Recreational Cannabis Rules To Differ Among North Shore Towns

WINNETKA, IL — As North Shore towns consider how to update local municipal codes in response to the impending statewide legalization of recreational marijuana, several local governments are soliciting input from the community ahead of planned public hearings this month.

While state law will make cannabis products legal to consume for those 21 and over starting Jan. 1, and residents will be able to possess up to 30 grams of marijuana at a time, local governments have control over when and where cannabis business may operate. Municipalities may assess a tax of up to 3 percent on cannabis sales or not allow any cannabis-related businesses within their borders.

North Shore towns have yet to finalize formal changes to zoning regulations in response to the legalization, though several municipalities have begun the process of modifying local ordinances and signaled their intention to restrict or allow cannabis businesses — and at least one has started the process to convene a non-binding referendum on the matter next year.

The Winnetka Village Council will hold a hearing Tuesday to consider how to modify its zoning code for cannabis businesses in response to the statewide legalization of recreational marijuana possession and use. Village officials asked residents interested in providing feedback to either attend the meeting or submit comments by Monday afternoon.

The council, like many other area towns, passed a "red flag" resolution in July to notify any potential cannabis-related businesses that the village had begun the process of modifying its zoning code in response to legalization, which Gov. JB Pritzker signed into law the prior month and takes effect for consumers Jan. 1. The resolution keeps any marijuana merchants from setting up shop before council members take action.

Winnetka trustees have already determined the Village Council would be the public body responsible for convening a public hearing to work out zoning code changes to either prohibit or allow cannabis businesses. Residents who wish to share their opinion on how Winnetka should respond ahead of the meeting may email council members.

In Glencoe, the village board is holding a committee discussion Thursday to discuss a list of potential local regulations following a discussion where board members expressed interest in allowing for limited cannabis sales in existing business districts. After staff presents possible local regulations and its recommendation to use the special use permit process to regulate dispensaries, the zoning commission may hold a public hearing on the subject as early as October.

Village staff provided a map of where recreational dispensaries might be allowed to pursue special use permits if the village implements the same 1,000-foot setback requirements from schools, day care centers and parks that it put in place for medical marijuana dispensaries — though no dispensary has opened in the village. Village officials asked residents interested in sharing feedback to contact the village manager's office.

In Wilmette, Village President Bob Bielinski directed staff to prepare legislation for a Sept. 24 vote that would put a moratorium on any retail cannabis sales in the village until after an advisory referendum on Nov. 3, 2020.

"In making the recommendation for a referendum I do recognize that there was a March 2018 Cook County-wide referendum in which Wilmette residents voted by a margin of roughly 2-1 in favor of legalization of cannabis for recreational use by adults. However I do think there is a possibility that had residents been asked a different question, that is, whether we should permit the sale of cannabis at a dispensary in the village, that people may have different answers for those two questions," Bielinski said Monday at a village board meeting.

"A 2020 referendum question that squarely addressed the question is, I believe, the course we should take," he said. "And because we're doing it in November 2020 when there's a presidential election, it would ensure the maximum likely participation of voters and also give them additional time to learn more and to see what's happening elsewhere."

In Highland Park, the City Council conducted an informal 4-3 vote at a committee meeting last month, deciding not to begin a public hearing process to consider allowing the sale of recreational marijuana. The mayor and the three members of the council who opposed hearings said the city can wait to see how other municipalities handle legalization.

The Lake Forest-based owners of Highland Park's existing medical dispensary, Elevele, are locked in a legal dispute with the Arizona-based Harvest Enterprises over whether a $15 million sales contract signed before legalization remained valid.

In Lake Forest, the plan commission has approved amendments to zoning that would not allow recreational cannabis businesses within city limits at a meeting Wednesday, while recognizing it may be necessary to revisit the city code's cannabis-related language in the future as the industry and regulations evolve, according to city staff. The City Council may take up the changes at an Oct. 7 meeting, after aldermen said shortly after the passage of the legalization bill that they were interested taking steps to "opt out." Members of the Lake Bluff Village Board have also expressed the opinion that they will take steps to prohibit any dispensaries from opening within city limits, according to village staff.

But Highwood, on the other hand, has signaled its openness to allow a recreational marijuana dispensary to open next year.

"We feel that participating early we can responsibly partner with a dispensary to provide adults of legal age in the North Shore an opportunity to purchase the product of their choice close to home in a safe and friendly environment," Mayor Charlie Pecaro said last week in a statement.

The Highwood City Council, which plans to require a special use permit and only allow one dispensary, will continue discussions about regulations at Tuesday committee meeting. Its zoning commission will meet Sept. 25 to research possible zoning districts.

"Highwood's innovative entertainment district is thriving and this newly legal industry is an opportunity to continue retail growth," said City Manager Scott Coren. "Being an early adopter would have advantages including identifying the best business partner for the community and giving Highwood early market share."

In Northbrook, the plan commission is set to continue the discussion it began Aug. 20 at its next meeting Tuesday. Village trustees have indicated they will support allowing the sale of recreational cannabis. The company Grassroots, which operates a medical dispensary in Deerfield under the name Greenhouse, has applied to open a recreational dispensary at the corner of Skokie Boulevard and Dundee Road in Northbrook. Its owners estimated it could generate about $15 million in annual revenue, which would net the village $750,000 if it adopted the highest municipal tax rate on cannabis at 3 percent in addition to the village's existing 2 percent home rule sales tax.

In Glenview, trustees held an informal vote at the Sept. 3 Village Board meeting. Only two of the board's six members — Trustees Chuck Gitles and John Hinkamp — indicated they would support recreational marijuana dispensaries. The village's plan commission is set to hold a public hearing Oct. 8 to draw up on cannabis zoning regulations that will likely ban such businesses before the village board can take a formal vote.

Deerfield plan commissioners are set to continue public hearings on zoning changes to possibly regulate marijuana sales at a meeting Thursday before sending their recommendation to the village board. The mayor and village manager have not responded to a request for comment about the village's position on dispensaries or whether it had received any interest from recreational cannabis businesses.

Evanston, Lincolnwood, Niles and Skokie are making moves to allow recreational cannabis dispensaries.

In Evanston, the City Council will hear a presentation on Sept. 16 to create new cannabis zoning rules and the company PharmaCann is seeking a "same-site" license to sell recreational cannabis at its existing medical dispensary, which operates on Maple Avenue under the name Verilife. In Lincolnwood, village officials plan to issue a single special use permit for cannabis dispensaries.

In Skokie, the village board gave a first reading Sept. 2 for new ordinances to treat dispensaries like other retail businesses as a permitted use in certain zoning districts and levy a 3 percent tax, with final approval possible Sept. 19.

In Niles, the plan commission Monday will consider a zoning ordinance allowing cannabis businesses ahead of consideration at village board meetings Oct. 8 and Oct. 22. Morton Grove officials have yet to respond to inquiries about the village's position.

The only zoning requirement mandated under the state law is that adult-use dispensaries must be at least 1,500 feet one another in order to avoid a clustering of cannabis merchants.

None of the communities have expressed an interest in allowing any on-site consumption of cannabis at retail jurisdictions.

Skokie village staff said the village has its own ordinance forbidding smoking in businesses, with Cigar King on Lincoln Avenue and Kush Hookah Lounge on Dempster Street "grandfathered" in.

According to the Cannabis Regulation and Tax Act, a "cannabis business establishment or other entity authorized or permitted by a unit of local government to allow on-site consumption shall now be deemed a public place within the meaning of the Smoke Free Illinois Act," allowing for the possible licensing of smoking cannabis in businesses.