CHAPTER 32-3
LEGALIZATION OF HEMP PRODUCTION AND HANDLING

32-3-1 Legalization of Tribal Hemp Production by License.

(A)    A person, entity, or THPE may produce and handle hemp within the Nation’s territory provided the person, entity, or THPE has received a hemp production license from the Tax Commission prior to producing or handling hemp and maintains a valid hemp production license throughout production and handling activities. All such persons or entities must comply with the terms and conditions of their hemp production license, this title, and any policies, procedures, rules, or regulations issued to implement this title.

(1)    All licensees engaging in activities related to hemp within the Tribe’s jurisdiction shall abide by the license requirements provided for under the Tribe’s Title 13, Business Licensing.

(2)    Licensees are required to obtain all licenses required by applicable law to operate a business on territory of the Tribe, including but not limited to compliance with the Tribe’s: (a) building and safety regulations; (b) health and safety regulations; (c) leasing and land use laws; and (d) environmental laws. It is the sole responsibility of the licensee under this plan to comply with other applicable laws and regulations. The Tax Commission may assist licensees in identifying the necessary licenses required.

(B)    Hemp Products from Licensed Hemp. Hemp that was produced in compliance with a hemp production license, this title, and any policies, procedures, rules, or regulations issued to implement this title may be compounded, blended, extracted, infused, or otherwise made into a product, including but not limited to cloth, cordage, fiber, food, fuel, paint, paper, building materials, plastics, seed, livestock feed, seed meal, seed oil intended for consumption, seed certified for cultivation, extracted chemicals from leaves, stems, roots, flowers, seed, and any other product derived from hemp.

(C)    Transportation, Possession, and Sale of Licensed Hemp. Hemp that was produced and handled in compliance with a hemp production license, this title, and any policies, procedures, rules, or regulations issued to implement this title and products made from such hemp may be transported, possessed, and sold in the stream of commerce, including at retail or wholesale, including within and outside the Nation’s territory and on the internet.

(1)    The Nation requires that the licensee or other persons delegated responsibility for the transportation of the hemp crop or hemp products carries the following documentation with the hemp cargo during transport:

(a)    Copy of the hemp producer’s license;

(b)    Copy of the laboratory test results showing the hemp crops or products are within acceptable hemp THC concentration levels of the corresponding harvest lot in transit;

(c)    Copy of invoice/bill of lading with buyer and seller information;

(d)    The transportation logs; and

(e)    Any other documentation that may be required by tribal regulation.

(2)    A licensee may not transport live hemp plants, viable seeds, leaf materials or floral materials to unlicensed or unapproved locations including trade shows, county fairs, educational or other events or to any other address not listed on that specific hemp producer’s current approved growing license agreement without the prior written approval of the Tax Commission.

(D)    Unlicensed Hemp. Production, handling, storage, transportation, possession, and sale of hemp that was not produced or handled in compliance with a hemp production license, this title, or any policies, procedures, rules, or regulations issued to implement this title and products made from such hemp are not authorized and are prohibited by this title. All unlicensed hemp production and related activities will be treated under Chapter 32-11 as violations.

(E)    Marijuana. Production, handling, storage, transportation, possession, and sale of marijuana and products made from marijuana are not authorized by this title and remain illegal.

(F)    Pesticide Usage. Licensees may only use pesticide products that are registered for use on hemp by the United States Environmental Protection Agency.

(1)    The licensee may not apply pesticides to hemp unless they hold any required pesticide license and apply pesticides in accordance with tribal or federal regulations. The licensee shall comply with the longest of any planting restriction interval on the product label prior to planting hemp. The licensee may not use any pesticide in violation of the product label.

(a)    The Nation may perform pesticide testing on a random basis if representatives of the Tax Commission have reason to believe that a pesticide may have been applied to hemp in violation of the product label.

(b)    Any hemp seeds, plants, and materials bearing pesticide in violation of the label shall be subject to destruction without compensation from the Tribe.

(G)    Seed Certification. All hemp seed or propagules cultivated on lands within the jurisdiction of the Nation must be obtained from one of the following sources:

(1)    Sellers or distributors of seed approved by an approved seed program of a state, federally recognized Indian tribe, or the USDA.

(2)    Other domestic sources approved by the Tax Commission in writing for research purposes and/or commercial development.

(3)    Other international sources consistent with USDA requirements on seed importation regulations and all other applicable federal law.

(4)    Licensees may not acquire or cultivate hemp or Cannabis sativa L. seeds or propagules of wild, landrace, or unknown origin without first obtaining written approval from the Tax Commission.

(H)    Compliance with Federal Law. Nothing in this title authorizes any person, entity, or THPE to violate any federal law or regulation.

(Enacted by PBP TC No. 2020-141, May 6, 2020; amended by PBP TC No. 2021-291, July 28, 2021)