Cannabis License & Regulations
Cannabis Retailer License (CRL) Application Process
The Cannabis Retail License application period closed at 3:00 P.M. on December 14, 2017. If issued a license, retailers will also have to obtain approval on an Administrative User Permit for the proposed location as well as a State cannabis license. Applicants will be notified of their status upon completion of the review. To find contact information or learn more about the process, feel free to contact Ryan Bane, Senior Planner.
Are you a Cannabis Retailer?
For more information, please review City Finance Cannabis Tax.
State of California and City of Santa Cruz Regulations
With the approval of Proposition 64 (AUMA) in November 2016, adult use of marijuana became legal in California. Under AUMA, personal use and cultivation of up to six (6) plants per residence became legal immediately while commercial uses, including cultivation, testing, manufacturing, distribution, and sales, will become legal once State licenses are issued beginning in January 2018. For more information, please review: State Cannabis Regulations & Legislation.
Additionally, Santa Cruz City Council adopted Cannabis Regulations on November 28, 2017. Under this ordinance, the City will allow five (5) retail outlets in industrial and limited commercial zones. Commercial cultivation is limited to 10,000 square feet of indoor growth in industrial zones. Manufacturing and distribution are also allowed in industrial zones. All commercial cannabis uses require the approval of an administrative use permit at a public hearing. Retail uses also require a cannabis retailer license. For more information, please reference the City's Municipal Code: Chapter 6.91 Cannabis Retailer License.
The City is not regulating personal use beyond what is allowed by state law. For more information on past City Council meetings, please view:
City GIS Map of Restricted Areas
View the City GIS map to find the restricted areas for cannabis and the required buffers for current dispensaries. You can find your address using the search feature: Cannabis Ordinance Restricted Area Interactive Map
What are the current medical cannabis regulations?
A medical marijuana dispensary is defined in the City's Zoning Ordinance as a nonresidential occupancy that is limited to the cultivation, production, acquisition, and dispensing of medical marijuana. The use is not permitted as an accessory use to any other principal, special, or conditional use, nor may it be permitted as a home business within any district of the City. Medical Marijuana dispensaries are allowed in the Community Commercial (CC), Thoroughfare Commercial (CT), Industrial (IG), and General Industrial Performance District (IG-PER 2) zoning districts and require approval of a Special Use Permit by the Planning Commission. The siting criteria include a 600-foot setback from any residential zoning district, any other medical marijuana dispensary, any public or private school, a public park with a children's playground, an alcohol or drug recovery or treatment facility, or any residential facility providing mental health/social rehabilitation services. The existing siting criteria restrict where medical marijuana dispensaries can be located to a small section of the Harvey West industrial area and another small section in the west side industrial area.
In 2010, the U.S. Attorney General directed Federal drug enforcement agencies to cease enforcement of Federal Narcotic restrictions, including property confiscation, when medical marijuana dispensaries were operating within State and local regulations. The City experienced a surge of applicants requesting permits to operate medical marijuana dispensaries, and as part of the 2010 ordinance revision, the City Council limited the number of dispensaries to two. That limitation also provided a period of time to evaluate the impacts of those uses on the neighborhoods in which they were located. The Santa Cruz Police Department reports that there have been no impacts related to calls-for-service from the existing dispensaries.
How can I keep myself updated on the city's regulations?
The City of Santa Cruz will post updates to the website frequently, so please check back for news, upcoming/past commission meetings, and more. You can also sign up for notifications in the City's eNotification link listed on the right for updates to your email.
Cannabis Documents
eNotification Signup
FORM EMBED