OFFICIALS EXPRESS DOUBT WITH DISPENSARY SET FOR DEBATE

As Hollister City Council members were set to get an in-depth report
tonight on a proposal to open a marijuana dispensary here, it appears
as though Purple Cross Rx has some significant roadblocks - including
doubt from several council members - toward getting a shop opened in
an industrial park near the airport.

Council members Monday noted such issues as the proposal's potential
to conflict with federal law, concerns with safety, a lack of
opportunities for taxing such nonprofits and the relative close
proximity of similar operations in the region. The meeting is set for
6:30 p.m. at Hollister City Hall, 375 Fifth St.

Mayor Victor Gomez was first to oppose the idea shortly after it was
presented to council members three weeks ago. Gomez, recently
appointed as mayor, is against the idea primarily due to its
conflicting nature with federal regulations.

He suggested those in favor of legalizing marijuana outright should
approach their state and congressional leaders about it.

"I consider this a progressive type of movement towards the
legalization of marijuana," Gomez said.

Council members on Monday night were set to receive a presentation
from staff members and Purple Cross Rx representative Scott McPhail.

State voters' approved a proposition in 1996 to legalize medicinal
marijuana, while the federal government considers it an illegal
narcotic. The federal government has used its authority at times to
raid such dispensaries, but President Obama has made it clear the
government will highly restrict its prosecution of them.

Medicinal marijuana has become more of a hot-button issue in recent
months, with several proposals cropping up and some communities
considering bans against them.

Councilman Ray Friend, although he also is against the idea, said he
would not have a problem with such dispensaries if the federal
government decides to legalize it.

"If it's legal and taxed, and city and state make money go for it,"
he said. "I just have a real issue with my position as a city council
member putting the city up against the federal government."

Friend also listed off such concerns about Purple Cross Rx's proposal
as the need to rezone the area for a single business and the link to
the potential for driving under the influence by users.

We'd have to go through a rezoning of the area, which would possibly
open it up to other types of businesses like this," he said. "I'm not
ready to do rezoning at this time."

Councilwoman Pauline Valdivia, meanwhile, pointed to the proximity of
marijuana dispensaries in other cities nearby, such as Gilroy and Santa Cruz.

The report submitted by Purple Cross includes a testimonial from a
local doctor, Mohammad Al Hasan, M.D., who provided a letter of
support in favor of the idea and the use of medicinal marijuana.
McPhail has declined to comment to the newspaper on the issue.

Purple Cross in its report goes on to list off specifications in the
plan such as the following:

- - It would be established only within a commercial or industrial zone.

- - It would be located no closer than 1,000 feet to schools and places
of worship, and 1,000 feet from any other established dispensary.

- - It would engage in on-site cultivation of medicinal marijuana in
accordance with state guidelines.

- - It would not allow anyone under age 18 to enter unless accompanied
by a parent or guardian.

- - Hours would be restricted to a minimum of 9 a.m. to 7 p.m.

- - It would file for a seller's permit and pay sales taxes to the
state board of equalization.

- - It would employ about 10 people full time and at least 5 percent of
its gross revenues would be donated to local organizations, with it
estimates could amount to $371,200 in the first year.

Purple Cross Rx also points out how it "understands and respects the
need for security at all medical cannabis dispensaries." It would use
security cameras and employ at least two trained full-time security
guards on premises during operating hours, according to the proposal,
which adds how the dispensary would be about a quarter of a mile from
the police station.