NEW YORK (1010 WINS) — Applications for New York marijuana dispensary licenses opened on Thursday and will be available first to people with prohibition-era cannabis convictions or their family members.
The Conditional Adult-Use Retail Dispensaries (CUARD) licenses are part of the Seeding Opportunity Initiative — that state’s cannabis equity program that prioritizes people impacted by the war on drugs.
“The modern cannabis industry that has emerged in the wake of prohibition is one characterized by steep barriers to entry that reward privilege and stifle opportunity… That’s why we’ve seen legal cannabis industries across the country dominated not by small local businesses but by multi-state corporations,” said Office of Cannabis Management Chief Equity Officer Damian Fagon at a press conference on Thursday. “New York is bucking that trend.”
“Legalizing cannabis itself was a monumental feat, as well as expunging past convictions, but those two acts alone are not enough to undo the harm and heal,” he continued. “We are here today to make sure those New Yorkers who saw their futures ruined because the government got it so wrong are now at the front of the line to benefit from when the government gets it right.”
The application period will last until Sept. 26, when the OCM will review submissions and reach out to the highest scoring applicants for next steps with the goal of first sales by the end of the year.
The Dormitory Authority of the State of New York, the state’s public construction financing agency, is currently working to identify suitable locations for dispensaries, and successful applicants will be paired with locations based on their regional preference.
“Just handing out licenses is half the battle,” said Reuben McDaniel, the president and CEO of DASNY, at the OCM's press conference. “The other half is assisting those licensees in getting up and operational in a way that is truly functional and represents the type of cannabis industry we want in the state of New York.”
DASNY will work with the first wave of between 100 and 150 equity licensees to set them up with real estate and “state of the art facilities,” according to McDaniel.
That government assistance could be particularly crucial for the success of cannabis entrepreneurs because banks have been trepidatious about financing marijuana businesses due to federal prohibition.
Those impacted by the war on drugs with business experience can apply for CUARD licenses on the OCM’s website over the course of the next month. After the first batch of applicants is selected, the state plans to expand who can access the licenses.
Ultimately, the OCM said its goal is to have half of all licensees fall under its “equity applicant” framework.
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