California Audit Finds Cannabis Packaging Too Attractive to Children

California Audit Finds Cannabis Packaging Too Attractive to Children

A new report from California’s State Auditor says cannabis packaging regulations are unclear and poorly enforced, allowing products with child-appealing designs to remain on the market. The audit criticized the Department of Cannabis Control (DCC) for failing to proactively identify violations and for inconsistent enforcement practices.

The audit reviewed 40 cannabis products sold online and determined that 23 of them—more than half—were likely attractive to children. Designs included colorful fonts, cartoon images, and references to food items, such as crispy rice treats, that mimic children’s snacks. The auditor also noted disagreements with DCC’s own assessments, citing cases where the agency deemed packaging compliant despite clear risks of appealing to youth.

The report highlighted a 469% increase in cannabis ingestion calls to the California Poison Control System among children under five, rising from 148 calls in 2016—the year voters legalized cannabis—to 842 calls in 2023.

Beyond packaging, the auditor found that the DCC has not adequately prohibited child-appealing flavors and strain names, despite a 2022 rule banning flavor mentions in inhaled cannabis products. Strain names such as “Cherry Pie,” “Tropicana Punch,” and “Lemon Cherry Gelato” continue to appear in advertising.

The audit also criticized the DCC’s inspection and compliance practices. Since 2022, the agency has inspected fewer than half of its licensees annually and has not consistently escalated penalties for repeat offenders. In one case, a licensee had at least four compliance actions related to child-appealing packaging, but the DCC never increased penalties.

“DCC does not adequately discipline the cannabis businesses that it licenses who repeatedly violate regulations regarding attractiveness to children,” State Auditor Grant Parks wrote in a letter to the governor and legislative leaders. “We also determined that the department does not consistently increase penalties for licensees who repeatedly violate the department’s regulations.”

The findings are likely to intensify calls for clearer rules and stronger oversight as California grapples with the unintended consequences of its legal cannabis market.

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