RICHMOND HEIGHTS, Ohio — There has been much talk in recent weeks at Richmond Heights City Council meetings about the pros and cons of allowing the dispensing within the city of adult-use recreational marijuana.
So much, in fact, that Council President Bobby Jordan decided to hold a town hall meeting on Tuesday (Sept. 17) at the Richmond Heights Community Center.
Heading into that town hall gathering, attended by about 50 residents, Jordan’s stance — a stance shared by Mayor Kim Thomas — has been to hear from residents and fully research the topic before having council take any definitive action.
Currently, the city is under a council-approved six-month moratorium that does not permit any dispensing, cultivating or processing of recreational marijuana in the city. That moratorium is set to expire on Oct. 19.
After listening to several residents speak Tuesday, Jordan, who personally is against the idea of a recreational cannabis business operating in the city, said he will likely call for a council vote to extend that moratorium another six months while further research is conducted.
As of now, the call for recreational marijuana businesses in Richmond Heights is moot.
Lawyer Lisa Mack led off the town hall by explaining Ohio law pertaining to recreational marijuana, the sale of which was legalized by Ohio voters last November. On Aug. 6, 127 licensed Ohio dispensaries began to legally sell recreational marijuana.
But, Mack said, the licensing phase is over. The state will review the licensed businesses within 24 months, and more licenses may or may not be granted within or after that time frame.
That means that, even if Richmond Heights council lifted its moratorium, it is doubtful any such licensed dispensary could open in the city for at least two years.
During council meetings, Ward 2 Councilman Asu Mook Robinson has been the biggest proponent for allowing the recreational marijuana business to operate in Richmond Heights.
Robinson has argued that, by not allowing the business to operate, the city is cutting itself off from revenue, perhaps a large amount of revenue, that could be used to help Richmond Heights City Schools or senior programs.
Also voting in favor of allowing the recreational cannabis business in the city were Ward 3 Councilwoman Cassandra Nelson and Councilman at-large Daniel Ursu. Both have stated that a state-licensed cannabis business is a safer choice for those who will use marijuana as opposed to buying from an illegal seller. Nelson also noted,like Robinson, that revenues could be gained and used to help residents.
Nelson was in attendance at Tuesday’s meeting, while Robinson and Ursu were not.
Another speaker at the town hall meeting was Richmond Heights’ financial adviser David Conley, president of Rockmill Financial Consulting.
Speaking about the talk of the city gaining a potential financial windfall from recreational cannabis business, Conley said, “Lots of communities are trying to figure out if there’s an upside to allowing this recreational business into those communities purely from a financial perspective. In other words, are they going to get a windfall from property taxes?
“The answer to that question is, it’s unknown. There are a lot of questions to be answered.”
The state is charging a 10-percent excise tax on the sale of recreational marijuana, with communities who host those businesses receiving 36 percent, or at least a portion of that 10 percent.
Conley said that the 36 percent goes into a fund managed by the state’s tax commissioner’s office, which can use it to cover its operating expenses.
“There’s no cap for those expenses, so who knows how much comes off of the top before the net amount is left over to be distributed back to the host communities,” Conley said. “That, alone, creates a lot of unknowns about what would be left over.”
As an example, Conley said that if the 10-percent excise tax generated $300 million throughout Ohio, 36 percent of that $300 million, or $108 million, would go to the host community fund. After an unknown amount of administrative fees are subtracted from the $108 million, left over would be an amount to be divided among all 88 of Ohio’s counties, leaving about $1.2 million per county. That amount would then be divided among the host communities.
“I can just assure you that this is not the Holy Grail of tax revenues for a community,” he said.
Conley also mentioned that legal dispensaries will also face competition from illegal sellers, which could well decrease legal sales.
Dispensaries cannot open within one mile of another dispensary and must be separated by at least 500 feet from schools, churches, parks and libraries.
Because of these parameters, it appears that Richmond Heights, at 4.5 square miles, might only be able to accommodate one dispensary, especially as one is already located at its border. The INSA dispensary is located at 27751 Chardon Road, just across the border in Willoughby Hills.
Among residents in attendance at the town hall, there was a split as to whether the recreational marijuana business should be permitted in Richmond Heights.
Rachel Scott, of Highland Road, said she opposed such businesses from religious and practical perspectives.
“We chose Richmond Heights because we felt it was a safe city to live in,” she said of herself and husband, Willie, who also spoke against the businesses. “We also felt our children would be able to thrive here.”
Parents, she said, are going to have to explain to their children when they see the dispensaries why people are entering them. Considering such conversations, she said of recreational marijuana, “Some things are not worth the cost.”
Resident Russell Johnson said he was a Cleveland police officer for 26 years and worked enforcing narcotics laws.
“I’m not against there being a dispensary (in Richmond Heights)” he said, stating, however, that his beliefs should not be forced onto others.
Johnson said that even if a recreational business brings to the city just $10, it would be $10 gained and not lost.
He said that, several years ago, city leaders at the time did not allow a UPS shipping center to locate in Richmond Heights, so it went on to open in neighboring Highland Heights, a move that cost Richmond Heights much tax money.
“Don’t close the door to business,” he said.
Resident Len Thompson said he has enjoyed marijuana for many of his 66 years, but his grown children do not now drink or smoke. He said that what he was hearing from those against the recreational marijuana business was mere “fear mongering.”
Meanwhile, resident Danny Thomas, a former probation officer and husband of Mayor Kim Thomas, said, “I can guarantee you, it’s going to bring some crime, some robberies. Why invite that?” But, Thomas said, it is up to to residents to ultimately decide what they want.
As for Mayor Thomas, she, too, said it is up to residents to decide. She said she agrees with Jordan, however, that the city should take its time in gaining all the facts it can before making a decision.
Ward 1 Councilwoman Tracy Justice and Councilwoman at-large Juanita Lewis attended the meeting and told residents of their opposition to the business operating in Richmond Heights. Justice mentioned that many jobs require drug testing, and that recreational marijuana would legally be available locally to those 21 and older.
“We know 21-year-olds don’t make the best decisions,” she said.
Lewis said she was against recreational marijuana sales for religious reasons, but noted that residents should decide.
Jordan said that another town hall meeting on the subject will likely be scheduled for next spring.
Ward 3 meeting Sept. 28
Ward 3 Councilwoman Cassandra Nelson will hold a ward meeting, open to residents of all wards, from 3-5 p.m. Sept. 28 at the Richmond Heights Community Center, 27285 Highland Road, in Richmond Heights Community Park.
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