File #: 23-245    Version: 1 Name:
Type: Report Item Status: Passed
File created: 3/1/2023 In control: City Council/Public Finance and Economic Development Authority/Parking Authority/Successor Agency to the Redevelopment Agency
On agenda: 3/20/2023 Final action: 3/20/2023
Title: SUBJECT: Policy Direction on Commercial Cannabis Business Permits REPORT IN BRIEF The City Council is being requested to provide policy direction on potential modifications to the City of Merced Commercial Cannabis Business Permits process contained within Section 20.44.170 of the City of Merced Zoning Code. RECOMMENDATION City Council - Provide Direction to Staff regarding potential modifications to the City of Merced Commercial Cannabis Business Permits process contained within Section 20.44.170 of the City of Merced Zoning Code.
Attachments: 1. Presentation, 2. CannabisOrdinance 2023 Modifications 3-1-23.pdf

Report Prepared by: Scott McBride, Director of Development Services

Title
SUBJECT: Policy Direction on Commercial Cannabis Business Permits

REPORT IN BRIEF
The City Council is being requested to provide policy direction on potential modifications to the City of Merced Commercial Cannabis Business Permits process contained within Section 20.44.170 of the City of Merced Zoning Code.

RECOMMENDATION
City Council - Provide Direction to Staff regarding potential modifications to the City of Merced Commercial Cannabis Business Permits process contained within Section 20.44.170 of the City of Merced Zoning Code.

Body
ALTERNATIVES
1. Approve as recommended by staff; or,
2. Deny; or,
3. Refer to City Staff for reconsideration of specific items to be addressed in City Council motion; or,
4. Continue to a future City Council meeting (date and time to be specified in City Council motion).

AUTHORITY
Charter of the City of Merced, Section 200, et seq., California Government Code.

CITY COUNCIL PRIORITIES
NA.

DISCUSSION
The City of Merced has established Commercial Cannabis Permit regulations in Section 20.44.170 of the City of Merced Zoning Code. In March 2021, the City Council provided direction to Staff on modifications to the ordinance in preparation of a new permit cycle under the merit-based process for retail cannabis businesses. The City ordinance set the maximum number of retail cannabis business permits at five (5).

The update was intended to address a variety of issues in the code. Some include modifications to the merit-based process, adding requirements for Peace Labor Agreements for certain sized operators, allowing for expanded business hours, allowing commercial cannabis operations in additional zoning districts, cleaning up sections from the 2018 code and others.

A public hearing was held by the Planning Commission in August 2021 followed by a hearing by the City Council in September 2021. The modifications had an effective date in Novem...

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