Remote Surveillance Trailer in Port Hueneme, CA

Last week’s downpour damaged hundreds of homes in Port Hueneme and Oxnard, prompting local officials to seek federal disaster assistance for residents.

More than 540 vehicles also were damaged or destroyed by flooding in the two cities.

Port Hueneme declared a local emergency hours after the worst of the storm hit early Thursday. Oxnard officials were expected to do the same Wednesday. The declarations help public agencies respond quickly during emergencies and seek federal disaster assistance.

"We're hoping to be able to qualify to get federal assistance for our residents," Oxnard City Manager Alex Nguyen said.

Unless homeowners have flood insurance, their policies typically do not cover the damage. The Federal Emergency Management Agency's individual assistance program can help residents with costs from temporary rental expenses to home repairs. But whether local areas hard hit in the storm will qualify for the FEMA program remains to be seen.

Will areas qualify for disaster assistance?

Local authorities plan to seek those funds, and the Ventura County Sheriff's Office of Emergency Services is coordinating the requests. But meeting the federal eligibility thresholds may be a challenge because major storm damage was relatively isolated compared to some other disasters.

A thunderstorm dumped roughly 3 inches of rainfall in just an hour in the coastal cities, flooding roads and homes with up to 4 feet of water in spots. Port Hueneme City Manager James Vega called it "a historic amount of rain."

The city received reports of damage to roughly 180 properties, Vega said during a Wednesday city council meeting to extend the emergency declaration. Authorities initially helped a dozen or so families find a place to stay after the storm. But city officials continue to get calls and may need to come up with other options, he said.

"Each day, we've had more people requesting shelter," Vega said.

The list included renters displaced by storm damage but conversations with landlords helped resolve some of those issues, he said. Typically, landlords have an obligation to make sure renters have a place to go, according to Vega.

How many homes were damaged?

The number of properties with significant damage could climb as teams continue to assess neighborhoods. As of Wednesday morning, authorities had verified nearly 50 residential properties with major damage – at least 18 inches of flooding inside the home.

More than 100 others reported damage classified as "minor,” which may include more than a foot of flooding inside a house. Other properties reported less significant flooding. Several residents outside of the two cities also reported some flooding problems.

City officials said they will continue to work with OES to provide the state and FEMA information about damages. On Wednesday, Port Hueneme's council members ratified and extended its emergency declaration. The Oxnard council is expected to consider a similar action next week.

More information about clean up assistance and how to report damage is available at ci.port-hueneme.ca.us and vcemergency.com.

To lift its drooping marijuana industry, Port Hueneme is making changes to the city's cannabis program.

The City Council recently directed staff to implement six strategies aimed at helping local cannabis businesses stay competitive as dispensaries pop up throughout the county. The plan would lower fees and roll back some regulations.

The items will need to be brought back individually before the council for formal adoption.

“Some of these little changes will definitely help and are appreciated,” said Paula Brunelle, licensing director with Tradecraft Farms, a dispensary in Port Hueneme.

Port Hueneme was the first city in Ventura County to welcome recreational marijuana, with officials courting a fledgling industry that has since become relatively commonplace in the area. The city's first medicinal marijuana dispensary opened in early 2018 and its first recreational shop opened later that year.

Tony Stewart, the city’s community development director, said at the Nov. 20 council meeting local cannabis businesses were prospering until about a year ago. Revenues have since been stagnant or falling.

The city has nine dispensaries, seven delivery-only services and one microbusiness.

A microbusiness participates in at least three types of cannabis activities, Brunelle said. Tradecraft is a microbusiness that conducts cannabis retail, cultivation and distribution, she said.

More competition among Ventura County marijuana dispensaries

Stewart attributed the decline to a loss of pandemic-era stimulus checks, an overall poor economy and unaccommodating state cannabis taxes and regulations. He also blamed the growing number of dispensaries throughout Ventura County, particularly in nearby Oxnard and Ventura.

“More program revisions are needed to maintain the competitive edge,” Stewart said.

There are seven dispensaries open in Oxnard with another nine on the way, said Katie Casey, an Oxnard spokesperson, in an email. Ventura has awarded six cannabis retail permits, and at least one dispensary has since opened. Dispensaries have also opened in Ojai and Thousand Oaks.

Tradecraft’s Brunelle said the business is experiencing a decline in sales. The months of September and October were marked by a 25% decrease in retail revenue compared to prior months, she said.

Additionally, October's retail revenue was 40% less than October 2022, Brunelle said.

While Port Hueneme doesn't collect a cannabis tax, the city does impose a 5% fee on gross revenues of dispensaries and cannabis lounges. Other cannabis operations are subject to a city fee between 2-5%.

Data shows since 2018, the city collected an increasing amount each year from the fees, with the total peaking at $2.9 million in 2022. So far in 2023, the revenue stream has dipped by $723,000, the city's preliminary numbers show.

Help is on the way for Port Hueneme cannabis businesses

The city surveyed and reached out to its cannabis businesses to solicit ways it can help them stay competitive in the growing market.

Using the feedback, city staff recommended several actions, including reducing city fees on the businesses, expanding operating hours and allowing free-standing cannabis lounges that aren’t connected to a dispensary.

The proposed changes could cut back thousands of dollars in costs, staff said in a report.

The city recommended reducing background check fees for employees — which can range from $200 to $400 ― for an industry that has a high amount of turnover.

Staff also suggested lowering annual audit fees. Current fees range between $7,500 and $20,000, staff said. The city could also reduce the $1,680 annual development agreement review fee.

“Any reduction in costs or obligation is helpful,” Brunelle said.

Earlier this year, Ventura County’s first cannabis consumption lounge opened in Port Hueneme. City officials have said the lounges could help dispensaries stay competitive in the local market. But the original ordinance required they be attached to dispensaries.

The proposed changes would allow retail cannabis businesses to open lounges that aren’t directly next to the dispensary.

Tradecraft has the space to open a lounge in their Port Hueneme location, but the microbusiness is focused on expanding its cultivation facilities.

Mari Scott, Tradecraft’s general manager, said staff can harvest up to 100 pounds of cannabis from plants currently growing on the first floor. With most of the second story vacant, Tradecraft has plenty of space to grow and process plants.

Another proposed change would lower the microbusiness cultivation fee from 5% to 3% of gross revenue.

"I think only time will tell to see if we’ll stay afloat,” Tradecraft's Brunelle said of the proposed changes.