Attachment A
Proposed Ordinance
Ordinance No. 2121
ORDINANCE NO. 2121
AN ORDINANCE OF THE CITY OF PALM SPRINGS,
CALIFORNIA, AMENDING CHAPTER 5.55 OF THE PALM
SPRINGS MUNICIPAL CODE, RELATING TO THE
CONSUMPTION OF CANNABIS AND CANNABIS
PRODUCTSREGARDING CANNABIS CONSUMPTION
LOUNGES
City Attorney’s Summary
This ordinance amends the City of Palm Springs’ existing cannabis lounge business ordinance in order to authorize certain activities within cannabis lounges, in accordance with Assembly Bill 1775 (2024).
WHEREAS, the City of Palm Springs is a charter city organized pursuant to Article XI of the California Constitution and pursuant to the authority granted the City by Section 5 of Article XI, the City has the power to make and enforce within its limits all ordinances and regulations in respect to municipal affairs not in conflict with general laws and its own charter. Such police powers include without limitation the ability to adopt comprehensive zoning regulations and regulations upon the use of land and property within the City; and
WHEREAS, the consumer landscape of cannabis is constantly evolving and innovating in the wake of a legalized market; and
WHEREAS, many states and municipalities are now recognizing the onsite consumption of cannabis as a profitable and sensible addition to the regulated cannabis market; and
WHEREAS, the City has established clear rules for the regulation of onsite cannabis consumption, and this has stimulated the growth of various cannabis businesses; and
WHEREAS, existing law authorizes a cannabis business in Palm Springs to operate a dispensary and to obtain a permit in order for cannabis to be consumed on the premises of the dispensary; and
WHEREAS, as authorized by Assembly Bill 1775 (2024), this ordinance would allow the preparation andor sale of non-cannabis food or beverage products by a licensed retailer in those areas where the consumption of cannabis is allowed, and to allow, and to sell the sale of tickets for, live musical or other performances on the premises of a licensed retailer in those areas where the consumption of cannabis is Ordinance No. 2121
allowed, and establish standards for the City’s cannabis consumption lounges; and WHEREAS, the City Council has carefully reviewed and considered all of the evidence presented in connection with the proposed ordinance, including, but not limited to, the staff report, and all written and oral testimony presented.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM SPRINGS DOES ORDAIN AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this reference as material findings in support of this Ordinance.
SECTION 2. Chapter 5.55 of the Palm Springs Municipal Code is hereby bifurcated into two (2) Articles, and the Chapter 5.55, as it exists immediately prior to the effective date of this Ordinance, is hereby designated as Chapter 5.55, Article I.
SECTION 3. Section 5.55.050 of Chapter 5.55, Article I, of the Palm Springs Municipal Code (Definitions) is hereby amended as follows:
A. The definition of “cannabis lounge” is hereby amended to read as follows:
“Cannabis lounge” or “cannabis consumption lounge” means a separate parcel or segregated tenant space, other than in a private residence or at an event held pursuant to section 5.55.100, with valid authorization, where cannabis or cannabis products are consumed.
B. A new definition for “cannabis consumption lounge operator” is hereby added to read as follows:
“Cannabis consumption lounge operator” means a cannabis dispensary permittee who is authorized to operate a cannabis consumption lounge in accordance with this chapter.
C. A new definition for “smoking” is hereby added as follows:
“Smoking” or “smoke” (when used as a verb) means inhaling, exhaling, burning, or carrying any lighted or heated cigar, cigarette, or pipe, or any other lighted or heated tobacco or plant product intended for inhalation, whether natural or synthetic, in any manner or in any form. “Smoking” includes the use of an electronic smoking device that creates an aerosol or vapor, in any manner or in any form, or the use of any oral smoking device for the purpose of circumventing the prohibition of smoking.
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D. A new definition for “vaping” is hereby added to read as follows:
“Vaping” means to inhale vapor from a device that heats up and vaporizes a liquid or solid.
SECTION 4. A new Article II of Chapter 5.55 of the Palm Springs Municipal Code (Cannabis Consumption Lounges) is hereby added to read as follows:
“Chapter 5.55, Article II (Cannabis Lounges)
5.55.480. Provisions not Exclusive.
5.55.490 Prohibition on Consumption of Cannabis.
5.55.500 Authorization Required to Operate Cannabis
Consumption Lounge
5.55.510 Site Management Requirements.
5.55.515 Cannabis Consumption Lounge Premises Restrictions.
5.55.520 Ventilation Requirements.
5.55.530 Authorization To Operate Must Be Displayed.
5.55.535 Worker Protections.
5.55.540 Required Health Warnings.
5.55.545 Waste Containers.
5.55.550 Operating Hours.
5.55.560 Age Restriction.
5.55.570 Personnel Requirements.
5.55.580 Consumption Of Cannabis and Cannabis Products On Site.
5.55.585 Consumption of Prepackaged Food and Beverages.
5.55.590 Customer Conduct.
5.55.480 Provisions not Exclusive.
Except as more specifically provided in this Article II, Article I of Chapter 5.55 shall apply to Cannabis Lounges.
5.55.490 Prohibition on Consumption of Cannabis.
A. No cannabis business, its manager, its employee, or person with an ownership interest, shall allow any person to smoke, ingest, or otherwise consume cannabis products on its site, or within 20 feet of the site, except as described in this chapter.
B. No cannabis business, its manager, its employee, or person with an ownership interest, shall permit, aid, abet, or conceal the smoking, Ordinance No. 2121
ingesting, or other consumption of cannabis or cannabis products on its site in violation of this code.
C. Each cannabis dispensary that is not authorized to operate a cannabis lounge must have a sign prominently displayed stating, “Smoking, ingesting, or consuming cannabis or cannabis products on this site or in a public place is prohibited.”
5.55.500 Authorization Required to Operate Cannabis Consumption Lounge
A. No person shall operate a cannabis consumption lounge without first having received from the City a valid cannabis dispensary permit with a condition that expressly authorizes the operation of a lounge in accordance with this article.
B. A cannabis dispensary permit may be authorized to allow the operation of a cannabis consumption lounge with one of one or more of the following types of conditions:
(a) Preparation and sale of non-cannabis infused food.
(b) Delivery and service of non-cannabis infused food.
(c) Host non-ticketed events and host up to twenty-four (24) ticketed events per year, subject to the provisions of this chapter.
1. Type 1 (Less than 600 sq. ft.). A type 1 condition on a valid cannabis dispensary permittee authorizes a cannabis
dispensary permittee to allow the preparation and sale of food and host non-ticketed events, subject to the provisions of this chapter.
2. Type 2 (600 sq. ft. or larger). A type 2 condition on a valid dispensary permit authorizes a cannabis dispensary
permittee to allows persons to allow the preparation and sale of food, host non-ticketed events, and host up to twenty-four (24) ticketed events per year, subject to the provisions of this chapter.
C. Cannabis lounges may apply to host outdoor special events utilizing the City’s land use permit process by completing an application through the Department of Special Program Compliance and shall comply with all applicable conditions of approval, public Ordinance No. 2121
safety requirements, and nuisance mitigation standards established by the City will be subject to the conditions of approval to operate said events. Cannabis lounges located adjacent to a site that sells primarily alcoholic beverages, tobacco, or tobacco products on the site may not operate outdoor events.
D. Cannabis Lounges may apply to operate an onsite kitchen facility.
Operators must comply with both State and Riverside County regulations. Additionally, all proposed kitchen facilities must be inspected by the City to determine that the facility is safe to occupy and suitable for the intended use.
5.55.510 Site Management Requirements.
Notwithstanding any other provision of the code, a cannabis lounge consumption operator shall:
A. Prevent and eliminate nuisances on its site, including the unlawful consumption of cannabis and cannabis products;
B. Maintain the exterior of the site, including any parking lots under the control of the permittee, free of litter, debris, and trash; C. Properly store and dispose of all waste generated on the site, including chemical and organic waste, in accordance with all applicable laws and regulations; and
D. Make cannabis and cannabis products unusable and
unrecognizable before discarding them.
E. Maintain sanitary surfaces and devices. Sanitation and cleaning frequency. Each cannabis consumption lounges shall ensure that:
F.
1. The surfaces, utensils, and reusable devices that have direct contact with cannabis products are adequately washed, rinsed and sanitized.
1. 2. After being cleaned, surfaces of equipment, utensils, and reusable devices that have direct contact with cannabis products are sanitized in:
a) Hot water manual operations by immersion for at least 30 seconds with a temperature of 170°F (77°C) or
above;
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b) Hot water mechanical operations by being cycled
through equipment that is set up and achieving a
utensil surface temperature of 160°F (71°C) as
measured by an irreversible registering temperature
indicator; or
c) Chemical manual or mechanical operations, including, without limitation, the application of sanitizing
chemicals by immersion, manual swabbing, brushing
or pressure spraying methods using a solution as
specified on the manufacturer’s label use instructions
that are approved by the Environmental Protection
Agency, by providing an exposure time of at least 30
seconds unless the manufacturer’s label use
instructions provide otherwise.
3. If the surfaces of utensils or equipment come into contact with potentially hazardous cannabis products and ingredients, the surfaces and utensils are cleaned throughout the day at least once every 4 hours.
4. The surfaces of utensils and equipment that have direct contact with cannabis products and ingredients that are not potentially hazardous are cleaned:
a) At any time when contamination may have occurred;
and
b) In equipment, including, without limitation, ice bins and beverage dispensing nozzles, and enclosed
components of equipment, such as ice makers,
cooking oil storage tanks and distribution lines,
beverage and syrup dispensing lines or tubes, coffee
bean grinders and water vending equipment:
(1) At a frequency specified by the manufacturer; or
(2) If the manufacturer does not specify a frequency,
at a frequency necessary to prevent the
accumulation of soil or mold.
State and local public health regulatory agencies may require permits and/or conduct inspections related to the services offered at the cannabis consumption lounge.
G. Any preparation or sale of noncannabis food or beverage products shall be in compliance with all applicable provisions of the California Retail Food Code (Chapter 1 (commencing with Section 113700) of Part 7 of Division 104 of the Health and Safety Code).
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5.55.515 Cannabis Consumption Lounge Premises Restrictions.
A. Enclosed. A cannabis consumption lounge must be indoors and fully enclosed.
B. Not visible to the public. Cannabis consumption shall not be visible from any public place, non-age-restricted areas, the any unsecured areas surrounding the buildings on the site, or the site’s main entrance and lobby.
C. Partitioned. A cannabis consumption lounge must be separated from all other areas of the cannabis dispensary by solid walls and doors. The wall may include glass to provide visibility between the dispensary and the lounge.
D. Soundproof. A cannabis consumption lounge must be adequately soundproofed so that the interior noise does not violate chapter
11.74 (Noise Ordinance).
E. Licensed Security Personnel. A cannabis consumption lounge shall have adequate state-licensed security personnel to patrol the site and the area within 100 feet of the site to preserve the safety of persons and to protect the site from theft. All security personnel shall possess a valid California Department of Consumer Affairs security guard license while on duty on the site.
F. Loitering in or around the business cannabis consumption lounge is prohibited, and the cannabis consumption operator shall ensure the absence of loitering.
G. Smoking or vaporizing of any cannabis product by an employee or customer is not allowed in the food preparation, food storage, or warewashing area of a food facility located on the premises. For purposes of this subparagraph, the following definitions apply:
(I) “Food facility” has the same meaning as that term is defined in Section 113789 of the Health and Safety Code.
(II) “Warewashing” has the same meaning as that term is defined in Section 113940 of the Health and Safety Code.
5.55.520 Ventilation Requirements.
A. The cannabis consumption lounge shall be designed to have Ordinance No. 2121
negative pressure to limit, to the extent possible, leakage of smoke and particulate matter into the non-smoking areas of the site; B. The lounge shall have an HVAC system that does not recirculate air and that has a high rate of air exchange; and
C. The lounge shall have an odor-absorbing ventilation and exhaust system that prevents the odor from inside of the lounge from being detected outside of the site or within any other area located within the same building as the lounge.
5.55.530 Authorization To Operate Must Be Displayed.
A cannabis consumption lounge operator shall display a valid cannabis permit with a condition that authorizes the operation of a cannabis consumption lounge in a conspicuous place inside of the lounge so that all persons inside of the lounge may readily see it.
Additionally, at the entrance of the lounge, a sign must be posted that states, “Cannabis consumption, including smoking and vaping, is allowed inside of this lounge. No person under 21 years of age shall be in the lounge.” The sign must be posted in a conspicuous place so that all persons entering the cannabis lounge may readily see it. The sign must be clearly legible and not less than 8 inches by 10 inches in size.
5.55.535 Worker Protections.
A. Employees shall be permitted at their discretion and without penalty or sanction to wear a mask for respiration, including N95 and NIOSH N95 rated masks in any area where cannabis is smoked.
Employers are required to pay for such masks.
B. When hired, employees who will be working where cannabis is smoked shall be provided in writing the Department of Public Health or its successor’s guidance regarding secondhand cannabis smoke.
C. A cannabis consumption lounge that offers on-site consumption of cannabis products shall include secondhand smoke in their analysis of potential work hazards for purposes of their injury and illness prevention programs required by Section 3203 of Title 8 of the California Code of Regulations.
5.55.540 Required Health Warnings.
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A cannabis consumption lounge operator shall display signs designated by the city that address the health impacts of the consumption of cannabis. The signs must be displayed at the entrance to the lounge in a conspicuous place so that all persons entering the cannabis consumption lounge may readily see it.
5.55.545 Waste Containers.
Cannabis consumption lounge operators shall include properly maintained solid waste, organic waste, and recycling containers in sufficient numbers and locations to service the needs of the lounge.
5.55.550 Operating Hours.
A. All cannabis consumption lounges may operate between the hours of 6:00 a.m. 10:00 am and 10:00 pm.
B. Type 2 cannabis consumption lounges, as defined in Section
5.55.500(B), may host ticketed events with extended operating hours and may operate between the hours of 10:00 am and 12:00 am. All sales of cannabis must cease at 10:00 pm. Cannabis sales beyond 10:00 pm are prohibited, and noncompliance shall constitute a violation of the permit issued and shall render the permittee subject to suspension or revocation of such permit.
5.55.560 Age Restriction.
A. Access to any area where cannabis consumption is allowed shall be restricted to persons 21 years of age or older and each entrance to any such area shall be prominently posted with a warning that cannabis consumption, including smoking of cannabis, is permitted inside.
B. No cannabis consumption lounge operator shall allow any violation of this section.
5.55.570 Personnel Requirements.
A. Operator age limit. No person under 21 years of age shall operate a cannabis consumption lounge in any capacity, including as a manager, employee, contractor, or volunteer.
B. Education and training. The cannabis consumption lounge operator shall educate their managers, and employees, and volunteers about the various types of cannabis and cannabis products allowed Ordinance No. 2121
in the consumption lounge, including the potency, absorption time, and effects; and shall train their managers, employees, and volunteers to likewise educate customers on their purchases. The cannabis lounge operator shall also train their managers, employees, and volunteers to recognize signs of impairment in their customers.
C. Community relations employee. The cannabis lounge operator shall designate an employee as their onsite community-relations contact; provide their name and phone number by certified mail to all owners and tenants of neighboring properties within 100 feet of the site; and advise them to notify the community-relations contact if there are operational problems with the lounge that impact the neighborhood. The cannabis consumption lounge operator shall also provide the name and phone number by amil e-mail to all owners and tenants of neighboring properties within 100 feet of the site; and advise them to notify the community relations contact if there are operational problems with the lounge that impact the neighborhood. The cannabis consumption lounge operator shall also provide the name and phone number of the onsite community relations contact to the Department of Special Program
Compliance.
D. The cannabis business consumption lounge operator shall ensure that during the consumption lounge hours of operation:
a) Adequate onsite staffing;
b) Continuous security monitoring;
c) Manager availability on the licensed premises; and
d) Compliance with all security and operational requirements outlined in Sections 5.55.200; 5.55.205; and 5.55.210.
Manager. The cannabis consumption lounge operator’s manager shall be in the lounge whenever there is a customer in the lounge.
5.55.580 Consumption Of Cannabis and Cannabis Products On Site.
A. Consumption in lounge only. No person shall consume cannabis or cannabis products aton a cannabis lounge in any area other than within the authorized portions of a licensed cannabis consumption lounge, or as authorized by a land use permit.
B. No cannabis consumption lounge operator shall allow any person Ordinance No. 2121
to consume in the lounge any cannabis or cannabis product that was not purchased from the associated dispensary.
5.55.585 Consumption of Prepackaged Food and Beverages.
A. No cannabis consumption lounge operator shall sell or provide for free any cannabis or cannabis products inside the lounge area.
B. No cannabis consumption lounge operator may sell or provide for free any non-cannabis food or beverages inside the lounge unless such food and beverageit does not contain cannabis or alcohol.
C. No cannabis consumption lounge operator shall allow any cannabis or cannabis product to be stored, displayed, served or otherwise handled in a manner that results in contamination of, or co-mingling with, any food or beverage product. Food and beverage products shall be maintained, prepared, and served in compliance with all applicable State and local health and safety laws and regulations.
C. No cannabis consumption lounge operator shall store, display, contaminate, or commingle any food or beverage with any cannabis or cannabis product on the site.
5.55.590 Customer Conduct.
A. Closing announcement. One hour before the closing time of the lounge and at the closing time, the cannabis consumption lounge operator or their manager shall announce the closing time of the lounge and request that customers respect the residents of the adjacent neighbors by being quiet when leaving.
B. Retail limit. No cannabis consumption lounge operator or its manager, employee, or volunteer shall provide cannabis or cannabis products to obviously impaired customers.
C. Car services. A cannabis consumption lounge operator shall provide written information on ridesharing and ride-hailing car services for their customers.
D. Alcohol/Tobacco. The sale or consumption of alcohol or tobacco is prohibited on the cannabis consumption lounge premises.” Ordinance No. 2121
D. Entry and exit of the lounge. A cannabis consumption lounge operator or its manager, employee, or volunteer shall provide cannabis or cannabis products to obviously impaired customers.
SECTION 4. The City Council finds that the adoption of this Ordinance is exempt from the California Environmental Quality Act (CEQA) because it is the adoption of an ordinance, rule, or regulation that requires discretionary review, including environmental review, and approval of permits, licenses, or other authorizations to engage in commercial cannabis activity (California Business and Professions Code section 26055(h)) and because it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment (CEQA Guidelines section 15061(b)(3)).
PASSED, APPROVED, AND ADOPTED BY THE PALM SPRINGS CITY
COUNCIL THIS _____ DAY OF ______________, 2026.
NAOIMI NAOMI SOTO, MAYOR
ATTEST:
BRENDA PREE, MMC, CERA
CITY CLERK
Ordinance No. 2121
Ordinance No. 2121
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF PALM SPRINGS )
I, BRENDA PREE, City Clerk of the City of Palm Springs, California, do hereby certify that Ordinance No. ____ is a full, true, and correct copy, and was introduced at a regular meeting of the Palm Springs City Council on _________ and adopted at a regular meeting of the City Council held on __________ by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Springs, California, this ______ day of ______________, _________.
BRENDA PREE, MMC, CERA
CITY CLERK