Northeast Ohio cities explore how to best manage, benefit from recreational marijuana sales

Nearly 80% of Lakewood residents voted "yes" last November to legalize recreational marijuana in Ohio. City officials are addressing voters' overwhelming support for Issue 2 with new cannabis-centric laws.

Issue 2 authorized the non-medical use of marijuana for individuals aged 21 and older, encompassing rules for the cultivation, processing, sale, purchase, and possession of the plant.

Lakewood, among other Northeast Ohio municipalities, is updating its ordinances to further match the language set forth by the initiative. For instance, the city is now aligned with state law that allows residents to possess 2.5 ounces of cannabis or grow up to six plants at home.

Generally, Ohio allows local jurisdictions to prohibit or limit the sale of marijuana within their boundaries. As of mid-August, at least 78 state municipalities or townships passed moratoriums prohibiting non-medical cannabis businesses, according to Ohio State University's Moritz College of Law

Meanwhile, Lakewood is also seeing a general shift toward more progressive cannabis policies, said Lakewood City Council President Sarah Kepple. Along with an ordinance that streamlines the permitting of non-medical dispensaries, the West Side suburb is rewriting its zoning code for recreational storefronts in commercial districts - two existing medical marijuana dispensaries, for example, are now licensed to sell recreational cannabis as well.

Any would-be owners must find properties that provide a 500-foot buffer between their storefront and " sensitive locations " such as schools and churches. In another nod to Ohio law, the dispensaries themselves must be 1,000 feet apart to avoid the "clusters" of shops found in more permissive markets like Michigan.

"The zoning laws we had mirrored what is still the state law, though we updated it so it removed the word 'medical,'" said Kepple. "Given that Lakewood is five-and-a-half square miles, and Ohio doesn't allow dispensaries within 1,000 feet of each other, the reality is we'd probably only have one more dispensary that could exist within state law, let alone within our local zoning."

A happy medium

With Issue 2 taking effect this year, Cleveland Heights recently added recreational marijuana dispensaries to its city code via legislation passed on June 3.

Like Lakewood, Cleveland Heights voters embraced Issue 2 by a wide margin. City council was quick to add new regulations that align with state guidelines - a limited real estate footprint makes multiple dispensaries a no-go regardless, noted Eric Zamft, director of planning and development for the inner-ring Cleveland suburb.

"There is no scenario where you will have a dozen dispensaries in Cleveland Heights," Zamft said. "We're satisfied with the business license and state siting requirements as is. We can also revoke licenses at the city level if there are bad actors."

Amplify medical marijuana dispensary in Coventry Village is now open for recreational sales. Amplify, run by cultivator and processor Buckeye Relief, will likely be joined by additional entrepreneurs now "kicking the tires" on a non-medical enterprise in Cleveland Heights, said the city's assistant director of economic development Brian Anderson.

"We've been contacted by a number of existing entities or those representing a dispensary business," said Anderson. "They're just confirming our zoning laws while other cities put in moratoriums."

Nor is Anderson sorry that Ohio won't have stores lining its border like Michigan – the Buckeye State's current regulatory environment represents the perfect balance, he said.

"This is a happy medium between not having cannabis at all, and doing whatever you want," Anderson said. "There is no need for us to step in on zoning."

The way to go

Although RISE Dispensary has recreational cannabis available at its two Lakewood locations, city officials envision a space for a homegrown cannabis enterprise as well..

"Part of the community has dealt with the criminal consequences of marijuana being illegal, so we wanted to create an opportunity where there's at least some window for another potential entrepreneur," said Kepple.

The City of Cleveland also changed its zoning code in the run-up to recreational sales. Under modifications proposed by Mayor Justin Bibb and approved by city council, new dispensaries will be limited to designated retail districts, with businesses at least 500 feet away from churches, public libraries, schools, public parks or playgrounds.

Yet, Cleveland cannabis entrepreneurs now enjoy greater flexibility compared to the past, when stringent regulations restricted medical marijuana dispensaries to limited retail areas, said Councilman Kerry McCormack.

"Allowing for marijuana sales in our commercial and retail areas is an appropriate way to go so it's accessible to people," McCormack said. "Versus a standalone store in the middle of nowhere in an industrial area, this way the retail stores are better located where there's other retail and foot traffic."

McCormack is waiting to see the larger benefits of legal marijuana for Cleveland, be it through increased tourism or job creation. For now, he's satisfied having a regulated product sold by licensed professionals, he said.

"Having cannabis in a controlled environment is going to be better for our city, versus it being sold on the street," said McCormack. "The tax implications could be really beneficial, and there are benefits to safe marijuana consumption for people suffering from PTSD or anxiety. Ohio voters spoke, and I'm happy we are where we are."