The city of Las Vegas will soon be one of the few municipalities in the country to host lounges where people can consume marijuana.
City Council voted 4-1 to permit the venues, endorsing a measure sponsored by Councilman Bob Coffin that sets the city, which includes the casino district surrounding Fremont Street, on a lone path in Nevada, whose Legislature declined to act this year on a statewide bill to allow the lounges.
Currently, only Denver, San Francisco, a handful of other California municipalities and some locations in Alaska permit venues for consumption.
“We are blazing a new trail here,” said Scot Rutledge, a principal with a firm called Argentum Partners that represents cannabis businesses.
Purchasing pot for recreational use has been legal in Nevada since 2017 under enabling legislation that makes no specific provision for consumption. But legislative experts agree that local governments could license it provided patrons were at least 21 years old and that use was not visible to the public.
Neighboring Clark County, which includes the Las Vegas Strip, has considered the lounges but decided earlier this year to wait for the Legislature to give its OK.
“The state will catch up,” Coffin said. “We can’t wait for the state to act.”
The bill passed despite opposition from the casino industry, which has been keeping the recreational industry at arm’s length for fear of running afoul of federal law, which still treats marijuana as an illegal drug.
The bill requires that consumers must be at least 21 years old and must bring their own marijuana into the location. Consumption cannot occur in the view of the public or in an outdoor area, and delivery to commercial locations is prohibited. The venues cannot provide, sell distribute or store the drug, but they may be located as close as next door to a distributor, and they may sell or distribute paraphernalia.
Permits to operate the lounges will be limited for the first year to the 12 recreational retailers currently licensed, the rationale being that they’ve already been vetted. They must apply for a special-use permit that costs $5,000 yearly and must be approved by City Council. They will also be required to meet odor standards and have plans for security, training, fire safety, air quality and sanitation. They must also be 1,000 feet from schools or casinos and 300 feet from protected institutions such as churches.
