Los Angeles City Council, Journal/Council Proceeding
Wednesday, December 6, 2017
JOHN FERRARO COUNCIL CHAMBER ROOM 340, CITY HALL 200 NORTH SPRING STREET, LOS ANGELES, CA 90012 - 10:00 AM



(For further details see Official Council Files)

(For communications referred by the President see Referral Memorandum)

ROLL CALL

Members Present: Blumenfield, Buscaino, Englander, Harris-Dawson, Huizar, Krekorian, O'Farrell, Price, Ryu and President Wesson (10); Absent: Bonin, Cedillo, Koretz, Martinez and Rodriguez (5)

Approval of the Minutes
Commendatory Resolutions, Introductions and Presentations

Public Testimony of Non-agenda Items Within Jurisdiction of Council
Items Noticed for Public Hearing
ITEM NO.(1)

HEARING PROTEST, APPEALS OR OBJECTIONS to Building and Safety Department report and confirmation of lien for nuisance abatement costs and/or non-compliance of code violations/Annual Inspection costs, pursuant to Los Angeles Municipal Code (LAMC) and/or Los Angeles Administrative Code (LAAC).

Recommendation for Council action:

HEAR PROTEST, APPEALS OR OBJECTIONS relative to proposed lien for nuisance abatement costs and/or non-compliance of code violations/Annual Inspection costs, pursuant to LAMC and/or LAAC and CONFIRM said lien for the following properties:

(a)17-0160-S536
17-0160-S536
CD 9

978 East 53rd Street.  (Lien: $1,288.56)

 

 

Adopted to Receive and File, Unanimous Vote (10); Absent: Bonin
, Cedillo
, Koretz
, Price
, Rodriguez
(5)
RECEIVED AND FILED INASMUCH AS THE LIEN HAS BEEN PAID IN FULL
(b)17-0160-S537
17-0160-S537
CD 6

17432 West Hart Street.  (Lien: $10,442.10)

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
PUBLIC HEARING CLOSED - LIEN CONFIRMED
(c)17-0160-S538
17-0160-S538
CD 6

9330 North Kester Avenue.  (Lien: $3,495.81)

 

 

Adopted to Continue, Unanimous Vote (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
CONTINUED TO JANUARY 9, 2018
(d)17-0160-S539
17-0160-S539
CD 10

981 South Western Avenue #404.  (Lien: $1,288.56)

 

 

Adopted to Receive and File, Unanimous Vote (10); Absent: Bonin
, Cedillo
, Koretz
, Price
, Rodriguez
(5)
RECEIVED AND FILED INASMUCH AS THE LIEN HAS BEEN PAID IN FULL
(e)17-0160-S540
17-0160-S540
CD 4

2200 North Nichols Canyon Road.  (Lien: $7,160.08)

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
PUBLIC HEARING CLOSED - LIEN CONFIRMED
(f)17-0160-S541
17-0160-S541
CD 14

2806 North Eastern Avenue aka 2808 North Eastern Avenue.  (Lien: $815.70)

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
PUBLIC HEARING CLOSED - LIEN CONFIRMED
(g)17-0160-S542
17-0160-S542
CD 6

7340 North Genesta Avenue.  (Lien: $12,221.44)

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
PUBLIC HEARING CLOSED - LIEN CONFIRMED
(h)17-0160-S543
17-0160-S543
CD 7

11028 North Burnet Avenue.  (Lien: $1,288.56)

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
PUBLIC HEARING CLOSED - LIEN CONFIRMED
(i)17-0160-S544
17-0160-S544
CD 7

12532 West Pinney Street aka 11548 North Dronfield Avenue.  (Lien: $2,762.39)

 

 

Adopted to Receive and File, Unanimous Vote (10); Absent: Bonin
, Cedillo
, Koretz
, Price
, Rodriguez
(5)
RECEIVED AND FILED INASMUCH AS THE LIEN HAS BEEN PAID IN FULL
(j)17-0160-S545
17-0160-S545
CD 7

13600 West Desmond Street aka 13592 West Desmond Street.  (Lien: $5,259.31)

 

 

Adopted to Continue, Unanimous Vote (10); Absent: Bonin
, Cedillo
, Koretz
, Price
, Rodriguez
(5)
CONTINUED TO JANUARY 9, 2018
(k)17-0160-S546
17-0160-S546
CD 14

4327 East Raynol Street.  (Lien: $1,288.56)

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
PUBLIC HEARING CLOSED - LIEN CONFIRMED
(l)17-0160-S547
17-0160-S547
CD 9

5305 South Vermont Avenue.  (Lien: $932.40)

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
PUBLIC HEARING CLOSED - LIEN CONFIRMED
(m)17-0160-S548
17-0160-S548
CD 3

5523 North Shoup Avenue.  (Lien: $2,377.72)

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
PUBLIC HEARING CLOSED - LIEN CONFIRMED
(n)16-0160-S361
16-0160-S361
CD 1

3937 North Verdugo View Drive.  (Lien: $1,600.40)

 

 

Adopted to Receive and File, Unanimous Vote (10); Absent: Bonin
, Cedillo
, Koretz
, Price
, Rodriguez
(5)
RECEIVED AND FILED INASMUCH AS THE LIEN HAS BEEN PAID IN FULL
(o)16-0160-S729
16-0160-S729
CD 8

800 1/2 and 800 1/4 - 806 1/2 West 85th Street.  (Lien: $13,306.00)

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
PUBLIC HEARING CLOSED - LIEN CONFIRMED
ITEM NO.(2)17-0900-S102
17-0900-S102
CD 11

HEAR PROTESTS against the proposed improvement and maintenance of the Federal Avenue and Mississippi Avenue No. 2 Street Lighting District, in accordance with Section 6.95-6.127 of the Los Angeles Administrative Code and Proposition 218.

 

(Ordinance of Intention adopted on October 4, 2017 - Continue hearing and present Ordinance on January 10, 2018 to consider report of protests to be submitted as a result of balloting, pursuant to Proposition 218)

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
CONTINUED HEARING AND ORDINANCE TO BE PRESENTED ON JANUARY 10, 2018
ITEM NO.(3)17-0900-S103
17-0900-S103
CD 2

HEAR PROTESTS against the proposed improvement and maintenance of the Lankershim Boulevard and Otsego Street No. 2 Lighting District, in accordance with Section 6.95-6.127 of the Los Angeles Administrative Code and Proposition 218.

 

(Ordinance of Intention adopted on October 4, 2017 - Continue hearing and present Ordinance on January 10, 2018 to consider report of protests to be submitted as a result of balloting, pursuant to Proposition 218)

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
CONTINUED HEARING AND ORDINANCE TO BE PRESENTED ON JANUARY 10, 2018
ITEM NO.(4)17-0900-S104
17-0900-S104
CD 13

HEAR PROTESTS against the proposed improvement and maintenance of the Denby and Blake Avenues Street Lighting District, in accordance with Section 6.95-6.127 of the Los Angeles Administrative Code and Proposition 218.

 

(Ordinance of Intention adopted on October 4, 2017 - Continue hearing and present Ordinance on January 10, 2018 to consider report of protests to be submitted as a result of balloting, pursuant to Proposition 218)

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
CONTINUED HEARING AND ORDINANCE TO BE PRESENTED ON JANUARY 10, 2018
Items for which Public Hearings Have Been Held
ITEM NO.(5)17-0653, 14-0366-S5
17-0653, 14-0366-S5

RULES, ELECTIONS, AND INTERGOVERNMENTAL RELATIONS COMMITTEE REPORT and ORDINANCE FIRST CONSIDERATION relative to adding Article 4 to Chapter X of the Los Angeles Municipal Code (LAMC) to regulate commercial cannabis activities in the City of Los Angeles.

 

 Recommendations for Council action, SUBJECT TO THE APPROVAL OF THE MAYOR:

 

  1. PRESENT and ADOPT the accompanying ORDINANCE adding Article 4 to Chapter X of the LAMC to regulate commercial cannabis activities in the City of Los Angeles.

  2. PRESENT and ADOPT the accompanying ORDINANCE establishing rules and regulations in support of Article 4 of Chapter X of the LAMC to regulate Commercial Cannabis Activity in the City of Los Angeles.

  3. PRESENT and ADOPT the accompanying ORDINANCE adding Article 4 to Chapter X of the LAMC to regulate commercial cannabis activities in the City of Los Angeles, and incorporating Section 104.20 to establish the Social Equity Program.

  4. REQUEST the City Attorney, with the assistance of the Department of Cannabis Regulation (DCR) and the Chair, Rules, Elections, and Intergovernmental Relations Committee, to make the following changes, additions, or deletions to the Ordinances Adding Article 4 to Chapter X of the LAMC to regulate commercial cannabis activities in the City of Los Angeles dated December 1, 2017 and establishing rules and regulations in support of Article 4 of Chapter X of the LAMC dated November 27, 2017, as follows and to PREPARE and PRESENT the revised ordinance:

    1. Revise Section 1 of the draft ordinance to repeal Prop D effective January 1, 2018, as set forth in Measure M. Furthermore, revise Section 104.07 to afford an Existing Medical Marijuana Dispensary (EMMD) continued limited immunity beyond January 1, 2018, up to approval of a temporary license or, if the temporary license is denied by the DCR, then through an appeal by the EMMD of the temporary approval denial.

    2. Revise Section 104.00 relative to the purpose of the ordinance to adopt the Cannabis Social Equity Analysis Report dated October 18, 2017, and its addendums, as the findings for the Social Equity Program, including Table 1 attached to the Council file.

    3. Add language to the licensing ordinance and rules and regulations relative to anti-retaliation provisions in substantial conformity to Section 188.04 of Article 8 of the LAMC.

    4. Modify language to Section 104.01(a)(12) relative to the definition of EMMD that states … 2015 or 2016, and submits payment for all City-owed business taxes before the application is deemed complete… to allow for a grace period for those unable to previously pay business taxes due to non-acceptance by the Office of Finance.

    5. Modify language to Section 104.01(a)(26) relative to the definition of undue concentration to state that a microbusiness involved in on-site retail will count towards the undue concentration license limits applied to Retailer (Type 10) licenses and a microbusiness involved in cultivation will count towards the undue concentration limits applied to cultivation licenses (Types 1A, 1C, 2A, 3A, 4, and 5A).

    6. Replace language to Section 104.01(26) relative to the definition of undue concentration for cultivation to state: ratio of 1 square feet of cultivated area for every 350 square feet of land zoned M1, M2, M3, MR1, and MR2 with a maximum aggregate of 100,000 square feet of cultivated area and a maximum aggregate number of 15 licenses at a ratio of 1 license for every 2,500 square feet of allowable cultivated area for Cultivation (Types 1A, 1C, 2A, 3A, 4, and 5A).

    7. Add language to Section 104.02 relative to licenses that provide that any applicant, owner, or individual may hold up to a maximum of three Type 10 or Type 9 licenses, and that any applicant, owner or individual is not limited to the number of cultivation licenses as defined in Section 104.02(4), except that the maximum amount of cultivated area that may be licensed to any applicant, owner or individual is 1.5 acres, consistent with Page 11 of the Revised Draft Requirements for Commercial Cannabis Activity in the City of Los Angeles published on September 22, 2017, and adopted by the City Council on October 31, 2017.

    8. Modify language to Section 104.02(a)(4) relative to the types of cultivation licenses available to delete Types 1B, 2B, and 3B with respect to mixed-light cultivation.

    9. Modify language to Section 104.03(c)(8) relative to license ineligibility to state that the DCR may deny application and licensure due to prior non-cannabis drug felonies based on a determination of license suitability recommended by the DCR and approved by the Cannabis Regulation Commission.

    10. Add language to Section 104.05 relative to Notice to state Applicant shall provide written evidence to DCR that the Applicant notified the local Neighborhood Council of the pending application and that the Applicant offered to appear before the Neighborhood Council to address questions about the application.

    11. Modify language to Section 104.06(b) relative to non-retailer commercial cannabis activity to read: … DCR shall, within 60 days of the date DCR deems the application and pre-licensing inspection complete …

    12. Modify language to Section 104.06(c) relative to non-retailer commercial cannabis activity to read: … DCR shall, within 60 days of the date DCR deems the application and pre-licensing inspection complete …

    13. Modify language to Section 104.07 to change the word Applicants to EMMDs.

    14. Modify language to Section 140.07(a) relative to the types of cultivation licenses an EMMD may apply for to include Types 1A – Specialty Cottage, Small and 1C – Specialty Indoor. Furthermore, clarify that a Type 11 Distributor License is for self-distribution transport only.

    15. Modify language to Section 140.07(d) relative to Prop M Priority Processing to change the word Process to Processing in the first line and remove the word solely in the third sentence.

    16. Modify language to Section 104.07(g)(2) relative to Prop M Priority Processing to read: limits on-site cultivation at the Business Premises to not exceed the size of the EMMD’s existing square footage of building space as of March 7, 2017, as documented by dated photographs, building lease entered into on or before March 7, 2017, or other comparable evidence.

    17. Modify language to Section 104.08(a)(9) to read the Applicant is not engaged in Retailer Commercial Cannabis Activity at the Business Premises.

    18. Add language to Section 104.11(a) and Regulation 10(A)(3) relative to license transferability to provide that only changes from non-profit status to for-profit status for EMMDs is exempt if no other ownership changes are made in accordance with Proposition D’s ownership rules until a license is issued by DCR, with notification to the DCR within five business days.

    19. Add language to Sections 104.11(m) and 104.20(g) relative to local hire to that at minimum, applicants are required to contact local community-based organizations, City of Los Angeles WorkSource Centers, and other such similar organizations to facilitate job outreach, development, and placement services. Licensees are required to provide a detailed semiannual report on the first business day of January and the first business day of July every year that provides evidence of their outreach efforts, including the number of persons interviewed, and details on who they have hired that would satisfy a local hire best effort or requirement.

    20. Modify language to Section 104.13(b) relative to administrative fines to change the term Cannabis Application Fee to Cannabis License Fee.

    21. Modify language to Section 104.18 relative to no vested or nonconforming rights to include the following additional language:  This article does not create, confer, or convey any right or benefit regarding any activity beyond the lawfulness of any License issued by the City to engage in Commercial Cannabis Activity or any applicable State of California license for such activity.  If any City License or any applicable State license is held unconstitutional, invalid or unenforceable for any reason by any court or tribunal of competent jurisdiction, the Commercial Cannabis Activity subject to such license shall be prohibited in the City of Los Angeles and shall immediately cease all operations in the City.  The owner of any City License or any applicable State license assumes all risk associated with the validity of such licenses.  The owner of any license found to be unconstitutional, invalid or unenforceable and required thereby to cease Commercial Cannabis Activity, shall not be entitled to any compensation from the City of Los Angeles based upon such license; the finding that such license is unconstitutional, invalid or unenforceable; or the requirement that any Commercial Cannabis Activity must thereby immediately cease in the City.

    22. Modify language to Section 104.19 relative to fees and fines to state that a Cannabis LAMC Section 104.07 EMMD Retail License Fee is required for an EMMD’s application for a Type 10 – Retailer license or for the on-site retail portion of a Type 12 – Microbusiness License. Any additional licenses or microbusiness activities (e.g. delivery, cultivation, manufacturing) require payment of the Cannabis License Fee for each and every additional license or microbusiness activity requested in the application. Furthermore state that a Cannabis LAMC Section 104.08 License Fee is required for each and every license applied for, and if applying for a non-retail microbusiness license, each and every non-retail microbusiness activity. Lastly, state that a Cannabis License Fee is required for each and every license or microbusiness activity applied for, excluding as described above.

    23. Modify language to Section 104.20(b) relative to the definition of Disproportionately Impacted Area to make reference to the zip codes listed in the Table 1 attached to the Council file as the definition for Disproportionately Impacted Areas in the City of Los Angeles.

    24. Modify language to Section 104.20(c) relative to Tier 1 applicants to have the following criteria: 1. Low Income and prior California Cannabis Conviction; or, 2. Low Income and a minimum of five years cumulative residency in a Disproportionately Impacted Area.

    25. Delete Section 104.20(d) relative to Tier 2 applicants, and rename 104.20(e) Tier 2 and 104.02(f) Tier 3 and make consistent throughout Section 104.20.

    26. Delete language to Section 104.20(e)(1) relative to applicant criteria.

    27. Add language to 104.02(f) relative to the new Tier 3 to require 30 percent social equity local hire.

    28. Modify language to Section 104.20(f) relative to minimum property requirements to state: … A Tier 4 Social Equity Applicant shall provide Tier 1 Social Equity Applicants access to property with no rent and with prorated utilities for a minimum of two years. … 1. Cultivation – minimum 500 square feet or 10 percent of Tier 4 Social Equity Applicant’s Business Premises, whichever is greater; 2. Manufacturing – minimum 800 square feet or 10 percent of Tier 4 Social Equity Applicant’s Business Premises, whichever is greater; 3. Testing – minimum 1,000 square feet or 10 percent of Tier 4 Social Equity Applicant’s Business Premises; 4. Distributor – minimum 1,000 square feet or 10 percent of Tier 4 Social Equity Applicant’s Business Premises; 5. Non-storefront retail – minimum 1,000 square feet or 10 percent of Tier 4 Social Equity Applicant’s Business Premises; 6. Storefront retail – minimum 1,000 square feet or 10 percent of Tier 4 Social Equity Applicant’s Business Premises, whichever is greater; 7. Microbusiness - minimum 800 square feet or 10 percent of Tier 4 Social Equity Applicant’s Business Premises, whichever is greater…

    29. Modify language to Section 104.20(g) relative to the definition of Social Equity Worker to state: Social Equity Worker is a Person who is 1. Low Income and has a prior California Cannabis Conviction as defined in Section 104.20(b); or 2. Low Income and a minimum of five years cumulative residency in a Disproportionately Impacted Area. Furthermore, change the radius to a five mile radius.

    30. Modify language to Regulation 2 relative to Business Tax Registration Certificates (BTRC) to allow changes to a BTRC once an application has been filed with written approval from DCR and the Office of Finance.

    31. Add a new subsection to Regulation 3 that requires applicants to provide an attestation from a person authorized to contract on behalf of a bona-fine labor organization which indicates that a labor peace agreement has been executed.

    32. Add a new subsection to Regulation 3 that requires the applicant to indemnify the City from any potential liability on a form approved by the DCR.

    33. Modify Regulation 10(A)(5) relative to badging and make consistent with Title 16, Division 42, Chapter 1, Article 4, Section 5043 of the State of California Code of Regulations.

    34. Modify Regulation 10(A)(7) relative to surveillance system requirements and make consistent with Title 16, Division 42, Chapter 1, Article 4, Section 5044 of the State of California Code of Regulations.

    35. Modify Regulation 10(D)(16) relative to employee training to make violation of this regulation a Moderate Violation.

    36. Add language to Regulation 10(E)(3) relative to deliveries to require approval by the DCR in addition to authorization by another jurisdiction in order for a licensed delivery business to deliver outside the City of Los Angeles.

    37. Add a new subsection to Regulation 10 that states: A Licensee, its employee, agents, and officers must obey all applicable state and local labor laws of the City of Los Angeles and the State of California. (Violation Type – Serious).

    38. Clarify that all cannabis licensees can only do business with other cannabis licensees; and, violation of this will result in a moderate level offense.

  5. AUTHORIZE the City Attorney, with the assistance of the DCR and the Chair of Rules, Elections, and Intergovernmental Relations Committee, to make any technical modifications and/or legal corrections to the accompanying Ordinance, requested draft ordinance, and any other related actions listed above in order to further the objectives as described in these recommendations and to make consistent with Council file No. 14-0366-S4.

  6. INSTRUCT the Chief Legislative Analyst (CLA), with the assistance of the City Administrative Officer (CAO), the Department of Building and Safety, the City Attorney, and the DCR to report with recommendations on establishing a Cannabis Event Organizer License and a Temporary Cannabis Event License pursuant to State of California Code of Regulations Title 16, Division 42, Chapter 5 Cannabis Events.

  7. REQUEST the City Attorney, with the assistance of the DCR, to report as quickly as possible with recommendations on technical amendments to all cannabis-related ordinances and rules and regulations to ensure consistency with the State of California Code of Regulations.

  8. RESOLVE that one Management Analyst, Class Code 9184, without funding within the DCR, is APPROVED and CONFIRMED for the period December 1, 2017, to June 30, 2018 to support the Social Equity Program, subject to the approval of the Mayor and to position allocation by the Board of Civil Service Commissioners.

  9. INSTRUCT the DCR, with the assistance of the CAO to release a Request for Qualifications to establish benchmark contracts for firms that would provide services for the social equity programs, such as recruitment and outreach to support the Social Equity Program; business, licensing, and compliance assistance; general business assistance; industry partner program; and, industry ownership investment program.

  10. AUTHORIZE the DCR, with the assistance of the City Attorney, to negotiate, approve and become the signatory, on behalf of the City of Los Angeles, for participation in the County of Los Angeles’ Embleming Program and Education Campaign relative to commercial cannabis businesses.

  11. INSTRUCT the DCR, with the assistance of the City Attorney, Department of Building and Safety, and the Los Angeles Fire and Police Departments to report back on the compliance enforcement process.

Fiscal Impact Statement: None submitted by the City Attorney. Neither the CAO nor the CLA has completed a financial analysis of this report.

 

 Community Impact Statement: Yes.

P.I.C.O. Neighborhood Council

Historic Highland Park Neighborhood Council

Greater Toluca Lake Neighborhood Council

Downtown Los Angeles Neighborhood Council

Studio City Neighborhood Council

Westside Neighborhood Council

South Robertson Neighborhood Council

West Hills Neighborhood Council

Woodland Hills Warner-Center Neighborhood Council

South Robertson Neighborhood Council

Sherman Oaks Neighborhood Council

Bel Air-Beverly Crest Neighborhood Council

Arroyo Seco Neighborhood Council

Westchester Playa Neighborhood Council

 

- URGENCY CLAUSE –

 

(12 VOTES REQUIRED ON SECOND READING)

 

ADOPTED

 

 AMENDING MOTION 5A (O'FARRELL - KREKORIAN - MARTINEZ - ENGLANDER)

 

Recommendation for Council action:

 

 AMEND to strike the word conviction from Section 104.03(c)8 of the ordinance, and replace it with 20 years after conviction  or release, whichever is more restrictive.

 

 REFERRED

 

 AMENDING MOTION 5B (BLUMENFIELD - WESSON)

 

 Recommendation for Council action:

 

 AMEND to modify Section 104.20 of the Ordinance to include that if a person resides in a low income census and their business is located further than 10 miles from the disproportionately impacted areas they would qualify for inclusion within Tier 1 of the Social Equity Program.

 

 REFERRED

 

 AMENDING MOTION 5C (BLUMENFIELD - HARRIS-DAWSON)

 

 Recommendation for Council action:

 

 AMEND to modify Section 104.20 of the Ordinance that when it comes to cannabis businesses that are more than 10 miles away from the disproportionally impacted areas, then any person who resides in a low income census tract would qualify for local hire.

 

 REFERRED

 

 AMENDING MOTION 5D (BLUMENFIELD - WESSON)

 

 Recommendation for Council action:

 

 AMEND to hire a consultant to address which zip codes and/or census tracts were adversely impacted by the war on drugs within the San Fernando Valley for inclusion within the Disproportionately Impacted Areas definition in Section 104.20(b) and at least 20 percent of the amended area shall be comprised of areas within the San Fernando Valley.

 

 REFERRED

 

 AMENDING MOTION (PRICE - WESSON)

 

 REQUEST the Rules, Elections, and Intergovernmental Relations Committee to schedule the following matters for committee consideration upon Council's return from its Winter Recess:

 

  1.  Relative to the undue concentration of Cannabis Cultivation, request that the maximum aggregate of 100,000 square feet of cultivation in a Community Plan Area under Section 104.01(26) be increased for disadvantaged communities to provide additional jobs and economic development opportunities.

  2.  Address the funding mechanism for a Community Reinvestment and Benefit Program that was excluded from the Social Equity Program.

  3.  Add language to the Application Procedure Section 104.03 and the Radius Buffer Restriction Section 105.02 to allow exceptions to the 600-foot school restriction for indoor cannabis activities subject to a CEQA analysis of environmental impacts and conditions to address public health, safety and welfare considerations.

 

REFERRED

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)

RULES, ELECTIONS, AND INTERGOVERNMENTAL RELATIONS (REIR) COMMITTEE REPORT AND ORDINANCES ADOPTED; AMENDING MOTIONS 5-A THRU 5-D AND MOTION (PRICE - WESSON) REFERRED TO THE REIR COMMITTEE

ITEM NO.(6)14-0366-S4
14-0366-S4

NEGATIVE DECLARATION; EXEMPTION; RULES, ELECTIONS, AND INTERGOVERNMENTAL RELATIONS COMMITTEE REPORT; and, ORDINANCE FIRST CONSIDERATION relative to establishing location restrictions for commercial cannabis activity.

 

Recommendations for Council action, SUBJECT TO THE APPROVAL OF THE MAYOR:

 

  1. FIND, pursuant to California Environmental Quality Act of 1970 (CEQA) Guidelines Section 15074(b), after consideration of the whole of the administrative record, including Negative Declaration No. ENV-2017-2261-ND, and all comments received, that there is no substantial evidence that the project will have a significant effect on the environment.

  2. DETERMINE, based on the whole of the administrative record, the project is exempt from CEQA pursuant to California Business and Professions Code Section 26055(h) on the basis that the project will adopt ordinances, rules and/or regulations, that will require discretionary review under CEQA to approve licenses to engage in commercial cannabis activity in the City of Los Angeles.

  3. PRESENT and ADODT the accompanying ORDINANCE, and REQUEST the City Attorney, with the assistance of the Department of City Planning (DCP), the Department of Cannabis Regulation (DCR), and the Chair of the Rules, Elections, and Intergovernmental Relations Committee, to make the following changes, additions, or deletions to the revised proposed Ordinance relative to the Commercial Cannabis Location Restriction Ordinance, and to PREPARE and PRESENT a revised ordinance, including a redlined version based on the November 27 version and new maps, incorporating the following amendments:

    1. Modify language to Section 105.01 relative to Definitions for a Public Park to include any property in the City of Los Angeles zoned Open Space (OS) as defined under Section 12.04.05 of the Los Angeles Municipal Code.

    2. Modify language to Section 105.01 relative to Definitions for a Public Library to clarify that this definition is intended to describe facilities that are open to the public.

    3. Modify language to Section 105.01 relative to Definitions for Existing Medical Marijuana Dispensary (EMMD) to state …2015 or 2016, and submits payment for all City-owed business taxes before the application is deemed complete… to allow for a grace period for those unable to previously pay business taxes due to non-acceptance by the Office of Finance.

    4. Delete the language in Sections 105.02(a)(1)(B) and 105.02(a)(2)(B)  relative to Day Care Centers, Add Day Care Centers as defined in Section 1596.76 of the State of California Health and Safety Code and licensed by the State of California to the list of sensitive uses under Sections 105.02(a)(1)(C) and 105.02(a)(2)(C), and Modify Sections 105.02 (a)(1)(C) and 105.02(a)(2)(C) relative to sensitive uses to change the buffer to a 700 foot radius.

    5. Modify language in Section 105.02(a)(1)(A)(6) relative to the Playa Vista Specific Plan to remove the following reference: C1 (PV) Commercial Zone, C2 (PV) Regional Commercial (Area D) and Commercial Zone (Area C).

    6. Delete Section 105.02(a)(1)(A)(7) relative to the Oxford Triangle Specific Plan.

    7. Add the term Day Care Center to Section 105.02(b) relative to sensitive use measurements.

    8. Modify language to Sections 105.03(a)(2) and 105.03(b)(2) relative to Prop M Priority Processing to read: limit on-site cultivation at the Business Premises to not exceed the size of the EMMD’s existing square footage of building space as of March 7, 2017, as documented by dated photographs, building lease entered into on or before March 7, 2017, or other comparable evidence.

    9. Modify language to Section 105.05 relative to no vested or nonconforming rights to include the following additional language: This article does not create, confer, or convey any right or benefit regarding any activity beyond the lawfulness of any License issued by the City to engage in Commercial Cannabis Activity or any applicable State of California license for such activity.  If any City License or any applicable State license is held unconstitutional, invalid or unenforceable for any reason by any court or tribunal of competent jurisdiction, the Commercial Cannabis Activity subject to such license shall be prohibited in the City of Los Angeles and shall immediately cease all operations in the City.  The owner of any City License or any applicable State license assumes all risk associated with the validity of such licenses.  The owner of any license found to be unconstitutional, invalid or unenforceable and required thereby to cease Commercial Cannabis Activity, shall not be entitled to any compensation from the City of Los Angeles based upon such license; the finding that such license is unconstitutional, invalid or unenforceable; or the requirement that any Commercial Cannabis Activity must thereby immediately cease in the City.

  4. AUTHORIZE the City Attorney, with the assistance of DCR and the Chair of Rules, Elections, and Intergovernmental Relations Committee, to make any technical modifications and/or legal corrections to the draft ordinance, draft ordinance requests, and any other related actions listed above in order to further the objectives as described in these recommendations and to make consistent with Council File No. 14-0366-S4.

  5. INSTRUCT the DCP, with the assistance of the City Attorney and the DCR, to report with an analysis of mixed light cultivation in manufacturing zones.

  6. INSTRUCT the Housing and Community Investment Department, with the assistance of the DCR, DCP, and the Department of Building and Safety, to report monthly beginning Tuesday January 2, 2018, and on the first business day of every month with a list of addresses and parcel numbers of permanent supportive housing developments where services are provided on site that has received entitlement approvals or a building permit from the City, including the date of such approvals.

Fiscal Impact Statement: None submitted by the Department of City Planning. Neither the City Administrative Officer nor the Chief Legislative Analyst has completed a financial analysis of this report.

 

Community Impact Statement: Yes.

Foothill Trails District Neighborhood Council

East Hollywood Neighborhood Council

Studio City Neighborhood Council (Communication)

 

- URGENCY CLAUSE –

 

(12 VOTES REQUIRED)

 

ADOPTED

 

AMENDING MOTION 6A (BUSCAINO - ENGLANDER)

 

Recommendation for Council action:

 

AMEND to modify Section 105.01 of the ordinance to include within the definition of Public Park any public park of any jurisdiction adjoining the City.

 

REFERRED

 

AMENDING MOTION 6B (BLUMENFIELD - PRICE)

 

Recommendation for Council action:

 

AMEND to modify Section 105.03(b) of the ordinance to remove the expiration of the grandfathering for EMMDs on December 31, 2022 relative to the buffer area around Day Care Centers and that the limited grandfathering continues on in perpetuity relative to the buffer area around Day Care Centers.

 

REFERRED

 

 

Adopted, (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
RULES, ELECTIONS, AND INTERGOVERNMENTAL RELATIONS (REIR) COMMITTEE REPORT AND ORDINANCE ADOPTED; AMENDING MOTIONS REFERRED TO THE REIR COMMITTEE
ITEM NO.(7)14-0366-S17
14-0366-S17

RULES, ELECTIONS, AND INTERGOVERNMENTAL RELATIONS COMMITTEE REPORT relative to the additional resources required to support the Department of Cannabis Regulation (DCR) in the enforcement of labor standards in the new commercial cannabis industry.

 

Recommendation for Council action:

 

APPROVE the Bureau of Contract Administration (BCA) report dated November 30, 2017 relative to the additional resources required to support the DCR in the enforcement of labor standards in the new commercial cannabis industry.

 

Fiscal Impact Statement: The BCA reports that the City Administrative Officer estimates the annual cost to fully fund the three positions, one Senior Management Analyst and two Management Analysts, to be $515,475, comprised of $298,273 for salaries and $217,202 for indirect costs. Funding of $257,738 will be required to provide six months of funding for the three positions for the remainder of Fiscal Year 2017-18. Since the projected workload is unknown, the positions should be funded within the existing BCA budget. Any resources required for next fiscal year shall be addressed during the 2018-19 budget process.

 

Community Impact Statement: None submitted.

 

 

Adopted to Refer, Unanimous Vote (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
REFERRED TO THE BUDGET AND FINANCE COMMITTEE
RECONSIDERED ITEM(s)
14-1174-S30
14-1174-S30

RECONSIDERED ITEM NO. 32 FROM PREVIOUS MEETING OF DECEMBER 5, 2017

 

ECONOMIC DEVELOPMENT COMMITTEE REPORT relative to utilizing up to $825,000 from the Adelante Eastside Redevelopment Project Area to acquire and facilitate the sale and development of the Ocean Queen Site located at 1300 East First Street.

 

Recommendations for Council action, SUBJECT TO THE APPROVAL OF THE MAYOR:

 

  1. APPROVE up to $825,000 in taxable Community Redevelopment Agency Los Angeles (CRA/LA) Excess Non-Housing Bond Proceeds available to Council District 14 from the Adelante Eastside Redevelopment Project Area within the district to be utilized by Self-Help Graphics and Art, Inc. (Self-Help Graphics) to acquire its business property (Ocean Queen Building) located at 1300 East First Street, Los Angeles, CA 90033 (APN 5172-008-900; 5172-008-901; 5172-008-902).

  2. AUTHORIZE the Economic and Workforce Development Department (EWDD)  to be the implementing department, and to expend funds up to $825,000 from the CRA/LA Excess Non-Housing Bond Proceeds Fund No. 57D, Account No. 22L9AT, Adelante Eastside Taxable, for transactions related to the Self-Help Graphics Ocean Queen Building Acquisition Project upon presentation of proper documentation by the General Manager, or designee.

  3. AUTHORIZE the Controller to transfer up to $825,000 from the CRA/LA Excess Non-Housing Bond Proceeds Fund No. 57D, Account No. 22L9AT, Adelante Eastside Taxable, to Chicago Title Company upon receipt of appropriate transfer instructions from the EWDD.

  4. AUTHORIZE the General Manager, EWDD, or designee, to:

    1. Negotiate and execute a City loan agreement, promissory note, deed of trust and related documents (City Loan Documents) with the Self-Help Graphics on or before September 30, 2019 for a City loan up to $825,000 towards the acquisition cost of the Ocean Queen Building, subject to the approval of City Attorney as to form and legality.

    2. Negotiate and execute amendment(s) to the City Loan Documents relative to the intent of this transmittal on or before September 30, 2019, subject to the approval of the City Attorney as to form and legality.

    3. Enter into a subordination agreement with California Community Foundation for a term not to exceed four years to subordinate the City’s loan towards the Ocean Queen Building acquisition so long as the total loan-to-value ratio does not exceed 80 percent of the acquisition cost.

  5. AUTHORIZE the General Manager, EWDD, or designee, to prepare Controller instructions and/or make technical adjustments that may be required and are consistent with this action, subject to the approval of the City Administrative Officer; and, AUTHORIZE the Controller to implement these instructions.

 

Fiscal Impact Statement:  The CRA/LA Bond Oversight Committee reports that approval of the recommendations contained in the November 16, 2017 CRA/LA Bond Oversight Committee report, attached to the Council file, will have no impact on the General Fund.  The CRA/LA Excess Non-Housing Bond Proceeds Fund No. 57D is funded solely from the transfer of approximately $84.1 million in pre-2011 tax allocation bond proceeds from CRA/LA to the City (Council file No. 14-1174).

 

Community Impact Statement:  None submitted.

 

 

Adopted to Continue, Unanimous Vote (12); Absent: Bonin
, Koretz
, Rodriguez
(3)
CONTINUED TO DECEMBER 8, 2017
MOTIONS/RESOLUTIONS PRESENTED PURSUANT TO RULE NO. 16 - TO BE PLACED ON THE NEXT AVAILABLE AGENDA
17-1387
17-1387MOTION (RYU - O'FARRELL) relative to funding for the completion of the Griffith Park Traffic Study in Council District Four.
16-0600-S145
16-0600-S145MOTION (CEDILLO - MARTINEZ) relative to amending prior Council action of December 14, 2016 regarding the Affordable Housing Opportunity Sites / Evaluation, Disposition, and Development.
COMMENDATORY RESOLUTIONS ADOPTED IN HONOR OF:
17-0004-S3
17-0004-S3
John F. Egan            Blumenfield - Englander

ENDING ROLL CALL
Ending Roll Call

Blumenfield, Buscaino, Cedillo, Englander, Harris-Dawson, Huizar, Krekorian, Martinez, O'Farrell, Price, Ryu and President Wesson (12); Absent: Bonin, Koretz and Rodriguez (3)

Whereupon the Council did adjourn.
Adjournment

ATTEST: Holly L. Wolcott, CITY CLERK

 

By:

 

Council Clerk                                       PRESIDENT OF THE CITY COUNCIL