HomeMy WebLinkAbout3292 Amending AMC 6.50 to Reflect Marijuana Retail Regulations ORDINANCE NO. 3292
AN ORDINANCE AMENDING AMC CHAPTER 6.50 TO REFLECT MARIJUANA
RETAIL REGULATIONS
Annotated to show deletions and additions to the Ashland Municipal Code sections being
modified. Deletions are bold lined through, and additions are bold underlined.
WHEREAS,Article 2. Section I of the Ashland City Charter provides:
Powers of the City. The City shall have all powers which the constitutions, statutes, and
common law of the United States and of this State expressly or impliedly grant or allow
municipalities, as fully as though this Charter specifically enumerated each of those
powers, as well as all powers not inconsistent with the foregoing; and, in addition thereto,
shall possess all powers hereinafter specifically granted. All the authority thereof shall
have perpetual succession.
THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS:
SECTION 1. Chapter 6.50 MEDICAL MARIJUANA DISPENSARIES RETAILER
6.50.010 Purpose
The purpose of this chapter is to minimize any adverse public safety and public health impacts
that may result from allowing,mtdieall-marijuana dispensaries and retailers in the City by
adopting particular time, place and manner requirements and a separate permitting process for
such dispensaries. (Ord. 3099, amended, 2014)
6.50.020 Definitions
A. "Administrator"ineans the City Manager of the City of Ashland or his/her designee.
B. "CFR Schedule I or Schedule 11"means the controlled substances designated in the Code of
Federal Regulations Title 21, Chapter 11, Part 1308.
C. "Company Principal"means a person who is an officer or director of a legal entity or has a
controlling interest in the entity,through ownership or control of 10% or more of the stock in the
entity or 10% or more of the total membership interest in the entity or 10% or more of the total
investment interest in the entity.
D. "Convicted"means found guilty by verdict or finding entered in a criminal proceeding in a
court of competent jurisdiction.
E. "Dispensary"means a-medie-0 marijuana dispensary, and or marijuana retailer, licensed
by the Oregon Liquor and Cannabis Commission to sell marijuana items to consumers.
F. "Financial Interest" exists when a person,the person's immediate family, or a legal entity of
which the person is a company principal (1) receives or is entitled to receive directly or indirectly
any of the benefits of the dispensary; (2) rents or leases real property to the operator for use by
the business; (3)rents or leases personal property to the operator for a commercially
unreasonable rate; (4) tends or gives money, real property or personal property to the operator for
use in the business. For purposes of this section, monies owed to suppliers and contractors for the
ORDINANCE NO. 3292 Page 1 of 6
reasonable cost of goods and services received do not constitute a financial interest in a
dispensary.
G. "Marijuana"means all parts of the plant of the Cannabis Moraceae, whether growing or not,
the resin extracted from any part of the plant, and every compound, manufacture, salt, derivative,
mixture, or preparation of the plant or its resin, as may be defined by Oregon Revised Statutes as
they currently exist or may from time to time be amended. It 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 predation 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.
14. ",'Wedieal Marijuana" means all' parts of !ants that may be used4o4reat-o-P
alleviate-a qualify: dei.i.a....., me
eon— .....offis assoeiated with
the patieaVs _e..... ....g. medieal eondition.
1. H . "Aledieal Marijuana Dispensary" means a medical marijuana facility that is registered by
the Oregon Health Authority under ORS 475.300 through 475.346- Chapter 475C and that
sells, distributes, transmits, gives, dispenses or otherwise provides medieal marijuana,
recreationally or otherwise,to medical marquana qualifying patients consumers.
X I. " "Medical Marijuana Qualifying Patient" means a registry identification cardholder
(person who has been diagnosed by a physician as having a debilitating medical condition) as
further defined by ORS 475.302(3) or the designated primary caregiver of the cardholder as
defined by ORS 475.302(5).
K. J. "Minor"means any person under 18 years of age.
L-. K. "Operator"means the person who is the proprietor of a dispensary, whether in the
capacity of owner, lessee, sub-lessee,mortgagee in possession, licensee or any other capacity. If
the operator is a corporation,the term "operator" also includes each and every member of the
corporation's Board of Directors whose directorship occurs in a period during which the
dispensary is in operation. If the operator is a partnership or limited liability company, the term
"operator" also includes each and every member thereof whose membership occurs in a period
during which the dispensary is in operation.
A4—. L. "Person"means natural person,joint venture,joint stock company,partnership,
association, club, company, corporation, business,trust, organization, or any group or
combination acting as a unit, including,the United States of America, the State of Oregon and
any political subdivision thereof, or the manager, lessee, agent, servant, officer or employee of
any of them.
N. M. "Premises"means a location registered by the State of Oregon as a Mariivana
Dispensary marquana dispensary and includes all areas at the location that are used in the
business operated at the location, including offices, kitchens, restrooms, storerooms, and
including all public and private areas where individuals are permitted to be present. (Ord. 3192
§ 81, amended, 11/17/2020; Ord. 3099, amended, 2014)
6.50.030 Annual Permit Required
The operator of any Marijuana Dispensary medieal mar-quana dispensaFy in the City must
possess a valid annual Marijuana Dispensary medieal marijuana dispensaimy permit issued
under this chapter and must comply with the requirements of any other state or local law or
regulation. The pen-nit terms shall be for a fiscal year, beginning July I and ending June 30 of the
next year. (Ord. 3099, amended, 2014)
ORDINANCE NO. 3292 Page 2 of 6
6.50.040 Initial Permit Application and Fee
A. Application forms for Marijuana Dispensary medical marijuana dispensa permits will
be available at City offices.Applications for initial and Marijuana Dispensary medieal
a dispensatzy permits must be submitted to the City and must be signed under penalty
of perjury. The application documents must include at least the following:
1. The location of the proposed facility.
2. The true names and addresses and any aliases of the persons that have, or have had
within the preceding year, a financial interest in the dispensary.
3. A detailed description of the type, nature and extent of the enterprise to be conducted
at the proposed facility.
4. A detailed description of the proposed accounting and inventory systems for the
dispensary.
5. Certification that the proposed dispensary is registered as an Oregon medieft!
marijuana facility pursuant to ORS 475.300 to 475346 475C.and is licensed to conduct
business in compliance with Chapter 6.04 of the Ashland Municipal Code.
6. Certification that the proposed dispensary has met all applicable requirements in
Title 18 Land Use of the Ashland Municipal Code.
7. Certification that all current fees and taxes owed have been paid.
B. At the time of submission of an initial dispensary permit application,the applicant must pay a
dispensary permit application and investigation fee. The fee amount shall be set by Council
resolution. No portion of the dispensary permit fee is refundable in the event operation of the
dispensary is discontinued for any reason.
C. A separate permit application must be submitted for each proposed dispensary location. (Ord.
3099, amended, 2014)
6.50.050 Permit Termination —Renewal—Fee
A. A dispensary permit terminates automatically on June 30 of each year, unless a permit
renewal application is approved.
B. A dispensary permit terminates automatically if federal or state statutes, regulations or
guidelines are modified, changed, or interpreted in such a way by state or federal law
enforcement officials as to prohibit operation of the dispensary under this ordinance.
C. A permit renewal application shall include information similar in nature to that provided on
the permittee's initial permit application and must be submitted to the City prior to expiration of
the permit.
D. At the time of submission of a dispensary permit renewal application,the permittee must pay
a dispensary permit renewal application and investigation fee. The fee amount shall be set by
Council resolution. (Ord. 3099, amended, 2014)
6.50.060 Permit Conditions
Any Marijuana Dispensary must comply with the following
requirements, in addition to any other state or local requirements:
A. The dispensary must have a current City business license.
B. The dispensary must meet applicable land-use, building and fire codes.
C. The dispensary must not manufacture or produce any extracts, oils, resins or similar
derivatives of marijuana on-site and must not use open flames in the preparation of any products.
ORDINANCE NO. 3292 Page 3 of 6
D. Marijuana and tobacco products must not be smoked, ingested or otherwise consumed on the
premises of the dispensary.
E. Operating hours for retail sales to At Marijuana Qualifying P-a+c,,,,+� must be no
earlier than 9±00 a.m. 8:00 a.m. or later than 7!00 p.m 10:00 p.m. on the same day.
F. The dispensary must utilize an air filtration and ventilation system which,to the greatest
extent feasible, confines all objectionable odors associated with the dispensary to the premises.
For the purposes of this provision,the standard for judging"objectionable odors" shall be that of
an average, reasonable person with ordinary sensibilities after taking into consideration the
character of the neighborhood in which the odor is made and the odor is detected.
G. The dispensary must not be co-located on the same property or within the same building with
any marijuana social club or smoking club.
H. No minor is allowed on the premises unless the minor is a medieal mar-ijuana-Medical
Marijuana Qualifying Patient cardholder-authorized by the State of Orel4on and is
accompanied by a parent or guardian whose for the -purpose is to proetir-e of obtaining the
minor's medicine.Ne fflinef is allewed to entef-the Minors are prohibited from enterinJ4 any
area of the facility where medieal-marijuana products are 4S present.
1. A person who has been convicted in any state for the manufacture or delivery of a controlled
substance listed in CIR Schedule I or Schedule 11 once or more in the previous five years or
twice or more in the person's lifetime may not be an operator or employee of a dispensary
proposed or operating in the City or have a financial interest in a dispensary in the City.
J. The Ddispensary must have an accounting system specifically designed for enterprises reliant
on transactions conducted primarily in cash and sufficient to maintain detailed, auditable
financial records. If the Administrator finds the books and records of the operator are deficient in
any way or if the operator's accounting system is not auditable, the operator must modify the
dispensary's accounting system to meet the requirements of the Administrator.
K. Every dispensary must keep and preserve, in an accounting format established by the
Administrator,records of all sales made by the dispensary and such other books or accounts as
may be required by the Administrator. Each dispensary operator must keep and preserve for a
period of at least three (3)years records containing at least the following information:
1. True names and any aliases of any operator of the dispensary, as that term is defined in
Section 6.50.020.N of this chapter;
2. True names and addresses and any aliases of persons that have, or have had within the
preceding year, a financial interest in the dispensary; and
3. The Administrator may require additional information as he or she deems necessary.
L. Each dispensary must display its current permit inside the dispensary in a prominent place
easily visible to persons conducting business in the dispensary.
M. Sales or any other transfers of marijuana products on the dispensary premises must occur
inside the dispensary building and must be conducted only between the dispensary an444edmie-0
Marijuana Qualifying Patients. and individuals authorized to purchase marijuana
products under state law. (Ord. 3099, amended, 2014)
6.50.070 Examination of Books,Records and Premises
A. To determine compliance with the requirements of this chapter; Title 18 Land Use of the
Ashland Municipal Code; and any local tax measures, the Administrator may examine or cause
to be examined by an agent or representative designated by the Administrator, at any reasonable
time, the premises of the dispensary, including wastewater from the dispensary, and any and all
ORDINANCE NO. 3292 Page 4 of 6
dispensary financial, operational and facility information, including books,papers, payroll
reports and state and federal income tax returns. Every permittee is directed and required to
furnish to the Administrator the means, facilities and opportunity for making such examinations
and investigations.
B. As part of investigation of a crime which law enforcement officials reasonably suspect has
taken place on the premises,Ashland Police shall be allowed to view surveillance videotapes at
any reasonable time. (Ord. 3099, amended, 2014)
6.50.080 Administrative and Other Remedies for Noncompliance,Administrative Appeals,
and Penalties
A. The Administrator may deny, suspend, or revoke a dispensary permit for failure to comply
with this chapter or rules adopted under this chapter, for submitting falsified information to the
City for the Oregon Health Authority, or for noncompliance with any other City ordinances.
1. Any suspension or revocation pursuant to this section shall be in writing, setting forth the
reasons therefore, and giving the permittee written notice by first-class United States Mail at
least five days prior to effective date of the revocation or suspension.
2. A decision to deny, suspend, or revoke a dispensary permit may be appealed as provided in
AMC 2.30. The findings of the hearings officer shall be final and conclusive, and shall be served
upon the appellant in the manner prescribed for service of notice of hearing.
B. In addition to the remedies of suspension and revocation, failure to comply with the
requirements of this chapter may be prosecuted as a Class I violation,punishable as provided in
AMC 1.08.020 through 1.08.030.
C. In addition to the remedies of suspension and revocation, submitting false or fraudulent
information to the City may be prosecuted as a Class C misdemeanor, subject to AMC 1.08.
D. The remedies provided in this section are not exclusive and shall not prevent the City from
exercising any other remedy available under the law, nor shall the provisions of this chapter
prohibit or restrict the City or other appropriate prosecutor from pursuing criminal charges under
state law or City ordinance. (Ord. 3099, amended, 2014)
6.50.090 Confidentiality
Except as otherwise required by law, it shall be unlawful for the City, any officer, employee or
agent to divulge, release or make known in any manner any financial or employee information
submitted or disclosed to the City under the terms of this chapter. Nothing in this section shall
prohibit:
A. The disclosure of the names and addresses of any operator or provider of equity or debt
financing for a dispensary; or
B. The disclosure of general statistics in a form which would pre-vent identification of financial
information regarding a dispensary operator; or
C. The presentation of evidence to a court, or other tribunal having jurisdiction in the
prosecution of any criminal or civil claim by the City under this chapter; or
D. The disclosure of information when such disclosure of conditionally exempt information is
ordered under public records law procedures. (Ord. 3099, amended, 2014)
SECTION 5. Severability. Each section of this ordinance, and any part thereof, is severable,
and if any part of this ordinance is held invalid by a court of competent jurisdiction,the
remainder of this ordinance shall remain in full force and effect.
ORDINANCE NO. 3292 Page 5 of 6
SECTION 6. Codification. Provisions of this Ordinance shall be incorporated in the City Code
and the word "ordinance"may be changed to "code", "article", "section", "chapter" or another
word, and the sections of this Ordinance may be renumbered, or re-lettered,provided however
that any Whereas clauses and boilerplate provisions (i.e. Sections 3-5)need not be codified and
the City Recorder is authorized to correct any cross-references and any typographical errors.
The foregoing ordinance was first read by title only in accordance wi h�isle X, Section
2(C) of the City Charter on the_ day of a , 202 'afikl duly
PASSED and ADOPTED this _day of , 202/.&At�
PASSED by the City Council this _day of (j 202A
ATTEST:
lissa o o ms i, My Recorder
1
SIGNED and APPROVED this day of M a� 202��
Tonya Graham,Mayor
Revi d as
a, C Attorney
ORDINANCE NO. 3292 Page 6 of 6