Cannabis Business Prequalification Process
City Council Meeting
November 28, 2023
CANNABIS REGULATORY FRAMEWORK
2 • Adoption of General Plan Update and Overlay Zone on consent calendar Does not authorize cannabis uses, even within identified area Creates the regulatory framework to allow for consideration • Proposed business is required to apply for discretionary action for the location to be rezoned to the S-3 Overlay
• CUP and Police Regulatory Permit also required
• Development Agreement also needed for community benefit commitment
• Maximum of 2 retail cannabis storefronts and 1 distribution business allowed – not required to approve maximum number
CANNABIS REGULATORY PROCESS TIMELINE
3 • Process to apply for Rezoning, CUP, Regulatory Permit anticipated to take 6 months
Requires a community meeting
Requires Planning Commission public hearing
Requires City Council public hearing and approval
• Anticipated fees for process are ~ $35,000
• Limit on number of approvals that can be issued
• Proposal “pre-qualification” process will allow most feasible candidates to proceed with extensive process
PROPOSAL PROCESS
4 • Multiple retail cannabis operators have expressed interest to date • Staff will solicit proposals to “pre-qualify” up to 2 to apply for rezoning • Proposal requirements include:
Business experience and qualifications of operators
Site control and suitability of the location
Security and neighborhood compatibility plans
Business operations plan
Proposed design (interior and exterior)
Community benefits package
• Process will include background check of each operator • Pre-qualification process fee is $3,000 plus background check fees
COMMUNITY BENEFITS
5 • Proposal will request description of any community benefits offered in excess of those normally associated with commercial activity • Suggested Community Benefits include:
• Payment in-lieu of a cannabis business tax
• Commitment of contributions to City programs or services • Labor practices – living wage and/or local hire policies • Other economic benefits to the community
• Commitment to community benefits to be formalized through a Development Agreement
NEXT STEPS
6 1. Commercial Cannabis Police Regulatory Ordinance for future City Council consideration in January 2024 which will include:
• General Administration
• Legal Authority
• Operating Requirements
• Enforcement
2. City Council approval of any new Cannabis-related fees (including Police Regulatory permit fee), likely also in January 2024
3. Prequalification proposal process planned for December - January 2024
ACTIONS REQUESTED OF THE CITY COUNCIL
7 Review and provide feedback on the prequalification process and list of suggested community benefits, including any prioritization of benefits
THANK YOU!
November 14, 2023 Belmont Cannabis Update 8