New York Cannabis Regulatory Chief to Resign Amid Program Overhaul

LOS ANGELES- Chris Alexander, the Executive Director of New York’s Office of Cannabis Management (OCM), is set to resign at the end of his three-year term in September, as announced by Governor Kathy Hochul. The announcement, made during a news conference that Alexander did not attend, comes at a time when New York is poised to revamp its adult-use cannabis program, aiming to address ongoing challenges and inefficiencies.

Governor Hochul has expressed dissatisfaction with the state’s cannabis industry rollout, labeling the process, which has been fraught with lawsuits and significant delays, as a “disaster.” She pointed out that these hurdles have inadvertently benefited and possibly expanded the state’s illicit cannabis market.

The timing of Alexander’s departure aligns with the release of a comprehensive review of the cannabis industry, commissioned by Governor Hochul in March and reported by the Associated Press. The review criticizes the OCM’s performance, highlighting difficulties in balancing the state’s social equity goals with its licensing and administrative responsibilities. It described the OCM as a “mission-driven policy start-up” that has struggled to transition into a mature regulatory entity.

Further complicating the OCM’s efforts are issues such as a lack of experience among senior leadership and frequent alterations to the licensing process, which resulted in approximately 90% of applications needing corrections, thereby causing additional delays.

The report recommends several corrective measures, including increasing staff to expedite license processing, streamlining the application procedures, and initiating public “listening sessions” to address grievances about the licensing process. These steps aim to refine the regulatory framework and enhance the efficacy of New York’s cannabis program as the state seeks to stabilize and grow this emerging industry.