The “Karen Initiative” That Could Reshape California’s Cannabis Industry

In California’s Humboldt County, one of the largest pot-farming counties, local pot farmers are facing a unique and serious threat that has nothing to do with contagious diseases or plunging wholesale prices. The threat is originating from their neighbors.

A new ballot initiative has qualified for the March 2024 election, alarming the local cannabis industry. This initiative proposes to limit the size of marijuana pot farms and impose heavy restrictions on any changes to existing ones. The local farmers fear that if this initiative passes, it could effectively end the local commercial cannabis industry.

“It’s akin to hammering the last nail in the coffin and simply terminating the industry,” laments Dylan Mattole, a cannabis farmer in Humboldt County.

Even the county government is sounding the alarm. A report by the Humboldt County Planning and Building Department, released in June, suggests that the initiative could make it nearly impossible for farmers to comply with the proposed limitations, rendering the “legal market nonviable in Humboldt County.”

Contrary to the criticism, the creators of the initiative remain steadfast. Betsy Watson, one of the creators, believes that while it might impact large pot farms, it would benefit small family-owned operations.

The initiative has sparked controversy in Humboldt County, home to Northern California’s largest cannabis farming industry. The local cannabis trade group terms the initiative an “existential threat,” while farmers label it the “Karen initiative,” accusing it of being misleading and supported by “NIMBYs” (Not In My Backyard proponents).

The concept for this initiative emerged in 2021 after the approval of a pot farm near the Pacific Coast in Humboldt’s Kneeland community. Neighbors, primarily retirees, expressed concerns about visibility, traffic, and water usage. When efforts to block the farm failed, they turned to changing the county’s rules, gathering over 7,000 signatures to qualify the initiative for the upcoming vote.

The proposed stricter rules would limit pot farm sizes to 10,000 square feet or less, reduce the number of permitted farms, and prevent individuals from holding multiple cultivation permits. These changes could place existing farms in violation, causing most of them to be “nonconforming,” as per the county’s analysis.

The initiative’s supporters dispute the county’s assessment, deeming it “overblown and inaccurate.”

The measure became even more controversial after allegations that signature gatherers misled the public by framing it as a protection for small family farms against “industrial mega-grows.” However, the county’s analysis shows that it could burden even the smallest farms, with no existing farms in Humboldt fitting the description of “industrial mega-grows.”

Local authorities and farmers alike call the initiative “misleading,” and even Watson acknowledges that some farmers might regret signing it.

The difficulty of changing the initiative, if passed, due to its modification of the county’s general plan, has added to the apprehension. This permanence is intentional, according to Watson, who blames county supervisors for the current situation. County supervisor Michelle Bushnell warns of the dire consequences for small business owners if the regulations prove unworkable, expressing, “When it’s your livelihood, how terrifying is that?”