Hochul criticizes CMO, promises to streamline cannabis licensing process

BUFFALO, N.Y. (WKBW) — Criticism came Friday from New York State’s top official over the Office of Cannabis Management (OCM).

In an effort to resolve the issues, Governor Kathy Hochul announced a plan to completely overhaul the MCO.

The governor promised to streamline the cannabis licensing process to get more New Yorkers involved in the legal market.

She also wants to create a new task force to shut down illegal cannabis producers and stores.

7 News is the voice of everyone and we know there are many opinions on this topic.

So, what do the voices of our local cannabis industry think of the governor’s new approach?

7 News’ Pheben Kassahun spoke to a farmer and a retail store to find out what changes they would like to see.

Kevin Halpin said: “CMO challenges mainly come from transparency. It is very difficult for us or any other licensee to have a good idea of ​​where we stand, especially in the licensing process.

Kevin Halpin is the chief financial officer of Empire Hemp Company CFO in Batavia.

He said the CMO is working as intended, but more could be done to create a functioning industry.

Halpin explained: “It’s broken in the entire supply chain, it’s broken in the economy, it’s broken in the relative enforcement of those who decided to try to operate in the way that as compliant as possible, compared to those who are flawed in each role. Frankly, the only people making money in the industry are those who have decided to forgo being a legal business and continue to operate in the black and gray market. »

Couple and co-owners Ashley Brown and John Duncan own 716 Cannabis Company in Blasdell.

The owners feel their cannabis dispensary hasn’t been given a fair chance.

“It’s not clear who is responsible for shutting down this place. Is it the local police, is it the state police. Is it the responsibility of the sheriff’s department, is it the OCM? Nobody doesn’t know,” Duncan said.

Brown added: “It’s very confusing for the community. It’s very difficult to advise them to go to a legal shop when they really don’t understand or even know the difference. Trying to teach them and break their old habits is a challenge for us.

Both companies shared their frustrations with Kassahun, but are hopeful as NYS attempts to distract OCM from its deep-seated problems, including limits on its ability to issue licenses.

“It’s fair to say that New York’s emerging cannabis industry has faced many challenges. Some of them beyond our control, like litigation with out-of-state companies trying to undermine our goals and set us back at least nine months and some are linked to challenges within my administration Governor Kathy Hochul said Friday: “I want you to know that the many others who have been let down, We’re starting to fix this now. These are the people the law was supposed to benefit and these are the New Yorkers we are fighting for.”

According to Hochul, these measures will be taken:

1. Launch an enforcement task force to shut down illegal cannabis retail stores.
2. Fix the internal licensing process and eliminate the backlog for retail establishments that needed to apply to site control.
3. Commit to having an SLA (Service Level Agreement) in place to enable completion of retail license applications within 90 days for future application windows.
4. Create new communications tools, including regulatory bulletins and public dashboards to improve customer service.
5. Launch of the OCM Cannabis Card to improve transparency around licensed retail outlets in summer 2024.
6. Added staff to licensing, compliance and enforcement teams.
7. Strengthen the agency’s foundation and leadership, including recruiting leadership positions for customer service, internal controls, auditing and operations.
8. Create a five-year strategic plan for the Office.

Duncan explained: “We just want to be able to have the same opportunities as other businesses. We are a legal business and cannabis deserves to come out of the shadows. This is why we are here. It’s important to do this and it’s difficult when a lot of normal avenues have been closed to you. »