It’s somewhat of a Catch-22 for cannabis cultivators, distributors and manufacturing businesses trying to get legit.
Adult-use marijuana is now legal in California, but licensing is lagging far behind. In Nevada County, a cultivation ordinance is still being hashed out and might not be ready for next year’s growing season. Only eight local growers had acquired their temporary licenses as of two weeks ago, less than one percent of the county’s cultivators.
Nevada City has approved a medical-use dispensary and ancillary manufacturing and distributing businesses, with 15 in the pipeline but only one actually having completed the permit process.
Would-be licensees face a difficult decision. Shut down their source of revenue during the permitting process — or continue to grow or manufacture, gambling they won’t get caught?
“The reality is that many of the businesses being permitted right now were already operating in a gray area prior to the state rolling out its regulatory structure,” said Diana Gamzon, the executive director of the Nevada County Cannabis Alliance. “That was the whole idea, to bring operators out of the shadows and into licensed facilities.”
But, Gamzon continued, that doesn’t mean businesses can skirt the law.
Recommended Stories For You
“With that said, now that we have regulations, they must be followed. All cannabis businesses must adhere to strict regulations while undergoing this tremendous transition. Many farmers are navigating new sets of changing regulations without access to banking or loans. People are transitioning from operating under Prop 215, which has created a lot of ambiguity.
“We will continue to work with our local cannabis businesses to help during this evolution while supporting a strong commitment to the regulations.”
According to local law enforcement, two applicants for manufacturing permits in Nevada City came down on the wrong side of