File #: 20-251    Version: 1 Name: SR: Policy Discussion-Type 7 Cannabis Manufacturing
Type: Staff Report Status: Filed
In control: City Council
Meeting Date: 6/15/2020 Final action: 6/15/2020
Enactment date: Enactment #:
Title: Update from the Alameda County Fire Department Regarding the Timothy Drive Fire and Staff Report for City Council Discussion and Direction Regarding City of San Leandro's Type 7 Cannabis Product Manufacturing Regulations
Sponsors: City Council
Title
Update from the Alameda County Fire Department Regarding the Timothy Drive Fire and Staff Report for City Council Discussion and Direction Regarding City of San Leandro's Type 7 Cannabis Product Manufacturing Regulations

Staffreport
SUMMARY AND RECOMMENDATIONS

Per the request of the City Council at the May 18, 2020 City Council meeting, staff presents the following information regarding the City's Type 7 cannabis product manufacturing regulations and seeks policy direction regarding the status of the program.

BACKGROUND

Three legislative bills that passed in 2015 (Assembly Bills 243 and 266, and Senate Bill 643) established the state-level licensing and regulatory framework for medicinal cannabis. These laws, along with the subsequent passage of the Adult Use of Marijuana Act via Proposition 64 in 2016, designated three State agencies with the responsibility to regulate both adult-use and medicinal cannabis businesses throughout the State of California. Those agencies include: the California Bureau of Cannabis Control (which primarily regulates retailers, distributors and testing laboratories), the California Department of Public Health (which regulates cannabis manufacturing businesses), and the California Department of Food & Agriculture (which regulates cannabis cultivation).

In addition to the above State agencies, State law has created a "dual licensing structure" that requires cannabis businesses to secure local permits from the municipalities in which they are seeking to operate. As such, all cannabis businesses in California are required to obtain permits from both the City as well as the State in order to operate legally.

San Leandro's local regulations presently authorize three types of cannabis businesses: retail dispensaries (capped at no more than three in total), cannabis testing laboratories, and cannabis product manufacturers. These latter two business types were authorized by the City Council following extensive discussion and an...

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