The Microbusiness Permit checklist (Cannabis Business Operating Permit, NEW Application Step-by-Step Checklist) is the City of Sacramento Finance Department's guide to applying for a business operating permit (BOP) for a cannabis microbusiness. If you searched for a Sacramento business license, note that this checklist covers only the cannabis microbusiness BOP and the approvals that lead up to it. On this page you can fill out the form online on FillingPDF and download or print the completed PDF; the checklist and the application itself are published by the City of Sacramento.
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What is Microbusiness Permit – Sacramento, CA?
The Microbusiness Permit checklist, titled Cannabis Business Operating Permit NEW Application Step-by-Step Checklist, is the City of Sacramento guide that lists, in order, the approvals and documents needed to submit a new application for a cannabis microbusiness business operating permit (BOP).
The checklist defines a microbusiness as a vertically integrated cannabis business in which at least three of four activities take place in one facility: cultivation with up to 10,000 sq.ft. of canopy, non-volatile manufacturing, retail (storefront, if granted a permit opportunity, and delivery-only dispensary), and distribution. The City allows microbusinesses in specific zones, subject to the Sacramento City Code (SCC) under Title 5 and Title 17.
It has eight numbered steps, each with a line to check off: find a location, apply for a Conditional Use Permit (CUP) with the Planning Division, apply for building permits, apply for the BOP with the Office of Cannabis Management (OCM), pay the BOP application fee, complete the OCM walk-through, apply for the Business Operating Tax with the Revenue Division, and obtain a State license from the Department of Cannabis Control. A closing section lists non-City requirements.
The checklist says it is not an exhaustive list and does not replace compliance with all applicable requirements. The City publishes separate new-application checklists for cultivation, delivery, distribution, manufacturing, storefront dispensary, storefront dispensary consumption lounge and testing laboratory, and a separate renewal checklist.
Who needs to file Microbusiness Permit – Sacramento, CA?
Anyone planning to open a cannabis microbusiness in the City of Sacramento and apply for a new BOP uses this checklist. It applies to a business that will carry out at least three of the four microbusiness activities in one facility.
Within the application, the checklist sets conditions for specific people and businesses:
- Live Scan (background check) is required for individuals with aggregate ownership interest of 20% or more, and for officers, members of the board of directors, limited liability company managers and other persons with similar responsibilities.
- The Owner's Statement of Consent is needed from the owner or landlord of the proposed site.
- Businesses with a distribution activity, or with delivery-only drivers, complete the driver and vehicle items.
- Businesses with manufacturing add an Extraction Plan (Non-Volatile).
- The application fee is waived for CORE businesses (Classifications 1, 2, 3 and 5) and Veterans.
Do not use this checklist for another business type or for a renewal. The City's forms page lists a different new-application checklist for each other cannabis business type and a separate Business Operating Permit Renewal Application Checklist.
When to file Microbusiness Permit – Sacramento, CA
Use the checklist before you start a new microbusiness BOP application and keep it open through the whole process. The City's FAQ says a Conditional Use Permit must be obtained for the property before any cannabis permits can be issued.
Several time limits come from the checklist itself:
- A BOP application is valid for 180 days. It is deemed "Abandoned" if it is not approved and the extension fee and form are not submitted before 180 days.
- OCM begins review only when the application is both submitted and paid for. If no application fee is received within 30 days of submittal, the application becomes void.
- OCM schedules a walk-through only after the location has been issued a Certificate of Occupancy, and only on Thursdays.
- The Business Operating Tax application follows the completed walk-through.
- The State license must be valid as the application goes through BOP final review or when you start operating, so plan it around your tenant improvement schedule.
According to the City's FAQ, a BOP is valid for one year from issue and must be renewed annually.
Documents you need
- Conditional Use Permit: a copy of the Record of Decision from the Planning Department.
- Cannabis Business Owner & Interested Parties List: a breakdown of 100% of ownership with name, title, address, phone, email and ownership interest of all owners.
- Live Scan (background check): for individuals with aggregate ownership interest of 20% or more and for officers, board members, LLC managers and similar roles.
- Business structure documents: a description of the legal entity and its formation and organizing documents; the checklist lists items for an LP, LLC and corporation, plus a DBA filing if applicable.
- Statement of Information: the most current one, less than two years old, with the business structure documents.
- Business Plan: standard operating procedures, cash handling, transportation, inventory controls, financial management and California Cannabis Track and Trace procedures specific to the business.
- Budget: the most recent annual budget with business name, itemized expenses and projected income for the current year.
- Owner's Statement of Consent: written consent of the site owner or landlord with street address and parcel number, completed, signed and notarized.
- Security and Lighting Plan: prepared by a valid qualified professional (PPO #, ACO#), with a lighting plan showing existing and proposed lights.
- Floor Plan: scaled, for each level of each building, with entrances, exits, walls and operating areas, prepared by a licensed civil engineer or architect.
- Odor Control Plan and Energy Efficiency Plan: the air treatment or other odor methods, and an email showing the date you contacted SMUD Strategic Accounts.
- Certificate of Liability Insurance listing the business name and premises address; the minimum coverage differs for microbusinesses with and without a distribution activity.
- Certificate of Occupancy: a copy of the site's COO specific to the business type applied for.
- Extraction Plan (Non-Volatile): only for manufacturing activity, describing extraction equipment and solvents used.
- Driver and Vehicle Information Verification Form, plus current vehicle registration and insurance for distribution vehicles, where distribution or delivery-only driving applies.
How to fill out Microbusiness Permit – Sacramento, CA
Check zoning and buffers for the site
On item 1, find a location in a listed zone, such as C2 (under 6,400 sq.ft), M-1, M-1S, M-2, M-2S, C4, M-T, MRD or MIP, and confirm the 600-foot buffers from schools and parks. Check off the line when done.
Apply for the Conditional Use Permit
On item 2, submit the CUP application through the Planning Division's online portal, or check whether the property already has an approved CUP.
Apply for building permits
On item 3, apply online through the Building Department's portal and obtain a Certificate of Occupancy specific to the cannabis activities.
Gather ownership and background documents
For item 4, collect the CUP Record of Decision, the Cannabis Business Owner & Interested Parties List and Live Scan results for those required. Check off each line as you complete it.
Assemble business structure documents
Under the entity type that fits (LP, LLC or Inc.), check off the Statement of Information (most current, under two years old), formation documents, signed agreements and any DBA filing.
Prepare the plans and budget
Complete the Business Plan, Budget, Security and Lighting Plan, Floor Plan, Odor Control Plan and Energy Efficiency Plan, using the professionals the checklist names where required.
Add consent, insurance and occupancy proof
Attach the notarized Owner's Statement of Consent, the Certificate of Liability Insurance and the site's Certificate of Occupancy.
Add conditional items that apply
Check the Extraction Plan only for manufacturing, and the Driver and Vehicle Information Verification Form, vehicle registration and vehicle insurance for distribution or delivery-only activity.
Pay the BOP application fee
On item 5, pay the fee after submitting the application. It is waived for CORE businesses (Classifications 1, 2, 3 and 5) and Veterans.
Complete the walk-through and tax step
On item 6, wait for OCM to schedule the Thursday walk-through once a COO exists. On item 7, then submit the Business Operations Tax Online Application.
Apply for the State license
On item 8, apply with the Department of Cannabis Control. The license must match the BOP type with OCM.
Review, check off and download the PDF
Check that every completed item is marked and the non-City requirements at the end have been considered. Download or print the completed PDF from FillingPDF and apply through the channels described under How to submit.
How to submit Microbusiness Permit – Sacramento, CA
The checklist itself is not filed; each step on it goes through a different City or State channel. Forms, guidance and links are on the City's Cannabis Forms and Information page.
- Conditional Use Permit: apply through the Planning Division's online portal.
- Building permits: apply online through the Building Department's online portal. Public counters are open by appointment only.
- BOP application: submit it with the required documentation through OCM's online permitting portal. OCM reviews it only once it is submitted and paid for; the application fee is non-refundable, and the fee schedule is on the City's page.
- Business Operating Tax: after the walk-through, complete the Business Operations Tax Online Application with the Revenue Division.
- State license: apply with the Department of Cannabis Control (cannabis.ca.gov).
For the Energy Efficiency Plan, contact SMUD Strategic Accounts at [email protected] or (916) 732-7682 and keep the email showing the date. For equipment questions, contact the Sac Metro Air District at (279) 207-1122 or [email protected].
FillingPDF lets you fill out and download the PDF; submission follows the channels above.
Common mistakes to avoid
- Letting the BOP application pass 180 days without submitting the extension fee and form, which makes it "Abandoned".
- Submitting the BOP application without paying the application fee; it becomes void if no fee is received within 30 days of submittal.
- Choosing a site within 600 feet of a school, or without checking the 600-foot buffer from neighborhood and community parks that sends the application to the Planning and Design Commission.
- Proposing cultivation in the M-T, MRD or MIP zones, where the checklist excludes cannabis cultivation.
- Including a Statement of Information that is not the most current or is two years old or more.
- Submitting the Owner's Statement of Consent unsigned or not notarized.
- Using a security and lighting plan not prepared by a qualified professional, or a floor plan not prepared by a licensed civil engineer or architect.
- Expecting an OCM walk-through before the location has a Certificate of Occupancy, or on a day other than Thursday.
- Omitting the email showing the date SMUD was contacted from the Energy Efficiency Plan.
- Treating the checklist as the full set of requirements; it says it is not exhaustive.
Frequently asked questions
Is this checklist for a Sacramento business license?
It is for the cannabis Business Operating Permit (BOP) for a microbusiness, not a general Sacramento business license. It lists the City approvals and documents behind a new microbusiness BOP application, plus the State license and non-City requirements.
What is a cannabis microbusiness in Sacramento?
A vertically integrated cannabis business in which at least three of four activities occur in one facility: cultivation with up to 10,000 sq.ft. of canopy, non-volatile manufacturing, retail (storefront if granted a permit opportunity, and delivery-only), and distribution.
How long is a BOP application valid?
180 days. If the application is not approved and the extension fee and form are not submitted before 180 days, it is deemed "Abandoned". Separately, if no application fee is received within 30 days of submittal, the application becomes void.
Is there a fee for the microbusiness BOP application?
Yes. The application fee is non-refundable and must be paid for OCM to begin review; it is waived for CORE businesses (Classifications 1, 2, 3 and 5) and Veterans. The amounts are on the City's Business Operating Permit Fees page.
Do I need a Conditional Use Permit before the BOP?
Yes. The BOP application requires a copy of the Planning Department's Record of Decision on the CUP, and the City's FAQ says a CUP must be obtained for the property before any cannabis permits can be issued.
Who needs a Live Scan background check?
Individuals with aggregate ownership interest of 20% or more, and officers, members of the board of directors, limited liability company managers and other persons with similar responsibilities. The checklist links to the City's fingerprinting information.
When does the OCM walk-through happen?
After the location has been issued a Certificate of Occupancy. OCM contacts you to schedule it as part of secondary review, and walk-throughs are scheduled only on Thursdays. A BOP walk-through checklist helps you prepare.
How long is a Business Operating Permit valid?
One year from the time it is issued, according to the City's FAQ, and it must be renewed annually. A State license is a requirement of renewal and must match the BOP type with OCM.
Can I fill out the microbusiness checklist online on FillingPDF?
You can fill out the PDF online on FillingPDF and download or print it. FillingPDF is independent of the City of Sacramento and does not submit applications; you apply through the City's portals and the State.
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