cannabisnews.com: City Cannabis Clubs Forced To Compete





City Cannabis Clubs Forced To Compete
Posted by CN Staff on April 18, 2004 at 09:09:27 PT
By Laura Counts, Staff Writer
Source: Oakland Tribune 
Oakland -- United by the risk of a federal bust and a zealous conviction that they are helping ill people, medical marijuana purveyors have always maintained a certain level of community, watching each other's backs. Now, new city rules are forcing Oakland's cannabis clubs to compete with each other for survival. Beginning in June, the city will limit the number of marijuana outlets to four. This week, operators of seven existing dispensaries, as well as one newcomer called Canna Bilistic RX, will make their cases to the City Manager's Office to stay in operation.
The city will issue business permits to up to four that make the cut, while the others will be shut down. Larry Carroll of the City Manager's Office has scheduled hearings on Monday, Wednesday and Thursday. Decisions won't be made for several more weeks, he said, pending results of the full building, plumbing, electrical, mechanical, fire and health inspections, which are still being scheduled. Dispensary operators say they are on edge. They congregated in Oakland because of its liberal policy toward medical pot, but now they are fearful the businesses they have invested in will be forced to shut down. Mark Belote of the Lemon Drop Cafe, a cozy coffee shop with a dispensary downstairs, said he is nervous. The 2-year-old cafe was hoping to expand to add a cabaret space. "We put our hearts and souls into this place," he said. "I want to play by the rules, so we've been upfront about everything. I'm hoping for the best." To a certain extent, medical marijuana advocates welcome Oakland's new process as a further step on the road to legitimacy. Though California voters legalized medical cannabis in 1996, the federal government still considers it an illegal drug with no medical purpose and continues to prosecute those who distribute it. Medical cannabis advocates have won some important legal victories recently and a new state law attempts new regulations to the broadly worded Proposition 215. Neighboring cities have taken varying approaches to their dispensaries. Hayward gave permission for three existing cannabis clubs to operate -- though one is being shut down following the owner's arrest -- and Berkeley has four clubs that police each other. But neither city has issued business permits or regulated the clubs to the same extent that Oakland is doing now. "The city of Oakland is now our co-conspirator. (The federal government) can't bust us without busting the city of Oakland," said Richard Lee of the Bulldog Cafe, which also has a coffee shop up front and a dispensary in the back. "I'm not as worried about the legal issues anymore, but I think limiting it to four is a very bad idea." Oakland has been at the forefront in its support of medical marijuana, deputizing the Oakland Cannabis Buyers' Cooperative (OCBC) as its official agent in 1998 to protect it from prosecution. That didn't stop the government from shutting the coop's pot operations down, however. The OCBC is still fighting that legal battle, but the city's action sent a signal to the medical cannabis community that Oakland was friendly territory. Some estimates put the number of clubs in the city at 10, though some may be small membership cooperatives, and only seven applied for permits. Most have set up in the triangle between 17th and 19th streets and Telegraph Avenue and Broadway, breathing new life to the downtrodden area. It's become known as Oaksterdam -- to the chagrin of those who believe the nickname hurts the image that they are strictly selling medicine. The clubs sell cannabis in all its forms, from buds to hashish to "keif" -- a concentrate of THC crystals -- as well as brownies, candies, oils and tinctures. Most accept only patients with identification cards issued by the OCBC, though some issue their own cards. Most, if not all, allow smoking and other consumption of pot on site, but that too will change under the new city rules, which prohibit it. The operators argue the marketplace should determine the number of dispensaries in town. They also worry that whittling down the number, and making those that have tried to keep a low profile go through a public process, will make them targets for robberies. Some clubs already have security cameras and at least one has bulletproof glass. One club was recently hit by an armed robbery. In their business permit applications, the dispensaries had to lay out their operating plans, products, prices and number of patients. They paid a $644 fee that includes the building inspections. Those who receive permits will have to pay hefty annual fees of $5,000 to $20,000 to pay for the cost of city monitoring. The hearings will take place at City Hall from 10 a.m. to 1 p.m. Monday in Hearing Room 3; 10 a.m. to 1 p.m. Wednesday in Hearing Room 4; and 10 a.m. to noon Thursday in Hearing Room 3.Note: Oakland plans to authorize only four of seven medical marijuana vendors.Source: Oakland Tribune (CA)Author: Laura Counts, Staff WriterPublished: Sunday, April 18, 2004 Copyright: 2004 MediaNews Group, Inc. Contact: triblet angnewspapers.com Website: http://www.oaklandtribune.com/Related Articles & Web Sites:OCBChttp://www.rxcbc.org/Medicinal Cannabis Research Linkshttp://freedomtoexhale.com/research.htmPot Clubs Worry City May Impose Regulations http://cannabisnews.com/news/thread18291.shtmlCouncil Looks To Trim Number of Pot Clubshttp://cannabisnews.com/news/thread18215.shtmlCompeting Cannabis Clubshttp://cannabisnews.com/news/thread17686.shtml
Home Comment Email Register Recent Comments Help




Comment #3 posted by Dr Ganj on April 19, 2004 at 23:14:39 PT
Only four?
I don't see the city of San Francisco limiting their cannabis clubs. This is a bad move by the Oakland city council, as these clubs helped the downtown area. 
Only four clubs for the city the size of Oakland? What are they thinking?
[ Post Comment ]


Comment #2 posted by Rev Jonathan Adler on April 18, 2004 at 16:03:20 PT:
Local Jurisdiction controlling Medical Policy!
This is refreshing. Finally local jurisdictions standing up for state's rights and supporting legal medical marijuana distribution. We in Hawaii have religious protection associated with our healing ministry, which met federal standards in court. At our legislature we now have HCR152 past both House Health and Judiciary committes successfully. Our plan to distribute legally through our state's legislative process is supported by our 9th Circuit Court precedents also. Our "ice treatment" proposal won on principle.It is time to set up an agreeable system.
I CHALLENGE OUR HAWAII COUNTY COUNCIL, TO ACT SWIFTLY TO
IMPLEMENT STANDARDS REGARDING LEGAL DISTRIBUTION HERE IN HAWAII COUNTY! NOW! Call 808-961-8225 to speak to him.
I submitted a "RELIGIOUS RECOGNITION AMENDMENT" for review last week to Dr. Fred Holschuh, our councilman for Hamakua District. He is a physician and a good public servant. 
Let each member of our council read this and act in unison to reflect the great example being set in other respected cities in this free America we think we live in. Isn't that what freedom is about? Acting for public benefit first?
Hawaii Medical Marijuana Institute
[ Post Comment ]


Comment #1 posted by Sam Adams on April 18, 2004 at 14:41:09 PT
Human nature
It's so easy to forget what people are really like in our government/corporate dominated society. In the absence of tyranny, the flower of humanity can bloom.As soon as the mantle of tyranny & crippling tax laws is lifted, people come up with all sorts of nifty and creative ideas for entertainment, culture, music, art, and business.  For instance, a club where sick people could hang out, take their medicine, and watch cabaret.The other end of the spectrum, which we are currently hurtling towards at maximum warp, is a boring, staid lanscape of Gaps and McDonalds, with servile people in ugly uniforms.  No fun! 
[ Post Comment ]


Post Comment