Connect with us

Politics

New York Governor Includes Marijuana Legalization In New Budget Plan

Published

on

New York Gov. Andrew Cuomo (D) included marijuana legalization in his budget proposal on Tuesday, setting the stage for another reform push in the legislature as the 2020 session gets underway. The move comes as a new poll shows that voter support for ending cannabis prohibition is at its highest level ever in the state.

While Cuomo put a similar plan in his budget last year, he ultimately dropped it as it became clear that lawmakers could not come to an agreement on the finer points of legalization ahead of legislative deadlines. His administration is optimistic that this year will be different.

According to the new proposal, New York stands to receive $20 million in revenue for the 2021 fiscal year and $63 million in 2022, according to the governor’s projections. By 2025, the amount is expected to rise to $188 million.

Watch Cuomo discuss marijuana during his budget speech in the video below:

“Legalize adult use cannabis,” Cuomo said during his budget speech. “I believe it is best done in the budget. I said that last year. I believe the budget is the opportunity, frankly, to make some tough decisions and work through tough issues that without the budget can often languish, and I suggest that we get it done in the budget.”

Via NY Gov.

“This year Governor Cuomo is proposing a comprehensive regulatory approach to legalize cannabis, creating a new Office of Cannabis Management to specialize in cannabis regulation—overseeing the medical, adult-use and hemp programs,” his office said in a press release. “The proposal will administer social equity licensing opportunities, develop an egalitarian adult-use market structure and facilitate market entry through access to capital, technical assistance and incubation of equity entrepreneurs.”

“The proposal will also correct past harms to individuals and communities that have disproportionally been impacted by prohibition. To safeguard public health, the proposal limits the sale of cannabis products to adults 21 and over and establishes stringent quality and safety controls including oversight over the packaging, labeling, advertising and testing of all cannabis products. These efforts will be done in coordination with neighboring states Connecticut, New Jersey and Pennsylvania. The Governor will also propose creating a first of its kind Global Cannabis and Hemp Center for Science, Research and Education with SUNY and other expert partners.”

Under the proposal, there would be three levels of taxes. A 20 percent tax would be imposed on cannabis sold by any entity to a retailer. Cultivators would be taxed at $1 per dry weight gram for flower, trim would be taxed at $0.25 per dry weight gram and wet cannabis would be taxed at $0.14 per gram. Local jurisdictions with a population of at least one million people that allow marijuana businesses to operate would receive revenue from a separate, two percent tax.

“The Budget regulates and controls the production, distribution, transportation, and sale of cannabis, cannabis related products and medical cannabis within the NYS, for the purposes of fostering and promoting temperance in their consumption, to properly protect the public health, safety, and welfare and to promote social equity,” the proposal states.

The budget also calls for workforce increases at certain state agencies, including bolstering resources at the Division of Alcohol Beverage Control “to support the new Office of Cannabis Management (OCM).”

OCM will oversee a “first-in-nation comprehensive cannabis regulatory framework” that “centralizes all the licensing, enforcement and economic development functions in one entity.” It will “administer all licensing, production, and distribution of cannabis products in the adult-use, industrial, and medical cannabis markets,” according to the plan.

New York’s hemp regulators would also benefit from the budget proposal, with Cuomo calling for $1.1 million in “resources to support nine additional hemp oversight and inspection related staff.”

Cannabis reform has become a major issue for Cuomo, who only came to embrace legalization at the end of 2018 after he previously described marijuana as a “gateway drug.” Since then, he’s spent months negotiating with lawmakers about the specifics of an adult-use legalization bill, and he’s also helped arrange meetings with governors in the region to develop a plan for coordinated marijuana regulations.

While legalization didn’t come together last year, Cuomo did sign legislation expanding the state’s cannabis decriminalization policy and providing for expungements for those with prior marijuana convictions.

In his State of the State address earlier this month, the governor reiterated his commitment to legalizing marijuana in the Empire State, though he emphasized that the economic benefits “would be a hollow victory” if a legal system didn’t include social equity and restorative justice provisions.

The budget proposal aims to create a three-tier market structure—similar to how alcohol is distributed now— for the marijuana industry, and would generally prohibit vertical integration of businesses. That, along with licensing limits and supply management, are intended to “control market concentration and encourage social equity applicant participation,” the governor’s office said.

Technical assistance, training, loans and mentoring would be offered to marijuana business applicants that qualify under social and economic equity criteria.

Tax revenue would go toward implementation costs, traffic safety efforts and the social and economic equity plan, as well as substance misuse, harm reduction and mental health treatment and prevention programs, among other things.

Counties and cities with a population of 100,000 or more would be able to opt-out of allowing cannabis businesses in their jurisdictions.

Home cultivation of medical cannabis would be allowed, up to four plants per household, but recreational consumers would not be able to legally grow their own marijuana.

Cuomo’s proposal, or at least the idea of legalization in general, benefits from majority public support in the state, according to a poll that was released on Tuesday. The institute found that 58 percent of New Yorkers favor the policy change—the highest percentage reported in the state.

Via Siena College.

New York is one of several states where broad cannabis reform is expected to be taken up this year. In the Northeast alone, Rhode Island’s governor called for a state-run cannabis model in her budget plan, New Hampshire lawmakers plan to pursue non-commercial legalization and in New Jersey, the legislature approved a referendum to put the question of recreational legalization before voters during the November election.

Rhode Island Governor’s Budget Includes Legal Marijuana Sales In State-Run Stores

This story has been updated with further details about Cuomo’s proposal.

Photo elements courtesy of Metropolitan Transportation Authority and Carlos Gracia.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.

Kyle Jaeger is Marijuana Moment's Sacramento-based senior editor. His work has also appeared in High Times, VICE and attn.

Politics

Congressman Files New Marijuana Banking Reform Amendment To Large-Scale House Bill

Published

on

The House sponsor of a bill to protect banks that work with state-legal marijuana businesses announced on Friday that he is seeking to attach an amendment containing the reform to a broader bill dealing with research and innovation in the tech and manufacturing sectors.

Rep. Ed Perlmutter (D-CO), sponsor of the Secure and Fair Enforcement (SAFE) Banking Act, has expressed interest in finding another vehicle to pursue his proposal after it was stripped from a separate defense bill late last year. The congressman’s legislation has cleared the House in five forms at this point, only to stall in the Senate.

His latest attempt to get the reform enacted is by filing an amendment with the SAFE Banking language to the America COMPETES Act, which does not deal specifically with cannabis issues as drafted but was introduced in the House this week.

“Cannabis-related businesses—big and small—and their employees are in desperate need of access to the banking system and access to capital in order to operate in an efficient, safe manner and compete in the growing global cannabis marketplace,” Perlmutter, who is retiring from Congress after this session and committed to passing his bill first, said in a press release.

“The SAFE Banking Act is the best opportunity to enact some type of federal cannabis reform this year and will serve as the first of many steps to help ensure cannabis businesses are treated the same as any other legal, legitimate business,” he said. “I will continue to pursue every possible avenue to get SAFE Banking over the finish line and signed into law.”

It remains to be seen whether the America COMPETES Act will serve as a more effective vehicle for the cannabis banking bill than the National Defense Authorization Act (NDAA), where the language was successfully attached on the House side but later removed amid bicameral negotiations. Perlmutter said at the time that Senate leadership, which is working on comprehensive legalization legislation, was to blame for the decision to remove his amendment from the proposal.

The new SAFE Banking Act amendment will still need to be made in order by the House Rules Committee in order to be formally be considered on the House floor when the body takes up the research and innovation package. The deadline to file amendments was Friday, and the panel is set to take them up starting on Tuesday.

Even some Republicans are scratching their heads about how Democrats have so far failed to pass the modest banking reform with majorities in both chambers and control of the White House. For example, Rep. Rand Paul (R-KY) criticized his Democratic colleagues over the issue last month.

In the interim, federal financial regulator Rodney Hood—a board member and former chairman of the federal National Credit Union Administration (NCUA)—recently said that marijuana legalization is not a question of “if” but “when,” and he’s again offering advice on how to navigate the federal-state conflict that has left many banks reluctant to work with cannabis businesses.

Ohio Lawmakers Will Be Forced To Consider Marijuana Legalization As State Validates Activist Signatures

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.
Continue Reading

Politics

Ohio Lawmakers Will Be Forced To Consider Marijuana Legalization As State Validates Activist Signatures

Published

on

Ohio activists have collected enough signatures to force the legislature to take up the issue of marijuana legalization, the secretary of state’s office confirmed on Friday.

This comes about two weeks after the Coalition to Regulate Marijuana Like Alcohol (CTRMLA) submitted a final round of signatures for the measure. The petitions’ formal validation triggers the legislative review of legalization, but it does not require lawmakers to enact the reform.

The legislature now has four months to consider the campaign’s cannabis reform proposal. Lawmakers can adopt the measure, reject it or pass an amended version. If they do not pass the measure, organizers can then collect an additional 132,887 valid signatures from registered voters to place the issue on the ballot in November.

CTRMLA previously submitted petitions for the initiative but the state said they were short some 13,000 signatures, requiring activists to go back and make up the difference.

“We are ready and eager to work with Ohio legislators over the next four months to legalize the adult use of marijuana in Ohio,” CTRMLA spokesman Tom Haren said in a press release. “We are also fully prepared to collect additional signatures and take this issue directly to voters on November 8, 2022, if legislators fail to act.”

The measure that lawmakers will be required to consider would legalize possession of up to 2.5 ounces of cannabis for adults 21 and older, and they could also have up to 15 grams of marijuana concentrates. Individuals could grow up to six plants for personal use, with a maximum 12 plants per household.

A 10 percent sales tax would be imposed on cannabis sales, with revenue being divided up to support social equity and jobs programs (36 percent), localities that allow adult-use marijuana enterprises to operate in their area (36 percent), education and substance misuse programs (25 percent) and administrative costs of implementing the system (three percent).

A Division of Cannabis Control would be established under the state Department of Commerce. It would have authority to “license, regulate, investigate, and penalize adult use cannabis operators, adult use testing laboratories, and individuals required to be licensed.”

The measure gives current medical cannabis businesses a head start in the recreational market. Regulators would need to begin issuing adult-use licenses to qualified applicants who operate existing medical operations within nine months of enactment.

The division would also be required to issue 40 recreational cultivator licenses and 50 adult-use retailer licenses “with a preference to applications who are participants under the cannabis social equity and jobs program.” And it would authorize regulators to issue additional licenses for the recreational market two years after the first operator is approved.

Individual municipalities would be able to opt out of allowing new recreational cannabis companies from opening in their area, but they could not block existing medical marijuana firms even if they want to add co-located adult-use operations. Employers could also maintain policies prohibiting workers from consuming cannabis for adult use.

Further, regulators would be required to “enter into an agreement with the Department of Mental Health and Addiction Services” to provide “cannabis addiction services,” which would involve “education and treatment for individuals with addiction issues related to cannabis or other controlled substances including opioids.”

With respect to social equity, some advocate are concerned about the lack of specific language on automatic expungements to clear the records of people with convictions for offenses that would be made legal under the legislation. That said, it does include a provision requiring regulators to “study and fund” criminal justice reform initiatives including expungements.

Ohio voters rejected a 2015 legalization initiative that faced criticism from many reform advocates because of an oligopolistic model that would’ve granted exclusive control over cannabis production to the very funders who paid to put the measure on the ballot.

Activists suspended a campaign to place another measure on the 2020 ballot due to the coronavirus pandemic.

Aside from the new voter initiative, state lawmakers from both parties are separately working to advance marijuana reform.

A legalization bill that was the first of its kind to be introduced in the Ohio legislature last year would legalize the possession, sale and cultivation of cannabis by adults. It’s being championed by Reps. Casey Weinstein (D) and Terrence Upchurch (D).

A pair of Ohio Republican lawmakers similarly filed a bill to legalize marijuana in the state in December. Reps. Jamie Callender (R) and Ron Ferguson (R) first announced their plan to push the legislative reform proposal in October and circulated a co-sponsorship memo to build support for the measure.

There are also additional local reform efforts underway in Ohio for 2022.

After voters in seven cities approved ballot measures to decriminalize marijuana possession during last November’s election—which builds on a slew of previous local reforms in the state—campaigns are now looking to enact decriminalization in Marietta, Rushville, Rutland, Shawnee, McArthur and Laurelville.

Ohio marijuana activists already successfully proved that they turned in enough valid signatures to put a local decriminalization initiative before Kent voters after having missed the 2021 ballot due to a verification error on the part of county officials. That measure is now expected to go before voters this November.

Top Federal Drug Official Says Marijuana Use ‘Stable’ Among Youth At Prohibitionist-Hosted Panel Sponsored By D.A.R.E.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.
Continue Reading

Politics

Top Federal Drug Official Says Marijuana Use ‘Stable’ Among Youth At Prohibitionist-Hosted Panel Sponsored By D.A.R.E.

Published

on

A top federal drug official participated in a panel hosted by a prohibitionist group and sponsored by D.A.R.E.—and she again reiterated that data shows youth marijuana use has remained stable “despite the legalization in many states.”

While National Institute on Drug Abuse (NIDA) Director Nora Volkow expressed concerns about certain cannabis trends related to potency, commercialization and use by pregnant women, she affirmed that surveys funded by her own federal agency have demonstrated that adolescent marijuana use is “stable,” despite repeated arguments from prohibitionists that legalization would lead more young people to experiment with cannabis.

The event was hosted by Smart Approaches to Marijuana (SAM), an anti-legalization group. SAM President Kevin Sabet and the organization’s co-founder former Rep. Patrick Kennedy (D-RI) led the discussion.

Sabet said that data on youth use has showed varying results in states that have legalized cannabis and asked Volkow to weigh in on the issue. She replied that federal data “have not been able to see large differences in terms of prevalence” of cannabis consumption among young people in legal and non-legal states.

The official made similar comments in an interview with Marijuana Moment late last year.

That said, Volkow said that they have seen some differences when it comes to consumption rates among adolescents for edible cannabis products.

“But the effects are not large, and one of the things that also certainly surprised me [is] the rate overall, the prevalence rates of marijuana use among teenagers, have been stable despite the legalization in many states,” she said, adding that there are some concerns about increased frequency of use and limitations in data collection with respect to dosages being taken.

Volkow also commented on a recent federally funded survey that found illicit drug use by young people has taken a significant plunge in the last year, though she largely attributed that to the reduced social interaction resulting from COVID-19 policies across the country.

“Interestingly what we’ve observed during the COVID pandemic is, across schools in the United States, the prevalence of drug use has gone down,” she said, “which likely very much reflects the fact that kids don’t have the opportunity to interact with others, and drug taking at that stage is a peer pressure behavior.”

The official also briefly addressed the fact that she feels criminalizing people over drugs in the first place is the wrong policy approach—a point she’s made repeatedly in interviews and blog posts.

She said that “criminalization has created a system for that allows a structural racism to be implemented, you can control people, and that’s a horrible policy. This criminalization actually opens up our eyes that well, yes, we need to change that.”

However, she said that “liberalizing and making the drugs widely available, with no counter messaging,” is not the alternative she would recommend.

While the SAM-hosted event did not touch specifically on psychedelics policy, Volkow has also recently discussed that issues, especially as data has shown an increase in use of the substances among adults.

She said people are going to keep using substances such as psilocybin—especially as the reform movement expands and there’s increased attention being drawn to the potential therapeutic benefits—and so researchers and regulators will need to keep up.

Volkow also mentioned that NIDA is “pleased” the Drug Enforcement Administration recently announced plans to significantly increase the quota of certain psychedelic drugs to be produced for use in research.

USDA Teams Up With Cornell University For Hemp Education Webinar Series

Photo courtesy of Philip Steffan.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.
Continue Reading
Advertisement

Marijuana News In Your Inbox

Support Marijuana Moment

Marijuana News In Your Inbox

Marijuana Moment