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Davis City Zoning Code

ARTICLE 40

26B COMMERCIAL CANNABIS BUSINESSES

§ 40.26B.010 Purpose.

The purpose of this article is to impose zoning restrictions on various commercial cannabis businesses authorized and/or licensed by the State of California pursuant to state law. This section is not intended to give any person or entity independent legal authority to operate a cannabis business, it is intended simply to impose zoning restrictions regarding cannabis businesses that may operate in the city pursuant to this Code and state law. This article is in addition to any other business license and regulatory requirements imposed on cannabis businesses by this Code or other applicable state law.
(Ord. 2503 § 6, 2017)

§ 40.26B.020 Applicability.

No part of this section shall be deemed to conflict with federal law as contained in the Controlled Substances Act, 21 U.S.C. Section 800 et seq., nor to otherwise permit any activity that is prohibited under that Act or any other local, state or federal law, statute, rule or regulation. Nothing in this section shall be construed to allow any conduct or activity relating to the cultivation, distribution, dispensing, sale, or consumption of cannabis that is otherwise illegal under local or state law. No provision of this section shall be deemed a defense or immunity to any action brought against any person by the Yolo County District Attorney's office, the Attorney General of the State of California or the United States of America.
(Ord. 2503 § 6, 2017)

§ 40.26B.030 Definitions.

The following words and phrases shall have the following meanings when used in this article:
Cannabis
means all parts of the plant Cannabis sativa L., whether growing or not; the seeds thereof; the resin extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds or resin, including cannabis products derived therefrom. For purposes of this article, "cannabis" shall mean and include both cannabis for medical purposes and non-medical cannabis, unless otherwise specified. Cannabis shall not include industrial hemp.
Cannabis business
means a business activity including, but not limited to, planting, cultivation, harvesting, transporting, manufacturing, compounding, converting, processing, preparing, storing, packaging, distributing, researching, testing, providing, or selling wholesale and/or retail sales of cannabis. A cannabis business includes any facility, building, structure or location, expressly including dispensaries and deliveries, and shall expressly include those commercial cannabis activities authorized and/or licensed by state law.
Cannabis distribution facility
means any facility engaged in the procurement, temporary storage, non-retail sales, and transport of cannabis or cannabis products between state-licensed cannabis businesses, including warehouses and similar structures.
Cannabis laboratories and research
means a laboratory, facility, or entity that offers or performs tests or testing of cannabis or cannabis products. It includes start-up or incubator research activities, which typically include but are not limited to research, design, analysis, development and/or testing of a cannabis product, and laboratories or facilities engaged in scientific research studies, investigation, testing or experimentation, but not including cannabis manufacturing or sales of cannabis.
Cannabis manufacturing
means the compounding, blending, extracting, infusing, or otherwise making or preparing a cannabis product. For purposes of this article, cannabis manufacturing expressly includes the production, preparation, propagation, processing or compounding of cannabis or cannabis products directly or indirectly, including through extraction and/or chemical synthesis methods. Cannabis manufacturing may include distribution of wholesale products from the premises, but shall not include any retail sales of cannabis or cannabis products or other sales to consumers.
Cannabis retailer
means a premises permanently located in the city licensed by the State of California pursuant to the Medicinal and Adult-Use Cannabis Regulation and Safety Act, California Business and Professions Code Section 26000 et seq., as may be amended, where cannabis is provided for retail sale, including an establishment that delivers cannabis as part of a retail sale. Unless otherwise specified, "cannabis retailer" means both a retailer selling medical cannabis and medical cannabis products to patients with valid physician's recommendations, and a retailer providing adult-use cannabis and cannabis products for adults twenty-one years of age and over.
Medical cannabis
means cannabis used for medical purposes in accordance with the Compassionate Use Act (California Health and Safety Code Section 11362.5 et seq.) and the Medical Cannabis Program Act (California Health and Safety Code Sections 11362.7 et seq.), as they may be amended from time to time.
(Ord. 2503 § 6, 2017; Ord. 2514 § 5, 2017)

§ 40.26B.040 General conditions.

(a) 
Cannabis businesses are prohibited from operating in all zoning districts in the city except as expressly permitted by and in conformance with the provisions of this article.
(b) 
All cannabis businesses permitted by this article must, prior to establishing and operating any such cannabis business, obtain and maintain at all times a valid license issued by the state, as may be applicable, and any other local or regulatory licenses required by this Code. A cannabis business subject to state licensing under the Medical Cannabis Regulation and Safety Act, California Business and Professions Code Section 19300 et seq., that is operating in compliance with this article and other state and local requirements on or before January 1, 2018, may continue its operations after January 1, 2018 provided that it timely applies for and its application for licensure is approved by the state, subject to the requirements of California Business and Professions Code Section 19321(b), as may be amended. If a cannabis business operating in the city on or before January 1, 2018 fails to timely apply for a license by the deadline established by the applicable state licensing authority, or its application for licensure is denied, the cannabis business shall cease all operations of the cannabis business until a valid state license is obtained, in addition to any other state and local requirements that may apply.
(c) 
Pursuant to California Business and Professions Code Section 26054(b), as may be amended, the city finds that no additional setback or radius is necessary for the establishment of a cannabis business pursuant to this article, beyond the zoning regulations contained herein.
(d) 
No cannabis business may engage in retail sales of cannabis unless expressly permitted or conditionally permitted by this article.
(Ord. 2503 § 6, 2017)

§ 40.26B.050 Cannabis manufacturing.

(a) 
Cannabis manufacturing that does not involve hazardous materials as defined in Section 40.01.010 may be permitted, subject to the requirements of this section and the granting of an administrative use permit as provided in Article 40.30A, in the following zones:
(1) 
Commercial Service (C-S).
(2) 
Industrial Administration & Research (I-R).
(3) 
Industrial (I).
(4) 
Planned developments permitting or conditionally permitting similar manufacturing uses.
(b) 
Cannabis manufacturing involving hazardous materials as defined in Section 40.01.010 may be permitted subject to a conditional use permit and the performance standards set forth in Article 40.24, in the following zones:
(1) 
Industrial Administration & Research (I-R).
(2) 
Industrial (I).
(3) 
Planned developments permitting or conditionally permitting similar manufacturing uses.
(c) 
Cannabis manufacturing may include distribution of wholesale products from the premises for the purpose of resale, but shall not include any retail sales or other sales directly to consumers.
(Ord. 2503 § 6, 2017)

§ 40.26B.060 Cannabis laboratories and research.

(a) 
Cannabis laboratories and research facilities that do not involve hazardous materials as defined in Section 40.01.010, and which do not contain or conduct any cultivation of cannabis on-site, are principally permitted uses in the following districts:
(1) 
Commercial Service (C-S).
(2) 
Industrial Administration & Research (I-R).
(3) 
Industrial (I).
(4) 
Planned developments permitting or conditionally permitting similar testing and research laboratory facilities.
(b) 
Cannabis laboratories and research facilities that include limited cultivation of cannabis on-site for research and testing purposes may be permitted in the same districts specified in subsection (a), subject to the following conditions:
(1) 
An administrative use permit granted pursuant to Article 40.30A is required for any on-site cultivation that will total a cumulative floor area of six hundred square feet or less, provided that the cultivation shall be conducted wholly within a completely enclosed building.
(2) 
A conditional use permit is required for any on-site cultivation that will occur outdoors or that will exceed a cumulative floor area of six hundred square feet.
(3) 
The cultivation must be used strictly for purposes of cannabis research, and may not be used to conduct cannabis manufacturing or sales of cannabis.
(c) 
Cannabis laboratories and research facilities involving hazardous materials as defined in Section 40.01.010 may be permitted in the same districts specified in subsection (a), subject to the granting of a conditional use permit and the performance standards set forth in Article 40.24.
(Ord. 2503 § 6, 2017)

§ 40.26B.070 Cannabis distribution facilities.

(a) 
Cannabis distribution facilities may be permitted, subject to the requirements of this section and the granting of a conditional use permit, in the following zones:
(1) 
Industrial Administration & Research (I-R).
(2) 
Industrial (I).
(3) 
Planned developments permitting or conditionally permitted manufacturing uses.
(Ord. 2503 § 6, 2017)

§ 40.26B.080 Cannabis retailers.

(a) 
Cannabis retailers are prohibited in the following zoning districts:
(1) 
Residential One-Family (R-1).
(2) 
Residential One-and Two-Family (R-2).
(3) 
Residential One-and Two-Family Conservation (R-2-CD).
(4) 
Residential Restricted (R-R).
(5) 
Residential One-and Two-Family and Mobile Home (R-2-MH).
(6) 
Residential Garden Apartment (R-3).
(7) 
Residential High Density Apartment (R-HD).
(8) 
All planned development districts with residential uses of a similar nature.
(b) 
In addition to those zoning districts identified in subsection (a) of this section, cannabis retailers that will not be open to the public and that perform sales exclusively by delivery are prohibited in the following zoning districts:
(1) 
Central Commercial (C-C) District.
(2) 
Community Retail (C-R) District.
(3) 
All planned development districts of a similar nature.
(c) 
Cannabis retailers may be permitted in the city, subject to the granting of a conditional use permit and the following zoning standards and locational restrictions:
(1) 
Cannabis retailers shall not locate or establish within six hundred feet, measured from the nearest property lines of each affected parcel, of any public park or any school providing K-12 education, unless the city council finds that the proposed site will not pose a threat to the public health, safety and welfare of the surrounding properties and any minors that may be present at a public park or school located within six hundred feet of the proposed site. For purposes of this section, "public park" shall not include the following: Toad Hollow Dog Park located at 1919 Second Street, bicycle paths and greenbelts.
(2) 
Cannabis retailers shall be limited to a total of no more than five in the city for the first eighteen months following the effective date of Ordinance No. 2514. Thereafter, the city council may, in its sole discretion, determine that additional use permit applications may be accepted for cannabis retailers to establish in the city. Cannabis retailers that will not be open to the public and that perform sales exclusively by delivery shall not be counted for purposes of this section.
(3) 
Cannabis retailers that will not be open to the public and that perform sales exclusively by delivery shall be limited to a total of no more than four in the city for the first eighteen months following the effective date of Ordinance No. 2514. Thereafter, the city council may, in its sole discretion, determine that additional use permit applications may be accepted for such non-storefront, delivery-only cannabis retailers.
(d) 
The director or designee is authorized to administer reasonable guidelines and policies, including appropriate application periods for accepting requests for zoning approvals and use permits for cannabis retailers, consistent with this section.
(e) 
The planning commission shall review all cannabis retailer conditional use permits and provide a recommendation regarding approval to city council. The city council shall serve as the final review authority for all cannabis retailer conditional use permits, and is authorized to approve or deny cannabis retailer conditional use permits. In exercising its discretion, the city council shall consider the following factors:
(1) 
The type of proposed use by the applicant; and
(2) 
Whether the proposed use will be detrimental to the health, safety and welfare of the community; and
(3) 
Whether the use would enhance the economic viability of the area in which it is proposed to be located; and
(4) 
Whether the applicant has adequately addressed potential community benefits of the use to offset potential adverse impacts; and
(5) 
The extent of support or opposition to the proposed use and location from members of the community; and
(6) 
The number of cannabis retailers located within one thousand feet of the proposed location; and
(7) 
The extent to which the proposed use would cause a further overconcentration of that particular type of premises in the area; and
(8) 
The background and the history of the applicant, including the nature and extent of problems on any premises where he or she has operated a cannabis business in the past; and
(9) 
Whether there is a history of police or crime-related problems in the area of the proposed location; and
(10) 
Whether the proposed license would enhance recreational or entertainment opportunities in the area.
(11) 
Without limiting any of the other requirements or considerations for the issuance of a conditional use permit, any cannabis retailer use proposed to be located within a Mixed-Use (M-U) Zoning District shall demonstrate, and the planning commission and city council shall consider in determining whether to grant a conditional use permit, whether the proposed site and use is compatible with surrounding properties and uses, with a particular emphasis on compatibility with residential uses that are proximate to the proposed cannabis retailer use.
(f) 
The director or city council may address additional development and operational standards through conditions on the conditional use permit as it determines necessary or appropriate for the cannabis retailer conditional use permit under consideration, provided that any such conditions shall not conflict with operating requirements that may be applicable pursuant to other provisions of this Code.
(Ord. 2514 § 6, 2017; Ord. 2531 § 3, 2018; Ord. 2547 § 2, 2019; Ord. 2677, 11/4/2025)