Cannabis microbusiness planned in Temescal Valley

Location
23215 TEMESCAL CANYON ROAD: River Releaf would operate from this building, the location of the former Top Notch Plumbing, Heating & Air Conditioning business.

(Published June 2020)

June 3 public hearing set for Planning Commission agenda

An application for a Conditional Use Permit (CUP), for a cannabis business in Temescal Valley is set for a public hearing at 9 a.m., Wednesday, June 3 before the Riverside County Planning Commission. If eventually approved by the county Board of Supervisors, the business would operate at 23215 Temescal Canyon Road.

River Releaf is the applicant seeking the permit for a “microbusiness” allowing not only retail sales but also indoor cultivation, manufacturing, and the distribution of cannabis.

The proposed location, an 8,565-square-foot, two-story building, is in a small business park where Dawson Canyon road dead-ends into Temescal Canyon Road. The building sits on 0.43 acres owned by Temescal Valley residents James and Christie Koontz and is the location of their former Top Notch Plumbing, Heating & Air Conditioning company.

In the building, 1,500 square feet would be devoted to retail, 4,500 square feet for cultivation, 1,580 square feet for distribution and 985 square feet for manufacturing. There also would be areas for storage, office, employee breakroom, lobby/reception and restrooms.

It’s unclear but the Koontz property might be in escrow and being sold to River Releaf. Unlike the applicants of all prospective development projects in Temescal Valley, River Releaf has demonstrated no community outreach to either the WeAreTV Development Committee or the Municipal Advisory Council.

The microbusiness would have three security guards and operate 24 hours a day, seven days a week. Business hours for retail sales would be from 8 a.m. to 10 p.m. and the cultivation, distribution, and manufacturing components from 10 p.m. to 8 a.m.

BACKGROUND

While California voters legalized marijuana use in 2016, the Prop 64 ballot measure gave local governments the authority to decide whether to allow cannabis commerce in their jurisdictions.

Illegal marijuana grows and dispensaries have plagued the unincorporated areas for many years, with residents living adjacent to the activity repeatedly seeking relief from the county. When Prop. 64 passed, county officials decided to legalize cannabis businesses in the unincorporated areas to better control the criminal activity.

Riverside County moved cautiously in deciding how to regulate such commerce, and spent months researching trial and error
experiences in other state, county and city jurisdictions further along in the process. The Board of Supervisors in October 2018 approved a hefty ordinance governing the permitting process and regulations for cannabis operations within the unincorporated areas.

At the same time, the board made the decision not to tax the enterprise but requires all businesses to have a Development Agreement whereby funds are paid to the county to cover the cost of enforcement efforts against illegal operators. The agreement also spells out a “public benefit” – funds for additional public safety services, infrastructure improvements or enhancement programs to be used or given only to the community in which the business is located.

WHY DECISION NOT TO TAX

The decision to not tax cannabis sales was made based on what could be a risky and costly gamble. Even though the businesses would be located only in unincorporated areas, the decision to tax would require a ballot measure for all registered voters in the county. Countywide elections are expensive and having no indication whether the vote would pass, the Board decided the cost of the election was not worth the risk.

Once the cannabis ordinance was approved and to prevent a rush by potential businesses seeking permits, the first year the county only allowed permitting for 69 businesses – 24 retail, 15 microbusinesses and 30 cultivation. Potential businesses were asked to submit a Request for Proposal that went through an extensive screening process and were ranked on a point system. 119 proposals were submitted; 69 were chosen to advance to the next step in the permitting process.

River Releaf was one of the 69 businesses, the only one in Temescal Valley, and now must gain county approval for a CUP and obtain a state cannabis license. Only one of the 69 potential businesses has applied for and obtained a county permit although there are five, including River Releaf, on the  June 3 agenda.

The Board recently voted to do away with the Request for Proposal process as the county moves into the second year of allowing cannabis commerce. Now potential businesses must only apply for a CUP with a Development Agreement.

The approval of the River Releaf Development Agreement also is on the June 3 agenda. The amount of the annual Public Base Benefit Payments is calculated by a dollar amount per square foot based on the type of usage: $16 a square foot for retail, $4.50 for indoor cultivation, $4 for manufacturing and $3 for distribution.

Using this formula, River Releaf would pay the county $52,930 annually with a 2 percent rate increase each year. Also paid to the county annually would be a Commercial Cannabis Activity Public Benefit of $66,162.50 with an annual increase of 5 percent. The Public Benefit funds can only be used here.

If the Planning Commission votes to recommend approval of the River Releaf application to the Board of Supervisors, the next step would be a public hearing before the Board. It is unknown when that would occur.

Because the June 3 meeting is a public hearing, comments on the project can be emailed, prior to the hearing date, to county planner Russell Brady – rbrady@rivco.org

(Published August 2020)

CANNABIS BUSINESS UPDATE

The county Planning Commission in June voted to recommend to the Board of Supervisors the approval of a Conditional Use Permit for a cannabis microbusiness at 23215 Temescal Canyon Road.

If approved, the permit would allow applicant River Releaf to sell, cultivate, manufacture and distribute cannabis in an existing 8,582- square-foot, two-story commercial building on the west side of Temescal Canyon Road at Dawson Canyon Road.

Next step is a public hearing before the Board of Supervisors at a yet-to-be-determined date.

(Published October 2020)

Business could be in operation by next summer if approved

It’s likely the approval of n application for a Conditional Use Permit to allow a cannabis business in Temescal Valley will be on the Board of Supervisors agenda for the Tuesday, Oct. 20 meeting. If approved the business would operate at 23215 Temescal Canyon Road.

River Releaf is the applicant seeking the permit for a “microbusiness” allowing not only retail sales but also indoor cultivation, manufacturing and the distribution of cannabis.

Inside decor
CULTURE CANNABIS CLUB: Temescal Valley decor will be similar to the club in Jurupa Valley.

The proposed location, an 8,565-square-foot, two-story building, is in a small business park where Dawson Canyon road dead-ends into Temescal Canyon Road. Planned building usage would devote 1,500 square feet to retail, 4,500 square feet for cultivation, 1,580 square feet for distribution and 985 square feet for manufacturing. There also would be areas for storage, office, employee breakroom, lobby/reception and restrooms.

The microbusiness would employee 20 to 25 people and operate 24 hours a day, seven days a week. Business hours for retail sales would be from 8 a.m. to 10 p.m., and the cultivation, distribution and manufacturing components from 10 p.m. to 8 a.m.

Included in the employee count would be three, 24/7, armed security guards, according to River Releaf representative Devon Julian who met with the We Are Temescal Valley Development Committee via Zoom in late August. He said security would be “bank level,” including video monitoring which can be accessed by law enforcement, limited access areas controlled by keycards, no product accessible to customers at any time, and burglar alarms in specific areas of the facility while not in use.

Concern by Development Committee members still remains over the parking situation. The building has 17 parking spaces for both employees and customers. Julian said a parking attendant would be onsite during retail business hours to help guide customers to the proper parking stalls, ensure no loitering or onsite consumption exists and help traffic flow more smoothly, and that the county Planning Commission review of the project in June required only 14 parking spaces.

Also on the agenda for the Oct. 20 board meeting would be the approval of a Development Agreement requiring River Releaf to pay the county $52,930 annually with a 2 percent rate increase each year. Also paid to the county annually would be a Commercial Cannabis Activity Public Benefit of $66,162 with an annual increase of 5 percent. The Public Benefit funds can only be used in Temescal Valley.

Additionally, Julian said River Releaf plans to find local community groups and causes to which it can contribute money and volunteer time once operations begin. If approved, the retail business could possibly open in six to eight months after receiving a state cannabis license.

According to Julian, River Releaf is owned by individuals with extensive cannabis experience. Chris Francy, the primary principal, has operated licensed cannabis facilities in California since 2015 and in that time has built and operated multiple cultivation and retail operations. Julian said Francy is an expert in retail licensing and operations with ownership in businesses located in Santa Ana, Moreno Valley, San Bernardino, Long Beach, Seaside and Desert Hot Springs. If approved, the Temescal Valley business would be known as Culture Cannabis Club.

Because the Oct. 20 meeting is a public hearing, citizens wishing to comment on the business can do so at the meeting (with masks and social distancing), or by email, prior to the hearing date, to county planner Russell Brady – rbrady@rivco.org and to Supervisor Kevin Jeffries’ 1st District staff — district1@rivco.org

(Published March 2021)

First-Ever Cannabis Dispensary Approved For Temescal Valley

(Published June 2021)

Could be another year before cannabis microbusiness opens

The county Board of Supervisors in March approved a Conditional Use Permit for a cannabis microbusiness at 23215 Temescal Canyon Road.

The approval allows Culture Cannabis Club to sell, cultivate, manufacture, and distribute cannabis in an existing 8,582- square-foot, two-story commercial building on the west side of Temescal Canyon Road at Dawson Canyon Road.

According to Devon Julian, who represented the applicant during the permitting process, “We expect to open in about nine to 12 months from now.” He said building plans are being drawn up and will still need county approval, and the business still needs to get license approval from the state.

“The state license is the biggest unknown variable as processing times are inconsistent and the process is constantly changing,” Julian said. “We are working diligently to get this project built and operational as soon as possible.”