NEW YORK — New York issued its first 36 cannabis dispensary licenses on Monday, taking a monumental step in establishing a legal — and lucrative — marketplace for recreational marijuana.
The licenses approved by the state's Cannabis Control Board were the first of 175 the state plans to issue, with many in the first round reserved for applicants with past convictions for marijuana offenses.
Eight nonprofit groups were among the 36 licensees granted Monday.
“I'm thrilled that we've approved the first adult-use retail licenses as part of the Seeding Opportunity Initiative, which sets our industry off on the right foot – with equity, justice, and sustainability at the forefront,” said Jen Metzger, Cannabis Control Board Member. “These entrepreneurs will be selling sun-grown cannabis cultivated with a minimal carbon footprint, and we must continue to ensure that New York's industry remains on an equitable and climateconscious path well into the future.”
Some of the dispensaries, selected from a pool of more than 900 applicants, are expected to open by the end of the year.
New York has also planned a $200 million public-private fund to aid “social equity” applicants to help redress the ravages of the war on drugs, especially in communities of color.
“Today is a monumental day for New York’s nascent cannabis industry. With the first adult-use retail dispensary licenses in the hands of businesses and eligible nonprofits, we’ve ensured the first sales will be made at dispensaries operated by those impacted by the unjust enforcement of cannabis prohibition,” said Tremaine Wright, who chairs the Cannabis Control Board.
"The announcement of the awardees of the first round of Conditional Adult Use Retail Dispensary licenses presents an exciting opportunity for many people most harmed by New York's historical inequitable enforcement of cannabis laws," said Assembly Majority Leader Crystal Peoples-Stokes. "I commend Governor Hochul, the Cannabis Control Board, and the Office of Cannabis Management for taking steps to implement the social equity vision of the Marijuana Regulation and Taxation Act properly and look forward to continuing to ensure that New York's cannabis industry is as fair, inclusive, safe, and robust as possible."
A court ruling earlier this month has delayed the board from approving dispensaries in some parts of the state amid a legal dispute over licensing criteria. Nevertheless, officials said they would issue the remaining licenses as quickly as possible.
With the first licenses now issued, it remained to be seen whether officials would step up their efforts to go after scores of unauthorized dispensaries opened in the past year by people who shrugged at licensing requirements.
New York legalized recreational use of marijuana in March 2021 but is still in the process of licensing people to sell it.
The cannabis board also advanced proposed regulations for the sale of marijuana, with a focus on public health, product quality and safety and preventing those under 21 from buying cannabis.