HomeMy WebLinkAbout10 LEGISLATIVE UPDATEAgenda Item 10
Reviewed:
AGENDA REPORT City Manager
Finance Director N/A
MEETING DATE: JUNE 4, 2019
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: MATTHEW S. WEST, CITY MANAGER
SUBJECT: LEGISLATIVE UPDATE
SUMMARY:
Staff has prepared a summary of state legislative activity.
RECOMMENDATION:
1. Receive and file the updated legislative matrix as of May 23.
2. Take an OPPOSE UNLESS AMENDED position on AB 1356 (Ting — D) Cannabis:
local jurisdictions: retail commercial cannabis activity.
3. Other actions at the pleasure of the City Council.
FISCAL IMPACT:
Not applicable.
DISCUSSION:
Update on Major Legislation with City Positions (as of May 23)
- SB 50 (Wiener): Oppose Unless Amended
SB 50, to the surprise of many, was held in the Senate Appropriations Committee
as a 2 -year bill, meaning it can be taken up again in January 2020. Senate
President Pro Tem Atkins has made it clear that the bill will not return this year.
- AB 392 (Weber): Oppose Unless Amended
AB 392 seems to have stalled in the Assembly Rules Committee. The bill must
pass the Rules Committee and have passed the full Assembly by May 31.
- SB 230 (Caballero): Support
Agenda Report — Legislative Update
June 4, 2019
Page 2
SB 230 has cleared the Senate Appropriations Committee and awaits a vote from
the full Senate.
- SB 330 (Skinner): Oppose Unless Amended
SB 330 has been amended to change its 10 -year prohibition on certain actions to
5 years. It has cleared the Senate Appropriations Committee and awaits a vote
from the full Senate.
SB 669 (Caballero): Support; Water Tax Update
The water tax discussion has taken a positive turn. A Senate Budget
Subcommittee has proposed a dedicated $150 million from the general fund each
year for a clean water drinking fund in lieu of SB 669 and other water tax proposals.
As a reminder, SB 669 would have established a Safe Drinking Water Trust Fund
that would be funded in years of a state General Fund surplus. Under the Senate's
proposal, if any water taxes are passed, the tax amount would be deducted from
the $150 million appropriation each year. This mechanism has been housed in SB
200 (Monning).
AB 217 (Garcia), a proposed tax on water connections statewide, is still making its
way through the legislature and seems to be the lead legislation for a potential
water tax. The City has not taken a position on this legislation to date.
Remaininq Key Dates for 2019
Below is a reminder of remaining key dates for the legislative session:
- May 31: Bills must be passed out of house of origin (this date will have passed by
the June 4th Council Meeting)
- June 15: Budget Bill must be passed by midnight
- September 13: Last day for each house to pass bills
- October 13: Last day for Governor to sign or veto bills
Legislative Matrix
Attached is an updated legislative tracking matrix as of May 23 that tracks bills of interest
as well as bills tracked by the League of California Cities (LOCC), the Association of
California Cities — Orange County (ACC -OC), the Municipal Water District of Orange
County (MWDOC) and other state and local associations. The matrix is sorted by bill
category.
Agenda Report — Legislative Update
June 4, 2019
Page 3
Recommended Positions on Legislation
OPPOSE UNLESS AMENDED AB 1356 (Ting) Cannabis: local jurisdictions: retail
commercial cannabis activity.
AB 1356 is a response to the limited number of cities that have allowed retail
recreational marijuana dispensaries to operate within their jurisdictions, even
though Proposition 64 was approved by 57% of the voters statewide in 2016.
The bill's provisions are fairly straightforward. If over 50% of a city approved
Proposition 64, the city must allow one recreational marijuana license for every six
liquor licenses (primarily restaurant types) OR one license for every 15,000
residents, whichever is less. The bill also allows cities to pose the question to the
voters on whether or not the dispensaries should be allowed in their city. The
author's main point is that if over 50% of the jurisdiction voted for Prop 64, they
more than likely would want to allow it in their city.
Tustin voters approved Prop 64 with 50.67% voting yes. Tustin has 53 liquor
licenses of the type discussed in AB 1356 and the most recent population estimate
from the state Department of Finance is 81,369. This means that Tustin would
have to provide 6 licenses for retail recreational marijuana dispensaries (the lesser
of 1 for every 6 liquor licenses or 1 for every 15,000 residents).
The main reason for the recommended Oppose Unless Amended position is the
attack on local control. Cities were established by communities that wanted to
control how to regulate certain activities. Nothing currently prevents the cities or
their communities from allowing retail recreational marijuana uses, but to propose
that a city must allow retail recreational marijuana uses is an overreach into one of
the most basic city functions: regulating the types of businesses that can operate
in a city.
Staff is available for any questions the Council may have.
Attachments:
- Legislative tracking matrix
- AB 1356 oppose unless amended letter
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H14
N N
May _, 2019
The Honorable Phil Ting
State Capitol Building, Room 6026
Sacramento, CA 95814
SUBJECT: AB 1356 (Ting) Notice of Opposition Unless Amended
Dear Assembly Member Ting -
The City of Tustin (City) must respectfully notify you of its opposition to AB 1356 unless
amended.
Under this bill, if more than 50 percent of the voters of a local jurisdiction voted in favor of
Proposition 64, these local jurisdictions would be required to issue a minimum number of licenses
authorizing retail cannabis activity within that jurisdiction. More specifically, the bill requires
these cities to issue a minimum of one retail cannabis license for every six liquor licenses, or one
retail cannabis license for every 15,000 residents.
Existing law, under both the Medicinal and Adult -Use Cannabis Regulation and Safety Act
(MAUCRSA) and Proposition 64, states that local jurisdictions have the ability to adopt and
enforce local ordinances to regulate cannabis businesses. By removing local governments' ability
to regulate brick and mortar retail cannabis shops, AB 1356 undermines the very foundation of
local control and thereby negates the primary purpose of California's established dual licensing
structure.
With regard to the measure's mandated 1 -to -6 ratio, there is simply no nexus between a city's
regulation of citizens' access to retail commercial cannabis and the number of liquor
establishments within a community. By requiring such a ratio, AB 1356 proposes an arbitrary land
use standard for individual cities based on the results of a statewide ballot measure.
In seeking to eliminate locals' authority to ban or regulate retail commercial cannabis businesses,
AB 1356 would ultimately strip cities of the ability to decide what is appropriate for their
communitiesa premise that directly contravenes the framework understood by the voters when
approving Proposition 64.
For these reasons, the City of Tustin opposes AB 1356 unless amended to address the concerns
outlined above.
Sincerely,
Charles E. "Chuck" Puckett
Mayor
cc: Senator John M.W. Moorlach
Assembly Member Steven S. Choi, Ph.D.
Tony Cardenas, League of California Cities
League of California Cities, cityletters@cacities.org
Jenn Lowe, Association of California Cities — Orange County