Williams Municipal Code Ch. 5.18 Commercial Cannabis Activity Regulatory Permit

It is the purpose and intent of this chapter to regulate the cultivation, manufacturing, testing, distribution, and transportation of medicinal and nonmedicinal adult use cannabis (including cannabis products and edible cannabis products) within the city.

The regulations and prohibitions in this chapter are enacted to ensure the health, safety, and welfare of the residents of the city. The regulations and prohibitions herein, which are in compliance with the Compassionate Use Act of 1996 ("CUA"), the Medical Marijuana Program ("MMP"), the Medical Cannabis Regulation and Safety Act ("MCRSA"), the Control, Use, Tax Adult Use of Marijuana Act ("AUMA"), (collectively, "state law"), do not interfere with the use and possession of cannabis as authorized under state law.

Nothing in this chapter shall be construed to:

A. Allow persons to engage in conduct that endangers others or causes a public nuisance, or

B. Allow any activity relating to the cultivation, manufacturing, testing, distribution, transportation, or use of cannabis that is otherwise illegal under California state law.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

For the purposes of this chapter, the following definitions shall apply, unless the context clearly indicates otherwise. If a word is not explicitly defined in this chapter, the common and ordinary meaning of the word shall apply.

"Applicant" means a person applying for a regulatory permit under this chapter. An "applicant" includes all representatives, agents, parent entities, or subsidiary entities of the applicant.

"Cannabis" means 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. "Cannabis" also means the separated resin, whether crude or purified, obtained from cannabis. "Cannabis" also means marijuana as defined in California Health and Safety Code Section 11018. "Cannabis" does not include the mature stalks of the plan, fiber produced from the stalks, oil or cake made from the seeds of the plant, any compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted therefrom), fiber, oil, or cake, or the sterilized seed of the plan which is incapable of germination. For the purpose of this chapter, "cannabis" does not mean "industrial hemp" as defined by Section 81000 of the California Food and Agricultural Code or Section 11018.5 of the California Health and Safety Code.

"Cannabis products" has the same meaning as marijuana products in Section 11018.1 of the California Health and Safety Code. When the term "cannabis" is used in this chapter, it shall include "cannabis products."

"City administrator" means the city administrator of the City of Williams or designee.

"Commercial cannabis activity" includes the cultivation, manufacture, distributing, laboratory testing, and transportation (including possession, processing, storing, and labeling incidental to such activities) of cannabis and cannabis products as provided in this chapter. "Commercial cannabis activity" does not include delivery, dispensing, or retail sale of cannabis or cannabis products.

"Cultivate" or "cultivation" means any commercial activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis.

"Delivery" means the commercial transfer of cannabis or cannabis products to a customer.

"Distribution" means the procurement, sale, and transport of cannabis and cannabis products between entities permitted or licensed under this chapter, another local California jurisdiction, or state law.

"Edible cannabis product" means manufactured cannabis that is intended to be used, in whole or in part, for human consumption, including, but not limited to, chewing gum, but excluding products set forth in Division 15 of the California Food and Agricultural Code. An edible cannabis product is not considered food as defined by Section 109935 of the California Health and Safety Code or a drug as defined by Section 109925 of the California Health and Safety Code. When the term "cannabis" is used in this chapter, it shall include "edible cannabis products."

"Manufacture" means to compound, blend, extract, infuse or otherwise make or prepare a cannabis product.

"Owner" means any of the following:

A. All persons with an aggregate ownership interest of twenty percent or more in the applicant, unless such interest is solely a security, lien, or encumbrance;

B. The chief executive officer of an entity or nonprofit;

C. All members of the board of directors of a nonprofit; or

D. An individual that will be participating in the direction, control, or management of the permitted commercial cannabis activity.

"Permittee" means the individual or applicant to whom a regulatory permit has been issued under this chapter. A permittee includes all representatives, agents, parent entities, or subsidiary entities of the permittee.

"Person" includes any individual, firm, co-partnership, joint 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.

"Premises" means the designated structures and land specified in the regulatory permit application that are in the possession of an used by the applicant or permittee to conduct the commercial cannabis activity.

"Testing" means subjecting cannabis to laboratory testing for active compounds and purity prior to distribution for consumption.

"Transportation" means transferring cannabis and/or cannabis products from one person or entity permitted under this chapter, permitted by another local California jurisdiction, and/or licensed under state law to another person or entity permitted under this chapter, permitted by another local California jurisdiction, and/or licensed under state law.

Words and phrases not specifically defined in this code shall have the meaning ascribed to them as defined in the following sources:

A. The Compassionate Use Act of 1996 ("CUA");

B. The Medical Marijuana Program ("MMP"); and

C. The Medical Cannabis Regulation and Safety Act ("MCRSA"); and

D. Control, Regulate, and Tax Adult Use of Marijuana Act ("AUMA").

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

Prior to initiating operations and as a continuing requisite to operating a commercial cannabis activity, the legal representative of the persons wishing to operate a commercial cannabis activity shall obtain a regulatory permit from the city administrator. In order to apply for a regulatory permit, the premises on which the applicant intends to operate must be subject to an approved master conditional use permit pursuant to Section 17.01.030.10.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

The following fees shall be applicable to all operators of commercial cannabis business activities:

A. An application fee of $500.00 payable at the time of the initial application for a regulatory permit;

B

A renewal fee of $100.00 payable at the time of renewal of the regulatory permit; and

C. Fees covering the city's actual costs to conduct any necessary inspection, auditing or investigation to confirm compliance with the regulatory permit and this chapter.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

An application for a regulatory permit shall include, but shall not be limited to, the following information:

A. The name, address, and telephone number of the applicant.

B. A description of the statutory entity or business form that will serve as the legal structure for the applicant and a copy of its formation and organizing documents, including, but not limited to, articles of incorporation, certificate of amendment, statement of information, articles of association, bylaws, partnership agreement operating agreement, and fictitious business name statement.

C. The name, date of birth, address, telephone number, title, and function of each of the interested parties described in Section 5.18.150.

D. A legible copy of each applicant's photo identification, such as a state driver's license, a passport issued by the United States, or a permanent resident card.

E. The names and addresses of all applicant(s) employment for the five years immediately preceding the date of application.

F. A list of the license or permit types (including license or permit numbers) held by the applicant that involve the operation of a commercial cannabis activity, including the date the license or permit was issued and the jurisdiction or state license authority that issued the license or permit.

G. Whether the applicant has been denied a license or permit by the city, any other jurisdiction, and/or the state that involves the operation of a commercial cannabis activity. The applicant shall provide a description of the license or permit applied for, the name of the jurisdiction or state license authority that reviewed the license or permit application, and the date of denial.

H. Any litigation in which the applicant(s) has been involved within the five years immediately preceding the date of the application and a statement of whether any business currently operated by the applicant(s) or operated by the applicants(s) within five years immediately preceding the date of the application has been investigated or the permit or license authorizing the operation of such business has been revoked or suspended within the five years immediately preceding the date of the application.

I. The address of any Commercial Cannabis Business currently being operated by the applicant(s), or any of them, or which have been previously operated by them within the last five years.

J. The proposed commercial cannabis activity's physical address, telephone number, website address, and email address.

K. Contact information for the applicant's designated primary contact person including the name, title, address, phone number, and email address of the individual (if different than "A" above).

L. A list of every fictitious business name the applicant is operating under including the address where such business is located.

M. Procedures for identifying, managing, and disposing of contaminated, deteriorated or excess cannabis product.

N. Procedures for inventory control to prevent diversion of cannabis and cannabis product, employee screening, storage of cannabis and cannabis product, personnel policies, and record keeping procedures.

O. A detail of the procedures to be utilized at the facility including a description of how chemicals and fertilizers will be stored, handled, used and disposed of; manufacturing methods, the transportation process, inventory procedures, and quality control procedures.

P. A site plan and floor plan of the Commercial Cannabis Business denoting the property lines and the layout of all areas of the Commercial Cannabis Business including storage, cultivation, manufacturing, testing, distributing, reception/waiting, and all ancillary support spaces, and the relationship of the facility to adjacent properties and land uses.

Q. A detailed security plan outlining the measures that will be taken to ensure the safety of persons and property on the premises. As part of the security plan, a lighting plan is required that shows existing and proposed exterior and interior lighting that will provide adequate security lighting for the commercial cannabis activity and premises. The security plan must be prepared by a qualified professional and include provisions in compliance with the following:

1. Security cameras shall be installed and maintained in good condition, and used in an on-going manner with at least two hundred forty concurrent hours of digitally recorded documentation in a format approved by the city administrator. The cameras shall be in use twenty-four hours per day, seven days per week. The areas to be covered by the security cameras shall include, but are not limited to, the public areas, storage areas, employee areas, all doors and windows, and any other areas as determined to be necessary by the city administrator.

2. The premises shall be alarmed with an audible interior and exterior alarm system, unless waived for extenuating circumstances by the city administrator that is operated and monitored by a recognized security company, deemed acceptable by the city administrator. Any change in the security company shall be subject to the approval of the city administrator. All current contact information regarding the security company shall be provided to the city administrator.

3. Entrance to the cultivation, manufacturing, and testing areas and any storage areas shall be locked at all times, and under the control of cannabis facility staff.

4. All cannabis shall be securely stored, and a reliable, commercial alarm system shall be installed and maintained where the cannabis is secured.

5. Unless centralized security is otherwise provided, a security guard, licensed by the California Department of Consumer Affairs, shall be present at the premises during all hours of operation. If the security guard is to be armed, then the security guard shall possess at all times a valid security guard card and firearms permit issued by the California Department of Consumer Affairs.

R. An odor control plan that describes the air treatment system or other methods that will be implemented to prevent odors generated by the commercial cannabis activity from being detected outside the building(s) on the premises.

S. Standard operating procedures detailing how operations will comply with state and local regulations, how safety and quality of products will be ensured, record-keeping procedures for financing, testing, and product recall procedures.

T. Proposed hours of operation.

U. Recycling and Waste disposal information.

V. A statement in writing by the applicant that he or she certifies under penalty of perjury that all the information contained in the application is true and correct.

W. A copy of the applicant's completed application for electronic fingerprint images submitted to the Department of Justice and Federal Bureau of Investigation.

X. A list of each applicant's misdemeanor and felony convictions, if any. For each conviction, the list must set forth the date of arrest, the offense charged, the offense convicted, the jurisdiction of the court, and whether the conviction was by verdict, plea of guilty, or plea of nolo contendere.

Y. A comprehensive business operations plan that includes the following:

1. Business plan. A plan describing how the commercial cannabis activity business will operate in accordance with this code, state law, and other applicable regulations. The business plan must include plans for handling cash and transporting cannabis and cannabis products to and from the premises, if applicable.

2. Insurance. The applicant's certificate of commercial general liability insurance and endorsements and certificates of all other insurance related to the operation of the commercial cannabis activity.

Z. The name and address of the owner and lessor of the real property upon which the commercial cannabis activity is to be operated. In the event the applicant is not the legal owner of the property, the application must be accompanied with a notarized acknowledgement from the owner of the property that a commercial cannabis activity will be operated on his or her property.

AA. Authorization for the city administrator to seek verification of the information contained within the application.

BB. A full and complete copy of the applicant's most current application submitted to and approved by the applicable state licensing authority.

CC. Any such additional and further information as is deemed necessary by the city administrator to administer this chapter.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

The city will provide each applicant, including any management personnel who are responsible for the day-to-day operations of the commercial cannabis activity, with a 'request for live scan service' form, which must be taken to a live scan operator for fingerprinting. Each applicant must submit their fingerprint images to the City of Williams Police Department, California Department of Justice, and the Federal Bureau of Investigation for fingerprint-based criminal history records review and reporting to the city.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

Based on the information set forth in the application, the city administrator may impose reasonable terms and conditions on the proposed operations of the commercial cannabis activity in addition to those specified in this chapter.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

The city administrator may deny an application for a regulatory permit or renewal of a regulatory permit upon making any of the following findings:

A. The applicant or the premises for which a regulatory permit is applied does not qualify for a permit under this chapter.

B. The applicant fails to comply with the provisions of this chapter.

C. The applicant has failed to provide information required by the city administrator.

D. The applicant, including any management personnel who are responsible for the day-to-day operations of the commercial cannabis activity, has been convicted of an offense that is substantially related to the qualifications, functions, or duties of the business or profession for which the application is made, except that if the city administrator determines that the applicant or permittee is otherwise suitable to be issued a license and granting the license would not compromise public safety, the city administrator shall conduct a thorough review of the nature of the crime, conviction, circumstances, and evidence of rehabilitation of the applicant, and shall evaluate the suitability of the applicant, including any management personnel who are responsible for the day-to-day operations of the commercial cannabis activity, to be issued a permit based on the evidence found through the review. In determining which offenses are substantially related to the qualifications, functions, or duties of the business or profession for which the application is made, the city administrator shall include, but not be limited to, the following:

1. A violent felony conviction, as specified in subdivision (c) of Section 667.5 of the Penal Code.

2. A serious felony conviction, as specified in subdivision (c) of Section 1192.7 of the California Penal Code.

3. A felony conviction involving fraud, deceit, or embezzlement.

E. The applicant, or any of its officers, directors, or owners, has been sanctioned by a state licensing authority or a city, county, or city and county for unlicensed commercial cannabis activities or has had a state license revoked in the three years immediately preceding the date the application is filed with the city administrator.

F. The commercial cannabis activity is not properly organized or operating in strict compliance pursuant to the Compassionate Use Act of 1996, the Medical Marijuana Program Act, the 2008 Attorney General Guidelines, Medical Marijuana Regulation and Safety Act (AB 243, AB 266, and SB 643), Control, Regulate, and Tax Adult Use of Marijuana Act ("AUMA"), and any other applicable law, rules and regulations.

G. The applicant made one or more materially false or misleading statements or omissions on the application or during the application process.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

A regulatory permit is valid for two years from the date that the permit is issued, unless suspended or revoked sooner.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

A. To renew a regulatory permit, a completed permit renewal form and renewal permit fee shall be received by the city administrator from the permittee no earlier than sixty calendar days before the expiration of the permit and no later than the last business day before the expiration of the permit. A renewal application shall disclose any changes or updates to the information provided in the initial permit application.

B. In the event the regulatory permit is not renewed prior to the expiration date, the permittee must cease all commercial cannabis activity.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

Every permittee who surrenders, abandons, or quits the permitted premises after a certificate of occupancy is issued, or who closes the permitted premises for a period exceeding thirty consecutive calendar days after a certificate of occupancy is issued, shall, within thirty calendar days after closing, surrendering, quitting, or abandoning the permitted premises, surrender the permit to the city administrator. The city administrator may seize the permit of a permittee who fails to comply with the surrender provisions of this section and may proceed to revoke the permit.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

The city administrator may, upon the giving of ten days written notice, suspend, modify, or revoke a cannabis cultivation permit issued pursuant to the provisions of this chapter for any of the following reasons:

A. One or more of the circumstances upon which a regulatory permit could be denied exists or has occurred;

B. One or more conditions of the regulatory permit has been violated; or

C. The permittee, its owners, officers, directors, partners, agents, or other persons vested with the authority to manage or direct the affairs of the business have violated any provision of this chapter.

D. The city administrator finds the operation of the cannabis business is a threat to the public health, safety, or welfare.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

Any decision regarding the denial, suspension, or revocation of a regulatory permit may be appealed to the city council. The appellant shall request an appeal within ten calendar days from the date of the decision. Any such decision by the city council shall be final.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

A. Indoor cultivation and mixed light only. A permittee shall only cultivate cannabis in a fully enclosed and secure building or mixed-light building. A permittee shall not allow cannabis or cannabis products on the premises to be visible from the public right-of-way, the unsecured areas surrounding the buildings on the premises, or the premises' main entrance and lobby.

B. Odor control. A permittee shall comply with the odor control plan that is submitted during the application process and approved by the city administrator. Commercial cannabis activity premises shall provide a sufficient odor absorbing ventilation and exhaust system so that odor generated inside the building(s) that is distinctive to its operation is not detected outside the premises, anywhere on adjacent property or public rights-of-way, on or about any exterior or interior common area walkways, hallways, breezeways, foyers, lobby areas, or any other areas available for common use by tenants or the visiting public, or within any other unit located within the same building as the commercial cannabis activity. As such, applicants must install and maintain the following equipment or any other equipment which the city administrator or designee determines has the same or better effectiveness:

1. An exhaust air filtration system with odor control that prevents internal odors from being emitted externally; or

2. An air system that creates negative air pressure between the cannabis facility's interior and exterior so that the odors generated inside the cannabis facility are not detectable outside the cannabis facility.

Should compliance with the odor control plan fail to properly control odor, the city administrator may impose additional or modified plan restrictions.

C. "Seed to Sale" or "Track and Trace." All cannabis business licensees shall comply with the track and trace system established by the State of California and as further described in Sections 5048 through 5052, inclusive, of Title 16 of the California Code of Regulations.

D. Records. A commercial cannabis activity business shall maintain the following records in printed format for at least three years on the premises and shall produce them to the city within twenty-four hours after receipt of the city's request:

1. The name, address, and telephone numbers of the owner and landlord of the property.

2. The name, date of birth, address, telephone number, date of hire, and function of each of the interested parties described in Section 5.18.150.

3. A copy of the commercial cannabis activity business' commercial general liability insurance policy and all other insurance policies related to the operation of the business.

4. An inventory record documenting the dates and amounts of cannabis received at the premises, the daily amounts of cannabis on the premises, and the daily amounts of cannabis transported from the premises.

A commercial cannabis activity business shall report any loss, damage, or destruction of these records to the city administrator within twenty-four hours of the loss, damage, or destruction.

E. Security. A permittee shall comply with the security plan that is submitted during the application process as approved by the city administrator. A permittee shall report to the Williams Police Department all criminal activity occurring on the premises. Should compliance with the security plan fail to properly secure the commercial cannabis activity premises, the city administrator may impose additional or modified plan restrictions.

F. Retail sales prohibited. No person shall conduct any retail sales of any good or services on or from permitted premises.

G. Cannabis consumption prohibited. No person shall smoke, ingest, or otherwise consume cannabis in any form on, or within twenty feet of, the premises.

H. Alcohol prohibited. No person shall possess, consume, or store any alcoholic beverage on the cultivation premises.

I. Juveniles prohibited. No one under the age of eighteen shall be on the commercial cannabis activity premises or operate a commercial cannabis activity in any capacity, including, but not limited to, as a manager, staff, employee, contractor, or volunteer.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

A building that houses a commercial cannabis activity shall comply with the following requirements:

A. Entrances. All entrances into the buildings on the premises shall be locked at all times with entry controlled by the permittee's managers and staff. Codes for entry shall be provided to law enforcement and fire protection personnel to allow access to the buildings twenty-four-hours a day, seven days a week.

B. Main entrance and lobby. The main entrance shall be maintained clear of barriers, landscaping, and other obstructions. Inside of the main entrance, there shall be a lobby to receive persons into the premises and to verify whether they are allowed in the building.

C. Activity area. All cultivation, manufacturing, or testing areas in any building on the premises shall be separated from the main entrance and lobby, and shall be secured by a lock accessible only to managers and staff of the permittee.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

A. A permittee shall provide the city with names, dates of birth, addresses, telephone numbers, titles, and functions of all of the following interested parties:

1. Persons with at least a ten percent interest in the commercial cannabis activity;

2. Partners, officers, directors, and stockholders of every corporation, limited liability company, or general or limited partnership that owns at least ten percent of the stock, capital, profits, voting rights, or membership interest of the commercial cannabis activity or that is one of the partners in the commercial cannabis activity;

3. The managers of the commercial cannabis activity; and

4. The staff of the commercial cannabis activity.

B. The permittee shall notify the city of any change in the information above within thirty calendar days of the change.

C. All interested parties, as described in subsection A, must submit to fingerprinting and a criminal background check by the city.

D. No person shall be an interested party, as described in subsection A, if he or she is charged with or convicted of a felony; has been charged with or convicted of a violation of California Penal Code section 186.22 (participation in a criminal street gang); or is currently on parole or probation for an offense relating to the sale or distribution of a controlled substance. "Convicted" within the meaning of this section means a plea or verdict of guilty or a conviction following a plea of nolo contendere was entered, but does not include any plea, verdict, or conviction that is expunged pursuant to California law or a similar federal or state law where the expungement was granted. "Charged" within the meaning of this section means:

1. An indictment was issued by a grand jury, or an information, complaint, or similar pleading was issued by the United States Attorney, district attorney, city attorney, or other governmental official or agency authorized to prosecute crimes; and

2. The criminal proceedings are currently pending.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

A. No permittee shall open their commercial cannabis activity premises to the public.

B. No permittee shall allow anyone on the premises, except for managers, staff, and other persons with a bona fide business or regulatory purpose for being there, such as contractors, inspectors, and cannabis transporters.

C. A manager must be on the premises at all times during business hours.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

A commercial cannabis activity permittee shall provide the city administrator with the current name and primary and secondary telephone numbers of at least one twenty-four-hour on-call manager to address and resolve complaints and to respond to operating problems or concerns associated with the commercial cannabis activity.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

Each cannabis facility shall provide the city administrator with the name, phone number, facsimile number, and email address of an on-site community relations or staff person or other representative to whom the city can provide notice if there are operating problems associated with the cannabis facility or refer members of the public who may have any concerns or complaints regarding the operation of the cannabis facility. Each cannabis facility shall also provide the above information to its business neighbors located within one hundred feet of the cannabis facility as measured in a straight line without regard to intervening structures, between the front doors of each establishment.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

The permittee shall display its current valid permit issued in accordance with this chapter inside the lobby or waiting area of the main entrance to the premises. The permit shall be displayed at all times in a conspicuous place so that it may be readily seen by all persons entering the premises.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

A. Recordings made by security cameras at any commercial cannabis activity business shall be made immediately available to the city administrator upon verbal request; no search warrant or subpoena shall be needed to view the recorded materials.

B. The city administrator shall have the right to enter all cannabis facilities from time to time unannounced for the purpose of making reasonable inspections to observe and enforce compliance with this chapter.

C. Operation of the cannabis facility in non-compliance with any conditions of approval or the provisions of this chapter shall constitute a violation of the municipal code and shall be enforced pursuant to the provisions of this code.

D. The city administrator may summarily suspend or revoke a cannabis regulatory permit if any of the following, singularly or in combination, occur:

1. The city administrator or designee determines that the commercial cannabis activity business has failed to comply with this chapter or any condition of approval or a circumstance or situation has been created that would have permitted the city administrator or designee to deny the permit under Section 5.18.070;

2. Operations cease for more than thirty calendar days, including during change of ownership proceedings;

3. Ownership is changed without securing a regulatory permit;

4. The cannabis facility fails to maintain two hundred forty continuous hours of security recordings; or

5. The cannabis facility fails to allow inspection of the records, security recordings, the activity logs, or the premises by authorized city officials.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

Regulatory permits issued pursuant to this chapter are not transferable.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

To the fullest extent permitted by law, the city shall not assume any liability whatsoever, with respect to approving any regulatory permit pursuant to this chapter or the operation of any commercial cannabis activity approved pursuant to this chapter. As a condition of approval a regulatory permit as provided in this chapter, the applicant or its legal representative shall:

A. Execute an agreement indemnifying the city from any claims, damages, etc., associated with the operation of the cannabis facility;

B. Maintain insurance in the amounts and of the types that are acceptable to the city administrator or designee;

C. Name the city as an additionally insured on all city required insurance policies;

D. Agree to defend, at its sole expense, any action against the city, its agents, officers, and employees related to the approval of a regulatory permit; and

E. Agree to reimburse the city for any court costs and attorney fees that the city may be required to pay as a result of any legal challenge related to the city's approval of a regulatory permit. The city may, at its sole discretion, participate at its own expense in the defense of any such action, but such participation shall not relieve the operator of its obligation hereunder.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

All commercial cannabis activity shall comply fully with all of the applicable restrictions and mandates set forth in state law, including without limitation the Compassionate Use Act of 1996, the Medical Marijuana Program Act, the 2008 Attorney General Guidelines, the Medical Cannabis Regulation and Safety Act, and the Control, Regulate, and Tax Adult Use of Marijuana Act.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)

A. Any violation of any of the provisions of this chapter is unlawful and a public nuisance.

B. Any violation of any of the provisions of this chapter shall constitute a misdemeanor violation and upon conviction thereof any violation shall be punishable by a fine not to exceed one thousand dollars, or by imprisonment in the county jail for a period of not more than six months, or by both such fine and imprisonment. Each day a violation is committed or permitted to continue shall constitute a separate offense.

C. In lieu of issuing a misdemeanor citation, the city may issue an administrative citation, and/or assess an administrative fine of up to one thousand dollars for each violation of this chapter.

D. A separate offense occurs for each day any violation of this chapter is continued and/or maintained.

E. The remedies provided herein are not to be construed as exclusive remedies, and in the event of violation, the city may pursue any proceedings or remedies otherwise provided by law.

(Ord. No. 230-19, § 1(Exh. A), 1-16-2019)