Oklahoma 2022 Regular Session

Oklahoma Senate Bill SB1697 Compare Versions

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Version 2 (New)

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3		-	ENGR. H. A. to ENGR. S. B. NO. 1697 Page 1 1
	3	+	SB1697 HFLR Page 1
	4	+	BOLD FACE denotes Committee Amendments. 1
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28		-	ENGROSSED HOUSE AMENDME NT
29		-	TO
30		-	ENGROSSED SENATE BILL NO . 1697 By: Jech of the Senate
	29	+	HOUSE OF REPRESENTATIVES - FLOOR VERSION
	30	+
	31	+	STATE OF OKLAHOMA
	32	+
	33	+	2nd Session of the 58th Legislature (2022)
	34	+
	35	+	COMMITTEE SUBSTITUTE
	36	+	FOR ENGROSSED
	37	+	SENATE BILL NO. 1697 By: Jech and Pederson of the
	38	+	Senate
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32	40		and
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34	42		Moore of the House
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39		-	[ medical marijuana growing operations - bond to be
40		-	submitted during application process - area of
41		-	commercial growing operations - sufficient in event
42		-	of loss of license - codification -
43		-	emergency ]
	47	+	COMMITTEE SUBSTITUTE
44	48
45		-
46		-
47		-
48		-	AUTHOR: Add the following Senate Coauthor: Pederson
49		-
50		-	AMENDMENT NO. 1. Strike the title, enacting clause, and entire bill
51		-	and insert:
52		-
53		-
54		-
55		-
56		-	"An Act relating to medical marijuana growing
57		-	operations; amending 63 O.S. 2021, Section 427.14,
58		-	as last amended by Section 8, Chapter 584, O.S.L.
59		-	2021, which relates to the medical marijuana
60		-	business license; requiring bond to be submitted
61		-	during application process if participating in
62		-	growing operations; requiring bond to be filed with
63		-	the Oklahoma Medical Marijuana Authority for
64		-	designated area of commercial growing operations;
65		-	providing minimum amount; allowing Authority to
66		-	require additional coverage; requiring amount should
67		-	be sufficient in event of loss of license; providing
68		-	for codification; and declaring an emergency.
	49	+	An Act relating to medical marijuana growing
	50	+	operations; amending 63 O.S. 2021, Section 427.14, as
	51	+	last amended by Section 8, Chapter 584, O.S.L. 2021,
	52	+	which relates to the medical marijuana b usiness
	53	+	license; requiring bond to be submitted dur ing
	54	+	application process if participating in growing
	55	+	operations; requiring bond to be filed with the
	56	+	Oklahoma Medical Marijuana Authority for designated
	57	+	area of commercial growing operations; providing
	58	+	minimum amount; allowing Authority to require
	59	+	additional coverage; requiring amount should be
	60	+	sufficient in event of loss o f license; providing for
	61	+	codification; and declaring an emergency.
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74	67		BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
	68	+	SECTION 1. AMENDATORY 63 O.S. 2021, Section 427.14, as
	69	+	last amended by Section 8, Chapter 584, O.S.L. 20 21, is amended to
	70	+	read as follows:
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76		-	ENGR. H. A. to ENGR. S. B. NO. 1697 Page 2 1
	72	+	SB1697 HFLR Page 2
	73	+	BOLD FACE denotes Committee Amendments. 1
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101		-	SECTION 1. AMENDATORY 63 O.S. 2021, Section 427.14, as
102		-	last amended by Section 8, Chapter 584, O. S.L. 2021, is amended to
103		-	read as follows:
104	98		Section 427.14 A. There is hereby created the medical
105	99		marijuana business license, which shall includ e the following
106	100		categories:
107	101		1. Medical marijuana commercial grower ;
108	102		2. Medical marijuana processor;
109	103		3. Medical marijuana dispensary;
110	104		4. Medical marijuana transporter; and
111	105		5. Medical marijuana testing laboratory.
112	106		B. The Oklahoma Medical Marijuana Auth ority, with the aid of
113	107		the Office of Management and Enterprise Serv ices, shall develop a
114	108		website for medical marijuana business applications.
115	109		C. The Authority shall make available o n its website in an
116	110		easy-to-find location, applications for a medical mari juana
117	111		business.
118	112		D. The nonrefundable application fee for a medical marijuana
119	113		business license shall be Two Thousand Five Hundred Dollars
120	114		($2,500.00).
121	115		E. All applicants seeking lice nsure or licensure renewal as a
122	116		medical marijuana bu siness shall comply wi th the following general
123	117		requirements:
	118	+	1. All applications for lic enses and registrations authorized
	119	+	pursuant to this section shall be made upon forms prescribed by the
	120	+	Authority;
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125		-	ENGR. H. A. to ENGR. S. B. NO. 1697 Page 3 1
	122	+	SB1697 HFLR Page 3
	123	+	BOLD FACE denotes Committee Amendments. 1
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150		-	1. All applications for lic enses and registrations authorized
151		-	pursuant to this section shall be made upon forms prescribed by the
152		-	Authority;
153	148		2. Each application shall identify the city or cou nty in which
154	149		the applicant seeks to obtain licensure as a medical ma rijuana
155	150		business;
156	151		3. Applicants shall submit a complete application to the
157	152		Authority before the application may be accepted or considered;
158	153		4. All applications shall be complete and accurate in every
159	154		detail;
160	155		5. All applications shall includ e all attachments or
161	156		supplemental information required by the forms supplied by the
162	157		Authority;
163	158		6. All applications shall be accompanied by a full remittance
164	159		for the whole amount of the application fees. Application fees are
165	160		nonrefundable;
166	161		7. All applicants shall be approved for licensing r eview that,
167	162		at a minimum, meets the following criter ia:
168	163		a. all applicants shall be age twenty-five (25) years of
169	164		age or older,
170	165		b. any applicant applying as an individual shall show
171	166		proof that the applicant is an Okl ahoma resident
172	167		pursuant to paragraph 11 12 of this subsection,
	168	+	c. any applicant applying as a n entity shall show that
	169	+	seventy-five percent (75%) of all members, managers,
	170	+	executive officers, partners, board members or any
	171	+	other form of business ownership are Oklahoma
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174		-	ENGR. H. A. to ENGR. S. B. NO. 1697 Page 4 1
	173	+	SB1697 HFLR Page 4
	174	+	BOLD FACE denotes Committee Amendments. 1
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199		-	c. any applicant applyi ng as an entity shall show that
200		-	seventy-five percent (75%) of all members, managers,
201		-	executive officers, partners, board members or any
202		-	other form of business ownership are Oklahoma
203	199		residents pursuant to paragra ph 11 12 of this
204	200		subsection,
205	201		d. all applying individ uals or entities shall be
206	202		registered to conduct business in this state,
207	203		e. all applicants shall disclose all ownership interests
208	204		pursuant to the Oklahoma Medical Marijuana and Patient
209	205		Protection Act, and
210	206		f. applicants shall not have been convicted o f a
211	207		nonviolent felony in the last two (2) years, and any
212	208		other felony conviction within the last five (5)
213	209		years, shall not be current inmates , or currently
214	210		incarcerated in a jail or corrections facility;
215	211		8. There shall be no limit to the number of medical marijuana
216	212		business licenses or categories that an individual or entity can
217	213		apply for or receive, although each application and each categor y
218	214		shall require a separate application and application fee. A
219	215		commercial grower, processor and dispensary, or any c ombination
220	216		thereof, are authorized to share the same address or physical
221	217		location, subject to the restrictions set forth in the Oklahoma
222	218		Medical Marijuana and Patient Protection Act ;
	219	+	9. All applicants for a med ical marijuana business license,
	220	+	research facility license or education facility license authorized
	221	+	by the Oklahoma Medical Marijuana and Patient Protection Act shall
	222	+	undergo an Oklahoma cr iminal history background check conducted by
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224		-	ENGR. H. A. to ENGR. S. B. NO. 1697 Page 5 1
	224	+	SB1697 HFLR Page 5
	225	+	BOLD FACE denotes Committee Amendments. 1
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249		-	9. All applicants for a med ical marijuana business license,
250		-	research facility license or education facility license authorized
251		-	by the Oklahoma Medical Marijuana and Patient Protection Act shall
252		-	undergo an Oklahoma cr iminal history background check conducted by
253	250		the Oklahoma State Bur eau of Investigation (OSBI) within thirty (30)
254	251		days prior to the application for the license including:
255	252		a. individual applicants applying on their own behalf,
256	253		b. individuals applying on beh alf of an entity,
257	254		c. all principal officers of an entity, and
258	255		d. all owners of an entity as d efined by Section 427.2 of
259	256		this title;
260	257		10. All applicants for a medical marijuana business license
261	258		seeking to operate a commercial grow shall file along with their
262	259		application a bond as prescribed in Section 2 of this act ;
263	260		10. 11. All applicable fees charged by OSBI are the
264	261		responsibility of the applicant and shall not be higher than fees
265	262		charged to any other person or industry for such background checks;
266	263		11. 12. In order to be considered an Oklahoma resident for
267	264		purposes of a medical marijuana business application, all applicant s
268	265		shall provide proof of Oklahoma residency for at least two (2) years
269	266		immediately preceding the date of application or five (5) years of
270	267		continuous Oklahoma residency during the preceding twent y-five (25)
271	268		years immediately preceding the date of applicatio n. Sufficient
	269	+	documentation of proof of residency shall include a combination of
	270	+	the following:
	271	+	a. an unexpired Oklahoma -issued driver license,
	272	+	b. an Oklahoma voter identification card,
272	273
273		-	ENGR. H. A. to ENGR. S. B. NO. 1697 Page 6 1
	274	+	SB1697 HFLR Page 6
	275	+	BOLD FACE denotes Committee Amendments. 1
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298		-	documentation of proof of residency shall include a combination of
299		-	the following:
300		-	a. an unexpired Oklahoma -issued driver license,
301		-	b. an Oklahoma voter identification card,
302	300		c. a utility bill preceding the date of application,
303	301		excluding cellular telephone and Internet bills,
304	302		d. a residential property deed to property in this state,
305	303		and
306	304		e. a rental agreement preceding the date of application
307	305		for residential property located in this state.
308	306		Applicants that were issued a medical mari juana business license
309	307		prior to the enactment of the Oklahoma Medical Marijuana and Patient
310	308		Protection Act are hereby exempt from the two-year or five-year
311	309		Oklahoma residence requirement m entioned above;
312	310		12. 13. All license applicants shall be required to su bmit a
313	311		registration with the Oklahoma State Bureau of Narcotics and
314	312		Dangerous Drugs Control as provided in Sections 2 -302 through 2-304
315	313		of this title;
316	314		13. 14. All applicants shall establish their identity through
317	315		submission of a color copy or digital image of one of the following
318	316		unexpired documents:
319	317		a. front and back of an Oklahoma driver license,
320	318		b. front and back of an Oklahoma identification card,
	319	+	c. a United States passport or other photo identifica tion
	320	+	issued by the United States government,
	321	+	d. certified copy of the applicant’s birth certificate
	322	+	for minor applicants who do not possess a document
	323	+	listed in this section, or
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322		-	ENGR. H. A. to ENGR. S. B. NO. 1697 Page 7 1
	325	+	SB1697 HFLR Page 7
	326	+	BOLD FACE denotes Committee Amendments. 1
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347		-	c. a United States passport or other photo identifica tion
348		-	issued by the United States government,
349		-	d. certified copy of the applicant’s birth certificate
350		-	for minor applicants who do not possess a document
351		-	listed in this section, or
352	351		e. a tribal identificati on card approved for
353	352		identification purposes by the Oklahoma Department of
354	353		Public Safety; and
355	354		14. 15. All applicants shall submit an applicant photograph.
356	355		F. The Authority shall review the medical marijuana business
357	356		application, approve or reject the app lication and mail the
358	357		approval, rejection or status -update letter to the applicant within
359	358		ninety (90) business days of receipt of the application.
360	359		G. 1. The Authority shall review the medical marijuana
361	360		business applications and conduct all investigations , inspections
362	361		and interviews before approving the app lication.
363	362		2. Approved applicants shall be issued a medical mariju ana
364	363		business license for the specific category applied under which shall
365	364		act as proof of their approved status. Rejection letters shall
366	365		provide a reason for the rejection. Applications ma y only be
367	366		rejected based on the applicant not meeting the standards set forth
368	367		in the provisions of this section, improper completion of the
369	368		application or for a reason provided for in the Oklahoma Medical
370	369		Marijuana and Patient Protection Act . If an application is rejected
	370	+	for failure to provide required information, the applicant shall
	371	+	have thirty (30) days to submit the required information for
	372	+	reconsideration. No additional application fee shall be charged for
	373	+	such reconsideration.
371	374
372		-	ENGR. H. A. to ENGR. S. B. NO. 1697 Page 8 1
	375	+	SB1697 HFLR Page 8
	376	+	BOLD FACE denotes Committee Amendments. 1
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397		-	for failure to provide required informatio n, the applicant shall
398		-	have thirty (30) days to submit the required information for
399		-	reconsideration. No additional application fee shall be charged for
400		-	such reconsideration.
401	401		3. Status-update letters shall provide a reason for delay in
402	402		either approval or rejecti on should a situation arise in which an
403	403		application was submitted properly, but a delay in processing the
404	404		application occurred.
405	405		4. Approval, rejection or status -update letters shall be s ent
406	406		to the applicant in the same method the application was submitted to
407	407		the Authority.
408	408		H. A medical marijuana business license shall not be issued to
409	409		or held by:
410	410		1. A person until a ll required fees have been paid;
411	411		2. A person who has been convicte d of a nonviolent felony
412	412		within two (2) years of the date of application, or within five (5)
413	413		years for any other felony;
414	414		3. A corporation, if the criminal history of any of its
415	415		officers, directors or stockholde rs indicates that the officer,
416	416		director or stockholder has been con victed of a nonviolent felony
417	417		within two (2) years o f the date of application, or within five (5)
418	418		years for any other felony;
419	419		4. A person under twenty-five (25) years of age;
	420	+	5. A person licensed pursuant to this section who, dur ing a
	421	+	period of licensure, or who, at the time of application, has failed
	422	+	to:
	423	+	a. file taxes, interest or penalties due related to a
	424	+	medical marijuana business, or
420	425
421		-	ENGR. H. A. to ENGR. S. B. NO. 1697 Page 9 1
	426	+	SB1697 HFLR Page 9
	427	+	BOLD FACE denotes Committee Amendments. 1
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446		-	5. A person licensed pursuant to this section who, dur ing a
447		-	period of licensure, or who, at the time of application, has fai led
448		-	to:
449		-	a. file taxes, interest or penalties due related to a
450		-	medical marijuana business, or
451	452		b. pay taxes, interest or penalties due related to a
452	453		medical marijuana business;
453	454		6. A sheriff, deputy sheriff, police officer or prosecuting
454	455		officer, or an officer or em ployee of the Authority or municipality;
455	456		or
456	457		7. A person whose authority to be a caregiver as defined in the
457	458		Oklahoma Medical Marijuana a nd Patient Protection Act has been
458	459		revoked by the Authority.
459	460		I. In investigating the qualifications of an applicant or a
460	461		licensee, the Authority and municipalities may have access to
461	462		criminal history record information furnished by a criminal justice
462	463		agency subject to any restrictions imposed by such an agency. In
463	464		the event the Authority considers the criminal history re cord of the
464	465		applicant, the Authority shall also consider any information
465	466		provided by the applicant regarding such crimin al history record
466	467		including but not limited to evidence of rehabilitation, character
467	468		references and educational achievements, especially those items
468	469		pertaining to the period of time between the last criminal
	470	+	conviction of the applicant and the considerati on of the application
	471	+	for a state license.
	472	+	J. The failure of an applicant to provide the requested
	473	+	information by the Authority deadline may be grounds for denial of
	474	+	the application.
469	475
470		-	ENGR. H. A. to ENGR. S. B. NO. 1697 Page 10 1
	476	+	SB1697 HFLR Page 10
	477	+	BOLD FACE denotes Committee Amendments. 1
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495		-	conviction of the applicant and the considerati on of the application
496		-	for a state license.
497		-	J. The failure of an applicant to provide the requested
498		-	information by the Authority d eadline may be grounds for denial of
499		-	the application.
500	502		K. All applicants shall submit information to the Authority in
501	503		a full, faithful, truthful and fair manner. The Authority may
502	504		recommend denial of an applica tion where the applicant made
503	505		misstatements, omissions, misrepresentations or untruths in the
504	506		application or in connection with the background investigation of
505	507		the applicant. This type of conduct may be considered as the ba sis
506	508		for additional administrativ e action against the applicant. Typos
507	509		and scrivener errors shall not be grounds for denial.
508	510		L. A licensed medical marijuana business premises shall be
509	511		subject to and responsible for compl iance with applicable provisions
510	512		for medical marijuana business fac ilities as described in the most
511	513		recent versions of the Oklahoma Uniform Building Code, the
512	514		International Building Code and the International Fire Code, unless
513	515		granted an exemption by the A uthority or municipality.
514	516		M. All medical marijuana business licens ees shall pay the
515	517		relevant licensure f ees prior to receiving licensure to operate a
516	518		medical marijuana business, as defined in the Oklahoma Medical
517	519		Marijuana and Patient Protection Act for each class of license.
	520	+	N. An original medical marijuana business li cense issued on or
	521	+	after June 26, 2018, by the Autho rity, for a medical marijuana
	522	+	commercial grower, a medical marijuana processor or a medical
	523	+	marijuana dispensary shall be deemed to have been grandfathered into
	524	+	the location on the date the original licen se was first issued for
	525	+	purposes of determining the authority of the business to conduct and
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519		-	ENGR. H. A. to ENGR. S. B. NO. 1697 Page 11 1
	527	+	SB1697 HFLR Page 11
	528	+	BOLD FACE denotes Committee Amendments. 1
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544		-	N. An original medical marijuana business li cense issued on or
545		-	after June 26, 2018, by the Authority, for a medical marijuana
546		-	commercial grower, a medical marijuana processor or a medical
547		-	marijuana dispensary shall be deemed to have been grandfathered into
548		-	the location on the date the original licen se was first issued for
549		-	purposes of determining the authority of the business to conduct and
550	553		continue the same type of business at that location under a license
551	554		issued by the Authority, exc ept as may be provided in Sectio ns 425
552	555		and 426.1 of this title. An y change in ownership after the original
553	556		medical marijuana business license has been issued by the Authority
554	557		shall be construed by the Authority to be a continuation of the same
555	558		type of business originally licensed at tha t location. Nothing
556	559		shall authorize the Authority to deny issuance or renewal of a
557	560		license or transfer of license due to a change in ownership for the
558	561		same business location previously licensed, except when a revocation
559	562		is otherwise authorized by law or a protest is made under the
560	563		municipal compliance provisions of Section 426.1 of this tit le.
561	564		SECTION 2. NEW LAW A new section of law to be codified
562	565		in the Oklahoma Statutes as Section 427.25 of Title 63, unless there
563	566		is created a duplication in numbering, reads as foll ows:
564	567		A. It shall be unlawful for any holder of a medical marijuana
565	568		business license pursuant to Section 427.14 of Titl e 63 of the
566	569		Oklahoma Statutes to engage in any commercial growing operations in
567	570		this state without acquiring a bond. The bond shall cover that area
	571	+	of land within the permit area upon whic h the business licensee will
	572	+	initiate and conduct commercial growing operations.
	573	+	B. Every applicant for a commercial grower license or
	574	+	commercial grower licensee shall file with the Oklahoma Medical
	575	+	Marijuana Authority a bond satisfactory to the Authority and in the
	576	+	amount no less than Twenty-five Thousand Dollars ($25,000.00) for
568	577
569		-	ENGR. H. A. to ENGR. S. B. NO. 1697 Page 12 1
	578	+	SB1697 HFLR Page 12
	579	+	BOLD FACE denotes Committee Amendments. 1
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594		-	of land within the permit area up on which the business licensee will
595		-	initiate and conduct commercial growing operations.
596		-	B. Every applicant for a commercial grower license or
597		-	commercial grower licensee shall file with the Oklahoma Medical
598		-	Marijuana Authority a bond satisfactory to the Authority and in the
599		-	amount no less than Twenty-five Thousand Dollars ($25,000.00) for
600	604		each license sought or held, with a surety company qualifie d to do
601	605		business in this state as surety. The bond shall be furnis hed to
602	606		the state for the use o f the state pursuant to the provisions of
603	607		this act. The bond shall be conditional that t he obligor will
604	608		comply with the provisions of this act and all rules and regulations
605	609		made pursuant to this act and will pay all amounts o f money that may
606	610		be due to the state during the time such bond is in effect.
607	611		C. The Authority may require a higher amount depending upon the
608	612		reclamation requirements of the approved application. The amount
609	613		shall reflect the probable difficulty of reclamation with
610	614		consideration for such factors including, but not limited to,
611	615		topography, hydrology, and revegetation potential. The amount of
612	616		the bond for a commercial growing operation shall be sufficient to
613	617		assure the completion of the reclamation plan if th e work has to be
614		-	performed by the Authority in the event of license ~~revocation~~.
	618	+	performed by the Authority in the event of revocation of license.
615	619		SECTION 3. It being immediately necessary for the pr eservation
616		-	of the public peace, healt h or safety, an emergency is hereby
617		-
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643		-	declared to exist, by reason wh ereof this act shall take effect and
644		-	be in full force from and after its passage and approval."
645		-	Passed the House of Representatives the 20th day of April, 2022.
646		-
647		-
648		-
649		-
650		-
651		-	Presiding Officer of the House of
652		-	Representatives
653		-
654		-
655		-	Passed the Senate the ____ day of _______ ___, 2022.
656		-
657		-
658		-
659		-
660		-
661		-	Presiding Officer of th e Senate
662		-
663		-
664		-
665		-
666		-	ENGR. S. B. NO. 1697 Page 1 1
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691		-	ENGROSSED SENATE
692		-	BILL NO. 1697 By: Jech of the Senate
693		-
694		-	and
695		-
696		-	Moore of the House
697		-
698		-
699		-
700		-
701		-	[ medical marijuana growing operations - bond to be
702		-	submitted during application process - area of
703		-	commercial growing operations - sufficient in event
704		-	of loss of license - codification -
705		-	emergency ]
706		-
707		-
708		-
709		-
710		-
711		-	BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
712		-	SECTION 4. AMENDATORY 63 O.S. 2021, Section 427.14, as
713		-	last amended by Section 8, Chapter 584, O.S.L. 2021, is amended to
714		-	read as follows:
715		-	Section 427.14. A. There is hereby created the medical
716		-	marijuana business license, which shall include the following
717		-	categories:
718		-	1. Medical marijuana commercial grower;
719		-	2. Medical marijuana processor;
720		-	3. Medical marijuana dispensary;
721		-	4. Medical marijuana transporter; and
722		-	5. Medical marijuana testing laboratory.
723		-
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748		-
749		-	B. The Oklahoma Medical Marijuana Authority, with the aid of
750		-	the Office of Management and Enterprise Services, shall develop a
751		-	website for medical marijuana business applications.
752		-	C. The Authority shall make available o n its website in an
753		-	easy-to-find location, applications for a medical marijuana
754		-	business.
755		-	D. The nonrefundable application fee for a medical marijuana
756		-	business license shall be Two Thousand Five Hundred Dollars
757		-	($2,500.00).
758		-	E. All applicants seeking lice nsure or licensure renewal as a
759		-	medical marijuana bu siness shall comply with the following general
760		-	requirements:
761		-	1. All applications for licenses and registrations authorized
762		-	pursuant to this secti on shall be made upon forms prescribed by the
763		-	Authority;
764		-	2. Each application shall identify the city or cou nty in which
765		-	the applicant seeks to obtain licensure as a medical ma rijuana
766		-	business;
767		-	3. Applicants shall submit a complete application to the
768		-	Authority before the application may be accepted or considered;
769		-	4. All applications shall be complete and accurate in every
770		-	detail;
771		-
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796		-
797		-	5. All applications shall includ e all attachments or
798		-	supplemental information required by the forms supplied by the
799		-	Authority;
800		-	6. All applications shall be accompanied by a full remittance
801		-	for the whole amount of the application fees. Application fees are
802		-	nonrefundable;
803		-	7. All applicants shall be approved for licensing review that,
804		-	at a minimum, meets the following criteria:
805		-	a. all applicants shall be age twenty-five (25) years of
806		-	age or older,
807		-	b. any applicant applying as an individual shall show
808		-	proof that the applicant is an Okl ahoma resident
809		-	pursuant to paragraph 11 12 of this subsection,
810		-	c. any applicant applying as an entity shall show that
811		-	seventy-five percent (75%) of all members, managers,
812		-	executive officers, partners, board members or any
813		-	other form of business ownership are Oklahoma
814		-	residents pursuant to paragraph 11 12 of this
815		-	subsection,
816		-	d. all applying individuals or ent ities shall be
817		-	registered to conduct business in this state,
818		-	e. all applicants shall disclose all ownership interests
819		-	pursuant to the Oklahoma Medical Marijuana and Patient
820		-	Protection Act, and
821		-
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846		-
847		-	f. applicants shall not have been convicted o f a
848		-	nonviolent felony in the last two (2) years, and any
849		-	other felony conviction within the last five (5)
850		-	years, shall not be current inmates , or currently
851		-	incarcerated in a jail or corrections facility;
852		-	8. There shall be no limit to the number of medical marijuana
853		-	business licenses or categories that an individual or entity can
854		-	apply for or receive, although each application and each categor y
855		-	shall require a separate application and application fee. A
856		-	commercial grower, processor and dispensary, or any c ombination
857		-	thereof, are authorized to share the same address or physical
858		-	location, subject to the restrictions set forth in the Oklahoma
859		-	Medical Marijuana and Patient Protection Act ;
860		-	9. All applicants for a medical marijuana business license,
861		-	research facility license or education facility license authorized
862		-	by the Oklahoma Medical Marijuana and Patient Protection Act shall
863		-	undergo an Oklahoma criminal history background check conducted by
864		-	the Oklahoma State Bureau of Investigation (OSBI) within thirty (30)
865		-	days prior to the application for the license including:
866		-	a. individual applicants applying on their own behalf,
867		-	b. individuals applying on behalf of an entity,
868		-	c. all principal officers of an entity, and
869		-	d. all owners of an entity as d efined by Section 427.2 of
870		-	this title;
871		-
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896		-
897		-	10. All applicants for a medical marijuana business license
898		-	seeking to operate a commercial grow shall file along with their
899		-	application a bond as prescribed in Section 2 of this act ;
900		-	10. 11. All applicable fees charged by OSBI are the
901		-	responsibility of the applicant and shall not be higher than fees
902		-	charged to any other person or industry for such background checks;
903		-	11. 12. In order to be consi dered an Oklahoma resident for
904		-	purposes of a medical marijuana business application, all applicants
905		-	shall provide proof of Oklahoma residency for at least two (2) years
906		-	immediately preceding the date of application or five (5) years of
907		-	continuous Oklahoma residency during the preceding twent y-five (25)
908		-	years immediately preceding the date of application. Sufficient
909		-	documentation of proof of residency shall include a combination of
910		-	the following:
911		-	a. an unexpired Oklahoma -issued driver license,
912		-	b. an Oklahoma voter identification card,
913		-	c. a utility bill preceding the date of application,
914		-	excluding cellular telephone and Internet bills,
915		-	d. a residential property deed to property in this state,
916		-	and
917		-	e. a rental agreement preceding the date of application
918		-	for residential property located in this state.
919		-	Applicants that were issued a medical mari juana business license
920		-	prior to the enactment of the Oklahoma Medical Marijuana and Patient
921		-
922		-	ENGR. S. B. NO. 1697 Page 6 1
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946		-
947		-	Protection Act are hereby exempt from the two-year or five-year
948		-	Oklahoma residence requirement m entioned above;
949		-	12. 13. All license applicants shall be required to su bmit a
950		-	registration with the Oklahoma State Bureau of Narcotics and
951		-	Dangerous Drugs Control as provided in Sections 2 -302 through 2-304
952		-	of this title;
953		-	13. 14. All applicants shall establish their identity through
954		-	submission of a color copy or digital image of one of the following
955		-	unexpired documents:
956		-	a. front and back of an Oklahoma driver license,
957		-	b. front and back of an Oklahoma identification card,
958		-	c. a United States passport or other photo identifica tion
959		-	issued by the United States government,
960		-	d. certified copy of the applicant ’s birth certificate
961		-	for minor applicants who do not possess a document
962		-	listed in this section, or
963		-	e. a tribal identification card approved for
964		-	identification purposes by the Oklahoma Department of
965		-	Public Safety; and
966		-	14. 15. All applicants shall submit an a pplicant photograph.
967		-	F. The Authority shall review the medical marijuana business
968		-	application, approve or reject the applicat ion and mail the
969		-	approval, rejection or status -update letter to the applicant within
970		-	ninety (90) business days of receipt of the a pplication.
971		-
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996		-
997		-	G. 1. The Authority shall review the medical marijuana
998		-	business applications and conduct all investigations, in spections
999		-	and interviews before approving the app lication.
1000		-	2. Approved applicants shall be issued a medical marijuana
1001		-	business license for the specific category applied under which shall
1002		-	act as proof of their approved status. Rejection letters shall
1003		-	provide a reason for the rejection. Applications ma y only be
1004		-	rejected based on the applicant not meeting the standards set forth
1005		-	in the provisions of this section, improper completion of the
1006		-	application or for a reason provided for in the Oklahoma Medical
1007		-	Marijuana and Patient Protection Act . If an application is rejected
1008		-	for failure to provide required information, the applicant shall
1009		-	have thirty (30) days to submit the required information for
1010		-	reconsideration. No additional application fee shall be charged for
1011		-	such reconsideration.
1012		-	3. Status-update letters shall provide a reason for delay in
1013		-	either approval or rejection should a situ ation arise in which an
1014		-	application was submitted properly, but a delay in processing the
1015		-	application occurred.
1016		-	4. Approval, rejection or status -update letters shall be s ent
1017		-	to the applicant in the s ame method the application was submitted to
1018		-	the Authority.
1019		-	H. A medical marijuana business license shall not be issued to
1020		-	or held by:
1021		-
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1046		-
1047		-	1. A person until a ll required fees have been paid;
1048		-	2. A person who has been convicte d of a nonviolent felony
1049		-	within two (2) years of the date of application, or within five ( 5)
1050		-	years for any other felony;
1051		-	3. A corporation, if the criminal history of any of its
1052		-	officers, directors or stockholders indicates that the officer,
1053		-	director or stockholder has been convicted of a nonviolent felony
1054		-	within two (2) years of the date of ap plication, or within five (5)
1055		-	years for any other felony;
1056		-	4. A person under twenty-five (25) years of age;
1057		-	5. A person licensed pursuant to this section who, dur ing a
1058		-	period of licensure, or who, at the time of application, has failed
1059		-	to:
1060		-	a. file taxes, interest or penalties due related to a
1061		-	medical marijuana business, or
1062		-	b. pay taxes, interest or penalties due related to a
1063		-	medical marijuana business;
1064		-	6. A sheriff, deputy sheriff, police officer or prosecuting
1065		-	officer, or an officer or employee of the Au thority or municipality;
1066		-	or
1067		-	7. A person whose authority to be a caregiver as defined in the
1068		-	Oklahoma Medical Marijuana and Patient Protection Act has been
1069		-	revoked by the Authority.
1070		-
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1095		-
1096		-	I. In investigating the qualifications of an applicant or a
1097		-	licensee, the Authority and municipalities may have access to
1098		-	criminal history record information furnished by a criminal justice
1099		-	agency subject to any restrictions imposed by such an agency. In
1100		-	the event the Authority considers the criminal history record of the
1101		-	applicant, the Authority shall also consider any information
1102		-	provided by the applicant regarding such crimin al history record
1103		-	including but not limited to evidence of rehabilitation, character
1104		-	references and educational achievements, especially those items
1105		-	pertaining to the period of time between the last criminal
1106		-	conviction of the applicant and the considerati on of the application
1107		-	for a state license.
1108		-	J. The failure of an applicant to provide the request ed
1109		-	information by the Authority deadline may be grounds for denial of
1110		-	the application.
1111		-	K. All applicants shall submit information to the Authority in
1112		-	a full, faithful, truthful and fair manner. The Authority may
1113		-	recommend denial of an application where t he applicant made
1114		-	misstatements, omissions, misrepresent ations or untruths in the
1115		-	application or in connection with the background investigation of
1116		-	the applicant. This type of conduct may be considered as the ba sis
1117		-	for additional administrative action aga inst the applicant. Typos
1118		-	and scrivener errors shall no t be grounds for denial.
1119		-
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1144		-
1145		-	L. A licensed medical marijuana business premises shall be
1146		-	subject to and responsible for compliance with applicable provisions
1147		-	for medical marijuana business facilities as d escribed in the most
1148		-	recent versions of the Oklahoma Uni form Building Code, the
1149		-	International Building Code and the International Fire Code, unless
1150		-	granted an exemption by the Authority or municipality.
1151		-	M. All medical marijuana business licensees shall pa y the
1152		-	relevant licensure f ees prior to receiving licensu re to operate a
1153		-	medical marijuana business, as defined in the Oklahoma Medical
1154		-	Marijuana and Patient Protection Act for each class of license.
1155		-	N. An original medical marijuana business license issued on or
1156		-	after June 26, 2018, by the Authority, f or a medical marijuana
1157		-	commercial grower, a medical marijuana processor or a medical
1158		-	marijuana dispensary shall be deemed to have been grandfathered into
1159		-	the location on the date the original license was first issued for
1160		-	purposes of determining the authori ty of the business to conduct and
1161		-	continue the same type of business at that location under a license
1162		-	issued by the Authority, except as may be provided in Sectio ns 425
1163		-	and 426.1 of this title. Any change in ownership after the original
1164		-	medical marijuana business license has been issued by the Authority
1165		-	shall be construed by the Authority to be a continuation of the same
1166		-	type of business originally licensed at tha t location. Nothing
1167		-	shall authorize the Author ity to deny issuance or renewal of a
1168		-	license or transfer of license due to a change in ownership for the
1169		-
1170		-	ENGR. S. B. NO. 1697 Page 11 1
1171		-	2
1172		-	3
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1174		-	5
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1194		-
1195		-	same business location previously licensed, except when a revocation
1196		-	is otherwise authorized by law or a protest is made under the
1197		-	municipal compliance provisions of Section 426.1 of this title.
1198		-	SECTION 5. NEW LAW A new section of law to be codified
1199		-	in the Oklahoma Statutes as Section 427.25 of Title 63, unless there
1200		-	is created a duplication in numbering, reads as follows:
1201		-	A. It shall be unlawful for any holder of a medical marijuana
1202		-	business license pursuant to Section 427.14 of Titl e 63 of the
1203		-	Oklahoma Statutes to engage in any commercial growing operations in
1204		-	this state without acquiring a bond. The bond shall cover that area
1205		-	of land within the permit area upon which the business licensee will
1206		-	initiate and conduct commercial growing operations.
1207		-	B. Every applicant for a commercial grower license or
1208		-	commercial grower licensee shall file with the Oklahoma Medical
1209		-	Marijuana Authority a bond satisfactory to the Authority and in the
1210		-	amount no less than Twenty-five Thousand Dollars ($25,000.00) for
1211		-	each license sought or held, with a surety company qualified to do
1212		-	business in this state as surety. The bond shall be furnished t o
1213		-	the state for the use o f the state pursuant to the provisions of
1214		-	this act. The bond shall be conditional that t he obligor will
1215		-	comply with the provisions of this act and all rules and regulations
1216		-	made pursuant to this act and will pay all amounts of mone y that may
1217		-	be due to the state during the time such bond is in effect.
1218		-
1219		-	ENGR. S. B. NO. 1697 Page 12 1
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1243		-
1244		-	C. The Authority may require a higher amount depending upon the
1245		-	reclamation requirements of the approved application . The amount
1246		-	shall reflect the probable difficulty of reclamation with
1247		-	consideration for such factors including, but not limited to,
1248		-	topography, hydrology, and revegetation potential. The amount of
1249		-	the bond for a commercial growing operation shall be sufficient to
1250		-	assure the completion of the reclamation plan if the work ha s to be
1251		-	performed by the Authority in the event of revocation of license.
1252		-	SECTION 6. It being immediately necessary for the pr eservation
1253	620		of the public peace, healt h or safety, an emergency is hereby
1254	621		declared to exist, by reason wh ereof this act shall take effect and
1255	622		be in full force from and after its passage and approval.
1256		-	Passed the Senate the 23rd day of March, 2022.
1257	623
1258		-
1259		-
1260		-	Presiding Officer of the Senate
1261		-
1262		-
1263		-	Passed the House of Representatives the ____ day of __________,
1264		-	2022.
1265		-
1266		-
1267		-
1268		-	Presiding Officer of the House
1269		-	of Representatives
1270		-
1271		-
	624	+	COMMITTEE REPORT BY: COMMITTEE ON ALCOHOL, TOBACCO AND CONTROLLED
	625	+	SUBSTANCES, dated 04/14/2022 - DO PASS, As Amended and Coauthored.