Ordinance 15-017 Marijuana Moratorium CITY OF SPOKANE VALLEY
SPOKANE COUNTY,WASHINGTON
ORDINANCE NO. 15-017
AN EMERGENCY ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE
COUNTY, WASHINGTON, ADOPTING A MORATORIUM ON THE
ESTABLISHMENT OF ALL NEW MARIJUANA PRODUCERS, MARIJUANA
PROCESSORS, MARIJUANA RETAILERS, MARIJUANA RESEARCHERS,
MARIJUANA TRANSPORT AND DELIVERY USES, AND MARIJUANA
COOPERATIVES, LICENSED BY OR REGISTERED WITH THE WASHINGTON
STATE LIQUOR AND CANNABIS BOARD, AND OTHER MATTERS RELATING
THERETO.
WHEREAS, 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; and
WHEREAS,Initiative Measure No.692,approved by the voters of Washington State on November
3, 1998,and now codified as chapter 69.51A RCW,created an affirmative defense for"qualifying patients"
to the charge of possession of marijuana; and
WHEREAS, 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 medical marijuana under ESSSB 5073 and chapter 69.51A RCW within their respective
jurisdictions; and
WHEREAS, 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; and
WHEREAS, 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 (now the Washington State Liquor and Cannabis
Board, and referred to herein as the "WSLCB")to adopt procedures and criteria by December 1, 2013 for
issuing licenses to produce, process, and sell marijuana; and
WHEREAS,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 local governments"implement strong and effective regulatory and enforcement systems that will
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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;"and
WHEREAS 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, including medical marijuana; and
WHEREAS, the City's regulations were premised, in part, upon the laws and regulations then in
effect (chapter 69.50 RCW and chapter 314-55 WAC), that allocated a total of three marijuana retail
licenses within the City and provided a maximum limit on marijuana production space; and
WHEREAS,on December 9,2014,the City adopted Ordinance No. 14-021,adopting a moratorium
on the establishment of new unlicensed marijuana uses in order to allow the City to consider any marijuana-
related legislation adopted as part of the 2015 Washington State Legislative Session and to develop
comprehensive marijuana regulations incorporating such changes; and
WHEREAS, the moratorium adopted by the City on December 9, 2014, did not impact existing
licensed or unlicensed marijuana facilities and did not prohibit the City from processing applications related
to licensed marijuana producers,processors,and retailers because the City had already adopted regulations
for such uses that were premised, in part, upon the laws and regulations then in effect(chapter 69.50 RCW
and chapter 314-55 WAC), that allocated a total of three retail licenses within the City and provided a
maximum limit on marijuana production space; and
WHEREAS, to date, the City has 19 licensed marijuana producers, 21 licensed marijuana
processors and three licensed marijuana retailers located within its boundaries. All three licensed marijuana
retailers are operational and are selling marijuana at their locations within the City. The City processed
five business registrations related to medical marijuana in 2013 and 10 business registrations in 2014 prior
to the adoption of the moratorium; and
WHEREAS, in 2015, the Washington State Legislature adopted the "Cannabis Patient Protection
Act,"Laws of 2015, ch. 70, and additional comprehensive marijuana-related regulations pursuant to Laws
of 2015, ch. 4 and other enacted legislation(collectively,the"2015 Marijuana Legislation"); and
WHEREAS, as part of the 2015 Marijuana Legislation, the State (1) reconciled the medical and
recreational marijuana markets by establishing a"medical marijuana endorsement"that retail licensees will
be able to obtain to sell medical marijuana to qualified patients and designated providers,while also making
unlicensed collective gardens illegal by July 1,2016,(2)expanded the amount of marijuana production that
may be conducted state-wide to accommodate the needs of marijuana retailers with medical marijuana
endorsements, (3) created "cooperatives"which must be registered by the WSLCB, and (4) created a new
license for common carriers to deliver and transport marijuana between licensed marijuana producers,
processors,and retailers delivery/transportation and created a new marijuana research license for permitees
to produce, process, and possess marijuana for certain limited research purposes; and
WHEREAS,as part of the 2015 Marijuana Legislation,the State required an increase in the number
of marijuana retail licenses to "accommodate the medical needs of qualifying patients and designated
providers"and directed the WSLCB to promulgate rules and regulations for setting the number of increased
retail licenses, accepting new retail license applications and accepting applications for medical marijuana
endorsements; and
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WHEREAS, on September 23, 2015, the WSLCB issued, effective immediately, its Emergency
Rules #15-18 (the "WSLCB Emergency Rules") to amend chapter 314-55 WAC to provide that (1) the
WSLCB will begin accepting marijuana retail license applications on October 12, 2015 and it will not set
a limit on the number of marijuana retail licenses until a later date, (2) the WSLCB will begin accepting
applications for medical marijuana endorsements,and(3)the state cap on maximum marijuana production
space is removed and will be set at a later date; and
WHEREAS, on September 23, 2015, the WSLCB also issued its Proposed Rules #15-17, which
will be subject to public comment, and pursuant to which the WSLCB has provided that it will not set a
limit on the number of marijuana retail licenses or a state cap on marijuana production space until a later
date; and
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; and
WHEREAS, pursuant to WAC 197-11-880, the adoption of this Ordinance is exempt from the
requirements of a threshold determination under the State Environmental Policy Act; and
WHEREAS, pursuant to Ordinance No. 14-021, the City is in the process of developing
comprehensive medical and recreational marijuana regulations. However, the Planning Commission and
City Council will not have an opportunity to fully consider and develop comprehensive marijuana policy
decisions that give adequate consideration to 2015 Marijuana Legislation,or to adopt such City regulations,
prior to October 12,2015 when the WSLCB will begin accepting and processing additional marijuana retail
licenses; and
WHEREAS, new proposals for additional marijuana retail licenses that may be submitted
beginning October 12, 2015, pose an imminent threat to the public health and safety as they may create
incompatible land uses subject to the City's existing regulations which were premised, in part,on a total of
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three marijuana retail stores and a state cap on the maximum amount of marijuana production space,without
allowing the City to fully consider the impacts of the 2015 Marijuana Legislation or the WSLCB
Emergency Rules. Further,allowing an unknown number of marijuana retail licenses to vest or be located
within the City prior to completion of the City's review and development of its marijuana zoning and land
use regulations impairs the City's ability (1)to give full consideration to the 2015 Marijuana Legislation,
WSLCB Emergency Rules, and currently uncapped increase in marijuana retail stores and statewide
maximum marijuana production space,(2)to develop a reasoned approach to the public health, safety, and
welfare impacts from the 2015 Marijuana Legislation, WSLCB Emergency Rules, and the currently
uncapped increase in the number of marijuana retail stores and statewide maximum marijuana production
space, and (3)to adopt appropriate comprehensive zoning and land use regulations governing medical and
recreational marijuana based upon the impacts from the 2015 Marijuana Legislation and WSLCB
Emergency Rules; and
WHEREAS, additional time is necessary for Planning Commission and City Council (1) to give
full consideration to the 2015 Marijuana Legislation, WSLCB Emergency Rules, and currently uncapped
increase in marijuana retail stores and statewide maximum marijuana production space, (2) to develop a
reasoned approach to the public health, safety, and welfare impacts from the 2015 Marijuana Legislation,
WSLCB Emergency Rules, and the currently uncapped increase in the number of marijuana retail stores
and statewide maximum marijuana production space, and (3) to adopt appropriate comprehensive zoning
and land use regulations governing medical and recreational marijuana based upon the impacts from the
2015 Marijuana Legislation and WSLCB Emergency Rules; and
WHEREAS,Washington State law,including RCW 35A.63.220 and RCW 36.70A.390,authorizes
the City to adopt a moratorium, provided the City conducts a public hearing on the moratorium within 60
days of the date of adoption of the moratorium; and
WHEREAS, the City has authority to establish a moratorium concerning the establishment and
operation of licensed or registered marijuana uses as a necessary stop-gap measure: (1) to give full
consideration to the 2015 Marijuana Legislation, WSLCB Emergency Rules, and currently uncapped
increase in marijuana retail stores and statewide maximum marijuana production space, (2) to develop a
reasoned approach to the public health, safety, and welfare impacts from the 2015 Marijuana Legislation,
WSLCB Emergency Rules, and the currently uncapped increase in the number of marijuana retail stores
and statewide maximum marijuana production space, (3) to adopt appropriate comprehensive zoning and
land use regulations governing medical and recreational marijuana based upon the impacts from the 2015
Marijuana Legislation and WSLCB Emergency Rules, and (4) to avoid applicants possibly establishing
vested rights contrary to and inconsistent with any revisions the City may make for its rules and regulations;
and
WHEREAS,the City Council finds that the moratorium imposed and established by this Ordinance
is necessary for the immediate preservation of the public health, public safety, public property and public
peace.
NOW, THEREFORE,the City Council of the City of Spokane Valley ordains as follows:
Section 1. Preliminary Findings. The City Council hereby adopts the above recitals as
findings of fact in support of this Ordinance.
Section 2. Moratorium Established.
A. The City Council hereby declares and imposes a moratorium upon the submission,
acceptance, processing, modification or approval of any permit applications or licenses by or for any new
licensed or registered marijuana use.
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B. For purposes of this moratorium, "licensed or registered marijuana use" means any
marijuana producers, marijuana processors, marijuana retailers, including any licensed retailer seeking a
medical marijuana endorsement, marijuana researcher, marijuana delivery or transportation by common
carrier between licensed facilities, marijuana cooperative, or other use that is required pursuant to chapters
69.50 and 69.51A RCW and chapter 314-55 WAC to be licensed by or registered with the WSLCB.
C. This moratorium shall not affect, and "licensed or registered marijuana use" shall not
include any personal possession or use of marijuana, marijuana-infused products, marijuana extracts,
marijuana concentrates, marijuana oils, or other form of product containing or derived from marijuana and
intended for human use by any person pursuant to chapter 69.50 RCW or by any qualifying patient or
designated provider pursuant to chapter 69.51A RCW.
D. Nothing herein shall affect the processing or consideration of any existing and already-
submitted complete land-use or building permit applications that may be subject to vested rights as provided
under Washington law, or any processing or consideration of any land-use or building permit for a
marijuana producer, marijuana processor, or marijuana retailer that has, as of the date of this moratorium,
already received its license from the WSLCB and which permit application is for a modification or renewal
at the existing location listed on that license for that marijuana producer, processor, or retailer.
Section 3. Work Plan. The following work plan is adopted to address the issues involving
the City's regulation of, and the establishment of licensed or registered marijuana uses:
A. The City of Spokane Valley Planning Commission is hereby authorized and directed to
hold public hearings and public meetings to fully receive and consider statements,testimony,positions,and
other documentation or evidence related to the public health, safety, and welfare aspects of licensed or
registered marijuana uses.
B. The City of Spokane Valley Planning Commission is hereby authorized and directed to
work with City staff and the citizens of the City, as well as all public input received, to develop proposals
for regulations pertaining to the establishment of licensed or registered marijuana uses, giving full
consideration to the 2015 Marijuana Legislation and WSLCB Emergency Rules, and which regulations
may provide provisions restricting or limiting unlicensed marijuana use up to and including bans, to be
forwarded and recommended to the City Council for its consideration.
Section 4. Public Hearing. Pursuant to RCW 35A.63.220 and 36.70A.390,the City Council
shall conduct a public hearing on October 27, 2015 at 6:00 p.m., or as soon thereafter as the matter may be
heard, at the City of Spokane Valley City Hall, 11707 East Sprague, Spokane Valley, 99206, City Council
Chambers, to hear and consider the comments and testimony of those wishing to speak at such public
hearing regarding the moratorium set forth in this Ordinance.
Section 5. Duration. The moratorium set forth in this Ordinance shall be in effect as of the
date of this Ordinance and shall continue in effect for a period of 365 days from the date of this Ordinance,
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 6. 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 7. 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.
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Section 8. Declaration of Emergency; Effective Date. This Ordinance is designated as a
public emergency necessary for the protection of public health, safety, and welfare and therefore shall take
effect immediately upon adoption by the City Council.
Passed by the City Council this 6th day of October, 2015.
Dean Grafos, Mayor
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Christine Bainbridge, City Clerk /
Approved as to Form:
Office of the City Attorney
//
Date of Publication: (J C/6.1.)A
Effective Date: October 6, 2015
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