OK
Oklahoma House Bill HB3891

Oklahoma 2022 Regular Session

Oklahoma House Bill HB3891 Compare Versions

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28-ENGROSSED HOUSE
29-BILL NO. 3891 By: Townley, Grego, West (Josh)
30-and Roe of the House
29+HOUSE OF REPRESENTATIVES - FLOOR VERSION
30+
31+STATE OF OKLAHOMA
32+
33+2nd Session of the 58th Legislature (2022)
34+
35+
36+COMMITTEE SUBSTITUTE
37+FOR
38+HOUSE BILL NO. 3891 By: Townley and Grego of the
39+House
3140
3241 and
3342
3443 Weaver of the Senate
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48+
49+COMMITTEE SUBSTITUTE
3950
4051 An Act relating to medical marijuana; amending 63
4152 O.S. 2021, Section 422, which relates to medical
4253 marijuana commercial grower licensing; prohibiting
4354 medical marijuana commercial grow operations from
4455 being located near public schools; providing for the
4556 continuation of licensure under certain
4657 circumstances; defining term; providing an exception
4758 to certain defined term; and providing an effective
4859 date.
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5465 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
5566 SECTION 1. AMENDATORY 63 O.S. 202 1, Section 422, is
5667 amended to read as follows:
5768 Section 422. A. The State Department of Health shall, within
5869 thirty (30) days of pa ssage of this initiative, make available on
5970 its website in an easy-to-find location an application for a
60-commercial grower license. The application fee shall be Two
61-Thousand Five Hundred Dollars ($2,500.0 0). A method of payment
62-shall be provided on the website of the Department. The State
63-Department of Health shall have ninety (90) days to review the
64-application; approve, reject or deny the application; and mail the
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98+commercial grower license. The application fee shall be Two
99+Thousand Five Hundred Dollars ($2,500.0 0). A method of payment
100+shall be provided on the w ebsite of the Department. The State
101+Department of Health shall have ninety (90) days to review the
102+application; approve, reject or deny the application; and mail the
91103 approval, rejection or denial letter stating the reasons for the
92104 rejection or denial to the applicant.
93105 B. The State Department of Health shall approve all
94106 applications which me et the following criteria:
95107 1. The applicant must be twenty-five (25) years of age or
96108 older;
97109 2. The applicant, if applying as an individual, must show
98110 residency in the State of Oklahoma;
99111 3. All applying entities must show that all members, managers,
100112 and board members are Oklahoma residents ;
101113 4. An applying entity may show ownership of non-Oklahoma
102114 residents, but that p ercentage ownership may not exceed twenty -five
103115 percent (25%);
104116 5. All applying individuals or entities must be registered to
105117 conduct business in the State of Oklahoma; and
106118 6. All applicants must disclose all ownership interests in the
107119 commercial grower op eration.
108120 Applicants with a nonviolent felony conviction in the last two
109121 (2) years, any other felony conviction in the last five (5) years,
110-inmates in the custody of the Depart ment of Corrections or any
111-person currently incarcerated shall not qualify for a commercial
112-grower license.
113-C. A licensed commercial grower may sell marijuana to a
114-licensed dispensary or a licensed processor. Further, sales by a
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149+inmates in the custody of the Depart ment of Corrections or any
150+person currently incarcerated shall not qualify for a commercial
151+grower license.
152+C. A licensed commercia l grower may sell marijuana to a
153+licensed dispensary or a licensed processor. Further, sales by a
141154 licensed commercial growe r shall be considered wholesale sales and
142155 shall not be subject to taxation. Under no circumstances may a
143156 licensed commercial grower sell marijuana directly to a licensed
144157 medical marijuana patient or licensed caregiver . A licensed
145158 commercial grower may on ly sell at the wholesale level to a license d
146159 dispensary, a licensed grower or a licensed processor. If the
147160 federal government lifts restrictions on buying and selling
148161 marijuana between states, then a licensed commercial grower would be
149162 allowed to sell and buy marijuana wholesale from, or to, a n out-of-
150163 state wholesale provider. A licensed commercial growe r shall be
151164 required to complete a monthly yield and sales report to the State
152165 Department of Health . This report shall be due on the fifteenth of
153166 each month and provide reporting on the previous month . This report
154167 shall detail the amount of marijuana harvested in pounds, the amount
155168 of drying or dried marijuana on hand, the amount of marijuana sold
156169 to licensed processors in pounds, the amount of waste in po unds, and
157170 the amount of marijuana sold t o licensed dispensaries in pounds.
158171 Additionally, this report shall show total wholesale sal es in
159172 dollars. The State Department of Health shall have oversight and
160-auditing responsibilities to ensure that all marijua na being grown
161-by licensed commercial growers is accounted for.
162-D. There shall be no limits on how much marijuana a licensed
163-commercial grower can grow.
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200+auditing responsibilities to ensure that all marijua na being grown
201+by licensed commercial growers is accounted for.
202+D. There shall be no limits on how much marijuana a licensed
203+commercial grower can grow.
190204 E. Beginning on the effective date of this act, licensed
191205 commercial growers shall be authorized to pa ckage and sell pre-
192206 rolled marijuana to licen sed medical marijuana dispensaries . The
193207 products described in this subsection shall co ntain only the ground
194208 parts of the marijuana plant and shall not include marijuana
195209 concentrates or derivatives . The total net weight of each pre -roll
196210 packaged and sold by medical marijuana commercial growe rs shall not
197211 exceed one (1) gram. These products must be tested, packaged and
198212 labeled in accordance with Oklahoma law and rules promulga ted by the
199213 State Commissioner of Healt h.
200214 F. 1. The location of any licensed medical marijuana processor
201215 or licensed medical marijuana commercial grow operation is
202216 specifically prohibited within one thousand (1,000) feet of any
203217 public school. The distance indicated in this subsection shall b e
204218 measured from the nearest property line of the public school to the
205219 nearest perimeter wall of the license d premises of the medical
206220 marijuana processor or medical marijuana commercial grower.
207221 2. If a licensed medical marijuana processor or licensed
208222 medical marijuana commercial grow operation was established within
209223 one thousand (1,000) feet of a public school at the time of initial
210-licensure, the medical marijuana processor or medical marijuana
211-commercial grower licensee shall be permitted to continue oper ating
212-at the licensed premises in the same manner and not be subject to
213-nonrenewal or revocation due to subsequent events or changes in
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251+licensure, the medical marijuana processor or medical marijuana
252+commercial grower licensee shall be permitted to continue oper ating
253+at the licensed premises in the same manner and not be subject to
254+nonrenewal or revocation due to subsequent events or changes in
240255 regulations occurring after licensure that would render the medical
241256 marijuana processor or medical marijuana commercial grower in
242257 violation of the provisions of this subsection. If any public
243258 school is established within one thousand (1,000) feet of any
244259 medical marijuana processor or medical marijuana commercial grow
245260 operation after such medical marijuana processor or medical
246261 marijuana commercial grower has been licensed, the provisions of
247262 this subsection shall not be a deterrent to th e renewal of such
248263 license or warrant revocation of the license.
249264 3. As used in this subsection, "public school" means all free
250265 schools supported by public taxation, and shall include grades
251266 prekindergarten through twelve a nd technology center schools that
252267 provide vocational and technical instruction for high school
253268 students who attend the technology center school on a tuition -free
254-basis. The term public school shall include property used for
269+basis. The term "public school" shall include property used for
255270 athletic events including sta diums, athletic facilities, ballparks
256271 and fields that are owned, used, or operated by a public school.
257-The term public school shall not include private schools, home
272+The term "public school" shall not include private schools, home
258273 schools, or virtual schools. For purposes of this subsection, a
259274 property owned, used, or operated by a public school tha t is not
260-used for classroom instruction on core curriculum, such as an
261-administrative building , shall not constitute a p ublic school unless
262-such property is located on the same campus as a building used for
263-classroom instruction on core curriculum.
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302+used for classroom instruction on core curriculum, such as an
303+administrative building , shall not constitute a p ublic school unless
304+such property is located on the same campus as a building used for
305+classroom instruction on core curriculum.
290306 SECTION 2. This act shall become effective November 1, 2022.
291-Passed the House of Representatives the 23rd day of March, 2022.
292307
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296- Presiding Officer of the House
297- of Representatives
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300-Passed the Senate the ___ day of __________, 2022.
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305- Presiding Officer of the Senate
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308+COMMITTEE REPORT BY: COMMITTEE ON ALCOHOL, TOBACCO AND CONTROLLED
309+SUBSTANCES, dated 03/03/2022 - DO PASS, As Amended and Coauthored.