COUNTY PURSUES LICENSING FOR MEDICAL MARIJUANA

ASPEN -- Pitkin County will delve into the licensing of medical
marijuana businesses within unincorporated areas of the county,
commissioners informally decided Tuesday after a discussion with two
representatives of the state's Medical Marijuana Enforcement Division.

Whether the county adopts any regulations related to the industry or
simply licenses the establishments and relies on state rules remains
to be seen, but at least one commissioner believes the county should
consider limiting the number of businesses that are licensed to grow
medical marijuana, sell it or manufacture products that contain medicinal pot.

"If we're going to allow the licenses, we need to limit this," said
Commissioner George Newman. Neighborhood caucuses in the midvalley
have made it clear that they don't want any more of the businesses
than currently exist, he noted.

He also voiced concerns about potential abuses that put marijuana in
the hands of youths.

But Commissioner Rachel Richards cautioned against turning a license
into a "gold medallion" -- creating great value in a medical
marijuana business license because few of them are available.

The state of Colorado is in the process of licensing medical
marijuana businesses but won't issue a license to a business unless
the local jurisdiction does as well, according to Brian Dyet, senior
investigator for the state enforcement division in western Colorado.

"We're not going to issue a state medical marijuana license unless
Pitkin County does," he said.

County commissioners previously had decided to do nothing with regard
to the industry, letting only the state rules apply, but given the
prospect that existing businesses would be denied a state license
without some local action, all five elected officials agreed to
direct the county staff to come up with a licensing procedure.

"I'm feeling very comfortable about licensing," said Commissioner
Jack Hatfield, who visited a grow facility and a dispensary to see
firsthand how they operate within the evolving regulatory framework
the state established.

"We need to step up as a board and get this done and get this done
right," Hatfield said.

"We do need to find a way to make this work," agreed Commissioner Rob
Ittner. "I do think there are tremendous benefits to medical marijuana."

Ittner said the county should ensure that the general public, as well
as those in the industry, are protected by the regulations imposed on
the businesses. Commissioners asked staffers to look at how the city
of Aspen and other counties regulate medical marijuana.

Most of the local dispensaries are within the city of Aspen, but 10
businesses -- mostly grow sites -- are believed to be in operation in
unincorporated Pitkin County. That's how many stepped forward when
the state required the businesses to submit a license application in
2010. A state moratorium, scheduled to expire July 1, currently
prevents any additional applicants from opening up shop.

Roughly a dozen representatives of the medical marijuana industry
attended Tuesday's session, but few chose to speak. One Aspen
dispensary operator praised the commissioners' "positive attitude"
toward the licensing issue.

"I hope that you find a way to permit these businesses to exist and
thrive in your community," said local attorney Lauren Maytin, who
represents various medical marijuana businesses in the Roaring Fork Valley.

The discussion focused only briefly on federal law, under which the
possession, use and sale of marijuana remains illegal. Federal
prohibitions conflict with state laws in Colorado and other states
that have legalized medical marijuana. Federal law led commissioners
to previously reject proposed regulation of the industry in Pitkin County.

"We don't know what they're going to do," said Lewis Koski of the
state enforcement division regarding federal authorities. "They're
going to make the choices that they're going to make in this process.

"We're continuing full steam ahead with the state law," he said.