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HomeMy WebLinkAboutItem 07 Amend SDC to Regulate Time, Place and Manner by which Land and Buildings may be use to Produce, Process and Sell Recreational MarijuanaAGENDA ITEM SUMMARY Meeting Date: 4/4/2016 Meeting Type: Regular Meeting Staff Contact/Dept.: Greg Mott, DPW Jim Donovan, DPW Staff Phone No: 541-726-3774 Estimated Time: 30 Minutes S P R I N G F I E L D CITY COUNCIL Council Goals: Provide Financially Responsible and Innovative Government Services ITEM TITLE: AMEND THE SPRINGFIELD DEVELOPMENT CODE TO REGULATE THE TIME, PLACE AND MANNER BY WHICH LAND AND BUILDINGS MAY BE USED TO PRODUCE, PROCESS, SELL WHOLESALE AND SELL RETAIL RECREATIONAL MARIJUANA AND RECREATIONAL MARIJUANA PRODUCTS. ACTION REQUESTED: Conduct a first reading and public hearing of the following amended ordinance: AN ORDINANCE AMENDING THE SPRINGFIELD DEVELOPMENT CODE SECTION 3.2-310 AND 3.2-410 ADDING VARIOUS RECREATONAL MARIJUANA BUSINESSES TO SPECIFIC COMMERCIAL AND INDUSTRIAL ZONING DISTRICTS; SECTION 4.7-177 ADDING DEVELOPMENT STANDARDS APPLICABLE TO RECREATIONAL MARIJUANA BUSINESSES SECTIONS 3.2-210, 3.2-415, 3.2-610, AND 3.4-255 PROHIBITING RECREATIONAL MARIJUANA BUSINESSES; SECTION 6.1-110 ADDING APPLICABLE DEFINITONS; ADOPTING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. Also, provide guidance on whether certain marijuana business should be allowed in the Light-Medium Industrial (LMI) District. ISSUE STATEMENT: On March 21, 2016 the Council voted to remove the proposed 1,000 foot buffer between Marijuana Retail Outlets and requested that staff provide additional information about siting certain marijuana businesses in the LMI District. As a result, the ordinance was amended and staff has drafted a Council Briefing Memorandum addressing Council’s request. ATTACHMENTS: Attachment #1: Council Briefing Memorandum Attachment #2: Staff Report, Code Amendments, Maps and Criteria of Approval Attachment #3: Public Comments on the Proposed Ordinance Attachment #4: Ordinance Attachment #5: Maps of all LMI zones; map of all LMI zones and proximity to residential zones DISCUSSION: The 3/21/16 public hearing on proposed regulations of the production, processing, wholesale and retail trade of recreational marijuana was the culmination of three Planning Commission work sessions, a public hearing and two Council work sessions in the preceding 5 months. Various individuals and representatives of the marijuana trade provided testimony, generally in support of these proposals; one person was opposed to any regulations that would allow marijuana as a permitted use. The Council voted 5-0 to delete the proposed 1,000 foot buffer between Marijuana Retail Outlets and requested that staff provide additional information about a suggestion from a member of the public to allow marijuana businesses in the LMI District. As a result of the change in the ordinance and request for additional information, the City Attorney recommends the City Council conduct another “first reading” of the amended Ordinance and hold a public hearing. M E M O R A N D U M City of Springfield Date: 4/4/2016 To: Springfield City Council COUNCIL From: Greg Mott, Current Development Division Manager Jim Donovan, Planning Supervisor BRIEFING MEMORANDUM Subject: Code Amendment Revisions and Supplemental Industrial Zoning Information for Marijuana Production COUNCIL GOALS: Promote and Enhance our Hometown Feel while Focusing on Livability and Environmental Quality BACKGROUND: As discussed below Council directed staff to prepare materials addressing one motion and one request made by Council at their March 21, 2016 First Reading. The subjects are addressed separately below. ISSUE: At the conclusion of the Council’s March 21, 2016 deliberation of recreational marijuana business regulations, the Council requested information explaining why production of marijuana was to be limited to Heavy and Special Heavy Industrial sites when the Code currently allows a variety of products to be manufactured within buildings in the Light Medium Industrial zone. Earlier in the evening the Council heard testimony that a number of jurisdictions in the state were allowing the manufacturing of marijuana to occur in all zones that allowed manufacturing of any kind. Additionally, the Council directed that the Ordinance be amended by deleting the 1,000 foot buffer between retail businesses. This amendment should be accompanied by a first reading of this new Ordinance and reopening of the public hearing. This briefing memorandum provides a side-by-side comparison of the LMI, HI and SHI zoning standards and addresses the procedural steps for deleting the 1,000 foot buffer from the original Ordinance. . 1) Marijuana Retail Outlet Separation Standard: After consideration of staff report materials, presentation and public testimony at the 3/21/16 public hearing, the City Council voted 5-0 to delete a proposed 1,000 foot buffer between retail business locations. The provisions of the Oregon Revised Statute that regulates the various businesses authorized under the authority of the Oregon Liquor Control Commission allows cities to establish buffers between retail business locations; if cities do adopt buffers they may not exceed 1,000 feet. The revision to the proposed code amendment language reflecting this direction can be found on page 5 of Attachment 2, STAFF REPORT AND PROPOSED SPRINGFIELD DEVELOPMENT CODE (SDC) AMENDMENTS TO ALLOW MEDICAL AND RECREATIONAL MARIJUANA FACILITIES IN CERTAIN ZONING DISTRICTS. Subsection (3) of Section 4.7-177(B) has been deleted. The Ordinance language and attachments have been modified to reflect this change should Council opt to adopt the package on April 4th or at its next regular session. 2) Production Facilities in Industrial Districts: In response to public testimony, Council requested a side-by-side comparison of LMI and HI zoning information so that the Council could deliberate further on this suggestion before taking final action. The following information is intended to provide the Council with background and context for this discussion. The difference between LMI and HI zoning, based on the descriptions of each found in both the Metro Plan and the Springfield Development Code and transcribed below, is a recognition that LMI zones, generally, provide sites for smaller, less intensive “industrial” activities and that they generally do not require special attributes such as access to rail or large storage areas; HI and SHI zones, generally, include these special attributes. Additionally, the issue of potential negative impacts on adjoining property as a result of the industrial activities is minimal at HI and SHI zones Attachment 1, Page 1 of 7 3/30/2016 Page 2 because of the larger lot sizes and, in most cases, adjoining zoning is similar or otherwise compatible with industrial activities; the LMI district frequently serves as a buffer or transition zone between residential uses and more intensive commercial or heavy industrial zones. While these distinctions are noted in both of these documents, they are not policies nor are they phrased in absolute terms. For example, the LMI district allows several manufacturing/production activities that are also permitted in the HI and SHI districts (see 3.2-410 Schedule of LMI, HI and SHI use categories below). Of particular relevance to the Council’s question in this regard is the allowance of food processing and packaging, medicinal and pharmaceutical products, and perfumes and toiletries. Each of these products, and certainly the manufacturing process that is used, will generate odors, a principle issue of the manufacturing of marijuana. There are no associated development standards in the Code to inform the staff or applicants in the event that there is a proposal to manufacture any of these products. It seems reasonable to assume that a primary objective in this hypothetical case would be the olfactory impacts present at the property line and beyond, certainly if the property line is shared by residential uses. However, we can’t provide anything more definitive because business of this type has not selected Springfield as a production site. And in any case, there are no specific development standards in the Code that address odor as an issue that must be controlled. The only circumstance that is mentioned is the Discretionary Use criteria which requires that the site is suitable for the proposed use for such reasons as operating characteristics that include parking, traffic, noise, vibration, emissions, light, glare, odor, dust, etc. There have been several industrial uses, located in both the LMI and the HI zones, that have generated odors that became nuisance complaints. Because the city does not posses the equipment to establish boundaries for manufacturing activies we have relied upon LRAPA to pursue remediation. This did include a boat manufacturer who was originally on LMI property on Shelly Street and who eventually relocated to HI property brought into the UGB near 52nd and Highbanks, and a coffee roaster who was required to obtain a permit form LRAPA and who was subsequently subject to that authority. In this context of an odor standard, the proposed ordinance does require indoor operations to control the odors at the property line by controlling the air quality within the building; such a standard may be applied in any zone for any use that has the potential to generate offensive odors extending beyond the property line. As experience shows, if the use and its affects can be controlled, and the use does not require unusual or unique features, there are few if any real reasons to declare some of these uses unsuitable based on perception and expectations rather than history or facts. The table below comes directly from the SDC; it identifies all the uses that are permitted in the industrial zones; that require a Discretionary Approval; or are prohibited. These tables are not all inclusive, but the Code does state that uses not listed are not permitted unless an interpretation process is undertaken. The tables have been highlighted in yellow to show when a use that is presumed to represent a true potential to generate odors [during the production phase] is permitted in the HI district but not in the LMI district; where this potential for odor is present and is allowed in the LMI district, is highlighted in red. This is the best illustration we have to demonstrate this one fundamental difference between the expectations and allowances in the two zoning districts. The Metro Plan description of land use designations is found in Chapter II, Section G. Industrial descriptions read as follows: Light Medium Industrial: This designation accommodates a variety of industries, including those involved in the secondary processing of materials into components, the assembly of components into finished products, transportation, communication and utilities, wholesaling, and warehousing. The external impact from these uses is generally less than Heavy Industrial, and transportation needs are often met by truck. Activities are generally located indoors, although there may be some outdoor storage. This designation may also accommodate supporting offices and light industrial uses, local Attachment 1, Page 2 of 7 3/30/2016 Page 3 regulations permitting. Heavy Industrial: This designation generally accommodates industries that process large volumes of raw materials into refined products and/or that have significant external impacts. Examples of heavy industry include: lumber and wood products manufacturing; paper, chemicals and primary metal manufacturing; large-scale storage of hazardous materials; power plants; and railroad yards. Such industries often are energy-intensive, and resource-intensive. Heavy industrial transportation needs often include truck and rail. This designation may also accommodate light and medium industrial uses and supporting offices. Local regulations permitting. Special Heavy Industrial: These areas are designated to accommodate relocation of existing heavy industrial uses inside the urban growth boundary (UGB) that do not have sufficient room for expansion and to accommodate a limited range of other heavy industries in order to broaden the manufacturing base of the metropolitan economy and to take advantage of the natural resources of this region. These areas are also designated to accommodate new uses likely to benefit from local advantages for processing, preparing, and storing raw materials, such as timber, agricultural, aggregate, or by-products or waste products from other manufacturing processes. Land divisions in these areas shall be controlled to protect large parcels (40-acre minimum parcel size). Because city services are not available to these areas in the short-term, terms may be allowed to provide on-site the necessary minimum level of key urban facilities and services subject to standards applied by Lane County and subject to applicable state, federal, and local environmental standards. This designation accommodates industrial developments that need large parcels, particularly those with rail access. Although a primary purpose of this designation is to provide sites for heavy industries, any industry which meets the applicable siting criteria may make use of this designation. Two sites are designated Special Heavy Industrial. Listed below are the names of the two areas and applicable land division standards, use limitations, and annexation and servicing provisions. Natron Site (south of Springfield): Wastewater service is not available to this area in the short-term; therefore, industrial firms may be allowed to provide self-contained sewage disposal facilities subject to local, state, and federal environmental standards. Annexation to the city shall be required as a condition of development approval. Land divisions in this area shall be a minimum of 40 acres until annexation to Springfield has been assured. While industrial park development will be encouraged on this site, opportunity for the siting of industries that require large lots, such as 20 acres or more, will be reserved through the conceptual development planning and site review process. Springfield Development Code 3.2-405 establishes the following industrial zoning districts: A. Campus Industrial (CI). The CI District provides opportunities for diversification of the local economy by offering prime sites in a campus environment for large-scale light manufacturing firms and research and development complexes emphasizing modern technology and employing skilled workers in family wage jobs. The term “campus” includes innovative building designs, enhanced landscapes, large open spaces, and substantial pedestrian amenities. Generally, small- and medium-scale light manufacturing may, and supporting commercial/office uses shall be located within a business park, provided that combined business parks and/or permitted stand-alone office/commercial uses do not exceed 40 percent of the gross acreage of a CI District. Business parks may include several buildings with multiple stories and a mix of uses. Warehousing and distribution are permitted as an accessory to a permitted use. Supporting retail uses for example, banks, restaurants, and day care facilities are permitted if these uses do not primarily serve the Attachment 1, Page 3 of 7 3/30/2016 Page 4 public. All uses in the CI District shall meet siting and operational performance standards to minimize impacts within the CI District and surrounding areas. Permitted uses, including the storage of raw materials and/or finished products, shall occur entirely within enclosed buildings. B. Light-Medium Industrial District (LMI). LMI uses are generally involved in the secondary processing of materials into components, the assembly of components into finished products, transportation, communication and utilities, wholesaling, and warehousing. The external impact from these uses is generally less than Heavy Industrial, and transportation needs are often met by truck. Activities are generally located indoors, although there may be some outdoor storage. This designation also can accommodate supporting offices and CI industrial uses. C. Heavy Industrial District (HI). HI uses are generally involved in the processing of large volumes of raw materials into refined materials and/or that have significant external impacts. Heavy Industrial transportation needs often include rail and truck. Examples of these uses are: lumber and wood products; paper; chemicals and primary metal manufacturing; large-scale storage of hazardous materials; power plants; and railroad yards. Less intensive industrial uses that are permitted in the LMI District are also permitted in this district. 1. D. Special Heavy Industrial Districts (SHI). These areas are designated to accommodate industrial developments that need large parcels, particularly those with rail access. Although a primary purpose of this district is to provide sites for heavy industries, any industry which meets the following siting criteria may be permitted:Since sanitary sewer is not available to the Natron site in the short-term, industrial firms may be allowed to provide self-contained sewage disposal facilities subject to City, Lane County, State and Federal environmental standards. 2. Annexation to the City shall be required as a condition of development approval. 3. The minimum development area shall be 10 acres. 4. Land divisions in this area shall be a minimum of 40 acres until annexation to the City has been assured. 5. While industrial park development will be encouraged, opportunity for the siting of industries that require large lots/parcels that require 20 acres or more will be reserved through the Conceptual Development Plan and Site Plan Review processes. SDC 3.2-410 Schedule of Light-Medium Industrial, Heavy Industrial and Special Heavy Industrial Use Categories The following uses are permitted in the districts as indicated, subject to the provisions, additional restrictions and exceptions specified in this Code. Uses not specifically listed may be approved as specified in Section 5.11-100. “P” = PERMITTED USE subject to the standards of this Code. “S” = SPECIAL DEVELOPMENT STANDARDS subject to special locational and/or siting standards as specified in Section 4.7-100; in the SHI District, the “S” standard is found in Section 3.2-420, Note 2. “D” = DISCRETIONARY USE subject to review and analysis under Type III procedure (Section 5.9-100) at the Planning Commission or Hearings Official level. “N” = NOT PERMITTED SITE PLAN REVIEW SHALL BE REQUIRED unless exempted elsewhere in this Code. Attachment 1, Page 4 of 7 3/30/2016 Page 5 Industrial Districts Use Categories/Uses LMI HI SHI Manufacture and/or Assembly of (Section 4.7-100) Appliances P P S Apparel and other finished products made from canvas, cloth, fabrics, feathers, felt, leather, textiles, wool, yarn and similar materials P P S Chemical and chemical products N P S Communication equipment, including radio and television equipment P P S Compounding, or treatment of the following previously prepared materials: bone, Cellophane, clay, cork, Fiberglas, glass, hair, horns, metal, paper, plastic, shells, stones, synthetic resins, textiles, tobacco, wool and yarns N P S Concrete blocks, cinder blocks and septic tanks N P S Costume jewelry, novelties, buttons and misc. notions P P S Cutlery, hand tools and hardware P P S Dairy products, including butter, cream, cheese, milk, yogurt N P S Electronic components and accessories P P S Electronic transmission and distribution equipment P P S Engineering, laboratory, scientific, and research instruments P P S Explosives, manufacturing and distribution N D D Finished wood manufacturing and assembly, including cabinets and door frames P P S Food processing and packaging to include beverages, candy and other confectionery products, vegetables, meat, poultry and seafood P P S Fireworks N D D Furniture, including restoration P P S Greeting cards, business forms and other business related printing P P S Industrial machinery P P S Lumber, wood and paper products N P S Manufactured / modular housing and allied components P P S Measuring, analyzing, and controlling instruments P P S Medical, dental, and surgical equipment and supplies P P S Medicinal chemical and pharmaceutical products P P S Metal and metal alloy products N P S Metal fabrication and machine shops P P S Musical instruments P P S Paint, varnishes, lacquers, enamels and allied product N P S Prosthetics and orthopedic devices P P S Office computing and accounting equipment P P S Optical instruments, including lenses P P S Perfumes and toiletries P P S Photographic equipment and supplies P P S Signs and advertising display P P S Toys, sporting and athletic goods P P S Transportation equipment including airplanes, autos, boats, buses, helicopters, motorcycles, RVs, trailers and trucks P P S Watches, clocks and related components P P S Other Primary Industrial Uses Batch plant: Asphaltic and Portland cement concrete N D D Bulk plant: Refined flammable liquids delivered by tank car or pipe line N D D Cleaning and dyeing plants N P S Foundry and stamping plants N D D Gas storage tanks and distribution facilities N D D Ice and cold storage plants N P S Attachment 1, Page 5 of 7 3/30/2016 Page 6 Incineration or reduction of garbage, dead animals, offal and refuse N D D Industrial Parks P P S Leather tanning and finishing N D D Lubricating oil and grease processing and storage N P S Media productions, including TV and radio broadcasting, motion picture production and newspaper / book / periodical publishing P P S Plating and coating works N P S Recycling facilities N P S Regional distribution headquarters, including indoor storage P P S Research development and testing laboratories and facilities P P S Slaughters houses N D N Transportation Related, Non-manufacturing Automotive and heavy equipment repair and service including the recapping and retreating of tires P P S Auto wrecking, storage and towing services N D N Maintenance facilities for passenger bus vehicles or motor freight vehicles P P S Key/card lock fuel facilities P P P Transportation facilities listed in Section 3.2-310 P P S Secondary Uses Serving or Related to On-Site Industrial Uses Accessory structures P P S Administrative professional or business offices P P S Blue printing Photostatting and photo developing P P S Cafeteria serving employees only P P S Child care facilities primarily serving employees P P S Developed recreation area serving the development area P P S Financial institutions P P S Heliports and helistops P P S Manufactured unit used as a permanent office (Section 4.7-170) S S S Manufactured home used as a night watch person’s quarters (Section 4.7-185) S S S Outdoor storage of materials directly related to a permitted use P P S Service and Repair Small scale repair and maintenance services listed in Section 3.2- 310 P P S Warehouse Commercial, Wholesale Trade, Storage and Distribution Regional distribution headquarters, including indoor storage P P S Warehouse/commercial uses engaged primarily in the wholesaling of materials to the construction industry (Section 4.7-245) S S S Wholesale trade, warehousing, distribution and storage (to include mini-storage) P P S Warehouse commercial retail and wholesale sales listed in Section 3.2-310 P P S Business, Labor, Scientific and Professional Organizations and Headquarters and Recreational Uses Recreational facilities in Section 3.2-310 P/S P/S S Other Uses Agricultural cultivation of undeveloped land P P P Business, labor, scientific and professional organizations and headquarters P P S Public utility facilities: High impact facilities (Section 4.7-160) S S S Low impact facilities P P S Private / Public Elementary and Middle Schools (Section 4.7-195) D* N N Certain Wireless Telecommunications Systems Facilities See Section 4.3-145 See Section 4.3-145 See Section 4.3-145 Attachment 1, Page 6 of 7 3/30/2016 Page 7 Staff Finding: Highlighted sections illustrate the relationship of LMI to HI uses based upon olfactory and noise impacts. Yellow highlights indicate a use that could potentially create an olfactory challenge and which is not permitted in the LMI district; red highlights indicate a use that could potentially create an olfactory challenge and which is permitted in the LMI district. Production in Light Medium Industrial Zone Subjective Comparison? LMI Pros LMI Cons LMI Potential Impacts Supports Some Processing Uses by definition. Does not support large scale production or manufacture of uses that have significant olfactory impacts as demonstrated by permitted use list. Some ventilation and filtering techniques exist. Close proximity to residential districts will consistently cause code enforcement complaints on noise emenating from exhaust fans without maximum buffering and olfactory complaints will require additional Code Enforcement staff time and new tools to determine compliance. Adjacent to other marijuana permitted uses and co-location. Almost uniformly adjacent to residential districts for proximity of homes and job creating manufacturing uses; also as a buffer from heavy industrial zones. See impacts above related to proximity of residential districts. LMI development standards can contain the same structural containment and filtering requirements as HI Air filtering and exhaust noise adjacent to Residential uses No efficient and cost effective method exists to fully eliminate impacts to immediate residential districts. Staff Conclusion: There are no specific policies nor are there specific development standards that would preclude the manufacture of recreational marijuana in the LMI district. However, at its lowest level permissible by the state (indoor, tier 1, up to 5000 square feet) the existing proposed buffer from residential uses of 1,000 feet.disqualifies most if not all LMI sites because of their proximity to residential uses; this clearly must be reconciled if the Council wishes to allow marijuana manufacturing in LMI districts. The City Attorney has recommended another first reading and reopening of the public hearing on this Ordinance on April 4th to allow testimony on the deleted retail buffer as well as the proposal to allow production in LMI districts. RECOMMENDED ACTION: Staff recommends City Council consider the attached information prior to adoption of the proposed code package. Attachment 1, Page 7 of 7 STAFF REPORT AND PROPOSED SPRINGFIELD DEVELOPMENT CODE (SDC) AMENDMENTS TO ALLOW MEDICAL AND RECREATIONAL MARIJUANA FACILITIES IN CERTAIN ZONING DISTRICTS (3/1/16 PC & 3/21/16, 4/4/16 CC) This proposed action amends the following Sections of the Springfield Development Code: 1) Subsection 3.2-200 Residential Zoning Districts; Subsection 3.2-210 Schedule of Use Categories; Subsection 3.2-300. Commercial Zoning Districts; Subsection 3.2-310 Schedule of Uses Categories; Subsection 3.2-400 Industrial Zoning Districts; 3.2-410 Schedule of Use Categories; Subsection 3.2-415 Schedule of Campus Industrial Use Categories; Subsection 3.2-600 Mixed Use Zoning Districts; Subsection 3.2-610 Schedule of Use Categories; Subsection 3.4-200 Glenwood Riverfront Mixed Use Plan District; Subsection 3.4-255 Prohibited Uses; Subsection 4.7-177 Marijuana Uses; Subsection 6.1-110 Meaning of Specific Words and Terms. These amendments will allow medical and recreational marijuana retail sales in the Community Commercial and Major Retail Commercial Zoning Districts; will allow marijuana production, processing and wholesale sales in the Light Medium, Heavy and Special Heavy Industrial Zoning Districts; will establish Subsection 4.7-177 describing specific development standards for each licensed use in each affected zoning district; and will add definitions consistent with state statutes. I. The use tables of the Springfield Development Code are proposed to be amended as follows: 3.2-300 Commercial Zoning Districts Commentary. Marijuana retail sales are proposed to be permitted in the Community Commercial (CC) and Major Retail Commercial (MRC) Zoning Districts under Special Use standards as noted below and detailed under Special Use Standards section. Marijuana retail sales are proposed to be prohibited in the Neighborhood Commercial (NC) and General Office Zoning Districts for the following reasons: 1) The NC (Neighborhood Commercial) Zoning District, while listed under “Commercial Districts”, is discussed under the Metro Plan Residential Designation where “neighborhood commercial services” are allowed as auxiliary uses. The SDC limits the NC Zoning District to not more than 3 acres in size consisting of a neighborhood market, hair salon, etc. serving the neighborhood and it is typically surrounded by residential zoning districts. The proposed separation and buffer restrictions proposed in Subsection 4.7-177 below either would be difficult to, or cannot be met. 2) The GO (General Office) Zoning District, which is considered a buffer between more intense commercial uses and residential uses does allow retail uses as a secondary use. However, retail uses are limited to no more than 10 percent of the gross floor area of the office building in which they are sited and are typically serving the primary office uses. If retail sales are to be buffered from residential districts, any separation standards would be virtually impossible to meet. For these reasons, staff proposes that marijuana retail outlets should not be permitted in the GO Zoning District. 3) After PC discussion of zoning principles and the lack of crime statistics to support safety concerns, state licensed commercial daycare businesses are not buffered in this proposal. Proposed text is underlined and highlighted in yellow. Attachment 2, Page 1 of 21 3.2-310 Schedule of Use Categories Commercial Districts Categories/Uses NC CC MRC GO Marijuana Business (Section 4.7-177) Marijuana Retail Outlet (Recreational or Medical) N S* S* N Note: S* refers to a use that is permitted subject to Special Use Standards, an asterisk denotes site plan review. ******************* Section 3.2-400 Industrial Zoning Districts Commentary. This section addresses several issues identified with production of marijuana, processing of marijuana products or wholesaling of marijuana. Staff research of other jurisdictions, state statutes and code structure leads to the proposal not to permit marijuana dispensaries or retail outlets within industrial zoning districts as a primary or secondary use. The LMI (Light Medium Industrial) and HI (Heavy Industrial Zoning) Districts do not permit retail uses as a primary use, which includes, but is not limited to: manufacturing; warehousing; and research, development and testing laboratories. While these zoning districts do allow secondary uses serving or related to the primary industrial uses, they are limited to those serving the employees of the primary industrial use. There are no secondary retail uses in these zoning districts. In addition, the SHI (Special Heavy Industrial) Zoning District is located outside of the Springfield city limits and is therefore not eligible for marijuana dispensaries, which are required to be located only within Springfield’s city limits due to the operational requirements contained in the Springfield Municipal Code Chapter 7. The Springfield Municipal Code does not apply outside of the city limits. 3.2-410 Schedule of Use Categories Industrial Districts Use Categories/Uses LMI HI SHI Marijuana Business (Special Use Standards Section 4.7-177) Production Facilities N S* S* Processing Facilities S* S* N Wholesale Facilities S* S* N Marijuana Retail Outlets or Sales, as a primary or secondary use. N N N Note: S* refers to a use that is permitted subject to Special Use Standards, an asterisk denotes site plan review. Attachment 2, Page 2 of 21 3.2-415 Schedule of Campus Industrial Use Categories Commentary. While the CI (Campus Industrial) Zoning District does allow certain retail uses, these uses are also intended to be secondary to the permitted primary Campus Industrial uses. The purpose of these permitted secondary retail uses is to serve the employees of the CI Zoning District. A retail use will serve customers from all over the metropolitan area and, therefore, is not considered secondary to permitted primary uses specified in SDC Subsection 3.2-415. All other marijuana uses will not meet operational or other standards of the district. Staff proposes adding marijuana dispensaries to the CI prohibited use list: Prohibited Uses Marijuana Business N ****************** 3.4-200 Glenwood Riverfront Mixed-Use Plan District Commentary. Springfield has two sets of mixed-use zoning district. One applies to Glenwood Phase 1 only; the other to the rest of the City. This section addresses the Glenwood Riverfront Mixed-Use Plan Districts. All the zoning in Glenwood Riverfront Mixed-Use Plan District is either Employment Mixed-Use, Commercial Mixed-Use, Office Mixed-Use or Employment Mixed-Use. Any permitted primary uses in these zoning districts were limited to prevent conflicts with retail uses in downtown Springfield or other commercial areas and purposefully create a distinct business environment. Additionally, the purpose of permitted secondary retail uses in Glenwood is to serve either the residents or employees of a building, not the general public. Therefore, marijuana uses would not be allowed as a primary or secondary use in these zoning districts. 3.4-255 Prohibited Uses The following uses are similar in nature to other prohibited retail and industrial uses and shall be added to the list of prohibited uses within the Glenwood Riverfront Mixed-Use Plan District: Marijuana Business. Section 3.2-600 Mixed Use Zoning Districts Commentary. These mixed use zoning districts are distinct from Glenwood districts, and differ in permitted uses, notably residential uses are allowed under all three districts. Therefore it would be very difficult to regulate any separation between retail or any other marijuana uses and the desired residential uses. For these reasons staff recommends no marijuana uses be permitted in any mixed use district having a residential district. Attachment 2, Page 3 of 21 3.2-610 Schedule of Use Categories Districts Categories/Uses MUC MUE MUR Marijuana Business Production, Processing, Wholesaling, Retail N N N ************* Section 3.2-200 Residential Zoning Districts Commentary. Marijuana businesses are prohibited in all standard residential districts by state statute, and verified for local compliance prior to the issuance of a license. This code section is intended to be consistent with those statutes. 3.2-210 Schedule of Use Categories Districts Categories/Uses LDR SLR MDR HDR Marijuana Business (4.7-177) Production, Processing, Wholesaling, Retail N N N N II. The following new Special Use Standards are proposed to be added to Code Section 4.7 as indicated by asterisk in the permitted use tables above: Section 4.7-177 Marijuana Uses Commentary. SDC 4.7-100 currently contains “special use” standards for a number of permitted uses in various zoning districts. These “special use” standards typically involve specific standards designed to control location or mitigate impacts of a use on surrounding properties. The following proposed Subsection provides specific standards for permitting marijuana uses consistent with statutory regulations, Springfield Municipal Code and as recommended or requested for consideration by City Council or the Planning Commission. Attachment 2, Page 4 of 21 A. Marijuana Retail Outlets shall be: 1. Licensed or registered and operated in accordance with Oregon Revised Statutes and applicable Oregon Administrative Rules. 2. Licensed and regulated as specified in Chapter 7 of the Springfield Municipal Code; 3. Fully contained in a permanent building in the Community Commercial or Major Retail Commercial Zoning Districts. 4. Prohibited in any district except CC and MRC. B. Where permitted by this Code, Marijuana Retail Outlets shall not be located: Commentary. The following section is designed to be consistent with state statutes and recommendations or requests for consideration by the Planning Commission or City Council. 1. At the same address as another licensed or registered marijuana business; 2. Within 1,000 feet of the real property comprising a public or private elementary, secondary or career school attended primarily by minors (“within 1,000 feet” means a straight line measurement in a radius extending for 1,000 feet or less in every direction from any point on the boundary line of the real property comprising an existing public or private elementary, secondary or career school primarily attended by minors); Commentary. The following proposed standards are not listed in statute; the intent was to provide additional protection of children. See the Cole Memorandum1. Staff reviewed adopted or proposed medical marijuana dispensary zoning regulations from Ashland, Beaverton and Salem and found that they addressed parks, pre-schools and certified day care facilities. See Medical Marijuana Dispensaries – Other City Comparisons. Staff originally proposed 1,000 feet of separation between parks, pre-schools and certified day care centers. However, based upon input from the marijuana industry representatives 1 In a memorandum to all United States Attorneys dated August 29, 2013, James M. Cole, Deputy Attorney General distributed information on Guidance Regarding Marijuana Enforcement. The memorandum states in part: “…the Department (Justice Department) in recent years has focused its efforts on certain enforcement priorities that are particularly important to the federal government…. Preventing the distribution of marijuana to minors…. The Department’s guidance in this memorandum rests on tis expectation that states and local governments that have enacted [and/or are proposing to] laws authorizing marijuana-related conduct will implement strong and effective regulatory and enforcement systems that will address the threat those state laws could pose to public safety, public health, and other law enforcement interests….” The Oregon Legislature has adopted Medical Marijuana regulations enacted by Senate Bill 1531 (2014) which grants Springfield the authority to adopt ordinances within the city limits that impose reasonable regulations on the operation of medical marijuana facilities registered under ORS 475.314 that are consistent with the latest directive. Attachment 2, Page 5 of 21 (250 foot from parks) and the 100O foot buffer initially discussed, the 500 foot proposal represents a compromise of buffering. Pre-schools and day care facilities located in residential zoning districts will be addressed in the proposed residential setback locational standard below. 3. Within 500 feet of parks where minors congregate (“within 500 feet” means a straight line measurement in a radius extending for 500 feet or less in every direction from any point on the boundary line of the real property compromising a Marijuana Retail Outlet). Commentary. Setbacks from residential zoning districts. These standards are not listed in statute; the intent is to provide additional protection of children. This topic was initially discussed with City Council during review of regulations amending the Springfield Municipal Code to regulate licensing medical marijuana dispensaries in the City. A number of options were mentioned from 1,000 feet to 100 feet and possible distances in between. Staff reviewed adopted, or soon to be adopted, medical marijuana dispensary zoning regulations from Ashland, Beaverton and Salem regarding setbacks from residential zoning districts. Staff found Ashland proposed a 200 foot setback, Salem proposed a 100 foot setback and Beaverton has no setback. Please note that when zoning was first applied along Main Street, commercial zoning included a 200 foot-wide swath that created a number of lots that were split zoned Community Commercial and residential. The linear pattern of Main Street also would prohibit the establishment of any medical marijuana dispensaries in this area if a 1,000 or even 200 foot setback was to be imposed. Staff prepared maps showing a proposed 50 foot and 100 foot setback from residential properties along Main Street and in other areas of Springfield where Community Commercial and Major Retail Commercial zoning occurs for review of Council and Planning Commission. Based upon input from Council, the Commission and initial feedback from marijuana industry representatives, a 50 foot setback was proposed. The 50 foot option should cover all residential pre-schools and day care facilities in the residential zoning districts and ensure that no retail outlet is located immediately adjacent to a residential zone. No separate setback for commercial day care facilities is proposed. 5. Within 50 feet of any residential zoning district (“within 50 feet” means a straight line measurement in a radius extending for 50 feet, including public right-of-way, in every direction from any point of the property containing a Marijuana Retail Outlet C. Additional Marijuana Retail Outlet Regulations. A Marijuana Retail Outlet shall: 1. Not have a drive-up window; 2. Not operate from any temporary facility in any zone. 3. Provide for secure storage of exterior refuse containers. 4. Not include outdoor storage of merchandise, raw materials, or any other material associated with retail sales. 5. Preclude any use of products on site unless expressly exempted by state statute. 6. Not be allowed as a home occupation in any zone. Attachment 2, Page 6 of 21 Commentary: The following proposed Subsection provides specific standards for permitting production, processing or wholesale marijuana uses consistent with statutory regulations, Springfield Municipal Code and as recommended or requested for consideration by City Council or the Planning Commission. D. Industrial Uses Commentary: Discussions with the Planning Commission of characteristics related to production identified a need for reasonable operating and location conditions designed to mitigate olfactory impacts related to outdoor and indoor grow operations. The state defines two tiers of canopy sizes for indoor and outdoor grows under Production licenses: Indoor Production Outdoor Production Tier 1- Up to 5,000 square feet Tier 1- up to 20,000 square feet Tier II- 5001-10,000 square feet Tier II- 20,001-40,000 square feet Considering the potential olfactory impacts related to both indoor and outdoor production and other site design characteristics required for site plan and MDS approval the following special standards are proposed by staff for production within the Heavy Industrial District: Production Facilities 1. Indoor Production Facilities licensed by the State of Oregon as a Tier 1 operation shall be located within a permanent structure on a lot no smaller than 1 acre in size, shall not be located within 500 feet of any zoning district allowing residential use, and shall provide a controlled exhaust system with filters designed to significantly reduce or eliminate odors at the property line. 2. Indoor Production Facilities licensed by the State of Oregon as a Tier II operation shall be located within a permanent structure on a lot no smaller than 5 acres in size, shall not be located within 1000 feet of any zoning district allowing residential use, and shall provide a controlled exhaust system with filters designed to significantly reduce or eliminate odors at the property line. 3. Outdoor Production Facilities licensed by the State of Oregon as a Tier I operation shall be located on a lot no smaller than 5 acres in size, shall not be located within 1000 feet of any zoning district allowing residential use, and shall be screened or secured in accordance with state statutes and this code for outdoor storage. Any structure on site used for production purposes shall provide a controlled exhaust system with filters designed to significantly reduce or eliminate odors at the property line. 4. Outdoor Production Facilities licensed by the State of Oregon as a Tier II operation shall be located on a lot no smaller than 10 acres in size, shall not be located within 1000 feet of any zoning district allowing residential use and shall be screened or secured in accordance with state statutes and this code for outdoor storage. Any structure on site Attachment 2, Page 7 of 21 used for production purposes shall provide a controlled exhaust system with filters designed to significantly reduce or eliminate odors at the property line. Commentary: Discussions with the Planning Commission of the known characteristics related to processing identified a need for reasonable operating conditions designed to mitigate impacts related to the most intense processing operations, notably extraction with butane or other chemicals. Processing Facilities 1. Processing Facilities performing testing, including marijuana testing laboratories, processing, or manufacture of edibles or concentrates shall be located within LMI or HI Districts and be completely enclosed within a permanent structure provide with a controlled exhaust system with filters designed to significantly reduce or eliminate odors at the property line. 2. Processing Facilities processing cannabinoid extracts shall be located within HI Districts, shall be located 500 feet from any district allowing residential use and be completely enclosed within a permanent structure provide with a controlled exhaust system with filters designed to significantly reduce or eliminate odors at the property line and shall be subject to Type II Site Plan Review. 3. Licensed or registered and operated in accordance with Oregon Revised Statutes and applicable Oregon Administrative Rules. 4. Licensed and regulated as specified in Chapter 7 of the Springfield Municipal Code; 5. Located on and take access from an arterial or collector street; and Commentary: Discussions with the Planning Commission of the known characteristics related to production identified a need for reasonable operating conditions designed to mitigate olfactory impacts related to outdoor and indoor grow operations. Wholesale Facilities 1. Licensed or registered and operated in accordance with Oregon Revised Statutes and applicable Oregon Administrative Rules. 2. Licensed and regulated as specified in Chapter 7 of the Springfield Municipal Code. 3. Located on and take access from an arterial or collector street. Attachment 2, Page 8 of 21 4. Within 50 feet of any residential zoning district (“within 50 feet” means a straight line measurement in a radius extending for 50 feet, including public right-of-way, in every direction from any point of the property containing a Marijuana Retail Outlet. 5. No retail sales shall be permitted from any wholesale marijuana distribution facility. 6. No outdoor storage of any marijuana items shall occur at a wholesale marijuana distribution facility. Commentary. The intent of the Subsection below is to not penalize existing marijuana dispensaries that have been: 1) approved prior to these proposed amendments; or 2) if a school, park or another protected use locates within a proposed locational standard area after a marijuana business has been approved under these proposed regulations. E. The siting of a future school, daycare or park use that affects a licensed marijuana business existing at the time of the siting, shall not make the existing marijuana business in violation of the locational standards specified in this Code, nor shall it be grounds to refuse to renew a license. F. In the event that a licensed or registered marijuana business is existing on [INSERT EFFECTIVE DATE OF ORDINANCE HERE], that existing use is allowed to continue as approved. In the event a marijuana business is unoccupied, discontinued or unlicensed for 6 months or more after the above date, it shall be subject to the non-conforming use standards of Section 5.8-100 of this code. Commentary. In addition to meeting the proposed locational standards, establishment of marijuana businesses will require the following applicable planning review process. All marijuana businesses are required to be located on properties annexed to the City of Springfield to allow enforcement and licensing as prescribed by the Springfield Municipal Code, and all businesses permitted under this code are considered urban uses and are not permitted in the UF/10 Overlay District. G. Planning Review. 1. When the proposed marijuana business is a change of use in an existing building, Minimum Development Standards (MDS) as specified in Section 5.15-100 will apply. 2. When the proposed marijuana business is to be located in a new building, Site Plan Review standards as specified in Section 5.17-100 will apply. 3. MDS or Site Plan Review approval by the Director will require, in addition to any other conditions of approval, a copy of the state license or registration and a copy of the City of Springfield marijuana business license pursuant to Chapter 7 of the Springfield Municipal Code. These documents shall be required prior to occupancy. 4. All marijuana businesses allowed under this code shall occur on properties inside city limits. Attachment 2, Page 9 of 21 Commentary. The statutory definitions of medical and recreational uses consistent with Chapter 7 of the Springfield Municipal Code will be inserted prior to public review. Section 6.1-110 Meaning of Specific Words and Terms Cannabinoid means any of the chemical compounds that are the active constituents of marijuana. Cannabinoid concentrate means a substance obtained by separating cannabinoids from marijuana by: (a) A mechanical extraction process; or (b) A chemical extraction process using a nonhydrocarbon-based or other solvent, such as water, vegetable glycerin, vegetable oils, animal fats, isopropyl alcohol or ethanol. Cannabinoid edible means food or potable liquid into which a cannabinoid concentrate, cannabinoid extract or dried marijuana leaves or flowers have been incorporated. Cannabinoid extract means a substance obtained by separating cannabinoids from marijuana by: (a) A chemical extraction process using a hydrocarbon-based solvent, such as butane, hexane or propane; (b) A chemical extraction process using the hydrocarbon-based solvent carbon dioxide, if the process uses heat or pressure; or (c) Any other process identified by the commission, in consultation with the authority, by rule. Cannabinoid product means a cannabinoid edible and any other product intended for human consumption or use, including a product intended to be applied to the skin or hair that contains cannabinoids or dried marijuana leaves or flowers. Cultivation or cultivate means: all phases of growth of marijuana from seed to harvest. Marijuana means the plant Cannabis family Cannabaceae, any part of the plant of the Cannabis family Cannabaceae and the seeds of the plant Cannabis family Cannabaceae. “Marijuana” does not include industrial hemp, as defined in ORS 571.300. Marijuana business means any person or entity appropriately licensed by the Oregon Health Authority or the Oregon Liquor Control Commission that sells, produces, cultivates, grows, wholesales, processes, researches, develops or tests medical marijuana or recreational adult use marijuana within the City of Springfield. Marijuana grow sites means a specific location registered by the Oregon Health Authority and used by the grower to produce marijuana for medical use by a specific patient. Marijuana items means marijuana, cannabinoid products, cannabinoid concentrates and cannabinoid extracts. Marijuana processing means the preparing, compounding, testing or conversion of marijuana into cannabinoid products, cannabinoid concentrates, and cannabinoid extracts for medical or recreational purposes. Attachment 2, Page 10 of 21 Marijuana production means the manufacture, planting, cultivation, growing, or harvesting of marijuana as licensed by the Oregon Liquor Control Commission or Oregon Health Authority. Marijuana retailer means a person or entity licensed by the Oregon Liquor Control Commission or Oregon Health Authority to sell marijuana items to a consumer in this state. Marijuana Retail Outlet means a business location that sells marijuana items to a consumer or patient. Marijuana testing laboratory means a laboratory that tests marijuana items for producer, processor, wholesaler or retail outlets. Marijuana wholesaler means a person or entity that purchases marijuana items in this state for resale to a person other than a consumer. Medical marijuana dispensary means a medical marijuana facility or entity registered with the Oregon Health Authority under ORS 475.300. Recreational marijuana means any marijuana intended for recreational use which meets all requirements for recreational marijuana contained in this chapter, Oregon state law, and any other applicable law. School means a building where individuals gather to receive educational instruction, either public or private, except as otherwise specifically defined in this code. School does not include a child care facility as defined in this Chapter. NOTE: This package of specific code amendment language is supported by the accompanying Staff Report and Findings document containing findings and conclusions in compliance with the standards of the Springfield Development Code for proposed amendments. TYP414-0003 Springfield Development Code Attachment 2, Page 11 of 21 Amendment Staff Report and Findings Procedural Findings Finding: This Development Code Amendment was initiated by the Director in accordance with SDC 5.6-105A. Finding: Timely and sufficient notice of the public hearings was provided pursuant to SDC: • Notice of the proposed amendments was provided to the Department of Land Conservation and Development (DLCD) on February 12, 2016. • The City of Springfield published a notice of the Planning Commission and City Council public hearings for the proposed Development Code text amendments in the Register Guard Newspaper on February 16, 2016. • The City of Springfield sent additional notice to known existing marijuana business owners and affected parties that have participated or requested notice on February 19, 2016. Finding: The Planning Commission held work sessions on December 15, 2015; December 22, 2015; and January 20, 2016 and a public hearing on March 1, 2016 and recommended approval of the proposed amendments to the Springfield City Council. Finding: The City Council will hold a public hearing and first reading of the ordinance on March 21, 2016. On Monday, April 4, 2016, the Council will consider a second reading and emergency adoption of the amendments. Précis of the Proposal These proposed amendments to the Springfield Development Code are intended to provide regulatory control of the production, processing, wholesaling and retailing of recreational marijuana as these uses and activities are undertaken in compliance with the rules of the Oregon Liquor Control Commission as promulgated in Oregon Administrative Rule 845, Division 25 and in Chapter 1, Oregon Laws 2015, and medical marijuana as these uses and activities are undertaken in compliance with the rules of the Oregon Health Authority as promulgated in Oregon Administrative Rule 333, Division 8 and in Chapter 614, Oregon Laws 2015. This proposed action amends the following Sections of the Springfield Development Code: 1) Subsection 3.2-200 Residential Zoning Districts; Subsection 3.2-210 Schedule of Use Categories; Subsection 3.2-300. Commercial Zoning Districts; Subsection 3.2-310 Schedule of Uses Categories; Subsection 3.2-400 Industrial Zoning Districts; 3.2-410 Schedule of Use Categories; Subsection 3.2-415 Schedule of Campus Industrial Use Categories; Subsection 3.2-600 Mixed Use Zoning Districts; Subsection 3.2-610 Schedule of Use Categories; Subsection 3.4-200 Glenwood Riverfront Mixed Use Plan District; Subsection 3.4-255 Prohibited Uses; Subsection 4.7-177 Marijuana Uses; Subsection 6.1-110 Meaning of Specific Words and Terms. These amendments will allow medical and recreational marijuana retail sales in the Community Commercial and Major Retail Commercial Zoning Districts; will allow marijuana production, processing and wholesale sales in the Light Medium, Heavy, and Special Attachment 2, Page 12 of 21 Heavy Industrial Zoning Districts; will establish Subsection 4.7-177 describing specific development standards for each licensed use in each affected zoning district; and will add definitions consistent with state statutes. Criteria of Approval SDC 5.6—115 A. In reaching a decision on the adoption or amendment of refinement plans and this Code’s text, the City Council shall adopt findings that demonstrate conformance to the following: 1. The Metro Plan; 2. Applicable State statutes; and 3. Applicable State-wide Planning Goals and Administrative Rules. 1. The Metro Plan The Metro Plan does not contain policies that go to the matter of this proposal per se; that is, in contemplation of the myriad of land uses and collateral impacts of those uses, the Metro Plan does not precisely envision a specific activity or set aside land or infrastructure as a safeguard against an unknown and unpredictable future. The Metro Plan assumes an effective relationship between traditional implementation tools, i.e. zoning, development regulations, annexation, etc. and the promulgation of new laws and new rules, or decisions of the courts in the normal occurrence of legal adjudication of disputes or interpretations of the law. It is often the case that state legislation is best implemented at the local level by amendments, when called for, to the comprehensive plan or development regulations even when those documents provide no indication that this legislation was expected or is derived from actions of the Department of Land Conservation and Development or the Land Conservation and Development Commission. In the present circumstances the action to amend the Development Code is a response to the results of a statewide vote on the question of legalizing marijuana for recreational purposes. This is neither a deliberate action to address a land use deficiency, nor is it the typical process that is employed to promote or enact changes in the state’s land use program. The principle objective was/is the legalization of marijuana for personal consumption; the methodology to enable this objective is only coincidentally a planning, land use, or development consideration and therefore subject to this obligation of plan consistency. In a general, fundamental construct, the Metro Plan provides guidance for all or most all matters of an urban nature. As a subordinate element of the Metro Plan, the Development Code provides the structure and quantitative measures by which the actual use of land is regulated. In this case of immediate interest, that means implementing Ballot Measure 91’s interpretative legislation contained in SB 3400. SB3400 regulates certain aspects of the production, processing, wholesaling and retailing of recreational marijuana, primarily via licensing authorized by the Oregon Liquor Control Commission and as found in OAR 845-25. The Metro Plan requires new land use regulations, clearly a component of SB3400, to be consistent with the policies of the Metro Plan, and that any new regulations that are inconsistent with the Metro Plan either not be adopted or require amendment of the Metro Plan to achieve consistency Attachment 2, Page 13 of 21 between the code and the plan. The Springfield Development Code is premised upon an ongoing relationship of consistency with the Metro Plan. Chapter 1 of the SDC contains a synopsis explaining the relationship of the Code to the Statewide Planning Goals and the Metro Plan; Chapter 2 of the SDC contains general provisions including the following purpose statement: “The regulations contained in this Code are intended to ensure that development is: Sited on property zoned in accordance with the applicable Metro Plan diagram and/or applicable Refinement Plan diagram.” The amendments included with this proposal will be based on the appropriate zoning for each new use. This question of appropriateness is answered by application of the purpose and intent of individual zoning districts using the most fundamental, traditional zoning methodology of separating incompatible uses and co-mingling compatible and similar uses. For example, these amendments propose to limit retail sales of recreational marijuana to retail zoning districts; to limit production and processing of marijuana to industrial districts; establish setbacks or separation from residential uses (in many cases as specified by statute); require mechanical collection and dispersal of odors generated by marijuana undergoing these various processes and actions; and, prohibit some or all of these activities in most residential districts and anywhere outside the city limits. The use of the Development Code to regulate time, place, and intensity of uses is consistent with the original and continuing purpose and intent of zoning and development regulations, both of which are fundamental to implementing Plan policy and providing a consistent structure within which it is possible to affix the ongoing objective of Plan compliance, notwithstanding the specific nature of the use or its relationship with each of the applicable statewide land use goals. Finding: This broader understanding of planning policy and implementation techniques is acknowledged in Chapter I General Findings, page I-8: “The development and implementation of planning policies have social and economic impacts;” Finding: The relationship between the Metro Plan and other plans, policies and reports is described in Chapter I, page I-6: “The Metro Plan is the basic guiding land use policy document, but it is not the only such document. As indicated in the Purpose section, above, the Metro Plan is a framework plan, and it is important that it be supplemented by more detailed refinement plans, programs, and policies;” Finding: The Metro Plan anticipates that application of the goals, objectives and policies will not always occur in a predictable way nor will events unfold in a preferred sequence; in these circumstances each governing body will exercise its authority and discretion in selecting the proper tools and applicable policies in pursuit of maintaining Metro Plan compliance as described under “Use of the Metro Plan” in Chapter I, page I-4: “The revised goals, objectives, and policies contained in this Metro Plan are not presented in any particular order of importance. The respective jurisdictions recognize that there are apparent conflicts and inconsistencies between and among some goals and policies. When making decisions based on the Metro Plan, not all of the goals and polices can be met to the same degree in every instance. Use of the Metro Plan requires a balancing of its various components on a case-by- case basis, as well as a selection of those goals, objectives, and policies most pertinent to the issue at hand.” Finding: The text found under the Purpose section, page I-1, is thorough in its description of the planning process; how the various policies of the Plan establish the basis for most local land use decisions; how the public is included in these decisions; the need for coordination among the governments and service agencies; and the advisability of using more precise planning Attachment 2, Page 14 of 21 studies to assist with the application of general policy language at the local level: “Guides all governments and agencies in the metropolitan area in developing and implementing their own activities which relate to the public planning process; Establishes the policy basis for a general, coordinated, long-range approach among affected agencies for the provision of the facilities and services needed in the metropolitan area; Provides the public with general guidelines for individual planning decisions. Reference to supplemental planning documents of a more localized scope, including neighborhood refinement plans, is advisable when applying the Metro Plan to specific parcels of land or individual tax lots; Provides continuity in the planning process over an extended period of time; Establishes a means for consistent and coordinated planning decisions by all public agencies and across jurisdictional lines;” Finding: Fundamental Principle #5, page II-A-1, Chapter II states: “The zoning process shall be monitored and adjusted to meet current urban land use demands through the planning period for all land use categories.” Finding: The “goals” established in the Metro plan express the desires of the residents of Springfield. The “goals” are generally carried out through “policies,” which are statements of public policy. Finding: The goals and policies of the Metro Plan do not regulate legal business activities at the granular level. The addition of permitted uses and development standards in the Springfield Development Code in response to state statutes is a standard function of the adopted implementing ordinance at a structural level and does not materially affect any existing Commercial, Industrial or Economic elements of the Metro Plan. Conclusion: The above recitation and citations from the Metro Plan generally speak to the relationship between plan policies and support documents such as zoning or development regulation. This relationship exists regardless of the specific subject of this attraction or its place of origin; this includes the results of a popular vote legalizing a leisure activity, but with specific strings attached. In this regard, the foregoing demonstrates that the proposed code amendments are in conformance with the applicable policies of the Metro Plan. 2. Applicable State Statutes Marijuana Statutes Finding: Oregon voters approved Ballot Measure 67, the Oregon Medical Marijuana Act, in November 1998. The Oregon legislature has amended the Oregon Medical Marijuana Act and the Act authorizes local government to adopt reasonable regulations related to the hours of operation, location and manner in which medical marijuana dispensaries are regulated. Cities have home rule authority to adopt regulations that are not unconstitutional or preempted by federal or state law. Finding: Oregon voters approved Ballot Measure 91 in November 2014, legalizing the personal use and possession of adult recreational marijuana on July 1, 2015, with certain limitations, including restrictions on use in public, no growing in public view, a restriction on minors attempting to buy or entering licensed premises, prohibiting the sale or use by persons under Attachment 2, Page 15 of 21 21, and imposing licensing and other requirements on marijuana cultivation, processing and dispensing facilities. The measure, as amended by the Oregon State Legislature in 2015 (HB 3400 A, Section 33), authorizes reasonable conditions on the manner in which licensed retailers, processors, producers, wholesalers may sell marijuana; reasonable limitations on the hours during which a licensed marijuana facility may sell marijuana items; reasonable requirements related to a public’s access to a licensed premises; reasonable distance between facilities (no more than 1000 feet); and reasonable limitations on where a licensed premises may be located. Such regulations must be consistent with the City’s comprehensive plan, development code and public health and safety laws. Finding: Senate Bill 460 allows medical marijuana retailers to sell limited amounts of adult recreational marijuana beginning October 1, 2015. This provision sunsets on December 31, 2016. Finding: These regulations are also adopted in furtherance and protection of the health, safety and welfare of the citizens of Springfield, including under the broad home rule authority of the City of Springfield municipal charter. Finding: In determining what is “reasonable,” the City has reviewed existing precedents across the state of Oregon, as well as Colorado and Washington states. Finding: The City Council, in adopting this ordinance, is concerned with fairness, neighborhood compatibility, respecting the will of the voters, protecting youth and minors, crime and nuisance issues, a cooperative and balanced approach and allowing new businesses to emerge and grow. Finding: Adverse effects of marijuana facilities to the community, addressed through reasonable time, place and manner restrictions, such as the ones adopted by this ordinance, include: 1. Exposure of minors to the use and commercial aspects of marijuana; 2. Offensive odors from marijuana cultivation, production and storage; and 3. Incompatible development in residential areas. Finding: State statutes continued to develop during the 2015 legislative session for adoption by the implementing agencies, the Oregon Health Authority (OHA) and the Oregon Liquor Control Commission (OLCC). Subsequently, the OLCC published several versions of draft rules, and then comprehensive final temporary rules. OHA has also published additional draft rules on the medical marijuana dispensary program, labeling, concentration and serving size and testing. Measure 91, HB 3400, other applicable statutes and the various rules are all available for public review. Finding: The SDC zoning rules under consideration herein are designed to establish and regulate state licensed and legal marijuana rules in accordance with all applicable state statutes. Finding: When a development application includes a proposed comprehensive plan amendment or land use district change, or both, the proposal shall be reviewed to determine Attachment 2, Page 16 of 21 whether it significantly affects a transportation facility, in accordance with Oregon Administrative Rule (OAR) 660-012-0060. Finding: The new text amends the SDC, an implementation ordinance and functional component of the Metro Plan, and is an amendment to a land use regulation as noted in OAR 660-012-0060. The proposed amendments are not site specific and do not affect the functional classification of any street. The proposed amendments will have no measurable impacts on the amount of traffic on the existing transportation system; the proposed amendments will allow uses within specific zoning districts that will not generate more individual vehicle trips, materials deliveries, or other freight purposes than would existing permitted uses within these zoning districts affected by these amendments; therefore the proposed text amendments do not cause a “significant effect” under ORS 660-012-0060. State Land Use Statutes Finding: State statutes which apply to this request include those statutes requiring compliance to Statewide Planning Goals. The statute requiring compliance is ORS 197.250. This application can be deemed in compliance by adoption of findings relating how the application conforms to each of the Statewide Goals, as outlined in the following section. Conclusion: The above recitations, citations and conclusions demonstrate that the proposed amendments are in conformance with the applicable state statutes for new marijuana uses. 3. Applicable State-wide Planning Goals and Administrative Rules. Finding: The proposed amendments are consistent with the applicable State land use law. In particular, they satisfy Goal 1: Citizen Involvement, Goal 2: Land Use Planning, and Goal 9: Economic Development. Goal 1, Citizen Involvement This Goal is satisfied through following the City’s acknowledged text amendment process that includes a Planning Commission public hearing, followed by a City Council public hearing on the proposed land use code amendments. In addition, the City has met and notified known marijuana business owners. See also the dates and substance of notices announcing public meetings to discuss these proposed amendments under the procedural requirements on page 1 of this document. Goal 2, Land Use Planning This Goal requires a land use planning process and policy framework as a basis for all decision and actions related to use of land and to assure an adequate factual base for such decisions and actions. The Goal is met because the City followed the land use planning process and policy framework established in the City’s acknowledged Comprehensive Plan (Metro Plan) and Development Code as a basis for the decisions and actions related to the new regulations regarding the use of land and to assure an adequate factual base for these decisions and actions. The proposed amendments will be adopted by the City Council after a Attachment 2, Page 17 of 21 public hearing. Multiple opportunities were provided for review and comment by citizens and affected governmental units during the preparation of this ordinance. Goal 2 specifically states that minor plan changes such as the marijuana business regulations, should be based on special studies or other information which will serve as the factual basis to support the change. The public need and justification for the particular change should be established. The City rules proposed reflect the input of knowledgeable members of the industry, marijuana law, the Willamalane Parks and Recreation District, and the community at large. Staff and Planning Commission studied several maps with buffers around various uses including schools, childcare facilities, parks and also between marijuana facilities. The proposed amendments include buffers around schools and residential districts in order to balance a strong and heartfelt desire to balance protection of children from drug use while still allowing marijuana uses to locate in the City and to serve legitimate medical needs and also to allow marijuana retail to develop their legal businesses for adults. Goal 3 – Agricultural Land All land in the City’s urban transition area carries City, urban zoning. An exception to this goal was taken in 1982 when the comprehensive plan was acknowledged. Goal 3 does not apply to land within the jurisdiction of the City of Springfield. Goal 4 – Forest Land All land in the City’s urban transition area carries City zoning. An exception to this goal was taken in 1982 when the comprehensive plan was acknowledged. Goal 5 – Open Spaces, Scenic and Historic Areas, and Natural Resources The proposed amendments do not provide an alternative approach to development review for these activities. These proposed new uses will be subject to the same rules and standards regarding development within or adjacent to inventoried Goal 5 resources that apply to all existing permitted uses. No change to the City’s Goal 5 inventory or Goal 5 protection measures is proposed. The City’s long standing acknowledgment of compliance with Goal 5 is unaffected by these proposed amendments. Goal 6 – Air, Water and Land Resources Quality The addition of these new uses in the use lists in the CC, MRC, LMI, HI and SHI zoning district has no effect on the City’s long standing acknowledgment of compliance with Goal 6. Goal 7 – Areas Subject to Natural Disasters and Hazards The addition of these new uses as permitted uses within the city limits does not relieve the developer from compliance with the city’s development review standards as they are applied within areas designated for consideration under Goal 7, nor are any of these uses more susceptible to the potential effects of these naturally occurring phenomena than are existing uses permitted within these areas, therefore the City’s long standing acknowledgment of compliance with Goal 7 is maintained. Goal 8 – Recreational Needs Attachment 2, Page 18 of 21 The Willamalane Park and Recreation Plan constitutes the City’s efforts and commitments to compliance with Goal 8. Among other elements of the park plan is a map showing all existing parks, both improved and undeveloped, in Willamalane’s inventory. Most of these parks are located within residential plan designations, but several of them, Willamalane Park for instance, are near or are adjacent to commercial or industrial designations. This is of interest because one of the components of the proposed Code amendments recommends two commercial zones (CC, MRC) and three industrial zones (LMI, HI, SHI) as suitable for licensed activities, while at the same time recommending a minimum separation of 500 feet between any of the licensed activities and any park. The statute has no such standard for separation from parks, but it does require 1,000 feet of separation between all licensed activities and all K-12 public and private schools; this separation is included in the proposed amendments. These proposed Code amendments do not influence the ability of Willamalane to achieve its long range plan for the provision of park and recreation sites because the separation limitation is imposed on licensed sites, not on parks, therefore the Park District can make improvements to undeveloped parks, and could acquire land for new park development regardless of the location of any existing licensed activity therefore the City’s long standing acknowledgment of compliance with Goal 8 is maintained. Goal 9, Economic Development This Goal is implemented through Oregon Administrative Rule (OAR) Division 9 which is intended to ensure that each jurisdiction maintain an adequate land supply for economic development and employment growth. The proposed amendments establish regulations that are consistent with addressing these same concerns (distance from residential uses; mitigation of obnoxious odors at the property line) that existing uses must satisfy; such an approach reasonably accommodates existing and new marijuana businesses, allowing them to emerge and grow, thereby diversifying the local economy. Additionally, the language of the statute makes it clear that the state’s interest is in maintaining an adequate supply of product without artificially influencing demand or supply in such a way as to encourage the incursion of the black market. Staff evaluated the effect of required separation distances, location of commercial and industrial sites, and sites meeting minimum size requirements for production licensing; there were a sufficient number of properties satisfying these standards to preclude the artificial or unsought effect of limiting the supply of sites; therefore the City’s long standing acknowledgement of compliance with Goal 9 is maintained. Goal 10 – Housing The proposed amendments prohibit any of these licensed activities in residential zoning districts; require a minimum separation of 50 feet from retail and wholesale uses; and 500 or 1,000 feet from production (grow) or processing. These proposed amendments will not reduce residential inventories as these uses are not allowed in residential zones; will not impact residential inventories as manufacturing or processing activities must be 500 or 1,000 feet from the nearest property that allows residential use; therefore the City’s long standing acknowledgment of compliance with Goal 10 is maintained. Goal 11 – Public Facilities and Services The proposed amendments do not result in the need to adjust or amend existing policies or projects included in the City’s adopted Public Facilities and Services Plan through introduction of uses that will generate more demand than existing, permitted uses in these same zoning districts proposed for these licensed activities; therefore the City’s long standing Attachment 2, Page 19 of 21 acknowledgment of compliance with Goal 11 is maintained. Goal 12 – Transportation Finding: When a development application includes a proposed comprehensive plan amendment or land use district change, or both, the proposal shall be reviewed to determine whether it significantly affects a transportation facility, in accordance with Oregon Administrative Rule (OAR) 660-012-0060. Finding: The new text amends the SDC, an implementation ordinance and functional component of the Metro Plan, and is an amendment to a land use regulation as noted in OAR 660-012-0060. The proposed amendments are not site specific and therefore do not affect the functional classification of any street. The proposed amendments will have no measurable impacts on the amount of traffic on the existing transportation system; the proposed amendments will allow uses within specific zoning districts that will not generate more individual vehicle trips, materials deliveries, or other freight purposes than would existing permitted uses within these zoning therefore the proposed text amendments do not cause a “significant effect” under ORS 660-012-0060. Section 660-012-0060 of the Transportation Planning Rules requires evaluation of a comprehensive plan or land use regulation amendment to determine if the amendment significantly affects a transportation facility. The proposed SDC amendment does not: change the functional classification of an existing or planned transportation facility; change standards implementing a functional classification system; allow types of levels of use which would result in levels of travel or access which are inconsistent with the functional classification of a transportation facility; or reduce the level of service of a facility below the minimum acceptable level identified in the Metropolitan Area Transportation Plan (TransPlan). The proposed amendment will not affect a transportation facility and will not affect compliance with policies or projects contained in TransPlan, a functional refinement to the Metro Plan, acknowledged as complying with the requirements of Goal 12; therefore the City’s long standing acknowledgment of compliance with Goal 12 is maintained. Goal 13 – Energy Conservation The proposed amendments do not require the provision of any form of energy, or at higher levels, than current, existing uses demand; these proposed amendments do not enable urban uses to consume or dispense any form of energy in excess of the demands and discharge of current, existing uses; therefore the City’s long standing acknowledgment of compliance with Goal 13 is maintained. Goal 14 – Urbanization This goal is concerned with the management of land within the urban growth boundary so that future growth occurs in a compact form, without leap-frogging or reflecting a pattern of sprawl, and that high quality farm and forest land is protected for those activities. These proposed amendments do not encourage sprawl or lower than targeted densities, or uncoordinated development. All of the new uses proposed in these amendments are equal to existing uses in terms of land needs, utilities, infrastructure; they are no more likely to encourage scattered development than existing permitted uses, and they are no more likely to deplete commercial and industrial inventories than any of the existing, permitted uses. The management of the Attachment 2, Page 20 of 21 City’s land use inventories is unaffected by these proposed amendments therefore the City’s long standing acknowledgment of compliance with Goal 14 is maintained. Goal 15 – Willamette River Greenway The City’s obligation and requirements to protect and enhance the Willamette River Greenway is unaffected by these proposed amendments; all residential zones within the Greenway is unchanged by this proposal inasmuch as these uses are prohibited in residential zones; the Glenwood Riverfront is zoned Mixed Use, either residential, commercial, or employment, and in all cases none of the proposed use additions are permitted in mixed use zones; therefore the City’s long standing acknowledgment of compliance with Goal 15 is maintained. Goals 16 through 19 – Estuarine Resources, Coastal Shorelands, Beaches and Dunes, and Ocean Resources There are no coastal, ocean, estuarine, or beach and dune resources within the City’s jurisdiction. These goals do not apply in Springfield. Conclusion and Recommendation The City of Springfield recognizes the importance of a diverse economy that supports a mix of uses. The proposed amendments address compatibility concerns raised by members of the public; however, they are not overly regulatory and therefore allow new businesses to emerge and grow, thereby diversifying the local economy. The proposed regulations provide clear standards and specify under what circumstances these licensed activities will be allowed. Such specificity is useful to all parties interested in these activities, including elected and appointed officials, City staff and the general public. The preceding findings demonstrate that the proposed amendments are consistent with the criteria of Section 5 of the Springfield Development Code, the Metro Plan, applicable statewide planning goals, and applicable administrative rules. Staff recommends the Planning Commission forward a motion to the City Council recommending adoption of these Code amendments. Attachment 2, Page 21 of 21 From: Casey Houlihan [mailto:casey@oregoncannabisretailers.com] Sent: Friday, March 25, 2016 7:39 AM To: VANGORDON Sean (Springfield Councilor); WYLIE Hillary (Springfield Councilor); MOORE Sheri (Springfield Councilor); RALSTON Dave (Springfield Councilor); WOODROW Marilee (Springfield Councilor); PISHIONERI Joe (Springfield Councilor); Springfield Mayor Cc: DONOVAN James Subject: Existing 1000ft Buffer Between Retail Cannabis Businesses in Springfield Mayor Lundberg and Members of the Springfield City Council, My name is Casey Houlihan and I am Executive Director of the Oregon Retailers of Cannabis Association. We are a non-profit trade association of retail cannabis businesses located across the state, including many within the city of Springfield. I wanted to reach out to you today because of the conversation that occurred at this past Monday night's city council meeting on the topic of the 1000ft buffer between retail cannabis stores, and what the impact would be if that buffer were removed as the OLCC begins licensing retail stores later in the year - not just OHA-licensed medical dispensaries, as is presently the policy. The conversation indicated that many of you supported removing the proposed 1000ft buffer between any types of cannabis retailer, and allowing the market to determine the outcome as you would for any other legal industry. We deeply appreciate and applaud the Council's efforts to cultivate a business-friendly atmosphere in Springfield [particularly members of the council that have expressed objections to legalization, yet admirably choose to respect the will of the voters] as well as your consistency and your fairness on this issue. Our association is generally inclined to agree with and support the Council's free market approach that was discussed in the context of removing the 1000ft buffer between all types of cannabis retailers. However, the circumstances around this issue are quite unique and there is very little about the current state of the cannabis economy to which free market principals directly apply. Oregon remains one of only four states with a regulatory system for the legal, regulated sale of cannabis. Further [since Washington's and Colorado's industries have somewhat matured, and Oregon remains the most nascent], we are the prime target for monied, out of state businesses and individuals that are looking to cash in on this 'green rush' at the expense of local business owners. This impact can be documented in the states that went before us. In Colorado, hundreds of locally owned medical marijuana dispensaries were forced to close in the wake of new businesses - in many cases with budgets to undercut their competition as long as necessary - that managed to open in close proximity. As a preliminary defense against this wave of new businesses sprouting up in every available commercial space in town, the city of Portland passed a local ordinance to prevent the clustering of marijuana stores or the saturation of the market. Bend has adopted similar regulations, and we are discussing a similar proposal with members of the Eugene City Council. The common wisdom was that failing to enact such an ordinance would result in the number of cannabis retailers in a city doubling virtually overnight, maybe even more. The tremendous amount of national and international interest in investing in the cannabis industry is applying a disproportionate amount of pressure on the economic potential of the opportunities accompanying legalization in the few states where one can do so. People are eager to explore any technically viable investment in the field, regardless of their success or long-term viability. Already we have seen cannabis retailers in the city close due to lack of business and change hands several times over. Chief among our concerns is that allowing new retail locations to open up within the city - when there's a virtually endless line of out-of-state investors with dollar-signs in their eyes - could dilute the retail market drastically, and that it will perpetuate a boom-and-bust cycle for businesses. This would make it very difficult for these businesses to create and sustain, in any meaningful way, the living-wage jobs our communities need. By maintaining the existing 1000ft buffer between cannabis retailers, we can make sure that the profits generated by these businesses remain in our community, while taking the time to determine the region's domestic demand. Doing so would assure the employees of our local businesses - and the families they support - that their jobs won't be threatened by over-saturation of the retail market. We strongly urge you all to consider adopting the ordinance package including the 1000ft buffer between all cannabis retailers, as a means of leveling the playing field for Springfield's local business owners, and to give them a fair shot at success in this rapidly-developing industry. I want to thank you for taking the time to so closely examine this issue and for handling it so sensibly, so much like any other normal area of policy. We hope that you will take our concerns into consideration ahead of your next City Council meeting when the ordinance package is expecting to be discussed further. I am very interested in speaking with you further on this issue individually, if that is at all possible. I will be in Springfield on Monday 3/28 and Tuesday 3/29 as well as Monday 4/4 and Tuesday 4/5 and would be happy to speak with you in person if there are any times those days that you have any availability. Otherwise I am happy to set up a time to speak more about this by phone, and answer any questions that you may have about our association or it's members. Thanks again, and I look forward to hearing from you. Respectfully, Casey Casey Houlihan Executive Director Oregon Retailers of Cannabis Association phone: 541.632.4442 email: casey@oregoncannabisretailers.com web: www.oregoncannabisretailers.com Attachment 3, Page 1 of 1 Ordinance No. _________________________________ AN ORDINANCE AMENDING THE SPRINGFIELD DEVELOPMENT CODE SECTION 3.2-310 AND 3.2-410 ADDING VARIOUS RECREATONAL MARIJUANA BUSINESSES TO SPECIFIC COMMERCIAL AND INDUSTRIAL ZONING DISTRICTS; SECTION 4.7-177 ADDING DEVELOPMENT STANDARDS APPLICABLE TO RECREATIONAL MARIJUANA BUSINESSES; SECTIONS 3.2-210, 3.2-415, 3.2-610, AND 3.4-255 PROHIBITING RECREATIONAL MARIJUANA BUSINESSES; SECTION 6.1-110 ADDING APPLICABLE DEFINITIONS; ADOPTING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. The City Council of the City of Springfield finds that: WHEREAS, on November 9, 2015, the Springfield City Council directed the Springfield Planning Commission to undertake a review of recently enacted state law and administrative rules regulating the production, processing, wholesale and retail sales of recreational marijuana, and upon the conclusion of this review, prepare recommended amendments to the Springfield Development Code (SDC) and conduct an initial public hearing of these proposed amendments in preparation of City Council consideration of these proposals; and WHEREAS, the Planning Commission held work sessions on December 15, 2015; December 22, 2015; and January 20, 2016; and, WHEREAS, notice of the proposed SDC amendments was provided to the Department of Land Conservation and Development (DLCD) on February 12, 2016; and, WHEREAS, published notice of the Planning Commission and City Council public hearings for the proposed Development Code text amendments appeared in the Register Guard Newspaper on February 16, 2016; and, WHEREAS, additional notice to known existing marijuana business owners and affected parties having participated in previous City sanctioned activities on these proposed text amendments was provided on February 19, 2016; and, WHEREAS, these proposed amendments to the Springfield Development Code are intended to provide regulatory control of the production, processing, wholesaling and retailing of recreational marijuana as these uses and activities are undertaken in compliance with the rules of the Oregon Liquor Control Commission as promulgated in Oregon Administrative Rule 845, Division 25 and in Chapter 1, Oregon Laws 2015, and medical marijuana as these uses and activities are undertaken in compliance with the rules of the Oregon Health Authority as promulgated in Oregon Administrative Rule 333, Division 8 and in Chapter 614, Oregon Laws 2015; and, WHEREAS, Section 5.6-100 of the SDC sets forth procedures for the amendment of the Springfield Development Code; and, WHEREAS, the Springfield Planning Commission conducted a public hearing concerning the proposed amendments to SDC Sections 3.2-210, 3.2-310, 3.2-410, 3.2-415, 3.2-610, 3.4-255, 4.7-177 and 6.1-110 on March 1, 2016 and recommended approval of the proposed SDC amendments to the Springfield City Council. The Planning Commission recommendation to the Council is based upon the findings set forth in the Staff Report and on the evidence and testimony in the record; and, Attachment 4, Page 1 of 8 WHEREAS, the City Council conducted a first reading and public hearing concerning the proposed amendments to SDC Sections 3.2-210, 3.2-310, 3.2-410, 3.2-415, 3.2-610, 3.4-255, 4.7-177 and 6.1-110 on March 21, 2016; and, WHEREAS, after the first reading and public hearing on March 21, 2016, the City Council voted amend proposed ordinance to remove the proposed buffer between Marijuana Retail Outlets; and, WHEREAS, on April 4, 2016, the City Council conducted a first reading and public hearing on the amended ordinance concerning the proposed amendments to SDC Sections 3.2-210, 3.2-310, 3.2-410, 3.2- 415,3.2-610, 3.4-255, 4.7-177 and 6.1-110 and, WHEREAS, on April 18, 2016 the City Council conducted a second reading of the amended ordinance and is now ready to take action on this application based upon findings in support of adoption of these SDC amendments as set forth in the aforementioned Staff Report incorporated herein by as Exhibit A and the evidence and testimony already in the record as well as the evidence and testimony presented at the public hearings held regarding the adoption of this amended ordinance; and, WHEREAS, these regulations are adopted through the City of Springfield’s broad home rule authority under the Chapter II of Springfield City Charter which provides the following: Section 4. Powers of the City. The City has all powers that the constitutions, statutes and common law of the United States and of the State of Oregon now or hereafter expressly or impliedly granted or allowed the City, as fully as though this Charter specifically enumerated each of those powers. Section 5. Construction of Powers. In this Charter no specification of power is exclusive or restricts authority that the City would have if the power were not specified. The Charter shall be liberally construed, so that the City may exercise as fully as possible all powers possible for it under this Charter and under United States and Oregon law. A power of the City continues unless the grant of the power clearly indicates the contrary. NOW, THEREFORE, based on the foregoing recitals, the Common Council of the City of Springfield ordains as follows: Section 1. Springfield Development Code Sections 3.2-210, 3.2-310, 3.2-410, 3.2-415, 3.2-610, 3.4-255, 4.7-177 and 6.1-110 are amended to read as follows: 3.2-300 Commercial Zoning Districts 3.2-310 Schedule of Use Categories Commercial Districts Categories/Uses NC CC MRC GO Marijuana Business (Section 4.7-177) Marijuana Retail Outlet (Recreational or Medical) N S* S* N Section 3.2-400 Industrial Zoning Districts Attachment 4, Page 2 of 8 3.2-410 Schedule of Use Categories Industrial Districts Use Categories/Uses LMI HI SHI Marijuana Business (Special Use Standards Section 4.7-177) Production Facilities Indoor/Outdoor, Tier I-II Canopy Regulations- N S* S* Processing Facilities S* S* N Wholesale Facilities S* S* N Marijuana Retail Outlets or Sales, as a primary or secondary use. N N N 3.2-415 Schedule of Campus Industrial Use Categories Prohibited Uses Marijuana Business N 3.4-200 Glenwood Riverfront Mixed-Use Plan District 3.4-255 Prohibited Uses Marijuana Business. Section 3.2-600 Mixed Use Zoning Districts 3.2-610 Schedule of Use Categories Districts Categories/Uses MUC MUE MUR Marijuana Business Production, Processing, Wholesaling, Retail N N N Section 3.2-200 Residential Zoning Districts 3.2-210 Schedule of Use Categories Districts Categories/Uses LDR SLR MDR HDR Marijuana Business (4.7-177) Attachment 4, Page 3 of 8 Districts Categories/Uses LDR SLR MDR HDR Production, Processing, Wholesaling, Retail N N N N Section 4.7-177 Marijuana Uses A. Marijuana Retail Outlets shall be: 1. Licensed or registered and operated in accordance with Oregon Revised Statutes and applicable Oregon Administrative Rules. 2. Licensed and regulated as specified in Chapter 7 of the Springfield Municipal Code; 3. Fully contained in a permanent building in the Community Commercial or Major Retail Commercial Zoning Districts. 4. Prohibited in any district except CC and MRC. B. Where permitted by this Code, Marijuana Retail Outlets shall not be located: 1. At the same address as another licensed or registered marijuana business; 2. Within 1,000 feet of the real property comprising a public or private elementary, secondary or career school attended primarily by minors (“within 1,000 feet” means a straight line measurement in a radius extending for 1,000 feet or less in every direction from any point on the boundary line of the real property comprising an existing public or private elementary, secondary or career school primarily attended by minors); 3. Within 500 feet of parks where minors congregate (“within 500 feet” means a straight line measurement in a radius extending for 500 feet or less in every direction from any point on the boundary line of the real property compromising a l Marijuana Retail Outlet). 4. Within 50 feet of any residential zoning district (“within 50 feet” means a straight line measurement in a radius extending for 50 feet, including public right-of-way, in every direction from any point of the property containing a Marijuana Retail Outlet C. Additional Marijuana Retail Outlet Regulations. A Marijuana Retail Outlet shall: 1. Not have a drive-up window; 2. Not operate from any temporary facility in any zone. 3. Provide for secure storage of exterior refuse containers. 4. Not include outdoor storage of merchandise, raw materials, or any other material associated with retail sales. 5. Preclude any use of products on site unless expressly exempted by state statute. 6. Not be allowed as a home occupation in any zone. D. Industrial Uses Indoor Production Outdoor Production Tier 1- Up to 5,000 square feet Tier 1- up to 20,000 square feet Attachment 4, Page 4 of 8 Tier II- 5001-10,000 square feet Tier II- 20,001-40,000 square feet Production Facilities 1. Indoor Production Facilities licensed by the State of Oregon as a Tier 1 operation shall be located within a permanent structure on a lot no smaller than 1 acre in size, shall not be located within 500 feet of any zoning district allowing residential use, and shall provide a controlled exhaust system with filters designed to significantly reduce or eliminate odors at the property line. 2. Indoor Production Facilities licensed by the State of Oregon as a Tier II operation shall be located within a permanent structure on a lot no smaller than 5 acres in size, shall not be located within 1000 feet of any zoning district allowing residential use, and shall provide a controlled exhaust system with filters designed to significantly reduce or eliminate odors at the property line. 3. Outdoor Production Facilities licensed by the State of Oregon as a Tier I operation shall be located on a lot no smaller than 5 acres in size, shall not be located within 1000 feet of any zoning district allowing residential use, and shall be screened or secured in accordance with state statutes and this code for outdoor storage. Any structure on site used for production purposes shall provide a controlled exhaust system with filters designed to significantly reduce or eliminate odors at the property line. 4. Outdoor Production Facilities licensed by the State of Oregon as a Tier II operation shall be located on a lot no smaller than 10 acres in size, shall not be located within 1000 feet of any zoning district allowing residential use and shall be screened or secured in accordance with state statutes and this code for outdoor storage. Any structure on site used for production purposes shall provide a controlled exhaust system with filters designed to significantly reduce or eliminate odors at the property line. Processing Facilities 1. Processing Facilities performing testing, including marijuana testing laboratories, processing, or manufacture of edibles or concentrates shall be located within LMI or HI Districts and be completely enclosed within a permanent structure provide with a controlled exhaust system with filters designed to significantly reduce or eliminate odors at the property line. 2. Processing Facilities processing cannabinoid extracts shall be located within HI Districts, shall be located 500 feet from any district allowing residential use and be completely enclosed within a permanent structure provide with a controlled exhaust system with filters designed to significantly reduce or eliminate odors at the property line and shall be subject to Type II Site Plan Review. 3. Licensed or registered and operated in accordance with Oregon Revised Statutes and applicable Oregon Administrative Rules. 4. Licensed and regulated as specified in Chapter 7 of the Springfield Municipal Code; 5. Located on and take access from an arterial or collector street; and Attachment 4, Page 5 of 8 Wholesale Facilities 1. Licensed or registered and operated in accordance with Oregon Revised Statutes and applicable Oregon Administrative Rules. 2. Licensed and regulated as specified in Chapter 7 of the Springfield Municipal Code. 3. Located on and take access from an arterial or collector street. 4. Within 50 feet of any residential zoning district (“within 50 feet” means a straight line measurement in a radius extending for 50 feet, including public right-of-way, in every direction from any point of the property containing a Marijuana Retail Outlet. 5. No retail sales shall be permitted from any wholesale marijuana distribution facility. 6. No outdoor storage of any marijuana items shall occur at a wholesale marijuana distribution facility. E. The siting of a future school, daycare or park use that affects a licensed marijuana business existing at the time of the siting, shall not make the existing marijuana business in violation of the locational standards specified in this Code, nor shall it be grounds to refuse to renew a license. F. In the event that a licensed or registered marijuana business is existing on [INSERT EFFECTIVE DATE OF ORDINANCE HERE], that existing use is allowed to continue as approved. In the event a marijuana business is unoccupied, discontinued or unlicensed for 6 months or more after the above date, it shall be subject to the non-conforming use standards of Section 5.8-100 of this code. G. Planning Review. 1. When the proposed marijuana business is a change of use in an existing building, Minimum Development Standards (MDS) as specified in Section 5.15-100 will apply. 2. When the proposed marijuana business is to be located in a new building, Site Plan Review standards as specified in Section 5.17-100 will apply. 3. MDS or Site Plan Review approval by the Director will require, in addition to any other conditions of approval, a copy of the state license or registration and a copy of the City of Springfield marijuana business license pursuant to Chapter 7 of the Springfield Municipal Code. These documents shall be required prior to occupancy. 4. All marijuana businesses allowed under this code shall occur on properties inside city limits. Section 6.1-110 Meaning of Specific Words and Terms Cannabinoid means any of the chemical compounds that are the active constituents of marijuana. Cannabinoid concentrate means a substance obtained by separating cannabinoids from marijuana by: (a) A mechanical extraction process; or (b) A chemical extraction process using a nonhydrocarbon-based or other solvent, such as water, vegetable glycerin, vegetable oils, animal fats, isopropyl alcohol or ethanol. Attachment 4, Page 6 of 8 Cannabinoid edible means food or potable liquid into which a cannabinoid concentrate, cannabinoid extract or dried marijuana leaves or flowers have been incorporated. Cannabinoid extract means a substance obtained by separating cannabinoids from marijuana by: (a) A chemical extraction process using a hydrocarbon-based solvent, such as butane, hexane or propane; (b) A chemical extraction process using the hydrocarbon-based solvent carbon dioxide, if the process uses heat or pressure; or (c) Any other process identified by the commission, in consultation with the authority, by rule. Cannabinoid product means a cannabinoid edible and any other product intended for human consumption or use, including a product intended to be applied to the skin or hair that contains cannabinoids or dried marijuana leaves or flowers. Cultivation or cultivate means: all phases of growth of marijuana from seed to harvest. Marijuana means the plant Cannabis family Cannabaceae, any part of the plant of the Cannabis family Cannabaceae and the seeds of the plant Cannabis family Cannabaceae. “Marijuana” does not include industrial hemp, as defined in ORS 571.300. Marijuana business means any person or entity appropriately licensed by the Oregon Health Authority or the Oregon Liquor Control Commission that sells, produces, cultivates, grows, wholesales, processes, researches, develops or tests medical marijuana or recreational adult use marijuana within the City of Springfield. Marijuana grow sites means a specific location registered by the Oregon Health Authority and used by the grower to produce marijuana for medical use by a specific patient. Marijuana items means marijuana, cannabinoid products, cannabinoid concentrates and cannabinoid extracts. Marijuana processing means the preparing, compounding, testing or conversion of marijuana into cannabinoid products, cannabinoid concentrates, and cannabinoid extracts for medical or recreational purposes. Marijuana production means the manufacture, planting, cultivation, growing, or harvesting of marijuana as licensed by the Oregon Liquor Control Commission or Oregon Health Authority. Marijuana retailer means a person or entity licensed by the Oregon Liquor Control Commission or Oregon Health Authority to sell marijuana items to a consumer in this state. Marijuana Retail Outlet means a business location that sells marijuana items to a consumer or patient. Marijuana testing laboratory means a laboratory that tests marijuana items for producer, processor, wholesaler or retail outlets. Marijuana wholesaler means a person or entity that purchases marijuana items in this state for resale to a person other than a consumer. Medical marijuana dispensary means a medical marijuana facility or entity registered with the Oregon Health Authority under ORS 475.300. Recreational marijuana means any marijuana intended for recreational use which meets all requirements for recreational marijuana contained in this chapter, Oregon state law, and any other applicable law. Attachment 4, Page 7 of 8 School means a building where individuals gather to receive educational instruction, either public or private, except as otherwise specifically defined in this code. School does not include a child care facility as defined in this Chapter. Section 2: Severability Clause. If any section, subsection, sentence, clause, phrase or portion of this Ordinance is for any reason held invalid or unconstitutional by a court of competent jurisdiction, such portion shall be deemed a separate, distinct and individual provision and such holding shall not affect the validity of the remaining portions of this Ordinance. ADOPTED by the Common Council of the City of Springfield by a vote of ______ for and ______ against, this ______ day of ____________, 2016 APPROVED by the Mayor of the City of Springfield this ________ day of ____________________, 2016. ATTEST: __________________________________ Mayor __________________________________ City Recorder Attachment 4, Page 8 of 8 Attachment 5, Page 1 of 2 Attachment 5, Page 2 of 2