11D - 2ND READ ORD MEDICAL MARIJUANA

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E. Further modifications to amend Chapter 18 and Chapter 21 are currently proposed to update certain definitions to comply with state law and ensure consistency with the newly adopted Chapter 40 (Commercial Cannabis). F. The proposed amendment includes increasing the tax on medicinal retail marijuana. Measure BB authorized a business license tax rate of up to ten percent (10%) of the gross receipts generated from each collective/cooperative. The proposed ordinance increases the tax from the initial rate of five percent (5%) to six percent (6%) as permitted by Measure BB. G. All provisions of the Santa Ana Municipal Code which are repeated herein are repeated solely in order to comply with the provisions of section 418 of the Charter of the City of Santa Ana. Any such restatement of existing provisions of the Code is not intended, nor shall it be interpreted, as constituting a new action or decision of the City Council, but rather such provisions are repeated for tracking purposes only in conformance with the Charter. Section 2. Pursuant to the California Environmental Quality Act ("CEQA") and the state CEQA Guidelines, the adoption of this Ordinance is exempt from CEQA review pursuant to California Code of Regulations section 15061(b)(3), which is applicable if it can be seen with certainty that there is no possibility that the project may have a significant effect on the environment. As a result, a Notice of Exemption will be filed upon the adoption of this ordinance. Section 3. Section 18-611 of Article XIII of Chapter 18 of the Santa Ana Municipal Code is hereby amended to read in full as follows: Sec. 18-611. - Definitions. (Not in alphabetical order) (a) "Cultivation" and/or "Cultivate" shall mean the planting, growing, harvesting, drying, curing, grading or trimming of one (1) or more marijuana plants or any part thereof, as set forth in Business and Profession Code § 26001 (1) as amended from time to time. (b) "Medical marijuana collective" or 'cooperative" or "collective" means any facility or location where medical marijuana is made available and/or distributed by or to one (1) or more of the following: a primary caregiver, a qualified patient or a person with an identification card in strict accordance with California Health and Safety Code Section 11362.5 et seq., as sometimes amended. This term shall include any legal form of business recognized in the State of California. A "medical marijuana collective" shall not include the following uses, as long as the location of such uses are otherwise regulated by this Code or applicable law: a clinic licensed pursuant to Chapter 1 of Division 2 of the Health and Safety Code, a health care facility licensed Ordinance No. NS -XXX Page 2 of 19 11 D-4