Representing The Source Dispensary in Rogers, Michael Langley expressed frustration over the lack of rules regulating how and where medical marijuana dispensaries can move locations.
Earlier this year, the Medical Marijuana Commission approved the transfer of Osage Creek Dispensary from Eureka Springs to Springdale, in relative proximity to The Source’s location in Rogers.
During the March meeting when the commission approved Osage Creek’s move, the argument was that the location change was needed as recreational dispensaries, just over the state line in Missouri, had taken away a lot of its business.
But now there are complaints that the Osage Creek Dispensary is cutting into The Source’s business — and that such relocations aren’t regulated enough.
At its next meeting on June 5, the Medical Marijuana Commission will take public input, beginning a process to write rules to regulate how dispensaries change locations. The current rules, which don’t require community input or consideration for patients, have frustrated some in the industry.
Last year, the Arkansas Alcoholic Beverage Control Division, which regulates the cannabis industry in the state, drafted rules to require businesses give more notice and seek public input before deciding to move locations.
However, the rules were never considered by the commission, said Scott Hardin, a spokesman from the Arkansas Department of Finance and Administration, which oversees the state’s cannabis industry.
Hardin said the commission will seek input from the state’s medical cannabis industry at the June 5 meeting before directing staff at the Alcoholic Beverage Control Division to then write a draft of rules that would be voted on by the commission. To take effect, the regulations would need approval from the Arkansas Legislative Council, a body of state lawmakers tasked with reviewing and approving rules when the General Assembly is not in session.
Amendment 98 to the Arkansas Constitution, which legalized recreational medical marijuana, only mandates the location of a medical marijuana dispensary be at least 1,500 feet away from the entrance of a school, church or day care facility.
Melissa Fults, a medical marijuana patient advocate said she believes the commission needs to establish rules that only allow dispensaries move to underserved areas. She said there are too many dispensaries in the state’s population centers, specifically Little Rock or Northwest Arkansas.
“If they’re going to move somebody to a new location it needs to be in an underserved location, not so you can compete with your next-door neighbor,” Fults said.
Whether to approve a transfer of location can be among the most contentious issues the commission has to contend with as any potential move could be met with pushback from competitors or elected officials.
Last year, the agency drafted a proposed set of rules to require any proposed dispensary move be first sent to the local county judge and mayor. The commission would then be required to listen to feedback from local officials and members of the public, being required to vote based on whether the move would better serve patients.
“The Commission will host an open discussion with industry at the next meeting,” Hardin said in a text message. “From there, (the Alcohol Beverage Control Division) can begin drafting based on that feedback. There may be portions of the previous draft rules that are utilized.”
The proposal came after the commission approved the move of Speakeasy Dispensary from Pine Bluff to Prairie County. While the owners had sought the support of local elected officials, state lawmakers from the area opposed the move and asked the commission to reconsider.
Attorney David Couch, who authored the medical marijuana amendment, said he’s surprised the commission hasn’t taken a more proactive role in creating rules until now.
“You know hindsight is 20/20,” he said. “Being able to write (the amendment) back in 2016 with today’s knowledge? Yeah, I would have done it different.”
Information from Doug Thompson of the Northwest Arkansas Democrat-Gazette contributed to this story.
Representing The Source Dispensary in Rogers, Michael Langley expressed frustration over the lack of rules regulating how and where medical marijuana dispensaries can move locations. Read More
