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Posted on: July 17, 2019

City in Process of Licensing Two Cannabis Retail Businesses in Morro Bay


Morro Bay, Calif. – City staff is in the process of licensing two cannabis retail businesses in Morro Bay. Following a rigorous multi-part review process conducted by consultants specializing in cannabis permitting and City executive staff, the City Manager has decided to move forward in the licensing process with Natural Healing Center (NHC) and Perfect Union (formerly RCP Morro Bay) for cannabis retail permits.  The City must first complete background checks on NHC and Perfect Union prospective employees prior to issuing those permits. 

“The City is moving forward with Natural Healing Center and Perfect Union, in part, because they have demonstrated success operating cannabis retail businesses elsewhere in California, but also because of their top-notch safety plans, community fit and good neighbor practices,” stated Morro Bay City Manager, Scott Collins. “We look forward to working closely with them to ensure their businesses integrate successfully with the Morro Bay community and are operated in a manner that is compliant with state and local regulations.”

The Morro Bay City Council approved the cannabis ordinance in 2017, which allows up to two cannabis retail businesses to operate in Morro Bay.  The ordinance also authorizes the City Manager to select the cannabis businesses for those permits following review by a sub-committee consisting of the Police Chief, Fire Chief and Finance Director.  Adhering to the ordinance, the sub-committee reviewed six applications, conducted formal interviews and recommended that the City Manager move forward with NHC and Perfect Union.  The City Manager reviewed the materials, recommendations and conducted site visits prior to selecting NHC and Perfect Union.

In November 2018, Morro Bay voters also approved a cannabis tax, which the City Council subsequently set at 5 percent on cannabis retail sales.  That tax would be applied to NHC and Perfect Union once they open their doors.    

Following completion of the licensing process, the selected businesses may need to pursue building permits prior to opening depending upon the needs of the facilities they choose to operate in.  It is anticipated that NHC and Perfect Union could begin operating in Morro Bay by the end of 2019/early 2020. 

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