Oklahoma 2022 Regular Session

Oklahoma Senate Bill SB1779 Latest Draft

Bill / Engrossed Version Filed 03/24/2022

                             
 
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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.   
 
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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;   
 
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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   
 
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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   
 
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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,   
 
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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   
 
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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;   
 
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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   
 
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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 .   
 
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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.   
 
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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