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File Number: 17-219 <br />The proposed pilot program places strict requirements on Conditional Use Permit applications <br />for cannabis product manufacturing. Applications must meet all of the required submittal <br />criteria in order to be accepted for processing. This criteria includes: detailed property and <br />applicant information; project and operational plans i.e. security measures and measures to <br />control inventory and cannabis waste; a traffic generation report; a noise study; and an odor <br />control mitigation plan. If additional information or changes are required, applicants will have <br />60 days to respond. <br />The pilot program will limit the number of manufacturers to five (5) in order to provide the City <br />the opportunity to evaluate their impact. Speculative or third party applications would be <br />disqualified from consideration. Under the five use permit limitation, any approvals that lapse <br />or are revoked will allow a new application to be considered. <br />By enabling laboratories and a limited pilot program for cannabis manufacturing, the City will <br />position itself to measurably accommodate the anticipated growth in the cannabis <br />manufacturing industry as well as the anticipated employment and tax revenue stemming from <br />those new uses. These uses also advance the City’s goal to support employment-intensive <br />businesses in the industrial area as opposed to warehousing. Over the past year, staff has <br />received a number of inquiries from manufacturers who have been seeking potential locations <br />to legally manufacture products containing cannabis to supply to existing, legally permitted <br />dispensaries. These provisions will enable manufacturers to consider locating their operations <br />in San Leandro. <br />Previous Actions <br />·The City Council adopted Ordinance 2013-020 in December 2013, which allowed for <br />the establishment of one medical cannabis dispensary subject to performance <br />standards. <br />·The City Council adopted Ordinance 2014-003 in April 2014, implementing <br />performance standards for medical cannabis dispensaries, by amending the Zoning <br />Code to enable the use of medical cannabis dispensaries. <br />·The City Council adopted Ordinance 2016-007 in February 2016, allowing the <br />establishment of a second medical cannabis dispensary. <br />·The City Council adopted Ordinance 2016-013 in September 2016, allowing the <br />establishment of a third medical cannabis dispensary. <br />·The City Council adopted Ordinance 2017-001 on January 17, 2017 to bring the Zoning <br />Code’s medical cannabis dispensary provisions into consistency with the Municipal <br />Code and to replace the term “marijuana” with “cannabis.” <br />·The City Council reviewed this item on December 19, 2016 and continued the item so <br />that staff could prepare additional information and hold a work session to discuss <br />cannabis policy at a future date. <br />·The City Council held a work session to discuss cannabis policy on April 24, 2017, <br />Page 4 City of San Leandro Printed on 6/13/2017 <br />19