Nearly two-thirds of California cities and counties do not allow the establishment of any regulated cannabis retailers within their jurisdictions. This limits consumer access to regulated and tested cannabis.
To address this, the Retail Access Grant provides local governments with resources to develop and implement cannabis retail licensing programs. $20 million in total funding is available, distributed in two phases.
By supporting local governments in establishing cannabis retail licensing programs, this grant seeks to provide existing consumers with sufficient access to tested, regulated cannabis in the legal market, promoting consumer safety and reducing demand in the illicit market.
Funding rounds
Funding is distributed in two phases:
- Phase I: in June 2023, DCC announced awards of over $4 million in funding to 18 cities and counties to develop and implement local cannabis retail licensing programs.
- The Phase I application period closed on April 28, 2023. See the Phase I Grant Awards below.
- Phase II: awards funding to eligible cities and counties based on the number of local cannabis retail licenses that they issue. The Phase II application period will open in October.
- Over $15 million in total funding is available in Phase II.
- An eligible jurisdiction may apply for funding in Phase II even if it did not participate in Phase I.
Phase II funding opportunity
Phase II of this program provides funding to eligible local governments based on the number of cannabis retail permits they issue.
Subject to available funds, the Department of Cannabis Control (DCC) intends to award up to the following amounts per local license issued:
- $150,000 for each eligible cannabis retail license issued, or
- $300,000 for each eligible equity cannabis retail license issued.
A maximum of $2 million per jurisdiction will be awarded in Phase II.
Eligibility: Local jurisdictions (city, county, or city and county) that:
- Prior to July 1, 2022, did not have a cannabis retail licensing program in existence;
- Has a plan to develop and implement a cannabis retail licensing program; and
- Has issued one or more cannabis retail licenses to cannabis businesses within the jurisdiction of the city or county pursuant to that program.
Application Periods: Phase II applications will be accepted in the following months, subject to available funding: October 2023, March 2024, September 2024, March 2025, September 2025, March 2026.
Grant materials
In August 2023, DCC released Phase II Grant Guidelines.
DCC had previously released Grant Guidelines in February 2023, when Phase I application materials were made available. Those Grant Guidelines now apply only to Phase I. For clarity, the Phase I and Phase II Grant Guidelines are now available as two separate documents:
Phase I Grant Guidelines
Phase II Grant Guidelines
Phase II application periods
| Event | Date |
| Application Period 1 Opens on October 1, 2023, at 8:00 a.m. Closes on October 31, 2023, at 5:00 p.m. | October 1 – 31, 2023 |
| Application Period 2 Opens on March 1, 2024, at 8:00 a.m. Closes on March 31, 2024, at 5:00 p.m. | March 1 – 31, 2024 |
| Application Period 3 Opens on September 1, 2024, at 8:00 a.m. Closes on September 30, 2024, at 5:00 p.m. | September 1 – 30, 2024 |
| Application Period 4 Opens on March 1, 2025, at 8:00 a.m. Closes on March 31, 2025, at 5:00 p.m. | March 1 – 31, 2025 |
| Application Period 5 Opens on September 1, 2025, at 8:00 a.m. Closes on September 30, 2025, at 5:00 p.m. | September 1 – 30, 2025 |
| Application Period 6 Opens on March 1, 2026, at 8:00 a.m. Closes on March 31, 2026, at 5:00 p.m. | March 1 – 31, 2026 |
A jurisdiction may apply for funding during multiple application periods but only one application per jurisdiction per application period will be accepted.
Phase II application materials
Phase I grant awards
The following jurisdictions received grant awards in Phase I of the Local Jurisdiction Retail Access Grant:
| Jurisdiction | Base Award Amount | Equity Bonus Funds | Total Phase I Award |
|---|---|---|---|
| City of Riverside | $325,000 | $150,000 | $475,000 |
| Los Angeles County | $325,000 | $150,000 | $475,000 |
| City of Hawthorne | $225,000 | $90,000 | $315,000 |
| Nevada County | $200,000 | $75,000 | $275,000 |
| City of West Sacramento | $175,000 | $60,000 | $235,000 |
| City of Claremont | $150,000 | $45,000 | $195,000 |
| City of Montclair | $150,000 | $45,000 | $195,000 |
| City of Covina | $175,000 | N/A | $175,000 |
| City of Corcoran | $125,000 | $30,000 | $155,000 |
| City of Bell Gardens | $150,000 | N/A | $150,000 |
| City of Calabasas | $125,000 | N/A | $125,000 |
| City of Avenal | $100,000 | $15,000 | $115,000 |
| City of Sand City | $100,000 | $15,000 | $115,000 |
| City of Winters | $100,000 | $15,000 | $115,000 |
| City of Yreka | $100,000 | $15,000 | $115,000 |
| Totals | $2,525,000 | $705,000 | $3,230,000 |
About this funding
The grant program is authorized by the Budget Act of 2022, Item 1115-102-0001, found in Assembly Bill 178 (Ting, 2022).
Contacts
For questions about the grant program, email RetailAccessGrants@cannabis.ca.gov.
For media inquiries, email press@cannabis.ca.gov.
