ALBANY — According to draft marijuana industry rules released by New York regulators on Sunday, the state’s ten existing medical marijuana companies are likely to spend upwards of $5 million dollars to sell into the recreational market, and wait at least three years before they can open any retail stores.
The full regulations, which span 282 pages, also include descriptions of a number of new licensing categories, as well as details on how the conditional license holders who are set to grow, process and sell the state’s first legal recreational weed will be able to apply for a permanent stake in the industry.
The Cannabis Control Board will review the draft rules on Monday. If adopted, the regulations will be open to public comment for 60 days.
Interest around the rules has swirled for over a year, and the state’s atypical regulatory structure that will separate most growers and processors from shop owners comes from the 2021 law that created a framework for the industry. But spokespeople and lobbyists for the 10 multi-state operators that service the state’s medical cannabis patients have been in ongoing conversations with regulators, who sought to prevent those large seed-to-sale businesses from kicking off New York’s recreational industry the way they have in many other states.
In addition to requiring the medical companies to pay a one-time $5 million fee to sell into the…
