DENVER – Denver marijuana regulators offered advice this week to fellow cities and towns grappling with legalization, though Durango officials aren’t so sure the guidance is necessary.
The Denver officials spoke Thursday and Friday at the Marijuana Management Symposium, a first-ever government-sponsored gathering of regulators, law enforcement and aspiring marijuana entrepreneurs.
During a panel Thursday, Denver regulators spent time patting themselves on the back for successfully implementing legalization in Colorado’s largest city. They offered themselves as a model to other municipalities.
But Greg Hoch, director of the Durango Community Development Department, which oversees marijuana regulation and enforcement, said Durango has implemented its own successful model.
“Denver regulators can pat themselves on the back all they want for what they are doing with (marijuana) regulation, but in the very beginning, when Denver and other cities adopted their first round of regulations for medical marijuana ... when Denver got ahold of Durango’s ordinance, Denver amended its ordinance to incorporate most if not almost all of Durango’s ordinance provisions,” Hoch said.
“We have been patting ourselves on the back as a city for a good spell now ...” Hoch added. “We are not exactly a country bumpkin-type of rural small city – we take pride in thinking issues through before the big boys on the block actually do.”
Still, Hoch said a Durango code enforcement officer attended the symposium because it is helpful to discuss the issue with other regulators.
Durango has issued seven medical and eight retail marijuana licenses. One grow license also was issued before the city placed a prohibition on additional grow facilities. The city is also home to one testing lab. Another retail application is pending, along with an additional lab application.
Ashley Kilroy, executive director of Denver’s Office of Marijuana Policy, highlighted two key issues facing cities and towns. The first is how to regulate pesticide use. The second is how to control supply and demand so there isn’t an over-production diverted to the black market.
“We still don’t know a lot ...” Kilroy said. “We always promised from the beginning we’re going to track, assess, monitor and make changes where we need to. It is just being on top of it.”
Hoch said Durango is certainly “on top of it.” But he disagrees with Kilroy on a need to focus on pesticides, suggesting that is a state role.
“The city does not have the resources to get on and then stay on top of that issue,” Hoch said.
In terms of supply and demand, Hoch is counting on the free market. Durango officials have not capped marijuana outlets, and stores have not yet closed because of too much competition. He believes stores will start closing if the supply is more than the demand.
Hoch pointed out that there has been a lot of pressure on commercial real estate markets in other cities because of the explosion of the marijuana industry. That pressure is starting to increase in Durango’s unincorporated area surrounding the city. The city may revisit grow operations and infused products as a result, Hoch said.
“If we do go in that direction, still a very big if, we will likely consider placing a cap on the number of grow operations operating in our service area because of the impact such uses may have on the availability of space for general warehousing uses and their impact on the water system,” Hoch said.
Denver officials also suggested that local regulators pay attention to home concentrate production, something Hoch said should be a state priority. He added that there have been “virtually no” home incidents.
Another piece of advice offered by Denver regulators was to cap the number of plants grown in a household and at unlicensed cooperatives. Denver capped households at 12 plants and co-ops at 36. Durango officials are currently considering a cap for residential grows.
Denver planners also urged municipalities to track marijuana data, including driving incidents, hospitalizations and use at schools. The Durango Police Department tracks drug abuse incidents, but it does not offer a breakdown into specific drug categories.
Hoch said Durango’s small size in comparison to larger cities is not necessarily a hindrance in regulating marijuana. So far, the revenue the city has taken in from marijuana, along with state assistance, has been enough to keep up with regulations.
“So far so good,” Hoch said. “The size of Durango and the limits on where you can have retail and medical outlets per our zoning likely makes regulations easier to deal with than it would be for a big city like Denver.”
pmarcus@durangoherald.com