Killingly — Plans are underway to construct the town’s first cannabis cultivation facility in a vacant lot behind the Aldi shopping plaza in Dayville.
The Planning and Zoning Commission last month unanimously approved a special permit application submitted by Nautilus Botanicals, LLC to build a 15,000-square-foot cannabis cultivation and manufacturing operation at 738 Hartford Pike.
The location — tucked just behind The Shoppes at Quinebaug Valley, which houses an Aldi, Dollar Tree, Harbor Freight, Planet Fitness and Salvation Army Thrift Store & Donation Center — currently consists of 9,000 square feet of empty office space and an overgrown parking lot.
Once complete, company representatives told the commission that the facility will have the capacity to grow up to 2,000 cannabis plants, which Nautilus Botanicals will process into wholesale smokable flower products and extracted oil for concentrates, vape cartridges and potentially edibles.
The site would be the first adult-use cannabis cultivation operation in town.
According to records from the state Department of Consumer Protection, Nautilus Botanicals was granted a provisional cannabis cultivation license in 2022 under a “disproportionately impacted area” application. Disproportionately impacted areas are census tracts identified by the Social Equity Council using poverty rates and rankings of historical conviction rates for drug-related offenses.
There are just 14 licensed adult-use cannabis cultivators in Connecticut, including Nautilus Botanicals. All of the licenses are provisional, except for Rodeo Cannabis Co., which operates a cultivation site in Morris, and Fine Fettle, which grows cannabis in Bloomfield. As part of the application for a provisional license, Nautilus Botanicals agreed to pay a fee of $3 million to the state.
In a statement, Kaitlyn Krasselt, the director of communications for the Department of Consumer Protection, said businesses are not permitted to start growing operations under a provisional cannabis cultivation license. Krasselt said application fees are directed into the state's Social Equity fund, which is managed by the council.
Over the last year, Killingly has received more than $55,000 from a 3% municipal tax on cannabis sales at the town’s only licensed dispensary, Higher Collective.
During a May 19 meeting, Connie DeBoever, who is listed as the head of diversity and community relations on Nautilus Botanicals' license application, told the commission that the town would receive some revenue from sales, but that most of the money would go to the state.
In a statement, Tiffany Thiele, the director of communications for the state Department of Revenue Services, said municipal cannabis taxes are paid by consumers and only apply to retail sales, not wholesale transactions between cultivators and retailers.
DeBoever and Luis Vega, who is listed as CEO on Nautilus Botanicals’ license application, declined an interview and did not respond to a request to explain how the town would receive revenue from Nautilus Botanicals’ sales.
DeBoever did respond in an email to say that Nautilus Botanicals is not affiliated with the Higher Collective dispensary.
Vega is the principal of Nautilus Botanicals EJV1 LLC, a licensed adult-use cannabis and medical hybrid retailer in New Haven.
According to town planning and zoning documents, Nautilus Botanicals would grow cannabis plants in plastic pots inside five 30-by-100-feet hoop-style greenhouses. The cannabis would grow from April to October using sunlight and an irrigation system that would deliver approximately one gallon of water to each plant per day.
Manufacturing operations would occur year-round. The company said it plans to convert the building into a post-harvest processing and manufacturing center. Until those renovations are complete, Nautilus Botanicals said they would use a temporary trailer for drying, curing, storage and manufacturing.
The company said the site would employ up to 10 employees, including cultivation and extraction technicians, processing and packaging associates and a security guard.
Security at the site would include a 12-foot opaque fence with two access points that are limited to employees via keycards and first responders. Surveillance cameras would operate 24/7. All cannabis products would be stored in a secure vault, which has a timed lock and can only be opened by management. The vault would also include a keypad alarm and panic button.
Director of Planning and Development Ann-Marie Aubrey said the company has until Sept. 8 to provide updated site plans, which must be approved by the commission’s chairman. Once that step is complete, Aubrey said Nautilus Botanicals will still need to apply for zoning and building permits before starting construction. Additionally, the project will undergo inspections by the town building official and the fire marshal’s office throughout construction.
In statements to the commission, representatives of Nautilus Botanicals said they hoped to start operations during the summer growing season and produce the first harvest this fall.