New York Cannabis Control Board Faces Challenges in Retail Market Rollout

NEW YORK– The New York Cannabis Control Board recently convened a meeting filled with action and key decisions, including the approval of 36 new retail permits. However, the board faced challenges related to the slow pace of retail openings, the resignation of a board member, and the delay in discussing proposals for cannabis farmers markets.

Member Reuben McDaniel, who also serves as CEO of the Dormitory Authority of the State of New York (DASNY), resigned during the meeting. Although the reason for his departure was not specified, criticism of his dual roles has been mounting. McDaniel assured that DASNY would continue to support the Cannabis Control Board and the Office of Cannabis Management in their endeavors.

The meeting commenced with the unanimous approval of 36 conditional adult-use retail dispensary permits, bringing the total number of retail licensees to 251. However, only 13 retailers are currently operational, with two more expected to open soon. The slow pace of retail openings has created pressure on licensed growers, who struggle to find legal channels to sell their cannabis products.

An agenda item regarding farmers markets, which could provide growers a direct avenue to sell to consumers, was removed from the meeting agenda due to unpreparedness by the Office of Cannabis Management’s legal team. However, Chief Equity Officer Damian Fagon assured the board that staff would have solid proposals ready by the end of the following week, prompting discussions about scheduling a special meeting.

CCB Chairwoman Tremaine Wright expressed support for finding solutions to help farmers offload their crops, such as transitioning to microbusiness licenses or launching farmers markets. However, Wright acknowledged the need to address legal concerns and potentially reassess the market rollout structure.

During the meeting, several farmers voiced their financial struggles and emphasized the urgency of finding buyers for their unsold crops. The Cannabis Association of New York (CANY) and industry representatives endorsed the farmers market concept and urged swift implementation.

State Rep. Crystal Peoples-Stokes, a key figure in New York’s recreational marijuana legalization and social equity program, encouraged stakeholders to have patience with the process and system. Peoples-Stokes acknowledged the challenges faced by those impacted by the war on drugs and emphasized the need for sustainable businesses.

While the New York Cannabis Control Board faces hurdles in the retail market rollout, there is a shared commitment to finding solutions that address the concerns of licensed growers and advance the goals of the state’s cannabis program.