San Diego’s New Cannabis Equity Program Criticized by Advocates
- Protesters gathered outside of Mayor Todd Gloria’s annual state of the city address in San Diego, advocating for better equity in the cannabis industry. The city had recently launched the grant-funded Social Equity and Economic Development (SEED) program aimed at providing opportunities for those criminalized for cannabis to enter the now-legal industry. However, the city plans to issue only 18 equity licenses, half of the initially recommended 36.
- The demonstrators were advocating for a merit-based system and a community reinvestment plan, in which SEED participants would reinvest a portion of their profits into their communities and hire locally. They were concerned that the current lottery system could lead to existing operators planting their own candidates, skewing the fairness of the process.
- Eligibility for the SEED program includes having a past conviction or arrest for a cannabis crime and meeting at least two additional criteria, such as being a current or former resident of specified areas of San Diego or having a household income below 80% of the area median income. The city plans to present the program to the planning commission in the upcoming month, and to the full city council in the spring.
Advocates Protest Mayor’s Cannabis Equity Plan at Annual Address
A quiet protest occurred at Mayor Todd Gloria’s annual state of the city address on Wednesday outside Balboa Theatre. Amidst other louder demonstrations, cannabis equity advocates carried signs advocating for fair cannabis regulation and protested against the city’s new Social Equity and Economic Development (SEED) program.
San Diego’s SEED program aims to provide opportunities for those criminalized for cannabis, particularly black and brown communities, to enter the legal industry. The city initially planned to issue 36 cannabis equity licenses, but recently halved this number to 18, sparking criticism among cannabis equity advocates.
SEED Program’s Eligibility Criteria
Eligibility for the SEED program requires an applicant to have a past cannabis-related conviction or arrest and meet two of the following criteria:
- Five years of residency in specific San Diego communities between 1980 and 2016.
- Household income below 80% of the area median income in the preceding or current year of application.
- Loss of housing in San Diego through eviction, foreclosure, or subsidy cancellation after 1994.
- Five years of school attendance in San Diego County between 1971 and 2016.
- Experience in the foster care system between 1971 and 2016.
Critics Raise Concerns Over Program
Armand King, a cannabis equity organizer and member of Gloria’s Black Advisory Group, expressed concern that the mayor was surrendering to pressure from current operators seeking to monopolize the industry. King contested the lottery license distribution system, stating it opens the program to unfair play as current operators could plant their own candidates.
Despite hopes for a community reinvestment plan, the city’s announcement did not mention such a plan. The city responded to complaints by stating it had met with King and that tripling the number of licenses was not a desirable option. King refuted this, saying they were only asking for what was initially recommended – 36 licenses.
Next month, city staff will present the program to the planning commission and to the full city council in the spring.
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