2014 2:00:00 PM

Monday, February 24, 2014 2:00 PM
City Council Chambers, Legislative Bldg., 745 Fourth St., Sparks, NV

General Business: 6.2

Title: Discussion and possible direction to initiate amendments to Titles 5 and 9 to allow for the business licensing of medical marijuana establishments operating within the City of Sparks in compliance with Nevada Senate Bill 374 (2013) and the State of Nevada’s forthcoming regulations for medical marijuana establishments.

Petitioner/Presenter: Shaun D. Carey, CIty Manager/Stephen W. Driscoll, Assistant City Manager

Recommendation: Direct City staff to prepare and bring forward for City Council consideration amendments to Titles 5 and 9 to allow the business licensing of medical cannabis (marijuana) establishments operating within the City of Sparks.

Financial Impact: None

Business Impact (Per NRS 237):
A Business Impact Statement is not required because this is not a rule.

Agenda Item Brief: This agenda item provides the City Council the opportunity to direct staff to prepare and bring forward for the Council’s consideration amendments to Titles 5 and 9 (City of Sparks Zoning Ordinance) to allow for the business licensing of medical marijuana establishments who propose to operate within the corporate boundaries of the City of Sparks in compliance with Nevada Senate Bill 374 (2013) and the State of Nevada’s forthcoming regulations for medical marijuana establishments.

Background: In the year 2000, voters in Nevada passed Question 9, amending the state constitution to sanction medical cannabis (i.e., marijuana) and, specifically, to allow physicians to authorize qualified patients to consume and grow cannabis. However, no provision was made for facilities where patients may obtain medicinal marijuana. In 2013, the Nevada legislature passed and Governor Sandoval signed into law SB 374, which directs the Nevada Department of Health and Human Services to develop regulations for, and oversee the creation of, licensed establishments to produce, test, and dispense cannabis and cannabis-infused products to authorized patients.

Analysis: SB 374 has various provisions that address the physical location; operational requirements; fees and application processes for medical marijuana establishments within the State of Nevada. While the state designates various fees in Section 12 of SB374 (2013) and denotes the processes by which businesses will be allowed to engage in the production and sales of medical marijuana products, it does not address business licensing. The Sparks Municipal Code under Title 5 defines and provides provisions and processes for obtaining and maintaining a valid business license for the operations of a business within the city. Title 5 allows for specialty business licensing such as alcohol, gaming, and cabaret establishments. For specialty licensing, Title 9 may be involved if criminal background checks are required for licensing application.

Alternatives: 1. The City Council may choose to direct staff to prepare amendments to Titles 5 and 9 to allow for the business licensing of medical marijuana establishments operating within the City of Sparks. 2. The City Council may choose to direct staff to prepare amendments to Titles 5 and 9 to allow for the business licensing of medical marijuana establishments operating within the City of Sparks and provide other direction to the City Manager

Recommended Motion: “I move to direct the City Manager to prepare and bring forward for City Council consideration amendments to Titles 5 and 9 to allow for the business licensing of medical marijuana establishments operating within the City of Sparks.”

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