TODAY OVERSIGHT HEARING OF THE
SENATE BUSINESS PROFESSIONS AND
ECONOMIC DEVELOPMENT COMMITTEE
WILL COME TO ORDER GOOD MORNING
EVERYONE THANK YOU FOR COMING
THE SENATE CONTINUES TO WELCOME
THE PUBLIC AS YOU KNOW AND IS
PROVIDED ACCESS TO BOTH IN
PERSON AND TELECONFERENCING TO
SEPARATION FOR PUBLIC COMMENT
FOR INDIVIDUALS WISHING TO
PROVIDE PUBLIC COMMENT VIA THE
TELECONFERENCE OR VISTA
PARTICIPANT TOLL FREE NUMBER IS
ONE EIGHT SEVEN SEVEN TWO TWO
SIX. EIGHT TWO ONE SIX AND THE
ACCESS CODE IS. 621-716-1621.
SEVEN ONE SIX ONE. FOR TODAY'S
HEARING WE WILL HEAR FROM ALL OF
THE WITNESSES ON ALL OF THE
PANELS LISTED ON THE AGENDA
PRIOR TO TAKING ANY PUBLIC
COMMENT ONCE WE'VE HEARD FROM
ALL OF OUR PANELISTS WE WILL
HAVE A PUBLIC COMMENT PERIOD FOR
THOSE WHO WISH TO COMMENT ON THE
TOPICS ON TODAY'S AGENDA WE WILL
TAKE QUESTIONS FROM MY
COLLEAGUES ON THE DYESS. WHEN
EACH OF THE PANELS HAVE
COMPLETED THE PRESENTATION WE
WILL TAKE QUESTIONS FROM THE
DIETS THAT THAT POINT IN TIME.
SO WELCOME TO TODAY'S HEARING
THE TITLE THE STATE OF CANNABIS
REGULATION IN CALIFORNIA
PROGRESS CHALLENGES AND NEXT
STEPS AS YOU KNOW ALMOST SEVEN
YEARS AGO CALIFORNIANS APPROVED
PROPOSITION SIXTY FOUR WHICH
INCLUDED A MULTITUDE OF CLEAR
GOALS AND EXPECTATIONS FOR
LEGALIZING THE CANNABIS INDUSTRY
INCLUDING CREATING AN EQUITABLE
MARKET PLACE. FUNDING STATE
PROGRAMS AND ENSURING FAIR
AFFECTED OF LICENSING AT EACH
STEP ALONG THE CANNABIS SUPPLY
CHAIN. OVER THE LAST SIX AND A
HALF YEARS THE SENATE HAS WORKED
TO HELP ADVANCE THE MARKET PLACE
TO BECOME EQUITABLE AND THRIVING
BY INVESTING MONEY INTO EQUITY
GRANT PROGRAMS AND LOCAL
ASSISTANCE. CREATING A LICENSING
STRUCTURE THAT ENCOURAGES LEGAL
ENTRY INTO THE MARKET. AND
SUPPORTING IMPORTANT PROGRAMS
FUNDED BY CANNABIS TAX REVENUE.
ALTHOUGH PROGRESS HAS BEEN MADE
IN ESTABLISHING A PATHWAY TO A
SAFE AND SUCCESSFUL MARKET
PLACE. WE RECOGNIZE THAT THERE
ARE CHALLENGES THAT STILL EXIST
WITHIN THE CANNABIS REGULATORY
STRUCTURE. TODAY'S GOAL IS TO
HIGHLIGHT WHERE THINGS STAND AND
SORT THROUGH THE VARIOUS
CHALLENGES THAT REMAIN IN
ACHIEVING. OUR GOALS. WE'RE
GRATEFUL TO HAVE REPRESENTATIVES
FROM CALIFORNIA'S CANNABIS
INDUSTRY TO SPEAK ABOUT THEIR
CHALLENGES IN THE CURRENT
LICENSING STRUCTURE.
REPRESENTATIVES FROM LICENSING
AGENCIES TO PROVIDE UPDATES ON
BRINGING FOLKS INTO COMPLIANCE
WITH THE LEGAL FRAMEWORK FOR THE
INDUSTRY. AND REPRESENTATIVES
FROM STATE AGENCIES. WHO CAN
UPDATE US ON PROVIDING. UPDATES
ON THE PROGRESS OF PUTTING
RESOURCES INTO THE HANDS OF
THOSE INTENDED TO BENEFIT FROM
GRANT MONIES. AND LIKE TO THANK
OUR PANELISTS AS WELL AS MEMBERS
OF THE PUBLIC FOR JOINING US
TODAY. WE WILL BEGIN WITH OUR
FIRST PANEL CANNABIS LICENSING
AND BARRIERS TO EFFECTIVE
REGULATION PANELISTS PLEASE MAKE
YOUR WAY TO THE FRONT TABLE IS A
CHANGE FOR US WE GET TO SEE
PEOPLE IN PERSON. AND PREPARE
YOURSELVES TO ADDRESS THE
COMMITTEE.
IT'S MUSICAL CHAIRS YOU KNOW
WHEN THE MUSIC STOPS RENTAL LOOK
. WE CAN WE CAN. WE CAN ARRANGE
THE CHAIRS SO IT WORK WAS.
EVERYBODY HAVE A SEAT. I CAN DO
SOMETHING I HAVEN'T BEEN ABLE TO
DO AND- OVER TWO YEARS AND
THAT'S HAVE YOU INTRODUCE
YOURSELVES SO WITH THE PANELISTS
INTRODUCE YOURSELVES STARTING MY
LEFT YOU'RE RIGHT MA'AM. MEMBERS
AND HELLO IN THIS INDUSTRY
ASSOCIATION. THANK YOU SIR GOOD
MORNING MY NAME IS RON GERSHUNI
I'M A CO FOUNDER AND CEO OF
JETTY EXTRACTS AND ALSO A BOARD
MEMBER OF THE CALIFORNIA
CANNABIS MANUFACTURERS
ASSOCIATION PERFECT. MORNING
HONORABLE CHAIRMAN BURST MY NAME
IS JEANINE COLEMAN AND I'M THE
EXECUTIVE DIRECTOR OF ORIGINS
COUNCIL. GOOD MORNING MY NAME IS
WESLEY HÌNH I AM PRESIDENT OF
THE CANNABIS DISTRIBUTORS
ASSOCIATION I AM ALSO IN CHARGE
OF BUSINESS DEVELOPMENT AND
LICENSING FOR MAMMOTH
DISTRIBUTION AND LICENSE
MANUFACTURE HEAVY HITTERS. THANK
YOU ALL FOR JOINING US. SEVEN I
THINK YOU ARE FIRST YES THANK
YOU GOOD MORNING MR CHAIRMAN AND
COMMITTEE MEMBERS. I'M HOPING TO
TAKE THIS OPPORTUNITY TO PROVIDE
PERSPECTIVE ON THE STATE OF
CALIFORNIA IS LICENSED CANNABIS
INDUSTRY. IT IS DIRE. TODAY THE
INDUSTRY IS TEETERING ON THE
BRINK OF FAILURE WHICH IS
MEMBERS OF THE SENATE YOU MIGHT
RECOGNIZE PRIMARILY IN THE FORM
OF DRAMATICALLY DECREASED TAX
REVENUE. WE'RE SUFFERING BOTH
FROM BROAD ECONOMIC TRENDS
BEYOND OUR CONTROL AS WELL AS
INDUSTRY SPECIFIC CHALLENGES.
LET ME BEGIN WITH A LITTLE BIT
OF HISTORY WHICH THE CHAIRMAN
REFERENCED AS WELL WHEN
PROPOSITION SIXTY FOUR PASSED IT
ESTABLISH TWENTY SEVEN VOTER
MANDATED GOALS. NO LESS THAN
FIVE OF THOSE WERE ABOUT GETTING
RID OF THE ILLICIT MARKET AND
PROVIDING A REASONABLE PATHWAY
TO LICENSURE. FROM PROP SIXTY
FOUR IT SAYS EXPLICITLY IT IS
THE INTENT TO THE PEOPLE AND
ACTING AS ACT TO TAKE MARIJUANA
PRODUCTION AND SALES. HOW DID
THEY HANDED THE ILLEGAL MARKET.
TO TAX THE GROWTH IN SALES IN A
WAY THAT DRIVES OUT THE ILLICIT
MARKET. SEVEN YEARS LATER THE
QUESTION IS HOW WE ARE DOING.
AND THE ANSWER IS NOT GOOD. AND
OUR FAILURE TO ACHIEVE THESE
VOTER MANDATED GOALS IS AT THE
ROOT CAUSE OF MUCH OF THE
INDUSTRIES TO STRESS. HERE QUEUE
FOR A FEW KEY DATA POINTS TO
ILLUSTRATE THE SHORTFALLS TODAY
TO UNDER THREE CANNABIS
PURCHASES ARE MADE IN THE
ILLICIT MARKET. EVIDENCE
SUGGESTS THAT THE NUMBER IS
GETTING WORSE NOT BETTER AS
LEGAL SALES HAVE BEEN IN A
FREEFALL FOR THE PAST TO THE OF
HERS. SINCE MAY TWENTY TWENTY
ONE TO SALES IN THE LEGAL MARKET
HAVE DECREASED BY 22% WITH NO
SIGN OF THAT DOWNWARD TRAJECTORY
SLIGHTLY. THREE WERE SAYING AND
CASCADING BUSINESS FAILURES
ACROSS THE SUPPLY CHAIN. WELL
LAST YEAR SIGNED CATASTROPHIC IT
AN OVER SUPPLY OF BIOMASS IN
TWENTY TWENTY THREE WE ARE
LIKELY TO SEE A DISASTROUS SHIFT
IN THE OTHER DIRECTION. THE
AMOUNT OF ACREAGE UNDER
CULTIVATION LICENSES IS DOWN BY
TEN PERCENT. MORE IMPORTANTLY
HALF THE LANDSLIDE SINCE HER
CULTIVATION TODAY IS UNDER A
PROVISIONAL LICENSE IN THOSE 80%
OF THOSE PROVISIONAL LICENSES
WILL EXPIRE RIGHT BEFORE HARVEST
. MOREOVER MANY CULTIVATORS
FOLLOW THIS YEAR UNABLE TO FIND
IN THIS YEAR'S GROW AFTER LAST
YEAR'S LOSSES. THAT MEANS THAT
THE SUPPLY OF BIOMASS COULD GO
DOWN BY AS MUCH AS 60% THIS
YEAR. IN OTHER WORDS WE COULD
WHIPLASH FROM A GROSS OVERSUPPLY
OF BIOMASS TO DISASTROUS
SHORTAGES. MOVING DOWN THE
SUPPLY CHAIN A YEAR AGO THERE
WAS A ROBUST IN INNOVATIVE BRAND
COMMUNITY IN THE CANNABIS
INDUSTRY. IN MAY TWENTY TWENTY
TWO THERE WERE CLOSE TO FIFTEEN
HUNDRED BRANDS ON THE MARKET. IN
A LESS THAN A YEAR LATER ONE
THIRD OF THOSE HAVE BEEN
SHUTTERED. IN ONLY ABOUT ONE
THOUSAND BRANDS REMAIN THAT'S A
LAWSUIT 33% OF OUR BRANDS.
DISTRIBUTORS ARE FACING CRUSHING
DEBT ESTIMATES ARE THAT THEY'RE
HOLDING ABOUT SEVEN HUNDRED
MILLION DOLLARS AN AGING
ACCOUNTS RECEIVABLE. THOSE ARE
DEBTS THAT THEY ARE PROBABLY
NEVER GOING TO COLLECT MUCH OF
THE STEP REPRESENTS UNREMITTED
TO EXCISE TAXES A LIABILITY THAT
THOSE DISTRIBUTORS FATE CARRY
FORWARD ALONG WITH 50% PENALTIES
. RETAILERS ARE STRUGGLING AS
WELL WE SEE NUMEROUS CLOSURES
AMONG AMONG A PALTRY NUMBER OF
STORES. THE MULTI STATE
OPERATORS BEHIND MANY RETAIL
CHANGE HAVE PULLED OUT THE STATE
ALTOGETHER CHARACTERIZING A
CALIFORNIAN CANNABIS MARKET AS
QUOTE TOXIC. OTHERS ARE TRYING
TO SELL OF THEIR LICENSES AT
BARGAIN BASEMENT PRICES. THIS
LARGELY STEMS FROM AN OVER
CONCENTRATION OF RETAIL STORES
IN THE LIMITED AREAS FOR
LICENSED CANNABIS RETAILERS
PERMITTED. ALL OF THIS IS
HAPPENING IN AN INDUSTRY WHERE
THERE ARE NO BANKRUPTCY
PROTECTIONS WERE INDIVIDUALS
CARRY PERSONAL LIABILITY FOR
BUSINESS TAXES OWED REGARDLESS
OF THE CORPORATE STRUCTURE. IN
WHERE FEDERAL TAX LAWS PREVENTED
DEDUCTION OF NORMAL BUSINESS
EXPANSION EXPENSES. THERE'S
STILL AN OPPORTUNITY TO MAKE
CHANGE THAT WILL ALLOW
CALIFORNIA TO BUILD THE VIBRANT
REGULATED TAX GENERATING
BUSINESSES THAT THE MAJORITY OF
CALIFORNIANS ASKED FOR AND
PASSING PROP SIXTY FOUR. BUT
THAT WILL REQUIRE IMMEDIATE AND
IMPORTANT CHANGES THIS. FIRST WE
NEED FAIR ACCESS TO ADULT
CONSUMERS TODAY OVER 60% OF
JURISDICTIONS STILL BAN CANNABIS
RETAIL. BY ALLOWING
MUNICIPALITIES TO OPT OUT AT THE
CANNABIS MARKET THIS STATE HIS
SEATED ALMOST TWO THIRDS OF THE
MARKET TO CRIMINALS. CALIFORNIAN
CONSUMERS CANNOT BY LEGAL
CANNABIS IF THERE IS A NEW STORE
IN THEIR CITY OR COUNTY. TWO WE
NEED TO BE ABLE TO COMPETE FOR
INCREASINGLY PRICE SENSITIVE
CONSUMERS WHICH THE CURRENT TAX
LEVY ON THE INDUSTRY PRE VENTS
BY COMPARISON THE STATE EXCISE
TAX ON A BOTTLE OF WINE IS FOUR
CENTS. THE STATE EXCISE TAX ON
AN EIGHT OUNCE OF CANNABIS IS
FOUR DOLLARS AND NINETY CENTS
THE RATE IS OVER A HUNDRED TIMES
HIGHER. THAT IS NOT COMPETITIVE.
ADDED TO THAT OUR PRODUCTS ARE
HIT BY LOCAL TAXES THROUGHOUT
THE SUPPLY CHAIN RESULTING IN AN
AGGREGATE TAX BURDEN THAT IS AS
MUCH AS 50% OF THE PRODUCT PRICE
. THREE WE ALSO NEED REAL
ENFORCEMENT ILLICIT CANNABIS
BUSINESSES ARE ROBBING THE STATE
OF ABOUT TWO BILLION DOLLARS IN
TAXES PER YEAR. GOOD ACTORS
CAN'T AND SHOULDN'T BE ASKED TO
MAKE UP FOR THAT SHORTFALL.
LASTLY WE ARE UNDER ATTACK FROM
A WHOLE NEW GENERATION OF
DESIGNER DRUGS BEING SOLD UNDER
THE GUISE OF HEMP. THESE
DANGEROUS PRODUCTS WHICH ARE
TYPICALLY MADE IN A LAB NOT
GROWN ON A FARM OR MANY TIMES
STRONGER THAN REGULATED CANNABIS
. EIGHT TIMES HUNDREDS OF TIMES
STRONGER. THEY'RE UNTESTED
UNSAFE IN ILLEGAL IN CALIFORNIA
EIGHT YET THERE HAS BEEN
VIRTUALLY NO ENFORCEMENT AGAINST
THEM. IN CLOSING CANNABIS IS ONE
OF CALIFORNIANS GREAT HERITAGE
INDUSTRIES ALONG WITH WIND
TECHNOLOGY AND ENTERTAINMENT.
INDUSTRIES SWEETENER CHURNED AND
FOSTERED WITH SUPPORT OF
LEGISLATION AND REGULATION. BY
RIGHT WE SHOULD ALSO HAVE A
ROBUST CANNABIS MARKET THAT IS
POISED TO DOMINATE THE NATIONAL
AND EVEN GLOBAL MARKET. IN
OPPOSE LEGALIZATION WORLD TO
ENSURE THAT WE NEED TO ADDRESS
THE URGENT ISSUES AT HAND. THANK
YOU FOR THE OPPORTUNITY TO
ADDRESS THE COMMITTEE I LOOK
FORWARD TO YOUR QUESTION. THANK
YOU MISTER OF IT MR HINE. UP
BEFORE GETTING INTO THE STATE OF
CANNABIS REGULATIONS AND OUR
RECOMMENDATIONS HOW TO IMPROVE
THEM I HAVE A QUESTION. WHAT IS
THE ONE THING THAT EVERYONE IN
THIS ROOM SHOULD AGREE UPON.
I'LL TELL YOU. CALIFORNIA IS
HOME TO THE GREATEST CANNABIS
GROWERS. BRANDS AND OPERATORS IN
THE WORLD. IF WE DO THIS RIGHT
CALIFORNIA AT THE CENTER OF A
MASSIVE GLOBAL LEGAL CANNABIS
INDUSTRY BRINGING UPSIDE TO
CALIFORNIA AS ARE OTHER ICONIC
INDUSTRIES. SUCH AS NAPA
HOLLYWOOD AND SILICON VALLEY
THAT IS IF WE DO IT RIGHT BUT SO
FAR WE ARE FALLING SHORT.
MISSTEP IT SHARED SOME OF THE
ROOT CAUSES OF ARKELLS I'M JUST
GONNA LEVERAGE LITTLE BIT MORE
ON THE LOCAL TAXES. IN THE CITY
OF LOS ANGELES I'M JUST USING
THIS AS AN EXAMPLE I KNOW
THEY'RE HERE I JUST HAPPENED TO
LIVE THERE. ASSUMING IDENTICAL
GROSS REVENUES GUESS HOW MANY
LIQUOR STORES IT TAKES TO
GENERATE AN EQUIVALENT LOCAL TAX
LIABILITY AS A SINGLE DISPENSARY
. TO FIVE TEN. SEVENTY EIGHT.
SEVENTY EIGHT STATED ANOTHER WAY
. DISPENSARY OWNERS IN LOS
ANGELES CAN CUT THEIR LOCAL TAX
RATES BY A FACTOR OF SEVENTY
EIGHT SIMPLY BY SHIFTING TO
SELLING ALCOHOL TOBACCO
PHARMACEUTICALS GUNS YOU NAME IT
. TAKE THESE HIGH TAXES AS WELL
AS THE HIGHEST FEDERAL TAX RATES
IN THE COUNTRY COMBINE THEM WITH
WELL INTENDED BUT OVERLY
BURDENSOME REGULATIONS AND
INCONSISTENT ENFORCEMENT AGAINST
OUR ILLICIT MARKET COMPETITORS
AND THE RESULT IS THE FAILURE OF
LEGALIZATION IN CALIFORNIA. SO
FAR. HOW CAN LEGALIZATION BE
CONSIDERED ANYTHING OTHER THAN A
FAILURE WHEN MOST CANNABIS IS
SOLD AND GROWN COMPLETELY
OUTSIDE THE REGULATED MARKET
WHERE THERE'S NO PROTECTIONS NO
TAXES AND NO TESTING WITH REGARD
TO THIS LAST POINT IT WAS ONLY
THREE AND A HALF YEARS AGO. THE
TWO THOUSAND EIGHT HUNDRED
PEOPLE WERE HOSPITALIZED IN
SIXTY EIGHT PEOPLE DIED. FROM
TAINTED CANNABIS PRODUCTS WHICH
OUR OWN DEPARTMENT OF HEALTH AND
THE CDC CONCLUDED WERE FROM THE
UNREGULATED THAT IS THE
UNLICENSED UNTESTED MARKET. BUT
DESPITE THESE CHALLENGES. I AM
ACTUALLY OPTIMISTIC THAT OUR
INDUSTRY. CAN WORK WITH THE
LEGISLATURE ADMINISTRATION AND
LOCAL POLICY MAKERS TO ADDRESS
EVERY ISSUE THAT WE HAVE. AND
NOTE THAT WE ARE NOT ASKING FOR
A HANDOUT. FOR A BAIL OUT
INSTEAD WE RESPECTFULLY REQUEST
THAT POLICYMAKERS CONSIDER THESE
SUGGESTIONS WHICH FOCUS MORE ON
EFFICIENCY AND FUNDING. FIRST.
WE BELIEVE CALIFORNIA SHOULD
FOLLOW THE LEAD THE NEW YORK
CANNABIS REGULATORS AND
ESTABLISH A CREDIT LAW.
REQUIRING TIMELY PAYMENT FOR
GOODS RECEIVED WITHOUT WHICH WE
WILL CONTINUE TO SEE OPERATORS
GOT WONDER. THIS YEAR WE ARE
SPONSORING THE CANNABIS CREDIT
PROTECTION ACT AB SEVEN SIX SECS
BY ASSEMBLYMEMBER TANG. AB SEVEN
SIX SIX IS BASED ON AN EXISTING
AND WELL ESTABLISHED FRAMEWORK
UTILIZED IN EVERY STATE
INCLUDING CALIFORNIA AND
REGULATING WINE AND SPIRITS AND
IT IS FURTHER MODELED AFTER
CURRENT CALIFORNIA LAW GOVERNING
PAYMENTS áWEEN
SUBCONTRACTORS. TIMELY SUPPLY
CHAIN PAYMENTS ARE THE
FOUNDATION OF ANY INDUSTRY. EVEN
CANNABIS. SECOND CUT RED TAPE IN
OPERATIONS AND LICENSING WE NOW
HAVE FIVE YEARS DATA ON THE
ACTUAL COST VERSUS THE HOPED FOR
BENEFITS OF EVERY REGULATION AND
WE SHOULD USE THIS TO IMPROVE
THEM. FOR EXAMPLE ELIMINATE THE
RULES THAT REQUIRE PRODUCERS TO
MAINTAIN COSTLY DISTRIBUTION
LICENSES FOR TESTING. SUCH RULES
HAVE RESULTED IN THE STATE
HAVING TO MANAGE ALMOST AS MANY
DISTRIBUTION LICENSES OVER
TWELVE HUNDRED DISTRIBUTION
LICENSES. AS STOREFRONTS TO SELL
TO. THE HEAD OF A DISTRIBUTION
ASSOCIATION I CAN TELL YOU THAT
MAKES NO SENSE AT ALL. EVEN
SEEMINGLY MINOR REGULATIONS SUCH
AS METRIC INEFFICIENCIES.
USELESS THIRTY BONDS AND OVERLY
RESTRICTIVE OPERATING OUR
LIMITATIONS ALL ADD UP EACH
DOLLAR IN REGULATORY COSTS MOVES
EVEN MORE CONSUMERS TO THE
ILLICIT MARKET. REGARDING
LICENSING THE SYSTEM IS BROKEN A
YEAR TO GET PERMISSION SO ONE
CAN START RUNNING THE LEGAL
BUSINESS IS SIMPLY BAD PUBLIC
POLICY. RIGHT NOW A MEMBER OF
OUR ASSOCIATION HAS AUCTIONED A
TWENTY THOUSAND SQUARE FOOT
FACILITY IN LOS ANGELES BUT THEY
ARE HESITANT MOVING FORWARD
BECAUSE THEY DON'T THINK THEY
CAN GET IT LICENSED WITHIN A
YEAR. AND YOU THINK ABOUT THAT A
YEAR IS AN AWFUL LONG TIME TO
PAY FOR AN EMPTY BUILDING.
BESIDES SPEEDING UP LICENSING
WHY NOT HAVE RENEWALS RUN FOR
TWO THREE OR EVEN FIVE YEARS.
THEREBY REDUCING THE BURDEN ON
BOTH OPERATORS AND REGULATORS
AND I PARTICULARLY IMPLORE YOU
TO NOT LET C. QUIP YUROK CHRISSY
PUT LEGAL OPERATORS AND THEIR
EMPLOYEES OUT OF BUSINESS. THIRD
AND FINALLY. WE NEED ENFORCEMENT
AGAINST ARE FORMIDABLE
COMPETITORS UNLICENSED OPERATORS
THERE TWICE OUR INDUSTRY SIZE
WITH A VERY UNFAIR PRICE
ADVANTAGE THEY ALSO SELL 2100%
OF THE STATE. WHILE WE'RE
LIMITED TO THE 39% OF
JURISDICTIONS THAT LICENSE
RETAIL. I DO THANK YOU FOR YOUR
SUPPORT OF THIS IMPORTANT
CALIFORNIANS INDUSTRY AND WE
LOOK FORWARD TO WORKING WITH YOU
THE ADMINISTRATION AND LOCAL
POLICYMAKERS TO MAKE SURE THAT
CALIFORNIA TAKES ITS RIGHTFUL
PLACE AT THE CENTER OF THE
COMING MASSIVE GLOBAL LEGAL
CANNABIS INDUSTRY. THANK YOU
THANK YOU MISTER HÌNH MR
GERSHUNI. THANK YOU TO THE CHAIR
. VIA AND THE COMMITTEE FOR
HOLDING THIS HEARING. I'M TRULY
GRATEFUL YOU'RE TAKING THIS TIME
TO- HAVE THIS CONVERSATION WITH
US. IN TWO THOUSAND THIRTEEN MY
PARTNERS AND I FOUNDED JETTY
EXTRACTS WITH THE GOAL OF MAKING
CLEAN QUALITY CANNABIS PRODUCTS
THAT WE WOULD WANT TO USE. MY
JOURNEY INTO THE CANNABIS
INDUSTRY BEGAN WHEN MY FATHER
FOUND THAT CANNABIS WAS THE BEST
OPTION TO MITIGATE HIS BACK
PAIN. EACH MONTH I HEAR FROM
CONSUMERS WHO USE OUR PRODUCTS
TO HELP MANAGE ANXIETY INSOMNIA
PTSD SIDE EFFECTS OF
CHEMOTHERAPY AND A MYRIAD OF
OTHER ISSUES. I CONTINUE TO BE
HUMBLED BY THE IMPACT THAT
CANNABIS AND CANNABIS COMPANIES
CAN HAVE ON PEOPLE'S WELL BEING
. IN THE NEARLY TEN YEARS SINCE
WE STARTED JEDI WE HAVE DONATED
OVER ONE MILLION DOLLARS OF HIGH
QUALITY CANNABIS PRODUCTS. TO
OVER ONE THOUSAND CANCER
PATIENTS THROUGHOUT CALIFORNIA.
WHEN COULD SHUT DOWN OUR ECONOMY
AND SCHOOLS CANNABIS WAS DEEMED
AN ESSENTIAL BUSINESS. WE ALL
CONTINUE TO OPERATE PROVIDING
SAFE REGULATED CANNABIS PRODUCTS
TO THE PEOPLE OF CALIFORNIA. AT
A TIME WHEN OPIATE AND ALCOHOL
USE AND RELATED FATALITIES HAVE
INCREASED DRAMATICALLY. JERRY
HAS GROWN TO BECOME ONE OF
CALIFORNIA'S LARGEST CONCENTRATE
BRANDS SOLD LEGALLY IN HUNDREDS
OF STORES STATEWIDE. WE EMPLOYS
SEVENTY TWO PEOPLE PROVIDING
STABLE INCOME INSURANCE AND
RETIREMENT BENEFITS. WE HOPE TO
CONTINUE TO HIRE THIS YEAR. I AM
PROUD OF THE POSITIVE IMPACT THE
JEDI IS MADE ON OUR COMMUNITY
OUR CONSUMERS AND OUR TEAM. JUST
TEN DAYS AGO JERRY RECEIVED ITS
FIRST ANNUAL DISTRIBUTION
LICENSE FROM TCC. ONE THOUSAND
NINE HUNDRED AND ONE DAYS AFTER
WE APPLIED FOR IT. THAT'S OVER
FIVE YEARS FROM APPLICATION TO
ISSUANCE. TO OBTAIN THIS
DISTRIBUTION LICENSE AT THE
STATE LEVEL ALONE. WE EXCHANGED
HUNDREDS OF EMAILS WITH TO STATE
LICENSING AGENCIES. WE SUBMITTED
SEVERAL HUNDRED PAGES OF FORMS
STANDARD OPERATING PROCEDURES
THE SAUDI PLANS DIAGRAMS
FINGERPRINTS PERSONAL
INFORMATION CORPORATE DOCUMENTS
FINANCIAL STATEMENTS INVESTMENT
AGREEMENTS AND OTHER DOCUMENTS.
WE COMMUNICATED WITH NINETEEN
SEPARATE PCC AND GCC EMAIL
ACCOUNTS INCLUDING FIVE
LICENSING ANALYSTS ONE EXECUTIVE
PROGRAM ANALYST THREE STAFF
SERVICE MANAGERS ONE
ENVIRONMENTAL SCIENTIST. ONE
ASSISTANT CHIEF COUNSEL AND ONE
CHIEF OF BUREAU. AND WE SPENT
OVER ONE MILLION DOLLARS ON
ATTORNEYS LICENSING SPECIALISTS
LICENSE FEES AND THE EXTRA
WAREHOUSE SPACE BALLROOMS
LABELING EQUIPMENT AND PERSONNEL
THAT IS REQUIRED TO MAINTAIN A
DISTRIBUTION LICENSE. WHAT I'D
LIKE TO HIGHLIGHT TO THE
COMMITTEE ABOUT THIS PROCESS IS
NOT JUST THE INCREDIBLE LENGTH
OF TIME IT TOOK TO GET THIS
DISTRIBUTION LICENSE FOR THE
EXCESSIVE COSTS WE INCURRED IN
DOING SO. IT'S ALSO THE JEDI IS
NOT EVEN IN THE DISTRIBUTION
BUSINESS AND WE HAVE NO DESIRE
TO BE. WE ARE MANUFACTURER AND A
BRAND. WE MANUFACTURE CANNABIS
PRODUCTS THAT ARE PLANTS WHICH
ARE THIRD PARTY DISTRIBUTOR
PICKS UP FROM OUR FACILITY
STORES AT ONE OF THEIR
DISTRIBUTION WAREHOUSES AND
SHIPS ONWARD TO RETAILERS ALL
OVER THE STATE. MUCH LIKE
MANUFACTURERS DO IN OTHER C. P.
G. INDUSTRIES LIKE ALCOHOL FOOD
AND NATURAL PRODUCTS. WE HAVE A
MANUFACTURING LICENSE FOR THIS
PURPOSE OBTAINED OVER A SIMILAR
PERIOD OF TIME AT EVEN GREATER
COSTS FROM AN ENTIRELY DIFFERENT
SET OF LICENSING ANALYSTS STAFF
SERVICE MANAGERS EXECUTIVE
PROGRAM ANALYSTS AND
ENVIRONMENTAL SCIENTISTS. ALL
CANNABIS PRODUCTS SOLD LEGALLY
IN CALIFORNIA MUST BE TESTED BY
A THIRD PARTY LAB. THE STATE
MANDATES THAT ONLY DISTRIBUTION
LICENSE HOLDERS MAY ARRANGE FOR
THIS VERY IMPORTANT LABORATORY
TESTING. MANUFACTURING LICENSE
HOLDERS ARE NOT PERMITTED TO
ARRANGE FOR THIS TESTING.
THEREFORE WE ARE FORCED TO
OBTAIN THIS SEPARATE
DISTRIBUTION LICENSE. WITH ALL
OF THE COSTS FEES TIME
ADMINISTRATIVE HEADACHES THAT
ENTAILS JUST TO ARRANGE FOR
REQUIRED LAB TESTING OF OUR
PRODUCTS. THE DISTRIBUTION
LICENSE IN OUR CASE IS
COMPLETELY SUPERFLUOUS. IT
SERVES NO PURPOSE OTHER THAN TO
DUPLICATE TIME AND EFFORT FOR
OUR EMPLOYEES FOR DCC STAFF AND
TO ADD DISTRACTION AND EXPENSE
TO OUR BUSINESS. MEANWHILE OUR
MAIN COMPETITION THE ILLICIT
MARKET OBTAINS NO LICENSES HE'S
NO TAXES AND CONDUCTS NO TESTING
. I'VE HIGHLIGHTED THIS STORY
ABOUT OUR DISTRIBUTION LICENSE
BUT I WANT TO EMPHASIZE THAT
THIS IS JUST ONE EXAMPLE OF THE
SEVERE AND OFTEN IRRATIONAL
BUREAUCRATIC DRAG THAT
NEGATIVELY IMPACTS OUR BUSINESS
. THIS LICENSING ISSUE REQUIRES
A STATUTORY FIX. AS YOU SEVERAL
ISSUES THAT THIS COMMITTEE CAN
HELP WITH BUT THERE ARE ALSO
DOZENS OF AREAS WERE EASY
LOGICAL TWEAKS TO DCC
REGULATIONS WOULD MAKE A
CONSIDERABLE DIFFERENCE TO A
BUSINESS WHERE MARGINS ARE
PERILOUSLY THIN. OUR INDUSTRY IS
STRUGGLING. DOZENS OF CANNABIS
COMPANIES HAVE SHUT THEIR DOORS
AND DOZENS MORE WILL DO SO THIS
YEAR. OUR CUSTOMERS ARE
STRUGGLING TO PAY THEIR INVOICES
ON TIME. OUR SUPPLIERS ARE
DESPERATE FOR BUSINESS THE
INDUSTRY IS IN PERIL. I INVITE
YOU ALL TO COME VISIT OUR STATE
OF THE ART PRODUCTION FACILITY
IN OAKLAND. TO SPEAK WITH OUR
STAFF. AS WE WOULD ALL BE HAPPY
TO ANSWER ANY QUESTIONS YOU MAY
HAVE AND DISCUSS WHY THE
SURVIVAL OF COMPLIANT COMPLIANT
CANNABIS COMPANIES IS SO
IMPORTANT. I HUMBLY ASK THE
STATE REVIEW THE COSTS IMPOSED
ON LEGAL OPERATORS. THIS IS
IMPERATIVE FOR THE CONTINUED
EXISTENCE OF JETTY EXTRACTS AND
ALL THE OTHER CANNABIS
BUSINESSES IN CALIFORNIA. I LOOK
FORWARD TO WORKING WITH THIS
COMMITTEE TO TRY TO MAKE THAT
HAPPEN. THANK YOU. THANK YOU SIR
MISS COLEMAN. GOOD MORNING
HONORABLE TURN MEMBERS. MY NAME
IS JEANINE COLEMAN I AM THE
FOUNDER AND EXECUTIVE DIRECTOR
OF ORIGINS COUNCIL WE REPRESENT
EIGHT HUNDRED SMALL AND
INDEPENDENT LICENSED CANNABIS
BUSINESSES ACROSS RURAL
CALIFORNIA. WE'RE HONORED TO
HAVE BEEN INVITED TO PARTICIPATE
IN THIS HEARING TODAY THANK YOU
SO MUCH. FOR PROVIDING THIS FORM
TO US. MY COMMENTS FOCUSED ON
THE EXPERIENCES AND NEEDS OF OUR
MEMBERSHIP WHICH EMBODY A VERY
UNIQUE SECTOR OF THE REGULATED
CANNABIS INDUSTRY. IN ADDITION
TO THE LICENSED DISTRIBUTORS
MANUFACTURERS AND RETAILERS IN
OUR REGION. WE REPRESENT
HUNDREDS. OF LEGACY SMALL SCALE
HOMESTEAD FARMING FAMILIES THAT
HAVE STEPPED FORWARD. ASKED TO
BE REGULATED PROUD TO SHARE
THEIR AGRICULTURAL HERITAGE WITH
THE WORLD. THEIR LIVELIHOODS ARE
DEEPLY WOVEN THROUGH THE
ECONOMIC FABRIC OF OUR RURAL
COMMUNITIES AND THE SUCCESS OR
FAILURE OF THEIR BUSINESSES
DEEPLY IMPACTS THE SOCIAL AND
ECONOMIC HEALTH. OF OUR REGION'S
. IT IS MY RESPONSIBILITY TO
COMMUNICATE TO YOU ALL THAT OUR
MEMBERS AND THOSE ARE RURAL
COMMUNITIES ARE IN SERIOUS
DISTRESS. LICENSES ARE BEING
SURRENDERED DALY. HOSTED
PROPERTIES ARE BEING PUT UP FOR
SALE. NOT CANNABIS BUSINESSES
ARE SHUTTERING WE'RE SEEING AN
ALARMING INCREASE IN
APPLICATIONS FOR PUBLIC
ASSISTANCE. DIVORCES SUBSTANCE
ABUSE AND SUICIDE. THERE ARE TWO
FUNDAMENTAL CAUSES FOR THIS
DISTRESS LICENSING CHALLENGES
AND THE COLLAPSE IN MARKET
CONDITIONS. WE NEED LEGISLATIVE
SOLUTIONS THIS YEAR THAT ENSURE
LICENSING SECURITY. AND EXPANDED
MARKET ACCESS FOR SMALL
PRODUCERS. I'LL SPEAK TO
LICENSING CHALLENGES FIRST
CANNABIS FARMING IS NOT
REGULATED AS AN AGRICULTURAL
ACTIVITY IN CALIFORNIA. INSTEAD
FARMS ARE REGULATED LIKE
COMMERCIAL DEVELOPMENT PROJECTS
. AMONG THE MANY CHALLENGES THIS
POSES EVERY SINGLE FARM
REGARDLESS OF SIZE MUST UNDERGO
SITE SPECIFIC SEEK REVIEW AND
CERTIFICATION. IN ORDER TO
QUALIFY FOR AN ANNUAL LICENSE.
FIVE YEARS INTO LEGALIZATION
LESS THAN HALF OF CULTIVATION
LICENSES STATEWIDE HAVE ACHIEVED
ANNUAL STATUS. FURTHERMORE THE
BURDEN OF SITE SPECIFIC SEQUEL
HAS FALLEN UPON LOCAL
GOVERNMENTS. WE HAVE THE DATA
EVEN WITH ADDITIONAL FUNDING
MANY LOCAL GOVERNMENTS ARE
CLEARLY STRUGGLING TO MEET THE
STATE MANDATE ON BEHALF OF THEIR
LICENSEES. IN TWENTY TWENTY ONE
THE STATUTE WAS AMENDED TO
INCLUDE AGGRESSIVE BENCHMARKS
FOR SEEK REVIEW. MANY LOCAL
JURISDICTIONS ARE UNABLE TO MEET
THE STATUTORY BENCHMARKS AND
THERE LICENSES WILL BE UNABLE TO
RENEW. AND THEIR LICENSEES
PARDON ME WILL BE UNABLE TO
RENEW THEIR PROVISIONAL LICENSE
AFTER JULY FIRST ONCE AGAIN
CANNABIS BUSINESSES ARE FACING A
CRISIS OF LICENSING AND
SECURITY. DUE TO THE UNREALISTIC
STATUTORY TIMELINES FOR SEEK ONE
LICENSING. THE THIRD SUCH CRISIS
SINCE LEGALIZATION. DUE TO THE
AGGRESSIVE TIMELINES WE'RE
FACING THERE ARE VERY FEW
IMMEDIATE POLICY REMEDIES. WE
NEED EITHER MORE TIME. OR WE
NEED A STATUTORY SEQUEL
EXEMPTION FOR SMALL FARMERS. AND
WE NEED ONE OF THESE SOLUTIONS
TO BE LOVED BY JULY FIRST OF
THIS YEAR. WE WOULD ALSO LIKE TO
VOICE OUR SUPPORT FOR S. B.
FIFTY ONE INTRODUCED BY
HONORABLE SENATOR BRADFORD WHICH
SEEKS TO EXTEND THE PROVISIONAL
LICENSING PROGRAM FOR SOCIAL
EQUITY OPERATORS WHICH RELATES
TO MY NEXT POINT REGARDING
MARKET CONDITIONS. OVER THE PAST
TWO YEARS THE PRICE FOR
WHOLESALE CANNABIS HAS COLLAPSED
DUE TO MARKET SUPPLY AND DEMAND
ISSUES. ON THE ONE HAND LOCAL
CONTROL HAS RESULTED IN 61% OF
JURISDICTIONS BANNING RETAIL
CANNABIS BUSINESSES. THE STATE
HAS ONLY SIXTEEN HUNDRED
LICENSED RETAILERS WE NEED
MARKET EXPANSION. ON THE OTHER
HAND THE STATE IS ALLOWED FOR
LARGE SCALE FIRMS TO BE LICENSE
FROM THE ONSET OF LEGALIZATION
CONTRARY TO THE INTENTION OF
PROPOSITION SIXTY FOUR. THIS HAS
RESULTED IN A MASSIVE
OVERPRODUCTION ISSUE. WITH THE
STATE PRODUCING AN ESTIMATED
SEVEN POINT FIVE MILLION POUNDS
OF CANNABIS LAST YEAR.
OVERPRODUCTION IS COMPOUNDED BY
INFLEXIBLE STATE LICENSING RULES
WHICH MAKE IT EXTREMELY
DIFFICULT FOR CULTIVATORS TO
SEASONALLY FELLOW THEIR CROPS.
THE CALIFORNIA LICENSING
FRAMEWORK SILO SUPPLY CHAIN
ACTIVITIES UNDER DISTINCT
LICENSING FOR CULTIVATION
MANUFACTURING TESTING AND
DISTRIBUTION. AND RETAIL. MANY
RETAILERS ARE VERTICALLY
INTEGRATED ALSO HOLDING LICENSES
FOR CULTIVATION. THIS IS A
MARKET ACCESS STRATEGY WHICH IS
ENTIRELY OUT OF REACH FOR
MODESTLY RESOURCE SMALL RURAL
FARMERS. EVEN IF THESE FARMERS
HAVE THE RESOURCES TO PURSUE
RETAIL LICENSING LEGACY FARMERS
LIVE AND FARM IN REMOTE RURAL
AREAS THAT ARE ALMOST NEVER
COMPATIBLE WITH LOCAL ZONING AND
LAND USE REQUIREMENTS FOR ON
FARM CANNABIS RETAIL ACTIVITY.
OUR MEMBERS ARE DEEPLY INVESTED
IN THE LONG TERM VIABILITY OF
CALIFORNIA CRAFT CANNABIS. AND
STRENGTHENING THE ECONOMIES OF
OUR WORLD RENOWNED FARMING
REGIONS. WE'VE BEEN PARTNERS FOR
MANY YEARS WITH THE STATE AND
THE HISTORIC EFFORT. TO DEVELOP
THE WORLD'S FIRST LEGAL
APPELLATION SYSTEM FOR CANNABIS.
GARNERING THE ATTENTION AND
SUPPORT OF THE CALIFORNIA WINE
INDUSTRY AND THE FRENCH NATIONAL
ASSEMBLY. HERITAGE SMALL FARMERS
OFFER CALIFORNIA THE OPPORTUNITY
TO DIFFERENTIATE AS A
HISTORICALLY RENOWNED CANNABIS
FARMING REGION WITHIN THE GLOBAL
CANNABIS MARKET PLACE. AS WE
FACE THE POTENTIAL EXTINCTION OF
CALIFORNIA'S HERITAGE SMALL
FARMERS THIS OPPORTUNITY IS AT
GRAVE RISK WE ARE AT GRAVE RISK
. WE NEED YOUR HELP WE NEED
MARKET ACCESS TOOLS SMALL BATCH
CANNABIS PRODUCERS NEED TO BE
ABLE TO PURSUE. DIRECT TO
CONSUMER MARKETING AND SALES
JUST LIKE ALL OTHER SMALL BATCH
PRODUCERS ARE AFFORDED IN THE
STATE OF CALIFORNIA. IN
CONCLUSION WE BELIEVE THERE ARE
TWO FUNDAMENTAL QUESTIONS WE
NEED TO ASK OURSELVES. WHEN
GAUGING CALIFORNIA SUCCESS IN
ACHIEVING A SAFE SUSTAINABLE AND
EQUITABLE REGULATED CANNABIS
MARKET. ONE IS A LICENSING AND
REGULATORY FRAMEWORK SMALL
BUSINESS FRIENDLY. TWO IS IT
SMALL FARMER FRIENDLY.
CONDITIONS ON THE GROUND
INDICATE THAT WE HAVE
SIGNIFICANT WORK AHEAD TO BE
ABLE TO TRUTHFULLY ANSWER YES TO
THESE QUESTIONS. ON BEHALF OF
OUR EIGHT HUNDRED SMALL CANNABIS
BUSINESS MEMBERS WE GREATLY LOOK
FORWARD TO WORKING WITH YOU ON
THE LEGISLATURE AND THE
ADMINISTRATION THIS YEAR TO GET
TO YES. THANK YOU SO MUCH FOR
THE OPPORTUNITY TO COMMENT.
THANK YOU FOR YOUR COMMENTS AS
INDICATED AT THE BEGINNING WE
WERE WE'RE GOING TO. PERMIT
THOSE ON THE DIS TO ASK THE
PANELISTS QUESTIONS BEFORE WE
MOVE ON TO OUR NEXT PANEL LET
ME. START OUT WITH ONE OR TWO-
HOPEFULLY THEY'LL BE INTELLIGENT
QUESTIONS. YOUR REFERENCE SLICE
OF THE LENGTH OF TIME FOR
LICENSING- AND OTHER ISSUES AND
I GUESS I'M TRYING AT LEAST
INITIALLY TO GET AN IDEA OF.
WITH REGARD TO THE SPECIFIC
SUBSTANTIAL ISSUES ARE THEY
PRIMARILY AT THE STATE LEVEL
WITH REGARD TO LICENSING OR THE
LOCAL LEVEL OR BOTH. I'M TALKING
NOW ABOUT THE CULTIVATION
OPERATION I CAN MOVE TO THE
OTHERS AS WELL. DUE TO THE
ENVIRONMENTAL AND LAND USE
COMPLIANCE ISSUES PARTICULARLY
THE SITE SPECIFIC SEEK WELL
WHICH IS A STATE LICENSING
REQUIREMENT. IT'S REALLY PUT
UPON LOCAL JURISDICTIONS TO
EFFECTUATE THAT REVIEW AND
CERTIFICATION. AND PARTICULARLY
FOR RURAL JURISDICTIONS THAT
DON'T SEE A NUMBER OF PROJECTS.
THIS VOLUME OF PROJECTS
THROUGHOUT THE YEAR IS
CONSIDERABLE. AND SO FOR EXAMPLE
HUMBOLDT COUNTY HUMBOLDT COUNTY
HAS. DONE A GOOD JOB AT
EFFECTUATE IN THIS REVIEW IN
GETTING FOLKS TO ANNUAL LICENSES
BUT IT'S TAKEN FIVE YEARS- FOR
ROUGHLY EIGHT HUNDRED FARMS. AND
SO IT'S REALLY A MATTER OF
VOLUME AND THE BURDEN UPON LOCAL
GOVERNMENT TO CONDUCT THAT
REVIEW AND SEQUEL CERTIFICATION
OF STAFFING COST. OR ABSENCE
THEREOF IN TERMS OF FUNDING AND
STAFFING DRIVES THE LENGTH OF
TIME. YES AND WE HAVE THE- LOCAL
JURISDICTION ASSISTANCE GRANT
PROGRAM AND THOSE FUNDS MOVE
FORWARD TO THOSE JURISDICTIONS
MOST IN NEED. BUT WE HAVE NOW
SEEN ROUGHLY TWO YEARS LATER
THAT THAT IS NOT HELD ON IT'S
DIFFICULT TO STAFF IN RURAL
JURISDICTIONS TO YOU KNOW GARNER
THE TALENT TO COME IN SUPPORT-
BUT IT'S AGAIN SURELY THE VOLUME
IN THE COMPLEXITY- OF THE SEEK
REVIEW AND THE ADDITIONAL
REQUIREMENTS- WITH. PERTAINING
TO THE LOCAL ORDINANCES. OTHER
PANELISTS COMMENTS. I WISH I HAD
WITH WITH. THE ONE THING I WOULD
ADD WITH REGARD TO SEE QUOTE
REVIEW IS. A LOT OF RESOURCES
HEARD USED UP TUNING SEQUEL
REVIEWS FOR EVERY LICENSE TYPE.
I'M STILL A RETAILER WHO MOVES
INTO A FACILITY THAT USED TO BE
FOR A DIFFERENT KIND A RETAIL
STILL HAS TO GO THROUGH SEE
CORPORATE VEHICLE- A SIMPATICO
IS WE ARE OVER ALLOCATING
RESOURCES BY HAVING THAT C.
QUOTE REQUIREMENT. FOR EVERY
TYPE OF BUSINESS. ANY OTHER
COMMENTS MISTER ANDERSON. THERE
IS ROOM FOR SIGNIFICANT
IMPROVEMENT AT BOTH THE STATE
AND LOCAL LEVEL. THE COMMENT MR
I DO AGREE WITH WITH WES- BUT
YEAH EVERYTHING I DESCRIBED WAS
JUST RELATED TO THE STATE
LICENSING. WHAT WAS ONE QUESTION
I WAS GOING TO ASK IN AND THAT
RELATES. STEVAN TO YOUR COMMENT
. THAT'S THIS HOW CAN WE
COMBINE- AT LEAST SOME ELEMENTS
OF BOTH OF THE PROCESSES THAT WE
HAVE IN PLACE BOTH AT THE STATE
LEVEL AND THE LOCAL LEVEL. SO
THAT APPLICANTS DON'T HAVE TO
REPEAT STEPS WERE THE GLOBAL
GOVERNMENT STATE GOVERNMENT THEY
DON'T HAVE TO DUPLICATE EFFORTS
. AND ACHIEVE THE RESULTS SO
MAYBE WE HAVE A PRIMARY ACTOR
AND THEN WE HAVE SUPPLEMENTAL
ACTION IS TAKEN ANY COMMENTS ON
THAT IN ANY. ANY COMMENTS
DIRECTED AS TO THE SPECIFICS IN
TERMS OF HOW WE COULD COMBINE
ELEMENTS OF THIS REVIEW PROCESS
. PART PART OF WHAT I THINK WE
WANNA DO IS KIND OF NORMALIZE
THE CANNABIS INDUSTRY A SURGEON
NAME MADE THE POINT THAT
CULTIVATORS ARE NOT TREATED LIKE
NORMAL FARMERS- IN CANNABIS IS
NOT TREATED LIKE A NORMAL
AGRICULTURAL CROP. BUT THAT SORT
OF BEING TREATED DIFFERENTLY
HAPPENS ALL THROUGH. THE
BUREAUCRATIC PROCESS. ONE WOULD
HOPE THAT KIND OF THE- WHERE WE
WOULD TRY TO GET TO AS A POINT
WHERE ALL THE LOCAL JURISDICTION
HAD TO DO WAS SET UP CERTAIN
ZONING LAWS. ABOUT WHERE
CANNABIS IS ALLOWED AND WHAT
TYPE OF BUSINESS THAT IS ALLOWED
IN EACH AREA AS IT STANDS THERE
SETTING UP THESE FULL PROGRAMS
WHICH TAKES A LOT OF TIME IN
ADDS COMPLEXITY. OKAY ONE OF
THE- ISSUES THAT YOU ALSO SOME
OF YOU ALSO TOUCHED ON. IS THE
DIFFICULTY IN TRANSITIONING
FROM- PROVISIONAL LICENSING TO
ANNUAL LICENSING. ANY COMMENTS
ON THE REASON FOR THAT IN THE
AREAS THAT YOU WORK IN. YEAH I
WANTED TO- SPEAK TO YOUR EARLIER
POINT AS WELL WHICH I THINK WILL
PLEASED TO BOTH. I'M LAST YEAR
SENATOR LAYERED INTRODUCED SB
ELEVEN FORTY EIGHT AND THAT
SOUGHT TO ELIMINATE THE
DUPLICATIVE PROCESS- ON THE
STATE LEVEL. THE ISSUE IS THAT
SEQUENCE. AS IT'S BEING APPLIED
TO CANNABIS IS REALLY AN
ANOMALOUS- ATION OF HOUSE
SEQUENCE REPLIED NORMALLY AND SO
. ALLOWING THE LOCAL
JURISDICTION TO PLAY LEAD AGENCY
OR ALLOWING THE STATE TO PLAY
LEAD AGENCY WOULD STREAMLINE- IN
IN BOTH CASES BUT REQUIRING
BOTH. TO DO THE LEVEL OF REVIEW-
IS DEFINITELY A SIGNIFICANT
BURDEN UPON THE WHOLE SYSTEM. IN
THIS REGARD PROVISIONAL
LICENSING PROCESS ANNUAL. IT'S
LARGELY THE SEQUIN ISSUE IS
LARGELY THE SEQUEL YES I WOULD
SAY ALMOST EXCLUSIVELY AT THIS
POINT YEAH INTO HER LIFE. THE
THERE'S A VERY LOW BAR TO GET A
PROVISIONAL LICENSE AND THOSE
ARE GOING AWAY SO I THINK GOING
FORWARD IT'S GOING TO BE MORE
LIKE WHAT WHAT DOES IT TAKE TO
GO FROM. STARTING UP TO GETTING
THE ANNUAL LICENSE. LET ME ASK
ONE OTHER QUESTION IN THE MIDDLE
OF MY COLLEAGUES. HAVE AT IT.
YOU OF THINGS YOU MISTER THAT
MENTION THE EXCISE TAX THE
DIFFERENCE BETWEEN ALCOHOL AND
CANNABIS FOUR CENTS VERSUS FOUR
DOLLARS WHERE YOU THINK THE
EXCISE TAX SHOULD BE. AT THE
STATE LEVEL. IF THE STATE OF
CALIFORNIA ACTUALLY WANTS TO
MAKE A PRIORITY OF GETTING RID
OF THE ILLICIT TAX ILLICIT
MARKET. YOU WOULD NEED TO GO
OUT. SUSPEND THE CULT THAT SORRY
SUSPEND THE EXCISE TAX
ALTOGETHER ALTOGETHER THAT WOULD
BE THE QUICKEST PATH WAY. TO
WILL CUSSING THE ILLICIT MARKET
TO WHETHER A WAY AND EVERYBODY
ON THE PANEL OR ALMOST EVERYONE
REFERENCE THE NEED FOR
ENFORCEMENT BUT AT THE END OF
THE DAY ENFORCEMENT IS REALLY A
GAME OF WHACK A MOLE. AND WHAT'S
GONNA COST THE ILLICIT MARKET TO
KIND OF DRY UP IS THE REGULATED
MARKET- TAKING THAT MARKET
SHARE. IN AS LONG AS WE HAVE
THIS KIND OF UNFAIR COMPETITION
AND ESPECIALLY IN TODAY'S
ECONOMY YOU'RE GOING TO SEE
CONSUMERS GRAVITATE TOWARDS THAT
LOWER PRICE POINT- SO I DID SAY
AND I WOULD RECOMMENDED AN IDEAL
SCENARIO THAT ONE SUSPENDED THE
EXCISE TAX IF THAT WAS THE
PRIMARY GOAL I REALIZE HE OF
BUDGET SHORTFALLS IN AND IS NOT
POLITICALLY PRACTICAL- SO
MINUTE. MY RESPONSE WOULD BE
BRING IT DOWN AS LOW AS YOU CAN
BRING IT DOWN WITH THE
UNDERSTANDING THAT IF YOU
INCREASE THE SIZE OF THE MARKET
YOU CAN HAVE YOUR EXCISE TAX AND
NOT LOSE. IF YOU DOUBLE THE SIZE
OF THE LEGAL MARKET YOU CAN HAVE
YOUR EXCISE TAX CUT IT IN HALF
AND NOT LOSE ANY REVENUE. AND
THERE WAS A VERY IMPORTANT STUDY
BY THE REASON FOUNDATION LAST
YEAR THAT DID A LOT OF ANALYSIS
ABOUT WHAT IT WOULD MEAN TO
LOWERED THE EXCISE TAX. AND WHAT
THEY MODEL THAT WAS IF YOU
LOWERED THE EXCISE TAX YOU BRING
IN NEW CONSUMERS THE STATE
ACTUALLY GETS MORE RIGHT THAN
OUT. MAY I ALSO ANSWER THE
QUESTION YES SIR- THIS COUNTRY
IN THE STATE HAS APPROXIMATELY A
NINETY YEAR HISTORY AND TAXING
AND TOXIC COMES. WHICH IS THE
ALCOHOL MODEL AND I WOULD THINK
. THAT THAT'S A BAR THAT WE
SHOULD BE LOOKING FOR. WELL
PROVEN. ANY OTHER KERR. RETURN
MY COLLEAGUES AND TACKLE HERE.
MR JEFF. ANYONE ELSE. ANYONE
ELSE. BRADFORD. WHILE I DID I
GET YOU. HEY LET'S START WITH
SENATOR HUB. THANK YOU- SO I DO
JUST WANNA SAY COME FROM CITY OF
HAYWARD WHICH SHE DID HAVE A
LOCAL CANNABIS ORDINANCE- AND-
THERE'S A LOT OF DIFFICULTIES AT
PLAY IN IN HAYWARD IN PARTICULAR
WE HAD CULTIVATION DELIVERY
INCLUDING NON STOREFRONT RETAIL.
AS WELL AS DISTRIBUTION
MANUFACTURING TYPE ONE AND TWO-
MICRO BUSINESS- TESTING
LABORATORY IN STORE FRONT
RETAIL- ROUGHLY ABOUT A YEAR AND
A HALF TWO YEARS AGO- I LED AN
EFFORT TO REFORM THE ORDINANCE-
BECAUSE WE HEARD FROM LOCAL
CANNABIS- BUSINESSES THAT IT'S
NOT WORKING. OUT WE HAD ONE
BUSINESS OPEN- ROUGHLY IN AUGUST
AND WITHIN ONE YEAR OF MADE. A
SIGNIFICANT AMOUNT OF. I IT TAX
REVENUE FOR THE CITY OVER
ROUGHLY ABOUT HALF A MILLION
DOLLARS AND IT WASN'T A FULL
SALAS HERE RATE SO I UNDERSTAND
WHAT YOU GUYS ARE TALKING ABOUT
AT THE STATE LEVEL- REGARDING
TAXES BUT IS THE OTHER CONCERN
IS THE LOCAL JURISDICTIONS HAVE
THE ABILITY TO TAX CANNABIS AS
WELL- IN PARTICULAR HAYWARD I
DECIDED TO TAX THE LOCAL
CANNABIS INDUSTRY- AT SEVEN
PERCENT. 1% OF THAT SEVEN
PERCENT- IS TO GO TO DIFFERENT
COMMUNITY BENEFITS RIGHT AND YOU
KNOW WE KEEP TALKING ABOUT
EQUITY AND YOU KNOW STARTING OF
THESE BUSINESSES. ARE HEY WORD
PRIMARILY FOCUSED ON. TRYING TO
PROVIDE LOCAL SLASH PEOPLE OF
COLOR SLASH ANYBODY AFFECTED BY
THE WAR ON DRUGS OUR PRIORITY
PREFERENCE IF YOU WILL RATE- AND
THAT SEEMED TO BE MORE DIFFICULT
TO. IMPLEMENT THAN JUST HAVING
AN OPERATOR TO YOUR POINT OF
TREATING IT THE CANNABIS
INDUSTRY AS A BUSINESS RATHER
THAN A- COMMUNITY EFFORT RIGHT-
AND ONE OF THE THOUGHT PROCESSES
THAT I'VE ALWAYS HAD WAS THAT.
WE SHOULD CHARGE THE CANNABIS
INDUSTRY A FLAT RATE AND UTILIZE
THAT RATE FOR THE COMMUNITY
BENEFITS- IN PARTICULAR FOR
EXAMPLE. A LEGAL SERVICES RENTAL
SERVICES WHATEVER THE CASE MAY
BE- DO YOU BELIEVE THAT THE
CURRENT EQUITY MODEL TO PROVIDE
JUST SUPPORT FOR ONE CANNABIS
INDUSTRY OR BUSINESS I SHOULD
SAY- THAT IS AN EQUITY
APPLICANT. IS MORE BENEFICIAL
THAN POTENTIALLY CHARGING A
CERTAIN FLAT RATE TO HELP. THE
LARGER COMMUNITY AT A LOCAL
LEVEL. LIKE THE TECHNICIAN. YEAH
. WELL LET'S UNPACK THEIR- THE
ARM I THINK A FEW THINGS ONE
HERE THIS. I WOULD I WOULD START
OFTEN FEEL THAT A TREMENDOUS
AMOUNT OF FIRST OFF LIKE I SAID
CONNECTED YOU LICENSE ONE
OPERATOR AND IT IS JUST ONE NO
WE HAD MULTIPLE DIFFERENT
OPERATORS UNDER THE DIFFERENT
DIVISIONS RATE- THREE STOREFRONT
RETAIL- AND ONE THAT STARTED
FINALLY OPENED SEVERAL YEARS.
AFTER THE STATE AND THE CITY-
OKAYED IT BECAUSE AT THE END OF
THE DAY IT ENDS UP BEING ON
LOCAL JURISDICTIONS APPROVAL
RENT AND YOU CHARGE SEVEN A YOU
HAD 7% IN YOUR AS A TAX WHAT
WHAT IF IT WAS A NON CANNABIS
BUSINESS WHAT WOULD THEY BE
PAYING CHARGED. AT DEPENDS ON
THE INDUSTRY BUT- IT RESIDENT. I
WOULDN'T HAVE THAT NUMBER ON
INTO AND JUST TO CLARIFY FOR
EVERYONE THAT 7% OF GROSS
RECEIPTS SO EVEN IF THE COMPANY
IS LOSING MONEY IT'S 7% OF THE
REVENUE. I WOULD ALSO LIKE TO
ADD TO THAT POINT WITH REGARD TO
LOCAL TAXES THEY'RE SORT OF THE
HAYDON. INCREASE IN THE LOCAL
CHURCH TAXES SO FOR EXAMPLE YOU
TAKE OUR PRODUCT WE GROWING
DON'T KNOW A FARM WE GET HIT BY
A LOCAL CULTIVATION TAX. THAT
TAXES THEN FOLDED INTO THE
WHOLESALE MANUFACTURING TOP
PRICE. THEN IT WHOLESALE- HIT
WITH THE MANUFACTURING TAX THAT
WE PUT THAT SAME PIECE OF
PRODUCT HAD SPENT TAXED TWICE
INTO DISTRIBUTION VEHICLE AND IT
GETS HIT BY A DISTRIBUTION TAX.
WE DRIVE THAT VEHICLE DONE SAN
DIEGO ARE OTHER JURISDICTIONS
THAT GETS HIT BY A ROAD TAX. AND
THEN WAIT GETS TO RETAIL AND IT.
GETS HIT BY THE LOCAL RETAIL TAX
THE EXCISE TAX SO I AGREE THAT
YOUR INDUSTRY IS OVERLY TAXED
RIGHT BUT I WANT TO GET BACK TO
THE ROOT OF THE QUESTION. IN
REGARDS TO EQUITY THAT IS THE
QUESTION RIGHT- WHAT DO YOU
THINK ABOUT THAT. I THINK THE
PRESSURE PREFERENTIAL ASSIGNMENT
OF LICENSES MAKES A 100% SINCE.
THE THING I'M CONCERNED WITH IS
WHEN YOU GIVE SOMEONE A 7% TAX
YOU'VE GIVEN THEM UP AND MADE IT
VERY DIFFICULT FOR THEM TO
SUCCEED SO THEY'LL HAVE A
PREFERENCE TO BE ABLE TO GOING
ON. WITH THE ODDS WELL OVER THE
LONG RUN COULD BE STACKED UP
AGAINST THEM OKAY. AND I WILL
SAY WE GAVE PREFERENCE TO AN
INDIVIDUAL- LOCAL- WOMAN OF
COLOR TO OPEN UP A BUSINESS IN
THE CITY OF HAYWARD IT TOOK HER
FOUR YEARS AND SHE STILL HAS NOT
OPENED. EVEN WITH THE CITY
BENDING OVER BACKWARDS TO ALLOW
FOR A POSITION OR A RENTAL SPOT
TO BE OPEN FOR HER TO DO
BUSINESS. NUMBER ONE IS THAT
THERE IS A LOT OF STIGMA AROUND
CANNABIS OBVIOUSLY WE KNOW THIS
RATE. LOCAL JURISDICTIONS ALSO
CREATE BUFFER ZONES AROUND
CERTAIN PROTECTED AREAS WHETHER
IT'S YOU KNOW. A DAY CARE CENTER
SCHOOL OR PARK WHATEVER THE CASE
MAY BE- SO WE HAVE COMPLICATIONS
THERE. WE ALSO HAVE THE
COMPLICATION THAT AT SOME OF
THE- EQUITY OUT. DO NOT HAVE THE
ABILITY OR THE CAPITAL TO
PROVIDE ENOUGH SECURITY- ON THAT
LET'S BE HONEST THE CACHING
CAREY TYPE BUSINESS NUMBER ONE.
NUMBER TWO IS TO MEET THE
DEMANDS OF THE LOCAL
JURISDICTIONS. NEIGHBORHOODS
MMHM RIGHT- YOU KNOW PEOPLE WANT
TO MAKE SURE THAT THIS IS
PROTECTED THIS IS SECURE THAT
KIDS WON'T GO THERE- YOU KNOW
PEAK YOU KNOW THERE'S A LOT OF
LOCAL. LAWS AROUND THAT AS WELL-
SO IT'S VERY CLEAR TO ME I THINK
THAT WE HAVE A PROBLEM IN
REGARDS TO THE EQUITY SPACE THE
LOCAL TAX BASE WHICH YOU KNOW
OBVIOUSLY TO YOUR POINT IT'S
ADDED ON AND ON- AND THEN IN
REGARDS TO YOU GUYS AND- NONE OF
YOU GUYS HAVE MENTIONED THE
AUDITS. THE STATE AUDIT DOT EACH
CANNABIS INDUSTRY HAS TO GO
THROUGH CAN YOU GUYS ELABORATE A
LITTLE BIT MORE ON THAT- I
BELIEVE IT'S PLURAL. IF YOU'RE
TALKING ABOUT THE CD TFA- SO ONE
THING AND THE PANEL PROBABLY
KNOWS EVERYTHING THAT WE DO WITH
THE PRODUCT AND THE CENTER
FACILITY IN OUTSIDE OF OUR
FACILITY IS TRACKED. THROUGH AN
EXTREMELY INEFFICIENT A SOFTWARE
PROGRAM CALLED METRIC. WE HAVE
ONE OF THE LARGEST PART AND SAID
OUR COMPANY IS THE ONES THAT
JUST KEEPS THINGS INTO METRIC.
ARM AND SO THE UPSIDE FOR
AUDITORS WE HAVE LEARNED IS
THEY'RE ABLE TO TAP INTO THAT
SYSTEM AND SEE EVERY SINGLE
THING. SO IF YOU'RE TRACKING
WHAT YOU'RE DOING AND YOU'RE
BEING VERY CAREFUL AUDITS ARE
SIMPLY. DOUBLE CHECKING AND
TRIPLE CHECKING THAT WHAT YOU'VE
GOT IS RIGHT. NOW THERE ARE SOME
EXCEPTIONS THAN AND SOMETHING'S
GOING ON I BELIEVE SENATE FOR
BRADFORD IS WORKING ON A BILL.
THAT THERE SOME DIFFERENT
INTERPRETATIONS ABOUT WHETHER
HOUSING SURTAX FOR GROSS
PROCEEDS GO. BUT IN GENERAL I
THOUGHT IT SHOULDN'T BE ANYTHING
THAT IS. BOUND TO CONCERNING BUT
WE ALSO GET THEM ON THE LOCAL
LEVEL WE'RE IN MULTIPLE
JURISDICTIONS NOT JUST LOS
ANGELES. AND THEY COME IN ON A
REGULAR BASIS TO LOOKS ARE
EVERYTHING BECAUSE- THE STAKES
ARE SO HIGH ONE OF THE THINGS
WHEN YOU'RE TAX 78% FOR SEVENTY
EIGHT TIMES ARE HUNDRED TIMES
WHATEVER HAPPENED BE. WELL WORTH
THE JURISDICTION TO GOING TO
MAKE SURE THEY'RE GETTING PAID
ACCURATELY. BUT IT'S NOT OTHER
BITS ANOTHER BURDEN WE DEAL WITH
. I WANTED TO GO BACK TO THE
EQUITY ISSUE- AND SPEAK TO.
CONCEPTUALLY WHAT YOU'RE
DISCUSSING WITH RESPECT TO.
COMMUNITY RESPONSIBILITY AND
REALLY. TAKING THE TIME UPON
IMPLEMENTATION TO CONSIDER. THE
COMPLEXITY OF REPEALING
PROHIBITION AND THE IMPACTS FROM
THE WAR ON DRUGS- IT'S BEEN OUR
EXPERIENCE THAT LOCAL EQUITY
PROGRAMS CAN BE CHALLENGING. WE
FAVOR. THE STATE DEVELOPING A
MORE ROBUST STATEWIDE EQUITY
PROGRAM- THE OTHER THING I
WANTED A FLAG OR THE COMMUNITY
REINVESTMENT FUNDS THROUGH GROW
BUSINESS. IS ANOTHER RESOURCE
FOR LOCAL JURISDICTIONS IN TERMS
OF- REALLY ADDRESSING THE
BROADER IMPACTS. ON A COMMUNITY
LEVEL- SO THOSE ARE SOME THINGS
THAT I WANT TO TALK. OKAY AND
THEN FINAL QUESTION IN IN
REGARDS TO THE TAX AS IT STANDS
NOW AT THE STATE LEVEL- THE
FUNDS TYPICALLY GO AND I THINK
IT'S- A LOCATION ONE TWO AND
THREE- SPECIFICALLY AROUND
RESEARCH- SOME ACADEMIC RESEARCH
AND THEN SOME PREVENTIVE SLASH
EARLY INTERVENTION AND
TREATMENT. DO YOU BELIEVE THAT
OVERALL THE TAX- AND THIS EFFORT
IN REGARDS TO PROPOSITION SIXTY
FOUR NEEDS TO BE REFORMED
COMPLETELY. YES. I BELIEVE THE
EVIDENCE IS THERE YES ALL RIGHT
AND WHAT WOULD YOU PREFER THAT
THE TAX GO TO- YOU MEAN
ALLOCATIONS SENSUALLY ARE FLAT
ALLOCATION SAY. THINK THE
ALLOCATIONS FOR FINE IT'S A
MATTER OF THE RIGHT TAX RATE- I
DO WANT TO COME BACK TO YOUR
POINT ABOUT AUDITS- YES THEY'RE
VERY RIGOROUS HIPPIE RUNNING
YOUR COMPANY WELL YOU CAN MANAGE
IT BUT WHAT IT COMES DOWN TO FOR
ME IS THE PRIORITY. AND I'LL
GIVE YOU AN EXAMPLE WE HAD A BIG
INSPECTION OF OUR MANUFACTURING
FACILITY. IN THE INSPECTORS WERE
THERE FOR ABOUT FOUR HOURS AND
LOOKING AT EVERY SINGLE DETAIL.
AND WE GOT ONE NOTICE TO COMPLY
WHICH WAS THERE WAS A SHELF AN
ARMED FUSION AREA THAT WAS
SUPPOSED TO BE SIX INCHES OFF
THE GROUND AND IT WAS FOUR AND A
HALF INCHES OFF THE GROUND.
MEANWHILE THAT SAME WEEK THERE
IS AN ILLEGAL BUTANE EXTRACTION
FACILITY DOWN THEIR STREET WHICH
BLEW UP THE BUILDING. AND THOSE
INSPECTORS WERE SPENDING THEIR
AGENTS THEIR ENERGIES AND TIME
ON OUR FACILITY AND NOT ONE AND
A HALF INCH DIFFERENCE ON A
SHELF. RATHER THAN SHUTTING
THOSE GUYS DOWN DOWN THE STREET.
THE LAST THING I WANTED TO COME
BACK TO IS YOUR SOCIAL EQUITY
YOU- QUESTION. AND I DON'T HAVE
AN ANSWER TO IS TO WHICH
METHODOLOGY WORKS BEST BUT WHAT
I CAN DO ONE UNDERSCORE- IS
THAT. THE OWNERS HAVE CANNABIS
COMPANIES EVEN IF IT'S AN LLC OR
C. CORP HAVE ON GOING PERSONAL
LIABILITY FOR TAXES AND WHEN YOU
THINK ABOUT THOSE SOCIAL EQUITY
BUSINESSES WHICH HAVE A LOT LESS
ACCESS TO THE CAPITAL. IN YOU
CONTEMPLATE THE FACT THAT EVEN A
BIGGER MUSCLES THAT ARE WELL
FUNDED COULD NOT MAKE IT WORK
AND ARE PULLING OUT. YOU ARE
ESSENTIALLY INVITING PEOPLE TO A
DINNER PARTY KNOWING THAT PEOPLE
ARE GOING TO GET FOOD POISONED-
IT IN IT'S ONE OF THOSE SORT OF
HEARTBREAKS AND TRAGIC ASPECTS
OF SOCIAL EQUITY OF ALL THIS
GOOD INTENTION. IS BRINGING.
PEOPLE INTO THE MARKET KNOWING
THAT THEY WILL FAIL. THANK YOU
THANK YOU. THANK YOU SIR. SEARCH
A LITTLE. THANK YOU MISTER HERE
. I THINK YOU ALL FOR BEING HERE
- IN AND LIGHTNING I HAD NO
IDEA. THE PROBLEMS THAT YOU'LL
HAVE AND I'LL TELL YOU ONE
PROBLEM YOU HAD WAS THE
PERCEPTION. THAT ALL THESE
CANNABIS STORES IN THE GROWERS
IN JUST THE ENTIRE PROCESS WAS
GOING TO BE A WINDFALL OF MONEY.
NOT ONLY FOR YOU BUT EVEN
PERHAPS FOR THE LOCAL
GOVERNMENTS IN ALSO THE STATE OF
CALIFORNIA. WHICH ONE I'M
HEARING TODAY IS NOT TRUE AT
ALL. THE REALITY IS WHEN I HEAR
THAT SO MANY OF YOU HAVE LOST SO
MUCH MONEY. AND THAT 80% THE
PROVINCIAL LICENSES ARE FLOATING
UP THERE THAT. WE'LL PROBABLY
NEVER BECOME PERMANENT. AND EVEN
WAITING THREE TO FIVE YEARS WHO
KNOWS AND SO I I'M I'M TALKING
ABOUT THE EDUCATION THAT YOU'RE
GIVING US. THIS IS AN
EDUCATIONAL MEETING AND I THINK
THAT'S WHAT WE'RE WE'RE HITTING
THE- THE SPOT RIGHT ON- WITH
WITH SALES DOWN 22% AS YOU
MENTION. AND WITH THE INABILITY
IT EVEN FILE BANKRUPTCY FOR
THESE STORES THAT FLOW CLOSE AND
BUSINESSES THAT. HAVE GOTTEN UP
AND LEFT CALIFORNIA- BE IT'S
AMAZING. BUT I THINK YOU'RE ALSO
SAYING THAT YOU DON'T WANT TO
OPEN THE FLOODGATES AND I THINK
REGULATION IS GOOD. BECAUSE IT
KEEPS TO GET THE BAD GUYS OUT.
BUT AT THE SAME TIME WE'RE NOT
DOING ENOUGH TO STEEP THE TO
KEEP THE BAD GUYS OUT THE BAD
ELEMENTS AND I THINK LAW
ENFORCEMENT NEEDS TO. BEEF UP
OBVIOUSLY SO I'M HOPING THAT
MAYBE YOU CAN SUPPLY US WITH A
NICE LONG LIST OF WHAT YOU THINK
WE NEED TO DO- AS A COMMITTEE AT
THE STATE. BECAUSE THIS IS ALL
NEW TO ALL OF US EVEN THOUGH
IT'S BEEN A COUPLE YEARS A FEW
YEARS NOW BUT WE'RE STILL TRYING
TO CLEAN UP. AND UNDERSTAND
WHAT'S GOING ON WITH THE GROWERS
IN TRANSPORTATION AND A YEAR
EVEN IF THE MATERIAL THAT USE
THE CHEMICAL OF LABS THAT ARE
BEING. TESTED AND LOOKED AT ME
JUST SO MANY THINGS THAT THE
GENERAL PUBLIC HAS NO KNOWLEDGE.
AND I THINK TO ACCEPT WHAT
YOU'RE DOING YOU NEED TO GIVE US
THE KNOWLEDGE AND I APPLAUD. THE
BUSINESS ASPECT EACH AND
EVERYONE OF YOU ARE BUSINESS
OWNERS AND REPRESENTING
BUSINESSES AND I HAVE OF. LAW
ENFORCEMENT BACKGROUND SO I AM
TOTALLY AGAINST THE BAD GUYS NO
DOUBT. AND WE'VE GOT TO DO WHAT
WHATEVER WHATEVER WE CAN SO- ON
MY SIDE I LOOK FORWARD TO
ADDITIONAL INFORMATION AND-
ADDITIONAL COMMENTS FROM. EVEN
THE PANELISTS OF BECOMING. BUT I
WILL TELL. YOU BE PATIENT. I BY
LEAVE THE STATE. IS LOOKING TO.
AND BE A PART IS MUCH POSSIBLE
AND NOT BE- WITH THE FIRM ON
YOUR BUSINESS AND CERTAINLY AS
AS WE GO ALONG WE WANT TO SEE
EQUITY. WE WANT TO SEE- MOM AND
POP BE ABLE TO PARTICIPATE WE
WANT TO SEE THE LOCAL GOVERNMENT
BE ABLE TO PROSPER AS YOU WELL.
SO I THANK YOU AGAIN FOR YOUR
TIME AND THE SHARE THANK YOU FOR
ALLOWING ME MAKE THOSE COMMENTS.
THANK YOU SO MUCH LOVE SINCE
WELL WOULD CLOSE. THANK YOU-
MISTER CHAIR- I ALSO WANTED
PRECIADO WHAT WAS SHARED TODAY
AND I THINK THE COMMENT THAT WAS
MADE ABOUT THE COMPLEXITY OF
THIS ISSUE- AND THE WORK THAT
THE INDUSTRY AND THE STATE IS
DONE TOGETHER TO ENSURE THAT WE
ARE. BUILDING AN INDUSTRY OF THE
FUTURE ONE THAT'S GOING TO
PROVIDE GOOD JOBS FOR OUR
COMMUNITIES ONE THAT IS GOING TO
REPAIR A LOT OF THE HARM.
PARTICULARLY IN COMMUNITIES LIKE
LOS ANGELES AND PARTICULARLY IN-
BLACK AND BROWN LOW INCOME
COMMUNITIES AND FOR ME IT IS
ABOUT- THAT IS THE PRIORITY OF
REPAIRING THE HARM. OF THE WAR
ON DRUGS AND COMMUNITIES OF
COLOR AND POOR WORKING CLASS.
COMMUNITIES AND- I THINK THAT
THE CHAIR- CHAIRMAN STARTED WITH
SOME QUESTIONS ABOUT THE
PROVISIONAL LICENSING AND I
WANTED TO GO BACK TO THAT. IN MY
QUESTIONS- THE CITY OF LOS
ANGELES HAS BEEN ONE OF THE
EARLY ARCHITECTS OF- SUPPORTING
THE DEVELOPMENT OF THIS SECTOR
AND PARTICULARLY THE SOCIAL
EQUITY COMPONENTS OF IT WITH
MANY OF- OF THE ACTIVISTS- IN IN
THE BAY AREA. AND A LOT OF
COMMUNITY UNION ENGAGEMENT AND
IN THAT SPACE- IN LOS ANGELES. I
NOTICED THAT THE CITY OF LOS
ANGELES WAS ONE OF THE-
COMMUNITIES TO RECEIVE TWENTY
TWO MILLION DOLLARS TO SUPPORT
MOVING FOLKS FROM PROVISIONAL
LICENSING INTO PERMANENT
LICENSING BUT NONE OF THAT MONEY
HAS BEEN SPENT AS OF. AT TWENTY
TWENTY TWO AND I JUST CURIOUS
WHAT ARE SOME OF THE CHALLENGES
THAT YOU'RE SEEING. IN MY
COMMUNITY AND MY COUNTY IS
PROBABLY AN EXAMPLE OF WHAT'S
HAPPENING IN OTHER PLACES AS TO
YOU KNOW WHY THOSE DOLLARS
AREN'T MOVING AND I THINK. IN
THAT SPAN OF TIME WE'VE ONLY
SEEN ONE PROVISIONAL LICENSE
MOVED TO A PERMANENT LICENSE SO.
MONEY IS NOT BEING SPENT AND
WE'RE NOT SEEING THAT MOVEMENT
WHAT IS. WHAT ARE SOME OF THE
FACTORS BEHIND THAT WHY HASN'T
THAT MONEY BEEN SPENT. WHAT IS
THE WAY THAT THE INDUSTRY IS
SUPPORTING COMMUNITIES LIKE THAT
TO MAKE SURE- THAT WE CAN
IMPROVE OUTCOMES. AND I'LL I'LL
ASK YOU YEAH THE BOMBING OUT I
THINK YOU'RE FORTUNATE I SAW IN
THE AUDIENCE THERE ARE SEVERAL
MEMBERS OF THE LOS ANGELES
DEPARTMENT OF CANNABIS
REGULATION I BELIEVE THAT WE
TESTIFYING IN THE PROBABLY THE
BEST. TO ADDRESS THAT BUT I WILL
JUST TELL YOU I'M VERY CONCERNED
THE LARGEST CUSTOMER BASE THAT
WE HAVE THAT WE WORK WITH IS THE
COMMUNITY THAT YOU'RE TALKING
ABOUT. AND I WOULD BE VERY
CONCERNED THAT THE PEOPLE WHO
HAVE BEEN ABLE TO OVER OPERATE
OR OPEN AND OPERATE ON WHETHER
THAT THEY HAVE TO USE A TERM
THAT I LEARNED AT A LICENSE AND
SECURITY. SO ALL BE LOOKING
FORWARD TO HEARING THE TESTIMONY
AS WELL- I AM VERY GLAD IT WAS A
GOOD REMINDER THAT THE STATE DID
PROVIDE FUNDS. AND I'M HOPING
THAT THAT WORKS FOR ALL OF THE
LICENSE HOLDERS PROVISIONAL
LICENSE. HOLDERS IN LOS ANGELES
AND ANYWHERE ELSE. AND SO. IS
THEIR ASSISTANCE THAT DCC CAN
PROVIDE BEYOND THE FUNDING TO
ASSIST. WITH TRANSITIONING FOLKS
BECAUSE I IT SOUNDS LIKE THERE
ARE A LOT OF FACTORS THAT.
PLAYED A LOT OF THOSE OUT SO IT
IS. YOU KNOW PARTLY. HOW THE
CITY'S MOVING IT BUT IT'S ALSO A
LOT OF MARKET FACTORS THAT ARE
PREVENTING THIS YES- COOPERATORS
IN GENERAL WE'RE RECEIVING
DOCUMENTS AND WHEN WE RECEIVE A
DOCUMENT AND IT'S LIKE FILL THIS
OUT. HOW MANY VEHICLES MIGHT BE
COMING EVERY DAY HOW MUCH WASTE
WATER YOU'RE DOING THOSE KINDS
OF THINGS. IN GENERAL WERE WAIT
FOR THOSE IN A SENSE WE GOT THEM
WE TURN AROUND BUT IN ALL CANDOR
AND HONEST IT'S BEEN VERY OPAQUE
FOR US OPERATORS WERE WAITING. I
THINK THE BULK OF THE WORK IN
THE RESPONSIBILITY IN THE ONUS
AT THIS POINT- IS BEEN ON THE
LOCAL JURISDICTIONS. I THANK YOU
FOR THAT- MY OTHER QUESTION HAS
TO DO AROUND THIS THIS EXPANSION
OF SOCIAL EQUITY AND I
APPRECIATED THE COMMENTS ABOUT
THE ROLE THAT THE STATE. CAN
PLAY IN HELPING TO- A SUPPORT
YOU KNOW A UNIVERSAL DEFINITIONS
OF WHAT. SOCIAL EQUITY PROJECTS
LOOK LIKE. I THINK OWNERSHIP IS
ONE PIECE THE OTHER PIECE THAT-
I KNOW LA HAS ALSO BEEN
PIONEERING IS MAKING SURE THAT.
THERE ARE HIGH ROAD STANDARDS
WITH IN THE SECTORS AND THE WORK
FORCE THAT WE'RE BRINGING IN TO-
THIS BUSINESS AT EVERY LEVEL
WHETHER BE CULTIVATION OR
RETAIL- THERE'S A PATHWAY FOR
QUALITY WORK. HOW ARE WE
THINKING ABOUT THIS IDEA OF NOT
JUST OWNERSHIP BUT ALSO. QUALITY
EMPLOYMENT- FOR THOSE MOST
IMPACTED. BY THE WAR ON THE POOR
OR THE WAR ON DRUGS. HOW ARE WE
ENSURING THAT THERE IS LOCAL
HIRING AND OPPORTUNITIES FOR
THOSE COMMUNITIES WHO ARE MOST
IMPACTED. TO BE OWNERS OF COURSE
AND THAT'S THE FOCUS OF SOCIAL
EQUITY AND I ABSOLUTELY SUPPORT
AND BELIEVE IN THAT. BUT THEY'RE
ALSO- HUNDREDS OF THOUSANDS OF
JOBS THAT WILL BE CREATED
THROUGH THIS SECTOR- THAT MANY.
IMPACTED COMMUNITIES HAVE VERY
LITTLE LIMITED ACCESS TO CAN YOU
SHARE THIS- QUESTION ABOUT HOW
SOCIAL EQUITY CAN BE EXPANDED TO
WORK FORCE AND WAYS. TO BRING
THOSE MOST IMPACTED COMMUNITIES
IN TO WORK OPPORTUNITIES IN
THEIR OWN MIKE ACTUALLY OF LOS
ANGELES MY EXPERIENCE HAS BEEN
VERY MUCH A LEADER IN THE HOUSE
BUILT INTO THE LICENSE SAN. WERE
REQUIREMENTS AND GETTING VERY
SPECIFIC IN TERMS OF TYPES OF
CATEGORIZING. ATTEMPT OF- HIGHER
SON BASS AND PUT IN SIX
BASICALLY- A BUILDING IT RIGHT
INTO THE SYSTEM. AND SO I FEEL
LIKE AN ARM THAT IS AN AREA THAT
THAT LA HAS DONE VERY WELL AND I
GOT BUILT INTO OUR OWN HIRING
SYSTEMS AND RECRUITING SYSTEMS.
AND AS OWNERS AND EMPLOYERS IN
THE SECTORS EXPECT PRE HERE
ABOUT THE WORK THAT JADIS. IN
THE OPPORTUNITY THAT YOU'RE
CREATING AT EVERY POINT OF THE
SUPPLY CHAIN JUST CURIOUS YOU
KNOW AGAIN WHAT ROLE DO
EMPLOYERS PLAY IN HELPING TO
SHAPE. SOME OF THAT SOCIAL
EQUITY OPPORTUNITY FOR IMPACTED
COMMUNITIES. SO I WOULD I WOULD
ALSO ADD TO THIS THE H. ONE OF
THE THINGS STATE CALIFORNIA
CANNABIS PROP SIXTY FOUR DID
WAS. REQUIRED THAT COMPANIES SO
FOR CERTAIN SIZE AND TURNED
LABOR PEACE AGREEMENT. AND IT'S
BEEN A BIT A RADICAL OUR COMPANY
HE BOTH MARCH AN ASHEN CANNOT
CRY FOR OUR- INTO- COLLECTIVE
BARGAINING AGREEMENT WITH UFCW.
AND WE HAVE THE PRIVILEGE OF
SITTING ON A JOINT LABOR
MANAGEMENT COMMITTEE IT'S U. F.
C. W. AND ONE OF THE THINGS THAT
WE'VE BEEN WORKING ON IT IS JUST
THAT WITH REGARD TO THE WORK
FORCE OF HOW DO YOU IMPLEMENT.
APPRENTICESHIP PROGRAMS THAT
HELP PEOPLE TO DEVELOP A CAREER
PATHWAY- HOW DO YOU DIRECT
DEVELOP TRAINING PROGRAMS TO
ENSURE WORKPLACE SAFETY. SO
THERE IS A LOT OF OPPORTUNITY I
THINK TO CREATE VERY HIGH
QUALITY JOBS AND ONE OF THAT
KIND OF HEART ACHES I HAVE WHEN
I SEE AS HAVING TO LIKE CUT
SALARIES CUT STAFF CUT THIS CUT
THAT. CUT EVERYTHING BUT THE
ESSENTIAL SO WE CAN STAY IN
BUSINESS IS WE LOSE OUR ABILITY
TO INVEST IN THESE TYPES OF
PROGRAMS WE LOSE OUR ABILITY TO
INVEST IN RESEARCH. ON BUT FOR
US THAT THAT WORKFORCE
DEVELOPMENT IS ONE OF OUR
PRIMARY MANDATES AND CRITICALLY
ESSENTIAL- IN IT. IT'S WORTH
INVEST WHETHER YOU'RE TALKING
ABOUT TRAINING PROGRAMS FOR
SUBSIDIZED CHILD CARE PROGRAMS
IT'S ESSENTIAL TO A HEALTHY
COMMUNITY AND A HEALTHY
WORKFORCE. NO I APPRECIATE THAT
OH I'M SORRY. YEAH I THINK IT I
THINK IT'S A GREAT QUESTION AND-
THE MOST IMPORTANT THING IS
ALLOWING BUSINESSES TO BE ABLE
TO OPERATE AND TO GROW. AND TO
ALLOW THOSE BUSINESSES IN L. A.
IN OAKLAND IN AREAS THAT HAVE
MORE OF THOSE IMPOVERISHED
COMMUNITIES BECAUSE THAT'S WHO
WE HIRE INTO OUR BUSINESSES. AND
OFTEN INSTEAD OF TALKING ABOUT
MORE HIRING AND GROWTH WE'RE
TALKING ABOUT WHERE WE CAN CUT
THINGS INCLUDING JOBS. GIVEN THE
TREMENDOUS REGULATORY BURDEN AND
TAX BURDEN THAT MAKES IT VERY
DIFFICULT TO OPERATE AND THERE'S
ALMOST NO CAPITAL COMING INTO
THE INDUSTRY FROM THE OUTSIDE
WHICH IS REALLY FUELED A LOT OF
THE GROWTH OVER THE LAST FIVE
YEARS SINCE SINCE LEGALIZATION
BEGAN. BUT MOST BUSINESSES ARE
LOSING MONEY ALMOST EVERY
BUSINESS RETAIL CULTIVATION
DISTRIBUTION MANUFACTURING
ALMOST EVERY SINGLE BUSINESS IN
CALIFORNIA IN THIS INDUSTRY
LOSES MONEY RIGHT NOW. AND SO IF
THERE THERE HAS TO BE A THRIVING
BUSINESS. COMPONENT TO ALLOW
ANYONE TO SUCCEED WHETHER IT'S-
A SOCIAL EQUITY BUSINESS OR- ANY
OTHER TYPE OF BUSINESS THAT ALSO
HAS SOCIAL EQUITY- I GUESS
EMPLOYEES. NO I APPRECIATE THAT
THAT CHALLENGE AND I REYES THE
EXPANSION OF SOCIAL EQUITY BE ON
JUST THE SOCIAL EQUITY BUSINESS
TO THE INDUSTRY HAVING A SOCIAL
EQUITY MODEL THAT. CREATES
GREATER OPPORTUNITY FOR FOLKS TO
COME IN BECAUSE AT THE END OF
THE DAY THIS IS A GROWING SECTOR
IT IS PART OF THE FUTURE OF
CALIFORNIA'S INDUSTRIAL-
MANUFACTURING AND BUSINESS BASE
AND- WE WANT TO MAKE SURE THAT
THESE ARE GOING TO BE GOOD JOBS.
THAT CAUSES THE STAIN FAMILIES
AND- THE MORE THAT WE CAN. SHOW
THAT THOSE JOBS ARE BEING
CREATED AND WE ARE MOVING FOLKS
FROM THE OTHER CATEGORIES THAT
WE HAVE TO FIND IN TERMS OF
HOMELESSNESS IN TERMS OF. HEALTH
ACCESS WHERE WE CAN PUT THEM IN
A BUSINESS IN CANNABIS- SECTOR
WHERE THEY ARE SUSTAINED I THINK
THAT IS A BENEFIT IN IN WAYS FOR
US TO NEGOTIATE AROUND. WHERE
OUR INVESTMENTS GO SO I WANT TO
SAY I A- WANT TO SEE HOW OUR
INVESTMENTS LIKE THE TWENTY TWO
MILLION DOLLARS ACTUALLY MOVE
FOLKS INTO PERMANENT LICENSING
AND STRONG ROBUST BUSINESS. SO
THAT WE THEN CREATE THOSE JOB
OPPORTUNITIES AND WHERE WE'RE
CREATING THEM- WE CAN THINK
ABOUT WHERE THE WAYS THAT SOME
OF THE RELIEF CAN COME RIGHT IN
TERMS OF. OF THE WAYS IN WHICH-
WE HAVE TO TAX AND CREATE-
STATEWIDE REVENUE- IN THE SECTOR
SO. TO ME- I APPRECIATE THE- THE
SHARING AND- AND LOOK FORWARD TO
MORE DISCUSSION ON HOW WE CAN
MAKE THIS- AN INDUSTRY THAT MORE
COMMUNITIES THAT ARE IMPACTED
CAN PARTICIPATE IN. AND ONE
THING- REGARDING YOUR EARLIER
QUESTION REGARDING- PROVISIONAL
LICENSING. BECAUSE THE STATE
LICENSE REQUIRES THE SITE
SPECIFIC SEEK REVIEW LOCAL
JURISDICTIONS ARE UNABLE TO
UTILIZE LOCAL PERMITTING
FRAMEWORKS THAT HAVE
EFFICIENCIES. SO FOR EXAMPLE
LOOKING AT THE GENERAL PLAN OF A
JURISDICTION THE EXISTING ZONING
CODE. THE ALLOWED ZONING
DISTRICTS AND STANDARDS FOR
RETAIL OPERATIONS. DIDN'T DON'T
APPLY THE JURISDICTION
ESSENTIALLY HAS TO STAND STAND
UP A SPECIFIC CANNABIS
ORDINANCE. AND EFFECTUATE THIS
SITE SPECIFIC REVIEW WHICH
REQUIRES THAT IS A DISCRETIONARY
PERMIT. AND SO COUNTY STAFF IN
SOME CASES- PLANNING PLANNING
COMMISSIONS NEED TO HEAR EVERY
SINGLE PROJECT AND SO LOCAL
JURISDICTIONS ARE NOT ABLE TO
UTILIZE THESE EFFICIENCIES LIKE
MINISTERIAL FRAMEWORKS ETCETERA
AND SO I THINK THAT'S A REALLY
KEEP PEACE- TO REALLY. MAKE SURE
THAT'S VERY CLEAR BUT THAT'S A
SIGNIFICANT BURDEN ON THE LOCAL
JURISDICTION BECAUSE OF THAT
STATE LICENSING REQUIREMENTS.
THANK YOU. THANK YOU SENATOR SIR
BRADFORD. THANK YOU AND I WANT
TO THANK OUR JUROR FOR HOSTING
THIS HEARING TODAY AND AS WE'VE
HEARD SO FAR. THIS IS A VERY.
OBLIGATED ISSUE. ONLY BECAUSE
WE'VE MADE IT SO. WE AS
LEGISLATORS. AND IT IS JUST THE
REASON WHY IT LED ME TO AUTHOR.
TWELVE NINETY FOUR SIX YEARS AGO
WHEN I SAT AND MET WITH. THE
DIRECTOR OF CANNABIS CONTROL AND
THEY CLEARLY STATED I DO KNOW
THIS INDUSTRY WAS SO COMPLICATED
I KNEW NOTHING ABOUT IT WELL I
SAID WELL MAYBE YOU SHOULD OUT
FOLKS WHO KNOW SOMETHING ABOUT
IT. RIGHT AND SO WE'RE HERE
TODAY BECAUSE WE'VE OVER
COMPLICATED SOMETHING THAT. IS
NOT THAT DIFFICULT AND IT WE PUT
REGULATIONS. ON AN INDUSTRY THAT
NO AND OTHER INDUSTRY FACES AND
WE NEED TO FIRST CHANGE THE
NARRATIVE OF. QUIT CALLING THIS
A DRUG. IT'S A PLANT A DRUG
SOMETHING MAN MADE. THIS IS YOUR
BEFORE ANY OF US HERE IN THIS
ROOM THE PLAN AND WE APPROVED IT
THROUGH TECHNOLOGY AND HOW ORDER
CULTURE AND AGRICULTURE YES WE
ASK BUT IT'S A PLAN THAT IS
COMMON CORE. AND LET'S TELL THE
TRUTH. SEVEN OF OUR FIRST TWELVE
PRESIDENT NOT ONLY GREW CANNABIS
THE SMOKE IT AS WELL. BUT NOBODY
WANTS TO TALK ABOUT THAT. SO
TALK ABOUT IT WITH TALK ABOUT IT
THANK YOU SO THE POINT I'M
TRYING TO MAKE IS THAT. WE NEED
TO ALSO CHANGE THE NARRATIVE OF
WHAT A PROVISIONAL APPLICATION
IS. BECAUSE FAR TOO OFTEN WE
FRAME IT AS SOMEONE WHO'S UNDER
FINANCED. ARE HAS NO BUSINESS
ACCURATE- NEED SOME KIND OF HAND
OUT OR HELP THAT'S THE FARTHEST
THING FROM THE TRUTH. BUT WE
HAVE TO UNDERSTAND THEIR THEIR
SOME AND- BARRIERS THAT ONLY
PEOPLE OF COLOR ARE FACING IN
THIS INDUSTRY BECAUSE IT'S NOW
85% WHITE MALE DOMINATED. WHY
AREN'T THEY FACING THE SAME
OBSTACLES AS THE SOCIAL
APPLICANTS ARE FACING. I HAVE A
DEAR FRIEND. WHO IS A VERY
PROMINENT LAWYER IN LA. HE'S
SPENT SEEKING A LICENSE. FOR
FIVE YEARS HE GAVE UP ON. AGAIN
A VERY SUCCESSFUL LAWYER- SMART
GUY. RUNS A BUSINESS AND AS HE
SAID WHEN HE APPROACHED ME FIVE
YEARS AGO HE SAYS. BRADFORD I
PAY FOR LAW SCHOOL SELLING WEED.
SO I KNOW SOMETHING ABOUT. YEAH
WELL YOU CAN ENTER THIS SPACE.
SO WE'VE CREATED TOO MANY
BARRIERS AND MY COLLEAGUE WHO
STAGED LET'S DEAL WITH THE LEGAL
MARKET. BY THE BARRIERS THAT ALL
THESE LEGAL OPERATORS ARE
FACING. WE'RE PROMOTING THE
LEGAL ILLEGAL MARKET. SO WE NEED
TO REMOVE THE BARRIERS THAT ALL
OF THESE BUSINESSES ARE FACING A
MAKE IT EASIER. TO STAND UP THIS
IS THE ONLY INDUSTRY THAT YOU
HAVE TO PAY TAXES ON YOUR
PRODUCT BEFORE IT SOLD. YOU KNOW
. WHAT ARE THE YOU DON'T HAVE TO
PAY TAXES ON A ON YOUR AGE IN A
GROCERY STORE BEFORE YOU SELL
BUT YOU HAVE TO PAY TAXES ON
THIS PRODUCT BEFORE IT'S EVEN
SOLD. AND IT HAS A SHELF LIFE SO
WHEN HE GOES BACK. YOU GET THE
WORD OUT. I'M JUST HERE TO SAY I
THINK I APPRECIATE TO TEST MY WE
HERE I'M LOOKING FORWARD TO
HEARING FROM FROM THE SOCIAL-
EQUITY APPLICANTS WHO CAN TELL
THEIR STORY OF WHY IT'S SO
DIFFICULT BECAUSE AGAIN IT'S-
WE'VE MADE THIS. TOO COMPLICATED
AND WE HAVE TOO MANY CITIES AS
YOU STATED THAT HAVE. HOTCH
POTCH RULES AND REGULATIONS ON
HOW TO GO FOR AND WE DO NEED. A
CLEAR DEFINITION OF WHAT A
SOCIAL APPLICANT. YES THE
GOVERNOR ASKED ME LAST YEAR TO
HELP TO FIND OUT WE WEREN'T
SUCCESSFUL IN DOING SO BUT THAT
WILL HELP BECAUSE AGAIN EVERY
COMMUNITY CAN DIFFER SCRIBE IT
DIFFERENTLY. AND WE NEED ONE SET
OF CRITERIA THAT DESCRIBE SOCIAL
EQUITY SO I WOULD JUST ASK THE
QUESTION IF THERE'S ANYTHING WE
AS LEGISLATORS COULD DO. WHAT
WOULD THAT BE TO. MAKE MAKE IT
EASIER FOR FOLKS TO SEE NOT ONLY
A GET UP AND RUNNING BUT SUCCEED
IN THIS INDUSTRY. I THINK IT YOU
FOR SEPARATE. THERE'S GETTING
THE LICENSE AND WHEN IT COMES TO
SOCIAL EQUITY I FEEL LIKE 99% OF
THE EFFORT HAS GONE THERE. AND
OBVIOUSLY NOT MEETING THE EARTH
OF THE- SUCCESSES THAT YOU'VE
WANTED. BUT THE REAL PROBLEM TO
DO START THE DAY THEY OPEN UP.
AND SO I FEEL LIKE FINANCE YOUR
QUESTION SPECIFICALLY. I WOULD
DO THE EQUIVALENT OF A MANHATTAN
PROJECT ON REGULATIONS BRING
PEOPLE WHO WERE LIVING UNDER THE
REGULATIONS. AND THE BURDEN
SEVEN TEMP WITH REGULATORS AND
HAVE EACH REGULATION EACH RULE
IT GO THROUGH A- COST BENEFIT
ANALYSIS THE BENT THE NICE THING
IS WE NOW HAVE FIVE YEARS.
THERE'S NO GUESSING AS TO THE
COST OF THESE THINGS THERE'S NO
GUESSING AS TO THE BENEFITS
THEY'VE BEEN ABLE TO CUT. AND
THEN REDUCE THE REGULATORY
BURDEN I UNDERSTAND THAT
DOESN'T. ADDRESS THE LICENSING
THAT'S WHY IT'S A SEPARATE
THING. THAT YOU YOU SAID IT
PERFECTLY SENATOR IT HAS JUST
BEEN SO OVER COMPLICATED. YEAH I
YES DO WE TO MAKE SURE THAT
PEOPLE ARE VETTED BEFORE THEY
COME INTO THE INDUSTRY TO KEEP
OUT THOSE ARE AND WE UNDERSTAND
THAT. IT DOESN'T HAVE TO BE THE
THINGS THAT WE'VE DONE. AND SO
MANY OF THE OTHERS BUT I JUST
REALLY FEEL THAT THAT COST EIGHT
NUMBER ONE THING AND THAT'S THE
EASIEST THE LOW HANGING FRUIT WE
COVERED SOME TODAY. IS TO LOWER
THE REGULATORY BURDEN- TAXES I
UNDERSTAND IS A TRICKIER THANK-
BECAUSE- SOMEBODY WAS STOCKED UP
THEIR HELP THE GO FOR THE GO FOR
CAUSES THEY WANT AND SO IN THAT
PARTICULAR CASE. IT CAN SEEM
LIKE A ZERO SUM GAME IF TAXES GO
DOWN THERE'S LESS MONEY FOR
WORTHY CAUSES. BUT IS MISS
DIVERT. MENTIONED TWO BILLION
DOLLARS OF- OF TAXES IS JUST NOT
COMING TO THE STATE. WHEN THE
VAST MAJORITY OF PRODUCTS. ARE
BEING SOLD WITH NO TAXES THAT IS
WHERE WE SHOULD BE GETTING THE
MONEY TO PAY FUNDING. THE
VARIOUS AND I UNDERSTAND IT'S
ALWAYS EASIER TO SAY THAN DO.
BUT THAT'S WHY I DIDN'T DO
ALMOST MANHATTAN PROJECT LIKE
THING BRING THE PEOPLE IN AND
SAY YOU DON'T COME OUT UNTIL WE
HAVE. GONE THROUGH EVERY SINGLE
REGULATION AND DECIDED CANNOT BE
DONE FOR A LESS COSTLY BASIS
STILL ACCOMPLISHING THE BENEFITS
. THAT WE WANT FROM EACH OF
THOSE REGULATIONS. I WOULD SAY
THEIR BASICALLY THREE THINGS WE
NEED TO ADDRESS ONE SHAREPOINT
AND WESTENS POINT REDUCE THE
REGULATORY BURDEN. TO REDUCE THE
TAXES THE TAX RATE SAID THAT YOU
BRING MORE CONSUMERS AND TO THE
MARKET. THREE WE NEED GENUINE
RETAIL EXPANSION AND BY GENUINE
WHAT I MEAN IS. THE DCC HAS.
ISSUED HUNDREDS OF RETAIL
LICENSES IN THE PAST YEAR OR SO
THE PROBLEM IS ALL OF THOSE
LICENSES ARE IN JURISDICTIONS
THAT WERE ALREADY SIR. SO WHAT
HAPPENED WAS THEY BASICALLY
DIDN'T MAKE THE PIETY BAKER THEY
JUST CHOPPED UP THOSE SMALL
PIECE PIE INTO SMALLER PIECES
WHICH IN FACT DESTABILIZED
RETAIL. RATHER THAN EXPANDING
THE MARKET SO LOWER TAXES GO
AFTER THOSE ILLICIT COMPANIES
FOR TAX EVASION AND COLLECT THAT
MONEY. AND REDUCE THE REGULATORY
BURDEN. AND I'D LIKE TO ADD-
LOWERING BARRIERS TO ENTRY AND
LOWERING REGULATORY BURDEN THE
NUMBER ONE THING AND I KNOW I
SOUND LIKE A BROKEN RECORD IS
THE SITE SPECIFIC SEQUENCE ISSUE
. IF THERE WAS NOT SITE SPECIFIC
SEQUIN MANDATED WITH THE STATE
LICENSE IT WOULD FALL TO LOCAL
JURISDICTIONS SHOULD THEY
DESIRE. TO HAVE A SITE SPECIFIC
SEEK WILL BE A REQUIREMENT FOR
LOCAL PERMITTING THEY CAN PURSUE
THAT. BUT REMOVING THAT STATE
MANDATE IMPOSED UPON LOCAL
JURISDICTIONS WITH. REALLY
RESULT IN THE RESOURCES FOR
SOCIAL EQUITY GOING
EXPONENTIALLY FURTHER AND SO I
REALLY MUST EMPHASIZE THIS IS
PROBABLY THE NUMBER ONE-
BOTTLENECK AND ISSUE THAT
OPERATORS LOCAL JURISDICTIONS
ARE FACING. AND I MIGHT ADD
REQUIRING YOU TO HAVE A BRICK
AND MORTAR FACILITIES EVEN
BEFORE YOU CAN EVEN BEGIN THIS
PROCESS YES BEFORE YOU EVEN GET
TO SEE THAT MAKES NO SENSE.
THANK CENTER REPETIR DONE. YEAH
I GUESS. THE QUESTION HERE. KIND
OF MADE ME COME UP WITH YET
ANOTHER QUESTION HOW MUCH OF
THIS BURDEN. IS A RESULT OF PROP
SIXTY FOUR WHAT WAS SET FORWARD
. BY THE PROPOSITION ITSELF THAT
FORCES. THE REGULATORY SYSTEM TO
DO WHAT IT DOES. BECAUSE IT WAS
THE INDUSTRY I JUST WANT TO BE
CLEAR I MEAN THERE'S A LOT OF
FINGER POINTING AT THE- YEAH THE
STATE IN YOUR FRANKLY. I'M OKAY
TAKING- YOUR CRITICISM FOR THAT
BUT IF MUCH OF THIS WAS DONE
BECAUSE THIS IS WHAT THE
INDUSTRY FELT- THE VOTERS WOULD
GO FOR WHEN THEY PUT PROPOSITION
SIXTY FOUR. THEN YOU CANNOT
REPORT YOU SO IT'S SO NOW WE'RE
SAYING OKAY WE NEED A LEVEL
RESET HERE. SO I'M I'M JUST
TRYING TO GET YOUR UNDERSTAND
WHAT PART OF THIS IS REGULATORY
WERE WE WENT OFF. THE OFF SCRIPT
SO TO SPEAK OR HOW MUCH OF THIS
IS JUST WHAT WAS- MANDATED TO BE
DONE IN PROP SIXTY FOUR WELL-
VERY MUCH SO. I MEAN I THINK
THAT THERE WAS WELL MEANING THE
TENSIONS ACROSS THE BOARD I
DON'T THINK WHEN WE HAVE A
BURDENSOME REGULATION AND I HOPE
IT NEVER GETS TO FINGER POINTING
BECAUSE THAT'S JUST NOT
PRODUCTIVE. BUT I FEEL THAT IN
EACH PARTICULAR CASE PEOPLE WERE
LOOKING TO GOING YOU KNOW THE
BENEFITS OF DOING IT THIS WAY
WEATHER WAS IN PROP SIXTY FOUR
BY REGULATION OR SO FORTH. ARE
WORTHWHILE AND ALL WE'RE SAYING
IS NOW WE NEED TO DO A RESET AND
I BELIEVE YOU'RE ABSOLUTELY
RIGHT I THINK THERE'S AN AWFUL
LOT OF THINGS IN PROP SIXTY FOUR
THAT ARE TROUBLESOME. BUT WHEN
WE GO BACK TO THE INTENT AND
PURPOSES OF IT THAT'S WHERE I
THINK THAT NEEDS TO BE OUR
GUIDING LIGHT. AND WHAT IT WAS
AND THE NUMBER ONE THING WAS TO
BE ABLE TO MOVE THINGS INTO. OUT
OF THE ILLICIT MARKET IN ILLEGAL
REGULATED MARKET AND IT'S
FAILING OUT SO THERE'S
UNINTENDED CONSEQUENCES AND SO
IS THERE SOMETHING IN THAT
INITIATIVE. I DON'T KNOW THAT-
SUGGESTED THE LEGISLATURE WITH A
TWO THIRDS VOTE CAN. CHANGE WHAT
THE PEOPLE ABOVE MY PAY GRADE
BUT THERE'S A LOT OF CONFLICTS
IN THERE FOR. YES THAT WAS ON. A
TALK ABOUT CHILD RESISTANT
PACKAGING AND ON FLOWER THERE'S
ABSOLUTELY NOTHING A CHILD CAN
DO. WITH FLOWER THAT WOULD MAKE
THEM YOU CAN EAT IT IT'S ON ME
TRY GETTING A KID TO EAT.
BROCCOLI ITSELF. THE FLOWER IT
DOES NOTHING THAT'S NOT
INTOXICANT. BUMP YET BUT WE HAVE
CHILD RESISTANT. PACKAGING AT AN
AFFORDABLE. EXPENSE OPERATOR AND
EVEN. SIX TO THE AND THEN IF
YOU'LL COME BACK AND SAY WELL
THAT'S IN PROPS. FOUR BUT- IN
PER SIXTY. WAS THAT THE INTENT
OF LEGALIZATION WAS TO BENEFIT
THE ENVIRONMENT. SO I THINK THAT
THERE'S PROBABLY SOME THINGS I
WOULD HOPE THAT WE CAN GO IN.
AND DEAL WITH AND LOOK AT THE
END OF THE DAY MAYBE WE CAN'T
LET PERFECT BE THE ENEMY OF GOD
THERE'S AN AWFUL LOT OF LOW
HANGING FRUIT THAT WOULD START
WITH THAT. THANK YOU. THANK YOU
CENTER DIED. ON YES I I'D REALLY
LIKE TO. SAY ABSOLUTELY A LOT OF
THE ISSUES PERTAINING TO THE
PROPOSITION AND- THE INDUSTRY
WAS DIVIDED ON THAT- AND- OUR
PREDECESSOR ORGANIZATIONS
INVESTED A LOT OF TIME INTO. MC
ARE SAYING WORKING WITH THE
LEGISLATURE. AND THAT ABILITY TO
HAVE THAT FLEXIBILITY AND WORK
WITH OUR LEGISLATORS. I'M IS
SOMETHING THAT WE WOULD REALLY
LIKE TO BE ABLE TO- ADVANCE MORE
OF AND SO- I REALLY APPRECIATE
YOU DRAWING ATTENTION TO THAT
POINT. THANK IN THE COMMENTS. AB
ONE FINAL QUESTION UNLESS
SOMEONE ELSE JUMPS AND- ACCESS
TO CAPITAL OR OTHER I THINK
SOMEONE TOUCHED ON THIS OTHER
OBSTACLES TO ACCESS. TO CAPITAL
FOR SMALL BUSINESS IN THIS.
ARENA AND IF THOSE OBSTACLES ARE
RELATED TO. THE LICENSING
PROCESS AND THE TAX BURDEN. IF
WE SPEED UP LICENSING AND REDUCE
THE TAX BURDEN. DO YOU BELIEVE
THAT WILL INCREASE THE
AVAILABILITY OF CAPITAL FOR.
SOME OF THE SMALL OPERATORS THAT
MY COLLEAGUES ARE CONCERNED
ABOUT. MAYBE I'M IF YOU'D ASKED
ME SIX MONTHS AGO I WOULD HAVE
SAID YES ABSOLUTELY BUT SO MUCH-
CAPITAL HAS FLED THE INDUSTRY AT
THE MOMENT AT LEAST THE
CALIFORNIA INDUSTRY AND OF
COURSE THE BANKS FOR HAVING SOME
ISSUES RIGHT NOW- BUT CERTAINLY
E. SPEEDING UP THAT LICENSING
PROCESS. WILL LOWER THE COST
RATE SO I KNEW MORE THAN ONE
LICENSE HE RIGHT NOW WHO ARE
WOULD BE LICENSE HE WHO IS IN
THE PROCESS. AND THEIR ABILITY
TO RAISE ANOTHER ROUND OF
FUNDING IS CONTINGENT UPON
THEY'RE GETTING THEIR LICENSE
FIRST SAID THE SOONER THAT
HAPPENS THE BETTER BECAUSE WHAT
HAPPENS TO JEANINE'S POINT
EARLIER IS HE TAKE TWO YEARS
YOU'RE PAYING RENT YOU'RE
PAYING. SECURITY YOU'RE PAYING
THIS THAT OR THE OTHER THING
YOU'RE PAYING INSURANCE. ALL ON
AN EMPTY BUILDING WITH. THE OF
WHETHER ITSELF OR OUTSIDE
FUNDING IT WOULD HELP. THE ANY
OTHER COMMENTS YEAH AND I THINK
THAT FROM. THINK OF IT THIS WAY
IF YOU INSTEAD WERE SAYING LET'S
SAY THERE WAS FINE ACCESS TO
CAPITAL AND YOU SAID YOU KNOW
WHAT WE'RE THINKING OF MAKING
LICENSING REALLY DIFFICULT AND
LONG AND JACKING UP TAXES. WHAT
DO WE THINK THAT WOULD HAPPEN TO
CAPITAL IT WOULD GO DOWN SO I DO
BELIEVE ELEVEN AM IMPACT ISN'T A
PANACEA NOW. BUT I THINK IT IS
CERTAINLY SOMETHING THAT YOU
WANT TO DO AS PART OF ALL OF THE
OTHER THINGS THAT THE BEST WAY
TO HAVE INVESTMENT. IN IT YOU
KNOW CAPITAL COME INTO SOMETHING
IS TO MAKE IT WHERE INVESTORS
WANT TO BE ON THEIR- RETURN ON
INVESTMENT SIX. AND THEN THAT
MONEY IS ALMOST LIMITLESS.
ANYTHING THAT MAKES OPERATIONS
EASIER AND THERE'S LESS FRICTION
ON THE LICENSING WOULD BE A
POSITIVE IN THE VIEW OF
INVESTORS- SOCIAL EQUITY
BUSINESS OWNERS SUFFER THE MOST
FROM. LACK OF CAPITAL COMING
INTO THE INDUSTRY IT'S MUCH
HARDER FOR THEM TO RAISE MONEY.
IN NORMAL CIRCUMSTANCES SO WHEN
IT WHEN IT'S SO DIFFICULT FOR
EVERYONE IT FALLS HARDEST ON THE
SOCIAL EQUITY. AND WHEN I WOULD
AND I'M SORRY WHEN BE DOING MY
JOB IF I DIDN'T GO BACK TO. THE
THE FLOW OF PAYMENTS THROUGH THE
SUPPLY CHAIN IS A VERY MUCH
BROKEN AND WE HAVE PROPOSED.
WHAT WE THINK IS A VERY
CONSTRUCTIVE SOLUTION ON THAT
WHICH IS THE AB SEVEN SIX SECS
AND SO IN ADDITION TO ALL OF THE
OTHER THINGS I DO BELIEVE
SECURING THE HOUSE SUPPLY CHAIN
PAYMENTS THROUGH THE ENTIRE
VALUE CHAIN. IS SOMETHING THAT
WILL HAVE AN IMMEDIATE AND
BENEFICIAL IMPACT. THANK YOU ANY
OTHER COMMENTS COLLEAGUES ANY
OTHER QUICK SEARCH LOW. YES
BEFORE YOU LEAVE I I'VE GOTTEN A
LOT SMARTER BECAUSE OF ALL OF
YOU THANK YOU SO MUCH. BUT WHAT
I JUST HEARD FROM MY COLLEAGUE.
HE SAID THEN YOU'VE GOT TO HAVE
THE BUILDING YOU'VE GOT TO GO
THIS AT ANY OTHER WOULD YOU WALK
ME THROUGH SOMEONE WHO'S JUST
STARTING. IN ONE WHO MAY HAVE
SUCCEEDED YOU MENTION. BUT
BECAUSE IT SOUNDS TO ME HE'S GOT
TO HAVE THE BUILDING. IS GROUP
BOB EVEN FOR THAT HE'S GONNA
HAVE THE ASSETS. AND THE BANKING
HISTORY AND MONEY AND WALK ME
THROUGH IT JUST VERY QUICKLY. SO
WHEN JEANINE TALKS ABOUT SITE
SPECIFIC APPROVALS WHAT SHE'S
REFERRING TO IS THE FACT THAT
WHEN YOU ARE APPLYING FOR A
LICENSE YOU CAN'T SAY. I WANT A
LICENSE TO DO CANNABIS RETAIL
AND SAN FRANCISCO YOU HAVE TO
SAY I WON A LICENSE TO DO
CANNABIS RETAIL IT FIVE THREE
ONE POST STREET IN SAN
FRANCISCO. SO THE FIRST THING
YOU HAVE TO DO AND I'M GONNA
SPEAK ABOUT IT FROM THE RETAIL
SIDE. IS YOU HAVE TO LOOK AT THE
CITY ORDINANCE UNDERSTAND WHERE
THE CHURCHES AND THE SCHOOLS AND
THE DAY CARE CENTERS ARE SINCE
YOU CAN'T BE WITHIN A THOUSAND
FEET. FIND SOME PROPERTIES FIND
SOME LANDLORDS- WITH AVAILABLE
STATE SPACE IN THOSE PROPERTIES
MAKE SURE THAT THE LANDLORD
KNOWS THAT IT'S A CANNABIS
BUSINESS. THEN YOU HAVE TO LEASE
THE PROPERTY. AND START PAYING
RENT. AND THEN START YOUR LOCAL
APPROVAL PROCESS AND BEAR IN
MIND THAT FOR A LOT OF THESE
JURISDICTIONS FOR CANNABIS
RETAIL IT IS ULTIMATELY A
LOTTERY PROCESS. SO YOU CAN PUT
YOUR HEART AND SOUL AND DO YOUR
BEST EFFORT AND MAY BE ABLE GET
IT MAYBE HE WON'T SOMETIMES IT'S
LITERALLY A FLIP OF A COIN. SO
YOU GO THROUGH THAT PROCESS IN
THE END YOU GO THROUGH THE
SECRET PROCESS AND YOU. THE FILL
ALL OF THE LOCAL ORDINANCE
REQUIREMENTS AND THEN YOU GO OFF
AND YOU APPLY FOR YOUR STATE
LICENSE. AND TYPICALLY IF YOU
HAVE THE LOCAL APPROVAL YOU WILL
GET THAT STATE LICENSE BUT IT
TAKES TIME. THIS IS WHY THE- THE
ONE WHO MAY HAVE THE ASSETS. IS
ABLE TO GET TO THAT POINT WILL
SOMEONE FROM THE COMMUNITY.
WE'LL NEVER GET TO THAT POINT.
YET CAN YOU TAKE A LOSS FOR
THREE YEARS. BUT EVEN THE PEOPLE
WITHOUT SOME ASSETS WE'VE- LOST
FIVE HUNDRED BRANDS IN THE LAST
TWO YEARS WHO'VE EXITED THE
INDUSTRY AND ALSO. RELIEF WHICH
IS THE LARGEST CANNABIS COMPANY
IN THE WORLD. JUST ACCIDENT
ANNOUNCING LEAVING CALIFORNIA
THE SELECT BRANDS. THEY WERE
UNABLE TO MAKE MONEY. THANK YOU
THANK YOU SENATOR SEEING NO
OTHER QUESTIONS THOSE
DISAPPOINTED NOBODY ASKED ME
ABOUT THIS BUT WE CAN LEAVE IT
ALONE I WANT TO TIME TELL US
ABOUT TWELVE. THIS IS JUST AN
EXAMPLE CONSUMABLE IT IS A
CONSUMABLE IT AS AN ALTERNATIVE
TO HIGH END ALCOHOL. AND I USE
IT JUST AS AN EXAMPLE OF THE
INNOVATION THAT COMES OUT OF
CALIFORNIA IT WAS EASIER TO SHOW
AN INCREDIBLE PRODUCTS LIKE THIS
THAT IT THAN IT IS THE
INCREDIBLE GENETICS THAT CALMS.
THE PEOPLE ARE DOING THE GROWING
TECHNIQUES I JUST MET OUT HERE'S
OR SETTING UP A YOUNG BRAND
CALLED CADRE I'M VERY EXCITED TO
HEAR ABOUT SO THE INNOVATION.
AND THE CLEVERNESS OUT OF
CALIFORNIA CANNABIS IS
INCREDIBLE SO WE REALLY DO HAVE
AN ADVANTAGE TO TAKE ADVANTAGE
OF AND THAT'S WHY I WANT TO PUT
THIS YEAR. THANK YOU FOR SHARING
BEFORE WE CLOSE OUT FEDERAL ROAD
KILL YES JUST A BRIEF COMMENT
YOU YOU TOUCHED ON THIS BRIEFLY
AND I JUST WANTED TO UNDERSCORE
IT BEFORE- GET UP AND THANK YOU
SO MUCH. WAS THE FROM THE
CONSUMER PERSPECTIVE. THE INTENT
OF THE LEGALIZATION OF CANNABIS
HERE IN CALIFORNIA WAS REALLY
ABOUT MAKING AN ALTERNATIVE A
NATURAL ALTERNATIVE. FOR PEOPLE
THAT WE'RE LOOKING FOR PAIN
MANAGEMENT- ALLEVIATION OF
MENTAL HEALTH DISTRESS TRAUMA.
AND YOU TOUCHED ON IT BUT I
WANTED TO RE EMPHASIZE THAT WE
HAVE GONE A LONG WAY FROM THAT
NOW. AND WE HAVE CREATED AN
INDUSTRY WHERE IN ORDER TO SEEK
OUT THAT RELIEF TO SEEK OUT THAT
QUALITY OF LIFE. YOU MUST NOW BE
BE TREATED AS AT SOMETIMES THE
CRIMINALS FOR PURSUING THIS. AND
I WORRY BECAUSE IF ANYTHING THE
PANDEMIC TAUGHT US IS THAT THE
LEVEL OF TRAUMA. DEPRESSION
ANXIETY THE RATE OF SUICIDE
AMONG OUR YOUNG PEOPLE HAS
ESCALATED. AND ACCESS TO
ALTERNATIVE MEDICINE OR ACCESS
TO- PLANTS AS SENATOR BRADFORD
HAS MENTIONED. SHE THAT WE HAVE
REAL SCIENCE THAT SHOWS THAT IT
ALLEVIATE SOME OF THE SYMPTOMS
THAT ARE CREATING THESE MASS
SHOOTINGS MASS SUICIDES. THIS
THIS DRAMATIC IMPACT IN OUR
COMMUNITY AND SO WHEN I HEAR
ABOUT THE REGULATIONS WHEN I
HEAR ABOUT THE EXCISE TAXES WHEN
I HEAR ABOUT ALL THESE OBSTACLES
TO CREATING. A PRODUCT THAT
INTUNE ADDS QUALITY OF LIFE TO
CALIFORNIANS AND OTHER PEOPLE.
CAN BE IT SADDENS ME THAT WE AS
LEGISLATOR HAVE CREEK
LEGISLATURE HAVE CREATED THIS
IMPASSE IF YOU WILL. SO I'D LIKE
TO ENCOURAGE YOU AND PERHAPS
WILL COME OUT THROUGH OTHER AB
PANELS AND THROUGH PUBLIC
COMMENT IS TO REALLY BRING
FORWARD. THE VOICE AND THE STORY
OF THE CONSUMER- AS A TWO TIME
CANCER SURVIVOR I WILL TELL YOU
THAT HAVING AN ALTERNATIVE TO
THE MASS OF DRUGS THAT KILL YOUR
SYSTEM. IS A REAL WIN AND IS
THERE IS A REAL- THE REAL
BENEFIT OF BEING ABLE TO BE IN
FRONT OF YOU HERE TODAY TO SPEAK
THANK YOU. COULD I JUST HAD ONE
CARE POINT IN YOU SO FOR MAKING
THIS AT THAT POINT BECAUSE ONE
OF THE THINGS. THAT SPEND LOST.
IS A REAL FOCUS ON IN ATTENTION
TO MEDICAL CANNABIS. AND.
200-018-1617 EIGHTEEN OUR
COMPANY HAD A BRAND CALLED CARE
BY DESIGN AND WE ARE VERY
ORIENTED TOWARDS THE MEDICAL
SPACE AND WE HAD THREE PH DIS ON
STAFF THAT DID NOTHING OTHER
THAN TRACKING ON THE RESEARCH
AND DATA. AND TRY TO FIGURE OUT
HOW TO FORMULATE PRODUCTS THAT
BETTER MEET THE NEEDS OF
PATIENTS THAT ENTIRE RESEARCH
EFFORT IS BACK BERNARD. AND IT'S
BACK BURNER BECAUSE WE CAN'T
AFFORD IT. I'M AND THAT IS ONE
OF THE THINGS THAT'S KIND OF
LOST IT'S NOT JUST KIND OF THAT
FIELD BUSINESSES THAT WE'VE
SPOKEN TO. IT'S THE LOSS OF THE
POTENTIAL TO DO SOMETHING MORE
MEANINGFUL. THANK YOU. THANK YOU
BOTH FROM THE OTHER THING'S BEEN
LOST IS. THE FOCUS ON ECONOMIC
DEVELOPMENT. AND THE OVER FOCUS
ON- REVENUE. ALL THROUGHOUT THIS
PROCESS THANK YOU FOR JUDGE JOBS
IS A HUGE JOB CREATOR AND THESE
ARE JOBS THAT ARE OFTEN BLUE
COLLAR THAT IT'S IN A GROWTH
INDUSTRY ARE HARD TO OUTSOURCE.
TO OTHER COUNTRIES EVEN OTHER
STATES CURRENTLY SO- YEAH WE
WOULD LOVE TO SEE A MORE
THRIVING- INDUSTRY TO ALLOW FOR.
HIRING A LOT MORE CALIFORNIANS
THAT WE NEED TO MOVE PAST THE
THOUGHT THAT THIS IS JUST A BANK
. AT ALL LEVELS AND FOCUS ON
OTHER ISSUES THANK YOU FOR THE
VERY ROBUST TO DISCUSSION WILL
NOW MOVE TO OUR SECOND PANEL
THANK YOU FOR COMING. OUR SECOND
PANEL IS TRANSITIONING FROM
PROVISIONAL. TO THE ANNUAL
LICENSES HAS PROGRESS BEEN MADE
THAT IS THE QUESTION OF THE DAY
. PRESENTERS IF YOU WOULD PLEASE
MAKE YOUR WAY TO THE FRONT TABLE
. YES PLEASE.
YEAH CAN I HAVEN'T BEEN ABLE TO
DO THIS AND ONCE MY COLLEAGUES
GET THROUGH. BRUISING THE- SWAG
. THERE'S NOTHING IN IT BY THE.
I GET TO DO SO I HAVEN'T DONE A
COUPLE YEARS SO HAVE YOU WILL
INTRODUCE YOURSELVES STARTING TO
MY LEFT YOU'RE RIGHT MA'AM LET'S
START WITH YOU. HELLO MY NAME IS
A WELDER AND I'M A LEGISLATIVE
ADVOCATE WITH THE CALIFORNIA
STATE ASSOCIATION OF COUNTIES OR
THE FACT. THANK YOU FOR BEING
HERE HELLO MY NAME'S KRISTEN OF
IT ALL AND I'M- HELLO I'M
PERSONABLE AND- I'M THE DIRECTOR
OF THE MEDICINAL COUNTY CANNABIS
DEPARTMENT. THANK YOU MS NEVILLE
. GOOD MORNING JASON CLEAN
ASSISTANT EXECUTIVE DIRECTOR FOR
THE DEPARTMENT OF CANNABIS
REGULATION WITHIN THE CITY OF
LOS ANGELES CALLING THANK YOU
FOR BEING HERE. GOOD MORNING MY
NAME IS RUSSIA SELAMA AND I
SERVE AS THE CHIEF DEPUTY
DIRECTOR FOR THE DEPARTMENT OF
CANNABIS CONTROL. THANK YOU
MA'AM THANK YOU CAN I AM ANGELA
HEALTH DEPUTY DIRECTOR OF THE
DEPARTMENT CANNABIS CONTROL
THANK YOU. OKAY WHO WANTS TO
START FIRST. WHY NOT NO. I HAVE.
LOMA NO ANGELA HILL AND RUSSIA
SALOUM. GOOD MORNING CHAIRMAN
MEMBERS OF THE COMMITTEE AS I
SAID MY NAME IS RUSSELL SOLOMON
I SERVICE THE CHIEF DEPUTY
DIRECTOR FOR THE DEPARTMENT OF
CANNABIS CONTROL. ARE JOINING ME
TODAY IS ANGELA HELD DEPUTY
DIRECTOR OF GOVERNMENT AFFAIRS.
I WANT TO BEGIN BY THANKING THE
COMMITTEE FOR THEIR WORK TO
ORGANIZE THIS OVERSIGHT HEARING
AND FOR INVITING THE DEPARTMENT
TO PARTICIPATE ON THE
PROVISIONAL LICENSING PANEL. THE
DEPARTMENT IS RESPONSIBLE FOR
THE LICENSING AND REGULATION OF
THE COMMERCIAL CANNABIS INDUSTRY
WITHIN CALIFORNIA. OUR MISSION
IS TO ADVANCE AND FACILITATE A
WELL REGULATED LEGAL MARKET THAT
BENEFITS ALL CALIFORNIANS
THROUGH INNOVATIVE POLICIES AND
EFFECTIVE IMPLEMENTATION. SENSES
STOPPERS MEN OF THE DEPARTMENT
IN JULY TWENTY TWENTY ONE WE ARE
PROUD OF THE MANY
ACCOMPLISHMENTS WE HAVE MADE
WHILE SIMULTANEOUSLY BUILDING
THAT APARTMENT. THESE
ACCOMPLISHMENTS INCLUDE REDUCING
OUR VACANCY RATE FROM 43225%
PROCESSING OVER FORTY SIX
HUNDRED LICENSE APPLICATIONS.
CONDUCTING OVER FIFTY SEVEN
HUNDRED LICENSE INSPECTIONS
INCREASING OUR ENFORCEMENT
EFFORTS AGAINST ILLEGAL
OPERATORS BY OVER A HUNDRED AND
50% AND IMPLEMENTING AND
REFINING APPROXIMATELY A HUNDRED
AND FIFTY SIX MILLION. IN NEW
PROGRAMS THANKS IN LARGE PART TO
THE SUPPORT AND LEADERSHIP OF
THIS BODY. BEFORE WE DIVE INTO
PROVISIONAL LICENSING I WANT TO
TAKE A MOMENT TO ACKNOWLEDGE THE
TIMELINESS OF TODAY'S
CONVERSATION. ESPECIALLY IN
LIGHT OF RECENT DISCOURSE AROUND
THE HEALTH OF CALIFORNIA'S
CANNABIS MARKET. AS WE ENTER
TWENTY TWENTY THREE CANNABIS
BUSINESSES JUST LIKE MANY OTHER
BUSINESSES ARE FACING ECONOMIC
UNCERTAINTIES THAT CHALLENGE
THEIR ABILITY TO SUCCEED. THIS
INDUSTRY IS NOT IMMUNE FROM THE
MACRO ECONOMIC FACTORS THAT
UNIVERSALLY CHALLENGED
BUSINESSES INCLUDING. CHANGING
CONSUMER PURCHASING HABITS POST
CODE. EIGHT TIGHT LABOR MARKETS
AND A LACK OF CAPITAL INVESTMENT
. IT IS IMPORTANT TO SITUATE
THESE CHALLENGES IN THE CONTEXT
OF THE IMPORTANT AND STEADY
PROGRESS. THAT IS BEING MADE IN
THE MARKET IN THE CAMPUS MARKET.
RECENTLY WE HAVE BEGUN TO SEE
WHOLESALE PRICES STABILISING
PRODUCT QUANTITY PURCHASES
REMAINING STABLE YEAR OVER YEAR
DESPITE. TAX REVENUE DECREASING
AND PRODUCT PRICES DECREASING
FOR CONSUMERS ONE MACRO FACTORS
MIGHT CHALLENGE OUR ABILITY TO
CREATE THAT SUSTAINABLE
EQUITABLE AND SAFE MARKET THERE
ARE A NUMBER OF CHALLENGES THAT
ARE UNIQUE TO CANNABIS. THAT WE
ENCOURAGE POLICYMAKERS TO FOCUS
IMMEDIATE ATTENTION ON NOTABLY
THOSE ASSOCIATED WITH LOCAL AND
STATE LICENSURE SOME OF WHICH
YOU HEARD THIS MORNING. DID SHE
HAVE A HEALTHY LEGAL MARKETING
CALIFORNIA ONE THAT SUSTAINS
CANNABIS TAX REVENUE AND
REFLECTS THE DIVERSITY OF OUR
STATE. THE PROCESS FOR OBTAINING
ANNUAL LICENSURE MUST BE SIMPLER
AND MORE STREAMLINED. FOR THESE
REASONS WE ARE GRATEFUL FOR THE
OPPORTUNITY TO DISCUSS THE
NUANCES AND CHALLENGES WITH
LICENSING PARTICULARLY THOSE
RELATED TO PROVISIONAL LICENSING
WITH YOU TODAY. GOING TO PASS IT
OVER TO MY COLLEAGUE ANGELA TO
SPEAK TO THE PROVISIONAL
LICENSING SYSTEM AT THE
DEPARTMENT. THANK YOU. TO
UNDERSTAND HOW WE GOT HERE IT'S
NECESSARY TO BRIEFLY DISCUSS HER
LICENSING SYSTEM HAS BECOME SO
COMPLICATED. OVER THE COURSE OF
THE LAST FOUR YEARS THE STATE
HAS REFINED PROVISIONAL
LICENSES. SO THE OPERATORS MUST
MEET HEIGHTENED LICENSING
REQUIREMENTS WHILE
SIMULTANEOUSLY PHASING OUT
PROVISIONAL ALTOGETHER. AS YOU
MAY KNOW AFTER THE PASSAGE OF
PROPOSITION SIXTY FOUR THE ON
RAMP EXISTING LEGACY OPERATORS
INTO THE LEGAL MARKET. STATE
LICENSING ENTITIES WERE
AUTHORIZED TO ISSUE TEMPORARY
LICENCES IN THE FIRST YEAR. THE
LICENSES WERE INTENDED TO
PROVIDE OPERATORS QUICK ENTRY TO
THE LEGAL MARKET. WHILE ALSO
ALLOWING THEM TIME TO GATHER IN
SUBMIT THE APPROVALS AND
DOCUMENTS NECESSARY TO MEET
ANNUAL LICENSURE REQUIREMENTS.
AS THE TEMPORARY SUNSET DEADLINE
APPROACHED BECOME APPARENT THAT
THE TIMELINES TO ACCOMPLISH
ANNUAL LICENSURE WERE
UNREALISTIC WHEN TRANSITIONING A
MARKET THE SIZE OF CALIFORNIA'S.
THE STATE TOOK SWIFT ACTION TO
BRIDGE TEMPORARY LICENSURE WITH
ANNUAL LICENSURE. BY CREATING
PROVISIONAL LICENSES THAT WOULD
PHASE OUT BY JANUARY FIRST
TWENTY TWENTY. THE HOPE WAS THAT
THIS TEMPORARY SOLUTION WOULD
PROVIDE THE NECESSARY TIME FOR
LICENSING AND- STATE AND LOCAL.
TO PROCESS PERMIT APPLICATIONS
AND TO THE CALIFORNIA QUALITY
OCT. I AM VERY MENTAL QUALITY
ACT OR SEQUEL REVIEWS FOR THE
ISSUE IN OF ANNUAL LICENSURE.
THEN IT BECAME CLEAR THAT MORE
TIME WAS NEEDED TO TRANSITION
PROVISIONALS AND THE DEADLINE
WAS AGAIN EXTENDED THROUGH
JANUARY FIRST TWENTY TWENTY TWO.
HOWEVER AND THE SPIRIT OF THIS
RAMP UP LICENSE IF YOU WILL. THE
STATE FURTHER INCORPORATED A NEW
REQUIREMENT THAT PROVISIONALS
COULD ONLY BE RENEWED IF
LICENSEES WERE ACTIVELY AND
DILIGENTLY PURSUING REQUIREMENTS
FOR ANNUAL LICENSURE. INCLUDING
C. CLASS. AND THEN FINALLY ON
JULY TWELFTH TWENTY TWENTY ONE
ASSEMBLY BILL ONE FORTY ONE
ESTABLISH THE DEPARTMENT. CREDIT
EVEN MORE DETAILED MILESTONES TO
MEET SICKLE REQUIREMENTS. SUCH
DEADLINES FOR THE ISSUANCE OF
PROVISIONALS AND ESTABLISH THE
FINAL SUNSET DATE OF JANUARY
FIRST TWENTY TWENTY SIX. SO AS
YOU CAN SEE. EACH EXTENSION TO
THE PROVISIONAL LICENSING
PROGRAM HAS NOT JUST EXTENDED
SUNSET DEADLINES. BUT ALSO
SOUGHT TO REQUIRE A HIGHER LEVEL
OF DELIVERABLES FROM LICENSEES.
AND TO SUPPORT THE PHASING OUT
OF THIS LICENSE TYPE THE STATE
DID SIMULTANEOUSLY INVEST
EXTENSIVE RESOURCES TO SUPPORT
THE MIGRATION OF PROVISIONAL
LICENSES TO ANNUALS. THROUGH A
HUNDRED MILLION DOLLAR GRANT
PROGRAM WHICH WAS AWARDED TO
SEVENTEEN AT LOCAL
JURISDICTIONS. HOLDING THE
HIGHEST PERCENTAGE OF
PROVISIONAL LICENSES. AS WE MAKE
PROGRESS AND AS OUR CANNABIS
MARKET MATURES WE BELIEVE IT IS
NECESSARY THAT WE TAKE A STEP
BACK AND CRITICALLY ASSESS THE
ROLE IN ADVOCACY OF PROVISIONAL
LICENSES. PROVISIONAL LICENSES
WERE INITIALLY INTENDED TO SERVE
AS A BRIDGE TO TRANSITION AND
STABILIZE THE LEGAL MARKET.
HOWEVER IN PRACTICE THEY'RE
COMPENSATING FOR AN OVERLY
COMPLEX LICENSING PROCESS. WE
RECOGNIZE THAT SOME OF THE
ISSUES WE ARE SEEING IN THIS
INDUSTRY ARE NOT SILOS. WHETHER
WE'RE DISCUSSING BUILDING MORE
HOUSING OR OPENING A CANNABIS
BUSINESS PERFORMING SITE
SPECIFIC SEQUEL REVIEW IS
EXPENSIVE AND TIME CONSUMING.
FOR THESE REASONS WE URGE
POLICYMAKERS TO FOCUS ON
RADICALLY SIMPLIFYING AND
STREAMLINING THE LICENSING
SCHEME SO THE OLD CEMENT LEAVE
FULL LICENSURE IS MORE
ACHIEVABLE FOR ALL BUSINESSES.
WE BELIEVE THAT SMALL AND EQUITY
OPERATORS WILL GREATLY BENEFIT
FROM THESE LICENSING
MODERNIZATIONS. THANK YOU FOR
THIS OPPORTUNITY AND WE'RE HERE
TO ANSWER ANY QUESTIONS YOU MAY
HAVE. THANK YOU. I GUESS WE'RE
GONNA HEAR FROM- KRISTIN OF IT
ALL. DIRECTOR OF THE COUNTY OF
MENDOCINO CANNABIS DEPARTMENT.
THANK YOU. FROM HELLO HONORABLE
COMMITTEE MEMBERS AND THANK YOU
FOR HAVING ME HERE TODAY TO
SPEAK TO MENDOCINO COUNTY IS-
CANNABIS CULTIVATION AND- OTHER.
ON A PERMITTING PROCESS HE'S- SO
AS MANY OF YOU MAY BE AWARE OF
THE COUNTY OF MENDOCINO HAS A
VERY ROBUST HISTORY BOTH- M. OF
CULTIVATION CANNABIS CULTIVATION
ON LARGELY OUTDOORS SUN GROWN
CANNABIS- AND IN THE LEAD UP TO
PROPOSITION SIXTY FOUR THE
PASSAGE OF REGULATIONS HERE IN
CALIFORNIA. THAT CANNABIS
CULTIVATION SECTOR AND WITHIN
THE COMPANY- PLAYED A REALLY
SIGNIFICANT ROLE IN OUR ECONOMY-
AND BECAUSE OF THIS THE BOARD OF
SUPERVISORS- RECOGNIZE THE COP
THE CROPS CULTURAL AND ECONOMIC
IMPORTANCE. AND IN MAY OF TWENTY
SEVENTEEN THEY PASSED ONCE KNOWN
AS THE MENACING NOTE CANNABIS
CULTIVATION ORDINANCE. I'M A
SHORTLY THERE AFTER THEY PASSED
A SECOND ORDINANCE WHICH
REGULATED THE REMAINDER OF THE
SUPPLY CHAIN SO OUR PROGRAMS
ACTUALLY SPLIT INTO TWO
ORDINANCES. BOTH OF WHICH OFFER
LARGELY MINISTERIAL PERMITS
WHICH DO NOT INCLUDE PROJECT
SPECIFIC SEQUIN ALICE'S WHICH
MEANS THAT THE VAST MAJORITY. OF
OUR PERMIT HOLDERS FROM
MENDOCINO COUNTY DO NOT QUALIFY
FOR ANNUAL LICENSURE UNDER THE
STATE UNLESS THE APPLICANT
THEMSELVES- DOES CONDUCTS THE
PROJECT SPECIFIC SEQUIN ANALYSIS
OR IN THE CASE OF CULTIVATORS
WE'VE NEGOTIATED A PATHWAY FOR
PROJECT SPECIFIC SEQUENCES.
KNOWN AS AN APPENDIX TO
CHECKLIST WHICH IS A PROCESS
THAT OCCURS AFTER THE COUNTY
ISSUES THE PERMIT TO THE
CULTIVATOR. THE CULTIVATOR THAN
ESSENTIALLY CAN UTILIZE THOSE
PERMANENT MATERIALS TO- DRAFT A
PROJECT SPECIFIC- CHECKLIST
WHICH IS THEN TURNED BACK INTO
THE COUNTY WITH AND RE REVIEWS
THE CHECKLIST WITH AND GIVES IT
BACK TO THE APPLICANT WHO THEN
TURNS IT INTO THE STATE. WITHIN
REVIEWS THE CHECKLIST AGAIN. SO
ALL OF THIS CREATES OF A RATHER
DUPLICATIVE SITUATION- AND NOT
JUST FOR THE APPLICANTS TRYING
TO NAVIGATE THE SYSTEM BUT ALSO
FOR COUNTY STAFF AND I IMAGINE
FOR- DEPARTMENT. CANNABIS
CONTROL STUFF AS WELL. I'M THE-
CULTIVATION ORDINANCE AND WHICH
INCLUDES ALL CULTIVATION AND
NURSERY OPERATIONS IS HOUSED
WITHIN THE CANNABIS DEPARTMENT
WHICH I OVERSEE. ON THE CANVAS
DEPARTMENT SOLVE ALSO OVERSEES
THE COMPANY'S EQUITY PROGRAM AND
THE LOCAL JURISDICTIONS DISTANCE
GROUND FUNDS THAT THE COUNTY HAS
RECEIVED. I'M CURRENTLY- YOU
UNDER THE CULTIVATION ORDINANCE
WE HAVE AROUND TWO HUNDRED AND
THIRTY THREE ANNUAL PERMANENCE
AND OVER EIGHT HUNDRED
APPLICATIONS THAT ARE IN VARIOUS
PHASES OF REVIEW- WE HAVE BEEN
TRADITIONALLY UNDER STAFFED.
I'VE BEEN WITH THE COUNTY FOR
TWO YEARS AND WHEN I JOINED THE
COMPANY TO FIND TWO HUNDRED AND
THIRTY THREE ISSUED PERMITS OVER
EIGHT HUNDRED APPLICATIONS TO
REVIEW- IT WAS A TEAM OF MYSELF
FOR PLANNERS INTO ADMIN
ASSISTANCE- WE HAVE. CONTINUALLY
BEEN UNDERSTAFFED- LARGELY
BECAUSE STAFFING IN MENDOCINO
COUNTY IS THE CHALLENGE ACROSS
THE BOARD REGARDLESS OF WHAT.
BUSINESS YOU'RE TRYING TO STAFF-
AND THE NEEDS OF A DEPARTMENT
SUCH AS MY OWN WE'RE WE'RE GOING
TO CONTINUE TO OFFER SOCIAL
EQUITY GRANTS HOPEFULLY WE'RE
GOING TO CONTINUE TO WORK
THROUGH THE L. JGP FUNDS WHICH
INCLUDES A TEN MILLION DOLLAR
DIRECT GRANT PROGRAM. TO
OPERATORS TO HELP THEM MEET
THEIR SEQUEL REQUIREMENTS AND
THE PROCESSING OF THE
APPLICATIONS AND MAINTAIN
MAINTENANCE OF THE PERMITS WE
HAVE IN HOUSE. I'M IS GONNA TAKE
A MINIMUM OF AT LEAST TWENTY TWO
PEOPLE- AND IT WASN'T UNTIL
NOVEMBER OF TWENTY TWENTY TWO SO
JUST A FEW MONTHS AGO IT SEEMS.
THAT WE HAD ENOUGH SPACE
AVAILABLE TO EVEN CONSIDER
HIRING THAT MANY PEOPLE- BUT
THEN AGAIN WHEN YOU'RE
UNDERSTAFFED HIRING TWENTY TWO
PEOPLE AND RUNNING ALL THE
PROGRAMS THAT WE RUN IS A PRETTY
TALL ORDER. SO I'M WE HAVE
MANAGED TO GET QUITE A BIT
ACCOMPLISHED I FEEL LIKE IN THE
LAST TWO YEARS THAT I'VE BEEN
THERE- IT HAS BEEN A WHIRLWIND-
BUT AGAIN OUR PERFORMANCE OUR
MINISTERIAL THEY DO NOT INCLUDE
PROJECT SPECIFIC SEQUENCE
ANALYSIS WHICH I BELIEVE IS WHY
WE HAVE. A VERY LOW RATE OF
ANNUAL LICENSURE- WITH THE
DEPARTMENT CANNABIS CONTROL- SO
I'M GONNA RATTLE OFF A FEW
ACCOMPLISHMENTS BECAUSE I DON'T
WANT ANYONE TO THINK THAT WE'VE
BEEN SITTING AROUND IDLE OVER
THESE LAST SEVERAL YEARS SO. I'M
IN THE LAST TWO YEARS WE'VE
TRANSITION AND WHAT WAS THE
CANNABIS PROGRAM WITHIN PLANNING
AND BUILDING SERVICES INTO A
STANDALONE DEPARTMENT- WE'VE
AMENDED THE LOCAL EQUITY PROGRAM
MANUAL FIVE TIMES EXPANDING THE
PROGRAM TO BETTER SERVE THOSE
IMPACTED BY THE WAR ON DRUGS.
AND HAVE AWARDED OVER SIX
HUNDRED AND FORTY FOUR THOUSAND
DOLLARS TO LOCAL EQUITY
APPLICANTS TO HELP COVER THEIR
LOCAL PERMITTING FEES AND THEIR
LOCAL CANNABIS RELATED TAXES.
WE'VE AWARDED OVER TWO POINT SIX
MILLION DOLLARS IN DIRECT
GRANTS- AND POLITICAL EQUITY
APPLICANTS. AND WITH THE LOCAL
JURISDICTIONS SYSTEMS GRANT
PROGRAM FUNDING THAT WE RECEIVED
I DO WANT TO CALL OUT AN ERROR
IN. MY REPORTING TO THE STATE
WHICH MAKES IT LOOK LIKE WE
SPENT ON THREE POINT ONE
MILLION. IN THE FIRST HALF OF
THE FUNDING- PERIOD. I'M
ACTUALLY WE DID NOT SPEND DOWN
MONIES- BETWEEN JANUARY FIRST
AND- JULY FIRST. OF TWENTY
TWENTY TWO- AND LARGELY THE
REASON FOR THAT IS WE'VE BEEN
SPENDING A HECK OF A LOT OF TIME
IN THE COUNTY TRYING TO MODIFY.
THE REGULATIONS TO ENSURE THAT
OUR APPLICANTS AND OUR PERMIT
HOLDERS CAN STAY IN THE
REGULATED MARKET PLACE AND
HOPEFULLY QUALIFY FOR ANNUALLY
CENSURE. THIS IS CREATED A LOT
OF KIND OF STOP AND GO PROCESS
SEEN FOR OUR COUNTY BECAUSE
EVERY TIME. AN AMENDMENT TO THE
ORDINANCE OCCURS HERE TO PRESS
PAUSE ON APPLICANTS COMING
THROUGH THAT PORTION OF THE
ORDINANCE IF THAT MAKES SENSE-
SO WE'VE BEEN REALLY STRUGGLING
WITH STOP AND GO- PROCESS SCENES
SIMPLY BECAUSE- MINISTER OF
PROGRAMS AND I'M GONNA REPEAT IT
AGAIN. DO NOT INCLUDE PROJECTS
SPECIFIC SEQUIN ELSE'S WHICH
MEANS THAT THOSE PERMIT HOLDERS
DO NOT QUALIFY FOR ANNUAL
LICENSURE AT THE STATE WHICH IS.
JUST ABOUT. EVERYONE THAT COMES
THROUGH MENDOCINO COUNTY. THE
GOAL OF THIS. AND THE COUNTY
STAFF HAS REALLY BEEN TO HELP
THESE FOLKS GET THROUGH TO
ANNUAL LICENSURE. SO ORDINANCE
CHANGES HAS BEEN THE DIRECTION
WE'VE CHOSEN TO GO AND- I'M IN
CLOSING I'D LIKE TO DRESS
PROPOSED SITE ONE OF THE BIGGEST
THINGS THAT COULD HAPPEN. TO
HELP SUPPORT THE PROVIDE THE ON.
COMMERCIAL CANNABIS CULTIVATION.
FOR THE COMMERCIAL CANNABIS
INDUSTRY IN FULL AND MENDOCINO
COUNTY WOULD BE TO ELIMINATE THE
REQUIREMENT FOR PROJECT SPECIFIC
SEQUIN ALICE'S- TO QUALIFY FOR
AN ANNUAL LICENSE. AND LOCAL
JURISDICTIONS REALLY SHOULD BE
ABLE TO USE THEIR ORDINANCES
THEKLA DOCUMENT SO- THE CANNABIS
CULTIVATION ORDINANCE THAT WE
HAVE IN MINUTES YOU KNOW COUNTY
IS MINISTERIAL BUT IT DOES HAVE
A MITIGATED NEGATIVE DECLARATION
THAT WAS PASSED- IN ASSOCIATION
WITH THAT. AS A SECRET DOCUMENT
IT- INFORMED A VERY ROBUST
ENVIRONMENTAL PERFORMANCE
STANDARDS FOR OUR CULTIVATORS
YET WE STILL HAVE TO GO BACK
INTO ANOTHER PROJECT SPECIFIC
SEQUIN ALICE'S EVEN THOUGH WE
WRAPPED THE QUOTE. INTO THE
ORDINANCE ITSELF- YOU KNOW THIS
IS. AGAIN DUPLICATIVE AND TIME
CONSUMING AND IF WE COULD JUST
UTILIZE THAT SECRET DOCUMENT AND
OR IN THE CASE THE CANNABIS
FACILITY BUSINESS LICENSES THAT
WE ISSUE. THE GENERAL PLAN RATE
THOSE FACILITIES ARE SITED
APPROPRIATELY IN A LIKE MANNER
IN THE VAST MAJORITY OF CASES SO
WHEN WE ISSUE. A CANNABIS
RETAILER PERMIT WERE ISSUING
THAT PERMIT IN AN AREA THAT
UNDER OUR GENERAL GENERAL PLAN.
ALLOWS FOR COMMERCIAL RETAIL
ACTIVITIES RIGHT SO HAVING TO
COME. BACK IN TO SEE WHAT
ANALYSIS. IS INCREDIBLY
DUPLICATIVE TIME CONSUMING.
COSTLY NOT JUST TO THE APPLICANT
FOR TO THE COUNTY AS PART OF THE
REASON WHY WE NEED SO MANY STAFF
PERSONS TO ACTUALLY NAVIGATE
THIS PROCESS WITH OUR
APPLICANTS- SO I'M GONNA GO
AHEAD AND LEAVE IT THERE I'M
HAPPY TO ANSWER QUESTIONS BY
NORMAL SHORT ON TIME. THANK YOU
THANK YOU FOR YOUR COMMENT YES
SIR MISTER CLEAN. LA GOOD
AFTERNOON SO MY DIRECTORS ASKED
ME TO KEEP AT A HIGH LEVEL I
FIGURE WHEN WE GET TO THE PANEL
QUESTIONS WILL GET INTO THE
WEEDS HELLO LEVEL BELOW LEVEL.
SO ARE THE SETTLERS PROBABLY
LARGEST MARKET WITHIN THE STATE-
CURRENTLY WE HAVE OVER SEVEN
HUNDRED AND SEVENTY LICENSE
BUSINESS LOCATIONS COVERING OVER
FOURTEEN HUNDRED DIFFERENT
LICENSED ACTIVITIES- WE ARE IN
THE- PROCESS OF UTILIZING THE
TWENTY TWO MILLION DOLLARS IN L.
JUG GRANTS THAT WE DID RECEIVE.
THOSE MONEYS WERE INTENDED TO
PROVIDE DIRECT ASSISTANCE TO OUR
APPLICANTS AND LICENSEES TO
TRANSITION ON FROM THE
PROVISIONAL LICENSE FOR PROCESS
INTO THE ANNUAL APPLICATION
PROCESS. HOW WE WILL BE WAIVING
FEES FOR THE ENVIRONMENTAL
REVIEW FOR ALL OF OUR LICENSE
FEES. AS WELL AS THE ANNUAL
APPLICATION FEES. ARE ANNUAL
APPLICATION PROCESS WILL OPEN UP
ON MONDAY MAY FIRST. THAT WILL
BE THE FIRST TIME THAT OUR LOCAL
APPLICANTS WILL HAVE THE
OPPORTUNITY TO APPLY FOR THEIR
LOCAL LICENSE. OF THE REASON WHY
WE DID WAIT SO LONG TO OPEN THAT
UP HIS. THE ORIGINAL WORD
INSTRUCTOR BY OUR LOCAL POLICY
MAKERS OF THE CITY AS A FIRST
MOVER AND A FINAL OVER. SO WE
HAD TO THE COUPLE ARE ANNUAL
PROCESS FROM THE STATE'S PROCESS
OUR LOCAL COUNTY PUBLIC HEALTH
PROCESS AS WELL. BECAUSE IN
ORDER TO GET YOUR ANNUAL LICENSE
ORIGINALLY YOU HAD TO HAVE
QUALIFIED FOR YOUR STATE AND YOU
WILL LICENSE AS WELL AS YOUR
COUNTY. PUBLIC HEALTH PERMIT AND
OF COURSE UNDER CURRENT LAW
FOLKS COULD NOT QUALIFY FOR
THOSE UNTIL THEY RECEIVE THEIR
CITY ANNUAL LICENSE SO WE HAD A
NUMBER OF COMMUNITY MEETINGS AND
MEETING WITH POLITICIANS. OVER
THE LAST YEAR SO THAT WE COULD
AMEND OUR LOCAL ORDINANCE- THEY
DID ADOPT OUR DEPARTMENT'S
RECOMMENDATIONS. AND HARD CITY
ATTORNEY IS DRAFTING LOCAL OF AN
AMENDMENT TO OUR LOCAL ORDINANCE
TO EFFECTUATE THOSE CHANGES.
EFFECTIVELY WHAT'S GOING TO
HAPPEN IS IT'S GOING TO ALLOW
FOR US TO ELIMINATE THE
DUPLICITY. BETWEEN OUR LOCAL
PROCESS AS WELL AS THE STATE'S
PROCESS. SO EVERYTHING THAT THE
STATE DOES BUT IS NOT RELATED TO
TIME PLACE AND MANNER OR LAND
USE REVIEW IS BEING JETTISONED
FROM OUR LOCAL PROCESS. THAT
WILL EXPEDITED. AND THEN OF
COURSE BECAUSE THE SEQUEL REVIEW
THE ENVIRONMENTAL DOCUMENT IS
TIED TO THE ISSUANCE OF THE
DISCRETIONARY LICENSE WHICH IS
THAT ANNUAL LICENSE THE CAMPION
DOCKED IN INTEL THE LOCAL
JURISDICTION ADOPTS THAT.
FINALLY SO BY STREAMLINING-
ANNUAL. IN REDUCING THE- WILL BE
ABLE TO TRANSITION OUR LOCAL
LICENSEES THROUGH THE
ENVIRONMENTAL REVIEW. IN THE
ANNUAL LICENSE CURRENT DO THOSE
LOCAL HEARINGS WITHIN THREE TO
SIX MONTHS. SO WE'VE ALREADY
BEEN WORKING WITH ALL OF OUR
LICENSE FEES TO ALLOW FOR THEM
TO SUBMIT THEIR FINAL DRAFT
SECRET DOCUMENTS. OF THAT
DOCUMENT WAS BASED ON WHAT THE
DEPARTMENT OF CANNABIS CONTROL
AND THE LEGACY AGENCIES HAVE PUT
TOGETHER FOR THEIR REGIONAL SEEK
REVIEW- WE DO WORK HAND IN HAND
WITH THE STATE- TO MAKE SURE
THAT WE'RE PREPARING OUR
APPLICANTS AND LICENSEES TO
NAVIGATE THROUGH THE PROCESS.
MAY FIRST ALSO HAPPENS TO BE THE
FIRST DAY. THAT FOLKS THAT HAVE
PROVISIONAL LICENSES THAT WILL
EXPIRE ON OR AFTER JULY. FIRST
TWENTY TWENTY THREE WILL HAVE
THE OPPORTUNITY BEGIN RENEWING
THEIR LICENSES. WE HAVE A NOTICE
OF COMPLETION FOR THE FOLKS THAT
HAVE SUBMITTED THEIR
ENVIRONMENTAL DOCUMENTS THAT WE
CAN PROVIDE A LETTER. TO OUR
LICENSEES THEY'VE PROVIDED TO
THE STATE AGENCY TO CONTINUE TO
RENEW THEIR PROVISIONAL LICENSE
FOR. HAS THEY WORK TOWARDS
ANNUAL LICENSURE AND WE DO
ANTICIPATE THAT THE FIRST FRONT
OF ANNUAL LICENSES WILL BE
ISSUED AT. IT SAYS WHICH OFF TO
GO- ADDITIONAL COMMUNITY
MEETINGS PUBLIC HEARINGS AND
TORE COMMISSION- WILL START TO
BE ADOPTED SOMETIME IN THE FALL-
SO WITH THAT. I WILL TURN BACK
OVER TO THE COMMITTEE. THANK YOU
- IS WILDER. HELLO AGAIN MY NAME
IS IT A WELDER ENTOMOLOGIST LATE
ADVOCATE WITH THE SACK WE
REPRESENT ALL FIFTY EIGHT
COUNTIES IN THE STATE AND- AS
I'M SURE YOU ALL ARE AWARE EACH
COUNTY IS UNIQUE AND ITS
POLITICS ITS GEOGRAPHY AND ITS
POPULATION. AND AS MANY COUNTIES
AS WE HAVE WITH CANNABIS
LICENSES WE HAVE THAT MANY
DIFFERENT TYPES OF PROGRAMS SO
IT'S VERY HARD TO PAINT THE
WHOLE STATE WITH A BROAD STROKE.
WHAT WE DO HAVE COUNTIES WHO ARE
STRUGGLING WITH THE TRANSITION
FROM PROVISIONAL TO ANNUAL
LICENSES WE ALSO HAVE A LOT OF
COUNTIES WHO HAVE MADE IMMENSE
PROGRESS AND HAVE HAD GREAT
SUCCESSES. IT'S THIS UNIQUE
QUALITY THAT EACH COUNTY HAS
THAT IS WHY LOCAL CONTROL WAS
ONE OF THE UNDERPINNINGS OF PROP
SIXTY FOUR. AND ARE WHAT MANY
COUNTIES HAD NEARLY TAKEN ON
THIS CHALLENGE OF LOCAL CONTROL
BUT IT'S CREATING A BRAND NEW
LICENSING SCHEME FOR A BRAND NEW
INDUSTRY. AND COUNTIES ARE
ALWAYS ON THE SWORD'S EDGE OF
PROVIDING SERVICES WITH LIMITED
RESOURCES CANNABIS IS NO
EXCEPTION ON THIS FRONT. LOCAL
JURISDICTIONS ARE FORCED TO
SPLIT TIME AND RESOURCES BETWEEN
REGULATION AND ENFORCEMENT
DESPITE THE FACT THAT THESE ARE
TWO SIDES OF THE SAME COIN. THE
LICENSE MARKET WILL NOT SURVIVE
WITHOUT ROBUST ENFORCEMENT OF
RULES AND REGULATIONS TO EVEN
THE PLAYING FIELD. MANY
LOCALITIES SET UP PERMITTING
STRUCTURES DID SO COUNTING ON
ROSY FORECASTS OF PROJECTED
REVENUE WHICH AS WE'VE HEARD
TODAY HAVE NOT COME TO FRUITION.
THIS IS ESPECIALLY TRUE OVER THE
LAST YEAR IS THE MARKET PRICE OF
CANNABIS HAS CRASHED WHILE
INFLATION RATES ENERGY COSTS.
THE AMOUNT OF UNLICENSED PRODUCT
ON THE MARKET HAS SOARED. AS WE
HEARD IN THE FIRST PANEL IT'S A
VERY HARD TIME TO BE A LEGAL
OPERATOR IN THE STATE. TO
BOLSTER THE INDUSTRY MANY
COUNTIES HAVE CHOSEN TO LOWER
SUSPEND OR ELIMINATE LOCAL TAXES
WHICH LEAVES THEM WITH EVEN
FEWER RESOURCES. WELL THERE ARE
A FEW COUNTIES WHO HAVE
DEDICATED CANNABIS DEPARTMENTS
MOST DEPEND ON ONE OR MAYBE TWO
FULL TIME STAFFERS TO RUN THE
BULK OF THEIR PROGRAM. AND
COUNTY STAYS THE SAME STAFF
SHORTAGES THAT MANY INDUSTRIES
IN OUR STATE ARE FACING IN THIS
IN THIS ERA. THESE ISSUES ARE
OFTEN COMPOUNDED IN RURAL AREAS
AND AREAS WITH LOW AND EXPENSE
OF HOUSING STOCK ALL THESE
ISSUES ARE INTERTWINED. WELL
WHEN NEW EMPLOYEES ARE BROUGHT
AND THEY OFTEN REQUIRE QUITE A
BIT OF ON BOARDING TO DEVELOP
THE TECHNICAL EXPERTISE THAT'S
REQUIRED AND THIS IS UNCOMMON TO
EXIST UNLESS SOMEBODY IS TRAINED
AT THE COUNTY LEVEL. PROGRAMS
LIKE THE DC SEES LOCAL
JURISDICTIONS SYSTEMS GRANT
PROGRAM HAVE HELPED BRIDGE THIS
GAP. BUT ULTIMATELY IT IS
DIFFICULT FOR COUNTIES TO RELY
ON ONE TIME FUNDING. SINCE THE
CONSOLIDATION OF THE DEPARTMENT
OF CANNABIS CONTROL COUNTIES
HAVE SEEN. GREAT IMPROVEMENT IN
COMMUNICATION AND RELATIONSHIP
WITH THE STATE AND WE'D LIKE TO
SEE THIS CONTINUE. WE APPLAUD
THE STRIDES THE DCC HAS MADE IN
PROACTIVELY REACHING OUT TO
LOCALS AND PROVIDING SUPPORT
WHERE THEY CAN. HOWEVER A LACK
OF ACCESS TO DATA ESPECIALLY
TRACK AND TRACE AND LICENSING
INFORMATION FOR LOCALS HAS BEEN
AN IMMENSE CHALLENGE. FOR
EXAMPLE AFTER A LOCAL
JURISDICTION CONFIRMS THAT I'M A
LICENSEE HAS MET LOCAL
REQUIREMENTS TO THE DEPARTMENT.
THEY OFTEN HAVE TO FIND OUT FROM
THE LICENSEE THEMSELVES THAT
THEY GOT THE ANNUAL LICENSE
THEY'RE NOT INFORMED BY THE
DEPARTMENT. DESPITE THESE
DIFFICULTIES COUNTIES RECOGNIZE
THE CANNABIS IS AN IMPORTANT
ECONOMIC DRIVER IN COMMUNITIES.
AND ARE LOOKING FOR NEW AND
CREATIVE WAYS TO SUPPORT THE
INDUSTRY. FROM OPENING
CONSUMPTION LOUNGES TO CUTTING
TAXES TO OFFERING GRANTS FOR
WATER STORAGE AND SOLAR PANELS.
COUNTIES ARE ENTHUSIASTIC
PARTNERS IN THIS ENDEAVOR. WE
DON'T WANT TO BE A ROADBLOCK TO
THE SUCCESS OF THIS INDUSTRY OR
AT ODDS WITH THE STATE AND THE
LEGISLATURE. AND WE'RE LOOKING
FORWARD TO WORKING TO ADDRESS
THESE ISSUES WITH YOU COMING
FORWARD THANK YOU SO MUCH THANK
YOU. VOTER FRAUD TURN MY
COLLEAGUES LET ME- JUST KICK IT
OFF WITH A COUPLE QUESTIONS-
INCUMBENTS MENDOCINO THANK YOU
FOR A DEALING WITH THE STATE'S
SPECIFIC ISSUE ON THE LOCAL- ON
A LOCAL BASIS IT SOUNDS. AS IF
HOWEVER. THAT STAFFING WILL. MAY
CONTINUE TO BE AN ISSUE DO YOU
HAVE A PLAN TO MOVE FORWARD. I
MEAN WE'RE WE'RE CONSTANTLY
TRYING TO MOVE FORWARD WITH
STAFFING AND SO ON WE- FOR THE
LAST. EIGHTEEN MONTHS OR SO
WE'RE IN A SMALL BUILDING THAT
ONLY ALLOWED A SIX TO SEVEN
OFFICES. IN NOVEMBER WE MOVED TO
A MUCH LARGER FACILITY IN HOPES
OF MEETING OUR FULL STAFFING
ALLOCATION. I'M HOWEVER OUR
LOCATION IS REMOTE WE ARE NO
LONGER IN UKIAH WHERE IN
WILLITS- WHICH MAKES. STAFFING
PERHAPS EVEN MORE CHALLENGING.
HOUSING IS ALREADY LIMITED IN
UKIAH AND THROUGHOUT MENDOCINO
AND THEN YOU. MOVE IT
DEPARTMENTS SUCH AS OURS TO
WILLISTON IT'S UP THIRTY MINUTE
DRIVE EACH WAY FROM UKIAH. WHERE
MOST OF THE HOUSING IS GOING TO
BE AVAILABLE FOR FOLKS- SO WE'LL
DO OUR BEST WILL CONTINUE
RECRUITING AND INTERVIEWING AND
HOPEFULLY HIRING- BUT IT IS
GOING TO TAKE TIME IT'S NOT
SOMETHING THAT'S GOING TO HAPPEN
OVERNIGHT. WE DID JUST ENTER
INTO A CONTRACT FOR CONTRACT
PLANNING SERVICES- THE CONTRACT
WILL BE FUNDED BY THE LOCAL
JURISDICTIONS SINCE GROUND
PROGRAM. WERE VERY APPRECIATIVE
OF- BUT AGAIN IT'S YOU KNOW
WORKING WITH CONTRACTORS ARE NOT
IN THE OFFICE WILL HAVE TO TRAIN
THEM. TO OUR- ORDINANCE AND
THOSE SPECIFICS SO IT IS NOT AN
IMMEDIATE SOLUTION BUT IS A
SOLUTION IN SOME REGARDS. THANK
YOU I'M GOING TO ASK ABOUT THE
CONTRACTING SO THANK YOU FOR THE
RESPONSE. MISTER CLEAN L. A. I
GATHER YOU STILL REQUIRE OR
INTEND TO CONTINUE TO REQUIRES A
SPECIFIC SEQUEL ON THE LOCAL
LEVEL. EVEN FOR RETAIL. YES SIR
WE DO AND WHAT AND WHY IS THAT.
SO AT THE LOCAL LEVEL-
COMMERCIAL CANNABIS ACTIVITIES
NOT ENUMERATED USE WITH OUR
ZONING CODE. SO WE'VE IDENTIFIED
ZONES WHERE THESE BUSINESSES CAN
OPERATE AND THEN THE MAJORITY OF
THE CITY OF LA IS ALREADY BUILT
OUT SO MOST OF THESE BUSINESSES
WILL QUALIFY FOR EITHER AN
EXISTING FILL FACILITIES
EXEMPTION OR AN INFILL PROJECTS
EXEMPTION. UNDER THE-
CATEGORICAL EXEMPTIONS. SO OUR
EXPECTATION IS WE'VE ON BOARDED
A NUMBER OF CONTRACTORS WHO
SPECIALIZE IN LOCAL- SEQUEL
COMPLIANCE. THROUGH OUR CITY
PLANNING DEPARTMENT SO THAT WE
CAN FACILITATE THAT REVIEW AND
THEN WE WILL BE WORKING WITH OUR
LOCAL COUNTY TO MAKE SURE THAT
WE FILE. THE NOTICES OF
EXEMPTION TO REDUCE THE APPEAL
PERIOD FOR ANY OF THE A
CATEGORICAL EXEMPTIONS WE
ACTUALLY FILE SO THAT FOLKS WILL
GET THEIR FINAL SECRET DOCUMENT
TO COMPLY WITH THE STATE
REQUIREMENT SO THAT THEY CAN
PROCEED FOR THROUGH THE STATE'S
ANNUAL LICENSING PROCESS I
GATHER THAT. SEEK WITHIN WILL
NOT BE A PROBLEM IN A WAY. I
THINK. FROM A COST PER FOR A
LOCAL EQUITY APPLICANTS- IT WILL
BE IN THE FUTURE BUT THANKFULLY
WITHHOLD JAG GRANT WE WILL BE
WAVING THOSE FEES- SO AT LEAST
IN THE SHORT TERM TO MOVE
FARTHER SEVEN HUNDRED PLUS
BUSINESSES IN OUR FIVE HUNDRED
EXISTING APPLICANTS- IT SHOULD
BE A BEAR. AND WITH REGARD TO
THE SITE SPECIFIC SEQUENCE
PROCESS IN LA. HOW LONG DOES
THAT DO YOU ANTICIPATE THAT WILL
TAKE WITH EXEMPTIONS- I'M
ASSUMING THAT IT WILL TAKE
SOMEWHERE BETWEEN ONE TO SIX
MONTHS- WE DO HAVE CONTRACTORS
LINED UP SO AS WE GET ADDITIONAL
DOCUMENTATION AND FROM LICENSE
FEES WE WILL BE ABLE TO
OUTSOURCE FACT. SO THAT WE CAN
DO THE ANALYSIS IN PARALLEL WITH
WORKING ON THE ANNUAL
APPLICATION PROCESS SO THAT THE
DECISION MAKER AND DOPT. THE
SEQUEL FINDING AS WELL AS THE-
LICENSING RECOMMENDATION AT THE
SAME TIME AND OTHER THAN SECRET
CAN YOU BE MORE SPECIFIC AS TO.
ANY OTHER LOCAL PROCESS SEES
THAT LA WILL EITHER ELIMINATE OR
DEFER TO THE STATE IN ORDER TO
SIMPLIFY THIS. OVERALL PROCESS
YEAH SO WHAT ARE NEW DIRECTOR
HAS DONE AS SHE'S COME ON BOARD
TO PRODUCE BARRIERS AND TO MAKE
IT EASIER FOR FOLKS TO NAVIGATE
THROUGH THE PROCESS SO WE'VE
CREATED A- PRE APPLICATION
REVIEW PROCESS. SO THAT FOLKS
CAN GO THROUGH THE LAND USE
REVIEW IDENTIFIES FOR THE
COMPLIANCE OWN- THAT'S OF LESS
THAN SIX HUNDRED DOLLARS. FOR
THEY KNOW BEFORE THEY EXECUTE A
LEASE FOR MAKE MATERIAL BUSINESS
DECISIONS WHETHER OR NOT THEY
CAN AFFORD A SPECIFIC LOCATION.
AS PART OF THAT PROCESS OF
COURSE WE'VE IDENTIFIED THE
LOCATION SO WE CAN START THAT
SITE SPECIFIC SEQUEL REVIEW. SO
THAT ONCE WE COMPLETE IT WHEN
THEY SUBMIT THEIR ANNUAL
APPLICATION WE CAN FILE THE
NOTICE OF COMPLETION. AND BEGIN
TO- PROVIDE THE PUBLIC WITH THE
OPPORTUNITY TO REVIEW THIS
PRIVACY WOULD DOCUMENTS FOR THAT
CUTS DOWN THE TIME. FOR THE
LEGAL BUSINESS ENTITY RECORD
THAT'S SOMETHING WE CREATED TO
ALLOW FOR THE BUSINESSES TO FORM
THEIR LEGAL ENTITY AND GO
THROUGH THE EQUITY SHARE REVIEW.
WHICH IS PART OF OUR LOCAL
EQUITY PROGRAM- THEY CAN DO THAT
WITHOUT ACTUALLY HAVING TO HAVE
SAY CONTROL SO THAT BUSINESSES
CAN KIND OF MOVE FORWARD AT
THEIR OWN PACE. THE GOAL THERE
IS OF COURSE TO REDUCE HOLDING
COSTS THAT FOLKS ARE. RENTING A
LOCATION PRIOR TO ACTUALLY BEING
ABLE TO NAVIGATE THROUGH THE
FULL APPLICATION PROCESS. SO
INSTEAD OF WAITING ONE TWO THREE
YEARS TO GET A LICENSE AND GOING
THROUGH ALL OF THESE PROCESSES.
WE'VE BROKEN IT DOWN INTO BITE
SIZE CHUNKS. THAT WE CAN DO THE
BULK OF THE WORK UP FRONT BEFORE
THEY'VE IDENTIFIED A LOCATION.
AND THEN OF COURSE HAS THE- PART
OF THE PRE APPROVE YOU THEY HAVE
A TWO YEAR TO SUBMIT THEIR
APPLICATION. AND THEY DON'T HAVE
TO HAVE SITE CONTROL IN ORDER TO
GO THROUGH PRE OP. AND THEN OF
COURSE THE ANNUAL APPLICATION IS
GOING TO BE STREAMLINED PROCESS
WHERE. THE DIRECTOR WILL HAVE
THE DISCRETION. TO ISSUE ANNUAL
LICENSES FOR EVERYTHING OTHER
THAN. LICENSES WITH ON SITE
RETAIL SALES- FOR THOSE
ACTIVITIES WE WILL HAVE
ADDITIONAL PUBLIC HEARINGS. AND
IT WILL GO THROUGH OUR
COMMISSION. THANK YOU OF. THAT
RESPONSE I THINK ILL. HELLO MY
COLLEAGUES FROM LOS ANGELES TO
CONTINUE TO INQUIRE AS TO THE-
THE OTHER ISSUES INCLUDING THE
JURISDICTIONAL GRANT TO. WORDS
ME TURN TO THE STATE FOR A
MOMENT AND- AND S. THIS ARE
THERE AREAS OF OUR LICENSING
PROCESS WHERE THE STATE MIGHT
BENEFIT FROM LICENSE REFORM.
I'VE HEARD STORIES ABOUT
MULTIPLE BACKGROUND CHECKS BEING
REQUIRED OF. OF THE SAME PERSON
MULTIPLE LICENSE APPLICATIONS
BEING REQUIRED OF THE SAME
PERSON. I DON'T KNOW WHETHER
THAT STATE OR LOCAL BUT PERHAPS
YOU COULD ADDRESS. HOW REFORM
MIGHT- IMPROVE OUR PROCESS AT
THE STATE LEVEL. THANK YOU FOR
THAT OPPORTUNITY CHAIR I'M
ABSOLUTELY I THINK WE HEARD- AND
FROM. THE EARLIER PANEL AND FROM
MY COLLEAGUES HERE TODAY. WE
AGREE WITH THAT THERE'S
DEFINITELY AN OPPORTUNITY TO
SEEK REFORMS AND WOULD BE HAPPY
TO WORK WITH THIS COMMITTEE- AND
OTHER STAKEHOLDERS TO LOOK AT
WHAT THOSE ARE. COULD BE YOU
DEFINITELY MENTIONED ONE- THAT
WE OFTEN HEAR ABOUT WHICH IS
LIKE THE FINGERPRINTING SO IF
YOU ARE AN OWNER. OF A BUSINESS
AND YOU HAVE MULTIPLE BUSINESSES
OR MULTIPLE LICENSES. YOU WOULD
HAVE TO FINGERPRINT FOR EACH ONE
OF THOSE LICENSES THAT YOU APPLY
FOR- SO THAT'S DEFINITELY AN
AREA THAT WE CAN- STREAMLINE-
BUT THERE'S OTHER OPPORTUNITIES
I JUST DON'T WANT TO STEP OVER.
ONE THE WE'VE ALL TALKED ABOUT
TODAY- WHICH IS SEEK ONE- IT IS
A BURDEN WE HEARD DIRECTLY FROM-
LICENSEES ABOUT. IT IS THAT AN
AREA THAT OUR LOCAL
JURISDICTIONS HAVE SPOKEN ABOUT
AND IT'S DEFINITELY AN AREA THAT
WE SEE. AN OPPORTUNITY FOR
REFORM. I MEAN ONE THE ISSUE
THAT SOMEONE MENTIONED TO ME IS
WHEN YOU INCREASE OR DECREASE OF
CULTIVATION THAT REQUIRES A NEW.
LICENSE APPLICATION IS THAT
ACCURATE. THAT IS ACCURATE AND
THAT IS ALSO AN AREA AN
OPPORTUNITY FOR STREAMLINING- IF
YOU LOOK AT THE STATUTE
CURRENTLY THERE'S THIRTEEN
LICENSE- CATEGORIES FOR
CULTIVATION- SO THAT. WHILE THAT
SPECIFIC EXAMPLE THAT YOU
PROVIDE IS AN OPPORTUNITY THAT
WE CAN LOOK AT BOTH FOR
REGULATORY REFORM AS WELL AS FOR
STATUTORY REFORMS. WELL THANK
YOU FOR THOSE RESPONSES
OBVIOUSLY THIS PROCESS NEEDS TO
BE EFFICIENT AND EFFECTIVE. AND
IT'S NEITHER OF FOLKS AND HAVING
DIFFICULTY. INGLESA MOVING FROM
THE PROVISIONAL TO THE ANNUAL
FOR WHATEVER REASONS SO WE'RE
GONNA NEED A CLEAN UP AND- MAKE
IT HAPPEN LICKETY SPLIT AS WE
USED TO SAY LET ME TURN MY
COLLEAGUES I'M GONNA TAKE A LIST
CENTER CHULA. SINNERS SMALLWOOD
CUEVAS. SENATOR BRADFORD. ANYONE
ELSE OKAY FINANCIAL- IRAN THANK
YOU THANK YOU BALLOTS FOR COMING
. LOS ANGELES YOU ARE THE- THE
LARGEST CONSUMER AND- L. A.
COUNTY WITH TEN MILLION PEOPLE-
WE LOOK TO YOU FOR ANSWERS IN
MANY TIMES WITH. I'M THINKING
THAT YOU'RE LOOKING TO US FOR
SOME. HERE WE GOT PROPOSITIONS
SIXTY FOUR DID ALL THESE ISSUES
AND REGULATIONS AND SOME THINGS
THAT SOME VERY PUNITIVE
ESPECIALLY TO THE- GUN MY AND
POP OF STORY ONE COULD STARTED
AND WE WILL WE KEEP HEARING
THESE HORROR STORIES. IS IT
BECAUSE OF PROP SIXTY FOUR YOUR
TRANSPORTATION AT ALL THE
DIFFERENT REGULATIONS AND
DUPLICATIONS EXISTED. AND THAT
WHY IT TAKES THREE TO FIVE YEARS
TO GET A LICENSE AND YOU
MENTIONED MAYBE ONE WHERE YOU'RE
GOING TO OPEN UP THE FLOODGATES
SOUNDS LIKE. I IS THAT GOING TO
BE OPENING THOSE GATES BUT IT'S
GOING TO BE ANOTHER THREE TO
FIVE YEARS BEFORE WE SEE
PROGRESS. SO NOT TO FIGURE POINT
BUT- HOW CAN WE PARTNER I THINK
WHAT WHAT WHAT WHAT IS HAPPENED
HERE I THANK MY COLLEAGUE
MENTIONED IT EARLIER. BUT IT'S
AMAZING ARE YOU MISINTERPRETING
WHAT THE VOTERS OF SAID AND PROP
SIXTY FOUR. BASED ON LOCAL AND
COUNTY REGULATIONS THAT YOU FEEL
THAT YOU'VE GOT TO BE A SOAP
UNITIVE. IN SOME ASPECTS I
THINK. I MEAN THIS OF A WENDY W.
SUMMARILY ACT ADOPTED WE HAD A
LOCAL BALLOT INITIATIVE WHICH
WAS ADOPTED BY OVER 80% OF OUR
VOTERS AND UNFORTUNATELY THAT
LOCAL INITIATIVE. DUPLICATED A
LOT OF WHAT WAS IN THE ADULT USE
OF MARIJUANA ACTS OR LOCAL
JURISDICTION WAS ON THE HOOK FOR
REPLICATING WHAT THE STATE WAS
GONNA DO. AND THEN IT BECAME OF
WHO'S YOU KNOW CHICKEN AND EGG
WHO'S GONNA MOVE FIRST. AND THEN
HOW DO YOU THE TRADE OFFS SO
SLOWLY OVER THE LAST FIVE YEARS
AS OUR LOCAL POLICY MAKERS HAVE
BECOME MORE COMFORTABLE WITH
THESE BUSINESSES OPERATING- ON
WE'VE BEEN ABLE TO PULL BACK THE
ONION. AND A LIMITED A LOT OF
THAT DUPLICITY YOU KNOW WE'VE
ALWAYS SEEN. THE DEPARTMENT OF
CANNABIS CONTROL HAS THE STATE
WIDE LEAD AGENCY BECAUSE THE
OVERSEE EVERY JURISDICTION
WITHIN THE STATE. AND WHAT WE
TRY TO DO IS FOCUS ON TIME PLACE
AND MANNER AND THEN TO REDUCE
THE BARRIERS BY BREAKING UP OUR
PROCESS SO THAT FOLKS CAN
NAVIGATE THROUGH AT THEIR OWN
PACE- WITH THE HOPES OF
ULTIMATELY GETTING TO LICENSURE
BIKE SPENDING THE LEAST AMOUNT
OF MONEY POSSIBLE- I DO
ANTICIPATE THAT WITH OUR
PERFORMED ANNUAL LICENSURE
PROCESS FOLKS SHOULD BE ABLE TO
NAVIGATE IT. WITHIN THREE TO
TWELVE MONTHS DEPENDING HOW
READY ARE. TO NAVIGATE THROUGH
THE PROCESS. IN MY AD JUST ONE
OF THE MRS. WHEN YOU TALK ABOUT
GRANTS GONE THE VARIOUS
COUNTIES- IT WORKED. MILLIONS OF
DOLLARS OBVIOUSLY MY COLLEAGUE
ALREADY MENTIONED. THE A- COUNTY
LOS ANGELES. OR THE CITY
RECEIVED TWENTY TWO MILLION. IN
AND THERE'S ONE MEDICINE TO
MILLIONS AND NINE MINUTES ALL
THE WAY DOWN THE LINE. ARE YOU
NOT YET YOU THOSE RESOURCES THAT
ARE THERE. HAVE THEY NOT BEEN
GIVEN TO YOU. TO HIRE MORE
PEOPLE. AND CAN YOU ELABORATE ON
THAT BECAUSE IT SOUNDS TO ME
THAT. IS WHAT WAS ME BUT I THINK
THE STATE. PUT OUT A HUNDRED
BILLION DOLLARS IN THE SEVENTEEN
DIFFERENT. LOCAL GOVERNMENTS IN
THE IT'S JUST NOT MOVING. THE
HOUSE A BEANS FOR. SO YOU KNOW
HOW'S THE PANEL. THE FIRST PANEL
MENTIONED. YOU KNOW WE HADN'T
BEGUN TO DRAW DOWN THE WHOLE
TECH FUNDS SO WE DO HAVE
RECEIVED OVER SEVENTEEN MILLION
WHICH WAS 80% OF OUR AWARD.
THOSE MONIES WERE GOING TO BE
DIRECT SERVICES FOR THE
ENVIRONMENTAL REVIEW AS WELL AS
THE ANNUAL APPLICATION PROCESS-
IT SEQUEL IS VERY LITIGIOUS
WITHIN THE CITY OF LOS ANGELES-
WE HAVE A NUMBER OF JUDGES WHO
HAVE FOUND THAT. ANALYSIS THAT
IS MORE THAN TWO YEARS OLD-
NEEDS TO BE REDONE. SO AND
ABUNDANCE OF CAUTION WE DIDN'T
RUSH PEOPLE INTO THE
ENVIRONMENTAL REVIEW PROCESS TO
PUT OUT FINAL DOCS. KNOWING FULL
WELL THAT THE LOCAL
JURISDICTIONS WELLS WERE
REFINING WITH ANNUAL LICENSING
PROCESS IS GONNA LOOK LIKE. AND
WE DID HAVE TWENTY TWENTY FOUR
AND TWENTY TWENTY FIVE TO
NAVIGATE THROUGH THAT PROCESS.
SO TO BEST UTILIZE THOSE MONIES
WE'VE MADE SURE THAT THE LOCAL
PROCESS WAS DEFINED AS MUCH AS
IT CAN BEFORE WE FORCE PEOPLE
INTO THE ENVIRONMENTAL REVIEW
POSSIBLE SAID ANNUAL
APPLICATION. BUT NINETEEN POINT
SIX MILLION OF THE TWENTY TWO
MILLION DOLLARS IS GOING TOWARDS
FEE WAIVERS FOR OUR EXISTING
PIPELINE. AND THEN THE OTHER TWO
MILLION DOLLARS IS TO REFRESH
THE LAND USE- ENVIRONMENTAL
DOCUMENT THAT WAS PREPARED IN
TWO THOUSAND SIXTEEN BUT WAS SET
ASIDE. IN FAVOR OF THE STATUTORY
EXEMPTION. THANK YOU THINK YOU
ABOUT TO MAKE A COMMENT. YES
THANK YOU. I'M THE COUNTY AND
THE SENIOR. WE DIDN'T TRY FUN IN
THE FIRST HALF OF- THE TWENTY
TWENTY TWO OR IN THE SECOND HALF
OF THE TWENTY TWENTY ONE TWENTY
TWENTY TWO FISCAL YEAR. I'M
SIMPLY BECAUSE AS THE FUNDS CAME
INTO OUR ACCOUNT. WE ALSO HAD-
GENERAL FUNDS AND WE HAD SOME
REVENUE COMING IN SO THERE WAS
NO NEED TO DRAW DOWN FOR THE
PURPOSES OF STOPPING. AND WE
WERE NOT READY TO EXECUTE
CONTRACTS SO ARE- GRANT
APPLICATION COVERS A NUMBER OF
THINGS- HELP OR SUPPORT WITH A
PORTION OF THE STAFFING. IS
BEING UTILIZED TO REVIEW
APPLICATIONS- IT SUPPORTS THE
ABILITY FOR THE DEPARTMENT TO
ACQUIRE. I'M CONTRA PLANNING
SERVICES TO FULLER FULLY BOLSTER
OUR STAFFING WE CAN GET A
MATERIALS IN A TIMELY MANNER. IT
COVERS INDIRECT COSTS ASSOCIATED
WITH ADMINISTERING THE GRANT
ITSELF. AND THEN IT THE BIG BULK
OF OUR GRANT PROGRAM IS REALLY
SLATED TOWARDS A DIRECT GRANT TO
ASSIST OUR APPLICANTS WITH
MEETING THEIR SEQUEL
REQUIREMENTS. AND THEN THE
REMAINDER OF THOUGHT. PORTION OF
KIND OF INTER OTHER ITEMS THAT
ARE IN THE GROUND BUDGET. REALLY
IS TO MODERNIZE OUR INTERNAL
PROCESS SEES- WE UTILIZE A VERY-
IN OLDER PERMANENT TRACKING
SYSTEM THAT DOES NOT CONSIDER
MINISTERIAL PERMITS THAT REQUIRE
ANNUAL RENEWAL. SO OUR PROCESS
FOR TRACKING OUR PERFORMANCE IS
LARGELY IN SPREADSHEETS IT'S
INCREDIBLY CHALLENGING TO TRACK
IT'S VERY TIME CONSUMING. SO
WE'RE LOOKING TO UPGRADE THOSE
SYSTEMS I'M INSTEAD OF BUILDING
THEM OUT OURSELVES SO WE WOULD
UPDATE THE BACK OF THE HOUSE SO
TO SPEAK WITH IT- ASALA
PROCESSING SYSTEM IS THE HOPE.
AND THEN THE ALSO WOULD
STREAMLINE- APPLICATION RENEWALS
AND- FILE MANAGEMENT FOR OUR
APPLICANTS IN OUR STAFF BY
HAVING- ONLINE PORTAL THAT OUR
APPLICANTS CAN UTILIZE FOR
SUBMITTING THEIR MATERIALS AND
ALSO. I'M MODIFYING THEIR
APPLICATIONS THEY NEED TO
PERHAPS OR I'M PAYING FOR A
RENEWAL AND SACHA. SO WE'RE
LOOKING AT KIND OF A- A TOTAL
OVERHAUL TO GUIDE OURSELVES
MODERNIZE CAN UP TO SPEED. WITH
THE TOOLS WE NEED TO MOVE
FORWARD. THANK YOU MISTER. I'M
SORRY FOR YOU HAVE TO MAKE. NO
OKAY THANK YOU MISTER LET ME
JUST CENTER BEFORE YOU JUDGE IN
LET ME AS GOING TO CLEAR
QUESTION. SEEMING THE CITY OF
LOS. WANTS TO RETAINER RETAINS
AUTHORITY TO DO LOW. SYKORA
ANALYSES. IF WE PROVIDED THE
AUTHORITY ASSUMING WE NEED TO
PROVIDE THE THIRTY. ARE YOU ABLE
TO GROUP LARGE SECTIONS OF THE
SENATE TOGETHER AND DO ONE.
SYKORA ANALYSIS. HI YES SIR WE
ARE ARE YOU ABLE TO DO THAT
TODAY- WHEN. KEY YEAH I MEAN
EFFECTIVELY AS PART OF OUR WE
HAVE THIRTY FIVE COMMUNITY PLAN
AREAS- AND THEN LICENSES ARE
DIVIDED AMONG SCHOOLS COMMUNITY
PLANNERS SO AS WE- ROUTE THE
ENVIRONMENTAL DOCUMENTS FOR
CONSULTANTS THE ROUTER BY
GEOGRAPHIC AREA. SO THAT WE
COULD UTILIZE THE SAME ANALYSIS
AND FINDINGS TO COVER MULTIPLE
LICENSEES BUT TO ENSURE
QUESTIONS PART OF A LARGER CITY
WIDE STUDY WE DO PLAN TO REFRESH
IT. SO THAT WE HAVE ONE CITY
WIDE PLAN REGARDLESS OF COMMUTER
PLANNER THAT CAN BE TOUCHED UPON
BY OUR LICENSEES TO EXPEDITE THE
PROCESS WE UTILIZE THIS IN THE
HOUSING DEVELOPMENT. AREA IN THE
PAST BY STATUTE. WOULD NOT SAVE
TIME ABSOLUTELY. THANK YOU THANK
YOU FOR YOUR PATIENCE AS OUR
SMALL THANK YOU MISTER CHAIR.
GREAT QUESTION- IS THAT A LOT OF
MY QUESTIONS WERE ANSWERED IN
YOUR RESPONSES TO OTHERS- I'M
CURIOUS ABOUT THE FIVE HUNDRED
APPLICANTS THAT YOU MENTIONED-
AND IT I UNDERSTAND THAT THERE
WAS A REASON OF SORT OF HOLDING
OFF ON SPENDING FUNDS UNTIL. YOU
HAD SOME OF THE DUPLICATION AND
POLICY OVERLAP- OVERLAPPING
ADDRESS I'M JUST CURIOUS. WHAT
IS IT THANKS IT SOUNDS LIKE THIS
BEEN STACKED IN THERE MUST BE A
PRIORITY LIST HOW ARE YOU
PLANNING TO MOVE THROUGH THAT
LIST THE FIVE HUNDRED APPLICANTS
WHAT'S THE TIMELINE THAT THE TO
THE NINETEEN- NINETEEN MILLION
DOLLARS. WILL BE ALLOCATED TO
SUPPORT. THE SEEK WERE UP COSTS-
JUST RECOGNIZING. THAT WE'VE HAD
THESE FUNDS WE HAVEN'T WE WE'VE
SEEN ONE PROVISIONAL LICENSE
MOVED TO PERMANENT WHAT'S OUR
EXPECTATION OF MOVING THAT FIVE
HUNDRED THROUGH THROUGH A
PROCESS- HOW ARE YOU
PRIORITIZING THAT IN. DO YOU
HAVE THE STAFF NOW YOU HAVE THE
RESOURCES TO SUPPORT THE
APPLICANTS HOW QUICKLY WILL
THESE MOVE MY OTHER QUESTION TO
THAT IS WHAT PERCENT OF THOSE
FIVE HUNDRED ARE SOCIAL EQUITY.
A AND WHAT THIS ADDITIONAL
SUPPORTS WILL BE PROVIDED THERE
IN TERMS OF TECHNICAL
ASSISTANCE- I KNOW THAT. THE
SOCIAL EQUITY APPLICANTS HAVE
BEEN LESS THAN EIGHT PERCENT- IN
IN OUR REGION AND- THERE ARE A
NUMBER OF CHALLENGES BEYOND JUST
THE SPEAK WITH FEES THAT FOLKS
ARE FACING SO I'M CURIOUS ABOUT.
HOW ONE THE PRIORITY HOW QUICKLY
WE'RE GOING TO MOVE AND THEN
WHAT SORT OF REALLY INTENTIONAL
EFFORTS WILL BE USED TO INCREASE
THE NUMBER. OF SOCIAL EQUITY
APPLICANTS IS CERTAINLY MOVING
THEM THROUGH THE PROCESS-
WONDERFUL QUESTIONS I'LL TRY TO
UNPACK ALL OF IT- IT IN TERMS OF
THE PRIORITY. WE HAD A
CONVERSATION WITH THE DEPARTMENT
OF CANNABIS CONTROL- WITHIN THE
LAST TWO WEEKS. AND BEGINNING ON
MAY FIRST WE WILL WORK WITH THEM
SO THAT WE KNOW WHO'S COMING UP
FOR RENEWAL FOR THEIR
PROVISIONAL LICENSES TO ENSURE
THAT THE ANALYSIS IS DONE TO
MAKE SURE THAT NOTICES OF
COMPLETION ARE ISSUED TO THOSE
LICENSEES. PRIOR TO THE DATE
THAT THEY HAVE TO SUBMIT THE
DOCUMENT TO THE STATE-
SEPARATELY FROM THAT IT COMES ON
A FIRST COME FIRST SERVE BASIS.
SO WITH THE GRANT MONIES WERE
ABLE TO PROVIDE EXPEDITED
SERVICES AS WELL AS TAKE CARE OF
THE CORE PIPELINE- IN TERMS OF.
HOW LONG IT'S GONNA TAKE- I
ANTICIPATE THAT IT WILL TAKE ONE
TO THREE MONTHS- TO GET PEOPLE
TO A COMPLETE ANNUAL APPLICATION
AS LONG AS THEY GET ALL OF THE
DOCUMENTATION SUBMITTED. AND
THEN IN TERMS OF SOCIAL EQUITY
FOLKS WE HAVE OVER SEVEN HUNDRED
AND SEVENTY LICENSE BUSINESS
LOCATIONS. 40% OF THOSE
LOCATIONS- ACTUALLY SOCIAL
EQUITY BUSINESSES. ALL WE HAVE
ANOTHER FIVE HUNDRED BUSINESSES
IN OUR PIPELINE MOVING TOWARDS-
LICENSURE OF COURSE THE SOCIAL
EQUITY FOLKS HAVE UNTIL MARCH
THIRTY FIRST TO SUBMIT THEIR
PROVISIONAL STATE LICENSE. WE
ARE EXPEDITING THE REVIEW INTO
IN FUTURE FOR ALL FOR ALL OF OUR
SOCIAL EQUITY APPLICANTS AND 60%
OF THAT FIVE HUNDRED OUR SOCIAL
EQUITY BUSINESSES- DR AMANI
BROWN WHO'LL BE ON THE NEXT
PANEL CAN TALK TO A LOT MORE
ABOUT THE DIFFERENT PROGRAMMING
THAT WE'RE PROVIDING- BUT YOU
CAN NOT SHALL. IT'S A
COMBINATION OF FEET OF ROLES FEE
WAIVERS FOR FINANCIAL ASSISTANCE
THE GRANT PROGRAMS- WE HAVE A
PARTNERSHIP WITH THE LOS ANGELES
COUNTY BAR ASSOCIATION. TO
PROVIDE LOW VOTE ON PRO BONO
LEGAL SERVICES FOR SOCIAL EQUITY
APPLICANTS. AND THEN OF COURSE
WE'RE LOOKING FOR WAYS TO BREAK
UP THE PROCESS OF THAT- THEY CAN
GET THROUGH THE PROCESS AND BITE
SIZE CHUNKS WITHOUT HAVING
DOUBTS LIKE CONTROL THE LOCATION
OR MAKING MATERIAL BUSINESSES.
ROCK THANK YOU CENTER CENTER
BRADFORD. THANK YOU SECURE MY
QUESTION WAS ALONG LINES. CENTER
SMALLWOOD AS RELATES TO THE
NUMBER OF- SOCIAL. EQUITY
APPLICANTS THAT WERE IN THE
QUEUE AND I THINK YOU ANSWERED
THE QUESTION BUT I WOULD LIKE TO
KNOW. IF THE STATE CAN- SHE-
TELLS HOW MANY OF THOSE ON
PROVISIONAL LICENSE. AND CAN
YOU. TELL ME HOW YOU
DIFFERENTIATE BETWEEN A-
PROVISIONAL LICENCE HOLDER. AN
ANNUAL LICENSE HOLDER IS THERE
ANY LIMITATIONS TO WHAT THEY CAN
AND CANNOT DO. AND IF IN FACT.
THAT LICENSE EXPIRES THAT
PROVISIONAL OR- ANNUAL I ASSUME
THAT ALL OPERATORS NOW AUDIT
COMPLIANCE. IS THEIR APPEAL
PROCESS THROUGH DEC THREE. TO
ALLOW APPLE APPLE CAN TO. GET
BACK IN COMPLIANCE OR THE JUST
OUT. OF BUSINESS. ABOUT THAT.
THANK YOU SENATOR BRADFORD SO
I'LL TRY TO ANSWER THOSE IN A
SEQUENCE THAT YOU ASKED THEM SO
THERE IS A DISTINCTION BETWEEN
WHAT THE REQUIREMENT IS FOR
PROVISIONAL LICENSE VERSUS AN
ANNUAL LICENSE AND I WANNA I
REITERATE SOMETHING THAT- JASON
JUST SAID SO. THERE'S A NUMBER
OF DEADLINES THAT ARE SET IN
STATUTE- I'M UP FOR LICENSEES TO
ME. PRIOR TO THE SUNSET DATE
THAT IS SET IN STATUTE NOW FOR
PROVISIONAL LICENSES AND THE
FIRST KEY ONE THAT WE'RE GOING
TO FACE IS THE END OF THIS
MONTH. FOR RECEIPT OF SOCIAL
EQUITY APPLICANTS WHO WANT TO BE
CONSIDERED FOR PROVISIONAL
LICENSE THE DEPARTMENT HAS THREE
MONTHS TO PROCESS THOSE
APPLICATIONS TO EITHER AT TO
ISSUE PROVISIONAL LICENSES NO
LATER THAN JUNE THIRTIETH OF
THIS YEAR. SO THAT'S THE KEY
DEADLINE THAT THAT WE'RE FACING
RIGHT AHEAD OF US- THE
DISTINCTION BETWEEN A
PROVISIONAL AND AN ANNUAL SO A
PROVISIONAL LICENSE- LAKE ANGELA
MENTIONED EARLIER WAS THE RAMP
ON. OUR LICENSE THROUGH THE
REQUIREMENT IS THAT AN APPLICANT
SUBMIT A FULL ANNUAL APPLICATION
A COMPLETE ONE. WHICH IS AN AREA
THAT WE STRUGGLE WITH BECAUSE WE
RARELY FIND APPLICANTS SUBMIT A
COMPLETE APPLICATION- THAT SEEK
WHAT IS UNDER WAY. THAT IS THAT
A KEY COMPONENT. AND THEN THAT
THE APPLICANT IS IN COMPLIANCE
WITH OR- IN THE PROCESS OF
BECOMING COMPLIANT. WITH LOCAL
ORDINANCES AND REGULATIONS THIS
IS ANOTHER KEY FACTOR TO
PROVISIONAL LICENSES AROUND
LOCAL CONTROL BECAUSE EVERY
JURISDICTION IS DIFFERENT AND
WHAT IT REQUIRES. TO BE IN
COMPLIANCE. WITH THAT LICENSE.
SO I. FOLKS WHO HAVE AN LICENSE
MET THOSE THREE THINGS. THEIR IN
COMPLIANCE WITH LOCAL
REQUIREMENTS THEY'VE COMPLETED
THEIR SPEAKER REVIEW SO THEY'VE
COMPLETED THEIR ENVIRONMENTAL
EVALUATION. AND THEY HAVE-
SUBMITTED EVERYTHING THAT THE
STATE NEEDS- TO PROCESS THEIR
ANNUAL LICENSE APPLICATION SO
THAT'S THE DISTINCTION BETWEEN
THE PROVISIONAL- ON AND ANNUAL
IN TERMS OF DATA I MAY HAVE THAT
IF I DON'T I WILL- GET THAT
INFORMATION- FOR YOU- BUT I'LL
JUST GIVE SOME QUICK STATS OF.
WHERE WE ARE WITH PROVISIONAL IS
AN ANNUAL IS RIGHT NOW IN OUR
ENTIRE PIPELINE WITH THE STATE
SO WE HAVE. OVER FIVE THOUSAND
ANIMALS. AND OVER SIX THOUSAND
SIX HUNDRED AND FORTY. TWO
PROVISIONALS THAT'S WHAT OUR
TOTAL PIPELINE IS. THE SUBSET OF
EQUITY APPLICANTS IF I CAN GET
BACK TO YOU- THAT WOULD BE
GREAT. OKAY WE HAVE IT- THE
NUMBER OF EQUITY LICENSEES THAT
HAVE AN ANNUAL LICENSE SIX
HUNDRED AND THIRTY SIX. AND THE
NUMBER OF EQUITY LICENSEES THAT
HAVE A PROVISIONAL LICENSE NINE
HUNDRED AND NINETY FIVE- AND THE
TOTAL NUMBER OF OUR L. JAG
RECIPIENTS IS ONE THOUSAND FOUR
HUNDRED AND SEVENTY SIX. ZERO
BILL YOUR APPEAL PROCESS IF ONE
FALLS OUT OF COMPLIANCE WITH
ISSUE THREE. FOR PROVISIONAL
LICENSES THERE IS NOT AN APPEAL
PROCESS- IF THE LICENSE IS
DENIED AT THAT JUNCTURE THE
APPLICANT CAN APPLY AGAIN TO THE
STATE. THANK CENTER
REPRESENTATIVE. THANK YOU MISTER
CHAIR. I'M NOT GONNA BE ABLE TO
STAY THROUGH THE WHOLE HEARING
BECAUSE OF OTHER- MEETINGS THAT
I HAVE. I DON'T REALLY HAVE ANY
QUESTIONS JUST AN OBSERVATION
THAT- EVERY. INFORMATIONAL
HEARING THAT WE'VE HAD BOTH HERE
AS WELL AS AND- BUDGET
COMMITTEE. OF WE AT THE STATE-
APPEAR TO TAKE A PROGRAM AREA
AND MAKE IT AS COMPLEX AND
CONFUSING. AS POSSIBLE WITH
MULTIPLE- AGENCIES- THAT DEAL
WITH A LOT OF TIME THE SAME
THING- THIS IS SEEMS TO BE VERY
SIMILAR BUT- THE STATE REALLY
DIDN'T LEGALIZE THE RECREATIONAL
USE OF MARIJUANA. THE
PROPOSITION ENABLED LOCAL
GOVERNMENTS TO DO THAT. BUT WITH
AN UMBRELLA OF RATHER
COMPLICATED REGULATIONS THAT
WOULD BE TAKEN INTO A FACT THAT
WOULD BE MADE EFFECTIVE- FOR
EACH LOCAL JURISDICTION THAT
DECIDED TO LEGALIZE MARIJUANA
NOW PARENTHETICALLY I THINK THAT
WAS DONE. BY THE ARE PROPONENTS
OF THE PROPOSITION BECAUSE THEY
WERE CONCERNED THAT IT WOULD NOT
PREVAIL- IF IT WAS A BLANKET
LEGALIZATION BECAUSE A LOT OF
COMMUNITIES AS WE KNOW THE WATER
COMMUNITIES HAVE NOT LEGALIZED
IT. WHEN THEY HAVE CONCERNS
ABOUT IT. AND I THINK THE- APPS
UNSTATED ASSUMPTION WAS THAT-
WELL FIRST OF ALL THIS IS ALL
DONE WITH AN EXISTING ILLEGAL
MARKET. THAT IS RELATIVELY
SUCCESSFUL AND I DON'T MEAN THAT
IN A COMPLIMENTARY WAY. BUT IT
IS AND IT SEEMS LIKE THERE WAS
AN UNSTATED ASSUMPTION THAT THIS
IN PARALLEL ILLEGAL MARKET WOULD
HAPPILY JOIN THE LEGAL MARKET SO
THAT THEY COULD BE LEGAL AS
OPPOSED TO. ILLEGAL BUT WITH
THIS DIZZYING ARRAY OF
COMPLICATED REGULATORY
REQUIREMENTS- AND OF COURSE THAT
HAS NOT HAPPENED SO WE HAVE A
PARALLEL EAGER ILLEGAL MARKET
THAT COMPETING WITH A
SIGNIFICANTLY HAMPERED. LEGAL
MARKET AND IT'S WINNING THE
ILLEGAL MARKET IS WINNING
PROBABLY EVEN BETTER THAN IT WAS
BEFORE PROPOSITION SIXTY FOUR
WAS PASSED. SO MY OBSERVATION IS
THIS IS ALL WROTE TOTALLY
DYSFUNCTIONAL. THAT APPS THE
ONLY WAY THAT IT COULD BE FIXED
WOULD BE TO START ALL OVER AGAIN
. MAY I MAY I RESPOND TO THAT.
WELL IT WASN'T A QUESTION BUT
I'LL LET YOU RESPOND WELL I DO
APPRECIATE THAT THANK YOU SO
MUCH BERMAN. I'M JUST JUST FOR
CLARIFICATION FAKE- THE PROGRAM
THAT I RUN A MENDOCINO FOR
CULTIVATORS AND NURSERY
OPERATORS- IS ALMOST EXCLUSIVELY
OPERATORS WHO WERE OPERATING
PRIOR TO JANUARY FIRST TO TWENTY
SIXTEEN THEY ARE LEGACY
CULTIVATORS WHO CAME OUT OF THE
SHADOWS AND INTO THE LATE TO
JOIN THE LEGAL MARKET PLACE. AND
THAT IS EXCLUSIVELY WHO WE HAVE
BEEN WORKING WITH UNTIL. I WOULD
SAY AROUND MARCH OF TWENTY
TWENTY TWO WHEN WE FINALLY
OPENED UP THE APPLICATION
PROCESS USED TO ALLOW FOR NEW
BUSINESSES TO BE ESTABLISHED.
AND SINCE THEN I THINK WE'VE
RECEIVED FIVE APPLICATIONS FOR
NEW BUSINESSES SO WHAT WE'RE
STRUGGLING WITHIN MINUTES YOU
KNOW IS. HOW DO WE KEEP THESE
FOLKS THAT REALLY TRIED TO DO
THE RIGHT THING AND COME INTO A
LEGAL. MARKET IN THE LEGAL
REGULATE MARKET. NOT IMPORTANT
NOT JUST FOR THE COUNTY'S
ECONOMY BUT ALSO FOR THE
ENVIRONMENT. RIGHT I'M AND I DO
AGREE WITH YOU THAT THE
CHALLENGES FACED BY THE LEGAL
MARKET HAVE- REALLY HELPED TO
BOLSTER IN SOME WAYS THE
UNREGULATED MARKET- BUT I JUST
WOULD FEEL REMISS IF I DIDN'T
POINT OUT THAT OUR PARTICIPANTS
ARE VERY MUCH SO PROBABLY IN THE
NINETY UPPER NINETY PERCENTILE.
ON FOLKS WHO WERE PROVIDING FOR
PATIENTS BEFORE LEGALIZATION AND
CHOSE TO COME FORWARD TO BE
REGULATED I APPRECIATE THAT
CLARIFICATION AND GOOD FOR
MENDOCINO. THANK YOU THANK YOU
CENTER KNEELING CLEARLY. FOR
THOSE AREAS OF THE STATE THAT-
THE CHOOSE TO PERMIT THE-
CANNABIS. OUR JOB IS TO MAKE
SURE THAT GOVERNMENT WORKS FOR
PEOPLE. AND WORK SUFFICIENTLY
AND EFFECTIVELY SO THAT'S SHOULD
BE OUR FOCUS HERE AND FOR THOSE
READ FOR THOSE LOCATIONS THAT
DECIDED NOT TO PURSUE. THAT'S
FINE TOO I SUPPOSE. BUT AGAIN WE
NEED TO MAKE SURE THAT THE
PROCESS IS EFFICIENT AND
EFFECTIVE AND THAT'S REALLY WHAT
WE'RE TRYING TO VÀ TO EXPLORE
HERE WHAT CHANGES NEED TO BE
MADE TO THE SYSTEM TO ALLOW
THOSE JURISDICTIONS TO MOVE
FORWARD AND- AND THE APPLICANTS
IN THE BUSINESSES IN THOSE
JURISDICTIONS TO. MOVE FORWARD
WITH SOME CERTAINTY. THAT IF
THEY HIT THE TARGETS THEY WILL
GET TO THE FINISH LINE HOWEVER
THEY DEFINE IT SENATOR BRADFORD.
ARE YOU SHOULD QUIT FOLLOW
FOLLOW UP QUESTION AS IT RELATES
TO SOME THE PREDATOR YOU
AGREEMENT THAT PREDATORY
AGREEMENTS THAT WE'VE HEARD
ABOUT ARE THERE ANY SAFEGUARDS
EITHER ON THE LOCAL LEVEL OR ON
THE STATE LEVEL TO. ADDRESS THAT
. SO FOR THE CITY OF LA AS PART
OF OUR MUNICIPAL CODE WE HAVE
DIFFERENT PROVISIONS THAT ALLOW
FOR. OUR EQUITY OWNERS TO MAKE
SURE THAT THEY HAVE THE
APPROPRIATE VOTING RIGHTS BASED
ON THEIR EQUITY INTEREST IN FOR
ONCE PROFITS GET DISTRIBUTED
THEY GET A- PRO RATA BASED UPON
THEIR EQUITY WITHIN THE
BUSINESS- GIVEN THE CHALLENGES
TO RAISE EQUITY- THERE ARE LOANS
THAT ARE BEING TAKEN UP BY
FOLKS. EITHER HAS A PERSONAL
LOAN OR BY THE ENTITY WHO'S
PURSUING THE LICENSE AND THOSE
LOANS GET PAID BACK AS AN
OPERATING EXPENSE WHICH OF
COURSE REDUCE. ALL THE PROFITS
THAT COULD BE DISTRIBUTED TO THE
OWNERS. SO WHEN WE FIND LANGUAGE
THAT COULD RUN AFOUL OF OUR
LOCAL ORDINANCE- WE PROVIDE OUR
CONCERNS TO THE APPLICANT AND
THEY CAN'T AFFORD OF OUR PROCESS
AND IT'S BEEN. CARE IN BALLS AS
WELL BECAUSE WE SEEN SOME REAL
ESCALATIONS IN RENTS WHEN THEY
KNOW WHAT TO CANNABIS OPERATOR
UNFORTUNATELY AT THE LOCAL LEVEL
THERE ARE NO RATE CONTROLS FOR
COMMERCIAL BUSINESS. THANK YOU
SENATOR BRADFORD SENATORS
SMALLWOOD CUEVAS GETS THE LAST
WORD. THANK YOU SO MUCH MISTER
CHAIR AND I ALSO HAVE TO RUN TO
A- FINE NEXT- MEETING- BUT I
WANTED TO JUST HAVE A CLARIFYING
QUESTION ONE DO INNER AGENCIES
THAT ENFORCE AND PROCESS THIS
PROCESS DO YOU ALL. HAVE A
STRUCTURE FOR ACTUALLY
COMMUNICATING WITH ONE ANOTHER
ABOUT- THE OVERLAPPING AND THE
REAL TIME CHALLENGES AND CHANGES
AND LOCAL POLICY IN STATE
POLICY. TO CREATE A SEAMLESS-
PROCESS FOR- ARE BUSINESS OWNERS
AND PARTICULARLY THE SOCIAL
EQUITY- PORTION OF THAT THAT'S
ONE QUESTION AND THEN MY SECOND
QUESTION IS AND WE I THINK YOU
SPOKE TO THIS A BIT IN TERMS OF
THE SOCIAL EQUITY PIECE- BUT
GIVEN JUST A LOW. PERCENTAGE AND
ESPECIALLY WHEN YOU LOOK AT THE
STATE NUMBERS AS WELL. WHAT ARE
WE DOING TO REALLY BUILD- AN
OWNERSHIP STAKE IN THAT HARDEST
HIT. COMMUNITY MOST IMPACTED-
WHAT IS IT THAT WE CAN DO- TO.
IMPROVE THE NUMBERS THAT WE'RE
SEEING ACROSS THE BOARD IN THE
SOCIAL EQUITY PARTICIPATION AYE
I RECOGNIZE THE TECHNICAL
BARRIERS THAT THAT YOU ALL ARE
WORKING THROUGH NOW BUT IT'S THE
HUMAN. CHALLENGES THAT- WE NEED
TO ALSO GET AT IN TERMS OF
OWNERSHIP SO I JUST WANTED TO.
GET RESPONSES TO THOSE TWO
QUESTIONS BEFORE I HAVE TO LEAVE
. ON THANK YOU FOR YOUR QUESTION
SO I'LL START WITH ADAM HOW ARE
WE ENGAGING AS THE DEPARTMENT OF
CANNABIS CONTROL- WITH OTHER
STATE AND LOCAL DEPARTMENTS M.
AT IN THIS SPACE SO THE STATE
DEFINITELY HAS A VERY CLOSE KNIT
RELATIONSHIPS WITH SISTER
AGENCIES THAT WORK IN THIS SPACE
SUCH AS THE DEPARTMENT OF FISH
AND WILDLIFE- SUCH AS THE
DEPARTMENT OF TAX AND FEE. ON
THAT LOOKS MANY DIFFERENT WAYS
IT LOOKS LIKE- MEETINGS
OBVIOUSLY OUR TASK FORCES AS
WELL AS- INSPECTIONS SO IT'S
DEFINITELY A VERY CLOSE KNIT-
FUNCTION OF WORK THAT WE DO-
WITH OUR LOCAL JURISDICTIONS WE-
ART WE HAVE A TEAM. THAT
SPECIFICALLY MEETS WITH OUR
LOCAL I. HOP COUNTERPARTS THEY
WORK VERY CLOSELY WITH THEM WE
HAVE A LOCAL LIAISON UNIT- THAT
DOES THAT WORK MONITORS UPDATES
TO ORDINANCES- BED AS STATED
EARLIER THERE'S OVER TWO HUNDRED
JURISDICTIONS- AND THE STATE
THAT LICENSE- CANNABIS AT THE
LOCAL LEVEL. AND EACH IS
SLIGHTLY DIFFERENT SO IT IS A
TWO WAY STREET RIGHT LIKE THAT
ENGAGEMENT HAS TO BE ON BOTH
PARTIES- THE ONES THAT WE
DEFINITELY ENGAGE VERY CLOSELY
WITH THROUGH THE LOCAL
JURISDICTION ACCESS GRANT- THOSE
MEETINGS ARE VERY- CONSISTENT-
AND ARE. ARE PART OF OUR
REPORTING REQUIREMENTS FOR THE
GRANT AGREEMENT. AND IN TERMS OF
I WANTED TO SPEAK ALSO A LITTLE
BIT ON WHAT THE DEPARTMENT HAS
DONE TO SUPPORT SUCCESS BOTH FOR
LOCAL JURISDICTIONS AS WELL AS-
FOR LICENSEES. SO AND- FOR THE
LOCAL JURISDICTIONS THEMSELVES
ONE IN A JURISDICTION COMES
ONLINE WE HAVE A TEAM
SPECIFICALLY THAT MEETS WITH
THEM ON HOW THEY HAVE SET UP
THEIR LICENSING AND PERMITTING
PROCESSES THAT WE ARE AWARE OF
THAT AND TRY TO IDENTIFY
OPPORTUNITIES FOR STREAMLINING-
WE ALSO TALK ABOUT SECRET
PATHWAYS. BECAUSE WE WANT TO
SHARE LESSONS LEARNED AND WAYS
TO STREAMLINE AND NOT RUN INTO
THE SAME KIND OF PROBLEMS THAT
OUR COLLEAGUES FROM OTHER
JURISDICTIONS HAVE RUN INTO- AND
WE ALSO HAVE A LOT OF THOSE
RESOURCES ONLINE. SO AND THAT'S
WHAT WE DO IN TERMS OF A LOCAL
JURISDICTIONS COMING ONLINE AND
I'M JUST GOING TO PUT IN A PLUG
ALSO FOR A COMMENT YOU MADE
EARLIER. AROUND THE RETAIL AXIS
GRANT AND I THINK THE CHAIRMAN
OR ALSO- MENTIONED THIS THAT A
PART OF OUR PROBLEM IS THAT WE
DON'T HAVE ENOUGH ACCESS WE
DON'T HAVE ENOUGH RETAILERS- WE
STILL HAVE 60% OF THE STATE THAT
DOES NOT ALLOW ANY FORM. OF
RETAIL AND THE IS CHRIS TO THE
SUCCESS OF THE OPERATORS SOME OF
THE CHALLENGES THAT WE HEARD
ABOUT FROM THE FIRST PANEL- AND
AGAIN STREAMLINING. RIGHT SO
THAT WHEN THOSE JURISDICTIONS TO
COME ONLINE THEY DON'T FALL INTO
SOME OF THE PITFALLS THAT WE DID
EARLIER IN SETTING UP THE
FRAMEWORK- SO DEPENDENT TO
RESOURCES THAT ARE AVAILABLE
FOR- LICENSEES WE HOP ESPECIALLY
SOCIAL EQUITY- LICENSEES. I WE
HAVE EACH TEAM A FULL YEAR NET
AND THEIR ROLE IS TO PROVIDE
TECHNICAL ASSISTANCE- TO SOCIAL
EQUITY LICENSEES AT THE STATE
LEVEL- THE STATE ALSO HAS
SEVERAL PROGRAMS- THE FEE WAIVER
AND DEFERRAL PROGRAM- SUPPORTS A
LOT OF THESE APPLICANTS THAT ARE
NEW APPLICANTS COMING IN FOR
LICENSURE OR ONES THAT ARE
ALREADY LICENSED- TO EITHER.
DEFERRED THEIR ANNUAL LICENSE
FEE FOR WAVE THEIR LICENSE FEE
IF THEY MEET CERTAIN
REQUIREMENTS- SO THERE'S A LOT
OF RESOURCES I THINK I'D BE A
BOTH THE STATE AND LOCAL LEVEL
BUT I THINK FUNDAMENTALLY. THE
KEY ISSUE IS THAT IT'S GOT TO
GET EASIER. THE WHOLE PROCESS IT
DOESN'T MATTER WHAT LEVEL OF
BUSINESS IT THE PROCESS HAS TO
BECOME EASIER ON FOR BUSINESS
ASSISTING CALIFORNIA. IF I CAN.
ADDRESS THE QUESTION AS WELL
I'M- WHEN TALKING TO COUNTIES TO
PREPARE FOR THIS HEARING I WAS
VERY STRUCK BY HOW MANY OF THE
CANNABIS YOU KNOW. POINT PERSONS
BUT PEOPLE THAT I WAS TALKING TO
NEW THEIR COLLEAGUES IN OTHER
COUNTIES AND NOT JUST THE
COUNTIES THAT THEY SHARED
BORDERS WITH BUT ACROSS THE
STATE THERE'S A LOT OF INFORMAL
DISCUSSION THAT GOES ON. SHARING
BEST PRACTICES- YOU KNOW YOLO
COUNTY HAS A CUTTING EDGE
PROGRAM AND THEY'RE GOING OUT
AND SHARING WITH SAN DIEGO
COUNTY WITH MONTEREY COUNTY
HAVING A LOT OF CONVERSATIONS I
DO THINK THAT THERE'S
OPPORTUNITY TO BETTER FORMALIZE
THAT I THINK INFORMAL
CONVERSATIONS ARE REALLY
BENEFICIAL. I'M SURE THAT WE
COULD BETTER YOU KNOW COORDINATE
THE COMMUNICATION AMONG COUNTY
IS NOT SOMETHING THAT WE'RE
WORKING ON AS C. SACK. ALSO SAY
IN TERMS OF RETAIL ACCESS- THE
GRANT PROGRAM IS HUGE TO ALLOW
THOSE COUNTIES WHO ARE
INTERESTED IN BRINGING A
CANNABIS ORDINANCE ON TO. BE
ABLE TO ACHIEVE THAT AND I THINK
STREAMLINING IS GOING TO BE KEY
TO THAT BECAUSE IF YOU LOOK AT
YOU KNOW YOU'RE COUNTY YOU'RE
CONSIDERING IT YOU HAVE A LOT OF
STIGMA IN YOUR COMMUNITY AROUND
CANNABIS YOU'VE A LOT OF
HESITATION STILL FROM YOUR
CONSTITUENTS. AND THEN YOU SEE
THAT IT'S NOT GOING THAT WELL
EVERYWHERE THE INCENTIVE TO COME
ON AND SPEND A LOT OF MONEY IS-
IT'S LOW. AND SO WHERE WE CAN
STREAMLINE THE PROCESS WHERE
GRANTS ARE MADE AVAILABLE FUNDS
ARE MADE AVAILABLE THESE ARE ALL
THINGS THAT ARE GOING TO HELP
EXPAND THE MARKET AND MAKE IT A
LITTLE EASIER FOR LOCALS TO BE
ABLE TO ACHIEVE THESE. THANK
YOU. YOU KNOW. ONE OF THE-
MAINLY IS I THINK TO HELP
SUPPORT ADDITIONAL RETAIL IS TO
ALLOW CONSUMER DIRECT SALES.
IT'S SOMETHING THAT THE COUNTY
MENDOCINO HAS SUPPORTED. I'M
INFLOWS JUST LEGISLATIVE
PLATFORM FOR YEARS. YOU KNOW
FARMERS CULTIVATE THIS PRODUCT
THE PACKAGE THIS PRODUCT AND
THEN THEY HAVE TO GIVE IT TO A
DISTRIBUTOR TO GET IT. TO THE
RETAILER IN ONLY THE RETAILER.
CAN OFFER THIS PRODUCT TO A
CONSUMER OR PATIENT. EVEN IN
LEGAL OR LICENSED CANNABIS
EVENTS. I'M A CULTIVATOR CANNOT
INTERACT DIRECTLY WITH THEIR
PRODUCT WITH A CONSUMER OR
PATIENT EITHER CAN MANUFACTURER.
SO THESE OTHER AREAS WHERE WE
COULD EXPAND RETAIL ACCESS BY
ALSO PROVIDING SOME ADDITIONAL
OPPORTUNITIES. TO THE LICENSE
HOLDERS THEMSELVES. THANK YOU
FOR THOSE COMMENTS ANY OTHER
QUESTIONS KILLINGS. THANK YOU
VERY MUCH FOR THE GREAT
DISCUSSION MORE TO COME ON THIS
I'M SURE. FOR WE MOVE ON TO OUR
THIRD PANEL LET ME JUST MAKE
THIS COMMENT WE HAVE TWO MORE
PANELS TO GO- IT IS ABOUT ONE
TEN PM. WE WILL HAVE TO RECESS
THIS COMMITTEE AT ONE FORTY FIVE
PM BECAUSE WE HAVE A TWO PM.
SESSION ON THE SENATE FLOOR THAT
WE ALL MUST ATTEND. AND HAVING
DONE THAT WE WILL RECONVENE
FIFTEEN MINUTES. AFTER SENATE-
FLOORS SESSION ENDS THIS
AFTERNOON SO THAT'S THE SCHEDULE
I DOUBT THAT WE'LL GET THROUGH
TWO PANELS AND PUBLIC COMMENT.
BY ONE FORTY FIVE IF A MIRACLE
OCCURS THEN I'LL CHANGE THAT BUT
THAT'S TO GET THAT'S THE
SCHEDULE FOR THIS FROM AT LEAST
AT THIS POINT. THE THIRD PANEL
IS EQUITY AND INCLUSION WITHIN
THE REGULATED MARKET PLACE OUR
EQUITY APPLICANTS. BEING
PROVIDED WITH OPPORTUNITIES- AS
INTENDED. FAILS TO VIEW PLEASE
JOIN US UP HERE AT THE TABLE
WILL PROCEED WITH THE THIRD
PANEL. THE.
OKAY WELL LET'S START WITH THE-
SUFFOCATION SO IF WE COULD START
WITH MY LEFT YOU'RE RIGHT IF YOU
DINNER FOR YOURSELF FOR THE
RECORD PLEASE THANK YOU SO MUCH
EVERYONE HEAR ME PERFECTLY GOOD
MORNING AND THANK YOU HONORABLE
COMMITTEE MEMBERS FOR THE
INTRODUCTION I AM DOCTOR YOU
MONEY BROWN THE DIRECTOR OF THE
DEPARTMENT CANNABIS REGULATION
SOCIAL EQUITY PROGRAM. BUT A
CITY OF LOS ANGELES THANK YOU
DOCTOR BROWN. GOOD AFTERNOON
EUGENE HILLS MAN DEPUTY DIRECTOR
OF EQUITY AND INCLUSION AT THE
DEPARTMENT OF CAMPUS CONTROL.
THANKS FOR JOINING US AND GOOD
AFTERNOON GREG MINOR WITH THE
CITY OF OAKLAND. OKAY THE
SALESMAN I THINK YOU'RE UP TO
BAT FIRST. THANK YOU SO MUCH
GOOD MORNING CHAIR AND MEMBERS
OF THE COMMITTEE MY NAME IS
EUGENE HILLSMAN DEPUTY DIRECTOR
OF EQUITY INCLUSION AT THE DCC
THANK YOU FOR INVITING THE
DEPARTMENT TO PARTICIPATE ON
THIS PANEL IT TO SHARE WITH YOU
WITH THE DEPARTMENT HAS DONE TO
SUPPORT. IN ADVANCE CANNABIS
EQUITY IN CALIFORNIA. TODAY I
WILL SHARE SOME SPECIFIC WAYS
OUR DEPARTMENT IS DOING THAT
WORK. AND SUPPORTING EQUITY
APPLICANTS AND LICENSEES BUT
FIRST I'D LIKE TO SPEAK MORE
BROADLY ABOUT HOW THE STATE HAS
INVESTED IN CANNABIS EQUITY.
CALIFORNIA WAS THE FIRST STATE
TO INCORPORATE DECRIMINALIZATION
INTO ITS ADULT USE LEGALIZATION.
AND YOU HAVE SEEN THIS POLICY
REPLICATED ACROSS THE COUNTRY IN
STATES THAT HAVE COME AFTER US.
HOWEVER EQUITY IN CANNABIS BEGIN
NOT AT THE STATE IT BEGAN WITH
LOCALS INCLUDING THE NATION'S
FIRST PROGRAM OPEN IN TWENTY
SEVENTEEN. THE STATE'S
COMMITMENT TO REALIZE IN ADVANCE
CANNABIS EQUITY HAS NOT ALWAYS
BEEN EXPLICIT. CALIFORNIA HAS
COMMITTED APPROXIMATELY TWO
HUNDRED MILLION DOLLARS IN
COMMUNITY REINVESTMENT GRANTS TO
PROVIDE SUPPORT THROUGH LOCAL
NONPROFITS AND HEALTH
DEPARTMENTS. AND THANKS TO THE
DECRIMINALIZATION ASPECTS OF
PROP SIXTY FOUR. IN THE
LEADERSHIP OF THE ASSEMBLY
CALIFORNIA HAS ADVANCED THE
EXPUNGEMENT OF CRIMINAL RECORDS
INCLUDING ONE HUNDRED AND NINETY
SEVEN THOUSAND CONVICTIONS. SO
WANT TO TAKE A MOMENT TO
HIGHLIGHT THE HISTORY OF
CALIFORNIA STATE EFFORTS. THE
PROGRAMS CREATED INVESTMENTS
MADE IN LEADERSHIP BEHIND IT
STARTING WITH SENATOR BRADFORD.
AS THE AUTHOR OF THE CANNABIS
EQUITY ACT HE HELPED CALIFORNIA
CREATED GRANT PROGRAM THAT HAS
PROVIDED ALMOST ONE HUNDRED
MILLION DOLLARS IN FUNDS. TO
LOCAL GOVERNMENTS TO CREATE
EQUITY PROGRAMS AND PROVIDE
FINANCIAL SUPPORT AND TECHNICAL
ASSISTANCE TO EQUITY BUSINESSES.
IN TWENTY TWENTY ONE AGAIN
THROUGH THE LEADERSHIP OF THE
SENATE. THE STATE CREATED THE
EQUITY LICENSE FEE WAIVER AND
DEFERRAL PROGRAM. AS PART OF
THIS WORK THE STATE COMMITTED
THIRTY MILLION DOLLARS IN ONE
TIME FUNDS TO THE PROGRAM FOR
THE PURPOSE OF WAVING AND
DEFERRING LICENSE APPLICATION IN
RENEWAL FEES FOR EQUITY
APPLICANTS AND LICENSEES. IT
ALSO CREATED IN STATUTE A
STATEWIDE EQUITY DEFINITION TIME
ELIGIBILITY TO THESE FUNDS FOR
WAIVERS AND DEFERRALS BASED ON
THIS DEFINITION. THEN LAST YEAR
THE LEGISLATURE PASSED EIGHTY
ONE NINETY FIVE CANNABIS TAX
REFORM. THIS BILL INCLUDED A
RANGE OF MEASURES TO BRING TAX
RELIEF TO THE CANNABIS INDUSTRY
AND CONSUMERS. AS WELL AS
REINVESTMENTS TO SUPPORT AND
STABILIZE EQUITY BUSINESSES
INCLUDING. THE CANNABIS EQUITY
TAX CREDIT PROGRAM ADMINISTERED
BY THE FRANCHISE TAX BOARD WHICH
PROVIDES A TEN THOUSAND DOLLAR
TAX CREDIT UNION LEE TO ELIGIBLE
EQUITY LICENSES. THE VENDOR.
PROGRAM ADMINISTERED BY C. TFA
WHICH- ELIGIBLE EQUITY RETAILERS
TO KEEP 20% OF THE CANNABIS
EXCISE TAX THEY COLLECT. TURNING
NOW TO THE DEPARTMENT'S EFFORTS
THE DEPARTMENT IS RESPONSIBLE
FOR DEVELOPING AND IMPLEMENTING
SEVERAL PROGRAMS THAT
PRIORITIZE. AND APPLY EQUITY
MEASURES. FOR EXAMPLE. OUR LOCAL
JURISDICTIONS GRANT WHICH WE'VE
HEARD ABOUT OVER A COUPLE PANELS
TODAY WHICH EARMARKED HALF THE
FUNDS APPROXIMATELY FORTY SEVEN
MILLION DOLLARS TO FURTHER
SUPPORT JURISDICTIONS WITH
EQUITY EFFORTS. ARE RECENTLY
RELEASED TWENTY MILLION DOLLAR
RETAIL ACCESS GRANT PROGRAM
PROPOSES ADDITIONAL INCENTIVES
IN FUNDING FOR LOCALITIES THAT
CREATE AND PRIORITIZE EQUITY
FUNDING. AND AS MENTIONED THE
DEPARTMENT IS RESPONSIBLE FOR
ADMINISTERING THE THIRTY MILLION
DOLLAR CANNABIS EQUITY LICENSING
FEE WAIVER INTO FOR A PROGRAM.
TODAY OUR DEPARTMENTS FEE WAIVER
PROGRAM HAS ASSISTED
APPROXIMATELY ONE THOUSAND SIX
HUNDRED AND EIGHTEEN SMALL
BUSINESS ENTREPRENEURS
NEGATIVELY IMPACTED BY THE WAR
ON DRUGS. THIS REPRESENTS
APPROXIMATELY 25% OF OUR TOTAL
LICENSE POPULATION. THE NUMBER
OF BUSINESSES RECEIVING FEE
RELIEF IS A SIGNIFICANT PORTION
OF OUR LICENSE POPULATION
REPRESENTING A QUARTER OF OUR
LICENSE POOL. AND WHILE
NOTEWORTHY I WILL POINT OUT THAT
THIS IS NOT REPRESENTATIVE OF
THE ENTIRETY OF THE STATE'S
EQUITY COMMUNITY. EQUITY
BUSINESSES THAT MEET LOCAL
PROGRAM DEFINITIONS ARE NOT
INCLUDED THIS FIGURE DOES NOT
CAPTURE EQUITY LICENSES THAT DO
NOT MEET THE STATE DEFINITION
BUT QUALIFY FOR THEIR LOCAL
EQUITY PROGRAM. IN JANUARY THE
DEPARTMENT ESTABLISHED A FEEDER
FOR A PROGRAM TO PROVIDE MORE
FLEXIBILITY OF CASH FLOW FOR
THEIR LOCAL EQUITY PROGRAM.
FURTHER AS MY COLLEAGUE A
RUSSIAN MISSION THE DEPARTMENT
PROVIDES TECHNICAL ASSISTANCE TO
EQUITY BUSINESS OWNERS THEY NEED
HELP GETTING THEIR STATE
LICENSE- THAT TEAM IS
EXCLUSIVELY DEDICATED TO HELPING
EQUITY BUSINESSES RECEIVE AND
RENEW. THEIR STATE LICENSE WE
THINK THIS IS A CRITICAL
RESOURCE FOR EXISTING BUSINESS
OWNERS TO RECEIVE SPECIALIZED
CASE MANAGEMENT. THE DEPARTMENT
HAS GROWN THE NUMBER OF
RESOURCES SINCE ITS INCEPTION TO
MAKE INFORMATION MORE ACCESSIBLE
FOR EQUITY BUSINESSES. THIS
INCLUDES AN EQUITY WEBPAGE THAT
MAKES AVAILABLE GUIDANCE
DOCUMENTS PLAIN LANGUAGE FORMS
VIDEOS AND MORE. OUR DEPARTMENT
ALSO ENGAGES REGULARLY WITH
BUSINESS OWNERS AND LOCAL
JURISDICTIONS TO LEARN MORE
ABOUT THE HEALTH OF EQUITY
BUSINESSES ADVOCACY OF PROGRAMS
AND CHALLENGES FACED. FINALLY
THE DEPARTMENT IS WORKING TO
MORE EFFECTIVELY DEFINING
CAPTURE DATA TO BETTER INFORM
OUR WORK. ASSESS PROGRAMS AND
TRACK EQUITY MEASURES ALL TOLD.
THESE EFFORTS REFLECT A STRONG
FINANCIAL COMMITMENT BY
CALIFORNIA OVER A QUARTER OF A
BILLION DOLLARS TO SUPPORT
CANNABIS EQUITY AND HELP REBUILD
COMMUNITIES HARMED BY THE WAR ON
DRUGS. IN ADDITION TO THESE
FINANCIAL COMMITMENTS BY THE
STATE. ACCORDING TO REPORTS
PROVIDED BY LAW LOCAL
JURISDICTIONS WITH EQUITY
PROGRAMS TO GO BILLS LAST YEAR.
WE HAVE SEEN SOME LOCAL
JURISDICTIONS DEDICATE FUNDING
TO THEIR EQUITY PROGRAMS AND
BUSINESSES. FOR EXAMPLE OAKLAND
AND LOS ANGELES HAVE REPORTED
COMMITTING MORE THAN SIX MILLION
DOLLARS EACH. IN LOCAL FUNDS TO
SUPPORT EQUITY EFFORTS. WE APPLY
THESE CONTRIBUTIONS BUT ALSO
SUPPORT POLICIES THAT RESULT IN
MORE RESOURCES BEING COMMITTED
BY OUR LOCAL PARTNERS TO ADVANCE
THEIR PROGRAMS AS WELL AT A
LEVEL THAT MATCHES THE STATE'S
EFFORTS. IN CLOSING AS A
DEPARTMENT IDENTIFIES IN LIST
PROMISING PRACTICES AND AS WE
SEE THESE REPLICATED THROUGHOUT
THE STATE AND THE REST OF THE
NATION WE REMAIN COMMITTED TO
BUILDING ON SUCCESSES AND
LEARNING FROM FAILURES. TO
STEADILY IMPROVE THE WAY
CALIFORNIA APPROACHES THIS
COMPLEX AND IMPORTANT ISSUE.
BUSINESS OWNERS MUST BE ABLE TO
MOVE THROUGH THE LICENSING AND
PERMITTING PROCESS EFFICIENTLY.
SESI THEY TAKE MULTIPLE YEARS
FOR BUSINESSES TO RECEIVE ANNUAL
LICENSURE NEED REFORM. THE
DEPARTMENT WANTS TO ENCOURAGE
POLICY MAKERS TO ALSO FOCUS
ATTENTION ON THE NEED TO ADDRESS
THESE DEFICIENT INSTITUTIONAL
PROCESS THESE. ESPECIALLY THOSE
SYSTEMS THAT FURTHER DIFF
DISENFRANCHISES SKEWS ME ARE
STATES EQUITY OPERATORS. EVEN
WHILE HUNDREDS OF MILLIONS OF
DOLLARS HAVE GONE TO SUPPORT
EQUITY IN CANNABIS. THE PROCESS
IS THAT BUSINESSES ARE REQUIRED
TO NAVIGATE FOR LOCAL AND STATE
LICENSURE. HAVE PROVEN TO
DISENFRANCHISE SOME FOR EQUITY
OPERATORS IN WAYS THAT MONEY
ALONE CANNOT SOLVE. FOR THIS
REASON I WANT TO THANK THE
COMMITTEE FOR ITS COMMITMENT TO
TAKE UP THE ISSUES BEFORE YOU
TODAY. SOME OF WHICH TOUCH ON
SOME OF THE CHALLENGING
INSTITUTIONAL PROCESSES ARE
EQUITY BUSINESSES ARE REQUIRED
TO NAVIGATE. IT THANK YOU AGAIN
FOR THE OPPORTUNITY TO BE A PART
OF THE CONVERSATION I'M HAPPY TO
ANSWER ANY QUESTIONS. THANK YOU
MISTER HILLSMAN DOCTOR BROWN
THANK YOU SO MUCH. OF BEFORE I
PROVIDE AN OVERVIEW OF OUR
PROGRAM. IN A LITTLE BIT OF
CONTEXT IN TERMS OF THE CHEN
GENESIS OF THE- DEPARTMENT.
ALTHOUGH LOS ANGELES THE CITY
COUNCIL OFFICIALLY ESTABLISHED
THE DEPARTMENT. OF IN TWENTY
SEVENTEEN IT WAS SHORTLY AFTER
PROPOSITION SIXTY FOUR WAS
ADOPTED. THE SOCIAL EQUITY
PROGRAM FOR THE DEPARTMENT DID
NOT RECEIVE ANY FUNDING UNTIL
TWENTY NINETEEN. THERE WAS NO
INFRASTRUCTURE FOR WHICH TO
EXECUTE ANY MEANINGFUL
PROGRAMMING ALL FORMS POLICIES
PROCEDURES WERE BUILT FROM THE
GROUND UP. SINCE THAT TIME AND
AFTER THE LAUNCH OF THE SOCIAL
EQUITY PROGRAM IN TWENTY
NINETEEN. THE PROGRAM WAS THEM
PLAGUED WITH THE ONSLAUGHT OF
COVERT NINETEEN PANDEMIC WHERE
WE WERE SANTA WITH BUREAUCRATIC
DELAYS THAT USE THE CITY WIDE
HIRING AND CONTRACTING FREEZE.
THROUGHOUT THIS TIME THE SOCIAL
EQUITY TEAM WAS COMPRISED OF
THREE STAFF INCLUDING MYSELF.
AFTER THE HIRING CONTRACTING
FREEZE WAS RELAXED WE CREATED AN
INFRASTRUCTURE AN AGENDA WE
CREATED THROUGH AN RFP PROCESS-
FIVE. THIRD PARTY SUBJECT MATTER
EXPERT VENDORS TO CREATE THE
TOOLS AND RESOURCES THAT NOW
DEFINE OUR SOCIAL EQUITY
PROGRAMS BUSINESS LICENSING
COMPLIANCE AND TECHNICAL
ASSISTANCE PROGRAM. WE TAKE
SERIOUSLY SUPPORTING BLACK AND
BROWN COMMUNITIES WHO ARE
DISPROPORTIONATELY IMPACTED BY
THE WAR ON DRUGS. NOW WITHIN
THREE AND A HALF SHORT YEARS THE
BLC PROGRAM INCLUDES A ROBUST
SUITE OF OVER A HUNDRED AND
TWENTY FIVE HOURS OF CANNABIS
SPECIFIC EDUCATIONAL CONTENT.
WHICH IS HELD IN OUR LEARNING
MANAGEMENT SYSTEM OR LMS IS THE
DIGITAL PLATFORM EXCLUSIVE TO
OUR VERIFIED SOCIAL EQUITY
APPLICANTS. DCR IS HELD OVER
SIXTY SEVEN LIVE WEBINARS WITH
SUBJECT MATTER EXPERTS COVERING
TOPICS RELATED TO THE SUCCESSFUL
OPERATION OF CANNABIS COMMERCIAL
BUSINESSES INCLUDING MARKETING
AND BRANDING. CONTRACTS AND-
ACCOUNTING BUSINESS FORMATION
INVENTORY MANAGEMENT INSURANCE
TRACKING TRICKS FOR METRICS
COMMERCIAL LEASING. A FOR ALL
LICENSE TYPES AND MUCH MORE. NOW
WE RECOGNIZE THAT EVERYBODY IS
NOT AN ENTREPRENEUR SO WE HAVE
BEEN INTENTIONAL WITH CREATING A
WORKFORCE DEVELOPMENT INITIATIVE
TO SUPPORT AND MAKE AVAILABLE
CAREER OPPORTUNITIES FOR THOSE
SEEKING EMPLOYMENT WITHIN THE
CANNABIS SPACE. WE'VE CREATED A
JOBS BOARD AND WE'VE HAD THREE
JOBS FIGURES TO VIRTUAL AND ONE
LIFE AT THE LA TRADE TECH
COLLEGE. THE BILL C. PROGRAM
ALSO OFFERS TECHNICAL ASSISTANCE
INCLUDING THREE HUNDRED HOURS OF
FREE ONE ON ONE BUSINESS
COACHING AND A FULL
INTERVIEWING. I AM SORRY AND A
FULL SUITE OF WORKFORCE
DEVELOPMENT SUPPORT TO ASSISTING
GUIDE JOBSEEKERS THROUGH
INTERVIEW TRAINING RESUME REVIEW
INTERVIEW COACHING WE'RE TRYING
TO TRAIN A SUSTAINABLE CANNABIS.
WORKFORCE IN THE CITY OF LA WE
ALSO TRAIN ALL OPERATORS ON
THEIR GOOD FAITH HIRING
REQUIREMENTS AND WE'RE CREATING
AN APPRENTICESHIP PROGRAM IN
PARTNERSHIP WITH THE DEPARTMENT
OF CANNABIS STANDARDS. I'M SORRY
WITH THE DEPARTMENT OF
APPRENTICESHIP STANDARDS AT THE
STATE. IN ADDITION TO THOSE
RESOURCES WE HAVE EXPANDED OUR
PRO BONO LEGAL SERVICES PROGRAM
TO INCLUDE A LOW BONO LEGAL
SERVICES PROGRAM. IN PARTNERSHIP
WITH THE L. A. COUNTY BAR
ASSOCIATION SMART LAW DIVISION
WE OFFER UP TO TEN HOURS OF FREE
LEGAL SERVICES AND ONCE PEOPLE
HAVE EXHAUSTED THE TEN HOURS
THEY CAN MOVE INTO. UP TO THIRTY
HOURS OF- REDUCED RATES OF
THIRTY FIVE DOLLARS AN HOUR. I
DON'T KNOW WHERE YOU GET THIRTY
FIVE DOLLARS AN HOUR IN THE
COUNTRY FOR LEGAL SERVICES. ON
FEBRUARY TWENTY FOURTH. TWENTY
TWENTY THREE DEPARTMENT OF
CANNABIS REGULATION IN
PARTNERSHIP WITH THE PLC PROGRAM
HOSTED A CANNABIS AND CAPITAL
INVESTORS NETWORKING FORUM WHICH
WAS HELD AT THE CONVENTION
CENTER IN LOS ANGELES. WE HAD
OVER FOUR HUNDRED AND FIFTY
ATTENDEES COME OUT INTERRACIAL
RAIN TO TAKE PART IN A
INNOVATIVE OPPORTUNITY TO
LEARNING CULTIVATE RELATIONSHIPS
PERTAINING TO. INVESTMENT IN THE
CANNABIS SPACE WE HAD PANEL
DISCUSSIONS ON GETTING TO YES.
FROM PITCH TO PROFIT AND A PANEL
ON THE INVESTMENT JOURNEY WE HAD
OVER THIRTY OPERATORS IN
ANCILLARY BUSINESSES HOST
EXHIBIT BOOTHS WE OFFERED ONE ON
ONE COACHING. AND FREE
PROFESSIONAL HEADSHOTS FOR START
UP BUSINESSES. SENATOR BRADFORD
WAS KIND ENOUGH TO ATTEND THIS
GROUND BREAKING EVENT AND
ADDRESS THE AUDIENCE. THE ABOVE
MENTIONED SERVICES ARE FUNDED
EXCLUSIVELY THROUGH THE CITY'S
GENERAL FUND. TO DATE WE HAVE
RECEIVED NINE MILLION DOLLARS
FROM THE CITY OF LA'S GENERAL
FUND THREE MILLION IN TWENTY
NINETEEN THREE IN TWENTY TWENTY
ONE. AND THREE MILLION IN TWENTY
TWENTY TO. WE ARE INSPIRED TO
HAVE CREATED A SOCIAL EQUITY
PROGRAM THAT OFFERS THE MARRIOTT
OF RESOURCES TO SOCIAL EQUITY
INDIVIDUAL APPLICANTS AND
LICENSEES. AS WE CONTINUE TO
STRIVE FOR POLICY REFORM. UNTIL
THE CANNABIS INDUSTRY IS
NORMALIZED IN TERMS OF BUSINESS
RESOURCES. THAT ARE MADE
AVAILABLE TO SOCIAL EQUITY
APPLICANTS. NOW AS A COMPANION
PIECE TO THE BOC PROGRAM FUNDED
BY THE CITY'S GENERAL FUND THE
DEPARTMENT ALSO RECEIVES FUNDING
FROM THE CANNABIS EQUITY GREAT
FOR LOCAL JURISDICTIONS WHICH IS
FUNDED BY THE STATE. THE
GOVERNOR'S OFFICE OF ECONOMIC
DEVELOPMENT OR GO THIS NOW TO
DATE FROM TWENTY NINETEEN TO
TWENTY TWENTY RECEIVE SIX
MILLION FORTY TWO DOLLARS FORTY
TWO THOUSAND. AND SOME CHANGE
THE TWENTY. TWENTY ONE CYCLE WE
RECEIVED TWO MILLION THIRTY ONE
THOUSAND AND THE TWENTY ONE
TWENTY TWO CYCLE WE RECEIVED
FIVE. POINT SEVEN MILLION
DOLLARS WHICH IS A TOTAL OF
THIRTEEN POINT SEVEN NINE NINE.
A THOUSAND DOLLARS- THE TWENTY
TWO TWENTY THREE GRANT WE HAVE
BEEN- WE HAVE BEEN AWARDED ONE
POINT NINE EIGHT FOUR MILLION
DOLLARS WHICH WE HAVE NOT
RECEIVED YET. WE HAVE DISBURSED
80% OF ALL GRANTS RECEIVED EACH
YEAR IN DIRECT FINANCIAL
SUPPORT. SO TO DATE WE HAVE
DISBURSED ELEVEN MILLION THIRTY
NINE THOUSAND DOLLARS AS PER THE
GRANT AGREEMENT IN TERMS OF
AUTHORIZED BUSINESS EXPENSES.
NOW THEY'RE A FIFTY MILLION
DOLLARS ALLOCATED TO THE C. E.
G. GRANT PROGRAMS THIS YEAR
FOURTEEN JURISDICTIONS APPLIED
FOR THAT SAME GRANT. EACH YEAR
MORE AND MORE JURISDICTIONS
APPLY FOR THE SAME AMOUNT OF
FUNDING. HENCE WE RECEIVED ONE
POINT NINE MILLION DOLLARS THIS
YEAR AS OPPOSED TO FIVE POINT
SEVEN MILLION DOLLARS LAST YEAR
. WE KNOW FROM OUR TARGET OUT
REGION STAKEHOLDER FEEDBACK THAT
THERE ARE THREE MAJOR BARRIERS
TO PARTICIPATING IN THE LICENSE
CANDIDATE MARC CANNABIS MARKET
FOR EQUITY ENTREPRENEURS. NUMBER
ONE NUMBER ONE IS ACCESS TO
CAPITAL. NUMBER TWO ACCESS TO
COMPLIANT REAL ESTATE AND NUMBER
THREE ACCESS TO AFFORDABLE LEGAL
COUNSEL WE CONSISTENTLY TRY TO
MEET FOLKS WHERE THEY ARE. IN
SEPTEMBER OF LAST YEAR WE
LAUNCHED OUR SEAT RENTAL
ASSISTANCE GRANT PROGRAM. WE
THAT'S IT MINISTERED IN
PARTNERSHIP WITH ELEVATE IMPACT
LA. FIVE MILLION DOLLARS AT THE
FIVE POINT SEVEN MILLION
RECEIVED IN FUNDING FROM THE
TWENTY TWENTY TO. EQUITY GRANTS
FOR LOCAL JURISDICTIONS IS BEING
DISPERSED TO QUALIFY SOCIAL
EQUITY APPLICANTS AND LICENSEES
TO ASSIST WITH THE RENT RELATED
EXPENSES. LIKE PAYING RENT OR
SECURITY DEPOSIT PURSUANT TO A
FULLY EXECUTED COMMERCIAL LEASE
OR FINANCING UP TO ONE MONTH OF
BACK RENT OR SECURING A BINDING
LETTER OF INTENT OR ASSISTING
WITH BUILD OUT OR CONSTRUCTION
COST. WE ARE A WARNING APPROVED
APPLICANTS UP TO FIFTY K. WHICH
WE BELIEVE WILL BE MAKE A HUGE
DIFFERENCE IN EQUITY
ENTREPRENEURS ABILITY TO STAND
UP THEIR BUSINESSES AND STAY IN
COMPLIANCE. WE ALSO PROVIDE A
SOCIAL EQUITY VERIFIED
APPLICATION FEE WAIVERS FOR
TWELVE HUNDRED SEVENTY SIX
SOCIAL EQUITY APPLICANTS AND A
HUNDRED APPLICATION FEE WAIVERS
FOR PHASE THREE RETAIL BROWN TO
APPLICANTS. N. AS PART OF THE
UNDERWRITING PROCESS ELEVATE
IMPACT PROVIDES TECHNICAL
ASSISTANCE AS IT RELATES TO
REVIEWING SUBMITTED LEASES AND
VISES APPLICANTS AND LICENSEES
ON THE DETAILS OF THEIR LEASE.
THE ELEVATOR IMPACT TEAM
PROVIDES CONSULTATIONS ON
FINANCIAL ASSISTANCE. ASSESSING
MARKETING PLANS AND BUILD OUT
COSTS AND WALKS APPLICANTS
THROUGH ANY REVISIONS IN THEIR
BUDGETS. EXECUTIVE SUMMARIES AND
ADDITIONAL SUBMISSIONS NECESSARY
FOR APPLICATION COMPLETION. NOW
IN TERMS OF THE REPORTING
THROUGH THE CGV CHOIR IT
PERIODIC REPORTS AND- NARRATIVE
REPORTING DCR HAS BEEN ABLE TO
THOROUGHLY ASSESS THE COLLECTION
OF DATA AND STATISTICS AS IT
RELATES TO THE UTILIZATION OF
GRANT FUNDS. DURING THE TWENTY
TWENTY ONE GRANT CYCLE TWO
HUNDRED AND SIX EQUITY
ENTREPRENEURS RECEIVE SIX
MILLION DOLLARS IN DIRECT
FINANCIAL SUPPORT FROM THE C.
GRANT. FOR THE TWENTY ONE TWENTY
TWO GRANT CYCLES A HUNDRED
EQUITY ENTREPRENEURS HAVE
RECEIVED ONE POINT NINE MILLION
THUS FAR. FROM THE C. RENTAL
ASSISTANCE GRANT PROGRAM THE
GRANT CLOSES IN OCTOBER. OF.
TWENTY TWENTY THREE.
I'M SORRY I LOST MY PLACE. THE
VOLUME OF THE LOCAL EQUITY
APPLICANTS AND LICENSEES HAVE
BEEN ASSISTED THROUGH THE C. ET
GRANT FUNDING HAS BEEN
SUBSTANTIAL IT HAS ALLOWED MANY
TO ADVANCE IN THE LICENSURE
PROCESS AND GAIN ACCESS TO ONE
OF THE MOST PREVALENT HURDLES IN
THAT PROCESS OBTAINING AND
SECURING COMPLY PROPERTY. THE
ALTHOUGH MUCH HAS BEEN
ACCOMPLISHED THROUGH THE SOCIAL
EQUITY PROGRAM THERE HAVE BEEN
MANY CHALLENGES ALONG THE WAY
THAT PROHIBIT SOCIAL EQUITY
APPLICANTS AND LICENSEES FROM
COMPLEX FROM COMPETING AND
THRIVING IN THE CANNABIS SPACE.
LOS ANGELES HAS THE LARGEST
SOCIAL EQUITY COHORT OF ANY
JURISDICTION IN THE STATE LOS
ANGELES IS THE LARGEST CANNABIS
MARKET IN THE COUNTRY MAJORITY
OF EQUITY ENTREPRENEUR SIMPLY DO
NOT HAVE ACCESS TO THE RESOURCES
THEY NEED. LIKE ACCESS TO
TRADITIONAL BANKING SERVICES
WHICH HAS CONTRIBUTED TO A
PREDATORY INVESTOR INDUSTRY AND
AS A DEPARTMENT WE HAVE WORKED
HARD TO CREATE PROGRAM TO ASSIST
AS MANY. OF THOSE INDIVIDUALS AS
POSSIBLE. IT IS OUR HOPE TO
CONTINUE TO BE TO PROVIDE
INNOVATIVE PROGRAMMING AND
OUTREACH- FOR OPPORTUNITIES AND
ACCESSIBILITY AND HOPEFULLY TO
PROVIDE A MORE NUANCED
UNDERSTANDING OF
ENTREPRENEURSHIP INVESTMENT AND
THE REALITIES OF WITH STARTING A
BUSINESS IN THE CANNABIS.
CANNABIS INDUSTRY REALLY IS IT
IS IMPORTANT FOR THIS COMMUNITY
TO HAVE ACCESS TO THE RESOURCES
THAT OTHERS. BUSINESSES HAVE
ACCESS TO IN TERMS OF BANKING
LOANS AND OTHER FINANCIAL
SERVICES. IT IS IMPORTANT FOR
THIS COMMUNITY TO HAVE ACCESS TO
ALL THE RESOURCES WE ARE
COMMITTED TO CONTINUING THE
EFFICACY OF THE SOCIAL EQUITY
COMMUNITY IN ORDER FOR THEM TO
HAVE A CHANCE TO PARTICIPATE AND
BE REPRESENTED. IN THIS MULTI
BILLION DOLLAR INDUSTRY WE MUST
STRIVE TO NORMALIZE THE CANNABIS
INDUSTRY WITH STATE BANKING
ACCESS AND OTHER RESOURCES THAT
ARE NOT AVAILABLE TODAY. I WANT
TO THANK THIS BODY FOR HOSTING
THIS HEARING AND I AM AVAILABLE
AND WILLING TO ANSWER ANY
QUESTIONS YOU MAY HAVE OF ME
THANK YOU THANK YOU DOCTOR BROWN
MISSED MINOR. AND MOUNTAINS
MISCUE DID YOU WANNA JUMP IN.
OKAY SO JUST BUILDING ON A
DOCTOR BROWN'S US COMMENTS THANK
YOU SO MUCH FOR HAVING THIS FORM
TODAY- AND DOES. IT ALSO
BUILDING ON- EUGENE'S POINT
EARLIER SPECIAL THANK YOU TO
SENATOR BRADFORD FOR. FOR BEING
SUCH A LEADER IN THIS SPACE AND
CHANGING. MANY PEOPLE'S LIVES
THROUGH THROUGH YOUR EFFORTS
OVER THE LAST SEVERAL YEARS- SO
MY NAME'S GREG MINOR WITH THE
CITY OF OAKLAND JUST FOR A QUICK
BACKGROUND. HAVE MANAGE OUR
SPECIAL ACTIVITY PERMITS
DIVISION WHICH INCLUDES THE
CANNABIS CANNABIS BUSINESSES IN
OAKLAND SINCE TWENTY FOURTEEN
AND THEN I CO AUTHORED ARE-
EQUITY ANALYSIS AND- EQUITY
PROGRAM TWENTY SEVENTEEN WHICH-
WAS THE FIRST IN THE COUNTRY- I
KNOW WE ARE SHORT ON TIME. SO
I'M JUST GONNA HIGHLIGHT TWO
POINTS FOR THE COMMITTEE'S
CONSIDERATION- THE FIRST BEING
THAT- IF YOU WANT TO ENSURE THAT
THE REGULATED MARKETPLACE
REFLECTS THE DIVERSITY OF THE
STATE WE NEED MORE RESOURCES. ON
THE STATE OF CALIFORNIA HAS BEEN
A TREMENDOUS PARTNER AND
FUNDING. THE LOCAL JURISDICTION
I'M I'M SKEWS ME THIS AT THAT IS
THAT THE- GRANT PROGRAM FOR THE
CANNABIS EQUITY LOCAL FOR LOCAL
JUDITH TO ROLLS OFF THE TONGUE-
GO. THE FUNDS FROM GO BATES-
THEY'VE TREMENDOUS WE'VE HAD
GREAT FUN CYCLE WHERE- THE STATE
CALIFORNIA SET ASIDE THIRTY
MILLION DOLLARS WHICH WHICH
ENDED UP. RESULTING AROUND SIX
SIX OR FIVE MILLION DOLLARS FOR
THE CITY OF OAKLAND TO DISPERSE
AND WE'VE BEEN ABLE TO MAKE MORE
THAN. MORE THAN JUST DISPERSE
DOLLARS MAKE VERY STRATEGIC
SUSTAINABLE. HELPING A TEAM OF
EQUITY APPLICANTS PURCHASE A
PROPERTY WITH AT WITH A SHARED
KITCHEN THAT'S GOING TO BE A
PERMANENT FREE BUSINESS
INCUBATION SPACE. AND LAST WELL
BEYOND JUST THE ONE YEAR FUNDING
CYCLE. COMPANIES DOCTOR BROWN
MENTIONED UNFORTUNATELY IN
RECENT- FUNDING CYCLES THERE IS
ONLY FIFTEEN MILLION DOLLARS SET
ASIDE FOR EXAMPLE LAST YEAR- SO
EVEN THOUGH OAKLAND YOU KNOW GOT
FIRST PLACE WE HAVE OVER THREE
HUNDRED VERIFIED EQUITY
APPLICANTS. THAT LEFT US WITH
ABOUT SIX THOUSAND DOLLARS PER
APPLICANT AND I BELIEVE LA HAS
ABOUT A THOUSAND DOLLARS. PER
APPLICANT. BECAUSE HUNDREDS OF
THOUSANDS OF DOLLARS IF NOT MORE
STARTED CAMPUS BUSINESS. SO I'M
JUST HOPING OBVIOUSLY YOU HAVE
MANY PRIORITIES BEFORE YOU IN
THE BUDGET CYCLE COMING UP BUT
HOPING THAT- THE STATE CAN
INVEST MORE THAN FIFTEEN MILLION
SO THAT WE CAN MAKE THESE
CRITICAL STRATEGIC INVESTMENTS
THAT ARE GOING TO GO. BEYOND
JUST ONE FUNDING CYCLE- WE ALSO
DON'T HAVE ANY PROBLEMS
DISBURSING THOSE FUNDS. WE HAVE
THE OPPOSITE PROBLEM WE DISPERSE
THEM FASTER THAN WE CAN WE WOULD
LIKE IN SOME IN SOME WAYS-
BECAUSE THE NEED IS SO GREAT-
ID. WE HAVEN'T REALLY. DOVE INTO
IT BUT- OBVIOUSLY OVER HOPEFULLY
IT'S OBVIOUS THAT. BECAUSE
CANNABIS IS ILLEGAL ON THE
FEDERAL LEVEL YOU CAN'T GO TO A
BANK AND GET A LOAN. FOR THOSE
THAT ALREADY HAVE YOU KNOW IN
ANY OTHER CONTEXT WOULD HAVE A
LEG UP HAVE EVEN MORE OF A LIKE
IT BECAUSE THEY HAVE ACCESS TO
WEALTHY FRIENDS AND FAMILY AND-
PRIVATE NETWORKS THE CAPITAL SO
IT'S VERY. CRITICAL OR THERE'S
AN OPPORTUNITY RATHER FOR
GOVERNMENT TO HELP LEVEL THE
PLAYING FIELD. AND PLAY A KEY
ROLE IN ENSURING MORE EQUITABLE
MARKET EQUITABLE MARKETPLACE-
LAST POINT. IS THAT ON. THESE
EQUITY PROGRAMS DON'T EXIST IN A
VACUUM- SO ALL ALL THE
INFORMATION THAT YOU HEARD
EARLIER ARE ARE APPLICABLES. TO
OUR EQUITY PROGRAMS- EQUITY
APPLICANTS BECAUSE OF
DISPARITIES IN ACCESS TO CAPITAL
AND REAL ESTATE. AND DESPITE LAW
ENFORCEMENT PRACTICES. BATES
THEY ARE DISPROPORTIONATELY
IMPACTED. IN MANY CASES BY THE
SAME OBSTACLES THAT OTHER-
CANNABIS I. FACE BUT THIS MORE
TO IT IS FOR ANYONE TO
PARTICIPATE REGULATED
MARKETPLACE THE MORE DIFFICULT
IT'S GOING TO BE FOR AN EQUITY
APPLICANT- SO COUPLE EXAMPLES
THAT COME TO MIND WE FOR THE
SEQUEL. AS AN EXAMPLE YOU KNOW
IS IT REALLY CRITICAL THAT EVERY
SINGLE STEP OF THE SUPPLY CHAIN
HAS MULTIPLE LAYERS OF SEQUEL
ANALYSIS. FOR EXAMPLE AT A
RETAIL STORE MOVING INTO
COMMERCIAL ZONE. WHY WHY WHY DO
WE HAVE TO HAVE ALL THIS
PAPERWORK AT THE LOCAL ON THE
STATE LEVEL. IS ANY ANY OTHER
INDUSTRY HAVE TO GO THROUGH THAT
THAT THE LEVEL OF REVIEW-
THERE'S CURRENTLY AS ANOTHER
EXAMPLE A TEN PM CURFEW FOR
DISPENSARIES IN THE STATE OF
CALIFORNIA. WHAT'S THE RATIONALE
FOR WHY WHY CAN'T A DISPENSARY
OPERATE AT TEN THIRTY AT NIGHT
WHY NOT LET A LOCAL JURISDICTION
DECIDE WHAT'S APPROPRIATE. WHY
ARE WE LIMITING. YOU KNOW THE
UNREGULATED MARKET DOESN'T HAVE
A CURFEW SO WHY YOU KNOW WE HAVE
WE'VE ALREADY RECOGNIZE ALL THE
ALL THE LIMITATIONS ARE
REGULATED MARKET FACES. HOW CAN
LET'S LET'S LEAN IN AND SUPPORT
THE REGULATED MARKET- NOW I'M
GONNA HAVE TO CHEAT LOOK AT MY
PHONE SORRY. ANOTHER JUST THE
LAST EXAMPLE ON THAT IS THIS
FOOD SALES AND ANOTHER SORT OF
WORK AROUNDS BUT WHY NOT JUST
EXPLICITLY ALLOW FOR FOOD SALES
AT DISPENSARIES. CAN YOU IMAGINE
GOING TO A RESTAURANT AND NOT
BEING ABLE TO ORDER A GLASS OF
WINE. LIKE HOW LIMITING WITH
ALCOHOL INDUSTRY BE IF YOU CAN
GET IF YOU COULD ONLY GO TO A
LIQUOR STORE AND YOU CAN GO TO A
SHOW. YOU CAN GO TO A RESTAURANT
IN TO HAVE AN ALCOHOLIC BEVERAGE
SO I THINK THERE'S SOME LOW
HANGING FRUIT WHEN IT COMES TO
SUPPORTING THE REGULATED MARKET
I THINK FOLKS TALKED ABOUT IT
BEFORE TAXES. AS MAY BE MORE
COMPLEX RESOURCES ARE ALWAYS
PROBLEM MORE COMPLEX CHALLENGE
BUT I THINK THERE'S SOME LOOK.
LOWER- REGULATORY- AREAS TO
SUPPORT. AND THEN- TO LAST TO
LAST THEM- ISSUES THE HIGHLY IN
TERMS OF THE CONTEXT IS JUST
BURGLARIES AND CRIME
UNFORTUNATELY IT'S BEEN A HUGE
PROBLEM. SINCE THE COVER
NINETEEN PANDEMIC ANY RESOURCES
THE STATE CAN MAKE AVAILABLE TO
HELP- REGULATED OPERATORS SECURE
THEIR- FACILITIES AND DETER
BURGLARIES WOULD BE. MUCH
APPRECIATED AND THEN THE LAST
ONE- AS MUCH AS I LOVE MY
COLLEAGUE MR HILLS AND- AND I
WOULD LOVE LOCAL JURISDICTIONS
TO BE ABLE TO MATCH THE STATE.
THIS IS A- TREMENDOUSLY
DIFFICULT BUDGET CYCLE THAT
LOCAL GOVERNMENTS ARE ENTERING
INTO. AND GO BIZ IS PROPOSING A
RECALL A MATCHING FUNDS
REQUIREMENT- WHILE WE'RE
EMERGING FROM THE COVE IN
NINETEEN PANDEMIC WE'RE FACING A
HISTORIC BUDGET SHORTFALLS AT
THE LOCAL LEVEL. AND SO THE LESS
WE'RE GONNA BE ABLE TO MATCH THE
STATE THAT MEANS LESS FUNDING
WE'RE GONNA BE ABLE TO GIVE THE
EQUITY APPLICANTS. SO I'M HOPING
THAT GARBAGE CAN PAUSE OR
POSTPONE THAT MATCHING
REQUIREMENTS A VERY ROUGH.
MOMENTS IT TO IMPOSE A MATCHING
FUNDS REQUIREMENT. SO ON THANK
YOU SO MUCH FOR THE FORM HAPPY
TO ANSWER ANY QUESTIONS. AND I'M
HAPPY TO BE IN A STATE WHERE
THESE CONVERSATIONS ARE
HAPPENING. THANK YOU MISTER
MINER I HAVE ONE THING TO GREG'S
THEM. TALK ABOUT THE MATCHING
FUNDS. FIVE HUNDRED THOUSAND
DOLLARS. EVERY TIME AFTER THAT
YOUR LOCAL JURISDICTION OR THE
GENERAL FUND HAS TO MATCH THAT
SO IF YOU'RE- JURISDICTION DOES
NOT HAVE ANY MATCHING FUNDS THE
MAX YOU CAN GET. WILL. BE FIVE
HUNDRED K. THAT'S IT.
MINISTRATIONS LISTENING I'M SURE
. PROBABLY TRYING TO FIGURE OUT
WHAT THE REVENUE IS GOING TO BE
THIS YEAR BUT WE UNDERSTAND THE
ISSUE AND IT'S VERY IMPORTANT.
MAKE SURE THAT THESE SOCIAL
EQUITY PROGRAMS WORK AND. KEITH
THANK YOU FOR JOINING US. HERE
AND GET DAY THING SENATORS MY
NAME IS. I'M PRESIDENT. THANK
YOU. I'M PRESIDENT OF THE- AT
WORKER IN. OWNERS AND WORKERS AT
THE- AND PROUD OWNER OF
GUERRILLA ARE EX WELLNESS CO.
LOS ANGELES IS FIRST BLACK WOMAN
THEMSELVES EQUITY RETAILED. MY
TESTIMONY TODAY DRAWS FROM BOTH
PERSONAL EXPERIENCE AND MY
ENGAGEMENT WITH THOUSANDS OF
ASPIRANTS THOSE EQUITY
ENTREPRENEURS. COMMUNITY MEMBERS
AND ADVOCATES FROM CITIES ACROSS
CALIFORNIA INCLUDING OAKLAND SAN
FRANCISCO SACRAMENTO FRESNO LONG
BEACH SAN DIEGO INLAND EMPIRE
THE CITY AND COUNTY OF LOS
ANGELES. THERE FOR ISSUES THAT
ARE MOST PROBLEMATIC FOR US
RIGHT NOW. THE LACK OF AN
INDEPENDENT STATE WIDE SOCIAL
EQUITY DEFINITION. DIRECT ACCESS
TO CAPITAL LOOMING DEADLINE FOR
THE SOCIAL EQUITY PROVISIONAL
LICENSE AND NEED FOR TAX RELIEF.
I DID PROVIDE YOU ALL A READ
ALONG WITH ME SO YOU CAN
ACTUALLY SEE SOME EXAMPLES OF
WHAT I'M SPEAKING ABOUT. FOR
TODAY I EMPLOY THE COMMITTEE THE
FIRST RECOGNIZE THE NEED TO
ACKNOWLEDGE THE HISTORICAL
INJUSTICES OF THE WAR ON DRUGS
WHICH IS BUILT ON THE FOUNDATION
OF INTENTIONALLY RACIST
ENFORCEMENT POLICY. AND LOS
ANGELES BUT PEOPLE REPRESENT
ONLY 8% OF THE POPULATION BUT A
STAGGERING 40% OF THE ARREST. IN
OAKLAND AFRICAN AMERICANS
CONSTITUTED 70% OF THE ARRESTS
DESPITE MAKING UP ONLY 30% OF
THE POPULATION. AND EVEN RIGHT
HERE IN OUR STATE CAPITOL IN TWO
THOUSAND TWELVE TO TWO THOUSAND
SIXTEEN AFRICAN AMERICANS
REPRESENT 43% OF THEIR ARRESTS
WELL COMPRISING ONLY 15% OF
SACRAMENTO'S POPULATION. THE
COLLATERAL DAMAGE OF THE WAR ON
BLACK AND BROWN PEOPLE IS
REPREHENSIBLE. AND HAS BROKEN
APART FAMILIES AND COMMUNITIES.
SENATOR BRADFORD CANVAS EQUITY
ACT THE TWO THOUSAND EIGHTEEN
THE SUPPOSED TO PROVIDE FUNDING
FOR GRANTS FEE WAIVERS TECHNICAL
ASSISTANCE AN EXPEDITED
LICENSING PROCESS. HOWEVER THE
LACK OF AN INDEPENDENT STATE
WIDE SOCIAL EQUITY DEFINITION
THAT CLEARLY IDENTIFIES
DISPROPORTIONATELY IMPACTED
COMMUNITIES HAS MEANT. THAT THE
MAJORITY OF STATE FUNDED EQUITY
RESOURCES HAVE NOT REACH THEIR
INTENDED RECIPIENTS. IT IS NOT A
COINCIDENCE THAT JURISDICTION'S
WITH THE LEAST AMOUNT OF STATE
DOLLARS ALLOCATED PER CAPITA ARE
JURISDICTIONS WITH THE HIGHEST
BLACK POPULATION. WE WERE SOLD A
DREAM. BUT THE REALITY HAS
FALLEN SHORT. SENATORS IT IS
IMPERATIVE THAT WE ESTABLISH A
STATE WHY INDEPENDENT SOCIAL
EQUITY DEFINITION THAT CAN USE
DATA. USER DATA IT EXISTED TO
DETERMINE WHAT
DISPROPORTIONATELY IMPACTED
COMMUNITIES ARE. THANKS I WOULD
LIKE TO SHARE WITH YOU MY
PATHWAY. AND IF YOU TURN. BESIDE
THE FLAGS AND WAKIN. BUT THE MY
JOURNEY YOU CAN READ IT LATER-
BUT THE THIRTEEN HUNDRED AND
FORTY DAYS THAT IT TOOK ME TO
GET FROM. LICENSING AS A BLACK
WOMAN THE SOCIAL EQUITY PROGRAM
LOS ANGELES RESONATED WITH ME
DEEPLY THE HOPE OF CLOSING THE
WEALTH GAP IN ITS COMING FOR THE
DAMAGE TO THE WAR ON DRUGS GAVE
ME A GLIMMER OF HOPE. HOWEVER
THE ONLY BEGIN THE ROLLOUT OF
CANNABIS LICENSES IN TWO
THOUSAND EIGHTEEN WE QUICKLY
REALIZED THAT THE PROGRAM WAS
DESIGNED TO FILL A DOCTOR BROWN
SAID THERE WAS NO BUDGET NO
TECHNICAL ASSISTANCE NO
EDUCATIONAL ACCESS TO CAPITAL.
AND WHAT TRYING TO NAVIGATE LOS
ANGELES REGULAR REGULATORY
CHANGES AND DELAYS THE MOST
TROUBLESOME REQUIREMENT IS THAT
WE HAVE TO HAVE A PROPERTY THE
APPLY. IN MARCH OF TWO THOUSAND
EIGHTEEN I LEASE MY RETAIL
LOCATION ON CRENSHAW BOULEVARD
FOR FOURTEEN THOUSAND A MONTH
FOR A VACANT BUILDING NOW
REMEMBER THE QUALIFY FOR SOCIAL
EQUITY WE HAVE TO BE LOW INCOME
TO APPLY. WE WERE SET UP FOR
PREDATORY INVESTORS WOULD KNOW
ESTABLISH EQUITY SHARE
GUIDELINES IN THE REGULATIONS NO
ACCESS TO BANKING NO ACCESS TO
GRANT AND FEED DEFERRALS THAT
WERE PROMISE. WE WERE THROWN TO
THE WOLVES WITH NO LEGAL
ASSISTANTS ARE OVERSIGHT OF
SHARECROPPER AGREEMENT. AT THE
SOCIAL EQUITY COMMUNITY CAN
ANXIOUSLY AWAITED FOR THE
OPPORTUNITY FOR PRIORITY LICENSE
THAT WE KEEP HEARING ABOUT. THE
CITY COUNCIL ACQUIESCE TO THE
WELL CAPITALIZED EXISTING
MEDICAL MARIJUANA LOBBYING
EFFORTS AND RE ALLOCATE AT THE
TEN MILLION DOLLARS ORIGINALLY
BUDGETED. FOR THE LAUNCH OF THE
SOCIAL. EQUITY PROGRAM TO
ENFORCEMENT. MY AGAIN AT IS DEEP
PRIORITIZE ALL WHILE WE ARE
STILL PAYING RENT ONE EMPTY
BUILDING. DESPITE BUDGET
ALLOCATIONS FOR THE SOCIAL
EQUITY PROGRAM IF YOU LOOK AT
THE NEXT SLIDE YOU'LL SEE WHERE
SOME OF THIS MONEY WHEN. NO
GRANTS OR DIRECT SERVICES WERE
MADE. BY OCTOBER OF TWENTY
TWENTY THE CITY OF LOS ANGELES
RECEIVED OVER SEVEN POINT EIGHT
MILLION DOLLARS AND STATE
GRANTS. AND TOOK OVER SEVEN
HUNDRED DAYS. BEFORE SOCIAL
EQUITY APPLICANTS COULD APPLY
FOR A MAXIMUM OF THIRTY THREE
THOUSAND DOLLARS. HENNY'S BEAR
TO THE THREE HUNDRED AND FIFTY
THOUSAND DOLLARS IN RENT THAT
CARRILLO R. EXPEND HOLDING A
VACANT PROPERTY FOR TWO AND A
HALF YEARS. NOW MULTIPLY THAT
TIME THE HUNDREDS OF SOCIAL
EQUITY APPLICANTS WHO WERE IN MY
SAME POSITION. MILLIONS UPON
MILLIONS OF DOLLARS LAWSUIT A
BUREAUCRATIC DELAYS. SENATORS
YOU CAN HELP STOP THE BLEEDING.
I SOLUTION A SIMPLE. OBTAIN DATA
TO UNDERSTAND WHAT JURISDICTIONS
WERE MOST IMPACTED BY THE DRUG
WAR AND PRIORITIZE THESE
JURISDICTIONS FOR FUNDING
ADDITIONALLY PROVIDE SOCIAL
EQUITY OPERATE IT'S A MORE
STREAMLINED WAY OF RECEIVING
SUBSIDIES. INCLUDING TAX
REDUCTIONS IN ACCESS TO GRANTS
DIRECTLY FROM THE STATE. IT'S
SIMPLE. WE ARE EXCLUDED FROM
FIGHTING FOR AN ADVANTAGE. I'M
SORRY WE ARE EXHAUSTED. FROM
FIGHTING FOR AN ADVANTAGE THAT
WAS SUPPOSED TO BE A HARD. I
REMEMBER WHEN THE GOVERNMENT
ESTIMATES THE LIEUTENANT
GOVERNOR SAID HE SAID THIS
CANNABIS INDUSTRY WAS TO RIGHT
THE WRONGS OF THE WAR ON DRUGS.
EVERY SINGLE MEETING SOCIAL
EQUITY IS LAST ON THE AGENDA.
EVERY SINGLE CONVERSATION SOCIAL
EQUITY IS LESS EVERY BUDGET ITEM
SOCIAL EQUITY IS LESS AND WE ASK
THE SENATOR ASKED WHAT HAPPENED
WHY DOES THE SOCIAL EQUITY WORK.
BECAUSE WE'RE NOT SET UP FOR
SUCCESS. THERE ARE STILL OVER
TWO HUNDRED FULFILL EQUITY
RETAIL ON IS AN ALLEY ALONE THAT
HAVE WON THE LICENSING
OPPORTUNITY BUT ARE STRUGGLING
TO OPEN THEIR DOORS. I'M TALKING
TO ONE. MY STORY ISN'T AN
EXCEPTION IT IS A REALITY OF
BLACK AND BROWN SMALL CANNABIS
BUSINESS OWNERS ACROSS THE STATE
WHERE IS THE RECKON PENCE FOR
THOSE WHO MADE EVERY ATTEMPT TO
FOLLOW THE LETTER OF THE LAW.
BUT LOST IT ALL. WHERE IS THE
RECKON PENSABA THE HUNDREDS OF
SOCIAL EQUITY APPLICANTS WHO
FILED A LAWSUIT AGAINST THE CITY
OF LOS ANGELES FOR THE FLAWED
APPLICATION PROCESS. JUST TO
OPEN OUR DOORS. THERE'S ANOTHER
SIDE ON HERE FOR IF YOU DON'T
WANT TO SWITCH TO PROVISIONAL
LICENSING. THE SOCIAL EQUITY
COMMUNITY IN CALIFORNIA HAS BEEN
FACING A CRISIS FOR THE PAST
FIVE YEARS WE COME EVERY
MEETING. WE YELL OUT WE ASK FOR
HELP AND WE STILL KEEP SITTING
HERE SAYING THE EXACT SAME THING
I PULLED UP THESE NUMBERS FROM
THE PRESENTATION ITEM INTO THE
CALL ELLIE IN APRIL. OF TWENTY
TWENTY ONE. I'M STILL SAYING THE
SAME THING. MANY SOCIAL EQUITY
APPLICANTS ARE CURRENTLY
ENTANGLED IN LITIGATION WITH
PREDATORY INVESTORS BECAUSE BACK
IN TWO THOUSAND AND EIGHTEEN
WHEN IT WASN'T A PRO BONO
PROGRAM BACK IN TWO THOUSAND AND
NINETEEN TWENTY AND TWENTY ONE
WE WERE STUCK IN THE
SHARECROPPER DEALS AND NOW WE
CAN'T GET. OUT OF THEM WE'VE
LOST OUR PROPERTIES AND WE ARE
AN IMMENSE DEBT. OUR COMMUNITY
DESPERATELY NEEDS JESSICA MORE
TIME WHICH CAN BE ACHIEVED THE
PASSAGE SB FIFTY ONE. AND TWO
THOUSAND SEVENTEEN THE STATE
BEGAN ITS ONE PROVISIONAL
LICENSES THE GENERAL APPLICANTS
BEGIN BUSINESSES. START
OPERATIONS WITH THE LEAST
RESTRICTIVE REQUIREMENTS WHILE
WORKING TOWARD SOMETHING AND
THEN ANNUAL LICENSE. THAT'S THE
BENEFIT OF A PROVISIONAL LICENSE
WE CAN OPEN OUR DOORS TO MAKE
MONEY AND THEN START TO PAY FOR
THE SEEK WHEN ALL THE
PROFESSIONALS LOOK PROFESSIONALS
THAT YOU NEED A HIGHER. THIS
GAVE GENERAL APPLICANTS A FIVE
YEAR PERIOD OPERATE FULLY WELL
PREPARED TO MEET COMPLIANCE.
SOCIAL EQUITY APPLICANTS DESERVE
THE SAME FIVE YEAR RUN WAY AS
NON SOCIAL EQUITY RETAILERS HEAD
AS WELL PROVISIONAL LICENSES TO
OPEN THEIR BUSINESSES WHAT THE
FILM ON THE REQUIREMENT FOR
ANNUAL PROCESSING. THE DEADLINE
FOR SOCIAL EQUITY RETAIL
APPLICANTS RECEIVE. A
PROVISIONAL LICENSE ENDS THIS
MONTH. THERE ARE THREE. NEW
UPCOMING SOCIAL EQUITY RETAIL
LICENSING OPPORTUNITIES SLATED
TO OPEN ACROSS THE STATE
INCLUDING IN LONG BEACH THE AND
THE A GO. SAN JOSE L. A. COUNTY
AND EVEN MORE IN LA CITY.
ADDITIONAL BARRIERS TO ENTRY
WILL ONLY HINDER OUR PROGRESS
THE PASSAGE OF SENATE BILL FIFTY
ONE WILL ENABLE SOCIAL EQUITY
OPERATORS TO HOLD PROVISIONAL
LICENSE FOR UP TO FIVE YEARS
RETAIL ACTIVITIES WE NEED THIS
TO SURVIVE. AND LAST SENATOR
THIS IS THE MOST IMPORTANT FIGHT
I'M OPEN IT WITH YOU. BECAUSE I
BROUGHT A SNAPSHOT OF MY TAXES.
IN MY CURRENT STATE OF AFFAIRS
FROM WHEN I OPEN MY DOORS. THIS
IS A SNAPSHOT. FOR MY FIRST FIVE
MONTHS THE BUSINESS I NAIVELY
THOUGHT THAT THE BATTLE WAS OVER
ONCE I COMPLETED THE LICENSING
PROCESS AND OPENED OUR DOORS.
HOWEVER THE REALITY IS THERE'S
NO EXISTING LEGISLATION TO
PROVIDE SIGNIFICANT SIGNIFICANT
EXCISE TAX RELIEF OR CREDIT FOR
SOCIAL EQUITY. 3% IS NOT
SIGNIFICANT. WHICH GOES AGAINST
THE VERY ESSENCE OF SOCIAL
EQUITY IN THE CANNABIS INDUSTRY
HERE'S A SNAPSHOT OF THE FIRST
FIVE MONTHS OF OPERATION THE
SHED LIGHT ON THE PLIGHT OF EACH
AND EVERY START UP EQUITY
DISPENSARY LIKE A REAL OUR EGGS.
AND THE DEVASTATING IMPACT OF
THE EXORBITANT TAX BURDEN
IMPOSED ON THIS DESPITE
GENERATING A REMARKABLE TWO
MILLION DOLLARS IN GROSS
REVENUES DURING THE FIRST FIVE
MONTHS OF OPERATION ARE REVENUE
STREAMS HAVE BEEN. MERGED
MERCILESSLY FIFE AND OFF TO PAY
TAXES TO THE CITY AND STATE
EVERY MONTH AND EVERY THREE
MONTHS RESPECTIVELY THIS IS IN
TURN LEFT ALREADY UNDER
CAPITALIZE SOCIAL EQUITY
OPERATORS AND I STARTED MY
BUSINESS WITH ALL OF THE
EXPENSES THAT IT SET TO OPEN MY
DOORS WITH SEVEN THOUSAND
DOLLARS. WE ARE UNDER CAPITALIZE
. FOR GUERRILLA RF THIS
TRANSLATE INTO PAYING A
STAGGERING FIVE HUNDRED AND
THIRTY ONE THOUSAND DOLLARS IN
TAXES. A COUPLE WITH THE
EXCESSIVE OPERATING EXPENSES
REQUIRED TO COMPLY WITH
REGULATIONS SUCH AS INFLATED
CANNABIS RENT PRICES SECURITY
INSURANCE COSTS BONDS OPERATE
EXPANSION EXPENSES REACHED A
WHOPPING ONE POINT EIGHT MILLION
DOLLARS. AS EQUITY OPERATE AS WE
UNDERSTAND THE GRAVITY OF OUR
RESPONSIBILITY NOT COMMITTED TO
UTILIZING THIS HARD ONE
OPPORTUNITY TO CREATE A POSITIVE
IMPACT IN OUR COMMUNITIES I'VE
CREATED OVER THIRTY JOBS FOR
SOCIAL EQUITY WORKERS. AND A
SIGNIFICANT REDUCTION IN TAX
WOULD ALLOW ME TO CREATE EVEN
MORE LIVING WAGE JOBS AND
PROVIDE HEALTH BENEFITS TO MY
TEAM MEMBERS. IT WOULD ALSO GIVE
US A CHANCE TO REINVEST IN THE
GROWTH OF OUR BUSINESS EVERY
UNDER EVERY OTHER NEW BUSINESS
THAT'S WHAT YOU DO WITH YOUR
MONEY YOU INVESTED BACK IN SO
YOU CAN GROW WE'RE NOT ABLE TO
DO THAT. WE GOT TO PAY THESE
TAXES EVERY MONTH AND EVERY
QUARTER. SO I ASKED. HOWEVER
WITH THE TEXAN OPERATING
EXPENSES YOU SEE A TOTAL UP TO
TWO POINT FOUR MILLION DOLLARS.
WHICH IS WELL OVER THE TWO
MILLION DOLLARS THAT I MADE IN
REVENUE. WE ASK OURSELVES IS
THIS EQUITY IT IS NOTHING SHORT
OF A MISCARRIAGE AND THAT OF
JUSTICE. FIVE EMPLOYER YOU
ESTEEM SENATORS TO CHAMPION
SIGNIFICANT TAX RELIEF FOR
SOCIAL EQUITY RETAILERS WE URGE
YOU TO DECLARE A STATE OF
EMERGENCY FOR DISPROPORTIONATELY
IMPACTED BLACK AND BROWN SMALL
BUSINESS OWNERS ON WORKERS. AND
FORM A TASK FORCE. THAT WILL
ALLOW US THE OPPORTUNITY TO
SHARE OUR EXPERIENCES OUR NEEDS.
AND COLLECTIVELY FORM SOLUTIONS.
WOULDN'T HURT LAST. EVERY SINGLE
MEETING THEN I GO TO ALL OF THEM
SOCIAL EQUITY IS ALWAYS THE LAST
ON THE AGENDA. WE WANT TO BE
PRIORITIZE WE WANT TO
CONTRIBUTE. WE ARE NOT LOOKING
FOR A HAND OUT. BUT WE ARE
LOOKING FOR RECKON PENCE FOR
WHAT OUR FAMILIES AND OUR
CHILDREN AND OUR COMMUNITY HAS
SUFFERED. BY THANK YOU FOR THIS
OPPORTUNITY TO SHARE WELL THANK
YOU FOR AN EXCELLENT
PRESENTATION WE'RE NOT FINISHED
WITH THIS PANEL I HOPE YOU WILL.
STAY AROUND FOR QUESTIONS BY MY
COLLEAGUES AND I HOPE MY
COLLEAGUES WILL COME. AFTER
SESSION BACK TO HAVE A FURTHER
CONVERSATION WITH YOU ON THIS
VERY IMPORTANT TOPIC. IT'S
TENDED TO ONE FIFTY PM
UNFORTUNATELY MY COLLEAGUES AND
I HAVE TO BE ON THE- SENATE
FLOOR IN TEN MINUTES. WE WILL
RECESS WE WILL RECONVENE FIFTEEN
MINUTES AFTER SENATE. SESSION
CONCLUDES TODAY TO RESUME WITH
THIS PANEL. OF QUESTIONS BY MY
COLLEAGUES AND THEN THE LAST
PANEL OF THE DAY. FOLLOWED BY
QUESTIONS IN PUBLIC COMMENT SO
WE'RE IN RECESS AT ONE FIFTY PM
WHAT. DO THEY KNOW WHEN THE.
THREE TWENTY FIVE PM. I'LL ASK
THE PANEL NUMBER FOR MEMBERS TO
COME BACK UP TO- AND TO THE
TABLE. I MEAN PANELS FOR EQUITY
. AND INCLUSION WITHIN THE
REGULATED MARKETPLACE. AND FOR
PURPOSES OF THOSE INDIVIDUALS
WHO WISH TO PROVIDE PUBLIC
COMMENT WHICH WE WILL DO AFTER
THE NEXT PANEL AND QUESTIONS OF
THAT PANEL BY MEMBERS FROM THE
DYESS. IF YOU WISH TO PROVIDE
PUBLIC COMMENT VIA THE
TELECONFERENCE OR WAS THE
PARTICIPANT TOLL FREE NUMBER IS
. 1-877-226-8216 AND THE ACCESS
CODE REMAINS. 621-716-1621 SEVEN
ONE. SIX ONE. AND AT THIS POINT
. I WILL. TURN THE PROCEEDINGS
OVER TO MY COLLEAGUES ON THE
DÍAS FOR QUESTIONS OF PANEL
MEMBERS ON MY PANEL NUMBER FOUR
CURRENTLY AT YOUR PANEL NUMBER
THREE. WHO WANTS TO GO FIRST.
HAS CENTER SMALLWOOD CUEVAS SIX
LIKE THE NONE WELL THERE YOU GO
I'M HAPPY TO GO FIRST AND I
FIRST I WANT TO APOLOGIZE I
MISSED THE TESTIMONY ALTHOUGH I
WAS WATCHING IT IN BETWEEN MY
OTHER MEETINGS BUT JUST WANT TO
SAY HOW EXCITED FOR THIS PANEL
BECAUSE FOR ME THIS IS THE
REASON. VOTERS SUPPORTED PROP
SIXTY FOUR IS THAT THEY WANTED
TO SEE A TRANSFORMATION FROM THE
CARNAGE OF THE WAR ON DRUGS FOR
COMMUNITIES OF COLOR- AND TO SEE
EQUITY- REALIZED AND- THE L. A.
TIMES THE- IN DEPTH DIVE INTO
THE SOCIAL EQUITY- PROGRAMS IN
CALIFORNIA IN USING LOS ANGELES
AS AN ENTRY POINT- AND YOU KNOW
THE HEADLINE SAID CALIFORNIA
PROMISED SOCIAL EQUITY AFTER POT
LEGALIZATION. THOSE HIT HARDEST
FEEL BETRAYED IS THE HEADLINE OF
THAT A REPORT WHICH GOES ON TO
TALK ABOUT THE DEEP INEQUITIES
IN ACCESSING THE PROGRAM- AND
PARTICULARLY THE STARLING
STATISTICS THAT ONLY A SMALL
FRACTION LESS THAN 80% OF ALL
PEOPLE GRANTED CANNABIS
LICENSES. THROUGH THE END OF
TWENTY TWENTY- REACH THOSE
COMMUNITIES THAT- ARE THE
HARDEST HIT- BY THE WAR ON DRUGS
AND THE WAR ON POVERTY- SO. I'M
SORRY THE WAR ON POOR
COMMUNITIES OF COLOR I'M SO MY
QUESTION TO THIS PANEL IS REALLY
WHAT WHAT IS IT THAT THE STATE
LEGISLATURE CAN DO TO.
ACCELERATE EQUITY IN THE SPACE-
BOTH FROM THE- ACCESS- OF
LICENSING- BUT ALSO IN TERMS OF
ACCESS TO THE BROADER COMMUNITY
THAT HAS BEEN IMPACTED BY- THE
CRIMINALIZATION OF OUR
COMMUNITIES RELATED- TO
MARIJUANA- FOR DECADES. AND I
WANTED TO- WE TALKED EARLIER IN
THE EARLIER PANELS I KNOW MANY
OF YOU HEARD THOSE PANELS
THERE'S A LOT BEING DONE TO SORT
OF ADDRESS SOME OF THE
TECHNICAL- CHALLENGES OF THE
LOCAL AND STATE POLICIES AND TO-
WORK THROUGH COLLABORATION TO
BETTER ALIGN THE POLICIES BUT IS
THAT REALLY THE CHALLENGE THAT
WE ARE FACING- IS IT REALLY
ABOUT SYKORA- IS IT REALLY
ABOUT- THE CONTRADICTIONS IN THE
POLICY OR IS THERE SOMETHING
WE'RE MISSING AND WHAT DO WE
NEED TO REALLY. UP PRIORITIZE
FROM FROM THE LEGISLATURE POINT
OF VIEW. AND I WILL I DO IT I
WILL ASK ANYONE WHO WANTS TO
RESPOND TO THAT TO PLEASE
RESPOND- BUT I WILL START WITH
THE COMMUNITY LEADERS WHO ARE IN
THE SPACE FIRST. I'M I WOULD SAY
WELL OUR BIGGEST CHALLENGE
VERSUS OVERSIGHT- WE GO TOO MANY
YEARS FOR THESE OPPORTUNITIES I
HAPPEN- EVERY TIME WHERE SOCIAL
EQUITY COMMUNITY MEMBERS GET UP
TO SPEAK IT'S ON A ONE MINUTE OR
TWO MINUTES TIME CLOCK. WE DON'T
HAVE ACCESS TO CAPITAL FOR
LOBBYISTS FIVE PEOPLE ARE NOT
BEHIND THE SCENES. IN L.
EFFECTUATE IN THE POLICIES BY
THE TIME WE GET IN FRONT OF
PUBLIC COMMENT IT'S TOO LATE AND
THE LAWS HAVE BEEN SET. THE WELL
RESOURCE CANNABIS COMPANIES ARE
SLOWLY DISMANTLING THE INTENT OF
THE SOCIAL EQUITY PROGRAM WE SAW
IN LA IS GOOD IS CAT PACKERS YOU
KNOW DESIRES WHERE FOR AN
EQUITABLE PROGRAM- IT COULDN'T
CHANGE THE FACT THAT YOU NEED AT
THE CITY COUNCIL'S VOTE. AND
THERE WAS NO POLITICAL WILL WE
SEE THAT NOW AND I'M GLAD TO
HEAR YOU BE SUCH A CHAMPION FOR
EQUITY BUT FAR TOO OFTEN SENATOR
BRADFORD IS THE ONLY PERSON IN
THE ROOM. SPEAKING LOUD ABOUT
OUR ISSUES. AND UNTIL THERE'S
ENOUGH POLITICAL WILL TO
UNDERSTAND THAT WE NEED TO BE
PRIORITIZED. THAT BEFORE THERE
IS A TRULY A REAL CANNABIS
INDUSTRY YOU HAVE TO BE ABLE TO
SHOW A PATHWAY FOR THOSE THAT
HAVE BEEN DESTROYED BY THIS AND
SO WHEN YOU TALK ABOUT THE LIST
OF MARKET. THEY HAVE NO DESIRE
TO CONFORM TO COME INTO THIS
MARKET BECAUSE THEY SIGNAL TO
PATHWAY. THEY SEE THOSE OF US
THAT ARE FROM THE STREET DO
NOTHING BUT SUFFER AND WAIT FOR
TIME AND TIME. AND SO OVERSIGHT
IS REQUIRED I DON'T SEE HOW YOU
CAN GIVE THESE MILLIONS OF
DOLLARS. AND NOT DO NEEDS
ASSESSMENTS FOR THE PEOPLE WHO
ARE IMPLEMENTING. OR HAVING
ACCESS TO THESE PROGRAMS. THE
FULL PANEL SHOULD BE MADE UP OF
SOCIAL EQUITY OPERATORS FROM
ACROSS THE STATE. THEN ASK THOSE
QUESTIONS. THAT'S HOW YOU HOLD
ACCOUNT AND THAT'S THE HOLDEN
THE MINT MUNICIPALITIES
ACCOUNTABLE. AND THAT'S ALL YOU
ALSO HOLD YOUR OWN PEOPLE
ACCOUNTABLE FOR WHAT THEY'RE
DOING WITH THE MONEY AND THEY
ONLY ACCEPT REPORTS AND THEY
DON'T HEAR WHAT IS ACTUALLY
HAPPENING. I TALKED TO THE L. A.
BAR ASSOCIATION ABOUT TWO MONTHS
AGO AND I ASKED THEM AND I HAD
TO ASK THEM FOR DIFFERENT TIMES.
HOW MANY ACTUAL SOCIAL EQUITY
APPLICANTS HAVE RECEIVED PRO
BONO LAWYERS THE ANSWER WAS.
THREE SO MAYBE THINGS ARE
CHANGING MORE FUNDING IS
AVAILABLE BUT I CAN TELL YOU
THIS THIRTY HOURS. A PRO BONO
SERVICES WHEN YOU HAVE TO
NEGOTIATE A CONTRACT WITH THESE
WELLS RESOURCE. INVESTORS IS NOT
ENOUGH. I GOT HALFWAY THROUGH MY
NEGOTIATIONS FROM OPERATING
AGREEMENT AND THEN HAD TO START
PAYING MONEY. AND WAS LEFT WITH
THE BILL. I'M NOT A FINISHED
CONTRACT. YOU CANNOT TELL ME
THAT YOU'RE WANTING
UNDERPRIVILEGED PEOPLE FROM THE
COMMUNITIES. AND THINK THAT
ONLINE LEARNING. THERE'S A MODE
OF LEARNING. FOR OUR PEOPLE. AND
IT'S NOT WEBINARS. AND IT'S NOT
ONLINE LEARNING WE NEED HANDS ON
PRACTICAL APPLICATION ABOUT HOW
WE LEARNED TO OPERATE. BECAUSE
WHAT YOU LEARNED IN THE WEBINARS
YOU CAN'T LEARN IN IN IN YOUR
OPERATION WE GONNA OPERATE YOUR
BUSINESSES. AND SO MANY OTHER
SENATOR ASKED TODAY WHY IS NOT
LADY OPEN BECAUSE IT NO SUPPORT
. YOU CAN OFFER THIS OPPORTUNITY
AND THEN GIVE ME FIFTY FIVE
THOUSAND DOLLARS. I'M A DEAL
WITH IT. WHEN I COST ME A
MILLION DOLLARS OPEN MY
BUSINESS. AND SO YOU'RE SETTING
US UP TO FAIL BY NOT
PRIORITIZING AS- GIVING FIFTEEN
MILLION DOLLARS. AND THAT'S
SEVEN A GUN LOBBY ABOUT THE
SIMPLEST. FOR AN ANNUAL BUDGET
FOR ALL OF THESE JURISDICTIONS
AND NOW YOU HAVE ALL THESE OTHER
COMMUNITIES THAT ARE OPENING UP.
COACHELLA ALL KIND OF PLACES
THAT I DON'T FEEL THAT IT WAS
DISPROPORTIONATE ARRESTS. AND
THAT'S THE KEY. THE JUST WHERE
PEOPLE WERE ARRESTED FOR
CANNABIS IS THE DISPROPORTIONATE
ALITY AND WE START LOOKING AT
THE STATISTICS AND COLLECT THE
DATA. NOW WE CAN START SOLVING
THE PROBLEMS AND RIGHT NOW
NOBODY WANTS TO SOLVE THIS
PROBLEM AND THAT'S WHAT WE'RE
HOPING THE CHANGE TODAY. ANYONE
ELSE. LOCATOR HE'S VERY ELOQUENT
. I THINK ANOTHER.
ESPECTACULARES STATE MIGHT BE
ABLE TO WORK ON IS TO CREATE
SOME TYPE OF STATE BANKING YOU
HAVE PROVIDE STATE BANKING
SERVICES FOR THE CANNABIS
INDUSTRY. NOT BEING ABLE TO
BANKING GET THE YOU KNOW
TRADITIONAL LOANS THAT ANY SMALL
BUSINESS CAN YOU KNOW. JUST
ASSUME THEY CAN GO IN AND APPLY
FOR A LOAN. THAT'S NOT AVAILABLE
TO EQUITY ENTREPRENEURS. AND
THAT OF COURSE PERPETUATES THIS
WHOLE PREDATORY INVESTOR
INDUSTRY SO IF THERE WAS SOME
STATE BANKING WE ALL UNDERSTAND
IT IS STILL SCHEDULE ONE IS
FEDERALLY ILLEGAL BUT WE COULD
DO SOMETHING AT THE STATE LEVEL.
IT HAS BEEN STATE BANKING FOR
ACT EQUITY ENTREPRENEURS I THINK
THAT WOULD GO A LONG WAY WAS
SOON SUMIYOSHI NEED A BANK. AS
OPPOSED TO A LOAN PROGRAM TO
PROVIDE CAPITAL CORRECT WELL
THERE WAS A LOAN PROGRAM FOR THE
STATE THAT WOULD BE FINE I'M
JUST THINKING IN TERMS OF YOU
KNOW THE PRIVATE SECTOR. IN THE
STATE CAN'T DO EVERYTHING AND AS
WE KNOW SO IF THERE COULD BE
JUST SOME REGULATORY BANKING WE
HAVE TO NORMALIZE CANNABIS. SO
WHY CAN'T THERE BE STATE BANKING
FOR CANNABIS- ALSO. AS WE ALL
KNOW COMMERCIAL REAL ESTATE IS
INSANE IN LOS ANGELES. AND I
WOULD LIKE TO SEE AND I DON'T
KNOW IF THAT'S EVEN POSSIBLE
BECAUSE THESE ARE ALL YOU KNOW
PRIVATE OWNERS BUT TO PUT SOME
TYPE OF. CONTROLS AND OVERSIGHT
ON THE COMMERCIAL REAL ESTATE
INDUSTRY LIKE THEY DID BANKING I
MEAN. ANYTHING THAT'S YOU KNOW.
TEN TIMES EIGHT TIMES THE COST
IT WAS TWO YEARS AGO THOSE WHO
USE A RIG. PRICES AND SO THERE
NEEDS TO BE OVERSIGHT THEY'RE I
MEAN THEY'RE JUST GALGIANI- YOU
KNOW TWO THOUSAND SQUARE FEET
MIGHT HAVE BEEN. FORTY FIVE
HUNDRED DOLLARS NOW IT'S TWENTY
K. A MONTH. WHO CAN SUSTAIN THAT
ANY BUSINESS ACROSS THE BOARD
CAN STAY NEXT TO STAY IN THAT AS
A START UP COMPANY. AND SO THE
BANKING AND THE COMMERCIAL REAL
ESTATE. THERE NEEDS TO BE
OVERSIGHT THERE AND- MORE
PROGRESSIVE RULES THAT. CONTROL
THAT MARKET. I'LL JUST. BE BACK
ON WHEN YOU GUYS ARE SAYING I
AM. I AGREE WITH ALL THOSE
COMMENTS I DO THINK HEARING
DIRECTLY FROM EQUITY OPERATORS
ARE IN DIRECT DIRECTLY FROM
OPERATORS IS CRITICAL. AS IS AS
AMAZING AS BUREAUCRATS CAN BE WE
ARE NOT ON THE GROUND. WERE NOT
ACTUALLY EXPERIENCING- THESE
CHALLENGES BUT FROM
CONVERSATIONS WITH OPERATORS AT
I'M GONNA GONNA REITERATE SOME
OF WHAT I MENTIONED BEFORE. IN
TERMS OF LARGER STRATEGIES I
THINK IT'S LOWERING BARRIERS OF
ENTRY INTO THE MARKET AN
INTERESTING THE BIGGEST BARRIERS
ACCESS TO CAPITAL ACCESS TO REAL
ESTATE- THE STATE HAS BEEN
AMAZING. AT TIMES EVEN AND YOU
KNOW A LEADER AND SUPPORTING-
EQUITY IN THE CAMPUS SPACE ON A
NATIONAL LEVEL. BUT WHEN YOU DO
ONLY ALLOCATE FIFTEEN MILLION
DOLLARS STATEWIDE WERE ANYMORE
MORE JURISDICTIONS OR SLICE OF
THE PIE. AND DINNER IS NOT JUST
LESS MONEY BUT IT'S LIKE LESS
MONEY WE CAN WEEKEND.
STRATEGICALLY TARGET I THINK
LARGER- BUCKETS THAT WE CAN
TARGET TOWARDS THINGS LIKE REAL
ESTATE- AGAIN WE'VE WE WHEN
WE'VE HAD MORE FUNDS HAVE BEEN
ABLE. TO HELP THE TEAM OF EQUITY
APPLICANTS WERE GONNA DO IT FOR
A SECOND TIME NOW PURCHASING A
PROPERTY THAT'S GONNA BENEFIT
MALL MULTIPLEX WE APPLICANTS AND
IT'S GONNA BE A FREE SPACE. IN
PERPETUITY SO I THINK JUST BEING
A LITTLE BIT MORE STRATEGIC-
WILL ALLOW LOCAL JURISDICTIONS
IN EQUITY OPERATORS TO NAVIGATE
ALL THESE CHALLENGES THAT FOLKS
HAVE TALKED ABOUT TODAY. THE
FOLLOW UP CAN YOU SHARE IN TERMS
OF DEMOGRAPHICS OF THE SOCIAL
EQUITY OWNERS- VERSES THAT THE-
TRADITIONAL- MARIJUANA- I'M
SORRY CANNABIS. INDUSTRY LEADERS
WHAT DOES THAT LOOK LIKE IN
TERMS OF RACIAL DEMOGRAPHICS. SO
IN TERMS OF SOCIAL EQUITY WHAT
IS THE RACIAL DEMOGRAPHICS THERE
IN TERMS OF CANNABIS. INDUSTRY
LICENSE HOLDERS WHAT DO THE
DEMOGRAPHICS LOOK LIKE THEY'RE
RACIALLY. ANYBODY HAVE THAT.
DATA. OKAY WELL JUST SPEAKING
FOR THE CITY OF OAKLAND WE DON'T
HAVE AN I KNOW THIS IS MAYBE WE
CAN SAY IS THAT WE DON'T HAVE
PERFECT DATA AND FORTUNE WE HAVE
BETTER WE HAVE DATA ON- OUR
EQUITY APPLICANTS THAT WE
PROVIDE. SERVICES TO BUT WE
HAVEN'T- BEEN COLLECTING AS MUCH
DATA AS WE SHOULD FROM THE WHOLE
INDUSTRY WHICH IS SORT OF AS AN
ANECDOTE 8080% OF ALL OF OUR
LOAN AND GRANT RECIPIENTS IN OUR
EQUITY PROGRAM ARE AFRICAN
AMERICAN- PRIOR TO THE LAUNCH OF
AN EQUITY PROGRAM WE HAD EIGHT
DISPENSARIES IN OAKLAND IN ONLY
ONE WAS OWNED BY AN AFRICAN
AMERICAN. SO JUST AS A SENSE OF
WHERE THINGS WERE AND WHERE
THINGS HAVE SHIFTED- BUT WE NEED
TO DO A BETTER JOB OF TRACKING
DATA SO WE CAN THEM EVALUATE
WHO'S BENEFITING WHO'S NOT. IS
THE STATE WHO TRACKS THAT DATA
WHO'S RESPONSIBLE FOR TRACKING
THAT DATA THEN SURE THANKS FOR
THE QUESTION SO CURRENTLY THE
DEPARTMENT OF CANNABIS CONTROL
DOES NOT HAVE A DEMOGRAPHIC
QUESTIONNAIRE AS A PART OF ITS
LICENSING SYSTEM SO AS-
LICENSEES ARE MOVING THROUGH THE
PROCESS WERE NOT CURRENTLY
COLLECTING THE INFORMATION. THE
GOVERNOR'S OFFICE OF BUSINESS
AND ECONOMIC DEVELOPMENT AS A
PART OF THEIR- GROW. TO LOCAL
JURISDICTIONS AS REQUIRED TO PUT
OUT A REPORT TO THE LEGISLATURE
AND WHICH THEY'RE COLLECTING
DEMOGRAPHIC INFORMATION FROM
PARTICIPANTS- BUT I THINK TO
GREG'S POINT. IT IS A SITUATION
IN WHICH THE INFORMATION IS
VOLUNTARY. SO PEOPLE ARE SELF
SELECTING WITH THE PROVIDE THE
INFORMATION SO WE DO NOT HAVE A
LOT OF GOOD INFORMATION
ASSOCIATED WITH THE DEMOGRAPHIC-
CAN ELIGIBILITY FOR PROGRAM
PARTICIPANTS AT LEAST. AS A PART
OF THE CURRENT LICENSING
STRUCTURE. YEAH I SEE THAT IS
PROBLEMATIC BECAUSE GOING BACK
TO WHERE I STARTED WHY THERE WAS
THIS OVERWHELMING SUPPORT FOLKS
RECOGNIZING THE IMPACT OF THE
WAR ON DRUGS AND THE WAR ON THE
POOR AND PARTICULARLY THE
DISPROPORTIONATE IMPACT- THAT'S
HELD IN. IN BLACK COMMUNITIES IN
PARTICULAR WHERE YOU KNOW IN L.
A. COUNTY WE ARE EIGHT. PERCENT
9% OF THE POPULATION 4550% OF
THE- COUNTY JAILS AS AS BLACK
RESIDENTS OF L. A. COUNTY AND SO
I JUST. TO ME IT WOULD BE- PART
OF THE FOUNDATIONAL. EVALUATION
AND MEASUREMENT AND OVERSIGHT OF
THIS PROCESS IS TO SEE THAT.
WHEN YOU LOOK AT THE
DISPROPORTIONATE IMPACT OF THAT
CRIMINAL JUSTICE SYSTEM ON BLACK
COMMUNITIES THAT WE WOULD SEE.
THE SAME SORT OF MEASUREMENT OF
SUCCESS- TO- THE POINT ABOUT THE
EIGHTY APPLICANTS IN OAKLAND AND
NOW ONE. OWNER WE CAN JUDGE THE
SUCCESS BY WHO'S GETTING ACCESS
AND WE WON'T BE ABLE TO DO THAT
UNLESS WE ARE. VERY CLOSELY
MONITORING AND TRACKING DATA AT
THE LOCAL COUNTY AND STATE LEVEL
SO THAT'S SOMETHING THAT- I
WOULD LOVE TO SEE THAT DATA WITH
WE'LL GET BACK TO MY OFFICE JUST
TO SEE WHERE THAT DATA IS HELD
AND HOW. WE MIGHT BE ABLE TO
START TO EVALUATE- THE SUCCESS
OF THIS. ENTERPRISE OVERALL- IS
A MEASURING WHO- BENEFITS INK IS
TO PARTICIPATE IN IT SO- IF WE
COULD GET THAT AND THEN. I DON'T
KNOW IF WE- IS THAT A BILL
THAT'S NECESSARY BLOOD TO
LEGISLATION OR IS THAT A
REGULATORY PROCESS THAT CAN
HAPPEN WITHIN THE DEPARTMENT TO
FIX THAT. OVERSIGHT YEAH THANK
YOU SO I THINK SO THIS QUESTION
IS NUANCED SO I WANTED TO- KIND
OF SPEAK TO SOME OF THE NEW ONES
AND IT. WE CURRENTLY COLLECT
DATA THAT WE TRACK FOR FOLKS WHO
ARE ELIGIBLE FOR OUR FEW
DEFERRAL AND WAIVER PROGRAM.
THAT OUTSIDE DATA DOES NOT
INCLUDE RACE HER SAY THAT IS
SOMETHING THAT WE ARE LOOKING AT
WHEN WE- THINK THAT HE SAID IT'S
IMPORTANT AND CRITICAL TO
INCLUDE HERE IS WHEN WE-
CONSOLIDATED THAT APARTMENT
WE'RE OPERATING OUT OF THREE
LICENSING SYSTEMS CURRENTLY-
JUST TO MAKE IT FOUR EAST MOVES
TRANSITION- AND IN THE MEANTIME
HOW TO IMPLEMENT THESE PROGRAMS
SO THIS IS SOMETHING WE ARE
DEFINITELY WE HAVE OUR EYE ON
LATE WHEN WE HAVE A CONSOLIDATED
ONE SYSTEM TO START TRACKING
SOME OF THIS INFORMATION. IN THE
MEANTIME WE ARE TRYING TO TRACK
INFORMATION OF BASED ON THE
PROGRAM REQUIREMENTS THAT ARE
SET CURRENTLY- BUT HEAR YOU LOUD
AND CLEAR I JUST WANT TO
ACKNOWLEDGE THAT WE HEAR YOU AND
IT'S SOMETHING THAT WE CAN TAKE
BACK AND RESPOND TO. YOUR OFFICE
ABOUT WHAT WE CAN DO IN THE
MEANTIME. I'M I WANT TO DOUBLE
BACK ON A COMMENT MADE EARLIER
ABOUT AND BANKING R. A. STATE
BANK AND THE IDEA OF A STATE
BANK WE MOVE ON TO THE BANKING
PIECE I JUST WANNA CLOSE CLOSE
MY THOUGHT PROCESS BECAUSE I. IT
THE IN THE MEAN TIME AND THEN
YOU SAID THAT THERE IS ACTUALLY
GOING TO BE A PROCESS BY WHICH
THE STATE IS GOING TO DEVELOP. A
TRACKING SYSTEM ACROSS ALL OF
THE DIFFERENT ENTRY POINTS FOR
SERVICE FOR DIFFERENT TYPES OF
LICENSES THAT THE DEPARTMENT
CURRENTLY ISSUES OKAY NO I JUST
WANTED TO CLARIFY IS THERE A
TIMELINE ON WIND THAT IS
EXPECTED. AND I UNDERSTAND THE
TRIAGE AND WE ABSOLUTELY NEED TO
TRIAGE NOW AND BEGIN TO.
EVALUATE THE EFFECTIVENESS BUT
IS THERE A SENSE OF WHEN THIS.
INFRASTRUCTURE OF TRACKING AND
MONITORING AND OVERSIGHT AND
EVALUATION WILL BE IN PLACE AS
PART OF THE UMBRELLA I DO NOT
HAVE A TIME LINE THAT I CAN GIVE
TO YOU RIGHT NOW WE JUST
RECEIVED FUNDING TO START THAT
ASSESSMENT FOR A LARGER-
LICENSING SYSTEM FOR A
COMPREHENSIVE LICENSING SYSTEM-
THAT BUDGET CAME INTO EFFECT
THIS YEAR TO START THAT
ASSESSMENT. THAT'S IMPORTANT AND
I WANT TO CLOSE BY JUST WE ALL
HAVE SO MANY DIFFERENT
DEFINITIONS OF EQUITY AND I AND
WE TALKED ABOUT THE NEED TO
DEFINE THAT BOTH. FUNDAMENTALLY
FOR ME IS LOOKING AT DISPARITY
THAT EQUITY IS ABOUT THE
DISPARITY AND IF WE AREN'T ABLE
TO TAKE OUR POINT OF DEPARTURE
OF DISPARITY WHICH IS HOW. HAVE
THESE LAWS DISPROPORTIONATELY
IMPACTED COMMUNITIES OF COLOR
BLACK- LATIN NECKS- IMMIGRANT
COMMUNITIES. THEN WE REALLY
DON'T HAVE THE TOOLS TO EVALUATE
THE OVERALL SUCCESS OF THE
PROGRAM AND SO. FOR ME THAT
STARTING POINT DATA. IS RELEVANT
TO WHERE WE WANT TO END UP IN
TERMS OF THE IMPACT OF THIS-
EMERGING SECTOR- BEING A BENEFIT
IN REPAIRING THE HARM COMMUNITY
SO I I'M- A- IN. THE FOLLOW UP
HAVING A SENSE OF TIMELINE. FOR
WHEN THAT INFRASTRUCTURE WILL BE
IN PLACE WILL BE REALLY
IMPORTANT- FOR A FROM MY OFFICE
SO THANK YOU. YEAH AND I THINK
IT'S IMPORTANT ALSO A POINT YOU
MADE THAT WAS REALLY CRITICAL
WHICH IS- AT THE LOCAL LEVEL
RIGHT BECAUSE THESE DISPARITIES
LOOKED DIFFERENT FROM LOCALITY
TO LOCALITY. VERSUS WHAT WE ARE
TRACKING AT THE DEPARTMENT LEVEL
WHICH IS THOSE LICENSEES THAT
COME TO THE DEPARTMENT. TO BE
LICENSED ARMS SO THE LOCALITIES
WILL BE ABLE TO BETTER REFLECT
WITH THEIR COMMUNITIES LOOK LIKE
AND THOSE AT THESE POINTS THAT
YOU BROUGHT UP YOU KNOW WHAT
DOES THAT DISPARITY LOOK LIKE-
IN THAT COMMUNITY SO I THINK
THAT'S A REALLY CRITICAL POINT
YOU RAISE I APPRECIATE THAT BUT
THE LION'S SHARE THE FUNDING
COMES FROM THE STATE. YEAH AND
SO AS WE ARE MAKING THE REALLY
TOUGH DECISIONS MMHM ESPECIALLY
NOW THAT WE'RE MOVING INTO A
DEFICIT BECAUSE NOW THE OF
SURPLUS YEARS ARE BEHIND US SO
WE DON'T THERE'S NOTHING WE CAN
DO TO GO BACK AND REMEDY. THAT
BUT MOVING FORWARD THIS IS WHERE
THE RESOURCE IS STARTING TO
LOCAL ENTITIES WOULD NOT HAVE
ANY. SUPPORT IF IT'S NOT FOR
WHAT THE STATE IS GOING TO
MANDATE AND PROVIDE SO I DO
BELIEVE THAT IT BEGINS WITH US.
WE HAVE THE OPPORTUNITY TO LOOK
GLOBALLY ACROSS ALL OF THE LOCAL
JURISDICTIONS. A AND TO REALLY
BE ABLE TO TRACK AND MONITOR AND
LET'S BE REAL THERE ARE SOME
LOCAL LOCALITIES THAT MIGHT NOT
WANT TO LOOK AT RACE AS A
FACTOR. THEY MAY NOT WANT TO
PRIORITIZE. IN A WAY THAT
ADDRESSES THE DISPARITY IS THE
ROLE OF THE STATE. TO ENSURE
THAT THEY DO AND THAT OUR
UNDERSTANDING WAS SOCIAL EQUITY
IS KERRY DOWN TO THE LOCAL
LEVEL. AND AND AS I SAID IT'S
ABOUT DISPARITY SO IN SOME
COMMUNITIES IT MIGHT BE NATIVE
PEOPLE. WHO ARE
DISPROPORTIONATELY IMPACTED BY
THE CRIMINAL JUSTICE SYSTEM IN
THEIR COMMUNITIES AND THEREFORE
THEY SHOULD BE OVER REPRESENTED
STRENGTH IN THE LICENSING. SO
FOR US TO SEE THIS AS A
REPAIRING THE HARM THAT HAS BEEN
DONE WHICH IS. WHY SO MANY
COMMUNITIES. HAVE EMBRACED AND
ARE PUSHING FOR INTO ME IS THE
WAY IN WHICH WE'RE GOING TO
ACCELERATE THE EXPANSION. OF
OTHER JURISDICTIONS TO EMBRACE
THIS IS THAT THEY HAVE TO SEE
THEMSELVES IN IT AND THEY HAVE
TO SEE IT. AS A WAY OF
CORRECTING. THE SOCIAL
DEVASTATION AND CARNAGE THAT
CAME AS A RESULT OF THOSE
POLICIES. AND SO WE HAVE AN
OPPORTUNITY TO CREATE A NEW
INDUSTRY THAT IS HIERO THAT
CREATES OPPORTUNITY BUT WE HAVE
TO ENSURE THAT THOSE COMMUNITIES
THAT ARE MOST IMPACTED ARE AT
THE FRONT END OF THAT SO. I JUST
WANNA SAY THE STATE HAS A
TREMENDOUS LEADERSHIP ROLE IN
PLAYING BY PRIORITIZING. EQUITY
AND HELPING TO FIND IT BY THE
DATA THAT WE'RE TRACKING AND
BEGINNING WITH THE END IN MIND.
I I'M I'M SORRY BECAUSE I DO
WANT TO ANSWER YOUR FIRST
QUESTION BECAUSE WE DID SURVEYS
AND THE FIRST GROUP OF A
HUNDRED. AND THEY WERE UNDER
TWENTY- BLACK EQUITY OPERATORS
WE REPRESENTED ALMOST THE
SMALLEST ETHNIC GROUP THAT
RECEIVE THIS FIRST ROUND OF
LICENSES- IT'S VERY RARE THAT-
WE GET THE OUTREACH THAT'S
NEEDED IN OUR COMMUNITY SAID
THAT THERE'S A HIGHER
PARTICIPATION RATE- FROM THOSE
COMMUNITIES THAT ARE MOST UNDER
SERVED- AND- THOSE ARE JUST
THINGS THAT CAN BE REMEDIED-
VERY EASY AND- ESOS EQUITY
COMMUNITY. WE'VE BEEN ASKING FOR
THAT DATA AND I THINK IT'S AS
SIMPLE AS YOUR QUESTION YEARS
WHEN YOU'RE FILLING OUT YOUR
APPLICATION OR DOING YOUR
RENEWAL TO ADD THAT DATA- POINT
IN THOSE QUESTIONNAIRES THAT WE
GET ALL THE TIME. OR JUST MAKE A
COMMENT IT SEEMS TO ME THAT
SOCIAL EQUITIES. IS BAKED INTO
THIS PROGRAM WHAT. AND I THINK
WE EXPECT THE STATE. WHERE THE
STATE CAN DO TRACKING WHERE THE
STATE. IS INVOLVED IN THE
PROCESS. TO TRACK THE METRICS
THAT WOULD INCLUDE SOCIAL EQUITY
METRICS. TO ENSURE THE SENATORS
QUESTION YOU KNOW THE BILL
SHOULDN'T BE REQUIRED. AS
CERTAINLY SOMETHING THE STATE
CAN DO AND IF YOU NEED
REGULATIONS AND YOU KNOW
DEPARTMENTS. AND AGENCIES KNOW
HOW TO PUT REGULATIONS TOGETHER
ALTHOUGH. DOES TAKE A TAKE
AWHILE AROUND HERE. A IF STATE
DOESN'T MOVE IN THE DIRECTION
THAT WE THINK IT SHOULD MOVE IN
TO ANSWER THE SENATORS QUESTION
AGAIN WE DO A BILL. AND WE
DIRECT. THAT CERTAIN METRICS BE
KEPT IN CERTAIN REPORTS BE
GENERATED I'D LIKE TO THINK IN
THIS CASE THAT THAT'S NOT
NECESSARY AND SO. AS YOU MOVE
FORWARD WITH THIS PROCESS TO
DEVELOP THE SYSTEM CHANGES THAT
YOU NEED TO BRING THREE INTO ONE
OR WHATEVER YOU'RE GOING TO DO.
I'D ASK THAT YOU PROVIDE US WITH
A- SHORT EXPLANATION REPORT SO
THAT THE- MEMBERS OF THIS
COMMITTEE CAN TAKE A LOOK AT
WHAT THE NEW. SYSTEM WILL LOOK
AT. LOOK LIKE AND WHAT THE NEW
SET OF METRICS WILL LOOK LIKE
THAT YOU EXPECT TO- TO BE ABLE
TO PROVIDE AN ANALYZE ONCE THE
SYSTEM IS UP AND RUNNING. AND
THEN INDIVIDUAL SENATORS CAN
MAKE A DECISION AS TO WHETHER
THEY WANT TO ASK FOR MORRIS FOR
CLARIFICATION IF THAT MAKES
SENSE TO YOU I THINK. THAT I
THINK THAT NONE AND WHAT LOCALS
DO. WE DON'T HAVE ANY CONTROL
OVER UNLESS WE ENGAGE IN. THE
LEGISLATIVE PROCESS. WHERE THE
STATE ENGAGES IN SOME REGULATORY
PROCESS TO DIRECT. THE KIND OF
DATA. THAT THE LOCALS COLLECT.
ACCEPTED WHERE THE STATE'S
PROVIDING RESOURCES THE STATE
CAN EXPECT CAN ASK FOR AND
EXPECT TO RECEIVE REPORTS. AND
YOU KNOW HOW TO DESIGN THOSE AS
WELL SO. I THINK WE CAN ADDRESS
TO CENTERS FORWARD CUEVAS IS A
CONCERN. AS WE MOVE DOWN THE
ROAD HERE. I THINK YOU WERE
GOING TO ASK ANSWER QUESTIONS ON
THE BANKING I THANK YOU FOR. I
DIDN'T MEAN TO INTERRUPT BUT
HOPEFULLY YOU KEPT YOUR THOUGHT
- THANK YOU. I'M I THINK FOR THE
PURPOSES OF BANKING I JUST
WANTED TO- BRING TO THIS BODIES
ATTENTION THERE WAS A STUDY DONE
BY THE TREASURER SOMETIME BACK
WHICH I'M HAPPY TO SEND THE LINK
TO AT A LATER TIME- THAT REALLY
ESSENTIALLY- POINTED US THAT
IT'S NOT GOING TO BE A FEASIBLE
SOLUTION- BECAUSE WE'LL GO RIGHT
BACK INTO THE TRAP OF LIKE
FEDERAL OVERSIGHT. LIKE THAT IS
THE CHALLENGE THERE'S MAKING IT
WITH BANKING THERE'S
REQUIREMENTS FOR REPORTING- AND
SAID THERE WILL BE LIMITATIONS
AND THE IDEA OF A STATE BANK AND
I THINK. THIS IS PART OF WHY THE
STATE RESOURCE- AT LOCALS AND AS
SOME OF THE GRANTS THAT WERE
PUSHED OUT WAS ANOTHER
MECHANISM. TO PROVIDE FUNDING
AND CAPITAL TO SUPPORT OPERATORS
AND LOCAL JURISDICTIONS TO
SUPPORT OPERATORS AND NAPPING.
SO JUST WANTED TO POINT OUT TO
SOME OF THE CHALLENGES THAT WERE
RAISED AROUND THE ISSUE OF- OF
BANKING. BUT FROM WHAT I
UNDERSTOOD THAT WAS MAYBE IN
NINETEEN TWENTY NINETEEN THE
INDUSTRY IS DIFFERENT NOW. I
THINK WE HAVE TO CONTINUE TO
PUSH YOU KNOW THINGS THAT
WEREN'T. EVEN THOUGHT OF MAYBE
FOUR FIVE YEARS AGO WE COULD BE
VISIT NOW. BECAUSE THAT'S THE
ONLY WAY WE'RE GOING TO GET YOU
KNOW CANNABIS THE SCHEDULED AND
GET IT FEDERALLY. LEGAL IF MORE
MORE STATES INSIST THAT THERE IS
A BANKING. I WOULD ONLY SAY YOU
CERTAINLY DON'T WANT TO
JEOPARDIZE. THOSE INDIVIDUALS
WHO ARE ENGAGED IN BUSINESS IN
THIS SPACE- WHICH IS POSSIBLE.
GIVEN THE FEDERAL PRESENCE IN
THE BANKING ARENA. GIVEN THE
FACT THAT MONEY MOVES AROUND IN
THE FEDERAL SYSTEM. NOT THE
STATE'S SYSTEM AS I RECALL THE
STUDY THERE WERE ABOUT BUNCH OF
ISSUES NOT TO SAY WE SHOULDN'T.
CONSIDER IT AGAIN BUT IF THE
ISSUE IS ACCESS TO CAPITAL AS
OPPOSED ACCESS TO CHECKING AND
CREDIT CARD TRANSACTIONS. IN
ACCESS TO CAPITAL I WOULD THINK
AND I WOULD THINK THIS WOULD BE
ONE OF THE THINGS. THAT THE
DEPARTMENT WOULD WANT TO EXPLORE
WITH THE GOVERNOR AND THE
ADMINISTRATION. IS HOW TO HOW TO
SET UP A REVOLVING LOAN FUND OR
SOME OTHER. A PROGRAM. OF
BESIDES GRANTS- THAT WOULD ALLOW
BUSINESS TO AXIS CAPITAL TO A
MUCH GREATER EXTENT. THAN
BUSINESS IN THIS SPACE IS ABLE
TO ACCESS IT TODAY- CHECKS
CREDIT CARDS THAT RAISES AN
ENTIRELY DIFFERENT SET OF ISSUES
AT LEAST THAT'S MY RECOLLECTION
FROM TAKING A LOOK AT THE STATE
BANKING ISSUE A FEW YEARS AGO.
MAYBE IT'S CHANGED. AND THERE'S
CERTAINLY SMARTER PEOPLE THAN ME
CERTAINLY SOMETHING WE SHOULD
LOOK AT BUT IN THE IN THE MEAN
TIME BETWEEN NOW AND THEN. WE
OUGHT TO TAKE A LOOK AT A MORE
ROBUST- FINANCING PROGRAM FOR
PARTICULARLY SMALL BUSINESS. IN
THIS SPACE. SINCE MODE RIVERS
MORE QUESTIONS. NO THAT IS IT
FOR MY QUESTIONS THANK YOU
MISTER. SOMEONE HAVING AT CENTER
BRADFORD FIRST AND THEN THANK
YOU THANK YOU WAS HERE. AND I
WANT TO THANK- THIS PANEL FOR
THEIR- INFORMATIVE DISCUSSION
AND I ALSO WANT TO THANK MISS
KEITH. FOR DETAILING. WHAT SHE
WENT TO THE THIRTEEN HUNDRED AND
FORTY DAYS IN ORDER TO- COME
OPERATOR. BUT I GUESS MY ONLY
QUESTION IS ARE THE CHALLENGES
THAT YOU FACE THIS NON EQUITY
OPERATORS FACE THE SAME
CHALLENGES THAT YOU FACE MICKEY
. NO OKAY ABSOLUTELY NOT OKAY
AND CAN YOU DESCRIBE SOME OF THE
CHALLENGES THAT YOU FACE VERSUS
YOUR COUNTERPARTS THAT SEEM TO.
FIND A CLEAR PATH TO BECOMING
LICENSE HERE IN LOS ANGELES OR
CALIFORNIA. SURE THE EDUCATION
AND TRAINING EVEN KNOW WHAT TO
DO WHEN YOU HAVE THE OPPORTUNITY
TO OPEN YOUR DOORS YOU'RE
TALKING ABOUT. WELL RESOURCE NON
EQUITY OPERATORS HAVE WHOLE
TEAMS THEY HAVE PROFESSIONALS
THEY HAVE ACCOUNTANTS THEY HAVE
LAWYERS THEY HAVE ARCHITECTS AND
ENGINEERS. THEY HAVE COMPLIANCE
FOLKS. BOBBI'S WE DON'T HAVE
ACCESS TO THOSE PROFESSIONAL
SERVICES AND SO THEN YOU CANNOT
RUN A MULTI MILLION DOLLAR
OPERATION LIKE A MOM AND POP.
BUSINESS IT'S NOT POSSIBLE- SO
WITHOUT THOSE BUILT IN TECHNICAL
SERVICES PRESS EVEN KNOW HOW TO
NEGOTIATE A CONTRACT- WITHOUT
THE LAWYERS TO HELP US- PUT
THOSE CONTRACTS TOGETHER- WE ARE
ARE LEFT TO SWIM WITH SHARKS-
AND ASIDE FROM THAT THE
POLITICAL WILL IS CRUCIAL. I'M
IN THE CITY OF LA IT JUST KEPT
GETTING DELAYED AND DELAYED ON
THINGS NOT BEING PUT TO VOTE. BY
CITY COUNCIL- AND SO WHEN WE'RE
NOT PRIORITIZE YOU SEE
EVERYTHING ELSE LIKE I MENTIONED
EARLIER- WHEN THEY LICENSE THE
HUNDRED AND EIGHTY SEVEN-
MEDICAL MARIJUANA DOES
DISPENSARIES AND THEY GAVE THEM
PRIORITY ONLY SIX OF THEM WERE
AFRICAN AMERICAN OUT OF THE
HUNDRED AND EIGHTY SEVEN. AND
THEN AT TEN MILLION DOLLARS WHAT
THAT WAS TO GO TO SOCIAL EQUITY
IT DIDN'T BECAUSE NOW THOSE. AN
EXISTING DISPENSARIES HAD
ARGUMENT ABOUT ENFORCEMENT AND
SAID HOW CAN YOU OPEN THE SOCIAL
EQUITY STORES WHEN WE HAVE ALL
THESE ILLEGAL STORES YOU NEED TO
CLOSE THOSE DOWN. AND SO THAT
SCHIFF WENT AWAY FROM US ONCE
AGAIN AND SO- THAT CONTINUES TO
BE THE CASE AS WE CONTINUE TO
COME HERE AND FIGHTING FOR THE
TAX RELIEF. THE CULTIVATORS GOT
THEIR THEIR- TAX- TAKEN AWAY. ON
A SOCIAL EQUITY OPERATORS WE ARE
LITERALLY. BLEEDING DRY AND WERE
DROPPING LIKE FLIES AND YET YOU
ALL SAY THIS IS A PRIORITY I
JUST CAN'T EVEN UNDERSTAND WHY
THAT'S NOT THE FIRST THING YOU
SAY IS THAT YOU HAVE TAX
CREDITS. GIVE OF THE REAL ESTATE
FOLKS- INCENTIVES FOR RENTING TO
SOCIAL EQUITY FOLKS TAX CREDITS
DOESN'T COME OUT OF YOUR
POCKETS. ON THERE ARE SO MANY
THINGS THAT COULD BE DONE IF WE
WERE PRIORITIZE THAT COULD
RELIEVE RELIEVE THE BURDEN THAT
WE HAVE. BEEN UNDER CAPITALIZE
NOT JUST GIVEN MONEY. AND I
TOTALLY AGREE AND AS ALL TWELVE
NO FOUR THE SO EQUITY. MEASURE I
REMEMBER VIVIDLY- A COUPLE DAYS
BEFORE THE MONEY WAS SUPPOSED TO
HIT THE STREET. IN TWO THOUSAND
AND NINETEEN. AND IRAN
IMMEDIATELY DOWN TO THE
GOVERNOR'S OFFICE BECAUSE OF THE
FORTY MILLION THIRTY MILLION WAS
GOING TO NON- IMPACTED
COMMUNITIES. AND I'M NOT GONNA
GO INTO THOSE COMMUNITIES
BECAUSE THEY KNOW THEY WERE. AND
WE PUT A HALT ON IT IMMEDIATELY
AND I TOLD THE GOVERNOR THIS IS
NOT WHY I WROTE THIS BILL. TO
YOU KNOW SUBSIDIZE FOLKS WHO'VE
BEEN IN THIS INDUSTRY FOR FORTY
FIFTY YEARS. ADEYEYE LUCKILY THE
AGREE BUT EVEN THOUGH THEY
AGREED AND RE UP PRIORITIZE SOME
THAT MONEY IT'S STILL HASN'T
REACHED THE COMMUNITIES THAT
NEED IT. THEY TALKED ABOUT
BANKING AND I JUST WANT TO A
LIBRARY ON THAT A LITTLE BIT AND
TO SHOW YOU HOW. WE AS A
LEGISLATION AGAIN GOVERNMENT.
ARE HYPOCRITES AS HOW WE DEAL
BILL WITH THIS BANKING ISSUES
BECAUSE EVERY DAY. LEGAL
OPERATORS WALK. HUNDREDS OF
THOUSANDS OF DOLLARS. INTO OUR
CONTROLLER'S OFFICE OR INTO THE
B. O. E. OR INTO A BANKS THAT
PAY THEIR TAXES. EVERY DAY. AND
WE TAKE THAT MONEY. BUT THE SAME
OPERATOR IF THEY WANT TO PUT IT
IN THE BANK. THE BEEF UP ON
CHARGES. AND WE'RE TAKING
MILLIONS OF DOLLARS. EVERY DAY
FROM CANNABIS OPERATORS. AFTER
B. O. E. AL YOU SEE WHERE THEY
PLAN THEIR TAXES- THEY- THEY'RE
WALKING WITH TAX MONEY. SO THE
BANKING ISSUE SOMETHING THAT WE
LOOK AT FOR THE LAST THREE YEARS
WHAT I DON'T KNOW IF YOU'VE I
LOOKED AT IT LAST YEAR BUT I
KNOW TWO YEARS AGO CENTER
HERTZBERG AND I. I HAD A MEASURE
TRYING TO DEAL WITH THE BANKING
BUT- WE STILL WOULD LIKE. TO GET
HELP I KNOW THIS IS SOMETHING
YOU CAN'T ANSWER RIGHT NOW BUT
BANKING IS ONE OF THE ISSUES
THAT I'M REALLY. CONCERNED ABOUT
BECAUSE- THEY PUT YOU GUYS ALL
ADDRESSES OPERATORS AS ISSUE
WATER ROB BANKS BECAUSE THAT'S
WHERE THE MONEY IS THERE
EVERYBODY KNOWS IT YOU GUYS ARE
CASH AND CARRY BUSINESS AND-
THAT'S WHAT IT REQUIRES YOU HAVE
ADDITIONS- SECURITY AS WELL- I
HAD A QUESTION I WAS GOING TO
ANNOUNCED- AS IT RELATED TO YOU-
OUR- STATE. STE WHEN THEY WERE
ASKING ABOUT. BREAKDOWN OF-
ETHNIC ETHNIC BREAKDOWN. THE
NUMBER I'VE ALWAYS HEARD IS 85%
WHITE MALES SO IS THAT AN
ACCURATE NUMBER THAT I'M GETTING
AT IS OUR WAR WERE YOU ASKING
ABOUT THE SOCIAL SECURITY
PROGRAM. WELL OVERALL CANNABIS
IN CALIFORNIA IS 8285% WHITE
MALE. OPERATOR AND THAT'S THE
DATA THAT I'VE BEEN. PROVIDED
SINCE TWO THOUSAND AND SEVENTEEN
. AND IT'S ONLY GROWING. ASIAN
WATER IT. REPORTER TO BE 92%
NATIONWIDE IS 92% SO I THINK WE
ALL SHOULD REALIZE WE HAVE A
PROBLEM WITH. EQUITY AND
DIVERSITY AND THE SPACE AND THE
BARRIERS THAT. MISS KEITH IS
FACING IS FAR DIFFERENT THAN OUR
COUNTERPARTS IN WITH THAT'S A
QUESTION I NEED TO GET OUT HI.
HOW ARE YOU FACING DIFFERENT
HURDLES AND THOSE OTHER
INDIVIDUALS WHO FIND A WAY TO
MANEUVER INDUSTRY THIS BRAND NEW
TO THEM AS WELL BUT- AND YOU SAY
LOBBYISTS AND- LAWYERS AND ALL
THAT BUT AGAIN I KNOW. MANY
PEOPLE THAT LOOK LIKE ME THAT
HAVE RESOURCES AND ARE STILL
RUNNING INTO ROADBLOCKS SO I'M
JUST CURIOUS. IS A STATE HAVE
ANY WAY OF STREAMLINING THIS IS
A STAFFING ISSUE WITH YOU GUYS-
WORDS CHALLENGE. THE WITH-
SPECIFICALLY COLLECTING MORE
INFORMATION SEVERAL. ALSO
HELPING EXPEDITE THOSE EQUITY
APPLICANTS AS WELL- I KNOW
THERE'S A LOCAL LOCAL COMPONENT
BUT ON THE STATE LEVEL OF
PROCESSING IT SEEMS LIKE IT'S A
ROAD BLOCK WITH YOU GUYS AS WELL
LOG JAM I SHOULD TO. THANK YOU I
THINK I UNDERSTAND THE QUESTION-
SO CERTAINLY THE DEPARTMENT HAS
A DEDICATED TECHNICAL ASSISTANCE
UNIT WITHIN OUR LICENSING
DIVISION. THAT PROVIDES SUPPORT
TO BUSINESS OWNERS AT THE AS ARE
MOVING THROUGH THE PROCESS I
THINK- AND THINKING ABOUT WHAT
OPPORTUNITIES ARE AVAILABLE TO
REALLY STREAMLINE LICENSING- IT
DOES REQUIRE BOTH STREAMLINING
AT THE LOCAL LEVEL AND
STREAMLINING AT THE STATE LEVEL
SO THERE ARE SOME TARGETED
RESOURCES. THAT ARE MADE
AVAILABLE FOR- PEOPLE AS THEY'RE
APPLYING OR RENEWING THEIR
LICENCE AT THE DCC AND THEN
FUNDS TO HAVE BEEN DISTRIBUTED
THROUGH KOBE IS TO PROVIDE
ADDITIONAL SUPPORT. WOOD
EXTENDING OUR THE PROVISIONAL
LICENSE TO THE MEASURE SB FIFTY
ONE HELP IN THIS PROCESS AT ALL
AND IF. SO IN WHAT ELSE IS
NEEDED. I'M THANKS FOR THAT
QUESTION A I MEAN IN LIGHT OF
THE CONVERSATIONS. TIONAL
LICENSE DEADLINE IS SAID WE
EXTEND THE TIME IN WHICH PEOPLE
DON'T ACHIEVE ANNUAL LICENSURE
SO THEY'RE STILL FACING THE SAME
COMPLEXITIES AND SOME OF THE
LICENSING ISSUE AREAS THAT WE
DISCUSSED EARLIER THIS MORNING
THAT ARE NEEDED TO STREAMLINE.
OUR LICENSURE LIKE SEQUEL. RIGHT
AND I'M LIKE DUPLICATION OF
EFFORTS THAT ARE HAPPENING
BETWEEN THE LOCAL AND THE STATE
LEVEL. SO I JUST I WANNA MAKE
SURE THIS BODY UNDERSTANDS THAT
IF WE EXTEND THAT TIME FRAME ARE
WE GONNA HAVE PEOPLE STILL
WAITING IN THAT LONG LINE-
INVESTING CAPITAL WHICH IS IT
SEEMS LIKE AN AREA THAT PEOPLE
ARE STRUGGLING WITH- AND NOT
ACHIEVING ANNUAL LICENSURE SO
THAT'S THAT THAT'S ONE THING I
THINK WE'RE BRINGING TO THIS
BODY TO COLLECTIVELY THINK ABOUT
LIKE HOW DO WE STREAMLINE THIS.
AND I WANT TO- TO ALSO ADD ON
WHEN. YOU JEAN SAID EARLIER IN
TERMS OF RESOURCES FROM THE
STATE THAT ARE. ARE SUPPORTING
AT EQUITY LICENSEES AS WE ALSO
HAVE A TECHNICAL ASSISTANCE TEAM
THAT'S DEDICATED ARE TO
SUPPORTING EQUITY LICENSE FEES
THAT COME TO THE STATE LEVEL FOR
ANNUAL LICENSURE UNTIL LAKE
SUPPORT HIM THROUGH THAT
PROCESS. GUIDE HIM THROUGH WHAT
THEY NEED TO ACHIEVE- WORK WITH
OUR LOCAL. PARTNERS- SO JUST
WANTED TO KIND DOWN ON SOME OF
THE RESOURCES THAT WE ARE MAKING
AVAILABLE. I JUST WITH THAT HERE
I THINK EXTENDING SB FIFTY ONE
EXTENDING THAT MARCH THIRTY
FIRST DEADLINE WHICH IS EQUITY
APPLICANTS MORE OF A RUN WAY TO
GET THEIR PROVISIONAL STATE
LICENSE WELL THERE'S
STREAMLINING THEIR PROCESS.
BECAUSE OTHERWISE THEY'RE GOING
TO BE FACED WITH HAVING TO PAY
RENT ON PROPERTY THAT IS NOT
OPERATIONAL YES AND THAT'S GOING
TO KILL FOLKS. IT IS. THAT'S YOU
KNOW THAT'S ALL THE ANALYTICS
THAT WE'VE GOTTEN FROM OUR OUT
REACH FROM KIKA AND HER CO- AND
OTHER TRADE ORGANIZATIONS AND
EVERYBODY'S SAYING THE SAME
THINGS WHO ARE ON THE GROUND IN
DEALING WITH THIS EVERY DAY AS
OPERATORS. SO I THINK WE SHOULD
REALLY REALLY LOOK AT THAT. I'M
THAT THAT'S ABSOLUTELY TRUE THE
BILL THE YOUR ANNUAL LICENSING
PROCESS AND THEN IT STARTS AT
THE LOCAL LEVEL YOU HAVE TO HAVE
A PROPERTY- AND ONCE AGAIN ALL
OF THE HOOPS THAT YOU HAVE TO GO
THROUGH AND THAT THE AMOUNT OF
RESOURCES THAT ARE REQUIRED TO
JUMP THROUGH THOSE HOOPS. IF
YOU'RE UNDER CAPITALIZE IT TAKES
MONTHS AND YEARS TO MAKE IT
THROUGH THOSE HOOPS WHICH IS WHY
THE YOUNG LADY. THAT SHE SPOKE
OF AND HAYWARD DOESN'T HAVE
RESTORE OPEN THERE'S A LOT OF
HOOPS AND A LOT OF MONEY TO GO
THROUGH THOSE HOOPS. SO IF YOUR
STORE IS OPEN AND THIS WE'RE
TALKING ABOUT SB FIFTY ONE IF
I'M NOT MISTAKEN THIS FOR
RETAIL. IF YOU'RE OPEN YOU'RE
GENERATING REVENUE AND THEN YOU
HAVE THE ABILITY TO PAY FOR THE
HOOPS YOU HAVE TO JUMP THROUGH.
YOUR DOORS OPEN YOU'RE NOT
PAYMENT ON AN EMPTY BUILDING AND
WE ALL UNDERSTAND THE HICK UPS
IN THAT- REGULATORY PROCESS. AND
CREATE A STREAMLINED PROCESS
COULD TAKE YEARS- AND WE DON'T
HAVE YEARS THE CITIES ARE
OPENING UP THEIR RETAIL
LICENSING FOR SOCIAL EQUITY
SPECIFICALLY. THIS IS THE
BIGGEST INFLUX OF SOCIAL EQUITY
RETAIL OPPORTUNITIES THAT ARE
OPENING UP. ACROSS THE STATE OF
CALIFORNIA SO NOW THAT THEY'RE
OPENING UP YOU TELL ME WE DON'T
HAVE THE SAME WINDOW. THAT THE
AT THE INDUSTRY HAD THAT WOULD
BE COMPLETELY UNFAIR AND UNJUST
. I'LL BE REAL QUICK I'M NOT
GOING TO LABOR THIS ALSO R. O.
I'M SORRY ABOUT TANTOR. RESPOND
THAT. I THINK I'M- IT. I IT
TOTALLY APPRECIATE AND- WHAT IS
BEEN STATED I THINK WHAT'S KEY
THOUGH IS IT'S COMPENSATING FOR
THE COMPLEXITY OF THAT PROCESS.
THAT'S WHY WE SEE PEOPLE WAITING
IN LINE FOR SO LONG. AND SO ALL
WE'RE SAYING IS THAT BY FIXING
THE PROCESS WE STREAMLINED AND
WE CAN GET MORE PEOPLE THROW.
BUT EXTENDING THE TIMELINE. IS
NOT GOING TO RESOLVE SOME OF THE
FUNDAMENTAL. ISSUES THAT WE'RE
TRYING TO TALK ABOUT TODAY. I
COULD STILL. BY NOT DOING IT
WOULD BE ASKING FOLKS TO WALK
AWAY FROM THEIR DREAMS OF A-
BEEN A BUSINESS OPERATOR I MEAN
HOW DO YOU ADDRESS THAT. I THINK
WE LOOK AT THE CORE ISSUES AND
WE WORK ON THE CORE ISSUES BUT-
WHEN ARE YOU GONNA DO IT I MEAN
THEY WALK AWAY WHILE YOU'RE
FIGURING IT OUT I MEAN THAT
THAT'S THE PROBLEM. YOU GUYS ARE
FIGURING OUT YOU'VE HAD SIX
YEARS TO FIGURE IT OUT YOU STILL
HAVEN'T DONE IT. AND OR FOR THE
LEAF FOUR AND A HALF AND SOUL
HOW LONG SHOULD FOLKS WAIT. TO
DO THIS AND QUESTION EARLIER WAS
ASKED ABOUT- SIMILAR. PREDATORY
INVESTMENTS- SOME THESE CRAZY
AGREEMENTS AT THE SOCIAL EQUITY.
APPLICANTS ARE ASKED TO ENTER
INTO AND I THINK SOMEONE SAID.
THAT THEY HADN'T SEEN THAT MANY
WHAT SAFEGUARDS YOU HAVE THERE
BECAUSE FOLKS ARE BEING TAKEN
ADVANTAGE OF AND I'VE SEEN SOME
OF THEM THEY'VE MET AND MY
OFFICE AND THEY SHOWED ME SOME
OF THE- DEALS THAT THEY HAD TO
SIGN WHERE. THEY ALMOST GIVE UP
A 100% OF THEIR BUSINESS JUST
SAID. IF YOU KNOW. IF THEY'RE
GOING OF AB- FINANCIAL RUN OR
SOMETHING. THEIR INVESTORS TAKE
OVER THE BUSINESS THEY HAVE
THEIR OWN NO PARTS OF THE
BUSINESS THEY ALMOST HAVE TO
FIND 50% OF THE WAY. JUST TO GET
IT GOING. AND THAT'S CRAZY
NOBODY DOES THAT. THE THERE IS
AN OVERSIGHT. AND THAT THEY'RE
NOT CHECKING THEY LEAVE IT UP TO
US TO DO IT AND SAY THAT IT'S A
BUSINESS YEAH I THINK SAN
FRANCISCO HAS THE MOST.
COMPREHENSIVE PROCESS FOR
LOOKING OVER AGREEMENT- THAT BUT
UNFORTUNATELY I KNOW FROM THE
EXPERIENCES THAT WE'VE HAD AT
THE DC ARE THEY SAY THAT THAT'S
A BUSINESS MATTER AND THEY HAVE
SET UP TO PROBE ON A LEGAL
PROGRAM. BUT IN THE MEANTIME
THESE THESE INVESTORS ARE MOVING
YOU FAST YOU GET A DAY OR TWO TO
SIGN THE AGREEMENT. MEANT TO THE
STRUCTURES ARE AND ARE THAT IT'S
AN LAW- NO ONE IS ABIDING BY
THOSE THINGS AND THERE'S NO
DEPARTMENTS THAT ARE PROTECTING
US FROM THESE PREDATORY
AGREEMENTS. THE CAN I REMARKS
ABSOLUTELY- SO BEFORE JOINING
THE STATE I WORKED AS A DEPUTY
DIRECTOR OF THE SAN FRANCISCO
OFFICE OF CANNABIS. WHERE WE PUT
IN PLACE SOME OF THOSE
GUIDELINES TO REDUCE THE AMOUNT
OF PREDATORY PRACTICES AND I
THINK WE'RE SEEING ACROSS THE
STATE AS THOMAS PASSED. LOCAL
JURISDICTIONS TRIED TO IMPLEMENT
THAT WORK AS A PART OF THEIR
REVIEW AND SO YOU SEE EQUITY
SHARE AGREEMENTS YOU SEE- AS AS
DOCTOR BROWN MENTION. THE
RECRUITMENT OF LEGAL ASSISTANCE
TO MAKE SURE THAT PEOPLE HAVE AN
OPPORTUNITY TO REALLY SHARE WHAT
THEY'RE DOING ABOUT- THEIR
BUSINESS PRACTICE BUT I THINK TO
SENATOR REFERENCE POINT. THAT
WAS SOMETHING THAT WAS LEARNED
OVER TIME SO INCREASINGLY
INCREASINGLY YOU'RE SEEING
JURISDICTIONS TRY TO INCORPORATE
THAT INTO THE FRAMERS OF THEIR
LOCAL PERMITTING. SO WAS NOT
PRESENT AT THE BEGINNING OF THE
PROCESS BUT JURISDICTIONS ARE
NOW LEARNING THAT THAT HAS TO BE
A CORE FEATURE SOME OF THE WORK
THAT THEY'RE DOING. AND ONE OF
THE THINGS THAT WE'RE DOING AT
THE DEPARTMENT OF CANNABIS
CONTROL WHEN WE SEE PRACTICES
LIKE THAT. THEY SEEM TO BE
REALLY EFFECTIVE FOR BUSINESS
OWNERS TO REALLY HIGHLIGHT THAT
WORKING SHARE ITSELF A LOT MORE
ON OUR WEBSITE. ARE SOME OF THE
THINGS THAT ARE WORKING FOR
LOCAL JURISDICTIONS AND NOT FROM
THE PERSPECTIVE OF POLICY MAKERS
BUT BY USING THE VOICE OF
BUSINESS OWNERS. THEY SAY THIS
IS SOMETHING THAT WORKS FOR ME
RIGHT AND SO WE'RE HIGHLIGHTING
THOSE PRACTICES BUT I DO THINK
IT'S A SITUATION IN WHICH
JURISDICTIONS ARE CONTINUALLY
LEARNING. I IN INCORPORATING
MORE OPPORTUNITIES TO MAKE SURE
THAT PEOPLE ARE NOT POINT
OPERATED PREDATORY PRACTICES. IN
REFERENCE. BEFORE I GO TO CENTER
OF RONALD GILL MAN. SEEMS TO ME
THAT. THIS PROCESS ISN'T WORKING
VERY WELL. THE CALLS TO EXTEND
PROVISIONAL LICENSING-
PROVISIONS. AND I GUESS. I KNOW
IS ABOVE YOUR PAY GRADE IT
FRANKLY ABOVE MINE BUT I GUESS
THE RHETORICAL QUESTION IS THE
ADMINISTRATION. ONE OF THE
DEPARTMENT. WILLING TO SIT DOWN.
AND ENGAGE IN THE TYPE OF
CONVERSATION THAT WAS HAD IN
THIS BUILDING. SEVERAL YEARS
AGO. TO COME UP WITH A NEW PLAN
. TAKING INTO ACCOUNT THE
TESTIMONY WE'VE HEARD TODAY THE
ACCOUNTS THAT HAVE. OBVIOUSLY
BEEN RECEIVED IN OTHER SETTINGS.
TO TAKE TO COME UP WITH A NEW
PLAN THE NEW PLAN THAT DEALS
WITH THE SOCIAL EQUITY ISSUES
THE NEW PLAN THAT. DEALS WITH
THE FACT THAT THE LOCAL
JURISDICTIONS FOR ONE REASON OR
ANOTHER ARE NOT ABLE TO MOVE
THESE PROVISIONAL LICENSES- AND
THE APPLICATIONS THROUGH THE
PIPELINE. A NEW PLAN THAT TAKES
INTO ACCOUNT THE FACT THAT WE'RE
NOT TRANSITIONING OPERATORS TO.
TO- ANNUAL LICENSES- QUICKLY
ENOUGH IF AT ALL. SO THAT'S
CERTAINLY SOMETHING WE'RE GONNA
HAVE TO HAVE A CONVERSATION
ABOUT CENTER OF WORLD- I WILL I
WANT TO JUST SHARE COMMENT ON
THAT HAVE A QUESTION- THIS BY
FAR IS THE MOST EDUCATION THAT I
RECEIVED ABOUT THE CANNABIS
INDUSTRY NIGHT WANT TO THANK YOU
APPLAUD YOU. AS WELL AS THOSE OF
YOU WHO ARE IN THE AUDIENCE OF
COMMITTING YOUR DAY- AND YOUR
ENERGY AND YOUR SPACE TO US
TODAY- I KNOW SOMETIMES AS WE
KIND OF GET UP AND MOVE AROUND
IT MAY SEEM LIKE WE'RE MISSING
WHAT YOU'RE SAYING BUT WE'VE GOT
AUDIO. AND NOTES EVERYWHERE SO
WE'RE MAYBE THROUGHOUT THE
BUILDING BUT CONSUMING ALL THE
INFORMATION- SO I KNOW THAT
WE'VE GONE QUITE LONG TODAY AND
THANK YOU FOR CONTINUING IT SO
THAT WE CAN HEAR FROM EVERY ONE.
ONE OF THE MOST COMPELLING
PIECES FOR ME AND WHAT YOU
SHARED WAS THE EQUITY PIECES AND
WHEN I LOOK AT CALIFORNIA BORN
AND RAISED HERE IN CALIFORNIA I
KNOW THAT WHAT WORKS. IN ONE
PART OF CALIFORNIA'S DOES NOT
NECESSARILY WORK IN ANOTHER PART
OF CALIFORNIA- MY COMMUNITIES
ARE THAT THE COUNTIES THAT I
REPRESENT ARE ARE WIDELY RULE-
AS- MANY OF THAT COMMUNITIES
HERE IN THE STATE. AND EVEN
WITHIN MY OWN THIRTEEN COUNTIES
THERE IS NO PATTERN IN TERMS OF
WHICH COMMUNITIES- HAVE THE
CANNABIS INDUSTRY. RETAIL
DISTRIBUTION. IT'S ACROSS THE
MAP SO I DON'T EVEN SEE THAT
PATTERN IN TERMS OF HOW DO I
HELP YOU TO BUILD THAT AND THEN
WHEN I HEAR THE TESTIMONY FROM
ALL OF YOU. AND I LOOK AT THIS
DOCUMENT THAT WAS ONE OF THE
MOST- COMPELLING TO ME. IS I SEE
A REAL PROBLEM HERE I SEE THAT
THIS DISPROPORTIONATE VALUE
BETWEEN THE AMOUNT OF. AFRICAN
AMERICANS REPRESENTED IN OUR
TWENTY TWENTY CENSUS COMPARED TO
THE AMOUNT OF GRANT MONEY THAT
IS GOING TO THOSE COMMUNITIES.
AND I'LL TELL YOU- I'VE PROBABLY
EITHER LIVED OR OR BEEN TO
EXTENSIVELY TO EACH ONE OF THESE
COMMUNITIES HERE IN CALIFORNIA
SO I RECOGNIZE THE DIVERSITY IN
CULTURE IN THEM. BUT IT DOES FOR
ME TO KNOW THAT WE'RE TALKING
ABOUT EQUITY WE'RE TALKING BOUT
GRANT DISTRIBUTION THAT THE TOP.
CITIES- THIS THIS TALKING
UNITIES ARE COULD CHALLENGE. AND
I KNOW FOR A FACT WITHOUT
LOOKING AT THIS CHART AND LIVING
IN CALIFORNIA FOR THEM OUT OF
TIME THAT I HAVE. THAT THESE ARE
NOT COMMUNITIES THAT HAVE A HIGH
PROPORTION OF BLACK AND BROWN
RESIDENTS- AND ON THE SAME THING
BLACK AND BROWN BUSINESSES. SO
MY FIRST QUESTION AROUND THIS IS
WHO MAKES THE DECISION AROUND
THIS GRAPH WHO MAKES THE
DECISIONS AROUND THE
DISTRIBUTION OF GRANTS IS THAT
THE DCC. SERVICE NO AND I'M NOT
SURE WHAT THE REFERENCE IS FOR
THE DOCUMENTS THIS WAS IN OUR
PACKET. YUME WE PULL THAT DATA
FROM THE TWENTY TWENTY TO
CALIFORNIA GO BIZ REPORT. ON
WHICH JURISDICTIONS RECEDED
RECEIVED WHAT CAPITAL OKAY SO
THIS IS BASED ON GO BIZ REPORT
YES OKAY. SO I'M- GOING BACK IN
HERE MY QUESTION IS WHO MAKES
THE DECISIONS AROUND THE GRASS
IS TO BE XIN. SECURE HELP
EDUCATE ME ON THAT. S. WHEN WE
GOT OUR LAST GRANT AND- I ASKED
IN TERMS OF YOU KNOW HOW TO THE
CALIBRATE HOW THEY CALCULATE
HOW. THE GRANTS TO DISPERSED
LEVINE. WE ARE TEN TIMES THE
SCALE OF YOU KNOW ALL OF THE
JURISDICTIONS. AND VIEW MY GET A
HUNDRED K. LESS THAN. YOU KNOW
HE YOU KNOW ANOTHER JURISDICTION
THAT HAS TEN TIMES LESS THAN WE
DO. SO I ASK THAT QUESTION HOW
ARE WE ABLE TO SERVICE OUR
COMMUNITY WHEN. WE DON'T GET THE
FREE SOURCES AND THEN ANOTHER
JURISDICTION WHO HAS TEN TIMES
LESS THE SCALE CORRECT IT'S
BASICALLY THE SAME AMOUNT OF
MONEY THAT WE GET. AT IS HOW IS
THAT EQUITY SO IS THERE A LACK
OF TRANSPARENCY. WELL I'VE NEVER
GOTTEN THE- YOU KNOW THE ANSWER
OF HOW THAT. HOW THAT WORKS. AS
THE OTHER MEMBERS OF THE PANEL
ARE LOOKING AT IT WELL YEAH YES.
SORRY NOT NOT FAMILIAR WITH HIS
DRIVE OUR PACKET SO THAT'S WHY
I'M I'M REFERENCING IT SURE AND
I THINK THAT- SO THERE'S A LIST
OF. THE JURISDICTIONS THEY HAVE
RECEIVED GULBIS FUNDING I'M IN
THIS LOOKS TO BE A DISTRIBUTION
BASED ON RACE RIGHT OR NOT THE
ABSOLUTE NUMBER OF FUNDS THEY
HAVE BEEN RECEIVING EACH
JURISDICTION. BUT A PLOT AGAINST
THE PERCENTAGE OF BLACK
RESIDENTS SO- I THINK THAT THE
DECISION MADE AND I'M NOT A
REPRESENTATIVE FROM THE
GOVERNOR'S OFFICE OF BUSINESS
AND ECONOMIC DEVELOPMENT- BUT MY
UNDERSTANDING IS THAT THEY ARE
RESPONSIBLE FOR OVERSEEING THE
GRANT PROGRAM. OKAY AND IS THERE
ANY INPUT FROM ANY OF THE
GROUP'S ADVOCACY GROUPS
CONSUMERS BUSINESS OWNERS. IS
THERE ANY INPUT INTO THAT
DECISION. I WOULDN'T BE ABLE TO
SPEAK ON BEHALF OF HAS A LOT OF
HEADS NODDING SO. OKAY SO I SEEM
TO BE ASKING QUESTIONS THAT WERE
ALL KIND OF ASKING AND DON'T
HAVE ANSWERS TO OKAY ALL RIGHT
THAT HELPS ME- AND THEN THE
OTHER PIECE THAT I WANTED TO
JUST COMMENT ON- AND SEE IF YOU
HAVE. IF YOU SHED SOME LIGHT ON
THIS FOR ME SO I AM CONFLICTED
ON THIS ISSUE BECAUSE- I HAVE
SEEN IT GENERATIONS OF LATINO
FAMILIES BE CONSUMED. BY THE
CANNABIS INDUSTRY IN AND I TALK
ABOUT THE ILLICIT CANNABIS
INDUSTRY. SO WHAT ARE THE
INCENTIVES FOR US HERE IN
CALIFORNIA TO ENSURE THAT WE ARE
MOVING AWAY FROM IT ILLICIT
CANNABIS INDUSTRY INTO A LEGAL
CANNABIS INDUSTRY. AND TO ENSURE
THAT WE ARE THEN PEELING AWAY
THE UNINTENDED CONSEQUENCES IF
YOU WILL- YOU KNOW THE GUIDANCE
THE- THE OTHER DRUGS THAT COME
ALONG THE VIOLENCE THE
CRIMINALITY THAT COMES ALONG
WITH THE ILLICIT- SIDE OF THE
CANNABIS INDUSTRY. WHAT IS THE
INCENTIVE FOR US TO GO. LEGAL
WELL TO BE HONEST I DON'T SEE A
LOT OF INCENTIVE TO BE VERY
CANDID HERE I MEAN WE ALL KNOW
THAT THE INDUSTRY IS HIGHLY
TAXED AND OVER REGULATED AND SO
THAT DOESN'T GIVE YOU KNOW FOLKS
IN THE- ILLICIT MARKET INCENTIVE
TO COME OUT OF THAT. AND TO GO
INTO GENERATIONAL DEBT. IF I CAN
BE SURE YOU'RE KATNISS- THERE'S
A QUOTE FROM A FORMER COLLEAGUE
THAT I LIKE TO. THE BORROWER
STILL IF YOU WILL THAT
ORGANIZATIONS MOVING THE
DIRECTIONS OF THE IN THE
DIRECTION OF THE QUESTIONS THEY
ASK. AND I THINK THAT'S THE
THAT'S THE MULTI MILLION BILLION
DOLLAR QUESTION RIGHT THERE. AND
I THINK FOLLOWING ALL THE- AS AS
ALL THE PANELS OF IN DISCUSSING
TODAY THERE'S NOT THERE'S ALMOST
NOTHING BUT HOOPS. IN THE
REGULATED MARKETS OF WHAT
INCENTIVE IS THERE- SO I THINK
THAT'S A FANTASTIC QUESTION AND-
I THINK THAT'S WHAT WE NEED TO.
THAT'S THE LENS BY WHICH ALL OF
OUR ALL OF US. AT ALL OF OUR
DIFFERENT ON. LEVELS NEED TO BE
ASKING AND TRYING TO. MAKE THAT
THE ADJUSTER POLICIES TO MAKE
SURE THERE ARE AN INSTANT THERE
IS AN INCENTIVE. I HAVE ONE MORE
STATEMENT THEN I'LL BE QUIET. I
THINK WE HAVE A WONDERFUL
OPPORTUNITY IN THE STATE. TO
HAVE A SUSTAINABLE DYNAMIC.
CANNABIS ECONOMIC ENGINE THIS
COULD BE A WONDERFUL ECONOMIC
SUSTAINABLE. ECONOMIC
DEVELOPMENT- GRAND IN THIS
STATE. BUT WE HAVE ALL THESE
SELF INFLICTED WOUNDS. AND WE
HAVE AN OPPORTUNITY TO GET IT
RIGHT. ALL OF THE COUNTRY IN THE
WORLD ARE LOOKING A CALIFORNIA.
AND WE HAVE THE OPPORTUNITY TO
GET THIS RIGHT AND WE CAN DO
THIS. BUT WE HAVE TO REALLY LOOK
AT OURSELVES AND NOT BE AFRAID
TO BE. PROGRESSIVE AND THERE'S
ENOUGH OUT HERE FOR EVERYONE TO.
LARISCH AND THRIVE AND
PARTICIPATE. BUT WE'RE DOING SO
MANY THINGS THAT ARE SELF
INFLICTED BETTER PROHIBITING US
FROM ENJOYING THE BENEFITS THAT
THIS MARKET CAN BRING THE STATE
AS A WHOLE IN TERMS OF JOBS. IN
TERMS OF. OF THRIVING BUSINESSES
THE TAX DOLLARS THAT THE STATE
AND LOCAL JURISDICTIONS WILL.
RETAIN FROM THAT. BUT RIGHT NOW
WE HAVE A LOT OF WORK TO DO. AND
I JUST CHALLENGE EVERYBODY TO
THINK ABOUT WHAT THAT LOOKS
LIKE. IF IT WAS MORE PROGRESSIVE
AND EQUITABLE. WHAT CAN WE-
GLEAN FROM THAT. THANK YOU THANK
YOU FOR YOUR COMMENTS AND THANK
YOU FOR ALLOWING ME TO EXPOSE MY
NAY TAPE NAIVE EIGHT HEY AROUND
THIS INDUSTRY AND ASK THOSE
QUESTIONS THAT FOR ME FEEL LIKE
COMMONSENSE QUESTIONS- BUT THAT
CONTINUE TO KIND OF PULL APART.
AT THE SEAMS- SOME OF THE ISSUES
OF THE PROBLEMS THAT YOU'RE
BRINGING FORWARD THANK YOU.
COLLEAGUES ANY OTHER QUESTIONS.
THING THAT I WANT TO THANK OUR
PANELISTS DID WAS OF SUPERB
CONVERSATION WITH A LOT OF GREAT
OF POINTS AND IDEAS. THIS
COMMITTEE WILL HEAR SENATE BILL
FIFTY ONE IN THE COMING WEEKS
AND I KNOW THAT THIS
CONVERSATION ABOUT FOR FILLING.
AS COMMITMENT OPERATORS AND
PROTECTING PROGRESS WILL
CONTINUE- IN MUCH MORE DETAIL.
THE MOVE ARRIVED AT OUR FINAL
PANEL OF THE DAY. CANNABIS TAX
FUNDED PROGRAMS AND EXPENDITURES
WHERE HAS THE MONEY GONE. SO FOR
THOSE INVOLVED IN THE FINAL
PANEL IF YOU WOULD MAKE YOUR WAY
TO THE- TABLE IN THE FRONT OF
THE ROOM WE WILL BEGIN.
OKAY WELL LET'S SERVING DO SOME
INTRODUCTIONS- IF YOU WOULD
INTRODUCE YOURSELF AND- WITH
YOUR NAME AND WHO YOU'RE
REPRESENTS STARTING MY LEFT AND
YOUR RIGHT SERVICE SO THAT YOU.
BRING CASH SOME WITH THE NATURAL
RESOURCES AGENCY ON THE
ASSISTANT SECRETARY THEIR OVER
EVERYTHING BUDGETS. CASH THANKS
FOR BEING HERE. LET ME GO GRANT
PROFESSOR OF PSYCHIATRY AT THE
UNIVERSITY OF CALIFORNIA SAN
DIEGO AND I DIRECT THE CENTER
FOR MEDICINAL CANNABIS RESEARCH.
DR THANK YOU FOR BEING HERE.
THANK YOU MISTER CHAIR. MY NAME
IS COREY BALL I'M AN ASSISTANT
CHIEF WITH THE CALIFORNIA
HIGHWAY PATROL CURRENTLY
ASSIGNED TORN FOR TEN PLANNING
DIVISION AND I OVERSEE OUR
IMPAIR DRIVING SECTION CHIEF
THANK YOU FOR BEING HERE MA'AM.
GOOD AFTERNOON MY NAME IS DENISE
GALVEZ I AM THE CHIEF OF THE
PREVENTION AND YOUTH BRANCH AT
THE DEPARTMENT OF HEALTH CARE
SERVICES OVERSEEING OF THE YOUTH
EDUCATION PREVENTION TREATMENT
ACCOUNT. AND MY NAME IS PAULA
WILL HOME IN A MINISTER'S STINT
DEPUTY DIRECTOR FOR BEHAVIORAL
HEALTH AT THE DEPARTMENT OF
HEALTH CARE SERVICES THANK YOU
ALL FOR BEING HERE IT'S MY
UNDERSTANDING THAT THE AS WELL
HOME AND- DISCOVERS WILL START.
BREEDING VIDEO FEED. HI GOOD
AFTERNOON OR EVENING CHAIR AND
COMMITTEE MEMBERS AS NOTED I'M
PAULA WILL HOME ASSISTANT DEPUTY
DIRECTOR OF BEHAVIORAL HEALTH
FOR THE DEPARTMENT OF HEALTH
CARE SERVICES THANK YOU FOR
INVITING OUR DEPARTMENT TODAY TO
PROVIDE AN OVERVIEW AND UPDATE
OF OUR ACTIVITIES ASSOCIATED
WITH CANNABIS TAX ALLOCATION
THREE. WHICH AS YOUR BACKGROUND
TALK IT BREAKS DOWN IS ONE OF
THREE ALLOCATIONS INCLUDED
WITHIN THE WERE LARGER CANNABIS
TAX FUND. SO AS YOU MAY KNOW
ALLOCATION THREE PROVIDES
FUNDING FOR THREE BROAD TYPES OF
ACTIVITIES. 20% IS FOR
ENVIRONMENTAL PROGRAMS 20% IS
FOR LAW ENFORCEMENT ACTIVITIES
AND 60% IS ALLOCATED FOR THE
YOUTH EDUCATION PREVENTION EARLY
INTERVENTION AND TREATMENT
ACCOUNT. WE REFER TO THIS AS
YOUR PEDA AND BECAUSE THAT IS A
LOT OF. WORDS FOR ONE ACCOUNT SO
YOU'LL HEAR US TALKING ABOUT
THIS TODAY BECAUSE AND THAT IS
THE FOCUS OF THE H. THE US'S
REMARKS. AND BEFORE WE DISCUSS
THE YOUR PET A FUNDED GRANTS
THAT ARE ADMINISTERED DIRECTLY
BY DH CS WE DID WANT TO SPEAK TO
ANOTHER QUESTION WE SAW IN THE
BACKGROUND PACK PACKET AND THERE
IS A PORTION OF. YOUR PET OF
FUNDS THAT ARE ADMINISTERED BY
OTHER STATE AGENCIES AND THEY
RECEIVE DOLLARS THROUGH ANNUAL
INTER AGENCY AGREEMENTS WITH DH
CS. SO WE WANTED TO- BRIEFLY
SUMMARIZE AN ACKNOWLEDGE THOSE
OTHER PROGRAMS AND FUNDED BY OUR
FELLOW AGENCIES. FIRST TO BE A
CALIFORNIA DEPARTMENT OF SOCIAL
SERVICES OR CDSS ADMINISTERS THE
GENERAL CHILD CARE PROGRAM THE
CALIFORNIA ALTERNATIVE PAYMENT
PROGRAM AND THE EMERGENCY CHILD
CARE BRIDGE PROGRAM. EACH OF
THESE PROGRAMS PROVIDES CHILD
CARE VOUCHERS TO UNDERSERVED AND
UNDER RESOURCE COMMUNITIES. DIS
CHILD CARE VOUCHER PROGRAMS WERE
INITIALLY ADMINISTERED BY THE
CALIFORNIA DEPARTMENT OF
EDUCATION SO FROM JULY TWENTY
NINETEEN THROUGH JUNE TWENTY
TWENTY ONE THE DEPARTMENT OF
EDUCATION RECEIVED CONTRACTS
FROM DH CS TOTALING OVER TWO
HUNDRED AND TWENTY SIX MILLION.
THEN IN FISCAL YEAR TWENTY ONE
TWENTY TWO DEPARTMENT OF SOCIAL
SERVICES ASSEMBLY CONTRACT FOR
THE CHILD CARE VOUCHER PROGRAM
AND RECEIVED TWO HUNDRED AND
SEVENTY FOUR MILLION IN FUNDING.
WITH TWO HUNDRED NINETY TWO
MILLION ADDITIONAL AVAILABLE FOR
THE CURRENT FISCAL YEAR TWENTY
TWO TWENTY THREE. THE DEPARTMENT
OF PUBLIC HEALTH OR CDPH ALSO
ADMINISTERS THE CALIFORNIA
CANNABIS DATA SURVEILLANCE
SYSTEM. AND THEY PERFORM PUBLIC
EDUCATION AND OUTREACH FOR YOUTH
FAMILIES CARE GIVERS AND SCHOOLS
FROM TWENTY NINETEEN THROUGH
TWENTY TWENTY THREE CDPH HAS
BEEN ALLOCATED FORTY EIGHT
MILLION IN YOUR PART OF FUNDING.
AND FINALLY OUR COLLEAGUES AT
THE CALIFORNIA NATURAL RESOURCES
AGENCY OR C. N. ARE AA
ADMINISTERS PROGRAMS THAT OFFER
YOU ACCESS TO NATURAL AND
CULTURAL RESOURCES INCLUDING
COMMUNITY EDUCATION. AND
RECREATIONAL PROGRAMS THAT
SUPPORT SUBSTANCE YOUTH USE
PREVENTION FOR YOUTH IN LOW
INCOME COMMUNITIES. AND BETWEEN
TWENTY NINETEEN AND TWENTY
TWENTY THREE THE NRA HAS BEEN
ALLOCATED FIFTY FOUR POINT TWO
MILLION IN YOUR PET A FUNDS
THROUGH OUR INTER AGENCY
AGREEMENT. SO I WILL NOW PASS IT
OFF TO MY COLLEAGUE DENISE TO
DISCUSS THE APART OF FUNDING
THAT DH CS EMPLOYMENTS DIRECTLY
THROUGH OUR ELEVATE YOUTH
CALIFORNIA GRANT PROGRAM. THANK
YOU PAULA AND THANK YOU TO THE
CHAIR AND THE MEMBERS OF THIS
COMMITTEE. SO THE YEP HAD A
FUNDING THAT DH CS SPECIFICALLY
ADMINISTERS IS THE LOCAL
ASSISTANCE PORTION OF YOUR PARA.
IT HAS BEEN SPECIFICALLY
APPROPRIATED TO DH CS SINCE
FISCAL YEAR NINETEEN TWENTY. AND
HAS BEEN USED TO IMPLEMENT THE
ELEVATE YOUTH CALIFORNIA PROGRAM
A PROGRAM THAT WAS SPECIFICALLY
CREATED FOR THIS FUNDING SOURCE.
THE PROP SIXTY FOUR ADVISORY
GROUP- HAS PLAYED A VERY KEY
ROLE IN PROGRAM DESIGN AND
CONTINUES TO ADVISE THE
DEPARTMENT ON IMPLEMENTATION OF
THE ELEVATE YOUTH CALIFORNIA
PROGRAM. ELEVATE YOUTH IS A
STATEWIDE PROGRAM THAT INVESTS
IN YOUTH LEADERSHIP IT TEACHES
YOUNG PEOPLE CIVIC ENGAGEMENT
SKILLS. AND PRIMARILY SERVES
YOUTH OF COLOR AGES TWELVE TO
TWENTY SIX. ELEVATE YOUTH
CALIFORNIA PRIORITIZES YOUTH
EMPOWERMENT CULTURAL EMPATHY AND
SYSTEMATIC CHANGE FOR
COMMUNITIES THAT HAVE BEEN
DISPROPORTIONATELY AFFECTED BY
THE WAR ON DRUGS. ANNUAL FUNDING
IS RELEASED THROUGH REQUESTS FOR
APPLICATION TO PROSPECTIVE
GRANTEES IN ROUNDS. EACH ROUND
RUNS APPROXIMATELY THREE YEARS.
TO DATE THE H. C. S. IS PLEASED
TO AWARD TWO HUNDRED AND FORTY
SIX GRANTS FOR ALMOST A HUNDRED
AND NINETY MILLION ACROSS FIFTY
THREE COUNTIES. DEPENDING ON THE
TRACK GRANTEES MAY INCLUDE
COMMUNITY BASED GRASSROOTS
ORGANIZATIONS TRIBAL ENTITIES OR
BEHAVIORAL HEALTH DEPARTMENTS
WHO PROVIDE THESE DIRECT
SERVICES. THERE ARE THREE
COMPONENTS OR TRACKS TO ELEVATE
YOUTH CALIFORNIA. THE STANDARD
TRACK WHICH VOTER FOCUSES ON
SUBSTANCE USE PREVENTION POLICY
SYSTEM AND ENVIRONMENTAL CHANGE
THROUGH YOUTH LEADERSHIP
MENTORSHIP AND PEER LED SUPPORT.
THESE GRANTS ARE FOR THIRTY SIX
MONTHS AND ARE UP TO A MILLION
DOLLARS PER GRANTEE FOR THREE
YEARS. THE CAPACITY BUILDING
TRACK FOCUSES ON STRENGTHENING
THE ORGANIZATIONAL STRUCTURE OF
START UP GRASSROOTS COMMUNITY
BASED AND TRIBAL ORGANIZATIONS
IMPLEMENTING STD PREVENTION
PROGRAMS IN COMMUNITIES OF COLOR
. THESE GRANTS ARE FOR THIRTY
MONTHS AND RANGE FOR FROM
SEVENTY FIVE THOUSAND TWO UP
240-010-0043 YEARS. THE
INNOVATION TRACK TESTS
NONTRADITIONAL METHODS FOR
POLICY SYSTEMS AND ENVIRONMENTAL
CHANGE. A UTILIZING AN
APPRECIATIVE INQUIRY EVALUATION
METHODS SO THIS TRACK IS BEING
FORMALLY EVALUATED FOR
EFFECTIVENESS. ACCORDING TO THE
ELEVATE YOUTH CALIFORNIA ANNUAL
REPORT WHICH YOU CAN FIND ONLINE
THE FIRST THREE COHORTS OF
GRANTEES HAVE SERVED OVER TWO
HUNDRED AND TWENTY THOUSAND
INDIVIDUALS CREATED OVER THREE
THOUSAND COMMUNITY PARTNERSHIPS.
DURING THE REPORTING PERIOD OF
JULY NINETEEN TO DECEMBER TWENTY
TWENTY TWO. ELEVATE YOUTH
CALIFORNIA HAS ACHIEVED ITS GOAL
OF REACHING A MORE CULTURALLY
DIVERSE POPULATION WITH THIS
FUNDING. SERVING WELL OVER HALF
OF ALL U. I. IT SELF IDENTIFYING
AS PEOPLE OF COLOR. DH CS ALSO
CONTRACTS WITH THE CENTER OUT
SIERRA HEALTH FOUNDATION TO
PROVIDE TECHNICAL ASSISTANCE TO
HELP UP LIFT THE COMMUNITY BASED
ORGANIZATIONS AT THAT OUR YOUTH
SERVING. THEY HAVE PROVIDED OVER
THIRTY FIVE HUNDRED HOURS OF
TECHNICAL ASSISTANCE AND
TRAINING THIS IS INDIVIDUALIZED
T. TA TO EACH RECIPIENT AND THEY
ALSO HAVE DONE MULTIPLE
STATEWIDE EVENTS AND WEBINARS.
AS NEXT STEP DH THE US PLANS TO
AWARD A CAPACITY BUILDING TRACK
FOR APPROXIMATELY SIXTEEN
MILLION A NEXT MONTH AND THEN WE
ARE LAUNCHING BROWN'S. IN AUGUST
OF TWENTY TWENTY THREE.
THROUGHOUT ALL ELEVATE YOUTH
CALIFORNIA COHORT DH CS HAS
RECEIVED A TWO THOUSAND AND FOUR
APPLICATIONS TOTALING A NEED OF
SIX HUNDRED AND FIFTY SEVEN
MILLION IN REQUESTED FUNDING.
WHILE DH CS HAS BEEN APPROPRIATE
APPROPRIATED TWO HUNDRED AND
SIXTEEN MILLION TO OPERATE.
CHALLENGES THAT WE HAVE FACED IN
IMPLEMENTING ITS LOCAL
ASSISTANCE PROGRAM. INCLUDE THE
DIFFICULT DECISIONS BEING MADE
IN FUNDING THESE COMMUNITY BASED
ORGANIZATIONS WHICH ONES SINCE
THERE IS SUCH A GREAT NEED. AND
I WILL CLOSE WITH THAT- AND WE'D
POLLAND I APPRECIATE THIS
OPPORTUNITY AND ARE HAPPY TO
ANSWER ANY QUESTIONS. THANK YOU
VERY MUCH THANKS LET'S NO- HERE
FROM CHIEF PAUL WITH CALIFORNIA
HIGHWAY PATROL. THANK YOU MISTER
CHAIR OTHER COMMITTEE MEMBERS
THANK YOU FOR ALLOWING OUR
DEPARTMENT TO COME IN PROVIDE AN
OVERVIEW. OF OUR ALLOCATION
THREE- PROGRAM THAT WE'VE
IMPLEMENTED WITHIN OUR
DEPARTMENT. SHORTLY AFTER THE
PASSAGE OF PROPOSITION SIXTY
FOUR DEPARTMENT BEGAN PLANNING
DEVELOPING AND IMPLEMENTING.
PROCESSES TO OVERSEE THE FUNDING
THAT WOULD EVENTUALLY COME TO
THE DEPARTMENT THAT WE WOULD
GIVE OUT TO OTHER AGENCIES. IN
ORDER TO DO THIS WE ACTUALLY
CONSOLIDATED INTERNAL RESOURCES
AND STOOD UP AN ENTIRE NEW
SECTION CALLED IMPAIR DRIVING
SECTION TO FOCUS ON ISSUES
RELATED TO IMPAIRED DRIVING.
QUICKLY DEPARTMENT REALIZE THAT
WE WOULD NEED TO CREATE A
CANNABIS GRANTS UNIT WITH IN THE
IMPAIRED DRIVING SECTION. AFTER
DOING SO WE- EXCUSE ME. WE
DEVELOPED THIS UNIT TO OVERSEE
THE CANNABIS TAX GRANT FUND
PROGRAM AND BEGIN THE PROCESS OF
STAFFING THIS NEW UNIT- WITH
EXISTING RESOURCES. AS THE
POPULARITY THIS PROGRAM GOT OUT
TO OUR L. AT AGENCIES THROUGH
OUR ADVERTISING CAMPAIGN WE SAW
QUICK NEED TO INCREASE STAFFING
SO WE WORK WITH THE
ADMINISTRATION TO INCREASE. THE
STAFFING WITHIN THAT PARTICULAR
UNIT IN THE CANNABIS GRANT UNIT
WE'RE CURRENTLY IN THE FINAL
STAGES OF ONBOARDING IN HIRING
OR LAST FOR ANALYST TO BRING
THAT TO A TOTAL OF EIGHT
ANALYSTS TO PROVIDE OVERSIGHT TO
THE DIFFERENT AGENCIES THE
COUNTERPART MEANT TO TAKE
ADVANTAGE OF THE OPPORTUNITIES
THAT ARE GRANTED. WITH THE
AMENDMENTS THAT WERE MADE TO THE
REVENUE TAXATION CHO DEPARTMENT
WAS OF PROVIDED A CERTAIN
ALLOCATION OF FUNDING IN THE
EARLY YEARS THE FIRST ALLOCATION
WE RECEIVED WAS APPROXIMATELY
TEN MILLION DOLLARS THEY WERE
RECEIVED. IN THE NINETEEN
TWENTY. FISCAL YEAR. IN THAT
PROCESS WE WERE ABLE TO
IMPLEMENT ANY GRANTS AT THAT
TIME BECAUSE WE ARE IN THE
PROCESS OF ACTUALLY DEVELOPING
REGULATIONS IN WORKING WITH
OFFICE ADMINISTRATIVE LAW OUR
INTERNAL TOP MANAGEMENT AS WELL
AS AGENCY AND THE ADMINISTRATION
TO ENSURE THAT WE'VE ADDED A
PROGRAM THAT WAS GOING TO BE
FAIR COMPETITIVE AND-
TRANSPARENT. TO THE AGENCIES
THAT WOULD COME AND TAKE
ADVANTAGE OF THESE OPPORTUNITIES
. AND THE FIRST YEAR THAT WE
GIVE OUT FUNDING WHICH WAS IN
FISCAL YEAR TWENTY ONE TWENTY
TWO WE PROVIDED TO OPPORTUNITIES
TO LAW ENFORCEMENT AGENCIES AND
CRIME LABORATORIES. WITHIN THAT
WE HAD APPROXIMATELY TWENTY
SEVEN MILLION DOLLARS WORTH OF
FUNDING AVAILABLE AND THE
AGENCIES THE CAME. AND APPLIED
FOR THOSE OPPORTUNITIES WE WERE
ABLE TO GRANT SEVENTEEN MILLION
DOLLARS IN FUNDING TO A TOTAL OF
FORTY FIVE DIFFERENT GRANTEES
THAT INCLUDED THIRTY FIVE LOCAL
LAW ENFORCEMENT AGENCIES AND
TWELVE CRIME LABORATORIES. THE
CRIME LABORATORIES WERE A TWO
YEAR PROJECT WERE OUR ALLIED
AGENCIES WHICH WERE BROKEN AND
INTO LARGE AND SMALL OR MEDIUM
SIZED AGENCIES THOSE WERE ONE
YOUR PROJECTS. IN THE TWENTY TO
TWENTY THREE GRANT CYCLE. WE HAD
APPROXIMATELY THIRTY NINE
MILLION DOLLARS WITH THE FUNDING
AVAILABLE WE HAD FORTY FIVE
GRANTEES THE SAME AMOUNT. AND WE
WERE ABLE TO GIVE OUT TO TWELVE
MILLION DOLLARS IN FUNDING.
THIRTY LAW ENFORCEMENT AGENCIES
TOOK ADVANTAGE OF THESE
OPPORTUNITIES. ELEVEN CRIME.
LABORATORIES ONE CORNER'S
OFFICE. AND IN THIS YEAR WE
EXPANDED OUR OPPORTUNITIES FROM
TWO TO FOUR INCREASED A
EDUCATIONAL COMPONENT WHICH ONE
LAW ENFORCEMENT AGENCY TOOK
ADVANTAGE OF AS WELL AS TO
NONPROFIT ORGANIZATIONS THEY
CAME AND TOOK ADVANTAGE OF
OPPORTUNITIES. TO- SERVICE THEIR
COMMUNITIES THROUGH A
GOVERNMENTAL PASSED THROUGH. IN
THE CURRENT AT THE IN THE FUTURE
GRANT CYCLE TO TWENTY THREE
TWENTY FOUR TO DO WHICH IS JUST
CLOSE THE GOOD THE GRANT
APPLICATION PROCESS CLOSED AT
THE END OF FEBRUARY. WE RECEIVED
A STANDING SEVENTY SIX
APPLICATIONS. AND WE'RE
CURRENTLY IN THE PROCESS OF
VETTING THOSE SEVENTY SIX AND
THOSE GRANTEES WILL BE AWARDED-
IN THE COMING MONTHS THAT WILL
GO INTO EFFECT JULY ONE. THE
DEPARTMENT REMAINS COMMITTED TO
THE TEN THE CANNABIS TAX FUND
PROGRAM AND PROVIDING SUPPORT TO
THESE GRANTEES. VARIOUS
CHALLENGES HAVE HAVE PRESENTED
ITSELF TO THESE GRANTEES- AS THE
OTHER PANEL MEMBERS HAVE
MENTIONED THE GLOBAL GLOBAL
PANDEMIC THAT OCCURRED SOME OF
THE AGENCIES FACE STAFFING
ISSUES. AS WELL AS CHIEF SUPPLY
CHAIN ISSUES OF NOT BEING ABLE
TO MEET ALL OF THEIR OBJECTIVES
SO OUR TEAM HAS WORKED
TIRELESSLY WITH THEM. TO
MITIGATE SOME OF THOSE
COMPLICATIONS THAT THEY HAVE
ACTUALLY FACED OVER THE LAST FEW
YEARS. THIS LAST FISCAL YEAR
OUR- TEAM WITHIN OUR CAMPUS
GRANT UNIT HAS- IMPART UPON
EIGHT OUTREACH EFFORT- THROUGH-
DEVELOPING- P. R. MATERIAL IF
YOU WILL IT HAS BEEN SHARED WITH
OUR ALLIED AGENCIES. IT'S
INSURED AT CONFERENCES AS WELL
AS TRADE SHOWS- IN THE FORM OF A
RACK CARDS WE'VE CREATED A-
WEBSITE THAT THEY CAN GO TO TAKE
ADVANTAGE OF THE GRANTS THAT ARE
ALL AVAILABLE AS WELL AS-
ANYTHING THAT THEY CAN ACTUALLY
APPLY FOR THROUGH THE- THROUGH
THE PROCESS THAT I'VE I'VE
TALKED ABOUT EARLIER. WE WILL
CONTINUE TO EXPAND OUR MARKETING
EFFORTS IN THE COMING YEARS ONE
OF THE MAIN THINGS WE DO EVERY
JANUARY AS WE HOLD A VIRTUAL
SEMINAR FOR ANYBODY INTERESTED
IN COMING AND TAKING ADVANTAGE
OF THE GRANT AND APPLYING FOR
IT. AND THEN THE TEAM WILL WORK
WITH THOSE INDIVIDUALS ON A STEP
BY STEP PROCESS. ON THE
APPLICATION PROCESS TO UPLOAD
THEIR INFORMATION TO OUR GRANT
MANAGEMENT SYSTEM. AS WELL AS
WALKING THROUGH HOW TO WRITE AND
ORCHESTRATE THEIR OBJECTIVES TO
ENSURE THAT THEIR SUCCESSFUL
WHAT THEY'RE ACTUALLY APPLYING
FOR. FINALLY I'LL FOCUS ON
ENFORCEMENT COMPONENT.
UNFORTUNATELY OUR DEPARTMENT
CONTINUES TO OBSERVE AN INCREASE
OUR MILEAGE DE THREE. THE
MILEAGE DEATH RATE FOR THOSE
THAT DON'T KNOW WHAT IT'S IT
ACTUALLY IS IT'S A COMPARISON A
RATIO OF THE FATAL INJURIES.
THAT OCCUR PER EVERY ONE HUNDRED
MILLION VEHICLE MILES TRAVELED
ON OUR ROADWAYS. IN TWENTY
NINETEEN CALIFORNIA HAD A M. D.
R. OF ONE POINT ZERO SIX. AND
CURRENTLY IT'S PROJECTED ONCE
THEY FINALIZE THE TWENTY TWENTY
ONE NUMBERS TO BE ONE POINT
THREE ONE. TRAGICALLY IN THESE
NUMBERS WHAT THE DEPARTMENT IS
SEEING WITHIN OUR OWN AGENCY IS
A LARGE MAJORITY OF THESE.
DRIVERS ARE ARRESTED OR INVOLVED
IN EITHER INJURY OR FATAL
COLLISIONS OR UNDER THE
INFLUENCE. OF ILLEGAL DRUGS SOME
OF THE BEING CANNABIS NOT ALWAYS
BUT WE'RE ALSO SEEING A LOT OF
COMBINATION OF CANNABIS AND
ALCOHOL. ONE POINT IS THAT IN
TWENTY TWENTY. 37% OF THE FATAL
CRASHES INVOLVED IMPAIRED
DRIVERS. ONE YEAR LATER WE HAD
NINE HUNDRED THIRTY SIX FATAL
CRASHES AND 35% OF THOSE DRIVERS
WERE UNDER THE INFLUENCE. IN
TWENTY TWENTY TWO THE DEPARTMENT
HAS ARRESTED NEARLY TWO THOUSAND
DRIVERS THAT WERE IMPAIRED
SOLELY UNDER THE INFLUENCE OF
CANNABIS. THANK YOU. THANK YOU
CHIEF NOAH SECTOR CASH. VERY
CASH ON THE ASSISTANT SECRETARY
FOR ADMINISTRATION OF FINANCE OF
THE NATURAL RESOURCES AGENCY.
OUR OUR AGENCY AND THEN TWO OF
OUR DEPARTMENTS UNDERNEATH THIS
FISH AND WILDLIFE AND STATE
PARKS- RECEIVE CANNABIS FUNDS
AND WE- I'M GONNA GIVE YOU A
BRIEF OVERVIEW TODAY OF OUR
DEPARTMENTS USE THOSE FUNDS SO
LET'S START WITH THE AGENCY. AS
THEY MENTIONED- WE HAVE WE
RECEIVED 5% OF THE YOUTH
EDUCATION PREVENTION EARLY
INTERVENTION AND TREATMENT
ACCOUNT. AND WE FUND PROJECTS
WITHOUT THAT SUPPORT YOUTH
ACCESS TO NATURAL AND CULTURAL
RESOURCES. AND WE HAVE A FOCUS
ON LOW INCOME AND DISADVANTAGED
COMMUNITIES. THE PROGRAM
REQUIRES THAT THE PROJECT BE
LOCATED IN AND DECORATE DIRECTLY
YOU CAN BENEFIT THESE
COMMUNITIES IN FEBRUARY OF
TWENTY TWENTY TWO WE AWARDED
FOURTEEN POINT NINE MILLION
DOLLARS. FOR SIXTY FIVE OF THESE
PROJECTS. AROUND TOO RECEIVED A
HUNDRED SEVENTY FOUR PROPOSALS
REQUESTING THIRTY TWO POINT
SEVEN MILLION. AND WE HAVE
APPROXIMATELY EIGHTEEN POINT
THREE MILLION TO AWARD SO THE
DEMAND IS DEFINITELY THERE FOR
THIS PROGRAM- WE ARE CURRENTLY
EVALUATING THOSE PROPOSALS AND
CONDUCTING VIRTUAL FIELD VISITS
THROUGH THE END OF MAY. WE
ANTICIPATE ANNOUNCING AWARDS IN
THE FALL OF TWENTY TWENTY THREE
AND RELEASING THE THIRD
SOLICITATION IN EARLY TWENTY
FOUR. JUST A COUPLE EXAMPLES OF
PROJECTS THAT WERE FUNDED FROM
THIS- THE FIRST IS THIS YEAR
SHARE NEVADA JOURNEYS.
TOMORROW'S YOUTH LEADERS OF
COLOR. THEY RECEIVED A GRANT OF
TWO HUNDRED NINETY NINE THOUSAND
DOLLARS THIS PROJECTS WILL
DESIGN AND DELIVER IMPACTFUL
OVERNIGHT OUTDOOR- SORRY OUTDOOR
OVERNIGHT CAMP PROGRAMS. A
GRIZZLY CREEK RANCH FOR
APPROXIMATELY FOUR HUNDRED YOUNG
MEN OF COLOR AND FIFTEEN YOUTH
MENTORS. FROM THE IMPROVE YOUR
TOMORROW COLLEGE ACADEMY TO
PARTICIPATE IN SAFE AND ENGAGING
RECREATION LEADERSHIP AND
EDUCATIONAL OPPORTUNITIES. AND
THAT- IS YOUTH FROM FACT
SACRAMENTO IN THE SOCKET AREA.
AND THEN THERE'S ALSO THE NEED
CAN TOKEN PROJECT WHICH RECEIVED
A GRANT OF A HUNDRED FORTY ONE
THOUSAND DOLLARS- THAT PROJECTS
CAN ENGAGE APPROXIMATELY SIXTY
FIVE HIGH SCHOOL STUDENTS IN
HEALTHY OUTDOOR ACTIVITIES WHILE
BUILDING THEIR AWARENESS. OF IN
RELATIONSHIP TO NATURAL
ECOSYSTEMS SURROUNDING THE AIR
URBAN ENVIRONMENTS IN WHICH THEY
LIVE. AND THE CULTURES AND
TRADITIONS OF INDIGENOUS PEOPLES
. THAT'S THE NATURAL RESOURCES
AGENCY. STATE PARKS ALSO
RECEIVES FUNDING FROM THE
CANNABIS TAX FUND. STATE PARKS
ESTABLISH THEIR CANISTER CANIBUS
WATERSHED PROTECTION PROGRAM. ON
THIS PROGRAM TRACKS CLOSELY WITH
THE TAX REVENUE- WITH THE
STATUTORY AUTHORITIES IN
PROPOSITION SIXTY FOUR. WHICH
AUTHORIZES THESE REVENUES TO BE
USED FOR THE CLEAN UP
REMEDIATION AND RESTORATION OF
ENVIRONMENTAL DAMAGES. IN
WATERSHEDS AFFECTED BY CANNABIS
CULTIVATION IN RELATED
ACTIVITIES. SO FAR THE
DEPARTMENT HAS AWARDED- HAS
SPENT SIX MILLION DOLLARS FOR
ONGOING MAINTENANCE OF NATURAL
RESOURCES. IMPACTED BY CANNABIS
CAL CULTIVATION AND FOR
OPERATIONS AND STEWARDSHIP.
ACTIVITIES IN AREAS IMPACTED BY
ILLEGAL CANNABIS CULTIVATION.
PRIOR TO THE RESTORATION EFFORTS
EVERY SITE MUST UNDERGO
REMEDIATION WHICH INVOLVES THE
REMOVAL OF ALL TRASH. HAZARDOUS
MATERIALS AND INFRASTRUCTURE. TO
DATE STATE PARKS IS REMOVED
APPROXIMATELY FIFTY THOUSAND
POUNDS. OF TRASH FROM ILLEGAL
CANNABIS GROW SITES ON STATE
PROPERTY SO JUST ON STATE
PROPERTY- IN ADDITION TO THAT-
STATE PARKS IS GIVEN AS SPENT
TWENTY FIVE MILLION DOLLARS ON
RESTORATION PROJECTS AND THAT
THOSE ADDRESS NATURAL AND
CULTURAL RESOURCES AS WELL AS
INGRESS AND EGRESS. TO IMPACTED
SITES. EXAMPLE THE PROJECT FOR
THIS IS A AND PRIDE IN- HUMBOLDT
HUMBOLDT REDWOODS STATE PARK-
THAT'S GONNA REMOVE TWENTY MILES
OF ROADS AND FORTY TO FIFTY FIVE
FAILING WATER CROSSINGS. AND
WHAT STATE PARKS LEARNS ON IN
THIS- PROJECT THEY CAN APPLY TO
OTHER PRODUCTS PROJECTS
THROUGHOUT THE STATE. AN
ADDITIONAL TWENTY FIVE MILLION
THEY'VE SPENT ON THESE PROJECTS-
THEY HAVE ANOTHER TEN TO FIFTEEN
MILLION IN SIMILAR PROJECTS IN
RESTORATION PROJECTS AND-
INGRESS AND EGRESS PROJECTS-
THAT ARE CURRENTLY IN THE FINAL
STAGES OF DEVELOPMENT. AND THEN
THEY ALSO HAVE- COMPLETED A
MULTI YEAR STAFF INTENSIVE
STATEWIDE ASSESSMENT- THE
RECORDED KNOWN SITES OF ILLEGAL
CANNABIS GROWS. ON STATE PARKS
AND SITES NEAR PARK BOUNDARIES-
IMPACTING PARKLANDS- THROUGH
THIS ASSESSMENT THEY ARE ABLE TO
IDENTIFY FOUR HUNDRED KNOWN
GROWN SITES. ON PARK LANDS AND
SO THIS IN DATA WILL INFORM
WHERE THEY MAKE THEIR FUTURE
INVESTMENTS- ON RESTORATION. AND
FINALLY WITH THE F. W. WITH THE
FISH AND WILDLIFE. ISSHIN
WILDLIFE- RECEIVES FUNDS AND
THEY USE THAT TO SUPPORT THEIR
LAW ENFORCEMENT PERSONNEL AND
ACTIVITIES TO PREVENT FURTHER
ENVIRONMENTAL DEGRADATION ON
PUBLIC LANDS. THEY ALSO USE IT
FOR THE GRANTS- TO DO A WIDE
RANGE OF PROJECTS SO FAR THEY'VE
AWARDED TWENTY MILLION DOLLARS
IN GRANTS. AND THOSE GRANTS HAVE
BEEN USED FOR REMEDIATION AND
RESTORATION OF AREAS IMPACTED BY
CANNABIS CULTIVATION SO SIMILAR
TO PARKS- CLEANUP OF.
CULTIVATION INFRASTRUCTURE ON
PUBLIC LANDS. AND THEN TECHNICAL
ASSISTANCE FOR CULTIVATORS AND
THAT'S THROUGH GRANTS THAT THEY
MAKE THROUGH TO NONPROFITS AND
TO A GOVERNMENT AGENCIES. AND
OF. FISH AND WILDLIFE IS TRYING
TO INCREASE THE NUMBER OF GRANTS
THAT THEY'RE ABLE TO GIVE OUT IN
ALSO EXPAND THE NUMBER OF
GRANTEES- IN THERE DOING THIS
THURSDAY EDUCATION AND OUTREACH.
TARGETED OUTREACH- TO HELP
PEOPLE WITH THEIR SUBMITTALS.
AND THEN DEVELOPING THREE NEW-
GRANTS SOLICITATIONS. AND THEN
DURING IN PERSON OUTREACH AND
TECHNICAL ASSISTANCE- SO THROUGH
THESE EFFORTS OF THESE THREE
DEPARTMENTS FUNDING FROM THE
CANNABIS TAXES ALREADY MAKING A
DIFFERENCE. IN WILL HAVE A
GREATER EFFECT AS THESE PROGRAMS
MATURE AND REACH NEW AREAS AND
PARTNERS AND I THANKS FOR THIS
OPPORTUNITY TO PRESENT TO YOU
TODAY THANK YOU MISTER ASSISTANT
SECRETARY OF. THANK YOU GRANT.
YOUR IT. WELL I HAVE THE
DISTINCT HONOR OF BEING THE LAST
SPEAKER ENOUGH I GUESS IT'S BEEN
A SEVEN HOUR SESSION SO. WELL
I'LL TRY TO KEEP IT BRIEF I WAS
GOING TO I DID SEND SOME POWER
POINTS I'M NOT SURE WHETHER I AM
CONFIDENT TO- GET THEM STARTED
BUT IF WE CAN'T- I CAN ASSURE
YOU THAT THE CHAIR IS NOT. SO
YEAH IF YOU WOULDN'T MIND AND I
PROMISE YOU THEY ARE. BRIEF AND
SO I ADVANCE WAS SECOND- OKAY.
SO I'M HERE TO TALK ABOUT TO THE
CENTER FOR MEDICINAL CANNABIS
RESEARCH- WHICH- I'M VERY PROUD
TO SAY REALLY REPRESENTS A
WONDERFUL PARTNERSHIP BETWEEN
THE STATE OF CALIFORNIA AND THE
UNIVERSITY OF CALIFORNIA. AS YOU
KNOW CALIFORNIA WAS THE FIRST IN
THE NATION TO PASS A MEDICAL
MARIJUANA LAW. COMPASSIONATE USE
ACT. AND WHAT. STRUCK ME AS
PARTICULARLY. BOB FORWARD
LOOKING WAS THAT THE LEGISLATURE
APPROACHED THE UNIVERSITY TO SAY
YOU KNOW. WE'RE INTERESTED IN
MEDICINAL CANNABIS WILL BE SURE
PEOPLE HAVE ACCESS TO IT BUT WE
ALSO WANT TO KNOW THE SCIENCE
SPACE WHAT IS THE EVIDENCE FOR A
BOTH GOOD BAD AND UGLY OF THIS
THING AND SO THAT'S HOW THE CMCR
WAS ESTABLISHED. THROUGH
LEGISLATION IN NINETEEN NINETY
NINE BY THEN SENATOR-
VASCONCELOS. IN THE END- RE
AUTHORIZED- THE END OF THE IDEA
OF THE CENTER WAS TO REALLY
DEVELOP. THE EVIDENCE. AROUND
MEDICINAL CANNABIS AS I SAY. SO
THIS LITTLE TIMELINE SHOWS YOU-
KIND OF- HOW WE CAME INTO BEING
AND OF COURSE PROP SIXTY FOUR
THEN- AUTHORIZED A TWO MILLION
DOLLAR ALLOCATION ANNUALLY TO
THE CMC ARE TO CONTINUE ITS WORK
BOTH ITS CORE AND- IT'S A
RESEARCH FUNCTIONS. SERVO- FIRST
OF ALL LET ME MENTION WHAT ARE
SOME OF THE CORE RESOURCES THAT
THE CENTER HAS AND THEN I'LL
TALK ABOUT THE RESEARCH PROGRAM.
SO THE RESOURCES ARE ONE IN THE
AREA OF EXPERTISE WE'VE BEEN
ASKED A LOT- TO ADVISE OF BOTH
GOVERNMENT ENTITIES AND
REGULATORY BODIES ABOUT
MEDICINAL CANNABIS SO FOR
EXAMPLE THE MEDICAL BOARD OF
CALIFORNIA HAS CONSULTED WITH US
ABOUT WATER SOME PRACTICE
GUIDELINES THAT SHOULD BE PUT.
INTO EFFECT GIVEN WHAT WE KNOW
AND DON'T KNOW ABOUT MEDICINAL
CANNABIS- ARE CENTER ALSO
ASSISTS INVESTIGATORS TO
PROCURE. CANNABIS FOR MEDICINAL
CANNABIS RESEARCH IT'S NOT EASY
IT'S NOT LIKE WRITING A
PRESCRIPTION FOR SOMETHING AS
YOU KNOW. WE ARE DEALING WITH A
SCHEDULE ONE SUBSTANCE THERE
MANY FEDERAL IMPEDIMENTS AND
REGULATIONS EVEN THOUGH
CALIFORNIA HAS LEGALIZED
MARIJUANA AND I DON'T KNOW ABOUT
SACRAMENTO BUT I COULD PROBABLY
GO DOWN THE STREET SOMEWHERE AND
FIND A DISPENSARY AND BUY SOME
PRODUCT. I CANNOT AS AN
INVESTIGATOR. ACTUALLY
ADMINISTER THAT PRODUCT TO A
HUMAN PARTICIPANT BECAUSE IT'S A
FEDERALLY LEGAL BE IT MAY NOT BE
MANUFACTURED UP TO FDA STANDARDS
AND SO ON AND SO FORTH. SO IT'S
A COMPLICATED AREA AND THAT'S
WHY OUR EXPERTISE ALSO GUIDES
INVESTIGATORS MANY FROM DON'T
KNOW HOW TO DO THIS KIND OF WORK
ABOUT HOW TO ACTUALLY IMPLEMENT
. THE OTHER THING WE'RE VERY-
FOCUSED ON IS HOW TO GET A
BIGGER BANG FOR THE BUCK IF YOU
WILL AND ONE WAY YOU DO THAT IS
YOU CREATE DATABASES AND SAMPLE
REPOSITORIES SO IF WE FOR
EXAMPLE FUND SOME PROJECTS WE
SAY TO INVESTIGATORS. YES WE
ALSO WANT BE ANONYMIZED DATA.
AND IF YOU ARE COLLECTING BLOOD
SAMPLES WE WANT SOME OF THOSE
BECAUSE IN THE FUTURE OF PEOPLE
MAY THINK OF A NEW QUESTION THEY
MAY FIND A NEW BIOMARKER THAT
MAY BE QUITE IMPORTANT AND
MONITORING A MEDICINAL CANNABIS
AND WE WANT THOSE PEOPLE TO HAVE
A LEG UP. BY LOOKING AT THE DATA
AND LOOKING AT THE SAMPLES SO WE
MAINTAIN THAT WE HAVE A
LABORATORY RESOURCE SO IF
INVESTIGATORS WANT TO STUDY FOR
EXAMPLE THE UP. CIRCULATION OFF
AN ENDOGENOUS SIGNALING MOLECULE
THC AS YOU MAY KNOW ATTACHED TO.
SOMETHING CALLED CB RECEPTORS.
THOSE RECEPTORS WARD PUT BEAR IN
ORDER TO AMUSE PEOPLE AND HELP
THE MARIJUANA PLANT THEY WERE
PUT IN BECAUSE THEY HAVE
BIOLOGICAL FUNCTIONS THEMSELVES
SO WE NEED TO. SEE SOMETIMES.
HOWARD THOSE CHEMICALS. ALTERED
BY T. H. C. M. C. B. T. ON OTHER
THINGS LIKE THAT- WE HAVE
SPECIAL FACILITIES. WERE FOR
EXAMPLE A STUDY WAS JUST
PUBLISHED IN THE DRAMA OF A BODY
YES IT WAS A YEAR AGO. THAT
LOOKED OUT. WHAT IS THE TIME
COURSE OF DRIVING IMPAIRMENT
AFTER. INHALATION OF DIFFERENT
STRENGTHS OF CANNABIS PRODUCTS
WELL TO DO THAT KIND OF WORK YOU
NEED SPECIALIZED ROOMS WHERE FOR
EXAMPLE YOU LITERALLY VACUUM OUT
ANY. VAPORS BECAUSE YOU DON'T
WANT THEM SEEPING UNDER THE DOOR
AND- YOU KNOW GETTING THROUGHOUT
THE WHOLE BUILDING. SO INVESTING
IN THOSE FACILITIES IS IMPORTANT
TO DO THAT KIND OF WORK- WE'VE
ALSO LEARNED. NOT SO LONG AGO
BEEN ASKED BY THE D. C. C. TO
ESTABLISH A REFERENCE LABORATORY
THAT MEANS WE WILL ULTIMATELY
HOPEFULLY BE A GOLD STANDARD TO
DOUBLE CHECK WATER THE
CONSTITUENTS OF THE PRODUCT. THE
DCC WANTS TO KNOW ABOUT. SO LET
ME TALK ABOUT THE RESEARCH SO
RESEARCH HAPPENS IN TWO WAYS ARE
SUPPORTED IN TWO WAYS ONE IS OF
THE TWO MILLION DOLLAR
ALLOCATION WE GET ANNUALLY.
ABOUT ONE POINT THREE MILLION IS
DISTRIBUTED TO INVESTIGATORS
THROUGHOUT CALIFORNIA FOR A
PILOT AND PROOF OF PRINCIPLE
STUDIES WE CUT SUPPORT GIANT
CLINICAL TRIALS. LET ME ONE
POINT THREE MILLION IT IS A LOT
OF MONEY TO SOME PEOPLE BUT IT'S
NOT A LOT OF MONEY WHEN YOU'RE
DOING BIG CLINICAL STUDIES.
SORRY IDEA IS HOW DO WE JUMP
START AN IDEA SO THAT'D
INVESTIGATOR LATER CAN GO TO AND
I H. OR WHEREVER. AND GET MORE.
SIGNIFICANT FUNDING IF THE IDEA
SEEMS TO HAVE LEGS. SO WE HAVE-
WHAT AS YOU CAN SEE KIND OF A
PRIMARY PROGRAM WHERE WE SUPPORT
THREE YEARS OF WORK BUT EVEN
THOUSAND DOLLARS TOTAL. AND THEN
A PILOT PROGRAM WHICH IS ABOUT
THREE HUNDRED THOUSAND DOLLARS
SUPPORT FOR TWO YEARS THAT'S
OFTEN PRECLINICAL STUDIES. I'M
GONNA SAY THE IDEA HERE IS NOT
THAT WE CAN DO EVERYTHING BUT
IT'S TO HELP PEOPLE LEVERAGE. SO
HOW WE USE THE MONEY VERY
BRIEFLY IN THE PAST FIVE YEARS
WE'VE HAD RECEIVED TEN MILLION
DOLLARS THIS IS JUST A- VERY
HIGH LEVEL VIEW. AS YOU CAN SEE
ABOUT SIX POINT SIX MILLION WAS
DISTRIBUTED TO INVESTIGATORS FOR
RESEARCH BY THE WAY IT INVOLVES
PEER REVIEW OF ALL THESE GRANTS
JUST LIKE NIH DOES IT'S NOT LIKE
I SAID AT MY DESK AND I SAY OH
I. THINK MISTER ROTH SHOULD GET
A CRAP BECAUSE I LIKE IT MORE
SOMETHING LIKE THAT IT'S REALLY
IT'S A VERY COMPETITIVE PROCESS-
AND THEN ABOUT TWO POINT EIGHT
MILLION GOES TO THE CORE. OF
FACILITY WHICH I'VE DESCRIBED
THE LABS AND SO FORTH THE DATA
MATTERS. DATA MANAGEMENT SYSTEM
AND THEN THERE'S A PART FOR
ADMINISTRATIVE SUPPORT ABOUT 3%
OF THE FUNDING WE RECEIVE. SO
THIS IS ANOTHER SNAPSHOT OF HOW
THE FUNDS ARE DISTRIBUTED- AND-
HERE I'M JUST GOING TO SHOW YOU
UNDER THE PROGRAMS WE ACTUALLY
FUND HERE ARE EXAMPLES OF THE
STUDIES WILL NOT EXAMPLES THESE
ARE THE STUDIES WE HAVE FUNDED
SO YOU CAN SEE THE TOPICS RANGE.
FROM CANNABIDIOL IN EARLY
PSYCHOSIS TWO STUDIES ON
ANOREXIA NERVOSA. TO ALCOHOL
DEPENDENCE- RHEUMATOID ARTHRITIS
AND SO FORTH SO IT'S A BROAD
RANGE OF TOPICS. AND YOU CAN SEE
IN THE MAP TO THE RIGHT OF THE
AREAS THAT HAVE BEEN FUNDED SO
EVEN THOUGH WE'RE IN SAN DIEGO
WITH THE FUNDING HAS ALSO GONE
TO RIVERSIDE IRVINE LA SAN
FRANCISCO MERCED YOU CAN SEE-
THIS IS JUST MY KIND OF. I'M A
VERY POOR GRAPHIC ARTISTS BUT
JUST TRYING TO SHOW THAT THERE
IS A LEVERAGING EFFECT OF THE
TWO MILLION DOLLARS THAT THE
THAT THE STATE PROVIDES. US END
OF IT WHAT IT DOES IS A LEVERAGE
FUNDS FROM FOUNDATIONS FROM NIH
AND FROM OTHER SOURCES. AND THEN
THIS VERY YOU BUSY SLIDE AGAIN
SHOWS THERE ARE TWENTY FOUR
CURRENTLY ACTIVE STUDIES IN C.
M. C. R. OR WITH CMCR AFFILIATED
INVESTIGATORS SO A SAID ONE OF
THEM IS IN MERCED FOR EXAMPLE SO
THEY'RE NOT ALL SITTING IN SAN
DIEGO. AND THE YELLOW SHOWS THE
GRANTS THAT WE HAVE FUNDED
THROUGH PROP SIXTY FOUR MONEY
AND THE REST ARE FUNDS OF FUNDED
IN. OTHER WAYS. WE ALSO HAVE
EDUCATIONAL AND OTHER MISSIONS-
AS I'VE SAID BEFORE WE'VE BEEN
CALLED UPON TO PROVIDE EXPERT
ADVICE TO GOVERNMENT AGENCIES
AND EVEN INTERNATIONALLY. A WE
HAVE A FELLOWSHIP PROGRAM TRYING
TO BEGIN THE TRAINING OF THE
NEXT EDUCATE THEM LEVEL OF
SCIENTISTS WORKING ON THESE
PROBLEMS WE HAVE A SYMPOSIUM AND
WE HAVE A WEBSITE CHRIS. I HOPE
THAT WASN'T TOO LONG AND NOT TOO
BORING FOR THE END OF YOUR
SESSION. EXCELLENT I'M HAPPY TO
ANSWER ANY QUESTIONS EXCELLENT I
JUST HAVE A BASIC QUESTION I
THINK I UNDERSTAND. HOW WE
MEASURE THE IMPACT OF THE UCSD
AND- RELATED YOU SEE EFFORTS BUT
AS TO THE OTHER ALLOCATION
PROGRAMS. HOW HAVE WE BEEN
MEASURING THE IMPACT OF PROGRAMS
. AND DO WE HAVE A SYSTEM OF
METRICS I HEARD SOME STATISTICS
FROM NATURAL RESOURCES ON
PROTECTING THE PARKS AND- THE
TRASH AREA BUT- IS THAT A FAIR
QUESTION. OBVIOUSLY BEYOND
ALLOCATING MONEY. TO
ORGANIZATIONS HOW DO WE HOW DO
WE ASSESS THE IMPACT AND DO WE
HAVE A SYSTEM TO DO SO. AND WHAT
IS THE DASHBOARD REFLECT. OKAY
OKAY SO FOR THE ELEVATE YOUTH
CALIFORNIA PROGRAM WE ARE
FORMALLY EVALUATING THAT PROGRAM
WE ARE FUNDED THROUGH OUR
INNOVATION TRACK A SET OF
AGENCIES THAT WE WILL BE DOING
A- I'M- A- APPRECIATIVE INQUIRY
EVALUATION AND WE ARE ALSO
COLLECTING. NOT ONLY DEMOGRAPHIC
DATA BUT A PRE POST ON THE
EFFICACY AND THE INVOLVEMENT OF
YOUTH PARTICIPATION IN THOSE
PROGRAMS. AND SO WE HAVE AN
EVALUATION REPORT THAT WILL BE
PUBLISHED LATER THIS YEAR WELL
WE LOOK FORWARD TO SEEING THAT I
MEAN I ASSUME THAT WHEN PEOPLE
ASK FOR MONEY- THE FOLKS DOLING
OUT THE MONEY SAY WHAT ARE YOU
GOING TO DO FOR THE MONEY. AND
THEIR SPECIFIC GOALS AND
OBJECTIVES. AND SCIENTIFIC
RESEARCH YOU DON'T KNOW WHAT THE
OUTCOME IS GOING TO BE BUT IN
OTHER AREAS. YOU KNOW YOU KNOW
THAT WE'RE GONNA TOUCH FIFTY
THREE PEOPLE WE EXPECT OF THAT
THAT TOUCH FOR THOSE FIFTY THREE
PEOPLE THIS IS WHAT'S GOING TO
HAPPEN. AND THEY MUST SUPPLY
THAT I ASSUME TO YOU WHEN YOU'RE
EVALUATING THEIR THEIR- PROPOSAL
AND DECIDING WHETHER OR NOT TO
FUND AND THEN I ASSUME. MAYBE I
SHOULDN'T ASSUME THAT AT THE END
OF THE PROCESS WE TAKE A LOOK AT
WHAT THE OUTCOME. IS TO DECIDE
WHETHER THAT WAS AN EFFECTIVE
USE OF MONEY AND THEN IF NOT WE
DO SOMETHING ELSE THE NEXT ROUND
YOU ASSUME CORRECTLY OKAY
PERFECT K. THEN THE REPORT
SHOULD BE QUITE ENLIGHTENING
WHEN WE GET IT RIGHT. ABOUT FOR
THE CHP. WHEN HIS CHARITY Q.
NAILED IT- THAT'S EXACTLY WHAT
WE'RE IN THE PROCESS OF DOING
THAT RIGHT NOW WITH OUR TEAM. AS
THOSE OF FIRST AND SECOND YEAR-
OPPORTUNITIES ARE COMING TO A
CLOSE. PART OF THEIR A
REQUIREMENT WHEN THEY APPLY FOR
AN OPPORTUNITY WITH OUR
DEPARTMENT IS TO LAY OUT WHAT
THEY'RE GONNA DO ONE EXAMPLE
WOULD BE IF A LAW ENFORCEMENT
AGENCY COMES AND SAYS. WE WOULD
LIKE THREE THOUSAND DOLLARS TO
BE ABLE TO FIND EXPANDED PROJECT
AND D. Y. ENFORCEMENT AS WELL AS
AN EDUCATIONAL COMPONENT SORT
HAVE RPI IS GO OUT. AND THEY'RE
GOING TO. TARGET HIGH SCHOOL IN
UNIVERSITIES AND THEY'RE GONNA
HIT- TWENTY TWO DIFFERENT-
PRESENTATIONS WELL THERE'S THE
MARKERS THAT THEY REPORT BACK
WHEN THEY PUT IN FOR
REIMBURSEMENT FOR THAT FUNDING
SO OUR- ANALYSTS VET THAT. CHECK
THAT AND THEN. MAKE SURE BEFORE
WE GO AHEAD AND REIMBURSE THEM
FOR THEIR SERVICES RENDERED IS
THAT THEY'VE THEY'VE MET THEIR.
TIME AS TO WHETHER THE- ALCOHOL
DRUG DO YOU IRATE BECAUSE DOWN
IN A JURISDICTION AND IF IT
DOESN'T THEN. THEN MAYBE THERE
ARE OTHER FACTORS BUT IT MAY
ALSO BE THAT THE PROGRAM IS NOT
VERY EFFECTIVE IS THAT. A FAIR
STATEMENT. THAT'S A FAIR
STATEMENT AND ONE OF THE THINGS
WE HAVE IMPLEMENTED COMING OUT
POST CODE IS OUR ANALYSTS WHAT
DO SITE VISITS WITH THESE
AGENCIES TO SEE HOW THEY'RE
DOING AND IF THEY'RE IN
COMPLIANCE. ONE OF THE THINGS
WE'VE ALSO DONE AS WERE
ONBOARDING AB AUDITOR WITHIN
OUR- OFFICE OF IN- INSPECTOR
GENERAL THAT WILL GO OUT AND ON
EACH OF THESE PROGRAMS TO MAKE
SURE THAT THEY'RE ACTUALLY-
BEING GOOD STEWARDS OF THE MONEY
THAT ARE GRANTED TO THEM. WELL
THE AND THE REASON I'M ASKING
THE QUESTION IS THERE'S AN
OBVIOUS SHORTAGE OF. RESOURCES
IN THIS ENTIRE SANDBOX. AND I
THINK. CERTAINLY AT THE STATE
LEVEL WE HAVE AN OBLIGATION TO
MAKE SURE THAT THE RESOURCES.
BEING ALLOCATED ARE USED
EFFECTIVELY AND THAT THEY- A
DRIVE A RESULT. OF SOME SORT.
AND IF NOT I REALIZE THE
ALLOCATION WAS SET UP IN A
PROPOSITION. BUT IF NOT WE NEED
TO TAKE A LOOK AT THE
ALLOCATION. A MECHANISM AND
DECIDE WHETHER IT'S WORTH.
REDESIGNING THE ALLOCATION
PROCESS. AND YOU WILL YOU ALL
WILL PROVIDE US WITH THE
INFORMATION NECESSARY. TO
INFORM. OUR COLLECTIVE DECISION
. SO LOOK FORWARD TO RECEIVING
RESULTS AND HOPEFULLY. THE
REPORTS AND RESULTS THAT YOU DO
FORWARD TO THIS COMMITTEE AND
THE OTHER COMMITTEES IN THE
LEGISLATURE THAT TOUCH THIS
ISSUE. HOPEFULLY WHAT WE WILL DO
AN IMPACT ANALYSIS AND- AND LET
US KNOW WHAT THE REAL IMPACT OF
THOSE DOLLARS- HAS BEEN. COGS
QUESTIONS SIR BRADFORD YEAH MY
QUESTION. OR LESS FOR ONE
FORSMAN I NEED TO HAVE A BETTER
UNDERSTANDING. C. H. P. HAS
STOOD UP A SEPARATE DIVISION TO
IDENTIFY FOLKS DRIVING UNDER
INFLUENCE OF CANNABIS IS THAT
WHAT I UNDERSTOOD TO SAY.
GNOMISH CHART WHAT WE STOOD UP
WITH AN IMPAIRED DRIVING SECTION
FOCUSED ON. IMPAIRED DRIVING
ISSUES WITH IN THAT WE'VE
CREATED A CANNABIS GRANTS UNIT
THAT OVERSEES THE MANAGEMENT OF
THE FUNDING IS GIVEN TO THE
CALIFORNIA PATROL BECAUSE WE
GIVE OUT THE OPPORTUNITIES TO
OTHER AGENCIES. BUT YEAH HELP ME
UNDERSTAND- WITH IMPAIRED
DRIVING YOU VERY. YOUR ALRP
PROGRAM SET UP. SO WHY DO YOU
NEED A SEPARATE ONE FUNDED BY
CANNABIS IF YOU'RE YOU'RE
ALREADY DOING IMPAIR DRIVING.
DRIVING OKAY SOUNDS FORCED ALL
RIGHT. THAT'S OKAY- SO THE
IMPAIR DRIVING SECTION IS NOT
FUNDED THROUGH THOSE FUNDS IS
FUNDED BY THE CALIFORNIA HIGHWAY
PATROL SO IT'S WHERE OUR
EXECUTIVE MANAGEMENT TOP
MANAGEMENT. PUT WHERE IT FITS IS
THE CANVAS PRINTS FITS WITHIN
THAT SECTION IT'S NOT THAT THAT
SECTION IS FUNDED OR DOES
ANYTHING RELATED TO CANNABIS
GRANTS CANADA FRANCE'S OWN
ENTITY WITHIN THAT SECTION SO
JUST AN ORGANIZATIONAL FLOW IF
YOU WILL. OKAY AND THAT'S WHY
I'M CONFUSED BECAUSE- I HAVE A
LOT OF FRIENDS AND FAMILY. AND
LAW ENFORCEMENT. AND AS THEY
TELL ME AND I CHEERED PUBLIC
SAFETY TO THE PUBLIC SAFETY FOR
NUMBER OF YEARS AND SEVEN A LOT
OF PANELS AND THIS IS NOT HOW WE
KNOW. THE IMPAIR DRIVERS OF
WHO'S USING CANNABIS THEY'RE
DOING THE SPEED LIMIT. THEY'RE
NOT DIRECTLY STRIVERS SO I'M I'M
JUST TRYING TO UNDERSTAND WHAT
WE ACHIEVING YEAR IF WE- I DON'T
KNOW WHAT WE'RE LOOKING FOR
BECAUSE I'M PRETTY SURE ALL THE
ACCIDENTS AND- FATALITIES THAT
WE HAVE. ON THE HIGHWAYS I WAS
STILL LESS THAN 5% IS JUST
CANNABIS ALONE MOST OF WHAT YOU
SAID OR ALCOHOL OR- OPIOIDS. SO
ARE YOU STANDING UP OPIOID
OPIOID DIVISION INSIDE THAT TO
SAY HEY LET'S LOOK AT. I DRIVERS
UNDER THE INFLUENCE OF OPIATES
IS THAT WOULD BE A CATEGORY THAT
IMPAIR DRIVING SECTION WOULD
DEAL WITH BUT IT AGAIN IT HAS
NOTHING TO DO WITH THE CAMPUS
GRANTS UNIT. THAT OVERSEES THE
FUNDING THAT GIVES THE MONEY OUT
TO OPPORTUNITIES TO THESE OTHER
AGENCIES SO YOU'RE FUNDING OTHER
AGENCY THAT IS CORRECT. DID YOU
WHAT. IMPAIRED DRIVING AND I'M
JUST TRYING TO FIGURE OUT WHAT
THEY'RE DOING SO IT DEPENDS ON
THE OPPORTUNITY TO THEY PUT IN
FOR WE HAVE TO HAVE LAW
ENFORCEMENT TO INCREASE IMPAIR
DRIVING AND DEAL WITH IMPAIR
DRIVING WITHIN THOSE LOCAL.
JURISDICTIONS WHETHER IT BE A
COUNTY- CITY WE ALSO FIND CRIME
LABORATORIES TO INCREASE ENHANCE
TESTING WE ALSO HAVE AN
EDUCATIONAL COMPONENT WHICH CAN
BE TAKEN ADVANTAGE OF BY LAW
ENFORCEMENT AS WELL AS NONPROFIT
ORGANIZATIONS. DOES THIS FUNNY
ALSO GO TO LAW ENFORCEMENT SO
THEY CAN DO MORE. RAIDS ON
ILLEGAL OPERATORS- BIKE LEGAL
DISPENSARIES HERS THINGS OF THAT
NATURE DOES THAT FUND THOSE TYPE
OF PROGRAMS AS WELL THE
EXPANSION OF THAT. I WOULD HAVE
TO GET BACK TO YOU ON THAT ON
THE EXACT OPPORTUNITY TO THE
RIGHT OFF THE TOP MY HEAD IT
DEPENDS ON WHAT THEY'RE PUTTING
IN FOR- WE CANNOT FUNDS STATE
AGENCIES AND I KNOW THAT THERE'S
A- TASK FORCE TO DEALS. EXACTLY
WITH WHAT YOU'RE REFERRING TO
SENATOR SO THAT'S COMPLETELY
SEPARATE GRIFFIN AGENCY HE CAME
TO THE DEPARTMENT AND WITHIN
THEIR OBJECTIVES WROTE SOMETHING
OUT SAID HE WILL WORK IN
COLLABORATION WITH. THESE
ENTITIES AND ONE OF THINGS WE'RE
HAVING A PROBLEM WITH THE WE'RE
SEEING AN ORGANIZATION WHOSE
WERE SAYING THAT THE ILLICIT
MARKET. IS YOU KNOW IMPEDING
UPON THESE. LEGAL ORGANIZATIONS
COULD THAT BE SOMETHING THEY
COULD WIPE WELL IN A POINT INTO
THEIR OBJECTIVES THAT BE
SOMETHING THAT WE WOULD TAKE
UNDER ADVISEMENT WE WOULD THAT
THROUGH OUR TOP MANAGEMENT TO
AGENCY. AND YES THAT WOULD BE
SOMETHING THAT POTENTIALLY COULD
BE. GRANTED THROUGH A GRANT AND
HIS SON FAIR QUESTION ASKED
BECAUSE I THINK IT'S MORE OF A
LOCAL AGENCY YOU KNOW OUR
RESPONSIBILITY. BUT WHAT HAS
BEEN BROUGHT TO MY ATTENTION
WHEN LAW ENFORCEMENT. DOES RATE
THESE ILLEGAL OPERATORS. IS THE
EMPLOYEES WERE CITED. ITS
EMPLOYEES TO. GO TO COURT NOT
THE OWNER SO WHY AREN'T THEY
BEING CHARGED BECAUSE THEY'RE
ALLOWED TO SHUT DOWN THEIR
SHOPPING OPEN UP DOWN THE BLOCK.
UNSCATHED BUT IT'S EMPLOYEE WHO
WAS WORKING THERE AT THE TIME
WHO GETS THE VIOLATION. AFTER
COURT APPEARANCE WILL. WHY CAN'T
WE HAVE THAT WHY SHOULD. A LOW
LEVEL EMPLOYEE BE THE ONE THAT
TAKES THE HIT FOR A LEGAL
OPERATION AND NOT THE OWNER OF
THE BUSINESS. AT THE GREAT
QUESTION IS SOMETHING OUTSIDE OF
MY EXPERTISE AS YOU MENTIONED
EARLIER WOULD BEING A LOCAL.
ENTITY AND JURISDICTION BUT
THAT'S A GREAT QUESTION I THINK
THAT'S A DISCUSSION THAT WE NEED
TO HAVE LAW ENFORCEMENT BECAUSE
THAT'S WHAT I'M HEARING FROM A
LOT OF FOLKS IT'S THE FRONT LINE
WORKERS. WHO ARE WORKING AND
UNBEKNOWNST TO THEM THEY DON'T
KNOW IF THEY'RE WORKING FOR A
GUY ARE THAT HOW THE LICENSE OR
NOT THE SHOW UP IT BY FOR A JOB
AND- NEXT YOU KNOW THE PLACE
GETS RAIDED AND- THEIR- THEIR
SIDE AND- THEY FIND THEMSELVES
IN COURT. OKAY THANK. THANK YOU
CENTER BRADFORD. CEREMONIAL
THANK YOU ALL- IT WAS A PLEASURE
TO HEAR WHERE THE MONEY IS BEING
SPENT AND DR GRANT I. LIKE I
FALL INTO LIKE THE RESEARCH
WORLD SO THANK YOU SO MUCH FOR
PROVIDING THAT INFORMATION- I
WONDER FROM THE B. THE GRANTS
THAT HAVE ALREADY BEEN PROCURED
AND THE STUDIES- TO HAVE.
OUTCOMES OF THOSE AND IF SO. YOU
DON'T TALK ABOUT THEM BUT JUST
PLEASE. POINT ME IN THE RIGHT
DIRECTION SO I COULD SEE SOME OF
THE OUTCOMES- I'M CURIOUS
BECAUSE I LOOK AT ALSO LIKE
MATERNAL AND CHILD HEALTH. AND
KNOWING THAT. YOU KNOW THERE IS
A BLOOD BARRIER. TRANSFERENCE OF
CERTAIN- CHEMICALS. AND
WONDERING LIKE HOW ARE WE AS A
SOCIETY TAKING CARE OF OUR KIDS-
AT THAT ARE ARE BEING- THAT ARE
GROWING UP IN THE LEGAL CANNABIS
. USE A FAMILIES COMMUNITIES SO
THOSE ARE THE STUDIES THAT I'M
I'M INTERESTED IN LOOKING AS
WELL- I DON'T KNOW IF THAT'S
INTERESTING- TO YOU- I ALSO LOVE
THE FEEL GOOD PROGRAM PROGRAMS
WHERE YOU HAVE OPPORTUNITIES TO
GET A HAND UP- AND EXPOSURE TO
THE WORLD BECAUSE I KNOW THAT
THERE IS. SO MANY OPPORTUNITIES
THAT ARE USED TO NOT GET
PARTICULAR BROWN AND BLACK BROWN
AND BLACK YOUTH IN OUR LOW
INCOME YOUTH. AND SO KNOWING
THAT THESE- THESE TAX FUNDS ARE
GOING THERE- FEELS GOOD. I AM
ACTUALLY RUNNING A BILL OR
WORKING ON RUNNING A BILL. IN
THE SENATE AND THIS IS WHY THIS
IS SO FASCINATING TO ME- TO BE
ABLE TO PUT MORE PRESSURE ON THE
ILLICIT ASPECT OF CANNABIS AND
SO MY QUESTION IS FOR YOU CHIEF-
SO I AM STILL LOOKING AT THE
DIFFERENT LAYERS AND OF WHAT
WILL. ADD TO THE SOLUTION AND
NOT CREATE MORE UNINTENDED
CONSEQUENCES RIGHT- I FROM MY
PERSPECTIVE IN WHAT I GET FROM
MY CONSTITUENTS- IS THAT THE
LOCAL JURISDICTIONS ARE REALLY
STRUGGLING. WITH BEING ABLE TO
FUND- UP PROGRAMS OR EVEN-
INTERVENTIONS TO BE ABLE TO SHUT
DOWN SOME OF THE ILLICIT.
RETAILERS THE MELISSA GROWERS.
AND SO- THINKING ABOUT WHAT YOU
SHARED I'M NOT. LOOKING AT
REALLOCATING THE EXCISE TAX BUT
LOOKING AT HOW DO WE HELP TO
STRENGTHEN SOME OF THE LOCAL
JURISDICTIONS- SO THREE THREE.
AREAS I'D LIKE YOU TO JUST TALK
TO TALK ABOUT A LITTLE BIT ONE
IS- ANY REVISIONS TO STATUTORY
PENALTIES FOR THE UNLICENSED
CANNABIS ACTIVITIES GIVING MORE-
EMPOWERMENT OR MORE JUST. MORE
AUTHORITY TO LOCAL JURISDICTIONS
WITHOUT HELP- THE SECOND ONE IS
IMPROVEMENTS TO LOCAL
ADMINISTRATIVE PENALTY PROCESS
WITH CANNABIS CANNABIS
VIOLATIONS. WOULD THAT HELP OR
WITHOUT HURT AND THEN LAST BUT
NOT LEAST- FORFEITURE FOR
PERSONAL PROPERTY USED FOR AYE
UNLICENSED CANNABIS ACTIVITIES.
EITHER ONE OF THOSE THREE SOUND
LIKE SOLUTIONS THAT WOULD REALLY
HELP MOVE US IN THE RIGHT
DIRECTION- OR IS IT JUST ADDING
MORE. YOU KNOW PAIN TO A- THE
SYSTEM THAT'S ALREADY BRUISED UP
. I APPRECIATE THE QUESTION I
THINK IT'S AN INTERESTING TOPIC
THAT NEEDS TO BE NEED TO BE
ADDED I THINK THERE NEEDS TO BE
A LOT MORE STAKEHOLDERS TO THE
TABLE THAT CAN ACTUALLY. PROVIDE
EXPERTISE AND WHAT THEY'RE
ACTUALLY BATTLING BECAUSE AGAIN
FROM THE FROM THE STANDPOINT OF
THE C. H. P. WERE NOT BOOTS ON
THE GROUND IN THESE
JURISDICTIONS AND SO IT WOULD BE
ON FOR ME FOR ME TO SPEAK FOR
LIKE HUMBOLDT COUNTY VERSUS SAN
DIEGO COUNTY VERSES. SAN
FRANCISCO ALTHOUGH WE DO SIT AT
THE TABLE ON THE STATEWIDE TASK
FORCE THAT IS ADDRESSING ALL
THAT WITH ALL OF OUR KEY STAKE
HOLDERS WITHIN THE ORGANIZATION
AND STATE AGENCIES SO I THINK
THAT'S IMPORTANT THERE ARE
EFFORTS THAT ARE BEING MADE- TO
HELP. BUT THAT'S AN INTERESTING
QUESTION I THINK- TIME WISE IT
WOULD IT WOULD TAKE A LOT TO
DIVE IN AND UNPACK ALL OF THAT-
BUT- I THINK IT COULD BE A
DOUBLE EDGED SWORD COULD HELP
POTENTIALLY. AND AT THE SAME
TIME COULD HINDER. MAYBE AND I
DON'T KNOW BUT OBVIOUSLY IT'S
SOMETHING NEEDS TO BE TALKED
ABOUT ADDRESSED. BY THE
COMMITTEE IN THE IN THE
APPROPRIATE STAKEHOLDERS OKAY
THAT THAT'S FAIR THAT'S FAIR
AND- I THINK THIS QUESTION IS
ALSO GOES OUT TO JUST CUT UP. TO
OUR OUR- OUR GENERAL BUSINESS
OWNERS ALSO THE AUDIENCE BECAUSE
I AM LOOKING AT A ROOT CAUSE
THINKER AND I'M LOOKING AT.
WHERE DO YOU NEED TO PULL THE
WEEDS TO MAKE SURE THAT YOU'RE
CULTIVATING THE LAND IN A WAY
THAT IS HEALTHY FOR THE
COMMUNITY. AND WHAT I'M HEARING
IS THAT THEY'RE SO MUCH
DESTRUCTIVE WEEDS. THE GUY
MAKING A JOKE HERE. DESTRUCTIVE
WEEDS WE THAT WE- THE CULT OF
THE INDUSTRY THAT WE ARE
ESSENTIALLY BRINGING DOWN. AN
INDUSTRY THAT WAS MADE TO LIFT
UP OUR ECONOMY AND MADE TO LIFT
UP. OUR COMMUNITIES IN A WAY
THAT PROVIDES EQUITY AND ALSO
SAFER COMMUNITIES SO I'M I'M
STILL CONFLICTED WITH WHAT THE
SOLUTION IS BUT I'M GONNA KEEP
LISTENING AND LEARNING- AND
HOPEFULLY ADD TO SOLUTIONS AND
NOT FURTHER. ADD TO THE PROBLEM
. THANK YOU SENATOR I WANT TO
THANK OUR PANELISTS FOR AN
EXCELLENT THE STAFF HERE. IS SO
IMPORTANT WHY I'M SILLY CENTERS
REDFORD UPON. WITH WITH THE
ELIMINATION OF THE ACCESS EXCISE
AND CULTIVATION TAX. HAVE YOU
SEEN AN IMPACT ON ANY OF YOUR
PROGRAMS. OF THE- FOUR.
ORGANIZATIONS HERE HAVE YOU SEEN
A IMPACT ON. YOUR PROGRAM.
REVENUE. WHAT I GUESS I COULD
SAY WHAT WERE THE TINIEST AND I
DON'T WE HAVEN'T SEEN AN IMPACT
YET I HOPE WE DON'T THAT'S GOOD.
FILM YEAH. THE BOOGIE MAN THAT
EVERYBODY SAID THAT IF WE- GET
CUT- CULTIVATION TRACK TO WHAT
KILL THESE PROGRAMS SO IT'S GOOD
TO KNOW THAT OKAY IT HAS ANY
EFFECT. THANK YOU CENTER WAS I
WAS SAYING THANK YOU FOR THE
EXCELLENT CONVERSATION I'M SURE
THIS WILL CONTINUE- IN THIS AND
OTHER. PARTS OF THIS BUILDING.
SO THANK YOU VERY MUCH FOR YOUR
HELP TODAY. WE'RE NOT GOING TO
MOVE TO- PUBLIC COMMENT. THOSE
IN THE HEARING ROOM TODAY WISH
TO BECOME TO MAKE PUBLIC COMMENT
AND ADDRESS THE COMMITTEE-
PLEASE THE- SEP UP TO THE
MICROPHONE. AND I WOULD
APPRECIATE YOUR NAME AND YOUR
ORGANIZATION IF YOU HAVE ONE.
AND A VERY BRIEF COMMENT- WE
HAVE YET TO FIGURE OUT WHO'S ON
THE TELEPHONE LINE IT IS NOW
FIVE TEN PM- PLEASE PROCEED SIR
. HI GREETINGS ON ROGER RUMORS
CAN HEAR ME. PERFECTLY RIGHT. I
THANK YOU AGAIN FOR OF THIS
ONGOING- COMMITTEE MEETING OR
HEARING I APPRECIATE YOUR TIME
THE- THANK YOU CENTER BRADFORD.
WAS BEEN CHAMPION THE WAYS THAT
WE NEED. WE HOPE TO GAIN MORE
ALLIES. WE HAVE THE GAME MORE
ALLIES ON THIS JOURNEY WE'RE
LISTENING TO YOU. MY NAME IS
MIKE SNELL- I'M A I'M A VETERAN
HERE IN SACRAMENTO I AM ALSO ONE
OF THE- I. TEN FORTUNATE A
SOCIAL EQUITY MEMBERS THAT WILL
BE. THAT IS THAT IS GRANTED THE
RIGHT TO APPLY FOR STOREFRONT
DISPENSARY- MY LOCATION IS IN
THE LAST PHASE WE'VE ALREADY.
WE'VE ALREADY- OBTAINED OUR
STATE LICENSE NOW WE'RE JUST
GOING THROUGH THE LOCAL VOCAL
BUT WE'RE ON OUR WAY- I JUST
WANT TO TOUCH ON A FEW THINGS.
AND THEN. WHILE WE'RE STILL KIND
OF FRESH ON THE TOPIC WITH LAW
ENFORCEMENT I JUST I FIND IT
INTERESTING WE CAN BRING OF
STATS ON- STATS ON. THE IMPACT
FROM CONSUMPTION OF CANNABIS AND
CANNABIS RELATED INCIDENTS HOW
ARE WE DON'T EVEN HAVE. TESTING
PROPER TESTING SO WE SHOULD KIND
OF REVISE THAT DATA AND REALLY
GET TO THE ROOT OF IT LIKE LIKE
YOU WOULD LIKE YOU WOULD SAY-
CENTER SO GOING FORWARD IT JUST
KIND OF KEEP THAT IN MIND SOME
OF THAT DATA COMES OUT WE DON'T
HAVE PROPER TESTING FOR IT AND I
AM AWARE THAT BECAUSE- OF LOCAL
COUNCILMEN THAT WOULD REJECT-
ALLOWING SO TO SPEAK OR A BAR
FOR CANNABIS CONSUMPTION SINCE
YOU'RE NOT ALLOWED TO CONSUME.
IF YOU'RE RENTING A HOME OR OR
IF YOU HAVE KIDS YOU'RE NOT
ALLOWED TO CONSUME SO WE NEED WE
NEED FACILITIES SO WE CAN. SO WE
HAVE FOR THOSE THAT DO CONSUME
THEY HAVE PLACE TO GET SOME
RATHER IT'S- RATHER THAN A
DESIGNATED RESORT. A MEDICAL
FACILITY SINCE HER YOU KNOW FOR
THOSE OF YOU KNOW SOMETHING- BUT
GOING FORWARD. THIS INDUSTRY HAS
BEEN TREATED. TEMPERAMENTAL I
GUESS I'M A VETERAN. I WAS
PUSHED OUT OF THE MILITARY AFTER
SERVING BOTH IRAQ AND
AFGHANISTAN- I WAS TREATING
MYSELF FOR PTSD I HAD NOTHING.
NOTHING ELSE GOING ON IN MY
MILITARY CAREER AFTER TWELVE
YEARS I WAS PUSHED OUT JUST FOR
SIMPLY CONSUMING- I WAS
SEPARATED FROM MY SON FOR YEARS
JUST BECAUSE I WAS IN AND- BUT-
YOU KNOW. NOT GONNA GO TOO DEEP
IN THAT. BUT JUST FOR SIMPLY
CONSUMING I WAS DEMONIZED. I WAS
RIPPED AWAY OF MY STRIPES I WAS
EMBARRASSED IN FRONT OF ALL OF
MY SUBORDINATES. AND SO FORTH SO
FOR ME TO BE IN THIS POSITION TO
GET READY TO OPEN A STORE FOR
DISPENSARY THIS IS MY REBOUND.
HOWEVER IT'S VERY ALARMING THAT
THIS INDUSTRY. IT'S STILL
TREATED TEMPERAMENTAL AND NOT AS
A PERMANENT INDUSTRY. LIKE
ALCOHOL WHICH WE JUST HAVE
BREWFEST WHERE IT'S ON CAPITOL
LAWN. EVERYBODY'S FAMILIES OUT
THERE YOU CONSUME IN IN IN
EVERYTHING FROM THE KIDS AS IT'S
A COOL THING WHICH WE KNOW IT'S-
OBVIOUSLY. RELATED TO VIOLENCE
AND OTHER- NOT SO. OF FAN
RELATED INCIDENTS SO. IF WE CAN
IF WE CAN HAVE CANNABIS TREATED
MORE. AND MORE NORMALIZED LASTLY
. AM I JUST BEING WITH STATE
UNDER. THE VALUE OF X. OF
PUSHING FOR ANNUAL ANALYZING.
THE LICENSES SO THAT WE OPERATE
LIKE MYSELF WILL HAVE
PROTECTIONS. FOR ANY KIND OF
REVISIONS OR ANYTHING LIKE THAT
IF YOU'RE PROVISIONAL YOU DON'T
HAVE. AN OPPORTUNITY TO APPEAL
ANYTHING OR REVISE ANYTHING SO I
SEE THE VALUE IN THAT. HOWEVER
WE'RE STILL STEIFF IN BY LOCAL
JURISDICTIONS BECAUSE OF. THE
CURRENT- BURBRIDGE THAT'S IN
PLACE THROUGH PROPS EXPORT- AND
SO WE DO HAVE TO RESET IT RESET
BUTTON- I HAVE A TEN OTHER
THINGS TO TOUCH ON BUT I'M SURE
MY OTHER FOLKS WILL TOUCH ON IT-
YOU KNOW BUT THE SYNTAX. THE
SYNTAX APPROACH TO THE INDUSTRY
IT HAS TO STOP WE HAVE TO
NORMALIZE IT TO A TO A- DEGREE.
TO WHERE WE CAN TREAT THIS LIKE
A REGULAR BUSINESS ZERO INTEREST
LOANS DON'T BENEFIT. UNSTABLE
INDUSTRY WHERE YOU CAN'T BANK
ANYWHERE ELSE IT HAS TO BE
GRANTED ONLY AND SO WE HAVE A
STABILIZE INDUSTRY- I'M JUST
GONNA LEAVE IT AT THAT FOR NOW I
APPRECIATE YOUR TIME THANK YOU
SO MUCH. THANK YOU AND THANK YOU
FOR ATTEMPTING TO BE CONCISE LET
ME JUST SAY THIS YOU CAN SUBMIT
YOUR WRITTEN STATEMENTS TO THE
COMMITTEE. AND I CAN ASSURE YOU
THAT WE WILL READ THEM. TRY TO
BE AS CONCISE AS POSSIBLE WE
NEED TO GET THROUGH THE LINE IN
THE ROOM HERE AND THEN WE NEED
TO TURN TO THE TELEPHONE LINE
SO. YES I'LL GET RIGHT TO THE
MONEY IS MADISON SHOCKLEY THE
THIRD FROM LOS ANGELES SOCIAL
EQUITY ENTREPRENEUR- BEEN
PURSUING MY RETAIL. DISPENSARY
LICENSE FOR FOUR AND A HALF
YEARS NOW. AND I'M CLOSE OPENING
MY DOORS- I ALSO REPRESENT THE-
CANNABIS- POLICY COUNCIL. AND WE
HAVE HUNDREDS OF MEMBERS ACROSS
THE STATE THAT A SOCIAL EQUITY
ENTREPRENEURS IN 98% OF THEM
ARE. APPLICANTS AND NOT
OPERATORS. AND THE ONLY REASON
I'M EVEN THIS CLOSE TO OPENING
MY STORE IS BECAUSE I'VE BEEN
ABLE TO RAISE NINE HUNDRED
THOUSAND DOLLARS. TO INVEST INTO
GETTING THIS FAR INTO THE
PROCESS. AND WE'VE HEARD A LOT
TODAY. ABOUT THE PROBLEMS WITH
THE SYSTEM IN HOUSE CREATE IT
IN. ALL THE ALL THE- THAT HAVE
TO THROUGH WILL THE ONE
EQUALIZER. FOR GETTING TO THOSE
HOOPS. IS CAPITAL- WE'VE HEARD
THAT OVER AND OVER ACCESS TO
CAPITAL- THE CANNABIS GAME IS
REAL ESTATE. PLUS CAPITAL. AND
YOU KNOW WHEN WE THINK ABOUT-
HAVING THE GOAL OF THE STATE'S
GOAL OF HAVING AN EQUITABLE
MARKET. THE STATE HAS NOT
PRIORITIZED PUTTING CAPITAL IN
REAL ESTATE INTO THE HANDS OF
EQUITY ENTREPRENEURS. SO WE'RE
DESTINED TO FAIL BECAUSE OF THAT
WHEN WE THINK OF OUR OUR
NATION'S MOST FAMOUS.
ENTREPRENEUR AND CEO WITHIN OF
YVONNE MOSQUE WELL HE STARTED
HIS MOST SUCCESSFUL COMPANY
TESLA- WITH A FIVE HUNDRED
MILLION DOLLAR GRANT FROM THE
GOVERNMENT. AND HE ALSO BOUGHT
HIS FIRST- PLANT COULD BUILD IS-
VEHICLES FROM THE TOYOTA FOR
LESS THAN TWENTY CENTS ON THE
DOLLAR SO HE GOT HIS REAL
ESTATE. AND THE LOAN OF THE
GRANT FROM THE GOVERNMENT WAS
CONTINGENT ON HIM HAVING THE
PLAN. TO BUILD. THIS THIS
COMPANY SO THE GOVERNMENT FOUND
A WAY TO GIVE THE LAN MUST FIVE
HUNDRED MILLION DOLLARS. AND I
HEAR ALL THE MONEY. IS GOING TO
THESE ORGANIZATIONS FIVE
HUNDREDS OF MILLIONS OF DOLLARS
IN THEIR BUDGETS WE'RE TALKING
ABOUT SINGLE DIGIT MILLIONS WHEN
IT COMES TO SOCIAL EQUITY- GRANT
FUNDING FOR JURISDICTIONS.
THAT'S NOT PRIORITIZING SOCIAL
EQUITY AND THE RACIAL MAKE UP OF
THE COMMITTEE THAT WE JUST SAW
PEOPLE WHO WERE ADMINISTRATING
THOSE FUNDS- WHERE IS THE
DIVERSITY IN THAT. THE AT THE
TOP ABOUT I HAVEN'T I HAVEN'T
HEARD OF ANY OF THESE PROGRAMS
IN OUR COMMUNITY- SO WE'RE
TAKING MONEY. I'VE BEEN. THE TAX
MONEY ALONE TO GO SPOKE TO IT.
IF WE JUST OPENED IF WE INVESTED
CAPITAL IN OPENING MORE SOCIAL
EQUITY STORES WE SOLVE A LOT OF
THE PROBLEMS WITHOUT EVEN
CHANGING MUCH OF THE FREIGHT
FRAMEWORK SO GIVE US FIVE
HUNDRED MILLION DOLLARS THANK.
THANK YOU. YOU KNOW I'M- I DON'T
WANT THIS TO TURN INTO AN
ADDITIONAL TWO A SIX PANEL- I
HAVE THE I HAVE THE DISCRETION
TO PUT TIME LIMITS ON YOU BUT
I'M NOT DOING THAT SO PLEASE TRY
TO STAY IS CONCISE YOU CANCER
YEAR OF NEXT. ALREADY. THANK YOU
CENTERS FOR GATHERING OUT HERE
TODAY MY NAME IS MIKE MISIA'S I
AM THE FOUNDER OF C. CASCADIAN
SOCIAL EQUITY OUT OF THE CITY OF
LONG BEACH. I'VE BEEN WORKING IN
THE CANNABIS INDUSTRY AND
PROTECTING OPERATORS FOR THE
LAST SEVEN YEARS. CANNABIS IS A
CASH OPERATED BUSINESS MAKING A
VERY HIGH RISK. EVERYONE HAS THE
SAME COMPLAINTS AND CONCERNS
BECAUSE OUR SECURITY IS JUST WAY
TOO HIGH. THEY EITHER HAVE TO
SUFFER SECURITY QUALITY OR GOING
THE READING FOR IT. I PROPOSE AT
THE STATE OF CALIFORNIA BEGINS
TO START OFFERING SUPPORT TO
THESE CANNABIS BUSINESSES. GIVE
THEM GRANTS GIVE THEM FUNDING
GIVEN TAX BREAKS GIVES OPERATORS
A SUPPORT AND ABILITY TO OPERATE
AND RUN SAFELY. THIS SHOULD BE A
PRIORITY THANK YOU. THANK YOU
EXCELLENT JOB. THE NEXT. SET THE
RECORD. THANK YOU COMMITTEE FOR
HOLDING THIS CONVERSATION TODAY
WE REALLY APPRECIATE IT MY NAME
IS MICHAEL KATZ IN THE EXECUTIVE
DIRECTOR FOR THE MENDOCINO
CANNABIS ALLIANCE. REPRESENT
OVER A HUNDRED AND TWENTY
INDIVIDUAL CANNABIS BUSINESSES
IN MENDOCINO COUNTY WHICH AS OF
TODAY BASED ON THE NUMBER OF
LICENSES FOR CULTIVATION GIVEN
TO INDIVIDUAL BUSINESSES AND IN
THE STATE. MAKES UP 20% OR SO OF
THE ACTIVE INDIVIDUAL
CULTIVATION BUSINESSES IN THE
STATE OF CALIFORNIA JUST TO
MENDOCINO COUNTY- OUT OF THOSE-
ONLY ABOUT 1% HAVE BEEN MOVED TO
ANNUAL LICENSURE. THIS DEADLINE
OF JULY FIRST IS COMING UP IS A
HUGE CONCERN FOR OUR COMMUNITY
IN THE COMMUNITY AT LARGE
BECAUSE OPERATORS MAY SEE.
THEMSELVES BEING PUSHED OUT OF
THE REGULATED SYSTEM MONTH BY
MONTH BECAUSE THESE DEADLINES
HAVE NOT BEEN MOVED OUR
COMMUNITY DESPERATELY NEEDS. AN
EXTENSION ON THE PROVISIONAL
DEADLINES AND OR IN EXEMPTION
FOR SMALL FARMERS FOR SEQUEL- WE
FULLY SUPPORT THE COMMENTS OF
ORIGINS COUNCIL. AND WE FULLY
SUPPORT THEIR COLLABORATION WITH
THE HOOD INCUBATOR AND THE-
CANNABIS EQUITY POLICY COUNCIL
CALL FOR A STATE EQUITY
ASSESSMENT AND BASING EQUITY
PROGRAMS ON- DATA OF WHICH
COMMUNITIES HAVE BEEN MOST
DISPROPORTIONATELY AFFECTED BY
THE WAR ON DRUGS. THANK YOU SO
MUCH FOR YOUR CONSIDERATION
THANK YOU NEXT PLEASE. HELLO MY
NAME IS LINDSAY ROBINSON I'M THE
EXECUTIVE DIRECTOR OF THE
CALIFORNIA CANNABIS INDUSTRY
ASSOCIATION- I'M SO PLEASED AT-
THE LEVEL OF INTELLIGENT AND
THOUGHTFUL CONVERSATION THAT
HAPPENED HERE TODAY AND
HOPEFULLY WE'LL BE ABLE TO
PARTICIPATE IN FURTHER
CONVERSATION TO HELP EDUCATE
EACH OTHER. AND THE SENATORS AND
THE AT LEGISLATORS AT LARGE
ABOUT THE COMPLEX ISSUES THAT
OUR INDUSTRY IS FACING THE C. I.
A. REPRESENTS OVER THREE HUNDRED
BUSINESSES OF VARIOUS SIZES
ACROSS THE CITY AND ALL ASPECTS
OF THE SUPPLY CHAIN. AND THE
NUMBER ONE ISSUE THAT WE ARE
FACING- WAS IT IS THAT THERE IS
VERY LITTLE SUPPORT FOR SMALL
BUSINESSES- THERE'S VERY LITTLE
SUPPORT FOR SOCIAL EQUITY I WAS
REALLY AMAZED AT THE LAST PANEL
IN THE AMOUNT OF MONEY THAT IS
BEING ALLOCATED FOR THESE.
PROGRAMS WHICH IS WRITTEN INTO
PROP SIXTY FOUR IF EVEN A
FRACTION OF THAT WENT MORE TO
SOCIAL EQUITY AND MORE TO SEE A
SMALL BUSINESSES WE CAN HELP-
CREATE I THINK A REAL POSITIVE
IMPACT TO HELP THESE BUSINESSES
STAND UP SO- WE ARE PROUD TO.
SUPPORT SENATOR BROWN FOR HIS
BILL SB FIFTY ONE AND WE HOPE
THAT YOU TAKE INTO CONSIDERATION
ALL OF THE THOUGHTFUL- VOICES
THAT WERE. THAT WERE SHARED
TODAY SO THANK YOU SO MUCH.
THANK YOU FOR YOUR COMMENTS NEXT
PLEASE. GOOD AFTERNOON SENATORS
MY NAME IS KAREN WHAT'S AND I
REPRESENT KIVA CONFECTIONS AND
CASOS ARQIVA CONFECTIONS IS. THE
STATE'S LARGEST EDIBLE
MANUFACTURER. AND CAST AS OF-
STATES ONE OF THE STATE'S
LARGEST DISTRIBUTION
ASSOCIATIONS. ARE JUST JUST
DISTRIBUTOR LICENSE FEES AND
WE'RE ACTUALLY AS OF TODAY A NEW
ANNUAL LICENSE HOLDER. TO COST
ABOUT NINE HUNDRED EIGHTY FIVE
DAYS- I AM. THE DISCUSS TODAY
ESPECIALLY THE FOCUS ON
EFFICIENCY. COST REDUCTION AND
ELIMINATION OF RED TAPE- I VERY
MUCH SUPPORT THE CALL THAT THE
CALLS TO ACTION BY MY COLLEAGUES
ARTICULATED TODAY TO LOWER THE
TAX BURDEN. ELIMINATE THE SECRET
SITE SPECIFIC REQUEST
REQUIREMENT. AND THE CULTURE OF
NONPAYMENT AND INCREASED RETAIL
ACCESS TO THAT POINT CUBA IS
SPONSORING LEGISLATION AB THREE
FIVE ONE- THAT'S PENDING
LEGISLATION THAT WOULD HELP
STREAMLINE SOME OF THE LICENSING
BURDENS AT THE DC SCENE NAMELY.
TO ALLOW FOR EFFICIENT LICENSE
TRANSFERS. AS WE STARE DOWN SOME
SERIOUS CONSOLIDATION IN THE
MARKET- AND- MERGER AND I
ACQUISITION ACTIVITY OVER THE
NEXT TWO YEARS. TO I APPRECIATE
IT SENATORS SMALL ONES COMMENTS
ABOUT HIGH ROAD EMPLOYERS. I
WOULD ENCOURAGE THE COMMITTEES
TO. REVIEW INCREASING ACCESS TO
HIGHER ROAD TAX BREAKS THOSE
WERE OFFERED TO SOME CANNABIS
BUSINESSES LAST YEAR BUT NOT ALL
OF THEM AND THAT IS SOMETHING
THAT. WOULD BE VERY INTERESTED
IN ACCESSING. AND THEN THIRD I
ENCOURAGE THE COMMITTEE TO
REVISIT THE ESTABLISHMENT IN AB
ONE NINETY FIVE OF THE SIX
HUNDRED FIFTY MILLION DOLLAR
BASS LINE. AS REVENUES CONTINUE
TO FALL AND WE JEOPARDIZE ME
APPROACH THAT SIX HUNDRED FIFTY
DOLLARS FIFTY MILLION DOLLAR
BASELINE FOR THOSE PROGRAMS YOU
JUST HEARD FROM. THERE IS
REQUIREMENT IN AB ONE NINETY
FIVE THAT TRIGGERS AN INCREASE
IN THE EXCISE TAX FROM THE
CURRENT FIFTEEN RATE TO NINETEEN
PERCENT. THAT WOULD BE
DETRIMENTAL IT WOULD KILL THE
INDUSTRY WE NEED TO REVISIT THAT
AUTOMATIC TRIGGER AND ONE NINETY
FIVE THANK YOU. THANK YOU.
THANKS PLEASE HI EVERYONE MY
NAME IS DIANA GAMS ON AND THE
EXECUTIVE DIRECTOR OF THE NEVADA
COUNTY CANNABIS ALLIANCE I AM
PROUD TO REPRESENT. AT OVER TWO
HUNDRED CANNABIS BUSINESSES IN
NEVADA COUNTY. OUR ORGANIZATION
IS REPRESENTED IN SEPARATE
SACRAMENTO BY ORIGINS CASTLE AND
PROUD TO SERVE AS A REGIONAL
CHAIR- WITH ORIGINS COUNCIL. I
WOULD LIKE TO EXPRESS MY
APPRECIATION TO THE STAFF AND
LEADERSHIP OF NEVADA COUNTY FOR
HAVING THE WILL AND THE ABILITY
TO SEE THE LONG TERM VISION AND
ECONOMIC IMPACT OF OUR INDUSTRY.
AS OUTLINED IN THE FIRST AND
SECOND PANELS TODAY THERE'S A
DRASTIC NEED TO RADICALLY
SIMPLIFY ACCESS TO ANNUAL
LICENSES AND WE SUPPORT ALL
EFFORTS. TO MOVE FORWARD TO
CREATE CHANGE TWO FOUR
JURISDICTIONS TO CREATE TO
ACCESS. AB HANDLE LICENSES. AND
WE ALSO SUPPORT REVIEWING
EFFORTS TO LOWER THE TAX BURDEN
AND EXPANDING MARKET ACCESS
ESPECIALLY THE NEED FOR
PRODUCERS TO CONNECT DIRECTLY
WITH CONSUMERS. I'M WITH YOUR WE
LOOK TOWARDS YOUR LEADERSHIP. TO
UPHOLD THE INTENT OF PROP SIXTY
FOUR TO CREATE PATHWAYS TO
LICENSURE FOR SMALL INDEPENDENT
AND EQUITY AND LEGACY OPERATOR
SO THANK YOU SO MUCH FOR THAT
TIME. THANKS FOR YOUR COMMENTS
THANKS PLEASE. GOOD EVENING MY
NAME IS NINA PARKS I AM
REPRESENTING SUPERNOVA WOMEN
WHICH IS A WOMEN. OF WOMEN OF
COLOR THANK CANNABIS
ORGANIZATION AS WELL AS EQUITY
TRADE NETWORK WHICH IS A
NONPROFIT. THAT FOCUSES ON
TRANSFORMATIONAL JUSTICE THROUGH
ECONOMIC EMPOWERMENT AND TO HELP
BUILD AWARENESS OF THE EQUITY
ECOSYSTEM THROUGH A
CERTIFICATION MARK THAT WE GOT
APPROVED THROUGH THE U. S. PTO
HELPS IDENTIFY PRODUCTS THAT
WERE CREATED THROUGH AN EQUITY
PROGRAM. I'M ALSO A EQUITY
VERIFIED APPLICATION IN SAN
FRANCISCO I HAVE AN EVENT
LICENSE- AND I ALSO CHAIR THE
VERY FIRST THAT CANNABIS
OVERSIGHT COMMITTEE IN SAN
FRANCISCO AS WELL WHICH LED ME
TO HELP TO CO FOUND THE CANNABIS
REGULATORS A COLOR COALITION
WHICH IS A- NATIONAL COALITION
OF REGULATORS- OF COLOR FROM ALL
AROUND THE COUNTRY- TO ADDRESS
SOMETHING. THAT SENATOR DODD HAD
SAID- ABOUT LIKE A IS A PROXY
FOR THE ISSUE RIGHT EVEN THOUGH
IS VOTED FOR BY FOLKS THAT THAT
ANSWER IS YES PROP SIXTY FOUR IS
THE ISSUE THERE WAS NO SOCIAL
EQUITY PROVISIONS PUT INTO PROP
SIXTY FOUR TO BEGIN WITH-
ACTUALLY HAD LANGUAGE THAT WAS
VERY DETRIMENTAL FOR
COMMUNITIES. AND ACTUALLY
BLOCKED OUT A LOT OF PEOPLE THAT
WERE PRE EXISTING IN THIS THIS
INDUSTRY WHICH FORCED US TO
ADVOCATE FOR THE FIRST EQUITY
PROGRAM IN OAKLAND AND THEN IN
SAN FRANCISCO WHICH ALSO
PROMPTED. THE NEED FOR SENATOR
BRADFORD TO PUT TOGETHER. SB
TWELVE NINETY FOUR TO BUILD
SCAFFOLDING TO SUPPORT THESE
PROGRAMS BECAUSE THE ORIGINAL
LANGUAGE NEVER SUPPORTED SOCIAL
EQUITY TO BEGIN WITH. SO THE
ISSUES THAT WE'RE FINDING IS
BECAUSE IT'S A VERY INEQUITABLE
BUILT IT WAS A CORPORATE GRAB
AND IT WAS THAT A GENTRIFICATION
OF OUR ENTIRE INDUSTRY- I CAN
SAY THAT AS A PRE EXISTING
OPERATOR I ACTUALLY USED TO MAKE
MONEY. I USED TO BE ABLE TO PAY
PEOPLE. YOU KNOW AND I USED TO
BE ABLE TO SEE A LIVELIHOOD WITH
IT AND NOW I'M LIKE. A NONPROFIT
ORGANIZATION- AS HE ALSO STATED
THE PROBLEM. IS THAT SOCIAL
REASON AFTER THOUGHT. SAN
FRANCISCO UTILIZED THE FRAMEWORK
THROUGH THE HUMAN RIGHTS
COMMISSION- A WHICH WAS THAT
FROM THERE WHICH IS THE
GOVERNMENT ALLIANCE FOR RACIAL
EQUITY SO. YOU KNOW WE DID ASK
QUESTIONS LIKE WHO DOES THIS
HELP WHO DOES THIS HARM. RIGHT
AS WE PUT TOGETHER OUR SOCIAL
EQUITY PROVISIONS FOR SAN
FRANCISCO- CENTER SORRY
BRADFORD'S BILL SB FIFTY ONE-
AGAIN ACTS AS A REAL TIME
SOLUTION TO MITIGATE THE HARMS
THAT ARE CAUSED. BY THESE VERY-
REGRESS HAND LIKE HARD TO GET
THROUGH REGULATE LIKE REGULATORY
FRAMEWORKS- CURRENTLY. EQUITY
TRADE CERTIFICATION MAY LIKELY
TRADE NETWORK IS ACTUALLY
WORKING WITH THE- THE HUMAN
RIGHTS COMMISSION TO PUT TO DO A
FIVE YEAR ASSESSMENT WE HAVEN'T
HAD THAT SORT TRYING TO FIGURE
OUT WHAT IS THE ECONOMIC. LIKE
IMPACTS WERE- OR EQUITY PROGRAM
IN SAN FRANCISCO- THAT BEING
SAID. LIKE THERE IS A NEED
BECAUSE WE'RE FINDING A LOT OF
OUR EQUITY APPLICANTS ARE
ACTUALLY IN A MORE ECONOMICALLY.
DESPERATE POSITION THAT THEY
WERE WHEN THEY START THEN WHEN
THEY STARTED. AND SO YOU KNOW
LIKE. IS IT IS IT IT IS THE
RESPONSIBILITY OF THE CANNABIS
INDUSTRY TO MITIGATE ALL THE
HARM THAT WERE CAUSED BY THE WAR
ON DRUGS OR IS IT THE-
RESPONSIBILITY OF US AS A
COMMUNITY AND AS IT LEADERSHIP
TO FIND OTHER MEANS TO BE ABLE
TO SUPPORT. ECONOMIC ACCESS SO
LIKE. SHOULD SHOULD ACT- EQUITY
UP IT'S ONLY BE ABLE TO ACCESS-
AS WHAT IS THAT- PERMITS AND
LICENSURE INTO THE CANNABIS
INDUSTRY OR SHOULD THEY ALSO
HAVE EXPEDITED LICENSURE INTO
OTHER INDUSTRIES LIKE TECH. OR-
YOU KNOW ANY OTHER INDUSTRY FOR
THAT FOR THAT MATTER SO- A
HUNDRED THOUSAND DOLLARS MIGHT
NOT GO A LONG WAY IN CANNABIS
BUT IT'LL GO A LONG WAY IN A LOT
OF OTHER INDUSTRIES TO BE ABLE
TO GET. EQUITY VERIFIED FOLKS
LIKE INTO OTHER. POSITIONS WHERE
THEY CAN ACTUALLY HAVE
LIVELIHOOD THANK YOU. THANK YOU
NEXT PLEASE. HI FOR THAT WORK
GOOD EVENING MY NAME IS MANISH
BHATI I'M THE CEO OF CRYSTAL
MUGS WERE THE FIRST BLACK AND
WOMEN OWNED CANNABIS LICENSE
DELIVERY HERE IN SACRAMENTO. WE
OPEN IN TWENTY NINETEEN AND
THREE AND A HALF YEARS LATER WE
GOT OUR ANNUAL LICENSE. I'M ALSO
ONE OF TWO BLACK WOMEN WHO WILL
BE OPENING UP A STOREFRONT
DISPENSARY HERE IN SACRAMENTO
THROUGH THE COR PROGRAM. SO I
JUST WANT YOU TO SEE A FACE OF A
REAL LIFE SOCIAL EQUITY
APPLICANTS WHO HAS STARTED FROM
THE BOTTOM. AND WHO IS. TRIED AS
HARD AS I CAN TO GET TO WHERE I
NEED TO BE. IT IS COSTING ME ONE
MILLION DOLLARS TO OPEN UP MY
DISPENSARY WHICH IS LOCATED ON
TWENTY THREE HUNDRED JAY STREET.
WILL BE THE LARGEST DISPENSARY
HERE IN SACRAMENTO- MY HUSBAND I
SOLD OUR HOME TO OBTAIN. SIX
HUNDRED THOUSAND DOLLARS OF THAT
INVESTMENT WE'RE RAISING FOUR
HUNDRED THAT WERE TRYING TO
OBTAIN FOUR HUNDRED THOUSAND
CAPITAL. SO I'VE DONE
EVERYTHING. THAT I'M SUPPOSED TO
DO IN THE COR PROGRAM I'VE TAKEN
EVERY OPPORTUNITY. EVERY WAIVER
EVERY LOAN THAT I. HAVE TAKEN ON
THROUGHOUT THIS POSITION SO. I
JUST WANT YOU TO KNOW THAT
INVESTING IN CORK INVESTED IN
SOCIAL EQUITY. YOU KNOW I AM ONE
OF THOSE PEOPLE I'M A GOOD
PERSON I'M A LOCALLY OWNED
BUSINESS. I OWN A 100% OF MY
EQUITY I HAVE. EXPERIENCED
PREDATORY LENDING- THANK GOD I
AVOIDED THAT- SO I AM PRETTY
MUCH SELF FINANCING THIS THIS
THIS PROJECT. ON THIS PROJECT IS
GOING TO HIRE. AT LEAST TWENTY
PEOPLE IN OUR DISPENSARY SO THIS
IS A REALLY BIG PROJECT. AND I
JUST WANT YOU TO KNOW THAT
PROVIDING FUNDING AND CAPITAL
FOR SOCIAL EQUITY YOU'RE HELPING
PEOPLE LIKE ME. MAKE A
DIFFERENCE IN MY CITY. THANK YOU
AND THANK YOU FOR WHAT YOU'RE
DOING. NEXT PLEASE. WELL GOOD
AFTERNOON HONORABLE COMMITTEE I
APPRECIATE YOU FOR THIS
OPPORTUNITY MY NAME IS OUT FOR
TORONADO. I'M FROM LOS ANGELES
AND- I'M ALSO REPRESENTING THE
SOCIAL EQUITY OWNERS AND WORKERS
ASSOCIATION THE CFO. AND ALSO
SIT ON THE BOARD OF SI PC AS
WELL- I'M A PROUD RECIPIENT
AFTER FIFTY PLUS MONTHS OF
OBTAINING A LICENSE I'VE JUST
RECEIVED MY PROVISIONAL LICENSE.
ALTHOUGH I'M NOT OPEN- I'M
CLOSER THAN I WAS BEFORE- I'VE
BEEN ABLE TO RAISE THE NECESSARY
CAPITAL. HOWEVER CALIFORNIA IS
THE FOREMOST LEADER IN THE WORLD
ON CANNABIS WE MAKE UP ABOUT 20%
OF THE ENTIRE CANNABIS SALES IN
THE COUNTRY. AND SO AS THE WORLD
LEADER WE SHOULD HAVE WORLD
LEAVE IN A LEADING. DATA YOU
KNOW TO MATCH YOU KNOW- THE
WORLD IS LITERALLY WATCHING US
AND HOW WE MOVE. IS GOING TO BE
REALLY PROLIFERATE THE REST OF
THE OF THE WORLD AND SO IT'S
REALLY IMPORTANT THAT OUR- OUR
DATA COLLECTION IS UP TO PAR-
AND WE'VE HEARD THAT. WHILE ALL
COMMITTEES TODAY AND SO- YOU
KNOW ME REFER TO MY NOTES I
APOLOGIZE- YOU KNOW- THE MOST
AFFECTED. DISPROPORTIONATELY
AREAS HAVE RECEIVED FAR LESS
DOLLARS WE NEED TO PRIORITIZE
GRANTS AND TECHNICAL ASSISTANCE
IS VERY IMPORTANT YOU KNOW- WE
HAVE THESE ATTACKS ISSUES WE
NEED TO RE FORM THAT THE
PROLIFERATION OF THE ILLICIT
OPERATORS- IT'S A FEW THINGS WE
KNOW IT'S TAX ISSUES BUT IT'S
ALSO. WE'RE NOT PUTTING ANY OF
PENALTIES OR INCENTIVES ON REAL
ESTATE OWNERS BECAUSE ONCE THEY
GET SHUT DOWN THEY OPEN RIGHT
BACK UP SO THE PROPERTY OWNER
HAS NO NO ISSUE AT ALL THE
WORKERS GO TO JAIL THE OWNERS
KEEP OPENING SO WE THE GIVEN THE
TAX CREDIT. WE PUT PENALTY
ASSESSMENTS ON THOSE PROPERTIES
AND BOREDOM UP AND CLOSE IN
BECAUSE IF THEY LOSE THEIR
PROPERTIES THEY'LL STOP THOSE
ILLEGAL OPERATORS WITH OPERATING
SO WE NEED THAT. IN A JUST
LASTLY YOU KNOW- WE NEED TO BE
ABLE TO OBTAIN A LICENSE LIKE
THINK ABOUT A DOCTOR YOU GET
LICENSED. AND THEN YOU GOT TO
THINK ABOUT OPENING A PRACTICE
WE'RE GOING TO WORK SOMEWHERE
RIGHT YOU DON'T HAVE TO HAVE A
BUSINESS A PUT A BRICK AND
MORTAR BEFORE YOU BECOME A
DOCTOR- AND THAT'S FAR MORE
SOPHISTICATED THAN I WOULD THINK
SELLING CANNABIS BUT WE'RE
FINDING OUT MORE MORE ABOUT
CANNABIS. WE MAY BE THE NEW
DOCTORS SO OR THE OF PROVIDERS
MEDICAL PROVIDERS IF YOU WILL SO
JUST. THINK ABOUT THAT FOR
CHANGE IN THE YES ALL SB FIFTY
ONE WANT TO THANK SENATOR
BRAUGHER FALL YOU'RE BRAVE.
LEGISLATIVE WORK AND- JUST
APPRECIATE MORE CHAMPIONS AT THE
CAPITAL THANK YOU ALL. THANKS
FOR YOUR COMMENTS NEXT PLEASE.
SENATORS BRADFORD ELDORADO.
ROUGH THANK YOU FOR HAVING US
TODAY WE REALLY APPRECIATE YOU
TAKING THE TIME TO LISTEN TO THE
CONCERNS OF THE EQUITY
COMMUNITY. MY NAME IS YVETTE
MCDOWELL AND I'M AN ATTORNEY IN
THE CANNABIS SPACE I'VE BEEN
INVOLVED WITH EQUITY FROM THE
VERY BEGINNING THAT'S ALL I'VE
DONE. BUT AS I SAID HERE AND
LISTEN TO THE DIFFERENT PANELS.
QUESTION BECAME. HOW CAN I MAKE
THIS IS REAL TO YOU AS POSSIBLE
OF THE DIRE NEED. SO THIS IS
WHAT I WOULD LIKE FOR YOU TO DO
AS SENATORS. GO BACK TO YOUR
TWENTY YEAR OLD SELF. AND THINK
ABOUT. WHAT YOU KNEW AT THE AGE
OF TWENTY. GO BACK TO YOUR
TWENTY FIVE YEAR OLD SELF AND
THINK ABOUT IT. THIS AGREEMENT.
THIS IS CALLED AN OPERATING
AGREEMENT. I LOOK AT THESE ALL
THE TIME. PREDATORY INVESTORS. I
PUT THIS IN YOUR HANDS AT TWENTY
TWENTY FIVE YEAR OLD WHAT ARE
YOU GONNA DO. YOU HAVE NO LEGAL
REPRESENTATION. IN YOUR EXPECTED
TO SIGN THESE DOCUMENTS. YOU SEE
ALL OF THESE POSTED THAT I HAVE
HERE IS BECAUSE THERE ARE
PROVISIONS IN THERE THAT SHOULD
NOT BE THERE. EQUITY
PARTICIPANTS DON'T KNOW. THEY
DON'T KNOW WHAT TO DO. SO I
REALLY WANT YOU TO THINK ABOUT
THAT AS YOU MOVE FORWARD WITH
THE DECISIONS THAT YOU ARE GOING
TO MAKE THAT'S GOING TO IMPACT
THIS ENTIRE COMMUNITY. TO GO
BACK TO THAT TWENTY FIVE YEAR
OLD SELF OF YOURS. AND ASK WHAT
WOULD YOU DO. IF YOUR CHILD CAME
HOME MOM DAD. I WANT TO ENTER
THE CANNABIS SPACE. I GOT THIS
DOCUMENT. AND I NEED TO SIGN IT
WITHIN FORTY EIGHT HOURS THAT'S
WHAT I'VE BEEN GIVEN. THIS IS A
CURRENT CASE I'M WORKING ON
RIGHT NOW AND WHAT HAPPENED WITH
THIS DOCUMENT. THE EQUITY
PARTICIPANT WAS GIVEN THE
SIGNATURE PAGE ONLY. ONLY NOT
THIS ENTIRE AGREEMENT. AND THEN
MISS KEITH REFERRED HER TO ME TO
HELP HER GET OUT OF THIS. AND
WE'RE STILL FIGHTING. I SEE
THESE ALL THE TIME. THERE IS
SOMETHING YOU CAN DO. WHEN YOU
PUT PARAMETERS AROUND MONIES
THAT CITIES ARE RECEIVING. THEY
CAN PUT THE LEGAL STRUCTURE IN
PLACE. WHERE ARE EQUITY
COMMUNITY CAN NOW HAVE ACCESS TO
ATTORNEYS TO REVIEW THESE PRIOR
TO SIGNATURE IS BEING PUT ON
THERE. AND SAVE A LOT OF
HEADACHES. LITIGATION IS
PROLIFERATING RIGHT NOW BETWEEN
EQUITY AND INVESTORS. SO WE
REALLY NEED YOU TO STEP IN AND
STEP UP. AND HELP PUT A STOP TO
SOME OF THIS BECAUSE IT MAKES
ABSOLUTELY NO SENSE TO TAKE AN
INDUSTRY. THAT IS DESIGNED FOR
EVERYONE. TO SURVIVE SUSTAIN.
AND TO BE SHUT OUT BECAUSE THERE
ARE NO PROTECTIONS YOU HAVE THAT
AUTHORITY TO DO THAT. AND WE
KNOW THAT IF YOU DO. WE WILL
ELIMINATE SOME OF THESE
PREDATORY PRACTICES SO THANK YOU
FOR YOUR TIME AND ATTENTION
THANK YOU FOR THOSE SUGGESTIONS
NEXT PLEASE. GREETINGS MISTER
CHAIRMAN AND SENATORS- I'M
MALACHI ALL MEN I AM THE
DIRECTOR OF THE INSTITUTE FOR
MORE- I'M ALSO. THE EXECUTIVE
DIRECTOR OF THE CALIFORNIA URBAN
PARTNERSHIP IN THE INSTITUTE FOR
MORE IS A PROGRAM OF THE URBAN
PARTNERSHIP AND WE HAD THE-
HONOR AND THE AND THE AND THE
LOW THE BURDEN OF HAVING- THE
COMMUNITY ORGANIZING. THE PASS
AND NEGOTIATING THE PASSAGE OF
SACRAMENTO'S EQUITY PROGRAM-
WE'RE ALSO- HONOR TO SUPPORT
SENATOR BRADFORD AND THE
DEVELOPMENT AND THE PASSAGE OF
S. B. TWELVE NINETY FOUR. WE'VE
ALSO HAD A LOT OF INVOLVEMENT IN
SHAPING HOW THE COMMUNITY
REINVESTMENT GRANTS PROGRAM
WORKS INSIDE THE GOVERNOR'S
OFFICE OF BUSINESS AND ECONOMIC
DEVELOPMENT. AND ONE OF THE
THINGS THAT WE HAVE WE HAVE
OBSERVE TIME AND TIME AGAIN IS
THAT THE STATE'S TAX
EXPENDITURES AND THE- CANNABIS
TAX EXPENDITURES WE LIFT UP. THE
LAW ENFORCEMENT YOU KNOW THIS
SIXTY TWENTY TWENTY SPLIT SPLIT
60% FOR YOUTH 20% FOR LAW
ENFORCEMENT 20% FOR RESEARCH.
BUT WHAT WE FAIL TO RECOGNIZE IS
THAT THEY'RE WE'RE WE'RE WE'RE
PUT IN A POSITION OF LEAVING THE
FAMILIES OF THOSE CHILDREN THAT
WE'RE PROTECTING BEHIND IN TERMS
OF WEALTH CREATION. AND WHAT
WE'RE DOING WE'RE WE'RE WE'RE
EXPANDING AS A STATE NORTH OF A
HUNDRED AND FORTY MILLION
DOLLARS FOR LAW ENFORCEMENT AND
ONLY A DECREASING ABOUT FOR
ACCESS TO CAPITAL THIS YEAR IS
THOSE GONE FOR FIFTY MILLION TO
ABOUT FIFTEEN MILLION THIS YEAR
FOR THE ENTIRE STATE. AND SO
THAT'S TANTAMOUNT TO ARE A DRUG
WAR TWO POINT OH. AND WHAT WERE
EFFECTIVELY DOING IS WE'RE USING
LAW ENFORCEMENT OF THE STATE TO
BE MERCENARIES FOR THE INTERESTS
OF WEALTHY ARE CANNABIS
INVESTORS AND YOU KNOW THAT YOU
KNOW IS IT IS IT IS A QUESTION I
THINK THIS LEGISLATURE HAS TO
HAS TO ASK. ARE WE ALSO HAVE THE
ISSUE OF DATA THAT ARE IS A
PROBLEM THE STATE PUTS ON ABOUT
THIRTY MILLION AND DATA.
RESEARCH GRANTS- EVERY YEAR. FOR
SOME REASON THE PRESCRIPTION FOR
HOW THAT RESEARCH IS DONE IS
COMPLETELY AND USUALLY ABSENT OF
A OF A PRESCRIPTION FOR LOOKING
AT THE PICTURE FOR THE
ENVIRONMENT FOR BLACK AND BROWN
ENTREPRENEURS WHO ARE DRUG WAR
SURVIVORS. OKAY SO YOU KNOW WE
PLEAD WITH THIS- COMMITTEE. AND
WE APPRECIATE THE LEADERSHIP
THAT WE'VE SEEN TODAY THE
QUESTIONS THAT HAVE EMERGED- BUT
WE PLEAD WITH THIS COMMITTEE TO
HELP US GET TO A PLACE WHERE
WE'RE MOVING TOWARD SOLUTIONS
WHERE THE WHERE THE LEGISLATURE
IS WORKING IN PARTNERSHIP. AS
OPPOSED TO AGAINST THOSE OF US
WHO ARE SOCIAL EQUITY OPERATORS
AND RE TRAUMATIZING US WHO ARE
DRUG WAR SURVIVORS AND LOOKING
AT THIS AS A AS A- AS A AS A AS
A REPAIR. OPPORTUNITY FOR THE
DAMAGE BECAUSE YOU KNOW WE'RE
ALWAYS TALKING ABOUT MONEY. ARE
AND HOW MUCH IT COSTS BUT HOW
MUCH DOES IT COST FOR. REPAIRING
THE DAMAGE OF SOMEONE WHO WAS
GOING TO. TAKE CARE OF THEIR
FAMILIES BUT THEY END UP IN JAIL
AND DIS- CONNECTING FROM THE
CHILDREN CAN'T BUY A HOUSE CAN'T
START A STRONG BUSINESS
NEIGHBORHOOD GENTRIFIED AND
DESTABILIZE YOU KNOW WHAT IS THE
COST OF THAT- SO WE- SHOULD
THIS. LEGISLATURE TO BE
INTENTIONAL AN UNEQUIVOCAL ABOUT
TREATING. OF THE ISSUE OF
CANNABIS POLICY. AS AS A- YOU
KNOW IT'S UNPOPULAR BUT WE ARE
IN A CONVERSATION ABOUT
REPARATIONS AND I'M GLAD TO SEE
THAT CENTER BRAUGHER IS ON THIS
COMMITTEE BUT BECAUSE- YOU KNOW
WE REALLY NEED TO AS A STATE.
TREAT CANNABIS POLICY AS THE
REPARATIONS ISSUE AND WE
APPRECIATE THE SUPPORT THAT
WE'VE SEEN TODAY. THANK YOU SIR
NEXT PLEASE. GOOD EVENING
COMMITTEE MEMBERS- I'M AMIR
GRESHAM ON THE NATIVE LOS
ANGELENOS- A BOARD MEMBER OF THE
SOCIAL EQUITY OWNERS AND WORKERS
ASSOCIATION. I'M A FORMER
MICHAEL BUSINESS OPERATOR AND
THE FUTURE LA RETAIL STORE
LICENSEE I FOUND IN MY PREVIOUS
COMPANY JANUARY 200-020-0020 AND
AFTER AND DURING TWO YEARS OF
COVERT. AND INDUSTRY PRICE
COLLAPSE WE WERE ILLEGALLY
EVICTED LAST SPRING- THAT
SABOTAGE MY COMPANY. MULTIPLE
CAPITAL PARTNERSHIPS HAVE
COLLAPSED OVER THE PAST FOUR
YEARS AND I'VE SPENT THE LAST
NINE MONTHS RE RAISING CAPITAL
AND A CAR COMPLAINT REAL ESTATE
BUT THE CECE'S MARCH THIRTY
FIRST DEADLINE THREATENS MY
FUTURE BUSINESS SUCCESS. AND
THAT OF HUNDREDS OF SOCIAL EVERY
ENTREPRENEUR'S HOME WE
REPRESENT. WE ASK THAT YOU
PLEASE PASS INTO BRADFORD BILL
SB FIFTY ONE ALLOWING DCC
DISCRETION TO ISSUE AND RENEW
LOCAL RETAIL EQUITY APPLICANTS
PROVISIONAL LICENSES
INDEFINITELY. ARGENT EQUALLY
URGENT CD TFA RECENTLY REPORTED
A NEARLY 10% YEAR OVER YEAR
DECREASING CANNABIS RETAIL
SALES. THE FIRST SINCE LEGAL
SALES BEGAN IN TWO THOUSAND
EIGHTEEN. JOSEKI SMALL
BUSINESSES NEED TO COMPETE NOT
ONLY WITH THE LISTED OPERATORS
WITHIN THE GENERAL MARKET PLACE
AND WE DO THIS PRIMARILY THROUGH
PRICING. WE ADVOCATE TO EITHER
TEMPORARILY EXEMPT OR DECREASED
EXCISE TAX RATE FOR SOCIAL
EQUITY RETAILERS. UNTIL TWO
THOUSAND TWENTY SIX OR TWO WEEKS
ACHIEVE ANNUAL LICENSURE. I
BELIEVE IN THE- BODY- I BELIEVE
IN THE WORLD THE BODY TO CRAFT
NECESSARY REFORM. OF THE
CANNABIS COMMUNITY REQUIRES OUR
COURAGE AND IMMEDIATE ACTION ON
THESE MATTERS. CANNABIS IS
PEOPLE'S CRAFTED THEIR PURPOSE
AND THEY WILL EITHER DO THIS
LEGALLY OR TRADITIONALLY. THANK
YOU FOR YOUR TIME CONSIDERATION
THANK YOU SIR NEXT PLEASE. GOOD
EVENING SENATORS THANK YOU FOR
YOUR TIME WE APPRECIATE YOU
TODAY MY NAME IS ILEANA GREEN ON
THE DIRECTOR OF COMMUNITY
ENGAGEMENT AND RE ENTRY STAFF
ATTORNEY AT THE HOOD INCUBATOR.
WE APPRECIATE YOU ALL- FOR
LOOKING FOR SOLUTIONS TO THESE
ISSUES THAT WE'VE BROUGHT TO YOU
TODAY- BUT A REOCCURRING THEME
HAS BEEN THAT WE DON'T HAVE
SUFFICIENT DATA TO TRULY
UNDERSTAND THE ISSUES. AND WE
NEED TO UNDERSTAND THE ISSUES
THAT WE'RE GOING TO FIND
SOLUTIONS- SO I WOULD LIKE TO
ELEVATE TO YOU ALL THREE
DIFFERENT FORMS OF DATA THAT
WOULD BE PRODUCTIVE FOR US TO
START TOGETHER- FOR ONE SOME OF
THE ISSUES ARE THAT WE DON'T
HAVE. SUFFICIENT DATA TO
DETERMINE IF SUCH AS- EQUITY
DESIGNATION WE DON'T HAVE
SUFFICIENT DATA TO DETERMINE THE
HEALTH OF THE INDUSTRY. NOR DO
WE HAVE SUFFICIENT DATA TO
DETERMINE WHAT JURISDICTIONS OR
WHAT LOCALES SHOULD. BE
RECEIVING FUNDING FOR THE
COMMUNITY REINVESTMENT GRANT. WE
WANT TO SUGGEST ONE YOU START
COLLECTING DATA FROM ALL THE
LOCAL JURISDICTIONS BOTH URBAN
AND RULE. THAT GET UNDERSTANDING
OF WHAT THE IMPACTS OF CANNABIS
PROHIBITION WHERE WITHIN THEIR
JURISDICTION. I WANT TO ECHO THE
VOICES OF MY COLLEAGUES BOTH
FROM SI PC AS WELL ORIGINS
COUNCIL IN TERMS OF THAT NEED TO
COLLECT DATA AT THE LOCAL LEVEL
TO UNDERSTAND THE IMPACT THEIR-
WE ALSO WOULD LIKE FOR IT THE
DCC TO START COLLECTING DATA ON
THE OVERALL HEALTH OF THE
INDUSTRY. IN COMPARISON TO
EQUITY SO WE CAN UNDERSTAND IT
ISSUES ARE SPECIFIC TO EQUITY OR
THE ISSUES THAT ARE. FOR THE FOR
THE INDUSTRY AS A WHOLE. AND
THEN FINALLY A STATEWIDE
ASSESSMENTS OF THE OVERALL
IMPACTS OF CANNABIS PROHIBITION
AND THE WAR ON DRUGS. SO THAT WE
ARE MAKING SURE THAT WE
DESIGNATE FUNDING- TO PRY IN
PRIORITY. PRIORITIZE FUNDING TO
THAT JURISDICTIONS THAT HAVE
BEEN ASSIGNED- WE THANK YOU FOR
YOUR TIME. HAVE A GOOD ONE.
THANK YOU MA'AM NEXT PLEASE.
THANK YOU MY NAME IS JOHN LONG
I'M WITH SKY CLOUD- DEFINITELY
APPRECIATE YOU GUYS. FOR
LISTENING TO. OUR CONCERNS
EVERYTHING THAT WE'RE TRYING TO
ACCOMPLISH HERE- I WANTED TO ASK
YOU MISS OUT RADO GIL- YOU HAD A
BILL THAT YOU'RE GOING TO SEND
TO THE C. H. P. IF YOU. REALIZE
THE ENFORCEMENT ON THE ILLICIT
MARKET IS THE WAR ON DRUGS RIGHT
NOW. A LOT OF US COME FROM OUT
OF THE SHADOWS TO BE LEGAL. SO
THAT WE CAN CONTINUE YOU KNOW
TAKING CARE OF OUR FAMILIES. SO
IF YOU'RE ENFORCEMENT ON
EVERYBODY THAT'S TRYING TO COME
OUT OF THE SHADOWS AND- YOU KNOW
WHAT IS THAT GONNA DO. FOR THE
PEOPLE THAT ARE TRYING TO GO
LEGAL- THE OTHER THING IS-
REFORMING THE TAX ISSUES. THAT
IS A HUGE ISSUE FOR GETTING
TAXED. AT FIFTY PERCENT. THEM
NEAR YEAH 50% IS. YOU KNOW WE'RE
NOT MAKING ANY MONEY. WE'RE JUST
SPINNING OUR WHEELS WE STILL
HAVE OUR OVERHEAD COSTS WE STILL
HAVE. A TREMENDOUS AMOUNT OF
COSTS IN ORDER TO RUN OUR
BUSINESSES AND- IS NOT HELPING
US THAT WERE AGAIN TAX MORE THAN
EVERY OTHER INDUSTRY THAT'S OUT
THERE- I WENT TO THE OTHER ISSUE
THAT WE'RE HAVING IS. THERE ARE
NOT ENOUGH. LOCALIZE CITIES THAT
ARE LICENSING PEOPLE RIGHT NOW.
I WENT TO DIXON I WENT TO DAVIS-
IN A BUNCH OF OTHER CITIES AND
ASK THEM FOR. LICENSING THEY
SAID HEY LIKE WE- GAVE IT OUR
LICENSES. WE GAVE IT OUR
LICENSING ALREADY. WE'RE GOOD.
WHAT DOES THAT MEAN. IF YOU'RE
TRYING TO GET IN THE INDUSTRY
THAT NOBODY'S GONNA ALLOW YOU
GET INTO. I HAVE A SOLUTION FOR
THIS. IS ONE SHE LED DCC TAKE
OVER THE WHOLE ENTIRE PROGRAM IT
TAKES THE CONTROL OUT OF THE
VOCALISATION- OF THE CITY'S
HANDS THERE SIXTY TWO CITIES OUT
THERE THAT DON'T WANT CANNABIS.
BUT THERE WILL ENOUGH TO- IT
CANNABIS IN THEIR LOCAL LOCATION
ONLY BECAUSE THEY WANT TAX
REVENUE. THAT'S NOT RIGHT.
BECAUSE THERE ARE OPERATORS IN
THE ILLICIT MARKET BETTER IN
THOSE SIXTY TWO COUNTIES. THAT I
KNOW THAT ARE SERVING CANNABIS
IN A CAN BENEFIT FROM IT BUT IF
THEY'RE JUST GOING TO. TIE UP
THEIR HANDS AND SAY LIKE HEY
LIKE. WE'RE NOT GOING TO DO THIS
UNTIL IT REALLY BENEFITS US.
THEN IT SEEMS LIKE A BAD PART IN
ON THOSE CITIES THAT ARE YOU
KNOW. YOU KNOW THAT ARE DOING
THEIR THING. OF THE- LAST THING
IS THAT. THE EARLY ON WHEN.
PEOPLE WERE GETTING THEIR
LICENSING. THEY HAD A TEMPORARY
LICENSE RUSHER WHICH ALLOWED YOU
TO OPERATE IMMEDIATELY OUT THE
GATE. A LOT OF THE- OPERATOR
FROM BEFORE HAND FROM- TWO
THOUSAND TEN ALL THE WAY TILL
NOW. GOALS COMPANIES HAD A HEAD
START ON EVERYBODY BECAUSE OF
THAT TEMPORARY LICENSING. THAT
SHOULD HAVE BEEN GIVEN TO THE
CORE EQUITY MEMBERS TOO BECAUSE
WE WOULDN'T HAVE TO WORRY ABOUT
. WHERE OUR MONEY IS COMING FROM
IN ORDER TO START OUR PROJECTS
WE WOULD BE ABLE TO JUST USE A
TEMPORARY LICENSING TO GET
STARTED AND IMMEDIATELY OPERATE
. ONCE THAT CAME INTO PLAY THAT
THEY WERE GONNA TAKE THAT AWAY.
NOW WE HAVE TO DEAL WITH THIS
WHOLE SITUATION WE'RE- WE'RE
RUNNING BEHIND EVERYBODY ELSE IN
ORDER TO PLAY CATCH UP. AND IT'S
NOT FAIR SO. DEFINITELY
APPRECIATE YOUR TIME YOU GUYS
HAVE A GREAT DAY AND SO. THANK
YOU FOR YOUR COMMENTS OR NEXT
PLEASE. HI I'M A MOM AND POP IS
BACK ON THE FARM- TOGETHER WE ON
SOME RIGHT GARDENS WE ARE
ESPECIALLY COTTAGE OUTDOOR
FARMING MENDOCINO COUNTY WE ARE
THE LAW THE SMALLEST LICENSE
TYPE IN THE STATE. I CHECKED
THIS MORNING AND THERE'S ONLY
THIRTY EIGHT LICENSES MY SIZE.
ON I JUST WANTED TO SPEAK TO THE
PROVISIONAL LICENSE DEADLINE
ISSUE IT'S A CRISIS AND WE NEED
TO SEE IT EXTENDED OR IT BEST TO
JUST PUT A HALT TO THE WHOLE
TIMELINE. AND JUST LET. PEOPLE
PROVIDE DOCUMENTATION THAT
THEY'RE WORKING TOWARDS THE
SEQUEL COMPLIANCE IF WE'RE NOT
GOING TO COMPLETELY DO AWAY WITH
IT- PUTTING THESE- DEADLINES
JUST DOESN'T REALLY MAKE SENSE
IT DOESN'T HELP PEOPLE- THERE'S
SO MUCH INVOLVED IN GETTING
THROUGH SEEK WERE FOR A LOT OF
FARMS THEY HAVE TO GET. CULVERTS
AND THEY HAVE TO DO ALL THESE
PROJECTS IT TAKES CONSULTANTS
AND CONSULTANTS CAN ONLY HELP SO
MANY APPLICANTS. AND SO I THINK
IF WE JUST DID AWAY WITH THAT
PROVISIONAL DEADLINE THAT MIGHT
HELP- AND ALSO WITH THE GRANTS
THOSE ARE INCREDIBLE OFFERINGS I
WASN'T AWARDED GRANT HE- FOR THE
WEEK FOR THE- GOBIZ GRANT FOR
THE WAR ON DRUGS. IT'S HELPED MY
BUSINESS STAY AFLOAT RIGHT NOW-
AND IF THAT MONEY DOESN'T
CONTINUE TO FLOAT IN FOR OTHER
APPLICANTS THEY'RE GONNA NOT BE
ABLE TO STAY IN BUSINESS. BUT
ONE OF THE BIGGEST CHALLENGES IS
MY LOCAL JURISDICTION BEING ABLE
TO GIVE THE MONEY TO THE PEOPLE
IN A TIMELY MANNER AND SO WHAT I
ALMOST FEEL LIKE IS IN THE
FUTURE IF ANYMORE GRANTS ARE
BEING. PROVIDED TO US THAT MAYBE
THE STATE ADMINISTERS THESE
PROGRAMS AND GIVE THEM TO US
DIRECTLY BECAUSE I ACTUALLY
THINK THAT YOU GUYS HAVE A GROUP
HAD DO A GREAT JOB AT GETTING US
THE LICENSES LIKE FOR
PROVISIONAL THIS HAPPENED REALLY
QUICKLY. AND FOR WHATEVER REASON
MY COUNTY IS TAKING FOREVER TO
PROCESS APPLICANTS AND SO IF WE
CAN PUT THE MORE POWER IN THE
STATE TO HELP GET THE
STREAMLINED I THINK IT WOULD GO
A LONG WAY. AND IT THE ENDS LIKE
GOING OUT OF BUSINESS IS NOT AN
OPTION FOR ME. FAILING IS NOT AN
OPTION THAT'S WHY I'M HERE TODAY
TO SPEAK MY TRUTH. TO LIKE STAND
IN SOLIDARITY WITH ALL OF THE
OTHER FELLOW A QUICK CANNABIS
OPERATORS AND- YOU KNOW
EVERYBODY BECAUSE WE WANT TO BE
IN BUSINESS WE WANT TO BE
REGULATED WE WANT TO PAY OUR TAX
DOLLARS. WE NEED A SYSTEM THAT'S
GOING TO WORK AND WE CAN WE NEED
TO WORK TOGETHER. AND AND IF MY
FARM DOESN'T SURVIVE I DON'T
JUST GO OUT OF BUSINESS I LOSE
MY FARM I LOSE MY HOME BECAUSE
MY HOME IS WHERE I GARDEN. THAT
IS LIKE MY PLACE. AND SO I. I
WILL HAVE TO LEAVE MENDOCINO
COUNTY BECAUSE THERE'S NO OTHER
JOB OPPORTUNITIES BECAUSE I LIVE
IN SUCH A ROLE PLAY. AND THIS IS
THE STORY OF SO MANY OTHERS I AM
NOT JUST THE ONLY ONE SO. TAKE
THAT TO HEART AND I HOPE WE CAN
ALL WORK TOGETHER I HOPE WE CAN
HAVE ANOTHER COLLABORATIVE
SESSION WITH MORE STAKEHOLDER
INPUT MORE FARMERS MORE. RETAIL
OPERATORS OR DISTRIBUTORS OR
EVERYBODY TO COME TOGETHER AND
LET'S COME UP WITH A SOLUTION
BECAUSE WE'RE ALL BREAK AND THE
FUTURE IS JUST RIGHT HERE AT OUR
FINGERTIPS. AND I KNOW WE CAN DO
SOMETHING POWERFUL AND GREAT SO
THANK. THANK YOU FOR STAYING TO
PROVIDE COMMENTS APPRECIATE YOUR
PATIENCE. SURPLUS IN THE IN THE
HEARING ROOM WHICH IS TO MAKE A-
PUBLIC COMMENT. SEEING NO ONE
LET'S NOW MOVE TO WITNESSES
WAITING TO PROVIDE PUBLIC
COMMENT. VIA THE TELECONFERENCE
ORVIS. MODERATOR IF YOU WOULD
PLEASE PROMPT ANY SUCH
INDIVIDUALS WAITING TO PROVIDE
PUBLIC COMMENT WE WILL BEGIN.
WELL LADIES AND GENTLEMEN IF YOU
WOULD LIKE TO ASK A QUESTION OR
HAVE A COMMENT. PRESS ONE THEN
ZERO ON YOUR TELEPHONE KEYPAD.
AN OPERATOR WILL GATHER YOUR
LINE NUMBER AND PLACE IT BACK
INTO THE QUEUE. WE WILL START
WITH. LINE ONE THIRTEEN. PLEASE
GO AHEAD. WELL ONE MOMENT HERE
BUT MISSED MODERATOR WOULD YOU.
LET ME KNOW HOW MANY.
INDIVIDUALS ARE IN THE QUEUE. WE
HAVE. WE HAVE A TWENTY PEOPLE
THAT HAVE QUEUED UP TWENTY. YES
OKAY PLEASE PROCEED. OKAY ONE
MOMENT HERE. OKAY JUST ONE
MOMENT WILL OPEN UP LINE
. ONE
THIRTEEN.
FOR THOSE OF YOU WAITING ON THE
LINE WHILE WE'RE WAITING ON THE
MODERATOR I WOULD ASK YOU TO
KEEP YOUR- PUBLIC COMMENTS TO
ABOUT A MINUTE OVERTAKE LET'S
TRY THAT AND SEE HOW IT GOES. WE
WILL GO TO MY NUMBER ONE
FOURTEEN. FIND OVER ONE FOURTEEN
. HI EVERYBODY MY NAME IS
ANTHONY ENVELOPE I AM A CO
FOUNDER OF THE COUNCIL EQUITY
ADVOCACY AND DIEGO AND VERY MUCH
APPRECIATE HELLO ONE OF THE MOST
IMPORTANT CONVERSATIONS
SURROUNDING CANNABIS INDUSTRY
THEY CAN BE HAD. I WANT TO BEGIN
BY LISTING SOME OF THE COMMENTS
THAT WERE ALREADY MADE BASICALLY
THOSE BY MISS ILEANA GREEN OF
THE HOOD INCUBATOR AND HER
SUGGESTIONS ON DATA RETRIEVAL. I
KNOW THAT THERE WAS A MENTION OF
REGARDING PROP SIXTY FOUR WHICH
I THINK NEEDS TO BE- EVALUATED
AS THERE ARE NO SOCIAL EQUITY
PROVISIONS- AND IT IS PROVEN TO
BE. UNSUSTAINABLE. I WANNA MAKE
SURE THAT WE IDENTIFY THE EXTENT
OF THE INVESTMENT IN THE WAR ON
DRUGS. ARIANNA SWINGER MENTIONED
THE NEED TO PUT OUR KEYS. IN
THEIR PLACE WE NEED TO MEASURE
THE INVESTMENT OF PROPAGANDA IN
A RAFT MADE IN CRIMINALIZATION
AND INCARCERATION. WE NEED TO
MEASURE THE ECONOMIC DEMAND AND
SOCIAL AND ENVIRONMENTAL IMPACT
IT FOUND FATHERS BROTHERS
DAUGHTERS MOTHERS AND SISTERS
STOLEN IN THIS WAR ON. I'VE HAD
ON THE INDIVIDUAL THE FAMILY AND
THE LARGER COMMUNITY ONCE WE
PROPERLY ASSESS THE HARM WE CAN
THEN IDENTIFY PATHWAYS TO
COMMUNITY DALY. I HOPE WE
COMPLETELY TURN THE CANNABIS
INDUSTRY AROUND BY CENTERING THE
NEED TO HEAL FROM THE HARMS
CAUSED BY THE WAR ON DRUGS. AS
WHAT IS OUR MOTIVATING FACTOR IN
DEVELOPING THIS INDUSTRY. I HOPE
THAT WE LOOK LOOK AT LIMIT MAY
THE EXCISE TAX AS IT IS
CURRENTLY- MAKING ANY SMALL
AIRCRAFT BUSINESS MANAGEMENT
INDUSTRY- AND LYFT AND-
OPERATION IMPOSSIBLE I KNOW THEM
FROM LIMITED TWO MINUTES SO I
THANK YOU FOR YOUR TIME. AND
LOOK FORWARD TO CONTINUING THIS
WORK WITH YOU ALL THANK YOU VERY
MUCH THAT WAS A PRETTY GOOD JOB.
TRY TO STAY CONCISE NEXT PLEASE
. WE WILL BOTTOM LINE NUMBER ONE
FIFTY EIGHT FINAL NUMBER ONE
FIFTY EIGHT. HELLO FIVE EIGHT
APRIL NINTH OPEN. YEAH HI MY
NAME IS JOSEPH A DAHLE SMALL
CANNABIS FARMERS MENDOCINO
COUNTY AND I JUST WANTED TO-
THANK YOU FOR ALLOWING US TO
CONNECT. AND I ALSO WANTED TO
SAY HOW. IMPORTANT IT IS FOR US
TO MAINTAIN LICENSURE AND- MOVED
A PETITION ALSO MANUAL BERMAN
AND THAT'S ANOTHER CALL AS WE
STATED NAY FOR. OUR UNIQUE
SITUATION AND NOT COUNTY- I'M
CAUGHT IN THE DEADLINE WERE MY-
LICENSE COMES UP FOR. RENEWAL.
ON JULY THIRD TO JULY FIRST OF
THE- STATE AND WE HAVE A ISSUES
WITH TAXATION AND ACCOUNTING
WORK I'VE BEEN YOU FOR. HE
OAKLEY DRAW NOT SHOW FACT AND
MOVE THE OUT OF GETTING OUT LOW
COUNTY BERMAN. THE AND THE-
THROUGH TWENTY FARMER THE
BECAUSE- I UNDERSTAND THAT I
AFRAID I'M TO BE SHORT ON ON THE
FINISH THE SEQUOIA. G. AND
AMERICANS. ABOUT THE AND THE- I
DON'T BELIEVE IT SHOULD BE
ELIMINATED BECAUSE I BELIEVE IN
THE FINAL QUALITY ACT. BUT I DO
FEEL THAT IT SHOULD BE EXTENDED
AUTHORED ELEVEN DEFINITELY. NOT
ALL EQUITY. APPLICANTS ORIGINAL
SHOULD BE OPEN AT. FOR
INDEFINITE CENTER OF. AB THERE'S
A LOT. FROM CAMANCHE KNOWS
PERSPECTIVES TO GET IN AND MY
THE PROCESSES NOT THERE SHOULD
BE OPPOSITION MOVING FORWARD THE
- JERRY PROJECT. STRONG GROWTH
IN. AND CERTAINLY FROM. THE
MARKET AND WILL A MARKET AFTER
THE ACCEPTABLE IN THE HOUSE TO
BE. INTERNALIZED AND I STRUCK
ANY. AMOUNT OF INTERNALIZATION
OF POP. RE WRITING OF. I READ
ALL THE DISTRICT- PEOPLE CONTROL
IT BUT I. THE OTHER MAIN ISSUE
I'VE LOST A LOT OF PRODUCTS THAT
WOULD BE AGE. AND SHOP FIVE AND
IT'S A REAL ISSUE METHODICALLY
GO BAD IN THIRTY DAYS SURE I'M
GONNA. HAVE TO ASK YOU TO WRAP
TRY TO WRAP IT UP. OKAY THE
FILAMENT THROUGHOUT THE YOU
AGAIN AND I THOSE ARE MY MAIN
USE- DIRECTED. THE CUSTOMER
WOULD BE IDEAL EFFECT WRITTEN
THE LAW- SO WE CAN HAVE A WAY OF
ACTING THE MARKET WHEN A PRODUCT
OF ITS PRIME THANK YOU. VERY
MUCH THANK YOU FOR EVERYONE
TAKES FOR FIVE MINUTES AND WE
HAVE TWENTY. WE'RE GONNA BE HERE
FOR AWHILE SO THE STRAIGHT
SHORTEN UP I WANT TO HEAR WHAT
YOU HAVE TO SAY BUT PERHAPS YOU
COULD- SHORTEN UP A BIT NEXT
PLEASE. YOU HAVE MY NUMBER ONE
NINE SIXTY FOUR PLEASE GO AHEAD
. HELLO THANK YOU ALL FOR TAKING
THE TIME TO HEAR IT TODAY MY
NAME IS THE LIFE TO COME OF
THESE I ELKS WAS THE PROPRIETOR
OF AND WILL PERFORM YOU'RE IN
FAMILIES OBISPO COUNTY. HOW ARE
COUNTY HAS COMMITTED A LOT OF
AGREE JUST- PREDATORY ACTS OR
THE LARGEST OPERATORS HERE I
BROUGHT THIS UP YOU ARE COUNTY
SUPERVISORS. AND- EVEN TO OUR-
DISTRICT ATTORNEY DAN DOW. AND
THAT NOTHING IS EVER BEEN DONE I
WAS ONE OF THE FEW TO GET ANNUAL
PERMITS BUT ENDED UP HAVING TO
TERMINATE IT. BECAUSE OF THESE
TORTUROUS PRACTICES THAT HAVE
BEEN PUT ON UP FOR THE PAST FIVE
YEARS. BOB I THINK AT THE END OF
THE DAY WHAT I WOULD LIKE TO
HAVE HAPPENED IF ANYONE THAT.
YOU THINK ABLE TO OPERATE
ANYMORE BUT HAS GONE THROUGH
THIS PROCESS OR EVEN TRIED TO GO
THREE PROPERTIES. I WOULD REALLY
LIKE TO BE REFUNDED OUR MONEY
WE- WHEN WE CAME OUT AND STARTED
TO GO DOWN THIS ROAD FIVE YEARS
AGO. IF WE WERE TOLD THAT. THIS
WAS ALL GOING TO BE HELPING THE
SMALL FAMILY FARMS IN OPERATORS
THAT WERE TRYING TO START A
BUSINESS YEAR AND- IT WAS
ACTUALLY A BIG SCAM BY OUR
COUNTY TO GET INTO THIS.
CONTINUE WILL MONEY HIT THAT
ENDED UP HAPPENING EVEN THOUGH A
LOT OF US CAME FORWARD AND TRIED
TO GET HELP. AND NOTIFY. FORTY
OF SOME SORT. LET IT KIND OF
FELL ON DEAF EARS. AND AT THIS
POINT WE'VE KIND OF BEEN THROUGH
SO MUCH IN THE COUNTY ALONE THE
DEPARTMENT OF JUSTICE. WITH YOUR
ON THE FOUND THAT. IT WAS A PAID
A PLATE EVEN WITH BRIBERY DONE
TO DIFFERENT COUNTY OFFICIALS
THAT MADE IT SUCH A- PORTRAIT. I
THINK TRYING TO GET THIS DONE
HERE SO. AT THE END OF THE DAY I
WOULD LIKE TO BE REFUNDED ALL
THE MONEY THAT I PUT INTO THIS
AND- AND- HOPEFULLY HAVE BEEN
JUST AS HAPPY HERE AND- THEN
WITH THE BILL- COUNTY. AGAIN MY
NAME IS THE LIFE TO COME AT
LEAST. THANK YOU FOR TAKING THE
TIME TO HEAR ME. THANK YOU AND
THAT WAS JUST ABOUT TWO MINUTES
I APPRECIATED NEXT PLEASE. WE
WILL BOTTOM LINE NUMBER ONE
SIXTY EIGHT PLEASE GO AHEAD.
HELLO THANK YOU FOR HAVING ME
THAT MY NAME IS JOHN LAKE I'M A
CULTIVATOR IN MENDOCINO COUNTY.
AND I WAS CALLING TODAY- IN
REGARDS TO MY GROUP. PROVISIONAL
LICENSE RENEWAL THAT IS DUE IN
SEPTEMBER. I ASK THAT YOU
PLEASE. TAKE INTO CONSIDERATION
THE- AMOUNT OF MONEY THAT WE PUT
INTO THE- PROJECT OF SELF
FUNDED. I AM- OWNER OPERATOR I
DO THE WORK MYSELF. AND BECAUSE
I OH FIVE THOUSAND IN A MINIMUM
TAX FROM FOUR YEARS AGO THE
COUNTY DOESN'T WANT TO WORK MY
PERMANENT. I WILL I DIDN'T EVEN
CALL. THAT YEAR THEY ASSIGNED I
DIDN'T CULTIVATE I GOT TOWARDS
THE- BUT THANK GOD TOMORROW
COUNTY. MORE HEARING IS. A TAX
WILL BE. THAT WOULD BE A
LIFELINE TO MAKE. BUT EVEN IF IT
PASSES MENDOCINO COUNTY CANNABIS
DEPARTMENT CAN'T SEEM TO GET
THEIR ACT TOGETHER. WELL AFTER
THE DAY THAT. WELL THEY HAVE NO
CONTROL OVER. YOU KNOW WHAT WILL
HAPPEN THIS YEAR I'M TAKING A
LEAP OF FAITH BY GROWING. BUT IF
YOU COULD PLEASE CONSIDER. EIGHT
EQUAL EXTENSION FOR US ON
PROVISIONAL LICENSES. THANK YOU
FOR YOUR TIME TODAY APPRECIATE
IT. THANK YOU AND YOU GET THE
PRIZE IT ONE MINUTE. NEXT PLEASE
. THE LION ONE PICK. CAN YOU
HEAR ME. YES PERFECTLY PLEASE
PROCEED. OKAY THANK YOU THANK
YOU SO MUCH BERMAN ROCK FOR
STAYING SO LATE WE REALLY
APPRECIATE IT MY NAME IS HANNAH
NELSON ON THE LAWN POLICY
ADVISER TO ORIGINS COUNCIL.
THANKS VERY MUCH APPRECIATE THE
DEPTH OF THIS HEARING TODAY. I'M
STRUCK AND IMPRESSED WITH THE
LEVEL OF ENGAGEMENT BY THE
COMMITTEE MEMBERS. I WANT TO
FULLY SUPPORT THE COMMENTS OF
ORIGINS COUNCIL AS WELL AS THE
E. P. C. AS WELL AS THE HOOD
INCUBATOR AND MCA AS WELL AS
INDIVIDUAL- COMMENTERS THERE
BEEN AMAZING POSSIBLE COMMENTS.
I'M AN ATTORNEY WHO SPENT MORE
THAN THIRTY YEARS REPRESENTING
CANNABIS CULTIVATORS IN RURAL
LEGACY PRODUCING REGIONS PEOPLE
WHO ARE FACING TWENTY YEARS. IN
PRISON AND COUNTLESS FAMILIES
HELD AT SOME POINT. THE MYTHIC
WATER LINES WERE CUT LIVESTOCK'S
SCARED OFF BY HELICOPTERS AND
COMMUNITIES TERRORIZED BY
CONTINUE WITH PARAMILITARY
OPERATIONS. WARRANTLESS SEIZURES
AND SEIZURES OF PROPERTY WITHOUT
AFFECTED DUE PROCESS. THESE ARE
THE PEOPLE THAT I NOW TRY TO
HELP NAVIGATE LOCAL AND STATE
LICENSING. I'M GRATEFUL THAT THE
FAMILIES ARE NO LONGER GOING TO
PRISON AND SUBJECT PROPERTY
FORFEITURE BUT NOW EVERY SINGLE
DAY I PROCESS LICENSE SURRENDERS
OF THESE INDEPENDENT LEGACY
OPERATORS AND ALL OF WHOM PUT.
BLOOD SWEAT TEARS AND A LOT OF
BORROWED MONEY INTO TRYING TO
GET LICENSED CANNOT BE CONFIDENT
THAT THEIR GOVERNMENT WILL ISSUE
ANNUAL LICENSES DESPITE HAVING
JUMPED THROUGH EVERY HOOP. THE
FACT THAT CANNABIS IS NOT
NORMALIZED FOR TREATED. LIKE
OTHER AGRICULTURAL. IN DEPEND
BUSINESS ACCESS. THAT ARE OF THE
TO FOR THOSE THAT ARE MORE
ACTIVE HANGING IN THERE IF THEY
FOLLOW THE GRID LIFE CLIFFS.
NOTES BACK. EITHER THEY NOT BE
TO REENTER BECAUSE OF ZONING
WHEN THEY WILL NOT BE ABLE TO
FIND A REOPENING OF THEIR
BUSINESS AFTER SUFFERING THEY'RE
OUT OF MONEY THEY'RE OUT OF
PATIENCE AND THEY'RE OUT OF
TIME. PLEASE ADDRESS PROVISIONAL
LICENSING CLASS AND ALLOW THESE
INDEPENDENT FAMILY FARMS THE
STELLAR LAND EEK OUT A LIVING
FARMING IS ANYTHING BUT EASY
MONEY AND THEY DON'T HAVE TO
BREAK IN MILLIONS BUT THEY DO S.
BE ALLOWED TO CONTINUE TO
CONTRIBUTE. TO THE ECONOMIC AND
CULTURE CULTURAL HEALTH OF THEIR
COMMUNITIES. THANK YOU THANK YOU
VERY MUCH NEXT PLEASE. WE HAVE
ONE NUMBER ONE SIXTY SEVEN
PLEASE GO AHEAD. OKAY BRANDON
WALT- HAVE A SMALL FAMILY FARMS
IN MENDOCINO COUNTY- I THOUGHT
FIRST I WANT TO SAY THANKS FOR
LISTENING TO US IN SUPPORT OF
OUR REALLY DO APPRECIATE THAT-
YOU KNOW DOCTORS ENGAGEMENT
STUFF WHATEVER- BUT YEAH I'LL
TRY BECAUSE I. WON'T- ECHO ANY
OF THESE OTHER SUGGESTIONS THAT
DIFFERENT STUFF THEY'RE ALL
GREAT- BUT IT DOES SEEM LIKE
IT'S A CASE OF WHAT MIDDLE CLASS
FAILED. IT'S NOT THE STUDENTS
BUT RATHER THE TEACHER KIND OF
SITUATION- SPECIFICALLY IF I
THINK ONE STAFF MEMBER WORK IF
NO ONE'S GETTING GREW INTO
WHATEVER PROBABLY THERE'S AN
ISSUE NOW THE PEOPLE TRYING TO
GET THROUGH IT. WITH THE- THE
SYSTEM STUFF WHATEVER SO REALLY
LIKE- YOU KNOW IF YOU'RE LOOKING
AT EVEN DOCUMENT YOU KNOW OR
CALIFORNIANS GENERAL SUPPORTERS
THAT THERE IS ONE- I WANT OTHER
THINGS THAT YOU KNOW IF I LOSE
MY FARM. OTHERS LOSE THEIR
FARMS. THEN YOU LOSE TAX
REVENUE. THE WHAT WE'RE ASKING
FOR REALLY IS THAT HOW THE
COUNTY YOU KNOW RELEASED DIRECT-
GRANT. FUNDING FOR THE GRANTS
THAT ARE ALREADY THERE AND STUFF
WHATEVER AND YOU EXTEND. EQUAL
AND STUFF WHATEVER IT IS THAT IT
REALLY DOES. NOT MAKE A YOU KNOW
A BIG IMPACT ON FARMS LIKE OURS
LIKE UP YOU KNOW MY FARM- FOR
INSTANCE ARE LIKING THEM IN-
SEPTEMBER SO IT'S LIKE. YOU KNOW
WE DON'T GET THIS THROUGH WERE
DONE AND- YOU KNOW YOU GUYS LOSE
MORE TAX REVENUE AND STUFF WITH
HER WHICH YOU KNOW NOBODY LIKES
AND THEN. WHATEVER STUFF YEAH
THAT'S NOT IT I WON'T TAKE
ANYMORE YOU'RE NOT THANK. YOU
VERY MUCH SIR. WE HAVE A CALLERS
STILL LEFT ON THE LINE. THE
TRIBE CONCISE NEXT PLAY. WELL TO
ONE SIXTEEN PLEASE AHEAD. HI MY
NAME IS ELIZABETH PETERS. THANK
YOU VERY MUCH FOR THE UPPER TO
SPEAK TODAY- THE OWNER OPERATOR
AT CENTURY FARM LOCATED IN BOTH
MENDOCINO AND ABOUT ACCOUNTING-
AND I AM A MEMBER OF THE
CANNABIS ALLIANCES IN BOTH.
COUNTIES THE ISSUES OUTLINED
TODAY BY THE ORIGINS COUNCIL AND
THAT THE SPEAKERS ON THE EQUITY
PROGRAM NEED CRITICAL ATTENTION
AND FOCUS- PLEASE DO EXTENDED
THE WINDOW FOR. THE TRANSITION
FROM PROVISIONAL TAKE ANNUAL
LICENSES. AND TO CONSIDER THE
IMPACT THAT THIS HAS ON OUR
SMALL OPERATORS ESPECIALLY THE
CULTIVATORS WHO. ARE AN
ESSENTIAL PART OF THIS INDUSTRY
HOW MANY OF US HAVE DONE
EVERYTHING IN OUR POWER I'M TO
SUBMIT THE NECESSARY PAPERWORK.
AND ARE SIMPLY WAITING FOR THE
LOCAL JURISDICTIONS TO COMPLETE
THEIR END OF THE PROCESS. GIVING
US NO MORE POWER. IN THAT IN
THAT CASE WE'RE JUST WAITING-
ALSO- I WOULD LIKE TO AMPLIFY
AND STRESSED THE NEED FOR
BANKING TO SUPPORT THE INDUSTRY
AS A WHOLE- IT IS DIFFICULT. TO
OPERATE A BUSINESS WITHOUT
BANKING- I ALSO STRONGLY
SUPPORT- THE- EXPANDED ACCESS
FOR SMALL CULTIVATORS TO HAVE
DIRECT TO CONSUMER PATHWAYS-
THAT WOULD HELP US TREMENDOUSLY
AND JUST BEING ABLE TO STAY
ALIVE- AND OPERATE. IN MUCH THE
WAY THAT SMALL BUT YOU'RE STILL.
SO I THINK YOU FOR YOUR
ATTENTION AND FOR YOUR TIME AND
FOR YOUR SUPPORT IN THE
INDUSTRY. THANK. YOU FOR BEING
CONCISE NEXT PLEASE. LOTUSLIVE
NUMBER ONE SO FIVE PLEASE GO
AHEAD. THERE ARE MY NAME IS
PATRICIA. I AM MORE OF NOBLE CAR
. IN LATE ME OUR FOR. I AM. I
THINK HERE IN THE WILSON TO ALL
OF THE RUSSIA ABOUT. US MARKET-
THE CONTINUED PROBLEM THAT. ARE
LEGAL OFFERING WE THE GREEN
ABOUT ME THERE ARE SEVERAL
THINGS ONE. THE TAXES. MADE
SIMPLE FOR US KIDS. WITH THE
FAILED. IT'S JUST CONSUMERS ONLY
HAVE SO MANY DOLLARS WILL SPEND
AND WIN IN HARMONY AT THE HIGH
SCHOOL THAT IS OFFERING THE
WEIGHT YOU'RE NOT STATES. WE
JUST CAN'T KEEP BYPASS COLLEGE
MOM THAT'S IF YOU ASIAN NUMBER.
FIGURATION NUMBER TWO IS THE
APPLIED TO THE SMALL. IS TO. IN
WHO WE WERE. IT IS ABSOLUTELY
NEXT TO IMPOSSIBLE. FOR ME TO
GET MY WHOLE PRODUCT OF FORMER
INSURANCE JAR TO MARKETPLACE AND
ONTO THE SHELF BUT IN MY LOCAL.
IT I ONLY REACHING OUT THROUGH
SOCIAL MEDIA ASKING WHERE THEY
FIND MY- I WAS. OPERATOR. THE
PUBLIC RECORD I TALKED I WANTED
EVERY THAT I TOLD AND I CONTINUE
TO DO SO WE CAME OUT OF THE
SHADOWS OF OPERATOR IN THE GREAT
AREA. IN ORDER BE. BUSINESS
OWNERS BETTER WOULD YOU. NO ONE
HERE IS. TO HOLD TO TRUCKS
DOLLARS FOR EACH THE WHOLE CHIU
. OF CANNABIS WE JUST WANT TO BE
ABLE TO OPERATE IN THE- BLACK
ONE POP FOR OPERATOR ARE FIVE
AND WE DIRECT MARK SALES REDUCE
THAT. TAX SUPPORT YOUR EQUITY
REITS. REPORT YOUR OFFER AND IN
AND REALLY DEEPLY TAKEN BETWEEN
. WE THE POWER THAT LOOK
JURISDICTION HOW BEEN NINE THEIR
COMMUNITY ACCESS TO THIS
MEDICINE WHETHER IT BE THROUGH
REAP. YOU KNOW OR CO. OR
WHATEVER IT JUST LET THE PART
CANNABIS TAKE A THING- OVER WHO
YOU LET THE STATE HAVE A DIRECT
SUPPLY FOR TO EQUITY AND LETTING
THE COUNTIES. HANDLE JURORS HOLD
ON TO THAT FUNDING AND DECIDE
HOW THEY'RE GOING TO SEEK IT OUT
IF WE EVER DO WE ARE REGULATED I
DON'T EVEN KNOW HOW MANY FIVE MY
SON'S NEXT PARACHUTE. I'M NOT
GOING TO PAY FOR FOOD PLEASE
HELP. THANK YOU MA'AM. OKAY I
NEED EVERYONE TO BE A LITTLE BIT
CAN THAT WAS RUNNING ON THREE- I
TRY TO BE FLEXIBLE BUT YOU WILL
OR- TESTING MY FLEXIBILITY HERE
NEXT PLEASE. MY NUMBER ONE
SEVENTY ONE PLEASE GO AHEAD. WE
CAN PROFESSIONAL I THINK THAT.
ONLY FARMS LIKE MINDED MEN
COUNTY I. CAN APPLICATION TWO
SEPARATE. FOR THE PAST FIFTEEN
MONTHS I'VE HEARD NOTHING FROM
THE COUNTY FOR THE PAST FOUR
YEARS. WHY WHY. WHY AND I DON'T
KNOW WHY I THINK THE SECURITY
BECAUSE MY LOCAL JURISDICTIONS
IT'S NOT ABLE TO ACHIEVE EIGHT
BENCHMARK. THE APPLICATION.
BECAUSE THE DATA OF MY DON'T
THINK WE YOUR- KERN QUARTER IF I
OUT OF MY- I WON'T BE ABLE TO
BE. RUN MY- WE THE PROVISIONAL
LIGHTLY. THAT PEOPLE LIKE ME.
ALWAYS TO BE RIGHT. WILL NOT
LOSE OUR FAMILY. WE BECAUSE
BUREAUCRACY SLOWLY THE REQUESTED
FOR AN EXTENSION NOT BECAUSE WE
WERE INTO ABLE TO DO WHAT WAS. I
IT IS NEEDED BECAUSE IT USUALLY
AROUND THAT. WE NEED YOUR HELP
DO YOU THINK. ALL RIGHT THE-
THANK YOU THANK YOU THAT WAS
MINUTE WITH THE LAW OF CONTENT
THANK YOU VERY MUCH NEXT PLEASE.
MY NUMBER ONE SEVENTY. HI GOOD
EVENING. MY NAME IS EASILY
KEMENY CO FOUNDER AND BUSINESS
DIRECTOR HERE KIND OF TEN
THOUSAND SQUARE FOOT FAMILY RUN
CRAFT CANNABIS FARMING BATTED
COUNTY MY PARTNER AND I ARE TWO
TIME STATE EQUITY GRANT
RECIPIENTS AND IN FULL SUPPORT
OF THE ORGAN COUNCIL BUT MANY
OTHER THINK PARTNER THE LEGACY
GROWER THE MARKET SHARE HOME
SLAUGHTERED. BARRED FROM FAMILY
MEMBERS TO STEP INTO THE LIGHT
TO PROVIDE MATCHING FACE PRODUCT
FOR THE RESIDENTS CALIFORNIA WE
RECEIVED A PROVISIONAL LICENSE
MARCH FOURTH TWENTY TWENTY Q.
AND BY THIS JANUARY WE
TRANSITION TO AN ANNUAL LICENSE
WE DID THAT BECAUSE ABOUT A
COUNTY IN CONJUNCTION WITH THE
NEVADA COUNTY CANADA BLANKED ON
AN EXCELLENT JOB HELPING
APPLICANTS TRANSITION THEIR
STATE CULTIVATION LICENSE FROM
PROVISIONAL. ANNUAL THAT BEING
SAID THERE ARE RADICAL
INEFFICIENCY FILLED BETWEEN
STATE AND COUNTY REGULATIONS
CENTER ON THE QUEST FOR MANY
FARMERS IN NORTHERN CALIFORNIA'S
CULTIVATION COMMUNITY WHO
DESPERATELY NEED A PROVISIONAL
LICENSE EXTENDED NOT ONLY KEEP
THEIR BUSINESS. TO STAY IN THEIR
HOME AND COMMUNITY FARMERS
SHOULD NOT BE PUNISHED AND
EFFICIENCIES OTHER COUNTIES. IN
ADDITION WE ARE KIND OF THE POOR
FARMERS HAVING DIRECT ACCESS TO
CONSUMERS SIMILARLY TO WINERIES.
THANK YOU FOR YOUR TIME THANK
YOU VERY MUCH AGAIN VERY
CONCISE. WELL TO CONTENT NEXT
PLEASE. MY NUMBER ONE FIFTY
THREE. YEAH HELLO. HELLO YEAH
ARE YOU THERE. WE'RE HERE PLEASE
PERCENT TO MAKE ALL. I I'M A
LESBIAN OF COLOR OR REFER. THE
GOD- OVER THE DARKER COLDER THE
COMMUNITY AND BASICALLY- I'VE
THAT YOU KNOW WE SHOULD JUST
HAVE EVERYBODY OUT THEIR FREEDOM
AND- STUFF LIKE YOU KNOW HAVING
A BUDGET. AND YOUR CURRENT
KNOWING YOU DID HAVE A LICENSE
WHEN YOU SHOULD HAVE YOUR
FREEDOM YOU HAVE TO THE DON'T
HAVE FREEDOM. THEN THEY'RE GOING
TO STOP CARING AND THAT HE THAT
HAPPENING. SO IT'S JUST
COLLECTIVISM AND THEN THE
COMMUNISM WHICH IS ALWAYS.
ACTIVISM ALWAYS ENDS IN DEATH
AND THAT SO AND EQUITY IS JUST A
MADE UP THING BY THE PEOPLE WHO
CREATED THE- WAR ON DRUGS THOSE
ARE THE SAME PEOPLE. SO ACT I
THINK WE SHOULD READ THE VALUE
THAT WE DON'T NEED PEOPLE OF
BEING CHARACTER ANY OVER- AND
LET. PEOPLE HAVE THE FREEDOM TO
DO WHAT THEY WANT ON THE THIRD
HAVE HIGH MORAL THAT THAT'S NOT
THE LAW. WELL MORE ALONG TRUTH
LAW AND WE CAN BE SELF GOVERN SO
ANYWAY- EQUITIES OR SOMETHING
MADE UP BY THINK TANKS YEAH.
THAT IS EVEN REAL. ALL EVERY. SO
ANYWAY- AND THEN CAN PROPER WHAT
ARE FOR. AND PEOPLE OF CARRYING
. THANK YOU MA'AM NEXT PLEASE.
WE HAVE LINE NUMBER ONE FOR FOUR
PLEASE GO AHEAD. HELLO COMMITTEE
I APPRECIATE THE OPPORTUNITY TO
COMMENT AND FOR YOUR ATTENTION
TO THESE MATTERS. MY NAME IS ON
POLICY ONE PETRI OPERATE
MAINSPRING CONSULTING THE SMALL
ENVIRONMENTAL COMPLIANCE
CONSULTING COMPANY IN MENDOCINO
COUNTY SPECIALIZING IN CANNABIS
ENVIRONMENTAL REGULATORY
COMPLIANCE INCLUDING C. CLASS.
AS AN ANCILLARY BUSINESS I'VE
EXPERIENCED A 50% ATTRITION AND
CULTIVATOR CLIENTS IN THE LAST
TWELVE MONTHS THREE SIXTY
INDIVIDUAL SMALL FARMS THIRTY.
PROPERTIES FAMILIES HAVE CHOSEN
TO NOT CONTINUE FORWARD TO
PURSUING LOCAL PERMIT STATE AND
LICENSE. OF THE REMAINING
OPERATORS ALL HAVE ANXIETY ONLY
2% OF LOCAL PERMITS AND THE
MAJORITY HAVE APPLICATIONS THAT
HAVE BEEN IN A REVIEW FOR
UPWARDS OF FIVE YEARS WITH OUR
LOCAL JURISDICTIONS. ONLY ONE
HAS A SEAT IN YOUR LICENSE. THE
TIMELINE FOR APPLICATION TO
ISSUE IS IT TOO LONG FOR SMALL
BUSINESSES AND MAKE WISER
DECISIONS OR EVEN SUSTAIN
THEMSELVES. THE PRIMARY REASON
FOR THEIR SURRENDER OUR
LICENSING UNCERTAINTY LACK OF
AFFORDABLE TECHNICAL SUPPORT
OVER TAXATION AND
OVERREGULATION. WHAT UP KINDLY
LEGISLATIVE. INTERVENTION TO
CORRECT THE IMPOSSIBLE
PROVISIONAL PLASTIC WITH
TIMELINE REMAINING MENDOCINO
COUNTY SMALL FARMERS ARE AT RISK
OF EXTINCTION. ADDITIONALLY
LOCAL JURISDICTIONS ARE
UNEQUIPPED TO HANDLE THE
NECESSARY VOLUME OF APPLICATIONS
IN THE CURRENT COMPRESSED THE
TIMELINE WE NEED TIMELINE
EXTENSION WITH TECHNICAL
SUPPORT. DIRECT SALES FOR SMALL
FARMERS AND MORE TRANSPARENCY
LASTLY REGARDING EQUITY ADVOCATE
FOR DATA DRIVEN PROGRAM
MANAGEMENT STATEWIDE DEFINITIONS
OF ELIGIBILITY TO REACH
DISPROPORTIONATELY IMPACTED
COMMUNITIES AND GEOGRAPHIC
REGION. THANK YOU. THANK YOU
VERY MUCH NEXT PLEASE. WE HAVE
LINE NUMBER ONE FOR NINE. HI MY
NAME IS A CRUCIAL ON THE OLD OF
THE- AND LOOKING AT SEVENTEEN ON
NINE TROUBLED BY COMING PUBLIC.
I AM ONE OF ONLY TWO BLACK.
OTHER CENTURY LOTTERY WINNER YOU
WENT ALONG WITH MY HOCKEY AMONG
THIRTY ONE OPEN STORAGE. YOU
WONDERED FOUR GRADUATE OVER A
HUNDRED AND TWENTY APPLICANTS
FOR STOREFRONT. ONE OF THE CHEN
ARE OPEN IN A TWO YEAR OF A
THREE YEAR DEADLINE EVEN OPEN
AND I AM PROBLEM THAT ADDITIONAL
SIX MONTHS ALLEGIANCE CITY ERROR
ISSUES IN THE FIELD ALTHOUGH WE
- MANAGED YOURSELF HERE SO I'M
WORKING ON FULL. THIS IS THE
BEGINNING OF MY OP FONG AND I
WAS NOT OPERATING RESOURCES
TRUTH BECAUSE MY TIME MORE THAN
TWO HUNDRED THOUSAND DOLLAR
FINANCIAL INVESTMENT LOSSES AND
THAT INCLUDES A HUNDRED TWENTY
FIVE THOUSAND DOLLAR GRANT NOR
CAN PRIORITY PROPERTY BE
GUARANTEED AS WELL AND THAT IS
TO BE RECOGNIZING FAITHFUL. AND
HONEST EXPECTATIONS THE FATHER'S
WEALTH. EMPLOYMENT AS A FOLLOW.
UP WITH THAT THE PRESIDENT. TO
ENSURE PRIORITY PROCESSING TO
THE MANY STEPS EVEN BEHIND WITH
MICHAEL THEY WILL AT THE PROFITS
OF RESOURCE FROM THE STATE THE
EQUITY OPERATE THE- STRING. AND
THAT INCLUDES RETURN EDUCATION
REPORTABLE ACCIDENTS THE
GRANDFATHER AND WEBER STATE UP
FRONT SB TWO WORDS BEFORE. AND
IMPACT THE ALBUQUERQUE BETTER
SPOT WE ARE AT THE FIFTY ONE
COULD MAKE SHORT I. FOR THE
RETAILER GET THEIR ARE MISSING
BENEFITS OF A BERMAN. MIGHT AGE
FIVE YEARS. A ALREADY HAD FUN
THERE ARE AND UNREALISTIC
DEADLINES IMPROVE WILL. FOR
PROTON NOW IMPACTED WITH REGARD
CHANCE I COULD INCREASE. FURTHER
BARRIERS. THANK YOU FOR YOUR
THANK YOU ROOM NEXT PLEASE.
DIED IN THE CITY OF ADELANTO
CALIFORNIA. I'M BUT WE REALLY
NEED TO RETHINK THE DEPARTMENT
OF CANNABIS CONTROL- WHAT IT HAD
DONE TO PROP SIX. PROP TWO
FIFTEEN- LEGACY OPERATORS. THAT
WE'RE NOT ONLY PARTICIPATING IN-
LEGACY MARKET BUT THEY WERE
ASSISTING MEDICAL PATIENTS AND
THOSE MEDICAL PATIENTS I'VE
HEARD BARELY ANYTHING ABOUT THEM
IN THIS MEETING I AM ONE OF
THOSE MEDICAL PATIENTS AND I WAS
OPERATING IN THE POPULAR FIFTEEN
MARKET. LOCAL CORRUPTION. LIKE I
HAVE NEVER SEEN IN MY LIFE HI BY
THE WAY I'M AND- COMMUNITY
PROGRAM. FROM MEDICAL PATIENTS
LIKE ME I THINK ALL THE CRIMINAL
I'VE BEEN GREEN DIED AT THE
COUNCIL MEETING- WHEN THE MAYOR
OF MY CITY WAS. INDICTED AND
PLED GUILTY TO CHARGES FOR
BRIBERY SCHEME ON THE CANNABIS
DISPENSARY COMMITTEE WHEN I WENT
DOWN TO THE FEDERAL BUILDING
VIEW HIS- HIS. GUILTY PLEA. HE
RATE CALLED ME THE CRIMINAL. I
AM NOT THE CRIMINAL HERE THE
DEFEAT HE DOESN'T HAVE
ADMINISTRATIVE REMEDIES AND
PROCESSES WITHIN THEIR
DEPARTMENTS LIKE NORMAL. PART IN
FEW YOU KNOW THERE'S USUALLY
FROM HURT THEN SOME FORM OF SOME
WAY TO TALK TO SOMEONE I'VE BEEN
TRYING TO TALK ABOUT THIS FOR
FIVE YEARS AND THIS IS THE FIRST
TIME THAT I'VE- HELP LIKE MAYBE
SOMEBODY CAN DO SOMETHING FOR
US. THE MEDICAL PATIENTS. SOCIAL
EQUITY SHOULD BE FOR MEDICAL
CANNABIS PATIENTS AND LEFT
LEGACY OPERATORS REGARDLESS OF
THEIR COLOR. REGARDLESS OF
ANYTHING LIKE THAT SOCIAL EQUITY
IS FOR MEDICAL CANNABIS PATIENTS
IF YOU HAD A DOCTOR'S RIGHT
BEFORE TWENTY EIGHTEEN YOU
SHOULD BE IN LINE FIRST GET YOUR
LICENSE FOR THE STATE AND THAT'S
WHERE THIS WHOLE THING IS WRONG
IS THAT PROP SIXTY FOUR CAME IN
AND TOOK AWAY ALL OF OUR
PROGRAMS. AND MA'AM HOLD OF THE
PROGRAMS THAT WERE ALREADY THERE
CALL THOSE PEOPLE THE MEDICAL
PATIENTS CRIMINALS. AND AWAIT
OUR MEDICINE. PREFIX PLEASE.
THANK YOU THANK YOU MA'AM NEXT
PLEASE. WE HAVE ONE NUMBER ONE
FIFTY ONE PLEASE GO AHEAD. HELLO
MY NAME IS JAMES ROBERTSON WITH
MY PARTNER BRIAN ACTON SAID
THERE'S TWO OF US ACTUALLY LIKE
TO SPEAK TO A PARTICULAR CREEK.
OKAY TWO MINUTES ARE PERMANENT
IN ACCOUNTING- AND NOTICED THAT
YOU HAD A QUITE A FEW
CULTIVATORS CALLING FROM OUR
COUNTY OUR COUNTY HAS LESS THAN
ONE PERCENT. OF ITS- FARMS
ACTUALLY HAD BONTA ANNUAL IN THE
LAST THREE YEARS NONE OF THEM
HAVE GONE DANIEL WE'RE IN AN
EXISTENTIAL CRISIS AT THE
MOMENT. WE STARTED CULTIVATING
MORE SECOND GENERATION UNDER
PROP TWO FIFTEEN AND WE
CONTINUED ON WITH THIS- WHICH IS
A FAMILY LEGACY FOR US. WE ALSO
HAVE A- RESORT PROPERTY AND WE
HAVE THE- WHICH IS BASICALLY A
HOTEL AND A MICRO BUSINESS WHICH
IS TIED FOR CULTIVATION MUCH
LIKE A SMALL WINERY- WORRY JEFF
B. RIGHT NOW ARE PROVISIONAL
LICENSE IS GOING TO BE UP AND
OUT IN AUGUST AND WE'RE- AFRAID
THAT WE'RE GONNA BE LOSING OUT
OF IT. IF YOU WERE ALSO GAVE YOU
LOSE THEIR MARKET BUSINESS
INTERBRAND WHICH RIGHT NOW IS
DOING QUITE WELL IN CALIFORNIA
WERE ACTUALLY W. EVERY COLORS
ALMOST ON A MONTHLY BASIS. I'M
NOT FRANTIC AT HOME TO SPEAK.
SURE SO- I'M JAMES PARTNER AND-
I'M FULLY SUPPORTING AND THEN
THE- CANNABIS MILIEU OF THE
PRIOR TO THAT I WAS THIS GOOD BY
PREVENTION. PROGRAM MANAGER FOR
VETERAN AFFAIRS FOR ALL OF
NORTHERN CALIFORNIA. I JUST WANT
TO SPEAK TO THE- IF THE IF
YOU'RE ON MENTAL HEALTH THAT
THAT- AMBIGUITY THIS STATE OF
AMBIGUITY THAT ALL OF US HAVE
HAD WITH THIS DEAD BECAUSE OF
ISSUES WITH THE LIFE AND- JUST
THE NEGATIVE MENTAL HEALTH. AND
MEDICAL OUTCOMES THAT CAN RESULT
FROM THAT THESE INCLUDE HIGH
BLOOD PRESSURE RELATIONSHIP
ISSUES- OBESITY ALCOHOLISM EVEN
HOPELESSNESS WHICH IS THE HUGE
PREDICTOR TO ASIDE SO. I JUST
REALLY WANT TO IMPRESS UPON THAT
THANKS COMMITTEE THE IMPORTANCE
OF STREAMLINING- THIS CANNABIS
LIKE PRODUCT THAT IN GETTING
THE- ANNUAL LICENSE. PROCESS
THAT TIMELY MANNER I'M NOT ONLY
FOR THE HEALTH OF THE CANNABIS
INDUSTRY THAT FOR THAT MENTAL
HEALTH AND MEDICAL. HEALTH OF
YOUR CONSTITUENTS YEAH I ALSO
WANT TO JUST INCLUDE THAT WE
SUPPORT THE RECOMMENDATIONS. OR
HELPFUL AND. ALSO ON THE
GOVERNING BOARD OF IN THE A
WHICH IS. WHY AS WELL AS WEST
BUSINESSES. THERE WHICH IS THE-
LEAD OUR CAN AND I'M ALSO. I'M
MEET CASH FORCE CAL IT TO BE A-
OTHERS THERE ARE ONLY TWO OF US
IN THE STATE THE ONLY ONE. AND
THIS IS THE ADVOCATE THE STATE
TO WHERE I DOING WE CAN TO HELP
SMALL BUSINESSES AND THANK YOU
YOUR KIND THANK YOU SIR NEXT. WE
HAVE LINED UP ONE NINE PLEASE
AHEAD. YEAH HEARING THIS. LOWER
PERFECTLY PLEASE PROCEED TO
MINUTES. OKAY IT WILL BE LESS.
BIG U. S. SENATE COMMITTEE FOR
CREATING DISADVANTAGED AND
CONVENING. TODAY THIS IS ANOTHER
ROAD MEETS THE ROAD MEMBERS
STATIONED. MY NAME IS MARK THE
SOME SEE OWNER THREE IS FARMS.
MENDOCINO COUNTY WE'VE BEEN
REGISTERED WITH THE STATE OF
CALIFORNIA AND HAD R. E. I. N.
NUMBER SINCE TWO THOUSAND
ELEVEN. AND HOPES OF BEING IN
THE FOREGROUND OF CALIFORNIA'S.
CANNABIS REGULATORY SYSTEM. I'M
STARTING MY FORTY FIFTH FORTY
FIRST YEAR OF CULTIVATION. I
ENROLLED IN OUR PROGRAM IN TWO
THOUSAND SEVENTEEN AND STILL
ONLY HAVE A RECEIPT- WE SPENT SO
MANY THOUSANDS OF DOLLARS TRYING
TO BECOME COMPLIANT. AND NOW
WE'RE BOTH AWAY FROM COMPLIANCE
CAN WE EVER HAVE BEEN. WE NOW
FIND OURSELVES IN THE BRINK OF
DISASTER IN FORECLOSURE. CAKE
INCREDIBLE LOSSES IN BOTH TWENTY
TWENTY ONE. TWENTY TWENTY TWO
THE RESORT ALL OF OUR SAVINGS IN
CREATED A SERIOUS DEBT. FROM
BORROWING MONEY TO SURVIVE RIGHT
NOW I'M NOT SURE MORE SERVICES
AVAILABLE EVEN NOW WITH THREE
MONTHS ALREADY DEVOTED TO TWENTY
TWENTY THREE GARDENS WE STARTED
IN MID DECEMBER BUYING CLONES
FOR OUR MOTHERS. I'M ASKING
MYSELF DALY IF I SHOULD- THIS
YEAR I'VE ALREADY FILLED OUT THE
PAPERWORK TO DO SO BUT WHAT I
DO. I LOVE WORKING WITH THE
PLANET WORKING IN THIS INDUSTRY
ON TOP OF A FAILING MARKET OUR
STATE IS IN DESPERATE NEED OF
RESTRUCTURING SOME OF ITS
REGULATORY TIMELINES IN
PARTICULAR BECAUSE QUORUM IT.
PROVISIONAL DEADLINE OF JULY
FIRST WHICH IS JUST A LITTLE
OVER NINETY DAYS AWAY. TWENTY
TWENTY THREE PROBABLY 90% OF THE
FORMS LAWMAKER COMPLIANCE
DEADLINE WE NEED TO MOVE THAT
DEADLINES AT LEAST TWENTY TWENTY
EIGHT OR SOMETHING EVEN MORE
INDEFINITE. IF WE TAKE- THREE.
YOU KNOW SLEEP OF NIGHT NOW
BECOME MORE P. IT DOES BOTHER ME
ANYMORE DO SO EXTRA AROUND THIS
OVER THE LAST FEW YEARS. I
ACTUALLY ENJOY IT WE UP IN THE
BILL NIGHT NOTICED. AND DOING
WHATEVER WORK I NEED TO DO IN
REGARDS TO REGULATIONS HAS
BECOME A WAY OF LIFE. BUT ON A
POSITIVE NOTE LEAVING LASTLY
WE'RE IN A PERFECT SPACE FOR
FREE WE NEEDED THESE LAST FEW
YEARS. TO SEE HOW THE CURRENT
DESIGNS. IT BILLION PLACE LONG
ENOUGH SEE WHAT WORKS AND WHAT
DOES IT- I HAVE A LOT OF
POSITIVE ATTITUDE TOWARDS BUT
THE OUTCOME IS GOING TO BE SO
THANKS FOR YOUR TIME I
APPRECIATE THANK YOU SIR NEXT
PLEASE. WE HAVE Y. NUMBER ONE
TWENTY SEVEN PLEASE GO AHEAD. HI
THERE HE SAID COMMITTEE FOR YOUR
TIME- HOPE EVERYBODY STILL- BOND
MY NAME IS TYLER FROM SANTOS
OBISPO. SO MANY ISSUES. TO
MENTAL SIME- I'M SOCIAL LIKELY
FOR WHATEVER THAT'S WORTH- I'VE
BEEN FEET THIS THIS IS WHAT YOU
GUYS KNOW WHAT YOU'VE HEARD
ABOUT THE QUOTE. TODAY. YOU
THINK YOU KNOW YOU HAVEN'T
REALLY HEARD. ANY OF THE LIKE
THE TRUTH BEHIND IT WHAT IT'S
REALLY ALL ABOUT. HELLO YOU GUYS
PROBABLY ALREADY UNDERSTAND A
FIFTY COULD TAKE ANYWHERE FROM
THREE YEARS. THE DATE-
CONTROLLED THREE HUGE ISSUE AS
FAR AS BECAUSE CONCERNED.
ANYBODY HAVE ANY ISSUES WITH THE
CLUB. GET A NEW CONSULTANT- IN
THE ILLEGAL MARKET PRETTY MUCH
GONE- LEGAL MARKET IS NOT THE
ISSUE EITHER LIKE I SAID SO MANY
ISSUES THE LITTLE TIME. BACK
WITH A LITTLE BIT BOTH. BEING
YOU KNOW. YOUR CORRUPTION NOT
MUNICIPALITY THE FBI RAIDED THE
SUPERVISOR'S CHAMBERS THOSE OF
US THAT. I TO GIVE IT A GO- I
HEARD A GENTLEMAN EARLIER FROM
SAN LUIS OBISPO IT WOULD BE NICE
TO GET A REFUND. AND- YOU KNOW
STEP ASIDE FOR THE OTHERS THE
SOCIAL EQUITY MEMBERS TO- BY TO
GIVE TRY TO GIVE IT A GO FOR
THEMSELVES- JUST ONE FOLLOW UP
QUESTION IF YOU DON'T MIND I
LOOK FORWARD TO SPEAKING WITH
YOU ALL THROUGH EMAIL CAN YOU
PLEASE PROVIDE. A PROPER EMAIL
TO WRITE LETTERS TO THE STATE
COMMITTEE THANK YOU. OUR-
WEBSITE. SENATE BUSINESS
PROFESSIONS AND ECONOMIC
DEVELOPMENT WEBSITE- IS
AVAILABLE ON THE CALIFORNIA
STATE SENATE LOCATION. FEEL FREE
TO UTILIZE THAT TO TRANSMIT ANY
WRITTEN COMMENTS TO THE
COMMITTEE MEMBERS AND COMMITTEE
STAFF. NEXT PLEASE. WE HAVE LINE
NUMBER ONE TWENTY TWO. HI I'M
RATE EARNERS PARTNER WITH KATIE
PUBLIC ACCOUNT I WANT TO THANK
THE COMMITTEE FOR GIVING ME AN
OPPORTUNITY TO MAKE THESE PUBLIC
COMMENTS ON WHERE HAS THE MONEY
GONE. I'M ACCOUNT FOR SEVERAL
CANNABIS EQUITY BUSINESSES AND
ALL. THE PAST FIVE YEARS WE HAVE
INFORMED THE DEPARTMENT OF
CANNABIS CONTROL AND THE
CANNABIS ADVISORY COMMITTEE ON
THE DEVASTATION THE NO INTEREST
LOAN OPTION. IS CAUSING OAKLAND
AND SACRAMENTO ACTUALLY
BUSINESSES. MY POINT BONE I OF
BUSINESS BECAUSE OF THE LOAN
OPTION ALL OF THE JURISDICTIONS
IN THE STATE ISSUE GRANTS. AND
LOANS OF PLACING THE EQUITY
BUSINESS IN OAKLAND SACRAMENTO A
COMPETITIVE DISADVANTAGE. OVER
THE CREATION OF STATE EQUITY
PROGRAM THANK OF THE LOAN WAS
THE ONLY ISSUE ONE CONNECTICUT
BUSINESSES FULLY OPERATIONAL AND
WOULD LIKE FUNDING TO PURCHASE
ADDITIONAL EQUIPMENT. HIRE
ADDITIONAL POLICY OR EXPAND
THEIR BUSINESS. OPEN IN FACT A
MENTAL HEALTH ISSUE UP FRONT
LOANS FOR THE PAST FIVE YEARS
WHAT BATES WOULD GIVE A LOAN TO
A BUSINESS WITHOUT HAVING THEIR
FIRST CUSTOMER. FOREMAN CAN
CONTROL HAS IGNORE MY CLIENTS
REQUEST. ON THIS MATTER FOR THE
PAST FIVE YEARS WE ARE PLEADING.
VOTE NO INTEREST LOANS BE REPEAL
AND NO AFFECT AND NOT EXPECT ANY
OTHER EQUITY BUSINESS IN OAKLAND
AND SACRAMENTO IN THE FUTURE. I
WANT TO THANK THE COMMITTEE VERY
MUCH. THANK YOU SIR VERY CONCISE
IMPORTANT INFORMATION NEXT
PLEASE. MY NUMBER ONE SIXTY
FIFTH. GOOD EVENING PAMELA LOPEZ
CALLING ON BEHALF OF CALIFORNIA
NORMAL CALIFORNIA'S LARGEST
CANNABIS CONSUMER ADVOCACY AND
HUMAN RIGHTS ORGANIZATION. ON
BEHALF OF CALIFORNIA'S CANNABIS
USERS. WE ARE SORRY TO NOTE THAT
EXPECTED TAXES AND REGULATIONS
ARE DRIVING MANY CONSUMERS AWAY
FROM CALIFORNIA'S LEGALLY
LICENSED PROVIDERS. AND INTO THE
UNDERGROUND MARKET. WE WILL JUST
GO BACK CALIFORNIA AT HIGHS YOUR
AND DISPENSARIES THAN BEFORE
PROP SIXTY FOUR WAS PASSED. AND
THAT MEDICINAL USERS HAVE LAST
AFFORDABLE ACCESS TO MEDICINE
POSTED PROP SIXTY FOUR THAN THEY
DID UNDER PROP TWO FIFTEEN. AND
HISTORY TEACHERS THAT THAT
HAPPENS FORSMAN WILL NOT STAMP
OUT ILLICIT GROWERS AND
TRAFFICKERS. THE ILLICIT MARKET
WILL CONTINUE TO FLOURISH AS
LONG AS LICENSE PROVIDERS ARE
HAMPERED BY EXCESSIVE TAXES AND
BURDENSOME REGULATIONS AND WE
CALL ON THE LEGISLATURE TO
EXPLORE REDUCING THE BURDEN. WE
SPECIFICALLY WANT TO PUT IN A
WORD OR NOT TRIGGERING THE
INCREASE IN THE EXCISE TAX IN A
COUPLE OF YEARS AT PURSUANT TO
AB ONE NINETY FIVE. THAT WOULD
BE AN ABSOLUTE DISASTER FOR
ACCESS TO CANNABIS FOR BOTH
ADULT AND MEDICINAL USERS IN
CALIFORNIA THANK YOU THANK YOU
VERY MUCH NEXT PLEASE. I HAVE MY
NUMBER ONE SIXTY PLEASE GO AHEAD
. HI MY NAME IS LISA GREEN WE
WERE APPROVED TO MOVE FORWARD
FOR RETAIL LICENSING AND WITH
ANGELUS THE SHORT TO KEEP
REPLIED THE EXACT YEARS WE HAD
THE FAITH AND ARE STILL
CURRENTLY FACING INCOME AFFECT.
FROM LICENSING DELAYS AND
PREDATORY INVESTORS TO LACK OF
FUNDING TO SECURE NEW REAL
ESTATE WE'VE BEEN HIT BY
EVERYBODY. THANK YOU THINK
MAKING FOR BY HAVING CERTAIN
VERY LITTLE WE FACE A NEW
BARRIER PROVISIONAL LICENSE THE
ENDING ON MARCH THIRTY FIRST AT
THE STATE LEVEL AND YOU LIKE TO
REFER TO THE LOCAL. THE FINDINGS
JULY- WITHOUT THE ABILITY TO
OPERATE ON A PROVISIONAL LICENSE
I HAVE NO IDEA HOW WE CAN INVENT
CAN CONVINCE AN INVESTOR TO GIVE
UP THE ONE POINT FIVE MILLION WE
NEED TO MOVE TOWARD LICENSING SO
WE CAN FINALLY OPEN OUR DOORS.
THE FACT THAT THE FIFTY ONE I
ALSO SUPPORTER GRANTS AND LOANS
FOR SOCIAL EQUITY APPLICANTS IN
PLEASE REALISTICALLY
REQUIREMENTS AND THE EXCISE TAX
AT THE RETAIL LEVEL. THANK YOU
THANK YOU. FOR YOUR TIME AND
YOUR COMMENTS TEXT PLEASE. WE'VE
ABOUT LINE NUMBER STEP FIVE THIS
CALL. I THANK YOU FOR THE
OPPORTUNITY TO SPEAK MY NAME IS
PATRICK SELLERS I BUT ON THE
ORIGINS COUNCIL BOARD OF
DIRECTORS AND I AM A CONSULTANT
WHO HAS WORKED WITH OVER A
HUNDRED LEGACY CULTIVATORS IN
MENDOCINO COUNTY SINCE TWENTY
SEVENTEEN. IN TWENTY FIFTEEN OR
AN ESTIMATED TO BE MORE THAN TEN
THOUSAND CANNABIS FARMS IN
MENDOCINO COUNTY AND ONE PROP
SIXTY FOUR PASSED ABOUT THIRTEEN
HUNDRED PERMITS WERE APPLIED FOR
STRICTLY PRE EXISTING LEGACY
FARMS. FIVE HUNDRED HAVE ALREADY
BEEN WITHDRAWN. OUR MENDOCINO
CANNABIS DEPARTMENTS THAT
RECENTLY THAT THEY PLAN FOR ONLY
THREE HUNDRED AND FIFTY EIGHT OF
THE REMAINING EIGHT HUNDRED AND
THIRTY TWO ACTIVE FILE AND MEET
THE PEOPLE PROGRESS BENCHMARKS
THAT CHANGE ON JULY FIRST. THAT
ALMOST FIVE HUNDRED MORE PERMITS
WAITED TO BE GONE BY JULY TWENTY
TWENTY FOUR SIMPLY BECAUSE THEY
WILL NOT BE ELIGIBLE FOR THE
NEXT PROVISIONAL LICENSE
RENEWAL. THIS IS WHY WE'RE
TALKING ABOUT AN EXTINCTION
EVENT. WE NEED STATE
INTERVENTION. WE NEED AN
EXTENSION TO THE JULY FIRST THE
BENCHMARK AND WE NEED LEGAL
REFORM. SMALL CANNABIS FARMS
SHOULD BE EXEMPT FROM THE QUOTE.
BECAUSE CAMPUS FARMING IS IN
REALITY AGRICULTURE THANK YOU
AGAIN THANK YOU. THANKS PLEASE.
WE HAVE ONE NUMBER. ONE SEVENTY
SEVEN. THANK YOU FOR THIS
OPPORTUNITY TO SPEAK I AM CLEAR
MINIMAL COST. A FLAGRANT ISSUE
BEYOND THE DUPLICATION OF
PROVIDING PROCESSING ON THE
STATE AND LOCAL LEVEL. IS THAT
CAN ALLOWING JURISDICTIONS TO
MAKE THEIR OWN RULES. YOU OPEN
THE DOOR FOR CORRUPTION. SUCH AS
WHAT HAPPENED IN OUR COUNTY OF
SAN LUIS OBISPO. SO FAR THE DOJ
HAS EXPOSED BRIBERY AND PAY TO
PLAY WHICH DIRECTLY AFFECTED US
AS PROP TWO FIFTEEN LEGACY
APPLICANTS. AND HOW WE WERE
TREATED AS WE STRUGGLED TO GET
THROUGH THE LOCAL PERMITTING
PROCESS. AND TO DATE ARE COUNTY
HAS DONE NOTHING TO ADDRESS
COMPLAINTS EXCEPT- REYES
EXISTING FEES. AND IN FACT TO
ADD NEW SHERIFF AND ENFORCEMENT
FEES CONTRARY TO WHAT THE
REPRESENTATIVE. FROM FEES THAT
STATED. WITH THE COUNTY LEVEL TO
MAKE THEIR OWN RULES THEY PICK
THE WINNERS AND LOSERS I HELP
PERMITS A PROCESS PLEASE REFER
BACK TO PAY TO PLAY. AND THEN IN
TURN AFTER FINALLY MAKING IT
THROUGH THE PROCESS WE ARE
OPENLY SUBJECT TO UNEQUAL
ENFORCEMENT OF RULES. AND WHEN
WE BROUGHT THE SERIOUS PROBLEMS
TO YOU OF THE STATE WE WERE TOLD
SORRY BUT IT WASN'T YOUR PROP.
THANK YOU FOR YOUR TIME THANK
YOU NEXT PLEASE. WE HAVE ONE
LAST QUESTION A COMMENT THIS.
ONE SEVENTY EIGHT. EVERYONE MY
NAME'S JOHNSON PALAT I'M THE CEO
ACCORDING. AND THE REPEAL OF THE
GREEN HAVEN LA CULTIVATION I'M
ACTUALLY LOCATED HERE IN LOS
ANGELES CALIFORNIA IN ADDITION
THAT I AM THE CEO. OF ACTUALLY I
SHOULD JUST SAY THE FOUNDING.
MEMBER OF THE BLACK WOMEN'S
CANNABIS COUNCIL I'M ALSO THE C.
O. OF MAD RIVER HORTICULTURE
WON'T HELP FOR LICENSES AND
TRINITY COUNTY BETTER KNOWN AS
HUMBOLDT IN MAD RIVER. WE'VE
BEEN ACTUALLY SNOWED IN FOR LIKE
TWO MONTHS. IN THE AREA THERE
WERE ABOUT TWENTY SIX HUNDRED.
FEET ABOVE. SEA LEVEL AND WE'RE
STUCK WE NEED HELP. WE'RE NOT
THE ONLY FORM THAT NEEDS HELP WE
ACTUALLY HAVE NO ACCESS TO ROADS
WE ARE SNOWED IN WHERE OUR ROOMS
HAVE OVER ROUGHLY OVER THREE
FEET OF SNOW. WE HAVE TO TRY AND
FIND A WAY TO HELP US GET OUT OF
THIS SITUATION BECAUSE WE HAVE
BEEN SNOWED IN FOR THE LAST
MONTH AND A HALF. BECAUSE OF
THAT OUR SEASON ACTUALLY STARTED
A MONTH AGO WE HAVE NOT BEEN
ABLE TO DO ANYTHING REGARDING
THAT. ARE NOW LICENSES. ARE WHAT
WE CALL A- IN A SITUATION. AND
THAT'S THE BY THAT WE HAVE LAND
ISSUES WE HAVE ISSUES WHERE WE
CAN'T BUILD WE CAN'T GROW WE
WON'T BE ABLE TO SUSTAIN SO
WE'RE IN NEED OF EMERGENCY
FUNDING AS SOON AS POSSIBLE. IN
ADDITION TO THAT I'M REQUESTING
THAT FOR THOSE THAT HAVE
PROVISIONAL LICENSE IS. NOT JUST
AN EXTENSION. AN EXTENSION
REALLY IS OKAY BUT WHAT WE NEED
IS AUTOMATIC ANNUAL LICENSES.
ALL PROVISIONAL WHITE. IN
ADDITION TO THAT TOO I AS AN
INCUBATOR AND HELPING THIRTY
OTHER MINORITIES GET LICENSES IN
THE CITY OF LOS ANGELES WE'RE
TALKING RETAIL WE'RE TALKING.
NOT RIGHT DELUDE WE'RE TALKING
MANUFACTURING DISTRIBUTION AND I
NEED YOUR HELP. TO ACTUALLY BE
ABLE TO CONTINUE TO HELP THAT
I'M DEALING WITH ALL THESE
MINORITY BRAND. SOLD WITHOUT TO
SAY PLEASE EXPAND. THE
PROVISIONAL LICENSE OR TURN IT
INTO AUTOMATIC ANNUAL LICENSES
AND REMOVE ALL EXCESS TAXES ON
EVERY LEVEL WELL EVERY BUSINESS
FOR THE NEXT TWO YEARS THANK YOU
FOR YOUR TIME. THANK YOU VERY
MUCH MA'AM. THAT CONCLUDES OUR
PUBLIC TESTIMONY VIA THE
TELECONFERENCING LINE IS LIKE TO
THANK. ALL OF YOU PER FOR
PARTICIPATING IN THIS VERY VERY
IMPORTANT DISCUSSION AND TO THE
CANNABIS STAKEHOLDERS THROUGHOUT
THE STATE FOR YOUR COMMITMENT TO
A SAFE. AND A FAIR CANNABIS
MARKET PLACE. WE'LL CONTINUE TO
WORK ON THIS. IF YOU WERE NOT
ABLE TO TESTIFY VIA
TELECONFERENCE ORVIS OR IN
PERSON IN PUBLIC COMMENT PLEASE
SUBMIT YOUR COMMENTS OR
SUGGESTIONS IN WRITING TO THE
SENATE COMMITTEE ON BUSINESS
PROFESSIONS AND ECONOMIC
DEVELOPMENT. AT OUR ADDRESS OR
VISIT OUR WEBSITE YOUR COMMENTS
AND SUGGESTIONS ARE IMPORTANT TO
US AND WE WANT TO INCLUDE YOUR
TESTIMONY IN THE OFFICIAL
HEARING RECORDS. THANK YOU AGAIN
WE APPRECIATE YOUR PARTICIPATION
WE HAVE CONCLUDED THE AGENDA AND
I THINK AFTER OF ABOUT SIX AND A
HALF HOUR HEARING TODAY. WE CAN
SAY WE HAVE HAD A FULL AND FAIR
HEARING ON THIS SUBJECT. THE
SENATE BUSINESS PROFESSIONS AND
ECONOMIC DEVELOPMENT COMMITTEE
IS NOW ADJOURNED.