The city and county of Broomfield announced Thursday evening that it’s temporarily pausing its marijuana licensing process for staff to reassess applications.
Broomfield has received “considerable feedback about the process, particularly concerns regarding the attempt by certain affiliated groups to submit multiple applications using different corporate entities,” city officials said in a news release.
The applicant Terrapin Care Station filed suit against Broomfield’s city and county clerk and 16 of the 25 other applicants on Sept. 27 after the city declined to disqualify the entities who submitted multiple applications.
Broomfield is pausing the licensing process for no more than 60 days, “in order for staff to reassess the submission of applications from different, but affiliated entities,” the release states. “The city is in the process of considering administrative regulations to clarify this issue to ensure that the licensing process moving forward is consistent with the City Code, City Council’s intent when it implemented this robust licensing process, and fundamental fairness.”
The Selection Committee was previously anticipated to issue a final report of qualified applicants to the City Clerk on Monday, but that timeline will now be rescheduled.
“We appreciate that the city of Broomfield has paused its licensing process to reconsider its decision to move forward in violation of its ordinances,” said Jordan Factor, an attorney for Terrapin said in a statement. “People who tried to game the system by submitting multiple applications through shell entities should be disqualified. We believe that was the intent of City Council when creating the lottery process, and we hope that the City adopts regulations to clarify its position. Terrapin remains committed to obtaining judicial relief in the event the City persists in its present, unlawful course.”
The 26 applicants are vying for one of three licenses that ultimately will be distributed through a lottery system. Gard Law Firm of Boulder previously alleged four ownership groups make up 13 of the 26 applications, and Terrapin’s lawsuit outlines the multiple crossovers between company names, applicant surnames, proposed locations and business plans.
There are five applicants that list the registered trade name as Igadi, a cannabis company headquartered in Tabernash. Applicants Yuma BRMT LLC, Yuma BRKM LLC, Yuma BRIT LLC and Yuma BRAT LLC each do not have a registered trade name, though the four applications list the same proposed business location.
Applicants Herbert Bruce Wetzel, Nathan Wetzel, Mark Busch, Mike Weinberger and Joshua Kenneth Davis all submitted the same answers to at least 10 of the questions and they all provide the same plans for different aspects of the business, the lawsuit states. Applicants LP Management Company LLC and Silverpeak Corp present identical delivery plans less the applicant name, and multiple portions of the two applicants’ outlined plans are largely the same.
The city’s release states no further comments will be made about the pending litigation, and questions regarding the pause should be emailed to email@example.com.
This story may be updated.