Cannabis could be coming to retail centers in this Silicon Valley city – San José Spotlight

San Jose cannabis enthusiasts may be starting the year off on a high.

On Wednesday, the Planning Commission approved recommendations to change zoning laws for cannabis retailers ­that would allow up to 21 new dispensaries in commercial locations around the city. Only 16 dispensaries are allowed under current city regulations.

The recommendations are expected to go before the San Jose City Council for consideration next week.

The changes would enable dispensaries to expand beyond industrial zoning areas and into commercial areas. Other changes include setback requirements from schools, neighborhoods and community centers, allowing existing dispensaries to open a second location and rezoning to allow up to 1,300 locations for delivery-only dispensaries, which do not exist in San Jose.

The vote passed 8-3, with some commissioners citing concerns over a potential increase in dispensaries.

“(These setback recommendations) are a lot closer than we seem to realize, and I think this is a little premature to be voting and changing zonings in the city,” said Commissioner Jorge Garcia, who joined Commissioners Deborah Torrens and Sylvia Ornelas-Wise in downvoting the recommendations. “Let’s not forget that this is still against the law from a federal level.”

The other eight commissioners felt differently, especially regarding an equity initiative to allow those disenfranchised from the war on drugs to participate in the budding cannabis industry. The proposal would allow up to 10 new cannabis businesses for equity applicants only, up to five of which may be retail storefronts. Currently, three of the 16 dispensaries in San Jose are minority-owned.

“I think it’s terrific,” Commissioner Michael Young said. “It’s also really good that it encourages local ownership of cannabis businesses rather than the large businesses.”

Currently, cannabis retailers—both storefronts and cultivation sites—are only allowed to operate in industrial zones. Under regulations approved in 2014, San Jose adopted a vertical integration model, which means each cannabis “collective” is required to grow and process/manufacture its own products.

Because of the industrial nature of cultivating and manufacturing cannabis, the council determined dispensaries were appropriate only in industrial areas.

Contact Jana Kadah at [email protected] or @Jana_Kadah on Twitter.

This story will be updated.

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