TOWN OF KIOWA ORDINANCE NO

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TOWN OF KIOWA ORDINANCE NO. 2010-09 TITLE: AN ORDINANCE TO AMEND CHAPTER 16 OF THE TOWN OF KIOWA MUNICIPAL CODE BY THE ADDITION THERETO OF A NEW ARTICLE XVI CONCERNING THE RETAIL SALE, DISTRIBUTION, CULTIVATION AND DISPENSING OF MEDICAL MARIJUANA WHEREAS, the Board of Trustees previously adopted an ordinance imposing a moratorium on the processing and approval of all applications for permits and licenses by the Town related to what were referred to as "Medical Marijuana Dispensaries" in order to allow the Town staff, working with the Town Attorney, to evaluate and prepare appropriate regulations concerning such dispensaries within the Town (the "Moratorium Ordinance"); WHEREAS, during the pendency of the Moratorium Ordinance, the Colorado Legislature during the 2010 legislative session considered and adopted legislation which in pertinent part added a new Article 43.3 to Title 12 of the Colorado Revised Statutes, to be known as the Colorado Medical Marijuana Code; WHEREAS, the Colorado Medical Marijuana Code clarifies Colorado law regarding the scope and extent of Amendment 20 to the Colorado Constitution ("Article XVIII, Section 14"), and at the same time authorizes a mechanism for the retail sale, distribution, cultivation and dispensing of medical marijuana known as a "Medical Marijuana Center," and further authorizes licensing mechanisms known as an "Optional Premises Cultivation Operation" and a "Medical Marijuana-Infused Products Manufacturers' License"; WHEREAS, C.R.S. 12-43.3-106 of the Colorado Medical Marijuana Code specifically authorizes in part that the governing body of a municipality may "vote to prohibit the operation of medical marijuana centers, optional premises cultivation operations, and medical marijuanainfused products manufacturers' licenses"; WHEREAS, C.R.S. 12-43.3-310 of the Colorado Medical Marijuana Code further specifically authorizes a municipality in part "to prohibit the operation of medical marijuana centers, optional premises cultivation operations, and medical marijuana-infused products manufacturers' licenses... based on local government zoning, health, safety, and public welfare laws for the distribution of medical marijuana that are more restrictive than this article;" WHEREAS, C.R.S. 12-43.3-308(1)(c) of the Colorado Medical Marijuana Code also provides that the state and local licensing authorities shall not receive or act upon a new application pursuant to the Colorado Medical Marijuana Code "for a location in an area where the cultivation, manufacture, and sale of medical marijuana as contemplated is not permitted under the applicable zoning laws of the municipality, city and county, or county"; WHEREAS, the Board of Trustees has carefully considered the provisions of the Colorado Medical Marijuana Code, Article XVIII, Section 14 of the Colorado Constitution, and

the impact of medical marijuana centers, optional premises cultivation operations, and medical marijuana-infused products manufacturers' licenses on the health, safety and welfare of the Town and the inhabitants thereof, and has determined as an exercise of its local land use authority that such medical marijuana centers, optional premises cultivation operations, and medical marijuana-infused products manufacturers' licenses shall not be located within the corporate limits of the Town; and WHEREAS, the Board of Trustees further recognizes the protections afforded by Article XVIII, Section 14 of the Colorado Constitution, and desires to affirm the ability of patients and primary caregivers to otherwise be afforded the protections of Article XVIII, Section 14 of the Colorado Constitution and C.R.S. 25-1.5-106, as the same may be amended from time to time. NOW THEREFORE BE IT ORDAINED BY THE BOARD OF TRUSTEES FOR THE TOWN OF KIOWA, COLORADO, THAT: Section 1. The Kiowa Municipal Code is amended by the addition thereto of a new Article XVI to Chapter 16, entitled "Medical Marijuana," to read as follows: ARTICLE XVI Medical Marijuana Sec. 16-311 Findings and Legislative Intent. The Board of Trustees makes the following legislative findings: (1) The Board of Trustees finds and determines that the Colorado Medical Marijuana Code, C.R.S. 12-43.3-101, et seq., clarifies Colorado law regarding the scope and extent of Amendment 20 to the Colorado Constitution. (2) The Board of Trustees finds and determines that the Colorado Medical Marijuana Code specifically authorizes in part that the governing body of a municipality may "vote to prohibit the operation of medical marijuana centers, optional premises cultivation operations, and medical marijuana-infused products manufacturers' licenses." (3) The Board of Trustees finds and determines that the Colorado Medical Marijuana Code further specifically authorizes a municipality in part "to prohibit the operation of medical marijuana centers, optional premises cultivation operations, and medical marijuana-infused products manufacturers' licenses... based on local government zoning, health, safety, and public welfare laws for the distribution of medical marijuana." (4) The Board of Trustees finds and determines after careful consideration of the provisions of the Colorado Medical Marijuana Code, Article XVIII, Section 14 of the Colorado Constitution, and after evaluating, inter alia, the potential secondary impacts associated with the retail sale, distribution, cultivation and dispensing of medical marijuana through medical marijuana centers, optional premises cultivation operations, and medical marijuana-infused products manufacturers' licenses, that such land uses have 2

an adverse effect on the health, safety and welfare of the Town and the inhabitants thereof. (5) The Board of Trustees therefore finds and determines that as a matter of the Town's local land use and zoning authority as a home rule municipality pursuant to the provisions of Article XX, Section 6 of the Colorado Constitution, and consistent with the authorization provided by the Colorado Medical Marijuana Code, that no suitable location exists within the corporate limits of the Town of Kiowa for the cultivation, manufacture, and sale of medical marijuana by the operation of medical marijuana centers, optional premises cultivation operations, and medical marijuana-infused products manufacturers' licenses. (6) The Board of Trustees recognizes and affirms the protections afforded by Article XVIII, Section 14 of the Colorado Constitution, and desires to affirm the ability of patients and primary caregivers to otherwise be afforded the protections of Article XVIII, Section 14 of the Colorado Constitution and C.R.S. 25-1.5-106, as the same may be amended from time to time. Sec. 16-312 Authority. The Board of Trustees hereby finds, determines and declares that it has the power and authority to adopt this Article pursuant to: (1) The Colorado Medical Marijuana Code, C.R.S. 12-43.3-101, et seq., (2) The authority granted to home rule municipalities by Article XX of the Colorado Constitution; (3) The powers contained in the Town of Kiowa Home Rule Charter. (4) The Local Government Land Use Control Enabling Act, article 20 of title 29, C.R.S.; (5) Part 3 of Article 23 of Title 31, C.R.S. (concerning municipal zoning powers); (6) Section 31-15-103, C.R.S. (concerning municipal police powers); (7) Section 31-15-401, C.R.S. (concerning municipal police powers); (8) Section 31-15-501, C.R.S. (concerning municipal authority to regulate businesses). Sec. 16-313 Definitions. For purposes of this Article, the following terms shall have the following meanings: 3

(1) Medical marijuana means marijuana that is grown and sold for a purpose authorized by Section 14 of Article XVIII of the Colorado Constitution. (2) Medical marijuana center means a person authorized to be licensed to operate a business as described in the Colorado Medical Marijuana Code that sells medical marijuana to registered patients or primary caregivers as defined in Section 14 of Article XVIII of the Colorado Constitution, but is not a primary caregiver, and which a municipality is authorized to prohibit as a matter of law. (3) Medical marijuana-infused products manufacturer means a person licensed pursuant to the Colorado Medical Marijuana Code to operate a business known as a Medical Marijuana-Infused Products Manufacturing License, and which a municipality is authorized to prohibit as a matter of law. (4) Optional premises cultivation operation means a person licensed pursuant to the Colorado Medical Marijuana Code to operate a business known as an optional premises grow facility in order to grow and cultivate marijuana for a purpose authorized by Section 14 of Article XVIII of the Colorado Constitution, and which a municipality is authorized to prohibit as a matter of law. (5) Person means a natural person, partnership, association, company, corporation, limited liability company, or organization, or a manager, agent, owner, director, servant, officer, or employee thereof. (6) Patient has the meaning provided in Section 14(1)(c) of Article XVIII of the Colorado Constitution. (7) Primary caregiver has the meaning provided in Section 14(1)(f) of Article XVIII of the Colorado Constitution. Sec. 16-314 Medical Marijuana Centers, Optional Premises Cultivation Operations, and Medical Marijuana-Infused Products Manufacturers' Licenses Prohibited. It is unlawful for any person to operate, cause to be operated, or permit to be operated a medical marijuana center, optional premises cultivation operation, or facility for which a medical marijuana-infused products manufacturers' license could otherwise be obtained within the Town, and all such uses are hereby prohibited in any location within the Town, or within any area hereinafter annexed to the Town. Sec. 16-315 Patients and Primary Caregivers. Nothing in this Article XVI of Chapter 16 shall be construed to prohibit, regulate or otherwise impair the use of medical marijuana by patients as defined by the Colorado Constitution, or the provision of medical marijuana by a primary caregiver to a patient in accordance with the Colorado Constitution, and consistent with C.R.S. 25-1.5-106, and 4

rules promulgated thereunder, as the same statute and rules may be amended from time to time. Sec. 16-316 Penalty. A violation of the provisions of this Article shall be punishable as follows: (1) By a fine of not more than nine hundred ninety-nine dollars ($999.00), or imprisonment in the county jail for not more than one (1) year, or by both such fine and imprisonment; (2) Each and every day a violation of the provisions of this Article is committed, exists or continues shall be deemed a separate offense; (3) The Town is specifically authorized to seek an injunction, abatement, restitution or any other remedy necessary to prevent, enjoin, abate, or remove the violation; and (4) Any remedies provided for herein shall be cumulative and not exclusive, and shall be in addition to any other remedies provided by law or in equity. Sec. 16-317 Effective date. The ordinance codified in this Article shall take effect upon the effective date of House Bill 10-1284. Section 2. The Kiowa Municipal Code is amended by the addition thereto of a new Section 16-38 to read as follows: Sec. 16-38 Medical marijuana prohibitions. The use of property as a medical marijuana center, optional premises cultivation operation, or a facility for which a medical marijuana-infused products manufacturers' license could otherwise be obtained within the Town are all uses prohibited in any zoning district. Section 3. Safety Clause. The Town Board of Trustees hereby finds, determines, and declares that this ordinance is promulgated under the general police power of the Town of Kiowa, that it is promulgated for the health, safety, and welfare of the public, and that this ordinance is necessary for the preservation of health and safety and for the protection of public convenience and welfare. The Board of Trustees further determines that the ordinance bears a rational relation to the proper legislative object sought to be attained. Section 4. Severability. If any clause, sentence, paragraph, or part of this ordinance or the application thereof to any person or circumstances shall for any reason be adjudged by a court of competent jurisdiction invalid, such judgment shall not affect application to other persons or circumstances. 5

Section 5. Effective Date. This Ordinance shall become effective ten (10) days after publication by title. INTRODUCED, and ADOPTED by a vote of for and against and ORDERED PUBLISHED BY TITLE this day of, 2010. TOWN OF KIOWA, COLORADO ATTEST: Luke Bond, Mayor Michelle M. Oeser, Town Clerk APPROVED AS TO FORM: Corey Y. Hoffmann, Town Attorney 6