HomeMy WebLinkAboutOrdinance No. O11-02 ORDINANCE NO. 011 -02
AN ORDINANCE AMENDING TITLE 5 OF THE LAUREL MUNICIPAL CODE TITLED
"BUSINESS LICENSES AND REGULATIONS" TO ALLOW LICENSING OF MEDICAL
MARIJUANA BUSINESSES.
WHEREAS, on November 2, 2004, Montana voters adopted the Medical Marijuana Act, which is
codified at § 50 -46 -101, MCA, et seq.; and
WHEREAS, as a result, the City Council of the City of Laurel has determined that the licensing,
opening, or operation of any establishments that grow, sell, or distribute medical marijuana or
paraphernalia within the City limits of the City of Laurel was detrimental and a threat to the peace,
property, health, safety, and welfare of the City and its inhabitants without proper zoning and regulation
through business licensing; and
WHEREAS, pursuant to § 76 -2 -306, MCA, the City adopted an interim zoning ordinance in order
to preserve and protect the public peace, property, health, or safety of the citizens of the City; and
WHEREAS, the City Staff reviewed the current business licensing section of the Laurel Municipal
Code located at Title 5 and is recommending amendments to Title 5 for the orderly and lawful regulation
of medical marijuana businesses within the City of Laurel.
NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Laurel, Montana that
Title 5 of the Laurel Municipal Code is amended as follows:
Title 5
BUSINESS LICENSES AND REGULATIONS
5.04 Business Licenses in General
5.04.020 Unlawful activities not licensed.
No provision contained in this title shall be construed so as to license any trade, business, occupation,
vocation, pursuit, profession, or entertainment prohibited by any law ef414e-Llnited-States of the state of
Montana, or prohibited by the provisions of this code or other ordinance of the city.
(Prior code § 5.04.020)
5.04.170 Suspension or revocation when.
A. Whenever the city council determines that any licensee is conducting the activity licensed in a manner
which violates this code or any ordinance or regulation of the city, or operating the business licensed in
any manner detrimental to the public health, morals or welfare, the council may order the suspension or
revocation of the license.
B. The council may revoke or suspend any license for fraud or misrepresentation in its procurement, or
for a violation of any for state statute.
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C. If, when revoked, any license has an unexpired period of six months or more, fifty percent of the
license fee collected thereunder shall be refunded to the licensee upon demand; provided, that the demand
for refund be made within thirty days after such revocation.
(Prior code § 5.04.170)
Chapter 5.70
MEDICAL MARIJUANA.
Sections:
5.70.010 Purpose
5.70.020 Definitions
5.70.030 License Required; exemption
5.70.040 Requirements of application for license; payment of application fee; denial of license
5.70.050 Location Criteria
5.70.060 Persons prohibited as licensees
5.70.070 Issuance of license; duration; renewal
5.70.080 Annual license fee
5.70.090 Use and display of license
5.70.100 Management of licensed premises
5.70.110 Change in manager; change in financial interest
5.70.120 Hours of operation
5.70.130 Signage and advertising
5.70.140 Security Requirements
5.70.150 Required Notices
5.70.160 Cultivation, growing and processing by licensees
5.70.170 Sale of edible products
5.70.180 Labeling
5.70.190 On -site consumption of medical marijuana
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5.70.200 Prohibited acts
5.70.210 Visibility of activities; control of emissions
5.70.220 Disposal of marijuana byproducts
5.70.230 Required books and records
5.70.240 Inspection of licensed premises
5.70.250 Nonrenewal, suspension or revocation of license
5.70.260 Violations and penalties
5.70.270 No City liability; indemnification
5.70.280 Other laws remain applicable
5.70.290 Severability
5.70.010 Purpose.
A. The provisions of this Chapter are intended to acknowledge and protect the rights of patients
and their caregivers under the provisions of Montana's Medical Marijuana Act, codified at MCA
§50 -46 -101 et. seq., while also protecting the health, safety, and welfare of the public; and
curtailing to the extent reasonably possible, the possession, use, distribution, or transportation of
marijuana for unlawful purposes by:
1. Requiring that medical marijuana businesses be operated in a manner that minimizes potential
health and safety risks and mitigates the negative impacts that a medical marijuana dispensary
might have on surrounding properties and persons;
2. Regulating the conduct of persons owning, operating and using medical marijuana dispensaries
and cultivation facilities in order to protect the public health, safety and welfare; and
3. Regulating the location and operation of medical marijuana dispensaries and cultivation
facilities.
B. By adoption of this Chapter, the City Council does not intend to authorize or make legal any
act that is not permitted under Montana law.
5.70.020. Definitions.
A. The following words, terms and phrases, when used throughout this Chapter, shall have the meanings
ascribed to them in this Section:
1. Alcohol beverage shall have the meaning ascribed to such term in the Montana Code
Annotated.
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2. Applicant shall mean any person or entity who has submitted an application for a license or
renewal of a license issued pursuant to this Chapter. If the applicant is an entity and not a natural
person, applicant shall include all persons who are the members, managers, officers and directors
of such entity.
3. Building Official shall mean the Building Code Official for the City of Laurel as defined by
City Ordinance.
4. Cultivation shall mean the process by which a marijuana plant is grown.
5. Dwelling unit shall mean one (1) or more rooms and a single kitchen and at least one (1)
bathroom, designed, occupied or intended for occupancy as separate quarters for the exclusive use
of a single family for living, cooking and sanitary purposes, located in a single- family, two - family
or multi - family dwelling or mixed -use building.
6. Financial interest shall mean any ownership interest, including, without limitation, a
membership, directorship or officership; or any creditor interest, whether or not such interest is
evidenced by any written document.
7. Good cause, for the purpose of denying, refusing to renew, suspending or revoking a license
under this Chapter, shall mean:
(a) the applicant has violated, does not meet, or has failed to comply with, any of the
terms, requirements, conditions or provisions of this Title or with any applicable state or local law
or regulation;
(b) the applicant has failed to comply with any special terms or conditions of a license,
including those terms and conditions that were established at the time of issuance of the license
and those imposed as a result of disciplinary proceedings held subsequent to the date of issuance
of the license; or
(c) the medical marijuana dispensary or cultivation facility has been operated in a manner
that adversely affects the public health, welfare or safety of the immediate neighborhood in which
the dispensary or cultivation facility is located. Evidence to support such a finding can include,
without limitation, a continuing pattern of disorderly conduct, a continuing pattern of drug- related
criminal conduct within the premises of the medical marijuana dispensary or cultivation facility or
in the immediate area surrounding such facility, a continuing pattern of criminal conduct directly
related to or arising from the operation of the medical marjjuana dispensary or cultivation facility,
or an ongoing nuisance condition emanating from or caused by the medical marijuana dispensary
or cultivation facility.
8. License shall mean a document issued by the City officially authorizing an applicant to operate
a medical marijuana business pursuant to this Article.
9. Licensee shall mean the person to whom a license has been issued pursuant to this Article.
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10. Licensed premises shall mean that portion of a property, building or other structure used for
the purpose of cultivating, storing, processing, displaying for sale, selling or otherwise distributing
medical marijuana or other allowable products by a licensee.
11. Medical marijuana shall mean marijuana or cannabis approved under state law to treat
persons suffering from debilitating medical conditions as defined by Montana law.
12. Medical marijuana business shall mean any person acting alone or in concert with another
person, whether for profit or not for profit, who cultivates, grows, harvests, processes, packages,
transports, displays, sells, dispenses or otherwise distributes the stalks, stems, roots, seeds, leaves,
buds or flowers of the plant genus) cannabis or an y mixture or preparation thereof for medical
use as authorized by Montana law.
13. Medical marijuana cultivation facility or cultivation facility shall mean a building, structure or
premises used for the cultivation or storage of medical marijuana that is physically separate and
off -site from any medical marijuana dispensary and that is designated as part of the premises of a
medical marijuana dispensary licensed pursuant to this Chapter.
14. Medical marijuana dispensary or dispensary shall mean a property or structure used to sell,
distribute, transmit, give, dispense or otherwise provide marijuana in any manner to patients or
primary caregivers pursuant to Montana law and the implementing state regulations.
15. Medical marijuana paraphernalia or paraphernalia shall mean devices, contrivances,
instruments and paraphernalia for inhaling or otherwise consuming medical marijuana, including,
but not limited to, rolling papers, related tools, water pipes and vaporizers.
16. Minor patient shall mean a patient less than eighteen (18) years of age.
17. Patient shall mean a person who has a debilitating medical condition as defined by Montana
law.
18. Person shall mean a natural person or business entity such as, without limitation, a
corporation, association, firm, joint venture, estate, trust, business trust, syndicate, fiduciary,
partnership or any group or combination thereof.
19. Place of worship or religious assembly shall mean a building containing a hall, auditorium or
other suitable room used for the purpose of conducting religious services or meetings of the
occupants of such structure.
20. Premises shall mean the entire parcel of property upon which a medical marijuana dispensary
or cultivation facility is located.
21. Primary caregiver shall mean a person other than the p atient an d the patient's physician who
is eighteen (18) years of age or older and has significant responsibility for managing the well-
being of a patient who has a debilitating medical condition.
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22. Registry identification card shall mean that document, issued by the Montana Department of
Public Health and Human Services, that identifies a patient authorized to engage in the medical
use of marijuana and such patient's primary caregiver, if one is designated.
B. In addition to the definitions provided in Subsection A of this Chapter, other terms used in this
Chapter shall have the meaning ascribed to them by Montana law and such definitions are hereby
incorporated into this Chapter by this reference.
5.70.030. License required; exemption.
A. Except as provided in Subsection B of this Section, it shall be unlawful for any person to
establish or operate a medical marijuana business in the City without first having obtained a City
license for such business. Such license shall be kept current at all times, and the failure to
maintain a current license shall constitute a violation of this Section.
B. Primary caregivers who cultivate, possess or dispense medical marijuana to a single patient,
and patients who cultivate or possess medical marijuana for their own medical use, are exempt
from the licensing requirements of this Section, but shall be subject to the following limitations:
1. All such cultivation shall be conducted entirely within a building or other fully enclosed
structure.
2. In no event shall a patient or primary caregiver keep, cultivate, grow or process more medical
marijuana than such person is entitled to possess pursuant to Montana law.
3. This Section does not affect the requirement that all primary caregivers and patients must
comply with Montana law, as amended, and any current and future regulations promulgated and
adopted by the State of Montana.
5.70.040. Requirements of application for license; payment of application fee; denial of
license.
A. A person seeking a license or renewal of a license issued pursuant to this Chapter shall submit
an application to the Public Works Secretary on forms provided by the City. At the time of
application, each applicant shall pay a nonrefundable application fee to defray the costs incurred
by the City for inspection of the proposed premises, as well as any other costs associated with the
processing of the application In addition the applicant shall present for recording�two (2) of the
following forms of identification:
1. A registration card issued pursuant to Montana law; and
2. A valid State of Montana driver's license; or
3. A valid driver's license containing a picture issued by another state; or
4. A military identification card; or
5. A valid passport; or
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6. Any validly issued identification card issued by a federal, state or local governmental agency of
the United States.
B. The applicant shall also provide the following information on a form approved by, or
acceptable to the City, which information shall be required for the applicant, the proposed
manager of the medical marijuana business, and all persons having a ten - percent or more financial
interest in the medical marijuana business that is the subject of the application or, if the applicant
is an entity, having a ten- percent or more financial interest in the entity:
1. name, address, date of birth;
2. if the applicant is a business entity, information regarding the entity, including, without
limitation, the name and address of the entity, its legal status, and proof of registration with, or a
certificate of good standing from, Montana's Secretary of State, as applicable;
3. the name and complete address of the proposed medical marijuana business and statement that
the business is to be located within the territorial limits or zoning jurisdiction of the City;
4. if the applicant is not the owner of the proposed licensed premises, a notarized statement from
the owner of such property authorizing the use of the property for a medical marijuana dispensary
or cultivation facility;
5. a copy of any deed reflecting the ownership of, or lease reflecting the right to possess, the
proposed licensed premises;
6. if the medical marijuana dispensary will be providing medical marijuana in edible form,
evidence of any food establishment license or permit that may be required by the State or county
health inspector;
7. a "to scale" diagram of the premises, showing, without limitation, a site plan, building layout,
all entry ways and exits to the dispensary and cultivation facility, loading zones and all areas in
which medical marijuana will be stored, grown or dispensed;
8. a comprehensive business plan for the medical marijuana business which shall contain, without
limitation, the following:
(a) a security plan meeting the requirements of 5.70.140 herein;
(b) a description of all products to be sold;
(c) a signage plan that is in compliance with all applicable requirements of the City's Sign
Code and the Zoning Code;
(d) a plan for the disposal of medical marijuana and related byproducts to ensure that such
disposal is in compliance with all applicable federal, state and local laws, rules or
regulations; and
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9. any additional information that City staff reasonably determines to be necessary in connection
with the investigation and review of the application.
C. A license issued pursuant to this Chapter does not eliminate the need for the licensee to obtain
other required permits or licenses related to the operation of the medical marijuana dispensary and
cultivation facility, including, without limitation, any development approvals or building permits
required by the City Ordinance.
D. Upon receipt of a completed application, City staff shall circulate the application to all affected
service areas and departments of the City to determine whether the application is in full
compliance with all applicable city and state laws, rules and regulations.
E. The Building Official shall, prior to issuance of the license, perform an inspection of the
proposed licensed premises, including, without limitation, the proposed cultivation facility, to
determine compliance with any applicable requirements of this Chapter, or other provisions of the
LMC, including but not limited to the City's sign code, zoning code and miscellaneous codes
contained in Title 14. In addition the Buildin . Official shall determine if the • ro • • sed licensed
premises complies with Montana law.
F. The Mayor or his /her designee shall deny any application that does not meet the requirements
of this Chapter. The Mayor or his/her designee shall also deny any application that contains any
false, misleading or incomplete information. Denial of an application is subject to review by a
court of competent jurisdiction.
5.70.050. Location criteria.
A. A medical marijuana dispensary shall, at the time it is established and first licensed by the
City, be located in compliance with the City's zoning ordinance.
B. Consistent with the City's zoning ordinance, no medical marijuana dispensary shall be allowed
except as follows:
1. No medical marijuana dispensary may be located:
(a) Within one thousand (1,000) feet of any private or public preschool, elementary,
secondary, vocational or trade school, any child care center, place of worship or
religious assembly, any public or private park, pool, playground or recreational facility,
any juvenile or adult halfway house, correctional facility, or substance abuse
rehabilitation or treatment center;
(b) Within the boundary of any residential zone district.
(c) Upon any City property, easement or right -of -way;
(d) In a residential unit; or
(e) As a transient or outdoor vendor.
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(fl The distances described above shall be computed by direct measurement in a straight
line from the nearest property line of the land used for the purposes stated in Subsection (a)
to the nearest portion of the building or unit in which the medical marijuana dispensary or
cultivation facility is located.
5.70.060. Persons prohibited as licensees.
A. No license shall be issued to, held by, or renewed by any of the following:
1. any person who is not a qualifying patient or caregiver, as evidenced by a registry identification
card and, in the case of a caregiver, his or her patient's written designation of the applicant as the
patient's caregiver, as submitted to the the Montana Department of Public Health and Human
Services;
2. any person who has been previously convicted of a felony drug offense in any state;
3. any entity whose directors, shareholders, partners, or other persons having a financial interest
in said entity have been previously convicted of a felony drug offense in any state;
4. any person under the age of eighteen (18) years;
5. any person who has made a false, misleadinLor fraudulent statement on his or her application
for a license;
6. any person who has not paid all applicable fees;
7. any person whose license for a medical marijuana business in another city, town, county or
state has been previously revoked;
8. any member of the City Police Department as defined in LMC Title 2 Chapter 2.60, or family
member of a City Police Officer; or
9. any applicant who already holds two (2) medical marijuana business licenses in the City.
5.70.070 Issuance of license; duration; renewal.
A. Upon issuance of a license, the City shall provide the licensee with one (1) original of such
license for each dispensary or cultivation site to be operated by the licensee in the City. Each
license shall show the name and address of the licensee, the type of facility or business for which
it is issued, and the address of the facility at which it is to be displayed as required by Section
5.70.090.
B. Each license issued pursuant to this Chapter shall be valid for one (1) year from the date of
issuance and may be renewed only as provided in this Chapter. All renewals of a license shall be
for no more than one (1) year. An application for the renewal of an existing license shall be made
to the Public Works Department for the Mayor or his /her designee's consideration not more than
sixty (60) days and not less than thirty (30) days prior to the date of expiration of the license. No
application for renewal shall be accepted for processing prior to or after such date. The timely
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filing of a renewal application shall extend the current license until a decision is made on the
renewal.
5.70.080. Annual license fee.
Upon issuance of a license or any renewal of a license, the licensee shall pay to the City a fee in an
amount set by resolution of the City Council after a public hearing. The initial fee established by
the City Council is $750.00 per application. The City Council shall adjust the future fee
sufficiently to cover the annual cost of inspections conducted pursuant to 5.70.040 of this Chapter
by departments or agents of the City as may be designated by the Mayor, for the purpose of
determining compliance with the provisions of this Chapter and any other applicable state or local
laws or regulations.
5.70.090. Use and display of license.
A. A license shall not be transferable to another person.
B. Each license shall be limited to use at the premises specified in the application for such license.
Any change in location shall require the filing of an application for payment of license fee and
issuance of a new license under the provisions of 5.70.040 above.
C. Each license shall be continuously posted in a conspicuous location at the medical marijuana
dispensary and /or at the cultivation facility.
D. The City License does not provide authority for a person or entity to operate a commercial
delivery service for medical marijuana. This Subsection is not intended to interfere with the
relationship between an individual caregiver and his /her individual patient.
5.70.100. Management of licensed premises.
Licensees who are natural persons shall either manage the licensed premises themselves or employ
a separate and distinct manager on the premises and report the name of the manager to the City.
Licensees that are entities shall employ a manager on the premises and report the name of the
manager to the City. All managers must be natural persons who are patients or caregivers at least
eighteen (18) years of age. No manager shall be a person having a criminal history as described in
Section 5.70.060.
5.70.110. Change in manager; change in financial interest.
Each licensee shall report any change in managers to the City Clerk within thirty (30) days after
the change. Such report shall include all information required for managers under 5.70.040 of this
Chapter.
5.70.120. Hours of operation.
Medical marijuana dispensaries may be open for business only between the hours of 8:00 a.m. and
9:00 p.m.
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5.70.130. Signage and advertising.
All signage and advertising for a medical marijuana dispensary shall comply with all applicable
provisions of City's Sign Code and Zoning. In addition, no signage or advertising shall use the
word "marijuana" or "cannabis," or any other word, phrase or symbol commonly understood to
refer to marijuana unless such word, phrase or symbol is immediately preceded by the word
"medical" in type and font that is at least as readily discernible as all other words, phrases or
symbols. Such signage and advertising must clearly indicate that the products and services are
offered only for medical marijuana patients and caregivers.
5.70.140. Security requirements.
A. Based on the health, safety and welfare of all inhabitants of the City, security measures at
dispensaries and cultivation facilities shall include at a minimum the following:
1. Security surveillance cameras installed to monitor all entrances, along with the interior and
exterior of the premises, to discourage and facilitate the reporting of criminal acts and nuisance
activities occurring at the premises;
2. Robbery and burglary alarm systems that are professionally monitored and maintained in good
working condition;
3. A locking safe sufficiently affixed to the premises that is suitable for storage of all medical
marijuana and /or cash stored overnight on the licensed premises;
4. Exterior lighting that illuminates the exterior walls of the licensed premises and complies with
applicable provisions of this Title, the City's Zoning Ordinance and Sign Code; and
5. Deadbolt locks on all exterior doors.
B. All security recordings shall be preserved for at least seventy -two (72) hours by the licensee
and be made available to law enforcement upon request for inspection.
5.70.150. Required notices.
A. There shall be posted in a conspicuous location in each medical marijuana dispensary a legible
sign containing warnings that:
1. The possession, use or distribution of marijuana is a violation of federal law;
2. The possession, use or distribution of marijuana for non - medical purposes is a violation of state
law
3. It is illegal under state law to drive a motor vehicle or to operate machinery when under the
influence of, or impaired by, marijuana; and
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4. No person under the age of eighteen (18) years is permitted on the premises except minor
patients accompanied by a parent or legal guardian in possession of a state registry card for such
minor patient.
5.70.160. Cultivation, growing and processing by licensees.
The cultivation, growing, processing, display or storage of marijuana plants within a medical
marijuana dispensary shall be limited to non - flowering plants that are kept by the licensee solely
for the purpose of cloning. The cultivation, growing and processing of marijuana plants other than
for cloning shall be conducted by the licensee only at a licensed cultivation facility.
5.70.170. Sale of edible products.
A. Medical marijuana dispensaries may not be co- located with facilities used to prepare, produce
or assemble food, whether for medical or non - medical purposes.
B. Any food products sold by a medical marijuana dispensary shall either be inspected by an
agency of a county or state health department.
5.70.180. Labeling.
All marijuana sold or otherwise distributed by the licensee shall be packaged and labeled in a
manner that advises the purchaser that the marijuana is intended for use solely by the patient to
whom it is sold and that any resale or redistribution of the marijuana to any person other than a
patient or primary caregiver constitutes a criminal violation.
5.70.190. On -site consumption of medical marijuana.
The consumption, ingestion or inhalation of medical marijuana on or within the premises of a
medical marijuana dispensary or cultivation facility is prohibited.
5.70.200. Prohibited acts.
A. It shall be unlawful for any licensee to:
1. Employ any person to manage a medical marijuana dispensary or cultivation facility or to
dispense medical marijuana who is not a patient or primary caregiver at least eighteen (18) years
of age or who has a criminal history as described in Section 5.70.060;
2. Sell, give, dispense or otherwise distribute medical marijuana to anyone other than a qualified
patient or caregiver;
3. Sell, give, dispense or otherwise distribute to any qualified patient or caregiver an amount of
any usable form of medical marijuana that exceeds the limitations imposed by Montana law;
4. Purchase or otherwise obtain from any source an amount of any usable form of medical
marijuana that exceeds the limitations imposed by Montana law;
5. Permit on the licensed premises any person other than:
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(a) The licensee, the licensee's manager, employees and financial interest holders;
(b) A patient in possession of a registry identification card pursuant to Montana law;
(c) A minor patient accompanied by a parent or lawful guardian in possession of the minor
patient's registry identification card;
(d) A caregiver in possession of his or her qualified patient's registry identification card
pursuant to Montana law and the qualified patient's written designation of said person
as the patient's caregiver, as submitted to Montana's Department of Public Health and
Human Services;
(e) A person whose physical presence and assistance are necessary to assist a patient;
(f) A person who is actively engaged in the maintenance, repair or improvement of the
licensed premises or in the provision of accounting or other professional services
directly related to the conduct of the licensee's medical marijuana business; or
(g) law enforcement officers, inspectors and other officials or employees of any federal,
state or local government or agency engaged in the lawful performance of their official
duties.
6. Dispense medical marijuana in or upon its cultivation facility unless otherwise licensed as both
a dispensary and cultivation facility;
7. Permit the sale or consumption of alcohol beverages on the licensed premises.
5.70.210. Visibility of activities; control of emissions.
A. All activities of medical marijuana dispensaries and cultivation facilities, including, without
limitation, cultivating, growing, processing, displaying, selling and storage, shall be conducted
indoors.
B. No medical marijuana or paraphernalia shall be displayed or kept in a dispensary or cultivation
facility so as to be visible from outside the licensed premises.
C. Sufficient measures and means of preventing smoke, odors, debris, dust, fluids and other
substances from exiting a dispensary or cultivation facility must be provided at all times. In the
event that any odors, debris, dust, fluids or other substances exit a medical marijuana dispensary
or cultivation facility, the owner of the subject premises and the licensee shall be jointly and
severally liable for such conditions and shall be responsible for immediate, full clean -up and
correction of such condition. The licensee shall properly dispose of all such materials, items and
other substances in a safe, sanitary and secure manner and in accordance with all applicable
federal, state and local laws and regulations.
5.70.220. Disposal of marijuana byproducts.
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.s s
Licensee may not dispose of any medical marijuana, byproducts and paraphernalia in the City's
sewer or wastewater systems. Disposal must be pursuant to plans and procedures approved in
advance by the City's Public Works Department.
5.70.230. Required books and records.
A. Every licensee shall maintain an accurate and complete record of all medical marijuana
purchased, sold or dispensed by the medical marijuana business in any usable form. Such record
shall include the following
1. The total number of qualifying patients and caregivers serviced at the licensed premises; and
2. The total quantity of usable marijuana on premises not to exceed the limits imposed by
Montana law.
5.70.240. Inspection of licensed premises.
During all business hours and other times of apparent activity, all licensed premises shall be
subject to inspection by the Laurel Police, Fire or other department or authorized agent of the City
for the purpose of investigating and determining compliance with the provisions of this Chapter
and any other applicable local and /or state law or regulation. The inspection may include, but
need not be limited to, the inspection of books, records and inventory. Where any part of the
licensed premises consists of a locked area, such area shall be made available for inspection,
without delay, upon request.
5.70.250. Nonrenewal, suspension or revocation of license.
The Mayor or his /her designee may, after notice and opportunity for a hearing, suspend, revoke or
refuse to renew a license for good cause. The Mayor or his /her designee is authorized to adopt
rules and procedures governing the conduct of such hearings. Licensees requesting a hearing
shall, at the time of filing the request, pay the City a fee in the amount of one hundred dollars
($100) to defray the cost of the hearing.
5.70.260. Violations and penalties.
In addition to the possible denial, suspension, revocation or nonrenewal of a license under the
provisions of this Charter, any person, including, but not limited to, any licensee, manager or
employee of a medical marijuana business, or any customer of such business, who violates any of
the provisions of this Chapter, shall be guilty of a misdemeanor punishable in accordance with
LMC, Chapter 1.36.010.
5.70.270. No City liability; indemnification.
A. By accepting a license issued pursuant to this Chapter, the licensee waives and releases the
City, its officers, elected officials, employees, attorneys and agents from any liability for injuries,
damages or liabilities of any kind that result from any arrest or prosecution of dispensary owners,
operators, employees, clients or customers for a violation of city or state laws, rules or regulations.
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B. By accepting a license issued pursuant to this Chapter, all licensees, jointly and severally if
more than one, agree to indemnify, defend and hold harmless the City, its officers, elected
officials, employees, attorneys, agents, insurers and self - insurance pool against all liability, claims
and demands on account of any injury, loss, or damage, including, without limitation, claims
arising from bodily injury, personal injury, sickness, disease, death, property loss or damage or
any other loss of any kind whatsoever arising out of or are in any manner connected with the
operation of the medical marijuana business that is the subject of the license.
5.70.280. Other laws remain applicable.
A. To the extent the State of Montana has adopted or adopts in the future any additional or stricter
law or regulation governing the sale or distribution of medical marijuana, the additional or stricter
regulation shall control the establishment or operation of any medical marijuana business in the
City. Compliance with any applicable state law or regulation shall be deemed an additional
requirement for issuance or denial of any license under this Chapter, and noncompliance with any
applicable state law or regulation shall be grounds for revocation or suspension of any license
issued hereunder.
B. Any licensee may be required to demonstrate, upon demand by the Mayor, his /her designee or
by law enforcement officers that the source and quantity of any marijuana found upon the licensed
premises are in full compliance with any applicable state law or regulation.
C. If the State subsequently prohibits the sale or other distribution of marijuana through medical
marijuana dispensaries, any license issued hereunder shall be deemed immediately revoked by
operation of law, with no ground for appeal or other redress on behalf of the licensee.
D. The issuance of any license pursuant to this Chapter shall not be deemed to create an
exception, defense or immunity to any person in regard to any potential criminal liability the
person may have for the cultivation, possession, sale, distribution or use of marijuana contrary to
Montana law.
5.70.290. Severability.
A. If any section, sentence, clause, phrase, word or other provision of this Chapter is for any
reason held to be unconstitutional or otherwise invalid, such holding shall not affect the validity of
the remaining sections, sentences, clauses, phrases, words or other provisions of this Chapter or
the validity of this Chapter as an entirety, it being the legislative intent that this Chapter shall
stand, notwithstanding the invalidity of any section, sentence, clause, phrase, word or other
provision.
This Ordinance shall become effective thirty (30) days after final passage by the City
Council and approved by the Mayor.
Introduced and passed on first reading at a regular meeting of the City Council on February 1,
2011, by Council Member Stamper.
011 -02 Medical Marijuana Licensing
PASSED and ADOPTED by the Laurel City Council on second reading this 15 th day of
February , 2011, upon motion of Council Member Hart
APPROVED BY THE MAYOR this 15 th day of February , 2011.
CITY •F LAUREL
Kenneth E. Olson, Jr. ayor
ATTST: / /
Shirley Ewan, Clerk/Treasurer
As Awed as t/ form:
At A 0-4k-A-- c.5c.ce
Sam Painter, Legal Counsel
Elk River Law Office, P.L.L.P.
011 -02 Medical Marijuana Licensing