[{"_1":2,"_124":-5,"_125":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76,88,100,112],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6660945,"mediaKeyId","2431078-0123251fb31bfb6c3988b17144840116","parentId",2431078,"title","State regulators pressed on illegal cannabis shops, enforcement and social-equity fund failures","audioSeconds",150,"startMs",3000000,"endMs",3150000,"viewUrl","/Search/View?dp=1&key=2431078-0123251fb31bfb6c3988b17144840116&start=3000&end=3150","thumbnailUrl","https://assets.pipeline.soar.com/2431078-0123251fb31bfb6c3988b17144840116/thumbnail_3000000.jpg","articleUrl","/articles/6660945/New-York/State-regulators-pressed-on-illegal-cannabis-shops-enforcement-and-social-equity-fund-failures","mediaUrl","https://secure.pipeline.soar.com/6660945-6fc85b2e367c0791608a190c92ec330a/orig.mp4?Expires=1776348872&Signature=T8XAXCJHUaF1ZrOMZhrdbdB0-LdUoaup-rczRfjUkfsxMD3kC22B0kEYKJ7sMLizIustPAdhHk7MiqaVLyGBr8VEoTFTQ~xipwCPTB-ZDdoEU3wP9Fjmu1yENSBwecJS-yF8FjBuXufulbB5Mh1iDTrVg4LJNcU~YEu8SBkAoS1GJqRhq3SVLXRfM3AXW7S881cL-QINzQeNbIU7iobsqWNQvh~rdphqP6zMbD0j4IT4lC41mWmaMjepiY~~WLThEi3AByEv-f0IHhzaFHXRz03mT7MRF6r3BIn91xB0iW9CKzhNHVs0fm3plaFdI13tf355hOQ3Z5huQJ6BBTjX4w__&Key-Pair-Id=KUT5TJCACFTXG","author","New York - Ways and Means","date","2025-02-26T00:00:00Z","article","Acting Director Reid of the Office of Cannabis Management (OCM) told lawmakers at a March legislative hearing that the agency has stepped up enforcement against unlicensed retailers but that illegal operations remain a ‘large, evolving’ problem that requires more resources and interagency cooperation. “We’ve closed over 500,” Reid said, adding that investigations of criminal activity at some sites — including weapons and hard drugs — have required coordination with law enforcement and take time to resolve.

Legislators pressed Reid and other state officials about several persistent problems: widespread unlicensed retail sales, deliveries by mail and third parties, the status of the seed‑to‑sale tracking contract, access and affordability for medical patients, and whether the state’s social‑equity financing has left small, card‑holder licensees saddled with debt.

Why it matters: Lawmakers said the illegal market is drawing most consumer spending and undercutting state goals for public safety, equity and tax revenue. Several members said the current mix of regulatory tools, local enforcement and penalties is not shutting down the largest, best‑capitalized illegal operators.

What officials said
- Enforcement scope and results: Reid said the state has closed “over 500” unlicensed stores and that OCM’s complaint and investigation process has become more streamlined as staff grew. She described some enforcement as criminal investigations requiring sustained law‑enforcement work and said the agency is “investigating and looping back” on complaints filed through the state portal. Reid said some investigations can last many months while evidence is developed and shared with prosecutors.
- Seed‑to‑sale tracking: Lawmakers repeatedly asked about the seed‑to‑sale contract that was expected to verify New York‑tested product moving into retail. Reid and other staff said that implementation and costs have been a continuing issue; legislators were told the contract had not been fully let and that OCM is working to implement appropriate tracking and to clarify who pays associated operational costs.
- Social‑equity financing (DASNY fund): Multiple lawmakers and retailers described the DASNY social equity fund as a failed vehicle that left early participants with expensive loans. Retail operators and lawmakers urged an audit and legislative fixes; some retailers asked for relief for licensees who took early loans and now face unsustainable debt payments.
- Proximity and local input: Members pressed OCM about the 1,000‑foot and 500‑foot proximity rules (the latter tied to youth facilities). Reid explained that public‑convenience‑and‑advantage rules and certain proximity exemptions are set in regulation and that the board had allowed waivers. She noted the agency has redrafted public‑convenience regulations to require a notice process and a minimum operator tenure before certain waivers are considered. Several retail operators urged statutory or regulatory limits on waivers and an appeal process to protect investments.
- Medical program and patient access: The medical industry association asked the Legislature to repeal the medical excise tax (reduced in the last budget to 3% from 7%), permit out‑of‑state medical reciprocity, authorize pharmacists to certify same‑day patient registrations, and to pursue insurance coverage for medical cannabis. Regulators acknowledged distinct needs for medical patients — for example, pediatric and immunocompromised patients — that are not met automatically by adult‑use dispensaries.

Lawmakers’ proposals and industry requests
Lawmakers and regulated businesses asked for a mix of steps: more OCM enforcement staff, an audit of the DASNY social equity fund and legislative fixes to that program, limits or procedural guarantees around proximity waivers, a private right of action so legal operators can sue large illegal operators, and consideration of targeted asset‑forfeiture tools for the largest illegal multi‑site operators. Retail and processor trade groups also asked for temporary relief or rebates for early borrowers who took high‑cost loans, citing the fund’s early terms.

Discussion vs. decisions
Legislators and industry representatives asked for specific statutory or budgetary action; staff repeatedly said some changes would require rulemaking (SAPA) or legislative action. The hearing produced direction for follow‑up (requests for audits, data, and agency briefings) but no final legislative votes.

Outlook
OCM said it will continue to pursue enforcement and regulatory changes, and lawmakers asked the fiscal and oversight committees to accelerate audits and to consider legislation to add enforcement tools and to clarify proximity and social‑equity rules.

Ending note
Retailers and license applicants warned that without more aggressive action to curb unlicensed commerce and to reform financing, New York risks losing locally owned social‑equity businesses and continued patient access problems.","mediaType","Video","parentTitle","New York - Ways and Means - 2025 Joint Legislative Budget Hearing - Economic Development/Arts (2) - Feb 26, 2025","oneSentenceSummary","Acting Director Reid of the Office of Cannabis Management told lawmakers the agency has closed “over 500” unlicensed shops but that enforcement, mail deliveries and problematic loan terms for social‑equity participants mean the illegal market still captures most consumer spending.","taxTitle","Ways and Means, Standing Committees, House, Legislative, New York","taxId",25116,"location","New York","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":81,"_47":82,"_49":83,"_51":84,"_53":85,"_55":56,"_57":58,"_59":86,"_61":62,"_63":64,"_65":87,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6660935,"Office of General Services outlines $1.7 billion budget proposal, Empire State decarbonization plan and EV rollout",2521,3884000,6405000,"/Search/View?dp=1&key=2431078-0123251fb31bfb6c3988b17144840116&start=3884&end=6405","https://assets.pipeline.soar.com/2431078-0123251fb31bfb6c3988b17144840116/thumbnail_3884000.jpg","/articles/6660935/New-York/Office-of-General-Services-outlines-17-billion-budget-proposal-Empire-State-decarbonization-plan-and-EV-rollout","https://secure.pipeline.soar.com/6660935-12dbd91eb9f27d3c0f203bbf300ceee3/orig.mp4?Expires=1776348872&Signature=WUIeiN~Pn2KrlFQQSIQFhWdszUEcIcIcoMvNGEqzM-11hKYIjq-mdGnub6CNnBreTf0Q2uZkiher7lf3Vdp6miigHLqgxH4ErMFess8iTSyJ3jGiMlapMazjueINwLdhP3wMQeH1t7PdrfnqeBmEu15Gg0~D1YQVvHNRo7N7s0LeJZGfSev2R6-dNX3Khmwkv3EK8GcGnn81MOdOsLIGVPmruXisVxvMzoY3DLzF1cS~lY8u7IXsWUXwC6pVnSgnosJePlTThwGw3a-ExxoI7VMBNzTkc4iDj~Do4C2qtBPUjE3nfzTnzkEW5eY-rsTSbyQ6FWuLkY9YuMC6u5E7eQ__&Key-Pair-Id=KUT5TJCACFTXG","Jeannette Moy, commissioner of the Office of General Services (OGS), told the Legislature that Governor Hochul’s executive budget proposes $1.7 billion for OGS operations and capital delivery to address deferred maintenance, modernize state properties and implement the Empire State Plaza decarbonization plan.

What officials said
- Budget and portfolio: Moy described OGS’s stewardship of a large portfolio — “we manage 32,000,000 square feet of real estate” — and said the proposed funding would allow OGS to continue modernizing systems, centralize data analytics and accelerate project delivery. “You cannot manage what you cannot measure,” Moy said as she described new dashboards for construction and procurement.
- Empire State decarbonization: Moy said the governor fully funded the first phase of the Plaza decarbonization plan, which focuses on electric chillers and heat recovery design in partnership with NYPA; she said the first phase will be completed in the next five years and that phases two and three will follow as related design and campus projects (for example, the Wadsworth lab retrofit) are finalized.
- EV transition and charging infrastructure: Moy said OGS has transitioned 24% of its light‑duty non‑emergency fleet to electric and reported 138 charging ports active at 34 facilities with 600 additional ports in the pipeline at 60 sites. She said telematics and other data tools will guide future purchases and charging deployments.
- Construction delivery reform: Moy summarized a proposed alternative delivery mechanism (construction manager as constructor, CMAQ or CMc) in the budget that would let the state bring constructors into the design process on complex projects; she said the state would retain oversight, PLA and wage requirements and use the new tool selectively.

Why it matters: Moy framed the request as a practical response to decades of deferred maintenance across aging buildings and as part of the governor’s push to modernize delivery and meet climate goals. Lawmakers asked for timetables and details about local impact; Moy provided project examples (Jamaica Armory, Jones Beach East Bath House, Adirondack Rail Trail) and offered to provide district‑level details on request.

Ending note
Moy pledged follow‑up on project timelines and on questions about vacancies, charging infrastructure and planned deliveries, and asked legislators to consider the proposed alternative delivery tools and the larger decarbonization plan as part of the capital budget discussion.","OGS Commissioner Jeannette Moy told lawmakers the executive budget includes $1.7 billion for the agency to address deferred maintenance, accelerate construction delivery reforms and begin a multi‑phase Empire State Plaza decarbonization plan.",{"_33":89,"_35":36,"_37":38,"_39":90,"_41":91,"_43":92,"_45":93,"_47":94,"_49":95,"_51":96,"_53":97,"_55":56,"_57":58,"_59":98,"_61":62,"_63":64,"_65":99,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6660940,"Economic development agency defends metrics and says jobs counted as full‑time equivalents",88,984000,1072000,"/Search/View?dp=1&key=2431078-0123251fb31bfb6c3988b17144840116&start=984&end=1072","https://assets.pipeline.soar.com/2431078-0123251fb31bfb6c3988b17144840116/thumbnail_984000.jpg","/articles/6660940/New-York/Economic-development-agency-defends-metrics-and-says-jobs-counted-as-fulltime-equivalents","https://secure.pipeline.soar.com/6660940-950c0592dc5e70391d34ec15301d70fb/orig.mp4?Expires=1776348872&Signature=Y4tQrjPvGmeBMW2-2ydA7LhVPveaAi0DkYC-6LJzi5h2G4fIomdaJCVyBfzQ5Qu87DyuWzAFKNemsEU2qqHazeOFW-qhrI3TnYctFZfjw4lPVUPlSVEz~fzdmEbA7dcOWALIxjsRwPeUyqwJdR31DyJ-i3NbPOYJrWd~ahzBlXi7p5woBDpixKjSgUDZ27HJD89puKPweIN~jeGlmzREFo3rxsndqFZVHskPwgAy8~gRYip1EdibSHUyelM5nc2qeQOIz179Jsxsmdp7R6hdvwKoWCsZCnT8AQC4baojOkHQyHBTUYMt0y9irWxRv5ak2~hIlqUn6j-ySslwpaTkmw__&Key-Pair-Id=KUT5TJCACFTXG","Commissioner Knight, testifying for Empire State Development (ESD), told legislators the agency maintains “one of the most extensive databases in the country” of economic incentives and reports multiple metrics — including estimated tax impact and employment measured in full‑time equivalents (FTEs). “We look at full time equivalent,” Knight said when asked how jobs are counted.

Why it matters: Several legislators pressed ESD officials about standards for evaluating programs, whether the state gets “bang for the buck,” and how the agency ensures large projects benefit historically underserved communities.

Key points
- Metrics and database: Knight said ESD reports economic impact, tax impact and numbers of employees and that the agency uses FTEs as a standardized jobs metric. He described a public database of incentives ESD maintains for oversight and comparability.
- Program evaluation: Knight told lawmakers there is not a single target rate of return for every program; expected returns vary by sector and policy objective (for example, supporting an emerging industry may entail higher per‑job investment).
- Local projects and accountability: Legislators asked about how ESD coordinates with other agencies and local governments on site‑specific projects (e.g., sewer capacity on Long Island, downtown redevelopment, and state‑owned property conversions). Knight described stakeholder engagement and noted agencies sometimes work together to align infrastructure and project readiness.
- Social‑equity and small business programs: Members pressed Knight on social‑equity outcomes for cannabis programs and on transparency for funds (including community grants). Knight said some programs are run by other state entities (for example, DASNY) and that ESD can provide metrics it controls; he pledged to follow up with members with more specific figures.

Discussion vs. decisions
The hearing focused on oversight and follow‑up: Knight agreed to provide district‑specific project lists and further data on metrics. No budget votes or statutory changes were adopted during the hearing.

Ending note
Lawmakers told ESD they want clearer outcome measures and more actionable reports on whether incentives achieve stated economic and equity goals. Knight said ESD would provide more data and emphasized that evaluation depends on program purpose and sector context.","Empire State Development officials told legislators the agency uses a broad database to report program metrics including economic impact, tax effects and jobs measured in full‑time equivalents; lawmakers pressed for clearer return‑on‑investment standards and local accountability for large projects.",{"_33":101,"_35":36,"_37":38,"_39":102,"_41":103,"_43":104,"_45":105,"_47":106,"_49":107,"_51":108,"_53":109,"_55":56,"_57":58,"_59":110,"_61":62,"_63":64,"_65":111,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6660925,"Film and TV producers warn New York losing shoots as other states outcompete on incentives",780,10680000,11460000,"/Search/View?dp=1&key=2431078-0123251fb31bfb6c3988b17144840116&start=10680&end=11460","https://assets.pipeline.soar.com/2431078-0123251fb31bfb6c3988b17144840116/thumbnail_10680000.jpg","/articles/6660925/New-York/Film-and-TV-producers-warn-New-York-losing-shoots-as-other-states-outcompete-on-incentives","https://secure.pipeline.soar.com/6660925-6335e54752cb2dff15070d526685268b/orig.mp4?Expires=1776348872&Signature=jwv1hOvBiFdocj5Dr7hyfcquqY7406ZVirXAKwXmCKNjgCenFVlA-lvV81SNo5N1vmOGNzKyubK4lMWZIgx8oDTGVV6jRtZ-JuToHa4-bM4s5EbF1Bm1EmgAlf2IIsXIbzA~Nwyw70D7bCCMFYNiULCZXUgannKNr6KuXUOk~xGryw6bjuEvay6~sVy-DJnWaat0MHB5enml1THVDny5LkbtgDwpd~3XUJRB4uSlareHVI9JiRbKiKsBvP8pTx-zVZZgOh71ffb9WJhykW0gbRDmBmslEpvbuLMAkG7AsYOc-81GAmHibH1q9UMNneE6S5BufcCQ69wX-TcE5JiUTw__&Key-Pair-Id=KUT5TJCACFTXG","Line producer Santiago Quinones and Upstate creative economy leaders told the Legislature that production work in New York has slowed and that other states’ tax incentives and lower area labor rates have shifted high‑budget film and television production elsewhere. Quinones, who long produced in New York, said he has “never seen the level or the lack of production coming to New York” as he has in the prior months and cited the rise of streamers with expensive above‑the‑line talent as a structural shift.

Key points
- Competitiveness: Witnesses argued New York’s current incentive structure does not fully match the package available in more aggressive incentive states (often cited: Georgia), particularly for above‑the‑line costs (major stars, writers and showrunners). One producer said, “New York is a great place to shoot,” but added that above‑the‑line spending in modern streamer budgets makes it harder for shows to choose New York unless incentives match.
- Workforce and local benefits: Producers cautioned that a prolonged slowdown risks dispersing the trained local crew base and the regional economic benefits that follow productions — location spending, restaurant and hospitality income, and support work. They cited long‑running shows (example cited by witnesses: a 15‑year series whose end left extensive local ripple effects) as anchors for local employment.
- Policy options discussed: Witnesses and trade groups urged the Legislature to consider enhancements that would better compete for high‑cost productions, preserve post‑production and crew work in‑state and maintain incentives that support local jobs and small vendors.

Ending note
Producers asked lawmakers to consider incentive reform that recognizes the current economics of streaming and high‑profile talent, while preserving local oversight, labor standards and opportunities for small‑business participation in film and television projects.","Producers and a capital‑region creative‑economy leader told legislators that New York risks losing production to states with more aggressive incentives and lower area‑standard labor costs. They urged legislative action to match above‑the‑line and other incentives that draw high‑cost streaming projects to places such as Georgia.",{"_33":113,"_35":36,"_37":38,"_39":114,"_41":115,"_43":116,"_45":117,"_47":118,"_49":119,"_51":120,"_53":121,"_55":56,"_57":58,"_59":122,"_61":62,"_63":64,"_65":123,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6660930,"Arts council urges $200 million for NYSCA and a statewide creative‑economy plan",249,4461000,4710000,"/Search/View?dp=1&key=2431078-0123251fb31bfb6c3988b17144840116&start=4461&end=4710","https://assets.pipeline.soar.com/2431078-0123251fb31bfb6c3988b17144840116/thumbnail_4461000.jpg","/articles/6660930/New-York/Arts-council-urges-200-million-for-NYSCA-and-a-statewide-creativeeconomy-plan","https://secure.pipeline.soar.com/6660930-233dee55dc00f0fb7d15efa3b5a0bc9e/orig.mp4?Expires=1776348872&Signature=P78d9bDNk0NTbQ-xZJ-cegAiaUz-hRahTBxFsXlyY3lJYN~KUqlggEZ3-IViuJA9NcYL63nu58EcUzjR88T5BG3ogFuIDcA7l7~zOzfHBtPzR-3g~jHFi1mOxBn2r8i1NJi1~zUE5tnxJiIQv~eXSdS6MpEMfvCNkV2TlV7iHfb5IDLbb0z04LruiNrjGaY5BVoCCyK2RAX~-YRUk7Y8GeYnM80zFUSDvBwiiFZKt2Wwj8rx1~9zdRpbkMlikfn~LI0M8JvRaRzS-7cKbBiJHCvzPysAHevmeXlcmIGI-UbNNf8XxFT4SI2zTGPOGkOErkYERgm2nQoPspfJdMq6Rw__&Key-Pair-Id=KUT5TJCACFTXG","Executive Director Bridal Mallon of the New York State Council on the Arts (NYSCA) and other arts leaders testified that the state should increase core arts funding and develop a statewide creative‑economy plan to coordinate investments, workforce development and cultural capital strategies.

Key claims and context
- Funding ask and returns: NYSCA and allied groups urged the Legislature to fund NYSCA at $200,000,000 (the testimony described a split such as programmatic and capital support) and noted that New York’s creative economy contributes broadly to the state economy. Executive Director Mallon said, “The arts are not a luxury but a necessity,” and presented figures on arts sector economic impact and visitor spending.
- Community regranting and capital: Witnesses described NYSCA’s statewide community regrant program as a tool that sends funding into local communities through local decision makers; advocates also highlighted recent capital awards and urged more capital support for theaters and rehearsal spaces.
- Creative economy plan: Witnesses and service organizations asked the Legislature to fund a cross‑sector statewide plan to map the workforce, create pipelines for arts employment, expand creative employment pilots (for example, guaranteed income and artist employment programs), and study new revenue mechanisms to sustain arts funding.

Why it matters
Advocates argued the arts create jobs, tourist spending and community anchors, and that public investments have a measurable return in tax revenues and local economic activity. They said coordinated state action could expand arts‑driven economic development in places targeted for other major investments.

Ending note
Arts leaders asked for a strategic plan, predictable operating and capital funding, and for lawmakers to consider dedicated revenue or matching tools to keep New York competitive and to sustain jobs in the creative workforce.","The New York State Council on the Arts and arts advocates told the Legislature that state funding should rise and that a New York creative‑economy plan could coordinate recovery, workforce development and new revenue tools. NYSCA leaders said arts and cultural organizations produce large economic returns and asked for sustained operating and","actionData","errors"]

Article not found

State regulators pressed on illegal cannabis shops, enforcement and social-equity fund failures

Office of General Services outlines $1.7 billion budget proposal, Empire State decarbonization plan and EV rollout

Economic development agency defends metrics and says jobs counted as full‑time equivalents

Film and TV producers warn New York losing shoots as other states outcompete on incentives

Arts council urges $200 million for NYSCA and a statewide creative‑economy plan