>>> THANK YOU FOR JOINING THE
FINANCE AND HOUSING COMMITTEE.
WOULD YOU PLEASE CALL THE ROLE?
>> YOU ARE STILL ON MUTE.
>> COUNCILMEMBER HERBOLD?
>> HERE.
>> COUNCILMEMBER PEDERSEN?
>> HERE.
>> COUNCILMEMBER NELSON?
>> PRESENT.
>> COUNCILMEMBER LEWIS?
>> PRESENT.
>> CHAIR, FIVE PRESENT, NON-
ABSENT.
>> WONDERFUL.
THANK YOU VERY MUCH.
COLLEAGUES, THANKS FOR JOINING
US TODAY.
WE HAVE A FULL PANEL
CONVERSATION FOR USK.
A PANEL FROM REPRESENTATIVES
ACROSS THE NATION TO TALK ABOUT
CANNABIS EQUITY POLICIES. THEY
ARE EXCITED TO HEAR FROM THE
LOCAL JURISDICTIONS IN THE
PROCESS THEY WENT THROUGH.
WE WILL HAVE A PRESENTATION
FROM THE FINANCE AND
ADMINISTRATIVE SERVICES
DEPARTMENT, OUR VERY OWN
DEPARTMENT WHO PREVIEWED SOME
OF THE WORK THEY ARE DOING ON
CANNABIS EQUITY AND HOW TO MAKE
SURE THERE ARE GREATER
OPPORTUNITIES FOR SMALL
BUSINESSES, WORKERS, AND WE ARE
LOOKING AT THE POST INITIATIVE
WORLD HOW WE CAN CREATE BETTER
EQUITY ACROSS THE REGION.
I AM EXCITED TO HAVE OUR GUESTS
HERE TODAY.
WE WILL BUILD ON THE COMMITTEE
MEETINGS WE HAD LAST
DISCUSSION.
WE WILL HEAR HOW SEATTLE IS
EADING ON A NUMBER OF ISSUES,
ESPECIALLY WITH THE FINANCE AND
ADMINISTRATIVE SERVICES OFFICE.
WE HAVE A CHANCE TO HEAR
DIRECTLY FROM FOLKS IN THE
COMMUNITY. IN THE UPCOMING
MEETINGS, WE WILL HAVE A CHANCE
TO HEAR FROM ADDITIONAL SMALL
BUSINESS OWNERS AS WELL AS
COMMUNITY MEMBERS.
I WANT TO PAUSE HERE TO MAKE
SURE THAT FOLKS GET A CHANCE TO
LOOK AT THE AGENDA.
IF THERE IS NO OBJECTION,
TODAY'S AGENDA WILL BE ADOPTED.
HEARING NO OBJECTION, TODAY'S
AGENDA WILL BE ADOPTED.
I WANT TO TAKE A PREROGATIVE TO
OFFER A CHANCE FOR DEVIN ALISA
ABDULLAH TO SAY A FEW WORDS TO
WELCOME US BEFORE WE HEAR FROM
PUBLIC COMMENT.
THESE REPRESENTATIVES FROM A
MAYOR HAROLD OFFICE WHO HAVE
EXPRESSED INTEREST IN SHARING
WORDS HERE TODAY AND
ENCOURAGEMENT FOR THE COMMUNITY
AND COMMITTEE AS WE CONSIDER
THIS CONVERSATION.
ICU OFF MUTE.
PLEASE TAKE IT AWAY.
>> I AM DEVIN FROM A MAYOR
HARRELL 'S OFFICE.
HE IS EXCITED TO BE PARTNERING
WITH COUNCILMEMBER MOSQUEDA ON
INCREASING CANNABIS EQUITY IN
OUR CITY AND HOPEFULLY WORK ON
LEGISLATION TO PROVE IT.
>> THANK YOU, COUNCILMEMBER
MOSQUEDA.
I WORK FOR MAYOR HARRELL 'S
OFFICE.
WE ARE EXCITED TO BE HERE TODAY
TO MAKE GREAT LEGISLATIVE
ACTION FOR THE CITY OF SEATTLE.
>> WONDERFUL.
THANK YOU FOR THOSE OPENING
COMMENTS.
WITH THAT, PLEASE LEAD US INTO
THE PUBLIC COMMENT AND
DISCUSSION HERE TODAY.
THEN WE WILL HEAR MORE ON THE
TWO TOPICS AFTER PUBLIC COMMENT.
COLLEAGUES, AT THIS TIME I
WOULD LIKE TO OPEN PUBLIC
COMMENT.
FOR THOSE THAT ARE CALLING IT
FOR THE FIRST TIME, PLEASE NOTE
YOU USE THE SAME NUMBER YOU
REGISTERED WITH TO SIGN UP FOR
PUBLIC COMMENT.
YOU WILL HEAR AN INDICATION
WHEN IT IS YOUR TIME TO SPEAK
THAT YOU HAVE BEEN UNMUTED. YOU
WILL HEAR THAT PHRASE.
THAT IS YOUR INDICATION THAT
YOU NEED TO HIT STAR SIX ON
YOUR OWN MIND TO UNMUTE
YOURSELF AND MAKE SURE YOUR
PHONE IS OFF MUTE.
YOU WILL HAVE TWO MINUTES TO
PROVIDE PUBLIC COMMENT.
WITH THAT, WE WILL JUMP RIGHT
INTO PUBLIC COMMENT.
PLEASE NOTE WHEN YOU ARE DONE
WITH PUBLIC COMMENT, THAT IS
ALSO THE BEST WAY TO CONTINUE
LISTENING IS TO HANG UP AND
DIAL IN ON THE LISTEN IN LINE
OR WATCH ON THE SEATTLE CHANNEL,
WHO IS BROADCASTING LIVE RIGHT
NOW.
THE FIRST SPEAKERS ARE CODY,
LYNN, AND GABRIELLE.
GOOD MORNING, CODY.
YOU HAVE TWO MINUTES.
PLEASE GO AHEAD.
>> HI.
THANK YOU.
HELLO, EVERYONE.
MY NAME IS CODY AND I AM A
BARTENDER AT A SMALL
DISPENSARY.
NINE MONTHS AGO WE OFFICIALLY
BEAME A UNION STORE AND WE ARE
IN THE PROCESS OF BARGAINING
AND NEGOTIATING OUR UNION
CONTRACTS.
MANY OF THE CHALLENGES WE FACE
AS INDUSTRY WORKERS STEM FROM A
LACK OF PROTECTION.
AT A STORE THAT WAS RECENTLY
ROBBED AT GUNPOINT, WE HAVE A
NEED FOR WORKPLACE TRAINING.
FOR EXAMPLE, BY USING CRYPTO
CURRENCY AND BY REQUIRING
SECURE ACCESS ENTRY POINTS, WE
CAN PREVENT VIOLENT ROBBERIES
WITHOUT WASTING MORE MONEY ON
SPD'S OVERINFLATED BUDGET.
OUR CANNABIS INDUSTRY IN
SEATTLE IS FALLING BEHIND AND
WE ARE LONG OVERDUE FOR
CANNABIS EQUITY. WE MUST BE
AWARE OF THE EXTENSIVE LEGACY
OF THE WAR ON DRUGS AND THE WAR
ON CANNABIS IN PARTICULAR IN
PERPETUATING CYCLES OF
INCARCERATION AMONG
PREDOMINATELY BLACK AND BROWN
COMMUNITIES.
THESE DISPARITIES PERSIST TODAY
AND CLEARLY AFFECT THE
DEMOGRAPHIC OUTCOME OF
OWNERSHIP IN THE CANNABIS
INDUSTRY.
NEARLY ALL RETAIL DISPENSARIES
IN SEATTLE ARE OWNED BY WHITE
MEN, WHICH IS A SYMPTOM OF
GENERATION OF INEQUITIES THAT
CULTIVATED IN. THE OWNER HAS
BEEN THREATENING TO CLOSE THE
BUSINESS AND PUT THE PROPERTY
UP FOR SALE.
OUR RIGHTS OF WORKERS ARE
UNDERMINED IF WE AREN'T ABLE TO
STRENGTHEN WORKER PROTECTIONS
IN THE EVENT OF THE BUSINESS
BEING SOLD.
I WILL CONCLUDE MY THOUGHTS BY
URGING LOCAL CANNABIS ACTIVISTS
TO ADDRESS THESE ISSUES AND
CORRECT THE RACIST LEGACY AND
THE WAR ON CANNABIS.
THANK YOU.
>> THANK YOU, CODY.
GOOD MORNING, LYNN.
LYNN WILL BE FOLLOWED BY
GABRIELLE.
>> GOOD MORNING.
MY NAME IS LYNN DOMINGO AND I
AM A REPRESENTATIVE OF SEATTLE.
I AM HERE TO COMMENT ON
SEATTLE'S EQUITY POLICY ON
CANNABIS.
I AM AN ADVOCATE FOR CANNABIS
WHO BELIEVES IN EXPANDING THE
KNOWLEDGE OF MEDICAL MARIJUANA.
I BEGAN USING MARIJUANA, OR
CANNABIS, AS AN ALTERNATIVE TO
PAIN RELIEVERS, ANTI-ANXIETY,
AND OTHER MEDICATIONS.
>> I HAVE ADVOCATED FOR
INCREASED ACCESS TO CANNABIS
FOR SEVERAL YEARS, EVEN BEFORE
THE END OF THE FEDERAL LEVEL AS
WELL.
IT IS IMPORTANT TO END THE
PROHIBITION ON MARIJUANA
BECAUSE IT IS SAFER THAN OPIOIDS
, PAIN RELIEVERS, STREET DRUGS.
AS I COME OFF THE LOSS OF A
KIDNEY, I HAVE CHOSEN NOT TO USE
PAIN MEDS. IN THE WIDER
COMMUNITY, WE HAVE SEEN OTHER
PEOPLE HAVE SUCCESSFULLY BEATEN
AN ADDICTION WITH THE USE OF
OTHER ALTERNATIVES TO PAIN
RELIEVERS.
I CARE ABOUT MY COMMUNITY AND I
CARE ABOUT THE INDUSTRY.
I LIVE IN NORTH SEATTLE AND I'M
HORRIFIED TO HEAR ABOUT THE
RECENT ROBBERIES OF THE
CANNABIS SHOPS.
I SUPPORT SAFER WORKING
CONDITIONS. MUCH OF THE
CANNABIS POLICY IS LEFT OUT OF
THE COMMUNITY OF CALLERS, LIKE
ME.
>> THANK YOU.
>> I AM EXCITED TO BE PART OF
THIS.
THANK YOU.
>> NEXT WILL BE GABRIELLE,
FOLLOWED BY DUSTIN.
GOOD MORNING, GABRIELLE.
>> GOOD MORNING.
CITY COUNCILMEMBERS, I REPRESENT
WORKERS IN THE CANNABIS
COMMUNITY.
10 YEARS AGO, THIS WAS
DISPROPORTIONATELY HARMED.
THE ONES THAT HAVE PROFIT THE
MOST ARE IN THE INDUSTRY.
STORE OWNERS ARE NORMALLY WHITE
MEN AND THE PEOPLE THEY HIRE ARE
BLACK AND INDIGENOUS PEOPLES OF
COLOR.
MOST WORKERS IN THE INDUSTRY DO
NOT MAKE MORE THAN MINIMUM WAGE.
MOST DO NOT HAVE HEALTH
INSURANCE.
BY ENSURING EVERYONE SUCCEEDS
IN THE INDUSTRY, STAKEHOLDERS
HAVE ENGAGED IN A LONG PROCESS
TO COME UP WITH IDEAS FOR ALL
OF THIS WORK CAN BE
ACCOMPLISHED.
WE LOOK FORWARD TO CONTINUING
TO ENGAGE WITH EACH OTHER.
WE NEED TO MOVE FORWARD WITH
URGENCY.
I WOULD LIKE TO LEAVE YOU WITH
THIS. 12 MILLION AFRICANS WERE
IN THE BOTTOM OF SHIPS.
2 MILLION DIED.
WE ARE TREATED LIKE CATTLE AND
A COMMODITY.
WE HAVE PAVED THE WAY FOR
MILLIONS TODAY.
NO COMPENSATION.
NO REPARATION.
TODAY IN THE 21st CENTURY, YOU,
MEMBERS OF THE COUNCIL, HAVE A
CHANCE TO CHANGE, TO MAKE IT
BETTER WITH SOCIAL AND ECONOMIC
JUSTICE FOR WORKERS AND AN
EDUCATION FOR YOUNG PEOPLE.
THANK YOU VERY MUCH FOR YOUR
TIME.
>> THANK YOU VERY MUCH.
THE NEXT PERSON IS DUSTIN.
DUSTIN WILL BE FOLLOWED BY
TRAINA.
>> HI, CHAIR MOSQUEDA AND
MEMBERS OF THE COMMUNITY.
I AM DUSTIN AND IT'S MY SECOND
DAY ON THE JOB AT UFC W 21
ENCOURAGING YOU ALL TODAY TO
TAKE SWIFT ACTION TO TACKLE
CANNABIS REFORM. CANNABIS IS A
BOOMING INDUSTRY HERE IN SEATTLE
. TRUST IN OUR CITY ALONE,
RETAILERS SOLD MORE THAN $185
MILLION IN CANNABIS PRODUCTS IN
2021.
IN WASHINGTON STATE, THERE A%E
OVER 33,000 JOBS IN THE
INDUSTRY.
WE ESTIMATE HALF OF THOSE ARE
HERE IN SEATTLE.
DESPITE BAD BOOM, THE PEOPLE
WHO GROW, PREPARE, AND SELL
CANNABIS PRODUCTS HAVE NOT
REACHED MANY BENEFITS.
I KNOW YOU WILL HEAR TODAY FROM
SOME OF THE OTHER CITIES ON
WHAT THEY HAVE DONE TO TACKLE
REFORM, BUT HERE IN OUR
COMMUNITY, WE HAVE BEEN WAITING
FOR A LONG TIME TO FIGURE OUT
WHAT WILL WORK HERE.
THIS IS AN EQUITY ISSUE.
PRIOR TO RECREATIONAL
LEGISLATION OR LEGALIZATION IN
2012, THE MEDICAL CANNABIS
INDUSTRY WAS A GENERATOR OF
ECONOMIC OPPORTUNITY FOR BOTH
BLACK AND BROWN COMMUNITIES AND
THE PROVIDER OF MEDICAL GRADE
CANNABIS FOR PEOPLE SUFFERING
FROM CHRONIC PAIN.
NOW THOUGH OVER 99% OF THE
RESALE OWNERS IN WASHINGTON
STATE ARE WHITE.
BLACK PEOPLE HAVE BEEN LARGELY
EXCLUDED FROM OWNERSHIP IN THE
CANNABIS INDUSTRY.
A TARGETED EFFORT IN SEATTLE
WOULD IMPROVE WORKING
CONDITIONS FOR THE WORKFORCE
THROUGH PAID FOR SAFETY
TRAINING AND OPPORTUNITIES TO
BUILD SKILLS TO MORE HIGHLY
PAID POSITIONS WITHIN THE
INDUSTRY TO ENSURE THAT BOTH
ARE ABLE TO SHARE AND BENEFIT
THIS BOOMING INDUSTRY.
WE LOOK FORWARD TO WORKING WITH
YOU ALL AND THE MAYOR'S OFFICE
AS WE MOVE FORWARD IN THIS
PROCESS. THANK YOU SO MUCH FOR
GIVING ME SOME TIME TODAY.
>> THANK YOU VERY MUCH, DUSTIN.
CONGRATULATIONS ON YOUR NEW
POSITION.
TRAINA HOLIDAY, I SEE YOU UP TO
SPEAK NEXT, BUT NOT PRESENT.
WE WILL MOVE TO PAUL THOMAS,
FOLLOWED BY PAULA. GOOD
MORNING, PAUL. CAN YOU HEAR ME?
>> THANK YOU, COUNCILMEMBERS,
FOR TAKING THE TIME.
WORKERS IN THE CANNABIS
INDUSTRY HAVE LARGELY BEEN LEFT
OUT OF THE ECONOMIC BOOM SINCE
RECREATIONAL LITTLE CANNABIS
BECAME LEGAL.
THE WAR ON DRUGS ARE NOT
BETWEEN THOSE THAT HAVE
PROFITED THE MOST IN THE
INDUSTRY.
RETAIL STORE OWNERS ARE ALMOST
EXCLUSIVELY WHITE MEN, WHITE
WORKERS, AND THE EMPLOYEES ARE
NORMALLY WOMEN AND THOSE IN THE
BY PARK COMMUNITY.
MOST WORKERS IN THE INDUSTRY DO
NOT MAKE MORE THAN MINIMUM WAGE
PLUS TIPS AND MOST DON'T HAVE
HEALTH INSURANCE.
BY ENSURING EVERYONE HAS A FAIR
SHOT, WE SHOULD RAISE STANDARDS
FOR ALL WORKERS.
THANK YOU FOR YOUR TIME.
>> WONDERFUL.
THANKS FOR YOUR TIME.
I SEE THAT TRAINA HOLIDAY IS
PRESENT.
WE WILL GO BACK TO TRAINA,
PAULA, AND CONCLUDE. GOOD
MORNING, TRAINA.
>> HI.
GOOD MORNING, CITY COUNCIL.
THANK YOU SO MUCH,
COUNCILMEMBER MOSQUEDA. I AM
HERE IN SUPPORT FOR THE
CANNABIS INDUSTRY.
I THINK IT IS VERY IMPORTANT
THAT THE COUNCIL REALLY
CONSIDER EVERYTHING EVERYONE IS
SAYING IN REGARDS TO WORKERS
SOLIDARITY AND BENEFITS FOR
WORKERS.
OBVIOUSLY THERE IS A STRONG
EFFORT BY NOT JUST CANNABIS
WORKERS AND FOLKS IN THE
INDUSTRY, BUT COMMUNITY MEMBERS
WHO UNDERSTAND THE HEAVY IMPACT
THAT THE WAR ON DRUGS HAVE HAD
ON THIS COMMUNITY, THOSE
COMMUNITIES OF THE BLACK
MAJORITY AND A BROWN MAJORITY.
I THINK IT'S IMPORTANT THAT THE
COUNCIL DO WHAT THEY CAN TO
LIMIT THESE EFFORTS BY
PROVIDING OPPORTUNITIES FOR
WORKER SOLIDARITY IN THE
CANNABIS INDUSTRY.
IT IS A STEP IN THE RIGHT
DIRECTION TOWARD ERADICATING
THE HARMFUL EFFECTS OF THE WAR
ON DRUGS AND THE IMPACT IN THE
CITY. WE HAVE SEEN THIS IN THE
BLACK COMMUNITIES IN
PARTICULAR.
THE ONE THING WE CAN START TO
DO RIGHT IS ENSURING THE
CANNABIS WORKERS HAVE SOLIDARITY
FROM THE CITY COUNCIL
PERSPECTIVE.
THANK YOU SO MUCH FOR ALLOWING
ME THIS TIME.
I HOPE YOU ARE LISTENING TO THE
WORKERS AND EVERYBODY ON HERE
WITH REGARDS TO CANNABIS WORKER
SOLIDARITY.
THANK YOU.
>> THANK YOU SO MUCH.
ANNA PAULA, I SEE YOU AS
INTERESTED IN NOT SPEAKING, BUT
NOT PRESENT.
OUR LAST SPEAKER, GOOD MORNING.
>> GOOD MORNING.
CAN YOU HEAR ME?
>> YES.
THANK YOU.
>> THANK YOU, COUNCILMEMBER
MOSQUEDA.
I AM THE EXECUTIVE DIRECTOR TO
THE CRAFT CANNABIS COALITION.
WE HAVE OVER 50 CANNABIS STORES
AND WE APPRECIATE THE CONTINUED
CONVERSATION ON THE CANNABIS
INDUSTRY.
WE LOOK FORWARD TO THE UPCOMING
PRESENTATION. WE DO HAVE
INITIAL CONCERNS. FIRST AND
FOREMOST, WE HAVE SEEN THAT
THERE HAVE BEEN TWO DOZEN
STAKEHOLDER ENGAGEMENT, 200
COMMUNITY MEMBERS
PARTICIPATING, YET NONE OF OUR
MEMBERS HAVE BEEN INCLUDED IN
THESE CONVERSATIONS OR HAVE HAD
REALLY ANY INPUT IN THE
PROPOSALS THAT HAVE BEEN
CIRCULATING.
WE APPRECIATE THE COMMITTEE AND
THE CHAIR'S COMMITMENT GOING
FORWARD.
LASTLY, WE WANT TO NOTE THAT IT
SEEMS LIKE OTHER CITIES THAT
HAVE ALSO ENGAGED IN THIS
EQUITY WORK WITH THE CANNABIS
INDUSTRY SPEND A CONSIDERABLE
AMOUNT OF TIME STUDYING THE
CANNABIS MARKET WITHIN THEIR
CITY AND THE BROADER ISSUE OF
HOW CANNABIS WILL LOOK.
THIS WAS DONE WITH INDUSTRY
PARTICIPATION.
WE LOOK FORWARD TO THESE
ONGOING CONVERSATIONS AND
WORKING WITH THE COMMUNITY
FURTHER.
THANK YOU SO MUCH.
>> THANK YOU SO MUCH FOR
CALLING IN TODAY.
JUST A QUICK UPDATE FOR
COLLEAGUES AND COMMUNITY, I
THINK YOU WILL SEE IN THE
PRESENTATION SOME CONVERSATIONS
THE COMMUNITY PARTNERS HAVE
BEEN HAVING OVER THE LAST YEAR
PLUS. THAT IS WHERE THE NUMBER
COMES FROM.
AS THE COUNCIL BEGINS TO ENGAGE
IN THESE DISCUSSIONS, WE WILL
BE PULLING TOGETHER VARIOUS
FORMS. I LOOK FORWARD TO SEEING
MORE OF THE INDUSTRY FOLKS AND
HEARING MORE ABOUT THE
PROPOSALS IN FRONT OF US AND
GETTING SOME FEEDBACK.
I DON'T SEE PAULA PRESENT HERE
WITH US TODAY, SO COLLEAGUES, I
WILL GO AHEAD AND CONCLUDE A
PUBLIC COMMENT FOR TODAY.
THAT INCLUDES OUR PUBLIC
COMMENT AND WE WILL GO AHEAD
AND MOVE ON TO ITEMS OF
BUSINESS ON TODAY'S AGENDA.
MADAM CLERK, WILL YOU PLEASE
READ ITEM NUMBER ONE?
>> NATIONAL CITY PANEL ON
CANNABIS POLICIES AND PROGRAMS.
>> I AM THRILLED.
WE HAVE A VERY ROBUST PANEL
WITH US TODAY.
AFTER THIS FIRST AGENDA ITEM,
WE WILL HEAR FROM OUR FINANCE
AND ADMINISTRATIVE SERVICES
DEPARTMENT AS WELL, WHO
REPORTED IN THE DECEMBER
MEETING THAT THEY WERE DOING
WORK ON CANNABIS EQUITY AS A
GENERAL TOPIC FROM THE RACE AND
OF SOCIAL JUSTICE INITIATIVE
TASK FORCE.
THAT WILL BE OUR FULL AGENDA
FOR THE DAY.
I AM GLAD WE ARE ABLE TO GIVE
THIS TIME.
WE HAVE GUESTS FROM ACROSS THE
COUNTRY.
I WILL SUMMARIZE WHO WILL SPEAK
AND THEN WE WILL JUMP RIGHT
INTO IT.
AS A QUICK RECAP FROM OUR LAST
MEETING, WE HAD A CHANCE TO
START THIS DISCUSSION AND THE
FINANCE AND HOUSING COMMITTEE
TO LOOK AT HOW MUCH THIS
INDUSTRY IS CURRENTLY BRINGING
IN AND WHAT WE ARE EXPERIENCING
ON THE FRONT LEVEL AND HOW
OPPORTUNITIES TO OPEN UP SMALL
BUSINESSES IS EITHER BEING
SHARED OR NOT BEING SHARED, AS
THE PANELISTS MENTIONED. WE ARE
LOOKING AT HOW WE CAN WRITE
HISTORIC WRONGS AS IT RELATES
TO THE WAR ON DRUGS.
WE HEARD LOUD AND CLEAR THAT
REFORM IS NEEDED.
REFORM, REDISTRIBUTION,
RESTORATION.
CANNABIS WORKERS FROM THE FRONT-
LINE IN STORES IN SEATTLE
TALKED ABOUT GREATER TRAINING,
ENTREPRENEURSHIP OPPORTUNITIES,
AND JOB PROTECTION AND SAFETY.
IN ADDITION, WE ARE GOING TO
HAVE FUTURE MEETINGS THAT WILL
INCLUDE SOME FOLKS FROM THIS
COMMUNITY, ORGANIZATIONS, AND
ADDITIONAL WORKERS TO TALK
THROUGH POLICY CONCEPTS
STEMMING FROM THE CONVERSATIONS
WE WILL HAVE TODAY.
I LOOK FORWARD TO MEETING WITH
ANYONE INTERESTED AS WELL.
I HAVE BEEN REACHING OUT TO A
HANDFUL OF FOLKS.
PLEASE NOTE, IF YOU'RE
INTERESTED IN MEETING WITH US,
WE WOULD LOVE TO DO THAT.
COLLEAGUES, TODAY IN FRONT OF
US WE HAVE A REALLY ESTEEMED
PANEL.
WE HAVE A BOSTON CITY
COUNCILMEMBER, LYDIA EDWARDS ,
THE CHAMPION ON REFORM AND
LICENSING AND WITHIN THE CITY
OF BOSTON TO IMPROVE HOW THE
CITY APPROVES AND OVERSEES THE
LOCAL CANNABIS INDUSTRY.
WE WILL HEAR FROM THE ASSISTANT
TO THE CITY ADMINISTRATOR OF
OAKLAND, GREGORY MINOR, WHO HAS
BEEN WORKING TO ESTABLISH A
CANNABIS REGULATORY COMMISSION.
WE WILL HEAR FROM THE CITY AND
COUNTY OF DENVER, WHERE DENBY
DENVER HAS A SOCIAL EQUITY
APPLICATIONS.
WE WILL ALSO HEAR FROM SARAH
WOODSON. I LOOK FORWARD TO
HEARING FROM YOU.
SHE IS THE CEO OF THE COLOR OF
CANNABIS FROM DENVER, WHOSE
ORGANIZATION IS WORKING WITH A
WIDE SWATH OF JURISDICTIONS,
WORKING TO REMOVE THE STIGMA OF
SOCIAL EQUITY APPLICATIONS.
THE FOUNDER AND CEO FROM LOS
ANGELES, TAMIKA DREW WHO WILL
HELP BRING A CONCLUSION TO THIS
PANEL TO TALK ABOUT HOW
JURISDICTIONS HAVE APPLIED
LICENSES TO SMALL BUSINESS
OWNERS. OH, EXCUSE ME, WE HAVE
TWO MORE SPEAKERS.
OKAY.
WE WILL GET TO EVERYBODY HERE.
LARISSA WOHL AND A DAVINA SMITH
FROM THE CITY OF SACRAMENTO.
THEY ARE HELPING TO ADDRESS
BARRIERS WHILE TRYING TO CREATE
THEIR CANNABIS BUSINESSES.
FOLLOWING THIS, WE WILL HAVE
THE OPPORTUNITY TO HEAR FROM
THE FINANCE AND ADMINISTRATIVE
DEPARTMENT.
I WILL ASK COLLEAGUES TO HOLD
THEIR QUESTIONS ON THIS PANEL
UNTIL HE GET THROUGH THIS
ESTEEMED LIST OF INDIVIDUALS
HERE TO SPEAK WITH US TODAY.
BEFORE I DO, DID YOU HAVE
ANYTHING ELSE YOU WOULD LIKE TO
ADD TO OPEN IT UP?
THANK YOU FOR YOUR COMMENTS AT
THE BEGINNING OF THE MEETING.
>> NO, I DON'T HAVE ANYTHING.
THANK YOU, COUNCILMEMBER.
>> THANK YOU FOR BEING HERE
WITH US TODAY.
I KNOW THERE WAS A TIME CRUNCH,
SO I WANT TO SEE IF
COUNCILMEMBER EDWARDS IS HERE
WITH US FROM THE CITY OF
BOSTON.
IF NOT, WE WILL GO TO THE NEXT
PERSON ON THE LIST.
MADAM CLERK, IS COUNCILMEMBER
EDWARDS HERE WITH US?
>> I DON'T SEE THEM.
>> OKAY.
JUST FOR A HEADS UP FOR OUR
I.T.
CREW, IF YOU SEE COUNCILMEMBER
EDWARDS, PLEASE ADMIT HER AND
WE WILL GO BACK TO HEARING FROM
THE COUNCILMEMBER WHEN SHE
COMES BACK IN.
WITH THAT, THE NEXT PERSON TO
SPEAK IS THE ASSISTANT TO THE
ADMINISTRATOR OF OAKLAND,
GREGORY MINOR.
GREGORY, THANKS FOR JOINING US
VIRTUALLY FROM THE CITY OF
OAKLAND.
I WILL BE SPEAKING WITH SOME
FOLKS FROM OAKLAND AFTER
TODAY'S MEETING.
IT IS A WEST COAST DAY FOR US.
THANKS FOR JOINING.
GO AHEAD.
>> CAN YOU HEAR ME OKAY?
>> YES.
THANK YOU.
>> I'M HAPPY TO BE HERE AND
HAPPY TO SHARE WHATEVER INSIGHTS
THAT WE GATHERED IMPLEMENTING
THE CANNABIS EQUITY PROGRAM.
I CAN SHARE SOME BIG PICTURE
LESSONS, IF YOU WILL. I AM
AVAILABLE FOR ANY QUESTIONS OR
DETAILS THAT COME UP.
I GUESS SOME OF THE THINGS I
WILL SHARE SHOULD BE SEEMINGLY
OBVIOUS, BUT I THINK ARE KIND
OF UNDERSTATED.
I HAVE THE GOOD FORTUNE OF
DOING THINGS THE WRONG WAY, IF
YOU WILL, AND DOING THINGS IN A
BETTER APPROACH IN TERMS OF
LEGALIZING THE CANNABIS
INDUSTRY.
JUST A QUICK BACKGROUND, I HAVE
OVERSEEN THE CANNABIS INDUSTRY
IN OAKLAND. IN 2017, I HAD THE
GOOD FORTUNE OF COLLABORATING
WITH THE FORMER CITY OF SEATTLE
COLLEAGUE, DARLENE FLYNN, WHO
WAS AT THE TIME A ONE PERSON
DEPARTMENT OF RACE AND EQUITY.
WE CO-AUTHORED WHAT BECAME THE
FIRST RACE AND EQUITY ANALYSIS
AND A CANNABIS PROGRAM.
WHAT WAS KEY, WE ACTUALLY
PASSED AN INITIAL VERSION.
WELL, TAKING A STEP BACK TO
2015, EVERYONE ANTICIPATED
RECREATIONAL CANNABIS BEING
LEGALIZED IN 2016 WITH A
PROPOSITION ON THE BALLOT.
WE LOOKED TO COPY AND PASTE
WHAT HAD BEEN DONE IN COLORADO
AND WASHINGTON, SORT OF
LEGALIZING THE STATUS QUO.
FORMER COUNCILMEMBER BROOKS
ASKED WHO WOULD BENEFIT FROM
THE LEGALIZATION AND THAT SENT
US ON A WHOLE ANOTHER
TRAJECTORY.
OUR INTERIM DIRECTOR OF RACE
AND EQUITY HAD A QUOTE THAT I
LIKE TO STEAL, WHICH IS
ORGANIZATIONS MOVE IN THE
DIRECTION OF THE QUESTIONS THEY
ASK.
BY ASKING THE QUESTION, THAT
SET US ON A COMPLETELY DIFFERENT
DIRECTION.
WE PASSED OUR INITIAL PROGRAM
IN 2016, BUT THERE WAS NO
ANALYSIS BEHIND IT AND AS SOON
AS IT WAS PASSED, THERE WERE
EFFORTS TO REPEAL IT.
OUR COUNCIL WAS DIVIDED . ONE
WANTED TO DOUBLE DOWN AND ONE
WANTED TO ALLOW FOR PERMANENT
COMMENCEMENT DOWN THE ROAD.
MAYBE YOU DO SOMETHING TO
ADDRESS THE WAR ON DRUGS.
IT CULMINATED WITH DARLENE
FLYNN AND I TO DRAFT A RACE AND
EQUITY ANALYSIS.
IT SEEMS REALLY SIMPLE, BUT
ACTUALLY HAVING AND IDENTIFYING
THE GOAL UP FRONT WAS A GAME
CHANGER.
ONCE WE GOT OUR CITY
COUNCILMEMBERS TO COLLECTIVELY
AGREE ON WHAT WE OFFERED AS A
GOAL, WHICH WAS TO PROMOTE
BUSINESS OWNERSHIP AND
EMPLOYMENT OPPORTUNITIES FOR
THOSE DISPROPORTIONATELY
IMPACTED BY THE WAR ON DRUGS
WITH OUR CANNABIS PROGRAM, AND
WE LAID OUT RELEVANT DATA,
LOOKING AT DEMOGRAPHICS WITHIN
THE CITY OF OAKLAND, POLICE
DATA ARRESTS FOR CANNABIS,
POVERTY DATA, THINGS LIKE THAT.
WE IDENTIFIED THE MAIN BARRIERS
TOWARD ACHIEVING THE GOAL
IDENTIFIED, WHICH -- AND I'M
HAPPY TO SHARE THIS ANALYSIS
AND OTHER CITIES HAVE DONE IT
-- THERE WILL NOT BE MAJOR
SURPRISES.
ACCESS TO CAPITAL, TECHNICAL
ASSISTANCE, THINGS LIKE THAT.
FROM THERE WE IDENTIFIED, YOU
KNOW, STRATEGIES TO OVERCOME
AND ADDRESS THOSE DIFFERENT
BARRIERS AND THE PROGRAM SORT
OF DEVELOPS FROM THERE.
ANYONE WHO WANTED TO MODIFY THAT
HAD TO CLARIFY HOW WHAT THEY
PROPOSED WOULD ACHIEVE THE GOAL
WE ALL AGREED UPON. IN 2016, WE
HAD A LOT OF PEOPLE JUMPING TO
SOLUTIONS OR BEING LOBBIED BY
DIFFERENT INTERESTS WITHIN THE
INDUSTRY.
ONCE WE IDENTIFY THAT GOAL AND
HAD THAT ANALYSIS, THAT REALLY
DROVE OUR PROGRAM.
THAT DOESN'T MEAN OUR PROGRAM
WAS PERFECT.
WE ARE CONSTANTLY MONITORING
THROUGH STAKEHOLDER ENGAGEMENT.
WE HAD A CANNABIS COMMISSION
FOR MORE THAN A DECADE, THE
CITY OF OAKLAND.
WE HAVE AN OPPORTUNITY TO
ENGAGE THE STAKEHOLDERS, MAKE
ADJUSTMENTS, AND WE WERE
FORTUNATE THAT AFTER OAKLAND
CREATED A PROGRAM, OTHER CITIES
CREATED A PROGRAM AND THE STATE
OF CALIFORNIA HAS MADE FUNDING
AVAILABLE.
WE HAVE BEEN FORTUNATE ENOUGH
TO RECEIVE GRANTS IN THE LAST
COUPLE OF YEARS THAT HAS
ALLOWED US TO CREATE A
REVOLVING LOAN PROGRAM THROUGH
CANNABIS TAX REVENUE, BUT
PROVIDE GRANTS, HELP APPLICANTS
PURCHASE A PROPERTY AND FUNDED
SHARED MANUFACTURING FACILITIES,
WORKFORCE DEVELOPMENT PROGRAMS,
ALL OF WHICH WE NEED TO
CONTINUE TO MONITOR AND
APPROVE.
IN A NUTSHELL, I WOULD
ENCOURAGE YOU ALL TO DO WHAT IT
SOUNDS LIKE YOU ARE ALL DOING
AND ASK CRITICAL QUESTIONS.
TRY TO HAVE A CLEAR GOAL UP
FRONT AND ALSO TAKE ADVANTAGE
OF SOME OF THE UNIQUE
OPPORTUNITIES YOU HAVE FROM A
GOVERNMENT PERSPECTIVE.
YOU HAVE SOME PERMITTING
AUTHORITY MORE SO THAN YOU
MIGHT IN ANOTHER CONTEXT. YOU
HAVE A SOURCE OF REVENUE, NEW
SOURCE OF REVENUE.
IN THE CASE OF WASHINGTON OR
CALIFORNIA, IN THIS CASE IT'S
NOT NEW BUT IT IS A SOURCE OF
REVENUE IN THIS INDUSTRY.
I AM HAPPY TO SHARE OUR EQUITY
ANALYSIS FROM 2017, RECENT
STAFF REPORTS, AND I'LL ANSWER
FOLLOW-UP QUESTIONS.
THANK YOU FOR THE OPPORTUNITY
TO SHARE SOME INSIGHTS.
>> WELL, THANK YOU VERY MUCH.
I DEFINITELY HAVE QUESTIONS. I
WOULD LOVE TO KNOW MORE ABOUT
THE REGULATORY COMMISSION BUT I
WILL HOLD THOSE QUESTIONS
BECAUSE I ASKED MY COLLEAGUES
TO DO THAT.
PLEASE HOLD YOUR QUESTIONS.
THANK YOU VERY MUCH.
NEXT I BELIEVE WE WILL HEAR FROM
ABBEY BORCHERS FROM THE CITY
AND COUNTY OF DENVER.
ABBEY, I BELIEVE YOU HAVE A
PRESENTATION . HI, ABBEY . I
WILL LET YOU GO AHEAD AND
INTRODUCE YOURSELF.
THANK YOU FOR BEING HERE WITH
US TODAY.
IF YOU COULD SHARE YOUR TITLE
FOR THE RECORD AND YOUR NAME,
THAT WOULD BE GREAT.
>> MY NAME IS ABBEY BORCHERS,
POLICY ANALYST FROM DENVER'S
DEPARTMENT OF ACCESSES AND
LICENSES, WHICH IS THE
DEPARTMENT THAT ISSUES
MARIJUANA BUSINESS LICENSES FOR
THE CITY OF DENVER.
I WILL SHARE MY SCREEN.
I HAVE A QUICK PRESENTATION TO
HOPEFULLY GUIDE THE DISCUSSION.
>> EXCELLENT.
WE HAVE A FOR THE VIEWING
PUBLIC THESE PRESENTATIONS
LINKED ON TODAY'S AGENDA.
PLEASE GO AHEAD.
>> FIRST I JUST WANT TO QUICKLY
SET THE STAGE BECAUSE I KNOW
THIS WORKS DIFFERENTLY IN
DIFFERENT STATES AND IN
DIFFERENT CITIES.
THE WAY THAT WORKS IN COLORADO,
THE STATE LICENSING AUTHORITY
ISSUES MARIJUANA BUSINESS
LICENSES AS WELL AS INDIVIDUAL
EMPLOYEE AND OWNER LICENSES.
THEY REGULATE MATTERS OF
STATEWIDE CONCERNS, THINGS LIKE
PACKAGING, LABELING, TESTING,
ET CETERA. DENVER'S DEPARTMENT
OF LICENSES ISSUES THE
CORRESPONDENT LOCAL MARIJUANA
BUSINESS LICENSE.
WE DO NOT ISSUE INDIVIDUAL OR
EMPLOYEE OR OWNER LICENSES.
WE DO REGULATE THE TIME,
MANNER, AND PLACE OF BUSINESSES
AND OTHER MATTERS OF CONCERN,
THINGS LIKE PUBLIC HEARING
REQUIREMENTS FOR CERTAIN
MARIJUANA BUSINESS TYPES AND
LOCATION REQUIREMENTS, HOW FAR
THEY CAN BE FROM SCHOOLS AND
CHILDCARE FACILITIES AND THINGS
LIKE THAT.
JUST TO GIVE YOU A SENSE OF HOW
MANY BUSINESS LICENSES,
MARIJUANA BUSINESS LICENSES WE
HAVE HERE IN DENVER, WE HAVE 943
ACTIVE MARIJUANA BUSINESS
LICENSES. KEEP IN MIND WE HAVE
MEDICAL AND RETAIL MARIJUANA
LICENSES.
THE REAL NUMBER OF LOCATIONS IS
THERE ON THE RIGHT-HAND COLUMN.
LOOKING AT AROUND 200
CULTIVATION FACILITIES, 200
STORES, 100 MANUFACTURING
FACILITIES, AND SOME OTHER
LICENSE TYPES, LIKE TESTING
FACILITIES, TRANSPORTERS,
RESEARCH AND DEVELOPMENT
FACILITIES, AND WE HAVE A NEW
MARIJUANA HOSPITALITY LICENSE,
WHICH IS A CANNABIS CONSUMPTION
LOUNGE TYPE OF LICENSE.
WE HAVE ONE OF THOSE CURRENTLY
AND THREE MORE OF THOSE ARE IN
THE APPLICATION STAGES AND
GOING THROUGH THEIR HEARINGS
HERE SHORTLY.
SO, I WANTED TO ADDRESS WHERE
WE HAVE STARTED WITH
APPROACHING EQUITY IN THE
MARIJUANA INDUSTRY AND KIND OF
WHERE WE ARE NOW.
SO, WHERE WE STARTED WAS IN 2019
, WE COMMISSIONED A STUDY BY A
THIRD-PARTY GROUP. IT WAS
CALLED ANALYTIC IN SIGHT.
THEY PUT TOGETHER THIS
EVALUATION OF THE CANNABIS
INDUSTRY AND DENVER AS A WHOLE
LOOKING AT EMPLOYMENT AND
OWNERSHIP OPPORTUNITIES AND THE
RACIAL AND ETHNIC MAKEUP OF
OWNERS AND EMPLOYEES IN THE
INDUSTRY.
WHAT THEY HAD FOUND WAS KIND OF
CONFIRMING WHAT WE ALREADY
SUSPECTED AND WHAT WE HAD
ALREADY BEEN TOLD, BUT WE
WANTED TO HAVE THE DATA TO BACK
IT UP BEFORE WE MOVED ANY
FURTHER ALONG.
IT SHOWED US THAT, YOU KNOW,
PROPORTIONAL TO THE WAY THESE
GROUPS ARE REPRESENTED IN DENVER
, HISPANIC AND LATINO GROUPS
ARE UNDERREPRESENTED IN BOTH
OWNERSHIP AND EMPLOYMENT IN THE
INDUSTRY.
SAME WITH LACK AND AFRICAN
AMERICAN INDIVIDUALS, ASIAN,
AND INDIAN INDIVIDUALS.
ARMED WITH THIS DATA, WE FELT
CONFIDENT MOVING FORWARD WITH A
PROCESS TO COME UP WITH A
SOCIAL EQUITY PROPOSAL FOR
DENVER'S CANNABIS INDUSTRY.
I CAN SHARE THE FULL REPORT
ONCE I'M DONE IN THE CHAT
BECAUSE THERE IS LOTS OF OTHER
DATA IN THAT REPORT THAT WAS
VERY USEFUL.
THIS IS JUST SORT OF THE MAIN
DATA TO HIGHLIGHT AND SHARE.
ACTUALLY, I'LL GO BACK.
FROM THERE, WE TOOK THIS
INFORMATION THAT WE HAD AND WE
PUT TOGETHER A WORKGROUP OF
DIVERSE STAKEHOLDERS FROM JUST
DIFFERENT INTEREST GROUPS. WE
HAD INDUSTRY REPRESENTATIVES,
PUBLIC HEALTH EXPERTS, SOCIAL
EQUITY ADVOCATES, PREVENTION OF
MARIJUANA USE ADVOCATES WHO ALL
SERVED ON THIS MARIJUANA
LICENSING GROUP.
THE PURPOSE WAS TO INFORM A
FULL OVERHAUL OF DENVER'S
MARIJUANA LICENSING CODE BUT
ALSO THE DEVELOPMENT OF A
SOCIAL EQUITY POLICY PROPOSAL
WITHIN THAT OVERHAUL.
AND IF SO WE PUT TOGETHER THAT
GROUP IN 2021. WE MET VIRTUALLY
THROUGHOUT 2020. OF COURSE, WE
MET WITH LOTS OF DIFFERENT
PEOPLE JUST INDIVIDUALLY ONE-ON-
ONE TO GET FEEDBACK ON THESE
PROPOSALS.
WITH THE INPUT OF THAT WORK
GROUP, WE DEVELOPED A SOCIAL
EQUITY POLICY PROPOSAL AND CITY
COUNCIL PASSED THAT OVERHAUL OF
THE MARIJUANA CODE AS WELL AS
THE SOCIAL EQUITY PROGRAM IN
2021.
SO, WHO QUALIFIES AS A SOCIAL
EQUITY APPLICANT?
WE DECIDED TO JUST ADOPT THE
STATE'S DEFINITION OF AN
APPLICANT FOR EASE OF THE
APPLICANTS NOT HAVING TO GO
THROUGH MULTIPLE ELIGIBILITY
PROCESSES AND ADJUST FOR, YOU
KNOW, TO RESPECT THE WORK DONE
AT THE STATE LEVEL TO DEVELOP
THIS PROPOSAL IN THE
LEGISLATURE.
SO, ONLY COLORADO RESIDENTS CAN
QUALIFY. IT DOESN'T MATTER HOW
LONG THEY HAVE BEEN A COLORADO
RESIDENT.
THEY HAVE TO BE ONE AT THE TIME
OF APPLICATION.
THEY HAVE TO MEET ONE OF THREE
CRITERIA.
THE APPLICANT RESIDED IN AN
OPPORTUNITY ZONE OR
DISPROPORTIONATELY IMPACTED
AREA, OR AT LEAST 15 YEARS
BETWEEN 1980 AND 2010, OR THE
APPLICANT OR THEIR IMMEDIATE
FAMILY MEMBER WAS ARRESTED,
CONVICTED, OR SUFFERED A
SIGNIFICANT FORFEITURE DUE TO A
MARIJUANA FENCE.
THE THIRD CRITERIA, THEIR
HOUSEHOLD INCOME DID NOT EXCEED
50% OF THE STATE MEDIAN INCOME.
THEY ONLY NEED TO MEET ONE OF
THOSE THREE CRITERIA TO QUALIFY
AS AN APPLICANT.
THE APPLICANT HAS TO OWN AT
LEAST 51% OF THE MARIJUANA
BUSINESS LICENSE BEING A
PRINTED.
A BUSINESS PARTNER COULD OWN
THE OTHER 49%.
IN DENVER, I'LL TALK A LITTLE
MORE ABOUT THIS ON THE NEXT
SLIDE, BUT WE DECIDED TO
EXCLUSIVELY ISSUE MOST OF OUR
LICENSES TO SOCIAL EQUITY
APPLICANT'S FOR THE NEXT SIX
YEARS.
SOMETHING WE WERE CONCERNED
ABOUT, AND SOMETHING THAT WAS
BROUGHT TO OUR ATTENTION DURING
THE LEGISLATIVE PROCESS WAS THAT
SOMEBODY COULD QUALIFY AS A
SOCIAL EQUITY APPLICANT, OBTAIN
A MARIJUANA LICENSE, AND TURN
AROUND AND SELL IT TO A NON-
SOCIAL EQUITY APPLICANT. A
NONSOCIAL EQUITY APPLICANT
COULD PAY SOMEONE TO DO THAT.
THAT WOULD REALLY UNDERMINE THE
INTENT OF THE PROGRAM AND
INCREASE RACIAL AND ETHNIC
REPRESENTATION IN THE INDUSTRY
AND GIVE OPPORTUNITIES TO
PEOPLE WHO HAVE PREVIOUSLY NOT
HAD OPPORTUNITIES IN THIS
INDUSTRY.
IN DENVER, ANY LICENSE GRANTED
TO A SOCIAL EQUITY APPLICANT
HAS TO CONTINUE TO BE OWNED 51%
OR MORE BY A SOCIAL EQUITY
APPLICANT UNTIL JULY 1st, 2027.
THAT IS THE END OF THE PERIOD
IN WHICH WE WILL BE EXCLUSIVELY
ISSUING LICENSES TO SOCIAL
EQUITY APPLICANT'S. THEY CAN
SUBLICENSE TO SOMEONE ELSE, BUT
THE BUYER HAS TO BE 51% OWNED BY
SOCIAL EQUITY APPLICANTS. LIKE
I SAID, MOST WILL BE ISSUED TO
SOCIAL EQUITY APPLICANT'S UNTIL
2027.
THAT INCLUDES BUSINESS-TO-
BUSINESS TRANSPORT AS WELL AS
HOME DELIVERY OF MARIJUANA.
CULTIVATION FACILITIES,
MANUFACTURING FACILITIES AND
THE NEW BUSINESS LICENSES.
THAT INCLUDES THE LOUNGE MODEL
WHERE PEOPLE BRING THEIR OWN ON-
SITE, AND SALES MICHAEL MODEL
AND MOBILE HOSPITALITY, WHICH
IS THE TOUR BUSES AND SHUTTLES
THAT PEOPLE CAN CONSUME
MARIJUANA ON. SOCIAL EQUITY
APPLICANTS HAVE THE ABILITY TO
DO DELIVERY ON BEHALF OF STORES
UNTIL JULY 1st, 2024.
WE ARE OFFERING WAIVED
APPLICATION FEES AND REDUCED
LICENSING FEES FOR EXISTING
LICENSE TYPES AND LOWER THAN
NORMAL APPLICATION LICENSE FEES
FOR THE NEW LICENSE TYPES WHICH
ARE HOSPITALITY BUSINESSES AND
HOME DELIVERY PERMITS.
AND FINALLY, I JUST WANTED TO
TALK ABOUT, AGAIN, THE 2019
STUDY THAT WE DID.
IT IS LINKED THERE ON THE SLIDE
. IT LOOKED AT WHAT OF THE
OTHER BARRIERS TO OWNERSHIP
BECAUSE LICENSING IS ONLY ONE
PIECE OF THE PUZZLE.
THE OTHER PIECES ARE, YOU KNOW,
WHAT THEY FOUND AS ACCESS TO
START THEIR CAPITAL.
WE ARE WORKING ON JUST RECENTLY
OUR CITY COUNCIL APPROVED 1% OF
MARIJUANA TAX REVENUE TO BE
DEDICATED TO A FUND FOR SMALL
BUSINESS INVESTMENT. WHAT IS
UNIQUE ABOUT THAT PROGRAM IS
MARIJUANA BUSINESSES CAN
ACTUALLY ACCESS IT. MOST OF OUR
CITY GRANT PROGRAMS AND LOAN
PROGRAMS CAN'T BE ACCESSED BY
MARIJUANA BUSINESSES BECAUSE
THEY ARE AT LEAST IN PART
FEDERALLY FUNDED.
THIS FUND WILL BE SPECIFICALLY
FUNDED BY MARIJUANA TAX REVENUE.
WHILE ANY TYPE OF SMALL
BUSINESS COULD ACCESS IT,
MARIJUANA BUSINESSES CAN TOO.
THAT FUND WILL BE FUNDED UP TO
$50 MILLION.
OTHER PIECES, COMPLEXITY OF
REGULATIONS. WE HAVE BEEN
WORKING ON EDUCATION AND
OUTREACH AROUND THAT.
THE CAP ON NUMBER OF AVAILABLE
LICENSES. THERE USED TO BE A CAP
ON DIVISION LICENSES IN DENVER
AND THAT RESULTED IN, YOU KNOW,
HIGH PRICES OF LICENSES TO BE
SOLD.
IT COST A LOT OF MONEY TO GET
INTO THE INDUSTRY BECAUSE YOU
HAD TO BUY A LICENSE.
WE REMOVED THAT CAP.
JUST ALL OF THESE DIFFERENT
THINGS LIKE SKILLS REQUIRED TO
RUN A BUSINESS, DIFFICULTY
OBTAINING A LOCATION.
WE ARE WORKING TO PUT TOGETHER
A TECHNICAL ASSISTANCE PROGRAM
THROUGH OUR OFFICE OF ECONOMIC
DEVELOPMENT TO REALLY PROVIDE
ONE-ON-ONE SUPPORT TO ADVOCATES
AND HELP THEM OVERCOME THESE
CHALLENGES GETTING INTO THE
INDUSTRY.
REALLY TRYING TO TAKE A MULTI
PRONGED APPROACH TO A COMPLEX
AND DIFFICULT PROGRAM. I THINK
WE ARE FEELING OPTIMISTIC ABOUT
IT.
I DON'T THINK ANYONE HAS FOUND
THE MAGIC SOLUTION TO THIS
ISSUE, BUT WE ARE SEEING A SLOW
BUT STEADY PROGRESS AND IT
JUST, YOU KNOW, TAKES TIME TO
SEE THOSE LICENSES GET ISSUED
WITHOUT BEING TIED UP IN
LAWSUITS OR ANYTHING LIKE THAT.
WE ARE VERY HAPPY WITH THE
PROGRESS WE ARE MAKING.
THANK YOU FOR HAVING US HERE.
I AM EXCITED TO HEAR FROM OUR
OTHER PANELISTS.
>> THANK YOU, ABBEY.
WE WILL CONTINUE WITH THE THEME
OF DENVER . STAY WITH OUR FRIEND
, SARAH WOODSON, CEO OF AT
THE COLOR OF CANNABIS IN DENVER.
WELCOME, SARAH WOODSON.
>> THANK YOU FOR HAVING ME.
ABBEY, THAT WAS A WONDERFUL SET
UP.
I WANT TO TALK ABOUT REFORM,
REDISTRIBUTION, AND RESTORATION
. WHAT ABBEY JUST DID WAS TALK
ABOUT ALL OF THE WORK WE DID
THROUGH REFORM . I DON'T WANT
TO SPEND TOO MUCH TIME THERE
BUT I WANT TO RECAP BECAUSE
I'VE WORKED ON CITY AND STATE
POLICY.
THE COLOR OF CANNABIS, THE
ORGANIZATION WAS FOUNDED IN
2019 AND WE HAVE SPEARHEADED
THE SOCIAL EQUITY POLICY.
I'VE HAD THE HONOR AND
OPPORTUNITY TO WORK CLOSELY
WITH DENVER ALONG WITH THE STATE
. IN 2019, A GROUP OF GENTLEMEN
THAT I ADMIRE AND RESPECT, THEY
CREATED AN ACCELERATED PROGRAM
ON A STATE LEVEL AND ESSENTIALLY
WHAT THEY WANTED TO DO WAS SAY
EXISTING INDUSTRY, YOU HAVE THE
MEANS, THE BANDWIDTH.
LET'S PARTNER WITH FOLKS AND
GET THEM INTO THE CANNABIS
INDUSTRY.
THEIR FOCUS WAS MORE ON SMALL
BUSINESS AS OPPOSED TO THOSE
IMPACTED BY THE WAR ON DRUGS.
I THINK THAT WAS THE START OF
SOCIAL EQUITY POLICY.
DURING 2019 AND 2020, SOCIAL
EQUITY REALLY BECAME MORE SO OF
SOMETHING THAT WAS RISING TO
THE TOP WHEN YOU THINK ABOUT
CONCERNS AND EQUITY IN GENERAL.
AND IF SO, WE WERE ABLE TO RUN A
STATE BILL IN 2020 WHICH DEFINED
WHAT IT WOULD MEAN TO BE A
SOCIAL EQUITY APPLICANT.
ABBEY WENT OVER THOSE THREE
THINGS.
ESSENTIALLY WHERE HAVE YOU LIVED
? HAVE YOU EVER HAD A CANNABIS
ARREST OR CONVICTION?
THAT COULD BE YOU, YOUR
BROTHER, YOUR SISTER, YOUR
PARENTS, YOUR LEGAL GUARDIAN.
AND THEN INCOME. I WANT TO STOP
THERE AND JUST SAY IF YOU THINK
ABOUT THOSE CRITERIA, THEY ARE
RACE NEUTRAL.
AS I GO INTO THE RESTORATION
PIECE, I WILL CIRCLE BACK AND
TOUCH ON THAT.
AVOID ANY KIND OF
DISCRIMINATION LAWSUIT. I DON'T
WANT TO GO TOO BIG INTO IT. I
WOULD LOVE TO SHARE THIS ALL
WITH YOU.
WHEN WE WERE IMPLEMENTING LOCAL
POLICY IN DIFFERENT
JURISDICTIONS, WE HAD TO
ESSENTIALLY TALK ABOUT WHY THE
POLICY WAS RACE NEUTRAL BECAUSE
THAT WAS A CONCERN.
RACE NEUTRAL POLICY, WE HAVE
THESE DEFINITIONS AND NOW WE
ARE IMPLEMENTING IN DENVER. IN
2021, WE RAN A BILL TO
ESSENTIALLY GET $4 MILLION IN
FUNDING ON THE STATE LEVEL.
NOW THAT IS THE REFORM PIECE.
ALSO WHEN YOU THINK ABOUT
CRIMINAL JUSTICE REFORM, THERE
ARE PEOPLE RUNNING EXPUNGEMENT
BILLS.
GIVE ME ONE SECOND.
I AM SO SORRY.
>> THE LIFE OF ZOOM.
NO PROBLEM.
I APPRECIATE COLLEAGUES HOLDING
YOUR QUESTIONS UNTIL THE END.
WE ARE GOING TO HAVE A GREAT
CHANCE TO HEAR FROM COLLEAGUES
AND WE WILL ALSO HEAR FROM FAS.
WE CAN ALSO HEAR FROM FAS AND
ASK QUESTIONS ALTOGETHER.
>> ALL RIGHT.
I AM SO SORRY.
>> YOU ARE GOOD!
>> THANK YOU.
THANK YOU.
SO, NOW WE MOVE ON TO 2021.
WE GET $4 MILLION.
I THINK THAT IS ALL ABOUT THE
REFORM PIECE.
SO NOW THERE IS THIS
REDISTRIBUTION, WHICH I LIKE TO
CALL IMPLEMENTATION.
DOES ALL THE WORK YOU ARE DOING
ON PAPER TRANSLATE TO HELPING
PEOPLE AND COMMUNITIES THAT
HAVE BEEN NEGATIVELY IMPACTED
BY THE WAR ON DRUGS?
WHAT WE FOUND IS IN COLORADO,
WE ARE DOING A GREAT JOB AS YOU
ALL KNOW AS POLICYMAKERS,
POLICIES INCREMENTAL.
IT TAKES TIME. YOU FIX
SOMETHING AND FIGURE OUT IT
DOESN'T WORK AND YOU GO BACK
AND FIX IT FOR THE SOCIAL
EQUITY APPLICANT, THEY DON'T
WANT TO HEAR ABOUT THAT.
THIS IS NOT WORKING.
ONE, YOU KNOW, THERE ARE A LOT
OF PERFORMATIVE ALLIES IN THE
INDUSTRY.
WHEN WE TALK ABOUT RESTORATION,
THERE HAVE TO BE WAYS TO HOLD
PEOPLE ACCOUNTABLE.
WE HAVE A WHOLE NEW LICENSE
TYPE.
ABBEY JUST SHOWED YOU THE
NUMBERS . THERE ARE 207
DISPENSARIES IN DENVER AND 19
THAT SIGNED UP TO PARTICIPATE
IN DELIVERY.
YOU HAVE 19 PEOPLE THAT HAVE
WENT OUT AND, YOU KNOW, PAID
THOUSANDS OF DOLLARS IN
LICENSING AND THEY WILL BE OUT
OF BUSINESS AND THE DISPENSER
MAY NOT ALLOW THEM TO
PARTICIPATE.
THEN WE HAVE THE CAPS REMOVED
IN DENVER, BUT THE ISSUE IS FOR
THE LAST 10 YEARS, THERE HAVE
BEEN A LOT -- EXCUSE ME, THE
ISSUE FOR THE LAST 10 YEARS,
THERE HAS BEEN A CLEAR LANDSCAPE
ROLLOUT. I AM SO SORRY, GUYS.
>> ONCE I WAS TALKING TO
SOMEONE ABOUT CHILDCARE AND MY
CHILDCARE CALLED TO SAY THAT MY
DAUGHTER HAD THROWN UP AND I
WAS LIKE, I'VE GOT TO END THIS
PRESENTATION.
I HAVE TO END THIS CALL AND GO
GET HER.
I TOTALLY GET IT.
THERE ARE NO WORRIES HERE.
MADAME CLERK, I JUST WANT TO
DOUBLE CHECK AS WELL AS WE HAVE
A QUICK PAUSE IF COUNCILMEMBER
EDWARDS GOT A CHANCE TO JOIN
US?
FEEL FREE TO DROP IN THE CHAT
IF SHE IS DROPPED INTO ZOOM
HERE.
>> I DON'T SEE HER IN HERE YET.
>> OKAY.
NO PROBLEM.
AND A QUICK REMINDER, WE WILL
HAVE TIMEKA DREW, FOUNDER AND
CEO OF BIKO.
THEN WE WILL CONCLUDE WITH
LARISSA WOHL AND DAVINA SMITH
WITH A POWERPOINT PRESENTATION.
YOU ARE FREE TO TAKE A QUICK
PEEK AT THAT.
AND WILL HAVE MEMBERS FROM THE
DEPARTMENT OF FINANCE AND
ADMINISTERED OF SERVICES
DEPARTMENT.
I WILL TAKE A QUICK MOMENT AS
WELL. GERALD, THE OTHER DAY WE
WERE TALKING ABOUT HOW DO WE
DEFINE EQUITY AND WHAT THE
SOCIAL EQUITY LOOK LIKE?
I THINK THIS PRESENTATION SO
FAR HAS BEEN SO ILLUMINATING ON
WHAT EQUITY MEANS IN THIS SECTOR
. DID YOU HAVE ANY THOUGHTS ON
THAT?
I KEPT THINKING ABOUT THAT
QUESTION.
>> I'VE GOT A BUNCH OF NOTES.
SOME OF MY QUESTIONS HAVE BEEN
ANSWERED, BUT I'VE GOT A BUNCH
OF NOTES.
>> THAT'S EXCELLENT.
GREAT.
WE WILL GIVE HER ONE MORE
úMINUTE.
GOOD MORNING, SARAH.
>> I AM SO SORRY, GUYS.
>> THAT'S OKAY.
I WAS MENTIONING I HAD TO JUMP
OFF A PRESENTATION ONCE BECAUSE
MY CHILDCARE CALLED IN THE
MIDDLE OF IT AND THE
PRESENTATION WAS ABOUT
CHILDCARE.
DON'T WORRY.
>> I BOUGHT A NEW LITTLE GERMAN
SHEPHERD PUPPY.
HE HAS BEEN OUTSIDE AND HE IS
RUNNING A MOCK.
THE NEIGHBORS ARE LIKE HEY,
YOUR DOG!
I AM SO SORRY.
>> DON'T WORRY ABOUT IT.
>> THANK YOU.
I WILL FINISH THIS REAL STRONG
FOR YOU, I PROMISE.
OKAY, SO NOW WE'VE GOT THIS
BOOTS ON THE GROUND AND THINGS
JUST AREN'T CLICKING.
PEOPLE ARE NOT ABLE TO FIND
LOCATIONS BECAUSE FOR OVER 10
YEARS, OUR MARKET WAS SATURATED
LIKE YOURS.
ALL OF THE AVAILABLE LOCATIONS,
THEY ARE NOT AVAILABLE.
THINGS AREN'T WORKING.
WHERE WE ARE NOW IS WE HAVE GOT
TO GO BACK TO THAT REFORM.
I THINK IT IS A CONSTANT CYCLE
WITH SOCIAL EQUITY AND WHAT I
NOTICED AROUND THE COUNTRY,
ONCE YOU HAVE THE FIRST COUPLE
OF THINGS DONE AND THEY DON'T
WORK, EVERYONE IS UP IN ROARS
AND THEY ARE LIKE, IT'S NOT
WORKING.
IT IS A SMALL LITTLE CHANGES.
NOW IN DENVER AND IN THE STATE,
WE NEED TO TIGHTEN UP OUR
CRITERIA TO MAKE SURE THAT
PEOPLE WE WERE SEEKING TO HELP
ACTUALLY GET ASSISTANCE AS
OPPOSED TO WHAT WE SEE NO.
YOU HAVE PEOPLE WITH 39 STORES
QUALIFYING FOR SOCIAL EQUITY
UNDER THE PRETENSE OF HAVING AN
ARREST. CLEARLY THIS PROGRAM IS
NOT FOR YOU.
YOU HAVE 39 STORES.
THEN WE NEED TO WORK WITH THE
CITY COUNCIL SO THEY CAN MAKE
CHANGES AROUND ZONING
RESTRICTIONS. WHEN YOU ARE
IMPLEMENTING YOUR POLICIES, ONE
OF THE THINGS I WOULD SAY IS
RALLY THINK ABOUT THE
LANDSCAPE OFF PEOPLE ALREADY
OUT THERE AND FIGURE OUT, YOU
KNOW, HOW ARE NEW PEOPLE GOING
TO FIT INTO A SATURATED MARKET?
THE OTHER THING THROUGH
DIFFERENT POLICY CONVERSATIONS
THAT I HAVE BEEN PART OF,
PEOPLE ARE REALLY STARTING TO
REALIZE THAT WHILE RACE DOES
NOT NEED TO BE THE ONLY
CRITERIA, SOME TYPE OF MINORITY
DESIGNATION NEEDS TO BE IN
THERE.
OF COURSE, THAT IS GOING TO
TAKE A LOT OF THINKING AND A
LOT OF SMART PEOPLE TO FIGURE
OUT HOW YOU AVOID LAWSUITS.
THERE IS NO WAY TO ACKNOWLEDGE
THAT BLACK AND BROWN PEOPLE
WERE DISCRIMINATED AGAINST AND
NEGATIVELY IMPACTED BASED ON
THE WAR ON DRUGS. THEN WE
CREATE POLICY AND SAY WELL, WE
CAN'T USE RACE AT ALL.
THAT IS ONE OF THE THINGS THAT
I THINK IS EXTREMELY IMPORTANT.
AND FINALLY, THE RESTORATION
PIECE IS THE ACCOUNTABILITY.
IF YOU GUYS DO DELIVERY AND YOU
CHOOSE TO DO DELIVERY THE WAY
THAT WE DID, WHICH I WOULD SAY
THAT IT'S NOT THE BEST WAY AND
WE ARE CONSTANTLY GOING TO WORK
ON CHANGING THAT. DELIVERY
PEOPLE SHOULD BE ABLE TO
DELIVER THEIR OWN PRODUCTS.
THEY SHOULD NOT BE AT THE MERCY
OF THE STORE. SO, IF YOU
IMPLEMENT DELIVERY WHERE THEY
ARE DELIVERING THEIR OWN
PRODUCT, THAT'S ONE THING.
IF THEY HAVE TO USE A STORE, I
THINK IT IS IMPORTANT TO HOLD
STORES ACCOUNTABLE AND ALSO THE
INDUSTRY IN GENERAL.
I UNDERSTAND IT IS A PRIVATE
SECTOR, BUT ALL OF THESE ARE
PUBLIC PROGRAMS.
WE HAVE TO BE ABLE TO FIND A
WAY TO WORK TOGETHER AND MAKE
SURE DOESN'T ONLY LOOK GOOD ON
PAPER, BUT THE ACTUAL
IMPLEMENTATION IS A STRONG.
THAT IS PRETTY MUCH MY TAKE
OVERALL ON IT.
>> THANK YOU VERY MUCH, SARAH.
YES, STRONG FINISH.
I APPRECIATE YOUR PRESENTATION.
I'M SURE THERE WILL BE SOME
QUESTIONS.
GOOD MORNING, TAMIKA.
TIMEKA DREW IS THE FOUNDER AND
CEO OF BIKO LOS ANGELES.
IF I AM NOT SAYING BIKO RIGHT,
PLEASE TELL US WHAT THAT STANDS
FOR AND PLEASE INTRODUCE
YOURSELF AS YOU GET INTO YOUR
PRESENTATION.
>> THANK YOU.
THANK YOU SO MUCH FOR HAVING ME
TODAY.
CAN YOU HEAR ME OKAY?
OKAY.
WONDERFUL.
I WILL ACTUALLY TELL YOU WHAT
BIKO MEANS.
BIKO MEANS PLEASE.
I FOUND OUT THAT I WAS NIGERIAN
RECENTLY, SO I WANTED TO
CELEBRATE THAT WITH MY BRAND.
FIRST I WOULD LIKE TO THANK THE
MEMBERS OF THIS CITY COUNCIL
TODAY IN THE SEATTLE COMMUNITY
FOR ALLOWING ME TO SHARE MY
EXPERIENCES AS A CANNABIS
LICENSEE BENEFITING FROM THE
SOCIAL EQUITY LICENSING PROGRAM
HERE IN LOS ANGELES,
CALIFORNIA.
A LITTLE BIT ABOUT MYSELF, I AM
CURRENTLY A MANUFACTURING
LICENSE HOLDER AND A LICENSEE.
I AM WORKING TO OPERATIONALIZE
AND I RECENTLY APPLIED FOR A
CULTIVATION PROCESSING LICENSE
AS WELL.
I AM A BOARD MEMBER OF THE
CANNABIS EQUITY RETAILERS
ASSOCIATION AND THE EQUITY
TRADE CERTIFICATION LEADERSHIP
COALITION OF POLICY COMMITTEE.
AS WELL AS THE SOCIAL EQUITY
OWNERS AND WORKERS ASSOCIATION.
IF YOU WOULD JUST HOLD ON ONE
MOMENT.
>> OKAY.
LET'S TRY THAT.
CAN YOU HEAR ME?
>> OH, YEAH.
WE CAN HEAR YOU WELL.
>> WONDERFUL.
I WAS GETTING FEEDBACK ON MY
HEADSET.
I WILL TRY AGAIN HERE.
I AM THE MOTHER OF FOUR
CHILDREN THAT I WAS ABLE TO
HAVE AFTER BECOMING A MEDICAL
CANNABIS PATIENT AND BEING ABLE
TO HEAL MY BODY FROM SUFFERING
FROM CROHN'S DISEASE FOR
SEVERAL YEARS.
I REALLY PLAN TODAY TO GIVE YOU
A GLIMPSE INTO MY LICENSING
JOURNEY AS A BUSINESS OWNER IN
LOS ANGELES.
SO, JUST A LITTLE BIT ABOUT THE
L.A.
PROCESS THAT IS ADMINISTERED BY
THE L.A.
DEPARTMENT OF CANNABIS
REGULATIONS.
L.A.
HAS GONE THROUGH THREE
LICENSING PHASES.
PHASE ONE WAS PREVIOUSLY FOR
LICENSED MEDICAL DISPENSARIES.
SOME OF WHICH WERE MICRO-
BUSINESSES WITH A COMBINATION
OF OPERATING CULTIVATION
MANUFACTURING, DISTRIBUTION,
AND RETAIL LICENSES.
THEY WERE THE FIRST ONES TO GET
IT UP AND RUNNING.
NEXT WAS ROUND TWO, DESIGNED
FOR MEDICAL OPERATORS THROUGH
SOCIAL EQUITY QUALIFICATIONS.
IT IS VERY MUCH IN LINE WITH
THE DENVER QUALIFICATIONS THAT
WERE JUST COVERED.
THEY HAD TO BE ABLE TO PROVE
THAT THEY RAN SOME KIND OF
PREVIOUSLY COMPLIANT BUSINESS.
I WAS ABLE TO OBTAIN A
MANUFACTURING LICENSE AS PART
OF THIS PHASE TWO PROCESS.
THIS DID REQUIRE PROOF OF A
REAL ESTATE TO APPLY FOR THAT
LICENSE.
NOW PHASE THREE IS THE ONE WE
ARE CURRENTLY IN AND THAT WAS
DESIGNED FOR SOCIAL EQUITY
QUALIFIED INDIVIDUALS TO OBTAIN
RETAIL STOREFRONT LICENSES.
THOSE WERE EXCLUSIVELY FOR
LICENSEES.
PHASE THREE ALSO DID REQUIRE
COMPLIANT REAL ESTATE IN ORDER
TO APPLY, BUT AFTER THE
APPLICATION CAME AND WENT, IT
WAS REALLY CLEAR THE PROCESS WAS
MARRED WITH SEVERAL ISSUES.
THERE WAS EVIDENCE THAT CERTAIN
APPLICANTS WERE ABLE TO ACCESS
THE APPLICATION BEFORE THE
PORTAL WAS OPEN FOR OTHERS,
WHICH GOT IN THE WAY OF THE
ORIGINAL FIRST COME OUTCOMES.
FURTHER WE FOUND THAT
INDIVIDUALS WHO WERE SUBMITTING
THEIR APPLICATIONS FROM
DISPROPORTIONATELY IMPACTED
AREAS ACTUALLY WERE AFFECTED BY
SLOWER INTERNET SPEEDS AND
BECAUSE OF THAT, THEY WERE NOT
ABLE TO GET IN AS FAST AS OTHER
PEOPLE, WHICH AFFECTED THAT
FIRST COME, FIRST AWARDED
OUTCOMES.
IN HONOR OF THAT PROCESS AND A
LAWSUIT THAT WAS BROUGHT BY THE
SOCIAL EQUITY OWNERS AND
WORKERS ASSOCIATION LED TO A
CHANGE IN OUR L.A.
ORDINANCE THAT EXPANDED THE
NUMBER OF LICENSEES THROUGH
PHASE THREE FROM 100 RETAIL
LICENSES TO 200.
BECAUSE OF THIS CHANGE, I WAS
ABLE TO BE AWARDED A RETAIL
STOREFRONT LICENSE.
I WAS 234 OR SOMETHING LIKE THAT
ON THE LIST, SO I BARELY GOT IN.
THE PROBLEM WITH THIS ENTIRE
PROCESS, THE WHOLE PROCESS WAS
HALTED FOR EVERY SINGLE PERSON
THAT WAS PART OF IT AS THESE
CHANGES WERE BEING MADE.
THAT MADE MANY OF THESE ORIGINAL
100 LICENSEES LOSE THEIR
PARTNERS AND COMPLIANT PROPERTY.
SO, LIKE MOST OF THE SECOND
HUNDRED LICENSEES, I LOST MY
INITIAL PARTNER IN THE REAL
ESTATE I HAD INITIALLY APPLIED
WITH.
TIGHT RULES AROUND WHERE
STOREFRONT RETAILERS CAN BE
LOCATED MAKES IT DIFFICULT TO
FIND COMPLIANT PROPERTY, EVEN
NOW.
MORATORIUMS ON EVICTIONS DUE TO
COVID HAVE MADE IT EVEN FURTHER
DIFFICULT.
SEVERAL REAL ESTATE OWNERS KNOW
THEIR PROPERTIES ARE NEEDED FOR
CANNABIS LICENSES WITHIN THESE
COMMUNITIES AND THEY EITHER
REFUSE TO LEASE TO CANNABIS
OPERATORS OR THEY CHARGE
ASTRONOMICAL RENTS AND DEPOSITS
THAT MAKE IT REALLY IMPOSSIBLE
TO FIND PARTNERS WILLING TO
HELP COVER THOSE COSTS BEFORE
THE BUSINESSES BECOME
PROFITABLE.
NOW UNFORTUNATELY IT'S NOT JUST
CHALLENGING FOR THE PHASE THREE
RETAIL LICENSEES.
IT IS CHALLENGING FOR PHASE TWO
OPERATORS WERE WORKING TO GET
THEIR LICENSES TO WORK WITHIN
THE CITY BECAUSE THEY DON'T
HAVE ENOUGH LOCAL RETAILERS TO
DO BUSINESS WITH.
THAT IS ACTUALLY PUSHING THEIR
INITIAL PLAN FOR PROFITABILITY
BLACK AND CREATING A LACK OF
RETURNS FOR THEIR INVESTORS.
BECAUSE OF THIS, I CREATED MY
OWN CANNABIS BRAND, BIKO.
THE ONLY WAY WE CAN CONTINUE TO
SURVIVE AS A SOCIAL EQUITY
CANNABIS BRAND IS TO HAVE A
STATEWIDE SALES AND
DISTRIBUTION.
I REALLY HAD TO RELY ON MY CITY
ALONE TO BE ABLE TO SURVIVE.
I COULDN'T WITHIN THE INDUSTRY
WITH THE WAY THAT LICENSING HAS
HAPPENED IN THE CITY.
ONE OF THE MORE POWERFUL TOOLS
THAT I HAVE FOUND THAT WE HAVE
IN OUR COMMUNITY IS OUR PEOPLE
WHO ALREADY KNOW HOW TO RUN
THESE BUSINESSES AND CAN
CONNECT TO LESS EXPERIENCED
BUSINESS OWNERS TO HELP THEM
NETWORK AND TO HELP SHARE THEIR
RESOURCES TO SUPERCHARGE THEM.
I CAME IN AS A GRASSROOTS
ORGANIZER MYSELF AND WHEN I
CREATED THE NONPROFIT
ACCELERATOR, WE WANTED TO
HARNESS THE POWER OF COMMUNITY
AND THE SHARING OF RESOURCES TO
GET SMALLER, LESS EXPERIENCED
SOCIAL EQUITY OPERATORS A
CHANCE TO NOT ONLY SURVIVE BUT
THRIVE WITHIN THIS INDUSTRY.
I THINK CHALLENGING BUSINESSES
AND CORPORATIONS TO SHARE THEIR
RESOURCES AND SUPPORT SMALL
SOCIAL EQUITY BUSINESSES IS
ESSENTIAL.
I AM WRAPPING UP HERE.
ONLY A FEW SMALL THINGS TO
SHARE.
WHILE CONSIDERATIONS LIKE GRANT
MONEY AND THE SUSPENSION OF THE
FEES FOR SOCIAL LICENSE
EQUITIES HAS BEEN REALLY
IMPORTANT, ACCESS TO REAL
ESTATE AND HELPING SECURE THAT
REAL ESTATE AS WELL AS TAXES
THAT DON'T TRIPLE OUR
BUSINESSES, LEGAL COMPLIANCE IS
JUST AS CRITICAL TO ENSURE OUR
ONGOING SUCCESS AND RESOURCE
LISTS AND SERVICE PROVIDERS
THAT ARE VETTED WOULD ALSO BE
HELPFUL.
ACTUALLY A LOAN PROGRAM IN LOS
ANGELES WOULD HAVE BEEN
EXTREMELY DETRIMENTAL FOR US
CONSIDERING THE DIFFICULTY
LICENSEES HAVE HAD GETTING
THEIR BUSINESSES OFF THE GROUND
AND COULD HAVE RESULTED IN
LOSING THEIR LICENSES
ALTOGETHER.
ADDITIONALLY COMMUNITY
REINVESTMENT AS WE HAVE BEEN
TALKING ABOUT IT ON THIS CALL
TODAY HAS NOT BEEN CONSIDERED
IN A REAL WAY IN L.A.
OR CALIFORNIA IN GENERAL AND
CONTINUES TO BE IGNORED WHEN IT
IS THE DRIVING FORCE BEHIND
STANDING UP EQUITY AND
BUSINESSES IN GENERAL.
LAST THING I'LL TALK ABOUT IS
JUST ONE MAJOR PROBLEM WE HAVE
BEEN GOING THROUGH. PARTNERS
HAVE BEEN TAKING ADVANTAGE OF
LOOMING DEADLINES AND CREATING
SITUATIONS WHERE SOCIAL EQUITY
QUALIFIED INDIVIDUALS ARE
FORCED INTO PARTNERSHIPS IN
ORDER TO NOT LOSE THEIR
OPPORTUNITIES.
POTENTIAL PARTNERS DON'T MIND
IF THESE QUALIFIED INDIVIDUALS
LOSE THE OPPORTUNITIES FOR
LICENSES BECAUSE THEY FEEL IT
MAY FREE UP RETAIL LICENSES IN
THE FUTURE.
IT ACTUALLY MIGHT BE IN THEIR
BEST INTEREST TO MAKE IT SO NO
SOCIAL EQUITY, YOU KNOW,
LICENSEES WANT TO TAKE ANY
DEALS WITH PARTNERS.
LICENSES GO BACK INTO THE POT.
THE DEPARTMENT OF CANNABIS
REGULATIONS HAS REQUESTED A
SERIES OF MODIFICATIONS TO THE
CITY COUNCIL THROUGH A MOTION.
ONE OF WHICH WOULD ALLOW FOR
RELOCATION ANYWHERE IN THE CITY.
THOSE CHANGES PROBABLY WILL NOT
COME SOON ENOUGH FOR QUALIFIED
INDIVIDUALS BECAUSE WE HAVE TO
GET OUR STATE LICENSES IN NEXT
MONTH.
IT REALLY DOES PUT QUITE A TIME
CRUNCH ON WHAT WE ARE TRYING TO
DO.
I HAVE FOUND THE DEPARTMENT OF
CANNABIS REGULATIONS LICENSING
APPLICATION WORKSHOPS TO BE
HIGHLY EFFECTIVE IN HELPING
LICENSEES LEARN ABOUT THE
PROCESS AND ALSO THEIR
RESOURCES FOR HELPING WORKERS
LEARN ABOUT HOW THEY CAN BUILD
THEIR CAREER AND APPLY FOR
JOBS.
IT'S BEEN INCREDIBLY HELPFUL
AND AN EASY AND FAIR PROCESS.
APPLICANTS ARE SUPPORTED EACH
STEP OF THE WAY.
I JUST REALLY THANK YOU FOR
YOUR TIME TODAY AND I'M ALWAYS
HAPPY TO ANSWER ANY QUESTIONS
OR BE OF SERVICE ANY WAY I CAN.
YOU CAN ALWAYS REACH OUT TO ME
AFTERWARDS.
THANK YOU.
>> THANK YOU VERY MUCH. THANK
YOU FOR SHARING YOUR STORY AND
THE JOURNEY AND GOOD LESSONS
LEARNED.
I THINK THERE WILL BE QUESTIONS
FOR YOU AS WELL AND WE WILL GET
TO THAT LAST SECTION HERE.
I'M VERY EXCITED TO HAVE WITH
US THE CITY OF SACRAMENTO. THEN
WE'LL TAKE SOME QUESTIONS AND
GO TO OUR FINANCE DEPARTMENT TO
WRAP THINGS UP.
LARISSA WOHL AND DAVINA SMITH
FROM SACRAMENTO ARE HERE WITH
US.
WELCOME TO YOU BOTH.
THANK YOU FOR BEING HERE.
I KNOW THERE WAS ACE A SCHEDULE
CONFLICT FROM COUNCILMEMBER
EDWARDS FROM BOSTON.
LARISSA AND DIVINA, THANK YOU.
THESE INTRODUCE YOURSELF.
>> THANK YOU VERY MUCH.
WE ARE HAPPY TO BE HERE AND
APPRECIATE THE INVITATION.
IT'S IMPORTANT FOR US TO BE HERE
AND WE APPRECIATE THE
OPPORTUNITY YOU HAVE AWARDED
FOR US TO COME TOGETHER.
MY NAME IS DAVINA SMITH AND I
AM THE CANNABIS MANAGER FOR THE
CITY OF SACRAMENTO.
MY BACKGROUND IS AS AN ATTORNEY
ADVISING CANNABIS ENFORCEMENT
AND LAND-USE.
I JOINED THE CITY OF SACRAMENTO
RIGHT BEFORE THE PANDEMIC IN
2020.
IT HAS BEEN AN INTERESTING LAST
TWO YEARS.
MY COLLEAGUE, LARISSA WOHL, IS
WITH ME.
>> I AM A LARISSA WOHL, AN
ADMINISTRATIVE ANALYST IN THE
OFFICE OF CANNABIS MANAGEMENT
AND THE LIAISON TO THE COURT
OF SOCIAL EQUITY.
>> THANK YOU.
WE WILL GO AHEAD AND MOVE
FORWARD WITH OUR POWERPOINT.
WE EACH WILL BE SHARING SOME OF
THE DUTIES HERE.
YOU WILL GET TO HEAR FROM BOTH
OF US.
AS FAR AS WHERE THE MONEY COMES
FROM, WE DO HAVE A CITY TAX.
IT IS 4% ON CANNABIS BUSINESSES.
WE DON'T DIFFERENTIATE BETWEEN
BUSINESSES AT THIS TIME.
THAT REVENUE IS NOT EARMARKED
FOR ANY PURPOSE.
IT GOES INTO OUR GENERAL FUND.
THIS HAS BEEN IN PLACE FOR,
GOSH, MAYBE THREE YEARS NOW?
ONE OF THE THINGS WE KNOW ABOUT
CANNABIS, WE ARE ALWAYS
PIVOTING AND THINGS CHANGE
QUICKLY AND OFTEN.
WE NEED TO BE PREPARED FOR
THAT.
AS FAR AS PERMIT FEES, WE
COLLECT THOSE FROM NONEQUITY
BUSINESSES.
WE DO NOT CHARGE OPERATING
PERMIT FEES.
WITH PERMIT FEES THAT WE TAKE
IN, WE ARE ABLE TO FUND THE
OFFICE OF CANNABIS MANAGEMENT
AS WELL AS OUR PARTNERS WHO
WORK ON THOSE PERMITS AND THE
POLICE DEPARTMENT, THINGS LIKE
THAT.
WE DO COLLECT THOSE FEES WHEN A
BUSINESS PERMIT IS SUBMITTED,
NOT WHEN IT IS ISSUED.
IT IS IMPORTANT FOR OUR EQUITY
PROGRAM. WE DO NOT CURRENTLY
HAVE A FUNDING SOURCE.
WE HAD A TWO YEAR FUNDING
SOURCE.
UNFORTUNATELY IT WAS IN THE
MIDST OF THE PANDEMIC.
ALL FUNDING WAS PRETTY MUCH
FROZEN AT THAT POINT.
WE ARE WORKING ON GETTING THAT
PERMANENT LONG-TERM FUNDING
SOURCE.
NEXT SLIDE, PLEASE?
SO, OUR EQUITY PROGRAM, THE
C.O.R.E.
PROGRAM CAME AROUND IN 2017.
AT THAT POINT, THE CITY COUNCIL
CORRECTED STAFF TO START
WORKING ON THIS.
OUR EQUITY STUDY IS BASED ON
THE CITY OF SACRAMENTO AND
LOOKING AT THE CITY OF
SACRAMENTO WHERE CENSUS DATA,
ARREST DATA, AND WE TOOK THAT
BROADER DATA AND WORKED WITH
COMMUNITY MEMBERS. WITH THE
COMMUNITY BROUGHT TO THE TABLE
IS THE IDEA THAT IS NOT JUST
THE PERSON GETTING ARRESTED
IMPACTED.
IT IS THE ENTIRE FAMILY, THE
ENTIRE COMMUNITY, AS THE
CHILDREN MAY HAVE TO GO TO
OTHER FAMILY MEMBERS TO BE
RAISED AND THE LACK OF A
FATHER, SOMETIMES A MOTHER, AN
UNCLE, AUNT, YOU KNOW,
GRANDPARENTS AND THE IMPACT THAT
PEOPLE LIVING IN THE IMPACTED
COMMUNITY CAN SEE PEOPLE
DISAPPEAR BECAUSE THEY ARE IN
JAIL OR JULIE.
WE REALIZED WE COULD ADJUST
FOCUS ON THE COMMON INDIVIDUAL.
WE WIDENED OUR CRITERIA TO
INCLUDE FAMILY MEMBERS OF THOSE
THAT HAD BEEN ARRESTED AND
LIVING IN IMPACTED AREAS. THIS
REALLY DOES LOOK AT THE FULL
IMPACT OF THE WAR ON DRUGS.
WE DID ADOPT OUR EQUITY
RESOLUTION FOR THE PROGRAM AND
WE HAVE BEEN USING IT EVER
SINCE.
THEY DO RECEIVE CANNABIS
DEVELOPMENT RESOURCES, SMALL
BUSINESS TRAINING, EDUCATION,
FINANCIAL AND TECHNICAL
ASSISTANCE. WE ARE AT AN
INTERESTING POINT AS WE MOVE
FORWARD.
THAT IS FOR SURE.
AS FAR AS OUR NUMBERS, WE HAVE
300 PEOPLE THAT HAVE BECOME
ELIGIBLE FOR MEMBERSHIP AND,
YOU KNOW, ONE OF OUR METRICS WE
ARE ALWAYS LOOKING AT, WE HAVE
300 PEOPLE ELIGIBLE BUT WE ONLY
HAVE 24 OPERATING CANNABIS
BUSINESSES.
UNLIKE SOME OF OUR COLLEAGUES,
WE DON'T ALLOW PEOPLE TO
OPERATE PRIOR TO GETTING A FULL
BUILDOUT, FULL SIGN OFF BY PD.
ALL OF THESE THINGS HAVE TO BE
IN PLACE.
ALL OF THE HEALTH SAFETY THINGS
HAVE TO BE ADDRESSED BEFORE WE
WILL ALLOW A BUSINESS TO
OPERATE IN SACRAMENTO.
FOR A LOT OF OUR APPLICANTS,
YOU KNOW, IT IS A TOUGH ROAD.
ONE OF THE THINGS WE ARE
WORKING ON, THE FINANCIAL
ASSISTANCE THAT CAN REALLY HELP
PEOPLE GET THROUGH THE
COMMITTEE AND EMERGE ON THE
OTHER SIDE.
WHEN WE SAY THE CULTIVATION,
THAT IS SIX PERMITS THAT HAVE
BEEN ISSUED TO C.O.R.E.
MEMBERS OUT OF 93 NON-EQUITY
PERMITS THAT HAVE BEEN ISSUED.
WE HAVE FOUR PENDING
APPLICATIONS.
AS YOU CAN SEE, ONE OF THE
THINGS THAT SACRAMENTO DID, AND
IF YOU WERE TO GO BACK IN TIME,
WE PROBABLY CHANGE THIS METRIC.
WE LET IT BE OPEN.
WE SAID IF YOU WANT TO COME IN
AND OPERATE A CANNABIS BUSINESS
HERE, AS LONG AS YOU GET YOUR
PERMIT SO YOUR ENVIRONMENTAL
IMPACTS ARE DEALT WITH, YOU
WILL GET YOUR BUILDING PERMITS
AND BUSINESS OPERATING PERMIT.
YOU CAN OPERATE HERE.
WE DIDN'T HOLD ANY PERMIT APART
FOR OUR EQUITY MEMBERS.
WE JUST SORT OF LET THAT MOVE
FORWARD.
LOOKING BACK, THAT IS
DEFINITELY SOMETHING WE COULD
DO DIFFERENTLY.
I WILL SAY IN THE TWO YEARS
I'VE BEEN HERE, THE NUMBER OF
BUSINESS OFFERINGS HAVE CAUGHT
UP SIGNIFICANTLY BUT IT IS A
ROAD AND WE ACKNOWLEDGE THAT.
CAN WE GO ON TO THE NEXT SLIDE,
PLEASE?
>> THANK YOU, DAVINA.
I WANTED TO GIVE YOU AN
OVERSIGHT AND AN OVERVIEW OF
SOME OF THE THINGS OFFERED TO
YOU ONCE THEY BECOME VERIFIED.
FOR GRANT FUNDING, ALL OF THE
GRANT FUNDING AT THIS MOMENT
COMES FROM STATE FUNDING.
EVERY YEAR THEY HAVE AN EQUITY
GRANT APPLICATION. IN 2020, WE
HAD $1.2 MILLION IN STATE
FUNDING FOR FISCAL YEAR 19 THAT
WE DISPERSED AS A $25,000
REIMBURSEMENT GRANT FOR PERMIT
APPLICATION. THAT WAS BEFORE I
CAME ON BOARD AND I BELIEVE
THEY WERE FINISHING THAT UP
BEFORE MOVING ONTO THE NEXT
YEAR OF FUNDING WHEN I CAME ON
BOARD.
THIS YEAR FOR THE 21 FUNDING,
WE RECEIVED $1.6 MILLION AND
THIS WAS REALLY A PROCESS THAT
CAME ON IN JULY OF LAST YEAR AT
THE BEGINNING OF THIS WE
DEVELOPED A SERIES. WE HEARD
FROM STAKEHOLDER COMMUNITIES
AND SOME OF THE STAKEHOLDER
ORGANIZATIONS THAT THEY WANTED
TO BE INVOLVED IN THE PROCESS.
WE DID A SERIES.
WE MET MONTHLY WITH OUR
STAKEHOLDERS.
WE DID A SERIES OF SURVEYS TO
HONE IN ON WHAT THEY WERE
LOOKING FOR. UNDERSTANDING WE
CAN'T APPEASE EVERYBODY, WE DID
IT DEMOCRATICALLY.
AT THE END OF THE DAY, WHAT THE
COMMUNITY DECIDED ON WAS A
FIRST COME FIRST SERVE PROCESS.
GRANTS UP TO $125,000 FOR THOSE
WITH LEASED OR OWNED LOCATIONS,
WHICH AT THE END OF THE DAY, WE
DOUBLE CHECKED WITH FOLKS
BECAUSE WE KNEW THAT WAS A LOT
OF MONEY.
WE EXPLAINED THAT WOULD ONLY
REALLY AMOUNT TO A SMALL NUMBER
OF RECIPIENTS. AT THE END OF
THE DAY, THAT IS WHAT MOST OF
THE FOLKS WANTED AND WE TOOK
THE FEEDBACK AFTER THE PROCESS.
IT WAS A LITTLE BIT OF A
STRUGGLE, TO BE HONEST.
YOU KNOW, SOME OF THE -- A LOT
OF FOLKS HAD ISSUES WITH THE
APPLICATION PROCESS.
AGAIN, I THINK THERE IS A FIRST
COME, FIRST SERVE.
THERE WILL BE ISSUES THERE.
WE TOOK THINGS WE LEARNED
THROUGH THE PROCESS AND
DEVELOPED THE PROGRAM MOVING
FORWARD FOR THE NEXT GRAND
YEAR.
FOR THE NEXT FISCAL YEAR 2022,
WE RECEIVED $4.35 MILLION IN
STATE FUNDING, WHICH IS
SIGNIFICANTLY MORE.
WE ARE LOOKING AT A COMBINATION
OF SMALL AND LARGE BRANDS AND
REALLY TRYING TO MAXIMIZE THE
IMPACT ACROSS THE BOARD.
WE ARE LOOKING AT SETTING ASIDE
A SIGNIFICANT AMOUNT OF THAT.
WE KNOW THAT THERE ARE
POTENTIAL BUSINESS OWNERS WHO
ARE LOOKING TO BUILD OUT LARGER
PROJECTS THAT MIGHT HELP
SUPPORT WHAT WE WILL BUILD
THROUGH THE SYSTEM.
POTENTIALLY SHARED USE
FACILITIES AND THINGS LIKE THAT.
WE ARE CURRENTLY DEVELOPING THE
PROJECT.
THE GRANT PROGRAM WILL COME OUT
IN THE FOLLOWING MONTHS.
IN 2021, WE RECEIVED $3.7
MILLION IN STATE GRANT FUNDING
WHICH ALLOWED US TO ESTABLISH
ZERO INTEREST LOAN PROGRAM AND
INITIALLY WE HAD BEEN
DISPERSING $25,000 AND $50,000
GRANTS. WE WANTED TO MAKE SURE
EVEN IF PEOPLE HAD A SECURE
LOCATION, THEY COULD USE LOAN
FINDING TO HELP THEM DO THAT AS
THEY WENT TO BUSINESS OWNERS,
THEY COULD SHOW THEM THEY HAD
FUNDING TO BE ABLE TO PUT A
DOWN PAYMENT ON THE LOCATION.
THE GOAL WAS ONCE ALL OF THOSE
FUNDS WERE DISBURSED, IT WOULD
MOVE INTO A REVOLVING LOAN FUND.
IT NOW HAS.
WE HAVE DISPERSED ALL OF THAT
FUNDING.
I KNOW THERE WERE SOME OTHER
PANELISTS WHO MENTIONED ISSUES
WITH LOAN FUNDS, WHICH I THINK
ARE VERY REAL.
WE INITIALLY THOUGHT THERE
WOULD BE A DELAYED PAYMENT PLAN
AND THERE ISN'T. WE KNOW FOR
SOME PEOPLE, LOANS ARE BETTER
THAN FOR OTHERS BUT WE KNOW IT
HAS HELPED A LOT OF BUSINESSES
IN OPENING AND MAINTAINING
THEIR BUSINESS.
WE ALSO OFFER EDUCATIONAL
OPPORTUNITIES AND DIRECT
TECHNICAL SUPPORT THROUGH THIRD-
PARTY FACILITATORS.
FOR THE FIRST TWO YEARS OF THE
SOCIAL EQUITY PROGRAM, WE
CONTRACTED WITH TWO LOCAL
ORGANIZATIONS AND RECEIVED TWO
BIDS FROM THE CHAMBER OF
COMMERCE. AT THE TIME, WE WERE
OPERATING TWO DIFFERENT
PROGRAMS.
THOSE FACILITATORS PROVIDED THE
VERIFICATION OF ELIGIBILITY FOR
THE C.O.R.E.
PROGRAMS . DIRECT TECHNICAL
ASSISTANCE PRIOR TO COVID, THEY
DID HAVE IN PERSON CLASSES BUT
ALL OF THOSE HAVE TRANSITIONED
TO ONLINE.
LIKE I SAID, ONE-ON-ONE SUPPORT
AND MENTORSHIP AND ACCESS TO
INDUSTRY FOR PROFESSIONALS. NOT
ALWAYS FREE, BUT CONTRACTED AT
A LOWER RATE.
WE HAD HEARD FROM MANY ACCOR
MEMBERS THAT THEIR NEEDS ARE
NOT BEING MET BY THIS CURRENT
OFFERING.
I WILL TALK A LITTLE BIT ABOUT
POTENTIALLY WHAT IS NEXT AND
THINGS WE ARE LOOKING TO
CHANGE.
FIRST, IN THINGS WE ARE
CURRENTLY WORKING ON, WE HAVE A
C.O.R.E.
MEDIA AND COMMITTEE OUTREACH
CAMPAIGN. WE JUST SIGNED THAT
CONTRACT WITH A LOCAL FIRM. WE
ARE EXCITED TO BE MOVING
FORWARD WITH THEM.
THE GOAL IS TO HIGHLIGHT OUR
C.O.R.E.
PROGRAM IN A NUMBER OF WAYS.
GIVING CONSUMERS THE KNOWLEDGE
THEY NEED. IF THEY ARE STARTING
TO ASK FOR LOCAL EQUITY BRANDS,
MOST RETAILERS DON'T HAVE IT.
YOU KNOW, JUST LIKE THERE ARE
STICKERS IN WINDOWS OR WAYS TO
IDENTIFY BLACK OWNED OR WOMEN
OWNED BUSINESSES, THAT IS WHAT
WE ARE LOOKING TO DO AND ALSO
TO RAISE THE AWARENESS OF THE
C.O.R.E.
PROGRAM AS WELL AS HIGHLIGHTING
THE STORIES AND SHARING THE
STORIES WIDELY OF BUSINESS
OWNERS BECAUSE WE KNOW
STORYTELLING IS VERY IMPACTFUL.
IT CAN MAKE A MAJOR DIFFERENCE
IN THE INDUSTRY.
WE ARE RECOGNIZING AND HEARING
THE FEEDBACK FROM C.O.R.E.
MEMBERS OF WHAT THEY'RE
CURRENTLY BEING OFFERED.
IT'S NOT ENOUGH TO SUPPORT THEM
IN OPENING A BUSINESS.
WE ARE CURRENTLY DEVELOPING
THAT SCOPE.
YOU CAN SEE SOME OF THE
SERVICES WE ARE LOOKING INTO.
IT INCLUDES OPTIONS BEYOND WHAT
WE HAD ALREADY ESTABLISHED.
LAST YEAR, WE LAUNCHED A
CANNABIS INDUSTRYWIDE STUDY
WITH THE ECONOMIC AND PLANNING
SERVICES, WHO I KNOW HAS DONE A
LOT OF WORK WITH THE CITY
BEFORE.
THIS WAS REQUESTED BY THE CITY
COUNCIL TO VISIT THE IMPACT OF
THE CANNABIS INDUSTRY CITYWIDE.
THEY WERE INTERESTED IN LAND-USE
, TAXES, ECONOMIC AND FISCAL
IMPACT.
THERE ARE A FEW POLICIES THAT
ARE EXPIRING SOON THAT THEY
WANTED TO HAVE HARD DATA TO BE
ABLE TO INFORM POLICY DECISIONS.
WE ARE HOPING THAT WILL BE
PUBLICLY MADE AVAILABLE NEXT
WEEK.
WE HAVE BEEN WAITING FOR A
LITTLE WHILE.
WHEN THAT IS PUBLICLY RELEASED,
THERE WILL BE A SERIES OF
WORKSHOPS HOPEFULLY INFORMING
POLICY TO BRING TO CITY COUNCIL
. I WOULD ADD FOR THE NEXT ITEM
, WE KNEW GOING INTO THIS THAT
THE INDUSTRYWIDE STUDY WAS
REALLY GOING TO BE AN OVERVIEW
AND GO INTO A DEEPER DIVE IN
SOME AREAS BUT NOT OTHERS.
WE KNEW AT THE ONSET THAT WE
WOULD WANT TO DO A DEEPER DIVE
AND EQUITY IS ONE OF THOSE
AREAS.
WE RECENTLY LAUNCHED AND ARE
ACCEPTING BIDS FOR THE STUDY TO
DIVE DEEPER INTO THE CANNABIS
INDUSTRY IN SACRAMENTO.
IT SOUNDS SIMILAR TO THE THINGS
DENVER HAS LEARNED ALREADY.
WE ARE LOOKING AT BETTER
UNDERSTANDING LOOKING BACK AT
THE FIRST COUPLE OF YEARS OF
THE PROGRAM.
WE ARE LEARNING GOOD TAKEAWAYS
AND MITIGATING ADDITIONAL
BARRIERS AND RESOURCES AND WE
WANT TO MAKE SURE IT IS
INFORMING PUBLIC POLICY AND
INDUSTRYWIDE STUDY.
IT'S IMPACTED BY SOCIAL EQUITY
AND RACIAL EQUITY.
WE ARE EXCITED FOR THAT.
IT WILL GIVE US REALLY
IMPORTANT INFORMATION AS WE
MOVE FORWARD.
>> I MIGHT ASK YOU TO CONCLUDE
WITH THE LAST SLIDE AND WE CAN
INTEGRATE SOME OF THE
CHALLENGES INTO THE QUESTIONS,
SO WE CAN GET TO SOME OF THE
QUESTIONS, IF THAT'S OKAY.
>> WE ARE WORKING ON WORKFORCE
DEVELOPMENT BECAUSE WE
UNDERSTAND THAT SUPPORTING THE
CANNABIS INDUSTRY IS FROM ALL
SIDES, BOTH SUPPORTING BUSINESS
OWNERS IN GETTING THEIR
BUSINESSES OPEN AND MAKING SURE
THEY ARE TAKING ADVANTAGE OF
THE OPPORTUNITIES OF ALL OF THE
JOBS THAT ARE BEING CREATED,
WHICH IN SACRAMENTO, IS ALLOWING
THOSE WITH DIFFERENT SKILL SETS
TO PARTICIPATE.
>> THANK YOU FOR YOUR TIME. I
THINK THAT WILL TEE UP SOME OF
THE QUESTIONS THAT I DID HAVE
FOR THE PANELISTS HERE TODAY.
BUT FIRST, CAN YOU PLEASE JOIN
ME IN THANKING THE ESTEEMED
PANELISTS FOR BEING WITH US
TODAY?
I WANT TO THANK ARETHA FROM MY
OFFICE WHO WILL WORK TO GET
OUTREACH FROM DIFFERENT
JURISDICTIONS. THANK YOU, ARETHA
. COLLEAGUES, I AM HAPPY TO
OPEN IT UP TO HERE SOME
QUESTIONS.
CHAIR HERBOLD, VICE CHAIR
HERBOLD, LONG TIME CHAMPION ON
EQUITY ISSUES ESPECIALLY IN
TRYING TO RECTIFY SOME OF THE
HARMS OF THE WAR ON DRUGS BUT
ALSO CHAIR OF PUBLIC SAFETY AND
HUMAN SERVICES.
PLEASE GO AHEAD, COUNCILMEMBER.
>> I WANTED TO EXPRESS MY
APPRECIATION FOR THE INCREDIBLE
GROUNDBREAKING WORK ACROSS THE
COUNTRY.
THANK YOU FOR TAKING TIME OUT
FROM YOUR BUSY DAYS TO SHARE
YOUR LESSONS LEARNED FOR US I
WANTED TO SHARE A COMMENT FROM
A PERSON OF COLOR CANNABIS
BUSINESS. SOMEONE WATCHING THIS
PRESENTATION RIGHT NOW EXCITED
ABOUT ALL OF THIS WORK YOU
WANTED TO THANK EVERYBODY FOR
THEIR CONTINUED SUPPORT THROUGH
SOCIAL CHANGES GLOBALLY,
NATIONALLY, AND REALLY WANTS TO
REMIND US ALL HOW IMPORTANT, AS
WE HEARD FROM LYNN DOMINGO IN
PUBLIC COMMENT TODAY, HOW
IMPORTANT THE SOCIALIZATION WE
HAVE SEEN IN CANNABIS IS SO
IMPORTANT.
WE REALLY MUST HAVE A FEDERAL
REFORM AS WELL.
JUST A REMINDER THAT HOPEFULLY
WE ARE ALL LOOKING AT THAT
FEDERAL REFORM AS WELL.
BUSINESSES CAN DO BUSINESS LIKE
ANY OTHER ACCEPTED BUSINESS IN
OUR COMMUNITY.
IN DOING SO, WE CAN HAVE A
SAFER WORKPLACE AND ALSO BY
BEING ABLE TO DO BUSINESS THAT
WAY, IT REDUCES SOME BARRIERS
THAT FOLKS HAVE ENTERING INTO
THIS INDUSTRY. BIG SUPPORT FOR
THE EQUITY EFFORTS THAT WE ARE
ALL WORKING ON HERE.
MY QUESTION IS KIND OF A
SEQUENCING QUESTION. IN 2020
AND 2021, WITH SUPPORT OF THE
COUNCIL, I WORKED WITH THE
OFFICE OF INTER-MENTAL
GOVERNMENT RELATIONS TO ADD
SUPPORT FOR LEGISLATION ON THE
STATE LEVEL TO ADDRESS THE LACK
OF EQUITY IN CANNABIS LICENSES
AND THERE WAS A LAW PASSED IN
2020 AND 2021 WHICH EXPANDED
THE ELIGIBILITY FOR LICENSES
AND CREATED A STATE GRANT
PROGRAM.
IT IS 1.1 MILLION. WE RECOGNIZE
IT'S NOT SUFFICIENT.
IT'S NOT THE NUMBER OF FUNDS
FOR THE ENTIRE STATE PER YEAR,
BUT JUST FOCUSING ON THE ISSUE
OF SOCIAL EQUITY LICENSES
THEMSELVES.
WE KNOW SEATTLE WILL RECEIVE
TWO SOCIAL EQUITY LICENSES FROM
THE STATE AND KING COUNTY EQUITY
AND A CANNABIS PROJECT HAVE
DEMANDED THE CITY ASK FOR 30
SOCIAL EQUITY LICENSES.
CURRENTLY THERE ARE 38
AVAILABLE STATEWIDE AND FAS HAS
REPORTED EVEN TO USE THE TWO
EQUITY LICENSES THAT WE HAVE
AVAILABLE TO US, ZONING IS A
BARRIER.
STAKEHOLDERS HAVE ASKED US TO
EXPAND SEATTLE'S LAND-USE TO
ALLOW FOR A RETAIL LICENSES. I
AM REALLY INTERESTED TO LEARN
FROM THE OTHER JURISDICTIONS
WHETHER OR NOT THEIR ZONING AND
LAND USE RESTRICTIONS MAKE IT
DIFFICULT TO USE THEIR SOCIAL
EQUITY LICENSES. IF SO, DO YOU
RECOMMEND -- HOW DO YOU
RECOMMEND SEQUENCING THE
NECESSARY CHANGE?
DO YOU WORK ON INCREASING THE
NUMBER OF LICENSES FIRST AND
EXPAND THE ZONING?
DO YOU RECOMMEND WE DO IT THE
OTHER WAY AROUND?
CHANGE THE ZONING AND ADVOCATE
FOR MORE LICENSES?
THANK YOU.
>> GREAT QUESTION.
I SEE TWO HANDS IN RESPONSE SO
FAR.
PLEASE GO AHEAD, GREG.
THEN DAVINA NEXT.
>> THANK YOU TO ALL OF THE
PANELISTS. SOME FOLKS, LIKE
DAVINA, UNFORTUNATELY HAVE TO
DEAL WITH LISTENING TO ME TALK.
IT WAS INTERESTING TO HEAR FROM
OTHER JURISDICTIONS.
I WILL JUST SHARE HOW WE
APPROACHED IT HERE. IT SOUNDS
LIKE THERE IS A LIMIT ON THE
NUMBER OF LICENSES. THAT MIGHT
BE DEFINED BY STATE LAW OR
LOCAL LAW.
WE HAVE FLEXIBILITY IN
CALIFORNIA. AT THE LOCAL LEVEL,
IN OAKLAND, WE HAVE TAKEN THE
APPROACH OF HAVING NO NUMERIC
LIMIT ON THE NUMBER OF LICENSES
OTHER THAN FOR BRICK AND MORTAR
RETAIL. I KIND OF SEE THE PROS
AND CONS OF BOTH APPROACHES.
NOT HAVING A LIMIT ON THE
NUMBER ALLOWS FOR A FLUID
PROCESS.
PEOPLE CAN APPLY AT ANY TIME.
IF THERE IS SOME SORT OF DEFECT
IN THE APPLICATION, NO BIG
DEAL.
IT KIND OF LOWERS BARRIERS. YOU
KNOW, OPPORTUNITIES FOR
EVERYONE.
SOME PEOPLE SAY IT IS A RACE TO
THE BOTTOM BECAUSE YOU HAVE
COMPETITION FROM THE WHOLE
WORLD.
ON THE RETAIL SIDE WHERE WE
HAVE A LIMIT, WE SEE THE PROS
AND CONS OF THAT APPROACH.
YOU HAVE TO HAVE A SET PROCESS
AND APPLICATION WINDOW.
IF SOMEBODY DOESN'T DO WELL OR
MISSES A DEADLINE, YOU CAN'T
CURE IT.
YOU CANNOT REDO THE RACE.
HOWEVER HAVING A LIMIT ON THE
NUMBER CAN CREATE MORE OF A
DEMAND.
PEOPLE WITH CAPITAL MIGHT BE
MORE INCENTIVIZED TO PARTNER
WITH AN EQUITY BUSINESS FOR THE
PURPOSE OF OPENING A MORE
LIMITED, MORE EXCLUSIVE
BUSINESS TYPE.
WITH RESPECT TO REAL ESTATE,
THROUGH THE RETAIL PROCESS, WE
SELECT THE APPLICANT. WE HAVE
HAD A PROCESS WHERE EQUITY
APPLICANTS ARE SELECTED THROUGH
A LOTTERY. THE OTHER HALF IS
COMPETITIVE AND FAVORS THOSE
THAT PROMOTE EQUITY. THEN THEY
HAVE A WINDOW OF TIME TO FIND
REAL ESTATE.
THEY DON'T HAVE TO SECURE REAL
ESTATE OR PAY RENT ON THE OFF
CHANCE THEY ARE SELECTED AND
FROM MONTH TO MONTH, WAIT FOR
THAT ALL TO PLAY OUT.
IT SOUNDS LIKE JURISDICTIONS
NEED A PLACE TO DO BUSINESS.
REQUIRING REAL ESTATE UPFRONT
CAN LEAD TO REALLY UNFORTUNATE
OUTCOMES AND IT CREATES A
BARRIER.
I DON'T KNOW IF THAT WAS
HELPFUL AT ALL, BUT I WANTED TO
SHARE SOME OF HOW WE APPROACH
THE LIMIT OR NOT HAVING A LIMIT
ON LICENSES AND REAL ESTATE.
>> VERY HELPFUL.
DAVINA AND THEN SARAH IN
RESPONSE TO THE QUESTION.
>> THANK YOU.
IN SACRAMENTO, YOU KNOW, WE
HAVE A FEAR-BASED ZONING THAT
CAME ABOUT IN 2018.
IT IS THE IDEA THAT CANNABIS
BUSINESSES WOULD BE VERY
IMPACTFUL IN THE SURROUNDING
COMMUNITY.
MOST OF OUR CANNABIS BUSINESSES
WERE ZONED IN MANUFACTURING AND
INDUSTRIAL AREAS. THEY HAVE TO
BE A CERTAIN DISTANCE. WHAT WE
FOUND ACTUALLY IS THAT OVER THE
LAST SEVERAL YEARS, IMPACTS DID
NOT NECESSARILY OCCUR.
BUSINESSES, BECAUSE THEY ARE SO
HIGHLY REGULATED, THEY ARE THE
CLEANEST ONE ON THE BLOCK.
THEY PICK UP THEIR TRASH.
THEY TRIED TO BE GOOD TO THEIR
NEIGHBORS.
IN THE AREAS SURROUNDING THESE
CANNABIS BUSINESSES, WHICH IS
PRETTY INTERESTING, I THINK THAT
HAVING AVAILABLE SPACE FOR
BUSINESSES TO GO, ESPECIALLY
EQUITY BUSINESSES IS IMPORTANT.
WE FOUND A 2018, THERE WAS A
RUSH.
ALL OF A SUDDEN THE PRICE FOR
SQUARE FOOT FOR COMMERCIAL REAL
ESTATE GO UP PRETTY HIGH. THAT
IMPACTED NOT ONLY THE ABILITY
OF EQUITY BUSINESSES TO AFFORD
TO GO THERE AND TO BE ABLE TO
GO THERE, BUT ALSO NOT CANNABIS
BUSINESSES THAT MAY HAVE WANTED
THAT WAREHOUSE SPACE OR
INDUSTRIAL SPACE.
ALL OF A SUDDEN YOU HAVE A
VACANT SPACE. SOMEONE CAN
AFFORD TO PAY THREE TO SEVEN
DOLLARS MORE PER SQUARE FOOT. I
THINK HAVING A VARIETY OF
PLACES WHERE PEOPLE CAN
ACTUALLY GO IN, THAT WILL
PREVENT THE OPERATOR FROM BEING
SQUEEZED LIKE THAT.
THIS LANDLORD IS CHARGING A
CRAZY AMOUNT.
I THINK THAT IS REALLY
IMPORTANT FOR THEM TO HAVE.
>> SUMS UP.
THANK YOU, DAVINA.
SARAH, PLEASE GO AHEAD.
>> THANK YOU.
AND DON'T WORRY, I WON'T STOP
THIS TIME.
YES, ZONING IS EXTREMELY
CRITICAL AND I BELIEVE THAT
THEY CAN BE DONE AT THE SAME
TIME BECAUSE THE PROCESS DOES
TAKE A WHILE.
IN DENVER, WE HAVE THIS REALLY
GREAT PROGRAM.
I DO THINK THERE IS GOOD PUBLIC
POLICY WHEN IT COMES TO THAT.
YOU DON'T WANT TO HAVE A LOT OF
OVER CONCENTRATION OR
OVERCROWDING.
WE ESSENTIALLY ALREADY HAVE
THAT.
THE THOUSANDS FROM STORE TO
STORE, NEIGHBORHOODS THAT ARE
PREDOMINANTLY BLACK AND BROWN,
YOU CAN NO LONGER OPEN
CULTIVATION STORES THERE.
THOSE THINGS ARE STOPPING OUR
SOCIAL EQUITY PEOPLE FROM BEING
ABLE TO PROGRESS. IT IS
EXTREMELY DISCOURAGING.
WHEN YOU GUYS IMPLEMENT YOUR
POLICY, THE ONE THING I WILL SAY
, THE OLD RULES CANNOT APPLY.
I LIKE WHAT WE HAVE DONE IN
DENVER.
WE HAVE THIS EXCLUSIVITY PERIOD
. WE ARE GIVING IT TIME TO SEE
HOW IT CULTIVATES AND GROWS.
THE ZONING IS EXTREMELY
IMPORTANT.
THE SOCIAL EQUITY PERSON CAN
APPLY BUT THERE ARE NO OPEN
STORES.
NOW THEY ARE LOSING ALL OF THE
MOMENTUM THEY HAVE BEEN GAINING
AND TRYING TO BUILD UP FOR THIS
PERIOD OF TIME COMING INTO THE
APPLICATION PROCESS.
YES, ZONING IS IMPORTANT AND I
WOULD RECOMMEND DOING IT
SIMULTANEOUSLY WITH THE
LICENSES.
>> VERY HELPFUL.
THANK YOU ALL.
ONE OF THE QUESTIONS I HAVE
RELATED TO THE FINANCE CHAIR,
SOCIAL EQUITY FUNDS.
SOME HAVE MENTIONED THE 4% TAX.
I THOUGHT THAT I HEARD -- IT
MIGHT HAVE BEEN IN DENVER -- I
THOUGHT I HEARD A $50 MILLION A
YEAR FOR AN EQUITY FUND, BUT I
COULD HAVE HEARD THAT WRONG.
I WANT TO MAKE SURE I
UNDERSTAND MORE. IF THERE IS A
FUND BEING CREATED, COULD YOU
REMIND US WHAT THE TOTAL AMOUNT
IS THAT COMES IN EACH YEAR?
YOU MENTIONED THE MULTI PRONG
APPROACH.
TO MAKE SURE THERE IS A SIDING
AND SUPPORT, SUPPORTING WORKERS
IN THE INDUSTRY AS WELL AS THE
CREATION OF -- WHAT WE CALL IT
IN OAKLAND?
THE CANNABIS COMMISSION.
I WAS WONDERING IF YOU WOULD
KNOW THE NUMBERS OFFHAND IF THE
JURISDICTIONS MIGHT BE ABLE TO
COMMENT ON IF YOU HAVE AN
EQUITY FUND, HOW MUCH COMES IN
EACH YEAR AND I'M LOOKING
FORWARD TO HEARING MORE ON HOW
MANY IN ADDITION TO THE STATE
FUNDS.
I CAN SEE ABBEY AND SARAH HAVE
THEIR HANDS UP.
PLEASE GO AHEAD, ABBEY.
THANKS FOR POPPING IN.
>> SURE.
THANKS FOR THE QUESTION.
IN 2021, DENVER CITY COUNCIL
DECIDED TO ALLOCATE 1% OF
EXISTING MARIJUANA TAX REVENUE
TO A SMALL BUSINESS INVESTMENT
FUND.
IT IS AN ADDITIONAL TAX ON
MARIJUANA.
IT IS REALLOCATED 1% OF OUR
CURRENT REVENUE.
THAT FUND CAN BE FUNDED UP TO
$50 MILLION BUT THE PROJECTION
FOR 2022 -- I WOULD HAVE TO
DOUBLE CHECK AND LET YOU KNOW
WHAT THE EXACT NUMBER IS, BUT I
THINK IT'S AROUND $4 MILLION.
THAT FUND CAN BE ACCESSED BY
ALL SORTS OF DIFFERENT SMALL
BUSINESSES, BUT ALSO BY
CANNABIS BUSINESSES.
$500,000 OF MARIJUANA TAX
REVENUE IS BEING USED TO FUND
OUR TECHNICAL ASSISTANCE PROGRAM
THAT WE ARE IN THE PROCESS OF
REVIEWING PROPOSALS FOR AS WE
SPEAK.
>> THANK YOU SO VERY MUCH.
ANYBODY ELSE WITH COMMENTS ON
THE EQUITY FUND AT THEIR
JURISDICTION WILL BE PULLING
FROM?
GO AHEAD, SARAH.
>> IN COLORADO ON THE STATE
LEVEL, WE HAVE A $4 MILLION FUND
. IT IS THE CANNABIS BUSINESS
OFFICE. THAT CAME FROM
MARIJUANA TAX CASH FUND.
RIGHT NOW IT IS A PILOT
PROGRAM.
IF IT IS SUCCESSFUL, WE WILL BE
ABLE TO GO BACK TO OUR JOINT
BUDGET COMMITTEE AND ASK FOR
ADDITIONAL FUNDS.
BASICALLY THERE IS A $25,000
PLAN AND A $50,000 GRANT. THERE
ARE DIFFERENT QUALIFICATIONS AND
YOU HAVE TO BE ACTIVELY SEEKING
A SOCIAL EQUITY LICENSE.
IT IS A COMPETITIVE PROCESS.
THERE IS A SCORING RUBRIC.
I CAN SHARE THAT WITH YOU GUYS
OFF-LINE IF YOU'RE INTERESTED
IN SEEING THAT.
THOSE ARE THE TWO CATEGORIES
THAT IT FALLS INTO.
WE ARE ANTICIPATING 100 PEOPLE
APPLYING BUT BECAUSE IT'S
COMPETITIVE, I DON'T KNOW HOW
MANY OF THOSE PEOPLE WILL
ACTUALLY BE AWARDED FUNDS.
>> WONDERFUL.
YES, I WOULD LOVE THAT
INFORMATION.
FOR ANY OF THE PANELISTS AS
WELL, PLEASE FEEL FREE TO SEND
US INFORMATION.
I WILL ASK ONE MORE CONCLUDING
COMMENT AND THEN WE WILL GET TO
THE FINANCE AND ADMINISTRATIVE
SERVICES PRESENTATION, WHICH
WILL GO INTO MORE OF THE
ANALYSIS AND CONVERSATIONS
HAPPENING LOCALLY AND HERE IN
SEATTLE.
I WANT TO MAKE SURE WE HEAR
FROM GERALD.
GERALD, DID YOU HAVE A QUESTION
TO ASK FOR THE PANELISTS?
OH, YOU ARE ON MUTE. SO SORRY,
GERALD.
>> I DO THAT ALL THE TIME.
THANK YOU, COUNCILMEMBER
MOSQUEDA.
FIRST OF ALL, I WANT TO SAY THAT
YOU ARE ALL VERY INFORMED AND
IT HELPED ME UNDERSTAND THIS.
I'VE GOT A COUPLE OF QUESTIONS
AND ONE IN PARTICULAR WHEN
TALKING ABOUT SOCIAL EQUITY.
I HEARD ABOUT SOCIAL EQUITY A
FEW YEARS AGO.
IT REFERS TO JUSTICE WITH A
SOCIAL EQUITY POLICY FOR RACE,
GENDER, AND SEXUALITY.
THAT IS WHAT THE DEFINITION IS.
THAT IS ACCORDING TO WIKIPEDIA.
SOME IN THE COMMUNITY SAY THIS
IS NOT ALL TARGETED BY THE WAR
ON DRUGS.
MY QUESTION IS HOW DO YOU TELL
COMMUNITIES IMPACTED BY THE WAR
ON DRUGS THAT IT INCLUDES
OTHERS THAT ARE NOT TARGETED BY
THE WAR ON DRUGS?
>> I SEE GREG WITH HIS HAND UP.
PLEASE GO AHEAD, GREG.
>> TO ME, IT DEPENDS ON YOUR
GOAL. IF YOU HAVE A CLEAR GOAL,
YOU CAN DESIGN A PROGRAM THAT
ALL ALIGNS AND BUILDS TOWARD
THAT.
YOU HAVE AN OPPORTUNITY TO
DEFINE WHAT YOUR GOAL IS.
I THINK IT SOUNDS LIKE FROM
SOME OF THE SPEAKERS, EVERY
JURISDICTION HAS CHOSEN
DIFFERENT APPROACHES. THAT IS
WHAT I WOULD ENCOURAGE FIRST
AND FOREMOST.
IT SOUNDS REALLY OBVIOUS AND
SIMPLE.
IT'S NOT NECESSARILY SIMPLE.
IT'S NOT EASY TO DO.
I THINK DEFINING A GOAL IS
CRITICAL TO ENSURE THAT YOU
ACTUALLY HAVE THE OUTCOMES THAT
YOU ARE SEEKING.
THAT IS KIND OF WHAT COMES TO
MY MIND.
>> I SEE SARAH AND DAVINA.
>> GERALD, FOR US, IT WAS ABOUT
WHO HAS BEEN NEGATIVELY
IMPACTED BY THE WAR ON DRUGS.
THERE WAS A LOT OF CONTENTION
AROUND IT BECAUSE THERE WERE
PEOPLE WHO WANTED CANADA MOMS
IN THE DEFINITION.
PEOPLE WANTED VETERANS IN THE
DEFINITION.
THERE WERE ALL OF THESE
DIFFERENT THINGS.
WE STARTED SAYING OKAY, WHAT
DOES IT MEAN TO BE NEGATIVELY
IMPACTED BY THE WAR ON DRUGS?
WELL, HOW LONG DID THE WAR ON
DRUGS LAST?
IT'S STILL GOING ON RIGHT NOW.
CAN WE COME UP WITH ONE
TIMELINE?
WE CAME UP WITH 2019 TO 2010.
WHAT WOULD BE THE VARIABLES TO
DETERMINE IF A COMMUNITY WAS
NEGATIVELY IMPACTED?
HIGH LEVELS OF MARIJUANA ARRESTS
, HEIGHTENED CRIME, LOW HIGH
SCHOOL RATES FOR COMPLETION.
WE ALSO LOOKED AT PUBLIC HOUSING
, SCHOOL LUNCHES, BASICALLY
PLACES WHERE PEOPLE ARE LIVING
IN POVERTY ESSENTIALLY. AND OF
COURSE, WHERE BLACK AND BROWN
AND NEIGHBORHOODS CONSIST OF.
THAT WAS THE FIRST THING AND
EVERYONE WAS IN AGREEMENT ON
THAT.
THE HARDEST PART IS THE INCOME.
PEOPLE CAN MAKE THEIR INCOME
WHAT THEY WANT IT TO BE AND NOT
REALLY BE NEGATIVELY IMPACTED.
WE TRY TO LOOK AT THE ACTUAL
OUTCOMES THAT PEOPLE EXPERIENCE
WHEN THEY HAVE BEEN NEGATIVELY
IMPACTED.
THE MOST IMPORTANT, HAVE YOU
HAD A CANNABIS CONVICTION OR
FELONY?
NOT NECESSARILY AN ARREST.
TONS OF PEOPLE HAVE BEEN
ARRESTED FOR MARIJUANA. IT
DOESN'T MEAN YOU HAVE BEEN
NEGATIVELY IMPACTED.
THE THINGS THAT REALLY MAKE THE
MOST IMPACT THAT ARE LONG-
LASTING IS WHAT WE LOOKED AT.
>> THANK YOU.
>> AND TO WRAP US UP, DAVINA, I
SEE YOUR HAND UP.
>> I THINK ONE OF THE THINGS
THAT IS INTERESTING, AND YOU
PROBABLY HEARD A LOT OF THIS
HERE, IT CAN BE A VERY
LOCALIZED DETERMINATION.
I WORKED FOR YEARS IN HUBBELL
COUNTY, WHICH IS OVERWHELMINGLY
WHITE BUT VERY MUCH A CANNABIS
PRODUCING AREA.
THEIR DECISION ON WHAT THEY
THOUGHT EQUITY SHOULD BE
INCLUDED AT PEOPLE THAT WERE
SEX TRAFFICKED AS PART OF THE
INDUSTRY.
WE WERE HOURS AWAY ON DIRT ROADS
. IT'S PRETTY HARD TO ESCAPE
FROM THAT SITUATION.
AS WELL AS THOSE THAT WERE
LEGACY FARMERS WHO OPERATED
UNDER THE THREAT OF ARREST FOR
A NUMBER OF YEARS.
I SEE THAT AS A VERY DIFFERENT
CRITERIA THAN WHAT WE DID IN
SACRAMENTO AND IT SOUNDS LIKE
WHAT DENVER AND OAKLAND DID.
WE HAVE TO DECIDE WHAT MAKES
SENSE FOR THE COMMUNITY.
HOW ARE PEOPLE IMPACTED?
THE INDIVIDUAL, THE FAMILY, THE
GREATER FAMILY COMMUNITY AND
JUST THE GENERAL COMMUNITY OF
PEOPLE MISSING, RIGHT?
PEOPLE ENDED UP IN PRISON OVER
CANNABIS FOR YEARS AND YEARS.
I THINK IT CAN REALLY BE A
LOCALIZED THING.
YOU GET TO REALLY MAKE IT
IMPACTFUL FOR YOUR JURISDICTION.
>> THANK YOU.
I THINK THAT IS A GOOD SEGUE.
WE CAN HAVE MORE QUESTIONS HIM
ABOUT THE FINANCE AND
ADMINISTERED SERVICES
DEPARTMENT HAS BEEN LOOKING AT
THIS QUESTION THROUGH THE
EQUITY LENS BASED ON SOCIAL
JUSTICE INITIATIVES AND THE
TASK FORCE WITHIN THE
DEPARTMENT.
I WILL TRANSITION OVER THERE.
AS WE TRANSITION, PLEASE JOIN
ME BY GIVING A ROUND OF
APPLAUSE TO OUR PANELISTS
TODAY.
WE WILL SPEND 20 TO 30 MINUTES
HEARING FROM FINANCE
ADMINISTRATIVE SERVICES WHO ARE
ON THE LINE.
THANK YOU TO THE PANELISTS.
MADAME CLERK, CAN YOU PLEASE
READ ITEM TWO INTO THE RECORD?
>> AGENDA ITEM NUMBER TWO,
DEPARTMENT OF FINANCE AND
ADMINISTRATIVE SERVICES
CANNABIS EQUITY FOR BRIEFING
AND DISCUSSION.
>> THANK YOU FROM THE
DEPARTMENT OF FINANCE AND
ADMINISTRATIVE SERVICES
COMMITTEE.
LACHEN CHERNYHA, I APPRECIATE
YOU BEING HERE.
AND RICK DIMMER, I APPRECIATE
YOU BEING HERE.
I WILL TURN IT OVER TO YOU . I
APPRECIATE THE CONTINUATION
FROM OUR DECEMBER MEETING AND
FOR YOUR DETERMINATION TO BE
HERE.
>> THANK YOU.
I WILL SHARE MY SCREEN HERE.
>> HERE WE GO.
OKAY.
HELLO, EVERYONE, COUNCIL ,
CHAIR MOSQUEDA. MY NAME IS
LACHEN CHERNYHA AND I AM THE
NEW STRATEGIC ADVISOR FOR
LICENSING FOR CANNABIS. I
WILL BE CONTINUING THE WORK
MOVING FORWARD.
I AM HERE WITH MY COLLEAGUE,
RICK DIMMER.
RICK?
>> HI, EVERYONE AND THANK YOU
FOR THIS OPPORTUNITY.
MY NAME IS RICK DIMMER AND I
AM A REPRESENTATIVE FOR THIS
TEAM.
>> WE ARE HERE TODAY TO SHARE A
BRIEF HISTORY OF THE CANNABIS
EQUITY WORK AND OUR FINDINGS OF
THE CANNABIS RACIAL EQUITY
TOOLKIT AND ALSO TO PROVIDE AN
OVERVIEW OF THE NEXT STEPS IN
CONTINUING TO BRING THIS WORK
FORWARD.
I WILL TURN IT OVER TO RICK TO
GIVE US SOME BRIEF BACKGROUND.
RICK?
>> DID WE LOSE YOU?
>> OH, THERE YOU ARE.
GOOD MORNING, EVERYONE.
LET'S START OFF WITH HOW WE GOT
HERE.
THE CITY AND STATE PASSED A
CANNABIS LICENSE ORDINANCE
WITHOUT CONSIDERING SOCIAL
EQUITY IN THE LICENSING. AS A
RESULT, BLACK BUSINESS OWNERS
CONTINUE TO BE HARMED AND I
WOULD JUST LIKE TO SAY THANK
YOU TO THE COMMUNITY FOR
SHARING THEIR HISTORY AND THEIR
TRAUMA. THE CITY RECOGNIZED
THIS AND TOOK ACTION BY
CREATING THE RACIAL EQUITY
TOOLKIT TO TAKE ACCOUNTABILITY
AND ON HOW WE CAN WRITE THESE
WRONGS.
THAT IS HOW WE STARTED OUT.
WE ARE TALKING THE WHOLE FAMILY
. WE TALKED ABOUT THE WHOLE
COMMUNITY BE IMPACTED.
WE HAVE SHIFTED R.E.T.
TO ADHERE TO THE WORDS OF THE
COMMUNITY.
I WILL SEND IT BACK OVER TO
LACHEN CHERNYHA TO KICK US OFF
WITH THE PRESENTATION.
>> THANK YOU, RICK. AS MANY OF
YOU KNOW, IN 2012, WASHINGTON
AND COLORADO WERE THE FIRST
STATES TO LEGALIZE RECREATIONAL
CANNABIS.
DUE TO THE COMPLEX STATE
LICENSING PROCESS AND THE LACK
OF OUTREACH TO COMMUNITY, ONLY
THOSE WITH WEALTH OR CAPITAL
WERE ABLE TO OBTAIN LICENSES.
IMPORTANTLY NONE OF SEATTLE'S
EXISTING MEDICAL OPERATORS WERE
ABLE TO OBTAIN LICENSES TO
CONTINUE OPERATING IN SEATTLE
AFTER RECREATIONAL CANNABIS WAS
LEGALIZED.
IN 2020, LAWMAKERS DEVELOPED
STATE SOCIAL EQUITY AND
CANNABIS LICENSING PROGRAM AND
FURTHER EXPANDED THE SCOPE OF
THAT PROGRAM IN 2021.
STATE PROGRAM IS SCHEDULED TO
BEGIN ACCEPTING APPLICATIONS
FOR SOCIAL EQUITY LICENSING
THIS YEAR IN 2022.
AS I BELIEVE YOU ARE AWARE,
THERE WAS LEGISLATION AT THE
STATE LEVEL TO CREATE AN
EXTENSION OF RETAIL AND ACROSS
THE STATE TO SOCIAL EQUITY
APPLICANTS.
HOWEVER THAT LEGISLATION HAS
DIED.
AS COUNCILMEMBER HERBOLD JUST
MENTIONED, THAT MEANS CURRENTLY
THE INITIAL STATEWIDE LICENSE
ISSUE WILL BE FOR THE 38 UNUSED
EXISTING LICENSES. 22 OF WHICH
ARE DESIGNATED FOR
JURISDICTIONS WITH BANDS,
LICENSE CAPS, OR MORATORIUMS.
PER THAT STATEWIDE FRAMEWORK,
SEATTLE ONLY RECEIVED TWO
EQUITY LICENSES.
SO THE CITY AND STATE HAVE
ACTED IT TO DO HARM IN OTHER
WAYS.
FOR EXAMPLE, CRIMINAL HISTORY
CAN IMPACT CANNABIS BUSINESS
OWNERSHIP.
IN 2018, THE CITY ATTORNEY'S
OFFICE IN THE MAYOR'S OFFICE
FILED A MOTION WITH THE
MUNICIPAL COURT TO VACATE
CONVICTIONS AND TO DISMISS
CHARGES FOR MISDEMEANOR
CANNABIS POSSESSION.
IN 2019, THE STATE ALLOWED TO
REMOVE RECORDS WITH ONE
CANNABIS FINISH CONVICTION AND
TO VACATE MISDEMEANORS IF THEY
WERE 21 YEARS OR OLDER WHEN
THEY WERE CHARGED.
IN 2018, SAS BEGAN A RACIAL
EQUITY TOOLKIT, OR R.E.T.
ON THE INDUSTRY.
IN ADDITION TO FAS, AND
INCLUDED THE DEPARTMENT OF
INSPECTIONS AND THE OFFICE FOR
CIVIL RIGHTS.
WHEN THIS R.E.T.
STARTED, IT WAS FOCUSED ON
BUSINESS LICENSING.
HOWEVER BASED ON COMMUNITY
FEEDBACK, THE R.E.T.
OUTCOMES WERE REVISED BUILDING
A NEW SYSTEMIC STRUCTURE AND
CENTERING BLACK COMMUNITIES
THROUGH. I
BELIEVE AFFORDABLE HOUSING,
HEALTHCARE, EDUCATION, AND
REENTRY SUPPORT.
BUSINESS PLAN SUPPORT AND
FLEXIBILITY IN THE PROCESS,
REINVESTING PROCEEDS INTO THE
BLACK COMMUNITY, AND REBUILDING
GENERATIONAL WEALTH. THE TEAM
ENGAGED NEARLY TWO DOZEN
STAKEHOLDER ENGAGEMENT,
REACHING OVER 200 COMMUNITY
MEMBERS AND DEPARTMENTS.
THE R.E.T.
TEAM HOSTED A COMMUNITY FORUM
IN FEBRUARY OF 2020.
IT SEEMS THE CITY HEARD FROM
THE COMMUNITY WERE THAT THE
COMMUNITIES MOST IMPACTED BY
PRIOR MARIJUANA LAWS SHOULD BE
THE ONES TO RECEIVE ASSISTANCE
FROM EQUITY EFFORTS. ACCURATE
DATA COLLECTION SHOULD BE BASED
ON WHERE THE IMPACTED
COMMUNITIES CURRENTLY RESIDE.
FINANCIAL SUPPORT IN THE FORM
OF ACCESS TO BANKING, STARTUP
MONEY, AND BUSINESS TRAINING.
INCLUDE THE MEDICAL MARIJUANA
PATIENT COMMUNITY, SINCE THEY
ARE OFTEN NOT ACKNOWLEDGED OR
COUNTED IN THE DATA.
THE RACIAL EQUITY PROGRAM NEEDS
TO BE VIABLE GIVEN LAWS AGAINST
PREFERENCE BASED ON RACE.
I WILL HEAD BACK TO RICK, WHO
WILL SHARE ADDITIONAL FEEDBACK
FROM STAKEHOLDERS, A PROPOSED
TIMELINE, AND THE KEY POLICY
CHANGES AND NEXT STEPS.
RICK?
>> THANK YOU.
LET ME KNOW IF YOU GUYS ARE
GETTING FEEDBACK FROM THIS
PRESENTATION.
SO, STAKEHOLDERS AND ADDITIONAL
RECOMMENDATIONS SUCH AS
DEDICATING $1 MILLION FOR THE
NEXT 10 YEARS TO FUND THE
EQUITY PROGRAM.
VACATE CONVICTIONS AND DISMISS
CHARGES FOR POSSESSIONS.
THIS WORK IS TO ADDRESS THE
DISPARITY BETWEEN THE BLACK
COMMUNITY FOR COMMITTING THE
SAME CRIME AS THEIR WHITE
COUNTERPARTSS RECEIVE
MISDEMEANORS FOR.
LOOKING AT A PROPOSED TIMELINE,
THESE ARE JUST PROPOSED
TIMELINES.
WE WOULD LIKE TO KICK OFF 2022
WITH REQUESTING TO DEDICATE $1
MILLION TO THE SEATTLE CANNABIS
EQUITY PROGRAM. LOOKING AT 2023
AND 2024, TO GET INTO THE
IMPLEMENTATION AND LAUNCHING
THE SUPPORT OF THE CANNABIS
EQUITY PROGRAM THROUGH THE
OFFICE OF ECONOMIC DEVELOPMENT.
THAT IS WHERE WE WILL SEEK
ADDITIONAL CANNABIS RETAIL
LICENSES FOR SEATTLE AND A
2024, PARTNER WITH OTHER CITY
DEPARTMENTS TO IMPLEMENT A
GRANT PROGRAM FOR THOSE MOST
IMPACTED BY THE WAR ON DRUGS IN
SEATTLE.
WHEN WE DID THE STAKEHOLDER
ENGAGEMENT WITH CITY
DEPARTMENTS, I BELIEVE WE HAD
22 PLUS DEPARTMENTS THAT
REACHED OUT TO PARTICIPATE
ECAUSE THE CITY IS SO BIG, WE
DIDN'T WANT TO TAKE ALL OF THE
RESOURCES WHEN THERE ARE OTHER
CITY DEPARTMENTS DOING CIVIL
WORK THAT FOLKS MAY NEED.
THE DEPARTMENT OF NEIGHBORHOOD
HOUSING. WE WANTED TO BE VERY,
VERY MINDFUL.
SOME KEY POLICY CHANGES,
COMMUNITY ENGAGEMENT. FAS
LEADERSHIP TEAM WILL BUILD AN
ALLIANCE WITH THE INCOMING MAYOR
AND THE PHYSICAL RESOURCES TO
FUND EQUITY IN CANNABIS, SOCIAL
EQUITY PROGRAM WITHIN THE
INDUSTRY.
SOME OF THOSE EXAMPLES INCLUDE
EQUITY IN CANNABIS LICENSING,
INCLUDING LOWERING FEES FOR
SOCIAL EQUITY APPLICANTS,
REDUCING SOME OF THE FOLKS
TALKED ABOUT EARLIER,
DISBURSEMENT REQUIREMENTS, AND
WORKING WITH STC I TO FIGURE
THAT OUT AS WELL.
PROVIDING MORE LOVE THE
TECHNICAL ASSISTANCE, WORKFORCE
DEVELOPMENT, MENTORSHIP THROUGH
THE OFFICE OF ECONOMIC
DEVELOPMENT AS WELL.
LASTLY, INVESTING IN
COMMUNITIES MOST IMPACTED
THROUGH A GRANTS FOR COMMUNITY
PROJECTS AND SUPPORT LED BY THE
HOUSE OF ECONOMIC DEVELOPMENT.
I WANT TO THANK YOU ALL FOR THE
OPPORTUNITY TO SPEAK WITH YOU.
WE ARE HAPPY TO TAKE ANY
QUESTIONS.
>> THIS WAS PHENOMENAL.
THANK YOU SO MUCH.
I KNOW THAT THE RACE AND EQUITY
TOOLKIT PRESENTED IN DECEMBER,
IT WAS JUST ONE SLIDE, MAYBE
EVEN JUST A BULLET. IT PEAKS MY
INTEREST BECAUSE I KNEW THESE
CONVERSATIONS WERE HAPPENING
AROUND LOOKING AT WHAT OTHER
JURISDICTIONS WERE DOING AROUND
SOCIAL EQUITY IN RELATION TO
THE CANNABIS INDUSTRY.
I AM REALLY THANKFUL THIS IS
ALL HAPPENING. I SEE IT GERALD
IS WITH US STILL.
WANT TO MAKE SURE WE HAVE A
CHANCE TO GET TO ALL OF YOUR
QUESTIONS AS WELL.
IF THERE ARE COUNCILMEMBERS,
PLEASE FEEL FREE TO JUMP IN AND
ASK THOSE OF FAS.
COUNCILMEMBER NELSON, GO AHEAD.
AS COUNCILMEMBER NELSON IS
COMING OFF MUTE, I WILL HAVE
COUNCILMEMBER HERBOLD NEXT AND
SARAH WOODSON, IF YOU HAVE A
QUESTION, WE WOULD LOVE TO HEAR
THAT.
COUNCILMEMBER NELSON?
>> FIRST I WANT TO THANK ALL OF
THE PANELISTS FOR COMING TODAY
AND TALKING ABOUT WHAT YOU'RE
JURISDICTIONS HAVE DONE IN THIS
AREA OF EQUITY IN THE CANNABIS
INDUSTRY.
I FULLY SUPPORT THE GOALS.
I LEARNED TODAY THAT
COUNCILMEMBER HERBOLD, YOU HAVE
LONG ENGAGEMENT IN THIS ISSUE
AND I AM GATHERING THAT YOU
HELPED FORM THIS TEAM, THIS
INTERDEPARTMENTAL TEAM THAT
EVENTUALLY TURNED INTO R.E.T.
. THANK YOU SO MUCH FOR PUTTING
THAT TOGETHER.
THE TOOLKIT IS EXTREMELY
IMPORTANT.
I JUST WANT TO NOTE THAT I
FULLY SUPPORT THE LIMITATION OF
THE FIVE KEY POLICY CHANGE
RECOMMENDATIONS.
I UNDERSTAND THAT THE CITY OF
SEATTLE DOES RECEIVE ABOUT $1.4
MILLION FROM THE STATE. YOU
KNOW, THIS IS A QUESTION FOR
OFF-LINE, BUT THAT IS A GOOD
SOURCE OF LENDING TO GET THIS
OFF THE GROUND AND I DON'T KNOW
WHAT THAT MONEY IS BEING USED
ON CURRENTLY BUT I SUPPORT
ALLOCATING IT IN PART OR ALL OF
IT TO MOVING FORWARD ON THIS.
WHAT I REALLY LIKE ABOUT THIS
FRAMEWORK THAT FAS IS
PRESENTING, IT IS CONSISTENT
WITH THE WORK AT THE CANNABIS
SOCIAL EQUITY TASK FORCE FOR
THE TASK FORCE ON SOCIAL EQUITY
IN CANNABIS IS DOING ALREADY.
I JUST WANT TO HIGHLIGHT SOME
OF THE GROUNDBREAKING WORK THAT
WASHINGTON HAS DONE FOR THOSE
THAT DON'T KNOW.
IT IS CALLED THE SOCIAL ACT
WOULD BE OF CANNABIS TASK
FORCE, BY THE WAY.
70 AUTHORIZED ELIMINATED A
NUMBER OF CANNABIS RETAIL
LICENSES TO APPLICANTS AND THEY
RE DEFINED AS VERY SIMILAR TO
SOMEONE WHO LIVES IN A
DISPROPORTIONATELY IMPACTED
AREA AND HAS BEEN CONVICTED OF A
CANNABIS OFFENSE.
THEY HAVE A FAMILY MEMBER
IMPACTED BY A CANNABIS RELATED
OFFENSE ET CETERA. THE FACT
THAT IT IS IN LINE WITH WHAT
THE STATE IS ALREADY DOING IS
POSITIVE FOR ME AND IT MAKES
OUR WORK EASIER.
THE PRESENTATION MENTIONED THE
DATA COLLECTION THAT FAS IT
WILL DO.
BY THAT, DO YOU MEAN
COLLECTION OR ANALYSIS OF THE
STATUS OF EQUITY IN SEATTLE'S
RETAIL STORES WHEN IT COMES TO
EMPLOYEES ALREADY WORKING AT
THESE STORES?
IF THAT HASN'T BEEN DONE, I
THINK THAT WOULD BE A GREAT
AVENUE, JUST TO SURVEY HOW MANY
PEOPLE WORKING IN THESE STORES
ALREADY WHO ALREADY REPRESENT
SOME OF THIS CRITERIA.
THAT WOULD BE REALLY HELPFUL
INFORMATION FOR US MOVING
FORWARD.
IN PREPARATION FOR THIS
DISCUSSION, I CAN REACH OUT TO
ALI GARRETT, A MEMBER OF THE
LCC BE AND ALSO PRESIDENT WHO
ADVOCATES FOR BLACK BUSINESSES
IN THE REGION.
WHEN TALKING ABOUT A SOCIAL
EQUITY FUND AND A POTENTIAL TAX
BECAUSE I THINK THIS IS WHERE
THE CONVERSATION IS GOING BASED
ON THE PRESENTATION AND WHAT
WAS SAID IN THE PREVIOUS
COMMITTEE, SHE MENTIONED SHE IS
CONCERNED ABOUT THAT BECAUSE IT
COULD NEGATIVELY IMPACT OUR
SHOPS HERE.
SHE MENTIONED SALES ARE NOT A
GOOD INDICATION OF THE COST TO
OPERATE THESE BUSINESSES AND IT
WOULD LIKELY HURT.
WHEN WE TALK ABOUT SMALL
BUSINESSES, WE TALK ABOUT THOSE
OWNED BY PEOPLE WHO LACK CAPITAL
, WHOSE SALES ARE LOWER, WHO
DON'T HAVE MULTIPLE LOCATIONS,
ET CETERA.
THAT IS ONE THING GOING FORWARD
WE SHOULD ENGAGE WITH ON SOME
OF THESE ISSUES.
YOU KNOW, I HAVE OTHER
QUESTIONS BUT I REALLY
APPRECIATE THIS AND I WILL LET
COUNCILMEMBER HERBOLD TALK
BECAUSE SHE WILL PROBABLY
ANSWER THEM.
THANKS.
>> THANK YOU.
I THINK SOME OF THE QUESTIONS
ARE FOR FUTURE DISCUSSION AMONG
ANOTHER COMMITTEE, BUT
COUNCILMEMBER HERBOLD, I SEE
YOUR HAND UP.
PLEASE FEEL FREE.
I KNOW FAS MAY HAVE COMMENTS
AS WELL, SELECTED YOUR QUESTION
IN THERE AND THEY CAN ANSWER AS
WELL.
>> FOR THE RECORD, I MENTIONED
EARLIER IN 2028 2021, I WORKED
TO LOBBY FOR THE STATE
LEGISLATION.
I HAD NOTHING TO DO WITH FAS
SETTING UP A SOCIAL EQUITY
EFFORT. CREDIT GOES TO THEM
RESPONDING TO WHAT THEY HEARD
AT THE SOCIAL EQUITY FORUM THAT
THE CITY HOSTED TO TALK ABOUT
EXACTLY THIS ISSUE.
>> I APOLOGIZE FOR NOT GIVING
CREDIT WHERE CREDIT IS DUE.
SORRY.
>> I'M NOT TRYING TO GIVE YOU A
HARD TIME FOR THAT.
I JUST DIDN'T GET ANY CREDIT.
>> I GET IT.
>> THANK YOU.
I APPRECIATE COUNCILMEMBER
NELSON, YOUR REFERENCE TO THE
TAX CLIMATE FOR SMALL BUSINESSES
AND SPECIFICALLY THIS BUSINESS.
WE KNOW THE STATE SALES TAX AS
OPPOSED TO SOME OTHER
JURISDICTIONS MIGHT BE SMALL.
6.5%.
THE STATE HAS A TAX THAT IS A
VERY LARGE EXCISE TAX. SEATTLE
HAS A FLAT REGULATORY FEE.
A FEW YEARS AGO, WE RAISED --
AND I ACTUALLY WAS A COSPONSOR
OF THAT INCREASE ALONG WITH
FORMER COUNCILMEMBER BURGESS,
WE RAISED THE REGULATORY FEE
BECAUSE WE WANT TO RECAPTURE
THE COST ASSOCIATED WITH THE
REGULATION, WHICH INCLUDES
SIGNIFICANT ANNUAL INSPECTIONS.
THE RATE RIGHT NOW, THE
REGULATORY FEE IS ABOUT $3500 A
YEAR AND I HAVE BEEN WORKING
WITH FAS ON AND OFF AGAIN TO
FULFILL A COMMITMENT I MADE
WHEN I TOOK THAT POSITION TO
LOOK AT WAYS IN WHICH THE FAS ,
CITY INSPECTIONS ASSOCIATED
WITH THE FAS FEE ARE
DUPLICATIVE OF STATE
INSPECTIONS AND TO LOOK AT
EQUITY AND SOME OF THE SMALLER
OPERATIONS.
I KNOW THAT FAS DOES HAVE A
PROPOSAL. THEY WERE
ANTICIPATING WE WOULD MAKE AN
ADJUSTMENT CONSISTENT WITH THAT
PROPOSAL IN THE 2021 PROPOSED
BUDGET THAT WOULD TAKE INTO
ACCOUNT FACTORS SUCH AS REDUCED
STAFF TIME NECESSARY BECAUSE OF
CHANGES FROM AN ANNUAL
INSPECTION ONCE EVERY TWO YEARS.
I KNOW FROM FAS THEY HAVE
INFORMED ME THAT THE PREVIOUS
ADMINISTRATION DIDN'T SUPPORT
THAT PROPOSAL AND I REALLY AM
LOOKING FORWARD TO AN UPDATE ON
THE NITTY-GRITTY ON WHAT THAT
PROPOSAL IS.
AGAIN, WE ARE TALKING ABOUT
SOME SORT OF ADDITIONAL TASK TO
SUPPORT AN EQUITY FUND LOCALLY
IN SEATTLE.
I REALLY WANT TO FULFILL THE
COMMITMENT I MADE IT TO THE
INDUSTRY AND LOOK AT INCREASING
THEM AS WELL.
THAT IS NOT A QUESTION.
IT IS MORE OF A STATEMENT.
I DO HAVE A QUESTION FOR
STAKEHOLDERS ON SLIDE SEVEN.
THAT IS SPECIFICALLY I
APPRECIATE YOU LIFTING THE WORK
BY VACATING 500 CONVICTIONS AS
IT RELATES TO DISMISSING
CONVICTIONS.
AS THE CITY HAVE THE POWER TO
FILE THIS MOTION OR DOES
ANOTHER JURISDICTION?
SECONDLY, IN OUR LAST DISCUSSION
-- AND I DIDN'T SEE IT.
I KNOW WE ARE WORKING WITH
DIFFERENT GROUPS OF
STAKEHOLDERS AND THERE MIGHT BE
OVERLAP, BUT THE
RECOMMENDATIONS WE HEARD IN
COUNCILMEMBERS MOSQUEDA'S
MEETING WAS NOT JUST DEMAND FOR
VACATING SENTENCES BUT FOR
EXPUNGEMENT'S. I AM WONDERING
IF STATE LAW PROHIBITS
EXPUNGEMENTS? COULD THEY
PERHAPS BE ON A CITY LEVEL EVEN
IF BANNED BY STATE LAW?
EVEN IF WE'RE TALKING ABOUT
EXPUNGEMENTS FOR THINGS THAT
ARE NO LONGER CRIMES, I'M
INTERESTED TO KNOW WHETHER OR
NOT YOU HAVE TAKEN A LOOK AT
THAT ISSUE AT ALL.
THANKS.
>> THANK YOU.
GREAT QUESTIONS AND GREAT
COMMENTS.
IN TERMS OF DOES THE CITY HAVE
AUTHORITY, WE SPOKE WITH FOLKS
I BELIEVE YESTERDAY OR THE DAY
BEFORE.
THE CITY DOESN'T HAVE THE
ABILITY TO DO THAT.
WHAT COULD BECOME HELPFUL, THE
MAYORS ARE NEEDED TO MAKE THOSE
DECISIONS.
I LOVE THE FACT THAT THE
EXPUNGEMENT VERSUS VACATE
BECAUSE WE TALK ABOUT THE
IMPACT ON INDIVIDUALS WHO HAVE
FELONY CONVICTIONS, THEIR
LIVELIHOOD IS IMPACTED GRAVELY
WHEN THEY ARE TALKING ABOUT
ACCESS TO HOUSING, ACCESS TO
JOBS.
WE WOULD LOVE TO LOOK AT HOW
THAT IS DONE.
THE COMMUNITY HAS ASKED AND WE
DON'T KNOW WHAT IT'S GOING TO
TAKE TO GET IT DONE BUT THAT IS
WHERE WE WORK ON THAT TOGETHER
AND WITH YOUR SUPPORT. THANK
YOU TO THE FAS LEADERSHIP BOARD
FOR SUPPORTING EVERYTHING THE
COMMUNITY HAS ASKED FOR.
WE ARE HERE TO FIGURE OUT HOW
TO GET THIS DONE.
WE DON'T KNOW EXACTLY WHERE THE
FUNDING IS GOING TO COME FROM.
YOU KNOW, IT IS TO THE TUNE OF
$600,000. WE COULD REDIRECT
DOLLARS.
WE DON'T KNOW WHERE IT'S GOING
TO COME FROM.
IN 2022, WE WILL FIGURE THIS
OUT FOR THE COMMUNITY AT LARGE.
ALSO I DO SUPPORT THE BUDTENDER
S. WE DID NOT GO INTO THE
STORES TO SPEAK WITH THE
BUDTENDERS. I DON'T EVEN KNOW
WHAT THAT WOULD LOOK LIKE.
HEY, I WANT TO HAVE A
CONVERSATION WITH YOUR
BUDTENDER.
WE DID REACH OUT DURING OUR
FORM THAT WE HAD TO COMMUNITY
AT LARGE. WE HAD BUSINESS
OWNERS THERE.
WE WERE NOT SURE IF WE HAD MUCH
IN THE SPACE.
WITH ALL OF THE WORK AND ALL OF
THE DIFFERENT FOLKS WHO WERE
PART OF THIS ENGAGEMENT OR WHO
HAVE BEEN IMPACTED, ADDING A
BUDTENDER TO THE SUPPORT VERSUS
NOT DOING THIS AT ALL, ANYONE
IMPACTED ARE AT MOST HARM. WE
DON'T WANT TO SEE IS
COMMUNITIES SEPARATE AND WE
DON'T WANT TO START IT.
WE WANT TO BRING EVERYONE
TOGETHER AND CREATE SOME THAT
WILL SERVE THE FOLKS THAT ARE
MOST HARMED, WHOEVER THAT MAY
BE.
>> THANK YOU SO MUCH.
COUNCILMEMBER HERBOLD, DID YOU
HAVE AN ADDITIONAL FOLLOW-UP
QUESTION OR ANYTHING TO ADD?
>> I THINK WE COVERED IT.
THAT'S GOOD.
>> I GUESS WE HAVE ONE MORE
QUESTION.
GOING BACK TO THE QUESTION I
ASKED THE PREVIOUS PANEL FOR
FAS, WHAT ARE YOUR THOUGHTS ?
IF WE HAVE TWO EQUITY LICENSES
RIGHT NOW THAT WE DON'T HAVE
THE ZONING CAPACITY BECAUSE OF
THE RESTRICTIONS, SHOULD WE GET
WORKING ON THAT?
>> 1000%, COUNCILMEMBER HERBOLD.
ONE OF OUR PARTNERS WAS THE
FOLKS THAT LOOK AT PERMITTING
AND ZONING.
THEY WORKED HAND IN HAND WITH
US.
WE WERE LOOKING AT -- WHAT WAS
IT?
OH, EXEMPTIONS AND OPENING SOME
OF THE DISTRICTS, LIKE PIONEER
SQUARE.
WORKING WITH YOU ALL TO DO
THAT.
ALSO THINKING ABOUT 400 FOR THE
MAYORS OFFICE.
WE LOST 450 BUSINESSES DURING
COVID.
IF WE HAVE TWO LICENSES,
SOMEWHERE WORKING WITH SDCI CAN
PINPOINT WHERE THE TWO LICENSES
CAN GO.
SOME FOLKS TALKED ABOUT REAL
ESTATE AND RETAIL SPACE.
IF YOU LOOK AROUND THE DOWNTOWN
AREA, YOU WILL SEE FOR A VERY
LONG TIME.
I'M SURE THEY WILL BE WELCOME
TO GET SOMEWHERE WITHIN THE
CORRIDOR SO WE CAN HELP
REVITALIZE THE OWNERS THERE TOO.
>> THANK YOU VERY MUCH.
I APPRECIATE THE QUESTIONS.
I KNOW THERE IS A LOT OF
INTERCONNECTEDNESS HERE WITH
OTHER COMMUNITIES.
I LOOK FORWARD TO WORKING WITH
ALL OF OUR COUNCILMEMBERS. I
WANT TO AGAIN THANK THE FOLKS
FROM THE OTHER JURISDICTIONS
WHO SHARED THEIR JOURNEY TO GET
TO THE EQUITY PRINCIPLES AND
POLICIES IN FRONT OF THEM.
AS YOU CAN TELL, WE'VE HAD MUCH
WORK DONE.
THERE IS MUCH IN THE WORKS
ALREADY, SO HOW DO WE START TO
CHANNEL SOME OF THE SHARED
INTERESTS AND DOING SOMETHING
RELATIVELY QUICKLY SO WE CAN
CREATE A MORE EQUITABLE
RECOVERY IN THE WAKE OF COVID?
RICK, I CAN SEE YOUR HAND UP.
PLEASE, GO AHEAD.
>> YES.
I JUST WANTED TO SAY THANK YOU
BECAUSE WITHIN THOSE YEARS, WE
REACHED OUT TO SEVERAL CITIES.
WE HIRED AN INTERN. THEY GAVE
US MONEY TO HIRE AN INTERN.
WE WANTED TO SPEAK WITH THOSE
THAT HAD GONE THIS FAR.
I WANTED TO JUMP IN AND THANK
THEM FOR THEIR SUPPORT.
LOS ANGELES, SACRAMENTO, SAN
FRANCISCO, PORTLAND, OAKLAND,
DETROIT, CHICAGO, MICHIGAN, AND
DENVER. I WANT TO THANK ALL OF
YOU GUYS FOR HELPING US ON THIS.
>> SORRY, MY MUTE BUTTON WAS
MOVING ON ME.
THANKS FOR YOUR CONVERSATION.
I SEE TWO MORE HANDS UP.
PLEASE GO AHEAD.
>> THANK YOU, COUNCILMEMBER.
I JUST WANTED TO REITERATE THAT
MAYOR HARRELL IS DEFINITELY IN
SUPPORT OF EQUITY IN CANNABIS
AND WE ARE LOOKING FORWARD TO
WORKING WITH YOU, COUNCILMEMBER
MOSQUEDA.
>> I REALLY APPRECIATE THAT.
THANK YOU FOR YOUR PARTICIPATION
THROUGHOUT THE MEETING TODAY.
THE MAYORS OFFICE HAS BEEN
VERY, VERY MUCH A LEADER ON
THIS AS WELL. THANK YOU,
GERALD, FOR THE WORK YOU HAVE
DONE IN THE PAST.
COUNCILMEMBER NELSON?
>> THIS IS A QUESTION FOR RICK.
IS THE WORK THAT YOU HAVE DONE
TO LOOK AT OTHER CITIES, IS
THAT AVAILABLE IN A REPORT FORM
OR FILES?
I WOULD BE INTERESTED TO KNOW
WHAT YOUR RESEARCH FOUND.
THANKS.
>> I WILL DROP A LINK TO THAT
IN THE CHECK RIGHT NOW
ACTUALLY.
>> THANK YOU.
YES, WE WILL GET THAT RIGHT
OVER TO YOU.
>> THANK YOU FOR THE RESOURCES
THERE.
IT GIVES ME A LOT OF IDEAS FOR
SUBSEQUENT CONVERSATIONS THAT I
WOULD LOVE TO HAVE IN THE NEXT
COMMITTEE MEETING, SO I WILL
STAY IN TOUCH WITH THE
COUNCILMEMBERS.
I WILL REACH OUT TO THE MAYORS
OFFICE AND WE WILL KEEP YOU ALL
UPDATED AS THE CONVERSATION
PROGRESSES FOR WHAT THE NEXT
AGENDA ITEM COULD INCLUDE
ALSO THE NEXT AGENDA, WHICH
WOULD BE MARCH 16th. WOW! WE
ARE ALREADY IN MARCH.
YES, MARCH 16th AT 9:30 A.M.
WILL HAVE A FEW HOUSING RELATED
ITEMS IN OUR AGENDA, INCLUDING
THE POSSIBILITY OF HAVING OWL
TRANSFER LEGISLATION AND
HOUSING OF STAFFING CHANGES
LEGISLATION.
WITH THAT, THIS IS EARLY IN THE
CONVERSATION BUT AS YOU HEARD
FROM OUR PANELISTS, AND I
BELIEVE UNDERSCORED BY THE FAS
PRESENTATION, THERE IS A HUGE
SENSE OF URGENCY AS WE THINK
ABOUT A MORE EQUITABLE
RECOVERY.
THANK YOU ALL FOR YOUR EXTRA
TIME TODAY.
WE ARE 15 MINUTES OVER, BUT IT
IS A ROBUST DISCUSSION.
THANKS, EVERYONE.
WITH THAT, THE MEETING IS
ADJOURNED.
THANK YOU ALL.
GOODBYE.