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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 09/21/2021 - RESOLUTION 2021-085 SUPPORTING A GRANT APPLICATION Agenda Item 15 Item # 15 Page 1 AGENDA ITEM SUMMARY September 21, 2021 City Council STAFF Jim Lenderts, Marijuana Enforcement Officer Adam Stephens, Legal SUBJECT Resolution 2021-085 Supporting a Grant Application for Gray and Black Market Marijuana Enforcement Funding for Fort Collins Police Services. EXECUTIVE SUMMARY The purpose of this item is to obtain Council support for the City to apply for grant money to support enforcement of gray- and black- market marijuana activity for Fort Collins Police Services. STAFF RECOMMENDATION Staff recommends adoption of the Resolution. BACKGROUND / DISCUSSION “Gray Market” is a term that refers to marijuana grown legally then sold in a way that would be illegal. An example would be where someone has a medical card with an “extended plant count” which may allow them to grow up to 99 plants, but instead of using the product for their own medical needs, they sell it on the black market either locally or more likely to someone in another state. For the past four years, t he State has made grant funding available to help address unlicensed and illegal marijuana activity in Colorado. In 2019, the Eighth Judicial District Attorney’s Office was awarded approximately $120,000 in grant funds to which Police Services had access. Some of these dollars were used to acquire long-term storage for evidence seized in black- market investigations. Additional funds were used to provide staff to investigate cases and dismantle black -market grow operations in Fort Collins neighborhoods and regionally. In 2020, Police Services directly applied for and received $345,227 to continue local neighborhood marijuana investigations. Grant dollars helped provide additional resources to existing staff without having a direct impact on the City budget. Funds were used primarily for overtime, equipment and storage expenses to support these investigations. In 2021, Police Services again applied for this grant and received $41,564 to continue the ongoing investigations noted above. In addition, Police Services began receiving and investigating complaints of the sale of unregulated Delta-8 THC to minors at local smoke shops (not licensed marijuana businesses). Black market grant money was used to fund those investigations and begin regulatory inspections of commercial establishments relative to recent code changes involving the sale of smoking and vaping products to minors. This effort will continue if grant funding is procured for 2022. Investigations completed to date have not only addressed criminal ac tivity but also improved neighborhood livability and provided insight into the level of unlicensed/illegal marijuana activity in the community. With Agenda Item 15 Item # 15 Page 2 additional insight and knowledge, Police Services can address staffing needs and priorities through both current assignments and future budget offers. CITY FINANCIAL IMPACTS Support of this Resolution does not impact City finances and allows Police Services to apply to the State for these grant dollars. If the grant is awarded, the City will serve as the fisc al agent for the funds and will seek an appropriation at that time. -1- RESOLUTION 2021-085 OF THE COUNCIL OF THE CITY OF FORT COLLINS SUPPORTING A GRANT APPLICATION FOR GRAY AND BLACK MARKET MARIJUANA ENFORCEMENT FUNDING FOR FORT COLLINS POLICE SERVICES WHEREAS, Fort Collins Police Services (“FCPS”) is applying for a grant through the Gray and Black Market Marijuana Enforcement Grant Program (the “Program”) from the State of Colorado Department of Local Affairs (“DOLA”) to fund investigation and prosecution of unlicensed marijuana cultivation and distribution operations (the “Project”); and WHEREAS, the Program provides financial assistance to local law enforcement agencies and district attorneys through local governments; and WHEREAS, the total amount of grant money to be dispersed statewide by DOLA amongst applicant agencies and district attorneys is $900,000 for FY 2022-2023 Program funding; and WHEREAS, until submittal of an application, FCPS does not know the amount that may be awarded; and WHEREAS, in FY 2021-2022, FCPS received $41,564 from the Program; and WHEREAS, in 2021, Police Services began receiving and investigating complaints of the sale of unregulated Delta-8 THC to minors at local smoke shops (not licensed marijuana businesses); and WHEREAS, black-market grant money was used to fund those investigations and begin regulatory inspections of commercial establishments relative to recent Code changes involving the sale of smoking and vaping products to minors, and this effort will continue if grant funding is procured for 2022; and WHEREAS, the current Program expires on June 30, 2022, and Police Services recommends the continuation of the above referenced grey- and black-market marijuana investigations; and WHEREAS, FCPS has utilized money from this program to acquire long -term evidence storage units for illegal black-market marijuana, and for an increase in staffing to help with investigations of black-market grow operations in the City; and WHEREAS, as part of the Program grant application process, DOLA requires that the governing body of any entity applying for grant funds pass a resolution to show that it is aware of and supports the application, and recognizes the obligations the grant creates; and WHEREAS, the City would not be required to provide any matching funds toward the Project; and -2- WHEREAS, the grant money would allow FCPS to continue to improve neighborhood livability and provide insight into the extent of the problems associated with unlicensed, illegal marijuana activity in the City. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS, as follows: Section 1. That the City Council hereby makes and adopts the determinations and findings contained in the recitals set forth above. Section 2. That the City Council hereby supports the City’s FY 2022-2023 application for a grant through the Program from DOLA to fund the Project; and Section 3. That if the grant is awarded, the City Council supports the completion of the Project. Passed and adopted at a regular meeting of the Council of the City of Fort Coll ins this 21st day of September, A.D. 2021. _________________________________ Mayor ATTEST: _____________________________ Interim City Clerk