New York regulators approved draft rules allowing for home cultivation of recreational cannabis and signed off on over 100 new business licenses. They hope that this will help the legal marijuana market overcome its rocky start in 2018.
The Cannabis Control Board (CCB), despite criticisms from the state legislature and governor over the lengthy licensing process, voted on Friday in favor of a number of resolutions that would expand marijuana operations. They also proposed rules for home-grown marijuana by adult consumers.
Over 100 licenses were approved by regulators for retailers and microbusinesses. They also granted permits to cultivators, processors, distributors, and retailers. A separate resolution also approved two cannabis research licenses.
This latest batch of license approvals is unique because they are the first that do not require applicants to meet the eligibility criteria set by the Conditional Adult Use Retail Dispensaries program (CAURD), which prioritizes justice-involved individuals.
Tremaine Wright said, “This moment was a long time coming,” at the CCB meeting on Friday. “We assure that this is only the beginning. The board has approved additional licenses in future meetings.
Wright acknowledged that the cannabis industry in New York State had “a rough start” to 2024. Regulators hoped to “address a number issues that will help propel this industry forward.”
The public will have 60 days to comment. If you have thoughts or recommendations, we encourage you to submit your public comments to regulations@ocm.ny.gov.
— NYS Office of Cannabis Management 16 February 2024 HTML0
Chris Alexander, the executive director of the Office of Cannabis Management Office (OCM), called the approval of licenses without conditions “another significant milestone for the program.”
The approved resolution for the home cultivation rules, which was developed by OCM, and submitted to CCB, means that a 60 day public comment period will be held before the finalization of the regulations.
The regulations as they are currently written would allow adults to cultivate up to six plants, but only three could be fully matured at a time. The maximum number of plants that can be grown in a residence with several adults is 12. People may possess up to 5 pounds of marijuana produced from these plants.
The rules include requirements for storing plants and removing any odors if the plants become a nuisance.
The CCB had been scheduled to approve home-grow regulations as well as a smaller number of adult use licenses during a meeting held last month. However, this was abruptly canceled, partly because Gov. Kathy Hochul (D) intervened after learning that regulators were only planning to approve three more licenses.
The Governor went as far to say that she is looking at potential leadership changes in the state’s cannabis regulatory apparatus due to the implementation issues.
Hochul said that she was “very frustrated” by the “disaster,” of a delayed decision that has limited the number regulated cannabis stores, while illicit storefronts are proliferating.
The governor celebrated Friday the non-conditional licensing issued by the board.
She stated. The approval of more than 100 licenses represents a great start. It gives individuals the chance to apply for licensing in order to drive local economies.
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Last month, the Governor released his budget plan, which calls for the removal of the THC potency taxes. This is to make the regulated cannabis market more competitive with illicit operators.
A bill introduced in the Assembly last week would give local governments the authority to close down cannabis businesses that are not licensed and seize the products.
In December alone, over a dozen cannabis retailers opened after a settlement agreement lifted an injunction which had imposed months-long licensing blocks.
In December the Department of Labor published dozens of job descriptions for legal industry. Officials said that the purpose of the sample job descriptions was to streamline the hiring process and to allow potential employees to evaluate their qualifications in order to work in different roles within the emerging marijuana industry.
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 aims 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–roughly a third of all the state’s lawmakers–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 in December.
Delaware Officials Release Draft Rules for Adult-Use Marijuana market as States Prepares for Legalization
Photo by Mike Latimer.
The post New York State Officials Approve Marijuana Grow Rules and New Business Licenses Despite a ‘Rough Start’ for the Legal Market first appeared on Marijuana Moment.
