In 2010, voters passed Proposition 203, the Arizona Medical Marijuana Act that legalized the use of medical marijuana and established regulations for its growth, cultivation and dispensation, which are administered by the Arizona Department of Health Services (ADHS). The proposition did not preempt cities from enacting reasonable zoning regulations for medical marijuana uses. Thus, in 2011, Chandler amended the Zoning Code (Ordinance No. 4278) requiring Use Permit approval for medical marijuana facilities, cultivation sites and infusion food establishments, and adopting approval criteria, definitions, and procedures by which these uses may be considered in Chandler.
Subsequently, in 2017, the Zoning Code was amended (Ordinance No. 4764) by replacing the Use Permit approval process with an administrative zoning clearance review and approval process, more closely aligning Chandler's regulatory process with neighboring valley cities. Also, the one-year approval expiration was removed, and the ability to reduce the separation requirements was prohibited. In 2018, the Zoning Code was amended (Ordinance No. 4855) again to expand the hours of operation and no longer prohibit off-site deliveries and sale of other merchandise.
In 2020, Arizona voters approved Proposition 207 (the Smart and Safe Act), which legalized the possession, cultivation, and dispensing of recreational marijuana and set forth state licensing requirements. These licensing requirements and additional regulations are administered by ADHS; the Arizona Department of Revenue additionally collects both standard transaction privilege tax (TPT) and a 16% excise tax on the retail sale of recreational marijuana.
Finally, in 2023 the Zoning code was amended (Ordinance No, 5044) to establish several changes including: expanding hours of operation, increasing square-footage size limitations, and permitting the collocation of an ancillary medical marijuana facility in the I-1 and I-2 zoning districts with its affiliated onsite medical marijuana cultivation site and/or medical marijuana infusion food establishment when approved through a Conditional Use Permit. The Conditional Use Permits were issued with a one (1) year expiration from the date of Council approval, which requires a yearly renewal to remain active.
Proposed Code Amendment
The subject amendment was initiated by a request to remove the one (1) year expiration date and instead allow City Council to approve a longer time period, at its discretion.
The proposed amendment will allow for greater flexibility when reviewing applications for facilities that have shown their ability to be in conformance with their approval stipulations. This amendment will also align with the regulation of other Use Permits approved by City Council, which already allow for flexibility in expiration dates at the discretion of City Council.
Public Notification
- This request was noticed in accordance with the requirements of the Chandler Zoning Code
- The public hearing schedule was posted on the City's website and advertised in the newspaper
- As of the writing of this memo, City staff is unaware of any opposition to this proposed Code Amendment
Recommendation
Staff recommends approval of a Zoning Code amendment to Chapter 35 - Section 2213 Medical marijuana facility, medical marijuana cultivation site, and infusion food establishment by replacing the one (1) year time condition for medical marijuana facilities approved through a Use Permit with any period of time approved by the City Council. |
