Ron Strider
Well-Known Member
Having already issued nine business permits for commercial cannabis businesses, Salinas now moves ahead with the establishment of fees and a regulatory framework for the pot industry.
At Tuesday's Salinas City Council meeting city, council members are expected to vote on a resolution that establishes fees for commercial cannabis businesses.
The permit and monitoring fees are as follows:
· Work permit application - $161.75
· Work permit renewal - $129.75
· Work permit transfer - $129.75
· Administrative permit - $102.70
· Monitoring fee — police - $7,714.69
· Monitoring fee — administration - $2,053.97
· Monitoring fee — city attorney - $674.03
Andy Myrick, the city's economic development manager, said the fees were developed based on the costs the city would incur for regulating the industry. Myrick said the work permit fee structure for cannabis is the same as it is for poker rooms.
The fee structure signifies the city can now accept applications for the permits and moves the industry forward.
The fees are due once a cannabis business permit is issued and then annually thereafter.
The Salinas Police Department is taking the lead in regulating the process by issuing work permits, identification cards and regular monitoring including reviews of inspections and videos. City Manager Ray Corpuz Jr. and City Attorney Chris Callihan and their departments will administer the permits.
In July, the city issued nine permits to five cannabis companies in Salinas as follows:
· Cypress Manufacturing (manufacturing, cultivation, dispensary)
· Monterey Bay Alternative Medicine (manufacturing, cultivation, dispensary)
· CannaCruz (dispensary)
· Harkins Grow (cultivation)
· 710 Combinator (manufacturing)
Industry responds
Some cannabis businesses responded positively to the fee structure, saying that it streamlines the application and regulatory processes for what is a fledgling industry.
"Yes, I think it's reasonable and if they can bring money back into the city it's a great thing," said Kurt Kaufeldt head of the cannabis company Badfish Compassionate Care. Badfish is being considered for the next round of applicants after resubmitting additional information required by the application committee.
Kaufeldt and other growers agree that legalization of the industry is likely to force most mom-and-pop shops or independent growers out of business, who might not be able to meet the regulatory costs.
"I don't see how it can make it and it just won't be cost effective... I know a lot of guys just like me they are trying to go legit and offer their expertise at other places," said Tod Williamson a veteran cannabis grower who is a full-time consultant for Grupo Flor, a Salinas-based investment firm that is a consortium of cannabis-centric companies or growers in Monterey County.
Others will continue growing small amounts in the black market, Williamson said.
Williamson said a fee structure is necessary if the industry is to develop and also be recognized by the general public.
"If you want to play ag with the big boys, you just have to follow the protocol we also have to be held to that standard," said Williamson. "I can say we (the cannabis industry) will be held to a very high standard."
What's next
Businesses have a year to get their operations up and running by ensuring that all necessary business-related permits are in order and their facilities comply with city codes.
In August the city council passed an amended cannabis ordinance that doubles the number of maximum cannabis permits the city will issue. The ordinance increases the maximum number of permits in the cultivation, delivery, manufacturing and dispensary categories from three to five.
News Moderator: Ron Strider 420 MAGAZINE ®
Full Article: Salinas tackles cannabis businesses fees
Author: Amy Wu
Contact: Contact Us | Salinas Californian
Photo Credit: Amy Wu
Website: The Californian News Section
At Tuesday's Salinas City Council meeting city, council members are expected to vote on a resolution that establishes fees for commercial cannabis businesses.
The permit and monitoring fees are as follows:
· Work permit application - $161.75
· Work permit renewal - $129.75
· Work permit transfer - $129.75
· Administrative permit - $102.70
· Monitoring fee — police - $7,714.69
· Monitoring fee — administration - $2,053.97
· Monitoring fee — city attorney - $674.03
Andy Myrick, the city's economic development manager, said the fees were developed based on the costs the city would incur for regulating the industry. Myrick said the work permit fee structure for cannabis is the same as it is for poker rooms.
The fee structure signifies the city can now accept applications for the permits and moves the industry forward.
The fees are due once a cannabis business permit is issued and then annually thereafter.
The Salinas Police Department is taking the lead in regulating the process by issuing work permits, identification cards and regular monitoring including reviews of inspections and videos. City Manager Ray Corpuz Jr. and City Attorney Chris Callihan and their departments will administer the permits.
In July, the city issued nine permits to five cannabis companies in Salinas as follows:
· Cypress Manufacturing (manufacturing, cultivation, dispensary)
· Monterey Bay Alternative Medicine (manufacturing, cultivation, dispensary)
· CannaCruz (dispensary)
· Harkins Grow (cultivation)
· 710 Combinator (manufacturing)
Industry responds
Some cannabis businesses responded positively to the fee structure, saying that it streamlines the application and regulatory processes for what is a fledgling industry.
"Yes, I think it's reasonable and if they can bring money back into the city it's a great thing," said Kurt Kaufeldt head of the cannabis company Badfish Compassionate Care. Badfish is being considered for the next round of applicants after resubmitting additional information required by the application committee.
Kaufeldt and other growers agree that legalization of the industry is likely to force most mom-and-pop shops or independent growers out of business, who might not be able to meet the regulatory costs.
"I don't see how it can make it and it just won't be cost effective... I know a lot of guys just like me they are trying to go legit and offer their expertise at other places," said Tod Williamson a veteran cannabis grower who is a full-time consultant for Grupo Flor, a Salinas-based investment firm that is a consortium of cannabis-centric companies or growers in Monterey County.
Others will continue growing small amounts in the black market, Williamson said.
Williamson said a fee structure is necessary if the industry is to develop and also be recognized by the general public.
"If you want to play ag with the big boys, you just have to follow the protocol we also have to be held to that standard," said Williamson. "I can say we (the cannabis industry) will be held to a very high standard."
What's next
Businesses have a year to get their operations up and running by ensuring that all necessary business-related permits are in order and their facilities comply with city codes.
In August the city council passed an amended cannabis ordinance that doubles the number of maximum cannabis permits the city will issue. The ordinance increases the maximum number of permits in the cultivation, delivery, manufacturing and dispensary categories from three to five.
News Moderator: Ron Strider 420 MAGAZINE ®
Full Article: Salinas tackles cannabis businesses fees
Author: Amy Wu
Contact: Contact Us | Salinas Californian
Photo Credit: Amy Wu
Website: The Californian News Section
