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NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SAN LEANDRO DOES ORDAIN AS FOLLOWS: SECTION 1. The above recitals are true and correct and are incorporated herein. SECTION 2. City of San Leandro Municipal Code Chapter 4-38 (Permitted Commercial Cannabis Activity) is hereby added to the City of San Leandro Municipal Code, and is to read in its entirety as follows: 4-38-100 Intent and Purposes. The intent and purpose of this Chapter is to regulate Commercial Cannabis Activity (as defined below) in accordance with State Law to promote the health, safety, morals, and general welfare of the residents and businesses within the City. The City is authorized to regulate this activity pursuant to the MAUCRSA. The goals of this regulation are to ensure the City's regulatory framework is not preempted by State law in the areas of Cannabis Distribution, Dispensing, Manufacture, Testing and Cultivation of Cannabis for Adult Use. It is City policy to permit the dispensing and retailing of medicinal cannabis in accordance with City of San Leandro Municipal Code Chapter 4-33, to permit the manufacture of medicinal cannabis products at City permitted dispensaries, to permit the manufacture and laboratory testing of cannabis products for medicinal and adult use, and to prohibit cultivation of cannabis, except for personal use that comports with State law. 4-38-200 Definitions. For purposes of this Chapter, the following definitions shall apply, unless the context clearly indicates otherwise: (a) "A-License" means a State License issued under Division 10, commencing with Section 26000 of the Business and Professions Code, for cannabis or cannabis products that are intended for adults 21 years of age and over and who do not possess physician's recommendations or an interim license issued by the State for the same. (b) "A-Licensee" means any Person holding a State License under Division 10, commencing with Section 26000, of the Business and Professions Code for cannabis or cannabis products that are intended for adults 21 years of age and over and who do not possess physician's recommendations or an interim license issued by the State for the same. (c) "Adult Use Cannabis" means the non-medical use of cannabis by adults of age 21 and over as permitted by MAUCRSA and other applicable State and City laws. (d) "Cannabis" shall have the same meaning as in Section 26000 of the Business and Professions Code. (e) "Cannabis Dispensary" or"Dispensary" shall be as defined in City of San Leandro Municipal Code section 4-33-100(d), a collective, cooperative, or business that distributes, dispenses, stores, exchanges, processes, delivers, makes available, transmits and/or gives away cannabis in the City for medicinal purposes to four (4) or more qualified patients and/or primary caregivers pursuant to California Health and Safety Code Sections 11362.5 and 11362.7 et seq. ORDINANCE NO.2017-019 2