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California may tighten marijuana regulations, and increase the penalties following a state audit

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California’s state auditor report, released August 7, could lead to changes in the cannabis industry, including packaging for products, inspections of businesses, penalties and flavors, even names such as Lemon Cherry Gelato.

California State Auditor Grant Parks’ office released a 53-page document that outlines some key findings. This includes packaging and names of strains which are appealing to children. It also highlights a lack of funds within California’s Department of Cannabis Control, or DCC, to track and identify repeat offenders.

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Parks’ audit focused primarily on DCC’s enforcement of youth advertising and marketing.

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Parks’ letter of 7th August addressed to Gov. Brown stated that “we found the DCC and state regulations on design elements appealing to children to be unspecific. As a result, it is difficult to determine whether cannabis packaging meets compliance.” Gavin Newsom, and the legislative leaders of California’s Senate and Assembly.

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He said: “DCC also does not sufficiently discipline cannabis businesses (licensees), who violate the regulations about attractiveness for children, repeatedly.” Writer. “DCC inspectors don’t have uniform documentation practices and we couldn’t conclude that DCC checks the compliance history of a licensee when evaluating if that licensee sells a cannabis product in packaging that’s attractive to children.”

Parks suggested that lawmakers in the state clarify which design elements are not allowed on cannabis packaging and that DCC enhance its documentation, while specifying sanctions to discourage repeat offenders.

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The state auditor also found that DCC regulations did not prohibit the flavors of cannabis inhalants and the department didn’t regulate strain names that suggested flavors that were appealing to children on packaging. Parks specifically mentioned strains like Cherry Pie and Tropicana, Punch, as well as Lemon Cherry Gelato. top-10 bestseller Californian operators by 2024Some cannabis strain names are likely attractive to children, according to the California State Auditor.According to California State auditor, some cannabis strain names may be attractive to young children.auditor.ca.gov

Parks recommended lawmakers clarify in state laws what flavors are forbidden and that DCC regulates the use of cannabis strains names on product packages that suggests flavors appealing to children.

The state auditor, in urging departmental and legislative action, drew attention to an emerging trend in public safety that has emerged since Californians passed Proposition 64 legalizing adult use cannabis during the November 2016 elections.

In the report, Parks points out that there was a 469% increase in the number of calls to the California Poison Control System related to accidental cannabis ingestion for children 5 years and younger—from 148 calls in 2016 to 842 calls in 2023.

Nicole Elliott, Director of the DCC in a response on July 22, to the draft report by the State Auditor’s Office said that the Department remains dedicated to preventing the exposure of youth to cannabis. She said that these numbers do not tell the full story.

Elliott wrote that “exposure of children” to cannabis was a growing problem. The statistics are not able to differentiate between legal, regulated products like hemp-derived THC edibles or homemade cannabis edibles and unregulated, illicit products.

In less than a year after California launched licensed adult-use marijuana sales in January 2018, federal lawmakers passed the 2018 Farm Bill. This expanded the legalization hemp programs from pilot to full-scale. As a result of vague language in the federal legislation, intoxicating hemp products—notably consumable products—proliferated nationwide, leaving states like California The struggle to regulate the marketplace

Parks, who conducted the audit, said that edible THC-containing products are particularly appealing to teenagers because of their color, shape and taste as well as colourful branding and advertisements of candy or fruity flavors.

California’s cannabis enforcement and regulatory officials, in addition to the hemp market, have been largely unsuccessful at eradicating it: A March 2025 report revealed. Reportage According to the DCC report, California will produce approximately 11.4 millions pounds of cannabis that is not regulated in 2024 compared with 1.4million pounds of cannabis that is regulated.

If the retail price of unregulated cannabis was the same as the value of licensed cannabis, that would mean California produced about $42 billion dollars worth in cannabis during the past year. $4.7 million were purchased legally within the state. $7.8 millions illegally and $29,000,000 shipped out.

Elliott warned against exaggerating the effects of cannabis regulation on exposure among children. “While regulated cannabis has become more widely available, publicly available data still shows that only Half of the population is less than 50% California continues to offer illicit cannabis or cannabis that is not regulated. This other product is almost certain to be a significant contributor. This issue must be addressed by understanding all ways in which children are exposed.

Elliott pointed out, too, that unregulated cannabis products are more likely to be accessed by children than those with child-resistant packaging or age checks at the point of sale.

Parks was still critical of DCC practices. His office found that on 14 cannabis products it reviewed, the packaging featured images of foods or candies. The product reviewed included 24 edibles as well as six beverages, four tinctures and concentrates. One flower was also tested, along with one pre-roll.

Despite DCC's Regulation Prohibiting Cartoons, Packaging on Some Cannabis Products Presented Cartoon Images of FoodThe packaging of some cannabis products featured cartoon images of food, despite the DCC’s prohibition on cartoons.auditor.ca.gov

Parks noted that Oregon uses “best practices” in requiring the Cannabis Commission to examine packaging. Before you begin, please read the following: Oregon limits the names of certain cannabis strains. He proposed that California adopt a similar procedure, which would include prohibiting cartoon and bubble fonts as well as bright colors or neons on the packaging.

California auditor also detailed what it called the subjected decisions by department.

DCC, for example, reviewed three cannabis crispy-rice treat packages similar and found only one attractive to children,” states the report. We believe images of food like cereals, chocolate, fruit, or marshmallows are appealing to children.

Images of food or candy children might like, including images of the product itself, according to the California State Auditor.California State auditor recommends that you include images of products, such as food and candy, which children may enjoy.auditor.ca.gov

Parks found that DCC had taken only “minimal” action against licensees that used packaging the auditors’ office believed was attractive to children. The department also did not track the repeat offenders.

According to the report, “DCC reported that it has only the resources necessary to inspect around half of all state licensees each year. However, in an ideal world they would inspect every licensee.” DCC doesn’t track repeat violations or increase penalties. DCC, for example, did not escalate penalties against a licensee who violated the regulations prohibiting packaging attractive to children on four occasions.

The report states that despite having roughly 8,900 licensees in the state, DCC conducted 3,875 inspections per year since 2022.

The report states that while the DCC has indicated it will work with lawmakers to develop any legislation that may result from the audit report, officials of the department disagree with Parks conclusion that repeat offenders should be subject to a modification in disciplinary measures. Elliott stated that the DCC has a systematic approach to discipline.

DCC’s staff shared ideas with Parks about possible regulations for packaging that could be implemented to:

  • Images of humanized fruits, sweets and confections
  • Any character, be it human or otherwise
  • Animals and Human Images
  • Holographic stickers or packaging

“Addressing ‘attractiveness to children’ can be a complicated issue,” Elliott wrote. “The challenge DCC must overcome in its effort to rein in harmful packaging elements is what is ‘attractive to children’ can be inherently subjective, culturally influenced, and dynamic over time. The effort to curb harmful packaging elements will never be complete as tastes and cultural trends change. The current DCC regulations are designed to allow the Department to make changes to its decisions as trends, associations and branding evolve. “The department is open to suggestions on how it can strengthen this initiative.”



The California State Auditor’s Report released on August 7 may spark changes in cannabis regulations related to packaging of products, inspections at businesses, penalties, flavors and names for strains such as Lemon Cherry Gelato.

California State Auditor Grant Parks’ 53-page report outlines the key findings. These include packaging and strains names that appeal to children and a shortage of resources at California’s Department of Cannabis Control to identify and track repeat offenders.

Advertisment: Cannabis Business Times » Cannabis Business Times Best Cannabis Companies to Work For » CBT Best Companies 2026 ROS Parallax Reveal » bcc-ads-730x570
Advertisment: Cannabis Business Times » Cannabis Business Times Best Cannabis Companies to Work For » CBT Best Companies 2026 ROS Parallax Reveal » bcc-ads-730x570

Parks’ audit focused on DCC’s enforcement of youth advertising laws and regulations.

Advertisment: Cannabis Business Times » Cannabis Business Times Best Cannabis Companies to Work For » CBT Best Companies ROS 300x250 Medium Rectangle » great-place-2026-animation300x250.gif

Parks’ letter of 7 August to Gov. Brown stated that “we found the DCC and state regulations on design elements appealing to children to be unspecific. As a result, it is difficult to determine whether packaging that contains cannabis is in compliance.” Gavin Newsom, and the legislative leaders of California’s Senate and Assembly.

Advertisment: Cannabis Business Times » Cannabis Business Times Best Cannabis Companies to Work For » CBT Best Companies ROS 300x250 Medium Rectangle » great-place-2026-animation300x250.gif

The DCC is not disciplining cannabis business licensees who have repeatedly broken regulations regarding their attractiveness to kids. Writer. “DCC inspectors don’t have uniform documentation practices and we couldn’t conclude that DCC checks the compliance history of a licensee when evaluating if that licensee sells a cannabis product in packaging that’s attractive to children.”

Parks suggested that lawmakers in the state clarify which design elements are not allowed on cannabis packaging and that DCC enhance its documentation, while specifying sanctions to discourage repeat offenders.

Advertisment: Emerald Harvest » Emerald Harvest Order 115 » CBT ROS Leaderboard Ad 728x90 August 2025 » eh-360-web-banner-728x90.

The state auditor also found that DCC regulations did not prohibit the flavors of cannabis inhalants and the department didn’t regulate strain names that suggested flavors that were appealing to children on packaging. Parks specifically called strain names, such as Cherry Pie and Tropicana, Punch, Lemon Cherry Gelato. top-10 bestseller Californian operators by 2024Some cannabis strain names are likely attractive to children, according to the California State Auditor.According to California State auditor, some cannabis strain names may be attractive to young children.auditor.ca.gov

Parks recommended lawmakers clarify in state laws what flavors are forbidden and that DCC regulates the use of cannabis strains names on product packages that suggests flavors appealing to children.

State auditor urged legislative and departmental actions, calling attention to specific trends in public safety that emerged after California voters approved Proposition 64 for adult-use marijuana during November 2016’s election.

In the report, Parks points out that there was a 469% increase in the number of calls to the California Poison Control System related to accidental cannabis ingestion for children 5 years and younger—from 148 calls in 2016 to 842 calls in 2023.

Nicole Elliott stated that DCC remains committed to stopping youths from being exposed to cannabis in her response of July 22 to the auditor draft report. She said that these numbers do not tell the full story.

Elliott wrote that “exposure of children” to cannabis was a growing problem. The statistics are not divided into instances involving products that were legalized and regulated by the government and cases with illegal, unregulated products like hemp-derived THC edibles or homemade cannabis edibles.

After California legalized adult-use cannabis in January 2018, the Federal government passed its 2018 Farm Bill. It expanded hemp’s legalization from pilot programs into full-scale implementation. As a result of vague language in the federal legislation, intoxicating hemp products—notably consumable products—proliferated nationwide, leaving states like California The struggle to regulate the marketplace

Parks, who conducted the audit, said that edible THC-containing products are particularly appealing to teenagers because of their color, shape and taste as well as colourful branding and advertisements of candy or fruity flavors.

California’s cannabis enforcement and regulatory officials, in addition to the hemp market, have been largely unsuccessful at eradicating it: A March 2025 report revealed. Reportage According to the DCC report, California will produce approximately 11.4 millions pounds of cannabis that is not regulated in 2024 compared with 1.4million pounds of cannabis that is regulated.

If unregulated cannabis is valued at the same as licensed cannabis then California produced approximately $42 billion worth of cannabis in 2017. $4.7 billion was purchased in California legally, $7.8 million illegally, and the remaining $29 billion were shipped outside the state.

Elliott cautioned against a sweeping statement about the impact of regulated cannabis on children’s exposure. “While regulated cannabis has become more widely available, publicly available data still shows that only Half of the population is less than 50% Californians have the option to purchase cannabis products that are regulated, but they can still buy cannabis which is illegal or not regulated. This other product is almost certain to be a significant contributor. This issue must be addressed by understanding all ways in which children are exposed.

Elliott pointed out, too, that unregulated cannabis products are more likely to be accessed by children than those with child-resistant packaging or age checks at the point of sale.

Parks was still critical of DCC practices. His office found that on the packaging of 14 cannabis products it reviewed, there were images of foods or candies. This review consisted of 24 edibles as well as six beverages, four tinctures and concentrates. One flower was also reviewed, along with one preroll, one topical, one flower.

Despite DCC's Regulation Prohibiting Cartoons, Packaging on Some Cannabis Products Presented Cartoon Images of FoodThe packaging of some cannabis products featured cartoon images of food, despite the DCC’s prohibition on cartoons.auditor.ca.gov

Parks said that Oregon is “using a good practice” when it requires its Cannabis commission to evaluate packaging. Before you begin, please read the following: Oregon limits the names of certain cannabis strains. He proposed that California adopt a similar procedure, which would include prohibiting cartoon and bubble fonts as well as bright colors or neon ones on the packaging.

California auditor also detailed what they called the subjected decisions by department.

DCC, for example, reviewed three cannabis crispy-rice treat packages similar and found only one attractive to children,” states the report. According to the report, “we believe that children are attracted by images such as marshmallows and cereals. They also like chocolate chips, fruits and other foods.”

Images of food or candy children might like, including images of the product itself, according to the California State Auditor.California State auditor recommends that you include images of products, such as food and candy, which children may enjoy.auditor.ca.gov

Parks found that DCC had taken only “minimal” action against licensees that used packaging the auditors’ office believed was attractive to children. The department also did not track the repeat offenders.

According to the report, “DCC reported that it has only the resources necessary to inspect around half of all state licensees each year. However, in an ideal world they would inspect every licensee.” DCC doesn’t track repeat violations or increase penalties. DCC, for example, did not escalate penalties against a licensee who violated the regulations prohibiting packaging attractive to children on four occasions.

The report states that despite having roughly 8,900 licensees in the state, DCC conducted 3,875 inspections per year since 2022.

The report states that while the DCC has indicated it will work with lawmakers to develop any legislation that may result from the audit report, officials of the department disagree with Parks conclusion that repeat offenders should be subject to a modification in disciplinary measures. Elliott stated that the DCC has a systematic approach to disciplinary actions.

DCC’s staff shared ideas with Parks about possible regulations for packaging that could be implemented to:

  • Pictures of fruit, confectionary, and candy anthropomorphized
  • Any character, be it human or otherwise
  • Animals and Humans: Images
  • Holographic stickers or packaging

“Addressing ‘attractiveness to children’ can be a complicated issue,” Elliott wrote. “The challenge DCC must overcome in its effort to rein in harmful packaging elements is what is ‘attractive to children’ can be inherently subjective, culturally influenced, and dynamic over time. The effort to curb harmful packaging elements will never be complete as tastes and cultural trends change. The current DCC regulations are designed to allow the Department to make changes to its decisions as trends, associations and branding evolve. Department welcomes feedback on the best way to improve this effort.

Cannabis Law Resources in Poland

Discover essential legal information about the cultivation of cannabis, its sale, and regulations governing medical products in Poland. You can use these resources to learn about the requirements for certification, permission, and compliance.

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