MI: Kalamazoo Township Sets 2018 Date For Medical Marijuana Businesses

Ron Strider

Well-Known Member
Kalamazoo Township will let zoning and economic forces determine how many medical marijuana facilities can open in its jurisdiction.

The Kalamazoo Township Board of Trustees voted 6-1 to adopt a medical marijuana ordinance Monday, Nov. 27. The ordinances allows entrepreneurs to open state-licensed medical marijuana facilities after March 1, 2018.

On that date, the township clerk's office will begin authorizing facilities to open. Supervisor Dexter Mitchell said it's possible that authorization could come in the same day, if the applicant is properly vetted by the state, pays an annual $5,000 fee to cover administrative and enforcement costs, and is located in the proper zoning district.

An entrepreneur must have the green light from the township and the state's Department of Licensing and Regulatory Affairs. Entrepreneurs can apply to operate one of five types of facilities on Dec. 15, and LARA will begin giving out 1-year renewable licenses during the first quarter of 2018.

The ordinance passed Monday allows for an unlimited number of medical marijuana facilities, including growers, processors, safety compliance facilities, provisioning centers and secure transporters.

It does not designate which zoning requirements apply to the facilities. Between now and March, the Planning Commission will work to pass a zoning ordinance amendment that defines where medical marijuana facilities can open.

"We're going to be making sure our regulations are set and ready," Mitchell said. "Kalamazoo Township has opted in (to medical marijuana). The hard part of is (we) have not finished all of the details."

Conditional approval would have been granted by the township on Dec. 1 under an earlier version of the ordinance. Mitchell said it's important for Kalamazoo Township to protect itself and sort out its zoning rules first.

Township officials expressed interest in creating buffer zones that would prevent facilities from opening near schools, places of worship and possibly neighborhoods.

Licenses for growers are split among three classes. Class A growers can have up to 500 marijuana plants, Class B growers have up to 1,000 and Class C growers have up to 1,500 marijuana plants.

A grower license does not authorize the grower to operate in an area unless the area is zoned for industrial or agricultural uses, under state law. Kalamazoo Township does not have land zoned for agricultural uses, but does have light or general industrial zones.

Secure transporter licenses allow the storage and transport of marijuana and money associated with the purchase or sale of marijuana. Transporters move these items between marijuana facilities.

Each driver needs a chauffer's and driver's license issued by the state. Vehicles operate with a two-person crew, with one person remaining in the unmarked car at all times.

A route plan and manifest is entered into a statewide tracking system. Law enforcement officers can also inspect the vehicle at any time.

Owners of a secure transporter business are not allowed to be involved with any of the other types of facilities. Mitchell said its likely that secure transport vehicles will be stored in warehouse environments in commerical or industrial zones.

Processors refine marijuana from a grower into concentrates and cannabis-infused edibles to be sold to a provisioning center.

Safety compliance facilities test samples of medicinal cannabis to make sure dispensaries, caregivers, and home growers are providing patients with a safe and properly dosed product.

They test for contaminants and the type of cannabinoids and determine whether marijuana complies with standards established by the state. Safety compliance facilities must be accredited and have staff with advanced degrees in medical or laboratory science.

Provisioning centers take marijuana products from growers and processors and sell them to patients. They are only allowed to sell to a registered patient.

Mitchell said he receives at least one phone call about medical marijuana a day. Since news reports have been published about the township's decision-making process, more calls have been coming in.

In Kalamazoo County, there were 4,081 patients and 758 caregivers in 2016.

At a Nov. 13 meeting, several people expressed interest in opening medical marijuana businesses. Former Kalamazoo County Board Chair John Taylor said this is an opportunity for new jobs, increased property values, and allows people to know their medical products are safely tested.

Mitchell said overall, stakeholders are happy the township will allow medical marijuana, but are less pleased about the 2018 application date.

"I would rather we take our time and get it right than rush into it and get it wrong," Mitchell said.

The township will not restrict medical marijuana facilities, he said, just like it doesn't set a limit on the number of Walgreens or Wal-Mart pharmacies. Mitchell said he doesn't want the township to get in the business of picking winners and losers.

Mitchell said the free market, township zoning requirements and the state will determine how many licenses are granted to medical marijuana businesses. It will be up to the applicant to determine if their business plan is tenable, Mitchell said.

Trustee Steven Leuty expressed support for allowing patients to have regulated access to medical marijuana, but is cautious of how the process remains in flux. He questioned if adopting the ordinance at this time is in the best interest for the township, and was the lone dissenting vote.

Decision changes made by LARA caused the city of Kalamazoo to postpone its consideration of medical marijuana ordinances.

An authorized medical marijuana facility must also give consent be inspected by township officials or the County Sheriff's Department, upon reasonable notice, to verify compliance with township ordinances.

Ordinance violations are considered a municipal civil infraction, with fines between $100 to $500 for the first offense and $250 to $1,000 for subsequent offenses within a year.

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