ROCHESTER, N.Y. — State officials will soon celebrate the opening of New York’s 500th adult-use cannabis dispensary on Friday. The ribbon-cutting ceremony at Green Comfort Dispensary on South Clinton Avenue marks a significant milestone for the state’s cannabis industry.

Despite this milestone, the rollout of legal cannabis in New York has faced challenges. Issues included understaffing and changing regulations within the Office of Cannabis Management, as well as legal challenges related to social equity licensing. These licenses prioritized entrepreneurs who had been negatively impacted by the country’s war on drugs.

READ MORE: Local dispensary owners frustrated as state delays opening despite issued license

Ensuring the sale of legal and safe cannabis has been a priority, with efforts to crack down on unlicensed stores selling cannabis.

Businesses like Green Comfort are contributing to more than $100 million in annual tax revenue, which is expected to grow. The state has even surpassed $2 billion in cannabis sales.

So where does that revenue go? Revenue from cannabis sales first goes into the Cannabis Revenue Fund to cover organizational fees, officials said. Approximately 40% of the funds go towards education, another 40% to community grants, and the remaining 20% to drug treatment programs.