Grover Beach could soon be the first city in San Luis Obispo County to tax medical marijuana sales.
The Grover Beach City Council is expected to offer staff direction at its meeting Tuesday night on whether it should pursue a regulatory structure that would allow medical marijuana dispensaries, commercial cultivation, manufacturing of cannabis products, laboratory testing and mobile delivery.
The city will at the same time consider whether it wants to place a measure on the Nov. 8 general election ballot to tax medical marijuana sales.
According to a city staff report, Grover Beach has received four applications that request the city permit medical marijuana-related activities: A company doing business as The Monarch has applied to open a dispensary with indoor cultivation, laboratory testing, manufacturing and mobile deliveries; Beachside Health and Wellness Center and Elite Care have both asked to open dispensaries with mobile deliveries; and Point Bay Distributors has applied to open a medical marijuana manufacturing, distribution and laboratory testing facility.
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4 Number of businesses that have applied to open medical marijuana-related facilities in Grover Beach
The council has previously indicated that it would be open to the idea of allowing dispensaries and commercial cultivation, especially if it could set up a way to tax the products.
Other cities — such as Santa Cruz, San Jose, Palm Springs, Oakland and Sacramento — have passed medical marijuana tax measures, while Santa Barbara and King City voters are expected to consider similar measures in November.
If the council chooses to pursue a tax Tuesday night, it will have to act fast: The deadline to submit the measure to the county for placement on the ballot is Aug. 12, meaning the council would need to approve the measure at its Aug. 1 meeting. Otherwise, the council could choose to put the measure to a vote at the next general election in November 2018.
City Manager Matt Bronson also noted on Thursday that the measure could be opened up to include recreational marijuana, if a statewide recreational marijuana initiative succeeds in November.