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Cannabis Cultivators License

What's New York cannabis cultivation license?

Are you looking to start a cannabis grow operation in New York? New York State will soon be issuing adult-use cultivator licenses which will permit the acquisition, possession, distribution, and sale of cannabis from the licensed premises of the adult-use cultivator by such licensee to duly licensed processors in the state of New York.

However, according to the Marihuana Regulation and Taxation Act, the New York State Cannabis Control Board may establish regulations allowing the holders of a marijuana cultivation license to perform certain types of minimal processing without the need for an adult-use processor license.

Cultivators (plating, growing, cloning, harvesting, drying, curing, grading and trimming) are required to obtain a separate license for each facility. Under a cultivation license, the licensee is permitted to undertake certain minimal processing activities without the need of obtaining a separate processor license. Cultivators may apply for and obtain one processor and one distributor license; however, licensees must obtain all three. For example, a cultivator cannot hold a distributor license without also obtaining a processor license. Like all other classes of adult-use licenses, cultivators are prohibited from holding a retail dispensary license.

Pursuant to the Act, a person holding a cannabis cultivation license may apply for one processor's license but will be unable to opt for a retail dispensary license. 

Restrictions on ownership for legal cannabis industry

As per section 34 of the Act, no holder of a cannabis cultivation license shall have a direct or indirect interest, including by stock ownership, interlocking directors, mortgage or lien, personal or real property, or any other means, in any premises licensed as cannabis dispensaries or in any business licensed as an adult-use cannabis retail dispensary or in any registered organization registered pursuant to article three, § 34 of the Act.

Also, a person that holds a cannabis cultivation license can't hold a license to distribute cannabis nor have a direct or indirect financial or controlling interest in more than one adult-use cultivator license.

How about Home Cultivation?

New York Adults that are 21 years and older can grow up to six plants in their home for personal use (3 mature plants and 3 immature plants and a maximum of twelve plants per household (6 mature plants and 6 immature plants, even if there are three or more adults over the age of 21 in the residence. However, these plants must grown be for personal use. 

Registered organization adult-use cultivator license

The Act establishes the “Registered organization cultivator license”, which would give the same authorization and conditions as a cultivation license New York, provided that sales of adult-use cannabis and cannabis products by such organizations shall be limited to licensed adult-use processors and such license does not qualify such organization for any other adult-use license.  

The Office of Cannabis Management (OCM) is charged with issuing adult-use cannabis licenses to participate in New York's adult-use, medical, and cannabinoid hemp industries. The OCM is developing regulations that will outline how a person or business can apply for and receive a license in the new adult-use cannabis industry. We will keep updating this page to provide further information on this matter as the state progresses.

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When you're ready to take the next step you can begin the process online. If you'd like to schedule a free, no-obligation consultation in my office you can call 24 hours a day, 7 days a week at 212-233-0666.

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