Rep. MCCRAVY proposes the following amendment (LC-3924.VR0019H):
Amend the bill, as and if amended, SECTION 1, by striking Section (A) and inserting:
(A) The State has a substantial interest in regulating intoxicating beverages that may cause impairment, such as beer, wine, liquor, and hemppsychoactive hemp-cannabinoid beverages, and an interest in regulating the activities of the manufacturers, importers, wholesalers, and retailers; and the influences that affect the consumption levels of such intoxicating beverages by the people of the State.Amend the bill further, SECTION 1, by striking Section (D) and inserting:
(D) By this act, the General Assembly intends to promote the public health, safety, and welfare of residents of this State with laws intended to strictly regulate intoxicating beverages containing beer, wine, liquor, or hemppsychoactive hemp-cannabinoid products.Amend the bill further, SECTION 2, by striking Section 46-55-5 and inserting:
Section 46-55-5. The purpose of this chapter is to regulate the sale and distribution of hemppsychoactive hemp products. It is the intent of the General Assembly that the manufacture, sale, and distribution of hemppsychoactive hemp-cannabinoid products are strictly prohibited unless specifically provided for in this chapter and Chapters 2, 4, 6, and 14 of Title 61, and synthetic cannabis products are strictly prohibited and a violation should be treated as marijuana under Chapter 53, Title 44.Amend the bill further, SECTION 3, by striking Section 46-55-10(13)(b)(ii) and inserting:
(ii) any intermediate hemppsychoactive 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
Amend the bill further, SECTION 3, by striking Section 46-55-10(13)(b)(iii) and (iv) and inserting:
(iii) any intermediate hemppsychoactive 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 hemppsychoactive 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.
Amend the bill further, SECTION 3, by striking Section 46-55-10(14) and (15) and inserting:
(14) "HempPsychoactive 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 hemppsychoactive 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 hemppsychoactive hemp product.(9)(15) "HempPsychoactive 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.
Amend the bill further, SECTION 3, by striking Section 46-55-10(17) and inserting:
(11)(17) "Marijuana" has the same meaning as in Section 44-53-110 and does not include tetrahydrocannabinol in hemppsychoactive hemp or hemppsychoactive hemp products as defined herein or hemppsychoactive hemp-cannabinoid beverages or chewables as defined in Section 61-14-20.Amend the bill further, SECTION 3, by striking Section 46-55-10(20) and inserting:
(13)(20) "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 hemppsychoactive hemp production.Amend the bill further, SECTION 5, by striking Section 61-2-10(A)(5) and inserting:
(5)"HempPsychoactive hemp-cannabinoid product" includes products defined as a "hemppsychoactive hemp-cannabinoid beverage" pursuant to Section 61-4-15 and hemppsychoactive hemp-cannabinoid products containing more than five milligrams and not more than ten milligrams of allowable THC concentration as referred to in Section 61-6-20. Products meeting the definition of cannabidiol or CBD as defined in Section 46-55-10(10) and 46-55-90 are not hemppsychoactive hemp-cannabinoid products for purposes of Title 61.Amend the bill further, SECTION 6, by striking Section 61-2-60(1), (2), (3), (4), and (5) and inserting:
(1) regulations for the application and issuance of alcoholic liquor and hemppsychoactive hemp-cannabinoid product licenses, permits, and certificates;(2) regulations to prevent the unlawful manufacture, bottling, sale, distribution, transportation, and importation of alcoholic liquors and hemppsychoactive hemp-cannabinoid products;
(3) regulations necessary to affect an equitable distribution of alcoholic liquors and hemppsychoactive hemp-cannabinoid products in this State;
(4) regulations for the analysis of alcoholic liquors and hemppsychoactive hemp-cannabinoid products sold in this State and for a procedure for obtaining the samples for this purpose;
(5) regulations governing the administration and enforcement of provisions relating to producers and wholesalers of beer and wine and hemppsychoactive hemp-cannabinoid products;
Amend the bill further, SECTION 7, by striking Section 61-2-100(I) and inserting:
(I) The department may not issue a wholesale beer and wine or a hemppsychoactive hemp-cannabinoid product permit pursuant to this title unless the applicant is a legal resident of the United States and has been a legal resident of this State and has maintained his principal place of abode in this State for at least thirty days before the date of the application.Amend the bill further, SECTION 8, by striking Section 61-2-135 and inserting:
Section 61-2-135. When a person licensed to sell alcoholic liquor or, beer and wine, or a hemppsychoactive hemp-cannabinoid product moves his business to a new location in the same county that was licensed in the same manner within ninety days of the time of the move, the person may use his current license and is not required to initiate a new application upon approval by the department. In addition to a hemppsychoactive hemp-cannabinoid product retail license, the person must also have a retail license for alcoholic liquor or beer and wine and continue selling both types of products in the new location.Amend the bill further, SECTION 9, by striking Section 61-2-136 and inserting:
Section 61-2-136. Notwithstanding another provision of law, a currently licensed beer and wine wholesaler or, currently licensed alcoholic liquor wholesaler, or currently licensed hemppsychoactive hemp-cannabinoid product wholesaler who wishes to relocate the licensed business to a new location within the State must notify the department. This notice must be in writing, must precisely describe the premises to be licensed, must give the date of the move, and must be filed with the department at least thirty days prior to the move. Upon receipt of this notice, the department shall transfer the permit to the new premises effective on the date of the move. In addition to a hemppsychoactive hemp-cannabinoid product wholesaler license, the person must also have a wholesale license for alcoholic liquor and continue purchase, store, keep, possess, import into this State, transport, sell, and deliver both hemppsychoactive hemp-cannabinoid products and or liquor in the new location.Amend the bill further, SECTION 10, Section 61-2-150, by striking the first undesignated paragraph and inserting:
If a fine is imposed by the department for a violation by a beer, wine, hemppsychoactive hemp-cannabinoid product, or liquor licensee, and the licensee fails to pay the fine and ceases doing business on the premises where the violation occurred, the department must not require a subsequent tenant of the premises to pay the fine as a condition to being issued a beer, wine, hemppsychoactive hemp-cannabinoid product or liquor license. However, this prohibition does not apply to any person who is related by blood within the third degree or marriage to, is in business with, or is acting for or on behalf of, directly or indirectly, the licensee so fined.Amend the bill further, SECTION 11, by striking Section 61-2-170 and inserting:
Section 61-2-170. The department may not generate license fees to be deposited in the general fund of the State through the issuance of licenses or permits for on or off premises consumption which authorize alcoholic liquors, beer, or wine, or hemppsychoactive hemp-cannabinoid products to be sold on a drive-through or curb service basis.Amend the bill further, SECTION 12, by striking Section 61-2-30 and inserting:
Section 61-2-30. The department and the division must employ personnel necessary to administer and enforce the laws and regulations governing alcoholic liquors, hemppsychoactive hemp-cannabinoid products, beer, and wine. Salaries of these personnel must be set by the department and the division, as applicable.Amend the bill further, SECTION 13, Section 61-2-80, by striking the first undesignated paragraph and inserting:
The State, through the department, is the sole and exclusive authority empowered to regulate the operation of all locations authorized to sell beer, wine, hemppsychoactive hemp-cannabinoid products, or alcoholic liquors, is authorized to establish conditions or restrictions which the department considers necessary before issuing or renewing a license or permit, and occupies the entire field of beer, wine, hemppsychoactive hemp-cannabinoid products, and liquor regulation except as it relates to hours of operation more restrictive than those set forth in this title.Amend the bill further, SECTION 14, by striking Section 61-2-105 and inserting:
Section 61-2-105. Notwithstanding another provision of law, all initial alcoholic liquor, hemppsychoactive hemp-cannabinoid product, and beer and wine license application fees are increased by one hundred dollars, all biennial alcoholic liquor and beer and wine beverage fees and licenses are increased by two hundred dollars, and all local operation permit fees are increased by fifty dollars. These additional funds must be collected by the Department of Revenue and as soon as practicable allocated to the State Law Enforcement Division to offset the costs of inspections, investigations, and enforcement. SLED is authorized to receive, expend, and carry forward these funds.Amend the bill further, SECTION 15, by striking Section 61-2-175(A) and inserting:
(A) Any person or corporate entity (including partnerships) located in another state or country who knowingly and intentionally ships, causes to be shipped, or accepts for shipment any beer, wine, hemppsychoactive hemp-cannabinoid products, or alcoholic liquors directly to any resident of this State who does not hold a valid producer's, manufacturer's, wholesaler's, or special food manufacturer's license or producer representative's certificate of registration issued by the State of South Carolina is in violation of this title.Amend the bill further, SECTION 16, by striking Section 61-4-15(A) and (B) and inserting:
(A) "HempPsychoactive hemp-cannabinoid beverage" is a chemically intoxicating beverage subject to the exercise of the police power of the General Assembly, pursuant to Section 1, Article VIII-A of the South Carolina Constitution.(B) For the purposes of this chapter, hemppsychoactive hemp-cannabinoid beverages that contain no more than five milligrams of an allowable THC concentration in a single serving in a twelve-ounce container shall be treated as beer or wine as described in Chapter 4, except for the provisions in Chapter 14 including creation of hemppsychoactive hemp-cannabinoid product licenses, violations, and penalties.
Amend the bill further, SECTION 17, by striking Sections 61-4-20, 61-4-30, and 61-4-40 and inserting:
Section 61-4-20. It is unlawful for a person to sell or permit to be sold beer, ale, porter, wine, malt, hemppsychoactive hemp-cannabinoid beverage, or other beverage authorized to be sold under this chapter on which the tax levied has not been paid. A person having charge of the sale of one of these beverages who sells or permits it to be sold in violation of the provisions of this section is guilty of a misdemeanor and, upon conviction, for each offense must be fined not less than twenty-five dollars nor more than one hundred dollars or imprisoned for not less than ten days nor more than thirty days, in the discretion of the court.Section 61-4-30. Beer, or wine, or hemppsychoactive hemp-cannabinoid beverages sold by wholesalers to the holders of retail licenses in this State must be sold for cash only at the time of delivery or prior to delivery. For purposes of this section, "cash" means money or a bona fide check, money order, or electronic transfer of funds if the transfer of funds is initiated by an irrevocable payment order on or before delivery of the beer or wine. The electronic transfer must be initiated by the wholesaler no later than one business day after delivery. A holder of a retail permit who issues a check or an irrevocable payment order in payment for beer or wine with insufficient funds at the bank to cover the check violates the provisions of this section. This provision for cash payment applies to cash deposits on empties when beer is delivered in returnable containers. This deposit on bottles or draft beer containers must not be less than the charge from the brewery to the wholesaler.
Section 61-4-40. A holder of a beer permit, or a beer and wine permit, or a hemppsychoactive hemp-cannabinoid permit may not purchase beer, or wine, or hemppsychoactive hemp-cannabinoid beverages, or both, on credit by a dishonored check, an unpaid note or invoice, or other insufficient manner from a permitted beer and wine wholesaler. However, no action may be taken against the holder for a first violation of this section. If a holder commits a second or subsequent violation, his retailer's permit may be suspended, canceled, or revoked by the department, or a monetary penalty of not more than twenty-five dollars may be assessed against him.
Amend the bill further, SECTION 17, by striking Section 61-4-50(A) and inserting:
(A) It is unlawful for a person to sell beer, ale, porter, wine, hemppsychoactive hemp-cannabinoid beverage, or other similar malt or fermented beverage to a person under twenty-one years of age. A person who makes a sale in violation of this section, upon conviction:(1) for a first offense, must be fined not less than two hundred dollars nor more than three hundred dollars or imprisoned not more than thirty days, or both; and
(2) for a second or subsequent offense, must be fined not less than four hundred dollars nor more than five hundred dollars or imprisoned not more than thirty days, or both.
Amend the bill further, SECTION 17, by striking Section 61-4-50(E) and inserting:
(E) Violations for sale of hemppsychoactive hemp-cannabinoid beverages to a person under the age of twenty-one are provided for in Section 61-14-320.Amend the bill further, SECTION 17, by striking Section 61-4-60 and inserting:
Section 61-4-60. It is unlawful for a person to whom beer or, wine, or hemppsychoactive hemp-cannabinoid beverage cannot be lawfully sold to knowingly give false information concerning his age for the purpose of purchasing beer or, wine, or hemppsychoactive hemp-cannabinoid beverage. A person who violates the provisions of this section, upon conviction, must be fined not less than one hundred dollars nor more than two hundred dollars or be imprisoned for not more than thirty days, or both.Amend the bill further, SECTION 17, Section 61-4-70, by striking the first two undesignated paragraphs and inserting:
A person engaged in the business of selling at retail beer or, wine, or hemppsychoactive hemp-cannabinoid beverage must post in each location for which he has obtained a permit a sign with the following words printed thereon: "The possession of beer, wine, hemppsychoactive hemp-cannabinoid beverage, or alcoholic liquors, by a person under twenty-one years of age is a criminal offense under the laws of this State, and it is also unlawful for a person to knowingly give false information concerning his age for the purpose of purchasing beer, wine, hemppsychoactive hemp-cannabinoid beverage, or liquor". The department must prescribe by regulation the size of the lettering and the location of the sign on the seller's premises.A retail seller of beer or, wine, or hemppsychoactive hemp-cannabinoid beverage who fails to display the sign required by this section is guilty of a misdemeanor and, upon conviction, must be fined not more than one hundred dollars or imprisoned for not more than thirty days.
Amend the bill further, SECTION 18, by striking Section 61-4-90(A) and inserting:
(A) It is unlawful for a person to transfer or give to a person under the age of twenty-one years for the purpose of consumption of beer or, wine, or hemppsychoactive hemp-cannabinoid beverage in the State, unless the person under the age of twenty-one is recruited and authorized by a law enforcement agency to test a person's compliance with laws relating to the unlawful transfer or sale of beer and wine or hemppsychoactive hemp-cannabinoid beverage to a minor. A person who violates this section is guilty of a misdemeanor and, upon conviction:(1) for a first offense, must be fined not less than two hundred dollars nor more than three hundred dollars or imprisoned not more than thirty days, or both; and
(2) for a second or subsequent offense, must be fined not less than four hundred dollars nor more than five hundred dollars or imprisoned not more than thirty days, or both.
Amend the bill further, SECTION 18, by striking Section 61-4-90(C)(3) and inserting:
(3) person giving beer or wine or hemppsychoactive hemp-cannabinoid beverage to another person under the age of twenty-one in conjunction with a religious ceremony or purpose if the beer or wine or hemppsychoactive hemp-cannabinoid beverage was lawfully purchased.Amend the bill further, SECTION 18, by striking Section 61-4-100(A) and inserting:
(A) If a person is charged with a violation of the unlawful sale of beer or, wine, or hemppsychoactive hemp-cannabinoid beverage to minors pursuant to Section 61-4-50, the minor also must be charged with a violation of the unlawful purchase or possession of beer or, wine, or hemppsychoactive hemp-cannabinoid beverage pursuant to Section 63-19-2440. In addition, if the minor violated false information as to age pursuant to Section 61-4-60 or if an adult violated the unlawful purchase of beer or, wine, or hemppsychoactive hemp-cannabinoid beverage for a person who cannot lawfully buy pursuant to Section 61-4-80, these persons also must be charged with their violations.Amend the bill further, SECTION 18, by striking Section 61-4-100(D) and inserting:
(D) Notwithstanding the provisions of subsections (A) and (B), a person under the age of twenty-one may be recruited and authorized by a law enforcement agency to test an establishment's compliance with laws relating to the unlawful transfer or sale of beer or, wine, or hemppsychoactive hemp-cannabinoid beverage to a minor. The testing must be under the direct supervision of a law enforcement agency, and the agency must have the person's parental consent. If the requirements of this subsection are met, a person may be charged with a violation of Section 61-4-50 without the requirement that the minor also be charged.Amend the bill further, SECTION 19, by striking Section 61-4-150 and inserting:
Section 61-4-150. If beer or, wine, or hemppsychoactive hemp-cannabinoid beverage is sold to anyone by a person who does not have a valid license to make the sale, all beer and, wine, and hemppsychoactive hemp-cannabinoid beverage found on the premises of the person is contraband and must be seized by a peace officer and treated as contraband liquor.Amend the bill further, SECTION 20, by striking Section 61-4-200 and inserting:
Section 61-4-200. Notwithstanding any other provision of law, a holder of a retail permit to sell beer and, wine, and hemppsychoactive hemp-cannabinoid beverage may transfer beer and wine to other businesses. In order for this transfer to be lawful, all businesses involved in the transfer must hold a retail beer and wine and, if applicable, a retail hemppsychoactive hemp-cannabinoid product permit issued to the same individual, partnership, or corporation. In addition, a particular brand of beer may be transferred only between retail stores located within the territorial restrictions described in the distribution agreement between the brewery and the wholesaler on file with the department pursuant to Section 61-4-1300. Transfers of beer and wine or hemppsychoactive hemp-cannabinoid beverage between retail beer and wine and, if applicable, hemppsychoactive hemp-cannabinoid beverage locations in a manner not authorized by this section, purchase of beer or wine and, if applicable, hemppsychoactive hemp-cannabinoid beverage by a retailer from another retailer for the purpose of resale, and sale of beer or wine or hemppsychoactive hemp-cannabinoid beverage by a retailer to a retailer for the purpose of resale are unlawful. A person who violates the provisions of this section is guilty of a misdemeanor and, upon conviction, must be fined not more than two hundred dollars.Amend the bill further, SECTION 20, by striking Section 61-4-210(A), (B), (C), and (D) and inserting:
(A) A person who purchases or acquires by lease, inheritance, divorce decree, eviction, or otherwise a retail business which sells beer or wine from a holder of a retail permit to sell beer or wine or hemppsychoactive hemp-cannabinoid beverage at the business, upon initiating the application process for a biennial retail beer or beer and wine permit or a retail hemppsychoactive hemp-cannabinoid product, may be issued a temporary retail beer or beer and wine or retail hemppsychoactive hemp-cannabinoid product permit by the department at the time of the purchase or acquisition if the location for which the temporary permit is sought is not considered by the department to be a public nuisance and:(1) the applicant currently holds a valid beer or beer and wine or retail hemppsychoactive hemp-cannabinoid product permit; or
(2) the applicant has had a criminal history background check conducted by the division within the past thirty days.
(B) A temporary beer or beer and wine or hemppsychoactive hemp-cannabinoid product permit issued pursuant to subsection (A) is valid until a biennial retail beer or, beer and wine, or hemppsychoactive hemp-cannabinoid product permit is approved or disapproved by the department, but in no case is it valid for more than one hundred twenty days from the date of issuance.
(C) Notwithstanding subsection (B), the department may revoke a temporary retail beer or, beer and wine, or hemppsychoactive hemp-cannabinoid product permit if the applicant fails to pursue the biennial retail beer or, beer and wine, or hemppsychoactive hemp-cannabinoid product permit in a timely manner, as set forth by regulation of the department.
(D) The department shall collect a fee of twenty-five dollars for each temporary beer or, beer and wine, or hemppsychoactive hemp-cannabinoid product permit. The funds generated by this fee must be deposited in the general fund of the State.
Amend the bill further, SECTION 21, by striking Section 61-4-230(1) and inserting:
(1) refuses to allow full inspection of the premises or any part of the premises which is licensed to sell beer or,, wine; or hemppsychoactive hemp-cannabinoid beverage; orAmend the bill further, SECTION 22, by striking Section 61-4-300 and inserting:
Section 61-4-300. "Producer" as used in this article means a brewery or winery or a manufacturer, bottler, or importer of beer or wine into the United States; and, as used in this chapter, includes a manufacturer, bottler, or importer of hemppsychoactive hemp-cannabinoid beverages into the United States.Amend the bill further, SECTION 23, by striking Section 61-4-310(A) and inserting:
(A) A producer must apply to the department on forms the department prescribes for a certificate of registration, which must be approved and issued before the shipment of beer or ,wine, or hemppsychoactive hemp-cannabinoid beverage by the producer to a point within the State. A producer, at the same time application is made for a certificate of registration, must remit to the department a fee of two hundred dollars.Amend the bill further, SECTION 23, by striking Section 61-4-310(C) and inserting:
(C) A certificate of registration is valid from the date of issue until the second August thirty-first after the issuance of the license. Beer and wine and hemppsychoactive hemp-cannabinoid beverage wholesalers must purchase beer, ale, or wine from manufacturers or importers who hold a certificate of registration issued by the department. Nothing in this section or Section 61-4-940 prohibits the transfer or purchase and sale, for resale to retailers only, between wholesalers authorized by the registered producer or an exclusive agent in the State to distribute the same brand or brands of wine, beer, or ale, or hemppsychoactive hemp-cannabinoid beverages.Amend the bill further, SECTION 24, by striking Section 61-4-340 and inserting:
Section 61-4-340. No person other than a registered producer may ship, move, or cause to be shipped or moved, beer, ale, porter, malt beverage, or wine, or hemppsychoactive hemp-cannabinoid beverages from outside the State to a point in the State, and only in accordance with the provisions of this chapter. No brand may be registered by the producer unless the person registering the brand is either the American producer or the primary American source of supply in the United States of the brand as herein defined, and it is unlawful for a wholesaler in this State to order, purchase, or receive beer, ale, porter, malt beverage, or wine, or hemppsychoactive hemp-cannabinoid beverage from a producer who is not the primary American source of supply for the brand ordered, purchased, or received. The term primary American source of supply means the manufacturer, distiller, vintner, brewer, producer, winery, or owner of vinous or spirituous beverages at the time they become a marketable product, or bottler, or the exclusive agent of these persons, who, if the product cannot be secured directly from the manufacturer by an American distributor, is the source closest to the manufacturer in the channel of commerce from whom the product can be secured by an American distributor, or who, if the product can be secured directly from the manufacturer by an American distributor, is the manufacturer. The provisions of this section do not apply to a person who produces beer, ale, porter, malt beverage, or wine solely in this State and who subsequently ships or sells this beer, ale, porter, malt beverage, or wine solely in this State.Amend the bill further, SECTION 25, by striking Section 61-4-350 and inserting:
Section 61-4-350. Beer or, wine, or hemppsychoactive hemp-cannabinoid beverages shipped or moved into this State in violation of this chapter is contraband and may be seized and sold as provided in Section 61-6-4310.Amend the bill further, SECTION 26, Section 61-4-520, by striking the first undesignated paragraph and inserting:
A retail permit authorizing the sale of beer or, wine, or hemppsychoactive hemp-cannabinoid beverages must not be issued unless:Amend the bill further, SECTION 26, by striking Section 61-4-520(3) and inserting:
(3) The applicant, within two years before the date of application, has not had revoked a beer or, a wine, or hemppsychoactive hemp-cannabinoid product permit issued to him.Amend the bill further, SECTION 26, by striking Section 61-4-520(7)(b) and inserting:
(b) An applicant for a beer or, wine, or a hemppsychoactive hemp-cannabinoid product permit and an alcoholic liquor license may use the same advertisement for both if the advertisement is approved by the department.Amend the bill further, SECTION 27, by striking Section 61-4-525(A) and inserting:
(A) A person residing in the county in which a retail beer and wine or a retail hemppsychoactive hemp-cannabinoid product permit is requested to be granted, or a person residing within five miles of the location for which a retail beer and wine or a retail hemppsychoactive hemp-cannabinoid product permit is requested, may protest the issuance or renewal of the permit if he files a written protest setting forth:(1) the name, address, and telephone number of the person filing the protest;
(2) the name of the applicant for the permit and the address of the premises sought to be licensed, or the name and address of the permit holder if the application is for renewal;
(3) the specific reasons why the application should be denied; and
(4) whether or not he wishes to attend a contested case hearing before the Administrative Law Court.
Amend the bill further, SECTION 28, Section 61-4-530, by striking the first undesignated paragraph and inserting:
In considering an application for a permit for the sale of beer or, wine, or hemppsychoactive hemp-cannabinoid beverage at a location within five miles of a political subdivision of another state in which the sale of beer or, wine, or hemppsychoactive hemp-cannabinoid beverage is prohibited, the department must, in addition to the factors required to be considered, consider the proximity of the location to the prohibited area, the likelihood that large crowds may gather from time to time with attendant breaches of the peace, the requirement of increased law enforcement officers, and any other factor which in its judgment should be considered before issuing the permit.Amend the bill further, SECTION 29, by striking Section 61-4-590(A) and (B) and inserting:
(A) The department has jurisdiction to revoke or suspend permits authorizing the sale of beer or, wine, or hemppsychoactive hemp-cannabinoid beverage. The department may, on its own initiative or on complaint signed and sworn to by two or more freeholders resident for the preceding six months in the community in which the licensed premises are located or by a local peace officer, all of whom are charged with the duty of reporting immediately to the department a violation of the provisions of Section 61-4-580, revoke or suspend the permit pursuant to the South Carolina Revenue Procedures Act. The decision of the Administrative Law Court is not automatically superseded or stayed by the filing of a petition for judicial review.(B) In addition to the notice requirements contained in the Administrative Procedures Act, the department may not suspend or revoke a licensee's permit authorizing the sale of beer or, wine, or hemppsychoactive hemp-cannabinoid beverage until the division has conducted and completed an investigation, and the department has made a departmental determination, as defined in Section 12-60-30, that the licensee's permit should be revoked or suspended.
Amend the bill further, SECTION 30, by striking Section 61-4-600 and inserting:
Section 61-4-600. Upon the revocation, cancellation, or suspension of a license or permit to sell beer or, wine, or hemppsychoactive hemp-cannabinoid beverage at wholesale or retail, the licensee must immediately surrender his license to the department. A person who violates this section is guilty of a misdemeanor and, upon conviction, must be fined not less than twenty dollars nor more than one hundred dollars or imprisoned for not less than ten days nor more than thirty days, or both, in the discretion of the court.Amend the bill further, SECTION 31, by striking Section 61-4-1100(1)(a) and inserting:
(a) to coerce, attempt to coerce, or persuade a person holding a permit to sell beer, ale, porter, hemppsychoactive hemp-cannabinoid beverage, and other similar malt or fermented beverages at wholesale (hereinafter "beer wholesaler") to enter into an agreement to take any action which would violate a provision of this article or any ruling or regulation in accordance therewith; orAmend the bill further, SECTION 32, by striking Section 61-6-20(1)(a) and (b) and inserting:
(1)(a) "Alcoholic liquors" or "alcoholic beverages" means any hemppsychoactive hemp-cannabinoid products that contain more than five milligrams and not more than ten milligrams of allowable THC concentration, spirituous malt, vinous, fermented, brewed (whether lager or rice beer), or other liquors or a compound or mixture of them, including, but not limited to, a powdered or crystalline alcohol, by whatever name called or known, which contains alcohol and is used as a beverage for human consumption, but does not include:(i) wine when manufactured or made for home consumption and which is not sold by the maker of the wine or by another person; or
(ii) a beverage declared by statute to be nonalcoholic or nonintoxicating.
(b) "Alcoholic liquor by the drink" or "alcoholic beverage by the drink" means a drink poured from a container of alcoholic liquor, excluding a hemppsychoactive hemp-cannabinoid product, without regard to the size of the container for consumption on the premises of a business licensed pursuant to Article 5 of this chapter.
Amend the bill further, SECTION 33, by striking Section 61-6-120(A) and inserting:
(A) The department shall not grant or issue any license provided for in this article, Article 5, or Article 7 of this chapter or Chapter 14 of this title, as applicable to hemppsychoactive hemp-cannabinoid products with an allowable THC concentration of more than five milligrams and up to ten milligrams, if the place of business is within three hundred feet of any church, school, or playground situated within a municipality or within five hundred feet of any church, school, or playground situated outside of a municipality. Such distance shall be computed by following the shortest route of ordinary pedestrian or vehicular travel along the public thoroughfare from the nearest point of the grounds in use as part of such church, school, or playground, which, as used herein, shall be defined as follows:(1) "church", an establishment, other than a private dwelling, where religious services are usually conducted;
(2) "school", an establishment, other than a private dwelling, where the usual processes of education are usually conducted; and
(3) "playground", a place, other than grounds at a private dwelling, which is provided by the public or members of a community for recreation.
The above restrictions do not apply to the renewal of licenses and they do not apply to new applications for locations which are licensed at the time the new application is filed with the department.
Amend the bill further, SECTION 34, by striking Section 61-6-185(A) and inserting:
(A) A person residing in the county in which a retail liquor license or retail hemppsychoactive hemp-cannabinoid product license is requested to be granted, or a person residing within five miles of the location for which a retail liquor license is requested, may protest the issuance or renewal of the license if he files a written protest providing:(1) the name, address, and telephone number of the person filing the protest;
(2) the name of the applicant for the license and the address of the premises sought to be licensed, or the name and address of the license holder if the application is for renewal;
(3) the specific reasons why the application should be denied; and
(4) whether or not he wishes to attend a contested case hearing before the Administrative Law Court.
Amend the bill further, SECTION 35, by striking Section 61-6-505(A) and inserting:
(A) A person who purchases or acquires by lease, inheritance, divorce decree, eviction, or otherwise a retail business which sells alcoholic beverages from a holder of a retail liquor license or a hemppsychoactive hemp-cannabinoid product retail license at the business, upon initiating the application process for a permanent retail liquor license, may be issued a temporary retail liquor license by the department at the time of the purchase or acquisition if the location for which the temporary license is sought is not considered by the department to be a public nuisance and:(1) the applicant currently holds a valid retail liquor license, and a retail hemppsychoactive hemp-cannabinoid product license, as applicable; or
(2) the applicant has had a criminal history background check conducted by the State Law Enforcement Division within the past thirty days.
Amend the bill further, SECTION 36, by striking Section 61-6-900 and inserting:
Section 61-6-900. In the event of a licensee's death, except in the case of a license issued to more than one person, the personal representative of the deceased licensee may, with the consent of the probate court and upon permit of the department, continue the operation of the business covered by the license. If the personal representative elects to discontinue the business or if the department does not issue a permit for its continuance, the unearned portion of the license tax, computed on the basis of the cost of the license per month for the period for which the license was issued, must be refunded to the personal representative. Alcoholic liquors, including hemppsychoactive hemp-cannabinoid product, of the deceased which are subject to the control of the personal representative may be sold by him as provided in Section 61-6-950.Amend the bill further, SECTION 38, by striking Section 61-6-4000 and inserting:
Section 61-6-4000. This article, except Section 61-6-4720, is complementary to and not in conflict with the laws providing for the lawful sale of beer, hemppsychoactive hemp-cannabinoid products, wines, and other vinous, fermented, or malt liquors.Amend the bill further, SECTION 39, by striking Section 61-14-10(1)(b)(iii) and inserting:
(iii) one hemppsychoactive hemp gelatin chewable in a liquor store.Amend the bill further, SECTION 39, by striking Section 61-14-10(4) and inserting:
(4) "Certificate of analysis" means a document issued by an independent testing laboratory, which provides information about the chemical composition of a particular batch of a hemppsychoactive hemp-cannabinoid beverage or hemppsychoactive hemp gelatin chewable.Amend the bill further, SECTION 39, by striking Section 61-14-10(8), (9), (10), (11), and (12) and inserting:
(8) "HempPsychoactive hemp-cannabinoid beverage" is a chemically intoxicating beverage subject to the exercise of the police power of the General Assembly, pursuant to Section 1, Article VIII-A of the South Carolina Constitution. "HempPsychoactive hemp-cannabinoid beverages" may not contain beer, wine, or liquor, and may not contain more than the allowable THC concentration, and must be sold:(a) as a single serving in twelve-ounce cans or bottles, or
(b) as no more than seventeen servings with a total of one hundred seventy milligrams of THC in a single 750-milliliter bottle.
(9) "HempPsychoactive hemp gelatin chewable," "chewable," or "gummy" is an edible, chewable product that contains intoxicating alcoholic liquid converted into a gelatin or a kosher gelatin alternative substance subject to the exercise of the police power of the General Assembly, pursuant to Section 1, Article VIII-A of the South Carolina Constitution. Chewables may contain no more than ten milligrams per serving of an allowable THC concentration per chewable or gummy and must be sold in containers of no more than four chewables per package, forty milligrams total THC per package. Baked goods or other food products of any kind are not chewables or gummies.
(10) "Manufacture" or "produce" means to compound, blend, extract, infuse, cook, or otherwise make or prepare hemppsychoactive hemp-cannabinoid beverages, or chewables including the process of extraction, infusion, packaging, repackaging, labeling, and relabeling of hemppsychoactive hemp-cannabinoid beverages or chewables.
(11)"Manufacturer" means a person or entity who produces hemppsychoactive hemp-cannabinoid products for consumption and not for resale, including compounding, blending, extracting, infusing, cooking, packaging, labeling, or otherwise making or preparing hemppsychoactive hemp-cannabinoid beverages.
(12) "Producer" as used in this chapter includes a manufacturer, a bottler, or importer of hemppsychoactive hemp-cannabinoid beverages or chewables, into the United States.
Amend the bill further, SECTION 39, by striking Section 61-14-10(14) and inserting:
(14) "Retailer" means a person or entity that sells hemppsychoactive hemp-cannabinoid beverages or chewables for consumption and not for resale and is a holder of a license issued under the provisions of this chapter, other than a manufacturer or wholesaler.Amend the bill further, SECTION 39, by striking Section 61-14-10(16), (17), (18), and (19) and inserting:
(16) "Safe harbor hemppsychoactive hemp product" means a hemppsychoactive 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 this state for export from this state but that is not sold or distributed in this state. To be eligible for the designation as a safe harbor hemppsychoactive hemp product, the manufacturer must have a certificate of analysis of any finished product.(17) "Safe harbor manufacturer or storage facility" means a facility that manufactures, produces, packages, processes, prepares, treats, transports, or holds a safe harbor hemppsychoactive hemp product and that:
(a) is authorized to operate in the State and maintains a valid state business license or other required state or local authorization, including under this chapter; and
(b) maintains current third-party Good Manufacturing Practices (GMP) certification for hemppsychoactive hemp products or dietary supplements issued by an independent certifying body recognized within the United States.
(18) "Safe harbor research institute or facility" means a 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 hemppsychoactive hemp-derived cannabinoids that are not permitted to be sold or distributed in this State.
(19) "Serving" means a hemppsychoactive hemp-cannabinoid beverage containing either:
(a) twelve fluid ounces in a single serving container;
(b) no more than one and one-half fluid ounces in a 750-milliliter bottle; or
(c) or a chewable containing no more than ten milligrams of an allowable THC concentration per gummy.
Amend the bill further, SECTION 39, by striking Section 61-14-10(21) and inserting:
(21) "Wholesaler" means a person who purchases, acquires, or imports from outside this State or who purchases or acquires from a manufacturer or producer in the State hemppsychoactive hemp-cannabinoid products for resale.Amend the bill further, SECTION 39, by striking Section 61-14-300(B), (C), and (D) and inserting:
(B) All hemppsychoactive hemp-cannabinoid beverages or chewables distributed into or within the State and offered for sale and sold to consumers in this State must be governed by this chapter, and where applicable Chapter 4 for hemppsychoactive hemp-cannabinoid beverages containing not more than five milligrams of an allowable THC concentration, or Chapter 6, for hemppsychoactive hemp cannabinoid products containing more than five milligrams but not more than ten milligrams of an allowable THC concentration.(C) Any hemppsychoactive hemp-cannabinoid beverages or chewables possessed, distributed, sold, or offered for sale to consumers in this State in violation of this article must be considered contraband and must be seized by law enforcement as provided for by law.
(D) The department shall administer the provisions of this chapter related to the licensing and taxation of hemppsychoactive hemp-cannabinoid beverages and chewables.
Amend the bill further, SECTION 39, by striking Section 61-14-300(F)(1), (2), (3), (4), (5), and (6) and inserting:
(1) regulations for the application and issuance of hemppsychoactive hemp-cannabinoid product licenses;(2) regulations to prevent the unlawful manufacture, bottling, packaging, sale, distribution, transportation, and importation of hemppsychoactive hemp-cannabinoid products;
(3) regulations necessary to effect an equitable distribution of hemppsychoactive hemp-cannabinoid products in this State;
(4) regulations for the analysis of hemppsychoactive hemp-cannabinoid products sold in this State and for a procedure for obtaining the samples for this purpose;
(5) regulations governing the administration and enforcement of provisions relating to producers and wholesalers of hemppsychoactive hemp-cannabinoid products; and
(6) regulations for the application for and issuance of hemppsychoactive hemp-cannabinoid product licenses and the sale, distribution, promotion, and shipment of hemppsychoactive hemp-cannabinoid products into and within this State.
Amend the bill further, SECTION 39, by striking Section 61-14-320(A) and inserting:
(A) It is unlawful for a person to knowingly sell or distribute hemppsychoactive hemp-cannabinoid products to a person who is under twenty-one years of age or to purchase hemppsychoactive hemp-cannabinoid products on behalf of a person who is under twenty-one years of age.Amend the bill further, SECTION 39, by striking Section 61-14-320(C)(1) and inserting:
(C)(1) It is unlawful for a person under the age of twenty-one to purchase, attempt to purchase, consume, or knowingly possess hemppsychoactive hemp-cannabinoid products. Possession is prima facie evidence that it was knowingly possessed. It is also unlawful for a person to falsely represent his age for the purpose of procuring hemppsychoactive hemp-cannabinoid products.Amend the bill further, SECTION 39, by striking Section 61-14-320(D) and inserting:
(D) The manufacture, production, distribution, importation, sale, or possession of a hemppsychoactive hemp-cannabinoid beverage or hemppsychoactive hemp gelatin chewable containing more than the allowable THC concentration is prohibited by law and punishable in the same manner as marijuana pursuant to Sections 44-53-190 and 44-53-370, unless otherwise deemed a safe harbor hemppsychoactive hemp product by the department.Amend the bill further, SECTION 39, by striking Section 61-14-330(A) and (B) and inserting:
(A) A person engaged in the business of selling retail hemppsychoactive hemp-cannabinoid products must post in each location that he has obtained a license, a sign with the following words printed: "The possession of hemppsychoactive hemp-cannabinoid products by a person under twenty-one years of age is a criminal offense under the laws of this State, and it also is unlawful for a person to knowingly give false information concerning his age for the purpose of possessing or acquiring hemppsychoactive hemp-cannabinoid products." The department shall proscribe by regulation the size of the lettering and the location of the sign on the seller's premises.(B) A retail seller of hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewable who fails to display the sign required by this section is guilty of a misdemeanor and, upon conviction, must be fined not more than one hundred dollars or imprisoned for not more than thirty days.
Amend the bill further, SECTION 39, by striking Section 61-14-340(A)(1) and (2) and inserting:
(1) undertake any task under the influence of hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewable when doing so would constitute negligence or professional malpractice; or(2) operate, navigate, or be in actual physical control of a motor vehicle, aircraft, motorized watercraft, or any other vehicle while under the influence of a hemppsychoactive hemp-cannabinoid beverage or hemppsychoactive hemp gelatin chewable.
Amend the bill further, SECTION 39, by striking Section 61-14-340(B) and inserting:
(B) This article does not exempt a person from prosecution for a criminal offense related to impairment or intoxication resulting from the use of hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewable or relieve a person from any requirement under the law to submit to a breath, blood, urine, oral swab, or other test to detect the presence of a controlled substance.Amend the bill further, SECTION 39, by striking Section 61-14-350 and inserting:
Section 61-14-350. It is unlawful for a person to have in his possession, except in the trunk or luggage compartment, a hemppsychoactive hemp-cannabinoid product in an open container in a motor vehicle of any kind while located upon the public highways or highway rights-of-way of this State. This section must not be construed to prohibit the transporting of hemppsychoactive hemp-cannabinoid products in a closed container in the trunk or luggage compartment, and this section does not apply to vehicles parked in legal parking places during functions such as sporting events where law enforcement officers are on duty to perform traffic control duties. A person who violates the provisions of this section is guilty of a misdemeanor and, upon conviction, must be fined not more than one hundred dollars or imprisoned for not more than thirty days.Amend the bill further, SECTION 39, by striking Section 61-14-360(A)(1) and (2) and inserting:
(1)it is unlawful to sell hemppsychoactive hemp-cannabinoid beverages in bottles or hemppsychoactive hemp gelatin chewables from liquor stores on Sundays, on Christmas Day, or during periods proclaimed by the Governor in the interest of law and order or public morals and decorum. Full authority to proclaim these periods is conferred upon the Governor in addition to all other powers conferred upon the Governor.(2)it is unlawful for a retailer to deliver hemppsychoactive hemp-cannabinoid products directly to a person's residence.
Amend the bill further, SECTION 39, by striking Section 61-14-360(B) and inserting:
(B) A permit authorized by this section to sell on Sundays in retail stores hemppsychoactive hemp-cannabinoid beverages with an allowable THC concentration of five milligrams or less, may be issued only in those counties or municipalities where a majority of the qualified electors voting in a referendum vote in favor of the issuance of the permit for retail sales of hemppsychoactive hemp-cannabinoid beverages. The county or municipal election commission, as the case may be, shall conduct a referendum upon petition of at least ten percent but not more than seven thousand five hundred qualified electors of the county or municipality, as the case may be. The petition form must be submitted to the election commission not less than one hundred twenty days before the date of the referendum. The names on the petition must be on the petition form provided to county election officials by the State Election Commission. The names on the petition must be certified by the election commission within sixty days after receiving the petition form. The referendum must be conducted at the next general election. The election commission shall cause a notice to be published in a newspaper circulated in the county or municipality, as the case may be, at least seven days before the referendum. The state election laws shall apply to the referendum, mutatis mutandis. The election commission shall publish the results of the referendum and certify them to the South Carolina Department of Revenue.Amend the bill further, SECTION 39, by striking Section 61-14-500(A), (B), and (C) and inserting:
(A) A hemppsychoactive hemp-cannabinoid beverage or hemppsychoactive hemp gelatin chewable may not be distributed into or within the State or offered for sale or sold at retail within the State, unless the product:(1) has a corresponding certificate of analysis as described in Section 61-14-520, issued by an independent testing laboratory that tests the batch from which the hemppsychoactive hemp-cannabinoid beverage or hemppsychoactive hemp gelatin chewable was produced;
(2) is in the original sealed container as packaged by the producer and meets the packaging restrictions in Section 61-14-530;
(3) meets the serving size and product content requirements, including total THC, described in this chapter; and
(4) meets the labeling requirements described in Section 61-14-540.
(B) Every manufacturer, producer, importer, and distributor shall maintain and make immediately available for inspection to any law enforcement officer or authorized agent of the department a copy of the certificate of analysis of each hemppsychoactive hemp-cannabinoid beverage or hemppsychoactive hemp gelatin chewable being distributed by a distributor or offered for sale by a retailer.
(C) Any person, including any servant, agent, or employee of the person who distributes, sells, or offers for sale any hemppsychoactive hemp-cannabinoid beverage or hemppsychoactive hemp gelatin chewable in violation of this section is subject to the following penalties:
(1) for a first offense within a three-year period, is guilty of a misdemeanor and, upon conviction, must be imprisoned not more than two years, or fined not more than five thousand dollars, or both;
(2) for a second offense within a three-year period, is guilty of a felony and, upon conviction, must be imprisoned not more than five years or fined not more than ten thousand dollars, or both; and
(3) for a third or subsequent offense within a three-year period, is guilty of a felony and, upon conviction, must be imprisoned not more than five years or fined not more than ten thousand dollars, or both. A third offense within a three-year period subjects the licensee of the retailer to revocation by the department of all licenses under Title 61.
Amend the bill further, SECTION 39, by striking Section 61-14-510(3) and inserting:
(3) having no direct or indirect interest in the facility that cultivates, processes, distributes, or sells hemppsychoactive hemp-cannabinoid beverages in this State or in another jurisdiction.Amend the bill further, SECTION 39, by striking Section 61-14-520(A) and inserting:
(A) The protocols for testing a hemppsychoactive hemp-cannabinoid beverage or a hemppsychoactive hemp gelatin chewable by an independent testing laboratory must include the following, as well as a determination of corresponding tolerance limits:(1) a cannabinoid profile of content and potency including, but not limited to, all the following:
(a) total THC (THC+THCA);
(b) total CBD (CBD+CBDA);
(c) other detectable cannabinoids; and
(d) total THC/CBD ratio; if applicable;
(2) terpene profiles;
(3) heavy metals including, but not limited to, arsenic, cadmium, mercury, and lead;
(4) chemical contamination, such as residual solvents remaining after extraction, and concentration;
(5) microbials including, but not limited to, pathogenic microbials such as E. coli, salmonella, and mold;
(6) mycotoxins; and
(7) residual insecticides, fungicides, herbicides, and growth regulators used during cultivation.
Amend the bill further, SECTION 39, by striking Section 61-14-520(C) and inserting:
(C) The manufacturer must include a scannable barcode or quick response code linked to the certificate of analysis on the label on the hemppsychoactive hemp-cannabinoid beverage or hemppsychoactive hemp gelatin chewable container.Amend the bill further, SECTION 39, by striking Section 61-14-530(A) and (B) and inserting:
(A) Packaging of hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewables:(1) may not bear the likeness or contain cartoon-like characteristics of real or fictional persons, animals, or fruits that appeal to children;
(2) may not be modeled after a brand or products primarily consumed by or marketed to children;
(3) may not include a statement, artwork, or design that could reasonably appeal to children or mislead an individual to believe that the package contains anything other than a hemppsychoactive hemp-cannabinoid beverage or hemppsychoactive hemp gelatin chewable, as applicable;
(4) may not be packaged in any way that violates federal trademark or copyright laws, and
(5) for the purposes of hemppsychoactive hemp gelatin chewable packaging must be child resistant.
(B) A person who knowingly sells, holds for sale, or distributes a hemppsychoactive hemp-cannabinoid beverage or hemppsychoactive hemp gelatin chewable that violates subsection (A):
(1) for a first offense within a three-year period, is guilty of a misdemeanor and, upon conviction, must be imprisoned not more than two years, or fined not more than five thousand dollars, or both;
(2) for a second offense within a three-year period, is guilty of a felony and, upon conviction, must be imprisoned not more than five years or fined not more than ten thousand dollars, or both; and
(3) for a third or subsequent offense within a three-year period, is guilty of a felony and, upon conviction, must be imprisoned not more than five years or fined not more than ten thousand dollars, or both. A third offense within a three-year period subjects the licensee of the retailer to revocation by the department of all licenses under Title 61.
Amend the bill further, SECTION 39, Section 61-14-540, by striking the first undesignated paragraph and inserting:
Each container of a hemppsychoactive hemp-cannabinoid beverage and hemppsychoactive hemp gelatin chewable must be labeled to include, at a minimum:Amend the bill further, SECTION 39, by striking Section 61-14-540(9)(a) and inserting:
(a) hemppsychoactive hemp-cannabinoid beverage and hemppsychoactive hemp gelatin chewable consumption while pregnant or breastfeeding may be harmful;Amend the bill further, SECTION 39, by striking Section 61-14-540(9)(f) and inserting:
(f) hemppsychoactive hemp-cannabinoid beverages and hemppsychoactive hemp gelatin chewables are not approved for any medical use by the United States Food and Drug Administration;Amend the bill further, SECTION 39, by striking Section 61-14-700(A)(1) and (2) and inserting:
(1) A manufacturer, wholesaler, or retailer of hemppsychoactive hemp-cannabinoid beverages, hemppsychoactive hemp gelatin chewables, or safe harbor hemppsychoactive hemp products must be in possession of a valid, applicable hemppsychoactive hemp-cannabinoid product license issued by the department that has sole and exclusive power to issue hemppsychoactive hemp-cannabinoid product licenses.(2) A wholesaler or retailer of hemppsychoactive hemp-cannabinoid products must be in possession of a valid applicable beer and wine or liquor license issued by the department.
Amend the bill further, SECTION 39, by striking Section 61-14-700(B)(1), (2), and (3) and inserting:
(1) hemppsychoactive hemp-cannabinoid product manufacturer's license, which authorizes the licensee to manufacture:(a) hemppsychoactive hemp-cannabinoid beverages and hemppsychoactive hemp gelatin chewables and to sell, deliver, or ship hemppsychoactive hemp-cannabinoid beverages and hemppsychoactive hemp gelatin chewables in accordance with regulations in bottles or cans or containers to a person in this State who has a wholesaler's license issued pursuant to this article and in bottle or cans or containers to person outside this State; or
(b) manufacture safe harbor hemppsychoactive hemp products and to sell, deliver, or ship safe harbor hemppsychoactive hemp products in accordance with this chapter;
However, the manufacturer may not deliver or ship a product into another state whose laws prohibit the consignee from receiving or selling that specific product.
(2) hemppsychoactive hemp-cannabinoid product wholesaler's license, which authorizes the licensee to purchase, store, keep, possess, import into this State, transport, sell, and deliver hemppsychoactive hemp-cannabinoid beverages in bottles or cans and hemppsychoactive hemp gelatin chewables in accordance with regulations to a person having a manufacturer's or retail license issued pursuant to this article; and
(3) hemppsychoactive hemp-cannabinoid product retail license, which authorizes the licensees to purchase hemppsychoactive hemp-cannabinoid beverages and hemppsychoactive hemp gelatin chewables from wholesalers having licenses issued pursuant to this article, and to store, keep, possess, and sell hemppsychoactive hemp-cannabinoid product at retail, and which excludes sales of hemppsychoactive hemp-cannabinoid product for on-premise consumption.
Amend the bill further, SECTION 39, by striking Section 61-14-700(C) and inserting:
(C) The department is authorized to issue, suspend, revoke, renew, or decline to renew hemppsychoactive hemp-cannabinoid product licenses pursuant to Article 3, Chapter 6, Title 61, Sections 61-2-90 through 140, and Section 61-2-260 or to revoke or decline to renew any licenses under Title 61 for violations of this chapter, or both.Amend the bill further, SECTION 39, by striking Section 61-14-710(A) and inserting:
(A) A manufacturer of hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewables or a person who imports these beverages produced outside the United States may not sell, barter, exchange, transfer, or deliver for resale hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewables unless the person holds a valid hemppsychoactive hemp-cannabinoid product wholesaler's license, and a holder of a hemppsychoactive hemp-cannabinoid product wholesaler's license may not sell, barter, exchange, transfer, or deliver for resale hemppsychoactive hemp-cannabinoid products to a person who does not have a hemppsychoactive hemp-cannabinoid product manufacturer's, or retailer's license.Amend the bill further, SECTION 39, by striking Section 61-14-710(B)(1) and (2) and inserting:
(B) (1) Manufacturers of hemppsychoactive hemp-cannabinoid beverages containing up to five milligrams of an allowable THC concentration are subject to Chapter 4, Title 61 in the same manner and to the same extent as those provisions apply to manufacturers of beer or wine.(2) Manufacturers of hemppsychoactive hemp-cannabinoid beverages containing more than five milligrams but not more than ten milligrams of an allowable THC concentration or hemppsychoactive hemp gelatin chewables containing not more than ten milligrams of an allowable THC concentration are subject to Chapter 6, Title 61 in the same manner and to the same extent as those provisions apply to manufacturers of alcoholic liquor.
Amend the bill further, SECTION 39, by striking Section 61-14-710(C)(1), (2), and (3) and inserting:
(C)(1) Wholesalers of hemppsychoactive hemp-cannabinoid beverages containing up to five milligrams of an allowable THC concentration are subject to Chapter 4, Title 61 in the same manner and to the same extent those provisions apply to wholesalers of beer and wine.(2) Wholesalers of hemppsychoactive hemp-cannabinoid beverages containing more than five milligrams but not more than ten milligrams of an allowable THC concentration or hemppsychoactive hemp gelatin chewables containing not more than ten milligrams of an allowable THC concentration are subject to Chapter 6, Title 61 in the same manner and to the same extent those provisions apply to wholesalers of alcoholic liquor.
(3) Wholesalers of hemppsychoactive hemp-cannabinoid products must also maintain a wholesaler license issued under Chapter 4 or Chapter 6, Title 61.
Amend the bill further, SECTION 39, by striking Section 61-14-710(D)(1), (2), and (3) and inserting:
(D)(1) Retailers of hemppsychoactive hemp-cannabinoid beverages containing up to five milligrams of an allowable THC concentration are subject to Chapter 4, Title 61 in the same manner and to the extent those provisions apply to beer and wine.(2) Retailers of hemppsychoactive hemp-cannabinoid beverages more than five milligrams but not more than ten milligrams of an allowable THC concentration or hemppsychoactive hemp gelatin chewables containing not more than ten milligrams are subject to Chapter 6 of Title 61, in the same manner and to the same extent those provisions apply to alcoholic liquor.
(3) Retailers of hemppsychoactive hemp-cannabinoid products must also maintain a retail license for beer and wine or alcoholic liquor to be eligible for a hemppsychoactive hemp-cannabinoid product retailer's license in addition to any additional requirements required by the department.
Amend the bill further, SECTION 39, by striking Section 61-14-720(A) and inserting:
(A) The biennial license taxes on hemppsychoactive hemp-cannabinoid product licenses granted pursuant to this article in addition to all other licenses taxes are as follows:(1) manufacturer's license: fifty thousand dollars;
(2) wholesaler's license: twenty thousand dollars;
(3) retail license: one thousand two hundred dollars.
Amend the bill further, SECTION 39, by striking Section 61-14-730(B) and (C) and inserting:
(B) In addition to all other taxes levied, assessed, collected, and paid in with respect to hemppsychoactive hemp-cannabinoid beverages and hemppsychoactive hemp gelatin chewables, every licensed wholesaler shall be subject to the payment of a tax of six-tenths cent per ounce or fractional quantity thereof on sales of each hemppsychoactive hemp-cannabinoid beverage sold and containing five milligrams or less of an allowable THC concentration.(C) In addition to all other taxes levied, assessed, collected, and paid in with respect to hemppsychoactive hemp-cannabinoid beverages and hemppsychoactive hemp gelatin chewables, every licensed wholesaler shall be subject to the payment of a tax of one hundred two thousandths cent per ounce or fractional quantity thereof on each hemppsychoactive hemp-cannabinoid beverage sold and containing more than five milligrams but not more than ten milligrams and hemppsychoactive hemp gelatin chewables sold and containing not more than ten milligrams of an allowable THC concentration.
Amend the bill further, SECTION 39, by striking Section 61-14-740 and inserting:
Section 61-14-740. The tax prescribed in this article must be paid by requiring each wholesaler to make a report to the department, in the form the department prescribes, of all hemppsychoactive hemp-cannabinoid beverages and all hemppsychoactive hemp gelatin chewables sold or disposed of within this State by the wholesaler and to pay the tax due thereon not later than the twentieth of the month following the sale of the hemppsychoactive hemp-cannabinoid beverages and hemppsychoactive hemp gelatin chewables. Any wholesaler who fails to file the report or to pay the tax as prescribed in this section must pay a penalty of one quarter of one percent of the amount of the tax due and unpaid or unreported for each day the tax remains unpaid or unreported. The penalty must be assessed and collected by the department in the manner as other taxes are assessed and collected. The department may grant any wholesaler extensions of time for filing the reports and paying the taxes prescribed in this article and no penalties may be assessed or collected to the extent that the extensions of time are granted.Amend the bill further, SECTION 39, by striking Section 61-14-750(A) and (B) and inserting:
(A) For hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewables containing five milligrams or less of an allowable THC concentration, and under the reporting method of tax payment on such sales of hemppsychoactive hemp-cannabinoid beverages as prescribed in Section 61-14-730, the department shall allow a discount of two percent to the wholesaler on the amount of tax reported on each monthly report.(B) For hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewables containing more than five milligrams of an allowable THC concentration, and under the reporting method of tax payment on such sales of hemppsychoactive hemp-cannabinoid beverages as prescribed in Section 61-14-730, the department shall allow a discount of one percent to the wholesaler on the amount of tax reported on each monthly report.
Amend the bill further, SECTION 39, by striking Section 61-14-760 and inserting:
Section 61-14-760. Every person, firm, corporation, club, or association, or any organization or individual within this State, importing, receiving, or acquiring from without the State or from any other sources whatever, hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewables as defined in this chapter on which the tax imposed by this chapter has not been paid, for use or consumption within the State, shall be subject to the payment of a license tax at the same rates provided in Sections 61-14-730 and 61-14-740.Amend the bill further, SECTION 39, by striking Section 61-14-780 and inserting:
Section 61-14-780. The department or any agent or representative designated by it for that purpose and all peace officers or police officers of the State may enter upon the premises of any person selling or offering for sale any hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewables without a warrant and examine or cause to be examined any books, records, papers, memoranda or commodities and secure any other information directly or indirectly pertaining to the enforcement of this article.Amend the bill further, SECTION 39, by striking Section 61-14-790(B) and inserting:
(B) The hemppsychoactive hemp-cannabinoid beverages and hemppsychoactive hemp gelatin chewables taxes and license fees provided for by this article must be paid to and collected by the department and deposited to the credit of the general fund of the State, unless otherwise specified by this article.Amend the bill further, SECTION 39, by striking Section 61-14-800(A), (B), and (C) and inserting:
(A) It is unlawful for a person to sell or permit to be sold hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewables authorized to be sold under this chapter on which taxes levied have not been paid.(1) For a first violation of this section, a person is guilty of a misdemeanor and, upon conviction, must be fined not less than twenty dollars nor more than one hundred dollars or imprisoned for not less than ten days nor more than thirty days, in the discretion of the court.
(2) For a second offense of this section, a person is guilty of a misdemeanor and, upon conviction, must be fined not more than two hundred dollars, imprisoned not more than thirty days, or both.
(3) For a third or subsequent offense of this section, a person is guilty of a felony and, upon conviction, must be fined not less than five hundred dollars nor more than one thousand dollars, imprisoned for not less than thirty days nor more than sixty days, or both.
(B) It is unlawful for a person who does not hold a license pursuant to this chapter to sell or permit to be sold hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewables. A person who violates this subsection is guilty of a felony and, upon conviction, must be fined not less than one thousand dollars nor more than two-thousand five hundred dollars or imprisoned for not less than thirty days nor more than sixty days, or both, and is prohibited from being a licensee under any chapter of Title 61.
(C) Each hemppsychoactive hemp-cannabinoid beverage or hemppsychoactive hemp gelatin chewable sold on which taxes levied have not been paid is a separate offense.
Amend the bill further, SECTION 39, by striking Section 61-14-900(A), (B), (C), (D), and (E) and inserting:
(A) A manufacturer, producer, distributor, wholesaler, and retailer must abide by the regulations of practices between each other, as established in Section 61-4-735 and Section 61-4-940, as applied to hemppsychoactive hemp-cannabinoid products.(B) Except as provided in subsection (C), a manufacturer, producer, or wholesaler of hemppsychoactive hemp-cannabinoid products, or a person acting on his behalf, must not give, furnish, rent, lend, or sell, directly or indirectly, to the holder of a hemppsychoactive hemp-cannabinoid product retail license any equipment, fixtures, free hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewables, or service. The holder of a hemppsychoactive hemp-cannabinoid product retail license or a person acting on his behalf may not accept, directly or indirectly, any equipment, fixtures, free hemppsychoactive hemp-cannabinoid beverages or hemppsychoactive hemp gelatin chewables , or service referred to in this subsection from a manufacturer, producer, or wholesaler of hemppsychoactive hemp-cannabinoid products, except as provided in subsection (C).
(C) A wholesaler may furnish at no charge to the holder of a hemppsychoactive hemp-cannabinoid product retail license point of sale advertising specialties and product displays as provided under 27 Code of Federal Regulations, Section 6.83, excluding electronic refrigeration equipment. A wholesaler also may furnish the following services to a retailer: setting boxes, rotating stock, affixing price tags to products, and building displays.
(D) Producers, manufacturers, and importers of hemppsychoactive hemp-cannabinoid products are declared to be in business on one tier, a wholesaler on another tier, and a retailer on another tier. For the purposes of this section, a manufacturer or producer of hemppsychoactive hemp-cannabinoid products is declared to be a tier one business, a wholesaler or importer owned solely by a wholesaler is declared to be a tier two business, and a retailer is declared to be a tier three business. A person or entity in the hemppsychoactive hemp-cannabinoid product business on one tier or a person acting directly or indirectly on his behalf may not have ownership or financial interest in a hemppsychoactive hemp-cannabinoid product business operated on another tier. For purposes of this subsection, ownership or financial interest does not include the ownership of less than one percent of the stock in a corporation with a class of voting shares registered with the Securities and Exchange Commission or other federal agency under Section 12 of the Securities and Exchange Act of 1934, as amended, or a consulting agreement under which the consultant has no control over business decisions and whose compensation is unrelated to the profits of the business.
(E) A manufacturer, producer, importer, or wholesaler of hemppsychoactive hemp-cannabinoid products may discount product price based on quantity purchases if all discounts are on price only, appear on the sales records, and are available to all retail customers.
Amend the bill further, SECTION 39, by striking Section 61-14-920 and inserting:
Section 61-14-920. HempPsychoactive hemp-cannabinoid beverages in a 750-milliliter bottle, a single serving can or bottle containing more than five milligrams but not more than ten milligrams of an allowable THC concentration, or a hemppsychoactive hemp gelatin chewable as permitted by this chapter must be sold only in licensed alcoholic liquor stores.Amend the bill further, by striking SECTION 40, and inserting:
SECTION 40. If the federal government exercises its right to regulate hemppsychoactive hemp-cannabinoid products through prohibition or regulation, then the allowable THC concentration shall be the lesser of either the federally defined THC level for hemppsychoactive hemp-cannabinoid products or delta-9 tetrahydrocannabinol that is not more than three-tenths of one percent on a dry weight basis or not more than ten milligrams.If the federal government exercises its right to regulate hemppsychoactive hemp-cannabinoid products through prohibition or regulation of the types of allowable products then a hemppsychoactive hemp-cannabinoid product for purposes of this act shall include the more restrictive list of products.
Amend the bill further, by striking SECTION 41 and inserting:
SECTION 41. Pre-existing stock, purchased prior to the effective date of this act, may be sold through November 12, 2026, provided a certificate of analysis is available and sales are prohibited to anyone under the age of twenty-one. Current retailers, wholesalers, and manufacturers of hemppsychoactive hemp-cannabinoid products must have applied to the department for the applicable hemppsychoactive hemp-cannabinoid license, and met all other licensing requirements of Chapter 4, Chapter 6, and Chapter 14 of Title 61 by November 12, 2026, to continue sales and production. If a retailer, wholesaler, or manufacturer of hemppsychoactive hemp-cannabinoid products cannot show proof of an active application with the department by November 12, 2026, they must cease all sales and production. All enforcement shall be stayed until after the final adjudication of an applicable application.Amend the bill further, SECTION 42, by striking Section 61-6-1500(E) and inserting:
(E) It is unlawful for a retail dealer to sell hemppsychoactive hemp-cannabinoid products for delivery directly to a customer's residence.Amend the bill further, SECTION 44, by striking Section 23-23-65(A) and inserting:
(A) A law enforcement officer who is Class 1-LE certified in this State is required to complete Continuing Law Enforcement Education Credits (CLEEC) in drug impairment recognition each year of a three-year recertification period. The number of required annual CLEEC hours in drug impairment recognition shall be determined by the council but must be included in the forty CLEEC hours required over the three-year recertification period. The training must be provided or approved by the academy and must include, but is not limited to, curriculum in recognizing impairment caused by hemppsychoactive hemp-cannabinoid products.Amend the bill further, SECTION 47, by striking Section 61-14-15(A) and inserting:
(A) It is unlawful for a licensee of a retail establishment or a liquor store not to maintain any hemppsychoactive hemp-cannabinoid product behind the counter of a retail establishment or a liquor store in an area inaccessible to the customer.Amend the bill further, SECTION 47, by striking Section 61-14-15(C)(1) and inserting:
(C)(1) It is unlawful for a person under the age of twenty-one to purchase, attempt to purchase, consume, or knowingly possess hemppsychoactive hemp-cannabinoid products. Possession is prima facie evidence that it was knowingly possessed. It is also unlawful for a person to falsely represent his age for the purpose of procuring hemppsychoactive hemp-cannabinoid products.Amend the bill further, by striking SECTION 49 and inserting:
SECTION 49. If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act is for any reason held to be unconstitutional or invalid, such holding shall not affect the constitutionality or validity of the remaining portions of this act, the General Assembly hereby declaring that it would have passed this act, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective. Additionally, if the prohibition and enforcement of hemppsychoactive hemp-cannabinoid product distribution and sales to individuals under the age of twenty-one is for any reason held to be unconstitutional or invalid, the General Assembly hereby declares that it would have passed this act with a prohibition and enforcement of hemppsychoactive hemp-cannabinoid product distribution and sales to individuals under the age of eighteen.Amend the bill further, by striking SECTION 50,and inserting:
SECTION 50.The prohibition and enforcement of hemppsychoactive hemp-cannabinoid product distribution and sales to individuals under the age of twenty-one are effective upon the signature of the Governor, unless there is a final adjudication to the constitutionality of the prohibition and enforcement of hemppsychoactive hemp-cannabinoid product distribution and sales to individuals under the age of twenty-one, then this act shall have the effect of prohibiting and enforcing hemppsychoactive hemp-cannabinoid products distribution and sales to individuals under the age of eighteen, and the remaining provisions of this act take effective sixty days after approval by the Governor.Renumber sections to conform.
Amend title to conform.