PALMER -- More than 35 marijuana business license applications in Alaska's reputed cannabis capital could be in limbo if a Matanuska-Susitna Borough proposal goes forward.
The borough Assembly is expected to introduce a moratorium on cultivation and other commercial operations until after local elections in October. If introduced at the next Assembly meeting April 19, the moratorium would be up for public hearing May 3. It would expire Oct. 19, after the election is certified.
Valley voters will decide during the Oct. 4 election whether to ban commercial marijuana activities outside the cities of Palmer, Wasilla and Houston. Palmer and Wasilla already have bans in place but Houston is developing regulations for cannabis businesses.
"(M)embers of the public have asked the Assembly to delay enactment of rules until after the voters decide the question," states the proposed ordinance from Willow Assembly representative Randall Kowalke. The moratorium would allow the borough to resolve issues "regarding locations of businesses and residential areas" and give the Legislature time to pass a bill allowing the state marijuana control board to perform background checks as required for licensing, the ordinance states.
At least 36 Mat-Su cannabis businesses -- labs and retail stores to cultivation and manufacturing operations -- have filed license applications with the Alaska Alcohol and Marijuana Control Office?. The operations span a broad area from Talkeetna to Sutton.
The Assembly on Tuesday evening also voted to return a series of proposed land-use regulations for cannabis businesses to a 17-member advisory committee as well as the borough planning commission.
The delay reflects the fact that the proposed regulations, originally composed by the Marijuana Advisory Committee and reviewed by the planning commission, have changed. A 100-foot setback from adjacent property lines has drawn fire, as has a prohibition on marijuana facilities near public parks or boat ramps.
New proposals include the possibility that the borough could ban edible marijuana products out of concern over juvenile consumption, along with a 5,000-square-foot cap on cultivation facilities.
"It's a market limitation that would make it so you don't have any really big cultivation facilities, you'd have a lot of little ones," development services manager Alex Strawn told the Assembly. "It would give the small growers a piece of the pie."
Strawn said he's heard complaints that Mat-Su growers won't be able to compete with large operations on the Kenai Peninsula or other areas without size limits. The planning commission opposed the requirement, he said.
The City of Wasilla has also requested the borough prohibit marijuana-related facilities within 1,000 feet of city limits.
If adopted, however, the moratorium would make any of those regulations moot until after the October elections. The state wouldn't be able to approve any Mat-Su cannabusiness licenses, said Sara Williams, who both chairs the marijuana advisory committee and serves as CEO of a company hoping to start a series of marijuana-related enterprises.
Former borough mayor Larry DeVilbiss is leading the charge for the moratorium. DeVilbiss, who convened the borough marijuana committee, also worked to support commercial pot bans in Palmer and boroughwide.
Marijuana business supporters say they should be given the chance to start up, even if it means they have to shut their doors if voters approve a ban. They say the public should be able to see how legitimate businesses operate before they vote.