Alaska Senate Unanimously Passes Bill to Overhaul Industrial Hemp Rules

The Alaska Senate has unanimously passed a bill that would make several changes to the state’s industrial hemp program, including new rules for testing, transportation, enforcement and smaller growers.

Senate Bill 208, sponsored by State Senator Jesse Bjorkman (R), was passed by the Senate in a 20 to 0 vote. The measure is now moving its way through the House of Representatives, where its passage would send the bill to Governor Mike Dunleavy.

The bill would require the Department of Natural Resources to update regulations for industrial hemp, including rules for approved seed sources, post-harvest THC testing, production practices and isolation distances for seed-purity production.

Among its key provisions, SB 208 would establish tiered testing requirements based on risk categories, create a micro-grower category with scaled reporting, inspection, testing and fee requirements, and remove in-state transportation authorization requirements for hemp moving between registered parties when accompanied by approved documentation.

The measure would also change how the state handles hemp that tests above the legal THC threshold. Hemp testing above 0.3% delta-9 THC but not more than 1% could be retained and reconditioned, remediated or converted to a nonintoxicating industrial use before destruction is ordered. Hemp testing above 1% delta-9 THC would still be subject to destruction requirements.

The proposal would also create corrective-action procedures for hemp violations, requiring regulators to prioritize compliance before moving to harsher penalties. The process would include written notice of noncompliance, an opportunity for the registrant to cure the violation, and objective criteria for when enforcement can escalate to civil penalties, suspension or revocation.

In addition to the hemp provisions, SB 208 includes a broader agricultural land component that would update how Alaska sells and leases state land for agricultural uses. The bill would create a process for applicants to purchase or lease state agricultural land based on factors such as proposed agricultural use, soil and water conservation plans, financial viability, and relevant experience. It would also allow certain agricultural leases to run for up to 20 years, with renewal options, and establish a lease-purchase program for qualifying lessees. The measure would also designate the O-S Cross cabbage, commonly known as the “giant green cabbage,” as Alaska’s official state vegetable.