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529 applicants compete for 15 marijuana retail licenses from state

OMC conducted lottery for stores that are expected to be open by April 2025
December 31, 2024

The state’s Office of the Marijuana Commissioner conducted its open retail lottery Dec. 19. There were 529 eligible applicants for 15 available licenses across the state.

Marijuana was legalized in Delaware in April 2023. Since then, the OMC has created rules and regulations for the new program. The deadline to submit applications was Sept. 30.

The OMC conducted the first round of the lottery Oct. 24. That round included 727 applications for 21 individual licenses related to four different types of marijuana businesses – cultivation, manufacturing, social equity retail and lab testing.

The Dec. 19 lottery was done in the same manner as the first one, but there were a few minor differences. Keila Montalvo, OMC community relations officer, conducted the lottery instead of Robert Coupe, OMC commissioner. She did, however, stick to a script like Coupe.

The 10-minute-long lottery was again done via Facebook Live, from an undisclosed location. As before, certified public accountants Michael McCuddin and Margaret Podsiad, from the firm Master Sidlow & Associates, were on hand to help preserve the integrity of the selection process.

Similar to Coupe, Montalvo identified the selection process’s five witnesses that were in the room. Four of the five witnesses were the same – Sen. Trey Pardee, D-Dover; Department of Safety and Homeland Security Deputy Secretary Kimberly Chandler; Marijuana Control Act Oversight Committee member Gene Duffy; and Marijuana Control Act Oversight Committee member Rich Jester.

Instead of Rep. Edward Osienski, D-Newark, who helped shepherd the law into a reality, Delaware Division of Substance Abuse and Mental Health Director Joanna Champney participated. 

A computer program was used to conduct the random lottery, which went in alphabetical order – Kent, New Castle and then Sussex County. There were 151 applicants deemed eligible for three licenses in Kent, 210 for seven licenses in New Castle and 168 for five licenses in Sussex.

After each selection was made, the numbers for specific applicants were posted on the screen. Montalvo said the winners would be notified soon.

The expectation is that retail locations are supposed to be opening by April 2025, but other than in Georgetown, which approved an ordinance allowing for marijuana businesses this past summer, it’s not exactly clear where in Sussex those retail locations will be allowed to open. A number of towns – Rehoboth Beach, Dewey Beach, Milton, Lewes, Bethany Beach, Dagsboro – have already taken steps to ban retail sales of marijuana, and the county instituted rules that severely limit where such shops can open. The existing medical marijuana facilities in Sussex County will convert to selling recreational marijuana too. 

By law, the county isn’t allowed to ban retail stores, but an ordinance passed in May says retail stores will only be permitted in C-3 zoning districts, require a conditional-use permit, can’t be within three miles of a town or city boundary, can’t be within three miles of another marijuana retail store and can’t be within three miles of a church, school, college or substance-abuse treatment facility.

Under the county’s ordinance, cultivation and manufacturing facilities will be permitted uses in AR-1, C-1, CR-2, C-3, LI and LI-2 zones, and do not require a public hearing.

 

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