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Home My Public Portal About15 Interim Urgency Ordinance Establishing Moratorium on Establishment or Expansion of Cannabis Businesses Pursuant to Government Code Section 65858 TOWN OF TRUCKEE California ORDINANCE 2017-15 AN INTERIM URGENCY ORDINANCE ESTABLISHING A MORATORIUM ON THE ESTABLISHMENT OR EXPANSION OF CANNABIS BUSINESSES PURSUANT TO GOVERNMENT CODE SECTION 65858 WHEREAS;the voters of the State of California approved Proposition 215, entitled the Compassionate Use Act of 1996, the intent of which was to enable persons in need of marijuana (also known as cannabis) for medicinal purposes to obtain and use it under limited, specified circumstances; and WHEREAS; in 2015 the California Legislature adopted a series of laws collectively comprising the Medical Cannabis Regulation and Safety Act (MCRSA), establishing a framework for the licensure and regulation of medicinal cannabis; and WHEREAS; Proposition 64, also known as the Adult Use of Cannabis Act (AUMA), was approved by the voters on November 8, 2016. As a result, it is no longer illegal under state law, regardless of medical purposes, to: (1) possess, process, transport, purchase, obtain, or give away certain amounts of cannabis or concentrated cannabis, including as contained in cannabis products, to those 21 years old or older; (2) possess, plant, cultivate, harvest, dry, or process not more than six living plants and the cannabis produced by those plants; (3) smoke or ingest cannabis or cannabis products; and (4) possess, transport, purchase, obtain, use, manufacture, or give away cannabis accessories without compensation to those 21 years old or older; and WHEREAS; to regulate the commercial adult-use cannabis industry, the AUMA added Division 10 to the California Business and Professions Code, establishing state licensing requirements for commercial cannabis activity, defined as the cultivation, possession, manufacture, distribution, processing, storing, laboratory testing, labeling, transportation, delivery, -or sale of cannabis and cannabis products, regardless of medical purposes and granting state agencies the "exclusive authority to create, issue, renew, discipline, suspend, or revoke" licenses for businesses including the transportation, storage, distribution, sale, cultivation, manufacturing, and testing of cannabis, except as otherwise authorized. The AUMA states that these state agencies shall create the rules and regulations relating to these activities and begin issuing licenses by January 1, 2018; and WHEREAS; the AUMA allows local governments authority to prohibit or regulate commercial cannabis activities and subject the commercial cannabis activities to zoning and permitting requirements; and WHEREAS, in June 2017 the California Legislature adopted the Medicinal and Adult- Use Cannabis Regulation and Safety Act (MAUCRSA), which repealed MCRSA and further developed the state's regulatory framework for both medicinal and adult-use cannabis while ' preserving the authority of cities and counties to determine whether and how to allow medicinal and adult-use cannabis businesses, commercial cultivation and sales to occur within their jurisdictions; and Ordinance 2017-15 Page 2 WHEREAS, the Town of Truckee currently prohibits the production and sale of cannabis for medicinal purposes through the Town of Truckee Municipal Code (Title 18, Truckee Development Code), but does not have explicit land use, zoning, and permitting requirements or prohibitions in place regarding commercial cannabis activities; and WHEREAS, the California Attorney General's August 2008 Guidelines for the Security and Non-Diversion of Cannabis Grown for Medical Use recognizes that cannabis 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, if the State of California begins issuing licenses for commercial adult-use cannabis activities prior to the Town adopting appropriate land use, zoning, and public safety regulations, negative effects on the public health, safety, and welfare would likely occur as a result of commercial adult-use cannabis activities near schools, parks, residential zones, and other sensitive receptors; and WHEREAS, based on the findings herein, the state legalization of commercial cannabis activities in the Town without regulation poses a current and immediate threat to the public health, safety, and welfare in the Town due to the negative land use and public safety impacts of such unregulated uses; and WHEREAS, it is in the interest of the Town and its residents that the Town undertake a review to consider zoning, land use, and public safety measures to prohibit or regulate commercial cannabis activities and to establish how existing and future adult-use and medicinal cannabis-related land uses should be regulated in light of the regulation of commercial cannabis activities; and WHEREAS, California Government Code Section 65858 expressly authorizes the Town Council to adopt by four-fifths (4/5) vote, without following the procedures otherwise required for the adoption of a zoning ordinance, an urgency ordinance that would go into effect immediately following its passage, which is necessary for the immediate protection of the public health, safety, and welfare; and WHEREAS, the Town of Truckee previously adopted an interim urgency ordinance pursuant to Government Code section 65858 prohibiting the operation of medicinal cannabis dispensaries, which ordinance was adopted on May 5, 2005, was extended to April 2, 2006 and subsequently expired as provided by law; and WHEREAS, in January 2008, the Community Development Director established a Director's determination that cannabis dispensaries are not a "similar use" to any use in the Development Code; and WHEREAS, in November 2015, the Town Council decided to maintain the current Town practice of prohibiting medicinal dispensaries and also determined that cannabis delivery services are prohibited; and WHEREAS, Government Code Section 65858(f) permits the Town of Truckee, following termination of a previous interim urgency ordinance, to adopt another interim urgency ordinance to protect the public safety, health, and welfare from an event, occurrence or set of circumstances different from the event, occurrence or set of circumstances that led to the adoption of the prior interim urgency ordinance; and Ordinance 2017-15 Page 3 ' WHEREAS, following the Town Council's determination that medicinal dispensaries are prohibited, the passage of MCRSA, AUMA, and MAUCRSA has completely changed the treatment of medicinal and adult-use cannabis under state law, and created numerous new issues for the Town to consider in deciding how to regulate medicinal and adult-use cannabis, thus satisfying the requirement of Government Code Section 65858(f); and WHEREAS, the Town of Truckee wishes to study its options for regulating the establishment and operation of adult-use and medicinal cannabis businesses, land uses, or operations, and wishes to adopt an interim ordinance prohibiting: (i) the operation of adult-use and medicinal cannabis businesses in Truckee; (ii) the operation of adult-use and medicinal cannabis businesses, land uses, dispensaries, cooperatives, or facilities not currently operating in Truckee; and (iii) the establishment as a legal use or activity of adult-use and medicinal cannabis businesses, land uses, dispensaries, cooperatives, or facilities currently operating in Truckee, while the Town studies its options for the regulation of such establishments; and WHEREAS, the Town Council intends to keep this urgency ordinance in effect only until the adoption of an ordinance that establishes a comprehensive policy as it relates to commercial adult-use and medicinal cannabis activities; and WHEREAS, the Town Council also intends for the Town to immediately begin work to consider and study a comprehensive policy regarding commercial adult-use and medicinal cannabis activities and enact a policy as soon as possible; and The Town Council of the Town of Truckee Does Ordain as Follows: Section 1. The recitals above are incorporated herein. Section 2. The Town Council hereby finds, determines, and declares that this urgency ordinance establishing a temporary moratorium as set forth below and adopted pursuant to California Government Code 65858 is necessary because: A. Certain provisions of AUMA became effective immediately on November 9, 2016, and the AUMA directs the State of California to start issuing licenses for adult-use cannabis- related businesses by January 1, 2018 or sooner. As stated in the recitals, if the State of California begins issuing licenses for commercial adult-use and medicinal cannabis activities prior to the Town adopting appropriate land use, zoning, and public safety regulations, negative effects on the public health, safety, and welfare would likely occur as a result of commercial adult-use and medicinal cannabis activities near schools, parks, residential zones, and other sensitive receptors. The AUMA allows local governments to prohibit or reasonably regulate certain activities thereunder. B. The Town of Truckee does not currently have explicit land use, zoning, and permitting requirements in place governing activities relating to commercial cannabis activities. C. The Town needs time to consider, review, and enact a comprehensive policy relating to commercial cannabis activities, and therefore, it is necessary to suspend any establishment of adult-use and medicinal cannabis activities, or the establishment as a legal use or activity of existing medicinal cannabis activities, as such uses may be in conflict with the development standards and implementation regulations that the Town will ultimately impose after the Town has considered and studied the issue, which shall be accomplished in an expedited fashion. Ordinance 2017-15 Page 4 D. A temporary moratorium will provide the Town with time to study commercial cannabis activities and potential impacts such land uses may have on the public health, safety, and welfare. E. A temporary moratorium will also provide clarity and consistency that the Town will not allow the establishment of commercial adult-use and medicinal cannabis activities until the Town has established a comprehensive policy regulating such operations and the State of California begins issuing licenses for such operations. F. There is a current and immediate threat to the public health, safety, and welfare of the Town and its residents, thereby necessitating the immediate enactment of this moratorium as an urgency ordinance in order to ensure commercial cannabis activities are prohibited in the Town until a comprehensive policy is adopted. Imposition of a moratorium will allow the Town sufficient time to conclude the preparation and enactment of a comprehensive ordinance for the regulation commercial cannabis activities. Section 3. The following are prohibited pursuant to this ordinance, so long as this ordinance and any extensions are in effect, provided that italicized terms shall be interpreted in accordance with their definitions in the AUMA as amended by the MAUCRSA: (i) Commercial cannabis activities, defined as the cultivation, possession, manufacture, distribution, processing, storing, labeling, transportation, delivery, or sale of cannabis, cannabis products, and cannabis accessories; and (ii) the cultivation, possession, manufacture, distribution, processing, storing, labeling, transportation, delivery, or sale of medicinal cannabis. Section 4. The Town Council hereby enacts this interim urgency ordinance by not less than a four-fifths vote, and in light of the findings set forth herein, under the authority granted to it by Article XI, Section 7 of the California Constitution and Section 65858(a) of the California Government Code, which allows the Town to adopt an interim urgency ordinance, in order to protect the public safety, health, and welfare, prohibiting any uses that may be in conflict with a zoning proposal that the Town Council, planning commission or the planning department is considering or studying or intends to study within a reasonable time. Section 5. The Town Council hereby directs the Community Development Department to consider and study possible means of regulating adult-use and medicinal cannabis delivery services, including zoning-based regulations and other regulations. Section 6. The Town Council finds that this ordinance is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Section 7. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the ordinance which can be given effect without the invalid provision or application, and to this end the provisions of this ordinance are severable. The Town Council hereby declares that it would have adopted this ordinance irrespective of the invalidity of any particular portion thereof. Ordinance 2017-15 Page 5 Section 8. This ordinance shall become effective immediately upon adoption and shall be in Ieffect for forty-five days from the date of adoption unless extended by the Town Council as provided for in Government Code Section 65858. Section 9. Posting and Publications: The Town Clerk is hereby directed to publish this ordinance in accordance with the law. . . . . . The foregoing ordinance was introduced at a regular meeting of the Truckee Town Council held on the 28th day of November, 2017 and adopted at a regular meeting of the Truckee Town Council, on the 28th day of November, 2017; Vice Mayor Wallace Dee moved for the adoption, the motion was seconded by Council Member Tirman, and was carried by the following vote: AYES: Council Member Tirman, Council Member Flora, Vice Mayor Wallace Dee, and Mayor Goodwin. NOES: none. ABSENT: Council Member Abrams. /.'r• .%�o• in, Mayor ATTEST: APPR VED AS TO FORM: /11 dll -a .._.S. ! ---- Afritth Ju.y • ice, M ; ,Town Clerk Andy Morris, Town Attorney I