Cannabis regulators in New York state approved substantial new rules Tuesday, allowing “social equity” applicants such as disabled military veterans, women, and minority business-led firms, and distressed farmers to apply to operate a weed dispensary beginning on October 4th.
Previously, applications were limited to the “justice-involved” or those convicted of marijuana crimes.
Four disabled veterans had spearheaded a lawsuit against Governor Kathy Hochul’s administration and the state Cannabis Control Board for excluding them from first-round applications and instead giving them to applicants with pot convictions.
A state judge recently issued an injunction barring the state from handing out any more licenses, the reason being that the preference for weed felons violated the state law legalizing recreational-use marijuana. It is not clear how these new rules will impact that litigation.
The Cannabis Control Board rules also widely broadened eligibility for individuals and entrepreneurs to apply for the licenses needed to become cannabis cultivators/farmers, processors, microbusinesses, and distributors.
The state’s fledgling legal marijuana has suffered from a lethargic rollout with just 23 cannabis stores across the state, nine of which (just under 40%) are in New York City.
Meanwhile, city officials have estimated that there could be up to 1,500 unlicensed smoke shops selling cannabis and disrupting the legal market.
