Accessibility mode is enabled

Skip to Top / Tab to View Menu Options
Skip to Left Navigation / Tab to View Content


On April 4, 2017, the Sacramento City Council approved Ordinance 2017-0031 setting the regulations for nonvolatile cannabis manufacturers in Sacramento and began applications on May 4th.  On February 25, 2020, the City Council amended the Ordinance to also allow volatile manufacturing

Permits for cannabis manufacturing will be issued on a case by case basis in the following zones:

  • General Commercial (C2)
  • Heavy Commercial (C4)
  • Light Industrial (M-1, M-1S)
  • Heavy Industrial (M-2, M-2S)
  • Manufacturing Industrial Park (MIP)
  • Manufacturing Research Development (MRD)

View these maps to see where these zones are located in the city.  To check if your property is within these zones, enter the address in the Zoning & Property Details.

Per State law, cannabis businesses require a 600-ft radius buffer zone from schools. The Sacramento City Code requires a 600-ft buffer from neighborhood and community parks (does not apply to small manufacturers). Applications with proposed sites that are within the 600-ft of neighborhood and community parks will be reviewed by the Planning and Design Commission.

In order to operate a manufacturing business in Sacramento, you need both a Conditional Use Permit (CUP) from the Planning Division; and a Business Operating Permit (BOP) from the Office of Cannabis Management.  A CUP, or proof of application for a CUP, is required for applying for a BOP.


Nonvolatile manufacturing includes the use ethanol and C02 in the extraction and extraction process.  The use of volatile solvents, defined in the State Health and Safety Code as "volatile organic compounds, including: (1) explosive gases, such as Butane, Propane, Xylene, Styrene, Gasoline, Kerosene, 02 or H2; and (2) dangerous poisons, toxins, or carcinogens, such as Methanol, Isopropyl Alcohol, Methylene Chloride, Acetone, Benzene, Toluene, and Trichloroethylene” requires a Volatile Manufacturing permit.

Volatile Manufacturing

New applicants who currently do not hold a Cannabis Production Conditional Use Permit (CUP) must first submit a CUP application to the Planning Division. After receiving a CUP file number (Z# or P#), the applicant can then submit an application for a BOP to the OCM. Existing manufacturers who wish to add or convert their manufacturing operations to a volatile system must apply for a minor modification to their CUP.

They also need to submit for a BOP modification to add or convert into a volatile manufacturing system. The BOP modification fee is $1000. Volatile manufacturing will not be treated as a separate or additional BOP, but additional documents may be required, including a modified extraction plan specifying the types of equipment and solvents to be used in the process.  


On November 28, 2017, the City Council approved Tiered Manufacturing.  Under the tiered manufacturing permit structure, applicants may apply for permits for:

1) Specific type of manufacturing activity (Type N for production and infusion) and Type P (for packaging and labeling)

  • Type 1 - All aspects of manufacturing 
  • Type N  - Infusion, production of edibles (may also perform Type P activities)
  • Type P - Packaging and Labeling

2) According to their gross receipts. 

  • Class A - Up to  $100,000 
  • Class B - Up to $1,000,000
  • Class C - Up to $3,000,000
  • Class D - Over $3,000,000

Please see application for specific requirements and for more information.


Two or more manufacturing businesses may use the same manufacturing premises under the State's Shared Use Manufacturing regulations. Please see application for specific requirements pertaining to shared manufacturing


Step 1: Apply for a Conditional Use Permit

Download the Conditional Use Permit Application. A Neighborhood Responsibility Plan (NRP) Agreement is required for all Nonvolatile Cannabis Manufacturing applications, except for small manufacturers (<$100,000 in gross receipts).

Applications must be submitted in person at the Planning Division, 300 Richards Blvd. 3rd Floor, Sacramento, CA 95811 between the hours of 9 am and 3 p.m., Monday through Friday.  (The office is open until 4 p.m, but applications are not accepted after 3 p.m.)

Step 2: Apply for a Business Operating Permit

Once you have submitted a complete application for a Conditional Use Permit, you will receive an application file number (the file number starts with a Z or a P). Once you have this number, you can submit an application for a Business Operating Permit.

You can apply for a Business Operating Permit online or download the Business Operating Permit Application and submit it in person at the Revenue Division, 915 I Street Rm 1201, Sacramento, CA 95814. If you are using the portal for the first time, please read this easy-to-follow Citizen Portal User GuideTo pay for your application, please schedule an appointment here.

Step 3:  Apply for Building Permits and Obtain Certificate of Occupancy

Step 3 may take place after obtaining a CUP and before applying for a BOP.  Download the Cannabis Related Occupancies - Commercial Building Permit Application Submittal Requirements for more information.

Please note that applicants (owners, managers and individuals with 20% interest in the business) are required to go through a background check and get a Live Scan fingerprint in person at the Revenue Division.


If the City has determined that the project is exempt from CEQA review, applicants can obtain from their planner a completed Notice of Exemption (NOE).  The NOE must be filed with these agencies: 1)  Sacramento County Clerk,  and 2) the State Office of Planning and Research (OPR).    The 2019 fee for the County Clerk filing is $40.00.  There is no fee for filing with OPR.  The applicant must file the notice of exemption in order to obtain a date-stamped copy of the NOE required to apply for a State license.


Please make sure to also check any potential County requirements such as:

Any engines utilized to meet power needs, including those used only on an emergency basis, must be registered or permitted with the SMAQMD (916-874-4800) and must comply with the Airborne Toxic Control Measures promulgated by the California Air Resources Board and codified in the California Code of Regulations (Airborne Toxic Control Measures).

Pursuant to SMAQMD Rules, any manufacturing process that utilizes odor control technology requires an authority to construct and a permit to operate from the SMAQMD (916-874-4800).


Existing State statute requires any business in Sacramento County that handles or generates certain quantities of hazardous waste to register with and obtain a permit from the Sacramento County Environmental Department. More information can be found at:


Certain cannabis related processes and equipment may require a permit from the Sacramento Metropolitan Air Quality Management District.  These may include stationary and portable generators, cannabis extraction and equipment/surface cleaning processes, boilers, and air pollution control devices for used for cannabis grinding, milling and cutting.  For more information on the District's regulatory and permitting process, please contract the district directly for more information.