Since recreational marijuana was legalized by California voters last year, all eyes are on how this state of nearly 40 million inhabitants will craft and implement the wide-reaching regulations for such a massive market. With a prominent medical cannabis industry already in full swing, the state government has been cautiously preparing for the recreational cannabis explosion.
On Thursday, California lawmakers considered new legislation that would set a number of regulations for the state’s recreational cannabis system. If approved, the proposed measure would set standards for organic marijuana cultivation, permit home deliveries, and allow cannabis samples to be handed out at county fairs and other festivals.
These new regulations were packaged within a state budget agreement that includes $118 million in funding for the department that will oversee the cannabis industry. This money will help pay for the technology and employees used to enforce regulations and issue licenses.
As for organic cannabis standards, the proposed legislation would require policymakers to develop guidelines and rules the producers would need to follow in order to call their product organic. Standards will be set to distinguish certain marijuana varietals and growing regions, an artisanal approach similarly used in the wine and craft beer industry.
State lawmakers have also moved to open a tax office in the Bay Area, so that cannabis businesses are able to pay their taxes without having to travel with a hefty amount of cash. Ultimately, most of these new regulations seem to benefit cannabis producers and users, and will put the state government is a more favorable position as well.
As the state government constructs a system that will openly allow home delivery and set up proper guidelines for organic cultivation, lawmakers are pulling the multi-billion cannabis sector out of the dark. By doing so, California is poised to rake in a dizzying amount of tax revenue, while also allowing this budding industry to flourish outside of the black market.
