BILL ANALYSIS
AB 684
Page 1
ASSEMBLY THIRD READING
AB 684 (Leno)
As Amended March 26, 2007
Majority vote
PUBLIC SAFETY 5-2 APPROPRIATIONS 11-5
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|Ayes:|Solorio, De La Torre, |Ayes:|Leno, Caballero, Davis, |
| |Leno, Ma, Portantino | |DeSaulnier, Huffman, |
| | | |Karnette, Krekorian, |
| | | |Lieu, Ma, Nava, Solorio |
| | | | |
|-----+--------------------------+-----+--------------------------|
|Nays:|Aghazarian, Huff |Nays:|Walters, Emmerson, La |
| | | |Malfa, Nakanishi, Sharon |
| | | |Runner |
| | | | |
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SUMMARY : Clarifies the definition of "marijuana" contained in
the Uniformed Controlled Substance Act (CSA) to exclude
industrial hemp, except where the plant is cultivated or
processed for purposes not expressly allowed, as specified.
Specifically, this bill :
1)Defines "industrial hemp" as an agricultural field crop
limited to the non-psychoactive varieties of the of the plant
Cannabis sativa L., having no more than three-tenths of 1%
tetrahydrocannabinol (THC) contained in the dry flowering tops
and cultivated from seeds originating in California, and
processed exclusively for the purpose of producing the mature
stalks of the plant fiber produced from the stalks, oil or
cake made from the seeds of the plant, or any other compound,
manufacture, salt, derivative, mixture, or preparation of the
mature stalks (except the resin or flowering tops extracted),
fiber, oil, or cake, or the sterilized seed of the plant which
is incapable of germination.
2)Requires industrial hemp shall be cultivated only from seeds
imported in accordance with the laws of the United States or
from seeds grown in California from feral plants, cultivated
plants, or plants grown in a research setting.
3)States all industrial hemp seed sold for planting in
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California shall be from a crop having no more than
three-tenths of 1% of THC contained in a random sampling of
the dried flowering tops and tested, as specified.
4)Mandates a person who grows industrial hemp shall, prior to
the harvest of each crop, obtain a laboratory test report
indicating the THC levels of a random sampling of the dried
flowering tops of the industrial hemp grown.
5)States sampling shall occur as practicable when the THC
content of the leaves surrounding the seeds is at its peak and
shall commence as the seeds being to mature, when the first
seeds of approximately 50% of the plants are resistant to
compression.
6)Provides the entire fruit-bearing part of the plant, including
the seeds, shall be used as a sample. The sample cut shall be
made directly underneath the inflorescence found in the top
one-third of the plant.
7)Requires the laboratory test report be issued by a laboratory
registered with the federal Drug Enforcement Administration
(DEA) state the percentage content of THC, and indicate the
date and location of samples taken.
8)Provides that if the laboratory test report indicates a
percentage content of THC that is equal to or less than
three-tenths of one percent, the words "PASSED AS CALIFORNIA
INDUSTRIAL HEMP" shall appear at or near the top of the
laboratory test report. If the laboratory test report
indicates a percentage content of THC that is greater than
three-tenths of one percent, the words "FAILED AS CALIFORNIA
INDUSTRIAL HEMP" shall appear at or near the top of the
laboratory test report.
9)Provides the person who grows industrial hemp shall retain a
copy of the laboratory test report for two years from its date
of sampling, make the laboratory test report available to law
enforcement officials upon request, and shall provide a copy
of the laboratory test report to each person purchasing,
transporting, or otherwise obtaining the oil, cake, or seed of
the plant.
10)States that notwithstanding the provisions of this bill, a
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person may not engage in the cultivation, production, or
possession of resin, flowering tops, or leaves that have been
removed from the field of cultivation and separated from the
other constituent parts of the industrial hemp plant unless it
is necessary for a grower, agent of a grower, employee or
agent of an employee of a laboratory registered with the
federal DEA to perform the laboratory testing provided by this
bill.
11)States the requirement to destroy industrial hemp because the
laboratory report indicates an unlawful amount of THC shall
not apply to industrial hemp grown in a research setting if
the destruction of the industrial hemp grown will impede the
development of types of industrial hemp that will comply with
the three-tenths of 1% of the THC limit.
12)Finds and declares the following:
a) Industrial hemp is produced in at least 30 nations,
including Canada, Great Britain, France, Germany, Romania,
Australia, and China, and is used by industry to produce
thousands of products including paper, textiles, food,
oils, automotive parts, and personal care products;
b) The United States Court of Appeals for the Ninth Circuit
has ruled in Hemp Industries Association v. Drug
Enforcement Administration , (9th Cir. 2004) 357 F.3d 1012,
that the federal Controlled Substances Act (CSA) of 1970
[21 U.S.C. Sec. 812(b)] explicitly excludes
non-psychoactive hemp from the definition of marijuana and
the Federal Government has declined to appeal that
decision;
c) The Controlled Substances Act of 1970 specifies the
findings to which the government must attest in order to
classify a substance as a Schedule I drug and those
findings include that the substance has a high potential
for abuse, has no accepted medical use, and has a lack of
accepted safety for use, none of which apply to industrial
hemp;
d) According to a study commissioned by the Hemp Industries
Association, sales of industrial hemp products in the
United States have grown steadily since 1990 to more than
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$270 million in 2005, increasing at a rate of approximately
$26 million per year;
e) California manufacturers of hemp products currently
import from around the world tens of thousands of acres'
worth of hemp seed, oil, and fiber products that could be
produced by California farmers at a more competitive price,
and the intermediate processing of hemp seed, oil, and
fiber could create jobs in close proximity to the fields of
cultivation; and,
f) In 1999, the Assembly passed House Resolution 32, which
resolved that "the domestic production of industrial hemp
can help protect California environment, contribute to the
growth of the state economy, and be regulated in a manner
that will not interfere with the enforcement of marijuana
laws."
FISCAL EFFECT : According to the Assembly Appropriations
Committee analysis:
1)No direct state costs. To the extent this bill results in
additional law enforcement efforts, such as increased
investigation and court time to determine whether plants or
materials are industrial hemp or marijuana, there could be
indeterminable state and non-reimbursable local costs. Any
such costs would likely be minor.
2)To the extent this bill results in litigation to challenge
federal preemption issues, there could be indeterminable state
trial court costs.
COMMENTS : According to the author, "This bill clarifies that
California law permits the cultivation of industrial hemp, a
variety of Cannabis that has no psychoactive qualities because
it contains less than three-tens of one percent THC. Marijuana
usually ranges from 3% to 15% THC.
" Industrial Hemp Products Legally Sold in All 50 States :
Current state and federal law exempt industrial hemp stalk,
fiber, oil, and non-viable seed from the definition of
marijuana, and these products are legally imported into the
United States for commercial use. Hemp products are legally
sold in all 50 states. Industrial hemp is grown and processed
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throughout the world for food, body care products, automotive
parts, building materials, paper, clothing, canvas, rope, and
many other commercial uses. Unique to industrial hemp are the
strength of its fibers and the unusually healthy balance of
amino acids in the seed oil. The fiber is among the strongest
natural fibers in the world and it can be used to replace wood
pulp as well as synthetic fibers in numerous applications. The
oil used in foods replaces artery-clogging trans fats with
healthy fats necessary for balanced nutrition.
" A Fast Growing Industry, But Farmers Left Out : According to a
study commissioned by the Hemp Industries Association, the
market for industrial hemp products in the United States was
$270 million in 2005 and has been growing at a rate of $26
million a year. A large portion of those sales are by California
manufacturers of food and personal care products made from hemp
seed and oil. These manufacturers must import industrial hemp
as a raw material that could be grown by California farmers.
Consumers, retailers, manufacturers, and importers are all
benefiting from rapidly expanding hemp product sales. The only
ones not benefiting are California farmers who are in close
proximity to product manufacturing, but are prohibited from
growing an otherwise legal agricultural product that is now
imported in to California from Canada and other countries.
" Significant Agricultural Benefits : However, the agricultural
benefits are not limited the versatility of uses. Industrial
hemp is an excellent rotational crop because it naturally
reduces nematode populations while its dense growth smothers out
weeds. Hemp requires less water and agricultural chemicals than
other crops and has deep roots that leave the soil in excellent
condition for the next crop. These benefits save farmers money.
" Looks Different from Marijuana : The primary reason industrial
hemp has not been grown in the United States since the 1950's is
a perceived similarity to marijuana; however, the plants are
very different. The industrial hemp plant is a stalk similar to
bamboo, has few branches, has been bred for maximum production
of seed, and grows up to 16 feet tall. It is planted in
densities of 100 to 300 plants per square yard. Marijuana is a
tropical variety of cannabis that grows to a height of six feet
tall and has been bred to have many branches to maximize
flowering and minimize seeding. It is planted with wide spaces
of several feet between plants to maximize flowering. From the
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moment seedlings sprout from the ground, a crop of industrial
hemp looks different from marijuana.
" Law Enforcement Provisions Balanced with Farmers' Concerns : AB
684 has been carefully crafted to comply with federal law;
minimize impact to law enforcement; and utilize a smart, largely
self-regulating mechanism without undue burdens on farmers. We
have worked closely with the Farm Bureau to ensure that our
regulatory measures make sense for farmers, while also ensuring
that industrial hemp production will not impact law enforcement
efforts related to illegal growing of marijuana. The bill only
permits cultivation of industrial hemp when grown as an
agricultural field crop or in a research setting. Back yard or
horticultural cultivation is prohibited. Any clandestine grove
of cannabis will be considered marijuana regardless of THC
content.
" Strict Testing and Documentation Requirements : Prior to
harvest, growers must obtain a laboratory test report from a
federal DEA-registered laboratory documenting the THC content of
their crop. Farmers must retain a copy of the this test report
for two years from its date of sampling; make it available to
law enforcement officials upon request; and are required to
provide a copy to each person purchasing, transporting, or
otherwise obtaining the fiber, oil, cake, or seed of the plant.
If you don't pass the test, you can't sell your product.
" Spurious Claims That Marijuana Is Hemp Prevented : The valuable
part of the marijuana plant is the flowering tops. Under the
terms of this bill, all flowering tops of the industrial hemp
plant that are removed from the field of cultivation still are
defined as 'marijuana'. Although hemp flowers have no
psychoactive effects and no legal commercial application, this
control prevents spurious claims that marijuana is hemp in drug
busts. The bright-line definitions and requirements in this
bill ensure that law enforcement will not be negatively
impacted. Our goal is to relieve California farmers of the
over-reaching prohibition on industrial hemp cultivation.
California must assert its right to regulate industrial hemp as
permitted by the United States Constitution, the United States
Congress, and the 2004 9th United States Circuit Court decision
in Hemp Industries Association v DEA . Until we do, our farmers
will be denied access to a profitable and beneficial crop; our
industry will pay a premium to import hemp seed, fiber, and oil;
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and our state will be denied the environmental benefits of a
crop that can provide food, clothing, shelter, and energy."
Please see the policy committee analysis for full discussion of
this bill.
Analysis Prepared by : Kimberly Horiuchi / PUB. S. / (916)
319-3744 FN:
0000293