Arvin City Council
January 23, 2024

Reso Accepting work completed by Central Valley Asphalt and Filing Notice of Completion for Franklin St Improvements Project, Phase 2.

RESOLUTION NO. ___________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARVIN
ACCEPTING THE WORK COMPLETED BY DOUG ROSS, INC. DBA

CENTRAL VALLEY ASPHALT AND FILING THE NOTICE OF

COMPLETION FOR THE CITY OF ARVIN FRANKLIN STREET
RECONSTRUCTION PROJECT 18-CDBG-12902 (WALNUT DRIVE TO
STOCKTON AVENUE), PHASE 2.

WHEREAS, the City of Arvin desired to construct street improvements along Franklin Street between Stockton Ave and Walnut Dr.

WHEREAS, the project was awarded to Central Valley Asphalt on March 28, 2023 in the amount of $2,315,348.09; and
WHEREAS, five change orders were executed during this project; and

WHEREAS, the construction of the project was completed by Central Valley Asphalt on November 10, 2023; and
WHEREAS, the City Engineer and consultant Provost & Pritchard verified the completion of the project and the completion of paperwork is pending; and WHEREAS, the Contractor has provided a warranty to cover the costs to repair or replace improvements that are defective or found to have been improperly installed for a period of one year; and
WHEREAS, said warranty shall take effect upon approval by the City Council of this resolution on the date of the applicable council meeting; and WHEREAS, the City desires to accept the Franklin Street Improvement Project as complete.

NOW, THEREFORE, the City Council of the City of Arvin, hereby does resolve as follows:

1. The City Council accepts the work performed by Central Valley Asphalt for the Franklin Street Improvement Project as complete.

2. The City Council approves the change orders amount of negative $15,486.96. The total final project amount of $2,299,861.13.

3. The City Council authorizes the City Manager to execute the Notice of Completion and the City Clerk to file the Notice of Completion within 15 days of acceptance.

4. The City Manager is authorized to release the 5% retention to Central Valley Asphalt within 35 days after the filing of the Notice of Completion if no pending claims or liens are timely filed.

4.K.2
Attachment: Reso Accepting Work by CVA and Filing NOC for Franklin St Imp Project_012324 (Notice of Completion - Franklin St

Reso Accepting work completed by Central Valley Asphalt and Filing Notice of Completion for Franklin St Improvements Project, Phase 2.

I HEREBY CERTIFY that the foregoing resolution was passed and adopted by the City Council of the City of Arvin at a regular meeting thereof held on the 23 rd day January 2024 by
the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

ATTEST
CECILIA VELA, City Clerk

CITY OF ARVIN
By:

OLIVIA TRUJILLO, Mayor
APPROVED AS TO FORM:

By:

NATHAN HODGES, City Attorney
Hodges Law Group
I, ______________________________, City Clerk of the City of Arvin, California, DO HEREBY CERTIFY that the foregoing is a true and accurate copy of the Resolution passed and adopted by the City Council of the City of Arvin on the date and by the vote indicated herein.

4.K.2
Attachment: Reso Accepting Work by CVA and Filing NOC for Franklin St Imp Project_012324 (Notice of Completion - Franklin St Recording Requested By:

For the benefit of the

CITY OF ARVIN
When Recorded Mail to:

City of Arvin
City Clerk
200 Campus Drive
Arvin, CA 93203

NOTICE OF COMPLETION
NOTICE IS HEREBY GIVEN THAT:

1. The undersigned is OWNER or Agent of the OWNER of the interest or estate stated below in the property hereinafter described.

2. The FULL NAME of the OWNER is City of Arvin

3. The FULL ADDRESS of the OWNER is 200 Campus Drive, Arvin, CA 93203

4. The NATURE OF THE INTEREST or ESTATE of the undersigned is: In Fee. (if other than fee, Strike "In Fee" and insert, for example, "Purchaser under contract of purchase," or "Lessee.")

5. The FULL NAMES and FULL ADDRESSES of ALL PERSONS, if any, WHO HOLD SUCH INTEREST or ESTATE with the undersigned as JOINT TENANTS IN COMMON are:

Names
N/A
Addresses
N/A

6. The full names and full addresses of the predecessors in interest of the undersigned if the property was transferred subsequent to the commencement of the work of improvement herein referred to:

Names
N/A
Addresses
N/A

7. A work of improvement on the property hereinafter described was COMPLETED November 10, 2023

8. The work of improvement completed is described as follows: Franklin Street Reconstruction

9. The NAME OF THE ORIGINAL CONTRACTOR, if any, for such work of improvement is: Doug Ross, Inc. DBA Central Valley Asphalt

10. The street address of said property is: Franklin Street between Walnut Drive and Stockton Avenue.

11. The property on which said work of improvement was completed is in the City of Arvin County of Kern, State of California, and is described as follows:

Sidewalk, curb, gutter and street improvements on Franklin Street between Walnut Drive and Stockton Avenue.

Date Jeff Jones, City Manager
Verification for INDIVIDUAL owner
I, the undersigned, declare under penalty of perjury under the laws of the State of California that I am the owner of the aforesaid interest or estate in the property described in the above notice; that I have said notice, that I know and understand the contents thereof, and that the facts stated therein are true and correct.

Date and Place Signature of Owner named in paragraph 2
Verification for NON-INDIVIDUAL owner: I, the undersigned, declare under penalty of perjury under the laws of the State of California that I am the City Manager of the aforesaid interest or estate in the property described in the above notice; that I have read the said notice, that I know and understand the contents thereof, and that the facts stated therein are true and correct.

Date and Place Jeff Jones, City Manager
SUBSCRIBED AND SWORN TO before me on
Cecilia Vela, City Clerk Revised 9/22/2003

4.K.3
Attachment: Notice of Completion Franklin St Reconstruction Project Phase 2_012324 (Notice of Completion - Franklin St Reconstruction

Staff Report Unmet Transit Needs Hearing 2024

CITY OF ARVIN
Staff Report
Meeting Date: January 23, 2024
TO: Arvin City Council
FROM: Jeff Jones, City Manager / Finance Director
SUBJECT: A PUBLIC HEARING TO CONSIDER APPROVAL OF A RESOLUTION OF

THE CITY COUNCIL OF THE CITY OF ARVIN DECLARING THERE

ARE NO UNMET TRANSIT NEEDS THAT CAN BE REASONABLY MET

WITHIN THE CITY OF ARVIN
ISSUE
To consider public comments and establish a finding for unmet needs which are reasonable to meet in the public transportation system.

MOTION
Move to approve the resolution establishing the unmet and reasonable to meet transit needs finding.

RECOMMENDATION
Staff recommends that the City Council consider all public comments and City Council testimony during the public hearing and approve the resolution establishing the unmet and reasonable to meet transit needs finding.

BACKGROUND
The Transportation Development Act of 1971 (TDA), as amended, provides for the disbursement of funds from the Local Transportation Fund for various eligible transportation uses. The funds are distributed by the Kern Council of Governments (KCOG), in its capacity as the Regional Transportation Planning Agency. An eligible claimant wishing to receive TDA funding through KCOG must conduct an annual review of the transit needs of the individuals and groups in the community. A public hearing must be conducted to receive written and oral comments regarding any “unmet transit needs” and whether these are “reasonable to meet”.

An unmet need exist if an individual of any age or physical condition is unable to transport himself or herself due to deficiencies in the existing transportation system. Excluded are: 1) those request for minor operational improvements, and 2) those improvements funded and scheduled for implementation, in the following fiscal year.

An unmet need is “reasonable to meet” if it is (1) safe to operate and has adequate roadways for transit vehicles, (2) not a duplication of an existing transportation service, (3) a response to an existing need, not a future need, and (4) has the ridership to meet the legally required farebox requirements (Pub. Util. Code §§ 99268.2, 99268.5 and 21 CCR §§ 6633.2, 6633.5 with fares close to fares of similar service).

5.A.1
Attachment: Staff Report Unmet Transit Needs_012324 (Public Hearing - Unmet Transit Needs 2024) Page
2 of 2
Staff Report Unmet Transit Needs Hearing 2024

FISCAL IMPACTS
There are no budget impacts at this time.

ATTACHMENTS Resolution

5.A.1
Attachment: Staff Report Unmet Transit Needs_012324 (Public Hearing - Unmet Transit Needs 2024) Reso Declaring there are no unmet transit needs 2024.

RESOLUTION NO. ________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARVIN

DECLARING THERE ARE NO UNMET TRANSIT NEEDS THAT CAN

BE REASONABLY MET WITHIN THE CITY OF ARVIN
WHEREAS, Section 99238.5 of the Public Utilities Code requires the establishment and implementation of a citizen participation process to solicit input of transit dependent and transit disadvantaged persons, including the elderly, disabled, and persons of limited means; and WHEREAS, the City Council of the City of Arvin by way of this public hearing is complying with California Public Utilities Code 99238.5 in addressing any unmet transit need that can be reasonably met; and
WHEREAS, a public notice was given at least 30 days prior to this public hearing stating the date, place, time and specific purpose of the hearing and said public notice was published in the Bakersfield Californian newspaper; and
WHEREAS, for persons unable to attend the public hearing, the public notice provided for written and electronic comments to be received by the City Clerk; and WHEREAS, said public hearing was held at on January 23, 2024, at which time the Arvin City Council, after receiving all public testimony and any and all other public testimony (written and/or electronic) determined there were no unmet transit needs that be reasonably met.

NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Arvin finds that there are no unmet transit needs that are reasonable to meet. //////
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5.A.2
Attachment: Reso Unmet Transit Needs Hearing_012324 (Public Hearing - Unmet Transit Needs 2024) Reso Declaring there are no unmet transit needs 2024.

I HEREBY CERTIFY that the foregoing resolution was passed and adopted by the City Council of the City of Arvin at a regular meeting thereof held on the 23rd day of January 2024 by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

ATTEST
CECILIA VELA, City Clerk

CITY OF ARVIN
By:

OLIVIA TRUJILLO, Mayor
APPROVED AS TO FORM:

By:

NATHAN HODGES, City Attorney
Hodges Law Group
I, ______________________________, City Clerk of the City of Arvin, California, DO HEREBY CERTIFY that the foregoing is a true and accurate copy of the Resolution passed and adopted by the City Council of the City of Arvin on the date and by the vote indicated herein.

5.A.2
Attachment: Reso Unmet Transit Needs Hearing_012324 (Public Hearing - Unmet Transit Needs 2024) Kern Council of Governments
1401 19th Streets, Suite 300 Bakersfield CA 93301 661-635-2900 Facsimile 661-324-8215 TTY 661-832-7433 www.kerncog.org December 13, 2023
Mr. Jeff Jones
Acting City Manager
City of Arvin
200 Campus Drive
Arvin, CA 93203
Dear Mr. Jones
Kern COG staff is preparing for its annual unmet transit needs public hearing process for fiscal year 2023-24. Our goal is to collect necessary public hearing documents from each Kern County transit operator by the end of April 2024. An April completion date allows Kern COG sufficient time to present a summary report to the Social Services Transportation Advisory Committee (SSTAC) that subsequently must make a recommendation to the Kern COG Board of Directors in a duly noticed public hearing.

Kern COG staff requests several documents from each operator to assist staff in the preparation of its unmet transit needs public hearing report including 1) copies of staff reports prepared for the City Council or County Board Meetings; 2) copies of any communications from residents regarding unmet transit needs; 3) copies and proof of the public hearing advertisement; 4) adopted public hearing minutes; and 5) the adopting resolution. Staff would appreciate a copy of any brochure or flyer used to promote the public hearing. Advertisement for the public hearing must be published (in a newspaper of local circulation) no less than thirty (30) days prior to the meeting date.

Kern COG staff has prepared a calendar to track each transit operator’s scheduled unmet transit needs a hearing. As soon as your staff has selected a date, please contact us with that information. You may phone the undersigned at (661) 635-2918 or e-mail [email protected].

Sincerely,
Irene Enriquez
Regional Planner
cc: City Clerk, Finance Director, Grants Manager

5.A.3
Attachment: Letter from Kern COG re Unmet Transit Needs 2024 (Public Hearing - Unmet Transit Needs 2024)

PUBLIC HEARING NOTICE

TRANSIT UNMET NEEDS HEARING
The Arvin City Council will hold a public hearing on Tuesday, January 23, 2024, at 6:00p.m., to receive comments related to unmet and reasonable transit needs in the City of Arvin and the surrounding county areas serviced by the Arvin Transit System.

Kern Council of Governments is required to define “unmet needs” and “reasonable to meet”, and has defined them as follows:

Unmet Need:

An unmet need exists if an individual of any age or physical condition is unable to transport himself or herself due to deficiencies in the existing transportation system. Excluded are: 1) those requests for minor operation improvements, and 2) those improvements funded and scheduled for implementation, in the following fiscal year.

Reasonable to Meet:

A. Operational feasibility- The requested improvement must be safe to operate and there must be adequate roadways for transit vehicles.

B. Duplication of Service- The proposed service shall not duplicate other transit services.

C. Timing- The proposed service shall be in response to an existing, rather than a future need.

D. Service must meet the legally required farebox ratio. (Public Utilities Code Sections 99268.2, 99268.5 and 21 CCR Sections 6633.2, 6633.5 with fares close to fares of similar service.)
Citizens unable to attend the meeting may submit written and/or electronic comments up until 12:00pm on the date of the meeting to the City Clerk, City of Arvin, 200 Campus Drive, Arvin, CA 93203, [email protected].

Cecilia Vela, City Clerk
Published: Bakersfield Californian, December 18, 2023
City Council of the City of Arvin Public Hearing Information Date: January 23, 2024
Time: 6:00 PM
Place: City of Arvin Council Chambers
200 Campus Drive, Arvin, CA 93203

5.A.4
Attachment: Public Hearing Notice Unmet Transit Needs English and Spanish_CC Mtg of 012324_FINAL (Public Hearing - Unmet Transit Needs

NOTICIA DE AUDIENCIA PUBLICA

ASUNTO A TRATAR

NECESIDADES DE TRANSPORTE URBANO INCUMPLIDAS
El consejo de la Ciudad de Arvin conducira una audiencia publica el 23 de Enero 2024 a las 6:00 de la tarde. El proposito es para recibir comentarios del publico en general relacionados con las necesidades razonables de transporte urbano e incumplidas en la Ciudad de Arvin y otras poblaciones del condado de Kern, en las cuales el sistema de transporte urbano de la Ciudad de Arvin presta el servicio.

El Consejo de Gobernacion del Condado de Kern define “necesidades incumplidas” y “razonable de satisfacer” de la signiente manera:

Necesidad Incumplida:

Una necesidad incumplida existe, si una persona de cualquier edad o condicion fisica no es capaz transportarse por si mismo o por si misma debido a las deficiencias en el actual sistema de transporte urbano.

Excluyendo: 1) Peticiones menores para mejoras operacionales, y 2) Mejoras ya financiadas y programadas para su implementacion en el siguiente año fiscal.

Razonable de Satisfacer:

A. Viabilidad Operacional: Las Mejoras solicitadas deberan ser seguaras de operar y deben existir caminos adecuados para el transito vehicular.

B. Duplicacion de Servicio: El servicio que se proponga no debe duplicar otros servicios de transporte urbano.

C. Intervalos de Tiempo: El servicio propuesto debe ser en respuesta a una necesidad existente en lugar de a una necesidad futura.

D. El servicio debe cumplir con la racion legalmente establecida por ley, esto quiere decir que por cada Dolar que se invierta en el Sistema de Transporte Urbano un porcentage de cada dolar debe ser recuperado en las tarifas que se cobren, como se estipula en la Secciones 99268.2, 99268.5 del Comision de Utilidades Publicas pos sus siglas en Ingles (PUC) y en las Secciones 6633.2, 6633.5 del Codigo Administrativo de California pos sus siglas en Ingles (CAC) con cobros cercanos a tarifas para un servicio similar.

Personas incapaces de asistir pueden someter comentarios escritos y/o electrónicos hasta las 12:00p.m. en la fecha de la reunión. Atencion: City Clerk, City of Arvin, 200 Campus Drive, Arvin, CA 93203, [email protected].

Cecilia Vela, City Clerk
Published: Bakersfield Californian, December 18, 2023
Consejo de la Ciudad de Arvin - Audiencia Publica
Fecha: 23 de Enero 2024
Hora: 6:00 PM
Lugar: Cámara del Consejo de la Ciudad de Arvin
200 Campus Drive, Arvin, CA 93203

5.A.4
Attachment: Public Hearing Notice Unmet Transit Needs English and Spanish_CC Mtg of 012324_FINAL (Public Hearing - Unmet Transit Needs

Ord Amending Section 1.20.010 re places designated for posting.

ORDINANCE NO. ________

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARVIN
AMENDING ARVIN MUNICIPAL CODE CHAPTER 1.20.010 RELATED

TO PLACES DESIGNATED FOR POSTING PUBLIC NOTICES AND

POSTING OF AGENDAS RELATED TO MEETINGS SUBJECT TO THE
BROWN ACT.

WHEREAS, the City of Arvin (“City”) desires to amend, clarify and codify its Municipal Code Chapter related to public places designated as places for posting of public notices; and WHEREAS, the current Arvin Municipal Code Section 1.20.010 designates places that no longer exist, as the places for posting of public notices; and WHEREAS, this Ordinance amendment updates the Arvin Municipal Code to change locations of postings; and
NOW, THEREFORE, the City Council of the City of Arvin does hereby ordain as follows:

1. Section 1.20.010 of the Arvin Municipal Code is hereby adopted, amended and restated to read as follows:

1.20.010 Places designated.

The following public places in the city are designated as places for the posting of public notices:

A. City Hall/City Council Chambers;
B. Arvin Police Department;
C. Community Development Department;
D. City of Arvin Website
The following public places in the city are designated as places for the posting of agendas related to meetings subject to the Brown Act.

A. City Hall/City Council Chambers;
B. City of Arvin Website

2. The City clerk shall certify to the passage and adoption of this Ordinance and shall cause this Ordinance to be posted within 15 days after its passage, in accordance with Section 36933 of the Government Code.

3. Severability. If any section, subsection, sentence, clause, phrase, or word of this Ordinance is, for any reason, deemed or held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, or preempted by legislative enactment, such decision or legislation shall not affect the validity of the remaining portions of this Ordinance. The City

5.B.1
Attachment: Ordinance re Designated Places for Posting of Public Notices_012324 (Public Hearing - First Reading of Ordinance re Placed

Ord Amending Section 1.20.010 re places designated for posting.

Council of the City of Arvin hereby declares that it would have adopted this Ordinance and each section, subsection, sentence, clause, phrase, or word thereof, regardless of the fact that any one or more sections, subsections, clauses, phrases, or word might subsequently be declared invalid or unconstitutional or preempted by subsequent legislation.

4. This Ordinance shall take effect thirty days after its adoption pursuant to California Government Code section 36937.

5. The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same to be published or posted according to law.

I HEREBY CERTIFY that the foregoing Ordinance was introduced by the City Council after waiving reading, except by Title, at a regular meeting thereof held on the 23rd day of January 2024, and adopted the Ordinance after the second reading at a regular meeting held on the ______ day of ______________ 2024, by the following roll call vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

ATTEST
CECILIA VELA, City Clerk

CITY OF ARVIN
By:

OLIVIA TRUJILLO, Mayor

APPROVED AS TO FORM
By:

NATHAN HODGES, City Attorney
Hodges Law Group
I, _________________________, City Clerk of the City of Arvin, California, DO HEREBY CERTIFY that the foregoing is a true and accurate copy of the Ordinance passed and adopted by the City Council of the City of Arvin on the date and by the vote indicated herein.

5.B.1
Attachment: Ordinance re Designated Places for Posting of Public Notices_012324 (Public Hearing - First Reading of Ordinance re Placed

CC Report Ord Amending Title 8 to permit outdoor commercial cannabis.

CITY OF ARVIN
Staff Report
Meeting Date: January 23, 2024
TO: Arvin City Council
FROM: Chris Soriano, City Planner
Jake Raper, Contract Planner
Jeffrey Jones, City Manager/Finance Director
SUBJECT: A Public Hearing to Consider Introduction of An Ordinance of the City Council of the City of Arvin Amending Ordinance 2022-479 Which Established Title 8, Chapter 8.29, Section 8.29.05 Commercial Cannabis Activity of the Arvin Municipal Code to Address the Outdoor and Mixed-Cultivation of Commercial Cannabis and Acceptance of the California Environmental Quality Act (CEQA) Notice of Exemption.

BACKGROUND:

The City Council adopted Ordinance No. 479 on March 22, 2022, establishing Chapter 8.29 Marijuana, Section 8.29.05 Commercial Cannabis Activity and said Ordinance became effective on April 22, 2022. The City Council is requested to further amend Ordinance No. 2022-479 to permit a limited number of Outdoor and Mixed-Cultivation of Commercial Cannabis.

DISSCUSSION:

The ordinance amendment will authorize the issuance of Commercial Cannabis Permits for Outdoor and Mixed-Cultivation of Commercial Cannabis in the Industrial and Agricultural zone districts of the city. The location and operational requirements proposed will ensure that the activity will not be of disruptive use. The number of outdoor grows is limited to ten (10) permits in 2024 with additional permits available during the pursuing years. The minimum acreage for an outdoor cultivation is one (1) gross acre. Increased setbacks and operational requirements are proposed by the ordinance are increased from 600 feet to 1500 feet from sensitive uses to ensure that the outdoor operations do not impact adjacent land uses. New definitions are added per the State of California statutes that define associated outdoor cultivation and Section 8.29.05.115 Outdoor Cultivation of Commercial Cannabis establishes the rules and regulations for Outdoor Cultivation. A new annual fee is proposed of $25,000.00 per gross acre for Outdoor Cultivation, which is in addition to the adopted tax rate established under Chapter 3.19.

The proposed amendments that are inserted to the existing text have been underlined and highlighted in yellow so that the proposed amendments may be distinguished from the existing ordinance.

ENVIRONMENTAL:

The proposed ordinance amendment is exempt from the California Environmental Quality Act ("CEQA") because it can be seen with certainty that there is no possibility that it will have a significant effect on the environment, as this Ordinance merely amends the Arvin Municipal Code to establish new and amended procedures and requirements for the permitting and regulation of

5.C.1
Attachment: 1-Staff Report AMC 8.29.05 re Outdoor Commercial Cannabis Updat_First Reading CC Mtg 012324 (Public Hearing - First Reading

CC Report Ord Amending Title 8 to permit outdoor commercial cannabis. certain commercial cannabis activities, the environmental impacts of which will be assessed on a use-specific basis. (CEQA Guidelines § 15061(b)(3)). Furthermore, the City Council finds and determines the Ordinance would also be subject to Categorical Exemptions under CEQA Guidelines sections 15307 and 15308, as it consists of regulations and restrictions on activities to assure the maintenance, restoration, or enhancement of natural resources and the environment by prohibiting environmentally destructive components of unregulated cannabis cultivation. (CEQA Guidelines §§ 15307 and 15308.) Finally, none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines Section 15300.2 apply to this Ordinance. Upon adoption of the ordinance, it is recommended that the City Clerk file the Notice of Exemption with the Kern County Clerk’s Office and file the Notice of Exemption with the State of California Office of Planning and Research.

RECOMMENDATION:

Staff recommends the City Council open the hearing, allow for public testimony, close the hearing, waive first reading of the Ordinance, and approve the introduction of an Ordinance of the City Council of the City of Arvin Amending Ordinance 2022-479 Which Established Title 8, Chapter

8.29, Section 8.29.05 Commercial Cannabis Activity of the Arvin Municipal Code To Address the Outdoor and Mixed-Cultivation of Commercial Cannabis.

FISCAL IMPACT:

There were consultant staff costs involved in the preparation of the Ordinance amendment. A separate fee and cost recovery for all Commercial Cannabis applications were previously adopted and the application fee and cost recovery fees are anticipated to be full cost recovery for future Commercial Cannabis applications. The overall impact of the Ordinance is anticipated to have a positive financial impact by encouraging an increase in retail sales tax. In addition, the existing ordinance requires the forward payment of $25,000.00 annually for each Outdoor Commercial Cannabis permit issued by the City Manager. This payment is to be credited against the future Commercial Cannabis Tax as established by Tile III, Chapter 3.19 Commercial Cannabis Tax, if operational the first year. In addition, in as much as the City has limited the total outdoor cultivation to ten (10) permits for 2024, the failure to implement and operate an approved Commercial Cannabis permit within two (2) years the forward payment will not be entitled to a refund.

EXHIBIT:

1. An Ordinance of the City Council of the City of Arvin Amending Ordinance 2022-479 Which Established Title 8, Chapter 8.29, Section 8.29.05 Commercial Cannabis Activity of the Arvin Municipal Code to Address the Outdoor and Mixed-Cultivation of Commercial Cannabis.

ATTACHMENTS:
1- Inserted Proposed Text Amendments to Ordinance No. 479. 2- Public Hearing Notice: On file at the City Clerk’s Office. 3- Notice of Exemption – Outdoor and Mixed-Cultivation Commercial Cannabis – On file at City Clerk’s Office.

5.C.1
Attachment: 1-Staff Report AMC 8.29.05 re Outdoor Commercial Cannabis Updat_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
ORDINANCE NO. ________

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARVIN
AMENDING ORDINANCE 2022-479 WHICH ESTABLISHED TITLE 8,
CHAPTER 8.29, SECTION 8.29.05 COMMERCIAL CANNABIS ACTIVITY

OF THE ARVIN MUNICIPAL CODE TO ADDRESS THE OUTDOOR AND
MIXED-CULTIVATION OF COMMERCIAL CANNABIS.

WHEREAS, the City of Arvin ("the City") has the authority under Article XI, Section 7 of the California Constitution, to enact regulations for the public peace, morals, and welfare of the City; and
WHEREAS, in 1996, with the adoption of Proposition 215, the California voters approved the Compassionate Use Act (Health and Safety Code § 11362.5) to ensure that seriously ill Californians have the right to obtain and use cannabis for medical purposes where that medical use is deemed appropriate and has been recommended by a physician, without fear of criminal prosecution under limited, specified circumstances; and WHEREAS, in 2004, the State Legislature enacted SB 420, the Medical Marijuana Program Act (Health and Safety Code § 11362.7 et seq.), clarifying the scope of the Compassionate Use Act, providing additional statutory guidance regarding medical cannabis use, and allowing cities and counties to adopt supplemental rules and regulations; and WHEREAS, on October 9, 2015, the Governor signed the Medical Marijuana Regulation and Safety Act ("MMRSA"), comprised of California legislative bills AB 243, AB 266, and SB 643, creating a comprehensive state licensing system for the commercial cultivation, manufacture, retail sale, transport, distribution, delivery, and testing of medicinal marijuana, all subject to local control; and
WHEREAS, on June 27, 2016, the Governor signed SB 837, changing the title of MMRSA to the Medical Cannabis Regulation and Safety Act ("MCRSA"), changing the terminology therein from "medical marijuana" or "marijuana" to "medical cannabis" or "cannabis," and making other technical changes thereto. SB 837 also adopted regulations relating to the use and diversion of water in connection with the cultivation of cannabis; and WHEREAS, at the November 8, 2016, general election, the California voters approved Proposition 64, the Control, Regulate and Tax Adult Use of Marijuana Act ("AUMA"), establishing a comprehensive regulatory and licensing scheme for commercial recreational (adultuse) cannabis operations, and legalizing limited personal adult-use cannabis use, possession, and cultivation; and
WHEREAS, on June 27, 2017, Governor Brown signed Senate Bill 94, the Medicinal and Adult Use Cannabis Regulation and Safety Act ("MAUCRSA"), which merged the regulatory regimes of MCRSA and AUMA; and
WHEREAS, MAUCRSA, at Business & Professions Code §26050, establishes 20 different types of state licenses, including permit types pertaining to cannabis cultivation, manufacturing, testing, retailing, and distribution, which medicinal and adult-use cannabis

5.C.2
Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
businesses must obtain, depending on the nature of the cannabis business, in order to operate legally in the State; and
WHEREAS, MAUCRSA, at Business & Professions Code §26200(a)(1), provides that local jurisdictions may adopt and enforce local ordinances to regulate or prohibit any or all types of medicinal and adult-use business operations licensed by the state under Business & Professions Code §26050, including, but not limited to, by imposing local zoning and land use requirements; and
WHEREAS, MAUCRSA, at Business & Professions Code §26055(d), provides that a State commercial cannabis license may not be issued to an applicant whose operations would violate the provisions of any local ordinance or regulation; and WHEREAS, MAUCRSA, at Business & Professions Code §26201, provides that any standards, requirements, and regulations regarding health and safety, environmental protection, testing, security, food safety, and worker protections established by the state for the various types of medicinal and adult-use commercial cannabis operations licensed by the state under Business & Professions Code §26050 shall be the minimum standards, and that a local jurisdiction may establish additional or more stringent standards, requirements, and regulations; and WHEREAS, pursuant to MAUCRSA, the California Bureau of Cannabis Control ("BCC"), Department of Food and Agriculture ("CDFA"), and Department of Public Health ("CDPH") adopted emergency regulations which establish additional State license types and specify the process and requirements for obtaining state licenses to engage in all types of commercial medicinal and adult-use cannabis activities in the State of California ("Regulations"); and
WHEREAS, the Regulations were approved by the State Office of Administrative Law on December 7, 2017; and
WHEREAS, the BCC is now accepting applications for temporary and annual state licenses for commercial cannabis retailers, distributors, microbusinesses, testing laboratories, outdoor grows, and cannabis events; and
WHEREAS, the CDPH is now accepting applications for temporary and annual state licenses for commercial cannabis manufacturers; and
WHEREAS, the CDFA is now accepting applications for temporary and annual state licenses for commercial cannabis cultivators, nurseries and processors; and WHEREAS, several California cities have reported negative impacts of cannabis cultivation and related activities, including but not limited to offensive odors, criminal activity, (such as trespassing, theft, violent robberies and robbery attempts, and the illegal sale and distribution of cannabis), and public health and safety concerns (such as fire hazards and problems associated with mold, fungus, and pests); and
WHEREAS, cannabis plants, as they begin to flower and for a period of two months or

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
more, produce a strong odor, offensive to many people, and detectable far beyond property boundaries if grown outdoors or if grown indoors without proper ventilation, odor control, and other regulations; and
WHEREAS, due to the value of cannabis plants and their strong smell (which alerts others to their locations), cannabis cultivation has been linked to break-ins, robbery, armed robbery, theft and attendant violence and injury, creating an increased risk to public safety; and WHEREAS, unregulated cannabis cultivation can be harmful to the welfare of the surrounding community and its residents and can constitute a public nuisance, in that cannabis cultivation has been shown to involve avoidance of environmental laws and regulations, and has resulted in the pollution of waters and navigable waterways in the State of California; and WHEREAS, unregulated indoor cultivation of cannabis has potential adverse effects on the structural integrity of the buildings in which cannabis is cultivated, and the use of high wattage grow lights and excessive use of electricity in such buildings increases the risk of fire, which presents a risk of property damage to the building and neighboring buildings, and endangers the building's occupants and nearby residents; and
WHEREAS, unregulated indoor cultivation of cannabis can also be harmful to the public health, safety and welfare in that electrical modifications risk fires, poor irrigation can cause mold, overloaded circuits can leave entire neighborhoods in the dark, plant chemicals can cause illness, improper carbon dioxide mixed with insufficient ventilation can cause injury or death, and structural changes put first responders in danger if they rush into the unknown; and WHEREAS, the Attorney General's August 2008 Guidelines for the Security and NonDiversion of Marijuana Grown for Medical Use recognize that the cultivation or other concentration of cannabis in any location or premises without adequate security increases the risk that nearby homes or businesses may be negatively impacted by nuisance activity such as loitering and/or crime; and
WHEREAS, there are numerous well publicized studies and reports, as well as numerous documented incidents in Kern County and throughout the State, which show that unregulated cannabis activities have a significant adverse effect on the community; and WHEREAS, in the absence of a formal regulatory framework, the adverse impacts frequently associated with commercial cannabis activities will occur, resulting in a potentially significant negative impact upon the environment and upon public health, safety, and welfare of the community; and
WHEREAS, outdoor cannabis cultivation and unregulated indoor cannabis cultivation are likely to result in these negative effects on the public health, safety, and welfare in the City, as reflected by the experiences of other cities; and
WHEREAS, the City has a compelling interest in protecting the public health, safety, and welfare of its citizens, residents, visitors and businesses, and in preserving the peace and quiet of the neighborhoods within the City by regulating commercial cannabis activities; and

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
WHEREAS, based on the foregoing and pursuant to the above-described express statutory authority and its police power, the City desires to explicitly prohibit certain cannabis activities, including storefront sales and outdoor cultivation (for both medicinal and adult-use), and to enact reasonable regulations for other commercial cannabis activities in order to protect and promote public health, safety and welfare; and
WHEREAS, under U.S. Supreme Court precedent, government agencies generally may conduct regulatory inspections of "closely regulated" businesses without reasonable suspicion that the business subject to inspection has violated a statute or regulation, provided that the governmental agency conducting the inspection has "special needs," beyond its ordinary interest in enforcement of criminal statutes, to conduct inspections, the regulations in the particular area could not be enforced if public officials could conduct inspections only when they have a reasonable suspicion that a violation has occurred, the businesses subjected to inspection are engaged in a particular category of activity that reduces the reasonable expectation of privacy of those engaged in such activities in relation to the inspections at issue, and the discretion of inspecting officials is reasonably constrained by the authorizing statue (People v. Maikhio, 51 Ca1.4th 1074, 1091-92 (2011)); and
WHEREAS, commercial cannabis businesses cultivate, manufacture, dispense, distribute, test, or engage in other business activities relating to a historically criminalized substance which is often used for medical purposes, which can cause health and safety issues for those consuming it, which can be unsafe if improperly cultivated, manufactured or handled, and which is subject to illegal diversion, and as a result, state and local government agencies, including the City, have a strong governmental interest in regulating such businesses; and WHEREAS, businesses engaged in commercial cannabis activities constitute "closely regulated" businesses which have a reduced reasonable expectation of privacy due to the strong governmental interest in regulating such activities to protect against the potential risks to public health and safety relating to such activities, and therefore the probable cause and warrant requirements ordinarily required for law enforcement searches are relaxed as to such businesses; and
WHEREAS, the City has a special need, beyond its ordinary interest in enforcement of criminal statutes, to conduct regulatory inspections of commercial cannabis businesses due to the unique threats to public health, safety and welfare posed by such businesses, including but not limited to risks of fire and explosion resulting from improper cultivation, manufacturing or other processes used by such businesses, and the increased risk of crime, in the absence of proper security measures, resulting from the presence of valuable property on the premises of such businesses; and
WHEREAS, the regulations imposed by this Ordinance could not be effectively enforced if the City's officials could conduct inspections only when they have a reasonable suspicion that a violation has occurred, because often the threats to public health, safety and welfare arising from a commercial cannabis business will not be apparent from the outside, and any prior notice requirements associated with such inspections would allow such businesses to temporarily conceal or remove the conditions that give rise to such threats for purposes of passing the inspection, only to allow such conditions to return thereafter; and

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
WHEREAS, based on the foregoing, the City Council intends to authorize reasonable suspicionless inspections of commercial cannabis business in the City by local officials as necessary to enforce this Ordinance and thereby safeguard public health, safety and welfare, and to impose reasonable constraints on the discretion of such inspecting officials by limiting their inspection authority to confirming compliance with this Ordinance and the applicable laws and regulations referenced herein; and
WHEREAS, in 2010, the City adopted Sections 17.02.435 and 17.07.01 of Title 17 of the Arvin Municipal Code pertaining to Medical Marijuana Dispensaries, placing a complete ban on dispensaries in the City based upon various health, safety and welfare and land use findings relating to marijuana cultivation, dispensing, and consumption; and WHEREAS, on November 21, 2017, the City Council adopted Ordinance No. 443, which added Chapter 8.29 "Commercial Cannabis Activity" to Title 8 of the Arvin Municipal Code, and which repealed Sections 17.02.435 and 17.07.01 of Title 17 of the Arvin Municipal Code pertaining to Medical Marijuana Dispensaries; and
WHEREAS, the Arvin Municipal Code already contained a Chapter 8.29 ("Sign Regulations [Private Property]") prior to adoption of Ordinance No. 443, and said chapter remains in full force and effect;
WHEREAS, the City Council renumbered and relocated the duplicative Chapter 8.29 "Commercial Cannabis Activity" to Chapter 8.29 of the Arvin Municipal Code, and amend and supplemented the regulations imposed by said chapter on commercial cannabis businesses and applicants in the City; and
WHEREAS, the City Council sees fit to amend and add the sections of the Arvin Municipal Code as listed below to regulate and govern outdoor commercial cannabis activity; and WHEREAS, nothing in this Ordinance shall be construed to: (1) allow any person to engage in conduct that endangers others or causes a public nuisance; or (2) allow any activity relating to the cultivation, manufacturing, testing, distribution, or consumption of cannabis which is illegal under state or federal law; and
WHEREAS, all legal prerequisites to the adoption of this ordinance have occurred.

NOW THEREFORE, the City Council of the City of Arvin does hereby ordain as follows:

SECTION 1. The above recitals are true and correct and are incorporated herein.

SECTION 2. The City Council finds and determines that the Ordinance is exempt from the California Environmental Quality Act ("CEQA") because it can be seen with certainty that there is no possibility that it will have a significant effect on the environment, as this Ordinance merely amends the Arvin Municipal Code to establish new and amended procedures and requirements for the permitting and regulation of certain commercial cannabis activities, the environmental impacts of which will be assessed on a use-specific basis. (CEQA Guidelines § 15061(b)(3)). Furthermore, the City Council finds and determines the Ordinance would also be subject to Categorical Exemptions under CEQA Guidelines sections 15307 and 15308, as it consists of regulations and

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
restrictions on activities to assure the maintenance, restoration, or enhancement of natural resources and the environment by prohibiting environmentally destructive components of unregulated cannabis cultivation. (CEQA Guidelines §§ 15307 and 15308.) Finally, none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines Section 15300.2 apply to this Ordinance. Therefore, the City Council also adopts Categorical Exemptions for this Ordinance, pursuant to CEQA Guidelines sections 15307 and 15308.

SECTION 3. Section 8.29.05.02 Definitions is deleted, and Section 8.29.05.02 Definitions is hereby added to read as follows: (Note: Underlined text and highlighted text to show added definitions )
Section 8.29.05.02 - Definitions.

When used in this Chapter, the following terms shall have the meanings ascribed to them in this Section. Any reference to California statutes includes any regulations promulgated thereunder and is deemed to include any successor or amended version of the referenced statute or regulatory provision.
(a) "Building Official" means the Building Official for the City or his/her designee. (b) "Cannabis" means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. (c) (c) "Cannabis" also means the separated resin, whether crude or purified, obtained from marijuana. "Cannabis" does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted therefrom), fiber, oil, or cake, or the sterilized seed of the plant which is incapable of germination. "Cannabis" also does not include the weight of any other ingredient combined with cannabis to prepare topical or oral administrations, food, drink, or other product. For the purpose of this Chapter, "Cannabis" does not mean industrial hemp as that term is defined by Section 11018.5 of the California Health and Safety Code.
(c) "Cannabis concentrate" means manufactured cannabis that has undergone a process to concentrate one or more active cannabinoids, thereby increasing the product's potency. Resin from granular trichomes from a cannabis plant is a concentrate for purposes of this Chapter. A cannabis concentrate is not considered food, as defined by Section 109935 of the Health & Safety Code, or a drug, as defined by Section 109925 of the Health & Safety Code. (d) "Cannabis products" means cannabis that has undergone a process whereby the plant material has been transformed into a concentrate, including, but not limited to, concentrated cannabis, or an edible or topical product containing cannabis or concentrated cannabis and other ingredients.
(e) "Chief of Police" means the Chief of Police for the Arvin Police Department or his/her designee.
(f) "City Manager" means the City Manager for the City or his/her designee.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
(g) "Commercial cannabis activity" or "commercial cannabis business" includes cultivation, possession, manufacture, distribution, processing, storing, laboratory testing, packaging, labeling, transportation, delivery or sale (including retail and wholesale) of cannabis or cannabis products conducted or engaged in by any person, except cultivation and possession of cannabis for personal use as governed by Arvin Municipal Code Chapter 8.29, Section 8.29.05 and/or as preempted by State law.
(h) "Commercial cannabis permit" means a permit issued by the City pursuant to this Chapter to a commercial cannabis business.
(i) "Cultivation" means any activity involving the propagation, planting, growing, harvesting, drying, curing, grading, or trimming of cannabis. (j) “Cultivation License Types” Cultivation License types are based on the: Type of Production and Lighting Use and Number of plants grown or size of the canopy.

The canopy is the area where mature (flowering) plants are grown. (k) "Cultivation site" means a facility where cannabis is propagated, planted, grown, harvested, dried, cured, graded, or trimmed, or where all or any combination of those activities occur.
(l) "Day care center" means, as the term is understood in Business & Professions Code Section 26001(o), as may be amended, any child day care facility other than a family day care home, and includes infant centers, preschools, extended day care facilities, and school age childcare centers.
(m) “Delivery" means the commercial transfer of cannabis or cannabis products to a customer at the customer's home or other location remote from the premises of the commercial cannabis business making the delivery and includes the use by a retailer of any technology platform. "Delivery" does not mean or include storefront sales.
(n) "Distribution" means the procurement, sale and transport of cannabis and cannabis products between licensees.
(o) "Distributor" means a licensee engaged in distribution. (p) "Edible cannabis product" means a cannabis product that is intended to be used, in whole or in part, for human consumption. An edible cannabis product is not considered food as defined by Section 109935 of the California Health and Safety Code or a drug as defined by Section 109925 of the California Health and Safety Code.
(q) Employee – See (ee) Responsible Person.
(r) "Fire Chief" means the Fire Chief for the City as designated by the Kern County Fire Department, or his or her designee.
(s) “General Cultivation Requirements” 1. Licensees are prohibited from transferring any commercially cultivated cannabis or nonmanufactured cannabis products from their licensed premises. All transfers of cannabis and nonmanufactured cannabis product from a licensed cultivation premises must be conducted by a distributor licensed by the State of California Department of Commercial Cannabis. 2. Artificial lighting is permissible only to maintain immature plants outside the canopy area.
(t) "HIPAA" means the Health Insurance Portability and Accountability Act of 1996.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
(u) "Labeling" means any label or other written, printed, or graphic matter upon a cannabis product, upon its container or wrapper, or that accompanies any cannabis product.
(v) “Large Cultivation Licenses” (1)"Large Outdoor" is an outdoor cultivation site with more than one acre of total canopy. (2)"Large Indoor" is an indoor cultivation site with more than 22,000 square feet of total canopy. (3)"Large Mixed-light" is a Mixed-light cultivation site with more than 22,000 square feet of total canopy.
(w) "License" or "State License" means a license issued by the State of California, or one of its departments or divisions, pursuant to Division 10 of the California Business & Professions Code. "Licensee" means a person holding a State License.
(x) “Lighting Diagram” For mixed-light and indoor licenses, the lighting diagram on file with the Commercial Cannabis Application accurately reflects the location and maximum wattage of all lights in the designated canopy area(s), and the average lighting (watts per square foot of canopy) is within the limit of the license type. Mixed-Light Tier 1: no more than 6 watts per square foot; Mixed-Light Tier 2: above 6 and no more than 25 watts per square foot, and Indoor: More than 25 watts per square foot. Note: If lighting fixtures with a range of available wattage are used, use the maximum possible wattage to calculate average lighting. Greenhouse with 5 rows of 5’ x 50’ beds = 1,250 square feet of canopy 5 rows of 10 lights x 500 watts per light = 25,000 watts, Average lighting = (25,000 watts / (1,250 sq ft) = 20 watts / sq ft
(y) "Live plants" means living cannabis flowers and plants, including seeds, sprouts, immature plants (including unrooted clones), and vegetative stage plants. (z) "Manufacture" means to compound, blend, extract, infuse, or otherwise make or prepare a cannabis product.
(aa) "Manufacturer" means a licensee that conducts the production, preparation, propagation, or compounding of cannabis or cannabis products either directly or indirectly or by extraction methods, or independently by means of chemical synthesis at a fixed location that packages or repackages cannabis or cannabis products or labels or relabels its container; "Manufacturer" includes the activity of manufacturing.
(bb) "Manufacturer 1" means a licensee that manufactures cannabis products using nonvolatile solvents, or no solvents.
(cc) "Manufacturer 2" means a licensee that manufactures cannabis products using volatile solvents.
(dd) “Medium” 1. “Medium Outdoor” is an outdoor cultivation site with between 10,001 square feet and one acre of total canopy. 2.”Medium Indoor" is an indoor cultivation site with between 10,001 and 22,000 square feet of total canopy.

3."Medium Mixed-Light Tier 1 and 2" is a mixed-light cultivation site with between 10,001 and 22,000 square feet of total canopy.
(ee) "Nursery" means a licensee that produces only cannabis clones, immature cannabis plants, seeds, and other agricultural products used specifically for the planting, propagation, and cultivation of cannabis.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
(ff) "Owner" means any person who has an ownership interest in a commercial cannabis business.
(gg) "Package" means any container or receptacle used for holding cannabis or cannabis products.
(hh) "Person" means an individual, firm, partnership, joint venture, association, corporation, limited liability company, estate, trust, business trust, receiver, syndicate, nonprofit organization, or any other group or combination acting as a unit and includes the plural as well as the singular.
(ii) "Premises" means the designated structure or structures and the surrounding land that is owned, leased or otherwise held under the control of a commercial cannabis permit applicant or permittee where commercial cannabis activity will be or is conducted. This definition does not alter the meaning of the term "Premises" as utilized by the State of California for commercial cannabis licensing.
(jj) Processor” is a cultivation site that conducts only trimming, drying, curing, grading, packaging, and labeling of cannabis and nonmanufactured cannabis products. Cal. Code Regs. Tit. 4, § 16201
(kk) "Responsible person" means any person who is responsible for, or who will oversee or participate in, the direction, control, management, or supervision of a commercial cannabis business.
(ll) "Retailer" means a person who engages in the retail sale of cannabis or cannabis products to customers.
(mm) "Sell," "sale" and "to sell" include any transaction whereby, for any consideration, title to cannabis or cannabis products is transferred from one person to another, and includes the delivery of cannabis or cannabis products pursuant to an order placed for the purchase of the same and soliciting and receiving an order for the same, but does not include the return of cannabis or cannabis products by a licensee to the licensee from whom the cannabis or cannabis product was purchased.
(nn) "School" means, as the term is understood in Business & Professions Code Section 26054(b), as may be amended, a place of instruction in kindergarten or any grades 1 through 12.
(oo) “Small” (1)"Small Outdoor" is an outdoor cultivation site with between 5,001 and 10,000 square feet of total canopy. (2)"Small Indoor" is an indoor cultivation site with between 5,001 and 10,000 square feet of total canopy. (3) "Small Mixed-Light Tier 1 and 2" is a mixed-light cultivation site with between 5,001 and 10,000 square feet of total canopy.
(pp) “Specialty:” (1) "Specialty Outdoor" is an outdoor cultivation site with less than or equal to 5,000 square feet of total canopy, or up to 50 mature plants on noncontiguous plots. (2) "Specialty Indoor" is an indoor cultivation site with between 501 and 5,000 square feet of total canopy. (3) "Specialty MixedLight Tier 1 and 2" is a mixed-light cultivation site with between 2,501 and 5,000 square feet of total canopy.
(qq) “Specialty Cottage” (1)"Specialty Cottage Outdoor" is an outdoor cultivation site with up to 25 mature plants or 2,500 square feet or less of total canopy.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
(2)"Specialty Cottage Indoor" is an indoor cultivation site with 500 square feet or less of total canopy. (3)"Specialty Cottage Mixed-Light Tier 1 and 2" is a mixed-light cultivation site with 2,500 square feet or less of total canopy. (rr) "State" means the State of California and all of its departments, divisions and agencies, including but not limited to the Bureau of Cannabis Control, the Department of Public Health, and the Department of Food and Agriculture. (ss) "Stacking" means cultivating cannabis plants on platforms or tables and stacking them in multiple layers on top of each other.
(tt) "Storefront sales" means the retail sale of cannabis or cannabis products directly to customers from a storefront, dispensary, or other permanent building or structure, or in any manner that does not constitute delivery. "Storefront sales" does not include delivery.
(uu) "Testing Laboratory" means a laboratory, facility or entity that offers or performs tests of cannabis or cannabis products and that is both: (1) accredited by an accrediting body that is independent from all other persons involved in commercial cannabis activity; and (2) a State licensee. (vv) "Topical cannabis" means a cannabis product intended for external application. A topical cannabis product is not considered a drug as defined by Section 109925 of the California Health and Safety Code.
(ww) “Volatile solvent" means a solvent that is or produces a flammable gas or vapor that, when present in the air in sufficient quantities, will create explosive or ignitable mixtures.
(xx) "Youth center" means, as the term is understood in Business & Professions Code Section 26001(av), as may be amended, any public or private facility that is primarily used to host recreational or social activities for minors, including but not limited to private youth membership organizations or clubs, social service teenage club facilities, video arcades, or similar amusement park facilities.

Section 4. Section 8.29.05.04, to Title 8 of the Arvin Municipal Code entitled “Permitted types of commercial cannabis business” is hereby amended as follows:

Section 8.29.05.04 - Permitted Types of Commercial Cannabis Businesses and Limitations (a) Commercial cannabis operations within the City, which comprise the activities of indoor and outdoor cultivation, mixed-light cultivation, nursery cultivation, retailer (delivery only), manufacturer, testing laboratory, distributor, and microbusiness (other than storefront sales) are allowed subject to issuance and maintenance of the permits and entitlements set forth in Section 8.29.05.06(a), continuing compliance with this Chapter and all other applicable City and State laws and regulations, and issuance and maintenance of a valid and current State license of a classification listed below, as provided for in Business & Professions Code Section 26050 and applicable State regulations:

1. Type lA = Cultivation; Specialty Indoor; Small.

2. Type 1B = Cultivation; Specialty Mixed-Light; Small.

3. Type 2A = Cultivation; Indoor; Small.

4. Type 2B = Cultivation; Mixed-Light; Small.

5. Type 3A = Cultivation; Indoor; Medium.

6. Type 3B = Cultivation; Mixed-Light; Medium.

7. Type 4 = Cultivation; Nursery.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation

8. Upon authorization by the State of California, Type 5A = Cultivation; Indoor; Large.

9. Upon authorization by the State of California, Type 5B = Cultivation; Mixed-Light; Large.

10. Type 6 = Manufacturer 1.

11. Type 7 = Manufacturer 2.

12. Type N = Manufacturer (i.e. no extractions, pursuant to 17 CCR § 40118, as may be amended).

13. Type P = Manufacturer (i.e. packaging and labeling only, pursuant to 17 CCR § 40118, as may be amended).

14. Type 8 = Testing Laboratory.

15. As authorized by California Code of Regulations, Type 9 = NonStorefront Retailer (i.e. retail sales by delivery only, pursuant to 16 CCR § 5414, as may be
amended).

16. Type 10 = Retailer (subject to Section 8.29.050, i.e. delivery only).

17. Type 11 = Distributor.

18. Type 12 = Microbusiness (subject to Sections 8.29.05.04(c) and

8.29.050).

19. Type 13 = Distributor (i.e. transport only, pursuant to 16 CCR § 5315, as may be amended).

20. Cultivation License Types for Indoor or Mixed-Light pursuant to 3 CCR § 8201, as may be amended).

21. Commercial Cannabis types that may be established by the State of California and is determined by the City Manager to be in substantial compliance with this Chapter.

1. Type 1 – Cultivation; Specialty outdoor; Small

2. Type lA = Cultivation; Specialty indoor; Small.

3. Type 1B = Cultivation; Specialty mixed-light; Small.

4. Type 1C- Cultivation; Specialty cottage; Small.

5. Type 2- Cultivation Outdoor; Small

6. Type 2A = Cultivation; Indoor; Small.

7. Type 2B = Cultivation; Mixed-light; Small.

8. Type 3 – Cultivation; Outdoor; Medium

9. Type 3A = Cultivation; Indoor; Medium.

10. Type 3B = Cultivation; Mixed-light; Medium.

11. Type 4 = Cultivation; Nursery.

12. Type 5-Cultivation; Outdoor; Large.

13. Upon authorization by the State of California, Type 5A = Cultivation; Indoor; Large.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation

14. Upon authorization by the State of California, Type 5B = Cultivation; MixedLight; Large.

15. Type 6 = Manufacturer 1.

16. Type 7 = Manufacturer 2.

17. Type N = Manufacturer (i.e. no extractions, pursuant to 17 CCR § 40118, as may be amended).

18. Type P = Manufacturer (i.e. packaging and labeling only, pursuant to 17 CCR § 40118, as may be amended).

19. Type 8 = Testing Laboratory.

20. As authorized by California Code of Regulations, Type 9 = Non-Storefront Retailer (i.e. retail sales by delivery only, pursuant to 16 CCR § 5414, as may be amended).

21. Type 10 = Retailer (subject to Section 8.29.050, i.e. delivery only).

22. Type 11 = Distributor.

23. Type 12 = Microbusiness (subject to sections 8.29.05.04(c) and 8.29.050).

24. Type 13 = Distributor (i.e. transport only, pursuant to 16 CCR § 5315, as may be amended).

25. Cultivation License Types for Indoor or Mixed-Light pursuant to 3 CCR § 8201, as may be amended).

26. Commercial cannabis types that may be established by the State of California and is determined by the city manager to be in substantial compliance with this chapter.
(b)Any commercial cannabis activity not expressly authorized by this Chapter is prohibited.
(c) The number of commercial cannabis permits authorizing the operation of a microbusiness requiring a Type-12 State License that may be active or valid in the City at any given time shall not exceed thirty-five (35) permits, or a lower number as may be established by the City Council.
(d) The number of commercial cannabis permits authorizing the operation of outdoor cultivation that may be active or valid in the city at any given time shall not exceed ten (10) permits for 2024, shall not exceed an additional ten (10) permits in 2025, shall not exceed an additional ten (10) permits in 2026, and shall not exceed an additional ten (10) permits in 2027, additional permits be established by the city council.

SECTION 5. Section 8.29.05.05 Prohibited Types of Commercial Cannabis Business, to Title 8 of the Arvin Municipal Code entitled "Prohibited types of commercial cannabis businesses" is hereby amended as follows:

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
a. Commercial cannabis business within the city which involve the activities of outdoor cultivation and storefront sales are prohibited in the city. This prohibition includes, but is not limited to, commercial cannabis activities licensed by the state license classifications listed below, as provided for in Business & Professions Section 26050 and applicable State regulations:

1. Type 1 = Cultivation; Specialty outdoor; Small.

2. Type 1C = Cultivation; Specialty cottage; Small.

3. Type 2 = Cultivation; Outdoor; Small.

4. Type 3 = Cultivation; Outdoor; Medium.

5. Type 5 = Cultivation; Outdoor; Large.

1. Type 10 and 12 (Storefront sales prohibited.)
All other portions of Section 8.29.05.05 shall remain as stated in the Arvin Municipal Code.

SECTION 6. Section 8.29.05.08, to Title 8 of the Arvin Municipal Code entitled “Security Measures” subsection (11) and (13) is hereby amended and subsection (16) is hereby added to read as follows:
(11) Fencing shall be installed along the perimeter of the project site. Fencing location, design, and materials shall be approved by the City Manager or designee. Fencing shall be a minimum of 10’-0” with angled or electrified top. Materials shall be limited to wrought iron fencing, masonry, a combination of the two, or alternatives subject to approval by the City Manager or their designee. All fencing shall have angled wrought iron topping or must be electrified. Electronic entry gates for automobiles and pedestrians shall be designed as noted above and the City Manager or designee shall have final approval. Fencing must be in place to the satisfaction of the City Manager or their designee as well as the Building Department prior to being eligible for a certificate of occupancy or a temporary certificate of occupancy or upon the development and use of any outdoor cultivation operations as established per Section 8.29.05.115 Outdoor Cultivation of Commercial Cannabis. (13) Developer must submit a detailed fencing plan to the City Engineer or their designee for approval. Plans may be included within a larger Civil Design Plan required for overall site development approval. At a minimum, the plans must show the layout of all proposed exterior fences with locations of gates for pedestrians and vehicles, separation from sensitive uses. Plans must also include typical sections, typical elevations, and details regarding hardware, materials, color, textures, and any additional information requested by the City Engineer upon review of a fencing plan.

The use of existing fences must also be shown on the plans, detailed appropriately, and shall be subject to approval on a case-by-case basis by the City Engineer. City Engineer review shall be independent of any necessary review by the Building Department which the Developer must submit plans to for a separate permit following City Engineer approval.
(16) Security measures pursuant to this section may be modified by the City Manager for outdoor cultivation as established in Section 8.29.05.115(l) Outdoor Cultivation of Commercial Cannabis Security Measures.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
SECTION 7. Section 8.29.05.110, to Title 8 of the Arvin Municipal Code entitled "Location of Commercial Cannabis Business – Proximity to Sensitive Uses” is hereby amended to read as follows:
(a)Commercial cannabis activity shall be authorized within the following zoning districts of the City: M-1, M-2, M-3, A-1 and A-2 zoning districts. Except as expressly stated in

8.29.115 as related to outdoor commercial cannabis. Commercial cannabis activity is prohibited in all other zoning districts of the City.
(b)Notwithstanding subsection (a) of this Section, no commercial cannabis business shall be located within six hundred feet (600') from any school, day care center, youth center, public park, or public library (“Sensitive Uses”). Location distance separating Sensitive Uses, as described above, shall be measured from the exterior of the structure(s). Outdoor commercial cannabis separation from sensitive use shall be 1500 feet and shall be measured from the outdoor cultivation area which does not include the setbacks and screening requirements. The applicant shall prepare a locational map verifying locational distance and shall certify that the structure location and outdoor cultivation area meet the six hundred feet separation requirements.
(c) No commercial cannabis business may operate within any residential zoning district or area of the City.
(d)A commercial cannabis business generally may not operate adjacent to, across a street or alley from, or within two hundred feet (200') of, any residential zoning district or area of the City. Location distance and/or separating commercial cannabis business, as described above, shall be measured from the exterior of the structure(s) OR from the property line where outdoor cultivation, minus setbacks and screening areas is proposed. Applicant shall prepare locational map verifying locational distance and shall certify that the structure locations meet the two hundred feet separation. However, if an existing building or facility or outdoor cultivation in a City zoning district enumerated in subsection (a) is located adjacent to or across a street or alley from a residential zoning district or area of the City, a commercial cannabis business may be permitted to operate in such location if, in the opinion of City Manager, the operation of a commercial cannabis business in such location would not tend to cause a public nuisance, nor a situation which may result in repeated police department responses or a negative impact on the adjacent residential units or dwellings. Any subsequent expansion of a commercial cannabis business permitted to operate in such a location, which expansion requires a new or amended commercial cannabis permit, shall also be subject to a determination by the City Manager that the expansion would not tend to cause a public nuisance or a situation which may result in repeated police department responses or a negative impact on the adjacent residential units or dwellings.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
(e) Commercial cannabis businesses shall be required to comply with all zoning, land use, and development regulations applicable to the underlying zoning district in which they are permitted to establish and operate as set forth in Title 17 of the Arvin Municipal Code. (f) Any commercial cannabis business which has been determined by the City Manager to be an existing commercial cannabis business on the effective date of this Chapter shall be exempt from compliance with the limitations prescribed in this Section, unless such location is otherwise determined to constitute a public nuisance or otherwise a disturbance to the adjacent or neighboring uses as determined by the provisions of this Chapter.

SECTION 8. Section 8.29.05.115 of Title 130, Article 9 of the Arvin Municipal Code, entitled "Outdoor Cultivation of Commercial Cannabis" is hereby added to the Arvin Municipal Code to read as follows:

Section 8.29.05.115 – Outdoor Cultivation of Commercial Cannabis

1. Applicability.
a. The purpose of this ordinance is to permit certain specified commercial cannabis activities and uses within the City of Arvin, subject to the regulation and control of the City Council, including discretion to regulate such uses, including without limitation the density, intensity, number, proximity, location, and environmental standards of such uses. b. Cannabis is not an agricultural crop or product with respect to any provision in this Code that defines or allows cultivation of crops or agricultural products and nothing in Chapter

8.29.05 shall be construed to the contrary.
c. This ordinance applies regardless of whether commercial cannabis is cultivated for medicinal or recreational adult use.

2. Definitions. The terms and phrases in this section shall have the meaning ascribed to them in Section 8.29.05.02 - Definitions, unless the context in which they are used clearly suggests otherwise.

3. Limit on the number of outdoor commercial cannabis operations. The maximum number of outdoor commercial cannabis cultivation operations in the City of Arvin shall be limited as established by Section 8.29.05.04 Permitted Types of Commercial Cannabis Businesses and Limitations. This section sets the maximum possible permits only and nothing in this section shall be construed to require the City to issue a minimum or the maximum number of permits.

4. Outdoor Commercial Cannabis Cultivation.

Permitted By Right Zones. Outdoor Commercial Cannabis Cultivation permits are permitted subject to the issuance of a Commercial Cannabis Permit by the City Manager when located in the industrial and agricultural zone districts.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
This section allows outdoor commercial cannabis cultivation as a new use authorized by this section only.
• Maximum Outdoor Cultivation Permits: Outdoor cultivation of commercial cannabis permits shall be limited as established under Section 8.29.05.04(d) Permitted Types of Commercial Cannabis Businesses and Limitations. • Minimum Site Area. The site area shall be a minimum of one (1) acre for any outdoor cultivation permit as required by Section 8.29.05.290 Total Area Devoted to Commercial Cannabis Businesses, Accessory Struture Limitation, Minimum Square Footage Required, and Minimum Parcel Size Required for Outside Cultivation. The city may require premises greater than proposed outdoor cultivation permit to maintain consistency with other laws, surrounding residential uses, and neighborhood compatibility.
• Canopy Coverage. The City may place additional and further restrictions on canopy size to maintain consistency with other laws, agricultural uses, and neighborhood compatibility. A cannabis cultivation operation shall not exceed the canopy size threshold established by State law. The various types of Outdoor cultivation permitted by the State range from 25 mature plants or 2500 square feet (Specialty Cottage) up to more than 1-acre total canopy (Large Outdoor). More than one license may be issued for one site which could increase the acreage. Each permit shall be a minimum of one (1.0) gross acre which includes setbacks and buffers.

5. Cultivation Standards.
a. In addition to any state requirements by any governing state agency, any City requirement pursuant to Section 8.29.05 Commercial Cannabis Activity, and any site specific requirements in a permit, outdoor cultivation of commercial cannabis shall comply with the following requirements. Any violation of state regulations, site specific requirements in a Commercial Cannabis Permit or Commercial Cannabis Annual Operating Permit, or these requirements is subject to enforcement, abatement, and revocation of a City permit under Section 8.29.05.170 (Violations and Enforcement). b. Location. Outdoor commercial cannabis cultivation shall not be located within 1,500 feet from any school, school bus stop, place of worship, park, playground childcare center, youth-oriented facility, pre-school, public library, licensed drug or alcohol recovery facility, or licensed sober living facility. Distance shall be measured from the from the outdoor cultivation area which does not include the setback and screening requirements that contains the commercial cultivation to the nearest point of the property line of the enumerated use using a direct straight-line measurement. A new adjacent use does not affect the continuation of an existing use that was permitted and legally established under the standards of this chapter.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
c. Setbacks and Screening. Outdoor cultivation areas and all structures associated with the cultivation shall not be located in the front yard setback area and shall be screened from public view. Outdoor cultivation areas shall not be visible from the public right of way and adjacent parcels. Outdoor or mixed-light cultivation of commercial cannabis shall be setback a minimum of 50 feet from the property line of the site or public right-of-way.

The 50-foot setback shall be planted with corn or other plants to screen the outdoor or mixed- light cultivation of commercial cannabis. The setbacks may be reduced by the City Manager or designee when it is determined that an actual physical equivalent separation exists due to topography, vegetation or slope, and that the cannabis operation is not accessible or visible from the public right of way or adjacent parcel. d. Cannabis shall be screened from public view so that no part of a plant can be seen from an adjacent street or adjacent parcel. Screening shall be accomplished by enclosure within a greenhouse or hoop house or by use of fencing or vegetation. All greenhouses, hoop houses, and fences shall comply with all building and zoning codes and any other applicable law or regulation. Greenhouses and hoop houses are the preferred means of screening.
e. Odor. The cultivating, drying, curing, processing, and storing of cannabis shall not adversely affect the health, safety, or enjoyment of property of persons residing near the property on which cannabis is cultivated or processed due to odor that is disturbing to people of normal sensitivity. Any cannabis odor shall not be equal or greater than a 7 dilution threshold ("DT") when measured by the City with a field olfactometer at the property line on which the cannabis is cultivated or processed for a minimum of two olfactometer observations not less than fifteen minutes apart within a one hour period ("7 DT one hour"). If the odor from cannabis cultivating, drying, curing, processing, or storing violates this subsection, the permittee must reduce the odor below the 7 DT one hour at property line threshold within the time required by the City. Notwithstanding the prior issuance of a permit, the City may require installation of one or more odor control options, which may include but are not limited to the use of a greenhouse or hoop house that includes activated carbon filtration or equivalent odor abatement control equipment on the air exhaust, a vapor-phase odor control system, increasing the required setback, growing fewer plants, or growing only low odor cannabis strains. Installation of certain odor control options may require a permit. Any such notice requiring the use of one or more odor control options will provide a deadline for completion and the dilution threshold will be retested upon expiration of that deadline. The continued odor in excess of 7 DT one hour upon retesting will constitute a violation of this section subject to enforcement, abatement, and revocation of a Commercial Cannabis Permit under Section 8.29.05.170 (Violations and Enforcement).
f. Building Requirements and City Codes. All cannabis operations shall comply with all applicable sections of the City Codes.
g. Farmland Protection. Where a commercial cultivation site is located within an agricultural zone, the operation shall be consistent with the City’s General Plan Policy. If the premises are located on a site under a Land Conservation Act (Williamson Act) contract, the use

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
must comply with the Land Conservation Act contract, any applicable land conservation plan, and the City of Arvin Rules for Agricultural Preserves and Farmland Security Zones, including provisions governing the type and extent of compatible uses listed therein. h. Fire Code Requirements. The applicant shall prepare and implement a fire prevention plan for construction and ongoing operations and obtain any permits required from the fire and emergency services department. The fire prevention plan shall include, but not be limited to: emergency vehicle access and turn-around at the facility site(s), vegetation management and fire break maintenance around all structures.
i. Water Source. Commercial cannabis cultivation may only be permitted if sufficient evidence submitted to the City demonstrates there is adequate water supply to serve the cultivation site; and all required local and, where applicable, state permits from the State Water Resources Control Board and any other state agency with jurisdiction. The premises where the cultivation of cannabis takes place shall either be connected to a public water supply provided by Arvin Community Services District or an approved onsite water source by Kern County Environmental Health Services. j. Containment of run-off on project site. The activities associated with the cultivation of cannabis shall retain all water run-off and not create erosion or result in water run-off and/or contaminated runoff off of the project site. No water shall be permitted to flow onto or into the public right of way or neighboring owned parcel – all waters are to be retained on-site.
k. Water conservation measures. Cannabis cultivation operations shall include adequate measures that minimize the use of water for cultivation at the site. Water conservation measures, including but not limited to underground drip irrigation, soil moisture monitoring, water capture systems, grey water systems, or other equally effective water conservation measures, shall be incorporated into the cultivation operations in order to minimize the use of water where feasible.
l. Security measures. In addition to those security measures as promulgated in Section

8.29.05.08 Security Measures that the City Manager and/or his/her delegee determine are applicable, a site security plan (which shall be held in a confidential file, exempt from disclosure as a public record pursuant to Government Code Section 6255(a)), shall be required. In addition to the 8.29.05.08 security measures determined to be applicable, the site security plan must also address at least the following security measures:
i. Security cameras shall be motion-sensor and be installed with capability to record activity beneath the canopy but shall not be visible from surrounding parcels and shall not be pointed at or recording activity on surrounding parcels. Surveillance video shall be kept for a minimum of thirty (30) days. Video must use standard industry format to support criminal investigations.
ii. Alarms shall be installed to ensure the safety of persons and to protect the premises from theft.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
iii. Security lighting deemed necessary by the City Manager or required pursuant to any regulations as may be promulgated by the City Manager, shall be installed and shall be motion activated.
iv. All outdoor cultivation sites shall be screened by non-invasive fire resistant vegetation and fenced with locking gates with a Knox lock. v. Razor wire and similar fencing shall not be permitted. vi. Weapons and firearms at the cultivation site are prohibited. vii. Security measures shall be designed to ensure emergency access in compliance with fire safe standards.
viii. All structures used for cultivation shall have locking doors to prevent free access.

The Security plans shall be reviewed and approved by the City of Arvin Police Department.
ix. Security Measures for Structures related to Outdoor Cultivation: Structures associated with outdoor cultivation shall comply with the security measures, as promulgated in Section 8.29.05.08 – Security Measures and subject to approval by the City of Arvin Police Department.
m. Pesticide Usage. Preference shall be given to applicants that maintain organic certification standards or the substantial equivalent, provided that maintaining organic certification standards or the substantial equivalent is a condition of the Commercial Cannabis Use Permit. Until the California Department of Food and Agriculture adopts an organic certification standard, the County Agricultural Commissioner shall determine whether a particular operation satisfies substantially equivalent organic criteria.

Documentation of all pesticides used shall be presented each year as part of the Commercial Cannabis Permit renewal process. All pesticides and fertilizers shall be properly labeled and stored and disposed of to avoid contamination through erosion, leakage, or inadvertent damages from rodents, pests, and wildlife and to prevent harm to persons, the environment, and wildlife.
n. Disposal of waste material. Cannabis waste material shall be disposed of in accordance with existing state and local laws and regulations at the time of disposal. Burning of cannabis waste material is prohibited. A waste management plan addressing the storing, handling, and disposing of all waste by-products of the cultivation and processing activities in compliance with the best management practices shall be submitted for review and approval. The plan shall characterize the volumes and types of waste generated, and the operational measures that are proposed to manage and dispose or reuse the wastes in compliance with best management practices. All garbage and refuse on the site shall be accumulated or stored in non-absorbent, water-tight, vector resistant, durable, easily cleanable, galvanized metal or heavy plastic containers with tight fitting lids. No refuse container shall be filled beyond the capacity to completely close the lid. All garbage and

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
refuse on the site shall not be accumulated or stored for more than seven (7) calendar days and shall be properly disposed of before the end of the seventh day regarding solid waste management. All waste, including but not limited to refuse, garbage, green waste and recyclables, must be disposed of in accordance with local and state codes, laws and regulations. All waste generated from cannabis operations must be properly stored and secured to prevent access from the public.
o. Public Sewer or Sewage Disposal System. The premises where the cultivation of cannabis takes place shall either be connected to a public sewer system, have a Kern County Health Department inspected and approved sewage disposal system, enter into a service agreement for the provision of and maintenance of portable restroom facilities, drinking fountains, and handwashing units at the cultivation site, or have restroom facilities deemed appropriate by the City Manager, or authorized designee(s). p. Wastewater Discharge. A wastewater management plan shall be submitted identifying the amount of wastewater, excess irrigation and domestic wastewater anticipated, as well as disposal. All cultivation operations shall comply with the best management practices and shall submit verification of compliance with the waste discharge requirements of the state water resource control board, or waiver thereof. Excess irrigation water or effluent from cultivation activities shall be directed to a sanitary sewer, septic, irrigation, graywater, or bio-retention treatment systems. If discharged to a septic system, a system capacity evaluation by a qualified sanitary engineer shall be included in the management plan.

Such a plan must be permitted by the Kern County Health Department. All domestic waste for employees shall be disposed of in a permanent sanitary sewer or on-site septic system demonstrated to have adequate capacity.
q. Public Access and Improvement Required. Outdoor cultivation sites shall be located on sites that have or will have required public street right-of-way, dedication of street right-of-way, and meeting the City of Arvin improvement standards. Should an outdoor cultivation operation be proposed on a site not meeting the improved right-ofway requirement, the applicant shall enter into a Street Improvement Agreement. The agreement shall include but not limited to dedication of right-of-way, improvement of all road frontages (street improvement, curb, gutter, and sidewalk, street lighting, etc.), joining a or creating a Lighting and Landscape District, prior to the issuance of a Commercial Cannabis Permit by the City Manager. The City Manager may defer the implementation of the Deferred Street Improvement Agreement for a period of time not to exceed two (2) years.

6. Commercial Cannabis Nurseries.
a. A Commercial Cannabis Permit for a commercial cannabis nursery shall be subject to all of the restrictions and requirements in this section 8.29.05.115 for any activities of the nursery that will be conducted outdoors and all of the restrictions and requirements in any other section of 8.25.05 for all activities of the nursery that will be conducted indoors.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
b. A Commercial Cannabis Permit for a commercial cannabis nursery shall state the maximum square footage allowed for designated nursery areas with only immature plants, designated nursery areas for seed propagation that may contain mature plants, and designated research and development areas that may contain mature plants if the permittee will be conducting research and development activities that require a plant to flower. The City may place restrictions on such square footage to maintain consistency with other laws, surrounding commercial uses, and neighborhood compatibility. c. Nursery activities may not be permitted in a residential dwelling or accessory structure connected to a residential dwelling.

7. Operating Standards.
a. Compliance Inspections. All cultivation sites shall be subject to on-site compliance inspections by agencies having jurisdiction. The inspection shall be conducted during regular business hours.
b. Hours of Operation. Outdoor harvesting activities and processing activities may be conducted seven (7) days a week, twenty-four (24) hours per day as needed. Deliveries and shipping, and outdoor processing activities, shall be limited to the hours from 8:00 a.m. to 5:00 p.m., unless modified by the City Manager. c. Occupational Safety. Cultivators shall comply with all applicable federal, state, and local laws and regulations governing California Agricultural Employers, which may include: federal and state wage and hour laws, CAL/OSHA, OSHA, and the California Agricultural Labor Relations Act.

SECTION 9. Section 8.29.05.160, to Title 8 of the Arvin Municipal Code entitled “Fees and Charges” is herby amended as follows:

Section 8.29.05.160 - Fees and Charges.
(a) No person may commence or continue any commercial cannabis activity in the City without timely paying in full all fees, costs, penalties and charges required in connection with the establishment or operation of a commercial cannabis activity. Fees and charges associated with the establishment or operation of a commercial cannabis activity shall be set by resolution or ordinance of the City Council.
(b) All commercial cannabis businesses operating pursuant to this Chapter shall pay any and all applicable sales, use, business or other taxes, and all license, registration, or other fees required pursuant to federal, state, and local law.
(c) Commercial Cannabis Tax Revenues and Rates are established for Commercial Cannabis businesses in accordance with Title III Revenue and Finance, Chapter 3.19.

1. Pursuant to Section 8.29.05.290(a), the City has limited the total square footage of Commercial Cannabis to 1,350,000 square feet,

2. Pursuant to Section 8.29.05.04(c), the City has limited the Type 12 Microbusiness to a total of 35 business within the current City limits.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation

3. Pursuant to Section 8.29.05.04(d), the City has limited the number of commercial cannabis permits authorizing the operation of outdoor cultivation that may be active or valid in the city at any given time shall not exceed ten (10) permits for 2024, shall not exceed an additional ten (10) permits in 2025, shall not exceed an additional ten (10) permits in 2026, and shall not exceed an additional ten (10) permits in 2027, additional permits be established by the city council.

4. Additional Fees:
a. Micro-businesses: Due to the limitation of square footage for commercial cannabis business, limitation to the maximum number of Micro-businesses, the applicant of and any assignee shall pay, upon approval of each Commercial Cannabis permit, a minimum sum of $25,000.00 annually for each permit and/or activity, regardless of operational status. The annual fee is in addition to the commercial cannabis tax established under Chapter 3.19.
b. Outside Cultivation – Mixed-Cultivation: Outside cultivation shall pay $25,000 per gross acre annually, the annual fee is in addition to the commercial cannabis tax established under Chapter 3.19. For clarification, gross area includes setbacks and screening areas and outdoor cultivation areas as established by Section 8.29.05.115 Outdoor Cultivation of Commercial Cannabis.
c. The annual payment shall be paid within 10 days of the approval/conditional approval of a Commercial Cannabis permit. Alternatively, payment(s) may be deferred by the City Manager but no later than the date of permit issuance of commercial cannabis permits by the State of California or may be deferred as may be approved by the City Manager.
d. Credit Upon Operation: Should the Commercial Cannabis business be operational within the first year, the quarterly tax liability due from the minimum quarterly payment(s) shall be credited toward that business’s annual payment of $25,000.0 per a. and b. above.
e. Should the Permit Holder fail to begin operations within two years of the first permit’s issuance, payment of the annual $25,000.00 minimum required payment shall not be refunded. The quarterly payment is required due to the limited square footage for Commercial Cannabis and is established as a deterrent against non-operational permit holders. The non-operation of permitted Commercial Cannabis establishments is determined to be detrimental to the health and welfare of the City.

SECTION 10. Section 8.29.05.250, to Title 8 of the Arvin Municipal Code entitled "Operating requirements for cultivation businesses and nurseries” is hereby amended as follows:
a Outdoor commercial cultivation and outdoor nursery activity is permitted subject to Section 8,29.05 Commercial Cannabis Activity prohibited.

All other portions of Section 8.29.05.250 shall remain as stated in the Arvin Municipal Code.

SECTION 11. Section 8.29.05.290, to Title 8 of the Arvin Municipal Code entitled “Total Area Devoted to Commercial Cannabis Businesses” is hereby amended as follows:

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation
Section 8.29.05.290 - Total Area Devoted to Commercial Cannabis Businesses, Accessory Struture Limitation, Minimum Square Footage Required, and Minimum Parcel Size Required for Outside Cultivation.
(d) Minimum parcel size of one-acre (1.0) gross area of 43,560 square feet required for outside cultivation and accessory uses each permit regardless of minimums established by the State of California for outdoor cultivation.

All other portions of Section 8.29.05.290 shall remain as stated in the Arvin Municipal Code.

SECTION 12. Severability. If any section, subsection, subdivision, paragraph, sentence, clause, or phrase of this chapter or any part thereof is for any reason held to be unconstitutional, invalid, or ineffective by any court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this chapter or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause, or phrase of this chapter irrespective of whether one or more sections, subsections, subdivisions, paragraphs, sentences, clauses, or phrases is held invalid or ineffective.

SECTION 13: This Ordinance shall take effect thirty (30) calendar days after its adoption. Within fifteen (15) calendar days after its adoption, the Ordinance, or a summary of the Ordinance, shall be published once in a newspaper of general circulation.

I HEREBY CERTIFY that the foregoing Ordinance was introduced by the City Council after waiving reading, except by Title, at a regular meeting thereof held on the 23rd day of January 2024, and adopted the Ordinance after the second reading at a regular meeting held on the ______ day of ___________ 2024, by the following roll call vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

ATTEST
CECILIA VELA, City Clerk

CITY OF ARVIN
By:

OLIVIA TRUJILLO, Mayor

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading

Ord Amending AMC 8.29.05 re Outdoor Cultivation

APPROVED AS TO FORM
By:

NATHAN HODGES, City Attorney
Hodges Law Group
I, _________________________, City Clerk of the City of Arvin, California, DO HEREBY CERTIFY that the foregoing is a true and accurate copy of the Ordinance passed and adopted by the City Council of the City of Arvin on the date and by the vote indicated herein.

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Attachment: 2-Ordinance AMC 8.29.05 re Outdoor Commercial Cannabis Update_First Reading CC Mtg 012324 (Public Hearing - First Reading ORDINANCE NO. 2022-479 ADOPTED MARCH 22, 2022
Chapter 8.29 MARIJUANA
SECTION 8.29.05 COMMERCIAL CANNABIS ACTIVITY
Section 8.29.05.01 - Purpose and Intent.
(a) It is the purpose and intent of this Chapter to adopt local prohibitions and regulations applicable to commercial cannabis activity as may be permitted by the Medicinal and Adult-Use Cannabis Regulation and Safety Act and other applicable State law, as amended, pertaining to regulation of commercial cannabis and the use of land, in order to protect the City's neighborhoods, residents, and businesses from negative impacts. It is a further purpose and intent of this Chapter to regulate the cultivation, manufacturing and testing of cannabis and cannabis products in a manner which is responsible and which protects the health, safety, and welfare of the residents of the City, and to enforce rules and regulations consistent with applicable state law including, but not limited to, the Medicinal and Adult-Use Cannabis Regulation and Safety Act, the Adult Use of Marijuana Act, the Compassionate Use Act of 1996, and the Medical Marijuana Program Act. In furtherance of these objectives, this Chapter imposes an annual regulatory permit requirement, a conditional use permit requirement, employee work permit requirements, and operating requirements applicable to persons who seek to own, operate, or engage in commercial cannabis businesses within the City as authorized under this Chapter or the Arvin Municipal Code. Nothing in this Chapter is intended to authorize any activity which is in violation of state or federal law. The provisions of this Chapter are in addition to the business license requirements applicable to business conducted in the City, and to all other applicable requirements of the Arvin Municipal Code.
(b) Pursuant to Section 7 of Article XI of the California Constitution, the City is authorized to adopt ordinances that establish standards, requirements, and regulations for local licenses and permits for commercial cannabis activity. Any standards, requirements, and regulations regarding commercial cannabis activity, including health and safety, testing, laboratory operations and safety, security, and worker protections established by the State, or any of its agencies, departments, or divisions, shall be the minimum standards applicable in the City, and the provisions of this ordinance shall apply in addition thereto.

Section 8.29.05.02 - Definitions.

When used in this Chapter, the following terms shall have the meanings ascribed to them in this Section. Any reference to California statutes includes any regulations promulgated thereunder and is deemed to include any successor or amended version of the referenced statute or regulatory provision.
(a) "Building Official" means the Building Official for the City or his/her designee. (b) "Cannabis" means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. (c) (c) "Cannabis" also means the separated resin, whether crude or purified, obtained from marijuana. "Cannabis" does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted therefrom), fiber, oil, or cake, or the sterilized seed of the plant which is incapable of germination. "Cannabis" also does not include the weight of any other ingredient combined with cannabis to prepare topical or oral administrations, food, drink, or other product. For the purpose of this Chapter, "Cannabis" does not mean industrial hemp as that term is defined by Section 11018.5 of the California Health and Safety Code. (c) "Cannabis concentrate" means manufactured cannabis that has undergone a process to concentrate one or more active cannabinoids, thereby increasing the product's potency.

Resin from granular trichomes from a cannabis plant is a concentrate for purposes of this

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 Chapter. A cannabis concentrate is not considered food, as defined by Section 109935 of the Health & Safety Code, or a drug, as defined by Section 109925 of the Health & Safety Code.
(d) "Cannabis products" means cannabis that has undergone a process whereby the plant material has been transformed into a concentrate, including, but not limited to, concentrated cannabis, or an edible or topical product containing cannabis or concentrated cannabis and other ingredients.
(e) "Chief of Police" means the Chief of Police for the Arvin Police Department or his/her designee.
(f) "City Manager" means the City Manager for the City or his/her designee. (g) "Commercial cannabis activity" or "commercial cannabis business" includes cultivation, possession, manufacture, distribution, processing, storing, laboratory testing, packaging, labeling, transportation, delivery or sale (including retail and wholesale) of cannabis or cannabis products conducted or engaged in by any person, except cultivation and possession of cannabis for personal use as governed by Arvin Municipal Code Chapter

8.29, Section 8.29.05 and/or as preempted by State law. (h) "Commercial cannabis permit" means a permit issued by the City pursuant to this Chapter to a commercial cannabis business.
(i) "Cultivation" means any activity involving the propagation, planting, growing, harvesting, drying, curing, grading, or trimming of cannabis.
(j) “Cultivation License Types” Cultivation License types are based on the: Type of Production and Lighting Use and Number of plants grown or size of the canopy. The canopy is the area where mature (flowering) plants are grown. (k) "Cultivation site" means a facility where cannabis is propagated, planted, grown, harvested, dried, cured, graded, or trimmed, or where all or any combination of those activities occur. (l) "Day care center" means, as the term is understood in Business & Professions Code Section 26001(o), as may be amended, any child day care facility other than a family day care home, and includes infant centers, preschools, extended day care facilities, and school age childcare centers.
(m) “Delivery" means the commercial transfer of cannabis or cannabis products to a customer at the customer's home or other location remote from the premises of the commercial cannabis business making the delivery and includes the use by a retailer of any technology platform. "Delivery" does not mean or include storefront sales. (n) "Distribution" means the procurement, sale and transport of cannabis and cannabis products between licensees.
(o) "Distributor" means a licensee engaged in distribution. (p) "Edible cannabis product" means a cannabis product that is intended to be used, in whole or in part, for human consumption. An edible cannabis product is not considered food as defined by Section 109935 of the California Health and Safety Code or a drug as defined by Section 109925 of the California Health and Safety Code. (q) Employee – See (ee) Responsible Person.
(r) "Fire Chief" means the Fire Chief for the City as designated by the Kern County Fire Department, or his or her designee.
(s) “General Cultivation Requirements” 1. Licensees are prohibited from transferring any commercially cultivated cannabis or nonmanufactured cannabis products from their licensed premises. All transfers of cannabis and nonmanufactured cannabis product from a licensed cultivation premises must be conducted by a distributor licensed by the Department. 2. Artificial lighting is permissible only to maintain immature plants outside the canopy area.
(t) "HIPAA" means the Health Insurance Portability and Accountability Act of 1996. (u) "Labeling" means any label or other written, printed, or graphic matter upon a cannabis product, upon its container or wrapper, or that accompanies any cannabis product. (v) “Large Cultivation Licenses” (1)"Large Outdoor" is an outdoor cultivation site with more than one acre of total canopy. (2)"Large Indoor" is an indoor cultivation site with more

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 than 22,000 square feet of total canopy. (3)"Large Mixed-light" is a Mixed-light cultivation site with more than 22,000 square feet of total canopy. (w) "License" or "State License" means a license issued by the State of California, or one of its departments or divisions, pursuant to Division 10 of the California Business & Professions Code. "Licensee" means a person holding a State License. (x) “Lighting Diagram” For mixed-light and indoor licenses, the lighting diagram on file with the Commercial Cannabis Application accurately reflects the location and maximum wattage of all lights in the designated canopy area(s), and the average lighting (watts per square foot of canopy) is within the limit of the license type. Mixed-Light Tier 1: no more than 6 watts per square foot; Mixed-Light Tier 2: above 6 and no more than 25 watts per square foot, and Indoor: More than 25 watts per square foot. Note: If lighting fixtures with a range of available wattage are used, use the maximum possible wattage to calculate average lighting. Greenhouse with 5 rows of 5’ x 50’ beds = 1,250 square feet of canopy 5 rows of 10 lights x 500 watts per light = 25,000 watts, Average lighting = (25,000 watts / (1,250 sq ft) = 20 watts / sq ft
(y) "Live plants" means living cannabis flowers and plants, including seeds, sprouts, immature plants (including unrooted clones), and vegetative stage plants. (z) "Manufacture" means to compound, blend, extract, infuse, or otherwise make or prepare a cannabis product.
(aa) "Manufacturer" means a licensee that conducts the production, preparation, propagation, or compounding of cannabis or cannabis products either directly or indirectly or by extraction methods, or independently by means of chemical synthesis at a fixed location that packages or repackages cannabis or cannabis products or labels or relabels its container; "Manufacturer" includes the activity of manufacturing.
(bb) "Manufacturer 1" means a licensee that manufactures cannabis products using nonvolatile solvents, or no solvents.
(cc) "Manufacturer 2" means a licensee that manufactures cannabis products using volatile solvents.
(dd) “Medium” 1. “Medium Outdoor” is an outdoor cultivation site with between 10,001 square feet and one acre of total canopy. 2.”Medium Indoor" is an indoor cultivation site with between 10,001 and 22,000 square feet of total canopy. 3."Medium Mixed-Light Tier 1 and 2" is a mixed-light cultivation site with between 10,001 and 22,000 square feet of total canopy.
(ee) "Nursery" means a licensee that produces only cannabis clones, immature cannabis plants, seeds, and other agricultural products used specifically for the planting, propagation, and cultivation of cannabis.
(ff) "Owner" means any person who has an ownership interest in a commercial cannabis business.
(gg) "Package" means any container or receptacle used for holding cannabis or cannabis products.
(hh) "Person" means an individual, firm, partnership, joint venture, association, corporation, limited liability company, estate, trust, business trust, receiver, syndicate, nonprofit organization, or any other group or combination acting as a unit and includes the plural as well as the singular.
(ii) "Premises" means the designated structure or structures and the surrounding land that is owned, leased or otherwise held under the control of a commercial cannabis permit applicant or permittee where commercial cannabis activity will be or is conducted. This definition does not alter the meaning of the term "Premises" as utilized by the State of California for commercial cannabis licensing.
(jj) Processor” is a cultivation site that conducts only trimming, drying, curing, grading, packaging, and labeling of cannabis and nonmanufactured cannabis products. Cal. Code Regs. Tit. 4, § 16201

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 (kk) "Responsible person" means any person who is responsible for, or who will oversee or participate in, the direction, control, management, or supervision of a commercial cannabis business.
(ll) "Retailer" means a person who engages in the retail sale of cannabis or cannabis products to customers.
(mm) "Sell," "sale" and "to sell" include any transaction whereby, for any consideration, title to cannabis or cannabis products is transferred from one person to another, and includes the delivery of cannabis or cannabis products pursuant to an order placed for the purchase of the same and soliciting and receiving an order for the same, but does not include the return of cannabis or cannabis products by a licensee to the licensee from whom the cannabis or cannabis product was purchased.
(nn) "School" means, as the term is understood in Business & Professions Code Section 26054(b), as may be amended, a place of instruction in kindergarten or any grades 1 through 12.
(oo) “Small” (1)"Small Outdoor" is an outdoor cultivation site with between 5,001 and 10,000 square feet of total canopy. (2)"Small Indoor" is an indoor cultivation site with between 5,001 and 10,000 square feet of total canopy. (3) "Small Mixed-Light Tier 1 and 2" is a mixed-light cultivation site with between 5,001 and 10,000 square feet of total canopy. (pp) “Specialty:” (1) "Specialty Outdoor" is an outdoor cultivation site with less than or equal to 5,000 square feet of total canopy, or up to 50 mature plants on noncontiguous plots. (2) "Specialty Indoor" is an indoor cultivation site with between 501 and 5,000 square feet of total canopy. (3) "Specialty Mixed-Light Tier 1 and 2" is a mixed-light cultivation site with between 2,501 and 5,000 square feet of total canopy. (qq) “Specialty Cottage” (1)"Specialty Cottage Outdoor" is an outdoor cultivation site with up to 25 mature plants or 2,500 square feet or less of total canopy. (2)"Specialty Cottage Indoor" is an indoor cultivation site with 500 square feet or less of total canopy. (3)"Specialty Cottage Mixed-Light Tier 1 and 2" is a mixed-light cultivation site with 2,500 square feet or less of total canopy.
(rr) "State" means the State of California and all of its departments, divisions and agencies, including but not limited to the Bureau of Cannabis Control, the Department of Public Health, and the Department of Food and Agriculture.
(ss) "Stacking" means cultivating cannabis plants on platforms or tables and stacking them in multiple layers on top of each other.
(tt) "Storefront sales" means the retail sale of cannabis or cannabis products directly to customers from a storefront, dispensary, or other permanent building or structure, or in any manner that does not constitute delivery. "Storefront sales" does not include delivery (uu) "Testing Laboratory" means a laboratory, facility or entity that offers or performs tests of cannabis or cannabis products and that is both: (1) accredited by an accrediting body that is independent from all other persons involved in commercial cannabis activity; and (2) a State licensee.
(vv) "Topical cannabis" means a cannabis product intended for external application. A topical cannabis product is not considered a drug as defined by Section 109925 of the California Health and Safety Code.
(ww) “Volatile solvent" means a solvent that is or produces a flammable gas or vapor that, when present in the air in sufficient quantities, will create explosive or ignitable mixtures. (xx) "Youth center" means, as the term is understood in Business & Professions Code Section 26001(av), as may be amended, any public or private facility that is primarily used to host recreational or social activities for minors, including but not limited to private youth membership organizations or clubs, social service teenage club facilities, video arcades, or similar amusement park facilities.

Section 8.29.05.03 - Applicability to Personal Cannabis Activity.

This Chapter applies only to commercial cannabis activities. Except as otherwise provided by this Chapter, cultivation of cannabis for personal use is governed by Section 8.29.05.03 of the Arvin

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 Municipal Code, as may be amended from time to time, and consumption of cannabis is governed by Section 8.29.05.06 of the Arvin Municipal Code, as may be amended from time to time. To the extent any provision of Chapter 8.29 of the Arvin Municipal Code conflicts with this Chapter, this Chapter shall govern.

Section 8.29.05.04 - Permitted Types of Commercial Cannabis Businesses and Limitations (a) Commercial cannabis operations within the City, which comprise the activities of indoor and outdoor cultivation, mixed-light cultivation, nursery cultivation, retailer (delivery only), manufacturer, testing laboratory, distributor, and microbusiness (other than storefront sales) are allowed subject to issuance and maintenance of the permits and entitlements set forth in Section

8.29.05.06(a), continuing compliance with this Chapter and all other applicable City and State laws and regulations, and issuance and maintenance of a valid and current State license of a classification listed below, as provided for in Business & Professions Code Section 26050 and applicable State regulations:

1. Type lA = Cultivation; Specialty Indoor; Small.

2. Type 1B = Cultivation; Specialty Mixed-Light; Small.

3. Type 2A = Cultivation; Indoor; Small.

4. Type 2B = Cultivation; Mixed-Light; Small.

5. Type 3A = Cultivation; Indoor; Medium.

6. Type 3B = Cultivation; Mixed-Light; Medium.

7. Type 4 = Cultivation; Nursery.

8. Upon authorization by the State of California, Type 5A = Cultivation; Indoor; Large.

9. Upon authorization by the State of California, Type 5B = Cultivation; Mixed-Light; Large.

10. Type 6 = Manufacturer 1.

11. Type 7 = Manufacturer 2.

12. Type N = Manufacturer (i.e. no extractions, pursuant to 17 CCR § 40118, as may be amended).

13. Type P = Manufacturer (i.e. packaging and labeling only, pursuant to 17 CCR § 40118, as may be amended).

14. Type 8 = Testing Laboratory.

15. As authorized by California Code of Regulations, Type 9 = Non-Storefront Retailer (i.e. retail sales by delivery only, pursuant to 16 CCR § 5414, as may be amended).

16. Type 10 = Retailer (subject to Section 8.29.050, i.e. delivery only).

17. Type 11 = Distributor.

18. Type 12 = Microbusiness (subject to Sections 8.29.05.04(c) and 8.29.050).

19. Type 13 = Distributor (i.e. transport only, pursuant to 16 CCR § 5315, as may be amended).

20. Cultivation License Types for Indoor or Mixed-Light pursuant to 3 CCR § 8201, as may be amended).

21. Commercial Cannabis types that may be established by the State of California and is determined by the City Manager to be in substantial compliance with this Chapter.

1. Type 1 – Cultivation; Specialty outdoor; Small

2. Type lA = Cultivation; Specialty indoor; Small.

3. Type 1B = Cultivation; Specialty mixed-light; Small.

4. Type 1C- Cultivation; Specialty cottage; Small.

5. Type 2- Cultivation Outdoor; Small

6. Type 2A = Cultivation; Indoor; Small.

7. Type 2B = Cultivation; Mixed-light; Small.

8. Type 3 – Cultivation; Outdoor; Medium

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05

9. Type 3A = Cultivation; Indoor; Medium.

10. Type 3B = Cultivation; Mixed-light; Medium.

11. Type 4 = Cultivation; Nursery.

12. Type 5-Cultivation; Outdoor; Large.

13. Upon authorization by the State of California, Type 5A = Cultivation; Indoor; Large.

14. Upon authorization by the State of California, Type 5B = Cultivation; Mixed-Light; Large.

15. Type 6 = Manufacturer 1.

16. Type 7 = Manufacturer 2.

17. Type N = Manufacturer (i.e. no extractions, pursuant to 17 CCR § 40118, as may be amended).

18. Type P = Manufacturer (i.e. packaging and labeling only, pursuant to 17 CCR § 40118, as may be amended).

19. Type 8 = Testing Laboratory.

20. As authorized by California Code of Regulations, Type 9 = Non-Storefront Retailer (i.e. retail sales by delivery only, pursuant to 16 CCR § 5414, as may be amended).

21. Type 10 = Retailer (subject to Section 8.29.050, i.e. delivery only).

22. Type 11 = Distributor.

23. Type 12 = Microbusiness (subject to sections 8.29.05.04(c) and 8.29.050).

24. Type 13 = Distributor (i.e. transport only, pursuant to 16 CCR § 5315, as may be amended).

25. Cultivation License Types for Indoor or Mixed-Light pursuant to 3 CCR § 8201, as may be amended).

26. Commercial cannabis types that may be established by the State of California and is determined by the city manager to be in substantial compliance with this chapter. (b) Any commercial cannabis activity not expressly authorized by this Chapter is prohibited. (c) The number of commercial cannabis permits authorizing the operation of a microbusiness requiring a Type-12 State License that may be active or valid in the City at any given time shall not exceed thirty-five (35) permits, or a lower number as may be established by the City Council. (d) The number of commercial cannabis permits authorizing the operation of outdoor cultivation that may be active or valid in the city at any given time shall not exceed ten (10) permits for 2024, shall not exceed an additional ten (10) permits in 2025, shall not exceed an additional ten (10) permits in 2026, and shall not exceed an additional ten (10) permits in 2027, additional permits be established by the city council.

Section 8.29.050.05 - Prohibited Types of Commercial Cannabis Businesses (a) Commercial cannabis businesses within the City which involve the activities of outdoor cultivation and storefront sales are prohibited in the City. This prohibition includes, but is not limited to, commercial cannabis activities licensed by the State license classifications listed below, as provided for in Business & Professions Section 26050 and applicable State regulations:

1. Type 1= Cultivation; Specialty Outdoor; Small.

2. Type 1C = Cultivation; Specialty Cottage; Small.

3. Type 2 = Cultivation; Outdoor; Small.

4. Type 3= Cultivation; Outdoor; Medium.

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05

5. Type 5 = Cultivation; Outdoor; Large.

1. Type 10 and 12 (Storefront sales prohibited.)
(b) Except as otherwise expressly provided in this Chapter, the prohibition of subsection (a) includes any similar commercial cannabis activities authorized under new or revised State licenses, or any other State authorization, for any type, category, or classification of commercial cannabis activities which involve the above-referenced or similar activities or operations. (c) Notwithstanding any provision of this Chapter or the Arvin Municipal Code, storefront sales are prohibited in the City. No commercial cannabis permit issued to any person, including but not limited to a person holding a Type 10 "Retailer" or Type 12 "Microbusiness" State license, shall include any authorization to engage in storefront sales.

This prohibition applies to both adult-use and medicinal cannabis and cannabis products. As such, no medicinal cannabis cooperative, collective, dispensary, operator, establishment, or provider, within the meaning of Health & Safety Code Section 11362.768, shall be permitted to engage in storefront sales. The term "storefront sales" shall include making available, tendering, offering, bartering, gifting, releasing, delivering, providing or exchanging any cannabis or cannabis products.

However, this subsection does not prohibit the issuance of commercial cannabis permits authorizing non-storefront sales, by delivery only, of cannabis or cannabis products in the City. (d) Consistent with Business & Professions Code Section 26080, nothing in this Chapter shall be interpreted to prohibit the use of the public roads of the City by a State licensee in the course of making cannabis deliveries to and from areas outside of the City.

Section 8.29.05.06 - Required Licenses and Permits.
(a) It shall be unlawful to own, establish, operate, use, or allow the establishment or activity of a commercial cannabis business, or to participate in a commercial cannabis business as an employee, contractor, agent, volunteer, or in any manner or capacity, other than as provided in this Chapter and pursuant to the following:

1. A valid and current commercial cannabis permit(s) issued by the City pursuant to this Chapter, and

2. The equivalent State license(s) for such commercial cannabis business issued pursuant Division 10 of the Business & Professions Code, as may be amended, and

3. Employee Badge pursuant to Section 8.29.05.09; and

4. A valid City business license.
(b) The City Manager is hereby authorized to issue commercial cannabis permits on behalf of the City.

The City Manager, or designee, in his or her sole discretion, may issue a commercial cannabis permit only upon confirming that the applicant to whom the permit is to be issued has satisfied all of the requirements of this Chapter and the other applicable provisions of the Arvin Municipal Code, as may be amended from time to time, any regulations promulgated pursuant to this Chapter, and any law or regulation enacted by the State of California or any department of the State governing commercial cannabis activities.
(c) Commercial cannabis permits shall be governed by the following requirements and limitations:

1. Commercial cannabis permits may only permit the types of cannabis activity expressly authorized by this Chapter.

2. No commercial cannabis permit shall authorize public access to any commercial cannabis business. Only persons involved in the bona fide business activities of a commercial cannabis business shall be authorized to access the premises of a commercial cannabis business.

3. Commercial cannabis businesses shall not employ or grant access to any individual who is under twenty-one (21) years of age.

4. Each commercial cannabis permit issued pursuant to this Chapter shall expire twelve (12) months after the date of its issuance and must thereupon be renewed. Continued operation of a commercial cannabis business after expiration of a commercial cannabis permit shall be unlawful and a violation of this Chapter.

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05

5. Prior to issuance of any commercial cannabis permit, each proposed commercial cannabis business shall be subject to the mandatory inspections provided by Section 8.29.05.15 and shall obtain all required permits or approvals which are otherwise required for the premises by applicable law, including, but not limited to, building permits, California Fire Code approvals, and planning-level permit(s) required by Title 17 Zoning of the Arvin Municipal Code. Temporary Certificate of Occupancy may be issued by the Building Official where such occupancy is near completion of required improvements and where the Building Official and Fire Agency finds that no health and safety factors exists.

6. Consistent with Business and Professions Code Section 26053, a commercial cannabis business conducting multiple commercial cannabis activities shall obtain a commercial cannabis permit authorizing each type and location of commercial cannabis activity prior to engaging in that activity. A commercial cannabis business licensed by the State to conduct multiple commercial cannabis activities shall not receive a commercial cannabis permit authorizing any commercial cannabis activity within the City that is not expressly authorized by this Chapter. An applicant may be issued a commercial cannabis permit authorizing multiple different types of commercial cannabis activities as defined by applicable State license classifications, consistent with the requirements of Business and Professions Code Section 26053 and/or a Type 12 "Microbusiness" State license.

7. Revocation, termination, denial, non-issuance or suspension of a State license shall immediately and automatically terminate the commercial cannabis permit, and all commercial cannabis activity shall immediately cease. Upon reinstatement or receipt of a new State license, the commercial cannabis activity may file for a new permit from the City.

While a new application for a commercial cannabis permit is pending, the applicant shall not engage in any commercial cannabis activity. Violations of this Section shall be grounds for denial of an application for a commercial cannabis permit and for the enforcement, penalties and cost recovery prescribed within Section 8.29.05.170 and any other applicable provisions of the Arvin Municipal Code.

8. The issuance of a commercial cannabis permit shall constitute a revocable privilege and shall not create or establish any vested rights for the development or use of any property. (d) Renewals of commercial cannabis permits shall be governed by the following requirements and limitations:

1. Applications for renewal of commercial cannabis permits shall be filed with the City Manager at least sixty (60) calendar days prior to the expiration date of the permit and shall be subject to all requirements applicable to an application for initial issuance of a commercial cannabis permit.

2. An application for renewal of a commercial cannabis permit shall be denied if any of the following exists:
i. The application is filed less than sixty (60) calendar days before expiration of the commercial cannabis permit. Notwithstanding the foregoing, the City Manager, in his discretion, may accept an application filed between thirty (30) and sixty (60) days before expiration based upon a showing of good cause by the applicant for the late filing.
ii. The commercial cannabis permit, or any of the other entitlements required for the commercial cannabis to operate in compliance with this Chapter, is suspended or revoked at the time the application for renewal is submitted or is suspended or revoked while the application for renewal is pending.
iii. The commercial cannabis business or activity has not been in regular and continuous operation during the four (4) months prior to the submission of the application for renewal.
iv. The commercial cannabis business is in noncompliance with any provision of this Chapter, any regulation promulgated pursuant hereto, any other provision of the Arvin Municipal Code applicable to the commercial cannabis business, or any condition of approval of the commercial cannabis permit or any other entitlement issued by the City to the commercial cannabis business.

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 v. The applicant for renewal of the commercial cannabis permit has failed to obtain or renew any required State license or is in violation of any applicable provision of State law or any applicable State regulation.
vi. The applicant for renewal has failed to pay in full all fees, administrative fines, penalties and/or charges imposed by the City relating to the commercial cannabis business, unless assessment of the fees, administrative fines, penalties and/or charges are being appealed.

3. If a renewal application is denied, the applicant may file an appeal. The appeal must be in writing, must identify the grounds for reversing the denial, and must be submitted to the City Clerk within ten (10) days from the date of the denial. The appeal shall be conducted pursuant to Section 8.29.05.190(j). In the alternative, the applicant may file a wholly new application for a commercial cannabis permit pursuant to this Chapter. Upon expiration of the commercial cannabis permit and regardless of a pending appeal or new application for a commercial cannabis permit, all of the applicant's commercial cannabis activity shall immediately cease. Violations of this Section shall subject the violator to denial of the appeal or new application for a commercial cannabis permit and/or the enforcement, penalties and cost recovery mechanisms prescribed within this Chapter and/or the Arvin Municipal Code.

4. Any unpaid fees, administrative fines, penalties and/or costs imposed by the City relating to the commercial cannabis business shall be added to the fee for renewal of the commercial cannabis permit, unless assessment of the fees, administrative fines, penalties and/or costs are being appealed.

5. A commercial cannabis permit shall not be renewed until the City receives payment in full of the fee for the commercial cannabis permit renewal application. Said fee shall be governed by and subject to the provisions of Section 8.29.05.190(b), unless otherwise provided by resolution of the City Council.
(e) Failure of a commercial cannabis business to obtain and maintain a valid City business license, and to remain in compliance with all applicable provisions and requirements of that license, shall constitute grounds for denial of an application for renewal of a commercial cannabis permit, suspension or revocation of a current commercial cannabis permit.

Section 8.29.05.07 - Existing Commercial Cannabis Businesses.

Commercial cannabis businesses in existence in the City as of the date of adoption of this Chapter may continue to operate under the approved and issued Commercial Cannabis Permit and associated entitlements, Conditional Use Permit, Site Development Plan, Development Agreement, or may, upon its annual renewal, utilize this Chapter for permitting and compliance with the requirements of this Chapter.

An unpermitted commercial cannabis business that can demonstrate to the City Manager's satisfaction that it is diligently applying to obtain the required permits and licenses, and that it is in good standing and otherwise in compliance with all applicable local and state laws and regulations, may, at the discretion of the City Manager, be temporarily permitted to continue its operations while its applications for the required permits and licenses are pending.

Section 8.29.05.08 - Security Measures.
(a) A permitted commercial cannabis business, regardless of building type utilized, shall implement sufficient security measures to both deter and prevent unauthorized entrance into areas containing cannabis or cannabis products and theft of cannabis or cannabis products at the premises. These security measures shall include, but shall not be limited to, all of the following, in addition to any other security measures deemed necessary by the City Manager or required pursuant to any regulations as may be promulgated by the City Manager in furtherance of the purposes of this Chapter:

1. Preventing persons from remaining on the premises of the commercial cannabis business if they are not engaging in bona fide business activity of the commercial cannabis business.

2. Establishing limited access areas accessible only to authorized commercial cannabis business personnel.

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05

3. Ensuring that live growing plants which are being cultivated are kept in a secured cultivation site, and that all cannabis and cannabis products are stored in a secured and locked room, safe, or vault at all times. All cannabis and cannabis products, including live plants which are being cultivated, shall be kept in a manner as to prevent diversion, theft, and loss.

4. Installing twenty-four (24) hour security surveillance cameras with night vision capability and of at least 1080p HD-quality to monitor all entrances and exits to and from the premises and to monitor all interior spaces, excluding all restroom and changing room facilities, within the commercial cannabis business. The security surveillance system shall be compatible with software and hardware utilized by the Arvin Police Department and as approved by the Chief of Police or designee. The security surveillance system shall be capable of providing the Arvin Police Department with remote real-time/live access to the video footage during emergency situations, including but not limited to armed robbery, active shooter, hostage, and exposure to hazardous or volatile substances. Video recordings shall be maintained for a minimum of forty-five (45) days. Upon request by the Chief of Police, video recordings will be provided to the Arvin Police Department within twenty-four (24) hours. If the commercial cannabis business refuses to provide the Chief of Police access to the realtime/live video feed or the requested video recordings, the City Attorney shall be authorized to seek reimbursement of all costs, including but not limited to court costs, attorney's fees, filing fees, administrative time and fees and employee time, incurred by the City while seeking a warrant and/or judicial intervention granting the requested access. The requirements of this Section shall be in addition to any other applicable provision of the Arvin Municipal Code.

5. Sensors shall be installed to detect entry and exit from all secure areas.

6. Panic buttons shall be installed in all commercial cannabis businesses.

7. A professionally installed, maintained, and monitored alarm system shall be maintained in operable condition at all times.

8. Any bars installed on the windows or the doors of the commercial cannabis business shall be installed only on the interior of the building and shall be installed in compliance with all applicable requirements of the Arvin Municipal Code, California Building Code and California Fire Code.

9. Each commercial cannabis business shall have the capability to remain secure and operational during a power outage and shall ensure that all access doors are not solely controlled by an electronic access panel to ensure that locks are not released during a power outage.

10. All security personnel to be hired or used by each commercial cannabis business shall be licensed by and in good standing with the State Bureau of Security and Investigative Services and shall obtain an Employee Badges pursuant to Section 8.29.05.09. At least one such security guard shall be on the premises of each commercial cannabis business during all operating hours. The City Manager may increase the number of security guards required to be on the premises of any commercial cannabis business as a condition of approval of any commercial cannabis permit application, if he or she deems such additional security guards necessary to adequately protect the premises based on the size or other characteristics of the commercial cannabis business or its premises.
(11) Fencing shall be installed along the perimeter of the project site. Fencing location, design, and materials shall be approved by the City Manager or designee. Fencing shall be a minimum of 10’-0” with angled or electrified top. Materials shall be limited to wrought iron fencing, masonry, a combination of the two, or alternatives subject to approval by the City Manager or their designee. All fencing shall have angled wrought iron topping or must be electrified. Electronic entry gates for automobiles and pedestrians shall be designed as noted above and the City Manager or designee shall have final approval. Fencing must be in place to the satisfaction of the City Manager or their designee as well as the Building Department prior to being eligible for a certificate of occupancy or a temporary certificate of occupancy or upon the development and use of any outdoor cultivation operations as established per Section

8.29.05.115 Outdoor Cultivation of Commercial Cannabis.

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 (12) Any portion of the fencing that is electrified shall comply with all State, Federal and Local laws, including, but not limited to, California Civil Code section 835 and any amendments thereto. (13) Developer must submit a detailed fencing plan to the City Engineer or their designee for approval. Plans may be included within a larger Civil Design Plan required for overall site development approval. At a minimum, the plans must show the layout of all proposed exterior fences with locations of gates for pedestrians and vehicles, separation from sensitive uses. Plans must also include typical sections, typical elevations, and details regarding hardware, materials, color, textures, and any additional information requested by the City Engineer upon review of a fencing plan. The use of existing fences must also be shown on the plans, detailed appropriately, and shall be subject to approval on a case-by-case basis by the City Engineer. City Engineer review shall be independent of any necessary review by the Building Department which the Developer must submit plans to for a separate permit following City Engineer approval. (14) The use of razor wire, barbed wire, or similar materials is strictly prohibited. In cases of masonry walls, all public facing sides must be covered in an approved anti-graffiti material or must have climbing vines attached to the walls which must be maintained over time to the satisfaction of the City Manager. In cases of wrought iron fences, the Developer may install an opaque cover to prevent the public from seeing into the site. In these cases, such a cover must also have an approved anti-graffiti coating. Any graffiti must be immediately removed by the Developer within 72 hours when notified by the City Manager or their designee regardless of when the graffiti first appeared.

Similarly, any damage to the perimeter fencing must be immediately repaired within 72 hours when notified by the City Manager or their designee regardless of when the damage first appeared. (15) Approved colors and textures for public facing portions of fences are as follows unless otherwise approved by the City Manager or their designee:

Masonry: terra cotta; split faced
Wrought iron and opaque coverings: black or green; opaque covering to be metallic or durable plastic capable of withstanding substantial winds and must be UV and rust resistant.
(16) Security measures pursuant to this section may be modified by the City Manager for outdoor cultivation as established in Section 8.29.05.115(l) Outdoor Cultivation of Commercial Cannabis Security Measures.
(b) Each commercial cannabis business shall provide the City Manager with the identity and contact information for a liaison who shall be reasonably available to meet and discuss compliance with the requirements of the Arvin Municipal Code, state law and/or any other laws and regulations applicable to the commercial cannabis business.
(c) As part of the application and permitting process, each commercial cannabis business shall provide the City Manager with a detailed transportation plan describing the procedures for safely and securely transporting cannabis, cannabis products and/or currency. (d) A commercial cannabis business shall notify the Chief of Police within twenty-four (24) hours after discovering any of the following:

1. Significant discrepancies identified in inventory. The level of significance may be determined by regulations promulgated by the City Manager.

2. Diversion, theft, loss or any criminal activity involving the commercial cannabis business, an employee or any agent of the commercial cannabis business.

3. The loss or unauthorized alteration of records referring or related to cannabis, cannabis products, employees or agents of the commercial cannabis business.

4. Any other breach of security.

Section 8.29.05.09 - Employee Badge Requirement.

Every employee or independent contractor working at or for a commercial cannabis business or involved in security, delivery or distribution, or other services for a commercial cannabis business

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 shall obtain an employee badge pursuant to Title 4 Cal. Code Regulations Section 15043 or as may be amended. (§15043. Licensee Employee Badge Requirement. All agents, officers, or other persons acting for or employed by a licensee conducting retail sales or participating in a temporary cannabis event shall display a laminated or plastic-coated identification badge always issued by the licensee while engaging in commercial cannabis activity. The identification badge shall, at a minimum, include the licensee’s “doing business as” name and license number, the employee’s first name, an employee number exclusively assigned to that employee for identification purposes, and a color photograph of the employee that clearly shows the full front of the employee’s face and that is at least 1 inch in width and 1.5 inches in height.).

Persons who are listed as commercial cannabis permit holders or owners thereof, who are subject to criminal history records checks pursuant to Section 8.29.05.240(k), shall be required to obtain an Employee Badge if such person also serves as an employee or contractor for the permit holder's commercial cannabis business.

Section 8.29.05.100 - Right to Occupy and to Use Property.

As a condition precedent to the City's issuance of a commercial cannabis permit pursuant to this Chapter, any person intending to open and to operate a commercial cannabis business shall provide sufficient evidence of the legal right to occupy and to use the proposed location. In the event the proposed location is leased from another person, the applicant for a permit under this Chapter shall provide a signed and notarized statement from the owner of the property to demonstrate the property owner has acknowledged and has consented to the operation of a commercial cannabis business on the property.

Section 8.29.05.110 - Location of Commercial Cannabis Business - Proximity to Sensitive Uses. (a) Commercial cannabis activity shall be authorized within the following zoning districts of the City:

M-1, M-2, M-3, A-1 and A-2 zoning districts. Except as expressly stated in 8.29.115 as related to outdoor commercial cannabis. Commercial cannabis activity is prohibited in all other zoning districts of the City.
(b)Notwithstanding subsection (a) of this Section, no commercial cannabis business shall be located within six hundred feet (600') from any school, day care center, youth center, public park, or public library (“Sensitive Uses”). Location distance separating Sensitive Uses, as described above, shall be measured from the exterior of the structure(s). Outdoor commercial cannabis separation from sensitive use shall be 1500 feet and shall be measured from the outdoor cultivation area which does not include the setbacks and screening requirements. The applicant shall prepare a locational map verifying locational distance and shall certify that the structure location and outdoor cultivation area meet the six hundred feet separation requirements.
(c) No commercial cannabis business may operate within any residential zoning district or area of the City.
(d)A commercial cannabis business generally may not operate adjacent to, across a street or alley from, or within two hundred feet (200') of, any residential zoning district or area of the City. Location distance and/or separating commercial cannabis business, as described above, shall be measured from the exterior of the structure(s) OR from the property line where outdoor cultivation, minus setbacks and screening areas is proposed. Applicant shall prepare locational map verifying locational distance and shall certify that the structure locations meet the two hundred feet separation.

However, if an existing building or facility or outdoor cultivation in a City zoning district enumerated in subsection (a) is located adjacent to or across a street or alley from a residential zoning district or area of the City, a commercial cannabis business may be permitted to operate in such location if, in the opinion of City Manager, the operation of a commercial cannabis business in such location would not tend to cause a public nuisance, nor a situation which may result in repeated police department responses or a negative impact on the adjacent residential units or dwellings. Any subsequent expansion of a commercial cannabis business permitted to operate in such a location, which expansion requires a new or amended commercial cannabis permit, shall also be subject to a determination by the City Manager that the expansion would not tend to cause a

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 public nuisance or a situation which may result in repeated police department responses or a negative impact on the adjacent residential units or dwellings.
(e) Commercial cannabis businesses shall be required to comply with all zoning, land use, and development regulations applicable to the underlying zoning district in which they are permitted to establish and operate as set forth in Title 17 of the Arvin Municipal Code. (f) Any commercial cannabis business which has been determined by the City Manager to be an existing commercial cannabis business on the effective date of this Chapter shall be exempt from compliance with the limitations prescribed in this Section, unless such location is otherwise determined to constitute a public nuisance or otherwise a disturbance to the adjacent or neighboring uses as determined by the provisions of this Chapter.

Section 8.29.05.115 – Outdoor Cultivation of Commercial Cannabis

1. Applicability.
a. The purpose of this ordinance is to permit certain specified commercial cannabis activities and uses within the City of Arvin, subject to the regulation and control of the City Council, including discretion to regulate such uses, including without limitation the density, intensity, number, proximity, location, and environmental standards of such uses. b. Cannabis is not an agricultural crop or product with respect to any provision in this Code that defines or allows cultivation of crops or agricultural products and nothing in Chapter 8.29.05 shall be construed to the contrary.
c. This ordinance applies regardless of whether commercial cannabis is cultivated for medicinal or recreational adult use.

2. Definitions. The terms and phrases in this section shall have the meaning ascribed to them in Section

8.29.05.02 - Definitions, unless the context in which they are used clearly suggests otherwise.

3. Limit on the number of outdoor commercial cannabis operations. The maximum number of outdoor commercial cannabis cultivation operations in the City of Arvin shall be limited as established by Section 8.29.05.04 Permitted Types of Commercial Cannabis Businesses and Limitations. This section sets the maximum possible permits only and nothing in this section shall be construed to require the City to issue a minimum or the maximum number of permits.

4. Outdoor Commercial Cannabis Cultivation.

Permitted By Right Zones. Outdoor Commercial Cannabis Cultivation permits are permitted subject to the issuance of a Commercial Cannabis Permit by the City Manager when located in the industrial and agricultural zone districts.

This section allows outdoor commercial cannabis cultivation as a new use authorized by this section only.
• Maximum Outdoor Cultivation Permits: Outdoor cultivation of commercial cannabis permits shall be limited as established under Section 8.29.05.04(d) Permitted Types of Commercial Cannabis Businesses and Limitations.
• Minimum Site Area. The site area shall be a minimum of one (1) acre for any outdoor cultivation permit as required by Section 8.29.05.290 Total Area Devoted to Commercial Cannabis Businesses, Accessory Struture Limitation, Minimum Square Footage Required, and Minimum Parcel Size Required for Outside Cultivation. The city may require premises

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 greater than proposed outdoor cultivation permit to maintain consistency with other laws, surrounding residential uses, and neighborhood compatibility. • Canopy Coverage. The City may place additional and further restrictions on canopy size to maintain consistency with other laws, agricultural uses, and neighborhood compatibility. A cannabis cultivation operation shall not exceed the canopy size threshold established by State law. The various types of Outdoor cultivation permitted by the State range from 25 mature plants or 2500 square feet (Specialty Cottage) up to more than 1-acre total canopy (Large Outdoor). More than one license may be issued for one site which could increase the acreage. Each permit shall be a minimum of one (1.0) gross acre which includes setbacks and buffers.

5. Cultivation Standards.
a. In addition to any state requirements by any governing state agency, any City requirement pursuant to Section 8.29.05 Commercial Cannabis Activity, and any site specific requirements in a permit, outdoor cultivation of commercial cannabis shall comply with the following requirements.

Any violation of state regulations, site specific requirements in a Commercial Cannabis Permit or Commercial Cannabis Annual Operating Permit, or these requirements is subject to enforcement, abatement, and revocation of a City permit under Section 8.29.05.170 (Violations and Enforcement).
b. Location. Outdoor commercial cannabis cultivation shall not be located within 1,500 feet from any school, school bus stop, place of worship, park, playground childcare center, youthoriented facility, pre-school, public library, licensed drug or alcohol recovery facility, or licensed sober living facility. Distance shall be measured from the from the outdoor cultivation area which does not include the buffering requirements that contains the commercial cultivation to the nearest point of the property line of the enumerated use using a direct straight-line measurement. A new adjacent use does not affect the continuation of an existing use that was permitted and legally established under the standards of this chapter.
c. Setbacks and Screening. Outdoor cultivation areas and all structures associated with the cultivation shall not be located in the front yard setback area and shall be screened from public view. Outdoor cultivation areas shall not be visible from the public right of way and adjacent parcels. Outdoor or mixed-light cultivation of commercial cannabis shall be setback a minimum of 50 feet from the property line of the site or public right-of-way. The 50-foot setback shall be planted with corn or other plants to screen the outdoor or mixed- light cultivation of commercial cannabis. The setbacks may be reduced by the City Manager or designee when it is determined that an actual physical equivalent separation exists due to topography, vegetation or slope, and that the cannabis operation is not accessible or visible from the public right of way or adjacent parcel. d. Cannabis shall be screened from public view so that no part of a plant can be seen from an adjacent street or adjacent parcel. Screening shall be accomplished by enclosure within a greenhouse or hoop house or by use of fencing or vegetation. All greenhouses, hoop houses, and fences shall comply with all building and zoning codes and any other applicable law or regulation.

Greenhouses and hoop houses are the preferred means of screening. e. Odor. The cultivating, drying, curing, processing, and storing of cannabis shall not adversely affect the health, safety, or enjoyment of property of persons residing near the property on which cannabis is cultivated or processed due to odor that is disturbing to people of normal sensitivity. Any cannabis odor shall not be equal or greater than a 7 dilution threshold ("DT") when measured by the City with a field olfactometer at the property line on which the cannabis is cultivated or processed for a minimum of two olfactometer observations not less than fifteen minutes apart within a one hour period ("7 DT one hour"). If the odor from cannabis cultivating,

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 drying, curing, processing, or storing violates this subsection, the permittee must reduce the odor below the 7 DT one hour at property line threshold within the time required by the City.

Notwithstanding the prior issuance of a permit, the City may require installation of one or more odor control options, which may include but are not limited to the use of a greenhouse or hoop house that includes activated carbon filtration or equivalent odor abatement control equipment on the air exhaust, a vapor-phase odor control system, increasing the required setback, growing fewer plants, or growing only low odor cannabis strains. Installation of certain odor control options may require a permit. Any such notice requiring the use of one or more odor control options will provide a deadline for completion and the dilution threshold will be retested upon expiration of that deadline. The continued odor in excess of 7 DT one hour upon retesting will constitute a violation of this section subject to enforcement, abatement, and revocation of a Commercial Cannabis Permit under Section 8.29.05.170 (Violations and Enforcement). f. Building Requirements and City Codes. All cannabis operations shall comply with all applicable sections of the City Codes.
g. Farmland Protection. Where a commercial cultivation site is located within an agricultural zone, the operation shall be consistent with the City’s General Plan Policy. If the premises are located on a site under a Land Conservation Act (Williamson Act) contract, the use must comply with the Land Conservation Act contract, any applicable land conservation plan, and the City of Arvin Rules for Agricultural Preserves and Farmland Security Zones, including provisions governing the type and extent of compatible uses listed therein. h. Fire Code Requirements. The applicant shall prepare and implement a fire prevention plan for construction and ongoing operations and obtain any permits required from the fire and emergency services department. The fire prevention plan shall include, but not be limited to:
emergency vehicle access and turn-around at the facility site(s), vegetation management and fire break maintenance around all structures.
i. Water Source. Commercial cannabis cultivation may only be permitted if sufficient evidence submitted to the City demonstrates there is adequate water supply to serve the cultivation site; and all required local and, where applicable, state permits from the State Water Resources Control Board and any other state agency with jurisdiction. The premises where the cultivation of cannabis takes place shall either be connected to a public water supply provided by Arvin Community Services District or an approved on-site water source by Kern County Environmental Health Services.
j. Containment of run-off on project site. The activities associated with the cultivation of cannabis shall retain all water run-off and not create erosion or result in water run-off and/or contaminated runoff off of the project site. No water shall be permitted to flow onto or into the public right of way or neighboring owned parcel – all waters are to be retained on-site. k. Water conservation measures. Cannabis cultivation operations shall include adequate measures that minimize the use of water for cultivation at the site. Water conservation measures, including but not limited to underground drip irrigation, soil moisture monitoring, water capture systems, grey water systems, or other equally effective water conservation measures, shall be incorporated into the cultivation operations in order to minimize the use of water where feasible. l. Security measures. In addition to those security measures as promulgated in Section

8.29.05.08 Security Measures that the City Manager and/or his/her delegee determine are applicable, a site security plan (which shall be held in a confidential file, exempt from disclosure as a public record pursuant to Government Code Section 6255(a)), shall be required. In addition to the 8.29.05.08 security measures determined to be applicable, the site security plan must also address at least the following security measures:

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 i. Security cameras shall be motion-sensor and be installed with capability to record activity beneath the canopy but shall not be visible from surrounding parcels and shall not be pointed at or recording activity on surrounding parcels. Surveillance video shall be kept for a minimum of thirty (30) days. Video must use standard industry format to support criminal investigations.
ii.Alarms shall be installed to ensure the safety of persons and to protect the premises from theft.
iii.Security lighting deemed necessary by the City Manager or required pursuant to any regulations as may be promulgated by the City Manager, shall be installed and shall be motion activated.
iv.All outdoor cultivation sites shall be screened by non-invasive fire resistant vegetation and fenced with locking gates with a Knox lock.
v.Razor wire and similar fencing shall not be permitted. vi.Weapons and firearms at the cultivation site are prohibited. vii.Security measures shall be designed to ensure emergency access in compliance with fire safe standards.
viii.All structures used for cultivation shall have locking doors to prevent free access. The Security plans shall be reviewed and approved by the City of Arvin Police Department. ix.Security Measures for Structures related to Outdoor Cultivation: Structures associated with outdoor cultivation shall comply with the security measures, as promulgated in Section

8.29.05.08 – Security Measures and subject to approval by the City of Arvin Police Department.
m. Pesticide Usage. Preference shall be given to applicants that maintain organic certification standards or the substantial equivalent, provided that maintaining organic certification standards or the substantial equivalent is a condition of the Commercial Cannabis Use Permit. Until the California Department of Food and Agriculture adopts an organic certification standard, the County Agricultural Commissioner shall determine whether a particular operation satisfies substantially equivalent organic criteria. Documentation of all pesticides used shall be presented each year as part of the Commercial Cannabis Permit renewal process. All pesticides and fertilizers shall be properly labeled and stored and disposed of to avoid contamination through erosion, leakage, or inadvertent damages from rodents, pests, and wildlife and to prevent harm to persons, the environment, and wildlife.
n. Disposal of waste material. Cannabis waste material shall be disposed of in accordance with existing state and local laws and regulations at the time of disposal. Burning of cannabis waste material is prohibited. A waste management plan addressing the storing, handling, and disposing of all waste by-products of the cultivation and processing activities in compliance with the best management practices shall be submitted for review and approval. The plan shall characterize the volumes and types of waste generated, and the operational measures that are proposed to manage and dispose or reuse the wastes in compliance with best management practices. All garbage and refuse on the site shall be accumulated or stored in non-absorbent, water-tight, vector resistant, durable, easily cleanable, galvanized metal or heavy plastic containers with tight fitting lids. No refuse container shall be filled beyond the capacity to completely close the lid. All garbage and refuse on the site shall not be accumulated or stored for more than seven (7) calendar days and shall be properly disposed of before the end of the seventh day regarding

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 solid waste management. All waste, including but not limited to refuse, garbage, green waste and recyclables, must be disposed of in accordance with local and state codes, laws and regulations.

All waste generated from cannabis operations must be properly stored and secured to prevent access from the public.
o. Public Sewer or Sewage Disposal System. The premises where the cultivation of cannabis takes place shall either be connected to a public sewer system, have a Kern County Health Department inspected and approved sewage disposal system, enter into a service agreement for the provision of and maintenance of portable restroom facilities, drinking fountains, and handwashing units at the cultivation site, or have restroom facilities deemed appropriate by the City Manager, or authorized designee(s).
p. Wastewater Discharge. A wastewater management plan shall be submitted identifying the amount of wastewater, excess irrigation and domestic wastewater anticipated, as well as disposal.

All cultivation operations shall comply with the best management practices and shall submit verification of compliance with the waste discharge requirements of the state water resource control board, or waiver thereof. Excess irrigation water or effluent from cultivation activities shall be directed to a sanitary sewer, septic, irrigation, graywater, or bio-retention treatment systems. If discharged to a septic system, a system capacity evaluation by a qualified sanitary engineer shall be included in the management plan. Such a plan must be permitted by the Kern County Health Department. All domestic waste for employees shall be disposed of in a permanent sanitary sewer or on-site septic system demonstrated to have adequate capacity. q. Public Access and Improvement Required. Outdoor cultivation sites shall be located on sites that have or will have required public street right-of-way, dedication of street right-of-way, and meeting the City of Arvin improvement standards. Should an outdoor cultivation operation be proposed on a site not meeting the improved right-of-way requirement, the applicant shall enter into a Street Improvement Agreement. The agreement shall include but not limited to dedication of right-of-way, improvement of all road frontages (street improvement, curb, gutter, and sidewalk, street lighting, etc.), joining a or creating a Lighting and Landscape District, prior to the issuance of a Commercial Cannabis Permit by the City Manager. The City Manager may defer the implementation of the Deferred Street Improvement Agreement for a period of time not to exceed two (2) years.

6. Commercial Cannabis Nurseries.
a. A Commercial Cannabis Permit for a commercial cannabis nursery shall be subject to all of the restrictions and requirements in this section 8.29.05.115 for any activities of the nursery that will be conducted outdoors and all of the restrictions and requirements in any other section of

8.25.05 for all activities of the nursery that will be conducted indoors. b. A Commercial Cannabis Permit for a commercial cannabis nursery shall state the maximum square footage allowed for designated nursery areas with only immature plants, designated nursery areas for seed propagation that may contain mature plants, and designated research and development areas that may contain mature plants if the permittee will be conducting research and development activities that require a plant to flower. The City may place restrictions on such square footage to maintain consistency with other laws, surrounding commercial uses, and neighborhood compatibility.
c. Nursery activities may not be permitted in a residential dwelling or accessory structure connected to a residential dwelling.

7. Operating Standards.

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 a. Compliance Inspections. All cultivation sites shall be subject to on-site compliance inspections by agencies having jurisdiction. The inspection shall be conducted during regular business hours.
b. Hours of Operation. Outdoor harvesting activities and processing activities may be conducted seven (7) days a week, twenty-four (24) hours per day as needed. Deliveries and shipping, and outdoor processing activities, shall be limited to the hours from 8:00 a.m. to 5:00 p.m., unless modified by the City Manager.
c. Occupational Safety. Cultivators shall comply with all applicable federal, state, and local laws and regulations governing California Agricultural Employers, which may include: federal and state wage and hour laws, CAL/OSHA, OSHA, and the California Agricultural Labor Relations Act.

Section 8.29.05.120 - Alcohol and Tobacco Restrictions. (a) In accordance with Business & Professions Code Section 26054, as may be amended, no commercial cannabis business shall cause or allow the sale (whether retail or wholesale) of alcoholic beverages or tobacco products on its premises.
(b) No commercial cannabis business shall cause or allow alcoholic beverages to be dispensed or consumed on its premises.
(c) No commercial cannabis business shall operate in a location that requires persons to pass through a business that sells alcohol or tobacco to access the premises of the commercial cannabis business, or that requires persons to pass through the premises of the commercial cannabis business to access a business that sells tobacco or alcohol.
(d) No commercial cannabis business shall operate in a location that is adjacent to a business that sells alcoholic beverages at retail. Applicant shall certify that the commercial cannabis business/structure(s) is not adjacent to a business that sells alcoholic beverages at retail.

Section 8.29.05.130 - Concurrent Regulation with State.

It is the stated intent of this Chapter to regulate commercial cannabis activity in the City concurrently and consistently with State law. Except where an express provision of this Ordinance applies to create an obligation that is more stringent than the minimum standards established by State law, this Chapter shall be construed in accordance with that intent.

Section 8.29.05.140 - Compliance with Laws.
(a) It shall be the responsibility of the commercial cannabis permit holder, including its owners and operators, to ensure that the permitted commercial cannabis business is, at all times, operating in compliance with all applicable state and local laws and regulations, as amended, and any conditions of approval of a State license or City-issued commercial cannabis permit or other entitlement. (b) Nothing in this Chapter shall be construed as an authorization of any action or conduct in violation of state law or local law with respect to the operation of a commercial cannabis business. (c) Nothing in this Chapter shall be construed as an authorization by the City, its elected or appointed officials, employees, agents, representatives and/or consultants, collectively or individually, of any conduct in violation of federal law.

Section 8.29.05.150 - Inspections and Enforcement.
(a) No commercial cannabis business shall commence operation, and no commercial cannabis permit application or conditional use permit application shall be approved for any commercial cannabis business, unless and until:

1. The City Manager, or designee, and Police Chief, or designee, have inspected the premises of the commercial cannabis business and reviewed all written procedures, standards and protocols developed by such business pursuant to this Chapter, and have confirmed in writing that the business is in compliance with all applicable requirements of this Chapter

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 and other applicable provisions of the Arvin Municipal Code, any applicable local regulations, and any applicable state laws, administration or enforcement of which is within their jurisdiction; and

2. The Fire Chief and Building Official have inspected the premises of the commercial cannabis business and reviewed all written procedures, standards and protocols developed by such business pursuant to this Chapter and have confirmed in writing that the premises are in compliance with the California Building Standards Code and the State Fire Marshal regulations, as adopted by the City, and all other applicable building and fire safety-related requirements, administration or enforcement of which is within their jurisdiction. (b) In addition to the initial permit inspections pursuant to subsection (a) and after permitted commercial cannabis business activities have commenced, the City Manager, the Building Official, the Police Chief, and the Fire Chief are authorized to conduct reasonable unannounced and suspicionless inspections of the interior and exterior premises of any commercial cannabis businesses at any time during regular business hours (generally eight (8:00) a.m. and seven (7:00) p.m., Monday through Sunday), for the purpose of ensuring compliance with this Chapter and applicable state law as specified in subsection (a).
(c) Each commercial cannabis business shall be subject to two mandatory inspections conducted pursuant to subsection (b) per calendar year. Notwithstanding the foregoing, further inspections may be conducted at any time in response to complaints received by the City relating to violations on the premises of a commercial cannabis business.
(d) During all inspections conducted pursuant to this Section, the inspecting officials are authorized to photograph and otherwise document the conditions on the premises, and to take such other measures as are reasonably necessary to ascertain whether the business is in compliance with this Chapter, subject to adherence to all HIPAA rights and all other applicable privacy rights unrelated to the purpose and intent of the inspection. Samples of cannabis and cannabis products may be temporarily taken from the commercial cannabis business and retained for the minimum time and to the minimum extent necessary to ascertain compliance with this Chapter, provided that any such samples shall be logged, recorded, and maintained in accordance with the Arvin Police Department standards for evidence.
(e) For all inspections required by this Section (not including complaint-based inspections), inspection fees sufficient to cover the costs of such inspections shall be paid by each commercial cannabis business as part of such business' commercial cannabis permit application fees or annual permit fees.
(f) Failure or refusal of a commercial cannabis business, or any owner, manager, employee or agent thereof, to grant access to the premises of the commercial cannabis business to facilitate any inspection pursuant to this Section shall constitute a violation of this Chapter, and shall constitute grounds for the City to obtain an inspection warrant to inspect the commercial cannabis business in accordance with State law.
(g) All inspections shall be subject to adherence to applicable HIPAA rights and other applicable privacy rights unrelated to the purpose and intent of the inspections. (h) The requirements and remedies set forth in this Section shall be in addition to all other applicable provisions of the Arvin Municipal Code.

Section 8.29.05.160 - Fees and Charges.
(a) No person may commence or continue any commercial cannabis activity in the City without timely paying in full all fees, costs, penalties and charges required in connection with the establishment or operation of a commercial cannabis activity. Fees and charges associated with the establishment or operation of a commercial cannabis activity shall be set by resolution or ordinance of the City Council.
(b) All commercial cannabis businesses operating pursuant to this Chapter shall pay any and all applicable sales, use, business or other taxes, and all license, registration, or other fees required pursuant to federal, state, and local law.
(c) Commercial Cannabis Tax Revenues and Rates are established for Commercial Cannabis businesses in accordance with Title III Revenue and Finance, Chapter 3.19.

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05

1. Pursuant to Section 8.29.05.290(a), the City has limited the total square footage of Commercial Cannabis to 1,350,000 square feet,

2. Pursuant to Section 8.29.05.04(c), the City has limited the Type 12 Microbusiness to a total of 35 business within the current City limits.

3. Pursuant to Section 8.29.05.04(d), the City has limited the number of commercial cannabis permits authorizing the operation of outdoor cultivation that may be active or valid in the city at any given time shall not exceed ten (10) permits for 2024, shall not exceed an additional ten (10) permits in 2025, shall not exceed an additional ten (10) permits in 2026, and shall not exceed an additional ten (10) permits in 2027, additional permits be established by the city council.

4. Additional Fees:
a. Micro-businesses: Due to the limitation of square footage for commercial cannabis business, limitation to the maximum number of Micro-businesses, the applicant of and any assignee shall pay, upon approval of each Commercial Cannabis permit, a minimum sum of $25,000.00 annually for each permit and/or activity, regardless of operational status. The annual fee is in addition to the commercial cannabis tax established under Chapter 3.19. b. Outside Cultivation – Mixed-Cultivation: Outside cultivation shall pay $25,000 per gross acre annually, the annual fee is in addition to the commercial cannabis tax established under Chapter 3.19. For clarification, gross area includes setbacks and screening areas and outdoor cultivation areas as established by Section 8.29.05.115 Outdoor Cultivation of Commercial Cannabis.
c. The annual payment shall be paid within 10 days of the approval/conditional approval of a Commercial Cannabis permit. Alternatively, payment(s) may be deferred by the City Manager but no later than the date of permit issuance of commercial cannabis permits by the State of California or may be deferred as may be approved by the City Manager. d. Credit Upon Operation: Should the Commercial Cannabis business be operational within the first year, the quarterly tax liability due from the minimum quarterly payment(s) shall be credited toward that business’s annual payment of $25,000.0 per a. and b. above. e. Should the Permit Holder fail to begin operations within two years of the first permit’s issuance, payment of the annual $25,000.00 minimum required payment shall not be refunded.

The quarterly payment is required due to the limited square footage for Commercial Cannabis and is established as a deterrent against non-operational permit holders. The non-operation of permitted Commercial Cannabis establishments is determined to be detrimental to the health and welfare of the City.

Section 8.29.05.170 - Violations and Enforcement.
(a) It is unlawful for any person to violate any provision of this Chapter. (b) Each and every violation of this Chapter constitutes a misdemeanor punishable in accordance with Chapter 1.08.010 of the Arvin Municipal Code.
(c) Each and every violation of this Chapter constitutes a public nuisance which may be abated by the City pursuant to the Arvin Municipal Code.
(d) Violations of this Chapter may be redressed by any and all applicable civil remedies available to the City, including but not limited to civil actions for injunctive relief. (e) Violations of this Chapter are subject to all applicable administrative remedies under the Arvin Municipal Code, including but not limited to issuance of administrative citations. Notwithstanding the foregoing, the administrative citation penalty for all violations of this Chapter, within a rolling twelve (12) month period, shall be as follows: one thousand dollars and no cents ($1,000.00) per violation.
(f) Any person that violates any provision of this Chapter shall be guilty of a separate offense for each and every day during any portion of which the violation exists. and shall be penalized pursuant to this Chapter and the applicable provisions of the Arvin Municipal Code. (g) The remedies set forth in this Section are cumulative of each other and of any other legal remedies available at law.

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 (h) The City Manager may suspend or revoke a commercial cannabis permit when the permit holder or anyone acting on its behalf has committed any of the following acts or maintained any of the following conditions:

1. Any action or condition which would constitute grounds for denial of a commercial cannabis permit.

2. Any violation of this Chapter, the Arvin Municipal Code, any applicable state law governing the commercial cannabis business or activity, or any applicable condition of approval of the commercial cannabis permit or any other entitlement pertaining to the operation of the commercial cannabis business.
(i) Prior to suspending or revoking a commercial cannabis permit, the City Manager shall conduct a hearing. Written notice of the hearing shall be provided to the permit holder at least five (5) calendar days prior to the hearing. The notice shall contain the basis for suspending or revoking the commercial cannabis permit. Notice may be provided by either personal service, U.S. mail and/or posting or depositing the notice at the commercial cannabis business. After the hearing, the City Manager shall provide notice of the decision whether to suspend or revoke the commercial cannabis permit in the same manner applicable to the notice of hearing. The decision of the City Manager shall be final, subject to judicial review pursuant to Code of Civil Procedure Sections 1094.5 and 1094.6 within ninety (90) calendar days of the date of the decision. The commercial cannabis permit holder has no right to an administrative appeal of the decision. (j) The City Manager may immediately suspend a commercial cannabis permit without notice or hearing, subject to a subsequent hearing prior to reinstatement or revocation pursuant to subsection (i), under the following circumstances:

1. The commercial cannabis permit holder is convicted of a public offense in any court for the violation of any law which would be grounds for denial of a commercial cannabis permit.

2. The City Manager, Chief of Police, Fire Chief or any other authorized public safety or building official determines that immediate suspension is necessary to protect the public health, safety and welfare of the community. The City Manager shall provide notice of the grounds for immediate suspension of the commercial cannabis permit, and the suspension shall only be for as long as reasonably necessary to address the grounds which led to the suspension.

Section 8.29.05.180 - Limitations on City's Liability.

To the fullest extent permitted by law, the City shall not assume any liability whatsoever with respect to having issued a commercial cannabis permit or otherwise approving the operation of any commercial cannabis business pursuant to this Chapter. As a condition of approval of any commercial cannabis permit issued pursuant to this Chapter, the person to which a commercial cannabis permit is issued shall be required to meet all of the following conditions:
(a) Execute an agreement indemnifying, defending (at its sole cost and expense), and holding the City and its officers, employees, representatives, and agents harmless from any and all claims, losses, damages, injuries or liabilities associated with permitting or approving the operation of a commercial cannabis activity or the operation thereof or associated with the commercial cannabis business or its members' violation of any federal, state or local laws. (b) Maintain insurance at coverages, limits, and with conditions thereon determined necessary by the City Manager, in consultation with the City Attorney. Commercial General Liability insurance shall be maintained at all times with coverage limits that meet or exceed one million dollars ($1,000,000.00) per occurrence and in the aggregate. In the alternative to maintaining Commercial General Liability insurance, a commercial cannabis permit holder may post a bond, in a form subject to approval by the City Attorney, with the City in the minimum amount of one million dollars ($1,000,000.00). The City Manager may, in his or her sole discretion, increase the minimum bond amount required by a commercial cannabis permit holder. (c) Reimburse the City for any and all costs and expenses, including attorneys' fees and costs and court costs, that the City may be required to pay as a result of any legal challenge related to the City's approval of a commercial cannabis permit pursuant to this Chapter or the City's approval of the operation of a commercial cannabis activity. The City may, at its sole discretion, participate at its

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 own expense in the defense of any such action, but such participation shall not relieve the obligations imposed under this Section.

The City may revoke a commercial cannabis permit for failure to maintain the required insurance or bond.

The City may provide a commercial cannabis permit holder with written notice of its intent to revoke the commercial cannabis permit and for failure to maintain the required insurance or bond. Within seven (7) calendar days from the date upon the notice of intent to terminate, a commercial cannabis permit holder shall tender to the City proof that it has obtained the required insurance or posted the required bond. If a commercial cannabis permit holder fails to timely provide proof of the required insurance or bond to the City, the commercial cannabis permit shall be revoked, and the commercial cannabis permit holder shall immediately cease all commercial cannabis business activities. Failure to immediately cease all commercial cannabis business activities shall subject the commercial cannabis permit holder to the penalties, enforcement and cost recovery provisions established within the Arvin Municipal Code and any other legal remedies available to the City.

Section 8.29.05.190 - Commercial Cannabis Permit Application Procedures and Requirements. (a) In addition to the authority granted pursuant to the express provisions of this Section and Chapter, to the extent consistent with this Chapter and other applicable law, the City Council may by resolution adopt such fees, and the City Manager may adopt such forms and procedures, as are necessary to implement this Chapter with respect to the review, processing, evaluation, selection, investigation, approval, denial, renewal, suspension, and revocation of commercial cannabis permits and related appeals.
(b) The owner of a proposed commercial cannabis operation shall file an application with the City Manager upon a form provided by the City and shall pay an application filing fee as established by resolution of the City Council, as may be amended from time to time. The fee may be established as a trust deposit for actual costs. The fee, or the initial trust deposit, shall be in an amount the City Manager estimates will cover the costs of reviewing and processing the application. If a trust deposit-based fee is established, it shall be used and drawn upon as a retainer to cover the actual costs incurred by the City. If the initial amount of the trust deposit is not sufficient, the applicant shall provide additional amounts as necessary within thirty (30) days of a request from the City. If the applicant fails to do so, application review and processing shall cease and shall not continue until such additional amounts are paid.
(c) Each commercial cannabis permit application shall contain, at minimum, the following:

1. The printed full name, signature, date of birth, social security number, a color photocopy of the California Driver's license or equivalent form of identification approved by the City Manager, and current address and telephone number of all owners of and responsible persons for the commercial cannabis business that is the subject of the application.

2. Signed consent of each owner and responsible person, who is identified pursuant to subsection (c)(1) and who is not required to obtain an employee badge pursuant to Section

8.29.05.090, to a fingerprint-based state and federal criminal history records check conducted by the City or an agency authorized or requested to do so by the City, including but not limited to fingerprint analysis conducted utilizing the California Department of Justice Live Scan system or any other system deemed necessary or appropriate in the discretion of the City Manager.

3. The address of the commercial cannabis business to which correspondence from the City is to be sent, if other than the permitted premises.

4. The names and addresses of all businesses operated by, and the employment of, the applicant and its owners for the five (5) years immediately preceding the date of the application.

5. Any litigation in which the applicant(s) has been involved within the five (5) years immediately preceding the date of the application and a statement of whether any business currently operated by the applicant(s) or operated by the applicant(s) within the five (5) years immediately preceding the date of the application has been investigated or the permit or license authorizing the operation of such business has been revoked or suspended within the five (5) years immediately preceding the date of the application.

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05

6. The address of any commercial cannabis business currently being operated by the applicant or any of its owners, or which has been previously operated by any of them.

7. The existing and/or anticipated supply sources and product supply chain for all cannabis and cannabis products entering and leaving the commercial cannabis business, including the site(s) where cultivation occurs, where the cannabis or cannabis products are processed or manufactured, where any required testing of cannabis or cannabis products occurs, and distribution information. Packaging and labelling information and criteria, demonstrating compliance with Section 8.29.05.240(w), shall also be included.

8. Odor control devices and techniques demonstrating compliance with Section 8.29.05.240(i), sufficient to prevent odors from cannabis from being detectable off of the premises.

9. Procedures for safety and adequately identifying, storing, managing, and disposing of all litter, waste, hazardous materials, contaminants, or adulterated, deteriorated or excess cannabis or cannabis products or byproducts of the commercial cannabis business, and demonstrating compliance with Section 8.29.05.240(t).

10. Information reflecting adequate capitalization of the commercial cannabis business.

11. Procedures for inventory control to prevent diversion of cannabis and cannabis product, employee screening, storage of cannabis and cannabis product, personnel policies, and record-keeping procedures.

12. A detail of the operating procedures to be utilized at the facility, including a description of how chemicals and fertilizers will be stored, handled, used and disposed of, manufacturing methods, the transportation process, inventory procedures, and quality control procedures.

13. A site plan and floor plan of the premises of the commercial cannabis business denoting the property lines and the layout of all structures and areas of the commercial cannabis business including storage, cultivation, manufacturing, testing, distributing, reception or waiting areas, and all ancillary support spaces, and the relationship of the facility to adjacent properties and land uses, indicating compliance with the California Building Standards Code and Title 17 of the Arvin Municipal Code.

14. A plan for the proposed signage at the site, including size, height, colors and design of all signage, demonstrating compliance with Section 8.29.05.240(g). A City sign permit issued pursuant to applicable provisions of the Arvin Municipal Code shall be required.

15. A security plan satisfactorily addressing all required security measures identified in Section

8.29.05.080 and lighting as required by Section 8.29.05.240(x).

16. Standard operating procedures detailing how operations will comply with state and local regulations, how safety and quality of products will be ensured, record-keeping procedures for financing, testing, and adverse event recording, and product recall procedures.

17. Proposed days and hours of operation.

18. Recycling and waste disposal procedures reflecting, to the extent practicable, efficiency and conservation of materials and resources used in the commercial cannabis business.

19. Youth access restriction procedures demonstrating compliance with Section 8.29.05.240(h).

20. A transportation plan providing procedures for safely and securely transporting all cannabis, cannabis products and currency to and from the premises.

21. A detailed description of energy and water usage plan enumerating best practices and leading industry practices in efficient utilization of both resources.

22. Evidence of compliance with all applicable insurance-related requirements of this Chapter and State law, including but not limited to Section 8.29.05.180. Endorsements reflecting the City's status as an additional insured on all required policies shall also be included.

23. A copy of the valid and current City business license held by the applicant.

24. A copy of the valid and current seller's permit issued by the California Department of Tax and Fee Administration (formerly the Board of Equalization) to the applicant, or confirmation from said agency that a seller's permit is not required. If a seller's permit is required but the applicant has not yet received it, an attestation that the applicant is currently applying for a seller's permit shall suffice, provided that a copy of the permit shall be provided to the City immediately upon being obtained by the applicant, and the applicant shall not commence activities for which a seller's permit is required until it is obtained.

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05

25. Identification of any and all other licenses and permits currently or formerly held by the applicant, and any other applications pending review for the applicant, relating to commercial cannabis activities, from any licensing or permitting authority, and specific identification of any licenses or permits denied to, suspended for, or revoked from the applicant.

26. Signed acknowledgment of the requirements of this Chapter, including biannual inspections as established within Section 8.29.05.150.

27. Signed authorization for the City Manager to seek verification of the information contained in the application.

28. A signed statement by the applicant that he or she certifies under penalty of perjury that all the information contained in the application is true and correct.

29. Any other information deemed necessary by the City Manager. (d) A commercial cannabis permit application may be denied based upon any of the following grounds:

1. The applicant has been issued a state or local permit or license to conduct commercial cannabis activities (in California or another state) and the permit or license has been suspended or revoked, or the applicant has otherwise been sanctioned or subjected to administrative disciplinary action relating to the permit or license by any licensing or permitting authority, or the applicant has been involved in a cannabis business that was ordered closed by a civil injunction or other court order based on a violation of law.

2. The applicant, or any owner or responsible person of the commercial cannabis business that is the subject of the application, has been convicted of a serious or violent offense as listed within California Penal Code Sections 667.5 and 1192.7(c), or the applicant has been convicted of any other offense listed within Business and Professions Code Section 26057.

3. The applicant, or any owner or responsible person of the commercial cannabis business that is the subject of the application, has been convicted of a misdemeanor involving theft, dishonesty, fraud, narcotics sales or narcotic trafficking within the five (5) years preceding the date of the application.

4. The applicant, or any owner or responsible person of the commercial cannabis business that is the subject of the application, has been convicted of a felony involving the illegal use, possession, transportation, distribution or similar activities related to controlled substances, as defined within the Federal Controlled Substance Act, unless the applicant received a Certificate of Rehabilitation as defined in that Act, within the ten (10) years preceding the date of the application.

5. The applicant, or any owner or responsible person of the commercial cannabis business that is the subject of the application, has engaged in misconduct related to the ownership, qualifications, functions or duties of their position with the commercial cannabis business.

6. The applicant, or any owner or responsible person of the commercial cannabis business that is the subject of the application, has engaged in unlawful, fraudulent, unfair, or deceptive business practices as defined by the Arvin Municipal Code and/or state or federal law.

7. The applicant, or any owner or responsible person of the commercial cannabis business that is the subject of the application, is under the age of twenty-one (21).

8. The applicant has violated or failed to comply with any of the requirements of this Chapter or other applicable state or local laws or regulations, or any condition of any entitlement issued to the commercial cannabis business, as determined by the City Manager.

A conviction within the meaning of this Chapter means a plea or verdict of guilty or a conviction following a plea of nolo contendere.

This Section shall not constitute an exhaustive list of grounds for denial of a commercial cannabis application. The City Manager may promulgate regulations identifying additional grounds for denial.
(e) The City Manager shall review each application to determine whether it contains all of the required information. If the application does not contain all of the required information, it shall be returned

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 to the applicant for completion. The City Manager shall endeavor to conclude his or her review within ninety (90) days of the filing of the application. If additional time is necessary, the City Manager will advise the applicant of an estimated review time. (f) In reviewing an application for a commercial cannabis permit, the City Manager may request whatever additional information is deemed necessary to determine whether the application meets the requirements of this Chapter or other applicable local laws or regulations. (g) The City Manager shall have the authority to either approve or deny the application for a commercial cannabis permit. The City Manager shall approve the application if and only if it meets all applicable requirements of this Chapter. Notwithstanding any other provision of this Chapter, the City Manager, when approving a commercial cannabis permit, may place any additional limitations and conditions on the operation of a commercial cannabis business as he or she deems necessary, consistent with the with this Chapter and any regulations promulgated pursuant hereto. (h) Payment of an annual commercial cannabis permit fee, in an amount set by resolution of the City Council sufficient to cover the City's annual costs of administering the mandatory regulatory functions of this Ordinance in regard to the permitted commercial cannabis business, including but not limited to inspections, audits and investigations, shall be required before issuance or renewal of any commercial cannabis permit pursuant to this Chapter. The fee may be established as a trust deposit for actual costs. The fee, or initial trust deposit, shall be in an amount the City Manager estimates will cover the City's annual costs as described in this paragraph. If a trust deposit-based fee is established, the trust deposit shall be used and drawn upon as a retainer to cover the actual costs incurred by the City. If the initial amount is not sufficient, the applicant shall provide additional amounts as necessary upon request from the City. Failure to pay such additional amounts within thirty (30) days of a request by the City shall constitute a violation of this Ordinance and grounds for denial, non-renewal or revocation of the subject commercial cannabis permit. (i) When an application is denied, the City Manager shall provide a statement of decision giving the reasons for the denial and the findings upon which the decision is based. Notice of the denial may be provided by either personal service or U.S. mail. Notice is presumed to be served upon the applicant once deposit into the U.S. mail. Any person denied a commercial cannabis permit shall have the right to appeal such denial in accordance with this Section. (j) Any appeal of a denial of an application shall be filed and conducted as prescribed in this subsection.

1. Within ten (10) calendar days from the date of the denial of an application, the aggrieved party may appeal such action by filing with the City Clerk a written appeal setting forth the grounds for reversing the denial. The time requirement for filing an appeal shall be deemed jurisdictional and may not be waived. Appeals not timely filed or not setting forth the basis for the appeal are defective and shall be dismissed.

2. Upon receipt of such written appeal, the City Clerk shall set the matter for a hearing before the City Manager. The hearing shall be conducted pursuant to the following procedures:
i. All hearings shall be recorded. Any party may, at their sole expense, have the hearing transcribed by a certified shorthand reporter.
ii. Hearings need not be conducted according to the technical rules of evidence. iii. Any relevant evidence shall be admitted, regardless of the existence of any common law or statutory rule which might make improper the admission of such evidence over objection in civil actions in courts of competent jurisdiction in this state. iv. Oral evidence shall be taken only on oath or affirmation. The City Manager shall have the power to administer oaths.
v. Irrelevant and unduly repetitious evidence shall be excluded. vi. Each party shall have the right to: call and examine witnesses on any matter relevant to the issues of the hearing; introduce documentary and physical evidence; crossexamine opposing witnesses on any matter relevant to the issues of the hearing, subject to the control of the City Manager, including the imposition of reasonable alternatives to cross-examination; impeach any witness regardless of which party first called the witness to testify; rebut the evidence; and be represented by anyone who is lawfully permitted to do so.

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 vii. The City Manager may take official notice, either during the hearing or after submission of the matter for decision, of any fact which may be judicially noticed by the courts of this state or of official records, regulations, rules, and decisions of state and local agencies, boards and departments and of City ordinances. In addition, the City Manager may take official notice of matters in its own files and of prior proceedings under this chapter involving the same issues. If applicable, the City Manager may also take official notice of any generally accepted technical or scientific matter within their expertise. The parties present at the hearing shall be informed of the matters to be noticed, and those matters should be noted in the record, referred to therein, or appended thereto. Any such party shall be given a reasonable opportunity on request to refute the officially noticed matters by evidence or by written or oral presentation of authority, and
viii. The City Manager may provide for reasonable continuances of the hearing, on his/her own initiative or at the request of a party, as necessary to properly conduct the appeal.

The hearing shall be set for hearing in a reasonable time after the date of filing the appeal with the City Clerk, but in no event later than ninety (90) days from the date of such filing.

At least ten (10) days prior to the date of the hearing on the appeal, the City shall notify the appellant of the time and the place of the hearing. Notice may be provided by either personal service or U.S. mail. Notice is presumed to be served upon deposit into the U.S. mail.

3. At the conclusion of the hearing, the City Manager shall deliberate and reach a decision within fifteen (15) calendar days. The decision and the reason(s) for the decision shall be reduced to writing. The City Manager may affirm, reverse, or modify the denial issued pursuant to this Code as the facts and law warrant, subject to the following limitations:
i. The City Manager shall not have authority to waive any requirements of the Arvin Municipal Code or other applicable law.
ii. Nothing in these procedures shall be deemed to authorize the City Manager to deviate from unambiguous provisions of the governing code or statute, or well-established interpretations of the same, based upon expert opinions or other reliable evidence.

A copy of the decision shall be sent by mail or otherwise to the appellant. Where known, a copy may also be provided by email.

4. The decision of the City Manager shall be subject to a further administrative appeal to the Planning Commission, which shall be conducted in accordance with the procedures and requirements applicable to the appeal to the City Manager pursuant to this subsection. The decision of the Planning Commission shall be subject to further administrative appeal to the City Council, which shall be conducted in accordance with the procedures and requirements applicable to the appeal to the City Manager pursuant to this subsection.

5. The decision of the City Council on the appeal shall constitute a final administrative decision. The appellant may thereafter file a petition for writ of mandate in superior court pursuant to Code of Civil Procedure Section 1094.5 and 1094.6 within ninety (90) calendar days of the date of the decision.

Section 8.29.05.200 Development Agreement.

A qualified applicant, pursuant to subsection (b) of this Section, may apply to enter into a development agreement with the City pertaining to a commercial cannabis operation. The provisions of this Section shall apply to such applications.
(a) Content and Procedures.

1. Development agreements entered into pursuant to this Chapter shall set forth the terms and conditions under which the commercial cannabis business will operate that are in addition to the requirements of this Chapter, including, but not limited to, public outreach and education, community benefit, community service, payment of fees and other charges as mutually agreed, and such other terms and conditions that will protect and promote the public health, safety, and welfare of the City.

2. The procedures for commercial cannabis development agreements shall comply with this Chapter, and Article 2.5 of Chapter 4 of Division 1 of Title 7 of the California Government

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 Code. To the extent there is a conflict between this Chapter with respect to a development agreement for a commercial cannabis business, this Chapter shall govern. (b) Qualified Applicant. Development agreements are for substantial development projects, often requiring an investment in infrastructure and/or improvements, payment of development impact fees, and contribution of non-restricted funds that benefit the community. Such agreements are special contracts to be negotiated with property owners or those with an interest in the land. A qualified applicant is a person who meets all of the following criteria, with satisfaction of each criterion to be determined in the sole discretion of the City Manager:

1. The applicant has a pending or approved application for a commercial cannabis permit on file with the City pertaining to the real property that will be subject to the development agreement;

2. The applicant holds a legal or equitable interest in the real property that will be the site of the commercial cannabis business. If the applicant does not own the property, the applicant must have a legal right to purchase or develop the property and/or notarized written consent from the owner of the property to operate a commercial cannabis business on the property and to enter into a development agreement with the City pertaining to the property. (c) Filing Requirements.

1. Only a qualified applicant may file an application to enter into a development agreement.

An applicant shall provide, to the satisfaction of the City Manager, written proof of meeting the criteria in subsection (b) above, as well as proof of the authority of any agent or representative to act for the applicant.

2. The City Manager shall prescribe the form for each application, notice and documents provided for or required under this Section for the preparation and implementation of development agreements. The applicant shall complete and submit such an application form to the City Manager, along with a deposit for the estimated direct and indirect costs of processing the development agreement. Each applicant pursuant to this Section shall be required to pay a development agreement application fee, in an amount established by resolution of the City Council, sufficient to cover the City's costs of review and processing of the development agreement application pursuant to this Section. The fee may be established as a trust deposit for actual costs. The fee, or the initial trust deposit, shall be in an amount the City Manager estimates will cover the costs of reviewing and processing the application. If a trust deposit-based fee is established, the trust deposit shall be used and drawn upon as a retainer to cover the actual costs incurred by the City. If the initial trust deposit is not sufficient, the applicant shall provide additional amounts as necessary within thirty (30) days upon of a request from the City. If the applicant fails to do so, the application review and processing shall cease and shall not continue until such additional amounts are paid.

3. The City Manager shall require an applicant to submit such information and supporting data as the City Manager considers necessary to process the application, including but not limited to a community benefit assessment to evaluate the benefits the development agreement will provide to the community.
(d) Processing Requirements.

1. The City Manager shall endorse on the application the date it is received. An application or related document shall not be complete until an estimated deposit for the cost of processing has been paid to the City. The City Manager shall review the application and determine any additional requirements necessary to complete processing of the application. If within thirty (30) days of receiving the application the City Manager finds that all required information has not been submitted or the application is otherwise incomplete or inaccurate, the processing of the application and the running of any limits shall be suspended upon written notice to the applicant and a new thirty (30) day period shall commence once the required material is received by the City Manager.

2. If the City Manager finds that the application is complete, it shall be accepted for filing and the applicant so notified. After receiving the required information and determining that the application is complete, the City Manager shall prepare a staff report and recommendation

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 to the City Council stating whether or not the agreement as proposed or in an amended form would be consistent with policies of the City this Chapter and any applicable general or specific plan. The City Attorney shall review the proposed development agreement as to legal form.

3. Notice of a hearing regarding the development agreement shall be given by the City Manager and shall comply with the requirements of Section 65867 of the California Government Code, as may be amended, as well as in the manner set forth in this Code.

4. The proposed development agreement shall be set for hearing and consideration before the City Council, for approval, approval with modifications, or denial. .

5. Within ten (10) calendar days after the City enters into any development agreement pursuant to this Section, the City Clerk shall have the agreement recorded with the County Recorder.

If the parties to the agreement or their successors in interest amend or cancel the agreement as provided in Section 65868 of the California Government Code, or if the City terminates or modifies the agreement as provided in Section 65865.1 of the California Government Code for failure of the applicant to comply in good faith with the terms or conditions of the agreement, the City Clerk shall have notice of such action recorded with the County Recorder.
(e) Findings and Development Agreement Conditions. After the City Council completes the public hearing, the City Council may not approve the development agreement unless it finds that the provisions of the agreement:

1. Are consistent with the goals, objectives, and policies of the general plan and any applicable specific plan.

2. Are compatible with the (i) uses authorized in and the regulations prescribed by this Chapter, (ii) the zoning district in which the activity is located and (iii) the area in which the real property is located;

3. Will not be detrimental to the health, safety, environmental quality, and general welfare of the community;

4. Will provide for or result in contributions, services or facilities that benefit the community, which may include, but are not limited to, public facilities, improvements, and services, parks, recreation and open space improvements, public art, youth sports programs, other public youth benefit programs, substance abuse awareness and recovery programs, and other public service programs.

5. Will not adversely affect the orderly development of property or the preservation of property values;

6. Provides for payment by the applicant of all costs associated with preparing and entering into the agreement; and

7. Provides for a reasonable penalty for any violation of the development agreement. (f) Effectiveness of a development agreement pursuant to this Section shall be contingent upon issuance of a commercial cannabis permit and all other entitlements necessary to operate a commercial cannabis business on the subject property.
(g) Modifications and Extensions.

1. The provisions of Section 65868 of the California Government Code shall apply for all modifications, with the exception of Minor Modifications (as defined below), extensions, or other amendments of the terms of a development agreement subject to this Chapter.

2. Either party may propose an amendment or termination of an approved development agreement subject to the following:
i. The procedure for amending or terminating the development agreement is the same as the procedure for entering into an agreement in the first instance. ii. The development agreement may be amended or cancelled only by the mutual consent of the parties, as provided in Section 65868 of the California Government Code.

3. Nothing herein shall limit the City's ability to terminate or modify the agreement consistent with Section 65865.1 or 65865.3 of the California Government Code, or as may be amended.

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05

4. Minor modifications to a Development Agreement may be authorized by the City Manager, upon consultation with the City Attorney:
i. The Development Agreement may necessitate further planning and development of the Project and may demonstrate that refinements and changes are appropriate with respect to the details and performance in implementing the Project under a Development Agreement. The Development Agreement may permit a certain degree of flexibility with respect to the details of the development of the Project and with respect to those items covered in general terms under a Development Agreement. A Minor Changes (as hereinafter defined) when found to be necessary or appropriate, a written request shall be submitted to the City Manager, unless otherwise required by federal, state or local ordinance and/or regulation, effectuate such changes or adjustments through administrative amendments executed by the City Manager or designee. Upon approval of a Minor Modification, it shall be attached as addenda and become a part of the Development Agreement. Minor Modifications shall be recorded with the Development Agreement.
ii. The term “Minor Changes” collectively means:

1. Minor deviations to the Project Approvals that are permitted under the Existing City Requirements and are reasonably approved by the City Manager;

2. A reduction in the parking ratio requirements for the Project under consistent with the Arvin Municipal Code, provided that (i) the reduction does not exceed ten percent (10%) of the Code requirement, and (ii) the reduction is approved by the City Manager, which approval shall not be unreasonably withheld or denied; or

3. Such other changes, modifications or adjustments to the Project Approvals, which the City Manager determines are consistent with the overall intent of the Project Approvals and which do not materially alter the overall nature, scope, or design of the Project, and which are consistent with the requirements of Chapter 8.29.05 of the Arvin Municipal Code and any commercial cannabis activity regulations or policies established by the City Manager.

4. Assumption Agreement(s) - No Modification. An Assumption Agreement shall be subject to the terms of an approved Development Agreement. An Assumption Agreement shall not limit, restrict, modify, alter, amend or otherwise change in any manner the rights and obligations of an Assignor or Assignee under the DA, and in the event of any conflict between the terms and provisions of an Assumption Agreement and the terms and provisions of the DA, the terms and provisions of the DA shall control. iii. In effecting any Minor Changes, the City shall cooperate with the Developer, provided that the permitted uses are not modified from those in the Project Approvals and any changes are in accordance with the Existing City Requirements. Minor Changes shall not be deemed to be an amendment to a Development Agreement under California Government Code section 65868 but are ministerial clarifications and adjustments, and unless otherwise required by law, no such administrative amendments shall require prior notice or hearing by the City Council. Any amendment or change requiring a environmental impact report, or a supplement thereto, pursuant to CEQA shall not be considered a Minor Change, but shall be considered substantive amendment which shall be reviewed and approved by the City Council as determined by the applicable provisions of the Arvin Municipal Code relating to the hearing and approval procedures for the specific Project Approval.

Section 8.29.05.220 - Records and Reporting.
(a) Commercial cannabis operations shall maintain on the permitted premises the following records either in paper or electronic form:

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Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05

1. The full name, address, and telephone numbers of the owner and lessee of the property.

2. The name, date of birth, address, and telephone number of each employee and independent contractor of the commercial cannabis operation; the date each was hired or retained; and the nature of each person's participation in the commercial cannabis business.

3. Copies of all required state licenses.

4. An inventory record documenting the dates and amounts of cannabis and cannabis products received at the site, the daily amounts of cannabis and cannabis products on the site, and the daily amounts of cannabis and cannabis products leaving the site for any reason, including but not limited to cannabis that is sold, delivered, or distributed.

5. A written accounting of all expenditures, costs, revenues and profits of the commercial cannabis operation, including but not limited to cash and in-kind transactions.

6. A copy of all insurance policies related to the operation of the commercial cannabis operation.

7. A copy of the commercial cannabis operation's most recent year's financial statement and tax return.

8. Proof of a valid and current permit issued by the City in accordance with this chapter, and the equivalent State of California license to operate the commercial cannabis business. Every commercial cannabis business shall display at all times during business hours the City permit issued pursuant to the provisions of this Chapter, and the equivalent State license, in a conspicuous place so that it may be readily seen by all persons entering the location of the commercial cannabis operation.
(b) Subject to HIPAA rights and regulations unrelated to the purpose and intent of the inspection, each commercial cannabis business shall allow City officials, upon request, to inspect all books, accounts, records, information and data required to be maintained by the cannabis business pursuant to this Chapter or otherwise relevant to its permitted activities for the purpose of facilitating any inspection, audit or investigation deemed necessary by the City. Such records shall be produced within twentyfour (24) hours after receipt of the City's request. (c) By December 1 of each year, each commercial cannabis business shall file with the City Manager a complete audited report detailing its financial operations for the previous fiscal year, including its gross revenues, net profits, and total expenditures, which report shall be certified by an independent certified public accountant in accordance with generally accepted auditing and accounting principles. The report shall also include a discussion, analysis, and verification of each of the records required to be maintained pursuant to this Chapter. The information contained in the report shall be made available to the City in standard electronic format which shall be compatible with Microsoft Office programs and software and which can easily be imported into either Excel, Access or any other contemporary software designated by the City Manager, and shall be subject to audit by the City.
(d) All records required by this Chapter shall be maintained by commercial cannabis businesses for a period of not less than seven (7) years, and commercial cannabis businesses shall maintain accurate records of all commercial cannabis activities. All such records shall be made available for immediate inspection by the City upon request consistent with California Business and Professions Code Section 26160.

Section 8.29.230 - Prohibition on Transfer of Commercial Cannabis Permits. (a) No commercial cannabis business shall operate under a commercial cannabis permit issued pursuant to this Chapter at any place or location other than that identified in the commercial cannabis permit. (b) Any permit issued pursuant to this Chapter shall be null and void upon sale or transfer of ownership of the commercial cannabis business.
(c) Any attempt to transfer or any transfer of a commercial cannabis permit issued pursuant to this Chapter shall be void and the commercial cannabis permit shall be deemed immediately revoked and no longer of any force or effect.
(d) Notwithstanding (a) or (b) above, the City Manager may conditionally approve a Commercial Cannabis Business permit transfer subject to the proposed transferee submittal of all required application materials (new Commercial Cannabis Permit), pays all applicable fees and charges, and

5.C.3
Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 independently meets the requirements of this Chapter. Prior to approval or conditional approval of a transfer, the existing Commercial Cannabis permit must have met all the applicable requirements.

Section 8.29.05.240 - General Operating Requirements for Commercial Cannabis Businesses.

In addition to those operating requirements specifically set forth elsewhere in this Chapter and except as may otherwise be expressly set forth in this Chapter, the following operating requirements shall apply to all commercial cannabis businesses operating in the City:
(a) Hours of Operation. Normal business hours for commercial cannabis businesses are eight (8:00) a.m. and seven (7:00) p.m., Monday through Sunday. Subject to the night-time operating restrictions applicable to deliveries set forth in Section 8.29.05.280, commercial cannabis businesses may operate outside normal business hours, provided that any business activity conducted outside of normal business hours shall be sensitive to surrounding land uses and occupants and shall not result in excessive light, noise or other impacts that could cause a nuisance to members of the surrounding community.
(b) Restriction on Consumption. Cannabis shall not be consumed on the premises of any commercial cannabis businesses, except that medicinal cannabis may be consumed within a clinic, health care facility, residential care facility, or residential hospice licensed pursuant to applicable provisions of the California Health & Safety Code, as stated in Section 8.29.05.06 of the Arvin Municipal Code. (c) No cannabis or cannabis products or graphics depicting cannabis or cannabis products shall be visible from the public right-of-way or other public area or any adjacent property. No outdoor storage of cannabis or cannabis products is permitted at any time. (d) Reporting and Tracking of Product and of Gross Sales. Each commercial cannabis business shall have in place a point-of-sale tracking system to track and to report on all aspects of the commercial cannabis business including, but not limited to, such matters as tracking of cannabis and cannabis products, inventory data, and gross sales (by weight and by sale price) and shall ensure that such information is compatible with the City's recordkeeping systems. The system must have the capability to produce historical transactional data for review by the City. All information provided to the City pursuant to this subsection shall be confidential and shall not be disclosed, except as may otherwise be required under law.
(e) All cannabis and cannabis products sold, cultivated, manufactured, delivered, distributed or tested shall be cultivated, manufactured, delivered, distributed or tested by State licensees that maintain operations in full conformance with the state and local laws and regulations. (f) Emergency Contact. Each commercial cannabis business shall provide the City Manager with the name and telephone number (office and mobile) of an on-site employee or owner to whom emergency notice can be provided on a 24-hour per day, 7-day per week basis. (g) Signage and Notices.

1. In addition to the requirements otherwise set forth in this Section, business identification signage for a commercial cannabis business shall conform to the signage requirements of the Arvin Municipal Code, including, but not limited to, issuance of a City of Arvin sign permit.

2. Business identification signage shall be limited to that needed for identification only and shall not contain any logos or information that identifies, advertises, or lists the services or the products offered. No commercial cannabis business shall advertise by having a person holding a sign and advertising the business to passersby, whether such person is on the premises of the commercial cannabis business or elsewhere including, but not limited to, the public right-of-way.

3. No signs placed on the premises of a commercial cannabis business shall obstruct any entrance or exit to the building or any window.

4. Each entrance to a commercial cannabis business shall be visibly posted with a clear and legible notice indicating that smoking, ingesting, or otherwise consuming cannabis on the premises or in the areas adjacent to the commercial cannabis business is prohibited.

5. Signage shall not be directly illuminated, internally or externally. No banners, flags or other prohibited signs may be used at any time.
(h) Minors. Persons under the age of twenty-one (21) years shall not be allowed on the premises of a commercial cannabis business. It is unlawful and a violation of this Chapter for any person to

5.C.3
Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 employ any person at a commercial cannabis business who is not at least twenty-one (21) years of age. The entrance to the commercial cannabis business shall be clearly and legibly posted with a notice that no person under the age of twenty-one (21) years of age is permitted to enter upon the premises of the commercial cannabis business.
(i) Odor Control. Odor control devices and techniques shall be incorporated in all commercial cannabis businesses to ensure that odors from cannabis are not detectable off-site. Commercial cannabis businesses shall provide a sufficient odor absorbing ventilation and exhaust system so that odor generated inside the commercial cannabis business that is distinctive to its operation is not detected off the premises, anywhere on adjacent property or public rights-of-way, on or about the exterior or interior common area walkways, hallways, breezeways, foyers, lobby areas, or any other areas available for use by common tenants or the public, or within any other unit located inside the same building as the commercial cannabis business. As such, commercial cannabis businesses must install and maintain the following equipment or any other equipment which the City Manager determines has the same or better effectiveness:

1. An exhaust air filtration system with odor control that prevents internal odors from being emitted externally;

2. An air system that creates negative air pressure between the commercial cannabis business's interior and exterior so that the odors generated inside the commercial cannabis business are not detectable on the outside of the commercial cannabis business. (j) Display of Commercial Cannabis Permit, State License and City Business License. The original copy of the commercial cannabis permit issued by the City pursuant to this Chapter, the required State license, and the business license issued by the City pursuant to the Arvin Municipal Code shall be posted inside the commercial cannabis business in a location readily visible to the public. (k) Criminal History Records Check.

1. Every owner of each commercial cannabis business must submit to annual fingerprint-based state and federal criminal history records checks, conducted by the City or another agency authorized or requested to do so by the City, as an application requirement in connection with each application for issuance or renewal of a commercial cannabis permit for the commercial cannabis business.

2. The criminal history records check may be conducted utilizing the California Department of Justice Live Scan system or any other system deemed necessary or appropriate in the discretion of the City Manager. The City Manager is authorized to request subsequent notification service, if Live Scan is used, or an equivalent service, if another system is used, sufficient to obtain ongoing notifications of criminal offenses committed by owners of commercial cannabis businesses. In the event the City Manager does so, and such subsequent notification or equivalent service reveals a conviction or other conduct, such a conviction or other conduct shall constitute grounds for immediate suspension or revocation of the subject commercial cannabis permit.

3. Owners and responsible persons shall be disqualified from involvement with a commercial cannabis business where the results of a criminal history records check would constitute grounds for denial.

4. A fee for the City's costs of conducting the criminal history records check, as established by resolution of the City Council, shall be paid at the time the application for a commercial cannabis permit is submitted. The fee may be established as a trust deposit for actual costs.

The fee, or the initial trust deposit, shall be in an amount the City Manager estimates will cover the costs of conducting the criminal history records check, including City review and processing services and any third-party fees. If a trust deposit-based fee is established, it shall be used and drawn upon as a retainer to cover the actual costs of such investigation. If the initial trust deposit is not sufficient, the applicant shall provide additional amounts as necessary within thirty (30) days of a request from the City. If the applicant fails to do so, the investigation shall cease and shall not continue until such additional amounts are paid.

5. In the alternative to subsection (k)(4) above, the commercial cannabis business or the subject owner, may provide the City Manager with a completed criminal history records check performed by a third party vendor, as deemed necessary or appropriate in the discretion of

5.C.3
Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 the City Manager. If this alternative is used, the fee established pursuant to subsection (k)(4) above shall not apply, except as may be necessary for the City to confirm the validity and the results of the records check used.
(l) Upon completion of the investigation or in the event the applicant withdraws its application, any unused amount of any trust deposit made pursuant to this Chapter will be refunded to the applicant within thirty (30) days of request by the applicant.
(m)Loitering. The owner and/or operator of a commercial cannabis business shall prohibit loitering on the premises of the commercial cannabis business.
(n) Permits and other Approvals. Prior to the establishment or operation of any commercial cannabis business, the person intending to establish a commercial cannabis business must first obtain all applicable planning, zoning, building, and other applicable permits from the relevant governmental agency which may be applicable to the zoning district in which such commercial cannabis business intends to establish and to operate.
(o) Greenhouses. Greenhouses may be utilized only for commercial cannabis cultivation businesses, including nurseries. Greenhouses used for cannabis cultivation shall be fully-enclosed permanent structures with solid walls that are clad in an opaque material with climate control, such as heating and ventilation capabilities and supplemental artificial lighting, and that use a combination of natural and supplemental artificial lighting. The cultivation activities conducted within a greenhouse shall not be visible from any public right-of-way or adjacent private property. All greenhouses shall comply with the requirements of this Chapter and the Arvin Municipal Code, including the adopted requirements of the California Building Code, the California Fire Code and any other code adopted or incorporated by reference within the Arvin Municipal Code, as amended. Greenhouse must have a minimum of 2,000 square feet.
(p) No commercial cannabis business may store food grade alcohol or any other volatile chemical, solvent or substance in an amount which exceeds the maximum authorized amount determined by the Fire Chief. Subject to the foregoing, use of food grade alcohol solely for the purposes of cleaning machinery and dissolving wax, unless otherwise prohibited by the State, is allowed. (q) Commercial cannabis businesses shall comply with all pesticide use requirements of local, state and federal law.
(r) All weighing devices used by commercial cannabis businesses shall be maintained in compliance with local, state or federal law and applicable regulations regarding device registration with the Agricultural Commissioner.
(s) Commercial cannabis businesses shall comply with all applicable provisions of the California Building Standards Code, as adopted or incorporated into the Arvin Municipal Code. (t) Commercial cannabis businesses shall comply with all local, state and federal laws and regulations and best practices applicable to storage and disposal of chemicals, solid waste, contaminants, hazardous materials, adulterated, deteriorated or excess cannabis and cannabis products, and all byproducts of the commercial cannabis business.
(u) In no case shall any commercial cannabis business utilize any volatile solvents or other flammable, explosive or toxic substances to process or manufacture cannabis products in the City, except as expressly authorized pursuant to both a Type 7 State license and a City-issued commercial cannabis permit.
(v) All food products, food storage facilities, food-related utensils, equipment and materials shall be approved, used, managed and handled in accordance to the provisions of the California Retail Food Code, California Health and Safety Code Sections 113700 through 114437. All food products shall be protected from contamination at all times, and all food handlers must be clean, in good health and free from communicable diseases.
(w)All cannabis and cannabis products, prior to leaving any licensed premises for transfer to any retailer, shall be properly labeled and placed in resealable, tamper-evident, child-resistant packaging, shall include a unique identifier for the purposes of identifying and tracking cannabis and cannabis products, and shall otherwise comply with applicable State laws, including Business and Professions Code Section 26120, and applicable State regulations, all as may be amended from time to time.

5.C.3
Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 (x) The premises of all commercial cannabis businesses shall have sufficient lighting such that all areas subject to monitoring by the security surveillance camera system shall be visible to all cameras of the system at all times.

Section 8.29.05.250 - Operating Requirements for Cultivation Businesses and Nurseries. (a) Outdoor commercial cultivation and outdoor nursery activity is permitted subject to Section 8.29.05 Commercial Cannabis Activity prohibited.
(b) If a commercial cannabis business includes nursery activities, only one nursery may be located on the premises of the commercial cannabis business, and the nursery activity must be permitted pursuant to this Chapter and State law.
(c) Cannabis cultivation and nursery activity shall be conducted in accordance with state and local laws related to land conversion, grading, electricity, water usage, water quality, woodland and riparian habitat protection, agricultural discharges, and similar matters. (d) Pesticides and fertilizers shall be properly labeled and stored to avoid contamination through erosion, leakage or inadvertent damage from pests, rodents or other wildlife. (e) In no case shall any hazardous, flammable or explosive substances be used to process or manufacture cannabis products on site, except as otherwise stated in this Chapter pertaining to food grade alcohol. (f) The cultivation of cannabis and any nursery activity shall at all times be operated in such a way as to ensure the health, safety, and welfare of the public, the employees working at the commercial cannabis business, visitors to the area, neighboring properties, and the end users of the cannabis being cultivated, to protect the environment from harm to streams, fish, and wildlife; to ensure the security of the cannabis being cultivated; and to safeguard against the diversion of cannabis. (g) Stacking shall be allowed in a given structure only to the point that measuring the total canopy of each level of stacking is cumulatively no greater than the maximum canopy size allowed under State laws or regulations applicable to the State cultivation license held by the commercial cannabis business
(h) All applicants for a commercial cannabis permit for cultivation or nursery activity shall submit the following, which shall be subject to approval by the City Manager prior to issuance of a commercial cannabis permit to the applicant, in addition to the information otherwise required for a commercial cannabis permit application:

1. An operations plan that meets or exceeds minimum legal standards for water usage, conservation and use; drainage, runoff, and erosion control; watershed and habitat protection; and proper storage of fertilizers, pesticides, and other regulated products to be used on the parcel, proper disposal of waste materials, and a description of the nursery or cultivation activities and schedule of activities during each month of growing and harvesting, or explanation of growth cycles and anticipated harvesting schedules for all-season harvesting.

2. A description of a legal water source, irrigation plan, and projected water use.

3. Identification of the source of electrical power and plan for compliance with applicable Building Codes and related codes.

4. Plan for addressing odor and other public nuisances which may result from the nursery or cultivation site.

Section 8.29.05.260 Cannabis Manufacturing Business Operating Requirements. (a) Manufacturer 1 (Type 6) permittees shall utilize only manufacturing processes that are either solventless or that employ only nonflammable, nontoxic solvents that are generally recognized as safe pursuant to the federal Food, Drug, and Cosmetic Act (21 U.S.C. Sec. 301 et seq.). (b) Manufacturer 2 (Type 7) permittees shall utilize only manufacturing processes that use solvents exclusively within a closed-loop system that meets all of the following requirements:

1. The system uses only solvents that are generally recognized as safe pursuant to the federal Food, Drug, and Cosmetic Act (21 U.S.C. Sec. 301 et seq.).

5.C.3
Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05

2. The system is designed to recapture and contain solvents during the manufacturing process, and otherwise prevent the off-gassing of solvents into the ambient atmosphere to mitigate the risks of ignition and explosion during the manufacturing process.

3. A licensed engineer certifies that the system is commercially manufactured, safe for its intended use, and built to codes of recognized and generally accepted good engineering practices, including, but not limited to, the American Society of Mechanical Engineers (ASME), the American National Standards Institute (ANSI), Underwriters Laboratories (UL), the American Society for Testing and Materials (ASTM), or OSHA Nationally Recognized Testing Laboratories (NRTLs).

4. The system has a certification document that contains the signature and stamp of a professional engineer and the serial number of the extraction unit being certified. (c) No compressed gases used in the manufacturing process shall be stored on the premises of any manufacturer in excess of the amount authorized by the Fire Chief (d) No manufacturer may engage in the retail sale, by delivery or otherwise, of any manufactured cannabis products, including edible cannabis products, on a retail basis in the City. (e) All cannabis products shall be properly packaged and labeled in accordance with Business & Professions Code Section 26120 and applicable State regulations before leaving the commercial cannabis manufacturing business. All edible cannabis products must be in an opaque (non-seethrough) package. (f) Manufacturers shall comply with all applicable federal, State and local laws and regulations relating to manufacturing safety procedures.

Section 8.29.05.270 - Cannabis Testing Laboratory Operating Requirements. (a) Commercial cannabis testing laboratories (e.g. businesses requiring a Type 8 State license) shall comply with all applicable federal, state and local laws, regulations and/or guidelines governing testing procedures and safety measures.
(b) Testing laboratories are prohibited from obtaining permits to engage in any commercial cannabis activity, except testing. A commercial cannabis business which holds a commercial cannabis permit for testing shall not be issued or hold any other commercial cannabis permit. (c) Testing laboratories shall not employ any individual who is also employed by any other State licensee that does not hold a Type 8 State license.
(d) Testing laboratories must be accredited by an accrediting body that is independent from all other persons involved in commercial cannabis activity, and must provide proof of said accreditation, to the satisfaction of the City Manager, as a prerequisite to obtaining a commercial cannabis permit authorizing testing of cannabis or cannabis products.

Section 8.29.05.280 - Cannabis Retail/Delivery Businesses Operating Requirements (a) Retail sales of cannabis and cannabis products in the City shall be conducted by delivery only. (b) All commercial cannabis businesses conducting deliveries shall have permitted premises in the City from which all deliveries to addresses in the City or outside of the City shall be conducted.

Commercial cannabis businesses that do not have physical premises located in the City, and/or that propose to deliver into the City from premises outside the City, shall not be eligible for issuance of a commercial cannabis permit, and are prohibited from conducting deliveries in the City. (c) The premises of all commercial cannabis businesses that are permitted to conduct deliveries shall be closed to the general public at all times and shall be accessible only to employees and persons with a bona fide business or regulatory purpose for accessing the premises. (d) In accordance with Business & Professions Code Section 26070.1, cannabis or cannabis products purchased by a customer shall not leave the permitted premises of a retailer unless they are placed in an opaque package. Lake i
(e) Retailers shall not accept, possess, or sell cannabis or cannabis products that are not packaged and labeled as they will be sold at final sale and in accordance with Business & Professions Code Section 26120, as may be amended. Retailers shall not package or label cannabis or cannabis products.

5.C.3
Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 (f) No employee or other person acting on behalf of a commercial cannabis operation permitted to conduct deliveries may possess or deliver more than $3,000 worth of cannabis or cannabis products at any given time.
(g) No delivery shall be made to any person other than the person who requested the delivery, except when the person requesting the delivery is a qualified patient and the person receiving the delivery is his or her primary caregiver, or vice versa.
(h) Any person who is present on the permitted premises of a commercial cannabis business permitted to conduct deliveries who is not an employee, officer, agent, or representative of the retailer must sign in and wear a "visitor" identification badge at all times while on the premises. (i) Proof of the required State license and commercial cannabis permit, and a copy of all requests/orders for deliveries being conducted, shall be carried at all times in all vehicles being used to make deliveries, and shall be immediately available upon request from law enforcement officers.
(j) Deliveries shall not be conducted between the hours of 11:00 p.m. and 7:00 a.m.

Section 8.29.05.290 - Total Area Devoted to Commercial Cannabis Businesses, Accessory Struture Limitation, Minimum Square Footage Required, and Minimum Parcel Size Required for Outside Cultivation.
(a) No more than one million, three hundred fifty thousand (1,350,000) square feet of area shall be permitted for use by commercial cannabis businesses in the City. Notwithstanding the foregoing, land annexed into the City after the date of enactment of this Chapter shall not be subject to, nor shall be counted toward, this restriction.
(b) The square footage of premises of each permitted commercial cannabis business shall be a minimum of 2,000 square feet in area. A coexisting, Commercial Cannabis business, subtenant, may be located, with the City Manager or designee’s approval or conditional approval, in a building area of less than 2,000 square feet where the Commercial Cannabis business is in conjunction with another approved Commercial Cannabis activity permitted in a building larger than 2,000 square feet. (c) Accessory Structures in Support of Commercial Cannabis Businesses may, at the City Manager’s or designee approval or conditional approval, be authorized. The ratio of 1:1 square footage (Accessory Structure vs Commercial Cannabis Business) shall not exceed 25,000 square feet. (Example: Commercial Cannabis Business with 25,000 square feet may be authorized to have up to 25,000 square feet of Accessory Structures).

All Accessory Structures shall be affixed to concrete foundations and must conform to the California Building Code (CBC), California Electrical Code (CEC) and American Mechanical Code (AMC). Accessory structures shall meet the requirements of Section 8.029.05.080 Security Measures and must have exterior lights around all four sides or appropriate detached lighting as approved by the City. Accessory structure(s) may be less than the minimum square footage as established in 8.029.05.290 (b). Accessory Structures shall be screened from public view – design of screening shall be at the discretion of the City Manager or designee.

Accessory Structures square footage shall be included as established by Section 8.029.05.290 Total Area Devoted to Commercial Cannabis Businesses.
(d) Minimum parcel size of one-acre (1.0) gross area of 43,560 square feet required for outside cultivation and accessory uses each permit regardless of minimums established by the State of California for outdoor cultivation.

Section 8.29.05.300 - Periodic Review by the City Council.

Upon request of the City Manager, the City Attorney and the Chief of Police shall report to the City Council with findings on the operation of any commercial cannabis business permitted pursuant to this Chapter and a recommendation as to whether the business should be permitted to continue operating for the remaining period of its commercial cannabis permit (in addition to whatever other recommendations may be made) and whether the City should renew the permit upon application for renewal. Any termination or revocation of a permit based on such findings shall be in accordance with the provisions of this Chapter.

Section 8.29.05.310 - Promulgation of Regulations and Standards.

The City Manager, in his or her discretion, is authorized to promulgate reasonable regulations as he or she deems necessary to implement procedures or requirements in furtherance of the purposes of this Chapter.

5.C.3
Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05 Regulations promulgated by the City Manager shall have the same force and effect of law and shall become effective upon the date of approval and execution of such regulations by the City Manager.

Section 8.29.05.320 - Community Relations.
(a) Each commercial cannabis business shall provide the City Manager with the name, telephone number, and email address of a community relations contact to whom notice of problems associated with the commercial cannabis business can be provided.
(b) The owner, manager, and community relations representative of a commercial cannabis permit holder operating in the City shall, upon request of the City Manager, meet to discuss costs, benefits, and other community issues resulting from implementation or application of this Chapter.

Section 8.29.05.330 - Unpaid Fees Deemed Debt to City.

The amount of any unpaid fee, cost or charge imposed pursuant to this Chapter shall be deemed a civil debt to the City that is recoverable in any court of competent jurisdiction.

Section 8.29.05.340 - Permit Holder Responsible for Violations.

Commercial cannabis permit holders shall be responsible for all violations of State or local laws or regulations, whether or not committed by the permit holder or any employee or agent of the permit holder, which occur in or on the premises of the commercial cannabis business, whether or not said violations occur within the permit holder's presence.

Section 8.29.05.350 – Effect on Other Ordinances
Except as designated in this chapter, the provisions of this chapter shall control for regulation of commercial cannabis businesses as defined herein if other provisions of the code conflict therewith. This chapter shall not, however, relieve any person of his or her duty to comply with such laws if additional obligations, duties, or prohibitions are imposed thereby.

Section 8.29.05.360 – Unlawful Businesses Prohibited
In no event shall any business license be granted for any use or activity that is illegal or unlawful under federal, state or city laws or regulations. No business license issued hereunder shall be construed as authorizing the conduct of or continuance of any illegal or unlawful business, or the furnishing, sale or provisioning of any service, good or product that is illegal under this code, the laws of the State of California, or the laws of the United States of America. Notwithstanding the foregoing, a business license may be granted for businesses permitted under this chapter, provided the applicant has complied with all provisions of this code and state law.

5.C.3
Attachment: 3-Att 1 Chptr 8.29.05 Text Insert for Outdoor Grow and Culitivation (Public Hearing - First Reading Ordinance Re AMC 8.29.05

NOTICE OF EXEMPTION:

Filing of Notice of Exemption in Compliance with Section 15062 of the California Environmental Quality Act. Code Amendment -CA 2023-01 Title 8 -Outdoor Cultivation
Commercial Cannabis
NOTE: Place in project file until approved – then
file with Kern County Clerk

AFFIDAVIT OF FILING AND POSTING
Court Records Supervisor Office of the County
Clerk
I declare that I received and posted this notice on the filing date as required by California Public Resources Code Section 21152 (c ). Said Notice will remain posted for 35 days from the filing date.

TO: COUNTY CLERK
County of Kern,
1115 Truxtun Ave. 1st Floor,
Bakersfield, CA 93301
FROM: City of Arvin
City Clerk, P.O. Box 548
200 Campus Drive, Arvin, CA 93203
661-854-3134 Office, 661-854-0817 Fax
Project title: Code Amendment - CA 2023-01 Title 8, of the City Council of the City of Arvin amending Title 8, Chapter

8.29, Section 8.29.05 Commercial Cannabis Activity of the Arvin Municipal Code to adopt new and amended permitting standards and regulations applicable to commercial cannabis outdoor cultivation activities in the City.

Project location: City locations within the industrial and agricultural zones Description of nature, purpose, and beneficiaries of project: Code amendments to Title 8 Health, Chapter 8.29 Marijuana, Section 8.29.05 Commercial Cannabis Activity allowing outdoor cultivation which benefits the City of Arvin and business applicants establishing commercial cannabis business within the City of Arvin.

Name of public agency approving project: City of Arvin, CA – City Council Adopted Ordinance No. 2024-XX Outdoor Cultivation – Commercial Cannabis on January 23, 2024.

Name and person or agency
carrying out the project
City of Arvin, 200 Campus Drive, Arvin, CA 93023
Exempt status: CEQA Guidelines, General Rule Exemption sections,15061(b)(3), 15307, 15308, and required findings 15300.2.

Reasons why the project is exempt: The City Council finds and determines that the Ordinance is exempt from the California Environmental Quality Act ("CEQA") because it can be seen with certainty that there is no possibility that it will have a significant effect on the environment, as this Ordinance merely amends the Arvin Municipal Code to establish new and amended procedures and requirements for the permitting and regulation of certain commercial cannabis activities, the environmental impacts of which will be assessed on a use-specific basis. (CEQA Guidelines § 15061(b)(3)). Furthermore, the City Council finds and determines the Ordinance would also be subject to Categorical Exemptions under CEQA Guidelines sections 15307 and 15308, as it consists of regulations and restrictions on activities to assure the maintenance, restoration, or enhancement of natural resources and the environment by prohibiting environmentally destructive components of unregulated cannabis cultivation. (CEQA Guidelines §§ 15307 and 15308.) Finally, none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines Section 15300.2 apply to this Ordinance. Therefore, the City Council also adopts Categorical Exemptions for this Ordinance, pursuant to CEQA Guidelines sections 15307 and 15308.

Contact person: Chris Soriano, City Planner, City Planner, Planning Division, 141 Plumtree Drive, Arvin, CA 93203
Signature/Title/ Date:

Chris Soriano, City Planner Date: January 24, 2024
Record available to General Public: This is to certify that the environmental document and record of project approval is available to the General Public at City of Arvin, City Clerk’s Office, 200 Campus Drive, Arvin, California, 93203. This Notice of Exemption and its supporting documents may be reviewed/obtained during normal working hours at the above address. The filing of a Notice of Exemption and the posting on the list of notices start a 35-day statute of limitations period on legal challenges to the agency's decision that the project is exempt from CEQA. If a Notice of Exemption is not filed, a 180-day statute of limitations will apply. Refer to Section 15061(d) for filing instructions.

5.C.4
Attachment: 4-Notice of Exemption - Outdoor Cultivation Title 8_012324 (Public Hearing - First Reading Ordinance Re AMC 8.29.05 Outdoor

CITY OF ARVIN
Staff Report
Meeting Date: January 23, 2024
TO: Arvin City Council
FROM: Christine Viterelli, Grants Manager
Jeff Jones, City Manager / Finance Director
SUBJECT: PUBLIC HEARING TO DISCUSS THE CLOSEOUT OF THE CITY OF ARVIN’S COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG-CV) 20- CDBG-CV-1-00038 & 20-CDBG-CV-2-3-00141.

BACKGROUND:

CDBG Program regulations require that the City conduct a public hearing on all CDBG-related matters to provide for and encourage citizen participation, particularly by low- and moderateincome persons residing in areas where CDBG funds are used. Therefore, when the public hearing is opened, the public will be invited to comment on the City’s CDBG-CV 20-CDBGCV-1-00038 & 20-CDBG-CV-2-3-00141 grants.

A public notice was published on December 15, 2023, in the issue of the Bakersfield Californian and posted at regular locations throughout the city, notifying the public of this public hearing.

From 2020 -2021, HCD released two NOFA’s announcing the availability of CDBG-CV1 and CDBG-CV2 Program funds in response to the Coronavirus Pandemic. The City submitted an application to both NOFA’s and was awarded.

Program Update

1. Subsistence Payment Program, 20-CDBG-CV-1-00038
The City was awarded $116,166 in CDBG-CV1 funds in response to the pandemic to aid City of Arvin residents affect by Covid-19 in the form of subsistence payments for mortgage, rent, and utility assistance and/or payments. Permission to incur cost and begin accepting applications was received on May 7, 2021. The program provided income eligible households with up to $5,000 in assistance to cover past due and/or currently due mortgage payments, rent payments, and utility expenses for up to 3 consecutive months as grants with no repayment obligation.

Applications Received 72
Households Assisted 39
Applications Denied 33
Rental Assistance Provided 6
Mortgage Assistance Provided 17

5.D.1
Attachment: Staff Report re Close Out of CDBG ARV CV1, CV2 and CV3_012324 (Public Hearing to Discuss the CloseOut of CDBG CV1 and Utility Assistance Provided 66
Total 89*
*Numbers are higher than total applications because a single application or household had requested assistance for more than one activity such as assistance with rent and utilities, or mortgage and utilities.

Households Assisted had Incomes as follows:

Very-low income 13
Low income 17
Moderate income 9
Total 39
Household Demographics:

White 5
Black 1
Multi-Race 1
Hispanic 32
Unknown 0
Total 39
Female Head of Household 14
Senior Citizens 5
Disabled 0
Budget Total Expenses Disencumbered Funds
Total Admin: $19,748 $16,071.09 $3,676.91*
Total Implementation: $96,418 $96,284.48 $ 133.52*
The grant expired on June 25, 2023; upon approval, the City will submit the final closeout documents to HCD, completing all obligations under the grant. At this time, an estimated total of $3,810.43 funds will be disencumbered.
*Estimation of disencumbering: in the case that the need to disencumber changes for the current estimate is discovered, the City will work with HCD and SHE to disencumber those funds or to provide any credits.

2. Homeless Navigation Center 20-CDBG-CV-2-3-00141
The Navigation Center has made a tremendous impact on the community. Flood Ministries operated out of The City’s Nav. Center and has assisted individuals at risk of homelessness with shelter, food, the ability to do laundry, a cooling and heating center, mental health services/ access to resources, showers, job training regarding resume building/workshops, and clothing.

The services that the ANC team offered and obtained for these clients have been the Lamont and Arvin mental health services, substance use disorders (SUD) through Clinical Sierra VistaLamont (CSV), Arvin/Lamont community resources guide, shelter, GA, SNAP and Medi-Cal through DHS Services, free CA ID (DMV Voucher), Social Security Cards, transportation to our

5.D.1
Attachment: Staff Report re Close Out of CDBG ARV CV1, CV2 and CV3_012324 (Public Hearing to Discuss the CloseOut of CDBG CV1 and partners’ services, food, water, hygiene, bus passes, and housing preparation assistance. For the term of this grant, an estimated 20-25 participants were assisted on daily basis. In addition, The City has been featured in local new channels and commended for the work the Nav. Center (through Flood Ministries) has done in the community.

Budget Total Expenses Disencumbered Funds
Total Admin: $14,399.28 $ 6,389.26 $8,010.02*
Total Implementation: $408,320.72 $ 408,320.72 $0*
The grant will expire on October 31, 2024. Since no funds exist to continue the program, this grant should be closed. Upon approval, the City will submit the final closeout documents to HCD, completing all obligations under the grant. At this time, an estimated total of $8,010.02 funds will be disencumbered.
*in the case that the discovered encumber the estimation or in the case that there are changes of repayment of funds is discovered, the City will work with HCD and SHE to resolve the matter.

DISCUSSION
When the Public Hearing is opened, citizens are encouraged to ask questions and/or comment on the closeout of the CDBG-CV 20-CDBG-CV-1-00038 & 20-CDBG-CV-2-3-00141 grants.

Citizens are also invited to submit written comments to the City.

STAFF RECOMMENDATION:

Staff recommends that the City Council approve CDBG-CV 20-CDBG-CV-1-00038 & 20- CDBG-CV-2-3-00141 closeout process and authorize its submittal to the CA Department of Housing and Community Development, Community Development Block Grant Program.

FINANCIAL IMPACT:

No fiscal impact for the closeout of the City’s CDBG-CV grants.

ATTACHMENTS:

Public Hearing Notice (Published December 15th, 2023)
CDBG CV1 Close-Out Reports (Drafts)
CDBG CV2& CV3 Close Out Reports (Drafts)

5.D.1
Attachment: Staff Report re Close Out of CDBG ARV CV1, CV2 and CV3_012324 (Public Hearing to Discuss the CloseOut of CDBG CV1 and Version 7/12/2022 1
CDBG Combined Closeout Package
CDBG Award/Contract Number (fill in):

Checklist
I/we have completed the following forms. Check all that apply.

Closeout Certification
Acquired Property Inventory
Disencumbrance of Funds Acknowledgement/Request
Completion Report Acknowledgement
 Completion Report uploaded or attached
Section 3 Compliance Acknowledgement
Section 3 Closeout Report (complete only if applicable)  Select and complete correct form based on award date
Section 3 Qualitative Efforts (complete only if applicable) Affidavit of Posting Notice
 Proof of posting also upload/attached (e.g., picture of the website posting with date stamp, newspaper clipping, or a photo of the document posted in a public place noted on affidavit)
If this award included a planning activity, I/we have uploaded or attached ALL of the following:
 Final Product(s)
 Documentation of Public Hearing to accept final product(s) (e.g., copies of announcements, posting, etc.)
 Board Resolution accepting each/all final product(s)
CDBG Combined Closeout Package Signature

5.D.2
Attachment: ARV CV1 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3) CDBG – Closeout Certification
Version 7/12/2022 1
Closeout Certification
I (name of authorized representative), ________________________________, hereby certify that all activities undertaken by the Grantee with funds provided under CDBG Award/Contract Number _________________________ have, to the best of my knowledge, been carried out in accordance with the award/contract agreement; that proper provision has been made by the Grantee for the payment of all costs and claims; that the State of California is under no obligation to make further payment to the Grantee under the award/contract agreement; and that every statement and amounts set forth in all Financial Reports are to the best of my knowledge, true and correct.

The Grantee shall continue to comply with the State CDBG program income reporting requirements.

All costs incurred subsequent to the most recent annual audit period will be audited at the time the Grantee’s next annual audit is conducted in accordance with 2 CFR 200, Subpart F. The Grantee will resolve any audit findings relating to both the program and financial aspects of the award/contract. In the event there are any costs which are disallowed by this audit or any subsequent audits which cover CDBG expenditures, and which are sustained by the Department of Housing and Community Development, the amount of such costs shall be returned to HCD.

5.D.2
Attachment: ARV CV1 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3) CDBG – Acquired Property Inventory
Version 7/12/2022 1
Acquired Property Inventory
Complete the table below listing any property acquired in whole or in part with CDBG funds or CDBG Program Income in the table below in accordance with the provisions of 24 CFR Part 570.489(k) – Accountability of Real and Personal Property and 24 CFR Part 570.489(e) – Program Income of the HUD CDBG regulations pertaining to property management and program income. If applicable, state “None” acquired. Include additional copies of the table if required.

Future disposition of this property shall be carried out in accordance with CFR 24 Sec. 570.489(j) – Change of Use of Real Property for instructions.

Grantee: Award/Contract Number:

Contract/Project Name:

In the table below in the Proof of Ownership column, enter the type of proof on record, e.g., title, deed, invoice receipt. In the % CDBG Funded column, enter the percentage of the property funded by CDBG award dollars or by CDBG Program Income.

Description of Property Acquisition
Date
Acquisition
Cost
Serial #
or ID # Condition Status Location Proof of Ownership
% CDBG
Funded
%
%
%
%

5.D.2
Attachment: ARV CV1 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CDBG – Acquired Property Inventory
Version 7/12/20222
Description of Property Acquisition
Date
Acquisition CostSerial #
or ID # Condition Status Location Proof of Ownership
% CDBG
Funded
%
%
%
%
%
%
%
%
%
%
%
%
%
%
%

5.D.2
Attachment: ARV CV1 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CDBG – Disencumbrance of Funds
Version 7/12/2022 1
Disencumbrance of Funds Acknowledgement/Request
This award/contract has unused CDBG Grant Funds. This excludes Program Income.

Yes
No (If “No”, skip to the Completion Report Acknowledgement form) Use the table below for Agreements from Program Year 2017 and prior.

Program Activity Activity
Code
Awarded
Amounts
Amount to Be
Disencumbered Balance
TOTAL
For Program Years 2018 and later, please enter the total amount to be disencumbered: $_____________________

5.D.2
Attachment: ARV CV1 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3) CDBG – Completion Report Acknowledgement
Version 7/12/2022 1
Completion Report Acknowledgement
Complete one of the acknowledgments below based on the funding year for the CDBG award/contract you are closing out.

For 2017 and prior projects: I/We have attached a copy of the completed Completion Report for this project/program to this Combined Closeout Package.  Grantee should obtain the appropriate Completion Report for their activity type from their HCD Representative or Grant Administrator.

Yes
No (Grantee will be unable to close out the project/program until report is provided.) For 2018 and later projects (including CDBG-CV): I/We have uploaded a copy of the completed Completion Report to the Grants Network Portal concurrently with the submittal of this package.
 Grantee should obtain the appropriate Completion Report for their activity type from their HCD Representative or Grant Administrator.

Yes
No (Grantee will be unable to close out the project/program until report is provided.) Grantee should not initiate closeout in the Grants Network Portal until they can provide a Completion Report.

5.D.2
Attachment: ARV CV1 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3) CDBG – Section 3 Compliance Acknowledgement
Version 7/12/2022 1
Section 3 Compliance Acknowledgement
The purpose of Section 3 of the Housing and Urban Development Act of 1968 is to ensure that employment and other economic opportunities generated by certain HUD financial assistance shall, to the greatest extent feasible, be directed to low- and very low-income persons, particularly those who are recipients of government assistance for housing, and to business concerns which provide economic opportunities to low- and very low-income persons.

Section 3 requirements apply to housing rehabilitation, housing construction, or other public construction projects when the total amount of housing and community development assistance for the covered project activity (not including general administration) meets or exceeds a funding threshold, generally $200,000.

Section 3 compliance requirements should have been established at project set up. Grantees who are uncertain whether Section 3 requirements apply to their project(s) should contact their HCD Representative or Grant Administrator.

1. This project/program was funded prior to November 30, 2020 and is required to comply with the prior HUD Section 3 Rule, found at 24 CFR 135.

Yes (Complete the Section 3 Closeout Report for Contracts Funded Prior to November 30, 2020 on the next page.)
No (If “No”, answer Question 2 on this form.)

2. This project/program is required to comply with the HUD Section 3 Final Rule, effective on November 30, 2020, and codified at 24 CFR part 75.

Yes (Complete the Section 3 Closeout Report for Contracts Funded on or After November 30,2020.)
No
If you answer “No” to both questions above, skip to the Affidavit of Posting Notice form.

5.D.2
Attachment: ARV CV1 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3) CDBG – Affidavit of Posting Notice
Version 7/12/2022 1
Affidavit of Posting Notice
I, (Name of Official Designated in Resolution)__________________________, hereby certify that on the ________ day of ____________(month), ________ (year), I did post the notice of public hearing concerning discussion of closure and remittal of remaining funds, if any, under the California Department of Housing and Community Development, Community Development Block Grant Program at the following _______(number) locations listed below, which are available to the public. These postings will be available from ____________________(date) to ____________________(date).

Location 1:

Location 2:

Location 3:

Location 4:

Location 5:

I, (name) _________________________, Clerk of ____________________ (city, county, or jurisdiction name), State of California, hereby certify the above and foregoing is true and correct.

Dated at ___________________________(location), California, this ______ (date) day of _______________(month), 20______.

Signature of Clerk
(This may not be the same person as the official designated in the Resolution who is certifying the posting)
Title

5.D.2
Attachment: ARV CV1 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3) CDBG – Combined Closeout Package Signature
Version 7/12/2022 1
CDBG Combined Closeout Package Signature
I, the undersigned, hereby certify that all representations made and/or information provided in this combined closeout package and any referenced uploads or attachments is, to the best of my knowledge, true. I further state that my signature below will serve as signature for each of the completed forms in this package as well as for the CDBG Combined Closeout Package taken as a whole.

Date: Typed Name and Title of Official
Authorized in the Resolution:

Signature of Official Authorized
in the Resolution
Name:

Title

5.D.2
Attachment: ARV CV1 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3) Version 7/12/2022 1
CDBG Combined Closeout Package
CDBG Award/Contract Number (fill in):

Checklist
I/we have completed the following forms. Check all that apply.

Closeout Certification
Acquired Property Inventory
Disencumbrance of Funds Acknowledgement/Request
Completion Report Acknowledgement
 Completion Report uploaded or attached
Section 3 Compliance Acknowledgement
Section 3 Closeout Report (complete only if applicable)  Select and complete correct form based on award date
Section 3 Qualitative Efforts (complete only if applicable) Affidavit of Posting Notice
 Proof of posting also upload/attached (e.g., picture of the website posting with date stamp, newspaper clipping, or a photo of the document posted in a public place noted on affidavit)
If this award included a planning activity, I/we have uploaded or attached ALL of the following:
 Final Product(s)
 Documentation of Public Hearing to accept final product(s) (e.g., copies of announcements, posting, etc.)
 Board Resolution accepting each/all final product(s)
CDBG Combined Closeout Package Signature

5.D.3
Attachment: ARV CV2-3 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3) CDBG – Closeout Certification
Version 7/12/2022 1
Closeout Certification
I (name of authorized representative), ________________________________, hereby certify that all activities undertaken by the Grantee with funds provided under CDBG Award/Contract Number _________________________ have, to the best of my knowledge, been carried out in accordance with the award/contract agreement; that proper provision has been made by the Grantee for the payment of all costs and claims; that the State of California is under no obligation to make further payment to the Grantee under the award/contract agreement; and that every statement and amounts set forth in all Financial Reports are to the best of my knowledge, true and correct.

The Grantee shall continue to comply with the State CDBG program income reporting requirements.

All costs incurred subsequent to the most recent annual audit period will be audited at the time the Grantee’s next annual audit is conducted in accordance with 2 CFR 200, Subpart F. The Grantee will resolve any audit findings relating to both the program and financial aspects of the award/contract. In the event there are any costs which are disallowed by this audit or any subsequent audits which cover CDBG expenditures, and which are sustained by the Department of Housing and Community Development, the amount of such costs shall be returned to HCD.

5.D.3
Attachment: ARV CV2-3 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3) CDBG – Acquired Property Inventory
Version 7/12/2022 1
Acquired Property Inventory
Complete the table below listing any property acquired in whole or in part with CDBG funds or CDBG Program Income in the table below in accordance with the provisions of 24 CFR Part 570.489(k) – Accountability of Real and Personal Property and 24 CFR Part 570.489(e) – Program Income of the HUD CDBG regulations pertaining to property management and program income. If applicable, state “None” acquired. Include additional copies of the table if required.

Future disposition of this property shall be carried out in accordance with CFR 24 Sec. 570.489(j) – Change of Use of Real Property for instructions.

Grantee: Award/Contract Number:

Contract/Project Name:

In the table below in the Proof of Ownership column, enter the type of proof on record, e.g., title, deed, invoice receipt. In the % CDBG Funded column, enter the percentage of the property funded by CDBG award dollars or by CDBG Program Income.

Description of Property Acquisition
Date
Acquisition
Cost
Serial #
or ID # Condition Status Location Proof of Ownership
% CDBG
Funded
%
%
%
%

5.D.3
Attachment: ARV CV2-3 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CDBG – Acquired Property Inventory
Version 7/12/20222
Description of Property Acquisition
Date
Acquisition CostSerial #
or ID # Condition Status Location Proof of Ownership
% CDBG
Funded
%
%
%
%
%
%
%
%
%
%
%
%
%
%
%

5.D.3
Attachment: ARV CV2-3 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CDBG – Disencumbrance of Funds
Version 7/12/2022 1
Disencumbrance of Funds Acknowledgement/Request
This award/contract has unused CDBG Grant Funds. This excludes Program Income.

Yes
No (If “No”, skip to the Completion Report Acknowledgement form) Use the table below for Agreements from Program Year 2017 and prior.

Program Activity Activity
Code
Awarded
Amounts
Amount to Be
Disencumbered Balance
TOTAL
For Program Years 2018 and later, please enter the total amount to be disencumbered: $_____________________

5.D.3
Attachment: ARV CV2-3 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3) CDBG – Completion Report Acknowledgement
Version 7/12/2022 1
Completion Report Acknowledgement
Complete one of the acknowledgments below based on the funding year for the CDBG award/contract you are closing out.

For 2017 and prior projects: I/We have attached a copy of the completed Completion Report for this project/program to this Combined Closeout Package.  Grantee should obtain the appropriate Completion Report for their activity type from their HCD Representative or Grant Administrator.

Yes
No (Grantee will be unable to close out the project/program until report is provided.) For 2018 and later projects (including CDBG-CV): I/We have uploaded a copy of the completed Completion Report to the Grants Network Portal concurrently with the submittal of this package.
 Grantee should obtain the appropriate Completion Report for their activity type from their HCD Representative or Grant Administrator.

Yes
No (Grantee will be unable to close out the project/program until report is provided.) Grantee should not initiate closeout in the Grants Network Portal until they can provide a Completion Report.

5.D.3
Attachment: ARV CV2-3 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3) CDBG – Section 3 Compliance Acknowledgement
Version 7/12/2022 1
Section 3 Compliance Acknowledgement
The purpose of Section 3 of the Housing and Urban Development Act of 1968 is to ensure that employment and other economic opportunities generated by certain HUD financial assistance shall, to the greatest extent feasible, be directed to low- and very low-income persons, particularly those who are recipients of government assistance for housing, and to business concerns which provide economic opportunities to low- and very low-income persons.

Section 3 requirements apply to housing rehabilitation, housing construction, or other public construction projects when the total amount of housing and community development assistance for the covered project activity (not including general administration) meets or exceeds a funding threshold, generally $200,000.

Section 3 compliance requirements should have been established at project set up. Grantees who are uncertain whether Section 3 requirements apply to their project(s) should contact their HCD Representative or Grant Administrator.

1. This project/program was funded prior to November 30, 2020 and is required to comply with the prior HUD Section 3 Rule, found at 24 CFR 135.

Yes (Complete the Section 3 Closeout Report for Contracts Funded Prior to November 30, 2020 on the next page.)
No (If “No”, answer Question 2 on this form.)

2. This project/program is required to comply with the HUD Section 3 Final Rule, effective on November 30, 2020, and codified at 24 CFR part 75.

Yes (Complete the Section 3 Closeout Report for Contracts Funded on or After November 30,2020.)
No
If you answer “No” to both questions above, skip to the Affidavit of Posting Notice form.

5.D.3
Attachment: ARV CV2-3 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3) CDBG – Affidavit of Posting Notice
Version 7/12/2022 1
Affidavit of Posting Notice
I, (Name of Official Designated in Resolution)__________________________, hereby certify that on the ________ day of ____________(month), ________ (year), I did post the notice of public hearing concerning discussion of closure and remittal of remaining funds, if any, under the California Department of Housing and Community Development, Community Development Block Grant Program at the following _______(number) locations listed below, which are available to the public. These postings will be available from ____________________(date) to ____________________(date).

Location 1:

Location 2:

Location 3:

Location 4:

Location 5:

I, (name) _________________________, Clerk of ____________________ (city, county, or jurisdiction name), State of California, hereby certify the above and foregoing is true and correct.

Dated at ___________________________(location), California, this ______ (date) day of _______________(month), 20______.

Signature of Clerk
(This may not be the same person as the official designated in the Resolution who is certifying the posting)
Title

5.D.3
Attachment: ARV CV2-3 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3) CDBG – Combined Closeout Package Signature
Version 7/12/2022 1
CDBG Combined Closeout Package Signature
I, the undersigned, hereby certify that all representations made and/or information provided in this combined closeout package and any referenced uploads or attachments is, to the best of my knowledge, true. I further state that my signature below will serve as signature for each of the completed forms in this package as well as for the CDBG Combined Closeout Package taken as a whole.

Date: Typed Name and Title of Official
Authorized in the Resolution:

Signature of Official Authorized
in the Resolution
Name:

Title

5.D.3
Attachment: ARV CV2-3 Closeout Package (Public Hearing to Discuss the CloseOut of CDBG CV1 and CV2&3)

Staff Report – Consideration and Approval of LOI with APC.

CITY OF ARVIN
Staff Report
Meeting Date: January 23, 2024
TO: Arvin City Council
FROM: Jeff Jones, City Manager
SUBJECT: Consideration of Approval of Letter of Intent with Arvin Power Company BACKGROUND:

Over the past several months, the Arvin Power Company has made presentations to the City Council regarding potential partnership with the City of Arvin regarding energy projects. For your consideration tonight is a ‘Letter of Intent’ (LOI) which discusses establishing a privatepublic partnership between the City of Arvin and the APC.

According to the APC this partnership will include and possibly provide benefits to the City of Arvin as follows:

The principal benefit that the City receives under the LOI is cost-free assistance from public agency energy specialists in reviewing and initially pursuing energy-related options. This assistance is being sponsored by an Arvin-area business/enterprise: Arvin Power Company, which has a focus on developing benefits for the Arvin community.

If any of the options materialize, as expected, the City will receive other key benefits. For example, under the Community Solar option, the City would receive a rate discount of 20 percent off its electricity bills for accounts served under the Community Solar Green Tariff program. Given the size of the proposed project (~2 MW) and the limitation on community sponsor benefits (25 percent), it is expected that this benefit would amount to about $85,000 per year.

In addition, the development of solar or other projects in or near Arvin is expected to provide economic benefits to the City through workforce development and revenue-producing elements, depending on the actual project developed. APC is also committed to establishing its corporate headquarters and billing center within the City of Arvin.

The APC will contribute up to $20,000 in costs in support of City Attorney time. There is no funding provided for other City staff time nor any funding for any consultants that the City will need to use in support of proposed projects.

6.A.1
Attachment: Staff Report - Arvin Power Company Letter of Intent_012324 (Approval of Letter of Intent with Arvin Power Company)

Staff Report – Consideration and Approval of LOI with APC.

STAFF RECOMMENDATION:

At this time, staff recommends that the City Council review the LOI and request that staff engage with further discussions regarding City cost recovery should the Council desire to move forward with approving the LOI. City staff does not have the technical capacity nor current operational capacity to take on a project like this. If the LOI is implemented, staff estimates that this will cost the City between $50,000 and $100,000 in consultant costs. City staff will also have to re-direct priorities of other city operations in order to commit the necessary time to support APC/City projects. At a minimum, APC should agree to reimburse those costs in order for the City to move forward with the LOI.

FINANCIAL IMPACT:

An estimated unbudgeted expense of between $50,000 and $100,000 for consultant costs.

Potential cost savings of $85,000 (per APC estimates) per year in energy savings to the City. It should be noted that the City already has a grant with the Federal Transportation Authority for a microgrid project to provide solar energy to most of the buildings in the City hall complex so the $85,000 estimate provided by APC will need to be adjusted downward to reflect energy savings provided by the City hall microgrid in the future. There will possibly be other financial benefits and costs.

ATTACHMENTS:

Attached proposed letter of intent between the Arvin Power Company and the City of Arvin.

The LOI has been reviewed by both the City Attorney and the City Manager.

6.A.1
Attachment: Staff Report - Arvin Power Company Letter of Intent_012324 (Approval of Letter of Intent with Arvin Power Company) Arvin Power Company, LLC
380 Tucker Street
Arvin, CA 93203
December 27, 2023
Mr. Jeff Jones
City Manager
City of Arvin
200 Campus Drive
Arvin, CA 93203
Subject: Letter of Intent to Explore and Pursue the Collaborative Development of Community Solar and Other Energy Options Dear Mr. Jones:

When countersigned below, this letter of intent (?LOK?) expresses the mutual desire of the city of Arvin (?Arvin?) and Arvin Power Company, LLC (?APC?) to explore and, if found to be meritorious, pursue the collaborative development of identified community solar and other power supply and energy options (as further specified in Section 2, ?Potential Projects?). Arvin and APC willbejointly referred to as the ?Parties.? As also further described below, this LOI establishes the dealings between the Parties with respect to the Potential Projects.

This LO! is entered into with the following background information:

A. APC has been formed by the Garcia family, who are longtime residents of the Arvin community with rural property interests in and around Arvin that are used for farming, grazing and other rural operations. APC was formed for the purpose of exploring and developing community-based energy projects.

B. The Garcia family?s goal is to develop as much of its property holdings into renewable energy facilities that can help facilitate the incoming electrical infrastructure needed to propel Kern County and its communities toward energy sustainability and independence.

C. APC provided a presentation at the August 8, 2023 Arvin City Council (?City Council?) meeting describing a proposal by which Arvin and APC would work collaboratively with other service providers to create and support a newly formed microgrid or micro-utility (?Original Proposal?). Upon further review of the Original Proposal and in light of newly approved State and Federal incentives to develop renewable energy, APC believes that other proposals should be explored to determine if a community-based energy program could be pursued that would allow for the development of solar and other power supply and energy options, such as green hydrogen, for the residents and businesses in and around Arvin.

6.A.2
Attachment: 2023-12-20 13-18 updated APC signed LOI (Approval of Letter of Intent with Arvin Power Company) With this as background, the Parties hereby agree and express their mutual intent as follows:
|. Exclusive and Confidential Exploratory Period. During the period of time beginning on the Effective Dateof this LOT (defined as the date on which this LOT has been countersigned by Arvin) and continuing for one year (?Exploratory Period?), the Parties agree to engage in exclusive and confidential dealings with respect to the exploration and possible collaborative development of the Potential Projects identified in Section 2.

2. Collaborative Exploration of the Potential Projects. As soon afler the Effective Date as conimercially practicable, APC will provide additional commercial, financial and technical information about the following Potential Projects, which will form the basis for the Parties? consideration of next steps and additional activity under this LOI:

Original Proposal
© Upon further review, APC believes that the Original Proposal may not be able to feasibly and timely deliver net benefits to Arvin without significant cost, risk and uncertainty. Nevertheless, APC believes that the Original Proposal may be uscful in forming other energy options that could be implemented by the Parties.

Community Microgrid Options
© Pursuant to legislative direction provided in Senate Bill 1339 (2018), the California Public Utilities Commission (?CPUC?) has begun to explore and implement, on a limited basis, microgrid options by which certain customers and communities within defined electrical boundaries may act as a single electric system, and can be connected and disconnected from the broader electrical grid in order to achieve resiliency and other objectives. APC will provide additional information about community microgrid options that may provide benefits to Arvin.

Community Solar Options
®@ The CPUC has authorized various programs that provide incentives and opportunities for solar projects located in and around disadvantaged communities (?DACs?). Most of the census tracts in and around Arvin are considered DACs and therefore may provide opportunities for the development of solar projects by APC, sponsored by Arvin, that would qualify under the CPUC?s programs. APC will provide additional information about applicable community solar options with the intent that, should the Parties enter into a binding agreement, as discussed in Section 3, below, Arvin will act as the community sponsor for a potential project with APC under the CPUC?s DAC Community Solar GreenTariff program, which requires local government sponsorship and promotes workforce development and job training in DACs. As necessary to tentatively advance a project under the 2 6.A.2
Attachment: 2023-12-20 13-18 updated APC signed LOI (Approval of Letter of Intent with Arvin Power Company)

3. CPUC?s DAC Community Solar Green Tariff program, Arvin agrees to provide reasonable assurances of its intent, as described further in Section 5, below.

Public Power Options
® Asacity under California law, Arvin has the right to establish a municipal clectric utility, and separately has the right to form its own community choice aggregation (?CCA?) program or to join a CCA program operated pursuant to a joint powers agrcement with other cities and/or counties. Formation ofa CCA program, either as a stand-alone program or as part of a broader program, may allow energy programs to be developed for the benefit of the Parties. APC will provide additional information about these ?public power options? and how these options may be useful in developing communitybased energy programs supported by APC.

Green Hydrogen Development
© The United States and California are committed to promoting the development and deployment of clean, renewable hydrogen. Opportunities exist to produce hydrogen using solar power on land owned or under the control of APC. APC will provide additional information about how the development of green hydrogen in or around Arvin (or the use of green hydrogen in or around Arvin) may provide community benefits.

Implementation. The Parties anticipate that they will engage in ongoing discussions and mectings for the purpose of describing and considering the meritsof the Potential Projects. APC commits to provide sufficient resources, including financial resources, to support these efforts. Arvin commits to provide staff time to understand and properly present the options to the City Council prior to approval of any project. The goal of these efforts is to discuss, negotiate and potentially enter into a binding agreement before the end of the Exploratory Period by which APC will implement and develop one or more of the Potential Projects identified by the Parties as having a high value for Arvin and the community.

Relationshipof the Parties. The Parties will not be deemed in a relationship of partiers or joint venturers by virtue of this LOI, nor will either party be an agent, representative, trustee or fiduciary of the other party. Neither party will have any authority to bind the other party to any agreement. Without limiting the generality of the foregoing, Arvin hereby authorizes APC to communicate with third parties (including but not limited to the CPUC, Pacific Gas and Electric Company (?PG&E?), and project developers) for the purpose of expressing the intent of Arvin to consider and potentially develop a community energy project, as described herein.

Further Assurances and Efforts. The Parties acknowledge that this LOI provides a summary expression of efforts and actions that are necessary to implement exploratory 3 6.A.2
Attachment: 2023-12-20 13-18 updated APC signed LOI (Approval of Letter of Intent with Arvin Power Company) efforts with respect to the Potential Projects. The Parties hereby agree to provide further assurances and expend further effort as may be commercially reasonable to carry out the objectives of this LOI. Notwithstanding the foregoing, in no way is Arvin committing under this LOT to provide ary out-of-pocket financial resources towards carrying out the objectives of this LOI.
. Costs. APC is solely responsible for its costs incurred in APC?s performance under this LOI, and as part of any subsequent discussion or negotiation between the Parties.

Additionally, APC will provide reimbursement for the out-of-pocket costs associated with the Arvin City Attorney and his staff, provided, however, unless otherwise agreed in writing, APC will have no obligation to provide reimbursement to Arvin in an aggregate amount more than $20,000.
. Exclusivity, During the Exploratory Period, APC will have the exclusive right to enter into an agreement with Arvin for the purpose of developing and implementing the Potential Projects. If, during the Exploratory Period and continuing for six months thereafter, Arvin receives a bona fide written offer by a third party to enter into an agreement to develop and implement one or more of the Potential Projects (?Third-Party Offer?), which Arvin intends to accept, Arvin will give written notice to APC at least sixty (60) days before the expected effective date of the agreement, providing APC a copy of the Third-Party Offer. For sixty (60) days after APC receives written notice from Arvin and a copyof the Third-Party Offer, APC will have the right to notify Arvin that it is exercising its right of first refusal and will enter into an agreement on terms and conditions contained in the Third-Party Offer.
. Confidentiality and Common Interest. Subject to the open records requirements of the California Public Records Act, or Federal, State or Local laws requiring disclosure, the Parties agree to maintain the terms of this LOI in confidence. Without limiting the gencrality of the forcgoing, the Partics agree not to disclose terms associated with or work performed under this LOT without the other party?s written consent, unless required by law. Moreover, the Parties agree to hold any business information exchanged or discovered with respect to the Parties or the Potential Projects in confidence if such information is marked or otherwise reasonably assumed to be ?confidential,? and not to disclose the same to any third party or to use such information for any purpose other than to evaluate the Potential Projects. Notwithstanding the foregoing, APC may communicate on behalf of Arvin as described in Section 4 for the purpose of expressing Arvin?'s intent to evaluate the Potential Projects. Further, the Parties hereby acknowledge that, by virtue of this LOI, they are entering into a common interest relationship, and the Parties desire, to the maximum extent permitted, to maintain a common interest privilege over information exchanged under this LOI.
. Expression of Intent. Arvin hereby expresses its intent to implement a Potential Project if the identified Potential Project meets the objectives of Arvin. Notwithstanding the foregoing, the ?objectives of Arvin? will be determined solely by the City Council.

6.A.2
Attachment: 2023-12-20 13-18 updated APC signed LOI (Approval of Letter of Intent with Arvin Power Company)

10. No Guarantee. Neither this LOI nor any subsequent discussion or negotiation between the Parties creates a binding or enforceable agreement to proceed with a Potential Project and should not be construed or relied upon as a guarantee of achievement of a Potential Project.

If the foregoing meets with your approval, please sign this LOI below and provide a scanned copy of the signature page to me via email (to [email protected]). The Parties agree that facsimile signatures of the Partics on this LOI will have the same force and effect as original signatures.

The Parties have also agreed that this LOT may be executed in counterparts, each of which will be deemed an original.

Sincerely,
ARVIN POWER COMPANY, LLC _ CITY OF ARVIN
Ow and agreed:

Rene P. Garcia
Title: President Title:

Date:

6.A.2
Attachment: 2023-12-20 13-18 updated APC signed LOI (Approval of Letter of Intent with Arvin Power Company)

CITY OF ARVIN
Staff Report
Meeting Date: January 23, 2024
TO: Arvin City Council
FROM: Megan Miller, Human & Community Resources Manager Jeff Jones, City Manager
SUBJECT: Consideration and Approval to Adopt the Arvin Police Officer’s Association (APOA) Side Letter January 2024.

BACKGROUND:

The City of Arvin/Arvin Police Department administration have been in negotiations with the Arvin Police Officers Association (APOA) for a mid-contract wage increase since April 2023.

The current Memorandum of Understanding (MOU) is in place and extending through June 30, 2025. The current market conditions, paired with the difficulty of retaining and hiring of law enforcement professionals’ is felt throughout the nation, state of California being heavily impacted, however Kern County has experienced unprecedented retention issues. With the influx of wage increases in law enforcement agencies in the county, and the addition of another smaller agency this year, significant retention concerns in the Arvin Police Department (APD) have increased over the last 12 months. Having law enforcement professionals that know the City of Arvin, the streets, the community members, and that have built trust and rapport is invaluable to solving and reducing crime and overall public safety in Arvin.

It is the shared goal of the city administration, and has been conveyed by the city council, the desire to retain officers to maintain and continue to trend downward crime patterns in the community. The APOA, City Administration team and Retention Ad Hoc have reached a preliminary agreement on an offer that would assist us to achieve the retention goals.

Attached is a side letter agreement that has been drafted to articulate the offer for the APOA that will correspond with the complete change of the MOU. The MOU has been changed to ensure the terms of the agreement are more clearly articulated than past MOUs, making changes to the terms that are mutually equitable and providing the needed increase for retention and recruitment. The wage increase will be effective upon council ratification of the MOU which will be presented for approval in council meetings to follow. The new MOU will extend throughout the fiscal year 2027.

Presently, upon council’s approval of the side letter, the retention bonus is effective immediately with the execution of the retention agreement. This agreement ensures APOA members receiving the retention bonus will remain employed for two full years following the agreement execution or repayment of the bonus will be required if the APOA member separates from the APD. All the aforementioned terms are detailed in the side letter agreement and the retention bonus agreement.

6.B.1
Attachment: apoa side letter staff report 1.24 (Approval and Adoption of the Arvin Police Officer’s Association (APOA) Side Letter January STAFF RECOMMENDATION:

The recommendation to approve and adopt the side letter between the City of Arvin and the “APOA” Arvin Police Officers Association both approving the official offer upon ratification and execution of the MOU, as well as the approval of the immediate retention bonus with corresponding retention agreement.

FINANCIAL IMPACT:

The $5,000 per officer retention payment (total cost $90,000) is budgeted and funded via a portion of American Rescue Plan Act funds that were designated in 2021 by the City Council for use and support of employee salaries, benefits, and support tools. The proposed COLAs in 2026 and 2027 are projected to be funded by modest economic growth over the period. The five dollar per hour pay increase (step A) to six dollars and thirty-eight cent per hour pay increase (step F) reflects approximately $830,000 in increased costs to the city over the next three years. While some of this cost will be covered by economic growth and increased revenue due to inflation over this period of time, it is projected that the net impact of the pay increase will create a shortfall of about $400,000 which will need to be funded by the use of city reserves. The current general fund reserve balance as of June 30, 2023, is estimated to be $1,700,000.

ATTACHMENTS:

APOA Side Letter 1.24
Retention Bonus Agreement

6.B.1
Attachment: apoa side letter staff report 1.24 (Approval and Adoption of the Arvin Police Officer’s Association (APOA) Side Letter January Side Letter Between
The City of Arvin, ("CITY") and
Arvin Police Officers Association, ("APOA")
January 10, 2024
Re: Retention Bonus and MOU with pay increase
The City has been in ongoing negotiations both internally, with council and with the APOA for nearly 9 months. We have reached an agreement on an equitable pay increase to bring our sworn staff within the APOA nearer to industry standard in similarly situated cities in Kern County.

The city has drafted an MOU that takes a more comprehensive approach to address various items to ensure full transparency and clear expectations. We have met and conferred preliminarily and discussed different takeaways to better streamline with all other city departments. The MOU is pending APOA and both parties’ legal review. The MOU will contain the following offer:

OFFER
Pay Increase:

Step F: $6.38
Step A: $5.00
Cost of Living Adjustment (COLA) for Year 2025-2026:

A 2.5 percent COLA will be applied to your compensation for the year 2025-2026, considering the prevailing economic conditions.

Cost of Living Adjustment (COLA) for Year 2026-2027:

A further 2.5 percent COLA will be implemented for the year 2026-2027, ensuring continued competitiveness in your compensation.

The aforementioned offer terms will be effective upon council ratification.

As a good faith step on the City’s behalf, we are offering an immediate retention bonus in the interim.

RETENTION BONUS – Employees will receive $5000.00 in a retention bonus. In a concerted effort to employees, the city has drafted a retention agreement that the employees receiving the bonus funds will remain employed for two years or be responsible for repayment of bonus. The repayment terms are detailed in the Retention Bonus Agreement. It is mutually agreed and understood this is not a CalPERS contributable stipend. (See Attachment 1 for specific agreement verbiage)

6.B.2
Attachment: apoa retention (Approval and Adoption of the Arvin Police Officer’s Association (APOA) Side Letter January 2024) Side Letter Between
The City of Arvin, ("CITY") and
Arvin Police Officers Association, ("APOA")
We believe that these proposed changes reflect our commitment to the well-being and job satisfaction of our valued police officers. The enhancements are designed to recognize your dedication, hard work, and service to the community.

Thank you for your continued commitment to serving and protecting the community. _________________________________________________________________________________ IT IS SO AGREED:
______________________________ _____________
APOA Representative Date
______________________________ _____________
City Manager Date
______________________________ _____________
Employee Representative Date
Attachment 1: Retention Bonus Agreement

6.B.2
Attachment: apoa retention (Approval and Adoption of the Arvin Police Officer’s Association (APOA) Side Letter January 2024)