BOSTON - Tuesday, November 26, 2019 - Mayor
Martin J. Walsh today joined Councilor Kim Janey and members of the Boston
City Council as he signed "An
Ordinance Establishing Equitable Regulation of the Cannabis Industry in the
City of Boston." The ordinance is the result of collaboration from
many stakeholders, and makes Boston a model for how to create a system that
fosters racial equity and inclusion in the new marijuana industry and
ensures benefit to all the City's communities. With this ordinance, Boston
is the first city in the United States to formally prioritize diverse
applicants who are looking to participate in the marijuana industry.
"This ordinance ensures those who have
been impacted hardest by the War on Drugs will benefit most from this
economic opportunity." said Mayor Walsh. "I am proud to sign this
legislation that will increase transparency and accountability, and support
diverse and local ownership in this new industry. I want to thank Councilor
Kim Janey for her collaboration throughout this process and I look forward
to continuing our partnership that is creating bold progress and change as
the cannabis industry grows in Boston."
The Walsh Administration has prioritized
equity since the beginning of this new industry, and has approved 14 host
community agreements in 10 different neighborhoods with marijuana
businesses seeking to open in the City of Boston, which includes three state-certified
empowerment candidates. Boston was the first city in the state to sign an
agreement with an economic empowerment state-approved applicant,
representing the city's national leadership in creating racial diversity in
the cannabis industry.
"Together, we are taking a major step
forward in creating a process that promotes equity, clarity, transparency,
and accountability. And one that prioritizes small, local companies with
diverse ownership from communities disproportionately impacted by the war on
drugs," said Councilor Kim Janey. "I want to thank Mayor Walsh
for his commitment to creating a fair and equitable process and I look
forward to working with him, my colleagues on the Council, and the many
advocates and entrepreneurs, as this new industry rolls out in our
city."
The ordinance defines the criteria that
qualifies an applicant to be an "equity applicant" based on the
majority of its ownership and gives preference to people who reside in
areas impacted hardest by the war on drugs, Boston residents, people of
color, and people with low incomes, among others. Based on this, the City
will maintain an equal or greater number of equity applicant licensees to
licensees that do not qualify as equity applicants.
The ordinance also establishes a new Boston
Cannabis Equity Program to support equity applicants throughout the process
of establishing a cannabis business. The program will offer technical
assistance related to business operations, workforce development, legal
compliance and other best practices to ensure a successful business
plan.
In addition, the ordinance establishes the
Boston Equity Fund to administer and support the Equity Program. This fund
will make resources and technical assistance available for equity
applicants and licensees to establish and operate a cannabis business in
the City of Boston. The Mayor will also establish a Boston Cannabis Board,
an independent board charged with reviewing all applicants for a marijuana
license.
Other important pieces of the legislation include
an online registry for applicants and licensees with information about
their existing or proposed establishment and a map of proposed applications
and for residents to access and to ensure businesses are good neighbors in
our communities.
The City has been accepting applications to
establish marijuana businesses following its legalization and has conducted
an extensive community engagement process for proposals. After signing host
community agreements with the City of Boston, businesses go through the
State's Cannabis Control Commission process, which ultimately approves
businesses. To date, two medical marijuana sites are open for business and
two recreational sites have passed the state approval process and are
making preparations for their respective openings. Boston's first
recreational marijuana business is expected to open before the end of the
year.
In an effort to bring further transparency
to the industry and remove any potential conflicts of interest, in
September, Mayor Walsh signed
an executive order that prohibits City of Boston employees of their immediate
family members from participating in a marijuana business that is currently
seeking, or intends to seek approval from the City of Boston or its
agencies.
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