Req. No. 2785 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 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 STATE OF OKLAHOMA 2nd Session of the 58th Legislature (2022) SENATE BILL 1841 By: Paxton AS INTRODUCED An Act relating to medical marijuana; amending 63 O.S. 2021, Section 426.1, as last amended by Section 3, Chapter 584, O.S.L. 2021, which relates to licensure revocation; authorizing the Authority to take certain actions against a medical marijuana business license holder for violations; providing notice for holder to resolve violations; updating statutory reference; and declaring an emergency. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 63 O.S. 2021, Section 426.1, as last amended by Section 3, Chapter 584, O.S.L. 2021, is amended to read as follows: Section 426.1. A. Except for revocation hearings concerning licensed patients, as defined in Section 427.2 of this title, all licensure revocation h earings conducted pursuant to marijuana licenses established in the Ok lahoma Statutes shall be recorded. A party may request a copy of the recording of the proceedings. Req. No. 2785 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 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Copies shall be provided to local law enforcement if the revocation was based on alleged criminal activity. B. The State Department of Health shall assist any law enforcement officer in the performanc e of his or her duties upon such request by the law e nforcement officer or the request of other local officials having jurisdiction. Excep t for license information concerning licensed patients, as defined in S ection 427.2 of this title, the Department sha ll share information with law enforcement agencies upon request without a subpoena or search warrant. C. The State Department of Health s hall make available all information displayed on medical marijuana licen ses, as well as whether the license is valid, to law enforcement electronically through the Oklahoma Law Enforcement Telecommunica tions System. D. The Department shall make available to political subdivisions a list of marijuana -licensed premises, medical marijuana businesses or any other premises wh ere marijuana or its by-products are licensed to be c ultivated, grown, processed, s tored or manufactured to aid county and municipal gove rnments in identifying locations within their jurisdiction and ensure compliance with local regulations. E. 1. All marijuana-licensed premises, medical marijuana businesses or any other premises wher e marijuana or its by -products are licensed to be cult ivated, grown, processed, stored or manufactured shall submit with their a pplication, after notifying Req. No. 2785 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 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 the political subdivision of their intent, a certificate of compliance from the political subdivisio n where the facility of the applicant or use is to be located certifying compliance with zoning classifications, applicable muni cipal ordinances and all applicable safety, electrical, fire, plumbing, waste, construction and bui lding specification codes. 2. Beginning on the effective date of this act May 28, 2021, upon the initial request for renewal or transfer of a retail marijuana dispensary license, a municipal government may object to the continued licensure of the medical marijuana dis pensary if the municipal government determines it is operating contrary to the required setback distance from a school including the error in measurement allowance authorized by Section 425 of t his title. 3. To prevent the granting of the grandfather prov isions of Section 425 of this title as a matter of law, the municipal government shall provide the following documentation prior to the initial renewal or transfer of a license: a. a municipal resolution finding that the marijuana dispensary is located wit hin the prohibited setback distance from a school that was openly in existence i n such a way that the public generally would have known of the school’s existence and operation in that location prior to the original marijuana dispensary being licensed. For purposes of this subparag raph, Req. No. 2785 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 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 “openly in existence” means any building, locati on or structure on a school site that has visible outward markings indicating the building, location or structure was operating as a school which would serve as sufficient notice of the existence of the school or a reason for further inquiry on the part of the marijuana dispensary license applicant. “Openly in existence” shall not mean any school that operated secretly or discreetly without any signs or other markings on any building, location or struct ure on the school site, undeveloped land or a structur e owned by a school that was not openly used and marked as a school site, or any school site that was established after the marijuana dispensary had been established and licensed by the Authority, and b. documentation of the measured distance from the sch ool to the marijuana dispensary utilizing the method for determining the setback distance less any allowable error in measurement calculated and remeasured on and after the effective date of this act May 28, 2021, as authorized by Section 425 of this title. 4. Prior to initial renewal or transfer of a license and upon receipt of documentation required by paragraph 3 o f this subsection, if the Authority determines that the medical marijuana di spensary is Req. No. 2785 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 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 operating contrary to the required setback distance from a school including the error in measurement allowance authori zed by Section 425 of this title, the Authority ma y deny the renewal or t ransfer of the medical marijuana dispensary license a nd shall cause the licen se to be revoked. 5. For purposes of this subsection , “school” means the same as defined in Section 427.2 of this title. F. The Oklahoma Medical Marijuana Authority shall deny a n application or suspend or revoke a medical marijuana business license due to any violation of state law, any violations of a regulation applicable t o the business including those ad opted or enforced by any state agency including , but not limited to, the Department of Environmental Quality, the Oklahoma Water Resources Board, the Oklahoma Department of Agriculture, Food, and Forestry , the Corporation Commission, or any other agency or commission of this state, or any local ordinance or regulation applicable to a medical marijuana business or inaccurate reporting or disclosures to municipal governments. Upon receipt of a notice of violation, the Authority shall give a medical marijuana business license holder thirty (30) days to resolve the violation. If the violation is not resolved within the thirty (30) days, the Authority shall take action pursuant to this subsection. SECTION 2. It being immediately necessary for t he preservation of the public peace, health or safety, an emergency is hereby Req. No. 2785 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 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 declared to exist, by reason whereof this act shall take effect and be in full force from and after its passage and approval. 58-2-2785 MR 1/20/2022 10:31:22 PM