NEW YORK — New York Governor Kathy Hochul issued a warning to those operating illegal cannabis operations in the stateion.
As part of the fiscal year 2024 budget, the governor announced new initiatives to shutdown any cannabis shop participating in illegal activities.
“Unlicensed dispensaries have littered New York neighborhoods, blatantly circumventing our laws and selling potentially dangerous products,” Governor Hochul said. “Enough is enough. I promised to protect our communities and hard-working, legal cannabis licensees by expediting the closure of illicit storefronts. I’m proud to stand up and say we got it done.”
"New Yorkers are fed up with illegal smoke shops and their unlawful business practices, but our administration worked hard to make our voices heard in Albany, and working with Governor Hochul and our state partners, we are proud to say we got it done. New York City will finally be able to use the full force of the law to inspect, enforce, and shut down illegal dispensaries. These measures, combined with our already robust enforcement efforts, will help keep the playing field level and push back against the quality-of-life issues that have resulted from the proliferation of illegal smoke shops. We will continue to work with our partners in Albany to give aspiring entrepreneurs, especially those who have been justice-involved, a chance to succeed," said NYC Mayor Eric Adams.
In this budget, the governor gives the Office of Cannabis Managment (OCM), as well as counties and cities across the state, the authority to padlock businesses that are selling illegal cannabis and/or post a threat or safety risk to consumers. Any cannabis business who patriciate in the following could risk having their shut down for:
• Sales to minors
• Unlicensed processing of cannabis
• Violent conduct
• Presence of unlawful firearms
• Proximity to schools, houses of worship or public youth facilities
• Products leading to illness or hospitalization
• Products not tested or labeled according to NY Law
Owners could face a penalty of the padlock is damaged or removed.
"The demand for legal, safer, tested cannabis products is high across the state as is the need to halt illicit stores from selling to minors. We applaud Governor Hochul, and the legislature for recognizing the urgency of this moment and empowering our investigators to padlock stores and shut them swiftly and efficiently," said Office of Cannabis Management Director of Enforcement Dan Haughney.
If a business also sells other items in addition to cannabis, such as alcoholic beverages, lottery tickets, tobacco or vaping products, they could lose their state licenses as well.
Assembly Majority Leader Crystal Peoples-Stokes said, “Licensed cannabis businesses will not thrive until unlicensed and illegal operations are shut down once and for all. These bad actors are not only stealing resources from our communities but putting people's health and safety in serious jeopardy. The Legislature and Governor recognize the urgency to resolve the problem and this Budget includes measures to immediately address it. I look forward to seeing padlocks on these dangerous doors as soon as possible.”
Counties and cities will be allowed to adopt their own laws related to regulating unlicensed cannabis businesses. The governor also announced the state is creating a task force to enforce civil penalties to close illegal stores.
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