Bureau of Cannabis Control Emergency Regulations CODE OF REGULATIONS TITLE 16 DIVISION
§ 5019. Excessive Concentration
(a) In determining whether to grant, deny, or renew a license for a retail license or microbusiness
license, the Bureau shall consider if an excessive concentration exists in the area where the
licensee will operate. For the purposes of this section “excessive concentration” applies when
either of the following conditions exist:
(1) The ratio of licensees to population within the census tract or census division in which the
applicant premises is located exceeds the ratio of licensees to population in the county in which
the applicant premises is located, unless denial of the application would unduly limit the
development of the legal market so as to perpetuate the illegal market for cannabis or cannabis
(2) The ratio of retail licenses or microbusiness licenses to the population within the census tract,
census division, or jurisdiction exceeds that allowable by local ordinance adopted under section
(b) “Population Within the Census Tract or Census Division” as used in this section means the
population as determined by the most recent United States decennial or special census. Such
population determination shall not operate to prevent an applicant from establishing that an
increase of resident population has occurred within the census tract or census division.
(c) “Population in the County” as used in this section shall be determined by the most recent
annual population estimate for California counties published by the Demographic Research Unit,
State Department of Finance.
(d) Beginning July 1, 2018, the Bureau shall calculate the ratios described in subsection (a) of
this section once every six months using the most current available data. The Bureau’s
consideration of whether to grant, deny, or renew a license shall be based upon the most recent
ratio calculated by the Bureau on the date of the Bureau’s decision.
(e) The existence of an excessive concentration shall not be considered in determining whether to
grant, deny, or extend a temporary license under Business and Professions Code section 26050.1.
(f) The applicant may provide reliable evidence establishing, to the satisfaction of the Bureau,
that a denial of a license would unduly limit the development of the legal market so as to
perpetuate the illegal market for cannabis and cannabis products.
Authority: Section 26013, Business and Professions Code. Reference: Section 26051, Business
and Professions Code