OKLAHOMA CITY – The state Legislature adopted several measures this year that beef up regulation of the burgeoning medical marijuana industry in Oklahoma.
Sen. James Leewright said Senate Bill 1033 enables the Oklahoma Medical Marijuana Authority (OMMA) and the Oklahoma Bureau of Narcotics and Dangerous Drugs Control (OBNDD) to develop and finalize agreements that “will better protect legitimate Oklahoma businesses by ensuring more resources to go after criminal operations.”
Leewright, R-Bristow, was the principal author of the legislation, which went into effect immediately with Gov. Kevin Stitt’s signature.
“We want to protect our legitimate Oklahoma businesses and at the same time send a strong message that Oklahoma is not a safe haven for criminal organizations,” Leewright said. SB 1033 “provides the statutory authority for key agreements aimed at both of those concerns.”
Prior to SB 1033, the OMMA could use its resources only for administrative purposes, Leewright said. Now, though, OMMA and OBNDD will be able to enter into agreements that will provide resources for dedicated agents.
House Bill 2904 directs the state Health Department to hire 76 new positions at the Medical Marijuana Authority. Those include 62 compliance and enforcement officers, six employees to perform legal and financial duties, four individuals to perform planning and logistic duties, and four investigators with at least five years of experience in criminal investigations.
“It’s been only three years since Oklahomans approved medical marijuana, but I don’t think anyone could have predicted the explosion in growers, processors or dispensaries in that time,” Leewright said.
Oklahoma had more than 11,630 licensed medical marijuana businesses as of June 1. Those included 7,850 growers, 1,402 processors, 2,264 dispensaries, 81 licensed transporters, 10 licensed waste disposers, and 25 laboratories.
SB 1033 “gives us the necessary authorization and the resources to go after criminal operations,” Leewright said.
Another new law, House Bill 2272, requires current MMJ business licensees and applicants to submit to the OBNDD a sworn statement confirming or denying the existence of any foreign financial interests in their business operation.
Mark Woodward, legislative liaison for OBNDD, said the agency has been investigating illegal operations, but having resources for a dedicated unit will be a game-changer.
“We know we have criminal organizations moving into our state, often hiring Oklahomans as straw owners. One hundred percent of the product may end up on the black market,” Woodward said. “This new law means we can create a full-time marijuana enforcement unit with the single purpose of identifying and removing criminal organizations.”
SB 1033 also provides that the 1,000-foot setback distance between a dispensary and a school will be measured from the front door of the dispensary to the nearest school door. A dispensary will be “grandfathered in” if a school is established within 1,000 feet after the dispensary was licensed.
SB 1033 also authorizes the Oklahoma Tax Commission to charge the OMMA a 1.5 % fee for collecting the 7% medical marijuana tax. This will help defray costs associated with tax collection and compliance.
MMJ PATIENTS CANNOT BE DENIED OTHER LICENSES
House Bill 2646 by Majority Floor Leader Jon Echols, R-Oklahoma City, authorizes licensed dispensaries to package and sell pre-rolled marijuana joints to licensed MMJ patients and caregivers, and licensed commercial growers are authorized to package and sell pre-rolled marijuana to licensed medical marijuana dispensaries, effective Nov. 1.
No person who possesses a medical marijuana patient license may be “unduly withheld” from holding another state-issued license by virtue of his/her status as a medical marijuana patient licensee including, but not limited to, a permit to carry a concealed gun.
No municipality may “unduly change or restrict” zoning laws to prevent the opening of a medical marijuana dispensary.
HB 2646 decrees that medical marijuana business licensees can be required to submit a sample or unit of medical marijuana or medical marijuana product to the quality assurance laboratory “for quality assurance purposes” or when there is “reason to believe” the marijuana or marijuana product “may be unsafe for patient consumption or inhalation or has not been tested” in a proper manner.
Also, post-licensure inspections will generally be limited to twice per calendar year. However, investigations and additional inspections may occur if the Health Department believes an investigation or additional inspection is necessary due to a possible violation of applicable laws, rules or regulations.
The State Health Commissioner is empowered to adopt rules imposing penalties including, but not limited to, monetary fines and suspension or revocation of licensure for failure to allow the Oklahoma Medical Marijuana Authority “reasonable access” to a licensed premises in order to conduct an inspection.
“Intentional diversion” of medical marijuana, medical marijuana concentrate or medical marijuana products to an unauthorized minor person can subject the offender to a $2,500 fine for a first offense. For a second or subsequent offense, the punishment will be a fine of $5,000 and automatic termination of the violator’s medical marijuana license. The offender also could be subject to criminal prosecution.
MUST BE 21 TO POSSESS NICOTINE
Another measure that pertains to a controlled substance, House Bill 2674, clarifies that a person must be at least 21 years old to purchase, receive or possess nicotine products. However, it is not illegal for an employee who is younger than 21 to handle tobacco products, nicotine products or vapor products “when required in the performance of the employee’s duties.”
Anyone who provides to any person under the age of 21, by gift, sale or otherwise, any cigarettes, cigarette papers, cigars, bidis, snuff, chewing tobacco, or any other form of tobacco product, nicotine product or vapor product, shall be deemed guilty of a misdemeanor. A violator will be fined not less than $25 nor more than $200, and be incarcerated in the county jail for not less than 10 days nor more than 90 days, for each offense.
As used in the Prevention of Youth Access to Tobacco Act, “nicotine product” means any product that contains nicotine extracted or isolated from plants, vegetables, fruit, herbs, weeds, genetically modified organic matter, or that is synthetic in origin and is intended for human consumption. However, the term shall not include products approved by the U.S. Food and Drug Administration for smoking cessation.