New York generates over $161 million in cannabis tax revenue

NY, NY
New York expects to generate $161.8 million in cannabis tax revenue

What happened: After a slow start, New York’s cannabis industry is off to the races.

The state expects to generate $161.8 million of cannabis tax revenue for the fiscal year ending March 31, per Governor Kathy Hochul’s budget. That’s four times more than last year.

The state expects tax revenues to increase to $248 million in 2026, $339 million in 2027, $363 million in 2028, and $374 million by 2029, as the industry expands, reports The New York Post.

See the full budget.

Okay, and: You’ll recall that New York’s cannabis market crossed the billion-dollar threshold earlier this year, as more dispensaries opened and the state enforced illicit sellers. 

What they’re saying: “Last year I fought for new laws to crack down on illegal cannabis shops — and we got it done,” Hochul said. 

“Now, legal entrepreneurs are thriving while lawbreakers are being held accountable. It’s extraordinary to reach this milestone of $1 billion in retail sales, and I’m confident the success will continue as New York’s nation-leading equitable cannabis industry grows.” 

But, but, but: Some groups feel that the state’s medical cannabis market is getting left behind. The New York Medical Cannabis Industry Association is circulating a petition calling attention to the fact that medical-only dispensaries are dwindling and patients are paying the price. 

And more: The state’s Cannabis Advisory Board will meet today at 2pm in Albany. You can watch it online. 

-JB

“What is he 100 years old? All of that has been debunked for a really long time, and I think it’s such a boomer thing to say,” Rep. Ilhan Omar, the new chair of the Congressional Cannabis Caucus, said in response to Acting DEA Administrator Derek Maltz’s comments that cannabis is a gateway drug. “I don’t know how old this man is.”

“First of all, we’re not advocating for legalization so kids can use it. So I don’t know why he’s talking about kids,” she said. “It’s helpful for a lot of people who are struggling with all types of stuff.”

Maltz, who will oversee the process to reclassify cannabis from the most restrictive Schedule I to the less restrictive Schedule III, revealed some backward views about cannabis in a podcast last year. It’s unclear if he’ll lead the agency on a full time basis or if President Trump will nominate a replacement. 

Medical home grow bill filed in Florida 🌿

Florida State Sen. Joe Gruters (R), a strong cannabis advocate, introduced a bill that would let medical cannabis patients in the Sunshine State grow up to two plants at home. 

PA lawmakers ask Rubio to free Marc Fogel 🥊

A group of Pennsylvania lawmakers wrote a letter to Secretary of State Marco Rubio asking him to use State Department resources to help free Marc Fogel, an American schoolteacher who has been held on cannabis-related charges in Russia since 2021.

Curaleaf partners with Austin City Limits Live 💰

Curaleaf is partnering with Austin City Limits Live, a music venue, to offer hemp-derived THC seltzers to concert goers, CEO Boris Jordan said on X. It’s one of the first partnerships between a major cannabis producer and a concert venue — and a sign that the traditional cannabis industry is further pushing into hemp as a way to get their products into consumer’s hands outside of dispensaries. 

And more:

Trulieve will open its 230th (!) dispensary in Palm Coast, Florida on January 31.

Ayr Wellness new president ✅

Cannabis operator Ayr Wellness said on Monday the company is promoting George DeNardo to President. DeNardo was previously the chief operating officer of the firm. DeNardo joined us on Cultivated Live for an exclusive chat about his new role and what’s next for the company. Watch it here.

Cannara Biotech kicked off cannabis earnings season, reporting a strong first-quarter of $2.3 million net income on $25.1 million of revenue, up 29% sequentially, and free cash flow of $4.6 million. Full results here.

Chicken wings, football, and weed: The Super Bowl is a massive opportunity for cannabis retailers, according to this new chart from Surfside and our friends at Vetrina. Check it out:

Will weed be legalized in NH this year? Bills may face rocky road | USA Today

Gavin Newsom can't stop California's pot companies from jumping to hemp | SF Gate

Trudeau’s departure is a turning point for Canada’s cannabis industry | MJBizDaily

Cannabis sector limps into 2025 because 'the gold rush is over' | MarketWatch