There are Canna-Business Opportunities in Santa Rosa

Santa Rosa is accepting medical cannabis applications for Cultivation, Distribution, Manufacturing, Testing, and Transporting businesses. Dispensary applications are not being accepted. There is no limit on how many licenses will be offered. Rather, Santa Rosa is using the availability of real estate as the method to cap the market. 

To provide a status on medical marijuana businesses, the Santa Rosa Planning and Economic Development Committee published the Cannabis Permitting Update.  This report tracks the number of new medical cannabis businesses in Santa Rosa. Highlights of the report includes the following items:

• Santa Rosa has an approximate total of 10.3 million square feet of industrial space, with a vacancy rate of 5%.
• The total square footage of approved medical cannabis space accounts for 2.7% of the total space available.
• This 2.7% represents 16 cannabis business (276,548 square feet) that have received their land use permit. 
• With the 16 approved businesses, there are 19 additional cannabis businesses that have either gone through the pre-application process or have submitted an application for review.

For those who are looking to gain entrance into the Cannabis Industry, this city is an excellent place to secure a foothold in due to their friendly approach to marijuana businesses. The City of Santa Rosa is a leader in marijuana regulations allowing for an open market – due to these factors it is likely that in years to come, they will become a hub in the marijuana industry.  There are 3 steps to start your Cannabis Business in Santa Rosa.

1. Find an Open Parcel that Meets Zoning Requirements
2. Submit to the City a Conditional Use Permit
3. Apply for a Building Permit

Step 1: Find an Open Parcel that Meets Zoning Requirements

Despite low vacancy rates, Testing Labs may find opportunities to find real estate in the CO – Office Commercial Zone and Business Park.  Distributors or Manufacturers can apply for permitting in the Business Park, Light Industrial Zone, or the General Industrial Zone.

Applicants should avoid the Limited Light Industrial (-LIL) Combining District for medical cannabis commercial cultivation because Santa Rosa recently adopted an urgency which imposes a temporary moratorium in this district.

Full details regarding which license types can operate in each zone be found in the  Medical Cannabis Land Use Policy Chart . This contains a matrix which contains a matrix of license by zone. Applicants can also use a visual reference with the Map of Areas Zoned General Industry, Light Industry, Business Park, and Office Commercial. More details regarding zoning can be found on the city website under Commercial Cannabis Resources.
 
Step 2: Submit to the City a Conditional Use Permit

If you are able to find an open parcel that meets the criteria, the next steps to obtain cannabis permitting would be to file for a Conditional Use Permit.  Businesses that are less than 10,000 square feet will submit for a Minor Permit with a fee of $2,511 and business that are more than 10,000 square feet will submit for a Major Permit with a fee of $10,964. 

In addition to the fees, when submitting the CUP application, you must include the following:

• 10 copies of the Site Plan showing all dimensions
• 10 copies of Floor Plans
• 10 copies of the Neighborhood Context Map
• A disclosure form
• Vicinity Map with North Arrow
• Indemnification Form

For new construction, you must submit the following additional information:

• 10 copies of Dimensioned Elevations
• 10 copies of Site Analysis Map
• 10 copies of Landscape Plans
• An Environmental Assessment
• A Stormwater Determination Worksheet

Step 3:  Apply for a Building Permit

In parallel with the CUP submission, applicants must apply for a building permit. Applicants must adhere to the regulations of the City of Santa Rosa Building and Fire Division Requirements to gain approval and pass the inspection of medical marijuana-related occupancies.

Information regarding the Building Code Requirements, Accessibility Requirements, Fire Code Requirements, Electrical Code Requirements, Mechanical Code Requirements, Plumbing Code Requirements, Energy Code Requirements, and CalGreen Code Requirements can be found in the City of Santa Rosa Building and Fire Division Requirements. Below are the General Requirements and Medical Marijuana Regulation and Safety Act Permit Specific Requirements.

General Requirements

1. A building permit is required to verify occupancy for a medicinal marijuana facility, even if no improvements to the property are proposed. The building permit application must meet the City’s general building permit submittal requirements.
2. Construction plans and building permits are required per the California Building Code Section 105 when the owner or occupant intends to construct, enlarge, alter, remove, repair, demolish, or change the occupancy of a building or structure, or to erect, install, enlarge, alter, repair, remove, convert or replace an electrical, gas, mechanical or plumbing system, the installation of which is regulated by the Building and/or Fire Code, or to cause this work to be done.
3. The plans, when required, must be prepared by a licensed professional registered with the State of California and must address specific requirements for the use as outlined in the codes and standards adopted by the City of Santa Rosa and the State of California.
4. An application for a building permit will not be accepted for a medical marijuana related business without confirmation that all discretionary approvals have been obtained or a zoning clearance has been issued.
5. All Building permit design and supporting documentation is required to be prepared, stamp and signed by qualified design professionals licensed and registered by the state of California.
6. All construction and related work must be performed by contractors licensed by the State of California as general and/or specialty contractors for the specific discipline of work to be performed.
7. All design and construction shall be consistent with the provisions of the Santa Rosa City Code and the current edition of the California Building and Fire Codes as adopted by the California Building Standards Commission, and as amended by the Santa Rosa City Code.
8. A City of Santa Rosa building permit application form must be completed in its entirety and included with each submittal.
9. Codes and Standards regulating medical marijuana facilities currently adopted by the City of Santa Rosa include, but are not limited to:
   • a.California Building Code (CBC)
   • b.California Electrical Code (CEC)
   • c.California Mechanical Code (CMC)
   • d.California Plumbing Code (CPC)
   • e.California Energy Code
   • f.California Fire Code (CFC)
   • g.California Existing Building Code (CEBC)
   • h.California Green Building Standards Code (CalGreen) I. California Health and Safety Code (HS&C)
   • i.California Existing Building Code (CEBC)
   • j.National Fire Protection Association Standards (NFPA)
   • k.Medical Marijuana Regulation and Safety Act (MMRSA) M. Santa Rosa City Code (SRCC)
     
10. A project specific submittal package is required for each individual building and building address. A minimum of 5 sets of plan documents, 2 sets of Title 24 energy compliance documentation and 2 sets of CALGreen check lists for Tier 1 are required at time of submittal. Additional documentation may be required for structural modifications and/or additions to existing building or structures.
11. The plan review fees must be paid in full before the plans will be accepted for plan review.
12. Construction or work for which the permit is required shall be subject to inspection by the Building Official and such construction or work shall remain accessible and exposed for inspection purposes until approved. No construction shall commence prior to the issuance of a Building permit.
13. No building or structure shall be used or occupied, and no change in the existing occupancy classification of the building or structure or portion thereof shall be made, until the Building Official has issued a certificate of occupancy. Issuance of a certificate of occupancy shall not be construed as an approval of a violation of the provisions of applicable codes and standards or the other regulations of the City of Santa Rosa.
14. The owner/occupant is required to keep all City approved plans, specifications and related documents on the premises, in an easily accessible location for City inspection staff for the required inspections.

Medical Marijuana Regulation and Safety Act Permit Specific Requirements

The requirements in this section are related to specific permit types as outlined in the California State Medical Marijuana Regulation and Safety Act (MMRSA)

Cultivation Facilities (MMRSA permit types 1-4) – Annual Fire Department Operational Permit Required

1. Mixed use grow facilities are to meet CBC, Chapter 3 requirements based upon Use and Occupancy Classification for a Factory Industrial, F-1, Moderate-hazard Occupancy. CBC § 306.2.
2. Grow facilities for the exclusive use of plant production may be classified as a U occupancy and shall be consistent with the requirements of CBC Appendix C.
3. Grow rooms are considered wet locations as they are subject to wash down. Indoor wet location wiring methods shall meet requirements of CEC article 300.6.
4. Grow lights must be installed per the manufacture instructions and wired per CEC article 410
   1. Remote ballasts shall be installed as near to the lamp as practicable to keep the secondary conductors as short as possible. CEC article 410.144(B).
   2. Ballast secondary cord/conductors cannot pass through partitions and must be visible its entire length outside the fixture. CEC article 410.62(C)(1).
5. High-Intensity Discharge Lighting. Luminaires that use a Metal Halide lamp, other than a thick- glass parabolic reflector lamp (PAR), shall be provided with a containment barrier (LENS) on the fixture. CEC article 410.130(F)(5).
6. NM cable (Romex) is not allowed for use in damp locations (grow rooms) (CEC § 334.10). Approved wiring methods utilized in grow facilities in accordance with wet use “Wiring Methods and Materials”, (CEC Chapter 3).
7. Cultivation facility exhaust outlets must be located 10’ from the property lines, operable openings into the building and from mechanical air intakes (CMC § 506.9).
8. Cultivation area ventilation air rate shall be supplied with ventilation rate of 15 cfm/person for the number of occupants. The expected number of occupants shall be specified by the building designer or one half of the maximum occupant load assumed for egress purposes in the California Building Code, whichever is greater. (CMC table 402.1 footnote 4 & CEC subchapter 120.1(b).

Manufacturer Facility (MMRSA permit type 6-7) – Annual Fire Department Operational Permit Required

1. Volatile manufacturing (permit type 7) is not permitted in the City of Santa Rosa.
2. Facilities used for processing medical marijuana into foods, beverages, salves, inhalants, tinctures or other forms for human consumption or use are subject to review and approval by the Sonoma County Environmental Health Division. A separate permit application is required through their office.
3. Type 6 Manufacturing facilities are to meet CBC, Chapter 3 requirements based upon Use and Occupancy Classification for a Factory Industrial, F-1, Moderate-hazard Occupancy. CBC § 306.2.
4. Portions of the Marijuana Infused Product facilities may be considered a Hazardous Location based on the method used for the THC extraction and the amount of hazardous material stored. Full disclosure of the extraction process will be required at the time of building permit submittal.
5. Medical Marijuana manufacturing facilities shall submit as a part of their permit application a comprehensive description of the program and process proposed for the operation and production at the facility. The documentation shall, as applies, include all of the following:
   1. A plan that specifies all means to be used for extracting, heating, washing, or otherwise changing the form of the marijuana plant or for testing any marijuana or marijuana product, including a verification that such plan is in compliance with all applicable federal, state, and local laws and regulations governing ventilation and safety measures for each such process. Building and Fire Code Requirements for Page 13 Medical Marijuana Related Occupancies January 27, 2017
   2. A report from a California Registered Industrial Hygienist verifying that the plan submitted pursuant to subsection (1) and the improvements to be constructed adequately protects the facility and adjacent properties and persons, and complies with all applicable federal, state, and local laws and regulations.
   3. A description of all toxic, flammable, or other materials regulated by a federal, state, or local government that will be used, kept, or created at the facility, the quantities and location of such materials, and the manner in which such materials will be stored.
   4. A description of the processes used to extract or distill marijuana derivatives from their source and the processes used to incorporate marijuana derivatives into all retail marijuana products produced, including written verification from a California Registered Industrial Hygienist that such processes are in compliance with all applicable federal, state, or local laws or regulations.
6. Concentrations of grease, smoke, heat, steam or products of combustion created when medical marijuana is manufactured into products including, but not limited to, foods, beverages, salves, inhalants and tinctures are to be contained as detailed in the CMC §s 506 and 507 (Type I and Type II hoods).
7. Sanitation requirements for facilities used for processing medical marijuana into foods, beverages, salves, inhalants and tinctures shall meet the following guidelines that are to be detailed on the drawings submitted for review:
   1. Location of hand wash sinks.
   2. Hand sinks must be conveniently located for employees.
   3. Hand sinks shall only be used for hand washing (maximum water temperature of 110 degrees is to be maintained through an appropriate mixing valve).
   4. Sinks used for food or medicine preparation or for washing equipment shall not be used for hand washing.
   5. How dishes will be washed. CPC § 802.1 requires all food handling and health care related fixtures, devices, and equipment to discharge through indirect waste lines into a floor sink.
   6. Contact surfaces shall be smooth, free of breaks, open seams, cracks, chips, pits and similar imperfections, free from sharp internal angles, corners, crevices, finishes to have smooth welds and joints.
   7. Equipment containing bearings and gears shall be designed, constructed and maintained to ensure that it meets food and health requirements (washing machines are not listed for food or health related preparations).
   8. All rooms shall have sufficient ventilation to keep them free from excessive heat, steam, condensation, vapors, odors, smoke and fumes per CMC chapters 4 and 5.
   9. I. Table or counter mounted equipment shall be installed to facilitate the cleaning of the equipment and adjacent areas by being sealed to the surface or elevated by at least four inches.
   10. Three compartment sinks are required for washing, rinsing, and sanitizing equipment and utensils.
   11. At least one utility or mop sink must be provided.
   12. Garbage and refuse shall be stored in a manner to be inaccessible to insects and rodents.
   13. Floors shall be smooth, durable, nonabsorbent, light colored and maintained in good repair.
   14. Walls and ceilings must be smooth and easily cleanable.
   15. Hazardous materials waste discharge to the sanitary sewer is prohibited.
8. Infused product extraction and hazard containment equipment must be listed, labeled and installed per NEC 110.3 and CMC 301.4.
9. Storage, use and handling of compressed gases in compressed gas containers, cylinders, tanks and systems shall comply with CFC, NFPA Standards, H&SC and CCR, including those gases regulated elsewhere in this code. Partially full compressed gas containers, cylinders or tanks containing residual gases shall be considered as full for the purposes of the controls required. *Compressed gases classified as hazardous materials shall also comply with CFC Chapters 50 and 53 for general requirements and chapters addressing specific hazards, including Chapters 58 (Flammable Gases), 60 (Highly Toxic and Toxic Materials), 63 (Oxidizers, Oxidizing Gases and Oxidizing Cryogenic Fluids) and 41 (Pyrophoric Materials).

Testing/Laboratory (MMRSA permit type 8) – Annual Fire Department Operational Permit Required

1. Type 8 Testing/Laboratory facilities are to meet CBC, Chapter 3 requirements based upon Use and Occupancy Classification for a Business Group, B, Occupancy. CBC § 304.1.
2. Required hoods shall meet the requirements of CMC §s 506, 507 and 508.
3. Hazardous materials storage, use, handling and wastes shall be permitted and reported through the Fire Department prior to operation. Dispensaries (MMRSA permit type 10) Type 10.

Distributor (MMRSA permit type 11) - Annual Fire Department Operational Permit Required
Type 11 Distributor facilities are to meet CBC, Chapter 3 requirements based upon Use and Occupancy Classification for a Storage Group, S, Occupancy. CBC § 311.1.

1. Facilities that include storage and distribution of food products in non-combustible containers shall be classified in Occupancy Group S-2 “Low Hazard Storage”. CBC § 311.3.
2. Facilities that include storage and distribution of all other medical marijuana manufactured products shall be classified in Occupancy Group S-1 “Moderate Hazard Storage”. CBC § 311.2.

Transporter (MMRSA permit type 12)
Type 12 Transporter facilities are to meet CBC, Chapter 3 requirements based upon Use and Occupancy Classification for a Storage Group, S-1, and/or Business Group, B, Occupancy. CBC § 311.1.

1. Facilities that include storage, transfer and/or temporary warehousing of medical marijuana products shall be classified in Occupancy Group S-1.
2. Facilities that do not contain any storage, transfer or warehousing of products and consists of administrative offices shall be classified in Occupancy Group B.

​The City of Santa Rosa is paving the way to become a fully regulated and open cannabis market. For those who are seeking more information, the ordinance can be found in Chapter 10-40 of the City Code and applicants can reference the Medical Cannabis FAQ’s published by the city.