HomeMy WebLinkAbout11E - 2ND READ ORD COMMERCIAL CANNABISREQUEST FOR
COUNCIL ACTION
CITY COUNCIL MEETING DATE:
NOVEMBER 21, 2017
TITLE:
RECEIVE AND FILE — CONFIRMATION OF
ORDINANCE SECOND READING: ADOPT
AN ORDINANCE TO CREATE CHAPTER 40
OF THE SANTA ANA MUNICIPAL CODE
(COMMERCIAL CANNABIS) — CITY OF
SANTA ANA, APPLICANT {STRATEGIC
PLAN NOS. 3, 2; 3, 3; 3, 5; 4, 3}
RECOMMENDED ACTION
Receive and file.
DISCUSSION
CLERK OF COUNCIL USE ONLY:
r1]73iM
❑ As Recommended
❑ As Amended
❑ Ordinance on 111 Reading
❑ Ordinance on 2nd Reading
❑ Implementing Resolution
❑ Set Public Hearing For
CONTINUED TO
FILE NUMBER
On October 17, 2017, the following ordinance was introduced for first reading and City Council
authorized publication of title by a vote of 4-0 (Pulido, Sarmiento abstained; Martinez absent):
ORDINANCE NO. NS -2929 —AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
SANTA ANA CREATING CHAPTER 40 OF THE SANTA ANA MUNICIPAL CODE,
"REGULATION OF COMMERCIAL CANNABIS", TO REGULATE COMMERCIAL
CANNABIS ACTIVITIES, EXCEPTING MEDICINAL RETAIL
At an adjourned meeting on November 9, 2017, the ordinance was introduced for second reading.
and approved with amendments by a vote of 5-0 (Pulido and Sarmiento absent). The amendments
are described in the "Description" section of this report.
Following revisions to the ordinance at the November 9, 2017 City Council meeting, the ordinance
will allow the existing operational medicinal cannabis retailers to begin selling cannabis for adult use
upon execution of an operating agreement by the City. The ordinance also allows Measure BB
retailers that are currently in the Regulatory Safety Permitting process to sell adult -use cannabis upon
execution of the required operating agreement. Finally, the ordinance allows up to 30 total adult -use
cannabis retail stores, inclusive of the Measure BB providers. Applications for new locations that are
not from the Measure BB "selected" list will be accepted beginning in 2018.
11E-1
Ordinance — Second Reading: Chapter 40
November 21, 2017
Page 2
The ordinance, as adopted, will maintain relevant definitions, operational standards, and required
permit(s) and the operating agreement to address collection of operating fees. These items will
ensure consistency with both the AUMA and Measure BB.
Finally, the ordinance does not allow any other commercial cannabis business activity in cultivation,
manufacturing/processing, testing, distribution, or microbusinesses. Amendments to allow and
regulate any other type of commercial cannabis business activity other than retail will need to be
brought forth as separate ordinance(s) at a future date.
STRATEGIC PLAN ALIGNMENT
Approval of this item supports the City's efforts to meet Goal #3 - Economic Development,
Objective #2 (create new opportunities for business/job growth and encourage private
development through new General Plan and Zoning Ordinance policies), Objective #3 (promote a
solutions -based customer focus in all efforts to facilitate development and investment in the
community), Objective #5 (leverage private investment that results in tax base expansion and job
creation citywide); and Goal #4 - City Financial Stability, Objective #3 (achieve a structurally
balanced budget with appropriate reserve levels).
FISCAL IMPACT
There is no fiscal impact associated with this action.
Candida Neal
Acting Executive Director
Planning and Building Agency
EXHIBIT: Ordinance No. NS -2929
11E-2
ORDINANCE NO. NS -XXX
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF SANTA ANA CREATING CHAPTER 40 OF THE SANTA
ANA MUNICIPAL CODE, "REGULATION OF ADULT -USE
COMMERCIAL CANNABIS RETAIL ACTIVITIES", TO
REGULATE ADULT -USE RETAIL CANNABIS ACTIVITIES
AND RELATED DELIVERY SERVICES, EXCEPTING
MEDICINAL RETAIL, AND PROHIBITING ALL OTHER
COMMERCIAL CANNABIS ACTIVITIES
THE CITY COUNCIL OF THE CITY OF SANTA ANA HEREBY ORDAINS AS
FOLLOWS:
Section 1. The City Council of the City of Santa Ana herby finds, determines and
declares as follows:
A. In 1996, the California electorate approved Proposition 215, the
Compassionate Use Act which allows a patient, with a doctor's recommendation, to
Use cannabis for medical purposes without the fear of prosecution' or arrest.
B. In 2003, the California legislature passed Senate Bill 420 (Medical
Marijuana Program Act) which amended the Health and Safety Code to permit the
establishment of medical cannabis dispensaries for the distribution of cannabis for
medical purposes.
C. In 2005, the California Board of Equalization began issuing seller's permits
for sales consisting of medical cannabis.
D. In 2008, the California Attorney General issued guidelines for the security
and non -diversion of cannabis grown for medical use.
E. On November 4, 2014, Santa Ana voters approved Santa Ana's Medical
Marijuana Regulatory Program ordinance ("Measure BB") which was codified in
Chapters 18 and 21 of the Santa Ana Municipal Code. Such regulations govern
medicinal marijuana and the retail sale thereof.
F. In 2015, the Governor signed into law Senate Bill 643, Assembly Bill 266,
and Assembly Bill 243, collectively referred to as the Medical Marijuana Regulation
and Safety Act ("MMRSA") further amended in 2016 as the Medical Cannabis
Regulation and Safety Act ("MCRSA"), which established regulations. and a state
licensing system for medical cannabis cultivation, manufacturing, delivery, and
dispensing.
Ordinance No. NS -XXX
11E-3 Page 1 of 25
G. In 2016, the voters of the State of California approved and passed
Proposition 64 also known as the Adult Use of Marijuana Act ("AUMA")..
H. In 2017, the Governor signed into law Senate Bill 94 also known as
Medicinal and Adult -Use Cannabis Regulation and Safety Act (MAUCRSA).
I. Health & Safety Code Section 11362.83 provides that cities are free to
adopt and enforce local ordinances that regulate the location, operation, or
establishment of medical cannabis.
J. The City Council of the City of Santa Ana intends that nothing in this
article shall be deemed to conflict with federal law as contained in the Controlled
Substances Act, nor to otherwise permit any activity that is prohibited under that Act
or other applicable law.
K. The City of Santa Ana has a compelling interest in ensuring that cannabis
is not sold in an illicit manner, in protecting the public health, safety and welfare of its
residents and businesses, in preserving the peace and quiet of the neighborhoods in
which these businesses may operate, and in providing access of cannabis to
residents.
Section 2. This Ordinance is adopted pursuant to the authority granted by the
California Constitution and State law, including by not limited to, Article IX, Section 7 of
the California Constitution, the Compassionate Use Act of 1996 (California Health and
Safety Code Section 11362.5), the Medical Marijuana Program (California Health and
Safety Code Section 11362.7 et seq.), the Medical Marijuana Regulation and Safety Act
(AB 266, AB 243, and SB 643; hereafter "MMRSA"), the Adult Use of Marijuana Act
(Proposition 64), and the Medical and Adult Use Cannabis Regulation and Safety Act
(SB 94; hereafter "MAUCRSA" ).
Section 3. 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 4. The City hereby amends the Santa Ana Municipal Code ("SAMC) by
adding Article 1 to Chapter 40, entitled 'Regulation of Adult -Use Commercial
Cannabis Retail Activities" as follows:
Chapter 40
ARTICLE 1. REGULATION OF ADULT -USE COMMERCIAL CANNABIS RETAIL
ACTIVITIES
Ordinance No. NS -XXX
11 E-4 Page 2 of 25
Section 40-1. Purpose and Intent.
A. The purpose and intent of this article is to regulate Adult -Use commercial
cannabis retail business activities, as defined in this article, in order to ensure the
health, safety and welfare of the residents of the City of Santa Ana by establishing
regulations necessary for an Adult -Use cannabis retail business to obtain and maintain
a Regulatory Safety Permit. Any Adult -Use retail cannabis businesses operating in the
City of Santa Ana shall at all times be in compliance with current State Law and this
article. All Adult -Use cannabis retail facilities shall operate in accordance with the
regulations in this article and with the conditions of approval associated with the
applicable zone for the parcel of real property upon which the Adult -Use cannabis retail
activities are conducted. Any Adult -Use retail cannabis business shall qualify for and
receive a Regulatory Safety Permit from the City of Santa Ana as provided by this
article and operate only in a zone in compliance with Santa Ana Municipal Code before
commencing with any Adult -Use cannabis retail activity. Any Adult -Use cannabis retail
business without a Regulatory Safety Permit is in violation of this article. The regulations
in this article, in compliance with the Compassionate Use Act, the Medicinal Marijuana
Program Act, SB 94, AB 133, Proposition 64, and the California Health and Safety Code
(collectively referred to as "State Law") do not interfere with the right to use cannabis or
medicinal cannabis as authorized under State Law, nor do they criminalize the
possession of Adult -Use commercial cannabis or medicinal cannabis as authorized
under State Law. All other commercial cannabis activities, including but not limited to,
cultivation, manufacture, distribution, and testing of cannabis are prohibited and banned
in the City of Santa Ana.
B. Any person operating a medicinal marijuana collective/cooperative (as
defined in Chapter 18 of this Code) as of December 14, 2017, or who has a RSP
application pending to operate a medicinal marijuana `collective/cooperative, and has
met all -of the requirements of Chapter 18, shall be, allowed to apply for a Regulatory
Safety Permit for the sale of Adult -Use cannabis provided that they enter into the Adult -
Use Cannabis Retailer Operating Agreement with the City.
C. The Adult -Use Cannabis Retailer Operating Agreement shall be a legally
binding written agreement between each Adult -Use cannabis retail business operator
and the City, executed by the City Manager, or his or her designee, and in a form and
substance satisfactory to the Executive Director of Planning and Building .and the City
Attorney, and containing those provisions necessary to ensure that the requirements of
this article are satisfied.
Section 40-2. Definitions
The. definitions are incorporated herein as fully set forth and are applicable to this article.
All definitions are intended to comply with those set forth by the State of California for all
Adult -Use cannabis retail activities.
Ordinance No. NS -XXX
11E-5 Page 3 of 25
1. "Applicant" means a person who is required to file an application for a permit
under this article, including an individual owner, managing partner, officer of a
corporation, or any other operator, manager, employee, or agent of an Adult -Use
cannabis retail business.
2. "Adult -Use" means cannabis or cannabis products that are intended to be used
for non -medicinal purposes by a person 21 years of age or older.
3. "Adult -Use Cannabis Retailer Operating Agreement" means the written
agreement entered into by and between the City and the Adult -Use cannabis
retail business operator which will specify terms and conditions for operating the
retail business, including local hiring and sourcing, community benefit plans, and
fees to compensate for anticipated impacts on City services.
4. "Adult -Use cannabis retail activity" includes the delivery or sale of adult -use
cannabis or cannabis product, except as set forth in section 19319 of the
Business and Professions Code, related to qualifying patients and primary
caregivers, excepting medicinal cannabis retail.
5. "Adult -Use cannabis retail business" means an Adult -Use retail business that
obtains a Regulatory Safety Permit and engages in the delivery or sale of Adult -
Use cannabis, or an Adult -Use cannabis product, except as related Business and
Professions Code Section 19319, or Health and Safety Code Sections 11362.1
through 11362.45, as amended from time to time, excepting medicinal cannabis
retail.
6. "Authorized City of Santa Ana representative" any police officer, city
employee or agent of the city designated by the director of any city department
which has the authority and responsibility to enforce provisions as set forth in this
article.
7. "Business owner" means any of the following:
a. A person with an aggregate ownership interest of 20 percent or more in the
person applying for a license or a licensee, unless the interest is solely a
security, lien, or encumbrance.
b. The chief executive officer.
c. A member of the board of directors.
d. An individual who will be participating in the direction, control, or management
of the person applying for a license.
8. "Cannabis" or "cannabis product' means all parts of the Cannabis sativa
Linnaeus, Cannabis Indica, or Cannabis Ruderalis, whether growing or not; the
seeds thereof; the resin, whether crude or purified, extracted from any part of the
plant; and every compound, manufacture, salt, derivative, mixture, or preparation
of the plant, its seeds, or resin. "Cannabis" also means the separated resin,
Ordinance No. NS -XXX
11E-6 Page 4 of 25
whether crude or purified, obtained from marijuana. "Cannabis" also means
marijuana as defined by Section 11018 of the California Health and Safety Code
as enacted by Chapter 14017 of the Statutes of 1972. "Cannabis" does not
include the mature stalks of the plant, fiber produced from the stalks, oil or cake
made from the seeds of the plant, any other compound, manufacture, salt,
derivative, mixture, or preparation of the mature stalks (except the resin extracted
therefrom), fiber, oil, or cake, or the sterilized seed of the plant which is incapable
of germination. For the purpose of this chapter, "cannabis" does not mean
industrial hemp as that term is defined by Section 81000 of the California Food
and Agricultural Code or Section 11018.5 of the California Health and Safety
Code.
9. "City" means the City of Santa Ana, a charter city and municipal corporation.
11. "Commercial vehicle" means a vehicle as defined in Vehicle Code section 260.
12. "Concentrated cannabis product" means a consolidation of cannabinoids
made by dissolving cannabis in its plant form into a solvent.
13. "Customer" means a natural person 21 years of age or over.
14. "Delivery" means the commercial transfer of cannabis or cannabis products from
a retail cannabis business to a customer up to an amount determined to be
authorized by the State of California, or any of its departments or divisions.
"Delivery" also includes the use by a retail cannabis business of any technology
platform owned, controlled, and/ or licensed by the retail cannabis business, or
independently licensed by the State of California under the State law (as
amended from time to time), that enables anyone to arrange for or facilitate the
commercial transfer by a licensed retail cannabis business of cannabis or
cannabis products. For the purposes of this article, "delivery" does not include
distribution or purchase of cannabis from a licensed cultivator, and cannabis
products from a licensed manufacturer, for sale to a licensed cannabis retail
business.
15. "Delivery employee" means an individual employed by a licensed retail
cannabis business who delivers cannabis goods from the permitted retail
premises to a qualified patient or primary caregiver or customer at a physical
address.
16. "Display" means cannabis goods that are stored in the licensed retail business
during the hours of operation.
17. "Display case" means a container in the licensed retail business where
cannabis goods are stored and visible to customers.
Ordinance No. NS -XXX
11E-7 Page 5 of 25
18. "Edible cannabis product" means manufactured cannabis that is intended to
be used, in whole or in part, for consumption. An edible cannabis product is not
considered food as defined by Section 109935 of the California Health and
Safety Code or a drug as defined by Section 109925 of the California Health and
Safety Code.
19. "Free sample" means any amount of commercial cannabis goods provided to a
purchaser of cannabis without cost or payment or exchange of any other thing of
value.
20. "Labor Peace Agreement" means a legally binding agreement between an
employer and a labor organization in whichthe employer agrees to remain
neutral in the event its employees wish to vote to unionize.
21. "License/Licensee" means a license issued by the State and includes both an
A -license (Adult -Use) and an M -license (Medicinal), and the holder of such
license.
22. "Limited -access area" means an area in which cannabis goods are stored or
held and which is only accessible to a Licensee and the Licensee's employees
and contractors.
23. "Medicinal/Medical cannabis" or "medicinal cannabis product", means
cannabis or a product containing cannabis, including, but not limited to,
concentrates, and extractions, intended to be sold for use by qualified patients in
California pursuant to the Compassionate Use Act of 1996, found at Section
11362.5 of the California Health and Safety Code. Medicinal cannabis retail is
regulated by Chapter 18 and Chapter 21 of the Santa Ana Municipal Code.
24. "Operating hours" means, the hours within a day during which a permitted
commercial cannabis retail business may allow cannabis customers to enter the
retail premises and purchase cannabis goods.
25. "Ownership interest' means an interest held by a person who is an owner as
defined by State of California commercial cannabis regulations or who has a
financial interest in the commercial cannabis business of 5% or more.
26. "Package" and "Packaging" means any container or wrapper that may be used
for enclosing or containing any cannabis goods for final retail sale. 'Package' and
"packaging" does not include a shipping container or outer wrapping used solely
for the transport of cannabis goods in bulk quantity to a Licensee.
27. "Person" includes any individual, firm, partnership, joint venture, association,
corporation, limited liability company, estate, trust, business trust, receiver,
Ordinance No. NS -XXX
11E-8 Page 6 of 25
syndicate, or any other group or combination acting as a unit, and the plural as
well as the singular.
28. "Premises" means the designated structure(s) and land specified in the
application that are in possession of and used by the applicant or Licensee to
conduct the. Adult -Use cannabis retail activity.
29. "Primary Caregiver" has the same meaning as that term is defined in Section
11362.5 of the Health and Safety Code.
M. "Private Residence" shall have the same definition as that contained in Health
and Safety Code section 11362.2(5) and also means a lawfully established
structure, suitable for human occupancy as required by section 17922 and 17958
of the California Health and Safety Code. A recreational vehicle does not
constitute a lawfully established structure for the purposes of this article.
31. "Private security officer" has the same meaning as that term as defined in the
State of California Business and Professions Code section 7574.01.
32. "Publicly owned land" means any building or real property that is owned by a
city, county, state, federal, or other government entity.
33. "Purchase" means obtaining cannabis goods in exchange for consideration.
34. "Purchaser" means a person who is engaged in a transaction with a Licensee
for purposes of obtaining cannabis goods.
35. "Qualified patient' is a person whose physician has recommended the use of
cannabis to treat a serious illness, including cancer, anorexia, AIDS, chronic
pain, spasticity, glaucoma, arthritis, migraine, or any other illness for which
cannabis provides relief.
36. "Responsible person" means any of the following:
a) A person who causes a Code violation to occur.
b) A person who maintains or allows a Code violation to continue, his or her
action or failure to act.
c) A person whose agent, employee, or independent contractor causes a
Code violation by its failure to act.
d) A person who is the owner of, and/or a person who is a lessee or sub
lessee with the current right of possession of, real property where
property -related Code violation occurs.
e) A person who is the on-site manager of a business who normally works
daily at the site when the business is open and is responsible for the
activities of such premises. For the purposes of this article "person"
includes a natural person or legal entity, and the owners, majority
Ordinance No. NS -XXX
11E-9 Page 7 of 25
stakeholders, corporate officers, trustees, and general partners of a legal
entity.
37. "Retail area" means a building, room, or other area upon the licensed cannabis
retail business premises in which cannabis goods are sold or displayed.
38. "Retail business" means a premises where adult -use cannabis, cannabis
products, or devices for the use of cannabis or cannabis products are offered,
either individually or in any combination for, retail sale, including an establishment
that delivers cannabis or cannabis products as part of a retail sale.
39. "Regulatory Safety Permit (RSP)" means a permit issued by the City pursuant
to this article to an Adult -Use cannabis retail business.
40. "Security monitoring" means the continuous and uninterrupted attention to
potential alarm signals that can be transmitted from a security alarm system for
the purpose of summoning law enforcement.
41. "Sell," "sale," and "to sell' include any transaction whereby, for any
consideration, title to cannabis is transferred from one person to another, and
includes the delivery of cannabis goods pursuant to an order placed for the
purchase of the same and soliciting or receiving an order for the same, but does
not include the return of cannabis goods by a licensee to the licensee from whom
such cannabis goods were purchased.
42. "Sublet" means to lease or rent all or part of a leased or rented property.
43. "State" means the State of California.
Section 40-3. Compliance with State and Local Licensing Requirements
Any Adult -Use cannabis retail business as defined by the State of California and the
City of Santa Ana shall operate in conformance with all regulations and standards set
forth in this article to assure that the operations of any Adult -Use cannabis retail
business as defined by the State of California and allowed by the City of Santa Ana are
in compliance with local and State law and are established to mitigate any adverse
secondary effects from its operations.
Adult -Use cannabis retail businesses shall be required to obtain a Regulatory Safety
Permit (RSP) from the City of Santa Ana and a State license once they become
available, and shall comply with any applicable State licensing requirements, such as
operational standards and locational criteria.
Ordinance No. NS -XXX
11E-10 Page 8 of 25
Co -location of Adult -Use cannabis retail and Medicinal cannabis retail proposed on any
one site shall occur only if authorized by the State and the City of Santa Ana and only if
allowed pursuant to the City's Zoning Code. Any commercial cannabis activity not
specifically permitted by this article is prohibited.
Section 40-4. Maximum Number of Regulatory Safety Permits
The total number of Adult -Use cannabis retail businesses in operation shall be
determined based on the number of locations which have been issued a Regulatory
Safety Permit by the City of Santa Ana. In no case shall the City of Santa Ana allow
more the than the following commercial cannabis retail businesses to operate within
City limits, regardless of the location's compliance with any other Section specified in
this article:
A. 20 total medicinal cannabis retail businesses (as regulated by Article XIII of
Chapter 18);
B. 30 total adult -use cannabis retail businesses (which could include any or all of the
medicinal cannabis retail businesses).
Section 40-5. Zoning Compliance and Regulatory Safety Permit Requirements
Adult -Use cannabis retail activities are expressly prohibited in all zones in the City of
Santa Ana; however, specific commercial cannabis retail businesses are allowed as a
special use in the Industrial zone (M-1, M-2). The only allowed current permit type
pursuant to this article is for Adult -Use commercial cannabis retail sales. Adult -Use
cannabis retail businesses shall apply for and conduct business only in the appropriate
zones as described in Table 40-5 and the City of Santa Ana's zoning ordinance as a
requisite for obtaining a Regulatory Safety Permit. No Adult -Use cannabis retail
business may operate in the City of Santa Ana without a Regulatory Safety Permit.
This Land Use Table 40-5 shall be used to determine whether a commercial cannabis
business is permitted — "P", or not permitted — "X". Any Adult -Use cannabis retail
business in the City of Santa Ana shall also operate in compliance with the City's zoning
ordinance. If a Zoning District is not listed in the Land Use Table in this section then the
use is expressly not permitted.
Ordinance No. NS -XXX
11E-11 Page 9 of.25
Cultivator
Indoor - Type B
X<xw"
NA
Cultivator
Indoor - Type C
X.
X
NA
Nursery
Indoor/Outdoor - Type D
` X
X
NA
Manufacturing
Manufacturing
NA
Retail
Medicinal Retail
P ;
e P
Yes
(SAMC Chapter 18)
Retail
Adult -Use Retail
P
" 'P ' a
Yes
Testing
No Retail
izNA
X.
Laboratory
Distribution
'Freight/Transport
X'
X
NA
Micro -Business
Cultivation / Retail/ Manufacture
X=
X :'
Distribution
Section 40-6. Separation Requirements
(a) No Adult -Use cannabis retail business shall be located within 1,000 feet of any:
(1) School (K-12) as defined by Section 11362.768 of the Health and Safety
Code; or
(2) Park; or
(3) Existing Residential zone.
(b) No Adult -Use cannabis retail business shall be located within 500 feet of another
retail cannabis business, except for permitted co -location.
Section 40-7. Exception
Commercial cannabis cultivation is expressly prohibited in all zones and all specific plan
areas in the City); provided, however, that six (6) plants per private residence may be
cultivated indoors within a legally permitted structure for personal use in compliance
with all applicable local and State regulations.
Section 40-8. General Provisions for Adult -Use Cannabis Retail Activities in the
City of Santa Ana
1. Regulatory Safety Permit Required
a. Each Adult -Use cannabis retail business shall obtain a Regulatory Safety Permit
(RSP).
Ordinance No. NS -XXX
11E-12 Page 10 of 25
b. It shall be unlawful for any person, association, partnership, limited liability
company, or corporation to engage in, conduct or carry on, in or upon any
premises within the City of Santa Ana any Adult -Use cannabis retail business
without a RSP. An Adult -use cannabis retail business shall register and obtain a
RSP from the City of Santa Ana prior to operation. The RSP applicant shall pay
an annual non-refundable application fee in an amount established by the City
Council.
c. A copy of the RSP shall be displayed at all times in a place visible to the public.
d. A RSP shall be valid for a period of one (1) year from the date of issuance,
unless sooner revoked. No permit granted herein shall confer any vested right to
any person or business for more than the above -referenced period.
2. Maintenance of Records and Reporting
All records shall be maintained by the Adult -Use cannabis retail business for a
period of five (5) years and shall be made available by the Adult -Use cannabis retail
business to an authorized City of Santa Ana representative upon request. If they are
not produced as requested the City may seek a search warrant, subpoena, or court
order. In addition to all other formats that the Adult -Use cannabis retail business may
maintain, these records shall be stored by the business at the location in a printed
format in a fire -proof safe or filing cabinet. Any loss, damage or destruction of the
records shall be reported to the Police Department within 24 hours of the loss,
destruction or damage.
a. The business shall obtain and maintain a valid Seller's Permit from the State
Board of Equalization.
b. Financial records include, but are not limited to: bank statements, sales invoices,
receipts, tax records, and all records required by the California State Board of
Equalization under Title 18 California Code of Regulations section 1968.
c. Personnel records, including each employee's full name, address, phone
number, social security, or individual tax payer identification number, date of
beginning employment, and date of termination of employment if applicable.
d. Training records, including but not limited to the content of the training provided
and the names of the employees that received the training.
e. Contracts with other businesses regarding commercial cannabis retail activity.
f. Permits, licenses, and other local authorizations to conduct the commercial
cannabis retail activity.
Ordinance No. NS -XXX
11E-13 Page 11 of 25
g. Security records.
h. Proof of building ownership or landlord letter acknowledging business type.
i. Proof of insurance.
3. Operational Standards for Adult -Use Cannabis Business Retail Activities
a. The location, interior and exterior, shall be monitored at all times by web -based
closed circuit television for security purposes. The camera and recording system
must be of adequate quality, color rendition and resolution to allow the ready
identification of any individual committing a crime anywhere on or adjacent to the
location. The recordings shall be maintained unaltered in a secure location for a
period of not less than ninety (90) days. The police department may request the
recordings in connection with an investigation.
b. All controlled access areas, security rooms and all points of ingress/egress to
limited access areas and all point of sale (POS) areas shall have fixed camera
coverage capable of identifying activity_ occurring within a minimum of twenty (20)
feet.
c. The surveillance system storage device or cameras shall be transmission control
protocol/TCP capable of being accessed through the internet by the police
department or their designee on, request.
d. The applicant shall conduct and pay for any required CEQA reviews and
analyses,, and pay for all costs, including those of the City, associated with
project review under CEQA.
e. Adult -Use cannabis retail businesses shall create and maintain an active account
within the State's track and trace system prior to commencing any commercial
cannabis retail activity. In the event of system failure, the business shall keep a
hard copy record and transfer the information to the track and trace system within
24 hours of the system being available.
f. No physical modification of the licensed premises is allowed without written prior
permission by the City of Santa Ana and payment of any additional fees required
by the City.
.g. Adult -Use cannabis business retail businesses shall provide adequate off-street
parking and comply with the City of Santa Ana Municipal Code parking
requirements in order to service customers without causing negative impact.
h. The Adult -Use cannabis retail business shall provide adequate disabled access
parking per the requirements in the California Building Code.
Ordinance No. NS -XXX
11E-14 Page 12 of 25
i. The Adult -Use cannabis retail business shall minimize nuisances such as trash,
litter, and graffiti.
j. Any and all signage, packaging, and facilities shall not be 'attractive', as it is
defined by the State, to minors.
k. Adult -Use cannabis retail business facilities shall be required to provide an air
treatment system that ensures off-site odors shall not result from its operations.
This requirement at a minimum means that the facility shall be designed to
provide sufficient odor absorbing ventilation and exhaust systems so that any
odor generated inside the location is not detected outside the building, on
adjacent properties or public rights-of-way, or within any other unit located within
the same building as the facility if the use occupies only a portion of a building.
A permitted Adult -Use cannabis retail business entity shall have 180 days after
permit issuance by the City of Santa Ana to begin initial. operations, unless
otherwise approved by the Director of Planning and/or his or her designee. A
permitted Adult -Use cannabis retail business entity that ceases 'to operate for
more than 180 calendar days shall be deemed "abandoned" and the permit shall
be forfeited. A business may temporarily suspend operations for a period of time
as may be reasonably required to affect upgrades, modifications, repairs, or
other property issue mitigations as approved by the Director of Planning or
designee.
m. The Adult -Use cannabis retail business shall comply with all State regulations
regarding:
L Testing, labeling and storage of all cannabis products.
ii. Use of appropriate "weighing devices.
Iii. Electrical and plumbing regulations subject to periodic and unannounced
inspections to ensure compliance.
iv. State deadlines for applying for a State license and receiving a State
license within six (6) months after the data the State begins issuing
licenses. This may be waived if the State has longer delays in issuing
licenses of the type the commercial cannabis business seeks.
n. The Adult -Use cannabis retail business shall maintain a comprehensive general
liability combined single occurrence insurance policy issued .by an "A" rated
insurance carrier in an amount no less than Two Million Dollars, with primary
coverage, naming the City of Santa Ana as additional insured.
o. No free samples of any cannabis or cannabis product may be distributed at any
time.
p. All agents, private security officers or other persons acting for or employed by an
Adult -Use cannabis retail business shall display a laminated identification badge
Ordinance No. NS -XXX
11E-15 Page 13 of 25
at least 2" X 2" in size, issued by the business. The badge, at a minimum, shall
include the business's "doing business as" name and license number, the
employees first and last name, and a color photo of the employee that shows the
full front of the employee's face.
q. All private security officers acting for or employed by an Adult -Use cannabis retail
business shall be licensed by the State and issued a business license from the
City of Santa Ana.
r. The Adult -Use cannabis retail business shall have a centrally -monitored fire and
burglar alarm system which shall include all perimeter entry points and perimeter
windows and the building or portion of the building where the business is located
shall contain a fire -proof safe or fire proof filing cabinet and include a safety and
security plan.
s. The Adult -Use cannabis retail business shall ensure a licensed alarm company
operator or one or more of its registered alarm agents installs, maintains,
monitors and responds to the alarm system. The alarm company shall obtain a
City of Santa Ana business license.
t. The Adult -Use cannabis retail business shall provide the name and phone
number. of an on-site staff person, to the police department and the Code
Enforcement Division of the Planning and Building Agency for notification if there
are operational problems with the establishment.
u,. The Adult -Use cannabis retail business must obtain and maintain a valid City
business license and certificate of occupancy at all times as a condition for
receiving, renewing, and maintaining its regulatory safety permit.
v. Occupancy shall not exceed that required under the Uniform Building Code and
Uniform Fire Code, and the maximum occupancy load shall be posted at the.
main entrance.
W. For any Adult -Use cannabis retail business with two (2) or more employees, the
business owner shall attest that he/she has entered into a labor peace
agreement and provide a copy of the agreement to the City.
x. Each Adult -Use cannabis retail business owner, operator(s) and employee(s)
shall complete a criminal background check and wear a visible photo ID at all
times during working hours. Owners, operators, employees, managers or
volunteers may not have been convicted of, or pled guilty/no-contest to a felony
or misdemeanor drug charge within the past four (4) years; nor shall they be a
person required to register as a controlled substance offender pursuant to Health
& Safety Code section 11590.
Ordinance No. NS -XXX
11E-16 Page 14 of 25
4. Additional Operational Standards for Adult -Use Cannabis Retail Business
a. At all times the Adult -Use cannabis retail business is open, it shall provide at
least one private security guard who is licensed, possesses a valid Department
of Consumer Affairs "security guard card", and has a valid business license from
the City of Santa Ana.
b. The private security guard and adult -use retail cannabis business personnel shall
monitor the site and the immediate vicinity of the site to ensure that patrons
immediately leave the site and .do not consume cannabis in the vicinity of the
retail business or on the property or in the parking lot.
c. Exterior signage shall comply with Article XI of Chapter 41 of the Santa Ana
Municipal Code. Interior signage or advertising may not be visible from the.
exterior. Retail cannabis businesses must comply with the advertising and
marketing provisions of Business and Professions Code §§ 26150-26155.
d. There shall be no on-site sales of alcohol or tobacco products, (excluding rolling
papers and lighters) and no on-site consumption of food, alcohol or tobacco by
patrons.
e. Hours of operation shall be limited to: 7 a.m. to 11 p.m. daily. No licensed retail
business shall be open to the public between the hours of 11:01 p.m. and 6:59
a.m. of any day.
f. The Adult -Use cannabis retail business shall notify patrons of the following both
verbally and through posting of a sign in a conspicuous location:
I. Secondary sale, barter or distribution of adult -use cannabis is a crime
and can lead to arrest.
ii. That loitering on and around the retail site is prohibited by California
Penal Code § 647(e) and that patrons must immediately leave the site
and not consume cannabis in the vicinity of the retail site or on the
property or in the parking lot.
iii. A warning that patrons may be subject to prosecution under federal
cannabis laws.
iv. That the use of cannabis may impair a person's ability to drive a motor
vehicle or operate machinery.
g: No one under the age of 21 shall be allowed to enter an Adult -Use cannabis
facility unless the licensed Adult -Use cannabis facility holds a medicinal use
cannabis RSP issued by the City and retail license issued by the State, and the
licensed premises for the adult -use cannabis license and medicinal cannabis
Ordinance No. NS -XXX
11E-17 Page 15 of 25
license are the same in accordance with Business and Professions Code section
26140.
h. If food is distributed, the retail business shall comply with all relevant State laws,
County and City ordinances pertaining to the preparation, distribution and sale of
food.
L All Adult -Use cannabis retail businesses shall establish and implement a
program to incentivize the recycling of used containers.
j. Adult -Use cannabis retail businesses shall also record on the video surveillance
system point-of-sale areas and areas where cannabis goods are displayed for
sale.
k. Adequate signage shall clearly state who has inspected any cannabis product for
pesticides, or other regulated contaminants, distributed at this location.
I. Shipments of cannabis goods may only be accepted during regular business
hours.
m. Inventory shall be secured using a lockable storage system during non -business
hours.
n. No cannabis product shall be visible form the exterior of the business.
o. All required labelling shall be maintained on all product, as required by State law,
at all times.
p. Educational tours of adult -use retail cannabis businesses shall be allowed.
5. Additional Operational Standards for Adult -Use Cannabis Delivery Services
a. Adult -Use cannabis deliveries may be made only from an Adult -Use cannabis
retail business permitted by the City in compliance with this article, and in
compliance with all State regulations.
b. All employees who deliver cannabis shall have valid identification and a copy of
the Adult -Use cannabis retail business' Regulatory Safety Permit and State
license at all times while making deliveries.
c. All Adult -Use cannabis retail businesses shall maintain proof of vehicle insurance
for any and all vehicles being used to transport cannabis goods as required by
State law.
d. Deliveries may only take place during normal operating hours of the Adult -Use
cannabis retail business.
Ordinance No. NS -XXX
11E-18 Page 16 of 25
e. During delivery, the delivery employee shall maintain a physical or electronic
copy of the delivery request and shall make it available upon request by the
licensing authority and law enforcement officers. The delivery request
documentation shall comply with State law.
f. A licensed delivery employee shall not leave the State of California while
possessing cannabis products.
g.. An Adult -Use cannabis retail business shall maintain a list of all deliveries,
including the address delivered to, the amount and type of product delivered, and
any other information required by the State.
h. A manifest with all information required in this section shall accompany any
delivery person at all times during the delivery process and "delivery hours.
L Any delivery method shall be made in compliance with State law, as amended,
including use of a vehicle that has a dedicated GPS device for identifying the
location of the vehicle (cell phones and tablets are not sufficient).
j. Each delivery request shall have a receipt prepared by the Adult -Use cannabis
retail business with the following information:
L Name and address of the Adult -Use cannabis retail business
ii. The name of the employee who delivered the order
iii. The date and time the delivery request was made
iv. The complete delivery addresses
v. A detailed description of the cannabis goods requested for delivery
including the weight or volume, or any accurate measure of the amount of
cannabis goods requested.
vi. The total amount paid for the delivery including any fees or taxes.
k. At the time of the delivery, the date and time delivery was made, and the
signature of the person who received the delivery.
I. No cannabis delivery vehicle shall display signs, decals or any other form of
advertisement with the exception of a maximum four -inch by four -inch decal.
.m. Inspections by an authorized City of Santa Ana representative may be conducted
anytime during regular business hours.
Section 40-9. Adult -Use Cannabis Retail Selection Process
1. Adult -Use Cannabis Retail — Registration Application and Regulatory Safety
Permit Required
Ordinance No. NS -XXX
11E-19 Page 17 of 25
a. Existing medicinal cannabis business operators, or those with pending
applications for a medicinal RSP, who desire to operate an adult cannabis retail
business shall apply for the commercial cannabis Regulatory Safety Permit ('RSP") on
or before December 14, 2017. The Director of Planning and Building shall review such
application and issue the RSP, without consideration of the merit based point system,
so long as they satisfy all other requirements of this article and Chapter 18.
b. The Regulatory Safety Permit ('RSP") selection process will be conducted in two
phases, Phase 1 (Registration Application) and Phase 2 (Regulatory Safety Permit
Application). Registration Applications will be reviewed by the Director of Planning and
Building or designees(s) for completeness and compliance, and if eligible, will be placed
on the 'Regulatory Safety Permit ("RSP") Eligibility List' and entered into the Phase 2
Regulatory Safety Permit Application process. In Phase 2, the City of Santa Ana has
established a merit based point system to objectively award permits as described in the
Regulatory Safety Permit Application.
2. Phase 1 — Registration Application
a. Following the adoption of this article, the Director of Planning and Building shall
prepare Adult -Use cannabis retail business registration application forms and a
related administrative policy. Each Adult -Use cannabis retail business interested
in operating pursuant to this article may submit an application together with a
non-refundable application fee in an amount established by the City Council.
b. The Registration Application period shall be thirty (30) calendar days from the
date the applications are released. Following the application period, the Director
of Planning and Building or designee(s) shall stop accepting applications and
review all applications received in Phase 1. Each application that is complete and
in compliance with the application requirements in Phase 1 shall be placed on
the 'RSP Eligibility List' and shall be notified in writing whether they are a 'RSP
Eligible Applicant' or not. Each applicant on the RSP Eligibility List may then
choose to file an application for a RSP in Phase 2.
c. The requirements for Phase 1 include but are not limited to:
L All application documents required in the City's Phase 1 Registration
Application package.
ii. Application was submitted during the application period.
iii. Application forms are filled out completely.
iv. Business Owner(s)/Applicant(s) referenced on the application provides
a Live Scan that was. conducted within 14 days prior to submitting the
application.
Ordinance No. NS -XXX
11 E-20 Page 18 of 25
v. Phase 1 application fee is paid.
vi. A signed statement that the proposed location of the Adult -Use
cannabis retail business on the application meets the zoning criteria
established in this article including, but not limited to, any and all
sensitive use separation criteria required by this article.
d. The Director of Planning and Building or his or her designee(s) shall
determine whether each application demonstrates compliance with the minimum
requirements (above) and be placed on the RSP Eligibility List and entered into
the Phase 2 application and review process.
e. The Director of Planning and Building or his or her designee(s) shall review
each application upon submission and ensure that the application is complete.
Incomplete applications will be promptly rejected and the applicant shall be
notified in writing of the deficiencies. The applicant shall be given an opportunity
to cure any incomplete or deficient application prior to 'the conclusion of the
application processing term, if such time period is applicable.
3. Phase 2 - Regulatory Safety Permit Application
a. Each applicant identified on the RSP Eligibility List may choose to complete and
file a RSP application to the Director of Planning and Building. The application
shall be filed together with a nonrefundable fee as established by resolution of
the City Council, to defray the cost of investigation required by this article.
b. The RSP application period shall be open for thirty (30) calendar days and may
run concurrently with the Phase 1 review,period. Following the RSP application
period, the Director of Planning and Building or his or her designee(s) shall stop
accepting applications and review all applications received in Phase 2.
c. The Director of Planning and Building or designee(s) will review all application
documents required in the City's Phase 2 application package plus the additional
requirements in subsection (d) below. The Director of Planning and Building or
his or her designees) will use a merit based point system to review and rank
each of applications from the most to the least points and objectively award the
top applicants a RSP. A complete description of the merit based point system
and all merit based point considerations shall be included with the application
forms.
d. Phase 2 requirements include but are not limited to:
i. All application documents required in the City's Phase 2 RSP
application package.
Ordinance No. NS -XXX
11 E-21 Page 19 of 25
Phase 2 RSP application fee is paid and a comprehensive owner
background check is completed.
iii. The Building Official or designee has inspected all structures in which
the use is located to determine that all applicable standards and
requirements are met. If a building permit is required for site
improvements, Permit issuance will be deferred until a certificate of
occupancy or other building permit approval is issued. Additionally, the
Building Official has determined that there are no notices of nuisance
or other code compliance issues recorded or on the property.
iv. The Planning Manager or designee has issued a Zoning Clearance
documenting compliance with the following:
1. The use is permitted;
2. All land use permits, if any,
conditions of approval have
and,
have been approved and all
been met or are in good standing;
3. No zoning violations exist on the property.
e. The Director of Planning and Building or his or her designee(s) shall review each
application upon submission and ensure that the application is complete.
Incomplete applications will be promptly rejected and the applicant shall be
notified that business day of the deficiencies. The applicant shall be given an
opportunity to cure any incomplete or deficient application prior to the conclusion
of the application processing term, if such time period is applicable.
4. Regulatory Safety Permit Annual Renewal
Applications for the renewal of a permit shall be filed with the Director of Planning
and Building or designee(s) at least sixty (60) calendar days before the expiration
of the current permit. Temporary permits will not be issued. Any permittee
allowing their permit to lapse or which permit expired during a suspension shall
be required to submit a new application, pay the corresponding original
application fees and be subject to all aspects of the selection process.
b. Any person desiring to obtain a renewal of their respective permit shall file a
written application under penalty of perjury on the required form with the Director
of Planning and Building or designee(s) who will conduct a review. The
application shall be accompanied by a nonrefundable filing fee established by the
City Council to defray the cost of the review required by this article. An applicant
shall be required to update the information contained in their original permit
application and provide any new and/or additional information as may be
Ordinance No. NS -XXX
11 E-22 Page 20 of 25
reasonably required by the Director of Planning and Building or designees) in
order to determine whether said permit should be renewed.
5. Appeal of Denial of Regulatory Safety Permit/ Denial of RSP Renewal
The City Manager or his or her designee(s) will review all Regulatory. Safety Permit
applications and renewal requests, along with all other relevant information, and
determine if a RSP should be granted and/or renewed. If the City Manager determines
that the permit shall not be granted and/or renewed, the reasons for denial shall be
provided in writing to the applicant. No such denial shall become effective until the
applicant for the regulatory safety permit and/or "renewal has been notified in writing by
certified mail of the right to appeal the denial decision pursuant to the provisions of
Chapter 3 of this Code. If a timely appeal is filed, the denial shall be effective only upon
decision of the City Council. Otherwise, the denial shall become effective after the
timely appeal period has passed. The matter may be subject to judicial review under
the provisions of California Code of Civil Procedure Sections 1094.5 and 1094.6.
Section 40-10. Audits.
Annual audits. No later than June 301h of every year, each licensed Adult -Use cannabis
retail business shall file with the City an audit or financial review of its operations of the
previous calendar year. The form and contents of the document shall be specified by
the Executive Director of Finance and Management Services, or his or her designee(s).
Section 40-11. Inspection and enforcement responsibilities.
The Code Enforcement Division of the Planning and Building Agency may enter and
inspect the location of any Adult -Use cannabis retail business between the hours of
7: 00 a.m. and 11:00 p.m., or at any reasonable time, to ensure compliance with this
article. In addition, any police officer may enter and inspect the location of any
commercial cannabis retail business and the recordings and records maintained as
required by this article, except that the inspection and copying of private medical
records shall be made available to the police department only pursuant to a properly
executed search warrant, subpoena; or court order. It is unlawful for any owner,
responsible person, landlord, lessee, member including but not limited to a member
engaged in the management), or any other person having any responsibility over the
operation of the commercial cannabis retail business to refuse to allow, impede,
obstruct or interfere with an inspection, review or copying of records and closed- circuit
monitoring authorized and required under this article, including but not limited to, the
concealment, destruction, and falsification of any recordings, records, or monitoring.
Ordinance No. NS -XXX
11 E-23 Page 21 of 25
Section 40-12. Violation and enforcement.
1. Violation/enforcement.
Each and every violation of this article shall constitute a separate violation and shall be
subject to all remedies and enforcement measures authorized by this Code.
Additionally, as a nuisance per se, any violation of this article shall be subject to
injunctive relief, revocation of the Adult -Use cannabis retail business Regulatory Safety
Permit, revocation of the certificate of occupancy for the location, disgorgement and
payment to the City of any and all monies unlawfully obtained, costs of abatement,
costs of investigation, attorney fees, and any other relief or remedy available at law or
equity. The City may also pursue any and all remedies and actions available and
applicable under local and State laws for any violations committed by the Adult -Use
cannabis retail business and persons related or associated with the business.
2. Suspension or revocation.
When an authorized City of Santa Ana representative finds that any person holding a
regulatory safety permit under the provisions of Chapter 40 has violated the provisions
of this chapter or is found guilty of conduct which would form the basis of denial of the
regulatory safety permit as set forth in Article XIII of Chapter 18 or is guilty of any
violation of Article XIII of Chapter 18, s/he may revoke or suspend the regulatory safety
permit. No such revocation shall become effective until the regulatory safety permit
holder has been notified in writing by certified mail of the right to appeal the revocation
decision pursuant to the provisions or Chapter 3 of this Code. If a timely appeal is filed,
the revocation shall be effective only upon decision of the. City Council. Otherwise, the
revocation shall become effective after the timely appeal period has passed.
Section 40-13. Transfer of Ownership.
1. Upon the transfer of any interest in an Adult -Use cannabis retail business, the
regulatory safety permit shall be null and void. Any person, firm or entity desiring to
own and operate the Adult -Use cannabis retail business shall make a new
application. Prior to or concurrent with the submission of said application the
transferee shall obtain all required business licenses, post all required security
deposits, acquire all necessary, certificates, permits or other licenses allowing the
doing of any act which the person paying or holding the same would not otherwise
be entitled to do; and any permit, license, variance or other instrument of approval or
evidence that any conditions exist as required by any other section of this Code or
by any statute or code provisions of the state must first be obtained or complied with
before the doing of any act or thing for which it is required. A fee as established by
resolution of the City Council shall be payable for each such application involving
transfer of any interest in an existing commercial cannabis retail business. The
Ordinance No. NS -XXX
11 E-24 Page 22 of 25,
provisions of this section shall apply to any person, firm, or entity applying for a
regulatory safety permit for premises previously used as such establishment.
2. Any such transfer of any interest in an existing Adult -Use cannabis retail business or
any application for an extension or expansion of the building or other place of
business of the commercial cannabis retail business shall require inspection and
compliance With section 40-11 of this article.
3. The owner or operator of an Adult -Use cannabis retail business shall be responsible
for notifying the City of any intention to rename, change management, or convey the
business to another person/entity. Notification to the City must be made a minimum
of sixty (60) days prior to such transfer.
Section 40-14. Limitations on the City's Liability
To the fullest extent permitted by law, the City shall not assume aby liability whatsoever,
with respect to approving any Regulatory Safety Permits pursuant to this article or the
operation of any Adult -Use cannabis retail business approved pursuant to this chapter.
As a condition of approval of a Regulatory Safety'Permit as provided in this chapter, the
applicant or its legal representative shall:
1. Execute an agreement indemnifying the City from any claims, damages, injuries or'
liabilities of any kind associated with the registration or operation of the Adult -Use
cannabis facility or the prosecution of the applicant or business or its members for
violation of federal or State laws;
2. Maintain insurance in the amounts and types that are acceptable to the City Attorney
or designee;
3. Name the City as an additionally insured on all City required insurance policies;
4. Agree to defend, at its sole expense, any action against the City, its agents, officers,
and employees related to the approval of a Regulatory Safety Permit; and
5. Agree to indemnify and reimburse the City for any court costs and attorney fees that
the City may be required to pay as a result of any legal challenge related to this
ordinance and/or the City's approval of a Regulatory Safety Permit. The City may, at
`its sole discretion, participate at its own expense in the defense of any such action,
but such participation shall not relieve the operator of its obligation hereunder.
Section 40-15. Fees and Taxes
All Adult -Use cannabis retail businesses shall pay applicable fees and taxes, which shall
include one or more of the following:
Ordinance No. NS -XXX
11 E-25 Page 23 of 25
1. Application Fees. The business owner shall submit a non-refundable fee to cover the
cost of processing an application for the Adult -Use cannabis retail business. These
fees may be divided into two fees according to Registration Application Fee (Phase
1) and RSP Application Fee (Phase 2).
2. Regulatory Safety Permit Renewal Fees. The business owner shall submit a non-
refundable fee to cover the cost of processing an application renewal annually.
3. Business License Taxes. The business owner shall at all times maintain a current
and valid City of Santa Ana business license and shall pay all business license
taxes, deposits, charges, fees, deficiencies, penalties, interest, and other associated
assessments as may be required pursuant to ordinances of the City of Santa Ana
and/or the Santa Ana Municipal Code.
4. Adult -Use Cannabis Retailer Operating Agreement Fees.
5. Additional cannabis -specific gross receipts, excise taxes, or other municipal tax
approved by the voters of the City of Santa Ana.
6. All required state taxes including sales and use taxes, business/franchise or income
taxes, payroll taxes, etc.
7. All required federal taxes.
Section 5. If any section, subsection, sentence, clause, phrase or portion of this
ordinance is for any reason held to be invalid or unconstitutional by the decision of any
court of competent jurisdiction, such decision shall not affect the validity of the
remaining portions of this ordinance. The City Council of the City of Santa Ana hereby
declares that it would have adopted this ordinance and each section, subsection,
sentence, clause, phrase or portion thereof irrespective of the fact that any one or more
sections, subsections, sentences, clauses, phrases, or portions be declared invalid or
unconstitutional.
Section 6. The Clerk of the Council shall certify the adoption of this ordinance
and shall cause the same to be published as required by law.
ADOPTED this day of 2017.
Miguel A. Pulido
Mayor
Ordinance No. NS -XXX
11 E-26 Page 24 of 25
APPROVED AS TO FORM
Sonia R. Carvalho, City Attorney
By: Ai4 c�
Lisa Storck
Assistant 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 Ordinance No. NS- to be the original ordinance adopted by the
City Council of the City of Santa Ana on and that said
ordinance was published in accordance with the Charter of the City of Santa Ana.
Date:
Clerk of the Council
City of Santa Ana
Ordinance No. NS -XXX
11 E-27 Page 25 of 25
11 E-28