California marijuana regulators announced Tuesday that they had awarded $4.1 Million to cities and counties throughout the state in support of local cannabis business licensing programmes working to address the unmet demand from consumers and to help curb the illicit marketplace.
In February, the Department of Cannabis Control launched a first-of its-kind program. It committed to providing a total of about $20 million to localities via its Local Jurisdiction Retail Grant. The first phase of this program is the $4.1 million that has been awarded to 18 jurisdictions.
In a press statement, DCC’s Acting Director Rasha Salma stated that the Local Jurisdictional Access Grant Program will provide access to regulated retail cannabis for more than 2 million Californians who currently live in areas where licensed cannabis retailers are not available. These grants will not only improve access for existing customers but also help establish legal pathways for legacy operators and social equity operators.
California Department of Cannabis Control has awarded $4 million to 18 cities or counties that have high consumption rates and little or no legal access to cannabis retail.
To view the award recipients and learn more about the Retail Access Grant visit: https://t.co/w6dKAod8pr pic.twitter.com/G0fLABKpsk
CA Department of Cannabis Control 20 June 2023 HTML0
The department noted that 870,000 of the $4.1million in phase one grant will be given to 14 localities who “propose to assist and provide licenses to equity applicant within their retail licensing program.”
Local governments can apply for grant money if they do not have a retail licensing program, but intend to implement one. Priority is given to jurisdictions that support equity-centric policies in licensing.
Localities who have chosen not to allow marijuana retailers and do not plan on licensing them in the near future are not eligible for grants. The grants are not available to jurisdictions with licensing programs or those that have approved retailers.
The phase one grant dollars will be distributed as follows:
|
Jurisdiction |
Base award Amount |
Equity Bonus funds |
Total Phase I Award |
|---|---|---|---|
| City of Riverside | $325,000 | $150,000 | $475,000 |
| Los Angeles County | $325,000 | $150,000 | $475,000 |
| City of Huntington Beach | $325,000 | N/A | $325,000 |
| City of Buena Park | $225,000 | $90,000 | $315,000 |
| City of Hawthorne | $225,000 | $90,000 | $315,000 |
| City of Lodi | $200,000 | $75,000 | $275,000 |
| Nevada County | $200,000 | $75,000 | $275,000 |
| City of West Sacramento | $175,000 | $60,000 | $235,000 |
| Claremont City | $150,000 | $45,000 | $195,000 |
| City of Montclair | $150,000 | $45,000 | $195,000 |
| City of Covina | $175,000 | N/A | $175,000 |
| City of Corcoran | $125,000 | $30,000 | $155,000 |
| City of Bell Gardens | $150,000 | N/A | $150,000 |
| City of Calabasas | $125,000 | N/A | $125,000 |
| City of Avenal | $100,000 | $15,000 | $115,000 |
| City of Sand City | $100,000 | $15,000 | $115,000 |
| City of Winters | $100,000 | $15,000 | $115,000 |
| City of Yreka | $100,000 | $15,000 | $115,000 |
|
Totals |
$3,275,000 |
$870,000 |
$4,145,000 |
DCC stated that grant recipients could use the money they receive to create retailer licensing programs. This includes hiring staff, contractors, organizing community engagement and outreach events, creating stakeholder workgroups and technical advisory committees and conducting economic and environmental studies.
According to the department, when phase two grants are processed through the program, additional funding can be awarded to eligible localities based on “the number of local retail licences that they have issued.”
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The California Governor’s Office of Business and Economic Development announced last month that it had awarded more than 50 million dollars in marijuana taxes-funded community reinvestment grant.
The funds were distributed to 31 local health departments, as well as community-based nonprofits that promote economic and social growth in areas affected disproportionately by the drug war.
The office has funded the grants for the fifth consecutive year. The cannabis tax dollars supporting the program have increased by $15 million in comparison to last year.
DCC also awarded nearly $20,000,000 in research grants funded by marijuana taxes to 16 academic institutions for the study of cannabis, including novel cannabinoids such as delta-8 THC, and genetics of “legacy strains” from the state.
California officials announced that they had awarded $15 million to local efforts in order to promote equity within the marijuana industry. GO-Biz distributed funds to 16 counties and cities across the state via the Cannabis Equity Grants Program. Late last year, applications for the program opened.
California has also taken steps to extend its marijuana market outside of the state’s boundaries. Regulators recently requested a formal opinion by the state attorney general’s office about whether allowing marijuana commerce between states would place the state at a “significant risk” for federal enforcement actions.
The governor’s signed law last year allowing him to sign agreements with other states that allow the importation and exportation of marijuana products.
Gov. Gavin Newsom, a Democrat from California, said last year that his goal is to have marijuana legalized at the federal level. This would allow the cannabis farmers in Newsom’s state to “legally provide the rest of the country.”
A state taskforce has also officially recommended that the legislature passes reparations legislation for compensating about two million Black Americans in total with a sum of nearly $228 Billion dollars, due to the racially-disproportionate harms caused by the war on drugs over a period of half a century.
In California, Assembly passed a bill recently to legalize marijuana cafés. This allows dispensaries to sell non-cannabis foods and drinks if local approval is received.
The Senate also approved a bill which would prohibit employers asking job applicants if they have ever used marijuana. The bill would expand employment protections passed last session, which prohibit employers from penalizing workers who use cannabis according to state law while off the clock.
Separately the sponsor of a Senate passed bill to legalize the possession and use of certain psychedelics in California said that advocates face a “challenging path” towards passage in the Assembly where an initial hearing in a committee is scheduled for the next week.
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Photo by California State Fair.
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