Mule Extracts, a family-owned cannabis processor based in Estacada, Oregon, is asking voters to examine Measure 3-638 closely before the November 3, 2026, general election. The proposed city measure would prohibit new marijuana production, processing, and wholesaling businesses from being established within Estacada. While the measure targets new entrants, Mule Extracts argues that its implications extend to existing businesses and the broader local economy.
For CEO John Sampson, the issue is not limited to the cannabis industry. "Mule Extracts has made a significant commitment to Estacada. We employ approximately 70 people, and our business represents years of work and investment in this community," Sampson said. "We believe local economic policy should carefully consider the effects restrictions can have on established employers and their ability to plan for the future." The company pays roughly $3.5 million annually in wages to its Estacada workforce and collaborates with 30 vendors and contractors in the area.
Mule Extracts acknowledges that residents have legitimate concerns about odor, industrial growth, and the town's character, and has invested in odor-control upgrades to meet city requirements. However, the company contends that the economic consequences of restricting business development deserve careful scrutiny, especially for employers that have already contributed to the local economy.
The measure's focus on new businesses may appear straightforward, but attorney Amy Margolis warns of unintended consequences. "The ballot measure, on its face, appears to simply ban new businesses from coming in. But because of the regulatory structure of cannabis businesses, it actually prohibits the growth and sale of existing businesses, destroying all of the value that these families and entrepreneurs have built," Margolis said. This perspective suggests that the measure could undermine the investments and livelihoods of current operators, even if they are technically allowed to continue operating.
Mule Extracts is encouraging residents to review the City of Estacada's Cannabis Moratorium FAQ, including the companion ordinance on pre-existing businesses, and to ask questions before voting. The company believes that an informed public discussion should include the potential effects on existing businesses, local jobs, and future investment. For more information, visit www.mulethc.com.
As Estacada voters weigh the measure, the decision could set a precedent for how the city treats established employers and whether it remains open to business growth. The outcome may influence not only the cannabis sector but also the broader economic climate for companies considering investment in the community.
