New York’s Cannabis Control Board approved 105 more licenses and denied 100 applications during its monthly meeting on June 11, as the embattled agency continues to transition leadership.
The 105 new adult-use licenses included 25 cultivator, 22 distributor, 22 microbusiness, 19 processor and 17 retail. Of those approvals, 45 were conditional processor or cultivation licenses that were converted to annual licenses. Meanwhile, the CCB denied approval to 21 conditional adult-use retail dispensary applicants for either failure to show that the applicant had a prior cannabis conviction in New York or they failed to disclose a proper business structure. The board also denied 79 applications for annual licenses because the recipients had already exceeded the maximum number retail licenses.
That brought the total number of adult-use licenses approved in New York this year to 654, according to Chief Operating Officer Patrick McKeage of the Office of Cannabis Management (OCM). They include 132 dispensaries that have opened for business, of which 65 are in New York City and Long Island, while the remaining 67 are evenly spread across the rest of the state.
“We continue to prioritize our market’s expansion, and commitment to our nation-leading cannabis market, by providing New Yorkers with a wide range of choice and opportunity to participate,” said CCB Chair Tremaine Wright. “Today’s license approvals, and the introduction of home cultivation brings us one step closer to setting a new standard that centers growth, equity and safety.”
The board also approved Vireo Health (GDNSF) to become the eighth out of 10 existing medical operators in the state to enter the adult-use market as a producer of cannabis, but not as a retailer. Existing registered organizations are allowed to either apply for a dispensing license or a non-dispensing license, which encompasses cultivation and processing, but not both. Vireo will be allowed to continue operating its medical dispensaries.
New acting executive director takes helm
The meeting was the first for acting-Executive Director Felicia Reid. She became acting executive director of the OCM after the release of a scathing report from Gov. Kathy Hochul’s office and the subsequent departure of former Executive Director Chris Alexander last month.
Reid previously served as the deputy commissioner of the New York State Office of Children and Family Services.
“From where I come from in juvenile justice, we often talk about meeting folks where they’re at, and that involves going out, getting feedback, understanding criticism and seeing where the gaps are, where we can make things better,” said Reid during the meeting. “So my role and the way forward is both understanding more about OCM and the cannabis industry in New York, but also figuring out ways in which to build framework systems, build process, so that we can get the work done at the end of day for all New Yorkers.
The CCB also voted to approved home grow, which took effect immediately on June 11. Adults can grow up to six plants each, with a total household limit of 12.
McKeage noted that the new rules for home rule allow residents to also process their plant products into oils or edibles, just as long as volatile solvents or propane are not used.
“We’ve heard horror stories from others that people are doing things in garages and basements, so please do not blow yourself up,” he said.
Before the end of the meeting, the board took public comments, many of which came from struggling applicants who are still waiting for approval months after having had to secure a property.
“We are here, and we are ready, but we need your help,” said Vinay Mehta, chief operating officer of Gotham Manufacturing Corp. “We are burning through cash on a lease that this government agency required at the time of the application for a facility we cannot do anything with until we are licensed.”
Applicant David Hooper added, “I’ll watch many board meetings and witness people come to speak about how they are bleeding financially from this process I now find myself in. We had a virtual inspection back in April and still have not been issued the license. Every first of the month that passes, I cannot tell the landlord that I am waiting for OCM. The rent still has to be made.”
