Monterey and Pacific Grove are getting closer to allowing retail cannabis stores.

The city councils of Monterey and Pacific Grove have each approved ordinances allowing retail cannabis in the past few weeks, with Monterey best poised to issue business licenses on a faster timeline than its neighbor. Monterey could begin reviewing cannabis license applications as early as Nov. 27.

On Nov. 1, Pacific Grove City Council voted 6-0 to approve an ordinance allowing one retail location, as well as delivery services. However, the council must still approve administrative rules governing the businesses and must decide on a selection process to determine which company gets the single retail license. Due to the city’s small size and a 1,000-foot buffer zone around schools and daycare facilities approved by the council, a retail store will be limited to either the upper Forest Hill business district or the industrial area near Asilomar.

The City of Monterey had already worked out a selection process ahead of its council’s approval on a 4-1 vote on Nov. 7. Councilmember Ed Smith voted “no,” as he has done in every cannabis-related vote since 2020. “We should not be in the business,” Smith said.

The ordinance allows for no more than four retail permits, one in each of four designated areas of the city: the Lighthouse business district; Wave Street near Cannery Row; downtown; and North Fremont Avenue. No cannabis stores would be allowed along Cannery Row or on the streets that lead down from residential neighborhoods into the Lighthouse and Cannery Row areas.

In addition, when looking for locations, cannabis businesses will be up against 600-foot buffer zones, as required by state law.

Monterey’s ordinance comes back to the council on Tuesday, Nov. 21 for a second reading and to consider a report on retail application permit guidelines and criteria, as well as to update the city’s master fee schedule to include a cannabis license. A 45-day application screening period could begin Nov. 27 and would close on Jan. 11.