How Does the Adult Use of Marijuana Act Affect the City of Davis?

The Adult Use of Marijuana Act (AUMA) became effective on November 9, 2016. The AUMA legalizes personal consumption, personal cultivation and a commercial cannabis industry. The following summarizes some of the key provisions in the AUMA.

Personal Consumption and Cultivation

• Legalizes cannabis use for persons over 21 years of age.
• Allows for persons over 21 to possess, transport, purchase, obtain or give away up to 28.5 grams of non-concentrated or 8 grams of concentrated marijuana.
• Persons over 21 years of age are allowed to cultivate up to six (6) marijuana plants within a private residence, inclusive of within a greenhouse or other structure on the same parcel of the property that is not visible from a public space. A residence includes single-family homes, multi-family apartment units and mobile homes.
• No smoking of marijuana is allowed in public places (except where authorized locally).
• No smoking of marijuana is allowed where smoking tobacco is prohibited.
• Local governments may reasonably regulate but not prohibit personal indoor cultivation.
• Local governments may regulate or prohibit personal outdoor cultivation.

Commercial Cannabis Business Licensing Categories

The AUMA provides for up to 19 different types of state licenses for commercial cannabis. These business license types largely mirror those provided for in the Medical Cannabis Safety and Regulation Act (MCRSA). The MCRSA is specific to medical cannabis and will coexist with the AUMA. A summary of the business license categories is as follows:

• Dispensary/Retailer Licenses – Businesses that engage in the retail sale of cannabis and cannabis products. The dispensary licenses also allows for deliveries in addition to a brick and mortar storefront.
• Manufacturing Licenses – There are two types of manufacturing license types. One manufacturing license uses volatile solvents, while the other license does not. The state will limit the number of licenses that use volatile solvents in the manufacturing process.
• Testing License – Laboratories that test cannabis and cannabis products.
• Cultivation Licenses – Commercial cultivation licenses vary depending on size of grow, and the types of light that are used.
• Distributor License – Dedicated solely to the storage and distribution of products from the cultivators and/or manufacturers to dispensaries.
• Transporter License - Transporters of cannabis and cannabis products between licenses.
• Microbusiness License – Allows for vertical integration, inclusive of cultivation in an area less than 10,000 square feet, nonvolatile manufacturing and dispensing.

The AUMA bars cannabis businesses from being located within 600 feet of schools and other areas where children congregate.

The AUMA and MCRSA provide the opportunity for cities and counties to adopt regulations for the cannabis industry specific to their community.

Current Status of Cannabis Regulations in the City of Davis

The City of Davis is accepting applications for commercial businesses (manufacturing, testing, research, distribution). No cannabis dispensary or cannabis delivery applications are being accepted at this time and no date has been set for reopening the application process.

Cannabis Business Tax Apportionment Information

• City of Davis Administrative Ruling - Cannabis Business Tax Apportionment

Ordinances

• Urgency Ordinance No. 2488 – Marijuana Interim Zoning Moratorium through December 15, 2016.
• Urgency Ordinance No. 2489 – Marijuana Smoking Restrictions.
• Ordinance 2492 - Extension of Marijuana Moratorium through July 4, 2017.
• Ordinance 2497 - Adopted April 18, 2017 for the personal cultivation of cannabis and related definitions.
• Ordinance 2503 - Adopted June 6, 2017 for zoning regulations related to manufacturing, testing, research, and distribution businesses for commercial cannabis.
• Ordinance 2509 - Adopted July 11, 2017 for permitting process and regulatory requirements related to the operation of commercial cannabis businesses.
• Ordinance 2514 - Adopted August 29, 2017 for zoning regulations related to commercial cannabis retailers (retail and delivery services).
• Ordinance 2515 - Adopted August 28, 2017 for permitting process and regulatory requirements for the operation of retail cannabis businesses and cannabis delivery services.
• Ordinance 2531 - Adopted May 29, 2018 for zoning of commercial cannabis retailers.
• Urgency Ordinance 2541 - Adopted November 13, 2018 for zoning regulations to limit the total number of non-storefront, delivery-only cannabis retailers to a maximum of four.
• Ordinance 2547 - Adopted December 18, 2018 for zoning regulations to limit the total number of non-storefront, delivery-only cannabis retailers to a maximum of four.

Resolutions

• Resolution No. 17-093 - Adopted June 20, 2017 setting business license tax rates for cannabis businesses.
• Resolution No. 17-129 - Adopted October 3, 2017 setting regulatory fees for cannabis businesses.
• Resolution No. 17-161 - Adopted December 5, 2017 authorizing the City Manager to enter into agreements with cannabis retailers to address potential impacts on the community caused by those businesses and establishing a community benefit fund.
• Resolution No. 18-089 - Adopted May 29, 2018 authorizing the City Manager to develop and execute cannabis community benefit fund agreements with Davis Joint Unified School District and First 5 Yolo.
• Resolution No. 18-116 - Adopted June 19, 2018 authorizing a Conditional Use Permit for a cannabis business at 1605 Second Street.
• Resolution No. 18-117 - Adopted June 19, 2018 authorizing a Conditional Use Permit for a cannabis business at 946 Olive Drive.
• Resolution No. 18-118 - Adopted June 19, 2018 authorizing a Conditional Use Permit for a cannabis business at 2121 Second Street.
• Resolution No. 18-119 - Adopted June 19, 2018 authorizing a Conditional Use Permit for a cannabis business at 416 F Street.
• Resolution No. 18-120 - Adopted June 19, 2018 authorizing a Conditional Use Permit for a cannabis business at 965 Olive Drive.
• Resolution No. 18-121 - Adopted June 19, 2018 denying cannabis retail Conditional Use Permits at certain locations.
• Resolution No. 18-217 - Adopted December 18, 2018 authorizing a Revised Conditional Use Permit for a cannabis business at 2121 Second Street to allow delivery services.
• Resolution No. 19-177 - Adopted December 17, 2019 authorizing a contract for services to provide audits and compliance reviews of cannabis businesses.
• Resolution No. 20-016 - Adopted February 11, 2020 establishing revised regulatory fees for cannabis businesses.
• Resolution No. 23-075 - Adopted June 27, 2023 authorizing a contract for services to provide audits and compliance reviews of cannabis businesses.
• Resolution No. 24-xxx - Adopted February 20, 2024 renewing the cannabis community benefit fund memorandum of understanding with Davis Joint Unified School District and First 5 Yolo.

Additional Information & Resources

• City Council Staff Report for Marijuana Considerations November 1, 2016: Marijuana Update 12/06/16
• City Council Staff Report for Marijuana Business Moratorium Extension December 6, 2016: Marijuana Update 12/06/2016
• The Adult Use of Marijuana Act Text Proposition 64
• League of California Cities Medical Marijuana Information Page
• League of California Cities Adult Use of Marijuana Information Page
• California Bureau of Medical Cannabis Regulation

For further questions or inquiries related to City of Davis cannabis regulations, please contact the Planning Department at 530-757-5610.

For questions or concerns related to code enforcement or violations, please contact the Police Department at 530-747-5400.