Oklahoma Cannabis Laws

Find important info here on Oklahoma marijuana dispensary laws and licensing procedures, including how to apply for a license and cannabis compliance.

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In June 2018, Oklahoma became the 30th U.S. state to legalize medical marijuana under SQ 788. Residents over 18 with a physician's recommendation can apply for a medical card to buy medical marijuana from licensed dispensaries, with exceptions for non-residents and minors.

The Oklahoma Medical Marijuana Authority (OMMA) oversees licensing, and the market has grown rapidly since August 2018, with over 7,300 business licenses issued, including 1,800+ dispensaries. More than 5% of the state's population are registered medical marijuana patients.

In September 2020, OMMA partnered with Metrc for seed-to-sale tracking, but implementation was delayed. On Feb 25, 2022, an agreement was reached for full compliance by May 26, 2022, to improve cannabis business operations. Metrc's implementation has been crucial in combating illicit marijuana businesses. Dispensaries had urged OMMA to move forward with it for enhanced compliance and safety.

Oklahoma's cannabis landscape has seen significant changes in recent years, making it crucial for both residents and businesses to stay informed and compliant with evolving cannabis regulations. For detailed information and updates on Oklahoma's dispensary laws and licensing process, visit OMMA's website. On this page, you’ll get an overview of the state's medical marijuana laws, including regular updates and essential information you need to know.

Note: This page is informational only and should not be considered legal advice.

Latest Updates

In the ever-evolving world of cannabis legislation, staying informed is paramount. Here are some time-sensitive updates you need to be aware of in Oklahoma:

  • Pressure is growing in the Oklahoma Legislature to reconsider the contract for the state's marijuana tracking system due to complaints from lawmakers and cannabis businesses about the current system implemented by Metrc on behalf of OMMA. Approximately one out of every five businesses regulated by OMMA was issued $500 fines last year because they had not set up the proper account with Metrc.

  • In March 2023, Oklahoma residents voted against a state-wide referendum to legalize recreational cannabis use. Despite the state's thriving medical marijuana industry, the ballot question proposing recreational cannabis sales to adults over 21 was met with widespread opposition from law enforcement, educators, and religious and political leaders. Supporters argue that cannabis legalization in Oklahoma is inevitable due to widespread usage, but opponents emphasize law and order in the state.

  • Oklahoma lawmakers have proposed numerous bills related to the cannabis industry in 2023. These bills address various aspects, including potency limits on THC, location restrictions for dispensaries, taxation of cannabis farms, temporary business licenses, conflicts of interest disclosure, product testing procedures, and regulations for medical marijuana doctors. These legislative efforts reflect the continued growth of the cannabis industry in Oklahoma and further expansion is anticipated if a statewide referendum on recreational marijuana is approved by next year.

Oklahoma Cannabis Laws Summary

  • Medical marijuana is legal for valid residents 18 and over. Recreational marijuana remains illegal in Oklahoma
  • Medical Marijuana became legal in June 2018
  • The cost to open a dispensary in Oklahoma is $2,500 for the licensing fee plus lease or real estate and operating costs such as employees
  • The regulatory body for medical marijuana is the Oklahoma Medical Marijuana Authority (OMMA)
  • The seed-to-sale tracking system in Oklahoma is Metrc, which went into force on May 26, 2022
  • Medical marijuana cards are $100, or $20 for those with Medicaid, Medicare, or SoonerCare

Key Oklahoma Dispensary
Laws and Regulations

  • Regulatory Body: The Oklahoma Medical Marijuana Authority (OMMA) oversees the state's medical marijuana program.
  • Licensing Fees: The cost to open a dispensary in Oklahoma includes a $2,500 licensing fee, plus additional expenses such as lease or real estate costs and employee salaries.
  • Seed-to-Sale Tracking: Oklahoma utilizes the Metrc seed-to-sale tracking system, ensuring compliance and safety in the cannabis industry.
  • Patient Eligibility: Eligibility for a medical marijuana patient card is open to residents aged 18 and above.
  • Sales Excise Tax: Oklahoma imposes a 7% excise tax on all medical marijuana sales, in addition to state and local tax.

Frequently Asked Questions

Oklahoma Medical Cannabis Law

Here are the basics on the new medical marijuana law in Oklahoma

What is the process to apply for a medical marijuana patient license?

You have to be 18 or older and an Oklahoma resident to apply for a medical marijuana patient license. The application must include written documentation of approval by an Oklahoma board certified physician. All applications will be approved or denied with 14 days.

There are exceptions for those under 18 years old and non-residents. For younger patients, their application must be signed off by two Oklahoma board-certified physicians and a parent or legal guardian. A parent or legal guardian has to pick up any medical marijuana from the dispensary for younger patients.

Non-residents with a medical marijuana card from another state can apply for a 30-day temporary patient license.

Are there any qualifying conditions?

No, there are no qualifying conditions for medical marijuana patients in Oklahoma. All that is required is a recommendation from an Oklahoma board certified physician.

How much does a medical marijuana patient license in Oklahoma cost?

Each patient license costs $100 (or $20 for those on medicaid, medicare or SoonerCare) and lasts for two years. Temporary patient licenses last for 30 days and cost $100.

What are the possession limits for medical marijuana patients in Oklahoma?

While local governments can increase limits for medical marijuana patients, state law says it is legal for medical marijuana patients to possess:

  • 3 ounces of marijuana on their person
  • 8 ounces in their residence
  • 6 mature plants
  • 6 seedlings
  • 1 ounce of concentrates

Medical cannabis Licensing

Are you interested in launching a medical dispensary in Oklahoma? Here’s everything you need to know about licensing.

What type of medical cannabis licenses are available in Oklahoma?

There are three types of commercial cannabis licenses available in Oklahoma: grower, processor and dispensary.

Is the application process open?

Yes, the application process opened on August 25, 2018.

Where can I find more information about Oklahoma cannabis licensing process?

You can find robust application information on OMMA’s website and their application checklist.

Oklahoma Dispensary Laws

After licensing comes compliance. Learn the rules for running a medical marijuana dispensary in Oklahoma.

Whom can Oklahoma dispensaries sell to?

Only medical patients (or their caregiver) with a valid medical marijuana patient license can purchase goods from an Oklahoma dispensary. Dispensaries can verify a patient or caregiver by a physical medical marijuana ID card or through the state’s database.

Licensed dispensaries can not sell medical marijuana to out-of-state individuals or entities.

What does Oklahoma cannabis law say about dispensary location?

Dispensaries in Oklahoma must be at least 1,000 feet from a public or private school. This is measured by a straight line (shortest distance) from the property line of the dispensary to any entrance of the school.

What can an Oklahoma dispensary sell?

Medical cannabis dispensaries in Oklahoma can sell mature plants, seedlings, concentrates, flower and edibles.

Are there daily purchase limits for medical marijuana patients?

In a single transaction, a dispensary cannot sell more than three ounces of usable cannabis, one ounce of marijuana concentrate and 72 ounces of medical marijuana products. These all fall in line with possession limits for patients.

What are labeling and packaging requirements for medical marijuana?

Oklahoma law states that packaging for medical marijuana cannot be attractive to minors, must contain proper warnings to keep out of reach of minors and child-resistant packaging.

Wholesale package labels must include name, license number, batch number, date of harvest or production, and a statement that medical marijuana has passed or failed testing and is being transferred for remediation purposes only.

Packages and labels cannot contain OSDH or OMMA logos.

What is the tax on medical cannabis?

There is a 7% gross receipts tax on all cannabis, plus sales tax, that must be collected upon sale. A sales tax permit has to be obtained after a license is granted by OMMA.

OMMA has partnered with Metrc for inventory tracking and reporting services to cannabis businesses, and Metrc system is gradually being integrated with OMMA reporting requirements.

Metrc is a fully integrated compliance system that allows real-time tracking and tracing of marijuana products. Licensees will have to attach unique, serialized tags to every product, which will have readable text, barcodes, and RFID chips to uniquely identify every plant or flower, both physically and digitally in the cloud software. Retailers will then enter information such as weight, transfer of custody, and test results into the online software platform, which will be then available to the business owners and the OMMA. To familiarize yourself with how Metrc works, you may check out videos on its YouTube channel and complete metrc training with your specific Metrc account number.

  • Licensed medical marijuana businesses have until May 26, 2022, to comply with the Metrc seed-to-sale tracking system
  • Dispensaries have until Aug 24, 2022, to sell or legally dispose of untagged medical marijuana products in their inventory.
  • OMMA will conduct at least five online seminars by May 26 to educate licensees on the new seed-to-sale system
  • OMMA will ensure adequate Call Center staff is on hand to respond to questions about METRC implementation.

Until then, dispensaries can keep following the previous reporting method as outlined below:

The OMMA developed a monthly reporting template that must be submitted on the 15th day of every month. The monthly reporting template includes:

  • Weight of cannabis purchased at wholesale, tracked by batch numbers
  • Weight of cannabis sold to patients, tracked by batch numbers
  • Accounting for any waste or destroyed products
  • Total sales in dollars
  • Tax collected in dollars
  • Tax due in dollars

What are the laws on record keeping?

All records must be maintained for at least seven years after the date of recording. These records must be accessible to auditors within 15 days of being requested.

Who has oversight and auditing responsibilities?

The Oklahoma Department of Health will have oversight and auditing powers over all of Oklahoma’s commercial medical marijuana operations.

What are the penalties for breaking compliance laws?

A dispensary will be subjected to penalties for non-patient sales and/or gross discrepancies in inventory tracking that cannot be explained. The first offense will come with a fee of $5,000 and a second offense (in a two-year period) will result in a revocation of license. Learn more about how to run a compliant dispensary in Oklahoma.

Will Cova reporting meet Oklahoma's requirements?

Yes, the Cova dispensary POS software suite will allow you to generate required reports in one click and submit them to OMMA, virtually eliminating the risk of compliance errors due to human error. Cova’s system will automate compliance in other ways too, by offering instant age verification and monitoring purchasing limits.

Is Cova integrated with Metrc?

Yes — not only is Cova fully integrated with Metrc but we’re one of few cannabis-specific POS companies with two-way integration to Metrc's tracking system. Our system will automatically handle compliance reporting and seamlessly send any adjustments and reports to Metrc, thus helping you maximize operational efficiency and meet all Oklahama's changing laws and regulations. Once Metrc system is implemented in OK, Cova is there to help you with everything.

Conclusion

In summary, Oklahoma's cannabis laws have evolved significantly, allowing for medical marijuana use while keeping recreational use illegal. Staying informed about key laws and regulations, compliance deadlines, and eligibility criteria is essential for residents and dispensary businesses alike. By staying up-to-date and compliant, you can navigate the complex cannabis landscape in Oklahoma responsibly and legally.

ron-segev

RON SEGEV

Cannabis Business Lawyer & Founding Partner, Segev LLP

Legally reviewed by

RON SEGEV

Ron Segev is the founding partner of Segev LLP. A practical-minded business lawyer with expertise in the cannabis industry, he represents cultivators, dispensaries, CBD extractors, oil extractors, food processors, media and marketing companies, consultancies, and other businesses in the legal cannabis market.

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