44 MONTEREY COUNTY WEEKLY NOVEMBER 14-20, 2024 www.montereycountynow.com classifieds Legal Notices CITY OF SAND CITY ONE PENDERGRASS WAY SAND CITY, CA 93955 (831) 394-3054 ORDINANCE NO SC 24‑03, 2024 ORDINANCE OF THE CITY COUNCIL OF SAND CITY, STATE OF CALIFORNIA, ADDING CHAPTER 18.102, “COMMERCIAL CANNABIS USES”, ADDING SECTION 18.19.030.B. TO CHAPTER 18.19 “CONDITIONAL USES”, AND DELETING SECTION 18.69.010, “MEDICAL MARIJUANA DISPENSARIES, DELIVERY, CULTIVATION, AND SALES” IN ITS ENTIRETY, AND AMENDING SECTION 18.82.030 “PENALTIES”, OF TITLE 18, “ZONING”, OF THE SAND CITY MUNICIPAL CODE WHEREAS, in 1996, the voters of the State of California approved Proposition 215, which was codified as Health and Safety Code Section 11362.5 et seq., and entitled the Compassionate Use Act of 1996 (“CUA”), which intended to enable seriously ill Californians to legally possess, use, and cultivate cannabis for medical use under limited, specified circumstances; and WHEREAS, in 2004, the California legislature enacted Senate Bill 420, the Medicinal Marijuana Program (the “MMP”), which, as codified in California Health and Safety Code Section 11362.7 et seq., was intended to clarify the CUA’s scope and immunize from criminal prosecution, under specified state laws, certain activities and conduct related to the provision of medicinal cannabis to qualified patients; and WHEREAS, on November 8, 2016, the voters of the State of California approved Proposition 64, entitled the “Control, Regulate and Tax Adult Use of Marijuana Act,” which legalizes and regulates adult‑use cannabis in California; and WHEREAS, the State has established an integrated licensing and regulatory system for both medicinal and adult use cannabis businesses consistent with Propositions 215 and 64 entitled the Medicinal and Adult‑Use Cannabis Regulation and Safety Act (“MAUCRSA”), codified in Business and Professions Code section 26000 et seq.; and WHEREAS, Business and Professions Code section 26200 expressly recognizes the ability of cities to completely prohibit all medicinal and adult‑use cannabis businesses or to allow and regulate such businesses; and WHEREAS, the City has an existing citywide prohibition against all types of medicinal and commercial cannabis facilities and activity, codified in Section 18.69.010 of the Sand City Municipal Code, which the City now wishes to repeal; and WHEREAS, the City applied for a Retail Access Grant (the “Grant”) from the State of California Department of Cannabis Control which was awarded to the City in the amount of $115,000.00, to be expended prior to June 30, 2026; and to which this Ordinance is subject to the terms and conditions of; and WHEREAS, a key requirement of the Grant will mandate the City provide opportunities and assistance to “Equity Applicants”, which are generally described as those who were disadvantaged by the prior criminalization of cannabis; and WHEREAS, upon information and belief, the City Council finds that allowing a limited number of commercial cannabis businesses in the City, subject to regulation, will benefit the local economy by providing jobs and opportunities to residents and Equity Applicants alike, while also providing other tangible community benefits, to be memorialized in a Community Benefit Agreement with approved commercial cannabis operators; and WHEREAS, in order to protect the public health, safety, and welfare, the City desires to permit, commercial cannabis activity in the City subject to regulation as set forth in this ordinance; and THE CITY COUNCIL OF THE CITY OF SAND CITY HEREBY ORDAINS AS FOLLOWS: SECTION 1: Chapter 18.102 is hereby added to Title 18 of the Sand City Municipal Code to read in its entirety as follows: 18.102.010 – Purpose. 18.102.020 – Definitions. 18.102.030 – P ermitted Cannabis Businesses. 18.102.040 – Requirements to Operate a Cannabis Business in the City. 18.102.050 – L ocation and Minimum Proximity Requirements. 18.102.060 – Application Procedures. 18.102.070 – Taxes. 18.102.080 – A ppeals, Costs Of Enforcement, Liability and Indemnification. 18.102.010 – Purpose. (a) The purpose of this section is to identify and establish standards for commercial cannabis uses that are conditionally permitted in certain Zoning Districts, but which have the potential to create significant effects on the community and surrounding properties. Furthermore, it is the purpose and intent of this section to: (1) Incorporate by reference applicable Medicinal and Adult Use Commercial Cannabis Regulations for “M” and “A”, Type 10 licenses, respectively, in effect on the date that this section becomes effective, and as may be amended from time to time; (2) Limit Commercial Cannabis Uses within the City of Sand City solely to storefront commercial retail uses for both “M” and “A” licenses, as defined in Business and Professions Code 26001(a), (ai); (3) Establish standards for the issuance of permits for retail commercial storefront cannabis uses by specifying the Zoning Districts wherein such uses may be located and the location of such uses in relation to other uses within the City of Sand City; (4) Assist law enforcement agencies in performing their duties effectively and in accordance with California law. (5) Acknowledge that, notwithstanding the enactment in California of the Medicinal and Adult‑Use Cannabis Regulation and Safety Act (“MAUCRSA”), the authority under which the provisions of this Chapter are incorporated within the Municipal Code, all forms of cannabis cultivation, processing, manufacture, distribution, sale and use of cannabis is illegal under federal law, and the provisions of this Chapter grant limited immunity from local prosecution to those medical and nonmedical cannabis activities that do not violate the restrictions and limitations set forth in this Chapter and relevant California law. (6) Ensure that cannabis sold for medical and nonmedical purposes remains secure and does not find its way to minors or illicit markets. (7) This Section shall not apply to legal medical cannabis or recreational cannabis activities carried out exclusively for one’s personal use that does not involve or commercial activity otherwise regulated by this section. 18.102.020 ‑ Definitions. (a) “Cannabis” means that plant and all derivatives as defined in Business and Professions Code section 26001(f) and California Health and Safety Code section 11018 as both may be amended from time to time. Any reference to cannabis or cannabis products shall include medicinal and nonmedicinal cannabis and medical and nonmedical cannabis products unless otherwise specified. (b) “Cannabis Delivery” means the commercial transfer of cannabis or cannabis products to a customer pursuant to MAUCRSA or to a primary caregiver or qualified patient as defined in Section 11362.7 of the Health and Safety Code, as may be amended. (c) “Cannabis Commercial Retail Business” or “Retailer” means a use requiring solely a Type 10 License wherein cannabis is offered for retail sale solely within a fully enclosed building. Such uses may include delivery, defined in Business and Professions Code 26001(r), and in accordance with applicable provisions of Department of Cannabis Control Regulations Section 15311, as may be amended, and in accordance with state and local laws and regulations. (d) “Cannabis license” means a “A” or “M” license issued by the State of California Department of Cannabis Control issued pursuant to MAUCRSA and in accordance with Department of Cannabis Control Regulations Section Chapter 3, Section 15400 et seq. (e) “Cannabis licensee” means a person issued a state license under MAUCRSA to engage in retail commercial cannabis sales and related activities. (f) “Cannabis products” means cannabis offered for retail sale by a Type 10 licensee in accordance with provisions of this Chapter. (g) “Child care center” shall have the same meaning as “day care center” in Health and Safety Code section 1596.76, as may be amended from time to time: means any child day care facility other than a family day care home, and includes infant centers, preschools, extended day care facilities, and school age child care centers. (h) “Commercial cannabis uses” means only storefront retail commercial cannabis activities pursuant to the Medicinal and Adult‑Use Cannabis Regulation and Safety Act (“MAUCRSA”), Business and Professions Code 26000 et seq, including retail, sale of cannabis or cannabis products. (i) “City Manager” means the City Manager or her/his designee. (j) “Medical cannabis” or “medicinal cannabis” means cannabis that is used for medicinal cannabis purposes in accordance with the Medicinal and Adult‑Use Cannabis Regulation and Safety Act (“MAUCRSA”). (k) “Person” means an individual, firm, partnership, joint venture, association, corporation, limited liability company, estate, trust, business trust, receiver, syndicate, tribe, or any other group or combination acting as a unit and includes the plural as well as the singular number. (l) “Premise(s)” means a leased or owned space within a fully enclosed building where the commercial retail cannabis use or activity is or will be conducted. (m) “Primary caregiver” shall have the same meaning as set forth in Health and Safety Code section 11362.7, as the same may be amended from time to time. (n) “Public place” means any publicly owned property or property on which a public entity has a right of way or easement. (o) “Operator” means the natural person or designated officer responsible for the operation of a retail commercial cannabis use. (p) “Retailer” means any premises that is a physical location within an enclosed building from which retail commercial cannabis activities are conducted facility, under a state cannabis license Type 10, or a state cannabis license type subsequently established equivalent to a Type 10. (q) “Final Authority” means the individual or official City body (the City Manager, Director, Council, Commission, or Board) and others as identified in the Sand City Municipal Code as having the responsibility and authority to approve or deny land use permit applications. (r) “Sale,” “sell,” and “to sell” shall have the same meaning as set forth in Business and Professions Code section 26001(ay) as the same may be amended from time to time: include any transaction whereby, for any consideration, title to cannabis or cannabis products is transferred from one person to another, and includes the delivery of cannabis or cannabis products pursuant to an order placed for the purchase of the same and soliciting or receiving an order for the same, but does not include the return of cannabis or cannabis products by a licensee to the licensee from whom the cannabis or cannabis product was purchased. . (s) “School” means any public or private school providing instruction to students in kindergarten or any grades 1 through 12. (t) “Youth center” shall have the same meaning as in Section 11353.1 of the Health and Safety Code, as may be amended from time to time: any public or private facility that is primarily used to host recreational or social activities for minors, including, but not limited to, private youth membership organizations or clubs, social service teenage club facilities, video arcades, or similar amusement park facilities. 18.102.030 – Permitted Cannabis Businesses. (a) Cannabis Retail Commercial Businesses Permitted Within the City. A maximum of two, (2) Type 10 Cannabis storefront retail businesses may operate within the City subject to the restrictions of this Chapter. (b) Cannabis Delivery Operations Based Outside the City Permitted. Licensed cannabis delivery operations based outside of the City may deliver cannabis and cannabis products to customers and qualified patients and their caregivers within the City. 18.102.040 – Requirements to Operate a Cannabis Business in the City. (a) Any cannabis business allowed in the City shall obtain all of the following: (1) A City business license. ( 2) A Cannabis Storefront Commercial Retail Operating Permit on a form specified by the City Manager. ( 3) A Conditional Use Permit pursuant to the procedure in Chapter 18.74 of this Code. Any Conditional Use Permit relating to the location of a retail storefront commercial cannabis business may be approved based on all of the following findings: a. The proposed use is consistent with the General Plan and any applicable specific plan. b. The design, location, size, and operating characteristics of the proposed activity would be compatible with the existing and future land uses in the vicinity. c. The site is physically suitable for the type, density, and intensity of use being proposed, including access, utilities, and the absence of physical constraints. d. The proposed project has been reviewed in compliance with the California Environmental Quality Act. e. Conditions of approval require that the continuation of the retail storefront commercial cannabis use requires verification of annual license renewal by the Department of Cannabis Control within 30 days following approval of the renewal. f. Conditions of Approval require the execution of a Community Benefit Agreement prior to issuance of a Business License for operation of a Retail Commercial cannabis business. 18.102.050 ‑ Location and Minimum Proximity Requirements. (a) All storefront retail commercial cannabis uses operating within the City shall be located in the Regional Commercial (C‑4) Zoning District. (b) Additionally, the following location and proximity requirements shall apply: (1) No commercial cannabis use shall be located within six hundred feet (600’) of a school, child care center, or youth center, as measured from the nearest property lines. (2) No commercial cannabis use shall be located within two hundred feet (200’) of a park or library, as measured from the nearest property lines. (c) The proximity requirements above may be waived by the City Council when the applicant can show that an actual impassible physical separation exists between land uses or parcels, such as a building, sound wall, major street or highway, such that no negative off‑site impacts could occur that would result in harm or likely harm to the public health, safety, or welfare or the health, safety, or welfare of nearby resident or tenant, unless otherwise prohibited under state law. 18.102.060 – Application Procedures. (a) Application Submittal, Review and Approval Procedures. (1) Solicitation of Applications. The City Manager will issue a notice soliciting applications to operate a storefront retail commercial cannabis business pursuant to this Chapter. Such notice will specify when the City will begin accepting applications and the deadline for receipt of applications. (2) Applications shall include a detailed description of proposed “A” and “M” Type 10 License operations sufficient to demonstrate compliance with and corresponding to relevant MAUCRSA provisions and Department of Cannabis Control Medicinal Adult Use Commercial Cannabis Regulations generally and, in particular, Chapters 1 “All Licenses” and Chapter 3 “Retailers” (Sections 15000 and 15400 et seq., respectively), as they may be amended. Descriptions shall reference and address each of the applicable sections contained within these Chapters. (3) Selection Process. The method for selecting the applicants that will be eligible to receive operator permits shall be set by resolution of the City Council. The City Manager shall be authorized to prepare any other necessary forms and adopt any necessary rules to implement the procedure guidelines and review criteria. (4) Six (6) Month Time Period to Seek Conditional Use Permit. An applicant has six (6) months from the selection of an application by the City Council to obtain a
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