Business
Long Island’s First Adult-Use Dispensary Opens To Huge Crowds
Four towns on the Island have been awarded licenses.
Long Island’s first legal recreational cannabis business cut its ribbon and opened its doors last week, marking another milestone in New York’s ever-expanding adult-use marijuana market.
The dispensary, called Strain Stars, opened on Saturday in Farmingdale, New York.
“It was a long way,” Kamaldeep Singh, an owner of the store, told local news station FOX5 New York. “And I’m happy we made it.”
According to the station, “hundreds” of customers lined up amid hot weather for the store’s grand opening.
News 12 Long Island reported that the grand opening “featured a DJ, food trucks and a ribbon-cutting ceremony.”
New York legalized recreational pot for adults aged 21 and older in the spring of 2021, when then-Gov. Andrew Cuomo signed legislation into law.
Parts of the measure took effect immediately––most notably, adults were permitted to smoke weed––but the state-regulated market has been slower to take shape.
After Cuomo resigned in August of 2021, Kathy Hochul became the state’s first female governor––and immediately made it a priority to get the adult-use cannabis program up and running.
The first legal adult-use dispensary opened late last year in Manhattan’s East Village neighborhood, and other retailers have since opened in Manhattan.
But other New York City boroughs, along with certain areas in upstate New York, have had to wait longer for their own legal weed businesses.
That was partly due to an injunction issued by a federal judge that precluded the state from issuing licenses to Brooklyn and western New York, among various areas.
But that injunction was partially lifted in March, clearing the way for the state to issue licenses in Brooklyn and elsewhere.
The first legal cannabis dispensary in the New York City borough of Queens opened that same month. And in addition to the opening of the business on Long Island, the Bronx, another NYC borough, opened its doors last week, too.
“New York is leading the nation in building a new cannabis industry that advances social justice and provides economic opportunity for those who have been harmed by the inequitable enforcement of cannabis laws,” Hochul said last week in a statement on the opening of the two stores. “With these new dispensaries opening in New York, we are providing safer product to New Yorkers, while furthering our ambitious goals for equity in New York’s cannabis laws.”
According to Hochul’s office, the opening of the retailers in the Bronx and on Long Island brought “the total of legal and licensed dispensaries in the State to 19.”
“As we witness the historic openings of The Bronx and Long Island’s first legal dispensaries, we celebrate a significant step towards equitable access to safer cannabis. This momentous occasion not only brings economic opportunities to these communities but also represents our commitment to fostering a responsible and inclusive cannabis industry. We look forward to the positive impact these dispensaries will have on Bronx and Long Island residents, as we continue to prioritize social equity, public health, and safety while expanding the cannabis market throughout New York State,” said Chris Alexander, Executive Director of the New York State Office of Cannabis Management.
Tremaine Wright, the chairwoman of the New York State Cannabis Control Board, said the openings were a credit to “the leadership of Governor Hochul.”
“These groundbreaking establishments not only provide safe and regulated environments for cannabis access but also serve as a testament to our commitment to fostering inclusive business opportunities. By supporting diverse entrepreneurs and ensuring equitable participation, we are paving the way for a vibrant and representative industry,” Wright said.
Source: https://hightimes.com/news/long-islands-first-adult-use-dispensary-opens-to-huge-crowds/
New Mexico regulators fined a cannabis operator nearly $300,000 and revoked its license after the company allegedly created fake reports in the state’s traceability software.
The New Mexico Cannabis Control Division (CCD) accused marijuana manufacturer and retailer Golden Roots of 11 violations, according to Albuquerque Business First.
Golden Roots operates the The Cannabis Revolution Dispensary.
The majority of the violations are related to the Albuquerque company’s improper use of BioTrack, which has been New Mexico’s track-and-trace vendor since 2015.
The CCD alleges Golden Roots reported marijuana production only two months after it had received its vertically integrated license, according to Albuquerque Business First.
Because cannabis takes longer than two months to be cultivated, the CCD was suspicious of the report.
After inspecting the company’s premises, the CCD alleged Golden Roots reported cultivation, transportation and sales in BioTrack but wasn’t able to provide officers who inspected the site evidence that the operator was cultivating cannabis.
In April, the CCD revoked Golden Roots’ license and issued a $10,000 fine, according to the news outlet.
The company requested a hearing, which the regulator scheduled for Sept. 1.
At the hearing, the CCD testified that the company’s dried-cannabis weights in BioTrack were suspicious because they didn’t seem to accurately reflect how much weight marijuana loses as it dries.
Company employees also poorly accounted for why they were making adjustments in the system of up to 24 pounds of cannabis, making comments such as “bad” or “mistake” in the software, Albuquerque Business First reported.
Golden Roots was fined $298,972.05 – the amount regulators allege the company made selling products that weren’t properly accounted for in BioTrack.
The CCD has been cracking down on cannabis operators accused of selling products procured from out-of-state or not grown legally:
- Regulators alleged in August that Albuquerque dispensary Sawmill Sweet Leaf sold out-of-state products and didn’t have a license for extraction.
- Paradise Exotics Distro lost its license in July after regulators alleged the company sold products made in California.
Golden Roots was the first alleged rulebreaker in New Mexico to be asked to pay a large fine.
Source: https://mjbizdaily.com/new-mexico-cannabis-operator-fined-loses-license-for-alleged-biotrack-fraud/
Four marijuana companies, including a multistate operator, have filed a lawsuit against U.S. Attorney General Merrick Garland in which they allege the federal MJ prohibition under the Controlled Substances Act is no longer constitutional.
According to the complaint, filed Thursday in U.S. District Court in Massachusetts, retailer Canna Provisions, Treevit delivery service CEO Gyasi Sellers, cultivator Wiseacre Farm and MSO Verano Holdings Corp. are all harmed by “the federal government’s unconstitutional ban on cultivating, manufacturing, distributing, or possessing intrastate marijuana.”
Verano is headquartered in Chicago but has operations in Massachusetts; the other three operators are based in Massachusetts.
The lawsuit seeks a ruling that the “Controlled Substances Act is unconstitutional as applied to the intrastate cultivation, manufacture, possession, and distribution of marijuana pursuant to state law.”
The companies want the case to go before the U.S. Supreme Court.
They hired prominent law firm Boies Schiller Flexner to represent them.
The New York-based firm’s principal is David Boies, whose former clients include Microsoft, former presidential candidate Al Gore and Elizabeth Holmes’ disgraced startup Theranos.
Similar challenges to the federal Controlled Substances Act (CSA) have failed.
One such challenge led to a landmark Supreme Court decision in 2005.
In Gonzalez vs. Raich, the highest court in the United States ruled in a 6-3 decision that the commerce clause of the U.S. Constitution gave Congress the power to outlaw marijuana federally, even though state laws allow the cultivation and sale of cannabis.
In the 18 years since that ruling, 23 states and the District of Columbia have legalized adult-use marijuana and the federal government has allowed a multibillion-dollar cannabis industry to thrive.
Since both Congress and the U.S. Department of Justice, currently headed by Garland, have declined to intervene in state-licensed marijuana markets, the key facts that led to the Supreme Court’s 2005 ruling “no longer apply,” Boies said in a statement Thursday.
“The Supreme Court has since made clear that the federal government lacks the authority to regulate purely intrastate commerce,” Boies said.
“Moreover, the facts on which those precedents are based are no longer true.”
Verano President Darren Weiss said in a statement the company is “prepared to bring this case all the way to the Supreme Court in order to align federal law with how Congress has acted for years.”
While the Biden administration’s push to reschedule marijuana would help solve marijuana operators’ federal tax woes, neither rescheduling nor modest Congressional reforms such as the SAFER Banking Act “solve the fundamental issue,” Weiss added.
“The application of the CSA to lawful state-run cannabis business is an unconstitutional overreach on state sovereignty that has led to decades of harm, failed businesses, lost jobs, and unsafe working conditions.”
Alabama regulators are targeting Dec. 1 to award the first batch of medical cannabis business licenses after the agency’s first two attempts were scrapped because of scoring errors and litigation.
The first licenses will be awarded to individual cultivators, delivery providers, processors, dispensaries and state testing labs, according to the Alabama Medical Cannabis Commission (AMCC).
Then, on Dec. 12, the AMCC will award licenses for vertically integrated operations, a designation set primarily for multistate operators.
Licenses are expected to be handed out 28 days after they have been awarded, so MMJ production could begin in early January, according to the Alabama Daily News.
That means MMJ products could be available for patients around early March, an AMCC spokesperson told the media outlet.
Regulators initially awarded 21 business licenses in June, only to void them after applicants alleged inconsistencies with how the applications were scored.
Then, in August, the state awarded 24 different licenses – 19 went to June recipients – only to reverse themselves again and scratch those licenses after spurned applicants filed lawsuits.
A state judge dismissed a lawsuit filed by Chicago-based MSO Verano Holdings Corp., but another lawsuit is pending.
Source: https://mjbizdaily.com/alabama-plans-to-award-medical-cannabis-licenses-dec-1/
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