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Governor Brown signs MAUCRSA, merging medicinal and adult-use cannabis regulations

July 3, 2017

California Governor Jerry Brown signed into law the Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA) on June 27, 217.  Responding to industry feedback, California lawmakers have now unified regulation of the state's medicinal and adult-use (recreational) cannabis regulations.  While the rules for medicinal and adult-use still differ in some ways, the new regulations go a long way toward eliminating the inconsistencies between AUMA and MCRSA.  

 

 

 

Check back for updates regarding details of MAUCRSA and how they might impact your business.  For now, here is a sampling of key features of the legislation:

  • With limited exceptions, the same license types will be available for both medicinal and adult-use applicants;

  • Cannabis excise tax to be measured by the average market price of retail sale, rather than by gross receipts of the retail sale;

  • Cultivators are required to identify the source of their water supply;

  • Requires Department of Agriculture to establish and oversee a seed-to-sale track and trace program, while expanding the exemption to the state's Public Records Act to apply to information received in the track and trace program; 

  • Authorizes three or more individuals engaged in cultivation to form a cannabis cooperative;

  • Calls for the development of regional branding regulations, similar to those used in the wine industry;

  • Requires creation of impaired driving task force to develop recommendations;

  • Renames the Bureau of Marijuana Control the Bureau of Cannabis Control; and

  • Strips the Bureau of authority to regulate industrial hemp, transferring exclusive authority of industrial hemp regulation back to the Department of Food and Agriculture.

Click here if you want to read the text of the bill for yourself.

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