The 2017 North Dakota Legislature enacted Senate Bill 2344, relating to the implementation of the North Dakota Compassionate Care Act, North Dakota Century Code 19-24 for the regulation of medical marijuana dispensaries and the cultivations and propagation of medical marijuana in North Dakota.

All persons, entities, or organizations wishing to establish a Compassionate Care Medical Marijuana manufacturing or distribution center within Corporate City Limits or City Extra Territorial Area (E.T.A) will be restricted to property zoned for Industrial uses: IP, Industrial Park and HI, Heavy Industrial and in which case must also apply for and be granted a Conditional Use Permit.

1)

The use, cultivation, manufacturing, production, distribution, possession and transportation of marijuana remains illegal under federal law, and marijuana remains classified as a "controlled substance" by both federal and North Dakota law;

2)

The City of Watford City does not have the authority to, and nothing in this section is intended to, authorize, promote, condone or aid the production, distribution, or possession of medical marijuana in violation of any applicable law;

3)

The City intends to regulate the property in terms of zoning, use, acquisition, cultivation, manufacturing, and distribution of usable medical marijuana in a manner that is consistent with the North Dakota Century Code. The regulations are intended to apply to all medical marijuana operations within the City and Extra Territorial Area (E.T.A.) by any medical marijuana business permitted under North Dakota state law. Medical marijuana cultivation and production can have an impact on health, safety, and community resources, and this section is intended to permit state licensed Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) where they will have a minimal negative impact;

4)

To the extent that Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) are registered and authorized by the State of North Dakota and allowed to operate in the City.

5)

Medical marijuana is a heavily regulated industry by the State of North Dakota and the City has a zero-tolerance policy for violations.

6)

The purpose of this ordinance is to protect the public health, safety, and welfare of the residents and patients of Watford City by prescribing the manner in which medical marijuana businesses can be conducted within the City's corporate limits and Extra Territorial Area (E.T.A.). Furthermore, the purpose of this ordinance is to:

a)

Provide for a means of cultivating, manufacturing and distribution of usable marijuana to patients who qualify to obtain, possess, and use marijuana for medical purposes as prescribed by state law.

b)

Protect public health and safety through reasonable limitations on business operations as they relate to noise, air and water quality, neighborhood and patient safety, security for the business and its personnel, and other health and safety concerns.

c)

Impose fees to cover the cost to the City of licensing medical marijuana businesses in an amount sufficient for the City to cover the costs. The fees shall be set by Resolution of the City Council.

d)

Create regulations that address the particular needs of the facilities, patients, and residents of the City and comply with laws that may be enacted by the state regarding medical marijuana.

(Ord. No. 489.1, 9-11-2018)

Unless specified in this ordinance, all terms defined in N.D.C.C. § 19-24-02 or successors to that statute shall have the definitions provided therein.

Annual License Fee

An annual licensing fee may be established to offset costs associated with policing, site inspections, monitoring, storage of media, and/or any other items pertaining to regulating medical marijuana facilities involved in the cultivation, propagation, manufacturing, processing, refining, distribution, delivery, supply, sale or handling of Medical Marijuana. The annual licensing fee shall be set by Resolution of the City Council.

Conditional Use Permit Requirements

In addition to the requirements applicable to Conditional Uses within the specific zoning districts: IP, Industrial Park and HI, Heavy Industrial, an application for a Conditional Use Permit for a Medical Marijuana Manufacturing and/or Distribution Center must also include the following:

1.

List of all persons and entities with an ownership interest in the Manufacturing Center(s) and/or Distribution Center(s) including all shareholders that hold any share in stock in the Manufacturing Center(s) and/or Distribution Center(s).

2.

A security plan depicting the location and configuration of security cameras and surveillance equipment.

3.

A complete description of the products and services to be produced or sold by the Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s).

4.

A notarized statement acknowledging that the applicant understands applicable federal laws, any guidance or directives issued by the U.S. Department of Justice, the laws of the State of North Dakota and the laws and regulations of McKenzie County and the City of Watford City applicable thereto concerning the operation of a Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s). The written statement shall also acknowledge that any violation of any laws or regulations of the State of North Dakota, McKenzie County, and the City of Watford City or any activity in violation of any guidance or directives issued by the U.S. Department of Justice, in such place of business, or in connection therewith, or the commencement of any legal proceeding relating to such Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) by federal authorities, may render the license subject to immediate suspension or revocation.

5.

A notarized statement that the applicant will hold harmless, indemnify, and defend the City against all claims and litigation arising from the issuance of license and/or a conditional use permit including any claims and litigation arising from the Manufacturing Center(s) and/or Distribution Center(s), operation or ownership of the Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s).

6.

A notarized acknowledgement that the applicant is seeking a Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) Conditional Use Permit and that the applicant understands and acknowledges that the burden of proving qualifications to receive such a Conditional Use Permit is at all times on the applicant; that the granting of a Conditional Use Permit for a Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) is at the discretion of the City Council; and that the applicant agrees to abide by the decision of the City Council.

7.

The Planning Department may require additional plans, documents or other information prior to deeming the Conditional Use Permit application complete.

8.

A Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) Conditional Use Permit shall be reviewed annually by the City Planning and Zoning Commission and City Council for renewal. The City holds the right to review the terms of the Conditional Use Permit at any time deemed necessary even if prior to the annual review.

9.

If the State of North Dakota or its electorate repeals the Compassionate Care Act or the act is otherwise declared void, all Medical Marijuana Manufacturing Center(s) or Distribution Center(s) Conditional Use Permits issued by the City Council will be deemed to have immediately expired.

10.

Once a Conditional Use Permit is obtained for a Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s), any change in operation of the facility or in ownership shall require prior approval of the City.

11.

Any building modifications or alterations must be approved by the City.

(Ord. No. 489.1, 9-11-2018)

1)

Each Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) must be located in a separate, permanent, stand-alone structure and have a minimum six (6) foot high perimeter fence encompassing the parcel boundary.

2)

Each Compassionate Care Medical Marijuana Manufacturing Center(s) or Distribution Center(s) must be located a minimum of three hundred (300) feet from a public or private preschool, kindergarten, elementary, secondary or high school, public park, public community center, dependent care facility, homeless shelter, youth center, or place of worship. The distance shall be measured from the exterior fence of the Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) to the property line of the protected use.

3)

Each Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) must be located a minimum of three hundred (300) feet from any residential district or any residential dwelling, trailer, recreational vehicle or recreational district. The distance shall be measured from the exterior fence of the Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) to the property line or dwelling of the protected use.

4)

Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) shall be restricted to IP - Industrial Park and HI - Heavy Industrial Zoning Districts and subject to a Conditional Use Permit. The Center(s) shall also conform to all Ordinance regulations as set forth within the specific Zoning District.

5)

No Medical Marijuana Dispensary shall have operating hours earlier than 8:00 a.m. or later than 7:00 p.m.

6)

The entire perimeter of a Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) structure must be well lit (minimum one (1) candle foot) to prevent concealment in shadows around the structure for a minimum of fifteen (15) feet around each structure that is part of the Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s). Further, everything within the fenced area shall have twenty-four-hour surveillance cameras depicting the entire exterior of the Manufacturing Center(s) and/or Distribution Center(s) as well as cameras at the property entrance depicting vehicles and license plates of each vehicle entering the parking lot.

7)

With the exception of the specific Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s), no other activity may occur within the facility or land parcel.

8)

No on-site outdoor storage shall be permitted.

9)

No drive-through, drive-up, or walk-up facilities shall be permitted.

10)

Each Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) must ensure there is no emission of dust, fumes, vapors, or odors into the environment.

11)

Windows must remain unobstructed, allowing visibility into the facility. Window tint, decals or window signage of any kind shall be strictly prohibited.

12)

All surveillance camera locations and surveillance recording equipment including specifications must be reviewed and approved by the Watford City Police Chief.

13)

All applicable state standards and requirements shall apply in the design and operations of any Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s).

1)

The provisions of this section do not waive or modify any other provision of this ordinance with which Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s) is required to comply. Nothing in this section is intended to authorize, legalize or permit the Compassionate Care Medical Marijuana Manufacturing Center(s) and/or Distribution Center(s), operation or maintenance of any facility, building or use which violates any City ordinance or statute of the State of North Dakota regarding public nuisances, Medical Marijuana, or any federal regulations or statutes relating to the use of controlled substances.

2)

This chapter shall be null and void if any determination is made, after the adoption of the ordinance enacting this section, by any court of competent jurisdiction, that Chapter 19-24 of the North Dakota Century Code, is invalid, or shall be null and void to the extent any portion of such section is held invalid.

3)

Should any section, subsection, clause or provision of this section for any reason be held to be invalid or factually unconstitutional, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining portions of this chapter, it being hereby expressly declared that this chapter, and each and every section, subsection, sentence, clause and phrase hereof would have been prepared, proposed, approved, adopted and/or ratified irrespective of the fact that any one (1) or more section, subsections, sentences, clauses or phrases of this chapter be declared invalid or unconstitutional.

(Ord. No. 489.1, 9-11-2018)