City of Indio approves 5 cannabis retail stores

The city of Indio is entering into the cannabis industry and gearing up to issue its first cannabis retail licenses as potential applicants start to step forward.

City council voted last week to issue its first five cannabis retail licenses, allowing businesses to apply to open up shop.

Indio Mayor Pro Tem Oscar Ortiz said customers are already within city limits. "We're just losing a lot of business," he said. "We want to make sure that our residents are able to spend their their funds here if they want to, and also be able to keep them here enjoying our local businesses."

Among the criteria applicants have to meet: background checks, facility location restrictions, and proof of enough funds to get a business on its feet.

City officials will also give special preference to Indio residents applying. "We want to make sure that that ownership, the the revenues are staying within the community," Ortiz said.

CEO of West Coast Cannabis Club Kenneth Churchill plans on applying to open a new location in Indio, in addition to his three stores in Palm Desert and Cathedral City. "Anytime there's an opportunity for us to expand our business within the Coachella Valley, we're really excited about that," Churchill said.

He's pleaded with valley officials in those cities to lower steep city taxes, which are 10 percent in the west valley. But with Indio discussing a 5 or 6 percent tax on cannabis businesses, Churchill sees some hope.

"If you tax too much, all you do is drive people out to the black market. You encourage customers to go to other cities," he said. "I think it's really important for Indio to come in at that 5 percent."

Businesses can apply for cannabis licenses September 1 through October 6. An orientation meeting is planned for potential applicants at city hall on August 9.