License issuance and denial
Compiled text through Jul 31, 2022
Register checked through Jul 29, 2026
Later Register activity found — review the notice before relying on the compiled text.
Dates and status
- Compiling agency
- Executive Department
- Text status
- Source receipt
- Compiled text through
- Jul 31, 2022
- Register checked through
- July 29, 2026/Vol. XLVIII, Issue 30 (2026-07-29)
- Activity status
- Later Register activity found — review the notice before relying on the compiled text.
- Latest notice
- OCM-32-23-00031-EP · Emergency and proposed rule · Jul 27, 2023
- Source snapshot
- Jun 6, 2026
(a)An application for licensure under this Part shall only be approved by the office if:
(1)a complete application has been submitted to the office, along with all necessary fees;
(2)the application demonstrates, to the satisfaction of the office, that the applicant will operate in accordance with article 5 of the Cannabis Law and this Part;
(3)the applicant is ready, willing and able to properly carry on the activities set forth in the application; and
(4)the applicant is of good moral character.
(b)In determining whether to deny a license application, including an application for renewal, the office may consider the following factors with respect to the applicant, its owner(s) and any affiliated person, including parties with a controlling interest:
(1)false representation or omission of a material fact in filing the license application;
(2)failure to supply further information necessary to process the license application, within 30 days of the office’s written request, without satisfactory explanation;
(3)conviction of any crime or sustained charges of administrative violations of State or Federal laws, rules or regulations, related to the operation of a site growing, extracting, manufacturing or selling cannabis, hemp or cannabinoid hemp, in accordance with article 23-A of the Correction Law. Convictions qualifying for expungement pursuant to section 160.50 of the Criminal Procedure Law shall not be considered for purposes of this subdivision;
(4)a pattern of deficiencies, including but not limited to:
(i)refusal or inability to produce records or reports as requested by the office;
(ii)failure to correct deficiencies in accordance with an approved corrective action plan;
(iii)deviation from regulations or standard operating procedures so as to jeopardize the quality of hemp extract or cannabinoid hemp products; and
(iv)refusal to provide office employees with access to the premises;
(5)knowledge of sale of cannabinoid hemp products not meeting the requirements of this Part; and
(6)general failure to comply with the requirements of this Part.
(c)Denial of a license shall preclude the applicant from being licensed as a cannabinoid hemp processor or cannabinoid hemp retailer, either directly or indirectly through any other person.
(d)No license application shall be considered for any applicant who is substantially the same as an applicant who has been denied a license within six months of a determination by the office denying such application. In the event an applicant receives two successive license denials, no license application shall be considered for that applicant within two years of the last determination by the office denying a previous application.
(e)The office will prioritize applications from applicants who previously held a valid research partnership agreement with the New York State Department of Agriculture and Markets pursuant to article 29-A of the New York State Agriculture and Markets Law. All other applications will be reviewed in the order they are received by the office.
(f)For applicants seeking licensure as a cannabinoid hemp processor, the office may provisionally approve the application. Before a cannabinoid hemp processor license is issued, and the applicant can begin extracting or manufacturing, the provisionally approved applicant must first satisfy the following requirements:
(1)a copy of a certificate of occupancy, or its equivalent, demonstrating compliance with all local building codes;
(2)a copy of the approved applicant’s qualified third-party GMP certification;
(3)payment of licensure fee as follows:
(i)cannabinoid hemp processor – extraction and manufacturing: $3,500 per location; or
(ii)cannabinoid hemp processor – manufacturing only: $1,000 per location;
(4)proof of sufficient product liability insurance for all manufactured cannabinoid hemp products; and
(5)evidence, to the office’s satisfaction, that the applicant will be able to comply with this Part, which may include an onsite inspection.
(g)If a provisionally approved applicant fails to satisfy the requirements in subdivision (f) of this section within six months, the provisional approval will be revoked and the application denied; provided the applicant may request additional time and shall have the opportunity to demonstrate to the office a reasonable documented effort to complete the requirements of subdivision (f) of this section.
(h)Cannabinoid hemp processor licenses shall be valid for two years from the date of issuance of the license.
(i)A cannabinoid hemp processor seeking to terminate its license shall submit a withdrawal notice to the office at least 30 days prior to termination, along with a plan for shutting down operations at the licensed facility. Any licensing fees paid or invoiced prior to notice of withdrawal are not eligible for refund.
(j)Cannabinoid hemp retailer licenses shall be valid for one year from the date of issuance of the license.
(k)Cannabinoid hemp retailer applicants who submitted a completed application to the Department of Health on or before June 1, 2021 may sell cannabinoid hemp products at retail to consumers before having their license approved or denied by the office, provided that the cannabinoid hemp retail applicant adheres to all requirements of this Part.