Chapter 21.60 — CANNABIS

The purpose of this chapter is to regulate personal, medical, and commercial cannabis uses. Nothing in this chapter shall preempt or make inapplicable any provision of state or federal law.

(Ord. No. 1144 N.S., § 3(Exh. A), 10-1-2024)

21.60.020 - Definitions.

The definitions for this chapter shall be as defined in Section 3.22.030 (Definitions) of the Municipal Code. Additionally, the following definitions shall apply:

A.

"Commercial cannabis activity" includes the cultivation, possession, manufacture, distribution, processing, storing, laboratory testing, labeling, transportation, distribution, or sale of cannabis and cannabis products for recreational use.

B.

"Delivery" means the commercial transfer of cannabis or cannabis 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 California law, that enables customers to arrange for or facilitate the commercial transfer by a licensed retailer of cannabis or cannabis products.

C.

"Licensee" means the holder of any state issued license related to cannabis activities, including but not limited to licenses issued under Division 10 of the California Business and Professions Code.

D.

"Cannabis accessories" means any equipment, products, or materials of any kind that 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, vaporizing, or

containing cannabis, or for ingesting, inhaling, or otherwise introducing cannabis or cannabis products into the human body.

E.

"Private residence" means a house, an apartment unit, a mobile home, or other similar dwelling.

F.

"Sale" includes any transaction whereby, for any consideration, title to cannabis 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 such cannabis or cannabis products was purchased.

G.

Any term defined in this section also means the very term as defined in the California Business and Professions Code or the California Health and Safety Code, unless otherwise specified.

(Ord. No. 1144 N.S., § 3(Exh. A), 10-1-2024)

21.60.030 - General regulations.

A.

Personal Recreational Use.

1.

General. For purposes of this subsection, personal recreational use, possession, purchase, transport, or dissemination of cannabis shall be considered unlawful in all areas of the city to the extent it is unlawful under state law.

2.

Outdoor Cultivation. A person may not plant, cultivate, harvest, dry, or process cannabis plants outdoors in any zoning district of the city. No use permit, building permit, variance, or any other permit or entitlement, whether administrative or discretionary, shall be approved or issued for any such use or activity.

3.

Indoor Cultivation. A person may not plant, cultivate, harvest, dry, or process cannabis plants inside a private residence, or inside an accessory structure to a private residence located upon the grounds of a private residence, or inside any other enclosed structure within any zoning district of the city. No use permit, building permit, variance, or any other permit or entitlement, whether administrative or discretionary, shall be approved or issued for any such use or activity.

a.

Subject to obtaining an indoor cultivation permit from the community development department, this chapter shall not prohibit the cultivation of six or fewer live cannabis plants within a single private residence or inside an accessory structure located upon the grounds of a private resident that is fully enclosed and secured and in compliance with Health and Safety Code Sections 11362.1 and 11362.2.

b.

The community development department will issue application and processing guidelines for the indoor cultivation permit. No indoor cultivation permit shall be issued prior to the release of these guidelines, and no permit shall be granted which has not complied fully with the application and processing requirements. The city council may institute a fee for the indoor cultivation permit by resolution.

B.

Medical Use.

1.

Cultivation of medical cannabis pursuant to Section 11362.77 of the California Health & Safety Code is subject to the cultivation requirements laid out in Subsection 21.60.030(A) (Personal Recreational Use) of this section.

2.

The establishment or operation of any medical cannabis collective, cooperative, dispensary, operator, establishment, or provider shall be considered a prohibited use in all zoning district of the city. No use permit, variance, building permit, or any other entitlement or permit, whether administrative or discretionary, shall be approved or issued for the establishment of any collective, cooperative, dispensary, operator, establishment, or provider in any zoning district, and no person shall otherwise establish such businesses or operations in any zoning district.

3.

Exception. The establishment or operation of a medical cannabis delivery service is allowed in the city, provided a use permit, variance, building permit, business license, and all other entitlements or permits have been approved pursuant to this zoning code.

4.

Medical cannabis delivery services are only conditionally allowed in the Riverside Corridor (RSC) and the C-3 zoning district, subject to the granting of a conditional use permit and all of the following requirements:

a.

Medical cannabis delivery services shall operate from a physical location that is properly licensed by the state and shall perform retail sales exclusively by delivery. Medical cannabis shall not be offered, displayed, provided or sold from a storefront open to the general public. All other commercial cannabis activity shall be prohibited at the premises.

b.

Sales of non-medical, adult-use cannabis from the premises shall be prohibited.

c.

Pursuant to California Business and Professions Code Section 26054(b), medical cannabis delivery services shall not be located within a six-hundred-foot radius of a school providing instruction in kindergarten or any grades 1 through 12, day care center, or youth center that is in existence at the time the license is issued, unless the planning commission finds that the proposed site will not pose a threat to the public health, safety, and welfare of the surrounding community and properties.

d.

The planning commission shall serve as the review authority for issuance of a conditional use permit to medical cannabis delivery services. In addition to complying with all procedures and requirements for issuance of a use permit specified in Chapter 21.19 (Conditional Use Permits and Administrative Use Permits), the planning commission shall consider the following additional factors in determining whether to approve or deny a conditional use permit:

i.

Whether the use is likely to enhance the economic vitality of the area in which is proposed to be located;

ii.

Whether the applicant has adequately addressed potential adverse impacts of the use and appropriate mitigation measures;

iii.

Whether the proposed use is likely to result in an overconcentration of the use in the surrounding area; and

iv.

The extent of support or opposition to the proposed use and location from members of the community.

e.

All conditional use permits issued pursuant to this subsection shall be conditioned on the permittee's compliance with all state laws and regulations applicable to medical cannabis delivery services, including obtaining and maintaining lawful possession of all necessary state license(s) prior to and during operation of the business. Violations of any applicable state licensing requirements shall be deemed violations of the conditional use permit and may result in revocation of the conditional use permit.

f.

The director or his or her designee is authorized to develop an appropriate application form and to administer reasonable guidelines and policies necessary to carry out the purposes and intent of Paragraph 21.60.030(B)4. of this subsection.

C.

Commercial Cannabis Activity.

1.

The establishment or operation of any business of commercial cannabis activity is prohibited, unless explicitly authorized pursuant to this chapter. No use permit, variance, building permit, or any other entitlement or permit, whether administrative or discretionary, shall be approved or issued for the establishment or operation of any such business or operation. Such prohibited businesses or operations may include, but are not limited to:

a.

The transportation, storage, distribution, or sale of cannabis, cannabis products, or cannabis accessories;

b.

The cultivation of cannabis;

c.

The manufacturing or testing of cannabis, cannabis products, or cannabis accessories; or

d.

Any other business licensed by the state or other government entity under Division 10 of the California Business & Professions Code, as it may be amended from time to time.

2.

Exception. The establishment or operation of a commercial cannabis delivery service (for example, non-storefront retail) is allowed in the city only if a use permit, variance, building permit, business license, and all other entitlements or permits have been approved pursuant to this chapter. The city council, by resolution, may decide the number of permits authorized to operate a commercial cannabis delivery service within the city. Commercial cannabis delivery services are only allowed in the Riverside Corridor (RSC) and the C-3 zoning district, subject to the granting of a conditional use permit.

a.

In addition to complying with all procedures and requirements for issuance of a use permit specified in Chapter 21.19 (Conditional Use Permits and Administrative Use Permits), the planning commission shall consider the following additional factors in determining whether to approve or deny a conditional use permit:

i.

Whether the use is likely to enhance the economic vitality of the area in which is proposed to be located;

ii.

Whether the applicant has adequately addressed potential adverse impacts of the use and appropriate mitigation measures;

iii.

Whether the proposed use is likely to result in an overconcentration of the use in the surrounding area; and

iv.

The extent of support or opposition to the proposed use and location from members of the community.

D.

Commercial Cannabis Delivery Activity—Operational Requirements.

1.

No person shall deliver commercial cannabis anywhere in the city unless they comply with the procedures and requirements of this chapter.

2.

Commercial cannabis delivery services, including those physically located outside the city but delivering to customers within the city, are allowed to deliver commercial cannabis subject to the following requirements:

a.

All cannabis delivery services shall comply with all applicable state and local laws and regulations.

b.

All cannabis delivery services shall pay all applicable taxes, including in accordance with Chapter 3.22 (Cannabis Business Tax) of Title 3 (Revenue and Finance) of this Municipal Code.

c.

All cannabis delivery service shall maintain accurate books and records, detailing revenues and expenses of the business it does in the city. At any time upon reasonable request of the city, each cannabis delivery service shall file a sworn statement detailing:

i.

The number of sales by the cannabis delivery service; and

ii.

Taxes paid pertaining to cannabis delivery in the city during the previous twelve-month period (or shorter period based upon the timing of the request).

d.

All cannabis delivery services shall obtain all state and local approvals and permits as required in this chapter and shall be able to show compliance with the regulations of the originating jurisdictions, if applicable.

e.

All deliveries of cannabis to customers shall only be allowed in the city between the hours of 8:00 a.m. and 10:00 p.m.

f.

All cannabis delivery services shall provide the city manager with the name and contact information of an owner and manager who can be reached twenty-four hours a day. This contact information shall be kept current and shall be updated as necessary to ensure compliance with this chapter.

E.

Cannabis Delivery Activity—Delivery from Outside the City.

1.

Cannabis delivery is allowed in the city by operators with physical locations located outside the city, subject to the requirements of this chapter.

2.

All cannabis delivery services shall obtain and maintain a valid business license in accordance with this chapter and Chapter 3.28 (Business License Tax). In addition to the requirements of Section 3.28.090 (Application—Contents), the applicant, at a minimum, shall submit the following:

a.

A completed and signed application;

b.

The requisite application fee;

c.

Copies of any required state and local licenses to conduct cannabis activity;

d.

Information and documentation demonstrating compliance with this chapter;

e.

The physical address of the property upon which the applicant conducts the cannabis activity (for example, the location where deliveries originate);

f.

List of all vehicles (make, model, and license plate) that are eligible to conduct delivery in the city. This list shall be kept current by the applicant throughout the duration of the license; and

g.

Any information or documentation deemed necessary by the city.

3.

Each business license shall be renewed annually in accordance with Section 3.28.110 (Renewal Business License Tax Certificate). In addition to the requirements of Section 3.28.110 (Renewal Business License Tax Certificate), the applicant shall demonstrate that the requirements of this chapter remain satisfied.

4.

Any person aggrieved by any decision with respect to the issuance or refusal to issue such business license may appeal to the city manager as set forth in Section 3.28.140 (Appeal).

F.

Existing Medical Cannabis Delivery Services.

1.

Pursuant to the provisions of this subsection, medical cannabis delivery services lawfully operating in the city pursuant to Subsection 21.60.030(B) (Medical Use) of this section as of November 17, 2022 shall be authorized to temporarily deliver commercial cannabis under the terms and conditions of such existing conditional use permit and the operational requirements set forth in Subsection 21.60.030(D) (Commercial Cannabis Delivery Activity - Operational Requirements) of this section.

2.

This temporary authorization shall not grant, guarantee, or entitle the qualifying medical cannabis delivery services to issuance of a permit under this chapter, nor to a permit under a future superseding ordinance or regulatory framework.

The temporary authorization shall terminate based upon the earliest of the following events:

a.

From twelve months after the effective date of the ordinance from which this title is derived, the temporary authorization shall automatically terminate with no further action or notice required by the city.

b.

Upon adoption of a superseding ordinance or regulatory framework of commercial cannabis, the temporary authorization to deliver commercial cannabis shall be deemed extended until final approval or denial of the permit, and thereafter the temporary authorization shall be deemed terminated and of no further force and effect. Failure to timely submit a complete application shall result in termination of the temporary authorization.

4.

The temporary authorization granted pursuant to this subsection does not, in any way, create any right, interest, or entitlement to sell or deliver commercial cannabis. The city may, at any time and for any reason, terminate this temporary authorization.

5.

The assignment or transfer or attempt to assign or transfer the temporary authorization is unlawful and shall be null and void.

6.

The temporary authorization under this subsection is justified due to the fact that the medical cannabis delivery services previously allowed under Subsection 21.60.030(B) (Medical Use) of this section have undergone extensive review, examination, and scrutiny in conditional use permit proceedings and the findings necessary to establish a medical cannabis delivery service have been made.

(Ord. No. 1144 N.S., § 3(Exh. A), 10-1-2024)

No person, whether as principal, agent, employee or otherwise, shall violate, cause the violation of, or otherwise fail to comply with any of the requirements of this chapter. Every act prohibited or declared unlawful, and every failure to perform an act made mandatory by this chapter, shall be a misdemeanor or an infraction, at the discretion of the city attorney or the district attorney. In addition to the penalties provided in this section, any condition caused or allowed to exist in violation of any of the provisions of this chapter is declared a public nuisance and may be abated as provided Chapters 1.02 (Penalties) and 1.03 (Administrative Citation) and/or under state law.

(Ord. No. 1144 N.S., § 3(Exh. A), 10-1-2024)