Several tribal nations have begun to sell recreational cannabis in New York. Cannabis legalized back in March, however no laws or regulations have been set yet. Licenses haven’t been distributed to most distributors or even growers. However, federally recognized sovereign nations, such as native tribes, have begun to sell cannabis to all who make the commute to their stores.
“Dispensaries are legal if they are on federally recognized, sovereign tribal land,” explained Freeman Klopott. He is the spokesperson for the Office of Cannabis Management (OCM) in New York. He also explained the OCM “has the ability to enter into agreements with tribes through tribal compacts to integrate them into the state program if all parties can agree to terms.”
Participating Tribes
The first tribe to open a recreational cannabis store was the Saint Regis Mohawk Tribe. Their sanctioned land sits close to the U.S.-Canadian border, the latter of which legalized cannabis nationally three years ago. In July, the tribe adopted rules for selling and possessing cannabis, which also established rules for selling.
“We want to ensure that our community is prepared to utilize this opportunity to support our local entrepreneurs’ efforts to help diversify our local economy and support community programs and services through tribal licensing fees,” the tribe said in a statement. After issuing their own licenses for selling cannabis, several stores have opened or begun to sell cannabis to eligible individuals, whether they are part of the tribal nation or not.
The second tribal nation to begin selling recreational cannabis was the Cayugas. Their stores are located at their tribal Lakeside Trading shop in Union Springs and at the Cayuga Corner Store on Route 89 near Seneca Falls. Both of these locations are again in upstate New York.
More and more tribes are beginning to issue their own rules and licenses to stay on top of the cannabis market. The market is booming and looks to continue to grow exponentially. This opportunity is allowing tribal nations to create jobs and decrease their unemployment rates, which are typically higher than the overall country’s rates. Allowing cannabis growers and sellers on tribal nations first creates more opportunities.
Additional States
New York tribes aren’t the only ones making advances in the cannabis industry. The Cherokee tribe in North Carolina approved the usage of medical cannabis on tribal land for approved patients. The state hasn’t made a decision on medical or recreational cannabis yet, leaving all forms illegal for the time being.
Following the legalization of medical cannabis in South Dakota, tribal nations began selling to those who had prescriptions from doctors, whether or not they were members of the tribe. There were concerns from the state’s Attorney General, however the tribe continues to sell medical cannabis to those with prescriptions. It wasn’t until recently that the state began to issue medical cannabis cards. Dispensaries will open beginning in 2022.
Finally, the Mashantucket Pequot Tribal Nation in Connecticut is looking to open a mega dispensary. The store is an estimated 25,000 square feet and would open near Foxwoods Resort and Casino, which the nation owns and operates. There is still debate if the nation will follow through with these potential plans. If they do, it would become the largest dispensary in the state. Connecticut legalized recreational cannabis earlier this year, however sales won’t begin until late 2022.
Future
Recreational cannabis demand continues to grow in legal states with no sales regulations set up yet. This opens the doors for native tribes to hit the ground running. It helps tribes rebuild as well as grow with the revenue created from taxes and sales. More tribes may open their own stores, which would diversify the market and create hundreds of jobs.
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