The SLO Chamber has recognized the difficulty in balancing complex dynamics of a legal cannabis industry since it emerged in 2016, and we’ve pushed for local jurisdictions to take a measured approach that will reduce unforeseen consequences. 

Our advocacy has focused on regulations that prioritize safety and welfare of community members, the character of our community, and compliance with state and federal law while creating room for business growth and healthy competition.

On October 18, 2022, the San Luis Obispo City Council will be hearing the annual report on the cannabis program and considering some updates. The SLO Chamber is advocating for the City to make a few changes to the current ordinance to better serve our community. 

Operational Changes

To bring San Luis Obispo in line with neighboring communities, SLO should:​

  • Extend allowable operating hours for retail cannabis businesses from 9 a.m. – 8 p.m. to 7 a.m. – 9 p.m. 
    • California currently allows operations from 6 a.m. – 10 p.m. 
    • Morro Bay and Grover Beach retailers can serve customers from 7 a.m. – 9 p.m. Delivery companies in SLO can bring cannabis to customers from 6 a.m. – 10 p.m.
  • Allowing storefront retailers to serve medical patients 18 years and older. 
    • Currently limited to medical patients 21+ years old in the City of San Luis Obispo
    • Retailers in Morro Bay and Grover Beach as well as San Luis Obispo delivery companies can serve medical patients who are at least 18.
  • Allowing storefront retailers to engage in mobile delivery in addition to storefront retail sales.
    • Again, Morro Bay and Grover Beach allow retailers to deliver to their customers.

As we have observed in other communities, these shifts do not impact community health, but they do allow for better access to locally licensed, approved businesses and help limit the appeal of unlicensed delivery operators or storefronts in neighboring communities. 

Business Structure Regulations

Additionally, to support the success of local businesses into the future, we are asking the City to amend one of the proposed ownership change elements regarding social equity ownership. 

The City originally enacted the social equity element of the cannabis program to ensure room in this new industry for many types of community members rather than just wealthy, out of town interests. To preserve the spirit of the program and allow social equity owners to get the most out of their stake in companies, the City should keep the 2% social equity owner minimum threshold, not mandate that the ownership structure of a business remain static from the time of application. 

Allowing businesses to invest in their own growth while maintaining at least 2% social equity ownership will maximize the benefit to social equity owners and allow businesses to thrive.

Join us at the SLO City Council meeting on Tuesday, October 18 to share your support.