WALLED LAKE CONSIDERS MEDICAL MARIJUANA LAW

The city of Walled Lake may be the first municipality in the lakes
area to enact an ordinance regulating the operation of medical
marijuana dispensaries.

Walled Lake City Council approved a first reading of an ordinance at
its June 15 meeting after tabling the initiative last month.

"A couple of businesses are looking at the possibility of coming into
the city, and that's why we need some regulation, otherwise the way
the zoning and planning are currently, we could have them come in
with no regulation at all," Mayor William Roberts said. "The
ordinance helps protect the community as a whole, and creates a
situation where the potential business must live up to state and
local ordinances."

The proposed ordinance amendment requires a local license to operate
a medical marijuana dispensary within the city and sets forth certain
operating standards.

"We're being proacative, just in case," council member John Owsinek
said. "We'll allow them but with good restrictions."

According to City Attorney Vahan Vanerian, due to the lack of
existing precedent regarding interpretation of Michigan's recently
enacted Medical Marijuana Act, there are limited state resources to
draw upon in preparing local ordinances.

"It's unprecedented in Michigan," said Vanerian. "All communities
addressing this are venturing into uncharted waters to try and
regulate it at the local level. Currently, there are no court
decisions applied to the statute in specific cases, and there is a
general lack of consensus among municipal attorneys that don't really
know the scope of permissible local regulation until cases make their
way through the judicial process."

The ordinance amendment was subsequently drafted, drawing upon local
ordinances from other states which have medical marijuana laws
similar to Michigan.

A medical marijuana dispensary is defined as any land, facility,
building or structure used, maintained, or occupied to sell, furnish,
dispense, distribute, prepare, process, cultivate, use, display or
exchange marijuana for a medical use by another, as provided and
authorized by the Michigan Medical Marijuana Act. A dispensary may
include one or more primary caregivers operating under a single
license, provided they each comply with the requirements of the act
and the local ordinance.

The ordinance further states that a person shall not engage in the
business or occupation of a medical marijuana dispensary within the
city without first obtaining a license by the city. It will only be
issued if it is located in a commercial or industrial zoning district.

The city manager is authorized to issue the license application as
long as it meets city guidelines.

A license shall not be issued or renewed unless it complies with
provisions, requirements, or restrictions arising under the Michigan
Medical Marijuana Act for cultivating, possessing, distributing,
furnishing, using, selling, or exchanging marijuana for a medical use.

Moreover, the dispensary cannot be located within 1000 feet of a
school or another dispensary.

The ordinance stipulates that the licensee, and all persons operating
under the license, must hold the city harmless of any claims,
damages, injuries, or liabilities that could arise out of related
acts, omissions, activities or conditions related to a licensed
medical marijuana dispensary.

A security plan must be in place. A dispensary must provide adequate
security and lighting on-site to ensure the safety of persons and
protect the premises from theft at all times. Usable marijuana on
site, when not actively dispensed or transported, must be kept or
stored within a secured, locked enclosure accessible only to
caregivers and/or qualifying patients as permitted under the Act.

The city opted to change initial language that stated that the
security plan would include but it would not be limited to, lighting,
alarms, barriers, recording and/or monitoring devices, security guard
arrangements and that the plan would require the inclusion of a
detailed description of all facilities and equipment as well as a map
of the boundaries, and procedures for documenting the source of the
marijuana to be dispensed, in addition to tracking procedures.

"They are still required to submit a security plan, but the security
requirements differ depending on the location and proposal. The city
will be looking at each proposal on a case-by-case basis to make sure
each site is safe," Vanerian said.

"The security plan is more than adequate, but it is a first reading,
and can be adjusted before it's adopted," Roberts said.

A criminal background investigation shall be conducted on each
individual identified in the application.

Initially the ordinance provided a provision that ensured periodic
inspections at the dispensary, but the language was modified in the revision.

"Originally we never put in an expiration date on the license, but
now they must be renewed annually," Vanerian said. "Therefore, when
the license expires it will be reviewed and inspected as part of the
renewal process."

It also addresses waste disposal procedures.

Hours of operation would be limited to Monday through Saturday, 10am
to 8pm and Sunday noon-7pm.

Any violation of the ordinance would be guilty of a 90-day
misdemeanor offense punishable by up to 90 days in jail, or up to a $500 fine.

City council plans to have a second reading of the ordinance on July
6, with adoption 21 days after publication.