§ 15-95 LIMITS ON CANNABIS OPERATIONS LICENSES AND LOCATIONS; OTHER REQUIREMENTS.
   (A)   The concentration of any specific use within a smaller geographic area can be burdensome for reasons of noise, odor, vehicle traffic congestion, excessive parking needs, security, fire, and police response. It the intent of these provisions to ensure that quality of life is not impaired, neighborhood character is preserved, commercial activities developed and increased, employment opportunities expanded, and positive planned land use developed.
   (B)   The City Council and Planning Commission are prohibited from waiving any portion of this section, except where amended by city ordinance.
   (C)   Cannabis facilities are subject to city ordinances and the Charlotte zoning ordinance, except where in conflict with the Cannabis Overlay Districts.
   (D)   The maximum number of each type of cannabis operation under the MMFLA and MRTMA permitted in the city is governed by the applicable zoning district and zoning regulations or as set forth in the table below and the zoning ordinance. Cannabis operations not specifically authorized in the table are prohibited. Provisions of this section do not apply to the medical use of cannabis in compliance with the Michigan Medical Marihuana Act (MMMA).
TABLE OF MARIHUANA/CANNABIS ESTABLISHMENTS
Type of marihuana/cannabis operation and establishments
Unlimited number of permitted licenses within Cannabis Overlay Districts as designated below.
TABLE OF MARIHUANA/CANNABIS ESTABLISHMENTS
Type of marihuana/cannabis operation and establishments
Unlimited number of permitted licenses within Cannabis Overlay Districts as designated below.
Marihuana retailer/provisioning center
Restricted to Cannabis Overlay Districts 2-3 (North and South)
Marihuana safety compliance facility
Restricted to Cannabis Overlay District 1
Marihuana secure transporter
Restricted to Cannabis Overlay Districts 1-3
Marihuana processor
Restricted to Cannabis Overlay Districts 1-3 (North and South)
Marihuana grower
Not permitted
Excess marihuana grower license
Not permitted
Marihuana microbusinesses
Not permitted
Designated consumption establishment
Not permitted
Marihuana related temporary event
Not permitted
No other marihuana/cannabis licenses permitted
Not permitted
 
   (E)   Cannabis operations and establishment license designations permitted under this subarticle are governed by type, under division (D), and additional requirements, as follows:
      (1)   The operations at a licensed cannabis facility shall be conducted in compliance with the MMFLA and the MRTMA, and any rules promulgated pursuant to other laws, rules, and regulations of the State of Michigan and the city.
      (2)   All security measures required by the state and this subarticle shall be maintained.
         (a)   Security devices and all components of those devices required by the state, and this subarticle including but not limited to, video surveillance systems, alarm systems, and locks, shall be in good working order.
         (b)   Licensees shall register their video surveillance systems with the Charlotte Police Department.
      (3)   All cannabis in any form on the premises of a licensed cannabis facility shall be cultivated, manufactured, tested, sold, and packaged in the state.
      (4)   Access to the licensed cannabis establishment is restricted to the licensee, employees of the licensee, and adult patrons aged 21 or older in establishments licensed for recreational cannabis, and the Department, through its investigators, agents, auditors, or the State Police or authorized city employees acting within the scope of their employment.
      (5)   Recreational cannabis products must be separated from medical cannabis products in accordance with state law.
      (6)   A licensee shall display all cannabis facility licenses issued under this subarticle and state operating licenses in plain view clearly visible to patrons, clients, city officials, and state authorized agents.
      (7)   A licensee shall not permit or allow the sale, consumption, or use of alcohol or tobacco products on licensed premises unless it is licensed to do so by the state and the city, and/or as otherwise permitted by law.
      (8)   A licensee shall not permit or otherwise allow the use, smoke, inhalation, or consumption of cannabis, in any form, anywhere within a licensed cannabis establishment or on the property of a licensed establishment unless it is licensed to do so by the state and the city.
      (9)   A licensee shall comply with the Michigan Construction Code and Americans with Disabilities Act Amendment Act of 2008 (ADAA) meeting ANSI A117.1.
      (10)   Cannabis facilities shall be subject to city ordinance and the city zoning ordinance where applicable.
      (11)   Marihuana [cannabis] retail establishment license and provisioning center (collectively, “retail”). Cannabis retail establishments shall comply with all of the provisions of the MMFLA and MRTMA and applicable LARA rules and regulations. The city will restrict locations and only one cannabis retail establishment licensee under the MMFLA and MRTMA shall be permitted on one continuous property.
         (a)   All retail and sale operations must be within an enclosed, secure structure.
         (b)   A retail licensee may occupy the same premises if holding a processor license for the premises, and otherwise consistent with the MMFLA and MRTMA, and any LARA rules.
         (c)   A retail license authorizes the purchase of cannabis only from processors of cannabis-infused products or cannabis only to a marihuana [cannabis] retailer/provisioning center, unless otherwise provided for under LARA rules.
         (d)   An applicant and each investor in a retail license shall not have an interest in a secure transporter, safety compliance establishment or microbusiness.
      (12)   Marihuana [cannabis] processor license. Cannabis processor shall comply with all of the provisions of the MMFLA and MRTMA and applicable LARA rules and regulations. The city will restrict locations and only one cannabis processor licensee under the MMFLA and MRTMA shall be permitted on one continuous property.
         (a)   All processor operations must be within an enclosed, secured structure.
         (b)   The location of this establishment shall be permitted up to, but not beyond, any applicable lot coverage limitations set forth in the city of zoning ordinance.
         (c)   An approved security plan.
         (d)   Enter all transactions, current inventory, and other information as required by the MRTMA, LARA rules, the Marihuana Tracking Act, and all other applicable laws and regulations.
         (e)   Transfer cannabis and cannabis-infused products only by means of a secure transporter, or in compliance with LARA rules.
         (f)   Processor shall not produce any products other than useable cannabis products intended for human consumption.
         (g)   Odor control. Cannabis operations shall be subject to the provisions of this subarticle and city resolution.
      (13)   Marihuana secure transporter license. Marihuana secure transporter shall comply with all of the provisions of the MMFLA, MRTMA, and applicable LARA rules and regulations. Secure transporter must meet the following requirements:
         (a)   Secure transporter license is limited to the storage and transport of cannabis, cannabis-infused products and money associated with the purchase or sale of cannabis and cannabis-infused products between cannabis establishments at the request of a person with legal custody of the cannabis, cannabis-infused products, or money.
         (b)   An applicant and each investor with an interest in a secure transporter license cannot have an interest in a grower, processor, marihuana [cannabis] retailer, or safety compliance facility.
      (14)   Marihuana safety compliance facility license. Marihuana safety compliance facility shall comply with all of the provisions of the MMFLA and MRTMA and applicable LARA rules and regulations and must meet the following requirements:
         (a)   All testing must be conducted within an enclosed, secured structure.
         (b)   A safety compliance facility must be accredited by an entity approved by the Cannabis Regulatory Agency by one year after the date the license is issued or have previously provided drug testing services to this state or this state’s court system and be a vendor in good standing in regard to those services. The agency may grant a variance from this requirement upon a finding that the variance is necessary to protect and preserve the public health, safety, or welfare.
         (c)   An applicant and each investor with any interest in a safety compliance facility cannot have an interest in a grower, secure transporter, processor, or marihuana [cannabis] retailer.
      (15)   Social Equity Plan.
         (a)   All cannabis license applicants shall provide a copy of its Social Equity Plan (“Plan”) submitted to the state. The Plan must detail any practices, initiatives, or policies the applicant will implement to promote and encourage participation in the cannabis industry by people from communities that have been disproportionately impacted by cannabis prohibition and enforcement and to positively impact those communities.
         (b)   All licensees shall make a good faith effort to meet the objectives of the Social Equity Plan submitted with the application or license renewal. GOOD FAITH EFFORT means efforts designed to implement the established objectives of the licensee’s Social Equity Plan which by their scope, intensity, and appropriateness to the objective, can reasonably be expected to fulfill the Plan objective. License renewals shall require reporting on the licensee’s good faith efforts under this division (E).
   (F)   Zoning districts permitted for cannabis operations and geographic boundaries.
      (1)   Special regulations of cannabis operations have been deemed necessary to limit the intensity and density of this use. Processor, retail establishments, safety compliance facility, and secure transporter licensees, shall be a special land use and restricted to and only permitted within the following city cannabis zoning districts within the permitted geographic boundaries, identified by legal descriptions and zoning maps, that may be amended as necessary by city resolution:
         (a)   Cannabis Overlay District #1,
         (b)   Cannabis Overlay District #2,
         (c)   Cannabis Overlay District #3 (North),
         (d)   Cannabis Overlay District #3 (South).
      (2)   See Attachment A to Ord. 2023-06, Cannabis Overly District Maps, sketches, and legal descriptions.
   (G)   Separation distance measurements. The distances described in this section shall be computed by measuring a straight line from the nearest property line of the parcel used for the purposes stated in this section to the nearest property line of the parcel used as a cannabis operations facility.
   (H)   Applicability. The location and co-location of authorized cannabis operations shall be determined as follows:
      (1)   The following minimum-distancing regulations shall apply to cannabis operations. Processor and retail licensees shall not be located within 100 feet of a childcare center, or a school.
      (2)   Minimum distancing regulations do not include secure transporters or safety compliance facilities.
      (3)   A cannabis operations licensee shall not operate at any place in the city other than the address provided in the application on file with the City Clerk.
      (4)   Co-location and stacked licenses. There may be only one state operating license per parcel, except co-location of one retail license and one processor license are permitted per parcel.
      (5)   Zoning application requirements. Each zoning application shall be accompanied by a detailed site plan and any information necessary to describe the proposed use or change of use. Each request shall be considered a new application, including those for class change, stacking, expansion, transfers or other modifications that require Planning Department review or special land use approval. If more than one use is being requested for a parcel at the same time (e.g., co-location) only one application shall be processed. Only one application shall be processed per parcel at a time; once a zoning application is submitted, any other zoning applications for the same parcel will be rejected until the first zoning application is decided. All items must be satisfactorily completed for a zoning application to be considered eligible for review.
         (a)   Verification. A signed statement by the applicant indicating the proposed cannabis operations type, including if the proposed type involves co-location and the number of licenses.
         (b)   Consent. A notarized statement by the property owner that acknowledges use of the property for a cannabis operations facility and agreement to indemnify, defend and hold harmless the city, its officers, elected officials, employees, and insurers, against all liability, claims or demands arising out of, or in connection to, the operation of a cannabis operations facility. Written consent shall also include approval of the owner and operator for the city to inspect the facility at any time during normal business hours to ensure compliance with applicable laws and regulations.
         (c)   LARA. A copy of official paperwork issued by LARA indicating that the applicant has successfully completed the prequalification step of the application for the state operating license associated with the proposed land use, or proof that the applicant has filed such application for the prequalification step with LARA, including all necessary application fees.
         (d)   Required LARA cannabis facility plans, and security plans shall be submitted. Copies of all documents submitted to LARA in connection with the initial license application, subsequent renewal applications, or investigations conducted by LARA shall be made available upon request when such information is necessary and reasonably related to the application review.
      (6)   A comprehensive operation plan for the cannabis establishment which shall contain, at a minimum, the following:
         (a)   A security plan, consistent with the definition of security plan within this subarticle, indicating how the applicant will comply with the requirements of this subarticle and any other applicable law, rule, or regulation.
         (b)   For processing establishments, a plan that specifies the methods to be used to prevent the growth of harmful mold and compliance with limitations on discharge into the wastewater system of the city.
         (c)   A lighting plan showing the lighting outside of the cannabis establishment for security purposes and compliance with applicable city requirements.
         (d)   A plan for disposal of any cannabis or cannabis-infused product that is not sold to a customer, in a manner that protects any portion thereof from being possessed or ingested by any person or animal.
         (e)   A plan for ventilation of the cannabis establishment that describes the ventilation systems that will be used to prevent any objectionable odor of cannabis off the premises of the business. For cannabis establishments that process cannabis plants and/or cannabis-infused products, such plan shall also include all ventilation systems used to control the environment for the plants and describe how such systems operate with the systems preventing any objectionable odors from leaving the premises. For cannabis businesses that produce cannabis-infused products, such plan shall also include all ventilation systems used to mitigate noxious gases or other fumes used or created as part of the production process.
         (f)   A description of all toxic, flammable, or other materials regulated by a federal, state, or local authority that will be used or kept at the cannabis business, the location of such materials, and how such materials will be stored.
         (g)   For processing establishments, an applicant must submit water main plans including projected peak daily and seasonal 24-hour water usage requirements to the city Water Department for a review of the city’s water model. Applicants may be required to construct the needed water system to city standards at their cost. Design will be required by the developer’s engineers with reviews by city staff. Should this new water main be required to become part of the city’s water system all required permits shall be submitted with the required plans and profiles to city staff for submittal to the state. No installation of water mains shall be completed prior to receipt of the proper permits from the state. The associated costs may include, but are not limited to:
            1.   Connection fees per city ordinances.
            2.   Costs for analysis and review of the city’s water model.
            3.   Costs for any required flow testing.
         (h)   The city Water Department reserves the right to deny or curtail water service to any applicant based on the applicant’s failure to meet the requirements of the city’s water system or any other use that causes a negative impact to the city’s water system. Prior to making a modification to a structure that would require a building permit or which would alter or change items required by this division (H)(6)(h), the licensee shall submit to the city detailed construction drawings showing at minimum, a full site plan, interior and exterior lighting requirements, the full mechanical heating and ventilation plan, a detailed security plan, before and after floor plans and specifications, non-rated and rated separation details and locations, accessible route from the public way to the accessible entrance, accessible route to the primary function and within the facility and accessible bathrooms. The licensee shall make an application for a plan review and a building permit for the modifications to the premises, on forms provided by the city. Additional specifications may be required. A building or structure hereafter constructed or renovated for use as a cannabis establishment shall not be used or occupied in whole or in part until a certificate of use and occupancy has been issued by the city. Wastewater compliance will be required and subject to the city, federal, and state laws and applicable regulations.
      (7)   Proof of insurance. Evidence of a valid and effective policy for general liability insurance within minimum limits of $1,000,000 per occurrence and a $5,000,000 aggregate limit issued from a company licensed to do business in Michigan having an AM Best rating of at least B++ shall be produced that includes the name(s) of the insured, effective and expiration dates, and policy number. The City Council, and its city officials, and employees shall be named as additional insureds. The city shall be notified of any cancellation, expiration, reduction in coverage, or other policy changes within five business days of the event.
      (8)   Site plan. Existing and proposed site changes must be submitted that demonstrate compliance with this subarticle and city ordinances and codes.
      (9)   Sign and lighting plan. A sign and lighting plan for the exterior of the building and any interior signs that will be visible to the public from the public right-of-way shall be submitted with sizes, lighting, and locations. All lighting fixtures visible to the public shall be identified by location, type, and intensity.
      (10)   Radius. A map, drawn to scale, containing all childcare centers, schools.
   (I)   Marihuana [cannabis] operations. Cannabis operation facilities must be operated in compliance with all applicable state laws, LARA rules, all conditions of the cannabis operations state operating licenses, and all applicable city ordinances.
      (1)   Security plan. A cannabis operator must have a city Police Department approved security plan prior to operation.
      (2)   Facility exterior. The exterior appearance of a facility must be compatible with surrounding businesses and any descriptions of desired future character, as described in the master plan.
      (3)   No cannabis or equipment used in the retail, growing, production, processing, or transport of cannabis can be placed or stored outside of an enclosed code complaint building. This division (I)(3) does not prohibit the placement or storage of motor vehicles outside of an enclosed building so long as money or cannabis is not left in an unattended vehicle.
      (4)   Site and building lighting shall be sufficient for safety and security, but not cause excessive glare or be designed so as to be construed as advertising with the intent to attract attention.
      (5)   Neither cannabis nor cannabis-infused products may be directly visible from the exterior of the cannabis operations facility/building(s).
      (6)   Interior lighting shall not be so bright so as to create a nuisance to neighboring property owners or passersby.
(Ord. 2023-06, passed 8-21-2023)
Cross-reference:
   See also §§ 82-517 through 82-529.