New York Codes, Rules and Regulations › Title 9 - EXECUTIVE DEPARTMENT › Subtitle B - Division of Alcoholic Beverage Control › Chapter II - Rules of the Office of Cannabis Management › Part 116 - Conditional Adult-Use Retail Dispensary › Section 116.2 - Application for Conditional Adult-Use Retail Dispensary License

Current through Register Vol. 46, No. 28, July 10, 2024
(a) Information
				  Required to be Disclosed on Application. The application for a conditional
				  adult-use retail dispensary license shall include the following:
(1) the legal name of the
				  applicant;
(2) the name under which
				  the conditional adult-use retail dispensary will operate or make sales if
				  different than the legal name of the applicant, including, but not limited to,
				  the assumed name, where applicable;
(3) the name, address, federal employment
				  identification number, and date of birth, where applicable, of the applicant
				  and each true party of interest of applicant;
(4) a copy of a valid photo identification
				  containing the individual's date of birth issued by a local, state, or federal
				  government for the applicant and each true party of interest of applicant, each
				  of which shall be at least 21 years of age;
(5) a personal history disclosure for
				  applicant and each true party of interest of applicant;
(6) submission of fingerprints for applicant
				  and each true party of interest set forth in sections
				  116.1(w)(i) -
				  (iii), on a form and in such manner as
				  specified by the Office for purpose of obtaining a criminal history report from
				  division of criminal justice services;
(7) the ownership structure of the
				  applicant;
(8) the percentage of
				  ownership interest held by each true party of interest in the applicant, and a
				  description of any other interest held in the applicant;
(9) a list of all parent companies,
				  subsidiaries, affiliates, predecessors, and successors of the applicant,
				  including, but not limited to, all individuals of each entity at each level of
				  ownership for the applicant that has a multilevel ownership
				  structure;
(10) the name of every
				  financial institution at which the applicant and each true party of interest of
				  applicant that has or has had a personal and business account that is or was
				  used to financially support the business in the past 3 years;
(11) a current organizational chart of the
				  applicant that includes position descriptions and the names and resumes of
				  persons holding each position identified on the organizational chart, to the
				  extent those positions have been filled; to the extent not revealed by the
				  resume, include additional information with each resume setting out the
				  employee's particular skills, education, experience or significant
				  accomplishments that are relevant to owning or operating a conditional
				  adult-use retail dispensary. The organization chart should identify all
				  officers with the authority to control and all business entities that through
				  direct or indirect means, will manage, own or control the interests and assets
				  of the license holder. If the business entities have boards, include all board
				  members on this chart. If the business entity has a parent company, include the
				  name of each parent company's principal officer(s) and the percentage ownership
				  interest;
(12) organizational
				  documents such as the certificates of incorporation, certificates of limited
				  partnerships, articles of organizations, charter, by-laws, partnership
				  agreement, agreements between any two or more persons of the applicant that
				  relate in any manner to the assets, property or profit of the applicant, or any
				  other comparable documents that set forth the legal structure of the applicant
				  or relate to the organization, management or control of the
				  applicant;
(13) if an applicant is
				  not an individual, a description, beginning with the formation of the
				  applicant, of any and all ownership changes between the formation of the
				  applicant and the date the application is submitted, including, but not limited
				  to, events such as asset sales and purchases, stock sales and purchases,
				  mergers, business combinations, or consolidations involving the applicant,
				  including all former names of the applicant;
(14) a copy of all compensation agreements
				  between or among applicant and each true party of interest, or group of true
				  parties of interest, whether direct or indirect, and to the extent such
				  agreement is oral, a written description of the terms of such agreement with
				  true parties of interest of the applicant;
(15) any proposed or executed contract, term
				  sheet, agreement, or side letter between the applicant, true parties of
				  interest of the applicant, or financier, and another party that relates to the
				  ownership and control structure, assets, liabilities, real or intellectual
				  property, revenue, funding or capitalization, royalties, or profit, or future
				  profit, of the applicant or proposed licensee or comparable
				  documents;
(16) the nature, type,
				  terms, covenants and priorities of all outstanding bonds, loans, mortgages,
				  trust deeds, pledges, lines of credit, notes, debentures or other forms of
				  indebtedness issued or executed, or to be issued or executed, in connection
				  with opening or operating the proposed conditional adult-use retail
				  dispensary;
(17) audited financial
				  statements of the applicant for the fiscal year ending one year prior to the
				  date the application is submitted, which shall include, but is not limited to,
				  an income statement, balance sheet, statement of retained earnings or owners'
				  equity, statement of cash flows, and all notes to these statements and related
				  financial schedules, prepared in accordance with generally accepted accounting
				  principles, along with the accompanying independent auditor's report. If the
				  applicant was formed within the year preceding the application for license,
				  provide certified financial statements for the period of time the applicant has
				  been in existence and any pro forma financials used for business planning
				  purposes;
(18) all sources of
				  funding used to acquire, start, or develop the business for which the license
				  is sought, and documentation concerning the source of the funds and copies of
				  closing documents in connection with such acquisition or development;
(19) details of any state or federal,
				  administrative or judicial proceeding in which the applicant or any of the true
				  parties of interest of applicant:
(i) pled
				  guilty, pled no contest, conditionally or otherwise, or were, convicted, fined,
				  or the equivalent, or had a registration or license cancelled, suspended or
				  revoked; or
(ii) managed or served
				  on the board of a business or nonprofit organization that pled guilty or was
				  convicted, fined, or had a registration or license cancelled, suspended or
				  revoked.
(20) information
				  relating to a business continuity plan;
(21) a certificate of status or good standing
				  from the governing state agency of the state of formation, certificate of
				  assumed name, a certificate of authority to do business in New York from the
				  New York Department of State if the applicant is a foreign business, where
				  applicable;
(22) if applicant or
				  any true parties of interest of applicant are currently or have previously been
				  licensed or authorized in another state or jurisdiction to cultivate, process,
				  manufacture, distribute or sell cannabis products in any form, the following:
(i) a copy of each license or authorizing
				  document verifying licensure in that state or jurisdiction;
(ii) a statement granting permission to
				  contact the regulatory agency that granted the license to confirm the
				  information contained in the application is true and accurate; and
(iii) if the license, authorization, or
				  application was ever cancelled, denied, suspended, revoked or otherwise
				  sanctioned, a copy of documentation so indicating, or a statement that the
				  applicant or true party of interest of applicant was so licensed and was never
				  sanctioned;
(23) any
				  management agreement, contract, arrangement, or other type of formal
				  understanding between a contractor and an applicant where the contractor will
				  or does provide administrative, operational, financial, advisory, and/or
				  management services to an applicant in exchange for remuneration and a list of
				  all the parties that are contained in those agreements;
(24) a list of each vendor with which the
				  applicant has entered into a contract, term sheet, agreement, or side
				  letter;
(25) whether the applicant
				  or any true party of interest of applicant:
(i) has ever filed a voluntary petition or
				  had an involuntary petition filed against it for relief under the United States
				  Bankruptcy Code;
(ii) is out of
				  compliance with general obligations law section 3-503(2);
(iii) has been disciplined or sanctioned by a
				  state or federal agency; or
(iv)
				  has had any state or federal tax liens against any of their
				  property;
(26) a list of
				  each financier of applicant, and copy of all financier agreements, if
				  any;
(27) a copy of each agreement
				  between applicant and any person with a financial interest in the
				  applicant;
(28) a list of any
				  charitable contributions by the applicant in the last five years;
(29) a list of stocks, mutual funds or bonds
				  held by the applicant;
(30)
				  documentation acceptable to the Office that the applicant will be able to
				  obtain insurance sufficient to indemnify and hold harmless the state and its
				  officers and employees;
(31)
				  information regarding any relationship, agreement, or arrangement that may
				  exist between (i) the applicant or true parties of interest and (ii) any
				  official or any other individuals with control over the approval of an
				  application or license, including, but not limited to, employees of the Office
				  and members of the Board;
(32)
				  information evidencing compliance with the provisions set forth in section
				  116.4(a)(1) of
				  this Part as required by the Office;
(33) information evidencing applicant's
				  eligibility as set forth in sections
				  116.4(a)(2) or
				  116.4(a)(3) of
				  this Part as required by the Office;
(34) designation of each portion of the
				  application that applicant considers to be exempt from disclosure under the New
				  York State Freedom of Information Law; and
(35) any additional information requested by
				  the Office.