Nursery License
(1) All nursery applicants shall obtain a Nursery Grower Certificate of Registration from the New York State Department of Agriculture and Markets Division of Plant Industry prior to licensure by the Board.
(2) An applicant for a nursery license shall indicate the type of nursery license it seeks to operate based on the size and type of nursery area as set forth below:
(i) Nursery Outdoor: for an outdoor nursery area with a maximum area of 100,000 square feet;
(ii) Nursery Mixed-Light: for a mixed light nursery area with a maximum area of 10,000 square feet; or
(iii) Nursery Indoor: for an indoor nursery area with a maximum area of 10,000 square feet.
Nursery Ownership and License Authorizations:
(a) A nursery may produce, package, label, and distribute clones, seedlings, immature cannabis plants, cloned propagation material, tissue culture, and cannabis seeds only to a duly licensed nursery, cultivator, cooperative or collective, microbusinesses, ROND or ROD.
(b) A nursery may only propagate mature cannabis plants for use in the production of clones, seedlings, immature cannabis plants, cloned propagation material, tissue culture, and cannabis seeds or for sale to other nurseries for the production of clones, seedlings, immature cannabis plants, cloned propagation material, tissue culture, and cannabis seeds.
(c) A nursery shall not hold a retail dispensary, on-site consumption, or delivery license.
(d) A nursery may hold a cultivator, cooperative or collective, microbusiness, ROND or ROD license.
(e) A nursery or its true party of interest may be a true party of interest in a cultivator, processor, distributor, cooperative or collective, microbusiness, ROND or ROD license.
(f) A nursery may only hold one (1) nursery license, but may engage in licensed activities at multiple premises, and their true parties of interest are not restricted in the number of nursery licenses in which they have an interest.
(g) A nursery or its true party of interest may have a goods and services agreement with an adult-use cultivator, processor, distributor, cooperative or collective, microbusiness, ROD, and ROND licensee, subject to all restrictions governing such relationships, including, but not limited to, undue influence, control, and true party of interest requirements.
(h) In addition to any other restrictions or prohibitions in this Title, including, but not limited to, Part 124 of this Title, no nursery licensee or its true party of interest shall be permitted to hold a direct or indirect interest, including by being a true party of interest, passive investor, or having a goods and services agreement with, or by any other means, in an adult-use retail dispensary, on-site consumption, delivery, registered organization, or cannabis laboratory licensee or permittee.
(i) Where a nursery license is held by a ROD, the licensee and its true parties of interest shall be subject to the true parties of interest requirements set forth for the ROD license.
Nursery Operations:
(a) A nursery shall:
(1) maintain an active Nursery Grower Certificate of Registration from the New York State Department of Agriculture and Markets Division of Plant Industry;
(2) only distribute clones, seedlings, immature cannabis plants, cloned propagation material, tissue culture or cannabis seeds to a licensee authorized to sell cannabis products to consumers if any such plants are under two (2) feet in height;
(3) use any mature cannabis plants only for seed production and, unless the nursery licensee is a licensed cultivator or processor such plants, shall, after using such plants in the production of the aforementioned goods, either:
(i) sell or transfer such plants to another licensee authorized to use such plants after the seeds have been removed; or
(ii) manage and dispose of such plants thereafter pursuant to section 125.11 of this Title;
(4) document all information related to production and genetic sourcing of clones, seedlings, immature cannabis plants, cloned propagation material, tissue culture or cannabis seeds, which shall be made available for review by the Office upon request;
(5) tag each established lot of immature cannabis plants in a manner as described in subdivision (a) of section 123.4 of this Part;
(6) package each clone, seedling, immature cannabis plant, cloned propagation material, tissue culture or cannabis seed distributed to a licensee for sale to consumers in a sealed container in accordance with requirements of Part 128 of this Title which pertain to that product;
(7) sell clones, seedlings, immature cannabis plants, cloned propagation material, tissue culture, or cannabis seeds with a written guarantee that to the licensee's knowledge, the plants sold do not harbor known cannabis diseases such as Hop Latent Viroid (HpLvd), Cannabis Cryptic Virus, or other common cannabis diseases and pests; and
(8) be authorized to sell agricultural products used specifically for the planting, propagation, and cultivation of cannabis by licensed adult-use cultivators, microbusinesses, cooperatives or collectives, ROND or ROD.
(b) A nursery is prohibited from:
(1) distributing for retail sale any mature cannabis plants or immature cannabis plants that are two (2) feet or taller to a licensee authorized to sell cannabis products to consumers;
(2) producing clones, seedlings, immature cannabis plants, cloned propagation material, tissue culture or cannabis seeds in a nursery area that is larger than authorized pursuant to section 120.3 of this Title;
(3) selling or transferring any cannabis to any person that is not a licensee; (4) selling or distributing any clones, seedlings, immature cannabis plants, cloned propagation material, tissue culture, cannabis seeds or other agricultural products with known pest issues.
(c) A nursery shall meet all requirements of this Title related to regenerative agriculture, agricultural inputs and on-premises identification that apply to cultivators, including, but not limited to, subdivisions (d), (e), and (f) of section 123.4 of this Part.