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ORDINANCE 1561 ORDINANCE NO. 1561 AN INTERIM ORDINANCE OF THE CITY OF EL SEGUNDO EXTENDING THE MORATORIUM ON PERMIT ISSUANCE FOR MARIJUANA-RELATED LAND USES WITHIN THE CITY TO ALLOW SUFFICIENT TIME FOR THE CITY TO CONSIDER AMENDING TITLE 15 OF THE EL SEGUNDO MUNICIPAL CODE. The Council of the City of EI Segundo does ordain as follows; SECTION 1: This ordinance is adopted pursuant to Government Code Sections 36937 and 65858, and other applicable laws. SECTION 2: Findings: The EI Segundo City Council finds, determines and declares as follows: A. On November 15, 2016, the City Council adopted Ordinance No. 1543, a forty-five-day interim zoning ordinance prohibiting the issuance of any permit for marijuana-related land uses in any zone throughout the City. B, On December 8, 2016, the City issued, and made publicly available, a written report regarding the status of the marijuana-related land use moratorium as required by Government Code section 65858(d). C. On December 20, 2016, after providing public notice in accordance with Government Code sections 65858(a) and 65090, the City Council held a public hearing and adopted Ordinance No. 1545 extending the moratorium for an additional period of ten months and fifteen days. Unless further extended, the moratorium will expire at midnight on November 14, 2017. D. On June 27, 2017, the Governor signed Senate Bill (SB) 94, which took effect immediately. SB 94 merges existing state laws regarding medicinal and recreational (adult use) marijuana by repealing the Medical Cannabis Regulation and Safety Act(MCRSA) and including certain MCRSA provisions within the licensing provisions of the Control, Regulate and Tax Adult Use of Marijuana Act (AUMA). The consolidated provisions are now known as the Medicinal and Adult- Use Cannabis Regulation and Safety Act (MAUCRSA). E. MAUCRSA expressly preserves the authority of a local jurisdiction to adopt and enforce local ordinances to regulate cannabis (marijuana) businesses licensed by the state, including, without limitation, local zoning and land use requirements, business license requirements, ORDINANCE No. 1561 Page 2 of 5 and requirements related to reducing exposure to secondhand smoke, or to completely prohibit the establishment or operation of one or more types of cannabis businesses within the local jurisdiction. F. The impact of the AUMA, the MAUCRSA, and legalization of recreational marijuana on the City of EI Segundo and its residents is unclear at this time and it is foreseeable that the City could see an influx of applications for marijuana-related land uses, as well as an influx of unpermitted and unregulated marijuana-related land uses, the scope and extent of which is difficult to predict at this time. G. Cities across California are only beginning to deal with the prospect of recreational (adult use) marijuana legalization; some have chosen to prohibit marijuana-related land uses and commercial marijuana activities entirely, while others are opting for limited authorization and regulation. The state of California has not yet begun issuing permits for marijuana-related businesses. That process is expected to begin on January 2, 2018. K Without clear and precise regulations on marijuana-related land uses, there is a present and immediate threat to the health, safety and welfare of the residents of the City of EI Segundo from the unregulated establishment of marijuana-related land uses. I. In light of the intent and purpose of the City's existing ban on all commercial cannabis activities, whether medical or recreational (adult use) in nature, (ESMC Title 4, Chapter 14; Title 7, Chapter 11; Title 15, Chapter 13B), together with the permissive nature of the City's zoning scheme as codified in Title 15, the City interprets its current Municipal Code as prohibiting all marijuana-related businesses and land uses, regardless of whether they are medical or recreational in nature. J. Despite the City's intent and its interpretation of its existing Code, it is foreseeable that persons seeking to establish recreational marijuana-related land uses may attempt to do so regardless of ESMC Title 4, Chapter 14; Title 7, Chapter 11; and Title 15, Chapter 13B. K. To avoid doubt as to the illegality of all marijuana-related land uses, including recreational (adult use) marijuana-related land uses, and to allow the City time to study the impacts of recreational marijuana land uses on the general health, safety and welfare of City residents, and the consistency of such uses with the City's General Plan and Zoning Code, the City Council desires to adopt an interim ordinance ORDINANCE No. 1561 Page 3 of 5 as an urgency ordinance, effective immediately, declaring and establishing a temporary moratorium on all marijuana-related land uses in order to protect the health, safety and welfare of the City's residents. L. The best method for protecting the public health, safety and welfare is either to prohibit marijuana-related land uses entirely or to adopt comprehensive regulations for the establishment and operation of marijuana-related land uses, including, without limitation, locational and operational standards. M. The City cannot enact a comprehensive set of restrictions and regulations without due study and deliberation. The City requires and indeterminate length of time to analyze the details of such comprehensive restrictions in light of the enactment of the AUMA and the MAUCRSA. Significant damage to the public health, safety and welfare could occur if persons are permitted to engage in or operate marijuana-related land uses without regulation while a set of proposed regulations is being studied and considered through a public hearing process. Until the City has had the opportunity to evaluate its options and make an informed decision, approval of any land use entitlement or permit such as a use permit, variance, building permit, license, certificate of occupancy, zone clearance or any other land use approval involving marijuana-related uses would threaten the public health, safety and welfare. N. The City's staff is conducting research and formulating options regarding potential new regulations for marijuana-related land uses in the City. Staff is also monitoring the actions of adjacent and nearby jurisdictions to ascertain the potential concentration of marijuana-related land uses in the vicinity in the event adjacent and neighboring jurisdictions choose to permit and regulate such uses as opposed to prohibiting them entirely. It is in the best interest of public health, safety and welfare that the existing moratorium should continue until such time as the City Council and Planning Commission have the opportunity to carefully review and consider this issue. O. The facts, circumstances and findings adopted by the City Council in Ordinance Nos. 1543 and 1545 remain true and correct and are incorporated herein by this reference. P. Based on the foregoing, together with the findings set forth in Ordinance No. 1543, the City Council finds that there is a current and immediate threat to the public health, safety and welfare and that an extension of the temporary moratorium on the establishment of ORDINANCE No. 1561 Page 4 of 5 marijuana-related land uses pursuant to Government Code Section 65858 is necessary for the immediate preservation of the public health, safety and welfare. Q. On October 26, 2017, the City issued, and made publicly available, a written report regarding the status of the marijuana-related land use moratorium as required by Government Code section 65858(d). The City Council hereby approves the report. R. The City Council finds that this moratorium is a matter of local and City-wide importance and is not directed towards any particular applicant or potential applicant for a marijuana-related land use. S. This Ordinance is in addition to the City's current, express prohibition on commercial cannabis activities (medical and recreational/adult use), cultivation of medical cannabis, delivery of medical cannabis, medical marijuana dispensaries, and medical marijuana collectives as set forth in ESMC Title 4, Chapter 14; Title 7, Chapter 11; and Title 15, Chapter 13B of the Municipal Code. The City Council further finds that the length of the moratorium imposed by this Ordinance will not in any way deprive any person of rights granted by state or federal laws, because the moratorium is short in duration and essential to protect the public health, safety and welfare. SECTION 3: Moratorium Extended. The moratorium enacted pursuant to City of EI Segundo Ordinance No. 1543 and extended by Ordinance No. 1545 is hereby extended pursuant to Government Code section 65858 for a period of one additional year beyond the expiration date of Ordinance No. 1545, thereby extending the moratorium until November 14, 2018. Accordingly, this Ordinance will expire and terminate at midnight on November 14, 2018. SECTION 4: CEQA. Exercising its independent judgment on the basis of the whole record, the City Council finds that this Ordinance is not subject to environmental review under the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines. Sections 15060(c)(2) and 15060(c)(3) pertain to activities that will not result in a direct or reasonably foreseeable indirect change to the environment and that are not defined as a project under Section 15378. This Ordinance has no potential for resulting in physical change to the environmental directly or indirectly in that its purpose is to prevent change to the environment pending the completion of the contemplated research and evaluation of regulatory alternatives. SECTION 5: If any part of this Ordinance or its application is deemed invalid by a court of competent jurisdiction, the City Council intends that such invalidity will not affect the effectiveness of the remaining provisions or applications and, to this end, the provisions of this Ordinance are severable. ORDINANCE No. 1561 Page 5 of 5 SECTION 6: The City Clerk is directed to certify the passage and adoption of this Ordinance; cause it to be entered into the City of EI Segundo's book of original ordinances; make a note of the passage and adoption in the records of this meeting; and, within fifteen (15) days after the passage and adoption of this Ordinance, cause it to be published or posted in accordance with California law. SECTION 7: This Ordinance will become effective immediately upon adoption pursuant to Government Code § 36937(b) for the immediate preservation of the public peace, health, safety, and welfare. Pursuant to that statute, and Government Code § 65858, this Ordinance is adopted by a four-fifths vote. PASSED, APPROVED, AND ADOPTED ORDINANCE No. 1561 this 7th day of November, 2017. uzan , Fuentes, Mayor ATTEST: ("j � .� .. T1cy We er, City Clerk APPROVED AS TO FORM: Mar D. Hensley, Mtorney CERTIFICATION STATE OF CALIFORNIA COUNTY OF LOS ANGELES SS CITY OF EL SEGUNDO 1, Tracy Weaver, City Clerk of the City of El Segundo, California, do hereby certify that the whole number of members of the City Council of said City is five; that the foregoing Ordinance No. 1561 was duly passed, approved and adopted by said City Council at its regular meeting held on the 7th day of November, 2017, approved and signed by the Mayor, and attested to by the City Clerk, by the following vote: AYES: Mayor Fuentes, Mayor Pro Tern Boyles, Council Member Brann, Council Member Dugen, and Council Member Pirsztuk NOES: None ABSENT: None ABSTAIN: None WITNESS MY HAND THE OFFICIAL SEAL OF SAID CITY this L; Iday of November, 2017, T�ky Weaver, City Clerk of the City of El Segundo, California