Is Money really what California’s marijuana market need? Or should they completely restructure the licensing process?
Last Week California Legislature approved a $100 million dollar plan to help California’s legal Cannabis Industry, who are still struggling to keep up with the markets demands. Even five years after Cannabis has been legalized recreationally.
The Plan was proposed by Gov. Gavin Newsom, within the plan Newsom asked that the $100 million dollar be disbursed in a form of a grant to cities and counties throughout California to help these businesses transition from provisional licenses to regular licenses. Cities such as Los Angeles will benefit from the grants the most since most Licensed Cannabis businesses are still operation under provisional licenses nearly 5 years later with no resolution.
“California voters approved Proposition 64 five years ago and entrusted the Legislature with creating a legal, well-regulated cannabis market,” said Assemblyman Phil Ting (D-San Francisco), the chairman of the Assembly Budget Committee. “We have yet to reach that goal.” As of late, April to be exact most Cannabis businesses are struggling with the transition from provisional or temporary to Permanent license holders. The problem with having a provisional license is that you must renew it yearly which is a pretty penny and time wasted.
The Grant program will include 22 million to go towards assisting the city of Los Angeles in hiring cannabis experts and staff to help with the transition and help businesses succeed. The grant program is endorsed by Los Angeles Mayor Eric Garcetti, who said in a letter to legislators that the money is “essential in supporting a well-regulated, equitable, and sustainable cannabis market.”
Not only did Gov Newsom Propose the grant, but he also asked for a 6-month extension for all cannabis businesses to allow them to transition from provisional. This part of the bill was not approved last week, and lawmakers are still negotiating.
lender 420 has been following closely to bring you the latest on all Cannabis related news across the nation! Stay tuned for more info as this grant program unrolls!
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