HomeMy WebLinkAboutRESO 9274Resolution No. 9274
Resolution of the Council of the City of Palo Alto
Calling a Special Election for November 6, 2012 on the Initiative Ordinance to
Permit Three Medical Marijuana Dispensaries to Operate in Palo Alto
WHEREAS, an initiative petition to amend the City of Palo Alto Municipal Code to
Permit Three Medical Marijuana Dispensaries to Operate in Palo Alto has been submitted to the
City in accordance with the requirements of Article VI of the Charter of the City of Palo Alto;
and
WHEREAS, by its Resolution No. 9254, the City Council called a general municipal
election for November 6,2012 ("Election");
WHEREAS, on October 3, 2011, the City Council accepted the Certificate of
Sufficiency of the Initiative Ballot and directed staff to return with a resolution putting the
measure on the November 2012 ballot;
WHEREAS, elections are scheduled to be held on November 6, 2012, in certain
school districts and certain special districts in Santa Clara County; and
WHEREAS, under Part 3 of Division 10 of the Elections Code, commencing at
Section 10400, and Education Code Section 5342, elections called by various governing bodies
may be partially or completely consolidated;
NOW, THEREFORE, the City Council of the City of Palo Alto does hereby
RESOLVE as follows:
SECTION 1. Special Election. A special municipal election is called for the City
of Palo Alto to be held on Tuesday, November 6,2012, under Charter Article VI for the purpose
of submitting the following question to the voters at the election:
CITY OF PALO ALTO INITIATIVE MEASURE __ _
Shall the Palo Alto Municipal Code be amended to permit three medical
marijuana dispensaries to operate in Palo Alto in any commercial or industrial
zone subject to prescribed zoning criteria?
For the Ordinance
Against the Ordinance
SECTION 2. Adoption of Measure. The measure to be submitted to the voters is
attached to this Resolution as Exhibit "1" and incorporated by this reference. If a majority of
120717 cs RESO SpeciiU Election on Marijuana Initiative 1
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qualified electors voting on such measure shall vote in favor of City of Palo Alto Initiative
Measure "_", it shall be deemed ratified and shall read as provided in Exhibit "I".
SECTION 3. Notice of Election. Notice of the time and place of holding the
election is hereby given, and the City Clerk is authorized, instructed and directed to give further
or additional notice of the election in time, form, and manner as required by law.
SECTION 4. Impartial Analysis. The City Council hereby directs the City Clerk to
transmit a copy of the measure to the City Attorney. The City Attorney shall prepare an
impartial analysis of the measure, not to exceed 500 words in length, showing the effect of the
measure on the existing law and the operation of the measure, and transmit such impartial
analysis to the City Clerk on or before August 21,2012.
SECTION 5. Ballot Arguments. Arguments in favor of or against the measure shall
be submitted to the City Clerk on or before August 14,2012 at 5:30 p.m. under Elections Code
section 9286 et seq .. If the City Clerk receives more than one argument for and/or against, the
priorities established by Elections Code section 9287 shall control.
SECTION 6. Rebuttal Arguments. Rebuttal arguments shall be controlled by the
provisions of Elections Code section 9285. The deadline for filing rebuttal arguments shall be
August 21, 2012, at 5:30 p.m.
SECTION 7. Duties of City Clerk. The Palo Alto City Clerk shall do all things·
required by law to effectuate the November 6, 2012, general municipal election, including but
not limited to causing the posting, publication and printing of all notices or other election
materials under the requirements of the Charter of the City of Palo Alto and the California
Elections and Government Codes.
SECTION 8. Request and Consent to Consolidate. The Council of the City of Palo
Alto requests the governing body of any other political subdivision, or any officers otherwise
authorized by law, to partially or completely consolidate such elections and the City Council
consents to such consolidation. The Council requests the Board of Supervisors of Santa Clara
County to include on the ballots and sample ballots, all qualified measures submitted by the City
Council to be ratified by the qualified electors of the City of Palo Alto.
SECTION 9. Request for County Services. Under Section 10002 of the California
Elections Code, the Council of the City of Palo Alto requests the Board of Supervisors of Santa
Clara County to permit the Registrar of Voters to render services to the City of Palo Alto relating
to the conduct of Palo Alto's General Municipal and Special Elections which are called to be
held on Tuesday, November 6, 2012. The services shall be of the type normally performed by
the Registrar of Voters in assisting the clerks of municipalities in the conduct of elections
including but not limited to checking registrations, mailing ballots~ hiring election officers and
arranging for polling places, receiving absentee voter ballot applications, mailing and receiving
absent voter ballots and opening and counting same, providing and distributing election supplies,
and furnishing voting machines.
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10. Receipts from services or sales in transactions between affiliated corporations. An affiliated
corporation is a corporation:
(i) The voting and nonvoting stock of which is owned at least eighty percent (80%) by such other
corporation with which such transaction is had;
(ii) Which owns atleasl eighty percent (SOOA.) of the voting and nonvoting stock of such other
corporation; or
(iii) At least eighty percent (SO'A.) of the voting and nonvoting stoek of which is owned by a common
parent corporation which also has such ownership of die corporation with which such transaction is had.
II. Transactions between a limited liability company and its member(s), provided the limited liability
company has elected 10 tile as a subehapter K entity UDder the Internal Revenue Code and that such transac:tioo(s)
shall be treated the same as between a partnership and its partner(s); .
12. Receipts of refundable deposits, except that such deposits when forfeited and raken into income of
" the business sball not be excluded when in excess of onc dollar ($ I); and
13. Amounts collected for olbers where the business is acting as an agent or trustee and to the extent
that such amounts are paid 10 those for whom collected. These agents or trustees must provide the City Manager
with the names and the addresses of the others and the amounts paid to them. This exclusion shall not apply to any
tfees, percentages, or other payments retained by the agent or trustees.
"Gross receipts" subject to the medical marijuana dispensary tax shail be only that portion of gross receipts
relating to business conducted within the City of Palo AIIO.
(c) "Marijuana" sball have the same definition as set forth in Healdl and Safety Code 11018.
(d) "MCdical matijuana" is defined in Title 4, section 4.20.020.
(e) "Medical marijuana dispensary" is defined in Tide 4, section 4.20.020.
(f) "Medical marijuana dispensary tax" means die gross receipts tax payable to the City by a medical
marijuana dispensary pursuant to this chapter.
(g) "Person" means, without limitation, any natural individual, organization, firm, trust, common law
trust, estate, partnership of any kind, association, syndicate, club, join~ stock company, joint venture, limited liability
company. corporation (including foreign, domestic. and nonprofit). municipal corporation (odler than the City of
Palo Alto), conperativc. receiver, trustee. guardian. or other representative appointed by order of any court.
2.49.030 Medlall M.rijuau Dlspenl.ry Grou Ruelpu T.L
(a) Every medical marijuana dispensary shall pay a medical marijuana tax of four percent (4%) for
each dollar of its gJ'oss receipts. .
(b) The tax imposed by this section is'imposed for general governmental purposes.
2.49.040 P.yment; Time UmltL
The tax imposed by tbis Chapter shall be due and payable as follows:
(a) Each person owing a tax under this Chapter shall, on or before the last day of each calendar
month. prepare a tax return to the City Manager of the total gross receipts and the amount of tax owed for the
prec:eding calendar month. At the time the tax return is filed, die full amount of the tax owed for the prec:eding
calendar month shall be remitted.
(b) All tax returns sball be completed on forms provided by the City Manager, which shall elicit only
that information nec:cssary to calculate and collect the taxes due under this chapter.
( c) Tax returns and payments for all outstanding taxes owed the City are immediately due the City
MIIDlIgCI' upon cessation of business fur any reason.
2.49.050 Payment; When Tales Deemed Delinquent; Pen.lties and Interest; Audit.
(a) Unless otherwise specifically provided under other provisions of this Chapter, the taxes required
to be paid pursuant to this Chipter shall be deemed delinquent if not paid on or before the due date specified in
Section 2.49.040.
(b) Any person who fails or refuses to pay the tax required to be paid pursuant to this Chapter for
more than fifteen days after the due date shall pay a penalty equal to five percent (5%) of the amoum of the tax in
addition to the amount of the tax. plus inierest on the unpaid tax calculated from the due date of the tax at a rate of
ten percent (100/.) per annum. .
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(1) "Marijuana" sball bave !he same definition as set forth in Health and Safety Code section J J 0 J 8.
(m) "Medical Marijuana" means marijuana used for medical purposes in accordance wilb Health and
Safety Code sections \ \362.5 and 11362.7" sef{.
(n) "Medical marijuana dispensaty" means a cooperative or collective of four or more members wbo
. associate at a particular location or real property to collectively or cooperatively distribute marijliana to members for
medical purposes. and operate on a not-for-profil _I, consistent with Califomia Health and Safety Code section
11362.5 and 11362 .. 7 et seq., !he Guidelines for the Security and Non-Diversion of Marijuana Grown for Medical
Use issued by !he California Attorney General in Aqust 2008, &lid this chapter. A medical marijuana dispensary
shall not include the following uses: a clillic licensed pursuant to Chapter I of Division 2 of the Health and Safety
Code; a health care ficility licensed pursuant to Chapter 2 of Division 2 of the Health and Safety Code; a resi<\ential
care facility for persons with chronic life..lbreatening illlIeS.licensed punuant to Chapter 3.01 ofDivision 2 of Ibe .
Health and Safety Code; a residential care facility for the ddorly licensed pursuant to Chapter 3.2 of Division 2 of
the Heallb &lid Safety Code; and a residential hospice or a h~e health agetI'Y licensed punuant to Chapter 8 of
Division 2 of the Health and Safety Code, .. long as any such use complies wilb applicable laws including, but not
limited to, California Health and Safety Code section 11362.5 and 11362.7 lit seq., and the City oCPaIo Alto Charter
and Municipal Code.
(0) "Medical Marijuana Dispensary Permit" meanl a pcrmitlbat auIborizes a medical marijuana ,dispensary to operare wilbin!be City.
(p) "Member" means any qualified patient, primary caregiver, or person with an identification card
wbo is registered with a medical marijuana dispensary.
(q) "Operate a dispensary" means to engage in or conduct Ibe business of a dispensary, including, but
not limited to, distributing medical marijuana and maintaining ihe facilities of a dispensary.
(r)
PaklAIto.
"Permittee" means a person that holds a valid medicaJ marijuana dispensary pcrmitti'om !be City of
(5) ''Person'' means, without limitation, any natural individual. orpnizatioD, finn, trust, common law
trust, estate, plirlnership of any kind, association, syndicate, club, joint stock company. ,joint venture. limited liability
company, corporation (including foreign, domestic, and nonprofit), municipal corporation (other than the City of
Palo Alto), cooperative, receiver, trustee, guardian, or other representative appointed by order of any court.
(t) "Physician" means a licensed medical doctor as defined in California Business and Professions
Code seclion 4039.
4.%0.030 Enforeement of Chapter.
Tho City Manager shall have tho responsibility and duty for enforument of Ibis chapter.
4.20.040 Medical Marijuana Dilpelllllry Penalt; Deadline for AppllcltionL
---l'V No··person shaJLopera1ume4icalmarijuanadispen!III!:Y unless the personhoJdsa m.idical
marijuana dispensary permit issued by the city pursuant 10' Ibis chapter.
(b) An applicant for a proposed medical marijuana dispensary shall apply for a medical marijuana
dispensary permit.on an application fonn provided by the City and shall submit a non-retimdable dispensary permit
application fee of ten thousand dollars ($ I 0,000). To be eligible to reuive one of the City' s three l3) medical
marijuana dispensary permilll, appJic8lits must submilto the City Clerk a medical marijuana dispensary application
and dispensary application fee no later than fifteen (I S) days after the operative date of this ordinance.
(c) The fact that an applicant possesses other types of permits or liunses from the State of California,
County of Santa Clara or City of Palo Alto shall not exempt the applicant from Ihe obligation to obtain a medical
marijuana dispensary permit under this chapter. nor shall the terms and conditions of any other such permit or
license modify the requirements at a dispensary permit granted ander this chapter.
Urnit on Number of Permi .. ; Data of lunlnee.
(a) The City DePalo Alto shall, as soon .. is practicable following the operative date of this
ordinanu, issue three (3) medical marijuana dispensary permits.
(b) No person shall receive more than one (I) medical marijuana dispensary permit.
(c) The City of Palo Alto shall have no fewer than, and no more than, three (3) dispensary permits
issued and outstandins at all times after the initial period described in Subsection (a).
4.2O.OCiO AppUcant QuaJificadolll.
(a)
submitted:
I.
Every management member of a dispensary shall be at the time the application or renewal is
At least twenty-one (21) years of age; and
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2.-A resident of the Slale of California.
(b) To ensure the heallh, safety, and welfare of the citizens and businesses of the Cay of Palo Alto, an
applicant shall meet the following qualiticalions, and affinn the tndhfulne8S of each separately on the application or renewal
fu~: .
I. No manlljlClllCllt member of the applicant has ever operated, managed, or participated in a medical
marijuana dispensary in the City of Palo Alto wilhout a permit, license, authori2aon, or other entitlement for use issued by
the City of Palo Alto; .
2. A management member of the applicant hll$ at least twelve (12) months of experience as a board
member, director, officer, owner or operating officer of a medical marijuana cooperative or collec1ive registered or
permitted as a medical marijuana dispensary by a city. county. or city and county within the ~laIe of California; and
3. No management member of the applicant has been convicted of a misdemeanor involving moral
turpitude. or a felony. This requirement shall not apply to any conviction or pica of guilty or nolo conJentiere under
fedcrallaw for an act that was lawfIJI at the time under the Compassionate Use Act or The Medical Marijuana
Program Act
4.20.010 Application ..
(a) The applicant for a medical marijuana dispensary permit or renewal shall submit to the City t Manager an application. provided by the City Manager. The application shall be me under penalty of peijury and
shall include the following information:
I. .. A description of the SIIIIUtory entity or business form that will serve as the Icgal5IrUctUre for the medical
marijuana dispensary and a copy of its business formation and organizing documents.
2. The name. address. telephone number, tide, funclion(s) and copy of a valid· government issued form of
photo idenlillcation for eaclIlIIlIII:IpIlenl member.
3. The address to which notice of action on the appliallion is to be mailed;
4. Written proof that the applicant and all managenICIIt members are alleast I\\alty-onc (21) ycarsof age;
S. A list of each misdemeanor involving moraJ turpitude or felony conviction, if any, of any management
member of the applicant;
6. Number of employees, volunteers. and other persons who will work or provide services at the medical
marijuana dispen5llly;
7. A plan describing how the medical marijuana dispensary will operate consistent with state law and
the provisions of this chapter. including controls to ensure medical marijuana is only distributed to qualified patients
or primary caregivers; and
(b) Each management member shall consent to fingerprinting and a criminal background check.
(c) The applicant shall include a description of the proposed location. including the street address and
pareel.nurnber !he.sauare.footagc. !he..numbcr_oC IIXP""tM members -and .the.charl!Gleristics. of the .nejghborhood or
surrounding area.
(d) The applicant shall provide a current copy of its business operations tax certificate and slale sales
tax seller's permit
(e) The applicant shall authorize the City Manager to seek verification of the information contained in
the application.
(t) If the applicant has compleblthe application improperly. or if the application is incomplete. the City
Manager shall within teo (10) business days of receipt of the original application notifY the applicant of such t'aI;t in writing,
detailing any deficiencies. and allow the applicant a reasonable amount oftimc to submit an amended application correcting
any deIlciencies.
4.%O.1MIO Gruling or Deulal of Permit Application.
The City Manager shall either grant or deny a dispensary permit within 30 days from the date the
application is submitted to the city and deemed complete.
4.%O.G!IO Priority of Appfieantl.
Jfthere are more than three (3) applicants for dispensary pennil5 who meet all of the requirements of this
ordinance, the City Manager shall give priority in awardi", the dispensary permits to any applicant dial provides
doI:umcntaIyevidencethat, at any Cirne aftefthepaasage of the Compassionate Use ACI (Proposition 21S) in 1996.lhe
applicant applied for and was denied or refused a permit, business license, use or occupancy permit, zoning permit, other
entidemcnt for use, or il5 equivalent by the City of Palo Alto 10 operate a medical marijuana dispensary in the City. Such
applicants shall be given priority in the order of denial or refusal. from earliest 10 most recent. For example, an applicant
who applied for a permit on May I, 1997, shall be given priority over an applicant who applied for a permit on May I.
2000.
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4.10.100 GrouDds for DenI8l of PmnIt.
A medical marijuana dispensary pennit shall be granted or renewed unless the applicant or pennit holder has not
complied with the requiremenlS of this ordin-. or any of the following apply:
(a) The applicant knowingly made a fiIse stalm1ent of material fact or haS knowingly omitled 10 stale a
material fact in the application for 1\ meditaI marijuana dispensuy permit.
(b) The applicant or permit holder has not paid any applicable application or renewal fees.
(c) The City of Palo Alloaiready has 1hRc(3) medical marijuana dispensary pennilS in use.
4.20.110 Requa" for ReeonlideratloD.
(a) If the City Manager denies, suspends, revokes, or does not renew a dispensary permit, written
notice of sucb action shall be served on the applicant or permit bolder. The notice shall contain:
I. A briefSlatement of the grounds for the action.
2. A statement that the applicant may request rec:onsideration oftbe action, in writing 10 the City
Manager, within ten (10) days of the date of service of the notice.
3. A statement that the failure to request reconsideration of the action will constitute a waiver of all
rights to further City or judicial review, and that the action will become fmal.
(b) If tbe applicant properly files a request for reconsideration, the City Manager shall set the date of
the bearing within 30 days from the date the request is filed. The bearing shall be conducted by the City Manager.
(c) Failure to properly file a Written request for rec:onsideralion of the notice of denial within ten days
of the date of service of the notice shall coBStitute a waiver of all rights to I bearing, and the City Manager's
decision shall be final. Failure to properly and timely file a request for reconsideration of the notice of the action of
the City Manager shall also eonstitute a failure to exhaust administrative remedies and bar any judicial action
pertaining to the City Manager's decision. .
(d) If the applicant files a proper request for reconsideration but fails to appear at the bearing,.the
request for reconsideration is deemed abandoned, and the decision of the City Manager is final and may not be
further appealed. Failure to appear at the hearing constitutes a waiver of all rights to a hearing and shall also
constitute a failure to exhaust administrative remedies and bar to any judicial action pertaining to the City Manager's
decision.
(e) Hearings need not be conducted according to the technical rules relating to evidence and
witnesses. Government Code section 11 S 13, subdivisions (a), (b) and (c) shall apply 10 hearings under this chapter.
(f) Oral evidence shall be taken only upon oath or affirmation.
(g) Each party shall have tbese rights:
I. To call and exanline witnesses on any matter relevant to Iheissues of-tbe hwing; ...
2. To introduce documentary and physical evidence;
3. To cross-examine opposing witnesses on any matter relevant to the issues of the hearing;
4. To impeach any witness regirdless of which party first called the witness to testilY;
S. To rebut the evidence presented against the party; and
6. To represent himaelf, herself, or itseiforto be represented by anyone of his, her, or its choosing,
regardless of whether the person is an atIOrney.
(h) In reaching a decision after reconsideration, official notice may be taken, either before or after
submission of the case for decision, of any fact that may be judicially noticed by the courts of this state or that may
appear in any of tbe official records of the City or any of its departments.
(i) If it is shown. by clear and convincing evidence, that one or more grounds exist to deny, suspend,
revoke, or not renew a dispensary permit, the City Manager shall uphold the original decision. The decision of the
City Manager shall be in writing and shall contain findings of fact and a determination of the issues presented.
(j) The. decision shall inform the appellant that the decision is a final decision and that the time for
judicial review is governed by California Code of Civil Procedure Section 1094.6. Copies of the decision shall be
delivered to the parties personally or sent by certified mail to tbe address shown on the appeal. The decision shall be
final when signed by the hearing examiner and served as provided in this section.
(k) Written notice of the decision nfthe City Manager shall be served on the applicant within ten days
following the hearing.
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(g) No medical marijuana dispensary shall sell, provide or dispense al,oholic beverages at the medi,al
marijuana dispensary.
(h) A medil:al marijulIIIII dispensary shall provide adequate 5el:urity on the medil:al marijuana
dispensary premises, including lighting and alarms, 10 ensure the Safety 01' persons and 10 prot"t the premises from
theft.
(i) A medi,a1 marijuana dispensary shall provide litter removal services once during each day of
operations on and in fr0l11 of the premises and, ifDCl:eSSary, on public sidewalks within one hundred (100) feet of
the medil:al marijulIIIII dispensary premises.
(j) A medical marijuana dispensary shall not cultivarc, distribute or sell medical marijuana for a profit.
A medil:al marijuana dispensary may fCl:Cive compensation for its actual expenses, including reasonable ,
compensation for service provided, or (or payment of out-o(-pockCt expenses incurred in providing those services.
However, any such medical marijuana dispensary must pay the applil:able sales or use tax on such sales or services
and maintain the applicable seller's permit or similar permit from the State Franchise Tax Board or other applicable
ag~.
(k) A medical marijuana dispensary shall meet all of the operating criteria for the dispensing of
medil:al marijuana required by California Health and Safety Code 5Cl:tions I I 362.S and I 1362.7 el .feq.
:. (I) A medical marijuana dispensary shall comply with all applicable laws and regUlations related to the
A\nericans with Disability Act.
Failure to comply with any of the above operating requirements shall result in the City oePalo Alto
informing the permittee of any violation of this chapter, and revocation ofthe medical marijwina permit if the
permittee does not remedy the violation within fourteen ( 14) calendar days.
4.20.150 Su.pension· or Revlle.tion of Pennlt.
The City Manager may suspend or revoke a dispensary permit if the permiltce engages in any act or
conduci that would be grounds for denial of the pennit in the first instance.
4.20.160 Term. Renewals and F_
(a) A medil:al marijUIIIIII dispensary permit shaU be renewed annually. The City Manager shall renew a
medical marijUIIIIII dispensary permit unless grounds exist in this ordinance for denial of the pennil
(b) The City Manager shall renew cadi dispensary permit upon tender of a nonrefundable fee of len
Ihousand dollars ($10,000).
4.10.170 Zonlne and Development Standard ..
The provisions of Chapter 18.4S of Tide 18 C'Zoning") of the Palo Alto Municipal Code, adopted in Ihis
ordinance, are applicable to medical marijUIIIIII dispensaries and compliance with those provisions shall be
considered additional requirements for issuance of a dispensary permit.
4.20.180 Minor.:
(a) It shall be unlawful for any dispensary to employ, or allow 10 volunteer, any person who is under
the age of twenty-one (21).
lb) Persons under the age of ei(lhteen (18) years shall not be allowed on·the premises ofa medical
marijuana dispensary unless they are a qualified patient and accompanied by their parent or guardian.
4.20.190 Display of Permit.
Every medil:al marijuana dispensary permittee shall display the medical marijuana dispensary permit at all
'times during business hours. The dispensary permil shall be displayed in a conspicuous place so all persons entering
the medical marijuana dispensary may readily see the permit.
4.20.100 Location; Tr .... fer of pennlts.
(a) A permittee shall not operate a medical marijuana dispensary under the authority of a medical
marijuana dispensary permit at any place other that the address of the medical marijuana dispensary stated in the
application for the permit
rb) A permittee shall not transfer ownership or control of a medical marijuana dispensary permit 10
another person unless and until the transferee obtains an amendment to the permit from the City Manager, which
shall nol be unreasonably withheld, stating !bat the transferee is now the permittee. Such an amendment may be
obtained only if the transferee tiles an application with the City Manager in accordance with the provisions of this
Chapter. and the City Manger determines that the transferee meets all of the requirements of applicants pursuant to
this chapter.
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(h)
operated.
(i)
"DispenS8J}' building" means the building or portion of a building within which a dispensary is
"DispeftS8J}' permit" means a medical marijuana dispeftS8J}' permit
(j) "Dispensary property" means the partel of real property or portion of the partel of real property
that is owned or leased by a dispensary and upon which a dispensary is operated.
(k) "Guidelincs'~ means the "Guidelines For The Scturity and Non-DivelSion of Marijuana Grown for MedWal
Use," issued by the California Altonley Genera1 in August 2008, as may be amended from time to time.
(I) "Management member" means a member with responsibility for the establishment, registration,
supervision, or oversight of the operations of a medical marijilana dispenS8J}', including but not limited to, a member
who is, or performs the functions of, a board member, director, officer, owner, operating offi~er, or manager of the
dispensary.
(m) "Marijuana" shall have the same delinilion as set forth in Health and Safety Code 11018.
(n) "Medical Mllfijuana" means marijuana used for medical purposes in accordance with Health and
Safety Code sections 11362.5 and 11362.7 el seq.
(0) "Medical marijuana dispensary" means a cooperative or collective of four or more members who
• associate at a Pllflituillf location or real property to collectively or cooperatively distribute marijuana to members for
medical purposes, and operate on a not-for-protit basis. consistent with California Health and Safety Code section
11362.5 and 11362.7., seq.), tho Guidelines fortbo Security and Non-Diversion ofMarijuanaGrnwn for Medical
Use issued by the CaliforniaAttornoy General in August 2008, and this chapter. A medical marijuana dispensary
shall not include the following uses: a elinic lieensed pursuant to Chapter I orDivisioD 2 of the Health and Safety
Code; a health care facility litensed pursuant to Chapter 2 of Division 2 of tho Health and Safety Code; a residential
care facility for persons with chronie life-threatening illness licensed pursuant to Chapter 3.01 of Division 20ilhe
Health and Safety Code; a residential care facility for the elderly licensed pursuant to Chapter 3.2 of Division 2 of
. the Health and Safety Code; and a residential hospice or a home health agency licensed pursuant to Chapter 8 of
Division 2 of the Health and Safety Code, as long as any such use complies with applicable laws including, but not
jimited to, California Health and Safety Code section 1136205 and 11362.7 el.leq.), and the City of Palo Alto
Cbarter and MuniCipal Code. .
(p) "Medical Marijuana DispenS8J}' Permil" means a pennit that auIhorizes a medical marijuana
dispensaay 10 operate within the City.
(q) "Member" means any qualified patient, primary caregiver, or person with an identification card
who is registered with a medical marijuana dispensary.
(r) "Operate a dispensary" means to engage in or conduct the business of a dispenS8J}', including, but
not limited to, distributing medical marijuana and maintaining the facilities of a dispenS8J}'.
(5)
Palo Alto.
"Permittee" means a person Ihat bolds a valid medical marijuana dispensary pennit from the City of
(t) "Person" means, without limitation, any natural individual, organization, firm, 1ruSt, common law
"_._--"_."0 bStJ eslllte, paUiletslUp of any=kind; iSsOtiatidtf,"Syttdicate;=diJlr,joint=stuchOlbpld9, joint ·veiltan" limited=tiabititj .
company, eorporation (including foreign, domestic, and nonprofit), municipal corporation (other than the City of
Palo Alto), cooperative, receiver, trustee, guardian, or other representative appointed by order of any court.
18.45.030 Permitted Zones; Minimum Proximity; Other Requirements.
(a) Exeepl as set forth in subsection (b) of this section. a medical marijuana dispensary shall be
allowed to operate in any commercial or indllStrilll zone, or equivalent. in the City of Palo Alto.
(b) Notwithstanding subsection A of this Section, no medical marijuana dispensary shall be located:
I. Within I SO feet of any residential zone;
2. Within 600 feet of any public or private school; Dr
3. Within 500 feet of any public library, public park, licensed day care center, or substanee abuse
rehabilitation tenter.
Subsections (b)!., (b)2., and (b)3. of this section shall be coJlcetivcly known as "seosilive uses." The
distance between a medical marijuana dispenS8J}' and a sensitive use shall be measured in a straight line, without
regard to the intervening struetures or objects, from the primary entrance of the medical marijuana dispensary to the
property line in which the sensitive use is loeated.
(c) A medical marijuana dispensary is not and may not be approved as an accessory use to any other
use permitted by the Palo Alto Municipal Code.
ld) No more thaD one medical marijuana dispensary may operate out of a single building.
II
.,