BILL NUMBER: S5826
SPONSOR: SEPULVEDA
 
TITLE OF BILL:
An act to amend the cannabis law, in relation to permitting additional
business activities on the premises where cannabis is sold for adult-use
on-premises consumption
 
PURPOSE:
The purpose of this bill is to permit a licensee to conduct business
activities on the premises other than smoking, vaping, or ingestion of
cannabis.
 
SUMMARY OF PROVISIONS:
Section 1: Subdivision 9 of section 77 of the cannabis law is amended to
permit a licensee to conduct business activities on the premises other
than the smoking, vaporizing, and ingesting of cannabis or cannabis
products including but not limited to: selling non-cannabis-infused
food; selling nonalcoholic beverages; and allowing and selling tickets
for live musical or other performances not otherwise prohibited.
Section 2: Provides for the effective date.
 
EXISTING LAW:
The Marijuana Regulation and Taxation Act (MRTA) legalized cannabis for
adults 21 years of age or older. This law sets out a framework that will
protect public health and safety, while promoting social equity and
economic development. The New York State Office of Cannabis Management
(0CM) will license cultivators, processors, distributors, and dispensar-
ies to grow and sell cannabis in New York. This also applies to on-site
consumption licensees.
 
JUSTIFICATION:
Under the Marijuana Regulation and Taxation Act (MRTA)applicants may
apply for an on-site consumption license, which allows for the consump-
tion of cannabis within a particular area. There are certain business
activities which on-site consumption licensees are restricted from
engaging in, this bill would allow for on-site consumption licensees to
engage in specific business activities that provide their customers with
non-cannabis options to purchase.
These additional business activities include selling non-cannabis-in-
fused food, selling nonalcoholic beverages and allowing and tickets for
live musical or other performances that are not otherwise prohibited to
be sold. This bill ensures that on-site consumption licensees offer more
for their customers than just cannabis products.
 
LEGISLATIVE HISTORY:
S.5346A of 2023-2024: Amended and recommitted to Investigations and
Government Operations, print number 5364A; This was new Legislation in
2023
 
FISCAL IMPLICATIONS:
Some additional sales tax revenue would be collected.
 
LOCAL FISCAL IMPLICATIONS:
This bill would increase sales in these businesses and therefore there
would be some increase in local sales tax collections.
 
EFFECTIVE DATE:
This act shall take effect immediately.

Statutes affected:
S5826: 77 cannabis law, 77(9) cannabis law