Title
a. Receive and accept the Cannabis Program fiscal year 2024-2025 annual budget review.
Report
RECOMMENDATION:
It is recommended that the Budget Committee:
a. Receive and accept the Cannabis Program fiscal year 2024-2025 annual budget review
SUMMARY:
The Cannabis Program (Program) provides a local framework for the management of licensed commercial cannabis activities in coordination with state and county agencies to address taxation, regulation, enforcement, education, and the protection of the health, environment, and safety of our communities. The County is ranked sixth in the State of California for cannabis cultivation based on the number of active cultivation licenses.
The Program coordinates activities with and between key departments, external agencies, the Department of Cannabis Control, the cannabis industry, and public and community groups. Seven County departments and the fire districts work collaboratively to enforce local cannabis policies and regulations as well as regulations imposed by the Department of Cannabis Control and various state and federal agencies. Each of these organizations plays a critical role and requires the Program to be well coordinated, with effective internal and external communication to ensure the policy direction of the Board of Supervisors is achieved.
DISCUSSION:
The cannabis industry is an important economic engine in the County of Monterey (County) and is challenged by taxes and regulatory hurdles heightened by a thriving illicit market. These issues collectively strain an industry forced to take protective measures, including scaling down and/or closing operations, and failing to pay taxes. Currently, there are 52 active commercial cannabis business, 8 dispensaries and 44 cultivators, operating within the County. These businesses are navigating a cannabis market downturn that began in 2021 while paying local taxes, and meeting state and local requirements for annual licensure.
The Program collects data...
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