The communication below was sent to all Applicants and Licensees through DCR's Licensing Portal (Accela). 

+++

The Department of Cannabis Regulation (DCR) is making certain changes to its licensing processes as described below. 

Notice of “Local Compliance Underway” letters. Recent ordinance amendments separated DCR’s Temporary Approval process from the State’s licensing process. Proof of a State license is no longer a prerequisite for Temporary Approval. Therefore, DCR is no longer providing standalone letters or Notices of Local Compliance Underway. DCR will assign a status of “Local Compliance Underway” to DCR Licensing Portal records in accordance with the Temporary Approval workflow and information and procedure bulletin. Applicants will receive an email when their record status is updated to “Local Compliance Underway” along with information related to the Initial Inspection process. DCR will subsequently report a status of “Local Compliance Underway” directly to the Department of Cannabis Control as part of the State’s provisional licensing process.

Application and license modification requests.  

Beginning September 1, 2021 applicants will no longer be required to register an intent to submit a modification request prior to the submission of the request. Modification requests will continue to be accepted exclusively through the DCR Licensing Portal. Upon submission of the modification request, the Applicant or Licensee shall submit all additional documents and information deemed necessary to process the request through the DCR Licensing Portal and pay any additional modification fees pursuant to Section 104.19. Modification requests shall not be deemed filed or processed until all required documents, information, and fees have been submitted.

Beginning September 1, 2021, only Licensees may request certain modifications. Please see table below for guidance concerning which modifications may be submitted at which stage in the licensing process. 

On October 1, 2021, if an applicant is seeking a modification that cannot be effectuated through a modification request, an applicant may submit a new Pre-Application. Modification requests submitted prior to September 1, 2021 may be considered regardless of application or license status. 

Below is an explanation of common modification requests. 

Legal Name Change: The name of the Applicant or the Licensee changes, but the Social Security Number (SSN), the Entity Identification Number (EIN), and/or the California Secretary of State Entity Number remains the same. If the Social Security Number (SSN), the Entity Identification Number (EIN), or the California Secretary of State Entity Number associated with the Person applying for a License or issued a License changes, then it is considered an entity substitution.

Entity Substitution: The licensed entity is substituted for a new entity. If the Social Security Number (SSN), the Entity Identification Number (EIN), or the California Secretary of State Entity Number associated with the Person applying for a License or issued a License changes, it is considered an entity substitution. Conversions, mergers, acquisitions and divestitures that change the SSN, EIN, the California Secretary of State Entity Number are considered entity substitutions. An entity substitution is considered an one-hundred percent change in ownership since the new Applicant and/or Licensee is not the original Applicant and/or Licensee.

Remove/add owners: Existing owners are added or removed. At least one owner with an ownership interest must remain on the License for the business to continue operations while DCR reviews the eligibility of the new Owner(s) pursuant to LAMC section 104.03(a)(1) and (2). If all Owners will be transferring their ownership interest, the Applicant or Licensee shall resubmit all application documents and pay all required application fees. The business shall not operate under the new ownership structure until a new License has been issued by DCR.

The following is a table showing which modifications can be made at which stage in the licensing process.