LOS ANGELES (CBS/AP) — Hundreds of marijuana dispensaries will be ordered to shut down after Los Angeles voters approved Proposition D on Tuesday.
The measure sharply cuts the number of storefronts from roughly 800 to 135, eliminating those that have opened since 2007.
It also also instates a 20 percent tax on medical marijuana.
City Councilman Paul Koretz told KNX1070’s Ed Mertz cease and desist orders are on the way, with the city expected to implement the ordinance over the next couple of months.
In the meantime operators of the 135 marijuana dispensaries which measure D allows are going to have to show they have been complaint with the laws.
“They’ll have to show they’ve been paying their taxes and they’ve paid Prop M and business license tax,” Koretz said.
Criminal defense attorney Allison Margolin, who specializes in marijuana litigation, told CBS2’s Jeff Nguyen enforcements on the newly-passed ordinance will be tough.
“So far history has shown that the police haven’t really cared about the business license status of any dispensary,” she said.
Prop D beat out two other marijuana propositions on Tuesday, obtaining 63 percent of votes.
Ordinance E, which proposed to limit the number of pot shops but would not have instated raised taxes, received a 35 percent of votes, while Ordinance F, which did not propose to limit the number of shops but sought to impose more stringent controls on employees, was voted for by 41 percent of those at the polls.
The Los Angeles city attorney is determining just how many dispensaries need to be shuttered.
Experts believe Prop D will be challenged in attempt to expand the number of dispensaries allowed.
Koretz said lawsuits are expected once the city takes action.
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