Albany Times Union

Glass half empty

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The State Liquor Authority and the Office of Cannabis Management have similar missions, a similar number of employees, and state funding that’s as different as apples and oranges — make that apple brandy and orange-flavored THC gummies.

As the Times Union’s Steve Barnes reported, the OCM has a $46 million budget for 2022-23, which may go up by $16 million for next year. The SLA’S proposed 2023-24 budget is $16.7 million.

Of course, the OCM is creating a new economic sector: making rules for licensing, processing, marketing, and so on, along with building a bureaucrac­y and oversight mechanism. But the discrepanc­y is worth noting for several reasons — not least for how it highlights the SLA’S paltry budget.

Chris Alexander, the OCM’S executive director, emphasizes that they’re creating a framework that is fair and equitable, built on the “small business opportunit­ies” the law pledged to prioritize. That’s just the way it should be. But the sale of alcohol also fuels many small businesses, from mom-and-pop stores to corner bars. They also deserve a fair shake.

Getting a liquor license in New York is notoriousl­y slow. You think waiting months for approval doesn’t hurt a small business? In the past, the backlog led to harebraine­d moves like letting some applicants “self-certify” the accuracy of their applicatio­ns. That SLA policy — in place for 12 years before being scrapped — effectivel­y fasttracke­d the applicatio­ns of people who could afford to hire an attorney off the “self-certify” program list. That wasn’t small-business-friendly, either.

Last year, Gov. Kathy Hochul proposed cutting applicatio­n red tape and hiring more processors; the streamlini­ng didn’t make it into law but the SLA did get some staffing money. Considerin­g they review tens of thousands of applicatio­ns annually — and the wait is still measured in months — it’s worth weighing whether it was enough.

Here’s another way to look at the agencies’ funding discrepanc­y: by comparing the number of New Yorkers served by the policies of each.

According to the Department of Health, in 2020 about 1.6 million New Yorkers 18 and up said they’d used cannabis in the past month. That’s about 12.8 percent of adult New Yorkers. Let’s say that with legalizati­on, that number doubles. Heck, let’s say it triples. It still won’t come close to the number of adults who drink alcohol. In the 2019 federal “National Survey on Drug Use and Health,” 69.5 percent reported that they’d consumed alcohol in the past year; a 2022 Gallup poll put it at 63 percent. Even by the lower number, if New York’s around the average we have more than 10 million adult drinkers.

What’s the reason for the funding gap? Is New York dazzled by the heady projection­s of cannabis revenue? Officials speak of the potential for hundreds of millions in state taxes on annual sales that could reach $5 billion — or maybe even $15 billion. But as Mr. Barnes pointed out, that would mean New York seeing triple the sales of California, a state with 20 million more people. Frankly, that sounds like blowing smoke.

Hey, if it happens, great for state revenue. But in the meantime, a commission formed last year is supposed to be looking at ways to modernize the state’s alcohol laws. Its recommenda­tions are due May 1 — too late for the budget, but it least it could get lawmakers talking about pouring a little extra into the SLA’S cup.

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