Visalia: Cannabis stores approval no slam dunk

-May 19,2022-

Pot dispensaries could boost East Main district

Screen Shot 2022-05-19 at 9.03.26 AMVisalia’s budget finances and east Downton real estate in the micro-brew district of town could be the winners if the Visalia City Council permits cannabis dispensaries in the city. By a 3 to 2 vote this week the Visalia City Council agreed to look at permits for likely multiple cannabis retail stores in the city – what would be a change of heart by the majority on the council.

The five member council turned down the idea last year by 3 to 2 with Phil Cox being the deciding negative vote. Cox passed away and was replaced by Kaweah Health Foundation head Liz Wynn.

Wynn voted in favor, at least for a study of the issue – with Greg Collins and Brian Poochigian voting in favor as well.This week’s vote was preliminary with a full discussion of the issue and policy implications being brought back by city staff in the next few months.

Even then, the plan to allow dispensaries in Visalia is no slam dunk with Wynn suggesting misgivings, adding that as a health professional she has concerns about addiction and pot’s effect on young brains. Still the drug is legal in California and pot deliveries already are happening across the city with no control by the city.

Wynn says she is interested in just how much the city could take in to bolster Visalia finances, cautioning that as more cities offer retail stores there is a growing “saturation” that could mean lower city revenue than expected.

Also she says she wants to hear more from the Visalia Police Department on their take.

Council member Greg Collins who brought the issue to the floor says”we just took the first step” to a change in policy adding that the city would following what is happening in towns all around the area.“Most of the cities around Visalia have implemented amendments to their municipal code to provide dispensaries” Collins noted.

Advocates will have some convincing to do with council member Wynn.

Visalia Police Chief Jason Salazar said the department stands ready to implement the policy they decide on.

“There are some good ordinances out there that Visalia could adopt that have worked elsewhere” he says. As for feedback from police in other towns, Salazar says he has “heard no complaints from law enforcement” where pot stores are legal.

Salazar says it makes sense to allow pot retailers only in certain zones that would keep stores away from residential areas and schools.

City staff will be charged with how to implement a new policy that may include the idea of clustering the dispensaries in Downtown’s eastern blocks where the city’s been busy looking to rejuvenate the former auto district of town with new brew pubs, retail stores and restaurants – with some success.

Just what Visalia decides could be based on the experience of the nearby cities that started in 2017 in Woodlake. Farmersville followed, as did Porterville and Lindsay and coming soon to Tulare with stores also open in Hanford, Lemoore and Coalinga. While some cities have allowed the stores, county governments have said no. One new trend, Lemoore and now Farmersville are allowing” consumption lounges.”

As for the City of Fresno, pot stores have been approved with an expected budget impact of $4.3 million in taxes from cannabis. That number is estimated in a city budget forecast at $8.7 million annually for future years, including Fiscal Year 2023. No stores are open yet.

Tulare has recently approved three new stores with city staffer Traci Myers suggesting income “at about $1.3 million annually to the City from all 3 establishments once up and operational. “

Tiny Woodlake, first out of the gate, has enjoyed $2 million in tax revenue since their pot measure was launched in 2017.

For now there is no estimate of what revenue Visalia could generate.

Statewide, cannabis-related income reached $1.3 billion – up from nearly $400 million in the first year of the law – 2018.

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