Denver’s marijuana dispensaries are seeking longer hours to have a level playing field with other city businesses and competitors in neighboring communities.

City Council listened to mostly supportive arguments for extending the closing hours from 7 p.m. to midnight at a recent Special Issues Committee hearing.

Currently, Denver’s hours of operation for both medical and recreational marijuana dispensaries are 8 a.m. to 7 p.m. Councilwoman Kendra Black suggested the Council consider a change because “7 p.m. was somewhat arbitrary and these customers are all law-abiding and of legal age,” she said.

Kristi Kelly, executive director of the Marijuana Industry Group, noted state regulations allow all marijuana dispensaries to be open from 8 a.m. to midnight, subject to local regulation. Many other Colorado municipalities allow dispensaries to stay open until either 10 p.m. or midnight, Kelly pointed out, listing Aurora, Boulder, Commerce City, Edgewater and Glendale among them.

“Right now what we have in Denver is a crush of customers between 6 and 7 p.m., when people get off work at five and have to pick up their kids or take public transportation.”

Kelly also said longer hours of operation has led to less crime, since another business is open at night and lights have proven to deter crime.

Denver is currently developing rules for Initiative 300, a voter-initiated ordinance approved in last November’s election that will allow non-marijuana businesses to apply for social consumption permits.

“Consumers need to have safe access to cannabis without driving over city limits to neighboring municipalities or accessing illegal markets,” Kelly said. “Later hours will help.”

She added that consistent hours with neighboring communities will help reduce impaired driving, similar to bars and liquor stores with the same closing times.

Kelly also noted 95 percent of the group’s members surveyed said their stores are not open the entire 11 hours allowed in Denver. Hours of operation is based upon market need, so allowing more hours would not necessarily mean all the city’s marijuana dispensaries would stay open later.

Councilman Kevin Flynn noted other metro municipalities, such as Lakewood and Wheat Ridge, have 7 p.m. closing hours. He wondered if, since Denver has many more marijuana businesses than any other Colorado city, later operating hours might encourage people in other communities to drive to Denver to make late night purchases.

Kelly said since those other municipalities have far fewer stores, the number of people who would drive to Denver would be small compared to those who might drive from Denver to find an open store.

Henny Lasley, founder and executive director of Smart Colorado, a group concerned with marijuana’s effect on children, said Denver youth already use marijuana at a higher than average rate.

“Since it’s legal, a lot of kids don’t think marijuana is harmful,” Lasley said, and urged the Council to talk to Denver law enforcement, public health and schools officials before deciding how to proceed.

Simply Pure dispensary owner Wanda James noted she competes with some 65 bars and restaurants in LoHi, and not being able to be open the same hours is unfair.

“Why the Council wants to hold back any business is absurd,” James said. “If there is a concern about kids having access, why not close bars at 7 p..m. too?”

Heather Noyes Gregg with the Berkley Regis United Neighborhood group said since most marijuana store customers use on-street parking, her group was concerned with increased late night traffic.

Kelly said allowing the stores to remain open longer could mean between $4 million to $8 million in extra marijuana sales tax revenue for Denver, based on how much was reported after 7 p.m. by stores in Aurora and Edgewater. She also said some stores that choose to stay open may hire additional workers.

Councilman Chris Hernden called the arguments about increasing the risk of kids getting marijuana or customers driving impaired “fear based.”

“If 8 a.m. is too early for these stores to be open, why not shift the hours?” he asked. “If we want more revenue, let’s raise the marijuana tax, that shouldn’t be the main reason we change the hours.”

“Other communities have stolen our revenue with their longer hours,” said Councilman Jolon Clark, and added dispensary customers are “high turnover, low use” that don’t cause a lot of stress for neighbors.

Kelly said the extra revenue Denver could receive would likely come from illegal sales, not from neighboring communities.

“The lion’s share of the growth we’ve seen has come from the black market,” Kelly added. “That’s absolutely desirable.”

Councilwoman Robin Kniech said if Denver continues to require marijuana stores to close early, it may push users to buy alcohol instead, they may drive elsewhere to make a purchase or buy it either on the black market or from a friend illegally. She suggested a courtesy public hearing be held when the issue is considered by the full Council.

Councilman Paul Lopez said he was more concerned with the concentration of Denver’s marijuana businesses in low-income areas of the city and added longer hours was “not outrageous.”

Councilwoman Debbie Ortega suggested the city offer a lottery system for marijuana businesses interested in operating longer hours.

Council members decided to wait until they view presentations and receive information at the committee’s April meeting from Denver police, public health and finance officials before deciding how and when to proceed with a possible change in hours.