On Thursday, the Governor of California’s Office of Business and Economic Development granted the city of San Diego more than $880,000 to promote equity in the local cannabis industry. The grant will support local residents entering the legal cannabis market by covering permit, license, and start-up costs.
San Diego is among the sixteen California cities to receive a combined total of $15 million in grants.The State of California generated funds through tax revenue from recreational cannabis sales, with the goal of advancing economic and social justice for communities and populations adversely affected by cannabis prohibition.
Promoting Equity in the Cannabis Industry
Kim Desmond, the City’s Chief of Race and Equity, stated that historical enforcement of drug laws created disparities in business ownership, wage earnings, and mass incarceration for African American/Black, Latino, and Native American/Indigenous communities. Similarly, the legal cannabis market has seen disparities, with underrepresentation of these communities. Addressing institutional racism and systemic inequity is vital to reducing these disparities.
The city named the grant “GO-Biz” funds. These funds will be locally disbursed to launch San Diego’s Cannabis Equity Program, which aims to provide a fair opportunity for local residents, particularly those from communities most impacted by the War on Drugs, to enter the legal cannabis market.
Dispersing the Funds
The grant will cover the costs associated with entering the legal cannabis market, including permit and license fees, and start-up property costs. The Cannabis Equity Program aims to ensure local residents have a fair opportunity to enter the legal cannabis market, particularly those from communities disproportionately affected by cannabis prohibition.
The city will disburse the funds locally. Lara Gates, Deputy Director of San Diego’s Cannabis Business Division, stated, “These dollars will provide a solid foundation for our initial cannabis equity applicants to gain a strong foothold in the legal cannabis market. Receiving this critical funding is vital to jump-starting our Cannabis Equity Program.”
In Conclusion
The grant from the Governor of California’s Office of Business and Economic Development is a significant step forward in promoting equity in the local cannabis industry. By acknowledging institutional racism and systemic inequity, the GO-Biz funds will help local residents enter the legal cannabis market and promote economic justice for communities harmed by cannabis prohibition.
