Okla. Stat. tit. 63, § 63-427.14

This is the official text of Okla. Stat. tit. 63, § 63-427.14, part of Oklahoma’s Stat. tit. 63, — part of the compiled statutory law of Oklahoma, published by the state as "Stat. tit. 63,." Browse the sections below, each linked to its official government source.

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Medical marijuana business license – Requirements

Official statutory text

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

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,

Oklahoma Statutes - Title 63. Public Health and Safety Page 1152

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

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),

Oklahoma Statutes - Title 63. Public Health and Safety Page 1153

(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),

(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
han twenty (20) acres up to thirty

(30) acres, the fee shall be Thirty Thousand

Dollars ($30,000.00),

(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

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

Oklahoma Statutes - Title 63. Public Health and Safety Page 1154

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

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
n,

transfer, or sale of three hundred fifty-one (351) to

six hundred fifty (650) liters of cannabis

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).

Oklahoma Statutes - Title 63. Public Health and Safety Page 1155

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:

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
icable, 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

Oklahoma Statutes - Title 63. Public Health and Safety Page 1156

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,

b. if applying as an individual, proof that the applicant

is a resident of this state pursuant to paragraph 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 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

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:

Oklahoma Statutes - Title 63. Public Health and Safety Page 1157

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 427.14c of this 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 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

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 2-301 through 2-309

of this title;

Oklahoma Statutes - Title 63. Public Health and Safety Page 1158

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

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 427.28 of this title, improper completion of the
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 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 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.

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.

Oklahoma Statutes - Title 63. Public Health and Safety Page 1159

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;

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,

Oklahoma Statutes - Title 63. Public Health and Safety Page 1160

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.
knowingly or intentionally refusing to permit the

Authority access to premises or records,

Oklahoma Statutes - Title 63. Public Health and Safety Page 1160

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.

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

Oklahoma Statutes - Title 63. Public Health and Safety Page 1161

this section. A medical marijuana business license shall remain

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
tion 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

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.

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