February 23, 2015 Agenda
KF,M
CW
ATHRYN IGLEYAYOR
ITY OF OODBURN
TAL,CW1
ERESA LONSO EONOUNCILOR ARD
LE,CWII
ISA LLSWORTHOUNCILOR ARD
CCA
RC,CWIII
ITYOUNCILGENDA
OBERT ARNEYOUNCILOR ARD
SS,CWIV
HARON CHAUBOUNCILOR ARD
FL,CWV
RANK ONERGANOUNCILOR ARD
F23,2015–7:00..
EBRUARYPM
EM,CWVI
RIC ORRISOUNCILOR ARD
CHCC–270MS
ITY ALL OUNCIL HAMBERS ONTGOMERY TREET
1.CALL TO ORDER AND FLAG SALUTE
2.ROLL CALL
3.ANNOUNCEMENTS AND APPOINTMENTS
Announcements:
None.
Appointments:
None.
4.COMMUNITY/GOVERNMENT ORGANIZATIONS
None.
5.PROCLAMATIONS/PRESENTATIONS
Proclamations:
None.
Presentations:
None.
6.COMMUNICATIONS
.
None
–
This allows the public to introduce items for Council
7.BUSINESS FROM THE PUBLIC
consideration not already scheduled on the agenda.
–Items listed on the consent agenda are considered routine
8.CONSENT AGENDA
and may be adopted by one motion. Any item may be removed for discussion
at the request of a Council member.
A.Woodburn City Council minutes of February 9, 20151
Recommended Action: Approve the minutes.
This facility is ADA accessible. If you need special accommodation, please contact the City Recorder at 503-980-
6318at least 24 hours prior to this meeting.
**Habrá intérpretes disponibles para aquéllas personas que no hablan Inglés, previo acuerdo.
Comuníquese al (503) 980-2485.**
February 23, 2015Council Agenda Page i
B.Crime Statistics through January 20153
Recommended Action:Receive the report.
9.TABLED BUSINESS
None.
10.PUBLIC HEARINGS
None.
11.WORKSHOP
A.Medical Marijuana Dispensaries:Regulations andProposed Ordinance8
Topic Introduction/Staff Report
Council Discussion
Public Comment on topic
Close Workshop
–Members of the public wishing to comment on items of general
12.GENERAL BUSINESS
business must complete and submit a speaker’s card to the City Recorder prior to
commencing this portion of the Council’sagenda. Comment time may be limited
by Mayoral prerogative.
A.Council Bill No. 2975 –An Ordinance Adopting a Medical Marijuana 15
Permit Process; Imposing Regulations on the Operation of Medical
Marijuana Facilities; and Declaring an Emergency
Recommended Action:That the Council provide policy direction on
whether it wants to adopt any additional non-land use regulations for
medical marijuana dispensaries as permitted by state law.
–
These are
13.PLANNING COMMISSION OR ADMINISTRATIVE LAND USE ACTIONS
Planning Commission or Administrative Land Use actions that may be called up
by the City Council.
None.
14.CITY ADMINISTRATOR’S REPORT
15.MAYOR AND COUNCIL REPORTS
16.ADJOURNMENT
February 23, 2015Council Agenda Page ii
COUNCIL MEETING MINUTES
FEBRUARY 9, 2015
DATECOUNCIL CHAMBERS, CITY HALL, CITY OF WOODBURN, COUNTY
0:00
OF MARION, STATE OF OREGON, FEBRUARY 9, 2015
CONVENED
The meeting convened at 7:01 p.m. with Mayor Figley presiding.
ROLL CALL
Mayor Figley Present
Councilor CarneyPresent
Councilor LonerganPresent
Councilor Schaub Present
Councilor Morris Present
Councilor Ellsworth Present
Councilor Alonso Leon Present
Staff Present:
City Administrator Derickson, City Attorney Shields, Finance Director Head,
Police Chief Russell, Economic and Development Director Hendryx, Assistant City
Administrator Row, Public Works Director Scott, Captain Garrett, Captain Alexander,
Communications Coordinator Horton, City Recorder Pierson
PRESENTATION
0:01
Police Chief Russell, Police Captain Garrett and Police Captain Alexander provided a
review of 2014 Crime and Ordinance statistics, 2014 Woodburn Police Department
accomplishments and the Departments goals and objectives for 2015.
BUSINESS FROM THE PUBLIC
1:33
Nancy Kirksey, 1049 McKinley St., announced that the Woodburn Kiwanis Mayor’s
breakfast will take place on February 24 at 7:30 a.m. at the Methodist Church. She added
that the speaker will beCatherine JH Millerand ticketscan be purchased at Piper’s, the
Woodburn Chamber, Long Bros., Yes Graphics or at www.woodburnkiwanis.org.
CONSENT AGENDA
1:36
A.
Woodburn City Council minutes of January 26, 2015,
B.
Woodburn City Council Executive Session minutes of January 26, 2015,
C.
Woodburn Library Board minutes of January 14, 2015,
D.
Crime Statistics through December 2014
Lonergan/Ellsworth
... adopt the Consent Agenda. The motion passed unanimously.
COUNCIL BILL NO. 2974 - AN ORDINANCE AMENDING THE WOODBURN
1:37
DEVELOPMENT ORDINANCE TO ESTABLISH ZONING REGULATIONS FOR
MARIJUANA DISPENSARIES AND DECLARING AN EMERGENCY
Lonergan
introduced Council Bill No. 2974. Recorder Pierson read the two readings of the
bill by title only since there were no objections from the Council. Councilor Ellsworth
asked the City Attorney if he believes the ordinance is worded correctly for what they are
Page 1 - Council Meeting Minutes, February 9, 2015
1
COUNCIL MEETING MINUTES
FEBRUARY 9, 2015
trying to accomplish and City Attorney Shields answered that he believes it is.On roll call
vote for final passage, the bill passed unanimously. Mayor Figley declared Council Bill No.
2974 duly passed.
CITY ADMINISTRATOR’S REPORT
1:44
City Administrator Derickson stated that he took a tour of Heritage Elementary School and
was impressed with the operation they have and appreciates the level of service they provide
the community. He suggested that City Councilors take the time to take the tour and see how
the school operates.
MAYOR AND COUNCIL REPORTS
1:45
Councilor Alonso Leon thanked the police officers for their thorough presentation.
Councilor Carney thanked the police officers as well and thanked Mayor Figley for
nominating him for the Urban Renewal committee.
Councilor Lonergan stated that he appreciates our police department.
Mayor Figley stated that she agrees with the City Administrator that people should take a
tour of the schools to see how they look and how they run.
Councilor Ellsworth stated that she would like to invite the Chief of Police, his staff and the
community to attend the Relay for Life KickOff Brunch which takes place from 10:00 am
to noon February 21 at the Woodburn Health Center. She added that the Relay for Life
celebration will take place at Centennial Park on July 10 and 11.
Councilor Schaub stated that she appreciates the Woodburn Police Department and that she
has also visited the schools.
Councilor Morris stated that he is concerned about how packed the schools are but added
that they are showing impressive results.
ADJOURNMENT
1:51
Lonergan/Ellsworth
...meeting be adjourned. The motion passed unanimously.
The meeting adjourned at 8:53 p.m.
APPROVED
KATHRYN FIGLEY, MAYOR
ATTEST
Heather Pierson,City Recorder
City of Woodburn, Oregon
Page 2 - Council Meeting Minutes, February 9, 2015
2
3
4
5
6
7
Agenda Item
February 23, 2015
TO:Honorable Mayor and City Council
FROM:Scott Derickson, City Administrator
N. Robert Shields, City Attorney
Scott D. Russell, Chief of Police
SUBJECT:
Policy Direction for Regulating Medical Marijuana Dispensaries
RECOMMENDATION:
That the Council provide policy direction on whether it wants to adopt any
additional non-land use regulations for medical marijuana dispensaries as
permitted by state law.
Council should be aware that this topic is specific to medical marijuana and not
recreational marijuana, which pursuant to Measure 91 will be regulated by the
Oregon Liquor Control Commission(OLCC). The distinction between these two
laws is discussed in more detail below.
BACKGROUND:
State law framework
Today there are more than 70,000 Oregon Medical Marijuana Program (the
OMMP) cardholders in Oregon. In January 2014, HB3460 became law allowing
dispensaries to providemedical marijuana to them.The law allows medical
marijuana dispensaries to be sitedunder certain restrictions in commercial and
agricultural zones throughout the state.
By statute, the Oregon Health Authority (the OHA) is tasked with managing the
OMMP, which now includes licensing, inspecting and regulating medical
marijuanadispensaries. In general, facilities may be located on commercial,
industrial, mixed useand agriculturally-zoned properties. Facilities cannot be co-
located with OMMP grow sites or use locations. Dispensaries also cannot be
located within 1,000 feet of each other or of a private or public elementary,
secondary or career school attended primarily by minors. They must follow the
Agenda Item Review:City Administrator __x____City Attorney ___x___Finance ___x__
8
Honorable Mayor and City Council
February 23, 2015
Page 2
Secretary of State’s business rules, which arerelated to safety and health, and the
dispensary owner must pass a criminal background check.
However, the law providedvery little direction to local government on how to
effectively manage community expectations for safety, security and livability with
the opening of marijuana dispensaries. In response to these concerns, the 2014
Oregon Legislature enacted SB1531 providing the legal authority forlocal
governments to regulate an OMMP dispensary’s hours of operation (“time”),
location (“place”) and operations (“manner”). So that these issues could be
further researched and resolved,SB1531specifically allowed for the imposition of
up to a 12 month locally enacted moratorium on the operation of any new
dispensaries.
Local government actions
In February 2014, pursuant to SB1531, the City Council imposed a oneyear
moratorium on the siting of any medical marijuana facilities and initiated an
amendment to the Woodburn Development Ordinance (“WDO”) to establish
appropriate zoning regulations for medical marijuana facilities. With assistance
from the Planning Commission and input from the public, these zoning
regulations have now been finalized. At its January 26, 2015 meeting, the City
Council directed staff to prepare an ordinance amending the WDO to be
considered for passage.
In the fall of 2014, the cities of Salem and Keizer (and many other Oregon cities)
enacted ordinances that not only controlled the zoning of medical marijuana
dispensaries butalso established “time, place and manner” regulations. These
cities enacted their regulations after extensive review of the law and the needs
and desires of their citizens.
Although initially the City Council took only a zoning approach to the medical
marijuana dispensary issue, staff believes that it is important that the City Council
be aware of other local government actions, especially those in Marion County.
As the third largest City in the County, the adoption of a Woodburn ordinance
that has some uniformity with the other city’s ordinances would provide anequal
playing field where dispensaries would not be encouraged, or discouraged, from
locating based upon the absenceof a local ordinance. This uniform approach
wouldalso provide an additional basis to defend against any claims brought
against the cities if their authority for the regulatory ordinance is challenged.
9
Honorable Mayor and City Council
February 23, 2015
Page 3
Using the regulatory ordinances regarding medical marijuana that are currently
in force in Salem and Keizer, staff has drafted anordinance and is prepared to
discuss it with the City Council. An emergency clause was included in the
ordinance because the moratorium imposed by the City Council on the siting of
medical marijuana facilities will expire soon. If, as a policy matter, the City Council
wants to adopt an ordinance addressing this issue itis important that this be done
immediately so that any new medical marijuana facility is subject to these local
regulations.
Workshop scheduled
At the January 26, 2015 meeting, after a discussion with staff, the City Council
scheduled a February 23, 2015 workshop concerning this topic. In a workshop
setting, the City Council will have the opportunity to determine if it desires to
include any“time, place and manner” regulations for medical marijuana
dispensaries in addition to the zoning regulations already drafted. Staff believes
now is the time to make such a determinationsince once a dispensary is open
and operating under the WDO zoning provisions, the enforcement of any new
regulations willprove extremely difficult.
DISCUSSION:
Public safety concerns
Since 1998 the OMMP has been in operation as Oregon sought to allow medical
marijuana use by patients in the most need. What began as a program intended
for around 5,000 Oregon patients (original estimates by the framers of the OMMP)
has now grown to anenterprise of over 70,000 cardholders. Further, the number
of cardholder applications is reported to be drastically rising since the passage of
Measure 91 as people are hoping to avoid some of the state and local taxes that
have been aimed at recreational marijuana.
Public safety concerns with dispensaries in other cities and states have included
the potential for (and actual occurrence of) armed robberies for drugs and
money at the dispensaries, illegal sales of drugs to non-medical users, extortion of
dispensary owners/operators by criminal organizations, etc.
Therefore, the police department has some basic public safety concerns about
dispensary hours, locations and operations. These concerns revolve around three
basic goals:
10
Honorable Mayor and City Council
February 23, 2015
Page 4
1.The protection of the public (especially children);
2.The prevention of crime and violence related to dispensary operations;
3.The exclusion of criminal drug trafficking organizations from using OMMP
dispensaries as a front for their business.
While the OHA has regulatoryauthority over the OMMP, local experience is that
the OHA has been underfunded and overtasked with administrating the OMMP
program even prior to the creationof dispensaries. It is the combined opinion of
most local law enforcement that the OHA will not be able to adequately manage
the OMMP dispensary program once it reachesits full height of operations.
Proponents will say that the OHA hasdone an excellent job of running the OMMP,
but critics will counter that the OHA has been extremely challenged in effectively
managing the OMMP and medical marijuana dispensaries.
In August 2014, the newspaper reported that the OHA had issued 158
Oregonian
dispensary licenses and 49 provisional dispensary licenses (remember this is during
the period in which the moratorium was permitted) and that the OHA had
conducted only 58 inspections on dispensaries and found at least 48 of them had
violations. Two dispensaries were closed during these inspections. A flood of new
dispensaries is expected as the moratoriums are expiring and it remains to be seen
how effective the OHA will be in regulating all of them.
Proposed regulations
Due to the currentsituation, staffbelieves local regulation is necessary to reach
the mentionedpublic safetygoals. Attached for the City Council's consideration
and to serve as a point of discussion is a draft ordinance. The draft ordinance
was created in collaboration with the City Administrator's Office, the City
Attorney's office, the Woodburn Police Department, Community Development
and the Finance Department. Ideally, localregulation should include the
following areas, which are addressed by the referenced sections of the proposed
ordinance:
Enforcement:
Requirement to follow all of the OHA rules (Sections 4 A 5 and 9 A);
Local compliance inspections to confirm the OHA rule compliance (Section
8 C);
Local denial of a new or renewal application and permit suspension or
revocation based upon reasonable criteria (Sections 4 and 5).
11
Honorable Mayor and City Council
February 23, 2015
Page 5
Operations:
Requirement to follow all of the OHA operations rules (Section 6 A);
Restricting hours of operations from 10 a.m. to 8 p.m. (Section 6 F);
No drive through or walk up access (Section 6 T);
Require the OMMP Card to be displayed to gain entry to facility (Section 6
S);
No access to minors (under 18) unless they are medical marijuana
qualifying patients under state law (Section 6 M) ;
Allowing facility access for government officials at any time (Section 8 C);
Allowing City access to business records to assure compliance with the
OHA rules and any applicable ordinance (Section 8);
Follow the OHA rules for edibles (Section 9 A).
Security:
All the OHA security requirements must be met (commercialdoor locks,
alarm, video surveillance, etc.) (Section 9 A);
Availability and daily use of a “cash drop safe” on site (Section 6 P);
Allow law enforcement access to video surveillance when officer makes
written request and asserts it is related to a criminal investigation (Section 8
B).
Public Transparency:
Facility owner must register by name with the City (Section 4).
Health:
Ventilation and filtration (Fungus Aspergillus)(Section 6 G);
Require certification that adequate measures have been taken to protect
the public and specification of what measures were taken (Section 6 H).
Criminal Background Checks:
The OHA requires that the owner must submit to a background check and
that a limited class of convictions occurring within last 5 years are
disqualifying from licensure.
Local ordinance permit disqualification should include owner and all
employees, and include any felony or drug related misdemeanor
conviction (Section 6 N).
Fees:
Permit fee should cover at a minimum initial site plan review, background
checks and site visits;
Annual fee should do full cost recovery for at least one annual site visit.
12
Honorable Mayor and City Council
February 23, 2015
Page 6
Locations:
Already addressed in the recent amendment to the Woodburn Development
Ordinance adopted by the City Council.
Status of recreational marijuana (Measure 91)
In November 2014 (at the same time local governments were in the process of
considering and enacting medical marijuana regulations) Oregon voters passed
Measure 91 allowing the use of marijuana and marijuana-infused products by
persons 21 years of age beginning July 1, 2015. The measure tasks the Oregon
Liquor Control Commission (OLCC) with developing rules and regulations for
overseeing the growth, manufacture, processing and sale of marijuana and
marijuana-infused products.
The OLCC has until January 2016 to develop rules and regulations and then begin
to accept applications forfour types of licenses:
, who will cultivate retail cannabis;
Producers
, who will buy cannabis from producers and convert it into other
Processors
marijuana products, like supercritical CO2 wax and shatter;
, who will buy marijuana and marijuana products from producers and
Retailers
processors to sell to consumers; and marijuana
, who will be licensed to purchase cannabis and related products to
Wholesalers
sell to retailers and other non-consumers.
The OLCC Board Chair has indicated that the OLCC does not anticipate issuing
any of these types of licenses until it has a complete regulatory structure and staff
in placesometime in late 2016 or 2017. Measure 91 does allow local communities
to “opt out” of allowing recreational sales but, only by local initiative process in a
statewide general election year, which would become effective the following
January 1. Therefore, the earliest “opt out” date for any community in Oregon
would be January 1, 2017 and, depending how the courts rule, any OLCC licenses
granted prior to that date could be considered vested or “grandfathered” in.
There are currently 11 bills active in theOregon Legislature related to marijuana,
and its regulationunder Measure 91 or the OMMP. The OLCC is currently in a
public comment and fact finding stage and is not yet readyto indicate policy
direction.
13
Honorable Mayor and City Council
February 23, 2015
Page 7
Finally, the OMMP and Measure 91 have very different quantity and type
possession restrictions which are outlined in an attached document (OMMP v.
Measure 91)for your information.
At this time it appears to staff that no local ordinance would have an impact on
recreational marijuana as it was adopted by the Oregon voters by the passage
of Measure 91. Furthermore, wedo not know when (or if) the Oregon Legislature
and the OLCC will finish all their work on this topicand give guidance to local
governments on how the two programs interact.
FINANCIAL IMPACT:
Staff believes that the implementation of HB3460 will have asignificant but
unknown impact on City resources. This impactis anticipated to be primarily to
the Police, Community Development, Finance and Legal Department’s budgets.
14
COUNCIL BILL NO. 2975
ORDINANCE NO. 2527
AN ORDINANCE ADOPTING A MEDICAL MARIJUANA PERMIT PROCESS; IMPOSING
REGULATIONS ON THE OPERATION OF MEDICAL MARIJUANA FACILITIES;AND
DECLARING AN EMERGENCY
Section 4 of the Woodburn City Charter provides:
WHEREAS,
Section 4. POWERS OF THE CITY.The City shall have all powers
which the constitutions, statutes, and common law of the
United States and of this state expressly or impliedly grant or
allow municipalities, as fully as though this charter specifically
enumerated each of those powers; and
the above referenced grant of power has been interpreted as
WHEREAS,
conferring all legislative power on the City of Woodburn that is reserved to Oregon
cities; and
the Oregon Legislature enacted HB3460 in 2013 (ORS 475.314)
WHEREAS,
which requires the Oregon Health Authority to develop and implement a process
to register Medical Marijuana Facilities; and
in 2014 the Oregon Legislature enacted Senate Bill 1531, which
WHEREAS,
specifically provides that an Oregon city has the power and authority to enact
and impose reasonable regulations on the operation of Medical Marijuana
Facilities; and
under Oregon law, cities may regulate the operation and
WHEREAS,
location of certain types of businesses within their jurisdiction except when such
action has been specifically preempted by state statute; and
in Marion County both the cities of Salem and Keizer have
WHEREAS,
already enacted ordinances addressing Medical Marijuana Facilities that are
similar to this Ordinance; and
the City Council believes that it is in the interest of both the public
WHEREAS,
and business owners to have Medical Marijuana Facilities subject to
approximately the same regulations in Woodburn that they are in Salem and
Keizer; and
Council Bill No. 2975
Page 1-
Ordinance No. 2527
15
in, Josephine County
City of Cave Junction v. State of Oregon
WHEREAS,
Case No. 14CV0588, an Oregon Circuit Court ruled that the City of Cave Junction,
a home rule municipality, was not preempted by HB 3460 and SB 1531 from
regulating or prohibitingMedical Marijuana Facilities; and
theWoodburn City Council wants to allow operation of Medical
WHEREAS,
Marijuana Facilities in the City in ways that protect and benefit the public health,
safety and welfare of existing and future residents and businesses; and
the City Council finds that the unique characteristics of Medical
WHEREAS,
Marijuana Facility operations and their potential impacts makes it necessary to
establish particular time, place, and manner requirements for such operations
and a separate permitting process for Medical Marijuana Facilities;
NOW,
THEREFORE,
THE CITY OF WOODBURN ORDAINS AS FOLLOWS:
Purpose. The purpose of this Ordinance is to minimize any
Section 1.
adverse public safety and public health impacts that may result from allowing
Medical Marijuana Facilities in the City by adopting particular time, place and
manner regulations as authorized under state statute and establishing a
permitting process.
Definitions.
Section 2.
A."Cash Accounting" means a cash basis system of accounting in
which theOperator of an enterprise records revenue and expenses
when they arepaid, regardless of when goods are received or
delivered.
B."City Administrator" meanstheCity AdministratoroftheCity
ofWoodburnorhis/herdesignee.
C."CompanyPrincipal"means a Person whoisanofficeror director
of alegalentityorhas a controllinginterestintheentity,through
ownershiporcontrolof10%ormoreofthestockintheentityor
10%ormoreofthetotal membershipinterest inthe entity or I0% or
more ofthe totalinvestment interest in theentity.
D.''ControlledSubstances"meanssubstancesdesignatedas
ScheduleI orScheduleIIcontrolledsubstancesintheCodeof
FederalRegulationsTitle21,ChapterII,Part1308.
Council Bill No. 2975
Page 2-
Ordinance No. 2527
16
E."Convicted"means foundguiltybyverdict orfindingenteredin
acriminalproceedingin a courtofcompetentjurisdiction.
F."DebtFinancing"meanssecuredorunsecuredloanstoprovide
fundsforuseintheMedicalMarijuanaFacilitybusiness,exceptfor
moniesowedforthereasonablecostofgoodsorservices
received.
G."FacilityorFacilities"means a MedicalMarijuanaFacilityor
Marijuana Facilities.
Medical
H."FinancialInterest" exists when a Person,the Person's immediate
family,or a legalentityto which the Person is a CompanyPrincipal
(1) receives or is entitledto receive directly or indirectly anyoftheprofits
oftheFacility; (2)rentsor leases realpropertytotheOperatorforuseby
thebusiness;(3) rentsor leases personal propertytotheOperatorfor
a commercially unreasonable rate;or(4)lendsor gives money, real
property,orpersonalpropertytotheOperatorforuse in thebusiness.
I."Marijuana" means allpartsoftheplantofthe Cannabis Moraceae,
whether growing or not,the resin extractedfromanypartoftheplant;
everycompound,manufacture,salt,derivative,mixture, or
and
preparationoftheplantorits resin, asmaybe defined byOregon
Revised Statutesorastheycurrently exist ormayfromtimetotimebe
amended. Itdoes notinclude thematurestalksoftheplant, fiber
cake made fromtheseedsoftheplant,
producedfromthestalks,oilor
anyothercompound,manufacture,salt,derivative,mixture,or predation
ofthematurestalks(excepttheresinextracted therefrom), fiber, oil,or
cake,orthe sterilized seedoftheplantwhich is incapable of
germination.
J."Medical Marijuana" means allpartsofmarijuanaplantsthatmaybe
usedtotreat or alleviate a Medical Marijuana Qualifying Patient's
debilitatingmedical condition or symptoms associatedwiththepatient's
debilitatingmedical condition.
"MedicalMarijuanaFacilityorFacilitiesmeans a Medical
K."
Marijuana
FacilitythatisregisteredbytheOregonHealth
475.300-475.346andthatsells,distributes,
AuthorityunderORS
transmits,gives,dispensesor
otherwiseprovidesMedical
Marijuanatoqualifyingpatients.
Council Bill No. 2975
Page 3-
Ordinance No. 2527
17
L."MedicalMarijuanaQualifyingPatient"means a registry
cardholder(Person who has been diagnosed by a
identification
physician as having a
debilitating medical condition) as further
defined byORS475.302(3)orthe designated primary caregiver of
the cardholder as defined byORS475.302(5).
M."Minor''meansanyPersonunder18yearsofage.
"Operator"meansthePersonwhoistheproprietorof a Facility,
N.
whetherin the capacityof Company Principal, owner, lessee, sub-
lessee,mortgagee in possession,licenseeoranyothercapacity.If
the Operatorisa corporation,thetermOperatoralsoincludes
eachandeverymemberof thecorporation's BoardofDirectors
whosedirectorshipoccursinaperiodduringwhichtheFacility isin
operation.If theOperatoris a partnershiporlimitedliability
company,thetermOperatoralsoincludeseachandevery
memberthereof whose membership occurs in a period during which
the Facility is in operation.
"Person"meansnaturalPerson,jointventure,joint stock
O.
company,
partnership, association, club, company, corporation,
business, trust,organization, oranygrouporcombination actingas
a unit,includingtheUnited States of America, the State of Oregon
andanypoliticalsubdivisionthereof,orthemanager,lessee,
agent,servant,officeroremployeeofanyof them.
P.''Premises"means alocationregisteredbytheStateofOregon
as aMedicalMarijuanaFacilityandincludesallareasatthe
locationthatareused in the business operated atthelocation,
including offices, kitchens,restrooms,storerooms,and including all
publicandprivateareas whereindividualsarepermittedto be
present.
Q."PublicProperty"meansallCityofWoodburnparks,andanyreal
propertywithaPublicZone designation under the Woodburn
Development Ordinance.
Annual Permit Required. The Operator of any Medical Marijuana
Section 3.
Facility in the City must possess a valid annual Medical Marijuana Facility permit
issued under this Ordinance and must comply with the requirements of any and
all state or local laws.
Council Bill No. 2975
Page 4-
Ordinance No. 2527
18
InitialPermitApplicationRequirements.
Section 4.
A.Application forms for Medical Marijuana Facility permitswillbe
availableattheWoodburn Finance Department. Applications for
initialandrenewalMedicalMarijuanaFacilitypermitsmustbe
submittedtothe Finance Department and mustbe signed under
penaltyofperjury.A separate permit application must be
submitted for each proposed Facility location. Theapplication
documentsmustincludeatleastthe
following:
1.The location of the proposed Facility.
2.The true names and addresses of the Persons or legal entities that
have an ownership interest in the Facility; that have loaned or
given money or real or personal property to the applicant for use
by the Facility within the preceding year; or that have leased real
property to the applicant for use by the Facility.
3.A detailed description of the type, nature and extent of the
enterprise to be conducted.
4.A detailed description of the proposed accounting and inventory
systems for the Facility.
5.Certification that the proposed Facility is registered as an Oregon
Medical Marijuana Facility pursuant to ORS 475.300-475.346.
6.Certification that the proposed Facility has met all applicable
requirements ofthe WoodburnDevelopment Ordinance.
7.Certification that all current fees and taxes owed have been paid.
8.Detailed illustrations (to scale) of all proposed signage and
locationof such signage.
9.Such other information deemed necessary by the City
Administrator toconduct any investigation or background check
(including thenames andfingerprints) of the Operator(s),
employees, volunteers,Persons with a Financial Interest, and
Persons or entities providingDebt Financing for the Facility.
Council Bill No. 2975
Page 5-
Ordinance No. 2527
19
Expiration and Renewal of Permits/Facility Permit Fees.
Section 5.
A.At the time of submission of an initial Facility permit application, the
applicant must pay a Medical Marijuana Facility permit application
andinvestigation fee as provided by this Ordinance. Noportion of
the Medical Marijuana Facility permit fee is refundable in the event
operation of the Facility is discontinued for any reason.
B.A Facility permit terminates automatically on June 30 of each year,
unlessa permit renewal application is approved.
C.A Facility permit terminates automatically if federal or state statutes,
regulations or guidelines are modified, changed, or interpreted in
such away by state or federal law enforcement officials as to prohibit
operationof the Facility under this Ordinance and the City shall not
be liable to the permit holder for termination of thepermit in this
manner.
D.A permit renewal application shall include information similar in
nature tothat provided on the permittee's initial permit application
and must besubmitted to the Finance Department no less than thirty
(30) days prior to expiration of the permit. The permittee must paya
MedicalMarijuana Facility permit renewal application and
investigation fee at the time a permit renewal application is
submitted.
E.A non-refundable application/investigation fee of $500 and a
refundable $1,500 registration fee shall be charged for a Medical
Marijuana Facility permit application or an annual Medical
Marijuana Facility permit renewal application.Theregistration fee
shall be refunded to the applicant if an application is returned to the
applicant as incomplete, if the City denies an application, or if an
applicant withdraws an application.The registration fee will not be
refunded to the applicant if the City suspends or revokes a permit for
noncompliance with any City Ordinance or regulations, or violations
of any state laws.
F.In addition to the application/investigation fee and the registration
fee, an appeal fee of $750 shall be charged for all appeals under this
Ordinance.
Council Bill No. 2975
Page 6-
Ordinance No. 2527
20
Permit Conditions.Any Medical Marijuana Facility must comply
Section 6.
with the following requirements, in addition to any other state or local
requirements:
A.The Facility must continue to be registered in good standing as an
e law.
Oregon Medical Marijuana Facility pursuant to stat
B.The Facility must provide written notification to the City
Administrator of any sanctions imposed by the Oregon Health
Authorityon the Operator and/orrestrictions imposed by the
Oregon Health Authority on the operation of the Facility. The
required written notification shall be provided to the City
Administrator within ten (10) calendar days after the Oregon
Health Authority has imposed the sanction or restriction.
TheFacilitymustmeetapplicablelawsandregulations,including,
C.
butnotlimitedto zoning compliance, buildingandfirecodes,
includingthe paymentofallfines,fees,and taxes owingtothe
City.
D.TheFacilitymustnotmanufactureorproduceanyextracts,oils,
resinsorsimilarderivativesofMarijuanaon-siteandmustnotuse
openflamesor gasesinthepreparationofanyproducts.
E.Marijuanaandtobaccoproducts must notbesmoked,
ingested orotherwiseconsumedonthePremisesoftheFacility.
F.OperatinghoursforretailsalestoMedicalMarijuanaQualifying
Patientsmustbe no earlier than10:00a.m.orlaterthan 8:00p.m.on
thesameday.
TheFacilitymustutilize anairfiltrationandventilationsystem
G.
which,tothe greatestextentfeasible,confinesall objectionable
odorsassociatedwiththeFacilitytothePremises.Forthepurposes
ofthisprovision,thestandardforjudging "objectionableodors"
shallbethatofanaverage,reasonable Personwithordinary
sensibilities after taking intoconsideration thecharacterofthe
neighborhood in whichtheodor is madeandtheodorisdetected.
H.The Operator of the Facility must certify that adequate measures
have been taken to protect the public from the Fungus Aspergillus
and specify what measures have been taken.
Council Bill No. 2975
Page 7-
Ordinance No. 2527
21
I.The Facility mustprovideforsecuredisposalofMarijuana remnants
orby-products;such remnants orby-productsshallnotbeplaced
within theFacility's exterior refuse containers.
J.The Facility's location shall conformto all requirements of the
Woodburn Development Ordinance.
K.TheFacilitymustnotbeco-locatedonthesametaxlotorwithinthe
samebuilding with any Marijuanasocialclub, smoking club,orgrow
site.
Signageshallnotincludelogosorillustrations,andshall
L.
emphasizeidentification ofthe Premises without drawing undue
attention.
NoMinorisallowedonthePremisesunlesstheMinoris a
M.
MedicalMarijuana Qualifying Patient and is accompanied by a
parent,guardian,orcaregiverwhosepurposeistoprocurethe
Minor'sMedicalMarijuana.
N.A Person with any felony convictions or a conviction forany drug
related misdemeanor (including, but not limited to those under ORS
475)may not (1) be an Operator, Company Principal, employee, or
volunteer of a Facility; or (2) have a Financial Interest in the Facility.
The Facility must have an accounting system specifically designed for
O.
enterprises reliant on transactions conducted primarily in cash and
sufficient to maintain detailed, auditable financial records. If the City
Administratorfinds the books and records of the Operator are deficient in
any wayor if the Operator's accounting system is not auditable, the
Operator must modify the Facility's accounting system to meet the
requirements of the City Administrator.
P.The Facility must have a "cash drop safe" on site that is sufficient to
secure all cashreceived.
Q.Each Operatormustkeepandpreservefor a periodofatleast
three (3)yearsrecords containing atleastthe following information:
1.Daily wholesale purchases (including grow receipts) and retail
sales, including a cash receipts and expenses journal;
2.State and federal income tax returns;
Council Bill No. 2975
Page 8-
Ordinance No. 2527
22
3.Names of and any aliases of the Operator;
4.Names of and any aliases of employees/volunteers of the Facility;
5.Names of and any aliases of Persons with a Financial Interest in the
Facility; and
6.The City Administrator may require additional information as he or
she deems necessary.
R.EachFacilitymustdisplayitscurrent permit inside the Facility in a
prominent placeeasily visible to Persons conducting business in
theFacility.
S.Persons conducting business in the Facility must display their Oregon
Medical Marijuana Programcard to gain entry to the Facility.
T.Salesorany other transfersofMarijuanaproductsmustoccur
completely inside theFacility building andmustbeconductedonly
between the Facility and Medical Marijuana Qualifying Patients.No
walk-upordrive-through service is allowed.
Background Checks.The Finance Department will send to the
Section 7.
Police Department the information provided on each initial or renewal Facility
permit application.The Police Department will conduct criminal background
checks under ORS 181.534 to determine whether any Person therein (including,
but not limited to, an Operator, Person with Financial Interest, Company Principal,
employee or volunteer) has any felony convictions or convictions for drug related
misdemeanors and inform the Finance Department whether or not all the Persons
named in the permit application passed the required background checks. If,
following an initial application or renewal, an additional person is proposed to be
an Operator, Person with Financial Interest, Company Principal, employee or
volunteer, then such person must pass the background check prior to assuming
such position.
ExaminationofBooks,RecordsandPremises.
Section 8.
To determine compliancewiththe requirements of this Ordinance,
A.
the Woodburn Development Ordinance, and any and all
applicableregulations,theCity Administrator
may examine or
causetobe examinedbyanagentor representativedesignated
bytheCity Administrator, atanyreasonable time, the Premises of
Council Bill No. 2975
Page 9-
Ordinance No. 2527
23
theFacility, including wastewater fromtheFacility,andanyandall
Facilityfinancial, operational andFacilityinformation, including
books,papers,payrollreportsandstateand federal income tax
returns. Every permitteeis directed and required to furnish to the City
Administrator the means, Facilities andopportunityformakingsuch
examinations and investigations.
B.Aspartofinvestigationof a crimeorviolationofthisOrdinance
whichlawenforcementofficialsreasonablysuspecthastaken
Premises,thePoliceDepartmentshallbeallowed
placeonthe
to viewsurveillancevideotapesordigitalrecordingsatany
reasonabletime.
C.WithoutreducingorwaivinganyprovisionsofthisOrdinance,the
PoliceDepartmentshallhavethesameaccesstotheFacility,its
records anditsoperations,asallowedtostateinspectors.Denial
orinterferencewithaccessshallbegroundsforrevocationor
suspensionof a Facilitypermit.
Administrative and Other Remedies for Noncompliance,
Section 9.
Administrative Appealsand Penalties.
A.TheCity Administratormay deny, suspend,orrevoke a Facility permit
forfailuretocomplywiththisOrdinanceorrulesadoptedunder
thisOrdinance,forsubmitting falsified information totheCityor
the OregonHealthAuthority, or for noncompliance with any other
City ordinances orregulations,orviolationofanystatelaws.
1.Any suspensionorrevocationpursuantto this sectionshallbe in
writing, settingforth the reasons therefor, andwritten noticeshall
be given to the permittee by first-class United States Mail at least
ten (10) calendar days prior to effective date of the revocation or
suspension.
2.A decision to deny, suspend, or revoke a Facility permit may be
appealed by filing a Notice of Appeal accompanied by the
appeal fee of $750 in writing physicallydelivered to the City
Administrator on or before the effective date. Unless City
Administrator has declared imminent dangertothepublicwill
exist, theCity Administrator's decision to revoke or suspend is
stayed pending appeal. The matter shall be heard bya Hearings
Officer appointed by the City Council who shall determine, by
preponderance of the evidence, whether the City Administrator's
Council Bill No. 2975
Page 10-
Ordinance No. 2527
24
decision should be upheld or reversed, or upheld in part and
reversed in part. The hearing shallbe conducted no later than
sixty (60) days from the date of appeal, unless a different date is
stipulated by theCity and the applicant, or good cause is shown
for setting the matter forward. Testimony at the hearing shall be
taken upon oath or affirmation of the witnesses.The Hearings
Officer shall consider only the matters setforth in the Notice of
Appeal.The Findings and Decision of the Hearings Officer shall be
served upon the appellant by first class mail within ten (10) days
after thehearing concludes.The Hearings Officer decision shall
be effective ten (10) days following the date of the decision. The
Findings and Decision of the Hearings Officer shall be final and
conclusive, subject only to writ of review under ORS 34.010 to
34.100, which shall be the sole remedy.
B.In addition tothe remedies ofsuspensionandrevocation,failureto
complywiththe requirements of this Ordinance constitutes a class 1
civil infraction under theCivilInfractionOrdinance.Eachday in
violationconstitutes a separate offense. Company Principals,
severably
Operators, employees, and volunteers arejointlyand
liableforsuch offenses.
C.Theremediesprovidedhereinarenotexclusiveandshallnot
prevent theCityfrom exercising anyother remedy available under
thelaw,
norshalltheprovisionsofthisOrdinanceprohibitorrestrict
otherprosecutorfrompursuingcriminalchargesunder
theCityor
state
lawor City ordinance. Suchremedies include, butare not
limited to, anyequitableremediessuchastemporary restraining
ordersor other injunctive relief.
Confidentiality. Except as otherwise required by law, and
Section 10.
provided by this Ordinance, it shall beunlawful for the City, any officer, employee
or agent to divulge, release or make known in any manner any financial or
employee information submitted or disclosed to the City under the terms of this
Ordinance. Nothing in this section shall prohibit:
A.The disclosure of the names and addresses of any Operator or
provider of equity or Debt Financing for a Facility; or
B.Thedisclosureofgeneralstatisticsin a formwhichwould prevent
identification of financial information regarding a Facility
Operator; or
Council Bill No. 2975
Page 11-
Ordinance No. 2527
25
C.Thepresentationofevidence to a court,orothertribunalhaving
jurisdictionintheprosecutionofanycriminalorcivilclaimbythe
CityunderthisOrdinance;or
D.Thedisclosureofinformationwhensuchdisclosureis required by
public records law procedures.
Severability. If any section, subsection, paragraph, sentence
Section 11.
or word in this Ordinance is deemed to be invalid or beyond the authority of the
City, either on its face or is applied, the invalidity of such provision shall not affect
the other sections, subsections, paragraphs, sentences, or words of this
Ordinance, and the application thereof; and to that end sections, subsections,
paragraphs, sentences and words of this Ordinance shall be deemed severable.
Emergency Clause.This Ordinance being necessary for the
Section 12.
immediate preservation of the public peace, health and safety, so that
regulations applicable to Medical Marijuana Facilities can be adopted prior
to the expiration of the moratorium on the siting of Medical Marijuana
Facilities that the City Council imposed pursuant to state law, an emergency
is declared to exist and this Ordinance shall take effect immediately upon
passage by the Council and approval by the Mayor.
Approved as to form:
City AttorneyDate
Approved:
Kathryn Figley,Mayor
Passed by the Council
Submitted to the Mayor
Approved by the Mayor
Filed in the Office of the Recorder
ATTEST:
Heather Pierson,City Recorder
City of Woodburn, Oregon
Council Bill No. 2975
Page 12-
Ordinance No. 2527
26