§19-12E-10. Industrial hemp research and development grant fund -- fees.

(a) There is hereby created in the State Treasury the Industrial Hemp Research and Development Grant Fund, referred to in this section as the “hemp fund”, that shall be exclusively administered by the Commissioner of Agriculture for the purpose of funding this grant program. The fund consists of fees collected by the commissioner pursuant to subsection (b) of this section and any general fund moneys appropriated to the fund by the Legislature. The moneys in the fund are subject to annual appropriation by the Legislature to the Department of Agriculture for the direct costs associated with implementing this section.

(b) The commissioner shall collect from persons applying for a registration pursuant to this section. The commissioner shall set a fee schedule based on the size and use of the land area on which the person will conduct industrial hemp operations and shall set the fee at a level sufficient to generate the amount of moneys necessary to cover the department’s direct costs in implementing this section. The commissioner shall transmit the fees collected pursuant to this section to the State Treasurer for deposit in the fund.

(c) The department shall administer an Industrial Hemp Research and Development Program to private companies and state institutions of higher education to conduct research and development of industrial hemp for commercial purposes. The objectives of the research may include growing industrial hemp to provide breeding strains to aid West Virginia’s hemp program and to create West Virginia stains of industrial hemp.

(d) There is hereby created in the State Treasury the Industrial Hemp Research Fund consisting of:

(1) Fees collected by the commissioner pursuant to §19-12E-8 of this code;

(2) Any moneys from foundations, private individuals, or any other funding sources that can be used to expand the scope or time frame of any hemp research authorized pursuant to this article.

ARTICLE 16. WEST VIRGINIA SEED LAW.

(a) The commissioner may create and administer an industrial hemp seed certification program to obtain and develop varieties of seeds which meet the purposes and provisions of §19-12E-1 et seq. of this code. The program shall be consistent with this article and applicable federal law. This program may include West Virginia landrace cannabis seed varieties. For the purposes of this article, “West Virginia landrace cannabis seed” means seed from the plant cannabis sativa that possesses characteristics of a unique and specialized cannabis seed variety that is present in West Virginia or has been recognized as produced in West Virginia.

(b) Persons or entities, licensed pursuant to §19-12E-1 et seq. of this code, may obtain a license for the development of industrial hemp varieties for certification. The commissioner may assess a fee, consistent with the provisions of §19-12E-7 of this code, to operate and administer the seed certification program. The fees shall be deposited in the Agricultural Fees Fund established by §19-1-4c of this code.

(c) The commissioner may promulgate emergency rules and shall propose rules for legislative approval pursuant to §29A-3-1 et seq. of this code for the purpose of implementing the provisions of this section.”