Seventh Substitute H.B. 105
This document includes House Floor Amendments incorporated into the bill on Mon, Mar 3, 2014 at 4:48 PM by jeyring. --> This document includes Senate Committee Amendments incorporated into the bill on Thu, Mar 6, 2014 at 1:52 PM by lpoole. -->
7 LONG TITLE
8 General Description:
9 This bill makes amendments to the Utah Code related to hemp.
10 Highlighted Provisions:
11 This bill:
12 . permits the Department of Agriculture and a department-certified higher education
13 institution to grow industrial hemp for the purpose of agricultural or academic
15 . exempts an individual with intractable epilepsy who uses or possesses hemp extract,
16 and complies with other requirements, from the penalties related to possession or
17 use of the hemp extract under the Controlled Substances Act;
18 . exempts an individual who possesses hemp extract and administers the hemp
19 extract to a minor with intractable epilepsy from the penalties related to
20 administering the hemp extract to a minor under the Controlled Substances Act;
21 . requires the Department of Health to issue a hemp extract registration card to an
22 individual who meets certain requirements;
23 . requires a neurologist signing a statement that an individual or minor could benefit
24 from treatment with hemp extract to keep a record of the neurologist's evaluation
25 and transmit the record to the Department of Health;
26 . requires the Department of Health to maintain a database of neurologist evaluations;
27 H. [
27a . repeals certain provisions on July 1, 2016; and .H
28 . makes technical and conforming amendments.
29 Money Appropriated in this Bill:
31 Other Special Clauses:
32 This bill takes effect on July 1, 2014.
33 Utah Code Sections Affected:
33a H. AMENDS:
33b 63I-1-226, as last amended by Laws of Utah 2013, Chapters 32, 60, and 195
33c 63I-1-258, as last amended by Laws of Utah 2013, Chapters 55, 87, 222, 278, and 351 .H
35 4-41-101 , Utah Code Annotated 1953
36 4-41-102 , Utah Code Annotated 1953
37 4-41-103 , Utah Code Annotated 1953
38 26-55-101 , Utah Code Annotated 1953
39 26-55-102 , Utah Code Annotated 1953
40 26-55-103 , Utah Code Annotated 1953
41 58-37-4.3 , Utah Code Annotated 1953
43 Be it enacted by the Legislature of the state of Utah:
44 Section 1. Section 4-41-101 is enacted to read:
46 4-41-101. Title.
47 This chapter is known as the "Industrial Hemp Research Act."
48 Section 2. Section 4-41-102 is enacted to read:
49 4-41-102. Definitions.
50 For purposes of this chapter:
51 (1) "Industrial hemp" means any part of a cannabis plant, whether growing or not, with
52 a concentration of less than 0.3% tetrahydrocannabinol by weight.
53 (2) "Industrial hemp certificate" means a certificate issued by the department to a
54 higher education institution to grow or cultivate industrial hemp under Subsection 4-41-103 (1).
55 Section 3. Section 4-41-103 is enacted to read:
56 4-41-103. Industrial hemp -- Agricultural and academic research.
57 (1) The department may grow or cultivate industrial hemp for the purpose of
58 agricultural or academic research.
59 (2) The department shall certify a higher education institution to grow or cultivate
60 industrial hemp for the purpose of agricultural or academic research if the higher education
61 institution submits to the department:
62 (a) the location where the higher education institution intends to grow or cultivate
63 industrial hemp;
64 (b) the higher education institution's research plan; and
65 (c) the name of an employee of the higher education institution who will supervise the
66 industrial hemp growth, cultivation, and research.
67 (3) The department shall maintain a list of each industrial hemp certificate holder.
68 (4) The department shall make rules in accordance with Title 63G, Chapter 3, Utah
69 Administrative Rulemaking Act, to ensure any industrial hemp project meets the standards of
70 an agricultural pilot project, as defined by Section 7606 of the U.S. Agricultural Act of 2014.
71 Section 4. Section 26-55-101 is enacted to read:
73 26-55-101. Title.
74 This chapter is known as the "Hemp Extract Registration Act."
75 Section 5. Section 26-55-102 is enacted to read:
76 26-55-102. Definitions.
77 As used in this chapter:
78 (1) "Hemp extract" is as defined in Section 58-37-4.3 .
79 (2) "Hemp extract registration card" means a card issued by the department under
80 Subsection 26-55-103 (1) or (2).
81 (3) "Intractable epilepsy" means epilepsy that, as determined by a neurologist, does not
82 respond to three or more treatment options overseen by the neurologist.
83 (4) "Neurologist" means an individual who is licensed under Title 58, Chapter 67, Utah
84 Medical Practice Act, or Title 58, Chapter 68, Utah Osteopathic Medical Practice Act, that is
85 board certified in neurology.
86 (5) "Parent" means a parent or legal guardian of a minor who is responsible for the
87 minor's medical care.
88 (6) "Registrant" means an individual to whom the department issues a hemp extract
89 registration card under Subsection 26-55-103 (1) or (2).
90 Section 6. Section 26-55-103 is enacted to read:
91 26-55-103. Hemp extract registration card.
92 (1) The department shall issue a hemp extract registration card to an individual who:
93 (a) is at least 18 years of age;
94 (b) is a Utah resident;
95 (c) provides the department with a statement signed by a neurologist that indicates that
96 the individual:
97 (i) suffers from intractable epilepsy; and
98 (ii) may benefit from treatment with hemp extract;
99 (d) pays the department a fee in an amount established by the department under
100 Subsection (5); and
101 (e) submits an application to the department, on a form created by the department, that
103 (i) the individual's name and address;
104 (ii) a copy of the individual's valid photo identification; and
105 (iii) any other information the department considers necessary to implement this
107 (2) The department shall issue a hemp extract registration card to a parent who:
108 (a) is at least 18 years of age;
109 (b) is a Utah resident;
110 (c) provides the department with a statement signed by a neurologist that indicates that
111 a minor in the parent's care:
112 (i) suffers from intractable epilepsy; and
113 (ii) may benefit from treatment with hemp extract;
114 (d) pays the department a fee in an amount established by the department under
115 Subsection (5); and
116 (e) submits an application to the department, on a form created by the department, that
118 (i) the parent's name and address;
119 (ii) the minor's name;
120 (iii) a copy of the parent's valid photo identification; and
121 (iv) any other information the department considers necessary to implement this
123 (3) The department shall maintain a record of:
124 (a) the name of each registrant; and
125 (b) the name of each minor receiving care from a registrant.
126 (4) The department shall make rules in accordance with Title 63G, Chapter 3, Utah
127 Administrative Rulemaking Act, to S. :
127a (a) .S establish the information an applicant is required to provide
128 to the department under Subsections (1)(e)(iii) and (2)(e)(iv) S. [
128a (b) designate the laboratory accreditation standard described in Subsection
128b 58-37-4.3(2)(c)(iii). .S
129 (5) The department shall establish fees in accordance with Section 63J-1-504 that are
130 no greater than the amount necessary to cover the cost the department incurs to implement this
132 (6) The registration cards issued under Subsections (1) and (2) are:
133 (a) valid for one year; and
134 (b) renewable, if, at the time of renewal, the registrant meets the requirements of either
135 Subsection (1) or (2).
136 (7) The neurologist who signs the statement described in Subsections (1)(c) or (2)(c)
138 (a) keep a record of the neurologist's evaluation and observation of a patient who is a
139 registrant or minor under a registrant's care, including the patient's response to hemp extract;
141 (b) transmit the record described in Subsection (7)(a) to the department.
142 (8) The department shall:
143 (a) maintain a database of the records described in Subsection (7); and
144 (b) treat the records as identifiable health data, as defined in Section 26-3-1 .
145 (9) The department may share the records described in Subsection (8) with a higher
146 education institution for the purpose of studying hemp extract.
147 Section 7. Section 58-37-4.3 is enacted to read:
148 58-37-4.3. Exemption for use or possession of hemp extract.
149 (1) As used in this section, "hemp extract" means an extract from a cannabis plant, or a
150 mixture or preparation containing cannabis plant material, that:
151 (a) is composed of less than 0.3% tetrahydrocannabinol by weight;
152 (b) is composed of at least 15% cannabidiol by weight; and
153 (c) contains no other psychoactive substance.
154 (2) Notwithstanding any other provision of this chapter, an individual who possesses or
155 uses hemp extract is not subject to the penalties described in this chapter for possession or use
156 of the hemp extract if the individual:
157 (a) possesses or uses the hemp extract only to treat intractable epilepsy, as defined in
158 Section 26-55-102 ;
159 (b) originally obtained the hemp extract from a sealed container with a label indicating
160 the hemp extract's place of origin, and a number that corresponds with a certificate of analysis;
161 (c) possesses, in close proximity to the hemp extract, a certificate of analysis that:
162 (i) has a number that corresponds with the number on the label described in Subsection
164 (ii) indicates the hemp extract's ingredients, including its percentages of
165 tetrahydrocannabinol and cannabidiol by weight;
166 (iii) is created by a laboratory that S. [
166a designated .S by the Department of Health; and
167 (iv) is transmitted by the laboratory to the Department of Health; and
168 (d) has a current hemp extract registration card issued by the Department of Health
169 under Section 26-55-103 .
170 (3) Notwithstanding any other provision of this chapter, an individual who possesses
171 hemp extract lawfully under Subsection (2) and administers hemp extract to a minor is not
172 subject to the penalties described in this chapter for administering the hemp extract to the
173 minor if:
174 (a) the individual is the minor's parent or legal guardian; and
175 (b) the individual is registered with the Department of Health as the minor's parent
176 under Section 26-55-103 .
176a H. Section 8. Section 63I-1-226 is amended to read:
176b 63I-1-226. Repeal dates, Title 26.
176c (1) Title 26, Chapter 9f, Utah Digital Health Service Commission Act, is repealed
176d July 1, 2015.
176e (2) Section 26-10-11 is repealed July 1, 2015.
176f (3) Section 26-18-12, Expansion of 340B drug pricing programs, is repealed
176g July 1, 2013.
176h (4) Section 26-21-23, Licensing of non-Medicaid nursing care facility beds, is repealed
176i July 1, 2018.
176j (5) Section 26-21-211 is repealed July 1, 2013.
176k (6) Title 26, Chapter 33a, Utah Health Data Authority Act, is repealed July 1, 2014.
176l (7) Title 26, Chapter 36a, Hospital Provider Assessment Act, is repealed July 1, 2016.
176m (8) Section 26-38-2.5 is repealed July 1, 2017.
176n (9) Section 26-38-2.6 is repealed July 1, 2017.
176o (10) Title 26, Chapter 55, Hemp Extract Registration Act, is repealed July 1, 2016.
176p Section 9. Section 63I-1-258 is amended to read:
176q 63I-1-258. Repeal dates, Title 58.
176r (1) Title 58, Chapter 13, Health Care Providers Immunity from Liability Act, is
176s repealed July 1, 2016.
176t (2) Title 58, Chapter 15, Health Facility Administrator Act, is repealed July 1, 2015.
176u (3) Section 58-17b-309.5 is repealed July 1, 2015.
176v (4) Title 58, Chapter 20a, Environmental Health Scientist Act, is repealed July 1, 2018.
176w (5) Section 58-37-4.3 is repealed July 1, 2016.
176y July 1, 2023.
176aa Act, is repealed July 1, 2019.
176ac July 1, 2015.
176ae repealed July 1, 2023.
176ag July 1, 2014.
176aj July 1, 2017. .H
177 Section H. [
178 This bill takes effect on July 1, 2014.
Legislative Review Note
as of 3-3-14 12:38 PM
The Utah Legislature's Joint Rule 4-2-402 requires legislative general counsel to place a
legislative review note on legislation. The Legislative Management Committee has further
directed legislative general counsel to include legal analysis in the legislative review note only
if legislative general counsel determines there is a high probability that a court would declare
the legislation to be unconstitutional under the Utah Constitution, the United States
Constitution, or both. As explained in the legal analysis below, legislative general counsel has
determined, based on applicable state and federal constitutional language and current
interpretations of that language in state and federal court case law, that this legislation has a
high probability of being declared unconstitutional by a court.
This bill: (1) defines hemp extract as an extract of the cannabis plant or a mixture
containing cannabis plant material that contains less than 0.3% tetrahydrocannabinol by weight
and contains no other psychoactive substance; (2) gives the Utah Department of Health the
authority to issue registration cards to individuals who, based on a statement from a physician,
could benefit from treatment by hemp extract or to individuals caring for a minor who, based
on a statement from a physician, could benefit from treatment by hemp extract; (3) allows a
registered individual to use or possess hemp extract; and (4) allows a registered individual to
administer hemp extract to a minor.
The federal Controlled Substances Act defines "marihuana" as "all parts of the plant
Cannabis sativa L., whether growing or not," and only exempts a compound or other mixture
made from the "mature stalks" or sterilized seeds of the plant. 21 U.S.C. § 802(16) (2014).
The act lists marihuana as a controlled substance and makes it illegal to possess a controlled
substance without a prescription, or to possess a controlled substance with intent to distribute
the substance. Id. at §§ 841, 844.
Under the Supremacy Clause in the U.S. Constitution, the U.S. Supreme Court has
"long recognized that state laws that conflict with federal law are without effect." Altira Group
v. Good, 555 U.S. 70 (2008). Federal law limits preemption under the federal Controlled
Substances Act to those cases where a "positive conflict" exists between the Act and a state
law, such that it is impossible for a party to comply with both state and federal requirements.
See 21 U.S.C. § 903; Sprietsma v. Mercury Marine, 537 U.S. 51, 64 (2002).
Under the definition used in this bill, substances that meet the bill's definition of hemp
extract need not be made exclusively from the mature stalks or sterilized seeds of the cannabis
plant, and therefore are likely to be considered "marihuana" under the federal Controlled
Substances Act. Any substance that meets the federal Controlled Substances Act's definition of
marihuana will trigger the possession and distribution prohibitions contained in the Act. An
individual possessing or using hemp extract or administering hemp extract to a minor likely
could not comply with the provisions of this bill without also violating federal law, creating a
positive conflict with the bill and federal law. That positive conflict results in a high
probability that a court will hold that the bill is preempted by federal law and unconstitutional
under the Supremacy Clause.