Groups eye Hope for medical pot cultivation

Mayor: Center could be a ‘sizable investment’, employ 35 people

Two groups have shown interest in opening a medical cannabis cultivation center in Hope, Ark., which could be used in agricultural research and possibly provide as many as 35 jobs, a city official said.

Hope, Ark., Mayor Steve Montgomery said he cannot divulge their names because the groups are in the process of filling out the application.

“Once the application is completed, it becomes public knowledge,” he said.

“One group has looked at economic development with the Southwest Arkansas Agricultural Research Center. This will be a pretty big investment. I think the requirements are $1 million or $2 million equity to start it up and on top of that, building a cultivation center. That will be a pretty good size building. I’ve heard a cultivation center

could employ about 35 people

“It’s a sizable investment. The economic development people are reviewing it.”

As of late Monday morning, state officials said no applications to grow or sell marijuana had been received from Southwest Arkansas. The time frame for applications opened Friday and closes Sept. 18.

The Arkansas Legislature allowed for 32 dispensaries statewide, to be divided equally among eight geographical zones, four in each. Texarkana, Ashdown, De Queen and Hope are located in Dispensary Zone Eight, a 14-county area of Southwest Arkansas. Only five cultivating centers will be allowed to operate anywhere in the state.

“I wonder what would happen if other states around Arkansas approved cultivation centers and transport it across state lines,” Montgomery said. “It’s a business. It’s a legal business now.”

The City of Texarkana, Ark., has received 80 inquiries about opening medical cannabis cultivation centers where marijuana will be grown, an official said.

Ashdown and De Queen in Southwest Arkansas have received no inquiries.

Even the executive director of the Arkansas Municipal League Don Zimmerman has received no inquiries about establishing medical cultivation centers within Southwest Arkansas as of late last week.

“It’s been pretty quiet. I guess the towns are waiting until they get some guidance from the state and out of the commission dealing with it. It’s difficult to get a handle on what to do. Towns may be waiting to see if a referendum is approved to ban it,” Zimmerman said.

De Queen Mayor Billy Ray McKelvy said his city has received no inquires.

“We’ve not received any inquiries. I checked with our police chief and he hasn’t received any inquiries,” McKelvy said.

“The law was passed that the City Council and a Quorum Court can’t outlaw it. The citizens have to do it. They may be looking at that.”

Ashdown City Clerk-Treasurer Kirk Mounts said the city has received no inquiries.

“We’ve had no inquiries. Nothing,” Mounts said.

Arkansas voters elected to legalize medical marijuana in November 2016, and three state agencies will supervise the industry.

The Medical Marijuana Commission governs cultivators and dispensaries, while Alcoholic Beverage Control will inspect facilities and the Department of Health will approve patients eligible to use medical marijuana and issue them registry cards.