The Palm Springs City Council voted unanimously Thursday to enact a temporary ban on new cannabis dispensaries.
However, the council members did not yet seem to be on the same page about what — if any — long-term steps to take to address a industry that some of them say has become oversaturated and is on the decline.
The moratorium, which was pitched as a way to give the council time to consider its options without letting more businesses open under existing rules, will be in effect for the next 45 days. However, the council will consider extending it at its next meeting on Nov. 9.
A report provided to the council ahead of Thursday’s meeting stated that cannabis tax revenues dropped for the second straight fiscal year in Palm Springs and have also been dropping in cities across the valley. The average amount of sales generated per dispensary has also been dropping in the city, which reported having 28 operating dispensaries in January.
The council also discussed the several recommendations made by city staff ahead of the meeting about ways to manage the cannabis industry. Those recommendations included capping the number of dispensaries at 15, prohibiting the sale or transfer of existing cannabis