Olds Soft Gels officials submitted their first development permit application last Monday for a proposed expansion of their facility that would eventually include legal marijuana growing operations.
Last month, the company received council approval to have its land redesignated from light industrial to District Control 7, which is specific to the development of medical marijuana facilities.
The two-phased development proposal will include five greenhouses for growing operations, along with an addition to an existing building and a new warehouse. The first phase of development will include the addition and warehouse, along with one greenhouse, as well as fencing along Highway 2A and around the perimeter of the land.
Coun. Rudy Durieux voiced his opposition and voted accordingly, but even with the absence of Mayor Judy Dahl and Coun. Wade Bearchell, the motion passed.
Durieux said his main concern was the growing industry in the area ñ Olds Soft Gels is the second company in town to seek DC7 zoning, the other being Airdrie's Sundial Growers, which was recently granted a cultivation licence from Health Canada. In addition, Aurora Cannabis is operating in the Cremona area.
"The concern is that we have more than one,î said Durieux. ìIt's just as simple as that. I don't think we need more than one production company here in Olds."
While Durieux acknowledged that Olds Soft Gels has been a good corporate entity, he said it was a moral issue for him.
ìI just don't want us to end up being the medical marijuana capital of the world,î he said. ìI mean there's some very indeterminate consequences that go along with that.î
Jerry Bechtold, general manager for Olds Soft Gels, said this is the first opposition they've heard from council regarding their proposal. During the public hearing for their rezoning application, both the high school and the school board spoke against the project, with concerns over the location of the new facilities, across Highway 2A from the high school. "It's understandable,î said Bechtold regarding Durieux's opposition vote. ìIt's a serious investment for the town as well as the company.î
Bechtold made the distinction between the medical side of legal growing operations, and the anticipated recreational side, which would come with the federal government's legalization of marijuana next summer.
"OSG is strictly for the medical community, and will never produce a product for the recreational market."
Furthermore, Bechtold says Olds Soft Gels will not produce any smokable forms of marijuana.
ìThe medical cannabis that you see out today, 95 per cent of that is smoked,î he said. ìWe'll be able to put it into proper dosage forms, so now it's truly a pharmaceutical product Ö packaged by our pharmaceutical company and looks like a pharmaceutical product.î
Bechtold also said that Olds Soft Gels will be focused on growing CBD rich cannabis -- a strain of marijuana that doesn't contain hallucinogens, as opposed to the THC strain that causes the characteristic ìhighî sought by recreational users.
He also noted that Olds Soft Gels currently manufactures pharmaceutical products that, if not taken correctly, would cause more harm than medical cannabis.
Meanwhile, the security features that are required by Health Canada in order to eventually be licensed as a legal cannabis grower are significantly heftier, including 24-hour security and surveillance, keypads and swipe cards to access restricted areas, and vaults where finished products are stored.
ìI think it's important for people to see it, to understand the commitment from a security point of view, and the commitment we're going toward science,î he said.
Bechtold expects that the expansion will eventually double the number of employees at the plant, bringing in 80 additional people over the next five years, including science research positions and hi-tech jobs.
The development proposal passed, four to one, and according to the application, construction on Phase 1 will begin this summer.
"OSG is strictly for the medical community, and will never produce a product for the recreational market."JERRY BECHTOLDGENERAL MANAGER OLDS SOFT GELS
