New York’s marijuana regulators approved settlement agreements which could allow hundreds of cannabis businesses , that were previously blocked from opening due to litigation, to begin operations.
At a Cannabis Control Board meeting on Monday, the members of the board accepted the terms of settlement in two lawsuits. However, they refused to reveal any details. Before the injunction can be lifted, the agreements must first be accepted formally by the Supreme Court of the state.
BREAKING NEWS: The #NYCCB has approved the agreement terms with hopes of continuing CAURD.
The NYS Supreme Court will have to approve the terms of the agreement before it can lift the injunction. This will lead to a new wave #NYcannabis cannabis dispensaries opening.
— NYS Office of Cannabis Management November 27, 2020 HTML0
A group of disabled veterans filed one of the lawsuits which would be settled under the settlement – Carmine Fiore et al. v. New York State Cannabis Control Board – arguing that the state’s prioritization for social equity applicants, who were the most affected by criminalization, unconstitutionally excluded them from the eligibility pool.
The other case–Coalition for Access to Regulated & Safe Cannabis v. New York State Cannabis Control Board –was filed by medical cannabis operators as well as prospective adult-use applicants. The lawsuit also claimed that the regulators misapplied the state’s cannabis law and that existing medical marijuana businesses were eligible for immediate licensing.
The settlement resolution had been on the agenda of the CCB’s last meeting, earlier in this month. However, members did not act until Monday’s Special Meeting.
Tremaine Wright said, “The business planning of 436 professional licensees has been halted,” at the meeting on Monday. The delay in the retail rollout has also affected New York State cannabis licensees across the supply chain.
The state’s attorney stressed that nothing can happen until court approval of these agreements. Once that happens, the injunction will be lifted and the stalled program will be able move forward.
Chris Alexander, Executive Director of the Office of Cannabis Management(OCM), stated in a Monday press release that the state was “one step closer” to resolving the litigation brought forward by equity entrepreneurs and medical operators who felt they were left behind.
As of now, only two dozen marijuana retailers are licensed in New York. In spite of the injunction regulators opened the application period for hundreds new general marijuana business licences just last month.
Alexander, from OCM, said: “Now that we’ve opened up licensing for all equity entrepreneurs and given our medical operators a clear path to adult-use market participation, we can continue to move the program forward together.”
He said that the New York cannabis market was created to be the fairest market in the entire world. “We are not deterred by the challenges in setting up this new market and we believe that expanding licensing opportunities and including our medical operators will ensure the success and expansion of both the adult-use and medical programs.”
Despite the long-term rollout of the cannabis law, illegal cannabis operators are now widespread in the state. The governor announced that they will “intensify” enforcement.
The New York Senate Cannabis Subcommittee was formed in April by Sen. Jeremy Cooney, (D) and has been chaired since then. heard testimony from witnesses, and discussed possible legislative solutions for the ongoing implementation issues of cannabis legalization in the state.
Meanwhile, Gov. Kathy Hochul (D), recently signed legislation to ease the way financial institutions can work with clients licensed to grow cannabis.
She also signed another bill intended to provide tax relief for New York City cannabis businesses, which are currently prevented from making federal deductions due to an Internal Revenue Service code (IRS), known as 280E.
Hochul had signed an earlier budget bill in the past year which included provisions allowing state-level cannabis businesses to deduct tax — a partial remedy for the ongoing federal problem. However, New York City’s own tax laws were not affected by this change. This new measure aims to close that policy gap.
In an effort to increase consumer access to marijuana that is legal, the OCM launched the Cannabis Growers Showcase, a program that allows growers and processors who are licensed to sell directly to the public.
approved the program by a vote in July, and quickly began accepting applications. In August, the Hudson Valley hosted its first pop-up. Another was held near the state fair.
In September, about 66 state legislators–or about a third of all the state legislators–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 will provide a way for cannabis farmers to release surpluses they have but are unable to sell.
New York regulators continue to work on debunking the “false narrative” that marijuana is often contaminated with fentanyl, a “misconception,” that is “widespread,” despite a paucity of evidence. OCM has recently released a factsheet about the topic, stating that although fentanyl can be found in heroin and MDMA, the anecdotal evidence of marijuana being laced with fentanyl is unfounded.
The Office of Addiction Services and Supports of the state also has recently revised its guidance on THC testing in people undergoing treatment for substance abuse disorder . It advises marijuana screening in cases when “the patient’s treatment goal is to reduce or stop using cannabis.”
The Black Friday after Thanksgiving was a time when regulators encouraged consumers to shop at licensed cannabis retailers and take advantage of the great deals.
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The post New York Marijuana Regulations Approve Settlements to End Months Long Blockade first appeared on Marijuana Moment.
