Senator Kimbrell proposes the following amendment (SJ-3924.MB0043S):

Amend the bill, as and if amended, SECTION 2, by striking Section 46-55-5 and inserting:

 Section 46-55-5. (A) The purpose of this chapter is to regulate the sale and distribution of hemp products. It is the intent of the General Assembly that the manufacture, sale, and distribution of hemp-cannabinoid products are strictly prohibited unless specifically provided for in this chapter and Chapter 56 of Title 45 and Chapters 2, 4, 6, and 14 of Title 61, and synthetic cannabiscannabinoid products are strictly prohibited and a violation should be treated as marijuana under Chapter 53, Title 44.
 (B) It is unlawful for any person to manufacture, possess with intent to sell, distribute, or offer for sale any synthetic cannabinoid product within South Carolina, or to cause such products into this State for sale or distribution.
 (C) It is unlawful for any person to offer for sale or distribution within this State any hemp-derived consumable product containing synthetic cannabinoid as defined in Section 46-55-10.
 (D) The department shall develop and publish a list of approved cannabinoids and prohibited synthetic cannabinoids. Any cannabinoid not explicitly approved may only be distributed in the State after the department has issued written approval based on laboratory analysis and chemical verification.
 (E) Violations of this section must be punished in the same manner as violation involving THC pursuant to Sections 44-53-190 and 44-53-370.
 (F) The division shall enforce the provisions of this section in coordination with the department.

Amend the bill further, SECTION 3, by striking Section 46-55-10(13)(a), (b), (aa), (bb), (aa), and (bb) and inserting:

 (8)(13)(a) "Hemp" or "industrial hemp" means the plant Cannabis sativa L. and any part of that plant, including the nonsterilized seeds thereof and all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of isomers, whether growing or not, with the federally defined THC level for hempa total delta-9 THC concentration of not more than 0.3 percent on a dry weight basis consistent with the federal Agriculture Improvement Act of 2018. . Hemp shall be considered an agricultural commodity.
  (b) "Hemp" does not include:
   (i) any viable seeds from a Cannabis sativa L. plant that exceeds a total THC concentration of 0.3 percent in the plant on a dry weight basis; or
   (ii) any intermediate hemp-derived cannabinoid products containing:
    (I) cannabinoids that are not capable of being naturally produced by a Cannabis sativa L. plant;
    (II) cannabinoids that:
     (aa) are capable of being naturally produced by a Cannabis sativa L. plant; and
     (bb) were synthesized or manufactured outside the plant; or
    (III) more than 0.3 percent combined total of:
     (aa) total tetrahydrocannabinols (including tetrahydrocannabinolic acid); and
     (bb) any other cannabinoids that have similar effects (or are marketed to have similar effects) on humans or animals as a tetrahydrocannabinol (as determined by the Secretary of Health and Human Services); or
   (iii) any intermediate hemp-derived cannabinoid products which are marketed or sold as a final product or directly to an end consumer for personal or household use; or
   (iv) any final hemp-derived cannabinoid products containing:
    (I) cannabinoids that are not capable of being naturally produced by a Cannabis sativa L. plant;
    (II) cannabinoids that:
     (aa) are capable of being naturally produced by a Cannabis sativa L. plant; and
     (bb) were synthesized or manufactured outside the plant; or
    (III) greater than 0.4 milligrams combined total per container of:
     (aa) total tetrahydrocannabinols (including tetrahydrocannabinolic acid); and
     (bb) any other cannabinoids that have similar effects (or are marketed to have similar effects) on humans or animals as a tetrahydrocannabinol (as determined by the Secretary of Health and Human Services
 (14) "Hemp-derived cannabinoid" means any phytocannabinoid found in or derived from hemp, including but not limited to delta-9 THC, tetrahydrocannabinolic acid (THCA), cannabidiol (CBD), cannabidiolic acid (CBDA), cannabinol (CBN), cannabigerol (CBG), cannabichromene (CBC), cannabicyclol (CBL), cannabivarin (CBV), tetrahydrocannabivarin (THCV), cannabidivarin (CBDV), cannabicitran (CBT), delta-7 THC, delta-8 THC, delta-10 THC, hexahydrocannabinol (HHC), or tetrahydrocannabiphorol (THCp). This definition excludes synthetic cannabinoids not derived from hemp.

Amend the bill further, SECTION 3, by striking Section 46-55-10(14), (15), (16), (17), (18), (19), (20), and (21) and inserting:

 (14) "Hemp product" means all products containing cannabidiol with a total delta-9 THC concentration of not more than 0.3 percent on a dry weight basis derived from, or made by, processing hemp plants or hemp plant parts, that are prepared in a form available for commercial sale including, but not limited to, cosmetics, personal care products, food intended for human and animal consumption, cloth, cordage, fiber, fuel, paint, paper, particleboard, plastics, and any product containing one or more hemp-derived cannabinoids such as, but not limited to: CBD, CBG, CBC, or CBN provided the product does not cause a psychoactive reaction. Unprocessed or raw plant material, including nonsterilized hemp seeds, is not considered a hemp product.
 (9)(15) "Hemp-cannabinoid products" only means all products with the federally defined THC level for hemp derived from, or made by, processing hemp plants or hemp plant parts, that are prepared in a form available for commercial sale, including, but not limited to, cosmetics, personal care products, food intended for animal or human consumption, cloth, cordage, fiber, fuel, paint, paper, particleboard, plastics, and any product containing one or more hemp-derived cannabinoids, such as cannabidiol. Unprocessed or raw plant material, including nonsterilized hemp seeds, is not considered a hemp product permitted under Title 61 for human consumption.
 (15) "Hemp-derived consumable product means a finished product derived from hemp that is intended for human ingestion, containing one or more hemp-derived cannabinoids, including naturally derived delta-9 THC, with a total THC concentration of not more than 0.3 percent on a dry weight basis.
  (a) Hemp-derived consumable products must be in the following form:
   (i) edibles;
   (ii) gummies;
   (iii) capsules; or
   (iv) oils for ingestion.
  (b) This definition excludes topical products, seeds, or seed-derived ingredients generally recognized as safe (GRAS) by the U.S. Food and Drug Administration, industrial hemp products, not intended for consumption, and any product classified as marijuana under federal law or Section 44-53-110.
 (16) "Independent testing laboratory" means a laboratory that:
  (a) is accredited under ISO/IEC 17025:2017 standards;
  (b) has no financial interest in any manufacturer, distributor, or retailer being tested;
  (c) is capable of testing for cannabinoids using a high-performance liquid chromatography (HPLC) or a validated equivalent method; and
  (d) can test for contaminants including heavy metals, pesticides, mycotoxins, solvents, and microbials.
 (17) "Ingestible product" means hemp-derived consumable product intended for consumption through the mouth by swallowing in the gastrointestinal system.
 (10)(16)(18) "Licensee" means an individual or business entity possessing a license issued by the department under the authority of this chapter to cultivate, handle, or process hemp.
 (19) "Manufacturer" means any person or entity that engages in:
  (a) extraction and refinement of cannabinoids from hemp plant material;
  (b) conversion of cannabinoid precursor compounds;
  (c) compounding, blending, extracting, infusing, cooking, or formulating hemp-derived consumable products; or
  (d) packaging, repackaging, labeling, ore relabeling of hemp-derived consumable products.
 (11)(17)(20) "Marijuana" has the same meaning as in Section 44-53-110 and does not include tetrahydrocannabinol in hemp or hemp products as defined herein.
 (21) "Non-liquid ingestible product" means any hemp-derived consumable product intended for ingestion that is not a liquid including, but not limited to, gummies, edible, capsules, and tablets.
 (12)(18)(22) "Processing" means converting an agricultural commodity into a marketable form.
 (23) "Proof of age" means a valid government-issued photographic identification document including, but not limited to, a driver's license, passport, military identification car, or other state-issued identification card that confirms the holder is at least twenty-one years of age.
  (19) (24) "Psychoactive reaction" means an altered state of the brain that has significant effects on a person's psychological processes, consciousness, thinking, physical ability, perception, or emotion.
 (25) "Retailer" means any person or entity that sells hemp-derived consumable products directly to consumers for personal use, including through physical locations, online sales, or mail-order sales.
 (13)(20)(26) "State plan" means the plan submitted by the department and approved by the Secretary of the United States Department of Agriculture pursuant to which the department regulates hemp production.
 (27) "Synthetic cannabinoid" means any cannabinoid compound that:
  (a) is created, produced, or synthesized through chemical synthesis, chemical modification, or isomerization that does not occur naturally in the Cannabis sativa L. plant in appreciable quantities;
  (b) includes but is not limited to:
   (i) fully synthetic cannabinoids manufactured entirely through chemical synthesis, including, but not limited to, HU-210, JWH-018, JWH-073, XLR-11, or other synthetic cannabinoid receptor agonists;
   (ii) structural isomers of tetrahydrocannabinol (THC) where the isomerization process does not replicate a naturally occurring form found in Cannabis sativa L. in its native state;
   (iii) cannabinoids created through hydrogenation, hydration, or other chemical modification processes that produce compounds with chemical structures distinct from those naturally present in hemp plant material; or
   (iv) esters, ethers, salts, and acid derivatives of cannabinoids created through chemical synthesis where such forms are not naturally present in Cannabis sativa L. in appreciable quantities;
  (c) does not include:
   (i) cannabinoids including: delta-9 THC, CBDA, CBN, CBC, CBG, THCV that are derived directly through extraction, distillation, chromatography, or other mechanical or non-chemical separation processes from Cannabis sativa L. plant material;
   (ii) isomeric forms of delta-9 THC or other naturally occurring cannabinoids that are separated from hemp plant material or naturally converted within the hemp plant through heating or enzymatic processes;
   (iii) minor cannabinoid concentrates where the minor cannabinoid is naturally present in hemp and is concentrated through mechanical separation, extraction, or distillation without chemical synthesis; or
   (iv) trace byproducts resulting from standard derivatization processes.
 (14)(21)(28) "THC" means tetrahydrocannabinol.

Amend the bill further, by adding appropriately numbered SECTIONS to read:

SECTION X. Title 46 of the S.C. Code is amended by adding:

CHAPTER 56

Hemp-Derived Consumable Products

Article 1

General Provisions

 Section 46-56-10. The General Assembly finds and declares that:
 (1) The regulation of full spectrum and broad-spectrum hemp-derived cannabinoid products that comply with the federal 0.3 percent of delta-9 THC on a dry where basis standard serves the public interest by ensuring product quality, consumer safety, and appropriate tax collection.
 (2) A comprehensive regulatory framework is necessary to protect public health, prevent youth access, provide truthful labeling and product safety, and establish a lawful, transparent marketplace for hemp-derived consumable products.
 (3) Licensing of manufacturers, distributors, and retailers creates accountability in the supply chain and protects public health.
 (4) Age restrictions limiting sales to persons twenty-one years of age or older protect youth from potential harm and align with federal and state policies governing age-restricted products.
 (5) The definition of synthetic cannabinoids must be comprehensive and explicit to distinguish between naturally derived hemp cannabinoids and prohibited synthetic forms.

 Section 46-56-20. For purposes of this chapter:
 (1) "Adult" or "adult consumer" means a person who has attained twenty-one years of age.
 (2) "Batch" means a specific quantity of hemp-derived consumable product that is manufactured during a defined period and is intended to have uniform character and quality.
 (3) "Certificate of Analysis" or "COA" means a batch-specific laboratory report issued by an independent testing laboratory that includes cannabinoid profiles, contaminants, total THC content, and is accessible by a quick response code (QR code) or by a uniform resource locator (URL).
 (4) "Department means the South Carolina Department of Revenue.
 (5) "Distributor" means a person or entity that purchases, receives, possesses, stores, transports, and sells or delivers hemp-derived consumable products to retailers or other entities for resale but does not manufacture or process the products.
 (6) "Division" means the South Carolina Law Enforcement Division.
 (7) "Hemp" means the plant Cannabis sativa L. and any part of that plant, including the seeds thereof and all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of isomers, whether growing or not, with a total delta-9 THC concentration of not more than 0.3 percent on a dry weight basis consistent with the federal Agriculture Improvement Act of 2018
 (8) "Hemp-derived cannabinoid" means any phytocannabinoid found in or derived from hemp, including, but not limited to, delta-9 THC, tetrahydrocannabinolic acid (THCA), cannabidiol (CBD), cannabidiolic acid (CBDA), cannabinol (CBN), cannabigerol (CBG), cannabichromene (CBC), cannabicyclol (CBL), cannabivarin (CBV), tetrahydrocannabivarin (THCV), cannabidivarin (CBDV), cannabicitran (CBT), delta-7 THC, delta-8 THC, delta-10 THC, hexahydrocannabinol (HHC), or tetrahydrocannabiphorol (THCp). This definition excludes synthetic cannabinoids not derived from hemp.
 (9) "Hemp-derived consumable product" "Hemp-derived consumable product means a finished product derived from hemp that is intended for human ingestion, containing one or more hemp-derived cannabinoids, including naturally derived delta-9 THC, with a total THC concentration of not more than 0.3 percent on a dry weight basis.
  (a) Hemp-derived consumable products must be in the following form:
   (i) edibles;
   (ii) gummies;
   (iii) capsules; or
   (iv) oils for ingestion.
  (b) This definition excludes topical products, seeds, or seed-derived ingredients generally recognized as safe (GRAS) by the U.S. Food and Drug Administration, industrial hemp products, not intended for consumption, and any product classified as marijuana under federal law or Section 44-53-110.
 (10) "Independent testing laboratory" means a laboratory that:
  (a) is accredited under ISO/IEC 17025:2017 standards;
  (b) has no financial interest in any manufacturer, distributor, or retailer being tested;
  (c) is capable of testing for cannabinoids using a high-performance liquid chromatography (HPLC) or a validated equivalent method; and
  (d) can test for contaminants including heavy metals, pesticides, mycotoxins, solvents, and microbials.
 (11) "Ingestible product" means hemp-derived consumable product intended for consumption through the mouth by swallowing in the gastrointestinal system.
 (12) "Manufacturer" means any person or entity that engages in:
  (a) extraction and refinement of cannabinoids from hemp plant material;
  (b) conversion of cannabinoid precursor compounds;
  (c) compounding, blending, extracting, infusing, cooking, or formulating hemp-derived consumable products; or
  (d) packaging, repackaging, labeling, ore relabeling of hemp-derived consumable products.
 (13) "Non-liquid ingestible product" means any hemp-derived consumable product intended for ingestion that is not a liquid including, but not limited to, gummies, edible, capsules, and tablets.
 (14) "Proof of age" means a valid government-issued photographic identification document including, but not limited to, a driver's license, passport, military identification car, or other state-issued identification card that confirms the holder is at least twenty-one years of age.
 (15) "Retailer" means any person or entity that sells hemp-derived consumable products directly to consumers for personal use, including through physical locations, online sales, or mail-order sales.
 (16) "State plan" means the plan submitted by the department and approved by the Secretary of the United States Department of Agriculture pursuant to which the department regulates hemp production.
 (17) "Synthetic cannabinoid" means any cannabinoid compound that:
  (a) is created, produced, or synthesized through chemical synthesis, chemical modification, or isomerization that does not occur naturally in the Cannabis sativa L. plant in appreciable quantities;
  (b) includes but is not limited to:
   (i) fully synthetic cannabinoids manufactured entirely through chemical synthesis, including, but not limited to, HU-210, JWH-018, JWH-073, XLR-11, or other synthetic cannabinoid receptor agonists;
   (ii) structural isomers of tetrahydrocannabinol (THC) where the isomerization process does not replicate a naturally occurring form found in Cannabis sativa L. in its native state;
   (iii) cannabinoids created through hydrogenation, hydration, or other chemical modification processes that produce compounds with chemical structures distinct from those naturally present in hemp plant material; or
   (iv) esters, ethers, salts, and acid derivatives of cannabinoids created through chemical synthesis where such forms are not naturally present in Cannabis sativa L. in appreciable quantities;
  (c) does not include:
   (i) cannabinoids including delta-9 THC, CBDA, CBN, CBC, CBG, THCV that are derived directly through extraction, distillation, chromatography, or other mechanical or non-chemical separation processes from Cannabis sativa L. plant material;
   (ii) isomeric forms of delta-9 THC or other naturally occurring cannabinoids that are separated from hemp plant material or naturally converted within the hemp plant through heating or enzymatic processes;
   (iii) minor cannabinoid concentrates where the minor cannabinoid is naturally present in hemp and is concentrated through mechanical separation, extraction, or distillation without chemical synthesis; or
   (iv) trace byproducts resulting from standard derivatization processes.


SECTION X. Chapter 56, Title 46 of the S.C. Code is amended by adding:

Article 3

Prohibitions

 Section 46-56-30. (A) No person shall sell, distribute, barter, or give any hemp-derived consumable product to an individual under the age of twenty-one. The restriction applies to all hemp-derived consumable products in all product categories.
 (B)(1) Retailers must verify the age of purchasers by requiring the valid proof of age confirming the individual is at least twenty-one years of age.
  (2) The retailer shall:
   (a) request a valid form of proof of age from any customer who appears to be under forty years of age;
   (b) carefully examine the proof of age to verify the customer's date of birth;
   (c) confirm that the customer is at least twenty-one years of age;
   (d) refuse the sale if the customer cannot provide satisfactory proof of age or if the proof of age indicates the customer is under twenty-one years of age; and
   (e) Maintain written or electronic records of proof of age checks for a period of not less than one year.
  (3) It shall be an affirmative defense to a violation of subsection (A) if the defendant exercised reasonable diligence in examining the proof of age and the proof of age appeared to be genuine and indicated that the purchaser was at least twenty-one years of age.
 (C) For online, mail-order, or delivery sales, the seller must:
  (1) require certification under penalty of perjury that the recipient is twenty-one years of age or older;
  (2) use a delivery service that verifies the recipient's age via government-issued proof of age at the point of delivery;
  (3) ensure packages are marked "Adult-Signature Required: Twenty-one (21) years or older";
  (4) implement an age verification system that requires proof of age before a payment is processed; and
  (5) maintain records of the age verification process and delivery signature for at least one year.  (D)(1) It is unlawful for any person under twenty-one years of age to purchase, possess, or attempt to purchase a hemp-derived consumable product, or to present false identification for such purposes.
  (2) A person who provides a false identification to purchase or attempt to purchase a hemp-derived consumable, upon conviction, is guilty of a misdemeanor and must be fined not less than one hundred dollars nor more than two hundred dollars or must be imprisoned for not more than thirty days, or both.

 Section 46-56-40. (A) Hemp-derived consumable products must be stored behind a counter or similar area where products are inaccessible to customers without assistance from an employee of the retailer.
 (B) No hemp-derived consumable product shall be sold through vending machines or other automated dispensing devices.
 (C) No retail establishment selling hemp-derived consumable products may be located within one thousand feet, measured in a straight line, of a public or charter elementary, middle, or high school.

 Section 46-56-50. (A) Every retailer and every employee authorized to sell hemp-derived consumable products shall complete age verification training prior to engaging in sales.
 (B) The training must include:
  (1) identification of valid government-issued photographic identification documents;
  (2) techniques for detecting fraudulent or forged identification;
  (3) procedures for proper age verification and documentation;
  (4) state and federal laws governing the sale of age-restricted products; and
  (5) legal consequences of selling products to individuals under twenty-one years of age.
 (C) Each retailer shall maintain documentation of completion of age verification training for all employees.

 Section 46-56-60. Samples of hemp-derived consumable products may not be distributed in public streets, sidewalks, parks, stores, or other public places.

Amend the bill further, by adding an appropriately numbered SECTION to read:

SECTION X. Chapter 56, Title 46 of the S.C. Code is amended by adding:

 Section 46-56-70. (A) No person shall use, consume, possess, distribute, or attempt to distribute a hemp-derived consumable product on public or charter school property or at a school function.
 (B) For the purposes of this section:
  (1) "School" means a public or charter elementary school, middle school, junior high school, or high school.
  (2) "School property" means any building, bus, campus, athletic facility, playground, or land owned, leased, used, or operated by a school, including any school bus or vehicle used to transport students.
  (3) "School function" means any school-sponsored or school-related activity, event, or program whether held on or off school property.
 (C) This prohibition applies at all times including during and outside normal school hours.
 (D) A violation of this section by a person eighteen years of age or older is subject to a civil fine of fifty dollars.
 (E) Hemp-derived consumable products possessed in violation of this section are subject to seizure and forfeiture.
 (F) This section does not apply to:
  (1) a product approved by the United States Food and Drug Administration (FDA) and lawfully prescribed to a student and administered in accordance with school policy; or
  (2) a law enforcement officer within the scope of official duties.
 (G) Nothing in this chapter shall be construed to limit the authority of a school district or governing body to adopt and enforce more restrictive policies regarding hemp-derived consumable products.

Amend the bill further, by adding appropriately numbered SECTIONS to read:

SECTION X. Chapter 56, Title 46 of the S.C. Code is amended by adding:

Article 7

Licensing

 Section 46-56-100. (A) The department shall have sole authority to issue, renew, suspend, and revoke licenses for manufacturers, distributors, and retailers of hemp-derived consumable products.
 (B) A person may not lawfully manufacture, distribute, or retail hemp-derived consumable products without obtaining and maintaining a current, valid license issued by the department.

 Section 46-56-110. (A) The department shall issue the following classes of licenses:
  (1)(a) Manufacturer license for manufacturers and producers to authorize extraction, processing, manufacturing, packaging, and sale of hemp-derived consumable products.
   (b) The annual fee for a manufacturer is five thousand dollars.
  (2)(a) Wholesaler license for distributors and wholesalers to authorize purchasing, storing, transporting, and wholesale distributing of hemp-derived consumable products.
   (b) The annual fee for a wholesaler license is two thousand five hundred dollars.
  (3)(a) Retailer license for retailers to authorize retail sale of hemp-derived consumable products.
   (b) The annual fee for a retailer license is:
    (i) five hundred dollars per location for up to ten locations; or
    (ii) five thousand dollars total for a retailer with more than ten locations.
  (4)(a) Online retailer license for online retailers to authorize online retail sales with delivery to an address in South Carolina.
   (b) The annual fee for an online retailer license is one thousand dollars.
  (5)(a) Temporary event permit for retailers to authorize sales at festivals or temporary events.
   (b) The annual fee for a temporary event permit is one thousand five hundred dollars per event.
 (B)(1) An applicant for any license under this section must submit:
   (a) a completed application on forms prescribed by the department;
   (b) proof of identity;
   (c) proof of legal business status, including physical address of facility where product will be manufactured, stored, or sold;
   (d) a fingerprint-based state and federal criminal background check;
   (e) proof of compliance with applicable zooming, health, and safety regulations; and
   (f) payment of applicable fees.
  (2) An applicant for any license under this section consents to inspections, sampling, and testing by the department.
  (3) For retail applicants, sales records or affidavits demonstrating that no more than twenty percent of total sales revenue is derived from tobacco and/or alcohol products and a training plan demonstrating one-on-one customer service capability.

 Section 46-56-120. An applicant is ineligible if:
 (1) the applicant was covered of a drug-related felony in any jurisdiction within the past five years;
 (2) currently serving a sentence for such conviction; or
 (3) previously had a license revoked under this chapter or under Title 61 within the past five years.

 Section 46-56-130. (A) A license is valid for one year and must be renewed annually.
 (B) A license is not transferable and must be displayed conspicuously at the licensed premises.
 (C) Out-of-state manufacturers, distributors, and online retailers must obtain proper licenses to do business in the State.

 Section 46-56-140. (A) The department may deny, suspend, or revoke licenses for noncompliance, false information, unpaid penalties, or violations of this chapter, including violations of age restrictions.
 (B) In cases involving imminent public health or safety risks or violations of age restrictions, the department may suspend a license without prior notice, provided that the licensee shall be afforded an opportunity to be heard within then days in the Administrative Law Court.
 (C) A licensee whose license is revoked may not apply for a new license for at least three years from the date of revocation.

 Section 46-56-150. It is unlawful to operate without a license in the manufacture, distribution, or retail sale of hemp-consumable products. A person who violates this section is guilty of a misdemeanor and, upon conviction, must be imprisoned no more than three years.


SECTION X. Chapter 56, Title 46 of the S.C. Code is amended by adding:

Article 7

Product Requirements

 Section 46-56-200. (A) The manufacturer shall have a hemp-derived consumable product tested by an independent testing laboratory prior to distribution to a distributor or retailer.
 (B) If the product is packaged in a manner that may be sold to the consumer when delivered to the distributor and the distributor does not open such package, the distributor is not required to test the product.
 (C) If the distributor open or repackages the product, the distributor shall have the product tested prior to distribution.
 (D) All hemp consumable products shall be tested for:
  (1) Cannabinoids (full profile);
  (2) Heavy metals;
  (3) Pesticides;
  (4) Mycotoxins;
  (5) Residual solvent;
  (6) microbials, including E. coli, salmonella, and total yeast and mold count.
 (E) Testing shall be conducted by an independent testing laboratory that:
  (1) is accredited under ISO/IEC 17025: 2017 standards;
  (2) has no financial interest in the tested product or entity that manufactures, distributes, or sells the product;
  (3) uses high-performance liquid chromatography (HPLC) or validated equivalent method;
  (4) maintains equipment and procedures that accurately measure cannabinoid potency and contaminants.
 (F) Each product shall be accompanied by a Certificate of Analysis (COA) that documents:
  (1) Batch identification number;
  (2) Date received and date of completion of testing;
  (3) method of analysis for each test conducted;
  (4) complete cannabinoid profile;
  (5) Cannabinoid potency per serving and per container;
  (6) test results for all required contaminants;
  (7) laboratory accreditation number; and
  (8) Statement confirming the COA is connected to the specific product and batch.
 (G) Each batch manufactured shall undergo testing and obtain a certificate of analysis from an independent testing laboratory.
 (H) The department shall promulgate regulations specifying pass/fail levels for safety and toxicity. No product that exceeds the maximum contaminant levels shall be distributed or sold in this State.
 (I) Testing laboratories shall retain records of all testing for at least three years.

 Section 46-56-210. (A) All hemp-derived consumable products must be in child-resistant, tamper evident packaging designed to comply with the federal Poison Prevention Packaging standards.
 (B) Product packaging shall not:
  (1) include imagery, language, or design that is appealing to children, including cartoons, animated characters, or imagery intended to attract youth;
  (2) bear any imagery or design that mimics commercial candy, snack food, baked good packaging or other common copyrighted products;
  (3) include terms such as "candy" or "treat" suggesting this product is food intended for children;
  (4) Include any seal, insignia, or mark that could mislead consumers to believe the product is endorsed by the State or any state or federal agency.
 (C) Products shall not be formed in the shape of animal or cartoon character.

 Section 46-56-220. (A) The label of each hemp-derived consumable product shall contain the following, legibly displayed, or contain a scannable code with required information:
  (1) Product name or common name, on the front of the label;
  (2) Brand name on the front of the label;
  (3) Size of the container or net count of individual items on the front of the label;
  (4) Net weight or volume;
  (5) Suggested product use, including serving size;
  (6) List of ingredients in descending order of predominance by weight;
  (7) amount of primary cannabinoids in milligrams;
   (a) milligrams of Delta-8 THC, Delta-9 THC, and Delta-10 THC per serving (in aggregate);
   (b) milligrams of Delta-8 THC; Delta-9 THC, and Delta-10 THC per container (in aggregate);
   (c) Amount of advertised cannabinoids (CBD, CBG, CBN, etc.) per serving and per container;
  (8) list of allergens;
  (9) manufacturer or distributor name and address;
  (10) batch number
  (11) manufacture date and expiration date;
  (12) quick response code or URL linking to the Certificate of Analysis for the specific batch;
  (13) product registration number issued by the department;
  (14) the statement: "This product contains hemp-derived cannabinoids";
  (15) a prominent statement indicating: "Age 21+ Required" or substantially similar language indicating that sale to persons under twenty-one years of age is prohibited; and
  (16) General warning covering the following:
   (a) Keep out of reach of children;
   (b) use while pregnant or breastfeeding could be harmful;
   (c) consumption of hemp-derived products may result in a failed drug test;
   (d) consumption of certain cannabinoids may impair your ability to drive or operate heavy machinery;
   (e) contains less than .3% Delta-9 THC on a dry weight basis and contains no synthetic cannabinoids.
 (B) The label of each hemp-derived consumable product intended for ingestion or inhalation shall include "This product has not been evaluated by the Food and Drug Administration. This product is not intended to diagnose, treat, cure, mitigate or prevent any disease."
 (C) Labels shall not include:
  (1) Claims that the product treats, cures, or prevents any disease or medical condition, unless such claims are supported by substantial scientific evidence and do not violate FDA regulations;
  (2) Any false or misleading statements;
  (3) any imagery depicting minors; and
  (4) any health claims not authorized by the FDA.

 Section 46-56-230. (A) Any hemp derived consumable product intended for ingestion that is not liquid shall not:
  (1) be sold in a serving size that contains more than ten milligrams of naturally occurring Delta-9 THC;
  (2) be formed in the shape of an animal or cartoon character.
 (B) Hemp-derived consumables products shall not contain:
  (1) Nicotine;
  (2) Alcohol; or
  (3) Synthetic Cannabinoid.
 (C) Products shall not be advertised, marketed, or offered for sale using labeling, design, trade dress, trademarks, branding, or related imagery depicting or signifying characters or symbols known to appeal primarily to persons under twenty-ones years of age.

 Section 46-56-240. (A) The department shall enforce this chapter, including licensing, product registration, testing, labeling, and packaging requirements.
 (B) The South Carolina Department of Revenue shall enforce taxation provisions.
 (C) The State Law Enforcement Division (SLED or division) shall enforce provisions related to synthetic cannabinoids, age restrictions, and possession on school property, and shall investigate criminal violations.
 (D) All law enforcement agencies shall cooperate in investigating violations.
 (E) The department and its authorized agents may conduct unannounced inspections of any licensed facility to:
  (1) verify compliance with licensing requirements;
  (2) inspect products for compliance with registration and labeling requirements;
  (3) verify age verification procedures and point-of-sale compliance;
  (4) inspect records, including sales records, inventory, Certificates of Analysis, and proof of age verification documentation;
  (5) ensure no synthetic cannabinoids are present; and
  (6) verify no sales have been made to individuals under twenty-one years of age.
 (F) All licensees shall cooperate fully with inspections.
 (G) If inspection reveals violations, the department shall issue a notice of violation with a specified period for cure that is not less than ten days, except for imminent public health threats or age restrictions violations.
 (H) The department may order the embargo, seizure, or destruction of products that:
  (1) contain synthetic cannabinoids;
  (2) are not registered;
  (3) do not comply with labeling requirements;
  (4) exceed serving size limits;
  (5) contain contaminants or prohibited substances; or
  (6) are misbranded or adulterated.
 (I)(1) Licensees must retain transaction and batch records for at least two years.
  (2) Retailers must retain proof of age verification records for at least one year.

 Section 46-56-250. (A) The department may impose civil penalties as follows:
  (1) for a first violation, a fine of up to two thousand dollars;
  (2) for a second violation within a two-year period, a fine of up to five thousand dollars;
  (3) for a third or subsequent violation within a two-year period, a fine of up to seven thousand five hundred dollars and is subject to license revocation
  (4) for subsequent age restriction within a five year period, the licensee is subject license revocation by the department.
 (B) Upon conviction of the following offenses:
  (1) operating without a license, a person is a guilty of a misdemeanor and is subject to a fine of up to one thousand dollars, or imprisonment up to thirty days, or both;
  (2) A person who knowing sells a person under the age of twenty-one years of age is guilty of a misdemeanor and subject to a fine of not less than one thousand dollars and not more than five thousand dollars or imprisonment of not more than one year, or both.
  (3) Synthetic cannabinoids, a person shall be punished in the same manner as violation involving THC pursuant to Sections 44-53-190 and 44-53-370;
  (4) Falsifying COA or product registration, a person is guilty of a misdemeanor and is subject to fine of not less than one thousand dollars and not more than five thousand dollars, or imprisonment for not more than two years, or both;
  (5) Providing False Identification, a person is guilty of a misdemeanor and is subject to a fine of not less than two hundred fifty dollars and not more than one thousand dollars, or imprisonment for not more than thirty days, or both.
  (6) Unless otherwise specified, a person is guilty of a misdemeanor and is subject to a fine of up to one thousand dollars, or imprisonment for not more than thirty days, or both, for any other violation of this chapter.
 (C) Products found in violation of this chapter may be seized and destroyed.
 (D) The department may issue stop-sale or recall orders for unsafe or misbranded products.

 Section 46-56-260. (A) This chapter does not require an employer to accommodate the use of hemp-derived consumable products in the workplace or an employee working while under the influence of hemp-derived consumable products.
 (B) This chapter does not exempt a person from prosecution for a criminal offense related to impairment or intoxication resulting from use of hemp-derived consumable products.
 (C) This chapter does not relieve a person from any requirement under the law to submit to breath, blood, urine, or other testing to determine the presence of a controlled substance.
 (D) Licensed entities and common carriers may transport compliant hemp products with invoices and Certificates of Analysis available for inspection.

 Section 46-56-270. (A) This chapter shall not apply to:
  (1) a Safe Harbor Hemp Product;
  (2) a Safe Harbor Manufacturer or Storage Facility; or
  (3) a Safe Harbor Research Institute or Facility.
 (B) For the purposes of this section:
  (1) "Safe Harbor Hemp Product" means a hemp-derived compound or cannabinoid, whether a finished product or in the process of being produced, that is manufactured, produced, packaged, processed, prepared, treated, transported, or held in South Carolina for export from South Carolina but that is not sold or distributed in South Carolina.
  (2) "Safe Harbor Manufacturer or Storage Facility" means a facility that manufactures, produces, packages, processes, prepares, treats, transports, or holds a Safe Harbor Hemp Product.
  (3) "Safe Harbor Research Institute or Facility" means facility with accreditation from a United States regional accreditor, a private or public university or college, or an institute with ISO accredited analytical research or testing that may work with hemp-derived cannabinoids that are not permitted to be sold or distributed in South Carolina.
 (C) It must not be a violation of this chapter for an entity licensed under this chapter to possess raw hemp extract intended for remediation into a hemp-derived consumable product.

 Section 46-56-280. (A) The department promulgate regulations concerning:
  (1) Testing standards and methodologies;
  (2) labeling templates and requirements;
  (3) packaging specifications;
  (4) retailer training programs;
  (5) age verification procedures;
  (6) lists of approved and prohibited cannabinoids;
  (7) pass/fail action levels for contaminants; and
  (8) inspection and enforcement procedures.
 (B) The department shall coordinate with the division on matters relating to toxicology.
 (C) The division shall promulgate regulations concerning:
  (1) age verification training standards;
  (2) record-keeping and reporting requirements of age verification; and
  (3) standards for point-of sale systems facilitation age verification.

Amend the bill further, SECTION 50, by striking Section and inserting:

SECTION 50.Theprohibition and enforcement of hemp-cannabinoid beverage distribution and sales to individuals under the age of twenty-one are effective upon the signature of the Governor. The provisions of SECTIONs X, shall take effect on January 1, 2027 with licensing applications beginning on October 1, 2026, and the remaining provisions of this act take effective sixty days after approval by the Governor. 

Renumber sections to conform.

Amend title to conform.