Memorandum
Date: June 2, 2026
To: The Honorable Lake County Board of Supervisors
From: Mireya G. Turner, Community Development Director
Patrick Sullivan, Treasurer-Tax Collector
Mary Claybon, Senior Planner
Subject: 1:00 P.M. - PUBLIC HEARING - Consideration of Draft Ordinance to Amend Chapter 21, Articles 18, 19 and 27 regarding Commercial Cannabis Regulation
Executive Summary: The Board has discussed and given direction on Article 27 amendments on March 10, and April 7, 2026. Changes to the permit requirements for cannabis retail businesses require amendments to Articles 18 and 19. Amendments to those sections of the Lake County Zoning Ordinance are itemized below, and attached as redlined versions of the articles and the draft Ordinance. An updated table describing the amendment and where to find the change in the Code is also attached, as well as the map of “FPZ” Farmland Protection Zone boundaries for the Board’s convenience. The Board requested clarification of the state’s position on cannabis cultivation on land within active Williamson Act contracts, which is also attached.
• Setback from hemp
• Removal of commercial cannabis cultivation from “SR” Suburban Reserve zoning district
• Cannabis Retail - permitting requirements
• Maximum canopy
• Applicant and Property Owner Identification and Background Check
• Background check review - responsible department
• Application processing pause due to active warrants
• Operating hours
• Opt Out and Reduced Canopy guidelines
• Removal of 10-year permit expiration and renewal requirements
• Setbacks from off-site residences
• Incomplete, Inactive and Abandoned applications
• Surety Bond
• Additional restrictions for greenhouses
• Commercial cannabis exclusion areas - adding Clear Lake
• Buffer from “FPZ” Farmland Protection Zone
• Anchor point foundations in “FPZ”
• Riparian setbacks - sync with state
• Annual Performance Reports - review
• Public access to Annual Performance Reports and Inspection Reports
• Adding Type 5 cultivation use permit
• Reduction in frequency of compliance site monitoring visits
One additional change is the removal of cannabis cultivation within the “SR” Suburban Reserve zoning district. The purpose of Suburban Reserve is for primary residential use with incidental and accessory agricultural use. It is not intended for commercial agriculture. There are no approved or pending cannabis cultivation applications within the Suburban Reserve zoning district. This proposed amendment resulted from Board discussion regarding setbacks from offsite residences.
Staff has conferred with the Treasurer-Tax Collector department regarding the measurement of cultivation canopy and cultivation area. CDD Staff measures canopy during a Compliance Monitoring Site Visit to ensure cultivation is taking place within the area approved in the use permit. The measurement also serves to inform the Treasurer-Tax Collector for assessment of the voter-approved cannabis cultivation tax.
In 2019, the measurement of cannabis canopy was the same at the state and county, “Canopy shall be calculated in square feet and measured using clearly identifiable boundaries of all area(s) that will contain mature plants at any point in time, including all the space(s) within the boundaries.” As the state moved to using RFID on the plant tags, the measurement process changed. CDD intended to adapt to the state’s measurement though we do not have access to that same RFID measurement. However, discussions with the Treasurer-Tax Collector department have shown that this adaptation may not benefit the County when measuring area for taxation purposes. The proposed amendment to Article 27 now reads, “Inspection Staff shall use the current State canopy calculation process for measurement of canopy, so long as the process does not conflict with canopy and cultivation area for local taxation purposes.” The Treasurer-Tax Collector has joined CDD for the presentation of this item to discuss this matter with the Board.
Recommended Action: Staff requests approval of the draft Ordinance for first reading (to be read in title only), and advancement to a future agenda for second reading and possible adoption.