Loading...
HomeMy WebLinkAbout2019-069 - Establishing A Canopy Measurement Service FeeLS 8.20.19 RESOLUTION NO, 2019-069 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA ESTABLISHING A CANOPY MEASUREMENT SERVICE FEE AND AN ALLOCATED SQUARE FOOTAGE MEASUREMENT SERVICE FEE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS FOLLOWS: Section 1. The City Council of the City of Santa Ana hereby finds, determines and declares as follows: A. In November 2016, the California Marijuana Legalization Initiative, also known as the Adult Use of Marijuana Act (AUMA or Proposition 64) was approved by the voters of the State of California. The AUMA legalized recreational marijuana. B. In 2017, the Governor signed into law Senate Bill 94 also known as Medicinal and Adult -Use Cannabis Regulation and Safety Act (MAUCRSA) establishing state regulations and licensing for retail sales, manufacturing, distribution, delivery and testing of adult -use (also called recreational) marijuana. C. On November 9, 2017, the City Council created Chapter 40 of the Santa Ana Municipal Code, allowing adult -use commercial cannabis retail businesses in the city, and amended certain sections of Chapters 18 and 21 of the Santa Ana Municipal Code to ensure consistency with State law and Chapter 40. Since 2014, the City has allowed medicinal marijuana collectives/cooperatives to operate within the City pursuant to regulations set forth in Chapter 18 and Chapter 21 of the Santa Ana Municipal Code. D. On March 20, 2018, the City Council adopted Ordinance NS-2941 and NS-2942, allowing and regulating commercial cannabis testing laboratories. E. A general business license tax based on the gross receipts derived from commercial cannabis businesses and gross square footage would generate essential funds for protecting vital City services and facilities and place such businesses on more equal footing with existing City businesses, including medical marijuana businesses which already pay a business license tax. F. The City Council is authorized to impose general and special taxes in order to fund municipal services and facilities, subject to requisite voter approval as set forth in Government Code section 53720. G. The voters of the City of Santa Ana approved Measure Y (Ordinance NS-2962) on November 6, 2018, for the purpose of fixing the rate of taxation for commercial Resolution No. 2019-069 Page 1 of 3 cannabis businesses including delivery, distribution, manufacturing, cultivation, testing and retail sales of cannabis and related products. The taxes required to be paid under this article are declared to be required pursuant to the taxing power of the City of Santa Ana solely for the purpose of obtaining revenue and are not regulatory permit fees. H. The City of Santa Ana desires to remain at the forefront of commercial cannabis by allowing and regulating commercial cannabis business activities, routinely updating and amending its ordinances, and establishing commercial cannabis gross receipts tax rates that are competitive and provide for the needs of the Santa Ana community. Section 21-133, subsection (j)(8)(B) of Article XIII of Chapter 21 of the Santa Ana Municipal Code states that the gross square footage of cultivation canopy shall be subject to independent measurement and calculation by duly authorized employees or agents of the City and that a corresponding canopy measurement fee amount be specified by resolution of the City Council. J. Section 21-133, subsection (j)(8)(D) of Article XIII of Chapter 21 of the Santa Ana Municipal Code states that the gross square footage of allocated square footage amounts reported by commercial cannabis business owners/operators respectively for either distribution use or for manufacturing use, shall be subject to independent measurement and calculation by duly authorized employees or agents of the City and that a corresponding allocated square footage measurement fee amount be specified by resolution of the City Council. K. The City Council conducted a duly noticed public hearing on August 20, 2019, to consider the proposed fee modifications. Section 2. Pursuant to Santa Ana Municipal Code Section 21-133, subsection (j)(8)(B) the City Council hereby establishes a canopy measurement fee in the amount of $100.57 per hour. Said fee shall be added to the City's Miscellaneous Fee Schedule and be subject to the Consumer Price Index changes annually. The canopy measurement fee amount shall become operational upon the effective date of Section 21-133, subsection 0)(8)(B)• Section 3. Pursuant to Santa Ana Municipal Code Section 21-133, subsection (j)(8)(D) the City Council hereby establishes an allocated square footage measurement fee in the amount of $100.57 per hour. Said fee shall be added to the City's Miscellaneous Fee Schedule and be subject to the Consumer Price Index changes annually. The allocated square footage measurement fee amount shall become operational upon the effective date of Section 21-133, subsection (j)(8)(D). Section 4. The City Council finds that the fees adopted by this Resolution do not exceed the reasonable costs of providing the services for which the fees are charged. Resolution No. 2019-069 Page 2 of 3 ADOPTED this 20th day of August, 2019. APPROVED AS TO FORM: Sonia R. Carvalho, City Attorney By:_��� Lisa Storck Assistant City Attorney AYES: Councilmembers NOES: Councilmembers ABSTAIN: Councilmembers NOT PRESENT: Councilmembers 'Ward 4 Representative Vacant. Penaloza, Sarmiento, Solorio Villegas (4) Iglesias (1) Pulido (1) None (0) CERTIFICATE OF ATTESTATION AND ORIGINALITY I, Daisy Gomez, Clerk of the Council, do hereby attest to and certify the attached Resolution No. 2019-069 to be the original Resolution adopted by the City Council of the City of Santa Ana on August 20, 2019 At Daisy Gomez Clerk of the Council City of Santa Ana Resolution No. 2019-069 Page 3 of 3