New York City skyline facing south
June 2024 Newsletter

The Illegalization of Cannabis:
How We Got Here, Where We May Be Going

Tune In to the WNYC Archives

While business owners, investors, medical professionals, and activists look toward the prospect of rescheduling, it begs the question of how did cannabis become a Schedule I drug in the first place? It has been a Schedule I drug since 1970, when Congress enacted the Controlled Substances Act (CSA). With that, the modern war on drugs was born and it has continued to proliferate for decades since.

In 1969, NYC’s own former Mayor Ed Koch, at the time a US Representative, held a conference attempting to classify cannabis differently than what it is today. A broadcast from the archives of WNYC, “Tensions High at 1969 Conference on Marijuana” is quite informative and highlights the history of how cannabis landed on Schedule 1.

Federal Rescheduling

Comment Period to Federally Reschedule Cannabis

At our June CWCBExpo New York Conference Program, we highlighted rescheduling cannabis from a Schedule I drug to Schedule III drug and its implications for the cannabis industry. The Justice Department’s proposed rule change to reschedule cannabis requires a public comment period. The deadline is July 22, 2024.

How to Submit Comments

The public comment period runs through July 22, 2024, and comments can be submitted electronically through their portal. Get your comments in

Why is Rescheduling So Important for Business?

Hear it concisely stated from CWCBExpo speaker Matt Karnes, Founder, GreenWave Advisors.

“The re-classification from Schedule I to III is significant because it removes the punitive 280E tax burden that cannabis operators have had to endure. As a result, cash flow profiles are poised to accelerate at a time when capital is scarce. This marks an attractive entry point for investors as valuation multiples are on the cusp of meaningful expansion.”

Matt Karnes, Founder, GreenWave Advisors

Matt Karnes, Founder, GreenWave Advisors
New York State Cannabis News

Licensing News from the NYS Office of Cannabis Management and Cannabis Control Board

In our May Newsletter, we highlighted the operational changes that governor Hochul started to make at the Office of Cannabis Management (OCM) since the final report from Jeanette Moy, the Commissioner of General Services. Significant changes and announcements in management at the OCM continued this June. NYS Governor Kathy Hochul appointed the following individuals into roles that she expects to help run the OCM more effectively and efficiently:

  • Felicia A. B. Reid has been appointed Executive Deputy Director and Acting Executive Director.
  • Susan Filburn has been appointed Chief Administrative Officer.
  • Jessica Woolford has been promoted to the position of Director of External Affairs.

NYS Retail Cannabis Taxation Rules

More action at the OCM pertains to the taxation of retail cannabis. The OCM has reformed the taxes associated with retail cannabis sales including:

  • Repealed the THC tax
  • Excise tax on medical cannabis has been reduced to 3.15%
  • Other taxes remain in effect such as the wholesale tax, the local tax, and the state tax

Illicit Shops Being Shut Down

NYS and NYC continue to see more legal dispensaries open up and more illicit shops shut down. By June 18, Governor Hochul’s appointed NYS Task Force closed down 114 illegal cannabis shops. This helps increase sales at legal dispensaries and builds a stable and legal cannabis industry throughout the state.

New York State Government

Recent Adult-Use Dispensary Openings

Terrapin Greens LLC

(dba The Travel Agency Fifth Avenue)
NEW YORK CITY | 587 Fifth Avenue, New York 10017
Website: thetravelagency.co

Gratitude Buds
FISHKILL | 814 NY-52, Fishkill 12524
Website: gratitudebuds.com

SESH NYC
BRONX | 4219 Webster Avenue, Bronx 10470
Website: myseshnyc.com

Air City Cannabis
UTICA | 1707 Oriskany St W, Utica 13502
Website: aircitycannabis.com

NY Elite Cannabis
QUEENS | 4215 Bell Boulevard, Bayside 11361
Website: nyelitecannabis.com

Nicklz
NEW YORK CITY | 797 8th Avenue, New York 10019
Website: nicklzny.com

Bedford Club
BROOKLYN | 1102 Bedford Ave, Brooklyn, NY 11216
Website: bedfordclub.com

Update Exotics
NIAGARA FALLS | 9200 Niagara Falls Blvd, Niagara Falls 14304
Website: upstateexotics716.com

The Higher Co.
SYRACUSE | 123 E Willow Street, Syracuse 13202

More NYS Licenses Issued

The positive news continued all through June and what NYS has been doing to build its cannabis industry statewide. An additional 105 cannabis licenses were issued across various types including, Adult-Use Retail, Cultivator, Distributor, Processor, and Microbusiness.

Kentucky Cannabis News

Cannabis License Application Period Opens July 1

Applications to get a license for medical cannabis businesses begins July 1, 2024. Applications can be submitted via the Kentucky state government portal. Several medical license types will be awarded including, Cultivator, Processor, Safety Compliance Facility, and Dispensary.

Team Kentucky
Ohio Cannabis News

Ohio Approves First Adult-use Dispensary Licenses

Ohio became the 24th state to legalize the adult-use of cannabis on November 7, 2023. This June, Ohio has approved the first licenses for adult-use dispensaries. They issued 62 provisional licenses and 31 dispensary licenses across Ohio.

Ohio Capital Journal

Ohio Now Taking Applications for Dispensary Licenses

On June 7, Ohio opened its window to apply for a recreational dispensary license. Medical dispensaries in Ohio are also eligible to apply to sell recreational cannabis is to adults 21 or older, effectively a dual-license.

NBC4i
Pennsylvania Cannabis News

Pennsylvania Introduces Cannabis Legalization Bill

Pennsylvania wants to join the cannabis industry and also pursue expungement for prior cannabis convictions with a newly proposed legalization bill.

Pennsylvania Capital Star
Maryland Cannabis News

Maryland Issues Pardons for Misdemeanor Cannabis Offenses

Maryland is among the 24 states that have legalized adult-use cannabis. Maryland Governor Wes Moore issued 175,000 pardons for misdemeanor related cannabis offenses on Monday June 17, 2024. This is a giant step toward trying to help those who have been harmed by the war on drugs. As this action by Governor Moore is welcomed, the damage may never be undone for most, even with a pardon.

Delaware Cannabis News

Delaware Expands Its Medical Cannabis Program

Delaware expanded its medical cannabis program to allow physicians to make medical cannabis accessible a wider range of patients who may benefit from it. In addition, Delaware allows registered patients who are from other states to access Delaware dispensaries.

Netherlands Cannabis News

“Coffee Shops” to Try Quality Regulated Marijuana

The Netherlands is conducting an interesting experiment with the goal of providing options for “coffee shops” in the Netherlands to buy quality weed within a regulated network of growers. This would make both quality and quantity accessible to the “coffee shops” without relying on illegal weed. The regulated program launched in late 2023 and is expanding from two cities to ten cities and 80 “coffee shops” across the Netherlands.

Slovenia Cannabis News

Slovenian Citizens are in Favor of Cannabis Reform

Recently, Slovenian voters gave their opinions about cannabis reform proposals that were non-binding and had no guarantee that they would become law. The two measures that were “voted” on included opinions on home grow for medical patients, and home grow of cannabis plants for personal use. In both instances, the support was over 50% for each.

Beard Bros Pharms
CWCBExpo Thanks PROTEUS 420
Exhibitor, Women’s Luncheon Sponsor, Women’s Pavilion Sponsor
Why Should You Exhibit at CWCBExpo New York 2025?
Hear what Dawne Morris, Proteus420’s Co-Founder & CEO said about CWCBExpo 2024:

“Attending CWCBExpo was an incredibly enriching experience, making it the most beneficial and rewarding show we’ve participated in within the cannabis industry.

“The event was meticulously organized, facilitating meaningful business-to-business interactions and offering valuable insights into the latest trends and innovations. The vibrant and inclusive atmosphere fostered a strong sense of community, bringing together passionate professionals dedicated to advancing the cannabis sector. The knowledge and connections we gained have already started to benefit our business.

“We highly recommend CWCBExpo for anyone seeking to deepen their engagement with the cannabis community and explore new business opportunities.”  – Dawne Morris, Co-founder, PROTEUS420

Proteus420
Dawne Morris
PROTEUS420 exhibit booth, CWCBExpo NY 2024

THIS MONTH’S CWCBExpo NY 2024 ARCHIVED VIDEO

“Fireside Chat with Chair Wright of the New York State Cannabis Control Board”

In this fireside chat, recorded at CWCBExpo, June 5, 2024, we get the current status of New York State’s market and regulations. Front and center is the vision that Chair Wright sees for the NYS cannabis industry amid the DEA moving forward with rescheduling cannabis from a Schedule I drug to a Schedule III drug.

This session was moderated by Will Yakowicz, Staff Writer, Forbes; with Precious Hester Brown, Founder, CEO, Entertaining & Elevating With Cannabis; Ariel Palitz, Founding Director, NYC Mayors Office of Nightlife;  and “Hawaii” Mike, Founder, Chef for Higher

NYSOCM Chair Tremaine Wright and Kristan Jordan

((from the left) Tremaine Wright, Kristin Jordan

The CWCBExpo BLOG: Timely News & In Depth Articles

CWCBExpo blogs contain relevant, timely information. Recent subjects include cannabis research updates and Pennsylvania’s preparation of an adult-use cannabis bill.

Couple enjoying a smoke

Don’t miss out. Get prime exhibit space now.

CWCBExpo, 11th Annual
June 4 – 5, 2025
Javits Convention Center, NYC

 

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