NY Cannabis Insider is bolstered by a team of reporters, editors, event coordinators and marketers from Advance Local<\/a>, which runs nine local media groups and several other brands across the US. We\u2019re also supported by our neighbors at NJ Cannabis Insider<\/a>, who recently celebrated their 200th issue!<\/p>\n So yeah, we\u2019re putting some muscle behind this.<\/p>\n Inside our inaugural issue, you\u2019ll find:<\/p>\n Insight into how legacy operators are feeling<\/b> about forthcoming state regs; Retail best practices<\/b> from Steven Phan of NYC\u2019s Come Back Daily; Assemblywoman Crystal Peoples-Stokes<\/b> talks federal legalization and her new Political Action Committee; The Cayuga Nation<\/b> branches out into cultivation; How the war in Ukraine<\/b> is affecting cannabis lobbying; An update on what\u2019s happening with our neighbors in Massachusetts<\/b> and Connecticut<\/b>; and more.<\/p>\n This first issue is free. Future issues will be available to subscribers<\/b><\/a> on a monthly or yearly basis.<\/p>\n As we grow, expect from us the highest-quality reporting, networking and guidance, and help NYCI evolve by sending thoughts, criticism, or tips to cannabis@NYup.com<\/a>. Or you can reach me anytime at 315-282-8576 or at bracino@nyup.com<\/a>.<\/p>\n \u2014 Brad Racino<\/b>, Editor & Publisher, NY Cannabis Insider | @bradracino<\/a><\/p>\n by Sean Teehan<\/b>, NY Cannabis Insider | @SeanPTeehan<\/a><\/p>\n Reggie Keith (center) runs Buffalo-based Canna-House.<\/p>\n<\/div>\n<\/div>\n Reggie Keith established Buffalo-based Canna-House<\/a> in 2017 as a private social club centered around marijuana, which wasn\u2019t legal in New York at the time.<\/p>\n As a member of that legacy market, he sees the benefits of seeking a license within the state\u2019s forthcoming legal cannabis industry: No more looking over his shoulder for law enforcement, a chance to establish a legitimate family business, and an opportunity to create generational wealth.<\/p>\n \u201cThere\u2019s so much potential once you go from being a stigmatized salesman to actually being able to run a legal business,\u201d Keith said.<\/p>\n But, he added, there are drawbacks.<\/p>\n Paying taxes and submitting to state rules and regulations is new territory for a lot of old-timers, he pointed out, as is risking a license application, which could be denied but still place an unregulated business on the state\u2019s radar.<\/p>\n \u201cYou really are asking people to risk their livelihood and trust a system that has notoriously fucked them over,\u201d said Keith, who is planning to apply for a state license. \u201cThere has to be way more give [on the state\u2019s part] for us to have that trust factored in.\u201d<\/p>\n Unlike other states that sought to shut legacy operators out of their legal markets, New York expressed a desire to bring them into the fold. Chris Alexander, the executive director of the Office of Cannabis Management<\/a>, said their inclusion is key to his office\u2019s approach.<\/p>\n \u201cPart of what we understand here is that in order for our adult use market to be successful, we need to make sure we\u2019re trying to include the legacy market as much as possible,\u201d Alexander told NY Cannabis Insider.<\/p>\n However, legacy operators interviewed say the state hasn\u2019t been clear on what protections it will afford them if they come out of the shadows, and the OCM and others haven\u2019t engaged with them as regulations are written for the legal cannabis market.<\/p>\n The dynamic is leading to trepidation among some legacy operators as they weigh the benefits of running a legitimate, fully-licensed business against the risk of losing it all.<\/p>\n \u201cThere\u2019s no safety net,\u201d Keith said.<\/p>\n A fundamental shift<\/b><\/p>\n Located on the W. Averell Harriman State Office Building Campus in Albany, the Office of Cannabis Management is New York\u2019s primary marijuana industry regulator.<\/p>\n On Sept. 1, Gov. Kathy Hochul announced the state<\/a> hired Alexander, 31, to lead the new office, which is responsible for creating a legal adult-use cannabis industry in New York from the ground-up.<\/p>\n Alexander previously worked for the New York State Democratic Party<\/a>, as a congressional legislative aide and a policy coordinator for the Drug Policy Alliance<\/a>, and as counsel to the New York State Senate, according to Hochul\u2019s office.<\/p>\n He told NY Cannabis Insider in December<\/a> that his life\u2019s work has centered around legalizing cannabis in New York, and he was a key player in crafting the Marijuana Regulation and Taxation Act<\/a>, which former Gov. Andrew Cuomo signed into law in March.<\/p>\n Christopher Alexander is the executive director of New York’s Office of Cannabis Management.<\/p>\n<\/div>\n<\/div>\n In addition to overseeing a hiring spree and the writing of draft regulations, Alexander\u2019s office has already sent dozens of cease and desist letters to \u201cgrey market<\/a>\u201d cannabis businesses that operate under a perceived loophole in the law that they say allows them to \u201cgift\u201d cannabis instead of \u201csell\u201d it.<\/p>\n Alexander told NYCI that cannabis regulators have been meeting with legacy market individuals and groups to better understand how to include them in the emerging ecosystem, but he declined to specify with whom OCM has met.<\/p>\n \u201cThere\u2019s definitely been some engagement with those folks\u201d which is ongoing, Alexander said, \u201cbut it\u2019s also relationships that have been developed over years.\u201d<\/p>\n Legacy\u2019s concerns have already informed the regulations, Alexander said. For example, since legacy operators likely can\u2019t show tax returns, OCM officials are cognizant about formulating policy that doesn\u2019t prioritize tax records as a licensing requirement.<\/p>\n And though he understands concerns about legal or financial consequences of applying for licensure, Alexander said the paradigm shift that New York has undergone with marijuana legalization has drastically reduced such liability.<\/p>\n \u201cThere\u2019s a fundamental shift in public policy right now,\u201d he said. \u201cMissing out on this opportunity, I think, is a big mistake.\u201d<\/p>\n On Feb. 14, Alexander said he expects some draft regulations will be released toward the beginning of spring, and all of them by May.<\/p>\n A California history lesson<\/b><\/p>\n Steve DeAngelo<\/a> is a longtime cannabis entrepreneur and activist who sold marijuana in the Northeast, including in New York, between 1975 and 2000. He\u2019s also a co-founder of Harborside<\/a>, which describes itself as one of California\u2019s oldest legal cannabis retailers.<\/p>\n It\u2019s encouraging to him that New York officials say they want legacy operators involved in the state\u2019s legal industry \u2014 California took a hostile approach to the legacy market during his time at Harborside, he said.<\/p>\n As a lifelong activist, author, educator and entrepreneur, Steve DeAngelo has spent more than four decades on the front lines of the cannabis freedom movement.<\/p>\n<\/div>\n<\/div>\n He recalled when his staff turned away then-top California cannabis regulator Lori Ajax during a tour in 2016 because she was carrying a gun (part of her role as a law enforcement officer).<\/p>\n DeAngelo sees this as indicative of a wrongheaded approach.<\/p>\n \u201cThey were using terms like, \u2018it\u2019s our job to root out the black market, or to eliminate the underground market,\u2019\u201d DeAngelo said.<\/p>\n Today, California\u2019s legal cannabis market is significantly underperforming due in part to the unregulated market, according to cannabis industry publication MJBizDaily<\/a>. That\u2019s largely a function of over-taxation and over-regulation of the industry starting in 2018, when the state enacted adult-use cannabis rules that were much stricter than the permissive medical marijuana codes previously in place.<\/p>\n When the new regulations went into effect, DeAngelo said, Harborside went from legally conducting business with some 500 cannabis farmers in the state to 10, and those were all large, well financed corporations able to meet the state\u2019s demanding licensing requirements.<\/p>\n He said one problem for legacy operators looking to make the switch to legal was a requirement that license applicants show that they own or lease property where they can run their companies.<\/p>\n Some two-thirds of California municipalities prohibit cannabis businesses<\/a> within their borders. DeAngelo said that caused purchase prices and rents for spaces where marijuana businesses can operate to skyrocket \u2014 making many underground operators unable to meet this requirement.<\/p>\n Another major problem in California has been high taxes that led customers to return to the unregulated market, according to a MJBizDaily study<\/a>.<\/p>\n \u201cIt\u2019s kind of this perfect storm where demand was reduced in the legal marketplace by the high taxation, and then a very, very robust legacy market was preserved by the failure of the state to license legacy operators,\u201d said DeAngelo.<\/p>\n The 63-year-old is currently advocating for measures like provisional licensing for all marijuana licensing categories for legacy operators in New York.<\/p>\n Talking to each other<\/b><\/p>\n Starting a dialogue between state officials and New York\u2019s legacy market could be challenging for a couple reasons, said Jeremiah Swain, who has been growing and selling cannabis in the Ithaca\/Syracuse region for about two years.<\/p>\n One, underground operators mostly try to conduct business in secrecy, and two, few trust a legal system that has destroyed lives with prison sentences, he said.<\/p>\n \u201cIt\u2019s asking a tall task to put faith in a system that wasn\u2019t built to work for you, and continuously shows you that it doesn\u2019t work for you\u201d<\/p>\n<\/div>\n Jeremiah Swain<\/p>\n<\/div>\n<\/div>\n While state officials have said they want legacy operators included in the legal market, Swain doesn\u2019t think they\u2019ve done enough yet to build credibility and trust, though he acknowledges the office\u2019s difficult task in creating a new marketplace.<\/p>\n Swain told NYCI that speaking publicly about growing and selling marijana illegally may put him at risk, as does applying for a license, which he intends to do. And he\u2019s not convinced it\u2019s the right move for everybody, especially those who lack the resources to apply for a license, which can be an expensive process.<\/p>\n \u201cYou\u2019ve either got to decide to stay underground or go all the way above,\u201d Swain said, and hope that \u201cyou get a license.\u201d<\/p>\n \u201cBecause if you do all this above ground and then don\u2019t get a license, then what?\u201d he said. \u201cYou could end up trying to do the right thing, and end up shit out of luck with nothing.\u201d<\/p>\n Jeremiah Swain has been growing and selling cannabis in the Ithaca\/Syracuse region for about two years. Photo courtesy Jesse Winter<\/span><\/p>\n<\/div>\n<\/div>\n Swain thinks the OCM and other state agencies should be more transparent about actions they will take to protect legacy operators who are trying to join the legal market.<\/p>\n Officials should also invest in a public marketing campaign to destigmatize cannabis \u2013 one especially aimed toward minority communities \u2013 and admit wrongdoing in criminalizing marijuana, he added.<\/p>\n \u201cThe government has a responsibility to invest in the remarketing and rebranding of cannabis to Black and Brown people so that way they do feel like it\u2019s something they could be a part of without consequences.\u201d<\/p>\n Keith of Canna-House also said he thinks OCM is at least trying to figure out ways to bring the legacy market into the fold, but said officials aren\u2019t doing enough to engage with operators, like holding in-person public forums to hear their concerns and advice.<\/p>\n He thinks the OCM should form a council that includes legacy players, regulators, and registered medical operators in the state. Such a panel could discuss proposed regulations, and how they would affect each party.<\/p>\n MRTA does dictate that the OCM creates an advisory council that includes representatives from the farming industry, cannabis industry, and organizations serving communities impacted by past federal and state drug policies, as well as people with prior drug convictions and the formerly incarcerated.<\/p>\n However, Keith thinks the OCM should consult with such a panel before writing regulations.<\/p>\n \u201cIn theory it sounds like a foreign concept, but you\u2019re looking to combine these two worlds \u2014 and that you don\u2019t have people talking from these two worlds just makes no sense,\u201d Keith said.<\/p>\n \u201cPeople like myself could feel empowered to go out into the community and recruit some of these folks that I know; but I\u2019m not about to walk my people into a trap.\u201d<\/p>\n A ticking time bomb<\/b><\/p>\n Moving from the unregulated cannabis market to being a license-holder can certainly be a fraught process, said J.T. Woehler, a former legacy operator turned licensed cannabis business owner out of Humboldt County, Calif. He remembers his initial encounters with regulators when he was applying for a state cannabis business license.<\/p>\n \u201cIt took us eight months, because we couldn\u2019t get the application process right,\u201d Woehler said.<\/p>\n He was a partner for about two years at an underground grow operation in Humboldt County when, in 2017, the state sent a letter warning that law enforcement would raid their cultivation site if they didn\u2019t cease operations.<\/p>\n JT Woehler is a former legacy operator turned licensed cannabis business owner.<\/p>\n<\/div>\n<\/div>\n Woehler left, and after working as an underground distributor in Southern California for about a year he established a legal business, Trimco Services, which distributed marijuana and offered trimming services to cultivators.<\/p>\n \u201cIt really gave me the experience of how to understand compliance \u2026 how to pull permits, how to communicate with the fire department,\u201d Woehler said. \u201cThat whole learning curve took quite a while.\u201d<\/p>\n Woehler is now a co-founder and chief operating officer of New York-based The Mary Group<\/a>, which advises legacy businesses on how to operate legally. He said legacy operators worried about opening themselves to trouble by applying for a license are right to be concerned.<\/p>\n However, remaining in the unregulated market won\u2019t be viable for most people in the long run, he added, because of both law enforcement and market dynamics.<\/p>\n \u201cWhen you\u2019re operating as a legacy operator, it\u2019s a ticking time bomb, at the end of the day,\u201d Woehler said. It can\u2019t last forever.<\/p>\n \u201cThere\u2019s not a lot of bootleg alcohol operators out there.\u201d<\/p>\n \u2014Sean Teehan is an NY Cannabis Insider reporter. He can be reached at 508-498-6884 or by email at <\/i>steehan@nyup.com<\/i><\/a>.<\/i><\/p>\n by Steven Phan<\/b>, Founder, Come Back Daily<\/a> and Chair, Retail Committee, NYCGPA<\/a><\/p>\n With New York State finally set to embrace cannabis legalization, eager entrepreneurs are preparing to take advantage of this opportunity to establish a legitimate business in the legal market. Many of them have their eyes set on opening a retail operation.<\/p>\n However, while the legal market may be well on its way in 2022, stigmas, misconceptions and general fears regarding legal cannabis still remain as an obstacle that may force many businesses to put extra thought into the role they must play in changing perspectives and integrating into the community as legal operations.<\/p>\n Retail dispensaries will not only be providers of quality, well-regulated products, but also advocates for cannabis, interacting directly with community members, providing them insights into the industry and giving a glimpse of what the presence of the legal market actually looks like in their neighborhoods.<\/p>\n The \u201cFaces\u201d of the Industry<\/b><\/p>\n Although we are seeing more states legalize cannabis, there is still a significant lack of education in many local communities, even those who have opted in to retail. Dispensaries have the opportunity to become not only retail hubs, but beacons of cannabis education and stigma deconstruction because for many residents the presence of these retail locations will be their first interaction with a legal cannabis business, or any type of cannabis entity in general.<\/p>\n While some communities may be home to cultivators, manufacturers and processors, the bulk of direct one-on-one consumer interaction will occur within these dispensaries with \u201cbud tenders\u201d \u2014 employees who interact with community members face-to-face, answering questions, recommending products and dispelling myths and misconceptions.<\/p>\n Steven Phan, co-founder of Come Back Daily CBD<\/p>\n<\/div>\n<\/div>\n With this in mind, entrepreneurs and legacy market members who are looking to establish a retail business must be prepared to connect with local residents, understand their potential concerns, personalize their business model and fit their location\u2019s demographics, culture and needs. They must do all of this while taking advantage of the opportunity to not only be good neighbors and build that much-needed trust, but also be involved thought leaders and educators.<\/p>\n Integrating into \u2014 and creating \u2014 community culture<\/b><\/p>\n Another unique aspect of the cannabis market, particularly within New York communities, is the industry culture. This can differ depending on demographic, location and the socioeconomic factors, and retail owners should be mindful of this when shaping their business narrative.<\/p>\n For example, being aware of the area\u2019s past experiences with the War on Drugs and prohibition, and the presence of the legacy and illicit market within the neighborhood, are of the utmost importance. Acknowledging these factors will be key in shaping how a legal retail operation will interact with and be accepted by a community.<\/p>\n These Practices Worked With Cannabinoids<\/b><\/p>\n When CBD and other cannabinoids became popular, they were also faced with misconceptions and scrutiny. At Come Back Daily<\/a>, we designed our CBD shop to be intimate and informational, where customers are welcomed and encouraged to ask questions, interact with products and be open about their knowledge levels. Transparency and well-tailored product recommendations always come first.<\/p>\n Additionally, we are extremely active in our community, attending and speaking at community events, becoming familiar with local stakeholders and collaborating with other local businesses and groups for educational information sessions, roundtables and public forums. We also sell quality, locally-sourced products from diverse, woman and BIPOC-owned suppliers.<\/p>\n Furthermore, we make our business accessible and visible through delivery and pickup options (which allowed us to stay open and available during the pandemic), informational online blogs<\/a>, free educational materials and commentary in the form of media interactions and thought leadership.<\/p>\n Legalization and the establishment of a legal market is only the beginning of what\u2019s needed to allow New York\u2019s recreational industry to reach its full potential. The first legal businesses to get off the ground \u2014 especially retail operations \u2014 will be at the forefront of further stamping out stigma, humanizing cannabis and integrating into hesitant communities. Embracing this role will be key in establishing a successful business and strengthening the industry.<\/p>\n Subtext connects NYCI readers with reporters.<\/p>\n<\/div>\n<\/div>\n Subtext<\/a> is a texting platform that connects NY Cannabis Insider readers with reporters, and allows instantaneous notification of breaking news \u2014 free from the clutter of social media. Annual subscribers have unlimited access to the platform, and can interact directly with our staff. Signup information in next week\u2019s issue.<\/p>\n Tickets for our NY Cannabis Insider Live conference on March 31 are now available<\/a>! From 9 a.m. \u2013 1 p.m., a panel of experts and insiders will explain:<\/p>\n NYCI statewide conferences feature the best and brightest thought leaders willing to share their expertise with others looking to start their cannabis ventures. Plus, networking sessions between panels are an opportunity to connect with other industry professionals.<\/p>\n See our past speakers and topics<\/a> and purchase tickets to the March event here<\/a>.<\/p>\n Build your cannabis brand, forge connections and grow your revenue with NY Cannabis Insider sponsorships. Opportunities are still available for our March 31 conference. Contact <\/i>Senior Marketing Director Lindsay Marlenga<\/i><\/a> for more information.<\/i><\/p>\n by Sean Teehan<\/b>, NY Cannabis Insider | @SeanPTeehan<\/a><\/p>\n View of the New York State Capitol looking across the Empire State Plaza, Saturday, March 13, 2021, in Albany, N.Y.<\/p>\n<\/div>\n<\/div>\n Nearly a year after New York State officially legalized adult-use cannabis, residents and businesspeople are still waiting for legal sales to start. Regulators say that likely won\u2019t happen until 2023, so you\u2019ve got time to read this brief history of key events on the state\u2019s road to full marijuana legalization:<\/p>\n July 7, 2014<\/b><\/u>: Gov. Andrew Cuomo signs a bill<\/a> making New York the 23rd state to allow medical marijuana.<\/p>\n June 19, 2019<\/b><\/u>: A bill that would have legalized recreational cannabis dies in the New York State legislature<\/a> as support for the measure collapses.<\/p>\n July 29, 2019<\/b><\/u>: New York State passes legislation to decriminalize cannabis<\/a>, allowing New Yorkers to possess up to two ounces of marijuana without any criminal penalties.<\/p>\n March 31, 2021<\/b><\/u>: Gov. Andrew Cuomo signs the Marijuana Regulation and Taxation Act, making New York the nation\u2019s 17th state to legalize recreational cannabis<\/a>.<\/p>\n August 10, 2021<\/b><\/u>: Gov. Andrew Cuomo resigns, after failing to make key appointments to the Office of Cannabis Management. His resignation put the onus of establishing the state\u2019s adult-use cannabis market<\/a> on incoming Gov. Kathy Hochul.<\/p>\n October 5, 2021<\/b><\/u>: New York\u2019s Cannabis Control Board holds its first meeting<\/a>.<\/p>\n Dec. 31, 2021<\/b><\/u>: Nearly half of New York State\u2019s municipalities opt out of adult-use cannabis retail<\/a>. Beginning Jan. 1, 2022, cities and towns who have not already opted out may no longer do so.<\/p>\n January 5, 2022<\/b><\/u>: In her first State of the State address, Gov. Kathy Hochul announces a $200 million fund<\/a> to support social equity applicants seeking adult-use cannabis<\/a> business licenses<\/p>\n Feb. 8, 2022<\/b><\/u>: The Office of Cannabis Management sends dozens of cease and desist letters<\/a> to businesses suspected of illegally selling cannabis under the guise of \u201cgifting\u201d the drug.<\/p>\n February 22, 2022<\/b><\/u>: Gov. Kathy Hochul signs a law allowing provisional licensing<\/a> for some hemp growers and processors to begin to grow and process adult-use cannabis. Hochul said the new temporary licenses could help fast-track the opening of the state\u2019s adult-use cannabis market.<\/p>\n by Sean Teehan<\/b>, NY Cannabis Insider | @SeanPTeehan<\/a><\/p>\n Assemblywoman Crystal Peoples-Stokes, a Democrat who represents Buffalo, speaks at a rally for marijuana legalization at the New York State Capitol in Albany on Tuesday, Jan. 28, 2020.<\/p>\n<\/div>\n<\/div>\n For State Assembly Majority Leader Crystal Peoples-Stokes, cannabis legalization in New York is a long time coming.<\/p>\n An author of the Marijuana Regulation and Taxation Act, Peoples-Stokes is a longtime advocate for marijuana reform, and recently established the Equity PAC<\/a>, which partly focuses on electing politicians who support cannabis reform.<\/p>\n The Democrat from Buffalo sat for an interview with NY Cannabis Insider last week to discuss the formation of New York\u2019s adult-use cannabis market, an expansion of provisional licensing for social equity businesses and the opportunities the newly legal market presents to historically disadvantaged communities.<\/p>\n NYCI: In setting up a legal adult-use cannabis industry in New York, what do you think is going well, and what do you think needs work so far?<\/b><\/p>\n Peoples-Stokes<\/b>: I don\u2019t see anything that needs work right now. I think what needed work was when we passed the legislation on March 31 of last year, there should have been an Office of Cannabis Management board in place by June, and it wasn\u2019t. And so, I think the speed with which the new governor, since her installation, has put that board in place, and they have begun to react to the legislation \u2014 I\u2019m good with that.<\/p>\n You sponsored the legislation that Gov. Hochul signed that allows for provisional licenses for some cultivators and processors. Can you tell me why you supported this, and why you think this legislation is important?<\/b><\/p>\n Well, if there is an intent from the Office of Cannabis Management to have retail dispensaries open by the end of the year, they\u2019re going to need to have a product. And I think it makes sense that that product is grown in the state of New York, and because there are already existing New York farmers with licenses as hemp growers for, in some cases, more than two years \u2013 because it\u2019s been legal to consume for the last four \u2013 it makes sense to start there. So I think that was the exact right thing to do.<\/p>\n I know for a fact that there are a lot of people who would love to be in the space that these hemp growers are going to have the opportunity to be in, but I also know for a fact that it makes sense \u2013 since we\u2019ve created a brand new industry above ground in NY \u2013 to focus on New Yorkers first, as opposed to multi-state operators.<\/p>\n Can you tell me about the PAC that you recently established?<\/b><\/p>\n The PAC is established for the purpose of getting the broader community engaged in making sure that the intent of the legislation happens as it was drafted.<\/p>\n How has it been received so far?<\/b><\/p>\n So far, so good.<\/p>\n Who else in New York do you think is instrumental to progressive cannabis reform?<\/b><\/p>\n I think all electeds \u2013 any of them, particularly those at the local levels, I think they play a very big role here. I think the citizenry in general. I think particularly senior citizens who have been literally acculturated to the plant being criminalized, so there\u2019s a huge education process that needs to happen. I think the medical community as well as the pharmaceutical community need to be much more aware of the capacities of the plant.<\/p>\n I don\u2019t know if you have this issue in Syracuse, but in the Western New York area, there are people who have been \u2018gifting\u2019 marijuana for stickers \u2026 That\u2019s not gifting, that\u2019s selling marijuana, which is not legal yet, because there are no regulations in place.<\/p>\n And so, I think there\u2019s a lot of space for a lot of us to figure out what our roles are in terms of making sure this legislation is implemented in the correct way. I\u2019m not going to fault the people out there gifting in order to sell the product, because we\u2019re the ones who made it legal, and if we had acted faster, I don\u2019t think the market would have gotten as awry as it has. But that\u2019s just going to be the task of the Cannabis Control Board. Now you not only have to set up regulations, rules and policies, but you\u2019ve got to figure out how to rein in this market that\u2019s gone awry, because we let it, essentially.<\/p>\n What do you think about the idea of expanding provisional licensing beyond cultivators and processors?<\/b><\/p>\n There will be provisional licenses for dispensaries for equity businesses. At some point before the end of March, I\u2019m understanding that there will be regulations out for dispensaries. This will include the opportunity for equity businesses to get access to a dispensary before the end of the year.<\/p>\n In California right now there are concerns that the illegal market is out-competing the legal market. What do you think is being done in New York \u2013 MRTA and implementation of it \u2013 that could avoid a similar situation?<\/p>\n I think everything takes time, and there are people engaged in the illegal market now. They were last year, and they were 10 years ago. And so, they\u2019re not going to stop until they can see that there\u2019s a better product available to them, and they know what\u2019s in it. I think most consumers are interested in the best product, not necessarily the quickest product. I think it will take time, and I believe that, if you look at Canada, they\u2019re finally getting to the position where they\u2019re actually finally making more money at the government-operated facilities than underground. So it is a process, and it\u2019s not going to happen immediately.<\/p>\n Gov. Hochul announced the $200 social equity fund. Do you have any concerns about this fund?<\/b><\/p>\n I don\u2019t have any concerns about it at all. I believe it will end up being way more than $200 million, because, as you know, there\u2019s private investment included in this fund.<\/p>\n Are you for or against federal legalization before New York gets its adult-use cannabis market off the ground?<\/b><\/p>\n I\u2019m for it.<\/p>\n Why?<\/b><\/p>\n Mostly because of banking issues, and 280E issues, and people\u2019s ability to write off what they need to run their business just like any other business does. But the other reason is: it\u2019s a plant. It should have never been made illegal. And people should have never been incarcerated behind it. We have a lot of work cleaning up the lives that have been scarred over generations. And we don\u2019t need to see just one state government at a time, we need the federal government working on changing the direction of these people\u2019s lives. There is a residual impact, and we, quite frankly, see it living out on our streets every day. Particularly inner-city communities with homicides, and mental health issues, and distressed children, and children who can\u2019t do well in school, and grandmothers who are taking care of older children they can\u2019t handle. All these things are the result of criminalizing not just the plant, but people over 90 years. And so, absolutely the federal government should legalize it. It never should have made it illegal.<\/p>\n Is there anything else people should know about New York\u2019s coming adult-use market?<\/b><\/p>\n I think it\u2019s just important for people \u2013 particularly Black and Brown people who really don\u2019t believe that this is an opportunity for them to get access to creating a business above ground and growing generational wealth \u2013 that they just need to get themselves ready, because this is that opportunity. Much like if you were going to open a bakery, you would start to do planning, you would do all the planning around everything that you would need for that business. You need to do the same thing in the cannabis industry, should you have the desire to be in it. There are a number of organizations in most communities across the state that have organized themselves to help people to do that, and quite frankly, if people in and around Syracuse or any other part of the state can\u2019t find somebody to help them \u2014 call me. I\u2019ll try to figure out how to find somebody to help them. Every opportunity in this above-ground industry does not involve touching the plant.<\/p>\n by Don Cazentre<\/b>, Syracuse.com<\/p>\n The Cayuga homeland lies in the Finger Lakes region along Cayuga Lake.<\/p>\n<\/div>\n<\/div>\n The Cayuga Nation<\/a> recently started selling recreational-use marijuana at its retail shops along both sides of Cayuga Lake. Now the Indian nation is branching out into cultivating its own crop.<\/p>\n The Cayugas say they will grow marijuana indoors in a 15,000 square foot building under development on their Gakwiyo Garden property, just off Route 414 south of the village of Seneca Falls. They hope to have it operating before the end of the year.<\/p>\n The Cayugas, whose ancestral homeland is centered on the north end of Cayuga Lake, have been selling marijuana since last fall at the tribal Lakeside Trading shop <\/a>in Union Springs (Cayuga County) and the Cayuga Corner Store on Route 89 near Seneca Falls (Seneca County).<\/p>\n The new businesses join the nation\u2019s existing Arrowhead Hemp<\/a> enterprise, which has been producing and selling non-THC cannabis hemp products like CBD.<\/p>\n \u201cSimilar to the Nation\u2019s other economic development initiatives, cannabis presents an opportunity to generate economic growth for the Nation and its members, while creating jobs for the community,\u201d the Cayugas said in a statement released this week. \u201cDeveloping our cannabis business is the next step in expanding and diversifying the Cayuga Nation\u2019s economic opportunities and providing long-lasting benefits to the community.\u201d<\/p>\n The Cayugas\u2019 entry into marijuana comes as New York state continues to work through the launch and licensing of recreational marijuana businesses outside of sovereign Indian nations.<\/p>\n New York legalized the possession of small amounts of recreational marijuana as of April 1, 2021. It took months to set up the regulatory agency (the state Office of Cannabis Management<\/a>) that is writing the rules and regulations for legal marijuana businesses.<\/p>\n The state recently approved a law that speeds up licensing for planting and growing marijuana,<\/a> so seeds can be planted this year. Licensing for processing and selling is still months away.<\/p>\n But several of the state\u2019s Indian nations, including the Cayugas, Senecas and Akwesasne Mohawks, have already set up, or at least allowed, marijuana businesses on their territories. They cite the sovereignty of their nations in starting ahead of state licensing.<\/p>\n That\u2019s not the only distinction for the tribal marijuana businesses. The state\u2019s marijuana law prohibits businesses in most cases from obtaining both retail (sales) licenses and growing \/ processing licenses, to prevent \u201cvertical monopolies.\u201d There is a limited exception for the existing medical marijuana licensees.<\/p>\n The Cayugas say their tribal sovereignty allows them to operate both retail and processing (growing) businesses.<\/p>\n \u201cAs a sovereign nation, the Cayuga Nation can grow and sell cannabis within its reservation\u2019s boundaries,\u201d the Cayuga\u2019s statement said.<\/p>\n Freeman Klopott, spokesman for the Office of Cannabis Management, previously told syracuse.com<\/a> \/ NYUP.com<\/a> that \u201cdispensaries (marijuana shops) are legal if they are on federally recognized, sovereign tribal land.\u201d He also said the OCM \u201chas the ability to enter into agreements with tribes through tribal compacts to integrate them into the state program if all parties can agree to terms,\u201d though no such agreements exist yet.<\/p>\n The Cayugas said they are working with Bergmann,<\/a> a Rochester architectural design firm, to develop the growing facility. \u201cThe Nation is finalizing the blueprints before beginning the build \u2014 working closely with Bergmann to ensure the grow center meets all standards for security, safety and quality,\u201d the Nation said in its news release.<\/p>\n Jake Brewer, who has experience as head grower for a Colorado cannabis company, will oversee development of the Nation\u2019s cannabis businesses.<\/p>\n \u201cOur vision for the future of the Cayuga Nation remains focused on bettering the lives of our members, our community, and our neighbors,\u201d the Cayugas said in their statement. \u201cAs we venture forward in our economic development, we remain committed to working closely with local governments to ensure the health and safety of our community.\u201d<\/p>\n by Jonathan Salant<\/b>, NJ.com | @JDSalant<\/a><\/p>\n The U.S. Capitol is seen behind the U.S. flag, Ukrainian flag and the flag of Washington, D.C., in Washington, Tuesday, March, 1, 2022.<\/p>\n<\/div>\n<\/div>\n Supporters of ending the federal ban on marijuana said the odds of cannabis legislation passing this Congress just grew longer.<\/p>\n That\u2019s because the war in Ukraine<\/a> is occupying the time and attention that lawmakers otherwise could put to legislation such as issues such as the Marijuana Opportunity Reinvestment and Expungement Act<\/a>, or MORE Act, and the Secure and Fair Enforcement Act,<\/a> or SAFE Banking Act.<\/p>\n \u201cI am concerned that as Congress has a limited bandwidth to address things, this will bump marijuana off the agenda,\u201d veteran marijuana lobbyist Justin Strekal said. \u201cCongress has not demonstrated a strong ability to walk and chew gum at the same time.\u201d<\/p>\n Overhauling federal cannabis laws has never been a top priority either in the White House or Capitol Hill, and the issue already had to compete efforts to combat the coronavirus pandemic<\/a>, jump-start the economy<\/a> following the last recession, rebuild the nation\u2019s infrastructure<\/a>, address inflation, lower child care costs<\/a>, improve health coverage, fight climate change and reduce prescription drug prices.<\/p>\n Now add Ukraine on top of that.<\/p>\n \u201cI expect it\u2019s going to have a significant impact in terms of consideration of cannabis policy reform,\u2019\u2019 said Morgan Fox, political director for NORML, the National Organization for the Reform of Marijuana Laws. \u201cWith all of the other issues going on, it\u2019s worrisome.\u201d<\/p>\n The House has passed SAFE Banking as a stand-alone bill<\/a> as well as added it as an amendment to other pieces of legislation, most recently a measure<\/a> providing federal assistance to help U.S. manufacturers better compete with China.<\/p>\n But the Senate hasn\u2019t been willing to pass the legislation, which would let banks provide financial services to legal cannabis businesses without a restorative justice section. A group of senators, including Cory Booker, are trying to put together their own comprehensive cannabis bill.<\/p>\n The Marijuana Justice Coalition, whose members include Leadership Conference on Civil and Human Rights, American Civil Liberties Union and the United Food and Commercial Workers Union, this week urged House Democratic leaders<\/a> to bring the MORE Act up for a vote by the end of the month.<\/p>\n \u201cMass criminalization and over-enforcement of drug law violations have devastated the social and economic fabrics of entire communities, while also tearing apart the lives of millions of individuals and families,\u201d the group said in a letter.<\/p>\n \u201cAnd while Black, Latino, and Indigenous people have carried the brunt of marijuana criminalization, they have been shut out of the regulated marijuana marketplace due to these very same criminal records in addition to financial barriers to entry,\u201d they said.<\/p>\n by Sean Teehan<\/b>, NY Cannabis Insider | @SeanPTeehan<\/a><\/p>\n Connecticut Governor Ned Lamont signs into law the legalization of recreational-use marijuana on Tuesday, June 22, 2021, in Hartford, Conn. Lamont has signed the bill making Connecticut the 19th state to legalize recreational use of marijuana, which remains an illegal drug under federal law. (Mark Mirko \/Hartford Courant via AP)<\/p>\n<\/div>\n<\/div>\n Tri-state sister Connecticut started accepting lottery applications for prospective cannabis businesses early last month. The state will ultimately license up to 56 businesses in eight categories, plus an undetermined number of cultivators from areas disproportionately impacted by the war on drugs.<\/p>\n Connecticut\u2019s Department of Consumer Protection<\/a>, the state\u2019s main cannabis industry regulator, will use a lottery system to decide which business applications are reviewed for possible licensure. While New York\u2019s legalization law sets a goal of issuing 50% of its licenses to social equity applicants, Connecticut\u2019s law stipulates that half of them must go to social equity businesses.<\/p>\n For a state with a population of about 3.6 million, Connecticut appears to be issuing a small number of licenses in its first round. According to DCP, it will approve just 12 retail licenses (six general and six social equity) and 10 to delivery services.<\/p>\n The application period for each category lasts 90 days, according to DCP. The department opened applications for retail and disproportionately-affected cultivator licenses on Feb. 3, and the last application period \u2013 for transporter businesses \u2013 starts March 24.<\/p>\n by Sean Teehan<\/b>, NY Cannabis Insider | @SeanPTeehan<\/a><\/p>\n Delivery driver Frantz Cantave, left, gives a receipt as he delivers an order of recreational marijuana to Hilary Marcotte outside her home, Friday, July 16, 2021, in Boston. (AP Photo\/Elise Amendola)<\/p>\n<\/div>\n<\/div>\n After a 2016 statewide ballot initiative, Massachusetts became the first East Coast state to legalize adult-use cannabis. The Bay State\u2019s first recreational retail sales commenced about two years later.<\/p>\n Legal Massachusetts marijuana developed a reputation for sky high prices in the market\u2019s early days, with price tags about double<\/a> what customers in legal markets out west paid, according to the Boston Globe. Experts told the Globe in 2020 that high costs were largely a function of high taxes and a difficult licensing process that slowed the number of producers who could legally grow marijuana and retailers who could sell it.<\/p>\n As of this past fall, however, pot prices in Massachusetts were trending downward<\/a>, according to Commonwealth Magazine.<\/p>\nFear & Suspicion: NY\u2019s Legacy Cannabis Operators Eye a Legal Marketplace<\/h2>\n
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<\/div>\nThe importance of cannabis retail within communities<\/h2>\n
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<\/div>\nIntroducing Subtext<\/h2>\n
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How we got here<\/h2>\n
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<\/div>\nCrystal Peoples-Stokes talks provisional licensing, social equity and the tasks before the OCM<\/h2>\n
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<\/div>\nUpstate New York\u2019s Cayuga Nation expands its legal marijuana business<\/h2>\n
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<\/div>\nWar in Ukraine affects cannabis lobbying priorities<\/h2>\n
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<\/div>\nConnecticut<\/h2>\n
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<\/div>\nMassachusetts<\/h2>\n
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