Okla. Stat. tit. 63, § 63-423: Medical marijuana processing license - Application –

Inspection - Devices.

A. The Oklahoma Medical Marijuana Authority shall make

available on its website in an easy-to-find location an application

for a medical marijuana processing license. The Authority shall be

authorized to issue two types of medical marijuana processor

licenses based on the level of risk posed by the type of processing

conducted:

1. Nonhazardous medical marijuana processor license; and

2. Hazardous medical marijuana processor license.

The application fee for a nonhazardous or hazardous medical

marijuana processor license shall be paid by the applicant in the

amounts provided for in Section 427.14 of this title. A method of

payment shall be provided on the website of the Authority. The

Authority shall have ninety (90) business days to review the

application; approve, reject, or deny the application; and send the

approval, rejection, or denial letter stating the reasons for the

rejection or denial to the applicant in the same method the

application was submitted to the Authority.

B. The Authority shall approve all applications which meet the

following criteria:

1. The applicant must be twenty-five (25) years of age or

older;

2. The applicant, if applying as an individual, must show

residency in this state;

3. All applying entities must show that all members, managers,

and board members are Oklahoma residents of this state;

4. An applying entity may show ownership of nonstate residents,

but that percentage ownership may not exceed twenty-five percent

(25%);

5. All applying individuals or entities must be registered to

conduct business in this state; and

6. All applicants must disclose all ownership interests in the

processing operation.

Applicants with a nonviolent felony conviction in the last two

(2) years, any other felony conviction in the last five (5) years,

inmates in the custody of the Department of Corrections or any

person currently incarcerated shall not qualify for a medical

marijuana processing license.

C. 1. A licensed processor may take marijuana plants and

distill or process these plants into concentrates, edibles, and

other forms for consumption.

2. The Executive Director of the Authority shall make available

a set of standards which shall be used by licensed processors in the

preparation of edible marijuana products. The standards should be

in line with current food preparation guidelines. No excessive or

punitive rules may be established by the Executive Director.

3. Up to two times a year, the Authority may inspect a

processing operation and determine its compliance with the

preparation standards. If deficiencies are found, a written report

of the deficiency shall be issued to the licensed processor. The

licensed processor shall have one (1) month to correct the

deficiency or be subject to a fine of Five Hundred Dollars ($500.00)

for each deficiency.

4. A licensed processor may sell marijuana products it creates

to a licensed dispensary or any other licensed processor. All sales

by a licensed processor shall be considered wholesale sales and

shall not be subject to taxation.

5. Under no circumstances may a licensed processor sell

marijuana or any marijuana product directly to a licensed medical

marijuana patient or licensed caregiver. However, a licensed

processor may process cannabis into a concentrated form for a

licensed medical marijuana patient for a fee.

6. Licensed processors shall be required to complete a monthly

yield and sales report to the Authority. This report shall be due

on the fifteenth of each month and shall provide reporting on the

previous month. This report shall detail the amount of marijuana

and medical marijuana products purchased in pounds, the amount of

marijuana cooked or processed in pounds, and the amount of waste in

pounds. Additionally, this report shall show total wholesale sales

eld and sales report to the Authority. This report shall be due

on the fifteenth of each month and shall provide reporting on the

previous month. This report shall detail the amount of marijuana

and medical marijuana products purchased in pounds, the amount of

marijuana cooked or processed in pounds, and the amount of waste in

pounds. Additionally, this report shall show total wholesale sales

in dollars. The Authority shall have oversight and auditing

responsibilities to ensure that all marijuana being processed is

accounted for.

D. The Authority shall oversee the inspection and compliance of

licensed processors producing products with marijuana as an

additive. If it becomes permissible under federal law, marijuana

may be moved across state lines.

E. Any device used for the processing or consumption of medical

marijuana shall be considered legal to be sold, manufactured,

distributed and possessed. No merchant, wholesaler, manufacturer or

individual may be unduly harassed or prosecuted for selling,

manufacturing or possessing marijuana paraphernalia.

Added by Section 4, State Question No. 788, Initiative Petition No.

412, adopted at election held June 26, 2018, eff. July 26, 2018.