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City Council extends ban on new retail cannabis dispensary licenses, allows limited relocations
Summary
The Missoula City Council unanimously adopted an ordinance July 6 extending the temporary prohibition on new adult-use retail cannabis dispensary business licenses and allowing existing dispensaries to relocate if the new location complies with Title 22 and building codes. Staff said the change aligns the city with the state moratorium through July 1, 2027, while giving time to finish local zoning updates.
Missoula City Council on July 6 unanimously adopted an ordinance extending the city's temporary prohibition on issuing new business licenses for adult-use retail cannabis dispensaries while permitting existing licensed dispensaries to relocate to compliant locations.
Maggie McCarthy, permit and business licensing manager for the city's Community Planning, Development, and Innovation (CPDI) department, presented the staff recommendation, saying the proposal "does not open the door for new dispensary licenses or additional dispensary locations" but would allow current licensees to move if the new site meets Title 22 requirements and building codes. McCarthy said the extension aligns the city's timeline with the State of Montana moratorium on new cannabis licenses, which, as presented, extends through July 1, 2027.
Council debate focused on public-health and zoning rationales for the pause. Councilor Jones, who moved the ordinance, said the policy's original impetus two years earlier stemmed from concern about impacts on youth and emergency-room visits: "The big focus was on the impact to youth in our city," Jones said, noting medical-community concerns about severe cannabis-related effects among people younger than 18. Councilor Sherrill said slowing growth gives the city time to create local regulations and zoning standards; Councilor McCoy said regulation should balance health, safety and economic impacts.
During the public hearing the council heard from Matt Larson (Ward 3), who said Missoula already has a high per-capita concentration of dispensaries and urged the city to consider broader enforcement and social-service implications, citing traffic and enforcement concerns and asking for follow-up reporting by the mayor's office and city attorney where appropriate.
Claire Trimble conducted a roll-call vote; listed council members voted yes and the ordinance passed unanimously.
The ordinance as presented will keep the city's prohibition in place while staff and council continue review of Title 22 zoning standards and the uniform development code project. The council did not schedule additional action tonight; staff recommended continuing regulatory review to guide any future policy changes.
