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REQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: DECEMBER 16, 2014 TITLE: PUBLIC HEARING - RESOLUTION ESTABLISHING FEES FOR MEDICAL MARIJUANA REGISTRATION APPLICATION AND REGULATORY SAFETY PERMIT {STRATEGIC PLAN NOS. 4 -2A, 1 -1F} f��= � 44 'CITY MANAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: _••:• I, ❑ As Recommended ❑ As Amended ❑ Ordinance on 1" Reading ❑ Ordinance on 2nd Reading ❑ Implementing Resolution ❑ Set Public Hearing For CONTINUED TO FILE NUMBER Adopt a resolution establishing fees for Medical Marijuana Registration Application and Regulatory Safety Permit in accordance with Ordinance Number NS -2864. DISCUSSION Since the approval of Measure BB by the voters on November 4, 2014, staff has begun developing the required processes and procedures to implement Ordinance Number NS -2864. The adopted Ordinance establishes a two -step process for determining appropriate locations for potential medical marijuana collectives /cooperatives and ensuring that operators at these locations meet the adopted development and operational requirements. The Ordinance also provides for the establishment of a City Council approved no- refundable processing fees for both the Registration Application and Regulatory Safety Permit components in the approval process. The recommended fees will recover 100 percent of the City's costs associated with the design, and implementation of these two applications, while the taxing components are established to ensure sufficient revenue for the ongoing enforcement of the Ordinance and any potential impacts of medical marijuana collectives. Medical Marijuana Registration Application Fee The Medical Marijuana Registration Application is the first step in the process, and is primarily responsible for ensuring that the proposed location is within the eligible area as established in the Ordinance. The application also requires confirmation that the applicant is authorized by the property owner to operate a medical marijuana collective /cooperative at the specified location. Further, Section 18- 617.01 of the Ordinance states that each collective /cooperative interested in operating within the City must submit an application together with a non - refundable processing fee established by the City Council. The methodology used to determine the appropriate fee amount included both the direct and indirect costs associated with providing the service. Direct costs were calculated by determining the actual time and materials involved in processing the 7513-1