Dispensaries, like other types of retail businesses, are required to obtain a seller’s permit from the tax agency. They also must file annual tax returns and make regular tax payments. Operating a business without the permit or once a permit has been revoked is considered a misdemeanor under state tax code.
That seller’s permit is also required to maintain a city business license, one of several requirements to operate a dispensary in Santa Rosa.
The Hook was ordered to immediately cease operations on March 15 until Alvarez submits proof of an active seller’s permit to the city, according to a copy of the order.
Code enforcement officials are conducting daily inspections and have issued administrative citations worth $500 each day it stays open, Anderson said.
The dispensary was closed April 3 for inventory, according to Alvarez, but has otherwise remained open, racking up 18 citations totaling $9,000.
Anderson said code staff has referred the case to the City Attorney’s Office to draft a complaint that will be filed with Sonoma County Superior Court to force its closure.
Fighting city he represents
Alvarez said he wasn’t at The Hook when the city ordered the business to close but said later efforts