Loading...
HomeMy WebLinkAbout55C - RESO - PETITION QUALIFIED VOTER INITIATIVEREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: JUNE 3, 2014 TITLE: SUBMISSION TO THE VOTERS AT THE NOVEMBER 4, 2014 MUNICIPAL ELECTION: PETITION QUALIFIED BY VOTER INITIATIVE ON SANTA ANA MEDICAL CANNABIS RESTRICTION AND LIMITATION INITIATIVE CITY MANAG R RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ❑ As Recommended ❑ As Amended ❑ Ordinance on 1$' Reading ❑ Ordinance on 2ntl Reading ❑ Implementing Resolution ❑ Set Public Hearing For CONTINUED TO FILE NUMBER Adopt a resolution giving notice of the City's General Municipal Election to be held in the City of Santa Ana on November 4, 2014 for the submission of questions to the voters relating to voter initiative petition on the Santa Ana Medical Cannabis Restriction and Limitation Initiative and requesting the Board of Supervisors of Orange County to consolidate the General Municipal Election of the City of Santa Ana. 2. Adopt a resolution containing ballot question. 3. Adopt a resolution authorizing submittal of written arguments for or against the voter initiative. 4. Approve guidelines for preparation of arguments for or against the proposed voter initiative, fix the date for the submission of Direct Arguments and Rebuttal Arguments, and post the notice for the argument process in accordance with the provisions of the California State Elections Code. 5. Authorize the City Attorney to prepare an Impartial Analysis for each of the proposed Charter Amendments to be submitted to the voter for consideration. 6. Direct staff to process all other documents required to proceed with the voter initiative petition. DISCUSSION On February 19, 2013, the City Council approved the Certificate of Sufficiency regarding the Santa Ana Medical Cannabis Restriction and Limitation Initiative that was proposed by the Committee to Support Medical Marijuana Ballot Initiative. In order to conduct an election for placing the above initiative on the ballot, State law requires the City Council to take an action calling for a consolidated municipal election. The resolution calling for the municipal election provides for the submission of the text of the proposed measure to be considered by the voters. 55C -1 Santa Ana Medical Cannabis Restriction and Limitation Initiative June 3, 2014 Page 2 Pursuant to the provisions of the California Elections Code, the City Council is required to formally request consolidation of the City's general election and/or special election with the State's general election. The subject resolution fulfills this requirement by requesting that the Board of Supervisors of Orange County consolidate the municipal election of November 4, 2014 and authorizes the Board of Supervisors to canvass the election returns. California State Elections code Section 9281 provides that arguments for and against any initiative may be submitted to the qualified voters of the city. The Elections Code specifies that the legislative body, or any member or members of the Legislative body authorized by that body, may submit a written argument for or against the measure. This section further authorizes any individual voter or bona fide association of citizens to write arguments, however, the Elections Code specifies that members of the Council would be given preference and priority, if authorized by the City Council. The subject resolution would give that authorization to any member of the Council desiring to submit an argument. The procedures for filing ballot arguments are detailed in the Elections Code. The Clerk of the Council has set June 17, 2014 as the deadline to submit any arguments in favor or opposition to this voter initiative. The Election Code procedures, as well as general guidelines are attached and will be posted as required by law. In addition, the City Attorney is directed to prepare an Impartial Analysis and forward to the Orange County Registrar of Voter's Office to be printed in the Voter Information Pamphlet preceding the arguments for and against the measure. FISCAL IMPACT The cost to consolidate the General Municipal Election is estimated to be $225,000. Funds for these administrative costs are available in the General Non - Departmental, Contractual Services account no. 01105015 62300, FY 2013 -2015. Maria D. Huizar, Clerk of the Council 1 ew is Carvalho, IN Attorney Attachments 1 -5 APPROVED AS TO FUNDS AND ACCOUNTS: Francisco Gutierrez Executive Director 5� Finance & Management Services Agency 55C -2 (labeled) ATTACHMENT RESOLUTION GIVING NOTICE OF THE CITY'S GENERAL MUNICIPAL ELECTION AND REQUESTING CONSOLIDATION WITH COUNTY OF ORANGE 55C -3 RESOLUTION NO. 2014 -XXX A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA GIVING NOTICE OF A GENERAL MUNICIPAL ELECTION TO BE HELD IN THE CITY OF SANTA ANA ON NOVEMBER 4, 2014 FOR THE SUBMISSION TO THE VOTERS OF QUESTIONS RELATING TO VOTER INITIATIVE PETITION ON THE SANTA ANA MEDICAL CANNABIS RESTRICTION AND LIMITATION INITIATVE AND REQUESTING THE BOARD OF SUPERVISORS OF ORANGE COUNTY TO CONSOLIDATE THE GENERAL MUNICIPAL ELECTION WITH THE STATE'S GENERAL ELECTION 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. A general election of the City of Santa Ana will be held on November 4, 2014, for the purpose of voting on voter initiative petition on the Santa Ana Medical Cannabis Restriction and Limitation Initiative shall be submitted to the voters. B. There will be a statewide general election held on November 4, 2014. C. It is desirable that said general election of the City of Santa Ana be consolidated with the statewide general election to be held on the same date and; that within the City of Santa Ana, the precincts, polling places and election officers be the same, and that the Board of Supervisors of the County of Orange canvass the returns of both elections, in all respects as if there were only one election. Section 2. That pursuant to the requirements of Section 10403 of the Elections Code of the State of California, the Board of Supervisors of the County of Orange is hereby requested to consent to and order the consolidation of the November 4, 2014 general election of the City of Santa Ana for the purpose of voting on a ballot measure relating to voter initiative petition with the statewide general election to be held on the same date. Section 3. The Board of Supervisors of the County of Orange is hereby authorized to canvass the returns of said general municipal election pursuant to Section 10411 of the Elections Code of the State of California. Resolution No. 2014 -XXX 55C -4 Page 1 of 2 Section 4. The City of Santa Ana recognizes that additional costs will be incurred by the County by reason of this consolidation and agrees to reimburse the County of Orange for any such costs. Section 5. The Clerk of the Council is hereby directed to file a certified copy of this resolution with the Board of Supervisors of the County of Orange and a certified copy of this resolution with the Registrar of Voters of the County of Orange. Section 6. This Resolution shall take effect immediately upon its adoption by the City Council, and the Clerk of the Council shall attest to and certify the vote adopting this Resolution. ADOPTED this day of , 2014. Miguel A. Pulido Mayor APPROVED AS TO FORM: 0 Sonia R. Carvalho, City Attorney AYES: Councilmembers: NOES: Councilmembers: ABSTAIN: Councilmembers: NOT PRESENT: Councilmembers: CERTIFICATE OF ATTESTATION AND ORIGINALITY I, MARIA D. HUIZAR, Clerk of the Council, do hereby attest to and certify that the attached Resolution No. 2014 -XXX to be the original resolution adopted by the City Council of the City of Santa Ana on Resolution No. 2014 -XXX Page 2 of 2 55C -5 Date: Maria D. Huizar, Clerk of the Council Resolution No. 2014 -XXX 55C -6 Page 3 of 2 Resolution No. 2014 -XXX Page 4 of 2 PROPOSED ORDINANCE 55C -7 EXHIBIT THE SANTAANAMEDICAL CANNABIS RESTRIMIONAND I IITATIONACT 2012 I!If f S [' ?I 11 19 The People of the City of Santa Ana do hereby enact and ordain as follows CITY n THE SANTAANA MEDICAL CANNABIS RESTRICTION ANDr4 TATIONAM SECTION 1 TITLE This initiative shall be known and may be cited as The Santa Ana Medical Cannabis Restriction and Limitation Act. SECTION 2 FINDINGS AND DECLARATIONS (a) Li 1996 California voters approved Proposition 215, the "Compassionate Use Act of 1996:" The people of the State of California declared that their purpose in enacting the measure was, "to ensure that seriously ill Californians have the right to obtain and use marijuana for medical purposes where that medical use is deemed appropriate and has been recommended by a physician who has determined that the person's health would benefit from the use of marijuana in the treatment of cancer, anorexia, AIDS, chronic pain, spasticity, glaucoma, arthritis, migraine, or any other illness for which marijuana provides relief." (b) Proposition 215 called for plans to implement the "safe and affordable distribution of marijuana to all patients in medical need of marijuana." (c) "Cannabis" is the scientific term for "marijuana" and shall be used in the language of this Ordinance and in all other medical contexts in the City of Santa Ana. (d) We strongly support the right of patients to use medical cannabis in accordance with the recommendation or approval of a licensed physician in good standing with the Medical Board of California. (e) We strongly oppose law enforcement resources being used to arrest, prosecute, and incarcerate qualified patients who use and provide medical cannabis in accordance with the Compassionate Use Act (California Health and Safety Code section 11362,5) and Senate Bill 420 (California Health and Safety Code sections 11362.7 a seq.). (f) Access to medical cannabis should occur in a safe and orderly manner to protect patients and the community. The absence of controlled dispensing organizations results in patients being forced to obtain their medicine in the illicit market, or incurring hardship and expense of traveling great distances to obtain their medicine from outside their community. (g) In the absence of detailed State regulation, local governments must adopt policies and regulations to protect their communities and their resident patients' safe access to their medicine. 55C -8 IM According to the California State Board of Equalization, medical cannabis organizations contribute between $50 and $100 million dollars in sales tax to the State of California annually, and provide employment to thousands of Californians. Local municipalities, including the City of Sacramento, have passed special business tax rates for medical cannabis organizations which provide revenue used to fund much needed services such as public safety, education, and health. (i) The People of the City of Santa Ana further find and declare that we enact this initiative pursuant to the powers reserved to the State of California, the City of Santa Ana, and its People under the Tenth Amendment to the United States Constitution, as well as under the general police power of local government derived from the State's sovereignty. (j) The intent of this Ordinance is to restrict and limit the number of medical cannabis collectives and cooperatives operating or which may operate in the City of Santa Ana, but not to prohibit them. (k) The intent of the two percent gross receipts tax on medical cannabis collectives and cooperatives is for the betterment of the community. (1) The subject of this Ordinance is to determine the appropriate location of medical cannabis collectives and cooperatives. The regulation of such collectives and cooperatives may be accomplished by State law, or by any other Santa Ana voter initiative. This Ordinance cannot be amended by the City Council except as specifically provided below. SECTION 3 AMENDMENTS TO SANTA APIA MUNICIPAL CODE CHAPTER 18 ARTICLE XIII The People of the City of Santa Ana do hereby enact and ordain that Chapter 18 Article XIII of the Santa Ana Municipal Code is hereby amended to read as follows (any underlined language is new and to be inserted, any struck - through language is existing and to be deleted): Article XHI - Medical Cannabis Collective- and Cooperatives Sec 18 610 - Purposes and Directives See 18 -611 - Definitions Sec_ 18.612. - Maximum Number of Collectives or Cooperatives Sec 18 -61 - Ilse District- & Sensifive Use Proximity Prohibitions Sec 18-614, Registration Required and Effect Thereof See 18 -615 - Registration Application Process See, 18 -616 - Regi suatioa Application Form Manner Timing and Priority Order Sec 18 Issuance and Renewal ofRegic ra ion S 18. 18g�_618`Operating Standards 2 55C -9 o• e . MWOWTIMIR 1 1 1 1 i 1 1• 1' 1. 1 1 ' 1 • 1 1- •! •• /" e' 11'1 i ft; toiVIL4111114,11 0 •1' • \• • 1111 -1 ;'f1 f1 -• / 1' r �1 \• 1 M.- I I Lit - 1. 1- • 1 f- 1 1•. 1 T. nowilmomm WMIMMIt ' 1 1 • 1 mrsin IM, MI 1 I' 1 -1 17MM I. mil .11 f . ersTrMS.Ml • R -.1 MGM M-6 Iffn 1 •I i 11; /" 1_' 1 •111 1 1 <.11 111 1• "9 1 11'/ 6 ! - . 1 L 1 .. 1/ 1 /. • 1- 1. - 1 1 •• 1 1 1 • 11 1 I 1 1 L r -. 1 1 1 • 11 1 '� '1 • • If 1' II "111' 11 1 1 (1,1.� eII ' 1/ MIRSIMIro • /- e- 1: 1 11 1 • 1 11 1 .. • RIM, 1 1 ' 1 •/ 1- ■ s . 1 ; L . I . 11 . 1 P.M. .70.911 1 1 I ' 1 . ' • • R I • 11 1 1. 1 ! 1 t . 1 1 1 1 1 55C -14 wit AMIT ell ' Ile !. • 1 1 e 1 -- 1 1 1 1' 1.11 1 1 1" • I I .. I 1 1 a 1- • 1 1.1 1' 1 • 111. • 1/ 11 ' I S 1 Ms • I jTM no I 1 . ! • 1 (ollsollitelp o) lilmiWoMM.MorriMirKil 1. I '1 1 a ! 1 Ile I le, 00to 1 1 • ••I Some I1! of dated -1 11 It'1 • evidence that the collective or 111- had bepn !. 1 1 •_ at the loration prior • Deember 1 1 /. 1• but 1/ autilityreceipi a State Board of Equalization Perinit. or I' ral Emplo Identification Number, 55C -15 is 55C -20 SECTION 4 AMENDMENTS TO SANTA ANA MUNICIPAL CODE SECTION 41 -121 The People of the City of Santa Ana do hereby enact and ordain that Section 41 -121 of the Santa Ana Municipal Code is hereby repealed and deleted in its entirety (all existing language to be deleted is struck - through as follows): €ellewing: 1) Mefe ihan a single qualified patient—, f The teffn "medioal w• 0 .. JLUR SECTION 4 AMENDMENTS TO SANTA ANA MUNICIPAL CODE SECTION 41 -121 The People of the City of Santa Ana do hereby enact and ordain that Section 41 -121 of the Santa Ana Municipal Code is hereby repealed and deleted in its entirety (all existing language to be deleted is struck - through as follows): 14 55C -21 €ellewing: 1) Mefe ihan a single qualified patient—, f The teffn "medioal w• 0 14 55C -21 vssr�s ..... .. -aj-ra sub SECTION 5 AMENDMENTS TO SANTA ANA MUNICIPAL CODE SECTION 41 -144 The People of the City of Santa Ana do hereby enact and ordain that Section 41 -144 of the Santa Ana Municipal Code is hereby amended to read as follows (any underlined language is new and to be inserted, any struck - through language is existing and to be deleted): Sec. 41 -144. - Retail and service uses. Retail and service uses include any use of property for the purpose of offering merchandise or services to the public for compensation, and include banks, savings and loan associations, and similar financial institutions, but do not include the following: (a) Sheet metal shops, body - fender works, automobile paint shops, repair garages, and any activity which includes the processing, treatment, manufacturing, assembling or compounding of 15 55C -22 . _. ... .. . . .. .... -- . -- vssr�s ..... .. -aj-ra sub SECTION 5 AMENDMENTS TO SANTA ANA MUNICIPAL CODE SECTION 41 -144 The People of the City of Santa Ana do hereby enact and ordain that Section 41 -144 of the Santa Ana Municipal Code is hereby amended to read as follows (any underlined language is new and to be inserted, any struck - through language is existing and to be deleted): Sec. 41 -144. - Retail and service uses. Retail and service uses include any use of property for the purpose of offering merchandise or services to the public for compensation, and include banks, savings and loan associations, and similar financial institutions, but do not include the following: (a) Sheet metal shops, body - fender works, automobile paint shops, repair garages, and any activity which includes the processing, treatment, manufacturing, assembling or compounding of 15 55C -22 any product, other than that which is clearly and traditionally incidental and essential to a particular retail activity. (b) A ,. edisal fn ., dispensary as defined is seetieA Al 121 of tkis Code OQL (e) A hookah parlor as defined in section 41 -73.5 of this Code. (d)Any use which is more specifically identified as a permitted use or as a use which may be permitted subject to the issuance of a conditional use permit in one or more use districts pursuant to Article III of this chapter. SECTION 6 AMENDMENTS TO SANTA ANA MUNICIPAL CODE SECTION 21 -119 The People of the City of Santa Ana do hereby enact and ordain that Section 21 -119 of the Santa Ana Municipal Code is hereby amended to read as follows (any underlined language is new and to be inserted, any struck- through language is existing and to be deleted): Sec. 21 -119. - Gross receipts tax rates. Gross receipts tax rates for the different classifications are as follows: (1) Classification "A" —All businesses for which no tax is specified elsewhere in this Article, including, but not limited to: retail businesses and sales at retail, services (including real estate brokers, real estate developers, insurance brokers, life and disability insurance analysts, stock and bond brokers, commission agents, brokers or merchants, building and loans, and recreational services), hotels, motels, theaters, and food establishments: For each separate place of business licensed, a basic rate of $60.00, plus: $0.50 per $1,000.00 to .....$100,000.00 .....$100,000.00 0.30 per 1,000.00 to .....500,000.00 0.20 per 1,000,00 to .....1,000,000.00 0.15 per 1,000.00 over .....1,000,000.00 (2) Classification "13 "— Manufacturing, processing, wholesale businesses and sales at wholesale, sales of gasoline and motor fuels, and telephone services: For each separate place of business licensed, abasic rate of $60.00, plus: $0.30 per $1,000.00 to .....$100,000.00 0.25 per 1,000.00 to ...,.300,000.00 0:20 per 1,000.00 to .....600,000.00 0.15 per 1,000,00 to .....1,000,000.00 16 55C -23 0.10 per 1,000.00 over..... 1,000,000.00 (3) Classification "C "— Rental of commercial real estate: For the first property location licensed, a basic rate of $60.00, plus: $0.50 per $1,000.00 to .....$100,000.00 0.30 per 1,000.00 to .....$500,000.00 0.20 per 1,000.00 to .....1,000,000.00 0.15 per 1,000.00 over .....1,000,000.00 For each additional property location licensed, a basic rate of $10.00, plus: $0.50 per $1,000.00 to .....$100,000.00 0.30 per 1,000.00 to .....$500,000.00 0.20 per 1,000.00 to .....1,000,000.00 0.15 per 1,000.00 over .....1,000,000.00 (4) Classification "D" —Junk yards, automobile wrecking yards and salvage yards, junk dealers, junk collectors, automobile dismantlers, junk salvagers, and junk recyclers: For each separate place of business licensed, a basic rate of $100.00, plus: $0.50 per $1,000.00 to .....$100,000.00 0.30 per 1,000.00 to .....500,000.00 0.20 per 1,000.00 to .....1,000,000.00 0.15 per 1,000.00 over..... 1,000,000.00 (5) Classification "F "— cannabis businesses: 1/ For 1" / 1 1 1 • 1 . I l i l but not limited • • ell! /1 harvesting- compounding • 1 "• 1 processing- preParing 1 1" 1} ea -f s-business activiv 1 1 tran •1• !' manufaclailig. staring, packaging- wholesale, and/or retail sales of mad juana any part of the plant '. I !- . P • •1 • 1 I.1 1 • I. 1 1 1' 1 1 11 • � ! 1 1 1 11 • • - - P • • 1 . • . • by prim= caregivers to their qualified 1/ For 1" / 1 1 1 • 1 . I l i l but not limited • • ell! /1 harvesting- compounding • 1 "• 1 processing- preParing 1 1" 1} ea -f s-business activiv 1 1 tran •1• !' manufaclailig. staring, packaging- wholesale, and/or retail sales of mad juana any part of the plant Cannabis sativa L. or its derivatives. It - specifically 1 / medical ll./ is transfers by collectives and cooperatives and sPecifically excludes medical cannabis ..I by prim= caregivers to their qualified patients as defined in Chapter 18 Article MH of this Codt.. 17 55C -24 IF MR. i •: 1 1 1 11 LI' 1 f! SECTION 7 INITIATIVE NOT TO BE AMENDED OTHER THAN BY VOTERS This initiative ordinance and every part thereof can only be amended by the Voters of the City of Santa Ana and cannot be amended by the Santa Ana City Council except as specifically provided above. SECTION 8 SPECIAL OR REGULAR ELECTION The Voters of the City of Santa Ana hereby expressly request that this initiative ordinance be set for a special or regular election at the earliest time allowable by law. SECTION 9 SEVERABILITY Should any provision of this initiative ordinance, or its application to any person or circumstance, be determined by a court of competent jurisdiction to be unlawful, unenforceable or otherwise void, voidable, or invalid, that determination shall have no effect on any other provision, or the application of this initiative ordinance to any other person or circumstance and, to that end, the provisions hereof are severable. By approving this ordinance the voters intend that each section and sub - section be explictly severable, part -by -part, phrase -by- phrase, and word -by- word, thus that the minimum language held invalid be severed. 18 55C -25 ATTACHMENT RESOLUTION CONTAINING BALLOT QUESTION 55C -26 RESOLUTION NO. 2014 -xxx A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA SETTING FORTH THE LANGUAGE OF A BALLOT TITLE FOR PROPOSED VOTER INITIATIVE PETITION REFERRED TO AS THE SANTA ANA MEDICAL CANNABIS RESTRICTION AND LIMITATION INITIATIVE TO BE INCLUDED ON THE BALLOT FOR THE 2014 GENERAL MUNICIPAL ELECTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS FOLLOWS: SECTION 1. By Resolution No. 2014 -XXX, the City Council of the City of Santa Ana has called for a General Municipal Election to be held on November 4, 2014 and submitted to the voters a proposed voter initiative petition. SECTION 2. The California Elections Code directs that the City Council approve the form of the ballot question to be submitted to the voters at the General Municipal Election to be held on Tuesday, November 4, 2014. SECTION 3. The voter shall consider the following proposal, with identification as determined in accordance with the California Elections Code: Shall an ordinance rescinding the City of Santa Ana's YES prohibition of medical marijuana dispensaries and adopting new regulations providing for an administrative registration approval process, zoning designations for dispensaries and a NO business tax on operating dispensaries, known as the Medical Cannabis Restriction and Limitation Initiative, be adopted? SECTION 4. This Resolution shall take effect immediately upon its adoption by the City Council, and the Clerk of the Council shall attest to and certify the vote adopting this Resolution. ADOPTED this day of 2014. Miguel A. Pulido Mayor 55C-27 Resolution No. 2014 -XXX Page 1 of 2 APPROVED AS TO FORM: BV: Sonia R. Carvalho, City Attorney AYES: Councilmembers: NOES: Councilmembers: ABSTAIN: Councilmembers NOT PRESENT: Councilmembers: CERTIFICATE OF ATTESTATION AND ORIGINALITY I, MARIA D. HUIZAR, Clerk of the Council, do hereby attest to and certify that the attached Resolution No. 2014 -XXX to be the original resolution adopted by the City Council of the City of Santa Ana on Date: Maria D. Huizar, Clerk of the Council Resolution No. 2014 -XXX Page 2 of 2 55C -28 ATTACHMENT RESOLUTION AUTHORIZING SUBMITTAL OF WRITTEN ARGUMENTS FOR OR AGAINST THE VOTER INITIATIVE; 55C -29 RESOLUTION NO, 2014 -XXX A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA AUTHORIZING WRITTEN ARGUMENTS FOR OR AGAINST THE PROPOSED VOTER INITIATIVE REGARDING THE SANTA ANA MEDICAL CANNABIS RESTRICTION AND LIMITATION INITIATVE TO BE PLACED ON THE BALLOT OF THE GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 4, 2014 WHEREAS, California Elections Code Section 9282 authorizes the filing of written arguments for or against a voter initiative petition, and Elections Code Section 9287 establishes priorities for filing written arguments in favor of and against initiatives and WHEREAS, on June 3, 2014, the City Council adopted Resolution No. 2014- _- authorizing the calling and placement on the ballot a proposed voter initiative to be submitted to the electors at the November 4, 2014 general municipal election; and WHEREAS, the City Council desires to authorize the filing of written arguments for and/or against the adoption of the following ballot question and in accordance with Elections Code section 9282(b): Shall an ordinance rescinding the City of Santa Ana's YES prohibition of medical marijuana dispensaries and adopting new regulations providing for an administrative registration NO approval process, zoning designations for dispensaries and a business tax on operating dispensaries, known as the Medical Cannabis Restriction and Limitation Initiative, be adopted? NOW, THEREFORE, the City Council of the City of Santa Ana hereby finds, determines and declares as follows that: Section 1. The foregoing recitals are true and correct and are hereby incorporated by reference. Section 2. Authorization to Submit Arguments. Section 9282(b) of the Elections Code of the State of California provides that in a local election, the legislative body may authorize any member(s) of the City Council to write arguments for or against any measure. The City Council hereby authorizes the Mayor and /or City Council Resolution No. 2014 -XXX Page 1 of 3 55C -30 members to prepare and file written arguments in favor of or against the proposed ordinance described above. Section 3. Authors. That, in accordance with Section 9283 of the Elections Code, the printed names and signatures of not more than five authors shall appear with any argument submitted in accordance with this resolution. Section 4. Argument not exceed 300 words. That, in accordance with Section 9282(c) of the Elections Code, any written argument in favor of or against the proposed ordinance described above shall not exceed 300 words. Section 5. City Council Preference and Priority. The City Council hereby authorizes and directs the Clerk of the Council to give preference and priority to any written argument for or against the initiative set forth above that includes a member or members of the City Council (up to five members), and then to other arguments as set forth in California Elections Code section 9287. Section 6. Deadline for Arguments. In accordance with California Elections Code section 9286(b), the deadline for filing with the Clerk of the Council (and changing or withdrawing) arguments for or against the proposed ordinance described above shall be not later than 5:00 p.m. on June 17, 2014. Section 7. Certification. This Resolution shall take effect immediately upon its adoption by the City Council, and the Clerk of the Council shall attest to and certify the vote adopting this Resolution. ADOPTED this day of , 2014. APPROVED AS TO FORM: In Sonia R. Carvalho, City Attorney Jose Sandoval, Resolution No. 2014 -XXX Page 2 of 3 55C -31 Miguel A. Pulido Mayor AYES: Councilmembers: NOES: Councilmembers: ABSTAIN: Councilmembers: NOT PRESENT: Councilmembers: CERTIFICATE OF ATTESTATION AND ORIGINALITY I, MARIA D. HUIZAR, Clerk of the Council, do hereby attest to and certify that the attached Resolution No. 2014 -XXX to be the original resolution adopted by the City Council of the City of Santa Ana on Date: 55C -32 Maria D. Huizar, Clerk of the Council Resolution No. 2014 -XXX Page 3 of 3 ATTACHMENT 4 GUIDELINES FOR PREPARATION OF ARGUMENTS FOR OR AGAINST THE PROPOSED AMENDMENTS 55C -33 City of Santa Ana is NOTICE OF ELECTION 2014 General Municipal Election November 4, 2014 SANTA ANA MEDICAL CANNABIS RESTRICTION AND LIMITATION INITIATVE VOTER INITIATIVE PETITION TO BE VOTED ON CITY OF SANTA ANA, CALIFORNIA NOTICE IS HEREBY GIVEN that the following proposed voter initiative will be voted on at the General Municipal Election to be held in the City of Santa Ana, California on Tuesday, the fourth (4th) day of November 2014: Shall an ordinance rescinding the City of Santa Ana's prohibition of YES medical marijuana dispensaries and adopting new regulations providing for an administrative registration approval process, zoning designations for dispensaries and a business tax on operating NO dispensaries, known as the Medical Cannabis Restriction and Limitation Initiative, be adopted? TIME LIMIT TO SUBMIT BALLOT ARGUMENTS (California Elections Code §9280 -9287) PLEASE TAKE NOTICE that Arguments with respect to the following ballot measure will be received according to the following procedures: The City Council or any member(s) of the Council authorized by the City Council, or bona fide association of citizens, or any individual voter who is eligible to vote on the Measure, or any combination of voters and associations, may file a written argument for or against the measure on the ballot. No argument shall exceed 300 words in length. 2. A ballot argument shall not be accepted unless accompanied by the name(s) of the person(s) submitting it, or, if submitted on behalf of an organization, the name of the organization and the name of at least one of its principal officers. 55C -34 3. No more than five authors may sign any argument. If an argument is signed by more than five individuals, the names of only the first five persons signing, determined by the order in which their signatures appear, shall be printed on the argument appearing in the Voter Information Pamphlet. 4. The Clerk of the Council shall cause an argument for and an argument against the measure, if submitted, to be printed and shall transmit the arguments to the qualified electors in addition to any necessary ballot materials. Arguments for and against the measure shall be submitted to the Office of the Clerk of the Council, 20 Civic Center Plaza, Santa Ana, California 92701, not later than 14 days after City Council calls for the Election. 5. Arguments may be changed or withdrawn by their authors by specified date. 6. Printed arguments submitted to the voters shall be titled either "Argument In Favor of Measure_" or "Argument Against Measure_ ", accordingly. The blank space will be assigned a number or letter by the Orange County Registrar of Voters. Words used in the title shall not be counted when determining the length of the argument. 7. If more than one argument for or more than one argument against the ballot measure is submitted to the Clerk of the Council within the time prescribed above, the Clerk of the Council shall select one of the arguments for printing and distribution to voters. In such selection, preference and priority shall be given as follows: 1) member(s), of the legislative body authorized by that body, 2) bona fide associations of citizens, and, 3) individual voters who are eligible to vote on the measure. If more than one argument for a measure is received from individuals or groups with the same preference and priority, the first argument submitted to the Clerk of the Council will be selected if no other arguments from an individual or group with a higher priority are received. 8. At the time of filing an argument, a certificate is also required that states that the facts contained in the argument are true and correct. The certificate must be signed by each author of the argument. (A certificate form is available from the Clerk of the Council) 9. Copies of arguments for and against the measure shall be open for public examination at the Clerk of the Council Office, 20 Civic Center Plaza, Santa Ana, California, 92701 during normal business hours (Monday through Thursday and alternate Fridays, 8:00 A.M. to 5:00 P.M.) during the Public Review Period. Any individual may obtain a copy of such materials for use outside of said office. A fee, not to exceed the actual costs incurred in providing such copies, will be charged at the time of provision of such copies. 10. Questions concerning this notice shall be directed to the Clerk of the Council, City of Santa Ana, telephone number (714) 647 -6520. 11. Copies of the text of the Measure to be submitted to the voters of the City of Santa Ana may be obtained from the Clerk of the Council, telephone number (714) 647 -6520. 55C -35 WORD COUNT STANDARDS (Elections Code §9) §9.(a) Counting of words, for purposes of the Elections Code, shall be as follows: (1) Punctuation is not counted. (2) Each word shall be counted as one word except as specified in the Elections Code section. (3) All geographical names shall be considered as one word; for example, "City and County of San Francisco" shall be counted as one word. (4) Each abbreviation for a word, phrase, or expression shall be counted as one word. (5) Hyphenated words that appear in any generally available standard reference dictionary, published in the United States at any time within the 10 calendar years immediately preceding the election for which the words are counted, shall be considered as one word. Each part of all other hyphenated words shall be counted as a separate word. (6) Dates consisting of a combination of words and digits shall be counted as two words. Dates consisting only of a combination of digits shall be counted as one word. All Digits (8/08/07) one word Words and digits (August 8, 2007) two words (7) Any number consisting of a digit or digits shall be considered as one word. Any number which is spelled, such as 'one," shall be considered as a separate word or words. "One" shall be counted as one word whereas 'one hundred" shall be counted as two words. "100" shall be counted as one word. (8) Telephone numbers shall be counted as one word. (9) Internet web site addresses shall be counted as one word. If the text exceeds the word limit, the author must delete or change a sufficient number of words, or a sentence, to put the statement within the required word limit before the statement is filed. The author should correct any misspellings before the statement is filed. 55C -36 ATTACHMENT SUMMARY AND TITLE AND PROPOSED ORDINANCE 55C -37 Title: Medical Cannabis Restriction and Limitation Initiative. Summary: The Medical Cannabis Restriction and Limitation Initiative ( "proposed Ordinance") seeks to delete the City of Santa Ana's prohibition of medical marijuana dispensaries, including collectives and cooperatives, as defined by the City, contained in Chapters 18 (Health and Safety) and 41 (Zoning) of the Santa Ana Municipal Code, and replace it with a ministerial administrative registration process, zoning restrictions, and a business tax requirement for medical cannabis collectives and cooperatives ( "cooperatives and collectives "), as defined by the proposed Ordinance. The law's stated intentions include, but are not limited to, fulfilling the purposes of State law regarding medical marijuana, including the Compassionate Use Act and the Medical Marijuana Program Act ( "MMP "), providing additional revenue for the City, and imposing further limitations on collectives and cooperatives beyond those imposed under the MMP. Specifically, with regard to zoning restrictions, the proposed Ordinance: (1) Prohibits collectives and cooperatives in all zones except the C 1, C4, C5, Ml, P & C -SM zones; (2) Prohibits collectives and cooperatives in all residential zones; and (3) Prohibits collectives and cooperatives within 600 feet of public and private schools, K -12 1t' grade. The proposed Ordinance also requires all collectives and cooperatives to apply for and obtain a Notice of Completed Registration ( "Notice "), which is issued by the City's Director of Planning ( "Director "), and is required of all collectives and cooperatives that meet specified requirements and want to continue to operate within the City. The proposed Ordinance's registration process is a ministerial duty upon the Director, where collectives or cooperatives submit an application within specified timelines and pay the required fees. They are subsequently issued a Notice and, within thirty (30) days of that, a Certificate of Occupancy for operation. In addition, the proposed Ordinance establishes a formula for the number of collectives and cooperatives that shall be registered with the City. The proposed Ordinance provides that at least one cannabis collective or cooperative per 15,000 residents, as determined by the last Federal Census or as determined by the latest population estimate by the Department of Finance of the State of California, whichever is higher, and in no case less than 22, shall he registered by the Director if there are that many eligible applicants. Once operating, the cannabis collective or cooperative is required to meet operating standards, which includes but is not limited to, adequate security (i.e., lighting and alarm requirements), prohibition on possessing or maintaining a license from the State Department of Alcohol Beverage Control, signage and all requirements set out by the 2008 Attorney General Guidelines for the Security and Non - diversion of Marijuana Grown for Medical Use. Finally, the proposed Ordinance makes a "cannabis business," as defined, a classification "F ", which requires those entities to pay business taxes in the amount of $20.00 for each $1,000.00 of gross receipts. A cannabis business is defined to include medical cannabis transfers by collectives or cooperatives. This tax is prospective only. 55C -38 TILE SANTA ANA MEDICAL CANNABIS RESTRICTIONANDyyIl1IITATION ACT A I!g_ 16 PN 4: 19 The People of the City of Santa Ana do hereby enact and ordain as follows CITY , , , THE SANTAANA MEDICAL CANNABIS RESTRICTION ANI%ItIkftATI(WACT SECTION 1 TITLE This initiative shall be known and may be cited as The Santa Ana Medical Cannabis Restriction and Limitation Act. SECTION 2 FINDINGS AND DECLARATIONS (a) In 1996 California voters approved Proposition 215, the "Compassionate Use Act of 1996" The people of the State of California declared that their purpose in enacting the measure was, "to ensure that seriously ill Californians have the right to obtain and use marijuana for medical purposes where that medical use is deemed appropriate and has been recommended by a physician who has determined that the person's health would benefit from the use of marijuana in the treatment of cancer, anorexia, AIDS, chronic pain, spasticity, glaucoma, arthritis, migraine, or any other illness for which marijuana provides relief." (b) Proposition 215 called for plans to implement the "safe and affordable distribution of marijuana to all patients in medical need of marijuana." (c) "Cannabis" is the scientific term for "marijuana" and shall be used in the language of this Ordinance and in all other medical contexts in the City of SantaAna. (d) We strongly support the right of patients to use medical cannabis in accordance with the recommendation or approval of a licensed physician in good standing with the Medical Board of California. (e) We strongly oppose law enforcement resources being used to arrest, prosecute, and incarcerate qualified patients who use and provide medical cannabis in accordance with the Compassionate Use Act (California Health and Safety Code section 11362,5) and Senate Bill 420 (California Health and Safety Code sections 11362.7 et. seq.). (f) Access to medical cannabis should occur in a safe and orderly manner to protect patients and the community. The absence of controlled dispensing organizations results in patients being forced to obtain their medicine in the illicit market, or incurring hardship and expense of traveling great distances to obtain their medicine from outside their community. (g) in the absence of detailed State regulation, local governments must adopt policies and regulations to protect their communities and their resident patients' safe access to their medicine. 55C -39 (h) According to the California State Board of Equalization, medical cannabis organizations contribute between $50 and $100 million dollars in sales tax to the State of California annually, and provide employment to thousands of Californians. Local municipalities, including the City of Sacramento, have passed special business tax rates for medical cannabis organizations which provide revenue used to fund much needed services such as public safety, education, and health. (i) The People of the City of Santa Ana further find and declare that we enact this initiative pursuant to the powers reserved to the State of California, the City of Santa Ana, and its People under the Tenth Amendment to the United States Constitution, as well as under the general police power of local government derived from the State's sovereignty. 0) The intent of this Ordinance is to restrict and limit the number of medical cannabis collectives and cooperatives operating or which may operate in the City of Santa Ana, but not to prohibit them. (k) The intent of the two percent gross receipts tax on medical cannabis collectives and cooperatives is for the betterment of the community. (1) The subject of this Ordinance is to determine the appropriate location of medical cannabis collectives and cooperatives. The regulation of such collectives and cooperatives may be accomplished by State law, or by any other Santa Ana voter initiative. This Ordinance cannot be amended by the City Council except as specifically provided below. SECTION 3 AMENDMENTS TO SANTAANA MUNICIPAL CODE CHAPTER 18 ARTICLE XIII The People of the City of Santa Ana do hereby enact and ordain that Chapter 18 Article X111 of the Santa Ana Municipal Code is hereby amended to read as follows (any underlined language is new and to be inserted, any struck- through language is existing and to be deleted): Article M - Medi al Cannabis Collectives and Cooperatives Scc 18 rpose_s and Directim S _r. 18 -611 - Definitions See- 18 -612. - Maximum Number of Collectives or Cooperatives Sec 18e -614 Registration Required and Effed Thereof Sec 18-615 -Reghqtration Application Process Sec 18-616- Regetra ion Application For nn r Timing and Priority Order gee 18-617 - Issuance nd Renewal ofRegistra ion 55C -40 +1 ►• 1 1• 1 1 : r - 1. 1' 11 1 -1 9 • .1 �t 1;/ .1 ;. L' t 1 1 1' lil 1'1 +1 . /1' 1'1 -111 1: •1 Y .11 • ►♦ -• •QI IN "1 < 1 ;1 ;1 11 1' •!. • .1 q 1 _ 1 :11 Ill 1. 'f 1 11.1 / l' . 1 : 1 U . 1 !. • 1- .: ' t ♦ 1 .e 1/ 1 1 11 / 1 1 1 : r 1 1 1 ♦ e l law. A duty re&tered collective or coMeratiM its members- officers directors mana"rs, I/ • 1 11 1" 1 ! 1111 1 1 111 1. it 11 bas-e".-r the CiV • 1 MT,713MMA 1• • 1- •/ nfft WoMoTMUs Vo7oreRMIR • 11 1 0. 1' 1 1 . r. a l l 1 1 7 55C -45 11 0 VIM* jr4gwrI• RITI ' 1. .. •HI; • 1• II' 1 Two If 1' • •. 1• I • 11 •. /1 •I 1 1• I 1 • •4 • I • �•1 II <.1:: f • } } ' • • 11 • 1 : " 1 1 1 1 ' 1 n • - 1 ' 1 � I , I - • '- ! - f • 1 • ' 1 1 1 • 1 •/ ll' 1' • •I Ile • r'1 /' 9 PT4 11 IT-4161110,161411 oil Itwo USIMIRP i 4 - � 1 i •. 1 • ! ,i • '•11 • -1' 111 e 1 . 1• I ONDTIMIT4M 0 55C -46 • 1 e' 1 • •1' •1 e' 1 \ • 11' 1 : _1!. s ' 1'. ITW Il a,' 1 1 �' • i' 6. 1 1 . I l f 1 1- 1 1 • ! 1 ► 1 • _ 11 ' 1 ww 13 55C -51 . M:t OTP - 13 55C -51 . ...... . ON 0101. 1 ?7. . _ 13 55C -51 SECTION 4 AMENDMENTS TO SANTA ANA MUNICIPAL CODE SECTION 41 -121 The People of the City of Santa Ana do hereby enact and ordain that Section 41 -121 of the Santa Ana Municipal Code is hereby repealed and deleted in its entirety (all existing language to be deleted is struck- through as follows): 14 55C -52 fellevAngi f u +f : fbilewing uses: e shall no; elude the 14 55C -52 SECTION 5 AMENDMENTS TO SANTAANA MUNICIPAL CODE SECTION 41 -144 The People of the City of Santa Ana do hereby enact and ordain that Section 41 -144 of the Santa Ana Municipal Code is hereby amended to read as follows (any underlined language is new and to be inserted, any struck - through language is existing and to be deleted): Sec. 41 -144. - Retail and service uses. Retail and service uses include any use of property for the purpose of offering merchandise or services to the public for compensation, and include banks, savings and loan associations, and similar financial institutions, but do not include the following: (a) Sheet metal shops, body- fender works, automobile paint shops, repair garages, and any activity which includes the processing, treatment, manufacturing, assembling or compounding of 15 55C -53 any product, other than that which is clearly and traditionally incidental and essential to a particular retail activity. (b4 Amedieal fnafijuam dispensary as defined in see-sion 41 121 of uh-18 Cede. W (e) A hookah parlor as defined in section 41 -73.5 of this Code. W (d)Any use which is more specifically identified as a permitted use or as a use which may be permitted subject to the issuance of a conditional use permit in one or more use districts pursuant to Article III of this chapter. SECTION 6 AMENDMENTS TO SANTA ANA MUNICIPAL CODE SECTION 21 -119 The People of the City of Santa Ana do hereby enact and ordain that Section 21 -119 of the Santa Ana Municipal Code is hereby amended to read as follows (any underlined language is new and to be inserted, any struck- through language is existing and to be deleted): Sec. 21 -119. - Gross receipts tax rates. Gross receipts tax rates for the different classifications are as follows: (1) Classification "A" —All businesses for which no tax is specified elsewhere in this Article, including, but not limited to: retail businesses and sales at retail, services (including real estate brokers, real estate developers, insurance brokers, life and disability insurance analysts, stock and bond brokers, commission agents, brokers or merchants, building and loans, and recreational services), hotels, motels, theaters, and food establishments: For each separate place of business licensed, a basic rate of $60.00, plus: $0.50 per $1,000.00 to .....$100,000.00 .....$100,000.00 0.30 per 1,000.00 to .....500,000.00 0.20 per 1,000,00 to ...,.1,000,000.00 0.15 per 1,000.00 over .....1,000,000.00 (2) Classification "B "— Manufacturing, processing, wholesale businesses and sales at wholesale, sales of gasoline and motor fuels, and telephone services: For each separate place of business licensed, a basic rate of $60.00, plus: $0.30 per $1,000.00 to .....$100,000.00 0.25 per 1,000.00 to .....300,000.00 0.20 per 1,000.00 to .....600,000.00 0.15 per 1,000.00 to .....1,000,000.00 16 55C -54 0.10 per 1,000.00 over .....1,000,000.00 (3) Classification "C "— Rental of commercial real estate: For the first property location licensed, a basic rate of $60.00, plus: $0.50 per $1,000.00 to .....$100,000.00 0,30 per 1,000.00 to .....$500,000.00 0.20 per 1,000.00 to .....1,000,000.00 0.15 per 1,000.00 over .....1,000,000.00 For each additional property location licensed, a basic rate of $10.00, plus: $0.50 per $1,000.00 to .....$100,000.00 0.30 per 1,000.00 to .....$500,000.00 0.20 per 1,000.00 to .....1,000,000.00 0.15 per 1,000.00 over .....1,000,000.00 (4) Classification "D" —Junk yards, automobile wrecking yards and salvage yards; junk dealers, junk collectors, automobile dismantlers, junk salvagers, and junk recyclers: For each separate place of business licensed, a basic rate of $100.00, plus: $0.50 per $1,000.00 to .....$100,000.00 0.30 per 1,000.00 to .....500,000.00 0.20 per 1,000.00 to .....1,000,000.00 0.15 per 1,000.00 over..... 1,000,000.00 .,1•r :rr.) ..... 3i - 1• •1 •!!_. p Rr 1 .11.1 1 l' ! • • ! -�. . :. -1 r • 1- M. ; 1 r- . • '. 1 it r r• , • •r 1111 • •• - - • r r.t - r.. r -• r • •r. t.r L • r• . .+ - • r •r ,rrtr tr r:� r r- rr-,r r r- • ,K � r r 1� rr .•nr n,r. ; 1 �r• • r - /. :, r. .r•- ;tr.• r• it .. • ..tt .•plot .ro •r -or r• .- a of MIMMM r • tt /.•o.tr! -1 ;rr,� ;.r MURrMwimns � r r•u..• -! • r- �. -. at 17 55C -55 i .� i _: , , i SECTION 7 INITIATIVE NOT TO BE AMENDED OTHER THAN BY VOTERS This initiative ordinance and every part thereof can only be amended by the Voters of the City of Santa Ana and cannot be amended by the Santa Ana City Council except as specifically provided above. SECTION 8 SPECIAL OR REGULAR ELECTION The Voters of the City of Santa Ana hereby expressly request that this initiative ordinance be set for a special or regular election at the earliest time allowable by law. SECTION 9 SEVERABILITY Should any provision of this initiative ordinance, or its application to any person or circumstance, be determined by a court of competent jurisdiction to be unlawful, unenforceable or otherwise void, voidable, or invalid, that determination shall have no effect on any other provision, or the application of this initiative ordinance to any other person or circumstance and, to that end, the provisions hereof are severable. By approving this ordinance the voters intend that each section and sub - section be explictly severable, part-by -part, phrase -by- phrase, and word -by -word, thus that the minimum language held invalid be severed. m 55C -56