Wisconsin Hemp Research Program - Grower and Processor Licensing and Regulations

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Wisconsin Hemp Research Program - Grower and Processor Licensing and Regulations
Wisconsin Hemp
           Research Program

             Grower and Processor Licensing and Regulations
Wisconsin’s hemp research program is permitted under federal (2014 and 2018 Farm Bills) and state (Wis.
Stat. § 94.55) law and will expire on December 31, 2021. Below are answers to frequently asked questions
about the research program covering the remainder of 2021. Nothing is changing for Wisconsin hemp
licensees during the 2021 growing season. Growers will continue to work with the Wisconsin Department of
Agriculture, Trade and Consumer Protection (DATCP) on all harvest notifications, sample collection, and
testing. This information is a guide. If you have questions, contact DATCP by phone (844) 449-4367 (toll-free)
or email datcpindustrialhemp@wi.gov. Information is also available at https://hemp.wi.gov.

General
1. What is hemp?                                                     4. How do I legally grow or process hemp in
Under federal (2014 and 2018 Farm Bills) and state                      Wisconsin?
(Wis. Stat. § 94.55) law, industrial hemp is defined as              You must have a license and annual registration
the plant with the Latin species name cannabis sativa                issued by DATCP before you can grow or process
L., with a delta-9 THC concentration of 0.3 percent or               hemp. To get a license application, visit
less in all parts of the plant when it has been dried.               https://datcp.wi.gov/Pages/Programs_Services/IHLic
                                                                     RegFee.aspx.
The 2018 Farm Bill and 2019 Wis. Act 68 removed
the word “industrial” and now defines hemp as the                    Licensing and Registration
plant cannabis sativa L. and any part of that plant,                 5. Will my existing program license expire on
including the seeds thereof and all derivatives,                     December 31, 2021?
extracts, cannabinoids, isomers, acids, salts, and                   Yes. When the research program expires on
salts of isomers, whether growing or not, with a delta-              December 31, 2021, the grower and processor
9 THC concentration of not more than 0.3 percent on                  licenses issued under the research program also
a dry weight basis.                                                  expire. To learn more about the transition to a
                                                                     permanent program, visit
2. What is THC?                                                      https://datcp.wi.gov/Pages/Programs_Services/He
THC stands for delta-9 tetrahydrocannabinol, or total                mpTransition.aspx.
delta-9 THC. Delta-9 THC is the primary
psychoactive component of cannabis. Delta-9 THC                      6. What is a grower license?
and THC are interchangeable. Total THC includes                      To grow hemp you need a grower license and
THC-A. THC-A converts to delta-9 THC when heat is                    annual registration from DATCP. The license and
applied.                                                             registration are required if you are growing hemp
                                                                     starter plants, hemp micro-greens, or any hemp
3. How is hemp grown?                                                that may be grown for personal use.
The University of Wisconsin-Madison, Division of
Extension provides education and resources for                       Under state (Wis. Admin. Code § ATCP 22.03(1))
growing hemp at                                                      law, the grower license allows a person to plant,
https://fyi.extension.wisc.edu/hemp/.                                possess, cultivate, grow, and harvest hemp. Also,

Wisconsin Department of Agriculture, Trade and Consumer Protection                                             Page 1 of 7
Wisconsin Hemp Research Program - Grower and Processor Licensing and Regulations
the grower license allows a person to store, handle,                 share. This is the only publicly available hemp
and convert into a marketable form the hemp                          grower or processor information.
cultivated, grown, and harvested under their grower
license.                                                             13. How long does my license under the hemp
                                                                     research program last?
7. What is a processor license?                                      Licenses and registrations will expire on December
To process hemp from a licensed grower, you need                     31, 2021.
a processor license and annual registration from
DATCP.                                                               14. When can I apply for a license and
                                                                     registration?
You do not need a processor license and                              For the 2021 growing season, the licensing
registration if you only process hemp that you grew.                 application period opened on November 1, 2020.
                                                                     New licensees can apply any time.
8. What is hemp processing?
Under state (Wis. Admin. Code § ATCP 22.03(3))                       15. What do the licensing and registration fees
law, the processor license allows a person to store,                 cover?
handle, and convert hemp into a marketable form.                     Fees cover the cost of implementing the program,
                                                                     including administration, sampling, and testing.
Depending on what you do with the hemp, you may
need additional licenses and/or certificates, or have                16. Who is a license contact?
to meet other requirements. Information about other                  This is when a licensee designates a contact
licenses or certificates you may need is available at                person(s) for the hemp license holder. Due to
https://datcp.wi.gov/Documents/HempRegulatoryR                       confidentiality, DATCP can only provide license
esources.pdf.                                                        information to someone who is the license holder,
                                                                     operations manager, or license contact. If you are
9. How do I apply for a license?                                     the licensee or operations manager, and need to
Fill out an application and submit it with your                      add or remove a person as a license contact,
licensing fee payment to DATCP. Applications and                     contact DATCP.
current fee information is available at
                                                                     17. Who is the operations manager?
https://datcp.wi.gov/Pages/Programs_Services/IHLi
                                                                     If you apply for a hemp license as a business, the
cRegFee.aspx.
                                                                     operations manager is the person who the
                                                                     background check is performed on, and who is
10. Do I have to be a Wisconsin resident to get a
                                                                     legally responsible for the hemp operations. If your
license?
                                                                     licensed business needs to change their operations
No, but the land where you grow hemp or the
                                                                     manager, contact DATCP.
location where you process must be in Wisconsin.
                                                                     18. What type of convictions disqualify me in
11. Can I grow or process hemp under someone
                                                                     the background check?
else’s license and registration?
                                                                     An applicant or an operations manager may not
No. The person who is doing the growing or
                                                                     have a conviction within the last ten years for a
processing of hemp needs to be the license holder
                                                                     felony violation of the Federal Controlled
and is the person who signed the research
                                                                     Substances Act under 21 USC 801 to 971, Wis.
agreement.
                                                                     Stat. ch. 961, or any controlled substances law of
12. Can I have a list of licensed hemp growers                       another state. If you are unsure if your conviction
and processors?                                                      violates this standard, consult with a legal
State law (Wis. Stat. § 94.55(2)(b)5.b) allows                       professional.
DATCP to ask for a licensee’s consent to share
some information. See the Hemp Research                              19. What is the research agreement and why is
Program website at                                                   it required?
https://datcp.wi.gov/Pages/Programs_Services/He                      The 2014 Farm Bill allowed universities and state
mp.aspx for the most recent list of the license                      departments of agriculture to conduct hemp
information that licensees have consented to                         research programs. The research agreements
                                                                     extend the research program to individual growers

Wisconsin Department of Agriculture, Trade and Consumer Protection                                              Page 2 of 7
and processors, allowing them to do applied                          licenses or certificates from different regulatory
research throughout Wisconsin under a variety of                     programs at either DATCP or another agency.
growing conditions. You must sign and date the                       More information about other possible licenses you
research agreement as part of the application                        may need is available in a separate handout at
process for the annual registration.                                 https://datcp.wi.gov/Documents/HempRegulatoryR
                                                                     esources.pdf.
20. What is the research plan or research
summary?                                                             Licensee Reporting
This is a research program, so applicants must                       23. What is a variety approval form?
include a research plan to qualify for a license.                    A variety approval form notifies DATCP about the
Research topics may include planting, harvesting,                    variety(ies) you intend to plant this year and, on the
and processing techniques; seed varieties; nutrient                  same form, requests approval to plant any
requirements; markets; storage; non-chemical pest                    variety(ies) that are not already approved by
and weed control; or other topics that participants                  DATCP.
choose. A concise research plan may be submitted
on the forms provided by DATCP, or you can attach                    Licensed growers with a current annual registration
a more detailed plan.                                                are required (Wis. Admin Code § ATCP 22.07) to
                                                                     notify DATCP in writing of the variety of hemp you
21. How can I keep my license in good                                intend to plant at least 30 days before planting, and
standing?                                                            to receive approval from DATCP for any variety that
For growers:                                                         is not already approved.
• Submit your variety approval form(s) accurately
    and on time for each variety you intend to plant                 Instructions for submitting this form are on
• Plant an approved variety                                          the reporting and recordkeeping webpage.
• Submit your planting report(s) accurately and
    on time                                                          The variety approval form collects:
• Submit your 30-day harvest notification(s)                             • The name of the variety
    accurately and on time                                               • The name of the source of your planting
• Sign and complete all forms that are requested                             material
    and provide requested documentation                                  • The address of the source of your planting
• Respond timely to failed sample result                                     material
    notifications and choose one of the allowed                          • The license number of your planting
    options to rectify non-compliant hemp lots                               material
• Destroy any non-compliant hemp lot if a retest,                        • The type of planting material (e.g. seeds,
    resample, or remediation option is not available                         clones, seedlings)
    or not selected                                                      • If your variety is from a lot of Wisconsin
• Keep license contacts and properties                                       Crop Improvement Association (WCIA)
    associated with the license current to prevent                           seed
    delays in communication and unwanted                                 • If your variety is already approved because
    miscommunications                                                        it is on one of the following lists, then only
                                                                             the form needs to be completed and no
For both growers and processors:                                             additional documentation is needed at this
• Keep required records and pay the required                                 time but should be available upon request:
   fees. See Wis. Admin. Code § ATCP 22.05 for                              o The current Health Canada list of
    requirements. Submit the appropriate final                                    approved varieties
    report accurately and on time                                           o The Organization for Economic
• Follow all applicable state, federal, and local                                 Cooperation and Development
    laws.                                                                         (OECD) list of varieties eligible for seed
                                                                                  certification: crucifers and other oil or
22. What other licenses do I need for growing or                                  fibre species (keyword search:
processing hemp?                                                                  cannabis)
Depending on what you are doing with the hemp                               o The DATCP approved varieties list is
you grow or process, you may need additional                                      the list of varieties of hemp approved for

Wisconsin Department of Agriculture, Trade and Consumer Protection                                                Page 3 of 7
planting in the Hemp Research                              •   Number of acres or greenhouse square
             Program.                                                       footage planted at each lot
    •    The name and DATCP location number of                          •   A statement that no planting has occurred if
         your registered growing location where you                         the grower has not planted, grown, or
         intend to plant your variety                                       cultivated hemp
    •    The name of the regulator, state, or
         organization that issued the documentation                  25. What is a 30-day harvest notification?
         you are submitting to support your variety                  This is separate from the planting report and it
         approval request, if applicable                             informs DATCP that you are preparing to harvest a
    •    The total delta-9 THC content stated on this                specific lot of hemp.
         documentation for your variety
                                                                     You must submit notification in writing 30 days
24. What is a planting report?                                       before your anticipated harvest date for each lot
A planting report informs DATCP about the hemp                       of hemp. This allows DATCP to plan for your
that you plant. You must submit a planting report                    regulatory hemp sample and the thousands of other
for each variety or strain of hemp you plant at each                 regulatory hemp samples that are taken each year.
location this is also called one lot* of hemp. A
planting report must be submitted by July 1 and                      Instructions for submitting this form are on
within 30 days of any planting of hemp.                              the reporting and recordkeeping webpage.

Instructions for submitting this form are on                         Your DATCP regulatory samples may not be taken
the reporting and recordkeeping webpage.                             if you do not submit this notification.

Licensed growers with a current annual registration                  26. What is a final report?
must submit a planting report by July 1 (even if you                 This is the last report of the season and it includes
have not planted hemp yet) and within 30 days                        information about all of your growing or processing
after planting each lot*. A planting report must                     activities during that growing season.
include every lot* under that license, and a record
of any hemp plants received from another licensee                    For growers, this report collects the following:
or anyone else.                                                      • Total acres or square footage harvested
                                                                     • Total acres or square footage destroyed
*Lot: A contiguous area in a field, greenhouse,                      • Final production quantity
facility, or growing structure containing the same                   • Name of variety planted at each lot
variety or strain of hemp throughout the area.                       • Name(s) and license number(s) of any
                                                                        processor who received your hemp
When planting, keep in mind that your lot of hemp                    • Final disposition of the hemp you produced or
must contain 10 or more female plants at the time                       destroyed
of sampling unless you have a DATCP approved
sample size modification request for that lot. The                   For processors, the report collects the following:
regulatory sample is a collection of the top five                    • Total quantity of hemp received
inches of flower from at least 10 female plants per                  • List of quantity and license number for each
lot. The exact number of cuttings per lot varies                        transfer of hemp to the licensee
based on the size and the uniformity of a lot.
                                                                     • Methods of hemp processing
                                                                     • Description of all intended markets for the hemp
The report collects the following:
                                                                        processed
   • Address of each growing location
   • Name of variety planted at each lot                             DATCP will not register you for the succeeding
   • Global positioning system (GPS)                                 season if you have not filed your end of year final
       coordinates of each lot                                       production report.
   • Maps depicting each growing location
       including each lot, lot entrances, lot                        Growing Locations
       boundaries, and other lot specific                            27. Do I have to own the land I want to grow
       boundaries                                                    hemp on?

Wisconsin Department of Agriculture, Trade and Consumer Protection                                               Page 4 of 7
No. You can grow hemp on rented land as long as                      While DATCP does not require a minimum
the landowner consents, and understands that                         acreage, each hemp lot must contain 10 or more
DATCP will perform routine inspections and sample                    female plants at the time of sampling to allow for
plants in the fields. The license holder must be the                 one initial sample/test and retest per lot. The
person who is growing the hemp. If you plant hemp                    regulatory sample is a collection of the top five
on rented land, you must provide DATCP with the                      inches of flower from at least 10 female plants per
landowner's name and contact information on your                     lot.
application form or license amendment form.
                                                                     Hemp lots must be of a sufficient size to allow one
28. Can I grow hemp in a greenhouse?                                 initial sample/test and one retest, unless the
Yes, as long as you clearly indicate your research                   licensee submits in advance a sample size
goals and production methods on your application.                    modification request form and the request is
                                                                     approved by DATCP.
29. Can I grow or process hemp in my home?
DATCP does not restrict hemp growing locations,                      An approved sample size modification request
but any growing location must be fully compliant                     allows the licensee to waive any future retest and
with any applicable local, state, or federal codes,                  allows DATCP to take an initial sample from a lot
rules, or laws. When it comes time to have the                       containing fewer than 10 female plants. See Wis.
required, pre-harvest regulatory sample of the                       Admin. Code § ATCP 22.09(3).
hemp that you have grown, DATCP hemp sampling
staff cannot conduct sampling work in a residence                    33. Do I need to build a fence or post signs
or a location that poses a safety risk.                              around my field?
                                                                     No.
You are responsible for understanding local laws
(including zoning ordinances and building codes),                    34. Do I need to notify the sheriff or local
state laws, and federal laws, or for consulting an                   police?
attorney on these matters.                                           No. Once you register your hemp growing or
                                                                     processing location(s), DATCP will share your
30. Can I grow or process hemp near a school,                        location and contact information with law
town, or major road? Are there restrictions on                       enforcement on a regular basis. For this reason, it
where I can grow it?                                                 is essential that you provide accurate location
DATCP does not restrict hemp production                              information and maps and update your license if
locations, but you may be subject to township, city,                 you need to change growing, storage, or
or other municipal zoning rules prohibiting hemp in                  processing locations. This saves the grower and
certain locations, including backyards in residential                processor from unwanted attention, and saves law
neighborhoods. You are responsible for                               enforcement time and money on unnecessary
understanding local laws (including zoning                           investigations. Make sure all locations where hemp
ordinances and building codes), state laws, and                      will be grown, stored, or processed are registered
federal laws, or for consulting legal help on these                  with DATCP prior to planting, storing, or processing
matters.                                                             the hemp.

31. Can I change my growing locations or add a                       Moving Hemp: Transporting, Exporting, and
growing or processing site?                                          Importing
To change field locations, you must:                                 35. Can I sell my unprocessed hemp in other
• Submit a license amendment form to change,                         states?
    add, or remove a location                                        Only lawfully produced hemp can be sold and
• Provide new GPS coordinates                                        transported within Wisconsin or from state-to-state.
• Submit a license amendment fee of $50.00                           You are responsible for understanding federal law
                                                                     and other state laws, or for consulting legal help on
Instructions for submitting a location amendment                     these matters.
are on the reporting and recordkeeping webpage.
Key word search: Location amendment.                                 36. Can I process hemp imported from growers
                                                                     in other states?
32. Is there a minimum acreage requirement?

Wisconsin Department of Agriculture, Trade and Consumer Protection                                              Page 5 of 7
Licensed processors with a current annual                            U.S. Postal Service (USPS) information about
registration in Wisconsin may accept lawfully                        shipping hemp is available at
produced unprocessed hemp. Unprocessed hemp                          https://about.usps.com/postal-
must be accompanied by documentation provided                        bulletin/2019/pb22521/html/updt_002.htm.
by a hemp research program, or a U.S. Department
of Agriculture (USDA) hemp producer license, or a                    Financial Impacts
state or tribal plan approved by USDA; and this                      38. How does growing hemp affect my USDA
documentation must demonstrate that the hemp                         Farm Service Agency (FSA) and/or federal crop
tested at or below 0.3% total delta-9 THC.                           insurance contracts or program participation?
                                                                     The 2018 Farm Bill defined hemp as an agricultural
37. What are the requirements for transporting                       commodity, so federal agencies no longer consider
hemp?                                                                hemp to be a controlled substance. Crop insurance
Hemp grown in Wisconsin:                                             for hemp crops has also become available but
When transporting Wisconsin grown hemp, under                        there are a number of specific eligibility
state law (Wis. Admin. Code § ATCP 22.13) the                        requirements and deadlines to qualify. For more
hemp must be accompanied with the following                          information go to:
documents:                                                           https://www.farmers.gov/manage/hemp. A base
• A copy of the fit for commerce certificate(s) for                  requirement is that you hold a current DATCP
    the hemp being transported.                                      hemp grower license and registration. If you are
• A copy of the grower license or processor                          thinking of planting hemp, you should check with
    license that designates the owner of the hemp                    your local FSA service center to see if your access
    being transported.                                               to federal crop support programs might be affected
                                                                     by growing hemp.
Hemp not grown in Wisconsin:
Wisconsin transportation requirements would not                      39. Does DATCP have any grants for growing
apply to state-to-state transportation of hemp.                      hemp?
However, harvested hemp found in Wisconsin                           No, but DATCP may provide some business
without a fit for commerce certificate is subject to                 development assistance. Please see the DATCP
seizure by DATCP under state law (Wis. Admin.                        grants webpage detailing potential grants and
Code § ATCP 22.12(4)). Paperwork from the origin                     funding opportunities
state or tribal hemp program should be included                      https://datcp.wi.gov/Pages/Programs_Services/Gra
with a hemp shipment to show that the hemp was                       nts.aspx.
legally grown. This includes the equivalent to a
license and fit for commerce certificate. You are                    Other agencies or organizations may offer grants or
responsible for understanding federal law and other                  other financial assistance. If you accept grants,
state laws, or for consulting legal help on these                    there may be additional reporting and other
matters.                                                             requirements beyond those you must meet to
                                                                     participate in the research program. This does not
Federal law (7 CFR § 990.63) states that no state                    relieve you of any of your responsibilities within the
or Native American tribe may prohibit state-to-state                 hemp research program.
transportation or shipment of lawfully produced
hemp or hemp products. This applies to hemp                          40. What price can I expect to receive when I
lawfully produced under a hemp research program,                     sell my hemp?
or a USDA hemp producer license, or a state or                       Prices for hemp flower, grain, fiber, oils, and CBD
tribal plan approved by USDA.                                        are fluctuating widely in the U.S. because the
                                                                     industry is in an early stage and continuously
Interstate (state-to-state) commerce (buying and                     evolving. You should research potential markets
selling of goods) for hemp is regulated by the                       and current market analysis before you plant.
federal government. Contact the USDA hemp
program with interstate hemp commerce questions                      41. Who will buy my hemp if I grow it?
at farmbill.hemp@usda.gov.                                           Growers are responsible for finding markets. To
                                                                     learn more about marketing opportunities, contact a

Wisconsin Department of Agriculture, Trade and Consumer Protection                                               Page 6 of 7
hemp trade group such as the Hemp Industries
Association or the National Hemp Association.

42. What if I can’t or don’t want to sell my hemp
at the end of the growing season?
If you do not sell your hemp at the end of the
growing season, you can store your crop and sell it
after your hemp grower annual registration has
expired, but you must keep the following for each
lot:
• Copy of your license, showing the appropriate
     annual registration
• Fit for commerce certificate
These documents must accompany each lot during
transportation.

Resources
You can learn more about hemp through these
resources:
• DATCP Hemp Research Program:
   https://hemp.wi.gov
• University of Wisconsin-Madison, Division of
   Extension: https://fyi.extension.wisc.edu/hemp/
• U.S. Department of Agriculture (USDA):
   o https://www.usda.gov/topics/hemp
   o https://www.ams.usda.gov/rules-
       regulations/hemp
   o https://www.farmers.gov/manage/hemp
   o https://www.ams.usda.gov/services/grants
   o Final Rule: Establishment of a Domestic
       Hemp Production Program
       https://www.federalregister.gov/documents/
       2021/01/19/2021-00967/establishment-of-a-
       domestic-hemp-production-program
   o List of approved state and tribal plans:
       https://www.ams.usda.gov/rules-
       regulations/hemp/state-and-tribal-plan-
       review
• U.S. Department of Justice Drug Enforcement
       Administration (DEA):
   o Interim final rule: Implementation of the
       Agriculture Improvement Act of 2018
       https://www.federalregister.gov/documents/
       2020/08/21/2020-17356/implementation-of-
       the-agriculture-improvement-act-of-2018
• U.S. Food & Drug Administration (FDA)
   o Regulation of Cannabis and Cannabis-
       Derived Products, Including Cannabidiol                       Wisconsin Department of Agriculture,
       (CBD): https://www.fda.gov/news-                              Trade and Consumer Protection
       events/public-health-focus/fda-regulation-                    Division of Agricultural Resource
       cannabis-and-cannabis-derived-products-                       Management | Bureau of Plant Industry
                                                                     P-DARM337 (08/2021)
       including-cannabidiol-cbd

Wisconsin Department of Agriculture, Trade and Consumer Protection                               Page 7 of 7
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