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Senate approves marijuana sales

After hours of debate, the state Senate has approved the sale of marijuana to those over the age of 21.

Legislative leaders in the state Senate and Assembly launched hours-long debates Tuesday afternoon. Senate voting ended around 7:30 p.m. Assembly debate continued much later into Tuesday evening.

Local governments could opt out of retail sales. New York would set a 9% sales tax on cannabis, plus an additional 4% tax split between the county and local government. It would also impose an additional tax based on the level of THC, the active ingredient in marijuana, ranging from 0.5 cents per milligram for flower to 3 cents per milligram for edibles. The legislation would take effect immediately if passed, though sales wouldn’t start until New York sets up regulations and a proposed cannabis board. Assembly Majority Leader Crystal Peoples-Stokes has estimated it could take 18 months to two years for sales to start.

“In the last two years, New York state under one-party-rule has pursued a politically-driven approach to lawmaking that is more concerned with appeasing special interests and earning progressive credentials than creating responsible, effective policies for our state,” said state Sen. George Borrello, R-Sunset Bay, who voted against the proposal. “Regrettably, we’ve gone down that road again with a poorly thought out measure legalizing marijuana for recreational use that was negotiated behind closed doors and without the input of key stakeholders. I believe we’ve made a profound mistake that will have serious economic and social costs for our state and residents. “

New York is the 16th state to legalize marijuana sales to adults and the third state where lawmakers, rather than voters, have approved legalization.

Borrello had been critical of the lack of funding for drug recognition experts as the legislation was discussed over the past few weeks. Drug recognition experts are police officers who use a 12-step evaluation process to identify the type of drug impacting a driver. There are about 343 drug recognition officers among 55,000 police officers statewide, he said. Borrello also said he was disappointed with rules that will allow those with past felony convictions to receive a license to sell marijuana, unlike liquor licenses that cannot be awarded to those with a felony conviction.

“While public polls may show support for legalizing recreational marijuana, it’s our job to ensure that it’s done responsibly — to tune out the noise and focus on good policy, while rejecting misguided ideas that only serve to placate special interests,” Borrello said. “The litmus test for any legislation should be whether it protects New Yorkers, first and foremost. This bill fails on that count. That is why I voted ‘no’.”

The legislation establishes adult-use license categories of cultivator, processor, distributor, retail medical cannabis registered organizations vertical, RO cultivator, microbusiness, on-site consumption, cooperative, delivery and nursery. Microbusinesses are authorized to have complete vertical integration, which includes producing, processing, distributing and retail. An adult-use cultivator would be able to obtain one processor, one distributor and one nursery license. Register organizations would be allowed to, after paying a one-time special fee, apply for a vertically integrated adult-use cultivator/processor/distributor/retail license, limited to no more than three co-located dispensaries.

A new state Cannabis Control Board, with the assistance of the chief equity officer and advisory board, will also be required to establish a social equity plan. The goal of this plan will be to issue 50% percent of licenses to social equity applicants, especially those impacted by the war on drugs, those who are low-income, those who have a marijuana-related conviction, as well as minority and women owned businesses (MWBEs), distressed farmers and service disabled veterans.

Much of the revenue from the legalization of adult-use marijuana will go to the Community Grants Reinvestment Fund, which will be administered by the Office of Cannabis Management advisory board and allocated to community based nonprofits to reinvest in communities disproportionately impacted by state and federal drug laws, as well as providing substance use disorder services, mental health services, services to address adverse childhood experiences, and afterschool and child care services. It will also support education through the state Lottery Fund and the Drug Treatment and Public Education Fund, which would require the Department of Health and Office of Addiction Services and Supports to establish substance use disorder treatment programs for youth and adults.

The legislation prohibits employers from taking adverse action against employees for the use of cannabis outside of work hours, off the employer’s premises and without the use of the employer’s equipment or other property. It also includes protections and procedures for adult-use cannabis as it relates to child protective investigations and reports, as well as custody and visitation rights in line with how alcohol is currently treated in law. It also includes protections for potential childcare employees and foster parents who are subject to background checks when cannabis related convictions, which are eligible for expungement under the criminal procedure law, are present on their background check. Finally, it removes the ability to file a petition for a person in need of supervision (PINS) based solely on certain levels of marijuana possession.

Individuals would be allowed to cultivate a total of six cannabis plants, consisting of three mature and three immature plants at their residence, and allows for a total of 12 cannabis plants per residence. Individuals would be allowed to possess up to five pounds of cannabis at their residence, stored securely.

We know that following legalization, states have seen concerning spikes in a number of problems, including marijuana-involved car accidents, marijuana use among teens and rates of mental illness. Figures like these are among the reasons why I remain opposed to taking this step,” Borrello said. ““However, while I am personally opposed to legalization, if New York is determined to head down this path, then I believe we have a responsibility to craft a law that mitigates the risks to New Yorkers to the greatest extent possible, with no loopholes or gray areas. Regrettably, this bill doesn’t meet that standard.”

Unlawful possession of cannabis would be defined as a person possessing, outside of one’s residence, more than three ounces of cannabis or 24 grams of concentrate, and punishable by a fine of up to $125. Possession by a person less than 21 years of age would be treated similarly to alcohol use- a $50 civil penalty payable to the OCM and such person would be provided with information on the dangers of the underage use of cannabis and information related to cannabis use disorder. The bill also establishes additional possession crimes, with penalties ranging from a class A misdemeanor to a class D felony.

Cannabis will be included in the Driving While Intoxicated (DWI) law, and driving while impaired by cannabis will be considered a misdemeanor. If the motorist under arrest refuses such a chemical test, that refusal – as under current law – can result in revocation of the driver’s license for one year. It establishes an unlawful sale crime when a person unlawfully sells cannabis or concentrated cannabis, punishable by a $250 fine, and establishes additional criminal sale crimes, with penalties ranging from a class A misdemeanor to a class C felony.

“I am proud to have fought so long for this legislation and to finally see it pass,” said Sen. Crystal Peoples-Stokes, D-Buffalo and Senate majority leader. “We are providing marijuana justice by ensuring investment into the lives and communities of those who suffered for generations as a result of mass incarceration. The results will be transformative for people across New York State – it will create economic and research opportunities, jobs across a wide variety of sectors, and a safe and reliable product.”

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