OAR Chapter 648 — Department of Agriculture, Oregon Hemp Commission

Division 1 PROCEDURES FOR NOTICES OF PROPOSED RULEMAKING

Or. Admin. R. 648-001-0010 PROCEDURES FOR NOTICES OF PROPOSED RULEMAKING

Before adopting, amending or repealing any permanent rule, the Oregon Hemp Commission will give notice of the intended action:

(1) By causing the notice to be published in the Secretary of State’s Bulletin, referred to in ORS 183.360, at least 21 days before the effective date of the rule;

(2) By providing a copy of the notice to persons on the Oregon Hemp Commission’s interested parties list established pursuant to ORS 183.335(7) at least 28 days before the effective date of the rule;

(3) By providing a copy of the notice to the legislators specified in ORS 183.335(14) at least 49 days before the effective date of the rule; and

(4) By mailing or furnishing a copy of the notice to:

(a) The Associated Press;

(b) Associations with an interest in a commission’s rulemaking and publications whose readers have an interest in commission’s activities; and

(c) Newspapers in primary production regions of the commodities represented by the commission.

History

• Statutory/Other Authority: ORS 571.406(3) & ORS 571.423(19)
• Statutes/Other Implemented: ORS 571.406(3), ORS 571.423(19), ORS 183.335 & ORS 183.341(4)
• HEMP 1-2022, adopt filed 06/27/2022, effective 07/20/2022

Division 10 REPORTING AND PAYMENT OF ASSESSMENTS

Or. Admin. R. 648-010-0010 Definitions

The following definitions apply to the rules in this Division 10, unless the context requires otherwise:

(1) “Arm’s-length Transaction” is one in which each party is acting independently in such party’s own economic self-interest. The purest example of an arm’s-length transaction is a purchase and sale between strangers in an open market or at public auction. Transactions between a cooperative and its member and transactions among affiliates would not be considered at arm’s-length.

(2) “Assessment” means a percentage of the Dollar Value levied by the Commission on Hemp.

(3) "Assessment Period" means the current Reporting Year.

(4) “Assessment Report” is the form approved by the Commission on which a Producer or a Vertically Integrated Producer will report to the Commission the amount, type, and Dollar Value of the hemp grown or produced in Oregon and Sold Commercially or Transferred Internally.

(5) “Dollar Value” means, if Sold Commercially, the actual price, share, or other form of compensation received in exchange for Hemp, including but not necessarily limited to, remuneration in the form of inputs, goods, services, and any other consideration, or, if Transferred Internally, the Monetary Valuation of the Hemp, reported in United States dollars.

(6) "Casual Sale" means a sale made by a Producer directly to a consumer of raw, unprocessed Hemp of less than $500, calculated based on a single fiscal year.

(7) "Commission" means the Oregon Hemp Commission.

(8) “Good cause” means that an action, delay, or failure to act arises from an excusable mistake, surprise, or excusable neglect based upon reasonable reliance on the statement of a party or agency related to procedural requirements, or from fraud, misrepresentation, or other misconduct of the Commission.

(9) “Handler” has the meaning given to that term in ORS 571.269(8).

(10) “Hemp” means "Industrial Hemp" and these terms are used interchangeably.

(11) "Industrial Hemp" has the meaning given to that term in OAR 603-048-0010(24).

(12) "Monetary Valuation" means the amount that would be paid in cash for Hemp if it were to be sold to a third party in an Arm's-length Transaction.

(13) "Producer" has the meaning given to the term “grower” in ORS 571.269(7).

(14) "Reporting Year" means the 12-month period beginning July 1 and ending June 30 each year, except that for 2022, the Reporting Year shall begin on January 1, 2023.

(15) “Sold Commercially” means Hemp that is transferred in commercial channels because it has moved from the Producer to the Handler with both parties agreeing that a method of compensation will be provided to the Producer.

(16) “Transferred Internally” means Hemp that is transferred in commercial channels because it has moved from the Producer to the Handler when the transferring and receiving party is part of the same Vertically Integrated Producer.

(17) "Vertically Integrated Producer" means a Producer who is also a Handler.

History

• Statutory/Other Authority: ORS 571.269, ORS 571.406 (3), ORS 571.423 & ORS 571.447
• Statutes/Other Implemented: ORS 571.269, ORS 571.406 (3), ORS 571.423 & ORS 571.447 - 571.501
• HEMP 4-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-010-0020 Assessments

All Producers and Vertically Integrated Producers shall pay to the Commission the Assessment at the following rates:

(1) Hemp biomass used for cannabinoid extraction: 1% of the Dollar Value;

(2) Hemp biomass used as fiber for textiles, rope, paper, plastics, hempcrete, or other building or fiber materials: 1% of the Dollar Value;

(3) Hemp biomass used as animal feed: 1% of the Dollar Value;

(4) Hemp biomass used for flower: 1% of the Dollar Value;

(5) Hemp seed for planting: 1% of the Dollar Value;

(6) Hemp seed used as grain: 1% of the Dollar Value;

(7) Hemp seedlings, cuttings, clones: 1% of the Dollar Value;

(8) Hemp seed for human consumption: 1% of the Dollar Value; and

(9) Hemp seed for pressing or processing into oil: 1% of the Dollar Value.

History

• Statutory/Other Authority: ORS 571.406(3), ORS 571.423 & ORS 571.447
• Statutes/Other Implemented: ORS 571.406(3), ORS 571.423 & ORS 571.447 - 571.501
• HEMP 4-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-010-0030 Effective Dates of Assessments

The Assessment required by OAR 648-010-0020, and the Assessment Report required by OAR 648-010-0040 applies to all Hemp produced in Oregon and Sold Commercially or Transferred Internally, except for Hemp that Is subject to a Casual Sale, on or after January 1, 2023.

History

• Statutory/Other Authority: ORS 571.406(3), ORS 571.423 & ORS 571.447
• Statutes/Other Implemented: ORS 571.406(3), ORS 571.423 & ORS 571.447 - 571.501
• HEMP 4-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-010-0040 Reports and Payments of Assessment Moneys

(1) All Producers and Vertically Integrated Producers shall make an accurate Assessment Report to the Commission on forms approved by and provided by the Commission.

(2) For all Hemp Sold Commercially or Transferred Internally, the Producer or Vertically Integrated Producer shall complete and file an Assessment Report and pay the Assessment to the Commission quarterly as follows:

(a) for sales or transfers in January, February, and March, the Assessment Report and Assessment must be submitted on or before the April 15;

(b) for sales or transfers in April, May, and June, the Assessment Report and Assessment must be submitted on or before July 15,

(c) for sales or transfers in July, August, and September, the Assessment Report and Assessment must be submitted on or before October 15, and

(d) for sales or transfers in October, November, and December, the Assessment Report and Assessment must be submitted on or before January 15.

(e) For purposes of this section (2) of this rule, Assessments submitted via postal mail shall be considered timely If postmarked on or before the quarter's deadline in which the assessment is due.

(3) If a Producer or Vertically Integrated Producer has not Sold Commercially or Transferred Internally Hemp during the quarter, the Producer or Vertically Integrated Producer shall complete and file an Assessment Report at by the date indicated in section (2) indicating on the Assessment Report that no Hemp was Sold Commercially or Transferred Internally during the quarter.

(4) Assessment Reports filed with the Commission are confidential to the extent allowed by ORS 192.345(5).

(5) The Commission shall maintain Assessment Reports filed with the Commission pursuant to OAR 166-350-0010.

(6) A Producer or Vertically Integrated Producer who believes that the amount of an Assessment was incorrect may apply to the Commission for a refund not later than 60 days after the date on which the person paid the Assessment.

History

• Statutory/Other Authority: ORS 571.406(3), ORS 571.423, ORS 571.447 & ORS 571.468(4)(b)
• Statutes/Other Implemented: ORS 571.406(3), ORS 571.423 & ORS 571.447 - 571.501
• HEMP 4-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-010-0050 Penalties

(1) In addition to the penalties prescribed in ORS 571.501, a Producer or Vertically Integrated Producer who fails to pay any or all of the Assessment by the date in OAR 648-010-0040(2) shall pay the amount of the Assessment due, a penalty of 10 percent of the Assessment due, and one and one-half percent interest per month on any unpaid balance of the Assessment due, except that the Commission may decide to waive the penalty and interest upon showing of Good Cause.

(2) The Commission may commence a civil action or utilize any other available legal or equitable remedy to collect an Assessment, interest, or penalty, obtain injunctive relief or obtain specific performance under ORS 571.400 to 571.501.

(3) If the Commission obtains a favorable judgment in an action or suit under section (2) of this rule, the court shall award to the Commission costs and reasonable attorney fees.

History

• Statutory/Other Authority: ORS 571.406(3), ORS 571.423 & ORS 571.447
• Statutes/Other Implemented: ORS 571.406(3), ORS 571.423 & ORS 571.447 - 571.501
• HEMP 4-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-010-0060 Records of Producer Required to Pay Assessment

(1) A Producer and Vertically Integrated Producer shall maintain accurate records sufficient to enable the Commission to determine by inspection and audit the accuracy of Assessment Reports and Assessments paid or due to the Commission and of made or due to the Commission.

(2) The Commission may inspect and audit the records referred to in section (1) of this rule for the purpose of determining the accuracy of Assessment Reports and Assessments paid or due to the Commission.

(3) For purposes of determining the accuracy of Assessment Reports and Assessments paid or due to the Commission, the Commission may issue a subpoena for the production of any books, records or documents related to the Assessment to a Producer or Vertically Integrated Producer required to pay the Assessment. A Producer or Vertically Integrated Producer is delinquent in the payment of an Assessment, the Producer or Vertically Integrated Producer shall pay the cost of the audit, not to exceed an amount equal to the delinquent Assessment.

History

• Statutory/Other Authority: ORS 571.406(3), ORS 571.423 & ORS 571.447
• Statutes/Other Implemented: ORS 571.406(3), ORS 571.423 & ORS 571.447 -571.501
• HEMP 4-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-010-0070 Dispute Regarding Amount of Assessment

A Producer or a Vertically Integrated Producer may file a challenge to an Assessment with the Commission, on a form provided by the State Department of Agriculture, in accordance with OAR Chapter 603, Division 43.

History

• Statutory/Other Authority: ORS 571.406(3), ORS 571.423 & ORS 571.447
• Statutes/Other Implemented: ORS 571.406(3), ORS 571.423 & ORS 571.447 - 571.501
• HEMP 4-2022, adopt filed 08/15/2022, effective 08/15/2022

Division 20 PUBLIC RECORDS REQUESTS PROCEDURES

Or. Admin. R. 648-020-0010 Purpose of Public Records Requests Processing Rules

(1) To implement the provisions of ORS 192.324(7) that require each public body to publish its methods for the public to obtain information and in order to implement the provisions of ORS 192.318 to provide reasonable rules necessary for the protection of Oregon Hemp Commission records and to prevent interference with the regular discharge of the commission’s duties, the commission adopts the procedures set forth in this division. Procedures for review of any denial of public records requests, or fee waiver or reduction, shall be in accordance with the provisions of ORS 192.311 to 192.478.

(2) Capitalized terms in this division not specifically defined are as defined in ORS 192.311.

History

• Statutory/Other Authority: ORS 192.318, ORS 192.324, ORS 571.406(3) & ORS 571.423(19)
• Statutes/Other Implemented: ORS 192.311 to ORS 192.478
• HEMP 2-2022, adopt filed 06/29/2022, effective 06/29/2022

Or. Admin. R. 648-020-0020 Request to Inspect or Make Copies of Public Records

(1) A request to inspect or receive a copy a public record must be made in writing and must identify as specifically as possible the type of record(s), subject matter, approximate date(s), names of person(s), business or organization involved, the manner in which the requester prefers to receive the record(s) and, if requested in paper, the number of copies requested; and the name, address, email, and phone number of the person requesting the public record(s).

(2) Requests must be sent to the “Administrator/Public Records Information Officer” at the office of the commission at hemp-commission@oda.oregon.gov

History

• Statutory/Other Authority: ORS 192.318, ORS 192.324, ORS 571.406(3) & ORS 571.423(19)
• Statutes/Other Implemented: ORS 192.311 to ORS 192.478
• HEMP 2-2022, adopt filed 06/29/2022, effective 06/29/2022

Or. Admin. R. 648-020-0030 Commission Procedure for Responses to Public Records Requests

(1) The commission may request additional information or clarification from a requester of public records for the purpose of expediting the commission’s response to the request.

(2) Within five business days after receiving the request, the commission shall acknowledge receipt of the request or complete the response to the request. An acknowledgment under this subsection must:

(a) Confirm that the commission is the custodian of the requested record; or

(b) Inform the requester that the commission is not the custodian of the requested record; or

(c) Notify the requester that the commission is uncertain whether the commission is the custodian of the requested record.

(3) As soon as reasonably possible but not later than 10 business days after the date by which the commission is required to acknowledge receipt of the request the commission shall:

(a) Complete its response to the public records request; or

(b) Provide a written statement that the commission is still processing the request, including a reasonable estimated date by which the commission expects to complete its response based on the information currently available.

(4) The commission shall complete its response to a written public records request that is received by the Administrator/Public Records Information Officer as soon as practical and without unreasonable delay. The commission’s response is complete when the commission:

(a) Provides access to or copies of all requested records within the possession or custody of the commission that the commission does not assert are exempt from public disclosure, or explains where the records are already publicly available; or,

(b) Names any exemptions from disclosure that the commission believes apply to any requested records and, if the commission cites ORS 192.355 (8) or (9), identifies the state or federal law that the commission relied on in asserting the exemption(s); or,

(c) Provides public records, or portions of public records, that are not exempt from disclosure; or,

(d) To the extent that the commission is not the custodian of records that have been requested, provides a written statement to that effect; or,

(e) To the extent that state or federal law prohibits the commission from acknowledging whether any requested record exists or that acknowledging whether a requested record exists would result in the loss of federal benefits or imposition of another sanction, provides a written statement to that effect, citing the state or federal law that the commission relies on, unless the written statement itself would violate state or federal law; or

(f) If the commission asserts that one or more requested records are exempt from public disclosure, includes a statement that the requester may seek review of the commission’s determination pursuant to ORS 192.401, 192.411, 192.415, 192.418, 192.422, 192.427 and 192.431.

(5) If the public record is maintained in a machine readable or electronic form, the commission shall provide a copy of the public record in the form requested, if available. If the public record is not available in the form requested, the commission shall make the public record available in the form in which the public body maintains the public record.

(6) If in reviewing the request the commission determines that a fee will likely exceed $25, the commission shall estimate the allowable fee consistent with 648-020-0060 and provide the requester with a written notification of the estimated amount of the fee.

(7) The commission may, in the course of responding to any request, make good faith requests for clarification or additional information that will assist the commission in expediting its response to the request. If in reviewing the request the commission determines that a fee will likely exceed $250, the commission shall work with requester to refine the scope of the request or otherwise seek to reduce the cost of the request.

(8) The commission shall not proceed with processing any request until the requester provides payment, or the fee has been waived by the commission pursuant to 648-020-0060, or the fee otherwise has been ordered waived.

History

• Statutory/Other Authority: ORS 192.318, ORS 192.324, ORS 571.406(3) & ORS 571.423(19)
• Statutes/Other Implemented: ORS 192.311 to ORS 192.478
• HEMP 2-2022, adopt filed 06/29/2022, effective 06/29/2022

Or. Admin. R. 648-020-0040 Exceptions to Established Time Periods

(1) The commission is not required to comply with the time periods set forth in this division if the commission finds that compliance would be impracticable because:

(a) The staff or volunteers necessary to complete a response to the public records request are unavailable, on leave, or are not scheduled to work; or

(b) Compliance would demonstrably impede the commission’s ability to perform other necessary services; or

(c) Of the volume of public records requests being simultaneously processed by the commission.

(2) The commission shall make reasonable efforts to communicate to the requester the allowable reason(s) the commission may not be able to comply or has not complied with the time periods established in this division, and shall, as soon as practicable and without unreasonable delay, acknowledge a public records request and complete the response to the request.

(3) Once the commission has informed the requester of the estimated fee calculated in accordance with this 648-020-0050, the time periods set forth in this division are suspended until the requester has paid the fee, or the fee has been waived by the commission pursuant to 648-020-0060, or the fee otherwise has been ordered waived. The commission shall close the request if the requester fails to pay the fee within 60 days of the date on which the commission informed the requester of the fee, or the requester fails to pay the fee within 60 days of the date on which the commission informed the requester of its denial of the fee waiver.

(4) Once the commission has in good faith requested additional information or clarification regarding the request, the time periods set forth in this division are suspended until the requester provides the requested additional information or clarification or affirmatively declines to provide that information or clarification. The commission shall close the request if the requester fails to respond within 60 days to a good faith request from the commission for additional information or clarification.

History

• Statutory/Other Authority: ORS 192.318, ORS 192.324, ORS 571.406(3) & ORS 571.423(19)
• Statutes/Other Implemented: ORS 192.311 to ORS 192.478
• HEMP 2-2022, adopt filed 06/29/2022, effective 06/29/2022

Or. Admin. R. 648-020-0050 Fee for Cost of Making Public Records Available

(1) The following fees are reasonably calculated to reimburse the commission for the commission’s actual cost of making public records available, including costs for summarizing, compiling or tailoring the public records, either in organization or media, to meet the request.

(a) Records search by clerical staff @ $25.00 per hour;

(b) Records search by managerial staff @ $40.00 per hour;

(c) Records search by professional or legal staff @ $75.00 per hour;

(d) Copies @ current state printing & distribution price list;

(e) Media @ statewide price agreement;

(f) Postage @ current postal rates;

(g) If the request appears to require commission services for which no fee has been established (computer time, travel, shipping cost, communication costs, etc.) the actual cost shall be determined or estimated by the commission.

(2) If the commission can fulfill a request for records using less than 30 minutes of staff time, the commission shall not charge the requester.

(3) All or a portion of fees may be waived as provided in 648-020-0060.

(4) The commission may also include in the fee an estimate of the actual cost of anticipated time spent by an attorney for the commission in reviewing the public records, redacting material from the public records or segregating the public records into exempt and nonexempt records. The fee shall not include the cost of time spent by an attorney for the commission in determining the application of the provisions of ORS 192.311 to 192.478.

History

• Statutory/Other Authority: ORS 192.318, ORS 192.324, ORS 571.406(3) & ORS 571.423(19)
• Statutes/Other Implemented: ORS 192.311 to ORS 192.478
• HEMP 2-2022, adopt filed 06/29/2022, effective 06/29/2022

Or. Admin. R. 648-020-0060 Fee Waiver or Reduction

(1) Any person requesting a fee waiver or reduction from the commission must submit a completed Fee Waiver or Reduction Request Form to the commission at the address provided in 648-020-0020. The form is available from the commission.

(2) The commission may furnish copies without charge or at a substantially reduced fee if the commission determines that a fee waiver or reduction of fees is in the public interest because making the record available primarily benefits the general public.

(3) To determine whether to waive or reduce fees, the commission shall utilize the Public Interest Evaluation Form as provided in DAS policy 107-001-030.

(4) The reduced fee schedule is that listed in Department of Administrative Services policy 107-001-030:

(a) Clerical: $20 per hour;

(b) Managerial: $32 per hour;

(c) Professional: $60 per hour;

(d) Department of Justice, special attorney or other applicable legal fees: $75 per hour;

(e) Copies, media, and postage fees will be based on current rates.

History

• Statutory/Other Authority: ORS 192.318, ORS 192.324, ORS 571.406(3) & ORS 571.423(19)
• Statutes/Other Implemented: ORS 192.311 to ORS 192.478
• HEMP 2-2022, adopt filed 06/29/2022, effective 06/29/2022

Division 30 COMMISSION MAKE-UP, TERMS, QUALIFICATIONS, ELECTION OF OFFICERS, REMOVAL FROM OFFICE

Or. Admin. R. 648-030-0010 Definitions

For purposes of these Division 30 rules:

(1) “Producer” has the meaning given the term “grower” in ORS 571.269, which means a person, joint venture or cooperative that produces industrial hemp. A producer must have produced hemp under a license or registration issued by the State Department of Agriculture for at least three years prior to being appointed as a commissioner.

(2) “Handler” has the meaning given that term in ORS 571.269, which means a person, joint venture or cooperative that receives industrial hemp for processing into commodities, products or agricultural hemp seed. "Handler" also has the same meaning as "processor," as that term is defined in ORS 571.400. A handler must have processed hemp under a license or registration issued by the Department for at least three years prior to being appointed as a commissioner, or must be an employee of such a company.

(3) "Commission" means the Oregon Hemp Commission.

(4) “Department” means the Department of Agriculture of the State of Oregon.

(5) “Director” means the Director of the Department.

History

• Statutory/Other Authority: ORS 571.406(3) & ORS 571.423(19)
• Statutes/Other Implemented: ORS 571.406(3), ORS 571.423(19), ORS 571.406(6) & ORS 571.406(7)
• HEMP 2-2022, adopt filed 06/29/2022, effective 06/29/2022

Or. Admin. R. 648-030-0020 Number of Commissioners; Term Length

(1) The Oregon Hemp Commission shall consist of nine commissioners appointed by the Director for a term of four years, or if for a term following a prior term for that person, the term will end four years from the expiration date of any prior term. The terms for the first set of commissioners shall be staggered as follows: three commissioners (Producer 5, Handler 1, and the Public Member) will serve serve two years; three commissioners (Producer 2, Producer 6, and Handler 2) will serve three years; and three commissioners (Producer 4, Producer 3, and Producer 1) will serve four years.

(2) The Oregon Hemp Commission shall consist of six producers, two processors, and one public member.

History

• Statutory/Other Authority: ORS 571.406(3) & ORS 571.423(19)
• Statutes/Other Implemented: ORS 571.406(3), ORS 571.423(19), ORS 571.406(6), ORS 571.406(7) & ORS 571.406(8)
• HEMP 2-2022, adopt filed 06/29/2022, effective 06/29/2022

Or. Admin. R. 648-030-0030 Qualifications of Commissioners

Hemp commissioners shall have the following qualifications, which shall continue during the term(s) of office of the commissioner:

(1) All commissioners shall be U.S. citizens and Oregon residents;

(2) Six commissioners shall be producers. Producer commissioners must have produced hemp under a license or registration issued by the Department for at least three years prior to appointment to the commission;

(3) Two commissioners shall be handlers. Handler commissioners must have processed hemp under a license or registration issued by the Department for at least three years prior to appointment to the commission; and

(4) One commissioner shall be a member of the public with an active interest in the positive economic development, production or marketing of hemp, but who is not associated with the production or processing of hemp.

History

• Statutory/Other Authority: ORS 571.406(3) & ORS 571.423(19)
• Statutes/Other Implemented: ORS 571.406(3), ORS 571.423(19), ORS 571.406(6) & ORS571.406(7)
• HEMP 2-2022, adopt filed 06/29/2022, effective 06/29/2022

Or. Admin. R. 648-030-0040 Geographic Representation

(1) In addition to the qualifications set forth in OAR 648-030-0030, the Director shall appoint producer commissioners so that each of the following hemp-producing regions of the state is represented by one producer as follows:

(a) Central, consisting of Crook, Deschutes, Gilliam, Jefferson, Lake, Morrow, Sherman, Wasco, and Wheeler counties, represented by Producer 1;

(b) Eastern, consisting of Baker, Grant, Harney, Malheur, Umatilla, Union, and Wallowa counties, represented by Producer 2;

(c) Northwest, consisting of Benton, Clatsop, Columbia, Clackamas, Hood River, Lane, Lincoln, Linn, Marion, Multnomah, Polk, Tillamook, Washington, and Yamhill counties, represented by Producer 3; and

(d) Southwest, consisting of Coos, Curry, Douglas, Jackson, Josephine, and Klamath counties, represented by Producer 4.

(2) Two producers (Producer 5 and Producer 6) shall represent the state at-large, and to the extent possible the Director shall appoint individuals who represent otherwise-underrepresented aspects of hemp production or who represent communities that are otherwise underrepresented in hemp production.

(3) To the extent possible, the two Handler commissioners (Handler 1 and Handler 2) shall represent separate types of processing, such as for CBD (essential oils), for fiber, or for grain.

(4) Notwithstanding section (1) of this rule, if a position remains vacant for more than 45 days despite reasonable efforts to recruit a member from a specific region, the Director may appoint a person who meets the qualifications in all other ways. Once that person’s term(s) expires and he or she is not reappointed, the position will again be subject to the geographic and processing qualification requirements.

History

• Statutory/Other Authority: ORS 571.406(3) & ORS 571.423(19)
• Statutes/Other Implemented: ORS 571.406(3), ORS 571.423(19), ORS 571.406(7) & ORS 571.406(8)
• HEMP 2-2022, adopt filed 06/29/2022, effective 06/29/2022

Or. Admin. R. 648-030-0050 Chairperson and Other Officers

(1) Annually, at the Commission’s budget hearing for the new fiscal year, the Commission shall elect from the commissioners a Chairperson, a Vice Chairperson, and a Secretary/Treasurer (collectively, "officers"), who shall serve until their successors are elected.

(2) Any officer may resign or may be removed as an officer by a vote of five of the commissioners. If any officer ceases to be a commissioner, the office shall be vacant and a successor shall be elected at the next meeting of the Commission.

(3) The Chairperson shall preside over all meetings of the Commission. The Vice Chairperson or Secretary/Treasurer shall act in lieu of the Chairperson when the Chairperson is unable to perform the duties of the office or while the office is vacant.

History

• Statutory/Other Authority: ORS 571.406(3) & ORS 571.423(19)
• Statutes/Other Implemented: ORS 571.406(3), ORS 571.423(19) & ORS 571.406(9)
• HEMP 2-2022, adopt filed 06/29/2022, effective 06/29/2022

Or. Admin. R. 648-030-0060 Removal of Commissioners

(1) The Director of the Department of Agriculture may remove a commissioner from office for cause and declare the position vacant.

(2) The Commission may make a recommendation regarding removal of a commissioner to the Director of the Department of Agriculture, or the Director may request a recommendation from the Commission on the removal of any commissioner.

(3) The Commission may recommend that the Director of the Department of Agriculture remove a commissioner from office for cause, and declare the position vacant, for the following reasons:

(a) Three unexcused absences during the commissioner’s term in office, or other neglect of duty in office;

(b) Use of the commissioner position for personal financial gain or to avoid personal financial detriment;

(c) Unauthorized use or disclosure of confidential information;

(d) Conduct in violation of Oregon government ethics law;

(e) Conduct in violation of Oregon public meeting or public records law;

(f) Misappropriation or misuse of Commission funds;

(g) Failure to act for the positive economic benefit of the commodity; or

(h) Failure to satisfy one or more qualifications for appointment.

History

• Statutory/Other Authority: ORS 571.406(3), ORS 571.423(19) & ORS 571.414
• Statutes/Other Implemented: ORS 571.406(3), ORS 571.423(19), ORS 571.410, ORS 571.412 & ORS 571.414
• HEMP 2-2022, adopt filed 06/29/2022, effective 06/29/2022

Division 40 COMMISSIONER PER DIEM COMPENSATION AND EXPENSE REIMBURSEMENT

Or. Admin. R. 648-040-0100 Definitions

(1) “Actual and necessary” means that a travel or other expense:

(a) Is an actual expense incurred by a member in carrying out official duties; and

(b) The expense is necessary to enable the member to carry out official duties.

(2) “Member” means any individual appointed by the Director of Agriculture to serve on the Oregon Hemp Commission.

(3) “Non-qualified member” means a member other than a qualified member.

(4) “Other expenses” includes, but are not limited to, expenses incurred by a member of the Oregon Hemp Commission in employing a substitute to perform duties, including personal, normally performed by the member which the member is unable to perform because of the performance of official duties and which by the nature of such duties cannot be delayed without risk to health or safety. No member shall be reimbursed for expenses incurred in employing a substitute in excess of $25 per day.

(5) “Official duties” includes:

(a) Attendance at an Oregon Hemp Commission meeting or committee or subcommittee meeting;

(b) Substantial preparation for an Oregon Hemp Commission meeting or subcommittee meeting;

(c) Attendance at a conference or other activity as a representative of the Oregon Hemp Commission, either at the request of the chair of the Oregon Hemp Commission or as authorized in advance by a vote of the Oregon Hemp Commission; and

(d) Legislative testimony.

(6) “Qualified member” means a member who is not in full-time public service and who had an adjusted gross income in the previous tax year:

(a) Of less than $50,000, as reported on an income tax return other than a joint income tax return; or

(b) Of less than $100,000, as reported on a joint income tax return.

(7) “Travel and other expenses” includes meals and overnight lodging within reasonable limits, transportation, postage, and the cost of attending, as a representative of the Oregon Hemp Commission, an event associated with promotion of a commodity, such as a trade show, festival, stock show, county fair, or state fair. “Travel and other expenses” does not include:

(a) Attendance at a sporting event, concert, theatrical or dance performance, or movie, including such events that occur at a trade show, festival, stock show, county fair, or state fair;

(b) In-room movie rental;

(c) Telephone charges that are not associated with Oregon Hemp Commission business;

(d) Use of a gym or health club;

(e) Cost of a gift for a host, business associate, family member, or Oregon Hemp Commission member, employee, or contractor; or

(f) Alcoholic beverages.

History

• Statutory/Other Authority: ORS 571.406(3), ORS 571.417 & ORS 571.423
• Statutes/Other Implemented: ORS 571.417 & ORS 292.495
• HEMP 5-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-040-0110 Qualified Members

(1) In accordance with the procedures set forth in OAR 648-040-0130 and 648-040-0140, the Oregon Hemp Commission shall provide to a qualified member of the Oregon Hemp Commission:

(a) Per diem compensation equal to the per diem paid to members of the Legislative Assembly under ORS 171.072, for each day or portion thereof during which the qualified member is actually engaged in the performance of official duties; and

(b) Reimbursement of actual and necessary travel or other expenses actually incurred in the performance of a member’s official duties within the limits provided in Oregon Accounting Manual Policy 40.10.00.

(2) A qualified member of the Oregon Hemp Commission may decline to accept compensation or reimbursement of expenses related to the qualified member’s service on the Oregon Hemp Commission.

History

• Statutory/Other Authority: ORS 571.406(3), ORS 571.417 & ORS 571.423
• Statutes/Other Implemented: ORS 571.417 & ORS 292.495
• HEMP 5-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-040-0120 Non-Qualified Members

(1) In accordance with the procedures set forth in 648-040-0130, and only if there are funds available in the budget for such compensation, the Oregon Hemp Commission shall provide to a non-qualified member of the Oregon Hemp Commission who is not employed in full-time public service per diem compensation equal to the per diem paid to members of the Legislative Assembly under ORS 171.072, for each day or portion thereof during which the non-qualified member is actually engaged in the performance of official duties.

(2) In accordance with the procedures set forth in 648-040-0140, the Oregon Hemp Commission shall provide to a non-qualified member of the Oregon Hemp Commission reimbursement of actual and necessary travel or other expenses actually incurred in the performance of a non-qualified member’s official duties within the limits provided in Oregon Accounting Manual Policy 40.10.00.

(3) A non-qualified member of the Oregon Hemp Commission may decline to accept compensation or reimbursement of expenses related to the non-qualified member’s service on the Oregon Hemp Commission.

History

• Statutory/Other Authority: ORS 571.406(3), ORS 571.417 & ORS 571.423
• Statutes/Other Implemented: ORS 571.417 & ORS 292.495
• HEMP 5-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-040-0130 Procedures for Payment of Per Diem Compensation

A member must submit a written claim for compensation to the Oregon Hemp Commission no later than the 15th day of the calendar month following the month for which the member seeks compensation. For example, a claim for compensation for May 1 and May 10 must be submitted by June 15. The member must specify the amount of time the member spent performing official duties, as well as the nature of the official duties performed, for any day or portion thereof for which the member claims compensation.

History

• Statutory/Other Authority: ORS 571.406(3), ORS 571.417 & ORS 571.423
• Statutes/Other Implemented: ORS 571.417 & ORS 292.495
• HEMP 5-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-040-0140 Procedures for Expense Reimbursement

(1) A member must submit a written, itemized claim for reimbursement of actual and necessary travel or other expenses to the Oregon Hemp Commission no later than the 15th day of the calendar month following the month in which the member incurred the expense. For example, a claim for compensation for May 1 and May 10 must be submitted by June 15. The claim for reimbursement must include the following information for each expense:

(a) Date on which the member incurred the expense;

(b) Nature of the expense; and

(c) Amount of the expense.

(2) An expense that exceeds $1,000 must be authorized by the Oregon Hemp Commission before the member incurs the expense.

History

• Statutory/Other Authority: ORS 571.406(3), ORS 571.417 & ORS 571.423
• Statutes/Other Implemented: ORS 571.417 & ORS 292.495
• HEMP 5-2022, adopt filed 08/15/2022, effective 08/15/2022

Division 50 INTELLECTUAL PROPERTY PROCEDURES

Or. Admin. R. 648-050-0010 Purpose and Objectives

OAR chapter 648, division 50, implements ORS 571.444, which authorizes Commission to develop intellectual property that relates to hemp or assists in the implementation, maintenance or development of Commission programs. ORS 571.444 requires the Commission to adopt rules to govern the ownership, management, disposal and use of intellectual property and other activities of the Commission relating to intellectual property.

History

• Statutory/Other Authority: ORS 571.423 (19) & ORS 571.444
• Statutes/Other Implemented: ORS 571.444
• HEMP 3-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-050-0020 Definitions

The following definitions apply to the rules in OAR chapter 648, division 50, unless the context clearly requires otherwise:

(1) “Commission” means the State of Oregon, acting by and through the Oregon Hemp Commission.

(2) “Copyright” means a comprehensive privilege to exclusively print, reprint, publish, copy, translate, dramatize, convert, arrange, adapt, complete, execute, finish, deliver in public, perform, and transcribe an original work pursuant to 17 USC §§ 101-1511 (2021).

(3) “Intellectual Property” has the meaning given in ORS 571.444: “patents, copyrights, trademarks, inventions, discoveries, processes, ideas and other similar property, whether or not they are patentable or copyrightable.

(4) “Licensing Agreement” means a binding contractual instrument between the Commission and a Person identifying the terms and conditions by which such Person may use Commission Intellectual Property.

(5) “Patent” means an instrument issued by the federal government pursuant to 35 USC §§ 1-390 (2021) granting to original inventors the exclusive right for a period of time to manufacture, sell, and use the invention described therein.

(6) “Person” means a person as defined in in ORS 174.100, including individuals, corporations, associations, firms, partnerships, limited liability companies and joint stock companies. “Person” also means a federal, state, or local government body, a Native American tribe, or an agent or representative of any of the foregoing.

(7) “Trademark” has the meaning given in 15 USC § 1127 (2021).

History

• Statutory/Other Authority: ORS 571.423(19) & ORS 571.444
• Statutes/Other Implemented: ORS 571.444
• HEMP 3-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-050-0030 Authority to Own, Manage, Dispose of, and Use Intellectual Property

The Commission may, at its discretion, take actions that it deems necessary and appropriate to own, manage, dispose of, use, and allow other Persons to use Intellectual Property. Such actions may include, but are not limited to, applying for Patents, Copyright or Trademark registrations to perfect or preserve its rights with respect to Intellectual Property; employing Intellectual Property for its own use; and requiring other Persons to execute Licensing Agreements or other documents satisfactory to the Commission as a condition for licensing, sharing, or otherwise obtaining use of Intellectual Property from the Commission.

History

• Statutory/Other Authority: ORS 571.423(19) & ORS 571.444
• Statutes/Other Implemented: ORS 571.444
• HEMP 3-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-050-0040 Guidelines Concerning Acquisition and Use of Intellectual Property

(1) The Commission may, at its discretion, license, share with, or otherwise provide for the use by a Person of Intellectual Property acquired or developed by the Commission. In determining whether or not to allow use of its Intellectual Property, the Commission may consider factors including, but not necessarily limited to, the public interest served in allowing its use; the cost and administrative burden of allowing its use; the furtherance of Commission purposes through allowing its use; the potential liability from allowing its use; the Commission’s experience with the Person; the reputation in the community of the Person; the ability of the Person to pay an appropriate fee for the use of the Intellectual Property; the Person’s execution of a Licensing Agreement or other documents satisfactory to the Commission; and the impact of allowing its use on the ability of the Commission to acquire or develop additional Intellectual Property.

(2) The Commission may, at its discretion, enter into agreements, including but not necessarily limited to materials transfer agreements, memoranda of understanding, or a license to use Intellectual Property. In determining whether or not to enter into such agreements, the Commission may consider factors including, but not necessarily limited to, the public interest served in allowing its use; the cost and administrative burden of allowing its use; the furtherance of Commission purposes through allowing its use; the potential liability from allowing its use; the Commission’s experience with the Person; the reputation in the community of the Person; the Person’s execution of a Licensing Agreement or other documents satisfactory to the Commission; and the impact of allowing its use on the ability of the Commission to acquire or develop additional Intellectual Property.

History

• Statutory/Other Authority: ORS 571.423(19) & ORS 571.444
• Statutes/Other Implemented: ORS 571.444
• HEMP 3-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-050-0050 Fees and Other Moneys Received by the Commission

(1) The Commission may, at its discretion, charge fees for the licensing, sharing or other use of its Intellectual Property.

(2) In establishing fees, the Commission may consider factors including, but not necessarily limited to, its costs in acquiring, developing, protecting, maintaining, marketing, licensing (or otherwise allowing the use), and monitoring the use of Intellectual Property generally and of the particular Intellectual Property specifically; the demand for the Intellectual Property; market rates for similar or comparable products; Commission needs; the nature and resources of the Person desiring to use the Intellectual Property; the purposes for which the Intellectual Property will be used; and the public interest in its use.

(3) Payment of fees shall be made in the amount and at such time, place, and manner as the Commission requires.

(4) Moneys received by the Commission as a result of the ownership, management, disposal, or use of Intellectual Property, or other activities of the Commission relating to intellectual property, shall be deposited into the account established by the Commission as described in ORS 571.471.

History

• Statutory/Other Authority: ORS 571.423(19) & ORS 571.444
• Statutes/Other Implemented: ORS 571.444
• HEMP 3-2022, adopt filed 08/15/2022, effective 08/15/2022

Or. Admin. R. 648-050-0060 Waiver or Modification

The Commission may, in the exercise of its discretion, waive or modify any requirements of OAR chapter 648, division 50, unless such waiver or modification would violate applicable federal or state law.

History

• Statutory/Other Authority: ORS 571.423(19) & ORS 571.444
• Statutes/Other Implemented: ORS 571.444
• HEMP 3-2022, adopt filed 08/15/2022, effective 08/15/2022