Please ensure Javascript is enabled for purposes of website accessibility

Gov. Cuomo Confirms and Details New York Recreational Marijuana Legalization Bill; Vote Could Occur Within Days

By Eric Volkman - Mar 29, 2021 at 7:54PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

A final vote might come as soon as Tuesday.

It's official: New York's legislature has a recreational-marijuana legalization bill it's about to vote on.

Gov. Andrew Cuomo on Saturday confirmed media reports that legislators in the Empire State had hammered out a bill that would sanction the sale and consumption of recreational cannabis. He also provided the salient details of the proposed legislation.

For marijuana retailers, if the bill is passed into law, the state would form a two-tier licensing structure. Under this regime, growers and processors would not be allowed to directly own retail stores.

Cannabis flower in a bowl on top of U.S. currency.

Image source: Getty Images.

In addition, 50% of licenses awarded by the state would be given to members of groups that have been "disproportionally" affected by the strict drug laws of the past. This includes minorities, women, and farmers facing economic hardship.

Taxes would be based on the relevant product's type and level of Tetrahydrocannabinol (THC) -- the substance that gets a user high. 

Individuals would also be allowed to grow up to 12 marijuana plants at home.

The bill includes criminal justice and expungement measures that would erase convictions stemming from the state's previously harsh drug laws.

According to an article from the Associated Press, the state's legislature should vote on the bill within days, perhaps even as soon as Tuesday. 

Cuomo, a staunch advocate for recreational-use legalization in his state, said he would sign the bill if passed. He has previously said this reform could earn $350 million in taxes annually.

There are relatively few dispensaries in the state now. One of the busier operators is Curaleaf (CURLF -1.21%), which operates a grand total of four eponymously branded stores. Curaleaf hasn't yet commented on the latest New York development.

On Monday, Curaleaf's shares slipped by 0.6%, against the flat performance of the S&P 500 index.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Curaleaf Holdings, Inc. Stock Quote
Curaleaf Holdings, Inc.
CURLF
$5.84 (-1.21%) $0.07

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
345%
 
S&P 500 Returns
119%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/17/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.