Recommended Santa Barbara County Cannabis Ordinance

Recommended Santa Barbara County Cannabis Ordinance

Tuesday, February 14, 2017

Prepared by the Cannabis Business Council of Santa Barbara County

Please direct comments/questions to: info@cannabizcouncilsb.org www.cannabizcouncilsb.org

The following is proposed language to amend Santa Barbara County Ordinance Article X Medical Cannabis Regulations and to amend Santa Barbara County Ordinance Article V Right to Farm Section 2-23(b)(2) to provide regulation of cannabis under the Medical Cannabis Regulation and Safety Act (MCRSA) and the Adult Use of Marijuana Act (AUMA)

AN ORDINANCE OF THE BOARD OF SUPERVISORS OF SANTA BARBARA COUNTY AMENDING AND ADOPTING, CHAPTER 35 ARTICLE X MEDICAL CANNABIS AND ADULT USE COMMERCIAL CANNABIS REGULATIONS; CHAPTER 3, ARTICLE V, SECTION 2-23 (b)(2) RIGHT TO FARM; CHAPTER 22 LICENSES, SECTION 22-74.

Whereas the Board of Supervisors of the County of Santa Barbara finds and declares:

A. The adoption of this Ordinance is necessary and desirable to protect the public safety, health and environmental resources, and to ensure safe access to cannabis for patients under the Medical Cannabis Regulation and Safety Act (MCRSA) and for adults over the age of 21 under the Adult Use of Marijuana Act.

B. The adoption of this Ordinance is consistent with the clear direction given by the people of California and the voters of Santa Barbara County regarding ending of the prohibition of cannabis. On November 8, 2016, with the Passage of Proposition 64, the Adult Use of Marijuana Act (AUMA), the people of California and the voters of Santa Barbara County sent a clear message that they support the end of prohibition and the reasonable regulation of cannabis by state and local governments. Proposition 64 passed with the support of over 61 percent of the voters in Santa Barbara County, exceeding the statewide support for Proposition 64 (57%) by over four percent.

C. The adoption of this Ordinance provides a regulatory path to permit existing cannabis cultivators to pursue state licenses and permits under the Medical Cannabis Regulation and Safety Act MCRSA and the Adult Use of Marijuana Act AUMA and provides a path for Santa Barbara County to permit other cannabis businesses as allowed for under state law, including cannabis delivery, cannabis manufacturing facilities, cannabis testing facilities, and cannabis dispensaries. Seventeen license types were established under MCRSA in Bus. & Prof. Code section 19300.7 and Bus. & Prof. Code section 19332(g), including: cultivation Types 1-4; manufacturing, license Types 6-7; testing, Type 8; dispensary Types 10 and 10A; distribution, Type 11 and transportation Type 12. Nineteen license types were established under AUMA in Bus. & Prof. Code section 26050, including: cultivation Types 1-5; manufacturing, Type 8; retailers, Type 10; distribution, Type 11, and Microbusiness, Type 12.

D. Recognizing that cannabis cultivation has existed in Santa Barbara County to address the needs of patients, on January 19, 2016, the Board of Supervisors adopted medical cannabis regulations that provided a limited exemption as a

"legal non-conforming use" for cultivation sites, legal under state law, operating prior to the adoption of the regulations.

E. In 1996 the voters of California approved Proposition 215, "The Compassionate Use Act" (codified as Health and Safety Code Section 11362.5), which was intended to decriminalize cultivation and possession of medical cannabis by a seriously ill patient, or the patient's primary caregiver, for the patient's personal use.

F. In 2004, the State enacted SB 420 (known as the "Medical Marijuana Program Act", codified as Health and Safety Code Section 11362.7 et seq.) to expand and clarify the scope of The Compassionate Use Act of 1996 by creating the Medical Marijuana Identification Card program, creating reasonable regulations for cultivating, processing, transporting and administering medical cannabis, as well as limiting the amount of medical cannabis a qualified individual may possess.

G. In 2015, the State enacted the Medical Marijuana Regulation and Safety Act (MMRSA) on (SB 643, AB 266, and AB 243), instituting a comprehensive state-level licensure and regulatory scheme for cultivation, manufacturing, distribution, transportation, laboratory testing, and dispensing of medical cannabis through numerous changes and additions to the Business & Professions Code and the Health and Safety Code. MMRSA legalizes and regulates for-profit commercial activity related to medical cannabis in California. MMRSA provides that cities and counties retain local regulatory authority over medical cannabis.

H. On June 27, 2016 the Governor signed SB 837, changing the term "marijuana" to "cannabis" and renaming the Medical Cannabis Regulation and Safety Act (MCRSA).

I. Under MCRSA and AUMA, the State will adopt a comprehensive licensing and enforcement scheme, including track and trace, consistent with allowing local governments to regulate and control medical cannabis and adult use cannabis.

J. This Ordinance provides for a well-regulated permitting process for commercial cannabis activities, including the agricultural cultivation and/or processing of cannabis; cannabis delivery; cannabis manufacturing facilities; cannabis testing facilities; and, cannabis dispensaries allowed under the Medical Cannabis Regulation and Safety Act (MCRSA) and the Adult Use of Marijuana Act (AUMA), within the unincorporated portion of Santa Barbara County.

K. Properly regulated and controlled cannabis cultivation can play an important part in promoting the recognized public policy goals of preserving, supporting, and expanding the growth of Santa Barbara County agriculture.

L. The cultivation of cannabis is consistent with the long historic tradition of encouraging agriculture as stated in the Agricultural Element of the Santa Barbara County Comprehensive Plan under. Goal 1 of the Agricultural Element which states: "Santa Barbara County shall assure and enhance the continuation of agriculture as a major viable production industry in Santa Barbara County. Agriculture shall be encouraged. Where conditions allow (taking into consideration environmental impacts) expansion and intensification shall be supported."

M. Cannabis cultivation is consistent with Agriculture Element, Policy 1.B which states, "The County shall recognize the rights of operation, freedom of choice as to the methods of cultivation, choice of crops or types of livestock, rotation of crops and all other functions within the traditional scope of agricultural management decisions."

N. The cultivation of cannabis is consistent with Santa Barbara County ordinances adopted to support the preservation and expansion of greenhouses.

O. Cannabis cultivation can be a benefit to Santa Barbara County’s “traditional” agricultural economy and associated business in Santa Barbara County and allow greenhouses and outdoor growing facilities to be regulated, controlled, and expanded where appropriate in order to preserve and protect the county’s horticultural and agricultural tradition.

P. Cannabis cultivation encourages the economic recovery and resurgence of long-standing Santa Barbara businesses, land owners, their employees, and associated businesses (construction, irrigation, suppliers, etc.), resulting in revenue for the County and its essential programs.

Q. The Agriculture Commissioner is best equipped and qualified to determine the permitting of locations for the commercial cultivation of medical cannabis and the commercial cultivation of adult use cannabis to ensure that such cultivation is fully integrated with Santa Barbara’s rich agricultural tradition, while respecting fully the protection of county environmental resources consistent with traditional agricultural practices.

R. In order to efficiently enforce, track, and trace and to better promote the conservation of natural resources, and to ensure environmental protection, and the rational use of scarce water resources, medical cannabis cultivation and commercial cannabis cultivation shall be encouraged to be concentrated at locations where it is feasible to site multiple permits on a parcel, which would qualify under MCRSA and AUMA.

S. In order to promote the responsible growth and development of medical cannabis cultivation and commercial cannabis cultivation ownership and employment restrictions should not exceed those in state law.

T. An Initial Study and Negative Declaration was prepared and circulated to the public for a 30-day period from (dates to be included when study complete). The Negative Declaration has been reviewed and considered, together with comments received during the public review process, in accordance with the California Environmental Quality Act (CEQA) and County CEQA Guidelines. The Board finds on the basis of the whole record before it that the Negative Declaration reflects the independent judgment and analysis of the Board and that there is no substantial evidence that the project will have a significant effect on the environment. The Director of Planning and Development is directed to file a Notice of Determination in accordance with CEQA.

The Santa Barbara County Board of Supervisors do hereby enact the following amendments to the Santa Barbara County Code.

THEREFORE, together with such regulations adopted by the California Bureau of Medical Cannabis Regulation and the California Bureau of Cannabis Control, the Board of Supervisors of the County of Santa Barbara ordains as follows:

The following amendments to Chapter 35 ARTICLE X. - MEDICAL CANNABIS AND ADULT USE COMMERCIAL CANNABIS REGULATIONS are adopted:

Sec. 35-1001. - Purpose and authority.

A. The purpose of this article is to enact county regulations for:

1. The agricultural cultivation and/or processing of medical cannabis and adult use commercial cannabis.

2. Cannabis delivery.

3. Cannabis transportation and distribution.

4. Cannabis manufacturing facilities.

5. Cannabis testing facilities.

6. Cannabis dispensaries.

B. This article is enacted in accordance with the authority granted to counties by the California Constitution and California state law, including, but not limited to, the Adult Use of Marijuana Act, the Medical Cannabis Regulation and Safety Act, the Compassionate Use Act, and Medical Cannabis Program Act.

Sec. 35-1002. - Definitions.

If any of the definitions in this article conflict with definitions in other provisions of the County Code, these definitions shall control for the purposes of this article. If a word is not defined in this article, or in other provisions of the Santa Barbara County Code or the Adult Use of Marijuana Act, or the Medical Cannabis Regulation and Safety Act, the Agriculture Commission shall determine the correct definition utilizing the latest edition standard dictionary.

Unless otherwise specifically provided in this article, words and phrases used in this article are defined as follows:

Agricultural Commissioner. Agricultural Commissioner shall mean the Agricultural Commissioner of Santa Barbara County.

County. County shall mean Santa Barbara County.

Identification Card. Identification card shall have the meaning set forth in the California Health and Safety Code Section 11362.7.

Cannabis or Marijuana. Cannabis, or marijuana, shall have the meaning set forth in the California Business and Professions Code Section 19300.5(f), the Medical Cannabis Regulation and Safety Act, as it was enrolled in 2015 in AB 266. This definition also includes medical marijuana or medical cannabis. Cannabis or Marijuana has the same meaning as in Section 11018 of the Health and Safety Code, except that it does not include cannabis that is cultivated, processed, transported, distributed, or sold for medical purposes under Chapter 3.5 of Division 8, as provided for in Business and Professions Code Section 26001(s) of the Adult Use of Marijuana Act.

Commercial Cultivation of Cannabis. “Commercial Cultivation of Cannabis” means any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis, as provided for in Business Professions Code Section 26001(e) of the Adult Use of Marijuana Act.

Cultivation Site. "Cultivation site" shall have the meaning set forth in the California Business and Professions Code Section 19300.5(x), the Medical Cannabis Regulation and Safety Act, as it was enrolled in 2015 in AB 266. Cultivation, or medical cannabis cultivation, includes the processing of cannabis for medical purposes. Medical Cannabis Cultivation site and Adult Use Commercial Cannabis Cultivation site shall include indoor, outdoor, and mixed-light cultivation sites.

Delivery. "Delivery" means the commercial transfer of cannabis or cannabis products to a customer, up to an amount allowed under state law, to persons authorized under state law to receive cannabis or cannabis products.

Dispensary. "Dispensary" means a facility where cannabis, cannabis products, or devices for the use of cannabis or cannabis products are offered, either individually or in any combination, for retail sale, including an establishment that delivers cannabis and cannabis products as part of a retail sale.

Distribution. "Distribution" means the procurement, sale, and transport of cannabis and cannabis products between entities licensed pursuant to this chapter.