USDA Releases Groundbreaking Interim Hemp Regulations

On October 29, 2019, the United States Department of Agriculture (“USDA”) issued an Interim Final Rule for implementing Agriculture Improvement Act of 2018’s (“Farm Bill”) hemp-related provisions industry including:

           - providing a 60-day public comment period (until December 30) and a final regulation within two years;

           - establishing producer licensing requirements through USDA or respective state plans, addressing licensing requirements, criminal background history, negligent versus intentional violations, information sharing and disposal among;

           - apprising that USDA will establish sampling and testing protocols; and

           - mandating testing procedures utilizing total THC, the test results of which shall provide a “measurement of uncertainty” (or margin of error).

The Interim Final Rule provides interim guidance (subject to USDA promulgating final regulations within 2 years) and notes that USDA does not currently address: (i) a seed certification program; (ii) hemp’s import and export; or (iii) further guidance concerning import of viable hempseeds.

As of October 31, states can submit proposed regulations for USDA consideration within 60 days of submission, which will provide greater universality in regulation across the country for the 2020 planting season and beyond. To allow state plans to be fully evaluated by USDA, the 2014 Farm Bill remains intact until late 2020.