Oklahoma medical marijuana businesses must disclose whether or not they have any foreign financial interests in the business under new legislation signed into law by Gov. Kevin Stitt on May 18. The new law also will require the OMMA to schedule on-site meetings and compliance inspections to determine whether a marijuana business is actively operating or working toward operational status, said Tulsa medical marijuana attorney Stephen Cale.
The following is a summary for educational purposes only. It is not legal advice and does not form an attorney-client relationship. You can read the full text of the new law here: (HB2272).
Confirmation Or Denial Of Foreign Financial Interest Required
Effective July 1, 2021, current medical marijuana businesses and applicants for licensure must submit an affidavit, or attestation, to the Oklahoma Bureau of Narcotics and Dangerous Drugs Control (OBNDD) that:
- Confirms or denies “the existence of any foreign financial interest” in the business; and
- Discloses “the identify of such ownership, if applicable.”
The law does not define “foreign financial interest,” said Tulsa medical marijuana attorney Stephen Cale.
At the final reading of HB 2272, some State House members discussed the intent of the bill. In its original form, HB 2272 would have put a two-year moratorium on issuing licenses. Watch toward the end of the video and you’ll hear that some lawmakers still want the cap.
Medical marijuana businesses must submit the affidavit within 60 days after the law’s effective date, Cale said. Those who have applied for a marijuana business license must submit the affidavit within 60 days after the Oklahoma Medical Marijuana Authority (OMMA) approves the license application.
Revocation Of License For Failing To Submit Affidavit
Under the new law, “[f]ailure to submit the attestation or accompanying information to the Bureau within the specified sixty-day time period shall result in the immediate revocation of the medical marijuana business license.”
The law requires OBNDD to make an attestation form available on its public website, Cale said.
On-Site Meetings And Compliance Inspections For Business Operation Status
Beginning September 1, 2021, the OMMA will be required to schedule on-site meetings and compliance inspections of dispensary, grower, and processor premises. The meeting and inspection must occur within 180 days after the OMMA has issued the medical marijuana business license.
The text of the new law states that the purpose of the meeting and inspection is so that the OMMA can determine whether the licensee is “actively operating or working towards operational status.”
Consequences For Failing To Prove Operational Status
At the first onsite meeting and inspection, the OMMA will grant the marijuana business a 180-day grace period to become operational if the business fails to prove that it is actively operating or working toward operational status, Cale said.
Upon that grace period expiring, the OMMA will schedule another on-site meeting and inspection. After this second meeting and inspection, if the marijuana business still has not provided proof of being operational or working toward being operational, the OMMA is authorized to grant another 180-day grace period for the business to become operational.
Upon the second grace period expiring, the OMMA must terminate the medical marijuana business license if the business fails to provide proof that it is actively conducting business operations at the licensed premises.
Working With Cale Law Office
The Cale Law Office is dedicated to the practice of medical marijuana law and criminal defense. Our mission is to achieve the best possible results for our clients through hard work, attention to detail, and aggressive representation. This is done while maintaining the highest level of professionalism, integrity, and ethical standards.
We have helped numerous people set up marijuana businesses and acquire their commercial dispensary, processor, and grower medical marijuana licenses. If you want a medical marijuana business license, marijuana compliance auditing, or need legal representation in the Oklahoma medical marijuana industry, call the Cale Law Office at 918-277-4800. Your initial consultation is free.
Stephen Cale works with a number of marijuana-related organizations. He is a Legal Committee member of the National Organization for the Reform of Marijuana Laws (NORML). Additionally, he serves on the board of Green Country NORML, a Tulsa chapter of NORML. He also serves as a board member of, and is on the Standard Operating Procedures steering committee for, OK4U Approved, a medical marijuana patient union and trade organization.