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In the past, we have discussed the entire step-by-step process for both New York Conditional Adult-Use Cultivator License and New York Conditional Adult-Use Processor License. As we are entering the third phase of Cannabis Legalization, the OCM opened the New York Conditional Adult-Use Retail Dispensary License (CAURD) Application window.

New York Conditional Adult-Use Retail Dispensary Applications (CAURD):

The New York Office of Cannabis Management (OCM) opened the Conditional Adult-Use Retail Dispensary (CAURD) application window on Thursday, August 25th. People affected by marijuana convictions have the first opportunity to open legal retail dispensaries in New York.

It’s the most important phase in the state’s hearty arrangement to make social equity visionaries the bedrock of New York’s marijuana market. Here, we actively determine who qualifies for a CAURD permit, outline application prerequisites, establish selection criteria, and explain what happens if you are chosen for a CAURD license.

CAURD Permit Eligibility in New York:

To qualify for a New York CAURD permit, you can choose to apply as a qualifying business or a qualifying non-benefit. This blog focuses on the industry standards criteria for qualification. In both paths, it is necessary for at least one individual to meet the requirements of a social equity person. The definition of social equity individuals includes:

  1. Individuals who were sentenced for a weed-related offense.
  2. Individuals whose parent, life partner, child, legal guardian, or ward was sentenced for a weed-related offense.
  3. Individuals who are under the supervision of someone who was sentenced for a weed-related offense.

To be eligible, the cannabis-related convictions should have taken place in New York State prior to March 31, 2021. Arrests that did not result in a conviction are not considered. However, individuals may still qualify if they faced multiple charges but had the cannabis-related charges dismissed. It is important to note that the cannabis-related offenses must have violated the New York State Penal Law, while convictions of federal offenses are not eligible.

CAURD Qualifying Business Criteria:

Candidates applying as a qualifying business in New York should have a person who meets the accompanying models:

  • Justice-involved individual (portrayed previously);
  • Has qualifying business experience (possessed something like 10% of and controlled a business that was profitable for no less than two years);
  • Has sole control of the candidate (ability to arrange or coordinate the administration, directors, or strategies); and
  • Has critical presence in New York (residency, resources, genuine property, financial balance, or other association with or in New York State)

Justice-involved people should claim at least 51% of the cannabis dispensary permit. Various other justice-involved people can be essential for a similar application.  One person who meets each of the above rules should claim no less than 30% of the CAURD permit.

CAURD Application Documents:

CAURD retail licenses require at a minimum the following documents:

  • Evidence of being a justice-involved individual. Such documents include a Certificate of Disposition or other acceptable court documents or records of the marijuana-related conviction. Relatives must show a marriage certificate, birth certificate, or other acceptable documentation depending on the nature of the relationship, as applicable
  • Monetary reports, for example, tax records showing net profits and benefits of the company
  • Records showing a critical presence in New York, for example, ledgers, tax filings, property possession, or rent reports;
  • Proprietorship records of the qualifying business and of the candidate
  • True Party of Interest (TPI) exposure structures (disclosure forms)
  • Business plan (For a business plan in the Cannabis industry, we recommend taking help from Cannabis License Experts, check this page, Business Planning Solutions)
  • Monetary archives connecting to the candidate

Selection Criteria

The chosen applications for a CAURD permit will be those with the most noteworthy scores. Scores will be founded on the strength of the qualifying business criteria standards. It isn’t yet clear the specific scoring network. Notwithstanding, a few variables will impact candidates to get a higher score. For instance, marijuana-related convictions in regions influenced by over-policing or mass imprisonment might get a higher score.

Candidates will choose their main five territorial inclinations for a dispensary area separated as follows: Bronx, Brooklyn, Capital Region, Central NY, Finger Lakes, Long Island, Manhattan, Mid-Hudson, Mohawk Valley, North Country, Queens, Richmond, Southern Tier, and Western NY. The selection process will actively choose the top-scoring candidates in each district to proceed and assign them to a dispensary location allocated through the New York Social Equity Cannabis Investment Fund.

What Happens After?

Following the application cycle chosen candidates will have a year to finish the excess application prerequisites to get final approval. Additional records include but are not limited to, actively submitting fingerprints and notifying the local county or relevant authorities about the results.

For more information on the New York cannabis License market, you might want to check this webpage, New York Cannabis License Solutions, we also suggest keeping an eye on our blog section where we keep providing updated information.