FROM:
Planning Department
SUBJECT:
Title
Master Case (MCN) No. 25-0060 & Miscellaneous (MIS) No. 25-0010; A Resolution Revising Cannabis Hours of Operation
End
RECOMMENDATION:
Recommendation
Adopt Resolution No. 2025-088, Establishing Cannabis Hours of Operation; and,
Determine that these actions are not a project subject to the California Environmental Quality Act (CEQA)
End
COUNCIL GOALS:
- Promote economic development by concentrating on job creation.
- Promote economic development by pursuing business attraction, retention, and expansion.
- Promote economic development by being business friendly at all levels and striving to constantly improve the city's competitiveness.
- Promote economic development by developing regulations for retail cannabis operations.
DISCUSSION:
Background
On July 26, 2022, the City Council approved the addition of Chapter 33 – “Cannabis Businesses and Activities” to the Code of the City of Fontana (“Code”) and modification of Chapter 30 – “Zoning and Development Code” to provide for limited retail sales of commercial cannabis. Minor amendments were approved on October 25, 2022 to rename “commercial cannabis” to “cannabis retailer-storefront” and to make minor modifications to Chapter 33 related to phasing, authorization letters, and locations for permit applications along with limiting the number of permits to be issued to any applicant to one.
On January 24, 2023, as required by the Municipal Code, the City Council approved Resolution No. 2023-002, establishing the allowable hours of operation for cannabis retail storefront businesses.
Three cannabis retail storefront businesses have been approved to operate in the City of Fontana. Embarc and High Season are currently in operation and Catalyst has not yet begun operating.
Analysis:
Ordinance No. 1899, established the requirements for engaging in a commercial cannabis business within the City. The ordinance identified multiple steps that the city must complete prior to opening the application process. As part of the ordinance, the City Council must establish allowable hours of operation for cannabis businesses. Resolution No. 2023-002 established the allowable hours of operation as 9:00 am to 9:00 pm. Staff is now requesting that the City Council approve the attached Resolution revising the allowable hours of operation at 6:00 am to 10:00 pm, consistent with State of California law.
The adoption of the hours of operation for commercial cannabis businesses does not qualify as a project under the California Environmental Quality Act (“CEQA”). Notably, this action will not result in any direct or reasonably foreseeable indirect physical change in the environment. (State CEQA Guidelines, § 15378(a); see also State CEQA Guidelines, §§ 15060(c)(2)-(3).) This action does not approve any cannabis business and will not result in any construction, development, or any other action that could impact the environment.
FISCAL IMPACT:
The proposed resolution may result in increased tax revenues from Cannabis operators to the city, but such revenues have not been quantified.
MOTION:
Approve staff’s recommendation.