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cc 2024 AR 10/22 code amendments, cannabis fees, temporary cannabis events

Vista City Council
October 22, 2024

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cc 2024 AR 10/22 code amendments, cannabis fees, temporary cannabis events
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October 22, 2024
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ACTION:
____________________________
Clerk/Secretary
Department: Community Development Item No: PH1
Prepared by: Joe Vacca, Community Development Director Meeting Date: October 22, 2024 Approved by: John Conley, City Manager Agenda Location: Public Hearing SUBJECT: CODE AMENDMENTS AND FEES RELATING TO COMMERCIAL CANNABIS

BUSINESSES AND TEMPORARY CANNABIS EVENTS AT BRENGLE TERRACE PARK RECOMMENDATION:

1.Open, conduct, and close a public hearing and receive testimony regarding code amendments relating to commercial cannabis businesses and temporary cannabis events at Brengle Terrace Park.

2.Introduce and adopt City Council Ordinance No. 2024- , amending Section 5.95.150(l) of the Vista Municipal Code, Commercial Adult Use Cannabis Businesses, Hours of Operation.

3.Introduce and adopt City Council Ordinance No. 2024- , adding Section 5.95.165 of the Vista Municipal Code, Commercial Adult Use Cannabis Businesses, Suspension or Revocation of License.

4.Introduce and adopt City Council Ordinance No. 2024- , amending the uses permitted within “Use Area ‘B’” of the Vista Business Park Specific Plan.

5.Introduce and adopt City Council Ordinance No. 2024- , adding Chapter 5.97, Commercial Cannabis Cultivation, to the Vista Municipal Code.

6.Introduce and adopt City Council Ordinance No. 2024- , amending Chapter 8.12, Chapter 12.08, and Chapter 12.13 of the Vista Municipal Code, all relating to Temporary Cannabis Events at Brengle Terrace Park.

7. Adopt City Council Resolution 2024- , approving various fees for commercial cannabis cultivation businesses and a prescreening application fee for temporary cannabis events at Brengle Terrace Park.

CORRELATION TO CITY COUNCIL GOALS: Relates to but does not directly support the following City Council goals: Fiscal Responsibility, and Economic Development.

PRIOR ACTION: On August 27, 2024, discussed cannabis dispensary hours of operation and special events on City property and directed staff to bring back ordinances expanding retail cannabis dispensary hours of operation from 6:00 AM – 10:00 PM and cannabis related special events on City property (Vote: 5- 0).

AGENDA
REPORT

CITY COUNCIL

COMMUNITY DEVELOPMENT COMMISSION

SUCCESSOR AGENCY

BUENA SANITATION DISTRICT

JOINT POWERS FINANCING AUTHORITY
Opened, conducted, and closed the public hearing, introduced and adopted the following: 1) City Council Ordinance 2024-08. Vote: 5-0; 2) City Council Ordinance 2024-09. Vote: 5-0; 3) City Council Policy 2024-10. Vote:
5-0; 4) City Council Ordinance 2024-11. Vote: 5-0; 5) City Council Ordinance 2024-12. Vote: 5-0; 6) City Council Resolution No. 2024-168. Vote: 5-0.

MEETING DATE: October 22, 2024 PAGE 2

SUBJECT: CODE AMENDMENTS AND FEES RELATING TO COMMERCIAL CANNABIS

BUSINESSES AND TEMPORARY CANNABIS EVENTS AT BRENGLE TERRACE PARK

On May 28, 2024, adopted Ordinance No. 2024-6, amending Chapter 8.12 of the Vista Municipal Code and Chapter 18.76 of the Vista Development Code relating to temporary cannabis events (Vote 5-0).

See Exhibit 8 for a complete list of prior actions.

PRIOR PLANNING COMMISSION ACTION: On May 7, 2024, the Planning Commission adopted Resolution No. 2024-12, recommending City Council approval of an ordinance to amend Vista Municipal Code Chapter 8.12, Smoking in Public Places, and Vista Development Code Chapter 18.76, Temporary Use Permits, relating to temporary cannabis events (Vote: 5-1-1, Looney opposed, Savage absent). There were 5 public speakers in opposition.

On June 7, 2022, resolution considered by Planning Commission recommending City Council approval of an ordinance amending the Vista Business Park Specific Plan relating to commercial cannabis cultivation (Vote: 2-4, Rosaler, Looney, Garretson, and Aguilera opposed; Hastings absent).

STATEMENT ON THE SUBJECT: The City Council provided direction to staff to bring forward code amendments to extend operating hours for adult-use sales at cannabis storefronts, implement a penalty schedule for violations of cannabis regulations, allow for commercial cannabis cultivation, and allow temporary cannabis events at Brengle Terrace Park.

Operating Hours. Currently, cannabis businesses in the City are only allowed to be open for business to the public between the hours of 9:00 AM and 10:00 PM. California state law allows cannabis businesses to operate between the hours of 6:00 AM and 10:00 PM. To align the City’s local regulations for hours of operation with state law, Vista Municipal Code (VMC) section 5.95.150(l) would need to be amended to change the maximum hours of operation for adult use cannabis businesses from 9:00 AM to 10:00 PM to 6:00 AM to 10:00 PM. This change in hours of operation would only apply to sales of adult use cannabis products. Even with this expansion of operating hours, medicinal cannabis products can only be sold between 9:00 AM and 10:00 PM as required by VMC section 5.94.080(N). Any medicinal cannabis products sold outside of the hours of 9:00 AM and 10:00 PM would be in violation of VMC Chapter 5.94.

Penalty Schedule. Cannabis use by underage persons poses serious health and safety risks. The City recently enacted tougher penalties for tobacco retailers in order to dissuade sales that violate the law (Ordinance No. 2023-7, March 14, 2023). The City Council wishes to now apply the same stricter penalty standards to any illegal cannabis sales. Accordingly, VMC section 5.95.165 is proposed to be added to the commercial adult use cannabis chapter. The penalties in said section mirror those applicable to tobacco retailers. As medicinal cannabis sales are regulated by citizen’s initiative Measure Z, the new stricter penalties proposed in section 5.95.165 will not apply to unauthorized sales of medicinal cannabis.

The proposed amendments to operating hours and the penalty schedule are exempt pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15061(b)(3), the “Common Sense” exemption, because there is no possibility that the proposed amendments may have a significant effect on the environment.

Cannabis Cultivation. Staff is re-introducing the commercial cannabis cultivation ordinance previously introduced in 2022 with minor changes to mirror State regulations and to include a social equity component.

Development Code Amendments. The proposed ordinance amends the Vista Business Park Specific Plan (VBPSP) to allow commercial cannabis cultivation. Cultivation includes any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis. 10/22/2024 PH1 2 of 61

MEETING DATE: October 22, 2024 PAGE 3
SUBJECT: CODE AMENDMENTS AND FEES RELATING TO COMMERCIAL CANNABIS

BUSINESSES AND TEMPORARY CANNABIS EVENTS AT BRENGLE TERRACE PARK The proposed amendments would allow up to three commercial cannabis cultivation locations within Area “B” of the VBPSP, subject to a Special Use Permit (SUP), and subject to new licensing requirements in Chapter 5.97 of the Vista Municipal Code (VMC). These amendments would be categorically exempt from environmental review under CEQA pursuant to CEQA Guidelines section 15161(b)(3) because the amendment would establish a discretionary permit process wherein subsequent environmental review of applications would occur.

The proposed ordinance amending the VBPSP is included as Exhibit 3.

Municipal Code Amendments. The proposed ordinance incorporates a new chapter in the VMC, Chapter

5.97, Commercial Cannabis Cultivation. This chapter would establish new licensing requirements for commercial cannabis cultivation. The key provisions of the ordinance are as follows:

Authorized Locations: The commercial cannabis cultivation business facility location identified in an application must satisfy all of the following: (1) be within the RLI zone; (2) be authorized pursuant to a City issued SUP, as further specified in paragraph D; (3) be outside a 600 hundred foot radius surrounding any day care center, youth center, youth-oriented business, public park, or school providing instruction in kindergarten or any grades 1 through 12; and (4) be outside a 600 foot radius of any existing residential use.

Prohibited and Authorized Commercial Cannabis Cultivation Activity:

A.Outdoor Cultivation Prohibited. Commercial Cannabis Cultivation activities must always occur indoors.

Outdoor cultivation is strictly prohibited.

B.Cannabis cultivation shall always be conducted within a fully enclosed building or buildings and setback from the lot lines and public right-of-way in accordance with the development standards for the zone classification in which it is located.

C.Authorized cultivation license types are limited to:
•Specialty Cottage Indoor (500 square feet or less of total canopy) •Specialty Indoor (501 – 5,000 square feet of total canopy) •Small Indoor (5,001 – 10,000 square feet of total canopy) •Medium Indoor (10,001 – 22,000 square feet of total canopy) “Canopy” means the designated area(s) at a City licensed premises that contain or will contain mature cannabis plants at any point in time.

D.Multiple indoor cannabis cultivations may operate on a single lot provided all the following are met: (1) A City special use permit has been granted for cannabis cultivation and specifies the number and size of each proposed licensed premises; (2) each licensed premises is separately licensed by the City and the State for cannabis cultivation; (3) the individual canopy size of each cannabis cultivator complies with State law, and (4) the cumulative canopy area for all cannabis cultivation operators on one lot does not exceed a total amount of 44,000 square feet.

Numerical Limits: At any given time, the number of commercial cannabis cultivation licenses issued by the City shall not exceed three licenses. No person shall be issued more than one commercial cannabis cultivation license. No individual or entity shall own any amount of ownership interest in more than one City commercial cannabis cultivation license or commercial cannabis cultivation business operating in the City at any time.
10/22/2024 PH1 3 of 61

MEETING DATE: October 22, 2024 PAGE 4

SUBJECT: CODE AMENDMENTS AND FEES RELATING TO COMMERCIAL CANNABIS

BUSINESSES AND TEMPORARY CANNABIS EVENTS AT BRENGLE TERRACE PARK

Licensing Application: A lottery system will be used to select the initial three commercial cannabis cultivation businesses allowed to apply for a commercial cannabis cultivation license. A minimum of one of the applicants selected through the lottery shall be an equity applicant.

Licensing Requirements: Before a new commercial cannabis cultivation use can operate in the VBPSP, the use must obtain a SUP, a Vista license, and a State license. A Vista commercial cannabis cultivation license shall have an initial term which begins on the date the license is issued and ends on the first June 30 which is at least 90 days following the date the license is issued. Thereafter, each commercial cannabis cultivation license shall be in force for a one year term which runs from July 1 through June 30, provided that the license is timely and successfully renewed as provided in the code.

General Operating Standards and Restrictions: The licensing requirements include operational standards addressing security, record keeping, employees, canopy size, odor control, notification, quality control, signage, and insurance.

Taxes: In accordance with VMC 7.10, Commercial Cannabis Cultivation will be taxed by square foot of canopy and adjusted annually (but shall not be decreased) based on the Consumer Price Index (“CPI”) for All Urban Consumers in the San Diego-Carlsbad, CA, area. The cultivation tax rate for FY 2024/25 shall be $17.40 per square foot of canopy.

Administrative Requirements: The licensing requirements include administrative rules addressing violations and penalties, nonconforming uses, appeals, severability, amendments, and consistency with State cannabis regulations.

The proposed ordinance establishing Chapter 5.97 of the VMC is attached as Exhibit 4.

Temporary Cannabis Events at Brengle Terrace Park. The proposed amendments to Vista Municipal Code Chapter 8.12 Smoking in Public Places, and Chapter 12.08 Park and Recreation Area Use Regulations, and Chapter 12.13 Park Events, relating to temporary cannabis events at Brengle Terrace Park, have all been prepared at the direction of the City Council to establish reasonable and straightforward regulations for permitting up to two temporary cannabis events (which may include consumption) per calendar year at Brengle Terrace Park while ensuring compatibility with adjacent uses and protecting health, safety and general welfare of participants and the overall community. Chapters 8.12 and 12.08 are being updated to allow smoking of cannabis and/or cannabis consumption at temporary cannabis events that have gone through the required approval process.

City approval of proposed temporary cannabis events is a two-step process. The ordinance first establishes a prescreening application for temporary cannabis events and then requires a revenue sharing license agreement between the City and the applicant for an event, as further described below. The pre-screening applications and licenses agreements are to be processed through the City Manager’s office.

Prescreening Application Requirements
The prescreening application requires submittal of the following:
• Applicant’s City of Vista business license.
• Applicant’s state cannabis event organizer license.
• A map showing the area on which the event will be held. • A description of the temporary cannabis event.
10/22/2024 PH1 4 of 61

MEETING DATE: October 22, 2024 PAGE 5

SUBJECT: CODE AMENDMENTS AND FEES RELATING TO COMMERCIAL CANNABIS

BUSINESSES AND TEMPORARY CANNABIS EVENTS AT BRENGLE TERRACE PARK

• The name(s) of the organization(s) and principals within the organization applying for the temporary cannabis event.
• An estimate of the number of persons who will attend, all vendors who are anticipated to operate at the event, and a description of all security personnel and arrangements that are scheduled for the event.
• A description of parking arrangements for the event, including a designated ride share area. • The estimated times that the temporary cannabis event will start and terminate, including assembly and disassembly involving the use of public property.
• The number and kind of vehicles, musical instruments, sound units, and any other equipment that produces sound or noise during the temporary cannabis event, and whether amplified sound is proposed.
• A description of arrangements that have been made for emergency medical services, if applicable. • Insurance information (naming City as additional insured, minimum $2,000,000). • A fully refundable cleaning deposit in the amount set by resolution of the City Council. • Any other information, in conformity with the requirements of the proposed ordinance, as the City Manager may reasonably require.
• A nonrefundable processing fee shall be paid prior to the acceptance of any prescreening application for a temporary cannabis event at Brengle Terrace Park. Such fee shall be established by resolution of the City Council from time to time.

Revenue Sharing Agreement Requirement
After approval of the prescreening application, the applicant must enter into a revenue sharing license agreement with the City. If an applicant does not execute a license agreement within ten business days of the final agreement being prepared, it allows the City to consider the next in time, complete prescreening application for an event; unless the applicant and City Manager agree on a different timeline. • The license agreement shall require payment of a negotiated percentage of gross revenues, a flat fee, a combination of percentage of gross revenues and a flat fee, or any other revenue sharing agreement that the City Manager deems to be in the best interests of the City. • The license agreement shall incorporate the event conditions outlined later in this report, and any further conditions the City deems necessary to safeguard public health, safety and welfare. • It is prohibited for any person to advertise a temporary cannabis event prior to the City and applicant executing a license agreement for the event.

Additional Approval Requirements for Brengle Terrace Park Temporary Cannabis Events The approval process for temporary cannabis events at Brengle Terrace Park also requires the following:
 Applicants must submit a prescreening application to the City Manager, or designee, no more than eighteen (18) months and no less than ninety (90) calendar days before the first day of event. Complete prescreening applications shall be approved by the City on a first come, first served basis.  Any person applying for a temporary cannabis event to be conducted at Brengle Terrace Park must obtain: (1) a valid business license issued by the City; (2) a state cannabis event organizer license issued by the California Department of Cannabis Control (“DCC”); and (3) a state temporary cannabis event license issued by the DCC, prior to the event. All licenses and permits required under state and local law shall remain in full force effect throughout the duration of the event.  Any retailer engaging in the sale of cannabis goods at a temporary cannabis event must possess a valid City of Vista business license and a commercial adult use cannabis business license in compliance with Chapter 5.95 of the Municipal Code.
 A temporary cannabis event may be conducted at Brengle Terrace Park for a single day or two (2) consecutive days, excluding City holidays.
10/22/2024 PH1 5 of 61

MEETING DATE: October 22, 2024 PAGE 6

SUBJECT: CODE AMENDMENTS AND FEES RELATING TO COMMERCIAL CANNABIS

BUSINESSES AND TEMPORARY CANNABIS EVENTS AT BRENGLE TERRACE PARK

Operational Conditions for Brengle Terrace Park Temporary Cannabis Events Temporary cannabis events at Brengle Terrace Park will be subject to the following event conditions:
 Cannabis consumption cannot be visible from any public place outside the designated Brengle Terrace Park event area or from any nonage-restricted area.
 Access to the Temporary Cannabis Event must be restricted to persons 21 years of age or older.  Sale or consumption of alcohol or tobacco is prohibited on the premises of a temporary cannabis Event.  All Cannabis Goods authorized to be sold at a temporary cannabis event must be transported to and from the event by a licensed distributor.
 Consumption must be expressly authorized in the state temporary cannabis event license, otherwise only the sale of cannabis goods by licensed retailers at the event is permitted. If consumption is permitted, it shall only occur in a designated area and an on-site certified emergency medical technician (EMT) must be provided for the duration of the event.
 Only state-licensed cannabis retailers are authorized to conduct sales of cannabis goods at a temporary cannabis event. Retailers must comply with all state law requirements authorizing on-site cannabis sales and consumption at temporary cannabis events, including but not limited to:
 Displays of cannabis goods;
 Use of exit packaging;
 Age restrictions on sales;
 Daily sales limits;
 No free samples of cannabis goods;
 Designated sales locations with no mobile sales; and
 Recording sales in the state track and trace system.
 Any retailer engaging in the sale of cannabis goods must possess a valid City of Vista business license and a commercial adult use cannabis business license in compliance with Chapter 5.95 of this Code.

Such retailers must comply with all required tax provisions of this Code relating to the sale of cannabis goods in the City.
 The applicant shall hire or contract for security personnel to provide security services at the temporary cannabis event. The number of required security personnel and hours of security service shall be determined by the City. All security personnel shall be at least 21 years of age, licensed by the Bureau of Security and Investigative Services, and comply with chapters 11.4 and 11.5 of division 3 of the California Business and Professions Code. At a minimum, security personnel shall be present on the premises of a temporary cannabis event whenever cannabis goods are available for sale or cannabis consumption is allowed.
 The applicant and their hired personnel must use a driver’s license scanner to verify age and authenticate patron IDs prior to providing event access.  The applicant shall provide a certificate of insurance naming the City as additional insured, in an amount as specified by the City but not below $2,000,000.
 By executing a license agreement for a temporary cannabis event, the applicant agrees to defend, indemnify and hold harmless the City, its officers, employees and agents from any and all liability arising out of the actions permitted by such license agreement, and agrees to pay on behalf of the City all claims, damages, judgments, legal and court costs, adjuster fees and attorney fees related thereto.  All waste from the temporary cannabis event must be disposed of in designated waste receptacles and in accordance with state law.
 Temporary cannabis events must comply with the City’s Noise Ordinance.  Temporary cannabis events are limited to the hours of 9 AM to 10 PM.  Temporary cannabis events shall make arrangements for parking, including designated rideshare area.  The applicant shall agree to bear the costs and compensate the City for incidental costs, including personnel expenses for clean-up and any damage to park property caused by the temporary cannabis 10/22/2024 PH1 6 of 61

MEETING DATE: October 22, 2024 PAGE 7

SUBJECT: CODE AMENDMENTS AND FEES RELATING TO COMMERCIAL CANNABIS

BUSINESSES AND TEMPORARY CANNABIS EVENTS AT BRENGLE TERRACE PARK

event. The applicant shall deposit with the City a sum as a security deposit, as determined from time to time, by resolution of the City Council. If City property is destroyed or damaged by reason of a temporary cannabis event, the City may retain the security deposit as full or partial reimbursement for any such damage.
 The applicant shall ensure that participants of the temporary cannabis event abide by the rules and regulations of this Code, state law, and any rules established by the event organizer to govern the event.
 Authorized City officials may stop the temporary cannabis event at any time that the official determines that the public safety is in jeopardy.
 The applicant shall ensure that the temporary cannabis event does not impair park accessibility for persons with disabilities.

Public Noticing Requirements
At least 30 calendar days prior to the temporary cannabis event, the applicant shall post a notice at Brengle Terrace Park and provide notifications of the event and any associated traffic diversion to all owners of property adjacent to the event location.

City Access Requirements
City code enforcement officers, Sheriff’s department officers, or other agents or employees of the City requesting admission to the temporary cannabis event for the purposes of determining compliance with this section shall be provided unrestricted access.

Revocation of Temporary Cannabis Event License Agreement The City Manager may revoke a license agreement for a temporary cannabis event at any time, if he or she determines any of the following:
• That, as a result of inclement weather, conduct of temporary cannabis event would unreasonably damage Brengle Terrace Park.
• Grounds exist which would have justified denial of the prescreening application if those grounds had been known at the time of the prescreening application or the implications of those grounds had been fully understood at the time of the prescreening application. • The temporary cannabis event will endanger the public health, safety, or welfare because of real or threatened disaster, public calamity, riot, or other emergency that law enforcement officials would be unable to prevent.
• The applicant has failed to satisfy a condition of the license agreement in advance of the event.

These requirements have been prepared to ensure safety at events and the community at large. In preparing the temporary cannabis event requirements, staff collaborated closely with the Office of the City Attorney to draft the regulations, and coordinated review of the draft regulations with City Manager’s office staff, City Clerk, Director of Recreation and Community Services, and Planning staff.

The proposed amendments to VMC Chapter 8.12 Smoking in Public Places, and VMC Chapter 12.13, to regulate and allow temporary cannabis events at Brengle Terrace Park, are consistent with the Land Use and Community Identity (LUCI) Element Goal 7 of the General Plan, which states: Support the City’s economic development strategies by providing an appropriate mix of land uses and an appealing urban setting to attract and retain quality businesses and institutions; and LUCI Policy 7.5, which states: Evaluate zoning standards and modify them, as appropriate, to remain responsive to changes in market conditions and employment trends.
 This proposal is updating the code to accommodate a use allowed under State law to support economic development and provide other business opportunities for local cannabis dispensaries. 10/22/2024 PH1 7 of 61

MEETING DATE: October 22, 2024 PAGE 8

SUBJECT: CODE AMENDMENTS AND FEES RELATING TO COMMERCIAL CANNABIS

BUSINESSES AND TEMPORARY CANNABIS EVENTS AT BRENGLE TERRACE PARK

The proposed code amendments are exempt pursuant to CEQA Guidelines Section 15301 (Existing Facilities), which allows the licensing of temporary cannabis events at an existing public facility with negligible or no expansion of the existing public facility use, Section 15304 (Minor Alterations to Land), which allows for minor, temporary use of land that has negligible or no permanent effects on the environment, and Section 15311 (Accessory Structures), which allows for construction or placement or minor structures accessory to existing commercial, industrial, or institutional facilities, including, but not limited to, temporary us items in publicly owned facilities or other facilities designated for public use; and none of the exceptions listed in CEQA Guidelines Section 15300.2 would apply. The proposed fee for pre- screening applications for temporary cannabis events are exempt pursuant to CEQA Guidelines Section 15061(b)(3), the “Common Sense” exemption, because there is no possibility that the proposed amendments may have a significant effect on the environment.

The proposed ordinance amending Chapter 8.12, Chapter 12.08, and Chapter 12.13 of the VMC is attached as Exhibit 5. A strikeout version of the proposed changes is attached as Exhibit 6.

Fees. Staff is recommending adopting the fee structure approved for the licensing of cannabis enterprise businesses (manufacturing, distribution, and testing) as the fee structure for commercial cannabis cultivation. Commercial cannabis cultivation sites are also subject to the previously approved annual compliance and auditing fee of $10,000 (Resolution 2024-102). Fees are based on the anticipated staff time required to process each type of application or related item. The proposed fees are as follows:

Fee Name Amount
Initial Application $ 4,318
Applications for Renewal $ 329
Application for Transfer / Change in Business Ownership $ 662 Application for Relocation $ 2,330
Application for a Change in Business Management $ 269 Appeals $ 500

Staff time will be required to review and approve a prescreening application for temporary cannabis events at Brengle Terrace Park and therefore, a filing and processing fee is proposed. Staff used the current fully burdened rate for senior analyst position of $82/hour. The prescreening application will be processed and routed for review by the City Manager’s office, to various divisions for consideration as follows:
• 10 hours staff review/processing: City Manager’s office staff (10hrs*$82/hr=$820) • 2 hours staff review/processing: Code Enforcement; Community Dev.; Economic Dev.; Traffic; Stormwater; Public Works; Recreation and Community Services; Facilities; Fire; Sheriff; Risk Management; City Attorney. (2hrs*$82/hr=$164, $164*12=$1,968, $1,968+$820= $2,788) This results in a proposed flat fee of $2,788.00. This is the fee amount included in the proposed City Council Resolution, approving a filing and processing fee for prescreening applications for temporary cannabis events at Brengle Terrace Park.

The proposed resolution establishing fees is attached as Exhibit 7. These fees do not include the SUP, and other applicable fees including Planning, zoning, Building, Fire, and inspections.

FISCAL IMPACT: In accordance with VMC 7.10 Commercial Cannabis Cultivation will be taxed by square foot of canopy and adjusted annually (but shall not be decreased) based on the CPI for Urban San Diego County-Carlsbad. The cultivation tax rate for FY 2024/25 shall be $17.40 per square foot of canopy. The 10/22/2024 PH1 8 of 61

MEETING DATE: October 22, 2024 PAGE 9
SUBJECT: CODE AMENDMENTS AND FEES RELATING TO COMMERCIAL CANNABIS

BUSINESSES AND TEMPORARY CANNABIS EVENTS AT BRENGLE TERRACE PARK amount of revenue anticipated from commercial cannabis cultivation is unknown since it will depend on the size of the canopy of each respective business. Staff will return with financial projections as part of the Operating Budget review process once commercial cannabis cultivation businesses are established and operating.

License agreements for temporary cannabis events at Brengle Terrace Park will require payment of a negotiated percentage of gross revenues, a flat fee, a combination of percentage of gross revenues and a flat fee, or any other revenue sharing agreement that the City Manager deems to be in the best interests of the City. The revenue amounts associated with these negotiated license agreements is undetermined at this time.

EXHIBITS:

1.City Council Ordinance No. 2024- , amending Section 5.95.150(l) of the Vista Municipal Code, Commercial Adult Use Cannabis Businesses, Hours of Operation

2.City Council Ordinance No. 2024- , adding Section 5.95.165 of the Vista Municipal Code, Commercial Adult Use Cannabis Businesses, Suspension or Revocation of License

3.City Council Ordinance No. 2024- , amending the uses permitted within “Use Area ‘B’” of the Vista Business Park Specific Plan

4.City Council Ordinance No. 2024- , adding Chapter 5.97, Commercial Cannabis Cultivation, to the Vista Municipal Code

5.City Council Ordinance No. 2024- , amending Chapter 8.12, Chapter 12.08, and Chapter 12.13 of the Vista Municipal Code, all relating to Temporary Cannabis Events at Brengle Terrace Park

6. Strikeout version of amendments to Chapter 8.18, Chapter 12.08, and Chapter 12.13

7.City Council Resolution 2024- , approving various fees for commercial cannabis cultivation businesses and a prescreening application fee for temporary cannabis events at Brengle Terrace Park

8.Prior Actions
10/22/2024 PH1 9 of 61

ORDINANCE NO. 2024-

AN ORDINANCE OF THE CITY COUNCIL OF THE CHARTERED CITY OF VISTA, CALIFORNIA, AMENDING SECTION 5.95.150(L) OF THE VISTA

MUNICIPAL CODE, COMMERCIAL ADULT USE CANNABIS

BUSINESSES, HOURS OF OPERATION
The City Council of the City of Vista does ordain as follows:

1. Findings. The City Council hereby finds and declares the following:

A. The Adult Use of Marijuana Act, adopted by the voters of the State of California in November 2016, decriminalized non-medicinal cannabis and established a regulatory system for non-medical cannabis businesses in California.

B. The Medicinal and Adult-Use Cannabis Regulation and Safety Act, enacted by the California State Legislature in June 2017, established a comprehensive set of laws regulating both individual and commercial medicinal and non-medical cannabis activity throughout the State of California.

C. Under California Business and Professions Code section 26200(a)(1), the City is authorized to either permit, regulate and/or prohibit the operation of cannabis businesses within its jurisdiction.

D. Currently, cannabis businesses in the City can sell adult-use cannabis products between the hours of 9:00 a.m. to 10:00 p.m. State law allows for cannabis businesses to operate from 6:00 a.m. to 10:00 p.m. daily.

E. The City Council wishes to align the hours of operation for adult-use cannabis dispensaries in the City with the hours of operation allowed pursuant to state law.

F. The City has a substantial interest in promoting compliance with state and local laws intended that regulate cannabis sales and use and in discouraging the illegal purchase of cannabis products within its jurisdiction.

G. This Ordinance is enacted pursuant to the powers vested in the City pursuant to Article XI, Sections 5 and 7, of the California Constitution.

2. Code Amendment.

Section 5.95.150(l) of the Vista Municipal Code is amended to read as follows:
“l. Operating Hours
The maximum hours of operation for an adult use cannabis business shall be daily from 6:00 a.m. to 10:00 p.m.”

3. Interpretation. In interpreting this Ordinance or resolving any ambiguity, this Ordinance shall be interpreted in a manner that effectively accomplishes its stated purposes. 10/22/2024 PH1 10 of 61
EXHIBIT 1

ORDINANCE NO. 2024-

CITY COUNCIL OF THE CHARTERED CITY OF VISTA
PAGE 2
2 4867-7883-2617, v. 1

4. Severability. If any word, sentence, paragraph, or other portion of this Ordinance is deemed to be invalid or unenforceable for any reason by a court of competent jurisdiction, the City Council declares that it is its intent that all remaining words, sentences, paragraphs or portions of this Ordinance not held to be invalid or unenforceable shall remain in full force and effect and shall be so construed as if the original Ordinance did not contain the invalid or unenforceable language.

5. Effective Date. This Ordinance shall be in full force and effect on the 31st day following the date of adoption.

6. Adoption. INTRODUCED and ADOPTED at a meeting of the City Council of the City of Vista held on October 22, 2024, by the following vote:

AYES:

NOES:

ABSTAIN:

___________________________________

JOHN FRANKLIN, MAYOR

APPROVED AS TO FORM: ATTEST:

WALTER C. CHUNG, CITY ATTORNEY KATHY VALDEZ, CITY CLERK

By: ________________________________ By: ________________________________

APPROVED
Walter C. Chung
20241010151157

10/22/2024 PH1 11 of 61

ORDINANCE NO. 2024-

AN ORDINANCE OF THE CITY COUNCIL OF THE CHARTERED CITY OF VISTA, CALIFORNIA, ADDING SECTION 5.95.165 OF THE VISTA

MUNICIPAL CODE, COMMERCIAL ADULT USE CANNABIS

BUSINESSES, SUSPENSION OR REVOCATION OF LICENSE
The City Council of the City of Vista does ordain as follows:

1. Findings. The City Council hereby finds and declares the following:

A. The Adult Use of Marijuana Act, adopted by the voters of the State of California in November 2016, decriminalized non-medicinal cannabis and established a regulatory system for non-medical cannabis businesses in California.

B. The Medicinal and Adult-Use Cannabis Regulation and Safety Act, enacted by the California State Legislature in June 2017, established a comprehensive set of laws regulating both individual and commercial medicinal and non-medical cannabis activity throughout the State of California.

C. Under California Business and Professions Code section 26200(a)(1), the City is authorized to either permit, regulate and/or prohibit the operation of cannabis businesses within its jurisdiction.

D. The City has a substantial interest in promoting compliance with state and local laws intended that regulate cannabis sales and use and in discouraging the illegal sale and purchase of cannabis products within its jurisdiction.

E. This Ordinance is enacted pursuant to the powers vested in the City pursuant to Article XI, Sections 5 and 7, of the California Constitution.

2. Code Amendment.

Section 5.95.165 of the Vista Municipal Code is added to read as follows:
“Section 5.95.165 Suspension or Revocation of License
A. In addition to any other penalty authorized by law, the license of an adult use cannabis business may be suspended or revoked if the City finds, after notice to said licensee and opportunity to be heard, that the adult use cannabis business licensee or his/her/its agents or employees has or have sold cannabis products in violation any of the provisions of this chapter or any applicable city, state or federal law (“license violation”).

1. Upon a finding by the City of a first license violation within any three-year period, the City shall:
a. Require the licensee to pay a fine of $1000 (one
thousand dollars);
b. Advise the licensee of the penalties for further
violations of this code section; and
c. Require the licensee to provide documentation to
the City that all employees engaged in the sales of adult use cannabis products 10/22/2024 PH1 12 of 61
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have received training mandated by the California Department of Cannabis Control, if any, within 60 days after the warning, or such other time as shall be set by the City.

2. Upon a finding by the City of a second license violation within any three-year period, the adult use cannabis license shall be suspended for 60 days.

3. Upon the finding by the City of a third license violation within any three-year period, the adult use cannabis license shall be suspended for one year.

4. Upon a finding by the City of a fourth license violation within any three-year period, the adult use cannabis license shall be revoked.

B. In the event the City suspends or revokes an adult use cannabis license, written notice of the suspension or revocation shall be served upon the licensee within five days of the suspension or revocation. The notice shall contain:

1. A brief statement of the specific grounds for such
suspension or revocation;

2. A statement that the adult use cannabis licensee may appeal the suspension or revocation by submitting an appeal, in writing, in accordance with the provisions of Section 5.95.190; and

3. A statement that the failure to appeal the notice of suspension or revocation will constitute a waiver of all rights to an administrative appeal hearing, and the suspension or revocation will be final .”

3. Interpretation. In interpreting this Ordinance or resolving any ambiguity, this Ordinance shall be interpreted in a manner that effectively accomplishes its stated purposes.

4. Severability. If any word, sentence, paragraph, or other portion of this Ordinance is deemed to be invalid or unenforceable for any reason by a court of competent jurisdiction, the City Council declares that it is its intent that all remaining words, sentences, paragraphs or portions of this Ordinance not held to be invalid or unenforceable shall remain in full force and effect and shall be so construed as if the original Ordinance did not contain the invalid or unenforceable language.

5. Effective Date. This Ordinance shall be in full force and effect on the 31st day following the date of adoption.

[Continued on next page.]

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6. Adoption. INTRODUCED and ADOPTED at a meeting of the City Council of the City of Vista held on October 22, 2024, by the following vote:

AYES:

NOES:

ABSTAIN:

___________________________________

JOHN FRANKLIN, MAYOR

APPROVED AS TO FORM: ATTEST:

WALTER C. CHUNG, CITY ATTORNEY KATHY VALDEZ, CITY CLERK

By: ________________________________ By: ________________________________

APPROVED
Walter C. Chung
20241015092340

10/22/2024 PH1 14 of 61

00108061 1
ORDINANCE NO. 2024-

AN ORDINANCE OF THE CITY COUNCIL OF THE CHARTERED CITY OF VISTA, CALIFORNIA, AMENDING THE USES PERMITTED WITHIN “USE AREA ‘B’” OF THE VISTA BUSINESS PARK SPECIFIC PLAN
The City Council of the City of Vista does ordain as follows:

1. Findings. The City Council hereby finds and declares the following:

A. This ordinance is enacted by the City Council pursuant to the authority under the Charter of the City of Vista and Article 11, Section 7 of the California Constitution.

B. The City Council: (1) finds and determines that adoption of this ordinance qualifies for an exemption from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) because the ordinance would establish a discretionary permit process wherein subsequent environmental review would occur; and (2) that implementation of this ordinance would not result in a significant impact to the environment.

2. Code Amendment.

Use Area B (Research Light Industrial and Business Support Group) of the Vista Business Park Specific Plan is amended as follows:

A. The list of “Uses permitted subject to granting of a Special Use Permit” is amended to add item (11) as follows, with the understanding that compliance with CEQA shall occur at the time that action on the Special Use Permit occurs:
“(11) Commercial cannabis cultivation businesses licensed pursuant to Chapter 5.97 of the Vista Municipal Code.”

3. Definitions. Terms used in this ordinance shall have the meanings assigned to those terms pursuant to Chapter 5.97 or if not defined therein, as provided in the Vista Municipal Code or state law.

4. Regulations; Interpretation. The City Manager is hereby authorized to adopt rules or regulations to govern the acceptance and prioritization of special use permit applications authorized pursuant to this Ordinance. Further, the City Manager shall be authorized to adopt final and binding interpretations regarding this Ordinance and any regulations or rules adopted thereunder.

5. Condition Precedent to Effectiveness of Ordinance. This ordinance shall not take effect unless the City Council has adopted an ordinance adding Chapter 5.97 to the Vista Municipal Code, relating to Commercial Cannabis Cultivation, and that ordinance has taken effect.

6. Severability. If any word, sentence, paragraph, or other portion of this ordinance is deemed to be invalid or unenforceable for any reason by a court of competent jurisdiction, the City Council declares its intent that all remaining words, sentences, paragraphs or portions of the ordinance not held to be invalid or unenforceable shall remain in full force and effect, and 10/22/2024 PH1 15 of 61
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00108061 1
shall be so construed, as if the original ordinance did not contain the invalid or unenforceable language.

7. Effective Date. Subject to satisfaction of the condition precedent described in Section 5, this Ordinance shall be in full force and effect on the thirty-first day following the date of its adoption.

8. Adoption. INTRODUCED and ADOPTED at a meeting of the City Council of the City of Vista held on October 22, 2024, by the following vote:

AYES:

NOES:

ABSTAIN:

APPROVED AS TO FORM:

WALTER CHUNG, ACTING CITY ATTORNEY

By:

JOHN FRANKLIN, MAYOR

ATTEST:

KATHY VALDEZ, CITY CLERK

By:

APPROVED
Walter C. Chung
20220613170147

10/22/2024 PH1 16 of 61

00107989 2
ORDINANCE NO. 2024-

AN ORDINANCE OF THE CITY COUNCIL OF THE CHARTERED CITY OF VISTA, CALIFORNIA, ADDING CHAPTER 5.97, COMMERCIAL

CANNABIS CULTIVATION, TO THE VISTA MUNICIPAL CODE
The City Council of the City of Vista does ordain as follows:

1. Findings. The City Council hereby finds and declares the following:

A. The Adult Use of Marijuana Act, adopted by the voters of the State of California in November 2016, decriminalized non-medicinal cannabis and established a regulatory system for non-medical cannabis businesses in California.

B. The Medicinal and Adult-Use Cannabis Regulation and Safety Act, enacted by the California State Legislature in June 2017, established a comprehensive set of laws regulating both individual and commercial medicinal and non-medical cannabis activity throughout the State of California.

C. Under California Business and Professions Code sections 26200 and 26201, the City is authorized to either permit, regulate and/or prohibit the operation of cannabis businesses within its jurisdiction.

D. The City has a substantial interest in promoting compliance with state and local laws intended that regulate cannabis sales and use and in discouraging the illegal purchase of cannabis products within its jurisdiction.

E. It is the intent of the City Council to adopt a comprehensive set of requirements, restrictions, and enforcement procedures with regard to cannabis activity within the City of Vista in order to protect public safety, health, and other law enforcement interests.

F. In 2018, the voters of the City authorized the establishment of commercial cannabis cultivation businesses by the City when it approved Measure AA which enacted Vista Municipal Code section 7.10.025(G). That section allows the City Council to set a tax rate for commercial cannabis cultivation.

G. This Ordinance is enacted pursuant to the powers vested in the City pursuant to Article XI, Sections 5 and 7, of the California Constitution.

2. Code Amendment.

Chapter 5.97 is added to the Vista Municipal Code to read as follows:
“CHAPTER 5.97

COMMERCIAL CANNABIS CULTIVATION
Table of Contents

5.97.010 Authority; Purpose; Conflicts of Law
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5.97.020 Definitions

5.97.030 Operation Prohibited Without a Valid License

5.97.040 Compliance with the Law

5.97.050 Prohibited and Authorized Commercial Cannabis Cultivation Activity

5.97.060 Numerical limits

5.97.070 Location of Commercial Cannabis Cultivation

5.97.080 License Application; Contents; Process

5.97.090 License Term; Expiration; Renewal

5.97.100 Transfer of Ownership Interest, Modification or Other Material Changes

5.97.110 Employee Permits; Revocation

5.97.120 Suspension and Revocation of Commercial Cannabis Cultivation Licenses

5.97.130 Appeals and Reconsideration

5.97.140 Operating Requirements for Commercial Cannabis Cultivation

5.97.150 Obligations of Members of the Management and Ownership Team

5.97.160 Inspection of Premises and Records

5.97.170 Taxes

5.97.180 Regulations

5.97.190 Violations

5.97.010 Authority; Purpose; Conflicts of Law

A. This chapter is adopted pursuant to sections 5 and 7 of Article XI of the California Constitution and the authority reserved to cities pursuant to state law, including without limitation, Government Code § 11362.83 and Business and Professions Code § 26200.

B. This chapter, consistent with state law, creates regulations to govern commercial cannabis cultivation and persons engaged in commercial cannabis cultivation activities.

C. This chapter only authorizes commercial cannabis cultivation activities licensed and conducted in accordance with this chapter, and no other form of commercial cannabis activity whatsoever.

D. In the event of a conflict between the provisions of this chapter and the provisions of any applicable state or local law or regulation, the more restrictive provision shall control. To the extent allowed by state law, the City shall have the right, but not the obligation, to enforce all applicable state laws.

5.97.020 Definitions

The following definitions shall apply to this chapter unless the context clearly denotes otherwise.

“Applicant” means a person or legal entity who is required to file an application for a license under this chapter.

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in within the City, including any commercial or industrial enterprise, trade, profession, occupation, vocation, calling, or livelihood, whether or not carried on for gain or profit, but shall not include the services rendered by an employee to that employee's employer.

“Business Licensing Division” as used in this chapter is defined to mean the department within the City that reviews, issues, and manages business licenses.

“Cannabis” means, except as specified herein, all parts of the cannabis sativa linnaeus, cannabis indica, or cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. “Cannabis” also means the separated resin, whether crude or purified, obtained from cannabis. “Cannabis” does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted therefrom), fiber, oil, or cake, or the sterilized seed of the plant which is incapable of germination. For the purpose of this Chapter, “cannabis” does not mean “industrial hemp” as defined by Section 11018.5 of the California Health and Safety Code.

“Canopy” means the designated area(s) at a City licensed premises that contain or will contain mature Cannabis plants at any point in time. The canopy for each premises shall be calculated in square feet and measured using clearly identifiable boundaries of all area(s) that will contain mature plants at any point in time, including any and all space(s) within such boundaries. The canopy for any premises may be noncontiguous; provided, that each unique area included in the total canopy calculation for any premises shall be separated by an identifiable boundary. Identifiable boundaries may include, but are not limited to, interior walls or shelves. If plants are being cultivated using a shelving system, the surface of each level shall be included in the total canopy calculation.

“City” means the City of Vista.

“City Manager” means the City Manager of the City or the City Manager’s designee. Unless explicitly specified otherwise, the City acts through the City Manager and/or his/her designee.

“Commercial Cannabis Activity” shall have the meaning set forth in California Business and Professions Code Section 26001(k), which includes the cultivation, possession, manufacture, distribution, processing, storing, laboratory testing, packaging, labeling, transportation, delivery or sale of cannabis or cannabis products as provided in the Medicinal and Adult-Use Cannabis Regulation and Safety Act (“MAUCRSA,” California Business and Professions Code Sections 26000 et seq.) and for which a state license or nonprofit license is required.
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“Commercial Cannabis Business” includes any persons engaged in commercial cannabis activity.

“Commercial cannabis cultivation business license” means a regulatory license issued by the City pursuant to Chapter 5.97 to a commercial cannabis cultivation business and is required before any commercial cannabis cultivation business may be conducted in the City.

“Cultivation” shall have the meaning set forth in California Business and Professions Code section 26001(l), which includes any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis.

“Cultivator” means a person engaged in cultivation.

“Day Care Center” has the same meaning as in California Health and Safety Code Section 1596.76.

“Employee” includes any person who renders any service, with or without compensation, to a commercial cannabis cultivation business or any person performing some or all of the functions of an employee of a commercial cannabis cultivation business. The term “employee” shall include volunteers, part-time, full-time, contract, temporary, and permanent employees.

“Equity Business” means a cannabis business where a minimum of fifty- one percent (51%) ownership in the business is held by equity applicant(s) as defined in the City’s Cannabis Equity Program Manual.

“Existing Residential Use” means a residential Pipeline Project or lawfully constructed structure or project intended for residential use within a Residential Zone.

“Flowering” means that a cannabis plant has formed a mass of pistils measuring greater than one-half inch wide at its widest point.

“Immature Plant” or “Immature” means a cannabis plant that has a first true leaf measuring greater than one-half inch long from the base to tip, is started from seed or a mass of roots measuring greater than one-half inch wide at its widest point if vegetatively propagated and outside of a tissue container, but that is not flowering; or a container with one or more cannabis protoplasts, cells, shoots, or plantlets in culture.

“Indoor Cultivation” means the cultivation of cannabis within a permanent structure using exclusively artificial light.

“Licensee” means any person holding a license under this chapter.

“Live Plants” means living Cannabis flowers and plants including seeds, immature plants, and vegetative stage plants.
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“Location” means any parcel of land, whether vacant or occupied by a building, group of buildings, or accessory buildings, and includes the buildings, structures, yards, open spaces, lot width, and lot area.

“Live Scan” means a system for inkless electronic fingerprinting and the automated background check developed by the California Department of Justice (“DOJ”) which involves digitizing fingerprints and electronically transmitting the fingerprint image data along with personal descriptor information to computers at the DOJ for completion of a criminal record check; or such other comparable inkless electronic fingerprinting and automated background check process as determined by the City Council.

“Mature Plant” or “Mature” means a cannabis plant that is flowering.

“Marijuana” has the same definition as set forth in Health and Safety Code section 11018 and includes cannabis.

“Manager” means any individual person(s) designated by a commercial cannabis business to manage day-to-day operations of the commercial cannabis business or any person acting with apparent management authority. Evidence of management authority includes, but is not limited to, evidence that the person has the power to direct, supervise, or hire and dismiss employees or volunteers, control hours of operation, create policy rules, or purchase supplies.

“Owner” means any of the following:

1. In the context of a commercial cannabis business, a person with any ownership interest, direct or indirect, in a commercial cannabis business, whether a partner, shareholder, member, or the like, including any security, lien, or encumbrance in an ownership interest that, upon default, could become an ownership interest in a commercial cannabis business.

2. In the context of a Premises, a Person with any Ownership or long- term lease interest, direct or indirect, in the Premises, whether as a partner, shareholder, member, joint tenant or the like.

“Person” means any individual, entity, firm, partnership, joint venture, association, corporation, limited liability company, estate, trust, business trust, receiver, syndicate, or any other group or combination of Persons acting as a unit.

“Pipeline Project” means an inventory of development projects that have been approved but not yet built.

“Premises” for commercial cannabis cultivation means the designated structure or structures and land, or portions thereof, specified in an application for a City license or, if a City license is issued, that is owned, leased, or otherwise held under the control of the City licensee, and is designated as the structure or 10/22/2024 PH1 21 of 61

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structures and land, or portions thereof, where the commercial cannabis cultivation will be or is conducted.

“Public Parks” means outdoor premises containing existing or proposed parks, including community parks, neighborhood parks, mini-parks, and urban parks that are currently or proposed to be owned or operated by the City or other governmental agency.

“Public Street” is any public right-of-way designated for vehicular use.

“RLI zone” means the area designated in the Vista Business Park Specific Plan as the “Research Light Industrial and Business Support Group (Use Area ‘B’).”

“State” means the state of California.

“State Laws” means the laws of the state of California, which include, but are not limited to, California Health and Safety Code Section 11000 et seq.; California Health and Safety Sections 11362.1 through 11362.45; California Health and Safety Code Section 11362.5 (Compassionate Use Act of 1996 (“CUA”)); California Health and Safety Code Section 11362.7 et seq. (Medical Marijuana Program Act (“MMPA”)); California Health and Safety Code Section 26000 et seq. (Medicinal and Adult-Use Cannabis Regulation and Safety Act (“MAUCRSA”)); the California Attorney General’s Guidelines for the Security and Non-Diversion of Marijuana Grown for Medical Use issued in August 2008, as such guidelines may be revised from time to time by action of the Attorney General; California Labor Code Section 147.5; California Revenue and Taxation Code Sections 31020 and 34010 through 34021.5; California Fish and Game Code Section 12029; California Water Code Section 13276; all state regulations adopted pursuant to MAUCRSA; and all other applicable laws of the state of California.

“Transport” means transfer of cannabis or cannabis products from the premises of one licensee to the premises of another licensee, for the purposes of conducting commercial cannabis activity authorized by state laws and this Chapter.

“Youth” means an individual under 21 years of age.

“Youth Center” means any public or private facility that is primarily used to host recreational or social activities for minors, including, but not limited to, private youth membership organizations or clubs, social service teenage club facilities, video arcades, or similar amusement park facilities.

“Youth-Oriented Business” means any for-profit or nonprofit business where the majority of individuals who patronize, congregate, or assemble at the business location are less than 21 years old.

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5.97.030 Operation Prohibited Without a Valid License

This chapter requires all commercial cannabis cultivation operators to obtain and hold a valid commercial cannabis cultivation license to operate within the City. The provisions of this chapter are in addition to any other licenses, licenses and approvals which may be required, now or in the future, to conduct business in the City and the State of California.

5.97.040 Compliance with the Law

It shall be unlawful to own, establish, operate, use, or permit the establishment or operation of a commercial cannabis cultivation business, or to participate as an employee, contractor, agent, volunteer, or in any manner or capacity other than as provided in this chapter. The general prohibition contained in this section shall include renting, leasing, or otherwise permitting a commercial cannabis cultivation business to occupy or use a location, vehicle, or other mode of transportation.

It shall be the sole responsibility of the owners and the operators of all commercial cannabis cultivation businesses to ensure that the commercial cannabis cultivation business they own and/or operate is, at all times, operating in a manner compliant with all current and future applicable federal, state and local laws, regulations, licensing requirements, certification requirements, and/or any additional operating procedures and/or requirements which may be imposed as conditions of approval of the commercial cannabis cultivation license.

Every commercial cannabis cultivation business shall submit to periodic compliance checks by the City in order for the City to ensure all commercial cannabis cultivation businesses have complied and are complying with all applicable federal, state and local laws, regulations, licensing requirements and certification requirements. The City’s compliance checks will be conducted during the normal business hours of a commercial cannabis cultivation business. The City’s compliance checks may be conducted with or without advance notice to a commercial cannabis cultivation business.

5.97.050 Prohibited and Authorized Commercial Cannabis Cultivation Activity

A. Outdoor Cultivation Prohibited. All commercial cannabis cultivation activities must always occur indoors. Outdoor cultivation is strictly prohibited.

B. Cannabis cultivation shall always be conducted within a fully enclosed building or buildings setback from the lot lines and public right-of-way in accordance with the development standards for the zone classification in which it is located.

C. Authorized cultivation license types are limited to the following:

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a. Specialty Cottage Indoor- an indoor cultivation site with 500 square feet or less of total canopy.
b. Specialty Indoor- an indoor cultivation site with between 501 and 5,000 square feet of total canopy.
c. Small Indoor– an indoor cultivation site with between 5,001 and 10,000 square feet of total canopy.
d. Medium Indoor An indoor cultivation site with between 10,001 and 22,000 square feet of total canopy.

5.98.060 Numerical Limits

At any given time, the number of commercial cannabis cultivation licenses issued by the City shall not exceed three (3) licenses. No person shall be issued more than one commercial cannabis cultivation license. No individual or entity shall own any amount of ownership interest in more than one City commercial cannabis cultivation license or commercial cannabis cultivation business operating in the City at any time.

5.97.070 Location of Commercial Cannabis Cultivation Businesses

A. The commercial cannabis cultivation business facility location identified in an application must satisfy all of the following: (1) be within the RLI zone; (2) be authorized pursuant to a City issued special use permit, as further specified in paragraph D; (3) be outside a 600 hundred foot radius surrounding any day care center, youth center, youth-oriented business, public park, or school providing instruction in kindergarten or any grades 1 through 12; and (4) be outside a 600 hundred foot radius of any residentially-zoned property.

B. The distances in paragraph A shall be considered at the time the license is approved and shall be measured as provided in Health and Safety Code section 11362.768 or as otherwise provided by law.

C. Interpretations and determinations regarding distances and separations shall be made by the licensing officer.

D. The special use permit described in paragraph A shall be permitted in accordance with section 18.74.120 of the Vista Development Code, except that the requirements of 18.74.120(A)(2) shall be replaced with the determination that the proposed use, in the manner to be conducted, is permitted in the applicable zone and will conform to applicable state and local laws and regulations.

E. Multiple indoor cannabis cultivations may operate on a single lot provided all the following are met: (1) A City special use permit has been granted for cannabis cultivation and specifies the number and size of each proposed licensed premises; (2) each licensed premises is separately licensed by the City 10/22/2024 PH1 24 of 61

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and the State for cannabis cultivation; (3) the individual canopy size of each cannabis cultivator complies with State law, and (4) the cumulative canopy area for all cannabis cultivation operators on one lot does not exceed a total amount of forty-four thousand (44,000) square feet.

5.97.080 License Application; Contents; Process

A. An application for a commercial cannabis cultivation license shall be made on a form prescribed by the City. The application shall be accompanied by an application fee in an amount established by resolution of the City Council and the fee for a Special Use Permit. The application shall include a statement, made under penalty of perjury, certifying that all of the information contained in the application is true and correct.

B. The City Manager shall establish the schedule, rules, and procedures for the submittal of applications. A lottery system will be used to select the initial three commercial cannabis cultivation businesses allowed to apply for a commercial cannabis cultivation license under this chapter, as well as to establish a waiting list. A minimum of one of the applicants selected through the lottery shall be an equity applicant. If, after the first two applicants are selected, a non-equity applicant is selected that non-equity applicant, and any subsequent selected non-equity applicants, will be placed on the wait list until an equity applicant is selected through the lottery. No license will be issued until the prospective applicant obtains a special use permit from the City for its proposed commercial cannabis cultivation business location. If a selected business fails to obtain a special use permit in the time allotted under the rules and procedures established by the City Manager, or if that business allows the special use permit to expire, that business will forfeit its right to apply for a license, and the applicant numerically next on the waiting list will be given the opportunity to apply for the license. Equity applicants shall have up to one year after the other commercial cannabis cultivation businesses receive a commercial cannabis cultivation business license to obtain their cultivation license. If the equity applicant is unable to obtain a commercial cannabis cultivation business license within that time, that equity applicant shall forfeit its right to apply for a license and the applicant numerically next on the waiting list, regardless of equity status, will be given the opportunity to apply for the license. The waiting list, if any, shall automatically expire contemporaneous with the time when all three initial commercial cannabis cultivation business licenses have been issued.

C. If a commercial cultivation license becomes available any time after the initial three commercial cannabis cultivation licenses have been issued, the City shall use a lottery system to select an applicant who will be given the opportunity to obtain an available commercial cultivation license, as well as to establish a waiting list. If the commercial cultivation license that becomes available is due to an equity applicant’s business losing its license for any reason, the lottery system to select an applicant shall only consist of equity applicants. If no equity applicants apply for the lottery, the City Manager shall make conduct a new lottery and make that license available to non-equity applicants. If a selected applicant, both equity and non-equity applicants, fails to 10/22/2024 PH1 25 of 61

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obtain a special use permit in the time allotted under the rules and procedures established by the City Manager, that applicant will forfeit the spot and the spot will be offered to the applicant numerically next on the waiting list. The waiting list, if any, shall automatically expire contemporaneous with the time when a successful applicant obtains a commercial cannabis cultivation business license.

D. An application for a cannabis cultivation license shall, at a minimum, include the following:

1. The name, mailing address, and telephone number of the applicant.

2. The address from which the commercial cannabis
cultivation business will operate.

3. Proof of organizational status, such as articles of
incorporation, partnership agreements, or other
documentation as may be required by the City.

4. The name of each member of the management and
ownership team, with such other identifying information as the City may require.

5. A completed criminal background check, inclusive of Live Scan results, for each member of the management and
ownership team to determine if any member has a
precluding conviction. The application should include a copy of the Live Scan application form for each member of the management and ownership team. The results of the
Live Scan are delivered to the City independently.

6. Documentation establishing that the applicant is, or will be, entitled to possession of the premises for use as a
commercial cannabis cultivation business for which the
application is made. Evidence of lawful possession
consists of a properly recorded deed, lease, evidence of ownership of the premises, or other written documents
acceptable to the City. The licensed premises shall only be the geographical area that is specifically and accurately described in executed documents verifying lawful
possession. Licensees are not authorized to relocate to other areas or units within a building structure without first filing an application for a modification of the local license, obtaining a special use permit for the new premises, and obtaining approval from the City.

7. An operating plan for the proposed commercial cannabis cultivation business including, at a minimum, the following information:
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a. A general description of the cannabis cultivation
activities and steps to be taken to prevent diversion
of cannabis.

b. A floor plan designating all interior dimensions and the layout of the cannabis cultivation business,
including canopy area(s), areas designated for
immature plants, designated processing area(s) (if
applicable), designated pesticide and agricultural
chemical storage, lighting, and security camera
locations.

8. A security plan for the proposed commercial cannabis cultivation business including, at a minimum, the following security requirements:

a. Video surveillance. The commercial cannabis
cultivation facility must be equipped with a video
surveillance system that meets all of the
requirements of Cal. Code Regs., Title 16, section
15044 as well as those set forth in this subsection.

b. Security cameras and digital storage of recordings
shall be maintained in good condition and used in
an on-going manner, twenty-four (24) hours per
day, and seven (7) days per week.

c. The security system must maintain at least ninety
(90) calendar days of digitally recorded video for
each security camera in the licensed premises.

Security footage should be stored in an MPEG4,
MJPEG, H. 264, or another format approved by the
City in writing and the recorded video shall be
made available to the Sheriff Department or the
City immediately upon request.

d. Security cameras must provide adequate and
sufficient coverage for the entire facility such that
the entire facility is under security camera
surveillance at all times. Security cameras must
also provide adequate and sufficient coverage for
all areas of ingress and egress to the facility at all
times.

e. The video surveillance system must be equipped
with a failure notification system that provides
prompt notification to a security company licensed
by the Department of Consumer Affairs, Bureau of
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Security and Investigative Services, of any
surveillance interruption or complete failure of the
surveillance system that lasts longer than fifteen
(15) minutes. The licensed alarm company must
promptly report any such notification to the Sheriff
Department.

f. The video surveillance system shall have sufficient
battery backup to support a minimum of twelve (12)
hours of recording in the event of a power outage.

g. Unless waived by the City in writing, the video
surveillance system shall stream a live feed
accessible to the Sheriff Department via a secure
internet portal, virtual private network or other form
of secure remote access.

h. Alarm system. The commercial cannabis cultivation
facility shall have an audible interior and exterior
security alarm system installed on all perimeter
entry points and perimeter windows, operated, and
monitored by a security company licensed by the
Department of Consumer Affairs, Bureau of
Security and Investigative Services, and approved
by the City. "Perimeter entry points" includes,
regardless of size, all doors, windows, hatches
and/or points at which persons or systems (such as
HVAC systems) enter a structure.

i. Signage requirement. The commercial cannabis
cultivation facility must comply with the following
signage requirements: a sign shall be posted in a
conspicuous place near each point of access to the
facility which shall be not less than twelve (12)
inches wide and twelve (12) inches long, composed
of letters not less than one (1) inch in height, stating " All Activities Monitored by Video Camera."

j. Lighting. The commercial cannabis cultivation
facility's points of access and all window areas shall
be sufficiently illuminated during evening hours
such that security cameras can record clear video
of any activity at or around the facility’s points of
access and window areas. The applicant shall
comply with the City's lighting standards regarding
fixture type, wattage, illumination levels, shielding,
and other restrictions, and secure the necessary
approvals and permits as needed.

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k. Commercial-grade locks. All points of ingress and
egress to a commercial cannabis cultivation facility
shall ensure the use of commercial- grade (i.e. non-
residential) door locks and window locks.

9. Written authorization for the City to seek verification of the information contained within the application and
authorization for the City or its agents to conduct
background check(s).

10. A capital investment and business plan demonstrating that sufficient investment for the business has been obtained, and that the business can maintain its operations for a period of at least five (5) years. To the maximum extent permitted by law, the capital investment and business plan shall be kept confidential.

11. A complete management and ownership team report,
inclusive of all required information, demonstrating that the management and ownership team have the skills,
experience and track record to assure that the commercial cannabis cultivation business will continuously operate in manner that will satisfy all state and local laws.

12. A copy of the commercial cannabis cultivation business’s commercial general liability insurance policy and all
other insurance policies related to the operation of the commercial cannabis cultivation business.

13. A signed defense and indemnity agreement by which the applicant agrees to defend and indemnify the City, its
officers, employees, and agents for any legal challenge to the issuance of a license to the applicant pursuant to this chapter, including any decisions to renew or extend that license.

14. Any additional information that the City may request, at any time, to process and fully investigate the application. The additional information must be provided to the City no later than thirty (30) days after the date of the request unless otherwise specified by the City. Failure to provide such additional information by the requested deadline may
result in denial of the application

Section 5.97.090 License Term; Expiration; Renewal

A. A commercial cannabis cultivation license shall have an initial term which begins on the date the license is issued and ends on the first June 30 which is at least ninety (90) days following the date the license is issued. 10/22/2024 PH1 29 of 61

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Thereafter, each commercial cannabis cultivation license shall be in force for a one (1) year term which runs from July 1 through June 30, provided that the license is timely and successfully renewed as provided in sub-sections B through D, below.

B. A licensed commercial cannabis cultivation business may apply for the renewal of its license no less than thirty (30) days prior to the license’s expiration date. If the licensed commercial cannabis cultivation business files a renewal application within thirty (30) days prior to expiration, the licensee shall provide a written explanation detailing the circumstances surrounding the late filing. The City may accept or reject such late filing in its discretion. The City may elect to administratively continue a local license past its expiration date, provided that the licensee has submitted a renewal application that is complete and pending final action by the City.

C. An application for renewal will only be accepted by the City if it is accompanied by the requisite renewal licensing fee.

D. Each application for renewal shall include updated information for any part of the application that has undergone a change in circumstance since the original application or last renewal filing and shall recertify all information submitted in prior application(s).

E. Unless the City has expressly authorized in writing the renewal of the commercial cannabis cultivation license, a license is immediately invalid upon its expiration date and the commercial cannabis cultivation business shall cease operations immediately upon the expiration of its license.

Section 5.97.100 Transfer of Ownership Interest, Modification or Other Material Changes

A. A licensed commercial cannabis cultivation business must obtain prior approval for any transfer of ownership interest, modification of a cannabis cultivation facility, modification in the nature and operation of the cannabis cultivation business, or any change in its management and/or ownership team.

B. An application seeking approval for any change described in paragraph A shall be made using forms prescribed by the City and shall be accompanied by an application fee in an amount set by the City.

C. For a transfer of ownership interest or a change of location, a new local license must be obtained, and if applicable, a new special use permit.

D. No licensee may assign and/or sublet any portion of a licensed premises.

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Section 5.97.110 Employee Work Permits; Revocation

A. Prior to a commercial cannabis cultivation business opening for business, it shall provide the City with the name of each person who intends to work at the facility on the day the facility opens. The list of workers shall include full-time employees, part-time employees, contractors, interns, volunteers, etc.

The commercial cannabis cultivation business shall continuously update the list of persons working at the facility within ten (10) days of any change in a previously provided list.

B. No person shall work at a commercial cannabis cultivation facility unless the person holds a valid work permit issued by the City pursuant to this section.

C. The work permit application shall be made on a form provided by the City. The completed application shall contain, at a minimum, the following information and be accompanied by the following documents:

1. The applicant’s legal name and any other names used by the employee.

2. The applicant’s age, date and place of birth.

3. The applicant’s present residence address and telephone number.

4. A statement that the applicant has not been convicted of a felony within the four (4) years preceding the date of the application.

5. Unless the applicant has already performed a Live Scan for the City as part of a prior application and the City is currently receiving updates of any subsequent convictions, a receipt indicating that a Live Scan has been performed with respect to the applicant and that its results will be delivered to the City so the City can confirm if the applicant has or has not been convicted of any felony within the last four years.

6. Satisfactory written proof that the employee is at least twenty-one (21) years of age.

D. The completed application shall be accompanied by a non- refundable application fee set by the City.

E. Within five (5) City business days after receipt of the properly completed application and Live Scan results, the City shall endeavor to grant or deny the application and so notify the applicant. The City shall grant the application and issue the permit unless the application is denied for one or more of the following reasons:
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1. The employee has made any false, misleading, or
fraudulent statement in the application;

2. The employee is under twenty-one (21) years of age;
and/or

3. The employee has been convicted of a felony within the four (4) years preceding the date application was
submitted.

F. At any time, the City may revoke an employee work permit for any of the reasons which would allow the City to deny an initial application for an employee work permit, sub-section E, above.

G. At any time, a holder of a work permit may relinquish his or her employee work permit by providing the City with a signed written direction to that effect.

Section 5.97.120 Suspension and Revocation of Cannabis Cultivation Licenses

A. It is unlawful for any person to operate a commercial cannabis cultivation business or engage in cannabis cultivation activity in a manner that violates any provision of this chapter, and any such violation shall be enforced as provided in this chapter.

B. The City may summarily suspend or revoke a commercial cannabis cultivation business license if any of the following, singularly or in combination, occur:

1. The City determines that the licensee has failed to comply with this chapter or any condition of approval or a circumstance or situation has been created that would have permitted the licensing officer to deny the commercial cannabis cultivation license or employee permit during the application phase.

2. The California Department of Cannabis Control or any other governmental regulator imposes any type of discipline on a commercial cannabis cultivation business.

3. Unless due to force majeure events, operations at the commercial cannabis cultivation facility cease for more than sixty (60) calendar days during any one (1) year licensing period.

4. Any portion of the ownership of the commercial cannabis cultivation business changes without securing the necessary City or other required approvals.

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5. The licensee fails to allow inspection of the commercial cannabis cultivation facility or books or records of the commercial cannabis cultivation business, including security footage, as required by this chapter.

6. The licensee fails to possess and/or maintain, in good standing, any required state license or special use permit.

C. The City may (but has no obligation to) defer the effective date for a license suspension or revocation to permit a licensee sufficient time to file an administrative appeal before any suspension or revocation takes effect.

Section 5.97.130 Appeals and Reconsideration

A. An applicant or a commercial cannabis cultivation business may file an appeal if a license application or a license renewal application for a commercial cannabis cultivation business is denied, or if a commercial cannabis cultivation business license is revoked or suspended. Any person or party who has not provided an application for a license authorized by this chapter and suffered an adverse licensing decision on said application by the City shall not be able to file an appeal pursuant to this section. A timely and complete appeal must be filed with the City Clerk no later than ten (10) City business days from the earlier of the date on which the City notifies the applicant of the license denial, revocation, or suspension. The date of notice for purposes of this section shall be the earlier of the date the action is communicated by email or the date on which the City deposits a mailed notice into the United States mail. A complete appeal must include an appeal fee in an amount set by the City, and the following: (i) the name of the party filing the appeal, which must be either the applicant or commercial cannabis cultivation business which experienced the adverse licensing decision; (ii) an email address and street address to which correspondence may be communicated, (iii) the licensing action which is being appealed; and (iv) all evidence, facts, and reasons to be considered and which the appellant believes support its appeal. The submitted appeal will be presented to the City Manager for action based on the materials in the record developed by the City prior to taking its action, and the materials submitted by the appellant.

Before taking action, the City Manager may provide the appellant with additional evidence used or which may be used to justify the City’s action of denial and offer the appellant an opportunity to respond. Within ten (10) City business days of receiving the appeal, providing additional evidence to the appellant (if any), and obtaining a response from appellant (if any), the City Manager shall: (1) deny the appeal if the City Manager determines that the denial was permitted under the terms of this chapter; (2) reverse the denial if the City Manager determines that the denial was not permitted under the chapter and an approval should have been given; or (3) direct that a remand occur or such other actions be taken as may be needed to achieve better compliance with the terms of this chapter. The decision of the City Manager shall be made in writing. Rather than processing the appeal himself or herself, the City Manager may delegate his or her responsibilities to the Assistant City Manager. The decision of the City Manager, or the Assistant City Manager in the event of a delegation, shall be final, 10/22/2024 PH1 33 of 61

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conclusive and without further administrative appeal.

B. For an action not covered by paragraph A, an aggrieved party may make a written request to the City to reconsider or cause an action to be reconsidered. Such a request must be filed with the City Clerk within ten (10) City business days of the earlier of the date the City notifies the aggrieved party of the action (for which reconsideration is sought) by email or the date on which the City deposits a mailed notice of the action into the United States mail. The request must provide: (i) the name of the party seeking reconsideration; (ii) an email address and street address to which correspondence may be communicated; (iii) the action for which reconsideration is sought; (iv) the result sought following reconsideration; and (v) all evidence, facts, and reasons that support the request for reconsideration. If a complete request for reconsideration is not filed within the time required by this paragraph, the action shall become final and conclusive.

If a timely and complete request for reconsideration is filed, the City Clerk will provide the request to the City Manager. Within ten (10) City business days, the City Manager shall advise the aggrieved party in writing that the City Manager has decided to not adjust the action, to adjust or reverse the action, or advise the party that further evidence, information or explanation is required before a determination can be made. If the City Manager instructs the aggrieved party that additional evidence, information or explanation is required, the party shall provide it to the City Manager within ten (10) City business days of the request, or the request for consideration shall be deemed to be finally abandoned. A written determination by the City Manager shall be sent to the party seeking reconsideration within ten (10) City business days of: (1) the date on which the request for reconsideration is filed with the City Clerk; or (2) if applicable, the date on which supplemental evidence, information or explanation is provided to the City Manager in response to the request of the City Manager, provided that the supplemental evidence, information or explanation is provided before the request for reconsideration is deemed to be abandoned. Rather than processing the appeal himself or herself, the City Manager may delegate his or her responsibilities to the Assistant City Manager. The decision of the City Manager, or the Assistant City Manager in the event of a delegation, shall be final, conclusive and without further administrative appeal.

Section 5.97.140 Operating Requirements for Commercial Cannabis Cultivation Business

All commercial cannabis cultivation businesses shall comply with the requirements set forth in this chapter. Failure to comply with any of these requirements shall be a violation of this chapter and constitute grounds for immediate suspension and/or revocation of the violator’s commercial cannabis cultivation business license.

A. A cultivator shall always operate in compliance with all current and future State and local laws and regulations. Such laws and regulations shall include, but are not limited to:

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1. State and local laws related to electricity, water usage, water quality, irrigation, discharges, and similar matters.

2. Applicable federal, state and local laws and regulations regarding use, storage, and disposal of pesticides and
fertilizers.

3. The State’s track-and-trace system for cannabis.

4. The California Environmental Quality Act (CEQA).

B. All operations of a commercial cannabis cultivation business shall comply with all of the applicable restrictions and mandates in this chapter, its security plan, and the terms of any special use permit issued for its operations, if any.

C. A commercial cannabis cultivation business shall pay any applicable taxes pursuant to federal, state, and local laws, including without limitation the taxes required by both chapter 5.04 and chapter 7.10 of the Vista Municipal Code.

D. All operations of the commercial cannabis cultivation business shall occur exclusively on and completely within its approved commercial cannabis cultivation facility, and no other land or premises within the City may be used for any functions or operations of the cannabis business, except for parking of vehicles.

E. From a public right-of-way, there should be no visible exterior evidence of cultivation.

F. No external signage shall be allowed on or around the commercial cannabis cultivation facility, other than the address of the premise.

G. The general public is not permitted on or in the premises of a commercial cannabis cultivation facility except for the agents, applicants, managers, and employees of the actual business and any agents or employees of the City of Vista.

H. All mature plants must be within the square feet of canopy authorized by the cultivator’s State License and City cultivation license issued for the premises. Cannabis plants maintained outside of the designated canopy are prohibited from flowering. Should a plant outside of the canopy area(s) begin flowering, a plant tag shall be applied, the plant shall be moved to a designated canopy area and reported in the track and trace system without delay.

I. Cultivators shall process their harvested cannabis only in area(s) designated for processing in their cultivation plan, or transfer their harvested cannabis to a licensed processor, manufacturer, or distributor via a licensed distributor.
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J. A commercial cannabis cultivation business shall have an air treatment system or other controls to ensure that detectable cannabis odors do not escape beyond the interior of the facility through ventilation or exhaust systems.

K. Pesticides and fertilizers shall be properly labeled and stored to avoid contamination through erosion, leakage or inadvertent damage from pests, rodents or other wildlife.

L. Cultivation shall, at all times, be operated in such a way as to ensure the health, safety, and welfare of the public, the people working at the commercial cannabis cultivation business, neighboring properties, and the end users of the cannabis being cultivated; to protect the environment from harm to waterways, fish, and wildlife; to ensure the security of the cannabis being cultivated; and, to safeguard against the diversion of cannabis.

M. A commercial cannabis cultivation business licensee shall not engage in any form of transport of cannabis or cannabis products.

N. Cannabis waste, which is limited to any material intended for disposal, shall be transported pursuant to any relevant local and state laws and regulations.

O. On-site smoking, ingestion, or consumption of cannabis shall be prohibited on the premises of all commercial cannabis cultivation businesses.

The term “premises” as used in this subsection includes the actual building, as well as any accessory structures, common areas and parking areas. A sign shall be posted at each entrance of a commercial cannabis cultivation facility that clearly and legibly states, “Smoking, ingestion, or consumption of cannabis on these licensed premises or in their vicinity is prohibited and a violation of the Vista Municipal Code.”

P. A commercial cannabis cultivation business shall not sell, provide, store, or distribute any product that would require that the seller possess a license issued by the California Department of Alcoholic Beverage Control.

Q. A commercial cannabis cultivation business shall display a copy of its commercial cannabis cultivation license issued pursuant to this chapter in a conspicuous place at the entrance to the licensed premises.

R. A commercial cannabis cultivation business shall utilize onsite armed and state licensed security staff twenty-four (24) hours a day, seven (7) days a week, three hundred sixty-five (365) days a year, unless otherwise approved in writing by the Sheriff Department.

S. A commercial cannabis cultivation business shall within one (1) day provide written notice to the City of the loss or suspension of any state license issued by the Department of Cannabis Control, or other State agency that 10/22/2024 PH1 36 of 61

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the commercial cannabis cultivation facility requires to hold for any commercial cannabis activity it conducts.

T. A commercial cannabis cultivation business shall have comprehensive commercial general liability insurance and comprehensive automotive liability insurance (if automobiles are used by the adult use cannabis business for any purpose) protecting the commercial cannabis cultivation business in an amount of not less than two million dollars ($2,000,000.00) per occurrence, combined single limit, including bodily injury and property damage and not less than two million dollars ($2,000,000.00) aggregate for each personal injury liability, products liability and each accident.

Section 5.97.150 Obligations of Members of the Management and Ownership Team

It is the obligation of each owner, individually, as well as any onsite manager, to assure that the commercial cannabis cultivation business, at all times, is operating in a manner which complies with all applicable federal, state, and local laws and regulations, including any subsequently enacted state or local law or regulatory, licensing, or certification standards or requirements, and any specific, additional operating procedures or requirements which may be imposed as conditions of approval of a state license or a City license. It is the obligation of each person employed at a commercial cannabis cultivation business to individually act in a manner that satisfies, and avoids violations, of this chapter or any other state or local law or regulatory, licensing, or certification standards or requirements.

Section 5.97.160 Inspection of Premises and Records

A. At all times, City officials, employees, and their designees authorized to enforce the provisions of this chapter shall have full access to the entirety of a commercial cannabis cultivation business, security camera footage of the cannabis enterprise facility, and records of every cannabis enterprise for the following purposes:

1. To inspect the premises, land, improvements comprising the commercial cannabis cultivation business for
compliance with this chapter and state Laws, including
Building Code and Fire Code compliance.

2. To review or copy any materials, books, records or security camera footage of the commercial cannabis cultivation
business or commercial cannabis cultivation facility.

3. To test any equipment possessed by, in control of, or used by a commercial cannabis cultivation business.

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4. To test any cannabis or cannabis product possessed by, in control of, or used by a commercial cannabis cultivation business.

B. Failure by any commercial cannabis cultivation business or any person associated with a commercial cannabis cultivation business to comply with this section shall itself be a violation of this chapter.

C. The access rights, audit rights, and inspection rights afforded to the City by this section may be fully utilized and exercised by any contractor or agent engaged or authorized to represent the City.

D. Prior notice of an inspection, investigation, review, or audit is not required.

E. Any inspection, investigation, review, or audit of a commercial cannabis cultivation business shall be conducted anytime the commercial cannabis cultivation business is open for business.

F. This section shall not be construed or applied in a manner to deprive a commercial cannabis cultivation business or its employees of any privilege which is guaranteed by the Constitutions of the United States and/or the State of California, or any other applicable law.

Section 5.97.170 Taxes

A. Each commercial cannabis cultivation business is obligated to make a timely payment of the taxes which it owes to the City from time to time as required by City ordinance or other law. These taxes, at minimum, include both:
(1) the gross receipts taxes due pursuant to chapter 7.10, inclusive of any applicable late payments, interest, and penalties; and (2) the taxes owing pursuant to chapter 5.04, inclusive of any late payments, interest, and penalties.

Failure to make full and timely payment is a violation of this chapter.

B. Each commercial cannabis cultivation business shall immediately and fully participate in any tax audit or review as allowed by chapter 7.10, or as allowed by section 5.97.160, and make all records available for inspection by the City or its agent in connection with such an audit or review.

Section 5.97.180 Regulations

The City Manager is authorized to promulgate such regulations, rules and procedures as may be necessary or convenient to implement this chapter.

Section 5.97.190 Violations

A. Any violation of this chapter is unlawful and a public nuisance. A nuisance under this chapter may be abated by the City, or by the City Attorney on behalf of the people of the State of California, as a nuisance by means of a 10/22/2024 PH1 38 of 61

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restraining order, injunction, abatement warrant, or any other order or judgment in law or equity issued by a court of competent jurisdiction. The City, or the City Attorney on behalf of the people of the State of California, may seek injunctive relief to enjoin violations of, or to compel compliance with this chapter or seek any other relief or remedy available at law or equity, including the imposition of monetary civil penalties.

B. Any violation of any of the provisions of this chapter shall constitute a misdemeanor violation and upon conviction thereof any violation shall be punishable by a fine not to exceed one thousand dollars ($1,000.00), or by imprisonment for a period of not more than six (6) months, or by both such fine and imprisonment. Each day a violation is committed or permitted to continue shall constitute a separate offense. No proof of knowledge, intent, or other mental state is required to establish a violation.

C. In the event of a violation of this chapter, the City may notify a commercial cannabis cultivation business and any other responsible party that the City intends to impose a daily civil penalty for the violation. Civil penalties imposed on a daily basis shall not exceed two thousand dollars ($2,000) for each day or portion of a day that the violation occurs. The amount of civil penalties imposed shall be determined by taking into account the severity of the violation, the occurrence of prior violations, the degree of culpability, the economic benefit accruing to the commercial cannabis cultivation business due to the violation (or cost savings enabled by the violation), and whether the violation can be attributed to deliberate misconduct, negligence, inadequate supervision, or error.

Penalties may be set so they begin to accrue if a cure is not accomplished by a set date, or in a manner where the penalties escalate over time. Penalties may be recovered as part of any civil action, or as part of a negotiated agreement between the City and the commercial cannabis cultivation business which fixes the amount of the civil penalties and the terms by which the violation will be cured if it has yet to be corrected.

D. The City may issue an administrative citation for each violation of this chapter pursuant to the procedures set forth in chapter 1.13.

E. Whenever in this chapter any act or omission is made unlawful, it shall include causing, aiding, abetting, suffering, or concealing the fact of such act or omission.

F. The remedies specified in this section are cumulative and in addition to any other remedies available under state or local law for a violation of this Code.

G. The procedures contained in section 5.97.130 shall not apply to and may not be utilized in connection with any enforcement actions, penalties or proceedings taken pursuant to this section.”

3. Interpretation. In interpreting this Ordinance or resolving any ambiguity, this Ordinance shall be interpreted in a manner that effectively accomplishes its stated purposes. 10/22/2024 PH1 39 of 61

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4. Severability. If any word, sentence, paragraph, or other portion of this Ordinance is deemed to be invalid or unenforceable for any reason by a court of competent jurisdiction, the City Council declares that it is its intent that all remaining words, sentences, paragraphs or portions of this Ordinance not held to be invalid or unenforceable shall remain in full force and effect and shall be so construed as if the original Ordinance did not contain the invalid or unenforceable language.

5. Effective Date. This Ordinance shall be in full force and effect on the 31st day following the date of adoption.

6. Adoption. INTRODUCED and ADOPTED at a meeting of the City Council of the City of Vista held on October 22, 2024, by the following vote:

AYES:

NOES:

ABSTAIN:

___________________________________

JOHN FRANKLIN, MAYOR

APPROVED AS TO FORM: ATTEST:

WALTER C. CHUNG, ACTING CITY ATTORNEY KATHY VALDEZ, CITY CLERK

By: ________________________________ By: _______________________________

APPROVED
Walter C. Chung
20220613170912

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ORDINANCE NO. 2024-

AN ORDINANCE OF THE CITY COUNCIL OF THE CHARTERED CITY OF VISTA, CALIFORNIA, AMENDING CHAPTER 8.12, CHAPTER 12.08, AND CHAPTER 12.13 OF THE VISTA MUNICIPAL CODE, ALL RELATING TO

TEMPORARY CANNABIS EVENTS AT BRENGLE TERRACE PARK
The City Council of the City of Vista does ordain as follows:

1. Findings. The City Council hereby finds and declares the following:

A. This Ordinance is enacted by the City Council pursuant to its authority under the Charter of the City of Vista and Article, 11, Section 7 of the California Constitution.

B. The City intends to amend Chapter 8.12, Chapter 12.08 and Chapter 12.13 of the Vista Municipal Code to establish regulations, standards, and an approval process governing temporary cannabis events at Brengle Terrace Park, as permitted under Section 26200(e) of the California Business and Professions Code, and Chapter 5, Division 19, of Title 4 of the California Code of Regulations (commencing at Section 15000).

C. The proposed code amendments would regulate and create an approval process for temporary cannabis events at Brengle Terrace Park. Such events would not result in permanent physical changes at the event site as they are limited in duration and to two events allowed per year, and are subject to standard restrictions that limit potential adverse effects including, but not limited to, noise, traffic and refuse disposal. The event site, Brengle Terrace Park, is a widely used public facility that commonly hosts large gatherings and events.

Therefore, the proposed code amendments are exempt pursuant to CEQA Guidelines Section 15301 (Existing Facilities), which allows the licensing of temporary cannabis events at an existing public facility with negligible or no expansion of the existing public facility use, Section 15304 (Minor Alterations to Land), which allows for minor, temporary use of land that has negligible or no permanent effects on the environment, and Section 15311 (Accessory Structures), which allows for construction or placement or minor structures accessory to existing commercial, industrial, or institutional facilities, including, but not limited to, temporary us items in publicly owned facilities or other facilities designated for public use; and none of the exceptions listed in CEQA Guidelines Section 15300.2 would apply.

D. On October 22, 2024, the City Council held a public hearing regarding the proposed amendments to the Vista Municipal Code. At said public hearing, staff reports, both written and oral were received in evidence and all persons desiring to speak on the proposed project were heard. At the conclusion of said hearing, after consideration of all evidence presented, the City Council reached a decision on the matter as set forth.

2. Code Amendment.

A. Chapter 8.12, Smoking in Public Places, of the Vista Municipal Code is amended to read as follows:
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“Chapter 8.12

Smoking in Public Places

Sections:

8.12.010 Purpose

8.12.020 Definitions

8.12.030 Prohibitions

8.12.040 Exceptions – Areas Where Smoking is Permitted

8.12.050 Posting of Signs

8.12.060 Retaliation Against Persons Requesting Compliance Prohibited

8.12.070 Penalties and Enforcement

Section 8.12.010 through 8.12.030 (no changes)

Section 8.12.040 Exceptions - Areas Where Smoking is Permitted

The following areas are exempt from the mandatory no-smoking provisions of this chapter, and permit smoking.

A. Private residences, except private residences licensed as family day care homes, during hours of operation as a family day care home.

B. Guestroom accommodations in a hotel, motel, or similar transient lodging establishment, if approved by the management of that facility, but not to exceed forty percent of all available guestroom accommodations.

C. Employee breakrooms designated by an employer for smoking, provided that all requirements of Labor Code section 6404.5(d)(13) are satisfied.

D. Cabs of motortrucks or truck tractors, as defined in the Vehicle Code, if no nonsmoking employees are present.

E. Patient smoking areas in long-term health care facilities, approved by the management of the facility, as defined in Section 1418 of the Health and Safety Code.

F. Theatrical production sites, if smoking is an integral part of the story in the theatrical production, if approved by the management of the facility.

G. Medical research or treatment sites, if smoking is an integral to any research and treatment being conducted, if approved by the management of the facility.

H. The designated consumption area of a temporary cannabis event that is permitted pursuant to Chapter 12.13 or Chapter 18.76.

Section 8.12.050 through 8.12.070 (no changes)”

B. Chapter 12.08, Park and Recreation Area Use Regulations, of the Vista Municipal Code is amended to read as follows:

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“Chapter 12.08

Park and Recreation Area Use Regulations

Sections:

12.08.010 Certain Acts Regulated and Prohibited

12.08.020 Parking Time Limits

12.08.030 Use of Toilet Facilities

12.08.040 Obedience to Rules and Regulations - Rules to be Posted

12.08.050 Obedience to Rules and Regulations - Exceptions

Section 12. 08.010 Certain Acts Regulated and Prohibited

No person shall, within the limits of park or recreation facilities within the city, do any of the following acts:

AA. Smoking Prohibited.

1. No person shall smoke within the boundary of any City park, on any City trail or in any public parking lot immediately adjacent to the City park or City trail, except in a designated consumption area of a temporary cannabis event that is permitted pursuant to Chapter 12.13.

2. No person shall dispose of any waste within the boundary of any City park, City trail, or any public parking lot immediately adjacent to the City park or City trail, which has resulted from smoking, except in a designated container.

3. No person shall chew tobacco or tobacco-related product within 50 feet of any playground or tot lot in any City park. The distance shall be measured from the edge of any concrete or wood border of the playground or tot lot or, if no border exists, from the nearest piece of playground or tot lot equipment.

4. For the purpose of this section, the following definitions apply:
a. Playground" shall mean any recreational area within a City park designed to be used by children that has play equipment installed. b. Tot Lot" means a designated play area within a public park for the use by children under five years of age.
c. The terms " Smoke" and " Smoking" as used in this subsection are as defined in Chapter 8. 12 of the Vista Municipal Code. d. Boundary" shall mean the interior edge of the sidewalk, but not including the sidewalk, surrounding any City park. For the City trail, the boundary shall be the edge of the trail so marked. For those areas where no sidewalk exists, the boundary shall be the fence-line or any other point designated as the boundary for the City park or trail.

Section12.08.010.A through Y (no changes)

Sections 12.08.020 through 12.08.050 (no changes)”

C. Chapter 12.13, Permits for Park Events, of the Vista Municipal Code is amended to read as follows:

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“Chapter 12.13

Park Events

Sections:

12.13.010 Applicability - Permit Required for Park Events - Exclusions

12.13.020 Definitions

12.13.030 Park Event and Major Park Event Permits - Application - Information Required - Timing

12.13.040 Late Applications

12.13.050 Permits - Standards for Issuance or Denial - Notification - Regulations

12.13.060 Appeal and Reconsideration

12.13.070 Park Event Permit - Content - Restrictions - Limitations

12.13.080 Cancellation and Revocation of Permits

12.13.090 Indemnification - Security Deposits

12.13.100 Insurance - Exemption

12.13.110 Fees

12.13.120 Temporary Cannabis Events at Brengle Terrace Park

Section 12.13.010 Applicability - Permit Required for Park Events - Exclusions

A. This chapter regulates Park Events, and Major Park Events as defined herein. No person shall conduct any Park Event or Major Park Event without first obtaining a permit as provided in this chapter.

B. Issuance of a permit under this chapter does not exempt the applicant from, or constitute compliance with:

1. Any requirements relating to the use of parks or facilities established by the City.

2. Local, state or federal laws or regulations regarding the service or consumption of food or alcoholic beverages.

3. Noise standards set by federal, state, or municipal law.

C. Every permit issued under this chapter is expressly conditioned on compliance with all other applicable laws, rules, and regulations.

D. No Park Event or Major Park Event in a park which is adjacent to an elementary, middle or high school may involve the sale, service or consumption of alcoholic beverages, at any time when the recreational facility or program or school is operating.

E. This chapter does not apply to:

1. Events in indoor facilities.

2. City sponsored or City co-sponsored events.

3. Spontaneous, unorganized assemblies which are not sponsored; organized, promoted or advertised by any person or organization, and do not involve amplified sound or the consumption of alcohol.

4. Events approved under an agreement between the applicant and City approved by the City Council which requires the applicant to indemnify the City for any injuries or damages arising out of the applicant’s event and maintaining general liability insurance.

F. This chapter regulates Temporary Cannabis Events conducted at parks, as defined herein. Temporary Cannabis Events authorized under this chapter are not considered Park Events or Major Park Events and are exempt from a permit for a Park Event or Major Park 10/22/2024 PH1 44 of 61

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Event.

Section 12.13.020 Definitions

A. “Cannabis Goods” has the same meaning as defined under Section 15000 of Chapter 1, Division 19, Title 4 of the California Code of Regulations.

AB. “City Manager” or designees shall mean the City Manager of the City of Vista and any designee or designees of the City Manager, except as the context dictates otherwise.

C. “Gross Revenues” means the sum of all revenues received by an event organizer for a Temporary Cannabis Event, including, but not limited to, cash receipts, licensing, sponsorships, television, advertising and similar revenues, and concessions.

D. “Major Park Event” means park events which:

1. Involve pyrotechnics or other hazardous activities; or

2. Involve a planned or likely attendance of more than 300 persons E. “Park” shall mean any improved or unimproved land that is owned by the City or to which the City holds beneficial entitlements, including parking lots. Beneficial entitlements, for purposes of this subsection, means any right to use land held by the City (whether by lease, license or easement) which would preclude the proposed event, absent City approval.

F. “Park Event” means any demonstration, assembly, festival, fair, concert, or any other gathering of 25 to 300 persons at same time and for the same collective purpose in a park.

G. “Temporary Cannabis Event” shall mean a temporary event that includes onsite sale and/or consumption of Cannabis Goods in compliance with Section 26200(e) of the California Business and Professions Code, Chapter 5, Division 19, of Title 4 of the California Code of Regulations (commencing at Section 15000) and section 12.13.120 of the Code.

Notwithstanding anything to the contrary, an event will not qualify as a Park Event or Major Park Event for purposes of this chapter if it will wholly or partly occur in a public street or sidewalk and will impede, obstruct, or interfere with the normal flow of vehicular or pedestrian traffic. In those instances, a permit is required under Chapter 12.12 (Permit for Block Parties and Street Events), rather than this chapter.

Section 12.13.030 through 12.13.110 (no changes)

Section 12.13.120 Temporary Cannabis Events at Brengle Terrace Park

Up to two Temporary Cannabis Events may be conducted at Brengle Terrace Park per calendar year, subject to the requirements of this section.

A. Required Licenses. Any person applying for a Temporary Cannabis Event to be conducted at Brengle Terrace Park must obtain: (1) a valid business license issued by the City; (2) a state cannabis event organizer license issued by the California Department of Cannabis Control (“DCC”); and (3) a state temporary cannabis event license issued by the DCC, prior to the event. All licenses and permits required under state and local law shall remain in full force effect throughout the duration of the event.

B. Eligible Retailers. Any retailer engaging in the sale of Cannabis Goods at a Temporary Cannabis Event must possess a valid City of Vista business license and a commercial adult use cannabis business license in compliance with Chapter 5.95 of this Code.

C. Event Duration and Holidays. A Temporary Cannabis Event may be conducted at Brengle Terrace Park for a single day or two (2) consecutive days, except not on City holidays.

D. Prescreening Applications.
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1. Applicants for a Temporary Cannabis Event at Brengle Terrace Park shall submit a prescreening application to the City Manager, or designee, no more than eighteen (18) months and no less than ninety (90) calendar days before the first day of event. Complete prescreening applications shall be approved by the City on a first come, first served basis.

Following City approval of a prescreening application and prior to the event, applicant must execute a license agreement pursuant to section 12.13.120.H.

2. Prescreening applications shall be submitted in a form prescribed by the City Manager, or designee, and shall be accompanied by:
a. Applicant’s City of Vista business license.
b. Applicant’s state cannabis event organizer license.
c. A map showing the area on which the event will be held. d. A description of the Temporary Cannabis Event.
e. The name(s) of the organization(s) and principals within the organization applying for the Temporary Cannabis Event. f. An estimate of the number of persons who will attend, all vendors who are anticipated to operate at the event, and a description of all security personnel and arrangements that are scheduled for the event.
g. A description of parking arrangements for the event, including a designated ride share area.
h. The estimated times that the Temporary Cannabis Event will start and terminate, including assembly and disassembly involving the use of public property. i. The number and kind of vehicles, musical instruments, sound units, and any other equipment that produces sound or noise during the Temporary Cannabis, and whether amplified sound is proposed.
j. A description of arrangements that have been made for emergency medical services, if applicable.
k. Insurance information pursuant to section 12.13.120.I.10. l. A fully refundable cleaning deposit in the amount set by resolution of the City Council.
m. Such other information, in conformity with the requirements of this section, as the City Manager may reasonably require.

E. Processing Fee. A nonrefundable processing fee shall be paid prior to the acceptance of any prescreening application for a Temporary Cannabis Event at Brengle Terrace Park. Such fee shall be established by resolution of the City Council from time to time.

F. Standards for Prescreening Application Approval or Denial.

1. The City Manager shall approve a Temporary Cannabis Event prescreening application unless one or more of the following conditions exist:
a. The prescreening application is incomplete for failure to provide the information required in section 12.13.120.D.
b. The City has approved the maximum allotted number of Temporary Cannabis Event prescreening applications for the current calendar year. c. The information contained in the prescreening application, including supplemental information, if any, is found to be false in any material respect, the purpose of the event is contrary to state or local law, and/or the applicant has failed to meet the City requirements under this section.
d. A prior application for an event to be held at the same time and place has been granted.
e. A City-sponsored or City-staffed event is planned to be held at the same time and place.
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f. The Temporary Cannabis Event will unduly interfere with vehicular ingress to, egress from or travel on a freeway, state or designated highway, or major arterial or collector street of the City.
g. The Temporary Cannabis Event will unreasonably interfere with fire or police protection, or public safety, including preventing substantial or unwarranted traffic or safety hazards.
h. The Temporary Cannabis Event would involve a number of people exceeding the capacity of the designated area of Brengle Terrace Park for which it is proposed.

2. The applicant shall be notified in writing of the action of the City Manager in approving or denying the prescreening application as soon as practicable. a. If the permit is denied, the written notice shall briefly set forth reasons explaining the basis for the denial and the right to appeal. b. If the permit is denied because the proposed event time or assembly and dispersal sites are unacceptable, the denial shall contain a statement of alternative acceptable times.

G. Appeal and Reconsideration

1. An applicant may appeal the denial of a prescreening application made pursuant to this section to the City Manager. The City Manager shall act upon said appeal within two business days of its receipt, unless the applicant and the City Manager agree on a different period for review.

2. An applicant may request the City Manager to reconsider his or her decision to deny a prescreening application, whether made on appeal or otherwise. The request for reconsideration shall be made in writing and must explain why the applicant believes that the denial or conditional approval is unlawful. Upon receipt of the request for reconsideration, the City Manager shall promptly reconsider the decision within two business days, unless the applicant and the City Manager agree on a different period for review. The decision of the City Manager upon reconsideration is final.

H. Revenue Sharing License Agreement.

1. After City approval of the prescreening application, and prior to the Temporary Cannabis Event, the applicant shall enter into a license agreement with the City, in a form prescribed by the City Manager and the City Attorney. Applicant’s failure to timely execute a license agreement allows the City to consider the next in time, complete prescreening application for a Temporary Cannabis Event. “Timely execute” shall mean execution of a City-approved license agreement within ten business days, unless the applicant and the City Manager agree on a different timeline.

2. The license agreement shall require payment of a negotiated percentage of gross revenues, a flat fee, a combination of percentage of gross revenues and a flat fee, or any other revenue sharing agreement that the City Manager deems to be in the best interests of the City.

3. The license agreement shall incorporate the event conditions prescribed in subsection I and any further conditions the City deems necessary to safeguard public health, safety and welfare.

4. It is prohibited for any person to advertise a Temporary Cannabis Event prior to the City and applicant executing a license agreement for the event.

I. Conditions. In addition to all conditions required under state and City licenses, and permits, the applicant for a Temporary Cannabis Event and all retailers participating in the event shall comply with the following event requirements:

1. Cannabis consumption cannot be visible from any public place outside the designated Brengle Terrace Park event area or from any nonage-restricted area. 10/22/2024 PH1 47 of 61

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2. Access to the Temporary Cannabis Event must be restricted to persons 21 years of age or older.

3. Sale or consumption of alcohol or tobacco is prohibited on the premises of a Temporary Cannabis Event.

4. All Cannabis Goods authorized to be sold at a Temporary Cannabis Event must be transported to and from the event by a licensed distributor.

5. Consumption must be expressly authorized in the state Temporary Cannabis Event license, otherwise only the sale of Cannabis Goods by licensed retailers at the event is permitted. If consumption is permitted, it shall only occur in a designated area and an on- site certified emergency medical technician (EMT) must be provided for the duration of the event.

6. Only state-licensed cannabis retailers are authorized to conduct sales of Cannabis Goods at a Temporary Cannabis Event. Retailers must comply with all state law requirements authorizing on-site cannabis sales and consumption at Temporary Cannabis Events, including but not limited to:
a. Displays of Cannabis Goods;
b. Use of exit packaging;
c. Age restrictions on sales;
d. Daily sales limits;
e. No free samples of Cannabis Goods;
f. Designated sales locations with no mobile sales; and g. Recording sales in the state track and trace system.

7. Any retailer engaging in the sale of Cannabis Goods must possess a valid City of Vista business license and a commercial adult use cannabis business license in compliance with Chapter 5.95 of this Code. Such retailers must comply with all required tax provisions of this Code relating to the sale of Cannabis Goods in the City.

8. The applicant shall hire or contract for security personnel to provide security services at the Temporary Cannabis Event. The number of required security personnel and hours of security service shall be determined by the City. All security personnel shall be at least 21 years of age, licensed by the Bureau of Security and Investigative Services, and comply with chapters 11.4 and 11.5 of division 3 of the California Business and Professions Code. At a minimum, security personnel shall be present on the premises of a Temporary Cannabis Event whenever Cannabis Goods are available for sale or cannabis consumption is allowed.

9. The applicant and their hired personnel must use a driver’s license scanner to verify age and authenticate patron IDs prior to providing event access.

10. The applicant shall provide a certificate of insurance naming the City as additional insured, in an amount as specified by the City but in no event below $2,000,000.

11. By executing a license agreement for a Temporary Cannabis Event, the applicant agrees to defend, indemnify and hold harmless the City, its officers, employees and agents from any and all liability arising out of the actions permitted by such license agreement, and agrees to pay on behalf of the City all claims, damages, judgments, legal and court costs, adjuster fees and attorney fees related thereto.

12. All waste from the Temporary Cannabis Event must be disposed of in designated waste receptacles and in accordance with state law.

13. Temporary Cannabis Events must comply with the City’s Noise Ordinance.

14. Temporary Cannabis Events are limited to the hours of 9 a.m. to 10 p.m.

15. Temporary Cannabis Events shall provide parking arrangements for the event, including a designated ride share area.

16. The applicant shall agree to bear the costs and compensate the City for incidental costs, including personnel expenses for clean-up and any damage to park property 10/22/2024 PH1 48 of 61

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caused by the Temporary Cannabis Event. The applicant shall deposit with the City a sum as a security deposit, as determined from time to time, by resolution of the City Council. If City property is destroyed or damaged by reason of a Temporary Cannabis Event, the City may retain the security deposit as full or partial reimbursement for any such damage.

17. The applicant shall ensure that participants of the Temporary Cannabis Event abide by the rules and regulations of this Code, state law, and any rules established by the event organizer to govern the event.

18. Authorized City officials may stop the Temporary Cannabis Event at any time that the official determines that the public safety is in jeopardy.

19. The applicant shall ensure that the Temporary Cannabis Event does not impair park accessibility for persons with disabilities.

J. Event Notification. At least 30 calendar days prior to the Temporary Cannabis Event, the applicant shall post a notice at Brengle Terrace Park and provide notifications of the event and any associated traffic diversion to all owners of property adjacent to the event location.

K. City Access. City code enforcement officers, Sheriff’s department officers, or other agents or employees of the City requesting admission to the Temporary Cannabis Event for the purposes of determining compliance with this section shall be provided unrestricted access.

L. Revocation of License Agreement. The City Manager may revoke a license agreement for a Temporary Cannabis Event at any time, if he or she determines any of the following:

1. That, as a result of inclement weather, conduct of Temporary Cannabis Event would unreasonably damage Brengle Terrace Park.

2. Grounds exist which would have justified denial of the prescreening application if those grounds had been known at the time of the prescreening application or the implications of those grounds had been fully understood at the time of the prescreening application.

3. The Temporary Cannabis Event will endanger the public health, safety, or welfare because of real or threatened disaster, public calamity, riot, or other emergency that law enforcement officials would be unable to prevent.

4. The applicant has failed to satisfy a condition of the license agreement in advance of the event.”

3. Interpretation. In interpreting this Ordinance or resolving any ambiguity, this Ordinance shall be interpreted in a manner that effectively accomplishes its stated purposes.

4. Severability. If any word, sentence, paragraph, or other portion of this Ordinance is deemed to be invalid or unenforceable for any reason by a court of competent jurisdiction, the City Council declares that it is its intent that all remaining words, sentences, paragraphs or portions of this Ordinance not held to be invalid or unenforceable shall remain in full force and effect and shall be so construed as if the original Ordinance did not contain the invalid or unenforceable language.

5. Effective Date. This Ordinance shall be in full force and effect on the 31st day following the date of adoption.

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6. Adoption. INTRODUCED and ADOPTED at a meeting of the City Council of the City of Vista held on October 22, 2024, by the following vote:

AYES:

NOES:

ABSTAIN:

___________________________________

JOHN FRANKLIN, MAYOR

APPROVED AS TO FORM: ATTEST:

WALTER C. CHUNG, CITY ATTORNEY KATHY VALDEZ, CITY CLERK

By: ________________________________ By: ________________________________

APPROVED
Walter C. Chung
20241010152003

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Chapter 8.12
Smoking in Public Places
Sections:

8.12.010 Purpose

8.12.020 Definitions

8.12.030 Prohibitions

8.12.040 Exceptions – Areas Where Smoking is Permitted

8.12.050 Posting of Signs

8.12.060 Retaliation Against Persons Requesting Compliance Prohibited

8.12.070 Penalties and Enforcement
Section 8.12.010 through 8.12.030 (no changes)
Section 8.12.040 Exceptions - Areas Where Smoking is Permitted The following areas are exempt from the mandatory no-smoking provisions of this chapter, and permit smoking.

A.Private residences, except private residences licensed as family day care homes, during hours of operation as a family day care home.

B.Guestroom accommodations in a hotel, motel, or similar transient lodging establishment, if approved by the management of that facility, but not to exceed forty percent of all available guestroom accommodations.

C.Employee breakrooms designated by an employer for smoking, provided that all requirements of Labor Code section 6404.5(d)(13) are satisfied.

D.Cabs of motortrucks or truck tractors, as defined in the Vehicle Code, if no nonsmoking employees are present.

E.Patient smoking areas in long-term health care facilities, approved by the management of the facility, as defined in Section 1418 of the Health and Safety Code.

F.Theatrical production sites, if smoking is an integral part of the story in the theatrical production, if approved by the management of the facility.

G.Medical research or treatment sites, if smoking is an integral to any research and treatment being conducted, if approved by the management of the facility.

H.The designated consumption area of a temporary cannabis event that is permitted pursuant to Chapter 12.13 or Chapter 18.76.

Section 8.12.050 through 8.12.070 (no changes)
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Chapter 12.08

Park and Recreation Area Use Regulations

Sections:

12.08.010 Certain Acts Regulated and Prohibited

12.08.020 Parking Time Limits

12.08.030 Use of Toilet Facilities

12.08.040 Obedience to Rules and Regulations - Rules to be Posted

12.08.050 Obedience to Rules and Regulations - Exceptions

Section 12. 08.010 Certain Acts Regulated and Prohibited

No person shall, within the limits of park or recreation facilities within the city, do any of the following acts:

AA. Smoking Prohibited.

1. No person shall smoke within the boundary of any City park, on any City trail or in any public parking lot immediately adjacent to the City park or City trail, except in a designated consumption area of a temporary cannabis event that is permitted pursuant to Chapter 12.13.

2. No person shall dispose of any waste within the boundary of any City park, City trail, or any public parking lot immediately adjacent to the City park or City trail, which has resulted from smoking, except in a designated container.

3. No person shall chew tobacco or tobacco-related product within 50 feet of any playground or tot lot in any City park. The distance shall be measured from the edge of any concrete or wood border of the playground or tot lot or, if no border exists, from the nearest piece of playground or tot lot equipment.

4. For the purpose of this section, the following definitions apply:
a. Playground" shall mean any recreational area within a City park designed to be used by children that has play equipment installed. b. Tot Lot" means a designated play area within a public park for the use by children under five years of age.
c. The terms " Smoke" and " Smoking" as used in this subsection are as defined in Chapter 8. 12 of the Vista Municipal Code. d. Boundary" shall mean the interior edge of the sidewalk, but not including the sidewalk, surrounding any City park. For the City trail, the boundary shall be the edge of the trail so marked. For those areas where no sidewalk exists, the boundary shall be the fence-line or any other point designated as the boundary for the City park or trail.

Section12.08.010.A through Y No change in text.

Sections 12.08.020 through 12.08.050 No change in text.

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Chapter 12.13

Permits for Park Events

Sections:

12.13.010 Applicability - Permit Required for Park Events - Exclusions

12.13.020 Definitions

12.13.030 Park Event and Major Park Event Permits - Application - Information Required - Timing

12.13.040 Late Applications

12.13.050 Permits - Standards for Issuance or Denial - Notification - Regulations

12.13.060 Appeal and Reconsideration

12.13.070 Park Event Permit - Content - Restrictions - Limitations

12.13.080 Cancellation and Revocation of Permits

12.13.090 Indemnification - Security Deposits

12.13.100 Fees Insurance - Exemption

12.13.110 Fees

12.13.120 Temporary Cannabis Events at Brengle Terrace Park

Section 12.13.010 Applicability - Permit Required for Park Events - Exclusions

A. This chapter regulates Park Events, and Major Park Events as defined herein.

No person shall conduct any Park Event or Major Park Event without first obtaining a permit as provided in this chapter.

B. Issuance of a permit under this chapter does not exempt the applicant from, or constitute compliance with:

1. Any requirements relating to the use of parks or facilities established by the City.

2. Local, state or federal laws or regulations regarding the service or consumption of food or alcoholic beverages.

3. Noise standards set by federal, state, or municipal law.

C. Every permit issued under this chapter is expressly conditioned on compliance with all other applicable laws, rules, and regulations.

D. No Park Event or Major Park Event in a park which is adjacent to an elementary, middle or high school may involve the sale, service or consumption of alcoholic beverages, at any time when the recreational facility or program or school is operating.

E. This chapter does not apply to:

1. Events in indoor facilities.

2. City sponsored or City co-sponsored events.

3. Spontaneous, unorganized assemblies which are not sponsored; organized, promoted or advertised by any person or organization, and do not involve amplified sound or the consumption of alcohol.

4. Events approved under an agreement between the applicant and City approved by the City Council which requires the applicant to indemnify the City for any injuries or damages arising out of the applicant’s event and maintaining general liability insurance.

F. This chapter regulates Temporary Cannabis Events conducted at parks, as defined herein. Temporary Cannabis Events authorized under this chapter are not considered Park Events or Major Park Events and are exempt from a permit for a Park Event or Major Park Event.

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Section 12.13.020 Definitions

A. “Cannabis Goods” has the same meaning as defined under Section 15000 of Chapter 1, Division 19, Title 4 of the California Code of Regulations.

AB. “City Manager” or designees shall mean the City Manager of the City of Vista and any designee or designees of the City Manager, except as the context dictates otherwise.

C. “Gross Revenues” means the sum of all revenues received by an event organizer for a Temporary Cannabis Event, including, but not limited to, cash receipts, licensing, sponsorships, television, advertising and similar revenues, and concessions.

BD. “Major Park Event” means park events which:

1. Involve pyrotechnics or other hazardous activities; or

2. Involve a planned or likely attendance of more than 300 persons CE. “Park” shall mean any improved or unimproved land that is owned by the City or to which the City holds beneficial entitlements, including parking lots. Beneficial entitlements, for purposes of this subsection, means any right to use land held by the City (whether by lease, license or easement) which would preclude the proposed event, absent City approval.

DF. “Park Event” means any demonstration, assembly, festival, fair, concert, or any other gathering of 25 to 300 persons at same time and for the same collective purpose in a park.

G. “Temporary Cannabis Event” shall mean a temporary event that includes onsite sale and/or consumption of Cannabis Goods in compliance with Section 26200(e) of the California Business and Professions Code, Chapter 5, Division 19, of Title 4 of the California Code of Regulations (commencing at Section 15000) and section 12.13.120 of the Code.

Notwithstanding anything to the contrary, an event will not qualify as a Park Event or Major Park Event for purposes of this chapter if it will wholly or partly occur in a public street or sidewalk and will impede, obstruct, or interfere with the normal flow of vehicular or pedestrian traffic. In those instances, a permit is required under Chapter 12.12 (Permit for Block Parties and Street Events), rather than this chapter.

Section 12.13.030 through 12.13.110 (no changes)

Section 12.13.120 Temporary Cannabis Events at Brengle Terrace Park

Up to two Temporary Cannabis Events may be conducted at Brengle Terrace Park per calendar year, subject to the requirements of this section.

A. Required Licenses. Any person applying for a Temporary Cannabis Event to be conducted at Brengle Terrace Park must obtain: (1) a valid business license issued by the City; (2) a state cannabis event organizer license issued by the California Department of Cannabis Control (“DCC”); and (3) a state temporary cannabis event license issued by the DCC, prior to the event. All licenses and permits required under state and local law shall remain in full force effect throughout the duration of the event.

B. Eligible Retailers. Any retailer engaging in the sale of Cannabis Goods at a Temporary Cannabis Event must possess a valid City of Vista business license and a commercial adult use cannabis business license in compliance with Chapter 5.95 of this Code.

C. Event Duration and Holidays. A Temporary Cannabis Event may be conducted at Brengle Terrace Park for a single day or two (2) consecutive days, except not on City holidays.

D. Prescreening Applications.

1. Applicants for a Temporary Cannabis Event at Brengle Terrace Park shall submit a prescreening application to the City Manager, or designee, no more than eighteen (18) 10/22/2024 PH1 54 of 61

4881-5872-2539, v. 1
months and no less than ninety (90) calendar days before the first day of event. Complete prescreening applications shall be approved by the City on a first come, first served basis.

Following City approval of a prescreening application and prior to the event, applicant must execute a license agreement pursuant to section 12.13.120.H.

2. Prescreening applications shall be submitted in a form prescribed by the City Manager, or designee, and shall be accompanied by:
a. Applicant’s City of Vista business license.
b. Applicant’s state cannabis event organizer license.
c. A map showing the area on which the event will be held. d. A description of the Temporary Cannabis Event.
e. The name(s) of the organization(s) and principals within the organization applying for the Temporary Cannabis Event. f. An estimate of the number of persons who will attend, all vendors who are anticipated to operate at the event, and a description of all security personnel and arrangements that are scheduled for the event.
g. A description of parking arrangements for the event, including a designated ride share area.
h. The estimated times that the Temporary Cannabis Event will start and terminate, including assembly and disassembly involving the use of public property. i. The number and kind of vehicles, musical instruments, sound units, and any other equipment that produces sound or noise during the Temporary Cannabis, and whether amplified sound is proposed.
j. A description of arrangements that have been made for emergency medical services, if applicable.
k. Insurance information pursuant to section 12.13.120.I.10. l. A fully refundable cleaning deposit in the amount set by resolution of the City Council.
m. Such other information, in conformity with the requirements of this section, as the City Manager may reasonably require.

E. Processing Fee. A nonrefundable processing fee shall be paid prior to the acceptance of any prescreening application for a Temporary Cannabis Event at Brengle Terrace Park. Such fee shall be established by resolution of the City Council from time to time.

F. Standards for Prescreening Application Approval or Denial.

1. The City Manager shall approve a Temporary Cannabis Event prescreening application unless one or more of the following conditions exist:
a. The prescreening application is incomplete for failure to provide the information required in section 12.13.120.D.
b. The City has approved the maximum allotted number of Temporary Cannabis Event prescreening applications for the current calendar year. c. The information contained in the prescreening application, including supplemental information, if any, is found to be false in any material respect, the purpose of the event is contrary to state or local law, and/or the applicant has failed to meet the City requirements under this section.
d. A prior application for an event to be held at the same time and place has been granted.
e. A City-sponsored or City-staffed event is planned to be held at the same time and place.
f. The Temporary Cannabis Event will unduly interfere with vehicular ingress to, egress from or travel on a freeway, state or designated highway, or major arterial or collector street of the City.
g. The Temporary Cannabis Event will unreasonably interfere with 10/22/2024 PH1 55 of 61

4881-5872-2539, v. 1
fire or police protection, or public safety, including preventing substantial or unwarranted traffic or safety hazards.
h. The Temporary Cannabis Event would involve a number of people exceeding the capacity of the designated area of Brengle Terrace Park for which it is proposed.

2. The applicant shall be notified in writing of the action of the City Manager in approving or denying the prescreening application as soon as practicable. a. If the permit is denied, the written notice shall briefly set forth reasons explaining the basis for the denial and the right to appeal. b. If the permit is denied because the proposed event time or assembly and dispersal sites are unacceptable, the denial shall contain a statement of alternative acceptable times.

G. Appeal and Reconsideration

1. An applicant may appeal the denial of a prescreening application made pursuant to this section to the City Manager. The City Manager shall act upon said appeal within two business days of its receipt, unless the applicant and the City Manager agree on a different period for review.

2. An applicant may request the City Manager to reconsider his or her decision to deny a prescreening application, whether made on appeal or otherwise. The request for reconsideration shall be made in writing and must explain why the applicant believes that the denial or conditional approval is unlawful. Upon receipt of the request for reconsideration, the City Manager shall promptly reconsider the decision within two business days, unless the applicant and the City Manager agree on a different period for review. The decision of the City Manager upon reconsideration is final.

H. Revenue Sharing License Agreement.

1. After City approval of the prescreening application, and prior to the Temporary Cannabis Event, the applicant shall enter into a license agreement with the City, in a form prescribed by the City Manager and the City Attorney. Applicant’s failure to timely execute a license agreement allows the City to consider the next in time, complete prescreening application for a Temporary Cannabis Event. “Timely execute” shall mean execution of a City- approved license agreement within ten business days, unless the applicant and the City Manager agree on a different timeline.

2. The license agreement shall require payment of a negotiated percentage of gross revenues, a flat fee, a combination of percentage of gross revenues and a flat fee, or any other revenue sharing agreement that the City Manager deems to be in the best interests of the City.

3. The license agreement shall incorporate the event conditions prescribed in subsection I and any further conditions the City deems necessary to safeguard public health, safety and welfare.

4. It is prohibited for any person to advertise a Temporary Cannabis Event prior to the City and applicant executing a license agreement for the event.

I. Conditions. In addition to all conditions required under state and City licenses, and permits, the applicant for a Temporary Cannabis Event and all retailers participating in the event shall comply with the following event requirements:

1. Cannabis consumption cannot be visible from any public place outside the designated Brengle Terrace Park event area or from any nonage-restricted area.

2. Access to the Temporary Cannabis Event must be restricted to persons 21 years of age or older.

3. Sale or consumption of alcohol or tobacco is prohibited on the premises of a Temporary Cannabis Event.

4. All Cannabis Goods authorized to be sold at a Temporary Cannabis Event must be transported to and from the event by a licensed distributor. 10/22/2024 PH1 56 of 61

4881-5872-2539, v. 1

5. Consumption must be expressly authorized in the state Temporary Cannabis Event license, otherwise only the sale of Cannabis Goods by licensed retailers at the event is permitted. If consumption is permitted, it shall only occur in a designated area and an on-site certified emergency medical technician (EMT) must be provided for the duration of the event.

6. Only state-licensed cannabis retailers are authorized to conduct sales of Cannabis Goods at a Temporary Cannabis Event. Retailers must comply with all state law requirements authorizing on-site cannabis sales and consumption at Temporary Cannabis Events, including but not limited to:
a. Displays of Cannabis Goods;
b. Use of exit packaging;
c. Age restrictions on sales;
d. Daily sales limits;
e. No free samples of Cannabis Goods;
f. Designated sales locations with no mobile sales; and g. Recording sales in the state track and trace system.

7. Any retailer engaging in the sale of Cannabis Goods must possess a valid City of Vista business license and a commercial adult use cannabis business license in compliance with Chapter 5.95 of this Code. Such retailers must comply with all required tax provisions of this Code relating to the sale of Cannabis Goods in the City.

8. The applicant shall hire or contract for security personnel to provide security services at the Temporary Cannabis Event. The number of required security personnel and hours of security service shall be determined by the City. All security personnel shall be at least 21 years of age, licensed by the Bureau of Security and Investigative Services, and comply with chapters 11.4 and 11.5 of division 3 of the California Business and Professions Code. At a minimum, security personnel shall be present on the premises of a Temporary Cannabis Event whenever Cannabis Goods are available for sale or cannabis consumption is allowed.

9. The applicant and their hired personnel must use a driver’s license scanner to verify age and authenticate patron IDs prior to providing event access.

10. The applicant shall provide a certificate of insurance naming the City as additional insured, in an amount as specified by the City but in no event below $2,000,000.

11. By executing a license agreement for a Temporary Cannabis Event, the applicant agrees to defend, indemnify and hold harmless the City, its officers, employees and agents from any and all liability arising out of the actions permitted by such license agreement, and agrees to pay on behalf of the City all claims, damages, judgments, legal and court costs, adjuster fees and attorney fees related thereto.

12. All waste from the Temporary Cannabis Event must be disposed of in designated waste receptacles and in accordance with state law.

13. Temporary Cannabis Events must comply with the City’s Noise Ordinance.

14. Temporary Cannabis Events are limited to the hours of 9 a.m. to 10 p.m.

15. Temporary Cannabis Events shall provide parking arrangements for the event, including a designated ride share area.

16. The applicant shall agree to bear the costs and compensate the City for incidental costs, including personnel expenses for clean-up and any damage to park property caused by the Temporary Cannabis Event. The applicant shall deposit with the City a sum as a security deposit, as determined from time to time, by resolution of the City Council. If City property is destroyed or damaged by reason of a Temporary Cannabis Event, the City may retain the security deposit as full or partial reimbursement for any such damage.

17. The applicant shall ensure that participants of the Temporary Cannabis 10/22/2024 PH1 57 of 61

4881-5872-2539, v. 1
Event abide by the rules and regulations of this Code, state law, and any rules established by the event organizer to govern the event.

18. Authorized City officials may stop the Temporary Cannabis Event at any time that the official determines that the public safety is in jeopardy.

19. The applicant shall ensure that the Temporary Cannabis Event does not impair park accessibility for persons with disabilities.

J. Event Notification. At least 30 calendar days prior to the Temporary Cannabis Event, the applicant shall post a notice at Brengle Terrace Park and provide notifications of the event and any associated traffic diversion to all owners of property adjacent to the event location.

K. City Access. City code enforcement officers, Sheriff’s department officers, or other agents or employees of the City requesting admission to the Temporary Cannabis Event for the purposes of determining compliance with this section shall be provided unrestricted access.

L. Revocation of License Agreement. The City Manager may revoke a license agreement for a Temporary Cannabis Event at any time, if he or she determines any of the following:

1. That, as a result of inclement weather, conduct of Temporary Cannabis Event would unreasonably damage Brengle Terrace Park.

2. Grounds exist which would have justified denial of the prescreening application if those grounds had been known at the time of the prescreening application or the implications of those grounds had been fully understood at the time of the prescreening application.

3. The Temporary Cannabis Event will endanger the public health, safety, or welfare because of real or threatened disaster, public calamity, riot, or other emergency that law enforcement officials would be unable to prevent.

4. The applicant has failed to satisfy a condition of the license agreement in advance of the event.

10/22/2024 PH1 58 of 61

RESOLUTION NO. 2024-

A RESOLUTION OF THE CITY COUNCIL OF THE CHARTERED CITY OF

VISTA, CALIFORNIA, APPROVING VARIOUS FEES FOR COMMERCIAL

CANNABIS CULTIVATION BUSINESSES AND A PRESCREENING

APPLICATION FEE FOR TEMPORARY CANNABIS EVENTS AT BRENGLE

TERRACE PARK
The City Council the City of Vista does resolve as follows:

1. Findings. The City Council hereby finds and declares the following:

A. Vista Municipal Code (“VMC”) Chapter 5.97 requires the City Council to set various fee amounts related to the filing of various different types if applications related to the operation of commercial cannabis cultivation businesses, and, pursuant to VMC Chapter 12.13, Park Events, the City Council may establish filing and processing fees for prescreening applications for Temporary Cannabis Events at Brengle Terrace Park (“Application Fees”).

B. The fees are designed to reimburse the City for its costs in processing various types of applications, including initial application, renewal, transfer, relocation, and relocation.

The fees set herein are inaugural fees. Therefore, the amounts are based on the City’s best estimates of its cost. The City shall conduct a fee study in the future and revise the fee amounts if necessary.

C. The amount of these fees required under VMC Chapter 5.97 and Chapter 12.13 are set forth in Section 2(A) and 2(B) of this Resolution. The City Council wishes to establish these various fees and in the amounts stated.

D. As required by VMC Chapter 2.68 and applicable law, notice has been provided of the City’s intention to set the fees listed in Section 2(A) and 2(B), and a public hearing has been conducted before the City Council to approve the fees.

2. Action.

A. With regard to VMC Chapter 5.97, the City Council establishes the following fees:

Fee Name Amount
Initial Application $ 4,318.00
Applications for Renewal $ 329.00
Application for Transfer/Change in Business Ownership $ 662.00 Application for Relocation $ 2,330.00
Application for a Change in Business Management $ 269.00 Appeals $ 500.00
B. With regard to VMC Chapter 12.13, Park Events, the City Council establishes the following fee:

Fee Name Amount
Prescreening Applications for Temporary Cannabis Events at Brengle Terrace Park
$2,788.00
10/22/2024 PH1 59 of 61
EXHIBIT 7

RESOLUTION NO. 2024-

CITY COUNCIL OF THE CHARTERED CITY OF VISTA
PAGE 2
EXH7 RESO Fees.docx

B. Any applicable fee listed in Section 2(A) and 2(B) shall be paid concurrently with the submission of the corresponding application. Regulatory Inspection and Financial Audit Fees shall be paid within 30 days of the issuance of a City permit for commercial cannabis cultivation. All other planning, zoning, building, fire, inspection, and other fees continue to be applicable.

C. This resolution shall become effective forthwith.

3. Adoption. PASSED AND ADOPTED at a meeting of the City Council of the City of Vista held on October 22, 2024, by the following vote:

AYES:

NOES:

ABSTAIN:

APPROVED AS TO FORM:

WALTER CHUNG, CITY ATTORNEY

By:

JOHN FRANKLIN, MAYOR

ATTEST:

KATHY VALDEZ, CITY CLERK

By:

APPROVED
Walter C. Chung
20241010152115

10/22/2024 PH1 60 of 61

PRIOR ACTIONS
On August 27, 2024, discussed cannabis dispensary hours of operation and special events on City property and directed staff to bring back ordinances expanding retail cannabis dispensary hours of operation from 6:00 AM – 10:00 PM and cannabis related special events on City property (Vote: 5-0).

On May 28, 2024, adopted Ordinance No. 2024-6, amending Chapter 8.12 of the Vista Municipal Code and Chapter 18.76 of the Vista Development Code relating to temporary cannabis events (Vote 5-0).

On March 12, 2024, discussed cannabis related special events on private property and directed staff to bring back a policy to allow for indoor and outdoor cannabis related events on private property (Vote: 4-0, O’Donnell absent).

On June 25, 2024 adopted City Council Resolution No. 2024-127, establishing the City of Vista Cannabis Equity Program pursuant to the California Cannabis Equity Act of 2018 (Vote: 3-1, Franklin opposed, Green absent).

On February 27, 2024, adopted City Council Resolution No. 2024-25, accepting the City of Vista Cannabis Equity Assessment (Vote: 5-0).

On June 27, 2023, adopted City Council Resolution No. 2023-123, awarding a contract to SCI Consulting Group for Cannabis Equity Assessment Services (Vote: 5-0).

On February 28, 2023, adopted City Council Resolution No. 2023-19, authorizing State of California Cannabis Equity Act grant funding (Vote: 5-0).

On November 15, 2022, City Council Resolutions No. 2022-166, authorizing the submittal of an application for the State of California Cannabis Equity Act Grant funding (Vote: 4-1, Ritter opposed).

On August 9, 2022, City Council discussed a commercial cannabis cultivation social equity program and accepted Option One (delaying the implementation of cannabis cultivation until a study is completed to develop a social equity component to the application process) and directed staff to return with information on the scope and cost of a study (Vote: 5-0).

On June 28, 2022, introduced City Council Ordinance No. 2022- , amending the Vista Business Park Specific Plan regarding commercial cannabis cultivation and City Council Ordinance No. 2022- , adding Chapter 5.97, Commercial Cannabis Cultivation, to the Vista Municipal Code (Vote: 3-2, Ritter, Franklin opposed).

On February 22, 2022, the City Council discussed commercial cannabis cultivation and, by consensus, directed staff to bring back for consideration an ordinance for commercial cannabis cultivation (Vote: 4-1, Ritter opposed).
10/22/2024 PH1 61 of 61
EXHIBIT 8

From:Shelby Huffaker
To:Public Comments
Subject:Support for Code Amendments and Fees Related to Commercial Cannabis (PH Item 1) Date:Monday, October 21, 2024 4:35:28 PM
Hello,
As Chair of the San Diego chapter of Americans for Safe Access, a national non-profit dedicated to ensuring safe access to cannabis for therapeutic use and research, I am writing to express our strong support for the proposed Code Amendments and Fees relating to Commercial Cannabis Businesses and Temporary Cannabis Events at Brengle Terrace Park (Public Hearing Item 1).

We are particularly enthusiastic about two key provisions:

Extended Operating Hours: Increasing the operating hours for adult-use sales at cannabis storefronts to 6:00 AM – 10:00 PM will enhance access to regulated cannabis products for medical patients and consumers alike. This change will also encourage competition with the unregulated market, ensuring safer and more reliable options for everyone.

Commercial Cannabis Cultivation Licenses: Allowing commercial cannabis cultivation, with a specific license reserved for cannabis social equity applicants, is crucial. This approach not only increases access to regulated products but also fosters economic opportunities within our community. The social equity aspect is particularly important given the historical impact of cannabis criminalization on communities of color, especially those who have faced incarceration for providing access to vital medicine.

In summary, we wholeheartedly support the proposed code amendments and believe they will significantly benefit both our community and the broader market. Thank you for considering our perspective.
--
Shelby L. Huffaker, MPH (she/her)
Chair, San Diego Chapter of Americans for Safe Access
[email protected]
(858) 245-0849
LinkedIn | San Diego Americans for Safe Access
ASA is the largest national organization of patients, medical cannabis providers, medical professionals, scientists and concerned citizens promoting safe and legal access to cannabis for therapeutic use and research with over 150,000 supporters in all 50 states.

Click here to sign up for our newsletter.

ADD TO PACKET
PH1

Code Amendments and Fees Relating
to Commercial Cannabis Businesses
and Temporary Cannabis Events at
Brengle Terrace Park
October 22, 2024

Adult Use Retail Sales
•Amend VMC §5.95.150(l):

Operating Hours, to 6:00 am to 10:00 pm to align
with State regulations
Code Amendments – Operating Hours

Add VMC §5.95.165, Suspension or Revocation of License
•1st Violation - $1,000 fine and training
•2nd Violation – 60 day suspension
•3rd Violation – 1 year suspension
•4th Violation – Revocation of license
Within a three-year period
Code Amendments – Penalty Schedule

Prohibited and Authorized Activity
•Outdoor Cultivation Prohibited.
•Cannabis cultivation shall always be conducted
within a fully enclosed building
Code Amendments - Cannabis Cultivation

Authorized Locations
Code Amendments - Cannabis Cultivation
(1)be within the RLI zone;
(2)be authorized pursuant to a City issued SUP
(3)be outside a 600 hundred foot radius surrounding any day care center, youth center, youth-oriented business, public park, or school providing instruction in kindergarten or any grades 1 through 12; and
(4)be outside a 600 hundred foot radius of any existing residential use.

Authorized cultivation license types
•Specialty Cottage Indoor (500 square feet or less of total canopy)
•Specialty Indoor (501 – 5,000 square feet of total canopy) •Small Indoor (5,001 – 10,000 square feet of total canopy) •Medium Indoor (10,001 – 22,000 square feet of total
canopy)
Code Amendments - Cannabis Cultivation

Numerical limits
At any given time, the number of commercial
cannabis cultivation licenses issued by the City
shall not exceed three licenses.

Code Amendments - Cannabis Cultivation

Taxes
The cultivation tax rate for FY 2024/25 shall be
$17.40 per square foot of canopy.

Code Amendments - Cannabis Cultivation

Application Process
•Lottery system will be used to select the initial three businesses, as well as to establish a waiting list
•A minimum of one of the applicants selected through the lottery shall be an equity applicant
•The waiting list shall expire when all three commercial cannabis cultivation business licenses have been issued Code Amendments - Cannabis Cultivation

Fees
Code Amendments - Cannabis Cultivation
Fee Name Amount
Initial Application $ 4,318
Applications for Renewal $ 329
Application for Transfer / Change in Business Ownership $ 662 Application for Relocation $ 2,330
Application for a Change in Business Management $ 269 Appeals $ 500

Proposed Code Amendments:
•Chapter 8.12, Smoking in Public Places, and Chapter

12.08, Park Events, to allow smoking of cannabis and
consumption temporary cannabis events at Brengle
Terrace Park that are permitted under Chapter 12.13
Temporary Cannabis Events Brengle Terrace Park

Proposed Code Amendments:
•Chapter 12.13,creates regulations for permitting up
to 2 Temporary Cannabis Events per year at Brengle
Terrace Park, and includes standards to protect health, safety and general welfare of participants and the
community.

Temporary Cannabis Events Brengle Terrace Park

Permitting: Step 1 Prescreening Application, processed
by City Manager's office, requires:
•City of Vista business license and state cannabis event organizer license. •A map and description of event.
•The name(s) of the organization(s) and principals within the organization. •Estimated number of persons, list of all vendors, and a description of all security personnel and plans.
•A description of parking arrangements for the event, including a designated ride share area.

Temporary Cannabis Events Brengle Terrace Park

Step 1 Prescreening Application, requirements continued:
•Estimated times of event, including assembly and disassembly involving the use of public property. •The number and kind of vehicles, musical instruments, and any other equipment that produces sound or noise, and whether amplified sound is proposed. •A description of arrangements for emergency medical services, if applicable. •Insurance information (naming City as additional insured, minimum $2,000,000). •A fully refundable cleaning deposit in the amount set by resolution of the City . •Any other information, as the City Manager may reasonably require. •A nonrefundable processing prescreening application fee of $2,788.00 (proposed).

Temporary Cannabis Events Brengle Terrace Park

Step 2- Revenue Sharing License Agreement
•must execute within 10 business days of the final agreement being prepared
•shall require payment of a negotiated percentage of gross revenues, a flat fee, a combination of percentage of gross revenues and a flat fee, or other revenue sharing agreement •shall incorporate event conditions
•advertising events is prohibited prior to executing final agreement Temporary Cannabis Events Brengle Terrace Park

•Applicants must submit prescreening application no more than eighteen (18) months and no less than ninety (90) calendar days before the first day of event. Complete prescreening applications are first come, first served. •Applicants must obtain local and State licenses (City business license, State cannabis event organizer license and State temporary cannabis event license).
•Any retailer selling cannabis goods at a temporary cannabis event must possess a valid City of Vista business license and a commercial adult use cannabis business license in compliance with VMC Chapter 5.95. •A temporary cannabis event may be conducted at Brengle Terrace Park for a single day or two (2) consecutive days, excluding City holidays.

Temporary Cannabis Event Requirements

•Cannabis consumption cannot be visible from any public place outside the designated Brengle Terrace Park event area. •Access must be restricted to persons 21 years of age or older. •Sale or consumption of alcohol or tobacco is prohibited. •All cannabis goods must be transported to and from the event by a licensed distributor. •Consumption must be expressly authorized in the state temporary cannabis event license, otherwise only the sale of cannabis goods by licensed retailers at the event is permitted. •If consumption is permitted, it shall only occur in a designated area and an on-site certified emergency medical technician (EMT) must be provided for the duration of the event.

Temporary Cannabis Event Requirements

•Retailers must comply with all state law requirements authorizing on-site cannabis sales and consumption.
•The applicant shall hire or contract for security personnel to provide security services. At a minimum, security personnel shall be present on the premises of a temporary cannabis event whenever cannabis goods are available for sale or cannabis consumption is allowed.

Temporary Cannabis Event Requirements

•Must use a driver’s license scanner to verify age and authenticate patron IDs prior to providing event access. •Must provide insurance naming the City as additional insured, never less than $2,000,000. •By executing a license agreement, the applicant agrees to defend, indemnify and hold harmless the City.

Temporary Cannabis Event Requirements

•Waste must be disposed of in designated waste receptacles and in accordance with state law. •Must comply with the City’s Noise Ordinance; limited to the hours of 9 AM to 10 PM. •Parking arrangements must be made,including a designated rideshare area. •Applicants shall provide a security deposit.
•Applicants must ensure that participants follow all rules and regulations. •City officials may stop events at any time if determine that public safety is in jeopardy.
•Events must not impair park accessibility for persons with disabilities.

Temporary Cannabis Event Requirements

•Public Noticing : At least 30 calendar days prior to the event, the applicant shall post a notice at Brengle Terrace Park and provide notifications of the event and any associated traffic diversion to all owners of property adjacent to the event location.
•City Access: City code enforcement officers, Sheriff’s department officers, or other agents or employees shall be provided unrestricted access. •Revocation of Temporary Cannabis Event License Agreement:The City Manager may revoke a license agreement for a temporary cannabis event at any time, if he or she determines necessary to do so, based on criteria in VMC Sec.12.13.120.L.

Temporary Cannabis Event Requirements

Open, conduct, and close a public hearing and receive testimony regarding code amendments relating to commercial cannabis businesses and temporary cannabis events at Brengle Terrace Park. •Introduce and adopt Ordinance amending Section 5.95.150(l) of the Vista Municipal Code, Commercial Adult Use Cannabis Businesses, Hours of Operation. •Introduce and adopt Ordinance adding Section 5.95.165 of the Vista Municipal Code, Commercial Adult Use Cannabis Businesses, Suspension or Revocation of License. •Introduce and adopt Ordinance amending the uses permitted within “Use Area ‘B’” of the Vista Business Park Specific Plan. •Introduce and adopt Ordinance adding Chapter 5.97, Commercial Cannabis Cultivation, to the Vista Municipal Code. •Introduce and adopt Ordinance amending Chapter 8.12, Chapter 12.08, and Chapter 12.13 of the Vista Municipal Code, all relating to Temporary Cannabis Events at Brengle Terrace Park. •Adopt City Council Resolution approving various fees for commercial cannabis cultivation businesses and a prescreening application fee for temporary cannabis events at Brengle Terrace Park.

Staff Recommendations

Code Amendments and Fees Relating
to Commercial Cannabis Businesses
and Temporary Cannabis Events at
Brengle Terrace Park
October 22, 2024

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