Item 35 - Ordinance Amendment No. 2022-01 - Commercial Cannabis Regulatory and Tax Updates

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Ordinance No. NS-XXX Page 72 of 73 Sections 21-7, 21-8, and 21-9 of this chapter notwithstanding, separate city business licenses, issuable to commercial cannabis businesses pursuant to this article, shall be required for each separate type of commercial cannabis business activity transacted and carried on at a single city property location for which a commercial cannabis business may seek licensure by the state, or for which a state license has been approved or issued. Provided, however, that commercial cannabis business activity transacted and carried on at a single city property location for which a commercial cannabis business may seek licensure by the state as a microbusiness, or for which a state license has been approved or issued as a microbusiness, shall in such case be required to obtain a separate city business license business for each of the commercial cannabis activities transacted and carried on. Section 11. Social Equity. Within two (2) years of the effective date of this Ordinance on July 1, 2022, the City Council shall revisit any staff recommendations for adoption of social equity policies or a social equity program. Such policies or the program shall consider measures to assist or prioritize applications submitted by individuals with previous cannabis-related criminal histories, members of disadvantaged communities, local applicants, and/or other individuals or entities identified at the time requiring assistance with application processes and/or filing fees, local tax payments, and other related components of the commercial cannabis application and buildout process in the City. The tax revenues generated by commercial cannabis consumption lounges shall be utilized to further these goals and for the development and maintenance of social equity programs administered by the City. Such programs may include workforce training, education, and development within the Santa Ana community in the cannabis industry. Section 12. If any section, subsection, sentence, clause, phrase or portion of this ordinance is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. The City Council of the City of Santa Ana hereby declares that it would have adopted this ordinance and each section, subsection, sentence, clause, phrase or portion thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, or portions be declared invalid or unconstitutional. Section 13. This Ordinance shall become effective July 1, 2022. Section 14. The Clerk of the Council shall certify the adoption of this ordinance and shall cause the same to be published as required by law. Exhibit 1