Ulster County is seeing higher-than-expected tax revenues from adult-use cannabis sales, though inconsistent communication from New York State’s Office of Cannabis Management (OCM) has created problems in reporting and revenue distribution.
A report from County Comptroller March Gallagher shows Ulster has collected over $615,000 in cannabis tax revenue since the program’s launch, with 75% distributed to municipalities and the county retaining roughly $154,000. So far in 2025, the county has received nearly $72,000, which is 55% of the year’s projected total — suggesting it will exceed its budget target.
Ulster County has eleven cannabis dispensaries — we reviewed them all.
Some municipalities complained of being left high and dry after State-level reporting issues caused overpayments and underpayments to towns and cities, forcing the county to revise allocations after receiving updated figures. Comptroller March Gallagher urged the OCM to release timely, municipality-level sales data to prevent further errors.
The report also called for changes in how the county records cannabis revenues and noted unresolved issues, including unverified tax payments from 2024 events in New Paltz and unexplained small transfers from the state.
Despite the challenges, cannabis sales continue to grow, providing a valuable revenue stream for local governments and supporting job creation in the region.
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