As widely reported, Governor Andrew Cuomo’s office has indicated that he intends to call for a medical marijuana law in his State of the State address on Wednesday. The proposal is said to be narrowly tailored to authorizing 20 hospitals across the state to produce marijuana for the treatment of high-need patients and for further research study. It is widely expected that Roswell Park Cancer Institute will be one of the 20 hospitals authorized to do so.

The proposal comes one year after Cuomo announced that he would seek to reduce penalties for marijuana possession, a staunch demand of downstate Democrats who are upset that NYC’s “stop and frisk” practices are leading to drug possession charges for young minority men who are targeted by that program. Cuomo dropped that legislative effort shortly after members of the Republican controlled State Senate objected. At the time, many State Senators thought that cancer suffers should be the focus of any marijuana reform rather than making it easier for teenagers to possess it (see here).

In this context, Upstate legislative leaders – particularly in the State Senate – have the leverage to demand a grand compromise.

In exchange for reducing marijuana possession to a ticketed offense, Upstate legislators should demand that recreational use of marijuana be legalized within the city limits of Niagara Falls, NY – so that we can enjoy a regulatory arbitrage advantage while cultivating our tourism industry. Branding Niagara Falls as the “Amsterdam of the Northeast” could spawn dozens of small businesses and thousands of jobs in the struggling city. It would drive more tourists to The Falls while breathing new vibrancy into its commercial districts.

Beyond authorizing 20 hospitals in the state to use marijuana for treatment, we should also be authorizing research universities to utilize marijuana for research and commercialization – so that they too can spawn new products in pharmaceuticals, apparel, and biofuel.

Too radical a compromise, or a sensible policy solution that is long overdue?

In my humble opinion, it’s time for Carl to select Kristen Davis as his gubernatorial running mate – and begin to lean more libertarian than social conservative.