An Act
ENROLLED HOUSE
BILL NO. 2646 By: Echols and Davis of the
House
and
Taylor and Rogers of the
Senate
An Act relating to medical marijuana; amending
Section 1, State Question No. 788, Initiative
Petition No. 412, as last amended by Section 4 4,
Chapter 161, O.S.L. 2020 (63 O.S. Supp. 2020, Section
420), which relates to patient and caregiver
licensing requirements; modifying language;
specifying measurements in grams; clarifying scope of
certain offense; updating references to licensees;
specifying biannual payment of application fees for
patient licenses; providing for reprints of licenses;
setting fee amount; providing a temporary medical
marijuana patient license for nonresident medical
marijuana licensee; authorizing the State Department
of Health to deny patient license applications;
removing certain recordkeeping requirement;
specifying types of records the Department shall seal
to protect privacy; updating statutory references;
clarifying application requirements; amending Section
2, State Question No. 788, Initiative Petition No.
412 (63 O.S. Supp. 2020, Section 421), which relates
to dispensary licensing requirements; updating
language; increasing time limitation for reviewing
dispensary license applications; authorizing the
Department to deny dispensary license applications;
deleting penalties for fraudulent reports and
fraudulent sales; authorizing licensed dispensaries
to sell pre-rolled marijuana; specifying types of
products that can be used for pre -rolled marijuana;
providing testing, packaging and labeling
requirements; prohibiting physical handling of
medical marijuana; providing exception s; amending ENR. H. B. NO. 2646 Page 2
Section 3, State Question No. 788, Initiative
Petition No. 412 (63 O.S. Supp. 2020, Section 422),
which relates to commercial grower licensing
requirements; modifying language; increasing time
limitation for reviewing commercial grower license
applications; authorizing the Department to deny
commercial grower license applications; authorizing
licensed commercial growers to sell to other licensed
commercial growers; deleting penalties for fraudulent
reports; authorizing licensed commercial growers to
sell pre-rolled marijuana; specifying types of
products that can be used for pre -rolled marijuana;
providing testing, packaging and labeling
requirements; amending Section 4, State Question No.
788, Initiative Petition No. 412 (63 O.S. Supp. 2020,
Section 423), which relates to medical marijuana
processor licensing requirements; updating language;
increasing time limitation for reviewing proce ssor
license applications; authorizing the Department to
deny processor license applications; providing for
twice-yearly inspections of processing operations;
deleting penalties for fraudulent reports; declaring
the Medical Marijuana Advisory Council as th e entity
responsible for creating certain standards; amending
Section 6, State Question No. 788, Initiative
Petition No. 412, as last amended by Section 46,
Chapter 161, O.S.L. 2020 (63 O.S. Supp. 2020, Section
425), which relates to protections for medica l
marijuana patient licensees; updating language;
deleting certain definition; specifying manner by
which distances between certain properties shall be
measured; providing exceptions; specifying name of
certain act; amending Section 7, State Question No.
788, Initiative Petition No. 412 (63 O.S. Supp. 2020,
Section 426), which relates to the taxation of
medical marijuana; updating language and name of
state agency; amending Section 4, Chapter 509, O.S.L.
2019 (63 O.S. Supp. 2020, Section 426.1), which
relates to license revocations and hearings; deleting
certain exception; updating language and statutory
references; modifying information the Department may
share with law enforcement; providing for an online
verification system; directing the Department to
share list of marijuana -licensed premises with state
agencies; directing marijuana -licensed businesses to ENR. H. B. NO. 2646 Page 3
submit certain documentation when requesting a change
in location; modifying certificate of compliance
requirements; recognizing previously submitted
certificates of compliance for licensure renewals;
providing certain exceptions ; amending Section 2,
Chapter 11, O.S.L. 2019, as last amended by Section
48, Chapter 161, O.S.L. 2020, Section 3, Chapter 11,
O.S.L. 2019, as amended by Section 6, Chapter 477,
O.S.L. 2019, Section 4, Chapter 11, O.S.L. 2019,
Section 6, Chapter 11, O.S.L. 2019, as amended by
Section 7, Chapter 477, O.S.L. 2019, Section 7,
Chapter 11, O.S.L. 2019, as amended by Section 5,
Chapter 509, O.S.L. 2019, Section 9, Chapter 11,
O.S.L. 2019, Section 10, Chapter 11, O.S.L. 2019, as
amended by Section 2, Chapter 390, O.S.L. 2019,
Section 11, Chapter 11, O.S.L. 2019, Section 13,
Chapter 11, O.S.L. 2019, Section 14, Chapter 11,
O.S.L. 2019, as last amended by Section 51, Chapter
161, O.S.L. 2020, Section 16, Chapter 11, O.S.L.
2019, Section 17, Chapter 11, O.S.L. 2019, as amended
by Section 4, Chapter 312, O.S.L. 2019, Section 18,
Chapter 11, O.S.L. 2019, Section 19, Chapter 11,
O.S.L. 2019, Section 20, Chapter 11, O.S.L. 2019,
Section 22, Chapter 11, O.S.L. 2019 and Section 23,
Chapter 11, O.S.L. 2019, as amended by Section 11,
Chapter 477, O.S.L. 2019 (63 O.S. Supp. 2020,
Sections 427.2, 427.3, 427.4, 427.6, 427.7, 427.9,
427.10, 427.11, 427.13, 427.14, 427.16, 427.17,
427.18, 427.19, 427.20, 42 7.22 and 427.23), which
relate to the Oklahoma Medical Marijuana and Patient
Protection Act; updating references to certain named
act; modifying scope of certain definitions; deleting
certain definitions; clarifyin g duties of the State
Department of Health ; authorizing the Department to
establish fee schedule and collect fees; providing
for regulations on information to be submitted;
specifying information to be submitted; removing
notice requirement for inspections; requiring medical
marijuana business lic ensees to submit samples to a
quality assurance laboratory under certain
circumstances; limiting samples to certain number per
year; providing for cost of submitted samples;
allowing for on-site inspections and investigations
of medical marijuana businesse s and certain
facilities; authorizing the Department to enter ENR. H. B. NO. 2646 Page 4
certain facilities; providing for post-licensure
inspections; providing for additional inspections
under certain circumstances; deleting notice
provision; removing option for licensees to obtain
legal representation prior to certain interview;
providing for the suspension or revocation of
licenses for nonpayment of penalties; establishing
penalties for inaccurate or fraudulent reports;
making certain acts unlawful; providing penalties;
providing construing provision regarding the
diversion of medical marijuana; authorizing the
issuance of written orders for alleged violations;
specifying contents of written orders; authorizing
the Department to impose disciplinary actions and
monetary penalties; a llowing licensees to request an
administrative hearing; directing the Department to
initiate administrative proceedings upon such
request; authorizing the Department to issue certain
emergency order without notice or hearing; requiring
immediate compliance with provisions of the order;
providing for the asses sment of penalties; offering
licensees a hearing; clarifying privacy requirements
for handling records of patients and caregivers;
deleting references to certain federal act; directing
the Authority to protect patient and caregiver
records and information; authorizing the Authority to
contact recommending physicians of patient licensees;
expanding certain criminal and civil protections to
podiatrists; directing the Department to immediately
void licenses under certain circumstances; allowing
patients to request the withdrawal of a caregiver
license; providing for such withdrawal without the
right to a hearing; requiring certain facilities to
keep transaction records and utilize seed -to-sale
tracking system; directing medical marijuana
businesses and facilities that retain inventory
tracking records to comply with state and federal
privacy laws; deleting inventory tracking records
retention requirement; clarifying term of application
fee for medical marijua na businesses; directing
license renewal applicants to comply with certain
requirements; clarifying criteria provisions for
licensees; requiring criminal history background
checks for license renewal applicants; modifying
certain identification document re quirement; ENR. H. B. NO. 2646 Page 5
modifying list of identification documents necessary
for licensure; providing for the denial of business
license applications; providing for the denial of
resubmitted applications under certain circumstances;
prohibiting the issuance of research , education and
waste disposal facility licenses to certain persons;
removing directive to consider additional information
about applicants with criminal history records;
requesting licensees to provide certain information
to the Authority; requiring medic al marijuana
research, education and waste disposal facility
licensees to pay licensure fees prior to receiving
license; establishing late renewal fee for expired
licenses; making late renewal fees nonrefundable;
prohibiting the renewal of certain expired licenses;
prohibiting medical marijuana businesses, research,
education and waste disposal facilities from
operating without a valid, unexpired license;
allowing certain licensed medical marijuana
facilities to obtain medical marijuana transporter
licenses; reducing fee amount of annual transporter
agent license; establishing transporter agent license
reprint fee; clarifying residency requirement;
deleting certain inventory manifest requirement;
extending time limitation for maintaining copies of
inventory manifests and logs; providing restrictions
on laboratory ownership and the employment of certain
persons; modifying scope of duties related to the
development of testing practices and research
methods; removing mandate that prohibits indirect
beneficial owners from owning a laboratory; allowing
medical marijuana testing laboratories to conduct
certain research; authorizing medical marijuana
testing laboratories to accept samples from licensed
research and education facilities; prohibiting the
testing of samples from certain businesses; directing
the Department to develop standards and policies for
the immediate recall of medical marijuana products;
increasing time limitation for medical marijuana
testing laboratories to retain test results;
requiring test of individual harvest batch; providing
test exception for certain plant materials of certain
weight; changing batch weight; limiting testing of
certain final products to specific grams of
tetrahydrocannabinol ; defining term; increasing ENR. H. B. NO. 2646 Page 6
number of inspections required for medical marijuana
testing laboratories; allowing for additional
investigations and inspections of testing
laboratories under certain circumstances; modifying
accreditation requirements for testing laboratories;
making renewal subject to accred itation; requiring
accreditation for licensure; allowing licensed
commercial growers to transfer medical marijuana to
licensed processors for decontamination or
remediation; prohibiting the sale or transfer of
kief; eliminating certain labeling requirement ;
clarifying terms of application fee for medical
marijuana research license and medical marijuana
education facility license; clarifying certain
application process requirement for medical marijuana
education facility license applicants; declaring all
medical marijuana patient and caregiver records
confidential and exempt from the Oklahoma Open
Records Act; making certain records submitted to the
Department confidential and exempt from the Oklahoma
Open Records Act; authorizing the Department to share
confidential information with other state agencies;
modifying name of entity that recommends certain
rules to the State Commissioner of Health;
authorizing the Department to appoint additional
members to the Medical Marijuana Advisory Council;
specifying makeup of Council; authorizing the
Department to tag or mark medical marijuana and
medical marijuana product under certain conditions;
authorizing the Department to embargo medical
marijuana and medical marijuana product; making the
removal or disposal of embar goed medical marijuana
and medical marijuana product without permission
unlawful; allowing the State Commissioner of Health
to institute actions in district court for the
condemnation and destruction of embargoed medical
marijuana and medical marijuana pro duct that fails to
meet certain requirements; providing for the removal
of embargo after certain determination by the
Commissioner; providing exemption from liability;
providing for the destruction of medical marijuana
and medical marijuana product upon fi ndings made by
the court; requiring expe nses associated with storage
and disposal, court costs and fees to be paid by the
defendant; authorizing court to order delivery of ENR. H. B. NO. 2646 Page 7
medical marijuana and medica l marijuana product to
the defendant under certain circu mstances; directing
expenses for supervision be paid to Commissioner by
certain person; amending Sections 2, 3 and 4, Chapter
337, O.S.L. 2019 (63 O.S. Supp. 2020, Sections 428.1,
429 and 430), which relate to the Oklahoma Medical
Marijuana Waste Managemen t Act; updating references
to certain named act ; modifying scope of certain
definitions; authorizing the destruction of marijuana
roots and stalks; deleting documentation requirements
for entities that engage in the disposal of medical
marijuana waste; del eting requirement to maintain
disposal records; clarifying scope of certain
prohibited act; specifying manner by which distance
requirements shall be measured for waste disposal
facilities; removing alternative options for
liability insurance requirement; providing for annual
permits; directing the deposit of license and permit
fees into different revolving fund; amending 63 O.S.
2011, Section 2-302, as last amended by Section 57,
Chapter 161, O.S.L. 2020 (63 O.S. Supp. 2020, Section
2-302), which relates t o regulation of manufacturing;
requiring certain manufacturer registration; making
manufacturer subject to same jurisdiction authority
as registrant; amending 63 O.S. 2011, Section 2 -304,
as amended by Section 1, Chapter 1, O.S.L. 2015 (63
O.S. Supp. 2020, Section 2-304), which relates to
revocation of manufacturer registration; providing
criminal and administrative penalties for providing
false information; amending 63 O.S. 2011, Section 2 -
305, which relates to order to show cause before
revocation of registration; including administrative
action on nonregistrant engaged in manufacturing a
controlled dangerous substance; providing for
codification; and providing an effective date.
SUBJECT: Medical marijuana
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
ENR. H. B. NO. 2646 Page 8
SECTION 1. AMENDATORY Section 1, State Question No. 788,
Initiative Petition No. 412, as last amended by Section 44, Chapter
161, O.S.L. 2020 (63 O.S. Supp. 2020, Section 420), is amended to
read as follows:
Section 420. A. A person in possession of a state -issued
medical marijuana patient license shall be able to:
1. Consume marijuana legally;
2. Legally possess up to three (3) ounces or eighty-four and
nine-tenths (84.9) grams of marijuana on their person;
3. Legally possess six mature marijuana plants and the
harvested marijuana therefrom ;
4. Legally possess six seedling plants;
5. Legally possess one (1) ounce or twenty-eight and three-
tenths (28.3) grams of concentrated marijuana;
6. Legally possess seve nty-two (72) ounces or two thousand
thirty-seven and six-tenths (2,037.6) grams of edible marijuana; and
7. Legally possess up to eight (8) ounces or two hundred
twenty-six and four-tenths (226.4) grams of marijuana in their
residence; and
8. Legally possess seventy-two (72) ounces of topical
marijuana.
B. Possession of up to one and one -half (1.5) ounces or forty-
two and forty-five one-hundredths (42.45) grams of marijuana by
persons who can state a medical condition, but are not in possession
of a state-issued medical marijuana patient license, shall
constitute a misdemeanor offense not subject to imprisonment but
punishable by a fine not to exceed Four Hundred Dollars ($400.00)
and shall not be subject to imprisonment for the offense . Any law
enforcement officer who comes in contact with a person in violation
of this subsection and who is satisfied as to the identity of the
person, as well as any other pertinent information the law
enforcement officer deems necessary, shall issue to the person a
written citation containing a notice to answer the charge against
the person in the appropriate court. Upon receiving the written
promise of the alleged violator to answer as specified in the ENR. H. B. NO. 2646 Page 9
citation, the law enforcement officer shall release the person upo n
personal recognizance unless there has been a violation of another
provision of law.
C. A regulatory office shall be established under the State
Department of Health which shall receive applications for medical
marijuana patient and caregiver license recipients, dispensaries,
growers, and packagers processors within sixty (60) days of the
passage of this initiative.
D. The State Department of Health shall, within thirty (30)
days of passage of this initiative, make available on its website,
in an easy-to-find location, an application for a medical marijuana
patient license. The license shall be good valid for two (2) years.
The biannual application fee shall be One Hundred Dollars ($100.00),
or Twenty Dollars ($20.00) for individuals on Medicaid, Med icare or
SoonerCare. The methods of payment shall be provided on the website
of the Department. Reprints of the medical marijuana patient
license shall be Twenty Dollars ($20.00).
E. A short-term medical marijuana patient license application
shall also be made available on the website of the State Department
of Health. A short-term medical marijuana patient license shall be
granted to any applicant who can meet the requirements for a two -
year medical marijuana patient license, but whose physician
recommendation for medical marijuana is only valid for sixty (60)
days. Short-term medical marijuana patient licenses shall be issued
for sixty (60) days. The fee for a short -term medical marijuana
patient license, reprints of the short -term medical marijuana
patient license and the procedure for extending or renewing the
license shall be determined by the Department.
F. A temporary medical marijuana patient license application
shall also be made available on the website of the State Department
of Health for residents of other states . A temporary Temporary
medical marijuana license patient licenses shall be granted to any
medical marijuana license holder holders from other states, provided
that the state has a such states have state-regulated medical
marijuana program, programs and the applicant applicants can prove
he or she is a member they are members of such program programs.
Temporary medical marijuana patient licenses shall be issued for
thirty (30) days. The cost for a temporary medical marijuana
patient license shall be One Hundred Dollars ($100.00). Renewal
shall be granted with resubmission of a new application. No ENR. H. B. NO. 2646 Page 10
additional criteria shall be required. Reprints of the temporary
medical marijuana patient license shall be Twenty Dollars ($20.00).
G. Medical marijuana patient license applicants shall submit
his or her their applications to the State Department of Health for
approval. The applicant shall be an a resident of Oklahoma state
resident and shall prove residency by a valid driver licen se,
utility bills, or other accepted methods.
H. The State Department of Health shall review the medical
marijuana patient license application,; approve or, reject or deny
the application,; and mail the approval or, rejection or denial
letter stating any reasons for the rejection or denial to the
applicant within fourteen (14) business days of receipt of the
application. Approved applicants shall be issued a medical
marijuana patient license which shall act as proof of his or her
approved status. Applic ations may only be rejected or denied based
on the applicant not meeting stated criteria or improper completion
of the application.
I. The State Department of Health shall only keep the following
records for each approved medical marijuana license:
1. A digital photograph of the license holder;
2. The expiration date of the license;
3. The county where the card was issued; and
4. A unique 24-character identification number assigned to the
license.
J. The State Department of Health shall make ava ilable, both on
its website and through a telephone verification system, an easy
method to validate the authenticity of the medical marijuana patient
license by the unique 24 -character identification number.
K. J. The State Department of Health shall ens ure that all
application medical marijuana patient and caregiver records and
information are sealed to protect the privacy of medical marijuana
patient license applicants.
L. K. A caregiver license shall be made available for qualified
caregivers of a medical marijuana patient license holder who is
homebound. As provided in Section 11 427.11 of Enrolled House Bill ENR. H. B. NO. 2646 Page 11
No. 2612 of the 1st Session of the 57th Oklahoma Legislature this
title, the caregiver license shall provide the caregiver the same
rights as the medical marijuana patient licensee , including the
ability to possess marijuana, marijuana products and mature and
immature plants pursuant to the Oklahoma Medical Marijuana and
Patient Protection Act, but excluding the ability to use marijuana
or marijuana products unless the caregiver has a medical marijuana
patient license. An applicant Applicants for a caregiver license
shall submit proof of the license status and homebound status of the
medical marijuana patient and proof that the applicant is the
designee of the medical marijuana patient. The applicant shall also
submit proof that he or she is eighteen (18) years of age or older
and proof of his or her Oklahoma residency. This shall be the only
criteria for a caregiver license.
M. L. All applicants for a medical marijuana patient license
shall be eighteen (18) years of age or older. A special exception
shall be granted to an applicant under the age of eighteen (18);
however, these applications shall be signed by two physicians and
the parent or legal guardian of the applicant.
N. M. All applications for a medical marijuana patient license
shall be signed by an Oklahoma physician licensed by and in good
standing with the State Board of Medical Licensure and Supervision
or the State Board of Ost eopathic Examiners. There are no
qualifying conditions. A medical marijuana patient license must
shall be recommended according to the accepted standards a
reasonable and prudent physician would follow when recommending or
approving any medication. No p hysician may be unduly stigmatized or
harassed for signing a medical marijuana patient license
application.
O. N. Counties and cities may enact medical marijuana
guidelines allowing medical marijuana patient license holders or
caregivers caregiver license holders to exceed the state limits set
forth in subsection A of this section.
SECTION 2. AMENDATORY Section 2, State Question No. 788,
Initiative Petition No. 412 (63 O.S. Supp. 2020, Section 421), is
amended to read as follows:
Section 421. A. The Oklahoma State Department of Health shall ,
within thirty (30) days of passage of this initiative, make
available, on their its website, in an easy to find easy-to-find
location, an application for a medical marijuana dispensary licen se. ENR. H. B. NO. 2646 Page 12
The application fee shall be Two Thousand Five Hundred Dollars
($2,500.00) and a. A method of payment will shall be provided on
the website of the Department. Retail Dispensary applicants must
all be Oklahoma state residents of Oklahoma. Any entity applying
for a retail dispensary license must be owned by an Oklahoma state
resident and must be registered to do business in Oklahoma. The
Oklahoma State Department of Health shall have two (2) weeks ninety
(90) business days to review the application ,; approve or, reject or
deny the application,; and mail the approval/rejection approval,
rejection or denial letter (if rejected, stating reasons for
rejection) the rejection or denial to the applicant.
B. The Oklahoma State Department of Health must shall approve
all applications which meet the following criteria:
1. Applicant The applicant must be age twenty-five (25) years
of age or older;
2. Any The applicant, if applying as an individual, must show
residency in the State of Oklahoma;
3. All applying entities must show that all members, managers,
and board members are Oklahoma residents;
4. An applying entity may show ownership of non -Oklahoma
residents, but that percentage ownership may not exceed twenty -five
percent (25%);
5. All applying individuals or entities must be registered to
conduct business in the State of Oklahoma; and
6. All applicants must disclose all ownership ; interests in the
dispensary.
7. Applicant(s) Applicants with only a nonviolent felony
conviction(s) conviction in the last two (2) years, any other felony
conviction in five 5 (years) the last five (5) years , inmates, in
the custody of the Department of Corrections or any person currently
incarcerated may shall not qualify for a medical marijuana
dispensary license.
C. Retailers will Licensed medical marijuana dispensaries shall
be required to complete a monthly sales report to the Oklahoma State
Department of Health. This report will shall be due on the 15th
fifteenth of each month and provide reporting on the prev ious month. ENR. H. B. NO. 2646 Page 13
This report will shall detail the weight of marijuana purchased at
wholesale and the weight of marijuana sold to card holders, licensed
medical marijuana patients and licensed caregivers and account for
any waste. The report will shall show total sales in dollars, tax
collected in dollars, and tax due in dollars. The Oklahoma State
Department of Health will shall have oversight and auditing
responsibilities to ensure that all marijuana being grown is
accounted for. A retailer will only be su bject to a penalty if a
gross discrepancy exists and cannot be explained. Penalties for
fraudulent reporting occurring within any 2 year time period will be
an initial fine of Five Thousand Dollars ($5,000.00) (first) and
revocation of licensing (second).
D. Only a licensed medical marijuana retailer dispensary may
conduct retail sales of marijuana , or marijuana derivatives in the
form provided by licensed processors, and these products can only be
sold to a medical marijuana license holder or their care giver.
Penalties for fraudulent sales occurring within any 2 year time
period will be an initial fine of Five Thousand Dollars ($5,000.00)
(first) and revocation of licensing (second) . Beginning on the
effective date of this act, licensed medical marijua na dispensaries
shall be authorized to package and sell pre -rolled marijuana to
licensed medical marijuana patients and licensed caregivers. The
products described in this subsection shall contain only the ground
parts of the marijuana plant and shall not include marijuana
concentrates or derivatives. The total net weight of each pre -roll
packaged and sold by a medical marijuana dispensary shall not exceed
one (1) gram. These products shall be tested, packaged and labeled
in accordance with Oklahoma law and rules promulgated by the State
Commissioner of Health.
E. No medical marijuana dispensary shall offer or allow a
medical marijuana patient licensee, caregiver licensee or other
member of the public to handle or otherwise have physical contact
with any medical marijuana not contained in a sealed or separate
package. Provided, such prohibition shall not preclude an employee
of the medical marijuana dispensary from handling loose or
nonpackaged medical marijuana to be placed in packaging consistent
with the Oklahoma Medical Marijuana and Patient Protection Act and
the rules promulgated by the Authority for the packaging of medical
marijuana for retail sale. Provided, further, such prohibition
shall not prevent a medical marijuana dispensary from display ing
samples of its medical marijuana in separate display cases, jars or
other containers and allowing medical marijuana patient licensees
and caregiver licensees the ability to handle or smell the various ENR. H. B. NO. 2646 Page 14
samples as long as the sample medical marijuana is used for display
purposes only and is not offered for retail sale.
SECTION 3. AMENDATORY Section 3, State Question No. 788,
Initiative Petition No. 412 (63 O.S. Supp. 2020, Section 422), is
amended to read as follows:
Section 422. A. The Oklahoma State Department of Health will
shall, within thirty (30) days of passage of this initiative, make
available, on their its website, in an easy to find easy-to-find
location, an application for a commercial grower license. The
application fee will shall be Two Thousand Five Hundred Dollars
($2,500.00) and methods. A method of payment will shall be provided
on the website of the Department. The Oklahoma State Department of
Health has two (2) weeks shall have ninety (90) days to review the
application,; approve or, reject or deny the application,; and mail
the approval/rejection approval, rejection or denial letter (if
rejected, stating the reasons for rejection) the rejection or denial
to the applicant.
B. The Oklahoma State Department of Health must shall approve
all applications which meet the following criteria:
1. Applicant The applicant must be age twenty-five (25) years
of age or older;
2. Any The applicant, if applying as an individual, must show
residency in the State of Okla homa;
3. All applying entities must show that all members, managers,
and board members are Oklahoma residents;
4. An applying entity may show ownership of non -Oklahoma
residents, but that percentage ownership may not exceed twenty -five
percent (25%);
5. All applying individuals or entities must be registered to
conduct business in the State of Oklahoma; and
6. All applicants must disclose all ownership ; interests in the
commercial grower operation.
7. Applicant(s) Applicants with only a nonviolent felony
conviction(s) conviction in the last two (2) years, any other felony
conviction in the last five (5) years, inmates , in the custody of ENR. H. B. NO. 2646 Page 15
the Department of Corrections or any person currently incarcerated
may shall not qualify for a commercial grower license.
C. A licensed commercial grower may sell marijuana to a
licensed retailer, dispensary or a licensed packager processor.
Further, these sales will by a licensed commercial grower shall be
considered wholesale sales and shall not be subject to taxation.
Under no circumstances may a licensed commercial grower sell
marijuana directly to a licensed medical marijuana license holder
patient or licensed caregiver . A licensed commercial grower may
only sell at the wholesale level to a licensed retailer dispensary,
a licensed grower or a licensed processor. If the federal
government lifts restrictions on buying and selling marijuana
between states, then a licensed commercial grower would be allowed
to sell and buy marijuana wholesale from, or to, an out of state
out-of-state wholesale provider. A licensed commercial grower will
shall be required to complete a monthly yield and sales report to
the Oklahoma State Department of Health. This report will shall be
due on the 15th fifteenth of each month and provide reporting on the
previous month. This report will shall detail the amount of
marijuana harvested in pounds, the amount of drying or dried
marijuana on hand, the amount of marijuana sold to licensed
processors in pounds, the amount of waste in poun ds, and the amount
of marijuana sold to retailers licensed dispensaries in lbs pounds.
Additionally, this report will shall show total wholesale sales in
dollars. The Oklahoma State Department of Health will shall have
oversight and auditing responsibili ties to ensure that all marijuana
being grown by licensed commercial growers is accounted for. A
licensed grower will only be subject to a penalty if a gross
discrepancy exists and cannot be explained. Penalties for
fraudulent reporting or sales occurrin g within any 2 year time
period will be an initial fine of Five Thousand Dollars ($5,000.00)
(first) and revocation of licensing (second).
D. There shall be no limits on how much marijuana a licensed
commercial grower can grow.
E. Beginning on the effe ctive date of this act, licensed
commercial growers shall be authorized to package and sell pre -
rolled marijuana to licensed medical marijuana dispensaries. The
products described in this subsection shall contain only the ground
parts of the marijuana pla nt and shall not include marijuana
concentrates or derivatives. The total net weight of each pre -roll
packaged and sold by medical marijuana commercial growers shall not
exceed one (1) gram. These products must be tested, packaged and ENR. H. B. NO. 2646 Page 16
labeled in accordance with Oklahoma law and rules promulgated by the
State Commissioner of Health.
SECTION 4. AMENDATORY Section 4, State Question No. 788,
Initiative Petition No. 412 (63 O.S. Supp. 2020, Section 423), is
amended to read as follows:
Section 423. A. The Oklahoma State Department of Health shall ,
within thirty (30) days of passage of this initiative, make
available, on their its website, in an easy to find easy-to-find
location, an application for a medical marijuana processing licen se.
The Department shall be authorized to issue two types of medical
marijuana processor licenses based on the level of risk posed by the
type of processing conducted:
1. Nonhazardous medical marijuana processor license; and
2. Hazardous medical marij uana processor license .
The application fee for a nonhazardous or hazardous medical
marijuana processor license shall be Two Thousand Five Hundred
Dollars ($2,500.00) and methods. A method of payment will shall be
provided on the website of the Department. The Oklahoma State
Department of Health shall have two (2) weeks ninety (90) days to
review the application ,; approve or, reject or deny the
application,; and mail the approval/rejection approval, rejection or
denial letter (if rejected, stating the reasons for rejection) the
rejection or denial to the applicant.
B. The Oklahoma State Department of Health must shall approve
all applications which meet the following criteria:
1. Applicant The applicant must be age twenty-five (25) years
of age or older;
2. Any The applicant, if applying as an individual, must show
residency in the State of Oklahoma;
3. All applying entities must show that all members, managers,
and board members are Oklahoma residents;
4. An applying entity may show ownership of non-Oklahoma
residents, but that percentage ownership may not exceed twenty -five
percent (25%);
ENR. H. B. NO. 2646 Page 17
5. All applying individuals or entities must be registered to
conduct business in the State of Oklahoma; and
6. All applicants must disclose all ownership ; interests in the
processing operation.
7. Applicant(s) Applicants with only a nonviolent felony
conviction(s) conviction in the last two (2) years, any other felony
conviction in the last five (5) years, inmates , in the custody of
the Department of Corr ections or any person currently incarcerated
may shall not qualify for a medical marijuana processing license.
C. 1. A licensed processor may take marijuana plants and
distill or process these plants into concentrates, edibles, and
other forms for consu mption.
2. As required by subsection D of this section, the Oklahoma
State Department of Health will shall, within sixty (60) days of
passage of this initiative, make available a set of standards which
will shall be used by licensed processors in the pre paration of
edible marijuana products. This The standards should be in line
with current food preparation guidelines and no. No excessive or
punitive rules may be established by the Oklahoma State Department
of Health. Once
3. Up to two times a year, the Oklahoma State Department of
Health may inspect a processing operation and determine its
compliance with the preparation standards. If deficiencies are
found, a written report of the deficiency will shall be issued to
the licensed processor. The licensed processor will shall have one
(1) month to correct the deficiency or be subject to a fine of Five
Hundred Dollars ($500.00) for each deficiency.
4. A licensed processor may sell marijuana products it creates
to a licensed retailer, dispensary or any other licensed processor.
Further, these All sales will by a licensed processor shall be
considered wholesale sales and shall not be subject to taxation.
5. Under no circumstances may a licensed processor sell
marijuana, or any marijuana product , directly to a licensed medical
marijuana license holder patient or licensed caregiver . However, a
licensed processor may process cannabis into a concentrated form ,
for a licensed medical license holder, marijuana patient for a fee.
Processors will
ENR. H. B. NO. 2646 Page 18
6. Licensed processors shall be required to complete a monthly
yield and sales report to the Oklahoma State Department of Health.
This report will shall be due on the 15th fifteenth of each month
and shall provide reporting on the previous month. This report will
shall detail the amount of marijuana and medical marijuana products
purchased in pounds, the amount of marijuana cooked or processed in
pounds, and the amount of waste in pounds. Additionally, this
report will shall show total wholesale sales in dollars. The
Oklahoma State Department of Health will shall have oversight and
auditing responsibilities to ensure that all marijuana being grown
processed is accounted for. A licensed processor will only be
subject to a penalty if a gross discrepancy exists and cannot be
explained. Penalties for fraudulent reporting occurring within any
2 year time period will be an initial fine of Five Thousand Dollars
($5,000.00) (first) and revocation of licensing (second).
D. The Department shall oversee the inspection and compliance
of licensed processors producing products with marijuana as an
additive. The Oklahoma State Department of Health will shall be
compelled to, within thirty (30) days of passage of this initiative,
appoint a board of twelve (12) Oklahoma reside nts to the Medical
Marijuana Advisory Council , who are marijuana industry experts, to
create a list of food safety standards for processing and handling
medical marijuana in Oklahoma. These standards will shall be
adopted by the agency Department and the agency can Department may
enforce these standards for licensed processors. The agency will
Department shall develop a standards review procedure and these
standards can be altered by calling another board council of twelve
(12) Oklahoma marijuana industry experts. A signed letter of twenty
(20) operating, licensed processors would shall constitute a need
for a new board council and standard standards review.
E. If it becomes permissible , under federal law, marijuana may
be moved across state lines.
F. Any device used for the processing or consumption of medical
marijuana shall be considered legal to be sold, manufactured,
distributed, and possessed. No merchant, wholesaler, manufacturer ,
or individual may unduly be unduly harassed or prosecuted for
selling, manufacturing , or possession of medical possessing
marijuana paraphernalia.
SECTION 5. AMENDATORY Section 6, State Question No. 788,
Initiative Petition No. 412, as last amended by Section 46, Chapter ENR. H. B. NO. 2646 Page 19
161, O.S.L. 2020 (63 O. S. Supp. 2020, Section 425), is amended to
read as follows:
Section 425. A. No school or landlord may refuse to enroll or
lease to and may not otherwise penalize a person solely for his or
her status as a medical marijuana license holder patient licensee,
unless failing to do so would cause the school or landlord the
potential to lose a monetary or licensing -related benefit under
federal law or regulations.
B. Unless a failure to do so would cause an employer the
potential to lose a monetary or licensi ng-related benefit under
federal law or regulations, an employer may not discriminate against
a person in hiring, termination or imposing any term or condition of
employment or otherwise penalize a person based upon either:
1. The the status of the person as a medical marijuana license
holder; or
2. patient licensee. Employers may take action against a holder
of a medical marijuana license patient licensee if the holder
licensee uses or possesses marijuana while in his or her place of
employment or during the hours of employment. Employers may not
take action against the holder of a medical marijuana license
patient licensee solely based upon the status of an employee as a
medical marijuana license holder patient licensee or the results of
a drug test showing positive for marijuana or its components.
C. For the purposes of medical care , including organ
transplants, the authorized use of marijuana by a medical marijuana
license holder patient licensee shall be considered the equivalent
of the use of any other medication under the direction of a
physician and does not constitute the use of an illicit substance or
otherwise disqualify a registered qualifying patient from medical
care.
D. No medical marijuana license holder patient licensee may be
denied custody of or visitation or parenting time with a minor
child, and there is no presumption of neglect or child endangerment
for conduct allowed under this law , unless the behavior of the
person medical marijuana patient licensee creates an unreasonable
danger to the safety of the minor child.
E. No person holding who possesses a medical marijuana patient
license may be unduly be withheld from holding a another state- ENR. H. B. NO. 2646 Page 20
issued license by virtue of their being his or her status as a
medical marijuana license holder patient licensee including, but not
limited to, a concealed carry permit.
F. 1. No city or local municipality may unduly change or
restrict zoning laws to prevent the opening of a retail medical
marijuana establishment dispensary.
2. For purposes of this subsection, an undue change or
restriction of municipal zoning laws means an act which entirely
prevents retail medical marijuana establishments dispensaries from
operating within municipal boundaries as a matter of law.
Municipalities may follo w their standard planning and zoning
procedures to determine if certain zones or districts would be
appropriate for locating marijuana -licensed premises, medical
marijuana businesses or any other premises where marijuana or its
by-products are cultivated, grown, processed, stored or
manufactured.
3. For purposes of this section, "retail marijuana
establishment" means an entity licensed by the State Department of
Health as a medical marijuana dispensary. Retail A medical
marijuana establishment dispensary does not include those other
entities licensed by the Department Oklahoma Medical Marijuana
Authority as marijuana-licensed premises, medical marijuana
businesses or other facilities or locations where marijuana or any
product containing marijuana or its by-products are cultivated,
grown, processed, stored or manufactured.
G. The location of any retail medical marijuana establishment
dispensary is specifically prohibited within one thousand (1,000)
feet of any public school or private school entrance. The distance
indicated in this subsection shall be measured from the nearest
property line of such public school or private school to the nearest
perimeter wall of the licensed premises of such medical marijuana
dispensary. If a medical marijuana dispensar y met the requirements
of this subsection at the time of its initial licensure, the medical
marijuana dispensary licensee shall be permitted to continue
operating at the licensed premises in the same manner and not be
subject to nonrenewal or revocation du e to subsequent events or
changes in regulations occurring after licensure that would render
the medical marijuana dispensary in violation by being within one
thousand (1,000) feet of a public school or private school. If any
public school or private school is established within one thousand
(1,000) feet of any medical marijuana dispensary after such medical ENR. H. B. NO. 2646 Page 21
marijuana dispensary has been licensed, the provisions of this
subsection shall not be a deterrent to the renewal of such license
or warrant revocatio n of the license. For purposes of this
subsection, a property owned, used or operated by a public school or
by a private school that is not used for classroom instruction on
core curriculum, such as an administrative building, athletic
facility, ballpark, field or stadium, shall not constitute a public
school or private school unless such property is located on the same
campus as a building used for classroom instruction on core
curriculum.
H. Research shall be provided for under this law. A researcher
may apply to the State Department of Health for a special research
license. The research license shall be granted, provided the
applicant meets the criteria listed under subsection B of Section
421 of this title in the Medical Marijuana and Patient Protec tion
Act. Research license holders licensees shall be required to file
monthly consumption reports to the State Department of Health with
amounts of marijuana used for research. Biomedical and clinical
research which is subject to federal regulations and institutional
oversight shall not be subject to oversight by the State Department
of Health oversight.
SECTION 6. AMENDATORY Section 7, State Question No. 788,
Initiative Petition No. 412 (63 O.S. Supp. 2020, Section 426), is
amended to read as follows:
Section 426. A. The tax on retail medical marijuana sales will
shall be established at seven percent (7%) of the gross amount
received by the seller.
B. This tax will shall be collected at the point of sale. Tax
proceeds will shall be applied primarily to finance the regulatory
office.
C. If proceeds from the levy authorized by subsection A of this
section exceed the budgeted amount for running the regulatory
office, any surplus shall be apportioned with seventy -five percent
(75%) going to the General Revenue Fund and may only be expended for
common education. Twenty -five percent (25%) shall be apportioned to
the Oklahoma State Department of Health and earmarked for drug and
alcohol rehabilitation and prevention.
ENR. H. B. NO. 2646 Page 22
SECTION 7. AMENDATORY Section 4, Chapter 509, O.S.L.
2019 (63 O.S. Supp. 2020, Section 426.1), is amended to read as
follows:
Section 426.1 A. Except for revocation hearings concerning
licensed patients, as defined in Section 2 of Enrolle d House Bill
No. 2612 of the 1st Session of the 57th Oklahoma Legislature, all
All licensure revocation hearings conducted pursuant to marijuana
licenses established in the Oklahoma Statutes shall be recorded. A
party may request a copy of the recording o f the proceedings.
Copies shall be provided to local law enforcement if the revocation
was based on alleged criminal activity.
B. The State Department of Health shall assist any law
enforcement officer in the performance of his or her duties upon
such request by the law enforcement officer or the request of other
local officials having jurisdiction. Except for license information
concerning licensed patients, as defined in Section 2 427.2 of
Enrolled House Bill No. 2612 of the 1st Session of the 57th Ok lahoma
Legislature this title, the Department shall share information with
law enforcement agencies upon request without a subpoena or search
warrant.
C. The State Department of Health shall make available all
information displayed on medical marijuana l icenses, as well as on
whether or not the a medical marijuana patient or caregiver license
is valid, to law enforcement electronically through the Oklahoma Law
Enforcement Telecommunications System an online verification system .
D. The Department shall m ake available to Oklahoma state
agencies and political subdivisions a list of marijuana -licensed
premises, medical marijuana businesses or any other premises where
marijuana or its by-products are licensed to be cultivated, grown,
processed, stored or manu factured to aid Oklahoma state agencies and
county and municipal governments in identifying locations within
their jurisdiction and ensure ensuring compliance with local
applicable laws, rules and regulations.
E. All Any marijuana-licensed premises, medi cal marijuana
businesses business or any other premises where marijuana or its by -
products are licensed to be cultivated, grown, processed, stored or
manufactured shall submit with their its application or request to
change location, after notifying the po litical subdivision of their
its intent, a certificate of compliance from the political
subdivision where the facility of the applicant or use licensee is ENR. H. B. NO. 2646 Page 23
to be located certifying compliance with zoning classifications,
applicable municipal ordinances and all applicable safety,
electrical, fire, plumbing, waste, construction and building
specification codes.
Once a certificate of compliance has been submitted to the
Oklahoma Medical Marijuana Authority showing full compliance as
outlined in this subsection , no additional certificate of compliance
shall be required for license renewal unless a change of use or
occupancy occurs, or there is any change concerning the facility or
location that would, by law, require additional inspection,
licensure or permittin g by the state or municipality.
SECTION 8. AMENDATORY Section 2, Chapter 11, O.S.L.
2019, as last amended by Section 48, Chapter 161, O.S.L. 2020 (63
O.S. Supp. 2020, Section 427.2), is amended to read as follows:
Section 427.2 As used in this act the Oklahoma Medical
Marijuana and Patient Protection Act :
1. "Advertising" means the act of providing consideration for
the publication, dissemination, solicitation, or circulation, of
visual, oral, or written communication to induc e directly or
indirectly any person to patronize a particular medical marijuana
business, or to purchase particular medical marijuana or a medical
marijuana product. Advertising includes marketing, but does not
include packaging and labeling;
2. "Authority" means the Oklahoma Medical Marijuana Authority;
3. "Batch number" means a unique numeric or alphanumeric
identifier assigned prior to testing to allow for inventory tracking
and traceability;
4. "Cannabinoid" means any of the chemical compounds th at are
active principles of marijuana;
5. "Caregiver" means a family member or assistant who regularly
looks after a medical marijuana license holder whom a physician
attests needs assistance;
6. "Child-resistant" means special packaging that is:
a. designed or constructed to be significantly difficult
for children under five (5) years of age to open and ENR. H. B. NO. 2646 Page 24
not difficult for normal adults to use properly as
defined by 16 C.F.R. 1700.15 (1995) and 16 C.F.R.
1700.20 (1995),
b. opaque so that the outermost packaging does not allow
the product to be seen without opening the packaging
material, and
c. resealable to maintain its child -resistant
effectiveness for multiple openings for any product
intended for more than a single use or containing
multiple servings;
7. "Clone" means a nonflowering plant cut from a mother plant
that is capable of developing into a new plant and has shown no
signs of flowering;
8. "Commissioner" means the State Commissioner of Health;
9. "Complete application " means a document prepared in
accordance with the provisions set forth in this act the Oklahoma
Medical Marijuana and Patient Protection Act , rules promulgated
pursuant thereto, and the forms and instructions provided by the
Department, including any supporting documentati on required and the
applicable license application fee;
10. "Department" means the State Department of Health;
11. "Director" means the Executive Director of the Oklahoma
Medical Marijuana Authority;
12. "Dispense" means the selling of medical mariju ana or a
medical marijuana product to a qualified patient or the designated
caregiver of the patient that is packaged in a suitable container
appropriately labeled for subsequent administration to or use by a
qualifying patient;
13. "Dispensary" means a medical marijuana dispensary, an
entity that has been licensed by the Department pursuant to this act
the Oklahoma Medical Marijuana and Patient Protection Act to
purchase medical marijuana or medical marijuana products from a
licensed medical marijuana co mmercial grower or licensed medical
marijuana processor, to prepare and package non infused pre-rolled
medical marijuana, and to sell medical marijuana or medical
marijuana products to licensed patients and caregivers as defined ENR. H. B. NO. 2646 Page 25
under in this act section, or sell or transfer products to another
licensed dispensary;
14. "Edible medical marijuana product " means any medical-
marijuana-infused product for which the intended use is oral
consumption including, but not limited to, any type of food, drink
or pill;
15. "Entity" means an individual, general partnership, limited
partnership, limited liability company, trust, estate, association,
corporation, cooperative , or any other legal or commercial entity;
16. "Flower" means the reproductive organs of the mari juana or
cannabis plant referred to as the bud or parts of the plant that are
harvested and used to consume for consumption in a variety of
medical marijuana products;
17. "Flowering" means the reproductive state of the marijuana
or cannabis plant in whi ch there are physical signs of flower or
budding out of the nodes of the stem;
18. "Food-based medical marijuana concentrate " means a medical
marijuana concentrate that was produced by extracting cannabinoids
from medical marijuana through the use of pro pylene glycol,
glycerin, butter, olive oil, coconut oil or other typical food -safe
cooking fats;
19. "Good cause" for purposes of an initial, renewal or
reinstatement license application, or for purposes of discipline of
a licensee, means:
a. the licensee or applicant has violated, does not meet,
or has failed to comply with any of the terms,
conditions or provisions of the act, any rules
promulgated pursuant thereto, or any supplemental
relevant state or local law, rule or regulation,
b. the licensee or applicant has failed to comply with
any special terms or conditions that were placed upon
the license pursuant to an order of the State
Department of Health, Oklahoma Medical Marijuana
Authority or the municipality, or
c. the licensed premises of a medi cal marijuana business
or applicant have been operated in a manner that ENR. H. B. NO. 2646 Page 26
adversely affects the public health or welfare or the
safety of the immediate vicinity in which the
establishment is located;
20. "Harvest batch" means a specifically identified quan tity of
medical marijuana that is uniform in strain, cultivated utilizing
the same cultivation practices, harvested at the same time from the
same location and cured under uniform conditions;
21. 20. "Harvested marijuana" means post-flowering
postflowering medical marijuana not including trim, concentrate or
waste;
22. 21. "Heat- or pressure-based medical marijuana concentrate "
means a medical marijuana concentrate that was produced by
extracting cannabinoids from medical marijuana through the use of
heat or pressure;
23. 22. "Immature plant" means a nonflowering marijuana plant
that has not demonstrated signs of flowering;
24. 23. "Inventory tracking system " means the required tracking
system that accounts for the entire life span of medical marijuana
from either the seed or immature plant stage until the medical
marijuana or and medical marijuana product is sold to a patient at a
products, including any testing samples thereof and medical
marijuana dispensary, transferred to a medical marijuana rese arch
facility, destroyed by a medical marijuana business or used in a
research project by a medical marijuana research facility waste;
25. 24. "Licensed patient" or "patient" means a person who has
been issued a medical marijuana patient license by the S tate
Department of Health or Oklahoma Medical Marijuana Authority;
26. 25. "Licensed premises" means the premises specified in an
application for a medical marijuana business license, medical
marijuana research facility license or medical marijuana educa tion
facility license pursuant to this act the Oklahoma Medical Marijuana
and Patient Protection Act that are owned or in possession of the
licensee and within which the licensee is authorized to cultivate,
manufacture, distribute, sell, store, transport, test or research
medical marijuana or medical marijuana products in accordance with
the provisions of this act the Oklahoma Medical Marijuana and
Patient Protection Act and rules promulgated pursuant thereto;
ENR. H. B. NO. 2646 Page 27
27. 26. "Manufacture" means the production, p ropagation,
compounding or processing of a medical marijuana product, excluding
marijuana plants, either directly or indirectly by extraction from
substances of natural or synthetic origin, or independently by means
of chemical synthesis, or by a combinati on of extraction and
chemical synthesis;
28. 27. "Marijuana" shall have the same meaning as such term is
defined in Section 2 -101 of Title 63 of the Oklahoma Statutes this
title;
29. 28. "Material change" means any change that would require a
substantive revision to the standard operating procedures of a
licensee for the cultivation or production of medical marijuana,
medical marijuana concentrate or medical marijuana products affect
the qualifications for licensure of an applicant or licensee ;
30. 29. "Mature plant" means a harvestable female marijuana
plant that is flowering;
31. 30. "Medical marijuana business (MMB) " means a licensed
medical marijuana dispensary, medical marijuana processor, medical
marijuana commercial grower, medical marijuana l aboratory, medical
marijuana business operator , or a medical marijuana transporter;
32. 31. "Medical marijuana concentrate " or "concentrate" means
a specific subset of medical marijuana that was produced by
extracting cannabinoids from medical marijuana. Categories of
medical marijuana concentrate include water -based medical marijuana
concentrate, food-based medical marijuana concentrate, solvent -based
medical marijuana concentrate, and heat - or pressure-based medical
marijuana concentrate;
33. 32. "Medical marijuana commercial grower " or "commercial
grower" means an entity licensed to cultivate, prepare and package
medical marijuana or package medical marijuana as pre -rolls, and
transfer or contract for transfer medical marijuana and medical
marijuana pre-rolls to a medical marijuana dispensary, medical
marijuana processor, any other medical marijuana commercial grower,
medical marijuana research facility , or medical marijuana education
facility and pesticide manufacturers . A commercial grower may sell
seeds, flower or clones to commercial growers pursuant to this act
the Oklahoma Medical Marijuana and Patient Protection Act ;
ENR. H. B. NO. 2646 Page 28
34. 33. "Medical marijuana education facility " or "education
facility" means a person or entity approved pursuant to this act the
Oklahoma Medical Marijuana and Patient Protection Act to operate a
facility providing training and education to individuals involving
the cultivation, growing, harvesting, curing, preparing, packaging
or testing of medical marijuana, or the production, manufacture,
extraction, processing, packaging or creation of medical -marijuana-
infused products or medical marijuana products as described in this
act the Oklahoma Medical Marijuana and Patient Protection Act ;
35. 34. "Medical-marijuana-infused product" means a product
infused with medical marijuana including, but not limited to, edible
products, ointments and tinctures;
36. 35. "Medical marijuana product " or "product" means a
product that contains cannabinoids that have been extracted from
plant material or the resin therefrom by physical or chemical means
and is intended for administration to a qualified patient including,
but not limited to, oils, tinctures, edibles, pills, topical forms,
gels, creams, vapors, patches, liquids , and forms administered by a
nebulizer, excluding live plant forms which are considered medical
marijuana;
37. 36. "Medical marijuana processor " means a person or entity
licensed pursuant to this act the Oklahoma Medical Marijuana and
Patient Protection Act to operate a business including the
production, manufacture, extraction, processing, packaging or
creation of concentrate, medical -marijuana-infused products or
medical marijuana products as described in this act the Oklahoma
Medical Marijuana and Patient Protection Act ;
38. 37. "Medical marijuana research facility " or "research
facility" means a person or entity approved pursuant to this act the
Oklahoma Medical Marijuana and Patient Protection Act to conduct
medical marijuana research. A medical marijuana research facili ty
is not a medical marijuana business;
39. 38. "Medical marijuana testing laboratory " or "laboratory"
means a public or private laboratory licensed pursuant to this act,
the Oklahoma Medical Marijuana and Patient Protection Act to conduct
testing and research on medical marijuana and medical marijuana
products;
40. 39. "Medical marijuana transporter " or "transporter" means
a person or entity that is licensed pursuant to this act the ENR. H. B. NO. 2646 Page 29
Oklahoma Medical Marijuana and Patient Protection Act . A medical
marijuana transporter does not include a medical marijuana business
that transports its own medical marijuana, medical marijuana
concentrate or medical marijuana products to a property or facility
adjacent to or connected to the licensed premises if the proper ty is
another licensed premises of the same medical marijuana business;
41. 40. "Medical marijuana waste " or "waste" means unused,
surplus, returned or out -of-date marijuana, plant debris of the
plant of the genus Cannabis , including dead plants and all unused
plant parts and roots, except the term shall not include roots,
stems, stalks and fan leaves;
42. 41. "Medical use" means the acquisition, possession, use,
delivery, transfer or transportation of medical marijuana, medical
marijuana products, medi cal marijuana devices or paraphernalia
relating to the administration of medical marijuana to treat a
licensed patient;
43. 42. "Mother plant" means a marijuana plant that is grown or
maintained for the purpose of generating clones, and that will not
be used to produce plant material for sale to a medical marijuana
processor or medical marijuana dispensary;
44. 43. "Oklahoma physician" or "physician" means a physician
licensed by and in good standing with the State Board of Medical
Licensure and Supervi sion, the State Board of Osteopathic Examiners
or the Board of Podiatric Medical Examiners;
45. 44. "Oklahoma resident" means an individual who can provide
proof of residency as required by this act the Oklahoma Medical
Marijuana and Patient Protection A ct;
46. 45. "Owner" means, except where the context otherwise
requires, a direct beneficial owner including, but not limited to,
all persons or entities as follows:
a. all shareholders owning an interest of a corporate
entity and all officers of a corpo rate entity,
b. all partners of a general partnership,
c. all general partners and all limited partners that own
an interest in a limited partnership,
ENR. H. B. NO. 2646 Page 30
d. all members that own an interest in a limited
liability company,
e. all beneficiaries that hold a beneficial interest in a
trust and all trustees of a trust,
f. all persons or entities that own interest in a joint
venture,
g. all persons or entities that own an interest in an
association,
h. the owners of any other type of legal entity, and
i. any other person holding an interest or convertible
note in any entity which owns, operates or manages a
licensed facility;
47. 46. "Package" or "packaging" means any container or wrapper
that may be used by a medical marijuana business to enclose or
contain medical marijuana;
48. 47. "Person" means a natural person, partnership,
association, business trust, company, corporation, estate, limited
liability company, trust or any other legal entity or organization,
or a manager, agent, owner, director, servant , officer or employee
thereof, except that "person" does not include any governmental
organization;
49. 48. "Pesticide" means any substance or mixture of
substances intended for preventing, destroying, repelling or
mitigating any pest or any substance or mixture of substances
intended for use as a plant regulator, defoliant or desiccant,
except that the term "pesticide" shall not include any article that
is a "new animal drug" as designated by the United States Food and
Drug Administration;
50. 49. "Production batch" means:
a. any amount of medical marijuana concentrate of the
same category and produced using the same extraction
methods, standard operating procedures and an
identical group of harvest batch of medical marijuana,
or
ENR. H. B. NO. 2646 Page 31
b. any amount of medical marijuana product of the same
exact type, produced using the same ingredients,
standard operating procedures and the same production
batch of medical marijuana concentrate;
51. 50. "Public institution" means any entity established or
controlled by the federal government, state government, or a local
government or municipality including, but not limited to,
institutions of higher education or related research institutions;
52. 51. "Public money" means any funds or money obtained by the
holder from any governmental entity including, but not limited to,
research grants;
53. 52. "Recommendation" means a document that is signed or
electronically submitted by a physician on behalf of a patient for
the use of medical marijuana pursuant to this act the Oklahoma
Medical Marijuana and Patient Protection Act ;
54. 53. "Registered to conduct business " means a person that
has provided proof that the business applicant or licensee is in
good standing with the Oklahoma Secretary of State and Oklahoma Tax
Commission;
55. 54. "Remediation" means the process by which the medical
marijuana flower or trim, which has failed microbial a harvest batch
or production batch that fails testing, is processed into solvent -
based medical marijuana concentrate undergoes a procedure to remedy
the harvest batch or production batch and is retested as required by
this act in accordance with Oklahoma laws, rules and regulations ;
56. 55. "Research project" means a discrete scientific endeavor
to answer a research question or a set of research questions related
to medical marijuana and is required for a medical marijuana
research license. A research project shall include a description of
a defined protocol, clearly articulated goals, defined methods and
outputs, and a defined start an d end date. The description shall
demonstrate that the research project will comply with all
requirements in this act the Oklahoma Medical Marijuana and Patient
Protection Act and rules promulgated pursuant thereto. All research
and development conducted by a medical marijuana research facility
shall be conducted in furtherance of an approved research project;
57. 56. "Revocation" means the final decision by the Department
that any license issued pursuant to this act the Oklahoma Medical ENR. H. B. NO. 2646 Page 32
Marijuana and Patient Protection Act is rescinded because the
individual or entity does not comply with the applicable
requirements set forth in this act the Oklahoma Medical Marijuana
and Patient Protection Act or rules promulgated pursuant thereto;
58. 57. "School" means a public or private preschool or a
public or private elementary , middle or secondary high school used
for school classes and instruction. A homeschool, daycare or child -
care facility shall not be considered a "school" as used in this act
the Oklahoma Medical Marijuana and Patient Protection Act ;
59. 58. "Shipping container" means a hard-sided container with
a lid or other enclosure that can be secured in place. A shipping
container is used solely for the transport of medical marijuana,
medical marijuana concentrate, or medical marijuana products between
medical marijuana businesses, a medical marijuana research facility,
or a medical marijuana education facility;
60. 59. "Solvent-based medical marijuana concentrate " means a
medical marijuana conce ntrate that was produced by extracting
cannabinoids from medical marijuana through the use of a solvent
approved by the Department;
61. 60. "State Question" means Oklahoma State Question No. 788,
Initiative Petition No. 412, approved by a majority vote o f the
citizens of Oklahoma on June 26, 2018;
62. 61. "Strain" means the classification name given to a
particular variety of medical marijuana or cannabis plants in either
pure sativa, indica, afghanica, ruderalis or hybrid varieties that
is based on a combination of factors which may include, but is not
limited to, botanical lineage, appearance, chemical profile and
accompanying effects. An example of a "strain" would be "OG Kush"
or "Pineapple Express";
63. 62. "THC" means tetrahydrocannabinol, which is the primary
psychotropic cannabinoid in marijuana formed by decarboxylation of
naturally tetrahydrocannabinolic acid, which generally occurs by
exposure to heat;
64. "Test batch" means with regard to usable marijuana, a
homogenous, identified quantit y of usable marijuana by strain, no
greater than ten (10) pounds, that is harvested during a seven -day
period from a specified cultivation area, and with regard to oils,
vapors and waxes derived from usable marijuana, means an identified ENR. H. B. NO. 2646 Page 33
quantity that is uniform, that is intended to meet specifications
for identity, strength and composition, and that is manufactured,
packaged and labeled during a specified time period according to a
single manufacturing, packaging and labeling protocol;
65. 63. "Transporter agent" means a person who transports
medical marijuana or medical marijuana products for as an employee
of a licensed transporter medical marijuana business and holds a
transporter agent license specific to that business pursuant to this
act the Oklahoma Medical Marijuana and Patient Protection Act ;
66. 64. "Universal symbol" means the image established by the
State Department of Health or Oklahoma Medical Marijuana Authority
and made available to licensees through its website indicating that
the medical marijuana or the medical marijuana product contains THC;
67. 65. "Usable marijuana" means the dried leaves, flowers,
oils, vapors, waxes and other portions of the marijuana plant and
any mixture or preparation thereof, excluding seed seeds, roots,
stems, stalks and fan leaves; and
68. 66. "Water-based medical marijuana concentrate " means a
concentrate that was produced by extracting cannabinoids from
medical marijuana through the use of only water, ice , or dry ice.
SECTION 9. AMENDATORY Section 3, Chapter 11, O.S.L.
2019, as amended by Section 6, Chapter 477, O.S.L. 2019 (63 O.S.
Supp. 2020, Section 427.3), is amended to read as follows:
Section 427.3 A. There is hereby created the Oklahoma Medical
Marijuana Authority wit hin the State Department of Health which
shall address issues related to the medical marijuana program in
Oklahoma including, but not limited to, the issuance of patient
licenses and medical marijuana business licenses, and the
dispensing, cultivating, pro cessing, testing, transporting, storage,
research, and the use of and sale of medical marijuana pursuant to
this act the Oklahoma Medical Marijuana and Patient Protection Act .
B. The Department shall provide support staff to perform
designated duties of the Authority. The Department shall also
provide office space for meetings of the Authority.
C. The Department shall implement the provisions of this act
the Oklahoma Medical Marijuana and Patient Protection Act
consistently with the voter -approved State Question No. 788, ENR. H. B. NO. 2646 Page 34
Initiative Petition No. 412, subject to the provisions of this act
the Oklahoma Medical Marijuana and Patient Protection Act .
D. The Department shall exercise its respective powers and
perform its respective duties and functions as sp ecified in this act
the Oklahoma Medical Marijuana and Patient Protection Act and Title
63 of the Oklahoma Statutes this title including, but not limited
to, the following:
1. Determine steps the state shall take, whether administrative
or legislative in nature, to ensure that research on marijuana and
marijuana products is being conducted for public purposes, including
the advancement of:
a. public health policy and public safety policy,
b. agronomic and horticultural best practices, and
c. medical and pharmacopoeia best practices;
2. Contract with third -party vendors and other governmental
entities in order to carry out the respective duties and functions
as specified in this act the Oklahoma Medical Marijuana and Patient
Protection Act;
3. Upon complaint or upon its own motion and upon a completed
investigation, levy fines as prescribed in this act applicable laws,
rules and regulations and suspend or, revoke or not renew licenses
pursuant to this act applicable laws, rules and regulations ;
4. Issue subpoenas for the appearance or production of persons,
records and things in connection with disciplinary or contested
cases considered by the Department;
5. Apply for injunctive or declaratory relief to enforce the
provisions of this section applicable laws, rules and any rules
promulgated pursuant to this section regulations;
6. Inspect and examine , with notice provided in accordance with
this act, all licensed premises of medical marijuana businesses,
research facilities and, education facilities and waste disposal
facilities in which medical marijuana is cultivated, manufactured,
sold, stored, transported, tested or, distributed or disposed of;
ENR. H. B. NO. 2646 Page 35
7. Upon action by the federal government by which the
production, sale and use of marijuana in Oklah oma does not violate
federal law, work with the Oklahoma State Banking Department and the
State Treasurer to develop good practices and standards for banking
and finance for medical marijuana businesses;
8. Establish internal control procedures for licen ses including
accounting procedures, reporting procedures and personnel policies;
9. Establish a fee schedule and collect fees for performing
background checks as the Commissioner deems appropriate. The fees
charged pursuant to this paragraph shall not exceed the actual cost
incurred for each background check; and
10. Require verification for sources of finance for medical
marijuana businesses Establish a fee schedule and collect fees for
material changes requested by the licensee; and
11. Establish regulations, which require a medical marijuana
business to submit information to the Oklahoma Medical Marijuana
Authority, deemed reasonably necessary to assist the Authority in
the prevention of diversion of medical marijuana by a licensed
medical marijuana business. Such information required by the
Authority may include, but shall not be limited to:
a. the square footage of the licensed premise s,
b. a diagram of the licensed premise s,
c. the number and type of lights at the licensed medical
marijuana commercial grower business,
d. the number, type and production capacity of equipment
located at the medical marijuana processing facility,
e. the names, addresses and telephone numbers of
employees or agents of a medical marijuana business,
f. employment manuals and standard operating procedures
for the medical marijuana business, and
g. any other information as the Authority reasonably
deems necessary.
ENR. H. B. NO. 2646 Page 36
SECTION 10. AMENDATORY Section 4, Chapter 11, O.S.L.
2019 (63 O.S. Supp. 20 20, Section 427.4), is amended to read as
follows:
Section 427.4 A. The Oklahoma Medical Marijuana Authority, in
conjunction with the State Department of Health, shall employ an
Executive Director and other personnel as necessary to assist the
Authority in carrying out its duties.
B. The Authority shall not employ an individual if any of the
following circumstances exist:
1. The individual has a direct or indirect interest in a
licensed medical marijuana business; or
2. The individual or his or her spouse, parent, child, spouse
of a child, sibling, or spouse of a sibling has an application for a
medical marijuana business license pending before the Department or
is a member of the board of directors of a medical marijuana
business, or is an individu al financially interested in any licensee
or medical marijuana business.
C. All officers and employees of the Authority shall be in the
exempt unclassified service as provided for in Section 840 -5.5 of
Title 74 of the Oklahoma Statutes.
D. The Commissioner may delegate to any officer or employee of
the Department any of the powers of the Executive Director and may
designate any officer or employee of the Department to perform any
of the duties of the Executive Director.
E. The Executive Director shall be authorized to suggest rules
governing the oversight and implementation of this act the Oklahoma
Medical Marijuana and Patient Protection Act .
F. The Department is hereby authorized to create employment
positions necessary for the implementation of it s obligations
pursuant to this act, the Oklahoma Medical Marijuana and Patient
Protection Act including, but not limited to, Authority
investigators and a senior director of enforcement. The Department
and the Authority, the senior director of enforcement , the Executive
Director, and Department investigators shall have all the powers of
any peace officer to:
ENR. H. B. NO. 2646 Page 37
1. Investigate violations or suspected violations of this act
the Oklahoma Medical Marijuana and Patient Protection Act and any
rules promulgated pu rsuant thereto;
2. Serve all warrants, summonses, subpoenas, administrative
citations, notices or other processes relating to the enforcement of
laws regulating medical marijuana, concentrate, and medical
marijuana product;
3. Assist or aid any law enf orcement officer in the performance
of his or her duties upon such law enforcement officer 's request or
the request of other local officials having jurisdiction;
4. Require any business applicant or licensee, upon twenty-four
(24) hours notice or upon a showing of necessity, to permit an
inspection of licensed premises during business hours or at any time
of apparent operation, marijuana equipment, and marijuana
accessories, or books and records; and to permit the testing of or
examination of medical mari juana, concentrate, or product; and
5. Require applicants and licensees to submit complete and
current applications, information and fees required by this act and
fees the Oklahoma Medical Marijuana and Patient Protection Act, the
Oklahoma Medical Mariju ana Waste Management Act and Sections 420
through 426.1 of this title , and approve material changes made by
the applicant or licensee ;
6. Require medical marijuana business licensees to submit a
sample or unit of medical marijuana or medical marijuana pr oduct to
the quality assurance laboratory when the Department has reason to
believe the medical marijuana or medical marijuana product may be
unsafe for patient consumption or inhalation or has not been tested
in accordance with the provisions of the Oklah oma Medical Marijuana
and Patient Protection Act and the rules and regulations of the
Department. The licensee shall provide the samples or units of
medical marijuana or medical marijuana products at its own expense
but shall not be responsible for the co sts of testing; and
7. Require medical marijuana business licensees to periodically
submit samples or units of medical marijuana or medical marijuana
products to the quality assurance lab oratory for quality assurance
purposes. Licensed growers, processo rs, dispensaries and
transporters shall not be required to submit samples or units of
medical marijuana or medical marijuana products more than twice a
year. The licensee shall provide the samples or units of medical ENR. H. B. NO. 2646 Page 38
marijuana or medical marijuana product s at its own expense but shall
not be responsible for the costs of testing .
SECTION 11. AMENDATORY Section 6, Chapter 11, O.S.L.
2019, as amended by Section 7, Chapter 477, O.S.L. 2019 (63 O.S.
Supp. 2020, Section 427.6), is amend ed to read as follows:
Section 427.6 A. The State Department of Health shall address
issues related to the medical marijuana program in Oklahoma
including, but not limited to, monitoring and disciplinary actions
as they relate to the medical marijuana p rogram.
B. 1. The Department or its designee may perform on -site
assessments inspections or investigations of a licensee or applicant
for any medical marijuana business license issued pursuant to this
act, research facility, education facility or waste disposal
facility to determine compliance with this act applicable laws,
rules and regulations or submissions made pursuant to this section.
The Department may enter the licensed premises of a medical
marijuana business, research facility, education facil ity or waste
disposal facility licensee or applicant to assess or monitor
compliance or ensure qualifications for licensure .
2. Inspections Post-licensure inspections shall be limited to
twice per calendar year and twenty-four (24) hours of notice shall
be provided to a medical marijuana business applicant or licensee
prior to an on-site assessment. However, investigations and
additional inspections may occur when the Department shows that
believes an investigation or additional inspection is necessary d ue
to a possible violation of this act applicable laws, rules or
regulations. Such inspection may be without notice if the
Department believes that such notice will result in the destruction
of evidence The State Commissioner of Health may adopt rules
imposing penalties including, but not limited to, monetary fines and
suspension or revocation of licensure for failure to allow the
Authority reasonable access to the licensed premise s for purposes of
conducting an inspection .
3. The Department may review r elevant records of a licensed
medical marijuana business, licensed medical marijuana research
facility or, licensed medical marijuana education facility or
licensed medical marijuana waste disposal facility , and may require
and conduct interviews with such persons or entities and persons
affiliated with such entities, for the purpose of determining
compliance with Department requirements and applicable laws , rules ENR. H. B. NO. 2646 Page 39
and regulations. However, prior to conducting any interviews with
the medical marijuana busin ess, research facility or education
facility, the licensee shall be afforded sufficient time to secure
legal representation during such questioning if requested by the
business or facility or any of its agents or employees or
contractors.
4. The Department shall may refer complaints alleging criminal
activity that are made against a licensee to appropriate Oklahoma
state or local law enforcement authorities.
C. Disciplinary action may be taken against an applicant or
licensee under this act for not adhering to the law applicable laws
pursuant to the terms, conditions and guidelines set forth in this
act the Oklahoma Medical Marijuana and Patient Protection Act .
D. Disciplinary actions may include revocation, suspension or
denial of an application, lice nse or final authorization and other
action deemed appropriate by the Department.
E. Disciplinary actions may be imposed upon a medical marijuana
business licensee for:
1. Failure to comply with or satisfy any provision of this
section applicable laws, rules or regulations ;
2. Falsification or misrepresentation of any material or
information submitted to the Department or other licensees;
3. Failing to allow or impeding a monitoring visit entry by
authorized representatives of the Department;
4. Failure to adhere to any acknowledgement, verification or
other representation made to the Department;
5. Failure to submit or disclose information required by this
section applicable laws, rules or regulations or otherwise requested
by the Department;
6. Failure to correct any violation of this section cited as a
result of a review or audit of financial records or other materials;
7. Failure to comply with requested access by the Department to
the licensed premises or materials;
ENR. H. B. NO. 2646 Page 40
8. Failure to pay a required monetary penalty;
9. Diversion of medical marijuana or any medical marijuana
product, as determined by the Department;
10. Threatening or harming a medical marijuana patient
licensee, caregiver licensee , a medical practitioner or an employee
of the Department; and
11. Any other basis indicating a violation of the applicable
laws and regulations as identified by the Department.
F. Disciplinary actions against a licensee may include the
imposition of monetary penalties, which may be assessed by the
Department. The Department may suspend or revoke a license for
failure to pay any monetary penalty lawfully assessed by the
Department against a licensee.
G. Penalties for sales or purchases by a medical marijuana
business to persons other than t hose allowed by law occurring within
any two-year time period may include an initial fine of One Thousand
Dollars ($1,000.00) for a first violation and a fine of Five
Thousand Dollars ($5,000.00) for any subsequent violation.
Penalties for grossly inaccur ate or fraudulent reporting occurring
within any two-year time period may include an initial fine of Five
Thousand Dollars ($5,000.00) for a first violation and a fine of Ten
Thousand Dollars ($10,000.00) for any subsequent violation. The
medical marijuana business may be subject to a revocation of any
license granted pursuant to this act the Oklahoma Medical Marijuana
and Patient Protection Act upon a showing that the violation was
willful or grossly negligent.
H. 1. First offense for intentional and i mpermissible
diversion of medical marijuana, concentrate, or products by a
patient or caregiver to an unauthorized person shall not be punished
under a criminal statute but may be subject to a fine of Two Hundred
Dollars ($200.00).
2. The second offense for impermissible diversion of medical
marijuana, concentrate, or products by a patient or caregiver to an
unauthorized person shall not be punished under a criminal statute
but may be subject to a fine of not to exceed Five Hundred Dollars
($500.00) and may result in revocation of the license upon a showing
that the violation was willful or grossly negligent.
ENR. H. B. NO. 2646 Page 41
I. The following persons or entities may request a hearing to
contest an action or proposed action of The intentional diversion of
medical marijuana, medical marijuana concentrate or medical
marijuana products by a licensed medical marijuana patient or
caregiver, medical marijuana business or employee of a medical
marijuana business to an unauthorized minor person who the licensed
medical marijuana patient or caregiver, medical marijuana business
or employee of a medical marijuana business knew or reasonably
should have known to be a minor person shall be subject to a cite
and release citation and, upon a finding of guilt or a plea of no
contest, a fine of Two Thousand Five Hundred Dollars ($2,500.00).
For a second or subsequent offense, the licensed medical marijuana
patient or caregiver, medical marijuana business or employee of a
medical marijuana business shall be subject to a cite and release
citation and, upon a finding of guilt or a plea of no contest, a
fine of Five Thousand Dollars ($5,000.00) and automatic termination
of the medical marijuana license.
J. Nothing in this section shall be construed to prevent the
criminal prosecution, after t he presentation of evidence and a
finding beyond a reasonable doubt, of a licensed medical marijuana
patient or caregiver, medical marijuana business or employee of a
medical marijuana business who has diverted medical marijuana,
medical marijuana concentr ate or medical marijuana products to an
unauthorized person with the intent or knowledge that the
unauthorized person was to engage in the distribution or trafficking
of medical marijuana, medical marijuana concentrate or medical
marijuana products.
K. In addition to any other remedies provided for by law, the
Department:
1. A medical marijuana business, research facility or education
facility licensee whose license has been summarily suspended or who
has received a notice of contemplated action to susp end or revoke a
license or take other , pursuant to its rules and regulations, may
issue a written order to any licensee the Department has reason to
believe has violated Sections 420 through 426.1 of this title, the
Oklahoma Medical Marijuana and Patient P rotection Act, the Oklahoma
Medical Marijuana Waste Management Act, or any rules promulgated by
the State Commissioner of Health and to whom the Department has
served, not less than thirty (30) days previously, a written notice
of violation of such statute s or rules.
ENR. H. B. NO. 2646 Page 42
1. The written order shall state with specificity the nature of
the violation. The Department may impose any disciplinary action;
and
2. A patient or caregiver licensee whose license has been
summarily suspended or who has received notice of contemplated
action to suspend or revoke a license or take other disciplinary
action.
J. authorized under the provisions of this section including,
but not limited to, the assessment of monetary penalties .
2. Any order issued pursuant to the provisio ns of this section
shall become a final order unless, not more than thirty (30) days
after the order is served to the licensee, the licensee requests an
administrative hearing in accordance with the rules and regulations
of the Department. Upon such reque st, the Department shall promptly
initiate administrative proceedings .
L. Whenever the Department finds that an emergency exists
requiring immediate action in order to protect the health or welfare
of the public, the Department may issue an order, withou t providing
notice or hearing, stating the existence of said emergency and
requiring that action be taken as the Department deems necessary to
meet the emergency. Such action may include, but is not limited to,
ordering the licensee to immediately cease a nd desist operations by
the licensee. The order shall be effective immediately upon
issuance. Any person to whom the order is directed shall comply
immediately with the provisions of the order. The Department may
assess a penalty not to exceed Ten Thous and Dollars ($10,000.00) per
day of noncompliance with the order. In assessing such a penalty,
the Department shall consider the seriousness of the violation and
any efforts to comply with applicable requirements. Upon
application to the Department, the licensee shall be offered a
hearing within ten (10) days of the issuance of the order.
M. All hearings held pursuant to this section shall be in
accordance with the Oklahoma Administrative Procedures Act , Section
250 et seq. of Title 75 of the Oklahoma S tatutes.
SECTION 12. AMENDATORY Section 7, Chapter 11, O.S.L.
2019, as amended by Section 5, Chapter 509, O.S.L. 2019 (63 O.S.
Supp. 2020, Section 427.7), is amended to read as follows:
ENR. H. B. NO. 2646 Page 43
Section 427.7 A. The Oklahoma Medical Mar ijuana Authority
shall create a medical marijuana use registry of patients and
caregivers as provided under this section. The handling of any
records maintained in the registry shall comply with all relevant
applicable state and federal privacy laws including, but not limited
to, the Health Insurance Portability and Accountability Act of 1996
(HIPAA).
B. The medical marijuana use registry shall be accessible to:
1. Oklahoma-licensed medical marijuana dispensaries to verify
the license of a patient or c aregiver by the twenty -four-character
identifier; and
2. Any court in this state.
C. All other records regarding a medical marijuana patient or
caregiver licensee shall be maintained by the Authority and shall be
deemed confidential. The handling of a ny records maintained by the
Authority shall comply with all relevant applicable state and
federal privacy laws including, but not limited to, the Health
Insurance Portability and Accountability Act of 1996 (HIPAA) . Such
records shall be marked as confide ntial, shall not be made available
to the public, and shall only be made available to the licensee,
designee of the licensee, any physician of the licensee or the
caregiver of the licensee.
D. A log shall be kept with the file of the licensee to record
any event in which the records of the licensee were made available
and to whom the records were provided.
E. The Department Authority shall ensure that all application
medical marijuana patient and caregiver records and information are
sealed to protect the privacy of medical marijuana patient license
applicants and licensees.
SECTION 13. AMENDATORY Section 9, Chapter 11, O.S.L.
2019 (63 O.S. Supp. 2020, Section 427.9), is amended to read as
follows:
Section 427.9 A. The Oklahoma Medical Marijuana Authority may
contact the recommending physician of an applicant for a medical
marijuana patient license or current holder of a medical marijuana
patient license to verify the need of the applicant or licensee for
the license and the information submitted with the application . ENR. H. B. NO. 2646 Page 44
B. An applicant for a medical marijuana patient license who can
demonstrate his or her status as a one -hundred-percent-disabled
veteran as determined by the U.S. Department of Veterans Affairs and
codified at 38 C.F.R., Section 3.340(a)(2013) shall pay a reduced
biannual application fee of Twenty Dollars ($20.00). The methods of
payment, as determined by the Authority, shall be provided on the
website. However, the Authority shall ensure that all applicants
have an option to submit the license application and payment by
means other than solely by submission of the application and fee
online.
C. The patient license shall be valid for up to two (2) years
from the date of issuance, unless the recommendation of th e
physician is terminated pursuant to this act the Oklahoma Medical
Marijuana and Patient Protection Act or revoked by the Department.
SECTION 14. AMENDATORY Section 10, Chapter 11, O.S.L.
2019, as amended by Section 2, Chapter 39 0, O.S.L. 2019 (63 O.S.
Supp. 2020, Section 427.10), is amended to read as follows:
Section 427.10 A. Only licensed Oklahoma allopathic,
osteopathic and podiatric physicians may provide a medical marijuana
recommendation for a medical marijuana patient license under this
act the Oklahoma Medical Marijuana and Patient Protection Act .
B. A physician who has not completed his or her first residency
shall not meet the definition of "physician" under this section and
any recommendation for a medical marijua na patient license shall not
be processed by the Authority.
C. No physician shall be subject to arrest, prosecution or
penalty in any manner or denied any right or privilege under
Oklahoma state, municipal or county statute, ordinance or
resolution, including without limitation a civil penalty or
disciplinary action by the State Board of Medical Licensure and
Supervision or, the State Board of Osteopathic Examiners , the Board
of Podiatric Medical Examiners or by any other business, occupation
or professional licensing board or bureau, solely for providing a
medical marijuana recommendation for a patient or for monitoring,
treating or prescribing scheduled medication to patients who are
medical marijuana licensees. The provisions of this subsection
shall not prevent the relevant professional licensing boards from
sanctioning a physician for failing to properly evaluate the medical ENR. H. B. NO. 2646 Page 45
condition of a patient or for otherwise violating the applicable
physician-patient standard of care.
D. A physician who recomm ends use of medical marijuana shall
not be located at the same physical address as a licensed medical
marijuana dispensary.
E. If the physician determines the continued use of medical
marijuana by the patient no longer meets the requirements set forth
in this act the Oklahoma Medical Marijuana and Patient Protection
Act, the physician shall notify the Department and the Authority
shall immediately revoke the license shall be immediately voided
without right to an individual proceeding .
SECTION 15. AMENDATORY Section 11, Chapter 11, O.S.L.
2019 (63 O.S. Supp. 2020, Section 427.11), is amended to read as
follows:
Section 427.11 A. The caregiver license shall provide the
caregiver the same rights as the medical marijuana patient l icensee,
including the ability to possess marijuana, marijuana products, and
mature and immature plants pursuant to this act the Oklahoma Medical
Marijuana and Patient Protection Act , but excluding the ability to
use marijuana or marijuana products unless the caregiver has a
medical marijuana patient license. Caregivers shall be authorized
to deliver marijuana and products to their authorized patients.
Caregivers shall be authorized to possess medical marijuana and
medical marijuana products up to the sum of the possession limits
for the patients under his or her care pursuant to this act the
Oklahoma Medical Marijuana and Patient Protection Act .
B. An individual caregiver shall be limited to exercising the
marijuana cultivation rights of no more than fi ve licensed patients
as prescribed by this act the Oklahoma Medical Marijuana and Patient
Protection Act.
C. The license of a caregiver shall not extend beyond the
expiration date of the underlying patient license regardless of the
issue date.
D. A medical marijuana patient license holder may request, at
any time, to withdraw the license of his or her caregiver. In the
event that such a request is made or upon the expiration of the
medical marijuana license of the patient, the license of the ENR. H. B. NO. 2646 Page 46
caregiver shall be immediately withdrawn by the Department without
the right to a hearing.
SECTION 16. AMENDATORY Section 13, Chapter 11, O.S.L.
2019 (63 O.S. Supp. 2020, Section 427.13), is amended to read as
follows:
Section 427.13 A. All medical marijuana and medical marijuana
products shall be purchased solely from an Oklahoma -licensed medical
marijuana business, and shall not be purchased from any out -of-state
providers.
B. 1. The Authority shall have oversight and auditing
responsibilities to ensure that all marijuana being grown in
Oklahoma is accounted for and shall implement an inventory tracking
system. Pursuant to these duties, the Authority shall require that
each medical marijuana business , medical marijuana research
facility, medical marijuana education facility and medical marijuana
waste disposal facility keep records for every transaction with
another medical marijuana business, patient or caregiver. Inventory
shall be tracked and updated after each individual sale and reported
to the Authority.
2. The inventory tracking system licensees use shall allow for
integration of other seed -to-sale systems and, at a minimum, shall
include the following:
a. notification of when marijuana seeds and clones are
planted,
b. notification of when marijuana plants are harvested
and destroyed,
c. notification of when marijuana is transported, sold,
stolen, diverted or lost,
d. a complete inventory of all marijuana, seeds, plant
tissue, clones, plants, usable marijuana or trim,
leaves and other plant matter, batches of extract, and
marijuana concentrates,
e. all samples sent to a testing laboratory, an unused
portion of a sample returned to a licensee, all
samples utilized by licensee for purposes of
negotiating a sale, and ENR. H. B. NO. 2646 Page 47
f. all samples used for quality testing by a licensee.
3. Each medical marijuana business , medical marijuana research
facility, medical marijuana education facility and medical marijuana
waste disposal facility shall use a seed-to-sale tracking system or
integrate its own seed-to-sale tracking system with the seed -to-sale
tracking system established by the Authority.
4. These records shall include, but not be limited to, the
following:
a. the name and license number of the medical marijuana
business that cultivated, manufactured or sold the
medical marijuana or medical marijuana product,
b. the address and phone number of the medical marijuana
business that cultivated, manufactured or sold the
medical marijuana or medical marijuana product,
c. the type of product received during the transaction,
d. the batch number of the marijuana plant used,
e. the date of the transaction,
f. the total spent in dollars,
g. all point-of-sale records,
h. marijuana excise tax records, and
i. any additional information as may be reasonably
required by the Department.
5. All inventory tracking records retained by a medical
marijuana business, medical marijuana research facility, medical
marijuana education facility or medical marijuana waste disposal
facility containing medical marijuana patient or caregiver
information shall comply with all relevant state and federal laws
including, but not limited to, the Health Insurance Portability and
Accountability Act of 1996 (HIPAA) , and shall not be retained by any
medical marijuana business for more than sixty (60) days .
ENR. H. B. NO. 2646 Page 48
SECTION 17. AMENDATORY Section 14, Chapter 11, O.S.L.
2019, as last amended by Section 51, Chapter 161, O.S.L. 2020 (63
O.S. Supp. 2020, Section 427.14), is amended to read as follows:
Section 427.14 A. There is hereby created the medical
marijuana business license, which shall include the following
categories:
1. Medical marijuana commercial grower;
2. Medical marijuana processor;
3. Medical marijuana dispensary;
4. Medical marijuana transporter; and
5. Medical marijuana testing laboratory.
B. The Oklahoma Medical Marijuana Authority, with the aid of
the Office of Management and Enterprise Services, shall develop a
website for medical marijuana business applications.
C. The Authority shall make available on its website in an
easy-to-find location, applications for a medical marijuana
business.
D. The annual, nonrefundable application fee for a medical
marijuana business license shall be Two Thousand Five Hundred
Dollars ($2,500.00).
E. All applicants seeking licensure or licensure renewal as a
medical marijuana business shall comply with the following general
requirements:
1. All applications for licenses and registrations authorized
pursuant to this section shall be m ade upon forms prescribed by the
Authority;
2. Each application shall identify the city or county in which
the applicant seeks to obtain licensure as a medical marijuana
business;
3. Applicants shall submit a complete application to the
Department before the application may be accepted or considered;
ENR. H. B. NO. 2646 Page 49
4. All applications shall be complete and accurate in every
detail;
5. All applications shall include all attachments or
supplemental information required by the forms supplied by the
Authority;
6. All applications shall be accompanied by a full remittance
for the whole amount of the application fees. Application fees are
nonrefundable;
7. All applicants shall be approved for licensing review that,
at a minimum, meets the following criteria:
a. all applicants shall be age twenty-five (25) years of
age or older,
b. any applicant if applying as an individual shall show,
proof that the applicant is an Oklahoma resident
pursuant to paragraph 11 of this subsection,
c. any applicant if applying as an entity shall show,
proof that seventy-five percent (75%) of all members,
managers, executive officers, partners, board members
or any other form of business ownership are Oklahoma
residents pursuant to paragraph 11 of this subsection,
d. all if applying individuals as an individual or
entities shall be entity, proof that the individual or
entity is registered to conduct business in the State
of Oklahoma,
e. all applicants shall disclose disclosure of all
ownership interests pursuant to this act the Oklahoma
Medical Marijuana and Patient Protection Act , and
f. applicants shall proof that the medical marijuana
business, medical marijuana research facility, medical
marijuana education facility and medical marijuana
waste disposal facility applicant or licensee has not
have been convicted of a nonviolent felony in the last
two (2) years, and or any other felony conviction
within the last five (5) years, shall is not be a
current inmates inmate in the custody of the ENR. H. B. NO. 2646 Page 50
Department of Corrections , or currently incarce rated
in a jail or corrections facility;
8. There shall be no limit to the number of medical marijuana
business licenses or categories that an individual or entity can
apply for or receive, although each application and each category
shall require a sepa rate application and application fee. A
commercial grower, processor and dispensary, or any combination
thereof, are authorized to share the same address or physical
location, subject to the restrictions set forth in this act the
Oklahoma Medical Marijuan a and Patient Protection Act ;
9. All applicants for a medical marijuana business license,
research facility license or education facility license authorized
by this act the Oklahoma Medical Marijuana and Patient Protection
Act, or for a renewal of such license, shall undergo an Oklahoma
criminal history background check conducted by the Oklahoma State
Bureau of Investigation (OSBI) within thirty (30) days prior to the
application for the license, including:
a. individual applicants applying on their own behalf,
b. individuals applying on behalf of an entity,
c. all principal officers of an entity, and
d. all owners of an entity as defined by this act the
Oklahoma Medical Marijuana and Patient Protection Act ;
10. All applicable fees charged by the OSBI are the
responsibility of the applicant and shall not be higher than fees
charged to any other person or industry for such background checks;
11. In order to be considered an Oklahoma resident for purposes
of a medical marijuana business application, a ll applicants shall
provide proof of Oklahoma residency for at least two (2) years
immediately preceding the date of application or five (5) years of
continuous Oklahoma residency during the preceding twenty -five (25)
years immediately preceding the date o f application. Sufficient
documentation of proof of residency shall include a combination of
the following:
a. an unexpired Oklahoma -issued driver license,
b. an Oklahoma voter identification card, ENR. H. B. NO. 2646 Page 51
c. a utility bill preceding the date of application,
excluding cellular telephone and Internet bills,
d. a residential property deed to property in the State
of Oklahoma, and
e. a rental agreement preceding the date of application
for residential property located in the State of
Oklahoma.
Applicants that were issued a medical marijuana business license
prior to the enactment of the Oklahoma Medical Marijuana and Patient
Protection Act August 30, 2019, are hereby exempt from the two -year
or five-year Oklahoma residence requirement mentioned above;
12. All license applicants shall be required to submit a
registration with the Oklahoma State Bureau of Narcotics and
Dangerous Drugs Control as provided in Sections 2 -302 through 2-304
of Title 63 of the Oklahoma Statutes this title;
13. All applicants shall es tablish their identity through
submission of a color copy or digital image of one of the following
unexpired documents:
a. front and back of an Oklahoma driver license,
b. front and back of an Oklahoma identification card,
c. a United States passport or other photo identification
issued by the United States government, or
d. certified copy of the applicant 's birth certificate
for minor applicants who do not possess a document
listed in this section, or
e. a tribal identification card approved for
identification purposes by the Oklahoma Department of
Public Safety; and
14. All applicants shall submit an applicant photograph.
F. The Authority shall review the medical marijuana business
application,; approve or, reject or deny the application; and mail
the approval, rejection , denial or status-update letter to the ENR. H. B. NO. 2646 Page 52
applicant within ninety (90) business days of receipt of the
application.
G. 1. The Authority shall review the medical marijuana
business applications and conduct all investigations, inspec tions
and interviews before approving the application.
2. Approved applicants shall be issued a medical marijuana
business license for the specific category applied under , which
shall act as proof of their approved status. Rejection and denial
letters shall provide a reason for the rejection or denial.
Applications may only be rejected or denied based on the applicant
not meeting the standards set forth in the provisions of this
section the Oklahoma Medical Marijuana and Patient Protection Act
and Sections 420 through 426.1 of this title , improper completion of
the application, or for a reason provided for in this act the
Oklahoma Medical Marijuana and Patient Protection Act and Sections
420 through 426.1 of this title . If an application is rejected for
failure to provide required information, the applicant shall have
thirty (30) days to submit the required information for
reconsideration. No additional application fee shall be charged for
such reconsideration. Unless the Department determines otherwis e,
an application that has been resubmitted but is still incomplete or
contains errors that are not clerical or typographical in nature
shall be denied.
3. Status-update letters shall provide a reason for delay in
either approval or, rejection or denial should a situation arise in
which an application was submitted properly , but a delay in
processing the application occurred.
4. Approval, rejection , denial or status-update letters shall
be sent to the applicant in the same method the application was
submitted to the Department.
H. A license for a medical marijuana business license, medical
marijuana research facility, medical marijuana education facility or
medical marijuana waste disposal facility shall not be issued to or
held by:
1. A person until all required fees have been paid;
2. A person who has been convicted of a nonviolent felony
within two (2) years of the date of application, or within five (5)
years for any other felony; ENR. H. B. NO. 2646 Page 53
3. A corporation, if the criminal history of any of its
officers, directors or stockholders indicates that the officer,
director or stockholder has been convicted of a nonviolent felony
within two (2) years of the date of application, or within five (5)
years for any other felony;
4. A person under twenty -five (25) years of age;
5. A person licensed pursuant to this section who, during a
period of licensure, or who, at the time of application, has failed
to:
a. file taxes, interest or penalties due related to a
medical marijuana business, or
b. pay taxes, interest or penalties due related to a
medical marijuana business;
6. A sheriff, deputy sheriff, police officer or prosecuting
officer, or an officer or employee of the Authority or municipality;
or
7. A person whose authority to be a caregiver , as defined in
this act Section 427.2 of this title, has been revoked by the
Department; or
8. A person who was involved in the management or operations of
any medical marijuana business, medical marijuana research facility,
medical marijuana education facility or med ical marijuana waste
disposal facility that, after the initiation of a disciplinary
action, has had a medical marijuana license revoked, not renewed, or
surrendered during the five (5) years preceding submission of the
application and for the following vio lations:
a. unlawful sales or purchases,
b. any fraudulent acts, falsification of records or
misrepresentation to the Authority, medical marijuana
patient licensees, caregiver licensees or medical
marijuana business licensees,
c. any grossly inaccurate or fraudulent reporting,
ENR. H. B. NO. 2646 Page 54
d. threatening or harming any medical marijuana patient,
caregiver, medical practitioner or employee of the
Department,
e. knowingly or intentionally refusing to permit the
Department access to premises or records,
f. using a prohibited, hazardous substance for processing
in a residential area,
g. criminal acts relating to the operation of a medical
marijuana business, or
h. any violations that endanger public health and safety
or product safety.
I. In investigating the quali fications of an applicant or a
licensee, the Department, Authority and municipalities may have
access to criminal history record information furnished by a
criminal justice agency subject to any restrictions imposed by such
an agency. In the event the Dep artment considers the criminal
history record of the applicant, the Department shall also consider
any information provided by the applicant regarding such criminal
history record, including but not limited to evidence of
rehabilitation, character referenc es and educational achievements,
especially those items pertaining to the period of time between the
last criminal conviction of the applicant and the consideration of
the application for a state license.
J. The failure of an applicant or licensee to provide the
requested information by the Authority deadline may be grounds for
denial of the application.
K. All applicants and licensees shall submit information to the
Department and Authority in a full, faithful, truthful and fair
manner. The Department and Authority may recommend denial of an
application where the applicant or licensee made misstatements,
omissions, misrepresentations or untruths in the application or in
connection with the background investigation of the applicant. This
type of conduct may be considered as the basis grounds for
additional administrative action against the applicant or licensee.
Typos and scrivener errors shall not be grounds for denial.
L. A licensed medical marijuana business premises shall be
subject to and respon sible for compliance with applicable provisions ENR. H. B. NO. 2646 Page 55
for medical marijuana business facilities consistent with the zoning
where such business is located as described in the most recent
versions of the Oklahoma Uniform Building Code, the International
Building Code and the International Fire Code, unless granted an
exemption by the Authority or a municipality or appropriate code
enforcement entity.
M. All medical marijuana business , medical marijuana research
facility, medical marijuana education facility and m edical marijuana
waste disposal facility licensees shall pay the relevant licensure
fees prior to receiving licensure to operate a medical marijuana
business, as defined in this act for each class of license .
N. A medical marijuana business, medical mari juana research
facility, medical marijuana education facility or medical marijuana
waste disposal facility that attempts to renew its license after the
expiration date of the license shall pay a late renewal fee in an
amount to be determined by the Departm ent to reinstate the license.
Late renewal fees are nonrefundable. A license that has been
expired for more than ninety (90) days shall not be renewed.
O. No medical marijuana business, medical marijuana research
facility, medical marijuana education f acility or medical marijuana
waste disposal facility shall possess, sell or transfer medical
marijuana or medical marijuana products without a valid, unexpired
license issued by the Department.
SECTION 18. AMENDATORY Section 16, C hapter 11, O.S.L.
2019 (63 O.S. Supp. 2020, Section 427.16), is amended to read as
follows:
Section 427.16 A. There is hereby created a medical marijuana
transporter license as a category of the medical marijuana business
license.
B. Pursuant to Secti on 424 of Title 63 of the Oklahoma Statutes
this title, the Oklahoma Medical Marijuana Authority shall issue a
medical marijuana transporter license to licensed medical marijuana
commercial growers, processors and dispensaries upon issuance of
such licenses and upon each renewal. Medical marijuana transporter
licenses shall also be issued to licensed medical marijuana research
facilities, medical marijuana education facilities and medical
marijuana testing laboratories upon issuance of such license s and
upon each renewal.
ENR. H. B. NO. 2646 Page 56
C. A medical marijuana transporter license may also be issued
to qualifying applicants who are registered with the Oklahoma
Secretary of State and otherwise meet the requirements for a medical
marijuana business license set forth in this act the Oklahoma
Medical Marijuana and Patient Protection Act and the requirements
set forth in this section to provide logistics, distribution and
storage of medical marijuana, medical marijuana concentrate and
medical marijuana products.
D. A medical marijuana transporter license shall be valid for
one (1) year and shall not be transferred with a change of
ownership. A licensed medical marijuana transporter shall be
responsible for all medical marijuana, medical marijuana concentrate
and medical marijuana products once the transporter takes control of
the product.
E. A transporter license shall be required for any person or
entity to transport or transfer medical marijuana, medical marijuana
concentrate or product medical marijuana products from a licensed
medical marijuana business to another medical marijuana business, or
from a medical marijuana business to a medical marijuana research
facility or medical marijuana education facility.
F. A medical marijuana transporter licensee may contract with
multiple licensed medical marijuana businesses.
G. A medical marijuana transporter may maintain a licensed
premises to temporarily store medical marijuana, medical marijuana
concentrate and medical marijuana products and to use as a
centralized distribut ion point. A medical marijuana transporter may
store and distribute medical marijuana, medical marijuana
concentrate and medical marijuana products from the licensed
premises. The licensed premises shall meet all security
requirements applicable to a med ical marijuana business.
H. A medical marijuana transporter licensee shall use the seed -
to-sale tracking system developed pursuant to this act the Oklahoma
Medical Marijuana and Patient Protection Act to create shipping
manifests documenting the transpor t of medical marijuana, medical
marijuana concentrate and medical marijuana products throughout the
state.
I. A licensed medical marijuana transporter may maintain and
operate one or more warehouses in the state to handle medical
marijuana, medical marijuana concentrate and medical marijuana ENR. H. B. NO. 2646 Page 57
products. Each location shall be registered and inspected by the
Authority prior to its use .
J. All With the exception of a lawful transfer between medical
marijuana businesses who are licensed to operate at the sa me
physical address, all medical marijuana, medical marijuana
concentrate and product medical marijuana products shall be
transported:
1. In vehicles equipped with Global Positioning System (GPS)
trackers;
2. In a locked container and clearly labeled "Medical Marijuana
or Derivative"; and
3. In a secured area of the vehicle that is not accessible by
the driver during transit.
K. A transporter agent may possess marijuana at any location
while the transporter agent is transferring marijuana to or from a
licensed medical marijuana business, licensed medical marijuana
research facility or licensed medical marijuana education facility.
The Department shall administer and enforce the provisions of this
section concerning transportation.
L. The Authority shall issue a transporter agent license to
individual agents, employees, officers or owners of a transporter
license in order for the individual to qualify to transport medical
marijuana, medical marijuana concentrate or product medical
marijuana products.
M. The annual fee for a transporter agent license shall be One
Hundred Dollars ($100.00) Twenty-five Dollars ($25.00) and shall be
paid by the transporter license holder or the individual applicant.
Transporter license reprints shall be Twenty Dollars ($20.00).
N. The Authority shall issue each transporter agent a registry
identification card within thirty (30) days of receipt of:
1. The name, address and date of birth of the person;
2. Proof of current Oklahoma residency as required for a
medical marijuana business license ;
ENR. H. B. NO. 2646 Page 58
3. Proof of identity as required for a medical marijuana
business license;
4. Possession of a valid Oklahoma driver license;
5. Verification of employment with a licensed transporter;
6. The application and affiliated fee; and
7. A copy of the criminal background check conducted by the
Oklahoma State Bureau of Investigation, paid for by the applicant.
O. If the transporter agent application is denied, the
Department shall notify the transporter in writing of the rea son for
denying the registry identification card.
P. A registry identification card for a transporter shall
expire one (1) year after the date of issuance or upon notification
from the holder of the transporter license that the transporter
agent ceases to work as a transporter.
Q. The Department may revoke the registry identification card
of a transporter agent who knowingly violates any provision of this
section, and the transporter is subject to any other penalties
established by law for the violation .
R. The Department may revoke or suspend the transporter license
of a transporter that the Department determines knowingly aided or
facilitated a violation of any provision of this section, and the
licenseholder license holder is subject to any other pe nalties
established in law for the violation.
S. Vehicles used in the transport of medical marijuana or
medical marijuana product shall be:
1. Insured at or above the legal requirements in Oklahoma;
2. Capable of securing medical marijuana during tra nsport; and
3. In possession of a shipping container as defined in Section
427.2 of this act title capable of securing all transported product
products.
T. Prior to the transport of any medical marijuana , medical
marijuana concentrate or medical marijuana products, an inventory ENR. H. B. NO. 2646 Page 59
manifest shall be prepared at the origination point of the medical
marijuana. The inventory manifest shall include the following
information:
1. For the origination point of the medical marijuana:
a. the licensee number for t he commercial grower,
processor or dispensary,
b. address of origination of transport, and
c. name and contact information for the originating
licensee;
2. For the end recipient license holder of the medical
marijuana:
a. the license number for the di spensary, commercial
grower, processor, research facility or education
facility destination,
b. address of the destination, and
c. name and contact information for the destination
licensee;
3. Quantities by weight or unit of each type of medical
marijuana product contained in transport;
4. The date of the transport and the approximate time of
departure;
5. The arrival date and estimated time of arrival;
6. Printed names and signatures of the personnel accompanying
the transport; and
7. Notation of the transporting licensee.
U. 1. A separate inventory manifest shall be prepared for each
licensee receiving the medical marijuana.
2. The transporter agent shall provide the other medical
marijuana business with a copy of the inventory manifest at the time ENR. H. B. NO. 2646 Page 60
the product changes hands and after the other licensee prints his or
her name and signs the inventory manifest.
3. An inventory manifest shall not be altered after departing
the originating premises other than in cases where the printed name
and signature of receipt by the receiving licensee is necessary.
4. A receiving licensee shall refuse to accept any medical
marijuana, medical marijuana concentrate or product medical
marijuana products that is are not accompanied by an inventory
manifest.
5. 4. Originating and receiving licensees shall maintain copies
of inventory manifests and logs of quantities of medical marijuana
received for three (3) seven (7) years from date of receipt.
SECTION 19. AMENDATORY Section 17, Chapter 11, O.S.L.
2019, as amended by Section 4, Chapter 312, O.S.L. 2019 (63 O.S.
Supp. 2020, Section 427.17), is amended to read as follows:
Section 427.17 A. There is hereby created a medical marijuana
testing laboratory license as a category of the medical marijuana
business license. The Oklahoma Medical Marijuana Authority is
hereby enabled to monitor, inspect and audit a licensed testing
laboratory under this act the Oklahoma Medical Marijuana and Patient
Protection Act.
B. The Authority is her eby authorized to contract with a
private laboratory for the purpose of conducting compliance testing
of medical marijuana testing laboratories licensed in this state.
Any such laboratory under contract for compliance testing shall be
prohibited from cond ucting any other commercial medical marijuana
testing in this state. The laboratory the Authority contracts with
for compliance testing shall not employ, or be owned by, the
following:
1. Any individual that has a direct or indirect interest in a
licensed medical marijuana business; or
2. Any individual or his or her spouse, parent, child, spouse
of a child, sibling or spouse of a sibling that has an application
for a medical marijuana business license pending before the
Department or is a member of th e board of directors of a medical
marijuana business, or is an individual financially interested in ENR. H. B. NO. 2646 Page 61
any licensee or medical marijuana business located within this
state.
C. The Authority shall have the authority to develop acceptable
testing and research practices, including, but not limited to,
testing, standards, quality control analysis, equipment
certification and calibration, and chemical identification and
substances used in bona fide research methods so long as it complies
with this act.
D. A person who is a direct beneficial owner or an indirect
beneficial owner of a medical marijuana dispensary, medical
marijuana commercial grower , or medical marijuana processor shall
not be an owner of a laboratory.
E. A laboratory and a laboratory applicant shall comply with
all applicable local ordinances , including, but not limited to,
zoning, occupancy, licensing and building codes.
F. A separate license shall be required for each specific
laboratory.
G. A medical marijuana testing laboratory license m ay be issued
to a person who performs testing and research on medical marijuana
and medical marijuana products for medical marijuana businesses,
medical marijuana research facilities, medical marijuana education
facilities, and testing and research on marijuana and marijuana
products grown or produced by a patient or caregiver on behalf of a
patient, upon verification of registration. A medical marijuana
testing laboratory may also conduct research related to the
development and improvement of its testing practices and procedures.
No state-approved medical marijuana testing facility shall operate
unless a medical laboratory director is on site during operational
hours.
H. A laboratory applicant Laboratory applicants and licensees
shall comply with the ap plication requirements of this section and
shall submit such other information as required for a medical
marijuana business applicant, in addition to any information the
Authority may request for initial approval and periodic evaluations
during the approval period.
I. A medical marijuana testing laboratory may accept samples of
medical marijuana, medical marijuana concentrate or medical
marijuana product from a medical marijuana business , medical ENR. H. B. NO. 2646 Page 62
marijuana research facility or medical marijuana education facility
for testing and research purposes only, which purposes may include
the provision of testing services for samples submitted by a medical
marijuana business for product development. The Department may
require a medical marijuana business to submit a sample of medical
marijuana, medical marijuana concentrate or medical marijuana
product to a medical marijuana testing or quality assurance
laboratory upon demand.
J. A medical marijuana testing laboratory may accept samples of
medical marijuana, medic al marijuana concentrate or medical
marijuana product from an individual person for testing only under
the following conditions:
1. The individual person is a patient or caregiver pursuant to
this act the Oklahoma Medical Marijuana and Patient Protection Act
or is a participant in an approved clinical or observational study
conducted by a research facility; and
2. The medical marijuana testing laboratory shall require the
patient or caregiver to produce a valid patient license and current
and valid photo identification.
K. A medical marijuana testing laboratory may transfer samples
to another medical marijuana testing laboratory for testing. All
laboratory reports provided to or by a medical marijuana business or
to a patient or caregiver shall identi fy the medical marijuana
testing laboratory that actually conducted the test.
L. A medical marijuana testing laboratory may utilize a
licensed medical marijuana transporter to transport samples of
medical marijuana, medical marijuana concentrate and medi cal
marijuana product for testing, in accordance with this act the
Oklahoma Medical Marijuana and Patient Protection Act and the rules
adopted pursuant thereto, between the originating medical marijuana
business requesting testing services and the destinat ion laboratory
performing testing services.
M. The medical marijuana testing laboratory shall establish
policies to prevent the existence of or appearance of undue
commercial, financial or other influences that may diminish the
competency, impartiality a nd integrity of the testing processes or
results of the laboratory, or that may diminish public confidence in
the competency, impartiality and integrity of the testing processes
or results of the laboratory. At a minimum, employees, owners or ENR. H. B. NO. 2646 Page 63
agents of a medical marijuana testing laboratory who participate in
any aspect of the analysis and results of a sample are prohibited
from improperly influencing the testing process, improperly
manipulating data, or improperly benefiting from any ongoing
financial, employment, personal or business relationship with the
medical marijuana business that provided the sample. A medical
marijuana testing laboratory shall not test samples for any medical
marijuana business in which an owner, employee or agent of the
medical marijuana testing laboratory has any form of ownership or
financial interest in the medical marijuana business.
N. The Department, pursuant to rules promulgated by the State
Commissioner of Health, shall develop standards, policies and
procedures as necessary for:
1. The cleanliness and orderliness of a laboratory premises and
the location of the laboratory in a secure location, and inspection,
cleaning and maintenance of any equipment or utensils used for the
analysis of test samples;
2. Testing procedures, testing standards for cannabinoid and
terpenoid potency and safe levels of contaminants, and remediation
procedures;
3. Controlled access areas for storage of medical marijuana and
medical marijuana product test samples, waste and reference
standards;
4. Records to be retained and computer systems to be utilized
by the laboratory;
5. The possession, storage and use by the laboratory of
reagents, solutions and reference standards;
6. A certificate of analysis (COA) for each lot of reference
standard;
7. The transport and disposal of unused marijuana, marijuana
products and waste;
8. The mandatory use by a laboratory of an inventory tracking
system to ensure all test harvest and production batches or samples
containing medical marijuana, me dical marijuana concentrate or
medical marijuana products are identified and tracked from the point
they are transferred from a medical marijuana business, a patient or ENR. H. B. NO. 2646 Page 64
a caregiver through the point of transfer, destruction or disposal.
The inventory tracking system reporting shall include the results of
any tests that are conducted on medical marijuana, medical marijuana
concentrate or medical marijuana product;
9. Standards of performance;
10. The employment of laboratory personnel;
11. A written standard operating procedure manual to be
maintained and updated by the laboratory;
12. The successful participation in a Department -approved
proficiency testing program for each testing category listed in this
section, in order to obtain and maintain cer tification;
13. The establishment of and adherence to a quality assurance
and quality control program to ensure sufficient monitoring of
laboratory processes and quality of results reported;
14. The immediate recall of medical marijuana or medical
marijuana products that test above allowable thresholds or are
otherwise determined to be unsafe;
15. The establishment by the laboratory of a system to document
the complete chain of custody for samples from receipt through
disposal;
15. 16. The establishment by the laboratory of a system to
retain and maintain all required records , including business
records, and processes to ensure results are reported in a timely
and accurate manner; and
16. 17. Any other aspect of laboratory testing of medical
marijuana or medical marijuana product deemed necessary by the
Department.
O. A medical marijuana testing laboratory shall promptly
provide the Department or designee of the Department access to a
report of a test and any underlying data that is conducted on a
sample at the request of a medical marijuana business or qualified
patient. A medical marijuana testing laboratory shall also provide
access to the Department or designee of the Department to laboratory
premises and to any material or information request ed by the ENR. H. B. NO. 2646 Page 65
Department to determine compliance with the requirements of this
section.
P. A medical marijuana testing laboratory shall retain all
results of laboratory tests conducted on marijuana or products for a
period of at least two (2) seven (7) years and shall make them
available to the Department upon request.
Q. A medical marijuana testing laboratory shall test samples
from each harvest batch or product batch, as appropriate, of medical
marijuana, medical marijuana concentrate and medical marijuan a
product for each of the following categories of testing, consistent
with standards developed by the Commissioner:
1. Microbials;
2. Mycotoxins;
3. Residual solvents;
4. Pesticides;
5. Tetrahydrocannabinol (THC) and other cannabinoid potency;
6. Terpenoid potency type and concentration ; and
7. Heavy metals.
R. A test batch shall not exceed ten (10) pounds of usable
marijuana or licensed medical marijuana product, as appropriate
testing laboratory shall test each individual harvest batch . A
grower shall separate each harvest lot of usable marijuana into
harvest batches containing no more than ten (10) fifteen (15)
pounds, with the exception of any plant material to be sold to a
licensed processor for the purposes of turning the plant materia l
into concentrate which may be separated into harvest batches of no
more than fifty (50) pounds . A processor shall separate each
medical marijuana production lot into production batches containing
no more than ten (10) pounds four (4) liters of concentra te or nine
(9) pounds for nonliquid products, and for final products, the
Oklahoma Medical Marijuana Authority shall be authorized to
promulgate rules on final products as necessary. Provided, however,
the Authority shall not require testing of final prod ucts less often
than every one thousand (1,000) grams of THC. As used in this ENR. H. B. NO. 2646 Page 66
subsection, "final products" shall include, but not be limited to,
cookies, brownies, candies, gummies, beverages and chocolates .
S. Medical marijuana testing laboratory licen sure shall be
contingent upon successful on -site inspection, successful
participation in proficiency testing and ongoing compliance with the
applicable requirements in this section.
T. A medical marijuana testing laboratory shall be inspected
prior to initial licensure and annually up to two (2) times per year
thereafter by an inspector approved by the Authority. The Authority
may enter the licensed premises of a testing laboratory to conduct
investigations and additional inspections when the Authority
believes an investigation or additional inspection is necessary due
to a possible violation of applicable laws, rules or regulations.
U. Beginning on a date determined by the Commissioner, not
later than January 1, 2020, medical Medical marijuana testing
laboratory licensure laboratories shall be contingent upon obtain
accreditation by the NELAC Institute (TNI), ANSI/ASQ National
Accreditation Board or another an accrediting body approved by the
Commissioner, and any applicable standards as determined by t he
Department within one (1) year of the date the initial license is
issued. Renewal of any medical marijuana testing laboratory license
shall be contingent upon accreditation in accordance with this
subsection. All medical marijuana testing laboratories shall obtain
accreditation prior to applying for and receiving a medical
marijuana testing laboratory license .
V. A Unless authorized by the provisions of this section, a
commercial grower shall not transfer or sell medical marijuana and a
processor shall not transfer, sell or process into a concentrate or
product any medical marijuana, medical marijuana concentrate or
medical marijuana product unless samples from each harvest batch or
production batch from which that medical marijuana, medical
marijuana concentrate or medical marijuana product was derived has
been tested by a medical marijuana testing facility for contaminants
laboratory and passed all contaminant tests required by this act the
Oklahoma Medical Marijuana and Patient Protection Act and ap plicable
laws, rules and regulations. A licensed commercial grower may
transfer medical marijuana that has failed testing to a licensed
processor only for the purposes of decontamination or remediation
and only in accordance with the provisions of the Okl ahoma Medical
Marijuana and Patient Protection Act and the rules and regulations ENR. H. B. NO. 2646 Page 67
of the Department. Remediated and decontaminated medical marijuana
may be returned only to the originating licensed commercial grower.
W. Kief shall not be transferred or s old except as authorized
in the rules and regulations of the Department .
SECTION 20. AMENDATORY Section 18, Chapter 11, O.S.L.
2019 (63 O.S. Supp. 2020, Section 427.18), is amended to read as
follows:
Section 427.18 A. An Oklah oma medical marijuana business shall
not sell, transfer or otherwise distribute medical marijuana or
medical marijuana product that has not been packaged and labeled in
accordance with this section and rules promulgated by the State
Commissioner of Health.
B. A medical marijuana dispensary shall return medical
marijuana and medical marijuana product that does not meet packaging
or labeling requirements in this section or rules promulgated
pursuant thereto to the entity who transferred it to the dispensary .
The medical marijuana dispensary shall document to whom the item was
returned, what was returned and the date of the return or dispose of
any usable marijuana that does not meet these requirements in
accordance with this act the Oklahoma Medical Marijua na and Patient
Protection Act.
C. 1. Medical marijuana packaging shall be packaged to
minimize its appeal to children and shall not depict images other
than the business name logo of the medical marijuana producer and
image of the product.
2. A medical marijuana business shall not place any content on
a container in a manner that reasonably appears to target
individuals under the age of twenty -one (21), including, but not
limited to, cartoon characters or similar images.
3. Labels on a container shal l not include any false or
misleading statements.
4. No container shall be intentionally or knowingly labeled so
as to cause a reasonable patient confusion as to whether the medical
marijuana, medical marijuana concentrate or medical marijuana
product is a trademarked product or labeled in a manner that
violates any federal trademark law or regulation.
ENR. H. B. NO. 2646 Page 68
5. The label on the container shall not make any claims
regarding health or physical benefits to the patient.
6. All medical marijuana, medical marijua na concentrate and
medical marijuana products shall be in a child -resistant container
at the point of transfer to the patient or caregiver.
D. The State Department of Health shall develop minimum
standards for packaging and labeling of medical marijuana and
medical marijuana products. Such standards shall include, but not
be limited to, the required contents of labels to be affixed to all
medical marijuana and medical marijuana products prior to transfer
to a licensed patient or caregiver, which shall in clude, at a
minimum:
1. A universal symbol indicating that the product contains
tetrahydrocannabinol (THC);
2. THC and other cannabinoid potency, and terpenoid potency;
3. 2. A statement indicating that the product has been tested
for contaminants;
4. 3. One or more product warnings to be determined by the
Department; and
5. 4. Any other information the Department deems necessary.
SECTION 21. AMENDATORY Section 19, Chapter 11, O.S.L.
2019 (63 O.S. Supp. 2020, Section 427. 19), is amended to read as
follows:
Section 427.19 A. A medical marijuana research license may be
issued to a person to grow, cultivate, possess and transfer, by sale
or donation, marijuana pursuant to this act the Oklahoma Medical
Marijuana and Patient Protection Act for the limited research
purposes identified in this section.
B. The annual fee for a medical marijuana research license
shall be Five Hundred Dollars ($500.00) and shall be payable by an
applicant for a medical marijuana research license upon submission
of his or her application to the Authority.
C. A medical marijuana research license may be issued for the
following research purposes: ENR. H. B. NO. 2646 Page 69
1. To test chemical potency and composition levels;
2. To conduct clinical investigations of marij uana-derived
medicinal products;
3. To conduct research on the efficacy and safety of
administering marijuana as part of medical treatment;
4. To conduct genomic, horticultural or agricultural research;
and
5. To conduct research on marijuana -affiliated products or
systems.
D. 1. As part of the application process for a medical
marijuana research license, an applicant shall submit to the
Authority a description of the research that the applicant intends
to conduct and whether the research will be c onducted with a public
institution or using public money. If the research will not be
conducted with a public institution or with public money, the
Authority shall grant the application if it determines that the
applicant meets the criteria in this sectio n.
2. If the research will be conducted with a public institution
or public money, the Department shall review the research project of
the applicant to determine if it meets the requirements of this
section and to assess the following:
a. the quality, study design, value or impact of the
project,
b. whether the applicant has the appropriate personnel,
expertise, facilities, infrastructure, funding and
human, animal or other approvals in place to
successfully conduct the project, and
c. whether the amount of marijuana to be grown by the
applicant is consistent with the scope and goals of
the project.
3. If the Authority determines that the research project does
not meet the requirements of this section or assesses the criteria
to be inadequate, the app lication shall be denied.
ENR. H. B. NO. 2646 Page 70
E. A medical marijuana research licensee may only transfer, by
sale or donation, marijuana grown within its operation to other
medical marijuana research licensees. The Department may revoke a
medical marijuana research license for violations of this section
and any other violation of this act the Oklahoma Medical Marijuana
and Patient Protection Act .
F. A medical marijuana research licensee may contract to
perform research in conjunction with a public higher education
research institution or another medical marijuana research licensee.
G. The growing, cultivating, possessing or transferring, by
sale or donation, of marijuana in accordance with this section and
the rules promulgated pursuant thereto, by a medical marijuana
research licensee shall not be a criminal or civil offense under
state law. A medical marijuana research license shall be issued in
the name of the applicant and shall specify the location in Oklahoma
at which the medical marijuana research licensee intends to operate.
A medical marijuana research licensee shall not allow any other
person to exercise the privilege of the license.
H. If the research conducted includes a public institution or
public money, the Authority shall review any reports made by medi cal
marijuana research licensees under state licensing authority rule
and provide the Authority with its determination on whether the
research project continues to meet research qualifications pursuant
to this section.
SECTION 22. AMENDATORY Section 20, Chapter 11, O.S.L.
2019 (63 O.S. Supp. 2020, Section 427.20), is amended to read as
follows:
Section 427.20 A. There is hereby created a medical marijuana
education facility license.
B. A medical marijuana education facility li cense may be issued
to a person to possess or cultivate marijuana for the limited
education and research purposes identified in this section.
C. A medical marijuana education facility license may only be
granted to a not-for-profit organization structure d under Section
501(c)(3) of the Internal Revenue Code, operating as an Oklahoma
not-for-profit registered organization with the Office of the
Secretary of State.
ENR. H. B. NO. 2646 Page 71
D. A medical marijuana education facility license may only be
granted upon the submission o f a an annual fee of Five Hundred
Dollars ($500.00) to the Authority.
E. A medical marijuana education facility license may be issued
for the following education and research purposes:
1. To test cultivation techniques, strategies, infrastructure,
mediums, lighting and other related technology;
2. To demonstrate cultivation techniques, strategies,
infrastructure, mediums, lighting and other related technology;
3. To demonstrate the application and use of product
manufacturing technologies;
4. To conduct genomic, horticultural or agricultural research;
and
5. To conduct research on marijuana -affiliated products or
systems.
F. As part of the application process for a medical marijuana
education facility license, an applicant shall submit to the
Authority a description of the project and curriculum that the
applicant intends to conduct and whether the project and curriculum
will be conducted with a public institution or using public money.
If the research project and curriculum will not be conducted with a
public institution or with public money, the Authority shall grant
the application. If the research will be conducted with a public
institution or public money, the Authority shall review the research
project of the applicant to determine if it meets the requirements
of this section and to assess the following:
1. The quality, study design, value or impact of the project;
2. Whether the applicant has the appropriate personnel,
expertise, facilities, infrastructure, funding , and human, animal or
other approvals in place to successfully conduct the project; and
3. Whether the amount of marijuana to be grown by the applicant
is consistent with the scope and goals of the project.
ENR. H. B. NO. 2646 Page 72
If the Authority determines that the education project does not m eet
the requirements of this section or assesses the criteria to be
inadequate, the application shall be denied.
G. A medical marijuana education facility licensee may only
transfer, by sale or donation, marijuana grown within its operation
to medical marijuana research licensees. The Department may revoke
a medical marijuana education facility license for violations of
this section and any other violation of this act applicable laws,
rules and regulations .
H. A medical marijuana education facility lic ensee may contract
to perform research in conjunction with a public higher education
research institution or another research licensee.
I. The growing, cultivating, possessing or transferring, by
sale or donation, of marijuana in accordance with this sec tion and
the rules promulgated pursuant thereto, by a medical marijuana
education facility licensee shall not be a criminal or civil offense
under state law. A medical marijuana education facility license
shall be issued in the name of the applicant and s hall specify the
location in Oklahoma at which the medical marijuana education
facility licensee intends to operate. A medical marijuana education
facility licensee shall not allow any other person to exercise the
privilege of the license.
SECTION 23. AMENDATORY Section 22, Chapter 11, O.S.L.
2019 (63 O.S. Supp. 2020, Section 427.22), is amended to read as
follows:
Section 427.22 A. An All medical marijuana patient and
caregiver records and information including, but not limite d to, any
application or renewal and supporting information submitted by a
qualifying patient or designated caregiver under the provisions of
this act including, without limitation, the Oklahoma Medical
Marijuana and Patient Protection Act and information regarding the
physician of the qualifying patient shall be considered confidential
medical records that are exempt from the Oklahoma Open Records Act.
B. The dispensary records with patient information shall be
treated as confidential records that are ex empt from the Oklahoma
Open Records Act.
C. All financial information provided by an applicant or a
licensee in its an application to the Authority shall be treated as ENR. H. B. NO. 2646 Page 73
confidential records that are exempt from the Oklahoma Open Records
Act.
D. All information provided by an applicant or a licensee that
constitutes private business information shall be treated as
confidential records that are exempt from the Oklahoma Open Records
Act.
E. As used in this section, "private business information "
means information that, if disclosed, would give advantage to
competitors or bidders including, but not limited to, information
related to the planning, site location, operations, strategy , or
product development and marketing of an applicant, unless approval
for release of those records is granted by the business.
F. All monthly report, inventory tracking and seed -to-sale
information, data and records submitted to the Department shall be
treated as confidential records and are exempt from the Oklahoma
Open Records Act.
G. Except for license information concerning licensed patients,
the Department may share co nfidential information with other
Oklahoma state agencies to assist those agencies in ensuring
compliance with applicable laws, rules and regulations.
SECTION 24. AMENDATORY Section 23, Chapter 11, O.S.L.
2019, as amended by Section 11, Chapter 477, O.S.L. 2019 (63 O.S.
Supp. 2020, Section 427.23), is amended to read as follows:
Section 427.23 A. The State Commissioner of Health, the
Oklahoma Tax Commission, the State Treasurer, the Secretary of State
and the Director of the Office of Management and Enterprise Services
shall promulgate rules to implement the provisions of this act the
Oklahoma Medical Marijuana and Patient Protecti on Act.
B. The Food Safety Standards Board Medical Marijuana Advisory
Council, in addition to the powers and duties granted in Section 423
of Title 63 of the Oklahoma Statutes this title, may recommend to
the State Commissioner of Health rules relating t o all aspects of
the regarding the safe cultivation and manufacture manufacturing of
medical marijuana products. In addition to the twelve (12) members
required in Section 423 of this title, the State Department of
Health may appoint up to eight additiona l members. The makeup of
the Council shall include medical marijuana industry representation.
ENR. H. B. NO. 2646 Page 74
SECTION 25. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 427.24 of Title 63, unless there
is created a duplication in numbering, reads as follows:
A. Whenever an authorized agent of the State Department of
Health finds, in whole or in part, that the medical marijuana or
medical marijuana product fails to meet the requirements of Sections
420 through 426.1 of Title 63 of the Oklahoma Statutes or the
Oklahoma Medical Marijuana and Patient Protection Act as it relates
to health and safety, the medical marijuana or medical marijuana
product is handled in violation of applicable laws or rules and
regulations of the Department, or the medical marijuana or medical
marijuana product may be poisonous, deleterious to health or is
otherwise unsafe, an electronic or physical tag or other appropriate
marking or hold shall be affixed to the medical marijuana or medical
marijuana product which shall give notice that the medical marijuana
or medical marijuana product is or is suspected of being
manufactured, produced, transferred, sold or offered for sale in
violation of applicable laws or rules and regulations of the
Department and is embargoed. The notice shall further provide a
warning to all persons not to remove or dispose of the medical
marijuana or medical marijuana product until permission for removal
or disposal is given by the Department. It shall be unlawful fo r
any person to remove or dispose of the medical marijuana or medical
marijuana product embargoed without permission by the Department.
B. If the State Commissioner of Health finds that medical
marijuana or medical marijuana product embargoed pursuant to
subsection A of this section does not meet the requirements of
applicable laws or rules and regulations of the Department, or is
poisonous, deleterious to health or otherwise unsafe, the
Commissioner may institute an action in the district court in whose
jurisdiction the medical marijuana or medical marijuana product is
embargoed for the condemnation and destruction of the medical
marijuana or medical marijuana product. If the Commissioner finds
that the medical marijuana or medical marijuana product emba rgoed
does meet the requirements of applicable laws and the rules and
regulations of the Department and is not poisonous, deleterious to
health or otherwise unsafe, the Commissioner shall remove the
embargo. In any court proceeding regarding an embargo, n either the
State Department of Health, the Oklahoma Medical Marijuana Authority
or the Commissioner shall be held liable if the court finds
reasonable belief for the embargo.
ENR. H. B. NO. 2646 Page 75
C. Except as otherwise provided in subsection D of this
section, if the court f inds that the embargoed medical marijuana or
medical marijuana product, in whole or in part, is in violation of
any applicable laws or rules and regulations of the Department or is
poisonous, deleterious to health or otherwise unsafe, the medical
marijuana or medical marijuana product shall be destroyed at the
expense of the defendant under the supervision of the Commissioner.
All court costs, fees, costs of storage and disposal and other
proper expenses shall be paid by the defendant of the medical
marijuana or medical marijuana product.
D. The court may order that the medical marijuana or medical
marijuana product be delivered to the defendant for appropriate
labeling or processing under the supervision of the Commissioner
only if:
1. The violation ca n be corrected by proper processing of
medical marijuana or medical marijuana product;
2. All costs, fees and expenses have been paid; and
3. A sufficient bond is executed and conditioned for
appropriate labeling or processing as the court may require.
The expense of supervision shall be paid to the Commissioner by
the person obtaining release of the medical marijuana or medical
marijuana product under bond.
SECTION 26. AMENDATORY Section 2, Chapter 337, O.S.L.
2019 (63 O.S. Supp. 2020, Section 428.1), is amended to read as
follows:
Section 428.1 As used in this act the Oklahoma Medical
Marijuana Waste Management Act :
1. "Authority" shall mean the Oklahoma Medical Marijuana
Authority, or successor agency;
2. "Commercial licensee" shall mean any person or entity issued
a license by the Oklahoma Medical Marijuana Authority, or successor
agency, to conduct commercial business in this state;
3. "Disposal" shall mean the final disposition of medical
marijuana waste by either a process which renders the waste unusable ENR. H. B. NO. 2646 Page 76
and unrecognizable through physical destruction or a recycling
process;
4. "Facility" shall mean a location the licensed or permitted
premises where the disposal of medical marijuana waste takes place
by a licensee;
5. "License" shall mean a medical marijuana waste disposal
license;
6. "Licensee" shall mean the holder of a medical marijuana
waste disposal license;
7. "Medical marijuana waste " shall mean:
a. unused, surplus, returned or out -of-date marijuana and
plant debris of the plant of the genus Cannabis,
including dead plants and all unused plant parts,
except the term shall not include seeds, roots, stems,
stalks and fan leaves ;, and
b. all product which is deemed to fail laboratory testing
and cannot be remediated or decontaminated; and
8. "Medical marijuana waste disposal license " shall mean a
license issued by the Oklahoma Medical Marijuana Authority, or
successor agency.
SECTION 27. AMENDATORY Section 3, Chapter 337, O. S.L.
2019 (63 O.S. Supp. 2020, Section 429), is amended to read as
follows:
Section 429. A. Medical marijuana waste shall be subject to
the provisions of this act the Oklahoma Medical Marijuana Waste
Management Act and shall not be subject to the provis ions of the
Uniform Controlled Dangerous Substances Act. Nothing in this act
the Oklahoma Medical Marijuana Waste Management Act shall alter or
affect the jurisdictional areas of environmental responsibility of
the Department of Environmental Quality as p rovided for in Title 27A
of the Oklahoma Statutes.
B. Commercial licensees, medical marijuana research facilities
and medical marijuana education facilities shall be authorized to
destroy the following marijuana plant parts without being required ENR. H. B. NO. 2646 Page 77
to utilize the services of a medical marijuana waste disposal
facility:
1. Root balls Roots;
2. Stems;
3. Fan leaves; and
4. Seeds; or
5. Stalks.
Unless restricted by local ordinance, commercial licensees,
medical marijuana research facilities and medi cal marijuana
education facilities shall be authorized to destroy the above -listed
marijuana plant parts on-site by open burning, incineration,
burying, mulching, composting or any other technique approved by the
Department of Environmental Quality.
C. Commercial licensees, medical marijuana research facilities
and medical marijuana education facilities engaged in the disposal
of medical marijuana waste shall create and maintain documentation
on a form prescribed by the Oklahoma Medical Marijuana Authorit y
that includes precise weights or counts of medical marijuana waste
and the manner in which the medical marijuana waste is disposed.
Such documentation shall contain a witness affidavit and signature
attesting to the lawful disposal of the medical mariju ana waste
under penalty of perjury. All disposal records shall be maintained
by commercial licensees, medical marijuana research facilities and
medical marijuana educational facilities for a period of five (5)
years and shall be subject to inspection and auditing by the
Authority.
SECTION 28. AMENDATORY Section 4, Chapter 337, O.S.L.
2019 (63 O.S. Supp. 2020, Section 430), is amended to read as
follows:
Section 430. A. There is hereby created and authorized a
medical marijuana waste disposal license. A person or entity in
possession of a medical marijuana waste disposal license shall be
entitled to possess, transport and dispose of medical marijuana
waste. No person or entity shall possess, transport or dispose of
medical marijuana waste without a valid medical marijuana waste
disposal license. The Oklahoma Medical Marijuana Authority shall ENR. H. B. NO. 2646 Page 78
issue licenses upon proper application by a licensee and
determination by the Authority that the proposed site and facility
are physically and technically suitable. Upon a finding that a
proposed medical marijuana waste disposal facility is not physically
or technically suitable, the Authority shall deny the license. The
Authority may, upon determining that public health or safety
requires emergency action, issue a temporary license for treatment
or storage of medical marijuana waste for a period not to exceed
ninety (90) days. The Authority shall not, for the first year of
the licensure program, issue more than ten medical marijuana waste
disposal licenses. Upon the conclusion of the first year, the
Authority shall assess the need for additional medical marijuana
waste disposal licenses and shall, if demonstrated, increase the
number of licenses as deemed necessary by the Authority.
B. Entities applying for a medical marijuana waste disposal
license shall undergo the following screening process:
1. Complete an application form, as prescribed by the
Authority, which shall include:
a. an attestation that the applicant is authorized to
make application on behalf of the entity,
b. full name of the organization,
c. trade name, if applicable,
d. type of business organization,
e. complete mailing address,
f. an attestation that the commercial entity will not be
located on tribal land,
g. telephone number and email address of the entity, and
h. name, residential address and date of birth of each
owner and each member, manager and board member, if
applicable;
2. The application for a medical marijuana waste disposal
license made by an i ndividual on his or her own behalf shall be on
the form prescribed by the Authority and shall include, but not be
limited to: ENR. H. B. NO. 2646 Page 79
a. the first, middle and last name of the applicant and
suffix, if applicable,
b. the residence address and mailing address of t he
applicant,
c. the date of birth of the applicant,
d. the preferred telephone number and email address of
the applicant,
e. an attestation that the information provided by the
applicant is true and correct, and
f. a statement signed by the applicant pledging not to
divert marijuana to any individual or entity that is
not lawfully entitled to possess marijuana; and
3. Each application shall be accompanied by the following
documentation:
a. a list of all persons or entities that have an
ownership interest in the entity,
b. a certificate of good standing from the Oklahoma
Secretary of State, if applicable,
c. an Affidavit of Lawful Presence for each owner,
d. proof that the proposed location of the disposal
facility is at least one thousand (1,000) feet from a
public or private school. The distance indicated in
this subparagraph shall be measured from any entrance
of the nearest property line of such public or private
school to the nearest property line point perimeter
wall of the premises of such disposal facility. If
any public or private school is established within one
thousand (1,000) feet of any disposal facility after
such disposal facility has been licensed, the
provisions of this subparagraph shall not be a
deterrent to the renewal of such license or warrant
revocation of the license , and
ENR. H. B. NO. 2646 Page 80
e. documents establishing the applicant, the members,
managers and board members, if applicable, and
seventy-five percent (75%) of the ownership interests
are Oklahoma residents as established in Section 4 20
et seq. of Title 63 of the Oklahoma Statutes this
title, as it relates to proof of residency.
C. No license shall be issued except upon proof of sufficient
liability insurance and financial responsibility. Liability
insurance shall be provided by the applicant and shall apply to
sudden and nonsudden bodily injury or property damage on, below or
above the surface, as required by the rules of the Authority. Such
insurance shall be maintained for the period of operation of the
facility and shall provide coverage for damages resulting from
operation of the facility during operation and after closing. In
lieu of liability insurance required by this subsection, an
equivalent amount of cash, securities, bond or alternate financial
assurance, of a type and i n an amount acceptable to the Authority,
may be substituted; provided, that such deposit shall be maintained
for a period of five (5) years after the date of last operation of
the facility.
D. Submission of an application for a medical marijuana waste
disposal license shall constitute permission for entry to and
inspection of the facility of the licensee during hours of operation
and other reasonable times. Refusal to permit such entry of
inspection shall constitute grounds for the nonrenewal, suspension
or revocation of a license. The Authority may perform an annual
unannounced on-site inspection of the operations and any facility of
the licensee. If the Authority receives a complaint concerning
noncompliance by a licensee with the provisions of this act the
Oklahoma Medical Marijuana Waste Management Act , the Authority may
conduct additional unannounced, on -site inspections beyond an annual
inspection. The Authority shall may refer all complaints alleging
criminal activity that are made against a lice nsed facility to
appropriate state or local law enforcement authorities.
E. The Authority shall issue a an annual permit for each
medical marijuana waste disposal facility operated by a licensee. A
permit shall be issued only upon proper application by a licensee
and determination by the Authority that the proposed site and
facility are physically and technically suitable. Upon a finding
that a proposed medical marijuana waste disposal facility is not
physically or technically suitable, the Authority sh all deny the
permit. The Authority shall have the authority to revoke a permit ENR. H. B. NO. 2646 Page 81
upon a finding that the site and facility are not physically and
technically suitable for processing. The Authority may, upon
determining that public health or safety requires emergency action,
issue a temporary permit for treatment or storage of medical
marijuana waste for a period not to exceed ninety (90) days.
F. The cost of a medical marijuana waste disposal license shall
be Five Thousand Dollars ($5,000.00) for the init ial license. The
cost of a medical marijuana waste disposal facility permit shall be
Five Hundred Dollars ($500.00). A medical marijuana waste disposal
facility permit that has been revoked shall be reinstated upon
remittance of a reinstatement fee of Fi ve Hundred Dollars ($500.00)
to restore the facility permit. All license and permit fees shall
be deposited into the Public Health Special Oklahoma Medical
Marijuana Authority Revolving Fund as provided in Section 1-107
427.5 of Title 63 of the Oklahoma S tatutes this title.
G. The holder of a medical marijuana waste disposal license
shall not be required to obtain a medical marijuana transporter
license provided for in the Oklahoma Medical Marijuana and Patient
Protection Act for purposes of transporting medical marijuana waste.
H. All commercial licensees, as defined in Section 2 428.1 of
this act title, shall utilize a licensed medical marijuana waste
disposal service to process all medical marijuana waste generated by
the licensee.
I. The State Commissioner of Health shall promulgate rules for
the implementation of this act the Oklahoma Medical Marijuana Waste
Management Act. Promulgated rules shall address disposal process
standards, site security and any other subject matter deemed
necessary by the Authority.
SECTION 29. AMENDATORY 63 O.S. 2011, Section 2 -302, as
last amended by Section 57, Chapter 161, O.S.L. 2020 (63 O.S. Supp.
2020, Section 2-302), is amended to read as follows:
Section 2-302. A. Every person who manu factures, distributes,
dispenses, prescribes, administers or uses for scientific purposes
any controlled dangerous substance within or into this state, or who
proposes to engage in the manufacture, distribution, dispensing,
prescribing, administering or us e for scientific purposes of any
controlled dangerous substance within or into this state shall
obtain a registration issued by the Director of the Oklahoma State
Bureau of Narcotics and Dangerous Drugs Control, in accordance with ENR. H. B. NO. 2646 Page 82
rules promulgated by the Director. Persons registered by the
Director under Section 2 -101 et seq. of this title to manufacture,
distribute, dispense , or conduct research with controlled dangerous
substances may possess, manufacture, distribute, dispense , or
conduct research with those substances to the extent authorized by
their registration and in conformity with the other provisions of
the Uniform Controlled Dangerous Substances Act. Every wholesaler,
manufacturer or distributor of any drug product containing
pseudoephedrine or phenylpropanolamine, or their salts, isomers , or
salts of isomers, shall obtain a registration issued by the Director
of the Oklahoma State Bureau of Narcotics and Dangerous Drugs
Control in accordance with rules promulgated by the Director and as
provided for in Section 2-332 of this title. Any person who
manufactures, distributes, dispenses, prescribes, administers or
uses for scientific purposes any controlled dangerous substances
within or into this state without first obtaining a registration
issued by the Director of the Oklahoma State Bureau of Narcotics and
Dangerous Drugs Control shall be subject to the same statutory and
administrative jurisdiction of the Director as if that person were
an applicant or registrant.
B. Out-of-state pharmaceutical suppliers who provide controlled
dangerous substances to individuals within this state shall obtain a
registration issued by the Director of the Oklahoma State Bureau of
Narcotics and Dangerous Drugs Control, in accordance with rules
promulgated by the Di rector. This provision shall also apply to
wholesale distributors who distribute controlled dangerous
substances to pharmacies or other entities registered within this
state in accordance with rules promulgated by the Director.
C. Every person who owns in whole or in part a public or
private medical facility for which a majority of patients are issued
on a reoccurring monthly basis a prescription for opioids,
benzodiazepines, barbiturates or carisoprodol, but not including
Suboxone or buprenorphine, shal l obtain a registration issued by the
Director of the Oklahoma State Bureau of Narcotics and Dangerous
Drugs Control.
D. Every manufacturer and distributor required to register
under the provisions of this section shall provide all data required
pursuant to 21 U.S.C., Section 827(d)(1) on a monthly basis to the
Oklahoma State Bureau of Narcotics and Dangerous Drugs Control.
Controlled dangerous substances in Schedule I shall be reported in
accordance with rules promulgated by the Director. Reporting of ENR. H. B. NO. 2646 Page 83
controlled dangerous substances pursuant to 21 U.S.C., Section
827(d)(1) shall include, but not be limited to:
1. The manufacturer 's or distributor's name, address, phone
number, DEA registration number and controlled dangerous substance
registration number issued by the Bureau;
2. The name, address and DEA registration number of the entity
to whom the controlled dangerous substance was sold;
3. The date of the sale of the controlled dangerous substance;
4. The name and National Drug Code of the con trolled dangerous
substance sold; and
5. The number of containers and the strength and quantity of
controlled dangerous substances in each container sold.
E. The information maintained and provided pursuant to
subsection D of this section shall be conf idential and not open to
the public. Access to the information shall, at the discretion of
the Director, be limited to:
1. Peace officers certified pursuant to the provisions of
Section 3311 of Title 70 of the Oklahoma Statutes who are employed
as investigative agents of the Oklahoma State Bureau of Narcotics
and Dangerous Drugs Control or the Office of the Attorney General;
2. The United States Drug Enforcement Administration Diversion
Group Supervisor; and
3. A multicounty grand jury properly conve ned pursuant to the
provisions of the Multicounty Grand Jury Act.
F. Manufacturers, distributors, home care agencies, hospices,
home care services, medical facility owners referred to in
subsection C of this section and scientific researchers shall obtai n
a registration annually. Other practitioners shall obtain a
registration for a period to be determined by the Director that will
be for a period not less than one (1) year nor more than three (3)
years.
G. Every trainer or handler of a canine controll ed dangerous
substances detector who, in the ordinary course of such trainer 's or
handler's profession, desires to possess any controlled dangerous ENR. H. B. NO. 2646 Page 84
substance, annually, shall obtain a registration issued by the
Director for a fee of Seventy Dollars ($70.00 ). Such persons shall
be subject to all applicable provisions of Section 2 -101 et seq. of
this title and such applicable rules promulgated by the Director for
those individuals identified in subparagraph a of paragraph 32 of
Section 2-101 of this title. Persons registered by the Director
pursuant to this subsection may possess controlled dangerous
substances to the extent authorized by their registration and in
conformity with the other provisions of the Uniform Controlled
Dangerous Substances Act.
H. The following persons shall not be required to register and
may lawfully possess controlled dangerous substances under the
provisions of Section 2 -101 et seq. of this title:
1. An agent, or an employee thereof, of any registered
manufacturer, distributor, dispenser or user for scientific purposes
of any controlled dangerous substance, if such agent is acting in
the usual course of such agent 's or employee's business or
employment;
2. Any person lawfully acting under the direction of a person
authorized to administer controlled dangerous substances under
Section 2-312 of this title;
3. A common or contract carrier or warehouser, or an employee
thereof, whose possession of any controlled dangerous substance is
in the usual course of such carrier 's or warehouser's business or
employment;
4. An ultimate user or a person in possession of any controlled
dangerous substance pursuant to a lawful order of a practitioner;
5. An individual pharmacist acting in the usual course of such
pharmacist's employment with a pharmacy registered pursuant to the
provisions of Section 2 -101 et seq. of this title;
6. A nursing home licensed by this state;
7. Any Department of Mental Health and Substance Abuse Services
employee or any person whose facility contracts with t he Department
of Mental Health and Substance Abuse Services whose possession of
any dangerous drug, as defined in Section 353.1 of Title 59 of the
Oklahoma Statutes, is for the purpose of delivery of a mental health
consumer's medicine to the consumer 's home or residence; ENR. H. B. NO. 2646 Page 85
8. Registered nurses and licensed practical nurses; and
9. An assisted living facility licensed by the State of
Oklahoma.
I. The Director may, by rule, waive the requirement for
registration or fee for registration of certain manufac turers,
distributors, dispensers, prescribers, administrators , or users for
scientific purposes if the Director finds it consistent with the
public health and safety.
J. A separate registration shall be required at each principal
place of business or pro fessional practice where the applicant
manufactures, distributes, dispenses, prescribes, administers , or
uses for scientific purposes controlled dangerous substances.
K. The Director is authorized to inspect the establishment of a
registrant or applicant for registration in accordance with rules
promulgated by the Director.
L. No person engaged in a profession or occupation for which a
license to engage in such activity is provided by law shall be
registered under the Uniform Controlled Dangerous Substa nces Act
unless such person holds a valid license of such person 's profession
or occupation.
M. Registrations shall be issued on the first day of November
of each year. Registrations may be issued at other times, however,
upon certification of the profe ssional licensing board.
N. The licensing boards of all professions and occupations to
which the use of controlled dangerous substances is incidental shall
furnish a current list to the Director, not later than the first day
of October of each year, of t he persons holding valid licenses. All
such persons except persons exempt from registration requirements
under subsection H of this section shall be subject to the
registration requirements of Section 2 -101 et seq. of this title.
O. The licensing board of any professional defined as a mid -
level practitioner shall notify and furnish to the Director, not
later than the first day of October of each year , that such
professional holds a valid license, a current listing of individuals
licensed and registered w ith their respective boards to prescribe,
order, select, obtain and administer controlled dangerous ENR. H. B. NO. 2646 Page 86
substances. The licensing board shall immediately notify the
Director of any action subsequently taken against any such
individual.
P. Beginning November 1, 2010, each registrant that prescribes,
administers or dispenses methadone shall be required to check the
prescription profile of the patient on the central repository of the
Oklahoma State Bureau of Narcotics and Dangerous Drugs Control.
SECTION 30. AMENDATORY 63 O.S. 2011, Section 2 -304, as
amended by Section 1, Chapter 1, O.S.L. 2015 (63 O.S. Supp. 2020,
Section 2-304), is amended to read as follows:
Section 2-304. A. A registration, pursuant to Section 2 -303 of
this title, to manufacture, distribute, dispense, prescribe,
administer or use for scientific purposes a controlled dangerous
substance shall be limited, conditioned, denied, suspended or
revoked by the Director upon a finding that the registrant:
1. Has materially falsified any application filed pursuant to
the Uniform Controlled Dangerous Substances Act or required by the
Uniform Controlled Dangerous Substances Act . It shall be unlawful
to knowingly and willfully:
a. make false statements, include false data or o mit
material information on an application for a
registration with the Oklahoma State Bureau of
Narcotics and Dangerous Drugs Control, or
b. provide false data or omit material information in any
records or reports required by rule or law to be
created, maintained or submitted to the Bureau .
Any registrant or applicant for a registration or any official,
agent or employee of any registrant or applicant for a registration
who violates the provisions of this paragraph shall be guilty of a
misdemeanor and additionally subject to administrative action ;
2. Has been found guilty of, entered a plea of guilty , or
entered a plea of nolo contendere to a misdemeanor relating to any
substance defined herein as a controlled dangerous substance or any
felony under the laws of any state or the United States;
3. Has had his or her federal registration retired, suspended ,
or revoked by a competent federal authority and is no longer ENR. H. B. NO. 2646 Page 87
authorized by federal law to manufacture, distribute, dispense,
prescribe, administer or use for scientific purposes controlled
dangerous substances;
4. Has failed to maintain effective controls against the
diversion of controlled dangerous substances to unauthorized persons
or entities;
5. Has prescribed, dispensed or administered a contr olled
dangerous substance from schedules other than those specified in his
or her state or federal registration;
6. Has had a restriction, suspension, revocation, limitation,
condition, or probation placed on his or her professional license or
certificate or practice as a result of a proceeding pursuant to the
general statutes;
7. Is abusing or, within the past five (5) years, has abused or
excessively used drugs or controlled dangerous substances;
8. Has prescribed, sold, administered , or ordered any
controlled substance for an immediate family member, himself or
herself; provided that this shall not apply to a medical emergency
when no other doctor is available to respond to the emergency;
9. Has possessed, used, prescribed, dispensed or administer ed
drugs or controlled dangerous substances for other than legitimate
medical or scientific purposes or for purposes outside the normal
course of his or her professional practice;
10. Has been under the influence of alcohol or another
intoxicating substance which adversely affected the central nervous
system, vision, hearing or other sensory or motor functioning to
such degree the person was impaired during the performance of his or
her job; or
11. Has violated any federal law relating to any controlled
substances, any provision of the Uniform Controlled Dangerous
Substances Act, or any rules of the Oklahoma State Bureau of
Narcotics and Dangerous Drugs Control.
B. In the event the Director suspends or revokes a registration
granted under Section 2 -303 of this title, all controlled dangerous
substances owned or possessed by the registrant pursuant to such
registration at the time of denial or suspension or the effective ENR. H. B. NO. 2646 Page 88
date of the revocation order, as the case may be, may in the
discretion of the Direc tor be impounded and preserved. No
disposition may be made of substances impounded and preserved until
the time for taking an appeal has elapsed or until all appeals have
been concluded unless a court, upon application therefor, orders the
sale of perishable substances and the deposit of the proceeds of the
sale with the court. Upon a revocation order becoming final, all
such controlled dangerous substances shall be forfeited to the
state.
C. The Drug Enforcement Administration shall promptly be
notified of all orders suspending or revoking registration and all
forfeitures of controlled dangerous substances.
D. In lieu of or in addition to any other remedies available to
the Director, if a finding is made that a registrant has committed
any act in violation of federal law relating to any controlled
substance, any provision of the Uniform Controlled Dangerous
Substances Act, or any rules of the Oklahoma State Bureau of
Narcotics and Dangerous Drugs Control, the Director is hereby
authorized to assess an administrative penalty not to exceed Two
Thousand Dollars ($2,000.00) for each such act. The provisions of
this subsection shall not apply to violations of subsection G of
Section 2-309D of this title. Nothing in this section shall be
construed so as to permit the Director of the State Bureau of
Narcotics and Dangerous Drugs Control to assess administrative fines
for violations of the provisions of subsection G of Section 2 -309D
of this title.
SECTION 31. AMENDATORY 63 O.S. 2011, S ection 2-305, is
amended to read as follows:
Section 2-305. A. Before denying, suspending or revoking a
registration or, refusing a renewal of registration or taking
administrative action on a non registrant engaged in manufacturing,
distributing, dispen sing, prescribing, administering o r using for
scientific purposes any controlled dangerous substance within or
into this state, the Director shall serve upon the applicant or
registrant an order to show cause why registration should not be
denied, revoked or suspended or why the renewal should not be
refused. The order to show cause shall contain a statement of the
basis therefor and shall call upon the applicant or registrant to
appear before the appropriate person or agency at a time and place
within thirty (30) days after the date of service of the order, but
in the case of a denial or renewal of registration the show cause ENR. H. B. NO. 2646 Page 89
order shall be served within thirty (30) days before the expiration
of the registration. These proceedings shall be conducted in
accordance with the Administrative Procedures Act without regard to
any criminal prosecution or other proceeding. Proceedings to refuse
renewal of registration shall not abate the existing registration
which shall remain in effect pending the outcome of the
administrative hearing.
B. The Director shall suspend, without an order to show cause,
any registration simultaneously with the institution of proceedings
under Section 2-304 of this title, if he or she finds there is
imminent danger to the public healt h or safety which warrants this
action. The suspension shall continue in effect until the
conclusion of the proceedings , including judicial review thereof,
unless sooner withdrawn by the Director or dissolved by a court of
competent jurisdiction.
SECTION 32. This act shall become effective November 1, 2021.
ENR. H. B. NO. 2646 Page 90
Passed the House of Representatives the 24th day of May, 2021.
Presiding Officer of the House
of Representatives
Passed the Senate the 25th day of May , 2021.
Presiding Officer of the Senate
OFFICE OF THE GOVERNOR
Received by the Office of the Governor this ____________________
day of ___________________, 20_______, at _______ o'clock _______ M.
By: _________________________________
Approved by the Governor of the Sta te of Oklahoma this _________
day of ___________________, 20_______, at _______ o'clock _______ M.
_________________________________
Governor of the State of Oklahoma
OFFICE OF THE SECRETARY OF STATE
Received by the Office of the Secretary of State th is __________
day of ___________________, 20_______, at _______ o'clock _______ M.
By: _________________________________