New York has committed $35 million in legal cannabis revenue to a community reinvestment fund, with an initial $5 million awarded to 50 organizations serving communities affected by earlier drug laws.
The state’s cannabis market update describes the grants alongside enforcement and business programs as regulated adult-use retail sales pass $4.1 billion since December 2022.
The Community Grants Reinvestment Fund directs a portion of market revenue to communities disproportionately affected by previous state and federal drug policies. Its supported work spans youth development, job training, housing, mental health, harm reduction and other community needs.
The first $5 million round is part of the $35 million commitment. The state describes the fund as a way to carry out the Cannabis Law’s community reinvestment provisions beyond the businesses that produce and sell cannabis.
Closing unlicensed shops is another part of the program
The Office of Cannabis Management’s 2026 enforcement record lists 352 storefront inspections and 191 illegal shops closed and padlocked. Products seized during the year had an estimated value of $125 million.
Since enforcement began, the state’s cumulative figures show 2,257 storefront inspections, 738 closures and 1,615 notices of violation. The estimated value of products seized to date totals $276,853,531.
OCM coordinates that work with other state agencies and local partners. Gov. Kathy Hochul said the state will continue closing illegal stores while supporting businesses operating under its licensing rules.
Those efforts run alongside OCM’s oversight of licensed businesses and its public health and consumer education work. The office regulates the medical, adult-use and cannabinoid hemp markets and also has responsibilities involving equity, reinvestment and environmental sustainability.
Licensed businesses gain additional sales venues
Approved Cannabis Showcase Events let licensed adult-use dispensaries work with licensed cultivators and processors to sell regulated products at temporary locations. Eligible settings include farmers markets, public markets and pop-up events.
A law signed this summer added licensed microbusinesses as participants. The showcase program gives businesses a way to reach adult customers outside their usual stores and introduce New York products.
The five adult-use license types cover cultivation, processing, distribution, microbusinesses and retail dispensaries. Across the market, the state reports issuing 2,351 cannabis licenses.
Retail growth provides context for reinvestment
Licensed adult-use retail sales totaled $1.41 billion through the third quarter of 2026. Since the December 2022 launch, sales have exceeded $4.1 billion, placing New York third nationally in adult-use retail sales, according to the state.
There are 744 dispensaries open for business, while 1,039 adult-use retail licenses have been issued. Social and economic equity applicants hold 56% of adult-use licenses.
OCM Executive Director John Kagia credited the workers, entrepreneurs, advocates and lawmakers who built the supply chain. Cannabis Control Board Chair Jessica Garcia said lasting opportunity for the people the market was designed to serve remains a measure of its success alongside sales growth.
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