(A) Timing of submission. Beginning on January 6, 2020, a person may apply for authorization to operate an establishment within the city by complying with the requirements of this section.
(B) Required application materials. An application is not considered complete until all of the following are received by the City Clerk:
(1) A nonrefundable application fee in an amount established by resolution of the City Commission.
(2) An advance of the annual administrative fee established in § 115.05(D).
(3) A photocopy of a valid, unexpired driver' s license or state issued identification card for all owners, directors, and officers of the proposed establishment.
(4) A signed application (available in the clerk's office), which must include all of the following information and documents:
(a) If the applicant is an individual, the applicant's name; date of birth; Social Security number; physical address, including residential and any business address; copy of government-issued photo identification; email address; one or more phone numbers, including emergency contact information;
(b) If the applicant is not an individual, the names; dates of birth; physical addresses, including residential and any business address; copy of government-issued photo identifications; email address; and one or more phone numbers of each stakeholder of the applicant, including designation of the highest ranking representative as an emergency contact person; contact information for the emergency contact person; articles of incorporation or organization; assumed name registration; Internal Revenue Service EIN confirmation letter; copy of the operating agreement of the applicant, if a limited liability company; copy of the partnership agreement, if a partnership; names and addresses of the beneficiaries, if a trust, or a copy of the bylaws or shareholder agreement, if a corporation;
(c) The name, address, tax identification number, and current zoning designations of the proposed marihuana establishment;
(d) The name and address of the current property owner of record;
(e) If the current property owner is different than the applicant (e.g. where the applicant has a lease, option, land contract, or other future interest in the property), the property owner's signature is required in addition to the applicant's.
1. An applicant may submit applications for multiple properties.
2. However, only one application shall be submitted per property, unless the applications are for proposed co-located establishments.
(f) The proposed establishment type;
(g) If the proposed establishment type involves stacked growing licenses, the number of licenses sought;
(h) A complete list of all marihuana permits and licenses held by the applicant;
(i) Written consent for the city to inspect the establishment at any time during normal business hours to ensure compliance with applicable laws and regulations;
(j) A location area map of the marihuana establishment and surrounding area that identifies the relative locations and the distances (closest property line to the subject marihuana establishment's building) to the closest real property comprising a public or private elementary, vocational or secondary school;
(k) A copy of all documents submitted by the applicant to LARA in connection with the application for a state operating license under the MRTMA (including documents submitted for prequalification);
(l) A copy of all documents submitted by the applicant to LARA in connection with the application for a state operating license under the MMFLA, if applicable;
(m) A copy of all documents issued by LARA indicating that the applicant has been prequalified for a state operating license under the MRTMA;
(n) Any other information reasonably requested by the City relevant to the processing or consideration of the application.
(C) Initial receipt period. For any establishment type subject to numerical limitations under § 115.02, the initial receipt period shall commence on January 6, 2020, and shall end at the close of business on Friday, February 28, 2020.
(D) Clerk action upon receipt. The clerk will accept and receive any complete application that includes the information and documents required by § 115.03(B), unless the city has already received an application for the same property (other than an application for a proposed co-located establishment) from another applicant. Upon receiving a complete application, the clerk will time- and date-stamp the application and inform the applicant of the following:
(1) The number of existing establishments of the proposed establishment type currently operating within the city;
(2) The number of pending applications for the desired establishment type; and
(3) The process by which an applicant will be selected pursuant to division (E) of this section.
(E) Conditional authorization and competitive process. The clerk will conditionally authorize establishments as follows:
(1) If, after close of business on the end date of the initial receipt period, the city has received more applications for a given establishment type than would be permitted under § 115.02, the city will decide among competing applications by a competitive process intended to select applicants who are best suited to operate in compliance with the MRTMA in the city. The city will provide applicants with 21 calendar days' notice that the applicants must provide supplemental written information and documentation to the city indicating whether the applicant satisfies each of the following criteria:
Scoring category | Available points |
Scoring category | Available points |
Current medical marihuana facility license status in the City and history of compliance with City and state regulations associated with existing medical marihuana facility licenses held in the City. | 10 points |
Background of the applicant, including past ownership interest in a business or businesses operating in the State of Michigan; past compliance with business licensing requirements, including marihuana business licenses issued by LARA; and residency in the City or Isabella County for at least one year. | 10 points |
Human resources, including the number of full-time equivalent employees. | 10 points |
Physical investment, including the applicant's proposed tangible capital investment; the current and proposed condition of the proposed location; and the applicant's ownership stake in the physical location of the establishment. | 20 points |
Area impact, including the proximity of the establishment to properties zoned or used residentially; and plans for litter control, loitering, neighborhood outreach, noise mitigation, odor mitigation, resident safety, and traffic mitigation. | 10 points |
Business operations, including a business plan; financing plan; marketing and promotion plan, with an emphasis on reducing exposure to minors; and strategic plan. | 10 points |
Establishment design, including the provision of glazing, landscaping, and screening above City minimum requirements; the use of durable building materials; compliance with the Americans with Disabilities Act; and implementation of Crime Prevention Through Environmental Design (CPTED) principles. | 10 points |
Energy efficiency, including Energy Star certification; Michigan Energy Code compliance; use of energy from carbon-free sources; and use of WaterSense fixtures. | 10 points |
Infrastructure impact, including the utilization of green infrastructure or low-impact development design principles to manage stormwater; and the provision of non-motorized transportation infrastructure in excess of City requirements. | 10 points |
(2) The application and all supplemental information shall be delivered to the city's Adult-Use Marihuana Establishment Selection Committee ("Selection Committee"). The Selection Committee shall be comprised of the City Clerk, the City Planner, and the Director of Public Safety. All meetings of the Selection Committee shall be conducted in accordance with the Open Meetings Act, Act 267 of 1976, M.C.L.A. §§ 15.261 et seq., as amended.
(3) Upon timely receipt of the supplemental information described in division (E)(1) of this section, the Selection Committee shall hold a public meeting and assign points for each criterion that is satisfied and shall, based on the resulting scores, select applicants who are best suited to operate in compliance with the MRTMA in the City. The City Clerk shall notify the selected applicants that they have been granted conditional authorization. In the event of a tied score, the Selection Committee shall conduct a random drawing from among the applicants with tied scores to determine which applicant shall receive conditional authorization. The city's decision to grant conditional authorization is final and is not appealable to the City Commission, City Zoning Board of Appeals, or any other city official or body.
(4) If an applicant does not timely submit the supplemental information described in division (E)(1) of this section, then the application shall be discarded and shall not be considered under division (E)(3) of this section .
(5) For any establishment type not subject to numerical limits under § 115.02, or otherwise not subject to the competitive process described in division (E)(1) of this section, the clerk will conditionally authorize establishments in the order in which applications are received.
(6) Once the clerk has issued conditional authorizations for all of the establishments of a given establishment type that would be permitted under § 115.02, the clerk will place subsequent applications at the end of the waiting list for that establishment type. Applications shall be included on the waiting list in the order designated by the Selection Committee under division (E)(3) of this section.
(F) Final authorization. The clerk will grant final authorization for the establishment if the applicant:
(1) Submits an application for special use authorization pursuant to § 154.410(B)(4)(p) of the zoning ordinance within 90 days of receiving conditional authorization
(2) Obtains special use authorization within 12 months of receiving conditional authorization; and
(3) Receives all required operating licenses and approvals from LARA within 18 months after conditional authorization is granted.
(4) Enters into a written agreement with the city confirming that the marihuana establishment will operate in accordance with the business plans, building plans, design standards, and all other operational standards described by the applicant in the application and in any supplemental materials submitted under division (E) of this section. The agreement shall further provide that if the establishment breaches the agreement, then the city may revoke authorization of the establishment following notice and a public hearing, and that in such event, the city shall be entitled to injunctive relief barring further operation of the establishment in the city.
(G) Expiration of conditional authorization. If the applicant for a conditionally authorized establishment fails to satisfy any of the deadlines established above, the conditional authorization will expire. The City Commission may extend any of the deadlines upon a showing of good cause.
(H) Waiting list and refund of administrative fee. The clerk will keep and maintain the waiting lists established pursuant to division (E) of this section until the maximum number of establishments of the type to which the list pertains are operating in the city (at which time the clerk will discard the waiting list). If a conditional authorization for a proposed establishment of that establishment type expires, the clerk will conditionally authorize the next application on the waiting list. Upon discarding the waiting list, the clerk will refund the advance of the annual administrative fee established in § 115.05(D) to all applicants remaining on the waiting list.
(I) Newly available authorizations.
(1) For establishment types for which the maximum number of establishments specified in § 115.02 are operating in the city, an authorization will become available when:
(a) The state operating license for an establishment with final authorization expires or is revoked by LARA; or
(b) This chapter is amended to authorize additional establishments of that establishment type.
(2) When an authorization becomes available as described in division (I)(1), the City Clerk will establish a 30-day application period to begin within the next 60 days, during which the city will accept applications from interested persons, and will publish notice of the selected application period in a newspaper of general circulation at least seven business days before the beginning of that period.
(3) During the selected application period, the Clerk will accept applications using the same process described in divisions (C) and (D) above. If multiple applications are received during the application period, the Selection Committee will request supplemental information and conduct a competitive selection process as outlined in § 115.03(E) above.
(Ord. 1046, passed 9-9-19; Am. Ord. 1080, passed 5-9-22)