The definitions for cannabis uses in this chapter shall be as defined in Section 19.90.020 of the municipal code. Additionally, the following definitions apply:
"Continual operation"
shall mean the business operates continuously and does not have a closure of operations for more than sixty consecutive days, except for closures that result from mandatory government closures, earthquakes, weather, civil unrest, global pandemics, and other factors beyond the business's control.
"Legacy medical business"
shall mean the four existing medical cannabis collectives that were lawfully operating in the City of West Hollywood on December 31, 2017.
"Top eight ranking adult use applicants"
means the top eight ranking adult use applicants from the city's May 2018, screening application process.
All references to the May 2018 screening application or process refer to the call for cannabis business license screening applications, committee member review, scoring, and ranking of applications between May 2018 and February 2019, that resulted in the adoption of Resolution No. 19-CAEC1 by the Cannabis Application Evaluation Committee.
(Ord. 09-833 § 4, 2009; Ord. 17-1016 § 8, 2017; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020)
a. 
Cannabis Business License Screening Application. In addition to the information prescribed by the Director pursuant to the authority set forth in Section 5.08.040, all screening applications for a license to conduct a cannabis adult-use retail establishment, consumption area, delivery service, or a cannabis medical-use dispensary, shall contain information related to the following categories:
1. 
Business plan;
2. 
Physical design and concept;
3. 
Security plan;
4. 
Experience.
Screening applications may be accepted without having secured a physical business location; however, a physical location shall be required prior to issuance of a business license by the city. Pursuant to Section 5.70.035, the specific criteria and weighting points for each of the categories listed above will be determined prior to the commencement of the initial screening application period and posted publicly.
b. 
Zone Clearance Application. If selected through the screening process as one of the top eight applicants in one of the license categories, cannabis businesses shall submit a zone clearance application in conformance with Section 19.10.030. All exterior building improvements, including façade improvements, shall be reviewed for conformance with the city's design standards prior to issuance of a zone clearance. The zone clearance for the location does not excuse compliance with any other requirement in the Zoning Ordinance or Building Code and any additional permits required may be obtained after the business license is issued but before operation.
c. 
Cannabis Business License Application. After obtaining an approved zone clearance, cannabis businesses shall submit a business license application to include all information required in Section 5.08.040 and the additional information described below, if applicable for a certain business type.
1. 
All the information provided in subsection (a), Cannabis business license screening application;
2. 
In the event the applicant is not the owner of record of the real property upon which the cannabis business is or is to be located, the application must be accompanied by a notarized statement and consent from the owner of the property acknowledging that a cannabis business is or will be located on the property. In addition to furnishing such notarized statement, the applicant shall furnish the name and address of the owner of record of the property, as well as a copy of the lease or rental agreement pertaining to the premises in which the cannabis business is or will be located;
3. 
An executed release of liability and hold harmless in the form set forth in the city's application form;
4. 
A description of the procedure for documenting the source of the cannabis to be dispensed by the cannabis use. If the cannabis is cultivated or manufactured off-site, documentation that the off-site location is compliant with the zoning regulations of the jurisdiction in which it is located;
5. 
Text and graphic materials showing the site in the context of the immediate neighborhood and floor plan of the facility;
6. 
A description of the screening, registration and validation process for qualified medical cannabis patients and that purchasers of medical-use cannabis are eighteen years of age or older and adult-use cannabis are twenty-one years of age or older;
7. 
A description of qualified patient records acquisition and retention procedures for medical-use dispensaries;
8. 
A description of the process for tracking cannabis quantities and inventory controls, including on-site cultivation (if any), processing and cannabis products received from outside sources;
9. 
A description of measures taken to minimize or offset energy use from the cultivation or processing of cannabis plants and products, if these uses are proposed as ancillary uses under Section 19.36.030;
10. 
A description of chemicals stored or used on-site and any effluent proposed to be discharged into the city's wastewater or storm water systems;
11. 
Authorization for the city to verify the information and representations contained in the application;
12. 
Delivery Services Application. A description of any cannabis delivery service, including number of delivery vehicles, location of vehicle storage, and extent of delivery area;
13. 
If consumption, cultivation, retail sales, dispensing, storage, or manufacturing is a planned part of the business, a description and plan of the odor control system to be utilized, such as roof ventilation and/or carbon air filtration, or other applicable odor control as required for compliance with Sections 5.70.040(k), 5.70.041(k), and 5.70.043(p);
14. 
If on-site consumption (including smoking, vaping, and ingestion of edible cannabis products) is a planned part of the business, provide a description of the consumption area. The onsite consumption plan must include: the site plan;
A. 
The secured location of the on-site consumption area clearly identified as part of the site plan;
B. 
A detailed description of how to prevent the visibility from any public place or non-age-restricted area (e.g. types of windows used, and/or example elevations as seen from the public right-of-way) pursuant to state law;
C. 
A detailed description of how access will be limited to persons twenty-one years of age or older; and
D. 
If smoking and vaping of cannabis products is proposed, a detailed description of compliance with Section 7.08.030 (Smoking Regulations) in the municipal code.
15. 
If manufacturing or cultivation is a planned part of the business as ancillary uses under Section 19.36.030, a Hazard Analysis Plan or equivalent document must be submitted to and approved by the Los Angeles County Fire Department as part of the application; and
16. 
Any additional information deemed relevant by the Director.
(Ord. 09-833 § 4, 2009; Ord. 17-1016 § 8, 2017; Ord. 18-1029 § 3, 2018; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020)
a. 
The applicant, and any existing or prospective manager, must be at least twenty-one years of age.
b. 
The applicant, or any existing or prospective manager, must not have had a similar type of license previously revoked or denied for good cause within the immediately preceding two years prior to the license application.
c. 
The applicant and proposed manager shall undergo a background investigation. Neither the applicant, nor any proposed or prospective manager, shall have been convicted of:
1. 
Any offense relating to possession, manufacture, sales, or distribution of a controlled substance, with the exception of cannabis related offenses;
2. 
Any offense involving the use of force or violence upon the person of another;
3. 
Any offense involving theft, fraud, dishonesty or deceit;
4. 
Sales of cannabis to a minor or use of a minor to distribute cannabis.
For purposes of this subsection (c), a conviction includes a plea or verdict of guilty or a conviction following a plea of nolo contendere. The above criteria are in addition to the provisions in Section 5.08.080 (Grounds for Denial of Business License) and any applicable provisions of state law.
d. 
The location for which the license is sought shall not be located within six hundred feet of a day care center, youth center or school, and otherwise comply with Sections 7.08.030, 19.10.030, 19.36.091, 19.36.092, 19.36.093, 19.36.340, 19.90.020, of the municipal code. For purposes of this section, youth center shall mean any public or private facility that is primarily used to host recreational or social activities for minors, including, but not limited to, private youth membership organizations or clubs, social service teenage club facilities, video arcades, or similar amusement park facilities as defined by state law; day care center means any child day care facility other than a family day care home, and includes infant centers, preschools, extended day care facilities, and school age child care centers as defined by state law; and school shall mean any property containing a structure which is used for education or instruction, whether public or private, at grade levels kindergarten through 12.
e. 
There shall be no more than the following number of cannabis business licenses issued at any one time in the following activity categories (1) – (5):
1. 
Eight adult-use retail business licenses.
2. 
Eight consumption area (smoking, vaping, ingestion) with on-site adult-use retail (sales of products to be consumed on-site) business licenses.
3. 
Eight consumption area (edible ingestion only) with on-site adult-use retail (sales of products to be consumed on-site) business licenses.
4. 
Eight medical-use dispensary business licenses (which includes the legacy medical business licenses authorized in this chapter).
5. 
Eight business licenses for cannabis delivery services located in West Hollywood and no limit on the amount of business licenses issued for cannabis delivery services that are located outside the city limits and deliver cannabis to customers within the City of West Hollywood.
f. 
A separate business license is required for each cannabis business activity listed in subsection (e). Multiple cannabis business activities are allowed at one location.
g. 
No separate cannabis business license is required for cannabis testing laboratories.
h. 
An applicant may not apply for, or possess, more than one of the same type of cannabis business license.
(Ord. 09-833 § 4, 2009; Ord. 17-1016 § 8, 2017; Ord. 18-1029 § 4, 2018; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020)
a. 
There shall be an initial 30-day cannabis business license screening application period to be determined by the City Manager, or designee. Subsequent cannabis business license screening application periods shall commence upon certification by the City Manager, or designee, that additional Cannabis Licenses are available and shall close 30 days after such certification. A subsequent screening application period shall not be commenced for any available consumption area (edible/ingestion only) licenses until July 1, 2030.
1. 
Waitlist Rule. The following rule applies to all license categories other than consumption area (edible/ingestion only) licenses. If any of the top ranked applicants have not secured a business license by the specified deadlines in subsection (h) below, the City Manager shall invite the next ranked applicant from the results of the City’s May 2018 screening application process in the applicable license category to apply for the requisite business license; however, the applicant waitlist shall expire on July 1, 2025. Once the waitlist applicant is notified of the right to apply for a vacant license, the applicant shall respond to the City in writing within 60 days of the date of the notice with a notice of intent to proceed with the licensing process, and secure a business license from the Business License Commission within 12 months of the date of the notice, or forfeit the ability to obtain the license. If the waitlist applicant fails to respond or fails to secure a license within that time frame, the ability to obtain a business license shall terminate.
b. 
An application evaluation committee composed of at a minimum three individuals with demonstrated experience in either city government or the cannabis industry, with no business interests in the City of West Hollywood shall be appointed by the City Manager to review and score each application based on the general criteria listed below. The specific criteria and weighting (points per criteria) for each license type will be determined prior to the commencement of the initial screening application period and posted publicly. Each application will be independently scored by the evaluation committee members.
c. 
The following general criteria shall be used to rank applications:
1. 
Previous adult-use retail, medical-use dispensing, or consumption area operation experience that was subject to state cannabis regulation, or experience in a similarly state-regulated activity (by way of example and not limitation, alcohol sales).
2. 
Ability to demonstrate the quality of cannabis strains and derivative product offerings.
3. 
Employee training, standard operating procedures, online ordering systems and procedures for providing medical cannabis to disadvantaged or disabled persons.
4. 
Social equity in terms of provision of providing a living wage and employee benefits and compliance with local, state, and federal employee non-discrimination policies.
5. 
Security program.
6. 
Pre-existing West Hollywood cannabis business that has no outstanding code violations with the city and is in compliance with local and state laws.
7. 
Ability to meet City of West Hollywood Urban Design Standards.
8. 
Additional information that demonstrates the ability to operate in a safe and responsible manner in the city, including, without limitation, a review of the quality and thoroughness of application materials, connection to West Hollywood, ability to serve West Hollywood, familiarity with the city, and innovative boutique business models consistent with the West Hollywood community.
d. 
Prior to scoring applications city staff shall review applications for general compliance with the city's municipal code or any other applicable laws, and shall reject any application which does not meet such requirements. Rejected applications shall not be scored. The city shall also disqualify any application that contains any false or misleading information.
e. 
The scores awarded by the application evaluation committee shall be totaled and averaged for each applicant. The applicants shall then be ranked from highest to lowest based on their scores.
f. 
The top eight applicants in each license category (or applicants applying for vacated licenses) based on points are required to secure a viable business location if one has not been secured and apply for and obtain a zone clearance (Chapter 19.42 of the municipal code) from the West Hollywood Planning and Development Services Department after being notified that their application has been accepted and ranked as one of the top eight applicants (or available vacated licenses).
g. 
Top ranked applicants (eight in each category) that have obtained a zone clearance from the city are required to be reviewed and approved by the Business License Commission prior to issuance of a business license by the city.
h. 
If any of the top eight ranking applicants in each of the license categories have not secured a business license from the city within thirty-six months of the city notifying them they were one of the top eight ranking applicants, their ability to obtain a business license shall terminate. The right to a obtain a license that was forfeited for failure to secure a license by the applicable deadline prior to August 3, 2020 (the effective date of this ordinance) remains forfeited and is not revived by this ordinance.
i. 
If any of the top eight ranking applicants in any of the license categories have failed to open the business and become operational within two years of securing Business License Commission approval of the license (as required under subsection (h), all rights to the license shall terminate and be forfeited. Notwithstanding, upon showing of significant and diligent progress towards opening, the city may provide extensions as follows:
1. 
Allowable Extensions.
A. 
No more than five total six-month extensions of time shall be issued to become operational after Business License Commission approval.
B. 
Notwithstanding above, the city may provide up to three additional six-month extensions of time to become operational, in addition to the extensions reflected in Subsection (i)(1)(A), for a total of eight six-month extensions after Business License Commission approval for applicants that were required to obtain a development permit and building permit under West Hollywood Municipal Code Title 19, and Title 13 for the purposes of constructing a new building to house the business.
C. 
Notwithstanding the above, applicants from the waitlist are only eligible for two total six-month extensions provided under subsection (i) after Business License Commission approval.
2. 
"Significant and diligent progress towards opening" means having demonstrated compliance with the following:
A. 
Applicants shall have an operative lease for the business location or hold title to the property no later than July 1, 2024, in order to be eligible for extensions after July 1, 2024.
B. 
Applicants shall resubmit plans within ninety days from the date that comments are communicated from the city on a planning or building and safety permit or plan check submittal.
C. 
Once building permits have been issued, applicants shall diligently call for the required inspection needed to move forward to the next phase of construction, and the following additional factors will be considered:
i. 
Having ordered equipment, including, but not limited to, point of sale (POS) and inventory control systems, odor control equipment, or other equipment necessary for business operations;
ii. 
Having ordered fixtures and finishes for tenant improvements to be installed promptly upon arrival;
iii. 
Having secured cannabis supply for the business;
iv. 
Having engaged a security company to implement the approved security plan;
v. 
Having pursued hiring employees for the business, including posting an active job listing through a credible job posting source or interviewing of employees; or
vi. 
Having pursued inspections with utility or other agencies required to give approval for on city permits (e.g., Fire Department, Health Department, power company, etc.).
j. 
Applicants that have approved licenses issued by the city shall obtain a license from the state, as well as any other required local permits from the city (i.e., building permits) or other local agencies (i.e., Los Angeles County Fire Department, Sheriff's Office, or Health Department) prior to operating a cannabis business in the city.
(Ord. 17-1016 § 8, 2017; Ord. 18-1029 § 5, 2018; Ord. 19-1092 § 1, 2019; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020; Ord. 22-1182 § 2, 2022; Ord. 24-02, 2/5/2024; Ord. 24-15, 5/20/2024)
All adult-use retailers in the city shall operate in conformance with the following operating requirements:
a. 
Security shall comply with the following minimum standards:
1. 
Adult-use retail businesses shall provide adequate security and lighting on site to ensure the safety of persons and protect the premises from theft at all times in conformance with the security plan submitted with the license's application.
2. 
All security guards employed by adult-use retail businesses shall be licensed and possess a valid Department of Consumer Affairs "Security Guard Card" at all times. Adult-use retailer's security guards shall not possess firearms or tasers.
3. 
Adult-use retail businesses shall provide a neighborhood security guard patrol for a two-block radius surrounding the business during all hours of operation.
b. 
There shall be no on-site sales of alcohol or tobacco products, and no on-site consumption of alcohol or tobacco products by patrons or employees.
c. 
Hours of operation shall be limited to: Monday through Sunday, 6:00 a.m. to 2:00 a.m., or as further limited by the Business License Commission or state law.
d. 
Adult-use retailers shall notify patrons of the following verbally and through posting of a sign in a conspicuous location readily visible to persons entering the premises:
1. 
Patrons must leave the site and not consume cannabis until at home or in an equivalent private location, unless the adult-use business has a valid cannabis consumption license issued by the city. Adult-use retail employees shall monitor the site and vicinity to ensure compliance.
2. 
Entry into the premises by persons under the age of twenty-one is prohibited.
e. 
Adult-use retail businesses shall only provide cannabis to an individual in an amount consistent with personal possession and use limits allowed by the state.
f. 
Adult-use retail businesses shall provide law enforcement and all neighbors within one hundred feet of the business with the name and phone number of an on-site community relations employee to notify if there are operational problems with the establishment.
g. 
Adult-use business operator(s) shall attend regular meetings with the Los Angeles County Sheriff's Department, Los Angeles Fire Department, and City Public Safety Department staff to review public safety issues associated with the operations.
h. 
Adult-use retailers shall dispense cannabis only from the following sources:
1. 
Limited ancillary cultivation of cannabis on-site is permitted. The space devoted to cultivation and manufacturing (as outlined in subsection (n)) shall not exceed twenty-five percent of the total floor area, but in no case more than one thousand five hundred square feet or greater than ten feet in height, and be in compliance with Section 19.36.030.
2. 
From an off-site location cultivated in accordance with applicable state law and zoning regulations in the jurisdiction in which it is cultivated.
i. 
West Hollywood City Code Compliance Officers, West Hollywood Sheriff's Deputies, Los Angeles Fire Department staff, or other agents or employees of the city requesting admission for the purpose of determining compliance with these standards shall be given unrestricted access.
j. 
Adult-use retailers shall comply with the provisions of state law.
k. 
Adult-use retailers shall have a responsible person on the premises to act as manager and supervise employees at all times during business hours.
l. 
An odor absorbing ventilation and exhaust system shall be installed so that odor generated inside the business is not detected outside the property or lease area boundaries, or anywhere on adjacent property or public rights-of-way, or within any other unit located within the same building as the cannabis use.
m. 
Delivery of cannabis from adult-use retailers to customers in West Hollywood and surrounding areas is permitted, in accordance with operating requirements in Section 5.70.042 Cannabis Delivery Services – Operating Requirements.
n. 
Adult-use retailers shall be permitted to manufacture cannabis derivatives and products subject to the following requirements:
1. 
Limited ancillary manufacture of cannabis derivatives and products is permitted. The space devoted to manufacturing and cultivation (as outlined in Section 5.70.040(h)(1)) shall not exceed twenty-five percent of the total floor area of the retail space, but in no case more than one thousand five hundred square feet.
2. 
Cannabis manufacturing shall be ancillary to the adult-use retail business in compliance with Section 19.36.030, and no stand-alone manufacturing or production businesses shall be allowed.
3. 
Cannabis manufacturing shall be subject to local, state, and federal health and safety regulations.
o. 
The consumption of cannabis products sold at an adult-use retail business is allowed if the business is issued a separate consumption area business license. The consumption portion of the business shall comply with all requirements of Section 5.70.041. Cannabis products not fully consumed onsite may be taken offsite by the purchaser.
p. 
Sale of cannabis for medical use is permitted onsite, without a separate medical license, provided that the licensee complies with the requirements in 5.70.043.
(Ord. 09-833 § 4, 2009; Ord. 17-1016 § 8, 2017; Ord. 18-1029 § 6, 2018; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020)
All cannabis consumption areas in the city shall operate in conformance with the following operating requirements:
a. 
Security shall comply with the following minimum standards:
1. 
Cannabis consumption areas shall provide adequate security and lighting on-site to ensure the safety of persons and protect the premises from theft at all times in conformance with the security plan submitted with the license application.
2. 
All security guards employed by cannabis consumption areas shall be licensed and possess a valid Department of Consumer Affairs "Security Guard Card" at all times. Consumption areas security guards shall not possess firearms or tasers.
3. 
Cannabis consumption areas shall provide a neighborhood security guard patrol for a two-block radius surrounding the business during all hours of operation.
b. 
There shall be no on-site sales of alcohol or tobacco, and no on-site consumption of alcohol or tobacco products by patrons or employees. The on-site sale of food and food items infused with cannabis is permitted.
c. 
Hours of operation shall be limited to: Monday through Sunday, 6:00 a.m. to 2:00 a.m., or as further limited by the Business License Commission or state law.
d. 
Cannabis consumption areas shall notify patrons of the following verbally and through posting of a sign in a conspicuous location readily visible to persons entering the premises:
1. 
Entry into the premises by persons under the age of twenty-one is prohibited.
e. 
Cannabis consumption areas shall create patron consumption guidelines that may include the utilization of labels, menu notifications, signage, portion control, dosage monitoring, and staff education to prevent the overconsumption of cannabis by patrons. A consumption area (smoking, vaping and ingestion) is authorized to sell any type of cannabis product for consumption on-site in compliance with state packaging requirements. A consumption area (edible/ingestion only) is authorized to sell any type of edible/ingestible cannabis product for consumption on-site in compliance with state packaging requirements, and may sell combustible cannabis products for the purposes of smoking or vaping within the designated smoking area allowed pursuant to subsection (l)(2) below. The type of vaping products sold within the designated smoking area shall be limited to single, individually packaged vape cartridges and pens of no more than one gram.
f. 
Cannabis consumption areas shall provide law enforcement and all neighbors within one hundred feet of the business with the name and phone number of an on-site community relations employee to notify if there are operational problems with the establishment.
g. 
Cannabis consumption area operator(s) shall attend regular meetings with the Los Angeles County Sheriff's Department, Los Angeles Fire Department, and City Public Safety Department staff to review public safety issues associated with the operations.
h. 
Cannabis consumption areas shall sell cannabis only from the following sources:
1. 
Limited ancillary cultivation of cannabis on-site is permitted. The space devoted to cultivation shall not exceed twenty-five percent of the total floor area, but in no case more than one thousand five hundred square feet or greater than ten feet in height, and be in compliance with Section 19.36.030.
2. 
From an off-site location where cannabis is cultivated or manufactured in accordance with applicable state law and zoning regulations in the jurisdiction in which it is cultivated or manufactured.
3. 
The on-site production of cannabis-infused food items.
i. 
West Hollywood City Code Compliance Officers, West Hollywood Sheriff's Deputies, Los Angeles Fire Department staff, or other agents or employees of the city requesting admission for the purpose of determining compliance with these standards shall be given unrestricted access.
j. 
Cannabis consumption areas shall have a responsible person on the premises to act as manager and supervise employees at all times during business hours.
k. 
An odor absorbing ventilation and exhaust system must be installed so that odor generated inside the business is not detected outside the property or lease area boundaries, or anywhere on adjacent property or public rights-of-way, or within any other unit located within the same building as the cannabis use.
l. 
Depending on the type of cannabis consumption areas business license issued by the city, the consumption area shall be limited to one of the following cannabis consumption methods:
1. 
Consumption of cannabis by smoking, vaping, and ingestion; or
2. 
Consumption by ingestion only, provided that these businesses may provide a smoking area, subject to the following limitations:
i. 
For a business premises of three thousand square feet or less, the smoking area shall be no greater than fifty percent of the premises.
ii. 
For a business premises of more than three thousand square feet, the smoking area shall be no greater than one thousand five hundred square feet. Notwithstanding, this limitation on the size of a smoking area for premises greater than three thousand square feet shall not apply to a consumption area (edible/ingestion only) with a smoking area, that is on the same premises as an adult-use business, provided the consumption area is in compliance with subsection (l)(2)(iii) below.
iii. 
The edible/ingestion-only area within the licensed premises must be equal to or greater than the smoking area within that premises.
m. 
Cannabis consumption areas shall be permitted subject to the following requirements:
1. 
Cannabis consumption areas shall not be visible to the public or by any persons under twenty-one years of age.
2. 
No sale or consumption of alcohol or tobacco is allowed on the licensed premises.
3. 
No one under twenty-one years of age is allowed in the consumption area.
4. 
Cannabis consumption areas located on the same premises as an adult-use or medicaluse retail business shall also comply with the following:
i. 
Cannabis consumption areas shall be well-ventilated private areas that are partitioned off from access to all other areas of the retail establishment and are designed to prevent the flow of smoke to any other area of the establishment.
n. 
Cannabis consumption areas that allow smoking and vaping shall comply with Section 7.08.030, Smoking Regulations.
o. 
Conduct of Patrons. The cannabis consumption area shall do the following to encourage appropriate patron conduct:
1. 
Make an announcement at closing requesting patrons to respect the residents of the adjacent residential neighborhoods by being quiet when leaving;
2. 
Post signs at locations clearly visible within the consumption area and at both on- and off-site parking areas, requesting patrons to respect residents of adjacent residential neighborhoods by being quiet when leaving and reminding patrons of the existence of permit parking districts within the neighborhoods adjacent to the consumption area.
3. 
Cut off service to impaired patrons and provide information on car services.
p. 
Employee Training and Customer Education.
1. 
The business shall train their employees about the various products the consumption area sells, including potency of the products, absorption time, and effects of the products.
2. 
Employees shall educate all customers as to the items mentioned in subsection (1), in an effort to ensure responsible consumption.
q. 
Noise. The structure housing the consumption area shall be adequately soundproofed so that interior and exterior noise is not audible beyond the property line and shall comply with Chapter 9.08, Noise.
r. 
The management of the consumption area shall:
1. 
Place and properly maintain solid waste receptacles and recycling bins, in sufficient numbers and locations to service the needs of the proposed use at peak business periods, in compliance with Section 19.20.180 (Solid Waste and Recyclable Materials Storage).
2. 
Ensure that the consumption area property and all areas within at least one hundred feet of the consumption area are free of any waste or litter generated by the use, by 7:00 a.m. following each night of operations.
s. 
Cannabis and cannabis products that are partially consumed onsite may be taken offsite by the patron with the following limitations.
1. 
Consumption area with smoking: The total number of products taken offsite shall not exceed five unique products per patron. No more than two of the partially consumed products may be combustible products.
2. 
Consumption area without smoking: The total number of products taken off site shall not exceed six unique products per patron.
3. 
All partially consumed products taken offsite by a patron shall comply with state packaging requirements, including exit packaging requirements.
4. 
The applicable take-away limit of partially consumed products shall be clearly printed on the menus provided to patrons in the consumption area.
t. 
The sale of cannabis products within a consumption area shall only be made to patrons that are on the premises to consume products on site.
u. 
For any period of time that state law prohibits non-cannabis food and beverage from being prepared and sold on-site, deviations from a consumption area May 2018 screening application related to the preparation and sale of non-cannabis food and beverages are permitted, subject to confirmation by the Business License Commission. Permissible deviations may include, but are not limited to, the replacement of a commercial kitchen in a consumption area with the option for food delivery to the premises from a third-party business.
(Ord. 09-833 § 4, 2009; Ord. 17-1016 § 8, 2017; Ord. 18-1029 § 7, 2018; Ord. 19-1092 § 2, 2019; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020)
Delivery of cannabis from delivery services with delivery as the primary service, as well as adult-use and medical-use retailers to customers in West Hollywood is permitted, in accordance with the following requirements:
a. 
All cannabis delivery services, whether physically located inside or outside the city, shall have an approved business license for a cannabis delivery service from the City of West Hollywood and be able to show compliance with the regulations of the originating jurisdiction.
b. 
Every applicant for a delivery service license shall obtain and maintain in full force and effect the following automobile insurance policy: An automotive liability insurance policy, as required by subsection (c) of Section 5.08.120.
c. 
The licensee shall maintain in force and effect at all times while the license is in effect workers' compensation insurance as required by law.
d. 
Prior to the issuance of a license under this chapter, and at all times while the license is in effect, the licensee shall maintain on file with the Director proof of the insurance required hereunder.
e. 
If the insurance policies issued to the licensee pursuant to this chapter are canceled for any reason, the license issued under this chapter is automatically suspended. In order to reinstate the license, the licensee shall file a new certificate of insurance and provide proof of such to the Director.
f. 
Only delivery to persons twenty-one years of age or over shall be allowed and eighteen years of age and older if the customer is a medical patient.
g. 
All drivers and anyone accompanying the driver must be at least twenty-one years of age or over.
h. 
No signage on the exterior of the vehicle identifying the vehicle as a cannabis delivery vehicle shall be allowed.
i. 
The amount of cannabis allowed in each delivery vehicle shall be in compliance with state law.
j. 
All cannabis delivery service customers are required to be preregistered with the delivery service prior to receiving deliveries of cannabis.
k. 
A delivery service that has a physical location in West Hollywood may store cannabis and cannabis products for delivery in an area that shall not exceed seventy-five percent of the total floor area of the business's location, but in no case more than one thousand five hundred square feet.
(Ord. 09-833 § 4, 2009; Ord. 17-1016 § 8, 2017; Ord. 18-1029 § 8, 2018; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020)
a. 
All medical-use dispensaries in the city shall operate in conformance with the following operating requirements:
1. 
Security shall comply with the following minimum standards:
A. 
Medical-use dispensaries shall provide adequate security and lighting on-site to ensure the safety of persons and protect the premises from theft at all times in conformance with the security plan submitted with the license application.
B. 
All security guards employed by medical-use dispensaries shall be licensed and possess a valid Department of Consumer Affairs "Security Guard Card" at all times. Medical-use dispensary security guards shall not possess firearms or tasers.
C. 
Medical-use dispensaries shall provide a neighborhood security guard patrol for a two-block radius surrounding the dispensary during all hours of operation.
2. 
No recommendations for medicinal cannabis shall be issued on site.
3. 
There shall be no on-site sales of alcohol or tobacco. No alcohol or tobacco products shall be consumed by patrons or employees.
4. 
Hours of operation shall be limited to: Monday through Sunday, 6:00 a.m. to 2:00 a.m., or as further limited by the Business License Commission or state law.
5. 
Medical-use dispensaries shall only dispense medical-cannabis to qualified patients and their caregivers as defined by state law, unless otherwise authorized by a state license and local business license to dispense adult-use cannabis on the same premises.
6. 
Medical-use dispensaries shall notify patrons of the following verbally and through posting of a sign in a conspicuous location readily visible to persons entering the premises:
A. 
Use of cannabis shall be limited to the patient identified on a valid doctor's recommendation, or a qualified purchaser identified on a state-issued form of identification.
B. 
Patrons must immediately leave the site and not consume cannabis until at home or in an equivalent private location, unless the medical-use dispensary has a valid cannabis consumption license issued by the city. Medical-use dispensary staff shall monitor the site and vicinity to ensure compliance.
C. 
Forgery of medical documents is a felony crime.
7. 
Medical-use dispensaries shall only provide cannabis to an individual in an amount consistent with personal-medical use.
8. 
Medical-use dispensary patients shall be eighteen years of age or older.
9. 
Medical-use dispensaries shall provide law enforcement and all neighbors within one hundred feet of the medical-use dispensary with the name and phone number of an on-site community relations staff person to notify if there are operational problems with the establishment.
10. 
Medical-use dispensary operator(s) shall attend regular meetings with the Los Angeles County Sheriff's Department, Los Angeles County Fire Department, and City Public Safety Department staff to review public safety issues associated with the operations.
11. 
Medical-use dispensaries shall dispense cannabis to qualified patients and primary caregivers only from the following sources:
A. 
Limited ancillary cultivation of cannabis on-site is permitted. The space devoted to cultivation and manufacturing (as outlined in subsection (a)(18)) shall not exceed twenty-five percent of the total floor area, but in no case more than one thousand five hundred square feet or greater than ten feet in height.
B. 
From an off-site location cultivated in accordance with applicable state law and zoning regulations in the jurisdiction in which it is cultivated.
12. 
West Hollywood City Code Compliance Officers, West Hollywood Sheriff's Deputies, Los Angeles Fire Department staff, or other agents or employees of the city requesting admission for the purpose of determining compliance with these standards shall be given unrestricted access.
13. 
Medical-use dispensaries shall comply with the provisions of state law.
14. 
Medical-use dispensaries shall develop and implement a program subject to approval of the city to provide subsidized medical cannabis to income eligible patients, ("compassion program") in accordance with the following criteria:
A. 
Minimum twenty-five percent discount to all qualified patients based upon need;
B. 
Medical-use dispensaries shall not be obliged to provide more than one hundred grams per month to eligible patients;
C. 
Program Administration.
i. 
Social service provider to qualify patients on an annual basis,
ii. 
Patients will be provided with a letter as proof of eligibility that expires one year after the date it is issued,
iii. 
Medical-use dispensaries shall accept eligible patients and keep a record of qualified compassion program patients;
D. 
On-site/instant medical and financial need eligibility criteria:
i. 
SSDI,
ii. 
Medi-Cal,
iii. 
Unemployed with verification;
E. 
Social service agency verified medical/financial need eligibility:
i. 
Section 8 housing verification,
ii. 
Two hundred percent income below federal poverty level,
iii. 
Proof of disability,
iv. 
Medical need such as terminal illness, cancer treatment, etc.;
F. 
Residency Requirement. Program for West Hollywood residents only.
15. 
Medical-use dispensaries shall have a responsible person on the premises to act as manager and supervise employees at all times during business hours.
16. 
An odor absorbing ventilation and exhaust system shall be installed so that odor generated inside the business is not detected outside the property or lease area boundaries, or anywhere on adjacent property or public rights-of-way, or within any other unit located within the same building as the cannabis use.
17. 
Delivery of cannabis from medical-use dispensaries to customers in West Hollywood and surrounding areas is permitted, in accordance with operating requirements in Section 5.70.042 Cannabis Delivery Services – Operating Requirements.
18. 
Medical-use dispensaries shall be permitted to manufacture cannabis derivatives and products subject to the following requirements:
A. 
Limited manufacture of cannabis derivatives and products is permitted. The space devoted to manufacturing and cultivation (as outlined in subsection (k)(1)) shall not exceed twentyfive percent of the total floor area of the retail space, but in no case more than one thousand five hundred square feet.
B. 
Cannabis manufacturing shall be ancillary to the medical-use dispensary and no stand-alone manufacturing businesses shall be allowed.
C. 
Cannabis manufacturing shall be subject to local, state, and federal health and safety regulations.
19. 
The consumption of cannabis products sold at a medical-use retail business is allowed if the business is issued a separate consumption area business license. The consumption portion of the business shall comply with all requirements of Section 5.70.041. Cannabis products not fully consumed on-site may be taken off-site by the purchaser.
b. 
Legacy medical businesses may operate subject to the following additional requirements:
1. 
In order to operate as a legacy medical business, the operator shall apply for and obtain Business License Commission approval of a legacy medical business License by July 1, 2021.
2. 
Starting January 1, 2021, the legacy medical businesses shall close one hour before the state or city limit on hours of operation, whichever is more restrictive, and may not operate for more than twelve hours per day. This restriction shall cease on December 31, 2027.
3. 
Legacy medical businesses are required to continue to sell cannabis for medical use, subject to the requirements of A above, and may also sell cannabis for adult use, subject to all of the requirements of Section 5.70.040.
4. 
Prior to issuance of a legacy medical business license, the operator shall demonstrate compliance with the material operating terms within the business plan and security plan sections of the business' May 2018 adult use screening application. Within one year of issuance of the legacy medical business license, the business shall demonstrate substantial compliance with the Design Concept Section of the business' May 2018 adult use screening application. Any substantial deviations from these sections require approval by the Business License Commission.
5. 
Legacy medical businesses are prohibited from expanding the existing square footage of the retail business operations as existing on August 3, 2020.
6. 
As of August 3, 2020, legacy medical businesses are prohibited from changing the current location of the business. Notwithstanding, in the event that the building is destroyed or subject to redevelopment, the business may be relocated to a location that is no greater than one hundred ten percent the size of the existing location. In the event that the business's lease is not renewed, the business may relocate to a location that is: (A) no greater than one hundred ten percent of the size of the existing location; (B) is on the same street as the existing location; and (C) is within a quarter mile of the existing location. If the business is unable to locate an alternate location in accordance with the location terms above, the business may request a deviation from the requirement, which requires a public hearing and approval by the Business License Commission. Changes in location are subject to all other applicable permit requirements under this code, including as required under Title 19. Under no circumstances will a deviation be granted to exceed the one hundred ten percent size limitation. Additionally and notwithstanding any other provision of the WHMC, the legacy medical business operating at 7828 Santa Monica Boulevard may continue to operate in its current location.
7. 
As of August 3, 2020, legacy medical businesses are prohibited from entering into any new management agreements, unless approved through the variance process in 5.70.060(c) and subject to subsections (c)(1), (c)(2), and (c)(4).
8. 
As of August 3, 2020, legacy medical businesses are prohibited from changing the business name and business branding until such time as an assignment of the license is permitted under this chapter. Notwithstanding, a legacy medical business may make minor changes to branding, such as color, font, and logo design, if found to keep the overall brand concept, as approved by the City Manager or designee, such a decision can be appealed to the Business License Commission within thirty days.
9. 
A. 
The legacy medical businesses shall submit to the city a list of current owners by October 1, 2020, disclosing the ownership of that date, which shall serve as the basis for the provisions in this section. Notwithstanding the provisions in Section 5.70.060, a legacy medical business shall not sell, transfer or assign a cumulative amount of more than twenty-five percent interest in the licensed entity before July 1, 2023. From July 1, 2023 through December 31, 2027, the legacy medical business may sell, transfer or assign an additional cumulative ten percent interest in the licensed entity, for a total cumulative transfer not to exceed thirty-five percent. Starting January 1, 2028, the assignment restrictions in Section 5.70.060 apply to the legacy medical businesses. The variance process set out in Section 5.70.060(c) shall apply to legacy medical businesses but shall be further limited for legacy medical businesses as follows. A legacy medical business variance request for a prohibited Assignment shall not exceed a cumulative assignment of more than fifty percent prior to July 1, 2023, and a cumulative assignment of more than seventy percent through December 31, 2027.
B. 
After October 1, 2020, in the event a publicly traded company has a direct or indirect ownership interest in an entity which holds a license, transactions involving the public company, and/or the trading of shares in the public company in accordance with applicable securities laws, is permissible and is not considered an assignment of a license.
10. 
Notwithstanding any assignment restrictions in this chapter, legacy medical businesses may merge or consolidate with any of the top eight ranking adult use applicants, which may require amendments to the business licenses from the Business License Commission to reflect the merger or consolidation.
11. 
Marketing Fund to Benefit West Hollywood Cannabis Businesses. Starting January 1, 2021, each legacy medical business shall contribute funding equal to two and one half percent of the business' gross receipts on adult-use sales to a marketing fund that is operated independently from the city by the holders of cannabis licenses in the city. The two and one half percent rate remains in effect for each legacy medical business until June 30, 2024. However, if a legacy medical business has contributed two hundred fifty thousand dollars total to the marketing fund before June 30, 2024, then the rate shall decrease to one percent. On July 1, 2024, the rate shall reduce to one-half percent until June 30, 2028. After June 30, 2028, the legacy medical businesses shall continue to be a member in good standing and contribute an amount agreed upon among the parties, if any.
12. 
Legacy medical businesses shall maintain continual operation, and failure to continually operate shall be grounds for revocation of the business license and forfeiture of any future right to a legacy medical business.
(Ord. 09-833 § 4, 2009; Ord. 17-1016 § 8, 2017; Ord. 18-1029 § 9, 2018; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020)
a. 
Definitions.
"Distributor"
shall mean a licensed distributor authorized to distribute under Division 10 of the California Business and Professions Code.
"Retailer"
shall mean a licensed retailer, or a licensed microbusiness authorized to conduct retail sales under Division 10 of the California Business and Professions Code.
"Temporary cannabis event"
shall mean an event of limited duration, and located within a specific area, which allows the on-site sale and/or consumption of cannabis at the event, in compliance with Section 26200(e) of the California Business and Professions Code, Chapter 5 Division 19 of Title 4 of the California Code of Regulations, and this section of the code. A temporary cannabis event shall have the same meaning as a "cannabis special event."
"West Hollywood temporary cannabis event license"
shall mean a license issued by the City of West Hollywood which will entitle the holder to organize a temporary cannabis event at the date, time, and location specified in the license, subject to all West Hollywood laws, restrictions, and conditions. A West Hollywood temporary cannabis event license shall have the same meaning as a locally-issued temporary cannabis event license. A locally-issued license is not a license issued by a locality other than the City of West Hollywood.
b. 
Event Organizer License Required to Apply. Any entity requesting to obtain a West Hollywood temporary cannabis event license must also obtain: (1) a state cannabis event organizer license; and (2) a state temporary cannabis event license issued by the California Department of Cannabis Control prior to the event. All licenses and permits required under state and local law shall be obtained prior to the event and shall remain in full force and effect throughout the duration of the event.
c. 
Application. Applicants for a West Hollywood temporary cannabis event license must also obtain a special event permit in accordance with Chapter 19.55.
d. 
Compliance. Applicants for a West Hollywood temporary cannabis event license must comply with all requirements of Chapter 19.55, unless otherwise stated in this section.
e. 
A West Hollywood temporary cannabis event license holder and all retailers shall comply with all conditions required under state and city licenses and permits, in addition to, and not limited to, the following conditions:
1. 
The event activities cannot be visible to the general public.
2. 
IDs must be checked that all persons seeking entry or purchase at a temporary cannabis event are twenty-one years of age or older before allowing entry of those persons into the event and before each sale to any persons.
3. 
Follow all state law requirements authorizing on-site cannabis sales and consumption at temporary events. Consumption must be expressly authorized in the license, or the license is only valid for the sale of cannabis by retailers at the event.
4. 
Attendees may not sell alcohol or tobacco during the event. Attendees may not use alcohol or tobacco inside the event area designated in the application. No one visibly under the influence of alcohol shall be allowed into the event.
5. 
All persons working at the event must be twenty-one years of age or older.
6. 
Only distributors can transport cannabis goods to an event.
7. 
Only retailers can sell cannabis goods during an event. Retailers must follow all state and local rules for on-site sales and consumption, including, but not limited to:
A. 
Displays of cannabis goods;
B. 
Use of exit packaging;
C. 
Age restrictions on sales;
D. 
Daily sales limits;
E. 
No free samples of cannabis or cannabis merchandise; and
F. 
Recording sales in the track and trace system.
8. 
Odor must be controlled with the use of a ventilation system.
9. 
All waste must be disposed of in designated waste receptacles and in accordance with state law.
10. 
Noise must be controlled with the use of noise mitigation devices and in compliance with Chapter 9.08.
11. 
For events where consumption is permitted, retailers shall at a minimum comply with Section 5.70.041(e). On-site emergency medical care may be required at the discretion of the city review authority.
12. 
Any retailers at the cannabis event, meaning any persons or entities engaging in the sale of cannabis, must either: (1) possess a West Hollywood cannabis business license pursuant to Chapter 5.70 and be operating the business in good standing at the time of the event, or (2) meet all criteria specified in subsections 5.70.030(a)–(c) and obtain approval before the Business License Commission pursuant to Chapter 5.08.
13. 
Retailers must have a specific location from which they make sales. No retailers may sell cannabis goods from a mobile cart or from a non-designated location.
14. 
Organizers must either: (1) hold an active West Hollywood Cannabis Business License, issued pursuant to Chapter 5.70, and be operating the business in good standing at the time of the event; or (2) meet all criteria specified in subsections 5.70.030(a)–(c) and obtain approval before the Business License Commission pursuant to Chapter 5.08.
15. 
Organizers must comply with all California laws and regulations before, during, and after the event. These include, but are not limited to, Section 26200(e) of the California Business and Professions Code and Chapter 5 of Division 19 of Title 4 of the California Code of Regulations (Section 15600 et seq.). Organizers and retailers must be familiar with these rules participating in an organized cannabis event.
16. 
If consumption is allowed at the event, it shall occur only in a designated area with written permission for such consumption and approval of the consumption area by the City Manager or designee. Consumption of cannabis products shall not be visible from any public place or nonagerestricted area. The consumption portion of the event shall comply with all requirements of Section 5.70.041.
17. 
West Hollywood City Code Enforcement Officers, West Hollywood Sheriff's Deputies, Los Angeles Fire Department staff, or other agents or employees of the city requesting admission for the purpose of determining compliance with these standards shall be given unrestricted access.
18. 
Organizers shall comply with the following minimum security standards:
A. 
Provide adequate security and lighting on-site to ensure the safety of persons and protect the premises from theft at all times in conformance with the security plan submitted with the license's application.
B. 
All security guards employed by an organizer shall be licensed and possess a valid California Department of Consumer Affairs "Security Guard Card" at all times. Security guards shall not possess firearms or tasers.
C. 
Provide a neighborhood security guard patrol for a one-block radius surrounding the event during all hours of operation as determined by the city review authority.
19. 
Any additional conditions imposed in writing by the city.
f. 
Locations. A temporary cannabis event license may be issued for an event in any of the following locations within the City of West Hollywood:
1. 
Privately owned venues with express approval from the City Manager or designee.
2. 
Streets, in accordance with applicable law relating to, but not limited to, street closures for events such as street fairs and festivals.
g. 
Application Timeframe. Applications for temporary cannabis event licenses shall be submitted no later than forty-five days before the date of the event by an entity already licensed under Chapter 5.70. Organizer-applicants who are not already licensed under Chapter 5.70 must apply one hundred twenty days in advance of an event to allow time for the city to complete background checks and other review necessary under subsections 5.70.030(a)–(c) and obtain approval before the Business License Commission pursuant to Chapter 5.08.
h. 
License Validity. The license granted under this section shall be valid and entitle a licenseholder to organize an event only for the time period specified in said license. A license may be issued only for a specific one to three day period, meaning that if the license does not contain a starting and end date, the license is invalid.
i. 
Number of Events. No greater than two Temporary Cannabis Events shall be allowed to occur in a given calendar year per license. These events shall occur in connection with the city's established Pride and other city sponsored event dates.
j. 
Taxes and Fees. Retailers and/or organizers operating at the event are required to obtain a City Business Tax Certificate and shall include the receipts from the event in the business's gross receipts for purposes of applying the cannabis business license tax under Section 3.36.040(n).
k. 
Violations. Violation of any requirement of this section, Chapter 19.55, or the conditions of approval of the license issued through this section shall be grounds for the City Manager or designee to immediately revoke a license issued for a temporary cannabis event. Such revocation may be appealed in writing to the City Manager or designee. Any entity or license-holder that violates or fails to comply with any of the requirements of this section may be subject to enforcement pursuant to Section 5.70.070 of this code.
(Ord. 23-08 § 2, 2023)
All licenses issued pursuant to this chapter shall expire one year after the date of issuance; provided, however, that a license may be renewed pursuant to Section 5.08.130 for additional one-year periods upon approval of an application for renewal that complies with all provisions of this title.
(Ord. 09-833 § 4, 2009; Ord. 17-1016 § 8, 2017; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020)
a. 
The assignment of or attempt to assign any license issued pursuant to this chapter is unlawful until a business has been in continual operation for four years, and any such assignment or attempt to assign a license before that time shall render the license null and void, unless approved by the City Manager or designee, or by variance as outlined in subsections b and c below. Assignment shall be defined as a cumulative sale or transfer of fifty-one percent or more equity interest in the licensed entity. For permissible transfers of ownership before or during the four-year period, the owners shall maintain a comparable level of cannabis experience as conveyed in the licensee's May 2018 screening application. The City Manager, or designee, shall review changes in the level of the owner's cannabis experience, and may approve the changes, or direct the change request to the business license provisions for review and approval. After the four years of continual operation, assignment is permitted; provided however that any such assignment that exceeds ninety percent of interest in the licensed entity shall require review by the Business License Commission to ensure maintenance of the same standard of operation.
b. 
Assignments prior to compliance with the required four years of continual operation may be approved by the City Manager in the event of the death, disability, marriage, divorce, or domestic partnership of one of the owners named on the licensed entity's application. The City Manager, or designee, shall review these requested assignments to ensure maintenance of the same standard of operation, and may approve the changes, or direct the change request to the business license provisions for review and approval.
c. 
Variance Process. Notwithstanding the above, a licensee may apply to the Business License Commission for approval of a prohibited assignment not to exceed a cumulative assignment or transfer of up to eighty-five percent of interest in the license for the first two years of continual operation, and one hundred percent cumulative assignment or transfer after two years of continual operation, or as otherwise allowed by this chapter. Following a public hearing on the proposed assignment or transfer, the Business License Commission may approve the request if it finds that:
1. 
The same standard of business operation will be maintained;
2. 
The ownership shall maintain a comparable level of cannabis experience as conveyed in the licensee's May 2018 screening application;
3. 
The assignment would promote the public interest and maintain the integrity of the city's 2018 cannabis license application scoring and licensing process; and
4. 
The findings that supported issuance of the license can still be made.
d. 
The decisions of the Business License Commission may be appealed to the City Council.
e. 
Merger or Consolidation with Publicly Traded Companies. With the understanding that publicly traded companies have notably different regulations, operational structure, and ownership structure, compared to privately held companies, the merger into, consolidation with, or transfer of ownership to a publicly traded company shall not be considered a prohibited assignment of a license under this section as long as the following conditions are met.
1. 
At the time the merger, consolidation, or transfer occurs, the license owners listed on the business license or 2018 screening application, whichever is most recent ("license owners"), prior to the merger, consolidation, or transfer shall be required to hold at least three and one-half percent of the shares of the publicly traded company.
2. 
The license owners prior to the merger, consolidation, or transfer shall be substantially involved in the operations of the company for the first four years of continual operation, unless authorized through the variance process above in subsection c.
3. 
At the time the merger, consolidation, or transfer occurs, at least one of the license owners prior to the merger, consolidation, or transfer shall hold a seat on the board of directors of the publicly traded company. If that board member steps down or is no longer a member of the board of directors, the company shall notify the City Manager or designee of this change, and to the extent possible, one of the other license owners prior to the merger, consolidation, or transfer shall be appointed to the board of directors.
4. 
After merger, consolidation, or transfer, the business shall continue to adhere to the business plan, security plan, and design concept sections included in the applicable May 2018 screening application for the business license.
5. 
After merger, consolidation, or transfer, the branding of the business, including the name of the business as it operates in the city, shall be required to be the same as identified in the applicable May 2018 screening application for the business license. At no time, unless after four years of continual operation, unless approved by the City Manager or designee, shall the branding, including the name of the business, be allowed to deviate from what was identified in the applicable May 2018 screening application for the business license
6. 
Documentation of the satisfaction of the above-referenced conditions shall be provided to the city when the change occurs. If the change occurs prior to the issuance of a business license, documentation of the satisfaction of the above-referenced conditions shall be provided at the time a business license is applied for.
(Ord. 09-833 § 4, 2009; Ord. 17-1016 § 8, 2017; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020)
a. 
No person or entity shall dispense, distribute, sell, convey, exchange, or give away cannabis in the city except in compliance with the provisions of this chapter and Sections 19.36.091, 19.36.092, and 19.36.093 of this code. Dispensing, distributing, selling, conveying, exchanging, or giving away cannabis in the city without a business license is a misdemeanor punishable as provided in Section 1.08.010(a) of this code. Violations of this chapter are also subject to administrative penalty procedure provisions in Sections 1.08.030 through 1.08.070 of Chapter 1.08 of this code. Nothing in this chapter shall be interpreted to conflict with state law, including, without limitation, the Compassionate Use Act, the Control, Regulate, and Tax Adult Use of Marijuana Act (AUMA) and the MAUCRSA, as may be amended, and the rights granted to individuals for the adult-use and medical-use of cannabis under these state laws.
b. 
Failure of a cannabis business to pay applicable taxes and fees to the city, and the contribution to the marketing fund for legacy medical businesses, for a three-month period shall be grounds for revocation of the business license. If a business has failed to pay applicable taxes and fees to the city, or the contribution to the marketing fund for legacy businesses, for a three-month period, a hearing shall be scheduled before the business license commission to consider revocation of the business license. For delinquent taxes and fees, if a business enters into a payment plan with the city within two months of being notified by the city of failure to pay applicable taxes and/or fees, the grounds for revocation of a license specified in this section shall not apply to the business, as long as the business remains in compliance with the terms of the payment plan and completes the payment plan. As of November 1, 2020, the city will publicly post and regularly update information showing whether each licensed cannabis business is current on the payments of city taxes and/or fees.
(Ord. 09-833 § 4, 2009; Ord. 10-850 § 2, 2010; Ord. 10-851U § 2, 2010; Ord. 17-1016 § 8, 2017; Ord. 18-1029 § 10, 2018; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020; Ord. 23-08 § 3, 2023)
The City Manager may establish by resolution rules and regulations governing the operation of cannabis uses. Violation of rules and regulations shall, in addition to any other remedies contained in this code, constitute a misdemeanor and shall be punishable as set forth in subsection (a) of Section 1.08.010 of this code. Any person violating any of the rules and regulations adopted by the City Council shall be deemed guilty of a separate offense for each and every day or portion thereof during which any violation of the rules and regulations is committed, continued, or permitted.
(Ord. 11-865 § 1, 2011; Ord. 17-1016 § 8, 2017; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020)
A cannabis business licensed and operating under this chapter shall at all times while operating have a current, valid state license for any and all activity which requires a state license under state law, including, without limitation, a seller's permit from the State Board of Equalization. The licensee shall post its state license in a conspicuous place. Failure to maintain and post a current, valid state license is grounds for revocation of a business license under this chapter.
(Ord. 17-1016 § 8, 2017; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020)
The City Council may adopt fees related to cannabis licenses.
(Ord. 17-1016 § 8, 2017; Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020)
For a business with ten or more employees per license, the licensee shall attest that it has entered into a labor peace agreement and will abide by the terms of the agreement. The licensee shall submit a copy of the page of the labor peace agreement that contains the signatures of the union representative and the licensee. For licenses for a business with less than ten employees, the licensee shall provide a notarized statement indicating that it will enter into and abide by the terms of a labor peace agreement within sixty days of having ten or more employees. A separate Labor Peace Agreement is an operating requirement for each license.
(Ord. 20-1116 § 3, 2020; Ord. 20-1117 § 3, 2020)