On June 27, 2017, Governor Brown’s Trailer Bill, SB 94 was signed into law, which is entitled the Medical and Adult Use Cannabis Regulation and Safety Act (MAUCRSA). On November 16, 2017, emergency regulations were issued by the Bureau of Cannabis Control, the Department of Food & Agriculture and the Department Public Health’s Manufactured Cannabis Safety Branch (MCSB).

Licensing is expected to go live through the various agencies’ online portals late December 2017, but no later than January 1, 2018.  The Cannabis Corporate Law Firm has already attended numerous workshops to ensure we have the most accurate and up to date information available for our clients.  There is no substitute for a direct line of communication with the state agencies and regulators.

With a goal date of January 1, 2018 , California has much work to be done. The Cannabis Corporate Law Firm keeps its clients up to date and compliant in this ever-changing legal landscape. Our direct communication with state and city licensing authorities provides us not only with accurate and up to date information, but builds on our existing relationships to the benefit of our clients.

Under the new law (MAUCRSA) having a valid local license  will enable you to request a temporary state license while waiting to complete the application process with thousands of other applicants. The Cannabis Corporate Law Firm will help you avoid interruption in your cannabis business so you can start making money now before the mad dash for state licensing on January 1, 2018.

The Cannabis Corporate Law Firm has already obtained licenses for its clients in local jurisdictions. This will enable our clients to request temporary licenses while their applications are pending with the State of California once the January 1, 2018 application process becomes available. Our clients will be able to continue their legal cannabis commercial activities without interruption while the rest of California waits in line.

Because The Cannabis Corporate Law Firm offers full service licensing packages, we can quickly and effectively assemble your business plan, application and we will work with your architects, engineers and contractors to obtain conditional use permits so your cannabis business will be operational  before December 31, 2017 and continue into 2018 while your state application is pending.

Under MAUCRSA, licenses will be either designated Type A (adult recreational use) or Type M (medicinal use), with the exception of testing laboratory licenses which will test both.  However, under the recently released regulations, temporary licensees will not be restricted to doing business solely with licensees of the same category (A or M), but will be free to conduct business in both industries.

Each California regulatory agency has issued its own set of license classifications and fee schedule.

Activities Regulated by the Bureau of Cannabis Control (Retail, Distribution, Events, Testing and Microbusinesses):

Type of License Operations in Millions Application Fee License Fee Total
Testing Lab up to 50 $1,000.00 $20,000.00 $21,000.00
Testing Lab 50-500 $1,000.00 $45,000.00 $46,000.00
Testing Lab more than 500 $1,000.00 $90,000.00 $91,000.00
Distributor up to 2 $1,000.00 $1,200.00 $1,300.00
Distributor 2 to 8 $1,000.00 $5,000.00 $6,000.00
Distributor 8 to 80 $1,000.00 $36,000.00 $37,000.00
Distributor more than 80 $1,000.00 $125,000.00 $126,000.00
Self Distribution up to 2 $1,000.00 $500.00 $1,500.00
Self Distribution 2 to 8 $1,000.00 $2,000.00 $3,000.00
Transport Only Distributor up to 2 $1,000.00 $800.00 $1,800.00
Transport Only Distributor 2 to 8 $1,000.00 $2,500.00 $3,500.00
Retailer up to .5 $1,000.00 $4,000.00 $5,000.00
Retailer .5-1.5 $1,000.00 $12,000.00 $13,000.00
Retailer 1.5-4.5 $1,000.00 $36,000.00 $37,000.00
Retailer more than 4.5 $1,000.00 $72,000.00 $73,000.00
Microbusinesses up to .5 $1,000.00 $5,000.00 $6,000.00
Microbusinesses .5-1.5 $1,000.00 $15,000.00 $16,000.00
Microbusinesses 1.5-4.5 $1,000.00 $42,000.00 $43,000.00
Microbusinesses more than 4.5 $1,000.00 $120,000.00 $121,000.00

Department of Food and Agriculture Regulated Activities (Cultivation, Nursery and Processing):

License Type Size of Canopy in Square Feet or Number of Mature Plants Application Fee License Fee Total
Specialty Cottage Outdoor up to 25 plants $135.00 $1,205.00 $1,340.00
Specialty Cottage Indoor up to 500 $205.00 $1,830.00 $2,035.00
Specialty Cottage Mixed-Light Tier 1 up to 2,500 $340.00 $3,035.00 $3,375.00
Specialty Cottage Mixed-Light Tier 2 up to 2,500 $580.00 $5,200.00 $5,780.00
Specialty Outdoor up to 5,000 or 50 plants $270.00 $2,410.00 $2,680.00
Specialty Indoor 501-5,000 $270.00 $19,540.00 $19,810.00
Specialty Mixed-Light Tier 1 2,501-5,000 $655.00 $5,900.00 $6,555.00
Specialty Mixed-Light Tier 2 2,501-5,000 $1,125.00 $10,120.00 $11,245.00
Small Outdoor 5,001 – 10,000 $535.00 $4,820.00 $5,355.00
Small Indoor 5,001 – 10,000 $3,935.00 $35,410.00 $39,345.00
Small Mixed-Light Tier 1 5,001 – 10,000 $1,310.00 $11,800.00 $13,110.00
Small Mixed-Light Tier 2 5,001 – 10,000 $2,250.00 $20,235.00 $22,485.00
Medium Outdoor 10,001 – 1 acre $1,555.00 $13,990.00 $15,545.00
Medium Indoor 10,001 – 22,000 $8,655.00 $77,905.00 $86,560.00
Medium Mixed-Light Tier 1 10,001 – 22,001 $2,885.00 $25,970.00 $28,855.00
Medium Mixed-Light Tier 2 10,001 – 22,002 $4,945.00 $44,517.00 $49,462.00
Nursery no size restriction $520.00 $4,685.00 $5,205.00
Processor no size restriction $1,040.00 $9,370.00 $10,410.00

Department of Public Health (Manufacturing):

Type of License Gross Revenue Application Fee
(No License Fee)
Tier I Up to $100,000 $2,000.00
Tier II $101,000 – $500,000 $7,500.00
Tier III $501,000 – $1,500,000 $15,000.00
Tier IV $1,501,000 – $3,000,000 $25,000.00
Tier V $3,000,001 – $5,000,000 $35,000.00
Tier VI $5,000,001 – $10,000,000 $50,000.00
Tier VII More than $10,000,000 $75,000.00