Molly Murray

The News Journal

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The company that runs Delaware's only medical marijuana clinic has received state approval to build a dispensary in Sussex County.

First State Compassion Center, which has operated a facility near Wilmington since 2015, won the bidding process, Department of Health and Social Services officials said Monday. Under the state's 2011 medical marijuana legislation, at least one clinic is to be based in each county and get approval from the state.

A spokeswoman for First State said the company plans to open the Sussex County dispensary to patients in January. A location has not been disclosed.

The company is operated by Mark Lally, a former state trooper who served as U.S. Sen. Tom Carper's Sussex County director. It will continue to operate its growing and retail center in New Castle County, said Emily Knearl, a spokeswoman for the state Division of Public Health.

State health officials also have awarded a contract to New York-based Columbia Care, which operates in six states, for a dispensary in Kent County. That operation is expected to open by the middle of 2017.

The state received 11 bids for new dispensaries in Kent and Sussex counties during a process that began earlier this year. Applicants paid a $5,000 fee, and winners will have to pay a licensing fee of $40,000.

The Division of Public Health announced Monday that First State was rated highest by the state's Medical Marijuana Selection Committee, which oversees the program.

Zoe Patchell, co-chair of the Cannabis Bureau of Delaware, said that after the state medical marijuana bill passed, state officials were expected to have one dispensary in each county by 2013.

Patchell said the lack of centers throughout the state has been a hardship for many. While medical marijuana patients can designate a caregiver to pick up the drug, there is an additional fee, she said.

From Sussex County, "some were making weekly trips of 160 miles round trip," she said.

Todd Boone of Milton drove to the New Castle County clinic for pot to help alleviate pain that was the result of injuries from a motorcycle crash. He said he's disappointed that state officials didn't consider other vendors for the Sussex operation.

"I'm not happy about it at all," he said.

Boone brought a series of lawsuits designed to push the state to proceed with centers in each of the three counties. A Sussex County Superior Court judge on Friday dismissed a lawsuit that alleged the state dragged its feet in awarding Kent and Sussex county contracts.

Boone said he also has filed complaints with the state about First State Compassionate Care, particularly over pricing of their medical marijuana products.

Pamela Johnston, with Electrum Partners LLC, serves as a spokeswoman for First State Compassionate Care. She said that "prices for medical cannabis are determined by supply and demand and take into consideration the careful and stringent processes and testing that are required to produce safe, consistent medicine for the patients of Delaware, that is compliant with state health regulations. … There is a greater demand for a limited supply of the most popular strains. Patients are never without medicine and we offer several programs for low income and needy patients, especially those who are terminally ill."

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Johnson also said that First State was among four applicants the state considered in Sussex County and was ranked highest based on the state's review criteria.

"At least some progress has been made," said Edward Gill, a Georgetown attorney who represented Boone in the Superior Court case.

Boone said he is allergic to opiates, which are often prescribed for pain.

Under Delaware law, marijuana is limited to qualified patients and registered caregivers.

Twenty-five states have medical marijuana programs. Four states this fall also have ballot measures to allow the drug for medical use.

Delaware last year decriminalized marijuana. Those caught with small amounts of the drug get a civil fine instead of a criminal offense.

State Sen. Margaret Rose Henry, D-Wilmington East, said this month she intends to sponsor a bill to legalize pot. A University of Delaware poll released last week said 61 percent of 900 people surveyed support legalizing marijuana in the state.

Contact Molly Murray at (302) 463-3334 or mmurray@delawareonline.com. Follow her on Twitter @MollyMurraytnj.