Pubdate: Thu, 12 Jun 2014
Source: Desert Sun, The (Palm Springs, CA)
Copyright: 2014 The Desert Sun
Contact:  http://www.desertsun.com/
Details: http://www.mapinc.org/media/1112
Note: Does not accept LTEs from outside circulation area.
Author: Reza Gostar

MARIJUANA SHOPS COULD BE LEFT TO CATHEDRAL CITY VOTERS

CATHEDRAL CITY - City Council members were divided Wednesday on 
whether to permit medical marijuana dispensaries to operate in this 
city, but they did agree that the issue should go before voters.

The council directed city staff to draft an ordinance by July for 
council consideration. If approved, the initiative would be placed on 
the November ballot where voters would decide if medical marijuana 
dispensaries will be allowed to operate within city limits.

"I think we should be legalizing dispensaries and I've held that 
opinion from the start," said Councilman Greg Pettis. "We anticipate 
Desert Hot Springs putting it on their council agenda. We can't just 
pretend this is something not happening in the valley."

Highlighting Colorado's marijuana laws as an example, Councilman Sam 
Toles said: "Denver did not fall apart and there was no measurable 
increase in criminal activity."

"I, like my colleague, would favor removing the ban and allowing 
dispensaries to operate as they do in Palm Springs," he added.

In 2009, Cathedral City banned medical marijuana dispensaries after 
city attorneys spent several months in court shutting one down that 
opened without a permit down the street from City Hall.

If a measure is approved by voters, Cathedral City would join Palm 
Springs, which is currently the only city in Riverside County that 
permits and taxes medical marijuana dispensaries.

In recent months, Desert Hot Springs City Council voiced unanimous 
support for medical marijuana dispensaries in its city, and directed 
staff to draft an ordinance for future consideration.

But, Desert Hot Springs has yet to return to the issue.

During Wednesday's Cathedral City council study session, Mayor Kathy 
DeRosa said that while she did support the Compassionate Care Act of 
1996, which legalized the use of medical marijuana in California, she 
is not in favor of taxing medicine in order to generate revenues for the city.

Until the federal government, which considers medical marijuana and 
its distribution illegal, takes a stand on the issue, DeRosa said she 
would not back the measure. However, she said, she would be willing 
to place it on the ballot.

Councilman Stan Henry, who retired in 2010 as the city's police 
chief, agreed with DeRosa.

Henry said that while he does not support the legalization of medical 
marijuana, he recognizes the need to take the issue to voters.

"It is a violation of federal law and being in the career that I have 
been in the past several years, I have endorsed several laws that I 
do not agree with," Henry said.

However, Henry said he is "in support of letting the community decide."

Cathedral City staff will look at Palm Springs' model of taxing 
marijuana as a starting point for the ordinance, according to city documents.

Many municipalities across California, such as Oakland, Long Beach, 
Los Angeles and San Francisco have allowed the operation of 
dispensaries and derive revenue from these operations by taxing 
medical marijuana.

In Riverside, voters gathered enough signatures to place an 
initiative on the ballot that would appeal the city's ban on 
marijuana collectives but that measure has since been blocked by the 
city with a lawsuit pending against the Riverside County Registrar's Office.

In Palm Springs, where three collectives are allowed by city law, an 
audit last year found the dispensaries generate about $4.5 million 
annually. And in February, the Palm Springs City Council approved a 
fourth dispensary, which is expected to open as soon as July.

Dispensaries without a permit in Palm Springs must pay a 15 percent 
tax rate and are subject to prosecution under the city's municipal 
code. Previous estimates suggested that Palm Springs could generate 
$450,000 annually for its tax on the three legal marijuana shops 
currently in operation.
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MAP posted-by: Jay Bergstrom