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Los Angeles County officials are just past the halfway mark for the public-comment period on proposed regulations for the Office of Cannabis Management that could bring marijuana retailers to the Santa Clarita Valley.
The new regulatory framework, which also was discussed in a presentation by county officials at the Sept. 18 Castaic Area Town Council meeting, creates a system that could allow permitting of cannabis cultivation, dispensaries and manufacturing in the Santa Clarita Valley’s unincorporated communities.
The framework would not apply to the city of Santa Clarita.
County officials described the regulatory framework as a yearslong process that began in June 2018, and will be financed by Measure C, a tax on cannabis businesses in unincorporated areas that 60% of voters passed in November 2022.
SCV residents shouldn’t expect to see a proliferation of the locations a la the northern San Fernando Valley area based on previously approved regulations.
A February 2022 motion by county supervisors looked at the potential for a total of 90 permits, including 25 each for cannabis retail and delivery — which would be for all five districts in Los Angeles County. The other 40 permits would be 10 each for distribution, testing, manufacturing and cultivation, according to a fact sheet for the program.
Castaic Area Town Council President Bob Lewis said the council did not take an official position on the ordinance.
“My feeling is that the county if going to set up a set of regulations, that doesn’t mean that each community is going to have a cannabis store,” he said, speaking as a Castaic resident.
His understanding of the measure as currently proposed is that there would be five for the 5th District, which includes the SCV, and that each would be treated similarly to a conditional use permit, which the town council reviews as an advisory group to the Board of Supervisors.
“Community input and participation is critical in finalizing the Commercial Cannabis Business Permit Program for unincorporated Los Angeles County,” according to a fact sheet created for the program, which has a 45-day comment period ending Nov. 15.
In response to a request for information about the meeting, Helen Chavez, communications director for 5th District L.A. County Supervisor Kathryn Barger, wrote in an email that Barger’s “support of the development of legal cannabis has been with the intent of allowing the county to have a framework that regulates cannabis operations.” Chavez noted that the program was voter-approved, while highlighting the supervisor’s concerns with it.
“One concern for Supervisor Barger has been the prevalence of illegal cannabis operators, who do not adhere to safety or land-use regulations,” Chavez wrote. “While the approved tax gives the county a tax framework for legal operations, it also provides tools to address these operators who the county could pursue action against for tax evasion. Some have misinterpreted this tax being applicable to illegal operators as permitting illegal operations, which is not the case.”
Barger also said the state has limited funding available for local enforcement, but the state’s Department of Cannabis Control indicated funds will be available to jurisdictions with established legal frameworks, which was another justification given.
Measure C imposes taxes on marijuana businesses in the unincorporated areas of the county. These taxes include $10 per square foot for cultivation, a 6% tax on gross retail receipts, a 2% tax on gross receipts for testing facilities, a 3% tax on gross distribution receipts, and a 4% tax on manufacturing and other cannabis-related businesses.
County economists expect the industry could create up to 1,200 full-time retail jobs, paying up to $48 million annually. “Cannabis businesses will also support various ancillary local businesses, fostering broader economic growth,” according to the fact sheet.
Mark Enbody, a Stevenson Ranch resident, attended the county’s lone virtual webinar during the comment period Wednesday and said one of his biggest concerns was what he described as an inadequate buffer zone between the potential licensing areas for dispensaries and schools, churches, etc.
“That’s my main concern to tell you the truth,” he said in a phone interview Thursday. His post on social media, which he said was really about getting people to show up and get involved, had about 4,000 views by the afternoon.
The original buffer zone was 200 feet, and it was changed to 600 feet, but that wasn’t enough, he said. He worried the combination of a cash business, and armed guards could be problematic for those nearby.
Carrie Lujan, spokeswoman for the city of Santa Clarita, said the city would have no comment at this time.
Those looking for more information or wishing to give feedback can contact [email protected] or visit cannabis.lacounty.gov.
A few of the highlights in the program:
— Retail storefronts permitted in C-2, C-3 and light manufacturing zones.
— Establishes a 600-foot buffer from all youth-oriented uses (K-12 schools, day cares, parks and libraries) and within 500 feet of an existing retail storefront cannabis businesses.
— The permits are good for one year, and no more than five may be issued in any one district.
— Applicants for new permits or renewals will be required to host a community meeting prior to receiving their permit.
— Limited-access areas must have sign-in/sign-out procedures for all individuals, with records maintained for 90 days.
— Only individuals 21 and over, qualified patients, and primary caregivers are allowed on premises.
— Premises must have a digital video surveillance system recording 24/7, with footage stored for 90 days.
— Retailers must hire licensed security personnel for onsite security during business hours.
— No sales to persons under 21 years of age, except with a valid medical card. No sales of tobacco, alcohol, or food are allowed.