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Ordinance 15-002 Marijuana Findings of Fact CITY OF SPOKANE VALLEY SPOKANE COUNTY,WASHINGTON ORDINANCE NO. 15-002 AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY, WASHINGTON, ADOPTING FINDINGS OF FACT JUSTIFYING THE ADOPTION OF ORDINANCE NO. 14-021 AND THE ESTABLISHMENT OF A MORATORIUM ON ALL MARIJUANA USES OTHER THAN MARIJUANA PRODUCERS, MARIJUANA PROCESSORS, AND MARIJUANA RETAIL SALES AS LICENSED BY THE WASHINGTON STATE LIQUOR CONTROL BOARD PURSUANT TO CHAPTER 69.50 RCW AND REGULATED BY CHAPTER 19.85 SPOKANE VALLEY MUNICIPAL CODE AND SPOKANE VALLEY MUNICIPAL CODE SECTION 19.120.050,AND OTHER MATTERS RELATING THERETO. WHEREAS, pursuant to Article 11, Section 11 of the Washington Constitution, the City of Spokane Valley is authorized to "make and enforce within its limits all such local police, sanitary and other regulations as are not in conflict with general laws," which includes the adoption of regulations governing land uses within the City; and WHEREAS, RCW 36.70A.390 provides that "A county or city governing body that adopts a moratorium, interim zoning map, interim zoning ordinance, or interim official control without holding a public hearing on the proposed moratorium, interim zoning map, interim zoning ordinance, or interim official control, shall hold a public hearing on the adopted moratorium, interim zoning map, interim zoning ordinance, or interim official control within at least sixty days of its adoption, whether or not the governing body received a recommendation on the matter from the planning commission or department. If the governing body does not adopt findings of fact justifying its action before this hearing, then the governing body shall do so immediately after this public hearing. A moratorium, interim zoning map, interim zoning ordinance, or interim official control adopted under this section may be effective for not longer than six months, but may be effective for up to one year if a work plan is developed for related studies providing such a longer period. A moratorium, interim zoning map, interim zoning ordinance or interim official control may be renewed for one or more six-month periods if a subsequent public hearing is held and findings of fact are made prior to each renewal;"and WHEREAS, a moratorium enacted under RCW 35A.63.220 and/or RCW 36.70A.390 is a method by which local governments may preserve the status quo so that new plans and regulations will not be rendered moot by intervening development; and WHEREAS, RCW 35A.63.220 and RCW 36.70A.390 both authorize the enactment of a moratorium, interim zoning map, interim zoning ordinance, or interim official control prior to holding a public hearing, provided the City conducts a public hearing on the moratorium within 60 days of the date of adoption of the moratorium; and WHEREAS, pursuant to RCW 35A.63.220 and RCW 36.70A.390, on December 9, 2014, the City adopted Ordinance No. 14-021 establishing a moratorium upon the submission, acceptance, processing, modification or approval of any permit applications or licenses by or for unlicensed marijuana use; and WHEREAS, pursuant to RCW 35A.63.220, RCW 36.70A.390 and Ordinance No. 14-021, on January 27, 2015, the City Council conducted a public hearing on the adoption of Ordinance No. 14-021 and the establishment of a moratorium on unlicensed marijuana uses; and WHEREAS, written public testimony was received from three interested parties. City Council heard testimony from 18 interested parties during the public hearing; and Ordinance 15-002 Page 1 of 5 WHEREAS, pursuant to RCW 35A.63.220 and RCW 36.70A.390,the City Council is required to adopt findings of fact after conducting the public hearing. NOW, THEREFORE,the City Council of the City of Spokane Valley ordains as follows: Section 1. Findings of Fact. Pursuant to RCW 35A.63.220 and RCW 36.70A.390, on January 27, 2015, the City Council conducted a public hearing on Ordinance No. 14-021 and the establishment of a moratorium on unlicensed marijuana uses. The City Council hereby adopts the following as findings of fact in support of Ordinance No. 14-021 and the establishment of a moratorium on unlicensed marijuana uses: 1. Since 1970, federal law has prohibited the manufacture and possession of marijuana as a Schedule I drug, based on the federal government's categorization of marijuana as having a "high potential for abuse, lack of any accepted medical use, and absence of any accepted safety for use in medically supervised treatment." Gonzales v. Raich, 545 U.S. 1, 14 (2005); Controlled Substance Act, 84 Stat. 1242, 21 U.S.C. 801 et seq. 2. Initiative Measure No. 692, approved by the voters of Washington State on November 3, 1998, and now codified as chapter 69.5IA RCW, created an affirmative defense for "qualifying patients" to the charge of possession of marijuana. 3. In 2011, the Washington State Legislature considered and passed ESSSB 5073 that, among other things, (1) authorized the licensing of medical cannabis dispensaries, production facilities, and processing facilities; (2) permitted qualifying patients to receive certain amounts of marijuana for medicinal purposes from designated providers; (3) permitted collective gardens by qualifying patients whereby they may, consistent with state law, collectively grow marijuana for their own use; and (4) clarified that cities were authorized to continue to use their zoning authority to regulate the production, processing, or dispensing of marijuana under ESSSB 5073 and chapter 69.51A RCW within their respective jurisdictions. 4. On April 29, 2011, former governor Christine Gregoire vetoed the portions of ESSSB 5073 that would have provided the legal basis for legalizing and licensing medical cannabis dispensaries, processing facilities, and production facilities,thereby making these activities illegal. 5. On November 6, 2012,voters of the State of Washington approved Initiative Measure No. 502 ("I-502"), now codified in chapters 69.50, 46.04, 46.20, 46.21, and 46.61 Revised Code of Washington ("RCW"), which provisions (1) decriminalized possession and use of certain amounts of marijuana and marijuana paraphernalia; (2) amended state laws pertaining to driving under the influence of intoxicants to include driving under the influence of marijuana; and (3) established a regulatory system licensing producers, processors, and retailers of recreational marijuana for adults 21 years of age and older, and required the Washington State Liquor Control Board (the "LCB") to adopt procedures and criteria by December 1, 2013 for issuing licenses to produce, process, and sell marijuana. 6. On August 29, 2013, the United States Department of Justice issued a memo providing updated guidance on marijuana enforcement in response to the adoption of 1-502. Several ongoing federal enforcement priorities were outlined, including prevention of crime and preventing distribution of marijuana to minors. Further, the memo provided that the Department would not seek ongoing prosecution of marijuana providers, users, and local officials in states that authorized marijuana, provided that those state and focal governments "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. A system adequate to that task must not only contain robust controls and procedures on paper; it must also be effective in practice." Ordinance 15-002 Page 2 of 5 7. The LCB has established a comprehensive regulatory scheme for the licensing, operation, and enforcement of recreational marijuana production, processing, and retail sales shops under chapter 314-55 WAC. 8. In 2014, the Washington State Legislature considered, but did not adopt E3SSB 5887 that would have reconciled the comprehensive state regulatory scheme for recreational marijuana under 1-502 and the lack of regulatory oversight and controls over medical marijuana under chapter 69.51 A RCW. 9. The possession of medical marijuana, operation of collective gardens, and services provided by designated providers remain illegal under chapter 69.51A RCW and Cannabis Action Coalition v. City of Kent, 180 Wn. App. 455 (2014), review granted, 336 P.3d 1165 (2014), with such activities only entitled to an affirmative defense. 10. RCW 69.50.445 prohibits the opening of a package containing marijuana, useable marijuana, or a marijuana-infused product, or consumption of marijuana, useable marijuana, or a marijuana-infused product "within view of the general public," but does not otherwise regulate operation of any "private" marijuana consumption facility, "vaping" of marijuana extracts or oils, or other unlicensed marijuana operations. 11. On July 22, 2014, the City adopted Ordinance No. 14-008, which established in chapter 19.85 of the Spokane Valley Municipal Code ("SVMC") and SVMC 19.120.050 regulations, zoning, buffers, and other limitations on marijuana producers, processors, and retail sellers licensed under chapter 69.50 RCW, but which did not regulate unlicensed marijuana uses. 12. Unlike recreational licensed marijuana production, processing, and retail sales under chapter 69.50 RCW, all other marijuana uses, including medical marijuana and businesses offering "private" marijuana consumption or "vaping," remain unlicensed marijuana uses that are largely unregulated and are not subject to review, licensing, or enforcement by the LCB or other State or local agency. 13. The Washington State Legislature is likely to propose and consider legislation on medical marijuana in its 2015 Legislative session, but the City cannot determine what that legislation may provide or when or if it will be passed. 14. The City of Spokane Valley Police informally documented 45 marijuana-related crimes between November 13, 2013, and December 9, 2014,with at least 30 of those involving persons under the age of21. 15. As of October 28, 2014, the City had processed business registration endorsements for at least 18 medical-marijuana related businesses within the City, all of which provide marijuana outside of the licensing, regulation, and enforcement of the LCB, none of which are licensed marijuana producers, processors, or retail outlets under chapter 69.50 RCW, and none of which are subject to the City's regulations under SVMC 19.85 or SVMC 19.120.050. 16. Pursuant to Article 11, Section 11 of the Washington Constitution, the City of Spokane Valley is authorized to "make and enforce within its limits all such local police, sanitary and other regulations as are not in conflict with general laws,"which includes the adoption of regulations governing land uses within the City; and 17. The Iack of regulatory oversight at any level over unlicensed marijuana uses, such as medical marijuana collective gardens, designated providers, and "private" marijuana consumption businesses, (1) creates a market for marijuana that is inconsistent with the highly regulated market established by licensed producers, processors, and retail sales by the LCB; (2) allows potential for increased access to Ordinance 15-002 Page 3 of 5 marijuana by minors; and (3) creates a risk to the public health, safety and welfare because of the lack of regulatory oversight and potential for abuse. 18. On November 4, 2014, the City Council adopted its 2015-2017 Legislative Agenda, which includes an item wherein the City Council stated it would "support the reconciliation of the recreational and medical marijuana statutes," "support development of one system that would regulate medical and recreational marijuana, (including the elimination of medical marijuana), in Washington State," and would "support State regulations which close gaps within current legislation: Vaping, edibles, oils, and `private' consumption/facilities; and under age possession and consumption." 19. Additional time is necessary to allow the City to conduct appropriate research to analyze the allowance, siting, and necessary land use regulations for unlicensed marijuana uses under existing state law, and to determine what, if any, regulations may be passed by the Washington State Legislature in the upcoming 2015 legislative session regarding unlicensed marijuana uses and the impact of such laws on unlicensed marijuana uses within the City. 20. A moratorium provides the City with additional time to review and amend its public health, safety, and welfare requirements and zoning and land use regulations related to the establishment and operation of unlicensed marijuana uses. 21. RCW 36.70A.390 provides that "A county or city governing body that adopts a moratorium, interim zoning map, interim zoning ordinance, or interim official control without holding a public hearing on the proposed moratorium, interim zoning map, interim zoning ordinance, or interim official control, shall hold a public hearing on the adopted moratorium, interim zoning map, interim zoning ordinance, or interim official control within at least sixty days of its adoption, whether or not the governing body received a recommendation on the matter from the planning commission or department. If the governing body does not adopt findings of fact justifying its action before this hearing, then the governing body shall do so immediately after this public hearing. A moratorium, interim zoning map, interim zoning ordinance, or interim official control adopted under this section may be effective for not longer than six months, but may be effective for up to one year if a work plan is developed for related studies providing such a longer period. A moratorium, interim zoning map, interim zoning ordinance or interim official control may be renewed for one or more six-month periods if a subsequent public hearing is held and findings of fact are made prior to each renewal." 22. A moratorium enacted under RCW 35A.63.220 and/or RCW 36.70A.390 is a method by which local governments may preserve the status quo so that new plans and regulations will not be rendered moot by intervening development. 23. RCW 35A.63.220 and RCW 36.70A.390 both authorize the enactment of a moratorium, interim zoning map, interim zoning ordinance, or interim official control prior to holding a public hearing, provided a public hearing is held within 60 days of the adoption of the moratorium. 24. The City has authority to establish a moratorium concerning the establishment and operation of unlicensed marijuana uses as a necessary stop-gap measure: (1) to provide the City with an opportunity to study the issues associated with allowing, siting, and regulating unlicensed marijuana uses, including determining what, if any, regulations are passed by the Washington State Legislature in the upcoming 2015 legislative session and the impacts of those laws upon unlicensed marijuana uses; (2) to protect the health, safety, and welfare of the citizens of the City of Spokane Valley by avoiding and ameliorating negative impacts and unintended consequences of additional unlicensed marijuana; and (3) to avoid applicants possibly establishing vested rights contrary to and inconsistent with any revisions the City may make for its rules and regulations as a result of the City's study of this matter. Ordinance 15-002 Page 4 of 5 25. Pursuant to Ordinance No. 14-021, City Council adopted a work plan to address the issues involving the City's regulation and establishment of unlicensed marijuana uses. 26. Staff has completed SEPA review of the moratorium and a Determination of Non- Significance ("DNS")was issued on December 19,2014. No comments were received on the DNS. 27. On January 27, 2015, City Council conducted a public hearing on the adoption of Ordinance 14-021 and the establishment of a moratorium on unlicensed marijuana uses. 28. The City Council received written testimony from three interested parties and 18 interested parties spoke at the public hearing. The City Council has given due consideration to all public testimony received. 29. The adoption of Ordinance No. 14-021 and the establishment of a moratorium on unlicensed marijuana uses is consistent with the goals and policies of the City's Comprehensive Plan. 30. The City Council finds that the moratorium imposed and established by Ordinance No. 14- 021 is necessary for the immediate preservation of the public health, public safety, public property and public peace. Section 2. Duration. The moratorium set forth in Ordinance shall be and remain in effect for a period of 365 days from the date of Ordinance No. 14-021, unless repealed, extended, or modified by the City Council after subsequent public hearing(s) and entry of appropriate findings of fact, pursuant to RCW 35A.63.220 and RCW 36.70A.390. Section 3. Ratification. Any act consistent with the authority set forth herein and prior to the effective date of this Ordinance is hereby ratified and affirmed. Section 4. Severability. If any section, sentence, clause or phrase of this Ordinance shall be held to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of any other section, sentence, clause, or phrase of this Ordinance. Section 5. Effective Date. This Ordinance shall be in full force and effect five days after publication of this Ordinance or summary thereof in the official newspaper of the City of Spokane Valley as provided by law. Passed by the City Council this 24111 day of February, 2015. AT E)iff lean Grafos,Mayor ALL. - 1 a.. ,.a.0 ; / 11 City Clerk, Christine Bainbridge trovay Fe m: Office o;the City Attorney Date of Publication: Effective Date: 5 /1 Ordinance 15-002 Page 5 of 5