In this third and final part of Black Press Media香蕉视频直播檚 special series on cannabis agriculture, reporter Nick Laba explores the debate as to whether B.C. municipalities with less cannabis economy should get the same share of tax revenues as those with more, with a look ahead to the industry香蕉视频直播檚 uncertain future.
If one thing is clear in the haze left by businesses scrambling to join the green rush this past year, it香蕉视频直播檚 the wide range of attitudes municipalities have toward the growing industry.
An 香蕉视频直播淎gricultural Study Tour香蕉视频直播� is the first item on the program at this year香蕉视频直播檚 Union of B.C. Municipalities convention in Vancouver.
Its description includes challenges posed by increased development and land prices in the Fraser Valley, but notably omits a controversial crop that香蕉视频直播檚 sure to dominate discussions at the five-day summit in September: cannabis.
Regardless of their individual pot policies, local governments are eager to receive a share of the excise tax on cannabis products. However, the province still hasn香蕉视频直播檛 announced how it plans to dole out these revenues, and not everyone agrees on what amounts to a fair share.
On Vancouver Island, the District of North Cowichan had zoning bylaws in place on day one of legalization, and it allowed producers like Broken Coast to be a first-mover in the cultivation market.
Mayor Al Siebring said the decision to act quickly was two-fold.
香蕉视频直播淭he primary driver was the economic development side 香蕉视频直播� the notion that the community could benefit from this in terms of employment and things,香蕉视频直播� he said. 香蕉视频直播淎nother side to it is if we don香蕉视频直播檛 move on this, it香蕉视频直播檚 going to happen anyway.香蕉视频直播�
Siebring said that because of the pre-existing culture of growing pot, they didn香蕉视频直播檛 want a situation where a bunch of grows were continuing to operate illegally under the legal regime.
Broken Coast was acquired by Aphria Inc. in January for $230 million. The producer, which names its strains after B.C.香蕉视频直播檚 Gulf Islands, employs around 100 staff and has expansion plans that could add another 200 jobs.
In contrast, the City of Richmond back on the mainland has yet to approve any cannabis facilities 香蕉视频直播� production, processing or retail 香蕉视频直播� within its city limits. A single cultivator, Emerald Therapeutics, won a legal challenge from the city to operate on agricultural land last fall.
Other municipalities can香蕉视频直播檛 even agree if they香蕉视频直播檙e supporting the industry or not.
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Just a stone香蕉视频直播檚 throw from downtown Squamish, along the Sea to Sky corridor, growers with personal cultivation licences are continuing to operate among the stumpy buildings of its industrial park.
Several of them say they want to apply to become licensed producers, but zoning restrictions prevent them from upgrading their existing grows or finding sites to build new ones.
At Pacific Northwest Garden Supply, the store equipping most of Squamish香蕉视频直播檚 growers, co-owner Chris Leboulch said he香蕉视频直播檚 approached a city staffer several times looking for a suitable lot to purchase.
香蕉视频直播淪he香蕉视频直播檚 like, 香蕉视频直播極h, there香蕉视频直播檚 lots of places.香蕉视频直播� I香蕉视频直播檓 like, 香蕉视频直播榃ell, tell me where they are,香蕉视频直播櫹憬妒悠抵辈 Leboulch said. 香蕉视频直播淚香蕉视频直播檝e been looking for eight months, and nothing 香蕉视频直播� zero, zip. If I had a spot, I would sign up right now.香蕉视频直播�
| Pacific Northwest Garden Supply sells hydroponic equipment and nutrients to most of Squamish香蕉视频直播檚 growers. (Nick Laba/Black Press Media) |
The City of Squamish disagrees its zoning requirements prevent new licensed cultivation sites, and said it hasn香蕉视频直播檛 received any requests to rezone.
香蕉视频直播淭he current change in zoning has taken a proactive, yet cautious approach to the evolving cannabis production industry, but it has also left the door open for variances to be considered as applications come forward,香蕉视频直播� city staff said in an email statement.
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Fair share of the pot pie
Civic leaders across B.C. have expressed frustration with the province for being slow to announce its scheme to share the cannabis excise tax with municipalities, which are responsible for much of the related policy and enforcement.
Of the 10-per-cent tax, the federal government takes 2.5 per cent. The remainder goes to the province, with the understanding that a portion will go to local government. In a statement last July, the Union of B.C. Municipalities proposed they should get almost half of the projected $125 million over the first two years.
People in the industry say municipalities that prohibit the industry shouldn香蕉视频直播檛 get a piece of the pie, and Siebring agrees.
香蕉视频直播淭o me, that makes total sense because the reality is that when you have these kinds of operations, be they dispensaries or agricultural operations, there are potentially some security concerns and increased RCMP costs,香蕉视频直播� the North Cowichan mayor said. 香蕉视频直播淚f you don香蕉视频直播檛 have them and you香蕉视频直播檙e not bearing those costs, why would you grab a share of that revenue?香蕉视频直播�
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Municipalities like Richmond counter by saying all civic governments should receive a significant share of the revenue to offset extras costs for policing, bylaw enforcement, training, community education and outreach.
In the Township of Langley, where production giant Zenabis received a licence for its two-million-sq.-ft. greenhouse complex in August, Coun. Nathan Pachal said the simplest solution is per-capita.
香蕉视频直播淚f you try to get more complicated than that, I think things get really messy, really quick,香蕉视频直播� he said.
香蕉视频直播極vertaken by the East香蕉视频直播�
As the legal market rounds out its first year, much uncertainty remains for the future of the plant with such deep roots running through the province.
With the global trend of liberalizing weed laws, will B.C. bud continue to make a stamp on the world stage, or will the name be preserved only in marketing clich茅s?
B.C. could lose out to more progressive provinces, according to Pasha Brands government relations director Susan Chapelle, whose Vancouver-based company works with prohibition-era growers and lobbies for the craft industry.
香蕉视频直播淣ew Brunswick has opened up cannabis. There香蕉视频直播檚 500 jobs in their industrial park outside of St. Andrews, with tilapia farming and aquaponics,香蕉视频直播� she said. 香蕉视频直播淸Their mayor] opened the world cannabis conference with, 香蕉视频直播榃e香蕉视频直播檙e celebrating this economy.香蕉视频直播� British Columbia built this economy and now we香蕉视频直播檙e being overtaken by the East.香蕉视频直播�
| Susan Chapelle owns an integrated health clinic in Squamish. During her time as a city councillor, she helped to implement progressive zoning bylaws. (Nick Laba/Black Press Media) |
Chapelle said the cannabis economy adds high-paying tech jobs and offers an alternative to today香蕉视频直播檚 housing-dependent rural economies, which would collapse if development slows.
Tantalus Labs CEO Dan Sutton 香蕉视频直播� who said his Maple Ridge facility started getting pushback only after residents found out it was going to grow cannabis 香蕉视频直播� predicts public perceptions will soften as the industry develops.
香蕉视频直播淚 think that we will have hundreds of outdoor cannabis farms in British Columbia, actually in production, let香蕉视频直播檚 say over the next five years,香蕉视频直播� he said. 香蕉视频直播淚n that timeline, it香蕉视频直播檚 also entirely reasonable that we will see farm gate sales. This is something that was promised by the [BC] NDP.香蕉视频直播�
Farm gate sales, similar to tasting rooms at wineries, allow customers to drive up and talk to the people who make a product. Sutton said this will help ease the stigma as well.
| Tantalus Labs in Maple Ridge has around 30 full-time employees and hires temporary workers for labour-intensive harvests. (Nick Laba/Black Press Media) |
There are already dozens of websites for cannabis tourism companies waiting for laws to allow them to take members of the public to visit cultivation sites.
But with such a high value crop moving into mainstream agriculture, there are bound to be consequences.
Canada has enough arable land that food security won香蕉视频直播檛 be an issue, said Martin Collins, policy and planning director for the Agricultural Land Commission. What it likely will do, is increase the price of farmland.
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香蕉视频直播淵ou don香蕉视频直播檛 pay $150,000 an acre for farmland to put your cow out there,香蕉视频直播� he said. 香蕉视频直播淔armland values are negatively affected, in terms of value, by the highest-value ag crop, and the trouble with cannabis is it香蕉视频直播檚 so valuable. It香蕉视频直播檚 going to distort land values for agriculture.香蕉视频直播�
As its first year goes up in a puff of smoke, the first chapter in the book of legal bud has barely been written. Many more stories are still to come.
Read the other two instalments:
Nick Laba is a 2019 graduate of the Langara College journalism program. He pursued this investigative series in partnership with Black Press Media.
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