LOS ANGELES—Southern California Coalition (SCC), the largest, most inclusive cannabis industry trade organization in Southern California, issued the following commentary and proposed solutions to Los Angeles City Council regarding the City of Los Angeles’s social equity program and its implementation under Proposition M, the world’s most comprehensive legalization regulatory framework.

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Southern California Coalition’s Proposition M’s Social Equity Program Commentary and Proposed Solutions:

From day one, Southern California Coalition and its partners have advocated to create a Social Equity Program in the City of Los Angeles as mandated under Proposition M, which passed last March with more than 80 percent of Angelenos’ support. Southern California Coalition has been diligently working with the City of Los Angeles, City Councilmembers, and others to drive forward the implementation of the world’s most comprehensive legalization regulations. Its work has been to legitimize and ensure responsible and inclusive licensing, taxation, and regulatory and enforcement processes for not only the cannabis industry’s entire supply chain—dispensaries, manufacturing, lab testing, delivery, distribution, cultivation—but also for those most impacted by the failed war on drugs. This holistic approach is something that has been sorely lacking in the City of Los Angeles and is material to Proposition M’s full implementation.

Southern California Coalition believes the City Council of Los Angeles must continue to work with the Office of Mayor Garcetti, its city departments, the Office of the City Attorney, and the cannabis industry as its partners in order to inclusively and responsibly create more equal opportunities in the city. This will not only be to ensure a healthy legitimate cannabis industry, but is for the betterment of the city, our communities, and Los Angeles City Councilmembers’ constituents, many of whom have been negatively impacted by our country’s racially biased and outdated cannabis prohibition laws.

The purpose of Los Angeles’ Social Equity Program is to ensure the persons and communities, who have been and are disproportionately impacted by cannabis  enforcement, can participate in and benefit from California’s state-legal cannabis industry and to ensure that persons of all genders, races, and socio-economic statuses are able engage in cannabis-industry opportunities in the City of Los Angeles.

Moreover, the cannabis industry is finally in a position to take meaningful, proactive anti-discrimination measures at a time when the legally permissible reach of affirmative action continues to dwindle in response to Supreme Court cases, such as applying “reverse affirmative action” principles to strike down programs intended to integrate schools or support minorities over non-minorities, for example.

In recent years, Maryland and other states have attempted to address racial inequality in the cannabis industry with local measures only to see their efforts severely restricted by controversy and legal limitations. The City of Oakland was the first locality in California and nationally to introduce a program aimed at repairing the disproportionate harms of cannabis law enforcement on low-income communities of color. The Oakland program has already undergone substantial revision to correct potentially unlawful provisions, but remains subject to likely legal challenge in its current form.

In Southern California Coalition’s opinion, Los Angeles’ Social Equity Program has the strongest likelihood of success if it is both race-neutral on its face and in application, and works towards increasing responsible inclusiveness and access to the cannabis industry, rather than restricting access to only minority applicants.

After thorough review of programs such as the above, Southern California Coalition recommends the City of Los Angeles implement a multifaceted program to be funded by city revenues and cannabis industry contributions that offer cannabis business financial incentives, business assistance and professional development resources for communities most impacted by cannabis prohibition, and encourages Los Angeles cannabis businesses and Southern California Coalition partners to adopt responsible and inclusive business practices to help further benefit these disadvantaged communities in Los Angeles.

To learn more and/or read Southern California Coalition’s full recommendation please click here.