Bill Text: NY A03506 | 2017-2018 | General Assembly | Amended
Bill Title: Enacts the "marihuana regulation and taxation act"; relates to the description of marihuana, and the growing of and use of marihuana by persons twenty-one years of age or older; makes technical changes regarding the definition of marihuana; relates to the qualification of certain offenses involving marihuana and exempts certain persons from prosecution for the use, consumption, display, production or distribution of marihuana; provides for the licensure of persons authorized to produce, process and sell marihuana; levies an excise tax on certain sales of marihuana; repeals certain provisions of the penal law relating to the criminal sale of marihuana and provisions of the general business law relating to drug paraphernalia; makes an appropriation therefor.
Spectrum: Partisan Bill (Democrat 32-0)
Status: (Introduced - Dead) 2018-11-16 - print number 3506c [A03506 Detail]
Download: New_York-2017-A03506-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 3506--C 2017-2018 Regular Sessions IN ASSEMBLY January 27, 2017 ___________ Introduced by M. of A. PEOPLES-STOKES, GOTTFRIED, LUPARDO, WEPRIN, HUNT- ER, HYNDMAN, PICHARDO, BLAKE, L. ROSENTHAL, JAFFEE, DINOWITZ, JEAN-PIERRE, ABINANTI, RICHARDSON, HEVESI, WALKER, JENNE, VANEL, PELLEGRINO, NIOU, WRIGHT, BICHOTTE, CAHILL -- Multi-Sponsored by -- M. of A. EPSTEIN, MOSLEY, SEAWRIGHT, SIMON, STECK, TAYLOR -- read once and referred to the Committee on Codes -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said commit- tee -- again reported from said committee with amendments, ordered reprinted as amended and recommitted to said committee -- again reported from said committee with amendments, ordered reprinted as amended and recommitted to said committee AN ACT to amend the public health law, in relation to the description of marihuana, and the growing of and use of marihuana by persons twenty- one years of age or older; to amend the civil practice law and rules, in relation to removing certain references to marihuana relating to forfeiture actions; to amend the vehicle and traffic law, in relation to making technical changes regarding the definition of marihuana; to amend the penal law, in relation to the qualification of certain offenses involving marihuana and to exempt certain persons from prose- cution for the use, consumption, display, production or distribution of marihuana; to amend the alcoholic beverage control law, in relation to providing for the licensure of persons authorized to produce, proc- ess and sell marihuana; to amend the state finance law, in relation to establishing the New York state marihuana revenue fund, the New York state drug treatment education fund and the New York state community grants reinvestment fund; to amend the tax law, in relation to provid- ing for the levying of an excise tax on certain sales of marihuana; to amend the criminal procedure law, the civil practice law and rules, the general business law, the state finance law, the executive law, the penal law and the vehicle and traffic law, in relation to making conforming changes; to amend the alcoholic beverage control law, in relation to alcohol or substance use disorder training awareness programs; to amend the state finance law, in relation to a revolving loan fund; to amend the family court act, in relation to making EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. A LBD05327-08-8A. 3506--C 2 conforming changes; to repeal sections 221.05, 221.10, 221.15, 221.20, 221.25, 221.30, 221.35 and 221.40 of the penal law relating to the criminal possession and sale of marihuana; to repeal paragraph (f) of subdivision 2 of section 850 of the general business law relating to drug related paraphernalia; to repeal section 150.75 of the criminal procedure law relating to appearance tickets for certain marihuana offenses; and making an appropriation therefor The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. This act shall be known and may be cited as the "marihuana 2 regulation and taxation act". 3 § 2. Legislative findings and intent. The legislature finds that 4 existing marihuana laws have not been beneficial to the welfare of the 5 general public. Existing laws have been ineffective in reducing or curb- 6 ing marihuana use and have instead resulted in devastating collateral 7 consequences that inhibit an otherwise law-abiding citizen's ability to 8 access housing, employment opportunities, and other vital services. 9 Existing laws have also created an illicit market which represents a 10 threat to public health and reduces the ability of the legislature to 11 deter the accessing of marihuana by minors. Existing marihuana laws have 12 also disproportionately impacted African-American and Latino communi- 13 ties. 14 The intent of this act is to regulate, control, and tax marihuana in a 15 manner similar to alcohol, generate millions of dollars in new revenue, 16 prevent access to marihuana by those under the age of twenty-one years, 17 reduce the illegal drug market and reduce violent crime, reduce partic- 18 ipation of otherwise law-abiding citizens in the illicit market, end the 19 racially disparate impact of existing marihuana laws and create new 20 industries and increase employment. 21 Nothing in this act is intended to limit the authority of any district 22 government agency or office or employers to enact and enforce policies 23 pertaining to marihuana in the workplace, to allow driving under the 24 influence of marihuana, to allow individuals to engage in conduct that 25 endangers others, to allow smoking marihuana in any location where smok- 26 ing tobacco is prohibited, or to require any individual to engage in any 27 conduct that violates federal law or to exempt anyone from any require- 28 ment of federal law or pose any obstacle to the federal enforcement of 29 federal law. 30 Nothing in this act is intended to limit any privileges or rights of a 31 medical marihuana patient or medical marihuana caregiver under the New 32 York Compassionate Care Act. 33 It is the intent of this act that no child shall be the subject of a 34 child neglect or abuse investigation or proceeding based solely on a 35 parent's alleged use of marihuana. A newborn child's positive toxicology 36 result for marihuana, is not sufficient on its own to support a finding 37 of child neglect or abuse. Enactment of this act shall provide suffi- 38 cient basis for New York state to favorably resolve open investigations 39 and to amend and seal individuals' family court records and records of 40 indicated child abuse or neglect reports currently in the statewide 41 central register of child abuse and maltreatment based solely on the use 42 of marihuana or where the reporter of suspected abuse or neglect was a 43 law enforcement agency or staff person and the report was based solely 44 upon the presence of a child during a marihuana-related arrest.A. 3506--C 3 1 § 3. Section 3302 of the public health law, as added by chapter 878 of 2 the laws of 1972, subdivisions 1, 14, 16, 17 and 27 as amended and 3 subdivisions 4, 5, 6, 7, 8, 11, 12, 13, 15, 18, 19, 20, 21, 22, 23, 24, 4 25, 26, 28, 29 and 30 as renumbered by chapter 537 of the laws of 1998, 5 subdivisions 9 and 10 as amended and subdivisions 34, 35, 36, 37, 38, 39 6 and 40 as added by chapter 178 of the laws of 2010, paragraph (a) of 7 subdivision 20, the opening paragraph of subdivision 22 and subdivision 8 29 as amended by chapter 163 of the laws of 1973, subdivision 31 as 9 amended by section 4 of part A of chapter 58 of the laws of 2004, subdi- 10 vision 41 as added by section 6 of part A of chapter 447 of the laws of 11 2012, and subdivisions 42 and 43 as added by section 13 of part D of 12 chapter 60 of the laws of 2014, is amended to read as follows: 13 § 3302. Definitions of terms of general use in this article. Except 14 where different meanings are expressly specified in subsequent 15 provisions of this article, the following terms have the following mean- 16 ings: 17 1. "Addict" means a person who habitually uses a controlled substance 18 for a non-legitimate or unlawful use, and who by reason of such use is 19 dependent thereon. 20 2. "Administer" means the direct application of a controlled 21 substance, whether by injection, inhalation, ingestion, or any other 22 means, to the body of a patient or research subject. 23 3. "Agent" means an authorized person who acts on behalf of or at the 24 direction of a manufacturer, distributor, or dispenser. No person may be 25 authorized to so act if under title VIII of the education law such 26 person would not be permitted to engage in such conduct. It does not 27 include a common or contract carrier, public warehouseman, or employee 28 of the carrier or warehouseman when acting in the usual and lawful 29 course of the carrier's or warehouseman's business. 30 4. ["Concentrated Cannabis" means31(a) the separated resin, whether crude or purified, obtained from a32plant of the genus Cannabis; or33(b) a material, preparation, mixture, compound or other substance34which contains more than two and one-half percent by weight of delta-935tetrahydrocannabinol, or its isomer, delta-8 dibenzopyran numbering36system, or delta-1 tetrahydrocannabinol or its isomer, delta 1 (6) mono-37terpene numbering system.385.] "Controlled substance" means a substance or substances listed in 39 section thirty-three hundred six of this [chapter] title. 40 [6.] 5. "Commissioner" means commissioner of health of the state of 41 New York. 42 [7.] 6. "Deliver" or "delivery" means the actual, constructive or 43 attempted transfer from one person to another of a controlled substance, 44 whether or not there is an agency relationship. 45 [8.] 7. "Department" means the department of health of the state of 46 New York. 47 [9.] 8. "Dispense" means to deliver a controlled substance to an ulti- 48 mate user or research subject by lawful means, including by means of the 49 internet, and includes the packaging, labeling, or compounding necessary 50 to prepare the substance for such delivery. 51 [10.] 9. "Distribute" means to deliver a controlled substance, includ- 52 ing by means of the internet, other than by administering or dispensing. 53 [11.] 10. "Distributor" means a person who distributes a controlled 54 substance.A. 3506--C 4 1 [12.] 11. "Diversion" means manufacture, possession, delivery or use 2 of a controlled substance by a person or in a manner not specifically 3 authorized by law. 4 [13.] 12. "Drug" means 5 (a) substances recognized as drugs in the official United States Phar- 6 macopoeia, official Homeopathic Pharmacopoeia of the United States, or 7 official National Formulary, or any supplement to any of them; 8 (b) substances intended for use in the diagnosis, cure, mitigation, 9 treatment, or prevention of disease in man or animals; and 10 (c) substances (other than food) intended to affect the structure or a 11 function of the body of man or animal. It does not include devices or 12 their components, parts, or accessories. 13 [14.] 13. "Federal agency" means the Drug Enforcement Administration, 14 United States Department of Justice, or its successor agency. 15 [15.] 14. "Federal controlled substances act" means the Comprehensive 16 Drug Abuse Prevention and Control Act of 1970, Public Law 91-513, and 17 any act or acts amendatory or supplemental thereto or regulations 18 promulgated thereunder. 19 [16.] 15. "Federal registration number" means such number assigned by 20 the Federal agency to any person authorized to manufacture, distribute, 21 sell, dispense or administer controlled substances. 22 [17.] 16. "Habitual user" means any person who is, or by reason of 23 repeated use of any controlled substance for non-legitimate or unlawful 24 use is in danger of becoming, dependent upon such substance. 25 [18.] 17. "Institutional dispenser" means a hospital, veterinary 26 hospital, clinic, dispensary, maternity home, nursing home, mental 27 hospital or similar facility approved and certified by the department as 28 authorized to obtain controlled substances by distribution and to 29 dispense and administer such substances pursuant to the order of a prac- 30 titioner. 31 [19.] 18. "License" means a written authorization issued by the 32 department or the New York state department of education permitting 33 persons to engage in a specified activity with respect to controlled 34 substances. 35 [20.] 19. "Manufacture" means the production, preparation, propa- 36 gation, compounding, cultivation, conversion or processing of a 37 controlled substance, either directly or indirectly or by extraction 38 from substances of natural origin, or independently by means of chemical 39 synthesis, or by a combination of extraction and chemical synthesis, and 40 includes any packaging or repackaging of the substance or labeling or 41 relabeling of its container, except that this term does not include the 42 preparation, compounding, packaging or labeling of a controlled 43 substance: 44 (a) by a practitioner as an incident to his administering or dispens- 45 ing of a controlled substance in the course of his professional prac- 46 tice; or 47 (b) by a practitioner, or by his authorized agent under his super- 48 vision, for the purpose of, or as an incident to, research, teaching, or 49 chemical analysis and not for sale; or 50 (c) by a pharmacist as an incident to his dispensing of a controlled 51 substance in the course of his professional practice. 52 [21. "Marihuana" means all parts of the plant of the genus Cannabis,53whether growing or not; the seeds thereof; the resin extracted from any54part of the plant; and every compound, manufacture, salt, derivative,55mixture, or preparation of the plant, its seeds or resin. It does not56include the mature stalks of the plant, fiber produced from the stalks,A. 3506--C 5 1oil or cake made from the seeds of the plant, any other compound, manu-2facture, salt, derivative, mixture, or preparation of the mature stalks3(except the resin extracted therefrom), fiber, oil, or cake, or the4sterilized seed of the plant which is incapable of germination.522.] 20. "Narcotic drug" means any of the following, whether produced 6 directly or indirectly by extraction from substances of vegetable 7 origin, or independently by means of chemical synthesis, or by a combi- 8 nation of extraction and chemical synthesis: 9 (a) opium and opiate, and any salt, compound, derivative, or prepara- 10 tion of opium or opiate; 11 (b) any salt, compound, isomer, derivative, or preparation thereof 12 which is chemically equivalent or identical with any of the substances 13 referred to in [subdivision] paragraph (a) of this subdivision, but not 14 including the isoquinoline alkaloids of opium; 15 (c) opium poppy and poppy straw. 16 [23.] 21. "Opiate" means any substance having an addiction-forming or 17 addiction-sustaining liability similar to morphine or being capable of 18 conversion into a drug having addiction-forming or addiction-sustaining 19 liability. It does not include, unless specifically designated as 20 controlled under section [3306] thirty-three hundred six of this [arti-21cle] title, the dextrorotatory isomer of 3-methoxy-n-methylmorphinan and 22 its salts (dextromethorphan). It does include its racemic and levorota- 23 tory forms. 24 [24.] 22. "Opium poppy" means the plant of the species Papaver 25 somniferum L., except its seeds. 26 [25.] 23. "Person" means individual, institution, corporation, govern- 27 ment or governmental subdivision or agency, business trust, estate, 28 trust, partnership or association, or any other legal entity. 29 [26.] 24. "Pharmacist" means any person licensed by the state depart- 30 ment of education to practice pharmacy. 31 [27.] 25. "Pharmacy" means any place registered as such by the New 32 York state board of pharmacy and registered with the Federal agency 33 pursuant to the federal controlled substances act. 34 [28.] 26. "Poppy straw" means all parts, except the seeds, of the 35 opium poppy, after mowing. 36 [29.] 27. "Practitioner" means: 37 A physician, dentist, podiatrist, veterinarian, scientific investi- 38 gator, or other person licensed, or otherwise permitted to dispense, 39 administer or conduct research with respect to a controlled substance in 40 the course of a licensed professional practice or research licensed 41 pursuant to this article. Such person shall be deemed a "practitioner" 42 only as to such substances, or conduct relating to such substances, as 43 is permitted by his license, permit or otherwise permitted by law. 44 [30.] 28. "Prescribe" means a direction or authorization, by 45 prescription, permitting an ultimate user lawfully to obtain controlled 46 substances from any person authorized by law to dispense such 47 substances. 48 [31.] 29. "Prescription" shall mean an official New York state 49 prescription, an electronic prescription, an oral prescription[,] or an 50 out-of-state prescription[, or any one]. 51 [32.] 30. "Sell" means to sell, exchange, give or dispose of to anoth- 52 er, or offer or agree to do the same. 53 [33.] 31. "Ultimate user" means a person who lawfully obtains and 54 possesses a controlled substance for his own use or the use by a member 55 of his household or for an animal owned by him or in his custody. It 56 shall also mean and include a person designated, by a practitioner on aA. 3506--C 6 1 prescription, to obtain such substance on behalf of the patient for whom 2 such substance is intended. 3 [34.] 32. "Internet" means collectively computer and telecommuni- 4 cations facilities which comprise the worldwide network of networks that 5 employ a set of industry standards and protocols, or any predecessor or 6 successor protocol to such protocol, to exchange information of all 7 kinds. "Internet," as used in this article, also includes other 8 networks, whether private or public, used to transmit information by 9 electronic means. 10 [35.] 33. "By means of the internet" means any sale, delivery, 11 distribution, or dispensing of a controlled substance that uses the 12 internet, is initiated by use of the internet or causes the internet to 13 be used. 14 [36.] 34. "Online dispenser" means a practitioner, pharmacy, or person 15 in the United States that sells, delivers or dispenses, or offers to 16 sell, deliver, or dispense, a controlled substance by means of the 17 internet. 18 [37.] 35. "Electronic prescription" means a prescription issued with 19 an electronic signature and transmitted by electronic means in accord- 20 ance with regulations of the commissioner and the commissioner of educa- 21 tion and consistent with federal requirements. A prescription generated 22 on an electronic system that is printed out or transmitted via facsimile 23 is not considered an electronic prescription and must be manually 24 signed. 25 [38.] 36. "Electronic" means of or relating to technology having elec- 26 trical, digital, magnetic, wireless, optical, electromagnetic or similar 27 capabilities. "Electronic" shall not include facsimile. 28 [39.] 37. "Electronic record" means a paperless record that is 29 created, generated, transmitted, communicated, received or stored by 30 means of electronic equipment and includes the preservation, retrieval, 31 use and disposition in accordance with regulations of the commissioner 32 and the commissioner of education and in compliance with federal law and 33 regulations. 34 [40.] 38. "Electronic signature" means an electronic sound, symbol, or 35 process, attached to or logically associated with an electronic record 36 and executed or adopted by a person with the intent to sign the record, 37 in accordance with regulations of the commissioner and the commissioner 38 of education. 39 [41.] 39. "Registry" or "prescription monitoring program registry" 40 means the prescription monitoring program registry established pursuant 41 to section thirty-three hundred forty-three-a of this article. 42 [42.] 40. "Compounding" means the combining, admixing, mixing, dilut- 43 ing, pooling, reconstituting, or otherwise altering of a drug or bulk 44 drug substance to create a drug with respect to an outsourcing facility 45 under section 503B of the federal Food, Drug and Cosmetic Act and 46 further defined in this section. 47 [43.] 41. "Outsourcing facility" means a facility that: 48 (a) is engaged in the compounding of sterile drugs as defined in 49 section sixty-eight hundred two of the education law; 50 (b) is currently registered as an outsourcing facility pursuant to 51 article one hundred thirty-seven of the education law; and 52 (c) complies with all applicable requirements of federal and state 53 law, including the Federal Food, Drug and Cosmetic Act. 54 Notwithstanding any other provision of law to the contrary, when an 55 outsourcing facility distributes or dispenses any drug to any person 56 pursuant to a prescription, such outsourcing facility shall be deemed toA. 3506--C 7 1 be providing pharmacy services and shall be subject to all laws, rules 2 and regulations governing pharmacies and pharmacy services. 3 § 4. Paragraphs 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 4 26, 27, 28, 29, 30, 31 and 32 of subdivision (d) of schedule I of 5 section 3306 of the public health law, paragraphs 13, 14, 15, 16, 17, 6 18, 19, 20, 21, 22, 23 and 24 as added by chapter 664 of the laws of 7 1985, paragraphs 25, 26, 27, 28, 29 and 30 as added by chapter 589 of 8 the laws of 1996 and paragraphs 31 and 32 as added by chapter 457 of the 9 laws of 2006, are amended to read as follows: 10 (13) [Marihuana.11(14)] Mescaline. 12 [(15)] (14) Parahexyl. Some trade or other names: 3-Hexyl-1-hydroxy- 13 7,8,9,10-tetra hydro-6,6,9-trimethyl-6H-dibenfo{b,d} pyran. 14 [(16)] (15) Peyote. Meaning all parts of the plant presently classi- 15 fied botanically as Lophophora williamsii Lemaire, whether growing or 16 not, the seeds thereof, any extract from any part of such plant, and 17 every compound, manufacture, salts, derivative, mixture, or preparation 18 of such plant, its seeds or extracts. 19 [(17)] (16) N-ethyl-3-piperidyl benzilate. 20 [(18)] (17) N-methyl-3-piperidyl benzilate. 21 [(19)] (18) Psilocybin. 22 [(20)] (19) Psilocyn. 23 [(21)] (20) Tetrahydrocannabinols. Synthetic tetrahydrocannabinols not 24 derived from the cannabis plant that are equivalents of the substances 25 contained in the plant, or in the resinous extractives of cannabis, sp. 26 and/or synthetic substances, derivatives, and their isomers with similar 27 chemical structure and pharmacological activity such as the following: 28 [/\] delta 1 cis or trans tetrahydrocannabinol, and their optical 29 isomers 30 [/\] delta 6 cis or trans tetrahydrocannabinol, and their optical 31 isomers 32 [/\] delta 3, 4 cis or trans tetrahydrocannabinol, and its optical 33 isomers (since nomenclature of these substances is not internationally 34 standardized, compounds of these structures, regardless of numerical 35 designation of atomic positions covered). 36 [(22)] (21) Ethylamine analog of phencyclidine. Some trade or other 37 names: N-ethyl-1-phenylcyclohexylamine, (1-phenylcyclohexyl) ethyla- 38 mine, N-(1-phenylcyclohexyl) ethylamine cyclohexamine, PCE. 39 [(23)] (22) Pyrrolidine analog of phencyclidine. Some trade or other 40 names 1-(1-phenylcyclohexyl)-pyrrolidine; PCPy, PHP. 41 [(24)] (23) Thiophene analog of phencyclidine. Some trade or other 42 names: 1-{1-(2-thienyl)-cyclohexyl}-piperidine, 2-thienylanalog of 43 phencyclidine, TPCP, TCP. 44 [(25)] (24) 3,4-methylenedioxymethamphetamine (MDMA). 45 [(26)] (25) 3,4-methylendioxy-N-ethylamphetamine (also known as 46 N-ethyl-alpha-methyl-3,4 (methylenedioxy) phenethylamine, N-ethyl MDA, 47 MDE, MDEA. 48 [(27)] (26) N-hydroxy-3,4-methylenedioxyamphetamine (also known as 49 N-hydroxy-alpha-methyl-3,4 (methylenedioxy) phenethylamine, and 50 N-hydroxy MDA. 51 [(28)] (27) 1-{1- (2-thienyl) cyclohexyl} pyrrolidine. Some other 52 names: TCPY. 53 [(29)] (28) Alpha-ethyltryptamine. Some trade or other names: 54 etryptamine; Monase; Alpha-ethyl-1H-indole-3-ethanamine; 55 3- (2-aminobutyl) indole; Alpha-ET or AET.A. 3506--C 8 1 [(30)] (29) 2,5-dimethoxy-4-ethylamphetamine. Some trade or other 2 names: DOET. 3 [(31)] (30) 4-Bromo-2,5-dimethoxyphenethylamine. Some trade or other 4 names: 2-(4-bromo-2,5-dimethoxyphenyl)-1-aminoethane; alpha-desmethyl 5 DOB; 2C-B, Nexus. 6 [(32)] (31) 2,5-dimethoxy-4-(n)-propylthiophenethylamine (2C-T-7), its 7 optical isomers, salts and salts of isomers. 8 § 5. Section 3382 of the public health law, as added by chapter 878 of 9 the laws of 1972, is amended to read as follows: 10 § 3382. Growing of the plant known as Cannabis by unlicensed persons. 11 A person who, without being licensed so to do under this article, grows 12 the plant of the genus Cannabis or knowingly allows it to grow on his 13 land without destroying the same, shall be guilty of a class A misdemea- 14 nor, unless the person grows in accordance with sections 221.05 and 15 221.05-a of the penal law. 16 § 6. Paragraph (d) of subdivision 3, subdivision 3-a and paragraphs 17 (a) and (b) of subdivision 11 of section 1311 of the civil practice law 18 and rules, paragraph (d) of subdivision three and subdivision 3-a as 19 added by chapter 655 of the laws of 1990 and paragraphs (a) and (b) of 20 subdivision 11 as amended by section 47 of part A-1 of chapter 56 of the 21 laws of 2010, are amended to read as follows: 22 (d) In a forfeiture action commenced by a claiming authority against a 23 defendant, the following rebuttable presumption shall apply: all curren- 24 cy or negotiable instruments payable to the bearer shall be presumed to 25 be the proceeds of a pre-conviction forfeiture crime when such currency 26 or negotiable instruments are (i) found in close proximity to a 27 controlled substance unlawfully possessed by the defendant in an amount 28 sufficient to constitute a violation of section 220.18 or 220.21 of the 29 penal law, or (ii) found in close proximity to any quantity of a 30 controlled substance [or marihuana] unlawfully possessed by such defend- 31 ant in a room, other than a public place, under circumstances evincing 32 an intent to unlawfully mix, compound, distribute, package or otherwise 33 prepare for sale such controlled substance [or marihuana]. 34 3-a. Conviction of a person in a criminal action upon an accusatory 35 instrument which includes one or more of the felonies specified in 36 subdivision four-b of section thirteen hundred ten of this article, of 37 any felony other than such felonies, shall not preclude a defendant, in 38 any subsequent proceeding under this article where that conviction is at 39 issue, from adducing evidence that the conduct underlying the conviction 40 would not establish the elements of any of the felonies specified in 41 such subdivision other than the one to which the criminal defendant pled 42 guilty. If the defendant does adduce such evidence, the burden shall be 43 upon the claiming authority to prove, by clear and convincing evidence, 44 that the conduct underlying the criminal conviction would establish the 45 elements of the felony specified in such subdivision. Nothing contained 46 in this subdivision shall affect the validity of a settlement of any 47 forfeiture action negotiated between the claiming authority and a crimi- 48 nal defendant contemporaneously with the taking of a plea of guilty in a 49 criminal action to any felony defined in article two hundred twenty [or50section 221.30 or 221.55] of the penal law, or to a felony conspiracy to 51 commit the same. 52 (a) Any stipulation or settlement agreement between the parties to a 53 forfeiture action shall be filed with the clerk of the court in which 54 the forfeiture action is pending. No stipulation or settlement agreement 55 shall be accepted for filing unless it is accompanied by an affidavit 56 from the claiming authority that written notice of the stipulation orA. 3506--C 9 1 settlement agreement, including the terms of such, has been given to the 2 office of victim services, the state division of criminal justice 3 services[, and in the case of a forfeiture based on a felony defined in4article two hundred twenty or section 221.30 or 221.55 of the penal law,5to the state division of substance abuse services]. 6 (b) No judgment or order of forfeiture shall be accepted for filing 7 unless it is accompanied by an affidavit from the claiming authority 8 that written notice of judgment or order, including the terms of such, 9 has been given to the office of victim services, the state division of 10 criminal justice services[, and in the case of a forfeiture based on a11felony defined in article two hundred twenty or section 221.30 or 221.5512of the penal law, to the state division of substance abuse services]. 13 § 7. Subdivision 1 of section 3397-b of the public health law, as 14 added by chapter 810 of the laws of 1980, is amended to read as follows: 15 1. ["Marijuana"] "Marihuana" means [marijuana] marihuana as defined in 16 [section thirty-three hundred two of this chapter] subdivision six of 17 section 220.00 of the penal law and shall also include tetrahydrocanna- 18 binols or a chemical derivative of tetrahydrocannabinol. 19 § 8. Section 114-a of the vehicle and traffic law, as added by chapter 20 163 of the laws of 1973, is amended to read as follows: 21 § 114-a. Drug. The term "drug" when used in this chapter, means and 22 includes any substance listed in section thirty-three hundred six of the 23 public health law and marihuana and concentrated cannabis as defined in 24 section 220.00 of the penal law. 25 § 9. Subdivisions 5, 6 and 9 of section 220.00 of the penal law, 26 subdivision 5 as amended by chapter 537 of the laws of 1998, subdivision 27 6 as amended by chapter 1051 of the laws of 1973 and subdivision 9 as 28 amended by chapter 664 of the laws of 1985, are amended and two new 29 subdivisions 21 and 22 are added to read as follows: 30 5. "Controlled substance" means any substance listed in schedule I, 31 II, III, IV or V of section thirty-three hundred six of the public 32 health law other than marihuana, but including concentrated cannabis as 33 defined in [paragraph (a) of subdivision four of section thirty-three34hundred two of such law] subdivision twenty-one of this section. 35 6. "Marihuana" means ["marihuana" or "concentrated cannabis" as those36terms are defined in section thirty-three hundred two of the public37health law] all parts of the plant of the genus Cannabis, whether grow- 38 ing or not; the seeds thereof; the resin extracted from any part of the 39 plant; and every compound, manufacture, salt, derivative, mixture, or 40 preparation of the plant, its seeds or resin. It does not include the 41 mature stalks of the plant, fiber produced from the stalks, oil or cake 42 made from the seeds of the plant, any other compound, manufacture, salt, 43 derivative, mixture, or preparation of the mature stalks (except the 44 resin extracted therefrom), fiber, oil, or cake, or the sterilized seed 45 of the plant which is incapable of germination. It does not include all 46 parts of the plant Cannabis sativa L., whether growing or not, having no 47 more than three-tenths of one percent tetrahydrocannabinol (THC). 48 9. "Hallucinogen" means any controlled substance listed in [schedule49I(d)] paragraphs (5), [(18), (19), (20), (21) and (22)] (17), (18), 50 (19), (20) and (21) of subdivision (d) of schedule I of section thirty- 51 three hundred six of the public health law. 52 21. "Concentrated cannabis" means: 53 (a) the separated resin, whether crude or purified, obtained from a 54 plant of the genus Cannabis; or 55 (b) a material, preparation, mixture, compound or other substance 56 which contains more than three percent by weight of delta-9 tetrahydro-A. 3506--C 10 1 cannabinol, or its isomer, delta-8 dibenzopyran numbering system, or 2 delta-1 tetrahydrocannabinol or its isomer, delta 1 (6) monoterpene 3 numbering system. 4 22. "Marihuana products" means marihuana, concentrated cannabis, and 5 marihuana-infused products containing concentrated marihuana or cannabis 6 and other ingredients. 7 § 10. Subdivision 4 of section 220.06 of the penal law, as amended by 8 chapter 537 of the laws of 1998, is amended to read as follows: 9 4. one or more preparations, compounds, mixtures or substances 10 containing concentrated cannabis as defined in [paragraph (a) of subdi-11vision four of section thirty-three hundred two of the public health12law] subdivision twenty-one of section 220.00 of this article and said 13 preparations, compounds, mixtures or substances are of an aggregate 14 weight of one-fourth ounce or more; or 15 § 11. Subdivision 10 of section 220.09 of the penal law, as amended by 16 chapter 537 of the laws of 1998, is amended to read as follows: 17 10. one or more preparations, compounds, mixtures or substances 18 containing concentrated cannabis as defined in [paragraph (a) of subdi-19vision four of section thirty-three hundred two of the public health20law] subdivision twenty-one of section 220.00 of this article and said 21 preparations, compounds, mixtures or substances are of an aggregate 22 weight of one ounce or more; or 23 § 12. Subdivision 3 of section 220.34 of the penal law, as amended by 24 chapter 537 of the laws of 1998, is amended to read as follows: 25 3. concentrated cannabis as defined in [paragraph (a) of subdivision26four of section thirty-three hundred two of the public health law] 27 subdivision twenty-one of section 220.00 of this article; or 28 § 13. Section 220.50 of the penal law, as amended by chapter 627 of 29 the laws of 1990, is amended to read as follows: 30 § 220.50 Criminally using drug paraphernalia in the second degree. 31 A person is guilty of criminally using drug paraphernalia in the 32 second degree when he knowingly possesses or sells: 33 1. Diluents, dilutants or adulterants, including but not limited to, 34 any of the following: quinine hydrochloride, mannitol, mannite, lactose 35 or dextrose, adapted for the dilution of narcotic drugs or stimulants 36 under circumstances evincing an intent to use, or under circumstances 37 evincing knowledge that some person intends to use, the same for 38 purposes of unlawfully mixing, compounding, or otherwise preparing any 39 narcotic drug or stimulant, other than marihuana or concentrated canna- 40 bis; or 41 2. Gelatine capsules, glassine envelopes, vials, capsules or any other 42 material suitable for the packaging of individual quantities of narcotic 43 drugs or stimulants under circumstances evincing an intent to use, or 44 under circumstances evincing knowledge that some person intends to use, 45 the same for the purpose of unlawfully manufacturing, packaging or 46 dispensing of any narcotic drug or stimulant, other than marihuana or 47 concentrated cannabis; or 48 3. Scales and balances used or designed for the purpose of weighing or 49 measuring controlled substances, under circumstances evincing an intent 50 to use, or under circumstances evincing knowledge that some person 51 intends to use, the same for purpose of unlawfully manufacturing, pack- 52 aging or dispensing of any narcotic drug or stimulant, other than mari- 53 huana or concentrated cannabis. 54 Criminally using drug paraphernalia in the second degree is a class A 55 misdemeanor.A. 3506--C 11 1 § 14. Sections 221.05, 221.10, 221.15, 221.20, 221.25, 221.30, 221.35 2 and 221.40 of the penal law are REPEALED. 3 § 15. The penal law is amended by adding two new sections 221.05 and 4 221.05-a to read as follows: 5 § 221.05 Personal use of marihuana. 6 1. Notwithstanding any other provision of this chapter, the following 7 acts are lawful under state and local law for persons twenty-one years 8 of age and older: 9 (a) possessing, using, being under the influence, displaying, purchas- 10 ing, obtaining, or transporting up to two pounds of marihuana and four 11 and one-half ounces of concentrated cannabis; 12 (b) transferring, without remuneration, to a person twenty-one years 13 of age and older up to two pounds of marihuana and four and one-half 14 ounces of concentrated cannabis; 15 (c) possessing, planting, cultivating, harvesting, drying, processing 16 or transporting not more than six living marihuana plants and possessing 17 the marihuana and concentrated cannabis produced by the plants; 18 (d) smoking, ingesting or otherwise consuming marihuana products; 19 (e) possessing, using, displaying, purchasing, obtaining, manufactur- 20 ing, transporting or giving away to persons twenty-one years of age and 21 older marihuana or concentrated cannabis paraphernalia; and 22 (f) assisting another person who is twenty-one years of age and older 23 or allow property to be used in any of the acts described in paragraphs 24 (a) through (e) of this subdivision. 25 2. Paragraph (e) of subdivision one of this section is intended to 26 meet the requirements of subsection (f) of Section 863 of Title twenty- 27 one of the United States Code (21 U.S.C. § 863 (f)) by authorizing, 28 under state law, any person in compliance with this section to manufac- 29 ture, possess, or distribute marihuana paraphernalia. 30 3. Marihuana products involved in any way with conduct deemed lawful 31 by this section are not contraband nor subject to seizure or forfeiture 32 of assets under article four hundred eighty of this chapter, section 33 thirteen hundred eleven of the civil practice law and rules, or other 34 applicable law, and no conduct deemed lawful by this section shall 35 constitute the basis for approach, search, seizure, arrest, and/or 36 detention. 37 4. (a) Except as provided in subdivision five of this section, none of 38 the following shall, individually or in combination with each other, 39 constitute reasonable suspicion of a crime or be used as evidence in any 40 criminal proceeding: 41 (1) the odor of marihuana or of burnt marihuana; 42 (2) the possession of or the suspicion of possession of marihuana 43 products; 44 (3) The possession of multiple containers of marihuana without 45 evidence of marihuana quantity in excess of sixteen ounces or concen- 46 trated cannabis quantity in excess of four and one-half ounces; or 47 (4) the presence of cash or currency cannot be used as evidence in any 48 cases involving unlicensed sale of marihuana. 49 (b) The possession of not more than two pounds of marihuana or not 50 more than four and one-half ounces of concentrated cannabis cannot be 51 used as evidence in any cases involving unlicensed sale of marihuana. 52 5. Subdivision four of this section shall not apply when a law 53 enforcement officer is investigating whether a person is operating or in 54 physical control of a vehicle or watercraft while intoxicated, under the 55 influence of, or impaired by alcohol or a drug or any combination there-A. 3506--C 12 1 of in violation of section eleven hundred ninety-two of the vehicle and 2 traffic law. 3 6. Possession of greater than two pounds of marihuana and greater than 4 four and one-half ounces of concentrated cannabis is a violation punish- 5 able by a fine of not more than one hundred twenty-five dollars per 6 offense. 7 § 221.05-a Personal cultivation of marihuana. 8 1. Personal cultivation of marihuana under paragraph (c) of subdivi- 9 sion one of section 221.05 of this article is subject to the following 10 restrictions: 11 (a) a person shall plant, cultivate, harvest, dry, or process plants 12 in accordance with local ordinances, if any, adopted in accordance with 13 subdivision two of this section; 14 (b) the living plants and any marihuana produced by the plants in 15 excess of two pounds are kept within the person's private residence, or 16 upon the grounds of that private residence (e.g., in an outdoor garden 17 area), are in a locked space, and are not visible by normal unaided 18 vision from a public place; and 19 (c) not more than six living plants may be planted, cultivated, 20 harvested, dried, or processed within a single private residence, or 21 upon the grounds of that private residence, at one time. 22 2. (a) A town, city or village may enact and enforce reasonable regu- 23 lations to reasonably regulate the actions and conduct in paragraph (c) 24 of subdivision one of section 221.05 of this article, provided that a 25 violation of such a regulation is only subject to an infraction and 26 fine. 27 (b) Notwithstanding paragraph (a) of this subdivision, no town, city 28 or village may completely prohibit persons engaging in the actions and 29 conduct under paragraph (c) of subdivision one of section 221.05 of this 30 article. 31 3. A violation of subdivision one or two of this section is a 32 violation punishable by a fine of not more than one hundred twenty-five 33 dollars per offense. 34 § 16. Section 221.45 of the penal law, as amended by chapter 265 of 35 the laws of 1979, the opening paragraph as amended by chapter 75 of the 36 laws of 1995, is amended to read as follows: 37 § 221.45 [Criminal] Unlicensed sale of marihuana in the third degree. 38 A person is guilty of [criminal] unlicensed sale of marihuana in the 39 third degree when he knowingly and unlawfully sells [one or more prepa-40rations, compounds, mixtures or substances containing marihuana and the41preparations, compounds, mixtures or substances are of an aggregate42weight of more than twenty-five grams] with remuneration not more than 43 two pounds of marihuana or not more than four and one-half ounces of 44 concentrated cannabis, not including the weight of any other ingredient 45 combined with marihuana to prepare topical or oral administrations, 46 food, drink, or other product. 47 [Criminal] Unlicensed sale of marihuana in the third degree is [a48class E felony] subject to the following: 49 1. A violation punishable by a fine of not more than one hundred twen- 50 ty-five dollars, for a first offense; 51 2. A violation publishable by a fine of not more than two hundred 52 fifty dollars for a second offense; 53 3. A class B misdemeanor and a fine of not more than five hundred 54 dollars for a third or subsequent offense.A. 3506--C 13 1 § 17. Section 221.50 of the penal law, as amended by chapter 265 of 2 the laws of 1979, the opening paragraph as amended by chapter 75 of the 3 laws of 1995, is amended to read as follows: 4 § 221.50 [Criminal] Unlicensed sale of marihuana in the second degree. 5 A person twenty-one years of age and older is guilty of [criminal] 6 unlicensed sale of marihuana in the second degree when he knowingly and 7 unlawfully sells one or more preparations, compounds, mixtures or 8 substances containing marihuana and the preparations, compounds, 9 mixtures or substances are of an aggregate weight of more than four 10 ounces, or knowingly and unlawfully sells one or more preparations, 11 compounds, mixtures [or substances containing marihuana] to a person 12 less than [eighteen] twenty-one years of age. 13 [Criminal] Unlicensed sale of marihuana in the second degree is a 14 class [D] E felony. 15 § 18. Section 221.55 of the penal law, as amended by chapter 265 of 16 the laws of 1979, the opening paragraph as amended by chapter 75 of the 17 laws of 1995, is amended to read as follows: 18 § 221.55 [Criminal] Unlicensed sale of marihuana in the first degree. 19 A person is guilty of [criminal] unlicensed sale of marihuana in the 20 first degree when he knowingly and unlawfully sells to a person less 21 than twenty-one years of age one or more preparations, compounds, 22 mixtures or substances containing marihuana and the preparations, 23 compounds, mixtures or substances are of an aggregate weight of more 24 than sixteen ounces. 25 [Criminal] Unlicensed sale of marihuana in the first degree is a class 26 [C] E felony. 27 § 19. The penal law is amended by adding a new section 221.60 to read 28 as follows: 29 § 221.60 Licensing of marihuana production and distribution. 30 The provisions of this article and of article two hundred twenty of 31 this title shall not apply to any person exempted from criminal penal- 32 ties pursuant to the provisions of this chapter or possessing, manufac- 33 turing, transporting, distributing, selling or transferring marihuana or 34 concentrated cannabis, or engaged in any other action that is in compli- 35 ance with article eleven of the alcoholic beverage control law. 36 § 20. Subdivision 8 of section 1399-n of the public health law, as 37 amended by chapter 13 of the laws of 2003, is amended to read as 38 follows: 39 8. "Smoking" means the burning of a lighted cigar, cigarette, pipe or 40 any other matter or substance which contains tobacco or marihuana; 41 provided that it does not include the use of an electronic smoking 42 device that creates an aerosol or vapor, unless local or state statutes 43 extend prohibitions on smoking to electronic smoking devices. 44 § 21. Section 2 of the alcoholic beverage control law, as amended by 45 chapter 406 of the laws of 2014, is amended to read as follows: 46 § 2. Policy of state and purpose of chapter. It is hereby declared as 47 the policy of the state that it is necessary to regulate and control the 48 manufacture, sale and distribution within the state of alcoholic bever- 49 ages and marihuana products for the purpose of fostering and promoting 50 temperance in their consumption and respect for and obedience to law; 51 for the primary purpose of promoting the health, welfare and safety of 52 the people of the state, promoting temperance in the consumption of 53 alcoholic beverages and marihuana products; and, to the extent possible, 54 supporting economic growth, job development, and the state's alcoholic 55 beverage production industries, marihuana production industries and its 56 tourism and recreation industry; and which promotes the conservation andA. 3506--C 14 1 enhancement of state agricultural lands; provided that such activities 2 do not conflict with the primary regulatory objectives of this chapter. 3 It is hereby declared that such policies will best be carried out by 4 empowering the liquor authority of the state to determine whether public 5 convenience and advantage will be promoted by the issuance of licenses 6 to traffic in alcoholic beverages and marihuana products, the increase 7 or decrease in the number thereof and the location of premises licensed 8 thereby, subject only to the right of judicial review provided for in 9 this chapter. It is the purpose of this chapter to carry out these poli- 10 cies in the public interest. 11 § 22. Subdivisions 20-a, 20-b, 20-c, 20-d and 20-e of section 3 of the 12 alcoholic beverage control law are renumbered subdivisions 20-j, 20-k, 13 20-l, 20-m and 20-n and ten new subdivisions 7-e, 20-a, 20-b, 20-c, 14 20-d, 20-e, 20-f, 20-g, 20-h and 20-i are added to read as follows: 15 7-e. "Concentrated cannabis" means: (a) the separated resin, whether 16 crude or purified, obtained from a plant of the genus Cannabis; or 17 (b) a material, preparation, mixture, compound or other substance 18 which contains more than three percent by weight of delta-9 tetrahydro- 19 cannabinol, or its isomer, delta-8 dibenzopyran numbering system, or 20 delta-1 tetrahydrocannabinol or its isomer, delta 1 (6) monoterpene 21 numbering system. 22 20-a. "Marihuana" means all parts of the plant of the genus Cannabis, 23 whether growing or not; the seeds thereof; the resin extracted from any 24 part of the plant; and every compound, manufacture, salt, derivative, 25 mixture, or preparation of the plant, its seeds or resin. It does not 26 include the mature stalks of the plant, fiber produced from the stalks, 27 oil or cake made from the seeds of the plant, any other compound, manu- 28 facture, salt, derivative, mixture, or preparation of the mature stalks 29 (except the resin extracted therefrom), fiber, oil, or cake, or the 30 sterilized seed of the plant which is incapable of germination. It does 31 not include all parts of the plant Cannabis sativa L., whether growing 32 or not, having no more than three-tenths of one percent tetrahydrocanna- 33 binol (THC). 34 20-b. "Marihuana consumer" means a person twenty-one years of age or 35 older who purchases marihuana or marihuana products for personal use by 36 persons twenty-one years of age or older, but not for resale to others. 37 20-c. "Marihuana processor" means a person licensed by the bureau to 38 purchase marihuana and concentrated cannabis from marihuana producers, 39 to process marihuana, concentrated cannabis, and marihuana infused 40 products, package and label marihuana, concentrated cannabis and mari- 41 huana infused products for sale in retail outlets, and sell marihuana, 42 concentrated cannabis and marihuana infused products at wholesale to 43 marihuana retailers. 44 20-d. "Marihuana producer" means a person licensed by the bureau to 45 produce, process, and sell marihuana and concentrated cannabis at whole- 46 sale to marihuana processors, marihuana retailers, or other marihuana 47 producers, but not to consumers. 48 20-e. "Marihuana products" means marihuana, concentrated cannabis, and 49 marihuana-infused products. 50 20-f. "Marihuana-infused products" means products that contain mari- 51 huana, or concentrated cannabis and are intended for human use or 52 consumption, such as, but not limited to, edible products, ointments, 53 and tinctures. 54 20-g. "Marihuana retailer" means a person licensed by the bureau to 55 purchase marihuana, concentrated cannabis, and marihuana-infused 56 products from marihuana producers and marihuana processors and sellA. 3506--C 15 1 marihuana, marihuana infused products, and concentrated cannabis in a 2 retail outlet. 3 20-h. "Marihuana retailer for on-premises consumption" means a person 4 licensed by the bureau to purchase marihuana, concentrated cannabis, and 5 marihuana infused products from marihuana producers, marihuana retail- 6 ers, and marihuana processors and sell marihuana products for a customer 7 to consume while the customer is within a facility. 8 20-i. "Unreasonably impracticable" means that the measures necessary 9 to comply with the regulations require such a high investment of risk, 10 money, time or other resource or asset that the operation of a marihuana 11 establishment is not worthy of being carried out by a reasonably prudent 12 businessperson. 13 § 23. Section 65-b of the alcoholic beverage control law, as amended 14 by chapter 519 of the laws of 1999, paragraphs (b) and (c) of subdivi- 15 sion 3 as amended by chapter 257 of the laws of 2013 and the opening 16 paragraph of subdivision 6 as amended by chapter 503 of the laws of 17 2000, is amended to read as follows: 18 § 65-b. Offense for one under age of twenty-one years to purchase or 19 attempt to purchase an alcoholic beverage or marihuana products through 20 fraudulent means. 1. As used in this section: (a) "A device capable of 21 deciphering any electronically readable format" or "device" shall mean 22 any commercial device or combination of devices used at a point of sale 23 or entry that is capable of reading the information encoded on the 24 magnetic strip or bar code of a driver's license or non-driver identifi- 25 cation card issued by the commissioner of motor vehicles; 26 (b) "Card holder" means any person presenting a driver's license or 27 non-driver identification card to a licensee, or to the agent or employ- 28 ee of such licensee under this chapter; and 29 (c) "Transaction scan" means the process involving a device capable of 30 deciphering any electronically readable format by which a licensee, or 31 agent or employee of a licensee under this chapter reviews a driver's 32 license or non-driver identification card presented as a precondition 33 for the purchase of an alcoholic beverage or marihuana products as 34 required by subdivision two of this section or as a precondition for 35 admission to an establishment licensed for the on-premises sale of alco- 36 holic beverages or marihuana products where admission is restricted to 37 persons twenty-one years or older. 38 2. (a) No person under the age of twenty-one years shall present or 39 offer to any licensee under this chapter, or to the agent or employee of 40 such licensee, any written evidence of age which is false, fraudulent or 41 not actually his or her own, for the purpose of purchasing or attempting 42 to purchase any alcoholic beverage or marihuana products. 43 (b) No licensee, or agent or employee of such licensee shall accept as 44 written evidence of age by any such person for the purchase of any alco- 45 holic beverage or marihuana products, any documentation other than: (i) 46 a valid driver's license or non-driver identification card issued by the 47 commissioner of motor vehicles, the federal government, any United 48 States territory, commonwealth or possession, the District of Columbia, 49 a state government within the United States or a provincial government 50 of the dominion of Canada, or (ii) a valid passport issued by the United 51 States government or any other country, or (iii) an identification card 52 issued by the armed forces of the United States. Upon the presentation 53 of such driver's license or non-driver identification card issued by a 54 governmental entity, such licensee or agent or employee thereof may 55 perform a transaction scan as a precondition to the sale of any alcohol- 56 ic beverage. Nothing in this section shall prohibit a licensee or agentA. 3506--C 16 1 or employee from performing such a transaction scan on any of the other 2 documents listed in this subdivision if such documents include a bar 3 code or magnetic strip that [that] may be scanned by a device capable of 4 deciphering any electronically readable format. 5 (c) In instances where the information deciphered by the transaction 6 scan fails to match the information printed on the driver's license or 7 non-driver identification card presented by the card holder, or if the 8 transaction scan indicates that the information is false or fraudulent, 9 the attempted purchase of the alcoholic beverage or marihuana products 10 shall be denied. 11 3. A person violating the provisions of paragraph (a) of subdivision 12 two of this section shall be guilty of a violation and shall be 13 sentenced in accordance with the following: 14 (a) For a first violation, the court shall order payment of a fine of 15 not more than one hundred dollars and/or an appropriate amount of commu- 16 nity service not to exceed thirty hours. In addition, the court may 17 order completion of an alcohol awareness program established pursuant to 18 section 19.25 of the mental hygiene law or of a marihuana awareness 19 program. 20 (b) For a second violation, the court shall order payment of a fine of 21 not less than fifty dollars nor more than three hundred fifty dollars 22 and/or an appropriate amount of community service not to exceed sixty 23 hours. The court also shall order completion of an alcohol or marihuana 24 awareness program as referenced in paragraph (a) of this subdivision if 25 such program has not previously been completed by the offender, unless 26 the court determines that attendance at such program is not feasible due 27 to the lack of availability of such program within a reasonably close 28 proximity to the locality in which the offender resides or matriculates, 29 as appropriate. 30 (c) For third and subsequent violations, the court shall order payment 31 of a fine of not less than fifty dollars nor more than seven hundred 32 fifty dollars and/or an appropriate amount of community service not to 33 exceed ninety hours. The court also shall order that such person submit 34 to an evaluation by an appropriate agency certified or licensed by the 35 office of alcoholism and substance abuse services to determine whether 36 the person suffers from [the disease of alcoholism or] alcohol [abuse] 37 use disorder or cannabis use disorder, unless the court determines that 38 under the circumstances presented such an evaluation is not necessary, 39 in which case the court shall state on the record the basis for such 40 determination. Payment for such evaluation shall be made by such person. 41 If, based on such evaluation, a need for treatment is indicated, such 42 person may choose to participate in a treatment plan developed by an 43 agency certified or licensed by the office of alcoholism and substance 44 abuse services. If such person elects to participate in recommended 45 treatment, the court shall order that payment of such fine and community 46 service be suspended pending the completion of such treatment. 47 (d) Evaluation procedures. For purposes of this subdivision, the 48 following shall apply: 49 (i) The contents of an evaluation pursuant to paragraph (c) of this 50 subdivision shall be used for the sole purpose of [determining if such51person suffers from the disease of alcoholism or alcohol abuse] deter- 52 mining if such person meets the criteria for an alcohol use disorder or 53 cannabis use disorder. 54 (ii) The agency designated by the court to perform such evaluation 55 shall conduct the evaluation and return the results to the court within 56 thirty days, subject to any state or federal confidentiality law, ruleA. 3506--C 17 1 or regulation governing the confidentiality of alcohol and substance 2 [abuse] use disorder treatment records. 3 (iii) The office of alcoholism and substance abuse services shall make 4 available to each supreme court law library in this state, or, if no 5 supreme court law library is available in a certain county, to the coun- 6 ty court law library of such county, a list of agencies certified to 7 perform evaluations as required by subdivision (f) of section 19.07 of 8 the mental hygiene law. 9 (iv) All evaluations required under this subdivision shall be in writ- 10 ing and the person so evaluated or his or her counsel shall receive a 11 copy of such evaluation prior to its use by the court. 12 (v) A minor evaluated under this subdivision shall have, and shall be 13 informed by the court of, the right to obtain a second opinion regarding 14 his or her need for [alcoholism] treatment of an alcohol or other 15 substance use disorder. 16 4. A person violating the provisions of paragraph (b) of subdivision 17 two of this section shall be guilty of a violation punishable by a fine 18 of not more than one hundred dollars, and/or an appropriate amount of 19 community service not to exceed thirty hours. In addition, the court may 20 order completion of an alcohol or substance use disorder training aware- 21 ness program established pursuant to subdivision twelve of section 22 seventeen of this chapter where such program is located within a reason- 23 ably close proximity to the locality in which the offender is employed 24 or resides. 25 5. No determination of guilt pursuant to this section shall operate as 26 a disqualification of any such person subsequently to hold public 27 office, public employment, or as a forfeiture of any right or privilege 28 or to receive any license granted by public authority; and no such 29 person shall be denominated a criminal by reason of such determination. 30 6. In addition to the penalties otherwise provided in subdivision 31 three of this section, if a determination is made sustaining a charge of 32 illegally purchasing or attempting to illegally purchase an alcoholic 33 beverage or marihuana products, the court may suspend such person's 34 license to drive a motor vehicle and the privilege of an unlicensed 35 person of obtaining such license, in accordance with the following and 36 for the following periods, if it is found that a driver's license was 37 used for the purpose of such illegal purchase or attempt to illegally 38 purchase; provided, however, that where a person is sentenced pursuant 39 to paragraph (b) or (c) of subdivision three of this section, the court 40 shall impose such license suspension if it is found that a driver's 41 license was used for the purpose of such illegal purchase or attempt to 42 illegally purchase: 43 (a) For a first violation of paragraph (a) of subdivision two of this 44 section, a three month suspension. 45 (b) For a second violation of paragraph (a) of subdivision two of this 46 section, a six month suspension. 47 (c) For a third or subsequent violation of paragraph (a) of subdivi- 48 sion two of this section, a suspension for one year or until the holder 49 reaches the age of twenty-one, whichever is the greater period of time. 50 Such person may thereafter apply for and be issued a restricted use 51 license in accordance with the provisions of section five hundred thirty 52 of the vehicle and traffic law. 53 7. (a) In any proceeding pursuant to subdivision one of section 54 sixty-five of this article, it shall be an affirmative defense that such 55 person had produced a driver's license or non-driver identification card 56 apparently issued by a governmental entity, successfully completed theA. 3506--C 18 1 transaction scan, and that the alcoholic beverage or marihuana products 2 had been sold, delivered or given to such person in reasonable reliance 3 upon such identification and transaction scan. In evaluating the appli- 4 cability of such affirmative defense, the liquor authority shall take 5 into consideration any written policy adopted and implemented by the 6 seller to carry out the provisions of this chapter. Use of a transaction 7 scan shall not excuse any licensee under this chapter, or agent or 8 employee of such licensee, from the exercise of reasonable diligence 9 otherwise required by this section. Notwithstanding the above 10 provisions, any such affirmative defense shall not be applicable in any 11 other civil or criminal proceeding, or in any other forum. 12 (b) A licensee or agent or employee of a licensee may electronically 13 or mechanically record and maintain only the information from a trans- 14 action scan necessary to effectuate the purposes of this section. Such 15 information shall be limited to the following: (i) name, (ii) date of 16 birth, (iii) driver's license or non-driver identification number, and 17 (iv) expiration date. The liquor authority and the state commissioner of 18 motor vehicles shall jointly promulgate any regulation necessary to 19 govern the recording and maintenance of these records by a licensee 20 under this chapter. The liquor authority and the commissioner of health 21 shall jointly promulgate any regulations necessary to ensure quality 22 control in the use of transaction scan devices. 23 8. A licensee or agent or employee of such licensee shall only use the 24 information recorded and maintained through the use of such devices for 25 the purposes contained in paragraph (a) of subdivision seven of this 26 section, and shall only use such devices for the purposes contained in 27 subdivision two of this section. No licensee or agent or employee of a 28 licensee shall resell or disseminate the information recorded during 29 such scan to any third person. Such prohibited resale or dissemination 30 includes, but is not limited to, any advertising, marketing or promo- 31 tional activities. Notwithstanding the restrictions imposed by this 32 subdivision, such records may be released pursuant to a court ordered 33 subpoena or pursuant to any other statute that specifically authorizes 34 the release of such information. Each violation of this subdivision 35 shall be punishable by a civil penalty of not more than one thousand 36 dollars. 37 § 24. Section 65-c of the alcoholic beverage control law, as added by 38 chapter 592 of the laws of 1989, paragraph (a) of subdivision 2 as 39 amended by chapter 409 of the laws of 2016 and subdivision 3 as amended 40 by chapter 137 of the laws of 2001, is amended to read as follows: 41 § 65-c. Unlawful possession of an alcoholic beverage or marihuana 42 product with the intent to consume by persons under the age of twenty- 43 one years. 1. Except as hereinafter provided, no person under the age of 44 twenty-one years shall possess any alcoholic beverage or marihuana prod- 45 uct, as defined in this chapter, with the intent to consume such bever- 46 age or marihuana product. 47 2. A person under the age of twenty-one years may possess any alcohol- 48 ic beverage or marihuana product with intent to consume if the alcoholic 49 beverage or marihuana product is given: 50 (a) to a person who is a student in a curriculum licensed or regis- 51 tered by the state education department and the student is required to 52 taste or imbibe alcoholic beverages or marihuana products in on-campus 53 or off-campus courses which are a part of the required curriculum, 54 provided such alcoholic beverages or marihuana products are used only 55 for instructional purposes during class conducted pursuant to such 56 curriculum; orA. 3506--C 19 1 (b) to the person under twenty-one years of age by that person's 2 parent or guardian. 3 3. Any person who unlawfully possesses an alcoholic beverage or mari- 4 huana product with intent to consume may be summoned before and examined 5 by a court having jurisdiction of that charge; provided, however, that 6 nothing contained herein shall authorize, or be construed to authorize, 7 a peace officer as defined in subdivision thirty-three of section 1.20 8 of the criminal procedure law or a police officer as defined in subdivi- 9 sion thirty-four of section 1.20 of such law to arrest a person who 10 unlawfully possesses an alcoholic beverage or marihuana product with 11 intent to consume. If a determination is made sustaining such charge the 12 court may impose a fine not exceeding fifty dollars and/or completion of 13 an alcohol or drug awareness program established pursuant to section 14 19.25 of the mental hygiene law and/or an appropriate amount of communi- 15 ty service not to exceed thirty hours. 16 4. No such determination shall operate as a disqualification of any 17 such person subsequently to hold public office, public employment, or as 18 a forfeiture of any right or privilege or to receive any license granted 19 by public authority; and no such person shall be denominated a criminal 20 by reason of such determination, nor shall such determination be deemed 21 a conviction. 22 5. Whenever a peace officer as defined in subdivision thirty-three of 23 section 1.20 of the criminal procedure law or police officer as defined 24 in subdivision thirty-four of section 1.20 of the criminal procedure law 25 shall observe a person under twenty-one years of age openly in 26 possession of an alcoholic beverage or marihuana product as defined in 27 this chapter, with the intent to consume such beverage or product in 28 violation of this section, said officer may seize the beverage or prod- 29 uct, and shall deliver it to the custody of his or her department. 30 6. Any alcoholic beverage or marihuana product seized in violation of 31 this section is hereby declared a nuisance. The official to whom the 32 beverage or product has been delivered shall, no earlier than three days 33 following the return date for initial appearance on the summons, dispose 34 of or destroy the alcoholic beverage or marihuana product seized or 35 cause it to be disposed of or destroyed. Any person claiming ownership 36 of an alcoholic beverage or marihuana product seized under this section 37 may, on the initial return date of the summons or earlier on five days 38 notice to the official or department in possession of the beverage or 39 product, apply to the court for an order preventing the destruction or 40 disposal of the alcoholic beverage or marihuana product seized and 41 ordering the return of that beverage or product. The court may order 42 the beverage or product returned if it is determined that return of the 43 beverage or product would be in the interest of justice or that the 44 beverage or product was improperly seized. 45 § 25. The alcoholic beverage control law is amended by adding a new 46 section 65-e to read as follows: 47 § 65-e. Restrictions on personal consumption of marihuana. 1. Nothing 48 in sections 221.05 and 221.05-a of the penal law shall be construed to 49 permit any person to: 50 (a) smoke marihuana in public; 51 (b) smoke marihuana products in a location where smoking tobacco is 52 prohibited pursuant to section thirteen hundred ninety-nine-o of the 53 public health law; 54 (c) possess, smoke or ingest marihuana products in or upon the grounds 55 of any school property used for school purposes which is owned by orA. 3506--C 20 1 leased to any elementary or secondary school or school board while chil- 2 dren are present; or 3 (d) smoke or ingest marihuana products while driving, operating a 4 motor vehicle, boat, vessel, aircraft, or other vehicle used for trans- 5 portation. 6 2. For purposes of this section: 7 (a) "Smoke" means to inhale, exhale, burn, or carry any lighted or 8 heated device or pipe, or any other lighted or heated marihuana or 9 concentrated cannabis product intended for inhalation, whether natural 10 or synthetic, in any manner or in any form. 11 (b) "Smoke" does not include the use of an electronic smoking device 12 that creates an aerosol or vapor, unless local or state statutes extend 13 prohibitions on smoking to electronic smoking devices. 14 3. Violations of the restrictions under this section are subject to a 15 fine not exceeding twenty-five dollars or an appropriate amount of 16 community service not to exceed twenty hours. 17 § 26. Section 140 of the alcoholic beverage control law, as amended by 18 chapter 810 of the laws of 1981, is amended to read as follows: 19 § 140. Applicability of chapter before local option. Until such time 20 as it shall become unlawful to sell alcoholic beverages or marihuana 21 products in any town or city by the vote of the voters in such town or 22 city in the manner provided in this article, all of the provisions of 23 this chapter shall apply throughout the entire state. This article shall 24 not apply to the Whiteface mountain ski center, owned by the state and 25 located in the town of Wilmington, county of Essex. 26 § 27. Section 141 of the alcoholic beverage control law, as amended by 27 chapter 319 of the laws of 2007, is amended to read as follows: 28 § 141. Local option for towns. 1. Not less than sixty days nor more 29 than seventy-five days before the general election in any town at which 30 the submission of the questions hereinafter stated is authorized by this 31 article, a petition signed by electors of the town to a number amounting 32 to twenty-five per centum of the votes cast in the town for governor at 33 the then last preceding gubernatorial election, acknowledged by the 34 signers or authenticated by witnesses as provided in the election law in 35 respect of a nominating petition, requesting the submission at such 36 election to the electors of the town of one or more of the following 37 questions, may be filed with the town clerk: 38 Question 1. Tavern alcoholic beverage license. Shall a person be 39 allowed to obtain a license to operate a tavern with a limited-service 40 menu (sandwiches, salads, soups, etc.) which permits the tavern operator 41 to sell alcoholic beverages for a customer to drink while the customer 42 is within the tavern. In addition, unopened containers of beer (such as 43 six-packs and kegs) may be sold "to go" for the customer to open and 44 drink at another location (such as, for example, at his home)? 45 Question 2. Restaurant alcoholic beverage license. Shall the operator 46 of a full-service restaurant be allowed to obtain a license which 47 permits the restaurant operator to sell alcoholic beverages for a 48 customer to drink while the customer is within the restaurant. In addi- 49 tion, unopened containers of beer (such as six-packs and kegs) may be 50 sold "to go" for the customer to open and drink at another location 51 (such as, for example, at his home)? 52 Question 3. Year-round hotel alcoholic beverage license. Shall the 53 operator of a year-round hotel with a full-service restaurant be allowed 54 to obtain a license which permits the year-round hotel to sell alcoholic 55 beverages for a customer to drink while the customer is within the 56 hotel. In addition, unopened containers of beer (such as six-packs andA. 3506--C 21 1 kegs) may be sold "to go" for the customer to open and drink at another 2 location (such as, for example, at his home)? 3 Question 4. Summer hotel alcoholic beverage license. Shall the opera- 4 tor of a summer hotel with a full-service restaurant, open for business 5 only within the period from May first to October thirty-first in each 6 year, be allowed to obtain a license which permits the summer hotel to 7 sell alcoholic beverages for a customer to drink while the customer is 8 within the hotel. In addition, unopened containers of beer (such as 9 six-packs and kegs) may be sold "to go" for the customer to open and 10 drink at another location (such as, for example, at his home)? 11 Question 5. Retail package liquor or wine store license. Shall a 12 person be allowed to obtain a license to operate a retail package 13 liquor-and-wine or wine-without-liquor store, to sell "to go" unopened 14 bottles of liquor or wine to a customer to be taken from the store for 15 the customer to open and drink at another location (such as, for exam- 16 ple, at his home)? 17 Question 6. Off-premises beer and wine cooler license. Shall the oper- 18 ator of a grocery store, drugstore or supply ship operating in the 19 harbors of Lake Erie be allowed to obtain a license which permits the 20 operator to sell "to go" unopened containers of beer (such as six-packs 21 and kegs) and wine coolers with not more than 6% alcohol to a customer 22 to be taken from the store for the customer to open and drink at another 23 location (such as, for example, at his home)? 24 Question 7. Baseball park, racetrack, athletic field or stadium 25 license. Shall a person be allowed to obtain a license which permits 26 the sale of beer for a patron's consumption while the patron is within a 27 baseball park, racetrack, or other athletic field or stadium where 28 admission fees are charged? 29 Question 8. Marihuana retailer license. Shall a person be allowed to 30 obtain a license to operate a retail marihuana store, to sell unopened 31 marihuana products to a customer to be taken from the store for the 32 customer to open and consume at another location (such as, for example, 33 at his home)? 34 Question 9. On-premises marihuana retailer licenses. Shall a person be 35 allowed to obtain a license to operate a facility where the service of 36 food is only incidental and permits the facility operator to sell mari- 37 huana products for a customer to consume while the customer is within 38 the facility? 39 2. Upon the due filing of such petition complying with the foregoing 40 provisions, such questions shall be submitted in accordance therewith. 41 3. The town clerk shall, within five days from the filing of such 42 petition in his office, prepare and file in the office of the board of 43 elections, as defined by the election law, of the county, a certified 44 copy of such petition. Such questions may be submitted only at the time 45 of a general election. At least ten days before such general election, 46 the board of elections shall cause to be printed and posted in at least 47 four public places in such town, a notice of the fact that all of the 48 local option questions will be voted on at such general election; and 49 the said notice shall also be published at least five days before the 50 vote is to be taken once in a newspaper published in the county in which 51 such town is situated, which shall be a newspaper published in the town, 52 if there be one. Whenever such questions are to be submitted under the 53 provisions of this article the board of elections shall cause the proper 54 ballot labels to be printed and placed on all voting machines used in 55 the town in which such questions are to be submitted, in the form 56 prescribed by the election law in respect of other propositions or ques-A. 3506--C 22 1 tions, upon the face of which shall be printed in full the said ques- 2 tions. Any elector qualified to vote for state officers shall be enti- 3 tled to vote upon such local option questions. As soon as the election 4 shall be held, a return of the votes cast and counted shall be made as 5 provided by law and the returns canvassed by the inspectors of election. 6 If a majority of the votes cast shall be in the negative on all or any 7 of the questions, no person shall, after such election, sell alcoholic 8 beverages or marihuana products in such town contrary to such vote or to 9 the provisions of this chapter; provided, however, that the result of 10 such vote shall not shorten the term for which any license may have been 11 lawfully issued under this chapter or affect the rights of the licensee 12 thereunder; and no person shall after such vote apply for or receive a 13 license to sell alcoholic beverages or marihuana products at retail in 14 such town contrary to such vote, until, by referendum as hereinafter 15 provided for, such sale shall again become lawful. 16 § 28. Subdivision 3 of section 142 of the alcoholic beverage control 17 law is amended to read as follows: 18 3. If a majority of the votes cast shall be in the negative on any or 19 all of the questions, no person shall, after such election, sell alco- 20 holic beverages or marihuana products in such city contrary to such vote 21 or to the provisions of this chapter; provided, however, that the result 22 of such vote shall not shorten the term for which any license may have 23 been lawfully issued under this chapter or affect the rights of the 24 licensee thereunder; and no person shall after such vote apply for or 25 receive a license to sell alcoholic beverages or marihuana products at 26 retail in such city contrary to such vote, until, by referendum as here- 27 inafter provided for, such sale shall again become lawful. 28 § 29. Subdivision 2 of section 147 of the alcoholic beverage control 29 law is amended to read as follows: 30 2. If at the time of any subsequent submission of such questions it 31 shall be lawful to sell alcoholic beverages or marihuana products and a 32 majority of the votes cast shall be in the negative on such questions, 33 then all of the provisions of this article applicable thereto shall 34 become effective. 35 § 30. Article 11 and sections 160, 161, 162, 163 and 164 of the alco- 36 holic beverage control law, article 11 and sections 160, 161, 162 and 37 163 as renumbered by chapter 725 of the laws of 1954, are renumbered 38 article 12 and sections 200, 201, 202, 203, and 204. 39 § 31. The alcoholic beverage control law is amended by adding a new 40 article 11 to read as follows: 41 ARTICLE 11 42 PROVISIONS RELATING TO MARIHUANA 43 Section 165. Definitions. 44 166. Bureau of marihuana policy. 45 167. Administration of the bureau of marihuana policy. 46 168. Authority to promulgate rules and regulations. 47 169. Licenses issued. 48 170. Licensing limits. 49 171. Actions taken pursuant to a valid license are lawful. 50 172. General prohibitions and restrictions. 51 173. Certain officials not to be interested in the manufacture 52 or sale of marihuana. 53 174. Provisions governing initial rulemaking. 54 175. Provisions governing marihuana producers. 55 176. Provisions governing processors. 56 177. Provisions governing marihuana retailers.A. 3506--C 23 1 178. Provisions governing marihuana on-site consumption 2 licenses. 3 179. Advertising and forms for the issuance of licenses. 4 180. Packaging of marihuana products. 5 181. Labeling of marihuana products. 6 182. Seed to sale tracking. 7 183. Renewals of licenses and permits. 8 184. Information to be provided by applicants. 9 185. Notification to towns, cities or villages. 10 186. Licenses, publication, general provisions. 11 187. Revocation of licenses for cause. 12 188. Procedure for revocation or cancellation. 13 189. Decisions of the bureau of marihuana policy and review by 14 the courts. 15 190. Minority and women-owned businesses and incubator program. 16 191. Disposition of moneys received for license fees. 17 192. Persons forbidden to traffic in marihuana. 18 193. Surrender of license; notice to police officials. 19 194. Protections for the use of marihuana. 20 195. Discrimination protections for the use of marihuana or 21 medical marihuana. 22 196. Employment protections. 23 197. Protections for persons under state supervision. 24 198. Professional and medical record keeping. 25 § 165. Definitions. Whenever used in this chapter, unless the context 26 requires otherwise: 27 1. "Applicant" means an owner applying for a license pursuant to this 28 article. 29 2."Bureau" means the bureau of marihuana policy within the authority. 30 3. "Commercial marihuana activity" means the production, processing, 31 possession, storing, laboratory testing, packaging, labeling, transpor- 32 tation, delivery, or sale of marihuana and marihuana products as 33 provided for in this article. 34 4. "Customer" means a natural person twenty-one years of age or older. 35 5. "Delivery" means a licensee that delivers retail marihuana and 36 marihuana products to customers. Retailer licensees and microbusiness 37 licensees are permitted to deliver retail marihuana and marihuana 38 products to customers without obtaining an additional distributor 39 license. 40 6. "Distribution" means the procurement, sale, and transport of mari- 41 huana and marihuana products between entities licensed pursuant to this 42 article. 43 7. "Distributor" means a licensee for the distribution of marihuana 44 and marihuana products between entities licensed pursuant to this arti- 45 cle. Producer licensees, processor licensees, and microbusiness licen- 46 sees are permitted to distribute marihuana and marihuana products 47 between entities licensed pursuant to this article without obtaining an 48 additional distributor license. 49 8. "Labeling" means any label or other written, printed, or graphic 50 matter upon a marihuana product, or upon its container or wrapper, or 51 that accompanies any marihuana product. 52 9. "License" means a state license issued under this article. Each 53 license issued pursuant to this article corresponds to a single place of 54 business. 55 10. "Licensee" means any person or entity holding a license under this 56 article.A. 3506--C 24 1 11. "Marihuana" means all parts of the plant of the genus cannabis, 2 whether growing or not; the seeds thereof; the resin extracted from any 3 part of the plant; and every compound, manufacture, salt, derivative, 4 mixture, or preparation of the plant, its seeds or resin. It does not 5 include the mature stalks of the plant, fiber produced from the stalks, 6 oil or cake made from the seeds of the plant, any other compound, manu- 7 facture, salt, derivative, mixture, or preparation of the mature stalks 8 (except the resin extracted therefrom), fiber, oil, or cake, or the 9 sterilized seed of the plant which is incapable of germination. It does 10 not include all parts of the plant Cannabis Sativa I., whether growing 11 or not, having no more than three-tenths of one percent tetrahydrocanna- 12 binol (THC). 13 12. "Marihuana products" means marihuana, concentrated cannabis, and 14 marihuana-infused products. 15 13. "Marihuana-infused products" means products that contain marihua- 16 na, or concentrated cannabis and are intended for human use or consump- 17 tion, such as, but not limited to, edible products, ointments, and tinc- 18 tures. 19 14. "Microbusiness" means a licensee that may act as a marihuana 20 producer for the cultivation of marihuana on an area less than ten thou- 21 sand square feet, a marihuana processor, and a marihuana retailer under 22 this article, provided such licensee complies with all requirements 23 imposed by this article on licensed producers, processors, and retailers 24 to the extent the licensee engages in such activities. A "microbusiness" 25 may distribute marihuana and marihuana products to other licensed mari- 26 huana businesses and may deliver marihuana and marihuana products to 27 customers. 28 15. "Nursery" means a licensee that produces only clones, immature 29 plants, seeds, and other agricultural products used specifically for the 30 planting, propagation, and cultivation of marihuana. 31 16. "Onsite consumption" means a marihuana retail licensee or a mari- 32 huana microbusiness that permits the consumption of marihuana and mari- 33 huana products at the licensee's place of business. 34 17. "Owner" means an individual with an aggregate ownership interest 35 of twenty percent or more in a marihuana business licensed pursuant to 36 this article, unless such interest is solely a security, lien, or encum- 37 brance, or an individual that will be participating in the direction, 38 control, or management of the licensed marihuana business. 39 18. "Package" means any container or receptacle used for holding mari- 40 huana or marihuana products. 41 19. "Processor" means a licensee that compounds, blends, extracts, 42 infuses, or otherwise makes or prepares marihuana products, but not the 43 production of the marihuana contained in the marihuana product. A 44 "processor" may also distribute marihuana and marihuana products to 45 other licensed marihuana businesses. 46 20. "Producer" means a licensee that plants, grows, harvests, dries, 47 cures, grades, or trims marihuana. A "producer" may also distribute 48 marihuana to other licensed marihuana businesses. 49 21. "Retailer" means a licensee that sells marihuana or marihuana 50 products directly to customers. A "retailer" may deliver marihuana and 51 marihuana products to customers. 52 22. "Testing facility" means a licensee that tests marihuana and mari- 53 huana products. 54 § 166. Bureau of marihuana policy. There is hereby established in the 55 authority a bureau of marihuana policy. The bureau shall consist of 56 three members. The members of the bureau shall be appointed by theA. 3506--C 25 1 governor by and with the advice and consent of the senate. Not more than 2 two members of the bureau shall belong to the same political party. The 3 chairman of the bureau of marihuana policy heretofore appointed and 4 designated by the governor and the remaining members of such board here- 5 tofore appointed by the governor shall continue to serve as chairman and 6 members of the bureau until the expiration of the respective terms for 7 which they were appointed. Upon the expiration of such respective terms 8 the successors of such chairman and members shall be appointed to serve 9 for a term of three years each and until their successors have been 10 appointed and qualified. The commissioners shall, when performing the 11 work of the bureau, be compensated at a rate of two hundred sixty 12 dollars per day, together with an allowance for actual and necessary 13 expenses incurred in the discharge of their duties. 14 § 167. Administration of the bureau of marihuana policy. 1. The 15 bureau established in section one hundred sixty-six of this article 16 shall heretofore have the power, duty, purpose, responsibility, and 17 jurisdiction to regulate commercial marihuana activity as provided in 18 the Marihuana Regulation and Taxation Act. 19 2. The bureau shall have the exclusive authority to create, issue, 20 renew, discipline, suspend, or revoke licenses for commercial marihuana 21 activities in accordance with the state administrative procedure act. 22 (a) The bureau shall consult with the department of agriculture and 23 markets regarding rules, regulations, and licenses for the cultivation 24 of marihuana. 25 (b) The bureau shall notify the public of all licensing rules and 26 regulations promulgated pursuant to the Marihuana Regulation and Taxa- 27 tion Act, which shall include instructional materials. In addition, the 28 bureau shall hold public forums in all regions of the state, as deter- 29 mined by the department of economic development, to help the public 30 understand and navigate the licensing process. 31 (c) The bureau shall begin issuing licenses not later than eighteen 32 months following the effective date of the Marihuana Regulation and 33 Taxation Act. 34 (i) The bureau shall begin accepting applications no more than fifteen 35 months following the effective date of the Marihuana Regulation and 36 Taxation Act. 37 (ii) Pursuant to section one hundred eighty-five of this article, the 38 bureau shall notify any town, city or village of any applications for 39 license. 40 (iii) The bureau shall issue an annual license to the applicant 41 between forty-five and ninety days after receipt of an application 42 unless the bureau finds the applicant is not in compliance with regu- 43 lations enacted pursuant to section one hundred seventy-four of this 44 article or the department is notified by the relevant town, city or 45 village that the applicant is not in compliance with such regulations. 46 (d) The bureau shall have the authority to collect fees in connection 47 with activities they regulate concerning marihuana pursuant to section 48 one hundred ninety-one of this article. 49 3. (a) Not later than ten months following the enactment of this arti- 50 cle, each town, city or village may enact an ordinance or regulation 51 specifying the entity within the town, city or village that is responsi- 52 ble for processing applications submitted for a license to operate a 53 marihuana establishment within the boundaries of the town, city or 54 village and for the issuance of such licenses should the issuance by the 55 town, city or village become necessary because of a failure by the 56 bureau to adopt regulations pursuant to section one hundred seventy-fourA. 3506--C 26 1 of this article or because of a failure by the bureau to process and 2 issue licenses as required by subdivision two of this section. 3 (b) A town, city or village may enact ordinances or regulations, not 4 in conflict with this section or with regulations or legislation enacted 5 pursuant to this section, governing the time, place, manner and number 6 of marihuana establishment operations; establishing procedures for the 7 issuance, suspension, and revocation of a license issued by the munici- 8 pality in accordance with paragraphs (c) and (d) of this subdivision, 9 such procedures to be subject to all requirements of the state adminis- 10 trative procedure act or any successor provision, establishing a sched- 11 ule of annual operating, licensing, and application fees for marihuana 12 establishments, provided, the application fee shall only be due if an 13 application is submitted to a town, city or village in accordance with 14 paragraph (d) of this subdivision and a licensing fee shall only be due 15 if a license is issued by a municipality in accordance with paragraph 16 (c) or (d) of this subdivision; and establishing civil penalties for 17 violation of an ordinance or regulation governing the time, place, and 18 manner of a marihuana establishment that may operate in such a town, 19 city or village. A town, city or village may prohibit the operation of 20 marihuana production facilities, marihuana processing facilities, mari- 21 huana retail stores, marihuana microbusinesses, or marihuana testing 22 facilities through the enactment of an ordinance. 23 (c) If the bureau does not issue a license to an applicant within 24 ninety days of receipt of the application filed in accordance with 25 subdivision two and does not notify the applicant of the specific reason 26 for its denial, in writing and within such time period, or if the bureau 27 has adopted regulations pursuant to section one hundred seventy-four of 28 this article but has not issued any licenses within eighteen months of 29 the effective date of this article, for any town, city or village enact- 30 ing an ordinance providing for local processing of applications, the 31 applicant may resubmit its application directly to the town, city or 32 village pursuant to paragraph (a) of this subdivision, and the town, 33 city or village may issue an annual license to the applicant. A town, 34 city or village issuing a license to an applicant shall do so within 35 ninety days of receipt of the resubmitted application unless the town, 36 city or village finds and notifies the applicant that the applicant is 37 not in compliance with the ordinances and regulations made pursuant to 38 paragraph (b) of this subdivision in effect at the time the application 39 is resubmitted and the town, city or village shall notify the bureau if 40 an annual license has been issued to the applicant. If an application is 41 submitted to a town, city or village under this paragraph, the bureau 42 shall forward to the town, city or village the application fee paid by 43 the applicant to the bureau upon request by the town, city or village. A 44 license issued by a town, city or village in accordance with this para- 45 graph shall have the same force and effect as a license issued by the 46 bureau in accordance with subdivision two of this section and the holder 47 of such license shall not be subject to regulation or enforcement by the 48 bureau during the term of that license. A subsequent or renewed license 49 may be issued under this paragraph on an annual basis only upon resub- 50 mission to the town, city or village of a new application submitted to 51 the bureau pursuant to subdivision two of this section. Nothing in this 52 paragraph shall limit such relief as may be available to an aggrieved 53 party under section four hundred one of the state administrative proce- 54 dure act or any successor provision. 55 (d) If the bureau does not adopt regulations required by section one 56 hundred seventy-four of this article, an applicant may submit an appli-A. 3506--C 27 1 cation directly to a town, city or village fifteen months following the 2 effective date of this article and the town, city or village may issue 3 an annual license to the applicant. A town, city or village issuing a 4 license to an applicant shall do so within ninety days of receipt of the 5 application unless it finds and notifies the applicant that the appli- 6 cant is not in compliance with ordinances and regulations made pursuant 7 to paragraph (b) of this subdivision in effect at the time of applica- 8 tion and shall notify the bureau if an annual license has been issued to 9 the applicant. A license issued by a town, city or village in accordance 10 with this paragraph shall have the same force and effect as a license 11 issued by the bureau in accordance with subdivision two of this section 12 and the licensee shall not be subject to regulation or enforcement by 13 the bureau during the term of that license. A subsequent or renewed 14 license may be issued under this paragraph on an annual basis if the 15 bureau has not adopted regulations required by section one hundred 16 seventy-four of this article at least ninety days prior to the date upon 17 which such subsequent or renewed license would be effective or if the 18 department has adopted regulations pursuant to section one hundred 19 seventy-four of this article but has not, at least ninety days after the 20 adoption of such regulations, issued licenses pursuant to subdivision 21 two of this section. 22 4. The bureau may limit the total amount of marihuana produced in New 23 York based on the demand for marihuana and marihuana products and in an 24 effort to reduce illicit marihuana markets. 25 § 168. Authority to promulgate rules and regulations. The bureau shall 26 promulgate and implement all rules and regulations as it deems necessary 27 to carry out the requirements, purpose and intent of this article. 28 § 169. Licenses issued. The following kinds of licenses shall be 29 issued by the bureau for the manufacture, production, processing, test- 30 ing, retail sale and delivery of marihuana: 31 1. marihuana nursery license; 32 2. marihuana producer license; 33 3. marihuana processor license; 34 4. marihuana distributor license; 35 5. marihuana retailer license; 36 6. marihuana microbusiness license; 37 7. marihuana on-site consumption license; 38 8. marihuana delivery license; 39 9. marihuana testing license; and 40 10. any other type of licenses allowed by the bureau. 41 § 170. Licensing limits. 1. All licenses issued under this article 42 shall bear a clear designation indicating that the license is for 43 commercial marihuana activity as distinct from medical marihuana manu- 44 factured, produced and sold for medical use pursuant to title five-A of 45 article thirty-three of the public health law. 46 2. An owner of a marihuana retail store shall not hold a license in 47 another license category of section one hundred sixty-nine of this arti- 48 cle, shall not own or have ownership interest in an entity licensed 49 pursuant to title five-A of article thirty-three of the public health 50 law, and shall hold not more than three retail licenses. 51 3. An owner of a marihuana microbusiness shall not hold a license in 52 another license category of section one hundred sixty-nine of this arti- 53 cle, shall not own or have ownership interest in a facility licensed 54 pursuant to title five-A of article thirty-three of the public health 55 law, and shall hold not more than one microbusiness license.A. 3506--C 28 1 4. An owner of a marihuana testing facility shall not hold a license 2 in another license category of section one hundred sixty-nine of this 3 article and shall not own or have ownership interest in a facility 4 licensed pursuant to title five-A of article thirty-three of the public 5 health law. 6 5. Only a marihuana retail licensee may be issued an on-site consump- 7 tion license. 8 6. Only a marihuana retail licensee, marihuana microbusiness licensee, 9 or marihuana delivery licensee may be permitted to deliver marihuana 10 directly to customers. 11 7. Only a marihuana producer licensee, marihuana processor licensee, 12 marihuana microbusiness licensee, or marihuana distributor licensee may 13 distribute marihuana and marihuana products to other licensed marihuana 14 businesses. 15 8. No marihuana delivery owner may hold more than one marihuana deliv- 16 ery license. 17 9. No marihuana distributor owner may hold more than one marihuana 18 distributor license. 19 10. The bureau shall issue a series of producer licenses distinguished 20 by canopy size and type of lighting used, natural/outdoor light, indoor 21 light, or mixed-light. 22 11. No marihuana producer owner may hold more than one marihuana 23 producer and one marihuana processor license. 24 12. No marihuana processor owner may hold more than three marihuana 25 processor licenses. 26 13. An owner of a marihuana nursery may hold a marihuana producer or 27 marihuana processor license but shall not hold another license category 28 of section one hundred sixty-nine of this article, shall not own or have 29 ownership interest in a facility licensed pursuant to title five-A of 30 article thirty-three of the public health law, and shall hold not more 31 than one nursery license. Licensing limits imposed by subdivisions elev- 32 en and twelve of this section shall apply. 33 § 171. Actions taken pursuant to a valid license are lawful. No 34 contracts related to the operation of licenses under this chapter shall 35 be deemed unenforceable on the basis that the actions permitted pursuant 36 to the license are prohibited by federal law. The following actions are 37 not unlawful as provided under this chapter, shall not be an offense 38 under any state or local law, and shall not result in any civil fine, 39 seizure, or forfeiture of assets against any person acting in accordance 40 with this chapter: 41 1. Actions of a licensee, its employees, and its agents, as permitted 42 by this chapter and consistent with rules and regulations of the bureau, 43 pursuant to a valid license issued by the bureau. 44 2. Actions of those who allow property to be used by a licensee, its 45 employees, and its agents, as permitted by this chapter and consistent 46 with rules and regulations of the bureau, pursuant to a valid license 47 issued by the bureau. 48 3. Actions of any person or entity, their employees, or their agents 49 providing a service to a licensee or potential licensee, as permitted by 50 this chapter and consistent with rules and regulations of the bureau, 51 relating to the formation of a business. 52 4. The purchase, possession, or consumption of marihuana, as permitted 53 by this chapter and consistent with rules and regulations of the bureau, 54 obtained from a validly licensed retailer. 55 § 172. General prohibitions and restrictions. 1. No marihuana products 56 may be imported into or exported from New York state.A. 3506--C 29 1 2. No person may be issued a license under section one hundred sixty- 2 nine of this article if they have been convicted of an offense related 3 to the functions, or duties of owning and operating a business within 4 three years of the application date, except that if the bureau deter- 5 mines that the owner or licensee is otherwise suitable to be issued a 6 license, and granting the license would not compromise public safety, 7 the bureau shall conduct a thorough review of the nature of the crime, 8 conviction, circumstances, and evidence of rehabilitation of the owner, 9 and shall evaluate the suitability of the owner or licensee to be issued 10 a license based on the evidence found through the review. In determining 11 which offenses are substantially related to the functions or duties of 12 owning and operating a business, the bureau shall include, but not be 13 limited to, the following: 14 (a) A felony conviction involving fraud, money laundering, forgery and 15 other unlawful conduct related to owning and operating a business. 16 (b) A felony conviction for hiring, employing, or using a minor in 17 transporting, carrying, selling, giving away, preparing for sale, or 18 peddling, any controlled substance to a minor; or selling, offering to 19 sell, furnishing, offering to furnish, administering, or giving any 20 controlled substance to a minor. 21 3. No license of any kind may be issued to a person under the age of 22 twenty-one years, nor shall any licensee employ anyone under the age of 23 twenty-one years. 24 § 173. Certain officials not to be interested in the manufacture or 25 sale of marihuana. 1. Except as otherwise provided in section one 26 hundred twenty-eight-a of this chapter, it shall be unlawful for any 27 police commissioner, police inspector, captain, sergeant, roundsman, 28 patrolman or other police official or subordinate of any police depart- 29 ment in the state, to be either directly or indirectly interested in the 30 manufacture or sale of marihuana or to offer for sale, or recommend to 31 any licensee any marihuana. A person may not be denied any license 32 granted under the provisions of sections fifty-four, fifty-five, fifty- 33 nine, sixty-three, sixty-four, seventy-nine, eighty-one, or article 34 seven of this chapter solely on the grounds of being the spouse of a 35 public servant described in this subdivision. The solicitation or recom- 36 mendation made to any licensee, to purchase any marihuana by any police 37 official or subordinate as described in this subdivision, shall be 38 presumptive evidence of the interest of such official or subordinate in 39 the manufacture or sale of marihuana. 40 2. No elective village officer shall be subject to the limitations set 41 forth in subdivision one of this section unless such elective village 42 officer shall be assigned duties directly relating to the operation or 43 management of the police department. 44 § 174. Provisions governing initial rulemaking. 1. Within two hundred 45 forty days after the effective date of this article, the bureau shall 46 perform such acts, prescribe such forms and make such rules, regulations 47 and orders as it may deem necessary or proper to fully effectuate the 48 provisions of this article. 49 2. The bureau shall promulgate necessary rules and regulations govern- 50 ing the licensing of marihuana producers, marihuana processors, marihua- 51 na retailers and marihuana retailers for consumption on-site, including: 52 (a) prescribing forms and establishing application, reinstatement, and 53 renewal fees; 54 (b) the qualifications for licensure;A. 3506--C 30 1 (c) the books and records to be created and maintained by licensees, 2 the reports to be made thereon to the bureau, and inspection of the 3 books and records; 4 (d) methods of producing, processing, and packaging marihuana, mari- 5 huana-infused products, and concentrated cannabis; conditions of sanita- 6 tion, and standards of ingredients, quality, and identity of marihuana 7 products produced, processed, packaged, or sold by licensees; and 8 (e) security requirements for marihuana retailers and premises where 9 marihuana products are produced or processed, and safety protocols for 10 licensees and their employees. 11 3. The bureau shall promulgate rules and regulations that are calcu- 12 lated to: 13 (a) prevent the distribution of marihuana to persons under twenty-one 14 years of age; 15 (b) prevent the revenue from the sale of marihuana from going to 16 organized criminal enterprises and cartels; 17 (c) prevent the diversion of marihuana from this state to other 18 states; 19 (d) prevent marihuana activity that is legal under state law from 20 being used as a cover or pretext for the trafficking of other illegal 21 drugs or other illegal activity; 22 (e) prevent violence and the use of firearms in the cultivation and 23 distribution of marihuana; 24 (f) prevent impaired driving and the exacerbation of other adverse 25 public health consequences associated with the use of marihuana; 26 (g) prevent the growing of marihuana on public lands and the attendant 27 public safety and environmental dangers posed by marihuana production on 28 public lands; and 29 (h) prevent the possession and use of marihuana on federal property. 30 4. Rules and regulations promulgated by the bureau pursuant to subdi- 31 vision three of this section shall not prohibit the operation of mari- 32 huana establishments either expressly or through regulations that make 33 their operation unreasonably impracticable. 34 5. The bureau, in consultation with the department of agriculture and 35 markets and the department of environmental conservation, shall promul- 36 gate necessary rules and regulations governing the safe production of 37 marihuana, including restrictions on the use of pesticides, insecticides 38 and herbicides. 39 § 175. Provisions governing marihuana producers. 1. No producer shall 40 sell, or agree to sell or deliver in the state any marihuana products, 41 as the case may be, except in sealed containers containing quantities in 42 accordance with size standards pursuant to rules adopted by the bureau. 43 Such containers shall have affixed thereto such labels as may be 44 required by the rules of the bureau, together with all necessary New 45 York state excise tax stamps, as required by law. 46 2. No producer shall deliver any marihuana products, except in vehi- 47 cles owned and operated by such producer, or hired and operated by such 48 producer from a trucking or transportation company registered with the 49 bureau, and shall only make deliveries at the licensed premises of the 50 purchaser. 51 3. Each producer shall keep and maintain upon the licensed premises, 52 adequate books and records of all transactions involving the producer 53 and sale of his or its products, which shall include all information 54 required by rules promulgated by the bureau. Each sale shall be recorded 55 separately on a numbered invoice, which shall have printed thereon the 56 number, the name of the licensee, the address of the licensed premises,A. 3506--C 31 1 and the current license number. Such producer shall deliver to the 2 purchaser a true duplicate invoice stating the name and address of the 3 purchaser, the quantity purchased, description and the price of the 4 product, and a true, accurate and complete statement of the terms and 5 conditions on which such sale is made. Such books, records and invoices 6 shall be kept for a period of two years and shall be available for 7 inspection by any authorized representative of the bureau. 8 4. No producer shall furnish or cause to be furnished to any licensee, 9 any exterior or interior sign, printed, painted, electric or otherwise, 10 except as authorized by the bureau. The bureau may make such rules as it 11 deems necessary to carry out the purpose and intent of this subdivision. 12 § 176. Provisions governing processors. 1. No processor shall be 13 engaged in any other business on the premises to be licensed; except 14 that nothing contained in this chapter shall prevent a marihuana produc- 15 er and a marihuana processor from operating on the same premises and 16 from a person holding both licenses. 17 2. No processor shall sell, or agree to sell or deliver in the state 18 any marihuana products, except in a sealed package containing quantities 19 in accordance with size standards pursuant to rules adopted by the 20 bureau. Such containers shall have affixed thereto such labels as may be 21 required by the rules of the bureau, together with all necessary New 22 York state excise tax stamps, as required by law. 23 3. No processor shall deliver any products, except in vehicles owned 24 and operated by such processor, or hired and operated by such processor 25 from a trucking or transportation company registered with the bureau, 26 and shall only make deliveries at the licensed premises of the purchas- 27 er. 28 4. Each processor shall keep and maintain upon the licensed premises, 29 adequate books and records of all transactions involving the business 30 transacted by such processor, which shall show the amount of marihuana 31 products, purchased by such processor together with the names, license 32 numbers and places of business of the persons from whom the same was 33 purchased and the amount involved in such purchases, as well as the 34 amount of marihuana products sold by such processor together with the 35 names, addresses, and license numbers of such purchasers. Each sale 36 shall be recorded separately on a numbered invoice, which shall have 37 printed thereon the number, the name of the licensee, the address of the 38 licensed premises, and the current license number. Such processor shall 39 deliver to the purchaser a true duplicate invoice stating the name and 40 address of the purchaser, quantity purchased, description and the price 41 of the product, and a true, accurate and complete statement of the terms 42 and conditions on which such sale is made. Such books, records and 43 invoices shall be kept for a period of two years and shall be available 44 for inspection by any authorized representative of the bureau. 45 § 177. Provisions governing marihuana retailers. 1. No retail license 46 shall be granted for any premises, unless the applicant shall be the 47 owner thereof, or shall be in possession of said premises under a lease, 48 management agreement or other agreement giving the applicant control 49 over the premises, in writing, for a term not less than the license 50 period. 51 2. No premises shall be licensed to sell marihuana products, unless 52 said premises shall be located in a store, the principal entrance to 53 which shall be from the street level and located on a public thorough- 54 fare in premises which may be occupied, operated or conducted for busi- 55 ness, trade or industry or on an arcade or sub-surface thoroughfare 56 leading to a railroad terminal. There may be not more than one addi-A. 3506--C 32 1 tional entrance which shall be from the street level and located on and 2 giving access to and from a public or private parking lot or parking 3 area having space for not less than five automobiles. 4 3. No marihuana retail license shall be granted for any premises which 5 a license would not be allowed to sell at retail for consumption of 6 alcohol off the premises based on its proximity to a building occupied 7 exclusively as a school, church, synagogue or other place of worship 8 pursuant to the provisions of section one hundred five of this chapter. 9 4. No marihuana retail licensee shall offer for sale any marihuana 10 products in any other container, except in the original sealed package, 11 as received from the producer, distributor or processor. Such containers 12 shall have affixed thereto such labels as may be required by the rules 13 of the bureau, together with all New York state excise tax stamps, as 14 required by law. Such containers shall not be opened nor its contents 15 consumed on the premises where sold. 16 5. No marihuana retail licensee shall sell or transfer marihuana 17 products to any person under the age of twenty-one years. 18 6. No marihuana retail licensee shall sell alcoholic beverages on the 19 same premises where marihuana products are sold. 20 7. No sign of any kind printed, painted or electric, advertising any 21 brand shall be permitted on the exterior or interior of such premises, 22 except by permission of the bureau. 23 8. No retail licensee shall deliver any marihuana products except in 24 vehicles owned and operated by such licensee, or hired and operated by 25 such licensee from a trucking or transportation company registered with 26 the bureau, and shall only make such deliveries at the premises of the 27 purchaser. 28 9. No retail licensee shall keep or permit to be kept upon the 29 licensed premises, any marihuana products in any unsealed container. 30 10. No premises licensed as a marihuana retailer shall be permitted to 31 remain open during a time when a premises licensed to sell liquor and/or 32 wine for off-premises consumption is not permitted to remain open pursu- 33 ant to the provisions of section one hundred five of this chapter. 34 11. Each marihuana retail licensee shall keep and maintain upon the 35 licensed premises, adequate books and records of all transactions 36 involving the business transacted by such licensee, which shall show the 37 amount of marihuana products, purchased by such licensee together with 38 the names, license numbers and places of business of the persons from 39 whom the same were purchased, and the amount involved in such purchases, 40 as well as the amount of marihuana products, sold by such licensee, and 41 the amount involved in each sale. Such books and records shall be avail- 42 able for inspection by any authorized representative of the bureau. 43 12. All premises licensed under this section shall be subject to 44 inspection by any peace officer described in subdivision four of section 45 2.10 of the criminal procedure law acting pursuant to his or her special 46 duties, or police officer or any duly authorized representative of the 47 bureau, during the hours when the said premises are open for the trans- 48 action of business. 49 § 178. Provisions governing marihuana on-site consumption licenses. 1. 50 No marihuana retailer or microbusiness shall be granted a marihuana 51 on-site consumption license for a premises located in whole or in part 52 inside the boundaries of any city, village or town, unless the local 53 legislative body of such city, village or town, by resolution, expressly 54 authorizes the licensing of such facilities in such city, village or 55 town. The local legislative body may direct an appropriate officer, 56 board or body of such city, village or town as the local licensingA. 3506--C 33 1 authority to authorize individual marihuana facility license applica- 2 tions. In cities of one million or more residents, should the local 3 legislative body authorize such license, no marihuana retailer license 4 for consumption on-site shall be granted unless the community board 5 established pursuant to section twenty-eight hundred of the New York 6 city charter with jurisdiction over the area in which the premises will 7 be located shall also authorize such license. 8 2. No marihuana retailer or microbusiness shall be granted a marihuana 9 on-site consumption license for any premises, unless the applicant shall 10 be the owner thereof, or shall be in possession of said premises under a 11 lease, in writing, for a term not less than the license period except, 12 however, that such license may thereafter be renewed without the 13 requirement of a lease as herein provided. This subdivision shall not 14 apply to premises leased from government agencies, as defined under 15 subdivision twelve-c of section three of this chapter; provided, howev- 16 er, that the appropriate administrator of such government agency 17 provides some form of written documentation regarding the terms of occu- 18 pancy under which the applicant is leasing said premises from the 19 government agency for presentation to the bureau at the time of the 20 license application. Such documentation shall include the terms of occu- 21 pancy between the applicant and the government agency, including, but 22 not limited to, any short-term leasing agreements or written occupancy 23 agreements. 24 3. No marihuana retailer or microbusiness shall be granted a marihuana 25 on-site consumption license for any premises where a license would not 26 be allowed to sell at retail for consumption of alcohol on the premises 27 based on its proximity to a building occupied exclusively as a school, 28 church, synagogue or other place of worship pursuant to the provisions 29 of section one hundred five of this chapter. 30 4. The bureau may consider any or all of the following in determining 31 whether public convenience and advantage and the public interest will be 32 promoted by the granting of licenses and permits for a marihuana on-site 33 consumption license at a particular unlicensed location: 34 (a) The number, classes and character of licenses in proximity to the 35 location and in the particular town, city or village or subdivision 36 thereof. 37 (b) Evidence that all necessary licenses and permits have been 38 obtained from the state and all other governing bodies. 39 (c) Effect of the grant of the license on vehicular traffic and park- 40 ing in proximity to the location. 41 (d) The existing noise level at the location and any increase in noise 42 level that would be generated by the proposed premises. 43 (e) Any other factors specified by law or regulation that are relevant 44 to determine the public convenience and advantage and public interest of 45 the community. 46 5. If the bureau shall disapprove an application for a license or 47 permit, it shall state and file in its offices the reasons therefor and 48 shall notify the applicant thereof. Such applicant may thereupon apply 49 to the bureau for a review of such action in a manner to be prescribed 50 by the rules of the bureau. A hearing upon notice to the applicant shall 51 thereupon be held by the bureau or by one of its members at its office 52 most conveniently situated to the office of its duly authorized repre- 53 sentative in a manner to be prescribed in its rules; and on such hearing 54 proof may be taken by oral testimony or by affidavit relative thereto. 55 After such hearing, if the bureau confirms such disapproval, it shall 56 endorse such application accordingly and shall send notice to the appli-A. 3506--C 34 1 cant of its action in such form as the bureau may prescribe. If the 2 bureau does not confirm the disapproval action it may grant such appli- 3 cation and issue such license. 4 6. No marihuana on-site consumption licensee, except persons or corpo- 5 rations operating a hotel, as defined in subdivision fourteen of section 6 three of this chapter, for exclusive use in the furnishing of room 7 service in the manner prescribed by rule or regulation of the bureau, 8 shall keep upon the licensed premises any marihuana products, except 9 those purchased from a licensed producer, and in containers approved by 10 the bureau. Such containers shall have affixed thereto such labels as 11 may be required by the rules of the bureau, together with all necessary 12 excise stamps as required by law. No marihuana retail licensee for 13 on-site consumption shall reuse, refill, tamper with, adulterate, dilute 14 or fortify the contents of any container of marihuana products as 15 received from the manufacturer or wholesaler. 16 7. No marihuana on-site consumption licensee shall sell, deliver or 17 give away, or cause or permit or procure to be sold, delivered or given 18 away any marihuana for consumption on the premises where sold in a 19 container or package containing more than one gram of marihuana. 20 8. Except where a permit to do so is obtained pursuant to section 21 405.10 of the penal law, no marihuana on-site consumption licensee shall 22 suffer, permit, or promote an event on its premises wherein any person 23 shall use, explode, or cause to explode, any fireworks or other pyro- 24 technics in a building as defined in paragraph e of subdivision one of 25 section 405.10 of the penal law, that is covered by such license or 26 possess such fireworks or pyrotechnics for such purpose. In addition to 27 any other penalty provided by law, a violation of this subdivision shall 28 constitute an adequate ground for instituting a proceeding to suspend, 29 cancel, or revoke the license of the violator in accordance with the 30 applicable procedures specified in section one hundred nineteen of this 31 chapter; provided however, if more than one licensee is participating in 32 a single event, upon approval by the bureau, only one licensee must 33 obtain such permit. 34 9. No restaurant and no premises licensed to sell marihuana products 35 for on-site consumption under paragraph (a) of subdivision six of 36 section sixty-four-a of this chapter shall be permitted to have any 37 opening or means of entrance or passageway for persons or things between 38 the licensed premises and any other room or place in the building 39 containing the licensed premises, or any adjoining or abutting premises, 40 unless ingress and egress is restricted by an employee, agent of the 41 licensee, or other approved method of controlling access to the facili- 42 ty, or unless such premises are a bona fide restaurant with such access 43 for patrons and guests from any part of such building or adjoining or 44 abutting premises as shall serve public convenience in a reasonable and 45 suitable manner; or unless such licensed premises are in a building 46 owned or operated by any town, city, village or public authority or 47 agency, in a park or other similar place of public accommodation. All 48 glass in any window or door on said licensed premises shall be clear and 49 shall not be opaque, colored, stained or frosted. 50 10. A vessel licensed to sell marihuana products for on-site consump- 51 tion shall not be permitted to sell any marihuana products, while said 52 vessel is moored to a pier or dock, except that vessels sailing on 53 established schedules shall be permitted to sell marihuana products for 54 a period of three hours prior to the regular advertised sailing time. 55 11. Each marihuana on-site consumption licensee shall keep and main- 56 tain upon the licensed premises, adequate records of all transactionsA. 3506--C 35 1 involving the business transacted by such licensee which shall show the 2 amount of marihuana products, in an applicable metric measurement, 3 purchased by such licensee together with the names, license numbers and 4 places of business of the persons from whom the same were purchased, the 5 amount involved in such purchases, as well as the sales of marihuana 6 products made by such licensee. The bureau is hereby authorized to 7 promulgate rules and regulations permitting an on-site licensee operat- 8 ing two or more premises separately licensed to sell marihuana products 9 for on-site consumption to inaugurate or retain in this state methods or 10 practices of centralized accounting, bookkeeping, control records, 11 reporting, billing, invoicing or payment respecting purchases, sales or 12 deliveries of marihuana products, or methods and practices of central- 13 ized receipt or storage of marihuana products within this state without 14 segregation or earmarking for any such separately licensed premises, 15 wherever such methods and practices assure the availability, at such 16 licensee's central or main office in this state, of data reasonably 17 needed for the enforcement of this chapter. Such records shall be avail- 18 able for inspection by any authorized representative of the bureau. 19 12. All retail licensed premises shall be subject to inspection by any 20 peace officer, acting pursuant to his or her special duties, or police 21 officer and by the duly authorized representatives of the bureau, during 22 the hours when the said premises are open for the transaction of busi- 23 ness. 24 13. A marihuana on-site consumption licensee shall not provide mari- 25 huana products to any person under the age of twenty-one. 26 § 179. Advertising and forms for the issuance of licenses. 1. The 27 bureau is hereby authorized to promulgate rules and regulations govern- 28 ing the advertising of marihuana producers, marihuana processors, mari- 29 huana retailers, and any marihuana related products or services. 30 2. The bureau shall promulgate explicit rules prohibiting advertising 31 that: 32 (a) is false, deceptive, or misleading; 33 (b) promotes overconsumption; 34 (c) depicts consumption by children or other minors; 35 (d) is designed in any way to appeal to children or other minors; 36 (e) is within two hundred feet of the perimeter of a playground, child 37 care center, public park, library or school grounds; 38 (f) is in public transit vehicles and stations; 39 (g) is in the form of an unsolicited internet pop-up; or 40 (h) is on publicly owned or operated property. 41 3. The bureau shall promulgate explicit rules prohibiting all market- 42 ing strategies and implementation including, but not limited to, brand- 43 ing, packaging, labeling, location of marihuana retailers and marihuana 44 microbusinesses, and advertisements that are designed to: 45 (a) appeal to persons less then twenty-one years of age; or 46 (b) disseminate false or misleading information to customers. 47 4. The bureau shall promulgate explicit rules requiring that: 48 (a) all advertisements and marketing accurately and legibly identify 49 the licensee responsible for its content; and 50 (b) any broadcast, cable, radio, print and digital communications 51 advertisements only be placed where the audience is reasonably expected 52 to be twenty-one years of age or older, as determined by reliable, 53 up-to-date audience composition data. 54 § 180. Packaging of marihuana products. 1. The bureau is hereby 55 authorized to promulgate rules and regulations governing the packaging 56 of marihuana products, sold or possessed for sale in New York state.A. 3506--C 36 1 2. Such regulations shall include requiring that: 2 (a) packaging meets requirements similar to the federal "poison 3 prevention packaging act of 1970," 15 U.S.C. Sec 1471 et seq.; 4 (b) all marihuana-infused products shall have a separate packaging for 5 each serving; 6 (c) prior to delivery or sale at a retailer, marihuana and marihuana 7 products shall be labeled and placed in a resealable, child-resistant 8 package; and 9 (d) packages and labels shall not be made to be attractive to chil- 10 dren. 11 § 181. Labeling of marihuana products. 1. The bureau is hereby author- 12 ized to promulgate rules and regulations governing the labeling and 13 offering of marihuana products for sale within this state. 14 2. Such rules and regulations shall be calculated to: (a) prohibit 15 deception of the consumer; (b) afford adequate information as to quality 16 and identity of the product; and (c) achieve national uniformity in this 17 business. 18 3. The bureau may seek the assistance of the department of health when 19 necessary before promulgating rules and regulations under this section. 20 4. Such regulations shall include requiring labels warning consumers 21 of any potential impact on human health resulting from the consumption 22 of marihuana products that shall be affixed to those products when sold, 23 if such labels are deemed warranted by the bureau after consultation 24 with the department of health. 25 5. All marihuana and marihuana product labels and inserts shall 26 include the following information prominently displayed in a clear and 27 legible fashion in accordance with the requirements, including font 28 size, prescribed by the bureau or the department of health: not less 29 than 8 point font: 30 (a) manufacture date and source; 31 (b) for packages containing only dried flower, the net weight of mari- 32 huana in the package; 33 (c) identification of the source and date of cultivation, the type of 34 marihuana or marihuana product and the date of manufacturing and packag- 35 ing; 36 (d) list of pharmacologically active ingredients, including, but not 37 limited to, tetrahydrocannabinol (THC), cannabidiol (CBD), and other 38 cannabinoid content, the THC and other cannabinoid amount in milligrams 39 per serving, servings per package, and the THC and other cannabinoid 40 amount in milligrams for the package total, and the potency of the mari- 41 huana or marihuana product by reference to the amount of tetrahydrocan- 42 nabinol and cannabidiol in each serving; 43 (e) for marihuana products, a list of all ingredients and disclosure 44 of nutritional information in the same manner as the federal nutritional 45 labeling requirements in 21 C.F.R. section 101.9; 46 (f) a list of any solvents, nonorganic pesticides, herbicides, and 47 fertilizers that were used in the cultivation, production, and manufac- 48 ture of such marihuana or marihuana product; 49 (g) a warning if nuts or other known allergens are used; 50 (h) information associated with the unique identifier issued by the 51 bureau of marihuana policy; and 52 (i) any other requirements set by the bureau of marihuana policy. 53 6. Only generic food names may be used to describe the ingredients in 54 edible marihuana products. 55 7. Such rules and regulations shall establish methods and procedures 56 for determining serving sizes for marihuana-infused products, activeA. 3506--C 37 1 cannabis concentration per serving size, and number of servings per 2 container. Such regulations shall also require a nutritional fact panel 3 that incorporates data regarding serving sizes and potency thereof. 4 8. Such rules and regulations shall require information containing the 5 license number of the marihuana producer and processor facilities where 6 the marihuana was grown and processed. 7 9. The packaging, sale, or possession by any licensee of any marihuana 8 product not labeled or offered in conformity with rules and regulations 9 promulgated in accordance with this section shall be grounds for the 10 imposition of a fine, and/or the suspension, revocation or cancellation 11 of the license. 12 § 182. Seed to sale tracking. 1. No later than fifteen months follow- 13 ing the effective date of the Marihuana Regulation and Taxation Act, the 14 bureau shall establish a seed to sale tracking program for reporting the 15 movement of marihuana and marihuana products throughout the distribution 16 chain that utilizes a unique identifier and secure packaging and is 17 capable of providing information that captures, at a minimum, all of the 18 following: 19 (a) the licensee receiving the product; 20 (b) the transaction date; and 21 (c) the producer from which the product originates, including the 22 associated unique identifier. 23 2. (a) The bureau shall create an electronic database containing the 24 electronic shipping manifests to facilitate the administration of the 25 seed to sale program tracking, which shall include, but not be limited 26 to, the following information: 27 (b) the quantity, or weight, and variety of products shipped; 28 (c) the estimated times of departure and arrival; 29 (d) the quantity, or weight, and variety of products received; 30 (e) the actual time of departure and arrival; 31 (f) a categorization of the product; and 32 (g) the license number and unique identifier issued by the bureau for 33 all licensees involved in the shipping process, including, but not 34 limited to, producer, processor, retailer, and delivery licensees. 35 3. The database shall be designed to flag irregularities for the 36 bureau to investigate. 37 § 183. Renewals of licenses and permits. 1. Each license and permit, 38 issued pursuant to this article may be renewed upon application therefor 39 by the licensee or permittee and the payment of the annual fee for such 40 license or permit as prescribed by this article. In the case of applica- 41 tions for renewals, the bureau may dispense with the requirements of 42 such statements as it deems unnecessary in view of those contained in 43 the application made for the original license or permit, but in any 44 event the submission of photographs of the licensed premises shall be 45 dispensed with, provided the applicant for such renewal shall file a 46 statement with such bureau to the effect that there has been no alter- 47 ation of such premises since the original license was issued. The 48 bureau may make such rules as may be necessary not inconsistent with 49 this chapter regarding applications for renewals of licenses and permits 50 and the time for making the same. Each applicant must submit to the 51 bureau documentation of the racial, ethnic, and gender diversity of the 52 applicant's employees and owners prior to a license or permit being 53 renewed. 54 2. The bureau shall provide an application for renewal of a license 55 issued under this article not less than sixty days prior to the expira- 56 tion of the current license.A. 3506--C 38 1 § 184. Information to be provided by applicants. 1. The following 2 shall be the information required on an application for a license or 3 permit: 4 (a) A statement of identity as follows: 5 (i) If the applicant is an individual, his or her name, date and place 6 of birth, citizenship, permanent home address, telephone number and 7 social security number, as well as any other names by which he or she 8 has conducted a business at any time. 9 (ii) If the applicant is a corporation or a limited liability corpo- 10 ration, the corporate name of the applicant, its place of incorporation, 11 its main business address (and if such main business address is not 12 within the state, the address of its main place of business within the 13 state), other names by which it has been known or has conducted business 14 at any time, its telephone number, its federal employer identification 15 number, and the names, ages, citizenship, and permanent home addresses 16 of its directors, officers and its shareholders (except that if there be 17 more than ten shareholders then those shareholders holding ten percent 18 or more of any class of its shares). 19 (iii) If the applicant is a partnership, its name, its main business 20 address (and if such main business address is not within the state, the 21 address of its main place of business within the state), other names by 22 which it has been known or has conducted business at any time, its tele- 23 phone number, its federal employer identification number, and the names, 24 ages, citizenship, and permanent home addresses of each of its partners. 25 (b) A statement identifying the street and number of the premises to 26 be licensed, if the premises has a street and number, and otherwise such 27 description as will reasonably indicate the town, city or village there- 28 of; photographs, drawings or other items related to the appearance of 29 the interior or exterior of such premises, and a floor plan of the inte- 30 rior, shall be required. The applicant shall also state the nature of 31 his or her interest in the premises; and the name of any other person 32 interested as a partner, joint venturer, investor or lender with the 33 applicant either in the premises or in the business to be licensed. 34 (c) A description of any other marihuana license or permit under this 35 article, within the past ten years, the applicant (including any offi- 36 cers, directors, shareholders or partners listed in the statement of 37 identity under paragraph (a) of this subdivision or the spouse of any 38 such person) or the applicant's spouse held or applied for. 39 (d) A description of the applicant's plan to ensure diversity among 40 the applicant's employees, including strategies for ensuring: 41 (i) gender diversity; 42 (ii) racial and ethnic diversity that reflects the demographics within 43 the town, city or village in which the applicant's proposed business 44 will be located; and 45 (iii) that persons with prior criminal convictions are not barred from 46 employment. 47 (e) For an applicant with more than twenty-five employees, a statement 48 that the applicant has entered into a labor peace agreement with a bona- 49 fide labor organization that is actively engaged in representing or 50 attempting to represent the applicant's employees. The maintenance of 51 such a labor peace agreement shall be an ongoing material condition of 52 certification. 53 (f) A statement that the location and layout of the premises to be 54 licensed does not violate any requirement of this chapter relating to 55 location and layout of licensed premises, with a copy of the certificate 56 of occupancy for the premises.A. 3506--C 39 1 (g) A statement that the applicant has control of the premises to be 2 licensed by ownership of a fee interest or via a leasehold, management 3 agreement, or other agreement giving the applicant control over the 4 premises, with a term at least as long as the license for which the 5 application is being made, or by a binding contract to acquire the same 6 and a statement of identity under paragraph (a) of this subdivision for 7 the lessor of any leasehold, manager of any management agreement, or 8 other agreement giving the applicant control over the premises, with a 9 copy of the lease, contract, management agreement, or other agreement 10 giving the applicant control over the food and beverage at the premises, 11 or deed evidencing fee ownership of the premises. 12 (h) A financial statement adequate to show all persons who, directly 13 or indirectly have an economic interest in the establishment or acquisi- 14 tion of the business for which the license or permit application is 15 being made, to identify the sources of funds to be applied in such 16 establishment or acquisition, and to describe the terms and conditions 17 governing such establishment with copies of such financial documents as 18 the bureau may reasonably require. 19 (i) The fingerprints of the applicants. Fingerprints submitted by the 20 applicants shall be transmitted to the division of criminal justice 21 services and may be submitted to the federal bureau of investigation for 22 state and national criminal history record checks. 23 2. All license or permit applications shall be signed by the applicant 24 (if an individual), by a managing partner (if a limited liability corpo- 25 ration), by an officer (if a corporation), or by all partners (if a 26 partnership). Each person signing such application shall verify it or 27 affirm it as true under the penalties of perjury. 28 3. All license or permit applications shall be accompanied by a check, 29 draft or other forms of payment as the bureau may require or authorize 30 in the amount required by this article for such license or permit. 31 4. If there be any change, after the filing of the application or the 32 granting of a license, in any of the facts required to be set forth in 33 such application, a supplemental statement giving notice of such change, 34 cost and source of money involved in the change, duly verified, shall be 35 filed with the bureau within ten days after such change. Failure to do 36 so shall, if willful and deliberate, be cause for revocation of the 37 license. 38 5. In giving any notice, or taking any action in reference to a licen- 39 see of a licensed premises, the bureau may rely upon the information 40 furnished in such application and in any supplemental statement 41 connected therewith, and such information may be presumed to be correct, 42 and shall be binding upon a licensee or licensed premises as if correct. 43 All information required to be furnished in such application or supple- 44 mental statements shall be deemed material in any prosecution for perju- 45 ry, any proceeding to revoke, cancel or suspend any license, and in the 46 bureau's determination to approve or deny the license. 47 6. The bureau may in its discretion waive the submission of any cate- 48 gory of information described in this section for any category of 49 license or permit, provided that it shall not be, except for paragraphs 50 (a) and (d) of subdivision one of this section, permitted to waive the 51 requirement for submission of any such category of information solely 52 for an individual applicant or applicants. 53 § 185. Notification to towns, cities or villages. 1. Not less than 54 thirty days before filing any of the following applications, an appli- 55 cant shall notify the town, city or village in which the premises is 56 located of such applicant's intent to file such an application for a:A. 3506--C 40 1 (a) marihuana producer license; 2 (b) marihuana processor license; 3 (c) marihuana microbusiness license; 4 (d) marihuana retailer license; 5 (e) marihuana retailer license for on-site consumption; 6 (f) marihuana delivery license; 7 (g) marihuana testing license; and/or 8 (h) any other type of licenses allowed by the bureau. 9 2. Such notification shall be made to the clerk of the village, town 10 or city, as the case may be, wherein the premises is located. For 11 purposes of this section: 12 (a) notification need only be given to the clerk of a village when the 13 premises is located within the boundaries of the town, city or village; 14 and 15 (b) in the city of New York, the community board established pursuant 16 to section twenty-eight hundred of the New York city charter with juris- 17 diction over the area in which the premises is located shall be consid- 18 ered the appropriate public body to which notification shall be given. 19 3. For purposes of this section, "substantial corporate change" shall 20 mean: 21 (a) for a corporation, a change of eighty percent or more of the offi- 22 cers and/or directors, or a transfer of eighty percent or more of stock 23 of such corporation, or an existing stockholder obtaining eighty percent 24 or more of the stock of such corporation; 25 (b) for a limited liability company, a change of eighty percent or 26 more of the managing members of the company, or a transfer of eighty 27 percent or more of ownership interest in said company, or an existing 28 member obtaining a cumulative of eighty percent or more of the ownership 29 interest in said company; and 30 (c) for a partnership, a change of eighty percent or more of the part- 31 ners, or a transfer of eighty percent or more of ownership interest in 32 said partnership, or an existing partner obtaining a cumulative of 33 eighty percent or more of the ownership interest in said company. 34 4. Such notification shall be made in such form as shall be prescribed 35 by the rules of the bureau. 36 5. A town, city or village may express an opinion for or against the 37 granting of such application. Any such opinion shall be deemed part of 38 the record upon which the bureau makes its determination to grant or 39 deny the application. 40 6. Such notification shall be made by: certified mail, return receipt 41 requested; overnight delivery service with proof of mailing; or personal 42 service upon the offices of the clerk or community board. 43 7. The bureau shall require such notification to be on a standardized 44 form that can be obtained on the internet or from the bureau and such 45 notification to include: 46 (a) the trade name or "doing business as" name, if any, of the estab- 47 lishment; 48 (b) the full name of the applicant; 49 (c) the street address of the establishment, including the floor 50 location or room number, if applicable; 51 (d) the mailing address of the establishment, if different than the 52 street address; 53 (e) the name, address and telephone number of the attorney or repre- 54 sentative of the applicant, if any; 55 (f) a statement indicating whether the application is for: 56 (i) a new establishment;A. 3506--C 41 1 (ii) a transfer of an existing licensed business; 2 (iii) a renewal of an existing license; or 3 (iv) an alteration of an existing licensed premises; 4 (g) if the establishment is a transfer or previously licensed prem- 5 ises, the name of the old establishment and such establishment's license 6 serial number; 7 (h) in the case of a renewal or alteration application, the license 8 serial number of the applicant; and 9 (i) the type of license. 10 § 186. Licenses, publication, general provisions. 1. The various types 11 of licenses issued pursuant to this article shall be distinctive in 12 color and design so as to be readily distinguishable from each other. 13 2. No license shall be transferable or assignable except that notwith- 14 standing any other provision of law, the license of a sole proprietor 15 converting to corporate form, where such proprietor becomes the sole 16 stockholder and only officer and director of such new corporation, may 17 be transferred to the subject corporation if all requirements of this 18 chapter remain the same with respect to such license as transferred and, 19 further, the licensee shall transmit to the bureau, within ten days of 20 the transfer of license allowable under this subdivision, on a form 21 prescribed by the bureau, notification of the transfer of such license. 22 3. No license shall be pledged or deposited as collateral security for 23 any loan or upon any other condition; and any such pledge or deposit, 24 and any contract providing therefor, shall be void. 25 4. Licenses issued under this article shall contain, in addition to 26 any further information or material to be prescribed by the rules of the 27 bureau, the following information: (a) name of person to whom license is 28 issued; (b) kind of license and what kind of traffic in marihuana is 29 thereby permitted; (c) description by street and number, or otherwise, 30 of licensed premises; and (d) a statement in substance that such license 31 shall not be deemed a property or vested right, and that it may be 32 revoked at any time pursuant to law. 33 5. There shall be printed and furnished by the bureau to each licensee 34 a statement of the causes for which licenses may be revoked. Such state- 35 ment shall be prepared by the bureau and delivered to the licensee with 36 his or her license or as soon thereafter as may be practicable. Any 37 amendments thereto shall also be sent by the bureau to all licensees as 38 soon as may be practicable after such amendments. Failure to send such 39 statements or changes therein, or failure to receive the same, or any 40 misstatement or error contained in such statements or amendments shall, 41 however, not be an excuse or justification for any violation of law, or 42 prevent, or remit, or decrease any penalty or forfeiture therefor. 43 6. Before commencing or doing any business for the time for which a 44 license has been issued said license shall be enclosed in a suitable 45 wood or metal frame having a clear glass space and a substantial wood or 46 metal back so that the whole of said license may be seen therein, and 47 shall be posted up and at all times displayed in a conspicuous place in 48 the room where such business is carried on, so that all persons visiting 49 such place may readily see the same. It shall be unlawful for any person 50 holding a license to post such license or to permit such license to be 51 posted upon premises other than the premises licensed, or upon premises 52 where traffic in marihuana is being carried on by any person other than 53 the licensee, or knowingly to deface, destroy or alter any such license 54 in any respect. Whenever a license shall be lost or destroyed without 55 fault on the part of the licensee or his or her agents or employees, a 56 duplicate license in lieu thereof may be issued by the bureau in itsA. 3506--C 42 1 discretion and in accordance with such rules and regulations and the 2 payment of such fees, not exceeding five dollars, as it may prescribe. 3 § 187. Revocation of licenses for cause. 1. Any license or permit 4 issued pursuant to this article may be revoked, cancelled, suspended 5 and/or subjected to the imposition of a civil penalty for cause, and 6 must be revoked for the following causes: 7 (a) Conviction of the licensee, permittee or his or her agent or 8 employee for selling any illegal marihuana or marihuana products on the 9 premises licensed. 10 (b) For transferring, assigning or hypothecating a license or permit. 11 2. Notwithstanding the issuance of a license or permit by way of 12 renewal, the bureau may revoke, cancel or suspend such license or permit 13 and/or may impose a civil penalty against any holder of such license or 14 permit, as prescribed by this section and section one hundred nineteen 15 of this chapter, for causes or violations occurring during the license 16 period immediately preceding the issuance of such license or permit, and 17 may recover, as provided in section one hundred twelve of this chapter, 18 the penal sum of the bond on file during said period. 19 3. As used in this section, the term "for cause" shall also include 20 the existence of a sustained and continuing pattern of noise, disturb- 21 ance, misconduct, or disorder on or about the licensed premises, related 22 to the operation of the premises or the conduct of its patrons, which 23 adversely affects the health, welfare or safety of the inhabitants of 24 the area in which such licensed premises are located. 25 4. The existence of a sustained and continuing pattern of noise, 26 disturbance, misconduct, or disorder on or about the licensed premises, 27 related to the operation of the premises or the conduct of its patrons, 28 will be presumed upon the sixth incident reported to the bureau by a law 29 enforcement agency of noise or disturbance or misconduct or disorder on 30 or about the licensed premises or related to the operation of the prem- 31 ises or the conduct of its patrons, in any sixty day period, absent 32 clear and convincing evidence of either fraudulent intent on the part of 33 any complainant or a factual error with respect to the content of any 34 report concerning such complaint relied upon by the bureau. 35 § 188. Procedure for revocation or cancellation. 1. Any license or 36 permit issued by the bureau pursuant to this article may be revoked, 37 cancelled or suspended and/or be subjected to the imposition of a mone- 38 tary penalty in the manner prescribed by this section. 39 2. The bureau may on its own initiative or on complaint of any person 40 institute proceedings to revoke, cancel or suspend any retail license 41 and may impose a civil penalty against the licensee after a hearing at 42 which the licensee shall be given an opportunity to be heard. Such hear- 43 ing shall be held in such manner and upon such notice as may be 44 prescribed by the rules of the bureau. 45 § 189. Decisions of the bureau of marihuana policy and review by the 46 courts. Provisions of sections one hundred twenty, one hundred twenty- 47 one and one hundred twenty-four of this chapter shall apply to marihuana 48 licenses issued under this article. 49 § 190. Minority and women-owned businesses and incubator program. The 50 bureau shall: 51 1. Implement a social equity plan and actively promote racial, ethnic, 52 and gender diversity when issuing licenses for marihuana related activ- 53 ities, including by prioritizing consideration of applications by appli- 54 cants who qualify as a minority and women-owned business. Such quali- 55 fications shall be determined by the bureau.A. 3506--C 43 1 2. The bureau shall create a social equity plan to promote diversity 2 in ownership and employment in the marihuana industry and ensure inclu- 3 sion of: (a) minority-owned businesses; (b) women-owned businesses; and 4 (c) minority and women-owned businesses, as defined in subdivision five 5 of this section. 6 3. The social equity plan shall consider additional criteria in its 7 licensing determinations. Under the social equity plan, extra weight 8 shall be given to applications that demonstrate that an applicant: 9 (a) is a member of a community group that has been disproportionately 10 impacted by the enforcement of marihuana prohibition; 11 (b) has an income lower than eighty percent of the median income of 12 the county in which the applicant resides; and 13 (c) was convicted of a marihuana-related offense prior to the effec- 14 tive date of this bill. 15 4. The bureau shall also create an incubator program to provide direct 16 support to social equity applicants after they have been granted 17 licenses. The program shall provide direct support in the form of coun- 18 seling services, education, small business coaching, and compliance 19 assistance. 20 5. For the purposes of this section, the following definitions shall 21 apply: 22 (a) "minority-owned business" shall mean a business enterprise, 23 including a sole proprietorship, partnership, limited liability company 24 or corporation that is: 25 (i) at least fifty-one percent owned by one or more minority group 26 members; 27 (ii) an enterprise in which such minority ownership is real, substan- 28 tial and continuing; 29 (iii) an enterprise in which such minority ownership has and exercises 30 the authority to control independently the day-to-day business decisions 31 of the enterprise; 32 (iv) an enterprise authorized to do business in this state and inde- 33 pendently owned and operated; 34 (v) an enterprise that is a small business. 35 (b) "minority group member" shall mean a United States citizen or 36 permanent resident alien who is and can demonstrate membership in one of 37 the following groups: 38 (i) black persons having origins in any of the black african racial 39 groups; 40 (ii) hispanic persons of mexican, puerto rican, dominican, cuban, 41 central or south american of either indian or hispanic origin, regard- 42 less of race; 43 (iii) native american or alaskan native persons having origins in any 44 of the original peoples of north america; 45 (iv) asian and pacific islander persons having origins in any of the 46 far east countries, south east asia, the indian subcontinent or the 47 pacific islands. 48 (c) "women-owned business" shall mean a business enterprise, including 49 a sole proprietorship, partnership, limited liability company or corpo- 50 ration that is: 51 (i) at least fifty-one percent owned by one or more United States 52 citizens or permanent resident aliens who are women; 53 (ii) an enterprise in which the ownership interest of such women is 54 real, substantial and continuing;A. 3506--C 44 1 (iii) an enterprise in which such women ownership has and exercises 2 the authority to control independently the day-to-day business decisions 3 of the enterprise; 4 (iv) an enterprise authorized to do business in this state and inde- 5 pendently owned and operated; 6 (v) an enterprise that is a small business pursuant to subdivision 7 twenty of this section. 8 (d) a firm owned by a minority group member who is also a woman may be 9 defined as a minority-owned business, a women-owned business, or both. 10 6. The bureau shall actively promote applicants that foster racial, 11 ethnic, and gender diversity in their workforce. 12 7. Licenses issued to minority and women-owned businesses or under the 13 social equity plan shall not be transferable except to qualified minori- 14 ty and women-owned businesses or social equity applicants. 15 8. The bureau shall collect demographic data on owners and employees 16 in the marihuana industry and shall annually publish such data. 17 § 191. Disposition of moneys received for license fees. The bureau 18 shall establish a scale of application, licensing, and renewal fees, 19 based upon the cost of enforcing this article and the size of the mari- 20 huana business being licensed, as follows: 21 1. Each licensing authority shall charge each licensee a licensure and 22 renewal fee, as applicable. The licensure and renewal fee shall be 23 calculated to cover the costs of administering this article. The licen- 24 sure fee may vary depending upon the varying costs associated with 25 administering the various regulatory requirements of this article as 26 they relate to the nature and scope of the different licensure activ- 27 ities, but shall not exceed the reasonable regulatory costs to the 28 licensing authority. 29 2. The total fees assessed pursuant to this article shall be set at an 30 amount that will fairly and proportionately generate sufficient total 31 revenue to fully cover the total costs of administering this article. 32 3. All license fees shall be set on a scaled basis by the bureau, 33 dependent on the size of the business. 34 4. The bureau shall deposit all fees collected in the New York state 35 marihuana revenue fund established pursuant to section ninety-nine-ff of 36 the state finance law. 37 § 192. Persons forbidden to traffic in marihuana. 1. The following 38 persons are forbidden to traffic in marihuana: 39 (a) A person under the age of twenty-one years. 40 (b) A person who is not a citizen of the United States or an alien 41 lawfully admitted for permanent residence in the United States. 42 (c) A co-partnership or a corporation, unless each member of the part- 43 nership, or each of the principal officers and directors of the corpo- 44 ration, is a citizen of the United States or an alien lawfully admitted 45 for permanent residence in the United States, not less than twenty-one 46 years of age. 47 (d) (i) A person who shall have had any license issued under this 48 chapter revoked for cause, until the expiration of two years from the 49 date of such revocation. 50 (ii) A person not licensed under the provisions of this chapter, who 51 has been convicted of a violation of this chapter, until the expiration 52 of two years from the date of such conviction. 53 (e) A corporation or co-partnership, if any officer and director or 54 any partner, while not licensed under the provisions of this chapter, 55 has been convicted of a violation of this chapter, or has had a licenseA. 3506--C 45 1 issued under this chapter revoked for cause, until the expiration of two 2 years from the date of such conviction or revocation. 3 2. An applicant shall not be denied a license under this article based 4 solely on a conviction for a violation of article two hundred twenty or 5 section 240.36 of the penal law, prior to the date article two hundred 6 twenty-one of the penal law took effect, or a conviction for a violation 7 of article two hundred twenty-one of the penal law after the effective 8 date of this article. 9 § 193. Surrender of license; notice to police officials. Within three 10 days after a license shall have been revoked pursuant to this article, 11 notice thereof shall be given to the licensee by mailing such notice 12 addressed to him at the premises licensed. Notice shall also be mailed 13 to the owner of the premises licensed. The holder of such license shall 14 thereupon surrender same to the bureau. The mailing thereof by the 15 licensee to the bureau by registered mail or insured parcel post shall 16 be deemed sufficient compliance with this section. The bureau, imme- 17 diately upon giving notice of revocation, shall serve a written notice 18 thereof upon the commissioner of police, chief of police or chief police 19 officer of the city or village in which the premises for which the 20 revoked license was issued is situated, or upon the sheriff of the coun- 21 ty or a constable of the town in case the license was issued for prem- 22 ises situated in a town and not within any city or village. Such notice 23 shall include a statement of the number of such license, the name and 24 place of residence of the holder thereof, the location of the licensed 25 premises, and the date when such license was revoked. In case such 26 license be not forthwith surrendered, the bureau shall issue a written 27 demand for the surrender of such license and deliver said demand to the 28 sheriff of the county in which the licensed premises are located, or to 29 any representative of the bureau, and said sheriff or representative 30 shall immediately take possession of such license and return the same to 31 the bureau. 32 § 194. Protections for the use of marihuana. Individuals and licensed 33 entities shall not be subject to arrest, prosecution, or penalty in any 34 manner, or denied any right or privilege, including but not limited to 35 civil liability or disciplinary action by a business or occupational or 36 professional licensing board or bureau, solely for conduct permitted 37 under this article. For the avoidance of doubt, the appellate division 38 of the supreme court of the state of New York, and any disciplinary or 39 character and fitness committees established by them are occupational 40 and professional licensing boards within the meaning of this section. 41 State or local law enforcement agencies shall not cooperate with or 42 provide assistance to the government of the United States or any agency 43 thereof in enforcing the Federal Controlled Substances Act, 21, U.S.C. 44 et seq., solely for actions consistent with this chapter, except as 45 pursuant to a valid court order. 46 § 195. Discrimination protections for the use of marihuana or medical 47 marihuana. 1. No school or landlord may refuse to enroll or lease to and 48 may not otherwise penalize a person solely for conduct allowed under 49 sections 221.05 and 221.05-a of the penal law or title five-A of article 50 thirty-three of the public health law, except as exempted: 51 (a) If failing to do so would cause the school or landlord to lose a 52 monetary or licensing related benefit under federal law or regulations; 53 (b) If the institution has adopted a code of conduct prohibiting mari- 54 huana use on the basis of religious belief;A. 3506--C 46 1 (c) If a property is registered with the New York Smoke-Free Housing 2 Registry, it is not required to permit the smoking of marihuana products 3 on its premises. 4 2. For the purposes of medical care, including organ transplants, a 5 registered qualifying patient's authorized use of medical marihuana must 6 be considered the equivalent of the use of any other medication under 7 the direction of a practitioner and does not constitute the use of an 8 illicit substance or otherwise disqualify a registered qualifying 9 patient from medical care. 10 3. No person may be denied custody of or visitation or parenting time 11 with a minor, and there is no presumption of neglect or child endanger- 12 ment for conduct allowed under sections 221.05 and 221.05-a of the penal 13 law, unless the person's behavior creates an unreasonable danger to the 14 safety of the minor as established by clear and convincing evidence. For 15 the purposes of this section, an "unreasonable danger" determination 16 cannot be based solely on whether, when, and how often a person uses 17 marihuana without separate evidence of harm. 18 § 196. Employment protections. 1. Unless an employer establishes by a 19 preponderance of the evidence that the lawful use of marihuana has 20 impaired the employee's ability to perform the employee's job responsi- 21 bilities, it shall be unlawful to take any adverse employment action 22 against an employee based on either: 23 (a) conduct allowed under sections 221.05 and 221.05-a of the penal 24 law; or 25 (b) the employee's positive drug test for marihuana components or 26 metabolites. 27 2. For the purposes of this section, an employer may consider an 28 employee's ability to perform the employee's job responsibilities to be 29 impaired when the employee manifests specific articulable symptoms while 30 working that decrease or lessen the employee's performance of the duties 31 or tasks of the employee's job position. 32 3. Nothing in this section shall restrict an employer's ability to 33 prohibit or take adverse employment action for the possession or use of 34 intoxicating substances during work hours, or require an employer to 35 commit any act that would cause the employer to be in violation of 36 federal law, or that would result in the loss of a federal contract or 37 federal funding. 38 4. As used in this section, "adverse employment action" means refusing 39 to hire or employ, barring or discharging from employment, requiring a 40 person to retire from employment, or discriminating against in compen- 41 sation or in terms, conditions, or privileges of employment. 42 § 197. Protections for persons under state supervision. A person 43 currently under parole, probation or other state supervision, or 44 released on bail awaiting trial may not be punished or otherwise penal- 45 ized for conduct allowed under sections 221.05 and 221.05-a of the penal 46 law. 47 § 198. Professional and medical record keeping. Any professional 48 providing services in connection with a licensed or potentially licensed 49 business under this chapter, or in connection with other conduct permit- 50 ted under this chapter, and any medical professional providing medical 51 care to a patient, may agree with their client or patient to maintain no 52 record, or any reduced level of record keeping that professional and 53 client or patient may agree. In case of such agreement, the profes- 54 sional's only obligation shall be to keep such records as agreed, and to 55 keep a record of the agreement. Such reduced record keeping is conductA. 3506--C 47 1 permitted under this chapter, and shall attract the protections of 2 section one hundred ninety-four of this article. 3 § 32. The state finance law is amended by adding three new sections 4 99-ff, 99-gg and 99-hh to read as follows: 5 § 99-ff. New York state marihuana revenue fund. 1. There is hereby 6 established in the joint custody of the state comptroller and the 7 commissioner of taxation and finance a special fund to be known as the 8 "New York state marihuana revenue fund". 9 2. Such fund shall consist of all revenues received by the department 10 of taxation and finance, pursuant to the provisions of article eigh- 11 teen-A of the tax law and all other moneys appropriated thereto from any 12 other fund or source pursuant to law. Nothing contained in this section 13 shall prevent the state from receiving grants, gifts or bequests for the 14 purposes of the fund as defined in this section and depositing them into 15 the fund according to law. 16 3. The moneys in such fund shall be expended for the following 17 purposes: 18 (a) Reasonable costs incurred by the department of taxation and 19 finance for administering and collecting the taxes imposed by this part; 20 provided, however, such costs shall not exceed four percent of tax 21 revenues received. 22 (b) Reasonable costs incurred by the bureau of marihuana policy for 23 implementing, administering, and enforcing the marihuana regulation and 24 taxation act to the extent those costs are not reimbursed pursuant to 25 sections one hundred eighty-nine and one hundred ninety of article elev- 26 en of the alcoholic beverage control law. This paragraph shall remain 27 operative through the two thousand twenty-three -- two thousand twenty- 28 four fiscal year. 29 (c) Beginning with the two thousand twenty -- two thousand twenty-one 30 fiscal year and continuing through the two thousand twenty-two -- two 31 thousand twenty-three fiscal year, the commissioner of taxation and 32 finance shall annually disburse one million dollars to the marihuana 33 microbusiness and marihuana license revolving loan fund established 34 pursuant to section ninety-nine-ii of the state finance law. 35 (d) Beginning with the two thousand twenty -- two thousand twenty-one 36 fiscal year and continuing through the two thousand twenty-nine -- two 37 thousand thirty fiscal year, the commissioner of taxation and finance 38 shall annually disburse the following sums for the purposes of data 39 collection and reporting: 40 (1) Seven hundred fifty thousand dollars to the bureau of marihuana 41 policy to track and report data related to the licensing of marihuana 42 businesses, including the geographic location, structure, and function 43 of licensed marihuana businesses, and demographic data, including race, 44 ethnicity, and gender, of license holders. The bureau of marihuana poli- 45 cy shall publish reports on its findings annually and shall make the 46 reports available to the public. 47 (2) Seven hundred fifty thousand dollars to the department of criminal 48 justice services to track and report data related to any infractions, 49 violations, or criminal convictions that occur under any of the remain- 50 ing marihuana statutes. The department of criminal justice services 51 shall publish reports on its findings annually and shall make the 52 reports available to the public. 53 (3) One million dollars to the state university of New York to 54 research and evaluate the implementation and effect of the marihuana 55 regulation and taxation act. No more than four percent of these monies 56 may be used for expenses related to administrative costs of conductingA. 3506--C 48 1 such research, and to, if appropriate, make recommendations to the 2 legislature and governor regarding possible amendments to the marihuana 3 regulation and taxation act. The recipients of these funds shall publish 4 reports on their findings at a minimum of every two years and shall make 5 the reports available to the public. The research funded pursuant to 6 this subdivision shall include but not necessarily be limited to: 7 (A) the impacts on public health, including health costs associated 8 with marihuana use, as well as whether marihuana use is associated with 9 an increase or decrease in use of alcohol or other drugs; 10 (B) the impact of treatment for cannabis use disorder and the effec- 11 tiveness of different treatment programs; 12 (C) public safety issues related to marihuana use, including studying 13 the effectiveness of the packaging and labeling requirements and adver- 14 tising and marketing restrictions contained in the act at preventing 15 underage access to and use of marihuana and marihuana products, and 16 studying the health-related effects among users of varying potency 17 levels of marihuana and marihuana products; 18 (D) marihuana use rates, maladaptive use rates for adults and youth, 19 and diagnosis rates of marihuana-related substance use disorders; 20 (E) marihuana market prices, illicit market prices, tax structures and 21 rates, including an evaluation of how to best tax marihuana based on 22 potency, and the structure and function of licensed marihuana busi- 23 nesses; 24 (F) whether additional protections are needed to prevent unlawful 25 monopolies or anti-competitive behavior from occurring in the nonmedical 26 marihuana industry and, if so, recommendations as to the most effective 27 measures for preventing such behavior; 28 (G) the economic impacts in the private and public sectors, including 29 but not necessarily limited to, job creation, workplace safety, reven- 30 ues, taxes generated for state and local budgets, and criminal justice 31 impacts, including, but not necessarily limited to, impacts on law 32 enforcement and public resources, short and long term consequences of 33 involvement in the criminal justice system, and state and local govern- 34 ment agency administrative costs and revenue; 35 (H) whether the regulatory agencies tasked with implementing and 36 enforcing the marihuana regulation and taxation act are doing so 37 consistent with the purposes of the act, and whether different agencies 38 might do so more effectively; and 39 (I) any environmental issues related to marihuana production and the 40 criminal prohibition of marihuana production. 41 4. After the dispersal of moneys pursuant to subdivision three of this 42 section, the remaining moneys in the fund deposited during the prior 43 fiscal year shall be disbursed into the state lottery fund and two addi- 44 tional sub-funds created within the marihuana revenue fund known as the 45 drug treatment and public education fund and the community grants rein- 46 vestment fund, as follows: 47 (a) twenty-five percent shall be deposited in the state lottery fund 48 established by section ninety-two-c of this article; provided that such 49 moneys shall be distributed to the department of education in accordance 50 with subdivisions two and four of section ninety-two-c of this article 51 and shall not be utilized for the purposes of subdivision three of such 52 section. Monies allocated by this article may enhance, but shall not 53 supplant, existing dedicated funds to the department of education; 54 (b) twenty-five percent shall be deposited in the drug treatment and 55 public education fund established by section ninety-nine-gg of this 56 article; andA. 3506--C 49 1 (c) fifty percent shall be deposited in the community grants reinvest- 2 ment fund established by section ninety-nine-hh of this article. 3 5. On or before the first day of February each year, the commissioner 4 of taxation and finance shall provide a written report to the temporary 5 president of the senate, speaker of the assembly, chair of the senate 6 finance committee, chair of the assembly ways and means committee, the 7 state comptroller and the public. Such report shall detail how the 8 moneys of the fund were utilized during the preceding calendar year, and 9 shall include: 10 (i) the amount of money dispersed from the fund and the award process 11 used for such disbursements; 12 (ii) recipients of awards from the fund; 13 (iii) the amount awarded to each recipient of an award from the fund; 14 (iv) the purposes for which such awards were granted; and 15 (v) a summary financial plan for such monies which shall include esti- 16 mates of all receipts and all disbursements for the current and succeed- 17 ing fiscal years, along with the actual results from the prior fiscal 18 year. 19 6. Moneys shall be payable directly from the marihuana revenue fund to 20 the department. 21 § 99-gg. New York state drug treatment public education fund. 1. 22 There is hereby established in the joint custody of the state comp- 23 troller and the commissioner of taxation and finance a special fund to 24 be known as the "New York state drug treatment public education fund". 25 2. Such fund shall consist of revenues received pursuant to the 26 provisions of section ninety-nine-ff of this article and all other 27 moneys appropriated thereto from any other fund or source pursuant to 28 law. Nothing contained in this section shall prevent the state from 29 receiving grants, gifts or bequests for the purposes of the fund as 30 defined in this section and depositing them into the fund according to 31 law. 32 3. The moneys in such fund shall be expended to the commissioner of 33 the office of alcoholism and substance abuse and disbursed in consulta- 34 tion with the commissioner of health for the following purposes: 35 (a) To develop and implement a youth-focused public health education 36 and prevention campaign, including school-based prevention, early inter- 37 vention, and health care services and programs to reduce the risk of 38 marihuana and other substance use by school-aged children; 39 (b) To develop and implement a statewide public health campaign 40 focused on the health effects of marihuana and legal use, including an 41 ongoing education and prevention campaign that educates the general 42 public, including parents, consumers and retailers, on the legal use of 43 marihuana, the importance of preventing youth access, the importance of 44 safe storage and preventing secondhand marihuana smoke exposure, infor- 45 mation for pregnant or breastfeeding women, and the overconsumption of 46 edibles; 47 (c) To provide substance use disorder treatment programs for youth and 48 adults, with an emphasis on programs that are culturally and gender 49 competent, trauma-informed, evidence-based and provide a continuum of 50 care that includes screening and assessment (substance use disorder as 51 well as mental health), early intervention, active treatment, family 52 involvement, case management, overdose prevention, prevention of commu- 53 nicable diseases related to substance use, relapse management for 54 substance use and other co-occurring behavioral health disorders, voca- 55 tional services, literacy services, parenting classes, family therapyA. 3506--C 50 1 and counseling services, medication-assisted treatments, psychiatric 2 medication and psychotherapy; and 3 (d) To evaluate the programs being funded to determine their effec- 4 tiveness. 5 4. On or before the first day of February each year, the commissioner 6 of the office of alcoholism and substance abuse services shall provide a 7 written report to the temporary president of the senate, speaker of the 8 assembly, chair of the senate finance committee, chair of the assembly 9 ways and means committee, chair of the senate committee on alcoholism 10 and drug abuse, chair of the assembly alcoholism and drug abuse commit- 11 tee, the state comptroller and the public. Such report shall detail how 12 the moneys of the fund were utilized during the preceding calendar year, 13 and shall include: 14 (a) the amount of money dispersed from the fund and the award process 15 used for such disbursements; 16 (b) recipients of awards from the fund; 17 (c) the amount awarded to each recipient of an award from the fund; 18 (d) the purposes for which such awards were granted; and 19 (e) a summary financial plan for such monies which shall include esti- 20 mates of all receipts and all disbursements for the current and succeed- 21 ing fiscal years, along with the actual results from the prior fiscal 22 year. 23 5. Moneys shall be payable from the fund on the audit and warrant of 24 the comptroller on vouchers approved and certified by the commissioner 25 of education. 26 § 99-hh. New York state community grants reinvestment fund. 1. There 27 is hereby established in the joint custody of the state comptroller and 28 the commissioner of taxation and finance a special fund to be known as 29 the "New York state community grants reinvestment fund". 30 2. Such fund shall consist of all revenues received pursuant to the 31 provisions of section ninety-nine-ff of this article and all other 32 moneys appropriated thereto from any other fund or source pursuant to 33 law. Nothing contained in this section shall prevent the state from 34 receiving grants, gifts or bequests for the purposes of the fund as 35 defined in this section and depositing them into the fund according to 36 law. 37 3. The fund shall be governed and administered by an executive steer- 38 ing committee of thirteen members established by the office of children 39 and family services and including additional representatives from the 40 labor department, and the health department appointed by the governor 41 and a representative of the education department appointed by the board 42 of regents. In addition, the majority and minority leaders of the senate 43 and assembly shall each appoint one member to the steering committee, 44 the comptroller shall appoint three additional members, and the attorney 45 general shall appoint two additional members from relevant local govern- 46 ment entities and community-based organizations. Every effort should be 47 made to ensure a balanced and diverse committee, which shall have exper- 48 tise in job placement, homelessness and housing, behavioral health and 49 substance use disorder treatment, and effective rehabilitative treatment 50 for adults and juveniles, and shall include representatives of organiza- 51 tions serving communities impacted by past federal and state drug poli- 52 cies. 53 4. The moneys in such fund shall be expended by the executive steering 54 committee to qualified community-based nonprofit organizations for the 55 purpose of reinvesting in communities disproportionately affected by 56 past federal and state drug policies. The grants from this program shallA. 3506--C 51 1 be used to support job placement, job skills services, adult education, 2 mental health treatment, substance use disorder treatment, system navi- 3 gation services, legal services to address barriers to reentry, and 4 linkages to medical care, women's health services and other community- 5 based supportive services. 6 5. On or before the first day of February each year, the commissioner 7 of the office of children and family services shall provide a written 8 report to the temporary president of the senate, speaker of the assem- 9 bly, chair of the senate finance committee, chair of the assembly ways 10 and means committee, chair of the senate committee on children and fami- 11 lies, chair of the assembly children and families committee, chair of 12 the senate committee on labor, chair of the assembly labor committee, 13 chair of the senate committee on health, chair of the assembly health 14 committee, chair of the senate committee on education, chair of the 15 assembly education committee, the state comptroller and the public. Such 16 report shall detail how the monies of the fund were utilized during the 17 preceding calendar year, and shall include: 18 (a) the amount of money dispersed from the fund and the award process 19 used for such disbursements; 20 (b) recipients of awards from the fund; 21 (c) the amount awarded to each recipient of an award from the fund; 22 (d) the purposes for which such awards were granted; and 23 (e) a summary financial plan for such monies which shall include esti- 24 mates of all receipts and all disbursements for the current and succeed- 25 ing fiscal years, along with the actual results from the prior fiscal 26 year. 27 6. Moneys shall be payable from the fund on the audit and warrant of 28 the comptroller on vouchers approved and certified by the commissioner 29 of education. 30 § 33. The tax law is amended by adding a new article 18-A to read as 31 follows: 32 ARTICLE 18-A 33 PROVISIONS RELATING TO MARIHUANA 34 Section 446. Definitions. 35 447. Taxes imposed. 36 447-a. Local taxes on marihuana by a city or town. 37 447-b. Ordinary and necessary expenses deductible from net 38 income. 39 448. Surety bond. 40 449. Collection of tax. 41 § 446. Definitions. As used in this article: 42 1. "Commercial market activity" includes the cultivation, possession, 43 manufacture, distribution, processing, storing, laboratory testing, 44 labeling, transportation, delivery or sale of marihuana and marihuana 45 products, as provided for in article eleven of the alcoholic beverage 46 control law, but shall not include medical marihuana activities provided 47 for in title five-A of article thirty-three of the public health law. 48 2. "Concentrated cannabis" means (a) the separated resin, whether 49 crude or purified, obtained from a plant of the genus Cannabis; or (b) a 50 material, preparation, mixture, compound or other substance which 51 contains more than three percent by weight of delta-9 tetrahydrocannabi- 52 nol, or its isomer, delta-8 dibenzopyran numbering system, or delta-1 53 tetrahydrocannabinol or its isomer, delta 1 (6) monoterpene numbering 54 system. 55 3. "Marihuana" means all parts of the plant of the genus Cannabis, 56 whether growing or not; the seeds thereof; the resin extracted from anyA. 3506--C 52 1 part of the plant; and every compound, manufacture, salt, derivative, 2 mixture, or preparation of the plant, its seeds or resin. It does not 3 include the mature stalks of the plant, fiber produced from the stalks, 4 oil or cake made from the seeds of the plant, any other compound, manu- 5 facture, salt, derivative, mixture, or preparation of the mature stalks 6 (except the resin extracted therefrom), fiber, oil, or cake, or the 7 sterilized seed of the plant which is incapable of germination. It does 8 not include all parts of the plant Cannabis sativa L., whether growing 9 or not, having no more than three-tenths of one percent tetrahydrocanna- 10 binol (THC). 11 4. "Marihuana consumer" means a person twenty-one years of age or 12 older who purchased marihuana or marihuana products for personal use by 13 persons twenty-one years of age or older, but not for resale to others. 14 5. "Marihuana flowers" shall mean the dried flowers of the marihuana 15 plant. 16 6. "Marihuana leaves" shall mean all parts of the marihuana plant 17 other than marihuana flowers that are sold or consumed. 18 7. "Marihuana processor" means a person licensed by the bureau of 19 marihuana policy to purchase marihuana and concentrated cannabis from 20 marihuana producers, to process marihuana, concentrated cannabis, and 21 marihuana-infused products, package and label marihuana, concentrated 22 cannabis and marihuana-infused products for sale in retail outlets, and 23 sell marihuana, concentrated cannabis and marihuana infused products at 24 wholesale to marihuana retailers. 25 8. "Marihuana producer" means a person licensed by the bureau of mari- 26 huana policy to produce, process, and sell marihuana and concentrated 27 cannabis at wholesale to marihuana processors, marihuana retailers, or 28 other marihuana producers, but not to consumers. 29 9. "Marihuana products" means marihuana, concentrated cannabis, and 30 marihuana-infused products. 31 10. "Marihuana-infused products" means products that contain marihuana 32 or concentrated cannabis and are intended for human use or consumption, 33 such as, but not limited to, edible products, ointments, and tinctures. 34 11. "Immature marihuana plant" means a marihuana plant with no observ- 35 able flowers or buds. 36 12. "Marihuana retailer" means a person licensed by the bureau of 37 marihuana policy to purchase marihuana, concentrated cannabis, and mari- 38 huana-infused products from marihuana producers and marihuana processors 39 and sell marihuana, marihuana-infused products, and concentrated canna- 40 bis in a retail outlet. 41 13. "Marihuana retailer for on-premises consumption" means a person 42 licensed by the bureau of marihuana policy to purchase marihuana, 43 concentrated cannabis, and marihuana infused products from marihuana 44 producers, marihuana retailers and marihuana processors and sell mari- 45 huana products for a customer to consume while the customer is within 46 the facility. 47 § 447. Taxes imposed. 1. (a) There is hereby levied and imposed a 48 cultivation tax upon all harvested marihuana that enters the commercial 49 market upon all persons required to be licensed to cultivate marihuana 50 pursuant to article eleven of the alcoholic beverage control law. The 51 tax shall be due after the marihuana is harvested. 52 (i) Marihuana flowers shall be taxed at a rate of sixty-two cents per 53 dry-weight gram. 54 (ii) Marihuana leaves shall be taxed at a rate of ten cents per dry- 55 weight gram.A. 3506--C 53 1 (b) There is hereby levied and imposed a nursery tax upon all immature 2 plants that enter the commercial market upon all persons required to be 3 licensed to produce immature plants pursuant to article eleven of the 4 alcoholic beverage control law. Immature plants shall be taxed at a rate 5 of one dollar and thirty-five cents each. 6 (c) There is hereby levied and imposed a tax upon marihuana sold or 7 otherwise transferred by a marihuana producer to a marihuana processor 8 or marihuana retailer at a rate equivalent to the rate established under 9 article twenty-eight of this chapter. 10 (d) A marihuana excise tax is hereby levied and imposed upon customers 11 of nonmedical marihuana or nonmedical marihuana products sold in this 12 state at the rate fifteen percent of any sale by a retailer, microbusi- 13 ness, or other person required to be licensed pursuant to article eleven 14 of the alcoholic beverage control law to sell marihuana and marihuana 15 products directly to a customer. 16 (e) The department shall establish procedures for the collection of 17 all taxes levied. 18 (f) No tax established by this section shall be levied upon medical 19 marihuana intended for sale to a certified patient or designated care- 20 giver pursuant to title five-A of article thirty-three of the public 21 health law. 22 2. For reporting periods beginning later than one year following the 23 effective date of this article, the rates of tax under subdivision one 24 of this section shall be adjusted for each biennium according to the 25 cost-of-living adjustment for the calendar year. 26 3. The department shall regularly review the rates of the tax under 27 subdivision one of this section and make recommendations to the legisla- 28 ture regarding appropriate adjustments to the rates that will further 29 the purposes of: 30 (a) maximizing net revenue; 31 (b) minimizing the illegal marihuana industry; and 32 (c) discouraging the use of marihuana by minors under twenty-one years 33 of age. 34 § 447-a. Local taxes on marihuana by a city or town. Any city or town 35 in this state, acting through its local legislative body, is hereby 36 authorized and empowered to adopt and amend local laws imposing in any 37 such city or town a sales tax on marihuana retailers at a rate of no 38 more than two percent of the sale price of marihuana products sold to a 39 marihuana consumer. Any taxes imposed pursuant to the authority of this 40 section shall be administered and collected by the department in the 41 same manner as the taxes imposed under section four hundred forty-nine 42 of this article. The commissioner is hereby empowered to make such 43 provisions as it deems necessary for the joint administration and 44 collection of the state and local taxes imposed and authorized by this 45 article. 46 § 447-b. Ordinary and necessary expenses deductible from net income. 47 Notwithstanding any federal tax law to the contrary, in computing net 48 income for businesses exempted from criminal penalties under articles 49 two hundred twenty and two hundred twenty-one of the penal law and arti- 50 cle eleven of the alcoholic beverage control law, there shall be allowed 51 as a deduction from state taxes all the ordinary and necessary expenses 52 paid or incurred during the taxable year in carrying on any trade or 53 business, including but not limited to, reasonable allowance for sala- 54 ries or other compensation for personal services actually rendered. 55 § 448. Surety bond. Marihuana retailer applicants are required to 56 submit a surety bond with the department equal to two months of theA. 3506--C 54 1 cultivation facility's anticipated retail marihuana excise tax. The 2 surety bond must be issued by a company authorized to do business in the 3 state. Proof of surety bond is required for approval of applicant's 4 retail license. 5 § 449. Collection of tax. This tax shall be collected by the commis- 6 sioner who shall establish a procedure for the collection of this tax. 7 § 34. Paragraphs (i), (j) and (k) of subdivision 3 of section 160.50 8 of the criminal procedure law, paragraphs (i) and (j) as added by chap- 9 ter 905 of the laws of 1977 and paragraph (k) as added by chapter 835 of 10 the laws of 1977 and as relettered by chapter 192 of the laws of 1980, 11 are amended to read as follows: 12 (i) prior to the filing of an accusatory instrument in a local crimi- 13 nal court against such person, the prosecutor elects not to prosecute 14 such person. In such event, the prosecutor shall serve a certification 15 of such disposition upon the division of criminal justice services and 16 upon the appropriate police department or law enforcement agency which, 17 upon receipt thereof, shall comply with the provisions of paragraphs 18 (a), (b), (c) and (d) of subdivision one of this section in the same 19 manner as is required thereunder with respect to an order of a court 20 entered pursuant to said subdivision one[.]; or 21 (j) following the arrest of such person, the arresting police agency, 22 prior to the filing of an accusatory instrument in a local criminal 23 court but subsequent to the forwarding of a copy of the fingerprints of 24 such person to the division of criminal justice services, elects not to 25 proceed further. In such event, the head of the arresting police agency 26 shall serve a certification of such disposition upon the division of 27 criminal justice services which, upon receipt thereof, shall comply with 28 the provisions of paragraphs (a), (b), (c) and (d) of subdivision one of 29 this section in the same manner as is required thereunder with respect 30 to an order of a court entered pursuant to said subdivision one[.]; or 31 (k) (i) The accusatory instrument alleged a violation of article two 32 hundred twenty or section 240.36 of the penal law, prior to the taking 33 effect of article two hundred twenty-one of the penal law, or by the 34 conviction of such person of a violation of [article two hundred twen-35ty-one] section 221.45 of the penal law on or after the effective date 36 of the chapter of the laws of two thousand eighteen that amended this 37 subdivision or a violation of section 221.05, 221.10, 221.15, 221.20, 38 221.25, 221.30, 221.35, or 221.40 of the penal law prior to the effec- 39 tive date of the chapter of the laws of two thousand eighteen that 40 amended this subdivision; and (ii) the sole controlled substance 41 involved is [marijuana; (iii) the conviction was only for a violation or42violations; and (iv) at least three years have passed since the offense43occurred] marihuana. No defendant shall be required or permitted to 44 waive eligibility for sealing pursuant to this paragraph as part of a 45 plea of guilty, sentence or any agreement related to a conviction for a 46 violation of section 221.45 of the penal law. Any such waiver shall be 47 deemed void and wholly unenforceable. 48 § 35. Subdivision 4 of section 160.50 of the criminal procedure law, 49 as amended by chapter 905 of the laws of 1977 and renumbered by chapter 50 142 of the laws of 1991, is amended to read as follows: 51 4. A person in whose favor a criminal action or proceeding was termi- 52 nated, as defined in [paragraph] paragraphs (a) through (h), (k) or (l) 53 of subdivision [two] three of this section, prior to the effective date 54 of [this section, may upon motion apply to the court in which such55termination occurred, upon not less than twenty days notice to the56district attorney, for an order granting to such person the relief setA. 3506--C 55 1forth in subdivision one of this section, and such order shall be grant-2ed unless the district attorney demonstrates to the satisfaction of the3court that the interests of justice require otherwise. A person in whose4favor a criminal action or proceeding was terminated, as defined in5paragraph (i) or (j) of subdivision two of this section, prior to the6effective date of this section, may apply to the appropriate prosecutor7or police agency for a certification as described in said paragraph (i)8or (j) granting to such person the relief set forth therein, and such9certification shall be granted by such prosecutor or police agency.] the 10 chapter of the laws of two thousand eighteen that amended this subdivi- 11 sion, and whose records have not been sealed pursuant to subdivision one 12 of this section, may apply to have the records of such criminal action 13 or proceeding sealed at the clerk's office for the court in which the 14 criminal action or proceeding was terminated. Application may be made by 15 the person or his or her attorney. Upon a determination by the clerk 16 that the action or proceeding was terminated in the person's favor as 17 defined in subdivision three of this section, the clerk of the court 18 shall immediately notify the commissioner of the division of criminal 19 justice services and the heads of all appropriate police departments and 20 other law enforcement agencies that the action has been terminated in 21 favor of the accused and that the record of such action or proceedings 22 shall be sealed. Upon receipt of notification of such termination and 23 sealing, all records relating to the criminal action shall be sealed, as 24 required under paragraph (c) of subdivision one of this section, and all 25 photographs, photographic plates or proofs, palmprints and fingerprints 26 shall be destroyed or returned as specified in paragraphs (a) and (b) of 27 subdivision one of this section. This paragraph shall not apply to cases 28 in which the court declined to seal for reasons stated on the record, 29 pursuant to subdivision one of this section. When an applicant under 30 this subdivision presents to the court clerk fingerprint records from 31 New York state division of criminal justice services or a court disposi- 32 tion which indicate that a criminal action or proceeding against the 33 applicant was dismissed but the supporting court records cannot be 34 located, have been destroyed, or do not indicate whether the dismissal 35 was a "termination in favor of" the accused as that term is defined in 36 subdivision three of this section, the clerk of the court wherein such 37 criminal action or proceeding was terminated shall proceed as if the 38 matter had been so terminated. 39 § 36. Subdivisions 1 and 2 of section 170.56 of the criminal procedure 40 law, subdivision 1 as amended by chapter 360 of the laws of 1977 and 41 subdivision 2 as added by chapter 1042 of the laws of 1971, are amended 42 to read as follows: 43 1. Upon or after arraignment in a local criminal court upon an infor- 44 mation, a prosecutor's information or a misdemeanor complaint, where the 45 sole remaining count or counts charge a violation or violations of 46 section [221.05, 221.10, 221.15, 221.35 or 221.40] 221.45 of the penal 47 law, or upon summons for a nuisance offense under section sixty-five-c 48 of the alcoholic beverage control law and before the entry of a plea of 49 guilty thereto or commencement of a trial thereof, the court, upon 50 motion of a defendant, may order that all proceedings be suspended and 51 the action adjourned in contemplation of dismissal, or upon a finding 52 that adjournment would not be necessary or appropriate and the setting 53 forth in the record of the reasons for such findings, may dismiss in 54 furtherance of justice the accusatory instrument; provided, however, 55 that the court may not order such adjournment in contemplation of 56 dismissal or dismiss the accusatory instrument if: (a) the defendant hasA. 3506--C 56 1 previously been granted such adjournment in contemplation of dismissal, 2 or (b) the defendant has previously been granted a dismissal under this 3 section, or (c) the defendant has previously been convicted of any 4 offense involving controlled substances, or (d) the defendant has previ- 5 ously been convicted of a crime and the district attorney does not 6 consent or (e) the defendant has previously been adjudicated a youthful 7 offender on the basis of any act or acts involving controlled substances 8 and the district attorney does not consent. Notwithstanding the limita- 9 tions set forth in this subdivision, the court may order that all 10 proceedings be suspended and the action adjourned in contemplation of 11 dismissal based upon a finding of exceptional circumstances. For 12 purposes of this subdivision, exceptional circumstances exist when, 13 regardless of the ultimate disposition of the case, the entry of a plea 14 of guilty is likely to result in severe collateral consequences, includ- 15 ing, but not limited to, those that could leave a noncitizen inadmissi- 16 ble or removable from the United States. 17 2. Upon ordering the action adjourned in contemplation of dismissal, 18 the court must set and specify such conditions for the adjournment as 19 may be appropriate, and such conditions may include placing the defend- 20 ant under the supervision of any public or private agency. At any time 21 prior to dismissal the court may modify the conditions or extend or 22 reduce the term of the adjournment, except that the total period of 23 adjournment shall not exceed [twelve] six months. Upon violation of any 24 condition fixed by the court, the court may revoke its order and restore 25 the case to the calendar and the prosecution thereupon must proceed. If 26 the case is not so restored to the calendar during the period fixed by 27 the court, the accusatory instrument is, at the expiration of such peri- 28 od, deemed to have been dismissed in the furtherance of justice. 29 § 37. Section 210.46 of the criminal procedure law, as amended by 30 chapter 360 of the laws of 1977, is amended to read as follows: 31 § 210.46 Adjournment in contemplation of dismissal in marihuana cases 32 in a superior court. 33 Upon or after arraignment in a superior court upon an indictment where 34 the sole remaining count or counts charge a violation or violations of 35 section [221.05, 221.10, 221.15, 221.35 or 221.40] 221.45 of the penal 36 law and before the entry of a plea of guilty thereto or commencement of 37 a trial thereof, the court, upon motion of a defendant, may order that 38 all proceedings be suspended and the action adjourned in contemplation 39 of dismissal or may dismiss the indictment in furtherance of justice, in 40 accordance with the provisions of section 170.56 of this chapter. 41 § 38. Paragraph (h) and subparagraph (ii) of paragraph (i) of subdivi- 42 sion 1 of section 440.10 of the criminal procedure law, paragraph (h) as 43 amended by chapter 332 of the laws of 2010 and subparagraph (ii) of 44 paragraph (i) as amended by chapter 368 of the laws of 2015, are amended 45 and a new paragraph (j) is added to read as follows: 46 (h) The judgment was obtained in violation of a right of the defendant 47 under the constitution of this state or of the United States; [or] 48 (ii) official documentation of the defendant's status as a victim of 49 trafficking, compelling prostitution or trafficking in persons at the 50 time of the offense from a federal, state or local government agency 51 shall create a presumption that the defendant's participation in the 52 offense was a result of having been a victim of sex trafficking, compel- 53 ling prostitution or trafficking in persons, but shall not be required 54 for granting a motion under this paragraph[.]; or 55 (j) The judgment occurred prior to the effective date of this para- 56 graph and is a conviction for:A. 3506--C 57 1 (i) an offense as defined by section 221.05 or 221.10 of the penal law 2 (criminal possession of marihuana in the fifth degree), as in effect 3 prior to the effective date of this paragraph, provided that the accusa- 4 tory instrument that underlies the judgment does not include an allega- 5 tion that the defendant possessed more than twenty-five grams of mari- 6 huana; or 7 (ii) an offense as defined by former section 221.35 of the penal law 8 (criminal sale of marihuana in the fifth degree). 9 § 39. Subdivision 6 of section 440.10 of the criminal procedure law, 10 as added by chapter 332 of the laws of 2010, is amended to read as 11 follows: 12 6. If the court grants a motion under paragraph (i) or paragraph (j) 13 of subdivision one of this section, it must vacate the judgment and 14 dismiss the accusatory instrument, and may take such additional action 15 as is appropriate in the circumstances. 16 § 40. The criminal procedure law is amended by adding a new section 17 440.46-a to read as follows: 18 § 440.46-a Motion for resentence; persons convicted of certain marihuana 19 offenses. 20 1. A person currently serving a sentence for a conviction, whether by 21 trial or by open or negotiated plea, who would not have been guilty of 22 an offense or who would have been guilty of a lesser offense on and 23 after the effective date of this section had this section been in effect 24 at the time of his or her conviction may petition for a recall or 25 dismissal of sentence before the trial court that entered the judgment 26 of conviction in his or her case to request resentencing or dismissal in 27 accordance with article two hundred twenty-one of the penal law. 28 2. Upon receiving a motion under subdivision one of this section the 29 court shall presume the movant satisfies the criteria in subdivision one 30 of this section unless the party opposing the motion proves by clear and 31 convincing evidence that the movant does not satisfy the criteria. If 32 the movant satisfies the criteria in subdivision one of this section, 33 the court shall grant the motion to vacate the sentence or to resentence 34 because it is legally invalid. In exercising its discretion, the court 35 may consider, but shall not be limited to, the following: 36 (a) The movant's criminal conviction history, including the type of 37 crimes committed, the extent of injury to victims, the length of prior 38 prison commitments, and the remoteness of the crimes. 39 (b) The movant's disciplinary record and record of rehabilitation 40 while incarcerated. 41 3. A person who is serving a sentence and resentenced pursuant to 42 subdivision two of this section shall be given credit for any time 43 already served and shall be subject to supervision for one year follow- 44 ing completion of his or her time in custody or shall be subject to 45 whatever supervision time he or she would have otherwise been subject to 46 after release, whichever is shorter, unless the court, in its 47 discretion, as part of its resentencing order, releases the person from 48 supervision. Such person is subject to parole supervision under section 49 60.04 of the penal law or post-release supervision under section 70.45 50 of the penal law by the designated agency and the jurisdiction of the 51 court in the county in which the offender is released or resides, or in 52 which an alleged violation of supervision has occurred, for the purpose 53 of hearing petitions to revoke supervision and impose a term of custody. 54 4. Under no circumstances may resentencing under this section result 55 in the imposition of a term longer than the original sentence, or theA. 3506--C 58 1 reinstatement of charges dismissed pursuant to a negotiated plea agree- 2 ment. 3 5. A person who has completed his or her sentence for a conviction 4 under the former article two hundred twenty-one of the penal law, wheth- 5 er by trial or open or negotiated plea, who would not have been guilty 6 of an offense or who would have been guilty of a lesser offense on and 7 after the effective date of this section had this section been in effect 8 at the time of his or her conviction, may file an application before the 9 trial court that entered the judgment of conviction in his or her case 10 to have the conviction, in accordance with article two hundred twenty- 11 one of the penal law: 12 (a) Dismissed because the prior conviction is now legally invalid and 13 sealed in accordance with section 160.50 of this chapter; 14 (b) Redesignated (or "reclassified") as a violation and sealed in 15 accordance with section 160.50 of this chapter; or 16 (c) Redesignated (reclassified) as a misdemeanor. 17 6. The court shall presume the petitioner satisfies the criteria in 18 subdivision five unless the party opposing the application proves by 19 clear and convincing evidence that the petitioner does not satisfy the 20 criteria in subdivision five. Once the applicant satisfies the criteria 21 in subdivision five, the court shall redesignate (or "reclassify") the 22 conviction as a misdemeanor, redesignate (reclassify) the conviction as 23 a violation and seal the conviction, or dismiss and seal the conviction 24 as legally invalid under this section had this section been in effect at 25 the time of his or her conviction. 26 7. Unless requested by the applicant, no hearing is necessary to grant 27 or deny an application filed under subdivision five of this section. 28 8. Any felony conviction that is vacated and resentenced under subdi- 29 vision two or designated as a misdemeanor or violation under subdivision 30 six of this section shall be considered a misdemeanor or violation for 31 all purposes. Any misdemeanor conviction that is vacated and resentenced 32 under subdivision two of this section or designated as a violation under 33 subdivision six of this section shall be considered a violation for all 34 purposes. 35 9. If the court that originally sentenced the movant is not available, 36 the presiding judge shall designate another judge to rule on the peti- 37 tion or application. 38 10. Nothing in this section is intended to diminish or abrogate any 39 rights or remedies otherwise available to the petitioner or applicant. 40 11. Nothing in this and related sections is intended to diminish or 41 abrogate the finality of judgements in any case not falling within the 42 purview of this section. 43 12. The provisions of this section shall apply equally to juvenile 44 delinquency adjudications and dispositions under section five hundred 45 one-e of the executive law if the juvenile would not have been guilty of 46 an offense or would have been guilty of a lesser offense under this 47 section had this section been in effect at the time of his or her 48 conviction. 49 13. The office of court administration shall promulgate and make 50 available all necessary forms to enable the filing of the petitions and 51 applications provided in this section no later than sixty days following 52 the effective date of this section. 53 § 41. Paragraph (c) of subdivision 8 of section 700.05 of the criminal 54 procedure law, as amended by chapter 37 of the laws of 2014, is amended 55 to read as follows:A. 3506--C 59 1 (c) Criminal possession of a controlled substance in the seventh 2 degree as defined in section 220.03 of the penal law, criminal 3 possession of a controlled substance in the fifth degree as defined in 4 section 220.06 of the penal law, criminal possession of a controlled 5 substance in the fourth degree as defined in section 220.09 of the penal 6 law, criminal possession of a controlled substance in the third degree 7 as defined in section 220.16 of the penal law, criminal possession of a 8 controlled substance in the second degree as defined in section 220.18 9 of the penal law, criminal possession of a controlled substance in the 10 first degree as defined in section 220.21 of the penal law, criminal 11 sale of a controlled substance in the fifth degree as defined in section 12 220.31 of the penal law, criminal sale of a controlled substance in the 13 fourth degree as defined in section 220.34 of the penal law, criminal 14 sale of a controlled substance in the third degree as defined in section 15 220.39 of the penal law, criminal sale of a controlled substance in the 16 second degree as defined in section 220.41 of the penal law, criminal 17 sale of a controlled substance in the first degree as defined in section 18 220.43 of the penal law, criminally possessing a hypodermic instrument 19 as defined in section 220.45 of the penal law, criminal sale of a 20 prescription for a controlled substance or a controlled substance by a 21 practitioner or pharmacist as defined in section 220.65 of the penal 22 law, criminal possession of methamphetamine manufacturing material in 23 the second degree as defined in section 220.70 of the penal law, crimi- 24 nal possession of methamphetamine manufacturing material in the first 25 degree as defined in section 220.71 of the penal law, criminal 26 possession of precursors of methamphetamine as defined in section 220.72 27 of the penal law, unlawful manufacture of methamphetamine in the third 28 degree as defined in section 220.73 of the penal law, unlawful manufac- 29 ture of methamphetamine in the second degree as defined in section 30 220.74 of the penal law, unlawful manufacture of methamphetamine in the 31 first degree as defined in section 220.75 of the penal law, unlawful 32 disposal of methamphetamine laboratory material as defined in section 33 220.76 of the penal law, operating as a major trafficker as defined in 34 section 220.77 of the penal law, [criminal possession of marihuana in35the first degree as defined in section 221.30 of the penal law, criminal36sale of marihuana in the first degree as defined in section 221.55 of37the penal law,] promoting gambling in the second degree as defined in 38 section 225.05 of the penal law, promoting gambling in the first degree 39 as defined in section 225.10 of the penal law, possession of gambling 40 records in the second degree as defined in section 225.15 of the penal 41 law, possession of gambling records in the first degree as defined in 42 section 225.20 of the penal law, and possession of a gambling device as 43 defined in section 225.30 of the penal law; 44 § 42. Paragraphs (b) and (c) of subdivision 4-b and subdivisions 6 and 45 9 of section 1310 of the civil practice law and rules, paragraphs (b) 46 and (c) of subdivision 4-b as added by chapter 655 of the laws of 1990 47 and subdivisions 6 and 9 as added by chapter 669 of the laws of 1984, 48 are amended to read as follows: 49 (b) on three or more occasions, engaging in conduct constituting a 50 violation of any of the felonies defined in section 220.09, 220.16, 51 220.18, 220.21, 220.31, 220.34, 220.39, 220.41[,] or 220.43 [or 221.55] 52 of the penal law, which violations do not constitute a single criminal 53 offense as defined in subdivision one of section 40.10 of the criminal 54 procedure law, or a single criminal transaction, as defined in paragraph 55 (a) of subdivision two of section 40.10 of the criminal procedure law, 56 and at least one of which resulted in a conviction of such offense, orA. 3506--C 60 1 where the accusatory instrument charges one or more of such felonies, 2 conviction upon a plea of guilty to a felony for which such plea is 3 otherwise authorized by law; or 4 (c) a conviction of a person for a violation of section 220.09, 5 220.16, 220.34 or 220.39 of the penal law, [or a conviction of a crimi-6nal defendant for a violation of section 221.30 of the penal law,] or 7 where the accusatory instrument charges any such felony, conviction upon 8 a plea of guilty to a felony for which the plea is otherwise authorized 9 by law, together with evidence which: (i) provides substantial indicia 10 that the defendant used the real property to engage in a continual, 11 ongoing course of conduct involving the unlawful mixing, compounding, 12 manufacturing, warehousing, or packaging of controlled substances [or13where the conviction is for a violation of section 221.30 of the penal14law, marijuana,] as part of an illegal trade or business for gain; and 15 (ii) establishes, where the conviction is for possession of a controlled 16 substance [or where the conviction is for a violation of section 221.3017of the penal law, marijuana], that such possession was with the intent 18 to sell it. 19 [6. "Pre-conviction forfeiture crime" means only a felony defined in20article two hundred twenty or section 221.30 or 221.55 of the penal21law.] 22 9. "Criminal defendant" means a person who has criminal liability for 23 a crime defined in [subdivisions] subdivision five [and six hereof] of 24 this section. For purposes of this article, a person has criminal 25 liability when [(a)] he has been convicted of a post-conviction forfei- 26 ture crime[, or (b) the claiming authority proves by clear and convinc-27ing evidence that such person has committed an act in violation of arti-28cle two hundred twenty or section 221.30 or 221.55 of the penal law]. 29 § 43. Subdivision 13 of section 89-f of the general business law, as 30 added by chapter 336 of the laws of 1992, is amended to read as follows: 31 13. "Serious offense" shall mean any felony involving the offenses 32 enumerated in the closing paragraph of this subdivision; a criminal 33 solicitation of or a conspiracy to commit or an attempt to commit or a 34 criminal facilitation of a felony involving the offenses enumerated in 35 the closing paragraph of this subdivision, which criminal solicitation, 36 conspiracy, attempt or criminal facilitation itself constitutes a felony 37 or any offense in any other jurisdiction which if committed in this 38 state would constitute a felony; any offense in any other jurisdiction 39 which if committed in this state would constitute a felony provided that 40 for the purposes of this article, none of the following shall be consid- 41 ered criminal convictions or reported as such: (i) a conviction for 42 which an executive pardon has been issued pursuant to the executive law; 43 (ii) a conviction which has been vacated and replaced by a youthful 44 offender finding pursuant to article seven hundred twenty of the crimi- 45 nal procedure law, or the applicable provisions of law of any other 46 jurisdiction; or (iii) a conviction the records of which have been 47 sealed pursuant to the applicable provisions of the laws of this state 48 or of any other jurisdiction; and (iv) a conviction for which other 49 evidence of successful rehabilitation to remove the disability has been 50 issued. 51 Felonies involving: assault, aggravated assault and reckless endanger- 52 ment pursuant to article one hundred twenty; vehicular manslaughter, 53 manslaughter and murder pursuant to article one hundred twenty-five; sex 54 offenses pursuant to article one hundred thirty; unlawful imprisonment, 55 kidnapping or coercion pursuant to article one hundred thirty-five; 56 criminal trespass and burglary pursuant to article one hundred forty;A. 3506--C 61 1 criminal mischief, criminal tampering and tampering with a consumer 2 product pursuant to article one hundred forty-five; arson pursuant to 3 article one hundred fifty; larceny and offenses involving theft pursuant 4 to article one hundred fifty-five; offenses involving computers pursuant 5 to article one hundred fifty-six; robbery pursuant to article one 6 hundred sixty; criminal possession of stolen property pursuant to arti- 7 cle one hundred sixty-five; forgery and related offenses pursuant to 8 article one hundred seventy; involving false written statements pursuant 9 to article one hundred seventy-five; commercial bribing and commercial 10 bribe receiving pursuant to article one hundred eighty; criminal imper- 11 sonation and scheme to defraud pursuant to article one hundred ninety; 12 bribery involving public servants and related offenses pursuant to arti- 13 cle two hundred; perjury and related offenses pursuant to article two 14 hundred ten; tampering with a witness, intimidating a victim or witness 15 and tampering with physical evidence pursuant to article two hundred 16 fifteen; criminal possession of a controlled substance pursuant to 17 sections 220.06, 220.09, 220.16, 220.18 and 220.21; criminal sale of a 18 controlled substance pursuant to sections 220.31, 220.34, 220.39, 19 220.41, 220.43 and 220.44; [criminal] unlicensed sale of [marijuana] 20 marihuana in the first degree pursuant to [sections] section 221.45[,21221.50 and 221.55]; riot in the first degree, aggravated harassment in 22 the first degree, criminal nuisance in the first degree and falsely 23 reporting an incident in the second or first degree pursuant to article 24 two hundred forty; and crimes against public safety pursuant to article 25 two hundred sixty-five of the penal law. 26 § 44. Paragraph (f) of subdivision 2 of section 850 of the general 27 business law is REPEALED. 28 § 45. Paragraph (h) of subdivision 2 of section 850 of the general 29 business law, as amended by chapter 812 of the laws of 1980, is amended 30 to read as follows: 31 (h) Objects, used or designed for the purpose of ingesting, inhaling, 32 or otherwise introducing [marihuana,] cocaine[, hashish, or hashish oil] 33 into the human body. 34 § 46. Paragraph a of subdivision 4-a of section 165 of the state 35 finance law, as added by chapter 95 of the laws of 2000, is amended to 36 read as follows: 37 a. In order to advance specific economic goals, New York state 38 labelled wines, as defined in subdivision [twenty-a] twenty-j of section 39 three of the alcoholic beverage control law, shall have favored source 40 status for the purposes of procurement in accordance with the provisions 41 of this subdivision. Procurement of these New York state labelled wines 42 shall be exempt from the competitive procurement provisions of section 43 one hundred sixty-three of this article and other competitive procure- 44 ment statutes. Such exemption shall apply to New York state labelled 45 wines as defined in subdivision [twenty-a] twenty-j of section three of 46 the alcoholic beverage control law produced by a licensed winery as 47 defined in section seventy-six of the alcoholic beverage control law. 48 § 47. Subdivision 7 of section 995 of the executive law, as amended by 49 chapter 19 of the laws of 2012, is amended to read as follows: 50 7. "Designated offender" means a person convicted of any felony 51 defined in any chapter of the laws of the state or any misdemeanor 52 defined in the penal law [except that where the person is convicted53under section 221.10 of the penal law, only a person convicted under54subdivision two of such section, or a person convicted under subdivision55one of such section who stands previously convicted of any crime as56defined in subdivision six of section 10.00 of the penal law].A. 3506--C 62 1 § 48. Paragraphs (b) and (c) of subdivision 7 of section 480.00 of the 2 penal law, paragraph (b) as amended by section 31 of part AAA of chapter 3 56 of the laws of 2009 and paragraph (c) as added by chapter 655 of the 4 laws of 1990, are amended to read as follows: 5 (b) three or more violations of any of the felonies defined in section 6 220.09, 220.16, 220.18, 220.21, 220.31, 220.34, 220.39, 220.41, 7 220.43[,] or 220.77[, or 221.55] of this chapter, which violations do 8 not constitute a single criminal offense as defined in subdivision one 9 of section 40.10 of the criminal procedure law, or a single criminal 10 transaction, as defined in paragraph (a) of subdivision two of section 11 40.10 of the criminal procedure law, and at least one of which resulted 12 in a conviction of such offense, or where the accusatory instrument 13 charges one or more of such felonies, conviction upon a plea of guilty 14 to a felony for which such plea is otherwise authorized by law; or 15 (c) a conviction of a person for a violation of section 220.09, 16 220.16, 220.34[,] or 220.39[, or 221.30] of this chapter, or where the 17 accusatory instrument charges any such felony, conviction upon a plea of 18 guilty to a felony for which the plea is otherwise authorized by law, 19 together with evidence which: (i) provides substantial indicia that the 20 defendant used the real property to engage in a continual, ongoing 21 course of conduct involving the unlawful mixing, compounding, manufac- 22 turing, warehousing, or packaging of controlled substances [or where the23conviction is for a violation of section 221.30 of this chapter, mari-24juana] as part of an illegal trade or business for gain; and (ii) estab- 25 lishes, where the conviction is for possession of a controlled substance 26 [or where the conviction is for a violation of section 221.30 of this27chapter, marijuana], that such possession was with the intent to sell 28 it. 29 § 49. Paragraph (c) of subdivision 4 of section 509-cc of the vehicle 30 and traffic law, as amended by chapter 368 of the laws of 2015, is 31 amended to read as follows: 32 (c) The offenses referred to in subparagraph (i) of paragraph (b) of 33 subdivision one and subparagraph (i) of paragraph (c) of subdivision two 34 of this section that result in disqualification for a period of five 35 years shall include a conviction under sections 100.10, 105.13, 115.05, 36 120.03, 120.04, 120.04-a, 120.05, 120.10, 120.25, 121.12, 121.13, 37 125.40, 125.45, 130.20, 130.25, 130.52, 130.55, 135.10, 135.55, 140.17, 38 140.25, 140.30, 145.12, 150.10, 150.15, 160.05, 160.10, 220.06, 220.09, 39 220.16, 220.31, 220.34, 220.60, 220.65, [221.30, 221.50, 221.55,] 40 230.00, 230.05, 230.06, 230.11, 230.12, 230.13, 230.19, 230.20, 235.05, 41 235.06, 235.07, 235.21, 240.06, 245.00, 260.10, subdivision two of 42 section 260.20 and sections 260.25, 265.02, 265.03, 265.08, 265.09, 43 265.10, 265.12, 265.35 of the penal law or an attempt to commit any of 44 the aforesaid offenses under section 110.00 of the penal law, or any 45 similar offenses committed under a former section of the penal law, or 46 any offenses committed under a former section of the penal law which 47 would constitute violations of the aforesaid sections of the penal law, 48 or any offenses committed outside this state which would constitute 49 violations of the aforesaid sections of the penal law. 50 § 50. The opening paragraph of paragraph (a) of subdivision 2 of 51 section 1194 of the vehicle and traffic law, as amended by chapter 196 52 of the laws of 1996, is amended to read as follows: 53 When authorized. Any person who operates a motor vehicle in this state 54 shall be deemed to have given consent to a chemical test of one or more 55 of the following: breath, blood, urine, or saliva, for the purpose of 56 determining the alcoholic and/or drug content, other than marihuanaA. 3506--C 63 1 content including but not limited to tetrahydrocannabinol content, of 2 the blood provided that such test is administered by or at the direction 3 of a police officer with respect to a chemical test of breath, urine or 4 saliva or, with respect to a chemical test of blood, at the direction of 5 a police officer: 6 § 51. Section 17 of the alcoholic beverage control law is amended by 7 adding a new subdivision 12 to read as follows: 8 12. To develop and establish minimum criteria for alcohol or substance 9 use disorder training awareness programs which may be given and adminis- 10 tered by schools; other entities including trade associations whose 11 members are engaged in or involved in the retail sale of alcoholic 12 beverages; national and regional franchisors who have granted at least 13 five franchises in the state which are licensed to sell beer at retail 14 for off-premises consumption; licensees authorized to sell alcoholic 15 beverages at retail for off-premises consumption operating five or more 16 licensed premises; and persons interested, whether as an individual 17 proprietor or partner or officer or member of a limited liability compa- 18 ny, in five or more licensees authorized to sell alcoholic beverages at 19 retail for off-premises consumption. The authority shall provide for the 20 issuance of certificates of approval to all certified alcohol or 21 substance use disorder training awareness programs. Certificates of 22 approval may be revoked by the authority for failure to adhere to the 23 authority's rules and regulations. Such rules and regulations shall 24 afford those who have been issued a certificate of approval an opportu- 25 nity for a hearing prior to any determination of whether such certif- 26 icate should be revoked. 27 No licensee shall be required to apply for any such certificate or 28 renewal certificate and the licensee may voluntarily surrender such a 29 certificate or renewal certificate at any time. A fee in the amount of 30 nine hundred dollars shall be paid to the authority with each applica- 31 tion for a certificate of approval or renewal certificate. The authori- 32 ty shall promptly refund such fee to an applicant whose application was 33 denied. Each certificate of approval and renewal thereof shall be issued 34 for a period of three years. To effectuate the provisions of this subdi- 35 vision, the authority is empowered to require in connection with an 36 application the submission of such information as the authority may 37 direct; to prescribe forms of applications and of all reports which it 38 deems necessary to be made by any applicant or certificate holder; to 39 conduct investigations; to require the maintenance of such books and 40 records as the authority may direct; and to revoke, cancel, or suspend 41 for cause any certificate provided for in this subdivision. Each entity 42 authorized to give and administer an alcohol or substance use disorder 43 training awareness program shall issue certificates of completion to all 44 licensees and employees who successfully complete such an approved alco- 45 hol or substance use disorder training awareness program. Such entity 46 shall regularly transmit to the authority the names, addresses and dates 47 of attendance of all the licensees and employees of licensees who 48 successfully complete an approved alcohol or substance use disorder 49 training awareness program. Such transmittal shall be in a form and 50 manner prescribed by the authority. The authority shall adopt rules and 51 regulations to effectuate the provisions of this subdivision, including 52 the minimum requirements for the curriculum of each such training 53 program and the regular ongoing training of employees holding certif- 54 icates of completion or renewal certificates. Such rules and regu- 55 lations shall include the minimum requirements for a separate curriculum 56 for licensees and their employees authorized to sell alcoholic beveragesA. 3506--C 64 1 at retail for off-premises consumption, minimum requirements for a sepa- 2 rate curriculum for licensees and their employees authorized to sell 3 alcoholic beverages at retail for on-premises consumption, and the form 4 of a certificate of completion or renewal thereof to be issued in 5 respect to each such type of program. A certificate of completion or 6 renewal thereof issued by an entity authorized to give and administer an 7 alcohol or substance use disorder training awareness program pursuant to 8 this subdivision to licensees and their employees authorized to sell 9 alcoholic beverages at retail for off-premises consumption shall not be 10 invalidated by a change of employment to another such licensee. A 11 certificate of completion or renewal thereof issued by an entity author- 12 ized to give and administer an alcohol or substance use disorder train- 13 ing awareness program pursuant to this subdivision to licensees and 14 their employees authorized to sell alcoholic beverages at retail for 15 on-premises consumption shall not be invalidated by a change of employ- 16 ment to another such licensee. Attendance at any course established 17 pursuant to this section shall be in person, through distance learning 18 methods, or through an internet based online program. 19 § 52. Subdivision 12 of section 17 of the alcoholic beverage control 20 law, as amended by chapter 549 of the laws of 2001, the closing para- 21 graph as amended by chapter 435 of the laws of 2010, is amended to read 22 as follows: 23 12. To develop and establish minimum criteria for alcohol or substance 24 use disorder training awareness programs which may be given and adminis- 25 tered by schools; other entities including trade associations whose 26 members are engaged in or involved in the retail sale of alcoholic 27 beverages; national and regional franchisors who have granted at least 28 five franchises in the state which are licensed to sell beer at retail 29 for off-premises consumption; licensees authorized to sell alcoholic 30 beverages at retail for off-premises consumption operating five or more 31 licensed premises; and persons interested, whether as an individual 32 proprietor or partner or officer or member of a limited liability compa- 33 ny, in five or more licensees authorized to sell alcoholic beverages at 34 retail for off-premises consumption. The authority shall provide for the 35 issuance of certificates of approval to all certified alcohol or 36 substance use disorder training awareness programs. Certificates of 37 approval may be revoked by the authority for failure to adhere to the 38 authority's rules and regulations. Such rules and regulations shall 39 afford those who have been issued a certificate of approval an opportu- 40 nity for a hearing prior to any determination of whether such certif- 41 icate should be revoked. 42 No licensee shall be required to apply for any such certificate or 43 renewal certificate and the licensee may voluntarily surrender such a 44 certificate or renewal certificate at any time. A fee in the amount of 45 nine hundred dollars shall be paid to the authority with each applica- 46 tion for a certificate of approval or renewal certificate. The authority 47 shall promptly refund such fee to an applicant whose application was 48 denied. Each certificate of approval and renewal thereof shall be issued 49 for a period of three years. To effectuate the provisions of this subdi- 50 vision, the authority is empowered to require in connection with an 51 application the submission of such information as the authority may 52 direct; to prescribe forms of applications and of all reports which it 53 deems necessary to be made by any applicant or certificate holder; to 54 conduct investigations; to require the maintenance of such books and 55 records as the authority may direct; to revoke, cancel, or suspend for 56 cause any certificate provided for in this subdivision. Each entityA. 3506--C 65 1 authorized to give and administer an alcohol or substance use disorder 2 training awareness program shall issue certificates of completion to all 3 licensees and employees who successfully complete such an approved alco- 4 hol or substance use disorder training awareness program. Such entity 5 shall regularly transmit to the authority the names, addresses and dates 6 of attendance of all the licensees and employees of licensees who 7 successfully complete an approved alcohol or substance use disorder 8 training awareness program. Such transmittal shall be in a form and 9 manner prescribed by the authority. The authority shall adopt rules and 10 regulations to effectuate the provisions of this subdivision, including 11 the minimum requirements for the curriculum of each such training 12 program and the regular ongoing training of employees holding certif- 13 icates of completion or renewal certificates. Such rules and regulations 14 shall include the minimum requirements for a separate curriculum for 15 licensees and their employees authorized to sell alcoholic beverages at 16 retail for off-premises consumption, minimum requirements for a separate 17 curriculum for licensees and their employees authorized to sell alcohol- 18 ic beverages at retail for on-premises consumption, and the form of a 19 certificate of completion or renewal thereof to be issued in respect to 20 each such type of program. A certificate of completion or renewal there- 21 of issued by an entity authorized to give and administer an alcohol or 22 substance use disorder training awareness program pursuant to this 23 subdivision to licensees and their employees authorized to sell alcohol- 24 ic beverages at retail for off-premises consumption shall not be invali- 25 dated by a change of employment to another such licensee. A certificate 26 of completion or renewal thereof issued by an entity authorized to give 27 and administer an alcohol or substance use disorder training awareness 28 program pursuant to this subdivision to licensees and their employees 29 authorized to sell alcoholic beverages at retail for on-premises 30 consumption shall not be invalidated by a change of employment to anoth- 31 er such licensee. Attendance at any course established pursuant to this 32 section shall be in person, through distance learning methods, or 33 through an internet based online program. 34 § 53. Subdivision 10 of section 18 of the alcoholic beverage control 35 law, as amended by chapter 118 of the laws of 2012, is amended to read 36 as follows: 37 10. To develop and establish minimum criteria for alcohol or substance 38 use disorder training awareness programs which may be given and adminis- 39 tered by schools; other entities including trade associations whose 40 members are engaged in or involved in the retail sale of alcoholic 41 beverages; national and regional franchisors who have granted at least 42 five franchises in the state which are licensed to sell beer at retail 43 for off-premises consumption; licensees authorized to sell alcoholic 44 beverages at retail for off-premises consumption operating five or more 45 licensed premises; and persons interested, whether as an individual 46 proprietor or partner or officer or member of a limited liability compa- 47 ny, in five or more licensees authorized to sell alcoholic beverages at 48 retail for off-premises consumption. The authority shall provide for the 49 issuance of certificates of approval to all certified alcohol or 50 substance use disorder training awareness programs. Certificates of 51 approval may be revoked by the authority for failure to adhere to the 52 authority's rules and regulations. Such rules and regulations shall 53 afford those who have been issued a certificate of approval an opportu- 54 nity for a hearing prior to any determination of whether such certif- 55 icate should be revoked.A. 3506--C 66 1 No licensee shall be required to apply for any such certificate or 2 renewal certificate and the licensee may voluntarily surrender such a 3 certificate or renewal certificate at any time. A fee in the amount of 4 nine hundred dollars shall be paid to the authority with each applica- 5 tion for a certificate of approval or renewal certificate. The authority 6 shall promptly refund such fee to an applicant whose application was 7 denied. Each certificate of approval and renewal thereof shall be issued 8 for a period of three years. To effectuate the provisions of this subdi- 9 vision, the authority is empowered to require in connection with an 10 application the submission of such information as the authority may 11 direct; to prescribe forms of applications and of all reports which it 12 deems necessary to be made by any applicant or certificate holder; to 13 conduct investigations; to require the maintenance of such books and 14 records as the authority may direct; to revoke, cancel, or suspend for 15 cause any certificate provided for in this subdivision. Each entity 16 authorized to give and administer an alcohol or substance use disorder 17 training awareness program shall issue certificates of completion to all 18 licensees and employees who successfully complete such an approved alco- 19 hol or substance use disorder training awareness program. Such entity 20 shall regularly transmit to the authority the names, addresses and dates 21 of attendance of all the licensees and employees of licensees who 22 successfully complete an approved alcohol or substance use disorder 23 training awareness program. Such transmittal shall be in a form and 24 manner prescribed by the authority. The authority shall adopt rules and 25 regulations to effectuate the provisions of this subdivision, including 26 the minimum requirements for the curriculum of each such training 27 program and the regular ongoing training of employees holding certif- 28 icates of completion or renewal certificates. Such rules and regulations 29 shall include the minimum requirements for a separate curriculum for 30 licensees and their employees authorized to sell alcoholic beverages at 31 retail for off-premises consumption, minimum requirements for a separate 32 curriculum for licensees and their employees authorized to sell alcohol- 33 ic beverages at retail for on-premises consumption, and the form of a 34 certificate of completion or renewal thereof to be issued in respect to 35 each such type of program. A certificate of completion or renewal there- 36 of issued by an entity authorized to give and administer an alcohol or 37 substance use disorder training awareness program pursuant to this 38 subdivision to licensees and their employees authorized to sell alcohol- 39 ic beverages at retail for off-premises consumption shall not be invali- 40 dated by a change of employment to another such licensee. A certificate 41 of completion or renewal thereof issued by an entity authorized to give 42 and administer an alcohol or substance use disorder training awareness 43 program pursuant to this subdivision to licensees and their employees 44 authorized to sell alcoholic beverages at retail for on-premises 45 consumption shall not be invalidated by a change of employment to anoth- 46 er such licensee. Attendance at any course established pursuant to this 47 section shall be in person, through distance learning methods, or 48 through an internet based online program. 49 § 54. Section 18 of the alcoholic beverage control law, as added by 50 chapter 83 of the laws of 1995, is amended by adding a new subdivision 51 10 to read as follows: 52 10. To develop and establish minimum criteria for alcohol or substance 53 use disorder training awareness programs which may be given and adminis- 54 tered by schools; other entities including trade associations whose 55 members are engaged in or involved in the retail sale of alcoholic 56 beverages; national and regional franchisors who have granted at leastA. 3506--C 67 1 five franchises in the state which are licensed to sell beer at retail 2 for off-premises consumption; licensees authorized to sell alcoholic 3 beverages at retail for off-premises consumption operating five or more 4 licensed premises; and persons interested, whether as an individual 5 proprietor or partner or officer or member of a limited liability compa- 6 ny, in five or more licensees authorized to sell alcoholic beverages at 7 retail for off-premises consumption. The authority shall provide for the 8 issuance of certificates of approval to all certified alcohol or 9 substance use disorder training awareness programs. Certificates of 10 approval may be revoked by the authority for failure to adhere to the 11 authority's rules and regulations. Such rules and regulations shall 12 afford those who have been issued a certificate of approval an opportu- 13 nity for a hearing prior to any determination of whether such certif- 14 icate should be revoked. 15 No licensee shall be required to apply for any such certificate or 16 renewal certificate and the licensee may voluntarily surrender such a 17 certificate or renewal certificate at any time. A fee in the amount of 18 nine hundred dollars shall be paid to the authority with each applica- 19 tion for a certificate of approval or renewal certificate. The authority 20 shall promptly refund such fee to an applicant whose application was 21 denied. Each certificate of approval and renewal thereof shall be issued 22 for a period of three years. To effectuate the provisions of this subdi- 23 vision, the authority is empowered to require in connection with an 24 application the submission of such information as the authority may 25 direct; to prescribe forms of applications and of all reports which it 26 deems necessary to be made by any applicant or certificate holder; to 27 conduct investigations; to require the maintenance of such books and 28 records as the authority may direct; to revoke, cancel, or suspend for 29 cause any certificate provided for in this subdivision. Each entity 30 authorized to give and administer an alcohol or substance use disorder 31 training awareness program shall issue certificates of completion to all 32 licensees and employees who successfully complete such an approved alco- 33 hol or substance use disorder training awareness program. Such entity 34 shall regularly transmit to the authority the names, addresses and dates 35 of attendance of all the licensees and employees of licensees who 36 successfully complete an approved alcohol or substance use disorder 37 training awareness program. Such transmittal shall be in a form and 38 manner prescribed by the authority. The authority shall adopt rules and 39 regulations to effectuate the provisions of this subdivision, including 40 the minimum requirements for the curriculum of each such training 41 program and the regular ongoing training of employees holding certif- 42 icates of completion or renewal certificates. Such rules and regulations 43 shall include the minimum requirements for a separate curriculum for 44 licensees and their employees authorized to sell alcoholic beverages at 45 retail for off-premises consumption, minimum requirements for a separate 46 curriculum for licensees and their employees authorized to sell alcohol- 47 ic beverages at retail for on-premises consumption, and the form of a 48 certificate of completion or renewal thereof to be issued in respect to 49 each such type of program. A certificate of completion or renewal there- 50 of issued by an entity authorized to give and administer an alcohol or 51 substance use disorder training awareness program pursuant to this 52 subdivision to licensees and their employees authorized to sell alcohol- 53 ic beverages at retail for off-premises consumption shall not be invali- 54 dated by a change of employment to another such licensee. A certificate 55 of completion or renewal thereof issued by an entity authorized to give 56 and administer an alcohol or substance use disorder training awarenessA. 3506--C 68 1 program pursuant to this subdivision to licensees and their employees 2 authorized to sell alcoholic beverages at retail for on-premises 3 consumption shall not be invalidated by a change of employment to anoth- 4 er such licensee. Attendance at any course established pursuant to this 5 section shall be in person, through distance learning methods, or 6 through an internet based online program. 7 § 55. Section 150.75 of the criminal procedure law is REPEALED. 8 § 56. Subdivision (a) of section 712 of the family court act, as 9 amended by section 7 of part G of chapter 58 of the laws of 2010, is 10 amended to read as follows: 11 (a) "Person in need of supervision". A person less than eighteen years 12 of age who does not attend school in accordance with the provisions of 13 part one of article sixty-five of the education law or who is incorrigi- 14 ble, ungovernable or habitually disobedient and beyond the lawful 15 control of a parent or other person legally responsible for such child's 16 care, or other lawful authority, or who violates the provisions of 17 section [221.05 or] 230.00 of the penal law, or who appears to be a 18 sexually exploited child as defined in paragraph (a), (c) or (d) of 19 subdivision one of section four hundred forty-seven-a of the social 20 services law, but only if the child consents to the filing of a petition 21 under this article. 22 § 57. The state finance law is amended by adding a new section 99-ii 23 to read as follows: 24 § 99-ii. Marihuana microbusiness and marihuana license revolving loan 25 fund. 1. There is hereby established in the joint custody of the comp- 26 troller and the commissioner of taxation and finance a fund to be known 27 as the marihuana microbusiness and marihuana license revolving loan 28 fund. 29 2. The fund shall consist of all monies appropriated for its purpose, 30 all monies transferred to such fund pursuant to law and all monies 31 required by the provisions of this section or any other law to be paid 32 into or credited to this fund, including all monies received by the fund 33 or donated to it. Monies in the fund shall be kept separate and shall 34 not be commingled with any other monies otherwise appropriated or 35 received except as hereby provided. 36 3. Monies of the fund, when allocated, shall be available to the 37 bureau of marihuana policy for the purpose of providing low interest 38 loans to individuals and businesses interested in establishing a mari- 39 huana microbusiness or otherwise obtaining a license available from the 40 bureau of marihuana policy and participating in the marihuana industry. 41 4. The bureau of marihuana policy shall establish through rules and 42 regulations guidelines necessary to administer the fund. Guidelines 43 shall include, but not be limited to: qualifications and conditions for 44 assistance; terms of loan or installment payments and finance charges on 45 installment payments at rates of interest which, notwithstanding any 46 other provision of law, are of the lowest rate possible to maintain the 47 fund; prioritize loans to promote racial, ethnic, and gender diversity 48 in licenses for marihuana related activities; and any other terms and 49 conditions the bureau may require as necessary to properly effectuate 50 the provisions of this section. 51 5. The bureau of marihuana policy shall make public by September first 52 of each year a report including, but not limited to: the current guide- 53 lines of the fund; a complete financial statement including, but not 54 limited to, monies allocated, collected, transferred or otherwise paid 55 or credited to the fund; a projected schedule of disbursements, receiptsA. 3506--C 69 1 and needs of the fund for the next fiscal year; and the names and busi- 2 ness addresses of each current loan recipient. 3 6. No monies shall be payable from this fund, except on the audit and 4 warrant of the comptroller on vouchers certified and submitted by the 5 bureau of marihuana policy. 6 § 58. Appropriation. The sum of five million dollars ($5,000,000) is 7 hereby appropriated to the New York State Liquor Authority out of any 8 moneys in the state treasury in the general fund to the credit of the 9 state purposes account, not otherwise appropriated, and made immediately 10 available, for the purpose of carrying out the provisions of this act. 11 Such moneys shall be payable on the audit and warrant of the comptroller 12 on vouchers certified or approved by the superintendent or the chairman 13 of the New York State Liquor Authority in the manner prescribed by law. 14 § 59. Severability. If any provision or term of this act is for any 15 reason declared unconstitutional or invalid or ineffective by any court 16 of competent jurisdiction, such decision shall not affect the validity 17 of the effectiveness of the remaining portions of this act or any part 18 thereof. 19 § 60. This act shall take effect immediately; provided, however, that 20 the amendments to section 17 of the alcoholic beverage control law made 21 by section fifty-one of this act shall not affect the expiration and 22 reversion of such section and shall expire and be deemed repealed there- 23 with, when upon such date the provisions of section fifty-two of this 24 act shall take effect; provided further, however, that the amendments to 25 section 18 of the alcoholic beverage control law made by section fifty- 26 three of this act shall not affect the expiration and reversion of such 27 section and shall expire and be deemed repealed therewith, when upon 28 such date the provisions of section fifty-four of this act shall take 29 effect.