Sacramento, California – A fresh infusion of state funding is set to strengthen Sacramento’s ongoing effort to build a more inclusive cannabis industry, as city officials confirm the arrival of a $2.5 million grant aimed at expanding equity-focused programs.
The funding, awarded through California’s Cannabis Equity Grants Program for Local Jurisdictions and administered by the Governor’s Office of Business and Economic Development, places Sacramento among the top recipients statewide. Out of a $15 million pool distributed this year, the city secured the second-largest share, surpassed only by Los Angeles.
For Sacramento, this is not unfamiliar territory. The city has previously received similar support, using those resources to lay the groundwork for its Cannabis Opportunity Reinvestment and Equity program, commonly known as CORE. That initiative, launched in 2018, was designed with a clear purpose: to lower the barriers that have historically kept certain communities out of the legal cannabis market.
With the new grant in place, city leaders are preparing to deepen that work. The funding will be directed toward providing hands-on support for individuals enrolled in the CORE program, many of whom are working to establish or stabilize their businesses in an industry that remains complex and heavily regulated.
Al Romero-Gibu, who oversees Sacramento’s Office of Cannabis Management, emphasized that the additional resources will broaden the range of services available. Participants will be able to access technical guidance in areas that often pose significant challenges for new entrepreneurs. This includes navigating legal and regulatory requirements, managing accounting and tax obligations, and addressing practical needs such as construction planning, security measures, branding, and workforce management.
The goal, city officials say, is not simply to help businesses launch, but to give them a realistic chance to endure. By offering structured support across multiple facets of business development, the program aims to turn early-stage ventures into sustainable operations.
Sacramento’s inclusion among 14 jurisdictions selected for this round of funding highlights a broader statewide push to address the lingering impacts of past cannabis enforcement policies. The CORE program specifically targets individuals who were disproportionately affected by those policies, offering them a pathway into an industry that has since transitioned into a legal and regulated marketplace.
At the same time, the city continues to refine its broader cannabis framework. In 2024, Sacramento’s City Council approved a pilot program allowing for cannabis social consumption, signaling a gradual expansion of how cannabis businesses can operate within city limits. Work is also underway to establish regulations for consumption lounges and to update zoning rules that will shape where and how these businesses can exist.
Together, these efforts reflect a city attempting to balance opportunity with oversight. The new grant, while financial in nature, carries a broader intention—to ensure that the legal cannabis economy grows in a way that includes those who were once excluded from it.
As Sacramento builds on its existing foundation, the additional funding is expected to serve as both a practical tool and a symbolic step forward, reinforcing the city’s commitment to equity within a rapidly evolving industry.