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*Redlined Version* <br />ORDINANCE NO. NS -XXX <br />AN ORDINANCE OF THE CITY COUNCIL OF THE CITY <br />OF SANTA ANA CREATING CHAPTER 40 OF THE SANTA <br />ANA MUNICIPAL CODE, "REGULATION OF <br />COMMERCIAL CANNABIS", TO REGULATE <br />COMMERCIAL CANNABIS ACTIVITIES, EXCEPTING <br />MEDICINAL RETAIL <br />THE CITY COUNCIL OF THE CITY OF SANTA ANA HEREBY ORDAINS AS <br />FOLLOWS: <br />Section 1. The City Council of the City of Santa Ana herby finds, determines and <br />declares as follows: <br />A. In 1996, the California electorate approved Proposition 215, the <br />Compassionate Use Act which allows a patient, with a doctor's recommendation, to <br />use cannabis for medical purposes without the fear of prosecution or arrest. <br />B. In 2003, the California . legislature passed Senate Bill 420 (Medical <br />Marijuana Program Act) which amended the Health and Safety Code to permit the <br />establishment of medical cannabis dispensaries for the distribution of cannabis for <br />medical purposes. <br />C. In 2005, the California Board of Equalization began issuing seller's permits <br />for sales consisting of medical cannabis. <br />D. In 2008, the California Attorney General issued guidelines for the security <br />and non -diversion of cannabis grown for medical use. <br />E. On November 4, 2014, Santa Ana voters approved Santa Ana's Medical <br />Marijuana Regulatory Program ordinance ("Measure BB") which was codified in <br />Chapters 18 and 21 of the Santa Ana Municipal Code. Such regulations govern <br />medicinal marijuana and the retail sale thereof. <br />F. In 2015, the Governor signed into law Senate Bill 643, Assembly Bill 266, <br />and Assembly Bill 243, collectively referred to as the Medical Marijuana Regulation <br />and Safety Act ("MMRSA") further amended in 2016 as the Medical Cannabis <br />Regulation and Safety Act ("MCRSA"), which established regulations and a state <br />licensing system for medical cannabis cultivation, manufacturing, delivery, and <br />dispensing. <br />G. In 2016, the voters of the State of California approved and passed <br />Proposition 64 also known as the Adult Use of Marijuana Act ("AUMA"). <br />Ordinance No. NS -XXX <br />Page 1 of 28 <br />75E-2-5 <br />