1. (a) A consumable hemp product license is valid for one year from the date displayed on the license and must be renewed annually. An expired license is not current or valid. A person must not process hemp or manufacture a consumable hemp product without a valid license.

2. (b) The department must issue and renew a license if the license holder:

   1. (1) is eligible to obtain a license under §300.201 of this subchapter (relating to Application for License or Renewal);
   2. (2) submits a license fee to the department;
   3. (3) does not owe outstanding fees to the department;
   4. (4) possesses testing results of consumable hemp products before manufacture, distribution, or sale into commerce, and provides those testing results upon department request;
   5. (5) has not been convicted of a felony relating to a controlled substance under federal law or the law of any state in the 10 years before the date of renewal of the license;
   6. (6) submits a complete application; and
   7. (7) has not had a consumable hemp products license revoked for sale to a minor in the preceding five years from the date on which an application is submitted to the department.

3. (c) Fees.

   1. (1) Before manufacturing or processing consumable hemp products, a license holder must pay a fee of $10,000 per facility. License renewal fees are $10,000 per facility.

   2. (2) For each facility, a license holder must pay:

      1. (A) a $10,000 fee for an amendment to a new license due to a change of ownership of the licensed facility; or
      2. (B) a $125.00 fee for any amendment during the licensure period due to minor changes, such as change of location, change of name, or change of address.
   3. (3) Fees are not prorated.
   4. (4) A person who files a renewal application after the expiration date of the current license must pay an additional delinquency fee of $1,000.
4. (d) An application for an amendment of a consumable hemp product license is complete when the department has received, reviewed, and found acceptable the application information and fee required by subsection (c) of this section.

5. (e) An initial and renewal application for a consumable hemp product license must be processed in the following time periods:

   1. (1) the first time period of 45 calendar days begins on the date the department receives a completed application. If the department receives an incomplete application, the period ends on the date the department issues a written notice that the application is incomplete. The department must issue the written notice within 60 calendar days after receiving the incomplete application and describe the specific information or fee required before the application is considered complete;
   2. (2) the second time period of 45 calendar days begins on the date the department receives a completed application and ends on the date the department issues the license or issues a written notice that the application is being proposed for denial; and
   3. (3) the third time period of 135 calendar days begins on the date the department issues the written notice to the applicant as described in paragraph (1) of this subsection. If the applicant fails to submit the requested information or fee within this period, the department considers the application withdrawn.

6. (f) Reimbursement of fees:

   1. (1) in the event the application is not processed within the time periods stated in subsection (e) of this section, the applicant has the right to make a written request within 30 business days after the end of the second time period that the department shall reimburse in full the fee paid in that application process; and
   2. (2) if the department finds that good cause does not exist for exceeding the established periods, the request shall be approved, and the department shall notify the applicant in writing of the approval of the reimbursement within 30 business days after the department's decision.

Source Note:The provisions of this §300.202 adopted to be effective August 2, 2020, 45 TexReg 5195; amended to be effective March 31, 2026, 51 TexReg 1860.