California is committed to quickly transition cannabis businesses from provisional to annual licenses. One-time grant funding, totaling $100 million, is available to help. Extra funds are available for eligible local jurisdictions with social equity programs.
The funds target areas with the highest numbers of provisional licensed businesses. Large numbers of small, legacy and equity businesses operate within these areas.
The Department of Cannabis Control (DCC) awarded grant funding in January 2022.
Press release: DCC awards nearly $100 million in grants to local governments
Press release: DCC announces $100 million Local Jurisdiction Assistance Grant Program
Grant funding
Eligible jurisdictions and funding amounts were specified through the Budget Act (The Budget Act, 1115-101-0001- For local assistance).
| Local jurisdiction | Appropriated base funding | Appropriated equity funding | Total appropriated funding | Total grant award |
| City of Adelanto | $972,696 | $972,696 | $972,696 | |
| City of Commerce | $416,870 | $416,870 | $416,319.85 | |
| City of Desert Hot Springs | $822,160 | $822,160 | $822,160 | |
| County of Humboldt | $7,842,974 | $10,792,162 | $18,635,137 | $18,635,137 |
| County of Lake | $884,309 | $1,216,834 | $2,101,143 | $2,101,143 |
| City of Long Beach | $1,748,537 | $2,187,405 | $3,935,942 | $3,934,773.43 |
| City of Los Angeles | $9,912,238 | $12,400,122 | $22,312,360 | $22,312,360 |
| County of Mendocino | $7,611,370 | $10,473,468 | $18,084,837 | $17,586,406.62 |
| County of Monterey | $1,737,035 | $1,737,035 | $1,737,035 | |
| City of Oakland | $4,400,293 | $5,504,727 | $9,905,020 | $9,905,020 |
| County of Nevada | $1,221,188 | $1,221,188 | $1,221,188 | |
| City of Sacramento | $2,570,697 | $3,215,919 | $5,786,617 | $5,786,616.84 |
| City of San Diego | $764,261 | $764,261 | $764,261 | |
| City and County of San Francisco | $1,366,407 | $1,709,363 | $3,075,769 | $3,075,769 |
| City of Santa Rosa | $775,841 | $775,841 | $775,841 | |
| County of Sonoma | $1,158,023 | $1,158,023 | $1,158,023 | |
| County of Trinity | $3,295,102 | $3,295,102 | $3,293,866.65 |
How local governments plan to use the funds
City of Adelanto
The City of Adelanto proposed using grant funds to improve the cannabis entitlement, inspection and licensing process. The City will use grant funds to improve the Environment Impact Report (EIR) and California Environmental Quality Act (CEQA) process for cannabis-zoned areas.
City of Commerce
The City of Commerce proposed using grant funds to aid in hiring staff and increasing staff hours to assist cannabis operators with obtaining the approvals needed to acquire their annual licenses.
City of Desert Hot Springs
The City of Desert Hot Springs proposed using grant funds to hire planning/environmental consultants to process cannabis applications and establish permanent licenses, including completing and/or reviewing CEQA technical studies, completing CEQA analysis and reporting, processing local and state public noticing and/or public hearings, and assisting applicants with submitting requirements for state cannabis licensure.
The City will also use grant funds to hire IT/GIS consultants to assist with the development of a software database for tracking cannabis licenses, online tools and resources for cannabis applicants, and an online application submission process; this is intended to streamline the cannabis application process by making resources readily available to applicants.
County of Humboldt
The County of Humboldt proposed using grant funds to conduct a hydrologic assessment of watersheds, which will identify baseline groundwater supply for each of the 12 watersheds located in the County. This assessment will provide insight into water used by cannabis cultivators and serve as a baseline for ongoing environmental decisions.
The County will also use grant funds for two licensee grant programs:
- Stream protection program – to increase water storage and conservation; up to $40,000 in matching funds per applicant
- Renewable energy program – to fund replacement of gas/diesel-powered generators with renewable energy systems: up to $20,000 in matching funds per applicant
County of Lake
The County of Lake proposed using grant funds to hire consultants to process cannabis permits, including completing environmental reviews, CEQA analysis, and presentations to the Planning Commission.
City of Long Beach
The City of Long Beach proposed using grant funds to hire staff and consultants to assist with streamlining local permitting processes and processing applications, including preparation of CEQA documents, equity applicant eligibility, building and safety plan reviews, and inspections. The City will also use grant funds for website design, technology improvements, and training to assist applicants. This is intended to strengthen communication with equity applicants, including: incorporating automated emails, clear step-by-step instructions, and workshops for paperwork completion.
City of Los Angeles
The City of Los Angeles proposed using grant funds to hire additional personnel to assist licensees with completing locally-administered processes to achieve annual licensure and administer CEQA processes, including document review and preparation of environmental documents. This will include updates to the City’s environmental assessment to allow for ministerial rather than discretionary action under CEQA, streamlining future application processing.
The City will also use grant funds to establish new positions dedicated to CEQA reviews and local annual licensing processes and partially fund new positions associated with compliance administrative functions related to grant and contract management.
County of Mendocino
The County of Mendocino proposed to use grant funds to create direct funding opportunities for commercial cannabis applicants and permit holders.
County of Monterey
The County of Monterey proposed using grant funds to conduct a programmatic-level CEQA analysis, which would expedite applications and streamline required reviews. The funds would also be used to conduct ongoing CEQA reviews, amend land-use regulations, and provide direct funding to licensees to meet local requirements. The City will also use grant funds to hire consultants and/or staff to conduct planning and building permits, implement a cannabis equity program, and manage grant funding.
County of Nevada
The County of Nevada proposed using grant funds to prepare CEQA documents, implement environmental mitigation measures, review applications and provide technical support to applicants. This may include hiring consultants and/or additional temporary or contract staff.
City of Oakland
The City of Oakland proposed using grant funds to expedite cannabis permitting processes and provide additional support to equity applicants and licensees. This includes additional staff and technology for application review and proactive issue identification. It also includes additional capital directed to equity operators through grants, and staff and consultants to administer technical and legal assistance provided to equity applicants.
City of Sacramento
The City of Sacramento proposed using grant funds to hire consultants to prepare and complete CEQA Notices of Exemption, streamline and harmonize local permitting requirements to support the transition into annual licensure, provide assistance for navigating local and state permitting process, publicize key deadlines for provisional licensees, use GIS mapping to local premises zoned and eligible for a Conditional Use Permit (CUP), and aggregate information on cannabis premises across multiple permitting offices, among other contributions.
City of San Diego
The City of San Diego proposed using grant funds to complete CEQA requirements early in the local permitting process and to consolidate multiple existing databases with permittee information, streamline data gathering, and provide real-time date on compliance to facilitate timely permit applications. The City will also use grant funds to hire consultants to aid equity applicants with local permitting processes, for their forthcoming equity program.
City and County of San Francisco
The City and County of San Francisco proposed using grant funds to create new staff positions to process cannabis permits more quickly and efficiently, which both includes and will facilitate timely completion of local CEQA review processes. Creating faster local permitting processes is expected to assist equity applicants- in particular by shortening the amount of time that applicants must carry rent and overhead costs, while permitting processes are underway.
City of Santa Rosa
The City of Santa Rosa proposed using grant funds to update their existing cannabis ordinance and CEQA review processes, increase applicant assistance through outreach and online tools, improve existing permit tracking software, and hire additional limited-term staff.
County of Sonoma
The County of Sonoma proposed using grant funds to address permit application backlogs and increase the efficiency of the CUP process. This includes hiring additional staff to process CUP applications and improving external communication about the permitting process through additional guidance materials.
County of Trinity
The County of Trinity proposed using grant funds to facilitate processing of local cannabis licenses, land-use permits, site-specific inspections and verification, and CEQA determinations for environmental compliance. This includes hiring additional staff and engaging consultants to increase capacity and improve technical support for applicants.
Grant criteria
The Budget Act set basic criteria for use of the funds. The grant application that includes guidelines and required forms.
Grant guidelines and application instructions
Reporting forms:
Please contact Office of Grants Management for reporting forms at Grants@cannabis.ca.gov
Grant resources
Renewal Requirements for Provisional Licenses
Key dates for provisional licenses
Return of Grant Funds for Local Jurisdiction Assistance Grant Program
Questions and answers about the Local Jurisdiction Assistance Grant Program
Grant timeline
| Event | Date (Subject to change) |
| Notice of Funding Availability Release with Draft Guidelines | September 14 – September 27, 2021 |
| Grant Guidelines and Request for Proposals Published | September 30, 2021 |
| Application Submission Period Opens | October 8, 2021 |
| Questions and Answers Period Due Date | October 8, 2021 |
| Questions and Answers Posted | October 15, 2021 |
| Deadline to Submit Applications | November 15, 2021 |
| Grant Award Notification | December 2021 |
| Last Day for Grant Funding Expenditures | March 31, 2025 |
Contacts
For questions about the grant program, email grants@cannabis.ca.gov.
For media inquiries, email press@cannabis.ca.gov.
