To amend chapter 265, RSMo, relating to agricultural products, by adding seven new sections relating to the same subject, with penalty provisions.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF MISSOURI, AS FOLLOWS:

     Section A. Chapter 265, RSMo, is amended by adding thereto seven new sections to be known as sections 265.700, 265.703, 265.705, 265.708, 265.712, 265.715 and 265.720, to read as follows:

     265.700. Sections 265.700 to 265.720 of this act may be cited as the "Industrial Hemp Production Act of 1997".

     265.703. The general assembly finds that the development and use of industrial hemp is in the best interests of the state economy and agriculture and that the production of industrial hemp can be regulated so as not to interfere with the strict control of controlled substances in this state. The purpose of sections 265.700 to 265.720 is to promote the economy, agriculture, public safety, health, and welfare by permitting the development of an industrial hemp industry while maintaining strict control of marijuana.

     265.705. As used in sections 265.700 to 265.720 of this act, the following words and phrases shall mean:

     (1) "Director", the director of agriculture;

     (2) "Grower", any person who produces industrial hemp under license;

     (3) "Hemp products and commercial uses", uses which are noninjurious in nature;

     (4) "Industrial hemp", Cannabis Sativa L. growing under license.

     265.708. 1. Growing and maintenance of hemp, Cannabis Sativa L., is permitted only for commercial uses. Commercial uses are such adaptations of hemp for the manufacture of rope, sacks, and other sisal hemp products and such other noninjurious commercial products, including the manufacture of batts, yarn, paper, composite materials, thread, cordage, merchandise, cloth, and such other products as may be made from the fiber or sterilized seed as have been or may be developed.

     2. The director shall license and authorize the growing of industrial hemp when the derivatives thereof are to be used solely for commercial uses.

     265.712. 1. Any person desiring to grow industrial hemp for commercial purposes, as herein defined, shall file an application for a license on a form prescribed therefor with the director, giving a description and the area of land intended to be so used.

     2. The director shall issue a license to the applicant for the growing of such industrial hemp for such commercial uses, and the growing of industrial hemp, pursuant to the terms of the license issued by the director shall be lawful to the extent granted by the license.

     3. Any person to whom a license for commercial growing of industrial hemp, Cannabis Sativa L., is issued shall annually notify the director of the sale or distribution thereof, and the names of the persons to whom such industrial hemp is sold or distributed.

     265.715. A higher education institution may receive, subject to appropriation, up to fifty thousand dollars to conduct research on commercial uses for industrial hemp. Such institution may make grants of up to ten thousand dollars for each research project.

     265.720. Any person violating any of the provisions of sections 265.700 to 265.720 of this act is to be charged as established in chapter 195, RSMo.