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Oklahoma House Bill HB1717

Oklahoma 2024 Regular Session

Oklahoma House Bill HB1717 Compare Versions

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2-HB1717 HFLR Page 1
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3027 STATE OF OKLAHOMA
3128
3229 1st Session of the 59th Legislature (2023)
3330
3431 COMMITTEE SUBSTITUTE
3532 FOR
3633 HOUSE BILL NO. 1717 By: Marti
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4441 COMMITTEE SUBSTITUTE
4542
4643 An Act relating to marijuana; amending 63 O.S. 2021,
4744 Section 421, as amended by S ection 1, Chapter 332,
4845 O.S.L. 2022 (63 O.S. Supp. 2022, Section 421), which
4946 relates to licensing for medical marijuana
5047 dispensaries; updating name of agency; providing
5148 applications for adult use marijuana dispensary
5249 licenses; modifying procedures and guidelines to
5350 allow for adult use marijuana dispensary licenses;
5451 amending 63 O.S. 2021, Section 422, as amended by
5552 Section 2, Chapter 332, O.S.L. 2022 (63 O.S. Supp.
5653 2022, Section 422), which relates to licensing for
5754 medical marijuana commercial growers; updating name
5855 of agency; providing applications for adult use
5956 marijuana commercial grower licenses; modifying
6057 procedures and guidelines to allow for adult use
6158 marijuana commercial grower licenses; amending 63
6259 O.S. 2021, Section 423, as amended by Section 3,
6360 Chapter 332, O.S.L. 2022 (63 O.S. Supp. 2022, Section
6461 423), which relates to licensing for medical
6562 marijuana processors; updating name of agency;
6663 providing applications for adult use marijuana
6764 processor licenses; modifying procedures and
6865 guidelines to allow for adult use marijuana processor
6966 licenses; amending 63 O.S. 2021, Section 424, which
7067 relates to marijuana tra nsportation licenses;
7168 providing for the issuance of adult use marijuana
7269 transportation licenses ; modifying procedures and
7370 guidelines to allow for adult use marijuana
7471 transportation licenses; amending 63 O.S. 2021,
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10172 Section 425, as amended by Section 2, Chapter 317,
10273 O.S.L. 2022 (63 O.S. Supp. 2022, Section 425), which
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10399 relates to license holder protections; updating city
104100 and local municipality restrictions to include adult
105101 use marijuana dispensaries; prohibiting adult use
106102 marijuana dispensaries from being located near public
107103 or private schools; deleting references to the State
108104 Department of Health; updating name of agency;
109105 amending 63 O.S. 2021, Section 426.1, as amended by
110106 Section 6, Chapter 251, O.S.L. 2 022 (63 O.S. Supp.
111107 2022, Section 426.1), which relates to licensure
112108 revocation hearings; updating name of agency;
113109 directing the Oklahoma Medical Marijuana Authority to
114110 provide list of adult use marijuana businesses to
115111 state agencies and political subdivisions; requiring
116112 adult use marijuana businesses to obtain a
117113 certificate of compliance; amending 63 O.S. 2021,
118114 Sections 427.2, as amended by Section 1, Chapter 317,
119115 O.S.L. 2022, 427.3, as amended by Section 8, Chapter
120116 251, O.S.L. 2022, Section 1, Chapter 236, O.S.L.
121117 2022, 427.4, as amended by Section 9, Chapter 251,
122118 O.S.L. 2022, 427.6, as last amended by Section 1,
123119 Chapter 328, O.S.L. 2022 , 427.13, as amended by
124120 Section 14, Chapter 251, O.S.L. 2022, 427.14, as
125121 amended by Section 4, Chapter 332, O.S.L. 2022,
126122 Section 3, Chapter 328, O.S.L. 2022 , 427.15, 427.16,
127123 as amended by Section 16 , Chapter 251, O.S.L. 2 022,
128124 427.17, as last amended by Section 1, Chapter 353,
129125 O.S.L. 2022, 427.18, as amended by Section 18,
130126 Chapter 251, O.S.L. 2022, 427.19, as amended by
131127 Section 19, Chapter 251, O.S.L. 2022 , 427.20, as
132128 amended by Section 20, Chapter 25 1, O.S.L. 2022,
133129 427.21, as amended by Section 2, Chapter 329, O.S.L.
134130 2022, 427.22, as amended by Secti on 21, Chapter 251,
135131 O.S.L. 2022, 427.24, as amended by Section 23,
136132 Chapter 251, O.S.L. 2022 , and Section 1, Chapter 352,
137133 O.S.L. 2022 (63 O.S. Supp. 2022, Section 427.2,
138134 427.3, 427.3a, 427.4, 427.6, 427.13, 427.14, 427.14b,
139135 427.16, 427.17, 427.18, 427.19, 427.20, 427.21,
140136 427.22, 427.24, and 427.25), which relate to the
141137 Oklahoma Medical Marijuana and Patient Protection
142138 Act; updating name of agency; adding definitions and
143139 modifying certain definitions; modifying scope of
144140 duties and functions of the Authority t o include
145141 adult use marijuana business licensees; updating
146142 language; updating references to medical marijuana,
147143 medical marijuana product s, and medical marijuana
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174144 concentrate; modifying duties of the Executive
175145 Director of the Authority to include adult use
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176171 marijuana businesses; expanding monitoring,
177172 inspection, and disciplinary actions and penalties to
178173 include adult use marijuana businesses; updating
179174 inventory tracking system procedures and guidelines
180175 to include adult use marijuana businesses; modifying
181176 tiered licensing provisions to i nclude adult use
182177 marijuana business licensees; requiring adult use
183178 marijuana business licensees to comply with general
184179 background requirements when seeking licensure or
185180 licensure renewal; making adult use marijuana
186181 business licensees subject to licensing procedures
187182 and guidelines of the Authority; requiring employees
188183 of adult use marijuana l icensees to apply for and
189184 receive certain credentials; directing adult use
190185 marijuana businesses to submit attestation regarding
191186 foreign financial interests; providing for adult use
192187 marijuana transporter licenses; expanding transporter
193188 licensing procedures and guidelines to i nclude adult
194189 use marijuana transporter licenses; providing for
195190 adult use marijuana testing laboratory lic enses;
196191 expanding testing laboratory licensing procedures and
197192 guidelines to include adult use marijuana testing
198193 laboratory licenses; modifying packaging and labeling
199194 requirements and restrictions to include adult use
200195 marijuana businesses; deleting all references to
201196 medical marijuana as it pertains to research
202197 licenses; deleting all references to medical
203198 marijuana as it pertains to education facility
204199 licenses; applying advertising and signage
205200 requirements to adult use marijuana busi nesses;
206201 making consumer information at dispensaries
207202 confidential and exempt from the Oklahoma Open
208203 Records Act; deleting all references to medical
209204 marijuana as it pertains to the embargoing of
210205 marijuana; authorizing use of secret shoppers at
211206 adult use marijuana dispensaries; modifying
212207 procedures and guidelines for secret shoppers to
213208 include adult use marijuana business es; amending 63
214209 O.S. 2021, Section 428.1, 429, and 430, as amended by
215210 Section 3, Chapter 317, O.S.L. 2022 (63 O.S. Supp.
216211 2022, Section 430), which relate to the Oklahoma
217212 Medical Marijuana Waste Management Act; updating name
218213 of agency; modifying scope of certain definitions;
219214 deleting all references to medical marijuana as it
220215 pertains to the disposal of marijuana and the
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247216 licensing of marijuana waste disposal facilities; and
248217 providing an effective date.
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253247 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLA HOMA:
254248 SECTION 1. AMENDATORY 63 O.S. 2021, Section 421, as
255249 amended by Section 1, Chapter 332, O.S.L. 2022 (63 O.S. Supp. 2022,
256250 Section 421), is amended to read as follows:
257251 Section 421. A. The Oklahoma Medical Marijuana Authority shall
258252 make available on its website in an easy-to-find location an
259253 application for a medical marijuana or adult use marijuana
260254 dispensary license. The application fee to be paid by the applicant
261255 shall be in the amounts provided for in Section 427.14 of this
262256 title. A method of payment for the application fee shall be
263257 provided on the website of the Authority. Dispensary applicants
264258 must all be residents of Oklahoma. Any entity applying for a
265259 dispensary license must be owned by an Oklahoma resident and must be
266260 registered to do business in Oklahoma. The Authority shall have
267261 ninety (90) business days to review the applicatio n; approve, reject
268262 or deny the application; and mail the approval, rejection or denial
269263 letter stating reasons for the rejection or denial to the applicant.
270264 B. The Authority shall approve all applications which m eet the
271265 following criteria:
272266 1. The applicant must be twenty-five (25) years of age or
273267 older;
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300293 2. The applicant, if applying as an individual, must show
301294 residency in the State of Oklahoma;
302295 3. All applying entities must show that a ll members, managers,
303296 and board members are Oklahoma residents;
304297 4. An applying entity may show ownership of non-Oklahoma
305298 residents, but that percentage ownership may not exceed twenty-five
306299 percent (25%);
307300 5. All applying individuals or entities must be registered to
308301 conduct business in the State of Oklahoma; and
309302 6. All applicants must disclose all ownership interests in the
310303 dispensary.
311304 Applicants with a nonviolent felony conviction in the last two
312305 (2) years, any other felony conviction i n the last five (5) years,
313306 inmates in the custody of the Department of Corrections or any
314307 person currently incarcerate d shall not qualify for a medical
315308 marijuana or adult use marijuana dispensary license.
316309 C. Licensed medical marijuana and licensed adult use marijuana
317310 dispensaries shall be required to complete a monthly sal es report to
318311 the Authority. This report shall be due on the fifteenth of each
319312 month and provide reporting on the previous month. This report
320313 shall detail the weight of marijuana purchased at wholesale and the
321314 weight of marijuana sold to licensed medical marijuana patients and,
322315 licensed caregivers, and adult use consumers and account for any
323316 waste. The report shall show total sales in dollars, tax collected
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350342 in dollars, and tax due in d ollars. The Authority shall have
351343 oversight and auditing responsibilities to ensure that all marijuana
352344 being grown is account ed for.
353345 D. Only a licensed medical marijuana or licensed adult use
354346 marijuana dispensary may conduct retail sales of marijuana or
355347 marijuana derivatives. Beginning on the effective date of this act,
356348 licensed medical marijuana and licensed adult use marijuana
357349 dispensaries shall be autho rized to package and sell pre-rolled
358350 marijuana to licensed medical marijuana p atients and, licensed
359351 caregivers, and adult use consumers. The products described in t his
360352 subsection shall contain only the ground parts of the mar ijuana
361353 plant and shall not inc lude marijuana concentrates or derivatives.
362354 The total net weight of each pre-roll packaged and sold by a m edical
363355 marijuana or adult use marijuana dispensary shall not exceed one (1)
364356 gram. These products shall be tested, packaged and labeled in
365357 accordance with Oklahoma law and rules promulgated by the Authority.
366358 E. No medical marijuana or adult use marijuana dispensary shall
367359 offer or allow a medic al marijuana patient licensee, careg iver
368360 licensee, adult use customer, or other member of the public to
369361 handle or otherwise have physical contact with any medical marijuana
370362 not contained in a sealed or separate package . Provided, such
371363 prohibition shall not preclude an employe e of the medical marijuana
372364 or adult use marijuana dispensary from handling loose or nonpackaged
373365 medical marijuana to be placed in packaging consistent with the
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400391 Oklahoma Medical Marijuana and Patient Protection Act and the rules
401392 promulgated by the Authority for the packaging of medical marijuana
402393 for retail sale. Provided, further, such prohibition shall not
403394 prevent a medical marijuana or adult use marijuana dispensary from
404395 displaying samples of its medical marijuana in separate display
405396 cases, jars or other con tainers and allowing medical marijuana
406397 patient licensees and, caregiver licensees, or adult use customer
407398 the ability to handle or smell the various samples as long as the
408399 sample medical marijuana is used for display purposes only and is
409400 not offered for retail sale.
410401 SECTION 2. AMENDATORY 63 O.S. 2021, Section 422, as
411402 amended by Section 2, Chapter 332, O.S.L. 2022 (63 O.S. Supp. 2022,
412403 Section 422), is amended to read as follows:
413404 Section 422. A. The Oklahoma Medical Marijuana Authority shall
414405 make available on its website in an easy-to-find location an
415406 application for a medical marijuana or adult use marijuana
416407 commercial grower license. The application fee shall be paid by the
417408 applicant in the amounts provided f or in Section 427.14 of this
418409 title. A method of payment for the application fee shall be
419410 provided on the website of the Authority. The Authority shall have
420411 ninety (90) days to review the application; approve, reject or deny
421412 the application; and mail the approval, rejection or denial letter
422413 stating the reasons for the rejection or denial to the applicant.
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449439 B. The Authority shall approve all applications which meet the
450440 following criteria:
451441 1. The applicant must be twenty-five (25) years of age or
452442 older;
453443 2. The applicant, if applying as an individua l, must show
454444 residency in the State of Oklahoma;
455445 3. All applying entities must show that all members, managers,
456446 and board members are Oklahoma resi dents;
457447 4. An applying entity may show owner ship of non-Oklahoma
458448 residents, but that percentage ownership ma y not exceed twenty-five
459449 percent (25%);
460450 5. All applying individuals or entities must be registered to
461451 conduct business in the State of Oklahoma; and
462452 6. All applicants must disclose all owner ship interests in the
463453 commercial grower operation.
464454 Applicants with a nonviolent felony conviction in the last two
465455 (2) years, any other felony conviction in the last five (5) years,
466456 inmates in the custody of the D epartment of Corrections or any
467457 person currently incarcerated shall not qualify for a commercial
468458 grower license.
469459 C. A licensed medical marijuana or licensed adult use marijuana
470460 commercial grower may sell marijuana to a licensed medical marijuana
471461 or licensed adult use marijuana dispensary or a licensed medical
472462 marijuana or licensed adult use marijuana processor. Further, sales
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499488 by a licensed medical marijuana or licensed adult use marijuana
500489 commercial grower shall be considered wholesale sales and shall not
501490 be subject to taxation. Under no circumstances may a licensed
502491 medical marijuana or licensed adult use marijuana commercial grower
503492 sell marijuana directly to a licensed medical marijuana patient or,
504493 licensed medical marijuana caregiver, or adult use customer. A
505494 licensed medical marijuana or licensed adult use marijuana
506495 commercial grower may only sell at the wholesale level to a licensed
507496 medical marijuana or licensed adult use marijuana dispensary, a
508497 licensed medical marijuana or licensed adult use marijuana
509498 commercial grower or a licensed medical marijuana or licensed adult
510499 use marijuana processor. If the federal government lifts
511500 restrictions on buying and selling marijuana between states, then a
512501 licensed medical marijuana and licensed adult use marijuana
513502 commercial grower would be allowed to sell and buy marijuana
514503 wholesale from, or to, a n out-of-state wholesale provider. A
515504 licensed medical marijuana and licensed adult use marijuana
516505 commercial grower shall be required to complete a monthly yield and
517506 sales report to the Authority. This report shall be due on the
518507 fifteenth of each month and provide reporting on the previo us month.
519508 This report shall detail the amount of marijuana harvested in
520509 pounds, the amount of drying or dried marijuana on hand, t he amount
521510 of marijuana sold to licensed processors in pounds, the amount of
522511 waste in pounds, and the amount of marijuana sold to licensed
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549537 medical marijuana and license adult use marijuana dispensaries in
550538 pounds. Additionally, this report shall show total wholesale sales
551539 in dollars. The Authority shall have oversight and auditing
552540 responsibilities to ensure th at all marijuana being grown by
553541 licensed medical marijuana or licensed adult use marijuana
554542 commercial growers is accounted for.
555543 D. There shall be no limits on how much marijuana a licensed
556544 medical marijuana or licensed adult use commercial grower can grow.
557545 E. Beginning on the effective date of this act, licensed
558546 medical marijuana and licensed adult use marijuana commercial
559547 growers shall be authorized to package and sell pre-rolled marijuana
560548 to licensed medical marijuana and licensed adult use marijuana
561549 dispensaries. The products described in this subsection shall
562550 contain only the ground parts of the marijuana plant and shall not
563551 include marijuana concentrates or derivatives. The total net weight
564552 of each pre-roll packaged and sold by licensed medical marijuana
565553 commercial growers shall not exc eed one (1) gram. These products
566554 must be tested, packaged and labeled in accordance with Oklahoma law
567555 and rules promulgated by the Authority.
568556 SECTION 3. AMENDATORY 63 O.S. 2021, Section 423, as
569557 amended by Section 3, Chapter 332, O.S.L. 2022 (63 O.S. Supp. 2022,
570558 Section 423), is amended to read as follows:
571559 Section 423. A. The Oklahoma Medical Marijuana Authority shall
572560 make available on its website in an easy-to-find location an
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599586 application for a medical marijuana or adult use marijuana
600587 processing license. The Authority shall be authorized to issue two
601588 types of medical marijuana or adult use marijuana processor licenses
602589 based on the level of risk posed by the type of processing
603590 conducted:
604591 1. Nonhazardous medical marijuana adult use marijuana processor
605592 license; and
606593 2. Hazardous medical marijuana adult use marijuana processor
607594 license.
608595 The application fee for a nonhazardous or hazardous medical
609596 marijuana processor or adult use marijuana license shall be paid by
610597 the applicant in the amounts provided for in Section 427.14 of this
611598 title. A method of payment shall be provided on the website of the
612599 Authority. The Authority shall have ninety (90) days to review the
613600 application; approve, reject or deny the application; and mail the
614601 approval, rejection or deni al letter stating the reasons for the
615602 rejection or denial to the applicant.
616603 B. The Authority shall approve all applications which mee t the
617604 following criteria:
618605 1. The applicant must be twenty-five (25) years of age or
619606 older;
620607 2. The applicant, if applying as an individual, must show
621608 residency in the State of Oklahoma;
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648634 3. All applying entities must show that all members, managers,
649635 and board members are Oklahoma residents;
650636 4. An applying entity may show ownership of non -Oklahoma
651637 residents, but that pe rcentage ownership may not exceed twenty-five
652638 percent (25%);
653639 5. All applying individuals or entities must be registered to
654640 conduct business in the State of Oklahoma; and
655641 6. All applicants must disclose all ownership interests in the
656642 processing operation.
657643 Applicants with a nonviolent felony conviction in the last two
658644 (2) years, any other felony conviction in the last five (5) years,
659645 inmates in the custody of the Department of Corrections or any
660646 person currently incarcerate d shall not qualify for a medic al
661647 marijuana or adult use marijuana processing license.
662648 C. 1. A licensed processor may take marijuana plants and
663649 distill or process these plants into concentrates, edibles, and
664650 other forms for consumption.
665651 2. As required by subsection D of this section, th e Authority
666652 shall make available a set of standards which shall be used by
667653 licensed processors in the preparation of edible marijuana products .
668654 The standards should be in line with curr ent food preparation
669655 guidelines. No excessive or punitive rules may b e established by
670656 the Authority.
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697682 3. Up to two times a year, the Authority may inspect a
698683 processing operation and de termine its compliance with the
699684 preparation standards . If deficiencies are found, a written report
700685 of the deficiency shall be issued to the licensed processor. The
701686 licensed processor shall have one (1) month to correct the
702687 deficiency or be subject to a f ine of Five Hundred Dollars ($500.00)
703688 for each deficiency.
704689 4. A licensed processor may sell marijuana pr oducts it creates
705690 to a licensed dispensary or any other licensed processor. All sales
706691 by a licensed processor shall be considered wholesale sales and
707692 shall not be subject to taxation.
708693 5. Under no circumstances may a licensed processor sell
709694 marijuana or any marijuana product directly to a licensed medical
710695 marijuana patient or, licensed medical marijuana caregiver, or adult
711696 use customer. However, a licensed processor may process c annabis
712697 into a concentrated form for a licensed medical marijuana patient
713698 for a fee.
714699 6. Licensed processors shall be required to complete a monthly
715700 yield and sales report to the Authority. This report shall be due
716701 on the fifteenth of each month and shall provide reporting on the
717702 previous month. This report shall detail the amount of marijuana
718703 and medical marijuana products purchased in pounds, the amount of
719704 marijuana cooked or processed in pounds, and the amount of waste i n
720705 pounds. Additionally, this report shall show total wholesale sales
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747731 in dollars. The Authority shall have oversight and auditing
748732 responsibilities to ensu re that all marijuana being processed is
749733 accounted for.
750734 D. The Authority shall oversee the inspection and compliance of
751735 licensed processors producing products with marijuana as an
752736 additive. The Authority shall be compelled to, within thirty (30)
753737 days of passage of this initiative, appoint twelve (12) Oklahoma
754738 residents to the Medical Marijuana Advisory Council, who are
755739 marijuana industry experts, to create a list of food safe ty
756740 standards for processing and handling medical marijuana in Oklahoma.
757741 These standards shall be adopted by the Authority and the Authority
758742 may enforce these standards for licensed processors. The Authority
759743 shall develop a standards review procedure and these stan dards can
760744 be altered by calling anothe r council of twelve (12) Oklahoma
761745 marijuana industry experts. A signed letter of twenty operating,
762746 licensed processors shall constitute a need for a new council and
763747 standards review.
764748 E. If it becomes permissible unde r federal law, marijuana may
765749 be moved across state lines.
766750 F. Any device used for the processing or consumption of medical
767751 marijuana shall be considered legal to be sold, manufactured,
768752 distributed and possessed. No merchant, wholesaler, manufacturer or
769753 individual may be unduly harassed or prosecuted for sellin g,
770754 manufacturing or possessing marijuana paraphernalia.
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797780 SECTION 4. AMENDATORY 63 O.S. 2021, Section 424, is
798781 amended to read as follows :
799782 Section 424. A. A marijuana transportation license will shall
800783 be issued to qualifying applicants for a marijuana retail
801784 dispensary, growing commercial grower, or processing processor
802785 license. The transportation license will shall be issued at the
803786 time of approval of a retail, growing, or processing dispensary,
804787 commercial grower, or processor license.
805788 B. A transportation license will shall allow the holder to
806789 transport marijuana from an Oklahoma licensed medical marijuana
807790 retailer or adult use dispensary, licensed growing commercial grower
808791 facility, or licensed processor facility to an Oklahoma licensed
809792 medical marijuana retailer or adult use dispensary, licensed growing
810793 commercial grower facility, or licensed processing processor
811794 facility.
812795 C. All marijuana or marijuana products shall be transported in
813796 a locked container and clearly labeled "Medical Marijuana or
814797 Derivative" "Marijuana or Derivative".
815798 SECTION 5. AMENDATORY 63 O.S. 2021, Section 425, as
816799 amended by Section 2, Chapter 317, O.S.L. 2 022 (63 O.S. Supp. 2022,
817800 Section 425), is amended to read as follows:
818801 Section 425. A. No school or landlord may refuse to enroll or
819802 lease to and may not otherwise penalize a person solely for his or
820803 her status as a medical marijuana patient licensee, unless failing
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847829 to do so would cause the school or landlord the potential to lose a
848830 monetary or licensing-related benefit under federal law or
849831 regulations.
850832 B. Unless a failure to do so would cause an employer the
851833 potential to lose a monetary or licensing -related benefit under
852834 federal law or regulations, an employer may not discrimina te against
853835 a person in hiring, termination or imposing any term or condition of
854836 employment or otherwi se penalize a person based upon the status of
855837 the person as a medical mari juana patient licensee. Employers may
856838 take action against a medical marijuana patient licensee if the
857839 licensee uses or possesses marijuana while in his or her place of
858840 employment or during the hours of employment . Employers may not
859841 take action against a medical marijuana patient licensee solely
860842 based upon the status of an employee as a medical marijuana patient
861843 licensee or the results of a drug test showing positive for
862844 marijuana or its components.
863845 C. For the purposes of medical care, including organ
864846 transplants, the authorized use of marijuana by a medical marijuana
865847 patient licensee shall be considered the equivalent of the use of
866848 any other medication under the direction of a physician and does not
867849 constitute the use of an illicit substance or otherwise disqualify a
868850 registered qualifying patient from medical care.
869851 D. No medical marijuana patient licensee may be denied custody
870852 of or visitation or parenting time with a minor child, and there is
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897878 no presumption of neglect or child endangerment for conduct al lowed
898879 under this law unless the behavior of the medical marijuana patient
899880 licensee creates an unreasonable danger to the safety of the minor
900881 child.
901882 E. No person who possesses a medical marijuana patient license
902883 may be unduly withheld from holdin g another state-issued license by
903884 virtue of his or her status as a medical marijuana patient licensee
904885 including, but not limited to, a concealed carry permit.
905886 F. 1. No city or local municipality may unduly change or
906887 restrict zoning laws to prevent the opening of a medical marijuana
907888 or adult use marijuana dispensary.
908889 2. For purposes of this subsection, an undue change or
909890 restriction of municipal zoning laws means an act which entirely
910891 prevents medical marijuana or adult use marijuana dispensaries from
911892 operating within munic ipal boundaries as a matter of law .
912893 Municipalities may follow their standard planning and zoning
913894 procedures to determine if certain zones or districts would be
914895 appropriate for locating marijuana -licensed premises, medical
915896 marijuana or adult use marijua na businesses or any other premises
916897 where marijuana or its by-products are cultivated, grown, processed,
917898 stored or manufactured.
918899 3. A medical marijuana or adult use marijuana dispensary does
919900 not include those other ent ities licensed by th e Oklahoma Medical
920901 Marijuana Authority as marijuana-licensed premises, medical
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947927 marijuana businesses or other facilities or locations where
948928 marijuana or any product containing marijuana or its by-products are
949929 cultivated, grown, processed , stored or manufactured.
950930 G. 1. The location of any medical marijuana or adult use
951931 marijuana dispensary is specifically prohibited within one thousand
952932 (1,000) feet of any public school or private school. The distance
953933 indicated in this paragraph shall be measured from the nearest
954934 property line of such public school or private school to the nearest
955935 perimeter wall of the licensed premises of such medical marijuana or
956936 adult use marijuana dispensary. If a medical marijuana or adult use
957937 marijuana dispensary met the requirements of this paragraph at the
958938 time of its initial licensure, the medica l marijuana or adult use
959939 marijuana dispensary licensee shall be permitted to continue
960940 operating at the licensed premises in the sa me manner and not be
961941 subject to nonrenewal or revocation due to subseque nt events or
962942 changes in regulations occurring after licensure that would render
963943 the medical marijuana or adult use marijuana dispensary in violation
964944 by being within one thousand (1,000) feet of a public school or
965945 private school. If any public school or private school is
966946 established within one thousand (1,000) feet of any medical
967947 marijuana or adult use marijuana dispensary after such medical
968948 marijuana or adult use marijuana dispensary has been licensed, the
969949 provisions of this paragraph shall not be a deterrent to the renewal
970950 of such license or warrant revocation of the license. For purposes
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997976 of this paragraph, a property owned, used or operated by a public
998977 school or by a private school that is not used for classroom
999978 instruction on core curriculum, such as an administrative building,
1000979 athletic facility, ballpark, field or stadium, shall not constitute
1001980 a public school or private school unless such property is located on
1002981 the same campus as a building used for classroom ins truction on core
1003982 curriculum.
1004983 2. The location of any medical marijuana or adult use marijuana
1005984 commercial grower shall not be within one thousand (1,0 00) feet of
1006985 any public school or private school as measured from the nearest
1007986 property line of such public school or private school to the nearest
1008987 property line of the licensed premise s of such medical marijuana or
1009988 adult use marijuana commercial grower. Additionally, the location
1010989 of the medical marijuana or adult use marijuana commercial grower
1011990 shall not adjoin to any public school or private school or be
1012991 located at the same physical address as the publi c school or private
1013992 school. If a medical marijuana or adult use marijuana commercial
1014993 grower met the requirements of this p aragraph at the time of its
1015994 initial licensure, the medical mariju ana or adult use marijuana
1016995 commercial grower licensee shall be permi tted to continue operating
1017996 at the licensed premises in the same manner and not be subject to
1018997 nonrenewal or revocation due to subsequent events or changes in
1019998 regulations occurring after licensure that would rende r the medical
1020999 marijuana or adult use marijuana commercial grower in violation of
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10471025 this paragraph. If any public school or private school is
10481026 established within one thousand (1,000) feet of any medical
10491027 marijuana or adult use marijuana commercial grower after such
10501028 medical marijuana or adult use marijuana commercial grower has been
10511029 licensed, or if any public school or private school is established
10521030 adjoining to or at the same physical address a s any medical
10531031 marijuana or adult use marijuana commercial grower after such
10541032 medical marijuana or adult use marijuana commercial grower has been
10551033 licensed, the provisions of this paragraph shall not be a deterrent
10561034 to the renewal of such license or warrant revocation of the license.
10571035 For purposes of this paragraph, a property owned, used, or operated
10581036 by a public school o r by a private school that is not used for
10591037 classroom instruction on core curriculum, such as an administrative
10601038 building, athletic facility, ballpark, field, or stadium, shall not
10611039 constitute a public school or private school unless such property is
10621040 located on the same campus as a build ing used for classroom
10631041 instruction on core curriculum.
10641042 H. Research shall be provided for under this law. A researcher
10651043 may apply to the State Department of Health Oklahoma Marijuana
10661044 Authority for a special research license. The research license
10671045 shall be granted, provided the applicant meets the criteria li sted
10681046 in the Oklahoma Medical Marijuana and Pati ent Protection Act.
10691047 Research licensees shall be required to file monthly consumpti on
10701048 reports to the State Department of Health Authority with amounts of
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10971074 marijuana used for research. Biomedical and clinical research which
10981075 is subject to federal regulations and insti tutional oversight shall
10991076 not be subject to oversight by the State Department of Health
11001077 Authority.
11011078 SECTION 6. AMENDATORY 63 O.S. 2021, Secti on 426.1, as
11021079 amended by Section 6, Chapter 251, O.S.L. 2022 (63 O.S. Supp. 2022,
11031080 Section 426.1), is amended to read as follows:
11041081 Section 426.1 A. All licensure revocation hearings conducted
11051082 pursuant to marijuana licenses established in the Oklahoma Statutes
11061083 shall be recorded. A party may request a copy of the recording of
11071084 the proceedings. Copies shall be provided to local law enforcement
11081085 if the revocation was based on alleged criminal activity.
11091086 B. The Oklahoma Medical Marijuana Authority shall assist any
11101087 law enforcement officer in the performance of his or her duties upon
11111088 such request by the l aw enforcement officer or the request of other
11121089 local officials having jurisdiction. Except for license information
11131090 concerning licensed patients, as de fined in Section 427.2 of this
11141091 title, the Authority shall share information with law enforceme nt
11151092 agencies upon request without a subpoena or search warrant.
11161093 C. The Authority shall make available all information on
11171094 whether or not a medical marijuana patient or medical marijuana
11181095 caregiver license is valid to law enforcement electronically through
11191096 an online verification system.
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11461122 D. The Authority shall make available to state agencies and
11471123 political subdivisions a list of marijuana-licensed premises,
11481124 medical marijuana or adult use marijuana businesses or any other
11491125 premises where marijuana or its by-products are licensed to be
11501126 cultivated, grown, processed, stored or manufactured to aid state
11511127 agencies and county and municipal governments in identifying
11521128 locations within their jurisdiction and ensuring compliance with
11531129 applicable laws, rules and regulations.
11541130 E. Any marijuana-licensed premises, medical marijuana or adult
11551131 use marijuana business or any other premises where marijuana or its
11561132 by-products are licensed to be cultivated, grown, processed, stored
11571133 or manufactured shall submit with its application or request to
11581134 change location, after notifying the political subdivision of its
11591135 intent, a certificate of compliance from the political subdivision
11601136 where the facility of the applicant or licensee is to be located
11611137 certifying compliance with zoning classifications, applicable
11621138 municipal ordinances and all applicable safety, electri cal, fire,
11631139 plumbing, waste, construction and building specification codes.
11641140 Once a certificate of compliance has been submitted to the
11651141 Oklahoma Medical Marijuana Authority showing full compliance as
11661142 outlined in this subsection, no additional certificate of compliance
11671143 shall be required for license renewal unless a change of use or
11681144 occupancy occurs, or there is any change concerning the facility or
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11951170 location that would, by law, require additional inspection,
11961171 licensure or permitting by the state or municipality.
11971172 SECTION 7. AMENDATORY 63 O.S. 2021, Section 427.2, as
11981173 amended by Section 1, Chapter 317, O.S.L. 2022 (63 O.S. Supp. 2022,
11991174 Section 427.2), is amended to read as fol lows:
12001175 Section 427.2 As used in the Oklahoma Medical Ma rijuana and
12011176 Patient Protection Act:
12021177 1. "Adult use" means a consumer of m arijuana or marijuana
12031178 products by a person twenty -one (21) years of age or older;
12041179 2. "Advertising" means the act of providing consideration for
12051180 the publication, dis semination, solicitation or circulation, of
12061181 visual, oral or written communication to induce directly or
12071182 indirectly any person to patroniz e a particular medical marijuana or
12081183 adult use marijuana business, or to purchase particular medical
12091184 marijuana or a medical marijuana product. Advertising includes
12101185 marketing, but does not include packa ging and labeling;
12111186 2. 3. "Authority" means the Oklahoma Medical Marijuana
12121187 Authority;
12131188 3. 4. "Batch number" means a unique numeric or alphanumeric
12141189 identifier assigned prior to testing to allow for inventory tracking
12151190 and traceability;
12161191 4. 5. "Cannabinoid" means any of the chemical compounds that
12171192 are active principles of marijuana;
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12441218 5. 6. "Caregiver" means a family member or assistant who
12451219 regularly looks after a medical marijuana license holde r whom a
12461220 physician attests needs assistance;
12471221 6. 7. "Child-resistant" means special packaging that is:
12481222 a. designed or construc ted to be significantly difficult
12491223 for children under five (5) years of age to open and
12501224 not difficult for normal adults to use properl y as
12511225 defined by 16 C.F.R. 1700.15 (1995) and 16 C.F .R.
12521226 1700.20 (1995),
12531227 b. opaque so that the outermost packaging does not a llow
12541228 the product to be seen without opening the packaging
12551229 material, and
12561230 c. resealable to maintain its child-resistant
12571231 effectiveness for multiple openings for any product
12581232 intended for more than a single use or containing
12591233 multiple servings;
12601234 7. 8. "Clone" means a nonflowering plant cut from a mother
12611235 plant that is capable of developing into a new plant and has shown
12621236 no signs of flowering;
12631237 8. 9. "Commissioner" means the State Commissioner of Hea lth;
12641238 9. 10. "Complete application" means a document prepared in
12651239 accordance with the provisions set forth in the Oklahoma Medical
12661240 Marijuana and Patient Protection Act, rules promulgated pursuant
12671241 thereto, and the forms and instructions provided by the Departmen t
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12941267 including any supporting documentation required and the applica ble
12951268 license application fee;
12961269 10. 11. "Department" means the State Department of Health;
12971270 11. 12. "Director" means the Executive Director o f the Oklahoma
12981271 Medical Marijuana Authority;
12991272 12. 13. "Dispense" means the selling of medical marijuana or a
13001273 medical marijuana product to a qualified patient or the designated
13011274 caregiver of the patient that is packaged in a suitable container
13021275 appropriately labeled for subsequent administration to or use by a
13031276 qualifying patient;
13041277 13. 14. "Dispensary" means a medical marijuana dispensary, an
13051278 entity that has been licensed by the Department pursuant to the
13061279 Oklahoma Medical Marijuana and Patient Protection Act to purchase
13071280 medical marijuana or medical marijuana products from a lice nsed
13081281 medical marijuana or adult use marijuana commercial grower or
13091282 medical marijuana or adult use marijuana processor, sell medical
13101283 marijuana or medical marijuana products to patients and, caregivers,
13111284 and adult consumers, as defined under the Oklahoma Medical Marijuana
13121285 and Patient Protection Act, or sell or transfer products to another
13131286 dispensary;
13141287 14. 15. "Edible medical marijuana product" means any medical-
13151288 marijuana-infused marijuana-infused product for which the intended
13161289 use is oral consumption including, but not limited to, any type of
13171290 food, drink or pill;
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13441316 15. 16. "Entity" means an individual, general partnership,
13451317 limited partnership, limited liability company, trus t, estate,
13461318 association, corporation, cooperative or any other legal or
13471319 commercial entity;
13481320 16. 17. "Flower" means the reproductive organs of the marijuana
13491321 or cannabis plant referred to as the bud or parts of the plant that
13501322 are harvested and used to consume in a variety of medical marijuana
13511323 products;
13521324 17. 18. "Flowering" means the reproductive state of the
13531325 marijuana or cannabis plant in which there are physical signs of
13541326 flower or budding out of the nodes of the stem;
13551327 18. 19. "Food-based medical marijuana concentrate " means a
13561328 medical marijuana concentrate that was produced by extracting
13571329 cannabinoids from medical marijuana through the use of pr opylene
13581330 glycol, glycerin, butter, olive oil, coconut oil or other typical
13591331 food-safe cooking fats;
13601332 19. 20. "Good cause" for purposes of an initial, renewal or
13611333 reinstatement license application, or for purposes of discipline of
13621334 a licensee, means:
13631335 a. the licensee or applicant has violated, does not meet,
13641336 or has failed to comply with any of the terms,
13651337 conditions or provisions of the act, an y rules
13661338 promulgated pursuant the reto, or any supplemental
13671339 relevant state or local law, rule or regulation,
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13941365 b. the licensee or applicant has failed to comply with
13951366 any special terms or conditions that were placed upon
13961367 the license pursuant to an order of the State
13971368 Department of Health, Okl ahoma Medical Marijuana
13981369 Authority or the municipality, or
13991370 c. the licensed premises of a med ical marijuana or adult
14001371 use marijuana business or applicant have been operated
14011372 in a manner that adversely affects the public health
14021373 or welfare or the safety of the immediate vicinity in
14031374 which the establishment is located;
14041375 20. 21. "Harvest batch" means a specifically identified
14051376 quantity of medical marijuana that is uniform in strain, cultivated
14061377 utilizing the same cultiva tion practices, harvested at the same time
14071378 from the same location and cur ed under uniform conditions;
14081379 21. 22. "Harvested marijuana" means post-flowering medical
14091380 marijuana not including trim, concentrate or waste;
14101381 22. 23. "Heat- or pressure-based medical marijuana concentrate"
14111382 means a medical marijuana concentrate that was produced by
14121383 extracting cannabinoids from medical marijuana through the use of
14131384 heat or pressure;
14141385 23. 24. "Immature plant" means a nonflowering marijuana plant
14151386 that has not demonstrated signs of flow ering;
14161387 24. 25. "Inventory tracking system " means the required tracking
14171388 system that accounts for medical marijuana from either the seed or
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14441414 immature plant stage until the medical marijuana or medical
14451415 marijuana product is sold to a pa tient at a medical marijuana or
14461416 adult use marijuana dispensary, transferred to a medical marijuana
14471417 research facility, de stroyed by a medical marijuana business or used
14481418 in a research project by a medical marijuana research fac ility;
14491419 25. 26. "Licensed patient" or "patient" means a person who has
14501420 been issued a medical marijuana patient license by the State
14511421 Department of Health o r Oklahoma Medical Marijuana Authority;
14521422 26. 27. "Licensed premises" means the premises specified in a n
14531423 application for a medical marijuana business license, medical
14541424 marijuana research facilit y license or medical marijuana education
14551425 facility license pursuant to the Oklahoma Medical Marijuana and
14561426 Patient Protection Act that are owned or in possession of the
14571427 licensee and within which the licensee is authorized to culti vate,
14581428 manufacture, distribut e, sell, store, transport, test or research
14591429 medical marijuana or medical marijuana products in accordance with
14601430 the provisions of the Oklahoma Medical Marijuana and Pa tient
14611431 Protection Act and rules promulgated pursuant thereto;
14621432 27. 28. "Manufacture" means the production, propagation,
14631433 compounding or processing of a medical marijuana product, excluding
14641434 marijuana plants, either directly or indirectly by extraction from
14651435 substances of natural or synthetic origin, or independently by mean s
14661436 of chemical synthesis, or b y a combination of extraction and
14671437 chemical synthesis;
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14941463 28. 29. "Marijuana" shall have the same meaning as such term is
14951464 defined in Section 2-101 of this title and shall not include any
14961465 plant or material containing delta -8 or delta-10
14971466 tetrahydrocannabinol which is grown, processed or sold pursuant to
14981467 the provisions of the Oklah oma Industrial Hemp Program;
14991468 29. 30. "Material change" means any change that would require a
15001469 substantive revision to the standard operating procedures of a
15011470 licensee for the cultivation or prod uction of medical marijuana,
15021471 medical marijuana concentrate or medical marijuana products;
15031472 30. 31. "Mature plant" means a harvestable female marijuana
15041473 plant that is flowering;
15051474 31. 32. "Medical marijuana or adult use marijuana business
15061475 (MMB)" means a licensed medical marijuana or adult use marijua na
15071476 dispensary, medical marijuana or adult use marijuana processor,
15081477 medical marijuana or adult use marijuana commercial grower, medical
15091478 marijuana laboratory, medical marijuana or adult use marijuana
15101479 business operator or a medical marijuana transporter;
15111480 32. 33. "Medical marijuana Marijuana concentrate" or
15121481 "concentrate" means a specific subset of medical marijuana that was
15131482 produced by extractin g cannabinoids from medical marijuana.
15141483 Categories of medical marijuana concentrate include water-based
15151484 medical marijuana concentrate, food-based medical marijuana
15161485 concentrate, solvent-based medical marijuana concentrate, and heat-
15171486 or pressure-based medical marijuana concentrat e;
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15441512 33. 34. "Medical marijuana or adult use marijuana commercial
15451513 grower" or "commercial grower" means an entity licensed to
15461514 cultivate, prepare and package medical marijuana and transfer or
15471515 contract for transfer medical marijuana to a medical marijuana or
15481516 adult use marijuana dispensary, medical marijuana or adult use
15491517 marijuana processor, any other medical marijuana or adult use
15501518 marijuana commercial grower, medical marijuana research facility,
15511519 medical marijuana education facility and pesticide manufacture rs. A
15521520 commercial grower may sell seeds, flower or clones to commercial
15531521 growers pursuant to the Oklahoma Medical Marijuana and Patient
15541522 Protection Act;
15551523 34. 35. "Medical marijuana Marijuana education facility" or
15561524 "education facility" means a person or entity approved pu rsuant to
15571525 the Oklahoma Medical Marijuana and Patient Protection Act to operate
15581526 a facility providing training and education to individuals involving
15591527 the cultivation, growing, harvesting, curing, prep aring, packaging
15601528 or testing of medical marijuana, or the production, manufacture,
15611529 extraction, processing, packaging or creation of medical-marijuana-
15621530 infused marijuana-infused products or medical marijuana products as
15631531 described in the Oklahoma Medical Marijuana and Patient Protec tion
15641532 Act;
15651533 35. 36. "Medical-marijuana-infused Marijuana-infused product"
15661534 means a product infused with medical marijuana including, but not
15671535 limited to, edible products, ointments and tinctures;
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15941561 36. 37. "Medical marijuana Marijuana product" or "product"
15951562 means a product that contains cannabi noids that have been extracted
15961563 from plant material or the resin therefrom by physical or c hemical
15971564 means and is intended for administration to a qualified patient
15981565 including, but not limited to, oils, tinctures, edibles, pills,
15991566 topical forms, gels, creams, v apors, patches, liquids and forms
16001567 administered by a nebulizer, excluding live plant forms which are
16011568 considered medical marijuana;
16021569 37. 38. "Medical marijuana or adult use marijuana processor"
16031570 means a person or entity licensed pursuant to the Oklahoma Medical
16041571 Marijuana and Patient Protection Act to operate a business including
16051572 the production, manufacture, extraction, proc essing, packaging or
16061573 creation of concentrate, medical-marijuana-infused marijuana-infused
16071574 products or medical marijuana products as described in the Oklahoma
16081575 Medical Marijuana and Pat ient Protection Act;
16091576 38. 39. "Medical marijuana Marijuana research facility" or
16101577 "research facility" means a person or entity approved pursuant to
16111578 the Oklahoma Medical Marijuana and Patient Protection Act to conduct
16121579 medical marijuana research. A medical marijuana research facility
16131580 is not a medical marijuana business;
16141581 39. 40. "Medical marijuana or adult use marijuana testing
16151582 laboratory" or "laboratory" means a public or pr ivate laboratory
16161583 licensed pursuant to the Oklahoma Medical Marijuana and Patient
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16431609 Protection Act, to conduct testing and rese arch on medical marijuana
16441610 and medical marijuana products;
16451611 40. 41. "Medical marijuana or adult use marijuana transporter"
16461612 or "transporter" means a person or entity that is licensed pursuant
16471613 to the Oklahoma Medical Marijuana and Patient Protection Act. A
16481614 medical marijuana or adult use marijuana transporter does not
16491615 include a medical marijuana business that transports its own medical
16501616 marijuana, medical marijuana concentrate or medical marijuana
16511617 products to a property or fac ility adjacent to or connected to the
16521618 licensed premises if the property is another licensed premises of
16531619 the same medical marijuana business;
16541620 41. 42. "Medical marijuana Marijuana waste" or "waste" means
16551621 unused, surplus, returned or out -of-date marijuana, plant debris of
16561622 the plant of the genus Cannabis including dead plants and all unused
16571623 plant parts and roots, except the term shall not include roots,
16581624 stems, stalks and fan leaves;
16591625 42. 43. "Medical use" means the acquisition, possession, use,
16601626 delivery, transfer or transportat ion of medical marijuana, medical
16611627 marijuana products, medical marijuana devices or paraphernalia
16621628 relating to the administration of medical marijuana to treat a
16631629 licensed patient;
16641630 43. 44. "Mother plant" means a marijuana plant that is grown or
16651631 maintained for the purpose of generating clones, and that will not
16661632 be used to produce plant material for sale to a medical marijuana or
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16931658 adult use marijuana processor or medical marijuana or adult use
16941659 marijuana dispensary;
16951660 44. 45. "Oklahoma physician" or "physician" means a physician
16961661 licensed by and in good standing with the State Board of Medical
16971662 Licensure and Supervision, the State Board of Osteopathic Examiners
16981663 or the Board of Podiatric Medical Examiners;
16991664 45. 46. "Oklahoma resident" means an individual who can provide
17001665 proof of residency as required by the Oklahoma Medical Marijuana and
17011666 Patient Protection Act;
17021667 46. 47. "Owner" means, except where the context otherwise
17031668 requires, a direct beneficial owner including, but not limited to,
17041669 all persons or entities as follows:
17051670 a. all shareholders owning an interest of a corporate
17061671 entity and all officers of a corporate entity,
17071672 b. all partners of a general partnership,
17081673 c. all general partners and all limited partners that own
17091674 an interest in a limited partnership,
17101675 d. all members that own an interest in a li mited
17111676 liability company,
17121677 e. all beneficiaries that hold a beneficial interest in a
17131678 trust and all trustees of a trust,
17141679 f. all persons or entities that own interest in a joint
17151680 venture,
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17421706 g. all persons or entities that own an interest in an
17431707 association,
17441708 h. the owners of any other type of le gal entity, and
17451709 i. any other person holding an interest or convertible
17461710 note in any entity which owns, operates or manages a
17471711 licensed facility;
17481712 47. 48. "Package" or "packaging" means any container or wrapper
17491713 that may be used by a medical marijuana business to enclose or
17501714 contain medical marijuana;
17511715 48. 49. "Person" means a natural person, partnership,
17521716 association, business trust, company, corporation, estate, limited
17531717 liability company, trust or any other legal entity or organization,
17541718 or a manager, agent, own er, director, servant, officer or employee
17551719 thereof, except that person does not include any governmental
17561720 organization;
17571721 49. 50. "Pesticide" means any substance or mixture of
17581722 substances intended for preventing, destroying, repelling or
17591723 mitigating any pest o r any substance or mixture of substances
17601724 intended for use as a plant regulator, defoliant or desiccant,
17611725 except that the term pesticide shall not include any article that is
17621726 a "new animal drug" as designated by the United States Food and Drug
17631727 Administration;
17641728 50. 51. "Production batch" means:
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17911754 a. any amount of medical marijuana concentrate of the
17921755 same category and produ ced using the same extraction
17931756 methods, standard operating procedures and an
17941757 identical group of harvest batch of medical marijuana,
17951758 or
17961759 b. any amount of medical marijuana product of the same
17971760 exact type, produced using the same ingredients,
17981761 standard operating procedures and the same production
17991762 batch of medical marijuana concentrate;
18001763 51. 52. "Public institution" means any entity esta blished or
18011764 controlled by the federal government, state government, or a local
18021765 government or municipality including, but not limited t o,
18031766 institutions of higher education or related research institutions;
18041767 52. 53. "Public money" means any funds or money obtained by the
18051768 holder from any governmental entity including, but not limited to,
18061769 research grants;
18071770 53. 54. "Recommendation" means a document that is signed or
18081771 electronically submitted by a physician on behalf of a patient for
18091772 the use of medical marijuana pursuant to the Oklahoma Medical
18101773 Marijuana and Patient Protection Act;
18111774 54. 55. "Registered to conduct business" means a person that
18121775 has provided proof that the business applicant is in good standing
18131776 with the Secretary of State and Oklahoma Tax Commission;
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18401802 55. 56. "Remediation" means the process by which the medical
18411803 marijuana flower or trim, which has failed microbial testing, is
18421804 processed into solvent-based medical marijuana concentrate and
18431805 retested as required by the Oklahoma Medical Marijuana and Patient
18441806 Protection Act;
18451807 56. 57. "Research project" means a discrete scientific endeavor
18461808 to answer a research question or a set of research questions related
18471809 to medical marijuana and is required for a medical marijuana
18481810 research license. A research project shall include a description of
18491811 a defined protocol, clearly articulated goals, defined methods and
18501812 outputs, and a defined start and end date. The description shall
18511813 demonstrate that the research project will comply with all
18521814 requirements in the Oklahoma Medical Marijuana and Patient
18531815 Protection Act and rules promulgated pursuant thereto. All research
18541816 and development conducted by a medical marijuana research facility
18551817 shall be conducted in furtherance of an approved research project;
18561818 57. 58. "Revocation" means the final decision by the Department
18571819 that any license issued pursuant to the Oklahoma Medical Marijuana
18581820 and Patient Protection Act is rescinded because the individual or
18591821 entity does not comply with the applicable requirements set forth in
18601822 the Oklahoma Medical Marijuana and Patient Protection Act or rules
18611823 promulgated pursuant thereto;
18621824 58. 59. "School" means a public or private preschool, a public
18631825 or private elementary or secondary school, or a technology center
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18901851 school which is primarily used for classroom instruction. A
18911852 homeschool, daycare or child-care facility shall not be considered a
18921853 "school" as used in the Oklahoma Medical Marijuana and Patient
18931854 Protection Act;
18941855 59. 60. "Shipping container" means a hard-sided container with
18951856 a lid or other enclosure that can be secured in place. A shipping
18961857 container is used solely for the transport of medical marijuana,
18971858 medical marijuana concentrate, or medical marijuana products between
18981859 medical marijuana businesses, a medical marijuana research facility,
18991860 or a medical marijuana education facility;
19001861 60. 61. "Solvent-based medical marijuana concentrate" means a
19011862 medical marijuana concentrate that was produced by extracting
19021863 cannabinoids from medical marijuana through the use of a solvent
19031864 approved by the Department;
19041865 61. 62. "State Question" means Oklahoma State Question No. 788,
19051866 Initiative Petition No. 412, approved by a majority vote of the
19061867 citizens of Oklahoma on June 26, 2018;
19071868 62. 63. "Strain" means the classification of marijuana or
19081869 cannabis plants in either pure sativ a, indica, afghanica, ruderalis
19091870 or hybrid varieties;
19101871 63. 64. "THC" means tetrahydrocannabinol, which is the primary
19111872 psychotropic cannabinoid in marijuana formed by dec arboxylation of
19121873 naturally tetrahydrocannabinolic acid, which generally occurs by
19131874 exposure to heat;
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19401900 64. 65. "Test batch" means with regard to usable marijuana, a
19411901 homogenous, identified quantity of usable marijuana by strain, no
19421902 greater than ten (10) pounds, t hat is harvested during a seven-day
19431903 period from a specified cultivation area, and with regard to oils,
19441904 vapors and waxes derived from usable marijuana, means an identified
19451905 quantity that is uniform, that is intended to meet specifications
19461906 for identity, strength and composition, and that is manufactured,
19471907 packaged and labeled during a specified time p eriod according to a
19481908 single manufacturing, packaging and labeling protocol;
19491909 65. 66. "Transporter agent" means a person who transports
19501910 medical marijuana or medical marijuana products for a licensed
19511911 transporter and holds a transporter agent license pursuant to the
19521912 Oklahoma Medical Marijuana and Patient Protection Act;
19531913 66. 67. "Universal symbol" means the image established by the
19541914 State Department of Health or Oklahoma Medical Marijuana Authority
19551915 and made available to licensees through its website indicating that
19561916 the medical marijuana or the medical marijuana product contains THC;
19571917 67. 68. "Usable marijuana" means the dried leaves, flowers,
19581918 oils, vapors, waxes and other portions of the marijuana plant and
19591919 any mixture or preparation thereof, excluding seeds, roots, stems,
19601920 stalks and fan leaves; and
19611921 68. 69. "Water-based medical marijuana concentrate " means a
19621922 concentrate that was produced by extracting cannabinoids from
19631923 medical marijuana through the use of only water, ice or dry ice.
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19901949 SECTION 8. AMENDATORY 63 O.S. 2021, Section 427.3, as
19911950 amended by Section 8, Chapter 251, O.S.L. 2022 (63 O.S. Supp. 2022,
19921951 Section 427.3), is amended to read as follows:
19931952 Section 427.3 A. There is hereby created the Oklahoma Medical
19941953 Marijuana Authority which shall address issues related to the
19951954 medical marijuana program in this state including, but not limited
19961955 to, the issuance of patient licenses and medical marijuana or adult
19971956 use marijuana business licenses, and t he dispensing, cultivating,
19981957 processing, testing, transportin g, storage, research, and the use of
19991958 and sale of medical marijuana pursuant to the Oklahoma Medical
20001959 Marijuana and Patient Protection Act.
20011960 B. 1. Beginning on the effective date of this act November 1,
20021961 2022, the Authority shall cease to be part of or a division of the
20031962 State Department of Health and shall be deemed to be a separate and
20041963 distinct agency, to be known as the Oklahoma Medical Marijuana
20051964 Authority. The Authority and the Executive Director of the
20061965 Authority shall continue to exercise their statutory powers, duties,
20071966 and contractual responsibilities. All records, property, equipment,
20081967 assets, monies, financial interests, liabilities, matters pending,
20091968 and funds of the division shall be transferred to the Authority.
20101969 2. All licenses granted by the Department pertaining to medical
20111970 marijuana shall maintain rights and privileges under the authority
20121971 of the Authority; provided, however, that all licenses shall be
20131972 subject to revocation, suspension, or disciplinary action for
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20401998 violation of any of the provisions of the Oklahoma Medical Marijuana
20411999 and Patient Protection Act and rules promulgated by the Executive
20422000 Director.
20432001 3. The Authority shall succeed to any contract ual rights or
20442002 responsibilities incurred by the Department pertaining to medical
20452003 marijuana.
20462004 4. Rules promulgated by the State Commissioner of Health
20472005 pertaining to medical marijuana that are in effect on t he effective
20482006 date of this act shall be immediately adopted and enforced by the
20492007 Executive Director. The Executive Director maintains the autho rity
20502008 to further promulgate and enforce rules.
20512009 5. The Department and the Authority may enter into an agreement
20522010 for the transfer of personnel from the Department to the Authority.
20532011 No employee shall be transferred to the Authority except on the
20542012 freely given written consent of the employee. All employees who are
20552013 transferred to the Authority shall not be required to a ccept a
20562014 lesser grade or salary than presently received . All employees shall
20572015 retain leave, sick, and annual time earned, and any retirement and
20582016 longevity benefits which have accrued during their tenure with the
20592017 Department. The transfer of personnel between the state agencies
20602018 shall be coordinated with the Off ice of Management and Enterprise
20612019 Services.
20622020 6. The expenses incurred by the Authority as a result of the
20632021 transfer required by this subsection shall be paid by the Authority.
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20902047 7. The division within the Department known as the Oklahoma
20912048 Medical Marijuana Authority shall be abolished by the Department
20922049 after the transfer has been completed .
20932050 8. The Office of Management and Enterprise Services shall
20942051 coordinate the transfer of records, property, equipment, assets,
20952052 funds, allotments, purchase orders, liabilities, outstanding
20962053 financial obligations, or encumbrances provided for in this
20972054 subsection.
20982055 C. The Authority shall implement the provisions of the Oklahoma
20992056 Medical Marijuana and Patient Protection Act c onsistently with the
21002057 voter-approved State Question No. 788, Initiative Petition No. 412,
21012058 subject to the provisions of the Oklahoma Medical M arijuana and
21022059 Patient Protection Act.
21032060 D. The Authority shall exercise its respective powers and
21042061 perform its respective duties and functions as specified in the
21052062 Oklahoma Medical Marijuana and Patient Protection Act and this title
21062063 including, but not limited to, the following:
21072064 1. Determine steps the state shall take, whether administrative
21082065 or legislative in nature, to ensure that research on marijuana and
21092066 marijuana products is being conducted for public purposes including
21102067 the advancement of:
21112068 a. public health policy and public safety policy,
21122069 b. agronomic and horticultural best practices, and
21132070 c. medical and pharmacopoeia best practices;
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21402096 2. Contract with third -party vendors and other governmental
21412097 entities in order to carry out the respective duties a nd functions
21422098 as specified in the Oklahoma Medical Marijuana and Patient
21432099 Protection Act;
21442100 3. Upon complaint or upon its own motion and upon a completed
21452101 investigation, levy fines as prescribed in applicable laws, rules
21462102 and regulations and suspend, revoke or not renew licenses pursuant
21472103 to applicable laws, rules and regulations;
21482104 4. Issue subpoenas for the appearance or production of persons,
21492105 records and things in connecti on with disciplinary or contested
21502106 cases considered by the Authority;
21512107 5. Apply for injunctive or declaratory relief to enforce the
21522108 provisions of applicable laws, rules and regulations;
21532109 6. Inspect and examine all licensed premises of medical
21542110 marijuana or adult use marijuana businesses, research facilities,
21552111 education facilities and waste disposal facilities in which medical
21562112 marijuana is cultivated, manufactured, sold, stored, transported,
21572113 tested, distributed or disposed of;
21582114 7. Upon action by the federal government by w hich the
21592115 production, sale and use of marijuana in this state does not violate
21602116 federal law, work with the Banking Department and the State
21612117 Treasurer to develop good practices and standards for banking and
21622118 finance for licensed medical marijuana or adult use marijuana
21632119 businesses;
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21902145 8. Establish internal control procedures for licenses including
21912146 accounting procedures, reporting procedures and personnel policies;
21922147 9. Establish a fee schedule and collect fees for perf orming
21932148 background checks as the Executive Director deems appropriate. The
21942149 fees charged pursuant to this paragraph shall not exceed the actual
21952150 cost incurred for each background check;
21962151 10. Establish a fee schedule and collect fees for material
21972152 changes requested by the licensee; and
21982153 11. Establish regulations, which require a licensed medical
21992154 marijuana or adult use marijuana business to submit information t o
22002155 the Oklahoma Medical Marijuana Authority, deemed reasonably
22012156 necessary to assist the Authority in the prevention of diversion of
22022157 medical marijuana by a licensed medical marijua na or adult use
22032158 marijuana business. Such information required by the Authority may
22042159 include, but shall not be limited to:
22052160 a. the square footage of the licensed premises,
22062161 b. a diagram of the licensed premises,
22072162 c. the number and type of lights at the licensed medical
22082163 marijuana or adult use marijuana commercial grower
22092164 business,
22102165 d. the number, type and production capacity of equipment
22112166 located at the medical marijuana or adult use
22122167 marijuana processing facility,
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22392193 e. the names, addresses and telephone numbers of
22402194 employees or agents of a medical marijuana or adult
22412195 use marijuana business,
22422196 f. employment manuals and standard operating procedures
22432197 for the medical marijuana or adult use marijuana
22442198 business, and
22452199 g. any other information as the Authority reasonably
22462200 deems necessary.
22472201 SECTION 9. AMENDATORY Section 1, Chapter 236, O.S.L.
22482202 2022 (63 O.S. Supp. 2022, Section 427.3a), is amended to read as
22492203 follows:
22502204 Section 427.3a There is hereby created in the State Treasury a
22512205 revolving fund for the Oklahoma Medical Marijuana Authority to be
22522206 designated the "County Sheriff Public Safety Grant Revolving Fund".
22532207 The fund shall be a continuing fund, not subject to f iscal year
22542208 limitations, and shall consist of all monies received by the
22552209 Oklahoma Medical Marijuana Authority that are appropriated or
22562210 apportioned to this fund, and any federal funds, grants, and
22572211 donations from any public or private source for the purpose of
22582212 supporting county sheriffs. All monies accruing to the credit of
22592213 the fund are hereby appropriated and may be budgeted and expended by
22602214 the Oklahoma Medical Marijuana Authority for the purpose of
22612215 establishing programs and providing funding to support county
22622216 sheriffs to enforce the requirements of state law with respect to
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22892242 the commercial growth of medical marijuana or other related business
22902243 activity for which a license is required pursuant to the provisions
22912244 of law governing the production, cultivation, tran sportation,
22922245 distribution, sale, or other actions related to medical marijuana.
22932246 Expenditures from the fund shall be made upon warrants issued by the
22942247 State Treasurer against claims filed as prescribed by law with the
22952248 Director of the Office of Management and Enterprise Services for
22962249 approval and payment.
22972250 SECTION 10. AMENDATORY 63 O.S. 2021, Section 427.4, as
22982251 amended by Section 9, Chapter 251, O.S.L. 2022 (63 O.S. Supp. 2022,
22992252 Section 427.4), is amended to read as follows:
23002253 Section 427.4 A. The Oklahoma Medical Marijuana Authority
23012254 shall employ an Executive Director and other personnel as necessary
23022255 to assist the Authority in carrying out its duties. The Executive
23032256 Director shall be appointed by the Governor, with the advice and
23042257 consent of the Senate. The Executive Director shall serve at the
23052258 pleasure of the Governor and may be removed or replaced without
23062259 cause. Compensation for the Executive Director shall be determined
23072260 pursuant to Section 3601.2 of Title 74 of the Oklahoma Statutes.
23082261 B. The Authority shall not employ an individual if any of the
23092262 following circumstances exist:
23102263 1. The individual has a direct or indirec t interest in a
23112264 licensed medical marijuana or adult use marijuana business; or
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23382290 2. The individual or his or her spouse, par ent, child, spouse
23392291 of a child, sibling, or spouse of a sibling has an application for a
23402292 medical marijuana or adult use marijuana business license pending
23412293 before the Authority or is a member of the board of directors of a
23422294 medical marijuana or adult use marijuana business, or is an
23432295 individual financially interested in any licensee or medical
23442296 marijuana or adult use marijuana business.
23452297 C. All officers and employees of the Authority shall be in the
23462298 exempt unclassified service as provided for in Section 840-5.5 of
23472299 Title 74 of the Oklahoma Statutes.
23482300 D. The Executive Director may delegate to any officer or
23492301 employee of the Authority any of the powers of the Executive
23502302 Director and may designate any officer or employee of the Authority
23512303 to perform any of the duties of the Executive Director.
23522304 E. The Executive Director may promulgate rules governing the
23532305 oversight and implementation of the O klahoma Medical Marijuana an d
23542306 Patient Protection Act.
23552307 F. The Authority is hereby authorized to create employment
23562308 positions necessary for the implementation of its obligations
23572309 pursuant to the Oklahoma Medical Marijuana and Patient Protection
23582310 Act including, but not limited to, investigators of the Authority
23592311 and a director of enforcement. The Authority, the director of
23602312 enforcement, the Executive Director, and investigators of the
23612313 Authority shall have all the po wers and authority of a peace officer
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23882339 of this state for the purpose of enforcing the provisions of the
23892340 Oklahoma Medical Marijuana and Patient Protection Act and other laws
23902341 pertaining to medical marij uana, rules promulgated by the Executive
23912342 Director, or criminal laws of this state. These powers shall
23922343 include but not be limited to:
23932344 1. Investigating violations or suspected violations of the
23942345 Oklahoma Medical Marijuana and Patient Protection Act or other laws
23952346 pertaining to medical marijuana, any rules promulgated pursuant
23962347 thereto, and any violations of criminal laws of this state
23972348 discovered through the course of such investigations;
23982349 2. Serving all warrants, summonses, subpoenas, administrative
23992350 citations, notices or other proces ses relating to the enforcement of
24002351 laws regulating marijuana, concentrate, and marijuana product;
24012352 3. Seizing any marijuana or marijuana product illegally held in
24022353 violation of the Oklahoma Medical Marijuana and Patient Protection
24032354 Act, any other laws of this state, or any rules promulgated by the
24042355 Executive Director;
24052356 4. Assisting or aiding any law enforcement officer in the
24062357 performance of his or her duties upon such law enforcement officer's
24072358 request or the request of other local offic ials having jurisdiction;
24082359 5. Referring any evidence, reports, or charges regarding
24092360 violations of any provision of the Oklahoma Medical Marijuana and
24102361 Patient Protection Act that carries criminal penalty, or of any
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24372387 other criminal laws of this state, to the appropriate law
24382388 enforcement authority and prosecut orial authority for action;
24392389 6. Aiding the enforcement authorities of this state or any
24402390 county or municipality of the state, or the federal government, in
24412391 prosecutions of violations of the Oklahoma Medical Marijuana and
24422392 Patient Protection Act or any other laws of this state that carry
24432393 criminal penalty involving crim es discovered during the
24442394 investigation of violations or suspected violations of the Oklahoma
24452395 Medical Marijuana and Patient Protection Act or other laws
24462396 pertaining to medical marijuana or any rules promulgated pursuant
24472397 thereto;
24482398 7. Requiring any business applicant or licensee to permit an
24492399 inspection of licensed premises during business hours or at any time
24502400 of apparent operation, marijuana equipment, and marijuana
24512401 accessories, or books and records; and to permit the testing of or
24522402 examination of medical marijuana, concentrate, or product;
24532403 8. Requiring applicants and licensees to submit complete and
24542404 current applications, information and fees required by the Oklahoma
24552405 Medical Marijuana and Patient Protection Act, the Okl ahoma Medical
24562406 Marijuana Waste Management Act and Sections 420 through 426.1 of
24572407 this title, and approve material changes made by the applicant or
24582408 licensee;
24592409 9. Requiring medical marijuana or adult use marijuana business
24602410 licensees to submit a sample or unit of medical marijuana or medical
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24872436 marijuana product to the quality assurance laboratory when the
24882437 Authority has reason to believe the medical marijuana or medical
24892438 marijuana product may be unsafe for patient consumption or
24902439 inhalation or has not been tested in accordance with the provisions
24912440 of the Oklahoma Medical Marijuana and Patient Protection Act and the
24922441 rules and regulations promulgated by the Executive Director. The
24932442 licensee shall provide the samp les or units of medical marijuana or
24942443 medical marijuana products at its own expense but shall not be
24952444 responsible for the costs of testing; and
24962445 10. Requiring medical marijuana business or adult use marijuana
24972446 licensees to periodically submit samples or units of medical
24982447 marijuana or medical marijuana products to the quality assurance
24992448 laboratory for quality assurance purposes. Licensed growers,
25002449 processors, dispensaries and transporters shall not be required to
25012450 submit samples or units of medical marijuana or medical marijuana
25022451 products more than twice a year. The licensee shall provide the
25032452 samples or units of medical marijuana or medical marijuana products
25042453 at its own expense but shall not be responsible for the costs of
25052454 testing.
25062455 G. All investigators of the Authority shall meet all training
25072456 requirements and qualifications for peace officers as required by
25082457 Section 3311 et seq. of Title 70 of the Oklahoma Statutes.
25092458 H. During the course of an investigation, the director of
25102459 enforcement or any investigator of the Authority as provided by
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25372485 subsection F of this section may arrest a violator or suspected
25382486 violator of any laws of this state committed in the presence of the
25392487 director of enforcement or any investigator of the Authority or upon
25402488 the development of probable cause that such crime has been
25412489 committed. The director of enforcement or any investigator of the
25422490 Authority as provided by subsection F of this section may, upon
25432491 request of a sheriff or another peace officer of this state, or any
25442492 political subdivision thereof, assist in the apprehension and ar rest
25452493 of a violator or suspected v iolator of any of the laws of this
25462494 state.
25472495 I. The Executive Director may employ or contract with
25482496 attorneys, as needed, to advise the Executive Director and the
25492497 Authority on all legal matters and to appear for and represent the
25502498 Executive Director and the Authority in all administrative hearings
25512499 and all litigation or other proceedings which may arise in the
25522500 discharge of their duties. At the request of the Executive
25532501 Director, such attorneys shall assist district attorney s in
25542502 prosecuting charges of violators of the Oklahoma Medical Marijuana
25552503 and Patient Protection Act or any other laws of this state that
25562504 carry criminal penalty involving crimes discovered during the
25572505 investigation of violations or suspected violations of the Oklahoma
25582506 Medical Marijuana and Patient Protection Act or other laws
25592507 pertaining to medical marijuana or any rules promulgated pursuant
25602508 thereto.
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25872534 SECTION 11. AMENDATORY 63 O.S. 2021, Section 427.6, as
25882535 last amended by Section 1, Chapter 328, O.S.L. 2022 (63 O.S. Supp.
25892536 2022, Section 427.6), is amended to read as follows:
25902537 Section 427.6 A. The Oklahoma Medical Marijuana Authority
25912538 shall address issues related to the medical marijuana and adult use
25922539 marijuana program in this state in cluding, but not limited to,
25932540 monitoring and disciplinary actions as they relate to the me dical
25942541 marijuana and adult use marijuana program.
25952542 B. 1. The Authority or its designee may perform on-site
25962543 inspections or investigations of a l icensee or applicant for any
25972544 medical marijuana or adult use marijuana business license, research
25982545 facility, education facility or waste disposal facility to d etermine
25992546 compliance with applicable laws, rules and regulations or
26002547 submissions made pursuant to t his section. The Authori ty may enter
26012548 the licensed premises of a medical marijuana or adult use marijuana
26022549 business, research facility, education facility or wa ste disposal
26032550 facility licensee or applicant to assess or monitor compliance or
26042551 ensure qualifications for licensure.
26052552 2. Post-licensure inspection s shall be limited to twice per
26062553 calendar year. However, investigations and a dditional inspections
26072554 may occur when the Authority believes an investigation or additional
26082555 inspection is necessary due to a possible violation of applicab le
26092556 laws, rules or regulat ions. The State Commissioner of Health
26102557 Executive Director of the Authority may adopt rules imposing
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26372583 penalties including, but not limited to, monetary fines and
26382584 suspension or revocation of licensure for failure to allow the
26392585 Authority reasonable access to the licensed premises for purposes of
26402586 conducting an inspection.
26412587 3. The Authority may review relevant records of a licensed
26422588 medical marijuana or adult use marijuana business, licensed medical
26432589 marijuana research facility, licensed medical marijuana education
26442590 facility or licensed medical marijuana waste disposal faci lity, and
26452591 may require and conduct interviews wit h such persons or entities and
26462592 persons affiliated with such entities, for the purpose of
26472593 determining compliance with Authority requirements and applicable
26482594 laws, rules and regulations.
26492595 4. The Authority may re fer complaints alleging criminal
26502596 activity that are made against a licensee to appropriate state or
26512597 local law enforcement authorities.
26522598 C. Disciplinary action may be taken against an applicant or
26532599 licensee for not adhering to applica ble laws pursuant to the terms,
26542600 conditions and guidelines set forth in th e Oklahoma Medical
26552601 Marijuana and Patient Protection Act.
26562602 D. Disciplinary actions may inc lude revocation, suspension or
26572603 denial of an application, license or final authorization and ot her
26582604 action deemed appropr iate by the Authority.
26592605 E. Disciplinary actions may be imposed upon a medical marijuana
26602606 or adult use marijuana business licensee for:
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26872632 1. Failure to comply with or satisfy any provision of
26882633 applicable laws, rules or regulations;
26892634 2. Falsification or misre presentation of any mater ial or
26902635 information submitted to the Authority or other licensees;
26912636 3. Failing to allow or impeding entry by authorized
26922637 representatives of the Authority;
26932638 4. Failure to adhere to any acknowledgement, verification or
26942639 other representation made to the Authorit y;
26952640 5. Failure to submit or d isclose information required by
26962641 applicable laws, rules or regulations or otherwise requested by the
26972642 Authority;
26982643 6. Failure to correct any violation of this section cited as a
26992644 result of a review or audit of financial records or other materials;
27002645 7. Failure to comply with requested access by the Authority to
27012646 the licensed premises or materials;
27022647 8. Failure to pay a required monetary penalty;
27032648 9. Diversion of medical marijuana or any medical marijuana
27042649 product, as determined by the A uthority;
27052650 10. Threatening or harming a medical marijuana patient
27062651 licensee, caregiver licensee, a medical practitioner or an employee
27072652 of the Authority; and
27082653 11. Any other basis indicating a violation of the applicable
27092654 laws and regulations as identified by the Authority.
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27362680 F. Disciplinary actions against a licensee may include the
27372681 imposition of monetary penalties, which may be assessed by the
27382682 Authority. The Authority may suspend or revoke a license for
27392683 failure to pay any monetary pen alty lawfully assessed by the
27402684 Authority against a lice nsee.
27412685 G. 1. In addition to any other penalties prescribed by law,
27422686 penalties for sales, purchases or transf ers for value of medical
27432687 marijuana by a medical marijuana or adult use marijuana business or
27442688 employees or agents of the medical marijuana or adult use marijuana
27452689 business to persons other than those allowed by law occurring within
27462690 any one-year time period may include an initial fine of Five
27472691 Thousand Dollars ($5,000.00) for a first violation and a fine of
27482692 Fifteen Thousand Dollars ($15, 000.00) for any subsequent violation.
27492693 2. Penalties for grossly inaccurate or fraudulent rep orting
27502694 occurring within any two -year time period may include an initial
27512695 administrative fine of Five Thousand Dollars ($5,000.00) for a first
27522696 violation and an admini strative fine of Ten Thousand Dollars
27532697 ($10,000.00) for any subsequent violation. The medica l marijuana
27542698 business or adult use marijuana shall be subject to a revocation of
27552699 any license granted pur suant to the Oklahoma Medical Marijuana and
27562700 Patient Protection Act upon a secon d incident of grossly inaccurate
27572701 or fraudulent reporting in a ten-year period by the medical
27582702 marijuana or adult use marijuana business or any employee or agent
27592703 thereof.
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27862729 3. After investigation by the Authority, the Authority may
27872730 revoke the license of any p erson directly involved with the
27882731 diversion of marijuana.
27892732 4. If the Authority, after investigation, is able to establish,
27902733 by a preponderance of evidence, a pattern of diversion or negligence
27912734 leading to diversion, the Authority may revoke any business licen ses
27922735 associated with the diversion and any entity with common ownership.
27932736 H. 1. In addition to any other penalties prescribed by law, a
27942737 first offense for intentional and impermissible diversion of medical
27952738 marijuana, medical marijuana concentrate, or medical marijuana
27962739 products for value by a patient or caregiver to an unauthorized
27972740 person shall be subject to an administrative fine of Four Hundred
27982741 Dollars ($400.00). The Authority shall have the authority to
27992742 enforce the provisions of this subsection.
28002743 2. In addition to any other penalties prescribed by law, an
28012744 additional incident resulting in a second offense for impermissible
28022745 diversion of medical marijuana, medical marijuana concentrate, or
28032746 medical marijuana products by a patient or caregiver to an
28042747 unauthorized person for value shall be subject to an administrative
28052748 fine of One Thousand Dollars ($1,000.00), and shall result in
28062749 revocation of the license or licenses of the person.
28072750 3. Any person who shares le ss than three (3) grams of medical
28082751 marijuana with an una uthorized person, without the transfer being
28092752 for value or other consideration, shall not be subject to criminal
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28362778 prosecution but shall be subject to an administrative fine of Four
28372779 Hundred Dollars ($400 .00).
28382780 I. The intentional diversion of medical marijuana, medical
28392781 marijuana concentrate or medical marijuana products by a licensed
28402782 medical marijuana patient or caregiver, medical marijuana or adult
28412783 use marijuana business or employee of a medical marijuana or adult
28422784 use marijuana business to an unautho rized minor person who the
28432785 licensed medical marijuana patient or caregiver, medical marijuana
28442786 or adult use marijuana business or employee of a medi cal marijuana
28452787 or adult use marijuana business knew or reasonably should have kn own
28462788 to be a minor person shall be subjec t to an administrative fine of
28472789 Two Thousand Five Hundred Dollars ($2,500.00). For an additi onal
28482790 incident resulting in a second or subsequent offense, the licen sed
28492791 medical marijuana patient or caregiver, medical mari juana or adult
28502792 use marijuana business or employee of a medical marijuana or adult
28512793 use marijuana business shall be subject to a cite and release
28522794 citation and, upon a finding of gu ilt or a plea of no co ntest, a
28532795 fine of Five Thousand Dollars ($5,000 .00) and automatic revocation
28542796 of the medical marij uana or adult use marijuana license.
28552797 J. In addition to any other remedies provided for by law, the
28562798 Authority, pursuant to its rules and regulations, may issue a
28572799 written order to any licensee the Authority has reason to believe
28582800 has violated Sections 420 through 426.1 of this title, the Oklahoma
28592801 Medical Marijuana and Patient Protection Act, the Oklahoma Medica l
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28862827 Marijuana Waste Management Act, or any rules promulgat ed by the
28872828 State Commissioner of Health Executive Director of the Authority and
28882829 to whom the Authority has served, not less than thirty (30) days
28892830 previously, a written notice of violation of such statutes or rules.
28902831 1. The written order s hall state with specificity the nature of
28912832 the violation. The Authority may impose any disciplinary action
28922833 authorized under the provisions of this section including, but not
28932834 limited to, the assessment of monetary penalties.
28942835 2. Any order issued pursuant to the provisions of this section
28952836 shall become a final ord er unless, not more than thirty (30) days
28962837 after the order is served to the licensee, the licensee requests an
28972838 administrative hearing in accordance with the rules and regulations
28982839 of the Authority. Upo n such request, the Authority shall promptly
28992840 initiate administrative proceedings.
29002841 K. Whenever the Authority finds that an emergency exists
29012842 requiring immediate action in order to protect the health or welfare
29022843 of the public, the Authority may issue an order , without providing
29032844 notice or hearing, stating the exist ence of said emergency and
29042845 requiring that action be taken a s the Authority deems necessary to
29052846 meet the emergency. Such action may include, but is not limited to,
29062847 ordering the licensee to immediately cease and desist operations by
29072848 the licensee. The order shall be effective immediately upon
29082849 issuance. Any person t o whom the order is directed shall comply
29092850 immediately with the provisions of the order. The Authority may
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29362876 assess a penalty not to exceed Ten Thousand Dollars ($10,000.00) per
29372877 day of noncompliance with the order. In assessing such a penalty,
29382878 the Authority shall consider the seriousness of the violation and
29392879 any efforts to comply with applicable requirements. Upon
29402880 application to the Authority, the licensee shall be offered a
29412881 hearing within ten (10) days of the issuance of the order.
29422882 L. All hearings held pu rsuant to this section shall be in
29432883 accordance with the Oklahoma Administrative Procedures Act.
29442884 SECTION 12. AMENDATORY 63 O.S. 2021, Section 427.13, as
29452885 amended by Section 14, Chapter 251, O.S. L. 2022 (63 O.S. Supp. 2022,
29462886 Section 427.13), is amended to read as follows:
29472887 Section 427.13 A. All medical marijuana and medical marijuana
29482888 products shall be purchased solely from a state-licensed medical
29492889 marijuana business, and shall not be purchased from any out-of-state
29502890 providers.
29512891 B. 1. The Authority shall have oversight and auditing
29522892 responsibilities to ensure that all marijuana being grown in this
29532893 state is accounted for and shall implement an inventory tracking
29542894 system. Pursuant to these duties, the Authority shall require that
29552895 each medical marijuana or adult use marijuana business, medical
29562896 marijuana research facility, medical marijuana education fa cility
29572897 and medical marijuana waste disposal facility keep records for every
29582898 transaction with another medical marijuana or adult use marijuana
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29852924 business, patient or caregiver. Inventory shall be tracked and
29862925 updated after each indi vidual sale and reported to the Authority.
29872926 2. The inventory tracking system licensees use shall allow for
29882927 integration of other seed-to-sale systems and, at a minimum, shall
29892928 include the following:
29902929 a. notification of when marijuana seeds and clones are
29912930 planted,
29922931 b. notification of when marijuana plants are harvested
29932932 and destroyed,
29942933 c. notification of when marijuana is transported, sold,
29952934 stolen, diverted or lost,
29962935 d. a complete inventory of all marijuana, seeds, plant
29972936 tissue, clones, plants, usable marijuana or trim,
29982937 leaves and other plant matter, batches of ex tract, and
29992938 marijuana concentrates,
30002939 e. all samples sent to a testing laboratory, an unused
30012940 portion of a sample returned to a licensee, all
30022941 samples utilized by licensee for purposes of
30032942 negotiating a sale, and
30042943 f. all samples used for quality testing by a lice nsee.
30052944 3. Each medical marijuana or adult use marijuana business,
30062945 medical marijuana research facility, medical marijuana education
30072946 facility and medical marijuana waste disposal facility shall use a
30082947 seed-to-sale tracking system or integrate its own seed-to-sale
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30352973 tracking system with the seed-to-sale tracking system established by
30362974 the Authority.
30372975 4. These records shall include, but not be limited to, the
30382976 following:
30392977 a. the name and license number of the medical marijuana
30402978 or adult use marijuana business that cultivated,
30412979 manufactured or sold the medical marijuana or medical
30422980 marijuana product,
30432981 b. the address and phone number of the medical marijuana
30442982 or adult use marijuana business that cultivated,
30452983 manufactured or sold the medical marijuana or medical
30462984 marijuana product,
30472985 c. the type of product received during the transaction,
30482986 d. the batch number of the marijuana plant used,
30492987 e. the date of the transaction,
30502988 f. the total spent in dollars,
30512989 g. all point-of-sale records,
30522990 h. marijuana excise tax records, and
30532991 i. any additional information as ma y be reasonably
30542992 required by the Executive Director of the Oklahoma
30552993 Medical Marijuana Authority.
30562994 5. All inventory tracking records retained by a medical
30572995 marijuana or adult use marijuana business, medical marijuana
30582996 research facility, medical marijuana education facility or medical
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30853022 marijuana waste disposal facility co ntaining medical marijuana
30863023 patient or caregiver information shall comply with all relevant
30873024 state and federal laws including, but not limite d to, the Health
30883025 Insurance Portability and Accountability Act of 1996 (HIPAA).
30893026 SECTION 13. AMENDATORY 63 O.S. 2021, Section 427.14, as
30903027 amended by Section 4, Chapter 332, O.S.L. 2022 (63 O.S. Supp. 2022,
30913028 Section 427.14), is amended to read as fo llows:
30923029 Section 427.14 A. There is hereby created the medical
30933030 marijuana business license, which shall inc lude the following
30943031 categories:
30953032 1. Medical marijuana commercial grower;
30963033 2. Medical marijuana processor;
30973034 3. Medical marijuana dispensary;
30983035 4. Medical marijuana transporter; and
30993036 5. Medical marijuana testing laboratory.
31003037 B. The Oklahoma Medical Marijuana Authority, with the aid of
31013038 the Office of Management and Enterprise Services, shall develop a
31023039 website for medical marijuana and adult use marijuana business
31033040 applications.
31043041 C. The Authority shall make available on it s website in an
31053042 easy-to-find location, applications for a medical m arijuana and
31063043 adult use marijuana business.
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31333069 D. 1. The annual, nonrefundable fee for a medical marijuana or
31343070 adult use marijuana transporter license shall be Two Thousand Five
31353071 Hundred Dollars ($2,500.00).
31363072 2. The initial fee for a medical marijuana or adult use
31373073 marijuana commercial grower license shall be calculated based upon
31383074 the total amount of square feet o f canopy or acres the grower
31393075 estimates will be harvested for the year. The annual, nonrefundable
31403076 license fee shall be based upon the total a mount of square feet of
31413077 canopy harvested by the grower during the previous twelve (12)
31423078 months. The amount of the fees shall be determined as follows:
31433079 a. For an indoor, greenhouse, or light deprivation
31443080 medical marijuana or adult use marijuana grow
31453081 facility:
31463082 (1) Tier 1: Up to ten thousand (10,000) square feet
31473083 of canopy, the fee shall be Two Thousand Five
31483084 Hundred Dollars ($2,500.00),
31493085 (2) Tier 2: Ten thousand one (10,001) square feet of
31503086 canopy to twenty thousand (20,000) square feet of
31513087 canopy, the fee shall be Five Tho usand Dollars
31523088 ($5,000.00),
31533089 (3) Tier 3: Twenty thousand one (20,001) square feet
31543090 of canopy to forty thousand (40,000) s quare feet
31553091 of canopy, the fee shall be Ten Thousand Dollars
31563092 ($10,000.00),
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31833118 (4) Tier 4: Forty thousand one (40,001) square feet
31843119 of canopy to sixty thousand (60,000) square feet
31853120 of canopy, the fee shall be Twenty Thousand
31863121 Dollars ($20,000.00),
31873122 (5) Tier 5: Sixty thousand one (60,001) square feet
31883123 of canopy to eighty thousand (80,000) square feet
31893124 of canopy, the fee shall be Thirty Thou sand
31903125 Dollars ($30,000.00),
31913126 (6) Tier 6: Eighty thousand one (80,001) square feet
31923127 of canopy to ninety-nine thousand nine hundred
31933128 ninety-nine (99,999) square feet of canopy, the
31943129 fee shall be Forty Thousand Dollars ($40,000.00),
31953130 and
31963131 (7) Tier 7: One hundred thousand (100,000) square
31973132 feet of canopy and beyond, the fee shall be Fifty
31983133 Thousand Dollars ($50,000.00), plus an additional
31993134 twenty-five cents ($0.25) per square foot of
32003135 canopy over one hundred thousand (100,000) square
32013136 feet.
32023137 b. For an outdoor medical marijuana or adult use
32033138 marijuana grow facility:
32043139 (1) Tier 1: Up to two and one-half (2 1/2) acres,
32053140 the fee shall be Two Thousand Five Hundred
32063141 Dollars ($2,500.00),
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32333167 (2) Tier 2: Two and one-half (2 1/2) acres up to
32343168 five (5) acres, the fee shall be Five Thous and
32353169 Dollars ($5,000.00),
32363170 (3) Tier 3: Five (5) acres up to ten (10) acres, the
32373171 fee shall be Ten Thousand Do llars ($10,000.00),
32383172 (4) Tier 4: Ten (10) acres up to twenty (20) acres,
32393173 the fee shall be Twenty Thousand Dollars
32403174 ($20,000.00),
32413175 (5) Tier 5: Twenty (20) acres up to thirty (30)
32423176 acres, the fee shall be Thirty Thousand Dollars
32433177 ($30,000.00),
32443178 (6) Tier 6: Thirty (30) acres up to forty (40)
32453179 acres, the fee shall be Forty Thous and Dollars
32463180 ($40,000.00),
32473181 (7) Tier 7: Forty (40) acres up to fifty (50) acres,
32483182 the fee shall be Fifty Thousand Do llars
32493183 ($50,000.00), and
32503184 (8) Tier 8: If the amount of acreage exceeds fifty
32513185 (50) acres, the fee shall be Fifty Thousand
32523186 Dollars ($50,000.00) plus an additional Two
32533187 Hundred Fifty Dollars ($250.00) per acre.
32543188 c. For a medical marijuana or adult use marijuana
32553189 commercial grower that has a combination of both
32563190 indoor and outdoor growing facilities at one location,
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32833216 the medical marijuana or adult use marijuana
32843217 commercial grower shall be required to obtain a
32853218 separate license from the Authority for each type of
32863219 grow operation and shall be subject to the licensing
32873220 fees provided for in subparagraphs a and b of this
32883221 paragraph.
32893222 d. As used in this paragraph:
32903223 (1) "canopy" means the total surface area with in a
32913224 cultivation area that is dedicated to the
32923225 cultivation of flowering marijuana plants. The
32933226 surface area of the plant canopy must be
32943227 calculated in square feet and mea sured and must
32953228 include all of the area within the boundaries
32963229 where the cultivation of t he flowering marijuana
32973230 plants occurs. If the surface of the plant
32983231 canopy consists of noncontiguous areas, each
32993232 component area must be separat ed by identifiable
33003233 boundaries. If a tiered or shelving system is
33013234 used in the cultivation area, the surface area o f
33023235 each tier or shelf must be included in
33033236 calculating the area of the plant canopy.
33043237 Calculation of the area of the plant canopy may
33053238 not include the areas within the cult ivation area
33063239 that are used to cultivate immature marijuana
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33333265 plants and seedlings, p rior to flowering, and
33343266 that are not used at any time to cultivate mature
33353267 marijuana plants. If the flowering plants are
33363268 vertically grown in cylinde rs, the square footage
33373269 of the canopy shall be measu red by the
33383270 circumference of the cylinder multiplied by the
33393271 total length of the cylinder,
33403272 (2) "greenhouse" means a structure located outdoors
33413273 that is completely covered by a material that
33423274 allows a controlled level of light transmission,
33433275 and
33443276 (3) "light deprivation" means a structure that has
33453277 concrete floors and the abil ity to manipulate
33463278 natural light.
33473279 3. The annual, nonrefundable license fee for a medical
33483280 marijuana or adult use marijuana processor license shall be
33493281 determined as follows:
33503282 a. Tier 1: Zero (0) to ten thousand (10,000) pounds of
33513283 biomass or production or use of up to one hundred
33523284 (100) liters of cannabis concentrate, the annual fee
33533285 shall be Two Thousand Five Hundred Dollars
33543286 ($2,500.00),
33553287 b. Tier 2: Ten thousand one (10,001) pounds to fifty
33563288 thousand (50,000) pounds of biomass or production or
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33833314 use from one hundred one (101) to three hundred fifty
33843315 (350) liters of cannabis concentrate, the annual fee
33853316 shall be Five Thousand Dollars ($5,000.00),
33863317 c. Tier 3: Fifty thousand one (50,001) pounds to one
33873318 hundred fifty thousand (150,000) pounds of biomass or
33883319 production or use from three hundred fifty-one (351)
33893320 to six hundred fifty (650) liters of cannabis
33903321 concentrate, the annual fee shall be Ten Thousand
33913322 Dollars ($10,000.00),
33923323 d. Tier 4: One hundred fifty thou sand one (150,001)
33933324 pounds to three hundred thousand (300,000) pounds of
33943325 biomass or production or use from six hundred fifty-
33953326 one (651) to one thousand (1,000) liters of cannabis
33963327 concentrate, the annual fee shall be Fifteen Thousand
33973328 Dollars ($15,000.00), and
33983329 e. Tier 5: More than three hundred thousand one
33993330 (300,001) pounds of biomass or production or use in
34003331 excess of one thousand one (1,001) liters of cannabis
34013332 concentrate, the annual fee shall be Twenty Thousand
34023333 Dollars ($20,000.00).
34033334 For purposes of this paragraph only, if the cannabi s concentrate
34043335 is in nonliquid form, every one thousand (1,000) grams of
34053336 concentrated marijuana shall be calculated as one (1) liter of
34063337 cannabis concentrate.
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34333363 4. The initial fee for a medical marijuana or adult use
34343364 marijuana dispensary license shall be Two Thousand Five Hundred
34353365 Dollars ($2,500.00). The annual, nonrefundable license fee for a
34363366 medical marijuana or adult use marijuana dispensary license shall be
34373367 calculated at ten percent (10%) of the sum of twelve (12) calendar
34383368 months of the combined annual state sales tax and state excise tax
34393369 of the dispensary. The minimum fee shall be not less than Two
34403370 Thousand Five Hundred Dollars ($2,500.00) and the maximum fee shall
34413371 not exceed Ten Thousand Dollars ($10,000.00).
34423372 5. The annual, nonrefundable license fee for a medical
34433373 marijuana testing laboratory shall be Twenty Thousand Dollars
34443374 ($20,000.00).
34453375 E. All applicants seeking licensure or licensure renewal as a
34463376 medical marijuana or adult use marijuana business shall comply with
34473377 the following general requirements:
34483378 1. All applications for licenses and registrations authorized
34493379 pursuant to this section shall be made upon forms prescribed by the
34503380 Authority;
34513381 2. Each application shall identify the city or co unty in which
34523382 the applicant seeks to obtain licensure as a medical marijuana or
34533383 adult use marijuana business;
34543384 3. Applicants shall submit a complete application to the
34553385 Authority before the application may be accepted or considered;
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34823411 4. All applications shall be comple te and accurate in every
34833412 detail;
34843413 5. All applications shal l include all attachments or
34853414 supplemental information required by the forms supplied by the
34863415 Authority;
34873416 6. All applications shall be accompanied by a full remittance
34883417 for the whole amount of the appl ication fees. Application fees are
34893418 nonrefundable;
34903419 7. All applicants shall be approved for licensing review that,
34913420 at a minimum, meets the following criteria:
34923421 a. twenty-five (25) years of age or older,
34933422 b. if applying as an individual, proof that the applic ant
34943423 is an Oklahoma resident pursuant to paragraph 11 of
34953424 this subsection,
34963425 c. if applying as an entity, proof that seventy-five
34973426 percent (75%) of all members, managers, executive
34983427 officers, partners, board members or any other form of
34993428 business ownership are Ok lahoma residents pursuant to
35003429 paragraph 11 of this subsecti on,
35013430 d. if applying as an individual or entity, proof that the
35023431 individual or entity is registered to conduct business
35033432 in the State of Oklahoma,
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35303458 e. disclosure of all ownership interests pursuant t o the
35313459 Oklahoma Medical Marijuana and Patient Protection Act,
35323460 and
35333461 f. proof that the medical marijuana or adult use
35343462 marijuana business, medical marijuana research
35353463 facility, medical marijuana education facility and
35363464 medical marijuana waste disposal facility applicant or
35373465 licensee has not been convicted of a nonviolent felony
35383466 in the last two (2) years, or any other felony
35393467 conviction within the last five (5) years, is not a
35403468 current inmate in the custody of the Department of
35413469 Corrections, or currently incarcerated in a jail or
35423470 corrections facility;
35433471 8. There shall be no limit to the number of medica l marijuana
35443472 business licenses or categories that an individual or entity can
35453473 apply for or receive, although each application and each category
35463474 shall require a separate application and application fe e. A
35473475 commercial grower, processor and dispensary, or any combination
35483476 thereof, are authorized to share the same address or physical
35493477 location, subject to the restrictions set forth in the Oklahoma
35503478 Medical Marijuana and Patient Protection Act;
35513479 9. All applicants for a medical marijuana or adult use
35523480 marijuana business license, research facility license or education
35533481 facility license authorized by the Oklahoma Medical Marijuana and
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35803507 Patient Protection Act, or for a renewal of such license, shall
35813508 undergo an Oklahoma criminal history bac kground check conducted by
35823509 the Oklahoma State Bureau of Investigation (OSBI) within thirty (30)
35833510 days prior to the application for the license, including:
35843511 a. individual applicants applying on their own behalf,
35853512 b. individuals applying on behalf of an entity,
35863513 c. all principal officers of an entity, and
35873514 d. all owners of an entity as defined by the Oklahoma
35883515 Medical Marijuana and Patient Protection Act;
35893516 10. All applicable fees charged by the OSBI are the
35903517 responsibility of the applicant and shall not be higher than fees
35913518 charged to any other person or industry for such background checks;
35923519 11. In order to be considered an Oklahoma resident for purposes
35933520 of a medical marijuana or adult use marijuana business application,
35943521 all applicants shall provide proof of Oklahoma residency for at
35953522 least two (2) years immediately preceding the date of applicatio n or
35963523 five (5) years of continuous Oklahoma residency during the preceding
35973524 twenty-five (25) years immediately preceding the date of
35983525 application. Sufficient documentation of proof of residency sh all
35993526 include a combination of the following:
36003527 a. an unexpired Oklahoma-issued driver license,
36013528 b. an Oklahoma identification card,
36023529 c. a utility bill preceding the date of application,
36033530 excluding cellular telephone and Internet bill s,
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36303556 d. a residential property deed to property in the State
36313557 of Oklahoma, and
36323558 e. a rental agreement preceding the date of application
36333559 for residential property located in the State of
36343560 Oklahoma.
36353561 Applicants that were issued a medical marijuana business license
36363562 prior to August 30, 2019, are hereby exempt from the two-year or
36373563 five-year Oklahoma residen ce requirement mentioned above;
36383564 12. All license applicants shall be required to submit a
36393565 registration with the Oklahoma State Bureau of Narcotics and
36403566 Dangerous Drugs Control as provided in Sections 2-302 through 2-304
36413567 of this title;
36423568 13. All applicants shall establish their identity through
36433569 submission of a color copy or digital image of one of the following
36443570 unexpired documents:
36453571 a. front of an Oklahoma driver license,
36463572 b. front of an Oklahoma identification card,
36473573 c. a United States passport or other photo id entification
36483574 issued by the United States government, or
36493575 d. a tribal identification card approved for
36503576 identification purposes by the Oklahoma Department of
36513577 Public Safety; and
36523578 14. All applicants shall submit an applicant photograph.
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36793604 F. The Authority shall review the medical marijuana or adult
36803605 use marijuana business application; approve, reject or deny the
36813606 application; and mail the approval, rejection, denial or status-
36823607 update letter to the a pplicant within ninety (90) business days of
36833608 receipt of the application.
36843609 G. 1. The Authority shall review the medical marijuana or
36853610 adult use marijuana business applications and conduct all
36863611 investigations, inspections and interviews before approving the
36873612 application.
36883613 2. Approved applicants shall be issued a medical marijuana or
36893614 adult use marijuana business license for the specific category
36903615 applied under, which shall act as proof of their approved status.
36913616 Rejection and denial letters shall provide a reason for the
36923617 rejection or denial. Applications may only be rejected or denied
36933618 based on the applicant not meeting the standards set forth in the
36943619 provisions of the Oklahoma Medical Marijuana and Patient Protection
36953620 Act and Sections 420 through 426.1 of this title, improper
36963621 completion of the application, or for a reason provided for in the
36973622 Oklahoma Medical Marijuana and Patient Protection Act and Sections
36983623 420 through 426.1 of this title. If an application is rejected for
36993624 failure to provide required information, the applicant shall have
37003625 thirty (30) days to submit the required information for
37013626 reconsideration. No additional application fee shall be charged for
37023627 such reconsideration. Unless the Authority determines otherwise, an
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37293653 application that has been resubmitted but is still incomplete or
37303654 contains errors that are not clerical or typographical in nature
37313655 shall be denied.
37323656 3. Status-update letters shall provide a reason for delay in
37333657 either approval, rejection or denial should a situation arise in
37343658 which an application was submitted properly but a delay in
37353659 processing the application oc curred.
37363660 4. Approval, rejection, denial or status-update letters shall
37373661 be sent to the applicant in the same method the application was
37383662 submitted to the Authority.
37393663 H. A license for a medical marijuana or adult use marijuana
37403664 business, medical marijuana research facility, medical marijuana
37413665 education facility or medical marijuana waste disposal facility
37423666 shall not be issued to or held by:
37433667 1. A person until all required fees have been paid;
37443668 2. A person who has been convicted of a nonviolent felony
37453669 within two (2) years of the date of application, or within five (5)
37463670 years for any other felony;
37473671 3. A corporation, if the criminal history of any of its
37483672 officers, directors or stockholders indicates that the officer,
37493673 director or stockholder has been convicted of a nonviolent felony
37503674 within two (2) years of the date of application, or within five (5)
37513675 years for any other felony;
37523676 4. A person under twenty-five (25) years of age;
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37793702 5. A person licensed pursuant to this section who, during a
37803703 period of licensure, or who, at the time of application, has failed
37813704 to:
37823705 a. file taxes, interest or penalties due related to a
37833706 medical marijuana or adult use marijuana business, or
37843707 b. pay taxes, interest or penalties due related to a
37853708 medical marijuana or adult use marijuana business;
37863709 6. A sheriff, deputy sheriff, po lice officer or prosecuting
37873710 officer, or an officer or employee of the Authority or munic ipality;
37883711 7. A person whose authority to be a caregiver, as defined in
37893712 Section 427.2 of this title, has been revoked by the Authority; or
37903713 8. A person who was involved in the m anagement or operations of
37913714 any medical marijuana or adult use marijuana business, medical
37923715 marijuana research facility, medical marijuana education facility or
37933716 medical marijuana waste disposal facility that, after the initiation
37943717 of a disciplinary action, has had a medical marijuana or adult use
37953718 marijuana license revoked, not renewed, or surrendered during the
37963719 five (5) years preceding submission of the application and for the
37973720 following violations:
37983721 a. unlawful sales or purchases,
37993722 b. any fraudulent acts, falsification of records or
38003723 misrepresentation to the Authority, medical marijuana
38013724 patient licensees, caregiver licensees o r medical
38023725 marijuana or adult use marijuana business licensees,
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38293751 c. any grossly inaccurate or fraudulent reporting,
38303752 d. threatening or harming any medical marijuana patient,
38313753 caregiver, medical practitioner or employee of the
38323754 Authority,
38333755 e. knowingly or intentionally refus ing to permit the
38343756 Authority access to premises or records,
38353757 f. using a prohibited, hazardous substance for processing
38363758 in a residential area,
38373759 g. criminal acts relating to the operation of a medical
38383760 marijuana or adult use marijuana business, or
38393761 h. any violations that end anger public health and safety
38403762 or product safety.
38413763 I. In investigating the qualifications of an applicant or a
38423764 licensee, the Authority and municipalities may have access to
38433765 criminal history record information furnished by a criminal justice
38443766 agency subject to any restrictions imposed by such an agency.
38453767 J. The failure of an applicant or licensee to provide the
38463768 requested information by the Authority deadline may be grounds for
38473769 denial of the application.
38483770 K. All applicants and licensees shall submit information to the
38493771 Authority in a full, faithful, truthful and fair manner. The
38503772 Authority may recommend denial of an application where the applicant
38513773 or licensee made misstatements, omissions, misrepresentations or
38523774 untruths in the application or in connection with the background
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38793800 investigation of the applicant. This type of conduct may be grounds
38803801 for administrative action against the applicant or licensee. Typos
38813802 and scrivener errors shall not be grounds for denial.
38823803 L. A licensed medical marijuana or adult use marijuana business
38833804 premises shall be subject to and responsible for compliance with
38843805 applicable provisions consistent with the zoning where such business
38853806 is located as described in the most recent versions of the Oklahoma
38863807 Uniform Building Code , the International Building Code and the
38873808 International Fire Code, unless granted an exemption by a
38883809 municipality or appropriate code enforcement entity.
38893810 M. All medical marijuana or adult use marijuana business,
38903811 medical marijuana research facility, medical marijuana education
38913812 facility and medical marijuana waste disposal facility licensees
38923813 shall pay the relevant licensure fees prior to receiving licensure
38933814 to operate.
38943815 N. A medical marijuana or adult use marijuana business, medical
38953816 marijuana research facility, medical marijuana education facility or
38963817 medical marijuana waste disposal facility that attempts to renew its
38973818 license after the expiration date of the license shall pay a late
38983819 renewal fee in an amount to be determined by the Authority to
38993820 reinstate the license. Late renewal fees are nonre fundable. A
39003821 license that has been expired for more than ninety (90) days shall
39013822 not be renewed.
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39283848 O. No medical marijuana or adult use marijuana business,
39293849 medical marijuana research facility, medical marijuana education
39303850 facility or medical marijuana waste disposal facility shall possess,
39313851 sell or transfer medical marijuana or medical marijuana products
39323852 without a valid, unexpired license issued by the Authority.
39333853 SECTION 14. AMENDATORY Section 3, Chapter 328, O.S.L.
39343854 2022 (63 O.S. Supp. 2022, Section 427.14b), is amended to read as
39353855 follows:
39363856 Section 427.14b A. Beginning January 1, 2024, the Oklahoma
39373857 Medical Marijuana Authority shall require employees of a medical
39383858 marijuana or adult use marijuana business licensee to apply for and
39393859 receive a credential authorizing the employe e to work in a licensed
39403860 medical marijuana or adult use marijuana business.
39413861 B. The Authority may contract with one or more third-party
39423862 vendors to provide the credentialing services necessary to carry out
39433863 the provisions of this section.
39443864 C. The Authority shall determine the services to be provided by
39453865 such third-party vendor and shall establish costs and prices. If
39463866 contracted for credentialing services, a third-party vendor shall on
39473867 behalf of the Authority conduct the background checks and v erify
39483868 eligibility and suitability for any employees of a medical marijuana
39493869 or adult use marijuana business license holder to obtain a
39503870 credential.
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39773896 D. Upon successful completion by the third -party vendor of the
39783897 statutorily required backgro und checks and verificatio n of
39793898 eligibility and suitability for an employee, the third-party vendor
39803899 shall issue a credential to the employee. The results of background
39813900 checks and verificat ions shall be provided to the Authority by the
39823901 third-party vendor.
39833902 E. If the third-party vendor determines that an employee of a
39843903 medical marijuana or adult use marijuana business holder does not
39853904 meet the minimum statutory requirements for a credential, the
39863905 applicant or employee shall ha ve no recourse against the third-party
39873906 vendor but may appeal such adverse determination to the Authority.
39883907 F. The third-party vendor shall not be civilly liable to a n
39893908 applicant, licensee, or employee of a licensee for any acts taken in
39903909 good-faith compliance with the pr ovisions of Section 420 et seq. of
39913910 Title 63 of the Oklahoma Statutes and the Oklahoma Medical Marijuana
39923911 and Patient Protectio n Act and the rules promulg ated by the Oklahoma
39933912 Medical Marijuana Authority.
39943913 G. The Executive Director of the Authority may promulgate rules
39953914 to implement the provisions of this section.
39963915 SECTION 15. AMENDATORY 63 O.S. 2 021, Section 427.15, is
39973916 amended to read as follows:
39983917 Section 427.15 A. The Oklahoma Medical Marijuana Authority is
39993918 hereby authorized to develop policies and procedures for disclosure
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40263944 by a medical marijuana or adult use marijuana business of financial
40273945 interest and ownership.
40283946 B. Upon the effective date of this act, current medical
40293947 marijuana or adult use marijuana business licensees and applicants
40303948 seeking licensure as a me dical marijuana or adult use marijuana
40313949 business shall be required to submit under p enalty of perjury an
40323950 attestation confirming or denying the existence of any foreign
40333951 financial interests in the medical marijuana or adult use marijuana
40343952 business operation and shall disclose the identity of such
40353953 ownership, if applicable. Medical marijuana or adult use marijuana
40363954 business licensees s hall, within sixty (60) days after the effective
40373955 date of this act, submit such attestation to the Oklahoma State
40383956 Bureau of Narcotics and Dangerous Drugs Control . Applicants for a
40393957 medical marijuana or adult use marijuana business license shall,
40403958 within sixty (60) days after the approval of a medical marijua na or
40413959 adult use marijuana business license applica tion by the Oklahoma
40423960 Medical Marijuana Authority, submit such attestation to the Bureau.
40433961 Failure to submit the attestation or a ccompanying information to the
40443962 Bureau within the specified sixty-day time period shall result in
40453963 the immediate revocation of the medical marijuana or adult use
40463964 marijuana business license. The Bureau shall prescribe the form of
40473965 the attestation required und er the provisions of this s ubsection and
40483966 shall make the form available on its publicly accessible I nternet
40493967 website.
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40763993 SECTION 16. AMENDATORY 63 O.S. 2021, Section 427 .16, as
40773994 amended by Section 16, Chapter 251, O.S.L. 2 022 (63 O.S. Supp. 2022,
40783995 Section 427.16), is amended to read as follows:
40793996 Section 427.16 A. There is hereby created a medical marijuana
40803997 and adult use marijuana transporter license as a category of the
40813998 medical marijuana business license.
40823999 B. Pursuant to Section 424 of this title, the Oklahoma Medical
40834000 Marijuana Authority shall issue a medical marijuana or adult use
40844001 marijuana transporter license to licensed medical marijuana or adult
40854002 use marijuana commercial growers, processors and dispensaries upon
40864003 issuance of such licenses and upon each renewal. M edical marijuana
40874004 or adult use marijuana transporter licenses shall also be issued to
40884005 licensed medical marijuana research facilities, medical marijuana
40894006 education facilities and medical marijuana or adult use marijua na
40904007 testing laboratories upon issuance of such licenses and upon each
40914008 renewal.
40924009 C. A medical marijuana or adult use marijuana transporter
40934010 license may also be issued to qualifying appli cants who are
40944011 registered with the Secretary of State and otherwise meet the
40954012 requirements for a medical marijuana or adult use marijuana business
40964013 license set forth in the Oklahoma Medical Marijuana and Pat ient
40974014 Protection Act and the requirements set forth in this section to
40984015 provide logistics, distribution and storage of medical marijuana,
40994016 medical marijuana concentrate and medical marijuana products.
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41264042 D. A medical marijuana or adult use marijuana transporter
41274043 license shall be valid for one (1) year and shall not be transferred
41284044 with a change of ownership. A licensed medical marijuana or adult
41294045 use marijuana transporter shall be responsible for all medical
41304046 marijuana, medical marijuana concentrate and medical marijuana
41314047 products once the transporter takes con trol of the product.
41324048 E. A transporter license shall be required for any person or
41334049 entity to transport or transfer medical marijuana, medical marijuana
41344050 concentrate or medical marijuana products from a licensed medical
41354051 marijuana or adult use marijuana business to another medical
41364052 marijuana or adult use marijuana business, or from a medical
41374053 marijuana or adult use marijuana business to a medical marijuana
41384054 research facility or medical marijuana education facility.
41394055 F. A medical marijuana or adult use marijuana transporter
41404056 licensee may contract with multiple licensed medical marijuana or
41414057 adult use marijuana businesses.
41424058 G. A medical marijuana or adult use marijuana transporter may
41434059 maintain a licensed premises to temporarily store medical marijuana,
41444060 medical marijuana concentrate and medical marijuana products and to
41454061 use as a centralized distribution point. A medical marijuana or
41464062 adult use marijuana transporter may store a nd distribute medical
41474063 marijuana, medical marijuana concentrate and medical marijuana
41484064 products from the licensed premises. The licensed premises shall
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41754090 meet all security requirements applicable to a medical marijuana or
41764091 adult use marijuana business.
41774092 H. A medical marijuana or adult use marijuana transporter
41784093 licensee shall use the seed-to-sale tracking system developed
41794094 pursuant to the Oklahoma Medical Marijuana and Patient Protection
41804095 Act to create shipping manifests documenting the transport of
41814096 medical marijuana, medical marijuana concentrate and medical
41824097 marijuana products throughout the state.
41834098 I. A licensed medical marijuana or adult use marijuana
41844099 transporter may maintain and operate one or more warehouses in the
41854100 state to handle medical marijuana, medical marijuana concentrate and
41864101 medical marijuana products. Each location sh all be registered and
41874102 inspected by the Authority prior to its use.
41884103 J. With the exception of a lawful transfer between medical
41894104 marijuana or adult use marijuana businesses who are licensed to
41904105 operate at the same physical address, all medical marijuana, medical
41914106 marijuana concentrate and medical marijuana products shall be
41924107 transported:
41934108 1. In vehicles equipped with Global Positioning System (GPS)
41944109 trackers;
41954110 2. In a locked container and clearly labeled "Medical Marijuana
41964111 or Derivative" "Marijuana or Derivative"; and
41974112 3. In a secured area of the vehicle that i s not accessible by
41984113 the driver during transit.
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42254139 K. A transporter agent may possess marijuana at any location
42264140 while the transporter agent is transferring marijuana to or from a
42274141 licensed medical marijuana or adult use marijuana business, licensed
42284142 medical marijuana research facility or licensed medical marijuana
42294143 education facility. The Authority shall administer and enforce the
42304144 provisions of this section concerning transportation.
42314145 L. The Authority shall issue a transporter agent license to
42324146 individual agents, emp loyees, officers or owners of a transporter
42334147 license in order for the individual to qualify to transport medical
42344148 marijuana, medical marijuana concentrate or medical marijuana
42354149 products.
42364150 M. The annual fee for a transporter agent license shall be
42374151 Twenty-five Dollars ($25.00) and shall be paid by the transporter
42384152 license holder or the individual applicant. Transporter license
42394153 reprints shall be Twenty Dollars ($20.00).
42404154 N. The Authority shall issue each transporter agent a registry
42414155 identification card within thi rty (30) days of receipt of:
42424156 1. The name, address and date of birth of the person;
42434157 2. Proof of current state residency;
42444158 3. Proof of identity as required for a medical marijuana or
42454159 adult use marijuana business license;
42464160 4. Possession of a valid state-issued driver license;
42474161 5. Verification of employment with a licensed transporter;
42484162 6. The application and affiliated fee; and
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42754188 7. A copy of the criminal background check conducted by the
42764189 Oklahoma State Bureau of Investigation, paid for by the applicant.
42774190 O. If the transporter agent application is denied, the
42784191 Authority shall notify the transporter in writing of the reason for
42794192 denying the registry identification card.
42804193 P. A registry identification card for a transporter shall
42814194 expire one (1) year after the date of issuance or upon notification
42824195 from the holder of the transporter license that the transporter
42834196 agent ceases to work as a transporter.
42844197 Q. The Authority may revoke the registry identification card of
42854198 a transporter agent who knowi ngly violates any provision of this
42864199 section, and the transporter is subject to any other penalties
42874200 established by law for the violation.
42884201 R. The Authority may revoke or suspend the transporter license
42894202 of a transporter that the Authority determines knowingly aided or
42904203 facilitated a violation of any provision of this section, and the
42914204 license holder is subject to any other penalties established in law
42924205 for the violation.
42934206 S. Vehicles used in the transport of medical marijuana or
42944207 medical marijuana product shall be:
42954208 1. Insured at or above the legal requirements in this state;
42964209 2. Capable of securing medical marijuana during transport; and
42974210 3. In possession of a shipping container a s defined in Section
42984211 427.2 of this title capable of securing all transported products.
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43254237 T. Prior to the transport of any medical marijuana, medical
43264238 marijuana concentrate or medical marijuana products, an inventory
43274239 manifest shall be prepared at the originat ion point of the medical
43284240 marijuana. The inventory manifest shal l include the following
43294241 information:
43304242 1. For the origination point of the medical marijuana:
43314243 a. the licensee number for the commercial grower,
43324244 processor or dispensary,
43334245 b. address of originatio n of transport, and
43344246 c. name and contact information for the orig inating
43354247 licensee;
43364248 2. For the end recipient license holder of the medical
43374249 marijuana:
43384250 a. the license number for the dispensary, commercial
43394251 grower, processor, research facility or education
43404252 facility destination,
43414253 b. address of the destination, and
43424254 c. name and contact information for the destination
43434255 licensee;
43444256 3. Quantities by weight or unit of each type of medical
43454257 marijuana product contained in transport;
43464258 4. The date of the transport and the appr oximate time of
43474259 departure;
43484260 5. The arrival date and estimated ti me of arrival;
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43754286 6. Printed names and signatures of the personnel accompanying
43764287 the transport; and
43774288 7. Notation of the transporting licensee.
43784289 U. 1. A separate inventory manifest shall be prepa red for each
43794290 licensee receiving the medical marijuana.
43804291 2. The transporter agent shall provide the other medical
43814292 marijuana or adult use marijuana business with a copy of the
43824293 inventory manifest at the time the product changes hands and after
43834294 the other licensee prints his or her n ame and signs the inventory
43844295 manifest.
43854296 3. A receiving licensee s hall refuse to accept any medical
43864297 marijuana, medical marijuana concentrat e or medical marijuana
43874298 products that are not accompanied by an inventory manifest.
43884299 4. Originating and receiving licens ees shall maintain copies of
43894300 inventory manifests and logs of qua ntities of medical marijuana
43904301 received for seven (7) years from date of re ceipt.
43914302 SECTION 17. AMENDATORY 63 O.S. 2021, Section 427.17, as
43924303 last amended by Section 1, Chapter 353, O.S.L. 2022 (63 O.S. Supp.
43934304 2022, Section 427.17), is amended to read as follow s:
43944305 Section 427.17 A. There is hereby created a medical marijuana
43954306 or adult use marijuana testing laboratory license as a category of
43964307 the medical marijuana business license. The Oklahoma Medical
43974308 Marijuana Authority is hereby enabled to monitor, inspect and audit
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44244334 a licensed testing la boratory under the Oklahoma Medical Marijuana
44254335 and Patient Protection Act.
44264336 B. 1. The Authority is hereby authorized to contract with a
44274337 private laboratory for the purpose of conducting compliance testing
44284338 of medical marijuana or adult use marijuana testing laboratories
44294339 licensed in this state. Any such laboratory under contract for
44304340 compliance testing shall be prohibit ed from conducting any other
44314341 commercial medical ma rijuana or adult use marijuana testing in this
44324342 state. The laboratory the Authority contracts with for compliance
44334343 testing shall not employ, or be owned by, the following:
44344344 a. any individual that has a direct or indirect interest
44354345 in a licensed medical marijuana or adult use marijuana
44364346 business, or
44374347 b. any individual or his or her spouse, parent, child,
44384348 spouse of a child, sibling or spouse of a sibling that
44394349 has an application for a medical marijuana or adult
44404350 use marijuana business license pending before the
44414351 Authority or is a member of the board of directors of
44424352 a medical marijuana or adult use marijuana business,
44434353 or is an individual financially interested in any
44444354 licensee or medical marijuana or adult use marijuana
44454355 business located within this state.
44464356 2. The private laboratory under contract with the Authority for
44474357 compliance testing and a board or committee comprised of licensed
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44744383 Oklahoma medical marijuana or adult use marijuana laboratories
44754384 currently accredited by the International Organization for
44764385 Standardization (ISO) shall provide to the Authority its
44774386 recommendations for all equipment and standards to be uti lized by
44784387 licensed medical marijuana or adult use marijuana testing
44794388 laboratories when testing samples of medical marijuana, medical
44804389 marijuana concentrate , and medical marijuana products as well as
44814390 standard operating procedures when extracting and testing medical
44824391 marijuana, medical marijuana concentrate, and medical marijuana
44834392 products. The recommendations shall be submitted to the Authority
44844393 no later than June 1, 202 3. The Authority shall have ninety (90)
44854394 days from the date it receives the recommendations to promulgate new
44864395 rules or modify its current rules for laboratory standards and
44874396 testing. Beginning June 1, 2024, medical marijuana or adult use
44884397 marijuana testing laboratories renewing their medical marijuana or
44894398 adult use marijuana business license shall be subject to and comply
44904399 with any new or modified rules relating to the testing of medical
44914400 marijuana, medical marijuana concentrate, and medical marijuana
44924401 products. The refusal or failure of a medical marijuana or adult
44934402 use marijuana testing laboratory licensee to comply with new or
44944403 modified rules relating to laboratory standards and testing
44954404 procedures promulgated under the provisions of this paragraph shall
44964405 result in the permanent revocation of the medical marijuana or adult
44974406 use marijuana testing laboratory license.
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45244432 C. The Authority shall develop acceptable testing practices
45254433 including, but not limited to, testing, standards, qual ity control
45264434 analysis, equipment certification and calibration, and chemical
45274435 identification and substances used.
45284436 D. A person who is a direct beneficial owner of a medical
45294437 marijuana or adult use marijuana dispensary, medical marijuana or
45304438 adult use marijuana commercial grower or medical marijuana or adult
45314439 use marijuana processor shall not be an owner of a laboratory.
45324440 E. A laboratory and a laboratory applicant shall comply with
45334441 all applicable local ordinances including, but not limited to,
45344442 zoning, occupancy, licensing and build ing codes.
45354443 F. A separate license shall be require d for each specific
45364444 laboratory.
45374445 G. A medical marijuana or adult use marijuana testing
45384446 laboratory license may be issued to a person who performs testing on
45394447 medical marijuana and medical marijuana products for medical
45404448 marijuana and adult use marijuana businesses, medical marijuana
45414449 research facilities, medical marijuana education facilities, and
45424450 testing on marijuana and marijuana products grown or produced by a
45434451 patient or caregiver on behalf of a patient, upon verification of
45444452 registration. A medical marijuana or adult use marijuana testing
45454453 laboratory may also conduct research related to the development and
45464454 improvement of its testing practices and procedures. No state-
45474455 approved medical marijuana or adult use marijuana testing facility
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45744481 shall operate unless a medical laboratory director is on site during
45754482 operational hours.
45764483 H. Laboratory applicants and licensees shall comply with the
45774484 application requirements of this section and shall submit such other
45784485 information as required for a medical marijuana or adult use
45794486 marijuana business applicant, in addition to any information the
45804487 Authority may request for initial approval and periodic evaluations
45814488 during the approval period.
45824489 I. A medical marijuana or adult use marijuana testing
45834490 laboratory may accept samples of medical marijuana, medical
45844491 marijuana concentrate or medical marijuana product from a me dical
45854492 marijuana or adult use marijuana business, medical marijuana
45864493 research facility or medical marijuana education facility for
45874494 testing purposes only, which purposes may include the provision of
45884495 testing services for samples submitted by a medical marijuan a or
45894496 adult use marijuana business for product development. The Authority
45904497 may require a medical marijuana or adult use marijuana business to
45914498 submit a sample of medical marijuana, medical marijuana concentrate
45924499 or medical marijuana product to a medical marijuana or adult use
45934500 marijuana testing or quality assurance laboratory upon demand.
45944501 J. A medical marijuana or adult use marijuana testing
45954502 laboratory may accept sample s of medical marijuana, medical
45964503 marijuana concentrate or medical marijuana product from an
45974504 individual person for testing only under the following conditions:
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46244530 1. The individual person is a patient or caregi ver pursuant to
46254531 the Oklahoma Medical Marijuana and Patient Protection Act or is a
46264532 participant in an approved clinical or observational study conducted
46274533 by a research facility; and
46284534 2. The medical marijuana or adult use marijuana testing
46294535 laboratory shall require the patient or car egiver to produce a valid
46304536 patient license and curr ent and valid photo identification.
46314537 K. A medical marijuana or adult use marijuana testing
46324538 laboratory may transfer samples to another medical marijuana or
46334539 adult use marijuana testing laboratory for testing. All laboratory
46344540 reports provided to or by a m edical marijuana or adult use marijuana
46354541 business or to a patient or careg iver shall identify the medical
46364542 marijuana or adult use marijuana testing laboratory that actually
46374543 conducted the test.
46384544 L. A medical marijuana or adult use marijuana testing
46394545 laboratory may utilize a licensed medical marijuana or adult use
46404546 marijuana transporter to transport samples of medical marijuana,
46414547 medical marijuana concentrate and medical marijuana product for
46424548 testing, in accordance with the Oklahoma Medical Marijuana and
46434549 Patient Protection Act and the rules adopted pursuant thereto,
46444550 between the originating medical marijuana or adult use marijuana
46454551 business requesting testing services and the d estination laboratory
46464552 performing testing services.
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46734578 M. The medical marijuana or adult use marijuana testing
46744579 laboratory shall establish policies to prevent the existence of or
46754580 appearance of undue commercial, financial or other influences that
46764581 may diminish the competency, impartia lity and integrity of the
46774582 testing processes or results of the laboratory, or that may diminish
46784583 public confidence in the competency, impartiality and integrity of
46794584 the testing processes or results of the laboratory. At a minimum,
46804585 employees, owners or agents of a medical marijuana or adult use
46814586 marijuana testing laboratory who participate in any aspect of the
46824587 analysis and results of a sample are p rohibited from improperly
46834588 influencing the testing process, improperly manipulating data or
46844589 improperly benefiting from any ongoing financia l, employment,
46854590 personal or business relationship with the medical marijuana or
46864591 adult use marijuana business that provided the sample. A medical
46874592 marijuana or adult use marijuana testing laboratory shall not test
46884593 samples for any medical marijuana or adult use marijuana business in
46894594 which an owner, employee or agent of the m edical marijuana or adult
46904595 use marijuana testing laboratory has any form of ownership or
46914596 financial interest in the medical marijuana or adult use marijuana
46924597 business.
46934598 N. The Authority, pursuant to rules promulgated by the
46944599 Executive Director of the Authorit y, shall develop standards,
46954600 policies and procedures as necessary for:
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47224626 1. The cleanliness and orderliness of a laboratory premises and
47234627 the location of the laboratory in a sec ure location, and inspection,
47244628 cleaning and maintenance of any equipment or utensil s used for the
47254629 analysis of test samples;
47264630 2. Testing procedures, testing standards for cannabinoid and
47274631 terpenoid potency and safe levels of contaminants, and remediation
47284632 procedures;
47294633 3. Controlled access areas for storage of medical marijuana and
47304634 medical marijuana product test samples, waste and reference
47314635 standards;
47324636 4. Records to be retained and computer systems to be utilized
47334637 by the laboratory;
47344638 5. The possession, storag e and use by the laboratory of
47354639 reagents, solutions and reference standards;
47364640 6. A certificate of analysis (COA) for each lot of reference
47374641 standard;
47384642 7. The transport and disposal of unused marijuana, marijuana
47394643 products and waste;
47404644 8. The mandatory use by a laboratory of an inventory tracking
47414645 system to ensure all harvest and production batches or samples
47424646 containing medical marijuana, medical marijuana concentrate or
47434647 medical marijuana products are identified and tracked from the point
47444648 they are transferred from a medical marijuana or adult use marijuana
47454649 business, a patient or a caregiver through the point of transfer,
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47724675 destruction or disposal. The inventory tracking system reporting
47734676 shall include the results of any tests that are conducted on medical
47744677 marijuana, medical marijuana concentrate or medical marijuana
47754678 product;
47764679 9. Standards of performance;
47774680 10. The employment of laboratory personnel;
47784681 11. A written standard operating procedure manual to be
47794682 maintained and updated by the laboratory;
47804683 12. The successful participation in a proficiency testing
47814684 program approved by the Executive Director for each testing category
47824685 listed in this section, in order to obtain and maintain
47834686 certification;
47844687 13. The establishment of and adherence to a quality assurance
47854688 and quality control program to ensure sufficient monitoring of
47864689 laboratory processes and quality of results reported;
47874690 14. The immediate recall of medical marijuana or medical
47884691 marijuana products that test above allowable thresholds or are
47894692 otherwise determined to be unsafe;
47904693 15. The establishment by the laboratory of a system to document
47914694 the complete chain of custody for samples from receipt through
47924695 disposal;
47934696 16. The establishment by the laboratory of a system to retain
47944697 and maintain all required records, including business records, and
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48214723 processes to ensure results are reported in a timely and accurate
48224724 manner; and
48234725 17. Any other aspect of laboratory testing of medical marijuana
48244726 or medical marijuana product deemed necessary by the Executive
48254727 Director.
48264728 O. A medical marijuana or adult use marijuana testing
48274729 laboratory shall promptly provide the Authority or designee of the
48284730 Authority access to a report of a test and any underlying data that
48294731 is conducted on a sample at the request of a medical marijuana or
48304732 adult use marijuana business or qualified patient . A medical
48314733 marijuana or adult use marijuana testing laboratory shall also
48324734 provide access to the Authority or designee of the Authority to
48334735 laboratory premises and to any material or information requested by
48344736 the Authority to determine compliance w ith the requirements of this
48354737 section.
48364738 P. A medical marijuana or adult use marijuana testing
48374739 laboratory shall retain all results of laboratory tests conducted on
48384740 marijuana or products for a period of at least seven (7) years and
48394741 shall make them available to the Authority upon request.
48404742 Q. A medical marijuana or adult use marijuana testing
48414743 laboratory shall test samples from each harvest batch or product
48424744 batch, as appropriate, of medical marijuana, medical marijuana
48434745 concentrate and medical marijuana product for each of the following
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48704771 categories of testing , consistent with standard s developed by the
48714772 Executive Director:
48724773 1. Microbials;
48734774 2. Mycotoxins;
48744775 3. Residual solvents;
48754776 4. Pesticides;
48764777 5. Tetrahydrocannabinol (THC) and other cannab inoid potency;
48774778 6. Terpenoid type and concentration ; and
48784779 7. Heavy metals.
48794780 R. A licensed medical marijuana or adult use marijuana testing
48804781 laboratory shall test each individual harvest batch. A grower shall
48814782 separate each harvest lot of usable marijuana into harvest batches
48824783 containing no more than fifteen (15) pounds, with the exception of
48834784 any plant material to be sold to a licensed processor for the
48844785 purposes of turning the plant material into concentrate which may be
48854786 separated into harvest batches of no more than fifty (50) poun ds. A
48864787 processor shall separate each medical marijuana production lot int o
48874788 production batches containing no more than four (4) liters of
48884789 concentrate or nine (9) pounds for nonliquid products, and for final
48894790 products, the Oklahoma Medical Marijuana Authority shall be
48904791 authorized to promulgate rules on final products as necessary .
48914792 Provided, however, the Authority shall not require testing of final
48924793 products less often than every one thousand (1,000) grams of THC.
48934794 As used in this subsection, "final products" shall include, but not
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49204820 be limited to, cookies, brownies, candies, gummies, beverages and
49214821 chocolates.
49224822 S. Medical marijuana or adult use marijuana testing laboratory
49234823 licensure shall be contingent upon successful on-site inspection,
49244824 successful participation in proficiency testing an d ongoing
49254825 compliance with the applicable requirements in this section.
49264826 T. A medical marijuana or adult use marijuana testing
49274827 laboratory shall be inspected prior to initial licensure and up to
49284828 two (2) times per year thereafter by an inspector approved by the
49294829 Authority. The Authority may enter the licensed p remises of a
49304830 testing laboratory to conduct investigations and additional
49314831 inspections when the Authority believes an investigation or
49324832 additional inspection is necessary due to a possible violation of
49334833 applicable laws, rules or r egulations.
49344834 U. Medical marijuana or adult use marijuana testing
49354835 laboratories shall obtain accreditation by an accrediting body
49364836 approved by the Executive Director within one (1) year of the date
49374837 the initial license is issued. Renewal of any medical marijuana or
49384838 adult use marijuana testing laboratory license shall be contingent
49394839 upon accreditation in accordance with this subsection. All medical
49404840 marijuana or adult use marijuana testing laboratories shall obtain
49414841 accreditation prior to applying for and receiving a medical
49424842 marijuana or adult use marijuana testing laboratory license.
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49694868 V. Unless authorized by the provisions of this section, a
49704869 commercial grower shall not tran sfer or sell medical marijuana and a
49714870 processor shall not transfer, sell or process into a concentrate or
49724871 product any medical marijuana, medical marijuana concentrate o r
49734872 medical marijuana product unless samples from each harvest batch or
49744873 production batch from which that medical marijuana, medical
49754874 marijuana concentrate or medical marijuana product was derived has
49764875 been tested by a medical marijuana or adult use marijuana testing
49774876 laboratory and passed all contaminant tests required by the Oklahoma
49784877 Medical Marijuana and Patient Protec tion Act and applicable laws,
49794878 rules and regulations. A licensed commercial grower may transfer
49804879 medical marijuana that has failed testing to a licensed processor
49814880 only for the purposes of decontamination or remediation and only in
49824881 accordance with the provis ions of the Oklahoma Medical Marijuana and
49834882 Patient Protection Act and the rules and regulations promulgated by
49844883 the Executive Director. Remediated and decontaminated medical
49854884 marijuana may be returned only to the originating licensed
49864885 commercial grower.
49874886 W. Kief shall not be transferred or sold except as authorized
49884887 in the rules and regulations promulgated by the Executive Director.
49894888 SECTION 18. AMENDATORY 63 O.S. 2021, Se ction 427.18, as
49904889 amended by Section 18, Chapter 251, O.S.L. 2022 (63 O.S. Supp. 2022,
49914890 Section 427.18), is amended to read as follows:
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50184916 Section 427.18 A. A medical marijuana or adult use marijuana
50194917 business shall not sell, transfer or otherwise distribute medical
50204918 marijuana or medical marijuana product that has not been packaged
50214919 and labeled in accordance with this sec tion and rules promulgated by
50224920 the Executive Director of the Oklahoma Medical Marijuana Authority.
50234921 B. A medical marijuana or adult use marijuan a dispensary shall
50244922 return medical marijuana and medical marijuana product that does not
50254923 meet packaging or labeling requirements in this section or rules
50264924 promulgated pursuant thereto to the entity who transferred it to the
50274925 dispensary. The medical marijuana or adult use marijuana dispensary
50284926 shall document to whom the item was returned, what was returned and
50294927 the date of the return or d ispose of any usable marijuana that does
50304928 not meet these require ments in accordance with the Oklahoma Medical
50314929 Marijuana and Patient Protection Act.
50324930 C. 1. Medical marijuana and adult use marijuana packaging
50334931 shall be packaged to minimize its appeal to children and shall not
50344932 depict images other than the business name logo of the medical
50354933 marijuana producer and image of the product.
50364934 2. A medical marijuana or adult use marijuana business shall
50374935 not place any content on a container in a mann er that reasonably
50384936 appears to target individuals under t he age of twenty-one (21)
50394937 including, but not limited to, cartoon characters or similar images.
50404938 3. Labels on a container shall not include any false or
50414939 misleading statements.
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50684965 4. No container shall be intentionally or knowingly labeled so
50694966 as to cause a reasonable patient person confusion as to whether the
50704967 medical marijuana, medical marijuana concentrate or medical
50714968 marijuana product is a trademarked product or labeled in a manner
50724969 that violates any federal trad emark law or regulation.
50734970 5. The label on the con tainer shall not make any claims
50744971 regarding health or physical benefits to the patient.
50754972 6. All medical marijuana, medical marijuana concentrate and
50764973 medical marijuana products shall be in a child-resistant container
50774974 at the point of transfer to the patient or, caregiver, or consumer.
50784975 D. The Executive Director shall develop minimum standards for
50794976 packaging and labeling of medical marijuana and medical marijuana
50804977 products. Such standards shall include, but not be limited to, the
50814978 required contents of labels to b e affixed to all medical marijuana
50824979 and medical marijuana products p rior to transfer to a licensed
50834980 patient or caregiver, which shall include, at a minimum:
50844981 1. THC and other cannabinoid potency, and terpenoid potency;
50854982 2. A statement indicating that the pro duct has been tested for
50864983 contaminants;
50874984 3. One or more product warn ings to be determined by the
50884985 Executive Director; and
50894986 4. Any other information the Executive Director deems
50904987 necessary.
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51175013 SECTION 19. AMENDATORY 63 O.S. 2021, Section 427.19, as
51185014 amended by Section 19, Chapter 251, O.S.L. 2022 (63 O.S. Supp. 2022,
51195015 Section 427.19), is amended to read as follows:
51205016 Section 427.19 A. A medical marijuana research license may be
51215017 issued to a person to grow, cultivate, possess and transfer, by sale
51225018 or donation, marijuana pursuant to the Oklahoma Medical Marijuana
51235019 and Patient Protection Act for the limited research purposes
51245020 identified in this section.
51255021 B. The annual fee for a medical marijuana research license
51265022 shall be Five Hundred Dollars ($500.00) and shall be payable by an
51275023 applicant for a medical marijuana research license upon submission
51285024 of his or her application to the Oklahoma Medical Marijuana
51295025 Authority.
51305026 C. A medical marijuana research license may be issued for the
51315027 following research purposes:
51325028 1. To test chemical potency and composition levels;
51335029 2. To conduct clinical investigations of marijuana-derived
51345030 medicinal products;
51355031 3. To conduct research on the efficacy and safety of
51365032 administering marijuana as part of medical treatment;
51375033 4. To conduct genomic, horticultural or agricu ltural research;
51385034 and
51395035 5. To conduct research on marijuana-affiliated products or
51405036 systems.
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51675062 D. 1. As part of the application process for a medical
51685063 marijuana research license, an applicant shall submit to the
51695064 Authority a description of the research that the applicant intends
51705065 to conduct and whether the research will be conducted with a public
51715066 institution or using public money. If the research will not be
51725067 conducted with a public institution or with public money, the
51735068 Authority shall grant the application if it determines that the
51745069 applicant meets the criteria in this section.
51755070 2. If the research will be co nducted with a public institution
51765071 or public money, the Authority shall review the research project of
51775072 the applicant to determine if it meets the requirements of this
51785073 section and to assess the following:
51795074 a. the quality, study design, value or impact of the
51805075 project,
51815076 b. whether the applicant has the appropriate personnel,
51825077 expertise, facilities, infrastructure, funding and
51835078 human, animal or other approvals in place to
51845079 successfully conduct the project, and
51855080 c. whether the amount of marijuana to be grown by the
51865081 applicant is consistent with the scope and goals of
51875082 the project.
51885083 3. If the Authority determines that the research project does
51895084 not meet the requirements of this section or assesses the criteria
51905085 to be inadequate, the application shall be denied.
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52175111 E. A medical marijuana research licensee may only transfer, by
52185112 sale or donation, marijuana grown within its operation to other
52195113 medical marijuana research licensees. The Authority may revoke a
52205114 medical marijuana research license for violations of this section
52215115 and any other violation of the Oklahoma Medical Marijuana and
52225116 Patient Protection Act.
52235117 F. A medical marijuana research licensee may contract to
52245118 perform research in conj unction with a public higher education
52255119 research institution or another medical marijuana research licensee.
52265120 G. The growing, cultivating, possessing or transferring, by
52275121 sale or donation, of marijuana in accordance with this section and
52285122 the rules promulgate d pursuant thereto, by a medical marijuana
52295123 research licensee shall not be a criminal or civil offense under
52305124 state law. A medical marijuana research license shall be issued in
52315125 the name of the applican t and shall specify the location in this
52325126 state at which the medical marijuana research licensee intends to
52335127 operate. A medical marijuana research licensee shall not allow any
52345128 other person to exercise the privilege of the license.
52355129 H. If the research conducted includes a public institution or
52365130 public money, the Authority shall review any reports made by medical
52375131 marijuana research licensees under state licensing authority rule
52385132 and provide the Authority with its determination on whether the
52395133 research project continues to meet research qualifications pursuant
52405134 to this section.
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52675160 SECTION 20. AMENDATORY 63 O.S. 2021, Section 427.20, as
52685161 amended by Section 20, Chapter 251, O.S.L. 2022 (63 O.S. Supp. 2022,
52695162 Section 427.20), is amended to read as follows:
52705163 Section 427.20 A. There is hereby created a medical marijuana
52715164 education facility license.
52725165 B. A medical marijuana education facility license may be issued
52735166 to a person to possess or cultivate mar ijuana for the limited
52745167 education and research purposes identified in this section.
52755168 C. A medical marijuana education facility license may only be
52765169 granted to a not-for-profit organization structured under Section
52775170 501(c)(3) of the Internal Revenue Code, oper ating as a not-for-
52785171 profit organization in this state registered with the Office of the
52795172 Secretary of State.
52805173 D. A medical marijuana education facility license may only be
52815174 granted upon the submission of an annual fee of Five Hundred Dollars
52825175 ($500.00) to the Oklahoma Medical Marijuana Authority.
52835176 E. A medical marijuana education facility license may be issued
52845177 for the following education and research purposes:
52855178 1. To test cultivation techniques, strategies, infrastructure,
52865179 mediums, lighting and other related technology;
52875180 2. To demonstrate cultivation techniques, strategies,
52885181 infrastructure, mediums, lighting and other r elated technology;
52895182 3. To demonstrate the application and use of product
52905183 manufacturing technologies;
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53175209 4. To conduct genomic, horticultural or agricultural research;
53185210 and
53195211 5. To conduct research on marijuana-affiliated products or
53205212 systems.
53215213 F. As part of the application process for a medical marijuana
53225214 education facility license, an applicant shall submit to the
53235215 Authority a description of the project and curriculum that the
53245216 applicant intends to conduct and whether the project and curriculum
53255217 will be conducted with a public institution or using public money.
53265218 If the project and curriculum will not be conducted with a public
53275219 institution or with public money, the Authority shall grant the
53285220 application. If the research will be conducted with a public
53295221 institution or public money, the Authority shall review the research
53305222 project of the applicant to determine if it meets the requirements
53315223 of this section and to assess the following:
53325224 1. The quality, study design, value or impact of the project;
53335225 2. Whether the applicant h as the appropriate personnel,
53345226 expertise, facilities, inf rastructure, funding and human, animal or
53355227 other approvals in plac e to successfully conduct the project; and
53365228 3. Whether the amount of marijuana to be grown by the applicant
53375229 is consistent with the scop e and goals of the project.
53385230 If the Authority determines that the education project does not meet
53395231 the requirements of this section or assesses the criteria to be
53405232 inadequate, the application shall be denied.
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53675258 G. A medical marijuana education facility license e may only
53685259 transfer, by sale or donation, marijuana grown within its operation
53695260 to medical marijuana research licensees. The Authority may revoke a
53705261 medical marijuana education facility license for violations of this
53715262 section and any other violation of applicable laws, rules and
53725263 regulations.
53735264 H. A medical marijuana education facility licensee may contract
53745265 to perform research in conjunction with a public higher education
53755266 research institution or another research licensee.
53765267 I. The growing, cultivating, possessing or transferring, by
53775268 sale or donation, of marijuana in accordance with this section and
53785269 the rules promulgated pursuant thereto, by a medical marijuana
53795270 education facility licensee shall not be a criminal or civil offense
53805271 under state law. A medical marijuana education facility license
53815272 shall be issued in the name of the applicant and shall specify the
53825273 location in this state at which the medical marijuana education
53835274 facility licensee intends to operate. A medical marijuana education
53845275 facility licensee shall not allow any other person to exercise the
53855276 privilege of the license.
53865277 SECTION 21. AMENDATORY 63 O.S. 2021, Sectio n 427.21, as
53875278 amended by Section 2, Chapter 329, O.S.L. 2022 (63 O.S. Supp. 2022,
53885279 Section 427.21), is amended to read as follows:
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54155305 Section 427.21 A. A medical marijuana or adult use marijuana
54165306 business shall not engage in advertising that is dec eptive, false or
54175307 misleading.
54185308 B. Medical marijuana or adult use marijuana advertising shall
54195309 not contain any statement or illustration that:
54205310 1. Promotes overconsu mption;
54215311 2. Represents that the use of marijuana has curative or
54225312 therapeutic effects; or
54235313 3. Depicts a child or other person under legal age to consume
54245314 marijuana, or includes :
54255315 a. objects such as toys or cartoon or other characters,
54265316 which suggest the presen ce of a child, or any o ther
54275317 depiction designed in any manner to be espe cially
54285318 appealing to children or other persons under legal age
54295319 to consume marijuana, or
54305320 b. any manner or design that would be especially
54315321 appealing to children or other persons under eigh teen
54325322 (18) years of age.
54335323 C. Upon the effective date of this act, all me dical marijuana
54345324 or adult use marijuana commercial grower licensees shall be required
54355325 to post signage at the site of th e commercial grow operation.
54365326 Signage shall be located at the perim eter of the property wi th
54375327 dimensions measuring no less than eighteen (18) inches by twenty -
54385328 four (24) inches with a font size of no less than two (2) inches.
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54655354 Information required to be disp layed on the sign shall be in black
54665355 standardized font on a white ba ckground. The Oklahoma Medical
54675356 Marijuana Authority shall promulgate rules as necessary regard ing
54685357 the size, placement, issuance and specifications of the required
54695358 signage. The following information shall be included on the
54705359 required signage:
54715360 1. Business name;
54725361 2. Physical address of the licensed business;
54735362 3. Phone number of the licensed business; and
54745363 4. Medical marijuana or adult use marijuana commercial grower
54755364 business license number.
54765365 The required signage shall also comply with county regulations
54775366 and local ordinances related to t he real property where the
54785367 commercial grow operation is located. Failure to erect the proper
54795368 signage within sixty (60) days after the renewal of each app lication
54805369 for a medical marijuana or adult use marijuana commercial grower
54815370 license in accordance with the provisions of this subsection shall
54825371 result in the immedia te revocation of the medical marijuana or adult
54835372 use marijuana commercial grower license. Upon issuance of a
54845373 temporary license, all medical marijuana or adult use marijuana
54855374 commercial grower licen sees shall be required to comply with the
54865375 provisions of this subsection prior to t he prelicensure inspection
54875376 conducted by the Authority.
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55145402 SECTION 22. AMENDATORY 63 O.S. 2021, Section 427.22, as
55155403 amended by Section 21, Chapter 251, O.S.L. 2022 (63 O.S. Supp. 2022,
55165404 Section 427.22), is amended to read as follows:
55175405 Section 427.22 A. All medical marijuana patient and caregiver
55185406 records and information including, but not limited to, any
55195407 application or renewal and supporting information submitted by a
55205408 qualifying patient or designated caregiver under the provisions of
55215409 the Oklahoma Medical Marijuana and Patient Protection Act and
55225410 information regarding the physician of the qualifying patient shall
55235411 be considered confidential medical records that are exempt from the
55245412 Oklahoma Open Records Act.
55255413 B. The dispensary records with patient or consumer information
55265414 shall be treated as confidential records that are exempt from the
55275415 Oklahoma Open Records Act.
55285416 C. All financial information provided by an applicant or a
55295417 licensee in an application to the Authority shall be treated as
55305418 confidential records that are exempt from the Oklahoma Open Records
55315419 Act.
55325420 D. All information provided by an applicant or a licensee that
55335421 constitutes private business information shall be treated as
55345422 confidential records that are exempt from the Oklahoma Open Records
55355423 Act.
55365424 E. As used in this section, "private business information"
55375425 means information that, if disclosed, would give advantage to
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55645451 competitors or bidders including, but not limited to, information
55655452 related to the planning, site location, operations, strategy or
55665453 product development and marketing of an applicant, unless approval
55675454 for release of those records is granted by the business.
55685455 F. All monthly report, inventory tracking and seed-to-sale
55695456 information, data and records submitted to the Authority shall be
55705457 treated as confidential records and are exempt from the Oklahoma
55715458 Open Records Act.
55725459 G. Except for license information concerning licensed patient s,
55735460 the Authority may share confidential information with other state
55745461 agencies to assist those agencies in ensuring compliance with
55755462 applicable laws, rules and regulations.
55765463 SECTION 23. AMENDATORY 63 O.S. 2021, Section 427.24, as
55775464 amended by Section 23, Chapter 251, O. S.L. 2022 (63 O.S. Supp. 2022,
55785465 Section 427.24), is amended to read as follows:
55795466 Section 427.24 A. Whenever an authorized agent of the Oklahoma
55805467 Medical Marijuana Authority finds, in whole or in part, that the
55815468 medical marijuana or medical marijuana product fails to meet the
55825469 requirements of Sections 420 through 426.1 of this title or the
55835470 Oklahoma Medical Marijuana and Patient Protection Act as it relat es
55845471 to health and safety, the medical marijuana or medical marijuana
55855472 product is handled in violation of applicable laws or rules and
55865473 regulations promulgated by the Executive Director of the Authority,
55875474 or the medical marijuana or medical marijuana product may be
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56145500 poisonous, deleterious to health or is oth erwise unsafe, an
56155501 electronic or physical tag or other appropriate marking or hold
56165502 shall be affixed to the medical marijuana or medical marijuana
56175503 product which shall give notice that the medical marijuana or
56185504 medical marijuana product is or is suspected of b eing manufactured,
56195505 produced, transferred, sold or offered for sale in violation of
56205506 applicable laws or rules and regulations promulgated by the
56215507 Executive Director and is embargoed. The notice shall further
56225508 provide a warning to all persons not to remove or dis pose of the
56235509 medical marijuana or medical marijuana product until permission for
56245510 removal or disposal is given by the Executive Director. It shall be
56255511 unlawful for any person to remove or dispose of the medical
56265512 marijuana or medical marijuana product embargoed without permission
56275513 by the Executive Director.
56285514 B. If the Executive Director finds that medical marijuana or
56295515 medical marijuana product embargoed pursuant to subsection A of this
56305516 section does not meet the requirements of applicable laws or rules
56315517 and regulations promulgated by the Executive Director, or is
56325518 poisonous, deleterious to health or otherwise unsafe, the Executive
56335519 Director may institute an action in the district court in whose
56345520 jurisdiction the medical marijuana or medical marijuana product is
56355521 embargoed for the condemnation and destruction of the medical
56365522 marijuana or medical marijuana product. If the Executive Director
56375523 finds that the medical marijuana or medical marijuana product
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56645549 embargoed does meet the requirem ents of applicable laws and the
56655550 rules and regulations promulgated by the Executive Director and is
56665551 not poisonous, deleterious to health or otherwise unsafe, th e
56675552 Executive Director shall remove the embargo. In any court
56685553 proceeding regarding an embargo, neither the Authority or the
56695554 Executive Director shall be held liable if the court finds
56705555 reasonable belief for the embargo.
56715556 C. Except as otherwise provided in subsection D of this
56725557 section, if the court finds that the embargoed medical marijuana or
56735558 medical marijuana product, in whole or in part, i s in violation of
56745559 any applicable laws or rules and regul ations promulgated by the
56755560 Executive Director or is poisonous, deleterious to health or
56765561 otherwise unsafe, the medical marijuana or medical marijuana product
56775562 shall be destroyed at the expense of the defendant under the
56785563 supervision of the Executive Director. All court costs, fees, costs
56795564 of storage and disposal and other proper expenses shall be paid by
56805565 the defendant of the medical marijuana or medical marijuana product.
56815566 D. The court may order that the medical marijuana or medical
56825567 marijuana product be delivered to the defendant for appropriate
56835568 labeling or processing under the supervision of the Executive
56845569 Director only if:
56855570 1. The violation can be corrected by pr oper processing of
56865571 medical marijuana or medical marijuana product;
56875572 2. All costs, fees and expenses have been paid; and
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57145598 3. A sufficient bond is executed and conditioned for
57155599 appropriate labeling or processing as the court may r equire.
57165600 The expense of superv ision shall be paid to the Executive
57175601 Director by the person obtaining release of the medical marijuana or
57185602 medical marijuana product under bond.
57195603 SECTION 24. AMENDATORY Section 1, Chapter 352, O.S.L.
57205604 2022 (63 O.S. Supp. 2022, Section 427.25), is amended to read as
57215605 follows:
57225606 Section 427.25 A. The Oklahoma Medical Marijuana Authority
57235607 shall implement rules to employ secret shoppers. Secret shoppers
57245608 shall purchase medical marijuana or marijuana products from licensed
57255609 medical marijuana or adult use marijuana dispensaries.
57265610 B. For each purchase, the secret shopper shall buy an amount of
57275611 medical marijuana or marijuana products sufficient for five complete
57285612 compliance tests. Four samples shall be tested by licensed medical
57295613 marijuana or adult use marijuana testing laboratories, one of which
57305614 shall be the laboratory of origin, if applicable. One sample shall
57315615 be kept in reserve by the Authority in the event of a discrepancy
57325616 between the testing laboratories, which may require retesting of the
57335617 medical marijuana or marijuana products. When making purchases from
57345618 a licensed medical marijuana or adult use marijuana dispensary, the
57355619 secret shopper shall ask for the certificate of analysis for each
57365620 product purchased.
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57635646 C. The secret shopper shall deliver the medical marijuana or
57645647 marijuana products to a quality assurance laboratory for
57655648 homogenization. Once the samples have been homogenized, the samples
57665649 shall be delivered to four randomly selected licensed medical
57675650 marijuana or adult use marijuana testing laboratories for compliance
57685651 testing which shall include the testing for pesticides, heavy
57695652 metals, microbials, residual solvents for extracted products, and
57705653 potency. One sample shall be kept by the Authority in reserve. If
57715654 the medical marijuana or marijuana products were previously tested
57725655 with available results from a licensed medical marijuana or adult
57735656 use marijuana testing laboratory, that testing laboratory shall be
57745657 one of the four licensed medical marijuana or adult use marijuana
57755658 testing laboratories chosen by the Authority. For the avoidance of
57765659 doubt, neither the licensed medical marijuana or adult use marijuana
57775660 dispensary nor the licensed medical marijuana or adult use marijuana
57785661 testing laboratory shall be told that the business entity is selling
57795662 medical marijuana or marijuana products to a secret shopper or
57805663 testing samples submitted by a secret shopper employed by the
57815664 Authority and posing as a licensed medical marijuana patient or
57825665 consumer.
57835666 D. The Authority shall inspect, by secret shopper, a minimum of
57845667 fifty licensed medical marijuana or adult use marijuana dispensaries
57855668 annually beginning January 1, 2024. In the year 2025, the Authority
57865669 shall inspect, by secret shopper, a minimum of ten percent (10%) of
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58135695 randomly selected licensed medical marijuana or adult use marijuana
58145696 dispensaries in Oklahoma per year.
58155697 E. 1. When the licensed medical marijuana or adult use
58165698 marijuana testing laboratories unanimously confirm test results with
58175699 safety failures for contaminants, the Authority shall recall the
58185700 medical marijuana or marijuana product within seven (7) days of
58195701 obtaining the test results. The name of the licensed medical
58205702 marijuana or adult use marijuana dispensary and any other relevant
58215703 product information shall be made public via a press release issued
58225704 by the Authority. If there is greater than one but less than four
58235705 contaminant fails among the licensed medical marijuana or adult use
58245706 marijuana testing laboratories, the Authority shall work with a
58255707 quality assurance laboratory to verify the results of the licensed
58265708 medical marijuana or adult use marijuana testing laboratories and
58275709 take appropriate action.
58285710 2. When the average of total potency or total terpene results
58295711 collected from a licensed medical marij uana or adult use marijuana
58305712 testing laboratory for a particular product is outside the allowable
58315713 limits, the Authority shall work with a quality assurance laboratory
58325714 to verify the results of the testing laboratory. If results are
58335715 verified to be outside the allowable limits, the Authority shall
58345716 require relabeling of the medical marijuana or marijuana products.
58355717 3. All investigative results shall be retained by the Authority
58365718 for a minimum of three (3) years.
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58635744 4. The Authority shall implement rules to notify any licensed
58645745 medical marijuana or adult use marijuana dispensary and licensed
58655746 medical marijuana or adult use marijuana commercial grower or
58665747 licensed medical marijuana or adult use marijuana processor of any
58675748 investigative results determined to be noncompliant.
58685749 5. After the licensed medical marijuana or adult use marijuana
58695750 dispensary and licensed medical marijuana or adult use marijuana
58705751 commercial grower or licensed medical marijuana or adult use
58715752 marijuana processor is notified of the investigative results, such
58725753 results may be used by th e Authority to take action against the
58735754 licensee, assess fines, or assess other civil penalties available to
58745755 the Authority.
58755756 6. The Authority shall implement rules on shar ing such
58765757 investigative results with any other l aw enforcement agencies or
58775758 regulatory authorities.
58785759 7. The Authority may elect to conduct further evaluations of
58795760 the investigative results at any time for verification or for other
58805761 purposes reasonably related to sanitation, p ublic health, or public
58815762 safety.
58825763 F. The failure of any licensed medical marijuana or adult use
58835764 marijuana business to cooperate with the provisions of this section
58845765 may result in the revocation of the license at the discretion of the
58855766 Authority.
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59125792 G. The Authority shall implement rules necessary to enforce the
59135793 provisions of this act.
59145794 SECTION 25. AMENDATORY 63 O.S. 2021, Section 428.1, is
59155795 amended to read as follows:
59165796 Section 428.1 As used in the Oklahoma Medical Marijuana Waste
59175797 Management Act:
59185798 1. "Authority" shall mean the Oklahoma Medical Marijuana
59195799 Authority, or successor agency;
59205800 2. "Commercial licensee" shall mean any person or entity issued
59215801 a license by the Oklahoma Medical Marijuana Authority, or successor
59225802 agency, to conduct commercial busine ss in this state;
59235803 3. "Disposal" shall mean the disposition of medical marijuana
59245804 waste by a process which renders the waste unusable and
59255805 unrecognizable through physical destruction or a recycling process;
59265806 4. "Facility" shall mean the licensed or permitted premises
59275807 where the disposal of medical marijuana waste takes place by a
59285808 licensee;
59295809 5. "License" shall mean a medical marijuana waste disposal
59305810 license;
59315811 6. "Licensee" shall mean the holder of a medical marijuana
59325812 waste disposal license;
59335813 7. "Medical marijuana Marijuana waste" shall mean:
59345814 a. unused, surplus, returned or out -of-date marijuana and
59355815 plant debris of the plant of the genus Cannabis
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59625841 including dead plants and all unused plant parts,
59635842 except the term shall not include seeds, roots, stems,
59645843 stalks and fan leaves, and
59655844 b. all product which is deemed to fail laboratory testing
59665845 and cannot be remediated or decontaminated; and
59675846 8. "Medical marijuana Marijuana waste disposal license" shall
59685847 mean a license issued by the Oklahoma Medical Marijuana Authority,
59695848 or successor agency.
59705849 SECTION 26. AMENDATORY 63 O.S. 2021, Section 429, is
59715850 amended to read as follows:
59725851 Section 429. A. Medical marijuana Marijuana waste shall be
59735852 subject to the provisions of the Oklahoma Medical Marijuana Waste
59745853 Management Act and shall not be subje ct to the provisions of the
59755854 Uniform Controlled Dangerous Substances Act. Nothing in the
59765855 Oklahoma Medical Marijuana Waste Management Act shall alter or
59775856 affect the jurisdictional areas of environmental responsibility of
59785857 the Department of Environmental Quali ty as provided for i n Title 27A
59795858 of the Oklahoma Statutes.
59805859 B. Commercial licensees, medical marijuana research facilities
59815860 and medical marijuana education faciliti es shall be authorized to
59825861 destroy the following marijuana p lant parts without being required
59835862 to utilize the servic es of a medical marijuana waste disposal
59845863 facility:
59855864 1. Roots;
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60125890 2. Stems;
60135891 3. Fan leaves;
60145892 4. Seeds; or
60155893 5. Stalks.
60165894 Unless restricted by local ordinance, commercial licensees,
60175895 medical marijuana research facilities and medical marijuana
60185896 education facilities shall be authorized to destroy the above -listed
60195897 marijuana plant parts on-site by open burning, incineration,
60205898 burying, mulching, composting or any other technique approved by the
60215899 Department of Environm ental Quality.
60225900 SECTION 27. AMENDATORY 63 O.S. 2021, Section 430, as
60235901 amended by Section 3, Chapter 317, O.S.L. 2022 (63 O.S. Supp. 2022,
60245902 Section 430), is amended to read as follows:
60255903 Section 430. A. There is hereby created and authorized a
60265904 medical marijuana waste disposal l icense. A person or entity in
60275905 possession of a medical marijuana waste disposal license shall be
60285906 entitled to possess, transport and dispose of medical marijuana
60295907 waste. No person or entity shall dispose of medical marijuana waste
60305908 without a valid medical marijuana waste disposal license. The
60315909 Oklahoma Medical Marijuana Authority shall issue licenses upon
60325910 proper application by a licensee and determination by the Authority
60335911 that the proposed site and facility are physically and technically
60345912 suitable. Upon a finding that a proposed medical marijuana waste
60355913 disposal facility is not physically or technically suitable, the
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60625939 Authority shall deny the license. The Authority may, upon
60635940 determining that public health or safety requires emergency action,
60645941 issue a temporary license for treatment or storage of medical
60655942 marijuana waste for a period not to exceed ninety (90) days. The
60665943 Authority shall not, for the first year of the licensure program,
60675944 issue more than ten medical marijuana waste disposal licenses. Upon
60685945 the conclusion of the first year, the Authority shall assess the
60695946 need for additional medical marijuana waste disposal licenses and
60705947 shall, if demonstrated, increase the number of licenses as deemed
60715948 necessary by the Authority.
60725949 B. Entities applying for a medical marijuana waste disposal
60735950 license shall undergo the follo wing screening process:
60745951 1. Complete an application form, as prescribed by the
60755952 Authority, which shall include:
60765953 a. an attestation that the applicant is authorized to
60775954 make application on behalf of the entity,
60785955 b. full name of the organization,
60795956 c. trade name, if applicable,
60805957 d. type of business organization,
60815958 e. complete mailing address,
60825959 f. an attestation that the commercial entity will not be
60835960 located on tribal land,
60845961 g. telephone number and email address of the ent ity, and
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61115987 h. name, residential address and date of birth of each
61125988 owner and each member, manager and board member, if
61135989 applicable;
61145990 2. The application for a medical marijuana waste disposal
61155991 license made by an individual on his or her own behalf shall be on
61165992 the form prescribed by the Authority and shall incl ude, but not be
61175993 limited to:
61185994 a. the first, middle and last name of the applicant and
61195995 suffix, if applicable,
61205996 b. the residence address and mailing address of the
61215997 applicant,
61225998 c. the date of birth of the applicant ,
61235999 d. the preferred telephone number and email add ress of
61246000 the applicant,
61256001 e. an attestation that the information provided by the
61266002 applicant is true and correct, and
61276003 f. a statement signed by the applicant pledging not to
61286004 divert marijuana to any individual or e ntity that is
61296005 not lawfully entitled to possess ma rijuana; and
61306006 3. Each application shall be accompanied by the following
61316007 documentation:
61326008 a. a list of all persons or entities that have an
61336009 ownership interest in the entity,
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61606035 b. a certificate of good standing fr om the Secretary of
61616036 State, if applicable ,
61626037 c. an Affidavit of Lawful Presence for each owner,
61636038 d. proof that the proposed location of the disposal
61646039 facility is at least one thousand (1,000) feet from a
61656040 school. The distance indicated in this subparagraph
61666041 shall be measured from the nearest property line of
61676042 such school to the nearest perimeter wall of the
61686043 premises of such disposal facility. If any school is
61696044 established within one thousand (1,000) feet of any
61706045 disposal facility after such disposal f acility has
61716046 been licensed, the provisions of this subparagrap h
61726047 shall not be a deterrent to the renewal of such
61736048 license or warrant revocation of the license. For the
61746049 purposes of this section, "school" shall mean the same
61756050 as provided in Section 427.2 of this title, and
61766051 e. documents establishing the applicant, the mem bers,
61776052 managers and board members, if applicable, and
61786053 seventy-five percent (75%) of the ownership interests
61796054 are Oklahoma residents as established in Section 420
61806055 et seq. of this title, as it relates to proof of
61816056 residency.
61826057 C. No license shall be issued excep t upon proof of sufficient
61836058 liability insurance and financial re sponsibility. Liability
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62106084 insurance shall be provided by the applicant and shall apply to
62116085 sudden and nonsudden bodily injury or prope rty damage on, below or
62126086 above the surface, as required by the rules of the Authority. Such
62136087 insurance shall be maintained fo r the period of operation of the
62146088 facility and shall provide coverage for damages resulting from
62156089 operation of the facility during ope ration and after closing.
62166090 D. Submission of an application fo r a medical marijuana waste
62176091 disposal license shall constitute p ermission for entry to and
62186092 inspection of the facility of the licensee during hours of operation
62196093 and other reasonable times. Refusal to permit such entry of
62206094 inspection shall constitute grounds for the nonrenewal, suspension
62216095 or revocation of a license . The Authority may perform an annual
62226096 unannounced on-site inspection of the operations and any facility of
62236097 the licensee. If the Authority receives a complaint concerning
62246098 noncompliance by a licensee with the provisions of the Oklahoma
62256099 Medical Marijuana Waste Management Act, the Authority may conduct
62266100 additional unannounced, on-site inspections beyond an annual
62276101 inspection. The Authority may refer all complaints alleging
62286102 criminal activity that are made against a licensed facility to
62296103 appropriate state or local law enforcement authorities.
62306104 E. The Authority shall issue an annual permit for each medical
62316105 marijuana waste disposal facility operated by a licensee. A permit
62326106 shall be issued only upon proper app lication by a licensee and
62336107 determination by the Authority that the proposed site and facility
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62606133 are physically and technically suitable. Upon a finding that a
62616134 proposed medical marijuana waste disp osal facility is not physically
62626135 or technically suitable, the Authority shall deny the permit. The
62636136 Authority shall have the authority to revoke a permit upon a finding
62646137 that the site and facility are not physically and technically
62656138 suitable for processing. The Authority may, upon determining that
62666139 public health or saf ety requires emergency action, issue a temporary
62676140 permit for treatment or storage of medical marijuana waste for a
62686141 period not to exceed ninety (90) days.
62696142 F. The cost of a medical marijuana waste disposal license shall
62706143 be Five Thousand Dollars ($5,000.00) f or the initial license. The
62716144 cost of a medical marijuana waste disposal facility permit shall be
62726145 Five Hundred Dollars ($500.00). A medical marijuana waste disposal
62736146 facility permit that has been revoked shall be reinstated upon
62746147 remittance of a reinstatemen t fee of Five Hundred Dollars ($500.00)
62756148 to restore the facility permit. All license and permit fees shall
62766149 be deposited into the Oklahoma Medical Marijuana Authority Revolving
62776150 Fund as provided in Section 427.5 of this title.
62786151 G. The holder of a medical marijuana waste disposal license
62796152 shall not be required to obtain a medical marijuana or adult use
62806153 marijuana transporter license provided for in the Oklahoma Medical
62816154 Marijuana and Patient Protection Act for purposes of transporting
62826155 medical marijuana waste.
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63096181 H. All commercial licensees, as defined in Section 428.1 of
63106182 this title, shall utilize a licensed medical marijuana waste
63116183 disposal service to process all medical marijuana waste generated by
63126184 the licensee.
63136185 I. The State Commissioner of Health Executive Director of the
63146186 Authority shall promulgate rules for the implement ation of the
63156187 Oklahoma Medical Marijuana Waste Management Act. Promulgated rules
63166188 shall address disposal process sta ndards, site security and any
63176189 other subject matter deemed necessary by the Autho rity.
63186190 SECTION 28. This act shall be come effective September 3, 2023.
63196191
6320-COMMITTEE REPORT BY: COMMITTEE ON ALCOHOL, TOBACCO AND CONTROLLED
6321-SUBSTANCES, dated 03/02/2023 - DO PASS, As Amended.
6192+59-1-7863 JL 03/01/23
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