NY Cannabis § 10 (2021)
2021 New York Laws CAN - Cannabis Article 2 - New York State Cannabis Control Board 10 - Powers and Duties of the Cannabis Control Board.

§  10.  Powers  and duties of the cannabis control board. The cannabis control board or "board" shall have the following functions, powers  and duties as provided for in this chapter:   1. Discretion to issue or refuse to issue any registration, license or permit  provided for in this chapter, as follows: the chairperson, after receiving a recommendation and relevant application information from the office and providing such information to all board members, shall  issue a  preliminary  determination  on  whether  the license, registration or permit shall be granted, denied, or  held  for  further  action.  Within fourteen  days of the chairperson's preliminary determination, any board member may object to the  chairperson's  preliminary  determination,  or request  the  matter be brought before the full board for consideration. Any preliminary determination  by  the  chairperson  shall  take  effect fourteen days after it has been issued by the chairperson, provided that no board member objects or requests the matter be considered by the full board, as adopted by the board through resolution.   2.  Sole  discretion  to  limit,  or  not  to  limit,  the  number  of registrations, licenses and permits of each class to  be  issued  within the  state  or  any  political  subdivision  thereof,  in  a manner that prioritizes social and economic equity applicants with the goal of fifty percent  awarded  to  such  applicants,  and  considers  small  business opportunities  and  concerns,  avoids market dominance in sectors of the industry, and reflects the demographics of the state.   3. Sole  discretion  to  revoke,  cancel  or  suspend  for  cause  any registration,  license,  or  permit  issued under this chapter and/or to impose a civil penalty for cause, after notice and an opportunity for  a hearing, against any holder of a registration, license, or permit issued pursuant to this chapter.   4.  To  fix  by  rule and regulation the standards and requirements of cultivation, processing,  packaging,  marketing,  and  sale  of  medical cannabis,  adult-use cannabis and cannabis product, and cannabinoid hemp and hemp extract, including but not limited to, the ability to  regulate excipients,  and  the  types, forms, and concentration of products which may be manufactured and/or processed, in order to ensure the health  and safety  of  the  public and the use of proper ingredients and methods in the manufacture of all medical, adult-use,  cannabinoid  hemp  and  hemp extract  to be sold or consumed in the state and to ensure that products are not packaged, marketed, or otherwise sold in  a  way  which  targets minors or promotes increased use or cannabis use disorders.   5.  To  limit or prohibit, at any time of public emergency and without previous  notice  or   advertisement,   the   cultivation,   processing, distribution  or  sale of any or all cannabis products, medical cannabis or cannabinoid hemp and hemp extract, for and during the period of  such emergency.   6.  To  hold  hearings,  subpoena  witnesses, compel their attendance, administer oaths, to examine any person under  oath  and  in  connection therewith  to require the production of any books or records relative to the inquiry. A subpoena issued under this section shall be regulated  by the civil practice law and rules.   7. To appoint any necessary directors, deputies, counsels, assistants, investigators,  and  other  employees  within  the  limits  provided  by appropriation. Directors, deputies and  counsels,  including  the  chief equity  officer,  and confidential secretaries to board members shall be in the  exempt  class  of  the  civil  service.  The  other  assistants, investigators   and  employees  of  the  office  shall  all  be  in  the competitive class of the civil  service  and  shall  be  considered  for purposes  of  article  fourteen  of  the  civil service law to be public employees of the  state,  and  shall  be  assigned  to  the  appropriate  bargaining unit. Investigators so employed by the office shall be deemed to  be  peace officers only for the purposes of enforcing the provisions of this chapter or judgments or orders obtained for  violation  thereof, with  all the powers set forth in section 2.20 of the criminal procedure law. Employees transferred to the office shall  be  transferred  without further  examination  or qualification to the same or similar titles and shall remain in the same collective bargaining units  and  shall  retain their  respective  civil  service  classifications,  status  and  rights pursuant to their collective bargaining units and collective  bargaining agreements. Employees serving in positions in newly created titles shall be  assigned to the appropriate collective bargaining unit as they would have  been  assigned  to  were  such  titles  created   prior   to   the establishment  of  the  office  of cannabis management. Any action taken under this subdivision shall be subject to and in  accordance  with  the civil  service  law.  The  executive  director  shall  appoint  a deputy director for health and safety who  shall  be  a  licensed  health  care practitioner within the state and who shall oversee all clinical aspects of the office.   8.  To inspect or provide authorization for the inspection at any time of  any  premises  where  medical  cannabis,   adult-use   cannabis   or cannabinoid  hemp  and  hemp  extract  is cultivated, processed, stored, distributed or sold.   9. To prescribe forms of applications for registrations, licenses  and permits  under  this  chapter and of all reports deemed necessary by the board.   10. To appoint such advisory groups and committees as deemed necessary to provide assistance to  the  board  to  carry  out  the  purposes  and objectives of this chapter.   11.  To  exercise the powers and perform the duties in relation to the administration of the board and the office of cannabis management as are necessary but not specifically vested by this chapter, including but not limited to budgetary and fiscal matters.   12. To develop and establish minimum criteria for certifying employees to work  in  the  cannabis  industry  in  positions  requiring  advanced training and education.   13.   To   enter  into  contracts,  memoranda  of  understanding,  and agreements as deemed appropriate to effectuate the policy and purpose of this chapter.   14.  To  advise  the  office  of  cannabis  management  and/or   urban development corporation in making low interest or zero-interest loans to qualified  social and economic equity applicants as provided for in this chapter.   15.  If  public  health,  safety,  or  welfare  imperatively  requires emergency action, and incorporates a finding to that effect in an order, summary  suspension  of  a license may be ordered, effective on the date specified in such order or upon service of  a  certified  copy  of  such order on the licensee, whichever shall be later, pending proceedings for revocation   or  other  action.  These  proceedings  shall  be  promptly instituted and determined. In addition, the board  may  be  directed  to order the administrative seizure of product, issue a stop order, or take any  other  action  necessary  to  effectuate and enforce the policy and purpose of this chapter.   16. To draft and provide for public  comment  and  issue  regulations, declaratory rulings, guidance and industry advisories.   17. To draft and provide an annual report on the effectiveness of this chapter.  The  annual report shall be prepared, in consultation with the division  of  the  budget,  the  urban  development   corporation,   the department of taxation and finance, the department of health, department  of  agriculture  and markets, office of addiction services and supports, office of mental health, New York  state  police,  department  of  motor vehicles and the division of criminal justice services. The report shall provide, but not be limited to, the following information:  (a)  the number of registrations, licenses, and permits applied for by geographic region of the state; the number of  registrations,  licenses, and permits approved or denied by geographic region of the state;  (b)  the  economic  and  fiscal  impacts associated with this chapter, including revenue from licensing  or  other  fees,  fines  and  taxation related  to  the  cultivation,  distribution  and  sale  of cannabis for medical and adult-use and cannabinoid hemp  and  hemp  extract  in  this state;  (c)  specific programs and progress made by the cannabis control board and the office of cannabis management in  achieving  the  goals  of  the social  and  economic  equity  plan,  and  other  social  justice  goals including, but  not  limited  to,  restorative  justice,  minority-  and women-owned   businesses,   distressed   farmers  and  service  disabled veterans;  (d) demographic data on owners and employees in the medical  cannabis, adult-use cannabis and cannabinoid hemp and hemp extract industry;  (e)  impacts  to  public  health  and  safety, including substance use disorder;  (f) impacts associated with public safety, including, but not  limited to,  traffic-related  issues,  law  enforcement, under-age prevention in relation to accessing adult-use cannabis, and efforts to  eliminate  the illegal market for cannabis products in New York;  (g) any other information or data deemed significant; and  (h)  the  board  shall  make recommendations regarding the appropriate level of taxation of adult-use cannabis, as well  as  changes  necessary to:    improve  registration,  licensing  and  permitting; promoting and encouraging social and economic equity applicants; improve  and  protect the  public  health  and  safety  of  New  Yorkers;  improve  access and availability for substance  abuse  treatment  programs;  and  any  other recommendations  deemed  necessary and appropriate. Such report shall be published on the office's website and presented  to  the  governor,  the majority  leader of the senate and the speaker of the assembly, no later than January first, two thousand twenty-three and annually thereafter.   18. When an administrative decision is appealed to  the  board  by  an applicant, registered organization, licensee or permittee, issue a final determination of the office.   19.  Approve  the opening of new license application periods, and when new or additional licenses are made available pursuant to this  chapter, provided, however, that the initial adult-use cannabis retail dispensary license  application  period  shall  be opened for all applicants at the same time.   20. Approve any price quotas or price controls set  by  the  executive director as provided by this chapter.   21.  Approve  the office's social and economic equity plan pursuant to section eighty-four of this chapter.   22. To enter into tribal-state compacts with the New York state Indian nations and tribes, as  defined  by  section  two  of  the  Indian  law, authorizing   such   Indian  nations  or  tribes  to  acquire,  possess, manufacture, sell, deliver, transport, distribute or dispense  adult-use cannabis and/or medical cannabis.   23.  With  the  exception  of  promulgating rules and regulations, the board shall have the power to delegate any functions, powers and  duties as  provided for in this section to the executive director of the office  of  cannabis  management.  Any  such  delegation  shall  be  through   a resolution voted on and approved by the board members.   24. The board shall, two years after the first retail sale pursuant to this  chapter,  review the impact of licenses issued pursuant to article four of this chapter with substantial market share for any  category  of licensure,  to determine if such licensees are impairing the achievement of the goals of inclusion of social equity licensees, fairness for small businesses and distressed farmers, adequate  supplies  of  cannabis  and prevention   of  dominant  marketplace  participation  in  the  cannabis industry. The board may modify  the  terms  of  the  licensee's  license consistent with the determination and to better achieve those goals. Any such  modification  may be appealed by the licensee for a formal hearing as provided in section seventeen of this article. For any licensee  such review  shall  include  violations of New York state labor law and labor peace agreements. Further, an existing collective  bargaining  agreement shall  not  be infringed or voided by any licensee who after such review suffers from a reduction in market share.