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US (NY): Final bill introduced to legalize, tax, and regulate adult-use

After rumors over the text of a cannabis legalization bill in the state of New York, an agreement was finally reached that allowed the release of the long-awaited legislation, the vote for which is expected in the coming week.

According to a press release by Governor Cuomo, the industry is estimated to generate about $350 million in tax revenue, as well as creating 30,000-60,000 jobs. “Legalizing adult-use cannabis isn’t just about creating a new market that will provide jobs and benefit the economy,” Cuomo said. “It’s also about justice for the long-marginalized communities and ensuring those who’ve been unfairly penalized in the past will now get a chance to benefit. I look forward to signing this legislation into law.”

The adult-use legalization in New York has been moving rather slowly, as lawmakers wanted the legislation to especially focus on social justice and equity, so to encourage those people disproportionately impacted by prohibition to participate in the cannabis industry.

Senator Krueger, Democrat – who was the main sponsor in the Senate of this bill – said in a press release that this legislation “will legalize adult-use cannabis in a way that foregrounds racial justice, while balancing safety with economic growth, encouraging small businesses and significantly diminishing the illegal market.”

The Marijuana Regulation and Taxation Act (MRTA) will establish the Office of Cannabis Management (OCM), which will be governed by a five-member board. This body will be responsible for enforcing regulations for medical and adult-use cannabis, operating as an independent office of the New York State Liquor Authority.

With regards to the licenses, a two-tier structure will separate growers and processors from also owning retail stores, thus allowing a bigger number of producers to participate in the industry.