On October 5, the Los Angeles Department of Cannabis Regulation announced that it will begin accepting applications for commercial cannabis delivery, distribution, and manufacturing licenses on October 20. Delivery licenses must be partially owned by a qualified Social Equity Applicant who meets the City’s standard that takes into account low-income status, having a prior cannabis arrest or conviction, and having lived for a minimum time period in one of the City’s police reporting districts that has historically had the most cannabis arrests.
Last week (9/13/2020), Herb Wesson held a Zoom meeting to discuss the trajectory of L.A.’s social equity program. Margolin & Lawrence Partner, Raza Lawrence, was in attendance and discusses critical points that were brought up in the meeting.
New Licensing Procedure for All License Types
● Phase 3 Round 2 for storefront retail licenses will be selected by a lottery opposed to the first come, first served selection process utilized during Phase 3 Round 1. Lottery winners will have a period of one year to find a business location in an area that has not met undue concentration.
“Until they became conscious they will never rebel, and until after they have rebelled they cannot become conscious… The Party seeks power entirely for its own sake. We are not interested in the good of others; we are interested solely in power, pure power.” Orwell’s 1984.
Los Angeles is revamping its rules for handing out licenses to cannabis businesses, amid anger and disappointment over the tumultuous rollout of a program meant to address the damage done by criminalizing marijuana.
On June 16, 2020, the Los Angeles Department of Cannabis Regulation sent proposed ordinance amendments to the Los Angeles City Council regarding the licensing process for commercial cannabis businesses. Many of these changes will be well received by the industry, but some of the DCR’s new recommendations would create additional problems for the cannabis industry in the City, and could have negative side effects exceeding any benefits. These recommendations are based on our many years of experience representing clients in the cannabis industry and advocating for cannabis policy reform.
