Is Boulder the new Amsterdam ?

I heard that Boulder,Colorado is now a mecca for Marijuana Shops, or should I say 'Medical Marijuana Centers' .
My daughters and I went for a bike ride around downtown Boulder and came upon Dr. Reefer's Dispensary, which had set up shop across from the University of Colorado and is part of University Hill's shopping district.
Upon looking in the window, I noticed the store was out of business and a sign was posted on the door:

Please support free markets !
The city of Boulder is allowing only 3 Medical Marijuana Centers within 500 feet.
A free market will allow for the best quality for the best price !
Please join our cause and sign up today at Cannabis and receive a complimentary joint !

How did Boulder allow this business to originally open across from their University ?
I'm sure Dr.Reefer had to apply for a sign permit, and the person on the Boulder Sign Committee who approved a green neon sign that advertised 'Dr.Reefer's Marijuana Shop' must have been smoking some that day.
When Colorado legalized the sale of marijuana for 'medical purposes', didn't they anticipate businesses popping up on every street corner ? Hey, I even thought about opening one, that is, if I lived in Colorado !
Maybe the state muckey-mucks should have made it clear that only 3 'Pot' Centers could open up 500 feet from each other from the get go.
And maybe there should have been a notation in there against opening up so close to a school.
Hey, just a thought from a NJ mom driving through the Colorado rockies....