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07-17-23-WS
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07-17-23-WS
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Regarding solely the topic of Adult Use Cannabis (full strength products), staff also requests <br />direction on whether or not the City Council would like to consider the option of a moratorium <br />related to Adult Use Cannabis. As mentioned at the June work session, new State law regarding <br />Adult Use Cannabis provides the opportunity for cities to impose a moratorium on the sale of full <br />strength products until January 1, 2025 in order to allow further review and future discussions as <br />the new law continues to be interpreted and the Office of Cannabis Management (OCM) is still <br />taking shape. Currently, Adult Use Cannabis, while legal to possess and consume on private <br />property, does not have a formal licensing process in place by the OCM as far as retail sales go <br />and is a work in progress. Eventually, the OCM will have sample language and forms to provide <br />to cities. Again, the OCM will license retailers but cities will be required to register them and <br />conduct compliance checks. The City Attorney's Office has recommended we wait on any form <br />of registration until the OCM comes out with further guidance. <br />Since licenses cannot be issued by the OCM yet, cities, in turn, cannot register those businesses <br />wanting to sell Adult Use Cannabis products and therefore retail sales are not yet possible. That <br />said, some cities are in the process of or have already adopted moratoriums in order to make any <br />potential businesses fully aware that selling full strength products is prohibited until January 1, <br />2025. A moratorium also could allow a city ample time to work on its ordinances, creation of <br />any applications or informational forms, and determine how compliance checks will work. While <br />it's expected that the OCM will not have the full process in place until its target date of January <br />1, 2025, it is possible this could move faster than anticipated. If OCM were to have their <br />processes in place in -advance of 2025 it would allow for the sale of full strength products earlier <br />than anticipated unless a moratorium were in place. Should the Council wish to adopt a <br />moratorium, it could do so through the fully allowed date of January 1, 2025 (and end it earlier <br />than that if it so chooses) or have the moratorium last through a certain date of its choosing prior <br />to January 1, 2025. Please note that a public hearing and notification of such would be required, <br />so the process will take some time, should the Council elect to go this direction. <br />Discussion <br />Staff is looking for direction from the City Council on draft ordinance language for Lower - <br />Potency Hemp Edible Sales as well as direction on pursuing a new moratorium regarding the <br />Adult Use Cannabis (full strength) products. <br />Budget Impact <br />N/A <br />Attachments <br />Attachment A — Draft Ordinance <br />Attachment B — Zoning Map <br />Page 2 of 2 <br />
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