How San Diego plans to crack down on uncertified cannabis delivery services — and salvage its budget
The proposal comes as the city’s cannabis tax revenue continues to slump.
By David Garrick / San Diego U-T / November 4, 2025
A new proposal would give San Diego more tools to crack down on illegal cannabis delivery services, which officials blame for worsening budget deficits by hurting legal dispensaries’ business and costing the city tax revenue.
The proposed policy changes would make enforcement more rigorous by raising the penalties for any illegal cannabis activity in San Diego and strengthen the ability of legal dispensaries to sue illegal operators and recover damages.
San Diego would also seek more aggressively to regulate delivery services from outside the city by requiring them to get a new kind of permit and disclose detailed information about their operations in San Diego.
While the new permit wouldn’t affect delivery services operating completely outside the law, industry officials say a big part of the problem is legal delivery services from areas outside the area operating in San Diego but declining to pay local taxes.

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