Pubdate: Wed, 19 Nov 2014
Source: Las Vegas Review-Journal (NV)
Copyright: 2014 Las Vegas Review-Journal
Contact: http://www.reviewjournal.com/about/print/press/letterstoeditor.html
Website: http://www.lvrj.com/
Details: http://www.mapinc.org/media/233
Author: Ben Botkin

STATE, COUNTY TANGLE OVER POT

Several Applications Approved Locally Rejected by Agency

Nearly half of the 18 medical marijuana dispensary applications that 
Clark County commissioners approved have an uncertain fate, as they 
failed to win state support.

The development has brought about frustration and unanswered 
questions among county officials and applicants who are now in limbo.

The county and the state face a quandary as Nevada prepares to 
welcome the new industry: The state has approved only 10 of the 
county's 18 selected dispensaries.

The final result could be that the county ends up with only 10 
dispensaries instead of its 18 in early 2015. But that isn't a 
foregone conclusion - or a desire of county commissioners. County 
officials are still researching the issue and said Tuesday they plan 
to revisit the issue at a Dec. 3 meeting.

Regardless of what happens then, the eight dispensary applicants that 
cleared the state will have to wait at least another two weeks before 
knowing if they can begin planning with certainty. The eight other 
applicants who made it through the county process, meanwhile, have 
bleak prospects as state officials signaled late Tuesday they won't 
be ranking any more applicants for the multimillion-dollar opportunities.

But both sides have attorneys. No one from county officials to 
industry insiders is predicting the outcome of the Dec. 3 meeting - 
or whether the matter will end up in court and delay opening medical 
marijuana dispensaries.

"You can have 10 dispensaries in

County criticizes ranking process Clark County, or consider those 
that have provisional licenses from the state," Rory Reid, a former 
commissioner and attorney representing Medifarm, an applicant 
approved by the state, told commissioners.

The results show the complex nature of the application process for 
the state's fledgling medical marijuana industry, which requires 
applicants who want to set up shop in unincorporated Clark County to 
have the blessing of both the county and the state Division of Public 
and Behavioral Health, part of the Department of Health and Human Services.

Competition has been keen. Seventy-nine applicants sought 18 
dispensary slots for unincorporated areas.

What is left now are 26 applicants who have obtained approval from 
the county, the state - or both. Ten have the green light from both. 
Another eight more were ranked by the county but didn't make the cut 
with the state.

And a separate group of eight applicants didn't get a ranking from 
the county but scored high enough in the state's process to rank. 
Commissioners anticipate revisiting those eight dispensaries at 
December's meeting. They could make a decision about whether to rank 
them, which would give the county more dispensaries, or reject them.

Commissioners aren't predicting that outcome just yet, though. 
Commission Chairman Steve Sisolak placed a call to Gov. Brian 
Sandoval's office on Tuesday after the meeting. The two hadn't talked 
as of late Tuesday afternoon.

Commissioners sharply criticized the state for not being transparent 
and not being forthcoming in answering their questions about the 
ranking process.

"I'm really disappointed in the complete lack of transparency that's 
come out of the state," Sisolak said.

The state's criteria included several factors, such as the experience 
and background of applicants, impact on the community, and 
transportation and security plans.

Commissioners looked at all of those factors but also focused on 
zoning and the need to spread the dispensaries throughout the area.

The decisions weren't always close. The county didn't rank an 
application from Tryke Companies SO NV, a limited liability company. 
But that application scored highest on the state's ranking.

Jeff Silver, the company's attorney, encouraged commissioners to take 
that into account. Silver also noted the commissioners had suggested 
approving more than 18 dispensaries to avoid this situation.

"I'm only saying this is a very delicate situation when it comes to 
complying with the law," Silver said.

Dennis Kennedy, who represents seven applicants granted county 
permits through commission votes, but not state permits, had a different take.

"First and foremost, there is nothing in state law that requires the 
commission to bow to the state and wait until the state has made a 
determination," he said.

Commissioners said they took location and geographic dispersion into 
account, while the state did not.

The 10 dispensaries with success on both fronts aren't as widely 
dispersed throughout the county. Eight are west of Las Vegas 
Boulevard, and only one is east of the Strip. The other one is in 
Laughlin. Of the eight that the state didn't rank, four were on the 
east side of the valley.

County commissioners said they were disappointed that the state 
hasn't answered the county's questions.

County Manager Don Burnette sent a letter on Thursday to Chad Westom, 
bureau chief of the Nevada Division of Public and Behavioral Health.

The county wanted to know what happens if dispensaries that receive a 
provisional certificate from the state but lack county approval. The 
county has asked if the state will issue additional provisional 
certificates to ranked applicants beyond the 18 dispensaries allowed 
in unincorporated areas.

Burnette's letter cited minutes of Westom's testimony from a state 
advisory commission meeting on July 19, where the state official said 
a denial at the local level would lead to the state denying them and 
letting Clark County know who the next ranked entity is.

The state's response didn't come until late Tuesday afternoon.

After the meeting, state officials notified the county in writing 
that the division cannot issue provisional certificates to any more 
applicants beyond the 18 it ranked because the 90-day application 
review period has ended. That period expired Nov. 3.
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MAP posted-by: Jay Bergstrom