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HomeMy WebLinkAboutPC-1089-2024 (CODE-0401-2024 -- Citywide)RESOLUTION NO. PC-1089-24 A RESOLUTION OF THE CITY OF SAN LUIS OBISPO PLANNING COMMISSION RECOMMENDING THE CITY COUNCIL INTRODUCE AND ADOPT AN ORDINANCE AMENDING TABLE 2-1 (USES ALLOWED BY ZONE, SECTION § 17.10.020) OF THE MUNICIPAL CODE TO ALLOW CANNABIS RETAIL STOREFRONTS TO CONDUCT RETAIL SALES BY DELIVERY WITH APPROVAL OF A CONDITIONAL USE PERMIT, OR BY AMENDMENT TO AN EXISTING CONDITIONAL USE PERMIT. THE PROJECT IS EXEMPT FROM ENVIRONMENTAL REVIEW (CEQA) AS REPRESENTED IN THE PLANNING COMMISSION AGENDA REPORT AND ATTACHMENTS DATED AUGUST 14, 2024 (CITYWIDE; CODE-0401-2024) WHEREAS, the Planning Commission of the City of San Luis Obispo conducted a public hearing in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo, California on August 14, 2024, for the purpose of recommending an amendment to Table 2-1 (Uses Allowed by Zone, Section § 17.10.020) of the Municipal Code, pursuant to a proceeding under CODE-0401-2024; City of San Luis Obispo, applicant; and WHEREAS, notices of said public hearing were made at the time and in the manner required by the law; and WHEREAS, the Planning Commission has duly considered all evidence, including the testimony of interested parties and the evaluation and recommendations provided by staff, presented at said hearing. NOW, THEREFORE, BE IT RESOLVED, by the Planning Commission of the City of San Luis Obispo as follows: SECTION 1. Findings. Based upon all evidence, the Planning Commission makes the following findings: 1. The proposed amendments to Table 2-1 (Uses Allowed by Zone, Section § 17.10.020) of the Municipal Code are consistent with the State of California’s Department of Cannabis Control regulations. 2. The proposed amendments to Table 2-1 (Uses Allowed by Zone, Section § 17.10.020) of the Municipal Code are consistent with previous City Council direction on March 7, 2023, to update the cannabis program to allow cannabis retail storefronts to offer delivery services. Planning Commission Resolution No. PC-1089-2024 CODE-0401-2024 (Citywide) Page 2 3. The proposed amendments to Table 2-1 (Uses Allowed by Zone Section § 17.10.020) of the Municipal Code are consistent with the Major City Goal (Financial Plan 2023-2025) to implement initiatives that reinforce a thriving and sustainable local economy as well as to ensure fiscally responsible and sustainable city operations by strengthening existing cannabis businesses, promoting the economic well-being of the community. 4. The proposed amendments to Table 2-1 (Uses Allowed by Zone Section § 17.10.020) of the Municipal Code are consistent with the purpose of the Retail Commercial (C-R) Zone to serve the entire community and the region, as well as tourists and travelers. 5. The proposed amendments to Table 2-1 (Uses Allowed by Zone Section § 17.10.020) of the Municipal Code are consistent with the purpose of the Service Commercial (C-S) Zone to provide services to meet local needs and demands of the region, including services and limited retail. SECTION 2. Environmental Determination. Recommendation of adoption of the proposed amendments to Table 2-1 (Uses Allowed by Zone Section § 17.10.020) of the Municipal Code was reviewed in accordance with the California Environmental Quality Act (CEQA) Guidelines and is determined to be exempt from environmental review pursuant to CEQA Guidelines Section § 15301(b)(3) (General Rule Exemption), which exempts activities that can be seen with certainty to have no possibility for causing a significant effect on the environment. The proposed amendments to Table 2-1 (Uses Allowed by Zone, Section § 17.10.020) constitute minor modifications to the rules governing commercial cannabis retail storefront operations and do not have a significant effect on the environment. Project specific environmental review will be required for any new commercial cannabis activity. Any new or existing cannabis retail storefront applying for a Conditional Use Permit or seeking to amend an existing Conditional Use Permit to engage in delivery would be required to comply with all applicable state and local law, including CEQA compliance. SECTION 3. Action. The Planning Commission hereby recommends to the City Council the introduction and adoption of an ordinance to amend Table 2-1 (Uses Allowed by Zone, Section § 17.10.020) of the Municipal Code to allow cannabis retail storefronts to conduct retail sales by delivery in allowable zones with approval of a Conditional Use Permit or by amendment to an existing Conditional Use Permit as set forth in Exhibit A and incorporated herein. Upon motion of Commissioner Juan Munoz-Morris, seconded by Commissioner Eric Tolle, and on the following roll call vote: Planning Commission Resolution No. PC-1089-2024 CODE-0401-2024 (Citywide) Page 3 AYES: Commissioner Sheryl Flores, Commissioner Juan Munoz-Morris, Commissioner Eric Tolle, Vice Chair Dave Houghton, Chair Justin Cooley NOES: None ABSENT: Commissioner Steve Kahn, Commissioner Bob Jorgenson The foregoing resolution was passed and adopted this 14th day of August 2024. ____________________ Brian Leveille, Secretary Planning Commission Planning Commission Resolution No. PC-1089-2024 CODE-0401-2024 (Citywide) Page 4 EXHIBIT A ORDINANCE NO. ____ (2024 SERIES) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, AMENDING TABLE 2-1 (USES ALLOWED BY ZONE, SECTION § 17.10.020) OF THE MUNICIPAL CODE TO ALLOW CANNABIS RETAIL STOREFRONTS TO CONDUCT RETAIL SALES BY DELIVERY WITH APPROVAL OF A CONDITIONAL USE PERMIT OR BY AMENDMENT TO AN EXISTING CONDITIONAL USE PERMIT. THE PROJECT IS EXEMPT FROM ENVIRONMENTAL REVIEW (CEQA) WHEREAS, on May 1, 2018, the City Council of the City of San Luis Obispo adopted regulations allowing for the operation of commercial cannabis businesses and personal cultivation in the City; and WHEREAS, on March 7, 2023, the City Council of the City of San Luis Obispo directed staff to update the cannabis program to allow cannabis retail storefronts to offer delivery services; and WHEREAS, the Planning Commission of the City of San Luis Obispo conducted a public hearing in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo, California on August 14, 2024, for the purpose of recommending an amendment to Table 2-1 (Uses Allowed by Zone, Section § 17.10.020) pursuant to a proceeding under CODE- 0401-2024; City of San Luis Obispo, applicant; and WHEREAS, notices of said public hearing were made at the time and in the manner required by the law; and WHEREAS, the Planning Commission has duly considered all evidence, including the testimony of interested parties and the evaluation and recommendations provided by staff, presented at said hearing. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of San Luis Obispo as follows: SECTION 1. Findings. Based upon all evidence, the City Council makes the following findings: 1. The proposed amendments to Table 2-1 (Uses Allowed by Zone, Section § 17.10.020) of the Municipal Code are consistent with the State of California’s Department of Cannabis Control regulations. Planning Commission Resolution No. PC-1089-2024 CODE-0401-2024 (Citywide) Page 5 2. The proposed amendments to Table 2-1 (Uses Allowed by Zone, Section § 17.10.020) are consistent with previous City Council direction on March 7, 2023, to update the cannabis program to allow cannabis retail storefronts to offer delivery services. 3. The proposed amendments to Table 2-1 (Uses Allowed by Zone Section § 17.10.020) of the Municipal Code are consistent with the Major City Goal (Financial Plan 2023-2025) to implement initiatives that reinforce a thriving and sustainable local economy as well as to ensure fiscally responsible and sustainable city operations by strengthening existing cannabis businesses, promoting the economic well-being of the community. 4. The proposed amendments to Table 2-1 (Uses Allowed by Zone Section § 17.10.020) of the Municipal Code are consistent with the purpose of the Retail Commercial (C-R) Zone to serve the entire community and the region, as well as tourists and travelers. 5. The proposed amendments to Table 2-1 (Uses Allowed by Zone Section § 17.10.020) of the Municipal Code are consistent with the purpose of the Service Commercial (C-S) Zone to provide services to meet local needs and demands of the region, including services and limited retail. SECTION 2. Table 2-1 (Uses Allowed by Zone, Section § 17.10.020) of the City of San Luis Obispo Municipal Code is hereby amended as follows: Table 2-1: Uses Allowed By Zone Key: A = Allowed; MUP = Minor Use Permit approval required; CUP = Conditional Use Permit approval required       M/A = Minor Use Permit approval required on ground floor along street frontage, allowed on second floor or above Land Use Permit Requirement by Zoning District Specific Use Regulations AG C/OS R-1 R-2 R-3 R-4 PF O C-N C-C C-R C-D C-T C-S M BP CANNABIS ACTIVITY Cannabis See Section 17.86.080 Specialty Cultivator MUP MUP MUP Small Cultivator MUP MUP MUP Nursery MUP MUP MUP Manufacturing MUP MUP MUP Distributor MUP MUP MUP Microbusiness CUP MUP/ CUP MUP/ CUP MUP/ CUP See Sec. 17.86.080(E)(12) for specific requirements per zone. Testing CUP A A A Director’s action required. See also Sec. 17.86.080(E)(9). Retailer (Delivery Only) MUP MUP MUP Planning Commission Resolution No. PC-1089-2024 CODE-0401-2024 (Citywide) Page 6 Retailer (Storefront with or without Delivery) CUP CUP Existing retail storefronts that wish to provide delivery services shall modify their existing Conditional Use Permit to include delivery. SECTION 3. Environmental Determination. Adoption of the proposed amendments to Table 2-1 (Uses Allowed by Zone § 17.10.020) was reviewed in accordance with the California Environmental Quality Act (CEQA) Guidelines and is determined to be exempt from environmental review pursuant to CEQA Guidelines Section § 15301(b)(3) (General Rule Exemption), which exempts activities that can be seen with certainty to have no possibility for causing a significant effect on the environment. The proposed amendments to Table 2-1 (Uses Allowed by Zone, Section § 17.10.020) constitute minor modifications to the rules governing commercial cannabis retail storefront operations and do not have a significant effect on the environment. Project specific environmental review will be required for any new commercial cannabis activity. Any new or existing cannabis retail storefront applying for a Conditional Use Permit or seeking to amend an existing Conditional Use Permit to engage in delivery would be required to comply with all applicable state and local law, including CEQA compliance. SECTION 4. Action. The City Council hereby adopts an ordinance amending Table 2-1 (Uses Allowed by Zone, Section § 17.10.020) of the Municipal Code to allow cannabis retail storefronts to conduct retail sales by delivery with approval of a Conditional Use Permit or by amendment to an existing Conditional Use Permit. SECTION 5. Severability. If any subdivision, paragraph, sentence, clause, or phrase of this Ordinance is, for any reason, held to be invalid or unenforceable by a court of competent jurisdiction, such invalid or unenforceability shall not affect the validity or enforcement of the remaining provisions of this Ordinance, or any other provisions of the City’s rules and regulations. It is the City’s express intent that each remaining portion would have been adopted irrespective of the fact that any one or more subdivisions, paragraphs, sentences, clauses, or phrases be declared invalid or unenforceable. Planning Commission Resolution No. PC-1089-2024 CODE-0401-2024 (Citywide) Page 7 SECTION 6. A summary of this ordinance, together with the names of Council members voting for and against, shall be published at least five (5) days prior to its final passage, in The New Times, a newspaper published and circulated in this City. This ordinance shall go into effect at the expiration of thirty (30) days after its final passage. INTRODUCED on the ____ day of _____ 2024, AND FINALLY ADOPTED by the Council of the City of San Luis Obispo on the ____ day of ____, 2024, on the following vote: AYES: NOES: ABSENT: _____________________ Mayor Erica A. Stewart ATTEST: _________________________ Teresa Purrington City Clerk APPROVED AS TO FORM: _________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, on ______________________. _____________________ Teresa Purrington City Clerk