Committee suggests $2,500 licensing fee
Business licence would cost $2,500, plus $5,600 for a development permit
A retail business licence fee for cannabis shops should cost $2,500 yearly, plus $5,600 for a development permit, Edmonton’s urban planning committee recommended Tuesday.
Councillors acknowledged they were juggling several aspects of cannabis sales and wanted to be as conservative as possible.
“That’s why principles are important — that we are thinking about public safety and public health where we are concerned about keeping it out of the hands of kids,” said Ward 10 Coun. Michael Walters.
“We want to be business-friendly, we want to have a balanced approach to this topic.”
Heather Holmen, spokesperson for the Alberta Gaming and Liquor Commission, said by way of comparison, the costs associated with a Class D liquor licence for retail stores include a $200 application fee and a $700 annual licensing fee. A business license fee is $235.
Walters said the $5,600 cannabis shop development permit fee is tied directly to the cost to process the permit.
“And then the licensing fees are $2,500, which … dropped from the last proposal, which was $3,100,” he said. “Cost recovery is challenging right now on the big picture because we don’t know what it’s going to cost us.”
While the province is getting money from the federal government for cannabis legalization, municipalities need to know how much they will be getting, he said.
“Costs could come down in the future,” Walters said. “We’re walking around a bit in the dark on this issue right now and trying to move forward and put good, sound policy in place and not go broke while doing that.”
When asked if he thought the fees were prohibitive, he said he hadn’t heard that.
“This is going to be a very lucrative endeavour for anybody who gets involved, no matter how big or small it is.”
Among other things discussed at the meeting was whether 30 grams or one ounce of weed is too much to be purchased at one time.
“If people carry about 26 cannabis legal sticks ( joints), are we really concerned about black market?” asked Ward 4 Coun. Aaron Paquette.
Officials spent a considerable amount of time discussing how long cannabis stores will be open each day. The recommended hours of operation are 10 a.m. to 11 p.m., Monday through Sunday.
“I understand that there is concerns from an enforcement perspective, from a public health perspective … when people coconsume (alcohol and cannabis),” Walters said. “So, it’s logical that we be fairly conservative about the closing hours.”
Gloria Keays, a medical officer with Alberta Health Services, said longer hours of availability tend to increase use.
“Twelve hours a day is a reasonable beginning point,” she said.
Shorter hours mean fewer problems and less mixing of intoxicating substances, she explained.
“You want people to go into donair shops after drinking, not cannabis shops,” Walters said with a laugh. “Donair or falafels. Falafels are healthier.”
Council will vote on the recommendations next week.