Trending Cannabis Discussion in San Mateo County
- The Peninsula has been slow to permit commercial cannabis operations compared to neighboring areas, and discussions have taken place in several City Council meetings. South San Francisco council gave the go-ahead for further research, while Belmont approved a pilot program for up to three commercial cannabis businesses. San Bruno approved a storefront location expected to open early next year.
- While revenue generation is typically a motivation, it’s predicted that dispensaries would initially generate about $200,000 annually per store, and costs for effective implementation could potentially be equally high. The main draw for commercial cannabis, as noted by South San Francisco councilmember James Coleman, is to help diminish the black or “gray” market, ensuring the product is safe and regulated.
- Opposition to commercial cannabis operations usually relates to concerns about youth consumption. The success of a city’s commercial cannabis program will depend on community education on regulations and the businesses selected during initial stages. Physical stores could also have negative impacts, with a National Institute of Health study suggesting that recreational dispensaries within 2 miles of a person’s home are associated with more cannabis use and lower risk perceptions.
San Mateo County Considering More Commercial Cannabis Operations
Compared to its Bay Area neighbors, The Peninsula has been slow to permit commercial cannabis operations. However, recent chats among several city councils suggest an increased desire for more dispensaries. Currently, only a few cities in San Mateo County like Pacifica, Daly City, and Redwood City permit storefront cannabis businesses. But discussions have recently taken place at city council meetings in San Mateo, South San Francisco, and Belmont.
Though San Mateo delayed the issue, South City’s council has instructed staff to conduct more research on the impact of storefront permits. Last month, Belmont approved a pilot program to allow up to three commercial cannabis businesses on a specific stretch of South El Camino Real. Also, San Bruno in August approved a storefront location on El Camino Real, expected to open early 2022.
Initial revenue from dispensaries is estimated at $200,000 annually per store. South San Francisco Mayor Flor Nicolas expressed the potential costs of effective implementation could near the same amount or more than the possible generated revenue.
The Redwood City fee study revealed the application process for one cannabis business’ permit required nearly 90 hours of staff time and cost over $22,000. South San Francisco councilmember James Coleman believes that allowing commercial cannabis could help reduce the black or “gray” market.
Permitting more dispensaries in an attempt to minimize illegal activity and crime is a complex issue in San Mateo County. Cannabis-related crimes have been noticed in neighboring cities, largely due to deliveries. Multiple instances of robbery have involved cannabis delivery employees and customers, presenting potential challenges for cannabis operations.
Belmont police Capt. Andrew Armando, however, stated that the city’s crime data doesn’t show cause for serious concern regarding the proposed pilot. Community education on regulations and careful selection of businesses will heavily determine the success of a city’s commercial cannabis program, according to Devon Wardlow, spokeswoman for Embarc, Redwood City’s first cannabis retail store.
County residents 21 and older can still place marijuana deliveries. Yet, those with commercial cannabis restrictions must buy their products from businesses located outside their city.
Studies have shown that the presence of physical stores can increase cannabis use and alter risk perceptions. San Mateo County has been more cautious in embracing retail cannabis stores compared to its neighbors. However, officials believe that the county can learn from experiences in San Francisco, East Bay, and South Bay.
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