MARIJUANA LICENSING INFORMATIONAL

MEETING

September 8, 2016

AGENDAI. Introductions

II. Land Use Regulations—Robin Brown, Code Compliance Supervisor

III. Licensing Regulations—Michelle Kline, Municipal Prosecutor

IV. License Compliance and Enforcement—Michelle Kline, Municipal Prosecutor; Jennifer Stricker, TPD Detective

LAND USEMarijuana stores

• Retail only, or co-located retail/medical• One store location per geographic

quadrant (4 total)• Zoning

o Community Retail o Regional Commercial

• No co-location with another type of business

LAND USE

Geographic Quadrants• Quadrant 1: South of E. 120th Avenue and

west of York Street• Quadrant 2: South of E. 120th Avenue and

east of York Street• Quadrant 3: North of E. 120th Avenue and

east of Colorado Boulevard• Quadrant 4: North of E. 120th Avenue and

west of Colorado Boulevard

LAND USEMarijuana testing facilities

• Retail, medical or co-located • No limit on number of locations• Zoning

o Industrialo Business Parko Employment Center

LAND USEAll marijuana businesses must be

• At least 1,000 feet from existing public and private schools

o Defined as an educational institution that has a curriculum for kindergarten, elementary, secondary education, or postsecondary education.

• At least 500 feet from existing licensed childcare facilities

• At least 500 feet from existing alcohol and drug treatment facilities

LAND USEMeasured from the property line of the listed facility to the closest wall of the marijuana business

• Includes facilities outside ThorntonStores must be separated by at least 1,500 feet, measured from closest points of both buildings

• Does not include stores outside city

LAND USE MAP

- Quadrants- Zoning- Buffering

LAND USEZoning compliance verification

• Required prior to application submission• $45 one-time fee• 10-day review time, unless survey

required (max 20 days)• Final compliance review prior to

consideration by the Marijuana Licensing Authority

Pre-application / Development process

APPLICATION PROCESSRetail and Co-Located Retail/Medical

Marijuana Stores• Accepted from September 1-30, 2016• WILL NOT be accepted unless

accompanied by a Zoning Verification form

• WILL NOT be accepted unless accompanied by all required City forms

APPLICATION PROCESS• Applications for medical marijuana

store license WILL NOT be accepted without the application fee

• WILL NOT be accepted unless the application includes the date of the applicant’s state application meeting

APPLICATION PROCESS• State application appointments are

required before applications will be accepted by the State

• State has set aside December 6, 7, 8, 12, and 13 for appointments for Thornton applicants

• Once the State has accepted an applicant’s application, the applicant must immediately file 4 complete copies of the State application with the City

APPLICATION PROCESS• The City will hold all City applications

properly filed between September 1 and September 30 and will begin reviewing those applications after the City has received 4 complete copies of the applicant’s State application and the $2,500 application fee

APPLICATION PROCESSMarijuana Testing Facilities

• Accepted beginning September 1st in the City Clerk’s Office

• Will not be accepted unless accompanied by a Zoning Verification Form

• Applications must contain all required City forms, as well as a complete copy of the state application and accompanying documents

• Applications for medical marijuana testing facilities must be accompanied by the application fee

NEW APPLICATION FEESFirst Year Fees

Application Fee License Fee Background fee Operating Fee

Retail $2,500 (received from State)

$3,000 $39.50 per person

$6,750

Medical $2,500 $3,000 $39.50 per person

$6,750

Testing Retail $2,500 (received from State)

$2,500 $39.50 per person

$3,000

Testing Medical $2,500 $2,500 $39.50 per person

$3,000

LICENSING3-Stage Application Process

Stage 1: Initial ReviewThis stage begins once the City has received 4 copies of the State application and its share of the State application fee

• Application Completeness• Automatic grounds for denial

• State minimums• No prior drug or weapon-related felony

convictions• No current drug felony deferred judgments

LICENSINGStage 2: Point System Review

• City Clerk will gather reports from relevant staff and award points

• Applications will be forwarded with points assessment to the Authority

• The Authority may re-assess points, or accept the points as presented

• Criteria is applicable to applicant who is sole proprietor, or the principal officers, directors, and owners of a business

• 45-60 days for staff to complete this process

LICENSING

• Point System Review Criteria• Experience operating a licensed

marijuana business in Colorado• 3 years = 1 pt.• 4 years = 2 pts.• 5 years = 3 pts.

• Experience and Lack of Administrative Penalties

• 3 years = 1 pt.• 4 years = 2 pts.• 5 years = 3 pts.

LICENSING• Points System Review Criteria

• Thornton residency for prior 12 months = 1 pt.

• No prior felony convictions = 2 pts.• No prior misdemeanor convictions = 2

pts.• No pending criminal charges = 2 pts.• Certification that applicant will not

employ a person with a felony in last 10 years, any drug felony ever, or a drug misdemeanor in the last 5 years = 4 pts.

LICENSING• Point System Review Criteria

• Air filtration system prior to opening which filters air so as to prohibit odor outside the licensed premise = 3 pts.

• Security plan demonstrating implementation of security measures above minimum state and local requirements = 2 pts.

LICENSING• Point System Review Criteria

• Operating Plan = 1 – 10 pts.• Business Plan = 1 – 10 pts.• Plans will be reviewed by an

independent 3-person panel, and the final point assessment will be an average of the 3 scores rounded to the nearest whole number

• Applicants are prohibited to contact 3-person panel members

LICENSING• Point System Review Criteria

• Operating Plan and Business Plano Reviewed by an independent 3-person panelo Optional, but are worth between 1-10 points

eacho 10-page maximum for operating plano 20-page maximum for business plano City has provided forms 10M and 11M for

your use and referenceo Be specific!o This is what will likely set applicants apart

LICENSINGMoving forward to Stage 3• After final assessment of the points by the

City Clerk, City Development will do a final zoning verification of the top two point recipients in each quadrant

• All applications and points assessments will be forwarded to the Authority

• Authority will select highest point recipient from each quadrant to move forward

• Ties will be broken by random drawing

LICENSINGStage 3: Public Hearing• Hearing will be held no more than 60 days

after selection from Stage 2, and public notice shall be given

• Held in front of the Authority• Applicant must present Community

Engagement Plan• The Authority will consider how the

Community Engagement Plan interfaces with the operation of the business as presented in the application materials

LICENSING• Community Engagement Plan

• Must be submitted 7 days prior to the public hearing

• Must demonstrate that the proposed business will not adversely impact the health, welfare, or public safety of the neighborhood in which the business is proposed to be located

LICENSING• Community Engagement Plan

• Name, phone #, and email of the person responsible for outreach

• An outreach plan to contact and engage residents and business in the neighborhood

• A detailed plan to create positive impacts in the neighborhood, such as participation in community service, volunteer service, and promotion of neighborhood plans

• Written polices and procedures to timely address complaints and concerns

LICENSING• Stage 3: Public Hearing

• Authority will decide whether the applicant has proven, by preponderance of the evidence, that the Community Engagement Plan meets the stated requirements and that the Plan is consistent with the application, and either grant, grant with additional requirements, or deny

OPENING YOUR DOORS• Operations may not commence until

all necessary permits, licenses, and authorizations, including a Certificate of Occupancy, have been obtained

• Operations may not commence until the licensee demonstrates implementation of the State and local operating regulations

CHANGES TO THE LICENSE• Transfer of ownership, change of

location, modification of the premises, and change of corporate structure

• By application to the hearing officer• Transfer of ownership is prohibited for

2 years from the date of issuance of the license

• Fees are required

LICENSE RENEWALS • Licenses are valid for 1 year• A license renewal application may be

denied• For businesses who have not yet

received a Certificate of Occupancy, the City Clerk may renew the license for up to 90 days

RENEWAL FEESRenewal

Type of License Renewal Fee Operating Fee

Retail $1,750 $6,750

Medical $1,750 $6,750

Testing Retail $1,750 $3,000

Testing Medical $1,750 $3,000

OPERATIONAL REGULATIONS

• Know your State regulations• Additional/Enhanced City regulations

• Video surveillance• Security alarm system• Secured storage• Proof of age scanner• Odor management• Registered Manager

COMPLIANCE AND ENFORCEMENT

• Inspections• Quarterly for the first year and at least

once per year thereafter• Random• Police Department, Fire Department,

Building, Code

UNLAWFUL ACTS• Punishable by fine of up to $2,650

and/or a year in jail• Will also result in the filing of a

complaint for suspension/revocation of a license

DISCIPLINARY ACTIONS• Any violation of law or operating

regulation, whether City or State, may result in the filing of a complaint

• Complaints will be brought before a hearing officer

• Hearing officer has authority to impose a civil penalty, i.e. a fine, suspend a license, revoke a license, or summarily revoke a license

DISCIPLINARY ACTIONS• Sentencing Guidelines

• Developed using guidance from State• Allow for fines up to $100,000,

suspension, and revocation of a license depending upon the severity of the offense and the prior history offenses

KEY CONTACTS• Email:

marijuana.licensing@cityofthornton.net• Phone:

303-538-7230

QUESTIONS?