OK
Oklahoma Senate Bill SB264

Oklahoma 2024 Regular Session

Oklahoma Senate Bill SB264 Compare Versions

OldNewDifferences
11
22
3-Req. No. 2195 Page 1 1
4-2
5-3
6-4
7-5
8-6
9-7
10-8
11-9
12-10
13-11
14-12
15-13
16-14
17-15
18-16
19-17
20-18
21-19
22-20
23-21
24-22
25-23
26-24
27-
28-STATE OF OKLAHOMA
29-
30-1st Session of the 59th Legislature (2023)
31-
32-CONFERENCE COMMITTEE SUBSTITUTE
33-FOR ENGROSSED
34-SENATE BILL 264 By: Garvin of the Senate
3+ENGR. H. A. to ENGR. S. B. NO. 264 Page 1 1
4+2
5+3
6+4
7+5
8+6
9+7
10+8
11+9
12+10
13+11
14+12
15+13
16+14
17+15
18+16
19+17
20+18
21+19
22+20
23+21
24+22
25+23
26+24
27+
28+ENGROSSED HOUSE AMENDME NT
29+ TO
30+ENGROSSED SENATE BILL NO . 264 By: Garvin of the Senate
3531
3632 and
3733
38- Marti and Davis of the
39-House
40-
41-
42-
43-
44-CONFERENCE COMMITTEE SUBSTITUTE
45-
46-An Act relating to medical marijuana; requiring
47-licensed medical marijuana commercial growers to
48-inform retail suppliers or electric coope ratives as
49-to their license status; requiring transmission of
50-monthly usage reports in certain format to the
51-Oklahoma Medical Marijuan a Authority; amending 63
52-O.S. 2021, Section 427.3, as last amended by Section
53-2 of Enrolled House Bill N o. 2095 of the 1st Session
54-of the 59th Oklahoma Legislature (63 O.S. Supp. 2022,
55-Section 427.3), which relates to Oklahoma Medical
56-Marijuana Authority d uties and functions; requiring
57-establishment of procedures to monitor, collect, and
58-transmit certain usage information of licensed
59-medical marijuana commercial growers; providing for
60-the transmission of monthly usage reports; requiring
61-the development of rules, exemptions, and procedures;
62-providing for license revocation; creating the
63-Oklahoma Medical Marijuana Authority Board; providing
64-for appointments to the Board; prescribing terms of
65-office; providing an ex officio member of the Board;
66-providing for the election of a chair and vice chair;
67-imposing quorum requirements for taking official
68-actions; providing exemp tion from certain
69-prohibition; stating powers and duties of the Board;
70-providing for reimbursement of expenses pursuant to
71-the State Travel Reimbursement Act; authorizing
72-meetings; prescribing minimum number of meetings;
73-stating manner by which vacancies o n the Board shall
74-be filled; directing the Oklahoma Medical Marijuana
75-
76-Req. No. 2195 Page 2 1
77-2
78-3
79-4
80-5
81-6
82-7
83-8
84-9
85-10
86-11
87-12
88-13
89-14
90-15
91-16
92-17
93-18
94-19
95-20
96-21
97-22
98-23
99-24
100-
101-Authority to provide clerical staff and space for
102-meetings; providing for applicability of Oklahoma
103-Open Meeting Act, Oklahoma Open Records Act , and
104-Administrative Procedures Act; providing for
105-codification; and providing an effective date.
34+ Marti of the House
35+
36+
37+
38+
39+
40+An Act relating to medical marijuana; amending 63
41+O.S. 2021, Sections 421, as last amended by Section
42+1, Chapter 332, O.S.L. 2022, 422, as last amended by
43+Section 2, Chapter 332, O.S.L. 2022, and 423, as last
44+amended by Section 3, Chapter 332, O.S.L. 2022 (63
45+O.S. Supp. 2022, Sectio ns 421, 422, and 423), which
46+relate to licensing requirements for medical
47+marijuana dispensaries, commercial growers, and
48+processors; modifying method of application
49+submission; amending 63 O.S. 2021, Section 427. 3, as
50+last amended by Section 1, Chapter 342, O.S. L. 2022
51+(63 O.S. Supp. 2022, Se ction 427.3), which relates to
52+Oklahoma Medical Marijuana Authority du ties and
53+functions; allowing for the purchase of motor
54+vehicles; authorizing the Oklahoma Medical Marijuana
55+Authority to create a petty cash fund for certain
56+purpose; amending 63 O.S. 2021, Section 427.14, as
57+last amended by Section 4, Chapter 332, O.S.L. 2022
58+(63 O.S. Supp. 2022, Section 427.14), which relates
59+to the medical marijuana business license ; modifying
60+calculation for type of indoor and outdoor grow ing
61+operation; requiring remittance of certain fees prior
62+to licensing approval; modifying method of
63+application submissio n; removing provision for fees
64+for reconsideration; providing for promulgation of
65+rules for required application materials to the
66+Authority prior to determination for business
67+licensing fees; amending 63 O. S. 2021, Sections
68+427.16, as last amended by Section 16, Chapter 251,
69+O.S.L. 2022, and 427.17, as last amended by Section
70+1, Chapter 353, O.S.L. 2022 (63 O.S. Supp. 2022,
71+Sections 427.16 and 427.17), which relate to medical
72+marijuana transport and testing laboratory l icenses;
73+clarifying language; amending Section 1, Chapter 352,
74+O.S.L. 2022 (63 O.S. Supp. 2022, Section 427.25),
75+
76+ENGR. H. A. to ENGR. S. B. NO. 264 Page 2 1
77+2
78+3
79+4
80+5
81+6
82+7
83+8
84+9
85+10
86+11
87+12
88+13
89+14
90+15
91+16
92+17
93+18
94+19
95+20
96+21
97+22
98+23
99+24
100+
101+which relates to secret shoppers; allowing for use of
102+certain fund; allowing for secret shoppers to perform
103+certain duties; modifying laboratory testing;
104+exempting licensing requirements for secret shoppers;
105+updating statutory language and reference ; providing
106+for codification; and providing an effective date .
107+
108+
109+
110+
111+AMENDMENT NO. 1. Page 1, Line 6 through Page 2, Line 2 1/2, s trike
112+the title to read as follows:
113+
114+
115+"[ medical marijuana – requirements for medical
116+marijuana dispensaries – commercial growers –
117+Oklahoma Medical Marijuana Authority – licensing
118+approval – medical marijuana transport and testing
119+laboratory licenses – secret shoppers – effective
120+date ]"
121+
122+
123+Passed the House of Representatives the 26th day of April, 2023.
124+
125+
126+
127+
128+
129+Presiding Officer of the House of
130+ Representatives
131+
132+
133+Passed the Senate the ____ day of _______ ___, 2023.
134+
135+
136+
137+
138+
139+Presiding Officer of the Senate
140+
141+
142+ENGR. S. B. NO. 264 Page 1 1
143+2
144+3
145+4
146+5
147+6
148+7
149+8
150+9
151+10
152+11
153+12
154+13
155+14
156+15
157+16
158+17
159+18
160+19
161+20
162+21
163+22
164+23
165+24
166+
167+ENGROSSED SENATE
168+BILL NO. 264 By: Garvin of the Senate
169+
170+ and
171+
172+ Marti of the House
173+
174+
175+
176+
177+An Act relating to medical marijuana; amending 63
178+O.S. 2021, Sections 421, as last amended by Section
179+1, Chapter 332, O.S.L. 2022, 422, as last amended by
180+Section 2, Chapter 332, O.S.L. 2022, and 423, as last
181+amended by Section 3, Chapter 332, O.S.L. 2022 (63
182+O.S. Supp. 2022, Sectio ns 421, 422, and 423), which
183+relate to licensing requirements for medical
184+marijuana dispensaries, commercial growers, and
185+processors; modifying method of application
186+submission; amending 63 O.S. 2021, Section 427. 3, as
187+last amended by Section 1, Chapter 342, O.S. L. 2022
188+(63 O.S. Supp. 2022, Se ction 427.3), which relates to
189+Oklahoma Medical Marijuana Authority duties and
190+functions; allowing for the purchase of motor
191+vehicles; authorizing the Oklahoma Medical Marijuana
192+Authority to create a petty cash fund for certain
193+purpose; amending 63 O.S. 2021, Section 427.14, as
194+last amended by Section 4, Chapter 332, O.S.L. 2022
195+(63 O.S. Supp. 2022, Section 427.14), which relates
196+to the medical marijuana business license ; modifying
197+calculation for type of indoor and outdoor grow ing
198+operation; requiring remittance of certain fees prior
199+to licensing approval; modifying method of
200+application submissio n; removing provision for fees
201+for reconsideration; providing for promulgation of
202+rules for required application materials to the
203+Authority prior to determination for business
204+licensing fees; amending 63 O. S. 2021, Sections
205+427.16, as last amended by Section 16, Chapter 251,
206+O.S.L. 2022, and 427.17, as last amended by Section
207+1, Chapter 353, O.S.L. 2022 (63 O.S. Supp. 2022,
208+Sections 427.16 and 427.17), which relate to medical
209+marijuana transport and testing laboratory l icenses;
210+clarifying language; amending Section 1, Chapter 352,
211+O.S.L. 2022 (63 O.S. Supp. 2022, Section 427.25),
212+which relates to secret shoppers; allowing for use of
213+certain fund; allowing for secret shoppers to perform
214+
215+ENGR. S. B. NO. 264 Page 2 1
216+2
217+3
218+4
219+5
220+6
221+7
222+8
223+9
224+10
225+11
226+12
227+13
228+14
229+15
230+16
231+17
232+18
233+19
234+20
235+21
236+22
237+23
238+24
239+
240+certain duties; modifying laboratory testing;
241+exempting licensing requirements for secret shoppers;
242+updating statutory language and reference; providing
243+for codification; and providing an effective date .
244+
106245
107246
108247
109248 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
110-SECTION 1. NEW LAW A new section of law to be codified
111-in the Oklahoma Statutes as Section 180.12 of Title 17, unless there
112-is created a duplication in numbering, reads as follows:
113-Every existing licensed medical marijuana commercial grower
114-shall be required to inform retail suppliers or electric
115-cooperatives utilized of its status as a licensed medical marijuana
116-commercial grower within thirty (30) days after the effectiv e date
117-of this act. Every licensed medical marijuana commercial grower
118-that receives a license after the effective date of this act shall
119-inform retail suppliers or electric cooperatives utilized of its
120-status as a licensed medical marijuana commercial grower at the time
121-of the connection of services. As provided for in paragraph 16 of
122-subsection D of Section 427.3 of Title 63 of the Oklahoma Statutes,
123-a licensed medical marijuana commercial grower shall transmit
124-monthly reports to the Oklahoma Medical Marijuana Authority
125-providing the amount of electricity and water consumed. The monthly
126-reports shall be transmitted in an electronic format that can be
127-integrated with the seed-to-sale software of the Authority.
128-
129-Req. No. 2195 Page 3 1
130-2
131-3
132-4
133-5
134-6
135-7
136-8
137-9
138-10
139-11
140-12
141-13
142-14
143-15
144-16
145-17
146-18
147-19
148-20
149-21
150-22
151-23
152-24
153-
154-SECTION 2. AMENDATORY 63 O.S. 2021, Section 427.3, as
155-last amended by Section 2 of Enrolled House Bill No . 2095 of the 1st
156-Session of the 59th Oklahoma Legislature (63 O.S. Supp. 2022,
157-Section 427.3), is amended to read as follows:
249+SECTION 1. AMENDATORY 63 O.S. 2021, Section 421, as last
250+amended by Section 1, Chapter 332 , O.S.L. 2022 (63 O.S. Supp. 2022,
251+Section 421), is amended to read as follows:
252+Section 421. A. The Oklahoma Medical Marijuana Authority shall
253+make available on its website in an easy-to-find location an
254+application for a medical marijuana dispensary license. The
255+application fee to be paid by the applicant shall be in the amounts
256+provided for in Section 427 .14 of this title. A method of payment
257+for the application fee shall be provided on the website of the
258+Authority. Dispensary applicants must all b e residents of Oklahoma.
259+Any entity applying for a dispensary license must be owned by an
260+Oklahoma resident and must be registere d to do business in Oklahoma.
261+The Authority shall have ninety (90) business days to review the
262+application; approve, reject, or deny the application; and mail send
263+the approval, rejection, or denial letter stating reasons for the
264+rejection or denial to the applicant in the same method the
265+application was submitted to the Authority.
266+B. The Authority shall approve all applications which meet the
267+following criteria:
268+
269+ENGR. S. B. NO. 264 Page 3 1
270+2
271+3
272+4
273+5
274+6
275+7
276+8
277+9
278+10
279+11
280+12
281+13
282+14
283+15
284+16
285+17
286+18
287+19
288+20
289+21
290+22
291+23
292+24
293+
294+1. The applicant must be twenty-five (25) years of age or
295+older;
296+2. The applicant, if applying as an individual, must show
297+residency in the State of Oklahoma this state;
298+3. All applying entities must show that a ll members, managers,
299+and board members are Oklahoma residents;
300+4. An applying entity may show ownership of non -Oklahoma
301+residents, but that percentage ow nership may not exceed twe nty-five
302+percent (25%);
303+5. All applying individuals or entities must be registered to
304+conduct business in the State of Oklahoma this state; and
305+6. All applicants must disclose all owners hip interests in the
306+dispensary.
307+Applicants with a nonviolent felony conviction in the last two
308+(2) years, any other felony conviction i n the last five (5) years,
309+inmates in the custody of the Department of Corrections or any
310+person currently incarcerate d shall not qualify for a medical
311+marijuana dispensary license.
312+C. Licensed medical marijuana dispensaries shall be required to
313+complete a monthly sal es report to the Authority. This report shall
314+be due on the fifteenth of each month and provide reportin g on the
315+previous month. This report shall detail the weight of marijuana
316+purchased at wholesale and the weight of marijuana sold to licensed
317+medical marijuana patients and license d caregivers and account for
318+
319+ENGR. S. B. NO. 264 Page 4 1
320+2
321+3
322+4
323+5
324+6
325+7
326+8
327+9
328+10
329+11
330+12
331+13
332+14
333+15
334+16
335+17
336+18
337+19
338+20
339+21
340+22
341+23
342+24
343+
344+any waste. The report shall show total sales in dollars, tax
345+collected in dollars, and tax due in d ollars. The Authority shall
346+have oversight and auditing responsibilities to ensure that all
347+marijuana being grown is accounted for.
348+D. Only a licensed medical marijuan a dispensary may conduct
349+retail sales of marijuana or marijuana derivatives. Beginning on
350+the effective date of this act November 1, 2021, licensed medical
351+marijuana dispensaries shall be authorized to package and sell pre -
352+rolled marijuana to licensed medical marijuana pati ents and licensed
353+caregivers. The products described in t his subsection shall contain
354+only the ground parts of the marijuana plant and shall not include
355+marijuana concentrates or derivatives . The total net weight of each
356+pre-roll packaged and sold by a m edical marijuana dispensary shall
357+not exceed one (1) gram. These products shall be tested, packaged
358+and labeled in accordance with Oklahoma law and rules promulgated by
359+the Authority.
360+E. No medical marijuana dispensary shall offer or allow a
361+medical marijuana patient licensee, caregiver licensee or other
362+member of the public to handle or otherwise h ave physical contact
363+with any medical marijuana not contained in a se aled or separate
364+package. Provided, such prohibition shall not preclude an employe e
365+of the medical marijuana dispensary from handling loose or
366+nonpackaged medical marijuana to be placed in packaging consistent
367+with the Oklahoma Medical Marijuana and Patie nt Protection Act and
368+
369+ENGR. S. B. NO. 264 Page 5 1
370+2
371+3
372+4
373+5
374+6
375+7
376+8
377+9
378+10
379+11
380+12
381+13
382+14
383+15
384+16
385+17
386+18
387+19
388+20
389+21
390+22
391+23
392+24
393+
394+the rules promulgated by the Authority for the packaging of m edical
395+marijuana for retail sale. Provided, further, such prohibition
396+shall not prevent a medical marijuana dispensary from displaying
397+samples of its medical marijuana in s eparate display cases, jars or
398+other containers and allowing medical marijuana pati ent licensees
399+and caregiver licensees the ability to handle or smell the various
400+samples as long as the sample medical marijuana is used for display
401+purposes only and is not offered for retail sale.
402+SECTION 2. AMENDATORY 63 O.S. 2021, Section 422, as last
403+amended by Section 2, Chapter 332, O.S.L. 2022 (63 O.S. Supp. 2022,
404+Section 422), is amend ed to read as follows:
405+Section 422. A. The Oklahoma Medical Marijuana Authori ty shall
406+make available on its website in an easy-to-find location an
407+application for a medical marijuana commercial grower license. The
408+application fee shall be paid by the applicant in the amounts
409+provided for in Section 427.14 of this title. A method of payment
410+for the application fee shall be provided on the we bsite of the
411+Authority. The Authority shall have ninety (90) business days to
412+review the application; approve, reject, or deny the application;
413+and mail send the approval, rejection, or denial letter stating the
414+reasons for the rejection or denial to the applicant in the same
415+method the application was submitted to the Authority.
416+B. The Authority shall approve all applications which meet the
417+following criteria:
418+
419+ENGR. S. B. NO. 264 Page 6 1
420+2
421+3
422+4
423+5
424+6
425+7
426+8
427+9
428+10
429+11
430+12
431+13
432+14
433+15
434+16
435+17
436+18
437+19
438+20
439+21
440+22
441+23
442+24
443+
444+1. The applicant must be twenty-five (25) years of age or
445+older;
446+2. The applicant, if applying as an individua l, must show
447+residency in the State of Oklahoma this state;
448+3. All applying entities must show that all members, managers,
449+and board members are Oklahoma residents;
450+4. An applying entity may show owner ship of non-Oklahoma
451+residents, but that percentage owners hip may not exceed twenty-five
452+percent (25%);
453+5. All applying individuals or entities must be registered to
454+conduct business in the State of Oklahoma this state; and
455+6. All applicants must disclose all owner ship interests in the
456+commercial grower operation.
457+Applicants with a nonviolent felony conviction in the last two
458+(2) years, any other felony conviction in the last five (5) years,
459+inmates in the custody of the Department of Corrections or any
460+person currently incarcerated shall not qualify for a commercial
461+grower license.
462+C. A licensed medical marijuana commercial grower may sell
463+marijuana to a licensed medical marijuana dispensary or a licensed
464+medical marijuana processor. Further, sales by a licensed medical
465+marijuana commercial grower shall be considered wholesale sales and
466+shall not be subject to taxation. Under no circumstances may a
467+licensed medical marijuana commercial grower sell marijuana directly
468+
469+ENGR. S. B. NO. 264 Page 7 1
470+2
471+3
472+4
473+5
474+6
475+7
476+8
477+9
478+10
479+11
480+12
481+13
482+14
483+15
484+16
485+17
486+18
487+19
488+20
489+21
490+22
491+23
492+24
493+
494+to a licensed medical marijuana patient or licensed medical
495+marijuana caregiver. A licensed medical marijuana commercial grower
496+may only sell at the wholesale level to a licensed medical marijuana
497+dispensary, a licensed medical marijuana commercial grower or a
498+licensed medical marijuana processor. If the federal government
499+lifts restrictions on buying and selling marijuana between states,
500+then a licensed medical marijuana commercial grower would be allowed
501+to sell and buy marijuana wholesale from, or to, an out-of-state
502+wholesale provider. A licensed medical marijuana commercial grower
503+shall be required to complete a monthly yield and sales report to
504+the Authority. This report shall be due on the fifteenth of each
505+month and provide reporting on the previous month. This report
506+shall detail the amount of marijuana harvested in pounds, the amount
507+of drying or dried marijuana on hand, t he amount of marijuana sold
508+to licensed processors in pounds, the amount of waste in pounds, and
509+the amount of marijuana sold to licensed medical marijuana
510+dispensaries in pounds. Additionally, this repor t shall show total
511+wholesale sales in dollars . The Authority shall have oversight and
512+auditing responsibilities to ensure that all marijuana being grown
513+by licensed medical marijuana commercial growers is accounted for.
514+D. There shall be no limits on how much marijuan a a licensed
515+medical marijuana commercial grower can grow.
516+E. Beginning on the effective date of this act June 1, 2023,
517+licensed medical marijuana commercial growers shall be authorized to
518+
519+ENGR. S. B. NO. 264 Page 8 1
520+2
521+3
522+4
523+5
524+6
525+7
526+8
527+9
528+10
529+11
530+12
531+13
532+14
533+15
534+16
535+17
536+18
537+19
538+20
539+21
540+22
541+23
542+24
543+
544+package and sell pre-rolled marijuana to licensed medical marijuana
545+dispensaries. The products described in this subsection shall
546+contain only the ground parts of the marijuana plant and shall not
547+include marijuana concentrates or derivatives. The total net weight
548+of each pre-roll packaged and sold by licensed medical marijuana
549+commercial growers shall not exc eed one (1) gram. These products
550+must be tested, packaged and labeled in accordance with Oklahoma law
551+and rules promulgated by the Authority.
552+SECTION 3. AMENDATORY 63 O.S. 2021, Section 4 23, as last
553+amended by Section 3, Chapter 332, O.S.L. 2022 (63 O.S. Supp. 2022,
554+Section 423), is amended to read as follows:
555+Section 423. A. The Oklahoma Medical Marijuana Authority shall
556+make available on its website in an easy-to-find location an
557+application for a medical marijuana processing lice nse. The
558+Authority shall be authorized to issu e two types of medical
559+marijuana processor licens es based on the level of risk posed by the
560+type of processing conducted:
561+1. Nonhazardous medical marijuana processor license; and
562+2. Hazardous medical marijua na processor license.
563+The application fee for a nonhazardous or hazardous medical
564+marijuana processor license shall be paid by the applicant in the
565+amounts provided for in Section 427.14 of this title . A method of
566+payment shall be provided on the website of the Authority. The
567+Authority shall have ninety (90) business days to review the
568+
569+ENGR. S. B. NO. 264 Page 9 1
570+2
571+3
572+4
573+5
574+6
575+7
576+8
577+9
578+10
579+11
580+12
581+13
582+14
583+15
584+16
585+17
586+18
587+19
588+20
589+21
590+22
591+23
592+24
593+
594+application; approve, reject, or deny the application; and mail send
595+the approval, rejection, or denial letter stating the reasons for
596+the rejection or denial to the applicant in the same method the
597+application was submitted to the Authority.
598+B. The Authority shall approve all applications which mee t the
599+following criteria:
600+1. The applicant must be twenty-five (25) years of age or
601+older;
602+2. The applicant, if applying as an individual, must show
603+residency in the State of Oklahoma this state;
604+3. All applying entities must show that all members, managers,
605+and board members are Oklahoma residents;
606+4. An applying entity may show o wnership of non-Oklahoma
607+residents, but that pe rcentage ownership may n ot exceed twenty-five
608+percent (25%);
609+5. All applying individuals or entities must be registered to
610+conduct business in the State of Oklahoma this state; and
611+6. All applicants must dis close all ownership interests in the
612+processing operation.
613+Applicants with a nonviolent felony conviction in the last two
614+(2) years, any other felony conviction in the last five (5) years,
615+inmates in the custody of the Department of Corrections or any
616+person currently incarcerate d shall not qualify for a medic al
617+marijuana processing lic ense.
618+
619+ENGR. S. B. NO. 264 Page 10 1
620+2
621+3
622+4
623+5
624+6
625+7
626+8
627+9
628+10
629+11
630+12
631+13
632+14
633+15
634+16
635+17
636+18
637+19
638+20
639+21
640+22
641+23
642+24
643+
644+C. 1. A licensed processor may take marijuana plants and
645+distill or process these plants into concentrates, edibles, and
646+other forms for consumption.
647+2. As required by subsection D of this section, th e Authority
648+shall make available a set of standards which shall be used by
649+licensed processors in the preparation of edible marijuana products.
650+The standards should be in line with curr ent food preparation
651+guidelines. No excessive or punitive rules may b e established by
652+the Authority.
653+3. Up to two times a year, the Authority may inspect a
654+processing operation and de termine its compliance with the
655+preparation standards . If deficiencies are found, a written report
656+of the deficiency shall be issued to the licensed processor. The
657+licensed processor shall have one (1) month to correct the
658+deficiency or be subject to a f ine of Five Hundred Dollars ($500.00)
659+for each deficiency.
660+4. A licensed processor may sell marijuana pr oducts it creates
661+to a licensed dispensary or any other licensed processor. All sales
662+by a licensed processor shall be considered wholesale sales and
663+shall not be subject to taxation.
664+5. Under no circumstances may a licensed processor sell
665+marijuana or any marijuana product directly to a licensed medical
666+marijuana patient or licensed caregiver. However, a licensed
667+
668+ENGR. S. B. NO. 264 Page 11 1
669+2
670+3
671+4
672+5
673+6
674+7
675+8
676+9
677+10
678+11
679+12
680+13
681+14
682+15
683+16
684+17
685+18
686+19
687+20
688+21
689+22
690+23
691+24
692+
693+processor may process cannabis into a concentrated form for a
694+licensed medical marijuana patient for a fee.
695+6. Licensed processors shall be required to complete a monthly
696+yield and sales report to the Authority. This report shall be due
697+on the fifteenth of each month and shall provide reporting on the
698+previous month. This report shall detail the amount of marijuana
699+and medical marijuana products purchased in pounds, the a mount of
700+marijuana cooked or processed in pounds, a nd the amount of waste in
701+pounds. Additionally, this repor t shall show total wholesale sales
702+in dollars. The Authority shall have oversight and auditing
703+responsibilities to e nsure that all marijuana being processed is
704+accounted for.
705+D. The Authority shall oversee the inspection and compliance of
706+licensed processors producing products with marijuana as an
707+additive. The Authority shall be compelled to, within thirty (30)
708+days of passage of this initiative, appoin t twelve (12) Oklahoma
709+residents to the Medical Marijuana Advisory Council, who are
710+marijuana industry experts, to create a list of food safety
711+standards for processing and handling me dical marijuana in Oklahoma.
712+These standards shall be adopted by the Authority and the Authority
713+may enforce these standards for licensed processors. The Authority
714+shall develop a standards review procedure and these stan dards can
715+be altered by calling anothe r council of twelve (12) Oklahoma
716+marijuana industry experts . A signed letter of twenty operating,
717+
718+ENGR. S. B. NO. 264 Page 12 1
719+2
720+3
721+4
722+5
723+6
724+7
725+8
726+9
727+10
728+11
729+12
730+13
731+14
732+15
733+16
734+17
735+18
736+19
737+20
738+21
739+22
740+23
741+24
742+
743+licensed processors shall constitute a need for a new council and
744+standards review.
745+E. If it becomes permissible unde r federal law, marijuana may
746+be moved across state lines.
747+F. Any device used for the processing or consumption of medical
748+marijuana shall be consid ered legal to be sold, manufactured,
749+distributed and possessed . No merchant, wholesaler, manufacturer or
750+individual may be unduly harassed or prosecuted for sellin g,
751+manufacturing or possessing marijuana paraphernalia .
752+SECTION 4. AMENDATORY 63 O.S. 2021, Section 427.3, as
753+last amended by Section 1, Chapter 342, O.S.L. 2022 (63 O.S. Supp.
754+2022, Section 427.3), is amended to read as follows:
158755 Section 427.3. A. There is hereby created the Oklahoma Medical
159756 Marijuana Authority within the State Dep artment of Health which
160757 shall address issues related t o the medical marijuana program in
161758 Oklahoma including, but not limited to, the issuance of patient
162759 licenses and medical marijuana business licens es, and the
163760 dispensing, cultivating, processing, testing, transporting, storage,
164761 research, and the use of and s ale of medical marijuana pursuant to
165762 the Oklahoma Medical Marijuana and Patient Protection Act .
166763 B. The Department shall provide support staff to perform
167764 designated duties of the Authority . The Department shall also
168765 provide office space for meetings of t he Authority.
766+
767+ENGR. S. B. NO. 264 Page 13 1
768+2
769+3
770+4
771+5
772+6
773+7
774+8
775+9
776+10
777+11
778+12
779+13
780+14
781+15
782+16
783+17
784+18
785+19
786+20
787+21
788+22
789+23
790+24
791+
169792 C. The Authority shall implement the provisions of the Oklahoma
170793 Medical Marijuana and Patient Protection Act consistently with the
171794 voter-approved State Question No. 788, Initiative Peti tion No. 412,
172795 subject to the provisions o f the Oklahoma Medical Marijuana and
173796 Patient Protection Act.
174797 D. The Authority shall exercise its respective p owers and
175798 perform its respective duties a nd functions as specified in the
176799 Oklahoma Medical Marijuana and Patient Protection Act and this title
177800 including, but not limited to, the following:
178-
179-Req. No. 2195 Page 4 1
180-2
181-3
182-4
183-5
184-6
185-7
186-8
187-9
188-10
189-11
190-12
191-13
192-14
193-15
194-16
195-17
196-18
197-19
198-20
199-21
200-22
201-23
202-24
203-
204801 1. Determine steps the state shall take, whether administrative
205802 or legislative in nature, to ensure that re search on marijuana and
206803 marijuana products is being conducted for public purposes, including
207804 the advancement of:
208805 a. public health policy and public safety policy,
209806 b. agronomic and horticultural best practices, an d
210807 c. medical and pharmacopoeia best practice s;
211808 2. Contract with third-party vendors and ot her governmental
212809 entities in order to carry out the respective duties and functions
213810 as specified in the Oklahoma Medical Marijuana and Patient
214811 Protection Act;
215812 3. Upon complaint or upon its own motion and upon a completed
216813 investigation, levy fines as pres cribed in applicable laws, rules,
217814 and regulations and suspend, revoke, or not renew licenses pursuant
218815 to applicable laws, rules, and regulations;
816+
817+ENGR. S. B. NO. 264 Page 14 1
818+2
819+3
820+4
821+5
822+6
823+7
824+8
825+9
826+10
827+11
828+12
829+13
830+14
831+15
832+16
833+17
834+18
835+19
836+20
837+21
838+22
839+23
840+24
841+
219842 4. Issue subpoenas for the appearance or production of persons,
220843 records, and things in connection with disci plinary or contested
221844 cases considered by the Authority;
222845 5. Apply for injunctive or declaratory relief to enforce the
223846 provisions of applicable laws, rules, and regulations;
224847 6. Inspect and examine all licensed premises of medical
225848 marijuana businesses, research facilities , education facilities, and
226849 waste disposal facilities in which medical marijuana is cultivated,
227-
228-Req. No. 2195 Page 5 1
229-2
230-3
231-4
232-5
233-6
234-7
235-8
236-9
237-10
238-11
239-12
240-13
241-14
242-15
243-16
244-17
245-18
246-19
247-20
248-21
249-22
250-23
251-24
252-
253850 manufactured, sold, stored, transported, tested, distributed, or
254851 disposed of;
255852 7. Upon action by the federal g overnment by which th e
256853 production, sale, and use of marijuana in Oklahoma does not violate
257854 federal law, work with the Oklahoma State Banking Department and the
258855 State Treasurer to develop good practices and standards for banking
259856 and finance for medical mari juana businesses;
260857 8. Establish internal control pr ocedures for licenses including
261858 accounting procedures, reportin g procedures, and personnel policies;
262859 9. Establish a fee schedule and collect fees for performing
263860 background checks as the Authority deems appropriate. The fees
264861 charged pursuant to this paragraph shall not exceed the actual cost
265862 incurred for each backgro und check;
266863 10. Establish a fee schedule and collect fees for material
267864 changes requested by the licensee;
865+
866+ENGR. S. B. NO. 264 Page 15 1
867+2
868+3
869+4
870+5
871+6
872+7
873+8
874+9
875+10
876+11
877+12
878+13
879+14
880+15
881+16
882+17
883+18
884+19
885+20
886+21
887+22
888+23
889+24
890+
268891 11. Establish regulations , which require a medical marijuana
269892 business to submit information to the Authority, deemed reasonably
270893 necessary to assist the Authority in the prevention of diversion of
271894 medical marijuana by a licensed medical marijuana business . Such
272895 information required by the Authority may include, but shall not be
273896 limited to:
274897 a. the square footage of the licensed premises,
275898 b. a diagram of the licensed premises,
276-
277-Req. No. 2195 Page 6 1
278-2
279-3
280-4
281-5
282-6
283-7
284-8
285-9
286-10
287-11
288-12
289-13
290-14
291-15
292-16
293-17
294-18
295-19
296-20
297-21
298-22
299-23
300-24
301-
302899 c. the number and type of lights at the li censed medical
303900 marijuana commercial grow er business,
304901 d. the number, type, and production capacity of equipment
305902 located at the medical marijuana processing facility,
306903 e. the names, addresses, and telephone numbers of
307904 employees or agents of a medical marijuan a business,
308905 f. employment manuals and st andard operating procedures
309906 for the medical marijuana business, and
310907 g. any other information as the Authority reasonably
311-deems necessary;
908+deems necessary; and
312909 12. Declare and establish a moratorium on processing and
313910 issuing new medical marijuana business licenses pursuant to Section
314911 427.14 of this title for an amount of time the Authority deems
315912 necessary; and
316-13. Enter into and negotiate the terms of Memorandums of
317-Understanding between the Authority and other state agencies
318-concerning the enforcement of laws regulating medical marijuana in
319-this state. The Oklahoma State Bureau of Narcotics and Dangerous
320-Drugs Control, the Oklahoma State Bureau of Investigation, and the
321-Oklahoma Attorney General shall have full authority to investigate
322-and enforce any violations of the laws regarding medical marijuana
323-including medical marijuana business licenses held by commercial
324-growers, processors, transporters, researchers, education
325-facilities, and waste disposal facilities; and
326-
327-Req. No. 2195 Page 7 1
328-2
329-3
330-4
331-5
332-6
333-7
334-8
335-9
336-10
337-11
338-12
339-13
340-14
341-15
342-16
343-17
344-18
345-19
346-20
347-21
348-22
349-23
350-24
351-
352-14. Establish an electronic procedure for monitoring,
353-collecting, and transmitting license d medical marijuana commercial
354-growers’ monthly usage of electricity and water provid ed by retail
355-suppliers or electric cooperatives. The Authority shall provide
356-licensed medical mariju ana commercial growers a means to transmit
357-monthly reports regarding th e amounts of electricity and water
358-consumed by licensed medical marijuana commercial growers. In
359-addition, the Authority shall develop rules, exemptions from the
360-requirements of this p aragraph, and any necessary procedures for the
361-metering of the usage of electricity and water by licensed medical
362-marijuana commercial growers that are not supplied by retail
363-suppliers or electric cooperatives incl uding, but not limited to,
364-the usage of well water and gas-powered generators. Refusal or
365-failure to submit the re quired monthly usage reports or use of an
366-unpermitted water source by a licensed m edical marijuana commercial
367-grower shall result in the perm anent revocation of th e medical
368-marijuana commercial grower license.
369-SECTION 3. NEW LAW A new section of law to be codified
370-in the Oklahoma Statutes as Section 427.26 of Title 63, unless there
913+13. Purchase and maintain motor vehicles for use by the
914+employees of the Authority.
915+
916+ENGR. S. B. NO. 264 Page 16 1
917+2
918+3
919+4
920+5
921+6
922+7
923+8
924+9
925+10
926+11
927+12
928+13
929+14
930+15
931+16
932+17
933+18
934+19
935+20
936+21
937+22
938+23
939+24
940+
941+SECTION 5. NEW LAW A new section of law to be codified
942+in the Oklahoma Statutes as Section 427.3b of Title 63, unless there
371943 is created a duplication i n numbering, reads as follows:
372-A. There is hereby created the Oklahoma Medical Marijuana
373-Authority Board.
374-B. The Oklahoma Medical Marijuana Authority Board shall consist
375-of the following members and all appoi ntees shall serve their terms
376-
377-Req. No. 2195 Page 8 1
378-2
379-3
380-4
381-5
382-6
383-7
384-8
385-9
386-10
387-11
388-12
389-13
390-14
391-15
392-16
393-17
394-18
395-19
396-20
397-21
398-22
399-23
400-24
401-
402-at the pleasure of the appointing authority and may be removed or
403-replaced without cause:
404-1. One member appointed by the Governor who shall be a chief of
405-police, or a designee, of a municipality with a population over one
406-hundred thousand (100,000), as determined by the late st Federal
407-Decennial Census;
408-2. One member appointed by the Governor who shall be a sheriff,
409-or a designee, of a county with a populatio n under twenty-five
410-thousand (25,000), as determined by the latest Fe deral Decennial
411-Census;
412-3. One member appointed b y the Governor who shall be an elected
413-official either of a municipality with a population under one
414-hundred thousand (100,000), as deter mined by the latest Federal
415-Decennial Census or of a county with a po pulation under twenty-five
416-thousand (25,000), as d etermined by the latest Federal Decennial
417-Census;
418-4. One member who is a district attorney appointed by the
419-Governor selected from a lis t submitted by the District Attorneys
420-Council;
421-5. One member who is a licensed physician appointed by the
422-Governor selected from a list submitted by the State Board of
423-Medical Licensure and Supervision;
424-6. One member who is a licensed medical marijuana c ommercial
425-grower appointed by the Governor;
426-
427-Req. No. 2195 Page 9 1
428-2
429-3
430-4
431-5
432-6
433-7
434-8
435-9
436-10
437-11
438-12
439-13
440-14
441-15
442-16
443-17
444-18
445-19
446-20
447-21
448-22
449-23
450-24
451-
452-7. One member who is a l icensed medical marijuana processor
453-appointed by the Speaker of the House of Representatives;
454-8. One member who is a licensed medical marijuana dispensary
455-owner appointed by the Speaker of the House of Representatives;
456-9. One member who is a licensed med ical marijuana transporter
457-appointed by the Presid ent Pro Tempore of the Senate; and
458-10. One member who is a licensed medical marijuana testing
459-laboratory owner appointed by the Presiden t Pro Tempore of the
460-Senate.
461-C. Each member of the Oklahoma Medical Marijuana Authority
462-Board shall serve a term of four (4) years from the date of
463-appointment. Members of the Board shall not serve more than two
464-consecutive terms. The Executive Director of the Oklahoma Medical
465-Marijuana Authority shall be an ex officio m ember of the Board, but
466-shall be entitled to vote only in case of a tie vote.
467-D. A chair and vice chair shall be elected annually from the
468-membership of the Oklahoma Medical Marijuana Au thority Board. A
469-majority of the members of the Board shall constitu te a quorum for
470-the transaction of business and for taking any official action.
471-Official action of the Board must have a favorable vote by a
472-majority of the members present.
473-E. Appointed members who serve on the Board shall be exempt
474-from dual-office-holding prohibitions pursuant to Section 6 of Title
475-51 of the Oklahoma Statutes.
476-
477-Req. No. 2195 Page 10 1
478-2
479-3
480-4
481-5
482-6
483-7
484-8
485-9
486-10
487-11
488-12
489-13
490-14
491-15
492-16
493-17
494-18
495-19
496-20
497-21
498-22
499-23
500-24
501-
502-F. The Oklahoma Medical Marijuana Authority Board shall be the
503-rulemaking body for the Oklahoma Medical Mari juana Authority and
504-shall have the power and duty to:
505-1. Establish the policies of the Oklahoma Medical Marijuana
944+The Oklahoma Medical Marijuana Authority is hereby given
945+authority to create a petty cash fund , which may be expended for the
946+purpose of providing for cash purchases for the implementation of
947+the Authority’s secret shoppers pursuant to Section 427.25 of Title
948+63 of the Oklahoma Sta tutes.
949+SECTION 6. AMENDATORY 63 O.S. 2021, Section 427. 14, as
950+last amended by Section 4, Chapter 332, O.S.L. 2022 (63 O.S. Supp.
951+2022, Section 427.14), is amended to read as follows:
952+Section 427.14. A. There is hereby created the medical
953+marijuana business license, which shall inc lude the following
954+categories:
955+1. Medical marijuana commercial grower;
956+2. Medical marijuana processor;
957+3. Medical marijuana dispensary;
958+4. Medical marijuana transporter; and
959+5. Medical marijuana testing laboratory.
960+B. The Oklahoma Medical Marijuana Authority, with the aid of
961+the Office of Management and Enterprise Services, shall develop a
962+website for medical marijuana business applications.
963+
964+ENGR. S. B. NO. 264 Page 17 1
965+2
966+3
967+4
968+5
969+6
970+7
971+8
972+9
973+10
974+11
975+12
976+13
977+14
978+15
979+16
980+17
981+18
982+19
983+20
984+21
985+22
986+23
987+24
988+
989+C. The Authority shall make available on its website in an
990+easy-to-find location, applications for a medical m arijuana
991+business.
992+D. 1. The annual, nonrefundable fee for a medical marijuana
993+transporter license shall be Two Thousand Five Hundred Dollars
994+($2,500.00).
995+2. The initial, nonrefundable fee for a medical marijuana
996+commercial grower license shall be calculated based upon the total
997+amount of square feet o f canopy or acres the grower estimates will
998+be harvested, transferred, or sold for the year. The annual,
999+nonrefundable license fee shall be based upon t he total amount of
1000+square feet of canopy or acres harvested, transferred, or sold by
1001+the grower during the previous twelve (12) months. The amount of
1002+the fees shall be determined as follows:
1003+a. For an indoor, greenhouse, or light deprivation
1004+medical marijuana grow facility:
1005+(1) Tier 1: Up to ten thousand (10,000) square feet
1006+of canopy, the fee shall be Two Thousand Five
1007+Hundred Dollars ($2,500.00),
1008+(2) Tier 2: Ten thousand one (10,001) square feet of
1009+canopy to twenty thousand (20,000) square feet of
1010+canopy, the fee shall be Five Thousand Dollars
1011+($5,000.00),
1012+
1013+ENGR. S. B. NO. 264 Page 18 1
1014+2
1015+3
1016+4
1017+5
1018+6
1019+7
1020+8
1021+9
1022+10
1023+11
1024+12
1025+13
1026+14
1027+15
1028+16
1029+17
1030+18
1031+19
1032+20
1033+21
1034+22
1035+23
1036+24
1037+
1038+(3) Tier 3: Twenty thousand one (20,001) square f eet
1039+of canopy to forty thousand (40,000) s quare feet
1040+of canopy, the fee shal l be Ten Thousand Dollars
1041+($10,000.00),
1042+(4) Tier 4: Forty thousand one (40,001) square feet
1043+of canopy to sixty thousand (60,000) square feet
1044+of canopy, the fee shall be Twent y Thousand
1045+Dollars ($20,000.00),
1046+(5) Tier 5: Sixty thousand one (60,001) square feet
1047+of canopy to eighty thousand (80,000) square feet
1048+of canopy, the fee shall be Thirty Thousand
1049+Dollars ($30,000.00),
1050+(6) Tier 6: Eighty thousand one (80,001) square feet
1051+of canopy to ninety-nine thousand nine hundred
1052+ninety-nine (99,999) square feet of canopy, the
1053+fee shall be Forty Thousand Dollars ($40,000.00),
1054+and
1055+(7) Tier 7: One hundred thousand (100,000) square
1056+feet of canopy and beyond, the fee shall be Fifty
1057+Thousand Dollars ($50,000.00), plus an additional
1058+twenty-five cents ($0.25) per square foot of
1059+canopy over one hundred thousand (100,000) square
1060+feet.
1061+b. For an outdoor medical marijuana grow facility:
1062+
1063+ENGR. S. B. NO. 264 Page 19 1
1064+2
1065+3
1066+4
1067+5
1068+6
1069+7
1070+8
1071+9
1072+10
1073+11
1074+12
1075+13
1076+14
1077+15
1078+16
1079+17
1080+18
1081+19
1082+20
1083+21
1084+22
1085+23
1086+24
1087+
1088+(1) Tier 1: Up to Less than two and one-half (2 1/2)
1089+acres, the fee shall be Two Thousand Five Hundred
1090+Dollars ($2,500.00),
1091+(2) Tier 2: Two and one-half (2 1/2) acres up to
1092+five (5) acres, the fee shall be Five Th ousand
1093+Dollars ($5,000.00),
1094+(3) Tier 3: Five (5) acres up to ten (10) acres, the
1095+fee shall be Ten Thousan d Dollars ($10,000.00),
1096+(4) Tier 4: Ten (10) acres up to twenty (20) acres,
1097+the fee shall be Twenty Thousand Dollars
1098+($20,000.00),
1099+(5) Tier 5: Twenty (20) acres up to thirty (30)
1100+acres, the fee shall be Thirty Thousand Dollars
1101+($30,000.00),
1102+(6) Tier 6: Thirty (30) acres up to forty (40)
1103+acres, the fee shall be Forty Thousand Dollars
1104+($40,000.00),
1105+(7) Tier 7: Forty (40) acres up to fifty (50) acres,
1106+the fee shall be Fifty Thousand Dollars
1107+($50,000.00), and
1108+(8) Tier 8: If the amount of acreage exceeds fifty
1109+(50) acres, the fee sha ll be Fifty Thousand
1110+Dollars ($50,000.00) plus an additi onal Two
1111+Hundred Fifty Dollars ($250.00) per acre.
1112+
1113+ENGR. S. B. NO. 264 Page 20 1
1114+2
1115+3
1116+4
1117+5
1118+6
1119+7
1120+8
1121+9
1122+10
1123+11
1124+12
1125+13
1126+14
1127+15
1128+16
1129+17
1130+18
1131+19
1132+20
1133+21
1134+22
1135+23
1136+24
1137+
1138+c. For a medical marijuana commercial grower that has a
1139+combination of both indoor and outdoor growing
1140+facilities at one location, the medical marijuana
1141+commercial grower shall be required to obtain a
1142+separate license from the Authority for each type of
1143+grow operation and shall be subject to the licensing
1144+fees provided for in subparagraphs a and b of this
1145+paragraph.
1146+d. As used in this paragraph:
1147+(1) “canopy” means the total surface area within a
1148+cultivation area that is dedicated to the
1149+cultivation of flowering marijuana plants. The
1150+surface area of the plant canopy must be
1151+calculated in square feet and mea sured and must
1152+include all of the area within the boundaries
1153+where the cultivation of the flowering marijuana
1154+plants occurs. If the surface of the plant
1155+canopy consists of noncontiguous areas, each
1156+component area must be separat ed by identifiable
1157+boundaries. If a tiered or shelving system is
1158+used in the cultivation area, the surface area of
1159+each tier or shelf must be included in
1160+calculating the area of the plant canopy .
1161+Calculation of the area of the plant canopy may
1162+
1163+ENGR. S. B. NO. 264 Page 21 1
1164+2
1165+3
1166+4
1167+5
1168+6
1169+7
1170+8
1171+9
1172+10
1173+11
1174+12
1175+13
1176+14
1177+15
1178+16
1179+17
1180+18
1181+19
1182+20
1183+21
1184+22
1185+23
1186+24
1187+
1188+not include the areas within the cult ivation area
1189+that are used to cultivate immature marijuana
1190+plants and seedlings, p rior to flowering, a nd
1191+that are not used at any time to cultivate mature
1192+marijuana plants. If the flowering plants are
1193+vertically grown in cylinde rs, the square footage
1194+of the canopy shall be measured by the
1195+circumference of the cylinder multiplied by the
1196+total length of the cylinder,
1197+(2) “greenhouse” means a structure located outdoors
1198+that is completely covered by a material that
1199+allows a controlled level of light transmission,
1200+and
1201+(3) “light deprivation” means a structure that has
1202+concrete floors and the ability to manipula te
1203+natural light.
1204+3. The initial, nonrefundable fee for a medical marijuana
1205+processor license shall be Two Thousand Five Hundred D ollars
1206+($2,500.00). The annual, nonrefundable license fee for a medical
1207+marijuana processor license shall be determined based on the
1208+previous twelve (12) months as follows:
1209+a. Tier 1: Zero The transfer or sale of zero (0) to ten
1210+thousand (10,000) pounds of biomass or production or
1211+use the production, transfer, or sale of up to one
1212+
1213+ENGR. S. B. NO. 264 Page 22 1
1214+2
1215+3
1216+4
1217+5
1218+6
1219+7
1220+8
1221+9
1222+10
1223+11
1224+12
1225+13
1226+14
1227+15
1228+16
1229+17
1230+18
1231+19
1232+20
1233+21
1234+22
1235+23
1236+24
1237+
1238+hundred (100) liters of cannabis concentrate,
1239+whichever is greater, the annual fee shall be Two
1240+Thousand Five Hundred Dollars ($2,500.00),
1241+b. Tier 2: Ten The transfer or sale of ten thousand one
1242+(10,001) pounds to fifty thousand (50,000) pounds of
1243+biomass or production or use from the production,
1244+transfer, or sale of one hundred one (101) to three
1245+hundred fifty (350) liters of cannabis concentrate,
1246+whichever is greater, the annual fee shall be Five
1247+Thousand Dollars ($5,000.00),
1248+c. Tier 3: Fifty The transfer or sale of fifty thousand
1249+one (50,001) pounds to one hundred fifty thousand
1250+(150,000) pounds of biomass or production or use from
1251+the production, transfer, or sale of three hundred
1252+fifty-one (351) to six hundred fifty (650) liters of
1253+cannabis concentrate, whichever is greater, the annual
1254+fee shall be Ten Thousand Dollars ($10,000.00),
1255+d. Tier 4: One The transfer or sale of one hundred fifty
1256+thousand one (150,001) pounds to three hundred
1257+thousand (300,000) pounds of biomass or production or
1258+use from the production, transfer, or sale of six
1259+hundred fifty-one (651) to one thousand (1,000) liters
1260+of cannabis concentrate, whichever is greater, the
1261+
1262+ENGR. S. B. NO. 264 Page 23 1
1263+2
1264+3
1265+4
1266+5
1267+6
1268+7
1269+8
1270+9
1271+10
1272+11
1273+12
1274+13
1275+14
1276+15
1277+16
1278+17
1279+18
1280+19
1281+20
1282+21
1283+22
1284+23
1285+24
1286+
1287+annual fee shall be Fifteen Thousand Dollars
1288+($15,000.00), and
1289+e. Tier 5: More The transfer or sale of more than three
1290+hundred thousand one (300,001) pounds of biomass or
1291+production or use the production, transfer, or sale in
1292+excess of one thousand one (1,001) liters of cannabis
1293+concentrate, the annual fee shall be Twenty Thousand
1294+Dollars ($20,000.00).
1295+For purposes of this paragraph only, if the cannabis concentrate
1296+is in nonliquid form, every one thousand (1,000) grams of
1297+concentrated marijuana shall be calculated as one (1) liter of
1298+cannabis concentrate.
1299+4. The initial, nonrefundable fee for a medical marijuana
1300+dispensary license shall be Two Thousand Five Hundred Dollars
1301+($2,500.00). The annual, nonrefundable license fee for a medical
1302+marijuana dispensary license shall be calculated at ten percent
1303+(10%) of the sum of twelve (12) calendar months of the combined
1304+annual state sales tax and state excise tax of the dispensa ry during
1305+the previous twelve (12) months. The minimum fee shall be not less
1306+than Two Thousand Five Hundred Doll ars ($2,500.00) and the maximum
1307+fee shall not exceed Ten Thousand Dollars ($10,000.00).
1308+5. The annual, nonrefundable license fee for a medical
1309+marijuana testing laboratory shall be Twenty Thousand Dollars
1310+($20,000.00).
1311+
1312+ENGR. S. B. NO. 264 Page 24 1
1313+2
1314+3
1315+4
1316+5
1317+6
1318+7
1319+8
1320+9
1321+10
1322+11
1323+12
1324+13
1325+14
1326+15
1327+16
1328+17
1329+18
1330+19
1331+20
1332+21
1333+22
1334+23
1335+24
1336+
1337+E. All applicants seeking licensure or licensure renewal as a
1338+medical marijuana business shall comply with the following general
1339+requirements:
1340+1. All applications for licenses and registrations authorized
1341+pursuant to this section shall be made upon forms prescribed by the
5061342 Authority;
507-2. Review and enter into contracts bet ween the Authority and
508-vendors; and
509-3. Adopt and promulgate rules as necessary and appropr iate to
510-carry out the duties and responsibilities of the Oklahoma Med ical
511-Marijuana Authority.
512-G. Members appointed pursuant to subsection B of thi s section
513-shall serve without compensation but shall be reimbursed for
514-expenses incurred in the performance of their duties in accordance
515-with the State Travel Reimbursement Act .
516-H. The Oklahoma Medical Marijuana Authority Board shall meet as
517-often as necessary to conduct business but shall meet not less than
518-four times a year, with an organizational meeting to be held prior
519-to January 1, 2024. In addition, special meetings may be called by
520-the Executive Director of the Oklahoma Medical Marijuana Authori ty.
521-I. Any vacancy occurring on the Oklahoma Medical Marijuana
522-Authority Board shall be filled for the unexp ired term of office in
523-the same manner as provided for in subsection B of this section.
524-J. The Oklahoma Medical Marijuana Authority shall provid e
525-clerical staff to perform designated duties of the Oklahoma Medical
526-
527-Req. No. 2195 Page 11 1
528-2
529-3
530-4
531-5
532-6
533-7
534-8
535-9
536-10
537-11
538-12
539-13
540-14
541-15
542-16
543-17
544-18
545-19
546-20
547-21
548-22
549-23
550-24
551-
552-Marijuana Authority Board. The Oklahoma Medical Marijuana Authority
553-shall also provide space for meetings of the Board.
554-K. The Oklahoma Medical Marijuana Authority Board shall act in
555-accordance with the provisions of the Oklahoma Open Meeting Act, the
556-Oklahoma Open Records Act , and the Administrative Procedures Act.
557-SECTION 4. This act shall become effective November 1, 2023.
558-
559-59-1-2195 MR 5/24/2023 6:25:01 PM
1343+2. Each application shall identify the city or co unty in which
1344+the applicant seeks to obtain licensure as a medical marijuana
1345+business;
1346+3. Applicants shall submit a complete application to the
1347+Authority before the application may be accepted or considered;
1348+4. All applications shall be comple te and accurate in every
1349+detail;
1350+5. All applications shal l include all attachments or
1351+supplemental information required by the forms supplied by the
1352+Authority;
1353+6. All applications for a transporter license, initial
1354+dispensary license, initial processor license, or laboratory license
1355+shall be accompanied by a full remittance for the whole amount of
1356+the application fees. Application license fee as set forth in
1357+subsection D of this section. All submissions of grower
1358+applications, renewal processor applications, and renewal dispensary
1359+applications shall be accompani ed by a remittance of a fee of Two
1360+Thousand Five Hundred Dollars ($2,500.00). The Authority shall
1361+
1362+ENGR. S. B. NO. 264 Page 25 1
1363+2
1364+3
1365+4
1366+5
1367+6
1368+7
1369+8
1370+9
1371+10
1372+11
1373+12
1374+13
1375+14
1376+15
1377+16
1378+17
1379+18
1380+19
1381+20
1382+21
1383+22
1384+23
1385+24
1386+
1387+invoice license applicants, if applicable, for any additional
1388+licensing fees owed pursuant to subsection D of this section prior
1389+to approval of a license application . License fees are
1390+nonrefundable;
1391+7. All applicants shall be approved for licensing review that,
1392+at a minimum, meets the following criteria:
1393+a. twenty-five (25) years of age or older,
1394+b. if applying as an individual, proof that the applic ant
1395+is an Oklahoma resident pursuant to paragraph 11 of
1396+this subsection,
1397+c. if applying as an entity, proof that seventy-five
1398+percent (75%) of all members, managers, executive
1399+officers, partners, board members or any other form of
1400+business ownership are Ok lahoma residents pursuant to
1401+paragraph 11 of this subsecti on,
1402+d. if applying as an individual or entity, proof that the
1403+individual or entity is registered to conduct business
1404+in the State of Oklahoma this state,
1405+e. disclosure of all ownership interests pursuant t o the
1406+Oklahoma Medical Marijuana and Patient Protection Act,
1407+and
1408+f. proof that the medical marijuana business, medical
1409+marijuana research facility, medical marijuana
1410+education facility and medical marijuana waste
1411+
1412+ENGR. S. B. NO. 264 Page 26 1
1413+2
1414+3
1415+4
1416+5
1417+6
1418+7
1419+8
1420+9
1421+10
1422+11
1423+12
1424+13
1425+14
1426+15
1427+16
1428+17
1429+18
1430+19
1431+20
1432+21
1433+22
1434+23
1435+24
1436+
1437+disposal facility applicant or licensee has not been
1438+convicted of a nonviolent felony in the last two (2)
1439+years, or any other felony conviction within the last
1440+five (5) years, is not a current inmate in the custody
1441+of the Department of Corrections, or currently
1442+incarcerated in a jail or corrections fac ility;
1443+8. There shall be no limit to the number of medical marijuana
1444+business licenses or categories that an individual or entity can
1445+apply for or receive, although each application and each category
1446+shall require a separate application and application fe e. A
1447+commercial grower, processor and dispensary, or any combination
1448+thereof, are authorized to share the same address or physical
1449+location, subject to the restrictions set forth in the Oklahoma
1450+Medical Marijuana and Patient Protection Act;
1451+9. All applicants for a medical marijuana business license,
1452+research facility license or education facility license authorized
1453+by the Oklahoma Medical Marijuana and Patient Protection Act, or for
1454+a renewal of such license, shall undergo an Oklahoma criminal
1455+history background check conducted by the Oklahoma State Bureau of
1456+Investigation (OSBI) within thirty (30) days prior to the
1457+application for the license, including:
1458+a. individual applicants applying on their own behalf,
1459+b. individuals applying on behalf of an entity,
1460+c. all principal officers of an entity, and
1461+
1462+ENGR. S. B. NO. 264 Page 27 1
1463+2
1464+3
1465+4
1466+5
1467+6
1468+7
1469+8
1470+9
1471+10
1472+11
1473+12
1474+13
1475+14
1476+15
1477+16
1478+17
1479+18
1480+19
1481+20
1482+21
1483+22
1484+23
1485+24
1486+
1487+d. all owners of an entity as defined by the Oklahoma
1488+Medical Marijuana and Patient Protection Act;
1489+10. All applicable fees charged by the OSBI are the
1490+responsibility of the applicant and shall not be higher than fees
1491+charged to any other person or industry for such background checks;
1492+11. In order to be considered an Oklahoma resident for purposes
1493+of a medical marijuana business application, all applicants shall
1494+provide proof of Oklahoma residency for at le ast two (2) years
1495+immediately preceding the date of application or five (5) years of
1496+continuous Oklahoma residency during the preceding twenty-five (25)
1497+years immediately preceding the date of application. Sufficient
1498+documentation of proof of residency sh all include a combination of
1499+the following:
1500+a. an unexpired Oklahoma-issued driver license,
1501+b. an Oklahoma identification card,
1502+c. a utility bill preceding the date of application,
1503+excluding cellular telephone and Internet bills,
1504+d. a residential property deed to property in the State
1505+of Oklahoma this state, and
1506+e. a rental agreement preceding the date of application
1507+for residential property located in the State of
1508+Oklahoma this state.
1509+
1510+ENGR. S. B. NO. 264 Page 28 1
1511+2
1512+3
1513+4
1514+5
1515+6
1516+7
1517+8
1518+9
1519+10
1520+11
1521+12
1522+13
1523+14
1524+15
1525+16
1526+17
1527+18
1528+19
1529+20
1530+21
1531+22
1532+23
1533+24
1534+
1535+Applicants that were issued a medical marijuana business license
1536+prior to August 30, 2019, are hereby exempt from the two-year or
1537+five-year Oklahoma residence requirement mentioned above;
1538+12. All license applicants shall be required to submit a
1539+registration with the Oklahoma State Bureau of Narcotics and
1540+Dangerous Drugs Control as provided in Sections 2-302 through 2-304
1541+of this title;
1542+13. All applicants shall establish their identity through
1543+submission of a color copy or digital image of one of the following
1544+unexpired documents:
1545+a. front of an Oklahoma driver license,
1546+b. front of an Oklahoma identification card,
1547+c. a United States passport or other photo identification
1548+issued by the United States government, or
1549+d. a tribal identification card approved for
1550+identification purposes by the Oklahoma Department of
1551+Public Safety; and
1552+14. All applicants shall submit an applicant photograph.
1553+F. The Authority shall review the medical marijuana business
1554+application; approve, reject, or deny the application; and mail send
1555+the approval, rejection, denial, or status-update letter to the
1556+applicant in the same method the application was su bmitted to the
1557+Authority within ninety (90) business days of receipt of the
1558+application.
1559+
1560+ENGR. S. B. NO. 264 Page 29 1
1561+2
1562+3
1563+4
1564+5
1565+6
1566+7
1567+8
1568+9
1569+10
1570+11
1571+12
1572+13
1573+14
1574+15
1575+16
1576+17
1577+18
1578+19
1579+20
1580+21
1581+22
1582+23
1583+24
1584+
1585+G. 1. The Authority shall review the medical marijuana
1586+business applications and, conduct all investigations, inspections,
1587+and interviews, and collect all license and application fees before
1588+approving the application.
1589+2. Approved applicants shall be issued a medical marijuana
1590+business license for the specific category applied under, which
1591+shall act as proof of their approved status. Rejection and denial
1592+letters shall provide a reason for the rejection or denial.
1593+Applications may only be rejected or denied based on the applicant
1594+not meeting the standards set forth in the provisions of the
1595+Oklahoma Medical Marijuana and Patient Protection Act and Sections
1596+420 through 426.1 of this title, improper completion of the
1597+application, unpaid license or application fees, or for a reason
1598+provided for in the Oklahoma Medical Marijuana and Patient
1599+Protection Act and Sections 420 through 426.1 of this title. If an
1600+application is rejected for failure to provide required information,
1601+the applicant shall have thirty (30) days to submit the required
1602+information for reconsideration. No additional application fee
1603+shall be charged for such reconsideration. Unless the Authority
1604+determines otherwise, an application that has been resubmitted but
1605+is still incomplete or contains errors that are not clerical or
1606+typographical in nature shall be denied.
1607+3. Status-update letters shall provide a reason for delay in
1608+either approval, rejection or denial should a situation arise in
1609+
1610+ENGR. S. B. NO. 264 Page 30 1
1611+2
1612+3
1613+4
1614+5
1615+6
1616+7
1617+8
1618+9
1619+10
1620+11
1621+12
1622+13
1623+14
1624+15
1625+16
1626+17
1627+18
1628+19
1629+20
1630+21
1631+22
1632+23
1633+24
1634+
1635+which an application was submitted properly but a delay in
1636+processing the application oc curred.
1637+4. Approval, rejection, denial or status-update letters shall
1638+be sent to the applicant in the same method the application was
1639+submitted to the Authority.
1640+H. A license for a medical marijuana business, medical
1641+marijuana research facility, medical marijuana education facility or
1642+medical marijuana waste disposal facility shall not be issued to or
1643+held by:
1644+1. A person until all required fees have been paid;
1645+2. A person who has been convicted of a nonviolent felony
1646+within two (2) years of the date of application, or within five (5)
1647+years for any other felony;
1648+3. A corporation, if the criminal history of any of its
1649+officers, directors or stockholders indicates that the officer,
1650+director or stockholder has been conv icted of a nonviolent felony
1651+within two (2) years of the date of application, or within five (5)
1652+years for any other felony;
1653+4. A person under twenty-five (25) years of age;
1654+5. A person licensed pursuant to this section who, during a
1655+period of licensure, or who, at the time of application, has failed
1656+to:
1657+a. file taxes, interest or penalties due related to a
1658+medical marijuana business, or
1659+
1660+ENGR. S. B. NO. 264 Page 31 1
1661+2
1662+3
1663+4
1664+5
1665+6
1666+7
1667+8
1668+9
1669+10
1670+11
1671+12
1672+13
1673+14
1674+15
1675+16
1676+17
1677+18
1678+19
1679+20
1680+21
1681+22
1682+23
1683+24
1684+
1685+b. pay taxes, interest or penalties due related to a
1686+medical marijuana business;
1687+6. A sheriff, deputy sheriff, po lice officer or prosecuting
1688+officer, or an officer or employee of the Authority or municipality;
1689+7. A person whose authority to be a caregiver, as defined in
1690+Section 427.2 of this title, has been revoked by the Authority; or
1691+8. A person who was involved in the man agement or operations of
1692+any medical marijuana business, medical mar ijuana research facility,
1693+medical marijuana education facility or medical marijuana waste
1694+disposal facility that, after the initiation of a disciplinary
1695+action, has had a medical marijuana license revoked, not renewed, or
1696+surrendered during the five (5) ye ars preceding submission of the
1697+application and for the following violations:
1698+a. unlawful sales or purchases,
1699+b. any fraudulent acts, falsification of records or
1700+misrepresentation to the Authority, medical marijuana
1701+patient licensees, caregiver licensees o r medical
1702+marijuana business licensees,
1703+c. any grossly inaccurate or fraudulent reporting,
1704+d. threatening or harming any medical marijuana patient,
1705+caregiver, medical practitioner or e mployee of the
1706+Authority,
1707+e. knowingly or intentionally refus ing to permit the
1708+Authority access to premises or records,
1709+
1710+ENGR. S. B. NO. 264 Page 32 1
1711+2
1712+3
1713+4
1714+5
1715+6
1716+7
1717+8
1718+9
1719+10
1720+11
1721+12
1722+13
1723+14
1724+15
1725+16
1726+17
1727+18
1728+19
1729+20
1730+21
1731+22
1732+23
1733+24
1734+
1735+f. using a prohibited, hazardous substance for processing
1736+in a residential area,
1737+g. criminal acts relating to the operation of a medical
1738+marijuana business, or
1739+h. any violations that end anger public health and safety
1740+or product safety.
1741+I. In investigating the qualifications of an applicant or a
1742+licensee, the Authority and municipalities may have ac cess to
1743+criminal history record information furnished by a criminal justice
1744+agency subject to any restrictions imposed by such an agency.
1745+J. The failure of an applicant or licensee to provide the
1746+requested information by the Authority deadline may be grou nds for
1747+denial of the application.
1748+K. All applicants and licensees shall submit information to the
1749+Authority in a full, faithful, truthful and fair manner. The
1750+Authority may recommend denial of an application where the applicant
1751+or licensee made misstatements, omissions, misrepresentations or
1752+untruths in the application or in connection with the background
1753+investigation of the applicant. This type of conduct may be grounds
1754+for administrative action against the applicant or licensee. Typos
1755+and scrivener errors shall not be grounds for denial.
1756+L. A licensed medical marijuana business premises shall be
1757+subject to and responsible for compliance with applicable provisions
1758+consistent with the zoning where such business is located as
1759+
1760+ENGR. S. B. NO. 264 Page 33 1
1761+2
1762+3
1763+4
1764+5
1765+6
1766+7
1767+8
1768+9
1769+10
1770+11
1771+12
1772+13
1773+14
1774+15
1775+16
1776+17
1777+18
1778+19
1779+20
1780+21
1781+22
1782+23
1783+24
1784+
1785+described in the most recent versions of the Oklahoma Uniform
1786+Building Code, the International Building Code and the International
1787+Fire Code, unless granted an exemption by a municipality or
1788+appropriate code enforcement entity.
1789+M. All medical marijuana business, medical marijuana research
1790+facility, medical marijuana education facility and medical marijuana
1791+waste disposal facility licensees shall pay the relevant licensure
1792+fees prior to receiving licensure to operate.
1793+N. A medical marijuana business, medical marijuana research
1794+facility, medical marijuana education facility or medical marijuana
1795+waste disposal facility that attempts to renew its license after the
1796+expiration date of the license shall pay a late renewal fee in an
1797+amount to be determined by the Authority to reinstate the license.
1798+Late renewal fees are nonre fundable. A license that has been
1799+expired for more than ninety (90) days shall not be renewed.
1800+O. No medical marijuana business, medical marijuana research
1801+facility, medical marijuana education facility or medical marijuana
1802+waste disposal facility shall possess, sell or transfer medical
1803+marijuana or medical marijuana products without a valid, unexpired
1804+license issued by the Authority.
1805+P. The Executive Director of the Author ity may promulgate rules
1806+to implement the provisions of this section including, but not
1807+limited to, required application mat erials to be submitted by the
1808+
1809+ENGR. S. B. NO. 264 Page 34 1
1810+2
1811+3
1812+4
1813+5
1814+6
1815+7
1816+8
1817+9
1818+10
1819+11
1820+12
1821+13
1822+14
1823+15
1824+16
1825+17
1826+18
1827+19
1828+20
1829+21
1830+22
1831+23
1832+24
1833+
1834+applicant and utilized by the Authority to determine medical
1835+marijuana business licensing fees pursuan t to this section.
1836+SECTION 7. AMENDATORY 63 O.S. 2021, Section 427.16, as
1837+last amended by Section 16, Chapter 251, O.S.L. 2022 (63 O.S. S upp.
1838+2022, Section 427.16), is amended to read as follows:
1839+Section 427.16. A. There is hereby created a medical marijuana
1840+transporter license as a category of the medical marijuana business
1841+license.
1842+B. Pursuant to Sect ion 424 of this title, the Oklahoma Medical
1843+Marijuana Authority shall issue a medical marijuana transporter
1844+license to licensed medical marijuana commercial growers, processors
1845+and dispensaries upon issuance of such licenses and upon each
1846+renewal. Medical marijuana transporter licenses shall also be
1847+issued to licensed medical marijuana research facilities, medical
1848+marijuana education facilities and medical marijuana testing
1849+laboratories upon issuance of such licenses and upon each renewal.
1850+C. A medical marijuana transporter license may also be issued
1851+to qualifying applicants who are registered with the Secretary of
1852+State and otherwise meet the requirements for a medical marijuana
1853+business license set forth in the Oklahoma Medical Marijuana and
1854+Patient Protection Act and the requirements set forth in this
1855+section to provide logistics, distribution and storage of medical
1856+marijuana, medical marijuana concentrate and medical marijuana
1857+products.
1858+
1859+ENGR. S. B. NO. 264 Page 35 1
1860+2
1861+3
1862+4
1863+5
1864+6
1865+7
1866+8
1867+9
1868+10
1869+11
1870+12
1871+13
1872+14
1873+15
1874+16
1875+17
1876+18
1877+19
1878+20
1879+21
1880+22
1881+23
1882+24
1883+
1884+D. A medical marijuana transporter license shall be valid for
1885+one (1) year and shall not be transferred with a change of
1886+ownership. A licensed medical marijuana transporter shall be
1887+responsible for all medical marijuana, medical marijuana concentrate
1888+and medical marijuana products once the transporter takes con trol of
1889+the product.
1890+E. A transporter license shall be required for any person or
1891+entity to transport or transfer medical marijuana, medical marijuana
1892+concentrate or medical marijuana products from a licensed medical
1893+marijuana business to another medical marijuana business, or from a
1894+medical marijuana business to a medical marijuana research facility
1895+or medical marijuana education facility.
1896+F. A medical marijuana transporter licensee may contract with
1897+multiple licensed medical marijuana businesses.
1898+G. A medical marijuana transporter may maintain a licensed
1899+premises to temporarily store medical marijuana, medical marijuana
1900+concentrate and medical marijuana products and to use as a
1901+centralized distribution point. A medical marijuana transporter may
1902+store and distribute medical marijuana, medical marijuana
1903+concentrate and medical marijuana products from the licensed
1904+premises. The licensed premises shall meet all security
1905+requirements applicable to a medical marijuana business.
1906+H. A medical marijuana transp orter licensee shall use the seed-
1907+to-sale tracking system developed pursuant to the Oklahoma Medical
1908+
1909+ENGR. S. B. NO. 264 Page 36 1
1910+2
1911+3
1912+4
1913+5
1914+6
1915+7
1916+8
1917+9
1918+10
1919+11
1920+12
1921+13
1922+14
1923+15
1924+16
1925+17
1926+18
1927+19
1928+20
1929+21
1930+22
1931+23
1932+24
1933+
1934+Marijuana and Patient Protection Act to create shipping manifests
1935+documenting the transport of medical marijuana, medical marijuana
1936+concentrate and medical marijuana products throughout the state.
1937+I. A licensed medical marijuana transporter may maintain and
1938+operate one or more warehouses in the state to handle medical
1939+marijuana, medical marijuana concentrate and medical marijuana
1940+products. Each location sh all be registered and inspected by the
1941+Authority prior to its use.
1942+J. With the exception of a lawful transfer between medical
1943+marijuana businesses who are licensed to operate at the same
1944+physical address, all medical marijuana, medical marijuana
1945+concentrate and medical marijuana products shall be transported:
1946+1. In vehicles equipped with Global Positioning System (GPS)
1947+trackers;
1948+2. In a locked container and clearly labeled “Medical Marijuana
1949+or Derivative”; and
1950+3. In a secured area of the vehicle that i s not accessible by
1951+the driver during transit.
1952+K. A transporter agent may possess marijuana at any location
1953+while the transporter agent is transferring marijuana to or from a
1954+licensed medical marijuana business, licensed medical marijuana
1955+research facility or licensed medical marijuana education facility.
1956+The Authority shall administer and enforce the provisions of this
1957+section concerning transportation.
1958+
1959+ENGR. S. B. NO. 264 Page 37 1
1960+2
1961+3
1962+4
1963+5
1964+6
1965+7
1966+8
1967+9
1968+10
1969+11
1970+12
1971+13
1972+14
1973+15
1974+16
1975+17
1976+18
1977+19
1978+20
1979+21
1980+22
1981+23
1982+24
1983+
1984+L. The Authority shall issue a transporter agent license to
1985+individual agents, employees, officers or owners of a transporter
1986+license in order for the individual to qualify to transport medical
1987+marijuana, medical marijuana concentrate or medical marijuana
1988+products.
1989+M. The annual fee for a transporter agent license shall be
1990+Twenty-five Dollars ($25.00) and shall be paid by the transporter
1991+license holder or the individual applicant. Transporter agent
1992+license reprints shall be Twenty Dollars ($20.00).
1993+N. The Authority shall issue each transporter agent a registry
1994+identification card within thirty (30) days of receipt of:
1995+1. The name, address and date of birth of the person;
1996+2. Proof of current state residency;
1997+3. Proof of identity as required for a medical marijuana
1998+business license;
1999+4. Possession of a valid state-issued driver license;
2000+5. Verification of employment with a licensed transporter;
2001+6. The application and affiliated fee; and
2002+7. A copy of the criminal background check conducted by the
2003+Oklahoma State Bureau of Investigation, paid for by the applicant.
2004+O. If the transporter agent application is denied, the
2005+Authority shall notify the transporter in writing of the reason for
2006+denying the registry identification card.
2007+
2008+ENGR. S. B. NO. 264 Page 38 1
2009+2
2010+3
2011+4
2012+5
2013+6
2014+7
2015+8
2016+9
2017+10
2018+11
2019+12
2020+13
2021+14
2022+15
2023+16
2024+17
2025+18
2026+19
2027+20
2028+21
2029+22
2030+23
2031+24
2032+
2033+P. A registry identification card for a transporter shall
2034+expire one (1) year after the date of issuance or upon notification
2035+from the holder of the transporter l icense that the transporter
2036+agent ceases to work as a transporter.
2037+Q. The Authority may revoke the registry identification card of
2038+a transporter agent who knowi ngly violates any provision of this
2039+section, and the transporter is subject to any o ther penalties
2040+established by law for the violation.
2041+R. The Authority may revoke or suspend the transporter license
2042+of a transporter that the Authority determines knowingly aided or
2043+facilitated a violation of any provision of this se ction, and the
2044+license holder is subject to any other penalties established in law
2045+for the violation.
2046+S. Vehicles used in the transport of medical marijuana or
2047+medical marijuana product shall be:
2048+1. Insured at or above the legal requirements in this state;
2049+2. Capable of securing medical marijuana during transport; and
2050+3. In possession of a shipping container a s defined in Section
2051+427.2 of this title capable of securing all transported products.
2052+T. Prior to the transport of any medical marijuan a, medical
2053+marijuana concentrate or medical marijuana products, an inventory
2054+manifest shall be prepared at the originat ion point of the medical
2055+marijuana. The inventory manifest shal l include the following
2056+information:
2057+
2058+ENGR. S. B. NO. 264 Page 39 1
2059+2
2060+3
2061+4
2062+5
2063+6
2064+7
2065+8
2066+9
2067+10
2068+11
2069+12
2070+13
2071+14
2072+15
2073+16
2074+17
2075+18
2076+19
2077+20
2078+21
2079+22
2080+23
2081+24
2082+
2083+1. For the origination point of the medical marijuana:
2084+a. the licensee number for the commercial grower,
2085+processor or dispensary,
2086+b. address of originatio n of transport, and
2087+c. name and contact information for the orig inating
2088+licensee;
2089+2. For the end recipient license holder of the medical
2090+marijuana:
2091+a. the license number for the dispensary, commercial
2092+grower, processor, research facility or education
2093+facility destination,
2094+b. address of the destination, and
2095+c. name and contact information for the destination
2096+licensee;
2097+3. Quantities by weig ht or unit of each type of medical
2098+marijuana product contained in transport;
2099+4. The date of the transport and the appr oximate time of
2100+departure;
2101+5. The arrival date and estimated ti me of arrival;
2102+6. Printed names and signatures of the personnel accompan ying
2103+the transport; and
2104+7. Notation of the transporting licensee.
2105+U. 1. A separate inventory manifest shall be prepa red for each
2106+licensee receiving the medical marijuana.
2107+
2108+ENGR. S. B. NO. 264 Page 40 1
2109+2
2110+3
2111+4
2112+5
2113+6
2114+7
2115+8
2116+9
2117+10
2118+11
2119+12
2120+13
2121+14
2122+15
2123+16
2124+17
2125+18
2126+19
2127+20
2128+21
2129+22
2130+23
2131+24
2132+
2133+2. The transporter agent shall provide the other medical
2134+marijuana business with a copy of the inventory manifest at the time
2135+the product changes hands and after the other licensee prints his or
2136+her name and signs the inventory manifest.
2137+3. A receiving licensee s hall refuse to accept any medical
2138+marijuana, medical marijuana concentrat e or medical marijuana
2139+products that are not accompanied by an inventory manifest.
2140+4. Originating and receiving licens ees shall maintain copies of
2141+inventory manifests and logs of qua ntities of medical marijuana
2142+received for seven (7) years from date of re ceipt.
2143+SECTION 8. AMENDATORY 63 O.S. 2021, Section 427.17, as
2144+last amended by Section 1, Chapter 353, O.S.L. 2022 (63 O. S. Supp.
2145+2022, Section 427.17), is amended to read as fol lows:
2146+Section 427.17. A. There is hereby created a medical marijuana
2147+testing laboratory licens e as a category of the medical marijuana
2148+business license. The Oklahoma Medical Marijuana Authority is
2149+hereby enabled to monitor, inspect and audit a licensed testing
2150+laboratory under the Oklahoma Medical Marijuana and Patient
2151+Protection Act.
2152+B. 1. The Authority is hereby authorized to contract with a
2153+private laboratory for the purpose of conducting compliance testing
2154+of medical marijuana testing laboratories licensed in this state.
2155+Any such laboratory under contract for compliance testing shall be
2156+prohibited from conducting any other commercial medical ma rijuana
2157+
2158+ENGR. S. B. NO. 264 Page 41 1
2159+2
2160+3
2161+4
2162+5
2163+6
2164+7
2165+8
2166+9
2167+10
2168+11
2169+12
2170+13
2171+14
2172+15
2173+16
2174+17
2175+18
2176+19
2177+20
2178+21
2179+22
2180+23
2181+24
2182+
2183+testing in this state. The laboratory the Authority contracts with
2184+for compliance testing shall not employ, or be owned by, the
2185+following:
2186+a. any individual that has a direct or indirect interest
2187+in a licensed medical marijuana business , or
2188+b. any individual or his or her spouse, parent, child,
2189+spouse of a child, sibling or spouse of a sibling that
2190+has an application for a medical marijuana business
2191+license pending before th e Authority or is a member of
2192+the board of directors of a medi cal marijuana
2193+business, or is an individual financially interested
2194+in any licensee or medical marijuana business located
2195+within this state.
2196+2. The private laboratory under contract with the Authority for
2197+compliance testing and a board or committee comprised of licensed
2198+Oklahoma medical marijuana laboratories current ly accredited by the
2199+International Organization for Standardization (ISO) shall provide
2200+to the Authority its recommendations for all equipment and standards
2201+to be utilized by licensed medical marijuana testing laboratories
2202+when testing samples of medical marijuana, medical marijuana
2203+concentrate, and medical marijuana products as well as standard
2204+operating procedures when extracting and testing medical marijuana,
2205+medical marijuana concentrate, and medical marijuana products. The
2206+recommendations shall be submitted to the Authority no later than
2207+
2208+ENGR. S. B. NO. 264 Page 42 1
2209+2
2210+3
2211+4
2212+5
2213+6
2214+7
2215+8
2216+9
2217+10
2218+11
2219+12
2220+13
2221+14
2222+15
2223+16
2224+17
2225+18
2226+19
2227+20
2228+21
2229+22
2230+23
2231+24
2232+
2233+June 1, 2023. The Authority shall have ninety (90) days from the
2234+date it receives the recommendations to promulgate new rules or
2235+modify its current rules for laboratory standards and testing.
2236+Beginning June 1, 2024, medical marijuana testing laboratories
2237+renewing their medical marijuana business license shall be subject
2238+to and comply with any new or modified rules relating to the testing
2239+of medical marijuana, medical marijuana concentrate, and medical
2240+marijuana products. The refusal or failure of a medical marijuana
2241+testing laboratory licensee to comply with new or modified rules
2242+relating to laboratory standards and testing pr ocedures promulgated
2243+under the provisions of this paragraph shall result in the permanent
2244+revocation of the medical marijuana testing laboratory license.
2245+C. The Authority shall develop acceptable testin g practices
2246+including, but not limited to, testing, standards, quality control
2247+analysis, equipment certification and calibration, and chemical
2248+identification and substances used.
2249+D. A person who is a direct beneficial owner of a medical
2250+marijuana dispensary, medical marij uana commercial grower or medical
2251+marijuana processor shall not be an owner of a laboratory.
2252+E. A laboratory and a laboratory applicant shall comply with
2253+all applicable local ordinances including, but not limited to,
2254+zoning, occupancy, licensing and build ing codes.
2255+F. A separate license shall be required for each specific
2256+laboratory.
2257+
2258+ENGR. S. B. NO. 264 Page 43 1
2259+2
2260+3
2261+4
2262+5
2263+6
2264+7
2265+8
2266+9
2267+10
2268+11
2269+12
2270+13
2271+14
2272+15
2273+16
2274+17
2275+18
2276+19
2277+20
2278+21
2279+22
2280+23
2281+24
2282+
2283+G. A medical marijuana testing laboratory license may be issued
2284+to a person who perform s testing on medical marijuana and medical
2285+marijuana products for medical marijuana bu sinesses, medical
2286+marijuana research facilities, medical marijuana education
2287+facilities, and testing on marijuana and marijuana products grown or
2288+produced by a patient or caregiver on behalf of a patient, upon
2289+verification of registration . A medical marijuana testing
2290+laboratory may also conduct research related to the development and
2291+improvement of its testing practices and procedures. No state-
2292+approved medical marijuana testing facility shall operate unless a
2293+medical laboratory director is on site during operational hours.
2294+H. Laboratory applicants and licensees shall comply with the
2295+application requirements of this section and shall submit such other
2296+information as required for a medical marijuana business applicant,
2297+in addition to any information the Au thority may request for initial
2298+approval and periodic evaluations during the approval period.
2299+I. A medical marijuana testing laboratory may accept samples of
2300+medical marijuana, medical marijuana concentrate or medical
2301+marijuana product from a medical mari juana business, medical
2302+marijuana research facility or medical marijuana education facility
2303+for testing purposes only, which purposes may include the provision
2304+of testing services for samples submitted by a medical marijuana
2305+business for product developmen t. The Authority may require a
2306+medical marijuana business to submit a sample of medical marijuana,
2307+
2308+ENGR. S. B. NO. 264 Page 44 1
2309+2
2310+3
2311+4
2312+5
2313+6
2314+7
2315+8
2316+9
2317+10
2318+11
2319+12
2320+13
2321+14
2322+15
2323+16
2324+17
2325+18
2326+19
2327+20
2328+21
2329+22
2330+23
2331+24
2332+
2333+medical marijuana concentrate or medical marijuana product to a
2334+medical marijuana testing or quality assurance laboratory upon
2335+demand.
2336+J. A medical marijuana testing laboratory may accept sam ples of
2337+medical marijuana, medical marijuana concentrate or medical
2338+marijuana product from an individual person for testing only under
2339+the following conditions:
2340+1. The individual person is a patient or caregi ver pursuant to
2341+the Oklahoma Medical Marijuana and Patient Protection Act or is a
2342+participant in an approved clinical or observational study conducted
2343+by a research facility; and
2344+2. The medical marijuana testing laboratory shall require the
2345+patient or caregiver to produce a valid patient license and c urrent
2346+and valid photo identification.
2347+K. A medical marijuana testing laboratory may transfer samples
2348+to another medical marijuana testing laboratory for testing. All
2349+laboratory reports provided to or by a m edical marijuana business or
2350+to a patient or caregiver shall identify the medical marijuana
2351+testing laboratory that actually conducted the test.
2352+L. A medical marijuana testing laboratory may utilize a
2353+licensed medical marijuana transporter to transport sa mples of
2354+medical marijuana, medical marijuana c oncentrate and medical
2355+marijuana product for testing, in accordance with the Oklahoma
2356+Medical Marijuana and Patient Protection Act and the rules adopted
2357+
2358+ENGR. S. B. NO. 264 Page 45 1
2359+2
2360+3
2361+4
2362+5
2363+6
2364+7
2365+8
2366+9
2367+10
2368+11
2369+12
2370+13
2371+14
2372+15
2373+16
2374+17
2375+18
2376+19
2377+20
2378+21
2379+22
2380+23
2381+24
2382+
2383+pursuant thereto, between the originating medical mariju ana business
2384+requesting testing services and th e destination laboratory
2385+performing testing services.
2386+M. The medical marijuana testing laboratory shall establish
2387+policies to prevent the existence of or appearance of undue
2388+commercial, financial or other inf luences that may diminish the
2389+competency, impartiality and integrity of the testing processes or
2390+results of the laboratory, or that may diminish public confidence in
2391+the competency, impartiality and integrity of the testing proce sses
2392+or results of the labo ratory. At a minimum, employees, owners or
2393+agents of a medical marijuana testing laboratory who participate in
2394+any aspect of the analysis and results of a sample are prohibited
2395+from improperly influencing the testing process, im properly
2396+manipulating data or improperly benefiting from any ongoing
2397+financial, employment, personal or business relationship with the
2398+medical marijuana business that provided the sample. A medical
2399+marijuana testing laboratory shall not test samples for a ny medical
2400+marijuana business in which an owner, employee or agent of the
2401+medical marijuana testing laboratory has any form of ownership or
2402+financial interest in the medical marijuana business.
2403+N. The Authority, pursuant to rules promulgated by the
2404+Executive Director of the Authority , shall develop standards,
2405+policies and procedures as necessary for:
2406+
2407+ENGR. S. B. NO. 264 Page 46 1
2408+2
2409+3
2410+4
2411+5
2412+6
2413+7
2414+8
2415+9
2416+10
2417+11
2418+12
2419+13
2420+14
2421+15
2422+16
2423+17
2424+18
2425+19
2426+20
2427+21
2428+22
2429+23
2430+24
2431+
2432+1. The cleanliness and orderliness of a laboratory premise s and
2433+the location of the laboratory in a secure location, and inspection,
2434+cleaning and maintenance of any equipment or utensils used f or the
2435+analysis of test samples;
2436+2. Testing procedures, testing standards for cannabinoid and
2437+terpenoid potency and safe levels of contaminants, and remediation
2438+procedures;
2439+3. Controlled access areas for storage of medical marijuana and
2440+medical marijuana product test samples, waste and reference
2441+standards;
2442+4. Records to be retained and computer systems to be utilized
2443+by the laboratory;
2444+5. The possession, storage and use by the laboratory of
2445+reagents, solutions and reference standards;
2446+6. A certificate of analysis (COA) for each lot of reference
2447+standard;
2448+7. The transport and disposal of unused marijuana, marijuana
2449+products and waste;
2450+8. The mandatory use by a laboratory of an inventory tracking
2451+system to ensure all harvest and production batches or samples
2452+containing medical marijuana, medical marijuana concentrate or
2453+medical marijuana products are identified and tracke d from the point
2454+they are transferred from a medical marijuana business, a patient or
2455+a caregiver through the point of transfer, destruction or disposal.
2456+
2457+ENGR. S. B. NO. 264 Page 47 1
2458+2
2459+3
2460+4
2461+5
2462+6
2463+7
2464+8
2465+9
2466+10
2467+11
2468+12
2469+13
2470+14
2471+15
2472+16
2473+17
2474+18
2475+19
2476+20
2477+21
2478+22
2479+23
2480+24
2481+
2482+The inventory tracking system reporting shall include the results of
2483+any tests that are conducted on medical marijuana, medical marijuana
2484+concentrate or medical marijuana product;
2485+9. Standards of performance;
2486+10. The employment of laboratory personnel;
2487+11. A written standard operating procedure manual to be
2488+maintained and updated by the laboratory;
2489+12. The successful participation in a proficiency testing
2490+program approved by the Executive Director for each testing category
2491+listed in this section, in order to obtain and maintain
2492+certification;
2493+13. The establishment of and adherence to a quality assurance
2494+and quality control program to ensure sufficient monitoring of
2495+laboratory processes and quality of results reported;
2496+14. The immediate recall of medical marijuana or medical
2497+marijuana products that test above allowable thresholds or are
2498+otherwise determined to b e unsafe;
2499+15. The establishment by the laboratory of a system to document
2500+the complete chain of custody for samples from receipt through
2501+disposal;
2502+16. The establishment by the laboratory of a system to retain
2503+and maintain all required records, including business records, and
2504+processes to ensure results are reported in a timely and accurate
2505+manner; and
2506+
2507+ENGR. S. B. NO. 264 Page 48 1
2508+2
2509+3
2510+4
2511+5
2512+6
2513+7
2514+8
2515+9
2516+10
2517+11
2518+12
2519+13
2520+14
2521+15
2522+16
2523+17
2524+18
2525+19
2526+20
2527+21
2528+22
2529+23
2530+24
2531+
2532+17. Any other aspect of laboratory testing of medical marijuana
2533+or medical marijuana product deemed necessary by the Executive
2534+Director.
2535+O. A medical marijuana testing laboratory shall promptly
2536+provide the Authority or designee of the Authority access to a
2537+report of a test and any underlying data that is conducted on a
2538+sample at the request of a medical marijuana business or qualified
2539+patient. A medical marijuana testing laboratory shall also provide
2540+access to the Authority or designee of the Authority to laboratory
2541+premises and to any material or information requested by the
2542+Authority to determine compliance w ith the requirements of this
2543+section.
2544+P. A medical marijuana testing laboratory shall retain all
2545+results of laboratory tests conducted on marijuana or products for a
2546+period of at least seven (7) years and shall make them available to
2547+the Authority upon request.
2548+Q. A medical marijuana testing laboratory shall test samples
2549+from each harvest batch or product batch, as appropriate, of medical
2550+marijuana, medical marijuana concentrate and medical marijuana
2551+product for each of the following categories of testing , consistent
2552+with standards developed by the Executive Director:
2553+1. Microbials;
2554+2. Mycotoxins;
2555+3. Residual solvents;
2556+
2557+ENGR. S. B. NO. 264 Page 49 1
2558+2
2559+3
2560+4
2561+5
2562+6
2563+7
2564+8
2565+9
2566+10
2567+11
2568+12
2569+13
2570+14
2571+15
2572+16
2573+17
2574+18
2575+19
2576+20
2577+21
2578+22
2579+23
2580+24
2581+
2582+4. Pesticides;
2583+5. Tetrahydrocannabinol (THC) and other cannabinoid potency;
2584+6. Terpenoid type and concentration ; and
2585+7. Heavy metals.
2586+R. A licensed medical marijuana testing laboratory shall test
2587+each individual harvest batch. A grower shall separate each harvest
2588+lot of usable marijuana into harvest batches containing no more than
2589+fifteen (15) pounds, with the exception of any plant material to be
2590+sold to a licensed processor for the purposes of turning the plant
2591+material into concentrate which may be separated into harvest
2592+batches of no more than fifty (50) pounds. A processor shall
2593+separate each medical marijuana production lot int o production
2594+batches containing no more than four (4) liters of concentrate or
2595+nine (9) pounds for nonliquid products, and for final products, the
2596+Oklahoma Medical Marijuana Authority shall be authorized to
2597+promulgate rules on final products as necessary . Provided, however,
2598+the Authority shall not require testing of final products less often
2599+than every one thousand (1,000) grams of THC. As used in this
2600+subsection, “final products” shall include, but not be lim ited to,
2601+cookies, brownies, candies, gummies, beverages and chocolates.
2602+S. Medical marijuana testing laboratory licensure shall be
2603+contingent upon successful on-site inspection, successful
2604+participation in proficiency testing and ongoing compliance with t he
2605+applicable requirements in this section.
2606+
2607+ENGR. S. B. NO. 264 Page 50 1
2608+2
2609+3
2610+4
2611+5
2612+6
2613+7
2614+8
2615+9
2616+10
2617+11
2618+12
2619+13
2620+14
2621+15
2622+16
2623+17
2624+18
2625+19
2626+20
2627+21
2628+22
2629+23
2630+24
2631+
2632+T. A medical marijuana testing laboratory shall be inspected
2633+prior to initial licensure and up to two (2) times per year
2634+thereafter by an inspector approved by the Authority. The Authority
2635+may enter the license d premises of a testing laboratory to conduct
2636+investigations and additional inspections when the Authority
2637+believes an investigation or additional inspection is necessary due
2638+to a possible violation of applicable laws, rules or regulations.
2639+U. Medical marijuana testing laboratories shall obtain
2640+accreditation by an accrediting body approved by the Executive
2641+Director within one (1) year of the date the initial license is
2642+issued. Renewal of any medical marijuana tes ting laboratory license
2643+shall be contingent upon accreditation in accordance with this
2644+subsection. All medical marijuana testing laboratories shall obtain
2645+accreditation prior to applying for and receiving a medical
2646+marijuana testing laboratory license.
2647+V. Unless authorized by the provisions of th is section, a
2648+commercial grower shall not tran sfer or sell medical marijuana and a
2649+processor shall not transfer, sell or process into a concentrate or
2650+product any medical marijuana, medical marijuana concentrate o r
2651+medical marijuana product unless samples from each harvest batch or
2652+production batch from which that medical marijuana, medical
2653+marijuana concentrate or medical marijuana product was derived has
2654+been tested by a medical marijuana testing laboratory and passed all
2655+contaminant tests required b y the Oklahoma Medical Marijuana and
2656+
2657+ENGR. S. B. NO. 264 Page 51 1
2658+2
2659+3
2660+4
2661+5
2662+6
2663+7
2664+8
2665+9
2666+10
2667+11
2668+12
2669+13
2670+14
2671+15
2672+16
2673+17
2674+18
2675+19
2676+20
2677+21
2678+22
2679+23
2680+24
2681+
2682+Patient Protection Act and applicable laws, rules and regulations.
2683+A licensed commercial grower may transfer medical marijuana that has
2684+failed testing to a licensed processor only for the purposes of
2685+decontamination or reme diation and only in accordance with the
2686+provisions of the Oklahoma Medical Marijuana and Patient Protection
2687+Act and the rules and regulations promulgated by the Executive
2688+Director. Remediated and decontaminated medical marijuana may be
2689+returned only to the originating licensed comme rcial grower.
2690+W. Kief shall not be transferred or sold except as authorized
2691+in the rules and regulations promulgated by the Executive Director.
2692+SECTION 9. AMENDATORY Section 1, Chapter 352, O. S.L.
2693+2022 (63 O.S. Supp. 2022, Section 427.25), is amended to read as
2694+follows:
2695+Section 427.25. A. The Oklahoma Medical Marijuana Authority
2696+shall implement rules to employ secret shoppers. Secret shoppers
2697+shall purchase medical marijuana or marijuana products from licensed
2698+medical marijuana dispensaries utilizing cash from the petty cash
2699+fund authorized in Section 5 of this act.
2700+B. For each purchase, the The secret shopper shall buy be
2701+authorized to:
2702+1. Purchase an amount of medical marijuana or marijuana
2703+products sufficient for five complete compliance tests; or
2704+
2705+ENGR. S. B. NO. 264 Page 52 1
2706+2
2707+3
2708+4
2709+5
2710+6
2711+7
2712+8
2713+9
2714+10
2715+11
2716+12
2717+13
2718+14
2719+15
2720+16
2721+17
2722+18
2723+19
2724+20
2725+21
2726+22
2727+23
2728+24
2729+
2730+2. Attempt to purchase medical marijuana or marijuana products
2731+in order to prove compliance with the Oklahoma Medical Marijuana and
2732+Patient Protection Act or any rule determined by the Authority.
2733+Four samples C. Samples collected pursuant to paragraph 1 of
2734+subsection B of this section shall be tested by licensed medical
2735+marijuana testing laboratories, one of which shall be the laboratory
2736+of origin, if applicable, and one of which shall be the Authority ’s
2737+assurance laboratory. One sample shall be kept in reserve by the
2738+Authority in the event of a discrepancy between the testing
2739+laboratories, which may require retesting of the medical marijuana
2740+or marijuana products. When making purchases from a licensed
2741+medical marijuana dispensary, the secret shopper shall ask for the
2742+certificate of analysis for each product purchased.
2743+C. D. The secret shopper shall deliver the medical marijuana or
2744+marijuana products to a quality assurance laboratory, which may be
2745+the Authority’s assurance laboratory, for homogenization. Once the
2746+samples have been homogenized, the samples shall be delivered to
2747+four one randomly selected licensed medical marijuana testing
2748+laboratories laboratory for compliance testing and the Authority’s
2749+assurance laboratory, which shall include the testing for
2750+pesticides, heavy metals, microbials, residual solvents for
2751+extracted products, and potency. One sample shall be kept by the
2752+Authority in reserve. If the medical marijuana or marijuana
2753+products were previously tested with available results from a
2754+
2755+ENGR. S. B. NO. 264 Page 53 1
2756+2
2757+3
2758+4
2759+5
2760+6
2761+7
2762+8
2763+9
2764+10
2765+11
2766+12
2767+13
2768+14
2769+15
2770+16
2771+17
2772+18
2773+19
2774+20
2775+21
2776+22
2777+23
2778+24
2779+
2780+licensed medical marijuana testing laboratory, that testing
2781+laboratory shall be one of the four two licensed medical marijuana
2782+testing laboratories chosen by the Authority. For the avoidance of
2783+doubt, neither the licensed medical marijuana dispensary nor the
2784+licensed medical marijuana testing laboratory shall be told that the
2785+business entity is selling medical marijuana or marijuana prod ucts
2786+to a secret shopper or testing samples submitted by a secret shopper
2787+employed by the Authority and posing as a licensed medical marijuana
2788+patient.
2789+D. E. The Authority shall inspect, by secret shopper, a minimum
2790+of fifty licensed medical marijuana dispensaries annually beginning
2791+January 1, 2024. In the year 2025, the Authority shall inspect, by
2792+secret shopper, a minimum of ten percent (10%) of randomly selected
2793+licensed medical marijuana dispensaries in Oklahoma per year.
2794+E. F. 1. When the licensed medical marijuana testing
2795+laboratories unanimously confirm test results with safety failures
2796+for contaminants, the Authority shall recall the medical marijuana
2797+or marijuana product within seven (7) days of obtaining the test
2798+results. The name of the licensed medical marijuana dispensary and
2799+any other relevant product information shall be made public via a
2800+press release issued by the Authority. If there is greater than one
2801+but less than four contaminant fails among the licensed medical
2802+marijuana testing laboratories, the Authority shall work with a
2803+
2804+ENGR. S. B. NO. 264 Page 54 1
2805+2
2806+3
2807+4
2808+5
2809+6
2810+7
2811+8
2812+9
2813+10
2814+11
2815+12
2816+13
2817+14
2818+15
2819+16
2820+17
2821+18
2822+19
2823+20
2824+21
2825+22
2826+23
2827+24
2828+
2829+quality assurance laboratory to verify the results of the licensed
2830+medical marijuana testing laboratories and take appropriate action.
2831+2. When the average of total potency or total terpene results
2832+collected from a licensed medical marij uana testing laboratory for a
2833+particular product is outside the allowable limits, the Authority
2834+shall work with a quality assurance laboratory to verify the results
2835+of the testing laboratory. If results are verified to be outside
2836+the allowable limits, the Authority shall require relabeling of the
2837+medical marijuana or marijuana products.
2838+3. All investigative results shall be retained by the Authority
2839+for a minimum of three (3) years.
2840+4. The Authority shall implement rules to notif y any licensed
2841+medical marijuana dispensary and licensed medical marijuana grower
2842+or licensed medical marijuana processor of any investigative results
2843+determined to be noncompliant.
2844+5. After the licensed medical marijuana dispensary and licensed
2845+medical marijuana grower or lic ensed medical marijuana processor is
2846+notified of the investigative results, such results may be used by
2847+the Authority to take action against the licensee, assess fines, or
2848+assess other civil penalties available to the Authority.
2849+6. The Authority shall implement rules on shar ing such
2850+investigative results with any other law enforcement agencies or
2851+regulatory authorities.
2852+
2853+ENGR. S. B. NO. 264 Page 55 1
2854+2
2855+3
2856+4
2857+5
2858+6
2859+7
2860+8
2861+9
2862+10
2863+11
2864+12
2865+13
2866+14
2867+15
2868+16
2869+17
2870+18
2871+19
2872+20
2873+21
2874+22
2875+23
2876+24
2877+
2878+7. The Authority may elect to conduct further evaluations of
2879+the investigative results at any time for verification or for other
2880+purposes reasonably related to san itation, public health, or public
2881+safety.
2882+F. G. The failure of any licensed medical marijuana business to
2883+cooperate with the provisions of this section may result in the
2884+revocation of the license at the discretion of the Authority.
2885+G. H. Any secret shopper performing any provision of this
2886+section shall not be required to fulfill licensing requirements of
2887+Section 420 of this title for a patient license and shall be able to
2888+enter a dispensary with appropriate authorization as determined by
2889+the Authority.
2890+I. The Authority shall implement rules necessary to enforce the
2891+provisions of this act section.
2892+SECTION 10. This act shall become effective November 1, 202 3.
2893+
2894+ENGR. S. B. NO. 264 Page 56 1
2895+2
2896+3
2897+4
2898+5
2899+6
2900+7
2901+8
2902+9
2903+10
2904+11
2905+12
2906+13
2907+14
2908+15
2909+16
2910+17
2911+18
2912+19
2913+20
2914+21
2915+22
2916+23
2917+24
2918+
2919+Passed the Senate the 23rd day of March, 2023.
2920+
2921+
2922+
2923+ Presiding Officer of the Senate
2924+
2925+
2926+Passed the House of Representatives the ____ day of __________,
2927+2023.
2928+
2929+
2930+
2931+ Presiding Officer of the House
2932+ of Representatives
2933+
2934+