On Friday, October 28, 2022, with no announcement, publicity or advance warning, the Workplace of Hashish Administration (OCM) launched its “Guidance for Adult-Use Dispensaries” (the Rules). Though not expressly referenced within the title, the intent of releasing these laws is to offer steerage for Conditional Grownup-Use Retails Dispensary (CAURD) licensees and candidates.
All CAURD candidates ought to be taught the small print and necessities of the Rules. Regardless of the repeated references to “steerage” within the Rules, make no mistake, these are Rules that each licensees and candidates are required to comply with:
[CAURD] candidates could also be requested to submit the information and plans described on this steerage on the CAURD software and on the request of the [OCM]. Failure to submit, or refusal to submit, required supplies could topic CAURD candidates to denial or non-selection of the applicant for a CAURD license.
This can be a clear signal that the OCM is gearing as much as problem CAURD licenses and in step with Governor Hochul’s statement that adult-use retail dispensaries will open in 2022, in addition to Hashish Management Board Chairwoman Tremaine Wright’s assertion on the Luxury Meets Cannabis Conference that at the least one dispensary can be open in 2022.
The knowledge contained within the Rules is a mixture of substantive necessities, operational steerage and perception into the OCM’s plans for the issuance of licenses and operation of New York’s hashish trade. As put by the OCM:
[T]his steerage doc serves to offer the framework that can help [CAURD] licensees to plan for how you can function their dispensary earlier than laws are formally adopted. . . . This steerage doc offers readability on what the [OCM’s] expectations are in relation to these laws and legal guidelines at the moment in place and the laws that can be promulgated sooner or later.
There’s a LOT to unpack right here. To supply precise perception into the Rules’ varied classes, we’ll be publishing a five-part sequence on the Rules:
- Half 1: Retail Dispensary Operations
- Half 2: Gross sales
- Half 3: Hashish Stock
- Half 4: Supply and Distributions
- Half 5: Dispensary Bodily Necessities and Guidelines
The Rules have been posted on the CAURD licensing part of the OCM web site, so clearly the Rules have been drafted with CAURD licenses in thoughts. However it’s also obvious that the Rules would be the framework for all adult-use retail dispensaries in New York on condition that the bodily necessities monitor the Marijuana Regulation and Taxation Act.
One important growth that we simply can’t wait to touch upon: the OCM seems to be shifting away from its mandate that CAURD licensees function in State-leased areas. Part 23 of the Rules, titled “Location of Licensed Premises,” offers:
Sure retail dispensary licensees could also be permitted to pick the situation of the licensed premises or relocate the situation of the licensed premises.
The State-leased location requirement has been picked aside by us right here. We suspect that the issue and delay in leasing and constructing out dispensary areas is forcing the OCM to think about loosening the preliminary requirement that CAURD licensees function solely in State-leased areas.
Clearly New York’s hashish trade is creating shortly, together with with New York’s self-imposed deadline to start retail gross sales by the top of 2022. Keep tuned for Half 1 of our sequence on the Rules and additional developments in New York’s hashish trade!