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An Act
ENROLLED SENATE
BILL NO. 1039 By: Alvord of the Senate
and
Cantrell of the House
An Act relating to medical marijuana; amending 63
O.S. 2021, Section 420, as last amended by Section 1
of Enrolled Senate Bill No. 774 of the 1st Session of
the 60th Oklahoma Legislature, and 427.14, as last
amended by Section 1, Chapter 342, O.S.L. 2024 (63
O.S. Supp. 2024, Section 427.14), which relate to
medical marijuana patient license and medical
marijuana business license; establishing certain time
limit for resubmission of certain application;
requiring certain notification by the Oklahoma
Medical Marijuana Authority; requiring certain
applicants to remit certain fees within certain time
period; establishing grounds for denial of certain
application; updating statutory references; and
providing an effective date.
SUBJECT: Medical marijuana license applications
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 63 O.S. 2021, Section 420, as last
amended by Section 1 of Enrolled Senate Bill No. 774 of the 1st
Session of the 60th Oklahoma Legislature, is amended to read as
follows:
Section 420. A. A person in possession of a state-issued
medical marijuana patient license shall be able to:
1. Consume marijuana legally;
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2. Legally possess up to three (3) ounces or eighty-four and
nine-tenths (84.9) grams of marijuana on their person;
3. Legally possess six mature marijuana plants and the
harvested marijuana therefrom;
4. Legally possess six seedling plants;
5. Legally possess one (1) ounce or twenty-eight and three
tenths (28.3) grams of concentrated marijuana;
6. Legally possess seventy-two (72) ounces or two thousand
thirty-seven and six-tenths (2037.6) grams of edible marijuana;
7. Legally possess up to eight (8) ounces or two hundred
twenty-six and four-tenths (226.4) grams of marijuana in their
residence; and
8. Legally possess seventy-two (72) ounces of topical
marijuana.
B. Possession of up to one and one-half (1.5) ounces or forty-
two and forty-five one-hundredths (42.45) grams of marijuana by
persons who can state a medical condition, but are not in possession
of a state-issued medical marijuana patient license, shall
constitute a misdemeanor offense punishable by a fine not to exceed
Four Hundred Dollars ($400.00) and shall not be subject to
imprisonment for the offense. Any law enforcement officer who comes
in contact with a person in violation of this subsection and who is
satisfied as to the identity of the person, as well as any other
pertinent information the law enforcement officer deems necessary,
shall issue to the person a written citation containing a notice to
answer the charge against the person in the appropriate court. Upon
receiving the written promise of the alleged violator to answer as
specified in the citation, the law enforcement officer shall release
the person upon personal recognizance unless there has been a
violation of another provision of law.
C. The Oklahoma Medical Marijuana Authority shall be
established which shall receive applications for medical marijuana
patient and caregiver license recipients, dispensaries, growers, and
processors within sixty (60) days of the passage of this initiative.
ENR. S. B. NO. 1039 Page 3
D. The Authority shall, within thirty (30) days of passage of
this initiative, make available on its website, in an easy-to-find
location, an application for a medical marijuana patient license.
The license shall be valid for two (2) years. The biannual
application fee shall be One Hundred Dollars ($100.00), or Twenty
Dollars ($20.00) for individuals on Medicaid, Medicare or
SoonerCare. The methods of payment shall be provided on the website
of the Authority. Reprints of the medical marijuana patient license
shall be Twenty Dollars ($20.00).
E. A short-term medical marijuana patient license application
shall also be made available on the website of the Authority. A
short-term medical marijuana patient license shall be granted to any
applicant who can meet the requirements for a two-year medical
marijuana patient license, but whose physician recommendation for
medical marijuana is only valid for sixty (60) days. Short-term
medical marijuana patient licenses shall be issued for sixty (60)
days. The fee for a short-term medical marijuana patient license,
reprints of the short-term medical marijuana patient license, and
the procedure for extending or renewing the license shall be
determined by the Executive Director of the Authority.
F. A temporary medical marijuana patient license application
shall also be made available on the website of the Authority for
residents of other states. Temporary medical marijuana patient
licenses shall be granted to any medical marijuana license holders
from other states, provided that such states have state-regulated
medical marijuana programs, and applicants can prove they are
members of such programs. Temporary medical marijuana patient
licenses shall be issued for thirty (30) days. The cost for a
temporary license shall be One Hundred Dollars ($100.00). Renewal
shall be granted with resubmission of a new application. No
additional criteria shall be required. Reprints of the temporary
medical marijuana patient license shall be Twenty Dollars ($20.00).
G. Medical marijuana patient license applicants shall submit
their applications to the Authority for approval. The applicant
shall be a resident of this state and shall prove residency by a
valid driver license, utility bills, or other accepted methods.
ENR. S. B. NO. 1039 Page 4
H. The Authority shall review the medical marijuana patient
license application; approve, reject, or deny the application; and
mail the approval, rejection, or denial letter stating any reasons
for rejection, to the applicant within fourteen (14) business days
of receipt of the application. Approved applicants shall be issued
a medical marijuana patient license which shall act as proof of his
or her approved status. Applications may only be rejected or denied
based on the applicant not meeting stated criteria or improper
completion of the application. If an application is rejected for
failure to provide required information, the applicant shall have
thirty (30) days to submit the required information for
reconsideration.
I. The Authority shall make available, both on its website and
through a telephone verification system, an easy method to validate
the authenticity of the medical marijuana patient license by the
unique twelve-character identification number and PDF417 barcode.
J. The Authority shall ensure that all medical marijuana
patient and caregiver records and information are sealed to protect
the privacy of medical marijuana patient license applicants.
K. A caregiver license shall be made available for qualified
caregivers of a medical marijuana patient license holder who is
homebound. As provided in Section 427.11 of this title, the
caregiver license shall provide the caregiver the same rights as the
medical marijuana patient licensee including the ability to possess
marijuana, marijuana products and mature and immature plants or
cultivated medical marijuana pursuant to the Oklahoma Medical
Marijuana and Patient Protection Act, but excluding the ability to
use marijuana or marijuana products unless the caregiver has a
medical marijuana patient license. Applicants for a caregiver
license shall submit proof of the license status and homebound
status of the medical marijuana patient and proof that the applicant
is the designee of the medical marijuana patient. The applicant
shall also submit proof that he or she is eighteen (18) years of age
or older and proof of his or her state residency. This shall be the
only criteria for a caregiver license. A licensed caregiver shall
not cultivate medical marijuana for more than five medical marijuana
patient licensees and shall not charge a medical marijuana patient
licensee for cultivating medical marijuana in excess of the actual
costs incurred in cultivating the medical marijuana.
ENR. S. B. NO. 1039 Page 5
L. All applicants for a medical marijuana patient license shall
be eighteen (18) years of age or older. A special exception shall
be granted to an applicant under the age of eighteen (18); however,
these applications shall be signed by two physicians and the parent
or legal guardian of the applicant.
M. All applications for a medical marijuana patient license
shall be signed by an Oklahoma physician licensed by and in good
standing with the State Board of Medical Licensure and Supervision,
the State Board of Osteopathic Examiners, or the Board of Podiatric
Medical Examiners. There are no qualifying conditions. A medical
marijuana patient license shall be recommended according to the
accepted standards a reasonable and prudent physician would follow
when recommending or approving any medication. No physician may be
unduly stigmatized, penalized, subjected to discipline, sanctioned,
reprimanded or harassed for signing a medical marijuana patient
license application;, provided, the physician acted in accordance
with the provisions of this subsection and all other rules governing
the medical license of the physician in this state.
N. Counties and cities may enact medical marijuana guidelines
allowing medical marijuana patient license holders or caregiver
license holders to exceed the state limits set forth in subsection A
of this section.
SECTION 2. AMENDATORY 63 O.S. 2021, Section 427.14, as
last amended by Section 1, Chapter 342, O.S.L. 2024 (63 O.S. Supp.
2024, Section 427.14), is amended to read as follows:
Section 427.14. A. There is hereby created the medical
marijuana business license, which shall include the following
categories:
1. Medical marijuana commercial grower;
2. Medical marijuana processor;
3. Medical marijuana dispensary;
4. Medical marijuana transporter; and
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5. Medical marijuana testing laboratory.
B. The Oklahoma Medical Marijuana Authority, with the aid of
the Office of Management and Enterprise Services, shall develop a
website for medical marijuana business applications.
C. The Authority shall make available on its website in an
easy-to-find location, applications for a medical marijuana
business.
D. 1. The annual, nonrefundable fee for a medical marijuana
transporter license shall be Two Thousand Five Hundred Dollars
($2,500.00).
2. The initial, nonrefundable fee for a medical marijuana
commercial grower license shall be calculated based upon the total
amount of square feet of canopy or acres the grower estimates will
be harvested, transferred, or sold for the year. The annual,
nonrefundable license fee shall be based upon the total amount of
square feet of canopy or acres harvested, transferred, or sold by
the grower during the previous twelve (12) months. The amount of
the fees shall be determined as follows:
a. For an indoor, greenhouse, or light deprivation
medical marijuana grow facility:
(1) Tier 1: Up to ten thousand (10,000) square feet
of canopy, the fee shall be Two Thousand Five
Hundred Dollars ($2,500.00),
(2) Tier 2: Ten thousand one (10,001) square feet of
canopy to twenty thousand (20,000) square feet of
canopy, the fee shall be Five Thousand Dollars
($5,000.00),
(3) Tier 3: Twenty thousand one (20,001) square feet
of canopy to forty thousand (40,000) square feet
of canopy, the fee shall be Ten Thousand Dollars
($10,000.00),
(4) Tier 4: Forty thousand one (40,001) square feet
of canopy to sixty thousand (60,000) square feet
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of canopy, the fee shall be Twenty Thousand
Dollars ($20,000.00),
(5) Tier 5: Sixty thousand one (60,001) square feet
of canopy to eighty thousand (80,000) square feet
of canopy, the fee shall be Thirty Thousand
Dollars ($30,000.00),
(6) Tier 6: Eighty thousand one (80,001) square feet
of canopy to ninety-nine thousand nine hundred
ninety-nine (99,999) square feet of canopy, the
fee shall be Forty Thousand Dollars ($40,000.00),
and
(7) Tier 7: One hundred thousand (100,000) square
feet of canopy and beyond, the fee shall be Fifty
Thousand Dollars ($50,000.00), plus an additional
twenty-five cents ($0.25) per square foot of
canopy over one hundred thousand (100,000) square
feet.
b. For an outdoor medical marijuana grow facility:
(1) Tier 1: Less than two and one-half (2 1/2)
acres, the fee shall be Two Thousand Five Hundred
Dollars ($2,500.00),
(2) Tier 2: More than two and one-half (2 1/2) acres
up to five (5) acres, the fee shall be Five
Thousand Dollars ($5,000.00),
(3) Tier 3: More than five (5) acres up to ten (10)
acres, the fee shall be Ten Thousand Dollars
($10,000.00),
(4) Tier 4: More than ten (10) acres up to twenty
(20) acres, the fee shall be Twenty Thousand
Dollars ($20,000.00),
(5) Tier 5: More than twenty (20) acres up to thirty
(30) acres, the fee shall be Thirty Thousand
Dollars ($30,000.00),
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(6) Tier 6: More than thirty (30) acres up to forty
(40) acres, the fee shall be Forty Thousand
Dollars ($40,000.00),
(7) Tier 7: More than forty (40) acres up to fifty
(50) acres, the fee shall be Fifty Thousand
Dollars ($50,000.00), and
(8) Tier 8: If the amount of acreage exceeds fifty
(50) acres, the fee shall be Fifty Thousand
Dollars ($50,000.00) plus an additional Two
Hundred Fifty Dollars ($250.00) per acre.
c. For a medical marijuana commercial grower that has a
combination of both indoor and outdoor growing
facilities at one location, the medical marijuana
commercial grower shall be required to obtain a
separate license from the Authority for each type of
grow operation and shall be subject to the licensing
fees provided for in subparagraphs a and b of this
paragraph.
d. As used in this paragraph:
(1) “canopy” means the total surface area within a
cultivation area that is dedicated to the
cultivation of flowering marijuana plants. The
surface area of the plant canopy must be
calculated in square feet and measured and must
include all of the area within the boundaries
where the cultivation of the flowering marijuana
plants occurs. If the surface of the plant
canopy consists of noncontiguous areas, each
component area must be separated by identifiable
boundaries. If a tiered or shelving system is
used in the cultivation area, the surface area of
each tier or shelf must be included in
calculating the area of the plant canopy.
Calculation of the area of the plant canopy may
not include the areas within the cultivation area
that are used to cultivate immature marijuana
ENR. S. B. NO. 1039 Page 9
plants and seedlings, prior to flowering, and
that are not used at any time to cultivate mature
marijuana plants. If the flowering plants are
vertically grown in cylinders, the square footage
of the canopy shall be measured by the
circumference of the cylinder multiplied by the
total length of the cylinder,
(2) “greenhouse” means a structure located outdoors
that is completely covered by a material that
allows a controlled level of light transmission,
and
(3) “light deprivation” means a structure that has
concrete floors and the ability to manipulate
natural light.
3. The initial, nonrefundable fee for a medical marijuana
processor license shall be Two Thousand Five Hundred Dollars
($2,500.00). The annual, nonrefundable license fee for a medical
marijuana processor license shall be determined based on the
previous twelve (12) months as follows:
a. Tier 1: The transfer or sale of zero (0) to ten
thousand (10,000) pounds of biomass or the production,
transfer, or sale of up to one hundred (100) liters of
cannabis concentrate, whichever is greater, the annual
fee shall be Two Thousand Five Hundred Dollars
($2,500.00),
b. Tier 2: The transfer or sale of ten thousand one
(10,001) pounds to fifty thousand (50,000) pounds of
biomass or the production, transfer, or sale of one
hundred one (101) to three hundred fifty (350) liters
of cannabis concentrate, whichever is greater, the
annual fee shall be Five Thousand Dollars ($5,000.00),
c. Tier 3: The transfer or sale of fifty thousand one
(50,001) pounds to one hundred fifty thousand
(150,000) pounds of biomass or the production,
transfer, or sale of three hundred fifty-one (351) to
six hundred fifty (650) liters of cannabis
ENR. S. B. NO. 1039 Page 10
concentrate, whichever is greater, the annual fee
shall be Ten Thousand Dollars ($10,000.00),
d. Tier 4: The transfer or sale of one hundred fifty
thousand one (150,001) pounds to three hundred
thousand (300,000) pounds of biomass or the
production, transfer, or sale of six hundred fifty-one
(651) to one thousand (1,000) liters of cannabis
concentrate, whichever is greater, the annual fee
shall be Fifteen Thousand Dollars ($15,000.00), and
e. Tier 5: The transfer or sale of more than three
hundred thousand one (300,001) pounds of biomass or
the production, transfer, or sale in excess of one
thousand one (1,001) liters of cannabis concentrate,
the annual fee shall be Twenty Thousand Dollars
($20,000.00).
For purposes of this paragraph only, if the cannabis concentrate
is in nonliquid form, every one thousand (1,000) grams of
concentrated marijuana shall be calculated as one (1) liter of
cannabis concentrate.
4. The initial, nonrefundable fee for a medical marijuana
dispensary license shall be Two Thousand Five Hundred Dollars
($2,500.00). The annual, nonrefundable license fee for a medical
marijuana dispensary license shall be calculated at ten percent
(10%) of the sum of twelve (12) calendar months of the combined
annual state sales tax and state excise tax of the dispensary during
the previous twelve (12) months. The minimum fee shall be not less
than Two Thousand Five Hundred Dollars ($2,500.00) and the maximum
fee shall not exceed Ten Thousand Dollars ($10,000.00).
5. The annual, nonrefundable license fee for a medical
marijuana testing laboratory shall be Twenty Thousand Dollars
($20,000.00).
E. All applicants seeking licensure or licensure renewal as a
medical marijuana business shall comply with the following general
requirements:
ENR. S. B. NO. 1039 Page 11
1. All applications for licenses and registrations authorized
pursuant to this section shall be made upon forms prescribed by the
Authority;
2. Each application shall identify the city or county in which
the applicant seeks to obtain licensure as a medical marijuana
business;
3. Applicants shall submit a complete application to the
Authority before the application may be accepted or considered;
4. All applications shall be complete and accurate in every
detail;
5. All applications shall include all attachments or
supplemental information required by the forms supplied by the
Authority;
6. All applications for a transporter license, initial
dispensary license, initial processor license, or laboratory license
shall be accompanied by a full remittance for the whole amount of
the license fee as set forth in subsection D of this section. All
submissions of grower applications, renewal processor applications,
and renewal dispensary applications shall be accompanied by a
remittance of a fee of Two Thousand Five Hundred Dollars
($2,500.00). The Authority shall invoice license applicants, if
applicable, and notify applicants in the same method and manner as
the application was submitted to the Authority for any additional
licensing fees owed pursuant to subsection D of this section prior
to approval of a license application. Applicants and licensees
shall remit all required license and application fees, including any
additional licensing fees, if applicable, in full within forty-five
(45) days of notification by the Authority. Failure to remit such
fees shall result in the denial of the application. License fees
are nonrefundable;
7. All applicants shall be approved for licensing review that,
at a minimum, meet the following criteria:
a. twenty-five (25) years of age or older,
ENR. S. B. NO. 1039 Page 12
b. if applying as an individual, proof that the applicant
is a resident of this state pursuant to paragraph 11
12 of this subsection,
c. if applying as an entity, proof that seventy-five
percent (75%) of all members, managers, executive
officers, partners, board members or any other form of
business ownership are residents of this state
pursuant to paragraph 11 12 of this subsection,
d. if applying as an individual or entity, proof that the
individual or entity is registered to conduct business
in this state,
e. disclosure of all ownership interests pursuant to the
Oklahoma Medical Marijuana and Patient Protection Act,
and
f. proof that the medical marijuana business, medical
marijuana research facility, medical marijuana
education facility and medical marijuana waste
disposal facility applicant or licensee has not been
convicted of a nonviolent felony in the last two (2)
years, or any other felony conviction within the last
five (5) years, is not a current inmate in the custody
of the Department of Corrections, or currently
incarcerated in a jail or corrections facility.
Upon reasonable suspicion that a medical marijuana business licensee
is illegally growing, processing, transferring, selling, disposing,
or diverting marijuana, the Authority, the Oklahoma State Bureau of
Narcotics and Dangerous Drugs Control, the Oklahoma State Bureau of
Investigation (OSBI), or the Attorney General may subpoena documents
necessary to establish the personal identifying information of all
owners and individuals with any ownership interest in the business;
8. There shall be no limit to the number of medical marijuana
business licenses or categories that an individual or entity can
apply for or receive, although each application and each category
shall require a separate application, application fee, or license
fee. A commercial grower, processor and dispensary, or any
combination thereof, are authorized to share the same address or
ENR. S. B. NO. 1039 Page 13
physical location, subject to the restrictions set forth in the
Oklahoma Medical Marijuana and Patient Protection Act;
9. No medical marijuana business premises is permitted to have
multiple licenses of the same type pursuant to the licensing
requirements of this section, excluding the following:
a. a commercial grower with a combination of an indoor or
outdoor growing facility on one parcel of land,
b. a licensed medical marijuana processor used by
multiple licensees, and
c. a licensed medical marijuana business that has an
approved application by the Authority while the new
business seeks registration from the Oklahoma State
Bureau of Narcotics and Dangerous Drugs Control
pursuant to Section 2 427.14c of this act title;
10. All applicants for a medical marijuana business license,
research facility license or education facility license authorized
by the Oklahoma Medical Marijuana and Patient Protection Act, or for
a renewal of such license, shall undergo a national fingerprint-
based background check conducted by the Oklahoma State Bureau of
Investigation within thirty (30) days prior to the application for
the license, including:
a. individual applicants applying on their own behalf,
b. individuals applying on behalf of an entity,
c. all principal officers of an entity, and
d. all owners of an entity as defined by the Oklahoma
Medical Marijuana and Patient Protection Act;
11. All applicable fees charged by the OSBI are the
responsibility of the applicant and shall not be higher than fees
charged to any other person or industry for such background checks;
12. In order to be considered a resident of this state for
purposes of a medical marijuana business application, all applicants
ENR. S. B. NO. 1039 Page 14
shall provide proof of state residency for at least two (2) years
immediately preceding the date of application or five (5) years of
continuous state residency during the preceding twenty-five (25)
years immediately preceding the date of application. Sufficient
documentation of proof of residency shall include a combination of
the following:
a. an unexpired state-issued driver license,
b. a state-issued identification card,
c. a utility bill preceding the date of application,
excluding cellular telephone and Internet bills,
d. a residential property deed to property in this state,
and
e. a rental agreement preceding the date of application
for residential property located in this state.
Applicants that were issued a medical marijuana business license
prior to August 30, 2019, are hereby exempt from the two-year or
five-year Oklahoma residence requirement mentioned above;
13. All license applicants shall be required to submit a
registration with the Oklahoma State Bureau of Narcotics and
Dangerous Drugs Control as provided in Sections 2-302 2-301 through
2-304 2-309 of this title;
14. All applicants shall establish their identity through
submission of a color copy or digital image of one of the following
unexpired documents:
a. front of a state-issued driver license,
b. front of a state-issued identification card,
c. a United States passport or other photo identification
issued by the United States government, or
ENR. S. B. NO. 1039 Page 15
d. a tribal identification card approved for
identification purposes by the Department of Public
Safety;
15. All applicants shall submit an applicant photograph; and
16. All applicants for a medical marijuana business license
seeking to operate a commercial growing operation shall file along
with their application a bond as prescribed in Section 427.26 of
this title.
F. The Authority shall review the medical marijuana business
application; approve, reject, or deny the application; and send the
approval, rejection, denial, or status-update letter to the
applicant in the same method the application was submitted to the
Authority within ninety (90) business days of receipt of the
application.
G. 1. The Authority shall review the medical marijuana
business applications, conduct all investigations, inspections, and
interviews, and collect all license and application fees before
approving the application.
2. Approved applicants shall be issued a medical marijuana
business license for the specific category applied under, which
shall act as proof of their approved status. Rejection and denial
letters shall provide a reason for the rejection or denial.
Applications may only be rejected or denied based on the applicant
not meeting the standards set forth in the provisions of the
Oklahoma Medical Marijuana and Patient Protection Act and Sections
420 through 426.1 427.28 of this title, improper completion of the
application, unpaid license or application fees, or for a reason
provided for in the Oklahoma Medical Marijuana and Patient
Protection Act and Sections 420 through 426.1 427.28 of this title.
If an application is rejected for failure to provide required
information, the applicant shall have thirty (30) days to submit the
required information for reconsideration. Unless the Authority
determines otherwise, an application that has been resubmitted but
is still incomplete or contains errors that are not clerical or
typographical in nature shall be denied.
ENR. S. B. NO. 1039 Page 16
3. Status-update letters shall provide a reason for delay in
either approval, rejection or denial should a situation arise in
which an application was submitted properly but a delay in
processing the application occurred.
4. Approval, rejection, denial or status-update letters shall
be sent to the applicant in the same method the application was
submitted to the Authority.
H. A license for a medical marijuana business, medical
marijuana research facility, medical marijuana education facility or
medical marijuana waste disposal facility shall not be issued to or
held by:
1. A person until all required fees have been paid;
2. A person who has been convicted of a nonviolent felony
within two (2) years of the date of application, or within five (5)
years for any other felony;
3. A corporation, if the criminal history of any of its
officers, directors or stockholders indicates that the officer,
director or stockholder has been convicted of a nonviolent felony
within two (2) years of the date of application, or within five (5)
years for any other felony;
4. A person under twenty-five (25) years of age;
5. A person licensed pursuant to this section who, during a
period of licensure, or who, at the time of application, has failed
to:
a. file taxes, interest or penalties due related to a
medical marijuana business, or
b. pay taxes, interest or penalties due related to a
medical marijuana business;
6. A sheriff, deputy sheriff, police officer or prosecuting
officer, or an officer or employee of the Authority or municipality;
ENR. S. B. NO. 1039 Page 17
7. A person whose authority to be a caregiver, as defined in
Section 427.2 of this title, has been revoked by the Authority; or
8. A person who was involved in the management or operations of
any medical marijuana business, medical marijuana research facility,
medical marijuana education facility or medical marijuana waste
disposal facility that, after the initiation of a disciplinary
action, has had a medical marijuana license revoked, not renewed, or
surrendered during the five (5) years preceding submission of the
application and for the following violations:
a. unlawful sales or purchases,
b. any fraudulent acts, falsification of records or
misrepresentation to the Authority, medical marijuana
patient licensees, caregiver licensees or medical
marijuana business licensees,
c. any grossly inaccurate or fraudulent reporting,
d. threatening or harming any medical marijuana patient,
caregiver, medical practitioner or employee of the
Authority,
e. knowingly or intentionally refusing to permit the
Authority access to premises or records,
f. using a prohibited, hazardous substance for processing
in a residential area,
g. criminal acts relating to the operation of a medical
marijuana business, or
h. any violations that endanger public health and safety
or product safety.
I. In investigating the qualifications of an applicant or a
licensee, the Authority and municipalities may have access to
criminal history record information furnished by a criminal justice
agency subject to any restrictions imposed by such an agency.
ENR. S. B. NO. 1039 Page 18
J. The failure of an applicant or licensee to provide the
requested information by the Authority deadline may be grounds for
denial of the application.
K. All applicants and licensees shall submit information to the
Authority in a full, faithful, truthful and fair manner. The
Authority may recommend denial of an application where the applicant
or licensee made misstatements, omissions, misrepresentations or
untruths in the application or in connection with the background
investigation of the applicant. This type of conduct may be grounds
for administrative action against the applicant or licensee. Typos
and scrivener errors shall not be grounds for denial.
L. A licensed medical marijuana business premises shall be
subject to and responsible for compliance with applicable provisions
consistent with the zoning where such business is located as
described in the most recent versions of the Oklahoma Uniform
Building Code, the International Building Code and the International
Fire Code, unless granted an exemption by a municipality or
appropriate code enforcement entity.
M. All medical marijuana business, medical marijuana research
facility, medical marijuana education facility and medical marijuana
waste disposal facility licensees shall pay the relevant licensure
fees prior to receiving licensure to operate. Applicants and
licensees shall remit all required license and application fees,
including any additional licensing fees, if applicable, in full
within forty-five (45) days of notification by the Authority.
Failure to remit such fees shall result in the denial of the
application.
N. A medical marijuana business, medical marijuana research
facility, medical marijuana education facility or medical marijuana
waste disposal facility that attempts to renew its license after the
expiration date of the license shall pay a late renewal fee of Five
Hundred Dollars ($500.00) per week that the license is expired.
Late renewal fees are nonrefundable. A license that has been
expired for more than sixty (60) calendar days shall not be renewed.
Only license renewal applications submitted at least sixty (60)
calendar days prior to the expiration date shall be considered
timely submitted and subject to the provisions of subsection F of
this section. A medical marijuana business license shall remain
ENR. S. B. NO. 1039 Page 19
unexpired during the pendency of the application for renewal
provided that such application was timely submitted. The Authority
shall allow renewal applications to be submitted at least one
hundred twenty (120) calendar days prior to the expiration date of a
medical marijuana business license.
O. Except as provided by this section, immediately upon
expiration of a license, any medical marijuana business, medical
marijuana research facility, medical marijuana education facility,
or medical marijuana waste disposal facility shall cease all
possession, transfer, or sale of medical marijuana or medical
marijuana products. Any continued possession, sale, or transfer
shall subject the business owners and operators to felony
prosecution pursuant to the Uniform Controlled Dangerous Substances
Act.
P. A medical marijuana business license holder shall require
all individuals employed under his or her license to be issued a
credential pursuant to the provisions of Section 427.14b of this
title prior to employment.
Q. An original medical marijuana business license issued on or
after June 26, 2018, by the Authority, for a medical marijuana
commercial grower, a medical marijuana processor or a medical
marijuana dispensary shall be deemed to have been grandfathered into
the location on the date the original license was first issued for
purposes of determining the authority of the business to conduct and
continue the same type of business at that location under a license
issued by the Authority, except as may be provided in Sections 425
and 426.1 of this title. Any change in ownership after the original
medical marijuana business license has been issued by the Authority
shall be construed by the Authority to be a continuation of the same
type of business originally licensed at that location. Nothing
shall authorize the Authority to deny issuance or renewal of a
license or transfer of license due to a change in ownership for the
same business location previously licensed, except when a revocation
is otherwise authorized by law or a protest is made under the
municipal compliance provisions of Section 426.1 of this title.
R. A medical marijuana business license holder shall require
all individuals employed under their license to be issued a
ENR. S. B. NO. 1039 Page 20
credential pursuant to the provisions of Section 427.14b of this
title prior to employment.
S. The Executive Director of the Authority may promulgate rules
to implement the provisions of this section including, but not
limited to, required application materials to be submitted by the
applicant and utilized by the Authority to determine medical
marijuana business licensing fees pursuant to this section.
SECTION 3. This act shall become effective November 1, 2025.
ENR. S. B. NO. 1039 Page 21
Passed the Senate the 28th day of May, 2025.
Presiding Officer of the Senate
Passed the House of Representatives the 28th day of May, 2025.
Presiding Officer of the House
of Representatives
OFFICE OF THE GOVERNOR
Received by the Office of the Governor this ____________________
day of ___________________, 20_______, at _______ o'clock _______ M.
By: _________________________________
Approved by the Governor of the State of Oklahoma this _________
day of ___________________, 20_______, at _______ o'clock _______ M.
_________________________________
Governor of the State of Oklahoma
OFFICE OF THE SECRETARY OF STATE
Received by the Office of the Secretary of State this __________
day of __________________, 20 _______, at _______ o'clock _______ M.
By: _________________________________