Cities eye more pot dispensary licenses

Medical marijuana dispensaries are still months away from opening in Southern Nevada and local government officials are already trying to get licenses for more of the expected big-money makers.

Las Vegas, North Las Vegas, Henderson and unincorporated Clark County are each in line to collect thousands — if not hundreds of thousands — of dollars in application, business and license fees from pot shops.

That's doesn't include the fees from medical pot growhouses, production facilities and testing centers, or the sums municipalities will get from each of those establishments in local property and state-administered sales taxes.

All of which could help explain why the past month has seen officials in both Las Vegas and Henderson ask about acquiring at least one of eight additional pot shop certificates headed to the county under Senate Bill 276.

That legislation split up 11 dispensary licenses that would have gone unused in rural counties and cities that took a pass on the green rush. Most went to Clark County, one license each went to unincorporated Washoe County, Reno and Sparks.

Las Vegas City Manager Betsy Fretwell cited the bill in a letter sent to the county in late July, explaining it was her city's understanding that the County Commission "may entertain requests" for the new licenses.

She said she got the idea from Henderson City Attorney Josh Reid, who penned a similar inquiry only a few weeks earlier. A Henderson spokesman said the city only pursued a license because it had been erroneously shorted one by state regulators — a mistake since amended by a District Court judge. He said Henderson "no longer plans to pursue" additional dispensaries from the county.

Reached for comment Tuesday, North Las Vegas Community Development Director Greg Blackburn said his city would consider making a request for one of those licenses.

A day later, Las Vegas leaders voted to formalize Fretwell's July 22 overture, directing staff to draft a letter asking the county for half of its eight new pot shops.

That despite Clark County's view that it's too early to even consider the possibility of divvying up extra licenses.

Leaders there are still wading through a messy, monthslong dispute with dispensary owners and Nevada regulators over provisional pot business licenses they approved weeks before the state signed off on its half of a two-tiered medical marijuana approval process.

It will be another month before county commissioners reconsider eight dispensary applicants rejected by the county and subsequently approved by the state Division of Public and Behavioral Health. Only 10 dispensary applicants have gained needed approvals from both jurisdictions to set up shop, even though the law allows up to 18 dispensaries in unincorporated parts of the county.

Until that matter is settled, County Commission Chairman Steve Sisolak figures there's no point in considering city requests for more licenses.

He's not sure county leaders could give away those dispensaries if they wanted to.

"I talked to the (district attorney's office) and they don't even know if it's allowable," Sisolak said. "All we can do is wait and see."

Longtime medical marijuana advocate and Las Vegas City Councilman Bob Coffin, who uses the drug to help relieve pain, said cities have a legal right to seek the pot shop certificates, if not necessarily a right to take them.

"I don't know if they're required to (give away licenses), but they may not have the demand," he said. "My main concern is that we open the (dispensaries) we have."

Besides, he added, it never hurts to ask.

Review-Journal writer Eric Hartley contributed to this report. Contact James DeHaven at jdehaven@reviewjournal.com or 702-477-3839. Find him on Twitter: @JamesDeHaven.