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HomeMy WebLinkAboutCDN 2017-01-23 Item 2C - Discussion - Proposed Changes to Marijuana Retail RegulationsCity of Tukwila Allan Ekberg, Mayor TO: Community Development and Neighborhoods Committee FROM: Jack Pace, DCD Director BY: Nora Gierloff, Deputy DCD Director CC: Mayor Ekberg DATE: January 12, 2017 SUBJECT: Request for Review of Marijuana Regulations ISSUE Should Tukwila's marijuana retail zoning regulations be modified to expand the potential locations? BACKGROUND In the fall of 2012 Washington voters passed Initiative 502 (1 -502) legalizing the recreational use of marijuana and setting up a framework for regulated producers, processers and retailers. Tukwila adopted zoning regulations allowing recreational marijuana uses in the Heavy Industrial and Tukwila Valley South districts in 2013. In 2015 State marijuana regulations and the scope of local control over marijuana uses were significantly changed by two bills, 2SSB 5052 and HB 2136. These allowed cities to reduce buffers for retail locations from 1000 feet to 100 feet for child care centers, parks, transit centers, and libraries but not schools or playgrounds. Ayear ago Seattle made major changes to its marijuana zoning code as follows: 1. For Any 502 business /license: • 1000 feet from any elementary school, secondary school, or playground as defined in WAC 314 -55. 2. Retail 502 business /license: • 500 feet from child care centers, game arcades, libraries, public parks, public transit centers, or recreation center /facilities except in Downtown Mixed Residential, Downtown Mixed Commercial, and within Downtown Urban Center west of 1 -5, North of Yesler, and South of Denny Way where the 1000 foot rule will remain active. • 1000 feet from any other retail 502 business. Based on the property line, not door to door. 3. Non - Retail 502 business /license: • 250 feet from child care centers, game arcades, libraries, public parks, public transit centers, or recreation center /facilities. Issaquah considered overall buffer reductions but ultimately only reduced the distances between retail stores. Renton considered buffer reductions but ultimately kept the 1000 foot distance, instituted a citywide cap of 5 marijuana businesses and banned cooperatives and transporters (delivery services). 55 INFORMATIONAL MEMO Page 2 DISCUSSION Tukwila has received two separate requests to modify retail marijuana regulations. Mr. Botkin's request asks the Council to reduce the buffer between marijuana businesses and parks to 100 feet. The concern is that Briscoe Park in Kent limits potential locations within the TVS and HI Zones even though the River provides a barrier, see Attachment A. While this buffer reduction would apply citywide it would only open up new locations within the two permitted zones. Mr. Eickmeyer's requests, see Attachment B, are to either: Legend Fr ,flr')r TVs T.wa W UY smfl �fte Arens = Ltcgws fpsUrW by WSLCE W ZMes a m aama 'nesses arencd Wnftd We S4a,,ed M 14CO15 10A. NA 1) Allow marijuana retail in one ortwo additional zones, or 2) Create a zoning overlay that would allow marijuana retail stores and could be applied to specific properties throughout the City. This is an open ended request that would take a considerable amount of outreach and analysis to implement. FINANCIAL IMPACT Tukwila currently does not have any marijuana businesses and therefore does not receive revenue sharing from this source. Expanding the areas eligible for marijuana retailers could result in additional tax revenue. RECOMMENDATION The Committee is asked for direction on whether staff should work with one or both requestors to develop an ordinance for review by the full Council. Staff would support reducing the parks buffer distance because Briscoe Park is already buffered by the River. Staff does not support expanding the zones available to marijuana businesses at this time due to existing 2017 work plan priorities. ATTACHMENTS A. Donal Botkin's Request B. Ezra Eickmeyer's Request 56 Z: \Council Agenda Items \DCD \CDN Info Memo Buffer Changes.doc Donal Botkin and Jeanne Wood Per RCW 69.50,331(8) the board shall not issue a new marijuana lice if the proposed licensed business is within one thousand feet of the following entities. The distance will be measured as the shortest straight line betwi the property line of the potential location to the property line of t grounds of the entities listed below: • Any game arcade♦ twenty-one or older). August 18, 2016 Legend ME H F..Vk"WtW IMTVS TO.O.VA'S.M ===0 by hsk.m e M P—ad JW* WV d 0414?241 5 n,4,3 41 77— Page 1 Attachment A 57 Donal BotkIn and Jeanne Wood August 18, 2016 upgrade within the TVS zone Dear Jack Pace, This is a request to amend the existing 1502 ordinance to modify the distances from specific entities to the current LCB accepted 100 to 1000 foot rule within the TVS/Hl zone and 502 accepted areas. Specifically, we are asking that the 100+ ft between the building at 18700 south-center parkway in the TVS area and Brisco park to be acknowledged as an acceptable distance as allowed under current state provisions. The address we have submitted is within the TVS zone and i502 accepted areas for Tukwilia under current LCB distances is a approved location. We are not asking to allow usage outside the TVS/Hl area. We are supportive of the city's decision limit i502 to the TVS and HI area. W: Donal Botkin and Jeanne Wood August 18,2016 Our goal as B bUS'OeSS g[OUD is to foster C0Ol[0UDit« enrichment and t0 enhance the lives for the multiple communities and M'PCO-CU|tU[8S VV'fh�D the city ' '/ _ _ ' There are Bf least z1 ways this action will Create @positive change immediately for the city and the people nJ-[Ukm/i|ia. 1. We offer professional products and service. Weare for true Medical and recreation purposes. 2. By establish this store front we will be eliminating 8 DlEVOritv of the black market. Essentially The secondary market will not bf} able tO compete with the |e{]@| industry. ABViO[1 @ CDDf[DUer1 @CC8SS point will also P8r1U[8 Cr'D08. 3. We will be C|e8DiD{l up the SC}8Cifi8d Location ,fhe SUrrOUDr1 area and ensuring the T\/S zone develops with @ clean foundation 8Sthe zDO8 develops. OpS. Page Donal Botkin and Jeanne Wood August 18, 2016 4. Crime reductions and police protection. We strongly believe in supporting those that support us the most. We will be adding security cameras that run 24 hours, security guards and after hour property and area Checks by a security service we hire. We Also believe this will free up officers and enforcement in Tukwilia to concentrate on problem areas and criminals that are actively dangerous to citizens in the community. Executive Summary -------------------------- Mission -------------------------- Donal Botkin seeks to introduce Cannabis products and economic opportunities into the city of Tukwilia by respectfully collaborating and partnering with local, regional and state agencies. -------------------------- Service -------------------------- ff-81 Donal Botkin and Jeanne Wood August 18, 2016 We offer a retail store that allows the city to monitor cannabis activity at a low cost so that those that truly need it for medical, recreational or spiritual reasons can do so. We will provide high quality products and safety measures to those in the community so they can have more enjoyable lives. My plan is to design the store products around the medical and recreational needs of the people in the city so that the people can get what they want and need. I believe this will give those in the community that need the products a better way of living. Thank you for your time and consideration. If you have any questions please feel free to contact me @ 206-604-3664. Donal Botkin Page 5 ,Ni 62 Proposal to adjust Tukwila marijuana retail zoning To: Tukwila City Council, Staff & Planning Director From: Ezra Eickmeyer, state & local lobbyist, marijuana industry interests Contact: 360- 301 -1842, czra c glyp lj.corrr Date: 1/2/2016 Background: 1 -502, the state's 2012 voter initiative to tax and regulate marijuana, did nothing to prevent local jurisdictions from exercising full authority in regulating marijuana businesses. One of the primary intentions of 1 -502 was to eliminate crime associated with the marijuana trade and to capture all existing adult sales of marijuana into the taxed and regulated stores. In order to accomplish this goal on a statewide level, cooperation from local jurisdictions is an absolute requisite. Without retail store access in most jurisdictions with populations above 10,000, success in fully eliminating the illicit market and removing the criminal element from the marijuana trade is close to impossible. Acknowledging this fact, the Washington State Legislature passed HB 2136 in 2015 containing provisions to share a portion of the marijuana excise tax revenue with cities and counties that successfully open retail stores within their borders. The state is already receiving over $25 million per month in new revenues from the marijuana excise tax and that number will continue to grow as more and more cities work out zoning and regulations to place at least one store within their jurisdiction. Once we have captured 90% or more of the state's pre- existing illicit market, state revenues could reach $30 million per month. The Tukwila City Council created zoning that initially seemed adequate to allow for at least one retail store. However, most of the real estate made available in the city's ordinance was in a section of town with mostly warehouses. Consequently, no marijuana retail stores have been able to successfully locate in the city due to lack of available places to purchase or rent. In order for Tukwila to successfully open at least one retail store, additional real estate would need to be made available in the city. Proposal: My proposal to the city is to consider one of two options for making additional useable real estate available for opening a marijuana retail store. The first option would be to simply open an additional 1 -2 of the city's zones to marijuana retail. This would be the simplest and quickest option. I would be available to work with council and staff on exploring which zones may work the best for both the industry and the Tukwila community. Opening 1 -2 new zones for marijuana retail would provide viable real estate for at least one store to locate, opening the door to a share in the state's marijuana tax revenues while helping to further reduce crime. The second option, if the city wants to have a more targeted approach, would be to create a marijuana zoning overlay that it could use to carve out specific properties on a case -by -case basis. This would be a more complicated process and would take longer to implement, but would give council more Attachment B 63 control over the placement of retail stores. This would not be the ideal option from the industry perspective, but I would be available to assist in any way 1 could if this were to be the preferred option. Next Steps: It is my understanding that there will be a hearing on a different proposal regarding marijuana retail zoning. We appreciate the efficiency of having both proposals discussed during the same hearing and request that this proposal be added to the agenda. I am in no way connected to or in communication with the entity that made the other proposal to you in August. Councilmembers and staff are welcome to contact me anytime to discuss. Thank you so much for your consideration and I look forward to our continued dialog. Ezra Eickmeyer E &A Strategic Consulting 360- 301 -1842 ezra @olypen.com M.