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Home My WebLink About2011/07/12 Item 21CITY COUNCIL AGENDA STATEMENT ~~~ CITY OF CHULAVISfA July 12, 2011 Item No. 21 ITEM TITLE: CONSIDERATION OF AMENDING CHULA VISTA MUNICIPAL CODE SECTION 5.02.060 (BUSINESS LICENSE PROVISION) CLARIFYING THE REQUIREMENT FOR COMPLIANCE WITH FEDERAL LAW J , ,. SUBMITTED BY: CITY ATTORNEY'S OFFICE~-~- .. i REVIEWED BY: CITY MANAGER/J~~j~ Y 4/STHS VOTE: YES ^ NO BACKGROUND Chula Vista Municipal Code § 5.02.060 is a business license provision entitled "Issuance - Compliancewith state and local regulations required." This provision requires businesses who are issued Chula Vista business licenses to comply with state and local law and it states "No license issued under the provisions of this chapter shall be construed as authorizing the conduct or continuance of any illegal or unlawful business operated in contravention of any of the laws of the city or the state..." A reference to the requirement to also comply with federal law, while implicit, is not express in this provision. Staff feels that updating this provision to also include an express reference to compliance with federal law will provide it with greater clarity and enforceability with regard to businesses that operate in a manner contrary to federal law or that sell federally illegal products. Recently, community concerns have been raised with regard to the sales of artificial, synthetic marijuana commonly sold as "spice" incense. "Spice," and products like it, are legally marketed as natural incense "not for human consumption." However, spice is a synthetic blend of chemically treated leaves that is routinely smoked instead of being used as incense. Spice usually contains some addition of chemicals mimicking delta-9-tetrahydrocannabinol, or THC, the main psychoactive ingredient in cannabis. On March 1, 2011, the Drug Enforcement Administration used its emergency powers to ban five of the most popular chemicals in spice, citing multiple instances of spice users who were hospitalized with racing hearts and shortness of breath after smoking the mixture. "Spice" is marketed under numerous brand names, including "Spice Silver," "Spice Gold," "Spice Diamond," "Spice Tropical Synergy," "Spice Arctic Synergy," "Spice Gold Spirit," "PEP ~'~ 7/12/11, Item No. 21 Page 2 of 3 Spice," "PEPpourri," "K2," "Black Mamba," "Happy Shaman Herbs," "Genie," "Yucatan Fire," "Dream," "Ex-ses," "Blaze," "Spike 99," "Spark," "Fusion," "Magma," "Hard Core" and "Deliverance," as well as other names. Spice is generally packaged in two-inch by three-inch metallic packets containing approximately three grams of the substance. Three grams is enough to make five or six `joints." On the heels of one designer dmg comes another that experts are calling more dangerous, with side effects that can take days to wear off. Synthetic cocaine, being marketed and sold legally and locally as "bath salts" under such names as "Ivory Wave" or "Vanilla Sky," is stealing the headlines from synthetic marijuana for its toxic properties and cocaine-like high. These products are not in fact used as bath salts by knowing purchasers -but instead are snorted like cocaine or even used intravenously. This synthetic stimulant contains a chemical called mephedrone, made from a chemical which is based on compounds found in "khat," an East African plant that contains a natural stimulant. There are also other chemical compounds included in these products that are intended to mimic the effects of methemphatamine. According to federal statistics, in 2010 there were 310 cases reported to the American Association of Poison Control Centers specifically related to the bath salt type products. Nine deaths were reported in 2010 as a result of use of these products. In the first three months of 2011 over 1400 cases were reported. Many Chula Vista citizens have expressed concern about the sales of these products and the threat to the safety and health of their children and youth. Based on nationwide statistics there have been known deaths and serious injuries, including seizures and loss of consciousness, following the use of these products. One local case involved a Sweetwater High School student using spice which resulted in his cardiac arrest. The California Legislature does have pending bills establishing the illegality of these products, however, amending this code provision now would avoid staff waiting until the Legislature passed these bills to pursue enforcement action. Staff believes that clarifying this code provision is a necessary step in pursuing enforcement action either through business license revocation or civil proceedings relating to nuisances. Staff will continue to assess what measures are best for eliminating sales of these products within the City. This requested code alteration is merely the first step. The additional reference to compliance with federal law also reinforces the City's position that medical marijuana dispensaries, and related operations, that violate federal law are not permitted unless the City takes an affirmative action to amend its code to permit such uses. ENVIRONMENTAL REVIEW This proposed activity has been reviewed for compliance with the California Environmental Quality Act (CEQA) and it has been determined that the activity is not a "Project" as defined under Section 15378 of the State CEQA Guidelines because it will not result in a physical change in the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to the CEQA. Thus, no environmental review is necessary. 21-2 7/12/11, Item No. 21 Page 3 of 3 RECOMMENDATIONS Council Adopt The Ordinance Amending Chula Vista Municipal Code § 5.02.060 To Clarify The Requirement For Compliance With Federal Law. BOARDS/COMMISSION RECOMMENDATION N/A. The Public Safety Subcommittee intends to have a hearing on the issue of these products in the near future. DECISION MAKER CONFLICT Staff has reviewed the property holdings of the City Council Members and has found no property holdings within 500 feet of the boundaries of the property which is the subject of this action. FISCAL IMPACT None anticipated. ATTACHMENTS Ordinance. Prepared by: Chance Hawkins, Deputy Ctty Attorney, City Attorney's Office 21-3 ORDINANCE NO.2011- ORDINANCE OF THE CITY OF CHULA VISTA AMENDIlVG MUNICIPAL CODE SECTION 5.02.060 CLARIFYING THE REQUIREMENT FOR COMPLIANCE WITH FEDERAL LAW WHEREAS, the Chula Vista Municipal Code business license provisions do not specifically contain a requirement for compliance with federal law; and WHEREAS, the Chula Vista Municipal Code needs to be amended to clarify that a license holder must comply with every applicable law including federal regulations; and WHEREAS, Chula Vista citizens have complained to the City Council and the Public Safety Subcommittee about the significant health and safety threats posed to the community by illegal federal substances such a "spice" (artificial, synthetic marijuana disingenuously sold as incense) and hallucinogenic crystals or powders (products containing mephedrone and methylenedioxypyrovalerone [MDPV] disingenuously sold as "bath salts"); and WHEREAS, the Chula Vista Police Department recognizes that products containing substances that are declared illegal under federal law yet continue to be sold in City limits pose a public safety threat to the community and its youth; and WHEREAS, there have been cases of serious illness or death relating to the use of these products in California and nationwide; and WHEREAS, the Chula Vista Municipal Code needs to be updated to include language about compliance with federal regulations in order to provide City staff with more enforcement options to eliminate these sales within City limits and/or any other activity that violates federal law; NOW, THEREFORE, the City Council of the City of Chula Vista does, hereby, ordain as follows: SECTION I. That section 5.02.060 of the Chula Vista Municipal Code be amended to read as follows: 5.02.060 Issuance -Compliance with state,-axd-local and federal regulations required. No license issued under the provisions of this chapter shall be construed as authorizing the conduct or continuance of any illegal or unlawful business operated in contravention of any of the laws of the city or the state or the federal government. An applicant for a business license shall have the responsibility for obtaining any required state license, and the issuance of a license by the city shall not relieve an applicant from obtaining any and all other permits or licenses required by state,-car 7i~ local or federal laws. tJnless otherwise expressly provided by this code any business activity conducted within Citv limits in violation of federal state or local law is unlawful and is subject for enforcement Proceedings 3s authorized by this code including, but not limited to, civil penalties and abatement SECTION II. EFFECTIVE DATE. This ordinance will take effect and be in force thirty days after final passage. Presented by .~ ChanceHa~ ~ns Deputy City Attorney Approved as to form by !",^. F r• Gien Goo~ins /a~ Cily~Attorney 2.( -5