijuana
4as defined in section 124.101, subsection 20.
5b. Hemp or a hemp product excluded from schedule I
6of controlled substances as provided in section 124.204,
7subsection 7.
8 Sec. 27. Section 124.411, subsection 3, Code 2019, is
9amended to read as follows:
103. This section does not apply to offenses any of the
11following:
12a. An offenseunder section 124.401, subsection 5.
13b. Hemp or a hemp product excluded from schedule I
14of controlled substances as provided in section 124.204,
15subsection 7.
16 Sec. 28. Section 124.506A, subsection 1, Code 2019, is
17amended to read as follows:
181. a. Notwithstanding the provisions of section 124.506, if
19more than ten pounds of marijuana or more than one pound of any
20other controlled substance is seized as a result of a violation
21of this chapter, the law enforcement agency responsible for
22retaining the seized controlled substance may destroy the
23seized controlled substance if the law enforcement agency
24retains at least ten pounds of the marijuana seized or at least
25one pound of any other controlled substance seized for evidence
26purposes.
27b. Paragraph “a” does not apply to hemp or a hemp product
28excluded from schedule I of controlled substances as provided
29in section 124.204, subsection 7.
30 Sec. 29. Section 189.1, subsection 1, Code 2019, is amended
31to read as follows:
321. “Article” means food, commercial feed, agricultural
33seed, commercial fertilizer, drug, pesticide, hemp or a hemp
34product, and paint, in the sense in which they are defined in
35the various provisions of this subtitle.
-24-1 Sec. 30. NEW SECTION. 317.1D Exemption — Iowa hemp Act.
2This chapter does not apply to a plant or any part of the
3plant qualifying as hemp, if the hemp is produced on a crop
4site regulated under chapter 204.
5 Sec. 31. NEW SECTION. 453B.17 Exemption — Iowa hemp Act —
6hemp and hemp products.
7This chapter does not apply to any of the following:
81. Hemp that is hemp seed delivered for planting at a
9licensed crop site, or hemp that is or was produced at the
10site, by a person operating under a hemp license issued by the
11department of agriculture and land stewardship in accordance
12with the provisions of chapter 204.
132. Hemp that was produced in another state in accordance
14with the federal hemp law and other applicable law.
153. A hemp product as provided in chapter 204.
16 Sec. 32. NEW SECTION. 453B.18 Exemption — Iowa hemp Act
17— negligent violation program.
18Notwithstanding any provision of this chapter to the
19contrary, a person shall not be guilty of an offense under this
20chapter for producing or possessing the plant cannabis, if all
21of the following apply:
221. The person holds a valid hemp license issued by the
23department of agriculture and land stewardship as provided in
24chapter 204.
252. The plant is or was produced on the licensee’s crop site
26as provided in chapter 204.
273. The offense arises out of a test of a sample of plants
28that are part of a crop produced on the licensee’s crop
29site and the test indicates that the sample does not qualify
30as hemp under section 204.8 and it does not exceed maximum
31concentration of two percent delta-9 tetrahydrocannabinol on a
32dry weight basis.
334. The licensee is participating in or has successfully
34completed the negligent violation program that applies to the
35licensee’s crop site described in subsection 3 if such program
-25-1is established by the department of agriculture and land
2stewardship pursuant to section 204.15.
3 Sec. 33. CONTINGENT EFFECTIVE DATE. The amendments to
4sections 29B.107A, 80.9, 124.204, 124.401, 124.410, 124.411,
5124.506A, and 189.1, and new sections 124.401H, 317.1D,
6453B.17, and 453B.18, as enacted in this division of this
7Act, shall become effective upon the date of implementation
8of chapter 204 as described in subsection 1 of the section
9providing for the contingent implementation of that chapter, as
10enacted in division I of this Act.
da/rn/mb
2providing for enforcement and the confiscation and
3destruction or disposal of certain property, providing for
4fees, including penalties, and providing implementation and
5effective date provisions.
6BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1DIVISION I
2Iowa Hemp Act
3 Section 1. NEW SECTION. 204.1 Short title.
4This chapter shall be known as the “Iowa Hemp Act”.
5 Sec. 2. NEW SECTION. 204.2 Definitions.
6As used in this chapter, unless the context otherwise
7requires:
81. “Controlled substance” means the same as defined in
9section 124.101.
102. “Conviction” means a conviction for an indictable
11offense, in this state or another state, and includes a guilty
12plea, deferred judgment from the time of entry of the deferred
13judgment until the time the defendant is discharged by the
14court without entry of judgment, or other finding of guilt by a
15court of competent jurisdiction.
163. “Crop site” or “site” means a single contiguous parcel
17of agricultural land suitable for the planting, growing, or
18harvesting of hemp, if the parcel does not exceed forty acres.
194. “Department” means the department of agriculture and land
20stewardship.
215. “Federal hemp law” means that part of Tit.X of the
22Agriculture Improvement Act of 2018, Pub.L. No.115-334, that
23authorizes hemp production according to a state plan approved
24by the United States department of agriculture, as provided in
25§10113 of that Act, amending the Agricultural Marketing Act
26of 1946, 7 U.S.C.§1621 et seq., including by adding §§297A
27through 297E.
286. a. “Hemp” means the plant cannabis sativa L. and
29any part of that plant, including the seeds thereof, and
30all derivatives, extracts, cannabinoids, isomers, acids,
31salts, and salts of isomers, whether growing or not, with a
32delta-9 tetrahydrocannabinol concentration of not more than
33three-tenths of one percent on a dry weight basis.
34b. “Hemp” also means a plant of the genus cannabis other
35than cannabis sativa L., with a delta-9 tetrahydrocannabinol
-1-1concentration of not more than three-tenths of one percent
2on a dry weight basis, but only to the extent allowed by the
3department in accordance with applicable federal law, including
4the federal hemp law.
57. “Hemp license” or “license” means a hemp license issued
6pursuant to section 204.4.
78. a. “Hemp product” means an item derived from or made
8by processing hemp or parts of hemp, including but not limited
9to any item manufactured from hemp, including but not limited
10to cloth, cordage, fiber, food, fuel, paint, paper, particle
11board, plastic, hemp seed, seed meal, or seed oil.
12b. “Hemp product” does not include any of the following:
13(1) An item or part of an item with a maximum delta-9
14tetrahydrocannabinol concentration that exceeds three-tenths of
15one percent on a dry weight basis.
16(2) Hemp seed that is capable of germination.
179. “Licensee” means a person who obtains a hemp license from
18the department under this chapter.
1910. “Local law enforcement agency” means an office of county
20sheriff or a municipal police department.
2111. “Negligent violation program” or “program” means the
22program that may be established by the department to allow
23a licensee to correct certain violations of this chapter as
24provided in section 204.14.
2512. “Produce” means to provide for the planting, raising,
26cultivating, managing, harvesting, and storing a crop.
27 Sec. 3. NEW SECTION. 204.3 State plan — implementing
28rules.
291. The department shall prepare a state plan to be submitted
30to the United States secretary of agriculture under the federal
31hemp law.
322. Upon approval of the state plan, the department shall
33assume primary regulatory authority over the production of hemp
34in this state as provided in this chapter. However, nothing in
35this chapter affects the powers and duties of the department of
-2-1public safety or local law enforcement agencies from enforcing
2any law within its purview or jurisdiction. The department of
3public safety shall be the chief criminal enforcement agency
4under this chapter.
53. The department may prepare any number of amended state
6plans or any number of amendments to an existing state plan to
7be submitted for approval by the United States secretary of
8agriculture.
94. The department may provide for the receipt, filing,
10processing, and return of documents described in this chapter
11in an electronic format, including but not limited to the
12transmission of documents by the internet. The department
13shall provide for the authentication of official forms in an
14electronic format that may include electronic signatures as
15provided in chapter 554D. An official form in an electronic
16format shall have the same validity and is discoverable and
17admissible in evidence if given under penalty of perjury in the
18same manner as an original printed form. The department shall
19provide for the issuance of certificates of crop inspection in
20an electronic format as provided in section 204.8.
215. a. The department shall prepare the state plan, any
22amended state plan, or amendment to an approved state plan, by
23adopting rules pursuant to chapter 17A.
24b. The department may adopt the rules on an emergency basis
25as provided in section 17A.4, subsection 3, and section 17A.5,
26subsection 2, and the rules shall be effective immediately upon
27filing unless a later date is specified in the rules.
28 Sec. 4. NEW SECTION. 204.4 Hemp license — requirements.
291. The department shall establish and administer a process
30to receive, evaluate, and approve or disapprove applications
31for a hemp license.
322. The department shall prepare and publish one or more hemp
33license application forms in cooperation with the department of
34public safety. A completed application form submitted to the
35department shall contain all of the following:
-3- 1a. The applicant’s full name and residence address.
2b. A legal description and map of each crop site where the
3applicant proposes to produce the hemp including its global
4positioning system location.
5c. The number of crop acres to be used for hemp production.
6d. The name of the hemp variety.
7e. The results of a national criminal history record check
8of an applicant as may be required by the department. The
9department shall inform an applicant if a national criminal
10history record check will be conducted. If a national criminal
11history record check is conducted, the applicant shall
12provide the applicant’s fingerprints to the department. The
13department shall provide the fingerprints to the department
14of public safety for submission through the state criminal
15history repository to the federal bureau of investigation. The
16applicant shall pay the actual cost of conducting any national
17criminal history record check to the department of agriculture
18and land stewardship. The department shall pay the actual cost
19of conducting the national criminal history record check to
20the department of public safety from moneys deposited in the
21hemp fund pursuant to section 204.6. The department of public
22safety shall treat such payments as repayment receipts as
23defined in section 8.2. The results of the national criminal
24history check shall not be considered a public record under
25chapter 22.
26f. Any other information required in order to administer and
27enforce the provisions of this chapter.
283. As a condition for issuance of a hemp license, the
29licensee consents to the department, the department of public
30safety, or a local law enforcement agency entering upon a crop
31site as provide in section 204.9.
324. The department may do all of the following:
33a. Require that all or some licenses expire on the same
34date.
35b. Provide a different application form and requirements
-4-1relating to the submission, evaluation, and approval or
2disapproval of an application for a renewed hemp license
3consistent with federal law.
45. An applicant shall not be issued a hemp license unless
5the applicant agrees to comply with all terms and conditions
6relating to the regulation of a licensee as provided in this
7chapter.
86. A person may hold any number of licenses at the same
9time. However, the person shall not hold a legal or equitable
10interest in a licensed crop site, if the total number of acres
11of all licensed crop sites in which the person holds all such
12interests equals more than forty acres.
137. An initial hemp license expires one year from the date
14of issuance and may be issued on a renewal basis annually. The
15department may require that a licensee apply for an amended or
16new initial license if information contained in the existing
17application is no longer accurate or is incomplete.
188. The department and the department of public safety shall
19cooperate to develop procedures for the sharing of information
20regarding applicants, including information required to be
21completed on application forms. Upon request, the department
22or the department of public safety shall provide information
23regarding an applicant to a department of agriculture or law
24enforcement agency in another state.
259. Information received on an application form shall be
26maintained by the department for not less than three years.
2710. The department shall disapprove the application of a
28person for good cause, which shall include, but is not limited
29to, any of the following:
30a. A conviction for committing a criminal offense involving
31a controlled substance as described in section 204.7.
32b. A third violation of a provision of this chapter in
33a five-year period. The department shall disapprove any
34application of a person for a five-year period following the
35date of the person’s last violation in the same manner as
-5-1provided in section 204.15.
2c. The revocation of a hemp license under section 204.11,
3or the revocation of a license, permit, registration, or other
4authorization to produce hemp in any other state.
511. A hemp license shall be suspended or revoked as provided
6in section 204.11.
7 Sec. 5. NEW SECTION. 204.5 Hemp fees.
81. The department shall impose, assess, and collect the
9following hemp fees:
10a. A license fee which shall be paid by a person being
11issued a hemp license as provided in section 204.4.
12b. An inspection fee which shall be paid by a licensee for
13the inspection of the licensee’s crop site, including obtaining
14samples of plants to conduct a test, as provided in section
15204.8.
162. a. For each hemp license, the license fee shall be
17imposed on an interim basis until June 30, 2022. The amount of
18the license fee shall not be more than the following:
19(1) Five hundred dollars plus five dollars per acre, for
20each crop site that is five acres or less.
21(2) Seven hundred and fifty dollars, plus five dollars per
22acre, for each crop site that is more than five acres but not
23more than ten acres.
24(3) One thousand dollars plus five dollars per acre, for
25each crop site that is more than ten acres.
26b. For conducting an inspection and official test as
27provided in section 204.8, the department shall charge an
28inspection fee on an interim basis until June 30, 2022, as
29follows:
30(1) In the case of an annual inspection and official test, a
31base fee of not more than one thousand dollars. The department
32may charge a supplemental fee in an amount determined by the
33department for conducting an inspection and official test of
34any additional variety of hemp produced on the same licensed
35crop site.
-6- 1(2) In the case of any other inspection and official test,
2conducted at the request of the licensee, the department shall
3charge a base fee or supplemental fee in the same manner as
4provided in subparagraph (1).
5c. This subsection is repealed on July 1, 2022.
63. a. The department shall adopt rules to establish hemp
7fees for the issuance of a hemp license pursuant to section
8204.4.
9b. The department shall adopt rules to establish hemp fees
10for conducting inspections and obtaining samples of plants
11to conduct tests, including but not limited to an annual
12inspection and official test, pursuant to section 204.8.
13c. The department shall calculate the rates, or a range of
14rates, of the hemp fees to be effective for each successive
15twelve-month period. The total amount of hemp fees collected
16by the department pursuant to this subsection shall not be
17more than the department’s estimate of the total amount of
18revenues necessary to administer and enforce the provisions
19of this chapter based on the expected revenue collected from
20the hemp fees and the costs to be incurred by the department
21in administering and enforcing the provisions of this chapter
22during that period. The department may adjust the rates within
23the range throughout the period as the department determines
24necessary to comply with this paragraph.
25d. The department may establish different rates for any
26category of hemp fees based on criteria determined relevant by
27the department, which may include the number of acres of the
28licensee’s crop site and the type of hemp license issued.
29e. (1) The rules shall first take effect immediately after
30the repeal of subsection 2.
31(2) This paragraph “e” is repealed immediately after the
32rules described in subparagraph (1) take effect.
334. The license fee and any annual inspection fee shall
34be collected by the department at the time the hemp license
35application is submitted.
-7- 15. Any hemp fee collected by the department under this
2section shall be deposited in the hemp fund established
3pursuant to section 204.6.
46. The department may refund all or any part of a hemp fee
5collected under this section to an applicant.
6 Sec. 6. NEW SECTION. 204.6 Hemp fund.
71. A hemp fund is established in the state treasury under
8the management and control of the department.
92. The hemp fund shall include moneys collected by the
10department from hemp fees imposed and assessed under section
11204.5 and moneys appropriated by the general assembly for
12deposit in the hemp fund. The hemp fund may include other
13moneys available to and obtained or accepted by the department,
14including moneys from public or private sources.
153. Moneys in the hemp fund are appropriated to the
16department and shall be used exclusively to carry out the
17responsibilities conferred upon the department under this
18chapter as determined and directed by the department, and
19shall not require further special authorization by the general
20assembly.
214. a. Notwithstanding section 12C.7, interest or earnings
22on moneys in the hemp fund shall be credited to the hemp fund.
23b. Notwithstanding section 8.33, moneys credited to the
24hemp fund that remain unexpended or unobligated at the end of a
25fiscal year shall not revert to any other fund.
26 Sec. 7. NEW SECTION. 204.7 Regulations — exemption for
27certain criminal offenses.
281. The Iowa crop improvement association recognized in
29chapter 177 shall adopt procedures to certify hemp seed capable
30of germination. Hemp seed certified under this subsection
31shall be presumed to comply with the requirements for hemp
32produced under this chapter.
332. A person who materially falsifies any information
34contained in an application under section 204.4 shall be
35ineligible to produce hemp under this chapter.
-8- 13. a. A licensee convicted of an offense punishable
2as a felony, for producing, possessing, using, harvesting,
3handling, manufacturing, marketing, transporting, delivering,
4or distributing a controlled substance before, on, or after
5the implementation date of this chapter shall be ineligible to
6produce hemp under this chapter for a ten-year period following
7the date of conviction.
8b. A licensee convicted in another state of an offense,
9punishable in that state as a felony, substantially
10corresponding to an offense described in paragraph “a”, before,
11on, or after the implementation date of this chapter, shall be
12ineligible to produce hemp under this chapter for a ten-year
13period following the date of conviction. The department shall
14recognize the statute of another state which defines such
15offense substantially equivalent to an offense described in
16paragraph “a” as a corresponding statute.
174. The department shall adopt rules regulating the
18production of hemp, including but not limited to inspection
19and testing requirements under section 204.8 or 204.9, and the
20issuance of a certificate of crop inspection under section
21204.8. The department shall adopt rules as necessary to
22administer the negligent violation program. The department may
23adopt other rules as necessary or desirable to administer and
24enforce the provisions of this chapter relating to hemp or hemp
25products.
265. A licensee is not subject to a criminal offense
27under chapter 124 or 453B for producing, possessing, using,
28harvesting, handling, manufacturing, marketing, transporting,
29delivering, or distributing hemp, if all of the following
30apply:
31a. The hemp is hemp seed delivered to the licensee for
32planting at the licensee’s crop site, or the hemp is or was
33produced at the licensee’s crop site.
34b. The department, the department of public safety, or
35a local law enforcement agency is allowed to access the
-9-1licensee’s crop site as part of an inspection as provided in
2sections 204.8 and 204.9, including by obtaining a sample of
3plants to conduct a test pursuant to section 204.8.
4c. The department has issued a certificate of crop
5inspection to the licensee covering the harvested hemp as
6provided in section 204.8.
76. A person other than a licensee is not subject to a
8criminal offense under chapter 124 or 453B for producing,
9possessing, using, harvesting, handling, manufacturing,
10marketing, transporting, delivering, or distributing hemp,
11while on the licensee’s crop site, if all of the following
12applies:
13a. The hemp is produced at the licensee’s crop site.
14b. The person is authorized to be on the licensee’s crop
15site by the licensee.
167. A person other than a licensee is not subject to a
17criminal offense under chapter 124 or 453B for possessing,
18handling, using, manufacturing, marketing, transporting,
19delivering, or distributing hemp produced in this state, if all
20of the following applies:
21a. The hemp is hemp seed delivered to the licensee for
22planting at the licensee’s crop site, or the hemp was produced
23at a licensee’s crop site.
24b. If the hemp has been harvested, the person holds a
25certificate of crop inspection covering the harvested hemp as
26provided in section 204.8.
27c. The person is acting in compliance with the federal hemp
28law and other applicable federal law.
298. A person is not subject to a criminal offense under
30chapter 124 or 453B for possessing, using, harvesting,
31handling, manufacturing, marketing, transporting, delivering,
32or distributing hemp produced in another state in compliance
33with the federal hemp law and other applicable federal law.
349. a. A person may engage in the retail sale of a hemp
35product if the hemp was produced in this state or another state
-10-1in compliance with the federal hemp law or other applicable
2federal law. A person may engage in the retail sale of a hemp
3product if the hemp was produced in another jurisdiction in
4compliance with applicable federal law and the laws of the
5other jurisdiction, if such law is substantially the same as
6applicable federal law.
7b. To the extent consistent with applicable federal law,
8a derivative of hemp, including hemp-derived cannabidiol, may
9be added to cosmetics, personal care products, and products
10intended for human or animal consumption. The addition of such
11a derivative shall not be considered an adulteration of the
12product, unless otherwise provided in applicable federal law.
13c. A person may transport a hemp product within and through
14this state and may export a hemp product to any foreign nation,
15in accordance with applicable federal law and the law of the
16foreign nation.
17d. A hemp product complying with this subsection is not a
18controlled substance under chapter 124 or 453B.
19 Sec. 8. NEW SECTION. 204.8 Inspections and tests —
20certificate of crop inspection.
211. a. The department shall conduct an annual inspection
22of a licensee’s crop site to determine if the crop produced
23at the site qualifies as hemp under this section. The annual
24inspection shall include obtaining a sample of plants that
25are part of the crop and providing for an official test of
26that sample. The inspection shall be conducted as provided in
27section 204.9.
28b. A licensee shall deliver a notice to the department
29stating the expected harvest date for the crop produced at the
30licensee’s crop site. The department must receive the notice
31at least thirty days prior to the expected harvest date. The
32department shall conduct the annual inspection of the site
33within thirty days prior to the actual harvest date.
34c. The department shall provide the department of public
35safety any official test results that indicate a sample exceeds
-11-1the maximum concentration of delta-9 tetrahydrocannabinol in
2excess of two percent on a dry weight basis.
3d. A licensee shall not harvest any portion of a crop
4produced at the licensee’s crop site unless the department has
5issued the licensee a certificate of crop inspection. The
6department shall issue a verified copy of the certificate to
7any other person upon request of the licensee. The certificate
8shall be published by the department as an official form. To
9the extent allowed by the federal hemp law, the certificate
10shall be proof that the harvested crop described on the form
11qualifies as hemp pursuant to the results of an official test.
122. The department may conduct official tests for additional
13varieties of hemp located on the same licensed crop site. The
14department may conduct additional inspections and tests upon
15the request of a licensee.
163. The official test shall be a composite test of the plants
17obtained by the department from a licensee’s crop site during
18the annual inspection and shall be conducted by a laboratory
19designated by the department. The sample must have a maximum
20concentration of delta-9 tetrahydrocannabinol that does not
21exceed three-tenths of one percent on a dry weight basis.
224. The department of public safety or a local law
23enforcement agency may conduct an inspection of a licensee’s
24crop site in order to determine that the licensee is complying
25with the criminal provisions of this chapter as well as
26chapters 124 and 453B. The department of public safety or a
27local law enforcement agency may conduct a test of the plants
28obtained by that department or local law enforcement agency
29from the licensee’s crop site during the inspection according
30to procedures adopted by the department of public safety.
31 Sec. 9. NEW SECTION. 204.9 Right of access.
321. a. The department, including an authorized inspector,
33employee, or agent of the department, may enter onto a crop
34site during reasonable hours to determine whether a licensee is
35acting in compliance with the requirements under this chapter.
-12-1The department may also enter into any structure if all of the
2following apply:
3(1) The structure is not a dwelling.
4(2) The structure is located on or in close proximity to the
5licensee’s crop site, and the use of such structure is directly
6related to the production of hemp, including but not limited to
7a barn, machine shed, greenhouse, or storage crib.
8b. The department may require the licensee to furnish
9business records, including books, accounts, records, files,
10and any other documents in print or electronic media that the
11department deems relevant to an inquiry conducted under this
12chapter.
13c. The department may request the department of public
14safety or a local law enforcement agency accompany the
15department of agriculture and land stewardship when conducting
16an inspection.
172. a. The department of public safety or a local law
18enforcement agency may conduct an inspection of a licensee’s
19crop site or enter into a structure located on or in close
20proximity to the crop site and may require a licensee to
21furnish business records, in the same manner and according to
22the same limitations as the department of agriculture and land
23stewardship pursuant to subsection 1.
24b. The department of public safety or a law enforcement
25agency may obtain a sample of plants that are part of the
26crop and provide for a test of that sample as provided in
27section 204.8. The department of public safety or a local law
28enforcement agency shall not impose, assess, or collect a fee
29for conducting an inspection or test under this section.
304. A person shall not prevent the department, the department
31of public safety, or a local law enforcement agency from
32administering and enforcing the provisions of this section by
33any means, including but not limited to any act, including
34a refusal to allow entry, misrepresentation, omission, or
35concealment of facts.
-13- 15. A licensee shall not harvest any portion of a crop
2produced at the licensee’s crop site if the department, the
3department of public safety, or a local law enforcement agency
4has been prevented from accessing the site under this section.
5 Sec. 10. NEW SECTION. 204.10 Order of disposal.
61. If a crop that is produced at a licensee’s crop site does
7not qualify as hemp according to an official test conducted
8pursuant to section 204.8, the department, in consultation with
9the department of public safety, shall order the disposal of
10the crop by destruction at the site or if necessary require the
11crop to be removed to another location for destruction.
122. The department may request assistance from the
13department of public safety or a local law enforcement agency
14as necessary to carry out the provisions of this section. The
15department upon request shall deliver any sample of the crop
16to the department of public safety or a local law enforcement
17agency.
183. The licensee shall pay the department for all actual
19and reasonable costs of the destruction of the crop. If the
20department assumes any amount of the costs, it may charge that
21amount to the licensee. If the licensee fails to reimburse any
22of that amount to the department, the department may report the
23amount to the county treasurer. The amount shall be placed
24upon the tax books, and collected with interest and penalties
25after due, in the same manner as other unpaid property taxes.
26The county shall reimburse the department within thirty days
27from the collection of the property taxes.
284. To the extent allowed by applicable federal law, the
29department may provide for the disposal of the mature stalks
30of the crop confiscated by the department for the licensee’s
31on-farm use and at the licensee’s expense.
32 Sec. 11. NEW SECTION. 204.11 Disciplinary action.
331. The department may suspend or revoke a hemp license
34obtained under section 204.4 by a person who does any of the
35following:
-14- 1a. Provides false or misleading information to the
2department under this chapter, including by submitting a false
3application.
4b. Fails to comply with or violates any provision of this
5chapter, including a rule adopted by the department, the
6department of public safety, or a condition of an application
7for the issuance of a hemp license under section 204.4.
8c. Fails to comply with an order issued by the department
9under this chapter.
102. The department shall revoke a license issued pursuant to
11section 204.4, if any of the following apply:
12a. The department would disapprove a new application to that
13person for good cause as provided in section 204.4, subsection
1410.
15b. The person submits a materially false application to
16participate in the negligent violation program.
173. The suspension or revocation of a hemp license is in
18addition to an order of disposal under section 204.10; the
19imposition of a civil penalty under section 204.12, subject
20to the provisions of section 204.15; or the imposition of any
21other civil or criminal penalty authorized under state law.
22 Sec. 12. NEW SECTION. 204.12 Civil penalties.
231. A person who violates a provision of this chapter is
24subject to a civil penalty of not less than five hundred
25dollars and not more than two thousand five hundred dollars.
26The department shall impose, assess, and collect the civil
27penalty. Each day that a continuing violation occurs may be
28considered a separate offense.
292. Notwithstanding subsection 1, a civil penalty shall not
30be imposed, assessed, or collected against a licensee who is
31participating in or has successfully completed the negligent
32violation program pursuant to section 204.15.
333. All civil penalties collected under this section shall be
34deposited into the general fund of the state.
35 Sec. 13. NEW SECTION. 204.13 Injunctive relief.
-15- 1The department, or the attorney general acting on behalf of
2the department, may apply to the district court for injunctive
3relief in order to restrain a person from acting in violation
4of this chapter. In order to obtain injunctive relief, the
5department, or attorney general, shall not be required to post
6a bond or prove the absence of an adequate remedy at law unless
7the court for good cause otherwise orders. The court may order
8any form of prohibitory or mandatory relief that is appropriate
9under principles of equity, including but not limited to
10issuing a temporary or permanent restraining order.
11 Sec. 14. NEW SECTION. 204.14 Criminal offense — falsified
12certificate of crop inspection.
13A person is subject to criminal penalties provided under the
14applicable provisions in chapter 124 or 453B, if all of the
15following apply:
161. The person commits an offense under one of the applicable
17provisions of chapter 124 or 453B by possessing, handling,
18using, manufacturing, marketing, transporting, delivering, or
19distributing the plant cannabis, regardless of whether the
20plant was produced in compliance with the provisions of this
21chapter.
222. The person is required to hold a certificate of crop
23inspection under section 204.8 to possess, handle, use,
24manufacture, market, transport, deliver, or distribute hemp
25that has been harvested under this chapter.
263. The person knowingly or intentionally does any of the
27following:
28a. Falsifies the certificate of crop inspection.
29b. Acquires the certificate of crop inspection that the
30person knows has been falsified.
31 Sec. 15. NEW SECTION. 204.15 Negligent violation —
32program.
331. a. The department may find that a licensee has
34negligently violated a provision of this chapter by doing any
35of the following:
-16- 1(1) Completing an application for a license without
2providing a legal description of the crop site pursuant to
3section 204.4.
4(2) Failing to renew a hemp license for an existing crop
5site or obtain a hemp license for a new crop site pursuant to
6section 204.4.
7(3) Producing a crop on the licensee’s crop site with a
8maximum concentration of delta-9 tetrahydrocannabinol that
9exceeds three-tenths of one percent according to the results of
10an official test of a sample obtained from the licensed crop
11site pursuant to an inspection conducted under section 204.8.
12b. It is conclusively presumed that a licensee acted
13with a culpable mental state greater than negligence, if
14the department obtains a sample of a crop produced on the
15licensee’s crop site and the official test results of the
16sample conducted pursuant to section 204.8 indicate a maximum
17concentration of delta-9 tetrahydrocannabinol in excess of two
18percent on a dry weight basis.
19c. If the department determines a licensee violated this
20chapter with a culpable mental state greater than negligence,
21the department shall immediately report the licensee’s
22violation to the department of public safety, the county
23attorney, and the attorney general, who shall take action as
24the facts and circumstances warrant. The department shall also
25report the licensee to the United States attorney general to
26the extent required by the federal hemp law.
272. The department may establish a negligent violation
28program. The purpose of the program is to allow a
29participating licensee who has negligently violated a provision
30of this chapter as described in subsection 1 to comply with a
31corrective plan established by the department to correct each
32negligent violation, including by providing for all of the
33following:
34a. A reasonable date, established by the department, for the
35licensee to correct each cause for the violation.
-17- 1b. The filing of periodic reports to the department
2evidencing that the licensee is complying with the requirements
3of this chapter. The licensee shall submit the reports to the
4department according to a schedule required by the department.
5The licensee shall submit a report to the department for
6at least two years from the date that the licensee first
7participated in the program.
8c. Any other requirement established by the department.
93. A licensee shall not participate in the negligent
10violation program, if a test of a sample of plants that
11are part of a crop produced on the licensee’s crop site
12exceeds a maximum concentration of two percent delta-9
13tetrahydrocannabinol on a dry weight basis.
144. A person who has violated a provision of this chapter
15three times in a five-year period shall be ineligible to
16participate in the negligent violation program, or produce
17hemp, for a period of five years beginning on the date of the
18third violation.
195. The department shall certify that a licensee has
20successfully completed the negligent violation program. The
21certification shall be published by the department as an
22official form. The department shall deliver the certification
23to the licensee which shall be proof of the licensee’s
24compliance.
256. A licensee who is participating in or has successfully
26completed the negligent violation program shall not be subject
27to any of the following:
28a. A civil penalty under section 204.12 for committing a
29violation of this chapter.
30b. A criminal offense under chapter 124 or 453B arising
31out of a negligent violation of this chapter, if the licensee
32would otherwise be guilty of producing, possessing, using,
33harvesting, handling, or distributing the plant cannabis
34pursuant to the results of a test conducted pursuant to section
35204.8.
-18-1 Sec. 16. NEW SECTION. 204.16 Waivers or variances.
2If the department determines there is a conflict with a
3regulation or order promulgated by a federal agency and a
4provision of this chapter, the department may grant a variance
5or waiver from the provision of this chapter to the extent such
6variance or waiver is allowed under the federal hemp law and
7the United States department of agriculture. The waiver or
8variance shall expire not later than July 1 of the succeeding
9legislative session.
10 Sec. 17. NEW SECTION. 204.17 Statutory construction.
111. Nothing in this chapter shall be construed or applied to
12be less stringent than required under the federal hemp law.
132. Nothing in this chapter shall be construed or applied to
14be in conflict with any of the following:
15a. Applicable federal law and related regulations.
16b. Other laws of this state, including any administrative
17rules, relating to product development, product manufacturing,
18consumer safety, or public health so long as the state law is
19compatible with applicable federal law.
20c. Local law relating to product development, product
21manufacturing, consumer safety, or public health so long as the
22local law is consistent with federal and state law.
233. Except as provided in section 204.7, nothing in this
24chapter shall be construed or applied to prohibit a person
25from possessing, handling, using, manufacturing, marketing,
26transporting, delivering, or distributing a hemp product.
274. Nothing in this chapter shall be construed or applied
28to authorize a person to manufacture, recommend, possess, use,
29dispense, deliver, transport, or administer medical cannabidiol
30pursuant to chapter 124E.
315. Nothing in this chapter shall be construed or applied to
32infringe upon the ability of the department of public safety
33or a local law enforcement agency to obtain a search warrant
34issued by a court, or enter onto any premises in a manner
35consistent with the laws of this state and the United States,
-19-1including Article I, section 8, of the Constitution of the
2State of Iowa, or the fourth amendment to the Constitution of
3the United States.
46. Nothing in this chapter shall be construed or applied
5to affect a statue or rule of which applies to hemp or hemp
6product in the same manner as other articles subject to the
7same general regulation.
8 Sec. 18. CONTINGENT IMPLEMENTATION.
91. Except as provided in subsection 2, the provisions of
10chapter 204, as enacted in this division of this Act, shall
11only be implemented, including administered and enforced,
12by the department of agriculture and land stewardship,
13the department of public safety, and local law enforcement
14agencies, beginning on the publication date of the edition of
15the Iowa administrative bulletin that includes a statement by
16the secretary of agriculture of the department of agriculture
17and land stewardship certifying that the United States
18department of agriculture has approved a state plan as
19described in section 204.3, as enacted in this division of this
20Act. The department shall forward a copy of the statement to
21the Iowa Code editor prior to publication.
222. Section 204.3 and this subsection shall be implemented on
23the effective date of this Act.
24 Sec. 19. EFFECTIVE DATE. This division of this Act, being
25deemed of immediate importance, takes effect upon enactment.
26DIVISION II
27COORDINATING AMENDMENTS
28 Sec. 20. Section 29B.107A, Code 2019, is amended by adding
29the following new subsection:
30 NEW SUBSECTION. 3. Notwithstanding subsection 2,
31“controlled substance” does not include hemp or a hemp product
32excluded from schedule I of controlled substances as provided
33in section 124.204, subsection 7.
34 Sec. 21. Section 80.9, subsection 7, Code 2019, is amended
35to read as follows:
-20- 17. a. The department shall assist persons who are
2responsible for the care of private and public land in
3identifying growing marijuana plants when the plants are
4reported to the department. The department shall also provide
5education to the persons regarding methods of eradicating the
6plants.
7b. Notwithstanding paragraph “a”, the department is not
8required to provide such assistance if the marijuana plants are
9hemp produced in accordance with the provisions of chapter 204.
10c. The department shall adopt rules necessary to carry out
11this subsection.
12 Sec. 22. Section 124.204, subsection 4, paragraphs m and u,
13Code 2019, are amended to read as follows:
14m. Marijuana, except as otherwise provided by rules of the
15board for medicinal purposes in subsection 7.
16u. (1) Tetrahydrocannabinols, except as otherwise
17provided by rules of the board for medicinal purposes,
18meaning tetrahydrocannabinols naturally contained in a plant
19of the genus Cannabis (Cannabis plant) as well as synthetic
20equivalents of the substances contained in the Cannabis plant,
21or in the resinous extractives of such plant, and synthetic
22substances, derivatives, and their isomers with similar
23chemical structure and pharmacological activity to those
24substances contained in the plant, such as the following:
25(1) (a) 1 cis or trans tetrahydrocannabinol, and their
26optical isomers.
27(2) (b) 6 cis or trans tetrahydrocannabinol, and their
28optical isomers.
29(3) (c) 3,4 cis or trans tetrahydrocannabinol, and their
30optical isomers. (Since nomenclature of these substances
31is not internationally standardized, compounds of these
32structures, regardless of numerical designation of atomic
33positions covered.)
34(2) Subparagraph (1) does not include tetrahydrocannabinol
35to the extent excluded in subsection 7.
-21-1 Sec. 23. Section 124.204, subsection 7, Code 2019, is
2amended to read as follows:
37. Exclusions. This section does not apply to marijuana,
4 any of the following:
5a. Marijuana,tetrahydrocannabinols, or chemical
6derivatives of tetrahydrocannabinol, when utilized for
7medicinal purposes pursuant to rules of the board.
8b. (1) Hemp as defined in section 204.2 that is or was
9produced in this state, or was produced in another state, in
10accordance with the provisions of chapter 204 with a maximum
11delta-9 tetrahydrocannabinol concentration that does not exceed
12three-tenths of one percent on a dry weight basis.
13(2) A hemp product as provided in chapter 204 with a maximum
14delta-9 tetrahydrocannabinol concentration that does not exceed
15three-tenths of one percent on a dry weight basis.
16 Sec. 24. Section 124.401, Code 2019, is amended by adding
17the following new subsection:
18 NEW SUBSECTION. 6. Notwithstanding any other provision in
19this section to the contrary, a person may produce, possess,
20use, harvest, handle, manufacture, market, transport, deliver,
21or distribute any of the following:
22a. Hemp that is hemp seed delivered for planting at a
23licensed crop site, or hemp that is or was produced at the
24site, by a person operating under a hemp license issued by the
25department of agriculture and land stewardship in accordance
26with the provisions of chapter 204.
27b. Hemp that was produced in another state in accordance
28with the federal hemp law and other applicable law.
29c. A hemp product as provided in chapter 204.
30 Sec. 25. NEW SECTION. 124.401H Iowa hemp Act — negligent
31violation program.
32Notwithstanding any provision of this chapter to the
33contrary, a person shall not be guilty of an offense under
34this chapter, including under section 124.401 or 124.410,
35for producing, possessing, using, harvesting, handling,
-22-1manufacturing, marketing, transporting, delivering, or
2distributing the plant cannabis, if all of the following apply:
31. The person holds a valid hemp license issued by the
4department of agriculture and land stewardship as provided in
5chapter 204.
62. The plant is or was produced on the licensee’s crop site
7as provided in chapter 204.
83. The offense arises out of a test of a sample of plants
9that are part of a crop produced on the licensee’s crop site
10and the test indicates that the sample does not qualify as hemp
11under section 204.8 and does not exceed maximum concentration
12of two percent delta-9 tetrahydrocannabinol on a dry weight
13basis.
144. The licensee is participating in or has successfully
15completed the negligent violation program that applies to the
16licensee’s crop site described in subsection 3 if such program
17is established by the department of agriculture and land
18stewardship pursuant to section 204.15.
19 Sec. 26. Section 124.410, Code 2019, is amended to read as
20follows:
21124.410 Accommodation offense.
221. In a prosecution for unlawful delivery or possession
23with intent to deliver marijuana, if the prosecution proves
24that the defendant violated the provisions of section 124.401,
25subsection 1, by proving that the defendant delivered or
26possessed with intent to deliver one-half ounce or less of
27marijuana which was not offered for sale, the defendant is
28guilty of an accommodation offense and rather than being
29sentenced as if convicted for a violation of section 124.401,
30subsection 1, paragraph “d”, shall be sentenced as if
31convicted of a violation of section 124.401, subsection 5. An
32accommodation offense may be proved as an included offense
33under a charge of delivering or possessing with the intent to
34deliver marijuana in violation of section 124.401, subsection
351. This section
-23- 12. Subsection 1does not apply to hashish, any of the
2following:
3a. Hashish,hashish oil, or other derivatives of marijuana
4as defined in section 124.101, subsection 20.
5b. Hemp or a hemp product excluded from schedule I
6of controlled substances as provided in section 124.204,
7subsection 7.
8 Sec. 27. Section 124.411, subsection 3, Code 2019, is
9amended to read as follows:
103. This section does not apply to offenses any of the
11following:
12a. An offenseunder section 124.401, subsection 5.
13b. Hemp or a hemp product excluded from schedule I
14of controlled substances as provided in section 124.204,
15subsection 7.
16 Sec. 28. Section 124.506A, subsection 1, Code 2019, is
17amended to read as follows:
181. a. Notwithstanding the provisions of section 124.506, if
19more than ten pounds of marijuana or more than one pound of any
20other controlled substance is seized as a result of a violation
21of this chapter, the law enforcement agency responsible for
22retaining the seized controlled substance may destroy the
23seized controlled substance if the law enforcement agency
24retains at least ten pounds of the marijuana seized or at least
25one pound of any other controlled substance seized for evidence
26purposes.
27b. Paragraph “a” does not apply to hemp or a hemp product
28excluded from schedule I of controlled substances as provided
29in section 124.204, subsection 7.
30 Sec. 29. Section 189.1, subsection 1, Code 2019, is amended
31to read as follows:
321. “Article” means food, commercial feed, agricultural
33seed, commercial fertilizer, drug, pesticide, hemp or a hemp
34product, and paint, in the sense in which they are defined in
35the various provisions of this subtitle.
-24-1 Sec. 30. NEW SECTION. 317.1D Exemption — Iowa hemp Act.
2This chapter does not apply to a plant or any part of the
3plant qualifying as hemp, if the hemp is produced on a crop
4site regulated under chapter 204.
5 Sec. 31. NEW SECTION. 453B.17 Exemption — Iowa hemp Act —
6hemp and hemp products.
7This chapter does not apply to any of the following:
81. Hemp that is hemp seed delivered for planting at a
9licensed crop site, or hemp that is or was produced at the
10site, by a person operating under a hemp license issued by the
11department of agriculture and land stewardship in accordance
12with the provisions of chapter 204.
132. Hemp that was produced in another state in accordance
14with the federal hemp law and other applicable law.
153. A hemp product as provided in chapter 204.
16 Sec. 32. NEW SECTION. 453B.18 Exemption — Iowa hemp Act
17— negligent violation program.
18Notwithstanding any provision of this chapter to the
19contrary, a person shall not be guilty of an offense under this
20chapter for producing or possessing the plant cannabis, if all
21of the following apply:
221. The person holds a valid hemp license issued by the
23department of agriculture and land stewardship as provided in
24chapter 204.
252. The plant is or was produced on the licensee’s crop site
26as provided in chapter 204.
273. The offense arises out of a test of a sample of plants
28that are part of a crop produced on the licensee’s crop
29site and the test indicates that the sample does not qualify
30as hemp under section 204.8 and it does not exceed maximum
31concentration of two percent delta-9 tetrahydrocannabinol on a
32dry weight basis.
334. The licensee is participating in or has successfully
34completed the negligent violation program that applies to the
35licensee’s crop site described in subsection 3 if such program
-25-1is established by the department of agriculture and land
2stewardship pursuant to section 204.15.
3 Sec. 33. CONTINGENT EFFECTIVE DATE. The amendments to
4sections 29B.107A, 80.9, 124.204, 124.401, 124.410, 124.411,
5124.506A, and 189.1, and new sections 124.401H, 317.1D,
6453B.17, and 453B.18, as enacted in this division of this
7Act, shall become effective upon the date of implementation
8of chapter 204 as described in subsection 1 of the section
9providing for the contingent implementation of that chapter, as
10enacted in division I of this Act.
da/rn/mb