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AB 195 Fact Sheet

On June 29, the Legislature approved, with nearly unanimous bi-partisan support, AB 195 (Budget
Committee), the budget trailer bill on cannabis. The governor signed the measure on June 30,
allowing it to take effect on July 1.

AB 195 includes relief measures aimed at reducing tax burdens on legal cannabis operators,
streamlining and simplifying tax collection, bolstering enforcement, providing tax credits and other
incentives to high-road cannabis retailers and social equity applicants and operators, while
protecting funding for youth programs, childcare, environmental protection and local law
enforcement. Below is a detailed summary of the legislation.

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