Legislature(2017 - 2018)BUTROVICH 205
02/08/2017 03:30 PM Senate RESOURCES
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| Audio | Topic |
|---|---|
| Start | |
| Overview: Mapping the State of Alaska | |
| SB6 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| *+ | SB 6 | TELECONFERENCED | |
| + | TELECONFERENCED |
SB 6-INDUSTRIAL HEMP PRODUCTION
4:14:49 PM
CHAIR GIESSEL announced consideration of SB 6, sponsored by
Senator Hughes. It proposes to introduce industrial hemp back
into Alaska as an agricultural product allowing it to be
developed into value-added products.
4:15:35 PM
At ease
4:18:05 PM
SENATOR HUGHES, sponsor of SB 6, Alaska State Legislature,
Juneau, Alaska, said her district includes quite a bit of
agricultural land. So, last spring former Senator Ellis had a
bill on this topic. She got a call from a highly respected
farmer in her area and former Borough Mayor Larry DeVilbiss
expressing interest in taking hemp out of the criminal statutes
and putting it into the agricultural statutes. During the course
of summer and fall in town halls and other forums, she heard
various folks express interest in that, as well, and heard from
other farmers and innovative thinkers around the state.
The federal Farm Act was signed in August and guidelines are
being rolled out now. Today she is presenting the initial
version and as more is learned about the federal guidelines, it
will get updated.
SENATOR HUGHES said this is one more economic opportunity for
farmers and Alaskans. Interestingly, hemp was legally grown up
until 1937 in our state. It has 25,000 industrial applications.
Centuries ago it was used for canvas for ship sails and covered
wagons, and it was used for the paper on which the Declaration
of Independence was written.
Federal law has changed and a number of states have also changed
their laws to allow its growth. Europe was a little bit ahead of
us and prints bibles on hemp paper, because it doesn't yellow.
It's a good option for biofuels and construction materials. In
fact, a gentleman in Homer is building a model home using
multiple hemp products for drywall, insulation, and plywood.
Farmers are interested in it as a great feedstock for animals.
4:21:41 PM
BUDDY WHITT, staff to Senator Hughes, Alaska State Legislature,
Juneau, Alaska, provided an overview of SB 6. He explained that
the bill has three sections in its present form. The first
section under Title 11 adds a paragraph that defines industrial
hemp that matches the federal definition, which is: "All parts
and varieties of the plant, cannabis sativa L, containing no
more than .3 percent THC." Federal studies have shown that 1
percent THC is the threshold for it to actually be present
enough to cause hallucinogenic side effects. The .3 percent
threshold, well below that, is what the federal government used
as a definition for industrial hemp, therefore separating it
completely from the drug, marijuana.
4:23:32 PM
Section 2 was added so that under Title 11 it would be an
affirmative defense to keep one from being prosecuted under
Title 11, Sec. 71.33.060 (If you had industrial hemp and you
were caught and charged with manufacturing, delivering, or
possessing with intent to manufacture or deliver.)
Finally section 3 states that an individual manufacturing,
delivering or displaying industrial hemp is not required to
register.
4:24:28 PM
MR. WHITT said he would next cover what needs to be changed in
state statute in order to match the federal statutes. The
federal Farm Act of 2014, the Omnibus Appropriations Act of
2016, and the U.S.D.A Statement of Principles relating to the
Farm Act of 2014, which was enacted August 12, 2016 are the main
federal pieces that are referred to in looking at the changes
needed in this bill. They say basically that states may
participate in an industrial hemp pilot program that is designed
to study the growth, cultivation, and marketing of industrial
hemp within their state.
The state department responsible for agriculture is the one that
is responsible for oversight and regulatory authority over
industrial hemp. Registration is required by the Division of
Agriculture in Alaska's case and is recommended to include but
not limited to: the name of the authorized manufacturer, the
period of the license/registration that is being given, and the
GPS coordinates for the "grow" for identification by a DPS
officer flying over it, which avoids misidentification of hemp
as marijuana from the air.
The act also defines industrial hemp and it allows those who are
authorized under an industrial hemp pilot program, institutions
of higher education, or those who are employed under contract
through an institution of higher education to grow and cultivate
industrial hemp. Section 3 of the bill says that registration is
not required and would not meet the federal guidelines.
CHAIR GIESSEL said she will work with Senator Hughes to craft a
committee substitute for SB 6.
4:28:11 PM
SENATOR HUGHES commented that it has been a delight to work with
the Division of Agriculture Director, Arthur Keyes, and Rob
Carter at the Plant Materials Center on this issue.
SENATOR COGHILL said some of the questions he will be asking
along the way are because of what has been done with legalizing
marijuana in Alaska, and asked if SB 6 will have a fire wall
between the growing of industrial hemp and marijuana because one
has federal rules that are permissive and the other one has
federal rules that forbid such actions. He also asked what
amounts would be tested: batches or individual plants, and
remarked that the testing could be expensive if it isn't done
right.
SENATOR HUGHES said his second question was a good one for the
Division of Agriculture experts, and because SB 6 is going to
the Judiciary Committee, that would be a great place to look at
his other concern about posing as a hemp grower but actually
growing marijuana. However, her understanding is that it would
then fall under the criminal statutes as not being licensed. The
mapping coordinates will also provide a check.
ARTHUR KEYES, Director, Division of Agriculture, Department of
Natural Resources (DNR), Anchorage, Alaska, responded that Rob
Carter has some good information on this issue.
4:31:04 PM
ROB CARTER, Manager, Alaska Plant Materials Center, Division of
Agriculture, Department of Natural Resources (DNR), Anchorage,
Alaska, responded that truly testing to differentiate between
industrial hemp and recreational marijuana would require an
expensive machine, but luckily the commercial laboratories that
are now in place for the recreational marijuana industry could
very easily do the test for a nominal fee. But fronting
industrial hemp as recreational marijuana would be difficult
when you actually come down to the agronomic principles and
practices of growing each. The planting densities are much
different; industrial hemp is planted very similar to grain with
a grain drill, and the seed and row spacing are more similar to
corn. This would be very unproductive in the recreational
cannabis world.
Physiologically, the recreational marijuana growers are very
specific in growing strains that are high in THC, and those are
specifically females. On the industrial hemp side for seed
production you want both females and males. So, anyone who tried
to grow industrial hemp as a ruse for recreational marijuana
would end up with some pretty poor product. He just didn't think
it would be attempted.
SENATOR COGHILL said last year he heard that the growing season
for industrial hemp could actually suit Alaska very well and
asked if that is true.
MR. CARTER answered that since the real research on the
production of hemp stopped between 1932 and 1937, he didn't have
a lot of agronomic practices that bind non-production of
industrial hemp in Alaska. That is why the division believes it
is so important to give this crop an opportunity. Looking at
Alaska's dramatic day lengths and photo periods, this plant
should produce very well on a biomass basis. There are questions
involving the production of seed and the photo period required
by that genus and species, but that won't be known until it has
been trialed. However, they expect great results for the
production of fiber and plant products and the thousands of
other uses.
4:34:53 PM
SENATOR VON IMHOF said the plants look alike but they are
chemically different and one of the letters says they are
different in terms of stalks versus flower seeds, and asked if
that is another difference.
MR. CARTER answered yes. He explained that a lot of that is very
dependent on the plant density within the acreage that it's
planted. The tighter plants are planted together the more
upright they grow; they are phototropic so they try to grow
toward the sun. He said the recreational marijuana plants
planted outside in California are probably planted on six-foot
centers and six to ten feet between each row, where a hemp field
is going to look more like corn or an extremely tall cereal
grain.
4:36:10 PM
CHAIR GIESSEL opened public testimony on SB 6.
4:36:29 PM
FRANK TURNEY, representing himself, Hempsters, Fairbanks Alaska,
supported SB 6. He said their files should include copies of the
first and second resolutions passed in Fairbanks in support of
industrial hemp along with other related letters of support.
Creating a hemp industry would boost the economy and create
jobs. He mentioned meeting Jack Bennett at the Fairbanks Energy
Conference who started building a hemp house with mud in Homer.
"Nobody that I know is going to smoke industrial hemp. They
would be coughing themselves and choking, believe me," he said.
4:38:26 PM
JOHN BRADING, representing himself, Fairbanks Alaska, supported
SB 6. He said on November 14, 2011, Fairbanks Councilman Hilling
introduced Resolution 4497 urging the Alaska State Legislature
and executive branch to make expressly legal the cultivation of
industrial hemp in the State of Alaska. A second supporting
resolution was introduced in February 2, 2012.
MR. BRADING said hemp and marijuana are essentially different
varieties of the same plant. Hemp is used when the plant is
grown cane-like for its fiber, seed, oil, and herbs. Industrial
hemp's THC content is too low to produce a high. Today hemp is
used for thousands of different products ranging from textiles,
paper, building materials, food products, and cosmetics.
He said hemp is popular because it can be grown easily without
harmful pesticides and fertilizers; its deep root system
prevents soil erosion and retains soil fertility making it an
ideal rotation crop. Hemp fiber is one of the strongest and most
insulating and absorbent of all natural-occurring fibers. It is
used in the oil industry to absorb oil spills. Hemp produces
more pulp paper than timber on a sustainable basis and can be
used for every quality of paper. Hemp seeds are high in protein
and contain a polyunsaturated oil, which is rich in the
essential fatty acids.
CHAIR GIESSEL asked him to wrap up and to email the rest of his
comments to her office and she would distribute it to committee
members.
4:41:41 PM
EMBER HAYNES, representing herself, Denali Hemp Company,
Talkeetna, Alaska, supported SB 6. She and her husband have been
creating balms and lotions using hemp seed oil for about 10
years and have seen a change in the views of their customers
over the years. Alaska is prime right now; everyone is looking
for healthy alternatives. They are excited to have this
opportunity for Alaskans to be able to grow hemp. They would
love to feed hemp leaves to their livestock.
4:43:43 PM
BRUCE SHULTE, representing himself, Anchorage Alaska, supported
SB 6. He spends much of the summer flying over the MatSu Valley
and sees a lot of fallow land and making it more productive
would be fantastic.
He said Section 2's affirmative defense in the event of
prosecution harkens back to an earlier version of another type
of legislation a few years ago, and while the intent is noble,
his concern is that a farmer growing hemp could be raided, have
their crops destroyed, and their material seized and go a long
way down the road and stand a lot of legal fees before they
would be able to take advantage of an affirmative defense. So,
in rewriting this bill, he asked them to consider removing hemp
entirely from the list of classified materials to avoid that
particular legal stumbling block.
4:45:24 PM
MICHAEL DRUCE, Owner, Summer Peonies, Sterling, Alaska,
supported SB 6. He said that growing peonies is a labor of love,
require a large upfront investment, are labor intensive and take
several years before a profit is realized. On that note he is
looking for another way to profit from the land he has, but he
also believes our state must support new industries
aggressively.
4:46:49 PM
JACK BENNETT, representing himself, Homer, Alaska, supported SB
6. He is building a model home made with industrial hemp
insulation material that is made in just a handful of shops in
the United States. As a construction material, just one product
replaces formaldehyde-based OSB plywood, sheetrock, fiberglass
insulation, and house-wrap. It will lower heating costs by 70
percent, and the life cycle of these homes is hundreds of years.
He said data indicates that two and a half weeks in a 100-day
harvest produces enough of the woody core construction material
to build a 1,000-square foot shell in 8 days depending on how
many laborers worked on it. He presented a model home at the
World Energy Conference in Fairbanks and wants to do a pilot
home in rural Alaska that has a 6,000-home shortage.
MR. BENNETT said this may not be the solution for affordable
housing, but it is a solution. He represents a commercial
manufacturer that owns North America's largest piece of
machinery called a decorticator that separates the industrial
hemp fiber from the woody core. The fiber sold out to an
automotive partner. He said the State of Indiana is working on a
facility to design and manufacture automobiles with hemp
plastics, both interior and exterior. They are a formaldehyde-
replacement to carbon fiber. At the end of the car's lifecycle
the ingredients are 100 percent biodegradable. He had presented
it to petroleum companies as an oil spill cleanup method that is
five times more absorbent than polypropylene technology.
CHAIR GIESSEL held public testimony on SB 6 open and invited
everyone to submit their testimony in writing.
[SB 6 was held in committee.]