Ron Strider
Well-Known Member
In a special meeting on Monday night, the City Council approved the final language for Ordinance 806, which allows, and regulates, cannabis businesses within city limits.
The approved language also includes a chapter regulating residential cultivation of marijuana for personal use.
The meeting was contentious almost from the outset.
Third dispensary
Councilmember Dennis McCord introduced what he referred to as a "fairness issue," advising the other councilmembers that a third dispensary candidate had scored very closely to the two that were approved, but had been eliminated because the language in the ordinance allowed for only two. "I don't know why it has to be two," McCord said, "and I suggest that it be three. We're just picking a number," he pointed out.
The dispensary in question had been operating on a property in what the owner said he believed was the county, but was actually inside city limits. When advised by city officials that the business was operating illegally within city limits, the dispensary owner voluntarily shut the operation down.
Public apology
The owner, Mark Ponticelli, then made the unusual move of attending a City Council meeting for the purpose of publicly apologizing for the error.
Statements of Qualifications
When city staff began soliciting Statements of Qualifications (SOQs) from prospective cannabis businesses, Ponticelli, who has operated another dispensary in Stanislaus County for the past three years, submitted an application.
City Manager Ken Irwin explained that, among the potential cannabis businesses, five dispensaries were selected to participate in the process. A group of city staff members and legal counsel reviewed the SOQs, and the ones who scored highest were interviewed.
Irwin sought to clarify that the dispensary's history was not held against it in the scoring process. "We did not take any type of previous actions into account in the point system," Irwin said, "(scoring) was strictly based on professionalism, what they're doing for the community, what they're doing as far as security, odor control, all those kinds of things. We had quite a few very good people (who submitted SOQs)," he said. "There were a distinct three (dispensaries who scored well), but we've always just (discussed) two. So that's why we selected the two top applicants."
Nubia Goldstein, representing Deputy City Attorney Doug White, reminded the council that the focus of the meeting was the ordinance, rather than the applicants themselves. She pointed out that the council could change the language to include three dispensaries, rather than the proposed two, to address the issue.
Initially, Mayor Novelli appeared strongly opposed to adding a third dispensary, and sparred with those in favor of adding it. She pointed out that staff, not the City Council, had selected the businesses for the pilot program, and she expressed concern that others who weren't chosen might also come forward during a future council meeting to request that additional cannabis dispensaries, or other cannabis businesses, be allowed.
She also mentioned that the two dispensaries that were approved will be "making a sizeable investment," and expressed concern about the impact of a third dispensary on their businesses.
Patterson resident Justin Danner joined Ponticelli in addressing the council in support of the nonprofit dispensary, asking the council to allow 3 dispensaries. "We are a nonprofit with roots in community, we have an effective business model, and we have a really ideal location," Danner said. "We were the first to approach the city. We have participated in every workshop and meeting to make sure we are as compliant as possible."
"I know you've been good members of the community," Novelli said, "I've seen you at events."
Ponticelli also addressed the council. "I'm sure (the other dispensaries) had excellent SOQs, but we were first in Stanislaus County. Everyone's based their (business) model off us. We were first with a point of sale system; first to set the standard in every single aspect, including security."
Ponticelli also pointed out to the council that he has made a substantial investment in the business, having leased a building since January. "I've invested $80,000 into the business, which I think more than shows my dedication. It wasn't in the right spot when we opened. I shut down right away, which I think more than demonstrates my willingness to work with the City of Patterson."
Councilmember Alfred Parham expressed appreciation for the efforts of the dispensary candidate to address the situation when advised that the business was operating illegally within city limits. "In this day and time," he said, "I'm impressed by persons who make a mistake and come back (to acknowledge the error and apologize). I just appreciate your honesty in coming back. I was impressed with that, and when I found that you weren't on the list (of approved dispensaries)... I wondered why."
McCord pointed out that during the workshops, the number of allowed dispensaries supported by participants was "always two or more" dispensaries. "These people want to work here. These people really tried to work here in Patterson, and there's a fairness issue, so I am advocating for three (dispensaries)."
George Petrulakis, land use counsel for the nonprofit, encouraged the council to change the language to allow "up to three" dispensaries. "They run a really great operation," he said, "it's even become kind of a model for some of the news outlets.
My client wants to be an open book for the jurisdictions," he added, "so they learn the business, so they can properly regulate the business. They've been (running a dispensary) for three years; they really understand the business very well. Others do too," he said, "but that's a really strong point (in favor of the nonprofit)."
"The other thing (for the council to consider) is that they have five employees from Patterson, and one from Newman, all of whom would be given a chance to have a job in Patterson."
Rusty Areias has worked for the past seven years to address what he described as the "conflict" between state and federal law, and attended the meeting with his partner in California Strategies, former Modesto mayor Carol Whiteside, in support of Ponticelli's business. Areias said he formed the partnership with Whiteside to help prospective cannabis business owners get through the regulatory process.
Areais mentioned several high-level government officials with whom his firm has worked on the process, including former San Francisco Mayor Willie Brown, Kamala Harris, and the policy advisor to Gavin Newsom. (Newsom was Lieutenant Governor while the cannabis business regulations were in process.) "We'll make all of those people available to help you, any way we can," Areias said.
"We represent the cream of the crop in this industry," he said, "people who, and we insist, want to be transparent, want to pay their taxes, want to be a part of the local community... You can't do any better than Mark (Ponticelli) and his organization."
Addressing Novelli's concern about the impact that adding a third dispensary would have on the first- and second-ranked dispensaries, Areias pointed out that those in the cannabis business are generally cooperative with one another. "They've all been in a war together," he said.
"I've worked in a lot of communities on this issue. Given the number of communities choosing not to participate, I don't think there'll be any problem with three dispensaries operating, and doing very well in Patterson," Areias added.
Zoning
City Manager Ken Irwin said that the locations where commercial cannabis activities will ultimately be allowed are currently being worked out, and would be included in the related zoning ordinance that will be brought to the council at an upcoming meeting.
HIPAA
Patterson resident Amy Hussar voiced concern about the privacy of health information the city may collect from residents who seek permits to grow marijuana for their own medicinal use.
Goldstein said that a person with a recommendation for medical marijuana who requests a residential cultivation permit and wants to grow more than six plants would probably be required to provide some kind of confirmation of that recommendation. However, that confirmation will not require that the applicant disclose the nature of his or her health issue. Such confirmation records, she added, would be kept "separate and apart" from the rest of the city's records.
Further, Goldstein said, under the Public Records Act, the city is prohibited from disclosing health-related information that is protected under the Health Insurance Portability and Accountability Act (HIPAA).
Public Safety
Patterson resident Monica Dellamaggiore expressed concern about public safety, and suggested that language be added to the ordinance that requires the city to use some of the revenue generated by cannabis businesses for public safety.
Mayor Novelli pointed out that the city intends to use the revenue to pay for additional public safety staff, including an additional deputy. At mid-year budget review, she added, if revenue allows, her goal is to request another deputy.
Goldstein recommended against adding the language Dellamaggiore suggested, saying it "would essentially tie the city's hands" regarding how the funds could be spent.
The council ultimately approved the ordinance, including the addition of a third dispensary, by a 4-0 vote (councilmember Dominic Farinha did not attend the meeting).
News Moderator: Ron Strider 420 MAGAZINE ®
Full Article: Council passes cannabis ordinance, allows third dispensary - Golden State Newspapers: Patterson Irrigator News
Author: Jenifer West
Contact: Patterson Irrigator - Contact Us - Golden State Newspapers: Patterson Irrigator
Photo Credit: John Carl D'Annibale
Website: Golden State Newspapers: Patterson Irrigator
The approved language also includes a chapter regulating residential cultivation of marijuana for personal use.
The meeting was contentious almost from the outset.
Third dispensary
Councilmember Dennis McCord introduced what he referred to as a "fairness issue," advising the other councilmembers that a third dispensary candidate had scored very closely to the two that were approved, but had been eliminated because the language in the ordinance allowed for only two. "I don't know why it has to be two," McCord said, "and I suggest that it be three. We're just picking a number," he pointed out.
The dispensary in question had been operating on a property in what the owner said he believed was the county, but was actually inside city limits. When advised by city officials that the business was operating illegally within city limits, the dispensary owner voluntarily shut the operation down.
Public apology
The owner, Mark Ponticelli, then made the unusual move of attending a City Council meeting for the purpose of publicly apologizing for the error.
Statements of Qualifications
When city staff began soliciting Statements of Qualifications (SOQs) from prospective cannabis businesses, Ponticelli, who has operated another dispensary in Stanislaus County for the past three years, submitted an application.
City Manager Ken Irwin explained that, among the potential cannabis businesses, five dispensaries were selected to participate in the process. A group of city staff members and legal counsel reviewed the SOQs, and the ones who scored highest were interviewed.
Irwin sought to clarify that the dispensary's history was not held against it in the scoring process. "We did not take any type of previous actions into account in the point system," Irwin said, "(scoring) was strictly based on professionalism, what they're doing for the community, what they're doing as far as security, odor control, all those kinds of things. We had quite a few very good people (who submitted SOQs)," he said. "There were a distinct three (dispensaries who scored well), but we've always just (discussed) two. So that's why we selected the two top applicants."
Nubia Goldstein, representing Deputy City Attorney Doug White, reminded the council that the focus of the meeting was the ordinance, rather than the applicants themselves. She pointed out that the council could change the language to include three dispensaries, rather than the proposed two, to address the issue.
Initially, Mayor Novelli appeared strongly opposed to adding a third dispensary, and sparred with those in favor of adding it. She pointed out that staff, not the City Council, had selected the businesses for the pilot program, and she expressed concern that others who weren't chosen might also come forward during a future council meeting to request that additional cannabis dispensaries, or other cannabis businesses, be allowed.
She also mentioned that the two dispensaries that were approved will be "making a sizeable investment," and expressed concern about the impact of a third dispensary on their businesses.
Patterson resident Justin Danner joined Ponticelli in addressing the council in support of the nonprofit dispensary, asking the council to allow 3 dispensaries. "We are a nonprofit with roots in community, we have an effective business model, and we have a really ideal location," Danner said. "We were the first to approach the city. We have participated in every workshop and meeting to make sure we are as compliant as possible."
"I know you've been good members of the community," Novelli said, "I've seen you at events."
Ponticelli also addressed the council. "I'm sure (the other dispensaries) had excellent SOQs, but we were first in Stanislaus County. Everyone's based their (business) model off us. We were first with a point of sale system; first to set the standard in every single aspect, including security."
Ponticelli also pointed out to the council that he has made a substantial investment in the business, having leased a building since January. "I've invested $80,000 into the business, which I think more than shows my dedication. It wasn't in the right spot when we opened. I shut down right away, which I think more than demonstrates my willingness to work with the City of Patterson."
Councilmember Alfred Parham expressed appreciation for the efforts of the dispensary candidate to address the situation when advised that the business was operating illegally within city limits. "In this day and time," he said, "I'm impressed by persons who make a mistake and come back (to acknowledge the error and apologize). I just appreciate your honesty in coming back. I was impressed with that, and when I found that you weren't on the list (of approved dispensaries)... I wondered why."
McCord pointed out that during the workshops, the number of allowed dispensaries supported by participants was "always two or more" dispensaries. "These people want to work here. These people really tried to work here in Patterson, and there's a fairness issue, so I am advocating for three (dispensaries)."
George Petrulakis, land use counsel for the nonprofit, encouraged the council to change the language to allow "up to three" dispensaries. "They run a really great operation," he said, "it's even become kind of a model for some of the news outlets.
My client wants to be an open book for the jurisdictions," he added, "so they learn the business, so they can properly regulate the business. They've been (running a dispensary) for three years; they really understand the business very well. Others do too," he said, "but that's a really strong point (in favor of the nonprofit)."
"The other thing (for the council to consider) is that they have five employees from Patterson, and one from Newman, all of whom would be given a chance to have a job in Patterson."
Rusty Areias has worked for the past seven years to address what he described as the "conflict" between state and federal law, and attended the meeting with his partner in California Strategies, former Modesto mayor Carol Whiteside, in support of Ponticelli's business. Areias said he formed the partnership with Whiteside to help prospective cannabis business owners get through the regulatory process.
Areais mentioned several high-level government officials with whom his firm has worked on the process, including former San Francisco Mayor Willie Brown, Kamala Harris, and the policy advisor to Gavin Newsom. (Newsom was Lieutenant Governor while the cannabis business regulations were in process.) "We'll make all of those people available to help you, any way we can," Areias said.
"We represent the cream of the crop in this industry," he said, "people who, and we insist, want to be transparent, want to pay their taxes, want to be a part of the local community... You can't do any better than Mark (Ponticelli) and his organization."
Addressing Novelli's concern about the impact that adding a third dispensary would have on the first- and second-ranked dispensaries, Areias pointed out that those in the cannabis business are generally cooperative with one another. "They've all been in a war together," he said.
"I've worked in a lot of communities on this issue. Given the number of communities choosing not to participate, I don't think there'll be any problem with three dispensaries operating, and doing very well in Patterson," Areias added.
Zoning
City Manager Ken Irwin said that the locations where commercial cannabis activities will ultimately be allowed are currently being worked out, and would be included in the related zoning ordinance that will be brought to the council at an upcoming meeting.
HIPAA
Patterson resident Amy Hussar voiced concern about the privacy of health information the city may collect from residents who seek permits to grow marijuana for their own medicinal use.
Goldstein said that a person with a recommendation for medical marijuana who requests a residential cultivation permit and wants to grow more than six plants would probably be required to provide some kind of confirmation of that recommendation. However, that confirmation will not require that the applicant disclose the nature of his or her health issue. Such confirmation records, she added, would be kept "separate and apart" from the rest of the city's records.
Further, Goldstein said, under the Public Records Act, the city is prohibited from disclosing health-related information that is protected under the Health Insurance Portability and Accountability Act (HIPAA).
Public Safety
Patterson resident Monica Dellamaggiore expressed concern about public safety, and suggested that language be added to the ordinance that requires the city to use some of the revenue generated by cannabis businesses for public safety.
Mayor Novelli pointed out that the city intends to use the revenue to pay for additional public safety staff, including an additional deputy. At mid-year budget review, she added, if revenue allows, her goal is to request another deputy.
Goldstein recommended against adding the language Dellamaggiore suggested, saying it "would essentially tie the city's hands" regarding how the funds could be spent.
The council ultimately approved the ordinance, including the addition of a third dispensary, by a 4-0 vote (councilmember Dominic Farinha did not attend the meeting).
News Moderator: Ron Strider 420 MAGAZINE ®
Full Article: Council passes cannabis ordinance, allows third dispensary - Golden State Newspapers: Patterson Irrigator News
Author: Jenifer West
Contact: Patterson Irrigator - Contact Us - Golden State Newspapers: Patterson Irrigator
Photo Credit: John Carl D'Annibale
Website: Golden State Newspapers: Patterson Irrigator
