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Ordinance Amendment No July 16, 2019 Page 8 2019-01 — Commercial Cannabis Ordinance Updates Medicinal Cannabis Purchasing Age SAMC Section 18-613 (1) restricts access to medicinal cannabis to those aged 21 and older unless accompanied by a primary caregiver, physician, parent, or documented legal guardian. Amending this restriction to allow individuals age 18 and older to access medicinal cannabis will ensure consistency with Proposition 64, which was approved by California voters in November 2016, and will assist with ensuring the long-term viability of medicinal cannabis sales. Adult -use (recreational) cannabis sales will remain restricted to those aged 21 and older. Badges SAMC Sections 18-613 (k) and 40-8 (3) (o) require all agents, private security officers or other persons acting for or employed by a commercial cannabis business to display a laminated identification badge. Moreover, the State of California requires that all commercial cannabis businesses produce badges, subject to inspection by the State. As written, the ordinances indicate that the badges are issued by the business, but the City has produced the badges for all commercial cannabis businesses. The amendment would reinforce that the badges are produced and issued by City of Santa Ana. The amendment would also allow an individual who has previously had a background check performed through the Live Scan process to work at an additional commercial cannabis business without having to order a new Live Scan. The amendment would streamline staff procedures and reduce staff time required to produce badges, and would create flexibility within the cannabis industry to hire individuals who have already been background checked. Non -Volatile and Volatile Manufacturing Requirements Immediately following the passage of Proposition 64, the State created two commercial cannabis manufacturing categories: non-volatile (Type 6 license) and volatile (Type 7 license). Since the two categories were established, the list of chemicals considered "volatile" has been reduced as changes to Fire and Building safety policies have been adopted across local jurisdictions, including the Orange County Fire Authority (OCFA). Existing Fire and Building safety policies for other industrial activities of a similar nature that are already allowed in the industrial zoning districts will be applied to non-volatile and volatile cannabis manufacturing activities. Eliminating the non-volatile and volatile manufacturing distinctions in Santa Ana's local ordinance will also help the City retain its competitive edge by aligning the ordinance with State requirements, and will ensure that all commercial cannabis manufacturing businesses comply with up-to-date Building Code and OCFA policies, as updated and adopted from time to time. Administration and Implementation Amendments Various updates to the City's commercial cannabis ordinances in Chapters 18 and 40 of the SAMC are required to keep pace with changes to State law, create internal consistency, and ensure that Santa Ana maintain its competitive position in the statewide commercial cannabis industry. These amendments will: 75A-8