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(a) Applications. All applications for any license authorized by this article shall be submitted to the local licensing authority upon forms provided by the local licensing authority and shall include such supplemental materials as required by the Colorado Medical Marijuana Code, the Colorado Retail Marijuana Code, and any of the rules and regulations adopted pursuant thereto. To the extent any of the foregoing supplemental materials have been included with the applicant's state license application and forwarded to the city by the state licensing authority, the local licensing authority may rely upon the information forwarded from the state without requiring resubmittal of the same materials in conjunction with the local license application. The local licensing authority may, at the authority's discretion, require additional documentation associated with the application as may be necessary to enforce the requirements of the Colorado Medical Marijuana Code, the Colorado Retail Marijuana Code and the City Code.

(b) Complete applications. For purposes of this article an application for a license authorized by this article shall not be considered complete until the local licensing authority has:

(1) Determined that all requirements of the application have been provided to the City;

(2) Received the local share of the application fee from the state and operating fee as authorized in this article; and

(3) Obtained all other information the local licensing authority determines necessary to make a decision whether to approve or deny the license application, or approve it with conditions.

(c) Review. The local licensing authority shall consider each application for a license authorized by this article.

(d) Initial approval or denial. Upon receipt of an application for a license authorized by this article the local licensing authority shall:

(1) Determine, in consultation with the planning department, whether or not the location proposed for licensing complies with any and all zoning and land use laws of the City, and any and all restrictions on location set forth in the City Code. If the local licensing authority makes an initial determination that the proposed license would be in violation of any zoning law or other restriction on location set forth in the City Code, the local licensing authority shall, no later than 45 days from the date the application was originally received by the local licensing authority, notify the state licensing authority and the applicant in writing that the application is disapproved by the City. The failure of the local licensing authority to make such a determination upon the initial review of the application shall not preclude the local licensing authority from later determining that proposed license is in violation of city zoning laws or any other restriction on location set forth in the City Code, and disapprove the issuance of a city license on this basis.

(2) For any application that is initially approved, as provided in paragraph (1) of this subsection (d), the local licensing authority shall notify the state licensing authority and the applicant in writing that the City's ultimate decision to approve or disapprove the issuance of the city license is subject to the completion of the local licensing process as set forth in the City Code, after which the city will notify the state licensing authority in writing of whether or not the license proposed in the application has or has not been approved by the City.

(e) Good moral character. Prior to issuance of a license authorized by this article, the local licensing authority shall make a finding and determination as to the good moral character of the applicant, the licensee, the officers, directors, owners, agents and employees in accordance with the standards and procedures set forth in the Colorado Medical Marijuana Code, the Colorado Retail Marijuana Code, and this article and the rules and regulations adopted pursuant thereto.

(f) Separate licenses. A separate license shall be required for each class of marijuana establishment license authorized by this article and each marijuana establishment geographic location as established by different street addresses.

(g) Issuance of a license. If after investigation the local licensing authority determines that:

(1) The applicant has met all the terms, conditions, provisions, and requirements imposed upon the applicant or the licensee by the applicable provisions of the Colorado Medical Marijuana Code, the Colorado Retail Marijuana Code, or the City Code and all the rules and regulations adopted pursuant thereto, and all applicable building, fire, health or zoning statutes, codes, ordinances, rules, or regulations adopted pursuant thereto related to the cultivation, processing, manufacture, storage, sale, distribution, testing, research, transporting, or consumption of any form of marijuana;

(2) The license application is complete and all requested supplemental documentation has been provided;

(3) The license application contains no fraudulent, misrepresented, or false statements of a material or relevant fact;

(4) All fees and late charges, if any, have been paid;

(5) The applicant has timely filed all tax returns as required by law in relation to the business for which the license is sought;

(6) The applicant is not overdue on his or her payment to the city of any taxes, fines, interest, penalties or collections costs assessed against or imposed upon such applicant in relation to the business for which the license is sought;

(7) The applicant, officers, directors, other owners, any person having a direct or indirect financial interest in the business, and agents or employees of the applicant are of good moral character;

(8) The applicant, officers, directors, other owners, any person having a direct or indirect financial interest in the business, and agents or employees of the applicant have not been convicted of a felony in the three years immediately preceding his or her application date or who is not currently subject to a sentence for a felony conviction;

(9) The applicant has made all the improvements to the licensed premises as required by the City Code or has an improvement implementation plan and timeline to make nonessential improvements to the premises or location approved by the local licensing authority; and

(10) The applicant is reasonably likely to begin operating the business within one year of the issuance of the license; then the local licensing authority shall issue the license sought, with or without terms and conditions being ordered upon the license, to the applicant for the use and the location identified in the license application as the situs of the business and notify the state the applicant has been issued a license.

(h) Denial of application. Each of the following, in and of itself, constitutes full and adequate grounds for denying an application:

(1) The applicant has not paid all applicable fees required by this article;

(2) The applicant has violated, does not meet, or has failed to comply with any provision of the applicable provisions in the Colorado Medical Marijuana Code, the Colorado Retail Marijuana Code, or the City Code or the rules and regulations adopted pursuant thereto, or any other applicable building, fire, health or zoning statute, code, ordinance, rule, or regulation adopted pursuant thereto related to the cultivation, processing, manufacture, storage, sale, distribution, testing, research, transporting, or consumption of any form of marijuana;

(3) The application contains false, misleading, or incomplete information;

(4) The applicant, or an officer, director, other owner, agent, employee, or any person having a direct or indirect financial interest in the business are not of good moral character after considering the factors in C.R.S. § 24-5-101(2);

(5) The applicant is not reasonably likely to commence operations within one year of the issuance of the license by the state;

(6) The applicant, or an officer, director, other owner, agent or employee, or any person having a direct or indirect financial interest in the marijuana establishment has been convicted of a felony in the three years immediately preceding his or her application date or who is currently subject to a sentence for a felony conviction;

(7) The applicant has failed to file any tax return as required by law in relation to the marijuana establishment for which the license is sought;

(8) The applicant is overdue on his or her payment to the city of any taxes, interest, penalties, and collection costs assessed against or imposed upon such applicant or licensee in relation to the marijuana establishment for which the license is sought;

(9) For good cause; and

(10) The applicant employs or intends to employ a person who has not submitted fingerprints for a criminal background check.

(i) Notice of denial. If after investigation the local licensing authority determines that the application will be denied then the local licensing authority shall:

(1) Deny the application based upon the information presented in the license application;

(2) Notify the applicant of the local licensing authority's decision of denial and the reasons for the denial; and

(3) Notify the state of the local licensing authority's decision to deny the application.

(j) Appeal. All decisions of the local licensing authority are final, subject only to an appeal and public hearing before the finance director if a petition for an appeal is received by the finance director within 20 days of the date on the notice of denial. Every petition for appeal shall set forth in writing the legal and factual support for the appeal. The finance director shall only consider those issues specifically addressed in the petition for appeal.

(k) Duty to supplement.

(1) If, at any time before or after a license is issued pursuant to this article, any information required by the Colorado Medical Marijuana Code, the Colorado Retail Marijuana Code, the City Code or any rule and regulation adopted pursuant thereto, changes from that which is stated in the application, the applicant or licensee shall supplement their application with the updated information within 10 days from the date upon which such change occurs.

(2) An applicant or licensee has a duty to notify the local licensing authority of any pending criminal charge and any criminal conviction for a crime of moral turpitude, or of a pending felony charge or felony conviction by the applicant, licensee, any owner, officer, director, manager, agent or employee of the applicant or licensee within 10 days of the event.

(l) Applications for new licenses where no building is as yet in existence.

(1) Any applicant for a marijuana establishment license whose building is not yet in existence at the time of the City's initial approval the applicant shall have one year immediately following the date of the City's initial approval to obtain the necessary city and state licenses, obtain a certificate of occupancy issued by the city and to commence business operations.

(2) Extensions of the time to approve a license application and commence business operations.

a. Whenever it appears the applicant shall not be ready to commence business operations within the prescribed one-year period, the applicant must file an affidavit of due diligence with the local licensing authority, within 30 days prior to the end of the one-year period, requesting an extension of time to complete the building, obtain the necessary licenses, obtain the certificate of occupancy and commence business operations. In the affidavit of due diligence the applicant shall be required to demonstrate to the local licensing authority the progress being made toward the completion of the building, the due diligence in obtaining the necessary licenses, obtaining the occupancy permit, complying with all applicable laws, rules and regulations, and the reasons why the building has not been completed. The affidavit of due diligence must be accompanied by an extension fee which is not refundable and such fee shall be established in accordance with the provisions of section 2-587.

b. The local licensing authority shall consider the applicant's affidavit of due diligence. If the local licensing authority is satisfied the applicant is diligently making progress toward the completion of the building, obtaining the necessary licenses, obtaining a certificate of occupancy, and will be reasonably likely to commence business operations within an additional one-year time period, the local licensing authority may extend the initial approval of the application for an additional period not to exceed one year. No more than one extension shall be granted under this subsection for a total of two years from the initial approval date.

c. If the local licensing authority is not satisfied the applicant is diligently making progress toward the completion of the building, or obtaining the necessary licenses, or obtaining a certificate of occupancy, or is not reasonably likely to commence business operations within an additional year, the local licensing authority shall not grant any extension of time to approve the application.

(3) If after one year when no extension has been granted, or if after two years when an extension has been granted, the construction of the proposed building has not been completed, the necessary licenses have not been issued to the applicant, the city has not issued a certificate of occupancy to the applicant, or the applicant has not commenced business operations, the licensing authority's initial approval of the license application shall expire. The applicant's failure to proceed with due diligence shall render the local licensing authority's prior initial approval null and void and shall constitute a denial of the license for failure to comply with the Colorado Medical Marijuana Code, the Colorado Retail Marijuana Code, the City Code, all the rules and regulations adopted pursuant thereto, and any other applicable state or local law or rule and regulation. The applicant shall not make new application for the same premises for the same type of license for a period of two years from the date of the denial of the license application.

(4) No license which has been approved for issuance upon completion of the premises shall be transferred to a new owner prior to the issuance of the license to the original applicant.

(m) No vested rights. Notwithstanding anything contained in this article, an applicant issued a license authorized by this article has no vested right to the license or the renewal of a license, and no property right in the license or the renewal of a license.

(n) Notices by e-mail. Except as otherwise specified by the Colorado Medical Marijuana Code, the Colorado Retail Marijuana Code, or the rules adopted pursuant thereto, all notices, orders and other communications required to be given to an applicant or a licensee under this article shall be sent via e-mail to the applicant or licensee at the e-mail address shown in the application on file with the local licensing authority of the City. The applicant or licensee has a duty to inform the local licensing authority of their current e-mail address and has an ongoing duty to notify the local licensing authority of any change in their e-mail address within one day of any change. The local licensing authority shall maintain a record of applicant's or licensee's e-mail address and shall store a copy of all e-mail communications with the applicant or licensee for a period of approximately two years. This storage record creates a presumption, and is prima facie proof, that any notice, order, or other communications was sent by the city and received by the applicant or licensee. (Ord. No. 2020-65, § 2, 12-21-2020; Ord. No. 2019-32, § 9, 7-15-2019; Ord. No. 2017-28, § 8, 8-7-2017; Ord. No. 2016-15, § 7, 6-20-2016; Ord. No. 2014-14, § 2, 5-12-2014)