Pubdate: Thu, 23 May 2013
Source: Los Angeles Times (CA)
Copyright: 2013 Los Angeles Times
Contact:  http://www.latimes.com/
Details: http://www.mapinc.org/media/248
Author: Kate Linthicum

ENFORCING L.A. POT LAW WON'T BE EASY

Lawsuits and Other Challenges Await Measure Reducing Number of Shops.

Los Angeles voters took regulation of the city's medical marijuana 
shops into their own hands Tuesday, embracing a ballot measure to 
sharply reduce the number of dispensaries in the city.

But as in all things related to pot policy, the future of the new law is hazy.

Under the measure, only 135 dispensaries - those that were operating 
before a failed moratorium in 2007 - will be allowed to stay open. 
But enforcement could prove a monumental challenge as backers of a 
rival measure threaten lawsuits and city lawyers begin the long 
process of identifying all of the city's dispensaries and bringing 
them into compliance.

"Now the city has some work to do," said Steven Lubell, a medical 
marijuana attorney who supported the winning measure.

City officials, who have spent years struggling to regulate pot shops 
with little success, said they didn't know how many dispensaries were 
operating in Los Angeles. A recent police estimate put the number at 
around 700, but others said it could be more than double that. Jane 
Usher, a special assistant city attorney, said once the results of 
Tuesday's election are certified, city lawyers will begin updating 
their database of dispensaries and sending letters to operators 
notifying them of the new law.

Those that opened before the moratorium will be required to be at 
least 600 feet from any school, park or child-care facility and pay 
6% of their gross receipts in taxes. Those that opened after 2007 
will be ordered to close.

Usher acknowledged that some of the now-outlawed dispensaries would 
probably continue to operate. "There will be efforts to fly below the 
radar," she said.

Dispensaries that don't comply with orders to close will be sued, she said.

Adam Bierman, a consultant who helps people open dispensaries, 
predicted that profitable dispensaries will remain open as long as possible.

"Some of them generate a million or two [million] dollars a month," 
Bierman said. "You think those people are just going to pack their 
bags and leave?"

Supporters of a rival ballot initiative, Measure F, which would have 
allowed unlimited dispensaries but would have toughened some 
regulations, also predicted that the pot wars were far from over. 
David Welch, an attorney who backed Measure F, said dispensaries that 
opened after 2007 were considering suing the city on the theory that 
the 2007 cutoff was arbitrary and unfair.

"I think there's going to be a big fight before they all go away," 
said Justin Hartfield, co-founder of WeedMaps, an online social 
network for medical marijuana patients that helps users find the 
nearest dispensary.

Hartfield noted that many of the city's dispensaries rode out 
previous attempts at regulation, including a 2010 city ordinance that 
sought to cap the number of post-moratorium dispensaries at 70 and an 
attempt last year to completely ban shops. "Our guys have been very 
resilient throughout the years," said Hartfield, who also supported Measure F.

Even if the city is eventually successful in shutting down 
dispensaries that opened after 2007, Hatfield said, an underground 
economy could develop. He said that in other cities where 
dispensaries have been limited, marijuana delivery services have 
replaced bricks-and-mortar stores.

Meital Manzuri, an attorney who specializes in medical marijuana law 
and who represented dispensaries that opened after the moratorium, 
said she believed that the new law would withstand legal challenges. 
She cited an appellate court ruling last year that upheld the use of 
the 2007 cutoff included in a previous ordinance. That ordinance 
never went into effect because it was challenged in lawsuits.

Manzuri also cited this month's California Supreme Court ruling that 
cities have the right to ban dispensaries. The ruling sent a message 
to cities that "any sort of regulation they want" is allowed, Manzuri said.

Usher agreed, saying the court rulings have given "credence and 
credibility" to the ordinance approved by voters Tuesday. "The good 
news is not only have the voters spoken with great clarity but the 
courts have," she said.
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MAP posted-by: Jay Bergstrom