The lawsuit filed by Variscite in September 2022 challenged how New York issued licenses for recreational cannabis dispensaries. That challenge resulted in a temporary injunction by a federal judge in November that prevented licenses from being granted in Brooklyn, Central New York, the Finger Lakes region, the Mid-Hudson region and Western New York.

In March, a ruling from the U.S. Second Circuit Court of Appeals lifted that injunction except for the Finger Lakes region.

General Counsel Linda Baldwin informed the Control Board that if approved by a federal judge, the settlement would end a court injunction preventing the state from granting Conditional Adult Use Retail Dispensary (CAURD) licenses to businesses in the Finger Lakes region, “The board has seen the confidential settlement agreement which will be filed later this week, which at that time will become public. But, one of the conditions of the settlement was to grant the plaintiff in that case, the one that had applied for a CAURD license, an adult use licence when those licenses become available. And those were terms we could agree upon in order to move forward with the full CAURD program.”

According to the Syracuse Post-Standard, the settlement would allow the OCM to fully launch the CAURD licensing program, but the state is also litigating a lawsuit filed by a coalition that includes some of New York’s medical cannabis companies. Plaintiffs in that case are asking a judge to compel state regulators to open up licensing for all retail dispensary applicants immediately.

That’s according to Governor Kathy Hochul in comments to news media on Tuesday.

The budget was originally due April 1.

State lawmakers and Hochul are continuing to discuss issues that would enable the state to address the sale of illegal cannabis sales in the state as well as expand charter schools in New York City.

The budget is expected to include a ban on new natural gas hookups by 2026 in new construction in the state.

Hochul said on Tuesday the measure was necessary to address climate change.

Meanwhile, New York State Republican legislators are celebrating a Federal court ruling Tuesday in California that said Berkeley, California’s ordinance banning natural gas hookups in new buildings is preempted by the federal Energy Policy and Conservation Act.

Officials have previously agreed to changes to New York’s cashless bail law that would provide judges with more discretion in setting bail for criminal case.

Hochul’s housing plan was rejected by lawmakers, but she said she wants to continue pushing elements of it after the budget is given final approval in the remaining weeks of the session.

Lawmakers and Hochul also have tentative deals for increasing the state’s minimum wage to $17 an hour in the coming years and funding universal free school meals.

(Photo by NHTSA)

Law enforcement will be stepping up patrols and targeting drug-impaired driving today.

The State Police, Department of Motor Vehicles, and the Governor’s Traffic Safety Committee remind motorists that driving under the influence of drugs and alcohol, including cannabis, is not only dangerous, it is illegal in New York State

The U.S. Department of Transportation’s National Highway Traffic Safety Administration (NHTSA) said if you’re planning to consume cannabis, do not drive. Designate a sober driver who won’t be consuming or use public transportation or a ride-sharing service.

According to NHTSA, between 2009 and 2018, of those drivers killed in crashes and tested, the presence of cannabis had nearly doubled.

In 2018, 46 percent of drivers who were killed in crashes and were tested for drugs, tested positive.

In every U.S. state and territory, it is illegal to drive under the influence of drugs — no exceptions.

The U.S. Court of Appeals for the Second Circuit modified an injunction that now “bars the issuance of conditional adult-use cannabis dispensary licenses only in the Finger Lakes Region.” Western New York, Central New York, Brooklyn, and the Mid-Hudson are no longer part of the injunction.

The case, Variscite NY One v. State of New York, had been holding up the New York State Office of Cannabis Management‘s CAURD or conditional adult-use retail dispensary program from rolling out statewide.

Variscite claimed the application process approved by the Office of Cannabis Management was unconstitutional and that their application was rejected because one of their principal applicant partners was convicted of a marijuana-related crime outside of New York State.

Governor Kathy Hochul said in a statement, “New York’s brand-new cannabis industry is making significant progress to promote social equity and right the wrongs of the past, creating the fairest and safest market in the nation.” She added, “For the first time, New Yorkers in nearly every region of the state will have access to safer, high-quality, adult-use cannabis products. I am committed to ensuring New York continues to lead the nation in our safe and equitable approach to the cannabis market.”

Western New York is set to receive 22 CAURD dispensaries as of March 3, when the state doubled the total number of locations statewide from 150 to 300.

WRFA’s Julia Ciesla-Hanley speaks with Jamestown Mayor Eddie Sundquist about details of his State of the City address including discussion on cannabis, an update of the City’s Zoning code, and more.

Eddie Sundquist

Tony Dolce (left) and Kimberly Ecklund

Jamestown City Council President Tony Dolce thought while the Mayor’s State of the City address had a lot of positive items, there were some concerns.

Mayor Eddie Sundquist released his 2023 State of the City address on Monday on the city’s website, jamestownny.gov.

Dolce said he wishes there was more focus by Sundquist on traditional economic development, “I know he spent a lot of time talking about the cannabis industry, which I know there are some opportunities there, I just wish he had focused a little bit more on like traditional downtown businesses and other traditional manufacturing developments, and plans to move forward with that.”

Dolce took issue with Sundquist’s statement at the beginning of the address about Jamestown being “on the brink of a control board” when he took office, “You know, having been around for as long as I have and worked with previous administrations and previous councils, we worked very hard over the years. And although we’ve been close to our constitutional tax limit and things have been tight, we’ve never been on the verge of financial collapse. So I just want to make sure people understand that the previous council, including this council as well, and the previous administration worked very hard to make sure that wouldn’t happen.”

Dolce said the fund balance, alone, was $4.8 million with an unassigned balance of $3.8 million at the beginning of Sundquist’s term in 2020, which isn’t a sign of fiscal distress.

Finance Committee Chair and Council Member at Large Kim Ecklund said she was disappointed that City Council’s involvement was not recognized more in the address, saying that it takes collaboration between Council and the administration for work to get done, “A little surprised, if you will, on the cannabis comments that sunk to the level of involvement that the City of Jamestown has been involved in because this council hasn’t had an update. So, I’m kind of a little blind on that one. I don’t really know what’s going on with that. Outside of that, we’ve made some great strides in a terrible time in COVID in his time as mayor. This certainly has been some great progress.”

Ecklund added she was grateful for the receipt of American Rescue Plan funds and what they’ve been able to do with that funding.

Dolce echoed that sentiment, saying the funds allowed the purchase of equipment, address capital needs, fund public safety, and help with housing issues, “You know, and trying to spread that all around. And that has given us the opportunity to obviously save some money out of the general fund to put toward other things, freeing up money for the budget.”

For 2023, Dolce said his goal is to continue working on getting out the remaining ARP funds to the community. He said addressing homelessness and helping neighborhoods are also in his goals.

Dolce added that he would like to hold another Town Hall meeting this Spring for members of the public.

The businesses were located at 214 Fairmount Avenue and 29 North Main Street.

Mayor Eddie Sundquist said in a release that the businesses had not received licenses to sell cannabis from the New York State Office of Cannabis Management.

A complaint sent to the Jamestown Department of Development against the businesses resulted in a Cease-and-Desist order sent to the businesses. After failure to comply, the businesses were closed.

Sundquist said in a statement, “I fully support legal cannabis and the potential for legal dispensaries in Jamestown. However, these businesses must comply with the law and have a license from the proper authorities. The illegal selling of a highly-regulated drug out of a storefront is completely unacceptable. Under my administration, we will enforce the law and shut down any business that is selling cannabis illegally.”

The new medical home-grow regulations will allow medical cannabis patients to grow up to six plants. Caregivers can grow for a maximum of four patients, or up to 12 plants. The regulations also say landlords may not refuse to lease to patients, or penalize them for legally growing weed.

The CCB also approved amendments to the state’s cannabinoid hemp program. The new rules create a new license type that allow approved hemp farmers to sell hemp flower they grow, and raise the maximum cannabinoid allowance per serving to 100 milligrams. The maximum allowance was previously 75 milligrams.

CCB members approved conditional licenses to 19 cultivators and 10 processors, bringing the number of businesses holding conditional cultivator and conditional processor licenses to 261 and 25.

In Chautauqua County, the businesses that now have conditional cultivator licenses include The ReLeaf Market LLC, Weaver Road Farms LLC, Fare Thee Well Farm, Inc., and Tadt Services LLC.

The State Office of Cannabis Management announced applications for Conditional Adult-Use Retail Dispensary (CAURD) licenses are now being accepted online. Licenses to sell adult-use cannabis will be awarded people who were most impacted by the enforcement of the prohibition of cannabis.

To be eligible for these licenses, applicants must:
• Have a marijuana-related offense conviction that occurred prior to the passage of the Marijuana Regulation and Tax Act (MRTA) on March 31, 2021, or have had a parent, legal guardian, child, spouse, or dependent with a pre-MRTA marijuana related offense conviction in the State of New York.
• And have experience owning and operating a qualifying business.

The application window will close on September 26, 2022. More information for applicants can be found at https://cannabis.ny.gov/caurd

Social Equity Impact Ventures, LLC, a minority-led investment team, will sponsor and manage the New York Social Equity Cannabis Investment Fund.

The Social Equity Cannabis Investment Fund, which was authorized as part of the 2022-2023 budget by Governor Hochul and the State Legislature, is a public-private limited partnership that will be formed to position social equity entrepreneurs to succeed in New York’s newly created adult use cannabis industry.

It will allow the state to invest in a private fund to finance the leasing and equipping of up to 150 conditional adult-use retail dispensaries in New York State to be operated by individuals who have been impacted by the inequitable enforcement of marijuana laws.

The Fund will help those who have a Conditional Adult Use Retail Dispensary License (CAURD) meet the costs of establishing adult-use cannabis retail dispensaries, including the identification and leasing of suitable retail locations and design, construction, and fit-out of the spaces. It is supported by up to $50 million in licensing fees and revenue from the adult-use cannabis industry and up to $150 million from the private sector that will be raised by the fund manager.

A second award for design and construction services to renovate existing spaces for adult-use retail cannabis dispensary facilities is expected to be announced in July.

Hochul also announced the appointment of new members to New York’s Cannabis Advisory Board.

The Cannabis Advisory Board will assist in creating the social and economic equity plan and will support the Cannabis Control Board in the development of regulations for the broader program. The Board’s primary purpose, however, is to oversee the disbursement of the New York State Community Grants Reinvestment Fund, a separate fund that will support communities disproportionately impacted by cannabis prohibition. This locally focused programming will include job training and placement, reentry services for justice-involved New Yorkers, system navigation services, youth-serving programs, financial literacy services and much more. The Fund will also be utilized to support the State’s equity goals on an ongoing basis.

Under the Cannabis Law, funds raised through taxes on cannabis products and from licensing fees are to be directed back to communities across New York with:
– 40% of those funds going to the New York State Community Grants Reinvestment Fund, which will be disbursed by the Cannabis Advisory Board.
– 40% will go directly to school districts in municipalities that did not opt-out of cannabis sales; and
– 20% will be targeted for drug treatment programs.