Old Orchard Beach Town Hall Journal Tribune file photo

ALFRED — A York County Superior Court justice has granted a preliminary injunction that means the town of Old Orchard Beach will have to wait for the result of a June 13 referendum vote before awarding an adult use marijuana business license.

The town plans to issue one license for an adult use marijuana business.

Old Orchard Beach resident Patricia Rowell, along with Thomas Mourmouras and his business, called Exit 710, LLC filed suit against Old Orchard Beach earlier this year, alleging the town council erred when it modified its marijuana merit-based licensing criteria.  In January the council  announced it would accept applications between March 6 and 10 — ahead of a citizen-initiated referendum that the council had set for the June 13 ballot.

In the fall of 2022, Rowell gathered 603 signatures for a referendum to amend the town’s cannabis ordinance. If enacted June 13,  the amendment would ensure no large scale “big box” style marijuana store could operate in town. The proposed amendment would require that adult-use marijuana businesses be located on lots less than or equal to 21,780 square feet and have a total effective area equal to or less than 1,000 square feet.

In his order issued March 30, Justice Richard Mulhern wrote that the town council’s Dec. 6 decision to schedule the referendum June 13 did not, in itself, constitute an abuse of discretion, although he said other actions “likely” did.

“The date of the election, June 13, 2023, coincides with the next regularly scheduled municipal election and therefore will presumably result in cost savings,” Mulhern wrote in his order. “However, when the Town Council’s decision is viewed in conjunction with the action it took shortly thereafter, the scheduling decision likely rises to the level of an abuse of discretion.”

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The justice was referring to the Town Council decision to accept license applications  in early March.

Old Orchard Beach voters approved allowing adult use marijuana businesses in town in November 2020. Staff, the planning board and town council then set about to craft an ordinance.

In 2021, the Planning Board recommended that such business should not exceed 1,000 square feet in size, according to Mulhern’s order.

The Town Council did not take this recommendation, Mulhern noted, and adopted a cannabis ordinance on Nov. 15, 2021, that would allow the town to issue a single adult-use marijuana business license without size limitation.

Mourmouras, in a March 6 Portland Press Herald story by Gillian Graham, said the town’s original rules favored his plans, but within hours of telling officials he had an application ready to go, they took steps to change the system.

“I am relieved that Judge Mulhern decided as he did,” said Mourmouras, in an April 3 news release. “The right of citizens to petition the government is fundamental, and the court affirmed that. If folks in Old Orchard Beach want marijuana stores to be small and discreet, we should be able to make our feelings known loud and clear.”

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Moumouras owns a medical marijuana dispensary in Old Orchard Beach, according to the Press Herald story.

Old Orchard Beach Town Manager Diana Asanza had no comment on the court decision Tuesday morning.

She did say the town received applications for an adult use marijuana business.

“We have paused processing (the applications) and will continue to do so until after the June 13 election,” Asanza said.

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