Two issues that have been hotly debated by the Benicia City Council in the past year– cannabis laws and the final decision of an emergency demolition permit for two historic buildings– are on the agenda for Tuesday’s meeting.
The council will introduce ordinances to allow personal cultivation and to regulate and allow commercial cannabis uses in Benicia, subject to a use permit and a public safety license. The ordinances to be introduced are Ordinance Chapter 9.60, Ordinance Chapter 17.84 and Ordinance Title 17. Ordinance 9.60 consists of such items as the establishment of regulation, possible suspension and revocation of licenses by Benicia’s police chief, and vesting rights of cannabis. Use permits, licenses required to operate a cannabis business and a process to review, issue and deny permits are some of the sections of Ordinance 17.84. The last ordinance, Ordinance Title 17.84, is split into five sections which are rules for residential cultivation of cannabis and details for the letter of law for the ordinance.
Staff recommends the council introduce the ordinances. If introduced on Tuesday, the ordinances could be adopted at the Feb. 20 meeting and take effect on March 22. If the council changes the ordinances, it will impact Benicia’s budget in three ways, according to a staff report by Community Development Director Shawna Brekke-Read. It will mean city staff must devote more time around cannabis issues and enforcing the regulations would generate a cost to the city, but the changes could also generate an increase to the City’s tax revenues, according to Brekke-Read.
“Staff has been monitoring available information on all aspects of cannabis including taxing mechanisms, and public health experts recommend a tax that allows up to 15 percent for all uses other
than cultivation, and a $10/sq.ft. tax on cultivation,” the community development director wrote. “Under this scenario, the Council could set the initial tax rate at any level between 1 percent and 15 percent, and make adjustments within that range over time depending on our actual experience with cannabis businesses.”
In other business, the council must make a final decision on the emergency demolition permit for the Foundry and Office Buildings at 678 East H St. The two buildings, once the home of the Pacific Mail Steamship Company, have been part of a battle for more than a year over whether or not they should remain standing or should be demolished. At the Jan. 16 meeting, the council heard testimony and considered various options. After the public hearing was finished, the council directed staff to prepare and return with a resolution for approval.
The council has two options: they can grant the appeal and deny the permit or deny the appeal and uphold the permit. Staff recommends the council review and approve one of the proposed resolutions.
The council will also be voting to appoint Diane Dooley to Solano Transporation Authority’s Pedestrian Advisory Committee.
The council will meet at 6 p.m. Tuesday in a closed session to discuss legal matters. The regular meeting will start at 7 in the Council Chambers at City Hall, located at 250 East L St. A live stream of the council meeting can also be found online at ci.benicia.ca.us/agendas.
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Vallejo is in scramble mode to consider adult use activity since a sizable decline in their “M” only activity, and subsequent added tax revenues, has been reported by the eleven organized dispensaries there. They will be meeting the same evening and you can be sure speakers will refer to what Benicia is doing to integrate both markets, not to mention no added tax here. Vallejo also has to consider lowering their added 10% tax to try and regain at least part of the lost consumers going somewhere else now. I predict they will permit storefronts in their downtown as an effort to draw more foot traffic into the area. Ironically, they already have an adults-only book and toy store in their downtown that has been there for decades.
As to the HdL revenue estimates, I believe the numbers are extremely conservative as there in no way other than a WAG to determine how many likely consumers we are going to attract from Napa, the East Bay, and Solano County cities where sales are banned. We will own the market in multiple counties until they come around to flip their bans and the longer that takes, the better for us.
Citizens that have repeatedly asked the City Council not to bring cannabis into Benicia are reminded that state law guarantees adults can cultivate six plants indoors unless allowed outdoors by local jurisdictions. Our draft cultivation rules allow both, so cannabis will be growing all over Benicia soon. It will be in yards and homes around the First Street area, close to schools, parks, etc. It’s as simple as that..
Stan City of Benicia will put a 10% excise and separate sales tax on the ballot. That will give them the opportunity to lower it as they see necessary. I think you will find that Vallejo will use the eleven medical stores to put rec pot in place. They will also zone it. Not quit as you say Stan.