Board upholds Waterfall Wellness provisional dispensary permit amid ownership dispute

The Board of Appeals on Jan. 14 voted 4–0 to uphold a provisional medical cannabis dispensary permit issued by the Department of Public Health to Waterfall Wellness Cooperative Inc. Appellant Gregory Shepp argued the application was incomplete and that control of the cooperative (and the underlying permit) was in dispute—he asked the board to reverse DPH’s decision and restore his prior permit rights.

DPH and the cooperative’s counsel said the application was accepted in the cooperative’s name, DPH performed live‑scan background checks on responsible individuals and the department analyzed whether Daniel Mendez (identified in DPH’s record) presented any disqualifying issues. DPH attorney Alita Van Ronkel told the board the director’s hearing considered Tierra Mitchell and Daniel Mendez as responsible individuals and that DPH received substantial public comment in support of the cooperative. Counsel for the cooperative said documentary evidence shows Mr. Shepp had resigned from the cooperative board in 2012 and argued the appeal raises private‑party disputes better resolved in court.

Members of the public — including patients and local advocates — urged the board to let the dispensary continue operating, citing the cooperative’s compassion program and patient services. After discussion the board concluded DPH followed its procedures and upheld issuance of the provisional permit; the board declined to resolve private ownership litigation in this administrative proceeding.