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HomeMy WebLinkAbout10/18/2011 13 Medical Marijuana; Presentation of Draft Legislation BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No. 1 For Meeting of October 18, 2011 ITEM TITLE: Presentation of Draft Legislation re: Medical Marijuana, and request that such material be referred to Planning Commission for review and public hearing. SUBMITTED BY: Jeff Cutter, City Attorney CONTACT PERSON / TELEPHONE: Mark Kunkler, Senior Assistant City Attorney, 575 -3552 SUMMARY EXPLANATION: Pursuant to the terms of the ordinance imposing a six -month moratorium on medical marijuana community gardens and dispensaries, the City Manager was charged (a) to develop comprehensive legislation pertaining to the medical use of marijuana within the City of Yakima; (b) to confer with citizens and advisory commissions regarding such legislation; and (c) to present recommended legislation regarding such matters to the City Council for its consideration. With the submission of these materials, City staff requests that the City Council refer the draft legislation and these issues to the Planning Commission for review and public hearing, as set forth in the moratorium ordinance and in conformity with land use procedures. At the conclusion of such review and public hearing, the Planning Commission will present the City Council with its recommendations. • Resolution Ordinance Other (Specify) Draft Legislation, Memoranda Contract Mail to (name and address): Phone: Funding Source APPROVED FOR SUBMITTAL: //Ai , i vA, Cit Manager STAFF RECOMMENDATION: Refer to Planning Commission for review, public hearing, and recommendation. BOARD /COMMISSION RECOMMENDATION: The Draft Legislation was presented to the Council Neighborhood Development and Economic Development Committees on October 5, 2011, with the understanding that the issue would be presented to the full Council at its October 18, 2011 Council meeting. COUNCIL ACTION: • . CITY OF YAKIMA LEGAL DEPARTMENT )0 South Third Stiet, Yakim, Washington 98901 (509)575-6030 Fax M9)575-6160 MEMORANDUM October 10, 2011 TO: Honorable Mayor and City Council Donald B. Cooper, City Manager FROM: Mark Kunkler, Senior Assistant City Attorney SUBJECT: Medical Marijuana — Referral to Planning Commission When the medical marijuana moratorium was adopted on July 19, 2011, one of the directives was that the City Manager should direct the development of comprehensive regulations concerning medical marijuana, and to "confer with community members and ® City advisory commissions as appropriate; and to present recommended legislation addressing such issues to the City Council for consideration and action." Ordinance No. 2011 -34, Section 5. Attached to this memorandum is a copy of draft legislation (and an accompanying memorandum) that was presented to the Council Neighborhood Development Committee and Council Economic Development Committee on October 5, 2011. It was noted during the presentation of these materials to the Committees that the matter would be presented to the full City Council at its regular meeting of October 18, 2011. This material is brought to the full City Council with a request that the draft legislation be referred to the City of Yakima Planning Commission for further discussion and review. The Planning Commission will be asked to schedule a public hearing (or hearings) in order to receive comment from the public. At the conclusion of such review and hearings, the Planning Commission will submit its findings and recommendation to the City Council for final review and action. The term of the moratorium is scheduled to expire midnight on Tuesday, January 17, 2011. A public hearing before the Planning Commission is anticipated to occur in November, thus leaving sufficient time to conduct the Planning Commission's review and preparation of a recommendation to the City Council well before the expiration of the moratorium. • CITY OF YAKIMA LEGAL DEPARTNIENT 200 South Third Street, Yakima, Washington 98901 (509)575 -6030 Fax (509)575-6160 MEMORANDUM September 30, 2011 TO: Council Neighborhood Development Committee Council Economic Development Committee Don Cooper, City Manager FROM: Mark Kunkler, Senior Assistant City Attorney SUBJECT: Update on Medical Marijuana Ordinance Options Here is a brief synopsis of staff's recommended approach regarding medical use of • cannabis and Community Gardens. • The Moratorium prohibited establishment of Dispensaries and Community Gardens; The Moratorium was crafted in such a way as to allow qualifying individuals to continue their individual use of medical marijuana — provided such individuals comply with existing state laws governing such use. • The proposed Ordinance has two key components: (a) an amendment to the zoning code that states that "No use that is illegal under local, state or federal law shall be allowed in any zone within the city ;" and (b) an amendment creating a new section of the zoning code that regulates Community Gardens (and states that Dispensaries are illegal). It should be emphasized that the proposed ordinance serves to regulate Community Gardens only on a zoning "land use" basis. Individual qualifying patients would not be regulated (except to the extent that they "combine" two or more qualifying patients on one parcel — thus creating a Community Garden). • Under the Ordinance (and current prohibitions on marijuana under federal law) if a request is made to locate a Community Garden in any zone of the City, the response will be that such use remains illegal under federal law and is not allowed in any zone of the City. This protects the City and City staff from possible prosecution for aiding and abetting violation of federal law. 1 Memorandum to Council Committees — Medical Marijuana • • At such time that medical use of marijuana is made lawful under both state and federal law, then the new provisions implementing land use controls for Community Gardens will apply. • Adopting this two -step approach enables us to (a) comply with federal law, and (b) honor the requirements under state moratorium statutes to develop a comprehensive regulatory framework for dealing with Community Gardens. In short, we have developed and adopted a regulatory ordinance that will come into effect at such time that federal law is changed to allow medical use of cannabis. • Adopting the proposed Ordinance allows the City flexibility to further amend if changes in federal or state law require an amendment. • The focus of the Ordinance is on zoning or "land use" controls. Individual use by "qualifying patients" does not constitute a "land use." It constitutes individual use of a type of "medicine." However, a Community Garden is a type of "production facility" subject to traditional land use regulation and controls. Enforcement of laws pertaining to individual qualifying patients will be in accordance with existing police law enforcement procedures. Enforcement of land use controls for Community Gardens would be under the zoning codes of the City. These would include normal land use and code • enforcement, possible appeals, use of injunctions if necessary, and possible judicial reviews under the Land Use Petition Act (LUPA). 411 DRAFT — ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 ORDINANCE NO. 2011- AN ORDINANCE amending Title 15 of the Yakima Municipal Code to add new Section 15.01.035 prohibiting illegal uses, and adding new Section 15.09.300 relating to Medical Marijuana Facilities and Collective Gardens. WHEREAS, in 1998, the voters of the State of Washington approved Initiative Measure No. 692, now codified as Chapter 69.51A RCW, entitled the Medical Use of Marijuana Act, which created an affirmative defense to state criminal liability for seriously ill persons who are in need of medical marijuana for specified medical purposes and who obtain and use medical marijuana under limited, specified circumstances; and WHEREAS, the legislature adopted E2SSB 5073, with certain provisions vetoed by the governor, which became effective July 22, 2011, which enacted provisions authorizing establishment and operation of "collective gardens" for medical marijuana purposes; and WHEREAS, Chapter 69.51A RCW, as amended by E2SSB 5073, recognizes the authority and ability of municipalities to regulate medical marijuana within their jurisdictions and to adopt comprehensive land use regulations and licensing regulations concerning the establishment and operation ® of medical marijuana uses and facilities within such jurisdictions; and WHEREAS, Congress passed the Comprehensive Drug Abuse Prevention and Control Act of 1970, Pub.L. No. 91 -513, 84 Stat. 1236, to create a comprehensive drug enforcement regime it called the Controlled Substances Act, 21 U.S.C. § 801 -971. Under the Controlled Substances Act (also "CSA "), Congress established five "schedules" of controlled substances. Controlled substances are placed in specific schedules based upon their potential for abuse, their accepted medical use in treatment, and the physical and psychological consequences of abuse of the substance. See 21 U.S.C. § 812(b); and WHEREAS, marijuana is currently listed as a "Schedule I" controlled substance, 21 U.S.C. § 812(c), Schedule I(c)(10). For a substance to be designated a Schedule I controlled substance, it must be found: (1) that the substance "has a high potential for abuse "; (2) that the substance "has no currently accepted medical use in treatment in the United States "; and (3) that "[t]here is a lack of accepted safety for use of the drug or other substance under medical supervision." 21 U.S.C. § 812(b)(1). The Controlled Substances Act sets forth procedures by which the schedules may be modified. See 21 U.S.C. § 811(a); and WHEREAS, under the Controlled Substances Act, it is unlawful to knowingly or intentionally "manufacture, distribute, or dispense, or possess with intent to manufacture, distribute, or dispense, a controlled substance," except as otherwise provided in the statute. 21 U.S.C. § 841(a)(1). Possession of a • controlled substance, except as authorized under the Controlled Substances Act, is also unlawful; and 1 DRAFT — ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 WHEREAS, the United States Supreme Court has held in Gonzales v. Raich, 545 U.S. 1, 125 S.Ct. 2195, 162 L.Ed. 2d 1 (2005). that Congress was within its rights and powers under the Commerce Clause to regulate marijuana as a Schedule I controlled substance pursuant to the Controlled Substances Act, and that, under the Supremacy Clause of the U.S. Constitution, the federal Controlled Substances Act will prevail over any conflicting state law; and WHEREAS, the City Council of the City of Yakima finds and determines that Title 15 of the Yakima Municipal Code should be amended to add new section 15.01.035 providing that no use that is illegal under local, state or federal law shall be allowed in any zone within the city, and that new section 15.07.300 be adopted to provide that, in the event the medical use of cannabis (marijuana) is deemed lawful under applicable state and federal law, then the provisions of new section 15.09.300 shall apply; and WHEREAS, the City Council finds, and determines that such amendments are in the best interests of residents of the City of Yakima and will promote the general health, safety and welfare, BE IT ORDAINED BY THE CITY OF YAKIMA: Section 1. Chapter 15.01 of the Yakima Municipal Code is hereby amended to add new section 15.01.035 which provides as follows: 15.01.035 Illegal Uses Prohibited. • No use that is illegal under local, state or federal law shall be allowed in any zone within the city. Section 2. Chapter 15.09 of the City of Yakima Municipal Code is hereby amended to add new section 15.09.300 to read as follows: 15.09.300 Medical Marijuana Facilities — Collective Gardens. A. Applicability. The standards and criteria established in this section apply to any site, facility, location, entity, person, cooperative, or collective in the City of Yakima that distributes, dispenses, stores, sells, exchanges, processes, delivers, gives away, or cultivates marijuana (Cannabis) for medical purposes to qualified patients, designated providers, health care providers, patients' primary caregivers, or physicians, pursuant to Chapter 69.51A RCW or any State of Washington laws or regulations adopted in furtherance thereof. Nothing in this section shall be interpreted to conflict with provisions of Chapter 69.51A RCW. 2 DRAFT — ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 B. Definitions. The following terms have the following meanings: 1. "Cannabis" means all parts of the plant Cannabis, 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 plant, its seeds, or resin. For the purposes of . this chapter, "cannabis" does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks, except the resin extracted therefrom, fiber, oil, or cake, or the sterilized seed of the plant which is incapable of germination. The term "cannabis" includes cannabis products and useable cannabis. The term "cannabis" is synonymous with "marijuana" as used in this chapter. 2. "Cannabis products " means products that contain cannabis or cannabis extracts, have a measurable THC concentration greater than three- tenths of one percent, and are intended for human consumption or application, including, but not limited to, edible products, tinctures, and lotions. The term "cannabis products" does not include useable cannabis. The definition of "cannabis products" as a measurement of ® THC concentration only applies to the provisions of this chapter and shall not be considered applicable to any criminal laws related to marijuana or cannabis. 3. "Church" means a structure or leased portion of a structure, which is used primarily for religious worship and related religious activities. 4. "City" means City of Yakima, Washington. 5. "Collective Garden" means those gardens authorized under Section 403 of E2SSB 5073, which means no more than ten (10) qualifying patients sharing responsibility for acquiring and supplying the resources required to produce and process cannabis for medical use such as, for example, a location for a collective garden; equipment, supplies and labor necessary to plant, grow and harvest cannabis; cannabis plants, seeds and cuttings; and equipment, supplies and labor necessary for proper construction, plumbing, wiring and ventilation of a garden of cannabis plants. A Collective Garden will contain no more than fifteen (1'5) plants per qualifying patient member, up to a maximum cumulative total of forty -five (45) plants, and will contain no more than twenty -four (24) ounces of useable cannabis per qualifying patient member, up to a maximum cumulative total of seventy -two (72) ounces of useable cannabis. 3 DRAFT — ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 6. "Designated provider" means a person who: • (a) Is eighteen years of age or older; (b) Has been designated in a written document signed and dated by a qualifying patient to serve as a designated provider under this chapter and Chapter 69.51A RCW; and (c) Is in compliance with the terms and conditions set forth in RCW 69.51A.040. A qualifying patient may be the designated provider for another qualifying patient and be in possession of both patients' cannabis at the same time. 7. "Director" means the Director. of Community and Economic Development of the city, or his or her designee. 8. "Dispensary" means any person, entity, site, location, facility, business, cooperative, collective, whether for profit or not for profit, that distributes, sells, dispenses, transmits, packages, measures, labels, selects, processes, delivers, exchanges or gives away cannabis for medicinal or other purposes, which does not qualify as a Collective Garden or designated care provider /qualifying patient pursuant to this chapter and Chapter 69.51A RCW. • 9. "Indoors" means within a fully enclosed and secure structure that complies with the Washington State Building Codes, as adopted by the City of Yakima, that has a complete roof enclosure supported by connecting walls extending from the ground to the roof, and a foundation, slab or equivalent base to which the floor is securely attached. The structure must be secure against unauthorized entry, accessible only through one or more lockable doors, and constructed of solid materials that cannot easily be broken through, such as 2 -inch by 4 -inch or thicker studs overlain with 3/8 -inch or thicker plywood or equivalent materials. A greenhouse structure may be allowed if it complies with the Washington State Building Codes, as adopted by the City of Yakima, and has a complete roof enclosure supported by connecting walls extending from the ground to the roof, and a foundation, slab or equivalent base to which the floor is securely attached. The greenhouse . structure must be secure against unauthorized entry, accessible only through one or more lockable doors, and constructed of solid frame materials that cannot easily be broken through, spaced and constructed to secure against unauthorized entry. 10. "Legal parcel" means a parcel of land for which one legal title exists. Where contiguous parcels are under common ownership or control, 4 DRAFT — ORDINANCE — MEDICAL MARIJUANA - September 30, 2011 such legal parcels shall be counted as a single parcel for purpose of this ordinance. 11. "Medical use of cannabis" means the manufacture, production, processing, possession, transportation, delivery, ingestion, application or administration of cannabis for the exclusive benefit of a qualifying patient in the treatment of his or her terminal or debilitating medical condition. The term "medical use of cannabis" is synonymous with "medical marijuana." 12. "Member" means a qualifying patient authorized to participate in a Collective Garden. 13. "Outdoors" means any location that is not "indoors" within a fully enclosed and secure structure as defined herein. 14. "Person" means an individual or an entity. 15. "Personally identifiable information" means any information that includes, but is not limited to, data that uniquely indentifies, distinguishes or traces a person's identity, such as the person's name or address, either alone or when combined with other sources, that establish the person is a qualifying patient or designated provider. 16. "Plant" means an organism having at least three distinguishable and distinct leaves, each leaf being at least three centimeters in diameter, and a readily observable root formation consisting of at least two separate and distinct roots, each being at least two centimeters in length. Multiple stalks emanating from the same root ball or root system shall be considered part of the same single plant. 17. "Process" means to handle or process cannabis in preparation for medical use. 18. "Produce" means to plant, grow or harvest cannabis for medical use. 19. "Public place" includes streets and alleys of the incorporated cities and towns; state or county or township highways or roads; buildings and grounds used for school purposes; public dance halls and grounds adjacent thereto; premises where goods and services are offered to the public for retail sale; public buildings; public meeting halls, lobbies, halls and dining rooms of hotels, restaurants, theaters, stores, garages and filling stations which are open to and are generally used by the public and to which the public is permitted to have unrestricted access; • railroad trains, stages, buses, ferries and other public conveyance of all kinds and character, and the depots, stops and waiting rooms used 5 DRAFT— ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 in conjunction therewith which are open to unrestricted use and access • by the public; publicly owned bathing beaches, parks, pools or playgrounds; and all other paces of like or similar nature to which the general public has unrestricted right of access, and which are generally used by the public. 20. "Qualifying patient" means a person who: (a) Is a patient of a health care professional; (b) Has been diagnosed by that health care professional as having a terminal or debilitating medical condition; (c) Is a resident of the State of Washington at the time of such diagnosis; (d) Has been advised by that health care professional about the risks and benefits of the medical use of cannabis; (e) Has been advised by that health care professional that he or she may benefit from the medical use of cannabis; and (f) Is otherwise in compliance with the terms and conditions established in Chapter 69.51A RCW. The term "qualifying patient" does not include a person who is actively being supervised for a criminal conviction be a corrections agency or department that has determined that the terms of this chapter and Chapter 69.51A RCW are inconsistent with and contrary to his or her supervision and all related processes and procedures related to that supervision. 21. "Residential treatment facility" means a facility providing for treatment of drug and alcohol dependency. 22. "School" means an institution of learning for minors, whether public or private, offering regular course of .instruction required by the Washington Education Code, or any child or day care facility. This definition includes a nursery school, kindergarten, elementary school, middle or junior high school, senior high school, or any special institution of education, but it does not include a vocational or professional institution of higher learning, including a community or junior college or university. 23. "Terminal or debilitating medical condition" means: (a) Cancer, human immunodeficiency virus (HIV), multiple sclerosis, epilepsy or other seizure disorder, or spasticity disorder; or (b) Intractable pain, limited for the purposes of this chapter to mean pain unrelieved by standard medical treatments and medications; or (c) Glaucoma, either acute or chronic, limited for the purposes of this chapter to mean increased intraocular pressure unrelieved by standard treatments and medications; or 6 DRAFT — ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 (d) Crohn's disease with debilitating symptoms unrelieved by standard treatments and medications; or (e) Hepatitis C with debilitating • nausea or intractable pain unrelieved by standard treatments and medications; or (f) Diseases, including anorexia, which result in nausea, vomiting, cachexia, appetite loss, cramping, seizures, muscle spasms or spasticity, when these symptoms are unrelieved by standard treatments or medications; or (g) Any other medical condition duly approved by the Washington state medical quality assurance commission in consultation with the board of osteopathic medicine and surgery as directed in this chapter. 24. "THC concentration" means percent of tetrahydrocannabinol content per weight or volume of useable cannabis or cannabis product. 25. "Useable cannabis" means dried flowers of the Cannabis plant having a THC concentration greater than three - tenths of one percent. Useable cannabis excludes stems, stalks, leaves, seeds and roots. For purposes of this subsection, "dried" means containing less than fifteen percent moisture content by weight. The term "useable cannabis" does not include cannabis products. 26. "Valid documentation" means: (a) A statement signed and dated by a qualifying patient's health care professional written on tamper- resistant paper, which states that, in the health care professional's opinion, the patient may benefit from the medical use of cannabis; (b) Proof of identity such as a Washington state driver's license or identicard, as defined in RCW 46.20.035; and In the case of a designated provider, the signed and dated document valid for one year from the date of signature executed by the qualifying patient who has designated the provider. 27. "Youth oriented facility" means elementary school, middle school, junior high school, high school, public park, and any establishment that advertises in a manner that identifies the establishment as catering to or providing services primarily intended for minors, or individuals who regularly patronize, congregate or assemble at the establishment are predominantly minors. This shall not include a day care or preschool facility. C. Dispensaries Prohibited. No medical marijuana or cannabis dispensary shall be allowed or permitted within the city. 7 DRAFT – ORDINANCE — MEDICAL MARIJUANA – September 30, 2011 D. Collective Garden Permit Required. Prior to initiating operations, and as a continuing prerequisite to conducting operations, all responsible persons or the responsible entity wishing to operate a Collective Garden shall apply for and receive from the Director of Community and Economic Development a permit for operation of a Collective Garden, on the terms and conditions set forth herein. This requires the submission of a complete application (as described in subsection G herein) and compliance with the following requirements: E. Location and Distance Restrictions. 1. No Collective Garden shall be permitted outdoors; 2. Collective Gardens shall be subject to the limitations in subsection (L) regarding location in proximity to any school, church, youth - oriented facility, library, other Collective Garden, or residential treatment facility; 3. No Collective Garden shall be located anywhere the cannabis (marijuana) plants are visible from a public place. F. Ownership and Limitation on Numbers. No more than one Collective Garden may be located on a single parcel of land, and the parcel must be owned by, or leased to one of the members of the Collective Garden. All owners of record of the subject parcel, identified pursuant • to records of the Yakima County Auditor, shall provide to the city written acknowledgement of use and approval of the parcel for a Collective Garden. Such written approval(s) shall be submitted with the application for a Collective Garden. A qualifying patient shall not be a member of more than one Collective Garden, and must be a member of one Collective Garden for at least thirty (30) days before . transferring his or her membership to another Collective Garden. Each Collective Garden must maintain records of its membership for no less than three years. No person may be admitted for membership into a Collective Garden as a qualified patient in the City of Yakima if they belong as a qualified patient in another collective garden for medical marijuana in the State of Washington. No person under eighteen (18) years of age shall be a member of a Collective Garden without written, verified authorization by a parent or legal guardian. • 8 DRAFT — ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 41/ G. Collective Garden Permit Application. A complete application for a Collective Garden Permit shall consist of the following: 1. The name, address and telephone number of each applicant for a Collective Garden permit, and each owner of the parcel to be used as the Collective Garden. The application shall be signed by the applicant(s) and each owner of record, identified pursuant to records of the Yakima County Auditor, of the parcel proposed for operation of the Collective Garden; 2. The name, address and telephone number of each qualifying patient participating in the Collective Garden and valid documentation as proof of his or her qualifying status; 3. The name, address, and telephone number of a person designated as contact person for the Collective Garden, to enable the city, including but not limited to the city police department, to contact the Collective Garden in the event of any problem associated with the Collective Garden, and to enable the city to administer the provisions of this section. • 4. A unique identifying number from the State of Washington Driver's License or Identification card for each qualifying patient member of the Collective Garden; 5. A written statement signed by each participating qualifying patient and owner of record of the subject parcel, acknowledging that any permit applied for or issued is pursuant to the laws of the State of Washington and that such issuance by the City of Yakima, and any administration of any permit issued by the City of Yakima pursuant to this chapter, does not confer upon the members of the Collective Garden, or the owner's of such parcel, immunity from prosecution under applicable state or federal law; 6. Plan of operations describing how the Collective Garden will operate consistent with the intent of state law and the provisions of this chapter, including but not limited to: a. Ensuring cannabis is not purchased or sold by the Collective Garden, or any members thereof, in a manner that would generate a profit. b. Controls that will assure cannabis will be dispensed to participating qualifying patients only. c. Controls that will ensure access to the Collective Garden premises is adequately monitored and restricted to pre - approved participating qualifying patients. 7. The location of the parcel where the Collective Garden will be located, by street address and tax parcel number. 8. The number of plants to be grown for each qualifying patient member • of the Collective Garden. 9. A statement describing the proposed security measures for the facility; 9 DRAFT — ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 10.Payment of the permit application fee of $250.00. H. Action on Application for a Permit. 1. An application for a Permit shall be deemed complete when the City receives the last submission of information or materials required in compliance with this chapter. Upon notification that an application is incomplete, the applicant shall be granted an extension of ten (10) calendar days to submit all materials required to complete the application. If the application remains incomplete in excess of ten (10) calendar days following said notification, the application shall be deemed withdrawn and a new application submittal shall be required. 2. The Director shall consider the following criteria in determining whether to grant or deny a permit and /or renewal of a permit, and may seek the review of other city departments, including but not limited to the police department, to assist in such determination: (a) That the proposed Collective Garden is consistent with the Yakima Municipal Code, applicable federal and state laws, this chapter, including the application submittal and operating requirements herein. (b) That the location is not identified as a Chronic Nuisance Property pursuant to Chapter 11.45 of this code. (c) That all required application materials have been provided • and /or the applicant has operated in a manner consistent with this chapter. (d) That all required application or annual renewal fees have been paid in a timely manner. (e) That the location is consistent with city zoning standards and is not prohibited by the provisions of this chapter or by any other local or applicable federal or state law, statute, rule or regulation, and no significant nuisance issues or problems are anticipated or result. (f) That the applicant has not violated any local or applicable federal or state law, statute, rule or regulation respecting the distribution, possession or consumption of illegal drugs or controlled substances. (g) The applicant has not engaged in unlawful, fraudulent, unfair, or deceptive business practices or acts. (h) The applicant has not knowingly made a false statement of material fact or has knowingly omitted to state a material fact in any permit application, or has provided false, inaccurate, or otherwise misleading information. (i) The applicant, his /her agent, or any person exercising managerial authority on behalf of the applicant has not committed any act involving dishonesty, fraud, or deceit with intent to substantially benefit himself or herself, or another, or substantially 10 DRAFT — : ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 411 injure another, or illegal use, possession, distribution, or similar action relating to illegal drugs or controlled substances. Notwithstanding the above, an applicant shall not be denied solely • on the basis that the applicant has been convicted of a felony if the applicant has obtained a .certificate of .rehabilitation under Washington law or that the applicant has been convicted of a misdemeanor if the applicant has met all applicable requirements of rehabilitation pursuant to Washington law. 3. Within twenty -eight (28) days of completing the investigation, the application shall be approved, conditionally approved, or denied. The Director may impose conditions, restrictions, or require revisions to the proposal to comply with this chapter. Written notice of the Director's decision shall be mailed to the applicant by U.S. Mail. 4. If the Director denies or revokes a Permit pursuant to this chapter, a new application for a Permit shall not be accepted from the applicant whose permit has been revoked or denied, and no such Permit shall be issued to such person for a period of three (3) years after the action denying or revoking the Permit. I. Contents, Posting and Changes in Status of Permits. 1. The Collective Garden Permit shall include, but not be limited to, the following information: • ® • (a) A complete description of the entity authorized by the permit; (b) The name and address of the entity so permitted; (c) The name and address of the principal of the entity, who applied for the permit; and (d) Any conditions upon which the permit is issued. 2. The permit shall be conspicuously posted indoors at the primary entry to the location of the permitted site. 3. Permits shall be non - transferable. A Permittee shall not transfer control of a Collective Garden to another person unless and until the proposed new operator files an application for a Collective Garden Permit with the Director in accordance with the provisions of this chapter, as though he /she were applying for the initial permit. Such application shall be accompanied by a statement of the current Permittee indicating his /her intent to transfer control of the Collective Garden to the new permit applicant. In accordance with this chapter, the Director shall determine whether the person seeking a permit would be entitled to the issuance of a permit. J. Membership Application and Verification. When a qualifying patient wishes to join a Collective Garden, the following • application guidelines shall be followed by the Collective Garden to help ensure that cannabis grown for medical use is not diverted to illicit markets: 11 DRAFT — ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 1. Verify the individual's status as a qualifying patient by obtaining and maintaining a copy of valid documentation as defined in subsection B (26), all as required by Chapter 69.51A RCW; and 2. Have the applicant for membership in the Collective Garden agree not to distribute marijuana to non - members; and 3. Have the applicant for membership in Collective Garden agree not to use the marijuana for other than medical purposes. 4. Membership as a qualifying patient shall be restricted to only those patients and with current valid documentation as defined by RCW 69.51A.010 and subsection B (26) of this section. 5. The membership application and approval process shall include written authorization from any member who . is a qualifying patient consenting to allow the Permittee and the city to verify the member's written documentation from his or her doctor. 6. The membership application and approval process shall include a statement from any member who is a qualifying patient that he or she does not belong to any other Collective Garden in the city or, other collective garden as defined in Chapter 69.51A RCW in the State of Washington. No member may be admitted for membership into a Collective Garden as a qualified patient in the City of Yakima if they belong as a qualified patient or designated provider to in another collective garden for medical marijuana in the State of Washington. • K. Business Licenses, Sales Tax, and Seller's Permits. 1. In the event the State of Washington determines that medical marijuana (cannabis) transactions are subject to sales tax, regardless of whether the individual or group makes a profit, then those engaging in transactions involving medical marijuana must obtain necessary permits and tax reporting forms from the Department of Revenue, or other . applicable state agency. 2. A Collective Garden shall be exempt from the requirement to obtain a City of Yakima business license pursuant to Title 5 of this Code. L. Development, Operational and Performance Standards. Collective Gardens shall operate in conformance with the following standards to assure that the, operations of the Collective Garden is in compliance with Washington law and city codes, and to mitigate the adverse secondary effects from operations of facilities processing and /or producing cannabis for medical purposes. 1. Prohibited Locations. No Collective Garden shall be located: (a) Within 1,000 feet of another Collective Garden, school, public library or public park, or residential treatment facility; or (b) Within 300 feet of a youth- oriented facility or church; or (c) In any structure sharing common walls with any other building. 4110 12 DRAFT — ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 (d) The distance between a Collective Garden and the uses and, zones described above, including another Collective Garden, shall be measured in . a straight line, without regard to intervening structures or objects, from the closest property line, or exterior wall of the building or structure, or a portion of the building or structure if located on a property line, in which the Collective Garden is located, to the boundary or closest property line where the use or zone described above is located.. (e) Where the uses or zones described above are legally created or located within the established buffer areas after the date of application for, a Collective Garden permit, or the date of issuance of such permit, it shall not be the sole basis for denial or revocation of the permit. 2. Security and Lighting Plan. (a) A Medical Marijuana Collective Garden shall provide adequate security and lighting on -site to ensure the safety of persons, protect the premises from theft at all times, and ensure that the surrounding neighborhood and businesses are not negatively impacted by nuisance activity such as loitering and crime. (b) A Collective Garden must ensure that all cannabis is securely stored. (c) All exterior windows, of buildings housing the facility shall be designed and maintained to prevent observation of cannabis plants and products by any person within public property outside the building. 3. Retail Sales Prohibited. No Collective Garden shall conduct or engage in the commercial sale of any product, good or service. The term "commercial sale" does not include medical use of cannabis on terms and conditions consistent with this chapter and applicable law. 4. A Collective Garden shall cultivate marijuana (cannabis) only on the licensed premises subject to the limitations and provisions of Chapter 69.51A RCW and may only provide or distribute cannabis for medical use to its members consistent with quantities approved for patient use. 5. No Collective Garden shall distribute or sell medical marijuana for a profit. 6. Signage and ,Notices. A Collective Garden shall notify its . members of the following in writing and through posting of a minimum 11- inch by 17 inch size sign in a conspicuous location indoors in the premises 1111 where it will be visible to members in the normal course of a transaction: 13 DRAFT — ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 (a) Use of medical marijuana shall be limited to the members of the Collective Garden who are qualifying patients identified on the valid documentation issued for such patient by the patient's health care professional. Secondary sale, barter, or distribution of medical marijuana is a crime and can lead to arrest. (b) Members of the Collective Garden must comply with the Clean Indoor Air Act, Chapter 6.80 of this code, as applicable. (c) Forgery of medical documents or documents for a designated provider is a crime. 7. Member Records. A Collective Garden shall maintain records of its members, and must track when members' medical marijuana authorization documentation expire and enforce conditions of membership by excluding members whose authorizations are invalid or have expired, or who are caught diverting marijuana for non - medical use. The Collective Garden shall maintain membership records on -site. 8. Collective Garden Records. (a) A Collective Garden shall keep accurate records, follow • accepted cash handling practices and maintain a general ledger of cash transactions. Additionally, a Collective Garden shall maintain records of all Members' contribution of labor, resources or money to the Collective Garden. 411 (b) A Collective Garden shall allow the Director access to the books, records, accounts, and any and all data relevant to its permitted activities for purposes of conducting an audit or examination to determine compliance with this Municipal Code and all applicable laws. Books, records, accounts, and any and all relevant data will be produced to no later than twenty -four (24) hours after receipt of the Director's request. 9. Dispensing Operations. (a) The Collective Garden shall only provide, distribute, dispense, give or transmit medical marijuana to member qualifying patients. This shall include possession of a valid physician's written authorization for current medical use of cannabis by the qualifying patient. A Collective Garden shall not distribute medical marijuana to any person who is not a member in good standing of the Collective Garden. (b) A Collective Garden shall not provide marijuana to any member in an amount not consistent with personal medical use, as recommended by the authorizing physician. (c) No recommendations for use of medical marijuana shall be issued on -site, and the Permittee shall not have a physician on- site to evaluate patients. 14 DRAFT — ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 (d) A Collective Garden may only process, produce, cultivate, dispense, store or transport marijuana in amounts consistent with Chapter 69.51A RCW. (e) The exterior appearance of any structure on the licensed premises shall be compatible with the structures already constructed or under construction within the immediate neighborhood, to ensure against blight, deterioration, or substantial diminishment or impairment of property values in the vicinity. (f) The operator(s) of Collective Garden shall maintain the premises, location, property and /or structures free of litter, debris, junk and other similar cast -off materials and free of graffiti. 10. Compliance with Conditions and Other Requirements. (a) City of Yakima Code Enforcement Officers, City of Yakima Police Officers, the Director, or other agents or employees of the City requesting admission for the purpose of determining compliance with this chapter shall be given unrestricted access 'to the licensed premises during normal hours of operation. (b) A Collective Garden shall meet any specific, additional operating procedures and measures as may be imposed as conditions of approval by the Director to ensure that the operations of the Collective Garden are consistent with protection of the health, safety and welfare of the community, qualifying patients, and will not adversely affect surrounding uses. (d) A Collective Garden shall comply with all other applicable property development and design standards of the City's Municipal Code and Development Code. Any building in which the licensed activity is located shall comply with all applicable local, state and federal rules, regulations and laws including, but not limited to, building codes and the American with Disabilities Act. (e) A Collective Garden shall comply with and operate in compliance with Chapter 69.51A RCW and all regulations pertaining thereto., and all applicable provisions of city codes, including but not limited to the Clean Indoor Air Act, Chapter 6.80 of this code. 11. Indemnification. Every permit issued under this Chapter shall contain a condition requiring the applicant to execute an agreement with the City whereby the applicant and Collective Garden agree to defend and indemnify the City from any civil liability arising from a lawsuit filed by any third person against both the Collective Garden and City arising from or associated with the operations of the Collective Garden. M. Fees. The annual permit fee for each Medical Marijuana Collective Garden shall be $50.00. 15 DRAFT — ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 • • N. Renewal of Permit Required. 1. Permits may be renewed by applying with the Director for additional one (1) year periods upon application by the Permittee, unless the permit is suspended or revoked in accordance with the provisions of this chapter. 2. Complete applications for renewal shall be made at least forty - five (45) calendar days before the annual expiration of the permit, and shall be accompanied by a nonrefundable renewal fee. Applications for . renewal shall be governed by the same criteria for approval as initial applications for permits. 3. Applications for renewal made less than forty -five (45) days before the annual expiration date shall not stay the annual expiration date of the Permit, and in addition to satisfying all other criteria for renewal, the applicant shall be required to demonstrate good cause for failing to timely renew his /her application. The Director shall have the sole discretion to determine whether such good cause is demonstrated. 4. If a Permit expires without being renewed, the Permittee of the expired Permit must apply for a new Permit by complying with all requirements of this Chapter applicable to an original application for a Permit. O. Suspension or Revocation of a Permit. 1. The Director may suspend or revoke a permit for any of the following reasons: (a) The Permittee fails to comply with this chapter, including but not limited to, the operating restrictions set forth in this chapter or applicable federal or state law; or (b) The Permittee fails to comply with the condition of its permit; or (c) The Permittee is operating in a manner, or is causing or allowing a nuisance in connection with the premises; or (d) The Permittee is convicted of a public offense in any court of competent jurisdiction, for the violation of any law which relates to his /her permit or the operation of the Collective Garden; or (e) The Legislature or the Courts interpret or change the law in a manner that precludes the operation of the Collective Garden such that the operation plan is not lawful. 2. Upon determining that grounds for suspension or revocation of a permit exist, the Director may issue to the Permittee written notice of the suspension or revocation, stating the reasons therefore, and serve the notice, together with a copy of this Chapter, upon the Permittee. 16 DRAFT — ORDINANCE — MEDICAL MARIJUANA — September 30, 2011 3. The suspension or revocation shall become effective fourteen (14) calendar days following the date of service upon the Permittee, unless the Permittee files a written request for an appeal hearing pursuant to this chapter. If the Permittee files an appeal within the time and manner prescribed, the Permit shall remain in effect until the appeal is finally determined. P. Appeals. Appeals shall be processed in accordance with the provisions of Chapter 15.16 YMC. Q. Violations. The establishment, maintenance or operation of a Collective Garden in violation of this chapter, or applicable local or state law or rule, shall be unlawful, and is declared to be a public nuisance and may be abated by the City either pursuant to the Municipal Code or any available legal remedies, including but not limited to administrative enforcement and /or civil injunctions. The City may also • suspend or revoke a permit, pursuant to the terms of this Chapter. Section 3. Except as amended herein, Title 15 of the Yakima Municipal Code shall remain unchanged. 411 Section 4. This ordinance shall be in full force and effect 30 days after its passage, approval, and publication as provided by law and by the City Charter. PASSED BY THE CITY COUNCIL, signed and approved this day of , 2011. ATTEST: Micah Cawley, Mayor City Clerk Publication Date: Effective Date: 17