Auburn City Council to discuss cannabis policies in near future

The Auburn City Council may discuss cannabis dispensaries in the near future. A resident of the city introduced the topic during public comment at the Oct. 23 city council meeting and two council members said they would be interested in more information. Jared Turner, a 41-year Auburn resident, passed out a 30-page executive summary which disclosed a business plan to potentially open a cannabis dispensary in Auburn. "After hearing some of the financial hardships throughout the community about our municipality, I came to the conclusion that I wanted to help," Turner said at the Oct. 23 council meeting. "With the city limits having limited expansion, I brainstormed on what would create a lot of tax revenue without a huge footprint." Jared and Jennifer Turner own Monkey Cat, a popular restaurant in Downtown Auburn. Jared Turner also owns an electrical contract business in town. According to the business plan, they are prepared to spend $100,000 to launch their new business venture. "Euphoria will be Placer County's only dispensary with one-stop shop for all things cannabis from vapes, edibles, and CBD oils to bulk flower, the most popular strains, and cannabis accessories," the business plan stated. Opening a cannabis dispensary would require the city of Auburn to change its municipal code regarding cannabis. Currently, the city does not allow for any cannabis dispensary establishments – medical or recreational. Turner said cities with dispensaries typically excise a tax of 4 percent on the purchase of each sale. "Along with the sales tax percentage received, this could generate substantial tax revenue for Auburn," he said, adding municipalities similar in size to Auburn generate $2 million to $5 million in growth sales. In California, an adult can possess up to 1 ounce of cannabis or 8 grams of marijuana concentrate. Registered medical marijuana patients can possess up to 8 ounces of cannabis. According to Turner's business plan, at the state-level, recreational cannabis is taxed at a net effective rate of 35 percent to 45 percent, including a 15-percent retail excise tax and a cultivation tax of $9.25 per dry-weight ounce for cannabis flowers and $2.75 per dry-weight ounce for cannabis leaves adjusted for inflation. Medical marijuana does not carry a sales tax. In California, a state and municipal license must be obtained to operate a dispensary, Turner's business plan stated. Cannabis must only be used or consumed in private and with the property owner's permission. There is a ban on smoking marijuana in and around public places like schools, markets, churches, etc. Currently, more than 30 states have legalized marijuana in some capacity. Several others have legislation pending. "It is our word to maintain a safe and secure business for all patrons," the Turners stated in their business plan. "Our goal is to create a low negative impact to the community while creating a high tax revenue for the city. Due to the economic impact of possibly losing one of the largest tax revenue generators for our city, we believe the dispensary would be a perfect fit to help alleviate the detrimental decline." The Turners said they will continue to study the impact cannabis has on communities and to educate the community on the benefits of cannabis. The Euphoria Business Plan also made arguments about the impacts of dispensaries on cities. Their claims include: ·&emsp;Retail cannabis facilities are not positively associated with increased criminality. ·&emsp;Dispensary closures are associated with increases in crime. ·&emsp;Retail cannabis facilities are associated with rising house values. ·&emsp;Real estate impact of cannabis. ·&emsp;Dispensary clientele tend to be older, value access to specific strains of cannabis and tend to require greater quantities of cannabis to treat their therapeutic condition. ·&emsp;The prevalence of cannabis dispensaries is not positively associated with increased teen use. ·&emsp;Cannabis retailers are not selling to minors and their products are not being diverted to the underage market. ·&emsp;Retail cannabis access is associated with reduced opioid consumption by the general public. After Jared Turner gave his brief statement about his desire to bring a cannabis dispensary to the city, Councilwoman Sandy Amara and Councilwoman Rachel Radell-Harris said they were interested in referring the item back to staff and bringing back for a discussion among council. Mayor Alice Dowdin Calvillo said because two council members have asked for the item, it will come back before the council. "I would like there to be a fifth member before anything comes back to staff," Dowdin Calvillo said. "I want to make sure that is clear." The council is in the process accepting applications for a fifth member to the council after former Councilman Daniel Berlant announced his resignation last month.