Attachment B - Staff Report - Z-TA-4-20.pdf

City of Phoenix — Formal (2020-11-04)

View PDF Meeting page

Extracted text (via pymupdf) 5138 characters
Staff Report 
Zoning Ordinance Text Amendment 
TA-4-20 (Medical Marijuana Dispensary Size) 
July 1, 2020 
Application Z-TA-4-20:  Amend Chapter 6, Sections 623 (Commercial C-2 District – 
Intermediate Commercial) and 627 (Industrial A-1 District – Light Industrial District) of 
the Phoenix Zoning Ordinance to increase the maximum net floor area for nonprofit 
medical marijuana dispensaries.  
Staff recommendation:  Staff recommends approval of Z-TA-4-20 as shown in the 
recommended text in Exhibit A. 
PURPOSE/BACKGROUND 
The intent of this text amendment is to reassess the current zoning regulations for the 
size of non-profit medical marijuana dispensaries within Phoenix and update as 
necessary. 
The voters of the State of Arizona passed the Arizona Medical Marijuana Act (AMMA), 
Proposition 203, on November 2, 2010.  Jurisdictions adopted the local zoning 
regulations before the State rules were adopted.  Phoenix established a dispensary size 
limitation to be no larger than 2,000 square feet which includes all storage areas, retail 
and office space, patient lobby and check-in area, bathrooms, mechanical room, 
hallways, etc. This limits the retail space to between 700 and 900 square feet which is 
less than half of the allowable square footage. An increase in dispensary size will allow 
dispensaries to respond to a sustained increase in demand for medicine, improved 
patient privacy, and align the City’s size limitation for dispensaries with other 
jurisdictions and previous variance approvals. Two dispensaries were granted variances 
to increase the dispensary size from 2,000 to 5,000 square feet since 2019. Exhibit B 
provides a summary of other jurisdictions’ regulations for nonprofit medical marijuana 
dispensary sizes. Phoenix is currently at the lower end of the size restrictions while 
several cities do not limit dispensary sizes at all. 
The Arizona Department of Health Services has reported yearly increases in the 
number of registered patients and the amount of medical marijuana purchased since the 
passage of Proposition 203. Based on the numerous reviews of existing non-profit 
medical marijuana dispensaries, there are not significant public safety issues or 
detrimental effects from these establishments. The proposed amendment will not 
change the number of licensed non-profit medical marijuana dispensaries within 
Phoenix 
Attachment B

Staff Report: Z-TA-4-20 
July 1, 2020 
Page 2 of 4 
 
 
The Phoenix General Plan established Five Core Values for the city. One of the Core 
Values is Connecting People and Places. One of the goals this Core Value promotes 
the activation of underutilized property. The goal states, “vacant and underdeveloped 
land in the older parts of the city should be developed or redeveloped in a manner that 
is compatible with viable existing development and the long-term character and goals of 
the area.” Many of the non-profit medical marijuana dispensaries have located in 
existing vacant buildings in older parts of the city.   
 
Staff recommends an increase of the maximum net floor area for nonprofit medical 
marijuana dispensaries from 2,000 square feet to 5,000 square feet.  
 
Conclusion 
Staff recommends approval of Z-TA-4-20 as shown in the recommended text in Exhibit 
A. 
 
Writer 
T. Gomes 
7/1/20 
 
Exhibits 
A. Proposed Language 
B. Summary of other jurisdictions regulations

Staff Report: Z-TA-4-20 
July 1, 2020 
Page 3 of 4 
 
EXHIBIT A 
Text Amendment Z-TA-4-20: Medical Marijuana Dispensary Size  
 
Proposed Language: 
 
Amend Section 623.D.124.d (Commercial C-2 District – Intermediate Commercial) 
to read as follows:
* * * 
124. 
Nonprofit medical marijuana dispensary facility, subject to the following 
conditions and limitations; failure to comply with the below regulations and 
requirements is subject to revocation per Section 307.
* * *
 
d. 
Shall not exceed 2,000 5,000 square feet of net floor area dedicated 
exclusively to the nonprofit medical marijuana dispensary; this shall 
include all storage areas, retail space and offices for the nonprofit 
medical marijuana dispensary.
* * * 
Amend Section 627.D.92.c (Industrial A-1 District – Light Industrial District) to 
read as follows:
* * * 
92. 
Medical marijuana dispensary facility, subject to the following conditions and 
limitations; failure to comply with the below regulations and requirements is 
subject to revocation per Section 307:
* * * 
 
c. 
Shall not exceed 2,000 5,000 square feet of net floor area; this shall 
include all storage areas, retail space and offices.
* * *

Staff Report: Z-TA-4-20 
July 1, 2020 
Page 4 of 4 
 
 
EXHIBIT B 
Summary of other jurisdictions regulations 
 
SUMMARY OF MEDICAL MARIJUANA DISPENSARY SIZES
Jurisdiction
Dispensary Size
Phoenix
2,000 square feet 
Chandler
2,500 square feet
Flagstaff
No maximum size limit
Gilbert
3,000 square feet
Glendale
6,000 square feet
Mesa
2,500 square feet
Peoria
No maximum size limit
Scottsdale
No maximum size limit
Surprise
No maximum size limit
Tempe
5,000 square feet
Tucson
4,000 square feet
Maricopa County
No maximum size limit
Pima County 
2,000 square feet