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Medical cannabis businesses in New York seeking to participate in the adult-use market could face a $15 million licensing fee under a proposal in the state budget, Capitol Pressroom reports. Katie Neer, who is of counsel at Dickinson & Avella and represents the New York Medical Cannabis Industry Association, told the Pressroom that a $5 million fee for three co-located shops, paid over time, would be “feasible” — but a $15 million fee is not.
“If they codify this fee at $15 million, we won’t have a medical program within three months.” — Neer to Capitol Pressroom
According to state data, as of May 1, there are 92,967 registered medical cannabis patients in New York and 39 registered medical-only dispensaries; however, seven of those businesses are listed as “temporarily closed.”
Neer said that Gov. Kathy Hochul (D) is “insisting” on the new fee structure and won’t negotiate with lawmakers despite members from her party controlling both chambers of the legislature.
Neer added that if the fee were $5 million – instead of $15 million – the state would still collect $100 million from 20 operators and still be able to “implement their social and economic equity obligations” required under the state’s adult-use law.
“The way they’re playing this, I think they at most get $6 million in additional fees paid to them, and that’s it,” she said. “And they will kill the medical program.”
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TG joined Ganjapreneur in 2014 as a news writer and began hosting the Ganjapreneur podcast in 2016. He is based in upstate New York, where he also teaches media studies at a local university.
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“}]] Medical cannabis businesses in New York seeking to participate in the adult-use market could face a $15 million licensing fee under a proposal in the state budget, Capitol Pressroom reports. Katie Neer, who is of counsel at Dickinson & Avella and represents the New York Medical Cannabis Industry Read More
