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C. In November 2016, the voters of the State of California approved <br />Proposition 64, the California Marijuana Legalization Initiative, also known as the <br />Adult Use of Marijuana Act. <br />D. In 2017, the Governor signed into law Senate Bill 94 also known as <br />Medicinal and Adult -Use Cannabis Regulation and Safety Act. <br />E. On November 9, 2017, the City Council created Chapter 40 of the Santa <br />Ana Municipal Code, allowing adult -use commercial cannabis retail businesses in <br />the city, and amended certain sections of Chapters 18 and 21 of the Santa Ana <br />Municipal Code to ensure consistency with State law and Chapter 40. <br />F. Since November 2014, the City of Santa Ana has permitted the retail sale <br />of cannabis for medicinal purposes and since January 2018 for adult -use purposes. <br />On March 20, 2018, the City Council adopted Ordinance NS-2941 and NS-2942, <br />allowing and regulating commercial cannabis testing laboratories. <br />G. On April 17, 2018, the City Council adopted Ordinance NS-2944 allowing <br />and regulating commercial cannabis cultivation, distribution, and manufacturing <br />activities. <br />H. On November 6, 2018, the voters of the City of Santa Ana approved <br />Measure Y (Ordinance NS-2962), establishing a tax on commercial cannabis <br />business activities except medicinal cannabis retail sales, which continue to be <br />subject to taxes under Measure BB. <br />I. The State of California continues to update its regulations on commercial <br />cannabis business licensing, resulting in the need for local jurisdictions to update <br />and amend local commercial cannabis ordinances from time to time. <br />J. The City Council of the City of Santa Ana intends that nothing in this <br />Article shall be deemed to conflict with federal law as contained in the Controlled <br />Substances Act, nor to otherwise permit any activity that is prohibited under that Act <br />or other applicable law. <br />K. The City of Santa Ana has a compelling interest in ensuring that cannabis <br />is not cultivated, manufactured or distributed in an illicit manner, in protecting the <br />public health, safety and welfare of its residents and businesses, in preserving the <br />peace and quiet of the neighborhoods in which these uses may operate, and in <br />providing access of cannabis to residents. <br />L. The City Council held a duly noticed public hearing on July 16, 2019 in <br />connection with consideration and adoption of this ordinance. <br />2 <br />75A-12 <br />