Oklahoma 2022 Regular Session

Oklahoma House Bill HB3634 Compare Versions

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29-SENATE FLOOR VERSION
30-April 14, 2022
31-AS AMENDED
32-
3328 ENGROSSED HOUSE
3429 BILL NO. 3634 By: Fetgatter, Davis, Talley,
3530 and McDugle of the House
3631
3732 and
3833
3934 Rogers of the Senate
35+
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4039
4140
4241
4342 [ medical marijuana - providing for the issuance of
4443 medical marijuana wholesaler licenses - providing
4544 requirements for warehousing medical marijuana
4645 products - effective date ]
4746
4847
4948
5049
5150 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOM A:
5251 SECTION 1. AMENDATORY 63 O.S. 2021, Section 427.2, is
5352 amended to read as follows:
5453 Section 427.2 As used in the Oklahoma Medic al Marijuana and
5554 Patient Protection Act:
5655 1. "Advertising" means the act of providing consideration for
5756 the publication, dissemination, solicitation, or circulation, of
5857 visual, oral, or written communication to induce dire ctly or
5958 indirectly any person to p atronize a particular medical marijuana
6059 business, or to purchase particular medical marijuana or a m edical
61-marijuana product. Advertising includes ma rketing, but does not
62-include packaging and la beling;
63-2. "Authority" means the Oklahoma Medical Marijuana Authority;
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86+marijuana product. Advertising includes ma rketing, but does not
87+include packaging and labeling;
88+2. "Authority" means the Oklahoma Medical Marijuana Authority;
9189 3. "Batch number" means a unique numeric or alphanumeric
9290 identifier assigned prior to t esting to allow for inventory tracking
9391 and traceability;
9492 4. "Cannabinoid" means any of the chemical compounds that are
9593 active principles of marijuana;
9694 5. "Caregiver" means a family member or assistant who regularly
9795 looks after a medical marijuana license holder whom a physician
9896 attests needs assistance;
9997 6. "Child-resistant" means special packaging that is:
10098 a. designed or constructed to be significantly dif ficult
10199 for children under five (5) years of age to open and
102100 not difficult for normal adults to use p roperly as
103101 defined by 16 C.F.R. 1700.15 (1995) and 16 C.F.R.
104102 1700.20 (1995),
105103 b. opaque so that the outermost packaging doe s not allow
106104 the product to be seen without opening the packaging
107105 material, and
108106 c. resealable to maintain its child -resistant
109107 effectiveness for multiple openings for any product
110108 intended for more than a single use or containing
111109 multiple servings;
112-7. "Clone" means a nonflowering plant cut f rom a mother plant
113-that is capable of developing into a new plant and has shown no
114-signs of flowering;
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136+7. "Clone" means a nonflowering plant cut f rom a mother plant
137+that is capable of developing into a new plant and has shown no
138+signs of flowering;
142139 8. "Commissioner" means the State Commissioner of Health;
143140 9. "Complete application" means a document prepared in
144141 accordance with the provisions set for th in the Oklahoma Medical
145142 Marijuana and Patient Protection Act, rules promulgated pursuant
146143 thereto, and the forms and instructions provided by the De partment,
147144 including any supporting documentation required and the applic able
148145 license application fee;
149146 10. "Department" means the State Department of Health;
150147 11. "Director" means the Executive Director of the Oklahoma
151148 Medical Marijuana Authority;
152149 12. "Dispense" means the selling of medical marijuana or a
153150 medical marijuana pr oduct to a qualified patient or th e designated
154151 caregiver of the patient that is packaged in a suitable container
155152 appropriately labeled for subsequent administration to or use by a
156153 qualifying patient;
157154 13. "Dispensary" means a medical marijuana dispensary, an
158155 entity that has been licensed b y the Department pursuant to the
159156 Oklahoma Medical Marijuana and Pati ent Protection Act to purchase
160157 medical marijuana or medical marijuana products fro m a licensed
161158 medical marijuana commercial grower or licensed medical mar ijuana
162159 processor, to prepare and p ackage noninfused pre -rolled medical
163-marijuana, and to sell medical marijuana or medical marijuana
164-products to licensed patients and caregivers as def ined in this
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186+marijuana, and to sell medical marijuana or medical marijuana
187+products to licensed patients and caregivers as def ined in this
192188 section, or sell or transfer products to another licensed
193189 dispensary;
194190 14. "Edible medical ma rijuana product" means any medical -
195191 marijuana-infused product for whi ch the intended use is oral
196192 consumption including, but not limited to, any type of food, drink
197193 or pill;
198194 15. "Entity" means an individual, general partner ship, limited
199195 partnership, limited liability company, trust, estate, association,
200196 corporation, coopera tive or any other legal or comme rcial entity;
201197 16. "Flower" means the reproductive organs of the marijuana or
202198 cannabis plant referred to as the bud or par ts of the plant that are
203199 harvested and used for consumption in a variety of medical marijuana
204200 products;
205201 17. "Flowering" means the rep roductive state of the marijuana
206202 or cannabis plant in which there are physical signs of flower or
207203 budding out of the nodes of the stem;
208204 18. "Food-based medical marijuana concentrate" means a medical
209205 marijuana concentrate th at was produced by extracting ca nnabinoids
210206 from medical marijuana through the use of propylene glycol,
211207 glycerin, butter, olive oil, coconut oil or other t ypical food-safe
212208 cooking fats;
213-19. "Harvest batch" means a specifically identified quantity of
214-medical marijuana that is uniform in s train, cultivated utilizing
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235+19. "Harvest batch" means a specifically identified quantity of
236+medical marijuana that is uniform in s train, cultivated utilizing
242237 the same cultivation p ractices, harvested at the same time from the
243238 same location and cured un der uniform conditions;
244239 20. "Harvested marijuana" means postflowering medical marijuana
245240 not including trim, concentrate or waste;
246241 21. "Heat- or pressure-based medical marijuana conce ntrate"
247242 means a medical marijuana concentrate that was produced by
248243 extracting cannabinoids from medical ma rijuana through the use of
249244 heat or pressure;
250245 22. "Immature plant" m eans a nonflowering marijuana pl ant that
251246 has not demonstrated signs of flowering;
252247 23. "Inventory tracking system" means the required tracking
253248 system that accounts for the entire life span of medical marijuana
254249 and medical marijuana products, including any testing samples
255250 thereof and medical marijuana waste;
256251 24. "Licensed patient" or "p atient" means a person who has been
257252 issued a medical marijuana patient l icense by the State Department
258253 of Health or Oklahoma Medical Marijuana Authority;
259254 25. "Licensed premi ses" means the premises specifie d in an
260255 application for a medical marijuana busine ss license, medical
261256 marijuana research facility license or medical marij uana education
262257 facility license pursuant to the Oklahoma Medical Marijuana and
263258 Patient Protection Act that are owned or in possession of the
264-licensee and within which the licensee is a uthorized to cultivate,
265-manufacture, distribut e, sell, store, transport, test or research
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285+licensee and within which the licensee is a uthorized to cultivate,
286+manufacture, distribute, sell, store, transport, test or research
293287 medical marijuana or medical marijuana products in accordance with
294288 the provisions of the Oklahoma Medical Marijuana and Patient
295289 Protection Act and rules promulgated p ursuant thereto;
296290 26. "Manufacture" means the production, propagation,
297291 compounding or processing of a medi cal marijuana product, excluding
298292 marijuana plants, either directly o r indirectly by extraction from
299293 substances of natural or synthetic origin, or inde pendently by means
300294 of chemical synthesis, or by a combination of extract ion and
301295 chemical synthesis;
302296 27. "Marijuana" shall have the same meaning as such term is
303297 defined in Section 2-101 of this title;
304298 28. "Material change" means any change that would affe ct the
305299 qualifications for licensure of an applicant or licensee;
306300 29. "Mature plant" means a harvestable f emale marijuana plant
307301 that is flowering;
308302 30. "Medical marijuana bus iness (MMB)" means a licensed me dical
309303 marijuana dispensary, medical marijuana proc essor, medical marijuana
310304 commercial grower, medical marijuana laboratory , medical marijuana
311305 business operator or a, medical marijuana transporter , or a medical
312306 marijuana wholesaler ;
313307 31. "Medical marijuana concentrate" or "concentrate" means a
314308 specific subset of medical marijuana that was produced by extracting
315-cannabinoids from medical marijuana. Categories of medical
316-marijuana concentrate include water-based medical marijuana
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335+cannabinoids from medical marijuana. Categories of medical
336+marijuana concentrate include water-based medical marijuana
344337 concentrate, food-based medical marijuana concentrate, solvent-based
345338 medical marijuana concentrate, and heat - or pressure-based medical
346339 marijuana concentrate;
347340 32. "Medical marijuana co mmercial grower" or "commercial
348341 grower" means an entity licensed to cultivate, prepare and package
349342 medical marijuana or package medical marijuana as p re-rolls, and
350343 transfer or contract for transfer medical marijuana and me dical
351344 marijuana pre-rolls to a medical marijuana dispensary, medical
352345 marijuana processor, any other medical marijuana commercial growe r,
353346 medical marijuana research facility or medical marijuana education
354347 facility. A commercial grower may sell seeds, flowe r or clones to
355348 commercial growers pursuant to the Oklahoma Medical Marijuan a and
356349 Patient Protection Act;
357350 33. "Medical marijuana educa tion facility" or "education
358351 facility" means a per son or entity approved pursuant to the Oklahoma
359352 Medical Marijuana and Pa tient Protection Act to operate a facility
360353 providing training and education to individuals involving the
361354 cultivation, growing, harvest ing, curing, preparing, packaging or
362355 testing of medical marijuana, or the production, manufacture,
363356 extraction, processing, packaging or creation of medical -marijuana-
364357 infused products or medical mar ijuana products as described in the
365358 Oklahoma Medical Mariju ana and Patient Protection Act;
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393385 34. "Medical-marijuana-infused product" means a product infused
394386 with medical marijuana in cluding, but not limited to, edibl e
395387 products, ointments and tinctures;
396388 35. "Medical marijuana product" or "product" means a product
397389 that contains cannabinoids that have been extracted from plant
398390 material or the resin therefrom by physical or chemical mean s and is
399391 intended for administrati on to a qualified patient including, but
400392 not limited to, oils, tinctures, edibles, pills, topical fo rms,
401393 gels, creams, vapors, patches, liquids, and f orms administered by a
402394 nebulizer, excluding live plant forms which are c onsidered medical
403395 marijuana;
404396 36. "Medical marijuana processor" means a per son or entity
405397 licensed pursuant to the Oklahoma Medical Mar ijuana and Patient
406398 Protection Act to operate a bus iness including the production,
407399 manufacture, extraction, processing, pac kaging or creation of
408400 concentrate, medical-marijuana-infused products or me dical marijuana
409401 products as described in the Oklahoma Medic al Marijuana and Patient
410402 Protection Act;
411403 37. "Medical marijuana research facility" or "research
412404 facility" means a person or entity approved pursuant to the Oklahoma
413405 Medical Marijuana and Patient P rotection Act to conduct medical
414406 marijuana research. A med ical marijuana research facility is not a
415407 medical marijuana business;
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443434 38. "Medical marijuana testing laboratory" or "labo ratory"
444435 means a public or private laboratory licensed pursuant to the
445436 Oklahoma Medical Marijuana and Patient Protection Act to conduct
446437 testing and research on medical marijuana and med ical marijuana
447438 products;
448439 39. "Medical marijuana transporter" or "transp orter" means a
449440 person or entity that is licensed pursuant to the Oklahoma Medical
450441 Marijuana and Patient Protection Act. A medical mar ijuana
451442 transporter does not include a medical mari juana business that
452443 transports its own medical marijuana, medical mariju ana concentrate
453444 or medical marijuana products to a property or facility adjacent to
454445 or connected to the licensed premises if the prope rty is another
455446 licensed premises of the same medic al marijuana business;
456447 40. "Medical marijuana waste" or "waste" means u nused, surplus,
457448 returned or out-of-date marijuana, plant debris of the plant of the
458449 genus Cannabis including dead plants and all unuse d plant parts and
459450 roots, except the term shall not include roots, stems, stalks and
460451 fan leaves;
461452 41. "Medical marijuana wh olesaler" or "wholesaler" means an
462453 entity licensed by the Oklahoma Medical Marijuana Authority to
463454 acquire, possess, sell , or distribute medical marijuana or medical
464455 marijuana products on behalf of another licensed medical marijuana
465456 business in the State of Oklahoma. A medical marijuana wh olesaler
466457 does not include a medical marijuana business which grows, produces
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494484 and sells its own medi cal marijuana, medical marijuana concentrate ,
495485 or medical marijuana products;
496486 42. "Medical use" means the acquisition, pos session, use,
497487 delivery, transfer o r transportation of medical marijuana, medical
498488 marijuana products, medical marijuana devices or par aphernalia
499489 relating to the administration of medica l marijuana to treat a
500490 licensed patient;
501491 42. 43. "Mother plant" means a marijuana plant that is grown or
502492 maintained for the purpose of generating clones, and that will not
503493 be used to produce plant materia l for sale to a medical marijuana
504494 processor or medical marijuana dispensary;
505495 43. 44. "Oklahoma physician" or "physician" m eans a physician
506496 licensed by and in good standing with the State Board of Medical
507497 Licensure and Supervision, the State Board of Osteo pathic Examiners
508498 or the Board of Podiatric Medical Examiners;
509499 44. 45. "Oklahoma resident" means an individual who can prov ide
510500 proof of residency as required by the Oklahoma Medical Marijuana and
511501 Patient Protection Act;
512502 45. 46. "Owner" means, except where the context otherwise
513503 requires, a direct beneficia l owner including, but not limited to,
514504 all persons or entities as follow s:
515505 a. all shareholders owning an i nterest of a corporate
516506 entity and all officers of a corporate entity,
517507 b. all partners of a general partnership,
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545534 c. all general partners and all limite d partners that own
546535 an interest in a limited partnership,
547536 d. all members that own an interest in a limited
548537 liability company,
549538 e. all beneficiaries that hold a beneficial interest in a
550539 trust and all trustee s of a trust,
551540 f. all persons or entities that own i nterest in a joint
552541 venture,
553542 g. all persons or entities that own an inter est in an
554543 association,
555544 h. the owners of any other type of legal entity, and
556545 i. any other person holding an interest or convertible
557546 note in any entity which owns, operates or manages a
558547 licensed facility;
559548 46. 47. "Package" or "packaging" means any container or wrapper
560549 that may be used by a medical marijuana business to enclose or
561550 contain medical marijuana;
562551 47. 48. "Person" means a natura l person, partnership,
563552 association, business trust, company, corporation, estate, limited
564553 liability company, trust or any o ther legal entity or organization ,
565554 or a manager, agent, owner, director, servant, officer or employee
566555 thereof, except that "person" d oes not include any governmental
567556 organization;
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595583 48. 49. "Pesticide" means any substance or mixture of
596584 substances intended f or preventing, destroying, repell ing or
597585 mitigating any pest or any substance or mixture of substances
598586 intended for use as a plant reg ulator, defoliant or desiccant,
599587 except that the term "pesticide" shall not include any article that
600588 is a "new animal drug" as designated by the United State s Food and
601589 Drug Administration;
602590 49. 50. "Production batch" means:
603591 a. any amount of medical marijuan a concentrate of the
604592 same category and produced usi ng the same extraction
605593 methods, standard operating procedures and an
606594 identical group of harvest batch of medical marijuana,
607595 or
608596 b. any amount of medical marijuana product of the same
609597 exact type, produced us ing the same ingredients,
610598 standard operating proced ures and the same production
611599 batch of medical marijuana concentrate;
612600 50. 51. "Public institution" means any entity established or
613601 controlled by the federal government, state government, or a local
614602 government or municipality including, but not limited to,
615603 institutions of higher education or related research institutions;
616604 51. 52. "Public money" means any fund s or money obtained by the
617605 holder from any governmental entity including, but not limited to,
618606 research grants;
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646633 52. 53. "Recommendation" means a docume nt that is signed or
647634 electronically submitted by a physician on behalf o f a patient for
648635 the use of medical marijuana pursuant to the Oklahoma Medical
649636 Marijuana and Patient Protection Act;
650637 53. 54. "Registered to conduct business" means a person that
651638 has provided proof that the business applicant or licensee is in
652639 good standing with the Oklahoma Secretary of S tate;
653640 54. 55. "Remediation" means the process by which a harvest
654641 batch or production batch that fai ls testing undergoes a procedure
655642 to remedy the harvest batch or production batch and is retested in
656643 accordance with Oklahom a laws, rules and regulations;
657644 55. 56. "Research project" means a discrete scientific endeavor
658645 to answer a research question or a se t of research questions related
659646 to medical marijuana and is required for a medical marijuana
660647 research license. A research project shall include a descripti on of
661648 a defined protocol, clearly articulated goals, defined methods and
662649 outputs, and a defined star t and end date. The description shall
663650 demonstrate that the research project will comply with all
664651 requirements in the Oklah oma Medical Marijuana and Patient
665652 Protection Act and rules promulgated pursuant thereto. All research
666653 and development conducted by a medical marijuana research facility
667654 shall be conducted in furtherance of an approved research project;
668655 56. 57. "Revocation" means the final decision by th e Department
669656 that any license issued pursuant to the Oklahoma Medical Marijuana
670657
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697683 and Patient Protecti on Act is rescinded because the individual or
698684 entity does not comply with the applicable requirements set forth in
699685 the Oklahoma Medical Marijuana and Patien t Protection Act or rules
700686 promulgated pursuant thereto;
701687 57. 58. "School" means a public or private elementary, middle
702688 or high school used for school c lasses and instruction. A
703689 homeschool, daycare or child -care facility shall not be considered a
704690 "school" as used in the Oklahoma Medical Marijuana and Patient
705691 Protection Act;
706692 58. 59. "Shipping container" means a hard-sided container with
707693 a lid or other enclosure that can be secured in place. A shipping
708694 container is used sole ly for the transport of medical m arijuana,
709695 medical marijuana concentrate, or medical marijuana products between
710696 medical marijuana bus inesses, a medical marijuana research facility,
711697 or a medical marijuana education facility;
712698 59. 60. "Solvent-based medical marijuana concentrate" means a
713699 medical marijuana concentrate that was produced by extracting
714700 cannabinoids from medical marijuana thro ugh the use of a solvent
715701 approved by the Department ;
716702 60. 61. "State Question" means Oklahoma State Question No. 788,
717703 Initiative Petition No. 412, approved by a majority vote of the
718704 citizens of Oklahoma on June 26, 2018;
719705 61. 62. "Strain" means the name gi ven to a particular variety
720706 of medical marijuana th at is based on a combination of factors which
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748733 may include, but is not li mited to, botanical lineage, appe arance,
749734 chemical profile and accompanying effects. An example of a "strain"
750735 would be "OG Kush" or " Pineapple Express";
751736 62. 63. "THC" means tetrahydro cannabinol, which is the primary
752737 psychotropic cannabinoid in marijuana f ormed by decarboxylation of
753738 naturally tetrahydrocannabinolic acid, which generally occurs by
754739 exposure to heat;
755740 63. 64. "Transporter agent" means a person who transports
756741 medical marijuana or medical marijuana products as an employee of a
757742 licensed medical marijuana business and holds a tra nsporter agent
758743 license specific to that business pursuant to the Oklahoma Medical
759744 Marijuana and Patient Protection Act;
760745 64. 65. "Universal symbol" mea ns the image established by the
761746 State Department of Health or Oklahoma M edical Marijuana Authority
762747 and made available to licensees through its website indicating that
763748 the medical marijuana or the medical m arijuana product contains THC;
764749 65. 66. "Usable marijuana" means the dried leaves, flowers,
765750 oils, vapors, waxes and other p ortions of the marijuana plant an d
766751 any mixture or preparation thereof, excluding seeds, roots, stems,
767752 stalks and fan leaves; and
768753 66. 67. "Water-based medical marijuana concentrate" me ans a
769754 concentrate that was produced by extracting cannabinoids from
770755 medical marijuana through the use of only water, ice or dry ice.
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798782 SECTION 2. AMENDATORY 63 O.S. 2021, Section 42 7.14, is
799783 amended to read as follows:
800784 Section 427.14 A. There is hereby created the medica l
801785 marijuana business li cense, which shall include the following
802786 categories:
803787 1. Medical marijuana commercial grower;
804788 2. Medical marijuana processor;
805789 3. Medical marijuana dispensary;
806790 4. Medical marijuana tran sporter; and
807791 5. Medical marijuana testin g laboratory; and
808792 6. Medical marijuana wholesaler.
809793 B. The Oklahoma Medical Marijuana Authority, with the aid of
810794 the Office of Management and Enterprise Services, shall develop a
811795 website for medical marijuana business ap plications.
812796 C. The Authority shall make available on its website in an
813797 easy-to-find location, applic ations for a medical marijuana
814798 business.
815799 D. The annual, nonrefundable application fee for a medical
816800 marijuana business license shall be Two Thousand Five Hundred
817801 Dollars ($2,500.00).
818802 E. All applicants seeking licensure or licensure renewal as a
819803 medical marijuana business shall comply with the following general
820804 requirements:
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848831 1. All applications for license s and registrations authorized
849832 pursuant to this section shall be made upon forms pr escribed by the
850833 Authority;
851834 2. Each application shall identify the city or county in which
852835 the applicant seeks to obtain licensure as a medical marijuana
853836 business;
854837 3. Applicants shall submit a complete application to the
855838 Department before the application may be accepted or considered;
856839 4. All applications shall be complete a nd accurate in every
857840 detail;
858841 5. All applications shall include all attachments or
859842 supplemental information required by the forms supplied by the
860843 Authority;
861844 6. All applications shall b e accompanied by a full remitta nce
862845 for the whole amount of the applicat ion fees. Application fees are
863846 nonrefundable;
864847 7. All applicants shall be approved for licensing revi ew that,
865848 at a minimum, meets the following criteria :
866849 a. twenty-five (25) years of a ge or older,
867850 b. if applying as an individual, proof that the applicant
868851 is an Oklahoma resident pursuant to paragraph 11 of
869852 this subsection,
870853 c. if applying as an entity , proof that seventy-five
871854 percent (75%) of all members, m anagers, executive
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899881 officers, partners, board members or any other form of
900882 business ownership are Oklaho ma residents pursuant to
901883 paragraph 11 of this subsection,
902884 d. if applying as an individual or entity, proof that the
903885 individual or entity is registered to conduct business
904886 in the State of Oklahoma,
905887 e. disclosure of all ownership interests pursuant to the
906888 Oklahoma Medical Marijuana and Patient Protection Act ,
907889 and
908890 f. proof that the medical marijuana business, medical
909891 marijuana research facility, medical marij uana
910892 education facility and medical marijuana waste
911893 disposal facility applicant or licensee has not been
912894 convicted of a nonviolent felony in the las t two (2)
913895 years, or any other felony conviction within th e last
914896 five (5) years, is not a current inmate in the custody
915897 of the Department of Corrections , or currently
916898 incarcerated in a jail or corrections facility;
917899 8. There shall be no limit to the number of medical marijuana
918900 business licenses or categories that an individual or entity can
919901 apply for or receive, although each application and each category
920902 shall require a separate application and application fee. A
921903 commercial grower, processor and dispensary , or any combination
922904 thereof, are authorized to share the same address or physical
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950931 location, subject to the restrictions set forth i n the Oklahoma
951932 Medical Marijuana and Patient Protection Act;
952933 9. All applicants for a medical marijuana business license,
953934 research facility license or education facility license aut horized
954935 by the Oklahoma Medical Marijuana and Patie nt Protection Act, or for
955936 a renewal of such license, shall undergo an Oklahoma criminal
956937 history background check conducted by the Oklahoma State Bur eau of
957938 Investigation (OSBI) within thirty (30) days prior to the
958939 application for the license, including:
959940 a. individual applicants applying on their own behalf,
960941 b. individuals applying on behalf of an entity,
961942 c. all principal officers of an entity, and
962943 d. all owners of an entity as defined b y the Oklahoma
963944 Medical Marijuana and Patient Protection Act;
964945 10. All applicable fees charged by the OSBI are the
965946 responsibility of the applicant and shall not be higher than fee s
966947 charged to any other person or industry f or such background checks;
967948 11. In order to be considered an Oklahoma resident for purposes
968949 of a medical marijuana business application, all applicants sha ll
969950 provide proof of Oklah oma residency for at least two (2 ) years
970951 immediately preceding the date of a pplication or five (5) years of
971952 continuous Oklahoma resid ency during the preceding twenty-five (25)
972953 years immediately preceding the date of application . Sufficient
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1000980 documentation of proof of residency shall includ e a combination of
1001981 the following:
1002982 a. an unexpired Oklahoma-issued driver license,
1003983 b. an Oklahoma identification card,
1004984 c. a utility bill preceding the d ate of application,
1005985 excluding cellular telep hone and Internet bills,
1006986 d. a residential property deed to pr operty in the State
1007987 of Oklahoma, and
1008988 e. a rental agreement preceding the date of application
1009989 for residential property located in the State of
1010990 Oklahoma.
1011991 Applicants that were issued a medical ma rijuana business license
1012992 prior to August 30, 2019, are hereby exempt from the two-year or
1013993 five-year Oklahoma residence requirement mentioned above;
1014994 12. All license applicants shall be required to submit a
1015995 registration with the Oklahoma State Bureau of Na rcotics and
1016996 Dangerous Drugs Cont rol as provided in Sections 2 -302 through 2-304
1017997 of this title;
1018998 13. All applicants shall establish their identity through
1019999 submission of a color copy or digital image of one of the foll owing
10201000 unexpired documents:
10211001 a. front of an Oklahoma driver license,
10221002 b. front of an Oklahoma identification card,
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10501029 c. a United States passport or other photo identification
10511030 issued by the United States govern ment, or
10521031 d. a tribal identification card approved fo r
10531032 identification purposes by the Ok lahoma Department of
10541033 Public Safety; and
10551034 14. All applicants shall subm it an applicant photograph .
10561035 F. The Authority shall review the medical marijuana business
10571036 application; approve, reject or deny the application; and mail the
10581037 approval, rejection, denial or status-update letter to the applica nt
10591038 within ninety (90) business da ys of receipt of the application.
10601039 G. 1. The Authority shall review the medical marijuan a
10611040 business applications and conduct all investigations, inspec tions
10621041 and interviews before approving the application.
10631042 2. Approved applicants shall be issued a medical marijuana
10641043 business license for the specific category applied under , which
10651044 shall act as proof of their approved status. Rejection and denial
10661045 letters shall provide a reason for the rejection or denial.
10671046 Applications may only be rejected or denied based on the applicant
10681047 not meeting the standards set forth in the provisions o f the
10691048 Oklahoma Medical Marijuana and Patient Protection Act and Sections
10701049 420 through 426.1 of this title, improper completion of the
10711050 application, or for a reason provided for in the Oklahoma Medical
10721051 Marijuana and Patient Protection Act and Sections 420 through 426.1
10731052 of this title. If an application is rejected for failure to provide
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11011079 required information, the applicant shall have thirty (30) days to
11021080 submit the required information for recon sideration. No additional
11031081 application fee shall be charged for such reconsideration . Unless
11041082 the Department determines otherwise, an application that has been
11051083 resubmitted but is still incomplete or contains errors that are not
11061084 clerical or typographical in nature shall be denied.
11071085 3. Status-update letters shall provide a reason for delay in
11081086 either approval, rejection or denial should a situation arise in
11091087 which an application was submitted properly but a delay in
11101088 processing the application occurred.
11111089 4. Approval, rejection, denial or status-update letters shall
11121090 be sent to the applicant in the sa me method the application was
11131091 submitted to the Department.
11141092 H. A license for a medical marijuana business, medical
11151093 marijuana research facility, medical marijuana educa tion facility or
11161094 medical marijuana waste disposal facility shall not be issued to or
11171095 held by:
11181096 1. A person until all required fees have been paid;
11191097 2. A person who has been convicted of a nonviolent felony
11201098 within two (2) years of the date of application, o r within five (5)
11211099 years for any other felony;
11221100 3. A corporation, if the criminal history of any of its
11231101 officers, directors or stockholders indicates th at the officer,
11241102 director or stockholder has been convicted of a nonviole nt felony
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11521129 within two (2) years of the date of application, or within five (5)
11531130 years for any other felony;
11541131 4. A person under twenty-five (25) years of age;
11551132 5. A person licensed pursua nt to this section who, during a
11561133 period of licensure, or who, at the tim e of application, has failed
11571134 to:
11581135 a. file taxes, interest or penalties due related to a
11591136 medical marijuana business, or
11601137 b. pay taxes, interest or penalties due related to a
11611138 medical marijuana business;
11621139 6. A sheriff, deputy sheriff, police officer or prosecut ing
11631140 officer, or an officer or emp loyee of the Authority or municipality;
11641141 7. A person whose authority to be a caregiver , as defined in
11651142 Section 427.2 of this title, has been revoked by the Department; or
11661143 8. A person who was involved in the management or op erations of
11671144 any medical marijuana business, medical marijuana research facility,
11681145 medical marijuana education facility or m edical marijuana waste
11691146 disposal facility that, after the initi ation of a disciplinary
11701147 action, has had a medical marijuana license revo ked, not renewed, or
11711148 surrendered during the five (5) years preceding submission of the
11721149 application and for the following v iolations:
11731150 a. unlawful sales or purchases,
11741151 b. any fraudulent acts, falsification of records or
11751152 misrepresentation to the Authority, med ical marijuana
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12031179 patient licensees, caregiver licensees or medical
12041180 marijuana business licensees,
12051181 c. any grossly inaccurate o r fraudulent reporting,
12061182 d. threatening or harming any medical marijuana patient,
12071183 caregiver, medical practitioner or employee of the
12081184 Department,
12091185 e. knowingly or intenti onally refusing to permit the
12101186 Department access to premises or records,
12111187 f. using a prohibited, hazardous substance for processing
12121188 in a residential area ,
12131189 g. criminal acts relating to the operation of a medical
12141190 marijuana business, or
12151191 h. any violations that e ndanger public health and safety
12161192 or product safety.
12171193 I. In investigating the qualificatio ns of an applicant or a
12181194 licensee, the Department, Authority an d municipalities may have
12191195 access to criminal history record information furnished by a
12201196 criminal justice agency subject to any restrictions imposed by such
12211197 an agency.
12221198 J. The failure of an applic ant or licensee to provide the
12231199 requested information by the Au thority deadline may be grounds for
12241200 denial of the application.
12251201 K. All applicants and licensees shall submit information to the
12261202 Department and Authority in a full, faithful, truthful and fair
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12541229 manner. The Department and Authority may recommend denial of an
12551230 application where the applicant or licensee made misstatements,
12561231 omissions, misrepresentations or untruth s in the application or in
12571232 connection with the background investigation of the applicant . This
12581233 type of conduct may be grounds for administrative actio n against the
12591234 applicant or licensee. Typos and scrivener errors shall n ot be
12601235 grounds for denial.
12611236 L. A licensed medical marijuana business premises shall be
12621237 subject to and responsible for compl iance with applicable provisions
12631238 consistent with the zoning wh ere such business is located as
12641239 described in the most recent versions of the Oklahoma Uniform
12651240 Building Code, the International Building Code and the International
12661241 Fire Code, unless granted an ex emption by a municipality or
12671242 appropriate code enforcement enti ty.
12681243 M. All medical marijuana business , medical marijuana research
12691244 facility, medical marijuana education facility and medical marijuana
12701245 waste disposal facility licensees shall pay the relevant l icensure
12711246 fees prior to receiving licensure to operate.
12721247 N. A medical marijuana business, medical marijuana research
12731248 facility, medical marijuana education facility or m edical marijuana
12741249 waste disposal facility that attempts to renew its license after the
12751250 expiration date of the license shall pay a late renewal fee in an
12761251 amount to be determined by the Department to reinstate the license .
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13041278 Late renewal fees are nonrefundable . A license that has been
13051279 expired for more than ninety (90) days shall not be renewed.
13061280 O. No medical marijuana business, medical marijuana research
13071281 facility, medical marijuana education facility or medical marijuana
13081282 waste disposal facility shall possess, sell or transfer medical
13091283 marijuana or medical marijuana products without a valid, unexpi red
13101284 license issued by the Department.
13111285 SECTION 3. AMENDATORY 63 O.S. 2 021, Section 427.16, is
13121286 amended to read as follows:
13131287 Section 427.16 A. There is hereby created a medical marijuana
13141288 transporter license as a category of the medical marijua na business
13151289 license.
13161290 B. Pursuant to Section 424 o f this title, the Oklahoma Medical
13171291 Marijuana Authority shall issue a medical marijuana transporter
13181292 license to licensed medical marijuana commercial growers, processors
13191293 and dispensaries upon issuance of such licenses and upon each
13201294 renewal. Medical marijuana transporter licenses shall als o be
13211295 issued to licensed med ical marijuana research facilities, medical
13221296 marijuana education facilities and medical marijuana testing
13231297 laboratories upon issuance of such license s and upon each renewal.
13241298 C. A Aside from a medical marijuana transporter license issued
13251299 to a licensed medica l marijuana dispensary, medical marijuana
13261300 commercial grower, medical marijuana processor, medical marijuana
13271301 research facility, or medical marijuana education facility in
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13551328 conjunction with its business license, a medical marijuana
13561329 transporter license may also be issued to qualifying applicants who
13571330 are registered with the Oklahoma Secretary of State and otherwise
13581331 meet the requirements for a medical mari juana business license set
13591332 forth in the Oklahoma Medical Marijuana and Patient Prote ction Act
13601333 and the requirements set forth in this section to provide logist ics,
13611334 distribution and storage of medical marijuana, medical marijuana
13621335 concentrate and medical mari juana products. The license, when not
13631336 issued in conjunction with a medical marijuan a dispensary, medical
13641337 marijuana commercial grower, medical marijuana processor, medical
13651338 marijuana research facility , or medical marijuana education facility
13661339 license, shall be known as a "medical marijuana wholesaler license"
13671340 or "wholesaler license".
13681341 D. A medical marijuana transporter license or wholesaler
13691342 license shall be valid for one (1) year and shall not be transf erred
13701343 with a change of ownership . A licensed medical mar ijuana
13711344 transporter or wholesaler shall be responsible for all medical
13721345 marijuana, medical marijuana concentrate and medical marijuana
13731346 products once the transpo rter or wholesaler takes control of the
13741347 product.
13751348 E. A transporter license or wholesaler license shall be
13761349 required for any person or entity to transpor t or transfer medical
13771350 marijuana, medical marijuana concentrate or medical marijuana
13781351 products from a licensed medical marijuana business to another
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14061378 medical marijuana business, or from a medical mar ijuana business to
14071379 a medical marijuana research facility or medical marijuana education
14081380 facility.
14091381 F. A medical marijuana transporter or wholesaler licensee may
14101382 contract with multiple lic ensed medical marijuana businesses to
14111383 package, store, and transport medical marijuana, medical marijuana
14121384 concentrate, and medical marijuana products on its beh alf in the
14131385 State of Oklahoma.
14141386 G. A medical marijuana transporter or wholesaler may maintain a
14151387 licensed premises to temporarily store medical marijuana, medical
14161388 marijuana concentrate and medical marijuana products and to use as a
14171389 centralized packaging and distribution point. A medical marijuana
14181390 transporter or wholesaler and its employees may broker, package,
14191391 store and, market, or distribute medical marijuana, medical
14201392 marijuana concentrate and medical marijuana products from the
14211393 licensed premises in the State of Oklahoma on behalf of another
14221394 medical marijuana business li censee. The licensed premises of the
14231395 wholesaler shall meet all security requirements applicable to a
14241396 medical marijuana business.
14251397 H. A medical marijuana transporter or wholesaler licensee shall
14261398 use the seed-to-sale tracking system developed pursuant t o the
14271399 Oklahoma Medical Marijuana and Pa tient Protection Act to track all
14281400 medical marijuana, medical ma rijuana concentrate, and medical
14291401 marijuana products received, packaged, stored, or distributed by a
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14571428 transporter or wholesaler and to create shipping manifests
14581429 documenting the transport of medical marijuana, medical marijuana
14591430 concentrate and medical marijuana products throughout the state.
14601431 I. A licensed medical marijuana transporter or wholesaler may
14611432 maintain and operate one or more warehouses in the state to handle
14621433 medical marijuana, medical marijuana concentrate and medical
14631434 marijuana products. Each location shall be registered and inspected
14641435 by the Authority prior to its use.
14651436 J. With the exception of a lawful transfer between medical
14661437 marijuana businesses who are licens ed to operate at the same
14671438 physical address, all medical marijuana, medical marijuana
14681439 concentrate and medical marijuana products shall be transported:
14691440 1. In vehicles equipped with Global Positioning System (GPS)
14701441 trackers;
14711442 2. In a locked container and clea rly labeled "Medical Marijuana
14721443 or Derivative"; and
14731444 3. In a secured area of the vehicle that is not accessible by
14741445 the driver during transit.
14751446 K. A transporter agent may possess marijuana at any location
14761447 while the transporter agent is transferring marijuana to or from a
14771448 licensed medical marijuana business, licensed medical marijuana
14781449 research facility or licensed medical marijuana ed ucation facility.
14791450 The Department shall administer and enforce the provisions of this
14801451 section concerning transportation.
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15081478 L. The Authority shall issue a tra nsporter agent license to
15091479 individual agents, employees, officers or owners of a transporter or
15101480 wholesaler license in order for the individual employees, officers,
15111481 or owners to qualify to transport medical marijuana , medical
15121482 marijuana concentrate or medical marijuana products.
15131483 M. The annual fee for a transporter a gent license shall b e
15141484 Twenty-five Dollars ($25.00) and shall be paid by the transporter
15151485 license holder or wholesaler licensee or the individual applicant .
15161486 Transporter license reprints shall be Twe nty Dollars ($20.00).
15171487 N. The Authority shall issue each transporter agent a regi stry
15181488 identification card within thirty (30) days of receipt of:
15191489 1. The name, address and date of birth of the person;
15201490 2. Proof of current Oklahoma residency;
15211491 3. Proof of identity as required for a medical marijuana
15221492 business license;
15231493 4. Possession of a valid Oklahoma driv er license;
15241494 5. Verification of employment with a licensed transporter;
15251495 6. The application and affiliated fee; and
15261496 7. A copy of the criminal background ch eck conducted by the
15271497 Oklahoma State Bureau of Investigation, paid for by t he applicant.
15281498 O. If the transporter agent application is denied, the
15291499 Department shall notify the tra nsporter or wholesaler in writing of
15301500 the reason for denying the registry identifi cation card.
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15581527 P. A registry identification card for a transporter shall
15591528 expire one (1) year after the date of issuance or upon notification
15601529 from the holder of the transporter or wholesaler license that the
15611530 transporter agent ceas es to work as a transporter.
15621531 Q. The Department may revoke the registry identification card
15631532 of a transporter agent who knowingl y violates any provision of this
15641533 section, and the transporter or wholesaler is subject to any other
15651534 penalties established by law for the violation.
15661535 R. The Department may revoke or suspend the transporter license
15671536 of a transporter or wholesaler that the Department determines
15681537 knowingly aided or facilitated a violation of any provision of this
15691538 section, and the license holder is subject to any other penalties
15701539 established in law for the violation.
15711540 S. Vehicles used in the transport of medical marijuana or
15721541 medical marijuana product shall be:
15731542 1. Insured at or above the legal requirements in Oklahoma;
15741543 2. Capable of securing medical marijua na during transport; and
15751544 3. In possession of a shipping container as defined in Section
15761545 427.2 of this title capable of securing all transported products.
15771546 T. Prior to the transport of any medical marijuana , medical
15781547 marijuana concentrate or medical marijuana products, an inventory
15791548 manifest shall be prepared at the origination point of the medical
15801549 marijuana. The inventory manifest shall include the following
15811550 information:
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16091577 1. For the origination point of the medical marijuana:
16101578 a. the licensee number for the commercial grower,
16111579 processor or dispensary,
16121580 b. address of origination of transport, and
16131581 c. name and contact information for the originating
16141582 licensee;
16151583 2. For the end recipient license holder of the medical
16161584 marijuana:
16171585 a. the license number for the dispensar y, commercial
16181586 grower, processor, research facility or education
16191587 facility destination,
16201588 b. address of the destination, and
16211589 c. name and contact information for the destination
16221590 licensee;
16231591 3. Quantities by weight or unit of each type of medical
16241592 marijuana product contained in transport;
16251593 4. The date of the transport and the approximate time of
16261594 departure;
16271595 5. The arrival date and estimate d time of arrival;
16281596 6. Printed names and signatures of the personnel accompanying
16291597 the transport; and
16301598 7. Notation of the transpo rting licensee.
16311599 U. 1. A separate inventory manifest shall be prepared for each
16321600 licensee receiving the medical marijuana.
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16601627 2. The transporter agent shall provide the other medical
16611628 marijuana business with a copy of the inventory manifest at the time
16621629 the product changes hands and afte r the other licensee prints his or
16631630 her name and signs the inventory manifest.
16641631 3. A receiving licensee shall refuse to accept any medical
16651632 marijuana, medical marijuana concentrate or medical marijuana
16661633 products that are not accompanied by an inventory manife st.
16671634 4. Originating and receiving licensees shall maintain copies of
16681635 inventory manifests and logs of quantities of medical marijuana
16691636 received for seven (7) years from date of receipt.
16701637 SECTION 4. This act shall become effective November 1, 2022.
1671-COMMITTEE REPORT BY: COMMITTEE ON BUSINESS, COMMERCE AND TOURISM
1672-April 14, 2022 - DO PASS AS AMENDED
1638+Passed the House of Representatives the 23rd day of March, 2022.
1639+
1640+
1641+
1642+
1643+ Presiding Officer of the House
1644+ of Representatives
1645+
1646+
1647+Passed the Senate the ___ day of __________, 2022.
1648+
1649+
1650+
1651+
1652+ Presiding Officer of the Senate
1653+
1654+