To help break up the illegal cannabis businesses that have spread across New York, the cannabis dispensary Housing Works Cannabis Co, a daughter company of Housing Works, has implemented programs to offer benefits and discounts to buyers who transition over to the legal marijuana market.
As New York’s first legal adult-use dispensary, Housing Works Cannabis Co. has been calling for an “illegal cannabis buyback” program since Thursday, June 27. This program, which operates in response to regulators’ continual push toward shutting down unlicensed sellers, seeks to provide consumers with incentives to quit purchasing from the illegal market.
The program, dubbed the “co-conspirator program,” will run from July 1 to September 1. It will offer any individual providing evidence of membership at an illegal operator a free membership at Housing Works Cannabis Co.
This membership, which is ordinarily $25, offers 25 percent off the consumer’s first purchase and 10 percent off all purchases for the entire next year.
Sasha Nutgent, director of retail at Housing Works Cannabis Co, stated, “This buyback initiative is crucial not only for the health and safety of our customers, which is always our top priority but also for the legal business operators and those who have fought hard for a place in New York’s legal cannabis market.”
Nutgent emphasized the importance of the legal market, commenting, “When you purchase from a legal dispensary like Housing Works Cannabis Co, you can rest assured that the purchased products have gone through rigorous state testing and are approved for safe consumption.”
“On top of that,” Nutgent continued, “you are supporting an established non-profit that has relentlessly advocated for the safety of the NYC community for over 30 years, as 100 percent of our proceeds go back to Housing Works. This is a pivotal moment for us, our customers, and New York’s legal market.”
Further bolstering the efforts toward enforcing the legal cannabis market, state lawmakers have introduced a bill that would permit individuals in New York to bring legal action against those violating the state’s cannabis laws, which could help everyday persons sue unlicensed marijuana sellers or those operating outside state laws.
Although state officials have imposed over $25 million in fines against unlicensed cannabis retailers since last year, neither the Office of Cannabis Management (OCM) nor the New York Tax Department has been able to collect more than a small proportion of the fines.
Governor of New York Kathy Hochul (D), meanwhile, noted that the state’s heightened enforcement efforts against illegal sellers have resulted in a marked increase in legal sales at licensed retailers.
These comments from Gov. Hochul occurred during criticism from equity-focused activists, who see the administration’s actions as a “corporate takeover” of the legal market. They note recent reports of the administration waiving official concerns over a private equity loan deal deemed “predatory” aimed at funding cannabis retail startups.
Some state Hochul’s administration has not taken responsibility for its role in the state’s troubles with the illegal market, citing the governor’s role in removing then-executive director of OCM Chris Alexander.
In February, Hochul asked big-name tech brands like Meta and Google to “do the right thing” and cease promoting the illegal cannabis retailers that have appeared across the state.
More recently, New York cannabis regulators approved rules that allow adults 21 and over to grow their own marijuana. Lawmakers have also introduced legislation earlier this month that would legalize psilocybin for adults, providing a permit proving that the individual passed an educational course and health screening.
