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STATE OF OKLAHOMA
2nd Session of the 58th Legislature (2022)
COMMITTEE SUBSTITUTE
FOR
HOUSE BILL NO. 3634 By: Fetgatter
PROPOSED COMMITTEE SUBSTITUTE
An Act relating to medical marijuana; amending 63
O.S. 2021, Sections 427.2, 427.14 and 427.16, which
relate to the Oklahoma Medical Marijuana and Patient
Protection Act; adding definition; modifying certain
definition; adding medical marijuana wholesaler
license; providing for the issuance of medical
marijuana wholesaler licenses; m odifying transporter
requirements to allow wholesaler licensees to
contract with other businesses; stating storage
security requirements for wholesaler licensees;
requiring wholesaler licensees to utilize seed-to-
sale tracking; providing requirements for warehousing
medical marijuana products; and providing an
effective date.
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOM A:
SECTION 1. AMENDATORY 63 O.S. 2021, Section 427.2, is
amended to read as follows:
Section 427.2 As used in the Oklahoma Medical Marijuana and
Patient Protection Act:
1. "Advertising" means the act of providing consideration for
the publication, dissemination, solicitation, o r circulation, of
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visual, oral, or written communication to induce dire ctly or
indirectly any person to patronize a particular medical marijuana
business, or to purchase particular medical marijuana or a m edical
marijuana product. Advertising includes mar keting, 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 t esting to allow for inventory tracking
and traceability;
4. "Cannabinoid" means any of the chemical compounds that 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
not difficult for normal adults to use p roperly 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 doe s not allow
the product to be seen without opening the packaging
material, and
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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 the Oklahoma Medical
Marijuana and Patient Protection Act, rules promulgated pursuant
thereto, and the forms and instructions provided by the Dep artment,
including any supporting documentation required and the applic able
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 marijuana or a
medical marijuana pr oduct 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 the
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Oklahoma Medical Marijuana and Pati ent Protection Act to purchase
medical marijuana or medical marijuana products from a licensed
medical marijuana commercial grower or licensed medical mar ijuana
processor, to prepare and package noninfused pre -rolled medical
marijuana, and to sell medical marijuana or medical marijuana
products to licensed patients and caregivers as defined in this
section, or sell or transfer products to another licensed
dispensary;
14. "Edible medical marijuana product" means any medical -
marijuana-infused product for whi ch the intended use is oral
consumption including, but not limited to, any type of food, drink
or pill;
15. "Entity" means an individual, general partner ship, limited
partnership, limited liability company, trust, estate, association,
corporation, coopera tive or any other legal or comme rcial entity;
16. "Flower" means the reproductive organs of the marijuana or
cannabis plant referred to as the bud or par ts of the plant that are
harvested and used for consumption in a variety of medical marijuana
products;
17. "Flowering" means the rep roductive state of the marijuana
or cannabis plant in which 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 th at was produced by extracting ca nnabinoids
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from medical marijuana through the use of propylene glycol,
glycerin, butter, olive oil, coconut oil or other t ypical food-safe
cooking fats;
19. "Harvest batch" means a specifically identified quantity of
medical marijuana that is uniform in s train, cultivated utilizing
the same cultivation practices, harvested at the same time from the
same location and cured un der uniform conditions;
20. "Harvested marijuana" means postflowering medical marijuana
not including trim, concentrate or waste;
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;
22. "Immature plant" m eans a nonflowering marijuana pl ant that
has not demonstrated signs of flowering;
23. "Inventory tracking system" means the required tracking
system that accounts for the entire life span of medical marijuana
and medical marijuana products, including any testing samples
thereof and medical marijuana waste;
24. "Licensed patient" or "patient" means a person who has been
issued a medical marijuana patient l icense by the State Department
of Health or Oklahoma Medical Marijuana Authority;
25. "Licensed premi ses" means the premises specifie d in an
application for a medical marijuana business license, medical
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marijuana research facility license or medical marij uana education
facility license pursuant to 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 the Oklahoma Medical Marijuana and Patient
Protection Act and rules promulgated pursuant thereto;
26. "Manufacture" means the production, propagation,
compounding or processing of a medical marijuana product, excluding
marijuana plants, either directly o r indirectly by extraction from
substances of natural or synthetic origin, or independently by means
of chemical synthesis, or by a combination of extract ion and
chemical synthesis;
27. "Marijuana" shall have the same meaning as such term is
defined in Section 2-101 of this title;
28. "Material change" means any change that would affect the
qualifications for licensure of an applicant or licensee;
29. "Mature plant" means a harvestable female marijuana plant
that is flowering;
30. "Medical marijuana bus iness (MMB)" means a licensed me dical
marijuana dispensary, medical marijuana processor, medical marijuana
commercial grower, medical marijuana laboratory , medical marijuana
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business operator or a, medical marijuana transporter , or a medical
marijuana wholesaler ;
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;
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 me dical
marijuana pre-rolls to a medical marijuana dispensary, medical
marijuana processor, any other medical marijuana commercial growe r,
medical marijuana research facility or medical marijuana education
facility. A commercial grower may sell seeds, flowe r or clones to
commercial growers pursuant to the Oklahoma Medical Marijuan a and
Patient Protection Act;
33. "Medical marijuana educa tion facility" or "education
facility" means a person or entity approved pursuant to the Oklahoma
Medical Marijuana and Pa tient Protection Act to operate a facility
providing training and education to individuals involving the
cultivation, growing, harvest ing, curing, preparing, packaging or
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testing of medical marijuana, or the production, manufacture,
extraction, processing, packaging or creation of medical -marijuana-
infused products or medical mar ijuana products as described in the
Oklahoma Medical Mariju ana and Patient Protection Act;
34. "Medical-marijuana-infused product" means a product infused
with medical marijuana in cluding, but not limited to, edible
products, ointments and tinctures;
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 mean s and is
intended for administration to a qualified patient including, but
not limited to, oils, tinctures, edibles, pills, topical fo rms,
gels, creams, vapors, patches, liquids, and forms administered by a
nebulizer, excluding live plant forms which are c onsidered medical
marijuana;
36. "Medical marijuana processor" means a per son or entity
licensed pursuant to the Oklahoma Medical Mar ijuana and Patient
Protection Act to operate a business including the production,
manufacture, extraction, processing, pac kaging or creation of
concentrate, medical -marijuana-infused products or me dical marijuana
products as described in the Oklahoma Medic al Marijuana and Patient
Protection Act;
37. "Medical marijuana research facility" or "research
facility" means a person or entity approved pursuant to the Oklahoma
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Medical Marijuana and Patient P rotection Act to conduct medical
marijuana research. A med ical marijuana research facility is not a
medical marijuana business;
38. "Medical marijuana testing laboratory" or "labo ratory"
means a public or private laboratory licensed pursuant to the
Oklahoma Medical Marijuana and Patient Protection Act to conduct
testing and research on medical marijuana and medical marijuana
products;
39. "Medical marijuana transporter" or "transp orter" means a
person or entity that is licensed pursuant to the Oklahoma Medical
Marijuana and Patient Protection Act. A medical mar ijuana
transporter does not include a medical marijuana business that
transports its own medical marijuana, medical mariju ana concentrate
or medical marijuana products to a property or facility adjacent to
or connected to the licensed premises if the prope rty is another
licensed premises of the same medical marijuana business;
40. "Medical marijuana waste" or "waste" means u nused, surplus,
returned or out-of-date marijuana, plant debris of the plant of the
genus Cannabis including dead plants and all unuse d plant parts and
roots, except the term shall not include roots, stems, stalks and
fan leaves;
41. "Medical marijuana wh olesaler" or "wholesaler" means an
entity licensed by the Oklahoma Medical Marijuana Authority to
acquire, possess, sell , or distribute medical marijuana or medical
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marijuana products on behalf of another licensed medical marijuana
business in the State of Oklahoma. A medical marijuana wholesaler
does not include a medical marijuana business which grows, produces
and sells its own medi cal marijuana, medical marijuana concentrate ,
or medical marijuana products;
42. "Medical use" means the acquisition, pos session, use,
delivery, transfer or transportation of medical marijuana, medical
marijuana products, medical marijuana devices or par aphernalia
relating to the administration of medical marijuana to treat a
licensed patient;
42. 43. "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 materia l for sale to a medical marijuana
processor or medical marijuana dispensary;
43. 44. "Oklahoma physician" or "physician" m eans a physician
licensed by and in good standing with the State Board of Medical
Licensure and Supervision, the State Board of Osteo pathic Examiners
or the Board of Podiatric Medical Examiners;
44. 45. "Oklahoma resident" means an individual who can prov ide
proof of residency as required by the Oklahoma Medical Marijuana and
Patient Protection Act;
45. 46. "Owner" means, except where the context otherwise
requires, a direct beneficial owner including, but not limited to,
all persons or entities as follow s:
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a. all shareholders owning an interest of a corporate
entity and all officers of a corporate entity,
b. all partners of a general partnership,
c. all general partners and all limited partners that own
an interest in a limited partnership,
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 trustee s of a trust,
f. all persons or entities that own interest in a joint
venture,
g. all persons or entities that own an inter est 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;
46. 47 "Package" or "packaging" means any container or wrapper
that may be used by a medical marijuana business to enclose or
contain medical marijuana;
47. 48. "Person" means a natura l person, partnership,
association, business trust, company, corporation, estate, limited
liability company, trust or any o ther legal entity or organization,
or a manager, agent, owner, director, servant, officer or employee
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thereof, except that "person" d oes not include any governmental
organization;
48. 49. "Pesticide" means any substance or mixture of
substances intended f or preventing, destroying, repelling or
mitigating any pest or any substance or mixture of substances
intended for use as a plant reg ulator, 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;
49. 50. "Production batch" means:
a. any amount of medical marijuan a 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
b. any amount of medical marijuana product of the same
exact type, produced us ing the same ingredients,
standard operating procedures and the same production
batch of medical marijuana concentrate;
50. 51. "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;
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51. 52. "Public money" means any funds or money obtained by the
holder from any governmental entity including, but not limited to,
research grants;
52. 53. "Recommendation" means a document that is signed or
electronically submitted by a physician on behalf o f a patient for
the use of medical marijuana pursuant to the Oklahoma Medical
Marijuana and Patient Protection Act;
53. 54. "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;
54. 55. "Remediation" means the process by which a harvest
batch or production batch that fai ls testing undergoes a procedure
to remedy the harvest batch or production batch and is retested in
accordance with Oklahom a laws, rules and regulations;
55. 56. "Research project" means a discrete scientific endeavor
to answer a research question or a se t 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 star t and end date. The description shall
demonstrate that the research project will comply with all
requirements in the Oklah oma Medical Marijuana and Patient
Protection Act and rules promulgated pursuant thereto. All research
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and development conducted by a medical marijuana research facility
shall be conducted in furtherance of an approved research project;
56. 57. "Revocation" means the final decision by the Department
that any license issued pursuant to the Oklahoma Medical Marijuana
and Patient Protecti on Act is rescinded because the individual or
entity does not comply with the applicable requirements set forth in
the Oklahoma Medical Marijuana and Patient Protection Act or rules
promulgated pursuant thereto;
57. 58. "School" means a public or private elementary, middle
or high school used for school classes and instruction. A
homeschool, daycare or child -care facility shall not be considered a
"school" as used in the Oklahoma Medical Marijuana and Patient
Protection Act;
58. 59. "Shipping container" means a hard-sided container with
a lid or other enclosure that can be secured in place. A shipping
container is used sole ly for the transport of medical marijuana,
medical marijuana concentrate, or medical marijuana products between
medical marijuana bus inesses, a medical marijuana research facility,
or a medical marijuana education facility;
59. 60. "Solvent-based medical marijuana concentrate" means a
medical marijuana concentrate that was produced by extracting
cannabinoids from medical marijuana thro ugh the use of a solvent
approved by the Department;
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60. 61. "State Question" means Oklahoma State Question No. 788,
Initiative Petition No. 412, approved by a majority vote of the
citizens of Oklahoma on June 26, 2018;
61. 62. "Strain" means the name gi ven to a particular variety
of medical marijuana that is based on a combination of factors which
may include, but is not li mited to, botanical lineage, appearance,
chemical profile and accompanying effects. An example of a "strain"
would be "OG Kush" or " Pineapple Express";
62. 63. "THC" means tetrahydrocannabinol, which is the primary
psychotropic cannabinoid in marijuana f ormed by decarboxylation of
naturally tetrahydrocannabinolic acid, which generally occurs by
exposure to heat;
63. 64. "Transporter agent" means a person who transports
medical marijuana or medical marijuana products as an employee of a
licensed medical marijuana business and holds a transporter agent
license specific to that business pursuant to the Oklahoma Medical
Marijuana and Patient Protection Act;
64. 65. "Universal symbol" means the image established by the
State Department of Health or Oklahoma M edical Marijuana Authority
and made available to licensees through its website indicating that
the medical marijuana or the medical m arijuana product contains THC;
65. 66. "Usable marijuana" means the dried leaves, flowers,
oils, vapors, waxes and other p ortions of the marijuana plant and
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any mixture or preparation thereof, excluding seeds, roots, stems,
stalks and fan leaves; and
66. 67. "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 2. AMENDATORY 63 O.S. 2021, Section 42 7.14, is
amended to read as follows:
Section 427.14 A. There is hereby created the medica l
marijuana business li cense, which shall include the following
categories:
1. Medical marijuana commercial grower;
2. Medical marijuana processor;
3. Medical marijuana dispensary;
4. Medical marijuana tran sporter; and
5. Medical marijuana testin g laboratory; and
6. Medical marijuana wholesaler.
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, applic ations for a medical marijuana
business.
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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 license s and registrations authorized
pursuant to this section shall be made upon forms pr escribed 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;
4. All applications shall be complete a nd 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 b e accompanied by a full remitta nce
for the whole amount of the applicat ion fees. Application fees are
nonrefundable;
7. All applicants shall be approved for licensing revi ew that,
at a minimum, meets the following criteria:
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a. twenty-five (25) years of a ge or older,
b. if applying as an individual, proof that the applicant
is an Oklahoma resident pursuant to paragraph 11 of
this subsection,
c. if applying as an entity , proof that seventy-five
percent (75%) of all members, managers, executive
officers, partners, board members or any other form of
business ownership are Oklaho ma residents pursuant to
paragraph 11 of this subsection,
d. if applying as an individual or entity, proof that the
individual or entity is registered to conduct business
in the State of Oklahoma,
e. disclosure of all ownership interests pursuant to the
Oklahoma Medical Marijuana and Patient Protection Act ,
and
f. 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 been
convicted of a nonviolent felony in the las t two (2)
years, or any other felony conviction within th e last
five (5) years, is not a current inmate in the custody
of the Department of Corrections , or currently
incarcerated in a jail or corrections facility;
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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 separate 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 i n the Oklahoma
Medical Marijuana and Patient Protection Act;
9. All applicants for a medical marijuana business license,
research facility license or education facility license aut horized
by 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 Bur eau 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 b y 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 f or such background checks;
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11. In order to be considered an Oklahoma resident for purposes
of a medical marijuana business application, all applicants sha ll
provide proof of Oklah oma residency for at least two (2) years
immediately preceding the date of a pplication or five (5) years of
continuous Oklahoma resid ency during the preceding twenty-five (25)
years immediately preceding the date of application . Sufficient
documentation of proof of residency shall include a combination of
the following:
a. an unexpired Oklahoma-issued driver license,
b. an Oklahoma identification card,
c. a utility bill preceding the date of application,
excluding cellular telep hone 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 ma rijuana business license
prior to 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 Na rcotics and
Dangerous Drugs Cont rol as provided in Sections 2 -302 through 2-304
of this title;
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13. All applicants shall establish their identity through
submission of a color copy or digital image of one of the following
unexpired documents:
a. front of an Oklahoma driver license,
b. front of an Oklahoma identification card,
c. a United States passport or other photo identification
issued by the United States govern ment, or
d. a tribal identification card approved for
identification purposes by the Ok lahoma Department of
Public Safety; and
14. All applicants shall submit an applicant photograph .
F. The Authority shall review the medical marijuana business
application; approve, reject or deny the application; and mail the
approval, rejection, denial or status-update letter to the applica nt
within ninety (90) business days of receipt of the application.
G. 1. The Authority shall review the medical marijuan a
business applications and conduct all investigations, inspections
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 o f the
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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 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 otherwise, 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, 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 sa me method the application was
submitted to the Department.
H. A license for a medical marijuana business, 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;
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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;
3. A corporation, if the criminal history of any of its
officers, directors or stockholders indicates that the of ficer,
director or stockholder has been convicted of a nonviole nt 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 thi s section who, during a
period of licensure, or who, at the tim e 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 busi ness;
6. A sheriff, deputy sheriff, police officer or prosecut ing
officer, or an officer or employee of the Authority or municipality;
7. A person whose authority to be a caregiver , as defined in
Section 427.2 of this title, has been revoked by the Depar tment; or
8. A person who was involved in the management or op erations of
any medical marijuana business, medical marijuana research facility,
medical marijuana education facility or m edical marijuana waste
disposal facility that, after the initiation of a disciplinary
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action, has had a medical marijuana license revo ked, not renewed, or
surrendered during the five (5) years preceding submission of the
application and for the following v iolations:
a. unlawful sales or purchases,
b. any fraudulent acts, fals ification of records or
misrepresentation to the Authority, med ical marijuana
patient licensees, caregiver licensees or medical
marijuana business licensees,
c. any grossly inaccurate o r fraudulent reporting,
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 qualificatio ns of an applicant or a
licensee, the Department, Authority and muni cipalities may have
access to criminal history record information furnished by a
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criminal justice agency subject to any restrictions imposed by such
an agency.
J. The failure of an applic ant or licensee to provide the
requested information by the Authori ty 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 grounds for administrative action ag ainst the
applicant or licensee. Typos and scrivener errors shall n ot be
grounds for denial.
L. A licensed medical marijuana business premises shall be
subject to and responsible for compl iance with applicable provisions
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 ex emption by a municipality or
appropriate code enforcement entity .
M. All medical marijuana business , medical marijuana research
facility, medical marijuana education facility and medical marijuana
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waste disposal facility licensees shall pay the relevant l icensure
fees prior to receiving licensure to operate.
N. A medical marijuana business, medical marijuana 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 Department 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 facility or medical marijuana
waste disposal facility shall possess, sell or transfer medical
marijuana or medical marijuana products without a valid, unexpi red
license issued by the Department.
SECTION 3. AMENDATORY 63 O.S. 2 021, 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 marijua na business
license.
B. Pursuant to Section 424 o f 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 als o be
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issued to licensed med ical marijuana research facilities, medical
marijuana education facilities and medical marijuana testing
laboratories upon issuance of such license s and upon each renewal.
C. A Aside from a medical marijuana transporter license issued
to a licensed medica l marijuana dispensary, medical marijuana
commercial grower, medical marijuana processor, medical marijuana
research facility, or medical marijuana education facility in
conjunction with its business license, 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 mari juana business license set
forth in the Oklahoma Medical Marijuana and Patient Prote ction Act
and the requirements set forth in this section to provide logistics,
distribution and storage of medical marijuana, medical marijuana
concentrate and medical mari juana products. The license, when not
issued in conjunction with a medical marijuan a dispensary, medical
marijuana commercial grower, medical marijuana processor, medical
marijuana research facility , or medical marijuana education facility
license, shall be known as a "medical marijuana wholesaler license"
or "wholesaler license".
D. A medical marijuana transporter license or wholesaler
license shall be valid for one (1) year and shall not be transf erred
with a change of ownership . A licensed medical mar ijuana
transporter or wholesaler shall be responsible for all medical
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marijuana, medical marijuana concentrate and medical marijuana
products once the transporter or wholesaler takes control of the
product.
E. A transporter license or wholesaler license shall be
required for any person or entity to transport or transfer medical
marijuana, medical marijuana concentrate or medical marijuana
products from a licensed medic al marijuana business to another
medical marijuana business, or from a medical mar ijuana business to
a medical marijuana research facility or medical marijuana education
facility.
F. A Only a medical marijuana transporter or wholesaler
licensee may contract with multiple lic ensed medical marijuana
businesses to package, store, and transport medical marijuana,
medical marijuana concentrate , and medical marijuana products on its
behalf in the State of Oklaho ma.
G. A medical marijuana transporter or wholesaler may maintain a
licensed premises to temporarily store medical marijuana, medical
marijuana concentrate and medical marijuana products and to use as a
centralized packaging and distribution point. A Except for a
medical marijuana business using its own owners or employees, only a
medical marijuana transporter or wholesaler and its employees may
broker, package, store and, market, or distribute medical marijuana,
medical marijuana concentrate and medical marijuana products from
the licensed premises in the State of Oklahoma on behalf of another
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medical marijuana business li censee. The licensed premises of the
wholesaler shall meet all security requirements applicable to a
medical marijuana business.
H. A medical marijuana transporter or wholesaler licensee shall
use the seed-to-sale tracking system developed pursuant t o the
Oklahoma Medical Marijuana and Pa tient Protection Act to track all
medical marijuana, medical ma rijuana concentrate, and medical
marijuana products received, packaged, stored, or distributed by a
transporter or wholesaler and to create shipping manifests
documenting the transport of medical marijuana, medical marijuana
concentrate and medical marijuana products throughout the state.
I. A licensed medical marijuana transporter or wholesaler may
maintain and operate one or more warehouses in the state to handle
medical marijuana, medical marijuana concentrate and medical
marijuana products. Each location shall be registered and inspected
by the Authority prior to its use.
J. With the exception of a lawful transfer between medical
marijuana businesses who are licensed to operate at the same
physical address, all medical marijuana, medical marijuana
concentrate and 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
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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 ed ucation facility.
The Department shall administer and enforce the provisions of this
section concerning transportation.
L. The Authority shall issue a tra nsporter agent license to
individual agents, employees, officers or owners of a transporter or
wholesaler license in order for the individual employees, officers,
or owners to qualify to transport medical marijuana , medical
marijuana concentrate or medical marijuana products.
M. The annual fee for a transporter a gent license shall b e
Twenty-five Dollars ($25.00) and shall be paid by the transporter
license holder or wholesaler licensee or the individual applicant .
Transporter license reprints shall be Twe nty Dollars ($20.00).
N. The Authority shall issue each transporter agent a regi stry
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;
3. Proof of identity as required for a medical marijuana
business license;
4. Possession of a valid Oklahoma driv er license;
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5. Verification of employment with a licensed transporter;
6. The application and affiliated fee; and
7. A copy of the criminal background ch eck conducted by the
Oklahoma State Bureau of Investigation, paid for by t he applicant.
O. If the transporter agent application is denied, the
Department shall notify the tra nsporter or wholesaler in writing of
the reason for denying the registry identifi cation 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 or wholesaler 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 knowingl y violates any provision of this
section, and the transporter or wholesaler 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 or wholesaler that the Department determines
knowingly aided or facilitated a violation of any provision of this
section, and the license holder is subject to any other penalties
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 transport; and
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3. In possession of a shipping container as defined in Section
427.2 of this title capable of securing all transported products.
T. Prior to the transport of any medical marijuana , medical
marijuana concentrate or medical marijuana products, an inventory
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 the com mercial 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 dispensary, 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;
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4. The date of the transport and the approximate time of
departure;
5. The arrival date and estimate d time of arrival;
6. Printed names and signatures of the personnel accompanying
the transport; and
7. Notation of the transporti ng 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
the product changes hands and afte r the other licensee prints his or
her name and signs the inventory manifest.
3. A receiving licensee shall refuse to accept any medical
marijuana, medical marijuana concentrate or medical marijuana
products that are not accompanied by an inventory manife st.
4. Originating and receiving licensees shall maintain copies of
inventory manifests and logs of quantities of medical marijuana
received for seven (7) years from date of receipt.
SECTION 4. This act shall becom e effective November 1, 2022.
58-2-10988 JL 03/03/22
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