A commercial market for Psilocybin Magic Mushrooms may be coming soon to California

A Deep Dive into the Proposed Psilocybin Initiative in California

The legal landscape surrounding psychedelic substances is rapidly evolving, and one of the most notable developments is the proposed statutory initiative related to psilocybin in California. In this article, Mushroom lawyer, Damian Nassiri article delves into the key provisions of this initiative and what it means for residents and businesses in the state.

What’s on the Table? The proposed measure introduces several significant changes to the state law concerning psilocybin:

  1. Legalization of Psilocybin-Related Activities: The initiative aims to eliminate existing penalties under state law for individuals aged 21 and over who engage in psilocybin-related activities. This includes possession, distribution, transportation, and sale. Additionally, individuals over 21 would be allowed to cultivate psilocybin mushrooms, provided they are not publicly visible. However, these activities would remain illegal for those under 21 without parental consent, with the maximum punishment being a mandatory drug education program.
  2. Regulation of Psilocybin Cultivation and Sales: The California Department of Food and Agriculture (CDFA) would be responsible for regulating psilocybin mushrooms and related businesses. Cultivation, manufacturing, and wholesale distribution of psilocybin mushrooms would be permitted from January 1, 2025, provided they operate on land zoned for commercial agricultural production and approved by CDFA. Retail sales would commence from April 19, 2025. A mushroom lawyer can help you understand the legalities and help you obtain a psilocybin license when they become available.
  3. Use of Psilocybin for Treatment: Healthcare practitioners would be allowed to use psilocybin for treatment purposes, even for individuals under 21, subject to specific limits and certifications.
  4. Tax Implications: Psilocybin grown or sold for medical, therapeutic, religious, or spiritual purposes would be exempt from state and local sales, use, and excise taxes. Products labeled and sold for recreational use would be taxed at the local sales tax rate.

What Does This Mean for Californians? The proposed changes could have significant implications for the state’s residents and businesses. Reduced criminal justice costs, increased regulatory expenses, and potential impacts on state and local tax revenues are just a few of the fiscal effects to consider.

Seek Expert Legal Guidance Understanding the nuances of such a proposal is crucial for anyone interested in the psilocybin industry or its therapeutic use. Damian Nassiri of the Cannabis Law Group is a psilocybin mushroom lawyer that is well-versed in these matters and can provide expert legal consultation. Whether you’re seeking licensing or need insights into the legal implications, reach out at 949-375-4734 for personalized guidance.

Here are the proposed laws:


This measure makes various changes to state law related to psilocybin, including removing certain criminal penalties and requiring regulation of its cultivation and sale. However, federal restrictions on psilocybin would still be in effect. We describe key provisions of the measure below.

Legalizes Psilocybin-Related Activities Under State Law. The measure eliminates existing penalties under state law for people 21 years of age and over who engage in psilocybin-related activities including, possession, distribution, transportation, and sale of psilocybin. The measure also allows people 21 years of age and over to cultivate psilocybin mushrooms subject to certain limitations, such as requiring the mushrooms to not be publicly visible. These activities would generally remain illegal for people under the age of 21 who engage in them without parental consent. However, the measure limits the maximum punishment for such people to a mandatory drug education program. The measure also states that people who previously served sentences for offenses that would no longer be unlawful under the measure could petition the court to seal the record of their conviction. Activities related to the use of psilocybin would continue to be prohibited under federal law.

Requires Regulation of Psilocybin Cultivation and Sales. The measure requires that psilocybin mushrooms and psilocybin mushroom businesses be regulated by the California Department of Food and Agriculture (CDFA) as closely as practicable to “non-psychoactive agriculturally produced mushrooms,” except that it would impose specific requirements for labeling of psilocybin mushroom products. Under the measure, psilocybin mushroom businesses would be permitted to begin cultivation, manufacturing, and wholesale distribution of psilocybin mushrooms on January 1, 2025 provided they are operating on land that is zoned for commercial agricultural production and approved by CDFA for food production. Beginning on April 19, 2025, businesses would be allowed to begin retail sales of psilocybin. Regulatory agencies would be prohibited from imposing fines or fees in excess of the amount charged for comparable non-psilocybin mushroom-related businesses. Under the measure, a city or county could ban or limit the number of psilocybin mushroom businesses within its boundaries if approved by the voters within that jurisdiction at a statewide election held in November.

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