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HomeMy WebLinkAbout07.E- Council Office DOC ID: 4512 CITY OF SAN BERNARDINO — REQUEST FOR COUNCIL ACTION In Support/Opposition From: John Valdivia M/CC Meeting Date: 07/05/2016 Prepared by: Cheryl Weeks, (909) 384- 5188 Dept: Council Office Ward(s): All Subject: Discuss and Take Possible Action Regarding an Ordinance Adding Chapter 3.82 of Title 3 of the San Bernardino Municipal Code Imposing a Business Tax on Cannabis Businesses and Commercial Cannabis Activities; Adding Chapter 5.04.655 of Title 5 to Designate Business Registration Fees for Cannabis Businesses; Repealing Chapter 5.05 of Title 5 and Chapter 19.06.026 of Title 19 Pertaining to Medical Marijuana Dispensaries; and Adding Chapter 5.86 of Title 5 Pertaining to Cannabis Business Regulations. (#4512) Current Business Registration Certificate: Not Applicable Financial Impact: Motion: Direct the City Attorney to update an ordinance regarding medical marijuana. Synopsis of Previous Council Action: N/A Background: As a result of the June 14, 2016 Legislative Review Committee (LRC) meeting, the committee would like to direct the City Attorney to update an ordinance regarding medical marijuana. Supporting Documents: Business Tax Ordinance - SB 1.1 - Revised (PDF) 1 g Updated:6/27/2016 by Georgeann "Gigi" Hanna p 1 �kA ORDINANCE NO. AN ORDINANCE ADDING CHAPTER 3.82 OF TITLE 3 OF THE SAN BERNARDINO MUNICIPAL CODE IMPOSING A BUSINESS TAX ON CANNABIS BUSINESSES AND COMMERCIAL CANNABIS ACTIVITIES; ADDING CHAPTER 5.04.655 OF TITLE 5 TO DESIGNATE BUSINESS REGISTRATION FEES FOR CANNABIS BUSINESSES; REPEALING CHAPTER 5.05 OF TITLE 5 AND CHAPTER 19.06.026 OF TITLE 19 cc PERTAINING TO MEDICAL MARIJUANA DISPENSARIES; AND ADDING CHAPTER 5.86 cc OF TITLE 5 PERTAINING TO CANNABIS BUSINESS REGULATIONS WHEREAS, in 1996, the voters of the State of California approved the Compassionate Use Act of 1996 (Proposition 215) as codified at Health and Safety Code Section 11362.5; and WHEREAS, the intent of Proposition 215 was to enable persons who use marijuana or = cannabis for medical purposes to use it without fear of criminal prosecution or sanction; and WHEREAS, on January 1, 2004, Senate Bill 420, the Medical Marijuana Program Act, became law and was codified in Sections 11362.7 to 11362.83, inclusive, of the California Health and Safety Code; and WHEREAS, the California Department of Justice in the August 2008 Guidelines for the = Security and Non-Diversion of Marijuana Grown for Medical Use ("2008 Attorney General o Guidelines") has opined that neither the Compassionate Use Act nor the Medical Marijuana Program Act conflict with the Federal Controlled Substances Act since "California did not 'legalize' medical marijuana, but instead exercised the state's reserved powers to not punish 5 certain marijuana offenses under state law when a physician has recommended its use to > treat a serious medical condition"; and WHEREAS, in City of Riverside v. Inland Empire Patients Health & Wellness Ctr., Inc. LO (2013) 56 CalAth 729, the California Supreme Court ruled unanimously that the Compassionate Use Act and the Medical Marijuana Program Act do not preempt local y ordinances that regulate or ban commercial medical marijuana facilities, but recognized that the local police power, which derives from Article XI, Section 7, of the California Constitution, "inclues broad authority to determine, for purposes of public health, safety, and welfare, the appropriate uses of land within a local jursidiction's borders"; and m Cn WHEREAS, the federal government has issued detailed guidelines for states and local governments that have enacted laws authorizing marijuana activities, requiring them to "implement strong and effective regulatory and enforcement systems that will address the threat those state laws could pose to public safety, public health and other law enforcement interests," and recognizes that where such strong and effective regulatory and enforcement X systems ar in place, activities in compliance wih those regulatory and enforcement systems is less likely to threaten federal priorities and thus less likely to require federal enforcement; and Cn WHEREAS, on October 9, 2015, California Gov. Brown signed into law the Medical = Marijuana Regulation and Safety Act ("MMRSA"), a package of three separate bills (AB 243, m AB 266 and SB 643) enacted by the Legislature, that established a comprehensive framework y for the taxation and regulation of medical cannabis and medical marijuana in California; and WHEREAS, the City has faced chronic and serious budget shortfalls in recent years that s threaten the public health and safety by reduction or attrition of important City services, including essential police, fire/EMS, code enforcement, and health services; and a WHEREAS, taxing commercial cannabis activities in the City would create a new and reliable source of revenues to be deposited into the General Fund, and to be disbursed on such programs and activities as the City Council deems appropriate; and .� WHEREAS, the San Bernardino City Council hereby declares its intent to regulate a limited number of specified cannabis businesses and commercial cannabis activities, and to impose a business tax on any such businesses or commercial activities in the City ; and WHEREAS, the Control, Regulate and Tax Adult Use of Marijuana Act ("AUMA"), if approved by the voters at the November 8, 2016, statewide general election, would create a comprehensive framework of state law that authorizes local taxation and regulation of cannabis, marijuana and their manufactured products upon taking effect; and WHEREAS, nothing in this chapter shall be construed to allow the use, sale or taxation of cannabis or marijuana for nonmedical purposes, unless and until authorized by state law, or to allow any cannabis or marijuana activity that is otherwise illegal under state law. NOW THEREFORE, THE SAN BERNARDINO CITY COUNCIL ORDAINS AS FOLLOWS: SECTION 1. TITLE. M This initiative shall be known and may be cited as the "Cannabis Revenue Act of the City of CD San Bernardino." 4) SECTION 2. FINDINGS AND DECLARATIONS. The San Bernardino City Council finds all of the following to be true: o (a) There is an immediate need to align City ordinances and policies with the legislative intent and statutory language of the Compassionate Use Act of 1996 and the Medical Marijuana Regulation and Safety Act of 2015 ("MMRSA"), including its local tax provisions. (b) There will be an immediate need to align City ordinances and policies with the local tax > provisions of the Control, Regulate and Tax Adult Use of Marijuana Act ("AUMA"), in the event r LO the act is approved by the voters at the November 8, 2016, statewide general election. (c)Additional sources of City tax revenue are needed because the City's budget has _ suffered from chronic revenue shortfalls and other serious issues in recent years, which have N impacted and diminished the City's ability to provide essential services. (d) The proceeds of the taxes imposed by this initiative may be used for any lawful purpose of the City, as authorized by ordinance, resolution or action of the San Bernardino City Council or by ordinance adopted by the electorate of the City. These taxes do not meet the m criteria established by Section 1(d) of Article XI 11C of the California Constitution for special taxes, and are general taxes imposed for general governmental purposes. _ The San Bernardino City Council further finds and declare that this municipal initiative is enacted pursuant to the powers reserved to the State of California, the City of San o Bernardino, and its citizens under the Tenth Amendment to the United States Constitution. x SECTION 3. GENERAL PURPOSE AND INTENT. This initiative adds Chapter 3.82 to Title 3; repeals Chapter 5.05 of Title 5 and Chapter = 19.06.026 of Title 19; and adds Chapters 5.04.655 and 5.86 to Title 5 of the San Bernardino m Municipal Code, and is made effective by voter approval at the general municipal election of November 8, 2016, of a ballot measure establishing business license fees on cannabis businesses and commercial cannabis activities, imposing an additional Cannabis Business Tax on such businesses and activities, and directing the City to propose and adopt land-use regulations governing such businesses and activities. The ordinance set forth below is a intended to align City tax laws with the Compassionate Use Act of 1996, the Medical Marijuana Program Act and the Medical Marijuana Regulation and Safety Act. The San Bernardino City Council hereby declares its intent: (a) To establish a new and permanent source of general tax revenues that may be used to 1 �UettAg4':13437f''. 1 fund police, fire, health or youth services, or for any other general governmental purpose the City Council deems to be in the best interest of the City; and (b) To align City tax laws with the Control, Regulate and Tax Adult Use of Marijuana Act of 2016 ("AUMA"), in the event the act is approved by the voters at the November 8, 2016, statewide general election, and to impose a tax on any cannabis business or marijuana business that operates in the City under the provisions of the AUMA. (c) To raise the appropriations limit for the City as may be required to collect and expend the taxes imposed by this initiative. (d) To direct the City to develop commercial cannabis regulations as may be needed to enable the collection of the Cannabis Business Tax from locally regulated businesses. w SECTION 4. CANNABIS BUSINESS TAX. Chapter 3.82 of Title 3, titled "Revenue and Finance," is added to the San Bernardino Municipal Code to read: w CHAPTER 3.82 - CANNABIS BUSINESS TAX m 3.82.010 Title. The title of this chapter shall be known as the "Cannabis Business Tax Ordinance of the o City of San Bernardino." This ordinance shall be applicable in the incorporated territory of the City of San Bernardino ("City "). 2 3.82.020 Purpose. > This ordinance is adopted to achieve the following, among other purposes, and directs that N LO its provisions are to be interpreted to accomplish these purposes: (a) To impose a general tax for general governmental purposes in accordance with the provisions of Article XIII C, Section 2, and Article XI, Section 5, of the California Constitution n and Subdivision (d) of Section 19320 of the California Business and Professions Code, which authorize the City to adopt this Cannabis Business Tax Ordinance, which shall become operative if City electors approve the ordinance at the November 8, 2016, general election. r (b) To establish a stable and permanent source of general tax revenues that may be used m for any lawful purpose the City Council deems to be in the best interest of the City. This chapter is enacted solely to raise revenue and is not intended for regulation. (c) To adopt a business tax ordinance that imposes a tax on cannabis and marijuana businesses and provides a measure for it that the State Board of Equalization can administer U and collect in a manner that follows, wherever practicable, statutory and administrative x procedures followed by the City in administering and collecting state and local taxes. c (d) To adopt a business tax ordinance which can be administered in a manner that shall be, to the greatest degree possible, consistent with state laws applicable to cannabis businesses = and commercial activities, minimize the cost of collecting the business taxes, and minimize m the burden of record keeping upon persons subject to taxation under this ordinance. Y (e) To raise the appropriations limit for the City . (f) To adopt a business tax ordinance that permits the City to collect cannabis business taxes pursuant to the Control, Regulate and Tax Adult Use of Marijuana Act in the event the M ballot initiative is approved by the voters at the November 8, 2016, statewide general election. a Ir3.82.030 Definitions. (a) In General. Unless the particular provision or the context otherwise requires, the definitions and provisions contained in this section shall govern the construction, meaning, Packet�P43,8 �� >E�S�WE�a�a °: and application of words or phrases shall govern the construction, meaning, and applications of words and phrases is otherwise specifically defined in this section, the definitions and provisions contained in Chapter 1.04 of this Code shall also govern the construction, meaning, and application of words and phrases used in this chapter. (b) State Definitions. Words and phrases not specifically defined in this Code shall have the meaning ascribed to them as defined in the following sources: (1) The Compassionate Use Act of 1996 (California Health and Safety Code Section 11362.5); and (2) The Medical Marijuana Program Act (California Health and Safety Code Sections 11362.7 through 11362.83, inclusive), as amended from time to time; and Ca (3) The Medical Marijuana Regulation and Safety Act of 2015 (enacted by Assembly Bill 243, Assembly Bill 266, and Senate Bill 643), as amended from time to time. (c) Specific Definitions. The following definitions shall also apply to this chapter. (1) "Bureau" means the Bureau of Medical Marijuana Regulation, or its successor agency, within the California Department of Consumer Affairs. (2) "Cannabis" or"marijuana" means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, o or resin. "Cannabis" or "marijuana" also means the separated resin, whether crude or purified, obtained from marijuana. "Cannabis" or "marijuana" also means marijuana as defined by Section 11018 of the Health and Safety Code as enacted by Chapter 1407 • of the Statutes of 1972. "Cannabis" or "marijuana" does not include the mature stalks of > the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, LO any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted therefrom), fiber, oil, or cake, or the sterilized seed of the plant which is incapable of germination. For the purpose of this chapter, "cannabis" or "marijuana" does not mean "industrial hemp" as defined by Section 81000 of the Food and Agricultural Code or Section 11018.5 of the Health and Safety Code. (3) "Cannabis tax", "cannabis business tax", "marijuana tax", or "marijuana business m tax" shall mean the tax due for engaging in any cannabis business, marijuana business, commercial cannabis activity or commercial marijuana activity in the incorporated territory of the City of San Bernardino. (4) "Code" or "Municipal Code" means the San Bernardino Municipal Code. E (5) "Commercial cannabis activity" or "commercial marijuana activity" includes cultivation, possession, manufacture, processing, storing, laboratory testing, labeling, transporting, distribution, or sale of medical marijuana or medical cannabis or a medical marijuana product or medical cannabis product. It does not include: (A) services rendered by an employee to his or her employer; or CO (B)Any cannabis or marijuana activity exempt from state licensing pursuant to Section 19319 of the Business and Professions Code, as may be amended, or E any activity protected by the Compassionate Use Act of 1996. (6) "Engaged in business" means the commencing, conducting, operating, managing or carrying on of a cannabis business or marijuana business and the exercise of a corporate or franchise powers, whether done as an owner or licensee, or by means of an officer, agent, manager, employee, or otherwise, whether operating from a fixed location in the City or coming into the City from an outside location to engage in such activities. A person shall be deemed to be engaged in business within the City if he or I;a�cet;Pg"�w �a3y AF A she conducts activities that include, but are not limited to: (A) Such person or person's employee maintains a fixed place of business within the City for the benefit or partial benefit of such person; (B) Such person or person's employee owns, rents or leases real property within the City for business purposes; (C) Such person or person's employee regularly maintains a stock of tangible personal property in the City for sale in the ordinary course of business; (D) Such person or person's employee regularly conducs solicitation of business within the City; (E) Such person or person's employee performs work or renders services in the City on a regular and continuous basis involving more than five (5) working days per year; or (F) Such person or person's employee utilizes the public streets within the City = in connection with the operation of motor vehicles for business purposes. (7) "Gross receipts" shall mean the total of the amounts actually received or receivable from sales and the total amounts actually received or receivable for the performance of any act or service for which a charge is made or credit allowed, whether or not such act or service is done as a part of or in conjunction with the sale of materials, goods, wares, or merchandise. Included in gross receipts shall be all receipts, cash, credits o and property of any kind without deduction of the cost of the property sold, the cost of the materials used, labor or service costs, interest paid or payable, or losses or other expenses whatsoever. Excluded from gross receipts are the following: (A) Cash discounts allowed and taken on sales; > O (B) Credit allowed on property accepted as part of the purchase price and which N property may later be sold; (C)A portion of receipts equal to any marijuana excise tax or cannabis excise tax imposed upon and collected from purchasers of marijuana, cannabis, n marijuana products or cannabis products for any retail sale or retail transaction in the City by a dispensary or other person required to be licensed pursuant to Chapter 3.5 of Division 8 of the Business and Professions Code, or a retailer, microbusiness, nonprofit, or other person required to be licensed pursuant to CO Division 10 of the Business and Professions Code to sell cannabis, marijuana, cannabis products or marijuana products directly to a purchaser. (D)Any other tax required by law to be included in or added to the purchase price and collected from the consumer or purchaser; E (E) Such part of the sale price of property returned by purchases upon X rescission of the contract of sale as is refunded either in cash or by credit. (8) "Licensee" means a person issued a state license under the MMRSA to engage in commercial cannabis activity. (9) "Licensing authority" means all of the following depending on the context: the state m agency responsible for the issuance, renewal, or reinstatement of the state license, the state agency authorized to take disciplinary action against the license or licensee, the City agency responsible for the issuance, renewal, or reinstatement of the local U license, local permit, or other local authorization, or the state or City agency authorized to take disciplinary action against the license or licensee. a (10) "Medical cannabis business," "cannabis business," "medical marijuana business" or "marijuana business" means any person or entity that conducts any commercial cannabis activity or any commercial marijuana activity or is otherwise engaged in business in the City. t?ac{�etPgl�440�`' 7.E.a (11) WMRSK means the Medical Marijuana Regulation and Safety Act of 2015. (12) "Notice of compliance" means an official document granted by the City of San Bernardino that demonstrates a person's compliance with conditions that allow the person to conduct a cannabis business, marijuana business, commercial cannabis activity or commercial marijuana activity in the City that would be prohibited otherwise. (13) "Permit," "local license," "local permit" or"local authorization" means an official document granted by the City of San Bernardino that grants a person limited immunity to conduct a marijuana business, cannabis business, commercial marijuana activity or commercial cannabis activity in the City and that further serves to demonstrate local authorization for such activity to the Bureau or other state licensing authority. (14) "Person" means an individual, firm, partnership, joint venture, association, V corporation, limited liability company, estate, trust, business trust, receiver, syndicate, 2 or any other group or combination acting as a unit and includes the plural as well as the singular number. (15) "Sell," "sale," and "to sell" include any transaction whereby, for any consideration, title to cannabis or cannabis products is transferred from one person to another, and includes the delivery of cannabis or cannabis products pursuant to an order placed for the purchase of the same and soliciting or receiving an order for the same, but does not include the return of cannabis.or cannabis products by a licensee to the licensee o from whom such cannabis or cannabis product was purchased. (16) "Treasurer" means the treasurer of the City of San Bernardino or such other person designated by the City Council to administer this chapter. 3.82.040 Cannabis Business Tax Imposed. r (a) There are imposed upon all persons engaged in a cannabis business, marijuana business, commercial cannabis activity or commercial marijuana activity in the City taxes in the amounts prescribed in this chapter. It shall be unlawful for any person, either for himself or N herself or for any other person, to commence, transact or carry on cannabis business, marijuana business, commercial cannabis activity or commercial marijuana activity in the City without first having procured a business license from the City pursuant to this chapter and r having paid the business tax set forth therein, and without complying with any and all CO provisions contained in this chapter. (b) The general taxes required to be paid pursuant to this chapter are declared to be U required pursuant to the taxing power of the City solely for the purpose of obtaining general tax revenues for general governmental purposes and are not regulatory permit fees. o X 3.82.050 Administration. (a)Any cannabis business or marijuana business is subject to the general provisions for U) administration of City business registration permits set forth in Chapter 5.04 of this Code. (b) Business taxes shall be payable to the Treasurer and shall be collected by the State m Board of Equalization, the Treasurer or other authorized agent of the City. w (c)Any person conducting two or more cannabis businesses or marijuana businesses at the same location shall be required to procure but one license, provided that the highest license fee applicable to any of the included businesses shall apply. The license shall specify the several businesses or commercial activities for which the license is issued. a (d) The provisions of this chapter shall not apply to persons having no fixed place of business within the City who come into the City for the purpose of transacting a specific item of cannabis business or commercial cannabis activity at the request of a specific patient, client or customer, provided that such person does not come into the City for the purpose of Pac� �1'' transacting cannabis business or activity on more than five (5) days during any calendar year. (e) The City Manager or his/her designee may propose to the City Council an ordinance containing such rules and regulations as may be necessary to aid in the administration of the provisions of this chapter or to comply with applicable state law. 3.82.060 Amount of Cannabis Business Tax Owed - Medical. (a) Every person engaged in a cannabis business, commercial cannabis activity, marijuana business or commercial marijuana activity in the City that is licensed or otherwise authorized pursuant to the provisions of the Medical Marijuana Regulation and Safety Act of 2015 ("MMRSA") shall pay a business tax at a rate of up to five percent (5%) of gross receipts. The business tax under this chapter shall not be imposed on any cannabis business, commercial cannabis activity, marijuana business or commercial marijuana activity unless and until the City Council, by ordinance or resolution, takes action to set a business tax rate not to exceed = five percent (5%) of gross receipts. (b) Notwithstanding the maximum business tax rate of five percent (5%) of gross receipts imposed under subdivision (a), the City Council may, in its discretion, at any time by ordinance or resolution, implement a lower business tax rate for all cannabis businesses, marijuana businesses, commercial cannabis activities or commercial marijuana activities, or = establish differing business tax rates for different categories of such businesses or activities, o as defined in such ordinance, subject to the maximum tax rate of five percent (5%) of gross receipts. The City Council may, by ordinance, also increase any such business tax rate from time to time, not to exceed the maximum business tax rate of five percent (5%) of gross co I .�, receipts established under subdivision (a) of this section. > (c) The business tax shall apply to any cannabis business or marijuana business that I obtains a notice of compliance, local permit, local license or other local authorization from the v City to operate consistent with applicable state laws, including, but not limited to, the Compassionate Use Act of 1996 and the MMRSA, as amended from time to time. N 3.82.070 Payment Obligation. All taxpayers subject to this section must pay the full tax imposed by this section regardless of any rebate, exemption, incentive, or other reduction set forth elsewhere in this Code, m except as required by California law. Failure to pay the tax shall be subject to the penalties set forth in Section 5.20.130 of this chapter. No provision in this Code can lower the business tax rates set forth in this section or otherwise reduce the amount of business taxes paid hereunder unless the provision specifically states the reduction applies. o X 3.82.080 Payment of Business Tax Does Not Authorize Activity. M The payment of the Cannabis Business Tax required pursuant to this chapter shall not be construed as authorizing the conduct or continuance of any illegal business or of a legal s business in an illegal manner. Nothing in this chapter implies or authorizes that any cannabis m business, marijuana business, commercial cannabis activity or commercial marijuana activity is legal unless otherwise authorized and allowed in strict and full conformance with the E provisions of this Code and applicable state law. 3.82.090 Business Tax is Not a Sales, Transactions or Use Tax. a The Cannabis Business Tax provided for under the provisions of this chapter is not a sales, transactions or use tax and shall not be calculated or assessed as such. The Cannabis Business Tax shall not be separately identified or otherwise specifically assessed or charged to any qualified patient, caregiver, or purchaser. The tax imposed by this chapter shall be in Pa�ket'Pg 1�2;, RM addition to the sales, transactions or use tax imposed by the state and local governments. 3.82.100 Use of the Tax Revenues. (a) The tax imposed by this ordinance is a general tax within the meaning of Article XIII C, Section 1(a), of the California Constitution. The revenue generated by this general tax is available for general governmental purposes and shall be paid into the General Fund. (b) Pursuant to Article XIII B of the California Constitution, the appropriation limit for the City is increased to the maximum extent over the maximum period of time allowed under law consistent with the revenues generated by the Cannabis Business Tax. (c) The Treasurer shall periodically audit the Cannabis Business Tax imposed by this chapter to verify tax revenues have been properly collected and expended. 3.82.110 Amendments. (a) This chapter was submitted to the voters of the City for approval. The City Council may cu repeal this chapter, or amend it in a manner which does not result in an increase in the amount of the tax or broaden the scope of the tax imposed herein, without further voter approval. If the City Council repeals any provision of this chapter, it may subsequently re- C enact it without voter approval, as long as the re-enacted provision does not result in an =_ increase in the amount of the tax or broaden the scope of the tax imposed herein. o (b) The People of the City of San Bernardino declare and affirm that the following actions shall not constitute an increase of the rate of a tax: (1) The restoration of the rate of the tax to a rate that is no higher than that set by this ordinance, if the City Council has acted to reduce the rate of the tax; (2)An action that interprets or clarifies the methodology of the tax, or any definition applicable to the tax, so long as the interpretation or clarification (even if contrary to some prior interpretation or clarification) is not inconsistent with the language of this ordinance; (3) The establishment of a class of person that is exempt or excepted from the tax or the discontinuation of any such exemption or exception (other than the discontinuation of an exemption or exception specifically set forth in this ordinance); or (4) The collection of the tax imposed by this ordinance, even if the City had, for some m U) period of time, failed to collect the tax. (c) To the extent that the City 's authorization to collect or impose any tax imposed under this chapter is expanded as a result of changes in state or federal law, no amendment or CZ modification of this chapter shall be required to conform the tax to those changes, and the tax o shall be imposed and collected to the full extent of the authorization up to the full amount of x the tax imposed under this chapter. U) N 3.82.120 Remittance. The taxes imposed by this chapter shall be due and payable to the Treasurer, or to the m State Board of Equalization ("Board") or other agent authorized by the City, on or before the last day of the month following each quarterly period of three months. On or before the last day of the month following each quarterly period, a return for the preceding quarterly period shall be filed with the Treasurer or other agent authorized by the City Council. Such return M shall be accompanied by a statement, under oath, showing the true and correct amount of a gross receipts derived from the cannabis business or marijuana business for the preceding r quarter. Payment of the correct amount of tax due, and such sums correctly reflecting the quarterly taxes payable for the preceding quarter shall be accepted by the City, subject, however, to the right of the City to audit the matters reported in the statement to determine the NOW accuracy of the figures contained therein and whether the correct amount payable to the City has been paid. 3.82.130 Violation and Penalty. (a)Any entity that fails to pay the taxes required by this chapter within thirty (30) days after the due date shall pay in addition to the taxes a penalty for nonpayment in a sum equal to twenty-five percent (25%) of the total amount due. Additional penalties will be assessed in the following manner: ten percent (10%) shall be added on the first day of each calendar month following the month of the imposition of the twenty-five percent (25%) penalty if the tax remains unpaid -- up to a maximum of one hundred percent (100%) of the tax payable on the due date. Receipt of the tax payment by the City, or by the State Board of Equalization or authorized agent on behalf of the City, shall govern the determination of whether the tax is delinquent. Postmarks will not be accepted as adequate proof of a timely payment. _ (b) The Treasurer may waive any penalty imposed upon any person pursuant to subdivision (a) if the person provides evidence satisfactory to the Treasurer that failure to pay CD timely was due to circumstances beyond the control of the person and occurred notwithstanding the exercise of ordinary care and the absence of willful neglect, and the person paid the delinquent tax and accrued interest owed the City prior to applying to the director for a waiver. The waiver provisions specified in this subsection shall not apply to 0 interest accrued on the delinquent tax and a waiver shall be granted only once during any twenty-four month period. (c)Any person violating any of the provisions of this chapter or any regulation or rule passed in accordance herewith, or knowingly or intentionally misrepresenting to any officer or > employee of the City any material fact in procuring the business license provided for in this chapter shall be deemed guilty of a misdemeanor, and upon conviction thereof shall be punishable by a fine not to exceed one thousand dollars ($1,000) or by imprisonment for a period not to exceed six (6) months, or by both such fine and imprisonment. N 3.82.140 Inspection and Audits of Records. (a) Whenever it is necessary to examine any books, records, and accounts of any entity subject to the provisions of this chapter, the City shall have the power and authority to m CO examine such necessary books and records at any reasonable time including, but not limited to, during normal business hours. Records must be maintained for at least three (3) years. (b) The books, records, and accounts of any cannabis business or marijuana business may be audited by the City. Such an audit shall be performed by a person designated by the a Treasurer or City Manager. Any information obtained pursuant to the provisions of this section X or any statement filed by the cannabis business or marijuana business shall be deemed fM confidential and shall not be subject to public inspection. Such shall be available only to those U) City officials having jurisdiction over the provisions of this chapter and to any court of E competent jurisdiction where any matter relating thereto may be actively pending. m (c) Any failure or refusal by any such cannabis business or marijuana business to make and file any statement as required within the time required, or to pay such taxes when the d) taxes are due and payable in accordance with the provisions of this chapter, or to permit an inspection of such books, records, and accounts of such cannabis business or marijuana business shall be and constitute full and sufficient grounds for the suspension or revocation of a the notice of compliance, local permit or other local authorization of any such business. 3.82.150 Evidence of Doing Business. When any person shall by use of signs, circulars, cards, telephone books, newspapers, r k 7E�a} %Ow, websites or smartphone applications advertise, hold out, or represent that he or she owns or manages a cannabis business or marijuana business in the City, or when any person holds an active notice of compliance, license, permit or other authorization issued by a state or local licensing authority indicating that he or she owns or manages cannabis business or marijuana business in the City , and such person fails to deny by a sworn statement given to the Treasurer that he or she is not conducting a cannabis business or marijuana business in the City, after being requested to do so by the Treasurer, then these facts shall be considered 3 prima facie evidence that he or she is conducting a cannabis business or marijuana business in the City. U 3.82.160 Suit for Tax. (a) Any person carrying on any cannabis business, marijuana business, commercial cannabis activity or commercial marijuana activity in the City without having a notice of compliance, local license, local permit or other local authorization to do so shall be liable for the amount of the Cannabis Business Tax imposed by this chapter on such cannabis business, marijuana business, commercial cannabis activity or commercial marijuana activity. The amount of such tax, including any penalty or interest thereon, shall be a debt owed to the City . (b) All business taxes hereby levied shall be payable to the Treasurer. The City Counsel o may file suit in the name of the City , in any court of competent jurisdiction, for any unpaid taxes imposed by this chapter, within three (3) years from the delinquency date thereof. (c) The conviction and punishment of any person for carrying on any cannabis business, ,fie, marijuana business, commercial cannabis activity or commercial marijuana activity without a' state license shall not excuse or exempt such person from the payment of any business tax LO due and unpaid at the time of such violation of the provisions of this chapter. 3.82.170 Enjoining Collection Forbidden. n No injunction or writ of mandate or other legal or equitable process shall issue in any suit, Q action or proceeding in any court against the State of California or the City, or against any officer of the State of California or the City, to prevent or enjoin the collection under this ordinance, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any m amount of tax required to be collected. U r- 3.82.180 Disclosure of Information Prohibited. ca (a) No officer or employee of the City having an administrative duty under this chapter shall o make known in any manner whatever the business affairs, operations, or information obtained x by an investigation of records and equipment of any person engaged in a cannabis business, M marijuana business, commercial cannabis activity or commercial marijuana activity or any other person visited or examined in the discharge of official duty, or the amount or source of income, profits, losses, expenditures, or any particular thereof, set forth or disclosed in any m return, or to permit any return or copy thereof or any book containing any abstract or particulars thereof to be seen or examined by any person. However, the City Council may, by resolution, authorize examination of the returns by State officers or employees or by the C Treasurer or his/her designee. Successors, receivers, trustees, executors, administrators, assignees, and guarantors, if directly interested, may be given information as to the items a included in the measure and amounts of any unpaid tax or amounts of tax required to be collected, interest and penalties. „r (b) No officer or employee of the City having an administrative duty under this chapter shall compile, record, investigate, disclose or make known in any manner whatever any personally � �'�q Pact P '1{ 54 1�11 Old identifiable information obtained about a qualified patient or primary caregiver, in particular medical information, unless such information is obtained and disclosed in compliance with the privacy and security rules of the Health Insurance Portability and Accountability Act (HIPAA). (c) No officer or employee of the City having an administrative duty under this chapter shall disclose information and documents to the federal government, its officers, or agents regarding the gross receipts declared and taxes paid to the City by a cannabis business or marijuana business that is entitled to claim immunity pursuant to this chapter absent a grand jury subpoena, civil or administrative subpoena, warrant, discovery request, summons, court order or similar process authorized under law which seeks the involuntary disclosure of such information and documents. If the City receives a civil or administrative subpoena, warrant, discovery request, summons, court order or similar process authorized under law seeking the involuntary disclosure of such information and documents to the federal government, its officers, or agents, the City shall provide a copy of the civil or administrative subpoena, discovery request or court order to the cannabis business or marijuana business whose W information and documents are being sought. The cannabis business or marijuana business shall have not less than fourteen (14) days from the date of such notice and receipt of copy within which to obtain and serve on the City a protective order from a court of competent jursidiction. (d) The provisions of this section shall take precedence over any other provisions of the o Municipal Code governing information disclosure. 3.82.190 Payments - State Board of Equalization. (a) The City may contract with the State Board of Equalization ("Board") to perform all > functions incident to the administration or operation of the Cannabis Business Tax. LO (b) The City shall pay a reasonable amount for the Board's services in administering the Cannabis Business Tax, if any, as may be determined by the City Council with the concurrence of the Treasurer. For purposes of this section, the provisions of Section 7203.5 of the Revenue and Taxation Code shall not apply. (c) If the City has not contracted with the Board prior to the payment or collection of any business tax under this chapter, it may nevertheless so contract at any time after the date that such payments or collection commences. M (d) The business tax imposed by this chapter shall be paid with lawful money of the United States. Lawful money shall mean any coin, currency or negotiable instrument, exchangeable for said coin or currency, which the United States Congress has declared to be a national legal tender. Cash payments shall be accepted without imposition of a penalty or added fee. o (e) The City Council may without further voter approval repeal this section or amend it in a X manner that allows the Treasurer to securely and timely collect tax payments directly from any I cannabis business or marijuana business that is subject to the tax. 3.82.200 Amount of Cannabis Business Tax Owed - Nonmedical. m (a) This section imposes a general tax in accordance with the provisions of Article XIII C, Section 2, and Article XI, Section 5, of the California Constitution, Part 14.5 (commencing with Section 34010) of the Revenue and Taxation Code, which authorize the City to adopt this Cannabis Business Tax Ordinance, which shall become operative if City electors approve the imposition of the tax at the November 8, 2016, general municipal election. a (b) Cannabis Business Tax: Nonmedical. Every person engaged in a cannabis business, marijuana business, commercial cannabis activity or commercial marijuana activity in the City that is subject to the provisions of the Control, Regulate and Tax Adult Use of Marijuana Act ("AUMA") shall pay a business tax at a rate of up to 10 percent (10%) of gross receipts. The Ra ik t Pg T tax under this chapter shall not be imposed on any cannabis business or marijuana business unless and until the City Council, by ordinance or resolution, takes action to set a tax rate not to exceed ten percent (10%) of gross receipts. (c) Notwithstanding the maximum tax rate of ten percent (10%) of gross receipts imposed under subdivision (b) of this section, the City Council may, in its discretion, at any time by ordinance, implement a lower tax rate for all cannabis businesses, marijuana businesses, commercial cannabis activities or commercial marijuana activities that are conducted under the provisions of the AUMA or establish differing tax rates for different categories of commercial cannabis activities or commercial marijuana activities, as defined in such ordinance, subject to the maximum tax rate of ten percent (10%) of gross receipts. The City Council also may, by ordinance or resolution, increase any such tax rate from time to time, not to exceed the maximum tax rate of ten percent (10%) of gross receipts established under subdivision (b) of this section. (d) This tax shall apply to any cannabis business, marijuana business, commercial cannabis activity or commercial marijuana activity that is permitted or otherwise authorized to operate in the City in accordance with the AUMA and applicable state and local laws. (e) The collection and administration of this tax shall follow the applicable provisions of the Cannabis Business Tax Ordinance set forth in Chapter 3.82 of Title 3 of this Code. (f) Pursuant to Article XIIIB of the California Constitution, the appropriation limit for the City o is increased to the maximum extent over the maximum period of time allowed under law consistent with the revenues generated by this tax on nonmedical cannabis and marijuana. (g) Notwithstanding any other provision of this chapter, excluded from "gross receipts" shall be the following: > (1)A portion of receipts equal to any marijuana excise tax or cannabis excise tax imposed upon and collected from purchasers of marijuana, cannabis, marijuana products or cannabis products for any retail sale or retail transaction in the City by a dispensary or other person required to be licensed pursuant to Chapter 3.5 of Division N 8 of the Business and Professions Code, or a retailer, microbusiness, nonprofit, or other person required to be licensed pursuant to Division 10 of the Business and Professions Code to sell cannabis, marijuana, cannabis products or marijuana products directly to a purchaser. m (2)Any tax required by law to be included in or added to the purchase price and collected from the consumer or purchaser. (h) This section does not apply to cultivation of cannabis or marijuana in accordance with Section 11362.1 of the Health and Safety Code or the Compassionate Use Act of 1996. ° (i) The local sales and use tax imposed by Section 3.56 of this Code shall not apply to retail o sales of medical cannabis, medical cannabis concentrates, edible medical cannabis products or topical cannabis products, as those terms are defined in Chapter 3.5 of Division 8 of the Business and Professions Code, when a qualified patient or primary caregiver provides his or her card issued under Section 11362.71 of the Health and Safety Code and a valid m government-issued identification card. (j) This section shall only become operative if Secretary of State Initiative Number 1762, d also known as the Control, Regulate and Tax Adult Use of Marijuana Act, is approved by the s voters at the November 8, 2016, statewide general election and takes effect. w Q ' a WO c il F.T 41,; E g ��EaN ti SECTION 5. CANNABIS BUSINESS REGISTRATION FEES. Chapter 5.04.655 is added to Title 5, titled "Business Registration and Regulations," of the San Bernardino Municipal Code to read: 5.04.655 Commercial Cannabis Activities. A. For every person, firm or corporation conducting, managing, or carrying on a commercial cannabis activity or cannabis business, including a cannabis cultivator, cannabis delivery service, cannabis dispensary, cannabis distributor, cannabis manufacturer, cannabis nursery,. cannabis testing laboratory, or cannabis transporter, for the operation of which a charge is made, or which is conducted for profit, the fee shall be established by resolution of the Mayor and City Council. B. If in the event of a failure of the person, firm or corporation so operating or maintaining such commercial cannabis activity or cannabis business to secure a registration certificate and pay the fee therefor, as provided in this section, or in the event that the W certificate is not publicly displayed at a place open to the examination of the inspector, then the Chief of Police of the City is authorized to seize and take into his or her possession any cannabis, any cannabis products and/or any manufacturing or processing equipment and o to hold the same until such fee has been paid and a certificate duly issued and properly , displayed covering the commercial cannabis activity or cannabis business, whereupon the Chief of Police shall release the cannabis, cannabis products or equipment, upon payment to the City the sum of five hundred dollars ($500), which sum shall be in addition to the amount > of any certificate fee. LO �r C. For the purpose of this chapter, the following definitions apply: 1. "Cannabis cultivator, medium" means a licensee who holds a Type 3, Type 3A or Type N 3B cultivation license type. 2. "Cannabis cultivator, small" means a licensee who holds a Type 2, Type 2A or Type 2B cultivation license type. 3. "Cannabis cultivator, specialty" means a licensee who holds a Type 1, Type 1A or Type m 1 B cultivation license type. 4. "Cannabis cultivator, specialty cottage" or "Cannabis cultivator, microbusiness" means a licensee who holds a Type 1 C cultivation license type. 5. "Cannabis delivery" has the same meaning as in Business and Professions Code E. §19300.5(m). 6. "Cannabis dispensary", "medical cannabis dispensary", or "medical marijuana dispensary" has the same meaning as in Business and Professions Code §19300.5(n). y 7. "Cannabis distributor" has the same meaning as in Business and Professions Code §19300.5(q). 8. "Cannabis manufacturer" has the same meaning as in Business and Professions Code 00 §19300.5(y) 9. "Cannabis nursery" has the same meaning as in Business and Professions Code s §19300.5(ah). 10."Cannabis testing laboratory" has the same meaning as in Business and Professions a Code §19300.5(z). 11. "Cannabis Transporter" has the same meaning as in Business and Professions Code §19300.5(aa). 12."Chief' means the Chief of Police of the City of San Bernardino. „Pad k�e.14�Pg�1448 k a ? IN SECTION 6. MEDICAL MARIJUANA DISPENSARIES. Chapter 5.05 of Title 5, titled "Business Licenses and Regulations," and Chapter 19.06.026 of Title 19, titled "Land Use/Subdivision Regulations," both chapters pertaining to medical marijuana dispensaries, are hereby repealed in their entirety. SECTION 7. CANNABIS BUSINESS REGULATIONS. M Chapter 5.86 of Title 5, titled "Business Licenses and Regulations," is added to the San Bernardino Municipal Code to read: M CHAPTER 5.86 - CANNABIS BUSINESS REGULATIONS 5.86.010 Title. _ The title of this chapter shall be known as the "Cannabis Business Regulation Ordinance of the City of San Bernardino." This ordinance shall be applicable in the incorporated territory of the City of San Bernardino ("City"). U C 5.86.020 Purpose. This ordinance is adopted to achieve the following, among other purposes, and directs that E. its provisions are to be interpreted to accomplish these purposes: (a) To protect the health, safety and welfare of the residents of the City of San Bernardino. (b) To establish reasonable standards for cannabis businesses, marijuana businesses, commercial cannabis activities and commercial marijuana activities conducted in the City , > and to protect the health, safety and medical privacy of qualified patients and their caregivers. LO (c) To follow the guidelines of the California Attorney General and the U.S. Department of Justice pertaining to the cultivation, distribution, sales and unlawful diversion of cannabis and cannabis products. This chapter is not intended to conflict with state or federal law. n (d) To reduce crime, violence, gang activity, environmental degradation, conversion of vacant and rental homes, and other threats to public health and safety that are attributable to unregulated cultivation, processing, distribution and sales of cannabis and cannabis products. (e) To grant a limited and conditional exception to land-use regulations that otherwise m prohibit any form of cannabis business or commercial cannabis activity. (f) To address the City 's prerogative to license, permit, authorize and control commercial = cultivation of marijuana and cannabis for medical use as set forth in the Medical Marijuana Regulation and Safety Act of 2015 ("MMRSA"), including, but not limited to the provisions of a Business and Professions Code Sections 19315, 19316, 19320, 19322, 19832, and 19360 0 and Health and Safety Code Section 11362.777, in conjunction with state licensing ~ requirements. (g) To impose fees to recover the cost to the City of regulating cannabis businesses and commercial cannabis activities; m (h) To ensure a reasonable number of cannabis businesses are established in the City to allow the collection of the Cannabis Business Tax as set forth in Chapter 5.20. (i) To prevent adverse environmental effects of any cannabis business or commercial cannabis activity in the City in accordance with this chapter and applicable state law; and (j) To direct the Community Development Director to propose regulations pertaining to a nonmedical cannabis businesses and commercial cannabis activities in the event the Adult Use of Marijuana Act of 2016 is approved by voters at the November 8, 2016, general election. Pacletl?g 1449' 5.86.030 Applicability. The provisions of this chapter shall apply to all persons and businesses described herein whether the activities described herein were established before or after the effective date of this chapter. Chapter 19.62 of this Code, titled "Nonconforming Structures and Uses," shall not apply to pre-existing land or building uses inconsistent with the provisions of this chapter. 5.86.040 Application Fees, Forms and Procedures. (a) The Community Development Director shall develop and propose to the City Council application and renewal fees, forms and procedures pertaining to the notices of compliance, local licenses, local permits, or other local authorizations that may be required by the City for U applicants to obtain state licensing under the MMRSA or other applicable state law. Such procedures shall include procedures for suspension, revocation, appeals, violations and penalties, which may include procedures for abatement of a public nuisance. (b) The Community Development Director shall estimate the City's reasonable costs of regulation pursuant to this chapter, including application filings, background investigations and site inspections, prior to the adoption of any application fee. (c) The Community Development Director, Planning Commission or City Council shall a initiate a text amendment to propose and adopt such reasonable land-use regulations as may be needed to accomplish the stated purposes and goals of this chapter and Chapter 5.20. o (d) At a minimum, an initial study shall be prepared to analyze and mitigate the potential environmental impacts of the text amendment described in subdivision (c) of this section. > (e) The Community Development Director shall refuse to accept or process any application or renewal that is made by a sheriff, deputy, police officer or prosecuting officer; an officer or > employee of the United States government, the State of California or the City; a California LO licensed physician issuing patient recommendations for medical cannabis; a licensed manufacturer or distributor of distilled spirits as defined by Business and Professions Code Section 23005; or a licensed manufacturer, wholesaler or distributor of cigarettes or tobacco n products. (f) The Community Development Director or City Manager shall propose to the City Council any such regulations, fees or procedures as may be necessary to license, permit or authorize r nonmedical cannabis businesses or nonmedical commercial cannabis activities in the event N Secretary of State Initiative Number 1762, also known as the Control, Regulate and Tax Adult Use of Marijuana Act, is approved at the November 8, 2016, statewide general election and takes effect. L SECTION 8. LIABILITY X x The provisions of this initiative and the ordinance contained therein shall not be construed M to protect the property owner(s) of record for each legal parcel associated with cannabis or marijuana activities, lessees, tenants, and other participants in cannabis or marijuana activities, and any person, business, manager or agent engaging in cannabis or marijuana m activities from prosecution pursuant to any laws that may prohibit the cultivation, sale, and/or possession of controlled substances. Moreover, cultivation, sale, possession, distribution, and use of cannabis and marijuana remain violations of federal law as of the date of adoption of the ordinance creating this chapter, and this chapter is not intended to, and does not protect cc any of the above-described persons from arrest or prosecution under those federal laws. The a property owner(s) of record for each legal parcel associated with cannabis or marijuana cultivation or activities, lessees, tenants, and other participants in cannabis or marijuana cultivation or activities, and any person, business, manager or agent engaging in cannabis or marijuana cultivation or activities, assume any and all risk and any and all criminal or civil phlg 4`50 �'ui,"�tf 4wof liability that may arise or result under state and federal laws from such cultivation or activities. Further, to the fullest extent permitted by law, any actions taken under the provisions of this chapter by any public officer, agent or employee of the City of San Bernardino, or by the City itself, shall not become a personal liability of such person or the liability of the City. SECTION 9. SEVERABILITY If any provision, clause or application of this chapter is held to be unconstitutional or otherwise invalid by any court of competent jurisdiction, such invalidity shall not affect those provisions, clauses, or applications of this chapter which can be implemented without the invalid provision, clause or application, and to this end the provisions and clauses of this chapter are severable. SECTION 10. REPEAL OF CONFLICTING PROVISIONS = All provisions of the San Bernardino Municipal Code as heretofore adopted by the City that conflict with the provisions of this ordinance are hereby repealed. SECTION 11. CONFLICTING INITIATIVES c In the event that this measure and another measure or measures concerning the control, regulation, and taxation of cannabis, marijuana, or industrial hemp appear on the same City o election ballot, the provisions of the other measure or measures shall be deemed to be in conflict with this measure. In the event that this measure receives a greater number of affirmative votes, the provisions of this measure shall prevail in their entirety, and the provisions of the other measure shall be null and void. > N V- 0 SECTION 12. EFFECTIVE DATE This ordinance shall become effective upon approval by City electors at the general municipal election held on November 8, 2016. The ordinance shall take effect ten (10) days N following the City Council's certification of the results of the election. PASSED and ADOPTED by the People of the City of San Bernardino at the general r municipal election held on November 8, 2016. m U L O X L� r G y ryM./ W .1..I C CD E V Q pack tPg x'4;51 u ent San Bemardino Polling July 1, 2016 Executive Summary A random survey of 454 registered voters in San Bernardino was conducted regarding marijuana and other issues. The poll was conducted from June 28`h to the 30`h and has a margin of error of±4.6%at a 95%confidence level. Totals may not equal 100%because of rounding. The poll was conducted using GMI automated telephone calling and weighted by anticipated voting demographics. Damian Martin paid for the poll. Are you likely to vote in the upcoming 2016 election? Likelihood of Voting Certain 99% Likely 11% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Should cultivation and processing of medical marijuana be legal in the city of San Bernardino? Q3: Medical Marijuana No ° Yes 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55% lloi% likely would you be to support new local laws to regulate cultivation and processing of medical marijuana in the city of San Bernardino? Q4: Cultivation Likely 48% Somewhat likely 11% Neutral�5% Somewhat unlikely�3% 92% Unlikely_ 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% Would you be more or less likely to support cultivation and processing of medical marijuana if the industry created jobs and produced revenue for the city of San Bernardino? Q5: Support Jobs Less likely o More likely 44% Neutral o 0% 5% 10 io 15°l0 20°ic 25°` 30% 35% 40°/n 45% �;j.::;i ii i11►C ri d, do iNYtiv IViLw- by: Agenda ? City of San Bemardino If there were no medical marijuana dispensaries permitted in the city of San Bernardino,how likely would you be to support new local laws to regulate cultivation and processing of medical marijuana in the city of San Bernardino so products could be produced in the city and distributed to other cities in California? Q6: Other Cities Likely 42% Somewhat likely�7% Neutral 17% Somewhat unlikely�5% 29% Unlikely 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% Are you aware recently enacted State laws allow local governments like the city of San Bernardino to prohibit medical marijuana dispensaries within their boundaries while allowing businesses to cultivate and process medical marijuana for export into other cities in California where medical marijuana dispensaries are permitted? Q7: Prohibit Yes ° 70% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55% 60% 65% 70% 75% How likely would you be to support new local laws to regulate cultivation and processing of medical marijuana in the city of San Bernardino, if fees paid by these businesses covered the costs of regulations and enforcement,including shutting down marijuana dispensaries operating illegally within the city of San Bernardino? Q8: Support fees Likely 38% Somewhat likely 6% Neutral 17% Somewhat unlikely 12% 26% Unlikely 0% 5% 10% 15% 20% 25% 30% 35% 40% What amount of annual revenue would need to be generated for the city of San Bernardino for you to support permitting and regulating medical marijuana cultivation and processing businesses? Q9: Revenue 2 Million 20% 5 Million 15% 10 Million 13% 20 Million�5% 100 Million 10% No amount 37% 0% 5% 10% 15% 20% 25% 30% 35% 40% How many new jobs need to be created in the cite of San Bernardino for you to support permitting and regulating medical marijuana cultivation and processing businesses? Q10: Jobs 100 Jobs 500 Jobs 17% 1,000 Jobs 21% 5,000 Jobs�4% 10,000 Jobs 13% No amount 36% 0% 5% 10% 15% 20% 25% 30% 35% 40% The following questions are for demographic purposes: Are you male or female? Gender Female 57% Male ° 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55% 60% Please indicate your Age. Age group 51-69 44% 35-50 20%/ 0 18-34 ° 0% 5% 10% 15% 20% 25% 30% 35% 40% 45°,' Please indicate the race you would most likely use to describe yourself. Race White 44% HisBlack 9% 39% Other 7% Asian 1, 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% Please indicate the political party you are registered. Party Democrat 52% Republican 30% Independent 14% Other_4% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55% Please indicate your annual income level. Income 0-25K 13% 25K-50K 32% 50K-75K 140/6 75K-100K 100/0 100K+ 31% 0'/0 2% 4% 6% 8% 10% 12% 14% 16% 18% 20% 22% 24% 26% 28% 30% 32% 34% What is the highest degree or level of school you have completed? If currently enrolled, highest degree received? Education Category High-School-Graduate 32% Some-College 22% Bachelors-Degree 21% Some-High-School 10% Masters-Degree 8% Associate-Degree�4% Doctorate-Degree 3% Vocational-Training t o 0% 5% 10% 15% 20% 25% 30% 35% Please indicate the religion you would most likely use to describe yourself. Religious affiliation Other 51% Catholic 26%, Not-Religious 200/, Baptist=2% Christian■■1% Mormon 10% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55%