To: Honorable Mayor and Members of Town Council
Through: David L. Corliss, Town Manager
From: Michael J. Hyman, Town Attorney
Title
Ordinance Amending Title 17 of the Castle Rock Municipal Code Regarding Local Regulation of Natural Medicine Businesses (Second Reading - Approved on First Reading on December 17, 2024 by a vote 5-2)
Body
________________________________________________________________________________
Executive Summary
The Town Manager and Town Attorney are proposing the adoption of an ordinance regulating natural medicine businesses.
History of Past Town Council, Boards & Commissions, or Other Discussions
Staff Recommendation
At its March 7, 2023, regular meeting, Town Council directed staff to prepare a draft letter to the Town’s legislative delegation which, among other things, expressed Town Council’s support for legislation that would provide for local control over “natural medicine healing centers,” as authorized by Proposition 122 (the “Natural Medicine Health Act”).
At its June 18, 2024, regular meeting, Town Council reviewed a draft ordinance prepared by the Town Attorney regulating the time, place, and manner of the operation of natural medicine businesses. Town Council suggested changes to the ordinance and voted unanimously to direct staff to bring the ordinance back for further discussion at its July 2, 2024, regular meeting.
At its July 2, 2024, regular meeting, Town Council reviewed the ordinance prepared by the Town Attorney’s Office, including changes suggested by Town Council at the June, 2024 regular meeting. Town Council voted unanimously to direct staff to place the ordinance on the agenda for first reading at its July 16, 2024, regular meeting.
At its July 16, 2024, regular meeting, Town Council voted 5-2, Councilmembers Cavey and Dietz voting no, to continue first reading of the ordinance until one of its two regular meetings in September, 2024. The majority of Town Council expressed an interest in amending the proposed ordinance to “grandfather” in those existing businesses interested in seeking a natural medicine business license from the State that are not in compliance with the location requirements and/or the distance restrictions set forth in the ordinance.
Discussion
In November, 2022, Colorado voters approved the Natural Medicine Health Act, a citizen-initiated measure intended to decriminalize the use of certain plants or fungi for people 21 years of age and older. In May, 2023, the Governor signed Senate Bill 23-290, “Natural Medicine Regulation and Legalization,” into law, which bill clarifies and sets the regulatory framework for a regulated natural medicine program in Colorado. This bill is codified in state law as the Colorado Natural Medicine Code, Section 44-50-101, et seq., C.R.S. (the “State Code”). The Colorado Division of Professions and Occupations is charged with the task of licensing the various natural medicine-related businesses, including natural medicine healing centers, natural medicine cultivation facilities, natural medicine products manufacturers, and natural medicine testing facilities.
Unlike with retail and medical marijuana, the State Code does not give the option of “saying no” to “natural medicine” businesses. (See Section 44-50-104(5)(b), C.R.S. - “A local jurisdiction may not prohibit the establishment or operation of licenses pursuant to this article 50 within its boundaries.”) The State Code, however, does allow municipalities to enact ordinances which:
(i) Regulate the time, place and manner of the operation of natural medicine business licenses issued by the State;
(ii) Limit the areas where the cultivation, manufacturing, testing, storage, distribution, transfer and dispensation of natural medicine and natural medicine product may be permitted; and
(iii) Establish the distance restrictions for buildings where natural medicine services are provided within the vicinity of a child care center, preschool, elementary, middle, junior or high school, residential child care facility, or residential dwelling.
See Section 44-50-104(5)(a), C.R.S.
Staff Recommendation
Pursuant to the authority granted by the State Code, the Town Manager and the Town Attorney recommend that the Town Council consider adopting a restrictive code that relegates natural medicine healing centers and grow operations to I-1-Light Industrial and I-2 General Industrial zoning districts, while also imposing a 1,000-foot distance requirement between any natural medicine business and existing schools and residences.
In addition, the Town Attorney has prepared for Town Council’s consideration an amendment to the proposed ordinance that would allow existing businesses interested in seeking a natural medicine business license from the State that are not in compliance with the location requirements and/or the distance restrictions set forth in the ordinance to operate as a legal nonconforming use.
Proposed Motion
“I move to approve Ordinance No. 2024-011 as introduced by title.”
Alternative Motions
I move to approve Ordinance No. 2024-011 as introduced by title, with the following condition:
That Section 1 of Ordinance No. 2024-011 be amended to add a new section 17.64.140 entitled “Legal Nonconforming Use,” which section shall be in the form as presented at tonight’s meeting.
I move to continue first reading of Ordinance No. 2024-011 to the Town Council meeting on __________.
Attachments
Attachment A: Ordinance
Attachment B: Natural Medicine Amendment
Attachment C: Public Comments Submitted Online
Attachment D: Supplement to Agenda Memo