45-9-101 AND 97-5-49, MISSISSIPPI CODE OF 1972, TO LEGALIZE THE MANUFACTURE AND SALE OF HEMP BEVERAGES, TO BE REGULATED IN THE SAME MANNER AS BEER, LIGHT WINE AND LIGHT SPIRIT PRODUCTS, COLLECTIVELY TO BE REFERRED TO AS "LIGHT INTOXICATING BEVERAGES";

AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1.

Section 69-25-201, Mississippi Code of 1972, is amended as follows:

69-25-201.

(1) This article shall be known as the "Mississippi Hemp * * * Act." The regulation of hemp cultivation and processing shall be governed exclusively by the provisions of the Mississippi Hemp * * * Act.

A municipality, county or other political subdivision of this state shall not enact, adopt or enforce a rule, ordinance, order, resolution or other regulation that allows, prohibits or penalizes the cultivation, production or processing of hemp in this state.

(2) The manufacture, production, distribution and sale of consumable hemp products other than beverages shall be regulated under this article.

The manufacture, production, distribution and sale of consumable hemp products that are beverages shall be regulated under Chapter 3, Title 67, Mississippi Code of 1972.

SECTION 2.

Section 69-25-203, Mississippi Code of 1972, is amended as follows:

69-25-203.

For purposes of this article, the following words and phrases shall have the meanings set forth below unless the context clearly indicates otherwise:

* * * H.

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( * * *a) "Business entity" means a nonnatural person and includes nonprofit and for-profit corporations, partnerships, limited liability corporations, and other legal entities recognized by law.

(b) "Consumable hemp product" means a finished product that is intended for human consumption, contains any part of the hemp plant, including naturally occurring cannabinoids, compounds, concentrates, extracts, isolates, or resins, and has a delta-9-tetrahydrocannabinol (THC) concentration of not more than three-tenths percent (0.3%) when tested in its finished form.

The term "consumable hemp product" does not include any product containing any quantity of artificially derived cannabinoids, as defined in Section 41-137-3, delta-8-tetrahydrocannabinol, delta-10-tetrahydrocannabinol, hexahydrocannabinol, tetrahydrocannabinol acetate, tetrahydrocannabiphorol or tetrahydrocannabivarin.

(c) "Consumable food manufacturing distributor" means any individual, partnership, corporation, cooperative association or other business entity that receives raw hemp, hemp floral material, extracts, distillates, isolates or any extracted form of hemp as long as it is extracted from hemp for the manufacturing, distribution and/or processing of any consumable hemp product including, but not limited to, edibles, tinctures, smokables, vapables, lubricants, salves, lotions, hemp floral material, concentrates, distillates and/or liquids.

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(d) "Delta-9-tetrahydrocannabinol" means the sum of the percentage by weight of tetrahydrocannabinol acid multiplied by eight hundred seventy-seven thousandths (0.877) plus the percentage by weight of delta-9-tetrahydrocannabinol.

(e) "Department" means the * * * State Department of Health.

(f) "Grower" means a person, business entity, joint venture or cooperative that cultivates, grows or harvests hemp.

(g) "Hemp" means the plant Cannabis sativa L.

and any part of that plant, including the seeds thereof and all derivatives, extracts, cannabinoids, isomers, acids, salts and salts of isomers, whether growing or not, with a delta-9-tetrahydrocannabinol (THC) concentration of not more than three-tenths percent (0.3%) on a dry weight basis that is grown or processed under this article.

(h) "Legal description of land" means Global Position System coordinates and shall also include the metes and bounds to include township, range, and section for the location in which hemp is grown.

(i) "Manufacturer" means a business entity that is licensed by the department that manufactures or intends to manufacture a consumable hemp product from unprocessed hemp or hemp extract.

( * * *j) "Person" means any person, firm, association, corporation or business entity.

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( * * *k) "Processor" means a person, business entity, joint venture or cooperative that receives hemp for processing into commodities, products or hemp seed.

A processor also includes any such entity that brokers and/or stores hemp.

(l) "Retailer" means a dealer, other than a wholesaler, whose principal business is that of selling merchandise at retail, who sells consumable hemp products.

(m) "State Health Officer" means the Executive Director of the State Department of Health.

Where applicable under the provisions of this article, "State Health Officer" includes the State Health Officer's designee.

( * * *n) "State plan" means the plan contemplated by 7 CFR Part 990 Subpart B that a state must file for approval with the United States Secretary of Agriculture.

(o) "THC" means delta-9-tetrahydrocannabinol.

( * * *p) "USDA" means the United States Department of Agriculture.

(q) "Wholesaler" means a dealer whose principal business is that of a wholesale dealer, and who is known to the trade as such, that sells any consumable hemp products to licensed retailers only for the purpose of resale.

SECTION 3.

Section 69-25-207, Mississippi Code of 1972, is amended as follows:

69-25-207.

(1) Pursuant to the provisions of this article, cultivation and processing of hemp, as defined in Section H.

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69-25-203, are authorized in this state.

Cultivation and processing of hemp are subject to regulation by the department and may only be performed by persons or business entities that hold a valid license or registration issued * * * under this article.

(2) The * * * State Health Officer shall create a State Plan for submission to and approval by the United States Department of Agriculture and the United States Secretary of Agriculture.

The * * * State Department of Health shall promulgate such reasonable regulations as necessary to implement the State Plan and provisions of this article.

The * * * department shall be authorized to promulgate any rule or regulation deemed necessary for the administration of the provisions of this article in compliance with any federal law, rule or regulation promulgated by the United States Department of Agriculture.

(3) The department is authorized to accept applications, and issue licenses and/or registrations for all hemp growers and hemp processors.

The department shall adopt and enforce all rules and regulations related to those licenses and/or registrations.

(4) All hemp growers must be licensed by the department.

(5) All hemp processors must register with the department.

(6) All * * * license holders and registered processors shall keep and maintain crop and/or processing records in accordance with rules and regulations adopted and enforced by the department.

The department may subject the required records to H.

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inspection.

The department may make an inspection for the purpose of ensuring compliance with:

(a) USDA guidelines;

(b) Provisions of this article;

(c) Department rules and regulations;

(d) Any terms or conditions of a license issued hereunder;

(e) Registration with the department;

or (f) A final department order directed to the grower's or processor's hemp operations or activities.

(7) All hemp growers and processors shall be subject to a background investigation conducted by the Department of Public Safety, which shall include both a state and federal background check.

SECTION 4.

Section 69-25-213, Mississippi Code of 1972, is amended as follows:

69-25-213.

(1) Upon a determination by the * * * State Health Officer or his or her designee, the following may constitute negligent violations:

(a) Failing to provide a legal description of land on which the grower produces hemp;

(b) Failing to obtain a license or other required authorization from the department;

(c) Failing to register with the department;

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(d) Producing Cannabis sativa L.

with a delta-9-tetrahydrocannabinol concentration of more than * * * three-tenths percent (0.3%) on a dry weight basis;

or (e) Any other violation of the State Plan, including any rules and regulations set forth by the department.

(2) Corrective action plan.

(a) A hemp grower shall comply with a plan established by the * * * State Health Officer or his or her designee to correct the negligent violation, including:

(i) A reasonable date by which the hemp grower shall correct the negligent violation;

and (ii) A requirement that the hemp grower shall periodically report to the * * * State Health Officer or his or her designee regarding the compliance with the corrective plan for a period of not less than the next two (2) calendar years.

(b) The department shall notify the Mississippi Bureau of Narcotics of all corrective action plans implemented by the * * * State Health Officer or his or her designee.

(3) Result of negligent violation.

A hemp grower that negligently violates the State Plan shall not, as a result of that violation, be subject to any criminal enforcement action by a state, county or local government entity.

(4) Repeat violations.

A hemp grower that negligently violates the State Plan three (3) times in a five-year period shall be ineligible to produce hemp for a period of five (5) years beginning on the date of the third violation.

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SECTION 5.

Section 69-25-217, Mississippi Code of 1972, is amended as follows:

69-25-217.

(1) It shall be unlawful for any person or business entity to:

(a) Violate this chapter or any rules or regulations promulgated under this chapter;

(b) Fail to comply with a corrective action plan issued by the * * * State Health Officer under Section 69-25-213(2);

(c) Transport hemp or hemp materials in violation of Section 69-25-209 or rules or regulations adopted under this chapter;

(d) Cultivate or grow hemp with a delta-9-tetrahydrocannabinol (THC) concentration of more than three-tenths percent (0.3%) on a dry weight basis;

(e) Manufacture or produce any product derived from cannabis, as defined in Section 41-137-3, for sale within the State of Mississippi, except as authorized under this article, under Chapter 3, Title 67, Mississippi Code of 1972, or under the Mississippi Medical Cannabis Act;

(f) Sell any product derived from cannabis, as defined in Section 41-137-3, within the State of Mississippi or to Mississippi consumers, except as authorized under this article, under Chapter 3, Title 67, Mississippi Code of 1972, or under the Mississippi Medical Cannabis Act;

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(g) Manufacture, produce or sell any hemp product that contains an artificially derived cannabinoid as defined in Section 41-137-3;

or (h) Sell any consumable hemp product to any person under the age of twenty-one (21) years.

(2) Any person or business entity that purposely, knowingly or recklessly violates this provision of this chapter relating to hemp production or processing shall be guilty of a misdemeanor and, upon conviction of the violation, shall be fined in an amount not to exceed Five Thousand Dollars ($5,000.00), or sentenced to imprisonment in the county jail for not more than one (1) year, or both such fine and imprisonment.

(3) Notwithstanding subsection (2) of this section, if any person or entity purposely, recklessly or knowingly cultivates or grows hemp with a delta-9-tetrahydrocannabinol (THC) concentration of more than one percent (1%) on a dry weight basis that person or entity shall be guilty of a felony punishable by imprisonment for not more than five (5) years, or a fine of not more than Ten Thousand Dollars ($10,000.00), or both such fine and imprisonment.

(4) For purposes of this section, the terms "purposely", "knowingly" and "recklessly" have the following meanings:

(a) "Purposefully" means a person acts purposely with respect to a material element of an offense if:

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(i) The element involves the nature of his or her conduct or a result thereof, it is his or her conscious object to engage in conduct of that nature or to cause such a result;

and (ii) The element involves the attendant circumstances, he or she is aware of the existence of such circumstances or he or she believes or hopes that they exist.

(b) "Knowingly" means a person acts knowingly with respect to a material element of an offense if:

(i) The element involves the nature of his or her conduct or the attendant circumstances, he or she is aware that his or her conduct is of that nature or that such circumstances exist;

and (ii) The element involves a result of his or her conduct, he or she is aware that it is practically certain that his or her conduct will cause such a result.

(c) "Recklessly" means a person acts recklessly with respect to a material element of an offense when he or she consciously disregards a substantial and unjustifiable risk that the material element exists or will result from his or her conduct.

The risk must be of such a nature and degree that, considering the nature and purpose of the actor's conduct and the circumstances known to him or her, its disregard involves a gross deviation from the standard of conduct that a law-abiding person would observe in the actor's situation.

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SECTION 6.

(1) The department shall be responsible for the licensing of retailers, wholesalers, manufacturers and processors of consumable hemp products other than beverages, and shall begin issuing licenses to such businesses on July 1, 2025.

The nonrefundable annual license fees to be collected by the department are as follows:

(a) For a consumable hemp retailer, Two Hundred Dollars ($200.00);

(b) For a consumable hemp wholesaler, Two Hundred Fifty Dollars ($250.00);

(c) For a consumable hemp manufacturer, Five Hundred Dollars ($500.00);

and (d) For a consumable hemp processor, Two Hundred Fifty Dollars ($250.00).

(2) Fees collected under this section shall be deposited into the State General Fund.

SECTION 7.

(1) All labels for any product containing hemp shall be approved by the department.

(2) A finalized sample of any finished hemp product shall have a complete certificate of analysis (COA) from a testing facility or laboratory that analyzes the safety and potency of hemp products, and such COA shall be provided to the department.

(3) All products containing cannabidiol (CBD) shall be tested in a testing facility and/or laboratory with a United H.

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States Drug Enforcement Administration (DEA) Certification (ISO17025) that analyzes the safety and potency of CBD products.

SECTION 8.

(1) Consumable food manufacturing distributors shall:

(a) Hold a current food manufacturing license specializing in consumable hemp, from the Mississippi Department of Health, or from the health department of the state within the United States where the entity's facility resides;

(b) Have a current food manufacturing license issued by the Mississippi Department of Health, or by the health department of the state within the United States where the entity's facility resides, specializing in consumable hemp products;

(c) Have the authority to designate authorized agents for the purposes of wholesaling consumable hemp products to Mississippi licensed wholesalers or retailers;

(d) Be responsible for notifying the department of any designated agents;

and (e) Obtain and offer for sale anti-counterfeiting scan codes for distribution of any consumable hemp product approved by the department.

(2) Consumable food manufacturing distributors may sell to licensed wholesalers, licensed retailers and directly to consumers.

SECTION 9.

(1) (a) Any entity licensed with the department as provided in this article shall submit a report on a quarterly H.

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basis, due by the twentieth of the following month, detailing any hemp product manufactured, distributed, purchased or sold at wholesale, or sold at retail.

(b) Any consumable food manufacturing distributor or any consumable hemp manufacturer, processor, wholesaler or retailer shall pay a minimum fine of One Thousand Dollars ($1,000.00) to the department for failing to report, by the twentieth (20th) of the following month, hemp products purchased or sold in Mississippi.

(c) An electronic reporting system shall be implemented by the department.

(2) Any consumable food manufacturing distributor or any consumable hemp manufacturer, processor, wholesaler or retailer shall be subject to a fine as prescribed by the department per incident for purchasing or selling any unlawful hemp product.

(3) Fines collected under this section shall be deposited into the State General Fund.

SECTION 10.

(1) There is imposed, levied and assessed an excise tax on consumable hemp products not otherwise taxed under Section 27-71-307.

A manufacturer or processor shall collect and remit an excise tax on forms and in a manner specified by the Commissioner of Revenue.

The excise tax on such consumable hemp products shall be based on the sales price for which a manufacturer or processor sells to a wholesaler or retailer, and the rate of the excise tax shall be three percent (3%) of such H.

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sales price.

The proceeds of such tax shall be deposited into the State General Fund.

(2) The excise tax imposed by this section shall apply regardless of the ownership of the manufacturing or processing facility to which the manufacturer or processor sells or transfers the consumable hemp products, as the case may be.

(3) All provisions of the sales tax law, including those which fix damages, penalties and interest for nonpayment of taxes and for noncompliance, and all other requirements and duties imposed on a taxpayer, shall apply to all persons liable for taxes under this section.

The Commissioner of Revenue shall exercise all power and authority and perform all duties with respect to taxpayers under this section as are provided in the sales tax law;

however, in the event of conflict, this section shall control.

SECTION 11.

Section 69-25-211, Mississippi Code of 1972, is amended as follows:

69-25-211.

(1) (a) The * * * State Health Officer or his or her designee may enter, at reasonable times, upon any public or private property at which hemp is being cultivated or processed for the purpose of determining compliance with this * * * article and rules adopted under it.

The * * * State Health Officer may apply for, and any judge of a court of competent jurisdiction, may issue a search warrant as is necessary to achieve the purposes of this * * * article relating to things, property or places within the court's territorial jurisdiction.

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(b) If the * * * State Health Officer or his or her designee determines that emergency conditions exist requiring immediate action necessary to protect public health or safety of the environment, the * * * State Health Officer or his or her designee may issue an order stating the existence of such conditions and requiring specific actions be taken to mitigate those conditions without providing prior notice or an adjudication hearing.

(c) Any person to whom such an order is issued shall immediately comply with that order, and may apply to the * * * State Health Officer for an adjudication hearing.

Upon receiving an application for an adjudication hearing, the * * * State Health Officer shall hold the hearing as soon as practicable and not later than thirty (30) days after receipt of the application.

On the basis of the hearing, the * * * State Health Officer shall continue the order in effect, revoke it, or modify it.

(d) In addition to any other available remedies, the * * * State Health Officer or the Mississippi Attorney General may apply to the circuit court in the county where any provision of this * * * article or an order issued under paragraph (b) of this subsection is being violated for an injunction restraining any person from continuing the violation.

(e) An employee of the state or any division, agency, institution thereof involved in the administration and/or enforcement of this article, shall not be subject to prosecution H.

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for violations related to possession or transportation of hemp or cannabis in conjunction with the employee's duties arising under this * * * article.

(2) In addition to any other liability or penalty provided by law, the department may revoke or refuse to issue or renew a hemp grower license or hemp processor registration and may impose a civil penalty for violations of:

(a) A license or registration requirement;

(b) License or registration terms or conditions;

(c) Department rules and regulations relating to growing or processing hemp;

or (d) A final order of the department that is specifically directed to the grower's or processor's hemp operations or activities.

(3) The department may impose administrative penalties for violations under this section in * * * substantially the same manner as provided for the Department of Agriculture and Commerce in Section 69-25-51.

SECTION 12.

Section 69-25-215, Mississippi Code of 1972, is amended as follows:

69-25-215.

If a hemp grower violates the State Plan, including growing hemp containing a delta-9-tetrahydrocannabinol (THC) concentration that exceeds three-tenths percent (0.3%) on a dry * * * weight basis or a tolerance range as specified by USDA, with a culpable mental state greater than negligence as determined H.

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by the department, the * * * State Health Officer shall immediately report the violation and the hemp grower to the United States Attorney General, the Mississippi Attorney General and the Mississippi Public Safety Commissioner.

Such violations shall also be referred to the Mississippi Bureau of Narcotics for investigation.

The Bureau of Narcotics may detain, seize and/or destroy the crop and may initiate a criminal case for any violation of this article or the Mississippi Uniform Controlled Substances Law.

The Mississippi Attorney General shall, in person or by his or her designee, prosecute all criminal actions related to violations arising under this * * * article relating to hemp, on behalf of the state.

Violations of the State Plan that involve culpability greater than negligence must be reported to the United States Attorney General and the Mississippi Attorney General.

The provisions of Section 69-25-213 shall not apply to nonnegligent violations.

SECTION 13.

Section 69-25-219, Mississippi Code of 1972, is amended as follows:

69-25-219.

(1) Any person convicted of a felony relating to a controlled substance under state or federal law before, on or after * * * June 29, 2020, shall be ineligible, during the ten-year period following the date of the conviction to participate in the program established under this article and to produce hemp under any regulations or guidelines issued under this article.

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(2) Any person who materially falsifies any information contained in an application to participate in the State Plan established under this article shall be ineligible to participate in the State Plan.

(3) In addition to any inspection conducted, the department may inspect any hemp crop at any time and take a representative composite sample for analysis.

It shall be the duty of the department to take such samples and deliver them to the State Chemist for examination and analysis.

It shall be the duty of the State Chemist to cause as many analyses to be made of samples delivered to him or her by the department as may be necessary to properly implement the intent of this article.

The State Chemist shall make a report of such analyses to the department.

(4) The department shall charge growers and processors a fee or fees as determined by the department in a sufficient amount to cover the costs required to administer and enforce the provisions of this * * * article.

SECTION 14.

Section 69-25-221, Mississippi Code of 1972, is amended as follows:

69-25-221.

No person shall operate as a hemp processor without first having secured a surety bond pursuant to this section.

The * * * department shall promulgate rules and regulations as necessary to require hemp processors to secure a surety bond.

A hemp processor may file with the department, in lieu of a surety bond, a certificate of deposit or irrevocable H.

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letter of credit from any bank or banking corporation insured by the Federal Deposit Insurance Corporation.

Rules and regulations required for certificates of deposit and irrevocable letters of credit shall be promulgated by the * * * department.

SECTION 15.

Section 69-25-223, Mississippi Code of 1972, is amended as follows:

69-25-223.

(1) The provisions of this article which provide authority to the * * * State Department of Health and the State Health Officer to administer the provisions of the "Mississippi Hemp * * * Act * * *" shall be subject to legislative appropriation or receipt of necessary funding from any private or public entity for purposes of implementation.

(2) The provisions of this article shall not have any effect upon any programs administered by Mississippi State University, which shall remain exempt, as such programs related to the educational, research or testing functions performed by Mississippi State Chemical Laboratory, shall continue to function in accordance with the mission of the university, as approved by the Board of Trustees of State Institutions of Higher Learning.

SECTION 16.

Section 41-137-45, Mississippi Code of 1972, is amended as follows:

41-137-45.

(1) It shall be unlawful for any person or entity to cultivate, process, transport, use, possess, purchase, sell or transfer cannabis except as authorized by this chapter.

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(2) A cardholder or medical cannabis establishment that purposely or knowingly fails to provide a notice required by Section 41-137-31 is guilty of a civil offense, punishable by a fine of no more than One Thousand Five Hundred Dollars ($1,500.00), which may be assessed and collected by the licensing agency.

(3) A medical cannabis establishment or an agent of a medical cannabis establishment that purposely, knowingly, or recklessly sells or otherwise transfers medical cannabis other than to a cardholder, a nonresident cardholder, or to a medical cannabis establishment or its agent as authorized under this chapter is guilty of a felony punishable by a fine of not more than Ten Thousand Dollars ($10,000.00), or by commitment to the custody of the Department of Corrections for not more than two (2) years, or both.

A person convicted under this subsection may not continue to be affiliated with the medical cannabis establishment and is disqualified from further participation in the medical cannabis program under this chapter.

(4) A cardholder or nonresident cardholder who purposely, knowingly, or recklessly sells or otherwise transfers medical cannabis to a person or other entity is guilty of a felony punishable by a fine of not more than Three Thousand Dollars ($3,000.00), or by commitment to the custody of the Department of Corrections for not more than two (2) years, or both.

A person convicted under this subsection is disqualified from further H.

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participation in the medical cannabis program under this chapter.

(5) A person who purposely, knowingly, or recklessly makes a false statement to a law enforcement official about any fact or circumstance relating to the medical use of cannabis to avoid arrest or prosecution is guilty of a misdemeanor punishable by a fine of not more than One Thousand Dollars ($1,000.00), by imprisonment in the county jail for not more than ninety (90) days, or both.

If a person convicted of violating this subsection is a cardholder, the person is disqualified from further participation in the medical cannabis program under this chapter.

(6) A person who purposely submits false records or documentation for an application for a license for a medical cannabis establishment under this chapter is guilty of a felony punishable by a fine of not more than Five Thousand Dollars ($5,000.00), or by commitment to the custody of the Department of Corrections for not more than two (2) years, or both.

A person convicted under this subsection may not continue to be affiliated with the medical cannabis establishment and is disqualified from further participation in the medical cannabis program under this chapter.

(7) A practitioner who purposely refers patients to a specific medical cannabis establishment or to a registered designated caregiver, who advertises in a medical cannabis establishment, or who issues written certifications while holding a financial interest in a medical cannabis establishment, is H.

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guilty of a civil offense for every false certification and shall be fined up to Five Thousand Dollars ($5,000.00) by the MDOH.

(8) Any person, including an employee or official of an agency or local government, who purposely, knowingly, or recklessly breaches the confidentiality of information obtained under this chapter is guilty of a misdemeanor punishable by a fine of not more than One Thousand Dollars ($1,000.00), or by imprisonment for not more than one hundred eighty (180) days in the county jail, or both.

(9) No person, other than a cannabis processing facility or its agents, complying with this chapter and the rules and regulations promulgated under it, may extract compounds from cannabis that involves a chemical extraction process using a nonhydrocarbon-based or other solvent, such as water, vegetable glycerin, vegetable oils, animal fats, steam distillation, food-grade ethanol, or hydrocarbon-based solvent carbon dioxide.

No person may extract compounds from cannabis using ethanol in the presence or vicinity of an open flame.

It shall be a felony punishable by commitment to the custody of the Mississippi Department of Corrections for up to three (3) years and a Ten Thousand Dollar ($10,000.00) fine for any person to purposely, knowingly, or recklessly violate this subsection.

(10) A medical cannabis establishment is guilty of a civil offense for any purposeful, knowing or reckless violation of this chapter or the rules and regulations issued under this chapter H.

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where no penalty has been specified, and shall be fined not more than Five Thousand Dollars ($5,000.00) for each such violation by its licensing agency.

(11) The penalties provided for under this section are in addition to any other criminal, civil or administrative penalties provided for under law, rule or regulation.

(12) In addition to peace officers within their jurisdiction, all law enforcement officers of MDOH and MDOR may enforce the provisions made unlawful by this chapter.

(13) A person or business entity that purposely, knowingly or recklessly sells or otherwise transfers products derived from cannabis to a person in the State of Mississippi, except as authorized under this chapter, under the Mississippi Hemp Act, or under Chapter 3, Title 67, Mississippi Code of 1972, is guilty of a felony punishable by a fine of not more than Ten Thousand Dollars ($10,000.00), or by commitment to the custody of the Department of Corrections for not more than two (2) years, or both.

A person convicted under this subsection is disqualified from further participation in the medical cannabis program under this chapter, the hemp program under the Mississippi Hemp Act, and the hemp beverage program under Chapter 3 of Title 67, Mississippi Code of 1972.

SECTION 17.

Consumable hemp product directory.

(1) By August 1, 2025, and annually thereafter, every manufacturer of a consumable hemp product that is sold for retail sale in H.

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Mississippi shall execute and deliver to the Department of Revenue a certification, under penalty of perjury, on a form and in a manner prescribed by the Department of Revenue, that the manufacturer is compliant with this article.

(2) The certification form shall separately list each brand name, category (e.g., edible, tincture, smokable, vapable, lubricant, salve, lotion, floral material, concentrate, distillate, and/or liquid), product name and flavor for each consumable hemp product that is sold in Mississippi.

(3) Starting October 1, 2025, the Department of Revenue shall maintain and make publicly available on its official website a directory that lists all consumable hemp product manufacturers, brand names, categories (e.g., edible, tincture, smokable, vapable, lubricant, salve, lotion, floral material, concentrate, distillate, and/or liquid), product names and flavors for which certification forms have been submitted and approved by the Department of Revenue and shall update the directory at least monthly to ensure accuracy.

The Department of Revenue shall establish a process to provide licensed retailers, distributors and wholesalers notice of the initial publication of the directory and changes made to the directory in the prior month.

(4) After ninety (90) calendar days following publication of the directory, consumable hemp products not listed in the directory and intended for retail sale in Mississippi are subject H.

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to seizure, forfeiture and destruction, and may not be purchased or sold for retail sale in Mississippi.

(5) Any person who sells or offers for sale a consumable hemp product for retail sale in Mississippi that is not included in the directory shall be subject to a civil penalty of up to Five Hundred Dollars ($500.00) for each individual consumable hemp product offered for sale in violation of this section until the offending product is removed from the market or until the offending product is properly listed on the directory.

(6) The civil penalty collected under this section shall be deposited into the State General Fund.

SECTION 18.

Notice required at point of sale;

penalties.

(1) A person may not sell or offer for sale a consumable hemp product in the State of Mississippi unless a clearly visible notice is posted at the location where the consumable hemp product is available for purchase.

(2) The notice shall provide that:

(a) A consumable hemp product contains THC;

(b) Women who are pregnant or breastfeeding should not use products that contain THC because of the risk of birth defects and other developmental defects;

and (c) No person under the age of twenty-one (21) may purchase a consumable hemp product.

(3) Any person who sells or offers for sale a consumable hemp product without proper notice as provided in this section H.

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shall be fined not less than Five Hundred Dollars ($500.00) for the first offense and not more than One Thousand Dollars ($1,000.00) for each subsequent offense.

Each violation, and every day in which a violation occurs, constitutes a separate violation.

(4) Fines collected under this section shall be deposited into the State General Fund.

SECTION 19.

Section 67-3-1, Mississippi Code of 1972, is amended as follows:

67-3-1.

The purpose of this chapter is to legalize and regulate the manufacture and sale within this state of light * * * intoxicating beverages so as to prevent the illicit manufacture, sale and consumption of alcoholic beverages as defined in Section 67-1-5, the manufacture and sale of which it is not the purpose of this chapter to legalize.

SECTION 20.

Section 67-3-3, Mississippi Code of 1972, is amended as follows:

67-3-3.

When used in this chapter, unless the context indicates otherwise:

(a) "Commissioner" means the Commissioner of Revenue * * * of the State of Mississippi, and his authorized agents and employees.

(b) "Person" means one or more persons, a company, a corporation, a partnership, a syndicate or an association.

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(c) "Brewpub" shall have the meaning ascribed to such term in Section 27-71-301.

(d) "Beer" means a malt beverage as defined in the Federal Alcohol Administration Act and any rules and regulations adopted pursuant to such act of an alcoholic content of not more than eight percent (8%) by weight.

(e) "Light wine" means wine of an alcoholic content of not more than five percent (5%) by weight.

(f) "Small craft brewery" means a person having a permit under this chapter to manufacture or brew light * * * intoxicating beverages in this state and who manufactures or brews not more than sixty thousand (60,000) barrels of light * * * intoxicating beverage at all breweries that such person or its affiliates, subsidiary or parent company owns or controls or with whom such person contracts with for the manufacture of light * * * intoxicating beverages.

For purposes of this paragraph, contract-brewed beer manufactured by a person having a permit under this chapter to manufacture or brew light * * * intoxicating beverages shall be included in the sixty-thousand-barrel limitation.

(g) "Growler" means a sealed container that holds not more than one hundred twenty-eight (128) ounces of light * * * intoxicating beverage.

A growler must have a label on it stating what it contains.

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(h) "Manufacturer" shall have the meaning ascribed to such term in Section 27-71-301.

(i) "Contract-brewed beer" means beer brewed by a manufacturer who:

(i) Makes the beer pursuant to a written contract with another beer manufacturer, and neither entity has a controlling interest in the other entity;

(ii) Makes the beer in accordance with a recipe that is a trade secret of the beer manufacturer having its beer made under contract;

and (iii) Has no right to sell the beer to any other beer manufacturer, importer or wholesaler other than the beer manufacturer who contracted for the beer.

(j) "Light spirit product" means a beverage of an alcoholic content of not more than six percent (6%) by weight and containing one or more distilled spirits, as defined in Section 67-1-5.

(k) "Microbrewery" means a person having a permit under this chapter to manufacture or brew light * * * intoxicating beverages in this state and who manufactures or brews not more than three thousand (3,000) barrels of light * * * intoxicating beverages at its permitted location.

(l) "Hemp beverage" means a nonalcoholic beverage that meets the definition of "consumable hemp product" in Section 69-25-203, is sold in containers of no size other than twelve (12) H.

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fluid ounces, and contains no more than five (5) milligrams of THC per twelve-ounce container.

(m) "Intoxicating beverage" means any alcoholic beverage, as defined in Section 67-1-5, or any light intoxicating beverage.

(n) "Light intoxicating beverage" means any beer, light wine, light spirit product or hemp beverage.

(o) "THC" means delta-9-tetrahydrocannabinol.

SECTION 21.

Section 67-3-5, Mississippi Code of 1972, is amended as follows:

67-3-5.

(1) It shall be lawful, subject to the provisions set forth in this chapter and in Section 67-1-51, in this state to transport, store, sell, distribute, possess, receive, deliver and/or manufacture light * * * intoxicating beverages, and it is hereby declared that it is the legislative intent that this chapter privileges the lawful sale and manufacture, within this state, of such light * * * intoxicating beverages.

In determining if a wine product is "light wine," or contains an alcoholic content of more than five percent (5%) by weight, or is not an "alcoholic beverage" as defined in the Local Option Alcoholic Beverage Control Law, Chapter 1 of Title 67, Mississippi Code of 1972, the alcoholic content of such wine product shall be subject to the same permitted tolerance as is allowed by the labeling requirements for light wine provided for in Section 27-71-509.

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(2) Subject to the provisions set forth in this chapter and in Section 67-1-51, it shall be lawful in this state to transport, store, sell, distribute, possess, receive, deliver and/or manufacture beer of an alcoholic content of more than eight percent (8%) by weight, if the beer is manufactured to be sold legally in another state and is transported outside of this state for retail sale.

SECTION 22.

Section 67-3-7, Mississippi Code of 1972, is amended as follows:

67-3-7.

(1) If any county, at an election held for the purpose under the election laws of the state, shall by a majority vote of the duly qualified electors voting in the election determine that the transportation, storage, sale, distribution, receipt and/or manufacture of * * * light intoxicating beverages shall not be permitted in such county, then the same shall not be permitted therein except as authorized under Section 67-9-1 and as may be otherwise authorized in this section.

An election to determine whether such transportation, storage, sale, distribution, receipt and/or manufacture of such beverages shall be excluded from any county in the state, shall, on a petition of twenty percent (20%) or fifteen hundred (1,500), whichever number is the lesser, of the duly qualified electors of such county, be ordered by the board of supervisors of the county, for such county only.

No election on the question shall be held in any one (1) county more often than once in five (5) years.

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In counties which have elected, or may elect by a majority vote of the duly qualified electors voting in the election, that the transportation, storage, sale, distribution, receipt and/or manufacture of * * * light intoxicating beverages shall not be permitted in the county, an election may be held in the same manner as the election hereinabove provided on the question of whether or not the transportation, storage, sale, distribution, receipt and/or manufacture of said beverages shall be permitted in such county.

Such election shall be ordered by the board of supervisors of such county on a petition of twenty percent (20%) or fifteen hundred (1 * * *500), whichever number is the lesser, of the duly qualified electors of such county.

No election on this question can be ordered more often than once in five (5) years.

(2) Nothing in this section shall make it unlawful to possess * * * light intoxicating beverages.

(3) Nothing in this section shall make it unlawful to:

(a) Sell, distribute and transport light * * * intoxicating beverages to a qualified resort area as defined in Section 67-1-5;

(b) Sell light * * * intoxicating beverages at a qualified resort area as defined in Section 67-1-5 if such light * * * intoxicating beverages sold by a person with a permit to engage in the business as a retailer of light * * * intoxicating beverages;

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(c) Transport beer of an alcoholic content of more than eight percent (8%) by weight if it is being transported to another state for legal sale in that state;

(d) Transport legally purchased light * * * intoxicating beverages in unopened containers;