Posts in business licensing
Michigan Cuts Off Cannabis Caregivers
Michigan Cuts Off Cannabis Caregivers
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Starting October 1st, 2020, Michigan will prevent licensed caregivers from selling cannabis to the legal market. Michigan’s Marijuana Regulatory Agency plans to cut off the caregivers in order for the market to work itself out. Originally, caregivers were allowed by the state to provide cannabis to up to five medical cardholders. To overcome a shortage of cannabis, they also allowed caregivers to sell to licensed growers and processors. Today, Michigan has nearly 200 licensed medical cannabis growers.

“We have always put patients first when we make decisions regarding medical marijuana,” MRA Executive Director Andrew Brisbo said in the bulletin. “This phase out process is an important next step in implementing the will of Michigan voters and making sure that patients continue to have access to their medicine.”

Beginning Sunday, growers and processors were prohibited from obtaining marijuana plants, concentrates, vape cartridges, and infused products from caregivers. Growers and processors will be permitted to continue buying unlimited flower from caregivers until May 31. From June 1 to Sept. 30, a commercial grower can only obtain caregiver-grown marijuana flower that weighs less than or equal to 50% of the total weight of flower that the commercial grower harvests. The final phase is Oct. 1, when growers can no longer obtain flower from caregivers.


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

Cannabis Scandal | Pasadena, CA
Cannabis Scandal | Pasadena, CA
 
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In 2019, Pasadena, California accepted business applications and rewarded 6 Cannabis Retail Licenses. Critics now say that the local regulators reviewing these applications have violated the process that they created.

Scoring Structure

  • Three independent scorers must score each cannabis application

  • Scores were then totaled and averaged

  • The top 6 applications will be rewarded licenses

HDL Companies, a cannabis tax consulting firm, was hired to oversee the application process. Applications show only one independent scorer’s signature, not three. The scores were then “reviewed,” and later signed, by the firm’s “marijuana compliance manager,” who was in contact with each team member during weekly conference calls, erasing any notion of scorer independence.

There are currently four lawsuits challenging the results of the application process and two city councilpersons have recently begun raising red flags about the city’s selection process.


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

California to Open More Medicinal Cannabis Stores
California to Open More Medicinal Cannabis Stores
 
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Assembly Member Ting brought new life back into a bill that will require California cities that voted for Proposition 64 to open medical cannabis stores. Assembly Member Ting stopped AB-1356 during the last legislative session after the League of California Cities opposed the bill. The bill is scheduled for a third vote in the Assembly. 

An analysis of the legislation indicates that 76% of Californian cities ban medical storefronts as well as 69% of the counties. Assembly Member Ting believes that the legislation will help curb the black market and promote access to medical cannabis products.

The number of medical cannabis stores that a city will be required to open will be based on the active number of liquor store licenses in the city. The amended bill reduced the number of medical cannabis permits that a city must offer from 25% of liquor store licenses to 16.6%. If the number results in a ratio greater than one than the city can limit the number of stores to one for every 15,000 residents in the city.

Cities that obtained a ballot vote on cannabis businesses on or after January 1, 2017 are exempt from this requirement. The bill also allows a city to reduce the number of required medical cannabis stores if a majority of voters support a ballot measure that contains an ordinance limiting medical cannabis dispensaries in the next upcoming election.


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

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Eaze Announces Vertical Operations Plan
Eaze Announces Vertical Operations Plan
 
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EAZE ANNOUNCES $35 MILLION INVESTMENT TO LAUNCH VERTICAL OPERATIONS AND INCREASE CANNABIS ACCESS FOR 600,000+ CUSTOMERS

Reports 71 Percent Annual Increase in Overall Deliveries and 74 Percent Annual Increase in First-Time Deliveries

Eaze, California’s largest legal cannabis marketplace, announced today it has closed a $20 million investment and secured the ability to raise up to an additional $20 million to complete its Series D funding, inaugurating Eaze’s verticalization and brand strategy to expand access to safe, legal, and affordable cannabis products.

The $20 million from Series D investors -- led by FoundersJT LLC -- joins a $15 million bridge round led by Eaze key stakeholders, Rose Capital and DCM.

Eaze Chief Executive Officer Ro Choy said, “Verticalization is Eaze’s second act. Until now, we’ve invested in proving our market fit, building an enormous and loyal customer base, and becoming California’s biggest marketplace for legal cannabis delivery. Now, we’re proving we can make this business work in a more sustainable and profitable way, while continuing to grow Eaze’s existing services.”

In January, Eaze acquired DionyMed Brand’s rights to retail licensee Hometown Heart (HTH) depots in Oakland and San Francisco, and now has oversight of HTH’s day-to-day operations. In the coming weeks, Eaze will launch its own line of consumer brands in partnership with local licensees while continuing to support a broad array of independent, world-class California brands and independent licensed retailers across the state.

Despite challenges to California’s legal cannabis industry, the company experienced significant growth in 2019, as reported in the latest Eaze Insights: State of Cannabis Report. Highlights for 2019 include:

  • 97% annual increase in new sign-ups

  • 74% annual increase in first-time deliveries

  • 71% annual increase in overall deliveries

  • 104% annual increase in customers age 50+

Eaze also announced the promotions of Megan Miller to Chief Operating Officer and John Curtis to Chief Financial Officer. Miller, who previously served as Eaze’s Vice President of Finance and Marketplace, brings a unique combination of deep financial planning skills and comprehensive understanding of Eaze’s business to her new role. Curtis, who has served as interim CFO since October 2019, has been instrumental in sizing Eaze’s business and charting the company’s path forward to verticalization.

To-date, Eaze has supported over five million legal deliveries, has 600,000 registered customers, and features more than 100 licensed brands through its network of retail partners.

About Eaze

Eaze, California’s largest marketplace for legal cannabis, connects adult consumers with licensed retailers and products. Eaze is on a mission to enhance safe access to legal cannabis, educate people about cannabis as a tool for wellness and drive smart cannabis policies. www.eaze.com.


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

Improvements to SF Cannabis Retail Map
Improvements to SF Cannabis Retail Map
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Click here for the improved storefront retail map

This map was designed by SF Planning, in partnership with Digital Services and the Office of Cannabis. The map allows anyone to view all proposed permit locations, and help applicants find a location zoned for cannabis businesses. The map view has been redesigned for a new overall look and feel, with new features making it more usable.  We anticipate the new map will be active Monday evening.  
 
Easier to see information at a glance

  • Mobile friendly

  • Permit and zoning colors are more see-through, so you can read the map underneath

  • Permit status labels are more direct and clear

  • New colors for permit status, so you can tell them apart when they overlap

 
Easier to tell if a location is eligible for a permit

  • See a 600 foot buffer for any location on the map

  • Notification appears when you select a location within the buffer distance of a school or an approved permit location

  • See information on multiple permits in the same parcel

  • Permit status and zoning permissions are defined on the map

 
 See immediately relevant information for each location

  • Convert parcels to addresses 

  • See a list of schools or other cannabis storefront applications within any location’s 600 ft buffer

  • More detailed permit information, including for Existing MCDs

  • See locations by SF neighborhood or supervisor district

 
This map has a layer for 600 ft buffers around schools and other cannabis storefront applications. Applicants cannot be within 600 ft of a school or another cannabis storefront. Applicants can still apply for the location if there are other applications in progress, but ultimately only one business can be approved.
 
The map should only be used for estimation purposes. You must contact SF Planning to confirm if you can have a cannabis storefront at the location you want.
 
We welcome any feedback regarding your experience on using the map. Please email  to submit your feedback.


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

California Looking to Crack Down on Illegal Commercial Cannabis Activity
California Looking to Crack Down on Illegal Commercial Cannabis Activity
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In California, black market cannabis is over a billion-dollar industry with lines blending between the legal and illegal market. Currently, the law states that any person caught engaging in unlicensed commercial cannabis activity may be fined three times the amount of the California state licensing fee or is determined by the business’ revenue. Blanca Rubio, a California Assemblywoman (D-Baldwin Park), looks to introduce new legislation that would increase the fines to $30,000 for each offense of those caught “aiding and abetting” illicit commercial cannabis activity.

“California’s illicit cannabis industry accounts for nearly 75 percent of all cannabis sales in the state, enticing often unknowing consumers with seemingly harmless products at lower prices, but the danger lurks beneath the surface,” she said. “I introduced (Assembly Bill) 2122 to help the state hold illegal operators accountable and protect California consumers from the serious health risks found in the untested and unregulated products from the illicit market.”

-Rubio (D-Baldwin Park)

As we know, unlicensed cannabis products are not subject to state testing standards, leading to potentially dangerous products being sold. Assembly Bill 2122 would crack down on businesses that support unlicensed cannabis operators.

California has had its fair share of cannabis seizures and raids on illegal commercial cannabis activities in Los Angeles and the entire state. The bureau is seeking to make it mandatory for cannabis retailers to display a QR code that provides consumers with licensing information.

“AB 2122 would put another tool in our enforcement toolbelt that we can use to limit access to the untested, untraceable, untaxed and often dangerous products flowing through illicit stores every single day,” said UCBA President Jerred Kiloh in a statement. “The size and scope of the illicit market is the number one issue facing California cannabis, posing not only an existential threat to the industry itself, but also putting the health and wellbeing of Californians at risk, it simply cannot be ignored – we look forward to supporting the assembly member in advancing this critical solution.”

Rubio’s bill drew support from industry group, the United Cannabis Business Association.


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

Cannabis Legislation History
Cannabis Legislation History
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The Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA), which was signed into law in June 2017, creates the general framework for the regulation of commercial medicinal and adult-use cannabis in California. The text of MAUCRSA is available on the California Legislative Information website.

MAUCRSA also established a dual licensing structure in which both the state and local governments participate in setting guidelines and public health standards for the industry. The state sets minimum requirements that all licensees must follow, and local governments are able to set additional requirements.

Cannabis Legislation Timeline

2017 – The California State Legislature passed a budget trailer bill, Senate Bill 94, that integrated MCRSA with AUMA to create the Medicinal and Adult‐Use Cannabis Regulation and Safety Act (MAUCRSA). Under MAUCRSA, a single regulatory system governs the medicinal and adult-use cannabis industry in California.

  • Senate Bill 94

  • Assembly Bill 133

2016 – California voters passed Proposition 64, the Adult Use of Marijuana Act (AUMA). Under Proposition 64, adults 21 years of age or older can legally grow, possess, and use cannabis for non-medicinal purposes, with certain restrictions. Additionally, AUMA also made it legal to sell and distribute cannabis through a regulated business as of January 1, 2018.

  • Proposition 64 

  • Proposition 64 Official Title and Summary

2015 – The legislature passed the Medical Cannabis Regulation and Safety Act (MCRSA), a series of three bills that created a state licensing and regulatory system for the existing medical market. MCRSA also established the state’s three cannabis licensing authorities – (Bureau of Cannabis Control, CalCannabis Cultivation Licensing, and Manufactured Cannabis Safety Branch). These bills were repealed when MAUCRSA was passed in 2017.

  • Assembly Bill 266

  • Assembly Bill 243

  • Senate Bill 643

1996 – California voters passed Proposition 215, the Compassionate Use Act (CUA) – the first voter-approved state ballot initiative for medical marijuana in the United States. CUA allowed qualified patients and approved caregivers to possess and cultivate medical cannabis and ultimately led to the formation of collectives and cooperatives to serve medical patients throughout the state.

  • Proposition 215

  • Senate Bill 420

Additional Cannabis Legislation 

To search for additional cannabis legislation and bills not included in the section listed above, please visit the California Legislative Information website. 


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

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Chula Vista to Accept Cannabis License Applications
Chula Vista to Accept Cannabis License Applications
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The City of Chula Vista has adopted local laws that authorize licensed cannabis retail, manufacturing, testing, distribution, and cultivation businesses to operate in Chula Vista.

Updates

  • For your information, the City of Chula Vista anticipates opening another Application Period for manufacturing, distribution, cultivation, and testing laboratories in late February or early March 2020. The city is also exploring the possibility of a reduced application fee for those who have previously submitted a substantially similar application with the City of Chula Vista.

  • On January 15, 2019, the City Council set the tax rate for cultivation at $15 per square foot of canopy and 7% of gross receipts on all other cannabis businesses.

Cannabis License Applications

Previous Updates:

Update on Phase I Application Process (January 22, 2020)

Chula Vista has recently begun to issue Notice of Decision letters. Applicants receiving Notice of Decision letters have the right to appeal to the City Manager in accordance with Chula Vista Municipal Code section 5.19.050.A.6. The city will post a list of applicants that have been approved to move on to Phase II of the application process in the coming weeks.


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

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