Req. No. 8642 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 STATE OF OKLAHOMA 2nd Session of the 58th Legislature (2022) HOUSE BILL 3727 By: West (Josh) AS INTRODUCED An Act relating to medical marijuana; amending 63 O.S. 2021, Section 427.3, which relates to the Oklahoma Medical Marijuana and Patient Protection Act; expanding scope of powers and du ties; and declaring an emergency. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 63 O .S. 2021, Section 427.3, is amended to read as follo ws: Section 427.3 A. There is hereby created the Oklahoma Medical Marijuana Authority within the State Department of Health which shall address issues related to the medical marijuana program in Oklahoma including, but not limited to, the issuance of pat ient licenses and medical marijuana business licens es, and the dispensing, cultivating, processing, testing, transporting, storage, research, and the use of and sale of medical marijuana pursuant t o the Oklahoma Medical Marijuana and Patient Protection Act . Req. No. 8642 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 B. The Department shall provide support staff to perform designated duties of the Authority . The Department shall also provide office space for meetings of the Authority. C. The Department shall im plement the provisions o f the Oklahoma Medical Marijua na and Patient Protection Act consistently with the voter-approved State Question No. 788, Initiative Petition No. 412, subject to the provisions o f the Oklahoma Medical Marijuana and Patient Protection Act. D. The Department shall exercise its respective powers and perform its respective duties and funct ions as specified in the Oklahoma Medical Marijuana and Patient Protection Act and this title including, but not limited to, the following: 1. Determine steps the state shall take, whether administrative or legislative in nature, to ensure that research o n marijuana and marijuana products is being conducted for public purposes, including the advancement of: a. public health policy and public safety poli cy, b. agronomic and horticultural best practices, an d c. medical and pharmacopoeia best practices; 2. Contract with third-party vendors and other governmental entities in order to carry out the respective duties and functions as specified in the Oklahoma Medical Marijuana and Patient Protection Act; Req. No. 8642 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 3. Upon complaint or upon its own motion and upon a compl eted investigation, levy fines as prescribed i n applicable laws, rules and regulations and suspend, revoke, or not renew licenses pursuant to applicable laws, rules, and regulations; 4. Issue subpoenas for the appearance or production of persons, records, and things in connection with disciplinary or contested cases considered by the Department; 5. Apply for injunctive or declaratory relief to enforce t he provisions of applicable laws, rules , and regulations; 6. Inspect and examine all licensed premises of medical marijuana businesses, research facilities , education facilities and waste disposal facilities in which medical marijuana is cultivated, manufactured, sold, stored, transported, tested , distributed, or disposed of; 7. Upon action by the federal government by which the production, sale, and use of marijuana in Oklahoma does not violate federal law, work with the Oklahoma State Banking Department and the State Treasurer to develop good practice s and standards for banking and finance for medical mar ijuana businesses; 8. Establish internal control procedures for licenses including accounting procedures, reporting procedures and personnel policies; 9. Establish a fee schedule and collect fees f or performing background checks as the Commissioner deems appropriate. The fees Req. No. 8642 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 charged pursuant to this paragraph shall not exceed the actual cost incurred for each background check; 10. Establish a fee schedule and collect fees for material changes requested by the licensee; and 11. Establish regulations , which require a medical marijuana business to submit information to the Oklahoma Medical Marijuana Authority, deemed reasonably necessary to assist the Authority in the prevention of diversion of m edical marijuana by a licensed medical marijuana business . Such information required by the Authority may include, but shall not be limited to: a. the square footage of the licensed premise s, b. a diagram of the licensed premises, c. the number and type of lights at the licensed medical marijuana commercial growe r business, d. the number, type and production capacity of equipment located at the medical marijuana processing facility, e. the names, addresses and t elephone numbers of employees or agents of a medical marijuana business, f. employment manuals and stand ard operating procedures for the medical marijuana business, and g. any other information as the Authority reasonably deems necessary; and 12. Declare and establish a temporary moratorium on the approval and issuance of new medical marijuana business licenses, Req. No. 8642 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 authorized in Section 427.14 of thi s title, for an amount of time the Authority determines necessary. SECTION 2. It being immediately necessary for the preservation of the public peace, health or safety, an emergency is hereby declared to exist, by reason whereof this act shall take effect and be in full force from and after its passage an d approval. 58-2-8642 GRS 12/28/21