HomeMy WebLinkAboutOrd 1329 - ZOA 17-027 Cannabis Use and RegulationsREQUEST:
Ordinance No. 1329
CITY OF PALM DESER't
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COMMUNITY DEVELOPMENT DE
STAFF REPORT
CONSIDERATION TO ADOPT A ZONING ORDINANCE AMENDMENT
AMENDING PALM DESERT MUNICIPAL CODE SECTION 25.34.120
CANNABIS USE AND REGULATIONS AND CHAPTERS 25.16
COMMERCIAL AND INDUSTRIAL DISTRICTS AND 25.18
DOWNTOWN DISTRICTS TO ALLOW FOR CANNABIS BUSINESSES
WITHIN THE CITY, SUBJECT TO A CONDITIONAL USE PERMIT; AND
ESTABLISH PALM DESERT MUNICIPAL CODE SECTION 5.101
COMMERCIAL CANNABIS REGULATORY PERMITS
SUBMITTED BY: Eric Ceja, Principal Planner
APPLICANT: City of Palm Desert
CASE NO.: ZOA 17-027
DATE: August 24, 2017
CONTENTS: 1. Planning Commission Resolution No. 2706
2. Planning Commission Meeting Minutes — August 1, 2017
3. City Council Ordinance No. 1329 ; approving changes to the City's
Municipal Code
4. Exhibit A— Section 25.34.120 Cannabis Use and Regulations
5. Exhibit B — Chapter 25.16 Commercial and Industrial Districts
6. Exhibit C — Chapter 25.18 One Eleven Development Code
7. Exhibit D — Section 5.101 Commercial Cannabis Regulatory Permits
8. Potential Cannabis Locations Map
9. The Desert Sun Legal Notice
Recommendation
Waive further reading and pass Ordinance No. 1329 , approving amendments to
the City's Municipal Code as described in Exhibits A, B, C, and D, allowing
commercial cannabis businesses within the City, subject to certain separation
and operational requirements and a Conditional Use Permit.
Strategic Plan Obiectives
Envision Palm Desert --> Forward Together is the foundational document used to establish a
guiding vision for the City and sets priorities to nine strategic areas of focus. These
municipal code amendments which will allow commercial cannabis businesses in the City of
Palm Desert, subject to review and approval of a Conditional Use Permit (CUP), execute
the following principles of the Strategic Plan:
Staff Report
ZOA 17-027 Cannabis
Page 2 of 6
August 24, 2017
Ordinance No. 1329
1. Economic Development Priorities: "Expand job and business creation opportunities."
2. Energy and Sustainability Priorities: "Promote greater usage of more sustainable
materials."
The proposed ZOA accomplishes these goals by expanding retail opportunities to an
emerging cannabis industry, expands the retail tax base and supports Palm Desert's
financial stability, and promotes sustainability by requiring energy and water assessments
for cannabis cultivation operators.
Executive Summary
Approval of staff's recommendation would approve an update to the City's municipal code
to allow for commercial cannabis businesses in certain zoning districts, subject to
separation requirements and approval of a CUP. The ordinance reflects the State's
provisions of the Medicinal and Adult Use of Cannabis Regulations and Safety Act
(MAUCRSA), and recommendations of the ordinance have been reviewed and studied by
the City's Ad Hoc Cannabis Committee.
Planning Commission Recommendation
The City's Planning Commission held a public hearing to consider the amendments to the
Zoning Ordinance at their meeting of August 1, 2017. The Planning Commission voted 3-1-
1 (Chair DeLuna voting no and Commissioner Holt absent) in adopting a resolution
recommending approval to the City Council. Chair DeLuna advocated that the 600-foot
radius applied to schools (K-12) should also apply to higher education facilities since some
students are under the age of 21. However, after much discussion, the Commission did not
support the expanded radius citing that bars and alcohol establishments are located
adjacent to the same facilities.
Background
In February 2016, the City Council directed staff to establish a Cannabis Committee to
review criteria for medical marijuana delivery operators. The Committee is comprised of two
Councilmembers, a Planning Commissioner, a cannabis delivery operator, a medical doctor,
and Code Compliance staff, the Police Department, and Planning Division staff. The
Committee met several times during 2016, and ultimately decided not to recommend any
land use regulation until voters weighed in on Proposition 64. On November 8, 2016,
California voters approved Proposition 64, the Adult Use of Marijuana Act (AUMA). This
proposition allows adults over the age of 21 to use marijuana for recreational purposes
under certain conditions. The AUMA also permits residents to grow up to six plants on their
property, and allows local jurisdictions to retain local control and establish individual land
use restrictions.
Following the passage of the AUMA on January 26, 2017, the City Council took action and
directed Planning staff to meet with the Cannabis Committee to draft and review a new
Staff Report
ZOA 17-027 Cannabis
Page 3 of 6
August 24, 2017
Ordinance No. 1329
ordinance to regulate commercial cannabis operations in the City of Palm Desert, with the
general direction being cautiously open to the industry based on the passage of AUMA. The
Committee met several times over the past few months to review language for a new
ordinance, and to discuss the limitations and regulations imposed on operators. In June of
this year, the Committee recommended moving the draft ordinance through the public
hearing process.
Project Description
If approved, Section 25.34.120 of the Palm Desert Municipal Code will be retitled to Cannabis
Use and Regulations. The draft changes reflect the allowance of both medicinal and adult use of
cannabis in accordance with the Medical Cannabis Regulations and Safety Act (MCRSA) and
the AUMA approved by the California voters, now named the Medicinal and Adult -Use Cannabis
Regulations and Safety Act (MAUCRSA).
The City's ordinance will allow for limited retail cannabis uses within the city's commercially
zoned property, testing facilities within the city's Service Industrial and Office Professional zoned
properties; and limited cultivation, manufacturing, distribution, and delivery in the city's Service
Industrial zones. Cannabis related businesses associated with retail/dispensaries, cultivation,
manufacturing, distribution, and delivery will be subject to a separation requirement of 1,500 feet
from other cannabis related businesses, while testing facilities will be subject to a separation
requirement of 500 feet from other testing facilities. All cannabis businesses are subject to
review and approval of a CUP by the Planning Commission.
Commercial cannabis businesses must also meet State guidelines imposed by the Bureau of
Cannabis Regulations and are subject to State licensing requirements. No commercial cannabis
business may operate without first obtaining a City CUP and a license from the Bureau of
Cannabis Regulations.
Analysis
Adult -Use and Personal Cultivation of Cannabis
MAUCRSA permits the adult -use of cannabis, by persons over the age of 21, for
recreational purposes. The new law also allows persons over the age of 21 to grow and
maintain up to six (6) mature cannabis plants at their residence. The proposed ordinance
addresses adult -use by reiterating the State limitations, which prohibit cannabis use within
1,000 feet of a school, day care, or youth center, and restricts cannabis use similar to the
restrictions in the City's Smoking Ordinance (P.D.M.C. Chapter 8.36).
MAUCRSA allows local agencies to prohibit outdoor cultivation of cannabis plants for
personal use at residences; however, local agencies cannot prohibit indoor cultivation. The
Committee discussed this particular requirement at length and ultimately recommended that
the ordinance permit outdoor personal cultivation citing safety concerns. The ordinance
permits outdoor cultivation for personal use and limits cultivation to rear and side yard areas
only, and only where not visible from public streets. The ordinance also provides limitations
Staff Report
ZOA 17-027 Cannabis
Page 4 of 6
August 24, 2017
Ordinance No. 1329
for indoor cultivation, including requirements for proper ventilation and prohibits the use of
certain flammable solvents, such as kerosene, gasoline, and butane, within the residence.
Commercial Cannabis Businesses
MAUCRSA establishes the Bureau of Cannabis Regulation as the State agency charged
with licensing commercial cannabis operators in the State. The agency has created 20
distinct licensing types of commercial operators and requires that operators obtain a State
license prior to operation. These 20 licenses generally fall into six (6) categories: retail
dispensary, cultivation, testing, manufacturing, delivery, and distribution. Therefore, the
proposed ordinance provides language related to the six (6) categories.
The ordinance provides a definition for Commercial Cannabis Business and requires that all
Commercial Cannabis Businesses obtain a CUP and State license prior to operation. By
applying the CUP process, the Planning Commission will review and vet all cannabis
operations prior to permit issuance. All Commercial Cannabis Businesses are limited to
specific zoning districts in the City, are required to be separated by 500-1,500 feet, are
required to apply best business practices, and must submit supplemental information with
the CUP application.
Permitted Locations
Retail cannabis operations are conditionally permitted in all commercial zoning districts in
the City except the Downtown Core Overlay zone. Retail cannabis is similar to other retail
operations; therefore, is limited to commercial areas of the City. The ordinance prohibits
cannabis businesses from the Downtown Core Overlay zone.
Cultivators, manufactures, distributors, and delivery operations are conditionally permitted in
the City's Service Industrial (SI) zones only. These businesses are similar to existing light
industrial uses in the City; therefore, limited to similar locations.
Testing facilities are conditionally permitted in the City's Office Professional (OP) and SI
zoning districts. Testing facilities operate similar to other testing and laboratory uses that
exist in OP zones. Because testing facilities are more conspicuous and similar to other
testing operations, staff believes they are compatible with other professional office
operations and should be allowed in similar zones.
Separation Requirements
The ordinance requires retailers, manufactures, cultivators, deliverers, and distributors to be
at least 1,500 feet from another cannabis business. Separation requirements are measured
from the outer extents of a business's leased space. In addition, no cannabis business is
allowed within 600 feet of a school, day care, or youth center, or on properties abutting a
residence or park. The separation requirements ensure that sufficient opportunities for
commercial cannabis businesses exist without permitting them to proliferate in a single
location or in great numbers.
Staff Report
ZOA 17-027 Cannabis
Page 5 of 6
August 24, 2017
Ordinance No. 1329
Staff is proposing that a 500-foot separation requirement be applied between testing
facilities. Testing facilities provide for professional uses similar to existing testing and
laboratory uses in the city. Because testing facilities have limited cannabis on site and are
more discreet, a reduced separation distance is being proposed.
Operational Requirements & Supplemental Application Information
The ordinance requires applicants of a CUP to submit additional information for review and
to commit to certain operational requirements. The additional application requirements will
be presented to the Planning Commission as part of their review and consist of the
following:
1. A background check for the applicant and highest ranking employee.
2. Business plan.
3. Exterior facade plan.
4. Open premise agreement.
5. Energy and water supply assessments.
6. A detailed security plan that includes:
a. Use of product and inventory tracking software.
b. Installation and operation of security cameras.
c. Alarm systems monitored by independent third party.
d. Product that is securely stored and not accessible to the general public.
7. Access plan and 24-hour emergency contact information.
8. A "community relations" plan notifying other business in the area of their operations.
9. Odor control.
10. Annual State license and City business license renewal.
11. An indemnity agreement.
These requirements are in line with State guidelines and best practices employed in the
industry. These requirements will be conditions on the business operations and any
operator found in violation of these requirements could lose their ability to operate the
business by revocation of the CUP.
This information is intended to identify legitimate cannabis businesses and ensure a
professional and safe operation that is in line with community standards. These additional
requirements will be reviewed by the Planning Commission as part of a CUP application.
Summary
The proposed ordinance provides guidance and regulations for personal use and cultivation
and commercial cannabis operations. Commercial operations are subject to approval of a
CUP, and are required to be separated by specific distances from parks, residences, and
other cannabis businesses. The ordinance will allow the City to establish regulations that
are compliant with State law. However, State law is constantly in flux, and staff anticipates
amendments to the ordinance over the next few years to keep up with changes in the law.
Staff Report
ZOA 17-027 Cannabis
Page 6 of 6
August 24, 2017
Findings of Approval
Ordinance No. 1329
Findings can be made in support of the project, and in accordance with the City's Municipal
Code. Findings in support of this project are contained in the Ordinance attached to this staff
report.
Fiscal Impact
There is no fiscal impact associated with the adoption of this Zoning Ordinance Amendment.
The future fiscal impact of taxable retail sales or policing of cannabis is unknown at this time.
Submitted By:
16 Ceja, Pr ncip I Planner
Department Head:
Ryan Stendell, Director of Community Development
Approval:
PLANNING COMMISSION RESOLUTION NO. 2706
A RESOLUTION BY THE PLANNING COMMISSION OF THE CITY OF
PALM DESERT, CALIFORNIA, RECOMMENDING APPROVAL OF A
ZONING ORDINANCE AMENDMENT TO THE CITY COUNCIL TO AMEND
AND RETITLE PALM DESERT MUNICIPAL CODE SECTION 25.34.120
MEDICAL CANNABIS USE TO CANNABIS USE AND REGULATIONS
AND SECTION 25.16 COMMERCIAL AND INDUSTRAIL DISTRICTS AND
SECTION 25.18 ONE ELEVEN DEVELOPMENT CODE TO ALLOW FOR
CANNABIS BUSINESSES WITHIN THE CITY, SUBJECT TO A
CONDITIONAL USE PERMIT; AND ADOPT A NOTICE OF EXEMPTION
UNDER THE CALIFORNIA ENVIRONMENTAL DUALITY ACT
CASE NO: ZOA 17-027
WHEREAS, pursuant to the authority granted to the City of Palm Desert ("City") by
Article XI, Section 7 of the California Constitution, the City has the police power to regulate the
use of land and property within the City in a manner designed to promote public convenience
and general prosperity, as well as public health, welfare, and safety; and
WHEREAS, adoption and enforcement of comprehensive zoning regulation and other
land use regulations lies within the City's police powers; and
WHEREAS, California has adopted, through ballot initiative, the Control, Regulate, and
Tax Adult Use of Marijuana Act (AUMA) to regulate the adult personal and commercial use of
cannabis, pursuant to local authority preserved in the AUMA; and
WHEREAS, the City Council established an Ad Hoc Cannabis Committee, comprised
of industry representatives, community members, and City staff, to review a potential cannabis
ordinance and to make recommendations for changes to the City's Municipal Code to allow
and regulate cannabis businesses; and
WHEREAS, the Planning Commission of the City of Palm Desert, California, did on the
1st day of August 2017, hold a duly noticed public hearing to consider changes to the City's
Zoning Ordinance to allow cannabis businesses in the City subject to approval of a Conditional
Use Permit and certain regulations; and
WHEREAS, the requirements established in the ordinance ensure that cannabis
businesses can operate in the City in a safe and limited manner, subject to licensing from the
State Bureau of Cannabis Control; and
WHEREAS, the Planning Commission of the City of Palm Desert, in reviewing all the
facts and any testimony given adopts the following as its Findings in recommended
approval of the Zoning Ordinance Amendment to the City Council:
SECTION 1. Findings. The Planning Commission of the City of Palm Desert hereby
finds that:
A. The City of Palm Desert (the "City"), California, is a municipal corporation, duly
organized under the constitution and laws of the State of California.
PLANNING COMMISSION RESOLUTION NO. 2706
B. The California Constitution and Planning and Zoning Laws authorize cities to
establish, by ordinance, the regulations imposed on certain business operations
and that cannabis businesses can be conditioned and limited in the City.
SECTION 2. Amendment. The Planning Commission of the City of Palm Desert
recommends that the City Council of the City of Palm Desert, California, approve and adopt
the Municipal Code amendment to Section 25.34.120 Cannabis Use and Regulations and
25.16 Commercial and Industrial Districts, and 25.18 One Eleven Development Code as
shown in Exhibit "A", "B" and Exhibit "C" which is attached hereto and incorporated
herewith.
SECTION 3. Severability. If any section, subsection, subdivision, paragraph,
sentence, clause, or phrase in this ordinance or any part thereof is for any reason held to be
unconstitutional or invalid or ineffective by any court of competent jurisdiction, such decision
shall not affect the validity or effectiveness of the remaining portions of this ordinance or any
part thereof. The Planning Commission hereby declares that it would have passed each
section, subsection, subdivision, paragraph, sentence, clause, or phrase thereof
irrespective of the fact that any one (1) or more subsections, subdivisions, paragraphs,
sentences, clauses, or phrases be declared unconstitutional, or invalid, or ineffective.
SECTION 4. California Environmental Quality Act Finding. The City of Palm
Desert (City), in its capacity as the Lead Agency under the California Environmental Quality
Act (CEQA), has determined that this Zoning Ordinance Amendment (ZOA) is exempt from
CEQA review pursuant to Section 15060(c)2 in that the proposed action will not result in a
direct or reasonable foreseeable indirect physical change in the environment, and Section
15061(b)3 in that the ZOA to regulate the use of cannabis and cannabis businesses is not a
"project" and is not subject to CEQA review. The Director of Community Development
therefore, is recommending that the Planning Commission adopt a Notice of Exemption
under the CEQA guidelines.
PASSED, APPROVED, AND ADOPTED by the Planning Commission of the City of
Palm Desert, Califomia, at its regular meeting held on the 1st day of August 2017 by the
following vote, to wit:
AYES: GREENWOOD, GREGORY, and Pradetto
NOES: DE LUNA
ABSENT: HOLT
ABSTAIN: NONE (4ta4V-ti
gelk(a
NANCY DEILtJNA, CHAIRPERSbN
ATTEST:
RYAN STE
PALM DES
Coo-
L, SECRETARY
PLANNING COMMISSION
2
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Mr. Ceja responded two weeks, which would be the Planning Commission
meeting scheduled for August 15.
Commissioner Greenwood interjected that he would be interested to have formal
comments and review by the ARC in regard to the Monterey Crossing sign
design prior to the Planning Commission meeting on August 15.
Mr. Ceja replied that the ARC will meet on August 8, and he would add the
Monterey Crossing sign design to their agenda.
Vice Chair Pradetto moved to, By Minute Motion, continue Case No. ZOA 17-070
to August 15 so City staff could further study the ZOA; and receive formal comments
and review by the ARC regarding the design for the Monterey Crossing freeway -
oriented monument sign. Motion was seconded by Commissioner Greenwood and
carried by a 4-0-1 vote (AYES: DeLuna, Greenwood, Gregory, and Pradetto; NOES:
None; ABSENT: Holt).
D. REQUEST FOR CONSIDERATION to adopt a resolution recommending
approval to the City Council to adopt a Zoning Ordinance Amendment to
amend and retitle Palm Desert Municipal Code Section 25.34.120 Medical
Cannabis Use to Cannabis Use and Regulations and Sections 25.16
Commercial and Industrial Districts and 25.18 One Eleven Development
Code to allow for cannabis businesses within the City, subject to a
Conditional Use Permit; and adopt a Notice of Exemption under the California
Environmental Quality Act. Case No. ZOA 17-027 (City of Palm Desert,
California, Applicant).
The Planning Commission was provided with a PowerPoint presentation and an
oral interpretation of the staff report by Mr. Ceja (staff report is available at
www.citvofoalmdesert.orq). He noted that it has taken City staff over a year to
draft the cannabis ordinance due to the constant changes at the State level.
Consequently, the Commission may see the cannabis ordinance again in a
relatively short time. Staff recommended approval to the City Council of the ZOA
for adult -use of cannabis and commercial cannabis operations. He offered to
answer any questions.
Commissioner Greenwood asked if the definition of commercial also pertains to
retail.
Mr. Ceja replied that is correct.
Commissioner Greenwood inquired if there is a map of the Downtown District
Overlay that has been omitted from retail opportunities. He asked where the retail
opportunities exist within the City of Palm Desert.
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Mr. Ceja replied that he does not have a map of the Downtown District Overlay.
He referred to a map displayed on the screen and pointed to commercial centers
in the City that could accommodate a cannabis business. He noted that a
cannabis business is not allowed where there is red hatching indicated on the
map.
Commissioner Gregory asked staff to explain the difference between the orange
hatching and the red areas without hatching indicated on the map.
Mr. Ceja explained that there a various degrees of development intensity. The
orange areas are allowed for mixed -use up to three stories with a mix of
commercial, primarily on the ground floor. The orange areas with the hatching
are in an edge overlay, which is the transition from multi mixed -use and multi-
story down to two stories and primarily residential uses. He said the red areas
would allow for three-story mixed -use; predominantly for commercial uses.
Chair DeLuna pointed to the plain red areas along El Paseo, and asked if the
areas could be retail outlets for cannabis.
Mr. Ceja replied yes.
Chair DeLuna stated that there are some locations where the City is entertaining
mixed -use developments, such as a building with retail on the first floor and
residential above. She asked if the building would automatically be exempt from
allowing a cannabis business since residential units would be attached to the
building.
Mr. Ceja responded that the ordinance was written to exempt mixed -use
development so the City would not shut down everything on Highway 111 or El
Paseo to cannabis if it is part of a mixed -use development. However, you can still
have a cannabis business on the ground floor.
Chair DeLuna affirmed that there could be cannabis stores along El Paseo.
Mr. Ceja responded that staff has seen very high -end cannabis retail operations
that could potentially be a good fit for El Paseo.
According to State statute, Chair DeLuna asked staff to define a school.
In relation to cannabis, Mr. Ceja believed that the State defines a school as K to
12 facilities.
Chair DeLuna noted that there are five post -secondary schools in Palm Desert.
She asked staff to show her where cannabis retail businesses could possibly be
permitted that is within a 600-foot radius of the post -secondary schools.
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Mr. Ceja referred to the map to show the locations of the post -secondary schools
and the potential locations of a cannabis business.
Vice Chair Pradetto asked Chair DeLuna if they should intensify the allowable
number cannabis dispensaries near the college campuses.
Chair DeLuna remarked no. She stated that post -secondary schools have under
aged students. However, she would address that issue when they get to the
Commissioner's comments. In regard to the people that want to grow marijuana
in their backyard, she inquired if the City's Code Enforcement Division would be
the enforcing agency.
Mr. Ceja replied yes.
Chair DeLuna asked if it would require a complaint from a neighbor or interested
party for Code Enforcement to check a home for marijuana plants.
Mr. Ceja responded that it is not the practice of Code Compliance officers to
enter backyards. There would have to be a complaint for Code Compliance to
respond.
Chair DeLuna commented that day care and youth centers are loosely defined.
She asked staff how many day care and youth centers are located within 600
feet of a cannabis retail business.
Mr. Ceja replied that he does not have a number of day care or youth centers
that would be located within 600 feet of a cannabis business. He reiterated that a
cannabis business would not be allowed to be within 600 feet of the centers.
Chair DeLuna inquired if day care centers include pre-schools.
Mr. Ceja replied that is correct.
Commissioner Greenwood said the map indicates a 1,000-square-foot
commercial buffer. He asked what the difference is between 1,000 square feet
and 1,500 square feet from adjacent dispensaries.
Mr. Ceja responded that the red circles on the map indicate 1,000 square feet,
and the blue circles) indicate 1,500 square feet. Therefore, essentially fall the red
circles would be enlarged to match the blue circles to further limit Commercial
cannabis.
Chair DeLuna inquired if there were any reasons or thoughts given for allowing
retail sales of cannabis along El Paseo.
Mr. Ceja replied yes. He explained that there are some smoke shops on El
Paseo that seem to fit in perfectly well with El Paseo. Staff also saw other
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cannabis retail operations that could be high -end and specialized and fit in well
with El Paseo. The Conditional Use Permit process will ensure that a cannabis
retail operation would be an appropriate use on El Paseo.
Commissioner Greenwood asked if staff has completed an analysis in regard to
looking at the restrictions as it applies to schools, day cares, etc. as well as the
1,500-square-foot radius. He also asked how many dispensaries would be
allowed within the 111 Corridor.
Mr. Ceja responded that he does not have a number of dispensaries that would
be allowed within the 111 Corridor. Due to the definition of a youth center and
how broad that is, it has been difficult to identify the location for a dispensary
within the 111 Corridor. He noted that the maps with the red circles gave the
Cannabis Committee an idea of approximately how many dispensaries could be
permitted.
Commissioner Gregory voiced that the cannabis ordinance is a living document,
and he would not be surprised if there is an amendment. The City has to start
somewhere and see what happens.
Commissioner Greenwood conveyed he spent a lot of time working on the
General Plan Update process. He also sat on the Cannabis Committee.
Cannabis is new for a lot of people and there tends to be a little bit of a stigma.
He felt that time would show cannabis retail establishments are businesses like
any other business and it will go by the wayside. To say that the cannabis
ordinance is a living document, the Planning Commission may see some of the
restrictions become lesser in the areas along the 111 Corridor. He questioned
why they are not opening the 111 Corridor since there is a 1,500-square-foot
requirement, the same goes for some of the other areas.
Chair DeLuna declared the public hearing open and invited public testimony
FAVORING or OPPOSING this matter.
MR. CHRISTOPHER CRANFILL, Palm Desert, Califomia, stated he is in favor of
the cannabis ordinance. However, he is against some of the proposed
restrictions. He said restricting anchoring locations is going to create a hole
where the City will wind up with cannabis zones. The cannabis zones would
create overpriced properties, which will mean mpre buildings that sit empty for a
longer period of time. He expressed that synergy is huge. Palm Desert has a
huge population, it is the center of the Coachella Valley, and it is the retail center
of the Coachella Valley. Palm Desert also created a very good environment and
it has very high standards. For those reasons, the cannabis industry would like to
see their business in Palm Desert. He stated that cannabis was voted in by the
people in California, therefore, it is something that the people want. If the City is
concerned with the visibility of cannabis retail businesses, the City should focus
on restrictions on what retail locations could look like and enforce how they
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advertise and present themselves beyond the State regulations. By restricting
dispensaries from areas with retail traffic, other local businesses could possibly
benefit from the people who would be frequenting dispensaries. He voiced his
concern with proposed buffer and the need to have exposure in the marketplace.
MR. TOM NOBLE, Palm Desert, Califomia, stated that he has nothing against
the cannabis industry. He noted that he provided the Planning Commission with
a correspondence prior to the meeting. He voiced his concern with Section F of
the proposed ordinance, which states "Commercial Businesses are prohibited
from operating on properties that abut public parks, single-family residential
properties ..." He stated that abutting means sharing a property line. He does
not think the City would want a commercial cannabis business sharing a property
line with a single-family residential community or a public park. He noted that
most of the ordinances he has seen have a 250-square-foot requirement
distance from residential properties. He voiced that the ordinance is far from
being voted on and should not be acted upon at this time.
With no further testimony offered, Chair DeLuna declared the public hearing closed.
Commissioner Gregory was confused with Mr. Noble's remarks in regard to the
abutting of facilities to public parks. He asked if the suggested amendments
precluded facilities abutting public parks.
Mr. Ceja responded that cannabis businesses are prohibited on properties that
abut a public park, same for single-family residential properties. He explained
that it does not create a numeric distance requirement. He said that there are
neighborhoods in very close proximity to Highway 111 and El Paseo; therefore,
staff has limited parcels that abut a property line of a single-family residential
property.
Vice Chair Pradetto commented that he does not know enough about the
industry to make an intelligent decision on whether the cannabis ordinance is
good compared to everything else that is out there. Secondly, the nature of how
fast things are changing, adds another complication. He stated the ordinance
could be great, or it could have a gaping hole that the City will not find out until it
is put into action. He said he would like to hear from Commissioner Greenwood
since he sat on the Cannabis Committee. He would like to know some of the
houghts that lead to the draft cannabis ordinance. 1
Commissioner Greenwood commended staff because it has not been an easy
process. He said the Cannabis Committee looked where retail and cultivation
establishments would be located, and spent a lot of time discussing residential
use. He agreed with Commissioner Gregory, the ordinance is a living document
and there will be changes made to the ordinance.
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Chair DeLuna shared that the City is breaking new and controversial ground. She
believed, out of an abundance of caution and before moving forward to the City
Council, the issue of cannabis businesses being in close proximity to the post-
secondary education corridor merits further discussion. She stated that the post-
secondary schools include kids under the age of 21, and she would like to see
the same 600-square-foot exemption included for post -secondary schools. She
said the City is trying to enhance the education corridor, attract students, and
keep students. Therefore, the City has to guard that area as something unique
and different. She voiced that she is also concerned with commercial zones and
youth centers, and referred to The First Tee and The Hitting Zone. The two
facilities would be Tess than 1,500 square feet of a cannabis business. Chair
DeLuna noted that the use of marijuana is still illegal at the federal level. She
believed it was prudent to proceed conservatively in accordance with new State
laws. There are no current limits set for marijuana consumption and no testing
methods to determine the amount of consumption. Therefore, responsibility rests
with the City's ordinance. She stated that the City could revisit ordinances and
relax them, but it is difficult once an ordinance is in place to constrict.
Vice Chair Pradetto disagreed with Chair DeLuna. He stated that bars are not
banned near colleges because there are students under 21.
Chair DeLuna interjected that the amount of alcohol in a person's system could
be tested.
Vice Chair Pradetto believed that the State is working on finding a way to
determine how much cannabis is in a person's system. He imagined that a
cannabis business operator is salivating at the opportunity to be located near a
college, and he is sure there are plenty of students that would appreciate having
a cannabis business near campus.
Commissioner Greenwood remarked that the cannabis dispensaries would be a
licensed facility, which would have accountability.
Chair DeLuna asked why the ordinance should exclude post -secondary schools
from being considered as part of the definition of a school.
Commissioner Greenwood commented that staff spent a lot of time looking at
case studies. He inquired if srtaff found any research related to Chair DeLuna 's
concern with post -secondary schools.
Mr. Ceja responded that they did not find any research pertaining to cannabis
businesses in close proximity to post -secondary schools.
Commissioner Greenwood mentioned that he recently visited the state of
Colorado. He stated that he did not see any separation from post -secondary
schools.
18
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MINUTES
PALM DESERT PLANNING COMMISSION AUGUST 1, 2017
Commissioner Gregory commented that an effort has been made to distribute
possible locations for cannabis dispensaries quite well, with a very conservative
approach. As far as post -secondary education, he felt that the concem with
younger children is that they might be influenced in a way before they have
enough mental capacity to make a wise decision. He stated that a cannabis
dispensary would have too much to lose in selling to someone that is underage.
Commissioner Greenwood referred to the permit issuance process. He clarified
that a cannabis facility could obtain a building permit, but not a Certificate of
Occupancy until the license from the State has been issued to the business
operator.
Mr. Ceja replied that is correct.
Following brief discussion pertaining to obtaining permits and post -secondary
schools, the Planning Commission referred to the map displayed on the screen.
Mr. Ceja pointed to areas where cannabis retail businesses would not be
permitted.
The Commission questioned the wording "single-family residential properties"
under Section F, No. 2.
Mr. Ceja proposed that the wording be changed to "private residential properties"
which is a broader term than "single-family residential properties."
Commissioner Greenwood referred to the area near Sage Lane. He mentioned
that the City looked at opportunities to change that area to mixed -use. If it were
to happen, could the area ultimately become available for cannabis retail use?
Mr. Ceja replied no because the area still has a zoning designation of Downtown
Core Overlay. The overlay prohibits cannabis retail use.
Chair DeLuna asked if the motion must include the amendment to Section F, No.
2 of the ordinance.
City Attorney Jill Tremblay replied yes.
Commissioner Greenwood asked what the process is if the ordinance moves ,
forward to the City Council.
Mr. Ceja responded if the Planning Commission approves a recommendation to
the City Council, the ordinance would go to a City Council public hearing. It would
require two hearings, and then the ordinance goes into effect 30 days after the
date of the second hearing. Theoretically, the City could accept Conditional Use
Permit applications once the ordinance has gone into effect. Any amendment to
the ordinance would have to go back to the Planning Commission.
19
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MINUTES
PALM DESERT PLANNING COMMISSION AUGUST 1, 2017
Commissioner Greenwood moved to waive further reading and adopt Planning
Commission Resolution No. 2706, recommending to the City Council to approve Case
No. ZOA 17-027, with an amendment to Section F, No. 2 second paragraph; changing
"single-family residential properties" to "private residential properties." Motion was
seconded by Vice Chair Pradetto and carried by a 3-1-1 vote (AYES: Greenwood,
Gregory, and Pradetto; NOES: DeLuna; ABSENT: Holt).
X. MISCELLANEOUS
None
XI. COMMITTEE MEETING UPDATES
A. ART IN PUBLIC PLACES
None
B. PARKS & RECREATION
None
XII. COMMENTS
XIII. ADJOURNMENT
With the Planning Commission concurrence, Chair DeLuna adjoumed the
meeting at 8:34 p.m.
NANCY DE LUNA, CHAIR
ATTEST:
RYAN STENDELL, SECRETARY
PALM DESERT PLANNING COMMISSION
MONICA O'REILLY, RECORDING SECRETARY
20
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ORDINANCE NO. 1329
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM
DESERT, CALIFORNIA, APPROVING A ZONING ORDINANCE
AMENDMENT AMENDING PALM DESERT MUNICIPAL CODE
SECTION 25.34.120, AND CHAPTERS 25.16 AND 25.18 TO ALLOW
COMMERCIAL CANNABIS OPERATIONS IN THE CITY, SUBJECT TO
A CONDITIONAL USE PERMIT; AND ESTABLISH CHAPTER 5.101
COMMERCIAL CANNABIS REGULATORY PERMITS
CASE NO: ZOA 17-027
WHEREAS, pursuant to the authority granted to the City of Palm Desert ("City") by
Article XI, Section 7 of the California Constitution, the City has the police power to regulate the
use of land and property within the City in a manner designed to promote public convenience
and general prosperity, as well as public health, welfare, and safety; and
WHEREAS, adoption and enforcement of comprehensive zoning regulations and other
land use regulations lies within the City's police powers; and
WHEREAS, California has adopted, through ballot initiative, the Control, Regulate, and
Tax Adult Use of Marijuana Act (AUMA) to regulate the adult personal and commercial use of
cannabis, pursuant to local authority preserved in the AUMA; and
WHEREAS, the City Council established an Ad Hoc Cannabis Committee, comprised
of industry representatives, community members, and City staff, to review a potential cannabis
ordinance and to make recommendations for changes to the City's Municipal Code to allow
and regulate cannabis businesses; and
WHEREAS, the Planning Commission of the City of Palm Desert, Califomia, did on the
lst day of August 2017, hold a duly noticed public hearing to consider changes to the City's
Zoning Ordinance to allow cannabis businesses in the City subject to approval of a Conditional
Use Permit and certain regulations and adopted a resolution recommending approval of the
changes to the municipal code to the City Council; and
WHEREAS, the requirements established in the ordinance ensure that cannabis
businesses can operate in the City in a safe and limited manner, subject to review and
approval of a Conditional Use Permit by the Planning Commission; and
WHEREAS, the requirements established in this ordinance ensure that cannabis
business operate in accordance with State Law and requires that all commercial cannabis
operations obtain licensing from the State Bureau of Cannabis Control; and
WHEREAS, the City Council of the City of Palm Desert, California has determined that
the amendments to Municipal Code Chapters 25.34.120, 25.16, 25.18, and Chapter 5.101, are
consistent with the General Plan and applicable state law; and
WHEREAS, at said public hearing, upon hearing and considering all testimony and
arguments, if any, of all interested persons desiring to be heard, said City Council did find
the following facts and reasons to exist to approve said request:
ORDINANCE NO. 1329
NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Palm
Desert, California as follows:
SECTION 1. Adoption of Recitals. The City Council hereby adopts the foregoing
recitals as its findings in support of the following regulations and further finds that the
following regulations are beneficial and appropriate to protect the health, safety and welfare
of the residents and businesses of Palm Desert within the City limits.
SECTION 2. Adoption of amendments to Chapter 25.34.120 "Cannabis Use and
Regulations" of the Citv's Zoning Ordinance as identified in Exhibit "A" attached to
this Ordinance.
SECTION 3. Adoption of amendments to Chapter 25.16 "Commercial and
Industrial Districts" of the Citv's Zoning Ordinance as identified in Exhibit "B"
attached to this Ordinance.
SECTION 4. Adoption of amendments to Chapter 25.02 "Downtown Districts
Development Standards" of the Citv's Zoning Ordinance as identified in Exhibit "C"
attached to this Ordinance.
SECTION 5. Adoption to establish Chapter 5.101 "Commercial Cannabis
Regulatory Permits" of the Citv's Zoning Ordinance as identified in Exhibit "D"
attached to this Ordinance.
SECTION 6. Severability. If any section, subsection, subdivision, paragraph,
sentence, clause, or phrase in this ordinance or any part thereof is for any reason held to be
unconstitutional or invalid or ineffective by any court of competent jurisdiction, such decision
shall not affect the validity or effectiveness of the remaining portions of this ordinance or any
part thereof. The Planning Commission hereby declares that it would have passed each
section, subsection, subdivision, paragraph, sentence, clause, or phrase thereof
irrespective of the fact that any one (1) or more subsections, subdivisions, paragraphs,
sentences, clauses, or phrases be declared unconstitutional, or invalid, or ineffective.
SECTION 7. California Environmental Quality Act Finding. The City of Palm
Desert (City), in its capacity as the Lead Agency under the California Environmental Quality
Act (CEQA), has determined that this Zoning Ordinance Amendment (ZOA) is exempt from
CEQA review pursuant to Section 15060(c)2 in that the proposed action will not result in a
direct or reasonable foreseeable indirect physical change in the environment, and Section
15061 (b)3 in that the ZOA to regulate the use of cannabis and cannabis businesses is not a
"project" and is not subject to CEQA review. At their meeting on August 1, 2017, the
Planning Commission adopted a Notice of Exemption under the CEQA guidelines.
SECTION 8. Publication. The City Clerk of the City of Palm Desert, California, is
hereby directed to publish this ordinance in The Desert Sun, a newspaper of general
circulation, published and circulated in the City of Palm Desert, California, and shall be in full
force and effect thirty (30) days after its adoption.
2
ORDINANCE NO. 1329
PASSED, APPROVED, AND ADOPTED by the_City Council of the City of Palm
Desert, California, at its regular meeting held on the { day of , 2017, by the
following vote, to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
RACHELLE D. KLASSEN, CITY CLERK
CITY OF PALM DESERT, CALIFORNIA
JAN C. HARNIK, MAYOR
3
ORDINANCE NO. 1329
Exhibit A
PDMC SECTION: 25.34.120 — Cannabis Use and Regulations
This Chapter shall be known as the "Cannabis Use and Regulation Ordinance" for the
City of Palm Desert.
A. Purpose and Intent
It is the purpose and intent of this section to regulate the commercial cultivation, personal
cultivation, manufacturing, testing, distribution, transportation, delivery, dispensing, retail
sale, and personal adult use of medicinal cannabis and non -medicinal cannabis within the
City of Palm Desert. This section is prepared in accordance with the Compassionate Use
Act of 1996 (CUA), the Medical Marijuana Program Act (MMPA), and the Medicinal and
Adult -Use Cannabis Regulation and Safety Act (MAUCRSA) (collectively, "State law"),
which give local jurisdictions the authority to establish land use regulations related to the
personal and commercial uses of cannabis. It is the intent of the City to allow personal
cultivation at residential properties and commercial cannabis permitees within city
boundaries, subject to approval of special permitting, terms, conditions, confirmation of a
State issued license, and in accordance with the provisions of this title.
Nothing in this chapter shall be construed to (1) permit persons to engage in conduct that
endangers others or causes a public nuisance, (2) permit the use or cultivation of cannabis
beyond the limits established in State law related to cannabis, or (3) permit any activity
relating to the cultivation, processing, sale, or distribution of cannabis that is illegal under
State law, generally.
B. Definitions
Unless the particular provision or context otherwise requires, the definitions and provisions
contained in this section shall govern the construction, meaning, and application of words
and phrases used in this chapter. Words and phrases not specifically defined in this code
shall have the meaning ascribed to them as defined in the following sources: The California
Business and Professions Code Section 19300.5 and Section 26001, The Compassionate
Use Act of 1996 (CUA), The Medical Marijuana Program (MMPA), and the Medicinal and
Adult -Use Cannabis Regulation and Safety Act (MAUCRSA).
"Applicant" means a person applying for a Conditional Use Permit whom will be the primary
owner and operator for any Commercial Cannabis Business.
"Cannabis" means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or
Cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or
purified, extracted from any part of the plant; and every compound, manufacture, salt,
derivative, mixture, or preparation of the plant, its seeds, or resin. "Cannabis" also means
the separated resin, whether crude or purified, obtained from cannabis. "Cannabis" 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
ORDINANCE NO. 1329
preparation 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.
"Cannabis retailer" 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.
"Cannabis manufacturer" means a person that conducts the production, preparation,
propagation, or compounding of manufactured cannabis, or cannabis products either
directly or indirectly or by extraction methods, or independently by means of chemical
synthesis or by a combination of extraction and chemical synthesis at a fixed location that
packages or repackages medical cannabis or cannabis products or labels or re -labels its
container.
"Cannabis products" means cannabis that has undergone a process whereby the plant
material has been transformed into a concentrate, including, but not limited to, concentrated
cannabis, or an edible or topical product containing cannabis or concentrated cannabis and
other ingredients.
"City" means the City of Palm Desert.
"Commercial Cannabis Business" means any commercial operation associated, in whole or
in part, with the cultivation, possession, manufacture, distribution, processing, storing,
laboratory testing, labeling, transporting, sale, dispensing, delivery or transport of cannabis
and cannabis products.
"Cultivation" means any activity involving the planting, growing, harvesting, drying, curing,
grading, or trimming of cannabis.
"Delivery" means the commercial transfer of cannabis or cannabis products to a customer.
"Delivery" also includes the use by a retailer of any technology platform owned and
controlled by the retailer.
"Distribution" means the procurement, sale, and transport of cannabis and cannabis
products between entities for commercial use purposes.
"Fully Enclosed and Secured Structure" means a space within a building, greenhouse, or
other approved structure which has a complete roof enclosure supported by connecting
walls extending from the ground to the floor, which is reasonably secure against
unauthorized entry, provides complete visual screening or is behind fencing or other
features providing complete visual screening, and which is accessible only through one of
more lockable doors and is inaccessible to minors.
"Licensee" means the holder of any State issued license related to Commercial Cannabis
Businesses, including but not limited to licenses issued under Division 10 of the Business &
Professions Code.
2
ORDINANCE NO. 1329
"Manufacture" means to compound, blend, extract, infuse, or otherwise make or prepare a
cannabis product.
"Permittee" means any person granted a Conditional Use Permit under this Chapter.
"Private Residence" means a house, an apartment unit, mobile home, or other similar
dwelling unit.
"Sale" includes any transaction whereby, for any consideration, title to cannabis is
transferred from one person to another, and includes the delivery of cannabis or cannabis
products pursuant to an order placed for the purchase of the same and soliciting or
receiving an order for the same, but does not include the return of cannabis or cannabis
products by a licensee to the licensee from whom such cannabis or cannabis product was
purchased.
"Testing Facility" means a laboratory, facility, or entity in the City that offers or performs
tests of cannabis or cannabis products and meets the licensing requirements found in
MAUCRSA.
C. Permit Required and Exemptions
1. Required
i. All Commercial Cannabis Businesses are required to obtain approval of a
Conditional Use Permit, City business license, and license from the Bureau of
Cannabis Control prior to the operation of any cannabis facility within the City.
ii. Building permits for improvements associated with a Commercial Cannabis
Business may be issued once an applicant has obtained approval of a
Conditional Use Permit; however, a Certificate of Occupancy to operate will not
be issued until said Commercial Cannabis Business has obtained and provided
the City proof of a license issued by the Bureau of Cannabis Control as part of
the City's Business License application.
iii. Any Commercial Cannabis Business issued a Conditional Use Permit must
provide the City with proof of a license issued by the Bureau of Cannabis Control
prior to operation. Failure to maintain a license from the Bureau will result in
revocation of the Conditional Use Permit and business license.
iv. No Commercial Cannabis Business may operate in the City unless a license(s)
from the Bureau of Cannabis Control has been issued and provided to the City's
Department of Community Development and Business License Division.
v. A copy of the Bureau of Cannabis Control license, and any updates to the
license, shall be provided to the Business License Division at the time of
business license renewal.
vi. Changes in license type, business owner, or operation will require an
amendment to the approved Conditional Use Permit.
2. Exemptions
i. Personal use, and cultivation of cannabis for personal use, is permitted outright
on residential properties and subject to Subsection E of this ordinance and in
3
ORDINANCE NO. 1329
accordance with the MAUCRSA.
ii. Primary Caregivers engaged in the transportation of cannabis and cannabis
related products to Qualified Patients for which they are the Primary Caregiver
are exempt from the requirement to obtain any special licensing from the City.
iii. Any Cannabis Delivery operator, with a physical address outside the City is
exempt from obtaining a Conditional Use Permit. The operator is required to
obtain a business license with the City's Business License Division.
D. Prohibited Activity
1. No Commercial Cannabis Business shall operate without first obtaining approval of:
a Conditional Use Permit from the Planning Commission, a City issued business
license, and the required State issued cannabis license from the Bureau of Cannabis
Control.
2. No Commercial Cannabis Business shall operate within 600 feet of a school, day
care facility, or youth center as defined by this Ordinance and the MAUCRSA.
3. A Commercial Cannabis Business shall operate in accordance with the conditions
adopted in the approved Conditional Use Permit and all conditions imposed by the
Bureau of Cannabis Control. Commercial Cannabis Businesses shall only operate in
designated zoning districts as identified in Section 25.16.030, 25.18.040 and within a
fully enclosed and secured structure.
4. The use of volatile solvents, as defined in Section 11362.3d of the California
Business and Professions Code, including but not limited to butane, propane,
xylene, gasoline, kerosene, and other dangerous and poisonous toxins or
carcinogens, are prohibited for indoor cultivation at a private residence.
5. Commercial Cannabis Businesses shall not advertise or promote cannabis or
cannabis products that encourage use by persons under the age of 21, or promote
cannabis and cannabis products within 1,000 feet of a school, day care, park, or
youth center.
6. Any activity generally prohibited by the MAUCRSA, or other applicable State
provisions related to Commercial Cannabis Businesses, and local ordinances.
E. Personal Use and Cultivation
Persons 21 years and older are permitted to use cannabis in accordance with the
MAUCRSA, and subject to the City's Smoking Ordinance (PDMC 8.36). No special land
use or business permits are required from the City for personal use and cultivation at or
within a private residence. The following standards shall regulate personal use and
cultivation:
1. Personal Use. Qualified patients and persons of legal age permitted to use cannabis
in accordance with AUMA or MCRSA, and MAUCRSA, when it goes into effect, may
do so on private property, out of public view, and in accordance with the City's
"Regulations and Prohibitions of Smoking" Ordinance (PDMC 8.36). Generally, the
4
ORDINANCE NO. 1329
use of cannabis is prohibited on City property, including parks, common areas in
City -owned housing developments, and other public places. Smoking or use of
cannabis is prohibited within 1,000 feet of a school or childcare facility.
2. Personal Cultivation — Residents in the City are permitted to cultivate cannabis on
private residential property for personal use and in accordance with AUMA, MCRSA,
and then MAUCRSA, when it goes into effect; subject to the following standards:
i. Outdoor Cultivation
a. Cultivation for personal use is only permitted on private residential property
developed with at least one residential dwelling unit. No more than six (6)
plants are permitted to be cultivated at a private residence. Property owners
retain the ability to prohibit renters from cultivation and any renter choosing to
cultivate shall first obtain written authorization from the property owner to
cultivate on site.
b. Outdoor cultivation is limited to rear and side yard areas, and only if screened
by a solid block wall no less than six (6) feet in height.
c. Outdoor cultivation shall not be visible from surrounding public streets or
adjoining properties. As such, cannabis plants may not grow above the height
of the property line walls unless screened by another approved screening
method.
d. Outdoor cultivation within 600 feet of a school, day care center, or youth
center is prohibited.
ii. Indoor Cultivation
a. Indoor cultivation must have adequate ventilation. Structural, ventilation,
electrical, gas, or plumbing changes to accommodate indoor cultivation are
required to obtain a building permit from the City's Department of Building
and Safety.
b. The use of volatile solvents, as defined in Section 11362.3d of the California
Business and Professions Code, including but not limited to butane, propane,
xylene, gasoline, kerosene, and other dangerous and poisonous toxins or
carcinogens, are prohibited for indoor cultivation at a private residences.
F. Commercial Cannabis Businesses
Commercial Cannabis Businesses are defined in Subsection B of this Ordinance and do
not include businesses that only sell cannabis related paraphernalia. All Commercial
Cannabis Businesses shall be regulated by the following:
1. Required Permits — All Commercial Cannabis Businesses are required to obtain
approval of a Conditional Use Permit in accordance with PDMC Section 25.72.050
"Conditional Use Permit" and PDMC Chapter 5.101 "Commercial Cannabis
Regulations Permits." Commercial Cannabis Businesses must also obtain a
business license with the City's Business License Division and provide proof of a
cannabis license issued by the Bureau of Cannabis Control in accordance with
Section C of this Ordinance. Failure to provide proof of a State issued cannabis
5
ORDINANCE NO. 1329
license within one year of Conditional Use Permit approval will render the
Conditional Use Permit invalid.
2. Location — Commercial Cannabis Businesses are permitted in the City's commercial,
industrial, and downtown zoning districts as identified in Section 25.16.030 "Allowed
Land Uses and Permits Requirements" and Section 25.18.040 "Land Use and Permit
Requirements" of the Palm Desert Municipal Code.
In accordance with MAUCRSA, no Commercial Cannabis Business is permitted
within 600 feet of a school, childcare facility, or youth center. Commercial Cannabis
Businesses are prohibited from operating on properties that abut public parks,
private residential properties, or are located within the City's Downtown Core
Overlay District.
3. Separation Requirement — Commercial Cannabis Businesses shall conform to the
following separation requirements:
i. No Conditional Use Permit shall be issued to a Commercial Retailer that is
located within 1,500 feet of another approved Commercial Cannabis Business.
ii. Commercial Cannabis Businesses whose main business function is cannabis
cultivation, distribution, manufacturing, transportation, or delivery, and whose
location is limited to the City's Service Industrial zoning district only, shall be
separated by 1,500 feet from another approved Commercial Cannabis Business.
iii. Commercial Cannabis Businesses whose main business function is to operate as
a testing laboratory are subject to a separation requirement of 500 feet and are
exempt from the separation requirements listed above.
iv. No Conditional Use Permit will be issued for Commercial Cannabis Business
located within 600 feet of a school, day care center, youth center.
v. With the exception of Commercial Cannabis Businesses whose business is
located within a mixed -use building or whose primary business function is as a
testing laboratory, no Conditional Use Permits shall be issued for commercial
and industrial properties abutting public parks or private residences.
vi. All separation requirements will be measured from the outer extents of the
Commercial Cannabis Businesses lease space to the outer extents of another
Commercial Cannabis Businesses lease space, or to the property line of a
school, day care center and youth center.
G. Penalties for Violation
No person, whether as principal, agent, employee or otherwise, shall violate, cause the
violation of, or otherwise fails to comply with any of the requirements of this section.
Every act prohibited or declared unlawful, and every failure to perform an act made
mandatory by this section, shall be a misdemeanor or an infraction, at the discretion of
the City Attorney or the District Attorney. In addition to the penalties provided in this
6
ORDINANCE NO. 1329
section, any condition caused or permitted to exist in violation of any of the provisions of
this section is declared a public nuisance and may be abated as provided under the
Municipal Code or State law, and may result in revocation of a Conditional Use Permit.
H. Grounds for Denial, Revocation or Suspension
The issuance of a Conditional Use Permit for the operation of a Commercial Cannabis
Business may be denied, and an existing permit may be revoked or suspended, if the
permittee or applicant:
1. Has knowingly made false statements in the applicant's application or in any reports
or other supporting documents furnished by the applicant.
2. Has been convicted of any offense related to the use, sale, possession or
transportation of narcotics or habit-forming drugs.
3. Has been convicted of any offense punishable as a felony, or has been convicted
within a 10-year period immediately preceding the crime of theft in either degree.
4. Failed to pay required taxes and business license fees.
5. Failure to maintain a valid State issued license from the Bureau of Cannabis Control.
6. Has failed to comply with the conditions imposed on the Conditional Use Permit.
7. Has violated any provision of this chapter.
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ORDINANCE NO, 1329
Exhibit B
Chapter 25.16 — Commercial and Industrial Districts
Sections in This Chapter
25.16.010 Purpose 16-10
25.16.020 Characteristics of the Commercial and Industrial Districts 16-10
25.16.030 Allowed Land Uses and Permit Requirements 16-11
25.16.040 Specific Use Standards 16-14
25.16.050 Development Standards 16-15
25.16.010 Purpose
The purpose of this chapter is to establish commercial and industrial zoning districts in the
City, along with allowed use and development standards applicable to those districts. These
districts are consistent with and implement the City's General Plan commercial and
industrial district and center land use categories as indicated in Table 25.04-1 (Zoning
Districts).
25.16.020 Characteristics of the Commercial and Industrial Districts
The following descriptions of each district identify the characteristic uses, intensity of uses,
and intended level of development for that district.
A. Office Professional (OP). This district is intended for various levels of intensities for
business, office, administrative, research and development, and/or professional land
uses. This district is characterized by urban streetscapes with formal tree
arrangements and larger block sizes.
B. Planned Commercial (PC). The PC districts provide flexibility for commercial and
mixed -use development. Generally, these districts are characterized as coordinated
projects that integrate compatible commercial and residential mixed -uses. PC
districts balance the need for automobile parking and pedestrian connections that
are organized around walkable streetscapes and other pedestrian amenities. PC
districts are further refined based on property size, proximity to residential uses, and
as described below:
1. Specialty Commercial Center (PC-1). The specialty commercial center
provides for small-scale commercial development that primarily serves
surrounding neighborhoods and other immediate land uses. This district is
characterized as being located in close proximity to residential development
and, as such, provides high levels of convenient pedestrian access. This
district also promotes the development of mixed -use (10.0-15.0 du/ac) as a
transition between residential uses and other development types.
2. District Commercial Center (PC-2). The district commercial center provides
convenient shopping opportunities outside of the downtown core area. This
PC district provides large -format retail areas for the broader community and
10
ORDINANCE NO. 1329
provides flexibility for the integration of mixed -use (10.0-15.0 du/ac) on upper
floors of commercial buildings. The center is also characterized by traditional
parking Tots with formal tree arrangements and spacing and sufficient space
for pedestrian areas and open space.
3. Regional Commercial Center (PC-3). The regional commercial center
provides a unified area for commercial uses which offer a wide range of
goods and services, including comparison and convenience shopping,
entertainment, cultural, and recreational uses. The district provides for large-
scale, large -format, commercial development that serves the broader region
and is generally located around major intersections and properties in
proximity to freeway overpasses. Although this district is predominately
commercial, mixed -use (10.0-15.0 du/ac) is allowed and should be integrated
into developments on the upper floor.
4. Resort Commercial Center (PC-4). The resort commercial center allows for
the development of a range of entertainment, hospitality, restaurants, and
recreational facilities with related commercial uses to serve visitors to the
City. The district is characterized by multi -story development that provides
recreation and entertainment amenities in accordance with its urban/natural
setting, and provides flexibility to integrate mixed -use (10.0 du/ac).
C. Service Industrial (SI). This district allows for the development of traditional
business parks that allow for the manufacture, distribution, research and
development, and service of products intended for use within Palm Desert and
surrounding communities. The district is characterized as having a more urban
setting with buildings located near roadways, shared and connected parking, and
streetscapes with formal street tree arrangements.
25.16.030 Allowed Land Uses and Permit Requirements
Table 25.16-1 (Use Matrix for Commercial and Industrial Districts) identifies allowed uses
and corresponding permit requirements for commercial and industrial districts and all other
provisions of this title. Descriptions/definitions of the land uses can be found in Chapter
25.99 (Definitions). The "Special Use Provisions" column in the table identifies the specific
chapter or section where additional regulations for the specific use type are located within
this ordinance.
Use regulations in the table are shown with representative symbols by use classification
listing: "P" symbolizes uses permitted by right, "A" symbolizes uses that require approval of
an administrative use permit, "C" symbolizes uses that require approval of a conditional use
permit, and "N" symbolizes uses that are not permitted. Uses that are not listed are not
permitted. However, the Commission may make a use determination as outlined in Section
25.72.020 (Use Determinations).
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ORDINANCE NO. 1329
Table 25.16-1: Use Matrix for Commercial and Industrial Districts
Commercialllndustrial District
(P=Permitted; A=Administrative Use
Permit; C=Conditional Use Permit;
N=Not Permitted)
OP I PC-1 I PC-2 PC-3 PC-4 I SI
Special Use
Provisions
Residential Uses
Caretaker housing N N N N N P 25.16.040.A
Condominium CC C N CC 25.16.040.E
Dwelling, duplex CC C CC C 25.16.040.B
Dwelling, multifamily CC C CC C 25.16.040.B
Dwelling, single-family CC C N CC 25.16.040.B
Group home CC N N CC 25.16.040.B
Single -room occupancies N N N NNC
Homeless Shelter N N N NNP
Recreation, Resource Preservation, Open Space, and Public Assembly Uses
Amusement facility, indoors
Amusement facility, outdoors
Community facility
Day care center
Emergency shelters
Entertainment facility, indoor
Entertainment facility, outdoor
Institution, educational
Institution, general
Institution, religious
N N C CCN
N N N CCN
N N N NNP
N C C CCN
N P N NNP
N N N PPN
N N N PPN
CC C N NC
C N C N NC
C N C N NC
Open space (developed or natural) N P P NPN
Recreation facility, commercial N N P PPN
Recreation facility, private N N N PPN
Theater/auditorium N N P PNN
Utility, Transportation, Public Facility, and Communication Uses
Commercial communication tower C C C C C C 25.16.040.0
Commercial parking lot C N N NNN
Public utility installation N N N NNP
Public facility (utility or service) N N N N N P
12
ORDINANCE NO. 1329
Utility facility
Retail, Service, and Office Uses
Adult entertainment N N N NNC 25.16.040.D
Ancillary commercial A P P P N A 25.16.040.E
Art gallery AP P P PC
Art studio AP P P PC
Bed and breakfast N A A A A N
Business support services N N N NPP
Cannabis Retail NC C CC N 25.34.120
Cannabis Testing Facilities C N N N NC 25.34.120
Convention and visitors bureau N N P N P N
Drugstore N P P PNN
Financial institution C P P PNN
Grocery store N P P P N N 25.16.040.F
Health club, gyms or studios NA P P PC
Hotel NA A A P N
Liquor store N P P P N N
Liquor, beverage and food items shop N P P P P N
Medical, clinic P N P PNN
Medical, office PP P PNN
Medical, hospital N N N NNC
Medical, laboratory P N N NNP
Medical office, accessory N N N NNP 25.16.040.G
Medical, research facility P P N NNC
Mortuary N N N NNP
Office, professional P N P PPP
Office, local government P N N NNP
Office, travel agency PP P PPN
Outdoor sales N N A A A A
Personal services N P P PPN
Restaurant A C C C P C 25.16.040.E / H
Retail N P P PPN
Retail, bulky items N N N PPN
Spa N N P P P N
13
ORDINANCE NO. 1329
Time-share project
Automobile and Vehicle Uses
Automotive rental agency
Automotive gasoline station
Automotive service facility
N
N N N NPP
N N C CNC 25.34.090
N N C CNP 25.34.090
Automotive sales new and used (Outdoorllndoor) N N N NNC
Automotive sales of accessory parts and supplies N N N PPN
Vehicle storage facility N N N N N P 25.16.040.1
Industrial, Manufacturing, and Processing Uses
Cannabis Cultivation N N N NNC 25.34.120
Cannabis Delivery N N N NNC 25.34.120
Cannabis Distribution N N N NNC 25.34.120
Cannabis Manufacturing N N N N NC 25.34.120
Industrial planned unit development N N N NNP
Light industrial and research and development N N N NNP
Maintenance facility N N N NNP
Pest control facility N N N NNP
Preparation of foodstuffs N N N NNP
Production of home and office decor accessories N N N NNP
Warehouse or storage facility N N N NNP
Temporary Uses
See Section 25.34.080
The establishment may be permitted with an Administrative Use Permit but may be elevated to a Conditional Use Permit at the
discretion of the Z4 based on: parking, traffic, or other impacts.
25.16.040 Specific Use Standards
The following provisions apply as indicated to the uses listed in Table 25.16-1 (Use Matrix
for Commercial and Industrial Districts):
A. Caretaker Housing. Permitted only when incidental to and on the same site as a
permitted or conditional use.
B. Residential (mixed use). Residential uses may be established and maintained to
be compatible with the permitted or the approved conditional uses in the vicinity.
C. Commercial Communication Tower. All communication towers and antennas shall
satisfy the requirements of Section 25.34.130 (Communication Tower and Antenna
Regulations).
14
ORDINANCE NO. 1329
D. Adult Entertainment. All uses defined as adult entertainment are required to meet
the provisions established by Section 25.34.110 (Adult Entertainment
Establishments).
E. Commercial (ancillary). Applicable only to office and industrial complexes that
occupy a minimum of two acres. Restaurant uses shall not exceed 10 percent of the
gross leasable floor area and the total ancillary commercial uses, including
restaurants, shall not exceed 25 percent of the gross leasable floor area of the
complex. A Conditional Use Permit or Administrative Use Permit is required to
review land -use compatibility and to ensure that adequate parking exists to serve the
commercial use.
F. Grocery Stores. Limited to a maximum building size of 10,000 square feet in PC-1,
30,000 square feet in PC-2, and 60,000 square feet in PC-3.
G. Medical Offices, accessory. Permitted only when ancillary to and in conjunction
with the operation of a hotel.
H. Restaurants. Drive -through and drive-in facilities permitted by a Conditional Use
Permit as follows:
1. Permitted locations.
i. Within Freeway Commercial Overlay District
ii. On the following streets and as indicated in Figure 25.10-2: Monterey Avenue
and Portola Avenue from the northern city boundary to the north side of
Gerald Ford Drive.
2. Development standards.
i. Drive -through lanes and window facilities shall be designed in a manner that
they are screened and/or not visible from surrounding public streets.
ii. Drive -through vehicle queue must be permanently screened and/or not visible
from surrounding public streets.
I. Vehicle Service and Storage Facility. The storage facility must be completely
screened.
25.16.050 Development Standards
The development standards included in Table 25.16-2 (Commercial and Industrial District
Development Standards) are applicable to commercial and industrial districts. These
standards, along with other development standards (e.g., landscaping requirements, signs,
and parking standards) located in the zoning ordinance, are intended to assist property
owners and project designers in understanding the City's minimum requirements and
expectations for high -quality development.
A. Special setback requirements. In addition to the setback requirements in Table
25.16-2 (Commercial and Industrial District Development Standards) the following
special setback provisions apply:
15
ORDINANCE NO. 1329
1. On interior Tots in the PC zone districts, setbacks shall be the lesser of the
setback requirement listed in Table 25.16-2 (Commercial and Industrial District
Development Standards). For exterior lots or projects perimeter adjacent to
public streets the setback standards below shall apply. Said setbacks shall be
measured from the property line.
2. Building setbacks from planned street lines:
D. Table 25.16-2: Setbacks from Planned Street Lines
Street Type Setback Distance
Freeway 50 feet
Major 32 feet
Arterial 32 feet
Collector 25 feet
Local 25 feet
3. Where commercial districts abut a residential district, a fence or wall that is six (6)
feet in height shall be located adjoining the property line except adjoining a required
front yard. All commercial district property lines adjoining a residential district shall be
landscaped with plant materials for an area 10 feet in depth.
4. All unpaved areas shall be landscaped and treated or maintained to eliminate dust.
B. Exceptions. Development standards within the PC districts may be modified through the
Precise Plan process as specified in Section 25.72.030Special standards within the
Service Industrial (51) district.
Sound emanating from industrial properties shall be muffled so as not to become
objectionable due to intermittence, beat frequency, or shrillness. The measurements
of sound shall be measured at the lot lines and shall be measured in decibels with a
sound level meter and associated octave band filter, manufactured according to
standards prescribed by the American Standards Association. Maximum permissible
sound pressure levels shall comply with the limits at table 25.16-2 and the following
standards:
16
ORDINANCE NO. Iva
Table 25.16-3: Maximum Permitted Decibels
Octave Band in Cycles -
I 5econdfdecibeisl
Adjacent Residential District
B flu n daries f de c ibels]
Lot Line of Use in the SI
Zoneldecibelsl
0-75 72 79
76-150 59 74
151-300 52 66
301-600 46 59
601-1200 42 53
1201-2400 39 47
2401-4800 34 41
Above 4800 32 39
1. The maximum sound pressure level in decibels shall be 0.002 dynes per square
centimeter.
2. Toxic gases or matter shall not be emitted which can cause any damage to
health, animals, or vegetation, or other forms of property, or which can cause any
excessive soiling beyond the lot lines of the use.
3. Vibration from any machine, operation, or process which can cause a
displacement of .003 of 1 inch as measured at the lot lines of the use shall be
prohibited. Shock absorbers or similar mounting shall be allowed, which will
reduce vibration below .003 of 1 inch as measured at the lot lines.
4. Glare and heat from any source shall not be produced beyond the lot lines of the
use.
5. Storage of refuse, trash, rubbish, or other waste material outside a permanent
building shall be kept in enclosed containers in areas other than the front and
side yards.
6. Lighting, including spotlights, floodlights, electrical reflectors, and other means of
illumination for signs, structures, landscaping, parking areas, loading and
unloading areas, and the like shall be shielded, focused, directed, and arranged
as to prevent glare or direct illumination on streets or adjoining property.
7. Unless specific additional uses are permitted by the Certificate of Occupancy, the
use of radioactive materials within the SI district shall be limited to measuring,
gauging and calibration devices, as tracer elements, in x-ray and like apparatus,
and in connection with the processing and preservation of foods. In no event
shall radioactivity, when measured at each lot line, be in excess of 2.7 x 10-11
micro curies per milliliter of air at any moment of time.
S. Electrical and electronic devices and equipment shall be suitably wired, shielded,
and controlled so that in operation they shall not, beyond the lot lines, emit any
17
ORDINANCE NO. 1329
electrical impulses or waves which will adversely affect the operation and control
of any other electrical or electronic devices and equipment. (Ord. 96 § 1, 1975,
Exhibit A § 25.20-7.16)
C. Special standards within the Office Professional (OP) district.
1. When adjacent to single -story residential, the rear and exterior side yard
setbacks shall be increased by 6.43 feet for each foot of building height above 18
feet up to 25 feet tall. See table below:
Table 25.16-4: Additional Setback in OP District
Height
19 feet
20 feet
21 feet
22 feet
23 feet
24 feet
25 feet
Setback
Distance
26.43 feet
32.86 feet
39.29 feet
45.72 feet
52.15 feet
58.58 feet
65 feet
2. Second -story Windows: Second -story windows are allowed to face adjacent
single -story residential zones with sufficient screening; either with landscaping or
another method as approved through the precise plan process.
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ORDINANCE NO. 1329
Exhibit C - 25.18.040 Land Use and Permit Requirements
Amend Table 25.18-1. "Use Matrix for Downtown Districts" to the following:
Land Use
I
Zone
D I D-O I DE I DE-0
Special Use Provisions
Retail, Service, and Office Uses
Cannabis Retail
C N C N 25.34.120
Cannabis Testing Facilities C N N N 25.34.120
23
ORDINANCE NO.: 1329
Exhibit D
PDMC SECTION 5.101 Commercial Cannabis Regulatory Permits
A. Purpose and Intent
In coordination with Municipal Code Section 25.34.120 it is the purpose and intent of this
section to regulate the commercial cultivation, personal cultivation, manufacturing, testing,
distribution, transportation, delivery, dispensing, retail sale, and personal adult use of
medical cannabis and nonmedical cannabis within the City of Palm Desert. This section is
prepared in accordance with the Compassionate Use Act of 1996 (CUA), the Medical
Marijuana Program Act (MMPA), and the Medicinal and Adult -Use Cannabis Regulation and
Safety Act (MAUCRSA) (collectively, "State Law"), which give local jurisdictions the
authority to establish land use regulations related to the personal and commercial uses of
cannabis. It is the intent of the City to allow personal cultivation at residential properties and
commercial cannabis operators within city boundaries, subject to approval of special
permitting, terms, conditions, confirmation of a state issued license, and in accordance with
the provisions of this title.
Nothing in this chapter shall be construed to (1) permit persons to engage in conduct that
endangers others or causes a public nuisance, (2) permit the use or cultivation of cannabis
beyond the limits established in state law related to cannabis, or (3) permit any activity
relating to the dispensing, cultivation, processing, or distribution of cannabis that is illegal
under state law, generally.
B. Definitions
Unless the particular provision or context otherwise requires, the definitions and provisions
contained in this section shall govern the construction, meaning, and application of words
and phrases used in this chapter. Words and phrases not specifically defined in this code
shall have the meaning ascribed to them as defined in the following sources: The California
Business and Professions Code Section 19300.5 and Section 26001, The Compassionate
Use Act of 1996 (CUA), The Medical Marijuana Program (MMPA), and the Medicinal and
Adult -Use Cannabis Regulation and Safety Act (MAUCRSA).
"Cannabis" means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or
Cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or
purified, extracted from any part of the plant; and every compound, manufacture, salt,
derivative, mixture, or preparation of the plant, its seeds, or resin. "Cannabis" also means
the separated resin, whether crude or purified, obtained from cannabis. "Cannabis" also
means cannabis as defined by Section 11018 of the Health and Safety Code as enacted by
Chapter 1407 of the Statutes of 1972.
"Cannabis accessories" means any equipment, products or materials of any kind which are
used, intended for use, or designed for use in planting, propagating, cultivating, growing,
harvesting, manufacturing, compounding, converting, producing, processing, preparing,
testing, analyzing, packaging, repackaging, storing, smoking, vaporizing, or containing
ORDINANCE NO.: 1329
cannabis, or for ingesting, inhaling, or otherwise introducing cannabis or cannabis products
into the human body.
"Cannabis dispensary/retailer" 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.
"Cannabis manufacturer" means a person that conducts the production, preparation,
propagation, or compounding of manufactured cannabis, or cannabis products either
directly or indirectly or by extraction methods, or independently by means of chemical
synthesis or by a combination of extraction and chemical synthesis at a fixed location that
packages or repackages medical cannabis or cannabis products or labels or re -labels its
container.
"Cannabis products" means cannabis that has undergone a process whereby the plant
material has been transformed into a concentrate, including, but not limited to, concentrated
cannabis, or an edible or topical product containing cannabis or concentrated cannabis and
other ingredients.
"City" means the City of Palm Desert.
"Commercial Cannabis Business" means any commercial operation associated, in whole or
in part, with the cultivation, possession, manufacture, distribution, processing, storing,
laboratory testing, labeling, transporting, sale, dispensing, delivery or transport of cannabis
and cannabis products.
"Cultivation" means any activity involving the planting, growing, harvesting, drying, curing,
grading, or trimming of cannabis.
"Delivery" means the commercial transfer of cannabis or cannabis products to a customer.
"Delivery" also includes the use by a retailer of any technology platform owned and
controlled by the retailer, or independently licensed under California law, which enables
customers to arrange for or facilitate the commercial transfer by a licensed retailer of
cannabis or cannabis products.
"Distribution" means the procurement, sale, and transport of cannabis and cannabis
products between entities for commercial use purposes.
"Fully Enclosed and Secured Structure" means a space within a building, greenhouse, or
other approved structure which has a complete roof enclosure supported by connecting
walls extending from the ground to the floor, which is reasonably secure against
unauthorized entry, provides complete visual screening or is behind fencing or other
features providing complete visual screening, and which is accessible only through one of
more lockable doors and is inaccessible to minors.
"Licensee" means the holder of any state issued license related to Commercial Cannabis
Businesses, including but not limited to licenses issued under Division 10 of the Business &
Professions Code.
ORDINANCE NO.: 1329
"Manufacture" means to compound, blend, extract, infuse, or otherwise make or prepare a
cannabis product.
"Private Residence" means a house, an apartment unit, mobile home, or other similar
dwelling unit.
"Sale" includes any transaction whereby, for any consideration, title to cannabis is
transferred from one person to another, and includes the delivery of cannabis or cannabis
products pursuant to an order placed for the purchase of the same and soliciting or
receiving an order for the same, but does not include the return of cannabis or cannabis
products by a licensee to the licensee from whom such cannabis or cannabis product was
purchased.
C. Operational Requirements
All commercial cannabis businesses permitted in accordance with Chapter 25.34.120
"Cannabis Use and Regulations" are subject to the following operational requirements:
1. Commercial Cannabis Businesses shall be conducted only within a Fully
Enclosed and Secured Structure that is not accessible to minors.
2. Commercial Cannabis Businesses shall not create nuisance issues such a dust,
glare, heat, noise, smoke, odor, and shall not be hazardous to use or storage of
materials, processes, products, or wastes.
3. All cannabis and cannabis products shall be kept in a secured manner during all
business and nonbusiness hours.
4. Commercial Cannabis Businesses shall utilize product and inventory tracking
software and accounting software that is in -line with reasonable business
practices within the industry.
5. Commercial Cannabis Businesses shall install and operate security cameras at
their place of business as follows:
i. Security cameras shall be installed and maintained in good condition at all
times. The areas to be covered by the security cameras include, but are not
limited to sale, cultivation, manufacturing, processing, transportation, and
distribution areas, all doors and windows, and any other areas as reasonably
determined by the Planning Commission.
ii. Cameras shall be in use 24 hours per day, seven days per week.
iii. Commercial Cannabis Business operators shall maintain at least 120
concurrent hours of digitally recorded documentation.
iv. Any disruption in security camera images shall be cured expeditiously and in
good faith.
ORDINANCE NO.: 1329
6. Operators shall install alarm systems that are operated and monitored by an
independent third party security company.
7. All storage areas shall be locked at all times and under control by the operator's
staff.
8. All cannabis and cannabis products shall be securely stored and not accessible
to the general public.
D. Conditional Use Permit Submittal Requirements
In addition to the requirements listed in the Conditional Use Permit, all Commercial
Cannabis Businesses shall submit the following information in conjunction with the
review of a Conditional Use Permit:
1. Background Check. The applicant is required to provide names, addresses, and
relevant criminal histories of those with an ownership interest of twenty-five
percent (25%) or more, and for themselves and the highest ranking employee
(manager, director, etc...) at the Commercial Cannabis Business. The
background check must be submitted on a form prescribed by the City and can
be obtained at the City's Business Licensing Division.
2. Business Plan. To be submitted for operational, banking, and personal
procedures to ensure adequate business knowledge, modeling and support.
3. Exterior Facade. Renderings of the business facade shall be provided and
reviewed as part of the Conditional Use Permit. Building facade plans shall
include renderings of the exterior building elevations for all side of the building.
All building facades shall be tastefully done and in keeping with the high
architectural quality and standards of the City of Palm Desert. Because State
Law limits certain advertising, the business facade and building signs shall be
compatible and complimentary to surrounding businesses and shall add visual
quality to the area.
4. Open Premises Agreement. By receiving approval of a Conditional Use Permit
the operator of a Commercial Cannabis Business is agreeing to open the
business to City officials at any time during business hours for inspection and to
review that the operator is operating in accordance with the conditions of this title
and the Conditional Use Permit.
5. Cultivation operators shall supply an energy and water assessments for review
as part of the Conditional Use Permit process. These assessments shall estimate
the total amount of annual electrical and water use required to operate the
Commercial Cannabis Business. Review of the assessment may require the
applicant to supplement electrical and water use at the site to minimize adverse
environmental impacts.
6. Security Plan. All Commercial Cannabis Activities shall provide a security plan
and demonstrate compliance with the security camera provisions outlined in
ORDINANCE NO.: 1329
Section F4 of this Ordinance.
7. Access Plan and 24-hour Emergency Contact Information. The applicant shall
provide contact information including name, email, and 24-hour accessible phone
number to the Community Development Department and Sheriff's Department.
8. Community Relations. The applicant shall provide a 24-hour contact number to
surrounding property owners within 100-feet of the operators location. By
issuance of a Conditional Use Permit that operator of a Commercial Cannabis
Business agrees to respond to inquiries, concerns, and complaints by
surrounding property owners.
9. Odor Control. The applicant shall identify methods for ensuring odors emanating
from a Commercial Cannabis Activities do not interfere with surrounding
businesses and the public realm. Odor control methods, include, but are not
limited to, use of odor absorbing ventilation and exhaust systems, negative air
pressure, and other treatments.
10. Annual License Renewal All Commercial Cannabis Businesses are required to
provide a valid license issued from the State Bureau of Cannabis Control at time
of business license renewal. Business license are required to be renewed on an
annual basis.
11. Indemnification Agreement. All commercial cannabis businesses that obtain a
Conditional Use Permit shall, and by acceptance of the permit, agree to hereby
indemnify and hold harmless the City, its officers, agents and employees from
any and all damages, claims, liabilities, costs including attorney fees, suits or
other expenses resulting from and arising out of said commercial cannabis
business operations.
E. Penalties for Violation
No person, whether as principal, agent, employee or otherwise, shall violate, cause
the violation of, or otherwise fail to comply with any of the requirements of this section.
Every act prohibited or declared unlawful, and every failure to perform an act made
mandatory by this section, shall be a misdemeanor or an infraction, at the discretion of
the City Attorney or the District Attorney. In addition to the penalties provided in this
section, any condition caused or permitted to exist in violation of any of the provisions of
this section is declared a public nuisance and may be abated as provided under the
Municipal Code or State Law, and may result in revocation of a Conditional Use Permit.
F. Grounds for Denial, Revocation or Suspension
The issuance of a Conditional Use Permit for the operation of a Commercial Cannabis
Business may be denied, and an existing license may be revoked or suspended, if the
license holder or applicant:
1. Has knowingly made false statements in their application or in any reports or
other supporting documents furnished by the applicant.
ORDINANCE NO.: 1329
2. Has been convicted of any offense related to the use, sale, possession or
transportation of narcotics or habit-forming drugs.
3. Has been convicted of any offense punishable as a felony, or has been convicted
within a 10 year period immediately preceding the crime of theft in either degree.
4. Failed to pay required taxes and business license fees.
5. Failure to maintain a valid State issued license from the Bureau of Cannabis
Control.
6. Has failed to comply with the conditions imposed on the Conditional Use Permit.
7. Has violated any provision of this chapter.
Date
8/2017
Ordinance Na. 1329
POTENTIAL CANNIBIS LOCATIONS
PERMITTED
Retail
Testing
Testing, Cultivation, Manufacturing, Distribution & Delivery
City Boundary
PROHIBIT
School / Child Care / Youth Center Parcels
1 600' Buffer
42)
Vicinity Map
CITY OF PALM DESERT
LEGAL NOTICE
CASE NO. ZOA 17-027
NOTICE OF INTENT OF THE PALM DESERT CITY COUNCIL TO ADOPT A ZONING
ORDINANCE AMENDMENT AMENDING PALM DESERT MUNICIPAL CODE SECTION
25.34.120 CANNABIS USE AND REGULATIONS AND SECTIONS 25.16 COMMERCIAL
AND INDUSTRIAL DISTRICTS AND 25.18 DOWNTOWN DISTRICTS TO ALLOW FOR
CANNABIS BUSINESSES WITHIN THE CITY, SUBJECT TO A CONDITIONAL USE PERMIT
The City of Palm Desert (City), in its capacity as the Lead Agency under the California
Environmental Quality Act (CEQA), has determined that this Zoning Ordinance Amendment
(ZOA) is exempt from CEQA review pursuant to Section 15060(c)2 in that the proposed action
will not result in a direct or reasonable foreseeable indirect physical change in the environment,
and Section 15061(b)3 in that the ZOA to regulate the use of cannabis and cannabis
businesses is not a "project" and is not subject to CEQA review. On August 1, 2017, the Palm
Desert Planning Commission adopted a Notice of Exemption in accordance with CEQA.
Project Location: City-wide
Code Amendment Description:
Section 25.34.120 will be retitled to Cannabis Use and Regulations to reflect the allowance of
both medicinal and adult use of cannabis in accordance with the Medicinal and Adult -Use
Cannabis Regulations and Safety Act (MAUCRSA) approved by the State of California. The
City's Ordinance will allow for retail cannabis uses within the City's commercially zoned
properties, testing and research facilities within the City's Service Industrial and Office
Professional zoned properties; and cultivation, manufacturing, distribution, and delivery in the
City's Service Industrial zones. All cannabis related businesses will be subject to a separation
requirement of 1,500 feet from other cannabis related businesses, and review and approval of a
Conditional Use Permit (CUP). Cannabis businesses must also meet State guidelines imposed
by the Bureau of Medicinal Cannabis Regulations and are subject to State licensing
requirements.
Planning Commission Recommendation: The City of Palm Desert Planning Commission
reviewed Case No. ZOA 17-027 at their meeting on August 1, 2017. The Planning Commission
voted in favor (3-1-1) recommending approval of the ZOA to the City Council.
Recommendation: Staff is recommending that the City Council adopt an ordinance amending
the Zoning Ordinance to establish cannabis regulations and allow for cannabis businesses
within the City.
Public Hearing: The public hearing will be held before the City Council on August 24, 2017, at
4:00 pm.
Comment Period: Based on the time limits defined by CEQA, your response should be sent at
the earliest possible date. The public comment period for this project is from August 14, 2017 to
August 24, 2017.
Public Review: The ZOA is available for public review daily at City Hall. Please submit written
comments to the Community Development Department. If any group challenges the action in
court, the issues raised may be limited to only those issues raised at the public hearing
described in this notice or in written correspondence at, or prior to, the City Council hearing. All
comments and any questions should be directed to:
Eric Ceja, Principal Planner
City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, CA 92260
(760) 346-0611
eceja@cityofpalmdesert.org
PUBLISH: DESERT SUN RACHELLE D. KLASSEN, CITY CLERK
August 14, 2017 CITY OF PALM DESERT, CALIFORNIA
2
August 23, 2017
Honorable Jan Harnik
Mayor
City of Palm Desert
HAND DELIVERED
Dear Mayor Harnik:
NOBLE & COMPANY, LLC RECEjY
CITY CLERK OFFICE
PALM DESERT. CA
Re: Proposed Cannabis Ordinance
2011 AUG 23 PM 1: 06
Enclosed please find copies of correspondence dating back to April 28, 2017. On behalf of the Gateway Industrial Park at
Palm Desert POA and Noble & Company, LLC, I have raised several concerns regarding the referenced proposed
ordinance and the following concerns are still open:
1. The proposed ordinance does not adequately protect residential properties. All other such ordinances that I
have reviewed require a minimum 250 foot separation between cannabis businesses and residential
properties The proposed Palm Desert ordinance would prohibit such businesses from properties which
"abut...private residential properties...". The provided definition of "private residence" is "...a house, an
apartment unit, mobile home or other similar dwelling unit." No definition of the term "private residential
properties" is provided and one should be added providing that such properties are those zoned for any
residential use. Also, due to the likelihood that such business will emit noxious orders as well as the
possibility of robberies and burglaries due the their cash nature, a 250 foot separation should be the
minimum required;
2. We request that, as part of the City's CUP process for cannabis businesses, applicants be advised to
determine whether the property on which they intend to operate is subject to CC&Rs. If so, a determination
by the Property Owners' Association or other entity with reviewing authority that the proposed business is
allowed under the CC&Rs would be required.
Thank you for your attention to these requests. I will be happy to provide any additional information that would be
helpful.
Sincerely,
Thomas S. Noble
Cc: Mayor Pro Tem Jonathon
Councilmember Kelly
Councilmember Nestande
Councilmember Weber
Lauri Aylaian
Ryan Stendell
Eric Ceja
34360 Gateway Drive, Palm Desert, CA 92211
Tel. (760) 770-3100 • Fax (760) 770-3199 • noblecompanyllc@aol.com
www.noblecompanyllc.com
Gateway Industrial Park at Palm Desert
Property Owners' Association, Inc.
PO Box 12950
Palm Desert, CA 92255
(760) 770-3100 • Fax (760) 770-3199
April 28, 2017
Mr. Ryan Stendell
Director of Community Development
City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, CA 92260
By e-mail: rstendell@cityofpalmdesert.org
Original by U.S. Mail
Re: Draft Marijuana Use and Regulation Ordinance
Dear Ryan:
I have reviewed the referenced draft ordinance on behalf of the Gateway
Industrial Park at Palm Desert Property Owners' Association, Inc., and offer the
following comments:
1. Apparently the draft ordinance does not specify a minimum distance
by which a commercial marijuana operation must be separated from
residential property. Ordinances adopted by other Coachella Valley
cities require a minimum distance of 250 feet and we suggest that at
least that standard should apply in Palm Desert;
2. The recorded CC&Rs of the Gateway Industrial Park at Palm Desert
Property Owners' Association, Inc., provides at Section 8.2.5
Nuisance: "No Parcel or portion thereof shall be used for any purpose
or business which is dangerous or unsafe, which constitutes a
nuisance, or is in any way obnoxious or offensive by reason of, among
other things, the emission of dust, odors, smoke, vibrations, electro-
mechanical disturbances, intermittent lights, glare, noise, fumes, ash or
sound." We ask that any party requesting a CUP under this ordinance
(when/if adopted) be advised of this provision and that approval by
this Property Owners' Association be required before approval of any
such CUP.
Mr. Ryan Stendell
April 28, 2017
Page 2 of 2
Thank you for your attention to these requests, please feel free to contact us with
any questions or comments that you may have.
Sincerely,
Gateway Industrial Park at
Palm Desert Property Owners' Association, Inc.,
By:
Thomas S. Noble
President
Cc: Caroline Halcovich
Fadio Ceresa
5/3/2017 Gmail - Attached Letter
M Gmail
Attached Letter
Tom Noble anoblecompany760@gmail.com>
sharon noblecompanyllc.com <sharon@noblecompanyllc.com> Sat, Apr 29, 2017 at 10:57 AM
To: noblecompany760@gmail.com
Original Message
From: eceja@cityofpalmdesert.org
To: sharon a@7noblecompanyllc.com
Cc: rtendell@cityofpalmdesert.org
Date: April 28, 2017 at 6:05 PM
Subject: RE: Attached Letter
Hi Tom,
Thank you for your letter regarding the City's Cannabis Ordinance. So far the committee has not
considered a separation requirement between cannabis uses and residential properties. 1 think this is
because some are looking to treat cannabis like any other retail establishment and we do not have that
requirement for other retail uses. I will present your idea to the committee at their next meeting in late May
and see what they recommend. Regarding you second concern, property owners retain the right to lease to
businesses they see fit for their properties. All Conditional Use Permit applications require the property
owner to consent (sign off) to the use and without property owners consent we will not even lake in the
application. --- I f
Thanks,
Eric Ceja, Principal Planner
Community Development Department
eceja@cityofpalmdesert.org
P: (760) 346-0611 F: (760) 776-6417
City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, CA 92260-2578
—Original Message ---
From: Stendell, Ryan
Sent: Friday, April 28, 2017 12:01 PM
To: Ceja, Eric
Subject: FW: Attached Letter
Ryan Stendell
Director of Community Development
Ph: 760.346, 0611 Direct: 760.776.6386
rstendell@cityofpalmdesert.org
----Original Message —
From: Sharon Walton[mailto:sharon@noblecompanyllc.com]
Sent: Friday, April 28, 2017 12:00 PM
To: Stendell, Ryan
Cc: fceresal@gmail.com: 'Tom Noble'
Subject: Attached Letter
Mr. Stendell,
Please see attached letter from Tom Noble. If you have any questions, please do not hesitate to contact
him directly on his cell 760-221-3559.
Thank you.
baps://mail.gangle.cam/matVu/0/?ui=2&ik=5a8da8f852&view=pt&msc l5bbadcbalr0,4L earth=inhox&simi=15bbadcb9oe29a9c 1/2
Gateway Industrial Park at Palm Desert
Property Owners' Association, Inc.
PO Box 12950
Palm Desert, CA 92255
(760) 770-3100 • Fax (760) 770-3199
May 3, 2017
Mr. Eric Ceja
Principal Planner
Community Development Department
City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, CA 92260
By e-mail: ecei a0,citvofnalmdesert.ore
Original by U.S. Mail
Re: Draft Marijuana Use and Regulation Ordinance
Dear Eric:
Thanks for your very prompt reply to my letter of April 2861 to Ryan Stendell. 1 will
appreciate your bringing my comments regarding the need for a specified minimum distance
between a cannabis facility and residential property to the attention of the members of the
cannabis advisory committee and I hope that they will follow the lead of other jurisdictions in
recommending same.
I do not understand the concept of treating cannabis operations which may be permitted
by the proposed ordinance "...like any other retail establishment....". The proposed ordinance
would allow the full spectrum of marijuana related functions including cultivation and
manufacture. It is questionable whether such activities are appropriate in Palm Desert's Service
Industrial (SI) zone and they certainly do not meet the stated goals of the City's commercial
areas.
The CC & R's of the Gateway Industrial Park at Palm Desert Property Owners'
Association, Inc., present a separate issue. The restrictions quoted in my April 281hletter are
binding on all users of property in this development, not just owners. Owners of such property
should be aware of the CC&Rs but tenants may not be. It would be in no one's interest for a
tenant to be granted a CUP for a function which would emit odors in violation of the CC&Rs.
Rather than to get into the legal wrangling entailed in the enforcement of CC&Rs it would be
much better to be certain that all patties to a potential lease or sale have actual notice of the use
restrictions which apply to this development. We will call the attention of all owners within this
Mr. Eric Ceja
May 3, 2017
Page 2 of 2
association to the restrictions set out in the CC&Rs and we think that it would be wise for the
City to do likewise.
Thank you again for your attention to these concerns. Please let me know if you would
like to discuss these issues in person. Also, please advise me of all future meetings on this
matter.
Sincerely,
Gateway Industrial Park at
Palm Desert Property Owners' Association, Inc.,
By: p"1e
Thomas S. Noble
President
Cc: Caroline Halcovich
Fabio Ceresa
5/17/2017 Gmail - Attached letter
Forwarded message ---------
From: Tom Noble <noblecompany760@gmail.com>
Date: Fri, May 5. 2017 at 9:34 AM
Subject: Re: Attached letter
To: eceja@cityofpalmdesert.org
Cc: sharon[]a nobiecompanyllc.com, Bob Hargreaves <Robert.Hargreaves@bbklaw.com>
Eric,
Thanks for the up -date. Sorry to load you down with more questions but will you recommend a specific number of feet
between cannabis facilities and residential property? When will the next committee meeting be held?
Also, just to be clear, my concern regarding such facilities being in violation of our CC&Rs does not end with a property
owner's approval of a tenant's or purchaser's application. It is very possible that an owner could give such approval but
that the subject facility would be in violation of the CC&Rs by, as one example, emitting odors once it goes into
operation. In such a case the FDA would have the right to seek an injunction to stop such odors even if that required
shutting down the business. It is obviously in everyone's interest to make all parties fully aware of the CC&R's
provisions at the outset instead of having to enforce them with expensive legal action at a later date. Since this is
largely a legal question I am copying the city attorney on this message.
Thank you again for your attention to these matters.
Tom Noble
On Thu, May 4, 2017 at 5:12 PM, <eceja@cityofpalmdesert.org> wrote:
Thank you for the letter. I will be recommending to the Committee that we prohibit cannabis related uses adjacent to
residential properties. In addition, we do not receive or approve conditional use permit applications without property
owner authorization.
Thanks,
Eric Ceja, Principal Planner
Community Development Department
eceja@cityofpalmdesert.org
P: (760) 346-0611 F: (760) 776-6417
City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, CA 92260-2578
Go gle
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ORDINANCE NO. 1329
REQUEST:
CITY OF PALM DESERT
COMMUNITY DEVELOPMENT DEPARTMENT
STAFF REPORT
CONSIDERATION TO ADOPT A ZONING ORDINANCE AMENDMENT
AMENDING PALM DESERT MUNICIPAL CODE SECTION 25.34.120
CANNABIS USE AND REGULATIONS AND CHAPTERS 25.16
COMMERCIAL AND INDUSTRIAL DISTRICTS AND 25.18
DOWNTOWN DISTRICTS TO ALLOW FOR CANNABIS BUSINESSES
WITHIN THE CITY, SUBJECT TO A CONDITIONAL USE PERMIT; AND
ESTABLISH PALM DESERT MUNICIPAL CODE SECTION 5.101
COMMERCIAL CANNABIS REGULATORY PERMITS
SUBMITTED BY: Eric Ceja, Principal Planner
APPLICANT: City of Palm Desert
CASE NO.: ZOA 17-027
DATE: September 7, 2017
Recommendation
1. Continue this matter until the September 28, 2017 City Council meeting.
Discussion
At the time of printing the City Council agenda for September 7, 2017 staff has not
yet completed the requested revisions as directed by the City Council at its August
meeting. Staff requests that the City Council continue this matter until the September
28, 2017, regular City Council meeting.
Department Head:
it
Ryan Stendell, Director of Community Development
Approval:
Lauri Aylaian, City Manager
Klassen, Rachelle
Subject: FW: City of Palm Desert: Website Contact Us Form Submission
Rachelle Klassen
City Clerk
Ph: 760.346.0611 Direct: 760.776.6304
rklassen@cityofpalmdesert.org
From: webmaster(acitvofpalmdesert.ora [mailto:webmaster(acitvofpalmdesert.oral
Sent: Thursday, September 07, 2017 7:54 AM
To: Information Mail
Subject: - City of Palm Desert: Website Contact Us Form Submission
A new entry to a form/survey has been submitted.
Form Name:
Date & Time:
Response #:
Submitter ID:
IP address:
Time to complete:
Survey Details
Page 1
Contact Us
09/07/2017 7:53 AM
615
5476
47.158.96.188
7 min. , 16 sec.
Your Contact Information
First Name
Email Address
Address
City
ZIP Code
lama:
(o) Palm Desert Resident
Kathy
ChattvKathvgoUSC@aol.com
38642 Gladiolus Lane
Palm Desert
92211
Last Name
Phone Number
Address 2
State
Faria
Not answered
Not answered
California
r.AP
0
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Comments or Concerns:
I for one am so sad to see that we will have to have marijuana stores all over Palm Desert. The fact that we have come to the
1
place where we have to encourage the use of drugs is a sad commentary on this society.
I hope you will be able to limit the number of these stores as best you can.
Marijuana IS a gateway drug. 90% of people in rehab for hard drugs..say they started on marijuana.
So don't be deceived...this is going to cause even more problems. People driving around stoned etc.
So sorry to see this happening.
Thank you,
City of Palm Desert
This is an automated message generated by the Vision Content Management SystemTM. Please do not reply directly to this email.
2
iecs Son
fine jewelers
September 8, 2017
City of Palm Desert
City Council
El Paseo Business Improvement District
To the City of Palm Desert,
I wish to express my opinion on the subject of the possibility of marijuana dispensaries on El Paseo.
I would like to go on record that we have no objection to the establishment of these businesses, in
select locations, providing they are designed and built with a high quality visual exterior and interior
appearance. In fact, we are in favor.
We have many vacancies on El Paseo and I believe a luxury, visually attractive dispensary, would only
help the business environment on El Paseo as a whole.
I would hope that if the City approves dispensaries, they will limit the quantity of these businesses and
require the business to be presented in a luxury fashion. I respectfully submit this recommendation,
both as merchant and as a building owner on El Paseo for many years.
Sincerely,
Terry L. Weiner
CEO
Leeds & Son
WBS Properties
73-670 El Paseo, Palm Desert, CA 92260 • (760) 568-5266 • fax (760) 773-2109
August 30, 2017
City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, CA 92260
Re: Cannabis Businesses on Et Paseo
Dear City Council:
t;hartwell 1•fr •,. iIE
INVESTING WITH WISDOM. FOUNDATION FOR LIFE"'
Commercial Real Estate Services
73-061 El Paseo, Suite 200 Palm Desert, CA 92260
tel 760.341.4888 fax 760.568.9958 chartwellproperties.net
My name is Fred Fern and I own and manage, along with my investors, several buildings on El
Paseo, primarily on the west end. With the support of the city, we have worked hard to build a
luxury shopping destination branded The Shops on El Paseo.
I've had the opportunity to meet with some of the council members to voice my concerns. When I
heard that the City is considering allowing cannabis stores on El Paseo, I became very alarmed. It
seems that this would be in direct conflict with the image and environment we have worked so
hard to create. Specifically, my concerns are as follows:
1. The negative impact on El Paseo's image as a high -end shopping destination.
2. Our ability to extend existing leases and lease to new moderate to high -end national
stores. Our stores are very concerned with co -tenancy and choose locations based on
having specific stores in close proximity.
3. The potential to attract an undesirable customer base. I am not nave to the position
that there are upstanding people that patronize these businesses, but there are also
those customers that could do great harm by making customers and neighboring
stores feel uncomfortable and potentially increasing crime.
4. When we started investing on El Paseo in 1984, we followed the dream of the Palm
Desert City fathers to make El Paseo the Rodeo Drive of the Desert. Rodeo Drive in
Beverly Hills does not allow cannabis business. I believe, as they believe, that these
type of stores will damage the image of El Paseo.
I ask that the City exclude the El Paseo Shopping District as an area where cannabis businesses
can be located.
Sincerely,
CHARTWELL PROPERTIES, INC.
red A. Fern
Chairman