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New York approves adult-use cannabis business licenses

The New York Cannabis Control Board (CCB) convened on February 16, making significant decisions on new cannabis regulations, research licenses, and the issuance of adult-use licenses. The meeting also marked the commencement of a 60-day public comment period for the proposed regulations.
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The approved regulation proposal addresses plant limits, possession amounts, and other crucial aspects. If enacted, adults in New York would be allowed to cultivate up to six plants, with a maximum of three mature at any given time. In households with multiple adults, the plant limit could increase to 12. Additionally, individuals could possess up to five pounds of cannabis. The rules mandate secure storage of homegrown plants, ensuring they are not visible from public spaces. Specific provisions address multiple residences, and there are guidelines on potential odor issues and complaints from neighbours.

During the meeting, the CCB granted the state’s first two cannabis research licenses, emphasizing the potential for groundbreaking studies to explore the plant’s full capabilities. Notably, the board approved the first round of adult-use cannabis licenses, totaling 109 for the state, with 38 being retail-specific and 26 designated as microbusiness licenses. The CCB also disclosed that 350 deficiency letters were sent to applicants, requesting various updates within a 30-day timeframe.

The current landscape of cannabis business licenses in the state includes those granted under the Conditional Adult-Use Retail Dispensaries (CAURD) program, specifically for social equity applicants. However, the recent licenses represent a significant development as the first non-conditional licenses, indicating that they did not qualify under social equity criteria.

Tremaine Wright, Chair of the CCB, expressed relief at moving forward with New York’s cannabis industry, acknowledging the prolonged process. Wright stated, “This moment has been a long time in the making,” assuring that it represents just the beginning. The CCB aims to address various matters to propel the industry forward in upcoming meetings.

Originally scheduled for January 25, the meeting faced postponement at the request of Gov. Kathy Hochul to finalize the review of adult-use license applications. The delay was attributed to legal challenges from corporate interests. Hochul acknowledged the setbacks in the recreational cannabis rollout, describing it as a “disaster” during an interview with The Buffalo News editorial board.

Former Governor Andrew Cuomo signed the original cannabis regulatory framework in spring 2021, and Hochul assumed office in August 2021. She expressed frustration with the legislative crafting before her tenure and highlighted challenges, including the growth of the illegal market. Despite pushing for stricter laws in 2023, Hochul faced obstacles, noting the prevalence of illegal dispensaries and the need for stronger enforcement.

Hochul acknowledged the prolonged approval process for licenses, citing prioritization for social equity applicants, leading to legal disputes and a temporary suspension of new licenses. She emphasized the impact on farmers, businesses, and the flourishing illicit market. While expressing a desire for comprehensive changes, Hochul recognized the challenges in revising existing laws and the need for legislative cooperation.

Photo by: Roberto Vivancos

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