Crescent City council adopts ordinance tightening commercial cannabis rules

Crescent City’s council on Jan. 7 adopted an amendment to Municipal Code Chapter 17.95 that tightens rules for commercial cannabis businesses in the city.

City staff said the ordinance limits storefront cannabis retailers inside city limits to five and prohibits issuance of any additional indoor cultivation operations. It requires permit holders to maintain a $15,000 surety bond, pay all applicable license and permit fees when due, and open their storefront within 24 months of receiving a permit. Staff told the council that any permittee that closes its doors for 60 or more days would be deemed to have surrendered its permit. The ordinance also adds enforcement options through the planning commission, including suspension or revocation procedures that provide permittees with due‑process safeguards.

"This is an ordinance that will be amending Chapter 17.95 of the municipal code governing commercial cannabis regulations," a city staff member said while summarizing the proposed changes, including the retailer cap, cultivation restrictions and permit conditions.

During council discussion, one council member cautioned that limiting storefronts could create a protectionist effect by preventing new competitors from entering the market. "I’d caution against protectionism… those people can kinda sit back on their laurels," the council member said while voting for the ordinance on the grounds that the amendments increase accountability.

No members of the public spoke in opposition during the hearing; one member of the public urged the council to approve the amendment to move the matter forward.

The council moved to waive full reading, read the ordinance by title and adopt Ordinance No. 860. A roll‑call vote recorded a majority in favor and the ordinance was adopted.