Mule Extracts, a family-owned cannabis processor based in Estacada, Oregon, is asking voters to scrutinize Measure 3-638, a proposed city measure that would prohibit new marijuana production, processing, and wholesaling businesses from being established within Estacada. The measure, referred to voters for the November 3, 2026, general election, comes as Mule Extracts continues to operate in the community where it has invested in facilities and workforce.
For CEO John Sampson, the issue extends beyond the cannabis industry. It concerns the environment for local employers, the value of long-term business investment, and the opportunities available to companies seeking to grow in Estacada. "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. We believe local economic policy should carefully consider the effects restrictions can have on established employers and their ability to plan for the future," Sampson said.
Mule Extracts acknowledges that the city and its residents have a role in shaping local land-use and business policies and understands that some residents have concerns about odor, the pace of industrial growth, and the character of the town. To address those concerns, the company has made significant upgrades to its odor-control systems to comply with city requirements. At the same time, the company believes the economic consequences of restrictions on business development deserve careful consideration, particularly for employers that have already established operations and contributed to the local economy.
The proposed measure focuses on new marijuana production, processing, and wholesaling businesses. The city has stated that existing businesses would be allowed to continue operating, while separate provisions associated with the proposal raise questions about how certain future changes to existing businesses could be handled. Attorney Amy Margolis said: "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."
Sampson emphasized the company's desire to remain a local employer and contributor to Estacada's economy. "We want to continue being a local employer and contributing to Estacada's economy. We believe the potential effects on existing businesses, local jobs and future investment should be part of an informed public discussion about this measure," he said.
Mule Extracts pays approximately $3.5 million a year in wages to its Estacada workforce and works with 30 vendors and contractors throughout the local area. The company encourages Estacada residents to review the City of Estacada's Cannabis Moratorium FAQ, including the companion ordinance on pre-existing businesses, and to bring their questions to the company's community contact before they vote.
Founded in 2016, Mule Extracts is a family-owned and -operated cannabis processor that makes small-batch vapes, concentrates, and edibles from locally sourced cannabis, sold wholesale to licensed dispensaries in Oregon and New Jersey. The company employs approximately 70 people at its Estacada operations. Learn more at www.mulethc.com.
The outcome of Measure 3-638 could have significant implications for Estacada's economy and the broader cannabis industry. If passed, the measure could deter future investment and expansion, potentially leading to job losses and reduced economic activity. For other cannabis businesses, the measure could set a precedent for similar restrictions in other municipalities, affecting the industry's growth and stability. As voters head to the polls, the decision will not only shape Estacada's business landscape but also signal the community's stance on cannabis and its role in local economic development.
