New York’s governor has once again condemned the long-running process of legalizing marijuana in her state. She called it a “disaster,” and said that the legislative body would not be willing to “start all over” when drafting a framework to regulate the cannabis market.
Gov. Kathy Hochul, a Democrat, has expressed her frustrations about the implementation of the Cannabis Law she inherited. She supports legalization but told The Buffalo News’ editorial board that the law was “not drafted in a way which was poised for success.”
It’s a catastrophe. Hochul added, “I will never defend this in the slightest.” She added, however, that she is “glad” we stopped mass incarceration for young people who are consuming alcohol.
The governor is frustrated by the small number of retailers who have been licensed since the state legalized retailing. This problem has been exacerbated by an increase in unlicensed stores.
Hochul stated that a key problem with the law is its lack of “teeth,” which means provisions that allow for effective enforcement in order to eliminate the illicit market.
She said that the unregulated stores are not on every corner. It’s every other shopfront. “It is crazy.”
She said, “I believe it should be treated like tobacco: local law enforcement could stop the illegal sale of cigarettes which are not licensed or taxed.” They don’t want the law to be tough enough to stop illegals.
The governor blamed the organization of New York’s Office of Cannabis Management and Cannabis Control Board for the licensing of regulated shops. She expressed “frustration” at the fact that both divisions pay their executive directors, and “inherently there is conflict as to who makes the final decision.” It didn’t work out well.
Hochul said that it was “a bad idea” to give the Dormitory Authority of the State of New York the task of identifying the locations of marijuana businesses licensees. He stated that the responsibility is “not their forte.”
She acknowledged that the delay in rolling out was due in large part to litigation which resulted in court injunctions recently lifted that had prevented regulators from processing thousands of approvals.
She said that this has led to “farmers just losing money.” We have people who are ready to begin and took out loans. In the meantime, money is not flowing back to state. “We have it all, but the illicit market thrives.”
The governor doesn’t think the legislature will reform the legalization law in a meaningful way, even though “a part of me would like to just go back and start over.”
She said, “But I would have to go back to my legislator and convince them to make the changes I’ve described.” It’s not likely to occur.
Hochul, however, said that she would continue to press lawmakers to increase enforcement authority while advocating policies which could strengthen the regulated markets.
The governor, for example, released this month a budget plan that calls for the removal of a THC Potency Tax. This is aimed at reducing costs for consumers and making the regulated market competitive with illicit operators.
Hochul recently said that she was “very frustrated” with the slow pace of expanding the state’s marijuana recreational market to include more licensed businesses. She revealed that she had urged the regulators to go back to the drawing boards to approve hundreds new retailers.
Cannabis license applicants are frustrated by the delays in approvals and the sudden cancellation of a Cannabis Control Board meeting (CCB) this month, where regulators had been expected to grant more approvals.
The governor’s office intervened when she learned that the board only wanted to approve three new licenses.
The meeting was also scheduled to discuss proposed regulations allowing adults to grow cannabis at home.
A bill introduced in the Assembly earlier this month, which would give local governments the authority to close down cannabis businesses that are not licensed and seize the products, is also part of New York’s efforts to expand its marijuana market.
In December alone, over a dozen cannabis retailers opened after a settlement agreement lifted an injunction which had imposed months-long licensing blocks.
Marijuana Moment tracks more than 1,000 cannabis and drug policy bills that have been introduced in state legislatures, and Congress. Patreon supporters who pledge at least $25/month gain access to our interactive charts, maps and hearing calendar.
Discover more about our marijuana bills tracker. Become a Patreon supporter to gain access.
—
The state’s Department of Labor also published sample job descriptions last month for various positions in the legal cannabis industry. Officials said that the samples were intended to streamline the hiring process and to allow potential employees to evaluate their qualifications in order to work in different roles in the emerging cannabis sector.
Hochul signed legislation in November to ease financial institution’s ability to work with licensed cannabis businesses. She also signed a bill to give tax relief to New York City cannabis businesses who are currently barred from taking federal deductions due to an Internal Revenue Service code called 280E.
New York City’s tax laws were not affected by the change in Hochul’s budget bill of 2022, which included provisions allowing state-level cannabis businesses tax deductions. This new measure is intended to close that policy gap.
Hochul vetoed a bill that would have allowed Hemp seeds to be added to animal feeds for horses, pets and camelids like llamas or alpacas.
In September, about 66 state legislators–about one-third of the state legislature as a whole–also sent Hochul an email urging her to sign a law that would permit licensed marijuana producers to sell their products to tribal retailers . This plan would provide a way for cannabis farmers to release surpluses they have but are unable to sell. Hochul, however, vetoed the bill last month.
California Assembly Approves Bill Unanimously To Create Psychedelics Working Group And Prepare For Legal Therapeutic Access
Photo by Philip Steffan.
The post New York Gov. Blasts Marijuana Licenses ‘Disaster,’ Wishes Lawmakers Would Start Over With Legalization Law first appeared on Marijuana Moment.
