Category Archives: Retail business

Benicia City Council to consider re-writing cannabis rules on May 7

By Steve Young, Benicia City Council member
Steve Young, Benicia CA

On May 7, the City Council will consider a proposal by Councilman Largaespada to expand the buffer zones around cannabis dispensaries. The proposed changes would, if adopted, add buffer zones around any day care center (or places where kids congregate), park, or any residential zone.  If adopted by the Council, the practical effect would be to eliminate virtually all retail locations in the City.

Cannabis issues have been on the ballot twice recently. In 2016, Benicians voted 63% in favor of Prop. 64 which legalized personal use of cannabis by adults. In 2018, Benicians voted 68% in favor of letting the Council impose excise taxes on cannabis businesses (which we did last December). The current rules, adopted by the previous Council after more than 18 hearings and dozens of hours of testimony, limited cannabis dispensaries to just a few commercial areas in the City. The Council eliminated First Street and all of downtown, as well as all of the Southhampton shopping center. We also limited the number of dispensaries to just two.

When we finally opened up the application process last fall, we had 9 applicants for these two possible permits. Applicants were required to pay the City $20,000 each for processing their application, including for a Public Safety License to be issued by the Police Department after significant vetting of the applicants. In addition, the applicants were required to show some form of site control. This required them to rent or lease, or obtain an option to lease,  commercial space at significant costs while waiting for the City to finally recommend which applicants were recommended to move forward to the Planning Commission to apply for a Conditional Use Permit (CUP). (Some applicants have reported absorbing over $100,000 in costs each.)

In my opinion, regardless of how you feel about cannabis, it is fundamentally unfair to treat these businesses in this manner.  They have followed all the rules set forth by the City in August,  paid substantial fees to the City and even more to rent vacant space, and have waited over 9 months for the City to act on their applications.  It is simply not fair or equitable, at this late date,  to have the City change the rules in the middle of the game.

If you are interested in this topic, please attend the Council meeting on May 7 or let the Council know about your opinions.