§ 13 — Rulemaking authority

§ 13. Rulemaking authority. 1. The board shall perform such acts,\nprescribe such forms and propose such rules, regulations and orders as\nit may deem necessary or proper to fully effectuate the provisions of\nthis chapter.\n 2. The board shall, in consultation with the executive director and\nthe chief equity officer, have the authority to promulgate any and all\nnecessary rules and regulations governing the cultivation, manufacture,\nprocessing, transportation, distribution, testing, delivery, and sale of\nmedical cannabis, adult-use cannabis, and cannabinoid hemp and hemp\nextract, including but not limited to the registration of organizations\nauthorized to sell medical cannabis, the licensing and/or permitting of\nadult-use cannabis cultivators, processors, cooperatives, microbusiness,\ndistributors, laboratories, and retailers, and the licensing of\ncannabinoid hemp and hemp extract producers and processors pursuant to\nthis chapter, including, but not limited to:\n (a) prescribing forms and establishing application, reinstatement, and\nrenewal fees;\n (b) the qualifications and selection criteria for registration,\nlicensing, or permitting;\n (c) the books and records to be created and maintained by all\nregistered organizations, licensees, and permittees, including the\nreports to be made thereon to the office, and inspection of any and all\nbooks and records maintained by any registered organization, licensee,\nor permittee and on the premises of any registered organization,\nlicensee, or permittee;\n (d) methods of producing, processing, and packaging cannabis, medical\ncannabis, cannabis-infused products, concentrated cannabis, and\ncannabinoid hemp and hemp extract; conditions of sanitation, and\nstandards of ingredients, quality, and identity of cannabis products\ncultivated, processed, packaged, or sold by any registered organizations\nand licensees;\n (e) security requirements for medical cannabis and adult-use cannabis\nretail dispensaries and premises where cannabis products, medical\ncannabis, and cannabinoid hemp and hemp extract, are cultivated,\nproduced, processed, or stored, and safety protocols for registered\norganizations, licensees and their employees;\n (f) hearing procedures and additional causes for cancellation,\nsuspension, revocation, and/or civil penalties against any person\nregistered, licensed, or permitted by the board; and\n (g) the circumstances, manner and process by which an applicant,\nregistered organization, licensee, or permittee, may apply to change or\nalter its previously submitted or approved owners, managers, members,\ndirectors, financiers, or interest holders.\n 3. The board shall promulgate rules and regulations that are designed\nto:\n (a) prevent the distribution of adult-use cannabis or cannabis product\nto persons under twenty-one years of age, including the modification of\ntobacco vaping products for use with cannabis;\n (b) prevent the revenue from the sale of cannabis from going to\ncriminal enterprises;\n (c) prevent the diversion and inversion of cannabis from this state to\nother states and from other states into this state, insofar as cannabis\nremains federally prohibited;\n (d) prevent cannabis, hemp, cannabinoid hemp and hemp extract activity\nthat is legal under state law from being used as a cover or pretext for\nthe trafficking of other illegal drugs or other illegal activity;\n (e) inform the public about the dangers of driving while impaired and\nthe public health consequences associated with the use of cannabis;\n (f) prevent the growing of cannabis on public lands;\n (g) inform the public about the prohibition on the possession and use\nof cannabis on federal property; and\n (h) establish application, licensing, and permitting processes which\nensure all material owners and interest holders are disclosed and that\nofficials or other individuals with control over the approval of an\napplication, permit, or license do not themselves have any interest in\nan application, license, or permit.\n 4. The board, in consultation with the department of agriculture and\nmarkets and the department of environmental conservation, shall\npromulgate necessary rules and regulations governing the safe production\nof cannabis, including environmental and energy standards and\nrestrictions on the use of pesticides and best practices for water and\nenergy conservation.\n 5. Emergency rules and regulations: In adopting any emergency rule,\nthe board shall comply with the provisions of subdivision six of section\ntwo hundred two of the state administrative procedure act and\nsubdivision three of section one hundred one-a of the executive law;\nprovided, however, that notwithstanding the provisions of such laws:\n (a) Such emergency rule may remain in effect for no longer than one\nhundred twenty days, unless within such time the board complies with the\nprovisions of such laws and adopts the rule as a permanent rule;\n (b) If, prior to the expiration of a rule adopted pursuant to this\nparagraph, the board finds that the readoption of such rule on an\nemergency basis or the adoption of a substantially similar rule on an\nemergency basis is necessary for the preservation of the public health,\nsafety or general welfare the agency may only readopt the rule on an\nemergency basis or adopt a substantially similar rule on an emergency\nbasis if on or before the date of such action the board has also\nsubmitted a notice of proposed rule making pursuant to subdivision six\nof section two hundred two of the state administrative procedure act and\nsubdivision three of section one hundred one-a of the executive law. An\nemergency rule adopted pursuant to this paragraph may remain in effect\nfor no longer than one hundred twenty days;\n (c) An emergency rule adopted pursuant to this subdivision or a\nsubstantially similar rule adopted on an emergency basis may remain in\neffect for no longer than one hundred twenty days, but upon the\nexpiration of such one hundred twenty-day period no further readoptions\nor adoptions of substantially similar rules shall be permitted for a\nperiod of one hundred twenty days. Nothing in this subdivision shall\npreclude the adoption of such rule by submitting a notice of adoption\npursuant to subdivision five of section two hundred two of the state\nadministrative procedure act; and\n (d) Strict compliance with the provisions of this subdivision shall be\nrequired, and any emergency rule or substantially similar rule that does\nnot so comply shall be void and of no legal effect.\n 6. The board shall have the authority to promulgate regulations\ngoverning the appropriate use and licensure of the manufacturing of\ncannabinoids, or other compounds contained within the cannabis plant,\nthrough any method other than planting, growing, cloning, harvesting, or\nother traditional means of plant agriculture.\n