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1 The City of Ferndale Agenda Planning Commission Meeting WEDNESDAY, MARCH 4, 2020 @ 6:30 PM CITY HALL, 300 E 9 MILE, FERNDALE, MI 48220 1.ROLL CALL 2.APPROVAL OF AGENDA 3.APPROVAL OF MINUTES 3.A. Approval of the minutes of February 5, 2020. 4.CALL TO AUDIENCE 5.PUBLIC HEARING 5.A. Consideration of Zoning Ordinance Text Amendments to - Medical Marihuana Facility, Provisioning Center, Marihuana Retailer and Safety Compliance Facility Use Regulations (Article VIII., Sec. 24-165); 6.ADMINISTRATIVE ITEMS 7.COMMISSION ITEMS 8.ADJOURNMENT 1

The City of Ferndale€¦ · 5. The Planning Commission waived the tree replacement requirement in favor of funds to be place in the City’s tree fund. 6. The intention of requiring

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Page 1: The City of Ferndale€¦ · 5. The Planning Commission waived the tree replacement requirement in favor of funds to be place in the City’s tree fund. 6. The intention of requiring

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The City of FerndaleAgenda

Planning Commission MeetingWEDNESDAY, MARCH 4, 2020 @ 6:30 PM

CITY HALL, 300 E 9 MILE, FERNDALE, MI 48220

1.ROLL CALL

2.APPROVAL OF AGENDA

3.APPROVAL OF MINUTES

3.A. Approval of the minutes of February 5, 2020.

4.CALL TO AUDIENCE

5.PUBLIC HEARING

5.A. Consideration of Zoning Ordinance Text Amendments to - Medical Marihuana Facility,Provisioning Center, Marihuana Retailer and Safety Compliance Facility Use Regulations(Article VIII., Sec. 24-165);

6.ADMINISTRATIVE ITEMS

7.COMMISSION ITEMS

8.ADJOURNMENT

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Page 2: The City of Ferndale€¦ · 5. The Planning Commission waived the tree replacement requirement in favor of funds to be place in the City’s tree fund. 6. The intention of requiring

March 4, 2020 City Clerk

CITY OF FERNDALEREQUEST FOR COUNCIL ACTION

FROM: Barb Miller

SUBJECT: Approval of the minutes of February 5, 2020.

INTRODUCTIONApproval of the minutes of February 5, 2020.

SUMMARY & BACKGROUNDApproval of the minutes of February 5, 2020.

BUDGETARY CONTEXTNA

CIP#NA

ATTACHMENTSPC Minutes of 02052020.docx

STRATEGIC PLANNING CONTEXTOrganizational and Financial Excellence

RECOMMENDED ACTIONApproval of the minutes of February 5, 2020.

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MINUTESPlanning Commission Meeting

February 5, 2020 7:00 PMCity Hall, 300 E 9 Mile, Ferndale MI, 48220

1) ROLL CALL

COUNCIL PRESENT: Greg PawlicaMatthew ShowalterBrittney HoszkiwChrista AzarDeborah BrazenMichelle FosterIan WilliamsonKate Baker

COUNCIL ABSENT: None

2) APPROVAL OF AGENDA

remove item 3B -

Moved by Deborah Brazen, Seconded by Christa Azar to approve the agenda as amended.

For: Greg Pawlica, Matthew Showalter, Brittney Hoszkiw, Christa Azar, Deborah Brazen, Michelle Foster, Ian Williamson, Kate BakerAgainst: NoneAbstain: None

8 - 0 - 0MOTION CARRIED

3) APPROVAL OF MINUTES

3.A Approval of the minutes from November 6, 2019 Planning Commission meeting.

Cover PageMinutes of 2019 11 06.docx

Moved by Christa Azar, seconded by Brittney Hoszkiw to approve the minutes from the November 6, 2019 Planning Commission meeting.

For: Greg Pawlica, Matthew Showalter, Brittney Hoszkiw, Christa Azar, Deborah Brazen, Michelle Foster, Ian Williamson, Kate BakerAgainst: NoneAbstain: Michelle Foster

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Planning CommissionFebruary 5, 2020

7 - 0 - 1

MOTION CARRIED

3.B Approval of the minutes from January 15, 2020 Planning Commission meeting.

3.C Approval of the minutes of December 18, 2019 Planning Commission meeting

Minutes of 2019 12 18.pdf

Moved by Christa Azar, seconded by Matthew Showalter to approve the minutes of December 18, 2019.

For: Dan Martin, Matthew Showalter, Brittney Hoszkiw, Christa Azar, Deborah Brazen, Michelle Foster, Ian Williamson, Kate BakerAgainst: NoneAbstain: None

8 - 0 - 0MOTION CARRIED,

4) CALL TO AUDIENCE - none

5) NEW BUSINESS

5.A 244 Vester Street - Site Plan

Cover Page20200205-244 Vester Staff Report.pdf244-256 Vester - Project Narrative.pdf244-256 Vester_SPA Resubmittal_2020-01-30.pdf20200205-244 Vester Site Plan Application.pdf244 Vester-Material Ratio - 2020-01-31.pdf20200205-244 Vester Staff Report.pdf

Lyons - Kreiger/Platt on behalf of 244 Vester site plan approval - permitted use in R3; conceptual plan presented with new ordinances passed since; those changes have been incorporated into the plan. Item 3 in staff report - outlines the number of trees to be replaced - payment in lieu. Planning Commission is the approval body for site plans, not City Council. Site aligns with future land use in the MLUP - greater mix of housing types for walkability, transitional district. Included building design and siding that meets setbacks, lot coverage and density/acre. Front area with private patio space, not exceeding 30% of paved surface, currently at 27%; first site plan to go through new architectural compatibilities in ordinance, meet % as required. Included mechanical visuals (screened by parapet); big change from previous concept plan is coming from the alley as required, removes 2 driveways and changes on streetparking to 8; added charging station for vehicles. Landscape plan meets requirements for 2 tree types; requesting payment in lieu to tree fund, goal is for trees to be planted in the neighborhood. Request is listed in Findings; lighting plan is included in conditions (reviewed by staff). Staff reviewed waste receptacles - rear yard. Preliminary engineering review of stormwater mgmt plan and meet

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Planning CommissionFebruary 5, 2020

underground retention on site requirements. Ordinance requires long term maintenance agreement by City Council, city attorney is reviewing, and the Fire Department has reviewed.

Kreiger Kreiger & Brad Burns - presentation to walk through project and answer questions8 unit development - 12 parking spaces; rotated building 180 degrees to drive in from rear, outdoor spaces added in front; steps back; location map; site plan after revisions; driveways are gone, added outdoor patios; transformer on site; required bike storage on site and in garages; photometric zero ft candles around property; exterior elevations; brick on ground floor, hardy board and small amts of metal panels on 2nd floor; aerial shows balconies and ground floor patios.

Burns - took community feedback and PC comments to improve plansKreiger - does PC have ability to discuss ordinance - see it as a maintenance issue in front of the driveways - can they remove the screen walls - they're going to be destroyed - south wall only, more decorative than useful.

Baker - questions/comments from audience?

Grant Jeffries - 257 Vester - overall the changes are positive; 2 comments - what is height of the wall on 2nd floor - 42" or higher? Also seem closed - any thoughts about using glass - roof/stair ladder access is unfortunate, is there a better spot on the side?

Kat Bruner-James - 263 Vester - thanked the applicant; presented aggregate idea; he joined the group and looked at them and reviewed; some really significant changes; reorienting the porches was important; took parking input and met the requirements; reposted the new site Monday and have no new criticisms; have own concerns about stormwater capacity; city talked her through the below ground infrastructure to mitigate; looking forward to newly planted trees, lack of trees in that spot; the front walk is going to get no sun in the winter - hire good contractor to clear snow in the winter; look forward to being good neighbors.

Baker - wall height?Kreiger - 42" required by code - kept enclosed for privacyBurns - plan is to add plantings; glass in rentals isn't a good ideaBaker - feedback from developer at 9/Livernois had to add more screening because people were looking in; the instinct to make residential area - Question about roof access and ladder in center backKreiger - there is no good spot - if not required, it wouldn't be there - will paint to blend in

Snow removal - Burns - takes serious care - it will be shoveled, plowed, as need, or may require contractor to remove from site depending on amountKreiger - street trees are going in - will plant as many as possibleBaker - 120, not 220 feet - city coordinates tree plantings in specific areasAzar - design is improvedFoster - can't find screening wall 2194 E3 - does allow for PC - if found ineffective they may remove in this particular areaBurns - we'll still have a curb/minimal barrierBaker - it doesn't affect screening around dumpster – noFoster - my opinion would be to remove it but concern about a curb which would be damagedBurns - a rolled curb or lip to contain water - engineering will requireBaker - comfortable having the back open?

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Planning CommissionFebruary 5, 2020

Burns - it's not a cost thing but a damage to vehicles; it's a little tight and better line of siteFoster - safety - lighting in backBurns - lights into parking lot but designed not to bleed into neighborhoodFoster - doesn't want it dark at rear of parking lotKreiger - will work with designer - so it doesn't bleed into neighbor’s yardBaker - lights on loft - might find out lights are bleeding into your siteFoster - windows on the interior bedrooms? Burns - may have to do something to make them more lucrative not to have a window in the bedroom -two of the eightFoster - our new ordinance has a regulation for open space in R1 and R2 but not R4Baker - are you comfortable waiving requirements for stub walls? YesFoster - are you comfortable with parking - you didn't ask for waiversBurns - no, it's the last thing we want - need as much parking a possibleWilliamson - this is a lot of volume, but you've worked hard for a clean project without variances and you've listened to the neighbor's concerns. Wish more developers would do it the way you've done it.Pawlica - meter locations - where on the buildingBurns - gas on east side and inset, can't see from the street; utility room and enclosed and on the groundPawlica - trash access - people have to walk in the alley, past the transformer? How many will do this as opposed to walking to the handicap section and tossing over the sideBurns - I’ll monitor that because I don't want that either. Wish we didn't have to have doors to make it less of a thing. Unfortunately, a garbage truck is not going to come in and be able to turn aroundPawlica - the location is good, at least it's in the back with a wallBurns - it's not great but it's the best optionFoster - did the company require it?Burns - if curbside need 8 containers, and they're all over the place with trash everywhere; individual is cheaper, but this is better.Baker - recycling?Burns - if it fits, we might be able to do it; might be able to do something hybrid - we actually use Car Trucking.Pawlica - would support removing screening wall and design of building is nice; first floor seems a little office complex to me - it's all flat and no projections, nothing that gives it a 3d effect, maybe tall bushes between windowsBurns - thought was to keep it simple - couple layers of projections above, additional trees are not shown, may put arborvitae between windowsPawlica - person walking by won's see the upper level and when you put your trees in the people walking across the street won't see it because of the trees; need a little more projectionBurns - maybe steel extensions over the doors?Pawlica - Baker – yesBaker - condition 3?Lyons - Finding #6 - remove the screening wallBaker – condition #3 canopies?Lyons – Finding - not sure we can require but will talk through - it wouldn't impede into the right of wayBurns - like the idea and will definitely look at options

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Planning CommissionFebruary 5, 2020

Moved by Michelle Foster, seconded by Christa Azar , in the matter of 244-256 Vester Street, the Planning Commission approve the Site Plan, based on plans dated received by the Planning Departmenton January 30, 2020, with the following findings and subject to the following conditions:

Findings

1. The site plan and supporting documents demonstrate that all applicable requirements of the Zoning Ordinance, as well as other City ordinances, standards, and requirements, can be met subject to the conditions noted below.

2. The proposed multiple-family residential use will not adversely affect existing uses by unreasonably increasing traffic, sound, artificial lighting, odors, emission of exhaust gases, drainage, pedestrian traffic, hours or days of operation, or by creating a public or private nuisance.

3. The proposed multiple-family residential use meets the goals of the Master Plan to diversify residential housing choices and aligns with the Urban Residential future land use description.

4. The proposed site design will not have an unreasonably detrimental or injurious effect upon the natural characteristics and features of the site or those of the surrounding area.

5. The Planning Commission waived the tree replacement requirement in favor of funds to be place in the City’s tree fund.

6. The intention of requiring screen walls between the parking area and adjacent property on the south lot line is not met due to circumstances of the site positioning on alley and may be removed.

7. The applicant may add canopies or projections on the north facade over doors.

8. The applicant may use pervious pavers in lieu of plantings in patio areas.

Conditions

1. A photometric plan for all lighting be submit on the final site plan.

2. A long-term stormwater maintenance agreement shall be submitted to the City for consideration by City Council.

For: Greg Pawlica, Brittney Hoszkiw, Christa Azar, Deborah Brazen, Michelle Foster, Ian Williamson, Kate BakerAgainst: NoneAbstain: Matthew Showalter

7 - 0 - 1MOTION CARRIED

6) DISCUSSION ITEMS

6.A Marihuana Ordinance Discussion

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Planning CommissionFebruary 5, 2020

Cover Page20200127-Marihuana Report Presentation.pptx2020 City Council Marihuana Report-1-20-20.docx2019.10.22 Zoning Ord Amendments.pdf2019.10.22 Chap 7, 7-410 thru 7-418 (clean).pdf

Lyons presented the Marihuana Report and Recommendation as required as presented to City Council on January 27, 2020. City had 5 applicants open based on caregiver model3 provisioning centers operating, 7 in the queue and they've not been reviewed. Proposal from MI Voters in 2018 - emergency rules issued by state. City approved ordinances in the fall. MRA began accepting applications last year. The City opened their acceptance of applications December 2019. September 13 opened and reporting period began. No formal applications. 1915 E Nine and E Eight Mile allowed to continue in current use. Opened and will process/review March 11 retailer applications received to date. Report/recommendation required - No observed issues related to safety, security, code enforcement. All licenses are up to date. Staff recommended allowing the study of increasing the provisioning centers from 3 to 5 as originally aligned. City passed motion to accept report and recommendation to study to see if those recommendations make sense.

Baker - what was the motion at Council? Lyons - can read it specificallyBaker - open for public commentLyons - did provide letter emailed to PC from the 3 open centers

Peter Tanglos - Green Buddah - opposed expanding to 5, have come to Ferndale and done everything right. Have spent millions to get going. Put yourself in our shoes and see how this will impact us. Tremendous pressure from the city to open on time. Consider we've only been open 4 months and only under the medical description. No way to know what happens when recreational comes in. The q hasn't spent a dollar and their only consideration is what we've done right. One of the people in the queue is right across the street across from us. Let us get our feet under us. Queue didn't get a license, meet requirements, etc. Please consider this.

Chris Aiello - consultant with all 3 provisioning centers; report doesn't point out - 3 open provisioning centers in Ferndale - 20,000 citizens - gave statistics on number of centers/citizens - when you add it up – Hazel Park isn't open because there's no product because of product cost - $4,000/#, not enough open state operating cultivating centers - report doesn't tell you effective March 1, that caregivers can't sell their products in the state licensed centers (can't bring in oil). Recreational offers home delivery - 34 stores in the area - there are only 2 7-11's. There's no economic data, we don't have our licenses fromthe state. We don't know what's going to happen on the sales, your data is lacking.

Todd Levy - 1551 Academy - 3 licensees - some of the points are valid - adding more centers may harm the city and the patients. There is a supply issue, oil and distillates aren't available. There's nobody regulating the pricing; this isn't covered by insurance. Didn't see justification on why to add more. Saying there are no incidents, isn't a reason to open more. We want to advocate for a grow facility next to our location - grows are safer than provisioning centers.

Michael Law - 180 Vester - concern with adding more - data received so far is only from September to now - Ann Arbor got busy when they opened, when recreational comes to Ferndale traffic and public

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Planning CommissionFebruary 5, 2020

safety - we have no idea how busy it could get - need to extend research and data collection - with no product/supply, the businesses will close.

Michael Delora - Cannabis Attorney of MI - Ferndale is the only community in the state with all facilities open - may be the only one who thinks this study is phenomenal; it's data starved - it's crucial - we are well suited to advise you on this study, 3 vs 5, you have 3 under FLMA and 2 under caregivers. Caregivers are the backbone of Michigan - they're leading the industry - there are products that haven't made it to the market and they have it - don't ignore them.

David Schaefer - on behalf of the caregivers - we support expanding in principal and we're not opposed to the study - if the data is there, license them - we're limited on the number of patients we can have -would be in support of expansion if study and council supports it.

Kathryn Hilton - LIV Ferndale employee - we have plenty of patients that come to us and will only come to us - for every step we take, we're at an important time in history, cannabis is becoming normalized but we need to take steps - it's important, consider before making quick decisions.

Paul Weisberger - 211 E Nine Mile - good points - in most communities favorable to Medical Marihuana, there is a tidal wave of applications, make sure the study isn't being driven by people bombarding the city with calls. Staff has recommended a discussion, not a recommendation to go to 5. If we're going to study something, we should introduce the two - we should wait until we see recreational marihuanabefore the recommendation.

Baker - 3 existing provisioning centers open, no Recreational open yet. Feedback to city addressed both. There is a number in our zoning ordinance. Clarify staff report and direction to PC did relate to provisioning and recreation.

Lyons - read - motion to receive . . . 24-165C and refer to PC whether to increase - basically a study on whether to increase or notBaker - Todd from Gage stated interest in grow - not currently allowed in FerndaleLyons - report was directly focused on code - wasn't directed to look at economics but report will include neighboring communities. It's not a full-on deep dive study.Pawlica - at the meeting staff provided the report, generated on the information. Recommendation was based on a number of factors. Council wanted more community input and this board is representative of the community and the best opportunity to speak on whether two more centers are needed. It is truly what this is being asked or suggested - what does the commission think.

Baker - I didn't think we had any recreational facilities open - gut instinct we want to make sure we're citing correctly. We should wait until recreational facilities open. It seems premature.Pawlica - When the state doesn't want to do something, they make a law that's really complex. We have provisioning centers - basically Medical Marihuana sales facilities - can't sell to public without Medical card. Has state made decision whether they can sell Medical and recreational in the same location or do they go through a new process?Lyons - believe license holders with Medical Marihuana to allow first priority to go through this process? How many are there already approved by state?Lyons - only one company for Ferndale, not sure how many licensed by state. Need to have 1 approval from state.

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Planning CommissionFebruary 5, 2020

Peter Tangelois - existing facilities that are fully licensed - they file pre-qualification for adult use and all 3 have them and will file within week. They're giving those if you have an existing facility only.

Pawlica - hypothetically, if we were to approve 5, keep the 3 Medical Marihuana, but update, could you have 8? Lyons - those 3 would be it - 2 retailers (new) only permitted if they have operating facility elsewhere in the state. Chris Aiello - ordinance has "co-locate" - statewide ordinance - you can receive recreational license as long as you co-locate. That applies as long as you co-locate. State requires product is clearly labeled as recreational and medical. You need another year to gather the data to make an informed decision. Growers are coming online in the next 6 months.Foster - can you give backgroundLyons - baseline set by original ordinance helped. Three existing provisioning centers weren't selected, it was first come. Applications were stamped and reviewed by staff. Then went through site plan approval process.Foster - why 3 in addition to 2 grandfatheredLyons - Council said limit to 3 and make timeline shortBaker - listing number of businesses seems strange, seems oddLyons - having in zoning ordinance and regulatory ordinance allows more local controlShowalter - is that how most communities deal with itLyons - seems to make sense to me - wanted community inputPawlica - because it's a brand newFoster - in Municode there is no reference to the use section - it's hard to answer - personally it's a market decision and no real basis for us to limit a business by number - as a PC board we have to think more land use, compatibility among the uses. All the conversations on supply, demand and pricing shouldn't make a difference. In talking about retail, I would be an advocate for a testing facility or two. When we look at the retailers, what other aspects of this retail chain are going to create a better economy of this system. Personally, open it up and see where the market lands.

Showalter - my issue with 5 -there's no room, it will be saturated. We are shoving heavy retail down a residential street. The M1 district isn't meant for large numbers of customers, it's meant for freight.Foster - working with 5 came from the buffer maps - OS/industrial - it fit more into this area.Hoszkiw - would be more comfortable talking about location, not number of facilitiesBaker - interested in discussing but would want more information coming to us before discussing more numbers. Maybe a broader use is more appropriate.Williamson - echo Hoszkiw - why are we being asked to consider the specific number? What is it based on? There is no data.Hoszkiw - the definition has changed, not just the use. Once the study is done, there may not be room.

Baker - what would be helpful to hold a public hearing? Williamson - a negative version of the map, showing the availability with buffer zones shown out to see what's availableFoster - and the locations where we want to have these districtsShowalter - Foster - it's similar to a liquor or pharmacy - doesn't need special overlay districtHoszkiw – agreePawlica - would it be appropriate to look at neighbors to see how they're zonedBaker - Lyons has that information; if you look at Ferndale in a vacuum, you're missing it

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Planning CommissionFebruary 5, 2020

Lyons - some of the communities are allowing other uses. Buffers aren't exact - should be from parcel to parcel, not to center of building - we factored in our neighboring communities; does downtown make sense, previous talks; original intent it was going to be associated with production; interested in more feedback from you. C2 covers a lot of Woodward/Eight Mile - does it even make sense as a district. It will be a big talk in the future.Foster - important to look at our MLUP. Need to think of it in terms of land use. Important to consider grandfathering.Lyons - parking requirements based on pharmacy useBaker - we should be transparent and notice the discussion even if there's no decisionLyons - the entire set of districts - could do all zoning districts outside of residential, if another discussion instead of a public hearing.Foster - notice in a way that shows we're open to discussionPawlica - it's not an immediate urgency, budget starts in 60 daysLyons - March 4th would be first meeting with public noticePawlica - what does the community think based on your wealth of knowledgeLyons - locations within and outside community, sounds like no weigh in on total numberPawlica - PC doesn't want to give a number but would likely recommend increaseHoszkiw - if there's not room to put one in the city, it doesn't matter - "there is room in the city based on a potentiality.Showalter - without recreation open, it won't be the same answerLyons - so look at buffers with our current ordinance in place, what's realistic and notFoster - make sure we're not creating more red tapeLyons - those in queue have come with a location in mind and step 1 from stateShowalter - how does it work if school wants to build within pre-existing buffer?Lyons - schools can do what they want - zoning doesn't applyPawlica - almost afraid to say this but I'm afraid we're opening up a can of worms - in these conversations we really could open space with only 1 or 2 locationsBaker - that's what happens

Williamson - for clarification - my position as a member doesn't feel PC should offer guidance on specific number of licenses. Council needs to make that decision, we can counsel on how these fit in the community based on ordinancesPawlica - is it possible that the commission sends it back to council and say we're not in a position to say a number. We're in a position to have a company meeting. Don't know if there's a benefit to where if council isn't interestedHoszkiw - let's say one of these existing centers goes out and a new one buys and comes in and we say no - plan for future use

7) ADMINISTRATIVE ITEMS - none

8) COMMISSION ITEMS - none

9) ADJOURNMENT at 9:02 PM

_____________________________________Barbara Miller, Deputy City Clerk

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Planning CommissionFebruary 5, 2020

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March 4, 2020 Community & Economic Development

CITY OF FERNDALEREQUEST FOR COUNCIL ACTION

FROM: Justin Lyons

SUBJECT: Consideration of Zoning Ordinance Text Amendments to - Medical Marihuana Facility,Provisioning Center, Marihuana Retailer and Safety Compliance Facility Use Regulations(Article VIII., Sec. 24-165);

INTRODUCTIONPlease see attached staff report for more details.

SUMMARY & BACKGROUNDPlease see attached staff report for more details.

BUDGETARY CONTEXTN/A

CIP#N/A

ATTACHMENTS2020304-Planning Commission Staff Report-Marihuana License.docx

2020.02.24. Zoning Ord 24-165 Center (red-lined).pdf

2020.02.24. Zoning Ord 24-165 Center (clean).docx

20200127-Marihuana Report Presentation.pptx

STRATEGIC PLANNING CONTEXTOrganizational and Financial Excellence

RECOMMENDED ACTIONRecommend approval of the amendments to Article VIII. Use Regulations, Sec. 24-165 to the City Council.

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Marihuana Use Regulations (Sec. 24-165) – Zoning Ordinance Text

February 25, 2020 - Page 1 of 2

Community and Economic Development – Staff Report

REQUEST Zoning Ordinance Text AmendmentORDINANCE Sec. 24-165. - Medical Marihuana Facility, Provisioning Center, Marihuana Retailer

and Safety Compliance Facility.STAFF Justin Lyons, Planning ManagerATTACHMENTS Draft Ordinance

Marihuana Report to City Council – January 20, 2020

Request Notes Following a recommendation from City Council, the Planning Commission discussed the report and

recommendation to increase the number of permits from medical marihuana provisioning centers and marihuana retailers.

The proposed zoning ordinance amendment would increase the number of permits from three (3) to five (5) each for medical marihuana provisioning centers and marihuana retailers.

SummaryAs required by Section 24-165, “a report and recommendation to Council regarding the types and limits of marihuana facilities allowed under Sec. 24-165 (A)(2) within six (6) months after the opening and operation of a marihuana facility and/or provisioning center.” The report was presented to City Council at the January 27, 2020 meeting and also included details regarding the existing facilities and an update regarding the marihuana retailer application process.

As part of the presentation, City Council passed a motion that staff and the Planning Commission review and recommend whether to increase the number of medical marihuana provisioning centers and marihuana retailers by two (2) additional permits, which would increase each permit type to a total of five (5) permits and requesting that Planning Commission undertake such review as soon as practical.The report's findings were that there was no adverse impact related to code enforcement, security, parking, or licensing for the existing provisioning centers. Further, the report recommended five (5) additional permits per use. The recommendation aligned with the number of permits under the MMMAand noted continued interest from applicants in the provisioning center queue that originally submit applications to the City in June 2018.

Staff presented the marihuana report and recommendation at the February 5, 2020 Planning Commission meeting. The Planning Commission discussed the recommendation for more permits and heard feedback from existing business owners and other interested parties. There was not action taken by the Commission, but to summarize the Planning Commission’s feedback, the Commission generally believed that the number of licenses should be determined by City Council. The Commission did offer to evaluate additional zoning districts and other marihuana establishments (particularly, growers and microbusinesses). However, that was not part of the original scope of the review recommended by City Council. Please see below for more details on the proposed ordinance amendments.

Ordinance Amendment SummaryAs a reminder, the current ordinance permits three (3) medical marihuana provisioning centers and three (3) marihuana retailers each. The current (and proposed) ordinance would allow for (but not require)provisioning centers and retailers to locate in the same property (also called co-locate) in one facility. The Michigan Regulatory Agency essentially treats the two (2) license types as equivalent licenses for both medical and retail uses and also allows for co-location. These marihuana establishments are permitted in

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Marihuana Use Regulations (Sec. 24-165) – Zoning Ordinance Text

February 25, 2020 - Page 2 of 2

the M-1 (Limited Industrial), M-2 (General Industrial), and OS (Office/Service) district. The increase in permits would align with the number of medical marihuana facilities (MMMA) originally permitted by City Council at the August 10, 2015 meeting (video link, agenda link). It is likely the existing buffer distance requirements in the marihuana ordinance would not allow for many more permits beyond the recommended increase in permits in the existing zoning districts.

The zoning ordinance amendment to Sec. 24-165 is separate from the regulatory ordinance amendments that would be considered by City Council in Chapter 7, Section 7-410 through 7-418. If more permits were permitted for medical marihuana provisioning center and marihuana retailers, an additional application process would need to be considered by City Council. The medical marihuana provisioning centers that are ranked fourth and fifth in the application queue would be considered first for new permits, but City Council may want to consider another application period for the marihuana retailer permit process.

Zoning Text Amendment RecommendationStaff recommends the zoning text amendment due to feedback to date and the report provide to City Council and the Planning Commission. A draft motion has been provided below. Should the Planning Commission recommend approval of the text amendment to the zoning ordinance, City Council will consider the amendment at a future public hearing.

Example Zoning Amendment MotionMOTION by , seconded by , the Planning Commission RECOMMEND APPROVAL of the amendments to Article VIII. Use Regulations, Sec. 24-165, to City Council after a Public Hearing was held as set and published for this date and place.

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ORDINANCE NO.

CITY OF FERNDALE

OAKLAND COUNTY, MICHIGAN

AN ORDINANCE TO AMEND ARTICLE VIII, USE REGULATIONS, SECTION

24-165 TO THE ZONING ORDINANCE NO. 1087, OF THE FERNDALE CODE OF

ORDINANCES.

THE CITY OF FERNDALE ORDAINS:

Part I.

The City of Ferndale Zoning Ordinance, being Ordinance No. 1087, Section 24-165 is

amended as follows:

Sec. 24-165. Medical Marihuana Facility, Provisioning Center, Marihuana Retailer and

Safety Compliance Facility.

(A) Applicability and Enabling Provision.

(1) Pursuant to Section 205(1) of the Medical Marihuana Facilities Licensing Act,

Act 281 of 2016, as amended, and pursuant to Section 6 of the Michigan Regulation and

Taxation of Marihuana Act, Initiated Law 1 of 2018, as amended, being MCL 333.27956

and the rules established by the Marihuana Regulation Agency, approved by the governor

of the State of Michigan, filed with the Michigan Secretary of State, the city shall

authorize the following types of medical marihuana facilities and marihuana

establishments.

(2) The city shall limit the number of medical marihuana facilities and marihuana

establishments authorized under this ordinance for each category of medical marihuana

facilities or marihuana establishments and may revise those categories and limits, by

ordinance amendment, from time to time:

a. Designated consumption establishment – the city shall not authorize any

designated consumption establishment within the city.

b. Growers – the city shall not authorize any growers within the city.

c. Marihuana microbusiness – the city shall not authorize any marihuana

microbusiness within the city.

d. Marihuana retailer – the city shall authorize not more than five (5)three

(3) marihuana retailers within the city.

e. Processors – the city shall not authorize any processors within the city.

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f. Provisioning Centers – the city shall authorize not more than five (5)three

(3) provisioning centers within the city.

g. Secure Transporters – the city shall not authorize any secure transporters

within the city.

h. Safety Compliance Facility – the city shall authorize not more than one

(1) safety compliance facility within the city.

i. Temporary marihuana event – the city shall not authorize any temporary

marihuana event within the city.

(3) No person or entity that was open or operating any facility purporting to grow,

produce, manufacture, test, sell, transfer or transport medical marihuana or marihuana

prior to the adoption of this ordinance shall be considered a lawful use or lawful

nonconforming use to conduct activity as a provisioning center or safety compliance

facility under this ordinance.

(4) This ordinance does not apply to, or regulate, any protected patient or caregiver

conduct pursuant to Initiated Law 1 of 2008.

(B) A medical marihuana facility shall be subject to the following requirements:

(1) Primary caregivers and/or qualified patients at the medical marihuana facility

must be legally registered by the Michigan Department of Community Health (MDCH)

to assist qualified patients with the medical use of marihuana in accordance with the

Michigan Medical Marihuana Act, as amended.

(2) A medical marihuana facility shall not be allowed within 500 feet of an

educational institution, nursery school, or child care center, or another medical marihuana

facility provisioning center or safety compliance facility.

(3) A medical marihuana facility shall be available for reasonable inspection, during

business hours, by the city code enforcement official or police to confirm the medical

marihuana facility is operating in accordance with all applicable laws, including state law

and city ordinances.

(4). The facility shall open no earlier than 9:00 a.m. and close no later than 9:00 p.m.

Monday through Sunday.

(5) A medical marihuana facility shall not be permitted to have drive-thru facilities.

(6) No use of medical marihuana shall be permitted at a medical marihuana facility.

(7) No patients shall be allowed in a medical marihuana facility after hours.

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(8) The parking requirements for a medical marihuana facility shall be consistent with

the parking requirements for medical clinics and not subject to any parking waiver under

the zoning ordinance.

(9) A security plan and floor plan shall be submitted with applications for a medical

marihuana facility. The medical marihuana facility shall identify the chemical storage,

space and other critical aspects of the layout. The security and floor plan shall be a

confidential document by the city exempt from disclosure under the Freedom of

Information Act.

(10) A waste disposal plan shall be included with all applications for a medical

marihuana facility detailing plans for any chemical, water and/or plant waste disposal.

(C) A provisioning center and safety compliance facility, in accordance with the provisions of

state law, shall be subject to the following requirements:

(1) Prior to opening, a provisioning center or safety compliance facility must be

licensed by the State of Michigan as required by the Medical Marihuana Facilities

Licensing Act, Act 281 of 2016, being MCL 333.27101 et seq. and then must be at all times

in compliance with the laws of the State of Michigan, including but not limited to the

Michigan Medical Marihuana Act, MCL 333.26421 et seq., and the Marihuana Tracking

Act, Act 282 of 2016, being MCL 333.27901 et seq. and all other applicable rules

promulgated by the State of Michigan.

(2) The provisioning center or safety compliance facility must be at all times be in

compliance with all applicable laws, ordinances and regulations of the city.

(3) The provisioning center or safety compliance facility shall be subject to inspection

at any time by the police department or the department of state police consistent with the

ordinances of the city and state law.

(4) A provisioning center or safety compliance facility shall be available for

inspection, during business hours, by the city manager or the city manager's designee,

code enforcement official, and police to determine whether the provisioning center or

safety compliance facility are operating in accordance with all applicable laws, including

state law and city ordinances.

(5) A provisioning center shall not be allowed within 500 feet of an educational

institution, nursery school, or child care center, or another provisioning center or medical

marihuana facility or marihuana retailer. This section shall not apply to a provisioning

center licensee that also has a marihuana retailer license that is co-located.

(6) A provisioning center or safety compliance facility shall open no earlier than 9:00

a.m. and close no later than 9:00 p.m. Monday through Sunday.

(7) No use of medical marihuana shall be permitted at a provisioning center or safety

compliance facility.

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(8) Marihuana products shall not be smoked, ingested, or otherwise used in the building

space or on the subject property occupied by a provisioning center or safety compliance

facility.

(9) No person other than employees or consultants shall be allowed in a provisioning

center or safety compliance facility after hours.

(10) The parking requirements for a provisioning center or safety compliance facility

shall be consistent with the parking requirements for medical clinics and not subject to

any parking waiver under the zoning ordinance.

(11) A security plan and floor plan shall be submitted with applications for a

provisioning center or safety compliance facility. The provisioning center or safety

compliance facility shall identify the chemical storage, space and other critical aspects of

the layout. The security and floor plan shall be a confidential document by the city

exempt from disclosure under the Freedom of Information Act.

(12) A waste disposal plan shall be included with all applications for a provisioning

center or safety compliance facility detailing plans for any chemical, water and/or plant

waste disposal in compliance with state and local laws and regulations.

(13) If only a portion of a building is being used by a provisioning center or safety

compliance facility the remainder of the building shall not be accessible or have an entrance

or entry way into the provisioning center or safety compliance facility.

(14) A maximum floor area of 5,000 square feet of retail usable floor space for

merchandise and service area open to the public may be used by a provisioning center on

the subject property. A provisioning center may have not more than an additional 5,000

square feet of space that shall not be open to the public, for storage and other administrative

uses necessary for the provisioning center.

(15) The provisioning center or safety compliance facility shall be equipped with an

activated carbon filtration system for odor control to ensure that air leaving the building

through an exhaust vent first passes through an activated carbon filter.

a. The filtration system shall consist of one or more fans and activated carbon

filters. At a minimum, the fan(s) shall be sized for cubic feet per minute (CFM)

equivalent to the volume of the building (length multiplied by width multiplied by

height) divided by three. The filter(s) shall be rated for the applicable CFM.

b. Doors and windows shall remain closed, except for the minimum length of

time needed to allow people to ingress and egress the provisioning center or safety

compliance facility.

c An alternative odor control system may be proposed if the applicant submits

a report certified by a mechanical engineer licensed in the State of Michigan

demonstrating that the alternative system will control odor as well or better than

the activated carbon filtration system otherwise required. The city may allow the 19

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alternative odor control system if it determines it will control odor as well as the

activated carbon filtration system.

(16) Security cameras shall be required for ingress/egress to the provisioning center or

safety compliance facility to record the subject property and shall also have cameras

showing any point of sales.

(17) All activities of a provisioning center, including all transfers of marihuana, shall be

conducted within the building and out of public view. A provisioning center shall not have

a walk-up window or drive-thru window service.

(18) The exterior appearance of the building shall remain compatible with the exterior

appearance of buildings or structures already constructed or under construction within the

immediate area, and shall be maintained so as to prevent blight or deterioration or

substantial diminishment or impairment of property values within the immediate area.

(19) Upon request, the city shall provide the following to the State of Michigan’s

Marihuana Regulatory Agency:

a. A copy of this ordinance;

b. A copy of any additional ordinances that apply to the medical marihuana

regulation in the city;

(20) Licensed medical marihuana patients or caregivers authorized by the State of

Michigan under Initiated Law 1 of 2008 shall not be required to receive special use

approval to conduct legal activities, within the limits established under the Michigan

Medical Marihuana Act, in any zoning district, but must comply will all applicable city

ordinances, including those governing odor, and all applicable State laws.

(21) The limits established in Sec. 24-165 (A)(2) of this ordinance regarding types and

number of particular categories of marihuana facilities allowed shall be evaluated by the

city manager or city manager’s designee with a report and recommendation to Council

regarding the types and limits of marihuana facilities allowed under Sec. 24-165 (A)(2)

within six (6) months after the opening and operation of a marihuana facility and/or

provisioning center authorized under Sec. 24-165 (A)(2).

(D) A marihuana retailer, in accordance with the provisions of state law, including the

Michigan Regulation and Taxation of Marihuana Act, Initiated Law 1 of 2018, as amended, shall

be subject to the following requirements:

(1) Prior to opening, a marihuana retailer must be licensed by the State of Michigan as

required by the Michigan Regulation and Taxation of Marihuana Act, Initiated Law 1 of

2018, as amended, being MCL 333.27951 et. seq. and then must be at all times in

compliance with the laws of the State of Michigan, including but not limited to the

Michigan Medical Marihuana Act, MCL 333.26421 et seq., and the Marihuana Tracking

Act, Act 282 of 2016, being MCL 333.27901 et seq. and all other applicable rules

promulgated by the State of Michigan. 20

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(2) The marihuana retailer must be at all times be in compliance with all applicable

laws, ordinances and regulations of the city.

(3) The marihuana retailer shall be subject to inspection at any time by the police

department or the department of state police consistent with the ordinances of the city and

state law.

(4) A marihuana retailer shall be available for inspection, during business hours, by

the city manager or the city manager's designee, code enforcement official, and police to

determine whether the marihuana retailer is operating in accordance with all applicable

laws, including state law and city ordinances.

(5) A marihuana retailer shall not be allowed within 500 feet of an educational

institution, nursery school, or child care center, or another marihuana retailer facility,

provisioning center or medical marihuana facility. The distance requirement in this

paragraph shall not apply to a safety compliance facility. This distance requirement shall

not apply to a marihuana retailer licensee that has a provisioning center license and is

trying to co-locate at a single location.

(6) A marihuana retailer shall open no earlier than 9:00 a.m. and close no later than

9:00 p.m. Monday through Sunday.

(7) No use of marihuana shall be permitted at a marihuana retailer.

(8) Marihuana products shall not be smoked, ingested, or otherwise used in the building

space or on the subject property occupied by a marihuana retailer.

(9) No persons, other than employees or consultants, shall be allowed in a marihuana

retailer after hours.

(10) The parking requirements for a marihuana retailer shall be consistent with the

parking requirements for medical clinics and not subject to any parking waiver under the

zoning ordinance.

(11) A security plan and floor plan shall be submitted with applications for a

marihuana retailer. The marihuana retailer shall identify the chemical storage, space and

other critical aspects of the layout. The security and floor plan shall be a confidential

document by the city exempt from disclosure under the Freedom of Information Act.

(12) A waste disposal plan shall be included with all applications for a marihuana

retailer detailing plans for any chemical, water and/or plant waste disposal in compliance

with state and local laws and regulations.

(13) If only a portion of a building is being used by a marihuana retailer, the remainder

of the building shall not be accessible or have an entrance or entry way into the marihuana

retailer.

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(14) A maximum floor area of 5,000 square feet of retail usable floor space for

merchandise and service area open to the public may be used by a marihuana retailer on

the subject property. A marihuana retailer may have not more than an additional 5,000

square feet of space that shall not be open to the public, for storage and other administrative

uses necessary for the marihuana retailer.

(15) The marihuana retailer shall be equipped with an activated carbon filtration system

for odor control to ensure that air leaving the building through an exhaust vent first passes

through an activated carbon filter.

a. The filtration system shall consist of one or more fans and activated carbon

filters. At a minimum, the fan(s) shall be sized for cubic feet per minute (CFM)

equivalent to the volume of the building (length multiplied by width multiplied by

height) divided by three. The filter(s) shall be rated for the applicable CFM.

b. Doors and windows shall remain closed, except for the minimum length of

time needed to allow people to ingress and egress the marihuana retailer.

c An alternative odor control system may be proposed if the applicant submits

a report certified by a mechanical engineer licensed in the State of Michigan

demonstrating that the alternative system will control odor as well or better than

the activated carbon filtration system otherwise required. The city may allow the

alternative odor control system if it determines it will control odor as well as the

activated carbon filtration system.

(16) All sales of a marihuana retailer shall be conducted within the building and out of

public view. A marihuana retailer shall not have a walk-up window or drive-thru window

service.

(17) The exterior appearance of the building shall remain compatible with the exterior

appearance of buildings or structures already constructed or under construction within the

immediate area, and shall be maintained so as to prevent blight or deterioration or

substantial diminishment or impairment of property values within the immediate area.

(18) Upon request, the city shall provide the following to the State of Michigan’s

Marihuana Regulatory Agency or department:

a. A copy of this ordinance;

b. A copy of any additional ordinances that apply to the medical marihuana

regulation in the city;

c. If the department does not issue rules and the city issues a permit, pursuant

to Section 16 of the Michigan Regulation and Taxation of Marihuana Act, Initiated

Law 1 of 2018, as amended, the city shall notify the department upon issuance of

any city permit to a marihuana establishment.

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(19) Licensed medical marihuana patients or caregivers authorized by the State of

Michigan under Initiated Law 1 of 2008 shall not be required to receive special use

approval to conduct legal activities, within the limits established under the Michigan

Medical Marihuana Act, in any zoning district, but must comply will all applicable city

ordinances, including those governing odor, and all applicable State laws.

(20) The limits established in Sec. 24-165 (A)(2) of this ordinance regarding types and

number of particular categories of marihuana facilities or marihuana establishments

allowed shall be evaluated by the city manager or city manager’s designee with a report

and recommendation to Council regarding the types and limits of marihuana facilities

and marihuana establishments allowed under Sec. 24-165 (A)(2) within six (6) months

after the opening and operation of a marihuana facility and/or provisioning center

authorized under Sec. 24-165 (A)(2) and within six (6) months after the opening of a

marihuana establishment authorized under Sec. 24-165(A)(2).

Part II. Savings Clause.

All proceedings pending and all rights and liabilities existing, acquired or incurred at the

time this ordinance takes effect are saved and may be consummated according to the law enforced

when they are commenced.

Part III. Severability.

The various parts, sections and clauses of this ordinance are declared to be severable. If

any part, sentence, paragraph, section or clause is adjudged unconstitutional or invalid by a court

of competent jurisdiction, the remainder of the ordinance shall not be affected.

Part IV. Repeal.

All regulatory provisions contained in other city ordinances which are inconsistent with

the provisions of this ordinance, are repealed.

Part V. Effective Date; Publication.

This ordinance shall become effective seven (7) days after publication.

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MADE, PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FERNDALE,

OAKLAND COUNTY, MICHIGAN, THIS ___ DAY OF _____________, 2020.

MELANIE PIANA, MAYOR

MARNE MCGRATH, CITY CLERK

Date of Adoption:

Date of Publication:

CERTIFICATE OF ADOPTION

I certify that the foregoing is a true and complete copy of the Ordinance passed at a meeting of the

Ferndale City Council held on the ___ day of _____________, 2020.

MARNE MCGRATH, CITY CLERK

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CITY OF FERNDALE

NOTICE OF ADOPTION

ORDINANCE _______

The City of Ferndale has adopted Ordinance No. ____ amending Section 24-165 to the

Ferndale Zoning Ordinance, Ordinance No. 1087. This Ordinance shall become effective seven

(7) days after publication. A true copy of the ordinance may be inspected or obtained at the office

of the City Clerk.

MARNE MCGRATH, CITY CLERK

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ORDINANCE NO.

CITY OF FERNDALEOAKLAND COUNTY, MICHIGAN

AN ORDINANCE TO AMEND ARTICLE VIII, USE REGULATIONS, SECTION 24-165 TO THE ZONING ORDINANCE NO. 1087, OF THE FERNDALE CODE OF ORDINANCES.

THE CITY OF FERNDALE ORDAINS:

Part I.

The City of Ferndale Zoning Ordinance, being Ordinance No. 1087, Section 24-165 is amended as follows:

Sec. 24-165. Medical Marihuana Facility, Provisioning Center, Marihuana Retailer and Safety Compliance Facility.

(A) Applicability and Enabling Provision.

(1) Pursuant to Section 205(1) of the Medical Marihuana Facilities Licensing Act,Act 281 of 2016, as amended, and pursuant to Section 6 of the Michigan Regulation and Taxation of Marihuana Act, Initiated Law 1 of 2018, as amended, being MCL 333.27956and the rules established by the Marihuana Regulation Agency, approved by the governor of the State of Michigan, filed with the Michigan Secretary of State, the city shallauthorize the following types of medical marihuana facilities and marihuana establishments.

(2) The city shall limit the number of medical marihuana facilities and marihuana establishments authorized under this ordinance for each category of medical marihuana facilities or marihuana establishments and may revise those categories and limits, by ordinance amendment, from time to time:

a. Designated consumption establishment – the city shall not authorize any designated consumption establishment within the city.

b. Growers – the city shall not authorize any growers within the city.

c. Marihuana microbusiness – the city shall not authorize any marihuana microbusiness within the city.

d. Marihuana retailer – the city shall authorize not more than five (5)marihuana retailers within the city.

e. Processors – the city shall not authorize any processors within the city. 26

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f. Provisioning Centers – the city shall authorize not more than five (5)provisioning centers within the city.

g. Secure Transporters – the city shall not authorize any secure transporters within the city.

h. Safety Compliance Facility – the city shall authorize not more than one (1) safety compliance facility within the city.

i. Temporary marihuana event – the city shall not authorize any temporary marihuana event within the city.

(3) No person or entity that was open or operating any facility purporting to grow, produce, manufacture, test, sell, transfer or transport medical marihuana or marihuana prior to the adoption of this ordinance shall be considered a lawful use or lawful nonconforming use to conduct activity as a provisioning center or safety compliance facility under this ordinance.

(4) This ordinance does not apply to, or regulate, any protected patient or caregiver conduct pursuant to Initiated Law 1 of 2008.

(B) A medical marihuana facility shall be subject to the following requirements:

(1) Primary caregivers and/or qualified patients at the medical marihuana facility must be legally registered by the Michigan Department of Community Health (MDCH) to assist qualified patients with the medical use of marihuana in accordance with the Michigan Medical Marihuana Act, as amended.

(2) A medical marihuana facility shall not be allowed within 500 feet of an educational institution, nursery school, or child care center, or another medical marihuana facility provisioning center or safety compliance facility.

(3) A medical marihuana facility shall be available for reasonable inspection, during business hours, by the city code enforcement official or police to confirm the medical marihuana facility is operating in accordance with all applicable laws, including state law and city ordinances.

(4). The facility shall open no earlier than 9:00 a.m. and close no later than 9:00 p.m.Monday through Sunday.

(5) A medical marihuana facility shall not be permitted to have drive-thru facilities.

(6) No use of medical marihuana shall be permitted at a medical marihuana facility.

(7) No patients shall be allowed in a medical marihuana facility after hours.

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(8) The parking requirements for a medical marihuana facility shall be consistent with the parking requirements for medical clinics and not subject to any parking waiver under the zoning ordinance.

(9) A security plan and floor plan shall be submitted with applications for a medical marihuana facility. The medical marihuana facility shall identify the chemical storage, space and other critical aspects of the layout. The security and floor plan shall be a confidential document by the city exempt from disclosure under the Freedom of Information Act.

(10) A waste disposal plan shall be included with all applications for a medical marihuana facility detailing plans for any chemical, water and/or plant waste disposal.

(C) A provisioning center and safety compliance facility, in accordance with the provisions of state law, shall be subject to the following requirements:

(1) Prior to opening, a provisioning center or safety compliance facility must be licensed by the State of Michigan as required by the Medical Marihuana Facilities Licensing Act, Act 281 of 2016, being MCL 333.27101 et seq. and then must be at all times in compliance with the laws of the State of Michigan, including but not limited to the Michigan Medical Marihuana Act, MCL 333.26421 et seq., and the Marihuana Tracking Act, Act 282 of 2016, being MCL 333.27901 et seq. and all other applicable rules promulgated by the State of Michigan.

(2) The provisioning center or safety compliance facility must be at all times be in compliance with all applicable laws, ordinances and regulations of the city.

(3) The provisioning center or safety compliance facility shall be subject to inspectionat any time by the police department or the department of state police consistent with the ordinances of the city and state law.

(4) A provisioning center or safety compliance facility shall be available for inspection, during business hours, by the city manager or the city manager's designee, code enforcement official, and police to determine whether the provisioning center or safety compliance facility are operating in accordance with all applicable laws, including state law and city ordinances.

(5) A provisioning center shall not be allowed within 500 feet of an educational institution, nursery school, or child care center, or another provisioning center or medical marihuana facility or marihuana retailer. This section shall not apply to a provisioning center licensee that also has a marihuana retailer license that is co-located.

(6) A provisioning center or safety compliance facility shall open no earlier than 9:00 a.m. and close no later than 9:00 p.m. Monday through Sunday.

(7) No use of medical marihuana shall be permitted at a provisioning center or safety compliance facility.

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(8) Marihuana products shall not be smoked, ingested, or otherwise used in the building space or on the subject property occupied by a provisioning center or safety compliance facility.

(9) No person other than employees or consultants shall be allowed in a provisioning center or safety compliance facility after hours.

(10) The parking requirements for a provisioning center or safety compliance facility shall be consistent with the parking requirements for medical clinics and not subject to any parking waiver under the zoning ordinance.

(11) A security plan and floor plan shall be submitted with applications for a provisioning center or safety compliance facility. The provisioning center or safety compliance facility shall identify the chemical storage, space and other critical aspects of the layout. The security and floor plan shall be a confidential document by the city exempt from disclosure under the Freedom of Information Act.

(12) A waste disposal plan shall be included with all applications for a provisioning center or safety compliance facility detailing plans for any chemical, water and/or plant waste disposal in compliance with state and local laws and regulations.

(13) If only a portion of a building is being used by a provisioning center or safety compliance facility the remainder of the building shall not be accessible or have an entrance or entry way into the provisioning center or safety compliance facility.

(14) A maximum floor area of 5,000 square feet of retail usable floor space for merchandise and service area open to the public may be used by a provisioning center on the subject property. A provisioning center may have not more than an additional 5,000 square feet of space that shall not be open to the public, for storage and other administrative uses necessary for the provisioning center.

(15) The provisioning center or safety compliance facility shall be equipped with an activated carbon filtration system for odor control to ensure that air leaving the building through an exhaust vent first passes through an activated carbon filter.

a. The filtration system shall consist of one or more fans and activated carbon filters. At a minimum, the fan(s) shall be sized for cubic feet per minute (CFM) equivalent to the volume of the building (length multiplied by width multiplied by height) divided by three. The filter(s) shall be rated for the applicable CFM.

b. Doors and windows shall remain closed, except for the minimum length of time needed to allow people to ingress and egress the provisioning center or safety compliance facility.

c An alternative odor control system may be proposed if the applicant submits a report certified by a mechanical engineer licensed in the State of Michigan demonstrating that the alternative system will control odor as well or better than the activated carbon filtration system otherwise required. The city may allow the 29

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alternative odor control system if it determines it will control odor as well as the activated carbon filtration system.

(16) Security cameras shall be required for ingress/egress to the provisioning center orsafety compliance facility to record the subject property and shall also have cameras showing any point of sales.

(17) All activities of a provisioning center, including all transfers of marihuana, shall be conducted within the building and out of public view. A provisioning center shall not have a walk-up window or drive-thru window service.

(18) The exterior appearance of the building shall remain compatible with the exterior appearance of buildings or structures already constructed or under construction within the immediate area, and shall be maintained so as to prevent blight or deterioration or substantial diminishment or impairment of property values within the immediate area.

(19) Upon request, the city shall provide the following to the State of Michigan’s Marihuana Regulatory Agency:

a. A copy of this ordinance;

b. A copy of any additional ordinances that apply to the medical marihuana regulation in the city;

(20) Licensed medical marihuana patients or caregivers authorized by the State of Michigan under Initiated Law 1 of 2008 shall not be required to receive special use approval to conduct legal activities, within the limits established under the Michigan Medical Marihuana Act, in any zoning district, but must comply will all applicable city ordinances, including those governing odor, and all applicable State laws.

(21) The limits established in Sec. 24-165 (A)(2) of this ordinance regarding types and number of particular categories of marihuana facilities allowed shall be evaluated by the city manager or city manager’s designee with a report and recommendation to Council regarding the types and limits of marihuana facilities allowed under Sec. 24-165 (A)(2)within six (6) months after the opening and operation of a marihuana facility and/or provisioning center authorized under Sec. 24-165 (A)(2).

(D) A marihuana retailer, in accordance with the provisions of state law, including the Michigan Regulation and Taxation of Marihuana Act, Initiated Law 1 of 2018, as amended, shall be subject to the following requirements:

(1) Prior to opening, a marihuana retailer must be licensed by the State of Michigan as required by the Michigan Regulation and Taxation of Marihuana Act, Initiated Law 1 of 2018, as amended, being MCL 333.27951 et. seq. and then must be at all times in compliance with the laws of the State of Michigan, including but not limited to the Michigan Medical Marihuana Act, MCL 333.26421 et seq., and the Marihuana Tracking Act, Act 282 of 2016, being MCL 333.27901 et seq. and all other applicable rules promulgated by the State of Michigan. 30

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(2) The marihuana retailer must be at all times be in compliance with all applicable laws, ordinances and regulations of the city.

(3) The marihuana retailer shall be subject to inspection at any time by the police department or the department of state police consistent with the ordinances of the city and state law.

(4) A marihuana retailer shall be available for inspection, during business hours, by the city manager or the city manager's designee, code enforcement official, and police to determine whether the marihuana retailer is operating in accordance with all applicable laws, including state law and city ordinances.

(5) A marihuana retailer shall not be allowed within 500 feet of an educational institution, nursery school, or child care center, or another marihuana retailer facility, provisioning center or medical marihuana facility. The distance requirement in this paragraph shall not apply to a safety compliance facility. This distance requirement shall not apply to a marihuana retailer licensee that has a provisioning center license and is trying to co-locate at a single location.

(6) A marihuana retailer shall open no earlier than 9:00 a.m. and close no later than 9:00 p.m. Monday through Sunday.

(7) No use of marihuana shall be permitted at a marihuana retailer.

(8) Marihuana products shall not be smoked, ingested, or otherwise used in the building space or on the subject property occupied by a marihuana retailer.

(9) No persons, other than employees or consultants, shall be allowed in a marihuana retailer after hours.

(10) The parking requirements for a marihuana retailer shall be consistent with the parking requirements for medical clinics and not subject to any parking waiver under the zoning ordinance.

(11) A security plan and floor plan shall be submitted with applications for a marihuana retailer. The marihuana retailer shall identify the chemical storage, space and other critical aspects of the layout. The security and floor plan shall be a confidential document by the city exempt from disclosure under the Freedom of Information Act.

(12) A waste disposal plan shall be included with all applications for a marihuana retailer detailing plans for any chemical, water and/or plant waste disposal in compliance with state and local laws and regulations.

(13) If only a portion of a building is being used by a marihuana retailer, the remainder of the building shall not be accessible or have an entrance or entry way into the marihuana retailer.

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(14) A maximum floor area of 5,000 square feet of retail usable floor space for merchandise and service area open to the public may be used by a marihuana retailer on the subject property. A marihuana retailer may have not more than an additional 5,000 square feet of space that shall not be open to the public, for storage and other administrative uses necessary for the marihuana retailer.

(15) The marihuana retailer shall be equipped with an activated carbon filtration system for odor control to ensure that air leaving the building through an exhaust vent first passes through an activated carbon filter.

a. The filtration system shall consist of one or more fans and activated carbon filters. At a minimum, the fan(s) shall be sized for cubic feet per minute (CFM) equivalent to the volume of the building (length multiplied by width multiplied by height) divided by three. The filter(s) shall be rated for the applicable CFM.

b. Doors and windows shall remain closed, except for the minimum length of time needed to allow people to ingress and egress the marihuana retailer.

c An alternative odor control system may be proposed if the applicant submits a report certified by a mechanical engineer licensed in the State of Michigan demonstrating that the alternative system will control odor as well or better than the activated carbon filtration system otherwise required. The city may allow the alternative odor control system if it determines it will control odor as well as the activated carbon filtration system.

(16) All sales of a marihuana retailer shall be conducted within the building and out of public view. A marihuana retailer shall not have a walk-up window or drive-thru window service.

(17) The exterior appearance of the building shall remain compatible with the exterior appearance of buildings or structures already constructed or under construction within the immediate area, and shall be maintained so as to prevent blight or deterioration or substantial diminishment or impairment of property values within the immediate area.

(18) Upon request, the city shall provide the following to the State of Michigan’s Marihuana Regulatory Agency or department:

a. A copy of this ordinance;

b. A copy of any additional ordinances that apply to the medical marihuana regulation in the city;

c. If the department does not issue rules and the city issues a permit, pursuant to Section 16 of the Michigan Regulation and Taxation of Marihuana Act, Initiated Law 1 of 2018, as amended, the city shall notify the department upon issuance of any city permit to a marihuana establishment.

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(19) Licensed medical marihuana patients or caregivers authorized by the State of Michigan under Initiated Law 1 of 2008 shall not be required to receive special use approval to conduct legal activities, within the limits established under the Michigan Medical Marihuana Act, in any zoning district, but must comply will all applicable city ordinances, including those governing odor, and all applicable State laws.

(20) The limits established in Sec. 24-165 (A)(2) of this ordinance regarding types and number of particular categories of marihuana facilities or marihuana establishments allowed shall be evaluated by the city manager or city manager’s designee with a report and recommendation to Council regarding the types and limits of marihuana facilities and marihuana establishments allowed under Sec. 24-165 (A)(2) within six (6) months after the opening and operation of a marihuana facility and/or provisioning center authorized under Sec. 24-165 (A)(2) and within six (6) months after the opening of a marihuana establishment authorized under Sec. 24-165(A)(2).

Part II. Savings Clause.

All proceedings pending and all rights and liabilities existing, acquired or incurred at the time this ordinance takes effect are saved and may be consummated according to the law enforced when they are commenced.

Part III. Severability.

The various parts, sections and clauses of this ordinance are declared to be severable. If any part, sentence, paragraph, section or clause is adjudged unconstitutional or invalid by a court of competent jurisdiction, the remainder of the ordinance shall not be affected.

Part IV. Repeal.

All regulatory provisions contained in other city ordinances which are inconsistent with the provisions of this ordinance, are repealed.

Part V. Effective Date; Publication.

This ordinance shall become effective seven (7) days after publication.

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MADE, PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FERNDALE, OAKLAND COUNTY, MICHIGAN, THIS ___ DAY OF _____________, 2020.

MELANIE PIANA, MAYOR

MARNE MCGRATH, CITY CLERK

Date of Adoption:

Date of Publication:

CERTIFICATE OF ADOPTION

I certify that the foregoing is a true and complete copy of the Ordinance passed at a meeting of the Ferndale City Council held on the ___ day of _____________, 2020.

MARNE MCGRATH, CITY CLERK

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CITY OF FERNDALENOTICE OF ADOPTIONORDINANCE _______

The City of Ferndale has adopted Ordinance No. ____ amending Section 24-165 to the Ferndale Zoning Ordinance, Ordinance No. 1087. This Ordinance shall become effective seven (7) days after publication. A true copy of the ordinance may be inspected or obtained at the office of the City Clerk.

MARNE MCGRATH, CITY CLERK

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CITY OF FERNDALE COMMUNITY & ECONOMIC DEVELOPMENT

City Council – January 27, 2020

Marihuana Report and Recommendation

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CITY OF FERNDALE COMMUNITY & ECONOMIC DEVELOPMENT

AGENDA

• EXISTING MARIHUANA LANDSCAPE

• REPORT AND RECOMMENDATION

• NEXT STEPS

Thursday, February 27, 2020 2

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CITY OF FERNDALE COMMUNITY & ECONOMIC DEVELOPMENT

MARIHUANA REGULATION TIMELINE

Thursday, February 27, 2020 3

MEDICAL• MICHIGAN MEDICAL

MARIHUANA ACT (2008)

• MICHIGAN MARIHUANA FACILITIES LICENSING ACT (2016)

RECREATIONAL• MICHIGAN REGULATION

AND TAXATION OF MARIHUANA ACT (2018)

• EMERGENCY RULES ISSUED JULY 3, 2019

• LARA ACCEPTED APPLICATIONS NOVEMBER 1, 2019

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CITY OF FERNDALE COMMUNITY & ECONOMIC DEVELOPMENT

MEDICAL MARIHUANA REVIEW

• Three (3) permitted provisioning centers approved in the City• 2625 Hilton (LIV Wellness)• 1551 Academy (Gage)• 1921 Hilton (Green Buddha)

• Reporting period began on September 13th

• Seven (7) provisioning center applications in the queue

• Ordinance permits one (1) safety compliance facility – 0 applications so far

• Two (2) existing, non-conforming medical marihuana facilities (MMMA) allowed to continue to operate under original State regulations and special land use conditions

• 1915 E. Nine Mile• 1521 E. Eight Mile

Thursday, February 27, 2020 4

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CITY OF FERNDALE COMMUNITY & ECONOMIC DEVELOPMENT

RECREATIONAL MARIHUANA

• New definitions for marihuana establishments to align with Michigan Regulation and Taxation of Marihuana Act (MRTMA)

• Permit three (3) state licensed marihuana retailers

• Permit provisioning centers to co-locate with retailers (if they have a State operating license for retailer

• Application period began December 1, 2019

• Review process begins on March 1, 2020

• City Council will review applications based on criteria in Sec. 7-412

Thursday, February 27, 2020 5Marihuana ArcGIS Map: http://ferndale.maps.arcgis.com/apps/View/index.html?appid=5353dc76d7d5420d9c560b46730100eb

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CITY OF FERNDALE COMMUNITY & ECONOMIC DEVELOPMENT

REPORT

• Staff review by Community and Economic Development, Building, Fire, and Police Departments since September 13, 2019

• Multiple inspections as part of the building permit and Certificate of Occupancy process

• Consistent, periodic inspections by the Police Department since opening

• No observed issues related to safety, security or code enforcement

• All three (3) provisioning center licenses confirmed valid by Michigan Regulatory Agency (MRA)

Thursday, February 27, 2020 6

• Recommendation to increase the number of licenses for:

• Medical marihuana provisioning centers from 3 to 5

• Marihuana retailers from 3 to 5• Aligns with the prior license

amount that City Council authorized for medical marihuana facilities under the MMMA

• Gives an opportunity for the next two (2) applicants in the medical marihuana provisioning center queue

• No observed issues related to safety, security or code enforcement

RECOMMENDATION

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CITY OF FERNDALE COMMUNITY & ECONOMIC DEVELOPMENT

NEXT STEPS

• January 27th: Staff presented report to City Council

• February 5th: Ordinance discussion at Planning Commission

• March 1st: Marihuana retailer application period closes

• March 1st: City Clerk shall forward applications to City Council

• March 5th: Ordinance public hearing at Planning Commission

• March 10th or 24th: Ordinance consideration by City Council

• April 29th: Last day to notify applicants of rejected marihauna retailer applications

Thursday, February 27, 2020 7

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