1 STATE OF OKLAHOMA
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2 1st Session of the 59th Legislature (2023)
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3 SENATE BILL 913 By: Jech
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6 AS INTRODUCED
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7 An Act relating to medical marijuana growing
7 operations; amending 63 O.S. 2021, Section 427.14, as
8 last amended by Section 4, Chapter 332, O.S.L. 2022
8 (63 O.S. Supp. 2022, Section 427.14), which relates
9 to the medical marijuana business license; requiring
9 bond to be submitted during application process if
10 participating in growing operations; requiring bond
10 to be filed with the Oklahoma Medical Marijuana
11 Authority for designated area of commercial growing
11 operations; providing minimum amount; allowing
12 Authority to require additional coverage; requiring
12 amount should be sufficient in event of loss of
13 license; providing an exception; providing for
13 codification; and declaring an emergency.
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16 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
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17 SECTION 1. AMENDATORY 63 O.S. 2021, Section 427.14, as
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18 last amended by Section 4, Chapter 332, O.S.L. 2022 (63 O.S. Supp.
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19 2022, Section 427.14), is amended to read as follows:
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20 Section 427.14. A. There is hereby created the medical
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21 marijuana business license, which shall include the following
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22 categories:
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23 1. Medical marijuana commercial grower;
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24 2. Medical marijuana processor;
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Req. No. 276 Page 1
1 3. Medical marijuana dispensary;
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2 4. Medical marijuana transporter; and
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3 5. Medical marijuana testing laboratory.
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4 B. The Oklahoma Medical Marijuana Authority, with the aid of
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5 the Office of Management and Enterprise Services, shall develop a
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6 website for medical marijuana business applications.
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7 C. The Authority shall make available on its website in an
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8 easy-to-find location, applications for a medical marijuana
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9 business.
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10 D. 1. The annual, nonrefundable fee for a medical marijuana
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11 transporter license shall be Two Thousand Five Hundred Dollars
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12 ($2,500.00).
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13 2. The initial fee for a medical marijuana commercial grower
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14 license shall be calculated based upon the total amount of square
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15 feet of canopy or acres the grower estimates will be harvested for
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16 the year. The annual, nonrefundable license fee shall be based upon
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17 the total amount of square feet of canopy harvested by the grower
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18 during the previous twelve (12) months. The amount of the fees
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19 shall be determined as follows:
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20 a. For an indoor, greenhouse, or light deprivation
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21 medical marijuana grow facility:
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22 (1) Tier 1: Up to ten thousand (10,000) square feet
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23 of canopy, the fee shall be Two Thousand Five
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24 Hundred Dollars ($2,500.00),
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Req. No. 276 Page 2
1 (2) Tier 2: Ten thousand one (10,001) square feet of
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2 canopy to twenty thousand (20,000) square feet of
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3 canopy, the fee shall be Five Thousand Dollars
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4 ($5,000.00),
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5 (3) Tier 3: Twenty thousand one (20,001) square feet
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6 of canopy to forty thousand (40,000) square feet
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7 of canopy, the fee shall be Ten Thousand Dollars
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8 ($10,000.00),
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9 (4) Tier 4: Forty thousand one (40,001) square feet
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10 of canopy to sixty thousand (60,000) square feet
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11 of canopy, the fee shall be Twenty Thousand
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12 Dollars ($20,000.00),
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13 (5) Tier 5: Sixty thousand one (60,001) square feet
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14 of canopy to eighty thousand (80,000) square feet
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15 of canopy, the fee shall be Thirty Thousand
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16 Dollars ($30,000.00),
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17 (6) Tier 6: Eighty thousand one (80,001) square feet
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18 of canopy to ninety-nine thousand nine hundred
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19 ninety-nine (99,999) square feet of canopy, the
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20 fee shall be Forty Thousand Dollars ($40,000.00),
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21 and
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22 (7) Tier 7: One hundred thousand (100,000) square
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23 feet of canopy and beyond, the fee shall be Fifty
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24 Thousand Dollars ($50,000.00), plus an additional
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Req. No. 276 Page 3
1 twenty-five cents ($0.25) per square foot of
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2 canopy over one hundred thousand (100,000) square
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3 feet.
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4 b. For an outdoor medical marijuana grow facility:
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5 (1) Tier 1: Up to two and one-half (2 1/2) acres,
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6 the fee shall be Two Thousand Five Hundred
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7 Dollars ($2,500.00),
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8 (2) Tier 2: Two and one-half (2 1/2) acres up to
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9 five (5) acres, the fee shall be Five Thousand
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10 Dollars ($5,000.00),
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11 (3) Tier 3: Five (5) acres up to ten (10) acres, the
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12 fee shall be Ten Thousand Dollars ($10,000.00),
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13 (4) Tier 4: Ten (10) acres up to twenty (20) acres,
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14 the fee shall be Twenty Thousand Dollars
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15 ($20,000.00),
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16 (5) Tier 5: Twenty (20) acres up to thirty (30)
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17 acres, the fee shall be Thirty Thousand Dollars
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18 ($30,000.00),
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19 (6) Tier 6: Thirty (30) acres up to forty (40)
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20 acres, the fee shall be Forty Thousand Dollars
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21 ($40,000.00),
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22 (7) Tier 7: Forty (40) acres up to fifty (50) acres,
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23 the fee shall be Fifty Thousand Dollars
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24 ($50,000.00), and
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Req. No. 276 Page 4
1 (8) Tier 8: If the amount of acreage exceeds fifty
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2 (50) acres, the fee shall be Fifty Thousand
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3 Dollars ($50,000.00) plus an additional Two
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4 Hundred Fifty Dollars ($250.00) per acre.
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5 c. For a medical marijuana commercial grower that has a
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6 combination of both indoor and outdoor growing
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7 facilities at one location, the medical marijuana
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8 commercial grower shall be required to obtain a
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9 separate license from the Authority for each type of
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10 grow operation and shall be subject to the licensing
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11 fees provided for in subparagraphs a and b of this
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12 paragraph.
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13 d. As used in this paragraph:
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14 (1) “canopy” means the total surface area within a
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15 cultivation area that is dedicated to the
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16 cultivation of flowering marijuana plants. The
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17 surface area of the plant canopy must be
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18 calculated in square feet and measured and must
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19 include all of the area within the boundaries
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20 where the cultivation of the flowering marijuana
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21 plants occurs. If the surface of the plant
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22 canopy consists of noncontiguous areas, each
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23 component area must be separated by identifiable
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24 boundaries. If a tiered or shelving system is
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Req. No. 276 Page 5
1 used in the cultivation area, the surface area of
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2 each tier or shelf must be included in
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3 calculating the area of the plant canopy.
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4 Calculation of the area of the plant canopy may
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5 not include the areas within the cultivation area
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6 that are used to cultivate immature marijuana
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7 plants and seedlings, prior to flowering, and
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8 that are not used at any time to cultivate mature
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9 marijuana plants. If the flowering plants are
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10 vertically grown in cylinders, the square footage
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11 of the canopy shall be measured by the
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12 circumference of the cylinder multiplied by the
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13 total length of the cylinder,
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14 (2) “greenhouse” means a structure located outdoors
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15 that is completely covered by a material that
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16 allows a controlled level of light transmission,
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17 and
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18 (3) “light deprivation” means a structure that has
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19 concrete floors and the ability to manipulate
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20 natural light.
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21 3. The annual, nonrefundable license fee for a medical
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22 marijuana processor license shall be determined as follows:
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23 a. Tier 1: Zero (0) to ten thousand (10,000) pounds of
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24 biomass or production or use of up to one hundred
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Req. No. 276 Page 6
1 (100) liters of cannabis concentrate, the annual fee
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2 shall be Two Thousand Five Hundred Dollars
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3 ($2,500.00),
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4 b. Tier 2: Ten thousand one (10,001) pounds to fifty
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5 thousand (50,000) pounds of biomass or production or
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6 use from one hundred one (101) to three hundred fifty
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7 (350) liters of cannabis concentrate, the annual fee
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8 shall be Five Thousand Dollars ($5,000.00),
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9 c. Tier 3: Fifty thousand one (50,001) pounds to one
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10 hundred fifty thousand (150,000) pounds of biomass or
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11 production or use from three hundred fifty-one (351)
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12 to six hundred fifty (650) liters of cannabis
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13 concentrate, the annual fee shall be Ten Thousand
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14 Dollars ($10,000.00),
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15 d. Tier 4: One hundred fifty thousand one (150,001)
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16 pounds to three hundred thousand (300,000) pounds of
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17 biomass or production or use from six hundred fifty-
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18 one (651) to one thousand (1,000) liters of cannabis
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19 concentrate, the annual fee shall be Fifteen Thousand
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20 Dollars ($15,000.00), and
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21 e. Tier 5: More than three hundred thousand one
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22 (300,001) pounds of biomass or production or use in
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23 excess of one thousand one (1,001) liters of cannabis
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Req. No. 276 Page 7
1 concentrate, the annual fee shall be Twenty Thousand
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2 Dollars ($20,000.00).
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3 For purposes of this paragraph only, if the cannabis concentrate
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4 is in nonliquid form, every one thousand (1,000) grams of
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5 concentrated marijuana shall be calculated as one (1) liter of
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6 cannabis concentrate.
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7 4. The initial fee for a medical marijuana dispensary license
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8 shall be Two Thousand Five Hundred Dollars ($2,500.00). The annual,
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9 nonrefundable license fee for a medical marijuana dispensary license
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10 shall be calculated at ten percent (10%) of the sum of twelve (12)
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11 calendar months of the combined annual state sales tax and state
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12 excise tax of the dispensary. The minimum fee shall be not less
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13 than Two Thousand Five Hundred Dollars ($2,500.00) and the maximum
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14 fee shall not exceed Ten Thousand Dollars ($10,000.00).
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15 5. The annual, nonrefundable license fee for a medical
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16 marijuana testing laboratory shall be Twenty Thousand Dollars
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17 ($20,000.00).
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18 E. All applicants seeking licensure or licensure renewal as a
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19 medical marijuana business shall comply with the following general
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20 requirements:
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21 1. All applications for licenses and registrations authorized
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22 pursuant to this section shall be made upon forms prescribed by the
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23 Authority;
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Req. No. 276 Page 8
1 2. Each application shall identify the city or county in which
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2 the applicant seeks to obtain licensure as a medical marijuana
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3 business;
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4 3. Applicants shall submit a complete application to the
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5 Authority before the application may be accepted or considered;
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6 4. All applications shall be complete and accurate in every
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7 detail;
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8 5. All applications shall include all attachments or
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9 supplemental information required by the forms supplied by the
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10 Authority;
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11 6. All applications shall be accompanied by a full remittance
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12 for the whole amount of the application fees. Application fees are
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13 nonrefundable;
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14 7. All applicants shall be approved for licensing review that,
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15 at a minimum, meets the following criteria:
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16 a. twenty-five (25) years of age or older,
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17 b. if applying as an individual, proof that the applicant
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18 is an Oklahoma resident pursuant to paragraph 11 of
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19 this subsection,
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20 c. if applying as an entity, proof that seventy-five
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21 percent (75%) of all members, managers, executive
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22 officers, partners, board members or any other form of
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23 business ownership are Oklahoma residents pursuant to
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24 paragraph 11 of this subsection,
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Req. No. 276 Page 9
1 d. if applying as an individual or entity, proof that the
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2 individual or entity is registered to conduct business
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3 in the State of Oklahoma,
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4 e. disclosure of all ownership interests pursuant to the
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5 Oklahoma Medical Marijuana and Patient Protection Act,
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6 and
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7 f. proof that the medical marijuana business, medical
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8 marijuana research facility, medical marijuana
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9 education facility and medical marijuana waste
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10 disposal facility applicant or licensee has not been
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11 convicted of a nonviolent felony in the last two (2)
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12 years, or any other felony conviction within the last
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13 five (5) years, is not a current inmate in the custody
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14 of the Department of Corrections, or currently
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15 incarcerated in a jail or corrections facility;
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16 8. There shall be no limit to the number of medical marijuana
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17 business licenses or categories that an individual or entity can
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18 apply for or receive, although each application and each category
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19 shall require a separate application and application fee. A
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20 commercial grower, processor and dispensary, or any combination
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21 thereof, are authorized to share the same address or physical
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22 location, subject to the restrictions set forth in the Oklahoma
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23 Medical Marijuana and Patient Protection Act;
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1 9. All applicants for a medical marijuana business license,
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2 research facility license or education facility license authorized
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3