Title 17 Cannabis Amendments Project

The Community Development Department is preparing proposed amendments to Title 17 (Planning & Development Code) of the City Code for all cannabis business types (i.e., storefront dispensaries, delivery-only dispensaries, cultivation, manufacturing, distribution, testing). This website provides information about the project to help you both understand and participate in the preparation and adoption of code amendments.

Background

In 2021, the City Council commissioned a study of its cannabis regulatory program and the cannabis industry in Sacramento to track the evolution of industry trends and practices, evaluate the City’s existing regulatory framework, and help guide future policy development in regulating cannabis. This study, titled Sacramento Comprehensive Cannabis Study (“Study”) was prepared by Economic Planning & Systems on March 8, 2022. The Study evaluates the City’s cannabis policies relating to land use, fiscal/taxation issues, and economic effects, and included analysis of other jurisdictions and published cannabis studies.

Following the completion of the Study, a series of workshops were held at the Law & Legislation Committee to gather input on three major topics – ownership, land use/zoning, and fiscal/economics. The workshops led to a bundle of recommendations to the City Council, which was presented on May 31, 2022. See Past Meetings section below for links to the City Council and Law & Legislation Committee meetings, agendas, and staff reports.

Why are we here?

During the May 31, 2022, City Council meeting, the Council considered the Comprehensive Cannabis Study and input gathered during the L&L workshops. Council directed staff to evaluate seven policy points or topics relating cannabis zoning regulations within Title 17 (Planning & Development Code) of the Sacramento City Code. The policy direction provided by Council is the starting point for analysis and evaluation of the Title 17 Cannabis Amendments project and is informed by the conclusions of the Study. The seven points of policy direction and staff’s preliminary recommendations are located in the Policy Direction & Preliminary Recommendations section below.

Comprehensive Cannabis Study & Project Considerations

The analysis for Title 17 amendments is informed by the Study’s primary conclusions relating to cannabis land uses and zoning:

  • Cannabis businesses have not had a negative impact on other nearby retail or industrial uses. (Primary Conclusion #4, page 8)
  • Cannabis businesses have not created increases in crime beyond the levels generated by other businesses. (Primary Conclusion #6, page 9)
  • Cannabis businesses have not had a negative impact on nearby home values. (Primary Conclusion #5, page 9)
  • The cannabis industry does not appear to produce negative economic effects on commercial and residential districts. (Primary Conclusion #13, page 11)
  • Storefront dispensaries integrate well into a variety of commercial environments and are typically “good neighbors”. (Retail analysis page 76; Table 5. Overview of Cannabis Industry Function Groups (IFGs) page 24)
  • Potential for City to see reduction in cultivation uses due to higher land availability in the central and coastal regions of the state, and cheaper operating costs with jurisdictions that allow outdoor cultivation. (Primary Conclusion #12 findings, page 10)
  • Market will “shake-out” over time and it may not be necessary to limit cannabis cultivation and production uses (i.e., floor area restrictions). (Primary Conclusion #14 findings, page 11)

Policy direction & preliminary recommendations

On May 31, 2022, the City Council provided staff seven points of policy direction on the topic of land use/zoning. Each point of policy direction and both staff’s analysis and preliminary recommendations are below.

1. Regulatory Process

Review current cannabis business zoning to determine if they continue to serve the purposes for which they were adopted.

  1. Staff analysis and preliminary recommendations

2. Dispensaries

Consider additional zones for storefront and delivery-only dispensaries and consider storefront dispensaries as an allowed use in Residential Mixed Use (RMX) and C-3 zones.

3. Non-volatile Manufacturing

Consider additonal zones for non-volatile manufacturing (including infusion and packaging).

4. Sensitive Use Buffers

Consider limiting cannabis sensitive uses to schools, youth centers, drug and alcohol treatment centers, neighborhood and community parks, and faith-based institutions.

5. Mixed Light Facilities

Consider the suitability of mixed light cannabis uses in industrial/manufacturing zones.

6. Research and Development

Consider zoning and a permit type for cannabis research and development (R&D) facilities.

7. Distribution

Consider removing distribution from the current uses subject to a district-based square-footage cap.

Upcoming activities & next steps

The Community Engagement phase includes the following upcoming activities:

  • July 25, 2024 General Cannabis Careholder meeting (Complete)
    Meeting Recording
    Presentation
  • August 20, 2024 Law and Legislation workshop
  • September 5, 2024 Webinar #1
  • September 12, 2024 Planning and Design Committee workshop
  • September 19, 2024 Webinar #2

Project Timeline

Phase 1: Analysis & Evaluation are complete. Phase 2: Community Engagement will continue through September. When Phase 3 begins in September staff will prepare a draft ordinance for public review which will lead to public hearings for Phase 4 in November 2024. open_in_full

As shown above, following Community Engagement, staff will prepare a draft ordinance for public review beginning in November 2024.

Past Meetings

March 15, 2022 Law and Legislation workshop (Overview of the Study; Ownership issues) 

April 5, 2022 Law and Legislation workshop (Land Use Issues)

April 19, 2022 Law and Legislation workshop (Fiscal/Economic/Taxation Issues)

May 10, 2022 Law and Legislation workshop (Policy Recommendations)

May 31, 2022 City Council meeting 

August 25, 2022 Planning and Design Committee meeting

May 21, 2024 Law and Legislation meeting (cannabis projects update)

July 25, 2024 General Cannabis Stakeholder meeting

Staff contact information

Questions or comments should be directed to:

Kirk Skierski, Senior Planner
KTSkierski@cityofsacramento.org
916-808-7933

ON THIS PAGE