NEWS & RESOURCES

“This is a full-blown warning sign, not a seasonal low. Operators are saying they can’t compete with high taxes. The situation is dire. Retailers are dropping prices in order to compete,” said Amy O’Gorman Jenkins re: cannabis tax revenue.

Thanks to consistent advocacy by CaCOA and our members, the DCC has taken a thoughtful and practical step to ensure cannabis infused product sales remain compliant and manageable for retailers across the state.

As California grapples with budget pressures and the need for tax revenue, the cannabis industry's message is clear: sustainable revenue requires a sustainable industry, and that means policies that allow legal operators to compete effectively against their illicit counterparts.

“Raising taxes on a struggling industry—especially one already undercut by untaxed, unregulated operators—defies economic sense and contradicts Proposition 64’s core intent,” CaCOA argues.

Governor Newsom’s revised 2025–26 state budget proposes a comprehensive strategy to combat California’s persistent illicit cannabis market. This strategy is operationalized through two complementary trailer bills: (1) expanded enforcement authority for the Department of Cannabis Control (DCC), and (2) amendments to Proposition 64 to reallocate enforcement funding.

SACRAMENTO, Calif. – The California Cannabis Operators Association is excited to announce the addition of two new members to its Board of...