(a) 
"Cannabis delivery service," for purposes of this article, means a service whereby a business establishment located outside of the city delivers cannabis to a physical location located in the city as part of a retail sale.
(b) 
This article does not apply to a retail cannabis business located and permitted in the city pursuant to Article 21.04.
(Ord. 2515 § 3, 2017)
No person shall perform a cannabis delivery service in the city without first obtaining a valid business license issued by the city and a cannabis delivery permit issued pursuant to this article.
(Ord. 2515 § 3, 2017)
The cannabis delivery permit fee is hereby established and imposed. The city council shall establish by resolution the amount of the cannabis delivery permit fee, and any related penalties.
(Ord. 2515 § 3, 2017)
(a) 
A person may apply for a cannabis delivery permit, or a permit renewal, by filing an application with the police chief. The application shall be on a form approved by the police chief and may require any information or documentation consistent with the provisions of this code and state law, including the following:
(1) 
Applicant.
(A) 
A description of the statutory entity or business form that serves as the legal structure for the applicant and a copy of its formation and organizing documents, including, but not limited to, articles of incorporation, certificate of amendment, statement of information, articles of association, bylaws, partnership agreement, operating agreement, and fictitious business name statement.
(B) 
The phone number and address to which notice of action on the application and correspondence is to be mailed.
(2) 
Interested Parties.
(A) 
The name, address, telephone number, title, and function of each of the interested parties in the cannabis business.
(B) 
The name, address, telephone number, and title of each of the employees that are authorized to perform deliveries from the cannabis business. For each employee authorized to perform deliveries, proof of valid driver's license and current employment by the business.
(3) 
Retail Cannabis Business Description. A general description of the retail cannabis business site, including the street address, parcel number, and hours of operation. The business description should indicate whether the business intends to sell medical or adult-use cannabis.
(4) 
State Licenses. Copies of the applicant's state licenses relating to cannabis, as required by state law. If the applicant applies for a cannabis delivery permit prior to the state issuing the appropriate licenses, the applicant shall specify which state license(s) will be obtained once the state begins issuing licenses.
(5) 
Local Licenses. Copies of the applicant's local licenses or permits relating to cannabis, demonstrating local authorization to conduct a retail cannabis business, such as local land use or business permits, issued by the local jurisdiction in which the business is located.
(6) 
Tax Compliance. A current copy of the applicant's city business license tax certificate, state sales tax seller's permit, and the applicant's most recent year's financial statement and tax returns, as may be applicable.
(7) 
Insurance. The applicant's certificate of commercial general liability insurance and endorsements and certificates of all other insurance related to the operation of the cannabis retail business and deliveries.
(8) 
City Authorization. Authorization and consent for the police chief to seek verification of the information contained within the application.
(9) 
Applicant's Certification. A statement dated and signed by the applicant, under penalty of perjury, that the applicant has personal knowledge of the information contained in the application, that the information contained therein is true and correct, and that the application has been completed under the applicant's supervision.
(10) 
Indemnification. An agreement, on a form approved by the city attorney, whereby the applicant:
(A) 
Releases the city, and its agents, officers, elected officials, and employees from any and all claims, injuries, damages, or liabilities of any kind arising from: (i) any repeal or amendment of this chapter, and (ii) any arrest or prosecution of the applicant or its managers, employees, or members for violation of state or federal laws; and
(B) 
Defends, indemnifies, and holds harmless the city and its agents, officers, elected officials, and employees from and against any and all claims or actions: (i) brought by city property owners or any other parties for any damages, injuries, or other liabilities of any kind arising from the business delivery operations, and (ii) brought by any party for any problems, injuries, damages, or other liabilities of any kind arising out of the distribution of cannabis or cannabis products from the business site in the city.
(b) 
Every application for a cannabis delivery permit shall be accompanied by a nonrefundable cannabis delivery permit fee.
(c) 
No person shall knowingly make a false statement of fact or knowingly omit any information that is required in an application for a cannabis delivery permit.
(Ord. 2515 § 3, 2017)
The police chief, in consultation with the city manager and community development and sustainability director or his/her designee, is authorized to establish procedures and guidelines to process cannabis delivery permit applications.
(Ord. 2515 § 3, 2017)
(a) 
The police chief may deny a cannabis delivery permit if the police chief determines that one or more of the following circumstances exist:
(1) 
The application received is incomplete or not responsive to the requirements of this article;
(2) 
The application contains a false or misleading statement or omission of a material fact;
(3) 
The operation of the delivery business described in the application fails to comply with any of the requirements in this code, state law, or any other regulation;
(4) 
The applicant or any of its managers has any unpaid and overdue administrative penalties imposed for violations of this chapter; or
(5) 
Within twelve months of the date of application, either the applicant has had a state or local cannabis-related land use or business permit revoked; or any of its managers were associated with a cannabis business that had its cannabis-related permit(s) revoked.
(b) 
The denial of a cannabis delivery permit is subject to and shall comply with Article 21.02.
(Ord. 2515 § 3, 2017)
(a) 
A cannabis delivery permit issued pursuant to this article is valid for one year from the date that the permit is issued, unless suspended or revoked sooner.
(b) 
A cannabis delivery permit is valid for only one retail cannabis business site.
(c) 
The permittee shall notify the police chief of any change in the information provided on the application to obtain the cannabis delivery permit within thirty days of the change.
(Ord. 2515 § 3, 2017)
(a) 
A permittee may apply for a cannabis delivery permit renewal by submitting to the police chief at least thirty calendar days before the expiration of the permit, a renewal application and a nonrefundable renewal fee in an amount set by resolution of the city council. Failure to timely submit a renewal application prior to expiration of the permit shall result in permit expiration, and an application for a new permit shall be required pursuant to Section 21.05.040.
(b) 
If a timely and complete application for renewal is filed, the permit's expiration shall be stayed until a decision on the renewal application is issued.
(c) 
The police chief shall either approve or deny the renewal of a permit within thirty calendar days of receipt of the complete application. The police chief may extend the time for consideration of the application for up to an additional twenty-one calendar days upon written notice to the applicant. The failure of the police chief to timely act shall constitute approval of the renewal of the permit.
(d) 
The police chief shall approve the renewal of a permit if he or she finds that the circumstances existing during the term of the permit and during the review period of the application for renewal are consistent with all of the findings required for approval of a new permit specified in Section 21.05.040, and that no permittee or interested party of the cannabis business has committed, permitted, or failed to prevent violations of the municipal code, or any license or permit condition, during the preceding permit term.
(e) 
A permit renewed pursuant to this section may be extended for up to two additional years.
(f) 
The renewal application shall be on a form approved by the police chief. The police chief, in consultation with the city manager and community development and sustainability director or his or her designee, is authorized to establish procedures and guidelines to process cannabis delivery permit renewal applications.
(Ord. 2515 § 3, 2017)
(a) 
The police chief may suspend, modify, or revoke a retail cannabis business permit issued pursuant to the provisions of this article for any of the following reasons:
(1) 
One or more of the circumstances upon which a retail cannabis business permit could be denied, as described in Section 21.05.060, exists or has occurred;
(2) 
One or more conditions of the retail cannabis business permit has been violated; or
(3) 
The permittee, its managers or interested parties have violated any provision of this chapter.
(b) 
The suspension, modification, or revocation of a retail cannabis business permit shall comply with Article 21.02.
(Ord. 2515 § 3, 2017)
A cannabis delivery permittee shall provide the police chief with the current name and primary and secondary telephone numbers of at least one twenty-four hour on-call manager to address and resolve complaints and to respond to emergency operating problems or concerns associated with the cannabis delivery operations in the city.
(Ord. 2515 § 3, 2017)
A cannabis delivery permittee shall comply with the following requirements when conducting cannabis delivery services in the city:
(a) 
The delivery services shall be conducted by employees of the retail cannabis business who are at least twenty-one years old. The retail cannabis business shall not use the services of an independent contractor or courier service to deliver cannabis for retail sale.
(b) 
Every employee of the retail cannabis business engaging in delivery services shall maintain on his or her person a physical copy of the following when conducting a delivery:
(1) 
The business's current valid retail cannabis business permit;
(2) 
Valid driver's license;
(3) 
Employer-provided badge containing the name and photo of the employee; and
(4) 
Each customer's delivery request. The delivery request must identify the retail cannabis business, the customer's name and address, and the product(s) being delivered.
(c) 
Cannabis may only be delivered in-person to the customer that made the delivery request, and shall not be left unattended or delivered to any other person. The delivery-employee shall verify the customer's age, identity, delivery request, and, if applicable, valid physician's recommendation prior to completing the delivery.
(d) 
Cannabis may not be delivered to an address located on publicly-owned land or any address on land or in a building leased by a public agency.
(e) 
All deliveries shall be conducted in an enclosed motor vehicle or other acceptable delivery method in compliance with state law, operated by the delivery employee or another delivery employee of the retail cannabis business.
(f) 
Cannabis and cannabis products shall not be left unattended in a vehicle, except for brief periods as necessary to deliver cannabis to a customer. If cannabis and cannabis products are left unattended in a vehicle, the vehicle must remain locked and must be equipped with an active vehicle alarm system.
(g) 
For purposes of this section, a delivery begins when an employee leaves the retail cannabis business premises with cannabis intended for delivery, and ends when the delivery employee returns to the retail cannabis business premises. When conducting deliveries, the employee shall only travel from the business premises to a delivery address, from one delivery address to another delivery address, or from a delivery address back to the business premises.
(h) 
The police chief is authorized to establish permitted and preferred delivery routes applicable to the cannabis delivery permittee.
(i) 
These regulations are intended to be the minimum requirements imposed by law, and shall not be construed to conflict with state law. Where state law provides more restrictive requirements for cannabis deliveries, state law controls.
(Ord. 2515 § 3, 2017)
(a) 
A cannabis delivery permittee shall maintain the following records in printed format for at least three years and shall produce them to the city within twenty-four hours after receipt of the city's request:
(1) 
The name, address, and telephone numbers of the owner and landlord of the cannabis business site.
(2) 
The name, date of birth, address, and telephone number of each manager and delivery employee of the cannabis business; the date each was hired; and the nature of each manager's and delivery employee's participation in the cannabis business.
(3) 
A written accounting of all income and expenditures of the cannabis business operations, including, but not limited to, cash and in-kind transactions.
(4) 
A copy of the cannabis business's commercial general liability insurance policy and all other insurance policies related to the operation of the business.
(5) 
A copy of the cannabis business's most recent year's financial statement and tax return.
(6) 
An inventory record documenting the dates and amounts of cannabis and cannabis products delivered and sold in the city.
(b) 
A retail cannabis business shall report any loss, damage, or destruction of these records to the city manager within twenty-four hours of the loss, damage, or destruction.
(Ord. 2515 § 3, 2017)