A New Era

Among America’s eight states that allow recreational cannabis sales, California is by far the most important market. California’s entire economy overtook France and Brazil in 2016, and it has continued to progress—the state is on its way to becoming the fifth largest economy in the world, according to The Sacramento Bee. The state’s bustling cannabis economy is equally important. But with a state as large as California, unique problems arise in terms of local and state regulation.

“One thing that made cannabis business so great is that it’s been an industry that allowed a lot of smaller businesses to flourish and thrive throughout the state. By not limiting acreage caps, it’s enabling larger corporations to come in and really take advantage of the market . . . ”

Bryce Berryessa is a founding board member of the California Cannabis Manufacturers Association, as well as a committee member of the California Growers Association and the California Cannabis Industry Association. The unregulated era of recreational cannabis in California is coming to an end, and according to Berryessa, California’s large cannabis supply is one of the biggest problems. “I think it’s unfortunate that the California Department of [Food and] Agriculture did a study trying to understand how much cannabis is cultivated in the state, and they ruled that 12.5 billion tons of cannabis was cultivated last year,” Berryessa told CULTURE. “But about two and a half million tons actually stayed in the state, so we already have a phenomenal overproduction issue and the majority of the cannabis in the state, by far, is being exported illegally and diverted into the black market.”

California voters passed Proposition 64 last year with 57 percent of votes in favor of the bill. Since then, lawmakers have been racing to fill in gaps in the regulations, with mixed results.

California’s Bureau of Cannabis Control released its proposed emergency regulations on cannabis on November 16, which caused a stir in the industry. The rules tossed out a one-acre cap on cultivation licenses, which would have limited how much cannabis a person could grow until 2023. It didn’t take long for members of the California Growers Association to notice the omission.

“One thing that made cannabis business so great is that it’s been an industry that allowed a lot of smaller businesses to flourish and thrive throughout the state,” Berryessa noted. “By not limiting acreage caps, it’s enabling larger corporations to come in and really take advantage of the market and force a lot of the mom and pop producers that have been so political to their local economies to go out of business, because they’re just not going to be able to do it.” Berryessa said he’s in favor of the one-acre cap that was recently omitted, calling the decision short-sighted.

Berryessa founded The Cookie Co. 831, in Santa Cruz County, which is ahead other California counties in terms of retail regulations. The Santa Cruz County Board of Supervisors recently omitted the word “medical” from its ordinance, allowing its medical cannabis dispensaries to also sell recreational cannabis. Manufacturers and cultivators, however, will not be given the same opportunity. Berryessa also co-founded brands Hashman Infused and Waxman Concentrates in addition to other cannabis companies.

A majority of cities and counties in California will not be ready for recreational cannabis sales by January 1, but regulations are not completely solidified in some of the state’s largest cities, including the Los Angeles market. As of late November, San Francisco could be ready for recreational sales by January 5, pending an approval from the mayor.