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Home»Legal & Policy»New York’s Adult Use Cannabis Cultivation Licenses
Legal & Policy

New York’s Adult Use Cannabis Cultivation Licenses

February 2, 2023Updated:February 2, 2023No Comments6 Mins Read
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Persevering with our collection on New York’s hashish guidelines and laws (the Guidelines), we’re breaking down all the things it’s worthwhile to know in regards to the cultivation licenses (try our different posts within the collection right here and right here). As a result of there may be a lot info packed into the regs, we’re doing this FAQ fashion.

Table of Contents

Toggle
  • What are hashish cultivation licensees licensed to do?
  • What are the hashish cultivation license tiers?
  • Can I apply for different licenses?
    • What are the hashish cultivation license charges?
    • Anything I ought to know?

What are hashish cultivation licensees licensed to do?

  • Purchase, possess, domesticate, trim, harvest, dry and remedy hashish at its licensed premises (emphasis added).
  • Promote hashish to a processor, microbusiness, cooperative, ROD (Registered Group with Dishing out), ROND (Registered Group Non-Dishing out) or a hashish analysis licensee.
  • Ship hashish to a processor, however maintain possession of the hashish.
  • If the cultivation licensee has a processor license, buy hashish from one other cultivator for processing.

There are additionally a ton of operational necessities when it comes to the precise hashish cultivation course of, together with labeling and monitoring necessities. We’ll dive into these guidelines in a later submit.

What are the hashish cultivation license tiers?

There are 4 totally different license sorts for cultivation: (i) out of doors; (ii) combined gentle; (iii) mixture (out of doors with combined gentle); and (iv) indoor.

Listed here are the tiers for indoor, mixed-light, or out of doors cultivation:

Tier I: As much as and together with 5,000 sf

Tier II: From 5,001 sf to 12,500 sf

Tier III: From 12,501 to 25,000 sf

Tier IV: From 25,001 to 50,000 sf

Tier V: From 50,001 to 100,000 sf

Listed here are the tiers for mixture out of doors with combined gentle licensees:

Tier I: As much as and together with 5,000 sf out of doors and a pair of,500 sf combined gentle

Tier II: From 5,001 sf to 12,500 sf out of doors and from 2,501 to six,250 sf combined gentle

Tier III: From 12,501 sf to 25,000 sf out of doors and from 6,251 sf to 12,500 sf combined gentle

Tier IV: From 25,001 sf to 50,000 sf out of doors and from 10,001 to fifteen,000 sf combined gentle

Tier V: from 50,001 sf to 100,000 sf out of doors and from 15,01 sf to 30,000 sf combined gentle

Can I apply for different licenses?

Sure, a processor license and one distributor license. However any True Get together of Curiosity (TPI) can solely be a TPI in a single cultivator licensee (this limitation doesn’t apply to passive buyers).

The Guidelines permit for cultivation TPIs to have possession in different “manufacturing aspect” licenses. As said within the Guidelines, “a cultivator or its true celebration of curiosity could also be a real celebration of curiosity in a processor, distributor, cooperative, microbusiness, or ROND license.

Non-ownership curiosity (i.e. landlords, financiers, or items and companies suppliers) is permitted for “manufacturing aspect” licenses, however no direct or direct pursuits are permitted for retail dispensaries, on-site consumption, supply, ROD, ROS, or hashish laboratory licensee or permittees.

What are the hashish cultivation license charges?

It is determined by the applicant’s tier. Right here is the breakdown:

Out of doors

Out of doors Tier I: $1,000 + $150/500 sq. toes of cultivation cover

Out of doors Tier II: $2,500 + $250/500 sq. toes of cultivation cover larger than 5,000 sq. toes

Out of doors Tier III: $6,250 + $350/500 sq. toes of cultivation cover over 12,500 sq. toes

Out of doors Tier IV: $15,000 + $500/500 sq. toes of cultivation cover over 25,000 sq. toes

Out of doors Tier V: $40,000 + $800/500 sq. toes of cultivation cover over 50,000 sq. toes

Combined Mild

Combined Mild Tier I: $1,500 + $290/500 sq. toes of cultivation cover

Combined Mild Tier II: $4,380 + $440/500 sq. toes of cultivation cover over 5,000 sq. toes

Combined Mild Tier III: $10,940 + $615/500 sq. toes of cultivation cover over 12,500 sq. toes

Combined Mild Tier IV: $26,250 + $875/500 sq. toes of cultivation cover over 25,000 sq. toes

Combined Mild Tier V: $70,000 + $1,400/500 sq. toes of cultivation cover over 50,000 sq. toes

Indoor

Indoor Tier I: $1,750 + $450/500 sq. toes of cultivation cover

Indoor Tier II: $6,250 + $625/500 sq. toes of cultivation cover over 5,000 sq. toes

Indoor Tier III: $15,630 + $880/500 sq. toes of cultivation cover over 12,500 sq. toes

Indoor Tier IV: $37,500 + $1,250/500 sq. toes of cultivation cover over 25,000 sq. toes

Indoor Tier V: $100,000 + $2,000/500 sq. toes of cultivation cover over 50,000 sq. toes

Mixture

Mixture Tier I: $1,250 + $150/500 sq. toes of cultivation cover

Mixture Tier II: $3,500 + $235/500 sq. toes of cultivation cover over 5,000 sq. toes

Mixture Tier III: $8,750 + $375/500 sq. toes of cultivation cover over 12,500 sq. toes

Mixture Tier IV: $21,000 + $585/500 sq. toes of cultivation cover over 25,000 sq. toes

Mixture Tier V: $56,000 + $860/500 sq. toes of cultivation cover over 50,000 sq. toes

Anything I ought to know?

The cultivation guidelines apply to conditional cultivator licensees and permit for a seemingly instant transition to both a Tier 4 out of doors license or a Tier 2 mixture license. Notably, conditional cultivators might be given precedence by the OCM in assessment of its software to full licensure.

Licensed cultivators can not broaden or scale back their cover dimension with out the OCM’s written approval. The Guidelines embody a number of approval elements:

  • The licensee’s cultivation historical past, together with whether or not the licensee bought greater than 85% of hashish it harvested in previous 6 months;
  • Whether or not the licensee’s crops or stock suffered a catastrophic occasion throughout the licensing interval;
  • The licensee’s hashish switch and gross sales historical past;
  • The licensee’s present stock and stock historical past; and
  • The licensee’s monitor report of compliance with the plans submitted as a part of its software.

The Guidelines additionally embody this fascinating wrinkle as a part of the license renewal course of: on the time of license renewal, the licensee is required to offer stock and manufacturing information as requested by the OCM throughout the 6 months previous to software for renewal. The CCB is then licensed to cut back the licensee’s most cover to a decrease tier if the licensee bought lower than 50% of what it harvested within the earlier 6 months.

As with all of our summaries of the adult-use guidelines and laws, that is solely a excessive stage abstract. We, as all the time, strongly advise that anybody who intends to use for a hashish license seek the advice of with a educated hashish lawyer.

Keep tuned for the subsequent submit in our collection on New York’s adult-use hashish guidelines and laws!

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