17. Ordinance and Resolution Relating to Cannabis Consumption Lounges [In Lieu of Pass for Publication Ordinance to be Published in its Entirety] File ID: 2025-00916
On behalf of Capitol Compliance Management (CCM) and KOLAS dispensaries, I thank you for advancing the ordinance and resolution to establish cannabis consumption lounges. This is an important step in treating cannabis as a regulated and culturally integrated part of Sacramento life.
The City’s own 2022 EPS Comprehensive Cannabis Study confirmed that cannabis businesses have been a benign influence in their communities — they have not increased crime, depressed property values, or created unique environmental impacts. Today’s Title 17 proposals further reflect this reality, acknowledging that most cannabis land uses do not require exhaustive discretionary review.
Approving onsite consumption at dispensaries is an overdue recognition of cannabis as both a therapeutic herbal supplement and a recreational product embraced by adults across our city. Nearly everyone knows that cannabis use has long been ubiquitous at concerts and festivals — but always unsanctioned. That dynamic is bad for both groups: cannabis consumers are forced into informal, unregulated spaces, while attendees who dislike secondhand smoke are exposed unwillingly.
A better path is clear: regulated, permitted consumption in designated venues and events. This would allow adults to partake in safe, controlled environments while keeping other events family-friendly and smoke-free. Currently, the only sanctioned venue is Cal Expo — a facility far too large and unsuitable for the vast majority of cannabis-oriented cultural events.
Other jurisdictions have already adopted models for consumption venues and events. Sacramento does not need to reinvent the wheel. With today’s step, we urge the Council not only to adopt the permitting system for lounges but also to direct staff to begin work on a framework for cannabis consumption events — in private indoor facilities and at suitable outdoor venues. This will unlock the true economic and cultural potential of cannabis integration, allowing Sacramento to host diverse, vibrant events that both celebrate our community and respect public health.
Respectfully submitted,
Kevin W. McCarty
Director of Licensing & Compliance
Capitol Compliance Management
It's so disappointing the city's staff recommendations were disregarded on these proposed changes. Many promises were made by city staff, council, and cannabis businesses about how these businesses would help create jobs, be part of the community, give back their profits to non-profits, how taxes would allow higher enforcement of backyard grows and illegal operations, how easy it would be for code enforcement to come out for odor and nuisance complaints at these locations. The oversaturation of these businesses in certain communities is astounding - these communities did not get the benefits they were promised. No, I don't believe you.
Smoke is smoke—regardless of the device or description. Secondhand marijuana smoke contains hundreds of chemicals—just like secondhand tobacco smoke. Many of the chemicals in secondhand marijuana smoke are toxic and contain hazardous fine particles that pose a significant health risk to non-smokers.
Smoke-is-smoke--Employees & patrons protected by current smokefree laws may have their health put at risk by exposure
to marijuana smoke or vapor. Marijuana smoking or vaping should not be allowed in smokefree spaces.
Smoke-is-smoke--Nobody should have to breathe secondhand marijuana smoke or vapor at work, in public,or where they live.
Residents have seen the city fail to regulate cultivation. Now you want to allow cannabis lounges—without a proven enforcement plan, without working odor controls, and without addressing proximity to homes? This isn’t responsible governance.
The staff study fails to address how these lounges will impact nearby residential areas and other sensitive uses. That’s a major oversight. You can’t responsibly move forward without considering how this affects real people living right next door.
Cannabis smoke lounges will increase odor exposure, especially outdoors. With odor controls already failing, nearby residents will be the ones paying the price—again. The city needs real solutions, not recycled policy that doesn’t work.
Code enforcement has not enforced the current cultivation ordinance. If they’re not enforcing what’s already in place, what makes us think they’ll start now with cannabis smoke lounges? This is setting up another system destined to fail.
The city’s existing odor controls haven’t worked for marijuana cultivation—neighborhoods are still dealing with the smell. So how can we expect those same controls to work for smoke lounges, which produce even more direct, constant odor?
City Council Members
City of Sacramento
915 I Street
Sacramento, CA 95814
Dear Members of the City Council,
I am writing as a proud resident of Sacramento and a supporter of the local cannabis community to ask for your help in protecting an important opportunity for our city. A Therapeutic Alternative, a dispensary in our community, has been working diligently to create a serene and healing tea garden in the rear yard of their facility. This space is designed to provide a tranquil, educational environment for patients, particularly seniors, to learn about how cannabis can be integrated into their wellness routines. The tea garden would be discreet, not visible from the street, and would not allow onsite smoking or vaporizing, creating a respectful space for education and well-being.
When the City Council approved onsite consumption permits for dispensaries last year, it was a step toward providing safe, welcoming, and community-oriented spaces for patients. Former Council Member Valenzuela specifically amended the proposal to include provisions allowing for spaces like the tea garden, and the motion passed unanimously. This decision was not only a progressive step for Sacramento but also an acknowledgment of the therapeutic potential of cannabis in a controlled, thoughtful environment.
However, the newly proposed amendments to Title 17 now threaten to block this vital opportunity. A proposed restriction on school variances would unfairly exclude A Therapeutic Alternative from the permitting process, despite our dispensary's 15-year history of operating responsibly in proximity to a school. This potential change would not only undermine the careful planning and work already put into creating this space but would also deny patients in our community, especially seniors, access to a much-needed sanctuary for healing and education.
I strongly urge the City Council to reconsider these proposed amendments and allow A Therapeutic Alternative's tea garden to move forward as planned. It is crucial that we support initiatives that provide safe, educational, and health-focused spaces for patients in our community. Denying this opportunity would be a setback to the progress we have made in promoting responsible cannabis use and creating positive, inclusive spaces for Sacramento residents.
Thank you for your time and consideration. I appreciate your commitment to ensuring our city remains a place where all residents have access to safe, thoughtful, and inclusive spaces for healing.
Sincerely,
Daniel Chasco
Sacramento Resident
When our dispensary went through the Conditional Use Permit (CUP) process, the location was fully reviewed by staff and approved under the sensitive use standards in place at that time. We followed the rules as written, invested heavily in the site, and have operated responsibly ever since.
Since then, RCCG Assembly moved into the area and is now being identified as a sensitive use within our buffer zone. It’s important to point out that this use was established after our CUP approval and only operates briefly on Sunday mornings while remaining closed the rest of the week. With that limited presence and the fact that Crystal Nugs was already legally operating, it does not seem consistent with the intent of the ordinance to hold us back because of this change in our surroundings.
For context, I would also note that when Council first adopted onsite consumption permits last year, there was discussion about how to handle unique circumstances. At that time, an amendment was added to allow for the tea garden at A Therapeutic Alternative in East Sacramento, and that motion passed unanimously. This shows that Council has, on occasion, recognized the importance of flexibility in order to maintain fairness.
We also want to make clear that we support staff’s recommendation. Staff’s proposal provides clear standards, predictable outcomes, and avoids unnecessary complications that could harm businesses who have already complied in good faith.
Lastly, we strongly urge Council to adjust the pilot program timeline. As written, it ends on January 1, 2030, even though applications have not yet opened. To be fair, the clock should start once applications are accepted, ensuring operators actually get the full pilot period that was envisioned.
Crystal Nugs remains committed to being a responsible operator and a positive community partner. I respectfully ask Council to:
Ensure businesses are not restricted by sensitive uses that arrived after CUP approval.
Adopt staff’s recommendation as written.
Adjust the pilot program timeline so it begins at application intake, not retroactively.
Keep in mind that Council has previously shown flexibility can be an important part of a fair regulatory framework.
I am writing to respectfully request your thoughtful consideration in allowing the creation of a serene and healing tea garden in the enclosed rear yard of my dispensary, A Therapeutic Alternative, located at 3015 H Street in East Sacramento. This space would be discreet, not visible from the street, and would not permit onsite smoking or vaporizing.
I am requesting your input on the Agenda Item 16, regarding Amendments to Title 17 to include the position to allow non-conforming uses such as mine to go through the Planning Commission Conditional Use Permit and Public Hearing process, allowing my neighborhood to decide whether I should be allowed to provide this service or not.
When the City Council approved onsite consumption permits for dispensaries last year, I understood this decision as an opportunity for storefront dispensaries that meet regulatory requirements to provide safe, community-oriented spaces for consumers across various neighborhoods. Previous Councilmember Valenzuela, specifically made an amendment to the proposal to allow for our tea garden. The motion was passed unanimously.
However, recent proposed amendments to Title 17 jeopardize this opportunity. The proposed mandatory buffer zone regarding setbacks from sensitive uses would exclude A Therapeutic Alternative from the permitting process, despite our long-standing commitment to operating responsibly near many sensitive uses for the last 15 years.
For over 15 years, A Therapeutic Alternative has been a pillar of our community, fostering safety, support, and engagement. We have helped maintain security in our neighborhood, particularly during challenging times such as the pandemic, civil unrest, and the rise in homelessness. As active members of the McKinley East Sacramento Neighborhood Association’s Yellow Brick Road Project, our security team ensures the safety of children walking to and from Miwok Middle School. We have also established a direct line of communication with McKinley Montessori School, providing our security team's contact information—an invaluable resource that has been utilized on multiple occasions. Additionally, we take great pride in keeping our neighborhood clean through daily trash pickup, earning the appreciation of our neighbors.
As a medically focused dispensary, we primarily serve customers over the age of 60, operating with the professionalism and discretion of a doctor’s office. Our goal is to create a tranquil, educational environment where seniors can learn how to safely and effectively incorporate cannabis into their wellness routines.
This tea garden would align with the vision of other approved onsite consumption spaces in Sacramento while embodying the unique and compassionate ethos of A Therapeutic Alternative. Our motto, “We are the place you can send your mom to—and your mom’s mom,” reflects our unwavering commitment to creating a welcoming and supportive space for seniors. There is no other dispensary in Sacramento where older adults can feel as comfortable or receive the level of education and care that we provide.
Please do not go to Sun Spa, located at 6804 Fruitridge Rd #A
Sacramento, CA, 95820, as well as q spa, located at 4215 Norwood avenue, suite #12, sacramento, ca, 95838, They will all claim that they are too busy for you.
Re: File ID 2025-00925 – Ordinance Amending Title 17 (Cannabis Land Uses)
Dear Mayor and Councilmembers,
My name is Maisha Bahati, Co-Founder and CEO of Crystal Nugs, a CORE-certified social equity dispensary in Midtown Sacramento. In 2022, our dispensary was approved for a conditional use permit, and since then we have operated responsibly under City standards. We have already invested more than $70,000 into preparing a compliant lounge space, including ventilation upgrades, because we believe in this program and are committed to implementing it correctly.
As a CORE equity operator and Sacramento’s first Black woman dispensary owner, I know the barriers that small and equity businesses face. That’s why I support staff’s recommendation, which provides clarity, fairness, and enforceable standards for moving this program forward. At the same time, I also acknowledge the Planning and Design Commission’s approach creates a pathway through the CUP process for operators who face unique zoning challenges, such as proximity to churches. I believe either pathway can work, as long as equity operators like myself are not shut out of this opportunity.
I also recognize that another woman-owned dispensary, A Therapeutic Alternative, also faces a unique circumstances due to historic zoning and sensitive use buffers, and I support creating a fair pathway for them to be considered within this program.
Crystal Nugs is prepared and ready to lead by example and this ordinance will allow equity operators like myself, along with other committed businesses, to move Sacramento forward with safe and equitable on-site consumption lounges.
Respectfully,
Maisha Bahati
Co-Founder & CEO, Crystal Nugs
eComment received by the Office of the City Clerk
Mayor McCarty and Councilmembers,
On behalf of Capitol Compliance Management (CCM) and KOLAS dispensaries, I thank you for advancing the ordinance and resolution to establish cannabis consumption lounges. This is an important step in treating cannabis as a regulated and culturally integrated part of Sacramento life.
The City’s own 2022 EPS Comprehensive Cannabis Study confirmed that cannabis businesses have been a benign influence in their communities — they have not increased crime, depressed property values, or created unique environmental impacts. Today’s Title 17 proposals further reflect this reality, acknowledging that most cannabis land uses do not require exhaustive discretionary review.
Approving onsite consumption at dispensaries is an overdue recognition of cannabis as both a therapeutic herbal supplement and a recreational product embraced by adults across our city. Nearly everyone knows that cannabis use has long been ubiquitous at concerts and festivals — but always unsanctioned. That dynamic is bad for both groups: cannabis consumers are forced into informal, unregulated spaces, while attendees who dislike secondhand smoke are exposed unwillingly.
A better path is clear: regulated, permitted consumption in designated venues and events. This would allow adults to partake in safe, controlled environments while keeping other events family-friendly and smoke-free. Currently, the only sanctioned venue is Cal Expo — a facility far too large and unsuitable for the vast majority of cannabis-oriented cultural events.
Other jurisdictions have already adopted models for consumption venues and events. Sacramento does not need to reinvent the wheel. With today’s step, we urge the Council not only to adopt the permitting system for lounges but also to direct staff to begin work on a framework for cannabis consumption events — in private indoor facilities and at suitable outdoor venues. This will unlock the true economic and cultural potential of cannabis integration, allowing Sacramento to host diverse, vibrant events that both celebrate our community and respect public health.
Respectfully submitted,
Kevin W. McCarty
Director of Licensing & Compliance
Capitol Compliance Management
It's so disappointing the city's staff recommendations were disregarded on these proposed changes. Many promises were made by city staff, council, and cannabis businesses about how these businesses would help create jobs, be part of the community, give back their profits to non-profits, how taxes would allow higher enforcement of backyard grows and illegal operations, how easy it would be for code enforcement to come out for odor and nuisance complaints at these locations. The oversaturation of these businesses in certain communities is astounding - these communities did not get the benefits they were promised. No, I don't believe you.
On behalf of the Sacramento Metro Chamber, please see our attached comment letter regarding items 16 and 17. Thank you for your consideration.
Smoke is smoke—regardless of the device or description. Secondhand marijuana smoke contains hundreds of chemicals—just like secondhand tobacco smoke. Many of the chemicals in secondhand marijuana smoke are toxic and contain hazardous fine particles that pose a significant health risk to non-smokers.
Smoke-is-smoke--Employees & patrons protected by current smokefree laws may have their health put at risk by exposure
to marijuana smoke or vapor. Marijuana smoking or vaping should not be allowed in smokefree spaces.
Smoke-is-smoke--Nobody should have to breathe secondhand marijuana smoke or vapor at work, in public,or where they live.
eComment received by the City Clerk's Office.
Residents have seen the city fail to regulate cultivation. Now you want to allow cannabis lounges—without a proven enforcement plan, without working odor controls, and without addressing proximity to homes? This isn’t responsible governance.
The staff study fails to address how these lounges will impact nearby residential areas and other sensitive uses. That’s a major oversight. You can’t responsibly move forward without considering how this affects real people living right next door.
Cannabis smoke lounges will increase odor exposure, especially outdoors. With odor controls already failing, nearby residents will be the ones paying the price—again. The city needs real solutions, not recycled policy that doesn’t work.
Code enforcement has not enforced the current cultivation ordinance. If they’re not enforcing what’s already in place, what makes us think they’ll start now with cannabis smoke lounges? This is setting up another system destined to fail.
The city’s existing odor controls haven’t worked for marijuana cultivation—neighborhoods are still dealing with the smell. So how can we expect those same controls to work for smoke lounges, which produce even more direct, constant odor?
City Council Members
City of Sacramento
915 I Street
Sacramento, CA 95814
Dear Members of the City Council,
I am writing as a proud resident of Sacramento and a supporter of the local cannabis community to ask for your help in protecting an important opportunity for our city. A Therapeutic Alternative, a dispensary in our community, has been working diligently to create a serene and healing tea garden in the rear yard of their facility. This space is designed to provide a tranquil, educational environment for patients, particularly seniors, to learn about how cannabis can be integrated into their wellness routines. The tea garden would be discreet, not visible from the street, and would not allow onsite smoking or vaporizing, creating a respectful space for education and well-being.
When the City Council approved onsite consumption permits for dispensaries last year, it was a step toward providing safe, welcoming, and community-oriented spaces for patients. Former Council Member Valenzuela specifically amended the proposal to include provisions allowing for spaces like the tea garden, and the motion passed unanimously. This decision was not only a progressive step for Sacramento but also an acknowledgment of the therapeutic potential of cannabis in a controlled, thoughtful environment.
However, the newly proposed amendments to Title 17 now threaten to block this vital opportunity. A proposed restriction on school variances would unfairly exclude A Therapeutic Alternative from the permitting process, despite our dispensary's 15-year history of operating responsibly in proximity to a school. This potential change would not only undermine the careful planning and work already put into creating this space but would also deny patients in our community, especially seniors, access to a much-needed sanctuary for healing and education.
I strongly urge the City Council to reconsider these proposed amendments and allow A Therapeutic Alternative's tea garden to move forward as planned. It is crucial that we support initiatives that provide safe, educational, and health-focused spaces for patients in our community. Denying this opportunity would be a setback to the progress we have made in promoting responsible cannabis use and creating positive, inclusive spaces for Sacramento residents.
Thank you for your time and consideration. I appreciate your commitment to ensuring our city remains a place where all residents have access to safe, thoughtful, and inclusive spaces for healing.
Sincerely,
Daniel Chasco
Sacramento Resident
Good afternoon Councilmembers,
When our dispensary went through the Conditional Use Permit (CUP) process, the location was fully reviewed by staff and approved under the sensitive use standards in place at that time. We followed the rules as written, invested heavily in the site, and have operated responsibly ever since.
Since then, RCCG Assembly moved into the area and is now being identified as a sensitive use within our buffer zone. It’s important to point out that this use was established after our CUP approval and only operates briefly on Sunday mornings while remaining closed the rest of the week. With that limited presence and the fact that Crystal Nugs was already legally operating, it does not seem consistent with the intent of the ordinance to hold us back because of this change in our surroundings.
For context, I would also note that when Council first adopted onsite consumption permits last year, there was discussion about how to handle unique circumstances. At that time, an amendment was added to allow for the tea garden at A Therapeutic Alternative in East Sacramento, and that motion passed unanimously. This shows that Council has, on occasion, recognized the importance of flexibility in order to maintain fairness.
We also want to make clear that we support staff’s recommendation. Staff’s proposal provides clear standards, predictable outcomes, and avoids unnecessary complications that could harm businesses who have already complied in good faith.
Lastly, we strongly urge Council to adjust the pilot program timeline. As written, it ends on January 1, 2030, even though applications have not yet opened. To be fair, the clock should start once applications are accepted, ensuring operators actually get the full pilot period that was envisioned.
Crystal Nugs remains committed to being a responsible operator and a positive community partner. I respectfully ask Council to:
Ensure businesses are not restricted by sensitive uses that arrived after CUP approval.
Adopt staff’s recommendation as written.
Adjust the pilot program timeline so it begins at application intake, not retroactively.
Keep in mind that Council has previously shown flexibility can be an important part of a fair regulatory framework.
Thank you for your time and consideration.
I am writing to respectfully request your thoughtful consideration in allowing the creation of a serene and healing tea garden in the enclosed rear yard of my dispensary, A Therapeutic Alternative, located at 3015 H Street in East Sacramento. This space would be discreet, not visible from the street, and would not permit onsite smoking or vaporizing.
I am requesting your input on the Agenda Item 16, regarding Amendments to Title 17 to include the position to allow non-conforming uses such as mine to go through the Planning Commission Conditional Use Permit and Public Hearing process, allowing my neighborhood to decide whether I should be allowed to provide this service or not.
When the City Council approved onsite consumption permits for dispensaries last year, I understood this decision as an opportunity for storefront dispensaries that meet regulatory requirements to provide safe, community-oriented spaces for consumers across various neighborhoods. Previous Councilmember Valenzuela, specifically made an amendment to the proposal to allow for our tea garden. The motion was passed unanimously.
However, recent proposed amendments to Title 17 jeopardize this opportunity. The proposed mandatory buffer zone regarding setbacks from sensitive uses would exclude A Therapeutic Alternative from the permitting process, despite our long-standing commitment to operating responsibly near many sensitive uses for the last 15 years.
For over 15 years, A Therapeutic Alternative has been a pillar of our community, fostering safety, support, and engagement. We have helped maintain security in our neighborhood, particularly during challenging times such as the pandemic, civil unrest, and the rise in homelessness. As active members of the McKinley East Sacramento Neighborhood Association’s Yellow Brick Road Project, our security team ensures the safety of children walking to and from Miwok Middle School. We have also established a direct line of communication with McKinley Montessori School, providing our security team's contact information—an invaluable resource that has been utilized on multiple occasions. Additionally, we take great pride in keeping our neighborhood clean through daily trash pickup, earning the appreciation of our neighbors.
As a medically focused dispensary, we primarily serve customers over the age of 60, operating with the professionalism and discretion of a doctor’s office. Our goal is to create a tranquil, educational environment where seniors can learn how to safely and effectively incorporate cannabis into their wellness routines.
This tea garden would align with the vision of other approved onsite consumption spaces in Sacramento while embodying the unique and compassionate ethos of A Therapeutic Alternative. Our motto, “We are the place you can send your mom to—and your mom’s mom,” reflects our unwavering commitment to creating a welcoming and supportive space for seniors. There is no other dispensary in Sacramento where older adults can feel as comfortable or receive the level of education and care that we provide.
Please do not go to Sun Spa, located at 6804 Fruitridge Rd #A
Sacramento, CA, 95820, as well as q spa, located at 4215 Norwood avenue, suite #12, sacramento, ca, 95838, They will all claim that they are too busy for you.
Re: File ID 2025-00925 – Ordinance Amending Title 17 (Cannabis Land Uses)
Dear Mayor and Councilmembers,
My name is Maisha Bahati, Co-Founder and CEO of Crystal Nugs, a CORE-certified social equity dispensary in Midtown Sacramento. In 2022, our dispensary was approved for a conditional use permit, and since then we have operated responsibly under City standards. We have already invested more than $70,000 into preparing a compliant lounge space, including ventilation upgrades, because we believe in this program and are committed to implementing it correctly.
As a CORE equity operator and Sacramento’s first Black woman dispensary owner, I know the barriers that small and equity businesses face. That’s why I support staff’s recommendation, which provides clarity, fairness, and enforceable standards for moving this program forward. At the same time, I also acknowledge the Planning and Design Commission’s approach creates a pathway through the CUP process for operators who face unique zoning challenges, such as proximity to churches. I believe either pathway can work, as long as equity operators like myself are not shut out of this opportunity.
I also recognize that another woman-owned dispensary, A Therapeutic Alternative, also faces a unique circumstances due to historic zoning and sensitive use buffers, and I support creating a fair pathway for them to be considered within this program.
Crystal Nugs is prepared and ready to lead by example and this ordinance will allow equity operators like myself, along with other committed businesses, to move Sacramento forward with safe and equitable on-site consumption lounges.
Respectfully,
Maisha Bahati
Co-Founder & CEO, Crystal Nugs