OK
Oklahoma Senate Bill SB134

Oklahoma 2023 Regular Session

Oklahoma Senate Bill SB134 Compare Versions

Only one version of the bill is available at this time.
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5353 STATE OF OKLAHOMA
5454
5555 1st Session of the 59th Legislature (2023)
5656
5757 SENATE BILL 134 By: Rogers
5858
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6363 AS INTRODUCED
6464
6565 An Act relating to medical marijuana; amending 63
6666 O.S. 2021, Sections 421, as last amended by Section
6767 1, Chapter 332, O.S.L. 2022 , 422, as last amended by
6868 Section 2, Chapter 332, O.S.L. 2022 , 423, as last
6969 amended by Section 3, Chapter 332, O.S.L. 2022 , and
7070 424 (63 O.S. Supp. 2022, Sectio ns 421, 422, and 423),
7171 which relate to licensing requirements for medical
7272 marijuana dispensaries, commerc ial growers,
7373 processors, and transporters; providing for temporary
7474 and annual licenses; providing statutory references
7575 for fees; updating language; amending 63 O.S. 2021,
7676 Sections 427.14, as amended by Section 2, Chapter
7777 328, O.S.L. 2022 and 427.16, as last amended by
7878 Section 16, Chapter 251, O.S.L. 2022 (63 O.S. Supp.
7979 2022, Sections 427.14 and 427.16), which relate to
8080 the Oklahoma Medical Marijuana and Patient Protection
8181 Act; creating temporary and annual licensing program
8282 for certain medical marijuana businesses; stating
8383 conditions for temporary licenses; requiring
8484 adherence to certain rules and regulations;
8585 clarifying obligations of the Ok lahoma Medical
8686 Marijuana Authority when issuing temporary licenses;
8787 stating length of term of temporary licenses;
8888 providing for extensions under certain circumstances;
8989 establishing fees for temporary licenses and
9090 extensions; requiring submission of certain
9191 information to the Authority; authorizin g rejection
9292 of applications; clarifying circumstances that allow
9393 for the issuance of annual medical marijuana busin ess
9494 licenses; updating language; creating temporary
9595 licensing program for medical marijuana transporters;
9696 and declaring an emergency .
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151151 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
152152 SECTION 1. AMENDATORY 63 O.S. 2021, Section 421, as last
153153 amended by Section 1, Chapter 332, O.S.L. 2022 (63 O.S. Supp. 2022,
154154 Section 421), is amended to read as follows:
155155 Section 421. A. The Oklahoma Medical Marijuana Authority shall
156156 make available on its website in an easy-to-find location an
157157 application for a temporary medical marijuana dispensary license and
158158 an annual medical marijuana dispensary license. The application fee
159159 to fees for the temporary and annual license shall be paid by the
160160 applicant shall be in the amounts provided for in Section 427.14 of
161161 this title. A method of payment for the application fee fees shall
162162 be provided on the website of the Authority. Dispensary Medical
163163 marijuana dispensary applicants must shall all be residents of
164164 Oklahoma. Any entity applying for a temporary or annual medical
165165 marijuana dispensary license must be owned by an Oklahom a resident
166166 and must be registere d to do business in Oklahoma. The Authority
167167 shall have ninety (90) business days to review the application for a
168168 temporary medical marijuana dispensary license ; approve, reject or
169169 deny the application; and mail the approval, rejection or denial
170170 letter stating reasons for the rejection or denial to the applicant.
171171 B. The In addition to the requirements p rovided for in the
172172 Oklahoma Medical Marijuana and P atient Protection Act, the Authority
173173 shall approve all applications which m eet the following criteria:
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225225 1. The applicant must be twenty-five (25) years of age or
226226 older;
227227 2. The applicant, if applying as an individual, must show
228228 residency in the State of Oklahoma this state;
229229 3. All applying entities must show that a ll members, managers,
230230 and board members are Oklahoma residents;
231231 4. An applying entity may sh ow ownership of non-Oklahoma
232232 residents, but that pe rcentage ownership may not exceed twe nty-five
233233 percent (25%);
234234 5. All applying individuals or entities must be registered to
235235 conduct business in the State of Oklahoma this state; and
236236 6. All applicants must disclose all ownership interests in the
237237 dispensary.
238238 Applicants with a nonviolent felony conviction in the last two
239239 (2) years, any other felony conviction i n the last five (5) years,
240240 inmates in the custody of the Department of Corrections or any
241241 person currently incarcerated shall not qualify for a temporary or
242242 annual medical marijuana dispensary license.
243243 C. Licensed medical marijuana dispensaries shall be required to
244244 complete a monthly sal es report to the Authority. This report shall
245245 be due on the fifteenth of each month and provide reporting on the
246246 previous month. This report shall detail the weight of marijuana
247247 purchased at wholesale and the weight of marijuan a sold to licensed
248248 medical marijuana patients and license d caregivers and account for
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300300 any waste. The report shall show total sales in dollars, tax
301301 collected in dollars, and tax due in d ollars. The Authority shall
302302 have oversight and auditing responsibilities to ensure that all
303303 marijuana being grown is accounted for.
304304 D. Only a licensed medical mar ijuana dispensary may conduct
305305 retail sales of marijuana or marijuana derivatives. Beginning on
306306 the effective date of this act November 1, 2021, licensed medical
307307 marijuana dispensaries shall be authorized to package and sell pre -
308308 rolled marijuana to licensed medical marijuana pati ents and licensed
309309 caregivers. The products described in t his subsection shall contain
310310 only the ground parts of the marijuana p lant and shall not include
311311 marijuana concentrates or derivatives . The total net weight of each
312312 pre-roll packaged and sold by a m edical marijuana dispensary shall
313313 not exceed one (1) gram. These products shall be tested, packaged
314314 and labeled in accordance with Oklahoma law and rules promulgated by
315315 the Authority.
316316 E. No medical marijuana dispensary shall offer or allow a
317317 medical marijuana patient licensee, caregiver licensee or other
318318 member of the public to handle or otherwise have physical contact
319319 with any medical marijuana not contained in a sealed or separate
320320 package. Provided, such prohibition shall not pr eclude an employee
321321 of the medical marijuana dispensary from handling loose or
322322 nonpackaged medical marijuana to be place d in packaging consistent
323323 with the Oklahoma Medical Marijuana and Patient Protection Act and
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375375 the rules promulgated by the Authority for the packaging of medical
376376 marijuana for retail sale. Provided, further, such prohibition
377377 shall not prevent a medical marijuana dispensary from displaying
378378 samples of its medical marijuana in separate display cases, jars or
379379 other containers and allowing medic al marijuana patient licensees
380380 and caregiver licensees the ability to handle or smell the various
381381 samples as long as th e sample medical marijuana is used for display
382382 purposes only and is not offered for retail sale.
383383 SECTION 2. AMENDATORY 63 O.S. 2021, Sec tion 422, as last
384384 amended by Section 2, Chapter 332, O.S.L. 2022 (63 O.S. Supp. 2022,
385385 Section 422), is amended to read as follows:
386386 Section 422. A. The Oklahoma Medical Marijuana Authori ty shall
387387 make available on its website in an easy-to-find location an
388388 application applications for a temporary medical marijuana
389389 commercial grower license and an annual medical marijuana commercial
390390 grower license. The application fee fees for the temporary or
391391 annual license shall be paid by the applicant in the amounts
392392 provided for in Section 427.14 of this title. A method of payment
393393 for the application fee fees shall be provided on the we bsite of the
394394 Authority. The Authority shall have ninety (90) days to review the
395395 application for a temporary medical marijuana commercial grower
396396 license; approve, reject or deny the application; and mail the
397397 approval, rejection or denial letter stating the reasons for the
398398 rejection or denial to the applicant.
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450450 B. The In addition to the requirements provided for in the
451451 Oklahoma Medical Mari juana and Patient Protection Act, the Authority
452452 shall approve all applications which meet the following criteria:
453453 1. The applicant must be twenty-five (25) years of age or
454454 older;
455455 2. The applicant, if applying as an individua l, must show
456456 residency in the State of Oklahoma this state;
457457 3. All applying entities must show that all members, managers,
458458 and board members are Oklahoma resi dents;
459459 4. An applying entity may show owner ship of non-Oklahoma
460460 residents, but that percentage owners hip may not exceed twenty-five
461461 percent (25%);
462462 5. All applying individuals or entities must be registered to
463463 conduct business in the State of Oklahoma this state; and
464464 6. All applicants must disclose all owner ship interests in the
465465 commercial grower operation.
466466 Applicants with a nonviolent felony conviction in the last two
467467 (2) years, any other felony conviction in the last five (5) years,
468468 inmates in the custody of the D epartment of Corrections or any
469469 person currently incarcerated shall not qualify for a temporary or
470470 annual medical marijuana commercial grower license.
471471 C. A licensed medical marijuana commercial grower may sell
472472 marijuana to a licensed medical marijuana dispensary or a licensed
473473 medical marijuana processor. Further, sales by a licensed medical
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525525 marijuana commercial grower shall be considered wholesale sales and
526526 shall not be subject to taxation. Under no circumstances may a
527527 licensed medical marijuana commercial grower sell marijuana directly
528528 to a licensed medical marijuana patient or licensed medical
529529 marijuana caregiver. A licensed medical marijuana commercial grower
530530 may only sell at the wholesale level to a licensed medical marijuana
531531 dispensary, a licensed medical marijuana commercial grower or a
532532 licensed medical marijuana processor. If the federal government
533533 lifts restrictions on buying and selling marijuana between states,
534534 then a licensed medical marijuana commercial grower would be allowed
535535 to sell and buy marijuana wholesale from, or to, a n out-of-state
536536 wholesale provider. A licensed medical marijuana commercial grower
537537 shall be required to complete a monthly yield and sales report to
538538 the Authority. This report shall be due on the fifteenth of each
539539 month and provide reporting on the previo us month. This report
540540 shall detail the amount of marijuana harvested in pounds, the amount
541541 of drying or dried marijuana on hand, the amount of marijuana sold
542542 to licensed processors in pounds, the amount of wa ste in pounds, and
543543 the amount of marijuana sold to licensed medical marijuana
544544 dispensaries in pounds. Additionally, this repor t shall show total
545545 wholesale sales in dollars. The Authority shall have oversight and
546546 auditing responsibilities to ensure th at all marijuana being grown
547547 by licensed medical marijuana commercial growers is accounted for.
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599599 D. There shall be no limits on how much marijuana a lic ensed
600600 medical marijuana commercial grower can grow.
601601 E. Beginning on the effective date of this act June 1, 2023,
602602 licensed medical marijuana commercial growers shall be authorized to
603603 package and sell pre-rolled marijuana to licensed medical marijuana
604604 dispensaries. The products described in this subsection shall
605605 contain only the ground parts of t he marijuana plant and shall not
606606 include marijuana concentrates or derivatives. The total net weight
607607 of each pre-roll packaged and sold by licensed medical marijuana
608608 commercial growers shall not exceed one (1) gram. These products
609609 must be tested, package d and labeled in accordance with Oklahoma law
610610 and rules promulgated by the Authority.
611611 SECTION 3. AMENDATORY 63 O.S. 2021, Section 423, as last
612612 amended by Section 3, Chapter 332, O.S.L. 2022 (63 O.S. Supp. 2022,
613613 Section 423), is amended to read as follows:
614614 Section 423. A. The Oklahoma Medical Mar ijuana Authority shall
615615 make available on its website in an easy-to-find location an
616616 application for a temporary medical marijua na processor license and
617617 annual medical marijuana processing processor license. The
618618 Authority shall be authorized to issue two t ypes of annual medical
619619 marijuana processor licenses based on the level of risk posed by the
620620 type of processing conducted:
621621 1. Nonhazardous medical marijuana processor license; and
622622 2. Hazardous medical marijua na processor license .
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674674 The application fee for a nonhazardous or hazardous medical
675675 marijuana processor license fees for the temporary or annual license
676676 shall be paid by the applicant in the amounts provided for in
677677 Section 427.14 of this title . A method of payment shall be provided
678678 on the website of the Authority. The Authority shall have ninety
679679 (90) days to review the temporary medical marijuana p rocessor
680680 license application; approve, reject or deny the application; and
681681 mail the approval, rejection or deni al letter stating the reasons
682682 for the rejection or denial to the applicant.
683683 B. The Authority shall approve all applications which mee t the
684684 following criteria:
685685 1. The applicant must be twenty-five (25) years of age or
686686 older;
687687 2. The applicant, if applying as an individual, must sho w
688688 residency in the State of Oklahoma this state;
689689 3. All applying entities must show that all members, managers,
690690 and board members are Oklahoma residents;
691691 4. An applying entity may show ownership of non -Oklahoma
692692 residents, but that pe rcentage ownership may not excee d twenty-five
693693 percent (25%);
694694 5. All applying individuals or entities must be registered to
695695 conduct business in the State of Oklahoma this state; and
696696 6. All applicants must disclose all ownership interests in the
697697 processing operation.
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749749 Applicants with a nonviolent felony conviction in the last two
750750 (2) years, any other felony conviction in the last five (5) years,
751751 inmates in the custody of the Department of Corrections or any
752752 person currently incarcerate d shall not qualify for a temporary
753753 medical marijuana processing processor license.
754754 C. 1. A licensed medical marijuana processor may take
755755 marijuana plants and dis till or process these plants into
756756 concentrates, edibles, and other forms for consumption.
757757 2. As required by subsection D of this section, th e The
758758 Authority shall make available a set of standards which shall be
759759 used by licensed medical marijuana processors in the preparation of
760760 edible marijuana products . The standards should be in line with
761761 current food preparation guidelines . No excessive or punitive rules
762762 may be established by the Authority.
763763 3. Up to two times a year, the Authority may inspect a
764764 processing operation and determine its compliance with the
765765 preparation standards . If deficiencies are found, a written report
766766 of the deficiency shall be issued to the licensed medical marijuana
767767 processor. The licensed medical marijuana processor shall have one
768768 (1) month to correct the deficiency or be subje ct to a fine of Five
769769 Hundred Dollars ($500.00) for each deficiency.
770770 4. A licensed medical marijuana processor may sell marijuana
771771 products it creates to a licensed medical marijuana dispensary or
772772 any other licensed medical marijuana processor. All sales by a
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824824 licensed medical marijuana processor shall be considered wholesale
825825 sales and shall not be subject to taxation.
826826 5. Under no circumstances may a licensed processor sell
827827 marijuana or any marijuana product directly to a licensed medical
828828 marijuana patient or licensed medical marijuana caregiver. However,
829829 a licensed medical marijuana processor may process cannab is into a
830830 concentrated form for a licensed medical marijuana patient for a
831831 fee.
832832 6. Licensed medical marijuana processors shall be required to
833833 complete a monthly yield and sales report to the Authority. This
834834 report shall be due on the fifteenth of each month and shall provide
835835 reporting on the previous mo nth. This report shall detail the
836836 amount of marijuana and medical marijuana products purchased in
837837 pounds, the amount of marijuana cooked or processed in pounds, and
838838 the amount of waste i n pounds. Additionally, this report shall show
839839 total wholesale sales in dollars. The Authority shall have
840840 oversight and auditing responsibilities to ensure that all marijuana
841841 being processed is accounted for.
842842 D. The Authority shall oversee the inspection and compliance of
843843 licensed medical marijuana processors producing products with
844844 marijuana as an additive . The Authority shall be compelled to,
845845 within thirty (30) days of passage of this initiative, appoint
846846 twelve (12) Oklahoma residents to the Medical Marijuana Advisory
847847 Council, who are marijuana industry experts, to create a list of
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899899 food safety standards for processing and handling medical marijuana
900900 in Oklahoma. These standards shall be adopted by the Authority and
901901 the Authority may enforce these standards for licensed medical
902902 marijuana processors. The Authority shall develop a standards
903903 review procedure and these stan dards can be altered by calling
904904 another council of twelve (12) Oklahoma marijuana industry experts .
905905 A signed letter of twenty operating, licensed processors shall
906906 constitute a need for a new council and standards review.
907907 E. If it becomes permissible unde r federal law, marijuana may
908908 be moved across state lines.
909909 F. Any device used for the processing or consumption of medical
910910 marijuana shall be considered legal to be sold, manufactured,
911911 distributed and poss essed. No merchant, wholesaler, manufacturer or
912912 individual may be unduly harassed or prosecuted f or selling,
913913 manufacturing or possessing marijuana paraphernalia .
914914 SECTION 4. AMENDATORY 63 O.S. 2021, S ection 424, is
915915 amended to read as follows:
916916 Section 424. A. A temporary medical marijuana transporter
917917 license or an annual medi cal marijuana transportation transporter
918918 license will shall be issued to qualifying applicants for a medical
919919 marijuana retail, growing, or processing dispensary, medical
920920 marijuana commercial growe r, or medical marijuana processor license.
921921 The transportation temporary or annual medical marijuana transporter
922922 license will shall be issued at the time of approval of a retail,
923923
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974974 growing, or processing the temporary or annual medical marijuana
975975 dispensary, medical marij uana commercial grower, or medical
976976 marijuana processor license. The fees for the temporary or annual
977977 license shall be paid by the app licant in the amounts provided for
978978 in Section 427.14 of this title.
979979 B. A transportation medical marijuana transporter license will
980980 shall allow the holder to transport medical marijuana from an
981981 Oklahoma licensed Oklahoma-licensed medical marijuana retailer,
982982 licensed growing facility, or licensed processor facility to an
983983 Oklahoma licensed medical marijuana retailer, licensed g rowing
984984 facility, or licensed processing facility dispensary, medical
985985 marijuana commercial grower facility, or medical marijuana proces sor
986986 facility to an Oklahoma -licensed medical marijuana dispensary,
987987 medical marijuana commercial grower facility, or medical marijuana
988988 processing facility.
989989 C. All medical marijuana or medical marijuana products shall be
990990 transported in a locked container an d clearly labeled “Medical
991991 Marijuana or Derivative ”.
992992 SECTION 5. AMENDATORY 63 O.S. 2021, Sec tion 427.14, as
993993 amended by Section 2, Chapter 3 28, O.S.L. 2022 (63 O.S. Supp. 2022,
994994 Section 427.14), is amended to read as follows:
995995 Section 427.14. A. There is hereby crea ted the medical
996996 marijuana business license, which shall include the following
997997 categories:
998998
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10491049 1. Medical marijuana commercial grower;
10501050 2. Medical marijuana processor;
10511051 3. Medical marijuana dispensary;
10521052 4. Medical marijuana transporter; and
10531053 5. Medical marijuana testing laboratory.
10541054 B. The Oklahoma Medical Marijuana Authority, with the aid of
10551055 the Office of Management and Enterprise Services, shall develop a
10561056 website for medical marijuana business license applications.
10571057 C. The Authority shall make available on its websit e in an
10581058 easy-to-find location, applications for a temporary medical
10591059 marijuana business license and annual medical marijuana busin ess
10601060 license.
10611061 D. The annual, nonrefundable application fee for a medical
10621062 marijuana business license shall be Two Thousand Five Hundred
10631063 Dollars ($2,500.00) Upon the effective date of this act, the
10641064 Authority shall require all per sons or entities seeking init ial
10651065 licensure as a medical marijuana commer cial grower, medical
10661066 marijuana processor, medical marijuana dispensary, or medic al
10671067 marijuana transporter to first apply for a temporary medical
10681068 marijuana business license.
10691069 1. A temporary medical marijuana business license is a
10701070 conditional license and does not authorize the licensee to conduct
10711071 any sales of medical marijuana or marijuana products, the growing or
10721072 processing of marijuana, or the transportation of any medical
10731073
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11241124 marijuana or marijuana products by the licensee. A temporary
11251125 medical marijuana business licensee shall follow all applicable
11261126 rules and regulations promulgated by the Authority.
11271127 2. A temporary medical marijuana business license does not
11281128 obligate the Authority to issue an annual medical mariju ana business
11291129 license nor does the temporary medical marijuana business license
11301130 create a vested right in the holder to either an extension of the
11311131 temporary medical marijuana business license or to the granting of a
11321132 subsequent annual medical marijuana business license.
11331133 3. A temporary medical marijuana business license issued under
11341134 the provisions of this subsection shall be valid for one hundred
11351135 eighty (180) days from its effective date.
11361136 4. A temporary medical marijuana business license may be
11371137 extended by the Authority for additional ninety-day periods not to
11381138 exceed eighteen (18) months if:
11391139 a. an application for an annual license has been
11401140 submitted to the Authority prior to the initial
11411141 expiration date of the tempor ary medical marijuana
11421142 business license, and
11431143 b. the Authority determines that the application and
11441144 required documentation submitted by the applicant for
11451145 an annual medical marijuana business license is
11461146 deficient in some manner.
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11981198 5. The nonrefundable applicati on fee for a temporary medical
11991199 marijuana business license shall be One Thousand Dollars
12001200 ($1,000.00). A nonrefundable fee of One Thousand Dollars
12011201 ($1,000.00) shall be assessed for every ninety-day extension
12021202 requested by the holder of a temporary medical ma rijuana business
12031203 license and subsequently granted by the Authority.
12041204 6. In addition to the general requirements provided for in
12051205 subsection E of this section, applicants for a temporary medical
12061206 marijuana business license or applicants applying to renew a medical
12071207 marijuana business license shall submit the following to the
12081208 Authority:
12091209 a. business-formation documents, which may include, but
12101210 not be limited to, articles of incorporatio n,
12111211 operating agreements, partnership agreements, and
12121212 fictitious business name s tatements. The applicant
12131213 shall also provide all documents filed with the
12141214 Secretary of State,
12151215 b. financial information pertaining to the operations of
12161216 the medical marijuana business, which shall include
12171217 the following:
12181218 (1) a list of funds belonging to the a pplicant held
12191219 in savings, checking, or ot her accounts
12201220 maintained by a financial institution. The
12211221 applicant shall provide for each account the name
12221222
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12731273 of the financial institution, the address of the
12741274 financial institution, account type, account
12751275 number, and the amount of money in the account,
12761276 (2) a list of loans made to the applicant for the
12771277 purposes of applying for or operating a medical
12781278 marijuana business. For each loan, the applicant
12791279 shall provide the amount of the loan, the date of
12801280 the loan, term of the loan, security provided for
12811281 the loan, and the name, address, and phone number
12821282 of the lender,
12831283 (3) a list of investments made into the medical
12841284 marijuana business. For each investment, the
12851285 applicant shall provide the amount of the
12861286 investment, the date of the investment, term of
12871287 the investment, and the name, address, and phone
12881288 number of the investor,
12891289 (4) a list of all monetary gifts, equipment, and
12901290 property of any kind given to the applicant for
12911291 the purpose of or in exchange for applying for or
12921292 operating a medical marijuana business. For each
12931293 gift, the applicant shall provide the value or a
12941294 description of the gift and the name, address,
12951295 and phone number of the provider of the g ift,
12961296
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13471347 (5) a complete list of every individual who has a
13481348 financial interest in the medical marijuana
13491349 business not otherwise disclosed in divisions (1)
13501350 through (4) of this subparagraph, along with a
13511351 description of the financial interest, and
13521352 (6) whether the applicant has an ownership or a
13531353 financial interest in any other medical marijuana
13541354 business licensed under the provisions of the
13551355 Oklahoma Medical Marijuana and Patient Protection
13561356 Act,
13571357 c. a complete and detailed diagram of the proposed
13581358 premises. If changes to the proposed premises occur
13591359 during the application period, a revised set of plans
13601360 shall be submitted to the Authority for fi nal
13611361 inspection. The diagram shall be to scale and shall
13621362 show the following:
13631363 (1) boundaries of the property and the proposed
13641364 premises to be licensed, showing all boundaries,
13651365 dimensions, entrances and exits, interior
13661366 partitions, walls, rooms, windows, doorways, and
13671367 common or shared ent ryways, and shall include a
13681368 brief statement or description of the principal
13691369 activity to be conducted therein,
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14211421 (2) the location of medical marijuana business
14221422 activities that will take place in each area of
14231423 the premises, and limited-access areas,
14241424 (3) where all cameras are located and a number
14251425 assigned to each camera for identification
14261426 purposes, and
14271427 (4) if the proposed premises consists of only a
14281428 portion of the property, labels indicating which
14291429 part of the property is the proposed premises and
14301430 what the remaining prope rty is used for,
14311431 d. if the applicant is not the landowner of the real
14321432 property upon which the premises is located, the
14331433 applicant shall provide to the Authority a document
14341434 from the landowner or the agent of the landowner that
14351435 states that the applicant has t he right to occupy the
14361436 property and acknowledging the applica nt may use the
14371437 property for the medical marijuana business activity
14381438 for which the applicant is applying for licensure. An
14391439 applicant shall also provide a copy of the rental
14401440 agreement, as applicab le,
14411441 e. if the applicant is the landowner of the real property
14421442 upon which the premises is located, the applicant
14431443 shall provide to the Authority a copy of the title or
14441444 deed to the property,
14451445
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14961496 f. if the applicant is applying for a medical marijuana
14971497 commercial grower license, the applicant shall also
14981498 submit the following:
14991499 (1) for indoor and mixed light cultivation,
15001500 identification of all power sources for
15011501 cultivation activities including, but not limited
15021502 to, illumination, heating, cooling, and
15031503 ventilation,
15041504 (2) if the applicant is proposing to use a diversion
15051505 from a waterbody, groundwater well, or rain
15061506 catchment system as a water source for
15071507 cultivation, include the following locations on
15081508 the property diagram with locations also provided
15091509 as coordinates in either la titude and longitude
15101510 or the Oklahoma Coordinate System:
15111511 (a) sources of water used, including the
15121512 location of waterbody diversion , pump
15131513 location, and distribution system, and
15141514 (b) location, type, and capacity of each storage
15151515 unit to be used for cultivation , and
15161516 (3) a proposed cultivation plan, which shall include
15171517 identification of all water sources used for
15181518 cultivation activities , and
15191519 g. evidence of insurance including, but not limited to:
15201520
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15711571 (1) general liability insurance,
15721572 (2) workers’ compensation insurance or a copy of an
15731573 Affidavit of Exempt St atus filed with the
15741574 Workers’ Compensation Commission if compensation
15751575 coverage is not required pursuant to the
15761576 Administrative Workers’ Compensation Act, and
15771577 (3) product liability insurance.
15781578 7. The Authority may request additional information from the
15791579 applicant.
15801580 8. The Authority may reject an application for an annual
15811581 medical marijuana business license if the requirements for a
15821582 temporary medical marijuana business license or any provision of the
15831583 Oklahoma Medical Marijuana and Patient Protection Act are not
15841584 satisfied.
15851585 For purposes of this subsection, “financial interest” shall
15861586 include any contractual agreements for profit-sharing,
15871587 subcontracting, or similar financial arrangements; provided, that
15881588 such disclosures alone shall not automatically indicate ownership of
15891589 the license or require disclosure as an owner of the l icense.
15901590 E. All applicants seeking licensure or licensure renewal as a
15911591 medical marijuana business shall comply with the follow ing general
15921592 requirements:
15931593
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16441644 1. All applications for licenses and registrations authorized
16451645 pursuant to this section shall be made upon forms prescribed by the
16461646 Authority;
16471647 2. Each application shall identify the city or county in which
16481648 the applicant seeks to o btain licensure as a medical marijuana
16491649 business;
16501650 3. Applicants shall submit a complete application to the
16511651 Authority before the application may be accep ted or considered;
16521652 4. All applications shall be complete and accurate in every
16531653 detail;
16541654 5. All applications shall include all attachments or
16551655 supplemental information required by the forms supplied by the
16561656 Authority;
16571657 6. All applications shall be accompanied by a full remittance
16581658 for the whole amount of the application fees. Application fe es are
16591659 nonrefundable;
16601660 7. All applicants shall be approved for licensing review that,
16611661 at a minimum, meet the following criteria:
16621662 a. twenty-five (25) years of age or older,
16631663 b. if applying as an individual, proof that the applicant
16641664 is a resident of this state pursuant to paragraph 11
16651665 of this subsection,
16661666 c. if applying as an entity, proof that seventy-five
16671667 percent (75%) of all members, managers, executive
16681668
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17191719 officers, partners, board m embers or any other form of
17201720 business ownership are residents of this state
17211721 pursuant to paragraph 11 of this subsection,
17221722 d. if applying as an individual or entity, proof that the
17231723 individual or entity is r egistered to conduct busin ess
17241724 in this state,
17251725 e. disclosure of all ownership interests pursu ant to the
17261726 Oklahoma Medical Marijuana and Patient Protection Act,
17271727 and
17281728 f. proof that the medical marijuana business, medical
17291729 marijuana research facility, medical mari juana
17301730 education facility and medical marijuana waste
17311731 disposal facility applicant or license e has not been
17321732 convicted of a nonviolent felony in the last two (2)
17331733 years, or any other felony conviction within the last
17341734 five (5) years, is no t a current inmate in the custody
17351735 of the Department of Corrections, or currently
17361736 incarcerated in a jail or correc tions facility;
17371737 8. There shall be no limit to the number of medical marijuana
17381738 business licenses or categories that an individual or entity can
17391739 apply for or receive , although each applica tion and each category
17401740 shall require a separate application and appl ication fee. A
17411741 commercial grower, processor and dispensary, or any combination
17421742 thereof, are authorized to share the same address or physical
17431743
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17941794 location, subject to th e restrictions set fort h in the Oklahoma
17951795 Medical Marijuana and Patient Protection Act;
17961796 9. All applicants for a medical marijuana business license,
17971797 research facility license or education facility license authorized
17981798 by the Oklahoma Medi cal Marijuana and Pa tient Protection Act, or for
17991799 a renewal of such license, shall undergo a state criminal history
18001800 background check conducted by the Oklahoma State Bureau of
18011801 Investigation (OSBI) within thirty (30) days prior to the
18021802 application for the lice nse including:
18031803 a. individual applicants applying on their own behalf,
18041804 b. individuals applying on behalf of an entity,
18051805 c. all principal officers of an entity, and
18061806 d. all owners of an entity as defined by the Oklahoma
18071807 Medical Marijuana and Patient Protection Act;
18081808 10. All applicable fees charged by the OSBI are the
18091809 responsibility of the applicant and shall not be higher than fees
18101810 charged to any other person or industry for such background checks;
18111811 11. In order to be considered a resident of this state for
18121812 purposes of a medical marijuana business application, all applicants
18131813 shall provide proof of state residency for at least two (2) years
18141814 immediately preceding the date of application or five (5) years of
18151815 continuous state residency during the preceding twenty -five (25)
18161816 years immediately preceding the date of application. Sufficient
18171817
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18681868 documentation of proof of state residency shall include a
18691869 combination of the following:
18701870 a. an unexpired state-issued driver license,
18711871 b. a state-issued identification card,
18721872 c. a utility bill preceding the date of application,
18731873 excluding cellular telephone and Internet bills,
18741874 d. a residential property deed to property in this state,
18751875 and
18761876 e. a rental agreement preceding the date of application
18771877 for residential property located in this state.
18781878 Applicants that were issued a medical marijuana business license
18791879 prior to August 30, 2019, are hereby exempt from the two-year or
18801880 five-year state residence requirement menti oned above;
18811881 12. All license applicants shall be required to submit a
18821882 registration with the Oklahoma State Bureau of Narcotics and
18831883 Dangerous Drugs Control as provided in Sections 2-302 through 2-304
18841884 of this title;
18851885 13. All applicants sh all establish their identity through
18861886 submission of a color copy or digital image of one of the following
18871887 unexpired documents:
18881888 a. front of a state-issued driver license,
18891889 b. front of a state-issued identification card,
18901890 c. a United States passport or other photo identification
18911891 issued by the United States government, or
18921892
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19431943 d. a tribal identification card approved for
19441944 identification purposes by the Department of Public
19451945 Safety; and
19461946 14. All applicants shall submit an applicant photograph.
19471947 F. The Authority shall review the medical marijuana business
19481948 application; approve, reject or deny the application; and mail the
19491949 approval, rejection, denial or status-update letter to the applicant
19501950 within ninety (90) business days of receipt of the application.
19511951 G. 1. The Authority shall review the medical marijuana
19521952 business license applications and conduct all investigations,
19531953 inspections, and interviews before approving the application for an
19541954 annual medical marijuana business license .
19551955 2. The annual, nonrefundable application fee f or a medical
19561956 marijuana business license shall be One Thousand Five Hundred
19571957 Dollars ($1,500.00).
19581958 3. Approved applicants shall be issued a an annual medical
19591959 marijuana business license f or the specific category applied under,
19601960 which shall act as proof of their approved status. Rejection and
19611961 denial letters shall provide a reason for the rejection or denial.
19621962 Applications for an annual medical marijuana bus iness license may
19631963 only be rejected or denied based on the applicant not meeting the
19641964 standards set forth in the provisions of subsection D of this
19651965 section for a temporary medical marijuan a business license, the
19661966 provisions of the Oklahoma Medical Marijuana and Patient Protection
19671967
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20182018 Act and Sections 420 through 426.1 of this title, improper
20192019 completion of the application, or for a reason provided for in the
20202020 Oklahoma Medical Marijuana and Patient Protectio n Act and Sections
20212021 420 through 426.1 of this title. If an application for an annual
20222022 medical marijuana business license is rejected for failure to
20232023 provide required information, the applicant shall have thirty (30)
20242024 days be granted an extension of time as provided for in paragraph 4
20252025 of subsection D of this section to submit the required information
20262026 for reconsideration. No additional application fee and shall be
20272027 charged for such reconsideration assessed a nonrefundable fee o f One
20282028 Thousand Dollars ($1,000.00) for every ninety-day extension
20292029 requested by the applicant and subsequently granted by the
20302030 Authority. Unless the Authority determines otherwise, an
20312031 application that has been resubmitted but is still incomplete or
20322032 contains errors that are not clerical or typographical in nature
20332033 shall be denied.
20342034 3. 4. Status-update letters shall provide a reason for delay in
20352035 either approval, rejection or denial should a situation arise in
20362036 which an application was submitted properly but a delay in
20372037 processing the application occurred.
20382038 4. 5. Approval, rejection, denial or statu s-update letters
20392039 shall be sent to the applicant in the same method the application
20402040 was submitted to the Authority.
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20922092 6. Medical marijuana businesses issued a medical marijuana
20932093 business license prior to the effe ctive date of this act shall be
20942094 required to submit business-formation documents, financial
20952095 information, and insurance information pertaining to the operations
20962096 of the medical marijuana business, as prescribed in subparagraphs a,
20972097 b, c, d, and g of paragraph 6 of subsection D of this section, to
20982098 the Authority upon renewal of the medical marijuana business
20992099 license. The medical marijuana business licensee shall have ninety
21002100 (90) days after the date of renewal to submit the required
21012101 documentation to the Authority. The medical marijuana business
21022102 licensee shall be aut horized to continue operations dur ing the
21032103 ninety-day period; provided, that if the medical marijuana business
21042104 licensee fails to submit the required documentation prior to the
21052105 expiration of the ninety-day period, the license of the medical
21062106 marijuana business shall be suspended until such time as the
21072107 documentation is submitted to the Authori ty.
21082108 7. Medical marijuana businesses that have been issued a
21092109 temporary and annual medical marijuana business license pursuant to
21102110 the provisions of subs ection D of this sec tion shall be required to
21112111 annually submit updated business-formation documents, finan cial
21122112 information, and insurance information pertaining to the o perations
21132113 of the medical marijuana business, as prescribed in subparagraphs a,
21142114 b, c, d, and g of paragraph 6 of subsection D of this section, to
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21662166 the Authority when seeking renewal of the medical marijuana business
21672167 license.
21682168 H. A license for a medical marijuana business, medical
21692169 marijuana research facilit y, medical marijuana education facility or
21702170 medical marijuana waste disposal facility shall not be issued to or
21712171 held by:
21722172 1. A person until all required fees have been paid;
21732173 2. A person who has been convicted of a nonviolent felony
21742174 within two (2) years of the date of application, or within five (5)
21752175 years for any other felony;
21762176 3. A corporation, if the criminal history of any of its
21772177 officers, directors or stockholders indicates that the officer,
21782178 director or stockholder has been convicted of a nonviolent fe lony
21792179 within two (2) years of the date of applicati on, or within five (5)
21802180 years for any other felony;
21812181 4. A person under twenty-five (25) years of age;
21822182 5. A person licensed pursuant to this section who, during a
21832183 period of licensure, or who, at the time o f application, has failed
21842184 to:
21852185 a. file taxes, interest or penalties due related to a
21862186 medical marijuana business, or
21872187 b. pay taxes, interest or penalties due related to a
21882188 medical marijuana business;
21892189
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22402240 6. A sheriff, deputy sheriff, police officer or prosecuting
22412241 officer, or an officer or employee of the Authority or municipality;
22422242 7. A person whose authority to be a caregiver, as defined in
22432243 Section 427.2 of this title, has been revoked by the Authority; or
22442244 8. A person who was involved in the management or operations of
22452245 any medical marijuana business, m edical marijuana research facility,
22462246 medical marijuana ed ucation facility or medical marijuana waste
22472247 disposal facility that, after the initiation of a disciplinary
22482248 action, has had a medical marijuana license re voked, not renewed, or
22492249 surrendered during the f ive (5) years preceding submission of the
22502250 application and for the following violations:
22512251 a. unlawful sales or purchases,
22522252 b. any fraudulent acts, falsification of records or
22532253 misrepresentation to the Authority, medical marijuana
22542254 patient licensees, caregiver l icensees or medical
22552255 marijuana business licensees,
22562256 c. any grossly inaccurate or fraudulent reporting,
22572257 d. threatening or harming any medical marijuana patient,
22582258 caregiver, medical practitioner or employee of the
22592259 Authority,
22602260 e. knowingly or intentionally refusing to permit the
22612261 Authority access to premises or records,
22622262 f. using a prohibited, hazardous substance for processing
22632263 in a residential area,
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23152315 g. criminal acts relating to the operation of a medical
23162316 marijuana business, or
23172317 h. any violations that endanger public health and safety
23182318 or product safety.
23192319 I. In investigating the qualifications of an applicant or a
23202320 licensee, the Authority and municipalities may have access to
23212321 criminal history record information furnished by a criminal justice
23222322 agency subject to any restrictions imposed by su ch an agency.
23232323 J. The failure of an applicant or licensee to provide the
23242324 requested information by the Authority deadline may be grounds for
23252325 denial of the application.
23262326 K. All applicants and licensees shall submit information to the
23272327 Authority in a full, faithful, truthful and fair manner. The
23282328 Authority may recommend denial of an application where the applicant
23292329 or licensee made mis statements, omissions, misrepresentations or
23302330 untruths in the application or in connection with the backgrou nd
23312331 investigation of the applicant. This type of conduct may be grounds
23322332 for administrative action against the applicant or licensee. Typos
23332333 and scrivener errors shall not be grounds for denial.
23342334 L. A licensed medical marijuana business premises shall be
23352335 subject to and responsible for compliance with applicable provisions
23362336 consistent with the zoning where such business is located as
23372337 described in the most recent versions of th e Oklahoma Uniform
23382338 Building Code, the International Building Code and the International
23392339
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23902390 Fire Code, unless granted an exemption by a municipality or
23912391 appropriate code enforcement entity.
23922392 M. All medical marijuana business, medical marij uana research
23932393 facility, medical marijuana education facility and medical marijuana
23942394 waste disposal facility licensees shall pay the relevant licensure
23952395 fees prior to receiving licensure to operate.
23962396 N. A medical marijuana business, medical marijuana research
23972397 facility, medical mar ijuana education fac ility or medical marijuana
23982398 waste disposal facility that attempts to renew its license after the
23992399 expiration date of the license shall pay a late renewal fee in an
24002400 amount to be determined by the Executive Director of the Authority
24012401 to reinstate the license. Late renewal fees are nonrefundable. A
24022402 license that has been expired for more than ninety (90) days shall
24032403 not be renewed.
24042404 O. No medical marijuana business, medical marijuana research
24052405 facility, medical marijuana education facility or m edical marijuana
24062406 waste disposal facility shall possess, sell or t ransfer medical
24072407 marijuana or medical marijuana products without a valid, unexpired
24082408 license issued by the Authority.
24092409 P. A medical marijuana business license holder shall require
24102410 all individuals employed under their license to be issued a
24112411 credential pursuant to the provisions of Section 3 of this act
24122412 427.14a of this title prior to employment.
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24632463
24642464 SECTION 6. AMENDATORY 63 O.S. 2021, Sec tion 427.16, as
24652465 last amended by Section 16, Chapter 251, O.S.L. 2022 (63 O.S. Supp.
24662466 2022, Section 427.16), is amended to read as follows:
24672467 Section 427.16. A. There is hereby created a medical marijuana
24682468 transporter license as a category of the medical marijuana business
24692469 license.
24702470 B. Pursuant to Section 424 of this title, the Oklahoma Medical
24712471 Marijuana Authority sh all issue a temporary and an annual medical
24722472 marijuana transporter license to licensed medical marijuana
24732473 commercial growers, licensed medical marij uana processors, and
24742474 licensed medical marijuana dispensaries upon issuance of such
24752475 licenses and upon each renewal. Medical marijuana transporter
24762476 licenses shall also be issued to licensed medical marijuana research
24772477 facilities, licensed medical marijuana education facilities and
24782478 licensed medical marijuana testing laboratories upon issuance of
24792479 such licenses and upon each renewal.
24802480 C. A temporary or annual medical marijuana transporter license
24812481 may also be issued to qualifying appli cants who are registered with
24822482 the Secretary of State and otherwise meet the requirements for a
24832483 medical marijuana business license set forth in Section 427.14 of
24842484 this title, the Oklahoma Medical Marijuana and P atient Protection
24852485 Act, and the requirements set forth in this section to provide
24862486 logistics, distribution and storage of medical marijuana, medical
24872487 marijuana concentrate and medical marijuana products.
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25392539 D. A medical marijuana transporter license shall be va lid for
25402540 one (1) year and shall not be transferred with a change of
25412541 ownership. A licensed medical marijuana transporter shall be
25422542 responsible for all medical marijuana, medical marijuana concentrate
25432543 and medical marijuana products once the transporter takes control of
25442544 the product.
25452545 E. A transporter license shall be required for any person or
25462546 entity to transport or transfer medical marijuana, medical marijuana
25472547 concentrate or medical marijuana products from a licensed medical
25482548 marijuana business to another medic al marijuana business, or from a
25492549 medical marijuana business to a medical marijuana research facility
25502550 or medical marijuana education facility.
25512551 F. A medical marijuana transporter licensee may contract with
25522552 multiple licensed medical marijuana businesses.
25532553 G. A medical marijuana transporter may maintain a licensed
25542554 premises to temporarily store medical marijuana, medical marijuana
25552555 concentrate and medical marijuana products and to use as a
25562556 centralized distribution point. A medical marijuana transporter may
25572557 store and distribute medical marijuana, medical marijuana
25582558 concentrate and medical marijuana products from the licensed
25592559 premises. The licensed premises shall meet all security
25602560 requirements applicable to a medical marijuana business.
25612561 H. A medical marijuana tra nsporter licensee shall use the seed-
25622562 to-sale tracking system developed pursuant to the Oklahoma Medical
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26142614 Marijuana and Patient Protection Act to create shipping manifests
26152615 documenting the transport of medical marijuana, medical marijuana
26162616 concentrate and medi cal marijuana products throughout the state.
26172617 I. A licensed medical marijuana transporter may maintain and
26182618 operate one or more warehouses in the state to handle medical
26192619 marijuana, medical marijuana concentrate and medical marijuana
26202620 products. Each location shall be registered and inspected by the
26212621 Authority prior to its use.
26222622 J. With the exception of a lawful transfer between medical
26232623 marijuana businesses who are licensed to operate at the same
26242624 physical address, all medical marijuana, medical marijuana
26252625 concentrate and medical marijuana products shall be transported:
26262626 1. In vehicles equipped with Global Positioning System (GPS)
26272627 trackers;
26282628 2. In a locked container and clearly labeled “Medical Marijuana
26292629 or Derivative”; and
26302630 3. In a secured area of the vehicle tha t is not accessible by
26312631 the driver during transit.
26322632 K. A transporter agent may possess marijuana at any location
26332633 while the transporter agent is transferring marijuana to or from a
26342634 licensed medical marijuana business, licensed medical marijuana
26352635 research facility or licensed medical marijuana education facility.
26362636 The Authority shall administer and enforce the provisions of this
26372637 section concerning transportation.
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26892689 L. The Authority shall issue a transporter agent license to
26902690 individual agents, employees, officers or owners of a transporter
26912691 license in order for the individual to qualify to transport medical
26922692 marijuana, medical marijuana concentrate or medical marijuana
26932693 products.
26942694 M. The annual fee for a transporter agent license shall be
26952695 Twenty-five Dollars ($25.00) and shall be paid by the transporter
26962696 license holder or the individual applicant. Transporter license
26972697 reprints shall be Twenty Dollars ($20.00).
26982698 N. The Authority shall issue each transporter agent a registry
26992699 identification card within thirty (30) days of receipt of:
27002700 1. The name, address and date of birth of the person;
27012701 2. Proof of current state residency;
27022702 3. Proof of identity as required for a medical marijuana
27032703 business license;
27042704 4. Possession of a valid state-issued driver license;
27052705 5. Verification of employment with a licensed transporter;
27062706 6. The application and affiliated fee; and
27072707 7. A copy of the criminal background check conducted by the
27082708 Oklahoma State Bureau of Investigation, paid for by the applicant.
27092709 O. If the transporter agent application is denied, the
27102710 Authority shall notify the transporter in writing of the reason for
27112711 denying the registry identification card.
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27632763 P. A registry identification card for a transporter shall
27642764 expire one (1) year after the date of issuance or upon notification
27652765 from the holder of the transporter l icense that the transporter
27662766 agent ceases to work as a transporter.
27672767 Q. The Authority may revoke the registry identification card of
27682768 a transporter agent who knowi ngly violates any provision of this
27692769 section, and the transporter is subject to any other penalties
27702770 established by law for the violation.
27712771 R. The Authority may revoke or suspend the transporter license
27722772 of a transporter that the Authority determines knowingly aided or
27732773 facilitated a violation of any provision of this se ction, and the
27742774 license holder is subject to any other penalties established in law
27752775 for the violation.
27762776 S. Vehicles used in the transport of medical marijuana or
27772777 medical marijuana product shall be:
27782778 1. Insured at or above the legal requirements in this state;
27792779 2. Capable of securing medical marijuana during transport; and
27802780 3. In possession of a shipping container as defined in Section
27812781 427.2 of this title capable of securing all transported products.
27822782 T. Prior to the transport of any medical marijuan a, medical
27832783 marijuana concentrate or medical marijuana products, an inventory
27842784 manifest shall be prepared at the origination point of the medical
27852785 marijuana. The inventory manifest shal l include the following
27862786 information:
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28382838 1. For the origination point of the medical marijuana:
28392839 a. the licensee number for the commercial grower,
28402840 processor or dispensary,
28412841 b. address of origination of transport, and
28422842 c. name and contact information for the orig inating
28432843 licensee;
28442844 2. For the end recipient license holder of the medical
28452845 marijuana:
28462846 a. the license number for the dispensary, commercial
28472847 grower, processor, research facility or education
28482848 facility destination,
28492849 b. address of the destination, and
28502850 c. name and contact information for the destination
28512851 licensee;
28522852 3. Quantities by weig ht or unit of each type of medical
28532853 marijuana product contained in transport;
28542854 4. The date of the transport and the approximate time of
28552855 departure;
28562856 5. The arrival date and estimated ti me of arrival;
28572857 6. Printed names and signatures of the personnel accompan ying
28582858 the transport; and
28592859 7. Notation of the transporting licensee.
28602860 U. 1. A separate inventory manifest shall be prepared for each
28612861 licensee receiving the medical marijuana.
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29132913 2. The transporter agent shall provide the other medical
29142914 marijuana business with a copy of the inventory manifest at the time
29152915 the product changes hands and after the other licensee prints his or
29162916 her name and signs the inventory manifest.
29172917 3. A receiving licensee s hall refuse to accept any medical
29182918 marijuana, medical marijuana concentrat e or medical marijuana
29192919 products that are not accompanied by an inventory manifest.
29202920 4. Originating and receiving licensees shall maintain copies of
29212921 inventory manifests and logs of qua ntities of medical marijuana
29222922 received for seven (7) years from date of re ceipt.
29232923 SECTION 7. It being immediately necessa ry for the preservation
29242924 of the public peace, health or saf ety, an emergency is hereby
29252925 declared to exist, by reason whereof this act shall take effect and
29262926 be in full force from and after its passage and app roval.
29272927
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