New York Clears the Way for Cannabis Microbusiness Showcases

New York Clears the Way for Cannabis Microbusiness Showcases

Key Takeaways

  • New York cannabis microbusinesses can now apply for Cannabis Showcase Event permits independently thanks to the signed law S10113.
  • S10113 allows microbusiness licensees to act as their own cultivator and processor, streamlining participation in the program.
  • This law addresses previous requirements that hindered microbusinesses from showcasing their products effectively.
  • The Cannabis Showcase Event program has evolved since its inception, becoming essential for small cannabis operators.
  • Microbusiness operators should begin the permit application process immediately, ensuring their licenses authorize cultivation and processing.

Last week, S10113 was signed into law, allowing New York cannabis microbusiness licensees to serve as their own cultivator and processor when applying for Cannabis Showcase Event permits. The law took effect immediately and removes a regulatory gap that had blocked vertically integrated small operators from participating in the state’s growing pop-up and farmers market sales program.

New York’s Cannabis Showcase Event program has been building toward this since it was first started in 2023. What started as a temporary fix for a industry crisis has grown into one of the more practical tools available to small cannabis operators in the state. And with S10113 now signed into law, the program just got meaningfully more accessible to the businesses that need it most.

What S10113 Actually Changes for New York Microbusiness Licensees

Before S10113, the Cannabis Showcase Event (CSE) permit application required any retailer seeking a permit to demonstrate that they were in partnership with a separately licensed cultivator and a separately licensed processor. That language created a problem for microbusinesses.

A cannabis microbusiness license in New York, governed under Section 73 of the Cannabis Law, is designed to be vertically integrated. When the Cannabis Control Board authorizes it, a single microbusiness can cultivate, process, distribute, and conduct retail sales. They grow their product, process it, and sell it themselves. That is the point of the license type.

The old language did not account for that reality. Even if a microbusiness already held a license authorizing cultivation and processing, the CSE event rules still required it to prove a “partnership” with a separate licensed cultivator and processor in order to participate. S10113 amends Section 130-a of the Cannabis Law to fix that directly.

Under the new law, a microbusiness licensee authorized to conduct retail sales may now serve as the required licensed processor and licensed cultivator for a CSE permit, provided the microbusiness license authorizes those activities. A microbusiness can also cultivate and/or process products for another retailer applying for a permit, as long as the microbusiness has authorization to conduct those activities.

Senator Michelle Hinchey introduced the bill on April 30th. The Senate passed it 47-13 on June 1st, the Assembly cleared it on June 4th, and the governor received it on July 31st. Hochul signed it on August 6th.

How New York Got Here: A Three-Year Arc

We have been covering this program since its earliest days. When the Cannabis Growers Showcase launched at the New York State Fair in August 2023, it was born out of necessity. Litigation tied up retail dispensary licenses, leaving cultivators sitting on harvested product with nowhere to sell it. In response, the Office of Cannabis Management created the CGS as a temporary bridge to connect licensed growers directly with consumers.

The OCM approved that first program as a temporary measure, and by its close, it had greenlit 60 showcases involving 106 licensees, including Adult-Use Conditional Cultivators, Adult-Use Conditional Processors, and Conditional Adult-Use Retail Dispensaries.

In March 2025, Governor Hochul signed S818, which formally defined Cannabis Showcase Events in state law and expanded them significantly. That legislation introduced standalone pop-up markets as a recognized event format, removed the cap on how many retailers could participate in a single event, and required a permit for each individual event. At that point, New York had surpassed $1 billion in total cannabis sales since legalization, and the retail sector had grown from 261 licensed dispensaries in 2024 to 556 by the end of 2025, according to an OCM annual report.

S10113 is the third legislative step in that arc. Prior legislation built the program and expanded it. This one makes it accessible to the business type that was effectively sidelined by a drafting ambiguity.

What the Old Language Was Missing

The sponsor memo for S10113 puts it plainly. Under the Cannabis Law, microbusiness licensees can only sell their own products. The CSE permit requirement created a conflict by forcing retailers to prove a partnership with a separate cultivator and processor, a condition that directly contradicts the microbusiness license model, which was specifically designed to handle all three functions under one roof.

The Office of Cannabis Management established rules and regulations following Chapter 669 of 2024, which formally established CSE events. But the regulations that followed reflected the same ambiguity in the underlying statute. Legislators wrote S10113 specifically to clarify the law’s intent and establish clearer regulations around microbusiness participation.

Senator Hinchey made the case directly: “Showcase events, like farm markets, give these small businesses a perfect way to reach consumers with their homegrown products. With summer here and New Yorkers excited to shop outside, it’s critical that cannabis microbusinesses can participate in showcase events alongside retailers and other licensees, and our legislation makes that possible.”

OCM Executive Director John Kagia added: “Regulated cannabis has proven to be an economic engine for New York, but the strength of this market lies in the businesses operating across the supply chain.”

Why Direct Sales Events Matter More Than Marketing Advice

Small cannabis operators in New York do not need another conversation about brand awareness. They need places to sell. That is the honest framing of why the CSE program matters, and why the microbusiness fix in S10113 is worth paying attention to.

Vertically integrated microbusinesses typically operate with smaller advertising budgets than multi-site retail operators. They do not always have the shelf space or retail placement that comes with scale. Direct-to-consumer events, farmers markets, and pop-up showcases give them a cost-efficient route to reach actual buyers, build name recognition with the people consuming their products, and generate revenue outside of the licensed dispensary channel.

The CSE program covers farmers markets, public markets, and standalone pop-up formats. For a microbusiness that grows, processes, and sells its own product, these events offer exactly the kind of sales opportunity the license was designed to support. The previous requirement to show a separate cultivator and processor partnership was a structural mismatch with how the license works in practice. S10113 corrects that.

Governor Hochul framed the signing in straightforward terms: “By opening the door for legal operators to sell at approved community events and farmer’s markets we are putting small entrepreneurs on a level playing field, expanding consumer access to safer, regulated products and strengthening one of New York’s fastest growing industries.”

What New York Microbusiness Operators Should Do Now

S10113 took effect immediately upon Hochul’s signing on August 6th. There is no 120-day waiting period that applied to prior CSE legislation. That means eligible microbusiness licensees can begin the CSE permit application process now.

A few things worth noting before applying. The law applies to microbusiness licensees whose license specifically authorizes cultivation and processing, not just retail. The Cannabis Control Board must have authorized those activities on the license itself. If your microbusiness license is retail-only, S10113 does not change your situation.

The CSE permit application still requires identifying which licensed cultivators and processors are authorized to showcase at the event. For a microbusiness filling all three roles, that documentation points back to the microbusiness license itself. Operators should confirm with the OCM what supporting documentation is required to reflect the new statutory language in their applications.

The law also opens a second practical door: a microbusiness authorized to cultivate and/or process can serve in those roles for another retailer’s CSE permit application. That creates a potential avenue for microbusinesses to participate in showcases organized by retail partners, even when the microbusiness is not the primary permit holder.

Frequently Asked Questions

What does S10113 do for New York cannabis microbusinesses?

On August 6, 2026, Governor Hochul signed a new law that allows cannabis microbusinesses authorized to cultivate and process to independently fulfill all licensing requirements for a Cannabis Showcase Event permit. This means they no longer need to partner with separate cultivators and processors.

When did S10113 take effect in New York?

S10113 took effect immediately upon Governor Hochul’s signature on August 6, 2026. No delayed implementation period applies. Eligible microbusiness licensees can begin the CSE permit application process through the New York Office of Cannabis Management right away.

What is the Cannabis Showcase Event program in New York?

The Cannabis Showcase Event (CSE) program lets licensed cannabis retailers sell products at off-premises events like farmers markets and pop-ups. Launched in 2023 and expanded in March 2025, the program requires retailers to obtain a separate permit for each event and partner with licensed cultivators and processors — though microbusinesses can fulfill those roles themselves.

Can a New York cannabis microbusiness serve as a cultivator or processor for another operator’s CSE permit?

Under S10113, microbusiness licensees authorized for cultivation and/or processing can serve in those roles for another licensee applying for a CSE permit. This allows microbusinesses to participate in showcase events organized by retail partners, even if they are not the primary permit applicant.


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