New York City’s Multi-Agency Task Force Announces 779 Stores Padlocked, While The New York State Cannabis Enforcement Task Force Has Announced 230 Closures Across The State
City And State Task Forces Have Seized More Than $63 Million Worth Of Illegal Substances
Legal Cannabis Stores In New York City Have Seen a 72 Percent Increase In Sales On Average; One-Third of Stores Reporting Increases over 100 Percent Since Enforcement Actions Began
Governor Hochul’s FY25 Budget Delivered New Enforcement Powers to Close Illegal Shops
Governor Kathy Hochul joined Mayor Eric Adams and New York City officials to celebrate a major milestone in New York’s enforcement actions against illegal cannabis retailers. Since Governor Hochul signed legislation expanding cannabis enforcement powers, New York City has reported more than 779 illegal stores have been padlocked, and the New York State Illicit Cannabis Enforcement Task Force has closed an additional 230 across the State — bringing the statewide total to more than 1,000.
“Earlier this year, I enacted new enforcement powers to quickly and permanently close the thousands of illegal cannabis retailers across New York selling potentially dangerous products — many of which are marketed to children and teens — and siphoning sales from hard-working, licensed store owners," Governor Hochul said. "I am pleased to join Mayor Adams and other officials to celebrate a milestone and recognize the enforcement teams who shut down more than 1,000 unlicensed stores statewide, bringing us closer to our goal of building the strongest, most equitable cannabis industry in the nation.”
In April, Governor Hochul unveiled new initiatives to shut down illicit cannabis operations and protect the legal marketplace as part of the FY25 Enacted Budget. The plan provides the Office of Cannabis Management (OCM) and local municipalities with new authority to act against illicit storefronts and those who enable them. The initiatives are the strongest set of policies enacted thus far to tackle the illicit cannabis marketplace.
On May 21, Governor Hochul launched the Cannabis Enforcement Task Force. The Task Force, led by the State Police First Deputy Superintendent, is a major statewide effort to coordinate staff from several agencies to combat the illicit cannabis market. Through collaboration between the State Police, OCM and other state agencies, the Task Force is equipped to tackle the full scope of illegal cannabis activity. The Task Force has worked with landlords to evict illegal dispensaries, and works to penalize landlords who fail to take steps to evict tenants after they are informed they are operating illegally.
The State’s commitment to shutting down these unlicensed cannabis storefronts has had a direct impact on the legal cannabis industry. Since May 21, when the Task Force was launched, 230 illegal cannabis stores have been padlocked. In addition, OCM reports that over 6,000 pounds of illicit product was seized from these stores. Since Governor Hochul signed into law the authority to conduct regulatory inspections, OCM and DTF have seized over 6,000 pounds of illicit product valued at $22 million — bringing the statewide total seized since May 2023 to over 25,000 pounds of illicit product valued at over $110,000,000.
I am pleased to join Mayor Adams and other officials to celebrate a milestone and recognize the enforcement teams who shut down more than 1,000 unlicensed stores statewide, bringing us closer to our goal of building the strongest, most equitable cannabis industry in the nation.”
OCM Interim Executive Director Felicia A.B. Reid said, “The Taskforce has been crucial in cracking down on illicit cannabis operators. Every day, OCM and our partners across the State, work hard to ensure a fair, safer, and equitable market for all, supporting New York’s legal cannabusinesses. I thank Governor Hochul for equipping the Taskforce with the tools and resources needed to uphold these values. I also want to acknowledge the broad public support for the Taskforce’s efforts, especially from those who have connected with us through OCM’s Incident Reporting Form online. Together, we can build and sustain a thriving, regulated, and inclusive cannabis market.”
Owner of The Cannabis Place Osbert Orduña said, “When I opened my dispensary, we were surrounded by illegal cannabis shops that were taking business away from those of us who went through the process and did things the right way. I stood with Governor Hochul earlier this year to express my support for shutting these shops down, and today, I'm proud to say she got the job done. Now, our community has access to legal cannabis, my sales are up 105 percent, and I'm hiring new staff to meet the increased demand.”
Owner of Matawana Leeann Mata said, “We have seen dramatic changes to our business ever since Governor Hochul took action to shut down illegal shops. Thanks to Governor Hochul, the visits to my shop have increased by 3,000 percent in the past 60 days, and this month, I've sold about 500 percent more product than in months before enforcement began.”
Further, legal cannabis sales are up 72 percent in New York City in the 10 weeks since enforcement actions began with retailers collectively reporting $2.6 million in weekly revenue growth over that period.
As the New York State Illicit Cannabis Enforcement Task Force rounds the two-month operational mark, OCM continues to prioritize hiring staff to manage investigations, hearings, and administrative support to bolster its statewide efforts to shut down stores.
To date, OCM has opened 152 legal dispensaries throughout the State, and this year alone, New York has issued 730 additional adult-use licenses. View the list of licensed dispensaries selling cannabis products grown by NY farmers and tested, packaged, and labeled in accordance with New York State’s regulated system.
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