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Nye County declines to revoke Amargosa Valley cannabis permits, conditions tax payment

May 07, 2024 | Nye County , Nevada


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Nye County declines to revoke Amargosa Valley cannabis permits, conditions tax payment
The Nye County Board of Commissioners closed a show‑cause hearing May 7 into alleged noncompliance by MJ Distributing LLC, the licensee at 2215 East Danville Road in Amargosa Valley, and voted 3‑2 to find insufficient cause to revoke the facility's four cannabis licenses and two special‑use permits.

Planning Director Wagner told the board the facility had failed to submit monthly sales reports since October 2023 and that the property had been "a ghost town" when staff inspected it; Wagner said product previously observed on the property was later unaccounted for. "We have missed reports now since October 2023," Wagner said, and later reported the county had received $3,916 in fiscal year 2023 but still had about $6,884 in sales tax outstanding based on the reports the county did receive.

Court‑appointed receiver Kevin Singer and regulatory compliance counsel Derek Connor said the facility went into receivership and that they have secured the site, turned over DVRs to the Attorney General's Office and have been working with the Nevada Cannabis Compliance Board and the Attorney General to determine what happened to missing product. "Our hope here is that the receiver will try to get this property back into compliance, maintain public safety, and... if the CCB will allow, we would like to keep this license from being revoked," Derek Connor said.

Commissioners debated whether to revoke the license outright or suspend it and condition reinstatement on proof of compliance; Director Wagner cautioned that revocation might remove one cultivation slot under state supply‑and‑demand rules. Commissioner Jabbour moved that the board find insufficient cause to revoke the permits and licenses and require that outstanding taxes be paid as a priority; the amended motion — relying on planning department backup accepted into the record — carried 3‑2.

The board's motion included provisions that notice of the board's findings be served on the licensee or posted at the premises. No revocation or suspension was ordered at the May 7 meeting; the board closed the hearing and will rely on the receiver and state regulators to continue investigations and any enforcement actions by the Cannabis Compliance Board.

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