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Board denies petition to expand outdoor tier‑2 cannabis canopy to 30,000 sq ft
Summary
The board accepted the director's recommendation to deny a petition from Eagle Trees Farm to increase outdoor tier‑2 canopy from 10,000 to 30,000 sq ft, citing market oversupply, available tier‑3 licensing, lack of data distinguishing outdoor vs. indoor growers, and agency resource constraints.
The Washington State Liquor and Cannabis Board on July 1 voted 3‑0 to deny a petition asking the agency to amend WAC 314‑55‑075 to allow tier‑2 outdoor cannabis producers to expand canopy from 10,000 to 30,000 square feet.
Daniel Jacobs, presenting the director's office recommendation, said the petitioners — identified in the filing as Jessica Strait and Kenny Ingebrigtsen on behalf of Eagle Trees Farm — argued the change was justified because of past tier increases, environmental differences between indoor and outdoor growing, floor plan approvals and a prior declaratory‑order denial. Jacobs responded that the JLARC and Whitney Economics reports indicate Washington has more than enough canopy capacity to meet retail demand and that expanding allowable tier‑2 canopy would substantially increase theoretical total canopy. He noted petitioners could pursue a tier‑3 license via existing licensing pathways and that the agency lacks reliable data to classify growers as indoor versus outdoor. "As such, the director's office is recommending that we deny this petition for rulemaking submitted on May 5 ... because it's not needed for the cannabis market in Washington at this time," Jacobs told the board.
Board member Holmes disclosed receiving stakeholder comments during caucus but said it did not change her support for denying the petition. Pete moved to accept the director's recommendation to deny the petition, Ali seconded, and Chair Volendroff concurred; the motion passed unanimously, 3‑0.
