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File #: 25-220    Version: 1 Name: Issuance of 4th Cannabis Operator Permit
Type: Staff Report Status: Agenda Ready
In control: City Council
Meeting Date: 5/19/2025 Final action:
Enactment date: Enactment #:
Title: Staff Report for First Reading of Draft Ordinance Revisions that will Authorize a Fourth Retail Cannabis Dispensary Business, as well as a Resolution Awarding the City of San Leandro's Fourth Cannabis Dispensary Operating Permit to DSWC II Inc., to be Effective 30 Days Following the Adoption of the Ordinance
Attachments: 1. A - Proposal from NUG Wellness, 2. B - Letter from Fairway Medical Plaza, LLC, 3. C - DRAFT Ordinance (Allow 4th Permit), 4. D - DRAFT Reso (Awarding Fourth Permit), 5. Presentation (Fourth Retail Cannabis Dispensary)
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Title

Staff Report for First Reading of Draft Ordinance Revisions that will Authorize a Fourth Retail Cannabis Dispensary Business, as well as a Resolution Awarding the City of San Leandro's Fourth Cannabis Dispensary Operating Permit to DSWC II Inc., to be Effective 30 Days Following the Adoption of the Ordinance

Staffreport

SUMMARY AND RECOMMENDATIONS

The City Manager presents to the City Council the following analysis and attached application from DSWC, Inc. (doing business as NUG Wellness), which seeks to establish an additional cannabis dispensary in the City of San Leandro. Also presented for the City Council's adoption, should it so choose, is a first reading of an ordinance that would authorize a corresponding fourth cannabis dispensary operating permit. Lastly, a draft resolution representing the aforementioned fourth operating permit and conditions of approval written into said permit is also attached to this staff report for the City Council's consideration. The draft resolution awarding the fourth permit, if approved by the City Council, would be effective 30 days after the adoption of the ordinance.

Background
Following extensive dialogue with the community and numerous City Council discussions over several years, in December 2013, the City Council approved a medical cannabis regulatory ordinance to facilitate the approval, regulation, and operation of one cannabis dispensary in San Leandro. That ordinance, in conjunction with the California Medicinal and Adult-Use Cannabis Regulation and Safety Act, implements strict zoning, security, and other requirements on the operations of cannabis businesses.

In December 2014, a request for applications from parties interested in serving as San Leandro's first dispensary operator was publicly released and 15 teams ultimately applied for the first dispensary permit. Following a robust review of the 15 applicant proposals, the following three teams (in alphabetical order) were identified as having demon...

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