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New York marks first 4/20 with legal recreational dispensaries

Ups and downs have marked the Empire State's cannabis rollout. So what's to come of the market going forward?

BUFFALO, N.Y. — A check of the calendar shows it is 4/20, a day that some cannabis consumers look forward to all year long.

But this year things are a bit different in New York as the state, for the first time, is observing the day with state-licensed recreational dispensaries open.

Although there are none in Western New York, beyond those on Native American territory, 2 On Your Side thought it was the perfect time to share a progress report on the market some have criticized and others have celebrated.

"We are now in a position where we've developed and established a supply chain and so this is the first 4/20 with legal stores open but we've also progressed in the medical marijuana space," Office of Cannabis Management executive director Chris Alexander said.

As the head of the agency that regulates New York cannabis, Alexander is in the camp that says despite some setbacks, with seeds planted, cannabis harvested, and a lot of growth to come - the rollout has been, for the most part, successful.

By the numbers, 290 small farmers have been licensed to cultivate cannabis to date, 40 businesses have been licensed to process and 165 CAURD (conditional adult-use retail dispensary) licenses have been awarded to date.

There will be 300 CAURD dispensaries in total when all is said and done but for now, there are only 8 in operation statewide. Opening a location has proven to be more challenging than some expected. Something Aaron Van Camp can attest to.

Van Camp is one of four Western New Yorkers to receive a license last month.

He told 2 On Your Side Thursday that while he has a location picked out and is working on a lease, nothing is "rock solid" yet adding that he ran into issues with landlords being restricted by federal financial rules, as cannabis is still considered an illicit drug federally.

Van Camp's hopeful date for opening is June 1 and when he does the illicit market will be his main competition. 2 On Your Side asked Alexander if that could that be a barrier to success.

"You know we haven't heard the phrasing that they're a barrier per se but I think there is definitely an acknowledgment that the illicit shops are creating confusion and are taking up some space," Alexander said.

He says that one of the reasons the state launched its Buy Legal New York Campaign this week focused on supporting local farmers and legal operators. 80% of the campaign will involve digital advertising and 20% will be in places like public transit and on billboards.

"You know we did a lot of education at the on set trying to get them [illegal operators] to close down not wanting to continue with the heavy hand of previous prohibition practices but we're at a point now that they've been warned, they've been reminded and we're taking all their products and eventually they will have their doors closed as well and heavy financial penalties levied on them," said Alexander.

Another area where the Executive Director and Assembly Majority Leader Crystal Peoples-Stokes agree there needs to be more help in smoothing out a bumpy market is among law enforcement agencies.

Since legalization occurred just over 2 years ago, many including District Attorney John Flynn have said they would not prosecute gifting operations or sticker shops citing the same loophole operators use. The state has maintained a different interpretation.

"Of course in hindsight, everything is 20-20, there is a lot of education done on the law enforcement side and maybe some of that could have been done long before we got to this point," Alexander said.

"Clearly law enforcement doesn't think there is enough legislation to allow them to enforce laws. Well then we're going to provide them with some additional language to make them comfortable," said Peoples-Stokes.

The Majority Leader told 2 On Your Side that she is "confident" a $22 million investment in cannabis enforcement will be included in the final state budget.

As for what's next in Western New York?

Alexander said more licenses will be awarded in our region at the next Cannabis Control Board meeting and that delivery services may start in our region before an actual dispensary opens up.

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