The state of California is taking a unique approach to expanding retail access to cannabis, as well as giving a slight boost to local social equity programs, by funding a $4.1 million grant program to assist municipalities with the infrastructure needed to license retailers.
According to a press release from California’s Department of Cannabis Control, the 18 jurisdictions receiving grants can use the funding to develop retailer licensing programs, including drafting and adopting ordinances, hiring staff and contractors, holding community outreach and engagement events, forming stakeholder workgroups or technical advisory committees, conducting economic studies and environmental reviews, developing application forms or online application portals, and processing and issuing cannabis retail licenses.
The base grants range from $100,000 to $325,000, with 14 of the 18 jurisdictions qualifying for a social equity bonus of $15,000 to $150,000 if they proposed to assist and issue licenses to equity applicants within their retail licensing programs. The 18 grant recipients are establishing retail licensing pathways for the first time in their jurisdiction.
“The Local Jurisdictional Retail Access Grant program will help provide access to regulated cannabis retail for over 2 million Californians that currently live in an area where access to licensed cannabis retail businesses is insufficient,” said Rasha Salama, acting director of the Department of Cannabis Control. “In addition to improving access to existing customers, these grants are another important step towards establishing legal pathways for legacy and social equity operators.”
The 18 grant recipients, along with the amount received and, if applicable, the equity bonus, were: Riverside ($325,000/$150,000), Los Angeles County ($325,000/$150,000), Huntington Beach ($325,000/NA), Buena Park ($225,000/$90,000), Hawthorne ($225,000/$90,000), Lodi ($200,000/$75,000), Nevada County ($200,000/$75,000), West Sacramento ($175,000/$60,000), Claremont ($150,000/$45,000), Montclair ($150,000/$45,000), Covina ($175,000/NA), Corcoran ($125,000/$30,000), Bell Gardens ($150,000/NA), Calabasas ($125,000/NA), Avenal ($100,000/$15,000), Sand City $100,000/$15,000), Winters ($100,000/$15,000) and Yreka ($100,000/$15,000).
Phase I funding was prioritized for areas where national surveys find high cannabis consumption but where there is little to no access to legal cannabis retail. Jurisdictions will be able to apply for additional, Phase II funding based on the number of local retail licenses they have issued.
— Garrett Rudolph