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Allows Medical marijuana?: Yes

Allows Adult-Use marijuana?: Yes

2018 Medical Sales : $294,000,000

2022 Projected Medical Sales : $133,000,000

2018 Adult Use Sales : $3,100,000,000

2022 Projected Adult Use Sales : $7,600,000,000

Noteworthy Information: 
{{COVID-19 Update: cannabis industry deemed essential and allowed to remain open with physical distancing. https://covid19.ca.gov/stay-home-except-for-essential-needs/ Local regulations may apply, such as requiring curbside only. }}

On October 12th, 2019, Gov. Gavin Newsom signed AB 37, which beginning next year, will permit state deductions for cannabis companies that file their taxes as sole proprietors or partnerships. California has approved adult-use cannabis. The state has had some form of medical cannabis laws since 1996, but until now there has been no state regulatory oversight. The California State Legislature passed a bill in June 2017 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 medical and adult use cannabis industry in California.

Is there a Regulatory Structure? (State Agency): Yes (There are over a dozen state agencies involved)

# of Dispensaries Allowed (# issued): N/A (Currently, all cannabis businesses in California are administered – if at all – by the city or county they are in. Accurate numbers are impossible to compile. State agencies are working on writing regulations that will have more details about how many and how often licenses will be available.)

# of Cultivations Allowed (# issued): N/A

# of Manufacturers Allowed (# issued): N/A

# of Testing labs Allowed (# issued): N/A

Geographic Distribution of Licenses: N/A

Application Fee: 
$1,000 per application (There is no fee to apply for a temporary license)
Cannabis Event Organizer License $ 1,000
Temporary Cannabis Event License $ 1,000
Physical Modification of Premises $ 500

Licensing Fees: 

Residency Requirements: 

Vertical Integration Allowed, Required or Prohibited: 
There are currently no rules at a state level in effect. When MCRSA and AUMA go into effect, it will be generally allowed, but the details are complicated.

Medical Marijuana Qualifying Patient Conditions: 

Testing Required: 
(It will be, but is not currently)


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