NY Gov. Hochul signs conditional cannabis cultivation bill to speed-up recreational cultivation

New York Gov. Kathy Hochul signed new legislation on Tuesday that will allow hemp farmers in the state to apply for a conditional license to grow cannabis.

With this legislation, New York is creating a new Conditional Adult-use Cannabis Cultivator license, allowing hemp farmers to grow cannabis in the 2022 growing season to “position New York’s farmers to be the first to grow cannabis and jumpstart the safe, equitable and inclusive new industry we are building”. Conditionally licensed cannabis farmers must hit certain requirements under this law. Continue reading “NY Gov. Hochul signs conditional cannabis cultivation bill to speed-up recreational cultivation”

New York State Cannabis Update

By Michael Schwamm

More than 520 cities, towns and villages (1/3 of all municipalities in New York state) have opted out of allowing cannabis retailers and consumption lounges in their municipalities as of the December 31 deadline, according to new data released by the OCM.  Of that number, 75 municipalities opted out of consumption lounges, but will still allow cannabis retailers. On the other hand, three towns are banning retailers, but will allow consumption lounges. Continue reading “New York State Cannabis Update”

New York DOL Publishes Guidance on Recreational Use of Cannabis Related to the Workplace

By Katelynn Gray

As we previously reported earlier this year, Governor Cuomo signed the Marijuana Regulation and Taxation Act (“MRTA”), which legalized adult-use and possession of cannabis, effective March 31, 2021. The MRTA amended Section 201-D of the New York Labor Law (“NYLL”) making it illegal for employers to discriminate against someone for their use of cannabis outside the workplace, outside of work hours and while not using their employer’s equipment or property.

This spurred some obvious questions from employers- Can we take action against an employee for using cannabis while working? Can an employee use cannabis while on breaks? What about employee use of cannabis if they are not at work on premises but are on call? The New York Department of Labor has now published FAQs addressing these, and other, common employer questions.

Continue reading “New York DOL Publishes Guidance on Recreational Use of Cannabis Related to the Workplace”

New York Cannabis Chief Reiterates Social Equity Focus in Speech at Cannabis Trade Show

Tremaine Wright delivered her first public speech since being appointed Chair of the New York State Cannabis Control Board at the CWCBExpo (Cannabis World Congress & Business Exposition) at the Javits Center on November 4.  Wright leads the five-member board charged with approving a regulatory framework for New York’s cannabis industry and will oversee licensing of cannabis businesses.  In her remarks before 400 people at the business-to-business cannabis industry trade show, Wright reiterated that New York will support social equity licenses for people from communities historically affected by the War on Drugs.  “We’re about to create the most equitable cannabis program in the country,” she said.  Wright also said that New York will prevent social equity licenses from being sold to large companies by requiring that they be sold to other social equity licensees.  However, the regulations are currently being written and there are few details about how the state will help social equity applicants raise capital to start cannabis businesses.  Wright also said that all license applicants will be required to share their ESG (Environmental, Social, and Corporate Governance) frameworks to operate in the state.  The Board has a goal of issuing licenses within 18 months.  Members of New York’s Office of Cannabis Management were also in attendance at the Expo.

Report of Office of Cannabis Management Board Meeting, November 3, 2021

By Jerome T.  Levy

The meeting was called to order at 1:00 p.m. by the Chairperson, Tremaine Wright, noting that all parties were present and Ms. Garcia was attending via remote contact. Ms. Wright stated that the meeting was being recorded and will be available on the Cannabis Control Board website. Ms. Wright indicated that the agenda would include opening remarks, approval of the minutes of the previous meeting and then a report by the Executive Director of the Office of Cannabis Management, Chris Alexander. She reminded the audience and the Board members that the law was passed March 31, 2021 and as a result, while some aspects were moving swiftly, much of the work being done was still preliminary. The work has been mostly staffing, hiring new employees and moving staff from other New York State departments, principally the Department of Health. Continue reading “Report of Office of Cannabis Management Board Meeting, November 3, 2021”

NYS Cannabis Control Board Meeting Summary 10/21/21

The New York State (“NYS”) Cannabis Control Board (the “Board”) held its second public meeting earlier today, just 16 days after its inaugural meeting on October 5th.  The meeting was livestreamed to the general public with all Board Members (Tremaine Wright (Chair), Jessica Garcia, Jen Metzger, Rueben McDaniel and Adam Perry (attending virtually)), the Executive Director (Chris Alexander) and Chief Equity Officer (Jason Starr) in attendance.

Chairwoman Wright summarized the Board’s work since its last meeting including (1) its ongoing employment efforts (both new hires and the transition of existing NYS Department of Health staff), (2) the Board’s outreach to key NYS stakeholders (including visits to various cultivation and processing facilities), and (3) continued work on the creation of implementing regulations as required by the NYS Marijuana Regulation and Taxation Act (the “MRTA”).

Executive Director Alexander introduced the key features of newly proposed Medical Cannabis Home Cultivation Regulations.  The Board approved the submission of these draft regulations to the Office of Cannabis Management (the “OCM”) for publication on the OCM website, upon which a four month public review and comment period will commence.  In a nutshell, these new regulations will permit home cultivation (indoor or outdoor) of a limited number of cannabis plants (six in total, with some exceptions) by certified patients and their designated caregivers for personal medical use.  These regulations are not intended to permit home cultivation for adult recreational use.

Executive Director Alexander also presented an update on the Expungement and Criminal Justice efforts undertaken by NYS in accordance with the requirements of the MRTA.  Those efforts, to eradicate criminal records related to marijuana usage, are ongoing and must be completed by March 31, 2023.

Finally, the Executive Director summarized the Municipal Opt-Out Program under which municipalities may opt-out of (prohibit) adult-use dispensaries and/or on-site consumption licenses from operating within their jurisdiction (however, they cannot opt-out out of other license types or adult-use legalization itself).  Local laws “opting-out” must be passed by December 31, 2021.  Municipalities that opt-out may opt-back-in at any time.  Municipalities that opt-out will not receive any revenue from the local excise tax on the sale of adult-use products.

The Board has not yet scheduled its next public meeting but the time and livestream link for that meeting will be posted on the OCM website in advance of the meeting.  Chairwoman Wright suggested the public sign-up to receive updates from the OCM, which will include notices of all future Board meetings.  The sign-up page for the OCM can be found here:  https://cannabis.ny.gov/sign_up_for_updates_from_OCM

Summary drafted by Michael Schwamm, Jerome Levy, Michael Barz and Erensu Altan.

Notes from New York Cannabis Control Board Meeting, October 2021

By Michael D. Schwamm and Joy Karugu

There were several outcomes of the inaugural New York Cannabis Control Board (CCB) Meeting held on October 5, 2021. The Meeting revealed that the CCB and the Office of Cannabis Management (OCM) will be increasing their staff and taking steps to extend the medical cannabis program and cannabinoid hemp licensing. Also during the Meeting, Jason Starr was announced and voted in as the Chief Equity Officer of the OCM. He will work with Executive Director Chris Alexander in building New York’s social equity program. Continue reading “Notes from New York Cannabis Control Board Meeting, October 2021”

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The opinions expressed on this blog are those of the author and are not to be construed as legal advice.

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