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REQUEST FOR A USE PERMIT TO ESTABLISH A PROPOSED MEDICAL CANNABIS DISPENSARY IN AN EXISTING COMMERCIAL BUILDING IN THE CG (COMMERCIAL, GENERAL) ZONE AT 7632 PACIFIC AVENUE (P17-0020)
recommended action
RECOMMENDATION
Staff recommends that the Planning Commission adopt a Resolution approving a Use Permit to allow the establishment of a proposed medical cannabis dispensary at 7632 Pacific Avenue, in accordance with the findings detailed herein.
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Summary
The applicant, Sidney Dunmore, has submitted a Use Permit application with all required application materials (floor plan, site plan, neighborhood context map, security and lighting plan, and project description) to establish a proposed 6,500-square foot medical cannabis dispensary in an existing commercial building. The subject building is approximately 13,000 square feet in size and is currently occupied by a restaurant (UJ’s Restaurant) in the northwest corner of an existing shopping center (Hammer Ranch Shopping Center) on the east side of Pacific Avenue, approximately 670 feet south of Hammer Lane. The subject facility will occupy the eastern portion of the building and the remainder of the building will be occupied by a restaurant.
At its June 22, 2017 meeting, the Planning Commission held a public hearing to consider the subject Use Permit. During its discussion, a Commissioner raised a concern regarding an existing Alcoholics Anonymous (A.A.) meeting location within a 600-foot radius of the project site. As a result, the public hearing was continued to July 13, 2017 to allow staff time to investigate the noted use.
After staff consulted with the City Attorney regarding the noted issue, staff determined that the subject organization did not fit the definition of “Drug Abuse, Alcohol Recovery/Treatment Facilities” under Stockton Municipal Code (SMC) Section 16.240.020. This use is defined as:
“Establishments that provide assistance, counseling, and/or medical treatment for those persons dependent upon alcohol or drugs. Does not include one-on-one counseling and weight loss and smoking clinics and facilities (“Offices”); drug treatment facilities (“Medical Services-Medical-Related Facilities”).
According to the AA.org website for Alcoholic Anonymous:
“Alcoholics Anonymous is an international fellowship of men and women who have had a drinking problem. It is nonprofessional, self-supporting, multiracial, apolitical, and available almost everywhere. There are no age or education requirements. Membership is open to anyone who wants to do something about his or her drinking problem.”
It is staff’s understanding that AA groups do not offer counseling or medical treatment, but may offer assistance. Although the definition uses the term “assistance” most of the establishments listed under that definition refer to facilities geared toward the organized provision of services for certain specified groups. Because of the nonprofessional, self-supporting nature of AA, staff has determined that AA meetings do not constitute “Drug Abuse, Alcohol Recovery/Treatment Facilities.” Therefore, the subject use does not conflict with A.A. meeting location although it is located within a 600-foot radius.
The site meets all minimum separation requirements between dispensaries and sensitive land uses (see table below) and applicable provisions of SMC Section 16.80.195, Medical Cannabis Businesses - Permitting. SMC 5.100.080 allows up to four (4) medical cannabis dispensaries in the City. In addition to a Use Permit, an applicant must also secure an Operators Permit from the Police Department before initiating the use. The Police Department has reviewed and approved the proposed Security Plan that provides security cameras 24 hours a day and one security guard during business hours, including a one-half hour before and after the business open and closes, and found that it met Police Department Standards. Therefore, staff recommends that the Planning Commission approve the application, based on the recommended Findings for Decision in the Proposed Resolution.
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MINIMUM SEPARATION REQUIREMENTS |
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300 Feet from Any Existing Residential Zone |
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600 Feet from Any Childcare Center, Child Care, In Home (Family Day Care Home), Religious Facility, Drug Abuse or Alcohol Recovery/Treatment Facility |
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1,000 Feet from Any Park or K-12 School |
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1,000 Feet from Any Other Medical Cannabis Business or Site with a Valid Use Permit |
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OTHER RESTRICTIONS |
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Use Permit Required |
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Operators Permit Required |
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Maximum of two (2) Dispensaries and two (2) Cultivation Sites per Council District |
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Maximum of four (4) Medical Cannabis Dispensaries in City |
DISCUSSION
Background
On August 24, 2010, the City Council adopted ordinances to allow medical cannabis dispensaries in selected zoning districts and to regulate the operations and employee permit requirements for dispensaries. There are currently two (2) existing legal nonconforming cannabis dispensaries operating in the City (678 N. Wilson Way, Suite A-1 and 1550 W. Fremont Street) that were authorized under the provisions of these ordinances. On May 9, 2013, the Municipal Code was amended by the City Council to prohibit new medical cannabis dispensaries.
On June 28, 2016, the City Council approved placing two ballot measures on the November 8, 2016 General Election ballot that would, if approved by City voters, overturn the ban on medical cannabis dispensaries, allow medical cannabis dispensaries and cultivation businesses within the City (Measure P), and increase the business license tax on medical cannabis and related businesses (Measure Q). Both measures were approved by the voters during the General Election. More specifically, the measures amended SMC Chapters 5.10 (Medical Cannabis Businesses), 16.20 (Allowable Land Uses and Permit Requirements), 16.80 (Standards for Specific Land Uses), and 16.240 (Definitions/Glossary), resulting in the following changes to the Development Code (Title 16 of the SMC):
• Overturned the previous ban on medical cannabis dispensaries;
• Allows up to four (4) medical cannabis dispensaries in the CG, CL (Commercial, Large-Scale), IL (Industrial, Limited) and IG zones (Industrial, General) zones;
• Allows up to four (4) cultivation sites in the IL, IG, and PT (Port) zones;
• Imposes location restrictions for dispensaries and cultivation operations, including distances from sensitive locations;
• Requires a Planning Commission Use Permit, Operator’s Permit, and Workers Permits for all employees;
• Does not allow dispensary owners to own or operate cultivation sites within the City;
• Does not allow cultivation operators to operate dispensaries within the City.
The 1.8-acre project site, which is located in an integrated shopping center (Hammer Ranch Center), contains an existing 13,000-square foot commercial building that is occupied by an existing restaurant. The proposed 6,500-square foot dispensary will occupy the eastern portion of the building. The site is zoned CG and is bounded to the:
• north, east and south by a bank, various retail uses, and a parking lot within the shopping center zoned CG; and
• west across Pacific Avenue by various retail/office uses in an existing shopping center (Oakridge Center) zoned CG (Attachment A - Location Map and Aerial Photograph).
The General Plan designates the project site for Commercial land uses. This land use designation and the accompanying CG zoning conditionally allow the proposed use, subject to securing an approved Use Permit from the Planning Commission.
Present Situation
In January of 2017, the applicant submitted a Use Permit application to establish a proposed medical cannabis dispensary in an existing commercial building at the above-noted location. Per SMC Section 16.20.020, Table 2-2, Allowable Land Uses and Permit Requirements, a Use Permit is required for the subject use. The applicant has stated that the commercial building is currently occupied by a restaurant with a banquet hall. He indicated that the banquet hall in the eastern portion of the restaurant will be converted to the subject facility. He also stated that the remainder of the building will be occupied by a new restaurant or other uses, because the existing restaurant will vacate the premises at the close of escrow.
The applicant has indicated that all patients must demonstrate that they are California residents and provide written proof of their physician’s recommendation for medical cannabis use or a California State Medical Cannabis Identification Card before purchasing cannabis products. The facility will offer health-related training classes for its patients. All products on the premises will be purchased from other vendors and there will be no on-site manufacturing. The facility will hire 35 full-time employees for day-to-day operations and is planned to be open seven days a week from 7:00 a.m. to 8:00 p.m. The entrance to the dispensary will be monitored by security cameras installed inside and outside of the building. In addition, a security guard will strictly control access to and from the facility during business hours (Attachment B - Project Description).
Security Plan
Staff in the Police Department have reviewed the required Security Plan for the subject facility. The proposed Security Plan meets the Police Department’s standards and includes provisions for on-site security personnel, access controls, video surveillance, and lighting. One security guard will be on site during all hours of operation, including one-half hour before and after the opening and closing of the business.
Location Restrictions
The following location restrictions apply to all medical cannabis dispensary sites and may not be waived or modified by the Use Permit or a Variance, Site Plan or Design Review application (SMC Section16.80.195.A.3):
a. No medical cannabis dispensary shall be established or located within 1,000 feet, measured from the nearest property lines of each of the affected parcels, of any other medical cannabis business or site having a valid use permit for a medical cannabis business;
b. No medical cannabis dispensary shall be established or located within 300 feet, measured from the nearest property lines of each of the affected parcels, of any existing residential zone;
c. No medical cannabis dispensary shall be established or located within 600 feet, measured from the nearest property lines of each of the affected parcels, of any childcare center, child care, in-home (family day care home), religious facilities, drug abuse, or alcohol recovery/treatment facility;
d. No medical cannabis dispensary shall be established or located within 1,000 feet, measured from the nearest property lines of each of the affected parcels, of any park or K-12 school.
As part of the Use Permit application, the applicant was required to submit exhibits (Attachment C - Neighborhood Context Maps) showing all required minimum separation areas to determine whether there are any sensitive uses in proximity to the subject site. Staff has also conducted an analysis of the area using a City mapping system, which shows schools, parks, day care centers, and residential zones (Attachment D - Medical Cannabis Dispensary Restricted Area). To verify separation from sensitive land uses that are not tracked in the City database, staff conducted a site visit of the surrounding area and determined that the subject location meets all minimum separation requirements.
In accordance with SMC Section 5.100.080, no more than four (4) active Operators Permits for dispensaries are allowed in the City. As of this date, there are two (2) existing legal nonconforming dispensaries operating in the City (678 N. Wilson Way, Suite A-1 and 1550 W. Fremont Street) (Attachment E - Existing Medical Cannabis Dispensary Businesses). Approval of the subject Use Permit could ultimately result in the issuance of a third dispensary Operators Permit in the City. The noted SMC section also allows a maximum of two (2) Operators Permits for dispensaries and two (2) Operators Permits for medical cannabis cultivation sites per Council District. The subject site is located in Council District 3. To date, there are no permitted dispensaries in Council District 3.
Parking and Access
With respect to parking, off-street parking for the existing and subject uses on the subject site is based on the Development Code’s parking requirements. Dispensaries are defined as a retail use for purposes of calculating parking requirements. The 6,500-square foot dispensary facility is required to have 26 parking spaces (one space per each 250 square feet of gross floor area (GFA)). The remaining 6,500 square feet in the building are required to have 33 parking spaces for the restaurant use (one space per 200 square feet of GFA). The 65 existing parking spaces on the subject property are adequate to meet the off-street parking requirements for both the subject dispensary and the restaurant. Access to the subject site is provided by existing common driveways from Pacific Avenue at the northwest and southwest corners of the property that also serve the integrated shopping center of which the subject site is a part.
Neighborhood Meeting
A community meeting was held on June 1, 2017. The meeting notice was mailed by the applicant to all property owners within a 300-foot radius of the subject property. The applicant, three business partners and Senior Planner Jenny Liaw attended the meeting; however, no one from the neighborhood attended the meeting (Attachment F - Community Meeting Notice).
Findings
The Development Code contains specific Findings, all of which must be made in the affirmative to support the approval of a Use Permit. If one or more of the Findings cannot be made, the Use Permit cannot be approved.
General Findings
There are seven General Findings in SMC Section 16.168.050.A that require compliance with all applicable provisions in the SMC; maintaining the integrity and character of the applicable zoning district; consistency with applicable General Plan objectives and policies; physical suitability of the site for the proposed use; not endangering or jeopardizing the public health, safety, peace, or general welfare of the public; compatibility with surrounding uses; and consistency with the California Environmental Quality Act. As indicated in the Proposed Resolution, the subject use is allowed in the CG zone with an approved Use Permit and complies with applicable provisions of the Development Code. The subject use would be consistent with the Commercial land use designation of the General Plan and the site would be physically suitable for the proposed use, including the provision of utility services (e.g. sanitation and water), public access, and the absence of physical constraints (e.g. earth, movement, flooding, etc.). Further, the project would strengthen the integrity of the surrounding area, would not jeopardize or be hazardous to public peace and welfare, and would be compatible with surrounding land uses, because it is considered a similar retail use to other retail uses in the shopping center and the surrounding area.
Environmental Clearance
The subject project is expected to comply with applicable provisions of the California Environmental Quality Act (CEQA) Guidelines (Section 15301, Class 1) as the use of an existing facility.
VOTES
A vote of a majority, four (4), of the total authorized membership of the Planning Commission is required for the Commission to transact business or decide any matter.
Attachment A - Location Map and Aerial Photograph
Attachment B - Project Description
Attachment C - Neighborhood Context Maps
Attachment D - Medical Cannabis Dispensary Restricted Area
Attachment E - Existing Medical Cannabis Dispensary Businesses
Attachment F - Community Meeting Notice
This staff report was prepared by Senior Planner Jenny Liaw; (209) 937-8316, jenny.liaw@stocktonca.gov.