Special City Council Meeting Cannabis Workshop Discussion Tuesday, August 13, 2019

Presentation Outline Workshop Overview/Background Workshop Policy Discussion Land Use Cost Mitigation/Revenue Generation Regulatory Framework Overview Next Steps Cannabis Business Site Visits Regulatory/Zoning Ordinance Timelines Anticipated Implementation

Background Prior Council direction was centered around the following policy items: Encourage all cannabis business types, except cultivation. Cannabis businesses should be located in industrial areas; commercial would be considered as well. Two dispensaries would be considered, with the possibility of more. Council also directed staff to research best practices and draft an ordinance with the highest regulatory standards with an emphasis on cost recovery.

Policy Discussion Workshop Policy Discussion Topics will Focus on: Land Use Regulation Where Conditional Use Permit 2) Cost Mitigation/Revenue Generation Cost Recovery Approaches Cannabis Tax Opportunity

Proposed Cannabis Regulatory Framework Cannabis Business Permit Conditional Use Permit Regulatory Permit Determines Who Can Operate a Cannabis Business Required Under Proposed Amendments to Cannabis Business Ordinance (Chapter 6.36) Land Use Entitlement Determines the Location of a Cannabis Business Required Under Proposed Amendments to City’s Zoning Code (Title 10)

Proposed Cannabis Regulatory Framework Cannabis Business Permit Conditional Use Permit Competitive Selection Process Administratively Approved Renewed Annually Transferable with City Consent Only Approved by the Planning Commission Appealable to the City Council Runs with the Land Unless Revoked

Proposed Cannabis Regulatory Framework Cannabis Business Permit Conditional Use Permit Permittee must Comply With all Requirements under the Proposed Cannabis Business Ordinance (Chapter 6.36) Property must Comply With all Conditions of Approval Cannabis Regulatory Framework to be Further Discussed at September 2019 Council Workshop

Questions Current state law requires all cannabis activities to be a minimum of 600 feet from schools, day cares, and youth centers. Do you want to maintain the minimum of 600 feet or increase it? Are there any sensitive areas on the map you think should be avoided outright? Should there be a limitation on the number of Cannabis businesses overall / in a specific area? Do you want a required minimum distance between Cannabis businesses?

LAND USE TABLE ACCORDING TO STAFF RESEARCH

Options for Mitigating Costs Costs to Permit Individual Businesses (Fees) Costs to Address Nuisances (Taxes) Public Benefit Payments (Voluntary Payments)

Next Steps August 28: Staff visits Sacramento Cannabis Businesses Early Sept.: Workshop with City Council on Regulatory Ordinance September 11: Planning Commission Considers Zoning Ordinance Mid Fall: City Council Considers Regulatory/Zoning Ordinances April 1: Open period for Permit Applications for Cannabis Businesses