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USDA Hemp Listening Session Testimony

Courtney N. Moran, LL.M.

March 11, 2019

I am Courtney Moran, Founding Principal of EARTH Law, LLC, and Chief Legislative 

Strategist for Agricultural Hemp Solutions, LLC. I had the privilege of working pro-bono, with 

the offices of Senate Majority Leader Mitch McConnell and Senator Ron Wyden on the drafting 

of the Hemp Farming Act of 2018, the language included in the 2018 Farm Bill legalizing hemp. 

I have first-hand knowledge of the Congressional intent.

The 2018 Farm Bill provides key language supporting hemp’s growth as a legal agricultural 

commodity. Section 10113 instructs the USDA to administer a program allowing individuals to 

cultivate, grow, and sell hemp and hemp derivatives. Thank you for giving the industry an 

opportunity to provide input as USDA begins developing regulations for implementation.

The industry respectfully urges USDA to pay close attention to the following during regulation 

promulgation:

Section 10114 provides that nothing in the Horticulture Title of the 2018 Farm Bill prohibits the 

interstate commerce of hemp or hemp products, and further prevents states and tribal 

governments from prohibiting the transportation of hemp or hemp products through the State or 

the territory. However, we continue to learn of hemp crop and product seizures by law 

enforcement throughout the country for simple transportation of the commodity. As a result, 

many trucking/shipping companies are not offering hemp farmers or business owners 

transportation and shipping services. The industry needs USDA to develop clear guidance for the 

transportation of hemp to discourage states and local law enforcement from interfering with 

shipments of hemp and hemp products that were legally produced in another state.

Another issue that needs immediate attention is access to banking with financial institutions. 

Farmers and hemp agribusiness owners have struggled during the past four and a half years and 

continue to have limited options for securing bank accounts. The industry needs the USDA to 

work in collaboration with the Department of Treasury in issuing guidance to alleviate issues 

regarding access to banking for legal hemp businesses. 

USDA’s National Organic Program guidance currently does not provide for full hemp plant 

organic certification, namely for flower production for hemp-derived cannabinoids and the 

processing of hemp-derived cannabinoids. The industry respectfully requests NOP to issue 

guidance as soon as possible clarifying authority for full plant organic certification. 

The eligibility for crop insurance overseen by the USDA's Risk Management Agency is 

something hemp farmers across the U.S. are eager to realize, as they have had limited, if any,

access to insurance for their crops produced under the 2014 Farm Bill Agricultural Pilot 

Programs.
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With regard to the 2018 Farm Bill’s “felon ban,” it was Congress’ intent to restrict only the 

individual applicant for a hemp permit from growing hemp and not for the restriction to extend 

to employees. For entity applicants, it was the intent that a company be eligible for a hemp 

permit if that company is owned by at least 51 percent individuals without a controlled substance 

felony in the previous 10 years. Please ensure USDA develops regulatory guidelines that do not 

extend this felony restriction beyond the applicant. 

One last critical topic that many have submitted comments on, testing of delta-9 

tetrahydrocannabinol (THC) levels of hemp plants in-field with a reliable testing method. The

federal definition for hemp specifically refers to delta-9 THC. The use of High-performance 

liquid chromatography mass spectrometry (HPLC-MS) is recommended for the testing of delta-9 

THC levels. To date, under the 2014 Farm Bill Agricultural Pilot Programs pre-harvest testing of 

the crop has been conducted using methods that specifically call for not decarboxylating the 

sample. A change now to testing post-decarboxylation for total THC will have significant 

negative financial impacts on domestic breeders, favoring foreign varieties and imports, rather 

than the varieties farmers across the U.S. have bred, are currently growing, and have grown for 

the past four production seasons. Similarly, the industry encourages USDA to explore options for 

destruction of non-compliant crops, including for the use of non-consumable fiber products and 

consumable grain products produced from seed rendered incapable of germination. 

Thank you for your consideration of these important issues. The USDA is now in position to take 

the lead to put an end to the disruption of basic commerce related to the hemp industry and to 

establish regulations that provide for positive economic impacts for farmers and agribusiness

owners across the United States.

I am eager to continue collaboration with USDA in the development and implementation of 

guidance and regulations that address these issues and provide for a flourishing domestic hemp 

farming economy.