Groups interested in growing medical marijuana in Youngstown will give presentations Monday to Youngstown council
Growth for Medical Marijuana in Youngstown
YOUNGSTOWN
As many as six groups are interested in growing medical marijuana in Youngstown, with most, if not all, of them expected to give presentations Monday to city council.
“We’re interested in the job creation that comes with this,” said Mayor John A. McNally. “The goal Monday is to have the groups come in and explain what they want to do.”
Each group will give a presentation of up to 15 minutes with five minutes for questions and answers, said city Deputy Law Director Rebecca Gerson.
“City council doesn’t have to take any action,” she said. “It’s mainly an educational meeting to hear about the law and from the interested parties about their plans.”
“This area has been so hit by the economic crisis. People would be receptive to this,” said Eric White, chief financial officer for Mahoning Valley Agriculture – a group consisting of people from Pennsylvania, Michigan and California. At the request of the group, its officials met Monday with The Vindicator’s editorial board.
The state is limiting permits to 24 growers statewide under a medical marijuana law signed by Gov. John Kasich in June 2016. The medical marijuana will be made available to purchase by those with 21 different medical conditions by September 2018.
Watch Videos of the group talking about the growth and benefits of marijuana for Youngstown.
The law permits 12 Level 1 growers for up to 25,000 square feet of growing space with a potential expansion up to 75,000 square feet, and 12 Level 2 growers to cultivate up to 3,000 square feet.
Level 1 groups must submit applications to the state by June 20, while the Level 2 groups have until June 16. The state will evaluate each of the applications on a point system with information that identifies the groups concealed from those making the decisions to make sure it’s a fair process.
Each group applying for a Level 1 application must give a $20,000 nonrefundable application fee and pay a $180,000 license fee if approved. The fees are significantly less for Level 2 applications – a $2,000 application fee and an $18,000 license fee. There also would be a $200,000 annual fee for Level 1 cultivators and $20,000 a year for Level 2.
State law requires that the facilities be indoor and secured by fencing and round-the-clock surveillance and security.
Of the six groups interested in cultivation facilities in Youngstown, five want Level 1 licenses, Gerson said.
Among them is Mahoning Valley Agriculture, which will seek a Level 1 license at an industrial park in the city, said White. A deal to purchase the property is in its final stages, he said. The total investment in the project would be about $10 million, he said.
The marijuana wouldn’t be smoked. Instead, it would be turned into oils, patches, edibles or could be vaped, said Sanjay Bawan, the company’s senior adviser.
The group initially would hire 60 to 80 people – paying about $20 to $25 an hour – and would have about 300 people working at full capacity, he said.
There also will be 60 dispensaries throughout Ohio with Mahoning Valley Agriculture interested in becoming one of them.
“Youngstown is a great place to be,” Bawan said. “We’ll give preference to Youngstown residents” for jobs.
Tom Ryan, the company’s chief executive officer and a Pittsburgh native, said, “I can see the value [in Youngstown]. The workforce and the work ethic is here.”
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