Where do you apply for a license?
Cultivation: Department of Food and Agriculture
Manufacturing: Department of Public Health
Distribution, Testing and Retail: Department of consumer affairs.
When can I apply for a license?
The above agency would not accept any application till 1/1/2018. /strong>
How long will a license last before it must be renewed?
All commercial cannabis licenses will be valid for one year.
What is the cannabis track and trace system?
The California Department of Food and Agriculture (CDFA) is developing a track and trace system for both medicinal and adult use cannabis that all commercial cannabis licensees in CA will be REQUIRED To use.
How will it work?
This system will record the movement of cannabis and cannabis products through the supply chain – from cultivation to sale –, which will help ensure that if a public safety concern arises, the source will be identifiable. The track and trace system also will help prevent black market cannabis products from entering the regulated market, and likewise help prevent regulated cannabis products from being diverted to the black market.
Will there be different rules for medicinal and adult use (recreational) cannabis? Business and Professional code 26050 (b) ?
Each product must be clearly labeled and differentiated as medicinal or adult use (recreational) products.
Is cannabis considered an agricultural crop in California?
California defines medicinal and adult use cannabis as an agricultural product.
What is a temporary license? Business and Profession code 26050.1.
A temporary license is a conditional license that allows a business to engage in commercial cannabis activity for a period of 120 days. The Bureau intends to start issuing temporary license as of 1/1/2018. The Bureau can only issue a temporary license if the applicant has a valid license, permit or other authorization issued by the local jurisdiction in which the business intends to operate.
What is required for a temporary license?
- Local Jurisdiction authorization. A copy of a valid license, permit or other authorization issued by local jurisdiction.
- Name: The name of the applicant requesting the license, individual or business.
- License type requested – Distributor, retailer, Microbusiness, or Testing Laboratory
- Licenses designation requested: A for adult use or M for medicinal
- Contact information- Designated primary contact including first and last name, title, address, phone number and email address.
- Owners: For each owner that meets the criteria of Business and Professional Code section 26001, all the owners name, mailing address and email.
- Physical address: Location of the proposed premises
- Authorization to use location: Title or deed or lease that indicates the applicant has the right to occupy the property and may use the property for commercial cannabis activity
- Premises Diagram. A diagram of a business layout
- Individual holding a state testing laboratory license are prohibited from licensure of any other activity
- Licensed premises may not be within 600 ft of a school
- Applicants may not have any felony conviction
What is the general licensing information?
- In compliance with their local law
- Businesses have 60 days to report back to see if the business is in compliance with local rules and regulation
- All license are required to document their standard operating procedure – operating procedure for cultivation, extraction and infusion, transportation, inventory, quality control, security protocols, if cultivation, source of water
- A complete detailed diagram of the proposed premises
- A complete list of every individual with financial interest in the person applying for a license.
- Individuals are not allowed to have any interest in multiple licenses, licensees, or person with financial interest.
What is the California cannabis taxation?
$9.15 per ounce of flower
$2.75 per ounce for leaves
15% retail tax
What are the different cultivation licenses? Business and Professional Code 26061
- Specialty Cottage outdoor ($65) – an outdoor cultivation site with up to 25 mature plants
- Specialty Cottage indoor ($100) – an indoor cultivation site with 500 square feet or less of total canopy
- Specialty cottage Mixed Light ($285) – a mixed light cultivation site with 2500 square feet or less of total canopy
- Specialty outdoor ($130) – an outdoor cultivation site with les than or equal to 5000 square feet of total canopy, or up to 50 mature plants on noncontiguous plots
- Specialty indoor- ($1070) – an indoor cultivation site between 501 and 5000 square feet of total canopy
- Specialty Mixed Lights ($555)- an indoor cultivation site between 2501 and 5000 square feet of total canopy
- Small outdoor $265- an outdoor cultivation site between 5001 and 10000 square feet of total canopy
- Small indoor – ($1935) – an indoor cultivation site between 5001 and 10000 square feet of total canopy
- Small mixed –light ($1105) – a mixed light cultivation site between 5001 and 10,000 square feet of total canopy
- Medium outdoor ($765) – an outdoor cultivation site between 10,001 square feet and one acre of total canopy
- Medium indoor ($4260) – an indoor cultivation site between 10,001 and 22,000 square feet of total canopy
- Medium Mixed light ($2,435)-a mixed light cultivation site between 10,001 and 22,000 square feet of total canopy
- Nursery ($60) – cultivation of cannabis solely as a nursery, and
- Processor ($310) – a cultivation site that conduces only trimming, drying, curing, grading or packaging of cannabis and non-manufactured cannabis products.
What are the requirements for the cultivation license application? Business and Professional code 26060.
- Must show operating in compliance with, or that their location will comply with, applicable local laws, and that they have obtained necessary local and permits and approvals.
- If water will be supplied by a retail water supplied , the applicant shall identify the water supplier
- If the water supply includes a diversion with the meaning of section 5100. the application shall identify the point of diversion and the maximum amount to be diverted.
- If water will be supplied form a ground water extraction , the applicant must identify the location of the extraction and the maximum amount to be diverted for cannabis cultivation in any year.
- The Department of Food and Agricultural shall include in any licenses for cultivation :
- Conditions requested by the Department of Fish and Wildlife and the State Water Resources Control board
- Make sure that the instream flow does not affect the flow for fish spawning, migration and rearing, and the flows needed to maintain natural flow variability.
- Compliance with section 1602 of the Fish and Game Code
- Applicant’s owners will need to provide the state with a detail description of any criminal convictions, excepting juvenile adjudications and traffic infractions. Cultivation license applicants must provide a statement for each conviction.
- Applicants must provide that they have a right to occupy and use the location they are proposing as their cultivation site. Owner (a copy of title or deed): Not owner (a document from owners that the applicant has the right to use the property for commercial cannabis cultivation, property owners mailing address, phone number, a copy of the rental agreement.
- All cannabis cultivation sites must be located at 600-foot radius from a school as defined by section 11362.768 of the Health and Safety Code.
- Applicants also need to show they have a valid seller’s permit, or are currently applying for a seller’s permit
- A surety bond for at least $5000 payable to DFA (Dept. of Food and Agriculture)
- Have a permit issued by the applicable Regional Water Quality Control board or State Water Resources Control board ( proof that water for cultivation is properly sourced)
- Have conducted a hazardous materials record search of the Envirostor database for the proposed premises..
- Priority review of the application shall be given to applicants that were in operation (applicant began actively (engaging in the transportation, distribution, testing or sale of medical cannabis) conducting the same commercial cannabis activity as the license type for which the application is applying. and in good standing with the local jurisdiction by 1/1/2016.
- If the applicant merely had an entity formed by 1/1/2016, or were operating in contravention of local law, the applicant WILL NOT qualify under the proposed law.
- If the cultivation business was in operation prior to 1/1/2018, it might continue to operate while its application is pending if completed application is submitted to DFA no later than 5 p.m. PST on July 2, 2018.
- If the application is denied, the applicant must cease operating until a license is obtained.
- Other than Type 3 (medium sized) cultivation, the DFA will not restrict the total number of cultivation licenses a person is authorized to hold, so long as that person’s total licensed canopy does not exceed four acres.
- The rules provide that multiple cultivation licenses and license types may be located on the same property, BUT each licensed premises must have a unique entrance and immovable physical barriers between each uniquely licensed premises.
- Individuals holding a state testing laboratory license are prohibited from licensure for any other activity
- Licenses premises may not be within 600 feet of school
- Applicants may not have nay felony convictions involving violence fraud, deceit, embezzlement, employee activity related and more
What are the requirement for a Distributor of cannabis?
- A distributor may take title and possession of medical cannabis after harvest but prior to manufacturing. A distributor may sell the medical cannabis to a manufacture or enter into a contract with a manufacturer for manufacturing the medical cannabis into medical cannabis products
- Distributors are responsible for transporting cannabis to a licensed testing laboratory and make arrangements for testing and pickup for final delivery to a licensed cannabis dispensary.
What are the requirement for a Transporter of cannabis?
- A transporter, who is licensed by the bureau of medial cannabis regulation, may transport medical cannabis goods between licensees.
- The transporter can not transport or distribute cannabis or cannabis products outside the state, unless authorized by FEDERAL law.
What are the grounds for disciplinary Action? Business and Professional Code 26030-26038
- Failure to comply with the provision of this division
- Failure to comply with the city and local regulating
- Failing to comply with any state law including but not limited to the payment of taxes as required under the Revenue and Taxation code
- Knowing violation of any state or local law, ordinance, or regulation conferring worker protection or legal rights on the employees of a license
- Failure to comply with the requirement of a local ordinance regulating commercial cannabis activity
- The intentional and knowing sales of cannabis products by an A license to a person under 21 years of age
- The intentional and knowing sale of medicinal cannabis or medicinal cannabis products by an M license to a person without a prescription (why)
- Failure to maintain safe conditions for inspection by a licensing authority
- Failure to comply with any operation procedure submitted to the licensing authority
- Failure to comply with license conditions established
Can any adult 21 and over walk into a dispensary after January 2018 and purchase cannabis?
Any adult 21 and over may purchase non-medical cannabis if the dispensary has complied with all the requirements and has acquired all local and state licenses.
Will people be able to smoke nonmedical cannabis anywhere?
NO, The initiative prohibits consumption of cannabis in a public place unlicensed for such use, including near K-12 schools, on sidewalks, and other area where children are present.
Will my medical cultivation license work for nonmedical grow?
No medical cultivation license is not valid for producing non-medical product. However a licensed medical cultivator could also obtain a non-medical cultivation license under Business and Professional Code section 26053. provided that the site meets all the requirement for both medical cannabis and the initiative.
Who regulates edibles? (Not considered a food or a drug, per H&S codes)
The Manufactured cannabis Safety branch, operating under the California Department of Public Health (CDPH) is responsible for regulating the manufacturers of cannabis infused edibles for both medical and nonmedical use.
Would a qualified medical cannabis patient or primary caregiver need a license?
No, a qualified patient who cultivates, possesses, processes or transport medical marijuana exclusively for his or her personal medical use is not required to get a license. Primary caregiver who provide care to five or few medical cannabis patients are also not required to be licensed I they are compliant with the Act.