AB 1565 — California Cannabis Tax Fund: local equity program grants.

Summary

Existing law, the Control, Regulate and Tax Adult Use of Marijuana Act (AUMA) , an initiative measure, authorizes a person who obtains a state license under AUMA to engage in commercial adult-use cannabis activity pursuant to that license and applicable local ordinances. The Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA) , among other things, consolidates the licensure and regulation of commercial medicinal and adult-use cannabis activities. MAUCRSA establishes the Department of Cannabis Control within the Business, Consumer Services, and Housing Agency to administer the act. Under existing law, the California Cannabis Equity Act, a local equity program is a program adopted or operated by a local jurisdiction that focuses on inclusion and support of individuals and communities in California's cannabis industry who are linked to populations or neighborhoods that were negatively or disproportionately impacted by cannabis criminalization, as specified. The act authorizes the department to provide technical assistance to a local equity program that helps local equity applicants or local equity licensees, as defined. Under that act, the Governor's Office of Business and Economic Development is required to administer a grant program to assist a local jurisdiction with the development of a local equity program or to assist local equity applicants and local equity licensees through a local equity program, as specified. Existing law establishes the California Cannabis Tax Fund as a continuously appropriated special fund consisting of specified taxes, interest, penalties, and other amounts related to commercial cannabis activity. Each fiscal year, AUMA requires the Controller to make disbursements from the fund pursuant to a specified schedule. Existing law authorizes the Legislature to amend, on and after July 1, 2028, the provisions relating to the disbursement and allocation of moneys in the fund by majority vote to further the purposes of AUMA, as specified. This bill would require, effective July 1, 2028, the Controller to disburse up to $15,000,000, as specified, to the department for the 2028–29 fiscal year and every fiscal year thereafter. The bill would require the department to use the disbursements to support local equity programs in eligible local jurisdictions to assist local equity applicants and licensees gaining entry into, and to successfully operate in, the state's regulated cannabis marketplace, as specified. By expanding the purposes for which continuously appropriated moneys may be used, the bill would make an appropriation. The bill would declare that its provisions further the purposes and intent of AUMA.

Bill Text

Action History

1. September 01, 2023

   In committee: Held under submission.

2. August 21, 2023

   In committee: Referred to APPR suspense file.

3. July 10, 2023

   From committee: Do pass and re-refer to Com. on APPR. (Ayes 11. Noes 0.) (July 10). Re-referred to Com. on APPR.

4. June 20, 2023

   In committee: Set, first hearing. Hearing canceled at the request of author.

5. June 14, 2023

   Referred to Com. on B., P. & E. D.

6. June 01, 2023

   In Senate. Read first time. To Com. on RLS. for assignment.

7. May 31, 2023

   Read third time. Passed. Ordered to the Senate. (Ayes 74. Noes 0. Page 2048.)

8. May 18, 2023

   Read second time. Ordered to third reading.

9. May 18, 2023

   From committee: Do pass. (Ayes 15. Noes 0.) (May 18).

10. May 10, 2023

    In committee: Set, first hearing. Referred to APPR. suspense file.

11. May 03, 2023

    In committee: Hearing postponed by committee.

12. April 18, 2023

    From committee: Do pass and re-refer to Com. on APPR. (Ayes 17. Noes 0.) (April 18). Re-referred to Com. on APPR.

13. March 09, 2023

    Referred to Com. on B. & P.

14. February 18, 2023

    From printer. May be heard in committee March 20.

15. February 17, 2023

    Read first time. To print.

Sponsors

• Jones-Sawyer · Primary

Votes

Subjects