Oklahoma growers will pay a $50,000 down payment for the new law license

Growing medicinal cannabis will become much more expensive under a new Oklahoma law.

Two Republican lawmakers in Oklahoma, Sen. Darcy Jech (R-Kingfisher) and Rep. Anthony Moore (R-Clinton), have sponsored a bill that would require $50,000 bail to obtain a cultivation license. Governor Kevin Still signed the law into law on April 20.

The bottom of the bill is a pile of abandoned lots from growers that didn’t make it for one reason or another.

“Our state has had many problems with marijuana cultivation that have given up land and left a big mess,” Jech said. “This establishes a minimum of $50,000 that can be used to restore the property if it is abandoned or the operation loses its license. Some grows may need to have a higher bond depending on their recovery requirements set by the Oklahoma Medical Marijuana Authority (OMMA). Ultimately, this will help clean up valuable farmland that has been degraded by illegal operations and allow OMMA or any other appropriate government agency to recoup the costs associated with the cleanup.”

Senate Bill 913 will force cannabis growers to purchase a $50,000 bond from the state, which works similar to bail. If a grower gives up their property, breaks a law, or loses their license, the bail money is used to restore the property and repair any environmental damage.

News on 6 reports that breeders of all types will be forced to pay bail under the new law.

Facilities that grow medicinal cannabis indoors, greenhouses, or under light deprivation are organized into seven tiers, the largest of which has to pay an additional $250 per acre in addition to the $50,000 deposit. Outdoor medical cannabis cultivation facilities are organized into eight tiers, and the largest ones have to pay an additional $250 per acre. Medical cannabis processing licensees are divided into five tiers.

The bill was introduced on January 27th. It was changed on March 3rd. It was approved by both chambers by April 19 before being sent to the governor on April 20.

“The measure sets the deposit amount at no less than $50,000.00 for each license, but allows the Oklahoma Medical Marijuana Authority to require a higher deposit amount depending on the recovery requirements of the approved application,” the detailed billing summary reads.

“The measure authorizes a commercial grower to operate without a deposit if the agency confirms prior to application that the approved land has been in the licensee’s possession for at least 5 years,” the summary reads. “The measure also authorizes the competent authority to recall the bond if ownership is abandoned or if the authority revokes the owner’s license. In this case, the measure requires that the deposit be used to cover the cost of restoring the property.”

The summary of the draft law says “No impact is expected,” but growers are unlikely to agree with that assessment. Growers may be forced to pay upwards of $50,000 if there are clawback requirements as well.

“The agency or Department of Environmental Quality may request a higher amount depending on the recovery requirements of the approved application.”

If an illegal or non-compliant grow operation is shut down, the money deposited would go towards restoring the land.

The Oklahoma Bureau of Narcotics (OBN) says it has shut down more than 800 illegal grow operations in the past two and a half years. The problem is daunting: According to OBN, the bureau surveyed about half of Oklahoma’s licensed growers.

The bill goes into effect immediately. “…This Act shall be effective from and upon its passage and approval and shall be in full force,” the bill reads.

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