BROOKVILLE — Council conducted a public hearing on the ordinance that designates the location where marijuana can be cultivated, processed and laboratory tested and prohibits the selling of cannabis in the city.

Brookville Law Director Rod Stephan indicated the ordinance “is amending Chapter 1170 medical marijuana and Chapter 1145, I-2 (General Industrial District) of the code of ordinances of the city of Brookville.”

“In November of 2023, the voters of Ohio passed an initiative that permits adult-use cannabis to be cultivated, processed and sold in Ohio,” Stephan said.

“The new law, as enacted by the voters, is set forth in Chapter 3780. Under Ohio Revised Code Section 3780.25, the legislative authority of a municipal corporation may adopt an ordinance by majority vote to prohibit or limit the number of adult-use cannabis operators permitted in a municipal corporation,” Stephan said.

Stephan said the city of Brookville passed in 2017 Chapter 1170 entitled “Medical Marijuana.”

“At that time, planning commission and city council adopted Chapter 1170.01 which prohibits medical marijuana cultivators, processors and retail dispensaries as authorized in Chapter 3796 of the Ohio Revised Code from all zoning districts in the city of Brookville,” Stephan said.

Stephan explained the proposed ordinance (2024-09) “would permit marijuana cultivators, processors and testing facilities to operate in I-2 (General Industrial District) in the city of Brookville.”

“The ordinance would also amend Chapter 1170 to also permit medical marijuana cultivators, processors and testing facilities to operate in I-2 districts,” Stephan said.

Stephan noted the I-2 General Industrial Districts “include the industrial park on Carr Drive and areas zoned I-2 north of Interstate 70.”

“The proposed ordinance would continue to prohibit retail dispensaries for adult-use cannabis and medical marijuana from locating in any zoning district in the city of Brookville,” Stephan said.

“State law requires a license to operate and regulations are now being developed for issuance of those licenses later this year,” Stephan said of the retail selling of cannabis.

Stephan noted Section 3780.07 of the Ohio Revised Code “does prohibit the location of any retail facility within 500 feet of a church, public library, public playground, public park or school.”

Stephan noted Section 3780.29 permits “home grow.”

“Residents of Brookville and other communities will be able to cultivate and grow a limited number of cannabis plants at their home residence within a secured closet, room, greenhouse or other enclosed area in or on the grounds of the residence that permits access by individuals less than 21 years of age and which is not visible by normal unaided vision from a public space,” Stephan said.

“The city is probably not going to be able to prohibit a home-grown process through zoning,” Stephan added.

“Cities that do permit a retail dispensary to locate in their community are to receive a host community fund payment that shall be based on the percentage of adult-use tax contributed to that municipal corporation,” Stephan advised.

Stephan indicated the rate of adult-use tax is 10 percent.

Maple Street resident Fred Garber asked Stephan for clarification on the host community fund payment.

“If retail dispensary would locate in Brookville, there is a 10 percent excise tax that is placed on every sale,” Stephan explained.

“The community that allows the retail dispensary would receive a percentage of that adult-use tax which could be used for virtually any purpose,” Stephan continued.

Stephan also pointed out the ordinance will prohibit the retail sale of cannabis anywhere in the city.

“Right now we are looking at allowing processing, cultivating and testing inside an industrial building in an industrial park,” Stephan said.

Upper Lewisburg-Salem Road resident Mark Haworth asked Stephan “what kind of revenue can this generate for a city.”

“As terms of revenue, we have looked at that. We have interest in an industrial building where they are going to make a multi-million dollar investment and employ 60-70 people which is going to generate income tax,” Stephan replied.

Salem Street resident Jaime Laquinta asked Brookville Police Chief Doug Jerome what the impact would be if the city would decide to allow the retail sale of cannabis.

“Have you seen any studies and the impact of crime from communities that have allowed the cultivation of marijuana retail dispensaries?” Laquinta asked.

Jerome replied he has not seen any studies as of yet because the retail selling of cannabis in Ohio has just recently been legalized in Ohio.

“I don’t know about the impact of a retail dispensary because it’s so new. It is a work in progress to vet this,” Jerome said.

Jerome did note city staff has researched a commercial marijuana facility recently located in a neighboring community.

“Staff did their due diligence and visited a community that allowed a processing and testing facility. There have been zero issues.” Jerome said.

“These facilities are built very well. They are basically just like any other business,” Jerome continued.

Brookville City Manager Jack Kuntz confirmed Jerome’s assessment of the commercial facilities.

“I’ve toured multiple facilities,” Kuntz said.

“The biggest thing for me is it is mandated by the state of Ohio. You have to go through an extensive process for licensing. There is very tight security. There’s not one inch of that facility that isn’t under a camera surveillance,” Kuntz said.

“The operator of the facility is willing to give access to their cameras to police and fire departments so they can monitor it 24 hours a day. The state of Ohio is allowed to spot-check the facility without a moment’s notice,” Kuntz said.

“All employees have to go through background checks through the state of Ohio. The state has to give its approval before any employee can be hired,” Kuntz added.

Maple Street resident and planning commission member Tony Ezerski said he believes the cultivation facility could be viable after looking at the numbers to see if the revenue is worth it.

But Ezerski said he does not think allowing the retail sale of cannabis in the city is a good idea.

“This is something we don’t want to be first through the door on. Ohio does not have enough data to understand what this does to a community that has a dispensary,” Ezerski said.

“I don’t know if we would want to put in a dispensary and have people traveling here every day on Interstate 70 from Indiana and other neighboring states to get marijuana,” Ezerski continued.

Brookville councilmember Curt Schreier said council realized the city could have had income by opting for retail sales. But he said council thought against it not knowing what the ramifications would be if it was allowed to be purchased in the city.

Stephan said if the city would allow retail cannabis sales in the city, the facilities would be best located in the I-2 General Industrial District on Carr Drive and north of I-70.

“I don’t think we would want to have it in our Market Street area,” Stephan said.

But Stephan said there are no plans to allow retail facilities in the city.

Upper Lewisburg-Salem Road resident Jim Hoffman said he didn’t favor the approval of commercial growing or retail sales of cannabis in the city.

“I think the city should continue to prohibit the commercial growing, processing and testing marijuana and also prohibit the retail sales,” Hoffman said.

“I understand it’s all legal now, but there are a lot of legal businesses I don’t think Brookville would want to have. I understand it can generate a lot of money, but those legal businesses I don’t think Brookville wants generate a lot of money, too,” Hoffman said.

Johnsville-Brookville Road resident Mike Hughes also voiced an objection to allowing commercial or retail sales of cannabis in the city.

“This is a path Brookville doesn’t want to go down. We don’t want to be first. We don’t want to be the leaders in this. I don’t agree with the growth facility either,” Hughes said.

Councilmember Stephen Crane said he preferred two ordinances on the marijuana issue.

“Is there any way we could have an ordinance for the commercial growing, processing and testing of marijuana and another ordinance prohibiting the retail sales?” Crane asked.

“We can generate two different ordinances. We can bring back an amended ordinance. It will have to go in front of planning commission if there is a recommendation to have two separate ordinances,” Stephan replied.

“Planning commission can then make a recommendation as to what the zoning text should say and it would then go back to council and at that point it would be the second reading and there would be two ordinances for council to consider,” Stephan continued.

Council voted to extend the medical marijuana moratorium an additional 30 days while all the details are completed.

Reach Terry Baver at [email protected].