TITLE
Recommendation to request City Attorney to draft an ordinance and return it to the City Council at its next meeting to authorize City Manager to issue local temporary cannabis special event permits, provided that all appropriate criteria for special events are met and that at least 75% of the retailers at the event are Long Beach-based.
DISCUSSION
BACKGROUND:
In July 2018, the City Council adopted an ordinance approving commercial cannabis activity, which is now regulated locally under Chapter 5.92 of the Long Beach Municipal Code. This chapter of the Municipal Code requires all commercial cannabis operators to obtain and renew, annually, a permit to operate within the City of Long Beach. The Municipal Code currently does not address temporary cannabis events.
As of January 1, 2018, the State of California began issuing State temporary cannabis event licenses, which authorize events with onsite adult-use cannabis sales and consumption, pursuant to the Medicinal and Adult-Use Cannabis Regulation and Safety Act.
There has been interest expressed in organizing temporary cannabis special events, including at the Events Park at 1126 Queens Hwy. in the future. These events include entertainment, education, competitions and retail of products. Similar events in other cities in California have been demonstrated to be successful, with a positive economic impact for the City. For example, an event in 2018 in Santa Rosa generated nearly $200,000 in tax revenue and roughly $17.3 million in total economic output.
Given the potential economic impact for the City and local businesses, and the ability to properly regulate the event through a special event permit and local ordinances, we believe the City Manager's Office should work with interested parties on permitting temporary cannabis events at appropriate venues. We request an ordinance to amend Long Beach's code to authorize the City Manager to issue local authorization for temporary cannabis events. In order to ensure that such events support local businesses, these temporary cannabis events should include at least 75% Long Beach-based retailers. Nothing in the resolution would require the City Manager to issue a temporary cannabis special events permit, if it is determined that the applicants do not meet the appropriate criteria for a special events permit.
FISCAL IMPACT
Due to the time sensitivity of this item, this item has not yet been reviewed by the Budget Office for fiscal impact.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
AL AUSTIN
COUNCILMAN, EIGHTH DISTRICT
DEE ANDREWS
VICE MAYOR, SIXTH DISTRICT