HomeMy WebLinkAboutR-11213 amending the Master Fee Schedule with updated User and Regulatory Fees for various commercial cannabis business activitiesR 11213
RESOLUTION NO. 11213 (2021 SERIES)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS
OBISPO, CALIFORNIA, AMENDING THE CITY’S MASTER FEE
SCHEDULE WITH UPDATED USER AND REGULATORY FEES FOR
VARIOUS COMMERCIAL CANNABIS BUSINESS ACTIVITIES
WHEREAS, it is the City’s policy (User Fee Recovery Goals - Financial Plan Section H)
to assess service charges based on specific policies for cost recovery of services provided; and
WHEREAS, on May 15, 2018, the City Council adopted Ordinance No. 1647 (2018
Series) establishing a comprehensive regulatory program for the evaluation and permitting of
commercial cannabis business operations within the City; and
WHEREAS, on November 27, 2018, the City Council adopted Resolution 10965 (2018
Series) which updated the City’s Master Fee Schedule to include the one-time application fees and
yearly license renewal fees; and
WHEREAS, on December 2, 2019, the City Council adopted Resolution 11066 (2019
Series) which updated the City’s Master Fee Schedule that updated the one-time cannabis
application fee for all types of cannabis businesses permitted within the City; and
WHEREAS, Section 9.10.050 of the Municipal Code says that the City Council shall
adopt fees necessary to implement the regulations in relation to Commercial Cannabis Operator
Permits; and
WHEREAS, the City has contracted with a consultant, HdL, to prepare a fee study for the
purpose of identifying appropriate fees to assess for various activities associated with
implementing and overseeing the City’s cannabis regulations for each business in the City of San
Luis Obispo; and
WHEREAS, the City has completed one full year of operations to collect information on
actual time spent compared to the initial cannabis yearly license renewal fees City Council adopted
through Resolution 10965 (2018 Series), upon which staff has concluded it necessary to adjust the
yearly license renewal fees for all types of cannabis businesses permitted within the City; and
WHEREAS, public outreach was conducted through outreach by staff members to
cannabis businesses impacted by the newly proposed fees and through publication of the proposed
fee schedule on the City’s website in advance of the City Council’s consideration of the newly
proposed fees; and
WHEREAS, on November 27, 2018, the City Council adopted a fee schedule; and
WHEREAS, on December 3, 2019 City Council adopted an updated fee schedule; and
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WHEREAS, on January 19, 2021 the City Council held a public hearing to review and
discuss the updated proposed fee schedule, receive public input, and consider the
recommendations of its staff.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo
as follows:
SECTION 1. Findings. The City Council makes the following findings:
1. That the above recitals are true and correct.
2. That the proposed user and regulatory fees are consistent with the City’s cost recovery
goals (Financial Plan Section H), and that the established fees do not exceed the
estimated reasonable cost of providing the service or performing the activity for which
the fee is imposed.
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SECTION 2. Action. The City Council takes the following actions:
1. The City’ s Master Fee Schedule is hereby amended to include updated user and
regulatory fees for cannabis business operator applications and annual operator permit
licenses as provided in Exhibit A attached hereto.
2. The City will reimburse operators through the Finance Department who have already
paid their 2020-2021 yearly license renewal fees the difference of what the operators
paid based on the City’s 2020-2021 Master Fees and the newly proposed fees in Exhibit
A attached hereto.
3. This resolution supersedes Resolution 11066 (2019 Series) to the extent inconsistent
herewith.
Upon motion of Council Member Christianson, seconded by Council Member Pease, and
on the following roll call vote:
AYES: Council Member Christianson, Marx, Pease, Vice Mayor Stewart, and
Mayor Harmon
NOES: None
ABSENT: None
The foregoing resolution was adopted this 19th day of January 2021.
____________________________________
Mayor Heidi Harmon
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
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EXHIBIT A
CITY OF SAN LUIS OBISPO
Cannabis Fee Schedule
One Time Application Fees
All Commercial Cannabis Business Applicants:
Initial Application Fee $5,087.79
Final Application Fee when permit issues $18,797.63
Total One Time Application Fees $23,885.55
Yearly License Renewal Fees
All types of Cannabis Businesses permitted within the City $39,638.38