California has ramped up its investment in cannabis research, awarding nearly US$30 million in grants from marijuana tax revenue and other sources in late 2025 and early 2026. These grants will support studies on health impacts, cultivation methods and market dynamics.
This third round of funding from the Department of Cannabis Control (DCC) brings the state’s total distributions to about US$80 million since the department’s Cannabis Academic Research Grant program was established in 2020. The awards aim to fill knowledge gaps in a rapidly evolving industry.
Key recipients include major universities like UC Berkeley, UCLA and UC San Francisco, with projects focusing on everything from crop yields to therapeutic potential and consumer safety. This surge in state-backed research comes as federal attitudes toward cannabis soften, potentially unlocking more opportunities for scientific inquiry. Among the highlights is UC Berkeley’s collaboration with Glass House Brands Inc (OTCMKTS: GLASF) (FRA: 4KF0), which recently secured US$1.8 million for a project titled “Cannabis Crop Yields: Survey & Remote Sensing.”
Announced on Jan. 13, the study will estimate yield variability across indoor, outdoor and mixed-light cultivation systems using grower surveys, field observations and remote sensing tech.
The partnership, which began in 2024 with initial hemp research, aims to improve regulatory oversight, market forecasting and sustainable practices for California’s legal cannabis growers.
Super excited for this. Stoked to be working in collaboration with UC Berkeley to learn more about cannabis and how to grow it optimally.@GlassHouseBR / $GLASFhttps://t.co/fvffEHg6nB pic.twitter.com/ebDOctHAOh
— Graham Farrar (@grahamfarrar) January 13, 2026
Los Angeles school gets large quantity
UCLA has emerged as a major beneficiary, receiving US$7.3 million across four grants for wide-ranging investigations. One notable effort at this school, led by professors Neil Garg, Ken Houk and Yi Tang, involves a US$2 million award to synthesize and evaluate novel cannabinoids for therapeutic uses. This assessment will include a focus on computational modelling of their interactions with brain receptors to minimize side effects.
Other UCLA projects explore the unregulated cannabis market’s public health risks, cardiovascular effects of cannabis consumption and standards for terpenes to curb child-attractive marketing. Essentially, better science on terpenes provides the objective benchmarks needed to enforce existing youth-protection rules more effectively, thereby reducing the risk that flavoured cannabis products appeal to kids.
These two-year studies are set to begin in early 2026, building on prior DCC-funded work that has already produced peer-reviewed publications.
🥳Congrats to @GargLab, @houk1000, & @yitang_ucla, recipients of a $2M state grant from the CA Dept of Cannabis Control to advance cannabinoid therapeutics through interdisciplinary research in synthesis, computation, and pharmacology! https://t.co/9tU94zzbnK pic.twitter.com/Roe99aizOX
— UCLA Chem & Biochem (@uclachem) January 9, 2026
Read more: Kentucky’s first medical cannabis dispensary runs dry in 1 week
Latest grant focuses on gum disease
Loma Linda University has joined the wave of funded research in the state with an US$810,000 grant from California’s Tobacco Related Disease Program. The awarded funds, not derived from the DCC in this case, will be used to examine how vaping products and cannabis impact gum disease progression in adults. Led by professor Hansel Fletcher, the study will focus on aerosolized nicotine and combustible cannabis, highlighting potential health concerns amid rising use of these products.
Beyond these, the DCC’s broader allocations support diverse topics. UC San Francisco received nearly US$4 million for studies on the pharmacology of THC-infused beverages and how cannabinoids can impact brain development.
Moreover, UC San Diego got funding for research on cannabis use among older adults and the impact of price trends on sales. Additional grants went to UC Davis for tribal cannabis market partnerships, San Diego State for worker exposure to pesticides and allergens, and UC Berkeley for assessing environmental benefits of licensed operations.
Research to shape future U.S. cannabis policies
All of these projects aim to inform policymaking and will make their findings publicly available at no cost.
This avalanche of state grants ties directly into President Trump’s recent executive order on cannabis rescheduling, signed on Dec. 18.
Executive Order 14370 directs the Attorney General to expedite moving marijuana from Schedule I to Schedule III under the Controlled Substances Act. This long-awaited move by White House officials recognizes the plant’s medical potential and the barriers Schedule I currently imposes on research.
While the order does not reschedule cannabis itself, it accelerates an ongoing DEA rulemaking process and signals federal support for expanded studies, tax relief for state-legal operators and alignment with state programs serving millions of patients.
California’s initiatives could provide crucial data to guide this federal shift. They will potentially ease restrictions and foster innovation in therapeutics and agriculture throughout the U.S.
Read more: Glass House & UC Berkeley partner to study AI automation in hemp cultivation
Follow Rowan Dunne on LinkedIn
rowan@mugglehead.com