Posted on 08/14/2020

On July 10, 2020, Ordinance No. 186703 became effective, which contains amendments to Article 4, Chapter X of the Los Angeles Municipal Code (“LAMC” or “Code”). Among other items, the ordinance authorizes the Department of Cannabis Regulation (“DCR” or “the Department”) to process the next 100 Applicants from the Phase 3 Retail Round 1 (“P3RR1”) list pursuant to LAMC Section 104.06.1(b)(7). This section also authorizes DCR to conduct a review of Applicants previously deemed ineligible for further processing in P3RR1 due to either: (1) a Community Plan Area having reached Undue Concentration on or after September 3, 2019 (Boyle Heights, Hollywood, North Hollywood - Valley Village, and West Los Angeles); or (2) a sensitive use created by another P3RR1 application. 

DCR has identified 15 Applicants to be reviewed in accordance with LAMC Section 104.06.1(b)(7). A copy of the P3RR1 list, which identifies these 15 Applicants, is available on the Department's website. Once this review is complete, DCR will review additional Applicants on the P3RR1 list in consecutive order beginning with record number LA-C-19-XXXXXX-RAPP in order to identify a total of 100 additional applicants eligible for further processing. 

Please note, the Code does not authorize DCR to review or otherwise process any Applicants that were deemed ineligible for further processing for any other reason than those listed in Section 104.06.1(b)(7). For example, except for a sensitive use created by another P3RR1 Applicant, Applicants will not be reviewed if the proposed Business Premises is within 700 feet of any other type of sensitive use, or if the authorization of Commercial Cannabis Activity(ies) would otherwise violate LAMC Section 105.02(a)(1). 

DCR will notify all Applicants who submitted applications between September 3, 2019, and September 17, 2019, when the next 100 Applicants have been deemed eligible for further processing and the P3RR1 application process concludes pursuant to LAMC Section 104.06.1(b)(7). 

No further action is required at this time. 

Important Information Regarding Applicant’s Business Premises Location:

An Applicant who is determined eligible for further processing by DCR and whose Business Premises location is within 700 feet of an earlier filed, eligible P3RR1 application will be notified and allowed to submit a request to relocate in compliance with LAMC Section 104.03(e)(1). 

Important Information Regarding Accela Record Status:

Currently, a “Rejected - Ineligible” status on an Applicant’s Accela record indicates whether or not the P3RR1 Applicant was determined eligible for further processing as of January 1, 2020. DCR will update an Applicant’s Accela record status only if, after conducting its review pursuant to LAMC Section 104.06.1(b)(7), DCR determines that the Applicant is eligible for further processing. 

Kind regards,