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The Final Countdown for Cannabis Licensing

Samuel D, Berns Nov. 14, 2017

We have begun the final countdown to commercial cannabis licensing in California. The state of California is maintaining that they will release the draft guidelines for cannabis licensing by the end of this month, and will then fast track those regulations as well as getting application materials out by late December. The state’s goal is to begin issuing temporary licenses on January 2, 2018.

In preparation for the new guidelines being released, the California Department of Food and Agriculture just yesterday released an environmental impact report that added a piece to the puzzle of what you will need to get a cultivation license. The requirements are very likely to include the following:

  • A business plan that covers storage, waste removal, track and trace compliance, storage and packaging, and details of your cultivation procedures and how they will comply with environmental regulations.

  • Proof of water and power sources.

  • Background checks.

  • A bond of at least $5000 and insurance of at least $1 million.

  • Seller’s permit and a cannabis sales permit so the additional cannabis tax can be applied; both go through the Department of Tax and Fee Administration, formerly an arm of the Board of Equalization.

  • Environmental inspections for proof of compliance with your regional water board’s requirements.

  • Professionally drawn architectural and security plans for your site.

We are moving from cannabis being one of the least regulated areas of business in California to it being quite possibly the most regulated. Get yourself ready to transition. Call today for a consultation.