An Act
ENROLLED SENATE
BILL NO. 1543 By: Treat, Thompson, and Rosino
of the Senate
and
Echols and Fetgatter of the
House
An Act relating to medical marijuana; amending 63
O.S. 2021, Sections 420, as last amended by Section
1, Chapter 553, O.S.L. 2021, 421, 422, 423, 425, as
last amended by Section 5, Chapter 553, O.S.L. 2021,
426.1, as last amended by Section 7, Chapter 553,
O.S.L. 2021, and 427.2, as last amended by Section 8,
Chapter 553, O.S.L. 2021, which relate to medical
marijuana; conforming language; updating statutory
language; amending 63 O.S. 2021, Section 427.3, as
last amended by Section 9, Chapter 553, O.S.L. 2021,
which relates to Oklahoma Medical Marijuana
Authority; making Authority separate and distinct
agency; directing Author ity and Executive Director of
the Authority to continue to exercise statutory
powers, duties, and responsibilit ies; providing for
continuation of rights and privileges of certain
licenses subject to certain condition; providing for
succession to contractua l rights and
responsibilities; requiring Executive Director to
adopt and enforce certain rules and authorizing
further rulemaking authority; authorizing execution
of certain agreement; requiring consent of employees
prior to transfer; providing certain pro tections
relating to salary, leave, time earned, and benefits;
requiring transfer of personnel to be coordinate d
with Office of Management and Enterprise Services;
requiring Authority to pay certain expenses;
abolishing certain division within State Depart ment
of Health upon completion of transfer; directing
certain coordination; providing for certain
transfers; amending 63 O.S. 2021, Section 427.4, as
ENR. S. B. NO. 1543 Page 2
amended by Section 10, Chapter 553, O.S.L. 2021,
which relates to Executive Director of the Authority;
providing for appointment of Executive Director;
modifying enforcement powers of Authority; requiring
investigators to meet certain training requirements;
authorizing certain arrests and assistance of law
enforcement; allowing Executive Director to employ or
contract with attorneys; conforming language;
updating statutory language; amending 63 O.S. 2021,
Sections 427.6, as last amended by Section 11,
Chapter 553, O.S.L. 2021, 427.9, 427.10, 427.11,
427.13, as last amended by Section 16, Chapter 553,
O.S.L. 2021, 427.14, as last amended by Section 17,
Chapter 553, O.S.L. 2021, 427.16, as last amended by
Section 18, Chapter 553, O.S.L. 2021, 427.17, 427.18,
427.19, 427.20, and 427.22, which relate to medical
marijuana; conforming language; updating statutory
language; authorizing Executive Director to conduct
administrative proceedings; prescribing procedures;
authorizing delegation of functions to administrativ e
law judges; amending 63 O.S. 2021, Section 427.23,
which relates to medical marijuana; removing
provisions relating to Medical Marijuana Advisory
Council; conforming language; updating statutory
language; amending 63 O.S. 2021, Sections 427.24 and
430, as last amended by Section 28, Chapter 553,
O.S.L. 2021, which relate to medical marijuana;
conforming language; updating statutory language; and
providing an effective date.
SUBJECT: Medical marijuana
BE IT ENACTED BY THE PEOPLE OF T HE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 63 O.S. 2021, Section 4 20, as last
amended by Section 1, Chapter 553, O.S.L. 2021, is amended to read
as follows:
Section 420. A. A person in possession of a state-issued
medical marijuana patient license shall be able to:
ENR. S. B. NO. 1543 Page 3
1. Consume marijuana legally;
2. Legally possess up to th ree (3) ounces or eighty-four and
nine-tenths (84.9) grams of marijuana on their person;
3. Legally possess six mature marijuana plants and the
harvested marijuana therefrom;
4. Legally possess six seedli ng plants;
5. Legally possess one (1) ounce or tw enty-eight and three-
tenths (28.3) grams of concentrated marijuana;
6. Legally possess sevent y-two (72) ounces or two thousand
thirty-seven and six-tenths (2,037.6) grams of edible marijuana;
7. Legally possess up to eight (8) ounces or two hundred
twenty-six and four-tenths (226.4) grams of marijuana in their
residence; and
8. Legally possess s eventy-two (72) ounces of topical
marijuana.
B. Possession of up to one and one-half (1.5) ounces or forty -
two and forty-five one-hundredths (42.45) grams of ma rijuana by
persons who can state a medical condition, but are not in possession
of a state-issued medical marijuana patient license, shall
constitute a misdemeanor offense not subject to imprisonment but
punishable by a fine not to exceed Four Hundred Doll ars ($400.00).
Any law enforcement officer who comes in contact with a person in
violation of this subsection and who is satisfied as to the identity
of the person, as well as any other pertinent informatio n the law
enforcement officer deems necessary, sh all issue to the person a
written citation containing a notice to answer the charge against
the person in the appropriate court. Upon receiving the written
promise of the alleged violator to answer as speci fied in the
citation, the law enforcement officer shall release the person upon
personal recognizance unless there has been a violation of anoth er
provision of law.
ENR. S. B. NO. 1543 Page 4
C. A regulatory office The Oklahoma Medical Marijuana Authority
shall be established under the State Department of Health which
shall receive applications for medical marijuana patient and
caregiver license recipients, dispensaries, g rowers and processors
within sixty (60) days of the passage o f this initiative.
D. The State Department of Heal th Authority shall, within
thirty (30) days of pa ssage of this initiative, make available on
its website, in an easy-to-find location, an applic ation for a
medical marijuana patient license. The license s hall be valid for
two (2) years. The biannual appl ication fee shall be One Hundred
Dollars ($100.00), or Twenty Dollars ($20.00) for individuals on
Medicaid, Medicare or SoonerCare. The methods of payment shall be
provided on the website of the Department Authority. Reprints of
the medical marijuana pat ient license shall be Twenty Dollars
($20.00).
E. A short-term medical marijuana patient license application
shall also be made available on th e website of the State Department
of Health Authority. A short-term medical marijuana patient license
shall be granted to any applicant who can meet the require ments for
a two-year medical marijuana patient license, but whose physician
recommendation for medical marijuana is only valid for sixty (60)
days. Short-term medical marijuana patient licenses shall be iss ued
for sixty (60) days. The fee for a short -term medical marijuana
patient license, reprints of the short-term medical marijuana
patient license and the procedure for extending or renewing the
license shall be determined by the Department Executive Director of
the Authority.
F. A temporary medical mar ijuana patient license application
shall also be available on the website of the State Department of
Health Authority for residents of other states. Tempor ary medical
marijuana patient licenses shall be gra nted to medical marijuana
license holders from ot her states, provided that such states have
state-regulated medical marijuana programs and app licants can prove
they are members of such programs. Temporary medical marijuana
patient licenses shall be issued for thirty (30) days. The cost for
a temporary medical marijuana patient license shall be One Hundred
Dollars ($100.00). Renewal shall be granted with resubmission of a
new application. No additional c riteria shall be required.
ENR. S. B. NO. 1543 Page 5
Reprints of the tempora ry medical marijuana patient license shall be
Twenty Dollars ($20.00).
G. Medical marijuana patient license applicants shall submit
their applications to the State Department of Health Authority for
approval. The applicant shall be a resident of Oklahoma this state
and shall prove residency by a valid driver license, utility bills,
or other accepted methods.
H. The State Department of Health Authority shall review the
medical marijuana patient license ap plication; approve, reject or
deny the application; and mail the approval, rejection or denial
letter stating any reasons for the rejection or denial to the
applicant within fourteen (14) business days of receipt of the
application. Approved applicants sh all be issued a medical
marijuana patient license w hich shall act as proof of his or her
approved status. Applications may only be rejected or denied based
on the applicant not meeting stated criteria or improper completion
of the application.
I. The State Department of Health Authority shall make
available, both on its website and through a telephone verification
system, an easy method to validate the authenticity of the medical
marijuana patient license by the unique 24-character identification
number.
J. The State Department of Health Authority shall ensure that
all medical marijuana patient and c aregiver records and information
are sealed to protect the privacy of medical marijuana patient
license applicants.
K. A caregiver license shall be made available for qualified
caregivers of a medical marijua na patient license holder who is
homebound. As provided in Section 427.11 of this title, the
caregiver license shall provide the caregiver the same rights as the
medical marijuana patient licensee including the ability to possess
marijuana, marijuana prod ucts and mature and immature plants
pursuant to the Oklahoma Medical Marijuana and Patient Protection
Act, but excluding the ability to use marijuana or marijuana
products unless the caregiver has a medical marijuana patient
license. Applicants for a care giver license shall submit proof of
the license status and homebound status of the medical marijuana
ENR. S. B. NO. 1543 Page 6
patient and proof that the applicant is the designee of the medical
marijuana patient. The applicant shall also submit proof that he or
she is eighteen (18) years of age or older and proof of his or h er
Oklahoma state residency.
L. All applicants for a medical marijuana patient license shall
be eighteen (18) years of age or older. A special excep tion shall
be granted to an applicant under the age of eight een (18); however,
these applications shall b e signed by two physicians and the parent
or legal guardian of the applicant.
M. All applications for a medical marijuana patient license
shall be signed by an Oklahoma physician licensed by and in good
standing with the State Board of Medical Licensure and Supervision
or, the State Board of Osteopathic Examiners, or the Board of
Podiatric Medical Examiners. There are no qualifying conditions. A
medical marijuana patient license shall be recommended according to
the accepted standards a reasonable and p rudent physician would
follow when recommending or approving any medication. No physician
may be unduly stigmatized or harassed for signing a medical
marijuana patient license application.
N. Counties and cities may enact medical marijuana guidelines
allowing medical marijuana patient license holders or caregiver
license holders to exceed the state lim its set forth in subsection A
of this section.
SECTION 2. AMENDATORY 63 O.S. 202 1, Section 421, is
amended to read as follows:
Section 421. A. The State Department of He alth Oklahoma
Medical Marijuana Authority shall, within thirty (30) days of
passage of this initiative, make available on its website in an
easy-to-find location an application for a medical marijuana
dispensary license. The application fee shall be Two T housand Five
Hundred Dollars ($2,500.00). A method of payment shall be provided
on the website of the Department Authority. Dispensary applicants
must all be residents of Oklahoma this state. Any entity applying
for a dispensary license must be owned by an Oklahoma resident a
resident of this state and must be registered to do business in
Oklahoma this state. The Department Authority shall have ninety
(90) business days to review the application; approve, reject or
ENR. S. B. NO. 1543 Page 7
deny the application; and mail the approval, rejection or denial
letter stating reasons for the rejection or denial to the applicant.
B. The State Department of Healt h Authority shall approve all
applications which meet the following criteria:
1. The applicant must be twenty-five (25) years of age or
older;
2. The applicant, if applying as an individual, must show
residency in the State of Oklahoma this state;
3. All applying entities must show that all members, managers,
and board members are Oklahoma residents of this state;
4. An applying entity may show ownership of non-Oklahoma
nonstate residents, but that percentage ownership may not exceed
twenty-five percent (25%);
5. All applying individuals or entities must be registered to
conduct business in the State of Oklahoma this state; and
6. All applicants must disclose all ownership interests in the
dispensary.
Applicants with a nonviolent felony conviction in the last two
(2) years, any other felony conviction in the last five (5) years,
inmates in the custody of the Department of Corr ections or any
person currently incarcerated shall not qualify for a medical
marijuana dispensary license.
C. Licensed medical marijuana dispensaries shall be required to
complete a monthly sales report to the State Department of Health
Authority. This report shall be due on the fifteenth of each month
and provide reporting on the previous month. This report shall
detail the weight of marijuana purchased at wholesale and the weight
of marijuana sold to licensed medical marijuana patients and
licensed caregivers and account for any waste. The report shall
show total sales in dollars, tax collected in dollars, and tax due
in dollars. The State Department of Health Authority shall have
oversight and auditing responsibilities to ensure that all marijuana
being grown is accounted for.
ENR. S. B. NO. 1543 Page 8
D. Only a licensed medical marijuana dispensary may conduct
retail sales of marijuana or marijuana d erivatives. Beginning on
the effective date of this act, licensed medical marijuana
dispensaries shall be authorized to packag e and sell pre-rolled
marijuana to licensed medical marijuana patients and licensed
caregivers. The products described in this s ubsection shall contain
only the ground parts of the marijuana plant and shall not include
marijuana concentrates or derivative s. The total net weight of each
pre-roll packaged and sold by a medical marijuana dispensary shall
not exceed one (1) gram. These products shall be tested, packaged
and labeled in accordance with Oklahoma state law and rules
promulgated by the State Commissioner of Health Executive Director
of the Oklahoma Medical Marijuana Authority.
E. No medical marijuana dispensary shall offe r or allow a
medical marijuana patient licensee, caregiver licensee or other
member of the public to handle or otherwise have p hysical contact
with any medical marijuana not contained in a sealed or separate
package. Provided, such prohibition shall not p reclude an employee
of the medical marijuana dispensary from handling loose or
nonpackaged medical marijuana to be placed in pa ckaging consistent
with the Oklahoma Medical Marijuana and Patient Protection Act and
the rules promulgated by the Authority Executive Director for the
packaging of medical marijuana for retail sale. Provided, further,
such prohibition shall not prevent a medical marijuana dispensary
from displaying samples of its medical marijuana in separate display
cases, jars or other con tainers and allowing medical marijuana
patient licensees and caregiver licensees the ability to handle or
smell the various samples a s long as the sample medical marijuana is
used for display purposes only and is not offered for retail sale.
SECTION 3. AMENDATORY 63 O.S. 20 21, Section 422, is
amended to read as follows:
Section 422. A. The State Department of He alth Oklahoma
Medical Marijuana Authority shall, within thirty (30) days of
passage of this initiative, make available o n its website in an
easy-to-find location an application for a commercial grower
license. The application fee shall be Two Thousand Five Hundred
Dollars ($2,500.00). A method of payment shall be provided on the
website of the Department Authority. The State Department of Health
ENR. S. B. NO. 1543 Page 9
Authority shall have ninety (90) days to review the application;
approve, reject or deny the application; and mail the approval,
rejection or denial letter stating the reasons for the rejection or
denial to the applicant.
B. The State Department of Health Authority shall approve all
applications which meet the following criteria:
1. The applicant must be twenty-five (25) years of age or
older;
2. The applicant, if applying as an individual, must show
residency in the State of Oklahoma this state;
3. All applying entities m ust show that all members, managers,
and board members are Oklahoma residents of this state;
4. An applying entity may show ownership of non-Oklahoma
nonstate residents, but that percentage ownership may not ex ceed
twenty-five percent (25%);
5. All applying individuals or entities must be registered to
conduct business in the State of Oklahom a this state; and
6. All applicants must disclose all o wnership interests in the
commercial grower operation.
Applicants with a nonviolent felony conviction in the last two
(2) years, any other felony conviction in the last five (5) years,
inmates in the custody of the Department of Corrections or any
person currently incarcerated shall not qualify for a commercial
grower license.
C. A licensed commercial grower may se ll marijuana to a
licensed dispensary or a licensed processor. Further, sales by a
licensed commercial grower shall be considered wholesale sal es and
shall not be subject to taxation. Under no circumstances may a
licensed commercial grower sell marijuana directly to a licensed
medical marijuana patient or licensed caregiver. A licensed
commercial grower may only sell at the wholesale level to a licensed
dispensary, a licensed grower or a licensed processor . If the
federal government lifts restrictions o n buying and selling
ENR. S. B. NO. 1543 Page 10
marijuana between states, then a licensed commercial grower would be
allowed to sell and buy marijuana wholesale from, or t o, an out-of-
state wholesale provider. A licensed commercial gro wer shall be
required to complete a monthly yie ld and sales report to the State
Department of Health Authority. This report shall be due on the
fifteenth of each month and provide reporting on the previous month.
This report shall detail the amount of marijuana harvested in
pounds, the amount of dryi ng or dried marijuana on hand, the amount
of marijuana sold to licensed processors in pounds, the amount of
waste in pounds, and the amount of m arijuana sold to licensed
dispensaries in pounds. Additionally, this report shall show total
wholesale sales in dollars. The State Department of Health
Authority shall have oversight and auditing re sponsibilities to
ensure that all marijuana being grown by licensed commercial growers
is accounted for.
D. There shall be no limits on how much marijuana a licensed
commercial grower can grow.
E. Beginning on the effective date of this act November 1,
2021, licensed commercial growers shall be authorized to package and
sell pre-rolled marijuana to licensed medical marijua na
dispensaries. The products described in thi s subsection shall
contain only the ground parts of the marijuana plant and shall not
include marijuana concentrates or derivatives. The total net weight
of each pre-roll packaged and sold by medical marijuan a commercial
growers shall not exceed one (1) g ram. These products must be
tested, packaged and labeled in accordance with Oklahoma state law
and rules promulgated by the State Commissioner of Health Executive
Director of the Oklahoma Medical Marijuana Au thority.
SECTION 4. AMENDATORY 63 O.S. 2021, Section 423, is
amended to read as follows:
Section 423. A. The State Department of Health Oklahoma
Medical Marijuana Authority shall, within thirty (30) days of
passage of this initi ative, make available on its website in an
easy-to-find location an application for a medical marijuana
processing license. The Department Authority shall be authorized to
issue two types of medical marijuana processor licenses based on the
level of risk posed by the type of processing conducted:
ENR. S. B. NO. 1543 Page 11
1. Nonhazardous medical marijuana processor license; and
2. Hazardous medical marijuana proces sor license.
The application fee for a nonhazardous or hazardous medical
marijuana processor license shall be Two Thousand Five Hundred
Dollars ($2,500.00). A method of payment shall be provided on the
website of the Department Authority. The State Department of Health
Authority shall have ninety (90) days to review the application;
approve, reject or deny the application; and mail the approval,
rejection or denial letter stating the reasons for the rejection or
denial to the applicant.
B. The State Department of Health Authority shall approve all
applications which meet the following criteria:
1. The applicant must be twenty-five (25) years of age or
older;
2. The applicant, if applying as an individual, must show
residency in the State of Oklahoma this state;
3. All applying entities must show that all members, managers,
and board members are Oklahoma residents of this state;
4. An applying entity may show own ership of non-Oklahoma
nonstate residents, but that percentage o wnership may not exceed
twenty-five percent (25%);
5. All applying individuals or entities must be registered to
conduct business in the State of Oklahoma this state; and
6. All applicants must disclose all ownership interests in the
processing operation .
Applicants with a nonviolent felony conviction in the last two
(2) years, any other felony conviction in the last five (5) years,
inmates in the custody of the Department of Corrections or any
person currently incarcerated shall not qualify for a medical
marijuana processing licens e.
ENR. S. B. NO. 1543 Page 12
C. 1. A licensed processor may take marijuana plants and
distill or process these plants into concentrates, edib les, and
other forms for consumption.
2. As required by subsection D of this section, the State
Department of Health The Executive Director of the Authority shall,
within sixty (60) days of passage of this initiative, make available
a set of standards w hich shall be used by licensed processors in the
preparation of edible marijuana products. The standards should be
in line with current food preparation guidelines. No excessive or
punitive rules may be established by the State Department of Health
Executive Director.
3. Up to two times a year, the State Department of Health
Authority may inspect a processing operation and determine its
compliance with the preparation standards. If deficiencies are
found, a written report of the deficiency shall be issued to the
licensed processor. The licensed processor shall have one (1) month
to correct the deficiency or be subject to a fine of Five Hundred
Dollars ($500.00) for each deficiency.
4. A licensed processor may sell marijuana products it creates
to a licensed dispensary or any other licensed processor . All sales
by a licensed processor shall be considered wholesale sales an d
shall not be subject to taxation.
5. Under no circumstances may a licensed processor sell
marijuana or any marijuana product directly to a licensed medical
marijuana patient or licensed caregiver. However, a licensed
processor may process cannabis into a concentrated form for a
licensed medical marijuana patient for a fee.
6. Licensed processors shall be required to complete a monthly
yield and sales report to the State Department of Health Authority.
This report shall be due on the fifteenth of each month and shall
provide reporting on the previous month. This report shall detail
the amount of marijuana and medical marijuana products purchased in
pounds, the amount of marijuana cooked or processed in pounds, and
the amount of waste in pounds . Additionally, this report shall show
total wholesale sales in dollars. The State Department of Health
Authority shall have oversight and auditing responsibilities to
ensure that all marijuana being processed is accounted for.
ENR. S. B. NO. 1543 Page 13
D. The Department Authority shall oversee the inspection and
compliance of licensed processors producing products with marijuana
as an additive. The State Department of Health shall be compelled
to, within thirty (30) days of passage of this initiative, appoint
twelve (12) Oklahoma reside nts to the Medical Marijuana Advisory
Council, who are marijuana industry experts, to create a list of
food safety standards for pr ocessing and handling medical marijuana
in Oklahoma. These standards shall be adopted by the Department and
the Department may enforce these standards for licensed processors.
The Department shall develop a standards review procedure and these
standards can be altered by calling another council of twelve (12)
Oklahoma marijuana industry experts. A signed letter of twent y
operating, licensed processors shall constitute a need for a new
council and standards review.
E. If it becomes permissible under fede ral law, marijuana may
be moved across state li nes.
F. E. Any device used for the processing or consumption of
medical marijuana shall be considered legal to be sold,
manufactured, distributed and possessed. No merchant, wholesaler,
manufacturer or indiv idual may be unduly harassed or prosecuted for
selling, manufacturing or possessing marijuana paraphernalia.
SECTION 5. AMENDATORY 63 O.S. 2021, Section 425, as last
amended by Section 5, Chapter 553, O.S.L. 2021, is amended to read
as follows:
Section 425. A. No school or landlord may refuse to enroll or
lease to and may not otherwise penalize a person solely for his or
her status as a medical marijuana patient licensee, unless failing
to do so would cause the school or land lord the potential to lose a
monetary or licensing-related benefit under federal law or
regulations.
B. Unless a failure to do so would cause an employer the
potential to lose a monetary or licensing-related benefit under
federal law or regulations, an em ployer may not discriminate against
a person in hiring, termination or imposing any term or condition of
employment or otherw ise penalize a person based upon the status of
the person as a medical marijuana patient licensee. Employers may
ENR. S. B. NO. 1543 Page 14
take action against a medical marijuana patient licensee if the
licensee uses or possesses marijuana while in his or her place of
employment or during the hours of employment. Employers may not
take action against a medical marijuana patient licensee solely
based upon the status of an employee as a medical marijuana p atient
licensee or the results of a drug test showing pos itive for
marijuana or its components.
C. For the purposes of medical care, including organ
transplants, the authorized use of marijuana by a medical m arijuana
patient licensee shall be considered the equivalent of the use of
any other medication under th e direction of a phys ician and does not
constitute the use of an illicit substance or otherwise disqualify a
registered qualifying patient from medical care.
D. No medical marijuana patient licens ee may be denied custody
of or visitation or parenting time with a minor child, and there is
no presumption of neglect or child endangerment for conduct allowed
under this law unless the behavior of the medical marijuana patient
licensee creates an unreaso nable danger to the safety of the minor
child.
E. No person who possesses a med ical marijuana patient license
may be unduly withheld from holding another state-issued license by
virtue of his or her status as a medical marijuana patient licensee
including, but not limited to, a concealed carry permit.
F. 1. No city or local municip ality may unduly change or
restrict zoning laws to prevent the opening of a medical marijuana
dispensary.
2. For purposes of this subsection, an undue change or
restriction of municipal zoning laws means an act which entirely
prevents medical marijuana di spensaries from operating within
municipal boundaries as a matter of law. Municipalities may follow
their standard planning and zo ning procedures to determine if
certain zones or districts would be appropriate for locating
marijuana-licensed premises, med ical marijuana businesses or any
other premises where marijuana or its by-products are cultivated,
grown, processed, stored or manu factured.
ENR. S. B. NO. 1543 Page 15
3. A medical marijuana dispensary does not include those other
entities licensed by the Oklah oma Medical Marijuana Authority as
marijuana-licensed premises, medical marijuana businesses or other
facilities or locations where marijuana or any pro duct containing
marijuana or its by-products are cultivated, grown, processed,
stored or manufactured.
G. The location of an y medical marijuana dispensary is
specifically prohibited within one thousand (1,000) feet of any
public school or private school. The distance indicated in this
subsection shall be measured from the nearest property line of such
public school or private school to the nearest perimeter wall of the
licensed premises of such medical marijuana dispensary. If a
medical marijuana dispens ary met the requirements of this subsection
at the time of its initial licensure, the medical marijuana
dispensary licensee s hall be permitted to continue operating at the
licensed premises in the same manner and not be subject to
nonrenewal or revocation due to subsequent events or changes in
regulations occurring after licensure that would render the medic al
marijuana dispensary in violation by being within one thousand
(1,000) feet of a public school or private school. If any public
school or private sc hool is established within one thousand (1,000)
feet of any medical marijuana dispensary after such medi cal
marijuana dispensary has been licensed, the provisions of this
subsection shall not be a deterrent to the renewal of such license
or warrant revocation of the license. For purposes of this
subsection, a property owned, used or operated by a public sch ool or
by a private school that is not used for classroom instruction on
core curriculum, such as an administrative building, athletic
facility, ballpark, field or stadium, shall not constitute a public
school or private school unless such property is loca ted on the same
campus as a building used for classroom instruction on core
curriculum.
H. Research shall be provided for under this law. A researcher
may apply to the State Department of Health Oklahoma Medical
Marijuana Authority for a special research license. The resear ch
license shall be granted, provided the applicant meets the criteria
listed in the Oklahoma Medical Marijuana and Patient Protection Act.
Research licensees shall be required to file monthly consumption
reports to the State Department of Health Authority with amounts of
marijuana used for research. Biomedical and clinical research which
ENR. S. B. NO. 1543 Page 16
is subject to federal regulations and institutional oversight shall
not be subject to oversight by the State Department of Health
Authority.
SECTION 6. AMENDATORY 63 O.S. 2021, Section 426.1, as
last amended by Section 7, Chapter 553, O.S.L. 2021, is amended to
read as follows:
Section 426.1 A. All licensure revocation hearings conducted
pursuant to marijuana licenses established in the Oklahoma Statutes
shall be recorded. A party may request a copy of the recording of
the proceedings. Copies shall be provided to loc al law enforcement
if the revocation was based on alleged criminal activity.
B. The State Department of Health Oklahoma Medical Marijuana
Authority shall assist any law enforcement officer in the
performance of his or her duties upon such request by the l aw
enforcement officer or the request of other local officials having
jurisdiction. Except for license information concerning licensed
patients, as defined in Section 427.2 of this title, the Department
Authority shall share information with law enforceme nt agencies upon
request without a subpoena or search warrant.
C. The State Department of Health Authority shall make
available all information on whe ther or not a medical marijuana
patient or caregiver license is valid to law enforcement
electronically through an online verification system.
D. The Department Authority shall make available to Oklahoma
state agencies and political subdivisions a list of marijuana-
licensed premises, medical marijuana busi nesses or any other
premises where marijuana or its by-products are licensed to be
cultivated, grown, processed, stored or manufactured to aid Oklahoma
state agencies and county and municipal governments in identifying
locations within their jurisdiction a nd ensuring compliance with
applicable laws, rules and regulations.
E. Any marijuana-licensed premises, medical marijuana business
or any other premises where marijuana or its by-products are
licensed to be cultivated, grown, processed, stored or manufact ured
shall submit with its application or request to change location,
after notifying the political subdivision of its intent, a
ENR. S. B. NO. 1543 Page 17
certificate of compliance from the political subdivision where the
facility of the applicant or licensee is to be located certi fying
compliance with zoning classifications, applicable municipal
ordinances and all applicable safety, electrical, fire, plumbing,
waste, construction and building specification codes.
Once a certificate of compliance has been submitted to the
Oklahoma Medical Marijuana Authority showing full compliance as
outlined in this subsection, no additional certificate of compliance
shall be required for license renewal unless a change of use or
occupancy occurs, or there is any change concerning the facility or
location that would, by law, require additional inspection,
licensure or permitting by the state or municipality.
SECTION 7. AMENDATORY 63 O.S. 2021, Section 427.2 , as
last amended by Section 8, Chapter 553, O.S.L. 2021, 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, disseminati on, solicitation, or circulation, of
visual, oral, or writt en communication to induce directly or
indirectly any person to patronize a particular medical marijuana
business, or to purchase particular medical marijuana or a medical
marijuana product. Adver tising includes marketing, but does not
include packaging and labeling;
2. "Authority" means the Oklahoma Medical Marijuana Authority;
3. "Batch number" means a unique numeric or alphanumeric
identifier assigned prior to testing to allow for inventory tr acking
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;
ENR. S. B. NO. 1543 Page 18
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 properly as
defined by 16 C.F.R. 1700.15 (1995) and 16 C.F.R.
1700.20 (1995),
b. opaque so that the outermost packaging does not allow
the product to be seen without opening the packaging
material, and
c. resealable to maintain its child-resistant
effectiveness for multiple openings for a ny product
intended for more than a single use or containin g
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 Department,
Oklahoma Medical Marijuana Authority including any supporting
documentation required and the applicable license application fee;
10. "Department" means the State Department of Health;
11. 9. "Director" means the Executive Director o f the Oklahoma
Medical Marijuana Authority;
12. 10. "Dispense" means the selling of medical marijuana or a
medical marijuana product to a qualified patient or the designated
caregiver of the patient that is packaged in a suitable container
appropriately labeled for subsequent administration to or use by a
qualifying patient;
ENR. S. B. NO. 1543 Page 19
13. 11. "Dispensary" means a medical marijuana dispensary, an
entity that has been licensed by the Department Authority pursuant
to the Oklahoma Medical Marijuana and Patient Protecti on Act to
purchase medical marijuana or medical marijuana products from a
licensed medical marijuana commercial grower or licensed medical
marijuana 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. 12. "Edible medical marijuana product" means any medical-
marijuana-infused product for which the i ntended use is oral
consumption including, but not limited to, any type of food, drink
or pill;
15. 13. "Entity" means an individual, general partnership,
limited partnership, limited liability company, trust, estate,
association, corporation, cooperative or any other legal or
commercial entity;
16. 14. "Flower" means the reproductive organs of the marijuana
or cannabis plant referred to as the bud or parts of the plant that
are harvested and used for consumption in a variety of medical
marijuana products;
17. 15. "Flowering" means the reproductive 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. 16. "Food-based medical marijuana concentrate" means a
medical marijuana concen trate that was produced by extracting
cannabinoids from medical marijuana through the use of propylene
glycol, glycerin, butter, olive oil, coconut oil or other typical
food-safe cooking fats;
19. 17. "Harvest batch" means a specifically identified
quantity of medical marijuana that is uniform in strain, cultivated
utilizing the same cultivation practices, harvested at the same time
from the same location and cured under uniform conditions;
ENR. S. B. NO. 1543 Page 20
20. 18. "Harvested marijuana" means postflowering medical
marijuana not including trim, concentrate or waste;
21. 19. "Heat- or pressure-based medical marijuana concentrate"
means a medical marijuana concentrate that was produced by
extracting cannabinoids from medical marijuana thro ugh the use of
heat or pressure;
22. 20. "Immature plant" means a nonflowering marijuana plant
that has not demonstrated signs of flowering;
23. 21. "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. 22. "Licensed patient" or "patient" means a person who has
been issued a medical marijuana patient license by the State
Department of Health or Oklahoma Medical Marijuana Authority;
25. 23. "Licensed premises" means the premises specified in an
application for a medical marijuana business license, medical
marijuana research facility license or medical marijuana education
facility license pursuant to th e Oklahoma Medical M arijuana 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. 24. "Manufacture" means the production, propagation,
compounding or processing of a medical marijuan a product, excluding
marijuana plants, either directly or indirectly by extraction from
substances of natural or synthetic origin, or independently by means
of chemical synthesis, or by a combination of extraction and
chemical synthesis;
27. 25. "Marijuana" shall have the same meaning as such term is
defined in Section 2-101 of this title;
ENR. S. B. NO. 1543 Page 21
28. 26. "Material change" means any change that would affect
the qualifications for licensure of an applicant or licensee;
29. 27. "Mature plant" means a harvestable female marijuana
plant that is flowering;
30. 28. "Medical marijuana business (MMB)" means a licensed
medical marijuana dispensary, medical marijuana processor, medical
marijuana commercial grower, medical marijuana laboratory, medical
marijuana business operator or a med ical marijuana transporter;
31. 29. "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 wat er-based medical marijuana
concentrate, food-based medical marijuana concentrate, solvent-based
medical marijuana concentrate, and heat- or pressure-based medical
marijuana concentrate;
32. 30. "Medical marijuana commercial grower " or "commercial
grower" means an entity licensed to cultivate, prepare and package
medical marijuana or package medical marijuana as pre-rolls, and
transfer or contract for transfer medical marijuana and medical
marijuana pre-rolls to a medical marijuana dispensary, medical
marijuana processor, any other medical marijuana commercial grower,
medical marijuana research facility or medical marijuana education
facility. A commercial grower may sell seeds, flower or clones to
commercial growers pursuant to the Oklahoma Medical Marijua na and
Patient Protection Act;
33. 31. "Medical marijuana education facility" or "education
facility" means a person or entity approved pursuant to the Oklahoma
Medical Marijuana and Patient Protection Act to operate a facility
providing training and educ ation to individuals involving the
cultivation, growing, harvesting, curing, preparing, packaging or
testing of medical marijuana, or the production, manufacture,
extraction, processing, packaging or creation of medical -marijuana-
infused products or medica l marijuana products as described in the
Oklahoma Medical Marijuana and Patient Protection Act;
ENR. S. B. NO. 1543 Page 22
34. 32. "Medical-marijuana-infused product" means a product
infused with medical marijuana including, but not limited to, edible
products, ointments and tinctu res;
35. 33. "Medical marijuana product" or "product" means a
product that contains cannabinoids that have been extracted from
plant material or the resin therefrom by physical or chemical means
and is intended for administration to a qualified patient in cluding,
but not limited to, oils, tinctures, edibles, pills, topical forms,
gels, creams, vapors, patches, liquids, and forms administered by a
nebulizer, excluding live plant forms which are considered medical
marijuana;
36. 34. "Medical marijuana proce ssor" means a person or entity
licensed pursuant to the Oklahoma Medical Marijuana and Patient
Protection Act to operate a business including the production,
manufacture, extraction, processing, packaging or creation of
concentrate, medical -marijuana-infused products or medical marijuana
products as described in the Oklahoma Medical Marijuana and Patient
Protection Act;
37. 35. "Medical marijuana research facility" or "research
facility" means a person or entity approved pursuant to the Oklahoma
Medical Marijuana and Patient Protection Act to conduct medical
marijuana research. A medical marijuana research facility is not a
medical marijuana business;
38. 36. "Medical marijuana testing laboratory" or "laboratory"
means a public or private laboratory licen sed pursuant to the
Oklahoma Medical Marijuana and Patient Protection Act to conduct
testing and research on medical marijuana and medical marijuana
products;
39. 37. "Medical marijuana transporter" or "transporter" means
a person or entity that is licens ed pursuant to the Oklahoma Medical
Marijuana and Patient Protection Act. A medical marijuana
transporter does not include a medical marijuana business that
transports its own medical marijuana, medical marijuana concentrate
or medical marijuana products to a property or facility adjacent to
or connected to the licensed premises if the property is another
licensed premises of the same medical marijuana business;
ENR. S. B. NO. 1543 Page 23
40. 38. "Medical marijuana waste" or "waste" means unused,
surplus, returned or out -of-date marijuana, plant debris of the
plant of the genus Cannabis including dead plants and all unused
plant parts and roots, except the term shall not include roots,
stems, stalks and fan leaves;
41. 39. "Medical use" means the acquisition, possession, use,
delivery, transfer or transportation of medical marijuana, medical
marijuana products, medical marijuana devices or paraphernalia
relating to the administration of medical marijuana to treat a
licensed patient;
42. 40. "Mother plant" means a marijuana plant th at is grown or
maintained for the purpose of generating clones, and that will not
be used to produce plant material for sale to a medical marijuana
processor or medical marijuana dispensary;
43. 41. "Oklahoma physician" or "physician" means a physician
licensed by and in good standing with the State Board of Medical
Licensure and Supervision, the State Board of Osteopathic Examiners
or the Board of Podiatric Medical Examiners;
44. 42. "Oklahoma resident" means an individual who can provide
proof of residency as required by the Oklahoma Medical Marijuana and
Patient Protection Act;
45. 43. "Owner" means, except where the context otherwise
requires, a direct beneficial owner including, but not limited to,
all persons or entities as follows:
a. all shareholders owning an interest of a corporate
entity and all officers of a 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 intere st in a limited
liability company,
ENR. S. B. NO. 1543 Page 24
e. all beneficiaries that hold a beneficial interest in a
trust and all trustees of a trust,
f. all persons or entities that own interest in a joint
venture,
g. all persons or entities that own an interest in an
association,
h. the owners of any other type of legal entity, and
i. any other person holding an interest or convertible
note in any entity which owns, operates or manages a
licensed facility;
46. 44. "Package" or "packaging" means any container or wrapper
that may be used by a medical marijuana business to enclose or
contain medical marijuana;
47. 45. "Person" means a natural person, partnership,
association, business trust, company, corporation, estate, limited
liability company, trust or any other legal entity or organization,
or a manager, agent, owner, director, servant, officer or employee
thereof, except that "person" does not include any governmental
organization;
48. 46. "Pesticide" means any substance or mixture of
substances intended for preventing, des troying, repelling or
mitigating any pest or any substance or mixture of substances
intended for use as a plant regulator, defoliant or desiccant,
except that the term "pesticide" shall not include any article that
is a "new animal drug" as designated by the United States Food and
Drug Administration;
49. 47. "Production batch" means:
a. any amount of medical marijuana concentrate of the
same category and produced using the same extraction
methods, standard operating procedures and an
identical group of ha rvest batch of medical marijuana,
or
ENR. S. B. NO. 1543 Page 25
b. any amount of medical marijuana product of the same
exact type, produced using the same ingredients,
standard operating procedures and the same production
batch of medical marijuana concentrate;
50. 48. "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;
51. 49. "Public money" means any funds or money obtained by the
holder from any governmental entity including, but not limited to,
research grants;
52. 50. "Recommendation" means a document that is signed or
electronically submitted by a physician on behalf of a patient for
the use of medical marijuana pursuant to the Oklahoma Medical
Marijuana and Patient Protection Act;
53. 51. "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. 52. "Remediation" means the process by which a harvest
batch or production batch that fails testing undergoes a procedure
to remedy the harvest batch or production batch and is retested in
accordance with Oklahoma state laws, rules and regulations;
55. 53. "Research project" means a discrete scientific endeavor
to answer a research question or a set of research questions related
to medical marijuana and is required for a medical marijuana
research license. A research project shal l include a description of
a defined protocol, clearly articulated goals, defined methods and
outputs, and a defined start and end date. The description shall
demonstrate that the research project will comply with all
requirements in the Oklahoma Medical Marijuana and Patient
Protection Act and rules promulgated pursuant thereto. All research
and development conducted by a medical marijuana research facility
shall be conducted in furtherance of an approved research project;
56. 54. "Revocation" means the final decision by the Department
Authority that any license issued pursuant to the Oklahoma Medical
ENR. S. B. NO. 1543 Page 26
Marijuana and Patient Protection Act is rescinded because the
individual or entity does not comply with the applicable
requirements set forth in the Oklaho ma Medical Marijuana and Patient
Protection Act or rules promulgated pursuant thereto;
57. 55. "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. 56. "Shipping container" means a hard-sided container with
a lid or other enclosure that can be secured in place. A shipping
container is used solely for the transport of medical marijuana,
medical marijuana concentrate, or medical marijuana products between
medical marijuana businesses, a medical marijuana research facility,
or a medical marijuana education facility;
59. 57. "Solvent-based medical marijuana concentrate" means a
medical marijuana concentrate that was produced by extracting
cannabinoids from medical marijuana through the use of a solvent
approved by the Department Executive Director;
60. 58. "State Question" means Oklahoma State Questi on No. 788,
Initiative Petition No. 412, approved by a majority vote of the
citizens of Oklahoma on June 26, 2018;
61. 59. "Strain" means the name given to a particular variety
of medical marijuana that is based on a combination of factors which
may include, but is not limited to, botanical lineage, appeara nce,
chemical profile and accompanying effects. An example of a "strain"
would be "OG Kush" or "Pineapple Express";
62. 60. "THC" means tetrahydrocannabinol, which is the primary
psychotropic cannabino id in marijuana formed by decarboxylation of
naturally tetrahydrocannabinolic acid, which generally occurs by
exposure to heat;
63. 61. "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 transp orter agent
ENR. S. B. NO. 1543 Page 27
license specific to that business pursuant to the Oklahoma Medical
Marijuana and Patient Pro tection Act;
64. 62. "Universal symbol" means the image established by the
State Department of Hea lth or Oklahoma Medical Marijuana Authority
and made available to licensees through its website indicating that
the medical marijuana or the medical marijuan a product contains THC;
65. 63. "Usable marijuana" means the dried leaves, flowers,
oils, vapors, waxes and other portions of the marijuana plant and
any mixture or preparation thereof, excluding seeds, roots, stems,
stalks and fan leaves; and
66. 64. "Water-based medical marijuana concentrate" means a
concentrate that was produced by extracting canna binoids from
medical marijuana through the use of onl y water, ice or dry ice.
SECTION 8. AMENDATORY 63 O.S. 2021, Section 427.3, as
last amended by Section 9, Chapter 553, O.S.L. 2021, is amended to
read as follows:
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 marijua na program in
Oklahoma this state including, but not limited to, the iss uance of
patient licenses and medical marijuana business licenses, and t he
dispensing, cultivating, processing, testing, transportin g, storage,
research, and the use of and sale of med ical marijuana pursuant to
the Oklahoma Medical Marijuana and Patient Pr otection Act.
B. The Department shall provide support staff to perform
designated duties of the Authority. The Department shall al so
provide office space for meetings of the Authorit y.
1. Beginning on the effective date of this act, the Authority
shall cease to be part of or a division of the State Department of
Health and shall be deemed to be a separate and distinct agency, to
be known as the Oklahoma Medical Marijuana Authority . The Authority
and the Executive Director of the Authority shall continue to
exercise their statutory powers, duties, and contractual
responsibilities. All records, property, equipment, assets, monies ,
ENR. S. B. NO. 1543 Page 28
financial interests, liabilities, matters pending, and funds of the
division shall be transferred to the Authority.
2. All licenses granted by the Department pertaining to medical
marijuana shall maintain rights and privileges under the authority
of the Authority; provided, however, that all licens es shall be
subject to revocation, suspension, or disciplinary action for
violation of any of the provisions of the Oklahoma Medical Marijuana
and Patient Protection Act and rules promulgated by the Executive
Director.
3. The Authority shall succeed to any contract ual rights or
responsibilities incurred by the Department pertaining to medic al
marijuana.
4. Rules promulgated by the State Commissioner of Health
pertaining to medical marijuana that are in effect on t he effective
date of this act shall be immediately adopted and enforced by the
Executive Director. The Executive Director maintains the autho rity
to further promulgate and enforce rules.
5. The Department and the Authority may enter into an agreement
for the transfer of personnel from the Department to the Authority.
No employee shall be transferred to the Authority except on the
freely given written consent of the employee. All employees who are
transferred to the Authority shall not be required to a ccept a
lesser grade or salary than presently received . All employees shall
retain leave, sick, and annual time earned, and any retirement and
longevity benefits which have accrued during their te nure with the
Department. The transfer of personnel between the state agencies
shall be coordinated with the Off ice of Management and Enterprise
Services.
6. The expenses incurred by the Authority as a result of the
transfer required by this subsection shall be paid by the Authority.
7. The division within the Department known as the Oklahoma
Medical Marijuana Aut hority shall be abolished by the Department
after the transfer has been completed .
8. The Office of Management and Enterprise Services shall
coordinate the transfer of records, property, equipment, assets,
ENR. S. B. NO. 1543 Page 29
funds, allotments, purchase orders, liabilities, outstanding
financial obligations, or encumbrances provided for in this
subsection.
C. The Department Authority shall implement the provisions of
the Oklahoma Medical Marijuana and Patient Protection Act
consistently with the voter-approved State Question No. 788,
Initiative Petition No. 412, subject to the provisions of the
Oklahoma Medical Marijuana and Patient Protection Act.
D. The Department Authority shall exercise its respective
powers and perform i ts respective duties and functions as specified
in the Oklahoma Medical Marijuana and Patient Protection Act and
this title including, but n ot limited to, the following:
1. Determine steps the state shall take, whether administrative
or legislative in nat ure, to ensure that research on marijuana and
marijuana products is being conducted for public purposes, including
the advancement of:
a. public health policy and public safety policy,
b. agronomic and horticultural best practices, and
c. medical and pharmacopoeia best practices;
2. Contract with third -party vendors and other governmental
entities in order to carry out the respective duties a nd functions
as specified in the Oklahoma Medical Marijuana and Patient
Protection Act;
3. Upon complaint or upon i ts own motion and upon a completed
investigation, levy fines as prescribed in 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 pro duction of persons,
records and things in connecti on with disciplinary or contested
cases considered by the Department Authority;
5. Apply for injunctive or declaratory relief to enforce the
provisions of applicable laws, rules and regulations;
ENR. S. B. NO. 1543 Page 30
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 o r
disposed of;
7. Upon action by the federal government by w hich the
production, sale and use of marijuana in Oklahoma this state does
not violate federal law, work with the Oklahoma State Banking
Department and the State Treasurer to develop good practices and
standards for banking and finance for medical marijuan a businesses;
8. Establish internal control procedures for licenses including
accounting procedures, reporting procedures and personnel policies;
9. Establish a fee schedule and collect fees for performin g
background checks as the Commissioner Executive Director deems
appropriate. The fees 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 Oklah oma Medical Marijuana
Authority, deemed reasonably necessary to assist the Authority in
the prevention of diversion of medical marijuana by a licensed
medical marijuana business. Such information required by the
Authority may include, but shall not be lim ited to:
a. the square footage of the licensed premises,
b. a diagram of the licensed premises,
c. the number and type of lights at the licensed medical
marijuana commercial grower business,
d. the number, type and production capacity of equipment
located at the medical marijuana processing facility,
ENR. S. B. NO. 1543 Page 31
e. the names, addresses and telephone numbers of
employees or agents of a medical marijuana business,
f. employment manuals and standard operating procedures
for the medical marijuana business, and
g. any other information as the Authority reasonably
deems necessary.
SECTION 9. AMENDATORY 63 O.S. 2021, Section 427.4, as
amended by Section 10, Chapter 553, O.S.L. 2021, is amended to read
as follows:
Section 427.4 A. The Oklahoma Medical Mari juana Authority, in
conjunction with the State Department of Health, shall employ an
Executive Director and other personnel as necessary to assist t he
Authority in carrying out its duties. The Executive Director shall
be appointed by the Governor, with the advice and consent of the
Senate. The Executive Director shall serve at the pleasure of the
Governor and may be removed or replaced without cause . Compensation
for the Executive Director shall be determined pursuant to Section
3601.2 of Title 74 of the Oklahoma Statutes.
B. The Authority shall not employ an individual if any of the
following circumstances exist:
1. The individual has a direct or indirec t interest in a
licensed medical marijuana business; or
2. The individual or his or her spouse, par ent, child, spouse
of a child, sibling, or spouse of a sibling has an application for a
medical marijuana business license pending before the Department
Authority or is a member of the board of directors of a medical
marijuana business, or is an individual financially interested in
any licensee or medical marijuana business.
C. All officers and employees of the Authority shall be in the
exempt unclassified s ervice as provided for in Section 840-5.5 of
Title 74 of the Oklahoma Statutes.
D. The Commissioner Executive Director may delegate to any
officer or employee of the Department Authority any of the powers of
ENR. S. B. NO. 1543 Page 32
the Executive Director and may designate any office r or employee of
the Department Authority to perform any of the dut ies of the
Executive Director.
E. The Executive Director shall be authorized to suggest may
promulgate rules governing the oversight and implementation of the
Oklahoma Medical Marijuana an d Patient Protection Act.
F. The Department Authority is hereby authorized to create
employment positions necessary for the implementation of its
obligations pursuant to the Oklahoma Medical Marijuana and Patient
Protection Act including, but not limited to, Authority
investigators of the Authority and a senior director of enforcement.
The Department and the Authority, the senior director of
enforcement, the Executive Director, and Department investigators of
the Authority shall have all the po wers and authority of any a peace
officer of this state for the purpose of enforcing the provisions of
the Oklahoma Medical Marijuana and Patient Protection Act and other
laws pertaining to medical marijuana , rules promulgated by the
Executive Director, or criminal laws of this state. These powers
shall include but not be limited to:
1. Investigate Investigating violations or suspected violations
of the Oklahoma Medical Marijuana and Patient Protection Act and or
other laws pertaining to medical marijuana , any rules promulgated
pursuant thereto, and any violations of criminal laws of this state
discovered through the course of such investigations;
2. Serve Serving all warrants, summonses, subpoenas,
administrative citations, notices or other proces ses relating to the
enforcement of laws regulating medical marijuana, concentrate, and
medical marijuana product;
3. Assist or aid Seizing any marijuana or marijuana product
illegally held in violation of the Oklahoma Medical Marijuana and
Patient Protection Act , any other laws of this state, or any rules
promulgated by the Executive Director;
4. Assisting or aiding any law enforcement officer in the
performance of his or her duties upon such law enforcement officer's
request or the request of other local officials having jurisdiction;
ENR. S. B. NO. 1543 Page 33
5. Referring any evidence, reports, or charges regarding
violations of any provision of the Oklahoma Medical Marijuana and
Patient Protection Act that carries criminal penalty, or of any
other criminal laws of this state, to the appropriate law
enforcement authority and prosecut orial authority for action;
6. Aiding the enforcement authorities of this state or any
county or municipality of the state, or the federal government, in
prosecutions of violations of the Oklahoma Medical Marijuana and
Patient Protection Act or any other laws of this state that carry
criminal penalty involving crim es discovered during the
investigation of violations or suspected violations of the Oklahoma
Medical Marijuana and Patie nt Protection Act or other laws
pertaining to medical marijuana or any rules promulgated pursuant
thereto;
4. Require 7. Requiring any business applicant or licensee to
permit an inspection of licensed premises during business hours or
at any time of apparent operation, marijuana equipment, and
marijuana accessories, or books and records; and to permit the
testing of or examination of medical marijuana, concentrate, or
product;
5. Require 8. Requiring applicants and licensees to submit
complete and current applications, information and fees required by
the Oklahoma Medical Marijuana and Patient Protection Act, the
Oklahoma Medical Marijuana Waste Management Act and Sections 420
through 426.1 of this title, and approve material changes made by
the applicant or licensee;
6. Require 9. Requiring medical marijuana business licensees
to submit a sample or unit of medical marijuana or medical marijuana
product to the quality assurance laboratory when the Department
Authority has reason to believe th e medical marijuana or medical
marijuana product may be unsafe for patient consumption or
inhalation or has not been tested in accordance with the provisions
of the Oklahoma Medical Marijuana and Patient Protection Act and the
rules and regulations of the Department promulgated by the Executive
Director. The licensee shall provide the samp les or units of
medical marijuana or medi cal marijuana products at its own expense
but shall not be responsible for the costs of testing; and
ENR. S. B. NO. 1543 Page 34
7. Require 10. Requiring medical marijuana business licensees
to periodically submit samples or units of medical marijuana or
medical marijuana products to the quality assurance laboratory for
quality assurance purposes. Licensed growers, processors,
dispensaries and transporters shall not be required to s ubmit
samples or units of medical marijuana or medical marij uana products
more than twice a year. Th e licensee shall provide the samples or
units of medical marijuana or medical marijuana products at its own
expense but shall not be responsible for the co sts of testing.
G. All investigators of the Authority shall meet all training
requirements and qualifications for peace officers as required by
Section 3311 et seq. of Title 70 of the Oklahoma Statutes.
H. During the course of an investigation, t he director of
enforcement or any investigator of the Authority as provided by
subsection F of this section may arrest a violator or suspected
violator of any laws of this state committed in the presence of the
director of enforcement or any investigator of the Authority or upon
the development of probable cause that such crime has been
committed. The director of enforcement or any investigator of the
Authority as provided by subsection F of this section may, upon
request of a sheriff or another pea ce officer of this state, or any
political subdivision thereof, assist in the apprehension and ar rest
of a violator or suspected v iolator of any of the laws of this
state.
I. The Executive Director may employ or contract with
attorneys, as needed, to advise th e Executive Director and the
Authority on all legal matters and to appear for and represent the
Executive Director and the Authority in all administrative hearings
and all litigation or other proceedings which may arise in the
discharge of their duties. A t the request of the Executive
Director, such attorneys shall assist district attorney s in
prosecuting charges of violators of the Oklahoma Medical Marijuana
and Patient Protection Act or any other laws of this state that
carry criminal penalty involving crimes disco vered during the
investigation of violations or suspected violations of the Oklahoma
Medical Marijuana and Patient Protection Act or other laws
pertaining to medical marijuana or any rules promulgated pursuant
thereto.
ENR. S. B. NO. 1543 Page 35
SECTION 10. AMENDATORY 63 O.S. 2 021, Section 427.6, as
last amended by Section 11, Chapter 553, O.S.L. 2021, is amended to
read as follows:
Section 427.6 A. The State Department of Health Oklahoma
Medical Marijuana Authority shall address issues related to the
medical marijuana program in Oklahoma this state including, but not
limited to, monitoring and disciplinary actions as they relate to
the medical marijuana program.
B. 1. The Department Authority or its designee may perform on-
site inspections or investiga tions of a licensee or applicant for
any medical marijuana business license, research facility, education
facility or waste disposal facility to determine compliance with
applicable laws, rules and regulations or submissions made pursuant
to this section. The Department Authority may enter the licensed
premises of a medical marijuana business, research facility,
education facility or waste disposal facility licensee or applicant
to assess or monitor compliance or ensure qualifications for
licensure.
2. Post-licensure inspection s shall be limited to twice per
calendar year. However, investigations and additional inspections
may occur when the Department Authority believes an investigation or
additional inspection is necessary due to a possible violation of
applicable laws, rules or regulations. The State Commissioner of
Health Executive Director of the Authority may adopt rules imposing
penalties including, but not limited to, monetary fines and
suspension or revocation of licensure for failure to allow th e
Authority reasonable access to the licensed premises for purposes of
conducting an inspection.
3. The Department Authority may review relevant records of a
licensed medical marijuana business, licensed medical marijuana
research facility, licensed medic al marijuana education facility or
licensed medical marijuana waste disposal facility, and may require
and conduct interviews with such persons or entities and persons
affiliated with such entities, for the purpose of determining
compliance with Department requirements of the Executive Director
and applicable laws, rules and regulations.
ENR. S. B. NO. 1543 Page 36
4. The Department Authority may refer complaints alleging
criminal activity that are made against a licensee to appropriate
Oklahoma state or local law enforcement authorities.
C. Disciplinary action may be taken against an applicant or
licensee for not adhering to applicable laws pursuant to the terms,
conditions and guidelines set forth in the Oklahoma Medical
Marijuana and Patient Protection Act.
D. Disciplinary actions may inc lude revocation, suspension or
denial of an application, license or final authorization and other
action deemed appropriate by the Department Executive Director.
E. Disciplinary actions may be imposed upon a med ical marijuana
business licensee for:
1. Failure to comply with or satisfy any provision of
applicable laws, rules or regulations;
2. Falsification or misrepresentation of any material or
information submitted to the Department Authority or other
licensees;
3. Failing to allow or impeding entry by authori zed
representatives of the Department Authority;
4. Failure to adhere to any acknowledgement, verification or
other representation made to the Department Authority;
5. Failure to submit or disclose inf ormation required by
applicable laws, rules or regula tions or otherwise requested by the
Department Authority;
6. Failure to correct any violation of this section cited as a
result of a review or audit of financial records or other materials;
7. Failure to comply with requested access by the Department
Authority to the licensed premises or materials;
8. Failure to pay a required monetary penalty;
ENR. S. B. NO. 1543 Page 37
9. Diversion of medical marijuana or any medical marijuana
product, as determined by the Department Authority;
10. Threatening or harming a medical marijuana pa tient
licensee, caregiver licensee, a medical practitioner or an employee
of the Department Authority; and
11. Any other basis indicating a violation of the applicable
laws and regulations as identified by the Department Authority.
F. Disciplinary action s against a licensee may include the
imposition of monetary penalties, which may be assessed by the
Department Authority. The Department Authority may suspend or
revoke a license for failure to pay any monetary penalty lawfully
assessed by the Department Authority against a licensee.
G. Penalties for sales or purchases by a medical marijuana
business to persons other than those allowed by law occurring within
any two-year time period may include an init ial fine of One Thousand
Dollars ($1,000.00) for a fi rst violation and a fine of Five
Thousand Dollars ($5,000.00) for any subsequent violation.
Penalties for grossly inaccurate or fraudulent reporting occurring
within any two-year time period may include an initial fine of Five
Thousand Dollars ($5,000.00) for a first violation and a fine of Ten
Thousand Dollars ($10,000.00) for any subsequent violation. The
medical marijuana business may be subject to a revocation of any
license granted pursuant to the Oklahoma Medical Marijuana an d
Patient Protection Act upon a showing that the violation was willful
or grossly negligent.
H. 1. First offense for intentional and impermissible
diversion of medical marijuana, concentrate, or products by a
patient or caregiver to an unauthorized perso n shall not be punished
under a criminal statute but may be subject to a fine of Two Hundred
Dollars ($200.00).
2. The second offense for impermissible diversion of medical
marijuana, concentrate, or products by a patient or c aregiver to an
unauthorized person shall not be punis hed under a criminal statute
but may be subject to a fine of not to exceed Five Hundred Dollars
($500.00) and may result in revocation of the license upon a showing
that the violation was willful or gros sly negligent.
ENR. S. B. NO. 1543 Page 38
I. The intentional diversion of medic al marijuana, medical
marijuana concentrate or medical marijuana products by a licensed
medical marijuana patient or caregiver, medical marijuana business
or employee of a medical marijuana business to a n unauthorized minor
person who the licensed medical marijuana patient or caregiver,
medical marijuana business or employee of a medical marijuana
business knew or reasonably should have known to be a minor person
shall be subject to a cite and release cit ation and, upon a finding
of guilt or a plea of no co ntest, a fine of Two Thousand Five
Hundred Dollars ($2,500.00). For a second or subsequent offense,
the licensed medical marijuana patient or caregiver, medical
marijuana business or employee of a medic al marijuana business shall
be subject to a cite and release citation and, upon a finding of
guilt or a plea of no contest, a fine of Five Thousand Dollars
($5,000.00) and automatic termination of the medical marijuana
license.
J. Nothing in this section shall be construed to prevent the
criminal prosecution, after the presentation of evidence and a
finding beyond a reasonable doubt, of a licensed medical marijuana
patient or caregiver, medical marijuana business or employee of a
medical marijuana business who has diverted medical mar ijuana,
medical marijuana concentrate or medical marijuana products to an
unauthorized person with the intent or knowledge that the
unauthorized person was to engage in the distribution or trafficking
of medical marijuana, medi cal marijuana concentrate or medical
marijuana products.
K. In addition to any other remedies provided for by law, the
Department Authority, pursuant to its rules and regulations
promulgated by the Executive Director, may issue a written order to
any licensee the Department Authority has reason to believe has
violated Sections 420 through 426.1 of this title, the Oklahoma
Medical Marijuana and Patient Protection Act, the Oklahoma Medical
Marijuana Waste Management Act, or any rules promulgated by the
State Commissioner of Healt h Executive Director and to whom the
Department Authority has served, not less than thirty (30) days
previously, a written notice of violation of such statutes or rules.
1. The written order shall state with specificity the nature of
the violation. The Department Authority may impose any disciplinary
ENR. S. B. NO. 1543 Page 39
action authorized under the provisions of this section including,
but not limited to, the assessment of monetary penalties.
2. Any order issued pursuant to the provisions of this section
shall become a final order unl ess, not more than thirty (30) days
after the order is served to the licensee, the licensee requests an
administrative hearing in accordance with the rules and regulations
of the Department promulgated by the Executive Director. Upon such
request, the Department Authority shall promptly initiate
administrative proceedings.
L. Whenever the Department Executive Director finds that an
emergency exists requiring immediate action in order to protect the
health or welfare of the public, the Department Executive Director
may issue an order, without providing notice or hearing, stating the
existence of said an emergency and requiring that action be taken as
the Department Executive Director deems necessary to meet the
emergency. Such action may inclu de, but is not limited to, or dering
the licensee to immediately cease and desist operations by the
licensee. The order shall be effective immediately upon issuance.
Any person to whom the order is directed shall comply immediately
with the provisions of the order. The Department Authority may
assess a penalty not to exceed Ten Thousand Dollars ($10,000.00) per
day of noncompliance with the order. In assessing such a penalty,
the Department Authority shall consider the seriousness of the
violation and any efforts to comply with appl icable requirements.
Upon application to the Department Authority, the licensee shall be
offered a hearing within ten (10) days of the issuance of the order.
M. 1. The Executive Director may conduct hearings, issue final
agency orders, impose disciplinary action as provided by this
section for violation of state laws and rule s pertaining to medical
marijuana including, but not limited to, violation of this section,
and take such other action as may be necessary to enforce state laws
and rules pertaining to medical marijuana pursuant to the
Administrative Procedures Act . All hearings held pursuant to this
section shall be in accordanc e with the Oklahoma Administrative
Procedures Act.
2. The Executive Director may delegate to an administrative law
judge the authority to conduct hearings, issue final agency orders,
or impose disciplinary action as provided by this section fo r
ENR. S. B. NO. 1543 Page 40
violation of state laws and rules pertaining t o medical marijuana
including, but not limited to, violation of this section. When the
administrative law judge issues a final agency order, that order
becomes the final order of the Authority without furthe r proceeding
unless there is a request for rehea ring, reopening, or
reconsideration pursuant to Section 317 of Title 75 of the Oklahoma
Statutes or a filing for judicial review pursuant to Section 318 of
Title 75 of the Oklahoma Statutes.
SECTION 11. AMENDATORY 63 O.S. 2021, Section 427.9, is
amended to read as follows:
Section 427.9 A. The Oklahoma Medical Marijuana Authority may
contact the recommending physician of an applicant for a medical
marijuana patient license or current holder of a medical marijuana
patient license to verify the need of the applicant or licensee for
the license and the information submitted with the application.
B. An applicant for a medical marijuana patient license who can
demonstrate his or her status as a one-hundred-percent-disabled
veteran as determined by the U.S. Department of Veterans Affairs and
codified at 38 C.F.R., Section 3.340(a)( 2013) shall pay a reduced
biannual application fee of Twenty Dollars ($20.00). The methods of
payment, as determined by the Authority, shall b e provided on the
website. However, the Authority shall ensure that all applicants
have an option to submit the license application and payment by
means other than solely b y submission of the application and fee
online.
C. The patient license shall be va lid for up to two (2) years
from the date of issuance, unless the recommendation of the
physician is terminated p ursuant to the Oklahoma Medical Marijuana
and Patient Protection Act or revoked by the Department Authority.
SECTION 12. AMENDATORY 63 O.S. 2021, Section 427.10, is
amended to read as follows:
Section 427.10 A. Only licensed Oklahoma allopathic,
osteopathic and podiatric physicians may provide a medical marijuana
recommendation for a medical marijuana patient license u nder the
Oklahoma Medical Marijuana and Patient Protection Act.
ENR. S. B. NO. 1543 Page 41
B. A physician who has not completed his or her first residency
shall not meet the definitio n of "physician" under this section and
any recommendation for a medical marijuana patient license shall not
be processed by the Authority.
C. No physician shall be subject to arrest, prosecution or
penalty in any manner or denied any right or privilege u nder
Oklahoma state, municipal or county statute, ordinance or
resolution, including without limita tion a civil penalty or
disciplinary action by the State Board of Medical Licensure and
Supervision, the State Board of Osteopathic Examiners , the Board of
Podiatric Medical Examiners or by any other business, occupation or
professional licensing board or bureau, solely for providing a
medical marijuana recommendation for a patient or for monitoring,
treating or prescribing scheduled medication to patients who are
medical marijuana licensees. The provisions of this subsection
shall not prevent the relevant professional licensing boards from
sanctioning a physician for failing to properly evaluate the medical
condition of a patient or for otherwise violating th e applicable
physician-patient standard of care.
D. A physician who recommends use of medical mari juana shall
not be located at the same physical address as a licensed medical
marijuana dispensary.
E. If the physician determines the continued use of medi cal
marijuana by the patient no longer meets the requirements set forth
in the Oklahoma Medical Mar ijuana and Patient Protection Act, the
physician shall notify the Department Oklahoma Medical Marijuana
Authority and the license shall be immediately void ed without right
to an individual proceeding.
SECTION 13. AMENDATORY 63 O.S. 2021, Section 427.11, is
amended to read as follows:
Section 427.11 A. The caregiver license shall provide the
caregiver the same rights as the medical marijuana patient licensee,
including the ability to possess marijuana, marijuana products, and
mature and immature plants pursuant to the Oklahoma Medical
Marijuana and Patient Protection Act, but excluding the ability to
use marijuana or marijuana products unless the caregiver has a
medical marijuana patient license. Caregivers shall be authorized
ENR. S. B. NO. 1543 Page 42
to deliver marijuana and products to their authorized patients.
Caregivers shall be authorized to possess medical marijuana and
medical marijuana products up to the sum of the possession limits
for the patients under his or her care pursuant to the Oklahoma
Medical Marijuana and Patient Protection Act.
B. An individual caregiver shall be limited to exercising the
marijuana cultivation rights of no more than five licens ed patients
as prescribed by the Oklahoma Medical Marijuana and Patient
Protection Act.
C. The license of a caregiver shall not extend beyond the
expiration date of the underlying patient license regardless of the
issue date.
D. A medical marijuana pat ient license holder may request, at
any time, to withdraw the license of his or her caregiver . In the
event that such a request is made or upon the expiration of the
medical marijuana license of the patient, the license of the
caregiver shall be immediate ly withdrawn by the Department Oklahoma
Medical Marijuana Authority without the right to a he aring.
SECTION 14. AMENDATORY 63 O.S. 2021, Section 427.13, as
last amended by Section 16, Chapter 553, O.S.L. 2021 , is amended to
read as follows:
Section 427.13 A. All medical marijuana and medical marijuana
products shall be purchased solely from an Oklahoma-licensed a
state-licensed medical marijuana business, and shall not be
purchased from any out-of-state providers.
B. 1. The Authority shall have oversight and auditing
responsibilities to ensure that all marijuana being grown in
Oklahoma this state is accounted for and shall implement an
inventory tracking system. Pursuant to these duties, the Authority
shall require that eac h medical marijuana business, medical
marijuana research facility, medical marijuana education fa cility
and medical marijuana waste disposal facility keep records for every
transaction with another medical marijuana business, patient or
caregiver. Inventory shall be tracked and updated after each
individual sale and reported to the Authority.
ENR. S. B. NO. 1543 Page 43
2. The inventory tracking system licensees use shall allow for
integration of other seed-to-sale systems and, at a minimum, shall
include the following:
a. notification of when marijuana seeds and clones are
planted,
b. notification of when marijuana plants are harvested
and destroyed,
c. notification of when marijuana is transported, sold,
stolen, diverted or lost,
d. a complete inventory of all marijuana, seeds, plant
tissue, clones, plants, usable marijuana or trim,
leaves and other plant matter, batches of ex tract, and
marijuana concentrates,
e. all samples sent to a testing laboratory, an unused
portion of a sample returned to a licensee, all
samples utilized by licensee for purposes of
negotiating a sale, and
f. all samples used for quality testing by a lice nsee.
3. Each medical marijuana business, medical marijuana research
facility, medical marijuana education facility and medical marijuana
waste disposal facility shall use a seed-to-sale tracking system or
integrate its own seed-to-sale tracking system wi th the seed-to-sale
tracking system established by the Authority.
4. These records shall include, but not be limited to, the
following:
a. the name and license number of the medical marijuana
business that cultivated, manufactured or sold the
medical marijuana or medical marijuana product,
b. the address and phone number of the medical marijuana
business that cultivated, manufactured or sold the
medical marijuana or medical marijuana product,
ENR. S. B. NO. 1543 Page 44
c. the type of product received during the transaction,
d. the batch number of the marijuana plant used,
e. the date of the transaction,
f. the total spent in dollars,
g. all point-of-sale records,
h. marijuana excise tax records, and
i. any additional information as ma y be reasonably
required by the Department Executive Director of the
Oklahoma Medical Marijuana Authority.
5. All inventory tracking records retained by a medical
marijuana business, medical marijuana research facility, medical
marijuana education facilit y or medical marijuana waste disposal
facility containing medical marijuana patient or caregiver
information shall comply with all relevant state and federal laws
including, but not limited to , the Health Insurance Portability and
Accountability Act of 199 6 (HIPAA).
SECTION 15. AMENDATORY 63 O.S. 2021, Section 427.14, as
last amended by Section 17, Chapter 553, O.S.L. 2021, is amended to
read as follows:
Section 427.14 A. There is hereby created the medical
marijuana business license, which shall include the following
categories:
1. Medical marijuana commercial grower;
2. Medical marijuana processor;
3. Medical marijuana dispensary;
4. Medical marijuana transporter; and
5. Medical marijuana testing laborat ory.
ENR. S. B. NO. 1543 Page 45
B. The Oklahoma Medical Marijuana Authority, with the aid of
the Office of Management and Enterprise Services, shall develop a
website for medical marijuana business applications.
C. The Authority shall make available on its website in an
easy-to-find location, applications for a medical marijuana
business.
D. The annual, nonrefundable application fee for a medical
marijuana business license shall be Two Thousand Five Hundred
Dollars ($2,500.00).
E. All applicants seeking licensure or licensure ren ewal as a
medical marijuana business shall comply with the following general
requirements:
1. All applications for licenses and registrations authorized
pursuant to this section shall be made upon forms prescribed by the
Authority;
2. Each application sh all identify the city or county in which
the applicant seeks to obtai n licensure as a medical marijuana
business;
3. Applicants shall submit a complete application to the
Department Authority before the application may be accepted or
considered;
4. All applications shall be complete and accurate in every
detail;
5. All applications shall include all attachments or
supplemental information required by the forms supplied by the
Authority;
6. All applications shall be accompanied by a full remittance
for the whole amount of the application fees. Application fees are
nonrefundable;
7. All applicants shall be approved for licensing review that,
at a minimum, meets the following criteria:
ENR. S. B. NO. 1543 Page 46
a. twenty-five (25) years of age or older,
b. if applying as an indiv idual, proof that the applicant
is an Oklahoma resident a resident of this state
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 m embers or any other form of
business ownership are Oklahoma residents of this
state 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 this state,
e. disclosure of all ownership interests pursu ant 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 license e has not been
convicted of a nonviolent felony in the last two (2)
years, or any other felony conviction within the last
five (5) years, is not a current inmate in the custody
of the Department of Corrections, or currently
incarcerated in a jail or correc tions facility;
8. There shall be no limit to the number of medical marijuana
business licenses or categories that an individual or entity can
apply for or receive, although each applica tion and each category
shall require a separate application and appli cation 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 fort h in the Oklahoma
Medical Marijuana and Patient Protection Act;
9. All applicants for a medical marijuana business license,
research facility license or education facility license authorized
by the Oklahoma Medical Marijuana and Patient Protection Act, or for
ENR. S. B. NO. 1543 Page 47
a renewal of such license, shall undergo an Oklahoma a state
criminal history background check conducted by the Oklahoma State
Bureau of Investigation (OSBI) within thirty (30) days prior to the
application for the license , including:
a. individual applicant s applying on their own behalf,
b. individuals applying on beh alf of an entity,
c. all principal officers of an entity, and
d. all owners of an entity as defined by the Oklahoma
Medical Marijuana and Patient Protection Act;
10. All applicable fees charged by the OSBI are the
responsibility of the applicant and shall not be higher than fees
charged to any other person or industry for such background checks;
11. In order to be considered an Oklahoma resident a resident
of this state for purposes of a medica l marijuana business
application, all applicants shall provide proof of Oklahoma state
residency for at least two (2) years immediately preceding the date
of application or five (5) years of continuous Oklahoma state
residency during the preceding twenty -five (25) years immediately
preceding the date of application. Sufficient documentation of
proof of state residency shall include a combination of the
following:
a. an unexpired Oklahoma-issued state-issued driver
license,
b. an Oklahoma a state-issued identification card,
c. a utility bill preceding the date of appli cation,
excluding cellular telephone and Internet bills,
d. a residential property deed to property in the State
of Oklahoma this state, and
e. a rental agreement preceding the date of application
for residential property located in the State of
Oklahoma this state.
ENR. S. B. NO. 1543 Page 48
Applicants that were issued a medical marijuana business license
prior to August 30, 2019, are hereby exempt from the two-year or
five-year Oklahoma state residence requirement menti oned above;
12. All license applicants shall be required to su bmit a
registration with the Oklahoma State Bureau of Narcotics and
Dangerous Drugs Control as provided in Sections 2-302 through 2-304
of this title;
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 a state-issued driver license,
b. front of an Oklahoma a state-issued identification
card,
c. a United States passport or othe r photo identification
issued by the United States government, or
d. a tribal identification card approved for
identification purposes by the Oklahoma Department of
Public Safety; and
14. All applicants shall submit an applicant photograph.
F. The Authority shall review the medical marijuana business
application; approve, reject or deny the application; and mail the
approval, rejection, denial or status-update letter to the applicant
within ninety (90) business days of receipt of the application.
G. 1. The Authority shall review the medical marijuana
business applications and conduct all investigations, inspections
and interviews before approving the application.
2. Approved applicants shall be issued a medical marijuana
business license for the specifi c category applied under, which
shall act as proof of their app roved 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
ENR. S. B. NO. 1543 Page 49
not meeting the standards set forth in the provisions of the
Oklahoma Medical Marijuana and Patient Protection Act and Sections
420 through 426.1 of this title, improper completion of the
application, or for a reason provided for in the Oklahoma Medical
Marijuana and Patient Protectio n Act and Sections 420 through 426.1
of this title. If an appl ication 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 Authority 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 statu s-update letters shall
be sent to the applicant in the same met hod the application was
submitted to the Department Authority.
H. A license for a medical marijuana business, medical
marijuana research facilit y, medical marijuana education facility or
medical marijuana waste disposal facility shall not be issued to or
held by:
1. A person until all required fees have been paid;
2. A person who has been convicted of a nonviolent felony
within two (2) years of the date of application, or within five (5)
years for any other felony;
3. A corporation, if the criminal hist ory of any of its
officers, directors or stockholders indicates that the officer,
director or stockholder has been convicted of a nonviolent felo ny
within two (2) years of the date of applicati on, or within five (5)
years for any other felony;
4. A person under twenty-five (25) years of age;
ENR. S. B. NO. 1543 Page 50
5. A person licensed pursuant to this section who, during a
period of licensure, or who, at the time of ap plication, has failed
to:
a. file taxes, interest or penalties due related to a
medical marijuana business, or
b. pay taxes, interest or penalties due related to a
medical marijuana business;
6. A sheriff, deputy sheriff, police officer or prosecuting
officer, or an officer or employee of the Authority or municipality;
7. A person whose authority to be a caregive r, as defined in
Section 427.2 of this title, has been revoked by the Department
Authority; or
8. A person who was involved in the management or operation s of
any medical marijuana business, m edical marijuana research facility,
medical marijuana education facility or medical marijuana waste
disposal facility that, after the initiation of a disciplinary
action, has had a medical marijuana license revoked, no t renewed, or
surrendered during the f ive (5) years preceding submission of the
application and for t he following violations:
a. unlawful sales or purchases,
b. any fraudulent acts, falsification of records or
misrepresentation to the Authority, medical ma rijuana
patient licensees, caregiver l icensees or medical
marijuana business licensees,
c. any grossly inaccurate or fraudulent reporting,
d. threatening or harming any medical marijuana patient,
caregiver, medical practitioner or employee of the
Department Authority,
e. knowingly or intention ally refusing to permit the
Department Authority access to premises or records,
ENR. S. B. NO. 1543 Page 51
f. using a prohibited, hazardous substance for processing
in a residential area,
g. criminal acts relating to the operation of a medical
marijuana business, o r
h. any violations that endanger public health and safety
or product safety.
I. In investigating the qualifications of an applicant or a
licensee, the Department, Authority and municipalities may have
access to criminal history record information furnish ed by a
criminal justice agency subject to any restrictions imposed by such
an agency.
J. The failure of an applicant or licensee to provide the
requested information by the Authority deadline may be grounds for
denial of the application.
K. All applicants and licensees shall submit information to the
Department and Authority in a full, faithful, truthful and fair
manner. The Department and Authority may recommend denial of an
application where the applicant or licensee made misstatements,
omissions, misrepresentations or untruths in the application or in
connection with the backgrou nd investigation of the applicant. This
type of conduct may be grounds for administrative action against the
applicant or licensee. Typos and scrivener errors shall not be
grounds for denial.
L. A licensed medical marijuana business premises shall be
subject to and responsible for compliance with applicable provisions
consistent with the zoning where such business is located as
described in the most recent versions of the Ok lahoma Uniform
Building Code, the International Building Code and the Internation al
Fire Code, unless granted an exemption by a municipality or
appropriate code enforcement entity.
M. All medical marijuana business, medical marijuana research
facility, medical marijuana education facility and medical marijuana
waste disposal facility licensees shall pay the relevant licensure
fees prior to receiving licensure to operate.
ENR. S. B. NO. 1543 Page 52
N. A medical marijuana business, medical marijuana research
facility, medical marijuana education facil ity 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 Executive Director of the
Authority to reinstate the license. Late renewal fees are
nonrefundable. A license that h as 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 mari juana
waste disposal facility shall possess, sell or transfer m edical
marijuana or medical marijuana products without a valid, unexpired
license issued by the Department Authority.
SECTION 16. AMENDATORY 63 O.S. 2021, Secti on 427.16, as
last amended by Section 18, Chapter 553, O.S.L. 2021 is amended to
read as follows:
Section 427.16 A. There is hereby created a medical marijuana
transporter license as a ca tegory of the medical marijuana business
license.
B. Pursuant to Sect ion 424 of this title, the Oklahoma Medical
Marijuana Authority sha ll issue a medical marijuana transporter
license to licensed medical marijuana commercial growers, processors
and dispensaries upon issuance of such licenses and upon each
renewal. Medical marijuana transporter licenses shall also be
issued to licensed me dical marijuana research facilities, medical
marijuana education facilities and medical marijuana testing
laboratories upon issuance of such licenses and upon each renewal.
C. A medical marijuana transporter license may also be issued
to qualifying applic ants who are registered with the Oklahoma
Secretary of State and otherwise meet the requirements for a medical
marijuana business license set forth in the Oklahoma Medical
Marijuana and Patient Protection Act and the requirements set forth
in this section to provide logistics, distribution and storage of
medical marijuana, medical marijuana concentrate and medical
marijuana products.
ENR. S. B. NO. 1543 Page 53
D. A medical marijuana transporter license shall be valid for
one (1) year and shall not be transferred with a change of
ownership. A licensed medical marijuana transporter shall be
responsible for all medical marijuana, medical marijuana con centrate
and medical marijuana products once the transporter takes con trol of
the product.
E. A transporter license shall be required fo r any person or
entity to transport or transfer medical marijuana, medical marijuana
concentrate or medical marijuana p roducts from a licensed medical
marijuana business to another medical marijuana business, or from a
medical marijuana business to a medical marijuana research facility
or medical marijuana education facility.
F. A medical marijuana transporter licensee ma y contract with
multiple licensed medical marijuana businesses.
G. A medical marijuana transporter may maintain a licensed
premises to temporarily store medical marijuana, medical marijuana
concentrate and medical marijuana products and to use as a
centralized distribution point. A medical marijuana transporter may
store and distribute medical marijuana, medical marijuana
concentrate and medical marijuana products from the licensed
premises. The licensed premises shall meet all security
requirements applicable to a medical marijuana business.
H. A medical marijuana transp orter licensee shall use the seed-
to-sale tracking system developed pursuant to the Oklahoma Medical
Marijuana and Patient Protection Act 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 may maintain and
operate one or more warehouses in the state to handle medical
marijuana, medical m arijuana concentrate and medical marijuana
products. Each location sh all 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 sam e
physical address, all medical marijuana, medical marijuana
concentrate and medical marijuana products shall be transported:
ENR. S. B. NO. 1543 Page 54
1. In vehicles equipped with Global Positioning System (GPS)
trackers;
2. In a locked container and clearly labeled "Medical Marijuana
or Derivative"; and
3. In a secured area of the vehicle that i s not accessible by
the driver during transit.
K. A transporter ag ent may possess marijuana at any location
while the transporter agent is transferring marijuana to or from a
licensed medical marijuana business, licensed medical marijuana
research facility or licensed medical marijuana education facility.
The Department Authority shall administer and enforce the provisions
of this section concerning transportation.
L. The Authority sha ll issue a transporter agent license to
individual agents, employees, officers or owners of a transporter
license in order for the individual to qualify to transport medical
marijuana, medical marijuana concentrate or medical marijuana
products.
M. The annual fee for a transporter agent license shall be
Twenty-five Dollars ($25.00) and shall be paid by the transporter
license holder or the individual applicant. Transporter license
reprints shall be Twenty Dollars ($20.00).
N. The Authority shall issue ea ch transporter agent a registry
identification card within thirty (30) days of receipt of:
1. The name, address and date of birth of the person;
2. Proof of current Oklahoma state residency;
3. Proof of identity as required for a medical marijuana
business license;
4. Possession of a valid Oklahoma state-issued driver license;
5. Verification of employment with a licensed transporter;
ENR. S. B. NO. 1543 Page 55
6. The application and affiliated fee; and
7. A copy of the criminal background check conducted by the
Oklahoma State Bureau of Investigation, paid for by the applicant.
O. If the transporter agent application is denied, the
Department Authority shall notify the transporter in writing of the
reason for denying the registry identification card.
P. A registry identificat ion card for a transporter shall
expire one (1) year after the date of issuance or upon notification
from the holder of the transporter l icense that the transporter
agent ceases to work as a transporter.
Q. The Department Authority may revoke the registry
identification card of a transporter agent who knowi ngly violates
any provision of this section, and the transporter is subject to any
other penalties established by law for the violation.
R. The Department Authority may revoke or suspend the
transporter license of a transporter that the Department Authority
determines knowingly aided or facilitated a violation of any
provision of this se ction, 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 this
state;
2. Capable of securing medical marijuana during transport; and
3. In possession of a shipping container a s defined in Section
427.2 of this title capable of securing all transported products.
T. Prior to the transport of any medical marijuan a, medical
marijuana concentrate or medical marijuana products, an inventory
manifest shall be prepared at the originat ion point of the medical
marijuana. The inventory manifest shal l include the following
information:
ENR. S. B. NO. 1543 Page 56
1. For the origination point of the medical marijuana:
a. the licensee number for the commercial grower,
processor or dispensary,
b. address of originatio n of transport, and
c. name and contact information for the orig inating
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 weig ht or unit of each type of medical
marijuana product contained in transport;
4. The date of the transport and the appr oximate time of
departure;
5. The arrival date and estimated ti me of arrival;
6. Printed names and signatures of the personnel accompan ying
the transport; and
7. Notation of the transporting licensee.
U. 1. A separate inventory manifest shall be prepa red 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 after the other licensee prints his or
her name and signs the inventory manifest.
ENR. S. B. NO. 1543 Page 57
3. A receiving licensee s hall refuse to accept any medical
marijuana, medical marijuana concentrat e or medical marijuana
products that are not accompanied by an inventory manifest.
4. Originating and receiving licens ees shall maintain copies of
inventory manifests and logs of qua ntities of medical marijuana
received for seven (7) years from date of re ceipt.
SECTION 17. AMENDATORY 63 O.S. 2021, Section 427.17, is
amended to read as follows:
Section 427.17 A. There is hereby created a medical marijuana
testing laboratory licens e as a category of the medical marijuana
business license. The Oklahoma Medical Marijuana Authority is
hereby enabled to monitor, inspect and audit a licensed testing
laboratory under the Oklahoma Medical Marijuana and Patient
Protection Act.
B. The Authority is hereby authorized to contract with a
private laboratory for the purpose of conducting compliance testing
of medical marijuana testing laboratories licensed in th is state.
Any such laboratory under contract for compliance testing shall be
prohibited from conducting any other commercial medical ma rijuana
testing in this state. The laboratory the Authority contracts with
for compliance testing shall not employ, or be owned by, the
following:
1. Any individual that has a direct or indirect interest in a
licensed medical marijuana business; or
2. Any individual or his or her spouse, parent, child, spouse
of a child, sibling or spouse of a sibling that has an applica tion
for a medical marijuana business license pending before the
Department Authority or is a member of the board of directors of a
medical marijuana business, or is an individual financially
interested in any licensee or medical marijuana business located
within this state.
C. The Authority shall develop acceptable testin g practices
including, but not limited to, testing, standards, qual ity control
ENR. S. B. NO. 1543 Page 58
analysis, equipment certification and calibration, and chemical
identification and substances used.
D. A person who is a direct beneficial owne r of a medical
marijuana dispensary, medical marij uana commercial grower or medical
marijuana processor shall not be an owner of a laboratory.
E. A laboratory and a laboratory applicant shall comply with
all applicable local ordinances including , but not limited to,
zoning, occupancy, licensing and build ing codes.
F. A separate license shall be require d for each specific
laboratory.
G. A medical marijuana testing laboratory license may be issued
to a person who perform s testing on medical marijuana and medical
marijuana products for medical marijuana bu sinesses, medical
marijuana research facilities, m edical marijuana education
facilities, and testing on marijuana and marijuana products grown or
produced by a patient or caregiver on behalf of a patient, upon
verification of registration . A medical marijuana testing
laboratory may also conduct research related to the development and
improvement of its testing practices and procedures. No state-
approved medical marijuana testing facility shall operate unless a
medical laboratory director is on site during operational hours.
H. Laboratory applicants and licensees shall comply with the
application requirements of this section and shall submit such other
information as required for a medical marijuana business applicant,
in addition to any information the Au thority may request for initial
approval and periodic evaluations during the approval period.
I. A medical marijuana testing laboratory may accept samples of
medical marijuana, medical marijuana concentrate or medical
marijuana product from a medical mari juana business, medical
marijuana research facilit y or medical marijuana education facility
for testing purposes only, which purposes may include the provision
of testing services for samples submitted by a medical marijuana
business for product developmen t. The Department Authority may
require a medical marijuana business to submit a sample of medical
marijuana, medical marijuana concentrate or medical marijuana
ENR. S. B. NO. 1543 Page 59
product to a medical marijuana testing or quality assurance
laboratory upon demand.
J. A medical marijuana testing laboratory may accept sample s of
medical marijuana, medical marijuana concentrate or medical
marijuana product from an individual person for testing only under
the following conditions:
1. The individual person is a patient or caregi ver pursuant to
the Oklahoma Medical Marijuana and Patient Protection Act or is a
participant in an approved clinical or observational study conducted
by a research facility; and
2. The medical marijuana testing laboratory shall require the
patient or caregiver to produce a valid patient license and curr ent
and valid photo identification.
K. A medical marijuana testing laboratory may transfer samples
to another medical m arijuana testing laboratory for testing . All
laboratory reports provided to or by a m edical marijuana business or
to a patient or careg iver shall identify the medical marijuana
testing laboratory that actually conducted the test.
L. A medical marijuana t esting laboratory may utilize a
licensed medical marijuana transporter to transport sa mples of
medical marijuana, medical marijuana conc entrate and medical
marijuana product for testing, in accordance with the Oklahoma
Medical Marijuana and Patient Protect ion Act and the rules adopted
pursuant thereto, between the originating medical mariju ana business
requesting testing services and the d estination laboratory
performing testing services.
M. The medical marijuana testing laboratory shall establish
policies to prevent the existence of or appearance of undue
commercial, financial or other inf luences that may diminish the
competency, impartia lity and integrity of the testing processes or
results of the laboratory, or that may diminish public confidence in
the competency, impartiality and integrity of the testing processes
or results of the labo ratory. At a minimum, employees, owners or
agents of a medical marijuana testing laboratory who participate in
any aspect of the analysis and results of a sample are pro hibited
from improperly influencing the testing process, improperly
ENR. S. B. NO. 1543 Page 60
manipulating data or improperly benefiting from any ongoing
financial, employment, personal or business relationship with the
medical marijuana business that provided the sample. A medical
marijuana testing laboratory shall not test samples for any medical
marijuana business in which an owner, employee or agent of the
medical marijuana testing laboratory has any form of ownership or
financial interest in the medical marijuana business.
N. The Department Authority, pursuant to rules promulgated by
the State Commissioner of Health Executive Director of the
Authority, shall develop standards, policies and procedures as
necessary for:
1. The cleanliness and orderliness of a laboratory premise s and
the location of the laboratory in a secure location, and inspection,
cleaning and maintenance of any equipment or utensils used f or the
analysis of test samples;
2. Testing procedures, testing standards for cannabinoid and
terpenoid potency and safe levels of contaminants, and remediation
procedures;
3. Controlled access areas for s torage of medical marijuana and
medical marijuana product test samples, waste and reference
standards;
4. Records to be retained and computer systems to be utilized
by the laboratory;
5. The possession, storage and use by the laboratory of
reagents, solutions and reference standards;
6. A certificate of analysis (COA) for each lot of reference
standard;
7. The transport and disposal of unused marijuana, marijuana
products and waste;
8. The mandatory use by a laboratory of an inventory tracking
system to ensure all harvest and production batches or samples
containing medical marijuana, medical marijuana concentrate or
medical marijuana products are identified and tracke d from the point
ENR. S. B. NO. 1543 Page 61
they are transferred from a medical marijuana business, a patient or
a caregiver through the point of transfer, destruction or disposal.
The inventory tracking system reporting shall include the results of
any tests that are conducted on medical marijuana, medical marijuana
concentrate or medical marijuana product;
9. Standards of performance;
10. The employment of laboratory personnel;
11. A written standard operating procedure manual to be
maintained and updated by the laboratory;
12. The successful participation in a Department-approved
proficiency testing program approved by the Executive Director for
each testing category listed in this section, in order to obtain and
maintain certification;
13. The establishment of and adherence to a quality assurance
and quality control program to ensure sufficient monitoring of
laboratory processes and quality of results reported;
14. The immediate recall of medical marijuana or medical
marijuana products that test above allowable thresholds or are
otherwise determined to be unsa fe;
15. The establishment by the laboratory of a system to document
the complete chain of custody for samples from receipt through
disposal;
16. The establishment by the laboratory of a system to retain
and maintain all required records, including business records, and
processes to ensure results are re ported in a timely and accurate
manner; and
17. Any other aspect of laboratory testing of medical marijuana
or medical marijuana product deemed necessary by the Department
Executive Director.
O. A medical marijuana test ing laboratory shall promptly
provide the Department Authority or designee of the Department
Authority access to a report of a test and any underlying data that
ENR. S. B. NO. 1543 Page 62
is conducted on a sample at the request of a medical marijuana
business or qualified patient . A medical marijuana testing
laboratory shall also provide access to the Department Authority or
designee of the Department Authority to laboratory premises and to
any material or information requested by t he Department Authority to
determine compliance with the requirements of this section.
P. A medical marijuana testing laboratory shall retain all
results of laboratory tests conducted on marijuana or products for a
period of at least seven (7) years and shall make them available to
the Department Authority upon request.
Q. A medical marijuana testing laboratory shall test samples
from each harvest batch or product batch, as appropriate, of medical
marijuana, medical marijuana concentrate and medical marij uana
product for each of the following categories of testing, consistent
with standards developed by the Commissioner Executive Director:
1. Microbials;
2. Mycotoxins;
3. Residual solvents;
4. Pesticides;
5. Tetrahydrocannabinol (THC) and other cannab inoid potency;
6. Terpenoid type and concentration ; and
7. Heavy metals.
R. A licensed medical marijuana testing laboratory shall test
each individual harvest batch. A grower shall separate each harvest
lot of usable marijuana into harvest batches cont aining no more than
fifteen (15) pounds, with the exception of any plant material to b e
sold to a licensed processor for the purposes of turning the plant
material into concentrate which may be separated into harvest
batches of no more than fifty (50) poun ds. A processor shall
separate each medical marijuana production lot into production
batches containing no more than four (4) liters of concentrate or
nine (9) pounds for nonliquid products, and for final products, the
ENR. S. B. NO. 1543 Page 63
Oklahoma Medical Marijuana Authority shall be authorized to
promulgate rules on final products as necessary . Provided, however,
the Authority shall not require testing of final products less often
than every one thousand (1,000) grams of THC. As used in this
subsection, "final products" shall include, but not be limited to,
cookies, brownies, candies, gummies, beverages and chocolates.
S. Medical marijuana testing laboratory licensure shall be
contingent upon successful on-site inspection, successful
participation in proficiency testing an d ongoing compliance with the
applicable requirements in this section.
T. A medical marijuana testing laboratory shall be inspected
prior to initial licensure and up to two (2) times per year
thereafter by an inspector approved by the Authority. The Authority
may enter the licensed premises of a testing laboratory to conduct
investigations and additional inspections when the Authority
believes an investigation or additional inspection is necessary due
to a possible violation of applicable laws, rules or r egulations.
U. Medical marijuana testing laboratories shall obtain
accreditation by an accrediting body approved by the Commissioner
Executive Director within one (1) year of the date the initial
license is issued. Renewal of any medical marijuana tes ting
laboratory license shall be contingent upon accreditation in
accordance with this su bsection. All medical marijuana testing
laboratories shall obtain accreditation prior to applying for and
receiving a medical marijuana testing laboratory license.
V. Unless authorized by the provisions of this section, a
commercial grower shall not tran sfer or sell medical marijuana and a
processor shall not transfer, sell or process into a concentrate or
product any medical marijuana, medical marijuana concentrate o r
medical marijuana product unless samples from each harvest batch or
production batch from which that medical marijuana, medical
marijuana concentrate or medical marijuana product was derived has
been tested by a medical marijuana testing laboratory and passed all
contaminant tests required b y the Oklahoma Medical Marijuana and
Patient Protection Act and applicable laws, rules and regulations.
A licensed commercial grower may transfer medical marijuana that has
failed testing to a licensed processor only for the purposes of
decontamination or remediation and only in accordance with the
ENR. S. B. NO. 1543 Page 64
provisions of the Oklahoma Medical Marijuana and Patient Protection
Act and the rules and regulations of the Department promulgated by
the Executive Director. Remediated and decontaminated medical
marijuana may be returned only to the originating licensed
commercial grower.
W. Kief shall not be transferred or sold except as authorized
in the rules and regulations of the Department promulgated by the
Executive Director.
SECTION 18. AMENDATORY 63 O.S. 20 21, Section 427.18, is
amended to read as follows:
Section 427.18 A. An Oklahoma A medical marijuana business
shall not sell, transfer or otherwise distribute medical marijuana
or medical marijuana produ ct that has not been packaged and labeled
in accordance with this sec tion and rules promulgated by the State
Commissioner of Health Executive Director of the Oklahoma Medical
Marijuana Authority.
B. A medical marijuana dispensary shall return medical
marijuana and medical marijuana product that does not meet packaging
or labeling requirements in this section or rules promulgated
pursuant thereto to the entity who transferred it to the dispensary.
The medical marijuana dispensary shall document to whom the item was
returned, what was returned and the date of the return or d ispose of
any usable marijuana that does not meet these requirements in
accordance with the Oklahoma Medical Marijuana and Patient
Protection Act.
C. 1. Medical marijuana packaging shal l be packaged to
minimize its appeal to children and shall not depict images other
than the business name logo of the medical marijuana producer and
image of the product.
2. A medical marijuana business shall not place any content on
a container in a mann er that reasonably appears to target
individuals under the age of twe nty-one (21) including, but not
limited to, cartoon characters or similar images.
3. Labels on a container shall not include any false or
misleading statements.
ENR. S. B. NO. 1543 Page 65
4. No container shall be intentionally or knowingly labeled so
as to cause a reasonable patie nt confusion as to whether the medical
marijuana, medical marijuana concentrate or medical marijuana
product is a trademarked product or labeled in a manner that
violates any federal trad emark law or regulation.
5. The label on the container shall not mak e any claims
regarding health or physical benefits to the patie nt.
6. All medical marijuana, medical marijuana concentrate and
medical marijuana products shall be in a child-resistant container
at the point of transfer to the patient or caregiver.
D. The State Department of Health Executive Director shall
develop minimum standards for packaging and labeling of medical
marijuana and medical marijuana products. Such standards shall
include, but not be limited to, the required contents of labels to
be affixed to all medical marijuana and medical marijuana products
prior to transfer to a licensed patient or caregiver, which shall
include, at a minimum:
1. THC and other cannabinoid potency, and terpenoid potency;
2. A statement indicating that the product ha s been tested for
contaminants;
3. One or more product warnings t o be determined by the
Department Executive Director; and
4. Any other information the Department Executive Director
deems necessary.
SECTION 19. AMENDATORY 63 O.S. 2021, Section 427.19, is
amended to read as follows:
Section 427.19 A. A medical marijuana research license may be
issued to a person to grow, cultivate, possess and transfer, by sal e
or donation, marijuana pursuant to the Oklahoma Medical Marijuana
and Patient Protection Act for the limited research purposes
identified in this section.
ENR. S. B. NO. 1543 Page 66
B. The annual fee for a medical marijuana research license
shall be Five Hundred Dollars ($500.00) and shall be payable by an
applicant for a medical mari juana research licen se upon submission
of his or her application to the Oklahoma Medical Marijuana
Authority.
C. A medical marijuana research license may be issued for the
following research purpose s:
1. To test chemical potency and composition levels;
2. To conduct clinical investigations of marijuana-derived
medicinal products;
3. To conduct research on the efficacy and safety of
administering marijuana as part of medical treatment;
4. To conduct genomic, horticultural or agricu ltural research;
and
5. To conduct research on marijuana-affiliated products or
systems.
D. 1. As part of the application process for a medical
marijuana research license, an applicant shall submit to the
Authority a description of the research that the applicant intends
to conduct and whether the research will be conducted with a public
institution or using public money. If the research will not be
conducted with a public institution or with public money, the
Authority shall grant the application if it determines that the
applicant meets the crit eria in this section.
2. If the research will be co nducted with a public institution
or public money, the Department Authority shall review the research
project of the applican t to determine if it meets the requirements
of this section and to assess the f ollowing:
a. the quality, study design, value or impact of the
project,
b. whether the applicant has the appropriate personnel,
expertise, facilities, infrastructure, funding an d
ENR. S. B. NO. 1543 Page 67
human, animal or other approvals in place to
successfully conduct the projec t, and
c. whether the amount of marijuana to be grown by the
applicant is consistent with the scope and goals of
the project.
3. If the Authority determines that the research project does
not meet the requirements of this section or assesses the criteri a
to be inadequate, the application shall be denied.
E. A medical marijuana research licensee may only transfer, by
sale or donation, marijuana grown within its operation to other
medical marijuana research licens ees. The Department Authority may
revoke a medical marijuana research license for violat ions of this
section and any other violation of the Oklahoma Medical Marijuana
and Patient Protection Act.
F. A medical marijuana re search licensee may contract to
perform research in conj unction with a public higher education
research institution or anot her medical marijuana research licensee.
G. The growing, cultivating, possessing or transferring, by
sale or donation, of marijuana in accordance with this section an d
the rules promulgate d pursuant thereto, by a medical marijuana
research licensee shall not be a criminal or civil offense under
state law. A medical marijuana research license shall be issued in
the name of the applican t and shall specify the location i n Oklahoma
this state at which the medical marijuana research licensee intends
to operate. A medical marijuana research licensee shall not allow
any other person to exercise the privilege of the license.
H. If the research conducted includes a public institution or
public money, the Authority shall review any reports made by medical
marijuana research licensees under state licensing authority rule
and provide the Authority with its determination on whether the
research project continues to meet research qualifications pursuant
to this section.
SECTION 20. AMENDATORY 63 O.S. 2021, Section 427.20, is
amended to read as follows:
ENR. S. B. NO. 1543 Page 68
Section 427.20 A. There is hereby created a medical marijuana
education facility license.
B. A medical marijuana education facility license may be issued
to a person to possess or cultivate mar ijuana for the limited
education and research purposes identified in this section.
C. A medical marijuana education facility license m ay only be
granted to a not-for-profit organization structured und er Section
501(c)(3) of the Internal Revenue Code, oper ating as an Oklahoma a
not-for-profit organization in this state registered organization
with the Office of the Secretary of State.
D. A medical marijuana education facility license may only be
granted upon the submission of an annual fee of Five Hundred Dollars
($500.00) to the Oklahoma Medical Marijuana Authority.
E. A medical marijuana education facility license may be issued
for the following education and research purposes:
1. To test cultivation techniques, strategies, infrastructure,
mediums, lighting and other related technology;
2. To demonstrate cultivation techniques, strategies,
infrastructure, mediums, lighting and other r elated technology;
3. To demonstrate the application and use of product
manufacturing technologies;
4. To conduct genomic, horticultural or agricultural research;
and
5. To conduct research on marijuana-affiliated products or
systems.
F. As part of the application process for a medical marijuana
education facility license, an applicant shall submit to the
Authority a description of the project and curriculum that the
applicant intends to conduct and whether the project and curriculum
will be conducted with a public institution or using public money .
If the project and curriculum will not be conducted with a public
institution or with public money, the Authority shall grant the
ENR. S. B. NO. 1543 Page 69
application. If the research will be conducted with a public
institution or public money, the Authority shall review the research
project of the applicant to determine if it meets the requirements
of this section and to assess the following:
1. The quality, study design, value or impact of the project;
2. Whether the applicant h as the appropriate personnel,
expertise, facilities, inf rastructure, funding and human, animal or
other approvals in plac e to successfully conduct the project; and
3. Whether the amount of marijuana to be grown by the applicant
is consistent with the scop e and goals of the project.
If the Authority determine s that the education project does not meet
the requirements of this section or assesses the criteria to be
inadequate, the application shall be denied.
G. A medical marijuana education facility license e may only
transfer, by sale or donation, marijuana g rown within its operation
to medical marijuana research licensees. The Department Authority
may revoke a medical marijuana education facility license for
violations of this section and any other violati on of applicable
laws, rules and regulations .
H. A medical marijuana education facility licensee may contract
to perform research in conjunction with a public higher education
research institution or another research licensee.
I. The growing, cultivating , possessing or transferring, by
sale or donation, of marijuana in accordance with this section and
the rules promulgated pursuant thereto, by a medical marijuana
education facility licensee shall not be a criminal or civil offense
under state law. A medical marijuana education facility license
shall be issued in the name of the applicant and shall specify the
location in Oklahoma this state at which the medical marijuana
education facility licensee intends to operate. A medical marijuana
education facility licensee shall not allow any other person to
exercise the privilege of the license.
SECTION 21. AMENDATORY 63 O.S. 2021, Section 427.22, is
amended to read as follows:
ENR. S. B. NO. 1543 Page 70
Section 427.22 A. All medical marijuana patient and caregiver
records and information including, but not limited to, any
application or renewal and supporting information submitted by a
qualifying patient or designated caregiver under the provisions of
the Oklahoma Medical Marijuana and Patient Protection Act and
information regarding the physician o f the qualifying patient shall
be considered confidential medical records that are exempt f rom the
Oklahoma Open Records Act.
B. The dispensary records with patient information shall be
treated as confidential records that are exempt from the Oklahoma
Open Records Act.
C. All financial information provided by an applicant or a
licensee in an application to the Authority shall be treated as
confidential records that are exempt from the Oklahoma Open Records
Act.
D. All information provided by an applicant or a licensee that
constitutes private business information shall be treated as
confidential records that are exempt from the Oklahoma Open Records
Act.
E. As used in this section, "private business information"
means information that, if disclosed, woul d give advantage to
competitors or bidders i ncluding, but not limited to, information
related to the planning, site location, operations, strategy or
product development and marketing of an applicant, unless approval
for release of those records is granted by the business.
F. All monthly report, in ventory tracking and seed-to-sale
information, data and records submitted to the Department Authority
shall be treated as confidential records and are exempt from the
Oklahoma Open Records Act.
G. Except for license information concerning licensed patient s,
the Department Authority may share confidential information with
other Oklahoma state agencies to assist those agencies in ensuring
compliance with applicable laws, rules and regulations.
ENR. S. B. NO. 1543 Page 71
SECTION 22. AMENDATORY 63 O.S. 2021, Sec tion 427.23, is
amended to read as follow s:
Section 427.23 A. The State Commissioner of Health Executive
Director of the Oklahoma Medical Marijuana Authority, the Oklahoma
Tax Commission, the State Treasurer, the Secretary of State and the
Director of the Office of Management and Enterprise Services sh all
promulgate rules to implement the provisions of the Oklahoma Medical
Marijuana and Patient Protection Act.
B. The Medical Marijuana Advisory Council , in addition to the
powers and duties granted in Section 423 of this title, may
recommend to the State Commissioner of Health rules relating to all
aspects regarding the safe cultivation and manufacturing of medical
marijuana products. In addition to the twelve (12) members required
in Section 423 of this title, the State Department of Health may
appoint up to eight additional members. The makeup of the Council
shall include medical marijuana industry representation.
SECTION 23. AMENDATORY 63 O.S. 2021, Section 427.24, is
amended to read as follows:
Section 427.24 A. Whenever an authorized agent of the State
Department of Health Oklahoma Medical Marijuana Authority finds, in
whole or in part, that the medical marijuana or medical marijuana
product fails to meet the requirements of Sections 420 through 426.1
of Title 63 of the Oklahoma Statutes this title or the Oklahoma
Medical Marijuana and Patient Protection Act as it relat es to health
and safety, the medical marijuana or medica l marijuana product is
handled in violation of applicable laws or rules and regulation s of
the Department promulgated by the Executive Director of the
Authority, or the medical marijuana or medical marijuana product may
be poisonous, deleterious to health or is oth erwise unsafe, an
electronic or physical tag or other appropriate marking or hold
shall be affixed to the medical marijuana or medical marijuana
product which shall give notice that the medical marijuana or
medical marijuana product is or is suspected of b eing manufactured,
produced, transferred, sold or offered for sale in violation of
applicable laws or rules and regulations of the Department
promulgated by the Executive Director and is embargoed. The notice
shall further provide a warning to all persons not to remove or
dispose of the medical marijuana or medical marijuana product unti l
ENR. S. B. NO. 1543 Page 72
permission for removal or disposal is given by the Department
Executive Director. It shall be unlawful f or any person to remove
or dispose of the medical marijuana or medical marijuana product
embargoed without permission by the Department Executive Director.
B. If the State Commissioner of Health Executive Director finds
that medical marijuana or medical marijuana product embargoed
pursuant to subsection A of this sect ion does not meet the
requirements of applicable laws or rules and regulations of the
Department promulgated by the Executive Director, or is poisonous,
deleterious to health or otherwise unsafe, the Commissioner
Executive Director may institute an action in the district court in
whose jurisdiction the medical marijuana or medical marijuana
product is embargoed for the condemnation and destruction of the
medical marijuana or medical marijuana product. If the Commissioner
Executive Director finds that the medical marijuana or medical
marijuana product embargoed does meet the requirem ents of applicable
laws and the rules and regulations of the Department promulgated by
the Executive Director and is not poisonous, deleterious to health
or otherwise unsafe, th e Commissioner Executive Director shall
remove the embargo. In any court proceeding regarding an embargo,
neither the State Department of Health, the Oklahoma Medical
Marijuana Authority or the Commissioner Executive Director shall be
held liable if the court finds reasonable belief for the embargo.
C. Except as otherwise provided in subsection D of this
section, if the court finds that the embargoed medical marijuana or
medical marijuana product, in whole or in part, i s in violation of
any applicable laws or rules and regulations of the Department
promulgated by the Executive Director or is poisonous, deleterious
to health or otherwise unsafe, the medical marijuana or medical
marijuana product shall be destroyed at the expense of the defendant
under the supervision of the Commissioner Executive Director. All
court costs, fees, costs of storage an d disposal and other proper
expenses shall be paid by the defendant of the medical marijuana or
medical marijuana product.
D. The court may order that the medical marijuana or medical
marijuana product be delivered to the defendant for appropriate
labeling or processing under the supervision of the Commissioner
Executive Director only if:
ENR. S. B. NO. 1543 Page 73
1. The violation can be corrected by pr oper processing of
medical marijuana or medical marijuana product;
2. All costs, fees and expenses have been paid; and
3. A sufficient bond is executed and conditioned for
appropriate labeling or processing as the court may r equire.
The expense of superv ision shall be paid to the Commissioner
Executive Director by the person obtaining release of the medical
marijuana or medical marijuana product under bond.
SECTION 24. AMENDATORY 63 O.S. 2021, Section 43 0, as
last amended by Secti on 28, Chapter 553, O.S.L. 2021, is amended to
read as follows:
Section 430. A. There is hereby created and authorized a
medical marijuana waste disposal lic ense. A person or entity in
possession of a medical marijuana waste disposal license shall be
entitled to possess, transport and dispose of medical marijuana
waste. No person or entity shall dispose of medical marijua na waste
without a valid medical mari juana waste disposal license. The
Oklahoma Medical Marijuana Authority shall issue licenses upon
proper application by a licensee and determination by the Authority
that the proposed site and facility are physically an d technically
suitable. Upon a findi ng that a proposed medical marijuana waste
disposal facility is not physically or technically suitable, the
Authority shall deny the license. The Authority may, upon
determining that public health or safety requires em ergency action,
issue a temporary lic ense for treatment or storage of medical
marijuana waste for a period not to exceed ninety (90) days. The
Authority shall not, for the first year of the licensure program,
issue more than ten medical marijuana waste di sposal licenses. Upon
the conclusion of the first year, the Authority shall assess the
need for additional medical marijuana waste disposal licenses and
shall, if demonstrated, increase the number of licenses as deemed
necessary by the Authority.
B. Entities applying for a medical marijuana waste disposal
license shall undergo the following screening process:
ENR. S. B. NO. 1543 Page 74
1. Complete an application form, as prescribed by the
Authority, which shall include:
a. an attestation that the applicant is authorized to
make application on behalf of the entity,
b. full name of the organization,
c. trade name, if applicable,
d. type of business organization,
e. complete mailing address,
f. an attestation that the commerc ial entity will not be
located on tribal land,
g. telephone number and email address of the entit y, and
h. name, residential address and date of birth of each
owner and each member, manager and board member, if
applicable;
2. The application for a medical marijuana waste disposal
license made by an individual on h is or her own behalf shall be on
the form prescribed by the Authority and shall include, but not be
limited to:
a. the first, middle and last name of the applicant and
suffix, if applicable,
b. the residence address and mailing address of the
applicant,
c. the date of birth of the applicant,
d. the preferred telephone number and email address of
the applicant,
e. an attestation that the information provided by the
applicant is true and correct, and
ENR. S. B. NO. 1543 Page 75
f. a statement signed by the applicant pledging not to
divert marijuana to any individual or ent ity that is
not lawfully entitled to possess marijuana; and
3. Each application shall be accompanied by the following
documentation:
a. a list of all persons or entities that have an
ownership interest in the entity,
b. a certificate of good standing from the Oklahoma
Secretary of State, if applicable,
c. an Affidavit of Lawful Presence for each owner,
d. proof that the proposed location of the disposal
facility is at least one thousand (1,000) feet from a
public or private school. The distance indicated in
this subparagraph shall be measured from the nearest
property line of such public or private school to the
nearest perimeter wall of the premises of such
disposal facility. If any public or private school is
established within one thousand (1,000) feet of any
disposal facility after such disposal facility has
been licensed, the provisions of this subparagraph
shall not be a deterrent to the renewal of such
license or warrant revocation of the license, and
e. documents establishing the applicant, the mem bers,
managers and board members, if applicable, and
seventy-five percent (75%) of the ownership interests
are Oklahoma residents of this state as established in
Section 420 et seq. of this title, as it relates to
proof of state residency.
C. No license shall be issued except upon proof of sufficient
liability insurance and financial responsibility. Liability
insurance shall be provided by the applicant and shall apply to
sudden and nonsudden bodily injury or property damage on, below or
above the surface, as required by the rules of the Authority
promulgated by the Executive Director. Such insurance shall be
maintained for the period of operation of the facility and shall
ENR. S. B. NO. 1543 Page 76
provide coverage for damages resulting from operation of the
facility during operat ion and after closing.
D. Submission of an application for a medical marijuana waste
disposal license shall constitute permission for entry to and
inspection of the facility of the licensee during hours of operation
and other reasonable times. Refusal to permit such entry of
inspection shall constitute grounds for the nonrenewal, suspension
or revocation of a license. The Authority may perform an annual
unannounced on-site inspection of the operations and any facility of
the licensee. If the Authority r eceives a complaint concerning
noncompliance by a licensee with the provisions of the Oklahoma
Medical Marijuana Waste Management Act, the Authority may conduct
additional unannounced, on-site inspections beyond an annual
inspection. The Authority may ref er all complaints alleging
criminal activity that are made against a licensed facility to
appropriate state or local law enforcement authorities.
E. The Authority shall issue an annual permit for each medical
marijuana waste disposal facility operated by a licensee. A permit
shall be issued only upon proper application by a licensee and
determination by the Authority that the proposed site and facility
are physically and technic ally suitable. Upon a finding that a
proposed medical marijuana waste disposa l facility is not physically
or technically suitable, the Authority shall deny the permit. The
Authority shall have the authority to revoke a permit upon a finding
that the site and facility are not physically and technically
suitable for processing. The Authority may, upon determining that
public health or safety requires emergency action, issue a temporary
permit for treatment or storage of medical marijuana waste for a
period not to exceed ninety (90) days.
F. The cost of a medical marijuana waste dis posal license shall
be Five Thousand Dollars ($5,000.00) for the initial license. The
cost of a medical marijuana waste disposal facility permit shall be
Five Hundred Dollars ($ 500.00). A medical marijuana waste disposal
facility permit that has been rev oked shall be reinstated upon
remittance of a reinstatement fee of Five Hundred Dollars ($500.00)
to restore the facility permit. All license and permit fees shall
be deposited into the Oklahoma Medical Marijuana Authority Revolving
Fund as provided in Se ction 427.5 of this title.
ENR. S. B. NO. 1543 Page 77
G. The holder of a medical marijuana waste disposal license
shall not be required to obtain a medical marijuana transporter
license provided for in th e Oklahoma Medical Marijuana and Patient
Protection Act for purposes of transp orting medical marijuana waste.
H. All commercial licensees, as defined in Section 428.1 of
this title, shall utilize a licensed medical marijuana waste
disposal service to proc ess all medical marijuana waste generated by
the licensee.
I. The State Commissioner of Health Executive Director of the
Authority shall promulgate rules for the implementat ion of the
Oklahoma Medical Marijuana Waste Management Act. Promulgated rules
shall address disposal process standards, site security and any
other subject matter deemed necessary by the Authority Executive
Director.
SECTION 25. This act shall become effective November 1, 2022.
ENR. S. B. NO. 1543 Page 78
Passed the Senate the 5th day of May, 2022.
Presiding Officer of the Senate
Passed the House of Representatives the 28th day of April, 2022.
Presiding Officer of the House
of Representatives
OFFICE OF THE GOVERNOR
Received by the Office of the Governor this _______ _____________
day of _________________ __, 20_______, at _______ o'clock _______ M.
By: _______________________________ __
Approved by the Governor of the State of Oklahoma this _____ ____
day of ___________________, 20_______, at _______ o'clock _______ M.
_________________________________
Governor of the State of Oklahoma
OFFICE OF THE SECRETARY OF STATE
Received by the Office of the Secretary of State this _______ ___
day of __________________, 20 _______, at _______ o'clock _______ M.
By: _______________________________ __