2022

Oklahoma Cannabis Year in Review

Growing with the Flow

New regulatory measures and a licensing moratorium may have slowed things down in 2022, but the legal cannabis industry is expected to grow 18% in 2023 and Oklahoma is positioned at the center.

OMMA reported there were 11,487 licenses to end 2022, a 16% decrease year-over-year.

There was an increased amount of license surrenders this year OMMA attributed to statutory and regulatory changes that took effect in November 2021 that removed a grace period for expired business licenses without a renewal in process.

Grower numbers are shrinking

2,316 growers licenses went inactive from December 3rd 2021 to December 7th 2022, accounting for the majority of the 16% decrease in licensed businesses.

Oversupply has depressed prices and cut into already thin margins.

Too much production combined with falling prices, and decreasing patient numbers creates the perfect storm for legitimate businesses.

There are 18 plants growing for every 1 patient

6,937,912

Total Live plants as of 12/28/2022

2,017,664

non-flowering plants

4,920,248

flowering plants

10,0000 less patients

The number of registered patients declined by 3% in 2022—with 10,000 less registered medical marijuana card holders in Oklahoma year over year.

All around downtrend

2022 cumulative medical marijuana tax revenues are down 22% year-over-year.

FLOWER power

Despite dwindling grower numbers, flower sales remind strong, with total sales reaching $28.3M in 2022, which accounted for 49% of all retail sales this year.

The Adult-use solution

Data suggests are would-be patients who medically benefit from cannabis who either do not want to be on government registries or cannot afford bi-annual fees at the time they’re due. Legalizing cannabis for adults expands access to these people and eliminates remaining risk associated with possessing and consuming cannabis.

Full legalization is the only thing that has the potential to make what remains of a local black market irrelevant. Legalization would generate millions in new state funding and government revenue and improve outcomes for legitimate businesses. Learn more >>

On October 18th, 2022 Governor Stitt issued an Executive Proclamation declaring a special election for SQ 820, which would legalize cannabis for adults.

Oklahoma Was identified by New Frontier Data as 1 of 9 states most likely to legalize cannabis by 2030. Voters will get their first chance on March 7th, 2023.

Strains of the year

From your favorites, to our favorites, to the top strains from around the country.

1. Wedding Cake
2. CG4
3. Runtz
1. Gary Payton
2. Gary Payton
3. Gary Payton
1. Triple Lindy
2. Zoap
3. Pink Certz

Legislative Highlights

Bills that became Law in 2022

HB 2179:

Creates a tiered commercial grower fee structure based on size and type of facility — annual fees would range from the current $2,500 to more than $50,000. Effective June 1, 2023. Authored by Rep. Fetgatter.

HB 3019:

Adjusts packaging standards to allow clear packaging, but requiring opaque exit packaging for carrying out of the dispensary. Effective Nov. 1, 2022. Authored by Rep. Fetgatter.

HB 3208:

Places a moratorium on new business licenses between Aug. 26, 2022, and Aug. 1, 2024. Effective Aug. 26, 2022. Authored by Rep. Cornwell.

HB 3319:

Allows the boards of nursing, osteopathic examiners, and medical licensure and supervision to grant a health care provider a temporary license when an emergency has been declared by certain entities. Effective July 1, 2022. Authored by Rep. Miller.

HB 3530:

Directs OMMA to establish programs and provide funding to support county sheriff enforcement of medical marijuana laws and regulations. Effective July 1, 2022. Authored by Rep. D. Hardin and Sen. Weaver.

HB 3929:

By Jan. 1, 2024, OMMA must promulgate rules to create a process validation program in which licensees may voluntarily participate. Effective immediately. Authored by Rep. Pfeiffer.

HB 3971:

By Jan. 1, 2024, OMMA must create a “secret shopper” program by rule promulgation to purchase medical marijuana in dispensaries and send samples for testing. Effective Jan. 1, 2024. Authored by Rep. Burns.

SB 1367:

Enhances penalties for the unlawful diversion of medical marijuana products to someone not legally allowed to acquire or consume them. Effective Nov. 1, 2022. Authored by Sen. Paxton.

SB 1511:

Imposes certain restrictions on the location of commercial grower operations. Effective immediately. Authored by Sen. Rosino and Rep. Pfeiffer.

SB 1543:

Establishes the OMMA independent from OSDH. Effective Nov. 1, 2022. Authored by Sen. Treat

SB 1704:

Requires all employees of medical marijuana businesses to apply for a badge/credential beginning Jan. 1, 2024, and allows OMMA to contract with a third party to provide those services. Effective Nov. 1, 2022.

SB 1726:

Includes commercial grow operations in restrictions on the establishment of medical marijuana business infrastructure near schools and includes technology centers. Effective immediately. Authored by Sen. Leewright.

SB 1737:

Outdoor growers must register as a sensitive crop, and all commercial growers must post signage at the perimeter of the property. Effective Nov. 1, 2022. Authored by Sen. Stephens.

HB 4056:

Directs the OMMA's contract laboratory to provide recommendations for brands and models of equipment and standards to be used by testing laboratories. Effective immediately. Authored by Rep. Marti.

Legislative summaries from OMMA legislative updates

“By far the best cannabis law firm in Oklahoma, I highly recommend you retain their services. I recommend all of my clients to them.”

-Matt Howard - Google Review

Gies got it done

In 2022 we ran Metrc and moratorium marathons, worked with hundreds of new clients to acquire cannabis business licenses and began offering new retainer services, like pre-inspection compliance checks as enforcement ramped up. We prioritized the people behind this industry and kept them ahead of the year’s challenges.

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200 New omma applications approved

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Answered phone calls

Games of NBA Jam played

On-site compliance checks

What people wanted to know

The only way to acquire a license during the moratorium is via a business license transfer.

You would need to find a seller of an active license and purchase their license.

Here’s what you should consider before buying an active license.
No. Without a Transportation Agent license you still are not legally allowed to transport cannabis. Additionally, everyone who may be in the vehicle needs to be a licensed transporter—not just the driver.

Read about how to legally transport cannabis in Oklahoma here.
It really depends on if the aspects of the brand you feel are being copied are trademarked. A trademark registration validates your exclusivity of ownership and can act as evidence in a civil suit against any entity that infringes upon your rights. Without a trademark registration, you don’t have an infringement case and whatever damages your business incurs as a result of being imitated cannot be recovered.

Read 4 more reasons why you should trademark your cannabis brand.

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Plant seeds for 2023

Happy New Year!

Thank you for another incredible year in Oklahoma cannabis. We have a lot to look forward to in 2023. Whatever comes up this year in cannabis, Gies Law Firm is here and ready to guide you through it all.