(b) The department may identify by rule activities related to growing or handling hemp in addition to those described in ORS 571.269 and may require licensure to engage in those activities. The department may issue, renew, suspend, revoke or refuse to issue or renew a license required pursuant to this subsection.
(2)(a) Only a grower or handler licensed under this section may produce agricultural hemp seed. For a grower or handler to produce agricultural hemp seed, the grower or handler must be licensed by the department as an agricultural hemp seed producer.
(b) Notwithstanding paragraph (a) of this subsection:
(A) A grower licensed under this section that retains agricultural hemp seed for the purpose of personally propagating industrial hemp in a subsequent year is not required to be licensed by the department as an agricultural hemp seed producer; and
(B) A grower or handler licensed under this section that produces Cannabis seeds that are incapable of germination, or a handler licensed under this section that processes Cannabis seeds that are incapable of germination into commodities or products, is not required to be licensed by the department as an agricultural hemp seed producer.
(3) An applicant for a license under this section must submit to the department, in a form and manner prescribed by the department, the following information:
(a) The name and address of the applicant;
(b) The name and address of the industrial hemp operation of the applicant; and
(c) Any other information required by the department by rule.
(4) The department shall adopt rules specifying the period of time for which a license issued under this section is valid. A licensee may renew a license under this section in a form and manner prescribed by the department.
(5) A license under this section is a personal privilege and is not transferable.
(6) A grower or handler licensed under this section must keep records as required by the department by rule. Upon not less than three days’ notice, the department may subject the records to inspection or audit during normal business hours. The department may make an inspection or audit for the purpose of ensuring compliance with:
(a) A provision of ORS 571.260 to 571.348;
(b) A rule adopted under a provision of ORS 571.260 to 571.348; or
(c) An order issued by the department pursuant to a provision of ORS 571.260 to 571.348 or a rule adopted under a provision of ORS 571.260 to 571.348.
(7) In addition to any inspection conducted pursuant to ORS 561.275, the department may inspect any crop during the crop’s growth phase and take a representative composite sample for field analysis. If a crop contains an average tetrahydrocannabinol concentration exceeding the concentration specified by the department by rule, the department may detain, seize or embargo the crop as provided under ORS 561.605 to 561.620, subject to any process established under ORS 571.345.
(8)(a) The department may charge licensees the following fees in amounts reasonably calculated by the department to pay the cost of administering ORS 571.260 to 571.348:
(A) Application fees;
(B) License and license renewal fees;
(C) Administrative change fees; and
(D) Fees for other services.
(b) Moneys from fees charged under this subsection shall be deposited in the Industrial Hemp Fund established under ORS 571.278.
(9) The department may adopt rules establishing public health and safety standards and industry best practices for growers and handlers licensed under this section. [Formerly 571.305; 2021 c.542 §23]
Note: See note under 571.260.
Note: Sections 42 to 45, chapter 542, Oregon Laws 2021, provide:
Sec. 42. (1) The State Department of Agriculture may enter into an interagency agreement with the Oregon Liquor and Cannabis Commission to allow representatives of the commission to carry out inspections of industrial hemp crops under ORS 571.281 (7).
(2) The department and the commission may adopt rules to carry out this section. [2021 c.542 §42]
Sec. 43. (1) Pursuant to rules adopted by the State Department of Agriculture under subsection (2) of this section:
(a) Law enforcement officers may accompany the department to an industrial hemp operation for the purposes of providing protection for the department’s representatives; and
(b) Public employees and officials who are responsible for the enforcement of state and local laws may accompany the department to an industrial hemp operation in order to carry out inspections that the public employees or officials are authorized to perform.
(2) The department shall adopt rules to carry out this section. [2021 c.542 §43]
Sec. 44. The Governor may order that the Oregon National Guard provide assistance and support to the State Department of Agriculture and law enforcement in carrying out inspections of industrial hemp crops under ORS 571.281 (7) and other duties of the department related to the enforcement of ORS 571.260 to 571.348. [2021 c.542 §44]
Sec. 45. Sections 40 to 44 of this 2021 Act are repealed on January 1, 2024. [2021 c.542 §45]