3 minute read
LOCAL NEWS
from July 2022 - California Leaf
by Northwest Leaf / Oregon Leaf / Alaska Leaf / Maryland Leaf / California Leaf / Northeast Leaf
local news CALIFORNIA
State Mapping Tool to Help Consumers Find Licensed Retailers
In a move that feels
long overdue, the California Department of Cannabis Control (CDCC) has announced a new data tool that includes a map to assist consumers with finding their nearest licensed pot retailers. “ONLY 44% OF Though already available CITIES AND COUNTIES ALLOW in modified forms on a THE LICENSING variety of popular sites OF AT LEAST ONE CANNABIS BUSINESS TYPE.” and platforms today, the assurances that come with relying on an unbiased, authoritative source for locating a region’s dispensaries is a welcome addition to what’s thus far been a slow digital roll-out from the state’s end. Per the North Bay Business Journal, the process of building the data tool also led the CDCC to discover that “only 44% of cities and counties allow the licensing of at least one Cannabis business type […] and 56% prohibits the licensing of all types.” With numbers that low, making it as easy as possible for consumers located anywhere in California to find a licensed dispensary – and not turn instead to an illicit alternative – should remain a priority of the highest order.
Study Proves California Dispensaries Vigilant on ID Check Compliance
Are underage patrons being given access to California’s licensed Cannabis dispensaries? According to one new study, the answer is a definitive “no.” To take the pulse on how seriously retail pot shops across the state take the matter of checking IDs, researchers sent people who seemingly looked underage to 50, to randomly selected dispensaries throughout California. In findings published in the Journal of Safety Research, the study’s authors revealed that every dispensary they visited required proof of ID before permitting entry. This welcome result is unquestionably correlated with the harsh penalties – which can include up to six months in jail and the loss of a license for a first offense – that face any pot shop caught selling Cannabis to minors. Notably, the study’s authors stressed that their findings do not address the possibility of underage patrons using fake IDs. Overall, the issue is best summarized by last year’s federally-funded Monitoring the Future survey, which concluded that national underage Cannabis use “decreased significantly” in 2021.
“HARSH PENALTIES CAN INCLUDE UP TO SIX MONTHS IN JAIL AND THE LOSS OF A LICENSE FOR A FIRST OFFENSE.”
Newsom’s Latest State Budget Proposal Would Nix Cannabis Cultivation Tax
ADOBE STOCK Could tax relief for California’s licensed Cannabis cultivators finally be on the way? That’s what Gov. Gavin Newsom is teasing as part of his proposed budget for the 2022-2023 fiscal year. Specifically, Newsom’s budget would nix the state’s cultivation tax. Usually assessed prior to a crop’s sale, California’s current “CANNABIS cultivation tax costs growers $10.08 for every ounce of dried CONSUMPTION LOUNGES ARE STILL LIMITED TO Cannabis flower they produce. At present, the cultivation tax is compounded by state and local excise taxes paid first by SMALL POCKETS licensed distributors, then again by customers at the point of OF THE STATE.” sale. Contrasted with unregulated retailers (who pay no taxes whatsoever), the windfall brought in by Cannabis tax revenue equated to $308 million for California’s coffers in the fourth quarter of 2021 alone. Further justifying Newsom’s move are the results of a recent study commissioned by the Reason Foundation and published in May, where researchers concluded that eliminating the cultivation tax would result not in a loss, but rather in a 123% monthly tax revenue increase for the state by 2024.
Cannabis Industry is Sacramento’s Ninth Largest Employer
According to a report commissioned by city officials, Sacramento’s Cannabis industry is now considered to be the city’s ninth largest employer. The findings confirm the state capitol has evolved into a legitimate stronghold for Cannabis-related jobs. To explain this spike, the report’s authors cited Sacramento’s proximity to several neighboring regions without permitted Cannabis sales, as well as the city’s appeal as a new hub for cultivation. In total, the Cannabis industry workforce in Sacramento now employs 7,970 individuals. Since adult-use sales began in 2018, the report also found that home values have not decreased, nor have crime rates spiked. Business, meanwhile, has been quite impressive – with gross annual receipts more than tripling within the same timeframe. The release of this report arrives as Sacramento’s City Council continues to weigh a proposal to approve consumption lounges, emphasizing the growing pains still being felt despite the region’s indisputable new commitment to Cannabis-related commerce.
“THE CANNABIS INDUSTRY WORKFORCE IN SACRAMENTO EMPLOYS 7,970 INDIVIDUALS.”