California Establishes the Department of Cannabis Control

After delays caused by the COVID-19 pandemic, California has officially established the Department of Cannabis Control. While the Bureau of Cannabis Control previously oversaw most cannabis businesses, the Department of Food and Agriculture had jurisdiction over cultivation, and the Department of Public Health oversaw cannabis manufacturing. Now, these three agencies have consolidated cannabis aspects and the Department of Cannabis Control (DCC) will now be the primary Department to license and regulate commercial cannabis activity within California.

The below information is the most recent update from the Department of Cannabis Control:

Governor Newsom signs Cannabis Trailer Bill, creating the Department of Cannabis Control

The Department of Cannabis Control (DCC) was established July 12, following the signing of Assembly Bill (AB) 141. DCC consolidates the three state cannabis programs – the Bureau of Cannabis Control, CDFA’s CalCannabis Cultivation Licensing Division, and CDPH’s Manufactured Cannabis Safety Branch – into a single, new state department. Governor Newsom has appointed Nicole Elliott to lead DCC as its first Director.

While a global pandemic delayed the implementation of DCC, the approval of AB 141 reflects a persistent commitment to move toward a unified approach to regulating cannabis in California.

Now that we have created a single point-of-contact, we begin the process of streamlining licensing and regulations so we can better serve Californians. We will create as much continuity and consistency as possible as we transition into DCC. Our teams will continue to serve and work with you in the same ways. We will also continue to use the current licensing systems.

The timeline below shows what has happened so far this year:

Cannabis Trailer Bill

AB 141, the cannabis trailer bill, made changes to state law needed to create DCC along with the following changes:

Changes references in state law from the three state licensing authorities to DCC
Modifies the timelines and requirements related to provisional licensing
Creates a Deputy Director of Equity and Inclusion to lead DCC implementation of the California Cannabis Equity Act and incorporate equity and inclusivity throughout DCC’s programs
Allows licensees to provide trade samples to other licensees to market cannabis and cannabis products after DCC adopts regulations governing these processes
Allows DCC to use emergency regulations to consolidate the regulations previously adopted by the three cannabis programs and make clarifying or consistency changes
Requires DCC to post information on its website beginning January 1, 2022, related to license suspensions and revocations, final decisions, and county of license issuance

Website

We relaunched the California Cannabis Portal, www.cannabis.ca.gov. It includes expanded information about cannabis license application, business types, regulations and consumer information. Take the survey on our homepage to share your feedback and tell us what other content would be most helpful for you.

How Does Consolidation Effect You?

For now, you do not need to take any specific action. We will share additional information during the coming days and weeks, including updated contact information and answers to common questions.

Old email addresses for staff will redirect to their new DCC email address for several months. If your point of contact changes, we will provide updated contact information.

Cannabis businesses

Your license or license application transferred to DCC automatically. You do not need to submit a new license application. Your current license is still active, even if your license certificate lists the old licensing authority’s name. Your license will still expire at the time listed on your license certificate. Email licensing@cannabis.ca.gov with any license or application questions or info@cannabis.ca.gov with general questions.

Local governments

DCC staff will continue to email your office regarding applications to confirm compliance with local requirements. Email locals@cannabis.ca.gov to update your point of contact or send us a copy of your most recent ordinance.

Law enforcement

You can continue to coordinate investigations or complaints with your existing points-of-contact. Email enforcement@cannabis.ca.gov to reach our enforcement team.

Researchers

The consolidation does not affect your grant funding or the amount you were awarded by the Bureau of Cannabis Control. Email questions or required grant reports to grants@cannabis.ca.gov.

How can Sapphire Risk help?

Tony Gallo and the team at Sapphire Risk Advisory Group has over 30 years of security experience and expertise and has overseen the licensing and operation of over 60 cannabis businesses in California. Follow us on social media to stay up to date with California cannabis industry updates!