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HomeMy WebLinkAboutO-2936 - Moratorium on production, sale and use of marijuana and marijuana products (Expired)CITY OF MARYSVILLE Marysville, Washington ORDINANCE aq 3 (p AN ORDINANCE OF THE CITY OF MARYSVILLE, WASHINGTON, ADOPTING A TWELVE (12) MONTH MORATORIUM WITHIN THE CITY OF MARYSVILLE ON THE ESTABLISHMENT, SITING, LOCATION, PERMITTING, LICENSING OR OPERATION OF MARIJUANA CULTIVATION, PRODUCTION OF MARIJUANA DERIVATIVES, AND THE SALE OF MARIJUANA OR MARIJUANA DERIVATIVES OR ANY OTHER ACTIVITIES ASSERTED TO BE AUTHORIZED OR ACTUALLY AUTHORIZED UNDER WASHINGTON STATE INITIATIVE NO. 502 OR ANY OTHER LAWS OF THE STATE OF WASHINGTON AND SETTING A DATE FOR A PUBLIC HEARING ON THE MORATORIUM, ADOPTING A WORK PLAN, PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, Initiative Measure No. 502 (I-502), approved by the voters of Washington state on November 6, 2012, purports to legalize the production, sale and use of marijuana products purchased from State licensed stores for adults age twenty-one (21) and over; and WHEREAS, 1-502 Section 1 (3) authorizes the state liquor control board to regulate and tax marijuana for persons twenty-one (21) years of age and older, and add a new threshold for driving under the influence of marijuana; and WHEREAS, I-502 Section 4 (1) allows the Washington State Liquor Control Board to license marijuana to process, package and label usable marijuana and marijuana-infused products for sale at wholesale to marijuana retailer; WHEREAS, I-502 Section 4 (3) allows the Washington State Liquor Control Board to license marijuana retailers to sell usable marijuana and marijuana-infused products at retail in retail outlets; and WHEREAS, I-502 Section 6 (7) states that before the Washington State Liquor Control Board issues a new or renewed license to an applicant, it must give notice to the application to the chief executive officer of the incorporated city, and the city has the right to file its written objection to such licenses within 20 days after transmittal of the notice of application, but the Board makes the final decision whether to issue a License; and WHEREAS, I-502 Section 6(8) establishes certain limitations on the Washington State Liquor Control Board's issuance of licenses for any premises that are within 1,000 feet of the perimeter of the grounds of any elementary school or secondary school, playground, recreati on Ordinance M-13-043/0rd.Moratorium Marijuana Page 1of8 facility, child care center, public park, public transit center or library, or any game arcade, admission to which is not restricted top persons aged twenty-one (21) years or older; and WHEREAS, I-502 Section 9 contemplates that the Washington State Liquor Control Board will adopt rules to implement the provisions of 1-502, which includes the equipment and management of retail outlets and premises where marijuana is produced and processed, and the inspection of same; methods of producing, processing, and packaging the marijuana and marijuana products; security requirements at such establishments; retail outlet locations and hours of operation; labeling requirements and restrictions on advertising of such products; licensing and licensing renewal rules; the manner and method to be used by licensees to transport and deliver marijuana and marijuana products (among other things); and WHEREAS, I-502 Section 10 contemplates that the Washington State Liquor Control Board will adopt procedures and criteria by December 1, 2013 for issuing licenses to produce, process and sell marijuana (among other things) and WHEREAS, I-502 Section 13 limits the number ofretail outlets to be licensed in each county, for the purpose of making useable marijuana and marijuana-infused products available for sale to adults twenty-one (21) years of age or over; and WHEREAS, I-502 decriminalizes, for purposes of state law, the production, manufacture, processing, packaging, delivery, distribution, sale or possession of marijuana, as long as such activities are in compliance with I-502; and WHEREAS, at this point in time, the City of Marysville does not have specific regulations addressing the facilities or uses identified in I-502, other than the requirement for a general business license; and WHEREAS, I-502 prohibits anyone from engaging in the activities identified in I-502 without first obtaining a license from the Washington State Liquor Control Board; and WHEREAS, the uses described in I-502 have never been allowed in any state or city in the United States, and City needs time to study the secondary land use impacts of these marijuana uses and the various development standards that should be considered to mitigate these impacts before adoption of any regulatory ordinance or issuance of any business license; and WHEREAS, the Marysville City Council hereby finds that a moratorium to preserve the status quo is necessary, until the State Liquor Control Board definitively acts to establish a final and complete set of rules for the licensing of all of the new marijuana facilities and uses identified in I-502, and until the City can study, draft, hold public hearings and adopt the appropriate land use and/or licensing regulations to address these new uses; and WHEREAS, RCW 36.70A.390 authorizes the City Council to adopt an immediate moratorium for a period of up to twelve months if a public hearing on the proposal is held within Ordinance M-13-043/0rd.Moratorium Marijuana Page 2 of8 at least sixty days of its adoption and a work plan is developed for related studies providing for the twelve-month moratoria period; and WHEREAS, the City Council desires to impose an immediate twelve month moratorium on the acceptance of any development permit application or business license or application for the siting, location or operation of any marijuana processor, marijuana producer, or marijuana retailer; and WHEREAS, RCW 69 .51 A. 140 authorizes cities to adopt and enforce zoning requirements, business licensing requirements, health and safety requirements, and business taxes pertaining to the production, processing, or dispensing of marijuana or marijuana products within their jurisdiction; and WHEREAS, RCW 36. 70A.390 provides that, "A county or city governing body that adopts a moratorium, interim zoning map, interim zoning ordinance, or interim official control without holding a public hearing on the proposed moratorium, interim zoning map, interim zoning ordinance, or interim official control, shall hold a public hearing on the adopted moratorium, interim zoning map, interim zoning ordinance, or interim official control within at least sixty days of its adoption, whether or not the governing body received a recommendation on the matter from the planning commission or department. lfthe governing body does not adopt findings of fact justifying its action before this hearing, then the governing body shall do so immediately after this public hearing. A moratorium, interim zoning map, interim zoning ordinance, or interim official control adopted under this section may be effective for not longer than six months, but may be effective for up to one year if a work plan is developed for related studies providing for such a longer period. A moratorium, interim zoning map, interim zoning ordinance, or interim official control may be renewed for one or more six-month periods if a subsequent public hearing is held and findings of fact are made prior to each renewal"; and WHEREAS, 35.63.200 provides a similar process as described above for adopting and extending land use moratoriums; and WHEREAS, moratoriums enacted under RCW 36.70A.390 and/or RCW 35.63.200 are methods by which local governments may preserve the status quo so that new plans and regulations will not be rendered moot by intervening development; and WHEREAS, the Marysville Municipal Code does not currently have specific provisions addressing licensing, producing, processing or retailing of recreational marijuana; and WHEREAS, in conformity with the responsibilities of the City of Marysville to meet public health, safety and welfare requirements and provide zoning and land use regulations pursuant to state law, and the City's authority to regulate land use activity within its corporate limits, the City intends to develop appropriate public health, safety and welfare requirements and zoning and land use regulations for the establishment of facilities producing, processing and retailing of recreational marijuana; and Ordinance M-13-043/0rd.Moratorium Marijuana Page3of8 WHEREAS, the City Council has determined it needs additional time to conduct appropriate research to analyze the effects of the pending rules and regulations to be established by the Washington State Liquor Control Board pursuant to I-502; and WHEREAS, a moratorium will provide the City with additional time to review and amend its public health, safety and welfare requirements and zoning and land use regulations related to the establishment of facilities producing, processing and retailing recreational marijuana as authorized by I-502; and WHEREAS, the City Council concludes that the City does have authority to establish a moratorium and that the City must adopt a moratorium concerning the filing , acceptance, and processing of new land use applications or licensing for the establishment of, or operation of, any facility, building or premises used for the production, processing or retailing of recreational marijuana, to protect the health, safety and welfare of the citizens of Marysville; and WHEREAS, In addition, the cultivation, possession or distribution of cannabis marijuana, and marijuana products has been and continues to be a violation of federal law through the Controlled Substances Act ("CSA"); and WHEREAS, the activities purported to be legalized under Initiative Measure No. 502 remain violations of federal law through the Controlled Substances Act, and the United States Supreme Court in Gonzales v. Raich, 545 U.S. I, (2005) which held that the CSA's categorical prohibition of the manufacture and possession of marijuana as applied to the intrastate manufacture and possession of marijuana for medical purposes superseded a conflicting California State law; and WHEREAS, two U.S. Attorneys (Federal Department of Justice) situated in Washington have gone on record stating that marijuana is a Schedule I controlled substance under federal law, and as such, growing, distributing and possessing marijuana in any capacity other than as part of a federally authorized research program is a violation of federal law, regardless of state laws permitting such activities, and also concluded publicly that local governmental employees who conducted marijuana regulatory activities under Washington State law are subject to prosecution under the CSA; and WHEREAS, in 2012, the Board of Clark County Washington Commissioners requested a determination from the federal government whether such enforcement efforts would extend to local government activities implementing Washington state laws on marijuana, where those laws conflict with the CSA, and the responsive letter from Joseph T. Rannazzisi, Deputy Assistant Administrator, Office of Division Control, U.S. Department of Justice, Drug Enforcement Administration, states that anyone who knowingly carries out the marijuana activities contemplated by Washington state law which are inconsistent with the CSA, as well as anyone who facilitates such activities, or conspires to commit such violations of the CSA, is subject to criminal prosecution as provided in the CSA, including both local elected officials and local government staff; and Ordinance M-13-043/0rd.Moratorium Marijuana Page4of8 WHEREAS, the recently approved Initiative Measure No. 502 does not appear to change the basis for the analysis by the U.S. Attorneys, and any State or local officials who undertake marijuana regulatory activities remain subject to federal prosecution; and WHEREAS, because prior to the passage oflnitiative Measure No. 502, the possession or distribution of marijuana was a violation of both the Washington Uniform Controlled Substances Act and a violation of the federal CSA, the City has not studied or implemented zoning for uses involving the production or distribution of marijuana; and WHEREAS, the City requires time to conduct appropriate research to understand the extent and validity of the changes provided in the new law to analyze impacts and potential liabilities under federal law and to determine an appropriate regulatory framework for the uses and activities that are allowed under Initiative Measure No. 502; and WHEREAS, in addition to the legal issues, the City must study, without limitation, the impacts of the location of uses and facilities for the production, sale and use of marijuana products and the siting of marijuana cultivation facilities, facilities for the creation of marijuana products, and State licensed marijuana stores in commercial and residential zones, as well as impacts arising from the proximity of these uses, activities and facilities to schools, day cares, parks, religious and cultural facilities, and accordingly the City Council finds that a zoning, licensing and permitting moratorium should be established pending local review of appropriate locations and design requirements of these operations and impacts of the newly amended law and its interaction with federal law; and WHEREAS, the City Council adopts the foregoing as its findings of facts justifying the adoption of this ordinance; NOW THEREFORE, the City Council of the City of Marysville, Washington do ordain as follows: Section 1. Preliminary Findings. The recitals and findings set forth above are hereby adopted as the City Council preliminary findings in support of the moratorium imposed by this ordinance in compliance with RCW 36.?0A.390 and RCW 35.63.200. The City Council may in its discretion adopt additional findings at the conclusion of the public hearing referenced in Section 6 below. Section 2. Moratorium Imposed. Pursuant to Washington State law, a moratorium is hereby enacted prohibiting within the City of Marysville the establishment, siting, location, operation, licensing, or maintenance of facilities, structures, businesses or any other activities involving the production, sale and use of marijuana and marijuana products asserted to be authorized or actually authorized under Washington State Initiative No. 502 or any other laws of the state of Washington (Marijuana Business). No building permit, occupancy permit, or other development permit or approval shall be issued for any of the purposes or activities listed above and no business license shall be granted or accepted while this moratorium is in effect. Any land use permits, business licenses, or other permits for any of these operations that are issued as a result of error or by use of vague or deceptive Ordinance M-13-043/0rd.Moratorium Marijuana Page 5 of8 descriptions in any license or development application during the moratorium are null and void and without legal force or effect. Section 3. Definition of Marijuana Use. As used in this ordinance the following list of terms shall have the meaning set forth below: Marijuana Definitions. "Marijuana Use" includes any store, agency, organization, dispensary, cooperative, network consultation, operation, or other business entity, group or person, no matter how described or defined, including any associated premises and equipment which has for its purpose or which is used to grow, select, measure, process, package, label, deliver, dispense, sell or otherwise transfer for consideration, or otherwise, marijuana in any form. "Cannabis or Marijuana" means all parts of the plant Cannabis, whether growing or not, with a THC concentration greater than 0.3 percent on a dry weight basis; 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 Ordinance, "cannabis" or "marijuana" 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. "Marijuana processer" means a person licensed by the State Liquor Control Board to process marijuana into useable marijuana and marijuana-infused products, package and label usable marijuana and marijuana-infused products for sale in retail outlets, and sell usable marijuana and marijuana-infused products as wholesale to marijuana retailers. "Marijuana producer" means a person licensed by the State Liquor Control Board to produce and sell marijuana at wholesale to marijuana processors and other marijuana producers. "Marijuana-infused products" means products that contain marijuana or marijuana extracts and are intended for human use. The term "marijuana infused products" does not include useable marijuana. "Marijuana retailer" means a person licensed by the State Liquor Control Board to sell usable marijuana and marijuana-infused products in a retail outlet. "Retail outlet" means a location licensed by the State Liquor Control Board for the retail sale of useable marijuana and marijuana-infused products. "Usable marijuana" means dried marijuana flowers. The term "usable marijuana" does not include marijuana-infused products. Ordinance M-13-043/0rd.Moratorium Marijuana Page6of8 Section 4. No Nonconforming Uses. No use that constitutes or purports to be a Marijuana Use as that term is defined in this ordinance that was engaged in that activity prior to the enactment of this ordinance shall be deemed to have been a legally established use under the provisions of the Marysville Municipal Code and that use shall not be entitled to claim legal nonconforming status. Section 5. Effective Period for Moratorium. The moratorium set forth in this ordinance shall be in effect for a period of twelve (12) months from the date this ordinance is passed and shall automatically expire at the conclusion of that twelve (12) month period unless the same is extended by the City as provided in State law or unless terminated sooner by ordinance. Section 6. Public Hearing. The City Council held a public hearing at the regular City Council meeting of September 9, 2013 at 7:00 p.m. in order to take public testimony. Section 7. Work Program. The work plan is attached as Exhibit A to this ordinance. The City Administrator and other responsible staff are hereby authorized to study and address issues related to determining the legality of Marijuana Uses as defined herein, including but not limited to review of the pending dispute between State and federal law enforcement authorities regarding the legality of Marijuana Uses under any circumstances and notwithstanding the adoption of Initiative Measure No. 502. In the event that such uses are ultimately determined to be legal, the work program should also develop appropriate land use regulations pursuant to the newly amended law, for review and recommendation for inclusion in the zoning regulations or other provisions of the Marysville Municipal Code, including business licensing and other regulations for review for inclusion in the Marysville Municipal Code. Section 8. Severability. If any section, subsection, paragraph, sentence, clause, or phrase of this ordinance or its application to any person or situation should be held to be invalid or unconstitutional for any reason by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining portions of this ordinance or its application to any other person or situation. Section 9. Effective Date. This Ordinance shall become affective five (5) days following passage and publication as required by law. Ordinance M-13-043/0rd.Moratorium Marijuana Page 7 of8 PASSED by the City Council and APPROVED by the Mayor this 94-'I day of 3i_pie~nV~Ol 3. ::TE@~ Apnl O'Brien, Deputy City Clerk Approved as to form: si)~ (,,}_g/J · Grant Weed, City Attorney Date of Publication: qj (I { Effective Date : qjz;J:;· Ordinance M-13-043/0rd.Moratorium Marijuana CITY OF MARYSVILLE Page 8of8 Exhibit A-Recreational Marijuana Regulations Work Plan Date* Step Principle or Reqnirement September 9, City Council public hearing to Moratorium Ordinance 2013 consider work plan, draft 12 months effective from date of passage-regulations and adoption of moratorium for twelve (12) months. through 9/8/14. Washington State Liquor Control October 16, 2013 Board (WSLCB) adoption of Rulemaking process proposed rules concerning Initiative 502 November 16, WSLCB rules become effective Rulemaking process 2013 November 18-WSLCB accepts applications for December 18, producer, processor and retail 1-502 timeline for implementation 2013 licenses Committee review (Committee Review of adopted WSLCB rules and November 12, composed of Council, Planning preliminary information compiled and 2013 Commission, citizens/businesses) reviewed by Community Development, Legal and Police staff. December 17, Committee recommendation on Recommendation to Planning 2013 draft regulations Commission December 30, Notice of intent to amend Final adoption 60 days after notice or 30 2013 development regulations sent to days if expedited review is allowed; Dept. of Commerce February I or March I, 2014 January 10, 2014 SEP A determination 14-day comment/appeal period ending January 24, 2014 Planning Commission workshop on January 28, 2014 permanent regulations and committee recommendations March 11, 2014 Planning Commission public I 0 day notice before hearing required hearing City Council workshop and April 7/14, 2014 potential public hearing on I 0 day notice before hearing required proposed regulations 9/09/13 Marysville work plan.doc Exhibit A-Recreational Marijuana Regulations Work Plan April 19, 2014 Ordinance published Saturday after the Monday City Council meeting April 24, 2014 Effective date of ordinance 5 days after publication Date Permanent Regulations Re• nired to be Adopted September 8, 12 months after moratorium 2014 adopted *Some dates may be subject to change based on scheduling needs of the Planning Commission and/or City Council and the City Council may adjust such dates by motion at meetings open to the public 9/09/13 Marysville work plan.doc