Public hearing followed by discussion and possible action on any and all matters regarding Text Amendment Case No. 2021-050 and Ordinance No. 410. An ordinance of the Mayor and City Council of San Luis, Arizona by amending Section 152.013 definitions and Section 152.225 Medical Marijuana to provide for the regulations of marijuana establishments and/or marijuana testing facilities; repealing conflicting provisions; and providing for severability; and declaring an emergency.  (Jose A. Guzman, Director of Planning & Zoning)

A. Open public hearing B. Close public hearing
C. Action on Reading of Ordinance No. 410 by title only.
    (Clerk to read the ordinance by title only)
D. Action on Ordinance No. 410

To adjust to the new law for recreational marijuana (referred to in the new laws as "responsible adult use") passed by the voters on November 3, 2020, by Proposition 207, on December 9, 2020, Council passed:

Ordinance No. 403, General Regulation and
Ordinance No. 404, Mirror Ordinance 403, but is part of the Zoning Code.
Under the city's ordinances 403 and 404, adult-use marijuana establishments must also be licensed medical marijuana establishments.

Because the Arizona Department of Health Services ("ADHS") did not issue medical marijuana licenses for San Luis yet, adult-use marijuana establishments would not be eligible to apply for licensing in San Luis during the window of opportunity between January 19 through March 9, 2021, for early applications.

The city has received requests to apply for adult-use marijuana establishments.  If the applicants are ineligible during the January 19 through March 9 application period, it is not known when the ADHS will open again to receive applications.  There is no timeline set up for it.  Cities must fill out a form for ADHS giving the following information:

Whether the location of the proposed marijuana establishment complies with local zoning restrictions related to where a marijuana establishment may be located, subject to the requirements outlined in local zoning ordinances such as a use permit, variance, or other requirements necessary for the proposed marijuana establishment to open and operate at this location.

Adult Use Marijuana Establishments Stand Alone from Medical Marijuana Dispensaries
This ordinance and the companion Ordinance 409 on a separate agenda item amend ordinances 402 and 403 to allow adult-use marijuana establishments with the state licenses for adult-use marijuana without requiring a medical marijuana license.  The locations where either type of business are allowed remain the same. (Please see the attached map)

Immediately Effective
For this ordinance and the companion ordinance to be in effect before ADHS's March 9, 2021 deadline, the ordinance would need to be passed by a vote of 6 Council Members with a declaration of emergency.  However, if it is passed without an emergency clause or with a simple majority of the quorum, staff would still be able to fill out the form and explain that the Ordinance will become law on March 12.

After the initial writing of this agenda item, legal and Planning & Zoning staff reconsidered the recommendation to make the ordinances immediately effective.  As a general policy matter, the City Attorney prefers to use the emergency declaration sparingly, and the P&Z Director is of the same mind.  Since the staff can provide the form to ADHS for applicants with the explanation that the zoning ordinance will be effective on March 12, 2021, the staff is recommending that both ordinances pass without the emergency declaration.

However, both versions of the ordinances are available if the City Council prefers that the ordinances pass and become effective immediately with the emergency clause.

CITIZEN REVIEW:
As required by State Statute and the City Code, a Citizen Review Meeting was held on January 2, 2021, at 6:00 P.M., do to the pandemic, this meeting was conducted via teleconference. Notice of the meeting was published in the local newspaper and the public was able to connect to the meeting or send out questions or comments via email before the meeting. The intent of this meeting was to allow the public to learn about the text amendment, ask questions and/or express any comments or concerns. There were no people from the public connected to the teleconference neither did the City received any comments or questions prior to the meeting. 

STAFF RECOMMENDATION:
Staff recommends approval of Text Amendment Case No. 2021-050 and Ordinance No. 410.

A. I MOVE TO OPEN THE PUBLIC HEARING.
      1. Staff presentation
      2. Call to the public on this item
B. I MOVE TO CLOSE THE PUBLIC HEARING.
C. I MOVE TO APPROVE READING OF ORDINANCE NO. 410 BY TITLE ONLY.
     (City Clerk to read the ordinance by title only)
D. I MOVE TO APPROVE AND ADOPT ORDINANCE NO. 410
   
OR

I MOVE TO APPROVE AND ADOPT ORDINANCE NO. 410 AND DECLARE AN EMERGENCY.