ENCINITAS — While four cannabis retailers work to obtain state and local licenses, city officials are preparing to ensure these businesses follow local ordinances once their doors open.
Staff delivered an update on the four businesses to the Encinitas City Council on Feb. 22 at the request of Mayor Tony Kranz.
The four businesses, each selected by lottery, include Siesta Life Encinitas LLC to be located at 1038 S. Coast Highway (next to Trek Bicycle Encinitas); SGI Encinitas AP LLC at 1030 N. Coast Highway (A Little Moore Cafe); Humanity Encinitas 4 Inc. at 583 S. Coast Highway (Hart & Honey), and Ecrencinitas4 LLC at 211 N. El Camino Real (next to Cotixan Mexican Food).
The next steps for the four businesses include obtaining both a commercial retail license from the California Department of Cannabis Control and a city business license.
To earn a city license, the retailers must undergo a building plan check for commercial tenant improvements, obtain building permits, construct improvements and earn a certificate of occupancy.
“Once both the state and city licenses are issued, operations may commence,” said Planner Evan Jednyak.
In addition to standard building plans, the retailers are also required to create an operational plan covering deliveries, operating hours, customer check-in; a neighborhood plan that handles odor mitigation and waste management, and a site security plan that includes an alarm system, cameras and security guards.
Operating hours for retailers can only occur between 7 a.m. and 9 p.m. In terms of signage, the businesses are only allowed to include their name and two colors.
According to Jednyak, currently only one applicant, Ecrencinitas4, has submitted for a city building plan check, and Siesta Life Encinitas has submitted a licensure application with the state Department of Cannabis Control.
While opening dates for the businesses have yet to be determined, members of the City Council want to ensure the city’s program is robust enough beforehand to make sure the businesses comply with city code.
Kranz noted his concerns regarding potential queue buildups as customers wait to be allowed access into the retail shops. Both Kranz and Councilmember Bruce Ehlers were interested in requiring the businesses to build vestibules — or a lobby area — acting as a buffer between access from the outside and into the main retail area. Customers would have their IDs screened and wait for service in the vestibule, rather than outside.
Several members of the public were also concerned about minors potentially accessing cannabis at the new retailers.
Peggy Walker, who works in drug prevention education, said she would like to see minor decoy operations conducted at the retailers once they begin operations.
“It’s a good way to ensure that licensees are working to prevent underage use,” Walker said.
Some were also concerned with the sale of “black market” or unpermitted products in the dispensaries that are not part of the state’s Cannabis Track and Trace system, which follows the movement of cannabis products throughout the state.
“Sales of black market cannabis in these retail facilities should be a one strike you’re out kind of thing,” Kranz said. “We cannot tolerate that particular violation of their permit.”
Measure H gives the city discretion to either revoke or suspend a business license, though staff would still need to consult with the city attorney on what is allowable.
All of the businesses must be at least 1,000 feet away from schools, playgrounds, daycares and other cannabis retailers including each other.
