Oklahoma 2024 Regular Session

Oklahoma House Bill HB2095 Compare Versions

Version 1 (Old)

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1		-	An Act
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3	34		BILL NO. 2095 By: Echols and McDugle of the
4	35		House
5	36
6	37		and
7	38
8	39		Paxton of the Senate
9		-
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14	44
15	45		An Act relating to medical marijuana; amending 63
16	46		O.S. 2021, Section 426, as amended by Section 27,
17	47		Chapter 228, O.S.L. 2022 (63 O.S. Supp. 2 022, Section
18	48		426), which relates to taxes on retail sa les of
19	49		medical marijuana; updating statutory cit ation;
20	50		providing for the permanent revocation of medical
21	51		marijuana business license for nonpayment of taxes;
22	52		amending 63 O.S. 2021, Sections 427.3, as amended by
23	53		Section 1, Chapter 342, O.S.L. 2022 , 427.4, as
24	54		amended by Section 9, Chapter 251, O.S.L. 2022 ,
25	55		427.6, as last amended by Section 1, Chapter 328,
26	56		O.S.L. 2022, 427.14, as amended by Section 4, Chapter
27	57		332, O.S.L. 2022, Section 2, Chapter 342, O.S.L.
28	58		2022, 427.16, as amended by Section 16, Chapter 251,
29	59		O.S.L. 2022, 427.17, as last amended by Section 1,
30	60		Chapter 353, O.S.L. 2022 , 427.19, as amended by
31	61		Section 19, Chapter 251, O.S.L. 2022, and 427.20, as
32	62		amended by Section 20, Chapter 251, O.S.L. 2022 (63
33	63		O.S. Supp. 2022, Sections 427.3, 427.4, 427.6,
34	64		427.14, 427.14a, 427.16, 427.17, 427.19 a nd 427.20),
35	65		which relate to the Oklahoma Medical Marijuana and
36	66		Patient Protection Act; allowing the Authority to
37	67		enter into memorandums of understanding with state
38	68		agencies; providing certain state agencies
39	69		investigative and enforcement authority relating to
40	70		medical marijuana business licenses; granting certain
41	71		state agencies peace officer powers; providing for
42	72		the execution of warrants; expanding scope of powers
43	73		regarding illegal marijuana and marijuana pro ducts;
44	74		authorizing certain state agencies to perform on-site
45	75		assessments and record reviews; directing the
46		-	Oklahoma Medical Marijuana Authority to refer ENR. H. B. NO. 2095 Page 2
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	103	+	Oklahoma Medical Marijuana Authority to refer
47	104		complaints to certain state a gencies; making certain
48	105		acts unlawful; providing penalties; auth orizing the
49	106		subpoena of documents under certain circumstances;
50	107		changing background check requirement ; providing
51	108		certain restriction on issuing medical marijuana
52	109		commercial grower license; extending moratorium date;
53	110		allowing certain state agencies enforcement powers
54	111		relating to the transportation of medical marijuana;
55	112		enabling certain state agencies monitoring,
56	113		inspection and auditing powers of medical marijuana
57	114		testing laboratories; providing f or the permission of
58	115		certain state agencies to enter and inspect medical
59	116		marijuana research and education facilities;
60	117		providing licensing penalties for refusing to permit
61	118		entry for inspections; authorizing unannounced, on-
62	119		site inspections; directing the Authority to refer
63	120		complaints of criminal activity to state or local law
64	121		enforcement authorities; amending 63 O.S. 2021,
65	122		Section 430, as amended by Section 3, Chapter 317,
66	123		O.S.L. 2022 (63 O.S. Supp. 2022, Section 43 0), which
67	124		relates to the Oklahoma Medical Marijuana Waste
68	125		Management Act; authorizing unannounced on-site
69	126		inspections by certain state agencies; and providing
70	127		an effective date.
71	128
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75		-	SUBJECT: Medical marijuana
76	132
77	133		BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
78		-
79	134		SECTION 1. AMENDATORY 63 O.S. 2021, Section 426, as
80	135		amended by Section 27, Chapter 228, O.S.L. 2022 (63 O.S. Supp. 2022,
81	136		Section 426), is amended to read as follows:
82		-
83	137		Section 426. A. The tax on retail medical marijuana sales
84	138		shall be established at seven percent (7%) of the gross am ount
85	139		received by the seller.
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87	167		B. This tax shall be collected at the point of sale. Except as
88	168		provided for in subsection D, tax proceeds will be applied primarily
89	169		to finance the regulatory office.
90		-	ENR. H. B. NO. 2095 Page 3
91	170		C. Except as provided for in subsection D of this section, if
92	171		proceeds from the levy authorized by subsection A of this section
93	172		exceed the budgeted amount for running the regulatory office, any
94	173		surplus shall be apportioned with seventy-five percent (75%) going
95	174		to the General Revenue Fund and may only be expended for common
96	175		education including funding redbud school grants pursuant to Section
97	176		3-104 of Title 70 of the Oklahoma Statutes. Twenty-five percent
98	177		(25%) shall be apportioned to the State Department of Health and
99	178		earmarked for drug and alcohol rehabilitation and prevention.
100		-
101	179		D. Pursuant to Section 14 255.2 of this act Title 68 of the
102	180		Oklahoma Statutes, the Oklahoma Tax Commission shall have authori ty
103	181		to assess, collect and enforce the tax specified in subsection A of
104	182		this section including any interest and pen alty thereon.
105		-
106	183		E. For fiscal year 2022, proceeds from the levy authorized by
107	184		subsection A of this section shall be apportioned a s follows:
108		-
109	185		1. The first Sixty-five Million Dollars ($65,000,000.00) shall
110	186		be apportioned as follows:
111		-
112	187		a. fifty-nine and twenty-three hundredths percent
113	188		(59.23%) to the State Public Common School Building
114	189		Equalization Fund,
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115	216
116	217		b. thirty-four and sixty-two hundredths percent (34.62%)
117	218		to the Oklahoma Medical Marijuana Authority, a
118	219		division within the Oklahoma State Department of
119	220		Health, and
120		-
121	221		c. six and fifteen hundredths percent (6.15%) to the
122	222		Oklahoma State Department of Health and earmarked for
123	223		drug and alcohol rehabilitation; and
124		-
125	224		2. Any surplus collections shall be apportioned to the General
126	225		Revenue Fund of the State Treasury.
127		-
128	226		F. If any medical marijuana business licensee intentionally
129	227		does not remit the taxes as required by the provisions of this
130	228		section or the provisions of Section 1354 of Title 68 of the
131	229		Oklahoma Statutes, the Authority shal l permanently revoke the
132	230		medical marijuana business license of the business licensee and the
133	231		business licensee shall be permanently ineligible to receive any
134	232		other type of medical marijuana business license issued by the
135		-	Authority, including licenses for a dispensary, commercial grower ~~ENR. H. B. NO. 2095 Page 4~~
	233	+	Authority, including licenses for a dispensary, commercial grower
136	234		operation, processing facility, transporter, research, education
137	235		facility, and waste disposal facility.
138		-
139	236		SECTION 2. AMENDATORY 63 O.S. 2021, Section 427.3, as
140	237		amended by Section 1, Chapter 342, O.S .L. 2022 (63 O.S. Supp. 2022,
141	238		Section 427.3), is amended to read as follows:
142		-
143	239		Section 427.3 A. There is hereby created the Oklahoma Medical
144	240		Marijuana Authority within the State Department of Health which
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145	268		shall address issues related to the medical marijuana program in
146	269		Oklahoma including, but not limited to, the issuance of patient
147	270		licenses and medical marijuana business licenses, and the
148	271		dispensing, cultivating, processing, testing, transporting, storage,
149	272		research, and the use of and sale of medical marijuana pursuant to
150	273		the Oklahoma Medical Marijuana and Patient Protection Act.
151		-
152	274		B. The Department shall provide support staff to perform
153	275		designated duties of the Authority. The Department shall also
154	276		provide office space for meetings of the Authority.
155		-
156	277		C. The Authority shall implement the provisions of the Oklahoma
157	278		Medical Marijuana and Patient Protection Act consistently with the
158	279		voter-approved State Question No. 788, Initiative Petition No. 412,
159	280		subject to the provisions o f the Oklahoma Medical Marijuana and
160	281		Patient Protection Act.
161		-
162	282		D. The Authority shall exercise its respective powers and
163	283		perform its respective duties and functions as specified in the
164	284		Oklahoma Medical Marijuana and Patient Protection Act and this title
165	285		including, but not limited to, the follo wing:
166		-
167	286		1. Determine steps the state shall take, whether administrative
168	287		or legislative in nature, to ensure that research on marijuana and
169	288		marijuana products is being conducted for public purposes, including
170	289		the advancement of:
171		-
172	290		a. public health policy and p ublic safety policy,
173		-
174	291		b. agronomic and horticultural best practices, and
175	292
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176	319		c. medical and pharmacopoeia best practices;
177		-
178	320		2. Contract with third-party vendors and other governmental
179		-	entities in order to carry out the respective duties and functions ~~ENR. H. B. NO. 2095 Page 5~~
	321	+	entities in order to carry out the respective duties and functions
180	322		as specified in the Oklahoma Medical Marijuana and Patient
181	323		Protection Act;
182		-
183	324		3. Upon complaint or upon its own motion and upon a completed
184	325		investigation, levy fines a s prescribed in applicable laws, rules,
185	326		and regulations and suspend, revoke, or not renew licenses pursuant
186	327		to applicable laws, rules, and regulations;
187		-
188	328		4. Issue subpoenas for the appearance or production of persons,
189	329		records, and things in connection with disciplinary or contested
190	330		cases considered by the Authority;
191		-
192	331		5. Apply for injunctive or declaratory r elief to enforce the
193	332		provisions of applicable laws, rules, and regulations;
194		-
195	333		6. Inspect and examine all licensed premises of medical
196	334		marijuana businesses, research facilities, education facilities, and
197	335		waste disposal facilities in which medical marijuana i s cultivated,
198	336		manufactured, sold, stored, transported, tested, distributed, or
199	337		disposed of;
200		-
201	338		7. Upon action by the federal government by which the
202	339		production, sale, and use of marijuana in Oklahoma does not violate
203	340		federal law, work with the Oklahoma State Banking Department and the
204	341		State Treasurer to develop good practices and standards for banking
205	342		and finance for medical marijuana businesses;
206	343
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207	370		8. Establish internal control procedures for licenses including
208	371		accounting procedures, reporting procedures , and personnel policies;
209		-
210	372		9. Establish a fee schedule and collect fees for performing
211	373		background checks as the Authority deems appropriate. The fees
212	374		charged pursuant to this paragraph shall not exceed the actual cost
213	375		incurred for each background che ck;
214		-
215	376		10. Establish a fee schedule and collect fees for material
216	377		changes requested by the licensee;
217		-
218	378		11. Establish regulations, which require a medical marijuana
219	379		business to submit information to the Authority, deemed reasonably
220	380		necessary to assist the Authority in the prevention of diversion of
221	381		medical marijuana by a licensed medical marijuana business. Such
222	382		information required by the Authority may include, but shall not be
223	383		limited to:
224		-	ENR. H. B. NO. 2095 Page 6
225	384		a. the square footage of the licensed p remises,
226		-
227	385		b. a diagram of the licensed premises,
228		-
229	386		c. the number and type of lights at the licensed medical
230	387		marijuana commercial grower business,
231		-
232	388		d. the number, type, and production capacity of equipment
233	389		located at the medical marijuana processing facility,
234		-
235	390		e. the names, addresses, and telephone numbers of
236	391		employees or agents of a medical marijuana business,
237		-
238	392		f. employment manuals and standard operating procedures
239	393		for the medical marijuana business, and
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241	421		g. any other information as the Authority reasonably
242	422		deems necessary; and
243		-
244	423		12. Declare and establish a moratorium on processing and
245	424		issuing new medical marijuana business licenses pursuant to Section
246	425		427.14 of this title for an amount of time the Authority deems
247	426		necessary; and
248		-
249	427		13. Enter into and negotiate the terms of Memorandums of
250	428		Understanding between the Authority and other state agencies
251	429		concerning the enforcement of laws regulating medical marijuana in
252	430		this state. The Oklahoma State Bureau of Narcotics and Dangerous
253	431		Drugs Control, the Oklahoma State Bureau of Investigation, and the
254	432		Oklahoma Attorney General shall have full authorit y to investigate
255	433		and enforce any violations of the laws regarding medical marijuana
256	434		including medical marijuana business licenses held by commercial
257	435		growers, processors, transporters, researchers, education
258	436		facilities, and waste disposal facilities.
259		-
260	437		SECTION 3. AMENDATORY 63 O.S. 2021, Section 427.4, as
261	438		amended by Section 9, Chapter 251, O.S.L. 2022 (63 O.S. Supp. 2022,
262	439		Section 427.4), is amended to read as follows:
263		-
264	440		Section 427.4 A. The Oklahoma Medical Marijuana Authority
265	441		shall employ an Executive Director and other personnel as necessary
266	442		to assist the Authority in carrying out its duties. The Executive
267	443		Director shall be appoi nted by the Governor, with the advice and
268	444		consent of the Senate. The Executive Director shall serve at the
269		-	pleasure of the Governor and may be removed or replaced without ENR. H. B. NO. 2095 Page 7
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	472	+	pleasure of the Governor and may be removed or replaced without
270	473		cause. Compensation for the Executive Director shall be determined
271	474		pursuant to Section 3601. 2 of Title 74 of the Oklahoma Statutes.
272		-
273	475		B. The Authority shall not employ an individual if any of the
274	476		following circumstances exist:
275		-
276	477		1. The individual has a direct or indirect interest in a
277	478		licensed medical marijuana business; or
278		-
279	479		2. The individual or hi s or her spouse, parent, child, spouse
280	480		of a child, sibling, or spouse of a sibling has an application for a
281	481		medical marijuana business license pending before the Authority or
282	482		is a member of the board of directors of a medical marijuana
283	483		business, or is an i ndividual financially interested in any licensee
284	484		or medical marijuana business.
285		-
286	485		C. All officers and employees of the Authority shall be in the
287	486		exempt unclassified service as provided for in Section 840-5.5 of
288	487		Title 74 of the Oklahoma Statutes.
289		-
290	488		D. The Executive Director may delegate to any officer or
291	489		employee of the Authority any of the powers of the Executive
292	490		Director and may designate any officer or employee of the Authority
293	491		to perform any of the duties of the Executive Director.
294		-
295	492		E. The Executive Director may promulgate rules governing the
296	493		oversight and implementation of the Oklahoma Medical Mariju ana and
297	494		Patient Protection Act.
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298	521
299	522		F. The Authority is hereby authorized to create employment
300	523		positions necessary for the implementation of its obligations
301	524		pursuant to the Oklahoma Medical Marijuana and Patient Protection
302	525		Act including, but not limited to, investigators of the Authority
303	526		and a director of enforcement. The Authority, the director of
304	527		enforcement, the Executive Director, and investigators of the
305	528		Authority, the Oklahoma State Bureau of Narcotics and Dangerous
306	529		Drugs Control, the Ok lahoma State Bureau of Investigation, and the
307	530		Attorney General shall have all the powers and authority of a peace
308	531		officer of this state for the purpose of enforcing the provisions of
309	532		the Oklahoma Medical Marijuana and Patient Protection Act and other
310	533		laws pertaining to medical marijuana, rules promulgated by the
311	534		Executive Director, or criminal laws of this state. These powers
312	535		shall include but not be limited to:
313		-	ENR. H. B. NO. 2095 Page 8
314	536		1. Investigating violations or suspected violations of the
315	537		Oklahoma Medical Marijuana and Patient Protection Act or other laws
316	538		pertaining to medical marijuana, any rules promulgated pursuant
317	539		thereto, and any violations of criminal laws of this state
318	540		discovered through the course of such investigations;
319		-
320	541		2. Serving and executing all warrants, summonses, subpoenas,
321	542		administrative citations, notices or other processes relating to the
322	543		enforcement of laws regulating marijuana, concentrate, and marijuana
323	544		product;
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324	571
325	572		3. Seizing, destroying, confiscating, embargoing, or plac ing an
326	573		administrative hold on any marijuana or marijuana product not
327	574		properly logged in inventory records or untraceable product not
328	575		required to be in the system, altered or improperly packaged , or
329	576		illegally held in violation of the Oklahoma Medical Marijuana and
330	577		Patient Protection Act, any other laws of this state, or any rules
331	578		promulgated by the Executive Director;
332		-
333	579		4. Assisting or aiding any law enforcement officer in the
334	580		performance of his or her duties upon such law enforcement officer's
335	581		request or the request of oth er local officials having jurisdiction;
336		-
337	582		5. Referring any evidence, reports, or charges regarding
338	583		violations of any provision of the Oklahoma Medical Marijuana and
339	584		Patient Protection Act that carries criminal penalty, or of any
340	585		other criminal laws of this state, to the appropriate law
341	586		enforcement authority and prosecutorial authority for action;
342		-
343	587		6. Aiding the enforcement authorities of this state or any
344	588		county or municipality of the state, or the federal government, in
345	589		prosecutions of violations of the Oklahoma Medical Marijuana and
346	590		Patient Protection Act or any other laws of this state that carry
347	591		criminal penalty involving crimes discovered during the
348	592		investigation of violations or suspected violations of the Oklahoma
349	593		Medical Marijuana and Patient Protection Act or other laws
350	594		pertaining to medical marijuana or any rules promulgated pursuant
351	595		thereto;
352	596
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353	623		7. Requiring any business applicant or licensee to permit an
354	624		inspection of licensed premises during business hours or at any time
355	625		of apparent operation, marijuana equipment, and marijuana
356	626		accessories, or books and records; and to permit the testing of or
357	627		examination of medical marijuana, concentrate, or product;
358		-	ENR. H. B. NO. 2095 Page 9
359	628		8. Requiring applicants and licensees to submit comp lete and
360	629		current applications, information and fees required by the Oklahoma
361	630		Medical Marijuana and Patient Protection Act, the Oklahoma Medical
362	631		Marijuana Waste Management Act and Sections 420 through 426.1 of
363	632		this title, and approve material changes made b y the applicant or
364	633		licensee;
365		-
366	634		9. Requiring medical marijuana business licensees to s ubmit a
367	635		sample or unit of medical marijuana or medical marijuana product to
368	636		the quality assurance laboratory when the Authority has reason to
369	637		believe the medical marijuana or medical marijuana product may be
370	638		unsafe for patient consumption or inhalation or has not been tested
371	639		in accordance with the provisions of the Oklahoma Medical Marijuana
372	640		and Patient Protection Act and the rules and regulations promulgated
373	641		by the Executive Director. The licensee shall provide the samp les
374	642		or units of medical marijuana or medical marijuana products at its
375	643		own expense but shall not be responsible for the costs of testing;
376	644		and
377		-
378	645		10. Requiring medical marijuana business licensees to
379	646		periodically submit samples or units of medical marijuana or medical
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380	674		marijuana products to the quality assurance laboratory for quality
381	675		assurance purposes. Licensed growers, processors, dispensaries and
382	676		transporters shall not be required to submit samples or units of
383	677		medical marijuana or medical marij uana products more than twice a
384	678		year. The licensee shall provide the samples or units of medical
385	679		marijuana or medical marijuana products at its own expense but shall
386	680		not be responsible for the costs of testing.
387		-
388	681		G. All investigators of the Authority shall meet all training
389	682		requirements and qualifications for peace officers as required by
390	683		Section 3311 et seq. of Title 70 of the Oklahoma Statutes.
391		-
392	684		H. During the course of an investigation, the director of
393	685		enforcement or any investigator of the Authority, as provided by
394	686		subsection F of this section, may arrest a violator or suspected
395	687		violator of any laws of this state committed in the presence of the
396	688		director of enforcement or any investigator of the Authority or upon
397	689		the development of probable cause that such crime has been
398	690		committed. The director of enforcement or any investigator of the
399	691		Authority as provided by subsection F of this section may, upon
400	692		request of a sheriff or another pea ce officer of this state, or any
401	693		political subdivision thereof, assist in the apprehension and arrest
402	694		of a violator or suspected violator of any of the laws of this
403		-	state. ENR. H. B. NO. 2095 Page 10
404		-
	695	+	state.
405	696		I. The Executive Director may employ or contract with
406	697		attorneys, as needed, to advise the Executive Director and the
	698	+
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407	725		Authority on all legal matters and to appear for and represent the
408	726		Executive Director and the Authority in all administrative hearings
409	727		and all litigation or other proceedings which may arise in the
410	728		discharge of their duties. At the request of the Executive
411	729		Director, such attorneys shall assist district attorneys in
412	730		prosecuting charges of vi olators of the Oklahoma Medical Marijuana
413	731		and Patient Protection Act or any other laws of this state that
414	732		carry criminal penalty involving crimes discovered during the
415	733		investigation of violations or suspected violations of the Oklahoma
416	734		Medical Marijuana and Patient Protection Act or other laws
417	735		pertaining to medical marijuana or any rules promulgated pursuant
418	736		thereto.
419		-
420	737		SECTION 4. AMENDATORY 63 O.S. 2021, Section 427.6, as
421	738		last amended by Section 1, Chapter 328, O.S.L. 2022 (63 O.S. S upp.
422	739		2022, Section 427.6), is amended to read as follows:
423		-
424	740		Section 427.6 A. The Oklahoma Medical Marijuana Authority
425	741		shall address issues related t o the medical marijuana program in
426	742		this state including, but not limited to, monitoring and
427	743		disciplinary actions as they relate to the medical marijuana
428	744		program.
429		-
430	745		B. 1. The Authority or, its designee, or the Oklahoma State
431	746		Bureau of Narcotics and Dangerous Drugs Control, the Oklahoma State
432	747		Bureau of Investigation, and the Att orney General may perform on-
433	748		site inspections or investigations of a licensee or applicant for
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434	776		any medical marijuana business license, research fac ility, education
435	777		facility or waste disposal facility to de termine compliance with
436	778		applicable laws, rules and regulations or submissions made purs uant
437	779		to this section. The Authority, its designee, or the Oklahoma State
438	780		Bureau of Narcotics and Dangerous Drugs Control, the Ok lahoma State
439	781		Bureau of Investigation, and the Attorney General may enter the
440	782		licensed premises of a medical marijuana business, research
441	783		facility, education facility or waste disposal facility licensee or
442	784		applicant to assess or monitor compliance or ensure qualifications
443	785		for licensure.
444		-
445	786		2. Post-licensure inspections shall be limited to twice per
446	787		calendar year. However, investigations and additional inspections
447	788		may occur when the Authority believes an investigation or additional
448		-	inspection is necessary due to a possible violation of applicab le ~~ENR. H. B. NO. 2095 Page 11~~
	789	+	inspection is necessary due to a possible violation of applicab le
449	790		laws, rules or regulations. The State Commissioner of Health
450	791		Authority may adopt rules imposing penalties including, but not
451	792		limited to, monetary fines and suspension or revocation of licensure
452	793		for failure to allow the Authority reasonable access to the licensed
453	794		premises for purposes of conducting an inspection.
454		-
455	795		3. The Authority, its designee, or the Oklahoma State Bureau of
456	796		Narcotics and Dangerous Drugs Control, the Oklahoma State Bureau of
457	797		Investigation, and the Attorney General may review relevant records
458	798		of a licensed medical marijuana business, license d medical marijuana
459	799		research facility, licensed medical marijuana education facility or
	800	+
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460	827		licensed medical marijuana waste disposal facility, and may require
461	828		and conduct interviews wit h such persons or entities an d persons
462	829		affiliated with such entities, for the purpose of determining
463	830		compliance with Authority requirements and applicable laws, rules
464	831		and regulations.
465		-
466	832		4. The Authority may refer complaints alleging criminal
467	833		activity that are made against a licensee to appropriate state or
468	834		local law enforcement a uthorities including, but not limited to, the
469	835		Oklahoma State Bureau of Narcotics and Dangerous Drugs Control, the
470	836		Oklahoma State Bureau of Investigation, and the Attorney General .
471		-
472	837		C. Disciplinary action may be taken agains t an applicant or
473	838		licensee for not adhering to applica ble laws pursuant to the terms,
474	839		conditions and guidelines set forth in the Oklahoma Medical
475	840		Marijuana and Patient Protection Act.
476		-
477	841		D. Disciplinary actions may inc lude revocation, suspension or
478	842		denial of an application, license or final authorization and ot her
479	843		action deemed appropriate by the Authority.
480		-
481	844		E. Disciplinary actions may be imposed upon a medical marijuana
482	845		business licensee for:
483		-
484	846		1. Failure to comply with or satisfy any provision of
485	847		applicable laws, rules or regulations;
486		-
487	848		2. Falsification or misre presentation of any material or
488	849		information submitted to the Authority or other licensees;
489	850
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490	877		3. Failing to allow or impeding entry by authorized
491	878		representatives of the Authority;
492		-	ENR. H. B. NO. 2095 Page 12
493	879		4. Failure to adhere to any acknowledgement, verificatio n or
494	880		other representation made to the Authority;
495		-
496	881		5. Failure to submit or disclose information required by
497	882		applicable laws, rules or regulations or otherwise requested by the
498	883		Authority;
499		-
500	884		6. Failure to correct any violation of this section cited as a
501	885		result of a review or audit of financial records or other materials;
502		-
503	886		7. Failure to comply with requested access by the Authority to
504	887		the licensed premises or materials;
505		-
506	888		8. Failure to pay a required monetary penalty;
507		-
508	889		9. Diversion of medical marijuana or any med ical marijuana
509	890		product, as determined by the Authority;
510		-
511	891		10. Threatening or harming a medical marijuana patient
512	892		licensee, caregiver licensee, a medical practitioner or an employee
513	893		of the Authority; and
514		-
515	894		11. Any other basis indicating a violation of the app licable
516	895		laws and regulations as identified by the Authority.
517		-
518	896		F. Disciplinary actions against a licensee may include the
519	897		imposition of monetary penalties, which may be assessed by the
520	898		Authority. The Authority may suspend o r revoke a license for
521	899		failure to pay any monetary pen alty lawfully assessed by the
522	900		Authority against a licensee.
	901	+
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523	927
524	928		G. 1. In addition to any other penalties prescribed by law,
525	929		penalties for sales, purchases or transf ers for value of medical
526	930		marijuana by a medical marijuana business or emp loyees or agents of
527	931		the medical marijuana business to persons other than those allowed
528	932		by law occurring within any one-year time period may include an
529	933		initial fine of Five Thousand Do llars ($5,000.00) for a first
530	934		violation and a fine of Fifteen Thousand Do llars ($15,000.00) for
531	935		any subsequent violation.
532		-
533	936		2. Penalties for grossly inaccurate or fraudulent reporting
534	937		occurring within any two-year time period may include an initial
535	938		administrative fine of Five Thousand Dollars ($5 ,000.00) for a first
536	939		violation and an administrative fine of Ten Th ousand Dollars
537		-	($10,000.00) for any ~~s ubsequent~~ violation. The medical marijuana ~~ENR. H. B. NO. 2095 Page 13~~
	940	+	($10,000.00) for any subsequent violation. The medical marijuana
538	941		business shall be subject to a revocation of any license granted
539	942		pursuant to the Oklahoma Medical Marijuana and Patient Protection
540	943		Act upon a second incident of grossly inaccu rate or fraudulent
541	944		reporting in a ten-year period by the medical marijuana business or
542	945		any employee or agent thereof.
543		-
544	946		3. After investigation by the Authority, the Authority may
545	947		revoke the license of any person directly in volved with the
546	948		diversion of marijuana.
547		-
548	949		4. If the Authority, after investigation, is able to establish,
549	950		by a preponderance of evidence, a pattern of diversion or negligence
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550	978		leading to diversion, the Authority may revoke an y business licenses
551	979		associated with the diversion and any entity wi th common ownership.
552		-
553	980		H. 1. In addition to any other penalties prescribed by law, a
554	981		first offense for intentional and impermissible diversion of med ical
555	982		marijuana, medical marijuana concen trate, or medical marijuana
556	983		products for value by a patient or care giver to an unauthorized
557	984		person shall be subject to an administrative fine of Four Hundred
558	985		Dollars ($400.00). The Authority shall have the authority to
559	986		enforce the provisions of this subse ction.
560		-
561	987		2. In addition to any other penalties prescri bed by law, an
562	988		additional incident resulting in a second offense for impermissible
563	989		diversion of medical marijuana, medical marijuana concentrate, or
564	990		medical marijuana products by a patient or caregiver t o an
565	991		unauthorized person for v alue shall be subject t o an administrative
566	992		fine of One Thousand Dollars ($1,000.00), and shall result in
567	993		revocation of the license or licenses of the person.
568		-
569	994		3. Any person who shares le ss than three (3) grams of medical
570	995		marijuana with an unauthorized person, without the transfer being
571	996		for value or other consideration, shall not be subject to criminal
572	997		prosecution but shall be subject to an administrative fine of Four
573	998		Hundred Dollars ($400 .00).
574		-
575	999		I. The intentional diversion of m edical marijuana, medical
576	1000		marijuana concentrate or medical marijuana products by a licensed
577	1001		medical marijuana patient or caregiver, medical marijuana business
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578	1029		or employee of a medical marijuana business to an unautho rized minor
579	1030		person who the licensed medi cal marijuana patient or caregiver,
580	1031		medical marijuana business or emp loyee of a medical marijuana
581	1032		business knew or reasonably should have known to be a minor person
582		-	shall be subject to an administrative fine of Two T housand Five ~~ENR. H. B. NO. 2095 Page 14~~
	1033	+	shall be subject to an administrative fine of Two T housand Five
583	1034		Hundred Dollars ($2,500.00) . For an additional incident resulting
584	1035		in a second or subsequent off ense, the licensed medical marijuana
585	1036		patient or caregiver, medical marijuana business or employee of a
586	1037		medical marijuana business shall be subject to a cite and release
587	1038		citation and, upon a finding of guilt or a plea of no contest, a
588	1039		fine of Five Thousand Dollars ($5,000.00) and automatic revocation
589	1040		of the medical marijuana license.
590		-
591	1041		J. In addition to any other penal ties prescribed by law, it
592	1042		shall be unlawful for a licensed medical mariju ana commercial grower
593	1043		to knowingly hire or employ undocumented immigr ants to perform work
594	1044		inside a medical marijuana commercial grow facility or anywhere on
595	1045		the property of the medical marijuana commercial grow operation. A
596	1046		licensed medical marijuana comm ercial grower that violates the
597	1047		provisions of this subsection shall, u pon conviction, be guilty of a
598	1048		misdemeanor punishable by imprisonment in the county jail for a term
599	1049		not exceeding one (1) year, or by a fine not exceeding Five Hundred
600	1050		Dollars ($500.00), or by both such fine and impriso nment. In
601	1051		addition, the license of the medical marijuana commercial grower
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602	1079		shall be subject to revocation and the Authority may deny future
603	1080		license applications .
604		-
605	1081		K. In addition to any other remedies provided for by law, the
606	1082		Authority, pursuant to its rul es and regulations, may issue a
607	1083		written order to any licensee the Authority has reason to believe
608	1084		has violated Sections 420 through 426.1 of this title, the Oklahoma
609	1085		Medical Marijuana and Patient Protection Act, the Oklahoma Medica l
610	1086		Marijuana Waste Managem ent Act, or any rules p romulgated by the
611	1087		State Commissioner of Health and to whom the Authority has served,
612	1088		not less than thirty (30) days previously, a written notice of
613	1089		violation of such statutes or rules.
614		-
615	1090		1. The written order s hall state with specifici ty the nature of
616	1091		the violation. The Authority may impose any disciplinary action
617	1092		authorized under the provisions of this section including, but not
618	1093		limited to, the assessment of monetary penalties.
619		-
620	1094		2. Any order issued pursuant to the provisions of this s ection
621	1095		shall become a final order unless, not more than thirty (30) days
622	1096		after the order is served to the licensee, the licensee requests an
623	1097		administrative hearing in accordance with the rules and regulations
624	1098		of the Authority. Upo n such request, the Autho rity shall promptly
625	1099		initiate administrative proceedings.
626		-	ENR. H. B. NO. 2095 Page 15
627	1100		K. L. Whenever the Authority finds that an emergency exists
628	1101		requiring immediate action in order to protect the health or welfare
629	1102		of the public, the Authority may issue an order , without providing
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630	1130		notice or hearing, statin g the existence of said emergency and
631	1131		requiring that action be taken as the Authority deems necessary to
632	1132		meet the emergency. Such action may include, but is not limited to,
633	1133		ordering the licensee to immediately cease and desist opera tions by
634	1134		the licensee. The order shall be effective immediately upon
635	1135		issuance. Any person to whom the order is directed shall comply
636	1136		immediately with the provisions of the order. The Authority may
637	1137		assess a penalty not to exceed Ten Thousand Dollars ($10 ,000.00) per
638	1138		day of noncompliance with the order. In assessing such a penalty,
639	1139		the Authority shall consider the seriousness of the violation and
640	1140		any efforts to comply with applicable requirements. Upon
641	1141		application to the Authority, the licensee shall be offered a
642	1142		hearing within ten (10) days of the issuance of the order.
643		-
644	1143		L. M. All hearings held pursuant to this section shall be in
645	1144		accordance with the Oklahoma Administrative Procedures Act.
646		-
647	1145		SECTION 5. AMENDATORY 63 O.S. 2021, Sec tion 427.14, as
648	1146		amended by Section 4, Chapter 332, O.S.L. 2022 (63 O.S. Supp. 2022,
649	1147		Section 427.14), is amended to read as foll ows:
650		-
651	1148		Section 427.14 A. There is hereby created the medical
652	1149		marijuana business license, which shall inc lude the following
653	1150		categories:
654		-
655	1151		1. Medical marijuana commercial grower;
656		-
657	1152		2. Medical marijuana processor;
658		-
659	1153		3. Medical marijuana dispensary;
660	1154
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661	1181		4. Medical marijuana transporter; and
662		-
663	1182		5. Medical marijuana testing laboratory.
664		-
665	1183		B. The Oklahoma Medical Marijuana Authority, with the aid of
666	1184		the Office of Management and Enterprise Services, shall develop a
667	1185		website for medical marijuana business applications.
668		-
669	1186		C. The Authority shall make available on its website in an
670	1187		easy-to-find location, applications for a medical m arijuana
671		-	business. ENR. H. B. NO. 2095 Page 16
672		-
	1188	+	business.
673	1189		D. 1. The annual, nonrefundable fee for a medical marijuana
674	1190		transporter license shall be Two Thousand Five Hundred Dollars
675	1191		($2,500.00).
676		-
677	1192		2. The initial fee for a medical marijuana commercial grower
678	1193		license shall be calculated based upo n the total amount of squ are
679	1194		feet of canopy or acres the grower estimates will be harvested for
680	1195		the year. The annual, nonrefundable license fee shall b e based upon
681	1196		the total amount of square feet of canopy harvested by the grower
682	1197		during the previous twelv e (12) months. The amount of the fees
683	1198		shall be determined as follows:
684		-
685	1199		a. For an indoor, greenhouse, or light deprivation
686	1200		medical marijuana grow facility:
687		-
688	1201		(1) Tier 1: Up to ten thousand (10,000) square feet
689	1202		of canopy, the fee shall be Two Thousand Five
690	1203		Hundred Dollars ($2,500.00),
	1204	+
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691	1230
692	1231		(2) Tier 2: Ten thousand one (10,001) square feet of
693	1232		canopy to twenty thousand (20,000) square feet of
694	1233		canopy, the fee shall be Five Thousand Dollars
695	1234		($5,000.00),
696		-
697	1235		(3) Tier 3: Twenty thousand one (20,001) square fee t
698	1236		of canopy to forty thousand (40,000) square feet
699	1237		of canopy, the fee shal l be Ten Thousand Dollars
700	1238		($10,000.00),
701		-
702	1239		(4) Tier 4: Forty thousand one (40,001) square feet
703	1240		of canopy to sixty thousand (60,000) square feet
704	1241		of canopy, the fee shall be Twent y Thousand
705	1242		Dollars ($20,000.00),
706		-
707	1243		(5) Tier 5: Sixty thousand one (60,001) square feet
708	1244		of canopy to eighty thousand (80,000) square feet
709	1245		of canopy, the fee shall be Thirty T housand
710	1246		Dollars ($30,000.00),
711		-
712	1247		(6) Tier 6: Eighty thousand one (80,001) square feet
713	1248		of canopy to ninety-nine thousand nine hundred
714	1249		ninety-nine (99,999) square feet of canopy, the
715	1250		fee shall be Forty Thousand Dollars ($40,000.00),
716		-	and ENR. H. B. NO. 2095 Page 17
717		-
	1251	+	and
718	1252		(7) Tier 7: One hundred thousand (100,000) square
719	1253		feet of canopy and beyond, the fee shall be Fifty
720	1254		Thousand Dollars ($50,000.00), plus an additional
	1255	+
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721	1282		twenty-five cents ($0.25) per square foot of
722	1283		canopy over one hundred thousand (100,000) square
723	1284		feet.
724		-
725	1285		b. For an outdoor medical marijuana grow facility:
726		-
727	1286		(1) Tier 1: Up to two and one-half (2 1/2) acres,
728	1287		the fee shall be Two Thousand Five Hundred
729	1288		Dollars ($2,500.00),
730		-
731	1289		(2) Tier 2: Two and one-half (2 1/2) acres up to
732	1290		five (5) acres, the fee shall be Five Thousand
733	1291		Dollars ($5,000.00),
734		-
735	1292		(3) Tier 3: Five (5) acres up to ten (10) acres, the
736	1293		fee shall be Ten Thousand Dollars ($10,000.00),
737		-
738	1294		(4) Tier 4: Ten (10) acres up to twenty (20) acres,
739	1295		the fee shall be Twenty Thousand Dollars
740	1296		($20,000.00),
741		-
742	1297		(5) Tier 5: Twenty (20) acres up to thirty (30)
743	1298		acres, the fee shall be Thirty Thousand Dollars
744	1299		($30,000.00),
745		-
746	1300		(6) Tier 6: Thirty (30) acres up to forty (40)
747	1301		acres, the fee shall be Forty Thousand Dollars
748	1302		($40,000.00),
749		-
750	1303		(7) Tier 7: Forty (40) acres up to fifty (50) acres,
751	1304		the fee shall be Fifty Thousand Dollars
752	1305		($50,000.00), and
	1306	+
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753	1332
754	1333		(8) Tier 8: If the amount of acreage exceeds fifty
755	1334		(50) acres, the fee shall be Fifty Thousand
756	1335		Dollars ($50,000.00) plus an additi onal Two
757	1336		Hundred Fifty Dollars ($250.00) per acre.
758		-
759	1337		c. For a medical marijuana commercial grower that has a
760	1338		combination of both indoor and outdoor growing
761		-	facilities at one location, the medical marijuana ~~ENR. H. B. NO. 2095 Page 18~~
	1339	+	facilities at one location, the medical marijuana
762	1340		commercial grower shall be required to obtain a
763	1341		separate license from the Authority for each type of
764	1342		grow operation and shall be subject to the licensing
765	1343		fees provided for in subparagraphs a and b of this
766	1344		paragraph.
767		-
768	1345		d. As used in this paragraph:
769		-
770	1346		(1) "canopy" means the total surface area within a
771	1347		cultivation area that is dedicated to the
772	1348		cultivation of flowering marijuana plants. The
773	1349		surface area of the plant canopy must be
774	1350		calculated in square feet and measured and must
775	1351		include all of the area within the boundaries
776	1352		where the cultivation of the flowering marijuana
777	1353		plants occurs. If the surface of the plant
778	1354		canopy consists of noncontiguous areas, each
779	1355		component area must be separated by identifiable
780	1356		boundaries. If a tiered or shelving system is
	1357	+
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781	1384		used in the cultivation area, the surface area of
782	1385		each tier or shelf must be included in
783	1386		calculating the area of the plant canopy.
784	1387		Calculation of the area of the plant canopy may
785	1388		not include the areas within the cultivation area
786	1389		that are used to cultivate immature marijuana
787	1390		plants and seedlings, prior to flowering, a nd
788	1391		that are not used at any time to cultivate mature
789	1392		marijuana plants. If the flowering plants are
790	1393		vertically grown in cylinders, the square footage
791	1394		of the canopy shall be measu red by the
792	1395		circumference of the cylinder multiplied by the
793	1396		total length of the cylinder,
794		-
795	1397		(2) "greenhouse" means a structure located outdoors
796	1398		that is completely covered by a material that
797	1399		allows a controlled level of light transmission,
798	1400		and
799		-
800	1401		(3) "light deprivation" means a structure that has
801	1402		concrete floors and the ability to manipula te
802	1403		natural light.
803		-
804	1404		3. The annual, nonrefundable license fee for a medical
805	1405		marijuana processor license shall be determined as follows:
806		-	ENR. H. B. NO. 2095 Page 19
807	1406		a. Tier 1: Zero (0) to ten thousand (10,000) pounds of
808	1407		biomass or production or use of up to one hundred
	1408	+
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809	1435		(100) liters of cannabis concentrate, the annual fee
810	1436		shall be Two Thousand Five Hundred Dollars
811	1437		($2,500.00),
812		-
813	1438		b. Tier 2: Ten thousand one (10,001) pounds to fifty
814	1439		thousand (50,000) pounds of biomass or production or
815	1440		use from one hundred one (101) to three hundred fifty
816	1441		(350) liters of cannabis concentrate, the annual fee
817	1442		shall be Five Thousand Dollars ($5,000.0 0),
818		-
819	1443		c. Tier 3: Fifty thousand one (50,001) pounds to one
820	1444		hundred fifty thousand (150,000) pounds of biomass or
821	1445		production or use from three hundred fifty-one (351)
822	1446		to six hundred fifty (650) liters of cannabis
823	1447		concentrate, the annual fee shall be Ten Thousand
824	1448		Dollars ($10,000.00),
825		-
826	1449		d. Tier 4: One hundred fifty thousand one (150,001)
827	1450		pounds to three hundred thousand (300,000) pounds of
828	1451		biomass or production or use from six hundred fifty-
829	1452		one (651) to one thousand (1,000) liters of cannabis
830	1453		concentrate, the annual fee shall be Fifteen Thousand
831	1454		Dollars ($15,000.00), and
832		-
833	1455		e. Tier 5: More than three hundred thousand one
834	1456		(300,001) pounds of biomass or production or use in
835	1457		excess of one thousand one (1,001) liters of cannabis
	1458	+
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	1484	+
836	1485		concentrate, the annual fee shall be Twenty Thousand
837	1486		Dollars ($20,000.00).
838		-
839	1487		For purposes of this paragraph only, if the cannabis concentrate
840	1488		is in nonliquid form, every one thousand (1,000) grams of
841	1489		concentrated marijuana shall be calculated as one (1) liter of
842	1490		cannabis concentrate.
843		-
844	1491		4. The initial fee for a medical marijuana dispensary license
845	1492		shall be Two Thousand Five Hundred Dollars ($2,500.00). The annual,
846	1493		nonrefundable license fee for a medical marij uana dispensary license
847	1494		shall be calculated at ten percent (10%) of the sum of twelve (12)
848	1495		calendar months of the combined annual state sales tax and state
849	1496		excise tax of the dispensary . The minimum fee shall be not less
850	1497		than Two Thousand Five Hundred Doll ars ($2,500.00) and the maximum
851		-	fee shall not exceed Ten Thousand Dollars ($10,000.00). ENR. H. B. NO. 2095 Page 20
852		-
	1498	+	fee shall not exceed Ten Thousand Dollars ($10,000.00).
853	1499		5. The annual, nonrefundable license fee for a medical
854	1500		marijuana testing laboratory shall be Twenty Thousand Dollars
855	1501		($20,000.00).
856		-
857	1502		E. All applicants seeking licensure or licensure renewal as a
858	1503		medical marijuana business shall comply with the following general
859	1504		requirements:
860		-
861	1505		1. All applications for licenses and registrations authorized
862	1506		pursuant to this section shall be made upon forms prescribed by the
863	1507		Authority;
864	1508
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865	1535		2. Each application shall identify the city or county in which
866	1536		the applicant seeks to obtain licensure as a medical marijuana
867	1537		business;
868		-
869	1538		3. Applicants shall submit a complete application to the
870	1539		Authority before the application may be accepted or considered;
871		-
872	1540		4. All applications shall be complete and accurate in every
873	1541		detail;
874		-
875	1542		5. All applications shal l include all attachments or
876	1543		supplemental information required by the forms supplied by the
877	1544		Authority;
878		-
879	1545		6. All applications shall be accompanied by a full remittance
880	1546		for the whole amount of the application fees. Application fees are
881	1547		nonrefundable;
882		-
883	1548		7. All applicants shall be approved for licensing review that,
884	1549		at a minimum, meets the following criteria:
885		-
886	1550		a. twenty-five (25) years of age or older,
887		-
888	1551		b. if applying as an individual, proof that the applicant
889	1552		is an Oklahoma resident pursuant to paragraph 11 of
890	1553		this subsection,
891		-
892	1554		c. if applying as an entity, proof that seventy-five
893	1555		percent (75%) of all members, managers, executive
894	1556		officers, partners, board members or any other form of
895	1557		business ownership are Oklahoma residents pursuant to
896		-	paragraph 11 of this subsecti on, ENR. H. B. NO. 2095 Page 21
	1558	+	paragraph 11 of this subsecti on,
	1559	+
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897	1585
898	1586		d. if applying as an individual or entity, proof that the
899	1587		individual or entity is registered to conduct business
900	1588		in the State of Oklahoma,
901		-
902	1589		e. disclosure of all ownership interests pursuant to the
903	1590		Oklahoma Medical Marijuana and Patient Protection Act,
904	1591		and
905		-
906	1592		f. proof that the medical marijuana business, medical
907	1593		marijuana research facility, medical marijuana
908	1594		education facility and medical marijuana waste
909	1595		disposal facility applicant or licensee has not been
910	1596		convicted of a nonviolent felony in the last two (2)
911	1597		years, or any other felony conviction within the last
912	1598		five (5) years, is not a current inmate in the custody
913	1599		of the Department of Corrections, or currently
914	1600		incarcerated in a jail or corrections facility.
915		-
916	1601		Upon reasonable suspicion that a medical marijuana busi ness licensee
917	1602		is illegally growing, processing, transferring, selling, disposing,
918	1603		or diverting marijuana, the Authority, the Oklahoma State Bureau of
919	1604		Narcotics and Dangerous Drugs Control, the Oklahoma State Bureau of
920	1605		Investigation, or the Attorney General may subpoena documents
921	1606		necessary to establish the personal identifying information of all
922	1607		owners and individuals with any ownership interest in the business;
923		-
924	1608		8. There shall be no limit to the number of medical marijuana
925	1609		business licenses or categories that an individual or entity can
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926	1637		apply for or receive, although each application and each category
927	1638		shall require a separate application and application fe e. A
928	1639		commercial grower, processor and dispensary, or any combination
929	1640		thereof, are authorized to share the same address or physical
930	1641		location, subject to the restrictions set forth in the Oklahoma
931	1642		Medical Marijuana and Patient Protection Act;
932		-
933	1643		9. All applicants for a medical marijuana business license,
934	1644		research facility license or education facility license authorized
935	1645		by the Oklahoma Medical Marijuana and Patient Protection Act, or for
936	1646		a renewal of such license, shall undergo an Oklahoma criminal
937	1647		history a national fingerprint-based background check conducted by
938	1648		the Oklahoma State Bureau of Investigation (OSBI) within thirty (30)
939	1649		days prior to the application for the license, including:
940		-
941		-	a. individual applicants applying on their own behalf, ENR. H. B. NO. 2095 Page 22
942		-
	1650	+	a. individual applicants applying on their own behalf,
943	1651		b. individuals applying on behalf of an entity,
944		-
945	1652		c. all principal officers of an entity, and
946		-
947	1653		d. all owners of an entity as defined by the Oklahoma
948	1654		Medical Marijuana and Patient Protection Act;
949		-
950	1655		10. All applicable fees charged by the OSBI are the
951	1656		responsibility of the applicant and shall not be higher than fees
952	1657		charged to any other person or industry for such background checks;
953		-
954	1658		11. In order to be considered an Oklahoma resident for purposes
955	1659		of a medical marijuana business application, all applicants shall
956	1660		provide proof of Oklahoma residency for at least two (2) years
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957	1688		immediately preceding the date of application or five (5) years of
958	1689		continuous Oklahoma residency during the preceding twenty-five (25)
959	1690		years immediately preceding the date of application. Sufficient
960	1691		documentation of proof of residency shall include a combination of
961	1692		the following:
962		-
963	1693		a. an unexpired Oklahoma-issued driver license,
964		-
965	1694		b. an Oklahoma identification card,
966		-
967	1695		c. a utility bill preceding the date of application,
968	1696		excluding cellular telephone and Internet bills,
969		-
970	1697		d. a residential property deed to property in the State
971	1698		of Oklahoma, and
972		-
973	1699		e. a rental agreement preceding the date of application
974	1700		for residential property located in the State of
975	1701		Oklahoma.
976		-
977	1702		Applicants that were issued a medical marijuana business license
978	1703		prior to August 30, 2019, are hereby exempt from the two-year or
979	1704		five-year Oklahoma residence requirement mentioned above;
980		-
981	1705		12. All license applicants shall be required to submit a
982	1706		registration with the Oklahoma State Bureau of Narcotics and
983	1707		Dangerous Drugs Control as provided in Sections 2-302 through 2-304
984	1708		of this title;
985		-	ENR. H. B. NO. 2095 Page 23
986	1709		13. All applicants shall establish their identity through
987	1710		submission of a color copy or digital image of one of the following
988	1711		unexpired documents:
989	1712
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990	1739		a. front of an Oklahoma driver license,
991		-
992	1740		b. front of an Oklahoma identification card,
993		-
994	1741		c. a United States passport or other photo identification
995	1742		issued by the United States government, or
996		-
997	1743		d. a tribal identification card approved for
998	1744		identification purposes by the Oklahoma Department of
999	1745		Public Safety; and
1000		-
1001	1746		14. All applicants shall submit an applicant photograph.
1002		-
1003	1747		F. The Authority shall review the medical marijuana business
1004	1748		application; approve, reject or deny the application; and mail the
1005	1749		approval, rejection, denial or status-update letter to the applicant
1006	1750		within ninety (90) business days of receipt of the application.
1007		-
1008	1751		G. 1. The Authority shall review the medical marijuana
1009	1752		business applications and conduct all investigations, inspections
1010	1753		and interviews before approving the application.
1011		-
1012	1754		2. Approved applicants shall be issued a medical marijuana
1013	1755		business license for the specific category applied under, which
1014	1756		shall act as proof of their approved status. Rejection and denial
1015	1757		letters shall provide a reason for the rejection or denial.
1016	1758		Applications may only be rejected or denied based on the applicant
1017	1759		not meeting the standards set forth in the provisions of the
1018	1760		Oklahoma Medical Marijuana and Patient Protection Act and Sections
1019	1761		420 through 426.1 of this title, improper completion of the
1020	1762		application, or for a reason provided for in the Oklahoma Medical
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1021	1790		Marijuana and Patient Protection Act and Sections 420 through 426.1
1022	1791		of this title. If an application is rejected for failure to provide
1023	1792		required information, the applicant shall have thirty (30) days to
1024	1793		submit the required information for reconsideration. No additional
1025	1794		application fee shall be charged for such reconsideration. Unless
1026	1795		the Authority determines otherwise, an application that has been
1027	1796		resubmitted but is still incomplete or contains errors that are not
1028	1797		clerical or typographical in nature shall be denied.
1029		-	ENR. H. B. NO. 2095 Page 24
1030	1798		3. Status-update letters shall provide a reason for delay in
1031	1799		either approval, rejection or denial should a situation arise in
1032	1800		which an application was submitted properly but a delay in
1033	1801		processing the application occurred.
1034		-
1035	1802		4. Approval, rejection, denial or status-update letters shall
1036	1803		be sent to the applicant in the same method the application was
1037	1804		submitted to the Authority.
1038		-
1039	1805		H. A license for a medical marijuana business, medical
1040	1806		marijuana research facility, medical marijuana education facility or
1041	1807		medical marijuana waste disposal facility shall not be issued to or
1042	1808		held by:
1043		-
1044	1809		1. A person until all required fees have been paid;
1045		-
1046	1810		2. A person who has been convicted of a nonviolent f elony
1047	1811		within two (2) years of the date of application, or within five (5)
1048	1812		years for any other felony;
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1049	1839
1050	1840		3. A corporation, if the criminal history of any of its
1051	1841		officers, directors or stockholders indicates that the officer,
1052	1842		director or stockholder has been convicted of a nonviolent felony
1053	1843		within two (2) years of the date of application, or within five (5)
1054	1844		years for any other felony;
1055		-
1056	1845		4. A person under twenty-five (25) years of age;
1057		-
1058	1846		5. A person licensed pursuant to this section who, during a
1059	1847		period of licensure, or who, at the time of application, has failed
1060	1848		to:
1061		-
1062	1849		a. file taxes, interest or penalties due related to a
1063	1850		medical marijuana business, or
1064		-
1065	1851		b. pay taxes, interest or penalties due related to a
1066	1852		medical marijuana business;
1067		-
1068	1853		6. A sheriff, deputy sheriff, po lice officer or prosecuting
1069	1854		officer, or an officer or employee of the Authority or municipality;
1070		-
1071	1855		7. A person whose authority to be a caregiver, as defined in
1072	1856		Section 427.2 of this title, has been revoked by the Authority; or
1073		-	ENR. H. B. NO. 2095 Page 25
1074	1857		8. A person who was involved in the management or operations of
1075	1858		any medical marijuana business, medical marijuana research facility,
1076	1859		medical marijuana education facility or medical marijuana waste
1077	1860		disposal facility that, after the initiation of a disciplinary
1078	1861		action, has had a medical marijuana license revoked, not renewed, or
1079	1862		surrendered during the five (5) years preceding submission of the
1080	1863		application and for the following violations:
1081	1864
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1082	1891		a. unlawful sales or purchases,
1083		-
1084	1892		b. any fraudulent acts, falsification of records or
1085	1893		misrepresentation to the Authority, medical marijuana
1086	1894		patient licensees, caregiver licensees or medical
1087	1895		marijuana business licensees,
1088		-
1089	1896		c. any grossly inaccurate or fraudulent reporting,
1090		-
1091	1897		d. threatening or harming any medical marijuana patient,
1092	1898		caregiver, medical practitioner or employee of the
1093	1899		Authority,
1094		-
1095	1900		e. knowingly or intentionally refusing to permit the
1096	1901		Authority access to premises or records,
1097		-
1098	1902		f. using a prohibited, hazardous substance for processing
1099	1903		in a residential area,
1100		-
1101	1904		g. criminal acts relating to t he operation of a medical
1102	1905		marijuana business, or
1103		-
1104	1906		h. any violations that endanger public health and safety
1105	1907		or product safety.
1106		-
1107	1908		I. In investigating the qualifications of an applicant or a
1108	1909		licensee, the Authority and municipalities may have acce ss to
1109	1910		criminal history record information furnished by a criminal justice
1110	1911		agency subject to any restrictions imposed by such an agency.
1111		-
1112	1912		J. The failure of an applicant or licensee to provide the
1113	1913		requested information by the Authority deadline may be groun ds for
1114	1914		denial of the application.
1115	1915
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1116	1942		K. All applicants and licensees shall submit information to the
1117	1943		Authority in a full, faithful, truthful and fair manner. The
1118		-	Authority may recommend denial of an application where the applicant ~~ENR. H. B. NO. 2095 Page 26~~
	1944	+	Authority may recommend denial of an application where the applicant
1119	1945		or licensee made misstatements, omissions, misrepresentations or
1120	1946		untruths in the application or in connection with the background
1121	1947		investigation of the applicant. This type of conduct may be grounds
1122	1948		for administrative action against the applicant or licensee. Typos
1123	1949		and scrivener errors shall not be grounds for denial.
1124		-
1125	1950		L. A licensed medical marijuana business premises shall be
1126	1951		subject to and responsible for compliance with applicable provisions
1127	1952		consistent with the zoning where such business is located as
1128	1953		described in the most recent versions of the Oklahoma Uniform
1129	1954		Building Code, the International Building Code and the International
1130	1955		Fire Code, unless granted an exemption by a municipality or
1131	1956		appropriate code enforcement entity.
1132		-
1133	1957		M. All medical marijuana business, medical marijuana research
1134	1958		facility, medical marijuana education facility and medical marijuana
1135	1959		waste disposal facility licensees shall pay the relevant licensure
1136	1960		fees prior to receiving licensure to operate.
1137		-
1138	1961		N. A medical marijuana business, medical marijuana research
1139	1962		facility, medical marijuana education facility or medical marijuana
1140	1963		waste disposal facility that attempts to renew its license after the
1141	1964		expiration date of the license shall pay a late renewal fee in an
1142	1965		amount to be determined by the Authority to reinstate the license.
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1143	1993		Late renewal fees are non refundable. A license that has been
1144	1994		expired for more than ninety (90) days shall not be renewed.
1145		-
1146	1995		O. No medical marijuana business, medical marijuana research
1147	1996		facility, medical marijuana education facility or medical marijuana
1148	1997		waste disposal facility shal l possess, sell or transfer medical
1149	1998		marijuana or medical marijuana products without a valid, unexpired
1150	1999		license issued by the Authority.
1151		-
1152	2000		P. No more than one medical marijuana commercial grower license
1153	2001		shall be issued for any one property.
1154		-
1155	2002		SECTION 6. AMENDATORY Sectio n 2, Chapter 342, O.S.L.
1156	2003		2022 (63 O.S. Supp. 2022, Section 427.14a), is amended to read as
1157	2004		follows:
1158		-
1159	2005		Section 427.14a A. Beginning August 1, 2022, and ending August
1160	2006		1, 2024 2026, the Oklahoma Medical Marijuana Authori ty shall, based
1161	2007		on the number of current medical marijuana business licenses for
1162	2008		dispensaries, processors, and commercial growers, declare and
1163		-	establish a moratorium on processing and issuing new medical ~~ENR. H. B. NO. 2095 Page 27~~
	2009	+	establish a moratorium on processing and issuing new medical
1164	2010		marijuana business licenses for dispensaries, processors, and
1165	2011		commercial growers. The Executive Director of the Authority shall
1166	2012		be authorized to terminate the moratorium at a ny time prior to
1167	2013		August 1, 2024 2026, if the Executive Director determines that all
1168	2014		pending licensing reviews, inspections, or investig ations have been
1169	2015		completed by the Authority.
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1170	2042
1171	2043		B. The provisions of this section shall not apply to the
1172	2044		renewal of a medical marijuana business license for a dispensary,
1173	2045		processor, or commercial grower under the provisions of Section
1174	2046		427.14 of Title 63 of the Oklahoma Statutes this title or to the
1175	2047		issuance of a medical marijuana business license necessitated by a
1176	2048		change in the ownership or location of a medical marijuana
1177	2049		dispensary, medical marijuana processor, or medical marijuana
1178	2050		commercial grower; provided, however, the Authority shall be
1179	2051		authorized to deny the request for issuance of a medical marijuana
1180	2052		business license due to a change in ownership if the licensee is
1181	2053		subject to any disciplinary action that may necessitate the
1182	2054		revocation, suspension, or nonrenewal of the medical marijuana
1183	2055		business license.
1184		-
1185	2056		C. The Authority shall review and process applications for
1186	2057		medical marijuana busine ss licenses for dispensaries, processors,
1187	2058		and commercial growers if applications were received on or before
1188	2059		August 1, 2022.
1189		-
1190	2060		D. The Authority shall promulgate rules as necessary to
1191	2061		implement the provisions of this section.
1192		-
1193	2062		SECTION 7. AMENDATORY 63 O.S. 2021, Section 427.16, as
1194	2063		amended by Section 16, Chapter 251, O.S.L. 2022 (63 O.S. Supp. 2022,
1195	2064		Section 427.16), is amended to r ead as follows:
1196	2065
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1197	2092		Section 427.16 A. There is hereby created a medical marijuana
1198	2093		transporter license as a category of the medical marijuana business
1199	2094		license.
1200		-
1201	2095		B. Pursuant to Sect ion 424 of this title, the Oklahoma Medical
1202	2096		Marijuana Authority shall issue a medical marijuana transporter
1203	2097		license to licensed medical marijuana commercial growers, processors
1204	2098		and dispensaries upon issuance of such licenses and upon each
1205	2099		renewal. Medical marijuana transporter licenses shall also be
1206	2100		issued to licensed medical marijuana research facilities, medical
1207	2101		marijuana education facilities and medical marijuana testing
1208		-	laboratories upon issuance of such licenses and upon each renewal. ENR. H. B. NO. 2095 Page 28
1209		-
	2102	+	laboratories upon issuance of such licenses and upon each renewal.
1210	2103		C. A medical marijuana transporter license may also be issued
1211	2104		to qualifying applicants who are registered with the Secretary of
1212	2105		State and otherwise meet the requirements for a medical marijuana
1213	2106		business license set forth in the Oklahoma Medical Marijuana and
1214	2107		Patient Protection Act and the requirements set forth in this
1215	2108		section to provide logistics, distribution and storage of medical
1216	2109		marijuana, medical marijuana concentrate and medical marijuana
1217	2110		products.
1218		-
1219	2111		D. A medical marijuana transporter license shall be valid for
1220	2112		one (1) year and shall not be transferred with a change of
1221	2113		ownership. A licensed medical marijuana transporter shall be
1222	2114		responsible for all medical marijuana, medical marijuana concentrate
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1223	2142		and medical marijuana products once the transporter takes con trol of
1224	2143		the product.
1225		-
1226	2144		E. A transporter license shall be required for any person or
1227	2145		entity to transport or transfer medical marijuana, medical marijuana
1228	2146		concentrate or medical marijuana products from a licensed medical
1229	2147		marijuana business to another medical marijuana business, or from a
1230	2148		medical marijuana business to a medical marijuana research facility
1231	2149		or medical marijuana education facility.
1232		-
1233	2150		F. A medical marijuana transporter licensee may contract with
1234	2151		multiple licensed medical marijuana businesses.
1235		-
1236	2152		G. A medical marijuana transporter may maintain a licensed
1237	2153		premises to temporarily store medical marijuana, medical marijuana
1238	2154		concentrate and medical marijuana products and to use as a
1239	2155		centralized distribution point. A medical marijuana transporter may
1240	2156		store and distribute medical marijuana, medical marijuana
1241	2157		concentrate and medical marijuana products from the licensed
1242	2158		premises. The licensed premises shall meet all security
1243	2159		requirements applicable to a medical marijuana business.
1244		-
1245	2160		H. A medical marijuana transp orter licensee shall use the seed-
1246	2161		to-sale tracking system developed pursuant to the Oklahoma Medical
1247	2162		Marijuana and Patient Protection Act to create shipping manifests
1248	2163		documenting the transport of medical marijuana, medical marijuana
1249	2164		concentrate and medical marijuana products throughout the state.
1250	2165
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1251	2192		I. A licensed medical marijuana transporter may maintain and
1252	2193		operate one or more warehouses in the state to handle medical
1253		-	marijuana, medical marijuana concentrate and medical marijuana ~~ENR. H. B. NO. 2095 Page 29~~
	2194	+	marijuana, medical marijuana concentrate and medical marijuana
1254	2195		products. Each location sh all be registered and inspected by the
1255	2196		Authority prior to its use.
1256		-
1257	2197		J. With the exception of a lawful transfer between medical
1258	2198		marijuana businesses who are licensed to operate at the same
1259	2199		physical address, all medical marijuana, medical marijuana
1260	2200		concentrate and medical marijuana products shall be transported:
1261		-
1262	2201		1. In vehicles equipped with Global Positioning System (GPS)
1263	2202		trackers;
1264		-
1265	2203		2. In a locked container and clearly labeled "Medical Marijuana
1266	2204		or Derivative"; and
1267		-
1268	2205		3. In a secured area of the vehicle that i s not accessible by
1269	2206		the driver during transit.
1270		-
1271	2207		K. A transporter agent may possess marijuana at any location
1272	2208		while the transporter agent is transferring marijuana to or from a
1273	2209		licensed medical marijuana business, licensed medical marijuana
1274	2210		research facility or licensed medical marijuana education facility.
1275	2211		The Authority shall administer the provisions of this section and
1276	2212		the Authority, the Oklahoma State Bureau of Narcotics and Dangerous
1277	2213		Drugs Control, the Oklahoma State Bureau of Investigation , and the
1278	2214		Attorney General shall have the auth ority to enforce the provisions
1279	2215		of this section concerning transportation.
1280	2216
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1281	2243		L. The Authority shall issue a transporter agent license to
1282	2244		individual agents, employees, officers or owners of a transporter
1283	2245		license in order for the individual to qualify to transport medical
1284	2246		marijuana, medical marijuana concentrate or medical marijuana
1285	2247		products.
1286		-
1287	2248		M. The annual fee for a transporter agent license shall be
1288	2249		Twenty-five Dollars ($25.00) and shall be paid by the transporter
1289	2250		license holder or the individual applicant. Transporter license
1290	2251		reprints shall be Twenty Dollars ($20.00).
1291		-
1292	2252		N. The Authority shall issue each transporter agent a registry
1293	2253		identification card within thirty (30) days of receipt of:
1294		-
1295	2254		1. The name, address and date of birth of the person;
1296		-
1297	2255		2. Proof of current state residency;
1298		-	ENR. H. B. NO. 2095 Page 30
1299	2256		3. Proof of identity as required for a medical marijuana
1300	2257		business license;
1301		-
1302	2258		4. Possession of a valid state-issued driver license;
1303		-
1304	2259		5. Verification of employment with a licensed transporter;
1305		-
1306	2260		6. The application and affiliated fee; and
1307		-
1308	2261		7. A copy of the criminal background check conducted by the
1309	2262		Oklahoma State Bureau of Investigation, paid for by the applicant.
1310		-
1311	2263		O. If the transporter agent application is denied, the
1312	2264		Authority shall notify the transporter in writing of the reason for
1313	2265		denying the registry identification card.
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1314	2292
1315	2293		P. A registry identification card for a transporter shall
1316	2294		expire one (1) year after the date of issuance or upon notification
1317	2295		from the holder of the transporter l icense that the transporter
1318	2296		agent ceases to work as a transporter.
1319		-
1320	2297		Q. The Authority may revoke the registry identification card of
1321	2298		a transporter agent who knowingly violates any provision of this
1322	2299		section, and the transporter is subject to any other penalties
1323	2300		established by law for the violation.
1324		-
1325	2301		R. The Authority may revoke or suspend the transporter license
1326	2302		of a transporter that the Authority determines knowingly aided or
1327	2303		facilitated a violation of any provision of this se ction, and the
1328	2304		license holder is subject to any other penalties established in law
1329	2305		for the violation.
1330		-
1331	2306		S. Vehicles used in the transport of medical marijuana or
1332	2307		medical marijuana product shall be:
1333		-
1334	2308		1. Insured at or above the legal requirements in this state;
1335		-
1336	2309		2. Capable of securing medical marijuana during transport; and
1337		-
1338	2310		3. In possession of a shipping container a s defined in Section
1339	2311		427.2 of this title capable of securing all transported products.
1340		-
1341	2312		T. Prior to the transport of any medical marijuan a, medical
1342	2313		marijuana concentrate or medical marijuana products, an inventory
1343		-	manifest shall be prepared at the originat ion point of the medical ~~ENR. H. B. NO. 2095 Page 31~~
	2314	+	manifest shall be prepared at the originat ion point of the medical
1344	2315		marijuana. The inventory manifest shall include the following
1345	2316		information:
1346	2317
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1347	2344		1. For the origination point of the medical marijuana:
1348		-
1349	2345		a. the licensee number for the commercial grower,
1350	2346		processor or dispensary,
1351		-
1352	2347		b. address of originatio n of transport, and
1353		-
1354	2348		c. name and contact information for the originating
1355	2349		licensee;
1356		-
1357	2350		2. For the end recipient license holder of the medical
1358	2351		marijuana:
1359		-
1360	2352		a. the license number for the dispensary, commercial
1361	2353		grower, processor, research facility or education
1362	2354		facility destination,
1363		-
1364	2355		b. address of the destination, and
1365		-
1366	2356		c. name and contact information for the destination
1367	2357		licensee;
1368		-
1369	2358		3. Quantities by weig ht or unit of each type of medical
1370	2359		marijuana product contained in transport;
1371		-
1372	2360		4. The date of the transport and the appr oximate time of
1373	2361		departure;
1374		-
1375	2362		5. The arrival date and estimated time of arrival;
1376		-
1377	2363		6. Printed names and signatures of the personnel accompan ying
1378	2364		the transport; and
1379		-
1380	2365		7. Notation of the transporting licensee.
1381		-
1382	2366		U. 1. A separate inventory manifest shall be prepa red for each
1383	2367		licensee receiving the medical marijuana.
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1384	2394
1385	2395		2. The transporter agent shall provide the other medical
1386	2396		marijuana business with a copy of the inventory manifest at the time
1387	2397		the product changes hands and after the other licensee prints his or
1388		-	her name and signs the inventory manifest. ENR. H. B. NO. 2095 Page 32
1389		-
	2398	+	her name and signs the inventory manifest.
1390	2399		3. A receiving licensee shall refuse to accept any medical
1391	2400		marijuana, medical marijuana concentrat e or medical marijuana
1392	2401		products that are not accompanied by an inventory manifest.
1393		-
1394	2402		4. Originating and receiving licens ees shall maintain copies of
1395	2403		inventory manifests and logs of quantities of medical marijuana
1396	2404		received for seven (7) years from date of re ceipt.
1397		-
1398	2405		SECTION 8. AMENDATORY 63 O.S. 2021, Section 427.17, as
1399	2406		last amended by Section 1, Chapter 353, O.S.L. 2022 (63 O.S. Supp.
1400	2407		2022, Section 427.17), is amended to read as follows:
1401		-
1402	2408		Section 427.17 A. There is hereby created a medical mar ijuana
1403	2409		testing laboratory licens e as a category of the medical marijuana
1404	2410		business license. The Oklahoma Medical Marijuana Authority is, the
1405	2411		Oklahoma State Bureau of Narcotics and Dangerous Drugs Control, the
1406	2412		Oklahoma State Bureau of Investigation, and the Attorney General are
1407	2413		hereby enabled to monitor, inspect and audit a licensed testing
1408	2414		laboratory under the Oklahoma Medical Marijuana and Patient
1409	2415		Protection Act.
1410		-
1411	2416		B. 1. The Authority is hereby authorized to contract with a
1412	2417		private laboratory for the purpose of conducting compliance testing
1413	2418		of medical marijuana testing laboratories licensed in this state.
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1414	2446		Any such laboratory under contract for comp liance testing shall be
1415	2447		prohibited from conducting any other commercial medical marijuana
1416	2448		testing in this state. The laboratory the Authority contracts with
1417	2449		for compliance testing shall not employ, or be owned by, the
1418	2450		following:
1419		-
1420	2451		a. any individual that has a direct or indirect interest
1421	2452		in a licensed medical marijuana business, or
1422		-
1423	2453		b. any individual or his or her spouse, parent, child,
1424	2454		spouse of a child, sibling or spouse of a sibling that
1425	2455		has an application for a medical marijuana business
1426	2456		license pending before the Authority or is a member of
1427	2457		the board of directors of a medical marijuana
1428	2458		business, or is an individual financially interested
1429	2459		in any licensee or medical marijuana business located
1430	2460		within this state.
1431		-
1432	2461		2. The private laboratory under contract with the Authority for
1433		-	compliance testing and a board or committee comprised of licensed ~~ENR. H. B. NO. 2095 Page 33~~
	2462	+	compliance testing and a board or committee comprised of licensed
1434	2463		Oklahoma medical marijuana laboratories currently accredited by the
1435	2464		International Organization for Standardization (ISO) shall provide
1436	2465		to the Authority its recommendations for all equipment and standards
1437	2466		to be utilized by licensed medical marijuana testing laboratories
1438	2467		when testing samples of medical marijuana, medical marijuana
1439	2468		concentrate, and medical marijuana products as well as standard
1440	2469		operating procedures when extracting and testing medical marijuana,
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	2496	+
1441	2497		medical marijuana concentrate, and medical marijuana products. The
1442	2498		recommendations shall be submitted to the Authority no later than
1443	2499		June 1, 2023. The Authority shall have ninety (90) days from the
1444	2500		date it receives the recommendations to promulgate new rules or
1445	2501		modify its current rules for laboratory standards and testing.
1446	2502		Beginning June 1, 2024, medical marijuana testing laboratories
1447	2503		renewing their medical marijuana business license shall be subject
1448	2504		to and comply with any new or modified rules relating to the testing
1449	2505		of medical marijuana, medical marijuana concentrate, and medical
1450	2506		marijuana products. The refusal or failure of a medical marijuana
1451	2507		testing laboratory licensee to comply with new or modified rules
1452	2508		relating to laboratory standards and testing procedures promulgated
1453	2509		under the provisions of this paragraph shall result in the permanent
1454	2510		revocation of the medical marijuana testing laboratory license.
1455		-
1456	2511		C. The Authority shall develop acceptable testin g practices
1457	2512		including, but not limited to, testing, standards, quality control
1458	2513		analysis, equipment certification and calibration, and chemical
1459	2514		identification and substances used.
1460		-
1461	2515		D. A person who is a direct beneficial owner of a medical
1462	2516		marijuana dispensary, medical mar ijuana commercial grower or medical
1463	2517		marijuana processor shall not be an owner of a laboratory.
1464		-
1465	2518		E. A laboratory and a laboratory applicant shall comply with
1466	2519		all applicable local ordinances including, but not limited to,
1467	2520		zoning, occupancy, licensing and bui lding codes.
1468	2521
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1469	2548		F. A separate license shall be required for each specific
1470	2549		laboratory.
1471		-
1472	2550		G. A medical marijuana testing laboratory license may be issued
1473	2551		to a person who perform s testing on medical marijuana and medical
1474	2552		marijuana products for medical marijuana businesses, medical
1475	2553		marijuana research facilities, medical marijuana education
1476	2554		facilities, and testing on marijuana and marijuana products grown or
1477	2555		produced by a patient or caregiver on behalf of a patient, upon
1478		-	verification of registration . A medical marijuana testing ~~ENR. H. B. NO. 2095 Page 34~~
	2556	+	verification of registration . A medical marijuana testing
1479	2557		laboratory may also conduct research related to the development and
1480	2558		improvement of its testing practices and procedures. No state-
1481	2559		approved medical marijuana testing facility shall operate unless a
1482	2560		medical laboratory director is on site duri ng operational hours.
1483		-
1484	2561		H. Laboratory applicants and licensees shall comply with the
1485	2562		application requirements of this section and shall submit such other
1486	2563		information as required for a medical marijuana business applicant,
1487	2564		in addition to any information the Authority may request for initial
1488	2565		approval and periodic evaluations during the approval period.
1489		-
1490	2566		I. A medical marijuana testing laboratory may accept samples of
1491	2567		medical marijuana, medical marijuana concentrate or medical
1492	2568		marijuana product from a medical ma rijuana business, medical
1493	2569		marijuana research facility or medical marijuana education facility
1494	2570		for testing purposes only, which purposes may include the provision
1495	2571		of testing services for samples submitted by a medical marijuana
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	2598	+
1496	2599		business for product developm ent. The Authority may require a
1497	2600		medical marijuana business to submit a sample of medical marijuana,
1498	2601		medical marijuana concentrate or medical marijuana product to a
1499	2602		medical marijuana testing or quality assurance laboratory upon
1500	2603		demand.
1501		-
1502	2604		J. A medical marijuana testing laboratory may accept samples of
1503	2605		medical marijuana, medical marijuana concentrate or medical
1504	2606		marijuana product from an individual person for testing only under
1505	2607		the following conditions:
1506		-
1507	2608		1. The individual person is a patient or caregi ver pursuant to
1508	2609		the Oklahoma Medical Marijuana and Patient Protection Act or is a
1509	2610		participant in an approved clinical or observational study conducted
1510	2611		by a research facility; and
1511		-
1512	2612		2. The medical marijuana testing laboratory shal l require the
1513	2613		patient or caregiver to produce a valid patient license and current
1514	2614		and valid photo identification.
1515		-
1516	2615		K. A medical marijuana testing laboratory may transfer samples
1517	2616		to another medical m arijuana testing laboratory for testing. All
1518	2617		laboratory reports provided to or by a m edical marijuana business or
1519	2618		to a patient or caregiver shall identify the medical marijuana
1520	2619		testing laboratory that actually conducted the test.
1521		-
1522	2620		L. A medical marijuana t esting laboratory may utilize a
1523		-	licensed medical marijuana transporter to transport sa mples of ~~ENR. H. B. NO. 2095 Page 35~~
	2621	+	licensed medical marijuana transporter to transport sa mples of
1524	2622		medical marijuana, medical marijuana concentrate and medical
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	2649	+
1525	2650		marijuana product for testing, in accordance with the Oklahoma
1526	2651		Medical Marijuana and Patient Protect ion Act and the rules adopted
1527	2652		pursuant thereto, between th e originating medical mariju ana business
1528	2653		requesting testing services and the destination laboratory
1529	2654		performing testing services.
1530		-
1531	2655		M. The medical marijuana testing laboratory shall establish
1532	2656		policies to prevent the existence of or appearance of undue
1533	2657		commercial, financial or other inf luences that may diminish the
1534	2658		competency, impartiality and integrity of the testing processes or
1535	2659		results of the laboratory, or that may diminish public confidence in
1536	2660		the competency, impartiality and integrity of the testing proc esses
1537	2661		or results of the labo ratory. At a minimum, employees, owners or
1538	2662		agents of a medical marijuana testing laboratory who participate in
1539	2663		any aspect of the analysis and results of a sample are pro hibited
1540	2664		from improperly influencing the testing process, i mproperly
1541	2665		manipulating data or improperly benefiting from any ongoing
1542	2666		financial, employment, personal or business relationship with the
1543	2667		medical marijuana business that provided the sample. A medical
1544	2668		marijuana testing laboratory shall not test samples for any medical
1545	2669		marijuana business in which an owner, employee or agent of the
1546	2670		medical marijuana testing laboratory has any form of ownership or
1547	2671		financial interest in the medical marijuana business.
1548	2672
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	2698	+
1549	2699		N. The Authority, pursuant to rules promulgated by the
1550	2700		Executive Director of the Authority , shall develop standards,
1551	2701		policies and procedures as necessary for:
1552		-
1553	2702		1. The cleanliness and orderliness of a laboratory premises and
1554	2703		the location of the laboratory in a sec ure location, and inspection,
1555	2704		cleaning and maintenance of any equipment or utensils used for the
1556	2705		analysis of test samples;
1557		-
1558	2706		2. Testing procedures, testing standards for cannabinoid and
1559	2707		terpenoid potency and safe levels of contaminants, and remediation
1560	2708		procedures;
1561		-
1562	2709		3. Controlled access areas for storage of medical marijuana and
1563	2710		medical marijuana product test samples, waste and reference
1564	2711		standards;
1565		-
1566	2712		4. Records to be retained and computer systems to be utilized
1567	2713		by the laboratory;
1568		-	ENR. H. B. NO. 2095 Page 36
1569	2714		5. The possession, storag e and use by the laboratory of
1570	2715		reagents, solutions and reference standards;
1571		-
1572	2716		6. A certificate of analysis (COA) for each lot of reference
1573	2717		standard;
1574		-
1575	2718		7. The transport and disposal of unused marijuana, marijuana
1576	2719		products and waste;
1577		-
1578	2720		8. The mandatory use by a laboratory of an inventory tracking
1579	2721		system to ensure all harvest and production batches or samples
1580	2722		containing medical marijuana, medical marijuana concentrate or
	2723	+
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1581	2750		medical marijuana products are identified and tracked from the point
1582	2751		they are transferred from a medical marijuana business, a patient or
1583	2752		a caregiver through the point of transfer, destruction or disposal.
1584	2753		The inventory tracking system reporting shall include the results of
1585	2754		any tests that are conducted on medical marijuana, medical marijuana
1586	2755		concentrate or medical marijuana product;
1587		-
1588	2756		9. Standards of performance;
1589		-
1590	2757		10. The employment of laboratory personnel;
1591		-
1592	2758		11. A written standard operating procedure manual to be
1593	2759		maintained and updated by the laboratory;
1594		-
1595	2760		12. The successful participation in a proficiency testing
1596	2761		program approved by the Executive Director for each testing category
1597	2762		listed in this section, in order to obtain and maintain
1598	2763		certification;
1599		-
1600	2764		13. The establishment of and adherence to a quality assurance
1601	2765		and quality control program to ensure sufficient monitoring of
1602	2766		laboratory processes and quality of results reported;
1603		-
1604	2767		14. The immediate recall of medical marijuana or medical
1605	2768		marijuana products that test above allowable thresholds or are
1606	2769		otherwise determined to be unsafe;
1607		-
1608	2770		15. The establishment by the laboratory of a system to document
1609	2771		the complete chain of custody for samples from receipt through
1610	2772		disposal;
1611	2773
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1612	2800		16. The establishment by the laboratory of a system to retain
1613		-	and maintain all required records, including business records, and ~~ENR. H. B. NO. 2095 Page 37~~
	2801	+	and maintain all required records, including business records, and
1614	2802		processes to ensure results are reported in a timely and accurate
1615	2803		manner; and
1616		-
1617	2804		17. Any other aspect of laboratory testing of medical marijuana
1618	2805		or medical marijuana product deemed necessary by the Executive
1619	2806		Director.
1620		-
1621	2807		O. A medical marijuana testing laboratory shall promptly
1622	2808		provide the Authority or designee of the Authority access to a
1623	2809		report of a test and any underlying data that is conducted on a
1624	2810		sample at the request of a medical marijuana business or qualified
1625	2811		patient. A medical marijuana testing laboratory shall also provide
1626	2812		access to the Authority or designee of the Authority to laboratory
1627	2813		premises and to any material or information requested by the
1628	2814		Authority to determine compliance w ith the requirements of t his
1629	2815		section.
1630		-
1631	2816		P. A medical marijuana testing laboratory shall retain all
1632	2817		results of laboratory tests conducted on marijuana or products for a
1633	2818		period of at least seven (7) years and shall make them available to
1634	2819		the Authority upon request.
1635		-
1636	2820		Q. A medical marijuana testing laboratory shall test samples
1637	2821		from each harvest batch or product batch, as appropriate, of medical
1638	2822		marijuana, medical marijuana concentrate and medical marijuana
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1639	2850		product for each of the following categories of testing , consistent
1640	2851		with standards developed by the Executive Director:
1641		-
1642	2852		1. Microbials;
1643		-
1644	2853		2. Mycotoxins;
1645		-
1646	2854		3. Residual solvents;
1647		-
1648	2855		4. Pesticides;
1649		-
1650	2856		5. Tetrahydrocannabinol (THC) and other cannabinoid potency;
1651		-
1652	2857		6. Terpenoid type and concentration; and
1653		-
1654	2858		7. Heavy metals.
1655		-
1656	2859		R. A licensed medical marijuana testing laboratory shall test
1657	2860		each individual harvest batch. A grower shall separate each harvest
1658		-	lot of usable marijuana into harvest batches containing no more than ~~ENR. H. B. NO. 2095 Page 38~~
	2861	+	lot of usable marijuana into harvest batches containing no more than
1659	2862		fifteen (15) pounds, with the exception of any plant material to be
1660	2863		sold to a licensed processor for the purposes of turning the plant
1661	2864		material into concentrate which may be separated into harvest
1662	2865		batches of no more than fifty (50) pounds. A processor shall
1663	2866		separate each medical marijuana production lot int o production
1664	2867		batches containing no more than four (4) liters of concentrate or
1665	2868		nine (9) pounds for nonliquid products, and for final products, the
1666	2869		Oklahoma Medical Marijuana Authority shall be authorized to
1667	2870		promulgate rules on final products as necessary. Provided, however,
1668	2871		the Authority shall not require testing of final products less often
1669	2872		than every one thousand (1,000) grams of THC. As used in this
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1670	2900		subsection, "final products" shall include, but not be limited to,
1671	2901		cookies, brownies, candies, gummies, beverages and chocolates.
1672		-
1673	2902		S. Medical marijuana testing laboratory licensure shall be
1674	2903		contingent upon successful on-site inspection, successful
1675	2904		participation in proficiency testing and ongoing compliance with the
1676	2905		applicable requirements in this section.
1677		-
1678	2906		T. A medical marijuana testing laboratory shall be inspected
1679	2907		prior to initial licensure and up to two (2) times per year
1680	2908		thereafter by an inspector approved by the Authority. The Authority
1681	2909		may enter the licensed premises of a testing laboratory to conduct
1682	2910		investigations and additional inspections when the Authority
1683	2911		believes an investigation or additional inspection is necessary due
1684	2912		to a possible violation of applicable laws, rules or regulations.
1685		-
1686	2913		U. Medical marijuana testing laboratories shall obtain
1687	2914		accreditation by an accrediting body approved by the Executive
1688	2915		Director within one (1) year of the date the initial license is
1689	2916		issued. Renewal of any medical marijuana tes ting laboratory license
1690	2917		shall be contingent upon accreditation in accordance with this
1691	2918		subsection. All medical marijuana testing laboratories shall obtain
1692	2919		accreditation prior to applying for and receiving a medical
1693	2920		marijuana testing laboratory license.
1694		-
1695	2921		V. Unless authorized by the provisions of this section, a
1696	2922		commercial grower shall not tran sfer or sell medical marijuana and a
1697	2923		processor shall not transfer, sell or process into a concentrate or
	2924	+
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1698	2951		product any medical marijuana, medical marijuana concentrate o r
1699	2952		medical marijuana product unless samples from each harvest batch or
1700	2953		production batch from which that medical marijuana, medical
1701	2954		marijuana concentrate or medical marijuana product was derived has
1702	2955		been tested by a medical marijuana testing laboratory and passed all
1703		-	contaminant tests required by the Oklahoma Medical ~~Marijua na~~ and ~~ENR. H. B. NO. 2095 Page 39~~
	2956	+	contaminant tests required by the Oklahoma Medical Marijuana and
1704	2957		Patient Protection Act and applicable laws, rules and regulations.
1705	2958		A licensed commercial grower may transfer medical marijuana that has
1706	2959		failed testing to a licensed processor only for the purposes of
1707	2960		decontamination or remediation and only in accordance with the
1708	2961		provisions of the Oklahoma Medical Marijuana and Patient Protection
1709	2962		Act and the rules and regulations promulgated by the Executive
1710	2963		Director. Remediated and decontaminated medical marijuana may be
1711	2964		returned only to the originating licensed commercial grower.
1712		-
1713	2965		W. Kief shall not be transferred or sold except as authorized
1714	2966		in the rules and regulations promulgated by the Executive Director.
1715		-
1716	2967		SECTION 9. AMENDATORY 63 O.S. 2021, Section 427.19, as
1717	2968		amended by Section 19, Chapter 251, O.S.L. 2022 (63 O.S. Supp. 2022,
1718	2969		Section 427.19), is amended to read as follows:
1719		-
1720	2970		Section 427.19 A. A medical marijuana research license may be
1721	2971		issued to a person to grow, cultivate, possess and transfer, by sale
1722	2972		or donation, marijuana pursuant to the Oklahoma Medical Marijuana
1723	2973		and Patient Protection Act for the limited research purposes
1724	2974		identified in this section.
1725	2975
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1726	3002		B. The annual fee for a medical marijuana research license
1727	3003		shall be Five Hundred Dollars ($500.00) and shall be payable by an
1728	3004		applicant for a medical mari juana research license upon submission
1729	3005		of his or her application to the Oklahoma Medical Marijuana
1730	3006		Authority.
1731		-
1732	3007		C. A medical marijuana research license may be issued for the
1733	3008		following research purposes:
1734		-
1735	3009		1. To test chemical potency and composition levels;
1736		-
1737	3010		2. To conduct clinical investigations of marijuana-derived
1738	3011		medicinal products;
1739		-
1740	3012		3. To conduct research on the efficacy and safety of
1741	3013		administering marijuana as part of medical treatment;
1742		-
1743	3014		4. To conduct genomic, horticultural or agricultural research;
1744	3015		and
1745		-
1746	3016		5. To conduct research on marijuana-affiliated products or
1747	3017		systems.
1748		-	ENR. H. B. NO. 2095 Page 40
1749	3018		D. 1. As part of the application process for a medical
1750	3019		marijuana research license, an applicant shall submit to the
1751	3020		Authority a description of the research that the applicant intends
1752	3021		to conduct and whether the research will be conducted with a public
1753	3022		institution or using public money. If the research will not be
1754	3023		conducted with a public institution or with public money, the
1755	3024		Authority shall grant the application if it determines that the
1756	3025		applicant meets the criteria in this section.
1757	3026
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1758	3053		2. If the research will be co nducted with a public institution
1759	3054		or public money, the Authority shall review the research project of
1760	3055		the applicant to determine if it meets the requirements of this
1761	3056		section and to assess the f ollowing:
1762		-
1763	3057		a. the quality, study design, value or impact of the
1764	3058		project,
1765		-
1766	3059		b. whether the applicant has the appropriate personnel,
1767	3060		expertise, facilities, infrastructure, funding and
1768	3061		human, animal or other approvals in place to
1769	3062		successfully conduct the projec t, and
1770		-
1771	3063		c. whether the amount of marijuana to be grown by the
1772	3064		applicant is consistent with the scope and goals of
1773	3065		the project.
1774		-
1775	3066		3. If the Authority determines that the research project does
1776	3067		not meet the requirements of this section or assesses the criteri a
1777	3068		to be inadequate, the application shall be denied.
1778		-
1779	3069		E. A medical marijuana research licensee may only transfer, by
1780	3070		sale or donation, marijuana grown within its operation to other
1781	3071		medical marijuana research licensees. The Authority may revoke a
1782	3072		medical marijuana research license for violations of this section
1783	3073		and any other violation of the Oklahoma Medical Marijuana and
1784	3074		Patient Protection Act.
1785	3075
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1786	3102		F. A medical marijuana research licensee may contract to
1787	3103		perform research in conjunction with a public higher education
1788	3104		research institution or another medical marijuana research licensee.
1789		-
1790	3105		G. The growing, cultivating, possessing or transferring, by
1791	3106		sale or donation, of marijuana in accordance with this section and
1792	3107		the rules promulgated pursuant thereto, by a medical marijuana
1793		-	research licensee shall not be a criminal or civil offense under ~~ENR. H. B. NO. 2095 Page 41~~
	3108	+	research licensee shall not be a criminal or civil offense under
1794	3109		state law. A medical marijuana research license shall be issued in
1795	3110		the name of the applicant and shall specify the location in this
1796	3111		state at which the medical marijuana research licensee intends to
1797	3112		operate. A medical marijuana research licensee shall not allow any
1798	3113		other person to exercise the privilege of the license.
1799		-
1800	3114		H. If the research conducted includes a public institution or
1801	3115		public money, the Authority shall review any reports made by medical
1802	3116		marijuana research licensees under state licensing authority rule
1803	3117		and provide the Authority with its determination on whether the
1804	3118		research project continues to meet research qualifications pursuant
1805	3119		to this section.
1806		-
1807	3120		I. Submission of an application for a medical marijuana
1808	3121		research license shall constitute permission for entry to and
1809	3122		inspection of the facility o f the medical marijuana research
1810	3123		licensee during hours of operation and other reasonable times.
1811	3124		Refusal to permit such entry for inspection shall constitute grounds
1812	3125		for the nonrenewal, suspension, or revocation of the medical
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	3152	+
1813	3153		marijuana research license. The Authority, the Oklahoma State
1814	3154		Bureau of Narcotics and Dangerous Drugs Control, the Oklahoma State
1815	3155		Bureau of Investigation, and the Attorney Gen eral may perform an
1816	3156		unannounced, on-site inspection of the operations and any facility
1817	3157		of the medical marijuana research licensee. If the Authority
1818	3158		receives a complaint concerning noncompliance by a medical marijuana
1819	3159		research licensee, the Authority , the Oklahoma State Bureau of
1820	3160		Narcotics and Dangerous Drug s Control, the Oklahoma State Bureau of
1821	3161		Investigation, and the Attorney General may conduct additional
1822	3162		unannounced, on-site inspections beyond the required biannual
1823	3163		inspections provided for in Section 427.6 of this title. The
1824	3164		Authority shall refer all complaints alleging criminal activity that
1825	3165		are made against a licensed medical marijuana research facility to
1826	3166		appropriate state or local law enforcement authorities.
1827		-
1828	3167		SECTION 10. AMENDATORY 63 O.S. 2021, Section 427.20, as
1829	3168		amended by Section 20, Chap ter 251, O.S.L. 2022 (63 O.S. Supp. 2022,
1830	3169		Section 427.20), is amended to read a s follows:
1831		-
1832	3170		Section 427.20 A. There is hereby created a medical marijuana
1833	3171		education facility license.
1834		-
1835	3172		B. A medical marijuana education facility license may be issued
1836	3173		to a person to possess or cultivate mar ijuana for the limited
1837	3174		education and research purposes identified in this section.
1838		-	ENR. H. B. NO. 2095 Page 42
1839	3175		C. A medical marijuana education facility license m ay only be
1840	3176		granted to a not-for-profit organization structured und er Section
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1841	3204		501(c)(3) of the Internal Revenue Code, oper ating as a not-for-
1842	3205		profit organization in this state registered with the Office of the
1843	3206		Secretary of State.
1844		-
1845	3207		D. A medical marijuana educa tion facility license may only be
1846	3208		granted upon the submission of an annual fee of Five Hundred Dollars
1847	3209		($500.00) to the Oklahoma Medical Marijuana Authority.
1848		-
1849	3210		E. A medical marijuana education facility license may be issued
1850	3211		for the following education and research purposes:
1851		-
1852	3212		1. To test cultivation techniques, str ategies, infrastructure,
1853	3213		mediums, lighting and other related technology;
1854		-
1855	3214		2. To demonstrate cultivation techniques, strategies,
1856	3215		infrastructure, mediums, lighting and other related technology;
1857		-
1858	3216		3. To demonstrate the application and use of product
1859	3217		manufacturing technologies;
1860		-
1861	3218		4. To conduct genomic, horticultural or agricultural research;
1862	3219		and
1863		-
1864	3220		5. To conduct research on marijuana-affiliated products or
1865	3221		systems.
1866		-
1867	3222		F. As part of the application process for a medical marijuana
1868	3223		education facility license, an applica nt shall submit to the
1869	3224		Authority a description of the project and curriculum that the
1870	3225		applicant intends to conduct and whether the project and curriculum
1871	3226		will be conducted with a public institution or using public money.
1872	3227		If the project and curriculum will not be conducted with a public
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1873	3255		institution or with public money, the Authority shall grant the
1874	3256		application. If the research will be conducted with a public
1875	3257		institution or public money, the Authority shall review the research
1876	3258		project of the applicant to d etermine if it meets the requirements
1877	3259		of this section and to assess the following:
1878		-
1879	3260		1. The quality, study design, value or impact of the project;
1880		-
1881	3261		2. Whether the applicant has the appropriate personnel,
1882	3262		expertise, facilities, infrastructure, funding and hu man, animal or
1883		-	other approvals in place to successfully conduct the project; and ENR. H. B. NO. 2095 Page 43
1884		-
	3263	+	other approvals in place to successfully conduct the project; and
1885	3264		3. Whether the amount of marijuana to be grown by the applicant
1886	3265		is consistent with the scope and goals of the project.
1887		-
1888	3266		If the Authority determines that the education project does not meet
1889	3267		the requirements of this section or assesses the criteria to be
1890	3268		inadequate, the application shall be denied.
1891		-
1892	3269		G. A medical marijuana education facility licensee may only
1893	3270		transfer, by sale or donation, marijuana grown within its operation
1894	3271		to medical marijuana research licensees. The Authority may revoke a
1895	3272		medical marijuana education facility license for violations of this
1896	3273		section and any other violation of applicable laws, rules and
1897	3274		regulations.
1898		-
1899	3275		H. A medical marijuana education fac ility licensee may contract
1900	3276		to perform research in conjunction with a public higher education
1901	3277		research institution or another research licensee.
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1902	3304
1903	3305		I. The growing, cultivating, possessing or transferring, by
1904	3306		sale or donation, of marijuana in accordance with this section and
1905	3307		the rules promulgated pursuant thereto, by a medical marijuana
1906	3308		education facility licensee shall not be a criminal or civil offense
1907	3309		under state law. A medical marijuana education facility license
1908	3310		shall be issued in the name of the applica nt and shall specify the
1909	3311		location in this state at which the medical marijuana education
1910	3312		facility licensee intends to operate. A medical marijuana education
1911	3313		facility licensee shall not allow any other person to exercise the
1912	3314		privilege of the license.
1913		-
1914	3315		J. Submission of an application for a medical ma rijuana
1915	3316		education facility license shall constitute permission for entry to
1916	3317		and inspection of the facility of the medical marijuana education
1917	3318		facility licensee during hours of operation and other reasonable
1918	3319		times. Refusal to permit such entry for inspection shall constitute
1919	3320		grounds for the nonre newal, suspension, or revocation of the medical
1920	3321		marijuana education facility license. The Authority, the Oklahoma
1921	3322		State Bureau of Narcotics and Dang erous Drugs Control, the Oklahoma
1922	3323		State Bureau of Investigation, and the Attorney General may perform
1923	3324		an unannounced, on-site inspection of the op erations and any
1924	3325		facility of the medical marijuana education facility licensee. If
1925	3326		the Authority receives a co mplaint concerning noncompliance by a
1926	3327		medical marijuana education facility licensee, the Authority , the
1927	3328		Oklahoma State Bureau of Narcotics and Da ngerous Drugs Control, the
1928		-	Oklahoma State Bureau of Investigation , and the Attorney General may ENR. H. B. NO. 2095 Page 44
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	3356	+	Oklahoma State Bureau of Investigation, and the Attorney General may
1929	3357		conduct additional unannounced, on-site inspections beyond the
1930	3358		inspections provided for in Section 427.6 of this title. The
1931	3359		Authority shall refer all complaint s alleging criminal activity that
1932	3360		are made against a licensed medical marijuana education facility to
1933	3361		appropriate state or local law enforcement authorities.
1934		-
1935	3362		SECTION 11. AMENDATORY 63 O.S. 202 1, Section 430, as
1936	3363		amended by Section 3 , Chapter 317, O.S.L. 2022 (63 O.S. Supp. 2022,
1937	3364		Section 430), is amended to read as follows:
1938		-
1939	3365		Section 430. A. There is hereby created and authorized a
1940	3366		medical marijuana waste disposal license . A person or entity in
1941	3367		possession of a medical marijuana waste disposal license shall be
1942	3368		entitled to possess, transport and dispose of medical marijuana
1943	3369		waste. No person or entity shall dispose of medical marijuana waste
1944	3370		without a valid medical marijuana waste disposal license. The
1945	3371		Oklahoma Medical Marijuana Authority shall issue licenses upon
1946	3372		proper application by a licensee and determination by the Authority
1947	3373		that the proposed site and facility are physically and technically
1948	3374		suitable. Upon a finding that a pr oposed medical marijuana waste
1949	3375		disposal facility is not physically or technically suitable, the
1950	3376		Authority shall deny the license. The Authority may, upon
1951	3377		determining that public health or safety requires emergency action,
1952	3378		issue a temporary license for tre atment or storage of medical
1953	3379		marijuana waste for a period not to exceed ninety (90) days. The
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1954	3407		Authority shall not, for the first year of the licensure program,
1955	3408		issue more than ten medical marijuana waste disposal licenses. Upon
1956	3409		the conclusion of the firs t year, the Authority shall assess the
1957	3410		need for additional medical marijuana waste disposal licenses and
1958	3411		shall, if demonstrated, increase the number of licenses as deemed
1959	3412		necessary by the Authority.
1960		-
1961	3413		B. Entities applying for a medical marijuana waste dispo sal
1962	3414		license shall undergo the following screening process:
1963		-
1964	3415		1. Complete an application form, as prescribed by the
1965	3416		Authority, which shall include:
1966		-
1967	3417		a. an attestation that the applicant is authorized to
1968	3418		make application on behalf of the entity,
1969		-
1970	3419		b. full name of the organization,
1971		-
1972	3420		c. trade name, if applicable,
1973		-	ENR. H. B. NO. 2095 Page 45
1974	3421		d. type of business organization,
1975		-
1976	3422		e. complete mailing address,
1977		-
1978	3423		f. an attestation that the commercia l entity will not be
1979	3424		located on tribal land,
1980		-
1981	3425		g. telephone number and email address of the entity, and
1982		-
1983	3426		h. name, residential address and date of birth of each
1984	3427		owner and each member, manager and board member, if
1985	3428		applicable;
1986		-
1987	3429		2. The application for a medical m arijuana waste disposal
1988	3430		license made by an individual on his or her own behalf shall be on
	3431	+
	3432	+	SENATE FLOOR VERSION - HB2095 SFLR Page 68
	3433	+	(Bold face denotes Committee Amen dments) 1
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1989	3458		the form prescribed by the Authority and shall include, but not be
1990	3459		limited to:
1991		-
1992	3460		a. the first, middle and last name of the applicant and
1993	3461		suffix, if applicable,
1994		-
1995	3462		b. the residence address and mailing address of the
1996	3463		applicant,
1997		-
1998	3464		c. the date of birth of the applicant,
1999		-
2000	3465		d. the preferred telephone number and email address of
2001	3466		the applicant,
2002		-
2003	3467		e. an attestation that the information provided by the
2004	3468		applicant is true and correct, and
2005		-
2006	3469		f. a statement signed by the applicant pledging not to
2007	3470		divert marijuana to any individual or entity t hat is
2008	3471		not lawfully entitled to possess marijuana; and
2009		-
2010	3472		3. Each application shall be accompanied by the following
2011	3473		documentation:
2012		-
2013	3474		a. a list of all persons or entities that have an
2014	3475		ownership interest in the entity,
2015		-
2016	3476		b. a certificate of good standing from t he Secretary of
2017	3477		State, if applicable,
2018		-	ENR. H. B. NO. 2095 Page 46
2019	3478		c. an Affidavit of Lawful Presence for each owner,
2020		-
2021	3479		d. proof that the proposed location of the disposal
2022	3480		facility is at least one thousand (1,000) feet from a
2023	3481		school. The distance indicated in this subparagraph
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2024	3509		shall be measured from the nearest property line of
2025	3510		such school to the nearest perimeter wall of the
2026	3511		premises of such disposal facility. If any school is
2027	3512		established within one thousand (1,000) feet of any
2028	3513		disposal facility after such disposal f acility has
2029	3514		been licensed, the provisions of this subparagraph
2030	3515		shall not be a deterrent to the renewal of such
2031	3516		license or warrant revocation of the license. For the
2032	3517		purposes of this section, "school" shall mean the same
2033	3518		as provided in Section 427.2 of this title, and
2034		-
2035	3519		e. documents establishing the applicant, the members,
2036	3520		managers and board members, if applicable, and
2037	3521		seventy-five percent (75%) of the ownership interests
2038	3522		are Oklahoma residents as established in Section 420
2039	3523		et seq. of this title, as it relates to proof of
2040	3524		residency.
2041		-
2042	3525		C. No license shall be issued except upon proof of sufficient
2043	3526		liability insurance and financial responsibility. Liability
2044	3527		insurance shall be provided by the applicant and shall app ly to
2045	3528		sudden and nonsudden bodily injury or prope rty damage on, below or
2046	3529		above the surface, as required by the rules of the Authority. Such
2047	3530		insurance shall be maintained for the period of operation of the
2048	3531		facility and shall p rovide coverage for damages re sulting from
2049	3532		operation of the facility during ope ration and after closing.
	3533	+
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2050	3559
2051	3560		D. Submission of an application for a medical marijuana waste
2052	3561		disposal license shall constitute permission for entry to and
2053	3562		inspection of the facility of the licensee during hours of operation
2054	3563		and other reasonable times. Refusal to permit such entry of
2055	3564		inspection shall constitute grounds for the nonrenewal, suspension
2056	3565		or revocation of a license. The Authority, the Oklahoma State
2057	3566		Bureau of Narcotics and Dangerous Drugs Cont rol, the Oklahoma State
2058	3567		Bureau of Investigation, and the Attorney General may perform an
2059	3568		annual unannounced, on-site inspection of the operati ons and any
2060	3569		facility of the licensee. If the Authority receives a complaint
2061	3570		concerning noncompliance by a licensee with the provisions of the
2062	3571		Oklahoma Medical Marijuana Waste Ma nagement Act, the Authority, the
2063		-	Oklahoma State Bureau of Narcotics and Dangerous Drugs Control, the ~~ENR. H. B. NO. 2095 Page 47~~
	3572	+	Oklahoma State Bureau of Narcotics and Dangerous Drugs Control, the
2064	3573		Oklahoma State Bureau of Investigation, and the Attorney General may
2065	3574		conduct additional unanno unced, on-site inspections beyond an annual
2066	3575		inspection the inspections provided for in Section 427. 6 of this
2067	3576		title. The Authority may refer all complaints alleging criminal
2068	3577		activity that are made against a licensed facility to appropriate
2069	3578		state or local law enforcement authorities.
2070		-
2071	3579		E. The Authority shall issue an annual permit for each medical
2072	3580		marijuana waste disposal facility operated by a licensee. A permit
2073	3581		shall be issued only upon proper application by a licensee and
2074	3582		determination by the Authority that the proposed site and fac ility
2075	3583		are physically and techni cally suitable. Upon a finding that a
	3584	+
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	3586	+	(Bold face denotes Committee Amen dments) 1
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2076	3611		proposed medical marijuana waste disp osal facility is not physically
2077	3612		or technically suitable, the Authority shall deny the permit. The
2078	3613		Authority shall have the authority to revoke a per mit upon a finding
2079	3614		that the site and facility are not ph ysically and technically
2080	3615		suitable for processing. The Authority may, upon determining that
2081	3616		public health or safety requires emergency action, issue a tempor ary
2082	3617		permit for treatment or storage of medi cal marijuana waste for a
2083	3618		period not to exceed ninety (9 0) days.
2084		-
2085	3619		F. The cost of a medical marijuana waste disposal license shall
2086	3620		be Five Thousand Dollars ($5,000.00) for the initial license. The
2087	3621		cost of a medical marijuana waste disposal facility permit shall be
2088	3622		Five Hundred Dollars ($500.00). A medical marijuana waste disposal
2089	3623		facility permit that has been revoked shall be reinstated upon
2090	3624		remittance of a reinstatement fee of Five Hundred Dollars ($500.00)
2091	3625		to restore the facility permit. All license and permit fees shall
2092	3626		be deposited into the Oklahoma Medical Marijuana Authority Revolving
2093	3627		Fund as provided in Section 427.5 of this title.
2094		-
2095	3628		G. The holder of a medical marijuana waste disposal license
2096	3629		shall not be required to obtain a medical marijuana transp orter
2097	3630		license provided for in the Oklahoma Medical Mar ijuana and Patient
2098	3631		Protection Act for purposes of tra nsporting medical marijuana waste.
2099		-
2100	3632		H. All commercial licensees, as defined in Section 428.1 of
2101	3633		this title, shall utilize a licensed medical marijuan a waste
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	3660	+
2102	3661		disposal service to process all medical marij uana waste generated by
2103	3662		the licensee.
2104		-
2105	3663		I. The State Commissioner of Health shall promulgate rules for
2106	3664		the implementation of the Oklahoma Medical Marijuana Waste
2107		-	Management Act. Promulgated rules shall ~~address~~ disposal process ~~ENR. H. B. NO. 2095 Page 48~~
	3665	+	Management Act. Promulgated rules shall a ddress disposal process
2108	3666		standards, site security and any other subject matter deemed
2109	3667		necessary by the Autho rity.
2110		-
2111	3668		SECTION 12. This act shall become effective November 1, 2023.
2112		-	ENR. H. B. NO. 2095 Page 49
2113		-	Passed the House of Representatives the 20th day of March, 2023.
2114		-
2115		-
2116		-
2117		-
2118		-	Presiding Officer of the House
2119		-	of Representatives
2120		-
2121		-
2122		-	Passed the Senate the 25th day of April, 2023.
2123		-
2124		-
2125		-
2126		-
2127		-	Presiding Officer of the Senate
2128		-
2129		-
2130		-
2131		-	OFFICE OF THE GOVERNOR
2132		-	Received by the Office of the Governor this ____________________
2133		-	day of ___________________, 20_______, at _______ o'clock _______ M.
2134		-	By: _________________________________
2135		-	Approved by the Governor of the State of Oklahoma this _____ ____
2136		-	day of ___________________, 20_______, at _______ o'clock _______ M.
2137		-
2138		-
2139		-	_________________________________
2140		-	Governor of the State of Oklahoma
2141		-
2142		-	OFFICE OF THE SECRETARY OF STATE
2143		-	Received by the Office of the Secretary of State this __________
2144		-	day of ___________________, 20_______, at _______ o'clock _______ M.
2145		-	By: _________________________________
	3669	+	COMMITTEE REPORT BY: COMMITTEE ON BUSINESS AND COMMERCE
	3670	+	April 10, 2023 - DO PASS