HI SB2659

Establishes an industrial hemp pilot program within Hawaii's Department of Agriculture allowing cultivation and seed distribution for agricultural or academic research purposes.

Creates licensing system requiring applicants to submit applications between January 1 and April 1 annually, with a base fee of $250 plus $2 per acre, valid for two years.

Permits only industrial hemp with delta-9 tetrahydrocannabinol concentration not exceeding 0.3 percent on a dry weight basis, with mandatory testing and inspection by the board at licensee expense ($35 per hour plus laboratory costs).

Authorizes Department of Agriculture to register as importer of controlled substances with the Drug Enforcement Administration to acquire hemp seed and requires licensees to indemnify the State from liability.

Appropriates $425,000 for fiscal year 2016-2017 for one program coordinator position ($100,000), one inspector position ($75,000), and administrative costs ($250,000), with program expiring June 30, 2021.