Online Licensing Portal Opens to Growers of Adult-Use Cannabis

On March 15, 2022, Governor Kathy Hochul announced the opening of the portal to obtain an Adult-use Conditional Cultivator License to grow adult-use cannabis. Farmers who qualify and apply will pay a non-refundable $2,000 application and licensing fee.

To qualify for this license an applicant must have been

1.  an authorized industrial hemp research partner for the New York State Department of Agriculture and Markets;
2. cultivating hemp for its non-intoxicating cannabinoid content for at least two of the past four years; and
3. in good standing as of December 31, 2021, when the research program ended.

If an applicant does not meet these thresholds, it may not apply for an Adult-use Conditional Cultivator License.

The license allows farmers to grow adult-use cannabis outdoors or in a greenhouse for up to two years from the issuance of the license. Further, the license allows farmers to manufacture and distribute cannabis flower products without holding an adult-use processor or distributor license, until June 1, 2023. License holders are limited to one acre (43,560 square feet) of flowering canopy outdoors or 25,000 square feet in a greenhouse with up to 20 artificial lights. There is also an option to split between outdoor and greenhouse growing with a maximum total canopy of 30,000 square feet, as long as greenhouse flowering canopy remains under 20,000 square feet.

Holders of an Adult-use Conditional Cultivator License must meet certain requirements, including

1. engaging in safe, sustainable and environmentally friendly cultivation practices;
2. participating in a social equity mentoring program; and
3. entering into a labor peace agreement (an agreement that the applicant will not prevent a union vote by its workers in exchange for no labor action by a union) with a bona fide labor organization.

If you are a qualifying hemp farmer interested in pursuing an Adult-use Conditional Cultivator License, please contact us, and we will be happy to assist you in obtaining it. If you are not qualified but are interested in obtaining a cultivator license, please contact us so we can discuss preparations you can make with an eye toward New York fully opening up its Adult-use Cannabis licensing program.