SB445 HFLR Page 1
BOLD FACE denotes Committee Amendments. 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
HOUSE OF REPRESENTATIVES - FLOOR VERSION
STATE OF OKLAHOMA
1st Session of the 58th Legislature (2021)
ENGROSSED SENATE
BILL NO. 445 By: Paxton of the Senate
and
Hardin (David) of the House
[ medical marijuana - providing cumulative penalties
for certain offenses - effective date ]
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY Section 6, Chapter 11, O.S.L.
2019, as amended by Section 7, Chapter 477, O.S.L. 2019 (63 O.S.
Supp. 2020, Section 427.6), is amended to read as follows:
Section 427.6. A. The State Department of Health 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 or its designee may perform on -site
assessments of a licensee or applicant for any medical marijuana
business license issued pursuant to this act the Oklahoma Medical
Marijuana and Patient Prot ection Act to determine compliance with
SB445 HFLR Page 2
BOLD FACE denotes Committee Amendments. 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
this act or submissions made pursuant to this section. The
Department may enter the licensed premises of a medical marijuana
business licensee or applicant to assess or monitor compliance.
2. Inspections shall be l imited to twice per calendar year and
twenty-four (24) hours of notice shall be provided to a medical
marijuana business applicant or licensee prior to an on -site
assessment. However, additional inspections may occur when the
Department shows that an addi tional inspection is necessary due to a
violation of this act the Oklahoma Medical Marijuana and Patient
Protection Act. Such inspection may be without notice if the
Department believes that such notice will result in the destruction
of evidence.
3. The Department may review relevant records of a licensed
medical marijuana business, licensed medical marijuana research
facility or licensed medical marijuana education 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 and applicable
laws. However, prior to conducting any interviews with the medical
marijuana business, research facility or education facility, the
licensee shall be afforded sufficient time to secure legal
representation during such questioning if requested by the business
or facility or any of its agents or employees or contractors.
SB445 HFLR Page 3
BOLD FACE denotes Committee Amendments. 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
4. The Department shall 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 under this act the Oklahoma Medical Marijuana and Patient
Protection Act for not adhering to the law pursuant to the terms,
conditions and guidelines set forth in this act.
D. Disciplinary actions may include revocation, suspension or
denial of an application, license or final authorization and other
action deemed appropriate by the Departme nt.
E. Disciplinary actions may be imposed upon a medical marijuana
business licensee for:
1. Failure to comply with or satisfy any provision of this
section;
2. Falsification or misrepresentation of any material or
information submitted to the Departme nt;
3. Failing to allow or impeding a monitoring visit by
authorized representatives of the Department;
4. Failure to adhere to any acknowledgement, verification or
other representation made to the Department;
5. Failure to submit or disclose informatio n required by this
section or otherwise requested by the Department;
6. Failure to correct any violation of this section cited as a
result of a review or audit of financial records or other materials;
SB445 HFLR Page 4
BOLD FACE denotes Committee Amendments. 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. Failure to comply with requested access by the Dep artment to
the licensed premises or materials;
8. Failure to pay a required monetary penalty;
9. Diversion of medical marijuana or any medical marijuana
product, as determined by the Department;
10. Threatening or harming a patient, a medical practition er or
an employee of the Department; and
11. Any other basis indicating a violation of the applicable
laws and regulations as identified by the Department.
F. Disciplinary actions against a licensee may include the
imposition of monetary penalties, which may be assessed by the
Department.
G. Penalties In addition to any other penalties provided by
law, penalties for sales by a medical marijuana business to persons
other than those allowed by law occurring within any two -year time
period may include an in itial administrative fine of One Thousand
Dollars ($1,000.00) for a first violation and a an administrative
fine of Five Thousand Dollars ($5,000.00) for any subsequent
violation. The medical marijuana business may be subject to a
revocation of any licens e granted pursuant to this act the Oklahoma
Medical Marijuana and Patient Protection Act upon a showing that the
violation was willful or grossly negligent.
H. 1. First In addition to any other penalties provided under
the Uniform Controlled Dangerous Su bstance Act, a first offense for
SB445 HFLR Page 5
BOLD FACE denotes Committee Amendments. 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
intentional and impermissible diversion of medical marijuana,
concentrate, or products by a patient or caregiver to an
unauthorized person shall not be punished under a criminal statute
but may be subject to a an administrative fine of Two Hundred
Dollars ($200.00).
2. The In addition to any other penalties provided under the
Uniform Controlled Dangerous Substance Act, the second offense for
impermissible diversion of medical marijuana, concentrate, or
products by a patient or caregiver to an unauthorized person shall
not be punished under a criminal statute but may be subject to a an
administrative 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 grossly negligent.
I. The following persons or entities may request a hearing to
contest an action or proposed action of the Department:
1. A medical marijuana business, research facility or education
facility licensee whose license ha s been summarily suspended or who
has received a notice of contemplated action to suspend or revoke a
license or take other disciplinary action; and
2. A patient or caregiver licensee whose license has been
summarily suspended or who has received notice o f contemplated
action to suspend or revoke a license or take other disciplinary
action.
SB445 HFLR Page 6
BOLD FACE denotes Committee Amendments. 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
J. All hearings held pursuant to this section shall be in
accordance with the Oklahoma Administrative Procedures Act, Section
250 et seq. of Title 75 of the Oklahoma S tatutes.
SECTION 2. This act shall become effective November 1, 2021.
COMMITTEE REPORT BY: COMMITTEE ON ALCOHOL, TOBACCO AND CONTROLLED
SUBSTANCES, dated 04/08/2021 - DO PASS, As Amended.