HomeMy WebLinkAboutAgenda Report - October 18, 2017 I-01TM
CITY OF LoDI
COUNCIL COMMUNICATION
AGENDA ITEM
AGENDA TITLE: Introduce Ordinance Amending Lodi Municipal Code Title 9 — Public Peace,
Morals, and Welfare by Repealing Chapter 9.30 "Medical Marijuana" in its Entirety;
and Amending Lodi Municipal Code Title 8 — Health and Safety by Repealing
Chapter 8.30 "Marijuana Cultivation" in its entirety; and further Enacting Chapter
8.30 "Regulation of Medicinal and Adult -Use Cannabis" within the City of Lodi.
MEETING DATE: October 18, 2017
PREPARED BY: City Attorney & Community Development Director
RECOMMENDED ACTION: Introduce Ordinance amending Lodi Municipal Code Title 9 — Public
Peace, Morals, and Welfare by repealing Chapter 9.30 "Medical
Marijuana" in its entirety; and amending Lodi Municipal Code Title 8
— Health and Safety by repealing Chapter 8.30 "Marijuana Cultivation" in its entirety; and further enacting
Chapter 8.30 "Regulation of Medicinal and Adult -Use Cannabis" within the City of Lodi.
BACKGROUND INFORMATION: On November 8, 2016, California voters passed Proposition 64 the
Control, Regulate, and Tax Adult Use of Marijuana Act (AUMA).
The AUMA establishes a comprehensive system to legalize, control,
and regulate the cultivation processing, manufacture, distribution, testing, and sale of nonmedicinal
cannabis, including cannabis products. As of November 9, 2016, adults 21 years of age or older are
allowed to smoke or ingest cannabis or cannabis products; possess, process, transport, purchase,
obtain, or give away to persons 21 years of age or older up to 28.5 grams of un -concentrated recreational
cannabis and up to 8 grams of concentrated cannabis; and possess, plant, cultivate, harvest, dry, or
process up to six (6) living marijuana plants per residence for personal use.
The AUMA divides state licensing and enforcement into three agencies: (1) the Department of
Consumer Affairs, which will issue licenses for the transportation, storage, distribution and sale of
cannabis; (2) the Department of Food and Agriculture, which will be responsible for issuing cannabis
cultivation licenses; and (3) the Department of Public Health, which will issue licenses to cannabis
manufacturers and testing laboratories. Each of these state licensing authorities is tasked with creating
regulations governing their respective areas of responsibility, and will begin issuing licenses for these
activities after January 1, 2018.
The AUMA also contains provisions allowing for local control of cannabis activities that gives cities the
ability to ban or regulate commercial sales of cannabis (personal use and indoor cultivation of up to six
plants by persons over 21 cannot be locally banned); licensure of retail businesses and persons
conducting indoor cultivation; outdoor cannabis cultivation; delivery of nonmedicinal and medicinal
cannabis to residences; manufacture, testing, extraction, or processing of cannabis plants or products;
warehousing of cannabis; advertising; and where cannabis can be ingested or smoked.
The AUMA left California with two separate licensing and regulatory schemes for medicinal and adult (or
recreational) use of cannabis. On June 27, 2017, Governor Brown signed Senate Bill 94, a "cannabis
trailer bill" to the Budget Act of 2017 that makes significant changes to California's commercial cannabis
APPROVED: IJ V ten. -J )i
r Stephen Schwabaue , City Manager
regulatory scheme. Senate Bill 94 consolidates the provisions providing for the licensure and regulation
of commercial medicinal cannabis activity and commercial adult -use cannabis activity under a single
regulatory scheme, known as the Medicinal and Adult -Use Regulation and Safety Act (MAUCRSA),
repealing the 2015 Medical Marijuana Regulation and Safety Act (MMRSA), and incorporates certain
provisions of MMRSA into the licensing provisions of the AUMA. The MAUCRSA contains 20 different
license categories of commercial cannabis businesses for authorized medicinal and adult -use activities.
Essentially, Senate Bill 94 is intended to create one regulatory structure for medicinal and nonmedicinal
cannabis use and commercial cannabis activities. Of note, the bill reiterates local authority to regulate or
ban medicinal and adult cannabis use and commercial cannabis activities, providing that cannabis
activities must comply with current state building and fire safety standards (including any local
amendments to the building code that cities adopt based on climatic, geologic, or topographic
conditions), and creates a more streamlined system for state licensing agencies to work with local
governments to ensure that cannabis licensees are operating in compliance with local laws. One
important distinction between the medicinal and recreational cannabis activities is that recreational
cannabis can only be sold to and consumed by adults over 21 years of age. The medicinal cannabis
program continues to allow qualified patients over 18 years of age to buy and use cannabis for medicinal
purposes with a state medical cannabis identification card or a physician's recommendation.
Further amendments to the MAUCRSA were enacted when the Governor signed Assembly Bill 133 on
September 16, 2017. AB 133 now allows operators to conduct multiple and different types of commercial
cannabis activities within a single licensed premises, including the possibility that both medicinal and
adult -use retail sales could occur at the same location; and increases the amount of concentrated
cannabis a person over 21 years of age may possess from four to eight grams before criminal penalties
are triggered. The bill makes several other amendments to the MAUCRSA that will impact allowable
cannabis business operations.
The licensing regulations and enforcement program for commercial cannabis activities authorized under
the MAUCRSA are being developed by the state and will be adopted through emergency rulemaking
processes later this year. The draft licensing regulations are expected to be released this fall for a very
short comment period (due to the emergency rule making process).
In order to locally regulate medicinal and adult -use cannabis, the City must have an ordinance in place
before January 1, 2018, detailing exactly what cannabis activities are (or are not) permitted in the City.
Without a current and clear ordinance that addresses all of the cannabis activities that will become legal
starting January 1, 2018, the state could issue licenses for cannabis activities in the City that the City
would choose not to allow in order to preserve the public peace, health and safety, and the quality of life
for Lodi residents. Based on the language in the AUMA, any City that decides to regulate or ban some or
all of the commercial cannabis activities under the MAUCRSA, should adopt their own local ordinance,
even if they have a permissive zoning code that prohibits uses not listed in the code.
Analysis:
The AUMA legalizes cannabis for those persons over 21 years old, has provisions to protect
children, and establishes laws to regulate cannabis cultivation, manufacturing, testing, retail sale,
distribution, and microbusiness. It establishes the Bureau of Marijuana Control (now known as the
Bureau of Cannabis Control) within the Department of Consumer Affairs to regulate and license the
marijuana industry in California.
• The AUMA and MAUCRSA consolidate and streamline regulation and taxation for both medicinal
and nonmedicinal cannabis by taxing both the growth and sale of cannabis to potentially generate
millions of dollars within the state annually. The revenues are intended to cover the cost of
administering the new law and provide funds to: invest in public health programs that educate
2
youth to prevent and treat serious substance abuse, train local law enforcement to enforce the new
law with a focus on driving under the influence of drugs (DUID) enforcement; invest in communities
to reduce the illicit market and create job opportunities; and provide for environmental cleanup and
restoration of public lands damaged by illegal cannabis cultivation. The AUMA imposed a state
excise tax on the purchase and cultivation of cannabis (15% on the gross receipt of retail sales and
a cultivation tax based on the weight of flowers and leaves produced). State and local sales taxes
also apply to the sale of cannabis, except that medicinal cannabis is exempt from state and local
sales taxes.
• By legalizing the adult use of cannabis, the AUMA aims to undermine the black market for
cannabis, and place cannabis purchases into a legal structure with strict safeguards against access
by children. The AUMA prohibits the sale of nonmedicinal cannabis to those persons under 21
years old, and provides new resources to educate youth against drug abuse and train local law
enforcement to enforce the new law. It bars cannabis businesses from being located within 600
feet of schools, playgrounds, and other areas where children congregate. It also establishes
mandatory and strict packaging and labeling requirements for cannabis and cannabis products.
• The AUMA and MAUCRSA establish a comprehensive system governing cannabis businesses at
the state level and safeguards local control, allowing local governments to regulate cannabis -
related activities and businesses through zoning and permitting requirements.
• The AUMA and MAUCRSA create a comprehensive regulatory structure in which every cannabis
business is overseen by a specialized state agency known as the Bureau of Cannabis Control, a
division of the California Department of Consumer Affairs. The Department of Consumer Affairs is
responsible for licensing and overseeing cannabis retailers, distributors, and microbusinesses, in
addition to prescribing standards for reporting the movement of cannabis and cannabis products
throughout the distribution chain ("track and trace" system). The Department of Food and
Agriculture will license and oversee cannabis cultivation, ensuring it is environmentally safe. The
Department of Public Health will license and oversee manufacturing and testing, ensuring
consumers receive a safe product. The State Board of Equalization will collect the special cannabis
taxes, and the State Controller will allocate the revenue to administer the new law and provide the
funds to critical investments.
The main regulatory components of the AUMA and now the MAUCRSA are summarized below:
State and Local Licensing. A state license will be required to engage in medicinal and nonmedicinal
commercial cannabis activity. State licensing authorities are required to begin issuing licenses by
January 1, 2018. Therefore, the AUMA provisions legalizing commercial cannabis activity will not
become operational until the state begins issuing licenses, which will likely occur the first week in
January. The AUMA and MAUCRSA do not prevent cities from adopting and enforcing local ordinances
regulating or completely prohibiting commercial cannabis activity including deliveries. As explained in
greater detail below, the AUMA allows cities to only "reasonably regulate", but not prohibit personal
cultivation of up to six cannabis plants within a person's private residence. The AUMA allows cities to
prohibit all outdoor cultivation of cannabis whether for personal or commercial purposes.
The AUMA prohibits state licensing authorities from issuing a license to a commercial nonmedical
cannabis business if operation of the business violates a local ordinance of the jurisdiction in which the
business will operate. This means that a city wishing to adopt business or land use regulations
prohibiting or regulating commercial nonmedical cannabis businesses must adopt an ordinance prior to
the date the state begins issuing licenses. However, a city may adopt an ordinance banning or regulating
personal outdoor cultivation of nonmedical cannabis at any time.
3
If a city does not adopt an ordinance expressly banning or regulating nonmedicinal cannabis businesses
before the state begins issuing licenses, there is a risk that the state could issue a license to the business
without benefit of local input or regulation. As noted above, the MAUCRSA has attempted to improve
collaboration between state and local agencies to ensure that licensed operators are operating
responsibly and in accordance with both state and local law. The best approach for local agencies to
prevent issuance of state licenses in violation of local laws is to have an ordinance adopted and effective
before January 1, 2018 and to send a copy of that ordinance to the Bureau of Cannabis Control. Cities
may adopt an ordinance expressly banning or regulating cannabis operations after the state begins to
issue licenses, but it will be difficult to terminate a state licensee's operations until the state license is up
for its annual renewal. Staff recommends that the best approach at this time is to adopt a local ordinance
regulating cannabis use within the City of Lodi before the state begins issuing state licenses.
Cannabis Cultivation. Under the AUMA and as of November 9, 2016, individuals 21 years and older can
cultivate cannabis plants inside a private residence for personal use. The AUMA allows local
governments to reasonably regulate, but not ban, the personal cultivation of up to six nonmedicinal
cannabis plants inside a private residence. A "residence" is defined as a house, an apartment unit, a
mobile home, or similar dwelling. This includes cultivation in a greenhouse that is on the property of the
residence, but not physically part of the home, as long as it is fully enclosed, secure, and not visible from
a public space. Since this activity does not require a state license, individuals are currently allowed to
engage in personal use cultivation. It should be noted that a private property owner can ban or restrict
the cultivation/smoking of cannabis on their property. A state or local agency may also prohibit or restrict
such activities on property owned, leased, or occupied by the state or local government.
Local governments may regulate or ban all personal and commercial outdoor cultivation of cannabis
whether grown for recreational or medicinal use.
A local government cannot prohibit personal indoor cultivation of cannabis in all leased or multi -unit
residences; however, landlords can prohibit indoor cultivation and the City could require proof of
permission from the lessor before issuing a permit for indoor personal cultivation. Again, the regulations
on indoor residential cultivation must be reasonable. At least one city has already been challenged for
unreasonable regulations on indoor cultivation by requiring an expensive permit and background check,
limitations on where the plants can be grown indoors, and other arguably onerous requirements. (See
Harris v. City of Fontana.)
In accordance with the AUMA, if a city bans commercial cultivation, or personal outdoor cultivation, or
retail sales of cannabis or cannabis products, it is ineligible to receive state grant monies funded through
the new state excise taxes on cannabis (excluding the retail sales of medicinal cannabis) that take effect
on January 1, 2018. These funds could be used by local governments for law enforcement, fire
protection, or other local programs related to the AUMA.
Adult -Use of Cannabis.
The allowances and prohibitions on personal use in the AUMA are as follows:
Personal Use Allowances
• Age — 21 and older;
• May possess, process, transport, purchase, obtain, or give away 28.5 grams (approximately 1
ounce) of non -concentrated non -medicinal cannabis, or 8 grams (about 0.25 ounce or 0.5
tablespoon) of concentrated cannabis products;
• May smoke or ingest cannabis or cannabis products; and
• May possess plant, cultivate harvest, dry, or process up to 6 plants per residence for personal
use indoors.
4
The above activities are lawful under state law and cannot be prohibited under local Iaw.101
Restrictions on Personal Use
• No smoking in a public place (except where authorized locally).
• No smoking where smoking tobacco is prohibited.
• No smoking within 1,000 feet of a school, day care center, or youth center.
• No smoking while driving or riding in a vehicle.
• Cities may prohibit smoking and possession in buildings owned, leased, or occupied by the
city.
• Employers may maintain drug-free workplaces.
Transport of Cannabis. The AUMA allows cities to ban deliveries within their territorial limits. However,
cities cannot prevent the use of public roads for the delivery of cannabis. For example, if a licensed
delivery company located in City A must travel on public roads through City B to make an authorized
delivery in City C, City B cannot prohibit the licensed delivery company from traveling on public roads in
City B to get to City C. In addition, cities may not prevent the use of public roads within its jurisdiction to
transport nonmedicinal cannabis. The MAUCRSA clarifies that delivery businesses do not need to have
a retail storefront to operate and can operate out of any physical location (for example an office suite
where customers do not visit the location for retail sales).
Cannabis Tax. All taxes are either property or excise taxes. A property (ad valorem) tax is triggered by
the ownership of private property and an excise tax is based on the privilege of using or doing something
with property (i.e. business license tax, transient occupancy tax, etc.). Under the AUMA, there will be a
15% state excise tax on recreational cannabis; however, medicinal cannabis is exempt from state and
local sales tax altogether. The rationale is that cannabis consumed for medical purposes is no different
from conventional pharmaceuticals, which are also exempt from federal, state, and local sales tax.
However, other forms of excise tax may be levied on all cannabis, whether medicinal or recreational. For
example, a cultivation tax, a manufacturing tax, or the most common, a business license tax, may still be
levied at the local level on any commercial cannabis activity with voter approval.
Any imposition of general taxes are subject to the provisions of Propositions 62 and 218 which require,
among other things, a two-thirds vote of the City Council before going on the ballot, a majority vote of the
voters voting in an election on the tax, and the question could not be put before the voters until a
regularly scheduled general election for members of the City Council.
Imposition of a cannabis tax would require the city to collect and administer the tax. Some cities have
found that cannabis businesses are not as advanced in their bookkeeping as hotels (that collect and
remit TOT taxes), and therefore more staff time is required for audits and collection. Many cannabis
businesses deal only in cash and will continue to do so until the federal government reclassifies cannabis
as something other than a Schedule 1 Drug. Cities that choose to regulate medicinal or recreational
cannabis need to have procedures in place for receiving and depositing large all-cash payments. The
state is researching solutions to the banking issue, but there is no formal solution proposed at this time.
Federal law also complicates local taxation of cannabis in terms of (1) the possibility of criminal
implications for local agencies and their employees collecting, depositing, and using revenue generated
from cannabis, and (2) the possibility that federal law could preempt local cannabis taxes.
Despite the passage of the AUMA by California voters, federal law still criminalizes the distribution,
growing, possession, and use of marijuana, as well as the use or ownership of a place where marijuana
is grown, distributed, or used (21 U.S.C. Sec. 841 et seq.; Gonzales v. Raich (2007) 545 U.S. 1).
5
Nonetheless, since 2013 the U. S. Department of Justice has had a policy that it will not enforce federal
marijuana laws in those states with comprehensive marijuana regulatory schemes. However, the
Department of Justice had made it clear that its policy "does not alter in any way the [DOJ's] authority to
enforce federal laws... regardless of state law" and that its policy in no way "provides a legal defense to"
federal laws related to marijuana (the "Cole Memorandum", April 29, 2013). It should also be noted that
the appointment of Senator Jeff Sessions as U.S. Attorney General could shift future DOJ policy on
marijuana, which AG Sessions has made clear is still a Schedule 1 Drug under Federal law.
Existing Lodi Municipal Code Regulations and Staff Recommendations:
Medical Marijuana/Cannabis Dispensaries.
The establishment or operation of medical marijuana dispensaries have not been allowed in or on any
premises in the City since April 2009.
Staff recommends maintaining the existing ban on medical marijuana dispensaries (now referred to
under state law as medicinal cannabis dispensaries) and expanding the ban to include commercial and
wholesale sales of adult -use cannabis, cannabis edibles, and/or byproducts.
Cultivation of Marijuana/Cannabis.
The City of Lodi prohibits all outdoor cultivation and only allows the indoor cultivation of medical
marijuana in residential zones by a qualified patient (as defined in H & S Code §11362.7) or a qualified
caregiver (H & S Code §11362.7).
Staff recommends continuing the ban on all outdoor cultivation of cannabis within the City and amending
the ordinance to allow indoor cultivation of cannabis as permitted under state law, subject to the
regulations as may be adopted by the State.
Delivery and Processing of Medical Marijuana/Cannabis.
The City banned the delivery of medical marijuana and the processing of medical marijuana, including
cleaning, curing, preparation, laboratory testing, manufacturing, packaging, and extraction of active
ingredients to create marijuana related products and concentrates in January 2016.
Staff recommends continuing the ban on the delivery and processing of medical marijuana (e.g.
medicinal cannabis) and expanding the ban to include adult -use cannabis.
FUNDING: None.
,r—
Janice
Janice D, Magdich
City Attorney
CLIttz
�— Stephen Schwabauer
Community Development Director
Attachment: Introduce Ordinance amending Lodi Municipal Code Title 9 — Public Peace, Morals, and
Welfare by repealing Chapter 9.30 "Medical Marijuana" in its entirety; and amending Lodi Municipal Code
Title 8 — Health and Safety by repealing Chapter 8.30 "Marijuana Cultivation" in its entirety; and further
enacting Chapter 8.30 "Regulation of Medicinal and Adult Use Cannabis" within the City of Lodi.
6
ORDINANCE NO.
REDLINE
AN ORDINANCE OF THE LODI CITY COUNCIL AMENDING LODI
MUNICIPAL CODE TITLE 9 — PUBLIC PEACE, MORALS, AND
WELFARE BY REPEALING CHAPTER 9.30 "MEDICAL MARIJUANA" IN
ITS ENTIRETY; AND AMENDING LODI MUNICIPAL CODE TITLE 8 —
HEALTH AND SAFETY BY REPEALING CHAPTER 8.30 "MARIJUANA
CULTIVATION" IN ITS ENTIRETY; AND FURTHER ENACTING
CHAPTER 8.30 "REGULATION OF MEDICINAL AND ADULT -USE
CANNABIS" WITHIN THE CITY OF LODI
WHEREAS, in 1996, the voters of the State of California approved Proposition 215,
which was codified as Health and Safety Code section 11362.5 et seq. and entitled the
Compassionate Use Act of 1996 ("CUA"); and
WHEREAS, the intent of Proposition 215 was to enable persons who are in need of
marijuana for medical purposes to obtain and use it under limited, specified circumstances; and
WHEREAS, on January 1, 2004, Senate Bill 420 (Medical Marijuana Program Act
("MMPA")) became effective to clarify the scope of the AstCUA and to allow cities and counties
to adopt and enforce rules and regulations consistent with SB 420 and the AstCUA; and
WHEREAS, Health and Safety Code section 11362.83 expressly allows cities and
counties to adopt and enforce ordinances that are consistent with SB 420; and
WHEREAS, in City of Riverside v. inland Empire Patients Health and Wellness Center,
Inc., 56 Ca1.4`h 729 (2013), the California Supreme Court held that neither the CUA nor the
MMPA preempt local regulation; and
WHEREAS. on October 11. 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"), effective January 1, 2016, which established a statewide
licensing system for regulating medical marijuana cultivation, manufacturing, delivery, and
dispensing with licensing requirements and regulations that are only applicable to cities and
counties that permit marijuana cultivation. manufacturing, dispensing, and delivery within their
jurisdictions. Under the MMRSA, cities and counties may continue to ban medical marijuana
cultivation, manufacturing, dispensing, and/or delivery within their jurisdictions; and
WHEREAS. the MMRSA expressly allows cities and counties to ban marijuana
cultivation consistent with current state law, including City of Riverside v. Inland Empire Patients
Health and Wellness Center, Inc., 56 Ca1.4t" 729 (2013); and
WHEREAS, on November 8, 2016. the voters of the State of California approved
Proposition 64, which is entitled the Adult Use of Marijuana Act f"AUMA"), and codified as in
various sections of the Health and Safety Code and the Business and Professions Code, and to
establish a comprehensive system to legalize, control, and regulate the cultivation, processing,
manufacture. distribution. testing, and sale of nonmedicinal marijuana, including marijuana
products; and
WHEREAS, on June 27, 2017, the Governor signed into law Senate Bill 94, entitled the
Medical and Adult -Use Cannabis Regulation and Safety Act ("MAUCRSA"), codified in Business
and Professions Code section 26000 et sea.. to reconcile the regulation of medical marijuana
under the MMPA and the MMRSA with AUMA: and
1
WHEREAS, under the Federal Controlled Substances Act (21 U.S.C. §801 et seq.),
marijuana is classified as a Schedule 1 drug, meaning it has no accepted medical use. The
Federal Controlled Substances Act makes it unlawful, under federal law, for any person to
cultivate, manufacture, distribute or dispense, transport, or possess with the intent to
manufacture, distribute or dispense, marijuana; and
WHEREAS, Government Code sections 65850(a) and 65850(c)(4), provide the authority
of the City of Lodi to regulate by ordinance the uses of land and the intensity of land use; and
WHEREAS, the City of Lodi Police Department and residents of the City of Lodi have
reported adverse impacts from the outdoor cultivation of medical marijuana within the City of
Lodi, including offensive odors detectable beyond the property boundaries, increased risk of
trespassing, violent crime, burglary, and theft; and
WHEREAS, the strong odor of marijuana plants, which increases in intensity as the
plants mature, is highly offensive to many individuals and creates an attractive nuisance,
alerting people to the presence and location of marijuana plants, creating an increased risk of
burglary, robbery or armed robbery because of the monetary value of the plants; and
WHEREAS, the presence of marijuana plants is an attractive nuisance to minors,
creating a potential hazard in areas frequented by minors, such as schools, parks, recreation
centers, and similar facilities; and
WHEREAS, it is the intention of the City Council of the City of Lodi that nothing in this
ordinance be deemed to conflict with the federal Controlled Substances Act (21 U.S.C. §841),
by permitting or otherwise allowing any activity which is prohibited under the Act; and
WHE-REAS=the-Gity-Gouneil-of-at--the cultivation -and
possession-of-manjunn r--rnediGakaurpposyes-by-Q al.ifiecl Patient-, a^ �y Ga give}rs, as
defined fyunder Ga ifornia. law (Health & Safety Code, §§1 3362.70) an &�,7rdI ' espe.'vt'iv
mt't �
�s pernder 6tate, ae
Ems_E�rirmrrirte'�.vi �s'•e-intentionof the -G
that nothing in this -Ordinance --be-- &trued, in any -waw -expand the -rights of anyone to
outtivate possess or use mar+juana under sta —lav, eng-age-ir ny--pu iG-rH Saf s^ I4e
fedeFal Control -100 - . e _• - - - - • - - - .vity regarding the cultivation, distribution7
user eonsufhption of rnarajua at is otherwise prohib+te
WHEREAS, it is the purpose and intent of this ordinance to ensure that marijuana grown
for non-commercial medical purposes or non-commercial adult -use remains secure and does
not find its way to persons other ton -Qualified Patients- imay�-Caregivers, or illicit markets;
and
WHEREAS, it is the purpose and intent of this ordinance to assist law enforcement
personnel to perform their duties effectively and in accordance with California law; and
WHEREAS, this ordinance is not subject to the California Environmental Quality Act
(CEQA) pursuant to Government Code section 15060(c)(2) (the activity will not result in a direct
or reasonably foreseeable indirect physical change in the environment) and Section 15060(c)(3)
(the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California
Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical
change to the environment, directly or indirectly; it prevents changes in the environment pending
the completion of the contemplated General Plan adoption and zoning ordinance review; and
2
WHEREAS, for the protection of the public's health, safety, and general welfare, the City
Council on November 7, 2012, adopted Ordinance No. 1867, an Uncodified Interim Urgency
Ordinance of the City Council of the City of Lodi, making findings and imposing a forty-five (45)
day moratorium on 1) the outdoor cultivation of medical marijuana within the City of Lodi and 2)
the indoor cultivation of medical marijuana that creates a public nuisance; and
WHEREAS, for the continued protection of the public's health, safety, and general
welfare, the City Council on December 19, 2012, adopted Ordinance No. 1868 entitled and
Uncodified Interim Urgency Ordinance of the City Council of the City of Lodi, making findings
and imposing an additional moratorium of ten (10) months and fifteen (15) days, as permitted by
Government Code section 65858, to maintain the current status quo and to provide time for the
City to study the issue further; and
WHEREAS, for the continued protection of the public's health, safety, and general
welfare, the City Council on November 6, 2013, adopted Ordinance No. 1885 entitled and
Uncodified Interim Urgency Ordinance of the City Council of the City of Lodi, making findings
and imposing an additional moratorium of one year, as permitted by Government Code section
65858, to maintain the current status quo and to provide time for the City to meet with members
of the public, and to study and analyze the complicated legal and practical issues involved in
regulating the cultivation of marijuana for medical use, including a review of the City's General
Plan and zoning ordinances, and to make recommendations for consideration by the City
Council; and
WHEREAS, for the continued protection of the public's health. safety. and general
welfare, the City Council on October 15, 2104, adopted Ordinance No. 1898 entitled "Regulation
of Marijuana Cultivation" banning (1) the outdoor cultivation of medical marijuana with the City of
Lodi; and (2) the indoor cultivation of medical marijuana that creates a public nuisance; and
WHEREAS, the City Council finds that the cultivation of marijuana within the City limits
can adversely affect the health, safety, and well-being of the City and its residents; and
W E—RE sur the protection of the public's hoalth, safet -and general -welfare -other
Cal-ifernia--ja-risdiotionn ve-adopted reg u lations-pohibiting the o ,tdoor eilt+vation of marijuana
andior regulations for4ndoor cultivation fg n edit a -a I, a d
WHEREAS, this ordinance does not prohibit allows the indoor cultivation of medical
marijuana by -Qualified lasts --or Prima egi•vers; but rnefely regulates and rcctricts
iodations of whore medical marijuana can be grown and -t e-oour ate-- '.ase -of -Maki if
Live -Oak -. . • ■ • o- • - • 1 - R--orea-te-a
don-stitutional right to --cult vate-and pea, --r ailj+ a^„ there-ferc cities may prohibit
sr itivaF -of anjuana .thin eir-jur-isdistien.s in accordance with state law: and
WHEREAS, there is evidence of an increased incidence of crime -related secondary
impacts in locations associated with marijuana cultivation facilities, medicinal marijuana
dispensaries, and in connection with medicinal marijuana deliveries, which is contrary to policies
that are intended to promote and maintain the public's health, safety, and welfare. -
NOW, THEREFORE, BE IT ORDAINED BY THE LODI CITY COUNCIL AS FOLLOWS:
Section 1. Lodi Municipal Code Title 9 Public Peace, Morals and Welfare, is hereby
amended by repealing Chapter 9.30 "Medical Marijuana" in its entirety.
CHAPTER 9.30
MEDICAL -MARIJUANA
3
SECTIONS:
9Y3€-410 Definitions
-42n Estahrchmn gporotion of M -Ma ispensarics Prohibited
9.30.030 Delivory of Modica! Marijuana as a Prohibited Use and/or Activit=y
9,30-040 Processing -of Medical r . " od Use andlor Activity
9.30.054
IIA �n nen f" vii PeineRie5
Section 9.30-9-1 0 -Definitions.
For the purp
r ry itions shell --apply:
A. "Medical Mari' "'uana authorized in stri ompliaT I;1-Heaith and -Safety
Code Section_. i_ 362 tl q,
p_tMe4ieal-Mart}uana Dispensar e -an cility or location, whether fixed or mobile,
vated or by any means • made -available to,odistributedby, or
l /
d1Ctrlbted t0_t y - _ _ • _ _ •g: a qualified patient, a person-vith enidenti•• /cation
card, or mar n -strict acro e_ •_ _ • r r • r r - _ tens 11362.5,
ct seq., and 11 36'.', et sow
-medical marijuana
Gomel
law=
362.5 ct seq., and e
A clinic licensed pursuant to Chapter 1 of Division 2 af- the-Hoalth and Safety
Code.
and Safety Code.
1 _ ::•
2 of Division 2 of the Health
rnir+ lifo_threatening--iliness 14Gefi ed
pursuant to Chapter 3.01 of D-ivision 2 of the He filth and Safety--Cede-
A rosidential care facility for the elderly liconced-p
Division 2 of the Health and Safetyde-
5. A ho pi a --home health age -hey -licensed pursuant to Chapter 8 of Division 2
of tiro I-IciaI4h art afet cede -
C. 11 Mari[uan__ Deliiyler1J-
' ei Delivery/, m an • _ - '•'
or arrang-ing- for the delivory, troncfor or trahsport, or the uce of any-4te t— ology pla+form to
arra.. _ - • - _ _ - • ercial delivery, trans{ r- ransport of medical marijeai a;
marii dibles7a-hdlor arijuana-pro Intr to er from any l 4i-ethin the jurisdictional
limits of the City of Lodi, and any and -all associated busin: - - e e : - . e
ID.: 4ai
uamariivana ed iblej an or-- r-ifuaii
wholesale sales, incl +a-, e r •• - e ar+iag, preparation, aberatory-testing,
manufacturing, packaging, and extraction of active ingredients to oreate-marijuana-related
products and conoei4 ates-
s-aay method used to prepare medical
E. "Per: on with an
4
have -the -meaning as set f n 4ealth and
Safety Code -Section 11362.7, an be amended.
r shall have—the—man—in
Section 11362.7, and as may bo amended,
G.
"Qualified patient" shall have the
nded.
ealth and Safety Code Section
Section 9.30.020 Establish-grad—Qpn --^ ;cal Marijuana Dispensaries
Prohibited.
nim nr ,all establis , _ . e . v ••
•
r^, aria say y premises in tho City of Lodi.
Section 9.30.030 Delivery of Marij
Delivery by --any person or entity,
e, use permit or variance- t ethe
cos rli+ional or othernasc shall be iss
takes place in violation of any pr -vision of this C Sap
n this Chapter is inten
Section -a-30.040 Processing -of -Marijuana -as a Prohibited Use andlor ActivityMa 4}k ana
Processing by any person or entity, ine id-kig but ^^t limited to, clinics, collectives, cooperatives
and dispensaries is- prehi it,- . - _ • - - - - - _ jurisdictional limits. No permit,
fiance, whether h.-.ther G hall bo issued for the
t'FOt what takes place in violation of any provision of
th' _ - . - . - _ _ , _ rid is -hereby declared a public nuisance. Nothing in this Chapter
intended to, nor -shall -it -be construed to, -make legal any Pr_ - - _ - - _ s ot#efw+se
prohibited -under California law -
Section 9.30.050 Public -Nuisance,
e z . - . _ _ _ _ - . e vl-cion of -this Chapter
9.30 shall be; a hereby- deelared to be a public nuisance and may be summarily abated -by
the City purl it Procedure Section 31,
Sect'
-
a ci Iil�on for inis snctivc rel
any person or entity that -violates this Chapter 9.30. In ivil actio ht pursuant to this
Ch _ _ - ' • - - . - _ _ - _ - - '. - . . • - - -rd reasonable attern os and costs
to -the -prevailing party.
'Red -by -this -Chapter 9.30 -the City Attorne-y-may-bring
Section 2. Lodi Municipal Code Title 8 - Health and Safety is hereby amended by repealing
Chapter 8.30 " in its entirety, and enacting Chapter 8.30 "Regulation of
Medicinal and Adult -Use Cannabis" to read as follows:
CHAPTER 8.30
MARIJUANA G- Is TIW-4QNREGULATIGN OF MEDICINAL AND ADULT -USE CANNABIS
5
SECTIONS:
8.30.01 0 Purpose and Intent
8.30.020 Definitions
8.30.030 Establishment and Operation of Medical Marijuana Dispensaries and Adult -Use
Commercial Cannabis Sales Prohibited
8.30.040 Delivery of Medicinal and Adult -Use Cannabis Prohibited
8.30.050 Commercial Cannabis Activity Prohibited
8.30.060 Outdoor Cultivation Prohibited
8.30.070 Indoor Cultivation
8.30.080 Public Nuisance
8.30.090 Enforcement and Civil Penalties
8.30.010 Purpose and Intent.
It is the purpose and intent of this Chapter to prohibit medicinal and adult -use commercial
cannabis activities, medicinal and adult use cannabis deliveries, the outdoor cultivation of either
medicinal or adult use cannabis, and to reasonably regulate the eultivafion--a n4ar-ijuanaindoor
cultivation of medicinal and adult -use of cannabis within the City of Lodi in a manner that
protects the health, safety, and welfare of the community. W4theu4-regulation, the planting -of
marijuana --will occur without the 3 -ity-to contrel-tho nogative-effects to the heal{ ter
and welfare of -the -Citizens of Lodi. These negative -mss inefude ares limitod-4e
offensive -ciders -and -an increased risk of crimp such -as trespass, burglary -and acts ef- ielense-if
eon na m■ th- h: .: • • .. r-irnos or the pts of citizens to prevent such
as ria --plants:
This--Ghapter-is-ninterfere with a Qualified Patient's access to medical-rnarijuana,
as-pravic cd for in Cai,tornia Heath &Safety Cede Sestiea-11363:--Pwther, this Chapter -is -net
intended to giv- - -.----"*-thor' t vate marijuana; iris -intended
sire + , > ristie„s- ultivation of marijuana,s- h ftivatien iv
au+ ze - y California state lam-far-fnedisai-- Se's:----Ne--part of t#is-Ghapter shall -be
deemed to be in cenfl The City Council finds that sanctioning activities related to
commercial cannabis (marijuana) is inconsistent with federal law under the Controlled
Substances Act (21 U.S.C. §801 et seq.) which lists marijuana as a Schedule 1 drug and
prohibits the possession, sale. and distribution of marijuana ner-t^ pe rn-it a^y-activity-thet is
etI erwise-prehib: - z - _" ther—local, state er-fes' &ta ute rule; -or
regulation; ineluding- e ltivati n l-7essessier r . -e#-warij-uana-fen-nnn medical purposes
in violation of state or federal law.
8.30.020 Definitions.
A. "AMUA" refers to the "Control, Regulate and Tax Adult Use of Marijuana Act" approved
by the voters as Proposition 64 on November 8, 2016, and codified in various sections of the
Health and Safety Code and the Business and Professions Code.
B. 'Cannabis" or "Marijuana" shall have the meaning set forth in Business and Professions
Code section 26001(f), as may be amended from time to time, and means all parts of the plant
Cannabis saliva Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the
seeds thereof; the resin extracted from any part of the plant; and every compound, manufacture,
salt, derivative, mixture, or preparation of the cannabis plant, its seeds or resin. It does not
include industrial hemp, as defined by Health and Safety Code section 11018.5 or the weight of
any other ingredient combined with cannabis to prepare topical or oral administrations, food,
drink, or other product.
6
C. "Commercial Cannabis Activity" shall have the meaning set forth in Business and
Professions Code section 26001(k), as may be amended from time to time, and includes the
medicinal or adult -use cultivation, possession, manufacture, distribution, processing, storing,
laboratory testing, packaging. labeling, transportation, delivery or sale of cannabis or cannabis
products. Commercial cannabis activity also includes the activities of any business, person or
nonprofit licensed by the State of California or other governmental entity under Chapter 3.5 of
Division 8 or Division 10 of the Business and Professions Code.
D. "Cultivation" means -shall have the meaning set forth in Business and Professions Code
section 26001(1), as may be amended from time to time, and includes the planting, growing,
harvesting, drying1 or procoDsiflgcurinq, grading, or trimming of any rearij-uana-cannabis planks)
or any party's thereof for either medicinal or adult -use.
E. "Delivery" shall have the meaning set forth in Business and Professions Code section
26001(p), as may be amended from time to time, and means the commercial delivery, transfer
or transport, or arranging for the delivery, transfer or transport, or the use of any technology
platform to arrange for or facilitate the commercial delivery. transfer or transport of medical
marijuana, adult -use cannabis, all cannabis edibles. and/or any and all cannabis products to or
from any location within the jurisdictional limits of the City of Lodi, and any and all associated
business and/or operational activities.
F. "Indoors" means within a fully enclosed and secure structure.
ATG. "MAUCRSA" refers to the "Medicinal and Adult -Use Regulation and Safety Act" signed
into law on June 27, 2017, and codified in Business and Professions Code section 26000 et
seq.
lH. "Medical Mmarijuana" and "Medicinal Cannabis" means marijuana authorized in strict
compliance with Health and Safety Code Sections 11362.5 et seq.
-ndoor" means ihsadc o residential structure (as defined laelew
"Outdoor" means any location within the city limits that is not a residential structure (as
defined below).
J. "Person with an Identification Card" shall have the meaning as set forth in Health and
Safety Code Section 11362.7, and as may be amended from time to time.
D K. "Primary Caregiver" has the meaning set forth in Health and Safety Code Section
11362.7, as may be amended from time to time.
L. "Qualified Patient" has the meaning set forth in Health and Safety Code Section
11362.7, as may be amended from time to time.
RM. "Residential Structure" means a greup of rooms (incl-uding—legal—and functioning
sleep-ing, eatin—eeoking and sanitatiee-faeilitie-s, b not -core than one kid* -whish
git, oo e-d--er inten4ed fo nanny by one
heuseheileGa-ted•-wit", a ntiat - - - - e -fi and in this Code), the -primary ucc
of--whi =s an occupied-r-esidence. Res+de ial-Stru tore includes-an-attaehed or detaebed
garage in compliance with appl4Gala e—bui1ding e single or multi -family house, an apartment
unit, a mobile home or other similar dwelling located within a residential zoning district.
L -- - -•
7
residential structure includes a greenhouse on the property of the residential structure, but not
physically part of the residence, as long as it is fully enclosed, secure, and not visible from any
street, sidewalk. or other place freely accessible by the public.
8.30.030 Establishment and Operation of Medical Marijuana Dispensaries and Adult -Use
Commercial Cannabis Sales Prohibited.
Medical marijuana dispensaries and adult -use commercial cannabis retail or wholesale
establishments are prohibited in all zonina districts within the City's jurisdictional limits and shall
not be established, operated, or permitted in or upon any premises in the City of Lodi. The city
shall not issue, approve or grant any permit. license or other entitlement for the establishment or
operation of a medical marijuana dispensary or the operation of an adult -use cannabis
commercial, wholesale or retail establishment. No person may be the lessor or property where
a medical marijuana dispensary or adult -use cannabis commercial, wholesale or retail
establishment is located.
8.30.040 Delivery of Medicinal and Adult -Use Cannabis Prohibited.
Delivery of cannabis by any person or entity, including, but not limited to, clinics, collectives,
cooperatives and dispensaries, is prohibited in all zoning districts within the city's jurisdictional
limits. No permit, license, use permit or variance, whether conditional or otherwise, shall be
issued far the establishment of such activity. Any delivery that takes place in violation of any
provision of this Chapter is unlawful, and is hereby declared a public nuisance. Nothing in this
Chapter is intended to, nor shall it be construed to, make legal any delivery activity that is
otherwise prohibited under California law. As an exception to this provision. a person may
deliver or transport medicinal cannabis to a qualified patient or person with an identification card
for whom the delivering party is the primary caregiver.
8.30.050 Commercial Cannabis Activity Prohibited.
Commercial cannabis activity by any person or entity, including, but not limited to, clinics,
collectives, cooperatives, dispensaries, commercial or retail establishments, is prohibited in all
zones within the City's jurisdictional limits. No permit, license, use permit or variance, whether
conditional or otherwise, shall be issued for the establishment of such activity. Any commercial
cannabis activity that takes place in violation of any provision of this Chapter is unlawful, and is
hereby declared a public nuisance. Nothing in this Chapter is intended to. nor shall it be
construed to, make legal any commercial cannabis activity that is otherwise prohibited under
California law.
8.30.060 Outdoor Cultivation Prohibited.
Outdoor cultivation of cannabis is prohibited in all zoning districts in the City of Lodi. No person
owning, renting, leasing, occupying or having charge, possession, or control of any property
within the City limits shall cause or allow such property to be used for the outdoor cultivation of
any -ma ifeana-cannabis piant{s)-for any purpose.
8.30.070 Indoor Cultivation.
A. _Indoor cultivation of medieal mari}uanacannabis is prohibited in all zoning districts of the
city, except for residential zones. Cultivation of te4ieal-mar ijua-na-by-a Qualified Patient -or
Qualified --C e my -occur within a residential str-aoturecannabis is permitted in a
residential structure to the extent authorized under the AMUA and MAUCRSA. Indoor cannabis
cultivation, including any lightening, plumbing, or electrical components used for cultivation,
shall comply with all state and local building and fire codes. The residential structure shall
8
remain at all times a residence, with legally permitted and functioning cooking, sleeping, and
sanitation facilities, and with appropriate ingress and egress as required by this code.
Cultivation shall not prevent the primary use of these rooms for the cooking of meals, sleeping,
and bathing.
B. No person owning, renting, leasing, occupying or having charge, possession, or control
of any residential structure within the City shall cause or allow indoor cultivation of any
marijuana cannabis to be visible from any street, sidewalk, or other place freely accessible by
the public or to allow the odor of marijuana to permeate beyond the boundaries of the parcel or
property where the indoor cultivation is occurring. Nothing -is -chic Chapter shall be doeme4-te
allow, i-RdoQr attivvatien-by a Qualified Patie- - ` r {�- -ariy use other than
aaed+ainal pursuant to Heal# o Sections 11362.5 of seg
The indoor cultivation of medical marijuana cannabis is prohibited as a home occupation.
[ 8.30.080 Public Nuisance.
Any violations of this Ordinance shall be considered and declared to be a public nuisance and
may be summarily abated by the City of Lodi pursuant to Civil Code Section 731.
1 8.30.090 Enforcement and Civil Penalties.
A. Nothing in this Ordinance shall be deemed to prevent the city from instituting any
appropriate legal procedures to abate, correct, enjoin or restrain any violation of this section,
including civil or criminal proceedings.
B. In any civil action for injunctive relief brought pursuant to Lodi Municipal Code Chapter
1.10, a court of competent jurisdiction may award reasonable attorney's fees and costs to the
prevailing party.
C. Any person violating this ordinance shall be guilty of a misdemeanor and may be subject
to the penalties set forth in Lodi Municipal Code Chapter 1.08.
D. Each day a person is in violation of this chapter shall be considered a separate violation.
E. The remedies and relief provided in this section shall be cumulative and in addition to
any and all other remedies available to the city under this code and state law.
Section 3. Severability. If any section, subsection, subdivision, paragraph, sentence, clause
or phrase of this Ordinance or any part thereof is for any reason held to be unconstitutional or
invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the
validity or effectiveness of the remaining portions of this Ordinance or any part thereof. The City
Council of the City of Lodi hereby declares that it would have passed each section, subsection,
subdivision, paragraph, sentence, clause or phrase thereof irrespective of the fact that any one
or more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases be
declared unconstitutional or invalid or ineffective.
Section 4. No Mandatory Duty of Care. This Ordinance is not intended to and shall not be
construed or given effect in a manner which imposes upon the City, or any officer or employee
thereof, a mandatory duty of care towards persons or property within the City or outside of the
City so as to provide a basis of civil liability for damages, except as otherwise imposed by law.
Section 5: CEQA. This Ordinance is exempt from the requirements of the California
Environmental Quality Act (CEQA) pursuant to Government Code section 15060(c)(2) (the
9
activity will not result in a direct or reasonably foreseeable indirect physical change in the
environment), Section 15060(c)(3) (the activity is not a project as defined in Section 15378), and
Section 15061(b)(3) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter
3, because it has no potential for causing a significant effect to the environment.
Section 6. Conflict. All ordinances and parts of ordinances in conflict herewith are repealed
insofar as such conflict may exist.
Section 7 Effective Date and Publication. This Ordinance shall take effect thirty (30) days
after its adoption. In lieu of publication of the full text of the ordinance within fifteen (15) days
after its passage, a summary of the ordinance may be published at least five (5) days prior to
and fifteen (15) days after adoption by the City Council, and a certified copy shall be posted in
the office of the City Clerk pursuant to Government Code section 36933(c)(1).
ATTEST:
JENNIFER M. FERRIAOLO
City Clerk
Approved this day of November, 2017
DOUG KUEHNE
Mayor
State of California
County of San Joaquin, ss.
I, Jennifer M. Ferraiolo, City Clerk of the City of Lodi, do hereby certify that Ordinance
No. was introduced at a regular meeting of the City Council of the City of Lodi on October
18, 2017, and was thereafter passed, adopted, and ordered to print at a regular meeting of said
Council held , 2017 by the following vote:
AYES: COUNCIL MEMBERS —
NOES: COUNCIL MEMBERS —
ABSENT: COUNCIL MEMBERS —
ABSTAIN: COUNCIL MEMBERS —
I further certify that Ordinance No. was approved and signed by the Mayor on the
date of its passage and the same has been published pursuant to law.
Approved to Form
JANICE D. MAGDICH
City Attorney
JENNIFER M. FERRAIOLO
City Clerk
10
ORDINANCE NO.
CLEAN COPY
AN ORDINANCE OF THE LODI CITY COUNCIL AMENDING LODI
MUNICIPAL CODE TITLE 9 — PUBLIC PEACE, MORALS, AND
WELFARE BY REPEALING CHAPTER 9.30 "MEDICAL MARIJUANA" IN
ITS ENTIRETY; AND AMENDING LODI MUNICIPAL CODE TITLE 8 —
HEALTH AND SAFETY BY REPEALING CHAPTER 8.30 "MARIJUANA
CULTIVATION" IN ITS ENTIRETY; AND FURTHER ENACTING
CHAPTER 8.30 "REGULATION OF MEDICINAL AND ADULT -USE
CANNABIS" WITHIN THE CITY OF LODI
WHEREAS, in 1996, the voters of the State of California approved Proposition 215,
which was codified as Health and Safety Code section 11362.5 et seq. and entitled the
Compassionate Use Act of 1996 ("CUA"); and
WHEREAS, the intent of Proposition 215 was to enable persons who are in need of
marijuana for medical purposes to obtain and use it under limited, specified circumstances; and
WHEREAS, on January 1, 2004, Senate Bill 420 (Medical Marijuana Program Act
("MMPA")) became effective to clarify the scope of the CUA and to allow cities and counties to
adopt and enforce rules and regulations consistent with SB 420 and the CUA; and
WHEREAS, Health and Safety Code section 11362.83 expressly allows cities and
counties to adopt and enforce ordinances that are consistent with SB 420; and
WHEREAS, in City of Riverside v. Inland Empire Patients Health and Wellness Center,
Inc., 56 Ca1.4th 729 (2013), the California Supreme Court held that neither the CUA nor the
MMPA preempt local regulation; and
WHEREAS, on October 11, 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"), effective January 1, 2016, which established a statewide
licensing system for regulating medical marijuana cultivation, manufacturing, delivery, and
dispensing with licensing requirements and regulations that are only applicable to cities and
counties that permit marijuana cultivation, manufacturing, dispensing, and delivery within their
jurisdictions. Under the MMRSA, cities and counties may continue to ban medical marijuana
cultivation, manufacturing, dispensing, and/or delivery within their jurisdictions; and
WHEREAS, the MMRSA expressly allows cities and counties to ban marijuana
cultivation consistent with current state law, including City of Riverside v. Inland Empire Patients
Health and Wellness Center, Inc., 56 Ca1.4th 729 (2013); and
WHEREAS, on November 8, 2016, the voters of the State of California approved
Proposition 64, which is entitled the Adult Use of Marijuana Act ("AUMA"), and codified as in
various sections of the Health and Safety Code and the Business and Professions Code, and to
establish a comprehensive system to legalize, control, and regulate the cultivation, processing,
manufacture, distribution, testing, and sale of nonmedicinal marijuana, including marijuana
products; and
WHEREAS, on June 27, 2017, the Governor signed into law Senate Bill 94, entitled the
Medical and Adult -Use Cannabis Regulation and Safety Act ("MAUCRSA"), codified in Business
1
and Professions Code section 26000 et seq., to reconcile the regulation of medical marijuana
under the MMPA and the MMRSA with AUMA; and
WHEREAS, under the Federal Controlled Substances Act (21 U.S.C. §801 et seq.),
marijuana is classified as a Schedule 1 drug, meaning it has no accepted medical use. The
Federal Controlled Substances Act makes it unlawful, under federal law, for any person to
cultivate, manufacture, distribute or dispense, transport, or possess with the intent to
manufacture, distribute or dispense, marijuana; and
WHEREAS, Government Code sections 65850(a) and 65850(c)(4), provide the authority
of the City of Lodi to regulate by ordinance the uses of land and the intensity of land use; and
WHEREAS, the City of Lodi Police Department and residents of the City of Lodi have
reported adverse impacts from the outdoor cultivation of medical marijuana within the City of
Lodi, including offensive odors detectable beyond the property boundaries, increased risk of
trespassing, violent crime, burglary, and theft; and
WHEREAS, the strong odor of marijuana plants, which increases in intensity as the
plants mature, is highly offensive to many individuals and creates an attractive nuisance,
alerting people to the presence and location of marijuana plants, creating an increased risk of
burglary, robbery or armed robbery because of the monetary value of the plants; and
WHEREAS, the presence of marijuana plants is an attractive nuisance to minors,
creating a potential hazard in areas frequented by minors, such as schools, parks, recreation
centers, and similar facilities; and
WHEREAS, it is the intention of the City Council of the City of Lodi that nothing in this
ordinance be deemed to conflict with the federal Controlled Substances Act (21 U.S.C. §841),
by permitting or otherwise allowing any activity which is prohibited under the Act; and
WHEREAS, it is the purpose and intent of this ordinance to ensure that marijuana grown
for non-commercial medical purposes or non-commercial adult -use remains secure and does
not find its way to illicit markets; and
WHEREAS, it is the purpose and intent of this ordinance to assist law enforcement
personnel to perform their duties effectively and in accordance with California law; and
WHEREAS, this ordinance is not subject to the California Environmental Quality Act
(CEQA) pursuant to Government Code section 15060(c)(2) (the activity will not result in a direct
or reasonably foreseeable indirect physical change in the environment) and Section 15060(c)(3)
(the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California
Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical
change to the environment, directly or indirectly; it prevents changes in the environment pending
the completion of the contemplated General Plan adoption and zoning ordinance review; and
WHEREAS, for the protection of the public's health, safety, and general welfare, the City
Council on November 7, 2012, adopted Ordinance No. 1867, an Uncodified Interim Urgency
Ordinance of the City Council of the City of Lodi, making findings and imposing a forty-five (45)
day moratorium on 1) the outdoor cultivation of medical marijuana within the City of Lodi and 2)
the indoor cultivation of medical marijuana that creates a public nuisance; and
2
WHEREAS, for the continued protection of the public's health, safety, and general
welfare, the City Council on December 19, 2012, adopted Ordinance No. 1868 entitled and
Uncodified Interim Urgency Ordinance of the City Council of the City of Lodi, making findings
and imposing an additional moratorium of ten (10) months and fifteen (15) days, as permitted by
Government Code section 65858, to maintain the current status quo and to provide time for the
City to study the issue further; and
WHEREAS, for the continued protection of the public's health, safety, and general
welfare, the City Council on November 6, 2013, adopted Ordinance No. 1885 entitled and
Uncodified Interim Urgency Ordinance of the City Council of the City of Lodi, making findings
and imposing an additional moratorium of one year, as permitted by Government Code section
65858, to maintain the current status quo and to provide time for the City to meet with members
of the public, and to study and analyze the complicated legal and practical issues involved in
regulating the cultivation of marijuana for medical use, including a review of the City's General
Plan and zoning ordinances, and to make recommendations for consideration by the City
Council; and
WHEREAS, for the continued protection of the public's health, safety, and general
welfare, the City Council on October 15, 2104, adopted Ordinance No. 1898 entitled "Regulation
of Marijuana Cultivation" banning (1) the outdoor cultivation of medical marijuana with the City of
Lodi; and (2) the indoor cultivation of medical marijuana that creates a public nuisance; and
WHEREAS, the City Council finds that the cultivation of marijuana within the City limits
can adversely affect the health, safety, and well-being of the City and its residents; and
WHEREAS, this ordinance allows the indoor cultivation of marijuana in accordance with
state law; and
WHEREAS, there is evidence of an increased incidence of crime -related secondary
impacts in locations associated with marijuana cultivation facilities, medicinal marijuana
dispensaries, and in connection with medicinal marijuana deliveries, which is contrary to policies
that are intended to promote and maintain the public's health, safety, and welfare
NOW, THEREFORE, BE IT ORDAINED BY THE LODI CITY COUNCIL AS FOLLOWS:
Section 1. Lodi Municipal Code Title 9 Public Peace, Morals and Welfare, is hereby
amended by repealing Chapter 9.30 "Medical Marijuana" in its entirety.
Section 2. Lodi Municipal Code Title 8 - Health and Safety is hereby amended by repealing
Chapter 8.30 "Marijuana Cultivation" in its entirety, and enacting Chapter 8.30 "Regulation of
Medicinal and Adult -Use Cannabis" to read as follows:
SECTIONS:
8.30.010
8.30.020
8.30.030
8.30.040
CHAPTER 8.30
REGULATION OF MEDICINAL AND ADULT -USE CANNABIS
Purpose and Intent
Definitions
Establishment and Operation of Medical Marijuana Dispensaries and Adult -Use
Commercial Cannabis Sales Prohibited
Delivery of Medicinal and Adult -Use Cannabis Prohibited
3
8.30.050
8.30.060
8.30.070
8.30.080
8.30.090
8.30.010
Commercial Cannabis Activity Prohibited
Outdoor Cultivation Prohibited
Indoor Cultivation
Public Nuisance
Enforcement and Civil Penalties
Purpose and Intent.
It is the purpose and intent of this Chapter to prohibit medicinal and adult -use commercial
cannabis activities, medicinal and adult use cannabis deliveries, the outdoor cultivation of either
medicinal or adult use cannabis, and to reasonably regulate the indoor cultivation of medicinal
and adult -use of cannabis within the City of Lodi in a manner that protects the health, safety,
and welfare of the community.
The City Council finds that sanctioning activities related to commercial cannabis (marijuana) is
inconsistent with federal law under the Controlled Substances Act (21 U.S.C. §801 et seq.)
which lists marijuana as a Schedule 1 drug and prohibits the possession, sale, and distribution
of marijuana .
8.30.020 Definitions.
A. "AMUA" refers to the "Control, Regulate and Tax Adult Use of Marijuana Act" approved
by the voters as Proposition 64 on November 8, 2016, and codified in various sections of the
Health and Safety Code and the Business and Professions Code.
B. "Cannabis" or "Marijuana" shall have the meaning set forth in Business and Professions
Code section 26001(f), as may be amended from time to time, and means all parts of the plant
Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the
seeds thereof; the resin extracted from any part of the plant; and every compound, manufacture,
salt, derivative, mixture, or preparation of the cannabis plant, its seeds or resin. It does not
include industrial hemp, as defined by Health and Safety Code section 11018.5 or the weight of
any other ingredient combined with cannabis to prepare topical or oral administrations, food,
drink, or other product.
C. "Commercial Cannabis Activity" shall have the meaning set forth in Business and
Professions Code section 26001(k), as may be amended from time to time, and includes the
medicinal or adult -use cultivation, possession, manufacture, distribution, processing, storing,
laboratory testing, packaging, labeling, transportation, delivery or sale of cannabis or cannabis
products. Commercial cannabis activity also includes the activities of any business, person or
nonprofit licensed by the State of California or other governmental entity under Chapter 3.5 of
Division 8 or Division 10 of the Business and Professions Code.
D. "Cultivation" shall have the meaning set forth in Business and Professions Code section
26001(1), as may be amended from time to time, and includes the planting, growing, harvesting,
drying, curing, grading, or trimming of any cannabis plant(s) or any part(s) thereof for either
medicinal or adult -use.
E. "Delivery" shall have the meaning set forth in Business and Professions Code section
26001(p), as may be amended from time to time, and means the commercial delivery, transfer
or transport, or arranging for the delivery, transfer or transport, or the use of any technology
platform to arrange for or facilitate the commercial delivery, transfer or transport of medical
marijuana, adult -use cannabis, all cannabis edibles, and/or any and all cannabis products to or
4
from any location within the jurisdictional limits of the City of Lodi, and any and all associated
business and/or operational activities.
F. "Indoors" means within a fully enclosed and secure structure.
G. "MAUCRSA" refers to the "Medicinal and Adult -Use Regulation and Safety Act" signed
into law on June 27, 2017, and codified in Business and Professions Code section 26000 et
seq.
H. "Medical Marijuana" and "Medicinal Cannabis" means marijuana authorized in strict
compliance with Health and Safety Code Sections 11362.5 et seq.
"Outdoor" means any location within the city limits that is not a residential structure (as
defined below).
J. "Person with an Identification Card" shall have the meaning as set forth in Health and
Safety Code Section 11362.7, and as may be amended from time to time.
K. "Primary Caregiver" has the meaning set forth in Health and Safety Code Section
11362.7, as may be amended from time to time.
L. "Qualified Patient" has the meaning set forth in Health and Safety Code Section
11362.7, as may be amended from time to time.
M. "Residential Structure" means a single or multi -family house, an apartment unit, a mobile
home or other similar dwelling located within a residential zoning district. residential structure
includes a greenhouse on the property of the residential structure, but not physically part of the
residence, as long as it is fully enclosed, secure, and not visible from any street, sidewalk, or
other place freely accessible by the public.
8.30.030 Establishment and Operation of Medical Marijuana Dispensaries and Adult -Use
Commercial Cannabis Sales Prohibited.
Medical marijuana dispensaries and adult -use commercial cannabis retail or wholesale
establishments are prohibited in all zoning districts within the City's jurisdictional limits and shall
not be established, operated, or permitted in or upon any premises in the City of Lodi. The city
shall not issue, approve or grant any permit, license or other entitlement for the establishment or
operation of a medical marijuana dispensary or the operation of an adult -use cannabis
commercial, wholesale or retail establishment. No person may be the lessor or property where
a medical marijuana dispensary or adult -use cannabis commercial, wholesale or retail
establishment is located.
8.30.040 Delivery of Medicinal and Adult -Use Cannabis Prohibited.
Delivery of cannabis by any person or entity, including, but not limited to, clinics, collectives,
cooperatives and dispensaries, is prohibited in all zoning districts within the city's jurisdictional
limits. No permit, license, use permit or variance, whether conditional or otherwise, shall be
issued for the establishment of such activity. Any delivery that takes place in violation of any
provision of this Chapter is unlawful, and is hereby declared a public nuisance. Nothing in this
Chapter is intended to, nor shall it be construed to, make legal any delivery activity that is
otherwise prohibited under California law. As an exception to this provision, a person may
deliver or transport medicinal cannabis to a qualified patient or person with an identification card
for whom the delivering party is the primary caregiver.
5
8.30.050 Commercial Cannabis Activity Prohibited.
Commercial cannabis activity by any person or entity, including, but not limited to, clinics,
collectives, cooperatives, dispensaries, commercial or retail establishments, is prohibited in all
zones within the City's jurisdictional limits. No permit, license, use permit or variance, whether
conditional or otherwise, shall be issued for the establishment of such activity. Any commercial
cannabis activity that takes place in violation of any provision of this Chapter is unlawful, and is
hereby declared a public nuisance. Nothing in this Chapter is intended to, nor shall it be
construed to, make legal any commercial cannabis activity that is otherwise prohibited under
California law.
8.30.060 Outdoor Cultivation Prohibited.
Outdoor cultivation of cannabis is prohibited in all zoning districts in the City of Lodi. No person
owning, renting, leasing, occupying or having charge, possession, or control of any property
within the City limits shall cause or allow such property to be used for the outdoor cultivation of
cannabis for any purpose.
8.30.070 Indoor Cultivation.
A. Indoor cultivation of cannabis is prohibited in all zoning districts of the city, except for
residential zones. Cultivation of cannabis is permitted in a residential structure to the extent
authorized under the AMUA and MAUCRSA. Indoor cannabis cultivation, including any
lightening, plumbing, or electrical components used for cultivation, shall comply with all state
and local building and fire codes. The residential structure shall remain at all times a residence,
with legally permitted and functioning cooking, sleeping, and sanitation facilities, and with
appropriate ingress and egress as required by this code. Cultivation shall not prevent the
primary use of these rooms for the cooking of meals, sleeping, and bathing.
B. No person owning, renting, leasing, occupying or having charge, possession, or control
of any residential structure within the City shall cause or allow indoor cultivation of cannabis to
be visible from any street, sidewalk, or other place freely accessible by the public or to allow the
odor of marijuana to permeate beyond the boundaries of the parcel or property where the indoor
cultivation is occurring. The indoor cultivation of cannabis is prohibited as a home occupation.
8.30.080 Public Nuisance.
Any violations of this Ordinance shall be considered and declared to be a public nuisance and
may be summarily abated by the City of Lodi pursuant to Civil Code Section 731.
8.30.090 Enforcement and Civil Penalties.
A. Nothing in this Ordinance shall be deemed to prevent the city from instituting any
appropriate legal procedures to abate, correct, enjoin or restrain any violation of this section,
including civil or criminal proceedings.
B. In any civil action for injunctive relief brought pursuant to Lodi Municipal Code Chapter
1.10, a court of competent jurisdiction may award reasonable attorney's fees and costs to the
prevailing party.
C. Any person violating this ordinance shall be guilty of a misdemeanor and may be subject
to the penalties set forth in Lodi Municipal Code Chapter 1.08.
6
D. Each day a person is in violation of this chapter shall be considered a separate violation.
E. The remedies and relief provided in this section shall be cumulative and in addition to
any and all other remedies available to the city under this code and state law.
Section 3. Severability. If any section, subsection, subdivision, paragraph, sentence, clause
or phrase of this Ordinance or any part thereof is for any reason held to be unconstitutional or
invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the
validity or effectiveness of the remaining portions of this Ordinance or any part thereof. The City
Council of the City of Lodi hereby declares that it would have passed each section, subsection,
subdivision, paragraph, sentence, clause or phrase thereof irrespective of the fact that any one
or more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases be
declared unconstitutional or invalid or ineffective.
Section 4. No Mandatory Duty of Care. This Ordinance is not intended to and shall not be
construed or given effect in a manner which imposes upon the City, or any officer or employee
thereof, a mandatory duty of care towards persons or property within the City or outside of the
City so as to provide a basis of civil liability for damages, except as otherwise imposed by law.
Section 5: CEQA. This Ordinance is exempt from the requirements of the California
Environmental Quality Act (CEQA) pursuant to Government Code section 15060(c)(2) (the
activity will not result in a direct or reasonably foreseeable indirect physical change in the
environment), Section 15060(c)(3) (the activity is not a project as defined in Section 15378), and
Section 15061(b)(3) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter
3, because it has no potential for causing a significant effect to the environment.
Section 6. Conflict. All ordinances and parts of ordinances in conflict herewith are repealed
insofar as such conflict may exist.
Section 7. Effective Date and Publication. This Ordinance shall take effect thirty (30) days
after its adoption. In lieu of publication of the full text of the ordinance within fifteen (15) days
after its passage, a summary of the ordinance may be published at least five (5) days prior to
and fifteen (15) days after adoption by the City Council, and a certified copy shall be posted in
the office of the City Clerk pursuant to Government Code section 36933(c)(1).
ATTEST:
JENNIFER M. FERRIAOLO
City Clerk
7
Approved this day of November, 2017
DOUG KUEHNE
Mayor
State of California
County of San Joaquin, ss.
I, Jennifer M. Ferraiolo, City Clerk of the City of Lodi, do hereby certify that Ordinance
No. was introduced at a regular meeting of the City Council of the City of Lodi on October
18, 2017, and was thereafter passed, adopted, and ordered to print at a regular meeting of said
Council held , 2017 by the following vote:
AYES: COUNCIL MEMBERS —
NOES: COUNCIL MEMBERS —
ABSENT: COUNCIL MEMBERS —
ABSTAIN: COUNCIL MEMBERS —
I further certify that Ordinance No. was approved and signed by the Mayor on the
date of its passage and the same has been published pursuant to law.
Approved to Form:
JANICE D. MAGDICH
City Attorney
JENNIFER M. FERRAIOLO
City Clerk
8
II
Jennifer Ferraiolo
From: Jennifer Ferraiolo
Sent: Wednesday, October 18, 2017 1:50 PM
To: John Johnson
Cc: City Council; Steve Schwabauer; Janice Magdich
Subject: RE: Cannabis
Thank you for your email. It was received by the City Council and forwarded to the City Manager's and City Attorney's
office for information, response, and/or handling. In addition, your item will be provided to Council as a Blue Sheet item
at its meeting tonight.
Jennifer M. Ferraiolo, MMC
City Clerk
P.O. Box 3006
Lodi, CA 95241-1910
(209) 333-6702
(209) 333-6807 FAX
From: John Johnson
Sent: Wednesday, October 18, 2017 1:38 PM
To: City Council
Cc: Steve Schwabauer
Subject: Cannabis
Honorable City Council Members,
As you consider the cannabis regulations for Lodi, I think it is important that you consider the revenue potential.
For my information, I called the City of Sacramento and spoke to the person that handles the revenue collection
for cannabis for Sacramento. If you want to confirm what I have below, her name is Ranelle Kawasaki and her
number is (916) 808-1251.
• Currently the City of Sacramento has 30 medical dispensaries. For now, that number is fixed.
• To open a medical dispensary, there is a non-refundable first year fee of $21,100. The current annual
fee is $18,100.
• In addition, there is a one-time conditional use permit fee that ranges from approximately $16,000 to
$33,000.
1
• Sacramento collects a cannabis specific tax of 4% of a dispensary's revenue. Last year, Sacramento
collected $5.1 million (that would be $5,100,000) from this specific tax from the medical
dispensaries. So on average Sacramento, adds $170,000 per dispensary to its general fund. This does
not include the $18,100 each in annual use permit fees.
So as you consider the evils of cannabis, I urge you to consider how it could benefit Lodi. Would the revenue
from a cannabis tax add a police officer to Lodi's streets? I suggest it would.
Now before you say we would need more police to address the issues of cannabis I don't think that is true at all
by having dispensaries. As Ms. Kawasaki told me, the security at a dispensary is very high. I will suggest that
it is a lot better than any bar, restaurant or liquor store in Lodi today.
There was a time when the casino in Lodi was considered a bad idea too. Today the fee from the card room is
over $300,000 per year. Who's coming to you to tell you to dump that?
You can fight to keep Lodi cannabis free but Lodi isn't cannabis free. Legal and illegal money is going to be
spent on cannabis products. Will Lodi collect some of it and have more or will Lodi have less and less?
Call it dirty money if you want but it spends just like the money we get from the casino or from Costco.
Thank you for your time.
John
John E. Johnson, CFA
JOHN E. JOHNSON, LLC
106 S. Orange Avenue
Lodi, California 95240
(209) 369-1451
(209) 369-3032 FAX
j ohng ohnej ohnson.com
2
Jennifer Ferraiolo
From: Jennifer Ferraiolo
Sent: Wednesday, October 18, 2017 10:37 AM
To: '2092696893@mms.att.net'
Cc: City Council; Steve Schwabauer; Janice Magdich
Subject: RE:
Dear Oanh Nguyen:
Thank you for your email. It was received by the City Council and forwarded to the City Manager's and City Attorney's
office for information, response, and/or handling. In addition, your item will be provided to Council as a Blue Sheet item
at its meeting tonight.
Jennifer M. Ferraiolo, MMC
City Clerk
P.O. Box 3006
Lodi, CA 95241-1910
(209) 333-6702
(209) 333-6807 FAX
Original Message
From: 2092696893@mms.att.net[mailto:2092696893@Nmms.att.nel]
Sent: Wednesday, October 18, 2017 10:30 AM
To: Jennifer Ferraiolo
Subject:
From Oanh Nguyen: I request the City to continue the ban on marijuana. Thank you.
1
Jennifer Ferraiolo
From: Jennifer Ferraiolo
Sent: Wednesday, October 18, 2017 10:36 AM
To: '2092696893@mms.att.net'
Cc: City Council; Steve Schwabauer; Janice Magdich
Subject: RE:
Dear Ms. Friederich:
Thank you for your email. It was received by the City Council and forwarded to the City Manager's and City Attorney's
office for information, response, and/or handling. In addition, your item will be provided to Council as a Blue Sheet item
at its meeting tonight.
Jennifer M. Ferraiolo, MMC
City Clerk
P.O. Box 3006
Lodi, CA 95241-1910
(209) 333-6702
(209) 333-6807 FAX
Original Message
From: 2092696893@mms.att.net [ma ii to:2092695893 @ rnms.att.net]
Sent: Wednesday, October 18, 2017 10:28 AM
To: Jennifer Ferraiolo
Subject:
From. Eunice Friederich: I recommend the City keep the current ban on medical marijuana
1
I me 1
Jennifer Ferraiolo
From: Jennifer Ferraiolo
Sent: Tuesday, October 17, 2017 12:13 PM
To: John Johnson
Cc: City Council; Steve Schwabauer; Janice Magdich
Subject: RE: Cannabis
Thank you for your email. It was received by the City Council and forwarded to the City Manager's and City Attorney's
office for information, response, and/or handling. In addition, your item will be provided to Council as a Blue Sheet item
at its meeting tomorrow night.
Jennifer M. Ferraiolo, MMC
City Clerk
P.O. Box 3006
Lodi, CA 95241-1910
(209) 333-6702
(209) 333-6807 FAX
From: John Johnson
Sent: Tuesday, October 17, 2017 11:52 AM
To: City Council; Steve Schwabauer
Subject: Cannabis
Honorable City Council Members and City Manager - I am writing to urge you to consider changing the
ordinance regarding cannabis (marijuana) to at least allow for delivery for medical purposes and if you cannot
do that to allow for local dispensaries.
I can tell you that medical cannabis, in the edible form, saved my father's life. At the end of 2014, he was
diagnosed with stomach cancer. In January 2015 he had surgery to remove the tumor. While the surgery was
successful, he was left with a very small stomach and it was difficult for him to eat. After many months and the
loss of nearly 45% of his weight, he turned to cannabis with the hope that it would increase his appetite and
calm him so that he could eat. This was hard decision for my father, who is now 76 years old, because he
considered cannabis to be an illegal drug.
Why is my father forced to drive to Stockton to buy his edible cannabis? I can't buy it for him and neither can
my mother or anyone else. The answer is because you will not allow delivery or sale in Lodi.
My father is not unique. I know, for a fact, that there are several elderly women that belong to a prominent club
on Pine Street that use cannabis regularly for medical purposes. I also know for a fact that most of these women
buy their edible cannabis illegally because they cannot or will not travel to Stockton to buy it. Most of them,
including my father, are using cannabis instead of opioids.
You can help these people. You can make it legal for them to get the relief that they need by allowing delivery
and dispensaries in Lodi.
i
Now to the money side of things. There was a time when a casino in Lodi was a bad thing too. Now it is a nice
revenue source. Why not collect some tax and license dollars from cannabis? Why do you want all of the
cannabis money in Lodi to be illegal?
Cannabis is going to be used in Lodi. You can either regulate it and make a few dollars off of it or you can let
the money leave town and force people to break the law to obtain it.
Thank you for your time.
John
John E. Johnson, CFA
JOHN E. JOHNSON, LLC
106 S. Orange Avenue
Lodi, California 95240
(209) 369-1451
(209) 369-3032 FAX
john@johnejohnson.com
2
Please immediately confirm receipt
of this fax by calling 333-6702
CITY OF LODI
P. O. BOX 3006
LODI, CALIFORNIA 95241-1910
ADVERTISING INSTRUCTIONS
SUBJECT: SUMMARY OF ORDINANCE NO. 1947
PUBLISH DATE: SATURDAY, OCTOBER 21, 2017
LEGAL AD
TEAR SHEETS WANTED: One (1) please
SEND AFFIDAVIT AND BILL TO:
LNS ACCT. #0510052
JENNIFER M. FERRAIOLO, CITY CLERK
City of Lodi
P.O. Box 3006
Lodi, CA 95241-1910
DATED: THURSDAY, OCTOBER 19, 2017
ORDERED BY: JENNIFER M. FERRAIOLO
CITY CLERK
(129
PAMELA M. FARRIS
DEPUTY CITY CLERK
ELIZABETH BURGOS
ADMINISTRATIVE CLERK
Verify Appearance of this Legal in the Newspaper — Copy to File
SEND PROOF OF ADVERTISEMENT. THANK YOU!!
Emailed to the Sentinel at classified1@lodinews.com at (time) on (date)
LNS Phoned to confirm receipt of all pages at (time) _PMP �ES (initials)
N:\Administration\CLERK\OrdS ummaries\Advins. doc
CITY OF LODI
ORDINANCE NO. 1947
AN ORDINANCE OF THE LODI CITY COUNCIL AMENDING LODI MUNICIPAL CODE TITLE
9 — PUBLIC PEACE, MORALS, AND WELFARE — BY REPEALING CHAPTER 9.30,
"MEDICAL MARIJUANA," IN ITS ENTIRETY; AMENDING LODI MUNICIPAL CODE TITLE 8
— HEALTH AND SAFETY — BY REPEALING CHAPTER 8.30, "MARIJUANA CULTIVATION,"
IN ITS ENTIRETY; AND FURTHER ENACTING CHAPTER 8.30, "REGULATION OF
MEDICINAL AND ADULT -USE CANNABIS WITHIN THE CITY OF LODI." The purpose of this
ordinance is to maintain the existing ban on medical cannabis dispensaries and expand the ban
to include commercial and wholesale sales of adult -use cannabis, cannabis edibles, and/or
byproducts; continue the ban on all outdoor cultivation of cannabis; allow indoor cultivation of
cannabis as permitted under State law; continue the ban on the delivery and processing of
medical cannabis and expand the ban to include adult -use cannabis. Introduced
October 18, 2017. Adoption to be considered November 1, 2017. AYES: Chandler, Johnson,
Nakanishi, and Mayor Kuehne; NOES: Mounce; ABSENT: None.
Jennifer M. Ferraiolo, City Clerk
City of Lodi
October 18, 2017
Certified copy of the full text of this ordinance is available in the office of the Lodi City Clerk.
DECLARATION OF POSTING
ORDINANCE NO. 1947
AN ORDINANCE OF THE LODI CITY COUNCIL AMENDING LODI MUNICIPAL CODE
TITLE 9 — PUBLIC PEACE, MORALS, AND WELFARE — BY REPEALING
CHAPTER 9.30, "MEDICAL MARIJUANA," IN ITS ENTIRETY; AMENDING LODI
MUNICIPAL CODE TITLE 8 — HEALTH AND SAFETY — BY REPEALING
CHAPTER 8.30, "MARIJUANA CULTIVATION," IN ITS ENTIRETY; AND FURTHER
ENACTING CHAPER 8.30, "REGULATION OF MEDICINAL AND ADULT -USE
CANNABIS WITHIN THE CITY OF LODI"
On Thursday, October 19, 2017, in the City of Lodi, San Joaquin County, California, a
certified copy of Ordinance No. 1947 (attached hereto, marked Exhibit "A") was posted
in the Lodi City Clerk's Office.
I declare under penalty of perjury that the foregoing is true and correct.
Executed on October 19, 2017, at Lodi, California.
4-2}-h,e-ea, (112 4 4.-,2i:-)
Pamela M. Farris
ORDERED BY:
JENNIFER M. FERRAIOLO
CITY CLERK
Elizabeth Burgos
Deputy City Clerk Administrative Clerk
ords u mmaries\aaDecPost. doc
ORDINANCE NO. 1947
IEXFBU A
AN ORDINANCE OF THE LODI CITY COUNCIL AMENDING LODI
MUNICIPAL CODE TITLE 9 — PUBLIC PEACE, MORALS, AND
WELFARE — BY REPEALING CHAPTER 9.30, "MEDICAL MARIJUANA,"
IN ITS ENTIRETY; AMENDING LODI MUNICIPAL CODE TITLE 8 —
HEALTH AND SAFETY — BY REPEALING CHAPTER 8.30, "MARIJUANA
CULTIVATION," IN ITS ENTIRETY; AND FURTHER ENACTING
CHAPTER 8.30, "REGULATION OF MEDICINAL AND ADULT -USE
CANNABIS WITHIN THE CITY OF LODI"
WHEREAS, in 1996, the voters of the State of California approved Proposition 215,
which was codified as Health and Safety Code section 11362.5 et seq. and entitled the
Compassionate Use Act of 1996 ("CUA"); and
WHEREAS, the intent of Proposition 215 was to enable persons who are in need of
marijuana for medical purposes to obtain and use it under limited, specified circumstances; and
WHEREAS, on January 1, 2004, Senate Bill 420 (Medical Marijuana Program Act
("MMPA")) became effective to clarify the scope of the CUA and to allow cities and counties to
adopt and enforce rules and regulations consistent with SB 420 and the CUA; and
WHEREAS, Health and Safety Code section 11362.83 expressly allows cities and
counties to adopt and enforce ordinances that are consistent with SB 420; and
WHEREAS, in City of Riverside v. Inland Empire Patients Health and Wellness Center,
Inc., 56 Ca1.4th 729 (2013), the California Supreme Court held that neither the CUA nor the
MMPA preempt local regulation; and
WHEREAS, on October 11, 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"), effective January 1, 2016, which established a statewide
licensing system for regulating medical marijuana cultivation, manufacturing, delivery, and
dispensing with licensing requirements and regulations that are only applicable to cities and
counties that permit marijuana cultivation, manufacturing, dispensing, and delivery within their
jurisdictions. Under the MMRSA, cities and counties may continue to ban medical marijuana
cultivation, manufacturing, dispensing, and/or delivery within their jurisdictions; and
WHEREAS, the MMRSA expressly allows cities and counties to ban marijuana
cultivation consistent with current state law, including City of Riverside v. Inland Empire Patients
Health and Wellness Center, Inc., 56 Ca1.4th 729 (2013); and
WHEREAS, on November 8, 2016, the voters of the State of California approved
Proposition 64, which is entitled the Adult Use of Marijuana Act ("AUMA"), and codified as in
various sections of the Health and Safety Code and the Business and Professions Code, and to
establish a comprehensive system to legalize, control, and regulate the cultivation, processing,
manufacture, distribution, testing, and sale of nonmedicinal marijuana, including marijuana
products; and
WHEREAS, on June 27, 2017, the Governor signed into law Senate Bill 94, entitled the
Medical and Adult -Use Cannabis Regulation and Safety Act ("MAUCRSA"), codified in Business
1
and Professions Code section 26000 et seq., to reconcile the regulation of medical marijuana
under the MMPA and the MMRSA with AUMA; and
WHEREAS, under the Federal Controlled Substances Act (21 U.S.C. §801 et seq.),
marijuana is classified as a Schedule 1 drug, meaning it has no accepted medical use. The
Federal Controlled Substances Act makes it unlawful, under federal law, for any person to
cultivate, manufacture, distribute or dispense, transport, or possess with the intent to
manufacture, distribute or dispense, marijuana; and
WHEREAS, Government Code sections 65850(a) and 65850(c)(4), provide the authority
of the City of Lodi to regulate by ordinance the uses of land and the intensity of land use; and
WHEREAS, the City of Lodi Police Department and residents of the City of Lodi have
reported adverse impacts from the outdoor cultivation of medical marijuana within the City of
Lodi, including offensive odors detectable beyond the property boundaries, increased risk of
trespassing, violent crime, burglary, and theft; and
WHEREAS, the strong odor of marijuana plants, which increases in intensity as the
plants mature, is highly offensive to many individuals and creates an attractive nuisance,
alerting people to the presence and location of marijuana plants, creating an increased risk of
burglary, robbery or armed robbery because of the monetary value of the plants; and
WHEREAS, the presence of marijuana plants is an attractive nuisance to minors,
creating a potential hazard in areas frequented by minors, such as schools, parks, recreation
centers, and similar facilities; and
WHEREAS, it is the intention of the City Council of the City of Lodi that nothing in this
ordinance be deemed to conflict with the federal Controlled Substances Act (21 U.S.C. §841),
by permitting or otherwise allowing any activity which is prohibited under the Act; and
WHEREAS, it is the purpose and intent of this ordinance to ensure that marijuana grown
for non-commercial medical purposes or non-commercial adult -use remains secure and does
not find its way to illicit markets; and
WHEREAS, it is the purpose and intent of this ordinance to assist law enforcement
personnel to perform their duties effectively and in accordance with California law; and
WHEREAS, this ordinance is not subject to the California Environmental Quality Act
(CEQA) pursuant to Government Code section 15060(c)(2) (the activity will not result in a direct
or reasonably foreseeable indirect physical change in the environment) and Section 15060(c)(3)
(the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California
Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical
change to the environment, directly or indirectly; it prevents changes in the environment pending
the completion of the contemplated General Plan adoption and zoning ordinance review; and
WHEREAS, for the protection of the public's health, safety, and general welfare, the City
Council on November 7, 2012, adopted Ordinance No. 1867, an Uncodified Interim Urgency
Ordinance of the City Council of the City of Lodi, making findings and imposing a forty-five (45)
day moratorium on 1) the outdoor cultivation of medical marijuana within the City of Lodi and 2)
the indoor cultivation of medical marijuana that creates a public nuisance; and
2
WHEREAS, for the continued protection of the public's health, safety, and general
welfare, the City Council on December 19, 2012, adopted Ordinance No. 1868 entitled an
Uncodified Interim Urgency Ordinance of the City Council of the City of Lodi, making findings
and imposing an additional moratorium of ten (10) months and fifteen (15) days, as permitted by
Government Code section 65858, to maintain the current status quo and to provide time for the
City to study the issue further; and
WHEREAS, for the continued protection of the public's health, safety, and general
welfare, the City Council on November 6, 2013, adopted Ordinance No. 1885 entitled an
Uncodified Interim Urgency Ordinance of the City Council of the City of Lodi, making findings
and imposing an additional moratorium of one year, as permitted by Government Code section
65858, to maintain the current status quo and to provide time for the City to meet with members
of the public, and to study and analyze the complicated legal and practical issues involved in
regulating the cultivation of marijuana for medical use, including a review of the City's General
Plan and zoning ordinances, and to make recommendations for consideration by the City
Council; and
WHEREAS, for the continued protection of the public's health, safety, and general
welfare, the City Council on October 15, 2104, adopted Ordinance No. 1898 entitled "Regulation
of Marijuana Cultivation" banning (1) the outdoor cultivation of medical marijuana with the City of
Lodi; and (2) the indoor cultivation of medical marijuana that creates a public nuisance; and
WHEREAS, the City Council finds that the cultivation of marijuana within the City limits
can adversely affect the health, safety, and well-being of the City and its residents; and
WHEREAS, this ordinance allows the indoor cultivation of marijuana in accordance with
state law; and
WHEREAS, there is evidence of an increased incidence of crime -related secondary
impacts in locations associated with marijuana cultivation facilities, medicinal marijuana
dispensaries, and in connection with medicinal marijuana deliveries, which is contrary to policies
that are intended to promote and maintain the public's health, safety, and welfare.
NOW, THEREFORE, BE IT ORDAINED BY THE LODI CITY COUNCIL AS FOLLOWS:
Section 1. Lodi Municipal Code Title 9 — Public Peace, Morals and Welfare — is hereby
amended by repealing Chapter 9.30, "Medical Marijuana," in its entirety.
Section 2. Lodi Municipal Code Title 8 - Health and Safety — is hereby amended by
repealing Chapter 8.30, "Marijuana Cultivation," in its entirety, and enacting Chapter 8,30,
"Regulation of Medicinal and Adult -Use Cannabis," to read as follows:
SECTIONS:
8.30.010
8.30.020
8.30.030
CHAPTER 8.30
REGULATION OF MEDICINAL AND ADULT -USE CANNABIS
Purpose and Intent
Definitions
Establishment and Operation of Medical Marijuana Dispensaries and Adult -Use
Commercial Cannabis Sales Prohibited
3
8.30.040
8.30.050
8.30.060
8.30.070
8.30.080
8.30.090
8.30.010
Delivery of Medicinal and Adult -Use Cannabis Prohibited
Commercial Cannabis Activity Prohibited
Outdoor Cultivation Prohibited
Indoor Cultivation
Public Nuisance
Enforcement and Civil Penalties
Purpose and Intent.
It is the purpose and intent of this Chapter to prohibit medicinal and adult -use commercial
cannabis activities, medicinal and adult -use cannabis deliveries, the outdoor cultivation of either
medicinal or adult -use cannabis, and to reasonably regulate the indoor cultivation of medicinal
and adult -use of cannabis within the City of Lodi in a manner that protects the health, safety,
and welfare of the community.
The City Council finds that sanctioning activities related to commercial cannabis (marijuana) is
inconsistent with federal law under the Controlled Substances Act (21 U.S.C. §801 et seq.)
which lists marijuana as a Schedule 1 drug and prohibits the possession, sale, and distribution
of marijuana .
8.30.020 Definitions.
A. "AMUA" refers to the "Control, Regulate and Tax Adult -Use of Marijuana Act" approved
by the voters as Proposition 64 on November 8, 2016, and codified in various sections of the
Health and Safety Code and the Business and Professions Code.
B. "Cannabis" or "Marijuana" shall have the meaning set forth in Business and Professions
Code section 26001(f), as may be amended from time to time, and means all parts of the plant
Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the
seeds thereof; the resin extracted from any part of the plant; and every compound, manufacture,
salt, derivative, mixture, or preparation of the cannabis plant, its seeds or resin. It does not
include industrial hemp, as defined by Health and Safety Code section 11018.5 or the weight of
any other ingredient combined with cannabis to prepare topical or oral administrations, food,
drink, or other product.
C. "Commercial Cannabis Activity" shall have the meaning set forth in Business and
Professions Code section 26001(k), as may be amended from time to time, and includes the
medicinal or adult -use cultivation, possession, manufacture, distribution, processing, storing,
laboratory testing, packaging, labeling, transportation, delivery or sale of cannabis or cannabis
products. Commercial cannabis activity also includes the activities of any business, person or
nonprofit licensed by the State of California or other governmental entity under Chapter 3.5 of
Division 8 or Division 10 of the Business and Professions Code.
D. "Cultivation" shall have the meaning set forth in Business and Professions Code section
26001(1), as may be amended from time to time, and includes the planting, growing, harvesting,
drying, curing, grading, or trimming of any cannabis plant(s) or any part(s) thereof for either
medicinal or adult use.
E. "Delivery" shall have the meaning set forth in Business and Professions Code section
26001(p), as may be amended from time to time, and means the commercial delivery, transfer
or transport, or arranging for the delivery, transfer or transport, or the use of any technology
platform to arrange for or facilitate the commercial delivery, transfer or transport of medical
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marijuana, adult -use cannabis, all cannabis edibles, and/or any and all cannabis products to or
from any location within the jurisdictional limits of the City of Lodi, and any and all associated
business and/or operational activities.
F. "Indoors" means within a fully -enclosed and secure structure.
G. "MAUCRSA" refers to the "Medicinal and Adult -Use Regulation and Safety Act" signed
into law on June 27, 2017, and codified in Business and Professions Code section 26000 et
seq.
H. "Medical Marijuana" and "Medicinal Cannabis" means marijuana authorized in strict
compliance with Health and Safety Code Sections 11362.5 et seq.
I. "Outdoor" means any location within the city limits that is not a residential structure (as
defined below).
J. "Person with an Identification Card" shall have the meaning as set forth in Health and
Safety Code Section 11362.7, and as may be amended from time to time.
K. "Primary Caregiver" has the meaning set forth in Health and Safety Code Section
11362.7, as may be amended from time to time.
L. "Qualified Patient" has the meaning set forth in Health and Safety Code Section
11362.7, as may be amended from time to time.
M. "Residential Structure" means a single or multi -family house, an apartment unit, a mobile
home, or other similar dwelling located within a residential zoning district. Residential structure
includes a greenhouse on the property of the residential structure, but not physically part of the
residence, as long as it is fully enclosed, secure, and not visible from any street, sidewalk, or
other place freely accessible by the public.
8.30.030 Establishment and Operation of Medical Marijuana Dispensaries and Adult -Use
Commercial Cannabis Sales Prohibited.
Medical marijuana dispensaries and adult -use commercial cannabis retail or wholesale
establishments are prohibited in all zoning districts within the City's jurisdictional limits and shall
not be established, operated, or permitted in or upon any premises in the City of Lodi. The city
shall not issue, approve or grant any permit, license or other entitlement for the establishment or
operation of a medical marijuana dispensary or the operation of an adult -use cannabis
commercial, wholesale or retail establishment. No person may be the lessor for property where
a medical marijuana dispensary or adult -use cannabis commercial, wholesale or retail
establishment is located.
8.30.040 Delivery of Medicinal and Adult -Use Cannabis Prohibited.
Delivery of cannabis by any person or entity, including, but not limited to, clinics, collectives,
cooperatives and dispensaries, is prohibited in all zoning districts within the City's jurisdictional
limits. No permit, license, use permit or variance, whether conditional or otherwise, shall be
issued for the establishment of such activity. Any delivery that takes place in violation of any
provision of this Chapter is unlawful, and is hereby declared a public nuisance. Nothing in this
Chapter is intended to, nor shall it be construed to, make legal any delivery activity that is
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otherwise prohibited under California law. As an exception to this provision, a person may
deliver or transport medicinal cannabis to a qualified patient or person with an identification card
for whom the delivering party is the primary caregiver.
8.30.050 Commercial Cannabis Activity Prohibited.
Commercial cannabis activity by any person or entity, including, but not limited to, clinics,
collectives, cooperatives, dispensaries, commercial or retail establishments, is prohibited in all
zones within the City's jurisdictional limits. No permit, license, use permit or variance, whether
conditional or otherwise, shall be issued for the establishment of such activity. Any commercial
cannabis activity that takes place in violation of any provision of this Chapter is unlawful, and is
hereby declared a public nuisance. Nothing in this Chapter is intended to, nor shall it be
construed to, make legal any commercial cannabis activity that is otherwise prohibited under
California law.
8.30.060 Outdoor Cultivation Prohibited.
Outdoor cultivation of cannabis is prohibited in all zoning districts in the City of Lodi. No person
owning, renting, leasing, occupying or having charge, possession, or control of any property
within the City limits shall cause or allow such property to be used for the outdoor cultivation of
cannabis for any purpose.
8.30.070 Indoor Cultivation.
A. Indoor cultivation of cannabis is prohibited in all zoning districts of the City, except for
residential zones. Cultivation of cannabis is permitted in a residential structure to the extent
authorized under the AMUA and MAUCRSA. Indoor cannabis cultivation, including any lighting,
plumbing, or electrical components used for cultivation, shall comply with all state and local
building and fire codes. The residential structure shall remain at all times a residence, with
legally permitted and functioning cooking, sleeping, and sanitation facilities, and with
appropriate ingress and egress as required by this code. Cultivation shall not prevent the
primary use of these rooms for the cooking of meals, sleeping, and bathing.
B. No person owning, renting, leasing, occupying or having charge, possession, or control
of any residential structure within the City shall cause or allow indoor cultivation of cannabis to
be visible from any street, sidewalk, or other place freely accessible by the public or to allow the
odor of marijuana to permeate beyond the boundaries of the parcel or property where the indoor
cultivation is occurring. The indoor cultivation of cannabis is prohibited as a home occupation.
8.30.080 Public Nuisance.
Any violations of this Ordinance shall be considered and declared to be a public nuisance and
may be summarily abated by the City of Lodi pursuant to Civil Code Section 731.
8.30.090 Enforcement and Civil Penalties.
A. Nothing in this Ordinance shall be deemed to prevent the City from instituting any
appropriate legal procedures to abate, correct, enjoin or restrain any violation of this section,
including civil or criminal proceedings.
B. In any civil action for injunctive relief brought pursuant to Lodi Municipal Code Chapter
1.10, a court of competent jurisdiction may award reasonable attorney's fees and costs to the
prevailing party.
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C. Any person violating this ordinance shall be guilty of a misdemeanor and may be subject
to the penalties set forth in Lodi Municipal Code Chapter 1.08.
D. Each day a person is in violation of this chapter shall be considered a separate violation.
E. The remedies and relief provided in this section shall be cumulative and in addition to
any and all other remedies available to the city under this code and state law.
Section 3. Severability. If any section, subsection, subdivision, paragraph, sentence, clause
or phrase of this Ordinance or any part thereof is for any reason held to be unconstitutional or
invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the
validity or effectiveness of the remaining portions of this Ordinance or any part thereof. The City
Council of the City of Lodi hereby declares that it would have passed each section, subsection,
subdivision, paragraph, sentence, clause or phrase thereof irrespective of the fact that any one
or more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases be
declared unconstitutional or invalid or ineffective.
Section 4. No Mandatory Duty of Care. This Ordinance is not intended to and shall not be
construed or given effect in a manner which imposes upon the City, or any officer or employee
thereof, a mandatory duty of care towards persons or property within the City or outside of the
City so as to provide a basis of civil liability for damages, except as otherwise imposed by law.
Section 5: CEQA. This Ordinance is exempt from the requirements of the California
Environmental Quality Act (CEQA) pursuant to Government Code section 15060(c)(2) (the
activity will not result in a direct or reasonably foreseeable indirect physical change in the
environment), Section 15060(c)(3) (the activity is not a project as defined in Section 15378), and
Section 15061(b)(3) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter
3, because it has no potential for causing a significant effect to the environment.
Section 6. Conflict. All ordinances and parts of ordinances in conflict herewith are repealed
insofar as such conflict may exist.
Section 7. Effective Date and PublicationThis Ordinance shall take effect thirty (30) days
after its adoption. In lieu of publication of the full text of the ordinance within fifteen (15) days
after its passage, a summary of the ordinance may be published at least five (5) days prior to
and fifteen (15) days after adoption by the City Council, and a certified copy shall be posted in
the office of the City Clerk pursuant to Government Code section 36933(c)(1).
ATTEST:
JENNIFER M. FERRIAOLO
City Clerk
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Approved this day of November, 2017
DOUG KUEHNE
Mayor
State of California
County of San Joaquin, ss.
I, Jennifer M. Ferraiolo, City Clerk of the City of Lodi, do hereby certify that Ordinance
No. 1947 was introduced at a regular meeting of the City Council of the City of Lodi on
October 18, 2017, and was thereafter passed, adopted, and ordered to print at a regular
meeting of said Council held , 2017 by the following vote:
AYES: COUNCIL MEMBERS —
NOES: COUNCIL MEMBERS —
ABSENT: COUNCIL MEMBERS —
ABSTAIN: COUNCIL MEMBERS —
I further certify that Ordinance No. 1947 was approved and signed by the Mayor on the
date of its passage and the same has been published pursuant to law.
Approved to Form:
JANICE D. MAGDICH
City Attorney
JENNIFER M. FERRAIOLO
City Clerk
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