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2023 announcements

Governor Newsom releases his 2023-24 January proposed budget

Good afternoon,

Governor Newsom recently released his 2023-24 January proposed budget, which he submits to the Legislature at this time every year. This is the Governor’s vision for serving Californians and a starting point for conversations between the state’s executive and legislative branches. Last year’s budget took bold steps to strengthen the legal cannabis market through tax reform and support for equity businesses.

This year, the Governor’s proposed budget contains several items that will impact the Department and licensees. The Department is requesting funding in the 2023-24 budget to strengthen statewide enforcement efforts, support improvements to our IT infrastructure and create flexibility for resource requests in the fiscal year ahead. You can search for and read DCC’s budget change proposal on the California Department of Finance website. These requests reflect the Department’s continued efforts to strengthen and improve the legal market as well as the Department’s internal and external services.

Through last year’s tax reform efforts, high-road employers and equity licensees will benefit from additional financial resources this year, licensees will experience reduced production costs, and cannabis tax revenue will continue to fund critical social programs at record levels, including programs that address youth substance use disorders, environmental remediation associated with illegal cannabis activity, and public safety initiatives.

These budget proposals are part of the state’s strong commitment to serve all Californians and continue developing improvements to the cannabis regulatory structure. We’re excited to work with the Administration and Legislature on the proposals in the months ahead. Questions can be sent to