Gov. Hochul Orders Review and Revamp of NY Cannabis Management Agency
New York Governor Kathy Hochul has mandated a detailed examination of the Office of Cannabis Management (OCM), aimed at addressing the slow pace of the state's cannabis retail licensing process and the proliferation of unlicensed shops. The review will be led by Jeanette Moy, Commissioner of the State Office of General Services, who will work closely with the OCM for at least a month to accelerate the permitting process.
The state's first legal cannabis licenses were issued in 2022, but the rollout has been stymied by legal disputes and bureaucratic challenges. With fewer than 40 licensed cannabis retailers operational in New York City, compared to an estimated 2,500 unlicensed ones, the review seeks to identify and rectify bottlenecks within the OCM's organizational structure, processes, and systems.
Governor Hochul's initiative reflects an acknowledgment of the need for improvement, and the review will consider policy, procedure, and regulation modifications within the bounds of the Marijuana Regulation and Taxation Act (MRTA). The intention is to establish a more efficient licensing system that could facilitate the opening of additional legal dispensaries. The review could potentially lead to the involvement of external consultants to further refine the agency's strategies and operations.
The urgency of the situation is underscored by the economic impact on licensed cannabis businesses and the growing concern over the vast number of illegal operations. Stakeholders and industry experts are advocating for swift action to ensure that legal dispensaries can commence operations as soon as possible, thereby establishing a robust, regulated market in New York.
