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SB-51 Cannabis provisional licenses: local equity applicants.(2023-2024)

Senate
Assembly
1st
Cmt
2nd
3rd
2nd
3rd
Pass
1st
Cmt
2nd
Cmt
2nd
3rd
Pass
Pass
Chp
Senate
Assembly
1st
Cmt
2nd
3rd
2nd
3rd
Pass
1st
Cmt
2nd
Cmt
2nd
3rd
Pass
Pass
Chp

Bill Status
SB-51
Bradford (S)
Gipson (A)
-
Cannabis provisional licenses: local equity applicants.
01/05/23
An act to amend Section 26050.2 of, and to add Section 26050.5 to, the Business and Professions Code, relating to cannabis.
Secretary of State
10/08/23
09/08/23

Type of Measure
Inactive Bill - Chaptered
Two Thirds Vote Required
Non-Appropriation
Fiscal Committee
State-Mandated Local Program
Non-Urgency
Non-Tax levy
Last 5 History Actions
Date Action
10/08/23 Chaptered by Secretary of State. Chapter 593, Statutes of 2023.
10/08/23 Approved by the Governor.
09/20/23 Enrolled and presented to the Governor at 4:30 p.m.
09/13/23 Assembly amendments concurred in. (Ayes 35. Noes 3. Page 2733.) Ordered to engrossing and enrolling.
09/11/23 In Senate. Concurrence in Assembly amendments pending.
Governor's Message
To the Members of the California State Senate:

I am signing Senate Bill 51, which allows, until January 1, 2031, the Department of Cannabis Control to issue provisional licenses for up to five years to a local equity applicant for retailer activities. After the voters enacted the Medicinal and Adult-Use Cannabis Regulation and Safety Act (Proposition 64), provisional cannabis licenses were created as a temporary bridge to allow pre-Proposition 64 operators to transition into a newly-regulated cannabis market.

Though the state has made significant progress since the passage of Proposition 64, local opposition, rigid bureaucracy, and federal prohibition continue to pose challenges to the industry and barriers to entry. Equity applicants, who bore the brunt of California's failed history of cannabis prohibition, are disproportionately impacted by a lack of access to capital and technical support, steep licensing fees, lengthy land-use approvals, environmental requirements, and more.

While I support the author's effort to bring temporary relief to equity applicants, this bill does not address the fundamental issues that continue to increase costs and uncertainty for those seeking to participate in the legal market. To the contrary, another extension may remove pressure to confront local permitting challenges and slow efforts to facilitate the transition of provisional licenses to annual licensure.

I look forward to working with the Legislature to consider long-term solutions to streamline licensing requirements and move us beyond short-term fixes. These measures must balance the need for accountability and reform without further impeding applicants already burdened by restrictive local licensing processes.

Sincerely,


Gavin Newsom