P.12. Conditional use permit for retail marijuana manufacturing in the TC zoning at 125 Peach Avenue Unit A.

Palisade Board of Trustees
Date of Vote: Tue, Apr 10th 2018
Polls (closed):
Yay (0)    Nay (0)


                    Palisade Apothecary Adding Retail Marijuana Products Manufacturing to Medical Marijuana Infused Products Manufacturing in TC District at 125 Peach Avenue, Unit A.

Recommendation: The Planning Commission voted unanimously at its regular meeting of April 2, 2018 to recommend approval of the CUP with the following conditions:


1. Where there is a conflict in the Land Development Code or Municipal Code between minimum standards for medical marijuana infused products manufacturing and for retail marijuana products manufacturing, the more restrictive of the two standards shall apply (example: hours of operation).
why ads?

                    2. The Conditional Use Permit shall only be valid in conjunction with a Retail Marijuana Products Manufacturers License issued by the Town of Palisade.

3. The Conditional Use Permit shall become null and void if the Retail Marijuana Products Manufacturing is discontinued for 12 consecutive months.

4. The infused products manufacturing is limited to the area of approximately 550 square feet as identified by the original documents submitted by the applicant in 2015. No expansion of the area shall occur without the consideration and approval of the Board of Trustees.

5. The Board may review the CUP at any time, if complaints are received and the Board determines that the use and the associated operations are unreasonably impacting adjoining properties. The Board may impose additional conditions to address any adverse impacts. If the Board determines that the impacts have not been adequately addressed, the Board may terminate the Conditional Use Permit.

6. Failure to comply with any and all licenses required by the Town of Palisade and/or the State of Colorado for the purpose of marijuana infused products shall result in the CUP becoming null and void upon revocation of licenses. The Conditional Use Permit shall automatically expire if licensing by the Town of Palisade and/or the Colorado Department of Revenue is terminated for any reason.

7. The Conditional Use Permit is granted to Palisade Apothecary, owners Jesse and Desa Loughman, shall not run with the land, and is not transferable to any successors, assigns or heirs or to another location in the Town of Palisade.

Background: In February of 2015, approvals were granted to for the conditional use of the manufacture of medical marijuana infused products at 125 Peach Avenue, Unit A within an area of approximately 550 square feet. The infused products manufactured at the site were approved to serve patients of the Colorado Alternative Healthcare Medical Marijuana Center in the same building. The location of the facility is on the east side of Peach Avenue between First and Second Streets in the Town Center Zoning District. Manufactured products include salves, oils, tinctures, edibles and concentrates manufactured through indoor butane extraction, using an engineered closed loop ventilation system. Building permits were issued by the Mesa County Building Department for the construction of the infused products and the associated system in 2015 (Permit 15-02166). The use has been operational since the final approvals were granted and a certificate of occupancy was issued in 2016. Approvals were granted that same year to amend an existing conditional use permit for the expansion of the cultivation area for the medical center.

Since the medical marijuana uses were established for this location, the citizens of Palisade voted on November 8, 2016, during the general election, to authorize the establishment and operation of retain marijuana stores, retail marijuana cultivation facilities, retail marijuana manufacturing facilities and retail marijuana testing facilities. Ordinances 2017-07 and 2017-14 were approved by the Board of Trustees in May of 2017 establishing the zoning standards and licensing requirements for the voter approved uses.

In the summer of 2017, the owners Jesse and Desa Loughman submitted an application for conditional use permit to operate a retail marijuana store at the same building (Unit C). A conditional use permit was granted in July of 2017 by the Board of Trustees for the “Colorado Weedery” to operate as a retail marijuana store. The building of approximately 6,136 square feet is currently the location of a medical marijuana center, the optional premises cultivation, a medical marijuana infused products manufacturing, and a retail marijuana store.

The owners are now working with the Marijuana Enforcement Division to establish a dual license to manufacture infused products for both medical center customers and retail customers.

The current application is therefore, requested as a new conditional use for the infused products manufacturing for retail marijuana. Although the request is for a new CUP, no changes are requested to expand the existing facility or make any changes, but simply to allow for the manufacturing of the products for retail customers in addition to the medical customers.

Although the manufacturing business shares the same building as the existing medical marijuana center and retail marijuana center, it is physically contained in a separate area of the building (Unit A) with limited access to employees only. All processes for infusion have been reviewed and approved by the Marijuana Enforcement Division of the Colorado Department of Revenue.

A Professional Engineer or Industrial Hygienist was required to certify that the equipment and procedures comply with all building codes, fire codes and electrical codes. The Mesa County Building Official and Fire Chief also inspected the site and reviewed the Engineer’s Report before the use began operations.

In an effort to be an unbiased source of information, all text in this summary comes directly from government resources.


  • Recommended Approval by the Planning Commission

    Mon, Apr 2nd 2018