Unlicensed cannabis events call for immediate action from City of Denver

The Denver Department of Excise & Licenses continues to issue warnings to event organizers hosting unlicensed cannabis-related activities. This past weekend, August 19th, Stoner Cinema Pop-Up hosted an event with a cannabis-friendly movie experience featuring Grandma’s Boy (2006). The demonstration took place at the Dreams Aren’t This Good venue (which also makes salsa). These ticketed events offer attendees free cannabis and novelty joints, coupled with popular movie screenings like Half Baked and The Sandlot.

The Stoner Cinema Pop-Up has been operational since 2022 and the events are paid and private. Organizers told Westword they could circumvent city laws on social cannabis use, which require a cannabis hospitality license.

The Denver Department of Excise & Licenses administers cannabis licenses, among other residential rental, liquor, security, alarm permits, and short-term rental licenses. According to the ministry, Stoner Cinema Pop-Up and similar companies are not allowed to hold events without a license.

Department head Eric Escudero told Westword that neither the Stoner Cinema Pop-Up nor the Dreams Aren’t This Good venue have hospitality licenses and that they have received what is “tantamount to a warning letter” for not hosting unlicensed events related to held cannabis. “It is the city’s last resort to take enforcement action,” Escuadero said.

While Denver’s Cannabis Hospitality Rules were implemented in 2017, the city’s Department of Excise & Licenses only approved one venue and three “mobile lounges” as licensed and legal hospitality operations.

The licensed venue includes an upscale dining and consumption business, the Cirrus Social Club, which is being built on the site where a taekwondo studio once operated. “We’re targeting a demographic of people who aren’t heavy cannabis users, but rather gregarious, sociable people over the age of 27,” Cirrus co-owner Arend Richard told Westword. “If date night to you is dinner and a movie, now it’s going to be Cirrus and dinner. You come in, have a nice session with us and hear the jazz music in the background.”

Cirrus received approval from the Department of Excise and Licensing in March, but the company has yet to open its doors. To open it, it must pass all the inspections included in its operational plan, such as: B. Safety and Ventilation. However, it can take more than a year for these inspections to be carried out and approved. According to Westword, three other cannabis venues (Tetra Lounge, Patterson Inn Hotel, the headquarters of Colorado Cannabis Tours) are awaiting approval for a hospitality license but are on hiatus from work to meet the city’s ventilation requirements.

The coffee joint is an exception. Despite being the only cannabis lounge in Denver, consumption of vaporizers and edibles is only permitted on-site. Since there are no temporary permits under hospitality license regulations, this means Stoner Cinema Pop-Ups can only legally operate at the Coffee Joint or one of the three mobile cannabis hospitality license holders. “There are three active licensed mobile food service establishments that could potentially provide event services if they provide the city with the required route log and comply with the rules regarding 30-minute parking and permission to eat in a lot” he said Escudero.

Tetra Lounge received approval for a hospitality license in March 2022, but will not be granted the license until all criteria are met. The company originally opened in 2018 as a “private” cannabis venue, but the term has been the subject of debate for years. The International Church of Cannabis sued the city of Denver in court in 2019 to redefine the term “private,” but no meaningful judgment was reached.

In July, nine venues and event owners were targeted by both the Colorado Department of Excise & Licenses and the Denver Police Department for allegations of allowing unlicensed cannabis use or hosting cannabis-friendly events. These included Ant Life, Marijuana Mansion, Rooted Heart Yoga Studio, Vape Loft, Clubhouse Collective, Meta Talent Group, Colorado NORML and Psychedelic Club of Denver.

“Subpoenas, fines and enforcement actions by the City and County of Denver are always a last resort after every effort has been made to educate businesses about licensing rules and regulations,” Escuadero said last month. “As part of that effort, the city has issued licensing bulletins detailing rules for marijuana hospitality. This included information on whether a marijuana company needs a license if it trades. We hope that businesses that operate hospitality marijuana businesses without the license required by the city and/or state will take steps to obtain a license.”

The Department of Excise & Licenses first sent out memos to cannabis business owners regarding unlicensed use in January 2022, but only began enforcing them this summer.

Meanwhile, in Nevada, the state’s first conditional cannabis use licenses were awarded to Planet 13, Thrive Cannabis Marketplace and The Venue at SoL Cannabis in June, followed by LA Loung LLC in late July.