After announcing the legalisation of recreational cannabis in 2021, New York is now making headway in preparation for sales later this year, aiming to create an equity-focused industry.
Governor Kathy Hochul has confirmed that 52 licences have been granted for cannabis cultivation farms that are already operating across New York.
The licences have been selected from a pool of more than 150 licences that have been submitted to the Office of Cannabis Management (OCM) following the March 15 opening of the online application portal.
Governor Hochul commented: “New York’s farms have been the backbone of our state’s economy since before the American Revolution, and now, New York’s farms will be at the centre of the most equitable cannabis industry in the nation.
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“I’m proud to announce the first adult-use cannabis cultivation licences in the state, and I’m proud of the work the Office of Cannabis Management and the Cannabis Control Board are doing to get adult-use cannabis sales up and running as fast as possible without compromising our mission to uplift communities and individuals most impacted by the past century of cannabis prohibition.”
The licences were part of the first-of-its-kind Seeding Opportunity Initiative, which will position individuals with prior cannabis-related criminal offences to make the first adult-use cannabis sales with products grown by New York farmers. The OCM will continue reviewing applications on a rolling basis.
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To qualify for the initiative, initial equity-entrepreneur, retail owners must meet two prongs of eligibility: they must have a cannabis-related conviction that occurred prior to the passage of the Marijuana Regulation and Tax Act (MRTA) on March 31, 2021, or had a parent, guardian, child, spouse, or dependent with a pre-MRTA cannabis-related conviction in the State of New York, and they must have experience owning and operating a successful business in the State of New York.
Assembly majority leader, Crystal Peoples-Stokes, commented: “New York State continues to lead the nation in an equity-focused cannabis industry.
“The approval of the first 52 provisional cultivation licences will help create a responsible start to the NYS cannabis industry by granting cultivators the ability to produce enough product and inventory for social equity retail dispensaries to meet the initial demand of the anticipated legal market.
“We are on our way towards realising our goal of creating a viable and inclusive path for minorities and small farmers to have the opportunity to create generational wealth for their families and communities.
“I am proud of the work conducted thus far by the NYS Office of Cannabis Management and the Cannabis Control Board, and I look forward to our actions bearing fruit.”
According to Senator Liz Krueger, the approval of the licences will ensure an adequate supply of cannabis when the first round of social and economic equity retail stores open later in 2022, and will prioritise environmentally sustainable agricultural practices.
Office of Cannabis Management Executive Director Chris Alexander said, “We are working hard to provide a legal framework for New Yorkers using medical cannabis to grow their own cannabis plants.
“We understand that patients are looking to this new option to access medication at a low cost, and we are doing everything possible to speed up this process while working within the rules of New York’s regulatory system.”
To further facilitate improved access to medical cannabis for patients, medical home cultivation regulations have been approved for a second round of public comment for a 45-day public period starting on 4 May. Medical home cultivation of cannabis be allowed after final regulations are approved by the board.
After the first round, The OCM received over 160 comments from addiction prevention and awareness coalitions, small farmers, industry associations, clinical associations and more.
Based on this feedback, revisions to the guidelines include updating definitions to provide clarity for terms like “on the grounds of” and “private residence”, amending storage and security requirements and clarifying the plant limit for designated caregivers growing for multiple patients, among others.
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