California Announces Cannabis Rules

California’s cannabis legalization law is set to go into effect beginning January 1, 2018. Suffice to say, a lot of people are excited.

It’s been just over a year since voters in the Golden State approved Proposition 64. And while that may seem like a long time to get regulations on paper, rule-makers feel differently. Nevertheless, January 1st IS the deadline, and the deadline must be met.

Yesterday, the State released a flurry of emergency regulations which are meant to provide a path for growers, distributors and sellers to apply for temporary licenses in the nation’s largest economy. California’s behemoth cannabis market is expected top out at around $7 billion.

Among the more worrisome proposals appears to be limits on some grow operations, but not others.

From the LA Times:

“At one time, 4 acres was under consideration, but preliminary information from the state earlier this week indicated a maximum 1-acre cap would be set on most cultivators.

“But the regulations issued Thursday did not include that language, instead placing limits on only certain medium-sized growers’ licenses. Beyond those, ‘there is no limitation for the other categories of licenses,’ Steve Lyle of the state Department of Food and Agriculture said in an email.

“Hezekiah Allen, Executive Director of the California Growers Association, an industry group, said the rules appeared to allow large businesses to obtain ‘as many licenses as they could afford,’ opening the way for vast cannabis grows that could threaten the viability of small farms, long the backbone of the state industry.”

California regulators definitely have their work cut out for them. The Bureau of Cannabis Control, which is responsible for creating the rules, will be holding stakeholder meetings across the state over the coming weeks. I’m guessing they will hear some extremely loud feedback.

The International Cannabis Business Conference (ICBC) keeps you informed of the most up-to-date in emerging cannabis regulations. Join us at our next conference in Kauai, Hawaii, on December 1-3, 2017 and get a leg up on your competition and the following ICBC in San Francisco, California, on February 1-2, 2018. Get your tickets now!