City of Boulder Moratorium/Federal Threat

At last night’s Boulder City Council meeting, the Boulder City Attorney requested a six month moratorium for medical marijuana businesses. On the surface, this sounded like a good idea – keep new businesses from coming in for six months. However, the reality was that the proposed moratorium was intended to prevent existing businesses from bringing on investment, transfer the business to a new owner, expand the existing business or transfer to a new location. With the very real threat of Federal prosecution looming over the industry, the moratorium would prevent medical marijuana businesses from being able to move out of harm’s way.

In response, I drafted a letter to the City Council and, in particular, Councilperson K.C. Becker. I proposed that the moratorium not include existing businesses. Councilperson Becker took the letter and crafted a new ordinance that excluded existing businesses. After several hours of wrangling and heartfelt testimony from myself and several medical marijuana business owners, employees and patients, the City Council adopted the Becker Ordinance, City of Boulder Ordinance Number 7834. The ordinance permits existing businesses to proceed as usual.

In the waning moment of the public hearing, the moratorium was amended, as follows:

1. The moratorium for new businesses was extended until 11/9/12;
2. Existing businesses will be able to move forward with expansion, investment, sale and relocation after 3/8/12; and
3. New fees we added for change of business entity ($2,000), addition of financiers ($2,000), modification of premises ($3,000) and change of business manager ($150).

Finally, approximately 21 medical marijuana centers were identified as being in harm’s way of Federal prosecution. Those centers located within 1000 ft. of licensed day cares, schools (including the University of Colorado) and public housing units are a risk. Accordingly, I suggest that if you, or anyone you know, is within this danger zone the business should immediately obtain a new location before Federal prosecution visits the City of Boulder. I know this is a tough situation, but the prospect of federal prison should be incentive enough.

About Jeff Gard
Jeff Gard is a Colorado lawyer providing practical, affordable legal advice for patients, caregivers, dispensaries and anyone interested in medical marijuana.

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