§ 1609. PERMIT APPLICATIONS.

(a) Application and Fee Required. Every Applicant for a Cannabis Business Permit shall:

(1) File an application with the Director upon a form provided by the Director;

(2) Provide such information as may be required by this Article 16 and any regulations promulgated thereto; and

(3) Pay a non-refundable application fee, unless the Applicant is eligible for a fee waiver or reduction, as authorized by ordinance.

(b) Information Required of All Applicants for Cannabis Business Permits. The application form for all Cannabis Business Permit Applicants shall require the Applicant to provide the following information and documentation:

(1) The name, street address, and parcel number of the business for which the permit is sought;

(2) The name, contact information, and address of the Applicant as follows:

(A) If the Applicant is a corporation, the name of the corporation as shown in its articles of incorporation; the date and place of incorporation; and the name and address of each officer or director;

(B) If the Applicant is a Person other than a publicly traded company, the name and address of every Person that directly or indirectly owns or controls 20% or more of the assets, ownership interests, or voting interests in that Person;

(3) The name of and contact information for the manager(s) who will, directly or through designees, be on the Premises during hours of operation;

(4) The name and address of each Person who appears on the business registration certificate for the Business for which a permit is sought;

(5) The name and address of each Person who has or will have authority or control over the Business and a brief statement of the nature and extent of such authority and control, if the Applicant has not otherwise provided this information in the application;

(6) The name, contact information, and address of the Person authorized to accept service of process;

(7) For all Owners, a complete set of fingerprints in the manner required by the Director for the purpose of conducting a criminal background check, and such additional information concerning the criminal histories of Owners, as may be required by the Director;

(8) Written verification that the owner of the real property where the Cannabis Business will be located has the authority to consent, and consents to its use as a Cannabis Business. Such written verification must be signed by the property owner or the owner’s agent, and must include the owner and agent’s contact information;

(9) Where the Applicant leases the Real Property, a copy of the lease;

(10) A determination from the Planning Department that the proposed use as a Cannabis Business is in compliance with the Planning Code;

(11) An Operations Plan that includes such information as may be required by the Director, including but not limited to:

(A) An odor mitigation plan;

(B) A Hazardous materials inventory;

(C) A power plan;

(D) A Security Plan;

(E) A track and trace compliance plan;

(F) A waste disposal plan; and

(G) A water management plan.

(12) For Applicants with 10 or more employees, each Applicant must agree that, as a condition of any permit awarded under this Article 16, the Applicant will enter into, and abide by the terms of, either of the following prior to the award of such a permit:

(A) A Labor Peace Agreement; or,

(B) A collective bargaining agreement with a Bona Fide Labor Organization.

(13) The Tax Collector account number associated with the Applicant’s business registration certificate issued by the Tax Collector in accordance with Article 12 of the Business and Tax Regulations Code;

(14) A copy of the Applicant’s Seller’s Permit, as may be required by Section 6067 of the California Revenue and Taxation Code, or where pending, proof of application therefor;

(15) A completed Permit Checklist upon a form provided by the Director;

(16) A detailed, scaled diagram of the proposed Premises that shows the boundaries of the property and all entrances, exits, interior partitions, walls, rooms, doorways, and common or shared entryways. The diagram must show the areas in which all Commercial Cannabis Activity will take place, including but not limited to areas where access will be limited to employees of the Cannabis Business and Customer access will be prohibited. If the proposed Premises consists of only a portion of property, the diagram shall reflect the Premises used for Cannabis activity and describe the use for the remaining portion of the property;

(17) Disclosure of all other previous and current Cannabis-related licenses and permits issued by or sought from the City, the State, and any out-of-state jurisdiction, including the date the permit or license was issued or denied, and the name of the permitting or licensing authority;

(18) A signed statement authorizing the Department of the Environment or, where applicable, the Public Utilities Commission to conduct an energy assessment within the first year of operation;

(19) A copy of a proposed Good Neighbor Policy, developed in consultation with the Office of Cannabis, under which the Applicant agrees to:

(A) Provide to residential and commercial neighbors located within 300 feet of the Cannabis Business the name, phone number, and email address of an onsite manager or community relations staff person who may be contacted concerning any problems associated with operation of the establishment;

(B) Maintain the Premises, adjacent sidewalk and/or alley in good condition at all times; and

(C) Prohibit loitering in or around the Premises, and post notifications on the Premises advising individuals of this prohibition.

(20) A staffing plan that includes an organizational chart, demonstrating the roles and responsibilities of each employee and the reporting structure;

(21) A Community Benefits Agreement for consideration by the Director that must, at a minimum:

(A) Commit to the development of a First Source Hiring Plan, as set forth in Section 1618 of this Article 16; and

(B) Describe the Applicant’s employment outreach, recruitment, and retention strategies for positions of employment not covered by the First Source Agreement; and

(C) Describe how the Applicant will work to encourage and support the establishment and growth of Equity Applicants, provide employment opportunities to persons that have been disproportionately impacted by the criminalization of Cannabis, and otherwise further the City’s equity goals.

(22) A statement from the Applicant that the Applicant will not Sell or maintain on the Premises Tobacco Products or alcoholic beverages;

(23) Documents demonstrating that the Applicant engaged in a Community Outreach Strategy to advise neighbors of its intent to seek a Cannabis Business Permit and to solicit input on its proposed Good Neighbor Policy. An Applicant’s Community Outreach Strategy must, at a minimum, address the requirements of subsection (b)(19)(A), include information about how neighbors may provide input on the content of the Applicant’s Good Neighbor Policy, and include sign-in sheets and minutes for any meetings held with neighbors. All materials and notices developed and distributed to neighbors by the Applicant as part of its Community Outreach Strategy must be translated into the languages required by the Language Access Ordinance, Administrative Code Chapter 91;

(24) For Applicants that submitted an Equity Plan, as set forth in Section 3322 of the Health Code, an Equity Progress Report describing the steps the Applicant has taken in compliance with and furtherance of its Equity Plan since its submission to the Director.

(25) Such further information as the Director requires regarding financial and lease arrangements, management authority, operational control of the Business or its Premises, or other matters, when such further information will assist the Director in his/her determination whether to grant or deny the permit;

(26) A statement signed by the Applicant under penalty of perjury, that the information provided is complete, true, and accurate; and

(27) A list of every Person with any financial, ownership, or other interest, as may be defined by the Director, in the Applicant, the proposed Cannabis Business, and any Owner of the proposed Cannabis Business, except that the Disrector may provide that remote or de minimis interests need not be disclosed.

(28) The Director may allow or require an Applicant to supplement, amend, or correct, any information provided under this Section 1609 within reasonable limits prescribed by the Director, without requiring a new application, except that an Applicant may not change the location of the Premises of the proposed Cannabis Business after the Premises have been inspected by the Office or a Referring Department.

(c) Additional Information Required of Applicants for Cannabis Cultivation Facility permits. In addition to the information required under subsection (b) of this Section 1609, an Applicant for a Cannabis Cultivation Facility permit shall also submit as part of its application:

(1) Copies of all documentation submitted to the State Licensing Authority in support of its application for a State Cannabis License authorizing the Cultivation and/or Processing of Cannabis;

(2) A statement declaring the Applicant is an “agricultural employer” as defined by the Alatorre-Zenovich-Dunlap-Berman Agricultural Labor Relations Act of 1975, California Labor Code Section 1140.4, to the extent not prohibited by law;

(3) Information demonstrating the size of the planned Canopy, by square footage of Cultivation and/or Processing area(s), as applicable;

(4) Indication on the diagram of the proposed Premises of the location of any Hazardous materials and water storage;

(5) For Applicants that will engage in the Cultivation of Cannabis, a Cultivation Plan containing such information as may be required by the Director, including but not limited to:

(A) A list of pesticides to be used and quantities of pesticides to be stored on the Premises;

(B) A list of fertilizers to be used and quantities of fertilizers to be stored on the Premises;

(C) A list of any Hazardous materials to be stored on the Premises, and the quantities thereof;

(D) A copy of the Applicant’s Hazardous materials plan; and

(E) A list of propagative materials to be used for Cultivation.

(6) For Applicants that will engage in the Cultivation of Cannabis, a Water Plan containing such information as may be required by the Director, including but not limited to:

(A) Identification of the water source and supplier;

(B) Where applicable, the point of diversion;

(C) A general description of the area in which the water will be used; and

(D) A description of all water conservation measures.

(7) For Applicants that will engage in the Processing of Cannabis, an Operations Plan containing such information as may be required by the Director, including but not limited to:

(A) Identification of the equipment to be used on the Premises;

(B) A list of any Hazardous materials to be stored on the Premises, and the quantities thereof; and

(C) A copy of the Applicant’s Hazardous materials plan.

(8) A Power Plan containing such information as may be required by the Director, including but not limited to:

(A) The name of the energy generation provider;

(B) An indication of the percentage of electricity supplied from California-eligible renewable and large hydroelectric sources; and

(C) A description of all planned energy efficiency measures.

(d) Additional Information Required of Applicants for Cannabis Manufacturing Facility permits. In addition to the information required under subsection (b) of this Section 1609, an Applicant for a Cannabis Manufacturing Facility permit shall also submit as part of its application:

(1) Copies of all documentation submitted to the State Licensing Authority in support of its application for a State Cannabis License authorizing the Manufacture of Cannabis;

(2) A Manufacturing Plan, containing such information as may be required by the Director, including but not limited to:

(A) A detailed description of all processes to be used for the extraction, packaging, and/or infusion of Cannabis;

(B) A list of any Hazardous materials stored on the Premises, and the quantities thereof;

(C) A copy of the Applicant’s Hazardous materials plan; and

(D) A description of all Cannabis Products that will be Manufactured on the Premises; and

(3) A statement from the Applicant acknowledging that non-Cannabis products will not be Manufactured on the Premises.

(e) Additional Information Required of Applicants for Cannabis Testing Facility permits. In addition to the information required under subsection (b) of this Section 1609, an Applicant for a Cannabis Testing Facility permit shall also submit as part of its application:

(1) Copies of all documentation submitted to the State Licensing Authority in support of its application for a State Cannabis Testing Laboratory License;

(2) Evidence that the Applicant has obtained or has applied for ISO/IEC 17025 accreditation;

(3) A signed statement attesting that the Applicant has no economic interest in any Cannabis Businesses other than testing laboratories, such as the one for which the permit is sought;

(4) A Laboratory Operations Plan containing such information as may be required by the Director, including but not limited to:

(A) A description of sampling methods to be used; and

(B) A description of the chain of custody controls to be used.

(f) Additional Information Required of Applicants for Cannabis Distributor permits. In addition to the information required under subsection (b) of this Section 1609, an Applicant for a Cannabis Distributor permit shall also submit as part of its application:

(1) Copies of all documentation submitted to the State Licensing Authority in support of its application for a State Distributor License authorizing the Distribution of Cannabis and Cannabis Products;

(2) A Distribution Plan containing such information as may be required by the Director, including but not limited to:

(A) Information identifying all locations where the Applicant will store Cannabis or Cannabis Products;

(B) The Vehicle Information Number for each vehicle that will be used to Distribute Cannabis and Cannabis Products, and proof of insurance therefor.

(3) A copy of the Applicant’s Cannabis Tax Permit, as may be required by Section 34014 of the California Revenue and Taxation Code, as may be amended from time to time, or if pending, proof of application therefor.

(g) Additional Information Required of Applicants for Cannabis Microbusiness permits. In addition to the information required under subsection (b) of this Section 1609, an Applicant for a Cannabis Microbusiness permit shall also submit as part of its application:

(1) Copies of all documentation submitted to the State Licensing Authority in support of its application for a Cannabis Microbusiness License; and

(2) All documentation and information set forth in subsections (c), (d), (f), and either (h) or (i) of this Section 1609.

(h) Additional Information Required of Applicants for Storefront Cannabis Retailer permits. In addition to the information required under subsection (b) of this Section 1609, an Applicant for a Storefront Cannabis Retailer permit shall also submit as part of its application:

(1) Copies of all documentation submitted to the State Licensing Authority in support of its application for a Retailer License.

(2) For Applicants that have held a valid Medical Cannabis Dispensary permit, documentation demonstrating whether the on-site Smoking of Cannabis was prohibited by the Planning Department or Planning Commission.

(3) A Storefront Cannabis Retailer Operations Plan containing such information as may be required by the Director, including but not limited to:

(A) A description of the methods to be used to secure against theft or misappropriation Cannabis Products that are not on display in the store; and

(B) A description of where and when shipments of Cannabis and Cannabis Products will be received, and the security measures that will be implemented to ensure the safety of the Retailer’s employees, and the public, and to protect against the theft of Cannabis and Cannabis Products;

(4) A description of how the Applicant will support the needs of Customers who qualify under California Health and Safety Code Sections 11362.7 et seq. to use Medicinal Cannabis, including but not limited to providing space where Customers may speak confidentially with employees of the Cannabis Business, and ensuring a sufficient supply of Medicinal Cannabis and Medicinal Cannabis Products;

(5) Indication of whether the Applicant intends to apply for a Cannabis Consumption permit, as set forth in Article 8A of the Health Code, and a description of the type(s) of Consumption that the Applicant proposes to allow on the Premises.

(6) A statement from the Applicant that the Applicant will not assign any name to the Cannabis Business that is likely to mislead members of the public into believing that the Cannabis Business is a business of a type that is legally permitted to sell products to minors, or is likely to entice minors to patronize the business.

(7) If the Applicant intends to Deliver Cannabis or Cannabis Products to Customers, the Applicant shall also provide:

(A) Information about the electronic platform, if any, to be used to receive and process orders for Cannabis and/or Cannabis Products;

(B) The Vehicle Information Number for each vehicle that will be used to Deliver Cannabis and Cannabis Products, and proof of insurance coverage therefor;

(C) A description of how the Applicant will confirm the age and identity of the Customer prior to and/or upon Delivery;

(D) A description of how the Applicant will confirm that a Customer is qualified under California Health and Safety Code Sections 11362.7 et seq. to use Medicinal Cannabis, prior to and/or upon Delivery of Medicinal Cannabis or a Medicinal Cannabis Product.

(E) A description of how the Applicant will track drivers and Delivery status.

(F) A statement from the Applicant affirming that the Applicant:

(i) Will provide training to all Delivery employees concerning the laws governing Sales and Deliveries of Cannabis and Cannabis Products;

(ii) Will take steps to ensure the personal safety of all Delivery employees; and

(iii) Understands that the Delivery of Cannabis or Cannabis Products by anyone other than an employee of the Applicant is a violation of this Article 16.

(8) If the Applicant intends to operate a Compassion Program, as set forth in subsection (aa) of Section 1618 of this Article 16, a description of the proposed terms and conditions of such program.

(i) Additional Information Required of Applicants for Delivery-Only Cannabis Retailer permits. In addition to the information required under subsection (b) of this Section 1609, an Applicant for a Delivery-Only Cannabis Retailer permit shall also submit as part of its application:

(1) Copies of all documentation submitted to the State Licensing Authority in support of its application for a license authorizing the Delivery and Sale of Cannabis and/or Cannabis Products to Customers.

(2) A description of how the Applicant will support the needs of Customers who qualify under California Health and Safety Code Sections 11362.7 et seq. to use Medicinal Cannabis, including but not limited to ensuring a sufficient supply of Medicinal Cannabis and Medicinal Cannabis Products.

(3) A “Delivery-Only Cannabis Retailer Operations Plan” containing such information as may be required by the Director, including but not limited to:

(A) Where applicable, a description of the protocols it intends to implement to separately store, sell, and tax Medicinal and Adult Use Cannabis and Cannabis Products;

(B) A description of where and when shipments of Cannabis and Cannabis Products will be received, and the security measures that will be implemented to ensure the safety of the Business’ employees, and the public, and to protect against the theft of Cannabis and Cannabis Products;

(C) Information about the electronic platform, if any, to be used to receive and process orders for Cannabis and/or Cannabis Products;

(D) The Vehicle Information Number for each vehicle that will be used to Deliver Cannabis and Cannabis Products, and proof of insurance coverage therefor;

(E) A description of how the Applicant will confirm the age and identity of the Customer prior to and/or upon Delivery;

(F) A description of how the Applicant will confirm that a Customer is qualified under California Health and Safety Code Sections 11362.7 et seq. to use Medicinal Cannabis, prior to and/or upon Delivery of Medicinal Cannabis or a Medicinal Cannabis Product;

(G) A description of how the Applicant will track Delivery employees and Delivery status; and

(H) A statement from the Applicant affirming that the Applicant:

(i) Will provide training to all Delivery employees concerning the laws governing Sales and Deliveries of Cannabis and Cannabis products;

(ii) Will take steps to ensure the personal safety of all Delivery employees; and

(iii) Understands that the Delivery of Cannabis or Cannabis Products by anyone other than an employee of the Applicant is a violation of this Article 16.

(j) Additional Information Required of Applicants for Cannabis Nursery permits. In addition to the information required under subsection (b) of this Section 1609 , an Applicant for a Cannabis Nursery permit shall also submit as part of its application:

(1) Copies of all documentation submitted to the State Licensing Authority in support of its application for a license authorizing the operation of a Cannabis Nursery.

(2) All documentation and information set forth in subsection (c) of this Section 1609.

(k) Upon receipt of an application for a Medicinal Cannabis Retailer or Cannabis Retailer permit, the Office of Cannabis shall post the name and location of the proposed Cannabis Business on its website, and shall update its website with information about the status of the application until such time as the application has been approved or denied. The Office of Cannabis shall also cause a notice to be posted on the site of the Premises associated with the aforementioned permit applications to notify neighbors that a Cannabis Business Permit is sought at that location, if such notice is not otherwise required by the Planning Code.

(Added by Ord. , File No. 171042, App. 12/6/2017, Eff. 1/5/2018; amended by Ord. , File No. 180321, App. 6/14/2018, Eff. 7/15/2018; Ord. , File No. 180912, App. 12/21/2018, Eff. 1/21/2019; Ord. , File No. 191174, App. 12/20/2019, Eff. 1/20/2020)