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Proposed Commercial Cannabis Business Taxation Ballot Measure for Public <br />Consideration on the November 2018 Ballot <br />July 3, 2018 <br />Page 3 <br />Current Regulations Related to Marijuana/Cannabis <br />Since its adoption in late 2017, the ordinance has been modified twice in March and April 2018 to <br />allow laboratory testing and non -retail commercial cannabis business activities, including <br />distribution, manufacturing, and cultivation, respectively. The chart below outlines the major <br />regulation elements for Medical Marijuana and Adult Use Cannabis activities in the City of Santa <br />Ana. <br />Topic <br />Permitted Cannabis Uses <br />Retail Sale — Adult Use <br />Testing for quality control purposes — Adult and Medicinal <br />Indoor Cultivation — Adult and Medicinal <br />Manufacturing <br />Distribution <br />• Medicinal Use Retail Sales will continue to be regulated by Measure BB <br />• All other uses will be regulated through Chapter 40 <br />Prohibited Cannabis Uses <br />Outdoor Cultivation — Adult and Medicinal <br />Microbusinesses — Adult and Medicinal <br />Permitted Zoning Districts <br />M-1 Light Industrial <br />M-2 Heavy Industrial <br />Cannabis Businesses are prohibited in all other zoning districts. <br />Maximum Number of <br />A maximum number of permits will be issued for the various <br />Permits <br />types of licenses. <br />30 Retail Sale—Adult <br />No cap Testing for quality control purposes — Adult and <br />Medicinal <br />No cap Indoor Cultivation —Adult and Medicinal <br />No cap Manufacturing <br />No cap Distribution <br />• It is anticipated that a business may hold permits for multiple uses. <br />• Testing facilities cannot hold any other license. <br />• 20 Medicinal Retail Sale permits to continue under Measure BB <br />Separation Requirements <br />1,000 feet From schools, parks or existing residential zoning <br />districts <br />500 feet Between retail cannabis businesses <br />No separation Between non -retail cannabis businesses <br />5501-3 <br />