HomeMy Public PortalAbout11) 8A First Reading of Ordinance 17-1025 amending TCMC Pertaining to Marijuana Uses and ActivitiesAGENDA
ITEM 8.A.
COMMUNITY DEVELOPMENT DEPARTMENT
MEMORANDUM
DATE: August 1, 2017
TO: The Honorable City Council
FROM: Bryan Cook, City Manager
Via : Michael D. Forbes , Community Development Director
Scott Reimers , Planning Manager
By : Adam Gulick , Associate Planner
SUBJECT: INTRODUCTION AND FIRST READING OF ORDINANCE NO. 17-1025
AMENDING AND RESTATING ARTICLE T (SPECIAL USES) OF
CHAPTER 1 (ZONING CODE) OF TITLE 9 OF THE TEMPLE CITY
MUNICIPAL CODE PERTAINING TO THE REGULATION OF MARIJUANA
USES AND ACTIVITIES
RECOMMENDATION:
The City C o uncil is requested to :
1. Introduce for first reading by title only and waive further reading of Ord i nance No .
17-1025 (Attachment "A "), amending and restating Article T (special uses) of
Chapter 1 (Zoning Code) of Title 9 of the Temple City Municipal Code (TCMC)
pertaining to the regulat ion of marijuana uses and activities ; and
2. Schedule the second reading of Ordinance No . 17-1025 for August 15 , 2017 .
BACKGROUND:
1. In 2011 , the City Council adopted Ordinan ce No . 11 -942 to prohibit fixed and mobile
medical marijuana dispensaries throughout the City. The Zoning Code defines
medical marijuana dispensaries broadly as any facility where medicinal marijuana is
distributed in accordance with the Compassionate Use A ct approved by California
voters in 1996 and the Medical Marijuana Program Act passed by the leg islature and
signed by the governor in 2003 .
City Council
August 1 , 2017
Page 2 of 4
2 . In 2015 , the California legislature passed , and Governor Brown signed , the Medical
Marijuana Regulation and Safety Act (MMRSA), comprised of Assembly Bills 243
and 266 , and Senate Bill 643 . The MMRSA created a broad state regulatory and
licensing system governing the cultivation , testing , and distribution of medical
marijuana ; the manufacturing of mariJUana products ; and physician
recommendations for medical marijuana .
3 . On January 19 , 2016 , the City Council adopted Ordinance No . 16-1008 to prohibit
marijuana cultivation facilities , commercial cannabis activities, and medical
marijuana deliveries, as authorized under the MMRSA.
4 . On June 28 , 2016 , the California Secretary of State certified Proposition 64 , the Adult
Use of Marijuana Act (AUMA), for the November 8 , 2016 , ballot. While the state law
in effect at the time allowed marijuana use only for medical purposes , the AUMA
would legalize the recreational use of marijuana . The AUMA would also establish a
regulatory system for recreational marijuana similar to the system established under
the MMRSA for medical marijuana .
5 . On November 1, 2016 , in anticipation of the AUMA passing , the City Council adopted
Urgency Ordinance No . 16-1 017U prohibiting the cultivation , processing ,
manufacturing, laboratory testing, labeling , storing, and wholesale and retail
distribution of cannabis.
6 . On November 8 , 2016 , California voters approved Proposition 64 -the AUMA. The
passing of the AUMA legalized the recreational use of nonmedical marijuana by
persons 21 years of age and over, and the personal cultivation of up to s ix marijuana
plants per household . Proposition 64 also established regulatory and taxing
schemes for commercial nonmedical marijuana facilities and activities (cultivation ,
processing , manufacturing , laboratory testing , labeling , storing , and wholesale and
retail distribution).
7 . On December 6 , 2016 , the City Council adopted Urgency Ordinance No . 16-1018U
extending for an additional 10 months and 15 days the moratorium prohibiting the
cultivation, processing , manufacturing , laboratory testing , labeling , storing , and
wholesale and retail distribution of cannabis , to provide staff and the City Attorney's
office additional time to develop permanent regulations for City Council
consideration .
8. On July 11 , 2017 , the Planning Commission held a noticed public hearing to discuss
the proposed ordinance . The Planning Commission unanimously recommended that
the City Council adopt Ordinance No . 17-1025 (Attachment "A ").
9. On July 20 , 2017, the notice of the public hearing for the ordinance was published
in the newspaper.
City Council
August 1, 2017
Page 3 of 4
ANALYSIS:
It is anticipated that beginning January 1, 2018 , various state agencies (Department of
Consumer Affairs, the Department of Food and Agriculture, and the Department of Public
Health) will begin issuing licenses for commercial marijuana uses and activities , including
cultivation and distribution . The various state agencies will issue a license to a commercial
marijuana operator unless a local jurisdiction specifically prohibits the specific marijuana
use or activity. Therefore, it is imperative that the City modify the TCMC if the City Council
intends to prohibit commercial marijuana uses and activities .
A summary (Attachment "B") of the Planning Commission staff report (Attachment "C")
includes an overview of the AUMA, discusses options for local jurisdictions , and
recommended changes to the TCMC to comply with the AUMA. The proposed ord inance
(Attachment "A ") modifies Section 9-1T-7 of the TCMC , which currently only addresses
medical marijuana, as follows :
• Modifying the title to include all marijuana uses and activities ;
• Updating definitions of terms to align with the definitions provided within State law ;
• Prohibiting all commercial marijuana uses and activities ;
• Prohibiting personal outdoor marijuana cultivation ; and
• Establishing standards for indoor personal marijuana cultivation .
The City has taken a conservative approach by prohibiting all medical marijuana uses
and activities in recent years. The proposed ordinance would extend these prohibitions
to recreational marijuana uses and activities , to the extent allowed under State law. As
cited in the proposed ordinance and previously adopted ordinances, certain uses and
activities related to medical and recreational marijuana have been shown to pose
significant threats to the public health, safety , and welfare due to increased criminal
activity, use of hazardous materials , fire hazards , offensive odors , and other public safety
and nuisance issues.
The Planning Commission considered the proposed ordinance at a public hearing on July
11, 2017 , and recommended that the City Council adopt the ordinance as proposed by
staff and the City Attorney's office. During the deliberation , two Planning Commissioners
inquired about the grant programs authorized by Proposition 64 and whether Temple City
would be losing any potential grant revenue by prohibiting outdoor personal cultivation.
While Proposition 64 establishes various grant programs , the grants may be used for
specific limited purposes , primarily related to substance abuse education and treatment,
drug enforcement, and other such programs . It is also not clear at this time whether
Temple City would be eligible to compete for the grants, whether or not outdoor cultivation
is allowed .
------------------.~-------------------------------
~-------------
City Council
August 1, 2017
Page 4 of 4
STRATEGIC GOALS:
The ordinance furthers the City Strategic Goals of Good Governance , Public Hea lth and
Safety , and Quality of Life . The ordinance is necessary to comp ly with the AUMA that
allows local jurisdictions to prohibit marijuana uses and activities , and to establish
regulations for personal indoor marijuana cultivation .
FISCAL IMPACT:
Adopting the ordinance would not have any impact on the Fiscal Year 2017-18 City
Budget.
ATTACHMENT:
A. Ordinance No . 17-1025
B. Summary of the Planning Commission staff report
C. July 11 , 2017 Planning Commission staff report and attachments
ATTACHMENT A
ORDINANCE NO. 17-1025
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF TEMPLE CITY, CALIFORNIA , AMENDING AND
RESTATING SECTION 9-1T-7 OF THE ZONING CODE
OF TEMPLE CITY PERTAINING TO THE REGULATION
OF MARIJUANA.
A. WHEREAS, on November 8 , 2016, California voters approved Propos ition 64 , the
Contro l, Regulate , and Tax Adult Use of Marijuana Act ("AUMA"). The AUMA makes
it lawful for individua ls 21 years of age and older to possess , process , transport ,
purchase , obtain , or give away without any compensation , to persons 21 years of
age or older, up to 28 .5 grams of marijuana , or up to eight grams of marij uana in the
form of concentrated marijuana contained in marijuana products . The AUMA also
makes it lawful for i ndividuals 21 years of age and older to possess , plant, cultivate ,
harvest, dry , or process not more than si x living marijuana plants and possess the
marijuana produced by the plants . Further, the AUMA make s it lawful for ind ividuals
21 years of age and older to smoke or ingest marijuana or marijuana products .
Portions of the AUMA took effect the day after the election , specifically recreational
use by adults and cultivation in private res idences ; and
B. WHEREAS , the AUMA al lows local governments to prohibit all marijuana uses and
activities , and allow citi e s to reasonably regulate indoor cultivation and prohibit
outdoor cultivation ; and
C. WHEREAS, to regulate commercial use of marijuana , the AUMA would add Division
10 (Marijuana) to the Bus iness & Profess ions Code , which grants state agencies
"the e xclusive authority to create , issue , renew, discipline , suspend , or revoke "
licenses for businesses including the transportation , storage , distribution , sale,
cultivation , manufacturing , and testing of marijuana ; and
D. WHEREAS, the AUMA provides that the above state agencies shall promulgate
rules and regulations and shall begin issuing licenses under Division 10 by January
1,2018 ; and
E. WHEREAS, the AUMA states that a local jurisd iction shall not prevent transportation
of marijuana or marijuana products on publ ic roads by a license transporting
marijuana or marijuana products in compliance with Division 1 0 ; and
F . WHEREAS, absent appropriate local regulat ion authorized by the AUMA , state
regulations will control ; and
G . WHEREAS, the AUMA does not confer a land use right or the right to create or
maintain a pub lic nuisance; and
Ordinance No. 17-1025
Page 2 of 4
H . WHEREAS, manufacturing of marijuana products can involve the use of chem icals
and solvents , and as a result, the manufacture of hash oi l concentrate , often added
to edibles, drink, and liquids , carries a significant risk of exp losion due to the
distillation process utilized to extract tetrahydrocannabino l. Maj or burn treatment
centers at two hospitals in Northern Cal ifornia reported in 2015 that nea rly 10
percent of severe burn cases were attributed to butane hash oil explosions , which
was more than burn cases from car accidents and house fires combined ; and
I. WHEREAS, several California cities have experienced negative secondary effects
and adverse impacts of marijuana processing and distribution uses , including
offensive odors, illegal sales and distribution of marijuana , trespassing , theft , violent
robberies and attempted robberies , and fire hazards ; and
J . WHEREAS, the California Attorney General 's 2008 Guidelines for Security and Non-
Diversion of Marijuana Grown for Medical Use points out that marijuana cultivation
or other concentrations of marijuana in any location or premises without adequate
security increases the risk that surrounding homes or businesses may be negatively
impacted by nuisance activity , such as loitering or crime ; and
K . WHEREAS, until and unless the California Department of Food and Agriculture
establishes a track and trace program for reporting the movement of marijuana items
through the distribution chain , as mandated by California Business and Professions
Code Section 19335, the risk of crime from theft and burglary attendant to
manufacturing and distribution facilities is significant. Until traceab le , stolen product
w i ll have street value for sale to minors ; and
L. WHEREAS, under the Federal Controlled Substances Act, the use, possession , and
cultivation of marijuana are unlawful and subject to federal prosecution without
regard to a claimed medical need ; and
M . WHEREAS, the City Council finds there is a threat to the health , safety, and welfare
of City residents arising from the risks associated with the cu lt ivation , pro cessing,
manufacturing , laboratory testing , labeling , storing , and wholesale and retail
distribution of marijuana . Citywide prohibition of all commercial marijuana act ivities ,
from cultivation to point of sale , is proper and necessary to avoid the risks of criminal
activity , degradation of the natural environment, and malodorous sme ll s that may
result from such activ ities ; and
N . WHEREAS, the City has an overriding interest in planning and regulating the use of
property within the City. Implicit in any plan or regulation is the City's i nterest in
maintaining the quality of life and the character of the City's neighborhoods. W ithout
stable , well-planned neighborhoods , areas of the City can quickly deteriorate , with
tragic consequences to social , environmental , and economic values ; and
Ordinance No . 17-1025
Page 3 of 4
THE CITY COUNCIL OF THE CITY OF TEMPLE CITY HEREBY ORDAINS AS
FOLLOWS:
SECTION 1. Environmental Review. The City 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 , Chapte r 3, because it has no potential for resulting in physical change to the
environment, directly or indirectly; rather it prevents changes in the environment
pending the completion of the contemplated study and review. Where it can be seen
with certainty that there is no possibility that the activity may have a significant effect on
the environment, the activity is not subject to CEQA.
SECTION 2. Amendment to Section 9-1T-7. Section 9 -1T-7 is amended and
restated as set forth in Exhib it "1 ".
SECTION 3. Publication. The City Clerk is directed to cause this ordinance to
be posted or published in the manner required by law.
SECTION 4. Severability. If any section , subsection , sentence , clause , or
phrase of this ordinance is for any reason held to be invalid or unconstitutional by a
decis ion of any court of competent jurisdiction , such decision will not affect the validity
of the remaining portions of this ordinance . The City Council hereby declares that it
would have passed this ordinance and each and every section , subsection , sentence ,
clause , or phrase not declared invalid or unconstitutional without regard to whether any
portion of the ordinance would be subsequently declared invalid or unconstitutional.
SECTION 5. Effective Date and Duration. The City Clerk shall certify to the
passage and adoption of this ordinance and to it s approval by the Mayor and shall
cause the same to be publ ishe d according to law .
SECTION 6. Certification. The City Clerk shall certify to the passage and
adoption of this ordinance and to its approval by the Mayor and shall cause the same to
be published according to law .
PASSED, APPROVED , AND ADOPTED this 15th day of August , 2017 .
Cynthia Sternquist , Mayor
Ordinance No . 17-1025
Page 4 of 4
ATIEST:
Peggy Kuo , City Clerk
APPROVED AS TO FORM :
Eric S. Vail , City Attorney
I, Peggy Kuo , City Clerk of the City of Temp le City , hereby certify that the forego ing
Ordinance No . 17-1025 was introduced at the regular meeting of the City Council of the
City of Temple City held on th e 1st day of Augus t , 2017 , and was duly passed , approved
and adopted by said Council at the regular me eting held on 15th day of August, 2 017 by
the following vote :
A YES : Councilmember-
NOES : Councilmembe r-
ABSENT: Councilmembe r -
ABSTAIN : Councilmember-
Peggy Kuo , City Clerk
.-----------~--~-------
EXHIBIT "1"
TITLE 9. ZONING REGULATIONS
CHAPTER 1. ZONING CODE
ARTICLE T. SPECIAL USES
9-1T-7: MARIJUANA FACILITIES AND ACTIVITIES:
A. Purpose: The purpose of this secti on is to reasonably regulate personal marijuana
cultivation on residential properties , and prohibit marijuana uses and activities (cultivation ,
processing , manufacturing , laboratory testing , labeling , storing , wholesaling and retail
distribution) in a ll commercial and industrial zones , in accordance with state law.
B . Definitions: The words , phrases , and terms used in this section shall have the following
meanings for the purposes of this section only:
ACCESSORY STRUCTURE: A detached non-habitable structure that is fully enclosed
with walls for all perimeters of the building , including , without limitation, a storage shed
located on the same legal parcel as a private residence.
COMMERCIAL MARIJUANA ACTIVITY: The cultivation , possession , manufacture ,
distribution , processing, storing , laboratory testing , labe l ing , transportation , or sale of
marijuana and marijuana products for commercia l purposes , whether or not conducted
with a license issued in accordance with Division 1 0 of the Busi ness and Professions
Code (Business and Professions Code sections 26000, et seq .).
CULTIVATE or CU LTIVATI ON : Any activity involving the planting , growing , haNesting ,
drying , curing , grading, or trimming of marijuana .
ESTABLISH or OPERATE : Means and in cludes any of the following involving marijuana :
the opening , commencement , conversion of an existing business , fac i lity , use,
estab li shment , or location , or the add iti on to any othe r existing business, facility , use ,
estab li shment or location , for marijuana purposes as set forth in this section .
LEGAL PARCEL: Any parcel of real property that may be separate ly so ld in compl iance
with the Subdivision Map Act (Government Code sections 66410 et. seq .).
MANUFACTURE: The commercial production , preparation, propagation , or compounding
of marijuana or marijuana products either directly or indirectly or by extractions and
chemical synthes is at a fixed location that packages or repackages marijuana or
marijuana products or labels or re -labels its container.
MARIJUANA: All parts of t he plant cannabis , whether growing o r not; the seeds thereof;
the resin extracted from any part of the plant ; and every compound , manufa cture , salt ,
derivative , mixture , or preparation of the plant, its seeds or resin . It includes marij uana
infused in foodstuff. It does not include the mature stalks of the plant, fiber produced from
the stalks , oil or cake made from the seeds of the plant, any other compound ,
manufacture , salt , derivative, mixture , or preparation of the mature stalks (except resin
extracted therefrom), fiber , oil , or cake, or the steril ized seeds of the plant that are
incapable of germination . Ma ri juana does not include :
1 . Industrial hemp, as defined in Health and Safety Code section 11 018 .5; or
2 . The weight of any other ingredient combined with marijuana to prepare topical or
ora l administrations, food , drink or other product. The terms marijuana and
cannabis sha ll be synonymous and have the same meaning.
MARIJUANA CULTIVATI ON FACILITY: Any business , facility , use, establishment, or
location where the cu ltiv ation of marijuana occurs .
MARIJUANA PRODUCTS : Marijuana that has undergone a process whereby the plant
material has been transformed into a concentrate , including , but not limited to ,
concentrated cannabis , or an edible or topical product containing marijuana or
concentrated cannab is and other ingredients .
MEDICAL MARIJUANA: Marijuana used for medical purposes where that medical use is
deemed appropriate and has been recommended by a physician who has determined
that the person's health would benefit from the use of marijuana in the treatment of
acquired immune deficiency syndrome ("A ID S"), anorexia , arthritis , cancer, chronic pain,
glaucoma, migraine, spasticity , or any other serious medical condition for whi ch marijuana
is deemed to provide relief as defined in subsection (h) of Health And Safety Code section
11362 .7 .
MEDICAL MARIJUANA DISPENSARY: Any business, facility , use , establishment or
location , whether fixed or mobile , where medical marijuana is made available to , delivered
to and/or distributed by or to three (3) or more of the following : a "primary caregive r", "a
qua lifi ed patient", or a person with an "identification card ", as these terms are defined in
Ca lifornia Health And Safety Code section 11362.5 and following. A "medi ca l marijuana
dispensary" does not include the following uses , as long as the location of such uses are
otherwise regulated by this co de or applicable law: a clinic licensed pursuant to chapter
1 of division 2 of the Health And Safety Code , a healthcare facility licensed pursuant to
chapter 2 of division 2 of th e Health And Safety Code , a residential care facility f or persons
with chronic life threatening illness licensed pursuant to chapter 3 .01 of divisi on 2 of the
Health And Safety Code , a residentia l 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 any such use complies strictly with applicab le law including , but not limited to,
Health And Safety Code section 11362.5 and following.
NON -MEDICAL MARIJUANA FACILITY : Any building , facility , use , establishment,
property, or location where any person or entity estab l ishes , commences, engages in ,
conducts , or carries on , or permits another person or entity to establish , comme nce ,
engage in , co nduct, or carry on , any activity that requires a state license or nonprofit
license under Business and Professions Code sections 26000 and fol lowing , including ,
but not limited to , marijuana cultivation, marijuana distribution , marijuana transportation ,
marijuana storage , manufacturing of marijuana products, marijuana processi ng , the sale
of any marijuana or marijuana products, and the operation of a marij uana microbusiness.
OUTDOOR : Any location within the City of Temple City that is not within a fully enclosed
structure . Open patio covers or partially enclosed patio covers shal l be cons idered
"ou tdoor" for the purposes of this Section .
PREMISES : A single, lega l parcel of property . Where contiguous legal parcels are under
common ownership or control , such contiguous legal parcels shall constitute a single
"premises" for purposes of this Section .
PRIVATE RESIDE NCE : A legally existing house , apartment unit , mobile home , or other
similar dwelling . A legally existing accessory structure located on the same legal parce l
as a private residence shall be considered a part of that private residence .
RESIDENTIAL STRUCTURE : Any building or portion thereof legally exist ing which
con ta ins living facilities , in cluding prov isions for sleeping , eating , cooking and san itation
on a premises or legal parcel located within a zoning district authorizing such use and
which may be legally occupied by persons .
C . Prohibited Activities:
1. Medical marijuana dispensaries and non -medical marijuana facilities are prohibited
in all zones in the city and sha ll not be established or operated anywhere in the
city .
2 . With the exception of persona l marijuana cult ivation in a private res idence per
Section 9-1T-7(E) through Sect ion 9-1T-7(G), marijuana cultivation and marijuana
cultivation facilities are prohibited in all zones in the city and shall not be
established or operated anywhere in the city .
3. Commercia l marijuana activities are prohibited in all zones in the city and shall not
be established or operated anywhere in the city .
4 . No person may own , estab li sh, open , operate , conduct , o r manage any marijuana
dispensary, non-medical marijuana facility , or marijuana cultivation facility in the
city , or be the lessor of property where a marijuana dispensary , non -medical
marijuana facility, or marijuana cu ltivation facility is located. No person may
participate as an employee , contractor , agent, voluntee r , or in any manner or
capacity in any marijuana dispensary , non -medical marijuana facility, or marijuana
cultivation facility in the city .
5 . No use permit, site development permit, tentative map , parcel map , variance ,
grading perm it , building permit, building plans , zone change , business license ,
certificate of occupancy or other applicable approval will be accepted , approved or
issued for the establishment or operation of a marijuana dispensary, non-medical
marijuana facility , or marijuana cu ltivation facility.
6. No person or entity may deliver or transport marijuana from any fixed or mobile
lo cation , either inside or outside the city , to any person or location in the city , except
that a person may deliver or transport medical marijuana to a qualified patient or
person with an identification card , as th ose terms are defined in Health And Safety
Code section 11362.7 , for whom he or she is the primary caregiver within the
meaning of Health And Safety Code sections 11362.5 and 11362.7(d).
7. Nothing contained in this section shall be deemed to permit or authorize any use
or activity which is otherwise prohibited by any state or federal law.
D. Enforcement: The city may enforce this sectio n in any manner permitted by law. The
violation of this section shall be and is hereby declared to be a public nuisance and
co ntrary to the public interest and shall , at the discretion of the city, c reate a cause of
action for i njunctive relief.
E. Personal Marijuana Cultivation : Personal marijuana cultivation may only be conducted
within private residences , and in com plian ce with Section 9-1T-7(E) through Section 9-
1T-7(G), and state law.
1. It sha l l be unlawful and a public nuisan ce for any person 2 1 years of age or older
who own , lease , occupy, or have charge or possession of any private residence
within any zoning district in the City of Temple City to cu ltivate marijuana for
personal use except as provided for in Section 9-1T-7(E) through Section 9-1T-
7(G).
2. It shall be unlawful and a public nui sance for any person under 21 years of age t o
cultivate marijuana .
F . Indoor Marijuana Cultivation in a Private Residence : the following is required before
marijuana may be cultivated within a private residence.
1. Plant Limitation. Not more than a total of six l iving marijuana plants may be planted ,
cultiva t ed , harvested , dried , or processed inside a single private residence or
in side an accessory structure located on the grounds where the private residence
is located , at any one time .
2 . Residency Requirement. Any person who cu ltivate s marijuana for personal use
s hall reside full-time on the premises where the marijuana cultiva tion occurs .
3. Location and Use :
a . Primary residential structures used for marijuana cult ivation sha ll remain at
all times a residence, with lega l and functioning cook ing , sleeping , and
sanitation fa cilities , with proper ingress and egress .
b . Cultivation s hall not be permitted in rooms when it impedes the room 's
primary use , such as cooki ng of meals , s leep ing , and bat hin g .
c . Any room or a rea being converted for th e purposes of cu ltivating marijuana
sha ll rece ive planning and building app roval , and shall comply with all
applicable building , mechanical, e lectrical , p l umbing , and f ire codes .
d . Cultivation shall not occur in carpeted areas or other areas deemed
ha zardous by th e City 's Building Offi c ial.
e . Cu ltiva tion shall be limited to a cumulative area total ing up to 50 square
feet.
f . Marijuana cultivation sha ll not occur in a garage that is required by the
Zo ning Code . All required garage parking spaces must remain free and
clear of marijuana cultivation equip ment or living marijuana p lants .
g . The private resid e nce s hall not be used primari ly for marij uana cultivat ion .
h. A renter seeking to c ultivate marijuana sha ll have written co nsent f rom the
prope rty owner.
1. Personal marijuana cultivation shall no t be allowed in a residence if any of
the following activities a lso occur on the premises -ch ild care ce nter,
co mmunity care facility , daycare cen ter, youth center, group home , or any
ot her facility caring for ch il dren that do not allow the cultiva tion of marijuana
by law o r poli cy .
J. Marij uana cu ltivation l ighti ng shall not exceed a tota l of 1,200 watts for th e
cu lti va tio n area within the private residence .
k . Th e indoor use of ge ne rat ors and/or t he in door use of gas products ,
includ ing , without limitati on , carbo n dioxide (C02), butane , propane , and
natural gas s hal l be pro hibited for th e cultivation of marijuana .
I. Marijuana c ulti vation sha ll not be co nducte d in such a manner as to em it
detrimental odor o utside of th e private res id ence .
m . Marijuana cu ltivation s hall require proper ventila t ion to prevent mold
damage and to prevent marijuan a odors or parti cles from being a public
nursance .
n . Marijuana cultivation shall not be haza rd ous du e to use or storage of
mate rials , processes , and pro ducts or wastes .
o . Marijuana cultivation s hall not c rea te dust , glare , heat, noise , smoke , traffic ,
vib rati on , or other impacts deemed a public nuisance .
p. Not more th a n a total of six living mariju ana plants may be p lanted ,
cultiva ted, harvested , dried , or pro cesse d inside a si ngl e private residence
a nd /o r insid e an accessory st ru cture located on the gro un ds where the
private res id e nce is loca ted, at any one tim e.
q . Marijuana cultivation activiti es , including marijuana plan ts and equipme nt,
shall not be allowed on balconies , patios, porches , and the like .
r. Marijuana cultivation activities , i ncl uding marijuan a plants and equipment,
shall not be visible from th e public righ t -of-way , private driveway, or fire
lane .
4 . Access and Security:
a . Marijuana cultivation areas shall have an adequate mechanica l locki ng or
electron ic security system in stalled prior to marij uana cultivat ion .
b . Mariju ana cultivation areas shall remain secure at a l l times and shall not be
access ibl e to persons under 21 years of age .
c . The li ving marijuana plants and any ma riju ana produced by the p lants in
excess of 28 .5 grams sha ll be kept within th e private residence or accessory
structure located upon the premises , in a locked space , and not visib le by
normal unaided vision from a public view.
G. Outdoor Marijuana Cultivation : It sha ll be unlawful and a pub lic nuisance for any person
owning , leasing , occu pying , or having charge or possess ion of any legal parce l or
premises within any zoning district in the City of Temple City to cause , or allow such
parce l or premises to be used for, th e outdoor cultivation of marijuana or marijuana
products .
Planning Commission Staff Report Summary ATTACHMENT 8
Proposition 64, the Options for local Ordinance to modify
Adult Use of Marijuana jurisdictions pertaining the Temple City
Act (AUMA) totheAUMA Municipal Code
Individuals over 21 years of
age can posse ss, use, No change are requ ired . Temple
Personal Use or consume , purchase , obtain, Loca l jurisdictions have the City already has a section in the and transport up to 28 .5 ability to pr ohibit smoking in Possession grams of marij uana , or up a public place . Municipal Code that proh i bits
to eight grams of smoking marijuana in a public pla ce .
concentrated marijuana.
The ordinance prohibits all outdoor
marijuana cultivation . It also
establishes 18 standards for
personal indoor marijuana
cultivation . The standards for indoor
Local jurisdictions must cultivation ensure full-time
residency; cultivation cannot
Personal Individuals over 21 years of allow indoor personal interfere with residence; ensures
Marijuana age are allowed to cultivate marijuana cultivation, but cultivation is accessory to the
Cultivation
up to six marijuana plants have the ability to prohibit residence; cannot occur if the at their personal residence. outdoor personal marijuana residence operates a childcare cultivation. facility; requires building permits
and/or improvements to ensure
safety of occupants and neighbors;
and that cultivation cannot be
visible from the public right-of-way,
private driveway, or fire lane.
Allows commercial
recreational marijuana uses
and activities. Va r ious state
agencies are responsible for Local jurisdictions can Commercial commercial marijuana permit, conditionally permit, The ordinance spec if ically prohibits Recreational licenses . State agencies will or proh ib it commercia l all commercia l recreational
Marijuana Uses issue commercial marijuana recreationa l marijuana uses marijuana uses and activities.
and Activities l icense, unles s a local and activities. jurisdiction specifically
prohibits commercial
marijuana uses and
activities .
The AUMA imposes state The AUMA allows local
jurisdictions to impose Does not apply, since the ordinance
Taxation sales , excise, and existing local taxes and/or prohibits all commercial marijuana cultivation taxes on impose new taxes with voter uses and activities. recreational marijuana . approval.
ATTACHMENT C
City of Templ e City
Planning Commission
Staff Report
Ju ly 11, 2017
FILE: PL1 7-600
ADDRESS: Citywide
DESCRIPTION: A Zo ning Code Amendment pertaining to the reg u lation of marijua na
uses and ac ti vities.
APPLICANT : City of Temple City (s t aff-i nitia t ed )
PROJECT PLANNER: Adam Gulick, Associa t e Planne r
ENVIRONMENTAL REVIEW : This p roject i s exempt from the California Environmenta l Quality Act
(CEQA) purs uant to Sec t ion 15060(c)(2) (the activity will not re su lt in a
direct or reas ona bl e foreseeab l e indirect p hysical change in the
envi ron ment) and 15061(b)(3) (the ac t ivity is not a p roject as defined in
Section 15 37 8) of the CEQA Guid e li nes.
RECOMMENDATION: Adopt the attached Resolution find i ng t hat the proj ect is exempt from
CEQA and recommending that t he City Cou n cil adopt the Zoni ng Code
am en dment.
SUMMARY:
On N ovem be r 8, 2016, Ca li fornia vot ers passed Propo sit i o n 64, kn own as t he Contro l, Regulate and Tax
Adult Use of Marijuana Act ("A d ult Use of Marijuana Act" o r AUMA). This i niti ative lega l ized the
recreational use of nonmedical marijuana by pe rso ns 2 1 yea rs of age and ove r and the perso nal
cultivat ion of up to six m ar ijua na plan t s per hous eho ld. Additiona l ly, Propos itio n 64 establis hed
re g u latory and taxing sc heme s for commerci al nonmed i cal marijuana fa cilities and act iviti es (cultivatio n,
processing , manufacturing, la boratory tes ting, label ing, storing, and wholesale and ret ai l distribution). In
respo nse t o the AUMA, staff is recommend i ng an ordinance that in cludes :
• M od ifying Temp le City Municipal Code (TCMC ) Section 9-lT-7 wh ich on ly addresses medi cal
marijuan a facilit ies and activities
• Up d ating definitions of term s to al ign w ith the definitions provided within State l aw
• Proh ibiting all commerci a l marijua na f aci l iti es and activities
• Proh ibiti ng p erso nal ou t door marijua na cultivatio n
• Estab l ishing standards f or i ndoor pe rsonal marijuana cu lt ivation
The existing TCMC ca n be found o n lin e at www.templecity.us/113/Municipai-Code.
,--------------------------------~----------------------
Ju l y 11 , 2017 Plann i ng Commissi o n Meeting
Adult Use of Marijua na Ordina nce
File : PL 17-600
Commercial Uses and Activities
The AUMA lega l izes com mercia l recreational marij uana uses and act1v1 t1 es, spec ifically -cu ltiva ting,
manufact uring, distributing, t es t ing laboratori es, whol esa l ing, and retai l. However, the AUMA gives local
jurisdicti ons the ab il ity to permit, cond it i o nall y permit, or proh ibit commercial recreat i ona l marijuana
uses. The AUMA requ ire s al l commercial rec rea t ional marijuana uses an d act ivi t ies t o obtain a l icense
from the sta t e. The AU MA specifies that the state wi ll not issue a lic e nse for marij uana uses and act ivi t i es
for a bu siness located in a local jurisd i ction that spec ifically prohibits a particu l ar ma riju ana use or activ ity.
Taxation
Beginn in g Janua ry 1, 2018, the AUMA i mposes sales, excise, and cu lt ivation ta xes for nonmedical
marij uana. Th e AUMA es t abli shes a 15 perce nt St at e Ma r ijua na Ex cise Tax on gross receipts of retai l sal es
for both medical an d no nmedical marijuana. The AUMA also imposes a cu ltivatio n ta x on harvest ed
medical and no n medical mariju ana, which w ill b e $9.25 per dry weight ounce f o r flowers and $2.75 p er
d ry weight o u nce f or l eaves. M ed i cal ma r ijua na purchases by qua l ified patients and caregive rs wi l l be
exe mpt from state and l ocal sa les t ax. Th e money col lected fro m the AUMA excise taxes would go t oward s
various local progra m s, includin g: yo uth programs; subst ance ab use education, preve nt ion and t reatment;
env ironmenta l cleanup; reme diation; reduce dri ving u nder the influence ; reduce negative health impact s;
etc. Loca l jurisdi ctions t hat p rohibit co mmercial a nd in d ustri al marijuan a uses and activities are not
eligible for grants fu nd ed by t he A UMA exc ise taxes .
LOCAL REGULATORY OPTIONS:
Personal Use
The AUMA allows gove rnm ent agenc i es to prohibit possessi ng o r sm oking marij uana within buildi ngs,
owned, l eased, or o cc upied by t he govern m en t agency. The TC MC al ready co ntains the Secon dhand
Smoke Control Section (3-2C -O t hrough 3-2C -8), which prohi bits smok ing tobacco products on City
p rope rty, public areas, and enclosed co mmon areas of multi-u ni t reside ntial ho usin g complex. Although
thi s section was primarily added to address smoking t o ba cco p roduct s, t he definition of "Smoking o r To
Smoke" also i nclu des the prohibition of smokin g m arij uana. Add itional ly, the Seco nd hand Smoke Control
Sec ti o n prohibits smoking w ithin 20 fee t of t he p roperty for a publ ic or private institution of learni ng f o r
ch ildren.
Personal Cultivation
The AUMA all ows f or local j urisdictions to prohibit personal outdoor marijuana cu ltivati on on reside nt ial
properties, however, l oca l juri sd ict ions ma y not prohibit persona l ind oor marijuana cultivation. The AU MA
allows local jurisdiction s t o "reasonably regulate " in door cu ltivation, however, no spe cifics we re provided
by the AUMA. The Leag ue of California Cities provided some examples of how a ju ri sdicti on may
"reaso nab ly regul ate " in doo r cultivati on (see Attachment 4, page 9 of the Presen t ation on Proposition 64).
Loca l j urisdictions sho uld b e caut io u s w ith placing t oo ma ny regu lations that mak e it un reaso na bly
difficult or expe nsive for residen ts to cu lti va t e marijuana at t hei r private reside nce . A lawsuit was rece ntl y
f i led by the Dru g Pol i cy Al l ian ce and the Ameri ca n Civ i l Li b erties Unio n (ACL U) aga i nst th e City of Fontana
Page 3
July 11, 2017 Planning Commissi o n Meeting
Adult Use of Marijua na Ordinance
File: PL 17-600
claiming that t heir ordinance vio lates seve ral state constitutional ri ghts. In order for someone to cu ltivate
marU u ana at his or her res idence, Fontana requ ires the person to subm it an ap pli cat i on, pay the $411.12
appl i ca ti o n/permit fee, unde rgo a crim i nal background check, and have city officials inspect t hei r
prope rty. Additionally, if someone were to cultivate marijuana at their home witho ut city approva l, they
wou ld be su bject t o a misdeme anor even though t he AUMA al lows individuals over 21 yea rs of age to
cultiva te u p to six marUuana pl ants .
Commercial Uses and Activities
The AUMA allows local ju ri sdictions to regu late o r prohibit ce rtain marUua na uses and activities. Th e
AUMA also spec ifi es that a st ate li cense ca n not be issued to a commercial operati o n if it is in violation of
any loca l ordinance. The AUM A allows ci ties and co u nties to do any of the f ollowi ng:
• Ad opt standa rds, requirements, and regu l ations regard in g health and sa fety, environme ntal
protection, testi ng, security, f ood safe t y, and worker protections f or ma rij u ana relat ed businesses
and activities; and
• Pr ohibit al l marUua na-related bus in esses o utright, includi ng dispensaries, de livery services, and
any retai l serv ices.
Althoug h l oca l j u risd i ctions are able to reg u la t e or ban de li very services of recreational ma r ijua na
prod ucts wi t hin the ci t y l imits, a loca l jurisdi cti o n ca n not prohibit transpo rtati on o n publ ic roads t hroug h
t hei r commu nity. Additiona l ly, some law enforceme nt agencies in Cal ifornia have in dica t ed t hat it is nearly
i mposs i b le to effect ively e nfo rce a prohibition o n marijuana delive r ies.
Taxation
If a local jurisdiction we re t o permit or con diti o nal ly permit commerc ial recreationa l or medical marijuana
ope rat ions, the l oca l j urisdicti on 's business li cense requirement s and business lice nse t ax wo ul d apply;
t he b usiness license tax could be based on a si mi lar type of business. If a l ocal j u risd i cti on we re to impose
a business license tax, or another form of exc ise tax, specific to different t ypes of ma rij uana uses and
activities, vot er approva l would be required.
STAFF RECOMMENDATIONS :
Personal Use
No changes are recomme nd ed si nce t he Seco ndhand Smoke Co ntrol Sec t ion (TC M C 3-2C -O through 3-
2C -8) is already more rest ri ctive t ha n the AU M A regarding where marUuana may be smoked.
Personal Cultivation
Since t he AUMA specifies th at local jurisdicti ons must allow personal indoor cu ltivat io n at t heir resi dence,
t he pro posed ordinance includes st andards fo r ind oor personal marijuana cu ltivation to ensu re the hea lth
and safety of the occupants on the prem ises and neighboring properties . Be low is a summary of the
proposed sta ndards. For specific sta ndards, see Exh i bit "1", Attac hment "3".
Page 4
July 11, 20 17 Pla nning Co mmission Meeting
Adult Use of Marijuana Ordinance
File: PL 17 -600
• Full-Time Resident: To ensure that residential properties are not conve rted into commercia l
cultivation facilities, individu als must reside on th e premises full time . If an individual is renting , they
must have the property owner 's consent to grow marijuan a.
• Zoning: To ensure tha t the property remains a residence, cultivati on cannot interfere with cook ing,
sleeping, and restrooms. Detrimental odors cannot be emitted outside the resid ence. Marijuana
plants and cultivation equipment cannot be visible from a publi c right-of-way, private driveway or
fire lane . Cultivatio n cannot occur on balconies, patios, porches , and the like .
• Accessory Use(s): To ensure that the primary use of the premises is residential, cultivation is limited
to 50 square feet. Cultivation cannot occur in a garage that contains required parking. Cultivation
is not allowed if th e premise s also contains a child care facility.
• Security: To ens ure the safety of the community and prevent individuals under 21 years of age from
ac ce ssing marijua na , the cultivation areas shall be locked at all times and secured prior to
cultivation.
• Building and Safety: To ensure the safe ty of th e occupan ts of the residence and community, the
cultivator shall obtain permits for improvements to ensure compliance with the building,
mechanica l, plum bi ng, electricat and fir e codes . Cultivatio n lightin g canno t exceed 1,200 watts to
prevent circuit ove rl oad. Proper ventilation is required to prevent mold in the res id ence and minimize
odors for neighborin g properties . The cul tivator cannot use generators , gas products, and/o r other
similar temporary power sources or portable stoves. Hazardous materials, products, or waste must
be stored in a sa fe mann er.
Outdoor Cultivation
Loca l j uri sdictions ha ve the abi lity to prohi bit pers onal outdoor marij uana cu ltiva t ion at a residence . Staff
believes t hat permitting o utdoor cultivation could potentially result in public nui sances on neighboring
properti es due to strong odors from marijuana pla nts. Staff also believe s t hat ou t door marijua na
cultivat ion cou ld result i n an i ncrease i n cri me, as the odors from marijuana plan t s could attra ct crimi nals
see king t o steal marijuana f o r persona l use or to se ll on the street. Staff t heref ore recommends that
outdoor cultivatio n be proh i bited.
If t he Plan n ing Commiss io n wants to cons id er all owing perso nal outdoor marijuana cu ltivation, sta ff
recommends the following standards be in cluded in the ord inance . The se sta ndards are used by va riou s
jurisdictio ns in Cal ifo rnia t hat currentl y allow outdoor medical marijuana cultivation:
G. Outdoor Marijuana Culti vation at a Sing le -Family Residen ce or Deta ched Residential Condominium
Development: th e following requirements shall be met in order to cultivate marijuana outdoors at a sing le
family residen ce or a detached residential condominium unit.
1. Lo cation and Use:
a. Cu ltivation areas shall be located on the rear half of the property and cannot be located in
front of the primary re sidence or ac cessory structu re, whichever is closest to the front property
line.
Pag e 5
I
I
Jul y 11, 2017 Planning Commission Meeti ng
Ad u lt Use o f Marijuana O rdinance
Fil e: PL 17-600
b. Not more than a total of six living marijuana plants may be planted, cultivated, harvested,
dried , or processed inside a single private res idence and/or inside an accessory structure
located on th e grounds where the private residence is located, at any one time.
c. Cultivatio n areas shall require a minimum 10-foot setback from the rear and side property
lines.
d. Marijuana cultivation activities, including marijuana plants and equipment, shall not be
visib le from th e public right-of-way, private driveway, or fire lane.
e. The maximum height for marijuana plants shall be li mited to six feet.
2. Access and Security:
a. Cultivation areas shall have a six -foot tall solid fence enclosure with a uniform height
surrounding the culti vation area.
b. The six-foot tall solid fen ce enclosure shall be constructed with masonry, wood, or similar
materials as approved by the Community Development Director. Chain lin k or wrought iron
fencing for the screening , enclosing, or securing of cannabis cultivation areas is prohibited.
c. Marijuana cultivation areas shall be secured by lock and key or other security device that
prevents unauthorized entry.
d. Marijuana cultivation areas sha ll remain secure at all times and shall not be accessible to
persons under 21 y ears of age.
H. Ou tdoor Marijuana Cultivation at a Duplex, Multiple -Family Dwellings, or Atta ched Residen tial
Condominium Units: duplex, multiple-fam ily dwellings, or attac hed residential condominium units are
express ly prohibited from establishing outdoor marijuana cultivation for personal use. Outdoor marijuana
cultivatio n includes , but is not limited to, cultivation on bal conies, patios, common areas, and walkways.
Indoor marijuana cultivation shall be permitted if in compliance with Section 9 -1 T-7(F).
Commercial Uses and Activities
In respon se t o As sembly Bi ll s 24 3 and 266 and Senate Bill 643 that were passed in 2015, the City Cou ncil
adopted an ord inance proh i biti ng al l med ica l marijuana uses and act ivities . The City Cou nci l ci t ed that
medical marijuana dispe nsaries and cu ltivat i o n si t es pose significant threats to public health, whi ch was
su pported by va ri ous reports f rom other commun ities that had marijuana bu sinesses. Staff recommends
th e sa m e proh i bitio n on commerc ial marijuana uses and activities th at we re created by the AUMA. Staff
be lieves permitting or conditi o nal ly pe rm itting recreational commercial marijuana uses and activ ities
woul d also pose t he same threats to public hea lth and safety of ad ults and chi ldren. Addit ional ly, st aff
be lieves t here is sufficie nt evi d ence f o r an i nc rease i n neighborhood crime and sec uri ty.
Taxation
St aff is not recommendi ng to perm it o r co nditional ly permit marijuana use s and activit ies, so t he City
does not have to determin e a bu sine ss li ce nse fee or recommend new business license fee s (vote r
approva l required ) speci fi ca l ly for marijuana uses and acti vities.
Page 6
July 11, 2017 Planning Com miss i on Meeting
Adult Use of M arUuana Ordinance
File: PL 17-600
FINDINGS :
The TC M C Section 9-1 G-O provides that t he Zon i ng Code may be "amended w h en eve r t he publ ic i nterest
and necessi t y so require." There are no spec ifi c findings require d to amend the Zo ning Code or other
t itles of t he TCMC.
ENVIRONMENTAL REVIEW :
Thi s project is exempt f or the Cali f orn i a Environmental Quality Ac t (CEQA) pursuant to Section 1 5378 of
t he CEQA Guidelines.
RECOMMENDATION :
Adopt th e attached Resol ution recommend ing that the City Cou nc il adopt the p ro posed ordinance.
ATTACHMENTS :
1. Background re lating t o M arijua na in Ca l ifornia and Temp le City
2. Plann ing Com m i ss i on Resoluti on 17-25 _ PC
3. Ordinance 17 -1025
4. League of Ca liforn i a Cities Handout s (P re sen t at i o n, Frequent ly Asked Questi ons, and Arti cle)
Page 7
ATTACHMENT 1 m
BACKGROUND OF MARIJUANA LAWS IN ~~~
CALIFORNIA AND TEMPLE CI T Y
BACKGROUND RELATING TO
MARIJUANA IN CALIFORNIA AND TEMPlE CITY
1. In 1996, Californ ia voters adopted Proposition 215 , also known as the Compassi onate Use Act.
The Compassio nate Use Act exempted certain patients and their primary caregivers from
criminal liability under state law for the possess ion and cu ltivation of marijuana for medical
purposes.
2. In 2011, t he City Council adopted Ord i nance No. 11-942 to prohibit fixed and mobile medical
marijuana d ispensaries throughout the City. The Zon ing Code defines medical marijuana
dispensa ri es broad ly as any faci lity w here medicina l marijuana is distributed in acco rdance
with the Compassionate Use Act approved by Cal ifornia voters in 1996 and the Medica l
Marijuana Program Act passed by the legislature and sig ned by the governor in 2003.
3. In 2015, the Califo rni a legis lature passed , and Gove rn or Brown signed, the Medical Marijua na
Regulation and Safety Act (MMRSA), comprised of Assem b ly Bills 243 and 266, and Senate Bil l
643. The MMRSA created a broad state regulatory and licensing system governing the
cu ltivation, testi ng, and distribution of medical marUua na; th e manufacturing of marijuana
products; and p hysician recommendat ions for medical marijuan a.
4 . On January 19, 2016, the City Counc i l adopted Ordinance No. 16 -1 008 to prohibit marijua na
cultivation f acil it ies, commercial can nabis activ it i es , and medical marijua na deliveries , as
authorized u nd er the MMRSA.
5. On June 28, 2016, th e Cal ifornia Sec ret ary of Sta t e ce rtified Propos ition 64, the AUMA, for the
November 8, 2016, bal lot. Whi le the st ate l aw i n effect at t he time al l owed mariju ana use on ly
for medical purposes, the AUMA wou l d legalize the recreationa l use of marijuana. The AUMA
would al so es tablish a re gulatory sys tem for recreatio nal marijuana simi lar to the system
established under the MMRSA f or medical marijuana.
6. On November 1, 2016 , in antic ipatio n ofthe AUMA passi ng, the City Council adopted Urgency
Ordinance No. 16-1017U prohibiting the cultivat ion, process i ng , man ufa ct urin g, laboratory
testing, labeling, storing, and who lesale and retai l distrib ution of cannabis.
7. On November 8, 2016, Ca lifornia voters approved Propos it ion 64 -the AUMA. The pa ssi ng of
the AUMA legal ized th e re creat ional use of nonmedical marijuana by persons 21 years of age
and over, and the persona l cult ivation of u p to six marij uana plants househol d. Proposition 64
also estab lished regu latory and tax i ng sc hemes f or co mme rcial nonmedical marijuana facilities
and act ivities (cu lt ivation, proces si ng, ma nufacturing, l abo ratory testing , labe ling, storing , and
w holes al e and ret ai l distribution).
8. On December 6, 20 16, t he City Co u nc il adopted Urgency Ord i nance No. 16-1018U extend in g
for an add itio nal 10 months and 15 days the morat ori um prohi biti ng the cultivation,
processing, manufacturi ng, laboratory testing, label ing, stori ng , and w holesale and reta il
distribution of ca nnabi s.
9. On March 1, 2017 , the League o f Ca l iforni a Cities hosted an AUMA informat ional meeting
for cities and co unti es in Pa sa dena. The p resenters cove red the differences between t he
AUMA and the MMRSA, AUMA regu lat i ons, AUMA taxat i o n, and l ocal policy issues.
ATTACHMENT 2 m
PLANNING COMMISSION RESOLUTION~~~
City of Temple City
Resolution 17-25
File No. PL 17-600
Add ress: Citywide
PC
A RESOL UTION OF TH E PLANNIN G CO MMISS ION O F THE CITY OF TEMPLE CITY
RECOM MENDING TH AT THE CITY COU NCIL ADOPT A Z ONING CO DE
AMENDMENT AMENDI NG AND RESTATING SECTION 9-1T-7 OF THE TEMPLE CITY
MUNICIPAL CODE.
W H EREAS , pursuant to Govern m e nt Code sect i o n s 65854 and 65855, the Planning
Commission has th e authority to rev iew an d make recommendations to th e City Counci l
regarding ame ndme nts to the Ci t y's Zonin g Code; and
WHEREAS, on Jun e 29, 20 17, the City gave publi c n o ti ce by pu b li shing notice in the
Templ e City Tribune o f the holding of a publi c h ear in g at which th e amendment to the
City's Zon ing Co d e would b e co n side red; and
WHEREA S, on Jul y 11, 20 17, the Pla nn in g Co mmissio n h el d a noti ce d public
h ea r i n g at whic h interested pe rso n s had an oppo rtunity to testify in support of, or in
opposition to, th e proposed a m end ment to th e City's Zo n ing Code and at which time the
Planning Co mmission considered the prop osed amendment to the Ci ty's Zoni n g Co d e;
and
WHEREA S, the City has ana lyzed th is p ropose d zo ning co d e amendment and
determ ined that it i s no t a project w ithin the mean in g of Sec ti on 15378 of th e Ca li forn i a
Environm enta l Qua lity Act ("C EQA ") Gu i de l ines because it ha s no potentia l for r es ulting in
physical c hang e in the en vironment , e ith er di rect ly or ultimately; and
WHEREAS , in the event that thi s p roposed amendment i s found to b e a project
under CEQA, it is subject to t h e CEQA exemption contained i n CEQA Guide lines Sectio n
15061 (b)(3) because it can b e se en w ith certain t y to have n o poss ibility o f a sign if i ca nt
effect on the en v ironment; and
WHEREAS , attached as Exhibit 'T ' of Atta chment "3" is p roposed Ordinan ce No.
17 -1025.
NOW, THEREFORE, t he Plann ing Commiss i o n of the Ci t y of Templ e City does
hereby resolve as follows:
Resol ution No. 17-25_ PC
PL 17-600 , Marij uan a Ordi nance
Citywide
Page 2 of 4
SECTION 1. The Planning Commiss i o n h as cons id ered all o f the evidence submitted in t o
t he admin istrati ve record wh i ch inclu des but is not limited to:
1. Rep o rts and presentati ons of project related data and analysis prepared by the
Community Deve l opment Department; and
2. The Temp le City Municipal Co d e, General Plan , Subd ivision Map Act, and all other
applicable regu lations and codes; and
3. Public com ments, both wri t te n and ora l, received o r su bmitted at or prior to the
publ i c hearin g; and
4 . Testimony and co m me nts submitted by th e app li ca nt and representatives in both
w ri tten and ora l form at or p ri o r to the publ ic hea rin g ; and
5. All oth er re late d documents rece ived or su bm itted at or p ri o r to the public hearing.
SECTION 2. This resolution is made w ith reference to th e following prefacing fac t s as
more fully set forth i n the administrative record:
1. On July 11, 2017, th e Planning Co mmiss i on held a pub l ic hear ing to cons i der the
app lica tion.
2. Notice of the Planning Com mi ss ion public hear i ng was posted at t he Counc il
Chambers.
3. Notice of the Planning Comm i ssion publi c hearin g was published in a newspaper
of genera l circu lation at least t e n days p r ior to the hearing.
4. Notice of the public hearing sa ti sfied the noticing requireme nts set forth in
Government Code Sections 65 090 and 65091.
SECTION 3. The Plannin g Comm issio n, in light of the w hole r eco rd be fore it, includ i ng
but not lim ited to, any ev i dence (w it hin th e mea nin g of Public Resources Code Secti o ns
21080(e) and 21082.2) withi n the record or provid ed at t he pub l ic hearin g of thi s ma t ter,
hereby finds and determine s that the proposed Ordi nan ce is not a project within the
meaning of Sectio n 15378 of t h e Ca li fornia Environmenta l Quality Act ("CEQA ") Guidelines
because it has no potential for resu ltin g in p hysi cal change in th e env ironment, either
direc tl y o r ultimately. I n the event th at thi s O rdinance is found to be a project under
CEQA, it is subject to the CEQA exe m pt ion co ntaine d in CEQA Guidelines Sectio ns
Resolution No. 17 -25_ PC
PL 17-600, Marijuana Ord ina nce
Citywide
Page 3 of 4
150606(c)(2) and 15061(b)(3), beca u se it ca n be see n w ith ce rtainty to have n o possi b ility
of a signifi cant effe ct on t he env iron m ent.
SECTION 4. The Planni ng Comm i ssio n ha s reviewed th e Adult Use of Marijuana A ct
(AUMA) and h ere by re comme nd s that th e Ci t y Co uncil pro hibit all co mmerci al a nd
industri al ma r ijuana uses and ac ti viti es (cultivatio n, process in g, manufacturin g, labo rat o ry
t est in g , lab elin g, storin g, and who les a le and re tail d istributi on of m arijuan a), estab li sh
reasonable regulations for indoor mariju ana cu ltiva ti o n at a perso na l residen ce, an d
pro hi bit ou tdoor m ariju ana culti va tion at a persona l res id enc e.
SECTION 5. The propose d Ord in ance co nfo r ms wi th th e latest adopted general plan for
the City in that a prohibition aga i nst co mm ercia l an d in d ustr ial m ariju ana u ses and
activities (c ul t iva t ion, processing, ma nufactu ring, lab o rat ory tes tin g, labe lin g, sto ring,
tran sp ortatio n, and wh o lesale and re tail di stri buti o n of mar ijuan a) i n all co mme rcial and
industr ial zo nes d oes n ot co nflict wi th any all owable uses in th e land use e lement and
does n ot co nfli ct w ith any pol ic ie s o r programs in any other el eme nt of th e gene ral plan .
In addition, the prop ose d Ordinance w ill protect the pub li c health, sa fety, and welfare in
that pro hi bi tin g m arijuan a u ses and ac ti v iti es (cu ltiva tio n, process ing, manufactu ri ng,
laborato ry t es ting, labelin g, sto rin g, and wh olesa le and ret ail di stributio n of marijua na) in
all commercial and indu strial zo nes w ill prote ct th e City from the adve rse impa cts an d
negati ve seconda ry effects co nn ect ed with these activiti es.
SECTION 6. The Plannin g Com m iss io n hereby reco mm ends t hat the City Co un cil ado pt
th e prop osed O rdin a nce, which is attac h ed here t o an d in co rporated herein by ref er ence
as Exhibit ''1'' of Attachment "3".
SECTION 7. The Secre t ary shall ce rtify t o the adoption of th is Re so lution.
Planning Co mmi ss ion Cha i r
City Attorney
--------------·---
Resolution No. 17-25_ PC
PL 17-600, Marij ua na Ordinance
Ci tywide
Page 4 of 4
I h ereby ce rtify that t h e foregoing Resolut ion was adopted by the Planning
Commission o f th e Cit y of Temple City at a meeting he l d o n the llh of Ju ly, 2017, by th e
fo ll owing vot e:
YE S:
NO:
ABSENT :
ABS TAIN:
Commissioner-
Co mm iss ioner-
Co mmiss ion er-
Co mm iss ion er-
Secretary
ATTACHMENT 3 m
ORDINANCE 17-1025 Ill
ORDINANCE NO. 17-1025
AN ORDINANCE OF THE CITY CO UNCIL OF THE CITY
OF TEMPLE CITY , CALIFORNIA, AMENDING AND
RESTATING SECTION 9-1T-7 OF THE ZONING CODE
OF TEMPLE CITY PERTAINING TO THE REGULATION
OF MARIJUAN A.
A. WHEREAS, on November 8 , 2016, California voters approved Proposition 64 , the
Control , Regulate , and Tax Adult Use of Marijuana Act ("AUMA"). The AUMA makes
it lawful for individuals 21 years of age and older to possess , process , transport,
purchase , obtain, or give away without any compensation , to persons 21 years of
age or older, up to 28 .5 grams of marijuana , or up to eight grams of marijuana in the
form of concentrated marijuana contained in marijuana products. The AUMA also
makes it lawful for individuals 21 years of age and older to possess , plant, cultivate ,
harvest, dry, or process not more than six living marijuana plants and possess the
marijuana produced by the plants . Further , the AUMA makes it lawful for individuals
21 years of age and older to smoke or ingest marijuana or marijuana products .
Portions of the AUMA took effect the day after the election , specifically recreational
use by adults and c ultivation in private residences; and
B . WHEREAS, the AUMA allows local governments to prohibit all marijuana u ses and
activities, and allow cities to reasonably regulate indoor cultivation and prohibit
outdoor cultivation ; and
C. WHEREAS, to regulate commercial use of marijuana , the AUMA would add Division
10 (Marijuana) to the Business & Professions Code , which grants state agencies
"th e exclusive authority to create, issue , renew, discipline , suspend , or revoke"
licenses for businesses including the transportation , storage , distribution , sale ,
cultivation, manufacturing , and testing of marijuana; and
D. WHEREAS, the AUMA provides that the above state agencies shall promulgate
rules and regulations and s hall begin issuing licenses under Division 10 by January
1,2018 ;and
E . WHEREAS, the AUMA states that a local jurisdiction shall not prevent transportation
of marijuana or marijuana products on public roads by a license transporting
marij uana or marijuana products in compliance with Division 1 0; and
F. WHEREAS, absent appropriate local regulation authorized by the AUMA , state
regulations will control ; and
G. WHEREAS, the AUMA does not confer a land use right or the right to create or
maintain a public nuisan ce; and
,-----------~--------
O rdinanc e No. 17-1025
Page 2 of 4
H. WHEREAS, manufacturing of marijuana products can involve the use of chemicals
and solvents , and as a result, the manufacture of hash oil conce ntrate , often added
to edibles , drink , and liquids , carries a significant risk of explosion due to the
distillation process utilized to extract tetrahydrocannabinol. Major burn treatment
centers at two ho sp itals in North e rn Ca lifornia reported in 2015 that nearly 10
percent of se vere burn cases were attributed to butane hash oil explosions , which
was more than burn cases from car accidents and house fires combined ; and
I. WHEREAS, several Califo rnia cities have experien ced negative secondary effects
and adverse impacts of marijuana processing and distribution uses, including
offensive odors, illega l sa les and di stributi o n of marijuana , trespass ing , theft, violent
robberies and attempted robberies, and fire hazards ; and
J . WHEREAS, the California Attorney General's 2008 Guidelines for Security and Non -
Diversion of Marijuana Grown for Medical Use points out that marijuana c ultivation
or other concentrations of marijuana in any lo ca tion or premises without adequate
security increases th e risk that surrounding homes or businesses may be negatively
impacted by nuisan ce activity , such as loitering or crime ; and
K. WHEREAS, until and unless the California Department of Food and Agriculture
establishes a track and tra ce program for reporting the movement of marijua na items
through the distribution chain , as mandated by California Business and Professions
Co d e Section 19335 , the risk of crime from theft and burglary attendant to
manufacturing and distribution facilities is significant. Until traceable, stolen product
will have street value for sal e to minors ; and
L. WHEREAS, under th e Federa l Controlled Substances Act, the use , possession , and
cultivation of marijuana are unlawful and subject to federal prosecution without
regard to a claimed medica l need; and
M. WHEREAS, the City Council finds there is a threat to the health , safety, and welfare
of City residents aris ing from the risks associated with the cultivation, processing ,
manufacturing, laboratory t esting , labeling , storing , and whole sa le and retail
distribution of marijuana . Citywide proh ibition of all commercial marijuana activities ,
from cultivation to po int of sale , is prope r and necessa ry to avoid the risks of criminal
activity , degradation of the natural environment, and malodorous smells that may
result from such activities ; and
N . WHEREAS, the City has an overriding interest i n planning and regulating the use of
property within the City . Impl ic it in any plan or regulation is the City's in terest in
maintaining the quality of life and the character of the City's neighborhoods. Without
stable , well-planned ne ighbo rhoods , areas of the City can quickly deteriorate , with
tragic consequences to socia l, e nvironme nta l, and economic values; and
------------------------------
Ordinance No . 17-1025
Page 3 of 4
THE CITY COUNCIL OF THE CITY OF TEMPLE CITY HEREBY ORDAINS AS
FOLLOWS:
SECTION 1. Based upon information presented in the staff reports , and based
upon the public input before and during the noticed public hearing .
SECTION 2. Environmental Review. The City 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 th e 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; rather it prevents changes in the environment pending
the completion of the contemplated study and review . Where it can be seen with certainty
that there is no possibility that the activity may have a significant effect on the
environment , the activity is not subject to CEQA.
SECTION 3. Amendment to Section 9-1T-7. Section 9-1T-7 is amended and
restated as set forth in Exhibit "1".
SECTION 4. Publication. The City Clerk is directed to cause this ordinance to be
posted or published in the manner required by law .
SECTION 5. Severability. If any section , subsection , se ntence , clause , or phrase
of this ord in ance is for any reason held to be invalid or unconstitutional by a decision of
any court of competent jurisdiction, such decision will not affect the validity of the
remaining portions of this ordinance . The City Council hereby declares that it would have
passed this ordinance and each and every section , subsection , se ntence , clause , or
phrase not declared invalid or unconstitutional without regard to whether any portion of
the ordinance would be subsequently decla red invalid or unconstitutional.
SECTION 6. Effective Date and Duration. The City Clerk shal l certify to the
passage and adoption of this o rdinance and to its approval by the Mayor and shall cause
the same to be published according to law .
SECTION 7. Certification. The City Clerk shall certify to the passage and
adoption of this ord inance and to its approval by the Mayor and sha ll cause the same to
be published according to law .
--------~-----------~-~---------------------------------
O rdinan ce No . 17-1 025
Page 4 of 4
PASSED , APPROVED , AND ADOPTED this _ day of August, 2017.
Cy nthi a Sternqu ist, Mayor
ATIEST: APPROVED AS TO FORM :
Peggy Kuo , City C lerk Eric S. Vail , City Attorney
I, Peggy Kuo , C ity Clerk of the C ity of Temple City, hereby certify that the foregoing
Ord in ance No. 17-1025 was introduced a nd was duly passed , approved , and adopted at the
regular meeting of the C ity Counci l of th e City of Temple C ity held on the _ day of August,
2017 , by the following v ote:
AYES :
NOES :
ABSENT:
ABSTAIN :
Peggy Kuo , City C le rk
EXHIBIT "1"
TITLE 9. ZONING REGULATIONS
CHAPTER 1. ZONING CODE
ARTICLE T. SPECIAL USES
9-lT-7: MARIJUANA FACILITIES AND ACTIVITIES:
A . Purpo se: Th e purpo se of this sect ion is to reasonably reg ula te personal ma rijuana cultiva ti o n
on r es i den ti al prope rti es, and pro h ib it ma riju ana uses and ac tiv iti es (cultivation, processing,
m a nu fac turing, laboratory t esting, labe lin g, storing, w ho l esa ling and retail distri bution) i n a ll
commercial an d industria l zones, i n accorda nce with st ate l aw.
B. Defin itions: Th e words, phrases, and t erms used in thi s sec tion shall have th e fol l owing
meanings for the purposes of th i s sectio n on ly:
ACCESSORY STRUCTURE : A detached non -hab it ab le stru cture tha t is ful ly en clo sed with wa l ls fo r
a ll perimeters of th e building, i nclu din g, withou t li mitation, a storage she d located on the same
lega l parcel as a private resi d ence .
COMMERCIA L MARIJUANA ACTIV ITY : Th e cultivati on, possess io n, manufacture, distribution,
processing, sto rin g, laborator y testing, labeling, transportation, or sale of marijuana and
marijuana products for commerci al purposes, wheth er or not con ducted w ith a li cense issued in
acc ord ance with Divi si on 10 of th e Bus iness and Prof es sion s Code (Bu siness and Pro fess io ns Cod e
sec tion s 260 00, et se q.).
CULTI VATE or CULTIVATI ON: Any activity in volving the pl anti ng, growi ng, ha rvestin g, drying,
curing, g radi ng, or trimming of marij uana.
ESTABLISH or O PERATE : M ean s an d includes any of the following i nvo lv in g marijuana: the
opening, commencement, conversion of an existi ng bu siness, facility, use, establishment, or
l oca tion, or the addition to any other ex i sting business, faci lity, use, es tablishmen t or location,
for marijuana purposes as se t forth i n th is sec ti o n.
LEGAL PARCEL: Any parcel of rea l prope rty th at may be se parate ly so ld in comp li ance w ith the
Su bdivi sion M ap Act {Gov ernment Co de sections 66410 et. seq.).
MANUFACTURE: The comm er cial production, prepara tion, propagation, or compounding of
marij uana or marijuana produ cts either direc tly or indirect ly or by extraction s and chemical
sy nth es is at a fi xe d l ocati on that packages or repackages mariju ana or marijuana produ ct s or
l abels or r e-la bels its contain er.
MARIJU ANA: All pa rts of the pl ant ca nn a bi s, whether growing or not; the see ds thereof; the re si n
extracted from any pa rt of the pl ant; and every compo und, manufacture, salt, derivative,
mixture, or preparation of the pl ant, its seeds or res i n . It include s marijuana infused in foodstuff.
It do es not include the matu re stalks of the plant, fiber produced from the sta lks, oil or cake made
from the seeds of the p lant, any other compound, manufacture, salt, derivative, mixture, or
preparation of th e mature st alks (except resin extracted therefrom), f i ber, o i l, or ca ke , or the
steriliz ed see ds of the pl ant that are incapable of germ in atio n. Marijuana does not include :
1. Industria l hemp, as d efi ned in Hea lth and Safety Code sectio n 11018.5; or
2. Th e weight of any other ingredient comb i ned with marijuana to prepare topical or oral
administrations, food, drink or other product. The t e rm s marijua na a nd cannabis shal l be
synony mous and have the sa me meaning .
MARIJUANA CULT IVAT ION FAC ILITY: Any bu siness, facility, use, establishment, or l ocation w here
the cultivation of marijuana occurs .
MAR IJ UANA PRODUCTS : M arijuana that has undergone a process whereby the pl ant material has
been transformed into a concentrate, including, but not limited to, concentrated cannabis, or an
edible or topical product containing mari j uana or concentrated cannabis and other ingredients.
MEDICAL MARIJUANA: Marijuana used for medica l purposes where that medica l use i s deemed
appropriate a nd has been recommended by a physician who ha s determi ned th at the person 's
hea lth would benefit from the use of marijuana in the treatment of acqu i red immune deficiency
sy ndrome ("AIDS "}, anorexia, arthritis, cancer, chronic pain, glaucoma, m igraine, spa sticity, or
any other ser ious med i cal condition for which m arijuan a i s deem ed to provide rel i ef as de f ined
in subsection (h) of Hea lth And Safety Code section 11362.7.
MEDICAL MARIJUANA DISPENSARY: Any bu sine ss, facility, use, estab l ishment or location,
whether f ixe d or mobile, where medical mariju ana is made available to, de li vered to and/or
di stri buted by or to three (3} or more of the fo l lowing: a "primary caregiver", "a qua l ified patient",
or a person with an "identification card", as these terms are defined in California Health And
Safety Code section 11362.5 and fo llowing. A "medical marij uana dispensary" does not i nclude
t he following uses, as long as the location of such uses are otherwise regu l ated by this code or
app licable law: a clinic licen sed pursuant to chapte r 1 of division 2 of the Health And Safety Code,
a hea lthcare facility licensed pursuant to chapter 2 of divi sion 2 of the Hea lth And Safety Code, a
residential care faci lity for persons with chronic life threatenin g illness licensed pursuant to
chapter 3 .01 of division 2 of the Health And Safety Code, a residential care fac il ity for th e el derly
licensed pursuant to chapter 3.2 of divi si on 2 ofthe Health And Safety Code, a residential hosp ice,
or a home hea lth agency licensed pursuant to chapter 8 of divi sion 2 of the Hea lth And Safety
Code, as l ong as any such use complies strictly with applicable law including, but not limited to,
Health And Safety Code section 11362.5 and fol lowing .
NON -MEDICAL MARIJ UANA FACILITY : Any bui l din g, facility, use, establishment, property, or
location where any person or entity establishes, commences, engages in, conducts, or carries on,
or permits another person or entity to es t ablish, commence, engage in, conduct, or carry on, any
act ivity that req uires a state license o r nonprofit license under Business and Pr ofessions Code
sec ti ons 26000 a nd f o l lo w in g, including, b ut not limited to, marijuana cultivation, marijuana
distrib ution, marijuana tran sportation, m arijuana sto rage , manufacturing of marij uana products,
m arijuana processing, th e sa le of any mariju a na or marijuana products, an d the operation of a
m ar ijua na micro bu sine ss.
OUTDOOR : Any locati on within the City of Temple City that is no t w ithin a f ully enclosed
structure. Open patio covers or partially e nclo sed patio covers shall be cons i dered "outdoor" for
th e purposes of this Sect ion.
PREMI SES: A sing l e, legal parcel of property. Where cont iguous l ega l parcels are unde r common
ownership or co ntrol, such contiguous lega l parcels sha ll constitute a sing l e "prem i ses" f or
purposes of this Sect ion.
PRIV ATE RESIDE NCE: A le ga ll y existing house, apartment unit, mobile home, or other similar
dwelli ng. A lega lly ex i st ing accessory structure located on the same legal parce l as a private
residence sha ll be co nsidered a part of that private residence.
RES I DENTI A L STRUCTURE : Any building or portion th e reo f legal ly exis t i ng w hi ch contains l ivi ng
faci li t i es, including provi si ons for sleeping, eating, cook in g a nd sani t ati on o n a prem ises or lega l
parce l located with in a zoning district authorizing such use and which may be lega ll y occupied by
p e rso ns.
C. Pr ohibited Ac tiviti es:
1. Medical marijuana dispensaries a nd non-medical marijuana facilities are prohibited in all
zones in th e city and shall not be es t a bli shed or operated anywhere in the city.
2. With the exce pti on of personal m ari juana cultivation in a private residence per Section 9-
1T-7(E) an d Section 9-1T-7(F), ma rijuana cu ltivation and marijuana cultivation facilities
are prohibited in al l zones in t he city and sha ll not be es t ab l ished or ope r ated anywhere
in the city.
3. Comme rcial marijuan a ac ti v iti es a re pro h ibited in a ll zones in the ci ty and shall not be
esta bl ishe d o r op e rated anywhe re in th e city.
4. No person may own, es t abl is h, open, operate, co ndu ct , or manage a ny marijuana
dispensary, non-medica l marijuana f aci lity, o r marijua na cultivation fac ility in the city, or
be the lessor of property where a mariju ana di spensary, non -me dical ma rij uana faci l ity,
or marijuana cultivation faci lity is l ocated . No person may participate as an empl oyee,
contractor, age nt, volunteer, o r in any manner or ca pacity in any marijuana d ispensary,
non -me di ca l marij uana facility, or marijuana cultivation facility in the city.
5. No use permit, site development permit, tentative map, parcel map, vari ance, grad i ng
permit, bui l ding pe r m it, building pl ans, zone ch ange , business license, certificate of
occupancy o r other a ppl icable a pproval will be acce pted, approved or iss ued for the
establ i shm ent or operation of a m arij uana di spensa ry, no n-med i ca l marijuana faci lity, or
marijuana cu ltivation facility.
6. No person or entity may del iver o r tran spo rt marijuana f rom any fixed or mobi le location,
either ins id e or out sid e the city, to any person or location in the city, except that a person
may de l ive r or transport medica l m arijuana to a qualified patie nt or person w ith an
identifica tion card, as those terms are d efined in Hea lth And Safety Code sec t ion 11362.7,
for whom he or she is the primary caregiver w ith in the meanin g of Hea lth And Safety Code
sections 11362.5 and 11362.7(d).
7. Nothi ng con t ain ed in t hi s secti on shall be deemed t o perm it or authori ze a ny use or
activity w h ic h i s oth erwise pro h ibited by any state or federal law.
D. Enforcement: Th e city m ay enforce this section in any ma nn er pe rmitted by law. The vi ola ti on
of thi s secti on sha ll be and is hereby d eclared to be a publ ic nu isance and co ntrary to th e public
interest an d shall, at th e discretion of the city, crea t e a ca use of act ion for injuncti ve relief.
E. Per son al Marijua na Cu ltivation : Persona l m a rijuana cultivat ion m ay only be co nd ucted within
private res i dences, and in compl i ance with Section 9-1T-7(E), Section 9-1T-7(F), and state law.
1. It shall be unlawful and a pu bl ic nuisa nce f or any person 21 years of age or older w ho own,
lea se, occupy, o r have charge or po ssess i o n of any private reside nce w ithin any zo nin g
district in the City of Temp l e City to cultivate marij uana for personal use ex cept as provided
for i n Sec t io n 9-1T-7(E) and Sec tion 9-1T-7 (F).
2. It shall be un l awful and a public nuisa nce for any pe rson under 21 years of age to cu l tivate
marij uana .
F. Indoor M a rijuana Cultivation in a Private Res id e nce: the fo llow in g is re quire d befo re ma r ijuana
m ay be cultiva t ed within a priva t e r es id e nc e.
1. Plant Limitation . Not more than a tota l of six living marijuana pl ants may be p lanted,
cultivated, harves t ed, dried, o r pro cesse d i nsid e a sin g le private r es id ence or in si d e an
accessory structure located on the ground s where the private re si d ence is located, at a ny
one t i me.
2. Res id e ncy Requirem ent. Any p erso n who cu lti vates marij uana for persona l use shall
re si de full -time on the premi ses w here the marijuana cu ltiva tion occurs.
3. Location and Use:
a. Prima ry r esidential structures used for marijua na cu ltiva tion sha ll rem ai n at a ll
times a residence, with lega l an d functioni ng cook in g, sleep in g, an d sa nitation
fac ilities, w ith prop e r ing ress and egress.
b. Cu ltivation sha ll not be perm itt ed in room s when it impedes the room's primary
use, such as cooking of mea ls, sleepi ng, and bathi ng .
c. Any room or area being co nv e rted for t he purposes of cultivat in g mariju ana sha ll
rece ive pl anning and build in g approva l, an d shall comply with all a pp li cable
building, mechanica l, e lec trical, plu mbing, an d fire codes.
d. Cu ltivation shall not occur in carpeted areas or other areas deemed hazardous by
the Ci ty's Building Official.
e. Cu ltivation shall be limited to a cumulative area totaling up to 50 square feet.
f . Marijuana cu ltivation shall not occur in a garage that is required by the Zoning
Code. A ll required garage parking spaces must remain free and clear of marijuana
cultiva tion e qu ipment or li ving marijuana pl ants.
g. Any person who cultivates mariju ana for personal use shall reside full-time on the
premises where the marijuana cultivation occurs.
h. The private residence sha ll not be use d primarily for marijuana cultivation.
i. A renter seeking to cult ivate marijuana sha ll have written consent from the
property owner.
j. Persona l marijuana cu ltivati on shall not be al lowed in a residence if any of the
following activities also occur on the premises-childcare center, community care
faci lity, daycare center, youth center, group home, or any other facility caring for
children that do not allow the cultivation of marijuana by law or po licy.
k. Marijuana cultivation lighting shall not exceed a total of 1,200 watts for the
cultiva tion area within the private residence.
I. The indoor use of genera tors and/or the indoor use of gas products, including,
without limitation, carbo n dioxide (C02), butane, propane, and natural gas shal l
be prohibited for the cu ltivation of marijuana.
m. Marijuana cultivation shal l not be conducted in such a manner as to emit
detrimental odor outside of the private residence.
n. Marijuana cultivation shal l require prope r ventil ation to prevent mold damage
and to prevent marijuana odors or particles from be ing a public nuisance.
o. Marijuana cultivation sha ll not be hazardous due to use or storage of materials,
processes, and products or waste s.
p. M a ri j uana cultivation sha ll not create dust, glare, heat, noise, smoke, traffic,
vibratio n, or other impacts deemed a public nu isance.
q. Not more than a total of six li v in g marijuana pl ants may be planted, cultivated,
harvested, dried, or processed in side a single private residence and/or in side an
accesso ry structure located on the grounds where the private residence is located,
at any one time.
r. Marijua na cu ltivation activities, including marijuana plants and equipment, sha ll
not be allowed on balconies, patios, porches, and the like.
s. Marijua na cu ltivation activiti es, including marijuana plants and equipment, shal l
not be visible from the pub l ic r ight-of-way, p riv ate driveway, or fire lane.
4. Access and Sec urity:
a. M ar iju ana cul t iva t ion areas sha l l have an adequate mechani cal locking or
elect ro ni c security system in st al le d prior to marijuana cu ltivation.
b. M arijuana cu ltivati o n a r eas shall r emain sec ure at al l t i mes a n d sha l l not be
access ibl e to persons u nd er 2 1 yea r s of age.
c. Th e living marijuana pl ants a nd a ny marijuana pro du ced by t he p la nts in excess of
28 .5 gr am s sha ll be ke pt w ith in t he private residence or acces so ry structu re
loca t ed upon t he prem ises, in a l ocke d space, an d not visib le by normal una id ed
vis i o n from a pu bl ic v i ew.
G. Ou td oor M arijuana Cu ltivati on: It shall b e u n lawful and a publ ic nuisance f or any person
owni ng, l eas ing, occ upy ing, o r having ch ar ge or possess i on of a ny legal parcel or prem ises w ithi n
a ny zoning d istrict in t he City of Tem pl e City t o ca use, or al low such parcel o r p r e mi ses to be used
f o r, th e outdoo r cultivatio n of ma r ijua na or m arijuana p ro du cts.
ATTACHMENT 4 m
LEAGUE OF CALIFORNIA CITIES HANDOUTS~~~
Proposition 64
The Adult Use of Marijuana Act
Wednesday, March 1, 2017
LEAGUE ®
OF CALl FORN lA
CITIES
Presenters
Tim Cromartie
Legislative Representative/ League of California Cities
Michael Coleman
Fiscal Policy Adviso0 League of California Cities
Stephen A. McEwen
Partne0 Burke/ Williams & Sorensen/ LLP
2
LEAGUE"
Of CAllfOR,I,\
C ITIE S
2
3
Agenda
• Summary of Proposition 64 (AUMA)
• Key Differences: AUMA vs . MMRSA
• Proposition 64 (AUMA) and Regulation
• Personal Use and Personal Cultivation
• State Licensing of Commercial Operations
• Local Regulation of Commercia l Operations
• Proposition 64 and Taxation
• Allocation of Revenues
• Local Taxes and Fees
• State and Local Sa l es Tax Exemptions
• Local Policy Issues
• Questions and Answers
l \. '---.~.~~~~~r ~C I T I ES
3
4
Summary: Proposition 64
The Adult Use of Marijuana Act (AUMA)
• Legalizes the nonmedical use of marijuana by persons 21 years
of age and over and the personal cultivation of six (6) marijuana
plants
• Creates state regulatory and licensing system for the commercial
cultivation, testing, and d i stribution of nonmedical marijuana,
and the manufacturing of nonmedical marijuana products
• Allows local governments to prohibit or regulate and license
commercial nonmedical marijuana
• Takes effect November 9, 2016
LEAG U E•
OF CAliiOR,IA
C I T I ES
4
5
Key Differences: MMRSA and AUMA
Medical Marijuana Regulation & Safety Act {MMRSA) v Adult Use of Marijuana Act {AUMA)
Focus
Taxation
Medical Marijuana Regulation
& Safety Act {MMRSA}
Adult Use of Marijuana Act
{AUMA}
Regulates medical marijuana Regulates nonmedical marijuana
Authorizes counties to impose • Exempts medical marijuana from
excise taxes state/local sales tax
• Imposes state taxes on purchase and
cultivation marijuana
• Local taxation is not pre-empted, except
for sales tax.
Local Local governments may allow, regulate, or prohibit commercial marijuana
Regulations businesses within their jurisdictions.
This should be reflected in an ordinance that contains express language .
Personal Does not alter local authority
Cultivation to prohibit all personal
cultivation
• Locals can reasonably regulate but
cannot ban indoor cultivation for
personal use.
• Local government may still regulate or
prohibit commercial indoor cultivation. s
6
Personal Use
• AGE: 21 years of age or older
• POSSESSION: May possess, process, transport, purchase,
obtain, or give away
• 28.5 grams of non-concentrated non-medical marijuana, or
• 8 grams of concentrated marijuana products
• USE: May smoke or i ngest marijuana or marijuana products
• CULTIVATION: May possess, plant, cultivate, harvest, dry or
process up to 6 plants per residence for personal use
LEAGUE"
llf t'Allf OR" lA
CIT I E ~
------------~~~-----·----------
7
Restrictions on Personal Use
• No smoking in a public place (except where authorized
locally)
• No smoking where smoking tobacco is prohibited
• No smoking within 1,000 feet of a school, day care center
or youth center
• No smoking while driving or riding in a vehicle
• Cities may prohibit smoking and possession in buildings
owned, leased, or occupied by the city
• Employers may maintain drug-free workplaces
LEAGUE"
Of CAIIFOR'I A
C ITIE S
7
------------------------------------------~ -----
8
Personal Cultivation
• Local governments may "reasonably regulate" but not
prohibit personal indoor cultivation of up to 6 marijuana
plants within a private residence.
• Includes cultivation within a greenhouse or other
structure on the same parcel of property that is not
visible from a public space.
• Local governments may regulate or prohibit personal
outdoor cultivation.
Questions about Personal Cultivation
• What are "reasonable regulations" on personal cultivation of 6
plants within a personal residence?
• Examples:
• A local requirement for a residential cultivation permit, with an appropriate
fee;
• Requiring as a condition of the permit, that the permit holder agree to
periodic inspections (upon appropriate notice}, to ensure that cultivation is
not:
• In excess of the six-plant limit
• Drawing more electrical power from the grid that the structure/house is
designed to withstand, thereby causing a fire hazard
• Presenting a health hazard such as mold accumulation
• Using more water than is reasonably required to cultivate six plants
• Express local regulations requiring cultivation to comply with the Fire Code,
Building Code and reasonable limitations on the use of water
LEAGUE•
01 CAIIIOki'I..IA.
CIT! ES
9
~~~~--~~~~~~~~~~~~~~~~----------
10
State Licensing of
Commercial Operations
• All nonmedical marijuana businesses must have a state license
• State license cannot be issued to an applicant whose operations
would violate the provisions of any local ordinance or regulations
• State license will be valid for one year.
• Separate state license required for each business location.
11
Local regulation/prohibition
of Commercial Operations
• Cities/counties may regulate or completely prohibit
state-licensed marijuana businesses {recreational and
medical}
but may not prohibit use of public roads for deliveries in another
jurisdiction
• State standards are minimum standards.
Cities/counties may establish additional standards, regulations
re: health & safety, environmental protection, testing, security,
food safety, and worker protections
12
Local regulation/prohibition
of Commercial Operations
• Proposition 64 does not require a city to enact a
regulatory scheme or prohibition by certain date.
• League anticipates that State will not begin issuing
licenses before January 1, 2018.
• If city prohibition or regulations in place before business
applies for state license, state license either will not issue
or be subject to local regulations.
13
Excise Taxes, Sales & Use Taxes
• Excise Tax: All taxes are either property taxes or excise taxes.
• Property tax= tax on ownership of (real or personal) property
• is triggered by the mere ownership of property.
• Excise tax= tax on the privilege of using, doing something with property.
• Examples of local excise taxes:
/business license tax /transient occupancy tax /parcel tax
• State and Local Sales and Use Tax
• The sales tax is a tax on the "privilege of selling tangible personal
property at retail" (Calif Rev& TaxCode §6051).
• The use tax is imposed on the storage, use or other consumption of
tangible personal property purchased from a retailer (R& TCode § 6201).
LEAGUE"
Uf t:AI I HlR"-I A
C I T I ES 13
14
Prop. 64 and Taxation of Marijuana
• Adds state excise tax of 15% on the privilege of purchasing marijuana at
retail (Section 34011(a)). Effective January 1, 1018
• Adds excise tax of $9.25/dry-weight ounce (flowers) and $2. 75/dry-
weight ounce leaves on the privilege of cultivating marijuana. Effective
January 1, 1018
• Prop. 64 does not affect local governments' authority to impose taxes
on medical or non-medical marijuana.
• Exemptions:
• Marijuana cultivated for personal use is exempt from cultivation tax.
• Medical marijuana is exempt from state/local sales tax
but NOT other state or local taxes. Effective November 9, 1016
LEAG U E"
lll CAlli OR' I~
C I T I ES 14
Taxes and Fees on Marijuana
under Proposition 64
Applies to non-medical only Applies to medical and non-medical
15
Sales and Use Tax
Trans&Use(%va ries)
City*, 1.00%
·---~~~~~County Trans it 0.25%
""'--Prop172 0.50%
7.25%+
retail price
\_ CountyR ea lign-
ment 1.5625%
State General
Fund 3 .9375%
Effective Nove mber 9 , 20 16
*cou nty if in un i ncorpo rated co unty
State Marijuana Excise Tax
15o/o
gross receipts
of retail sale
-
. State Cultivation Taxes
$9.25/oz flowers
$2.75/oz leaves
Effective J anua 1, 20 18
LEA GUE"
\H C.:AtiHlR~IA
C I TIES 15
I
__________________________________________________________________________________ _j
16
Allocation* of State Excise Taxes on
Marijuana under Proposition 64
*may be altered by majority vote of the Legislature after 2027
"60%
youth programs, substance abuse
education, prevention and treatment
20%
environmental cleanup, remediation
20%
Reduce DUI, reduce negative health
impacts re: marijuana legalization
~ A city (or county) that bans cultivation, including outside personal
cultivation, or the retail sale of marijuana, is not eligible for some grants.~.\,\t.,\1~.\·
C ITI E1~
17
Local Taxes and Fees on Marijuana
• Prop. 64: The new state excise taxes are "in addition to any
other tax imposed by a city, county or city and county"
(Calif Rev& TaxCode §34021)
• New, increased, or extended local taxes require voter
approval (2/3 for special tax; majority vote for general tax)
• The most common local excise tax is a business license tax:
• Dispensing
• Cultivation
• Manufacturing
• Transportation
• Local governments' sales tax may not differ from Bradley-
Burns Uniform Sales and Use Tax Law in either what is
taxed or the rate of the tax.
LEAGUE"
0 1 l.:ALIIOJl,IA
C ITI ES 17
---~-----------~-------------------------
18
Local Taxes and Fees on Marijuana
Taxes vs. Fees
• Business License Taxes allow revenue to be appropriated
for any municipal purpose unless the tax has been
approved as a "special tax" for a specific purpose.
• Business Regulatory Fees may recover the reasonable
regulatory costs for issuing licenses and permits,
performing investigations, inspections, and audits and
enforcing these regulations-and should be scaled
appropriately.
Taxes and Fees on Marijuana
under Proposition 64
Applies to non-medical only Applies to medical and non-medical
19
Sales and Use Tax
Tra ns&Use{%v aries)
1---City .. , 1.00%
-----::::-County Trans it 0.25%
Prop1720.50%
7 .25°/o
retai l price
i\_ CountyRea lign -
ment 1.5625%
State General
Fund 3 .9375%
Effective November 9, 2016
*co u nty if in u ni nco rporated co unty
State Marijuana Excise Tax
15%
gross receipts
of retail sale
State Cultivation Taxes
$9.25/oz flowers
$2.75/oz leaves
Effective January 1, 20 18
City * Marijuana Excise Tax
if enacted/approved by voters C ity* Marijuana Business
xxolo Regulatory Fee if enacted
gross receipts
or other basis
(not a sales tax)
To pay for regulation .
Limited to cost recovery.
20
Exemptions from Taxation of Marijuana
Proposition 64 exempts:
• marijuana cultivated for personal use from the
new state cultivation tax.
• medical marijuana from state/local sales tax .
... but not state or local excise taxes.
LEAGUE"
01 LAlli OR, lA.
C I T I ES
20
21
State and Local Sales Tax Exemption
• Exempts medical marijuana sales to a patient (or primary caregiver) who has
an identification card and a valid government-issued identification from state
and local sales and use taxes:
H & S 34011 (g). The sales and use tax imposed by Part 1 of this division shall not
apply to retail sales of medical cannabis, medical cannabis concentrate, edible
medical cannabis products or topical cannabis as those terms are defined in Chapter
3.5 of Division 8 of the Business and Professions Code when a qualified patient (or
primary caregiver for a qualified patient) provides his or her card issued under
Section 11362.71 of the Health and Safety Code and a valid government-issued
identification card.
• NOTE: Physician's recommendation is not sufficient but is required by Prop.64.
• Effective November 9, 2016 .
22
State and Local Sales Tax Exemption
• State Department of Public Health required under existing law
to establish voluntary program for issuance of identification
cards to "qualified patients."
• County health departments process applications and issue
identification cards
• Prop. 64: All identification cards must be supported by a
physician's recommendation
• Prop. 64: Identification card application system/database may
not contain personal information of qualified patients (unique
user ID number)
• Prop . 64: County fees limited to $100 per application.
Reimbursement from State is available.
LEAGUE"
'H t'AliiOit'l"
C I TIES
22
23
State and Local Sales Tax Exemption
• State Board of Equalization, Tax Guide for Medical Cannabis
Businesses
• intended for the industry but may be helpful to local governments.
• http://www. boe. ca. gov /industry/medica I cannabis. ht m I
• Statewide, the top five cities levying a sales tax on medical
marijuana yield $6,158,000. (Source: Hdl Companies)
• Offsetting sales tax revenue gain from sales of non-medical
marijuana: unknown.
• Cities will first experience a reduction in revenues from this
source for the fourth quarter of 2016 as of March 2017.
LEAG U E'
ell t.:Allh:'llt,l.\
C ITI ES 23
24
State and Local Sales Tax Exemption
Mitigating Sales Tax Revenue Losses
Engage with dispensaries and enforce the terms under which the sales tax
exemption applies.
1. Patients who wish to claim the sales tax exemption must display a valid
medical marijuana card and government-issued identification card.
2. The card should be issued by either the California Dept. of Public Health or
your county's health department.
3. A physician's recommendation alone is not sufficient to obtain the sales
tax exemption but is required in support of the application for a card.
4. Cities may wish to consider adopting a regulation requiring dispensaries to
· check for card compliance.
Loss of sales tax revenue from medical marijuana sales will be offset to some
degree by sales tax revenue from non-medical marijuana sales .
25
Local policy issues
Does your city want to:
• Take steps to mitigate anticipated loss of sales tax
revenue from medical marijuana in the short term?
• Enact business regulations of non-medical marijuana
businesses?
• Require retailers of medical marijuana to enforce
eligibility for medical marijuana sales tax exemption?
• Impose local taxes on marijuana?
Issues of Concern
• Local approval in licensing process
• Drugged driving, need for sobriety test
• Banking issues
• Taxation
26
27
Contact Information
Tim Cromartie
Legislative Representative
League of California Cities
tcromartie@cacities.org
(9 16) 6 58-82 52
Michael Coleman
League Fiscal Policy Advisor
CaliforniaCityFinance.com
coleman@muniwest.com
(530) 758-3952
Stephen A. McEwen
Partner
Burke, Williams & Sorensen, LLP
SMcEwen@bwslaw.com
LEAGUE"
01 LAllhlR,I o\
C I TIES 27
January 9 , 20 17
LEAGUE ®
OF CAL I FORN I A
CITIES
Frequently Asked Questions (FAQs)
Adult Use of Marijuana Ace
Proposition 64
Question#l: When d oes th e AUMA take effect?
A nswer: The AUMA took effect Novem be r 9, 2 016, th e day after th e e lecti o n. But n o te ,
t he AUMA re qui res a state lic en se to e n gage in co mmerc ia l n o nme d ica l marijuana
activ ity. L icen s in g aut horities are req uired to beg in iss uin g licenses by J a nu a ry I , 2018
and t h e L eague anticipates that the iss uan ce of lice nses w ill not occur muc h in advance of
Janu a ry 1, 20 18 . Thus , th e AUMA prov is io ns legali z in g comm e rcial no nm ed ica l
m a rijuana acti vity w ill n o t beco me o perational until the s tate beg in s issuin g li cen ses
(like ly in late-2017). T he AUMA provi s io n s lega li z in g pe rso na l use a nd c ulti vatio n of
n o nm e d ical m a riju ana t ook e ffect Nove m ber 9, 20 16.
Ques ti o n #2: Can private in d ividua ls cu lti vate no nme di cal marijua na at h o me b egin ni n g
Novem ber 9 , 2 0 16?
A ns wer: Yes, w ithin a private res id e n ce b y a pe rso n 2 1 years a nd o ld e r for pe rso nal use.
T he AUMA prov id e s that loca l governme nts can reasonabl y regulate, but canno t ban th e
person al indoo r c ul tivatio n of up to s ix n o nme di cal marij u a na pl a nts p e r pri vate
res idence. T hi s in c lu d es cu lt ivat io n in a g reenhouse t hat is on th e property of th e
residence but no t ph ys ica ll y part o f th e h ome, as lo ng as it is fu ll y e n c losed , secure, and
n ot v is ibl e from a pub lic space. Because thi s activity is n ot s ubj ect to state li cens in g
require m ents, indiv idua ls may e ngage in pe rso n a l in door cu ltivatio n beginning ove mber
9 , 20 16 , un less a c ity enacts an o rdina nce imposin g a reaso n a bl e regul a to ry sch e m e th a t
would prec lude th e m fr om do in g so before compl y i ng w ith the city's regula tory
requireme nts .
Local gove rnm e n ts m ay regul ate or b a n a l l person a l o utd oor c ulti vation. H owever, the
AUMA includes language purportin g t o re p eal a n y o rdin a n ce that b a n s personal o utdoo r
1 P lease cons ult your Ci ty Atto rney before taki n g ac ti o n to im pl ement the A UMA. The answers to th ese f AQ s may
b e d i ffere nt in yo ur city based upon your mun icipa l cod e, regulati o ns, and pol icies . The ans wers do not co ns titute
lega l advice from th e Leag ue of Cali forn ia C it ies®.
1
c ul t ivati o n u po n th e Ca li fo rni a A tto rn ey General's d e te r minati o n th at no nmed ical use of
m ariju a na is la wfu l un der fe d e r a l la w.
Qu es tio n #3: Is the re a limi tation o n t he nu m ber of m a riju a na pl ants that can be c ul tivated
w ithin a s ing le residence?
A n s w e r : Yes . N o t m or e th a n s ix li v in g p la n ts may be p la nte d , c u lt ivate d , ha rvested,
d r ie d , o r p rocessed w it h in a s in g le pri va te res id e nce, or upo n th e grou nd s o f th at p r ivate
res id e n ce, a t o ne t im e. A "reside nce" is d e fi ne d as a ho u se, a n apa rt m en t u n it, a m ob ile
ho m e, o r o th e r s imila r d we ll in g. N o m atter how m an y pe rso ns over 2 1 yea rs of age a re
li v in g in a "resid e nce," o nl y 6 li v in g pl a nts m ay be c ulti vated at o ne t im e. (Healt h &
Safety§ 11 3 62 .2(b)(3).)
Questio n #4 : Can a la nd lo r d ban the c ultiv a ti o n/s m okin g o f m arijuana on h is o r he r p rope rty?
A n swer : Ye s . An in d iv id ua l o r priva te e nti ty m ay pro hibit or restri ct p e rsona l
p ossess io n, s m o k ing, a nd c u lti vat io n o f m a rij u a n a o n t he indi vidu a l's o r e n t ity's pr ivatel y
own e d pro pe rty. A s ta te o r loca l gov e rnme nt a gen cy al so m ay p ro hibit o r restri ct such
act iv it ies o n prop e rt y owne d , leased , o r occu pi e d by the s tate o r loca l governme nt.
(H e alth & Safe t y §§ 1 1362 .45(g) a nd (h).)
Ques tio n # 5 : Can a c ity ban pe rso nal ind oor c u lt iva t io n in a ll leased or m u lti-un it resid e n ces
with in th e c ity?
A n sw e r : No. A c ity can not pro h ib it p e rson a l indoor c ul t ivat io n of m a rijua na in al l leased
o r multi -un it residences w ithin t he c ity. H owever, because c it ies may reason ab ly regul a te
pe rson a l ind oor c ul t ivation, a c ity mig ht b e able to co nditi o n permit approva l fo r person a l
in door c u lti vat io n in a leased res id e n ce o n t he appl icant rece iving permi ss io n f rom hi s or
he r la nd lo rd.
Questio n # 6: Does a c ity's ban o n commerc ia l c ultiv a ti o n , p e r sona l o u td oor c u lt iv ation , or reta i l
sa les o f mar ij ua na o r marij ua n a p ro duc ts m a ke it ine li g ib le fo r state grant m on ies f o r law
e nfo rcem e nt, fire protectio n, o r o th e r loca l p ro g ra m s a ddressing p ubl ic h ealth a nd safety
associated w ith t he imp le m e n tati o n o fPro p 6 4 ?
A n sw e r : Yes . [fa c it y b a n s comme rc ia l c ul ti va t io n , o r pe rsonal o u td oo r c u lti vati o n, o r
re t a il sa les o f m a ri jua n a o r m a r ijua n a pro duc ts, it is in e l ig i b le t o receive sta te grant
m o n ies funde d thro ug h th e n ew state excise t axes t h at t ak e effect on Janu ary 1, 20 18.
(R evenue a nd Taxati o n Cod e§ 3 40 19(e)(3)(D ).)
Q u es tion #7: What d oes th e AUMA say a bo ut possess io n , tr an sport in g, purchas in g or giv ing
away of non-m ed ical m arijua na ?
A n sw e r : A pe rson 2 1 years o f age o r o ld e r may possess, process, t ranspo rt, purc hase o r
g ive away to pe rson s 2 1 years of age or o ld er no t m o re tha n 28.5 gram s of m arij ua na in
th e n o n-co ncentr a ted form a nd n o t m o re th a n 8 gram s o f m ar ij u a n a in a co ncentrated
2
fo rm incl udin g marijuana pro ducts . If th e AUMA passes, th e se activ it ies wi l l be lawful
und e r state law and cann ot be prohibited under local la w.
Q u estio n #8: D o c it ies that ban o r regulate m e di ca l marijuana b us in esse s need to upd ate th ei r
o rdinances t o incl ud e n o nm e dical m a rijuana?
A n swer: Yes . The AUMA proh ibits s tate li ce ns in g a uth o riti es fr o m iss u in g a li cens e to a
comm erc ia l nonm ed ica l marijua na bus in es s if opera t ion of th e bus iness violates a loca l
ordina nce of the jurisdictio n in w hi c h the bu s in ess w i ll operate. T hi s means tha t a c ity
w is hin g to a dopt bus in ess or la nd use regu lations prohibitin g or re g ul a t in g comm e rcial
no nmedical marijuan a bu s in esses must ado pt an ordina nce prior to t h e date th e state
begin s iss uin g li censes, w h ich t he League a nti ci p ates wi ll be in la te 2 01 7 .2
Q u estio n #9: C an citi es be co nfi d e nt tha t a permissiv e zo nin g code, by it se lf, prov ides s uffic ient
protecti on again st no nmedi cal m arijua n a bu s in e sses s ettin g up s ho p w ith o ut loca l approva l?
Answer: No. It is unlike ly th at c it ies will s u cceed in a rg uing that nonmed ica l m arijua na
land u ses are prohibite d by p e rm iss ive zo nin g cod es under th e AUMA, becau se th e
AUMA does no t contain th e s a m e pro tec t ive la n g u age a s the MMRSA w ith respect to
perm iss ive zonin g. Therefore, cities that wi s h to ban a ll o r so m e n o nm e dical m a r ijuana
activ iti es shou ld adopt express proh ib iti o n s, even if they o p e rate under a permi ss ive
zon in g c o de.
Question #10: A re citie s at ri s k o f los in g th e opportunity to impose ba n s o n personal o utd oor
cultivation if th ey d o n 't act unti l after th e Novembe r e le ction?
Answer : No. A c ity may a d opt an ordinance b a nnin g or regulatin g personal outd oor
c ulti v ati o n at any tim e.
Q u estion #11 : Are c itie s at ri s k o f los ing the opportunity to impose bans o n no nmedical
marijuana busi n esses, if t hey d o n 't act unti l after th e ovember e lectio n ?
Answer : No. H owever, if a c ity does not adopt a n ordinance express ly banning o r
regu latin g n o nmedica l m a ri juana bu s in esses befor e the s tate begin s issuin g s tate li cense s
n onmed ical bus in esses, a s tate-licensed no nme d ical mariju ana bu s in e ss w ill be abl e to
operate w ithin its jurisdict ion without local p e rmiss io n o r permitting . T hi s i s due to a
provi s io n in the A liMA th a t prov ides that state l ic e n se s cann ot be issue d w he re the
activity wo u ld v io late a local o rdinan ce . If a juris d iction ha s n o o rdinance r egulating
n o nm e di cal marijuana b us inesses, th e n the local regulato ry s c he me is s il e nt o n that ty p e
of activ ity, and the s tate ca n un i laterally iss ue a li cense und e r term s fu ll y com p li a nt w ith
the AUMA. C it ies may ado pt a n ordinance expressly banning o r regu lating s uch
o peration s after th e s tate begins to iss ue l icenses, but it wi ll be d iffi c ult to terminate t h e
sta te l icen see's operations unti l the s tate li c ense is up f o r re newa l. T herefo r e, the best
practice is to adopt an ordinance be fore the s tate b egin s iss uin g state l ice nses.
2 Pl ease see Q u esti o n #8 regarding t he use of pub lic roads for trans po rtation and d elive ry.
3
Question #12: Can c iti es ban deliveries und er the AUMA?
Answer: Yes. C iti es can ban de li veries within their territorial limits . However, cities
cannot prevent the u se of public roads for the delivery of marijuana. For example, if a
licensed delivery company located in C ity A must travel on pub lic roads th rough C it y B
to make an authorized delivery in C it y C, City B cannot prohibit the licensed del ivery
company from trave lling o n publ ic road s in City B to get to City C. In addition, c iti es
may n o t prevent the u se of publ ic road s w ithin its juris di ction to transport nonmedical
marUuana.
Question #13: What is th e best way for cities to notify the state li censing a gencies of the ir local
ord in ances that regu late a nd/or prohibit commercial n o n -med ical marijuana activities within their
jurisdictions?
Answer: U nl ess th e s tate licensing agencies indicate otherwise, c ities s h o uld mail copies
of th eir loca l ordin ances that regulate or prohibit com m e rc ial nonmedical mariju ana
activities within their jurisdictions to the Department of Con sumer Affairs, the
Department of Food and Agric ulture, and th e Depattment of Publ ic Health . Cities s hould
regularly check each Department's website to ensure that thi s practice co mpli es w it h any
regulations the Departments may pass regarding notice of local ordi nances. In additi o n ,
Cities sh o uld e n sure t h at any updates or amendment s to loca l ord in a nces th at regulate or
prohibit com m e rcial nonmedical marijuana activ iti es are promptly s ubmitted to each
Department.
Question #14: What are th e rules regarding taxation under the A UMA? Is it true that marijuana
can no lo nger be subject to sales tax?
Answer: Under the AUMA, there is a 15 % state exc ise tax on recreational marijuana,
but medical marijuana is exempt from s tate and local sales tax altogeth er. Th e rationale
is that marijuana consumed for tru ly m ed ical purposes is no diffe rent fro m conventiona l
pharmaceuticals, w hi ch are also exempt from fed e ra l, state, and loca l sales tax. However,
other forms of excise tax may be levied on a l l marijuana, whether medi cal o r
recreational. For example, a cultivation tax, a manufacturing tax, or the most common , a
business li cense tax may sti ll be lev ied at the local leve l on any commercial marijuana
activity. But note, b ecause the AUMA lev ies a state excise tax of 15% o n recreationa l
marijuana, all loca l governments have reaso n to b e concerned abo ut the c umulative tax
rate w he n local tax levies are added to that. For that reason, locals a re encourage d to
look at existing local taxes a nd to assess what marijuana-re lated revenue streams may be
derived from tho se so urces before le vying add iti ona l taxes that are spec ific to marijuana.
4
What Cities Should Know About
Marijuana Act
by Tim Cromartie
In November 2016, California voters approved
the legalization of recreational marijuana use.
This article presents some basic information for
city officials on how the law has changed.
Personal Cultivation
Und e r Proposition 64, cities can n o
longer ban indoor c ultivation for p erson al
use and must a ll ow s uch cu ltiva tion of u p
ro six plants p er res idence. However, c i ties
can "reason abl y regulate" indoo r culriva-
rio n for personal use, if they are willing ro
underrake the responsibili ty. This may b e
an inrimidari ng prospect, given that per-
sonal cu ltivat io n will in many i n stan ces
be occu rri ng in people's h om es, bur a city
may wanr ro actively re gulate this activity
due ro public safety and public hea lth
consid e rations.
A key co ncern for ci ties will be w hethe r
local regula t ions a re "reaso nable" as s p ec i-
fi ed in Prop. 64. Examples of reasonable
regulations include bur are no r limit ed ro:
• Enacting a requiremenr for a res i-
denrial c ul t ivati o n permit, w ith an
appro priate fee;
• Requiring as a co ndition of th e perrni t
that the permit h older agrees ro periodic
ins pections (upon appropriat e nodce)
ro ensu re that cultiva ti o n does no r:
o Exceed th e six-planr limit ;
o D ra w more e lectrical power from
th e grid than the building is
design ed ro carry, thereby caus ing
a fir e hazard;
o Prese nr a health hazard , s uch as
m old accumulation; o r
0 Use more water than is reasona bly
requi red ro culti vate six p lants; an d
• Requi ring com p lian ce wi th th e Fi re
Code and impos ing reason able li m it a-
tion s o n the use of water.
The iss ues of excess ive water and electricity
use could be do u bly important if a city
has levi ed a utili ty tax related ro ch ose
resources, because spikes i n s u ch use
may nor b e easily attributed ro a specific
res iden ce -and the reby appropria tely
ra.xed-without th e assistan ce of the
rel evam utility.
Other Cult ivation and
Commercia l Recreational
Marijuana Businesses
U n der Prop. 64, citi es reta in the a u thority
ro regulate and ban all other cul t ivation
and all rec reational m arijuana businesses.
Cities can decid e wheth er ro allow a ny
rec reatio nal busin esses in thei r comm uni-
cies . A decis ion ro all ow these businesses
sh ould b e acco mpanied by a relacive ly
d era il ed pl a n for regulating them, which
is addressed later in thi s a rticl e.
Taxation
Prop. 64 pre-e mp ted all stare and local
sal es tax o n medical marijuana; sucl1 taxes
are no longer allowed. This is based o n th e
ass wnpcion that m arijuana used for truly
medical purposes is nor clifferenr from con-
ventional ph armace u t ical s, which are nor
subject ro federal, state or local taxes . H ow-
eve r, a host of ocher exc ise ra.xes may scill
b e lev ied on medical marijuana, including
taxes on c ulrivadon and manufacruri ng.
Prop. 64 imposes a state excise tax of
15 p ercent on re creational marij uana, so
new local taxes on recreational marijuana
s hould rake th e cumu lative tax rare into
account. Any pre-existing lo cal sal es taxes,
including rhe I p ercent Bradley-Burn s tax
and transactio n and use taxes, wi ll apply
ro all recreational marijua n a sal es. Any
bus in ess li cen se t axes will also apply. A
cumulative tax rare t hat is roo high w ill
stimulate black m arker a ctivity a n d de ny
ci ties whateve r revenu e they a nti cipate
from local m a rijuana t axes. For this rea-
son, c ici es sh o uld ideally exam ine which
other existi n g lo cal taxes can produce
marijuana-re lated reve n ue streams before
levying a new marijuana-specific t ax.
New Rules on Possession
Prop. 64 makes it legal for any adult ro
possess up ro 28.5 g rams of cannabis o r
up to 4 gra m s of concenrrared cannabis .
Any p erso n possessing an a mount over
these li m its may be ar res t ed an d charged
with a mi sd e m eanor.
Deliveries
Cici es retain the ab ili ty to ban del ive ri es as
a reasonabl e regulation on the opera ti ons
of re ra_j lers, micro business and non prof-
its-or any oth er recreatio nal m arij uana
co ntinued
Tim Cromartie is a legislative representative for the League and can be reached at
tcromartie@cacities.org.
Western City, February 2017 1 7
18
What Cities Should Know About Proposition 64, the A dult Use of Marijuana Act, co ntinued
business li censed b y the s tate under
Prop. 64. Such a regula ti o n woul d be with-
in d1 e scope of cities' constirutional po li ce
power, which m e courts have inre rpreted
broadly and upheld consistendy.
As a fail-safe , cities al so h ave the option
of prohibiting the local p erm i tti n g of
t h e categori es of li cen sees tha t a re au-
t h o ri zed to make d eli ve ri es, s hou ld th at
b ecome n eces sa ry as rh e only av en ue to
pre ve nt deliverie s within a c ity's juri sd ic-
tional boundar ies .
H owever, citi es m ar have e na cted d elivery
b a ns ca nnot prevem r he t ra ns port of
marijuana t hroug h th e ir jurisdic ti on
us ing p ublic roads i f rhe t ra ns port
o ri ginat es from and e n ds in a lo cation
outside t he j u risd ict io n.
Meet the Challenge
of New Marijuana Laws
Matrix Consulting Group can help guide you through th e
changing regu latory environment in Cal ifornia for marijuana
cultivation and retail sa les.
It is critical for l ocal governments to be prepared for changes in:
Codes • Permitting and inspection processes • Fee s
Co u rtney Ramos
Sen ior Manager
cramos @matrixcg.net
650.858.0507
Leag ue of California Cities
matrix
consulting gro up
I f m ere is n o local prohibition on deliveri es,
Prop. 64 clearly allows fo r hom e d eliveries
o f recreational marijua n a. D el ive ry is
included in m e ini t iative's d efinicion of
co mme rcial marijuana acti vi ty, whim is
de fin ed as "me commercial transfer o f mari-
juana o r marijuana producrs to a cusromer."
Licensing
St ate li ce nsing of medi cal and recreation al
marijuana businesses is sla ted ro begin in
Janua ry 20 18. The M edical M a rijuana
Regula tion and Safety Act (MMRSA)
requi res evide nce of local a pproval for
a li c en se d activi ty to b e submitted with
an appli catio n for a st ate-iss ued m edical
marijuana b u si n ess license; this is known
as the dual li censing requireme nt.
Prop. 64 diffe rs from the MMRSA
beca use it does n or require ev iden ce of
lo cal approval to be s ubmitted with a n
application for a state-iss u ed recreatio n a.l
marijuana business lice nse. Inst ead,
Prop. 64 simpl y prov ides mat a state
license cann ot b e iss ued if th e acti vity is
in vio la tion of local o rdin an ces . H oweve r,
b ecause evid e nce o f lo cal a pproval n eed
nor b e submitted whe n ap ply ing fo r a
sra t e li cense fo r a recreatio nal bus iness,
continued on page 2 1
www.cacities.org
What Cities Should Know About Proposition 64, the Adult Use of Marijuana Act, con tinu ed from page 18
rhe re is n o cl ea r m ech anis m for p rovi ding
state age n cies the requi red info rma t io n ,
namely wh ethe r rhe activiry for w h ich t h e
licen se is sought is in violation of local
ordinances. Prop. 6 4's approach places
rhe respo nsi bil iry on state agencies to do
additio nal legwork to obtain rh is informa-
tion and ad ds an u nn ecessary h u rdle to rhe
state licensing process . The League plans
to ask for legislat io n req uirin g ev idence
of local approval to b e included with a ll
a p plication s for recreacional m a riju ana
bus in ess li ce nses, consist e nt wi rh rhe d ual
licensing regulatory protocol establis hed in
rh e MM RSA.
Reg ulating Marijuana
Businesses: A Local
Reg ulatory Checklist
Cicies have some bas ic iss u es ro co nsid er
wh en contem plat ing whether t o adopt a
local regula tory struc [Ure for recreat io na l
mari jua na . First , rhere is li t tl e appreciable
d iffe rence betwee n m edical m a rij uana
ord ina n ces and t h ose fo r re c rea t io n al
marijua n a, o rh e r rhan the adj ecti ve used
continued
www.westerncity.com
JOB OPPORTUNITIES
The popular seasid e communit y of Sa nta Cruz (pop.
64,632) lies 75 miles south of San Francisco along the
Sa n Lorenzo River between the Sa nta Cruz Mountains and Monterey Bay. Th e Pl an ning &
Community Develo pmen t Department is suppo rted by a sta ff of 36.5 FTE and an annual operating
budget of $7.2 million. The departm ent is org ani zed ac ross fo ur divisio ns: Current Planning ,
Adva nce Planning, Code Complia nce, and Building & Safety.
The id ea l ca ndidate wi ll be a dynami c and hig hl y strat egic leader. In addi tion, he/she will be an
empowe ring and en ergizi ng people manag er w ith exce ptional interpersonal skill s and a hist o ry
of effective relationsh ip building. Deep knowledge of contem po rary p lanning principles w ill be
expect ed . Si x (6) years of prog ressive ly res ponsi ble exper ience in urban planning, which incl udes
at least two years of managem en t exp eri en ce, is req uired. A Bachelor's d egree in Pl anning, Publ ic
Administrati on, or relat ed disc ip line is required . A Ma ster's d egree and/or AICP certifica t ion i s
preferred .
Salary range $14 2,068-$181,284 (additional 2% increase p ending). Compen sa t ion also includes
compet itive benefits pack age. Th is recruitm ent will cl ose at midnight on Monday, February 20,
2017. For deta il ed broc hure and to apply on line, visit www.tbcrecruiting.com .
Te ri Black· 424.296.3111
Brad ley Wardle· 650.450.3299
www.tbcrecruiting .com @f.» in
CITY OF EL SEGUNDO
El Segun do. a Los Angeles Coun!)' beach city of almost 17.000. is located on the Santa Monica Bay.
Residents en joy classic Californ ia living wi th ocean breezes and a hea l thy outdoor li festyle. El Segu ndo
ba lances an idea l busi ness environment with a small town co mm uni ty to provid e a high Quality of life for
its resi dents and employers. There are tree-li ned neighborhoods wi th award winn i ng sc hool s. pa r ks an d
athletic fi el ds. A weal th of dining and re tai l experiences are thriving that ra nge from hi sto ri c Mai n Street
to recen tly constr ucted lifestyl e shopping ce nters.
CHIEF OF
POLICE
The Chief of Police wi ll oversee a high service
level departmen t and will direct and manage
the development of comprehensive plans to
~
AVERY meet the City's fu ture ne eds for public safety services. T he Chief is an
at-will employee repor ting to the Ci!)r Manager. The new Chief wi ll have
a Bachelo(s degree in Pol ice Science. Public Administ ration or a di rect ly William Avery & Associates
rela ted field . an d at least 10 y ears of professional crime prevention . law __ M_a_na_,g'-e_m_en_t_C_on_s_u_lta_n_ts_
enforcemen t. and police administration experi ence includin g five or more
years of police man agem ent and supervisory experience (or an eQu iva lent
co mbination of educati on and expe rien ce).
3'12 N. Santa Cruz Ave ., Suite A
Los Gatos , CA 95030
408.399.4424
Fax: 408 .399 .44 23 PUBLIC T he Publi c Works Director overs ees a
department that provides the full arr ay em ail : jobs@averyassoc.net
WORKS of public works services includi ng wa ter www.averyassoc .net
DIRECTOR and wa stewater. streets. faci lities. eQ!Jipme nt and veh icl e maintenan ce. an d
engineeri ng. Th e new Public Work s Director will have at least five years well -rou nded experience in
municipal Public Works acti vities including four yea rs tenure at the division managemen t level or highe r.
includi ng fa miliari ty of the full range of public works and reQ!Jires a BS/BA degree i n a related fi eld .
Resistra lion as a Professi onal Engineer is desirable.
INFORMATION The Informa ti on Systems Direc tor is a newly created role that reQuires an
SYSTEMS innovative and service oriented busi ness pa r tner that provides pragmatic and
time ly technolo&Y and bu si ness solu ti ons to city opera tions. The Di rector
DIRECTOR will work closely with other city execu tives in defi ning. prioritizing and
addressi ng city information technolo&Y needs. Th e position wil l reQui re a background that includ es six or
more years of progressively responsible expe r ience in the administration of IT systems wi th at l eas t three
of those y ears at th e supervisory or management level. A Bachelor's degree in a rel ated field is reQu ire d.
For more details. please see the forma l job ann oun cem en ts. which incl ude salary and ben efits de tails and
fi nal filing dates at htt p://www.averyassoc.net/cu r ren t-searche s/.
Western City, Fe bruary 2017 2 1
,------------------------------------------------------------
Wh a t Ci ties Should Know A bout Proposi tion 64, the Adult Use of M a r ijuana Act, co ntinued
co desc ri be mari juana. Seco nd , so me o f
rh e rul es are d iffe renr for rec reati o n al
m a ri ju an a --p rinci pal ly that indoo r
cul ti va tio n fo r perso nal use can no longer
be banned , a nd th e state n ow p re-e m pts
t he imposit io n o fl ocal sales tax o n medi -
cal mar ij uan a.
Adopting Loca l Regu lations
Other Than Bans
Any city co nside rin g ado pting a regulatory
o rdi n an ce for medi cal mari j uana sh ould
look at O akl and's o rdin ance, wh ich when
fi rst enacted was relati vel y com p rehensive
bur has rece ntl y bee n updated co refl ect
JOB OPPORTUNITIES
CITY MANAGER
Ci ty of Diamond Bar, California
Annua l Salary: D OQ + Excell e nt B e n e fi ts
In corpo rated in 1989, Dia mond Bar is a fina ncially stable, cul tu rall y
diverse com muni ty (popula tion of 57,000) on th e eas tern edge of Los Angeles Co unty wi thi n
minu tes of Or ange, Ri ve rsid e a nd San Bern ard ino co unti es . With an ope ratin g bu dge t of $2 6
million, the City has awa rd -winnin g school di st r ic ts, abun dant rec rea tiona l oppor tun iti es , and
an unp arall eled comm itment to pu bl ic sa fety.
Th e idea l candid ate will be a pu blic sector ge neralist, stron g com municato r and a dip lomat ic
lea der respo nsi ve to the Ci ty Co un cil and publ ic. The pos it ion requ ires at least fi ve years of
progressivel y respons ible muni cip al govern ment expe rie nce , pr eferabl y in Califo rnia , in the
planni ng, organizatio n, coo rdination and administ ration of city operat ions at th e Dep artm ent
Head level or hi gher. A Bac helor's Deg ree a nd th e possessio n of a driver's lice nse is required .
For a detailed job broc hure and to submit an onli ne appl ica tion, cover lette r and res um e plea se
visit th e City's webs ite at: www.di amondbarca.go v by II :59 p.m. on Ma rch 12, 20 17.EO E
Police Chief
California State University, San Marcos, CA
California State University, Son Marcos (CS USM) is seeking o Pol ice C hi ef who will provide
leadershi p, management, a nd su perv ision. To day, more than 15,000 students oHend
the 304 -ocre, sta te-of-the -art main ca mp us, which is nes tled in th e foothills of Son
Marcos, C alifornia (norther Son D iego County). CSUSM Po lice Depo rtmen t is the
primary ag ency lor reporting a nd inves tigating criminal activi ty occu rring on the
CSUS M ca mpus . The selected C hi ef i s req ui red to hove a Bac helor's degree in
police science, criminology, publi c administration, oro relate d field , p lus eight (8)
years o f progressivel y responsibl e low enforcement or public safety w ork experience
includi ng a minimum o f lour (4) yea rs lea d ing and/or managing the work of others
at the leve l of a Lieutenant o r higher. A Moster's degree, completion of the FBI
Notiona l Academy or POST Command College is prefe rre d. Cu rre nt Advanced
POST certi fication is also preferred o r th e Chief must be able to satisfy all POST
standards within the first two yea rs of em ploym ent. Experience in university policing
is prefe rred , but not required. Salary is com mensurate with the background and
expe ri ence of the individual selected. If you ore interested in t his outstanding
opport unity, please apply online at www.bobm urroyossoc.co m. Contod Joe l Bryde n
o t (9 16) 784 -9080 with any q u estio ns.
Filing d eadline is Fe bruary 24,2017.
I ~DBMURRAY
~-C~O~H~Xr;C ;,~V~ ::-~~:.
22 Le ague of Ca lifor n ia Cities
p h o n e 916 ·784 ·9080
fox 916 · 784 ·1985
www. b o b m urroyossoc. com
the va r io us li ce n si n g ca tegor ies in th e
M MRSA. Yo u can fi nd O aklan d's o riginal
o rdin ance at www.cac it ies .org/Med ical
M ariju ana (cli ck the Ordinances ta b). The
League we bsite also provi des o rdin an ces
!To m seve ral oth er ci ti es, wnich represe nt
a vari ety o f lo cal regul atory ap proach es .
Regulatory Fees
A local regul atory fee m ust be esta b lished
ar the ourser. It is a goo d id ea co survey
what o th er citi es are doing in this area.
T he regulato ry fee may take th e fo rm of
an annual b usin ess li ce nse fee and shou ld
be linked as mu ch as poss ibl e to th e city's
actual cosr of reg ul a tin g o ne of th es e
bus inesses fo r one year. Fo r examp le, t h e
Ci ty of Oakland 's marij uana bus ines s
licen se fee is $60,000 per year, an d the
city can d ocu m e nt th at th is a m o u nt is
w hat it co sts the ci ty to pro perl y regu late
one marij u a n a bus iness for on e year; th e
fee covers issuan ce o f permi ts, insp ec-
t io ns, a udits and so fo r th.
Law Enfor cement and Fire
Services Input
C ity offi c ial s should discu ss w ith th e
local Poli ce D e partment and local
Cod e En fo rce m ent D e partment th eir
res po nsib ili ties und er an y local regula to ry
sch em e an d th eir co mfort level rel ated co
executing ch ose res po nsib iliti es . T he lo cal
Marijua11a busi11esses dral in large amo unts
of cmh, which presents u11iqtte chni!Rnges for
cities that opt to regulate them.
Fire D epartment sho uld al so b e consul ted
if there is a ny poss ibil icy th a t d1e cicy will
p ermit manufacturing fa cilities .
In ge ne ral:
• Law e nforce me nt agencies te n d ro
advi se against all owing mo b ile di sp en -
saries or d elivery se rv ices because it is
diffi cult ro track th eir moveme nts and
activities;
• Police may prefer a d es ignated brick-
and-mortar disp ensary, w h ether for
medical or recreational marijuana; and
• If a city opts ro allo w deliv ery services,
they sh oul d be under d1 e ownership
and control of a dis pensary, as req uired
byme MMRSA.
Managing the Lo cal
Regulatory Burde n
A11y cicy th inking about adopting regu la-
rory ordin an ces for mari j uana businesses
should consid er fi rst adopting a per cap ita
fo rmula or a n umeri cal limit on how many
di spensaries it will ul tima tely have-fo r
exam ple, it can be one per 15,000 re si-
d ents or some othe r formula. Li miting
the number of marij uana business es in
its jurisdic t ion , by whatever means, will
auromarical.ly make it eas ier for th e city ro
regulate mem, including conducting audits.
co ntinued
Prop. 64 pre-empted all state and
local sales tax on medical marijuana;
such taxes are no longer allowed .
JOB OPPORTUNITIES
City of Mendota
DIRECTOR OF ADMINISTRATIVE SERVICES
Salary: $60,010 -$72,942 (curren tly un der review)
annually, plus excellent benefits
The City of Mend ota is pleased to announce it is recruiting for the pos ition of Director of
Adminis trative Servi ces. Mendota is nested in the heart of Cali fo rn ia's Central Vall ey an d
lo cated in Fr es no County. The City has a pop ulation of over 11,000 resi dents an d bears th e
destina ti on Can taloupe Ce nt er of the Wo rld as agriculture is an imp ortant part of the City 's
economy. The Administrat ive Di recto r will be a highly motiva ted indiv idual wit h kno wledge of
and experie nce in adm inis trative services and have the abi lity to adeptly manage a mul titude
of de part ments simu ltaneously.
Id eal Qu a lifi ca tion s:
» Three (3) years of increasingly responsible profess ional , superv isory, and administ rative
expe ri ence in perso nnel or closely relate d field .
» Ba chelor's Deg ree in Pub lic Administration, Business Admi nis trati on or re lated fi e ld .
» Knowle dg e and experi ence in human resou rc es, risk manageme nt, municipal aviation, an d
gra nt management.
» Ab il ity to pr ovide leadersh ip of the dep artment wi th a cle ar focus on the duties and
resp on si bilities of administrat ive services for the City.
Obtai n a n applicatio n on li ne at www.cityofmendota .c om. Fin a l filing date : Open until fi ll ed.
EOE/ADA
Public Works Director
City of Signal Hill
Finance Director
City of Napa
Deputy City Managers
Assistants to the City Manager
City of Palo Alto
Check our website for detailed in formation-www.tbcrecruiting.com
www.tbcrecruiting.com
Teri Blac k· 424.296.3111
Ju lie Yuan -Miu • 925.82 0.8436
Bra dley Wardle • 650.450 .3299 @f.» in
Western City, February 2017 23
24
What Cities Should Know About Propos ition 64 , th e Adult Use of Mar·ijuana Act, continued
This is important b ecause ir acco m pl is h es
rwo th ings immediately:
l. Automaticall y limits the city's overall
regu latory burden; and
2 . Makes it less onerous to pe rfo rm audits
of ma rijuana b usi n esses. Th is is a
critical ly important activity. M arij uana
businesses d eal only in cash a nd will
co nti n ue ro do so until the federal
gove rn me n t reclass ifi es ma r ijua na
as something other than a Sched ule
I d rug. Aud its can d etermine or verify
gross reve nues, provide a fai rl y acc urate
picture of the volume of business and
ex u apol ate how mud1 revenu e a local
tax wi ll yield for th e city.
JOB OPPORTUNITIES
CITY OF MONTE SERENO
Monte Sereno is located approximately SO miles so utheast of San franci sco and just minutes from the
heart of Sil icon Valley. Because of the City"s beauty. location and superior schools many Sil icon Valley
c:>.ecuti ves have chosen Monte Sereno as th eir home. The community remains entirely residential. with no
co mmercial zoning and 9996 single -fam ily housing. and is an upsca le Silicon Valley bedroom community
with a population of about 3.400 residents.
The City Manager is appointed by the City Council and is responsib le for
carrying out the policy direction of th e City Council in accordance with
municipa l law for the benefit of City res idents. Specific duti es of the City
~
AV ERY
I • 1 0 c I a I c J CITY
MANAGER
Manager inclu de over seei ng the departme nts.
preparat ion and admin is tration of the an nu al
City budge t and other key projects. The new William Avery & Associ at es
City Manager will be a collaborative manage r __ M_a_na'-'g,_e_m_e_nt_C_o_ns_u_lta_n...;;ts~
who effectively delegates to and develo ps an d empowers a small. cl ose -3'12 N. Santa Cruz Ave., Suite A
knit staff: works well with partne r agencies and contractors who provide Los Gatos , CA 95 030
key services to the commu nity : and places a high value on communication 408.399.44 24
wit h Cou ncil. community. partner agencies. and staff. Fax: 408 .399.4423
email: jobs@averyassoc.net
The new City Manager will be an experienced and accessible pub lic www.averyassoe.net
sec tor exec utive with excellent management and administration skil ls and
an unQuestionable reputation for integrity and transparency. A background as a City Manager. AssistanV
Deputy City Manager or oth er publi c sector executive is highly des irable for th is position. For more
details. please sec th e formal job announcement. which includes sa lary and benefits details and final filing
date at www.ave assoc.ne Vcu rrent-searche s/.
Seeking Government
Real Estate Professional
~ uw u nlll•:~~:!m Carpenter/Robbins Commercial Real Es t a te, Inc.,
located in San Ramo n , CA, s peciali zes in
Commc:rci:ll R <::l l Est:ue governm e nt real estate a n d seeks an individual
to work with Cities and Counties to execute real es ta te projects on the ir beh a l f.
The ideal candidate s h o u ld understand the internal worki ngs of the city and
county real estate, planni ng , economic development de partments as well as an
understanding o f real estate tra nsactions a nd consulti ng services.
Wo r k in cludes, but is n ot limi ted to, lead and/or ass is t in the executio n of
government REassignments i n cluding acquisitions, dispositi o n s , con s u lti ng,
feasibi li ty studies, report preparation , and property searches.
Stro ng wrillen and verbal com munication a mus t , c urre nt CA Rea l Estate
License a plus. Please p rovide salary requirements a nd re s ume to : Alyce Rados,
Pres iden t at arados@crcre.com .
Leagu e of Californ ia Ci ties
Al l-Cash Pay men ts: A Bo na
Fid e Sec urity Issue
Ciries ch a r opt ro regul ate medica l or
recreational ma rijuana businesses shoul d
have a proced ure in place for rece iving
a nd depos it ing large all-cash payments
from th em . T hi s musr include maki ng
appro priate sec u rity arrangemenrs for
paym e nt of a nnu al b usin ess li cense fe es
and tax pay me nts. lr may al so in cl ude
survey ing lo cal finan c ial institutions
to see which o n es are willing ro accept
money from marij uana businesses. Credit
unions may b e more receptive than
banks, bur they roo are regulated by a
federal emity, th e arional Credit U nion
Administration, and may be relu ctanr to
take any aC£ion that co uld be perceived
as vio lating fe d eral law or regu latio ns.
(For more inform acion, read "Why Banks
Don't Serve M arijuana Bu sin esses" at
www.wesrernci ty.com.)
Going Forward
In the co m ing weeks and momhs, th e re
will likely be at leas t one major piece
oflegislation th at seeks to reconcil e the
MMRSA wir h Prop. 64. As noted earl ier,
rhe League w ill push for a provision that
requires evide n ce of local approval as part
of rhe app l ication process for recrea tional
businesses. Many ocher iss ues will be
rai se d , includi ng d e fining rerms such as
"ow nersh ip" a nd "prem ise," establish in g
limi ts o n cul ri varion acreage, a nd decid -
ing wh eth er to impose a requirem ent for
i ndep e nde ndy owned d istr ibutors w ho
will en su re rhe collection of the scare
exc ise rax , ove rsee product packaging a nd
verify product res ring.
Final ly, it sh o ul d be nored rhar the res ul t
of the 20 16 p res id ential elecrion places
the implem enta ti on of Prop. 64 in doubr.
It is nor yet clear whether the nexr U.S.
attorney ge neral will make enforcement
activities aga inst recreational marijuana
a priority in the stares thar have legal ized
ir. The only certainty as Wtsum City
goes to press is that bipartisan conse ns us
remai ns imacr in Washington, D.C., o n
www.cacities.org
the iss u e of co ntinuing ro de ny
fun ding ro federal e nforcem ent
effor rs agai nst m edical mariju ana.
Fo r tha t reason, dep e nding o n
th e fed eral government's action s
unde r d1e Trump adm inist rat ion ,
Califo rnia could see a res urge n ce
in m ed ical m arij u an a in the com-
ing m o nths , and all efforrs ro move
forward wirh th e im ple m entati on o f
recreational m arijua na leg aliza t io n cou ld
b e on ho ld indefi ni tely.
T h e Leag u e wi ll kee p irs m em b e rs a p-
prised of rh e la t es t developme nts as t he
legis lat ive sess io n p rogresses . Fo r m o re
in format io n , visi t www.caci t ies .org. •
Special Notes on
Testing Facilities
and Manufacturing
Testing Facilities. In accordance with
both the MMRSA and Prop. 64, testing
facilities should not be engaged in any
other activity.
M a nufacturing. Until recently, all forms
of butane extraction in California were
illegal. (Butane extraction is a process
used to create a concentrated product
containing large amounts of THC, the
intoxicant in marijuana.) Consequently
many cities were unwilling to issue
permits for manufacturing of any kind
and, in some cases. those that did saw
t hose facilities swiftly shut down by
law enforcement.
AB 2679 (Cooley, Chapter 828,
Statutes of 2016) is a new law that
addresses this problem by clarify-
ing specific requirements both for a
legal form of butane extraction and for
extraction using nonvolatile solvents.
This clarification is important be-
cause the MMRSA clearly anticipated
extraction operations would occur as
part of manufacturing activities. The
League and the California Police Chiefs
Association supported this legislation
after confirming that the California Fire
Chiefs Association was not opposed
to the bill.
www.westerncity.com
Ren owned a s the seat of California's premier w i ne making
region and cu linary destinatio n, the d yna mic City of
Napa (p op. 80,000) is al so characteri zed b y its ro lling hill s, n ear-per fect weather and b eautiful
o p en space. This full-service mun icipality is su p p ort ed by a FY20 16-17 Gen eral Fund Operating
Budget o f $79.2 millio n (total b udget S 188.8 million) an d a workfo rce o f a pproxim ately 460. Th e
Fina nce Dep artment i s o rganized across five divisio n s: Administratio n , Accounting & Au diting,
Reve nue, Purch asi ng, and Info rmatio n Techno l ogy divisio ns.
Na pa is seeking an inspiring a nd eng aged pro fessional to lea d its 35-m em ber finance team. The
id eal candidate w ill be an excepti onal p eople m an ager and m e ntor w ho is also known for b ei ng a
colla b o rativ e business partne r. He/she w ill b e well-versed in contempo r ary uses of tech nology an d
may bring previo u s exper ience w it h system conversions/upgrad es. Rve yea rs of l ocal g overnment
fi na nce experi en ce, w h ich includes at l east three yea rs o f manag em ent experience, and a Bach elor's
degree are required . A Master 's d egree and/or CPA certificatio n is preferred .
Salary range $1 37,0 93 -$165,645. Pl acem ent w ithin t h e range will b e DOQE. A co mpetitive benefits
p ackage sup plements salary. Clo sing d at e: Sunday, February 12, 2017. For d et ailed b rochure and
to apply o nl i ne, visi t www.tbcrecruiting.com.
Teri Bl ac k · 424296.3111
Ju lie Yuan-M iu • 9 25 .820.8436
www.tbcrecrul tlng.com @f.»-in
Economic and Development Services Director
City of Costa Mesa, CA
The City of Costa Mesa (population 11 0,000) encompasses 16 square miles and is approximately
one mile fro m Southern California's inco mparable coastline. Costa Meso has established a
repu tation as o ne of the area 's lead ing cultu ral and business cen ters. The City is now seeking
a dyna mic, innovative, and experienced pro fession a l to lead its Econo mic a nd Development
Services Deport ment. A Director wi th a proven track record of success fu l leadershi p a nd
ability to effectively cu ltiva te and maintai n cooperative working rela tionshi ps withi n the
organization and the community will be ideal. Th e successful candidate will possess outs1onding
oral and written communica tion skills and b e comfortable interacti ng with internal a nd
external stake holders on a regular basis. A leader who will embrace working colloborotively
alongside an a ctive Pla nning Commission will be valued. At minimum, ca ndi dates must
possess a bachelo r 's degree from on accred ited fo ur-year college or un iversity wi th major
course work in planning, pub lic administration, eng ineering, the social sciences, or a related
fie ld, and hove exten sive progressively respo nsible experience in the fi el ds o f city planning,
redevelopmen t, and closely rela ted fields, with considerable supervisory an d administrative
experience. C ertification by the American Institute of Certifi ed Planners (AICP) is also preferred.
A Moster Cod e Professi on a l or Certified Building O fficial will be a plus. The annua l sa lary
range fo r this pos ition is $138,612 • $185,760, DOQ. This sa lary ran ge i s cu rrently
under review. If you o re interested in this ou tstandi ng opportunity, pleas e visit o ur website
of www.bo bmu rro yossoc.com to apply onl in e. Please con tact Ms. Vale rie Phi llips at
(916) 784 -9080 shoul d you hove any q ues tions. Preliminary screening wi ll beg in following
the applica tion dea d line o f Fe b r uary 17, 2017.
~ f r ) BOB MURRAY I ' & A SS OC IATES
EXP I:"T . I N E X E CUT IVE IIIUUIIC H
~
p h one 9 16 ·784 ·9080
fax 91 6 · 784 ·1985
www.bo bm urroya ssoc.com
West e rn City, Fe brua ry 2017 25