Agenda Report
Fullerton City Council
MEETING DATE: APRIL 7, 2026
TO: CITY COUNCIL
SUBMITTED BY: EDDIE MANFRO, CITY MANAGER
PREPARED BY: BARON BETTENHAUSEN, ASSISTANT CITY ATTORNEY SUBJECT: CANNABIS ENFORCEMENT FINES, PENALTIES AND ALTERNATIVE OPTIONS
SUMMARY
The City of Fullerton zoning code prohibits Commercial cannabis activities. This item proposes amending the Fullerton Municipal Code to allow immediate fines on certain activities related to unlicensed commercial cannabis activity and alternate enforcement options.
PROPOSED MOTION
Introduce Ordinance No. XXXX for first reading by title only and waive further reading of the ordinance.
ORDINANCE NO. XXXX – AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF FULLERTON, CALIFORNIA, AMENDING FULLERTON MUNICIPAL CODE CHAPTER 1.10 AND ADDING TITLE 7 (PUBLIC SAFETY AND MORALS), CHAPTER 7.18 (COMMERCIAL CANNABIS ACTIVITIES) TO PROHIBIT COMMERCIAL CANNABIS ACTIVITIES
ALTERNATIVE OPTIONS
Approve the Proposed Motion
Other options brought by City Council.
STAFF RECOMMENDATION
Staff recommends the Proposed Motion.
CITY MANAGER REMARKS
None.
PRIORITY POLICY STATEMENT
This item matches the following Priority Policy Statements:
Public Safety.
FISCAL IMPACT
Enforcing unlicensed commercial cannabis activity requires coordination across Code Enforcement, Police and the City Attorney / Prosecutor’s Office, supported by existing resources. The adopted FY 2025–26 budget includes sufficient funding to carry out these activities under current operating assumptions with no additional appropriation anticipated.
Enforcement actions in certain cases may require abatement, property securing or material cleanup, which could generate additional case-specific costs. The City may recover a portion of these costs through administrative citations, fines and other enforcement mechanisms, however, staff does not expect such revenues to fully offset total enforcement expenses.
BACKGROUND AND DISCUSSION
The City coordinates cannabis enforcement activities through a multi-departmental approach involving Code Enforcement, the Police Department, the Building Division, and the City Attorney’s Office. The City has taken consistent enforcement action against unlicensed commercial cannabis operations since 2017, addressing numerous locations through this collaborative framework. More recently, coordination with the California Department of Cannabis Control (CDCC) has enhanced these efforts by providing access to additional regulatory tools and improving overall case outcomes, contributing to more efficient resolution in certain cases.
Notwithstanding these efforts, unlicensed commercial cannabis activity enforcement continues to present ongoing challenges. The current process, rooted in administrative and civil procedures, requires multiple steps including investigation, notice, administrative proceedings and court authorization prior to abatement. While necessary to ensure due process and legal compliance, these requirements can extend enforcement timelines. In practice, this has limited the City’s ability to promptly disrupt unlawful operations and has contributed to instances where activity persists or reemerges, requiring repeated enforcement actions and continued use of City resources.
The proposed ordinance responds to these challenges by strengthening the City’s enforcement framework and incorporating expanded authority provided under recent state legislation. Specifically, the ordinance implements provisions authorized under AB 1684, which allow for the immediate imposition of administrative fines for unlicensed commercial cannabis activity. Under the City’s current municipal code, most violations require notice and opportunity to cure prior to the issuance of fines, which can diminish the effectiveness of penalties as a deterrent. AB 1684 expands local authority to allow immediate fines across a broader range of unlicensed cannabis activities, including retail, distribution and manufacturing, thereby providing a more direct and timely enforcement tool.
In addition, the ordinance introduces a new chapter to the Municipal Code establishing a clear prohibition on unlicensed commercial cannabis activity as a business activity under the City’s police power. This provision is intended to complement the City’s existing zoning code prohibition on cannabis uses and does not modify zoning regulations. The ordinance also clarifies that responsibility for violations may extend beyond operators to include property owners and other responsible parties, consistent with state law, thereby strengthening accountability and reducing opportunities for unlawful activity to persist.
Finally, the ordinance provides an additional enforcement pathway the City may utilize, where appropriate, to address persistent or repeat violations. While enforcement has traditionally been handled through administrative processes, the addition of alternative enforcement options allows the City to respond more effectively in situations where existing processes may be less efficient. Collectively, these updates are intended to enhance the City’s ability to more promptly address unlicensed commercial cannabis activity, improve deterrence and reduce the recurrence of unlawful operations, while maintaining appropriate due process protections.
Attachments:
Attachment 1 – PowerPoint Presentation
Attachment 2 – Draft Ordinance
Attachment 3 – Redline of Proposed Changes
cc: City Manager Eddie Manfro
Fines or Penalties for Cannabis Enforcement
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