Judge Orders Confiscated Property to be Returned

By Ron Crumpton

FERNDALE, Michigan – A judge has ordered the return of records and computers seized by the Oakland County Sheriff's Office in the county’s largest assault on medical marijuana dispensaries.

On August 25, the Oakland County Sheriff's Office raided two dispensaries and several private residents.

 Nicholas Agro and Ryan Richmond, both investors with Clinical Relief dispensary in Ferndale, were represented by Neil Rockind who argued yesterday for the return of the items taken by narcotics officers during the raid.

"The Sheriff's Department seized a laptop computer, carrying cases, some paperwork and rental property keys that my client (Richmond) wants back entirely," Rockind said.

According to Rockind, Richmond, who is also in commercial real estate, had several items take from his home that had nothing to do with operations at Clinical Relief.

"He has other business and personal interests,” stated Rockind. “His laptop computer contains information he needs to live his life while this case is going on."

In addition to the personal property taken in the raid, the Sheriff’s Department also seized the records of four patients of Clinical Relief. State privacy laws protect those records.

Attorneys Rockind and Amy Bowen-Krane reached an agreement with the Oakland County Prosecutors office on Thursday to provide copies of some items and return others.

Preliminary examinations in the case begin November 3, for the nine defendants who are charged with illegally growing and selling marijuana.

Oakland Doubles Marijuana Dispensaries and Fees

Coffeeshop Blue Sky in Oakland

By Ron Crumpton

For six years, the city Oakland had limited the number of medical marijuana dispensaries to four, but last night, the Oakland Public Safety Committee voted unanimously to double that number to eight.

The bad news for dispensary owners, as well as those who wish to become one, is that the annual fees paid by the dispensaries to the city will also double from $30,000 to $60,000.  Along with the increase in annual rates, the new dispensaries would also have to pay a $5000 application fee.

According to the committee, the increase in fees, “realistically represents the cost of regulating the eight dispensaries.” The new application fee would go to pay for the costs the city incurs with these new businesses; the fee would pay for background checks and the review of security, business and building plans.

                    

Next month, if voters approve Measure V, the supplemental sales tax rate paid by medical marijuana clubs will increase from 1.8 percent to 5 percent. This would bring their total sales tax to 12.45 percent as opposed to the 9.25 percent that other Oakland businesses are required to pay.

The City has estimated that this would increase its revenue by $1.4 million. This estimate was based on the original regulation that limited the city to four dispensaries.

In 2009, the four dispensaries reported a 40 percent increase, $28 million, in sales over 2008, but it could have been much more.

Currently one of the four clubs has been shuttered by the city. Of the three remaining, one is on the waterfront and the other two are in the Oaksterdam section of Oakland. There are currently no dispensaries in the North, West or East Oakland.

This costs the city millions in taxes! Many Oakland residents find it easier to go to dispensaries outside of the city limits because they are closer and easier to access than the three dispensaries in the city.  The increase in dispensaries, if more spread out, would allow greater convenience to Oakland patients, and it would mean more taxes finding their way into city coffers.

Councilmember Nancy Nadel said she would even support 12 dispensaries, based on the number of patients in Oakland.

Isn’t it nice to see a city taking positive steps in their medical marijuana program? The question is, what are these new taxes and fees going to mean for patients?

Grand Junction Colorado Says No to Dispensaries

By Ron Crumpton

GRAND JUNCTION, COLORADO – On Monday Night,  the Grand Junction City Council voted 6-1 to approve a ban on dispensaries and all commercial sales of marijuana within city limits.

The six members of the council, who voted in favor of the ban, stated that their two main reasons were that Colorado law fails to regulate dispensaries effectively, and that amendment 20 – the initiative approved by voters legalizing medical marijuana – never intended for dispensaries to exist.

G.J.'s only voice of reason, Mayor Teresa Coons

“This isn’t an emotional issue. We’ve prepared for this,” said Cat Coughran, who represents 17 of Grand Junction’s 23 dispensaries through the nonprofit group Mesa County Constitution Advocates. “This outcome is not a shock to us.”

Of the 60 or more present at the meeting, most were there to oppose the ban. They believe that the ban causes more problems than it solves because closing dispensaries does not limit people’s ability to grow marijuana, it only prevents patients from purchasing it in a safe environment.

There were a few who spoke in favor of the ban. One resident argued that of the 2000 patients in Mesa County, not all suffered from terminal illness, which is not a requirement of Amendment 20. Another was convinced that dispensaries increased availability to children.

Mayor Teresa Coons and other members stated that if several issues were resolved on the state level, there would be room to revisit the dispensary issue in the future.

The ban requires dispensaries to close their doors by January 1, 2010, but the Grand Junction Sentinel reports that dispensaries are prepared to fight the measure. They plan to petition the council to reconsider and they could push for the issue to be put to voters or challenge the ban in court.

Mayor Coons vote was the only vote against the ban.

“I am concerned that we’ve taken the prohibition approach,” she proclaimed. “I don’t think it worked in the past and I’m not sure it will in the future.”

The City of Los Angeles Attempts to Close 129 Dispensaries

Los Angeles – In an effort to close down 129 medical marijuana dispensaries, the Los Angeles city attorney’s office has asked a judge to support a new city ordinance that would close those facilities.

According to the ordinance, dispensaries are not allowed to operate within 1000 feet of schools, parks, and “other meeting sites.” Medical marijuana advocates claim ordinance is so badly written that any street corner could be considered a “meeting place.”

In addition, the dispensary’s owners will have to face a heap of additional background checks, and must have their medicines tested by an independent laboratory.

The city clerk’s office has determined that only 41 dispensaries would comply with the city’s interpretation.

"They're going beyond a strict interpretation of the ordinance and doing anything they can to figure out how they can disqualify them. This is not what the city council intended. The city attorney wants to shut everyone down ," said James Shaw, of the Union of Medical Marijuana Patients.

Out of the 400 facilities ordered to close down in June when the ordinance passed, about 30 have filed their cases challenging the city clerk’s office interpretation of the ordinance.

Supporters say that the city of Los Angeles is simply trying to subvert the rights that the state constitution grants them.