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HomeMy WebLinkAbout10820ORDINANCE NO.10820 AN ORDINANCE AMENDING PUEBLO MUNICIPAL CODE ON MARIJUANA, REVISING 11-10-103, 11-10-201 through 11-10-204, 11-10-505, 11-11-103, 11-11-201 through 11-11-204, and 11-11- 505 WHEREAS, The City of Pueblo is a home rule municipality operating under a charter adopted pursuant to Article XX of the Colorado Constitution and vested with the authority by that article and the Colorado Revised Statutes to adopt ordinances for the regulation of land use and protection of the public health, safety and welfare; and WHEREAS, in the exercise of this authority, the City Council has previously enacted Chapter 10, of Title XI of the Pueblo Municipal Code, concerning Medical Marijuana and Chapter 11, of Title XI of the Pueblo Municipal Code, concerning Retail Marijuana; and WHEREAS, in order to ensure that the needs of the local business community to have prompt action on marijuana licenses are met, the Council finds it is beneficial to provide for an administrative hearing officer to conduct marijuana licensing actions, both retail and medical, to provide for the timely processing of marijuana licensing matters; and WHEREAS, an administrative hearing officer would have a larger knowledge of marijuana laws, legal processes and procedures, and would provide more efficiency in review of applications, more flexibility with the hearing schedule, simply the process, allow for better timing for marijuana licensees, and provide the City a cost savings in terms of board payment and staff overtime; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. Section 11-10-103, 11-10-201 through 11-10-204, 11-10-505, 11-11-103, 11-11- 201 through 11-11-204, and 11-11-505 to the Code is amended as follows (brackets indicate matter being deleted, underscoring indicates new matter being added): Sec. 11-10-103. Definitions. The following definitions shall apply throughout this Chapter: (1) The definitions contained in Article XVIII, Section 14, Colorado Constitution and Section 44-10-103, C.R.S., shall apply to this Chapter except where the ordinance provides a different definition or the context of this Chapter makes it clear that the statutory or constitutional definition does not apply. (2) Adjacent grounds\[:\] means all areas that the licensee has a right to possess by virtue of his or her ownership or lease, which are outside the enclosed licensed premises, but adjacent and contiguous to the licensed premises, including but not limited to porches, patios, decks, entryways, lawns, parking lots and similar areas and all fixed and portable things in those areas, including but not limited to lights, signs, speakers and security devices. (3) Approve a license\[:\] means \[to find\] that the licensing authority has found that the requirements for a license have been met\[,\]. Such a finding does not give the applicant the right to operate a medical marijuana facility, which is only granted when\[ until\] the license is issued. (4) Authority\[:\] means the Pueblo Medical Marijuana Licensing Authority, which may be either an individual hearing officer or a Board. (5) Character and record\[:\] includes all aspects of a person's character and record, including but not limited to moral character, criminal record, serious traffic offenses, education, training, experience, civil judgments, truthfulness, honesty, financial responsibility, and records of previous sanctions against liquor licenses, gambling licenses, \[or \]marijuana licenses¸ or business license of any kind, which the person owned, in whole or in part, or in which the person served as a principal, manager or employee. The conviction of any person for any offense shall not, in itself, be grounds for a finding of bad character and record if such person demonstrates that he or she has been rehabilitated, but rehabilitation shall not be considered if a provision in this Chapter declares that the offense is a per se disqualification. (6) Complaint\[:\] means a document filed with the Authority by the City, any of its Departments or the Authority itself, seeking sanctions against a medical marijuana license. (7) Contiguous\[:\] means located within the same building as the medical marijuana facility, located in a separate building on the same parcel of land as the medical marijuana facility, or located in a separate building on a separate parcel of land that is adjacent to and shares at least fifty percent (50%) of a common lot line with the lot on which the medical marijuana facility is located. (8) Creditor\[:\] means any person lending, paying or providing funds, directly or indirectly, to pay any part of the costs of\[:\] operating the medical marijuana facility, including but not limited to the costs of rent, mortgage payments, utilities, debt payments, supplies, product, equipment, advertising, vehicles, salary and wages. (9) Employee\[:\] means the licensee's or proposed licensee's employees. (10) Harm or harmful to public health, safety or welfare\[:\] means any matter that adversely affects the health, safety or welfare of any person or group of persons within the City of Pueblo or any adjacent community, including but not limited to, matters related to crime, lighting, security, traffic, graffiti, loitering, litter, parking and noise. A showing of actual harm shall not be required and a showing of potential or threatened harm shall be sufficient. Any violation of any criminal statute or ordinance is per se substantially harmful to public health, safety and welfare, without any showing of actual or threatened harm. The mere possession, advertising, sale, cultivation, processing, smoking or ingestion of medical marijuana and medical marijuana products, when performed lawfully, shall not in itself be considered harmful to public health, safety and welfare. (11) In public\[:\] means any area that the public may generally enter, including any business open to the public. The term includes the licensed premises and the adjacent grounds. The term includes persons in motor vehicles located in a public place. (12) Issue a license means to finalize the license after a previous approval of the license, and may or may not occur after approval of the license, depending on any completions, inspections, approvals or conditions that the Authority may require to be satisfied before issuance. Issuance gives the licensee the right to operate a medical marijuana facility, provided that the licensee also obtains a State license. (13) Licensee\[:\] means the person or entity holding a medical marijuana license under this Chapter. (14) Licensed premises\[:\] means the area inside a building in which the cultivation, manufacture, processing, possession, weighing, display, packaging, sale and exchange of medical marijuana or marijuana products is licensed under this Chapter. (15) Marijuana or medical marijuana\[:\] except where the context clearly indicates otherwise, means growing marijuana plants, harvested marijuana in any state and medical marijuana products of all kinds. (16) Medical marijuana facility\[:\] means a medical marijuana store, medical marijuana cultivation facility, medical marijuana testing facility, or a medical marijuana products manufacturer. (17) Medical marijuana license\[:\] means any of the licenses described in Section 11-10-302, Pueblo Municipal Code. (18) Medical marijuana card\[:\] means any medical marijuana registration card issued to any patient or primary caregiver by the State of Colorado. (19) Operate or operation\[:\] means the matters described in Section 11-10- 307(a)(3) and (a)(4), Pueblo Municipal Code. (20) Patient\[:\] means a person with a debilitating medical condition who has received a recommendation from a licensed physician to use medical marijuana and who has received a medical marijuana card from the State. (21) Permit\[:\] when used as a verb means to: a. Participate in or contribute to an act, conduct or omission; b. Consent to or condone an act, conduct or omission; c. Know or have reason to know that an act, conduct or omission is or may be occurring, or probably will occur unless steps are taken to prevent the same, and failing to take reasonable steps to halt, thwart or prevent the same; or d. Ignore, avoid knowledge or notice of, or turn a blind eye to an act, conduct or omission that may be occurring. (22) Person\[:\] means any natural person and any entity. (23) Principal\[:\] means a controlling beneficial owner pursuant to C.R.S. § 44-10- 103, including, but not limited to, a natural person, business entity, publicly traded corporation, or qualified private fund that acting alone or in concert owns or acquires beneficial ownership of ten percent (10%) or more of an ownership interest in the licensed business, is an affiliate that controls the business, including any manager, or that is in a position to control the business and is not a licensed Medical Marijuana Business Operator. (24) Publicly traded corporation\[:\] means any person other than an individual that is organized under the laws of and for which its principal place of business is located in one of the states or territories of the United States or District of Colombia or another Country that authorizes the sale of marijuana and that meets the definition and qualifications of a publicly traded corporation as promulgated by the State of Colorado. (25) Serious traffic offense\[:\] means any driving offense carrying eight (8) points or more under Section 42-2-127, C.R.S., or the substantial equivalent of such offense in any other State. Article II Medical Marijuana Licensing Authority Sec. 11-10-201. Licensing authority. \[The Mayor, subject to Council confirmation, shall appoint a board to serve as the Medical Marijuana Licensing Authority.\] (a) Administrative Hearing Officer shall be the Medical Marijuana Licensing Authority. (b) The City Clerk is authorized to administratively process and approve certain matters designated by the Administrative Hearing Officer, upon terms and conditions established by the Officer, in accordance with articles 10 and 11 of title 44, C.R.S., as same may be amended, when there does not appear to be cause to review such matters, and when not required by law such as requirements for public hearing(s). Sec. 11-10-202. \[Members of Board.\] Composition \[(a) The members of the Board of the Medical Marijuana Authority shall be the members of the Board of the Retail Marijuana Authority selected pursuant to Section 11-11-202 of this Title. At the Board's first regular meeting and on the anniversary of the first meeting and each year thereafter, the Board shall appoint one (1) of its members to act as Chairman of the Board. The Mayor, subject to Council confirmation, shall make an appointment for any unexpired term in the event a vacancy arises. (b) Any member of the Board may be removed by the Mayor for nonattendance to duty or for cause. Any member who fails to attend three (3) consecutive meetings of the Board shall be removed from the Board, unless the Mayor excuses any such absences. \] (a) The Local Licensing Authority for the City shall be the Municipal Judge. As defined in this code, Municipal Judge may include a Substitute Judge as appointed by the Presiding Judge. (b) The Local Licensing Authority shall have the duty and authority to grant or deny licenses for the issuing of all types of medical marijuana licenses in accordance with this code and state laws and regulations, to conduct investigations as are required by law and to levy penalties against licensees in the manner provided by law and this code. (c) The Authority shall have all the powers of the Local Licensing Authority as set forth in C.R.S. Title 44, Article 10 and 11. (d) The Authority shall have the power to promulgate rules and regulations concerning the procedures for hearings before it and the presentation of evidence at hearings. (e) The Authority shall have the power to require any applicant for a license to furnish any relevant information required by the Authority. (f) The Authority shall have the power to administer oaths and issue subpoenas to require the presence of persons and the production of papers, books and records necessary to the determination of any hearing which the Authority is authorized to conduct. It shall constitute a violation of this Code, and a Class 1 municipal offense for any person to fail to comply with any subpoena issued by the Authority in the proper conduct of its hearings. A subpoena shall be served in the same manner as a subpoena issued by the District Court of the State. Sec. 11-10-203. Powers of Authority. (a) The Authority shall have the following powers: (1) To issue or deny medical marijuana licenses and renewals of the same within the City. (2) To impose sanctions on any license issued by the Authority on its own motion or on complaint by the City for any violation by the licensee after investigation and public hearing at which the licensee shall be afforded an opportunity to be heard. (3) To issue approvals and disapprovals as provided in this Chapter. (4) To conduct hearings, grant or deny motions, make findings and orders, administer oaths, and issue subpoenas to require the presence of persons and the production of papers, books and records necessary to the determination of any hearing which it is authorized to conduct. (5) To control the mode, manner and order of all proceedings and hearings. (6) To adopt rules, procedures and policies for its own proceedings. (7) To adopt rules and policies for filing applications and requests. (8) To adopt application forms and submission requirements, including a requirement that applications, complaints and other documents be filed in a digital format approved by the Authority and to refuse applications, complaints and other documents not filed in the approved digital format. (9) To perform any act that the Authority is authorized to perform under this Chapter. (10) To perform any other act that may be implied or necessary to carry out any act that the Authority is authorized to perform under this Chapter. (11) To grant exceptions to the licensing requirements set forth in Section 11-10- 308 provided that the licensee and licensed premises fully comply with all state laws, rules and regulations and after considering whether granting the exception(s) will have a negative impact on the health, safety and welfare of the surrounding neighborhood or public in general. \[(b) In the event that any person, in the immediate presence of the Authority or within its sight or hearing, while the Authority is in session during a hearing, commits a direct contempt of the Authority by speech, gesture or conduct which disobeys a lawful order of the Authority, shows gross disrespect to the Authority tending to bring the Authority into public ridicule, or substantially interferes with the Authority's proceedings, the Authority may hold such person in contempt. Contemptuous conduct by any principal, registered manager or employee shall be imputed to the licensee. (c) The Authority may impose the following sanctions for contempt: (1) Removal of the person committing the contempt from the proceedings, the hearing room and its environs; (2) Public censure, which shall be made a matter of the licensee's record and may be used as an aggravating factor in determining any fine, suspension or revocation; (3) A prohibition against the individual or licensee introducing into the record testimony, documents, exhibits or other evidence; (4) An order striking, disregarding and refusing to consider pleadings, applications, documents, objections, testimony, exhibits or other evidence or arguments already introduced by such person; (5) A fine, enforced by suspension of the license until the fine is paid; (6) Default of any motion, complaint or other action then pending against the licensee; or (7) Denial of any application by the licensee then pending before the Authority.\] Sec. 11-10-204. \[Quorum and majority vote. If a Board has been appointed to act as the Authority, a majority of the Board shall constitute a quorum for the conduct of its business. All decisions of the Board shall be by majority vote of the entire Board. \] Article V License Hearings Sec. 11-10-505. Evidence. (a) The Colorado Rules of Evidence and the common law rules of evidence shall not apply. The Authority may accept into evidence any testimony or exhibit and give such evidence the weight that the Authority believes it deserves. (b) The Authority may accept hearsay and multiple-hearsay testimony and may base its decision solely on such hearsay if such hearsay is reasonably reliable and trustworthy and has probative value accepted by reasonable and prudent persons in the conduct of their affairs. The Authority shall not be required to make a finding that the hearsay meets this standard. If the Authority admits the hearsay, it shall be conclusively presumed that the hearsay met this standard unless the Authority makes findings to the contrary. (c) The Authority shall have the authority to exclude testimony and other evidence as irrelevant, cumulative or on the ground that the witness does not have standing and was not called as a witness by a party who does have standing. (d) The Authority may take administrative notice of any matter contained in its file. \[(e) If a Board has been appointed to act as the authority, the Board may delegate to the chair or another member of the Board the authority to make procedural and evidentiary rulings at any hearing, but every member of the Board present shall vote on the findings and conclusions at the close of the hearing.\] CHAPTER 11 Retail Marijuana Article I General Sec. 11-11-103. Definitions. The following definitions shall apply throughout this Chapter: (1) The definitions contained in Article XVIII, Section 16, Colorado Constitution and Section 44-10-103, C.R.S., shall apply to this Chapter except where this Chapter provides a different definition or the context of this Chapter makes it clear that the statutory or constitutional definition does not apply. (2) Adjacent grounds means all areas that the licensee has a right to possess by virtue of his or her ownership or lease, which are outside the enclosed licensed premises, but adjacent and contiguous to the licensed premises, including but not limited to porches, patios, decks, entryways, lawns, parking lots and similar areas and all fixed and portable things in those areas, including but not limited to lights, signs, speakers and security devices. (3) Approve a license means \[to find\] that the licensing authority has found that the requirements for a license have been met\[, but\]. Such a finding does not give the applicant the right to operate a retail marijuana facility, which is only granted when\[ until\] the license is issued. (4) Authority means the Pueblo Retail Marijuana Licensing Authority. (5) Character and record includes all aspects of a person's character and record, including but not limited to moral character, criminal record, serious traffic offenses, record of previous sanctions against liquor licenses, medical marijuana licenses, retail marijuana licenses or other licenses, including business license or any kind which the person owned, in whole or in part, or in which the person served as a principal, manager or employee; education, training, experience, civil judgments, truthfulness, honesty and financial responsibility. The conviction of any person for any offense shall not, in itself, be grounds for a finding of bad character and record if such person demonstrates that he or she has been rehabilitated, but rehabilitation shall not be considered if a provision in this Chapter declares that the offense is a per se disqualification. (6) Complaint means a document filed with the Authority by the City, any of its Departments or the Authority itself, seeking sanctions against a retail marijuana license. (7) Contiguous means located within the same building as the retail marijuana establishment, located in a separate building on the same parcel of land as the retail marijuana establishment, or located in a separate building on a separate parcel of land that is adjacent to and shares at least fifty percent (50%) of a common lot line with the lot on which the retail marijuana establishment is located. (8) Employee means the licensee's or proposed licensee's employees. (9) Financier means any person lending, paying or providing funds, directly or indirectly, to pay any part of the costs including costs of\[:\] operating the retail marijuana facility, including but not limited to the costs of rent, mortgage payments, utilities, debt payments, supplies, product, equipment, advertising, vehicles, salary and wages. (10) Harm or harmful to public health, safety or welfare means any matter that adversely affects the health, safety or welfare of any person or group of persons within the City of Pueblo or any adjacent community, including but not limited to matters related to crime, lighting, security, traffic, graffiti, loitering, litter, parking and noise. A showing of actual harm shall not be required and a showing of potential or threatened harm shall be sufficient. Any violation of any criminal statute or ordinance is per se substantially harmful to public health, safety and welfare, without any showing of actual or threatened harm. The mere possession, advertising, sale, cultivation, manufacturing, testing, processing, smoking or ingestion of retail marijuana and retail marijuana products, when performed lawfully, shall not in itself be considered harmful to public health, safety and welfare. (11) In public means any area that the public may generally enter, including any business open to the public. The term includes the licensed premises and the adjacent grounds. The term includes persons in motor vehicles located in a public place. (12) Issue a license means to finalize the license after a previous approval of the license, and may or may not occur after approval of the license, depending on any completions, inspections, approvals or conditions that the Authority may require to be satisfied before issuance. Issuance gives the licensee the right to operate a retail marijuana establishment, provided that the licensee also obtains a State license. (13) Licensee means the person or entity holding a retail marijuana license under this Chapter. (14) Licensed premises means the area inside a building in which the cultivation, manufacture, testing, processing, possession, weighing, display, packaging, sale and exchange of retail marijuana or marijuana products is licensed under this Chapter. (15) Marijuana or retail marijuana, except where the context clearly indicates otherwise, means growing marijuana plants, harvested marijuana in any condition and retail marijuana products of all kinds. (15.5) Retail marijuana district shall mean the geographic area in which retail marijuana stores may be located. There shall be two (2) retail marijuana districts. The North Retail Marijuana District shall be that area of the City located north of the Arkansas River. The South Retail Marijuana District shall be that area of the City located south of the Arkansas River. (16) Retail marijuana establishment means a retail marijuana cultivation facility, a retail marijuana products manufacturer, a retail marijuana testing facility, or a retail marijuana store. (17) Retail marijuana license means any of the licenses described in Section 11-11- 302 of this Chapter. (18) Operate or operation means the matters described in Section 11-11-307(a)(3) and (a)(4) of this Chapter. (19) Permit when used as a verb means to: a. Participate in or contribute to an act, conduct or omission; b. Consent to or condone an act, conduct or omission; c. Know or have reason to know that an act, conduct or omission is or may be occurring, or probably will occur unless steps are taken to prevent the same, and failing to take reasonable steps to halt, thwart or prevent the same; or d. Ignore, avoid knowledge or notice of, or turn a blind eye to an act, conduct or omission that may be occurring. (20) Person means any natural person or any entity. (21) Principal means a controlling beneficial owner pursuant to C.R.S. § 44-10-103, including, but not limited to, a natural person, business entity, publicly traded corporation, or qualified private fund that acting alone or in concert owns or acquires beneficial ownership of ten percent (10%) or more of an ownership interest in the licensed business, is an affiliate that controls the business, including any manager, or that is in a position to control the business and is not a licensed Retail Marijuana Business Operator. (22) Publicly traded corporation means any person other than an individual that is organized under the laws of and for which its principal place of business is located in one of the states or territories of the United States or District of Colombia or another Country that authorizes the sale of marijuana and that meets the definition and qualifications of a publicly traded corporation as promulgated by the State of Colorado. (23) Serious traffic offense means any driving offense carrying eight (8) points or more under Section 42-2-127, C.R.S., or the substantial equivalent of such offense in any other State. Article II Retail Marijuana Licensing Authority Sec. 11-11-201. Licensing authority. \[The Mayor, subject to Council confirmation, shall appoint a Board to serve as the Retail Marijuana Licensing Authority.\] (a) Administrative Hearing Officer shall be the Retail Marijuana Licensing Authority. (b) The City Clerk is authorized to administratively process and approve certain matters designated by the Administrative Hearing Officer, upon terms and conditions established by the Officer, in accordance with articles 10 and 12 of title 44, C.R.S., as same may be amended, when there does not appear to be cause to review such matters, and when not required by law such as requirements for public hearing(s). Sec. 11-11-202. \[Members of Board.\] Composition. \[(a) The Board appointed by City Council to serve as the authority shall consist of five (5) members, who shall be residents of the City. Five (5) members shall be initially appointed for staggered terms expiring on the first day of July as follows: one (1) member for a one-year term, one (1) member for a two-year term, one (1) member for a three-year term, and two (2) members for four-year terms. Thereafter, each member shall be appointed for a term of four (4) years. At the Board's first regular meeting and on the anniversary of the first meeting and each year thereafter, the Board shall appoint one (1) of its members to act as Chair of the Board. The Mayor, subject to Council confirmation, shall make an appointment for any unexpired term in the event a vacancy arises. (b) Any member of the Board may be removed by the Mayor for nonattendance to duty or for cause. Any member who fails to attend three (3) consecutive meetings of the Board shall be removed from the Board, unless the Mayor excuses any such absences.\] (a) The Local Licensing Authority for the City shall be the Municipal Judge. As defined in this code, Municipal Judge may include a Substitute Judge as appointed by the Presiding Judge. (b) The Local Licensing Authority shall have the duty and authority to grant or deny licenses for the issuing of all types of retail marijuana licenses in accordance with this code and state laws and regulations, to conduct investigations as are required by law and to levy penalties against licensees in the manner provided by law and this code. (c) The Authority shall have all the powers of the Local Licensing Authority as set forth in C.R.S. Title 44, Article 10 and 12. (d) The Authority shall have the power to promulgate rules and regulations concerning the procedures for hearings before it and the presentation of evidence at hearings. (e) The Authority shall have the power to require any applicant for a license to furnish any relevant information required by the Authority. (f) The Authority shall have the power to administer oaths and issue subpoenas to require the presence of persons and the production of papers, books and records necessary to the determination of any hearing which the Authority is authorized to conduct. It shall constitute a violation of this Code for any person to fail to comply with any subpoena issued by the Authority in the proper conduct of its hearings. A subpoena shall be served in the same manner as a subpoena issued by the District Court of the State. Sec. 11-11-203. Powers of Authority. (a) The Authority shall have the following powers: (1) To issue or deny retail marijuana licenses and renewals of the same within the City. (2) To impose sanctions on any license issued by the Authority on its own motion or on complaint by the City for any violation by the licensee after investigation and public hearing at which the licensee shall be afforded an opportunity to be heard. (3) To issue approvals and disapprovals as provided in this Chapter. (4) To conduct hearings, grant or deny motions, make findings and orders, administer oaths, and issue subpoenas to require the presence of persons and the production of papers, books and records necessary to the determination of any hearing which it is authorized to conduct. (5) To control the mode, manner and order of all proceedings and hearings. (6) To adopt rules, procedures and policies for its own proceedings. (7) To adopt rules and policies for filing applications and requests. (8) To adopt application forms and submission requirements, including a requirement that applications, complaints and other documents be filed in a digital format approved by the Authority and to refuse applications, complaints and other documents not filed in the approved digital format. (9) To perform any act that the Authority is authorized to perform under this Chapter. (10) To perform any other act that may be implied or necessary to carry out any act that the Authority is authorized to perform under this Chapter. (11) To grant exceptions to the licensing requirements set forth in Section 11-10- 308 provided that the licensee and licensed premises fully comply with all state laws, rules and regulations and after considering whether granting the exception(s) will have a negative impact on the health, safety and welfare of the surrounding neighborhood or public in general. (12) To promulgate such rules and regulations deemed necessary to properly administer and enforce this Chapter, and to exercise all other powers and duties as are set forth in this Chapter, as well as those set forth in the Colorado Marijuana Code and Subsection 5(f) of Section 16 of Article XVIII of the Colorado Constitution. The Authority shall provide all proposed rules and subsequent changes thereto, to City Council for approval by Resolution. \[(b) In the event that any person, in the immediate presence of the Authority or within its sight or hearing, while the Authority is in session during a hearing, commits a direct contempt of the Authority by speech, gesture or conduct which disobeys a lawful order of the Authority, shows gross disrespect to the Authority tending to bring the Authority into public ridicule, or substantially interferes with the Authority's proceedings, the Authority may hold such person in contempt. Contemptuous conduct by any principal, registered manager or employee shall be imputed to the licensee. (c) The Authority may impose the following sanctions for contempt: (1) Removal of the person committing the contempt from the proceedings, the hearing room and its environs; (2) Public censure, which shall be made a matter of the licensee's record and may be used as an aggravating factor in determining any fine, suspension or revocation; (3) A prohibition against the individual or licensee introducing into the record testimony, documents, exhibits or other evidence; (4) An order striking, disregarding and refusing to consider pleadings, applications, documents, objections, testimony, exhibits or other evidence or arguments already introduced by such person; (5) A fine, enforced by suspension of the license until the fine is paid; (6) Default of any motion, complaint or other action then pending against the licensee; or (7) Denial of any application by the licensee then pending before the Authority.\] Sec. 11-11-204. \[Quorum and majority vote. A majority of the Board shall constitute a quorum for the conduct of its business. All decisions of the Board shall be by majority vote of the Board members present at a meeting where a quorum has been established. \] Article V License Hearings Sec. 11-11-505. Evidence. (a) The Colorado Rules of Evidence and the common law rules of evidence shall not apply to hearings under this Chapter. The Authority may accept into evidence any testimony or exhibit and give such evidence the weight that the Authority believes it deserves. (b) The Authority may accept hearsay and multiple-hearsay testimony and may base its decision solely on such hearsay if such hearsay is reasonably reliable and trustworthy and has probative value accepted by reasonable and prudent persons in the conduct of their affairs. The Authority shall not be required to make a finding that the hearsay meets this standard. If the Authority admits the hearsay, it shall be conclusively presumed that the hearsay met this standard unless the Authority makes findings to the contrary. (c) The Authority shall have the authority to exclude testimony and other evidence as irrelevant, cumulative or on the ground that the witness or exhibit was not disclosed ten (10) days prior to the hearing. (d) The Authority may take administrative notice of any matter contained in its file. \[(e) The Board may delegate to the chair or another member of the Board the authority to make procedural and evidentiary rulings at any hearing, but every member of the Board present shall vote on the findings and conclusions at the conclusion of the hearing.\] SECTION 2. The officers and staff of the City are authorized to perform all acts consistent with this Ordinance and to implement the policies and procedures described therein. SECTION 3. This Ordinance shall become effective on the January 1, 2025, unless at any time after the date of final action by the Mayor and City Council the Board fails to have a quorum at any meeting, or if the number of members of the board drop so low as to make obtaining a quorum at any meeting impossible, then this Ordinance shall become effective immediately. Action by City Council: Introduced and initial adoption of Ordinance by City Council on October 15, 2024. Final adoption of Ordinance by City Council on October 28, 2024. ________________________________ President of City Council Action by the Mayor: Approved on_______________________________. Disapproved on_____________________________ based on the following objections: ____________________________________________________________________________ ____________________________________________________________________________ ____________________________________________________________________________ ____________________________________________________________________________ ___________________________ Mayor Action by City Council After Disapproval by the Mayor: Council did not act to override the Mayor's veto. Ordinance re-adopted on a vote of ___________________, on ______________________. ___________________________ President of City Council ATTEST _____________________________ Deputy City Clerk City Clerk's Office Item # R1 Background Paper for Proposed Ordinance COUNCIL MEETING DATE: October 28, 2024 TO: President Mark Aliff and Members of City Council CC: Mayor Heather Graham VIA: Marisa Stoller, City Clerk FROM: Marisa Stoller, City Clerk SUBJECT: AN ORDINANCE AMENDING PUEBLO MUNICIPAL CODE ON MARIJUANA, REVISING 11-10-103, 11-10-201 THROUGH 11-10-204, 11-10-505, 11-11-103, 11-11-201 THROUGH 11-11-204, AND 11-11-505 SUMMARY: Attached for consideration is a modification to the marijuana license procedure, both retail and medical licenses, authorizing the appointment of an administrative hearing officer for marijuana licensing matters. This move would serve to allow for more efficiency in the review of liquor licenses, simplify the process, prevent canceled meetings that delay the timelines of approval, allow for more flexibility in the hearing schedule, reduce the staff time necessary for onboarding and board appointments, result in better timing for liquor licensees, and allow for more knowledge in the liquor laws and legal processes and procedure. PREVIOUS COUNCIL ACTION: In 2010, 11-10-101 through 11-10-704 was added to the Pueblo Municipal Code (PMC) adding Medical Marijuana regulations. In 2014, 11-11-101 through 11-11-603 was added to the PMC adding Retail Marijuana regulations. The most recent update to these codes was in 2020. BACKGROUND: Most larger municipalities have moved to a system utilizing municipal courts to issue licenses and conduct hearings required by state marijuana statues and code. Colorado Springs, Fort Collins, Greeley, Centennial, and Boulder are such cities. Currently, Pueblo has a Marijuana Licensing Board that meets once month to conduct business and hearings. The meeting is the third Thursday of the month at 5:30 p.m. As the City has limited the number of retail licenses, these meetings are almost entirely done by a consent agenda, typically reviewing license renewals and minor changes to ownership. The marijuana regulations were written to accommodate either a board or a licensing authority. Therefore, the modifications are simpler, however, modifications to accommodate court processes were included. FINANCIAL IMPLICATIONS: This change would save the City money in staff overtime, as an assistant city attorney, licensing officer, security, and facilities staff must stay late each month to host these meetings. It would also save staff time. BOARD/COMMISSION RECOMMENDATION: This item was discussed with the Marijuana Board and there were no major concerns about the change. The individual members were mostly supportive of the change and agreed and understood the reasons why this change is being considered. STAKEHOLDER PROCESS: Not applicable to this Ordinance. ALTERNATIVES: If City Council does not approve this Ordinance, the Marijuana Licensing Board would continue to meet and conduct business. RECOMMENDATION: Approval of the Ordinance. ATTACHMENTS: 1. Ordinance