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HomeMy WebLinkAboutItem GAGENDA STAFF REPORT t j � tigUFORw Nri DATE: February 13, 2017 TO: Honorable Mayor and Members of the City Council THRU: Jill R. Ingram, City Manager FROM: Jim Basham, Community Development Director SUBJECT: ORDINANCE NO. 1663 (MUNICIPAL CODE AMENDMENT NO. 17 -1), CONSIDERATION OF AN ORDINANCE OF THE CITY OF SEAL BEACH AMENDING SECTION 5.70.025 OF CHAPTER 5.70 OF TITLE 5 OF THE SEAL BEACH MUNICIPAL CODE TO PROHIBIT ALL COMMERCIAL NON - MEDICAL MARIJUANA ACTIVITIES, AS DEFINED, WITH LIMITED EXCEPTIONS, TO PROHIBIT ALL OUTDOOR CULTIVATION OF MARIJUANA, TO ALLOW INDOOR CULTIVATION OF UP TO SIX MARIJUANA PLANTS AT PRIVATE RESIDENCES FOR PERSONAL USE SUBJECT TO COMPLIANCE WITH REGULATIONS, AND TO RETAIN EXISTING LIMITED EXEMPTIONS FOR PERSONAL MEDICAL MARIJUANA USE FOR MEDICAL PURPOSES BY QUALIFIED PATIENTS OR PERSONS HOLDING IDENTIFICATION CARDS AND PROVISION OF MEDICAL MARIJUANA TO LESS THAN THREE QUALIFIED PATIENTS OR IDENTIFICATION CARD HOLDERS BY PRIMARY CAREGIVERS FOR MEDICAL PURPOSES AS ALLOWED BY STATE LAW SUMMARY OF REQUEST: That the City Council introduce and conduct first reading of Ordinance No. 1663, prohibiting all commercial non - medical marijuana activities, as defined, in the City, to prohibit all outdoor marijuana cultivation, to allow indoor cultivation of marijuana for personal use at private residences subject to specified regulations, and to retain existing exemptions for personal use of medical marijuana by qualified patients or holders of identification cards for medical purposes and provision of medical marijuana by primary caregivers to less than three qualified patients or identification card holders for medical purposes as allowed by state law. BACKGROUND: A. The Compassionate Use Act and Related Statutes In 1996, the voters of the State of California approved Proposition 215 entitled `The Compassionate Use Act of 1996" ( "CUA ") to enable seriously ill Californians, under the Agenda Item G care of a physician, to legally possess, use, and cultivate marijuana for medical use under state law. In 2003, the California Legislature adopted SB 420, entitled the Medical Marijuana Program ( "MMP "), which permits qualified patients and their primary caregivers to associate collectively or cooperatively to cultivate marijuana for medical purposes without being subject to criminal prosecution under the California Penal Code. Neither the CUA nor the MMP required or imposed an affirmative duty or mandate upon a local government to allow, authorize, or sanction the establishment of facilities that cultivate medical marijuana within its jurisdiction. In 2015, Governor Brown signed into law the Medical Marijuana Regulation and Safety Act ( "MMRSA ") which is comprised of three related bills: Assembly Bill 243, Assembly Bill 266, and Senate Bill 643. The MMRSA established licensing requirements for the cultivation, distribution, and transportation of medical marijuana, safety and testing standards for medical marijuana and medical marijuana products, and regulates the physicians who recommend or prescribe medical marijuana to patients. The MMRSA contained statutory provisions that allow local governments to maintain local control over medical marijuana and did not require a city to allow medical marijuana activity within its borders. The Medical Cannabis Regulation and Safety Act (the "MCRSA "), (Chapter 3.5 of Division 8 of the Business and Professions Code) subsequently amended and superseded the MMRSA. Since 2008, the City has prohibited medical marijuana dispensaries. In early 2016 the City enacted several new ordinances to address marijuana. On January 11, 2016, the City Council adopted Ordinance No. 1650, an urgency ordinance that prohibited the cultivation of marijuana in all zones in the City pending consideration of permanent amendments to the Municipal and Zoning Codes regarding marijuana. Subsequently, the City Council adopted Ordinance No. 1651, which added Chapter 11.4.100 to Part IV of Title 11 of the Municipal Code to prohibit the cultivation of commercial and non- commercial marijuana in all zones in the City. By separate ordinance, Ordinance No. 1652, the City Council also amended Section 5.70.025 of Chapter 5 of the Municipal Code, to prohibit all medical marijuana dispensaries, mobile marijuana dispensaries, and medical marijuana deliveries in the City, and prohibit issuance of any business licenses for such businesses. B. The Control, Regulate and Tax Adult Use of Marijuana Act of 2016 At the November 8, 2016 election, an initiative measure known as the "Control, Regulate and Tax Adult Use of Marijuana Act' ( "the AUMA ", or "Proposition 64 ") was approved by a majority of California voters. As a result of the approval of the AUMA, it is now legal for persons 21 years of age or older to: smoke or ingest marijuana or marijuana products; possess, process, transport, purchase, obtain, or give away to persons 21 years of age or older 28.5 grams (one ounce) of marijuana, or eight (8) grams of concentrated marijuana; and possess, plant, cultivate, harvest, dry or process up to six (6) marijuana plants for personal use in, or upon the grounds of, a private residence. Page 2 The AUMA establishes a comprehensive system of State licensing to regulate commercial marijuana activity, which is broadly defined to include recreational marijuana dispensaries and commercial cultivation sites, and prohibits mobile marijuana dispensaries. The Bureau of Marijuana Control will be responsible for (1) administering the AUMA, (2) developing standards and regulations regarding commercial marijuana activity, and (3) performing licensing and disciplinary functions. The Department of Consumer Affairs will license and oversee marijuana retailers, distributors, and microbusinesses. The Department of Food and Agriculture will license and oversee marijuana cultivation, ensuring that the marijuana is environmentally safe. The Department of Public Health will license and oversee marijuana manufacturing and testing, ensuring consumers receive a safe product. These agencies will begin issuing licenses for marijuana pursuant to the AUMA by January 1, 2018. Under the AUMA, the growth and sale of marijuana is taxed, and any local jurisdiction that decides to permit commercial marijuana activities may also levy their own local taxes on recreational marijuana activities, subject to voter approval. The AUMA provides, pursuant to California Business and Professions Code Section 26055(e), that a State licensing authority shall not approve an application for a State license for commercial non - medical marijuana activity if approval of the State license will violate the provisions of any local ordinance. The AUMA also permits cities to (1) adopt and enforce local ordinances to regulate non- medical marijuana businesses, including, but not limited to, local zoning and land use requirements, business license requirements, and requirements related to reducing exposure to secondhand smoke, or (2) completely prohibit the establishment or operation of one or more types of marijuana businesses within its jurisdiction. The AUMA allows for the planting, cultivation, harvesting, drying and processing ( "cultivation activities ") of up to six (6) marijuana plants in, or upon the grounds of, a private residence, as well as the possession of any marijuana produced by the plants. The AUMA authorizes a city to enact and enforce an ordinance that reasonably regulates cultivation activities, and to completely prohibit cultivation activities outdoors upon the grounds of a private residence unless the California Attorney General determines that non - medical use of marijuana is lawful in the State under Federal law. ANALYSIS: The proposed ordinance would update Section 5.70.025 of Chapter 5.70 of the Municipal Code to be consistent with the AUMA with regard to non - medical marijuana, by broadly defining "commercial marijuana activities" consistent with the AUMA, and adding prohibitions on all commercial marijuana activities, as defined, retaining the prohibition on the outdoor cultivation of marijuana throughout the City, allowing limited indoor cultivation of marijuana at private residences subject to compliance with specified regulations, in accordance with the AUMA, and allowing personal use of medical marijuana by qualified patients or holders of identification cards and provision of medical marijuana to such persons by primary caregivers as allowed under the CUA. The Page 3 following provides a summary of the provisions of the proposed amendments to Section 5.70.025. A. The proposed Ordinance prohibits all types of non - medical marijuana businesses and activities, with limited exceptions. The proposed Ordinance would amend Section 5.70.025 to broadly prohibit all "commercial marijuana activities ", which are defined to include the cultivation, possession, manufacture, distribution, processing, storing, laboratory testing, labeling, transportation, delivery or sale of marijuana and /or marijuana products, whether or not for profit, as well as the activities of any business or other activity licensed by the state or other government entity under Chapter 3.5 of Divisions 8 or Division 10 of the Business and Professions Code, as they may be amended from time to time, subject to stated exemptions. The existing prohibition on medical marijuana dispensaries and deliveries has been expanded to include non - medical marijuana dispensaries and delivery services as well (including but not limited to mobile marijuana dispensaries). The Ordinance also provides that a property owner shall not rent, lease or otherwise permit any person or business that engages in commercial marijuana activity to occupy real property in the city, to allow any person or business to establish, operate, maintain, conduct, or engage in commercial marijuana activity on any real property owned or controlled by that property owner that is located in the city. B. The Ordinance allows use of medical marijuana by qualified patients or identification card holders and provision of medical marijuana by primary caregivers to less than three qualified patients or identification card holders for medical purposes. The Compassionate Use Act allows persons with serious medical conditions to use medical marijuana for medical purposes, upon recommendation of a doctor, and also allows primary caregivers, as defined, to assist such persons. The proposed Ordinance will continue to allow qualified patients or persons with state - issued identification cards to use medical marijuana for medical purposes, and will also allow primary caregivers, as defined, to provide less than three (3) qualified patients or identification card holders with medical marijuana for medical purposes in accordance with the CUA. C. The proposed Ordinance prohibits all outdoor marijuana cultivation The proposed amendment would continue the prohibition on outdoor cultivation of all medical and non - medical marijuana. D. The proposed Ordinance allows indoor personal marijuana cultivation at private residences subject to compliance with specified requirements. The Ordinance allows the indoor cultivation of marijuana only at private residences, either inside the residence or inside a fully enclosed and secured structure at the Page 4 residential site. As proposed, a "fully enclosed and secure structure" is defined to mean a space within a building, greenhouse or other structure which has a complete roof enclosure supported by connecting walls extending from the ground to the roof, which is secure by lock and key or other security device which prevents unauthorized entry, provides complete visual screening, and which is accessible only through one or more lockable doors and inaccessible to minors. In addition, indoor cultivation may be carried out only by a person who is at least 21 years old, and indoor marijuana cultivation is limited to six (6) plants total, whether immature or mature, regardless of how many persons who are at least 21 years old reside at that private residence. The ordinance also contains standards on indoor cultivation to preserve and protect the environment and prevent adverse impacts on neighboring properties, including the following: • Marijuana cultivation shall only take place on impervious surfaces. • Marijuana cultivation shall utilize energy efficient lighting and ventilation systems compliant with California's Building Energy Efficiency Standards, as may be amended from time to time. • The use of gas products (CO2, butane, etc.) or CO2 and Ozone generators for marijuana cultivation or processing is prohibited. • The use of marijuana extraction and concentration techniques, including but not limited to butane, CO2 or ethanol, to manufacture concentrated cannabis is strictly prohibited. • Marijuana cultivation shall not be visible from any public right of way or neighboring property. • The residential structure shall remain at all times a residence, with legal and functioning cooking, sleeping and sanitation facilities with proper ingress and egress. The residence, and any rooms in the residence, shall not be used for marijuana cultivation where such cultivation will prevent their primary use for cooking of meals, sleeping and bathing. • Any structure used for the cultivation of marijuana must have proper ventilation to prevent marijuana plant odors from becoming a public nuisance to surrounding properties or the public. A public nuisance may be deemed to exist if the cultivation produces odors which are detectable to people of normal sensitivity residing or present on adjacent or nearby property or a public right of way. • No person shall cultivate marijuana in any manner that causes light, glare, heat, mold, odor, noise, or vibration that is or whose effect is either detrimental to public health, safety, or welfare or interferes with the reasonable enjoyment of life or property. • A portable fire extinguisher, that complies with the regulations and standards adopted by the state fire marshal and applicable law, shall be kept in same room as where cultivation occurs. • Cultivation of marijuana shall not displace required off - street parking, or violate any other provisions of the code. • All electrical equipment used in the cultivation of marijuana (e.g. lighting and ventilation) shall be plugged directly into a wall outlet or otherwise hardwired. Page 5 • Prior to performing any work on electrical wiring /rewiring the applicant shall first obtain a building, mechanical and /or electrical permit, as required, from the building division. E. The proposed Ordinance exempts personal uses exempt under the AUMA. In accordance with the AUMA, the amendments also contain exemptions that allow persons 21 years of age or older to: smoke or ingest marijuana or marijuana products; possess, process, transport, purchase, obtain, or give away to persons 21 years of age or older 28.5 grams (one ounce) of marijuana, or eight (8) grams of concentrated marijuana; and possess, plant, cultivate, harvest, dry or process up to six (6) marijuana plants for personal use in, or upon the grounds of, a private residence (subject to the prohibition on outdoor cultivation and compliance with indoor cultivation requirements as set out above). LEGAL NOTIFICATION: Legal notice of the Public Hearing was published in the Sun on Thursday, February 2, 2017. An affidavit of publication is on file. ENVIRONMENTAL IMPACT: Pursuant to the California Environmental Quality Act, Pub. Res. Code § 21000 et seq., ( "CEQA ") and the State CEQA Guidelines, 14 C.C.R. § 15000 et seq., the Planning Department has determined that proposed Ordinance No. 1663 (Municipal Code Amendment No. 17 -1) is exempt from review under CEQA and the State CEQA Guidelines, pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no possibility that the proposed prohibition on all commercial non - medical marijuana activities and all outdoor marijuana cultivation, the proposed amendments to allow limited indoor cultivation of marijuana at private residences subject to compliance with regulations, and the limited exceptions for personal use of medical marijuana for medical purposes by qualified patients and identification card holders, and provision of medical marijuana by primary caregivers to less than three (3) qualified patients or identification holders for medical purposes will have a significant effect on the environment. The proposed ordinance imposes greater limitations on uses and activities allowed in the City, and will thereby serve to eliminate potential significant adverse environmental impacts. The proposed ordinance will not have an impact on the physical environment as it will not result in any changes to the environment. The proposed project is an administrative process of the City that will not result in direct or indirect physical changes in the environment. LEGAL ANALYSIS: The City Attorney has reviewed the attached Ordinance and has approved as to form. FINANCIAL IMPACT: There may be additional law enforcement costs related to the enforcement of the provisions of this prohibition although it is difficult to quantify these costs at this time. RECOMMENDATION: That the City Council introduce and conduct first reading of Ordinance No. 1663, prohibiting all commercial non - medical marijuana activities, as defined, in the City, to prohibit all outdoor marijuana cultivation, to allow indoor cultivation of marijuana for personal use at private residences subject to specified regulations, and to retain existing exemptions for personal use of medical marijuana by qualified patients or holders of identification cards for medical purposes and provision of medical marijuana by primary caregivers to less than three qualified patients or identification card holders for medical purposes as allowed by state law. NOTED ANDD APPROVED: Patrick Gallegos Assistant City Manager Prepared by: Amy Greyson, Assistant City Attorney Attachments: A. Ordinance No. 1663 Page 7 Attachment "A" ORDINANCE NO. 1663 AN ORDINANCE OF THE SEAL BEACH CITY COUNCIL AMENDING SECTION 5.70.025 OF CHAPTER 5.70 OF TITLE 5 OF THE SEAL BEACH MUNICIPAL CODE TO PROHIBIT ALL COMMERCIAL NON - MEDICAL MARIJUANA BUSINESSES AND ACTIVITIES, AS DEFINED, WITH LIMITED EXCEPTIONS, TO PROHIBIT OUTDOOR CULTIVATION OF MEDICAL AND NOW MEDICAL MARIJUANA, TO ALLOW INDOOR CULTIVATION OF UP TO SIX MARIJUANA PLANTS AT PRIVATE RESIDENCES FOR PERSONAL USE SUBJECT TO COMPLIANCE WITH REGULATIONS REGARDING INDOOR RESIDENTIAL CULTIVATION, AND TO RETAIN EXISTING LIMITED EXEMPTIONS FOR PERSONAL MEDICAL MARIJUANA USE IN PRIVATE RESIDENCES BY QUALIFIED PATIENTS OR PERSONS HOLDING IDENTIFICATION CARDS AND PROVISION OF MEDICAL MARIJUANA TO LESS THAN THREE QUALIFIED PATIENTS OR IDENTIFICATION CARD HOLDERS BY PRIMARY CAREGIVERS FOR MEDICAL PURPOSES AS ALLOWED BY STATE LAW THE CITY COUNCIL OF THE CITY OF SEAL BEACH DOES ORDAIN AS FOLLOWS: SECTION 1. Findings and Purpose. A. The City of Seal Beach, California (the "City ") is a charter city, duly organized under the constitution and laws of the State of California. B. The City currently prohibits medical marijuana dispensaries and mobile marijuana dispensaries, as defined, and marijuana deliveries pursuant to Section 5.70.025 (Medical Marijuana Dispensaries), of Chapter 5.70 (Miscellaneous Business Regulations) of Title 5 (Business Licenses and Regulations) of the Seal Beach Municipal Code. The City also currently prohibits all marijuana cultivation in all zoning districts and specific plan areas of the City, pursuant to Section 11.4.100.010 of Chapter 11.4.100 (Medical Marijuana) of Part IV (Regulations Applying in Some or All Districts) of Title 11 (Zoning) of the Seal Beach Municipal Code. These prohibitions were adopted pursuant to Ordinance Nos. 1580 and 1652, following voter approval of Proposition 215, the Compassionate Use Act of 1996 ( "CUA "), and implementing statutes including the Medical Marijuana Program (the "MMP "), (California Health and Safety Code § 11362.7, et seq.), and the Medical Cannabis Regulation and Safety Act (the "MCRSA ") (Chapter 3.5 of Division 8 of the Business and Professions Code), previously codified as the Medical Marijuana Regulation and Safety Act. The CUA and implementing statutes enable persons who are in need of marijuana for medical purposes to use it without fear of criminal prosecution under limited, specified circumstances. The current Municipal Code and Zoning Code provisions do not preclude a qualified patient or individual holding a duly- issued identification card (as defined in state law) from using or possessing medical marijuana or medical marijuana Ordinance No. 1663 products for medical purposes in their own home or from receiving medical marijuana from a primary caregiver in accordance with the state law. C. On November 8, 2016, California voters approved the Control, Regulate and Tax Adult Use of Marijuana Act ( "AUMA "). The AUMA legalizes the use of non - medical marijuana for those who are 21 years of age or older and establishes a comprehensive system to regulate commercial non - medical marijuana activity. The provisions of Proposition 64 related to the possession, use, and cultivation of non- medical marijuana went into effect on November 9, 2016. D. The AUMA creates a comprehensive system to regulate commercial non - medical marijuana activity, which is broadly defined to include the cultivation, possession, manufacture, distribution, processing, storing, laboratory testing, labeling, transportation, delivery or sale of marijuana and marijuana products. The AUMA modifies existing state law to prohibit mobile marijuana dispensaries. To regulate commercial use of non - medical marijuana, the AUMA adds Division 10 (Marijuana) to the Business & Professions Code, Sections 26000 et seq., which grants State agencies the authority to create, issue, renew, discipline, suspend, or revoke licenses for marijuana businesses. The AUMA provides that the State shall begin issuing licenses to marijuana businesses under Division 10 of the Business and Professions Code by January 1, 2018. E. California Business and Professions Code Section 26055(e) provides that a State licensing authority shall not approve an application for a State license for commercial non - medical marijuana activity if approval of the State license will violate the provisions of any local ordinance. F. The AUMA permits cities to (1) adopt and enforce local ordinances to regulate non - medical marijuana and non - medical marijuana businesses, including, but not limited to, local zoning and land use requirements, business license requirements, and requirements related to reducing exposure to secondhand smoke, or (2) completely prohibit the establishment or operation of one or more types of marijuana businesses within its jurisdiction. G. The AUMA allows for the planting, cultivation, harvesting, drying and processing ( "cultivation activities ") of up to six marijuana plants in, or upon the grounds of, a private residence, as well as the possession of any marijuana produced by the plants. The AUMA also authorizes a city to enact and enforce an ordinance that reasonably regulates cultivation activities, and to completely prohibit cultivation activities outdoors upon the grounds of a private residence unless the California Attorney General determines that non - medical use of marijuana is lawful in the State under Federal law. H. The Federal Controlled Substances Act, 21 U.S.C. § 801, et seq., classifies marijuana as a Schedule 1 Drug, which is defined as a drug or other substance that has a high potential for abuse, that has no currently accepted medical use in treatment in the United States, and that has not been accepted as safe for use under medical supervision. The Federal Controlled Substances Act makes it unlawful 2 Ordinance No. 1663 under federal law for any person to cultivate, manufacture, distribute or dispense, or possess with intent to manufacture, distribute or dispense, marijuana. I. Cities in California have reported negative effects of marijuana cultivation, processing and distribution activities, including offensive odors, illegal sales and distribution of marijuana, trespassing, theft, violent robberies and robbery attempts, fire hazards, and problems associated with mold, fungus, and pests. Furthermore, as marijuana plants begin to flower, and for a period of two months or more, the plants produce a strong, unique odor, offensive to many people, and detectable far beyond property boundaries if grown outdoors. This odor can have the effect of encouraging theft by alerting persons to the location of the valuable plants, and creating a risk of burglary, robbery or armed robbery of the plants and creating the potential for violent acts related to such criminal activity. J. The City has initiated amendments to the Seal Beach Municipal Code to update its business regulations in light of the adoption of the AUMA, to prohibit the establishment, operation or maintenance of all commercial nonmedical marijuana businesses and other activities, as defined, to prohibit all outdoor marijuana cultivation, and to prohibit indoor marijuana cultivation with a limited exception inside private residences or other fully enclosed structures at private residences subject to compliance with specified code requirements, while retaining existing Municipal Code prohibitions on medical marijuana dispensaries, mobile marijuana dispensaries, and deliveries, as defined, and while retaining existing provisions allowing personal use of medical marijuana by qualified patients or holders of identification cards for medical purposes and provision of medical marijuana by primary caregivers to qualified patients or identification card holders for medical purposes to the extent allowed by State law. Nothing in this Ordinance shall preempt or make inapplicable any provision of State or Federal law. K. All legal prerequisites to the adoption of this Ordinance have occurred. SECTION 2. The City Council of the City of Seal Beach hereby finds and determines that all of the above Recitals are true and correct and incorporates such Recitals into this Ordinance as if fully set forth herein. SECTION 3. The City Council of the City of Seal Beach hereby amends Section 5.70.025 of Chapter 5.70 (Miscellaneous Business Regulations) of Title 5 (Business Licenses and Regulations) to read as follows: "5.70.025 MedmGal Madjuana DispensaFiesMarWana Activities. A. Purpose and Findings. • MW ail .. • 3 Ordinance No. 1663 public health, safety, and welfare of the residents and businesses within the city, the declared purpose of this chapter section is to prohibit as stated mariivana cultivation, marijuana dispensaries, marijuana deliveries, and all other marijuana activities, whether or not for profit, with limited exceptions for personal medical use by qualified patients or holders of identification cards for medical purposes or provision of medical mariivana by primary caregivers to less than three (3) oualified patients and identification card holders for medical purposes as allowed by state law, and to allow indoor cultivation of mariivana at private residences subject to compliance with specified conditions, as set forth in this section. It is further the intent of the city for the State of California not to issue anv state licenses for mariivana businesses or other commercial mariivana activities to operate in the city. 2. Nothing in this chapter shall preempt or make inapplicable anv provision of state or federal law. B. Definitions. For the purpose of this section, the following words and phrases shall mean: 1. AUMA: the Control, Regulate and Tax Adult Use of Mariivana Act approved by the voters on November 8, 2016, as the same may be amended from time to time. 2. Commercial mariivana activity: shall include but is not limited to the cultivation, possession, manufacture, distribution, processing, storing, laboratory testing, any business or other activity licensed by the state or other government entity under Chapter 3.5 of Divisions 8 or Division 10 of the Business and Professions Code, as they may be amended from time to time. 3. Compassionate Use Act or CUA: the Compassionate Use Act of 1996, or Proposition 215, approved by the voters on November 5, 1996, and codified in Health and Safety Code Section 11362.5, as the same may be amended from time to time. 4. Concentrated cannabis: shall have the same meaning as the Phrase `cannabis concentrate" is defined in Business and Professions Code Section 19300.5, as the same may be amended from time to time. 5. Cultivation: any activity involving the planting, growing, harvesting, drying, curing, orading, or trimming of mariivana. 6. Delivery: shall mean and include the commercial transfer of mariivana or mariivana products to a customer. `Delivery" also includes the use by a retailer of any technology platform owned and controlled by the retailer, or independently licensed under this division that enables customers to arrange for or facilitate the commercial transfer by a licensed retailer of marijuana or mariivana Products. `Delivery" shall also include but is not limited to spatial/ "delivery' activities as ll Ordinance No. 1663 defined have the same FReaRinn as set f hh in Business and Professions Code Section 19300.5(m), as the same may be amended from time to time, and shall 'nnl de the aad— Safety Code, or — testiRg ,= Be"YeF}r-- also �es-- the - use y --a 7. Distribution: the procurement, sale, and transport of mariivana, mariivana products and mariivana accessories between entities licensed under Chapter 3.5 of Division 8 or Division 10 of the Business and Professions Code, as they may be amended from time to time. 28. Identification Card., a document issued by the State Department of Health Services which identifies a person authorized to engage in the medical use of marijuana and the person's designated primary caregiver, if any. 9. Indoor or Indoors: means within a fully enclosed and secure structure as defined in Subsection E of this Section 5.70.025. 10. Licensee: the holder of any state issued license related to mariivana activities, including but not limited to licenses issued under Divisions 8 and 10 of the Business & Professions Code, as they may be amended from time to time. 11. Manufacture: to compound, blend, extract, infuse, or otherwise make or prepare a mariivana product. 342. Marijuana: shall have the same meaning as "cannabis" as set forth in Business and Professions Code Section 19300.5(f), as the same may be amended from time to time, and shall include all parts of the plant Cannabis sativa linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. "Marijuana" also means the separated resin, whether crude or purified, obtained from marijuana. "Marijuana" also means marijuana as defined by Section 11018 of the Health and Safety Code. For the purpose of this section, "marijuana" does not mean "industrial hemp" as defined by Section 81000 of the Food and Agricultural Code or Section 11018.5 of the Health and Safety Code. Marijuana also means "medical marijuana" as defined in this section. 13. Mariivana accessories: any equipment, products or materials of anv kind which are used, intended for use, or designed for use in planting, propagating, cultivating, growing, harvesting, manufacturing, compounding, converting, producing, processing, preparing, testing, analyzing, packaging, repackaging, storing, smoking, Ordinance No. 1663 vaporizing, or containing marivana, or for ingesting, inhaling, or otherwise introducing mariivana or mariivana products into the human body. 14. Marijuana Dispensary: any facility, location, vehicle, or activity, whereby mariivana, mariivana products, or mariivana devices for the use of marijuana are offered, either individually or in any combination for retail sale, whether mobile or stationary, including an establishment that delivers mariivana and mariivana products as part of a retail sale. The term `dispensary" shall be construed to include but not be limited to, all `dispensary" and retail facilities as defined in Chapter 3.5 of Division 8 or Division 10 of the Business and Professions Code, as they may be amended from time to time. The term `dispensary" also includes a mobile mariivana dispensary as defined in this section. The term dispensary" shall be broadly and liberally interpreted to achieve the purpose of this section. 15. Mariivana product: shall mean mariivana 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 cannabis and other ingredients. "Marijuana product" shall include both non - medical mariivana products and medical mariivana products as defined in this section. 16. MCRSA: the Medical Cannabis Regulation and Safety Act as contained, codified, enacted, and signed into law on October 9, 2015, as Assembly Bill No. 243, Assembly Bill No. 266, and Senate Bill 643, and as amended by Assembly Bill 21 in 2016, as the same may be amended from time to time. The MCRSA was formerly known as the Medical Marijuana Regulation and Safety Act. 4.17. 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 cancer, anorexia, AIDS, chronic pain, spasticity, glaucoma, arthritis, migraine, or any other serious medical condition for which marijuana is deemed to provide relief as defined in subsection (h) of Health and Safety Code Section 11362.7, as such section may be amended from time to time. Gairpd� interpreter! in Cash of these terms is defined herein and shall he interprete i street aGGE)rdaRGe With Galifernia Health and Safety Gede SeGt'E)RS 14362.6 ..d 1 -1 seq. `"'``JJas c sh motions Fn ay he a Rded from time to time. 6-.18. Medical Marijuana Product: shall have the same meaning as "cannabis product' or "medical cannabis product" as set forth in Business and Professions Code Section 19300.5(ag), as the same may be amended from time to time, and shall include marijuana, as well as concentrates and extractions, intended to A Ordinance No. 1663 be sold for use by medical marijuana patients pursuant to the Compassionate Use Act of 1996 (Proposition 215). 7 44A4R 4.- the Medical M riluaRa Qnnnlatinn Rd Safety Anf as . 8-.19. Mobile Marijuana Dispensary: the use of a motor vehicle that in any way involves growing, distributing, delivering, selling or making available to persons, with or without financial payment or consideration and regardless of the number of persons served, marijuana or medical marijuana products, including marijuana for medical purposes as described in California Health and Safety Code Section 11362.5. 20. Outdoor or Outdoors: any location that is not within a fully enclosed and secure structure. 21. Person: any individual, firm, co- partnership, ioint venture, association, corporation, limited liability company, estate, trust, business trust, receiver, syndicate, or any other group or combination acting as a unit, and the plural as well as the singular. 9-.22. Primary Caregiver: the individual, designated by a qualified patient or by a person with an identification card, who has consistently assumed responsibility for the housing, health, or safety of that patient or person. 4-0-.23. Physician: an individual who possesses a recognition in good standing to practice medicine or osteopathy issued by the Medical Board of California or the Osteopathic Medical Board of California and who has taken responsibility for an aspect of the medical care, treatment, diagnosis, counseling, or referral of a patient and who has conducted a medical examination of that patient before recording in the patient's medical record the physician's assessment of whether the patient has a serious medical condition and whether the medical use of marijuana is appropriate. 24. Private residence: a house, an apartment unit, a mobile home, or other similar dwelling lawfully used as a residence. 44 -.25. Qualified Patient: a person who is entitled to the protections of California Health and Safety Code Section 11362.5, as such section may be amended from time to time, but who does not have an identification card issued by the State Department of Health Services. 26. Sale: shall include any transaction whereby, for any consideration, title to marijuana is transferred from one person to another, and includes the delivery of mariivana or marijuana 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 marijuana or mariivana products by a licensee to the licensee from whom such mariivana or mariivana product was purchased. 7 Ordinance No. 1663 G. Medical Marijuana Dispepsary , Mobile 11 a uane Dispensary and Marijuana Delivery DrehihiteA It io , nlayAul ter a pemen nr nnt'fi, ton nn the City ef Seal BeaGh is expressly pFE)hmbmted withiR the Gity ef Sea! BeaGh. Ne per n m ' h'eh del'v either a et Men r term'nen .!thin the n'fi, ., C. Marijuana Activities Prohibited. Except as otherwise expressly allowed under Subsections D or E of this Section 5.70.025, all commercial marijuana activity is prohibited and unlawful in the City of Seal Beach, including but not limited to, the following: 1. It is unlawful for any person to own, manacle, conduct, or operate any marijuana dispensary, or to participate as an employee, contractor, agent or volunteer, or in any other manner or capacity, in any marijuana dispensary in the city. No mariivana dispensary shall locate, commence, or be maintained or allowed in any land use district, or on any parcel, or at anyplace, public or private, within the city. 2. It is unlawful for any person to own, manage, conduct, or operate any mariivana delivery service or other mariivana delivery business, or to participate as an employee, contractor, agent, or volunteer, in any manner or capacity, in any mariivana delivery service or other marijuana delivery business in the city, whether or not the delivery commenced in the city. No mariivana delivery service or other mariivana delivery business shall locate, commence, or be maintained or allowed in any land use district, or on any parcel, or at any place, public or private, within the city. 3. It is unlawful for any person to make, arranae for, facilitate, or otherwise participate in mariivana deliveries to or from the city, whether or not the delivery commenced in the city. 4. It is unlawful for any person to own, manage, conduct, operate, or otherwise participate in any other commercial marijuana activity in the city. No commercial mariivana activity shall locate, commence, or be allowed in any land use district, or on any parcel, or at any place, public or private, within the city. The city shall not issue any permit, license or other entitlement for any commercial mariivana activity for which a State license is required under the MCRSA or the AUMA. The city shall also not issue any local license to a non - profit entity pursuant to Business and Professions Code Section 26070.5, as the same may be amended from time to time. 5. A property owner shall not rent, lease or otherwise permit any person or business that engages in commercial marijuana activity to occupy real Property in the city. A property owner shall not allow any person or business to establish, operate, maintain, conduct, or engage in commercial mariivana activity on any real property owned or controlled by that property owner that is located in the city. 9 Ordinance No. 1663 D. Limited Exceptions to Prohibitions. The following businesses or other activities shall not be prohibited by Subsection C of this Section 5.70.025. 1. Subsection C of this Section 5.70.025 shall not prohibit the indoor cultivation of six (6) or fewer live marijuana plants within a single private residence or inside an accessory structure located upon the grounds of a private residence that is fully enclosed and secured, to the extent such cultivation is authorized by Health and Safety Code Sections 11362.1 and 11362.2, and further to the extent the indoor cultivation complies with Subsection E of this Section 5.70.025. 2. Subsection C of this Section 5.70.025 shall not prohibit a person 21 years of age or older from (a) possessing, processing, purchasing, transporting, obtaining or qivinq away to persons 21 years of ape or older, without compensation whatsoever, not more than 28.5 prams of marijuana not in the form of concentrated cannabis or up to eight prams in the form of concentrated cannabis, (b) smoking or ingestinq marijuana or mariivana products, or (c) possessing, transporting, purchasing, obtaining, using, manufacturing, or giving away marijuana accessories to persons 21 years of age or older without compensation whatsoever, to the extent that such activities are authorized by Health and Safety Code Section 11362.1 et seg. 3. Subsection C of this Section 5.70.025 shall not prohibit the personal use or possession by a qualified patient or person with a duly issued identification card of medical mariivana or medical mariivana products in compliance with Health and Safety Code Section 11625.5 and Health and Safety Code Section 11362.7(h), as such sections may be amended from time to time, or as otherwise defined by state law. 4. Subsection C of this Section 5.70.025 shall not prohibit the provision, transportation, or delivery of medical mariivana by any primary caregiver for medical purposes to less than 3 (three) qualified patients or persons holding a duly issued identification card to the extent allowed pursuant to state law. 5. Subsection C of this Section 5.70.025 shall not prohibit any person from transporting marijuana through the iurisdictional limits of the City for delivery or distribution to a person located outside the City, where such transport does not involve delivery or distribution within the iurisdictional limits of the City. 6. Subsection C of this Section 5.70.025 shall not apply to any conduct allowable pursuant to Health and Safety Code Section 11362.1. E. Indoor Cultivation of Marfivana. 1. It is hereby declared to be unlawful and a public nuisance for any person owning, leasing, occupying, or having charge or possession of any parcel in the City of Seal Beach to cause or allow such parcel to be used for the cultivation of marjuana plants except for indoor cultivation conducted in strict compliance with the requirements set forth below. 9 Ordinance No. 1663 2. Marijuana cultivation shall only occur indoors in a private residence, or indoors in an accessory structure at a private residence, in conformance with the following standards: a. Only a person who is at least 21 years old may cultivate marijuana. b. Marijuana cultivation is permitted only within a fully enclosed and secure structure. As used herein, the phrase "fully enclosed and secure structure" means a space within a building, greenhouse or other structure which has a complete roof enclosure supported by connecting walls extending from the -ground to the roof, which is secure by lock and key or other security device which prevents unauthorized entry, provides complete visual screening, and which is accessible only through one or more lockable doors and inaccessible to minors. C. Marijuana cultivation areas in a structure shall not be accessible to persons under 21 years of age. d. Marijuana cultivation shall be limited to six (6) plants total, whether immature or mature, regardless of how many persons who are at least 21 years old reside at that private residence. e. Mariivana cultivation shall only take place on impervious surfaces. f Marijuana cultivation shall utilize energy efficient lhqhtincj and ventilation systems compliant with California's Building Energy Efficiency Standards, as may be amended from time to time. g. The use of gas products (CO2, butane, etc.) or CO2 and Ozone generators for mariivana cultivation or processing is prohibited. h. The use of mariivana extraction and concentration techniques, including but not limited to butane, CO2 or ethanol, to manufacture concentrated cannabis is strictly prohibited. i. Mariivana cultivation shall not be visible from any public right of way or neighboring property. i. The residential structure shall remain at all times a residence, with legal and functioning cooking, sleeping and sanitation facilities with Proper ingress and egress. The residence, and any rooms in the residence, shall not be used for marijuana cultivation where such cultivation will prevent their primary use for cooking of meals, sleeping and bathing. k. Any structure used for the cultivation of marijuana must have proper ventilation to prevent mariivana plant odors from becoming a public nuisance to surrounding properties or the public. A public nuisance may be deemed to exist if the 10 Ordinance No. 1663 cultivation produces odors which are detectable to people of normal sensitivity residing or present on adiacent or nearby property or a public right of way. I. No person shall cultivate marijuana in any manner that causes any of the following conditions: Light, glare, heat, mold, odor, noise, or vibration that is or whose effect is either detrimental to public health, safety, or welfare or interferes with the reasonable enjoyment of life or property. M. A portable fire extinguisher, that complies with the regulations and standards adopted by the state fire marshal and applicable law, shall be kept in same room as where cultivation occurs. n. Cultivation of marijuana shall not displace required off - street parking, or violate any other provisions of the code. o. All electrical equipment used in the cultivation of marijuana (e.g. lighting and ventilation) shall be plugged directly into a wall outlet or otherwise hardwired. D. Prior to performing any work on electrical wiring /rewiring the applicant shall first obtain a buildino, mechanical and /or electrical permit, as required, from the building division. B- F. Use or Activity Prohibited by State or Federal Law. Nothing contained in this chapter shall be deemed to permit or authorize any use or activity which is otherwise prohibited by any state or federal law. (Ord. 1652; Ord. 1580)" DG. Public nuisance. Any violation of this section is hereby declared to be a public nuisance and may be abated by the City. €H. Violations. In addition to any other enforcement permitted by Chapter 1.15 of the Seal Beach Municipal Code, the City Attorney may bring a civil action for injunctive relief and civil penalties against any person or entity that violates this section. In any civil action brought pursuant to this section, a court of competent jurisdiction may award reasonable attorney's fees and costs to the prevailing party. Notwithstanding the penalties set forth in Chapter 1.15, this chapter does not authorize a criminal prosecution or arrest prohibited by Health and Safety Code Section 11362.71 et seq. or Sections 11362.1 et seq., as the same maybe amended from time to time. In the event of any conflict between the penalties enumerated under Chapter 1.15 and any penalties set forth in state law, the maximum penalties allowable under state law shall govern." 11 Ordinance No. 1663 SECTION 5. CEQA. The City Council hereby finds that it can be seen with certainty that there is no possibility that the adoption of this Ordinance, and the prohibitions established hereby, may have a significant effect on the environment, because the Ordinance will only impose greater limitations on activities in the City, and will thereby serve to eliminate potentially significant adverse environmental impacts. It is therefore not subject to the California Environmental Quality Act review pursuant to Title 14, Chapter 3, Section 15061(b)(3) of the California Code of Regulations. A Notice of Exemption will be prepared. SECTION 6. Severability. If any sentence, clause, or phrase of this Ordinance is for any reason held to be unconstitutional or otherwise invalid, such decision shall not affect the validity of the remaining provisions of this Ordinance. The City Council hereby declares that it would have passed this Ordinance and each sentence, clause or phrase thereof irrespective of the fact that any one or more sentence, clauses or phrases be declared unconstitutional or otherwise invalid. SECTION 7. Savings Clause. Neither the adoption of this Ordinance nor the repeal or amendment by this Ordinance of any ordinance or part or portion of any ordinance previously in effect in the City, or within the territory comprising the City, shall in any manner affect the prosecution for the violation of any ordinance, which violation was committed prior to the effective date of this Ordinance, nor be construed as a waiver of any license, fee or penalty or the penal provisions applicable to any violation of such ordinances. SECTION 8. Certification. The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause this Ordinance to be published within 15 days after its passage, in accordance with Section 36933 of the Government Code. SECTION 9. Effective Date. This Ordinance shall go into effect on the 31 st day after its passage. PASSED, APPROVED AND ADOPTED by the City Council of the City of Seal Beach at a meeting thereof held on the _ day of 2017. ATTEST: City Clerk STATE OF CALIFORNIA } COUNTY OF ORANGE } ss CITY OF SEAL BEACH } 12 Mayor Ordinance No. 1663 I, Robin Roberts, City Clerk of the City of Seal Beach, do hereby certify that the foregoing ordinance is an original copy of Ordinance Number 1663 on file in the office of the City Clerk, passed, approved and adopted by the City Council of the City of Seal Beach, pursuant to the City Charter and Government Code § 36967(b), at a meeting held on the _day of 2017 by the following vote: AYES: Council Member(s) NOES: Council Member(s) ABSENT: Council Member(s) ABSTAIN: Council Member(s) and do hereby further certify that Ordinance Number 1663 has been published pursuant to the Seal Beach City Charter and Resolution Number 2836. City Clerk 13