California Cannabis Coalition v. City of Upland

An initiative proposed to repeal an existing Upland ordinance banning medical marijuana dispensaries, to adopt regulations permitting and establishing standards for up to three dispensaries, and to require that each pay an “annual Licensing and Inspection fee” of $75,000. The petition requested a special election. The signatures of registered voters met the threshold for triggering consideration of the initiative (Elections Code 9214). The city accepted a certificate of sufficiency and was obligated to adopt the initiative without alteration, immediately order a special election, or order an agency report. It ordered a report, which concluded that the $75,000 “fee” would exceed the costs incurred from issuing licenses and annual inspections and that the excess would constitute a general tax, so the initiative could not be voted on during a special election but, under California Constitution article XIII C, had to be submitted at the next general election. The city council provided direction for submitting the initiative in November 2016, the next general election. The California Supreme Court held that that article XIII C does not constrain voters’ constitutional power to propose and adopt initiatives and that under article II, section 11 and Elections Code, the initiative should be submitted at a special election, Article XIII C does not limit voters’ “power to raise taxes by statutory initiative.” View "California Cannabis Coalition v. City of Upland" on Justia Law