Cannabis is not legal in South Dakota, but there are still many places where it’s readily available. The passage of Initiative Measure No. 1 would legalize cannabis for medical use and allow dispensaries to open up shop across the state of South Dakota. However, marijuana remains illegal at the federal level, so those looking to sell their drug will need a license from the DEA or another federal agency before they can start selling cannabis products in Sioux Falls

We know who might sell medical cannabis in Sioux Falls, but there's still a ways to go

We-know-who-might-sell-medical-cannabis-in-Sioux-Falls

 

With the preliminary assignment of Sioux Falls’ five medical marijuana licenses to firms, we’re finally getting a better idea of what the newest industry may look like in the coming months.

While some feared that the city’s fees and regulations would lead to national companies taking over medical cannabis sales while local businesses struggled to get one of the city’s five licenses, Wednesday’s lottery results appear to have created a seemingly-equal spread for Sioux Falls’ five-dispensary cap.

The Flower Shop LLC and East River Farms LLC each had their single application for a license chosen, while PJS Holdings was one of just two companies to make the cut.

The sequence in which all 79 medical marijuana dispensary license applications were picked in the city’s lottery on Wednesday morning.

 

However, submitting many applications was not entirely a lost technique. One of Genesis Farms LLC’s 26 applications was chosen, much to the pleasure of Emmett Reistroffer, a persistent opponent of the city’s marijuana policy who also happens to be a founding partner and project manager for the company.

One of Deja Vu SD LLC’s eight applications was also accepted. According to Taylor Sare, the director of growth, the firm is affiliated with Nirvana Center, which has locations in Arizona, Maryland, and Michigan.

If the petitions from those five firms are approved, medicinal cannabis will be sold virtually exclusively in southern Sioux Falls.

The planned Deja Vu SD facility at 1421 B Avenue is close south of the Sioux Falls Regional Airport, while the other four locations are all in southwestern Sioux Falls, with Genesis Farms just within city boundaries.

And, as all candidates are well aware, being chosen in the lottery does not guarantee acceptance. Jamie Palmer, a licensing specialist, must still examine the selected applications to see if they fully meet the city’s requirements.

In order to utilize their planned site, the potential company owners may need to apply for a conditional use permit, which they must do within 10 days after being told that they are qualified for the license.

While marijuana testing facilities are permitted in Sioux Falls, no applications had been filed as of Wednesday, despite the fact that they are not restricted in quantity like shops.

Marijuana growing and production facilities are not permitted inside municipal borders, which is a source of irritation for company owners who planned for “vertical integration” of several sorts of businesses in one location.

Commissioners in Lincoln County, which enacted less stringent laws than Sioux Falls, will review an application for Culture Shock LLC to produce and grow marijuana on Nov. 23.

Amendment A, which legalizes recreational marijuana and is presently pending in the South Dakota Supreme Court, is another topic that has loomed big over talks over medicinal cannabis.

As Licensing Specialist Jamie Palmer pulls the first ball in the city’s lottery for medicinal marijuana dispensary licenses, Purchasing Manager Scott Rust watches.

Government, law enforcement, and other worries about recreational marijuana have far outnumbered those about medicinal marijuana, and Mayor Paul TenHaken and members of the Sioux Falls City Council have made it plain that if it is legalized, the restrictions would not be the same.

So you thought the path to medicinal marijuana was long, winding, and tumultuous? Keep your grip on the steering wheel.

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