Email Alert: An Update on Provisional Cannabis Cultivation Licenses
29 August 2019
As a result of Assembly Bill 97, a trailer bill passed by the California State Legislature and signed into law on July 1, 2019, commercial cannabis license applicants are no longer required to have held a temporary license to be eligible for a provisional cannabis license. This law also extended the issuance of provisional licenses until January 1, 2022, and authorized the renewal of provisional licenses, provided the licensee is actively and diligently pursuing annual cannabis license requirements.
In the coming months, the California Department of Food and Agriculture (CDFA) will provide guidance on the procedure for transitioning from a provisional license to an annual license, and for renewing a provisional license. (The process for transitioning to an annual license or renewing a provisional license will not be the same as renewing an annual license.) Prior to issuing a provisional-license renewal, the licensee will be required to pay the annual commercial cannabis license fee.
For licensees who would like to prepare for transitioning from a provisional license to an annual license, or for renewing a provisional license, CDFA recommends following these steps now:
Note: Licensees who do not have CEQA compliance and/or an LSA agreement will need to have proof of progress toward meeting those requirements before their provisional license will be renewed. CDFA’s forthcoming procedural guidance will have more information about what will be considered proof of progress.
- Provide written notice to CDFA’s CalCannabis Cultivation Licensing Division of any changes to business or owner information for the license, including, but not limited to, an updated bond, a change of financial-interest holders, or a change of ownership.
- Ensure all license documents comply with sections 8105-8108 of Title 3 of the California Code of Regulations, which pertain to the property diagram, cultivation plan, water-source documentation, and waste-management plan. The permanent regulations for commercial cannabis cultivation went into effect on January 16, 2019, and may require licensees to update specific documentation. Please refer to “A Reference Guide for the Cultivation Plan” for more information.
- Enroll in the State Water Resources Control Board’s Cannabis Cultivation General Order. Licensees enrolled in the North Coast or Central Valley Regional Orders must transition to coverage under the General Order. For more information, please visit the “State Board—Cannabis Cultivation Water Quality” website.
- Stay in contact with your local jurisdiction (city or county) regarding compliance with the California Environmental Quality Act (CEQA).
- Obtain a final Lake or Streambed Alteration agreement (LSA agreement), or written verification that an LSA agreement is not needed. In addition, update any changes to your contact information with the California Department of Fish and Wildlife. For more information, please visit the California Department of Fish and Wildlife’s “Cannabis Program” website.
CalCannabis Cultivation Licensing is a division of the California Department of Food and Agriculture. For more information on the state’s commercial cannabis cultivation licensing process, please visit CalCannabis.cdfa.ca.gov
, call toll-free 1-833-CALGROW, or send an email to firstname.lastname@example.org.