This presentation was delivered at NADO's Annual Training Conference, held in Anchorage, Alaska on September 9-12, 2017. Every day, across the country in both rural and urban regions and communities, new businesses and industries are emerging on the economic development landscape. Entrepreneurs and small business owners are looking beyond traditional sectors and launching enterprises that are creating jobs and financial security for employees while also providing services and products that are, in some cases, a bit outside the box. This session will share examples of ways RDOs are working with renewable energy, cannabis, and recreation/tourism businesses in their regions. Emily Gojkovich, Economic Development Planner, Southwest NM COG, Silver City, NM Al Lerma, Director, Business Development and Innovation, Sonoma County EDB, Santa Rosa, CA Teri Provost, Program Analyst, SEDA-Council of Governments, Lewisburg, PA Jay Trusty, Executive Director, Southwest Regional Development Commission, Slayton, MN, Moderator

1. SONOMA COUNTY CANNABIS
THE GREEN RUSH
AL LERMA, DIRECTOR OF BUSINESS DEVELOPMENT & INNOVATION
SONOMA COUNTY ECONOMIC DEVELOPMENT BOARD

2. 2
STATE REGULATIONS
 Proposition 215 – Medicinal Use
 Senate Bill 420 –
 MMRSA/MCRSA - Guidelines
 AUMA (Proposition 64) - Adult Use
 CDFA Draft Regulations
 CDFA Draft Program EIR
 Governor’s Budget Trailer Bill/MAUCRSA/
SB 94 – Combines Medical & Adult Use
 Final MAUCRSA Regulations expected Fall 2017

3. 3
FEDERAL REGULATIONS
 Illegal Schedule I drug (highly addictive with
no medical value)
 Federal Rackateer-Influenced and Corrupt
Organization Act (RICO) Lawsuits.
 Banking Prohibitions for Cannabusinesses.

4. WHERE ARE WE NOW?
 Adopted local regulatory framework (Dec. 2016)
 Sonoma County Passed Measure A: Cannabis
Business Tax (March 2017)
 Approved Phase 2 and program staffing (April
2017) – Hired Cannabis Program Manager
 Workshop series (April – June)
 Accepted permit applications (July 5, 2017)
 Compliance…Success!

5. COUNTY ORDINANCES
 Land Use Ordinance
 Health Ordinance
 Tax Ordinance

6. COUNTY ORDINANCES
LAND USE ORDINANCES
 Outdoor cultivation
 Indoor cultivation
 Mixed light cultivation
 Manufacturing
 Distribution

7. July Aug Sep Oct Nov Dec
3rd/5th District
Workshop
July 27
July 20
4th District
Workshop
August 2 Planning Commission
Package due
Board of
Supervisors
Hearing
Dec 6
1st District
Workshop
July 18
3rd/5th District
Workshop
July 28
Planning
Commission
Hearing
Oct 13
Planning
Commission
Hearing
Oct 27
Board of
Supervisors
Package Due
2nd District
Workshop
County of Sonoma Medical Cannabis
Land Use Ordinance Timeline
Board
Hearing
Dec 13
*Board of Supervisors Ad Hoc meets throughout
*Marijuana Technical Advisory Committee meets throughout Public
Workshop
Oct 6
NEW
Public
Workshop
Dec 2

8. OUTDOOR CULTIVATION

9.  ZP- Permitted Use if standards met- CEQA exempt; Zoning Permit and Building Permit
 MUP- Minor Use Permit or Hearing Waiver, CEQA applies unless Cat Exempt: can add conditions
 CUP- Conditional Use Permit- noticed before Planning Commission; CEQA, can add conditions
Land Use
MAXIMUM
CULTIVATION
AREA (square
feet or plant)
Min Parcel
Size
State
License
Type
LandIntensiveAgriculture
LandExtensiveAgriculture
DiverseAgriculture
ResourcesandRural
Development
LIA LEA DA RRD
Cottage 25 plants 2 ac 1C ZP ZP ZP MUP
Specialty Outdoor
5,000 sq. ft. or 50
plants
3 ac 1 CUP ZP ZP CUP
Small Outdoor 5,001 - 10,000 5 ac 2 CUP ZP ZP CUP
Medium Outdoor 10,001 - 43,560 10 ac 3 CUP CUP CUP CUP
OUTDOOR CULTIVATION

10. INDOOR CULTIVATION

11. Land Use
MAXIMUM
CULTIVATION
AREA
(square feet)
LandIntensiveAgriculture
LandExtensiveAgriculture
DiverseAgriculture
ResourcesandRural
Development
IndustrialPark
LimitedUrbanIndustrial
HeavyIndustrial
LimitedRuralIndustrial
LIA LEA DA RRD MP M1 M2 M3
Cottage 500 ZP2
ZP ZP/2ac MUP ZP ZP ZP ZP
Specialty Indoor 501 - 5,000 CUP2
CUP2
CUP/2ac2
CUP2
MUP MUP MUP MUP
Small Indoor 5,001 - 10,000 — — — — MUP MUP MUP MUP
Medium Indoor 10,001 - 22,000 — — — — MUP MUP MUP MUP
 ZP- Permitted Use if standards met- CEQA exempt; Zoning Permit and Building Permit
 MUP- Minor Use Permit or Hearing Waiver, CEQA applies unless Cat Exempt: can add conditions
 CUP- Conditional Use Permit- noticed before Planning Commission; CEQA, can add conditions
INDOOR CULTIVATION

12. MIXED LIGHT CULTIVATION

13. Land Use
MAXIMUM
CULTIVATION
AREA (square
feet)
State
License
Type
LandIntensiveAgriculture
LandExtensiveAgriculture
DiverseAgriculture
ResourcesandRural
Development
LimitedUrbanIndustrial
HeavyIndustrial
LimitedRuralIndustrial
LIA LEA DA RRD M1 M2 M3
Cottage 2,500 1C ZP2
ZP ZP MUP CUP CUP CUP
Specialty Mixed
Light
2,501 - 5,000 1B CUP2
CUP CUP CUP CUP CUP CUP
Small Mixed Light 5,001 - 10,000 2B CUP2
CUP CUP CUP CUP CUP CUP
Medium Mixed
Light
10,001 - 22,000 3B — — — — CUP CUP CUP
 ZP- Permitted Use if standards met- CEQA exempt; Zoning Permit and Building Permit
 MUP- Minor Use Permit or Hearing Waiver, CEQA applies unless Cat Exempt: can add conditions
 CUP- Conditional Use Permit- noticed before Planning Commission; CEQA, can add conditions
MIXED LIGHT CULTIVATION

14. SUPPORT USES

15. LAND USE
State
License
Type
IndustrialPark
LimitedUrban
Industrial
HeavyIndustrial
LimitedRuralIndustrial
CommercialOffice
Neighborhood
Commercial
RetailBusinessand
Services
GeneralCommercial
LimitedCommercial
MP M1 M2 M3 CO C1 C2 C3 LC
Testing/Laboratories 8 MUP MUP MUP MUP — — — CUP CUP
Manufacturing
Level 1 - nonvolatile
solvents 6
MUP MUP MUP MUP — — — — —
Level 2 - volatile solvents 7 — — — — — — — — —
Dispensary/Retail Sales
Storefront and Delivery 10 — — — — — CUP CUP — CUP
Dispensaries 10A — — — — — CUP CUP — CUP
Distribution Facilities 11 MUP MUP MUP — — — — — —
Transportation
Facilities
12 MUP MUP MUP — — — — — —
 CUP- Conditional Use Permit- noticed before Planning Commission; CEQA, can add conditions
 2 Within existing previously developed areas or legally established structures built (finaled) prior to
January 1, 2016
MIXED LIGHT CULTIVATION

16. Personal Cultivation

17. Personal Cultivation
 100 sq. ft. per residence
 6 plant limit on nonmedical (Prop 64)
 No outdoor in multi-family, R2, R3
 Landlord approval required
 Shall not be visible
Medical- No Plant Limit
Recreational- 6 Plant Max
10 feet
10feet

18. COUNTY ORDINANCES
HEALTH ORDINANCES
 Applies to dispensary or edible
cannabis product
manufacturing sites
 Health and safety, advertising,
packaging

19. COUNTY ORDINANCES
TAX ORDINANCES
 Voter approved
 Tax on commercial cultivation
 Tax on all other cannabis businesses:
 Manufacturing
 Distribution
 Retail
 Dispensaries

20. 20
Education TA Workshop Series –
Dirt To Dispensary
1. Sonoma County Cannabis Program Overview
2. Cultivation 101
3. Ordinance Standards and BMP Compliance
4. Water and Wastewater
5. Cultivation Infrastructure
6. Manufacturing
7. Dispensaries
8. Energy
9. Taxation
10. Security

21. Sonomacounty.ca.gov/Cannabis
• Events
• New postings
• Sign up for updates

22. SONOMA COUNTY CANNABIS
WORKING GROUP
Members
 Agricultural
Commissioner
 County Administrator
 County Counsel
 Permit Sonoma
 Economic Development
Board
 Environmental Health
Tasks
 Discuss policy
 Discuss ordinance
implementation
 Phase 2

23. HOW ARE WE DOING?
 29 complete applications submitted
 20 outdoor applications
 12 are 10,000 sq. ft. or less
 8 are at or near one acre
 3 manufacturing applications
 1 distribution facility application
 3 mixed light greenhouse applications
 all 10,000 sq. ft.
 2 indoor applications
 One is 22,000 sq. ft.
 One is small
 Expect to issue first ZP in next 30-60 days
 Code Enforcement: 206 current cannabis cases (10 new complaints per week)

24. New Industry Events At County
Fairgrounds…
 Emerald Cup honors the best Northern
California cannabis farmers
24

25. County wineries and craft breweries
ponder possibility of pairing wine
and brews with cannabis
25

26. New business opportunities
valued in the millions of dollars
26

27. Packaging and distribution
27

28. Edibles market for medicinal and
recreational uses
28

29. Sonoma State University launches
professional cannabis business
series
29
“SSU positioning itself to
train and professionalize
the accompanying
workforce” says dean of
Extended Education.

30. Medicinal uses to treat pain and
other health related conditions
30

31. The End