5.58.050 Director review and action on the permit.
   (a)   The completeness of an application for a permit shall be determined by the director within fifteen city business days of its submittal. If the director determines that the permit application is incomplete, the director shall notify in writing the applicant of such fact and the reasons therefor, including any additional information necessary to render the application complete. The director's notice of incomplete application shall be deposited in the U.S. mail, postage prepaid. The application shall be deemed abandoned if, within ten days from the date of depositing the notice of incomplete application in the U.S. mail, postage prepaid, application is not received by the city with all of its defects entirely corrected.
   (b)   Once a completed application is filed, and applicant pays all applicable fees, the director shall initiate an investigation of facts for the permit with the appropriate city and county agencies designated to review such application. This investigation and review shall be ensure that the action on each permit application is consistent with the intent, purpose and requirement of this chapter. Guidelines, applicable provisions of the code and zoning code and state law.
   (c)   Upon completion of investigation, the director shall review and either approve, conditionally approve or deny the application for a permit, as provided in this chapter.
   (d)   Director may approve an application for permit, if the director determines that the proposed medical marijuana cooperative or collective complies with all of the requirements of this chapter, the applicable provisions of the guidelines, the code, state law and zoning code, and none of the grounds for denial, as set forth in subsection (e) below are present. If the application is granted, the director shall attach to the application a permit and notify the applicant, as provided in subsection (g) below.
   (e)   The director shall deny an application for a permit based on any of the following grounds:
      (1)   If the proposed medical marijuana cooperative or collective fails to show compliance with any of the requirements of this chapter, applicable code and zoning code regulations, guidelines and state law;
      (2)   If applicant fails to demonstrate that the proposed medical marijuana cooperative or collective, as a "cooperative" or a "collective", permitted under state law, Guidelines and set forth in Section 5.58.040(c)(2);
      (3)   If applicant fails to demonstrate or comply with any of the requirements of Sections 5.58.040, 5.58.050, 5.58.090, 5.58.100 of this chapter;
      (4)   If the medical marijuana cooperative or collective fails to comply with any of the operational and/or performance standards set forth in Sections 5.58.090 and 5.58.100;
      (5)   If the applicant has knowingly made any false, misleading, or fraudulent statement of material fact in the application or in any report or document required to be filed with the application for the permit;
      (6)   If the applicant is not at least eighteen years of age;
      (7)   If the applicant fails to pay the application fees;
      (8)   If the applicant has had a prior permit revoked by the city within the previous calendar year:
      (9)   If the applicant has committed acts which would constitute a felony or which would constitute a crime, or the conviction thereof, if the crime is substantially related to the qualifications, functions, or duties for operation of medical marijuana cooperative or collective. Notwithstanding the above, an applicant shall not be denied solely on the basis that the applicant has been convicted of a felony if the applicant has obtained a certificate of rehabilitation under California law or that the applicant has been convicted of a misdemeanor if the applicant has met all applicable requirements of rehabilitation pursuant to California law;
      (10)   If the applicant, his/her agent or any person exercising managerial authority on behalf of the applicant has committed any act involving dishonesty, fraud or deceit with intent to substantially benefit him/her self, or another, or substantially injure another, or illegal use, possession, distribution or similar action relating to illegal drugs or controlled substances. Notwithstanding the above, an applicant shall not be denied solely on the basis that the applicant has been convicted of a felony if the applicant has obtained a certificate of rehabilitation under California law or that the applicant has been convicted of a misdemeanor if the applicant has met all applicable requirements of rehabilitation pursuant to California law;
      (11)   If the building, structure, premises, or the equipment used to conduct, establish and/or operate medical marijuana cooperative or collective fails to comply with all applicable health, zoning, fire, building and safety laws of the state of California or the city;
      (12)   If the applicant, his/her agent or employee, or any person connected or associated with the applicant as partner, director, officer, associate or manager, has committed, assisted in, or incited the commission of any act, or act of omission, which would be grounds for disciplinary action under this chapter if committed by the applicant (or in case of renewal, permittee);
      (13)   If the permittee has failed to pay business license fee, as required by Chapter 5.04 of the code; or
      (14)   The applicant has been subject to enforcement actions by another state governmental agency in connection with his or her operation of a similar business activity for which the permit is being sought.
   (f)    If the application for a permit is denied, the director shall prepare a notice of his/her decision, together with reasons for the denial based on the grounds set forth above.
   (g)   In approving a permit or renewal of a permit, the director may impose reasonable terms and condition on the proposed operation of medical marijuana cooperative or collective, consistent with the requirements of this chapter, guidelines, state law or to preserve or preserve public health, safety and welfare.
   (h)   The notice of director's decision shall be mailed to the applicant at the address provided on the application and by depositing the notice in U.S. mail, postage prepaid, within five city business days of such decision.
   (i)   Any interested person may appeal the decision of the director to the city council, pursuant to provisions of Section 5.58.110.
(Ord. 09-983 § 2, 2010)