This Friday, City Manager Melissa Stevenson Diaz issued two additional permits for cannabis stores in Redwood City, bringing the total issued to six.
These two permits were authorized for Flor Peninsula LLC, located at 620 El Camino Real and Element 7 Redwood City LLC, located at 615 Woodside Rd, Suite 1.
The additional permits were issued following the initial selection of four permit holders on March 28, 2022.
In November 2020, the City Council authorized the City Manager to issue commercial cannabis permits to up to six on-sale retail businesses. City regulations permit the businesses in Redwood City zoning districts that already allow general retail uses.
The City Council approved a rigorous, merit-based, staff-driven permitting process for cannabis applications to ensure that commercial retail operators of high-quality product are thoroughly vetted and sufficiently qualified before receiving permits.
The mayor's office said in a statement that all applications for cannabis retail stores must provide relevant information, including neighborhood compatibility, safety and security plans, as well as community benefit plans.
"After further evaluation of available permits, I believe that Flor Peninsula and Element 7, which ranked fifth and sixth on the Eligibility List, would be welcome additions to operate a cannabis retail business here in Redwood City," said Stevenson Diaz.
In addition to providing much-needed additional revenue as the city faces projected budget shortfalls, each business will contribute to local organizations, the document stressed.
All retail cannabis storefront businesses must fund a 4 percent general tax on gross receipts paid directly to the city, an amount that is in addition to the state's 15 percent tax and the City's nearly 10 percent sales tax.
Cannabis storefront retail businesses are expected to generate between $500,000 and $750,000 in revenue to fund city services in the first full year of operation, approximately by the end of 2023.
Combined, the six selected permit holders will provide a robust package of community benefits in their first year of operation, including about $800,000 in monetary contributions from the community annually to a variety of Redwood City groups and organizations and more than 5,000 hours of volunteer service, the City stressed.
All cannabis operators are subject to regular inspections, audits and monitoring.
Similarly, the city detailed that all security surveillance and images are made available to the Police Department to monitor commercial activity and deter any possible criminal activity.
Given this, all cannabis retailers must verify identification and ensure that customers are 21 years of age or older - 18 or older if a medical patient. In addition, cannabis retail businesses must be a minimum of 600 feet from existing and licensed schools, daycare centers, public parks, youth centers and libraries.
Permits are renewable annually and can be revoked if the company fails to comply with the terms of its permit.
Since 2019, Redwood City has allowed non-storefront cannabis businesses ?delivery? within the city limits, which, he said, has not experienced complaints or seen a related increase in criminal activity related to these operations.
Those interested in learning more about cannabis regulations in the city, can visit the site. www.RedwoodCity.org/Cannabis.
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