Title
Appoint a County of Monterey representative to serve as a member of the California Cannabis Authority Board of Directors
Report
RECOMMENDATIONS:
It is recommended that the Board of Supervisors:
Appoint a County of Monterey presentative to serve as a member of the California Cannabis Authority Board of Directors
SUMMARY/DISCUSSION:
The California Cannabis Authority (CCA) is a Joint Powers Authority (JPA) created to assist local governments in efficiently and effectively deploying resources for the regulatory oversight and taxation of commercial cannabis activities. In support of this, CCA provides a sophisticated data analytics platform to quickly make data-driven decisions which protect the integrity of licensed supply chain. Staff from the Cannabis Program and Treasurer-Tax Collector (TTC) utilize this information to facilitate the administration of Chapters 7.90 and 7.100 of Monterey County Code respectively. Recurring weekly meetings with NCS Analytics provides in-depth analysis of Metrc transactional data from seed to sale. Chapter 7.90 pertains to regulatory oversight of commercial cannabis operators and Program staff uses this data to verify that licensees are handling cannabis goods in accordance with state law and reduce diversion to or inversion from the unlicensed market and related compliance requirements.
On January 30, 2018, the Board of Supervisors (Board) adopted a resolution which authorized execution of the agreement to establish Monterey County as a founding member of the CCA. This resolution also appointed the Treasurer-Tax Collector, Mary A. Zeeb, as the representative of the County to serve as a member of the CCA Board of Directors (BOD). The CCA BOD is responsible for exercising the power of the JPA: setting the policy direction of the organization, approving the annual budget, and appointing the Executive Director. BOD meetings are currently scheduled once a month for one hour, though there has been discussion to modify the frequency, duration, and scope. Recent meetings have focused on adding members and sharing information, though there may be additional roles in the future: hosting conferences, taking positions on legislation, and correspondence with the State on regulatory and policy directions.
Although CCA is an independent JPA, the previous appointee, Mary Zeeb, has resigned the position to avoid any potential conflict of interest with her recent appointment to the BOD of the California State Association of Counties Finance Corporation. CCA BOD bylaws require at least one person be designated as the representative of a County to be serve as a BOD member and vote for the County. Appointments to the CCA BOD are at the sole discretion of the County; there are no requirements for who may be appointed, when the appointment occurs, or how often appointments occur.
Our office has identified two potential County representatives for consideration of appointment by the Board of Supervisors. These individuals are the Cannabis Program Manager, Joann Iwamoto, and the Chief Deputy Treasurer-Tax Collector, Kristina Parson. Staff proposes that the Cannabis Program Manager be appointed as the County representative to the CCA BOD. Staff believe this is the most appropriate appointment due to the Program Manager’s direct involvement with the cannabis industry and with County departments with industry oversight, in addition to being the point of contact for the California Department of Cannabis Control. Of course, the Board of Supervisors may select a different appointee. For reference, below are the names, job classifications, and jurisdictions of the current CCA BOD:
• Rex Bohn, Supervisor Humboldt County
• Jim Hamilton, Treasurer-Tax Collector, San Luis Obispo County
• Tom Haynes, Interim Chief Financial Officer, Yolo County
• Alisha McMurtrie, Treasurer-Tax Collector, Inyo County
• Jeff Frapwell, Assistant County Executive Officer, Santa Barbara County
OTHER AGENCY INVOLVEMENT:
No other agencies were involved in the preparation of this report. Greg Turner, CCA Executive Director was interviewed to gain an understanding of the CCA Board of Director role and responsibilities. Mr. Turner pointed out the desirability of having a mix of elected officials and administrative staff with program responsibility as members of the CCA BOD.
FINANCING:
Monterey County’s Cannabis Program is funded through County Administrative Office - Department 1050, Intergovernmental and Legislative Affairs Division - Unit 8533, Cannabis. Appointing representatives and their alternatives will not incur additional expenses to the Program.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
The Monterey County Cannabis Program addresses each of the Strategic Initiative Policy Areas that promote the growth of a responsible and legal Monterey County cannabis industry.
Mark a check to the related Board of Supervisors Strategic Initiatives
X Economic Development
X Administration
X Health & Human Services
X Infrastructure
X Public Safety
Prepared by: Nicholas E Chiulos, Asst CAO