LRB-4164/1
RCT:nwn:jf
2009 - 2010 LEGISLATURE
February 11, 2010 - Introduced by Representatives Molepske Jr., Garthwaite,
Vruwink, M. Williams
and Berceau, cosponsored by Senator Taylor. Referred
to Committee on Agriculture.
AB740,1,4 1An Act to renumber and amend 961.55 (8); and to create 20.115 (7) (gc), 94.55,
2961.32 (3) and 961.55 (8) (b) of the statutes; relating to: growing and
3processing industrial hemp, granting rule-making authority, and making an
4appropriation.
Analysis by the Legislative Reference Bureau
Current law places various restrictions on the possession, manufacture, and
delivery of controlled substances. One such controlled substance is
tetrahydrocannabinol (THC), including THC contained in or obtained from
marijuana. The controlled substances law defines marijuana as all parts of plants
of the genus Cannabis, whether growing or not, and most derivatives or preparations
of the plants (though it does not include, for instance, fiber produced from the stalks
or oil made from the seeds of the plants). THC is currently placed in the most
restrictive category of controlled substances: it may not be prescribed for medical use
and may be manufactured and possessed only for particular purposes (such as
research) under special permits.
This bill requires the Department of Agriculture, Trade and Consumer
Protection (DATCP) to issue licenses that authorize the growing and processing of
industrial hemp. Industrial hemp is defined as the plant Cannabis sativa with no
more than 0.3 percent THC. The bill requires an applicant for a license to provide
a legal description of the land on which industrial hemp will be grown or processed
and to pay a fee for the license. It also requires DATCP to obtain a criminal history
search from the Wisconsin Department of Justice for each applicant and prohibits

DATCP from issuing a license to a person if the criminal history search shows the
person has been convicted of violating the controlled substances law. The bill
requires reporting by a person with an industrial hemp license, including reporting
all sales of industrial hemp. The bill also requires DATCP to promulgate rules for
the administration of the licensing law.
This bill creates an exemption from the controlled substances law for growing
or processing industrial hemp in conformity with a license issued by DATCP.
Growing and possessing the plant Cannabis is also prohibited by federal law,
except with a permit issued by the federal Drug Enforcement Administration. This
bill does not change federal law.
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB740, s. 1 1Section 1. 20.115 (7) (gc) of the statutes is created to read:
AB740,2,32 20.115 (7) (gc) Industrial hemp. All moneys received under s. 94.55 for
3regulation of growing and processing industrial hemp under s. 94.55.
AB740, s. 2 4Section 2. 94.55 of the statutes is created to read:
AB740,2,7 594.55 Industrial hemp. (1) Definition. In this section, "industrial hemp"
6means the plant Cannabis sativa having no more than 0.3 percent
7tetrahydrocannabinol.
AB740,2,10 8(2) Licensing. (a) The department shall issue licenses that authorize growing,
9processing, and, in conjunction with growing or processing, selling industrial hemp
10for commercial purposes or research.
AB740,2,1511 (b) A person applying for a license under this subsection shall provide the name
12and address of the applicant and the legal description of the land on which industrial
13hemp will be grown or processed and shall pay a fee equal to $150 or, if the person
14will grow industrial hemp, the greater of $150 or $5 times the number of acres on
15which the person will grow industrial hemp.
AB740,3,3
1(c) 1. The department shall obtain a criminal history search from the records
2maintained by the department of justice for each person applying for initial licensure
3under this subsection.
AB740,3,54 2. The department may not issue a license if the person has ever been convicted
5of a violation of ch. 961 as indicated in the information obtained under subd. 1.
AB740,3,76 3. Information obtained by the department under subd. 1. is confidential and
7may be used only to determine eligibility for licensure.
AB740,3,88 (d) A license issued under this subsection is valid for one year.
AB740,3,10 9(3) Documentation and reporting requirements. (a) A licensee under sub. (2)
10who grows industrial hemp shall provide all of the following to the department:
AB740,3,1211 1. Documentation showing that the seeds planted were of a variety certified to
12have no more than 0.3 percent tetrahydrocannabinol.
AB740,3,1313 2. A copy of any contract under which the licensee grows industrial hemp.
AB740,3,1614 (b) A licensee under sub. (2) shall report to the department the name and
15address of each person to whom the licensee sells industrial hemp and the amount
16of industrial hemp sold to each person.
AB740,3,19 17(4) Authority to import and sell seed. A person licensed under sub. (2) may
18bring into this state and resell seed of varieties of industrial hemp that are certified
19to have no more than 0.3 percent tetrahydrocannabinol.
AB740,3,21 20(5) Rules. The department shall promulgate rules for the administration of
21this section including rules concerning all of the following:
AB740,3,2222 (a) Certifying industrial hemp seeds.
AB740,3,2323 (b) Testing plants during growth for tetrahydrocannabinol levels.
AB740,3,2424 (c) Supervising the growing, harvesting, and processing of industrial hemp.
AB740, s. 3 25Section 3. 961.32 (3) of the statutes is created to read:
AB740,4,2
1961.32 (3) (a) In this subsection, "industrial hemp" has the meaning given in
2s. 94.55 (1).
AB740,4,83 (b) A person licensed by the department of agriculture, trade and consumer
4protection under s. 94.55 (2), and an agent or employee of the person acting in the
5usual course of the agent's or employee's business or employment, may plant,
6cultivate, grow, harvest, process, possess, and deliver industrial hemp in this state
7to the extent authorized by the person's license and in conformity with s. 94.55 and
8the rules promulgated under that section.
AB740, s. 4 9Section 4. 961.55 (8) of the statutes is renumbered 961.55 (8) (intro.) and
10amended to read:
AB740,4,1511 961.55 (8) (intro.) The failure, upon demand by any officer or employee
12designated in s. 961.51 (1) or (2), of the person in occupancy or in control of land or
13premises upon which the species of plants are growing or being stored, to produce an
14one of the following constitutes authority for the seizure and forfeiture of the plants
15described in sub. (7):
AB740,4,17 16(a) An appropriate federal registration, or proof that the person is the holder
17thereof, constitutes authority for the seizure and forfeiture of the plants.
AB740, s. 5 18Section 5. 961.55 (8) (b) of the statutes is created to read:
AB740,4,1919 961.55 (8) (b) Evidence of licensure under s. 94.55.
AB740,4,2020 (End)
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