Provisions in Proposition 64 of 2016, which legalized adult-use of cannabis, set aside specified tax revenue from legal cannabis sales for local government grants to be distributed through a competitive process by the Board of State and Community Corrections (BSCC).  

At its recent meeting, the BSCC approved the Request for Proposal (RFP), which provides extensive details on the purpose of the grant as well as a timeline for the application process.  A few details to note:

  • Agencies eligible to apply for grants are counties and cities that have not banned either the retail sale of cannabis or cannabis products or banned cultivation – including most outdoor personal and commercial cultivation.
  •  $25 million is available over three years to communities that meet the strict eligibility requirements outlined in the RFP.
  • The statutorily established purpose of the grants is to help local governments “assist with law enforcement, fire protection, or other local programs addressing public health and safety” that are impacted by cannabis sales and cultivation. Additionally, the Governor stipulated in the 2019-20 State Budget that youth intervention be included in allowable activities; projects addressing public health, public safety, and environmental impacts also are eligible for funding.
  •  Applicant entities will compete against jurisdictions of similar size. Single applicants can seek up to $1 million, while collaborative applications are eligible for up to $2 million. 

Proposals are due to the BSCC on April 3, 2020.  Funding begins July 1, 2020 and ends June 30, 2023.  The BSCC will collect information from the field to help guide subsequent funding decisions for this ongoing revenue source.

For more details on the grant program, including BSCC staff contact information for this program can be accessed here.