Oklahoma 2024 Regular Session

Oklahoma Senate Bill SB810 Compare Versions

Version 1 (Old)

Version 2 (New)

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29		-	SENATE FLOOR VERSION
30		-	February 13, 2023
	28	+	STATE OF OKLAHOMA
31	29
	30	+	1st Session of the 59th Legislature (2023)
32	31
33	32		COMMITTEE SUBSTITUTE
34	33		FOR
35		-	SENATE BILL ~~NO.~~ 810 By: Garvin
	34	+	SENATE BILL 810 By: Garvin
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	39	+
	40	+	COMMITTEE SUBSTITUTE
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41	42		An Act relating to medical marijuana; amending 63
42	43		O.S. 2021, Section 427.14, as last a mended by Section
43	44		2, Chapter 328, O.S.L. 2022 (63 O .S. Supp. 2022,
44	45		Section 427.14), which relates to medical marijuana
45	46		business license; requiring insurance verification
46	47		for licensees transp orting medical marijuana;
47	48		amending 63 O.S. 2021, Section 427.16, as last
48	49		amended by Section 16, Chapter 251, O.S .L. 2022 (63
49	50		O.S. Supp. 2022, Section 427.16), which relates to
50	51		medical marijuana transporter license; specifying
51	52		certain requirements; providing exception under
52	53		certain circumstances; allowing the Oklahoma Medical
53	54		Marijuana Authority to revoke exception; and
54	55		providing an effective date.
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59	60		BE IT ENACTED BY THE PEOPLE OF THE S TATE OF OKLAHOMA:
60	61		SECTION 1. AMENDATORY 63 O.S. 2021, Section 427.14, as
61	62		last amended by Section 2, Chapt er 328, O.S.L. 2022 (63 O.S. Supp.
62	63		2022, Section 427.14), is amended to read as follows:
63	64		Section 427.14. A. There is hereby created the medical
64	65		marijuana business license, which shall include the foll owing
65	66		categories:
66	67		1. Medical marijuana commercial grower;
67		-	2. Medical marijuana processor;
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	94	+	2. Medical marijuana processor;
95	95		3. Medical marijuana dispensary;
96	96		4. Medical marijuana transporter; and
97	97		5. Medical marijuana testing laboratory.
98	98		B. The Oklahoma Medical Marijuana Authority, wit h the aid of
99	99		the Office of Management and Enterprise Services, shall develop a
100	100		website for medical marijuana business applications.
101	101		C. The Authority shall make available on its website in an
102	102		easy-to-find location, applications for a medical marijuana
103	103		business.
104	104		D. The annual, nonrefundable application fee for a medical
105	105		marijuana business license shall be Two Thousand Five Hundred
106	106		Dollars ($2,500.00).
107	107		E. All applicants seeking licensure or licensure renewal as a
108	108		medical marijuana business shall comply with the following general
109	109		requirements:
110	110		1. All applications for licenses and registrations authorized
111	111		pursuant to this section shall be made upon forms prescribed by the
112	112		Authority;
113	113		2. Each application shall identify the city or county in which
114	114		the applicant seeks to obtain licensure as a medical marijuana
115	115		business;
116	116		3. Applicants shall submit a complete application to the
117	117		Authority before the application may be accep ted or considered;
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145	144		4. All applications shall be complete and accurate in every
146	145		detail;
147	146		5. All applications shall include all attachments or
148	147		supplemental information required by the forms supplied by the
149	148		Authority;
150	149		6. All applications shall be accompanied by a full remittance
151	150		for the whole amount of the application fees. Application fees are
152	151		nonrefundable;
153	152		7. All applicants shall be approved for licensing review that,
154	153		at a minimum, meet the following criteria:
155	154		a. twenty-five (25) years of age or older,
156	155		b. if applying as an individual, proof that the applicant
157	156		is a resident of this state pursuant to paragraph 11
158	157		of this subsection,
159	158		c. if applying as an entity, proof that seventy-five
160	159		percent (75%) of all members, managers, executive
161	160		officers, partners, board m embers or any other form of
162	161		business ownership are residents of this state
163	162		pursuant to paragraph 11 of this subsection,
164	163		d. if applying as an individual or entity, proof that the
165	164		individual or entity is r egistered to conduct busines s
166	165		in this state,
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194	192		e. disclosure of all ownership interests pursu ant to the
195	193		Oklahoma Medical Marijuana and Patient Protection Act,
196	194		and
197	195		f. proof that the medical marijuana business, medical
198	196		marijuana research facility, medical mari juana
199	197		education facility and medical marijuana waste
200	198		disposal facility applicant or license e has not been
201	199		convicted of a nonviolent felony in the last two (2)
202	200		years, or any other felony conviction within the last
203	201		five (5) years, is not a current inmate in the custody
204	202		of the Department of Corrections, or currently
205	203		incarcerated in a jail or correc tions facility;
206	204		8. There shall be no limit to the number of medical marijuana
207	205		business licenses or categories that an individual or entity can
208	206		apply for or receive , although each applica tion and each category
209	207		shall require a separate application and appl ication fee. A
210	208		commercial grower, processor and dispensary, or any combination
211	209		thereof, are authorized to share the same address or physical
212	210		location, subject to th e restrictions set fort h in the Oklahoma
213	211		Medical Marijuana and Patient Protection Act;
214	212		9. All applicants for a medical marijuana business license,
215	213		research facility license or education facility license authorized
216	214		by the Oklahoma Medical Marijuana and Pa tient Protection Act, or for
217	215		a renewal of such license, shall undergo a state criminal history
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245	242		background check conducted by the Oklahoma State Bureau of
246	243		Investigation (OSBI) within thirty (30) days prior to the
247	244		application for the license including:
248	245		a. individual applicants applying on their own behalf,
249	246		b. individuals applying on behalf of an entity,
250	247		c. all principal officers of an entity, and
251	248		d. all owners of an entity as defined by the Oklahoma
252	249		Medical Marijuana and Patient Protection Act;
253	250		10. All applicable fees charged by the OSBI are the
254	251		responsibility of the appli cant and shall not be higher than fees
255	252		charged to any other person or industry for such background checks;
256	253		11. In order to be considered a resident of this state for
257	254		purposes of a medical marijuana business application, all applicants
258	255		shall provide proof of state residency for at least two (2) years
259	256		immediately preceding the date of application or five (5) years of
260	257		continuous state residency during the preceding twenty-five (25)
261	258		years immediately preceding the date of ap plication. Sufficient
262	259		documentation of proof of state residency shall include a
263	260		combination of the following:
264	261		a. an unexpired state-issued driver license,
265	262		b. a state-issued identification card,
266	263		c. a utility bill preceding the date of application,
267	264		excluding cellular telephone and Internet bills,
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295	291		d. a residential property deed to property in this state,
296	292		and
297	293		e. a rental agreement preceding the date of application
298	294		for residential property located in this state.
299	295		Applicants that were issued a medical marijuana business license
300	296		prior to August 30, 2019, are hereby exempt from the two-year or
301	297		five-year state residence requirement mentioned above;
302	298		12. All license applicants shall be required to submit a
303	299		registration with the Oklahoma State Bureau of Narcotics and
304	300		Dangerous Drugs Control as provided in Sections 2-302 through 2-304
305	301		of this title;
306	302		13. All applicants shall estab lish their identity through
307	303		submission of a color copy or digital image of one of the following
308	304		unexpired documents:
309	305		a. front of a state-issued driver license,
310	306		b. front of a state-issued identification card,
311	307		c. a United States passport or other photo identification
312	308		issued by the United States government, or
313	309		d. a tribal identification card approved for
314	310		identification purposes by the Department of Public
315	311		Safety; and
316	312		14. All applicants shall submit an applicant photograph.
317	313		F. The Authority shall review the medical marijuana business
318	314		application; approve, reject or deny the application; and mail the
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346	341		approval, rejection, denial or status-update letter to the applicant
347	342		within ninety (90) business days of receipt of the application.
348	343		G. 1. The Authority shall review the medical marijuana
349	344		business applications and conduct all investigations, inspections
350	345		and interviews before approving the application.
351	346		2. Approved applicants shall be issued a medical marijuana
352	347		business license for the spe cific category applied under, which
353	348		shall act as proof of their approved status. Rejection and denial
354	349		letters shall provide a reason for the rejection or denial.
355	350		Applications may only be rejected or denied based on the applicant
356	351		not meeting the standards set forth in the provisions of the
357	352		Oklahoma Medical Marijuana and Patient Protection Act and Sections
358	353		420 through 426.1 of this title, improper completion of the
359	354		application, or for a reason provided for in the Oklahoma Medical
360	355		Marijuana and Patient Prote ction Act and Sections 420 through 426.1
361	356		of this title. If an application is rejected for failure to provide
362	357		required information, the applicant shall have thirty (30) days to
363	358		submit the required information for reconsideration. No additional
364	359		application fee shall be charged for such reconsideration. Unless
365	360		the Authority determines otherwise, an application that has been
366	361		resubmitted but is still incomplete or contains errors that are not
367	362		clerical or typographical in nature shall be denied.
368	363		3. Status-update letters shall provide a reason for delay in
369	364		either approval, rejection or denial should a situation arise in
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397	391		which an application was submitted properly but a delay in
398	392		processing the application occurred.
399	393		4. Approval, rejection, denial or statu s-update letters shall
400	394		be sent to the applicant in the same method the application was
401	395		submitted to the Authority.
402	396		H. A license for a medical marijuana business, medical
403	397		marijuana research facilit y, medical marijuana education facility or
404	398		medical marijuana waste disposal facility shall not be issued to or
405	399		held by:
406	400		1. A person until all required fees have been paid;
407	401		2. A person who has been convicted of a nonviolent felony
408	402		within two (2) years of the date of application, or within five (5)
409	403		years for any other felony;
410	404		3. A corporation, if the criminal history of any of its
411	405		officers, directors or stockholders indicates that the officer,
412	406		director or stockholder has been convicted of a nonviolent felony
413	407		within two (2) years of the date of applicati on, or within five (5)
414	408		years for any other felony;
415	409		4. A person under twenty-five (25) years of age;
416	410		5. A person licensed pursuant to this section who, during a
417	411		period of licensure, or who, at the time of application, has failed
418	412		to:
419	413		a. file taxes, interest or penalties due related to a
420	414		medical marijuana business, or
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448	441		b. pay taxes, interest or penalties due related to a
449	442		medical marijuana business;
450	443		6. A sheriff, deputy sheriff, police officer or prosecuting
451	444		officer, or an officer or employee of the Authority or municipality;
452	445		7. A person whose authority to be a caregiver, as defined in
453	446		Section 427.2 of this title, has been revoked by the Authority; or
454	447		8. A person who was involved in the management or operations of
455	448		any medical marijuana business, medical marijuana research facility,
456	449		medical marijuana education facility or medical marijuana waste
457	450		disposal facility that, after the initiation of a disciplinary
458	451		action, has had a medical marijuana license revoked, not renewed, or
459	452		surrendered during the five (5) years preceding submission of the
460	453		application and for the following violations:
461	454		a. unlawful sales or purchases,
462	455		b. any fraudulent acts, falsification of records or
463	456		misrepresentation to the Authority, medical marijuana
464	457		patient licensees, caregiver licensees or medical
465	458		marijuana business licensees,
466	459		c. any grossly inaccurate or fraudulent reporting,
467	460		d. threatening or harming any medical marijuana patient,
468	461		caregiver, medical practitioner or employee of the
469	462		Authority,
470	463		e. knowingly or intentionally refusing to permit the
471	464		Authority access to premises or records,
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499	491		f. using a prohibited, hazardous substance for processing
500	492		in a residential area,
501	493		g. criminal acts relating to the operation of a medical
502	494		marijuana business, or
503	495		h. any violations that endanger public health and safety
504	496		or product safety.
505	497		I. In investigating the qualifications of an applicant or a
506	498		licensee, the Authority and municipalities may have access to
507	499		criminal history record information furnished by a criminal justice
508	500		agency subject to any restrictions imposed by such an ag ency.
509	501		J. The failure of an applicant or licensee to provide the
510	502		requested information by the Authority deadline may be grounds for
511	503		denial of the application.
512	504		K. All applicants and licensees shall submit information to the
513	505		Authority in a full, faithful, truthful and fair manner. The
514	506		Authority may recommend denial of an application where the applicant
515	507		or licensee made misstatements, omissions, misrepresentations or
516	508		untruths in the application or in connection with the background
517	509		investigation of the applicant. This type of conduct may be grounds
518	510		for administrative action against the applicant or licensee. Typos
519	511		and scrivener errors shall not be grounds for denial.
520	512		L. A licensed medical marijuana business premises shall be
521	513		subject to and responsible for compliance with applicable provisions
522	514		consistent with the zoning where such business is located as
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550	541		described in the most recent versions of th e Oklahoma Uniform
551	542		Building Code, the International Building Code and the International
552	543		Fire Code, unless granted an exemption by a municipality or
553	544		appropriate code enforcement entity.
554	545		M. All medical marijuana business, medical marijuana research
555	546		facility, medical marijuana education facility and medical marijuana
556	547		waste disposal facility licensees shall pay the relevant licensure
557	548		fees prior to receiving licensure to operate.
558	549		N. A medical marijuana business, medical marijuana research
559	550		facility, medical mar ijuana education fac ility or medical marijuana
560	551		waste disposal facility that attempts to renew its license after the
561	552		expiration date of the license shall pay a late renewal fee in an
562	553		amount to be determined by the Executive Director of the Authority
563	554		to reinstate the license. Late renewal fees are nonrefundable. A
564	555		license that has been expired for more than ninety (90) days shall
565	556		not be renewed.
566	557		O. No medical marijuana business, medical marijuana research
567	558		facility, medical marijuana education facility or m edical marijuana
568	559		waste disposal facility shall possess, sell, or transfer medical
569	560		marijuana or medical marijuana products without a valid, unexpired
570	561		license issued by the Authority.
571	562		P. A medical marijuana business license holder shall require
572	563		all individuals employed under their license to be issued a
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600	590		credential pursuant to the provisions of Section 3 of this act
601	591		427.14a of this title prior to employment.
602	592		Q. A medical marijuana business license holder shall provide
603	593		the Authority insurance verifications for all individuals licensed
604	594		to transport medical marijuana or medical marijuana product. The
605	595		Authority may determine the contents required fr om the insurance
606	596		verifications, which may include, but not be limited to, type of
607	597		coverage, amount of coverage, or vehicles insured under coverage .
608	598		SECTION 2. AMENDATORY 63 O.S. 2021, Section 427.16, as
609	599		last amended by Section 16, Chap ter 251, O.S.L. 2022 (63 O.S. Supp.
610	600		2022, Section 427.16), is amended to read as follows:
611	601		Section 427.16. A. There is hereby created a medical marijuana
612	602		transporter license as a category of the medical marijuana business
613	603		license.
614	604		B. Pursuant to Sect ion 424 of this title, the Oklahoma Medical
615	605		Marijuana Authority shall issue a medical marijuana transporter
616	606		license to licensed medical marijuana commercial growers, processors
617	607		and dispensaries upon issuance of such licenses and upon each
618	608		renewal. Medical marijuana transporter licenses shall also be
619	609		issued to licensed medical marijuana research facilities, medical
620	610		marijuana education facilities and medical marijuana testing
621	611		laboratories upon issuance of such licenses and upon each renewal.
622	612		C. A medical marijuana transporter license may also be issued
623	613		to qualifying applicants who are registered with the Secretary of
624	614
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650	639
651	640		State and otherwise meet the requirements for a medical marijuana
652	641		business license set forth in the Oklahoma Medical Marijuana and
653	642		Patient Protection Act and the requirements set forth in this
654	643		section to provide logistics, distribution and storage of medical
655	644		marijuana, medical marijuana concentrate and medical marijuana
656	645		products.
657	646		D. A medical marijuana transporter license shall be valid for
658	647		one (1) year and shall not be transferred with a change of
659	648		ownership. A licensed medical marijuana transporter shall be
660	649		responsible for all medical marijuana, medical marijuana concentrate
661	650		and medical marijuana products once the transporter takes control of
662	651		the product.
663	652		E. A transporter license shall be required for any person or
664	653		entity to transport or transfer medical marijuana, medical marijuana
665	654		concentrate or medical marijuana products from a licensed medical
666	655		marijuana business to another medical marijuana business, or from a
667	656		medical marijuana business to a medical marijuana research facility
668	657		or medical marijuana education facility.
669	658		F. A medical marijuana transporter licensee may contract with
670	659		multiple licensed medical marijuana businesses.
671	660		G. A medical marijuana transporter may maintain a licensed
672	661		premises to temporarily store medical marijuana, medical marijuana
673	662		concentrate and medical marijuana products and to use as a
674	663		centralized distribution point. A medical marijuana transporter may
675	664
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702	690		store and distribute medical marijuana, medical marijuana
703	691		concentrate and medical marijuana products from the licensed
704	692		premises. The licensed premises shall meet all security
705	693		requirements applicable to a medical marijuana business.
706	694		H. A medical marijuana transporter licensee shall use the seed-
707	695		to-sale tracking system developed pursuant to the Oklahoma Medical
708	696		Marijuana and Patient Protection Act to create shipping manifests
709	697		documenting the transport of medical marijuana, medical marijuana
710	698		concentrate and medical marijuana products throughout the state.
711	699		I. A licensed medical marijuana transporter may maintain and
712	700		operate one or more warehouses in the state to handle medical
713	701		marijuana, medical marijuana concentrate and medical marijuana
714	702		products. Each location shall be registered and inspected by the
715	703		Authority prior to its use.
716	704		J. With the exception of a lawful transfer between medical
717	705		marijuana businesses who are licensed to operate at the same
718	706		physical address, all medical marijuana, medical marijuana
719	707		concentrate and medical marijuana products shall be transported:
720	708		1. In vehicles equipped with Global Positioning System (GPS)
721	709		trackers;
722	710		2. In a locked container and clearly labeled “Medical Marijuana
723	711		or Derivative”; and
724	712		3. In a secured area of the vehicle that is not accessible by
725	713		the driver during transit.
726	714
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753	740		K. A transporter agent may possess marijuana at any location
754	741		while the transporter agent is transferring marijuana to or from a
755	742		licensed medical marijuana business, licensed medical marijuana
756	743		research facility or licensed medical marijuana education facility.
757	744		The Authority shall administer and enforce the provisions of this
758	745		section concerning transportation.
759	746		L. The Authority shall issue a transporter agent license to
760	747		individual agents, empl oyees, officers or owners of a transporter
761	748		license in order for the individual to qualify to transport medical
762	749		marijuana, medical marijuana concentrate or medical marijuana
763	750		products.
764	751		M. The annual fee for a transporter agent license shall be
765	752		Twenty-five Dollars ($25.00) and shall be paid by the transporter
766	753		license holder or the individual applicant. Transporter license
767	754		reprints shall be Twenty Dollars ($20.00).
768	755		N. The Authority shall issue each transporter agent a registry
769	756		identification card within thir ty (30) days of receipt of:
770	757		1. The name, address and date of birth of the person;
771	758		2. Proof of current state residency;
772	759		3. Proof of identity as required for a medical marijuana
773	760		business license;
774	761		4. Possession of a valid state-issued driver license;
775	762		5. Verification of employment with a licensed transporter;
776	763		6. The application and affiliated fee; and
777	764
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804	790		7. A copy of the criminal background check conducted by the
805	791		Oklahoma State Bureau of Investigation, paid for by the applicant.
806	792		O. If the transporter agent application is denied, the
807	793		Authority shall notify the transporter in writing of the reason for
808	794		denying the registry identification card.
809	795		P. A registry identification card for a transporter shall
810	796		expire one (1) year after the date of issuance or upon notification
811	797		from the holder of the transporter license that the transporter
812	798		agent ceases to work as a transporter.
813	799		Q. The Authority may revoke the registry identification card of
814	800		a transporter agent who knowi ngly violates any provision of this
815	801		section, and the transporter is subject to any other penalties
816	802		established by law for the violation.
817	803		R. The Authority may revoke or suspend the transporter license
818	804		of a transporter that the Authority determines knowingly aided or
819	805		facilitated a violation of any provision of this section, and the
820	806		license holder is subject to any other penalties established in law
821	807		for the violation.
822	808		S. Vehicles used in the transport of Any vehicle used in the
823	809		duties of a licensed medical marijuana business transporting medical
824	810		marijuana or medical marijuana product shall be:
825	811		1. Insured at or above the legal requirements in this state in
826	812		accordance with subsection Q of Section 427.14 of this title ;
827	813		2. Capable of securing medical marijuana during transport; and
828	814
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855	840		3. In possession of a shipping container as defined in Section
856	841		427.2 of this title capable of securing all transported products.
857	842		T. Prior to the transport of any medical marijuana, medical
858	843		marijuana concentrate or medical marijuana products, an inventory
859	844		manifest shall be prepared at the origination point of the medical
860	845		marijuana. The inventory manifest shal l include the following
861	846		information:
862	847		1. For the origination point of the medical marijuana:
863	848		a. the licensee number for the commercial grower,
864	849		processor or dispensary,
865	850		b. address of origination of transport, and
866	851		c. name and contact information for the orig inating
867	852		licensee;
868	853		2. For the end recipient license holder of the medical
869	854		marijuana:
870	855		a. the license number for the dispensary, commercial
871	856		grower, processor, research facility or education
872	857		facility destination,
873	858		b. address of the destination, and
874	859		c. name and contact information for the destination
875	860		licensee;
876	861		3. Quantities by weight or unit of each type of medical
877	862		marijuana product contained in transport;
878	863
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905	889		4. The date of the transport and the approximate time of
906	890		departure;
907	891		5. The arrival date and estimated ti me of arrival;
908	892		6. Printed names and signatures of the personnel accompanying
909	893		the transport; and
910	894		7. Notation of the transporting licensee.
911	895		U. 1. A separate inventory manifest shall be prepared for each
912	896		licensee receiving the medical marijuana.
913	897		2. The transporter agent shall provide the other medical
914	898		marijuana business with a copy of the inventory manifest at the time
915	899		the product changes hands and after the other licensee prints his or
916	900		her name and signs the inventory manifest.
917	901		3. A receiving licensee s hall refuse to accept any medical
918	902		marijuana, medical marijuana concentrate or medical marijuana
919	903		products that are not accompanied by an inventory manifest.
920	904		4. Originating and receiving licensees shall maintain copies of
921	905		inventory manifests and logs of qua ntities of medical marijuana
922	906		received for seven (7) years from date of receipt.
923	907		V. Upon written approval by the Authority, a medical marijuana
924	908		business license holder may be e xempt from the provisions of thi s
925	909		section for the purpose of transporting medical marijuana waste
926	910		between licensed facilities; provided, the facilitie s are licensed
927	911		under the same license holder. The Authority may, at any time,
928	912
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955	938		revoke this provision if th e medical marijuana business license
956	939		holder violates any provisions of Section 420 et seq. of this title.
957	940		SECTION 3. This act shall become effective Novembe r 1, 2023.
958		-	~~COMMITTEE REPORT BY: COMMITTEE ON BUSINESS AND COMMERCE~~
959		-	~~February~~ 13, 2023 ~~- DO PASS AS AMENDED BY CS~~
	941	+
	942	+	59-1-1870 MR 2/13/2023 4:34:38 PM