new york Archives - Page 4 of 5 - The Real Dirt with Chip Baker

New York legalizes adult use marijuana, expunges former pot convictions

by The Real Dirt | Mar 31, 2021 | 420 News, Blog, Cannabis Law, Cannabis Law and Compliance, Legalization, Politics

New York officially legalized weed Wednesday as Gov. Cuomo signed legislation that will regulate the sale of recreational marijuana for adults and expunge the records of people previously convicted of possession.

Legislators approved the long-stalled measure late Tuesday, sending the bill allowing adults over 21 to use weed legally to the governor’s desk.

“This is a historic day in New York – one that rights the wrongs of the past by putting an end to harsh prison sentences, embraces an industry that will grow the Empire State’s economy, and prioritizes marginalized communities so those that have suffered the most will be the first to reap the benefits,” Cuomo said in a statement. “I’m proud these comprehensive reforms address and balance the social equity, safety and economic impacts of legal adult-use cannabis.”

Officials say the marijuana market will eventually lead to as many as 60,000 new jobs and generate $350 million in revenue annually.

Adults over 21 will also be allowed to grow marijuana at home. It will be a while before legal sales begin or plants are allowed to grow as the newly-created Office of Cannabis Management is formed and finalizes rules and regulations. Most experts predict sales will start in late 2022 or early 2023.

Some parts of the law take effect immediately as anyone previously convicted of possessing an amount of marijuana now under the legal limit will automatically be subject to expungement and resentencing.

As of Wednesday, New Yorkers can legally possess less than 3 ounces of marijuana and consuming cannabis is permitted in public wherever smoking tobacco is allowed.

Law enforcement can no longer arrest or prosecute anyone for possession of pot under the three-ounce limit. A police officer can still use the odor of burning cannabis as a reason to suspect a driver is intoxicated, but can’t use that smell alone as justification for searching a car.

Once a marketplace is gearing up, the law allows for localities to opt-out of retail sales at the local level. It also sets a 9% sales tax on cannabis, plus an additional 4% tax split between the county and locality.

As far as tax revenue, the plan is to dedicate 40% of the funds to reinvestment in communities disproportionately impacted by the drug war, another 40% to schools and public education, and 20% to drug treatment, prevention and education.

Read Full Story from New York Daily News

What Would New York Cannabis Legalization Look Like?

by Travis C | Mar 30, 2021 | 420 News, Blog, Cannabis Law, Cannabis Law and Compliance, Legalization, Politics

New York cannabis legalization is being voted on today

The vote on New York cannabis legalization could happen today. What does that mean for the industry, and the country?

After reaching a landmark deal that aims to integrate a recreational cannabis industry into New York’s current medical cannabis program, the state legislature could be voting as soon as today on whether or not New York cannabis legalization will pass. The bill’s passing would be a massive decision with even bigger ramifications for the legal cannabis industry at large.

But how would a cannabis industry in New York theoretically look? One thing is for sure; the industry would be huge.

What’s in the bill

The bill potentially on its way to Governor Andrew Cuomo’s desk would allow adults in the state to buy cannabis in retail stores, and also sample it in tasting rooms similar to wine tasting venues. They would also be able to grow a limited number of marijuana plants at home – six per person and up to 12 per household.

If passed, the New York cannabis legalization law would not go into effect until late 2022, which means businesses like dispensaries may not open until after that period.

Fifty percent of the licenses to grow and sell marijuana would be set aside for what’s known as equity businesses, which includes people from disproportionately impacted communities and small farmers. They would have access to loans, grants, and incubator programs.

The funds for this program will come from a 13 percent sales tax to be charged on the sale of marijuana. State revenues could reach $350 million dollars a year and the money would be split between the community reinvestment fund, public education, and efforts to combat drug addiction.

The legislation further decriminalizes possession of marijuana, eliminating penalties for having 3 ounces or less of cannabis, or storing up to 5 pounds at home. It also would expunge the records for people with previous convictions for amounts that are no longer criminalized.

How it could impact the industry

If New York cannabis legalization passes, the state would become the 15th state to legalize cannabis, and the second largest to legalize behind California. Ranking barely third behind Texas in state GDP, the economy of New York is already massive, which would all but guarantee an equally massive legal cannabis industry.

Similar to California, New York also has a thriving illicit market already in operation in the state. Cannabis delivery services are very popular in New York City where anyone can ride their bike across the city to deliver cannabis products. While few other states allow cannabis delivery in their recreational cannabis programs, New York cannabis legalization would likely allow for delivery services to continue, if not thrive under new legal regulation.

California sold the most cannabis in 2020 at $4.4 Billion worth. However in combination with its relatively small medical cannabis industry which generated around $50 million in 2020, a New York legal cannabis industry would generate over $1 Billion by 2024. That would put New York in the top five cannabis markets in just two years of operation.

To say that New York cannabis legalization would make the state a major player with influence on the direction of the industry would be an understatement.

How it could impact the country

California alone generated over twice as much sales revenue in 2020 than all of Canada where cannabis is federally legal. With the addition of a massive industry after New York cannabis legalization, that number could easily double again, making the United States a legal cannabis behemoth despite federal law.

The massive profits will likely draw the attention of more politicians who will see the potential benefits of legalizing in their own states, or even federally. In states where cannabis is legal, opinions on legalization generally improve over time after those against it see the benefits it brings. In a massive state like New York, a sway in public opinion on legalization could create waves that reach across the east coast and even the country.

Nearly 70% of Americans already support federal cannabis legalization, with 90% supporting federally legal medical cannabis. With New York’s population the number will rise making it nearly impossible for legislators on the federal level to keep ignoring. Of course when it comes to politics, nothing is a guarantee.

A whole new world awaits

The reality is that if New York cannabis legalization passes, the entire industry is likely to change. Entrepreneurs and corporate cannabis entities will flock to New York to capitalize on the new, fresh industry. And with such a massive economy, there will be no shortage of opportunity.

A legal cannabis industry in New York is likely to jump start movement across the east coast, with Pennsylvania and Maryland likely to follow should the industry show promise. Florida has already surpassed $1 Billion in sales with medical marijuana alone, and a full recreational industry would likely explode there as well.

The dominoes of cannabis legalization have been slowly falling state after state, and New York is one BIG domino that could change everything. But just like California, New York could also fall short.

Despite its massive revenue generation and thriving cannabis industry, California has suffered immensely due to its changing regulations with lack of communication or leniency, exorbitant licensing and square footage fees that punish small farmers, and a thriving illicit market that the state can’t quash.

New York must tread lightly or risk facing a similar fate to their west coast cousin, which could have an inverse effect on the future of cannabis legalization across the country. Only the future will tell.

NY Legislators Reach Deal to Fast Track Legalization

by Travis C | Mar 25, 2021 | 420 News, Blog, Cannabis Law, Cannabis Law and Compliance, Legalization, Politics

New York cannabis legalization is on the fast track to being signed into law

New York is ready to legalize recreational marijuana.

The state would impose special pot taxes and prepare to license dispensaries under an agreement reached by Gov. Andrew Cuomo and legislative leaders.

“It is my understanding that the three-way agreement has been reached and that bill drafting is in the process of finishing a bill that we all have said we support,” state Senate Finance Committee Chair Liz Krueger told Bloomberg Government on Wednesday.

The deal that legislative leaders brokered with Cuomo (D) would legalize cannabis use for adults 21 years old and up, and includes a 13% sales tax, 9% of which would go to the state and 4% to the localities, Krueger said. Distributors additionally would collect an excise tax of as much as 3 cents per milligram of THC, the active ingredient in cannabis, with a sliding scale based on the type of product and its potency.

No changes would be made to the taxes already imposed on marijuana sold for medical purposes, Krueger said.

The governor’s office estimates that a legal cannabis program could pull in about $350 million a year once fully implemented.

Sales could begin as soon as one year after enactment, said Krueger, who sponsored legislation (A.1248/S.854) with Assembly Majority Leader Crystal Peoples-Stokes (D) that was a starting point for the negotiations.

With New Jersey legalizing marijuana earlier this year, “we are literally surrounded geographically by other states that are doing it. We just need to stay ahead of the times,” Peoples-Stokes said in an interview. “Because we’re New Yorkers, we can walk and chew gum at the same time. We can speed this up.”

Cuomo earlier Wednesday said an agreement was close, and that it’s one of his budget priorities. Krueger said she expects lawmakers to vote on stand-alone legislation as soon as next week.

Legislative leaders want to separate the marijuana and budget debates, a strategy that gives them the upper hand on determining pot policy.

Neighborhood Programs

The proposed recreational marijuana tax structure is similar to the one levied on alcohol, Krueger said.

Tax revenue would first go to covering cannabis-related expenses at state agencies overseeing the regulation of cannabis, with the rest divided among programs to help people rebuild their lives after marijuana possession arrests; to help neighborhoods; education; and drug treatment.

“We understand the ramifications of decades of incarceration of a people that actually ends up costing us, as a government, money,” Peoples-Stokes said. “This community reinvestment could reverse that whole dynamic. We could reinvest in people’s lives.”

Putting those programs into the legalization law will mean that Cuomo wouldn’t be able to count on that burst of new revenue to close a $2.5 billion budget hole anticipated in the next fiscal year.

Read the Full Story from Bloomberg

New York Legal Cannabis on Verge of Passing

by The Real Dirt | Mar 17, 2021 | 420 News, Blog, Cannabis Law, Legalization, Politics

new york legal cannabis could be legal soon

The Legislature is on the precipice of passing a measure legalizing adult-use recreational marijuana in the Empire State, New York State Senate Majority Leader Andrea Stewart-Cousins said Tuesday.

Lawmakers are likely to reach a cannabis consensus and act on a stand-alone bill as soon they address lingering concerns about traffic stops and safety, Stewart-Cousins acknowledged.

“We are extremely close. We have reached a little bit of an impasse right now and it has to do with impaired driving,” the Yonkers Democrat said during a video news conference. “We’re trying to figure a way forward so there can be some understanding of safety.”

At issue is whether to continue to treat driving while impaired by marijuana as a misdemeanor or a traffic infraction.

Earlier in the day, Sandra Doorley, Monroe County District Attorney and president of the state’s district attorneys association, outlined some of the qualms coming from law enforcement.

“The classification of driving under the influence of cannabis as a traffic infraction would send the message to the driving public that driving while impaired is no big deal and will be treated the same as a speeding ticket,” Doorley said. “Further, driving while impaired by marijuana obviously endangers all of our residents and visitors.”

Democrats in both the Senate and Assembly dropped marijuana from their budget proposals this week, an indication that lawmakers are nearing a deal on long-stalled efforts to allow New Yorkers to legally spark up.

Past attempts to approve pot have repeatedly gone up in smoke due to discrepancies over revenue, local opt-ins and expungement of past pot arrests. While Gov. Cuomo has included legal marijuana in his own budget proposals the past two years, he and lawmakers have failed to see eye to eye on equity and the allocation of revenue.

Lawmakers have sought to spend a lion’s share of the tax revenue on minority communities where the state’s drug laws have been disproportionately enforced, while Cuomo has sought greater state control of the funds.

Read Full Story on NY Daily News

New York Lawmakers File Marijuana Legalization Bill For 2021 Session

by The Real Dirt | Jan 8, 2021 | 420 News, Blog, Cannabis Law, Cannabis Law and Compliance, Hemp Law

New York cannabis legalization could passed in the 2021 session.

New York lawmakers representing nearly a third of the state Senate on Tuesday prefiled a bill to legalize marijuana.

Gov. Andrew Cuomo (D) has emphasized the need to enact the reform in 2021, arguing that it could help offset economic losses from the coronavirus pandemic and promote social equity. And now there’s a new potential vehicle for legalization to happen.

Sen. Liz Krueger (D) and 18 cosponsors filed the legislation, which is identical to a bill she sponsored last year and has now been referred to the Senate Finance Committee. It would make it so adults 21 and older would be able to purchase cannabis and cultivate up to six plants for personal use.

This is the fifth version of the legalization bill that the senator has introduced since 2013. But advocates are hopeful that, given the evolved marijuana policy landscape in the region and nationally, as well as the governor’s embrace of reform, this year will see the measure advance.

“It is long past time for New York State to catch up with our neighbors and legalize, tax, and regulate adult-use marijuana,” Krueger told Marijuana Moment. “To my mind the most compelling reason for doing so has always been to end the unnecessary and destructive impact of the so-called ‘War on Drugs’ on communities of color.”

“But now, faced with the impacts of the pandemic, the potential for legalization to create new jobs, economic growth, and out-year tax revenue for the state is more important than ever,” she said. “I am cautiously optimistic about the chances of getting this done and done right—in a way that ensures that resources are directed to communities most directly impacted by the failed policies of prohibition.”

An 18 percent tax would be imposed on cannabis sales. After covering the costs of implementation, revenue from those taxes would go toward three areas: 25 percent for the state lottery fund, so long as it’s designated for the Department of Education; 25 percent for a drug treatment and public education fund and 50 percent for a community grants reinvestment fund.

The bill could finally give advocates the legislative win they’ve been working towards.

Cuomo has attempted to enact legalization through the budget for the past two years—and he’s expected to give it another try in 2021, based on recent comments from an aide and the governor—but it hasn’t come to fruition. That’d due in large part to disagreements over certain provisions such as the tax structure and where to allocate the resulting revenues

“I look forward to working with the governor and my legislative colleagues to finally make legalization a reality for New Yorkers,” Krueger said of the renewed effort for 2021.