New York: Agreement reached to legalize cannabis

This time, it's finally happening. New York lawmakers have announced that they have reached an agreement to legalize cannabis statewide, from New York City to Albany. «A three-party agreement" [the House, the Senate, the governor] »has been found. We are finishing up the drafting of this bill, which we have all pledged to support.", says Liz Krueger, the (Democratic) chair of the New York State Senate Finance Committee, to the Bloomberg News Agency.

A bluff or a show of transparency? The state governor, for his part, is taking a more cautious approach than the lawmaker. «We're close to reaching an agreement. But we've been close three times before.», cools Andrew Cuomo, at a press conference on Wednesday.

We also know a little more about the details of this upcoming legalization. According to Liz Krueger, the bill will allow New Yorkers over the age of 21 to possess up to three ounces (85 grams) of cannabis flower. The state’s 20 million residents will also be able to grow plants for personal use, though it is unclear how many at this time.

$350 million each year in the coffers

For the past ten years, Negotiations on legalization are stalling Focusing on one topic: taxes. Today, things seem clearer. 13 % of cannabis sales will go to local governments, including 9 % to Albany (the governor’s seat) and 4 % to cities. The state has done the math. In total, a legal recreational cannabis program would bring in $350 million each year to the state coffers. A welcome windfall, for a state on the verge of bankruptcy.

Most of these taxes will first go to the agencies responsible for regulating the market. The remainder will be allocated to promote social justice, particularly toward those affected by the «war on drugs» carried out since the 1980s. Part of the funds will also go to priority neighborhoods and substance abuse treatment programs.

In the State of Big Apple, the legalization of recreational cannabis is expected to create 60,000 jobs. This would be a boon for a city that has been particularly hard-hit by the health crisis and its economic fallout. According to Bloomberg, companies licensed to sell medical cannabis are expected to have a head start. This includes Acreage Holdings, Columbia Care, Cresco Labs, Curaleaf, and Green Thumb Industries. According to Democrat Liz Krueger, in-store sales could legally begin one year after the vote.