Three people were arrested on drug charges Tuesday afternoon at the Budget Inn on Olive Street in San Luis Obispo.

The San Luis Obispo County Sheriff’s Office received a tip about a narcotics operation being conducted at the motel. At about 2:45 p.m., investigators contacted several people in one of the motel rooms and found about six ounces of heroin, a small amount of methamphetamine and drug paraphernalia.

Three people were arrested. Lance Anthony Lodolo, 30, of Morro Bay, was arrested on suspicion of possessing heroin for sale and committing a felony while out on felony bail. A 36-year-old man from Morro Bay and a 33-year-old woman from Los Osos were arrested on suspicion of being under the influence of a controlled substance, a misdemeanor.

Among the items of evidence seized were $1,700 in cash, a digital scale, a meth pipe and a samurai sword. The street value of the heroin is estimated to be $9,000, according to the Sheriff's Office.