While the cannabis industry helped ease Lompoc’s financial woes, it has not — and cannot — solve the city’s financial challenges with leaders building partnerships to assist in the future, Mayor Jenelle Osborne said in a State of the City presentation Thursday. 

In addition to the city, the luncheon organized by the Lompoc Valley Chamber of Commerce included updates on Lompoc’s schools, hospital and federal prisons, attracting approximately 150 community members to the Dick DeWees Community & Senior Center. 

“Looking ahead, our future for the city is bright and ambitious,” Osborne said. “(With) the strategic partnerships, cautious fiscal management, steadfast commitment to our community’s well-being, we’ll continue to thrive and prosper together.”

Some communities chose to limit the number of cannabis businesses, but Lompoc decided to let the market determine how many could thrive or even survive.

The city received 30 applications for cannabis retail dispensaries, but not all of those ended up opening stores in Lompoc, Osborne said, adding that 12 received licenses, eight of the dozen operate storefronts and two have closed.

In distribution, 16 applied, six are operational and two closed. For manufacturing, 12 applied, six are operating and one closed. In cultivation and processing, 13 applied with three operational. Two applied for laboratories and opened, but one has since closed.

“It’s not as many as everybody assumes,” she added. 

Lompoc spends its cannabis tax proceeds on one-time projects involving public safety and parks.

“This is just one of those challenges we face, and while we really appreciate the support and the additional revenue, again it’s not going to solve all our problems,” she said. 

Recognizing Lompoc’s role as the closest community to Vandenberg Space Force Base, city leaders continue to collaborate with the military, including working together to prep for various situations. 

“Significant funding is available to support base communities when we partner, plan and support resolving these needs together through the Defense Department,” Osborne said.

“By collaborating with the base, we can streamline resources, share expertise and optimize efficiency, ultimately enhancing the quality of our infrastructure while reducing costs for both the taxpayers and residents as well as the federal government.”

The presentation, which included a video about various aspects of the city’s operations, also noted that Lompoc police have gained body-worn cameras while federal funding will see a much-needed upgrade to the dispatch and records management system.

The city also has undertaken several projects to make huge improvements to its parks with new play structures and pickleball courts at Ryon Park among recent renovation work.

Next in line is the skate park’s complete rebuild that will include the installation of lights.

The city also has looked to create grants for recreation programs, helping more than 90 residents participate one year and more than 130 the following year.  

“These and similar community-supporting practices are vital for ensuring all residents have access to the opportunities to benefit the quality of life here in the city regardless of their financial circumstances,” Osborne said.

Lompoc Valley Medical Center 

Lompoc Valley Medical Center Chief Executive Officer Steve Popkin shared about expansion of services, recruitment of physicians and exploration of possibly partnering with another organization, which ultimately was rejected. 

The hospital has expanded the number of short-term rehabilitation beds under the Comprehensive Care Center, a skilled nursing facility that also provides long-term care. Instead of 15, it now provides 23 beds for short-term rehabilitation, with those new beds immediately filled, Popkin said. 

He also provided an update on plans for the former CoastHills Credit Union building in Vandenberg Village. where one-half of the building will continue to house a CoastHills branch. 

LVMC plans to offer assorted medical services, including urgent care, primary care, specialist care services along with digital imaging in the other portion the building. 

The project continues to move through the Santa Barbara County planning approval process, but Popkin estimated groundbreaking could occur in early 2025 with the Lompoc Health Village Center operational in 2026. 

Hospital officials also continue to work with the city for approval of a new 80-space parking lot for hospital employees and visitors.

Additionally, Popkin confirmed that he expects to retire in September, with the search for his replacement already underway.

Lompoc Federal Correctional Complex 

A pair of low-security facilities — the two federal prisons, the Federal Correctional Institution and U.S. Penitentiary — house approximately 3,200 male inmates with their stint spanning from a few weeks to 20 years, Associate Warden Jess Pino said.

Inmates receive life skills and parenting classes along with other programs to help prep them for success upon release, Pino added.

Additionally, they also receive job training via Federal Prison Industries, also known as UNICOR. Operations under UNICOR must generate enough income to cover costs. 

At Lompoc, this includes a farming operation growing crops on more than 1,800 acres while also running 500 head of beef cattle, according to Fred Hayes, UNICOR manager.

However, officials decided to closed down the on-site dairy since it was not financially successful, he added. 

“We do a lot more than just incarcerate inmates,” Hayes said. “We’re trying to change lives. We do not punish them. The courts did that.

“Our job is to keep our public safe and to train them from the second they are sentenced to be successful citizens back into our communities.”