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New York is one of the states that have recently legalized cannabis. This means that there will be changes in the way that the drug is regulated and sold. If you’re curious about what legal cannabis will look like in New York, read on for more information.
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The Process So Far
The legal cannabis market in New York is still in its infancy, but the state has already made progress in setting up the framework for what it will look like. In July 2018, the state released a report detailing the potentialregulation of the cannabis industry. The report made a number of recommendations, including the creation of a Cannabis Control Board, which would oversee the regulation of the industry.
The Compassionate Care Act
In 2014, New York State enacted the Compassionate Care Act (CCA), which made medical marijuana legal for patients with certain qualifying conditions. The CCA established a rigorous licensing process for growers, processors, and dispensing organizations, as well as tight regulations governing the production and distribution of medical marijuana products. To date, only a handful of companies have been awarded licenses to operate in New York, and the program has been slow to get off the ground.
In June 2017, the CCA was expanded to include chronic pain as a qualifying condition. This move is expected to dramatically increase the number of patients eligible for medical marijuana in New York State. With more patients entering the program, it is likely that demand for medical marijuana products will increase, spurring further investment in the industry and leading to more companies getting licensed to operate in New York.
The Regulations
In order to become a fully legal and regulated industry, cannabis businesses in New York will have to apply for and receive a license from the state. The type of license they receive will depend on the specific business activities they plan to engage in, such as cultivation, manufacturing, retail, or delivery.
Businesses will also be required to meet certain criteria in order to be eligible for a license, including having a minimum level of financial resources and being located in an appropriate zoning area. In addition, all businesses will be subject to strict background checks for all owners and employees.
Once licensed, businesses will be subject to regular inspections from the state to ensure compliance with all regulations. These regulations are designed to protect public health and safety, and address concerns about underage use and illicit market activity.
Some of the key regulations that cannabis businesses will have to follow include:
– Establishing strict security measures, including surveillance cameras and alarm systems
– Developing robust policies for employee training and conduct
– Implementing procedures for tracking all cannabis products from seed-to-sale
– Submitting regular reports on their activities to the state
The Players
It’s no secret that the cannabis industry is booming. In fact, legal cannabis is currently one of the fastest-growing industries in the United States. And, with more and more states legalizing the use of cannabis, the industry is only expected to grow. So, what does this mean for New York?
The growers
The growers are the people who will actually cultivate and grow the cannabis plants. In New York, there will be 10 growers chosen by the state. The growers will be located in Albany, Fulton, Montgomery, Broome, Ulster, Oneida, Erie, Chemical and Warren counties.
The growers will have to comply with strict regulations set by the state in order to be licensed. Some of these regulations include security measures, lab testing requirements and environmental controls. The growers will also be required to pay an annual fee to the state.
The state is still working out the details of how the growers will be selected, but it is expected that they will be chosen through a competitive process.
The dispensaries
In New York, there will be a total of 40 dispensaries allowed statewide--20 in the downstate region (which includes Long Island and Westchester County), and another 20 upstate. The number of dispensaries per county will be based on population, with each county guaranteed at least one. However, some larger counties like Suffolk and Niagara could end up with multiple dispensaries.
These dispensaries will be run by what the state calls “registered organizations,” which are basically non-profit companies that are registered with the state Department of Health. These organizations can operate up to four dispensaries each.
The registered organizations will be selected through a competitive application process, which will consider things like financial stability, security plans, diversity plans, and experience in dispensing medical cannabis products.
It’s worth noting that there are already several companies that have expressed interest in running dispensaries in New York. For instance, Columbia Care NY LLC--which already operates eight dispensaries in other states--has said that it plans to apply for a license to operate in New York.
The patients
In New York, medical cannabis is legal for patients with a qualifying condition. The state has a comprehensive medical cannabis program that covers a wide range of conditions. To be eligible, patients must be residents of New York and must have one of the qualifying conditions listed below.
Cancer
Epilepsy
HIV/AIDS
Amyotrophic lateral sclerosis (ALS)
Parkinson’s disease
Multiple sclerosis (MS)
Spinal cord injury with intractable spasticity
Chronic pain
IBS/C
NYS Practice Guidelines for the Use of Medical Marijuana in the Treatment of Pain
The Future
What will the industry look like?
The legal cannabis industry in New York is still in its infancy, but lawmakers and industry experts say they expect it will look different from the Wild West days of Colorado and California, where anyone with a little money and gumption could open a dispensary.
In New York, there will be far fewer dispensary licenses awarded than there are in other states. The number has not yet been determined, but it will be capped at a small fraction of the nearly 1,000 dispensaries that exist in California.
Dispensaries will also be highly regulated. They will need to meet security requirements and will be subject to regular inspections. And they will only be able to sell cannabis products that have been tested for safety and potency by state-licensed laboratories.
The products themselves will also be subject to strict controls. All cannabis edibles, for example, must be homogenized so that each serving contains a consistent amount of THC, the psychoactive component of cannabis. And all cannabis products must be packaged in child-resistant containers.
The goal is to create a safe and controlled legal market for cannabis, one that minimizes the risks associated with the black market while still providing consumers with high-quality products.
What are the potential obstacles?
There are several potential obstacles that could prevent legal cannabis from becoming a reality in New York. First, there is significant opposition from some lawmakers and law enforcement officials. Second, the state’s medical cannabis program is not yet operational, which means there is no infrastructure in place to support a recreational program. Third, New York is already facing a budget crisis and it is unclear how the state would fund a new cannabis program. Finally, it remains to be seen whether the Trump administration will crack down on states that have legalized cannabis.
What are the potential benefits?
The potential benefits of legalizing cannabis in New York are numerous. First and foremost, it would generate significant tax revenue for the state. A 2016 report from the New York State Department of Health estimated that legal cannabis could generate up to $438 million in tax revenue annually. This revenue could be used to fund public health and education programs, as well as much-needed infrastructure improvements.
In addition to generating revenue, legal cannabis would also create jobs. According to the same report from the Department of Health, legalizing cannabis could create up to 30,000 new jobs in New York State. These jobs would range from growers and retailers to lab technicians and security personnel.
Legalizing cannabis would also provide a boost to the agricultural industry in New York State. Cannabis is a crop that can be grown throughout the state, and farmers who switch to growing cannabis could see a significant increase in their profits. In addition, legal cannabis would provide an alternative for farmers who are struggling with traditional crops like dairy and corn.
Finally, legalizing cannabis would allow law enforcement officials to focus on more serious crimes. Currently, possession of small amounts of cannabis is a low-level crime that takes up valuable police time and resources. If possession were legalized, law enforcement officials could focus their attention on more serious offenses.
