Divided Monroe council debates marijuana business rules

One member doesn’t want the city to ‘close the door on significant income.’
Monroe City Council members are discussing if cannabis businesses should be allowed when the state permits recreational marijuana sales. The city earlier placed a moratorium on marijuana businesses opening in the city, but it expires on Oct. 8. Monroe has four medical marijuana businesses, two in Butler and two in Warren counties. The four are located near Interstate 75, are 2.5 miles apart and report “very healthy” sales, a city official said.  CONTRIBUTED

Monroe City Council members are discussing if cannabis businesses should be allowed when the state permits recreational marijuana sales. The city earlier placed a moratorium on marijuana businesses opening in the city, but it expires on Oct. 8. Monroe has four medical marijuana businesses, two in Butler and two in Warren counties. The four are located near Interstate 75, are 2.5 miles apart and report “very healthy” sales, a city official said. CONTRIBUTED

MONROE — Dr. Kelly Clark, a Monroe City Council member, appears to be the only one of the seven members interested in the city adding cannabis businesses when the state allows recreational marijuana sales.

During a special meeting that lasted 90 minutes Monday night and showed an obvious divide among the opinions of the City Council, members directed Development Director Tom Smith to create legislation for a potential vote in July.

The city earlier placed a moratorium on marijuana businesses opening in the city. The moratorium is set to expire on Oct. 8, according to city documents.

Monroe has four medical marijuana businesses, two in Butler and two in Warren counties. The four are located near Interstate 75, are 2.5 miles apart and report “very healthy” sales, Smith said.

He asked council for direction on three topics: Number of dispensaries they want in the city; if recreational marijuana should be allowed in public places; and the fee structure for cannabis businesses.

Council didn’t vote on any legislation, but members said they believed marijuana consumption should be regulated like alcohol.

While the meeting was intense at times, there was a lighter note when Mayor Keith Funk was talking about the potential financial benefits to the city and its residents.

If that was the case, he’d vote for Monroe to be the “Cannabis Capital of the World.”

A few members jokingly asked him to repeat that statement.

“Positive cash flow solves a lot of problems,” he said.

Several council members repeated what they had said at earlier meetings. They believe Monroe, with an estimated population of 15,500, doesn’t need more than four cannabis businesses. Per capita, Monroe has more marijuana businesses than any Ohio city, they said.

Council member Michael Graves, who has vehemently voiced his opposition to additional marijuana businesses in the city, became frustrated by the length of the discussion, saying members were “dancing around an easy decision.”

To that, Clark responded: “I don’t like easy decisions.”

She believes if Monroe doesn’t allow more marijuana businesses to open, they will locate in surrounding communities if they lift their moratoriums. She mentioned Middletown as a possible landing spot.

Smith said one marijuana business in Dayton has shown interest in expanding into Monroe.

Dispensaries in Michigan generate about $56,000 annually in taxes, according to Clark. She figures Ohio will have about the same financial structure. By adding two more dispensaries, that could mean more than $100,000 to the city. She doesn’t want the city to “close the door on significant income.”

More dispensaries would provide the city with additional tax benefits, as the retail component has a 10% state excise tax on adult-use cannabis. Council member Ben Wagner noted that while Monroe has four medical marijuana businesses, it has only one liquor store. He said the city doesn’t need more marijuana businesses.

Vice Mayor Christine McElfresh said she was comfortable with four marijuana businesses, and council member Tom Hagedorn said he would not approve adding marijuana businesses.

Ohio became the 24th state to legalize recreational marijuana when voters on Nov. 7, 2023, supported Issue 2. The election issue enacted adult-use cannabis as an initiated statute in the state’s revised code, taking effect on Dec. 7. In addition to allowing the sale, it permits residents to grow up to six marijuana plants per person or 12 per household and the smoking of the product.

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