Northampton city councilors voted late Thursday night to place a new limit on the citys collection of cannabis dispensaries effectively an upper ceiling for how many pot shops the city allows to do business.

The vote, coming after months of deliberation, represented a significant step for a city known as a hub of Massachusetts retail cannabis industry. In 2018, Northampton became one of the first two Massachusetts towns with a recreational cannabis dispensary. Today, it has 11 operating dispensaries, a collection comparable to the much larger cities of Boston and Worcester.

Unlike many other communities, Northampton never elected to set a limit on its number of pot shops until Thursday.

As the new measure goes into effect, here are a few things to know about what it means and doesnt mean for the city and the local cannabis market. Have a question that isnt answered below? Send it to wkatcher@masslive.com.

NETA, Northampton's first dispensary, opened in Nov. 2018. It was one of the first places to buy legal recreational cannabis on the East Coast. (Don Treeger / The Republican)What does the cannabis dispensary cap do?

The regulation passed Thursday night will hold the city to a dozen dispensaries sort of.

The city council voted 6 to 3 to set the limit at 12 cannabis retailers, but there are exceptions that will allow the city to exceed that number. Any business is exempt if it already has a host community agreement in place essentially a required sign-off from the city before the business can apply to the state for a dispensary license.

Northampton has signed 14 host community agreements with business owners. Twelve of them have led to operating dispensaries, though one of those shops the Source, on Pleasant Street closed in December.

It was the first dispensary in Massachusetts to shutter. If the Sources owners were to sell their Northampton shop, it could reopen as a new dispensary.

There is also an exception for social equity dispensaries participants in a state assistance program for business owners from backgrounds most affected by the War on Drugs. Northampton currently has one such dispensary Enlite, on Damon Road. There is no limit on how many more social equity dispensaries could open in the city.

Products on display at the Honey dispensary in Northampton, on Strong Avenue. The store opened in the late spring of 2022. (Will Katcher/MassLive).What doesnt the cannabis cap do?

It doesnt mandate that any dispensaries close. Northampton has one of the largest populations of cannabis retailers in the state and this measure will not change that.Read more: Northampton has emerged as the retail cannabis capital of Massachusetts, but can a city of 29,000 sustain 12 dispensaries? When does it go into effect?

The regulation went into effect upon passage. Mayor Gina-Louise Sciarra has the power to veto it, but she can be overridden with a two-thirds majority of the city council.

After two-thirds of the councilors voted in favor of the dispensary limit Thursday night, it would appear they have the votes to keep the measure in place even in the event of a mayoral veto.

Balagan Cannabis opened in Oct. 2021. It was Northampton's first Main Street dispensary. (Will Katcher/MassLive).How will it affect the current dispensaries? Will it be tougher to get cannabis in Northampton?

I didnt even hear about it, said Dave Dumas, manager of the Pleasant Street dispensary Resinate, when asked on Friday about the new regulation.

For the people already in the game, I think its business as usual, he said. Nobody else was coming in [to Northampton] anyways. This market was already saturated. Its kind of a no-brainer that they would go somewhere else. Or should.

Northamptons dispensaries will still have to compete with each other a strenuous task when customers can walk 50 feet down the block to another pot shop if they dont like one locations products or prices.

With one exception, Northampton hasnt had an application for a new host community agreement since the summer of 2021. The one exception was for a shop in the citys Florence village. But Sciarra rejected that proposal after vocal opposition from residents.

The new measure is not likely to limit access to cannabis in Northampton. There are still 11 open dispensaries that will continue selling pre-rolls, edibles, vapes and other products as some of them have done for more than four years.

Michael Wuchter and Adam Reyes survey their products behind the counter of the Honey dispensary in Northampton. The Strong Avenue store opened in the late spring of 2022. (Will Katcher/MassLive).Why is this cap in place?

A number of reasons, though one central argument was that the city simply had enough cannabis sellers and that it was within the city councils authority to reel in the market.

Multiple city councilors also said they were swayed by warnings from area public health officials of the risks correlated with having a high number of dispensaries in a community particularly the impact on young people. In council meetings, public health representatives suggested that data showed having more dispensaries led to higher cannabis use among teenagers.

Some city leaders opposed to the cap, as well as outside experts, raised doubts about the credibility of this data. But in the end, they were not able to convince a majority of the council to reject the proposed dispensary limit.Read more: Northampton proposed cannabis dispensary limit brings dispute over possible effects

The main room of the Honey dispensary in Northampton, on Strong Avenue. The store opened in the late spring of 2022. (Will Katcher/MassLive).Some councilors said this was a social equity measure: Will it help social equity dispensaries open in Northampton?

It wont hurt social equity dispensaries. But it may not help them.

Any dispensaries that are part of the states social equity program are exempt from the new limit, an effort to ensure they dont miss out on Northamptons market.

But beyond that exemption, the measure does not actively aid social equity dispensaries hoping to open in Northampton. Social equity applicants have faced significant roadblocks to opening in Massachusetts, namely access to funds. This measure is not likely to change that.

Have other questions about the new limit on dispensaries? Send your queries to wkatcher@masslive.com.