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Cracking down on pot shops proves difficult

By ERIC LINDBERG — Feb. 25, 2010

Despite being raided a week ago, several local medical marijuana dispensaries are apparently back open for business, further muddying the waters around what has become a hot-button political issue in Santa Barbara.

Customers have been seen entering and leaving two dispensaries in the city that police raided last week, and an employee at one of the shops confirmed that the business is still selling its goods.

“I think it demonstrates the high profitability of these locations that they would be so bold to open the next day,” said Brian Cota, a senior deputy district attorney who is prosecuting those arrested in the recent law enforcement raids.

As city leaders continue to grapple with how to regulate the growing industry of medical cannabis, it remains unclear how much power city officials and law enforcement have in effectively shutting down local shops believed to be violating state law.

One of the dispensaries raided last week, the Healing Center at 1437 San Andres St., has been the subject of repeated enforcement efforts and litigation, but remained open for business yesterday, according to an employee reached by phone.

“It’s not even close to being nonconforming,” said City Attorney Steve Wiley. “It’s always been an illegal operation — illegal from a zoning standpoint — and we’ve been enforcing on it.”

The shop seems to come and go, city officials said, sometimes appearing to be closed for a period of time before opening up again. The dispensary faced a court order several years ago after being sued by the city, Cota said, and its owners reportedly agreed to shut down in exchange for having the civil case dropped.

The other dispensary raided last week in the city, the Pacific Coast Collective at 331 N. Milpas St., was legally permitted by the city last year and continues to hold that permit.

“Nobody has been convicted of anything yet,” Wiley said, noting that a conviction would make revoking a permit a much easier process. “A criminal conviction is beyond a reasonable doubt, so that would more than establish the minimum requirement to revoke the permit. But if they are not convicted, there wouldn’t be much we could do.”

Wiley said the city also has several cease and desist letters out to various dispensaries in town, in addition to three complaints filed in superior court that could lead to court orders requiring the shops to close their doors.

Calls placed to two other dispensaries raided by sheriff’s deputies — the Miramar Collective at 2173 Ortega Hill Rd. and the Santa Barbara Care Center at 5814 Gaviota St. — were not answered and its unclear if they have reopened.

Nobody at any of the four shops could be reached for comment.

Sheriff’s officials declined to comment on any future enforcement efforts involving the dispensaries they raided last week, while a Santa Barbara police spokesman said medical marijuana remains one of many priorities for the department.

“It’s kind of a hot political thing right now, which has given it extra attention,” Lt. Paul McCaffrey said, adding later, “This isn’t the only dope problem that is going on in this town.”

He said narcotics detectives take their cue from the district attorney and court system in determining if a dispensary has violated the law. As far as reports that dispensaries have reopened following the raids, McCaffrey said police officials did not legally close down the businesses.

“We had the authority to take merchandise,” he said. “From what I’m hearing, we did not have a legal order to force them to shut down, to cease and desist.”

While declining to comment on any future enforcement action, the lieutenant said any evidence that the shops are operating outside of the Compassionate Use Act would be grounds for further enforcement.

“If they aren’t operating properly, it reverts to them being illegal marijuana dealers just like a kid selling dope in the high school parking lot,” McCaffrey said.

Making that determination is clearly a tricky business. State law on the subject of medical cannabis is notoriously vague, something city leaders have lamented while attempting to develop guidelines for local storefront collectives.

But Cota, the deputy district attorney, said there are some areas of the law that are clear.

“By no means are you allowed to sell marijuana for profit,” he said. “While there may be some areas [of state law] that people are arguing about, I don’t think anyone on either side is arguing that you can make a profit.”

A legal collective model would involve a closed group of people who cultivate and distribute medicinal marijuana among the members, Cota said.

Authorities turned up evidence that the four dispensaries raided last week were purchasing marijuana from outside suppliers, evidence that resulted from the arrest of a man who reportedly told police he was selling the drug to local pot shops for a profit.

Investigators are still looking into financial information connected to the raided dispensaries, Cota said, but several dispensary operators allegedly indicated to police that they were operating for a profit as well.

“When you pay for all your expenses and overhead, what’s left is generally considered profit,” he said. “What you’re supposed to do is put that right back into the collective. When it goes into the owner’s bank account, where it sits at his disposal only, that appears to me to be profit.”

The deputy district attorney said he has yet to receive the case files stemming from the recent raids, as the defendants have not gone through the arraignment process, and consequently could not speak to the specifics of each case.

Jay Leiderman, an attorney representing the owner of the Miramar Collective, Diane Norman, also said it is too early to make any in-depth comments on the case.

“My client doesn’t think she did anything wrong under the law, and if the evidence plays out as we expect it to, we think at the end of the case we’ll be able to show that,” he said.

The Ventura attorney is well versed in medical marijuana law, having helped author a book on the subject with the National Organization for the Reform of Marijuana Laws.

He agreed that state law regulating medicinal cannabis is somewhat ambiguous and doesn’t precisely define an appropriate distribution process.

“A collective is very vague, and I think it was intentionally so,” Leiderman said.

He acknowledged that collectives are not supposed to make a profit, although operators can receive “reasonable compensation” for their role in the operation.

If operating at a profit, the members of such a group should collectively decide how to reinvest that money, he said, and lowering the cost of the medication would be a logical choice.

Wiley said it is apparent that some dispensaries in town are not following that model.

“It’s clear that people haven’t been cultivating the marijuana that they are selling,” he said, adding, “With some of the prices that are being charged, I think it’s also clear they are doing more than recouping their expenses.”

City leaders on Tuesday decided to tackle the complicated task of better defining a storefront collective, setting a timeline of two months to revise local laws regulating medical marijuana.

Whether that brings any clarity to the issues surrounding medicinal cannabis, and perhaps gives law enforcement and city officials more power to enforce against dispensaries determined to be in violation of the law, is yet to be seen.

In the meantime, Cota said those arrested during the recent raids should be arraigned in mid-March. The defendants face a variety of charges, including possession of marijuana for sale and conspiracy.

Comment on this article

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End marijuana Prohibition. : 2/25/2010

"Sheriff’s officials declined to comment on any future enforcement efforts involving the dispensaries they raided last week, while a Santa Barbara police spokesman said medical marijuana remains one of many priorities for the department."
A safe non violent, non addicting, medically recommended plant is a priority? Isn't there crime in Santa Barbara the police can concentrate their efforts on? It's time to end this failed war on Marijuana. It's been enjoyed for over 3000 years and prohibition has done nothing to stop it. Sorry but it's just not the dangerous substance they're trying to make us believe.
Stop the insanity.

Richard


What a waste of time and money! : 2/25/2010

Alcohol and cigarettes are worst than marijuana, how many people gets kill every single year by potheads? How about drunk drivers? Police should focused on real criminals but I guess there aren't any here.

Local Resident


Legalize : 2/25/2010

Legalize to end this reefer madness.

TYC


deputy assitant DA defines profit? : 2/25/2010

Under the logic provided here, shouldn't the DA investigate the thousand or so non profits in this town that pay huge salaries to their staff and boards? The Val Verde Foundation was/is a scam where a parcel was taken off the tax rolls and equity pumped out to pay the 'staff' salaries who did little work of any benefit. How much does the DA think the head of the local United Way should make?
This is a campaign motivated by pressure from a segment that didn't vote for compassionate use.

Patrick


Makes no sense : 2/25/2010

Let me get this right: under this quasi-legalization scheme of medical marijuana, illegal trafficking went up 133 percent, and so your answer is to legalize it???? Are you NUTS? You want to try the same experiment again, and what, hope for a different outcome???? That would be the very definition of insanity. For every $1 we take in for alcohol and cigarette tax, we spend $8 in DUI enforcement, regulation, and treatment. Legalizing MJ would be no different. It's a net negative on our budget. The answer is that it's already regulated because it's illegal, and we like it that way.

downtownres


Legalize : 2/25/2010

I agree, if you want to stop all the violence/assaults/yelling and trouble along State Street, close all the bars and BAN ALCOHOL along State Street!
But, that would put an end to all the money and profits made, so that's not going to happen.


what? : 2/25/2010

@ downtown res- could i please see where you get your proof that for every $1 we make in cig or alcohol tax we spend $8 in treatment and dui enforcement? It seems like a dubious claim to say the least. and also where does it say illegal trafficking went up 133%? I tried to lok up both of these things but to no avial..please please tell me where you are getting these facts.

downtownresident


The county is Broke : 2/25/2010

The county is Broke.
Law enforcement will end up loosing their jobs while the shops and growers stay in business.
It's all about money.


LEGALIZE MARIJUANA!!! : 2/25/2010

AND close all the bars and BAN ALCOHOL along State Street!

Local Resident


hahahahaha : 2/25/2010

there is nothing you feds can do. cant stop the refer madness

9KW8K


It's a joke, and so is Das Williams : 2/25/2010

With his idea we can 'control' these pot shops. LOL. Close 'em down, they open back up the next day. Arrest the drug dealers running them, they're out on bail that afternoon, and back in business. Close ACME, that drug-dealer on the Westside posing as a dispensary, and now the guy is selling concentrated cannabis to other dispensaries. Kids are skateboarding up to the front door to get their pot cause they can get doctor recommendations over SKYPE. And all you clowns shouting for legalization - what a joke! Everyone's already acting like it is legal, and the sheriff's office, according to today's Daily Sound article, reports that trafficking crimes for marijuana are up 133%! I agree with whoever said that even when legalized, the Mexican cartels will be supplying it, legally or illegally. This is such a joke, and who pays? Us, the citizens of Santa Barbara, because we're the only stupid city on the ENTIRE central coast that said 'pot shops are good!' The closest pot shops are up in Monterey or down in Los Angeles. DRUGS are now our new tourist attraction, since we've got the bomb kush in the 805 that you can waltz in and buy.
Thank you Das. What a boon to our city you've been. You'll never survive the primaries for the Assembly race if Santa Barbara can help it, after what you've done to us.

sad over the fate of my city


I feel sad for you... : 2/25/2010

"I agree with whoever said that even when legalized, the Mexican cartels will be supplying it, legally or illegally."??? Are high right now? How are the Mexican cartels going to suppy if we already have large legal fields growing pot here in America, we even have a POT University here in California, the State will in fact be a competitor which means huge losses for the Mexican cartels. Get it grampa?

Legalize it now!!!


Dude : 2/25/2010

We already HAVE people growing huge amounts of pot. Heard of Mendocino? Humboldt County? They're buried in MJ. And yet, that did not stop cartels and traffickers from doing $600m worth of grows in SANTA BARBARA COUNTY alone. Didn't you read the news? The dispensaries raided last week, the police arrested people trucking it down here from up north. AND STILL THE CARTELS located people in OUR mountains to grow weed. GET IT? They're not going away just because you've said 'legalize it'. In fact, with legalizing, all you will have done is amp their market way up. Think they're going to give that up? You're insane. Plus, the pot smokers will never go for paying the state all this tax when they can buy illegal pot tax free. It will just create a massive black market right alongside a 'legal' market. That's why legalization is a crock. Don't assume we're all as stupid as you are.

sick of pot city


Yes I agree : 2/25/2010

The city, county, state are broke.
Law enforcement will end up loosing their jobs while the shops and growers stay in business.
It's all about money.


pot for profit : 2/25/2010

The failure of medical marijuana legislation in application has it's roots in the esteemed integrity of the medical profession. In implimentation it was an ethic akin to that of ambulance chasers in whcih the legislature and the public placed to much trust. Before regulating the dispensaries the public must regulate the qualification of the physcians, especially in regard to who is really making aprofit from medical marijuana. If the law was followed as to who qualifies as a patient, the number of patients could not in all probability even support the planned for five dispensariies in SB. By example, for my medical marijuanna documents, I chose the discount rate services of a retired Octologist, $180.00 for the first visit, and only $160.00 for my annual check up. As everyone knows, Octologist have special training and a life time of experience in diagnosing and treating ADD, a malady common to so many medical marrijuanna patients. Some might say that this attention deficit disorder malady has reached epidmic proportions here in Santa Barbara County. Perhaps the Center for Disease contro should be put on alert. Yet the shortage of physicians (veternarians, occtologist, podiatrist) qualified to diagnose and treat ADD is so dire, that this doctor (no addict left behind) has had to resort to making group appointments (there were about 15 patients at my group appointment). The doctor and his nurse/ accountant, because of this patient overload, was only able to devout a total of 45 minutes to our entire group at this appointment. For the math wizes prioritising for the local gendarms, that's 15 X $180.00 X 45 minutes, 24-7 for medical emergencies when the golf course is closed. Do I feel ripped off, hell yes, I didn't even have time to finsh the wating room magazines. Dispensaries, naw, too expensive, fortunately in Isla Vista we don't have to go that route, close them all I say, it won't cut off anybody's water here.

patient


Selfish republicans, they want people to be like them!! : 2/25/2010

CHANGE IS NATURE, NATURE IS CHANGE, we must understand the need of the upcoming generations, if this new generation wants to end marijuana prohibition, same-sex marriage WELL LET THEM BE!!! We must all remember that right-wing are the ones who ALWAYS create a negative enviroment within our people, since they got here and impose their IMPERIALISTIC system, killed thousand of native indians... then, they slaved the blacks they prefered to go war instead of LETTING THE SLAVES GO.... what happened to the asians??? now they are destroying poor illegal immigrants, THEY OPPOSE HEALTH INSURANCE, they oppose to change, HITLER wanted a WHITE WORLD NO MATTER WHAT, same here.... REPUBLICANS WANT TO IMPOSE THEIR WORLD NO MATTER WHAT!

DEMOCRANTS STAND UP! THIS IS OUR ERA!


Um : 2/26/2010

Wasn't Lincoln a Republican?

history buff


Tax it and regulate it : 2/26/2010

These dispensaries need to share the wealth to pay for the damage to the community. It needs to be regualted by the FDA like any pharmaceutical. the liquor analogies don't hold up - liquor is heavily taxed.


Sit down Democrats : 2/26/2010

You're a bunch of stoned fools.


Dazed and Confused : 2/26/2010

You are all lost souls because you don't know your Creator and your Lord and Savior. You worship a plant instead. Very sad for you how empty you are inside that you must numb your brains to get through life, because for most it isn't about pain unless we are talking about the pain in your pathetic lost souls...


End marijuana Prohibition : 2/27/2010

Police should focused on real criminals but I guess there aren't any here. They are justifying their jobs. Bad economy. Look at the Police Blotter busting medical marijuana clinics. The DA investigate the thousand or so non profits in this town that pay huge salaries to their staff and boards? Amazing.
But downtown res said " The answer is that it's already regulated because it's illegal, and we like it that way." Do your realize all the mexican people dying from drug wars. ? Great CBC DocZone documentary about it. Google it.
THE MJ industry is going through the same transformation as Las Vegas gambling of the 1950's. Originally run by gangsters, it was eventually corporatised into to a functioning capitalist market with transparency. Sure Kurk K, Steve Wynn and Sheldon Adelson are the new gangsters but at least you can buy into their empire.
The state is broke. Needs new source of revenue. The upcoming November elections will push to legalise it.

Another Local Resident


and you wonder why : 2/27/2010

And you wonder why the city is broke? Wasted money on litigation and over policing of the population. Wouldn't we all be better off if the city leaders and law enforcement didn't suck the life out of the people they are SWORN to serve? Wouldn't we be better off if the economy was energized by this safe and PROFITABLE produce. Yes safe.. Keep in mind that cooking with cannabis is great fun and taste! ARNOLD will give you your herb if you let him!
Peace

booripper


To downtownres : 3/1/2010

The fine of a DUI is $2800 plus then 600 is pumped in to a mandatory drunk education class. So for every 8 dollars use to enforce they get a huge pay out when they catch the person with dui. Did you know they were trafficking booze in the 1930's, people were killed and there was a large black market. Look at the crime in selling/ trafficking Bud Light. now there is just violence when there drunk. your just stupid or uneducated hopefully the latter.

Dollars and cents


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