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HomeMy WebLinkAboutItem 6 - TA 15-05DATE: December 8, 2015 TO: Honorable Chairman and Planning Commission FROM: Jim Kasama, Community Development Administrator SUBJECT: RESOLUTION NO. 1955 TO RECOMMEND THAT THE CITY COUNCIL ADOPT AN ORDINANCE TO AMEND SECTIONS 9220.45.1.3 AND 9213 OF THE ARCADIA MUNICIPAL CODE TO PROHIBIT CANNABIS DISPENSERIES, CANNABIS MANUFACTURERS, CULTIVATION, AND DELIVERY OF CANNABIS IN THE CITY Recommendation: Recommend Approval to the City Council and Adopt Resolution No. 1955 SUMMARY The City of Arcadia’s Municipal Code currently bans medical marijuana dispensaries throughout the City, and bans all dispensaries that are unlawful under State or federal law. The Code defines dispensaries broadly, and does not address other medical marijuana uses, such as cultivation and delivery services. As a result of new legislation, the City should consider amending its regulatory scheme to address these uses, and to more closely track the language of State law on these issues. It is recommended that the Planning Commission adopt the attached Resolution No. 1955 to recommend that the City Council adopt the attached draft Ordinance to prohibit cannabis dispensaries, cannabis manufacturers, cultivation, and delivery of cannabis in the City of Arcadia. BACKGROUND The California legislature recently adopted legislation identified as the Medical Marijuana Regulation and Safety Act (MMRSA - AB 243, AB 266, and SB 643) to comprehensively regulate medical marijuana/cannabis. The MMRSA recognizes and preserves local control to regulate or ban medical cannabis cultivation, transportation, and distribution. The MMRSA confirms and clarifies that, in addition to being able to exert land use control over retail dispensaries, municipalities also have the power to regulate or ban the cultivation and distribution of medical marijuana. Although the MMRSA allows municipalities to regulate or ban cannabis cultivation, manufacturing, transportation, and distribution of medical cannabis within their jurisdictions, it requires local enabling legislation to accomplish some aspects of this. If a city chooses to regulate these activities comprehensively, it must adopt an overlay of local regulatory standards that are at least as strict as the State’s default regulations. Resolution No. 1955 Marijuana/Cannabis Prohibitions December 8, 2015 – Page 2 of 5 Specifically, the MMRSA provides that if a city has not banned or regulated cannabis cultivation by March 1, 2016, then cultivation in that city will be subject only to State law. PROPOSAL Medical marijuana is currently addressed by two Sections of the Arcadia Municipal Code. Section 9220.45.1.3 defines medical marijuana dispensary, and Section 9213 clarifies that there is no omission or ambiguity of the zoning regulations that would permit medical marijuana dispensaries in any zone. Section 9220.45.1.3 is proposed to be amended as follows: 9220.45.1.3 - MEDICAL MARIJUANA DISPENSARY USES Any facility or location where medical marijuana is made available and/or distributed by or to one or more of the following: a primary caregiver, a qualified patient or a person with an identification card in strict accordance with California Health and Safety Code Section 11362.5 et seq. A "medical marijuana dispensary" shall not include the following uses, as long as the locations of such uses are otherwise regulated by this Code or applicable law: a clinic licensed pursuant to Chapter 1 of Division 2 of the Health and Safety Code, a health care facility licensed pursuant to Chapter 2 of Division 2 of the Health and Safety Code, a residential care facility for persons with chronic life-threatening illness licensed pursuant to Chapter 3.01 of Division 2 of the Health and Safety Code, a residential care facility for the elderly licensed pursuant to Chapter 3.2 of Division 2 of the Health and Safety Code, a residential hospice or a home health agency licensed pursuant to Chapter 8 of Division 2 of the Health and Safety Code, as long as such use complies strictly with applicable law including, but not limited to, Health and Safety Code Section 11362.5 et seq. For purposes of this Code, the following definitions shall apply: A. “Cannabis” means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. “Cannabis” also means the separated resin, whether crude or purified, obtained from marijuana. “Cannabis” also means marijuana as defined by Section 11018 of the Health and Safety Code as enacted by Chapter 1407 of the Statutes of 1972. B. “Cannabis dispensary” means a facility where cannabis, cannabis products, or devices for the use of cannabis or cannabis products are offered, either individually or in any combination, for retail sale, including an establishment that delivers cannabis and cannabis products as part of a retail sale. Resolution No. 1955 Marijuana/Cannabis Prohibitions December 8, 2015 – Page 3 of 5 C. “Cannabis manufacturer” means a person that conducts the production, preparation, propagation, or compounding of manufactured cannabis, or cannabis products either directly or indirectly or by extraction methods, or independently by means of chemical synthesis or by a combination of extraction and chemical synthesis at a fixed location that packages or repackages medical cannabis or cannabis products or labels or relabels its container D. “Cultivation” means any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis. E. “Delivery” means the commercial transfer of cannabis or cannabis products, and includes origination or termination within the City as well as a delivery business. Section 9213 is proposed to be amended as follows: 9213. - OMISSION OR AMBIGUITY; MEDICAL MARIJUANA USES PROHIBITED A. If any "use" is for any reason omitted from the lists of those specified as permissible in each of the various zones herein designated, or if ambiguity arises concerning the appropriate classification of a particular use within the meaning and intent of this Chapter, or if ambiguity exists with reference to matters of height, yard requirements or area requirements as set forth herein and as they may pertain to unforeseen circumstances, it shall be the duty of the Planning Commission to ascertain all pertinent facts concerning said use and by resolution of record set forth its findings and the reasons therefor. Such findings and resolutions shall be referred to the Council and, if approved by the Council, thereafter such interpretation shall govern. Notwithstanding the above, Medical Marijuana Dispensaries that are unlawful under Federal or state law shall not be treated as permitted or conditionally permitted uses in any zone of the City of Arcadia, and shall not be determined to be an "omitted" or "ambiguous" use pursuant to this Section. B. Cannabis dispensaries, cultivation, cannabis manufacturers, and delivery of cannabis, as defined in Section 9220.45.1.3, shall be considered prohibited uses in all zoning districts of the City. No use permit, variance, building permit, or any other entitlement or permit, whether administrative or discretionary, shall be approved or issued for the establishment or operation of dispensaries, cannabis cultivation, cannabis manufacturers, and delivery of cannabis as defined herein in any zoning district, and no person shall otherwise establish such businesses or operations in any zoning district. Resolution No. 1955 Marijuana/Cannabis Prohibitions December 8, 2015 – Page 4 of 5 DISCUSSION The cultivation, transportation, and distribution of marijuana can create problems relating to public health and safety, crime, water and air quality, and energy consumption. Marijuana uses can create nuisance activity such as loitering and criminal activity in business and residential districts. Specifically mobile delivery can create issues relating to responsibility and resources to monitor and enforce State law, questions of patient qualification, and risks relating to the high use of large sums of cash for mobile transactions. Cultivation can create air quality, energy, and water quality damage and impair building maintenance and safety. For example, the increased moisture necessary to grow indoors can create excessive mold growth and structural damage. Additionally, the equipment utilized to grow indoors can pose a risk of fire and electrical hazards due to dangerous electrical alterations and use. Further, inadequate ventilation combined with the use of pesticides and fertilizers in an enclosed space can lead to chemical contamination within structures. Regulation of Medical Cannabis Cultivation At least one California city (Live Oak) has successfully defended its total ban on the cultivation of marijuana for any purpose within that city. The City of Live Oak’s regulations have been upheld by the courts, and provides that “[m]arijuana cultivation by any person, including primary caregivers and qualified patients, collectives, cooperatives, or dispensaries” are prohibited in all zones within the City. The MMRSA allows this approach. Alternatively, some cities are allowing cultivation with regulations such as: ● Outdoor, residential cultivation so long as plants are enclosed, screened, and five (5) feet from the property line; ● Indoor cultivation only with a permit; ● Property owner must approve of cultivation on the property; and ● Limiting the number of plants. Should the City choose to leave cultivation unregulated, under the currently enacted version of the MMRSA, on March 1, 2016, only State law would control cultivation activities in the City of Arcadia. The proposed amendments and Ordinance would ban cultivation entirely in the City. Regulation of Cannabis Delivery Mobile delivery of products consistently creates issues for cities because of the inherent transitory nature of the activity. A quick search of ‘weedmaps.com’ identifies several cannabis dispensaries that currently operate in the City of Arcadia. These mobile delivery services are often attempts to avoid the effects of local dispensary bans. State law will regulate the delivery of medical marijuana unless delivery is explicitly prohibited Resolution No. 1955 Marijuana/Cannabis Prohibitions December 8, 2015 – Page 5 of 5 by local ordinance. In light of the foregoing, the City has the option to ban or regulate mobile delivery. Regulations could include: ● Hours of operation; ● Amount of money or marijuana that can be carried at one time; and ● Time spent at one location. The proposed amendments and Ordinance would prohibit the delivery of marijuana anywhere in the City. ENVIRONMENTAL ASSESSMENT The text amendments and the ordinance are not subject to the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15060(c)(3) because this activity is not a project as defined by Section 15378 of the CEQA Guidelines, and pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that it will not have a significant effect or physical change to the environment. PUBLIC NOTICE A Public Hearing Notice of this item was published in the Arcadia Weekly on November 26, 2015. As of December 4, 2015, no comments have been received on the proposal. RECOMMENDATION It is recommended that the Planning Commission adopt the attached Resolution No. 1955 to approve the text amendments and recommend that the City Council adopt the attached draft Ordinance to prohibit cannabis dispensaries, cannabis manufacturers, cultivation, and delivery of cannabis in the City of Arcadia. This is especially important in light of the March 1, 2016, deadline to have cultivation regulations or a ban in place. PLANNING COMMISSION ACTION The Planning Commission should approve a motion to find that the text amendments and Ordinance are not subject to the California Environmental Quality Act (CEQA), and to adopt Resolution No. 1955 as drafted or as amended by the Commission to transmit the Commission’s recommendation in regards to the draft Ordinance. If any Planning Commissioner, or other interested party has any questions or comments regarding this matter prior to the December 8, 2015, Planning Commission meeting, please contact Jim Kasama at (626) 574-5442, or jkasama@ArcadiaCA.gov. Attachments Resolution No. 1955 Draft Ordinance RESOLUTION NO. 1955 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF ARCADIA, RECOMMENDING TO THE CITY COUNCIL APPROVAL OF TEXT AMENDMENTS TO AMEND SECTIONS 9220.45.1.3 AND 9213 OF THE ARCADIA MUNICIPAL CODE TO PROHIBIT CANNABIS DISPENSERIES, CANNABIS MANUFACTURERS, CULTIVATION, AND DELIVERY OF CANNABIS IN THE CITY WHEREAS, in November 2015, the Development Services Department initiated text amendments, case file Text Amendment No. TA 15-05, and drafted an Ordinance in response to State legislation regarding medical marijuana, the “Medical Marijuana Regulation and Safety Act;” and WHEREAS, several California cities have reported negative impacts of marijuana cultivation, processing, and distribution uses, including offensive odors, illegal sales, and distribution of marijuana, trespassing, theft, violent robberies and robbery attempts, fire hazards, and problems associated with mold, fungus, and pests; and WHEREAS, based on the experiences of other cities, these negative effects on the public health, safety, and welfare are likely to occur, and continue to occur, in the City due to the establishment and operation of marijuana cultivation, processing, and distribution uses; and WHEREAS, the Arcadia Municipal Code does not fully address the cultivation, processing, delivery and distribution of medical cannabis; and WHEREAS, based on the findings above, the potential establishment of cannabis dispensaries, cultivation, cannabis manufacturers and delivery of cannabis uses in the City without regulation poses a current immediate threat to the public health, safety and welfare in the City due to the negative land use and other impacts of such uses as described above; and 2 1955 WHEREAS, the text amendments and Ordinance are not subject to the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15060(c)(3) because this activity is not a project as defined by Section 15378 of the CEQA Guidelines, and pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that it will not have a significant effect or physical change to the environment; and WHEREAS, on December 8, 2015, a duly-noticed public hearing was held before the Planning Commission on said text amendments and draft Ordinance, at which time all interested persons were given full opportunity to be heard and to present evidence; and NOW, THEREFORE, THE PLANNING COMMISSION OF THE CITY OF ARCADIA HEREBY RESOLVES AS FOLLOWS: SECTION 1. That the factual data submitted by the Community Development Division in the report dated December 8, 2015, are true and correct. SECTION 2. That this Commission finds, based upon the entire record, that the approval of the text amendments and draft Ordinance will protect the public health, safety and welfare from the negative land use and other impacts of the cultivation, processing, delivery and distribution of medical cannabis. SECTION 3. That the text amendments and Ordinance are not subject to the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15060(c)(3) because this activity is not a project as defined by Section 15378 of the CEQA Guidelines, and pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that it will not have a significant effect or physical change to the environment. 3 1955 SECTION 4. That for the foregoing reasons the Planning Commission approves of the text amendments and recommends to the City Council adoption of the draft Ordinance. SECTION 5. The Secretary shall certify to the adoption of this Resolution. Passed, approved and adopted this _____ day of _____________, 2015. Chairman, Planning Commission ATTEST: ______________________ Secretary APPROVED AS TO FORM: ______________________ Stephen P. Deitsch City Attorney - D R A F T - - D R A F T - ORDINANCE NO. - DRAFT - AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA AMENDING SECTIONS 9220.45.1.3 AND 9213 OF THE ARCADIA MUNICIPAL CODE TO PROHIBIT CANNABIS DISPENSARIES, CANNABIS MANUFACTURERS, CULTIVATION, AND DELIVERY OF CANNABIS IN THE CITY WHEREAS, in 1996, the voters of the State of California approved Proposition 215 (codified as Health & Safety Code Section 11362.5 et seq. and entitled "The Compassionate Use Act of 1996"); and WHEREAS, the intent of Proposition 215 was to enable seriously ill Californians to legally possess, use, and cultivate marijuana for medical use under state law; and WHEREAS, in 2003, the California Legislature adopted SB 420, the Medical Marijuana Program (“MMP”), codified as Health and Safety Code Section 11362.7 et seq., which permits qualified patients and their primary caregivers to associate collectively or cooperatively to cultivate marijuana for medical purposes without being subject to criminal prosecution under the Penal Code; and WHEREAS, neither the Compassionate Use Act (“CUA”) nor the MMP requires or imposes an affirmative duty or mandate upon local governments to allow, authorize, or sanction the establishment of facilities that cultivate or process medical marijuana within its jurisdiction; and WHEREAS, in May 2013, the California Supreme Court issued its decision in City of Riverside v. Inland Empire Patients Health and Wellness Center, Inc. (2013) 56 Cal. 4th 729, holding that cities have the authority to regulate or ban outright medical marijuana land uses; and WHEREAS, under the Federal Controlled Substances Act, codified in 21 U.S.C. Section 801 et seq., the use, possession, and cultivation of marijuana are unlawful and subject to federal prosecution without regard to a claimed medical need; and WHEREAS, on October 9, 2015, Governor Jerry Brown signed the “Medical Marijuana Regulation and Safety Act” (“Act”) into law; and WHEREAS, the Act becomes effective January 1, 2016 and contains provisions which allow for local governments to regulate licenses and certain activities thereunder; and WHEREAS, the Act contains a provision which sets forth that the State shall become the sole authority for regulation under certain parts of the Act, unless local - D R A F T - - D R A F T - governments have “land use regulations or ordinances regulating or prohibiting the cultivation of marijuana…” (Health and Safety Code §11362.777(c)(4); and WHEREAS, several California cities have reported negative impacts of marijuana cultivation, processing, and distribution uses, including offensive odors, illegal sales, and distribution of marijuana, trespassing, theft, violent robberies and robbery attempts, fire hazards, and problems associated with mold, fungus, and pests; and WHEREAS, marijuana plants, as they begin to flower and for a period of two months or more, produce a strong odor, which is detectable far beyond property boundaries if grown outdoors; and WHEREAS, the strong smell of marijuana creates an attractive nuisance, alerting persons to the location of the valuable plants, and creating a risk of burglary, robbery, or armed robbery; and WHEREAS, the indoor cultivation of marijuana has potential adverse effects to the health and safety of the occupants, including structural damage to the building due to increased moisture and excessive mold growth which can occur, and can pose a risk of fire and electrocution; additionally, the use of pesticides and fertilizers can lead to chemical contamination within the structure; and WHEREAS, the Attorney General’s August 2008 Guidelines for the Security and Non-Diversion of Marijuana Grown for Medical Use recognizes that the cultivation or other concentration of marijuana in any location or premises without adequate security increases the risk that nearby homes or businesses may be negatively impacted by nuisance activity such as loitering or crime; and WHEREAS, based on the experiences of other cities, these negative effects on the public health, safety, and welfare are likely to occur, and continue to occur, in the City due to the establishment and operation of marijuana cultivation, processing, and distribution uses; and WHEREAS, the Arcadia Municipal Code (“Code”) does not fully address the cultivation, processing, delivery and distribution of medical cannabis; and WHEREAS, based on the findings above, the potential establishment of cannabis dispensaries, cultivation, cannabis manufacturers and delivery of cannabis uses in the City without regulation poses a current and immediate threat to the public health, safety and welfare in the City due to the negative land use and other impacts of such uses as described above; and WHEREAS, the issuance or approval of business licenses, subdivisions, use permits, variances, building permits, or any other applicable entitlement for cannabis dispensaries, cultivation, cannabis manufacturers and delivery of cannabis will result in the aforementioned threat to public health, safety, or welfare. - D R A F T - - D R A F T - NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, DOES ORDAIN AS FOLLOWS: SECTION 1. Section 9220.45.1.3 of Part 2 of Chapter 2 of Article IX of the Arcadia Municipal Code is hereby amended in its entirety to read as follows: 9220.45.1.3 - MEDICAL MARIJUANA USES. For purposes of this Code, the following definitions shall apply: A. “Cannabis” means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. “Cannabis” also means the separated resin, whether crude or purified, obtained from marijuana. “Cannabis” also means marijuana as defined by Section 11018 of the Health and Safety Code as enacted by Chapter 1407 of the Statutes of 1972. B. “Cannabis dispensary” means a facility where cannabis, cannabis products, or devices for the use of cannabis or cannabis products are offered, either individually or in any combination, for retail sale, including an establishment that delivers cannabis and cannabis products as part of a retail sale. C. “Cannabis manufacturer” means a person that conducts the production, preparation, propagation, or compounding of manufactured cannabis, or cannabis products either directly or indirectly or by extraction methods, or independently by means of chemical synthesis or by a combination of extraction and chemical synthesis at a fixed location that packages or repackages medical cannabis or cannabis products or labels or relabels its container D. “Cultivation” means any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis. E. “Delivery” means the commercial transfer of cannabis or cannabis products, and includes origination or termination within the City as well as a delivery business. SECTION 2. Section 9213 of Part 1 of Chapter 2 of Article IX of the Arcadia Municipal Code is hereby amended in its entirety to read as follows: - D R A F T - - D R A F T - 9213. - OMISSION OR AMBIGUITY; MEDICAL MARIJUANA USES PROHIBITED A. If any "use" is for any reason omitted from the lists of those specified as permissible in each of the various zones herein designated, or if ambiguity arises concerning the appropriate classification of a particular use within the meaning and intent of this Chapter, or if ambiguity exists with reference to matters of height, yard requirements or area requirements as set forth herein and as they may pertain to unforeseen circumstances, it shall be the duty of the Planning Commission to ascertain all pertinent facts concerning said use and by resolution of record set forth its findings and the reasons therefor. Such findings and resolutions shall be referred to the Council and, if approved by the Council, thereafter such interpretation shall govern. B. Cannabis dispensaries, cultivation, cannabis manufacturers, and delivery of cannabis, as defined in Section 9220.45.1.3, shall be considered prohibited uses in all zoning districts of the City. No use permit, variance, building permit, or any other entitlement or permit, whether administrative or discretionary, shall be approved or issued for the establishment or operation of dispensaries, cannabis cultivation, cannabis manufacturers, and delivery of cannabis as defined herein in any zoning district, and no person shall otherwise establish such businesses or operations in any zoning district. SECTION 3. CEQA. The City Council finds that this Ordinance is not subject to the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines Sections 15060(c)(3) because this activity is not a project as defined by Section 15378 of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, and pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that it will not have a significant effect or physical change to the environment. SECTION 4. Severability. If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this Ordinance or any part thereof is for any reason held to be unconstitutional, such decision shall not affect the validity of the remaining portion of this Ordinance or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof, irrespective of the fact that any one or more section, subsection, subdivision, paragraph, sentence, clause or phrases be declared unconstitutional. SECTION 5. Effective Date. This Ordinance shall become effective upon the thirty-first (31st) day following its adoption by a majority vote of the City Council. SECTION 6. Publication. The Mayor shall sign this Ordinance and the City Clerk shall attest thereto and shall within fifteen (15) days of its adoption cause it, or a summary of it, to be published in the _______________________, a newspaper - D R A F T - - D R A F T - published and circulated in the City of _______________, and thereupon and thereafter this ordinance shall take effect and be in force according to law. PASSED, APPROVED, AND ADOPTED this ____ day of _______________, 2015. ___________________________________ Gary Kovacic, Mayor ATTEST: _______________________________ Gene Glasco, City Clerk APPROVED AS TO FORM: _______________________________ Stephen P. Deitsch, City Attorney