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Proposed marijuana regulations issued

May 18, 2017

In late April, the three California agencies responsible for marijuana licenses issued proposed regulations in light of Proposition 64, which legalizes the sale of marijuana for recreational purposes. The licenses are not yet being issued, but these proposed regulations give us an idea of what may be coming. The following chart provides an overview of the application and annual fees marijuana businesses can expect.

In addition to the fees listed below, counties and cities may tack on additional fees. The city of Costa Mesa, for example, recently voted to establish a $49,000 permit fee to open a marijuana business.

Agency

Dept. of Food and Agriculture

Dept. of Public Health

Bureau of Marijuana Control

Responsibility

Cultivation

Manufacturing

Distribution, transportation, testing, and dispensaries

Number of license categories

14

4

4

Nonrefundable license application fee

$60–$4,260

$1,000

Unknown at this time

Annual license fee

$560–$38,350

$2,000–$50,000

Unknown at this time

The proposed regulations can be accessed at the following websites:

Website

California Department of Food and Agriculture:
https://static.cdfa.ca.gov/MCCP/document/CalCannabis%20Proposed%20Medical%20Regulations_4.28.17.pdf

California Department of Public Health:
https://www.cdph.ca.gov/Documents/OMCS_Initial_Text_DPH-17-004.pdf

Bureau of Marijuana Control:
http://bmcr.ca.gov/laws_regs/mcrsa_ptor.pdf

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