Legalizing Industrial Hemp

in the States

NCSL Agricultural Task Force Meeting

December 9, 2014

Presented by: Eric Steenstra

President, Vote Hemp

What is Industrial Hemp?

Industrial hemp is the non-psychoactive, low-

THC, oilseed and fiber varieties of the Cannabis

sativa plant. Hemp has no use as a recreational

drug.

Hemp Cultivation is Legal

Under International Law

UN Single Convention Treaty

Article 28: Control of Cannabis

2. This Convention shall not apply to the cultivation of the cannabis plant exclusively for industrial purposes (fibre and seed) or horticultural purposes.

Uses of Hemp:

Thousands of Products

Retail Sales of Hemp in US

Grew to $581 million in 2013

100%

Imported!

President Obama Signs

2014 Farm Bill

Section 7606 of Farm Bill Authorizes

Research & Pilot Programs

Section 7606: Highlights

• Defines industrial hemp as “the plant Cannabis sativa L. and any part of

such plant, whether growing or not, with a delta-9 tetrahydrocannabinol

concentration of not more than 0.3 percent on a dry weight basis

• Applies to states where hemp farming is allowed under state law

• Allows an institution of higher education or a State department of

agriculture to grow or cultivate industrial hemp without a DEA license

• Requires that sites used for growing or cultivating industrial hemp be

certified by, and registered with, the State department of agriculture

Kentucky, Colorado & Vermont

Farmers Grew Hemp in 2014

University of Kentucky & Murray

State University Grew Crops in 2014

David Williams, Agronomist at University of Kentucky

Challenges to Implementation

• Lack of domestic supply of hemp seed

• Section 7606 does not eliminate requirement to apply for DEA license to

import hemp seed

• DEA historically glacially slow in processing requests

• DEA seized and delayed hemp seed shipments bound for KY Dept. of Ag

• KY Dept. of Ag sued DEA and worked out arrangement to import seed on

behalf of research and pilot programs

• DEA attempted to block research by private parties under agreement

with Dept. of Ag but later agreed to allow it

• Farmers received seed late in 2014 but expect to be ready for spring

plantings in 2015 as many already have seed

• Farmers in other states did not have support of Dept. of Ag in importing

• Several additional Universities expected to conduct research including

University of Hawaii (has license) and North Dakota State University

10 States Allowed Hemp Farming

Prior to the Farm Bill of 2014

8 More States Passed Bills Since

Now 18 States Qualify

8 More States Introducing Bills in 2015

Plus New York (awaiting Gov. signature)

Kentucky: Key Political Support

Sen. McConnell will be Majority Leader of the Senate in Jan. 2015

Media coverage of hemp in 2014

2014 Hemp Legislation in Congress

H.R. 525 – Industrial Hemp Farming Act of 2013 in House

• currently has 50 cosponsors including 19 Republicans & 31 Democrats

• Introduced by Rep. Massie (R-KY)

• Defines hemp and allows states to regulate farming

S. 359 – Industrial Hemp Farming Act of 2013 in Senate (companion bill)

• Currently has 5 cosponsors including 2 Republicans and 3 Democrats

• Introduced by Sen. Wyden (D-OR)

• Very similar language to H.R. 525

H.R. 5226 – Charlottes Web Medical Hemp Act of 2014

• Currently has 37 cosponsors

• Introduced by Rep. Perry (R-PA)

• Defines hemp and CBD and allows states to regulate production

• Use of medical in title is unfortunate as we don’t want

FDA to regulate as a drug

A Number of States Are Passing

Hurried CBD Legislation

Cannabidiol Facts

• Non-psychoactive

• Present in small amounts in most cannabis and hemp cultivars

• Astonishing therapeutic potential

• Molecular structure elucidated in 1963

• Little CBD research until discovery of the endocannabinoid system

“Mommy Lobby” is New Powerful

Force Advocating CBD Legislation

Epilepsy Foundation supporting CBD

Realm of Caring is non-profit

representing parents

Sympathetic news stories exploring

CBD use to treat epilepsy

CBD and industrial hemp

• CBD extracted from industrial hemp -- viable but not optimal

• THC, terpene deficits, loss of cannabinoid synergy

• Hemp, a phytoremedial plant, raises risk of toxic contaminants

• Legal grey area

CBD as a nutraceutical • CBD as preventive medicine

• CBD for chronic stress (endocannabinoid signaling

“essential for stress adaptation”)

• Big market opportunity

• CBD for pets

• Sourcing CBD – CBD-rich cannabis, industrial

hemp, synthetic CBD

• Dietary supplement

CBD misconceptions • CBD is medical, THC is recreational

• Psychoactivity is inherently an adverse side effect

• Single molecule pharmaceuticals are superior to

“crude” whole plant medicinals

• CBD is most effective without THC

• “CBD-only” laws adequately serve the patient

population