CDA Co-Sponsors Bill to Fix Distributor Transfers for Cannabis Industry

Thanks to our working relationship with the Bureau of Cannabis Control and policymakers in State Legislature, CDA learned that existing law would prohibit the movement of compliance tested cannabis goods between more than one distribution facility prior to being delivered to a retailer.

In order to ensure distributors can transfer tested cannabis goods to multiple distribution facilities throughout the state to meet market demands, CDA is co-sponsoring SB 311 by Senator Pan (D-Sacramento) to authorize distributor-to-distributor transfers after the point of testing.

The cannabis supply chain depends on multiple points of distribution to efficiently bring products to market. Licensed operators are conducting these transfers today, however many are unaware of a section in the Business & Professions Code that prohibits distributor-to-distributor transfers after the point of testing.

CDA has built a coalition of stakeholders, including co-sponsors the California Growers Association, the California Cannabis Industry Association and supporters including the Teamsters Public Affairs Council and several licensed industry stakeholders. CDA’s advocacy team has been working behind the scenes over the past several weeks to garner support for the policy and we expect SB 311 to be heard in the Assembly Business & Professions Committee next week.

This is CDA’s top legislative priority and will work to get this bill on the Governor’s desk in the next 45 days.  If you support CDA’s efforts to protect the diversity of licensed distribution businesses, support the regulated market, and ensure tested products can be transferred between distributors, please join our ranks by helping us pass SB 311 (Pan).