84R5841 BEF-D
	By: Farias	H.B. No. 1322

	A BILL TO BE ENTITLED
	AN ACT
	relating to industrial hemp; requiring an occupational license;
	authorizing fees.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Section 61.001(1), Agriculture Code, is amended
	to read as follows:
	(1)  "Agricultural seed" includes the seed of any
	grass, forage, cereal, or fiber crop, any other kind of seed
	commonly recognized in this state as agricultural or field seed,
	and any mixture of those seeds. The term includes the seed of
	industrial hemp, as that term is defined by Section 112.001.
	SECTION 2.  The heading to Subtitle E, Title 5, Agriculture
	Code, is amended to read as follows:
	SUBTITLE E. PRODUCTION, PROCESSING, AND SALE OF FIBER PRODUCTS
	SECTION 3.  Subtitle E, Title 5, Agriculture Code, is
	amended by adding Chapter 112 to read as follows:
	CHAPTER 112.  PRODUCTION OF INDUSTRIAL HEMP
	SUBCHAPTER A.  GENERAL PROVISIONS
	Sec. 112.001.  DEFINITIONS. In this chapter:
	(1)  "Industrial hemp" means a plant or any part of a
	plant, whether growing or not, of the genus Cannabis with a delta-9
	tetrahydrocannabinol concentration of not more than 0.3 percent on
	a dry mass basis that is grown from certified seed.
	(2)  "License" means an industrial hemp producer's
	license issued under this chapter.
	SUBCHAPTER B.  POWERS AND DUTIES OF DEPARTMENT
	Sec. 112.051.  RULES. The department shall adopt rules to
	regulate industrial hemp production in this state, including
	license application procedures.
	Sec. 112.052.  FEES. (a)  The department shall prescribe
	inspection fees and fees for the issuance of a license in amounts
	necessary to cover the costs of administering this chapter.
	(b)  Fees collected under this chapter may be appropriated
	only to the department for the purpose of administering this
	chapter.
	Sec. 112.053.  INSPECTIONS. The department may inspect the
	premises of a license holder and plants grown or cultivated by a
	license holder to determine whether plants grown or cultivated by
	the license holder are industrial hemp.
	SUBCHAPTER C.  INDUSTRIAL HEMP PRODUCER'S LICENSE
	Sec. 112.101.  LICENSE REQUIRED. A person may not grow or
	cultivate industrial hemp in this state unless the person holds a
	license.
	Sec. 112.102.  ISSUANCE OF LICENSE. An applicant for a
	license must apply to the department and pay the required fee.
	Sec. 112.103.  LICENSE TERM. A license is valid for one
	year.
	SUBCHAPTER D.  ENFORCEMENT
	Sec. 112.151.  REVOCATION. The department shall revoke a
	license if the department finds that the license holder is growing
	or cultivating marihuana.
	Sec. 112.152.  GROWTH OR CULTIVATION WITHOUT LICENSE. The
	exception provided by Section 481.002(26)(F), Health and Safety
	Code, does not apply to a person who grows or cultivates industrial
	hemp without holding a license.
	SECTION 4.  Section 481.002(26), Health and Safety Code, is
	amended to read as follows:
	(26)  "Marihuana" means the plant Cannabis sativa L.,
	whether growing or not, the seeds of that plant, and every compound,
	manufacture, salt, derivative, mixture, or preparation of that
	plant or its seeds. The term does not include:
	(A)  the resin extracted from a part of the plant
	or a compound, manufacture, salt, derivative, mixture, or
	preparation of the resin;
	(B)  the mature stalks of the plant or fiber
	produced from the stalks;
	(C)  oil or cake made from the seeds of the plant;
	(D)  a compound, manufacture, salt, derivative,
	mixture, or preparation of the mature stalks, fiber, oil, or cake;
	[or]
	(E)  the sterilized seeds of the plant that are
	incapable of beginning germination; or
	(F)  except as provided by Section 112.152,
	Agriculture Code, industrial hemp, as that term is defined by
	Section 112.001, Agriculture Code.
	SECTION 5.  Not later than January 1, 2016, the Department of
	Agriculture shall adopt rules necessary to implement Chapter 112,
	Agriculture Code, as added by this Act.
	SECTION 6.  This Act takes effect September 1, 2015.