- Welcome to 2018! Congratulations to all of you for working so hard to make your canna-business dreams a reality! We are looking forward to the opportunities this new era will bring to the industry, and are excited to work with you to address the changes and challenges that lie ahead. We will be providing you with frequent email updates about important business opportunities, changes in regulatory framework, permitting and licensing requirements and more.
California State Cannabis Compliance
The State of California released their Emergency Medicinal and Adult-Use Cannabis Regulation Package. The order allows the Bureau of Cannabis Control to issue temporary cannabis business licenses while the package of regulations moves through administrative and legislative channels. The regulations establish three state cannabis-licensing authorities which are responsible for the licensing and regulation of cannabis.
California State Cannabis Licensing Authorities
Bureau of Cannabis Control (BCC) – A division the California Department of Consumer Affairs, the BCC is the lead agency responsible for developing regulations for medicinal and adult-use cannabis in California. The Bureau will issue licenses to retailers, distributors, third-party testing laboratories and microbusinesses.
Manufactured Cannabis Safety Branch (MCSB) – A division of the California Department of Public Health, MCSB will license manufacturers of cannabis products. This includes nearly all non-flower products (concentrates, edibles, oils, tinctures, topicals, etc.).
CalCannabis Cultivation Licensing – A division of California Department of Food & Agriculture, CalCannabis will license cultivators and implement the state’s Track-and-Trace system.
Temporary State Cannabis Licenses
A temporary license is a conditional license allowing a business to engage in commercial cannabis activity for an initial period of 120 days. A temporary license can only be issued if the applicant has valid license, permit, or other authorization issued by the local jurisdiction in which the applicant is operating. The Bureau is currently accepting applications and has begun issuing temporary licenses effective January 1, 2018.
Local authorization is required for the issuance of a state license. If applicants provide a local license, permit, or other authorization, the Bureau will contact the local jurisdiction to verify the information, and will allow 10 days for the jurisdiction to respond before issuing the license.
What documentation is required to apply for a temporary license?
CalCannabis Cultivation Licensing is responsible for licensing cultivators of commercial cannabis (medicinal and adult-use) and the implementation of the track-and-trace system to record the movement of cannabis through the distribution chain.
Below are the materials needed to process an application for a temporary state cultivation license:
- Documentation of Local Compliance – Applicants are required to submit a copy of valid license, permit, or other authorization from the local jurisdiction with the application for licensure. What constitutes authorization for each jurisdiction will vary. Please contact us for information relating to your specific local jurisdiction.
- Business Mailing Address
- License Designation – Apply under the Adult or Medicinal Use category. You will only be able to apply for the type of designation that you are authorized for according to your local authorization.
- Corporate or Individual Information for your Farm – Business Name, Employer Identification Number (EIN), Taxpayer ID, and/or Social Security Number.
Temporary Cannabis Manufacturing Licenses
The Manufactured Cannabis Safety Branch is responsible for regulating the manufacturers of cannabis products – this includes nearly all non-flower products (concentrates, edibles, oils, tinctures, topicals, etc.) – for both medical and nonmedical use.
Below are the materials needed to process an application for a temporary state manufacturing license:
- License Type – Specify whether you will be manufacturing cannabis products for the medicinal, adult-use or both markets.
- Applicant Information – Identify the person who is completing the application on behalf of the business who will sign the temporary license application on behalf of the business. This person should be the one receiving licensing information on behalf of the business, who is authorized to make decisions on behalf of the business and speak with MCSB about the application and business.
- Business Information – Information about the cannabis manufacturing business which will hold the temporary license.
- Legal Business Name –The name that the business has registered with the California Secretary of State.
- Trade Name – The name that the business uses for public operations.
- Federal EIN – The Federal Employer Identification Number (EIN) is a number issued by the IRS for identification and employment tax reporting, where applicable. If you are a sole proprietor, you may use your social security number.
- Business Mailing Address
- Premises Information – Information about the premises where your business will conduct commercial cannabis manufacturing activity.
- Operational Activities – Information about the type of manufacturing activities that are conducted at the premises and the type of products that are made. Identify all product types that you produce or plan to produce, activities performed and extraction methods used, if applicable.
- Local Authorization – Indicate the city or county which has jurisdiction over your manufacturing premises and the local office which issued your authorization to conduct commercial cannabis activity and provide contact information for the local entity where you received your local authorization.
Temporary Cannabis Retailer Licenses
The Bureau of Cannabis Control (BCC) is responsible for licensing retailers, distributors, testing labs and microbusinesses.
Below are the materials needed to process an application for a temporary state retail license:
- Applicant/Business Information – Select the appropriate license type and designation for the cannabis activity that will be conducted: Adult-Use (A-License), Medicinal (M-License).
- Business Organizational Structure – Identify your business organizational structure.
- Business Contact Information – If an individual, the first and last name of the applicant must be provided. If the applicant is a business entity, then the full legal business name is required. Provide the physical address of the premises, and the mailing address if it is different. Provide the business website address, email address, and telephone number.
- Social Security Number/Individual Taxpayer Identification Number/Federal Employer Identification Number – Provide a valid United States Social Security Number (SSN), an Individual Taxpayer Identification Number (ITIN), or a Federal Employer Identification Number (FEIN).
- Primary Contact Person – The primary contact is the individual who is designated as the person the licensing authorities can contact for information regarding the business. The applicant must provide the primary contact’s name, title, telephone number, and email address.
- Owner Information – An owner is defined as a person with an aggregate ownership interest in the commercial cannabis business of 20 percent or more, unless the interest is solely a security, lien or encumbrance.
- Documentation of Local Compliance – Submit a copy of valid license, permit, or other authorization from the local jurisdiction with the application for licensure.
- Evidence of Legal Right to Occupy – If the applicant owns the property, a copy of title or deed must be provided. If the applicant does not own the property, a statement from the property owner that the applicant has the legal right to occupy the property to perform commercial cannabis activities and a copy of the applicant’s rental agreement must be provided.
- Required Attachments/Documents – Premises Diagram. Applicants are required to provide a diagram of the premises, which must be drawn to scale and clearly identify the items below:
- Boundaries of the property.
- Dimensions, entrances, and exits.
- Interior partitions, walls, rooms, windows, doorways, and common or shared entryways.
- Breakrooms, changing facilities/bathrooms, which must be separate from storage areas.
- Type of cannabis activity that will be conducted in each area.
- Numbering and location of all cameras.