UPDATE: THURSDAY, MARCH 28, 2019
Contingent Operator Permits Issued to Five Cannabis Businesses
Commercial cannabis regulations were adopted by the City of San Luis Obispo in late 2018, with the first application period for Cannabis Business Operator Permits open from January 7-29, 2019. During that time, the City received a total of twelve applications. Applications were scored according to merit-based criteria including community benefit, experience, equity and labor, messaging, medical retail commitment, property control and financial investment to ensure the best operators were selected for the City. The scoring was completed by a staff panel from several City departments including Administration, Code Enforcement, Community Development, Fire and Police. In addition, the scoring was proctored by a third-party consulting firm to ensure consistent application of the review criteria and was reviewed and approved by the City Manager.
The City has issued contingent operator permits for five of the applicants: three retail storefronts, one delivery service (non-storefront) and one microbusiness (non-storefront). Official Cannabis Business Operator Permits will be issued in place of contingent operator permits provided all applicants pass the required, comprehensive background checks. Additionally, the contingent operator permit for one retail storefront and one non-storefront is subject to their ability to identify alternative eligible locations.
The City will officially announce the businesses selected at the conclusion of the background check process. Those businesses will then need to obtain a use permit for the property where their business is located and any building permits required for the necessary tenant improvements through the City’s Community Development Department. The City will continue to keep the community and businesses informed throughout the process.
Applicants being issued contingent operator permits:
Coastal Delivery SLO, LLC
Element 7 San Luis Obispo
Megan’s Organic Market
Natural Healing Center - SLO
Those applicants not being issued a contingent operator permit at this time are:
Lab Tested SLO, LLC (Non-storefront)**
SLO CAL Roots
805 SLO Beach Breaks, Inc.
Coastal Retail SLO, LLC
Harvest of San Luis Obispo
Hollister SLO, LLC**
*Subject to identification of a site within 60 days.
**Did not reach 70% threshold of highest scoring applicant in this category, ineligible for a contingent operator permit.
For more information, contact Charlene Rosales, Economic Development Manager, at (805) 781-7164.
THE APPLICATION DEADLINE FOR JANUARY 7-29, 2019 HAS CLOSED.
ABOUT CANNABIS COMMERCIAL BUSINESS OPERATOR PERMITS
MEASURE F-18, CANNABIS BUSINESS TAX MEASURE
On November 6, 2018, the residents of SLO voted to adopt the Cannabis Tax Measure (Measure F-18).
What is the Cannabis Business Tax (Measure F-18)?
The proposed general-purpose tax would include a combination of the two most common tax structures implemented throughout the State:
- Gross receipts tax of up to 10%; and
- Cultivation tax of up to $10 per canopy square foot
Gross receipts, or excise taxes, are assessed at every stage of cannabis production within the City including testing, retail sales, distribution and manufacturing. Cultivation taxes are based on the size of the canopy or license issued by the State. The current gross receipts tax is 6%.
How will the money from the tax be spent?
The general-purpose tax would go to the General Fund and could be used for any City project, service or operation, as directed by the City Council. The proposed business tax could raise approximately $1.5M annually and would be in effect until ended by voters.
STATE AGENCIES INVOLVED
- Bureau of Cannabis Control: http://www.bmcr.ca.gov/
- CalCannabis Cultivation Licensing: http://calcannabis.cdfa.ca.gov/
- Manufactured Cannabis Safety Branch (MCSB): https://www.cdph.ca.gov/Programs/CEH/DFDCS/Pages/MCSB.aspx
PUBLIC HEALTH AND SAFETY INFORMATION
City of San Luis Obispo Police Department - Cannabis Regulations Unit
California Department of Public Health
The CDPH is committed to providing facts to make safe and informed choices. CDPH is working to increase awareness about cannabis and how it affects bodies, minds and health by sharing science based information. (https://www.cdph.ca.gov/Programs/DO/letstalkcannabis/Pages/LetsTalkCannabis.aspx)
California Office of Traffic Safety
DUI doesn’t mean just booze. Just like drunk driving, driving under the influence of drugs is a crime – even if your impairment is due to prescribed medications, illicit drugs, over-the-counter medications or marijuana – medical or recreational. The legal and monetary consequences are the same – up to $10,000 in fines, fees and insurance costs, restricted licensing, days off work to go to court, a criminal record and more. Watch the California Office of Traffic Safety’s ad on Driving Under the Influence: https://www.youtube.com/watch?v=Jaaz4LH3hfs&feature=youtu.be