HomeMy WebLinkAboutItem 12c - Bureau of Cannabis Control Regulations, Industrial Facilities, and Marijuana Deliveries
DATE: March 5, 2019
TO: Honorable Mayor and City Council
FROM: Dominic Lazzaretto, City Manager
By: Michael Bruckner, Assistant to the City Manager
SUBJECT: REPORT, DISCUSSION AND DIRECTION REGARDING CANNABIS
CONTROL REGULATIONS, INDUSTRIAL FACILITIES, AND
MARIJUANA DELIVERIES
Recommendation: Approve and Authorize Sending a Letter to the
City of El Monte and Provide Direction Regarding Bureau of
Cannabis Control Regulations
SUMMARY
At the February 5, 2019, City Council Meeting, Council Member Chandler requested
support from the City Council to send a letter on behalf of the City of Arcadia to the City
of El Monte regarding their recent decision to allow industrial-level marijuana growing
facilities in the City of El Monte. This request was concurred by Counci l Members Beck
and Amundson. In addition, Mayor Tay requested that the City Council discuss recently-
adopted Bureau of Cannabis Control (the “Bureau”) regulations regarding the delivery of
marijuana in all communities, regardless of whether they have individually banned such
activities under Proposition 64. This request was concurred by Council Members
Chandler and Amundson. Therefore, it is recommended that the City Council approve
the draft letter, authorize the Mayor to submit it on behalf of the City, and provide
direction to staff regarding Bureau of Cannabis Control regulations relating to marijuana
deliveries in Arcadia.
DISCUSSION
The City of El Monte recently approved a 71,000 square foot industrial marijuana grow
facility located at 4400 Temple City Blvd. in El Monte, directly adjacent to the corporate
boundaries of the Cities of Temple City and Rosemead. The approved facility is near
several residential neighborhoods and residents from neighboring cities – including
Arcadia – have expressed concern that the environmental impacts to surrounding
communities were not taken into consideration by the City of El Monte during the
approval process. In addition, there are at least 10 more marijuana facilities in various
Letter to City of El Monte Regarding Industrial Marijuana
Facilities and Discussion on Bureau of Cannabis Control Regulations
March 5, 2019
Page 2 of 2
stages of approval in the City of El Monte’s development review process, with the City’s
stated goal of being an economic center of marijuana growing in the San Gabriel Valley.
While Arcadia has a strong history of supporting local control and self-rule, residents
fear that the proposed concentration of industrial marijuana uses may negatively impact
the quality of life in Arcadia and have asked the City to intervene. Other cities have
expressed similar concerns that the City of El Monte has not conducted a thorough
impact analysis and necessary environmental reviews to ensure that surrounding
communities are not adversely impacted by marijuana cultivation on an industrial scale.
In fact, the Cities of Temple City and Rosemead have filed a lawsuit over the matter. Of
particular concern are issues related to security, waste disposal, fumes, and the proper
storage, use, and clean-up of hazardous materials associated with the growing process.
While it is possible for the City to join into the lawsuit, the potential impacts to Arcadia
are not as evident as the other communities; therefore, the cost of participating in such
an action would not be warranted. If the City Council would like to express its concerns,
a better course of action would be to submit a letter to the City of El Monte. The draft
letter (Attachment 1) has been drafted to outline the potential issues that have been
identified by residents, Council Members, and City staff.
Under powers and authorities granted to cities under Proposition 64, the City of Arcadia
has banned commercial and industrial marijuana uses within its corporate limits,
including the prohibition of deliveries and mobile vending . While Proposition 64
specifically allowed cities to enact such bans, recent Bureau of Cannabis Control
regulations allow state-licensed marijuana businesses to deliver anywhere in California
regardless of local preference. The regulations violate the City’s ordinance in addition to
undermining our local control. A growing number of cities are suing the state under the
premise that the recently-adopted regulations violate the local control provisions
included in Proposition 64. The Cities of Sonora and Newman have already filed
lawsuits and other cities are considering joining or filing separate lawsuits under a
similar premise. Recently, the League of CA Cities voted to support the lawsuits. While
enforcement of marijuana delivery bans is difficult at best, the City should nevertheless
protect its right to local control and to decide what is appropriate business to conduct
within the City boundaries. Should the City Council wish to pursue a lawsuit in this
matter, joining into a large scale effort with many communities sharing costs woul d be
preferable to attempting to go alone. The cost of such a joint effort is unknown at this
time, but an individual lawsuit could quickly reach into the hundreds of thousands of
dollars. It is requested that the City Council provide direction on this issue.
ENVIRONMENTAL ANALYSIS
The proposed action does not constitute a project under the California Environmental
Quality Act (“CEQA”), and it can be seen with certainty that it will have no impact on the
environment. Thus, this matter is exempt under CEQA.
Letter to City of El Monte Regarding Industrial Marijuana
Facilities and Discussion on Bureau of Cannabis Control Regulations
March 5, 2019
Page 2 of 2
FISCAL IMPACT
There is no impact to the General Fund for sending a letter to El Monte. Any individual
lawsuit on either of these matters could have significant cost implications. A joint lawsuit
with many cities statewide regarding cannabis deliveries would have unknown costs at
this time, but most likely would be in the low tens of thousands of dollars.
RECOMMENDATION
It is recommended the City Council approve the draft letter to the City of El Monte, and
authorize the Mayor to submit it on behalf of the City, and provide direction to staff
regarding Bureau of Cannabis Control regulations relating to marijuana deliveries in
Arcadia.
Attachment: Draft Letter to the City of El Monte
March 5, 2019
Mayor Andre Quintero
City of El Monte
11333 Valley Boulevard
El Monte, CA 91731
Re: Industrial Marijuana Facilities
Dear Mayor Quintero,
On behalf of the Arcadia City Council and the City of Arcadia, we are writing
to express our concern regarding the City of El Monte’s decision to approve
industrial-level marijuana grow facilities adjacent to residential
neighborhoods. Particularly, we are also concerned about the impacts that
approved and future industrial marijuana uses may have on the City of
Arcadia.
The proposed concentration of industrial marijuana uses may negatively
impact the quality of life in Arcadia, and we encourage the City of El Monte to
conduct a thorough impact analysis and necessary environmental reviews to
ensure that Arcadians are not affected by these developments. Among the
many issues associated with industrial-level marijuana grow facilities include
security, waste disposal, fumes, and the proper storage, use, and clean-up of
hazardous materials associated with the growing process. These impacts
could expand exponentially with multiple facilities in a concentrated area;
therefore, cumulative impacts should be thoroughly considered as part of this
environmental review.
While the City of Arcadia has prohibited all commercial and industrial
marijuana uses within Arcadia’s corporate limits, we do understand and
respect the right of each community to exercise local control and self-rule.
However, in the spirit of cooperation, we would encourage the El Monte City
Council to take into consideration the impacts your decisions have on
surrounding communities who do not share El Monte’s vision related to this
particular issue.
We value the long-standing friendship between our respective communities
where, we have partnered together to address difficult challenges. As such,
we appreciate the opportunity to address our concerns regarding this
important issue to our community.
Sincerely,
Sho Tay
Mayor