WATSONVILLE—The Watsonville Planning Commission on Tuesday made several recommendations to the City Council on proposed changes to the city’s cannabis ordinances.
The body’s recommendations were a near carbon copy of those provided by staff with an additional amendment asking the city to favor local and minority business owners during its rigorous cannabis license application process.
Staff recommended sweeping changes to rules on multiple aspects of cultivation and the number of licenses allowed in city limits. That included allowing a maximum of three dispensaries, adding an additional six manufacturing licenses (putting the cap at 15) and giving all cannabis businesses—retail, cultivation and manufacturing—the ability to deliver directly to the customers.
Staff also recommended several amendments that were suggested by community health advocates, and another that does not require an applicant to have a location during the application process.
Many current and prospective cannabis business owners applauded the latter amendment during public comment, saying it would help small, local business owners compete against large, out-of-area businesses looking to capitalize on the new ordinance.
“It’s been common for a jurisdiction to require real estate to be a condition for applications, and it really sets the stage for a lot of nasty competition,” said Colin Disheroon, owner of Santa Cruz Naturals in Aptos and Pajaro. “It creates an environment that enables those with the deepest pockets.”
Mayor Rebecca Garcia during public comment continued to push back against staff recommendations, saying the city has not yet answered her questions of the impact the legalization of recreational cannabis has had on the community. Among those questions: has there been an increase in DUIs, hospital visitations, babies that are born with cannabis in their systems and use among young people.
“You cannot make an informed decision without answers to these questions,” Garcia said.
Garcia and the city council are expected to see the cannabis ordinance sometime next month.
Number of licenses
Currently, the city allows six cultivation and nine manufacturing licenses.
Staff recommended and the commission unanimously agreed to add nine manufacturing, two distribution, three retail and an unlimited number of testing licenses.
Health advocates pushed for two retail licenses.
Cultivation
The commission unanimously agreed with staff recommendation to up the maximum square footage for cultivation from 5,000 to 22,000, the maximum allowed by state regulators, and also recommended allowing one cultivation license to be split over multiple locations.
Allowable districts
Staff recommended allowing dispensaries to operate in Thoroughfare Commercial and Visitor Commercial zones. Those areas include most of Main Street outside of downtown and much of Freedom Boulevard.
However, the areas in those zones in which cannabis businesses could operate would be limited to a handful of locations because of recommended separation requirements. Under the approved recommendation no business would be allowed to set up within 250 feet from a residential zone and 600 feet from schools, parks, churches, libraries or daycares.
Currently, manufacturing and cultivation businesses are only allowed in General Industrial and Industrial Park zones.
Commissioner Anna Kammer proposed an amendment to remove Thoroughfare Commercial from the allowed zones because of heavy foot traffic from nearby Pajaro Valley High School and Cesar Chavez Middle School. It was voted down 4-3, with commissioners Jenna Rodriguez, Jenny Sarmiento, Phillip F. Tavarez and chair Jenni Veitch-Olson dissenting.
‘Cannabis Campus’
The commission unanimously agreed with staff recommendation to allow multiple cannabis businesses to share one property, which could create what Community Development Director Suzi Merriam called a “cannabis campus.”
These so-called campuses could feature numerous permutations of cannabis licenses, as well as an unrelated cannabis business.
Background checks
The commission also unanimously agreed with staff recommendation to require employee background checks only for owners and managers.
Additional amendments
After talks with local health advocates, staff recommend a few other amendments that the commission unanimously agreed with:
• No edibles or products in the shape of humans, animals, fruits or other shapes targeting young people
• Dispensaries will not share an entrance with other business
• No self-service option or vending machines at dispensaries
• Large, visible “No Smoking” signs in front of dispensaries
• Increased requirements for delivery, including limited hours, cameras inside delivery vehicles and GPS tracking of those vehicles
•••
The commission also approved alcohol licenses for two 76 gas stations at 1180 Main St. and 1569 Freedom Blvd., which recently switched ownership to Rahil Hussain and 32 Enterprises Inc.
The licenses cover take-away beer and wine purchases. Both gas stations held the same licenses under the previous owners, staff said.
The applications were the first to be processed under the new alcohol ordinance, which was passed last year.
Hussain said the new application process, which requires a panel interview as well as an intricate business plan, among other things, would save the city many headaches in the future.
“I believe that this is a good process,” he said. “You guys are getting to know the business, you’re not just giving out beer and wine licenses left and right like other cities are… It shows that you care.”