The Public Convenience or Necessity (PCN) Process allows prospective Social Equity Individual Applicants (SEIAs) to request a PCN finding from City Council to apply for a retail storefront commercial cannabis license in a Community Plan Area subject to a finding of Undue Concentration.
Please follow these steps to apply for the PCN process:
- Obtain a Business Tax Registration Certificate (BTRC) number from the Office of Finance (Finance) and submit a Legal Business Entity Record through the DCR Licensing Portal. Please see module 1 of DCR’s Licensing 101 webinar for instructions on obtaining a BTRC and LBER here.
- Submit a Pre-Application Record and pay the Pre-Application Review Fee. DCR will review the Pre-Application Record to ensure the proposed Business Premises location complies with the zoning and distancing requirements in Los Angeles Municipal Code (LAMC) 105.00 and 104.04(b).
- If the Pre-Application is eligible, submit a PCN Request and pay the Cannabis PCN Filing Fee. A PCN Request (LIC-4001-FORM(PDF, 305KB)) must be submitted to DCR through the DCR Licensing Portal. The Applicant also must pay a Public Convenience or Necessity Application Fee within 30 days from the date of invoice issuance.
- DCR shall transmit the PCN request to the City Clerk within 30 days of the Applicant’s payment of the Public Convenience or Necessity Application Fee. DCR will notify the applicant when a Council File number is assigned.
- Seek stakeholder input using LIC-4002-FORM(PDF, 340KB). LAMC Section 104.03(a)(1) requires that a PCN applicant engage with and seek input from certain types of organizations near the proposed Business Premises.
- Await City Council action. If the City Council does not act on the Applicant’s request within 90 days of the City Clerk’s date of receipt, the request shall be denied by operation of law.
Download the workflow here(PDF, 226KB)
Submit Temporary Approval Application and pay the Temporary Approval Fee. If the City Council finds that approval of the application would serve the public convenience or necessity, the Applicant shall pay a Temporary Approval Application Fee pursuant to Section 104.19 within 30 days of the City Council’s action becoming final and submit a Temporary Approval Application thereafter.
To access the forms associated with the Public Convenience or Necessity Process click here.
On November 5th, 2020 the City of Los Angeles Planning and Land Use Management (PLUM) Committee met and discussed DCR's PCN process.
For a PDF of DCR's November 5th 2020 presentation to the PLUM Committee click here.
For the November 5th, 2020 PLUM Committee audio click here.
Notice of “Local Compliance Underway” letters. Recent ordinance amendments separated DCR’s Temporary Approval process from the State’s licensing process. Proof of a State license is no longer a prerequisite for Temporary Approval. Therefore, DCR is no longer providing standalone letters or Notices of Local Compliance Underway. DCR will assign a status of “Local Compliance Underway” to DCR Licensing Portal records in accordance with the Temporary Approval workflow and information and procedure bulletin. Applicants will receive an email when their record status is updated to “Local Compliance Underway” along with information related to the Initial Inspection process. DCR will subsequently report a status of “Local Compliance Underway” directly to the Department of Cannabis Control as part of the State’s provisional licensing process.
Please use this guide to better understand the Annual Licensing process.
Scheduling the Initial Inspection
Applicants should not request an Initial Inspection from DCR.
DCR will send an email to the applicant when the application has fulfilled all submission requirements. The subject of the email will be “Request for Inspection Availability, LA-X-YY-000000-XXX”.
The email requires the applicant to respond to the email within 30 days by providing the following:
- Availability at least three (3) dates between the hours of 10:00 AM and 2:00PM (Monday to Thursday).
- A completed Initial Inspection Attestation Form (LIC-4021-FORM(PDF, 306KB))
A completed Initial Inspection Attestation Form (LIC-4021-FORM)
DCR will respond to the email to confirm the date and time for the Initial Inspection.
Requests to reschedule or cancel an Initial Inspection must be emailed at least 48 hours in advance on the same email chain “Request for Inspection Availability, LA-X-YY-000000-XXX”.
Unless the Initial Inspection is rescheduled or canceled at least 48 hours in advance, failure to appear for the Initial Inspection for any reason will result in a “Failed Inspection.”
Day of the Inspection
DCR reserves the right to require either an in-person or virtual inspection.
On the date of the Initial Inspection, DCR staff will provide a brief introduction and provide an overview on how the Initial Inspection will be conducted.
DCR will then conduct the Initial Inspection, checking for compliance with the items included in the Initial Inspection Attestation Form (LIC-4021-FORM) and a Sample Inspection Checklist.
At the conclusion of the Initial Inspection, DCR will conduct a debrief with the applicant to discuss the Initial Inspection results and next steps, if applicable.
The Initial Inspection will result in either a Pass, Pending, or Fail.
- If Passed, the applicant's record will continue moving through the annual licensing process.
- If Pending, DCR has identified minor deficiencies that can be remedied without requiring an additional inspection.
- If Failed, the deficiencies from the Initial Inspection will be documented and uploaded to the applicant’s record in Accela. Applicants who receive a “Failed Inspection” status must schedule another inspection and will be charged an additional Standard Inspection Fee [LAMC 104.19(h)].
Additional Inspections
Prior to conducting any additional Initial Inspections, DCR will issue an invoice to cover the cost of the additional inspection. The invoice will be located in the “Documents” section on the DCR Licensing Portal. This fee, and any other outstanding fees, must be paid on or before the “Void if Not Paid on or by” date listed on invoice. Failure to timely submit payment may result in the abandonment of the record.
After the required additional Initial Inspection fee is paid, DCR will reach out to the applicant in accordance with the “Scheduling the Initial Inspection” section above.
Virtual Inspections
DCR reserves the right to determine if the Initial Inspection will be conducted in-person or virtually.
If the Initial Inspection is conducted virtually, the applicant is required to meet the following technology requirements
- Access to a mobile device (Smartphone, tablet, etc.)
- Access to WiFi or a strong 4G/5G signal throughout the entire business premises.
- The ability to download and use the Google Meet application on the mobile device throughout the entire inspection.
- Click here for a link to the Google Meet app on the Apple Store.
- Click here for a link to the Google Meet app on Google Play.
- The ability to access the security system to perform video playback.
- Applicants who are having difficulties or are unable to meet all of these technology requirements can email dcrlicensing@lacity.org with the subject line “Virtual Initial Inspection Technical Support.”
Obtain Your Operating Permit
An Operating Permit is obtained after a location has passed their final inspection. Reference the Compliance page for more information on how to prepare for your final inspection, including the required documents needed.