HomeMy WebLinkAboutR18-006 Amending and Adopting Medical and Retail Marijuana Business Licenising Regulations ,L
Commissioner moved adoption
of the following Resolution:
BOARD OF COUNTY COMMISSIONERS
COUNTY OF EAGLE,STATE OF COLORADO
RESOLUTION NO.2018- 00 CO
A RESOLUTION AMENDING AND ADOPTING EAGLE COUNTY MEDICAL AND
RETAIL MARIJUANA BUSINESS LICENSING REGULATIONS
WHEREAS,Article XVIII,Sections 14 and 16,of the Colorado Constitution allows limited,
regulated medical and retail uses of marijuana; and
WHEREAS, the Colorado Legislature enacted articles 43.3 and 43.4 of Title 12 of the
Colorado Revised Statutes that authorized counties to determine whether to permit certain medical
and retail marijuana business within their jurisdictions and, if so, to develop local licensing
standards; and
WHEREAS, on December 31, 2013, Eagle County adopted local licensing regulations by
Resolution Number 2013-124, a Resolution Adopting Eagle County Medical and Retail Marijuana
Business Licensing Regulations; and
WHEREAS,Eagle County desires to now revise said local licensing regulations to provide,
among other things: consistency with the Eagle County Land Use Regulations, an increase in the
amounts collected by Eagle County to offset its costs associated with marijuana businesses, an
extension of business operating hours,an elimination of unnecessary provisions,and an enhancement
of licensing procedures.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY
COMMISSIONERS OF THE COUNTY OF EAGLE,STATE OF COLORADO:
THAT, the Board hereby amends the local licensing regulations of medical and retail
marijuana businesses in unincorporated Eagle County.
THAT,the Eagle County Medical and Retail Marijuana Business Licensing Regulations,as
amended and set forth in the attached Exhibit A, are hereby adopted and approved.
THAT, Exhibit A shall replace and supersede any previous versions of the Eagle County
Medical and Retail Marijuana Business Licensing Regulations adopted by this Board.
THAT,the Board hereby finds,determines and declares that this Resolution is necessary for
the public health, safety and welfare of the residents of the County of Eagle, State of
Colorado.
MOVED,READ AND ADOPTED by the Board of County Commissioners of the
County of Eagle,State of Colorado,at its regular meeting held the I 1D µ day of J 14iw►&t _'.i ,
2018.
COUNTY OF EAGLE,STATE OF
of EA% COLORADO, By and Through Its BOARD
f, c' OF COUNTY COMMISSIONERS
Z
ATTEST: tbf * i
R--L .)tA- (.) toimpo By:
Clerk to the Board of Kathy Chandler-Henry ..
County Commissioners Chappi
1/2
Prr/L- 11141r
r H. Ryan
Commissioner
J m'0
nne McQue ne
ommissioner
Commissioner Ino (i UL1 . _4 -" seconded adoption of the foregoing resolution. The roll
having been called,the vote was as follows:
Commissioner Chandler-Henry
Commissioner Ryan 1414 _
Commissioner McQueeney 14^
This resolution passed by V // n vote of the Board of County Commissioners of
the County of Eagle, State of Colorado
2
EAGLE COUNTY
EAGLE COUNTY MEDICAL AND RETAIL MARIJUANA BUSINESS LICENSING
REGULATIONS
Article 1: Applicability and Purpose.
Regulated medical and retail marijuana use is allowed in Colorado under the provisions
of Sections 14 and 16 of Article XVIII of the Colorado Constitution; the Colorado Medical
Marijuana Code (the "Code"), Article 43.3 of title 12, C.R.S.; the Colorado Retail Marijuana
Code, Article 43.4 of title 12, C.R.S.; and rules promulgated pursuant to these authorities, 1 CCR
212-1 and 1 CCR 212-2 ("State Regulations"). These laws authorize counties and municipalities
to permit and regulate certain medical and retail marijuana establishments ("marijuana
business") within their jurisdictions. The purpose of these regulations is to further prescribe the
manner in which marijuana businesses can be conducted in unincorporated Eagle County and to
authorize licensing in Eagle County as provided in C.R.S. §§ 12-43.3-301 and 12-43.4-301, as
amended. These regulations shall have no applicability within any incorporated Town.
Article 2: Applicability.
All licenses must comply with the regulations set forth herein; all other applicable state
laws,rules and regulations as amended; and all County Land Use, Building Code, and other rules
and regulations as amended. A person or entity must obtain a license in accordance with these
regulations ("Local Regulations") and the applicable State Regulations prior to operating a
marijuana business in Eagle County. All terms in these Local Regulations shall have the same
meaning and definition as in the Eagle County Land Use Regulations, the State Regulations, and
all rules duly adopted by the State Licensing Authority or Marijuana Enforcement Division
unless specifically stated otherwise.
Article 3: Effective date and applicability.
(a) Effective date. These Local Regulations originally became effective upon
adoption by the Board of County Commissioners for Eagle County on January 1, 2014. These
revised regulations shall become effective on January 16, 2018. It shall be unlawful to operate
any marijuana business in unincorporated Eagle County without first having obtained a local
license under these Local Regulations and a State License under the State Regulations. These
Local Regulations, as may be amended from time to time, shall replace and supersede prior
resolutions and regulations dealing with medical marijuana businesses licensing in Eagle
County.
Eagle County Medical and Retail Business Licensing Regulations Page 1
Article 4: Local Licensing Authority.
The Eagle County Board of County Commissioners (the "Board") shall be the Local
Licensing Authority ("Authority") and may appoint an individual to serve in this capacity in its
sole discretion. The Board hereby appoints the Eagle County Planning Director or his designee
to act in this capacity.
Article 5: Licenses.
(a) License Types. The Authority is authorized to issue the following local licenses
should an applicant fulfill the requirements: medical marijuana center license; medical
marijuana-optional premises cultivation license; medical marijuana-infused products
manufacturing license; retail marijuana store license; retail marijuana cultivation facility license;
retail marijuana products manufacturing license; and, a retail marijuana testing facility license.
The licensing requirements in these Local Regulations shall be in addition to, and not in lieu of,
any other licensing and permitting requirements imposed by any other law or regulations
applicable to the operation of marijuana business. A separate license shall be required from the
State as provided by the State Regulations.
(b) State License Requirement. Should the Authority approve an application of a
local license, no such license shall be issued or effective until and unless the State Licensing
Authority has approved the issuance of a State License for the proposed licensed premises.
(c) Inspection. No local license shall be issued or effective until the building in
which the licensed business operations are to be conducted is ready for occupancy with such
furniture, fixtures, and equipment in place as are necessary to comply with applicable provisions
of any State Regulations and Local Regulations, and only after the Authority, or its designated
representative, has inspected the proposed licensed premises to determine that the applicant(s)
has complied with the drawings and requirements provided herein.
(d) Transporter and Business Operator Licenses. The Authority will not issue
additional local transporter and business operator licenses. Those with valid State licenses may
operate within Eagle County. A transporter may store marijuana within Eagle County only at a
location currently possessing a valid local store or cultivation license. Additionally, Eagle
County may issue storage permits for any facility meeting the same licensing requirements and
fees as those for a local store or cultivation license as set forth herein.
Article 6: Licensing Procedure.
(a) General Procedure. The Authority shall consider and act upon all complete local
license applications as authorized by these Local Regulations unless otherwise stated herein. The
Authority shall defer to the State to enforce compliance with the requirements in the State
Regulations. The Authority shall grant, conditionally grant or deny a license based solely upon
the Authority's investigation and findings, and no public hearing shall be required. The
Eagle County Medical and Retail Business Licensing Regulations Page 2
Authority may deny any application or revoke any license that is not in full compliance with
these Local Regulations.
(b) Application Forms. All applications for local licensing shall be made upon forms
provided by the Authority and shall include any supplemental materials as required by the State,
these Local Regulations, the Authority, or the County Land Use and Building Codes.
(c) Concurrent Application. As may be provided for under the State Regulations,
upon receipt of a local licensing application under these Local Regulations, the Authority may
request that the State Licensing Authority conduct a concurrent review of a new license
application and that the State advise the Authority of any items it finds that could result in the
denial of the license. The applicant shall be responsible for submitting any required fees and
materials directly to the State Licensing Authority under the State Regulations when a request is
made. If the Authority receives any notice from the State regarding any items it finds that could
result in the denial of the license, the Authority shall suspend its review of the local license until
it receives a notice from the State Licensing Authority that the noted discrepancies have been
corrected.
Article 7: Licensing Requirements.
Before issuing a local license for a marijuana business, the Authority shall require that
the applicant provide the requisite information necessary to determine that all of the following
requirements have been met by the applicant:
(a) The applicant has provided evidence that the appropriate application, license
renewal application, or operating fees have been paid;
(b) The applicant has obtained a confirmation or authorization from the Eagle County
Planning Department that states the use is permitted in the zone district proposed and the owner
has obtained all required approvals under the Eagle County Land Use Regulations as determined
by the Planning Director. To obtain such letter or authorization, the applicant shall provide a
detailed legal description of the proposed licensed premises and a map showing the following
uses in the immediate vicinity: 1) any residences that are not part of a mixed-use
commercial/residential development or within an Commercial General or Commercial Limited
zone district; 2) any drug or alcohol rehabilitation facilities; 3) any public community centers or
publically owned or maintained buildings open for use to the general public; 4) any public school
or private school; 5) any park, playground, boat ramp, or other similar recreational amenity open
to the public; 6) any licensed child care facility; or 7) any other sensitive use that may be
identified in the Eagle County Land Use Regulations, as may be amended from time to time.
The map must show the distance of these uses from the proposed licensed premises, measured in
accordance with the Eagle County Land Use Regulations, and must demonstrate that the
proposed licensed premises meets the required separation distance as promulgated within the
Eagle County Land Use Regulations, Section 3-330, Review Standards Applicable to Particular
Commercial and Industrial Uses;
Eagle County Medical and Retail Business Licensing Regulations Page 3
(c) The applicant has obtained a confirmation from the Eagle County Building
Inspector that states the proposed structure and use comply with all applicable building code
provisions and all necessary building permits have been obtained. To obtain such confirmation,
the applicant shall provide a detailed floor plan layout. Such plan shall be prepared by a
professional, licensed engineer or architect, and shall be drawn to scale to clearly depict the uses,
functions, and operations within the building. The plan shall show mechanical functions such as
cooling and ventilation systems, filters and discharge systems and locations, heating systems,
grow light configurations, wall construction and separation from other occupants, and any other
information necessary as determined by the Building Inspector;
(d) The applicant has submitted a detailed report, inclusive of detailed plans, on the
effective mitigation of any odors of the proposed operation or the mitigation and rectification of
any past odors reported from the activity. Such report shall include proof that the design for the
purification of air and odor shall have been either prepared or approved by a professional
licensed mechanical engineer(or other type of engineer qualified to design purification of air and
odor systems) to the standards contained in the Local Regulations or as otherwise may be
required to show proper ventilation systems so that odors are filtered and do not materially
interfere with adjoining businesses or residences;
(e) The applicant has submitted evidence that no zoning violations exist on the
property where the proposed licensed premises is to be located or any other property in the
County owned by the applicant;
(f) The applicant has obtained and submitted a confirmation from the Eagle County
Treasurer showing that all property taxes have been paid and no tax liens exist on the property
where the proposed licensed premises is to be located;
(g) For license renewals, the applicant has obtained and submitted proof from the
Colorado Department of Revenue that all applicable excise and sales taxes have been paid during
the prior licensed term including verified documentation of payment of excise and sales taxes to
the state and Eagle County;
(h) The applicant has obtained and submitted proof of possession of the proposed
licensed premises for the duration of the license;
(i) The applicant has submitted letters and proof of registered, certified mailing(s) to
the appropriate fire and law enforcement personnel describing the location and nature of the
proposed business;
(j) The applicant has obtained and submitted confirmation that it or an entity
associated with the applicant has not violated any State Regulations or Local Regulations during
any previous licensed terms or a detailed description on how the applicant has satisfactorily
corrected and mitigated any such past violation;
Eagle County Medical and Retail Business Licensing Regulations Page 4
(k) The applicant has obtained and submitted a copy of a State License or conditional
license. For license renewals or licenses requiring local approval prior to State approval, the
applicant has submitted proof that all State Regulations pertaining to license submittal have been
satisfied which may include a complete copy of the State application;
(1) The applicant has submitted evidence that the nature and location of any existing
or proposed exterior lighting and signage complies with all applicable sign codes of Eagle
County and any additional conditions that may be placed on exterior lighting and signage in the
discretion of the Authority;
(m) The applicant has submitted a listing of all other uses on the property where the
proposed licensed premises is to be located and the uses of properties immediately surrounding
the proposed licensed premises;
(n) The applicant has provided the expected source and level of water use for the
premises and evidence of permits or other applicable documentation showing the availability or
ownership of water rights sufficient to meet such use;
(o) The applicant has provided a copy of the applicable, valid state sales tax license
for the business;
(p) The applicant has obtained and submitted any additional materials that, in the
discretion of the Authority, is necessary to make a determination under these Local Regulations;
and
(q) The Authority may waive, at its discretion, specific submission requirements.
The Authority may refuse to accept an incomplete application. The Authority will refuse to
accept an application if the approval of the license would exceed the cap on license holders as set
forth in Article 14 below.
Article 8: Fees.
The operating fees for all new local licenses shall be $4000. The operating fees for
license renewals shall be $3000. This operating fee must be paid upon application for a new
license and annually upon license renewal application. This fee is non-refundable once a license
is issued and will not be prorated if the licensed holder ceases operations at the licensed premises
for any reason during the term of the license. Such operating fee is to cover the County's costs,
including but not limited to inspection, administration, and enforcement of marijuana businesses.
Such fee may be adjusted by the Authority at any time and will become effective upon existing
marijuana businesses during the succeeding license period. These fees are payable regardless of
whether multiple licenses are collocated on one premise.
Eagle County Medical and Retail Business Licensing Regulations Page 5
Article 9: Changes in License.
(a) Transfer of Ownership. Any license issued under these Local Regulations may be
transferable or assignable at the discretion of the Authority. Any change of ownership shall
require the potential new owner to apply for a transfer of license, which requires such potential
new owner to fill out a new license application. The potential new owner and current license
holder shall provide evidence that they have applied to the State Licensing Authority on forms
specifically prepared and furnished for this purpose by the State Licensing Authority and have
received approval from the State Licensing Authority of such transfer. In addition to the
requirements in Article 7 and 11, when evaluating whether to permit a transfer of ownership, the
Authority can evaluate whether the potential new owner is not a person or entity prohibited as a
licensee under the provisions of the Local Regulations, State Regulations and the Code; is
qualified to operate a marijuana establishment in compliance the provisions of the Local
Regulations, State Regulations and the Code; and has made no material misrepresentations on its
application or other documents submitted to the Authority.
(b) Change of Location. Any license granted under these Local Regulations is limited
to the location(s) specified on the license application. Operation of a marijuana business at a
new location requires a new license. Operating fees paid for a prior location may not be applied
to the new location. When making a change of location application, if the existing license
holder is in good standing, such license holder shall be given a preference for a new license at
the new location pursuant to Article 14 hereunder. Notwithstanding the numerical limit
preference, the approval of such license shall be subject to the approval criteria set forth in
Article 12 hereunder.
(c) Modification of premises. Modification of any building structure where a
marijuana business is located is subject to all applicable provisions of the Eagle County Land
Use and Building Codes.
Article 10: Term of License; License Renewal.
Any local license issued under these Local Regulations shall be valid for a period of one
(1) year from the date of issuance. Applications for license renewals shall be processed using the
Marijuana Business License Renewal Application Checklist. A license holder shall submit a
license renewal application at least forty-five(45) days before the expiration of the license.
Notwithstanding the provisions of this Article 10, a license holder whose license has been
expired not more than ninety (90) days may file a late license renewal application upon the
payment of an additional and nonrefundable late fee of five hundred ($500) dollars to the
Authority. Such fee shall be considered additional operating fees for the processing of the late
application. A license holder who files a late license renewal application and pays the requisite
fees may continue to operate until the Authority takes final action to approve or deny the license
holder's late license renewal application. However, failure to file a timely license renewal
application without good cause shown may be grounds for denial of the license application.
Eagle County Medical and Retail Business Licensing Regulations Page 6
In the event that a local license holder's State License is denied or revoked, any license
issued under these Local Regulations shall be null and void. If a court of competent jurisdiction
determines that the issuance of local licenses violates any state or federal law, all licenses issued
under these Local Regulations shall be deemed immediately revoked by operation of law, with
no ground for appeal or other redress on behalf of the license holder.
A License becomes immediately invalid upon expiration, if the Licensee has not filed a
renewal application and remitted all of the required fees, including any outstanding state and
local taxes.
Article 11: Violations.
The Authority, in its reasonable discretion, may suspend or revoke a license for any of
the reasons set forth in Article 12 below. If the Authority determines that a violation has
occurred, it shall document the violation and notify the violator in writing of any suspension or
revocation as a result. Notifications and decisions of the Authority may be delivered by mailing
to the address submitted to the Authority on the most recent application, posting on the premises,
or by personal service. Notification and decisions shall be deemed received three (3) business
days after placement in the United States Mail, one (1) business day after posting on the licenses
premises, and on the day of personal service.
During the term of any license suspension, the license holder shall not conduct any
operations on the licensed premises. The Authority also has the ability to issue a notice to
correct any continuing violation in lieu of a suspension or revocation. License holders will
comply with notices to correct issued by the Authority within ten (10) days of receipt of
notification. Failure to timely correct such violations is grounds for immediate suspension or
revocation.
The Authority, in its sole discretion, may also accept a fine-in-lieu of suspension in an
amount between five hundred ($500) and five thousand ($5000) dollars depending upon the
nature and severity of the violation.
Article 12: Denial of a License or License Renewal.
The Authority may deny a license or license renewal for any reasons articulated in the
State Regulations and these Local Regulations, including but not limited to:
1. Submission of an incomplete application;
2. Submission of a late license renewal without good cause for such delay;
3. Violation or failure to comply with any terms, conditions, or provisions of State
Regulations, any rules promulgated pursuant to the Code, or any supplemental local
law,rules or regulations;
4. Failure to comply with any special terms of conditions that were placed on the State
License or local license issued by this Authority. Pursuant to C.R.S. § 12-43.4-309,
the Authority is authorized to impose any conditions that, in its reasonable discretion,
Eagle County Medical and Retail Business Licensing Regulations Page 7
are necessary to address odors, neighborhood compatibility, and safety issues of any
proposed license;
5. Operation of the premises in a manner that adversely affects the public health or the
safety of the immediate neighborhood in which the establishment is located;
6. Failure to obtain or remain in good standing with an additional current or past State
License or local license by the applicant or an entity associated with or related to the
applicant; and
7. Exceeding the cap on license holders as set forth in Article 14 below.
8. Failure to timely remit proof of payment of state and local sales and excise taxes.
Article 13: Decision and Appeal.
Any decision of the Authority regarding an application, license renewal application,
suspension or revocation shall be in writing specifying the reasons for the decision. Decisions
may be delivered and will be deemed received as set forth in Article 11 above. Within ten (10)
days of a decision, the applicant or license holder may request that the Authority reconsider its
decision by submitting a letter to the Authority clearly stating the grounds for the request. In
response, the Authority may deny the request or issue a revised decision.
The decision of the Eagle County Planning Director under these Local Regulations shall
constitute a final administrative officer or agency decision appealable to the Eagle County Board
of County Commissioners pursuant to the applicable provisions of the Eagle County Land Use
Regulations. No additional hearing or appeal rights, including but not limited to such hearings
allowed under C.R.S. § 12-43.4-302, shall be provided to applicants under these Local
Regulations. At all times, the license holder or applicant bears the burden of proving it has not
committed a violation or is qualified to hold a license by a preponderance of the evidence
standard. If an appeal is filed, the Authority's decision shall be stayed until such appeal is finally
resolved by the Board.
Article 14: Retail Marijuana Store License Caps.
Pursuant to State Regulations, particularly C.R.S. § 12-43.4-301, as amended, the
Authority limited the number of retail marijuana store licenses that may be issued and active at
one time in unincorporated Eagle County. The numerical limit of such licenses shall be eight (8)
retail marijuana store licenses. Of this limit, two (2) retail marijuana store licenses are reserved
for that portion of Eagle County in the Roaring Fork Valley and six (6) retail marijuana store
licenses are reserved for the other allowable areas within unincorporated Eagle County.
In the event that the numeric limitation has been met for a geographic area as detailed
above, the Authority will not maintain a waiting list of potential applicants. The Authority will
reject any application filed after the numeric limitation has been met. When a license becomes
available, the Authority will provide appropriate notice and deadline for filing license
applications. It has no obligation to inform past applicants. For purposes of this paragraph only,
"appropriate notice"means posting notice for fourteen(14) days on Eagle County's website.
Eagle County Medical and Retail Business Licensing Regulations Page 8
If more than one application is pending with the Authority, the Authority shall consider
compliance with the licensing requirements contained in Article 7 above and elsewhere in these
Local Regulations in addition to the time of filing a completed application. Additionally, the
Authority may consider the availability of other retail marijuana store license holders in the same
area as well as the compatibility of the propose retail marijuana store with the other uses in the
same area. The Authority may use its reasonable discretion in awarding limited licenses when a
greater number of applicants seek licenses above the limits set forth herein.
Article 15: Collocating of Medical and Retail Marijuana Businesses.
Dual operation from the same premise of a licensed medical marijuana center, optional
premises cultivation facility, or medical marijuana-infused products manufacturing facility with
any retail marijuana facility is permitted so long as appropriate State and local licenses have been
issued and remain valid and active for both operations. No dual medical marijuana center and
retail marijuana store is permitted to sell marijuana to a person younger than twenty-one (21)
years of age.
Article 16: Inspection.
By submitting a license application, the applicant authorizes the Authority or its designee
to enter upon and inspect the premises at reasonable times. Upon request, the applicant or
license holder shall timely provide the Authority with records related to the business. This
Article shall not limit any inspection authority authorized under any other provision of law or
regulation.
Article 17: Hours of Operation.
Medical marijuana centers and retail marijuana stores must be closed to the public and no
sale or other distribution of marijuana may occur upon the premises between the hours of 9:15
pm and 8:00 am.
Article 18: Business Conducted Within Building.
All cultivation, production, distribution, storage, display and sales of marijuana and
marijuana—infused products must not be visible from the exterior of the business.
Article 19: Entitlements.
No person shall have any entitlement or vested right to licensing under these Local
Regulations, any local zoning approvals, or any local building permits. Local licenses hereunder
are a revocable privilege subject to the oversight of local and state authorities. These Local
Regulations, the State Regulations, the Eagle County Land Use and Building Codes, and
applicable zoning may be changed or amended from time to time. Such changes may preclude
Eagle County Medical and Retail Business Licensing Regulations Page 9
the continuance or further issuance of a local license at any given location. As of the date of the
enactment of these Local Regulations, the use, possession, distribution, and sale of marijuana is
illegal under Federal law and those who engage in such activities do so at their own risk of
criminal prosecution. Any license given hereunder does not provide any exception, defense, or
immunity to any person in regard to any potential criminal liability the person may have for the
production, distribution, or possession of marijuana.
Article 20: Severability.
If any provision of these Local Regulations is found to be invalid by a court of competent
jurisdiction, only the provision subject to the court decision shall be repealed or amended. All
other provisions shall remain in full force and effect.
Eagle County Medical and Retail Business Licensing Regulations Page 10
