ENGR. S. B. NO. 1779 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 ENGROSSED SENATE BILL NO. 1779 By: Jett and Stephens of the Senate and Roberts (Eric) of the House [ medical marijuana - business license holder to post signage - effective date ] BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 63 O.S. 2021, Section 427.14, as last amended by Section 8, Chapter 584, 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 transporte r; and 5. Medical marijuana testing laboratory. 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. ENGR. S. B. NO. 1779 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 C. The Authority shall ma ke available on its website in an easy-to-find location, applications for a medical marijuana business. D. The nonrefundable application fee for a medical marijuana business license shall be Two Thousand Five Hundred Dollars ($2,500.00). E. All applicants seeking licensure as a medical marijuana business shall comply with the following general requirements: 1. All applications for licenses and registrations authorized pursuant to this secti on shall be made upon forms prescribed by the Authority; 2. Each application shall identify the city or cou nty in which the applicant seeks to obtain licensure as a medical ma rijuana business; 3. Applicants shall submit a complete application to the Authority before the application may be accepted or considered; 4. All applications shall be compl ete and accurate in e very detail; 5. All applications shall include all attachments or supplemental information required by the forms supplied by the Authority; 6. All applications shall be acco mpanied by a full remittance for the whole amount of the application fees. Appli cation fees are nonrefundable; ENGR. S. B. NO. 1779 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 7. All applicants shall be approved for licensing review that, at a minimum, meets the following criteria: a. all applicants shall be age twent y-five (25) years of age or older, b. any applicant applying as an individual sha ll show proof that the applicant is an Oklahoma resident pursuant to paragraph 11 of this subsection, c. any applicant applying as an entity shall show that seventy-five percent (75%) of all members, manag ers, executive officers, partners, board members or any other form of business ownership are Oklahoma residents pursuant to paragraph 11 of this subsection, d. all applying individuals or ent ities shall be registered to conduc t business in this state, e. all applicants shall disclose all ownership interest s pursuant to the Oklahoma Medical Marijuana and Patient Protection Act, and f. applicants shall not have been convicted o f a nonviolent felony in the last two (2) years, and any other felony conviction within the last five (5) years, shall not be current inmates, or currently incarcerated in a jail or corrections facility; 8. There shall be no limit to the number of medical marijuana business licenses or categories that an in dividual or entity can ENGR. S. B. NO. 1779 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 apply for or receive, although each application and each c ategory shall require a separate application and application fee. A commercial grower, processor and dispensary, or any c ombination thereof, are authorized to share the same address or physical location, subject to the restrictions set forth 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 authorize d by the Oklahoma Medical Mari juana and Patient Protection Act shall undergo an Oklahoma 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 applicants applying on their own behalf, b. individuals applying on behalf of an entity, c. all principal officers of an entity, and d. all owners of an entity as d efined by Section 427.2 of this title; 10. All applicable fees charged by 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 consi dered an Oklahoma resident for purpo ses of a medical marijuana business application, all applicants shall provide proof of Oklahoma residency for at least two (2) years immediately preceding the date of application or five (5) years of ENGR. S. B. NO. 1779 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 continuous Oklahoma residency during the preceding twent y-five (25) years immediately preceding the date of application. Sufficien t documentation of proof of residency shall include a combination of the following: a. an unexpired Oklahoma -issued driver license, b. an Oklahoma voter identification card, c. a utility bill preceding the date of application, excluding cellular telephone and Internet bills, d. a residential property deed to property in this state, and e. a rental agreement preceding the date of application for residential property located in this state. Applicants that were issued a medical ma rijuana business license prior to the enactment of the Oklahoma Medical Marijuana and Patient Protection Act are hereby exempt from the two-year or five-year Oklahoma residence requirement m entioned above; 12. All license applicants shall be required to s ubmit 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 o f one of the following unexpired documents: a. front and back of an Oklahoma driv er license, ENGR. S. B. NO. 1779 Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 b. front and back of an Oklahoma identification card, c. a United States passport or other photo identifica tion issued by the United States government, d. certified copy of the applicant ’s birth certificate for minor applicants who do not posse ss a document listed in this section, or e. 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 medi cal marijuana business application, approve or reject the applicat ion and mail the approval, rejection or status -update letter to the applicant within ninety (90) business day s of receipt of the applicatio n. G. 1. The Authority shall review the medical m arijuana business applications and conduct all investigations, in spections and interviews before approving the app lication. 2. Approved applicants shall be issued a medical m arijuana business license for the specific category applied under which shall act as proof of their approved status. Rejection letters shall provide a reason for the rejection. Applications ma y only be rejected based on the applicant not meeting the stan dards set forth in the provisions of this section, improper completion of the application or for a reason provided for in the Oklahoma Medical ENGR. S. B. NO. 1779 Page 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Marijuana and Patient Protection Act . If an application 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. 3. Status-update letters shall provide a reason for delay in either approval or re jection should a situation ari se in which an application was submitted properly, but a delay in processing the application occurred. 4. Approval, rejection or status -update letters shall be s ent to the applicant in the s ame method the application was subm itted to the Authority. H. A medical marijuana business license shall not b e issued to or held by: 1. A person until all required fees have been paid; 2. A person who has been convicte d of a nonviolent felony within two (2) years of the date of applicat ion, or within five (5) years for any other felony; 3. A corporation, if th e criminal history of any of its officers, directors or stockholders indicates that the officer, director or stockholder has been convicted of a nonviolent felony within two (2) years of the date of application , or within five (5) years for any other felon y; 4. A person under twenty-five (25) years of age; ENGR. S. B. NO. 1779 Page 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 5. A person licensed pursuant to this section who, dur ing a period of licensure, or who, at the time of application, has faile d 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 o r municipality; or 7. A person whose authorit y to be a caregiver as defined in the Oklahoma Medical Marijuana and Patient Protection Act has been revoked by the Authority. I. In investigating the qualifications of an applica nt or a licensee, the Authority and municipalities may have access to criminal history record information furnished by a criminal justice agency subject to any restrictions imposed by such an agency. In the event the Authority considers the criminal histo ry record of the applicant, the Authority shall also consider any information provided by the applicant regarding such criminal history record including but not limited to evidence of rehabilitation, character references and educational achievements, espec ially those items pertaining to the period of time between the last criminal ENGR. S. B. NO. 1779 Page 9 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 conviction of the applicant and the consideration of the application for a state license. J. The failure of an applicant to provide the request ed information by the Authority dea dline may be grounds for denial of the application. K. All applicants shall subm it information to the Authority in a full, faithful, truthful and fair manner. The Authority may recommend denial of an application where t he applicant made misstatements, omissions, misrepresentati ons or untruths in the application or in connection with the background investigation of the applicant. This type of conduct may be considered as the ba sis for additional administrative action aga inst the applicant. Typos and scrivener errors shall not b e grounds for denial. L. A licensed medical marijuana bu siness premises shall be: 1. Be subject to and responsible for compliance with applicable provisions for medical marijuana business facilities as d escribed in the most recent versions of the Oklahoma Unif orm Building Code, the International Building Code and the International Fire Code, unless granted an exemption by the Authority or municipality ; and 2. Post conspicuous, easy-to-read signage at each licensed property entrance with the medical marijuana business license number and a telephone number accessible for the public to reach the medical marijuana business license holder . ENGR. S. B. NO. 1779 Page 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 M. All medical marijuana business licensees shall pa y the relevant licensure f ees prior to receiving licensure to operate a medical marijuana business, as defined in the Oklahoma Medical Marijuana and Patient Protection Act for each class of license. N. An original medical marijuana business license issued on or after June 26, 2018, by the Authority, for a medical marijuana commercial grower, a medical marijuana proces sor or a medical marijuana dispensary shall be deemed to have been grandfathered into the location on the date the original license was first issued for purposes of determining the autho rity of the business to conduc t and continue the same type of business at that location under a license issued by the Authority, except as may be provided in Sectio ns 425 and 426.1 of this title. Any change in ownership after the original medical marijuana business license has been is sued by the Authority shall be construed by the Authority to be a continuation of the same type of business originally licensed at tha t location. Nothing shall authorize the Author ity to deny issuance or renewal of a license or transfer of license due to a change in ownership for the same business location previously licensed, except when a revocation is otherwise authorized by law or a protest is made under the municipal compliance provisions of Section 426.1 of this title. SECTION 2. This act shall become effective November 1, 2022. ENGR. S. B. NO. 1779 Page 11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Passed the Senate the 23rd day of March, 2022. Presiding Officer of the Senate Passed the House of Representatives the ____ day of __________, 2022. Presiding Officer of the House of Representatives