Richard Bohjanen, supervisor, Chocolay Township

HARVEY — Chocolay Township is likely to be added to a growing list of Marquette County municipalities that will ban establishments related to the the sale of recreational marijuana.

The Chocolay Township Board, in a 6-1 vote Monday, approved the first reading of a proposed ordinance that would prohibit marijuana establishments within township boundaries.

The ordinance language, written in response to the Michigan Regulation and Taxation of Marihuana Act approved by voters on Nov. 6, is subject to a public hearing and a second reading prior to adoption. Both are expected to occur at the board’s May meeting.

A memo to board members from Dale Throenle, township planning director and zoning administrator, cited several reasons for an ordinance prohibiting recreational marijuana establishments.

Allowing recreational marijuana facilities in the township, he said, would “not necessarily increase the income for the township.”

The state act establishes a 10 percent excise tax from marijuana businesses, which would be split among the municipalities that permit marijuana retailers and marijuana micro-businesses. But municipalities that choose to allow marijuana establishments are not likely to see a financial benefit until at least 2022, Throenle said.

Secondly, state law is currently in conflict with federal law on the matter of recreational marijuana, he said. Possession, cultivation and the sale of marijuana are still crimes at the federal level. The resulting discord can cause a host of problems for communities, Throenle said, including the municipality being barred from federal grants and loans, and a potential for increased crime because marijuana dealers cannot deposit money into banks insured by the Federal Deposit Insurance Corporation, or FDIC, which results in large amounts of cash on hand for the businesses, increasing the risk of theft.

Throenle said opting out would be the best option for the township until Michigan develops state guidelines for the facilities. The law gives them until Dec. 6 to do so.

“The intent here is to lock it down so that we don’t get hit with anything that we cannot handle, in the event that the (state) commission comes up with something that needs to be done immediately,” Throenle said. “We are looking at a way of stopping this until the language is firm with the state, and at that point we can revisit it.”

Township Supervisor Richard Bohjanen, who voted against the first reading, said there are several facilities that might present an advantage to the township such as growing, extraction or safety compliance facilities.

Growing facilities, he said, could benefit the township, he said, “so that it can be grown in a secure lot, rather than someone growing it in an unsecured backyard so that thieves can help themselves.”

“I think all that we would need to do is to create an ordinance in Chocolay Township to prohibit any marijuana establishment that is not duly licensed by the state,” Bohjanen said. “I would say that we should not immediately adopt this ordinance. I would say that we should discuss or think about some of the points that I made. And I think that we can protect ourselves, but we can do that by refusing to do the licensing ourselves by ordinance.”

Throenle reiterated his concern about the township opting in and being barred from federal grants and loans, using the U.S. Department of Agriculture Community Connect Grant program as an example.

The program helps rural communities extend access in places where broadband service is least likely to be available.

“Everyone is in the same position. They are not sure what to do, that’s why we have this mass opt-out going on across the area because they are not sure what to do,” Throenle said. “Marquette just did it because they are not sure what to do. Ishpeming did it because they cannot afford to violate federal (law) because they have USDA loans on the table. (If the township does not opt out) I cannot apply for federal grants, period. Are marijuana facilities the most important to the township right now, or is the potential for broadband across the township the most important right now?”

Bohjanen said he would like to see more public participation in the process.

“The voters in Chocolay Township voted in favor of legalizing marijuana,” he said, “so it’s a real shame they have been afforded the opportunity to express opinions, but they did not.”