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agenda-report Public Hearing - CONSIDERATION OF GROW ORGANIC 12, INC. COMMERCIAL CANNABIS APPLICATION

Barstow City Council
December 21, 2022

Document
agenda-report Public Hearing - CONSIDERATION OF GROW ORGANIC 12, INC. COMMERCIAL CANNABIS APPLICATION
Meeting
December 21, 2022
Body
Barstow City Council
Original file
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Text extracted from the city's file for reading and search. Open the original on barstowcityca.iqm2.com. That file is the official record.

Joint Special Council/BFPD
12/21/22 12:00 PM
Building
Christopher Heldreth
Public Hearing
Doc ID: 5218

COUNCIL AGENDA ITEM
AGENDA MATTER:

PUBLIC HEARING - CONSIDERATION OF GROW ORGANIC 12, INC. COMMERCIAL CANNABIS

APPLICATION
EXECUTIVE SUMMARY:

Staff requests that the City Council review Grow Organic 12, Inc. cannabis application and after review, introduce Ordinance No. 1006-2022 approving Grow Organic 12, Inc. application for Commercial Cannabis Cultivation permit, Cannabis Development Agreement, Conditional Use Permit, and related land use entitlements.

DISCUSSION:

On November 8, 2016, the Control, Regulate, & Tax Adult Use of Marijuana Act (“AUMA”) was approved by California voters via Proposition 64. The AUMA permits local jurisdictions to regulate and/or ban adult use cannabis cultivation, distribution and delivery, transportation, manufacturing, testing laboratories, dispensaries, and microbusiness facilities.

In June 2021, the City Council passed Ordinance No. 974-2021 which added Chapter 19.27 to the Barstow Municipal Code to permit commercial cannabis activities in the City. The ordinance went into effect on July 7, 2021. On October 4, 2021, the City Council adopted Ordinance No. 977-2021, amending the City’s cannabis regulatory program ordinance.

All cannabis businesses must enter into a development agreement with the City that will be subject to council approval through the adoption of an ordinance under Government Code Section 65865. This application came before the Planning Commission for review at its October 10, 2022 meeting as part of consideration of a multi-tenant development agreement for all cannabis businesses coming before the Council tonight as all land use permits and statutory development agreements must first be presented to the Planning Commission. The Planning Commission recommended approval. The City Council considered the development agreement at its November 21, 2022 meeting and directed staff to return with individualized development agreement for each cannabis business that is being proposed.

Application
Grow Organic 11, Inc. is applying for a permit for Commercial Cannabis Cultivation.

Applicant’s representative, who will be listed on the permit if one is used and will be the point of contract for the Planning Department is Fred Dehnoushi.

Applicant Information
Grow Organic 12, Inc. is a corporation. They do have a federal tax identification and are properly registered with the California Secretary of State.

The company has the following corporate officers:

Corporate Agent - Fred Dehnoushi
Joint Special Council/BFPD
12/21/22 12:00 PM
Building
Christopher Heldreth
Public Hearing
Doc ID: 5218

COUNCIL AGENDA ITEM
Members of the applicant group have no relevant criminal convictions listed on their permit application.

Members of the applicant group have no listed unfair business practices listed on their permit application.

Location Information
Grow Organic 12, Inc. is applying for a permit at 2833 Lenwood Road, Building 12 Barstow, CA 92311 APN #0428-211-26]. The total square feet of each structure on the site is 12,474 square feet.

The applicant is not the owner of the property but has provided the City with a copy of the Landlord Use Disclosure & Authorization for a Cannabis Facility agreement between applicant and owner.

Acknowledgment of City Standards
The managing members of the applicant group have submitted a signed acknowledgment of the City’s Cannabis operating standards as set forth in the City’s Municipal Code.

Information and Release Form
The managing members of the applicant group have signed and consented to the release of information necessary for the City to verify and confirm the information contained in their permit application.

On-Site Member Contact Statement
The applicant has designated Norair Madatian as the on-site manager and the designated representative to whom the public or City can provide notice to if there are operating problems or issues related to the Cannabis Facility.

Conditional Use Permit
Applicant has submitted the required conditional use permit, including the following required documents:
seven sets of the plans in 24” x 36”, filing fees, notification packages, title report, existing site plan, proposed site plan, conceptual architectural renderings, conceptual landscape plan, and electronic copy of these plans, and any special studies as determined by the Community Development Department.

Environmental Information and Checklist
Applicant has submitted the required environmental information and checklist.

Security Plan
The applicant has submitted a security plan which contains: 24-hour security surveillance cameras, sensors, panic buttons, alarm system, 24-hour security personnel, and a lock system not solely controlled by an electronic access panel.

DOJ Live Scans for Owners, Managers, Employees, Volunteers, and Security Personnel Applicant has submitted the required Department of Justice Live Scans for owners, managers, employees, volunteers, and security personnel.

Joint Special Council/BFPD
12/21/22 12:00 PM
Building
Christopher Heldreth
Public Hearing
Doc ID: 5218

COUNCIL AGENDA ITEM
Operations Plans
Applicant has submitted the required Operations Plan in accordance with the City’s Municipal Code. The following features are present in the Operations Plan: limiting access area, keeping cannabis and cannabis products in a secure manner, designating a security representative/liaison, a storage and transportation plan, cooperation with the City, and notification to Police Department with provisions.

Application Fees
Applicant has submitted the required application fees related to this permit application.

Fiscal Impacts
The City Manager is specifically authorized to set and adjust the square footage for the Production Space and to determine the corresponding operating fee as the Project is completed. 1) Each Operator agrees to pay to City, in order to enable City to promote, protect, and enhance the healthy, safety, and welfare of the community and its residents and its quality of life, the following fees, if holding a Cannabis Cultivation Permit or Cannabis Manufacturing Permit: a yearly operating fee of Five Dollars ($5) per square foot times total square footage of each Premises. Fees shall be paid no later than December 31st of every year beginning in the year each Operator receives its CCP and shall be prorated commensurate with the number of months such Operator had its CCP. Failure to pay the fee within thirty (30) days after the due date shall result in an additional penalty for nonpayment in a sum equal to twentyfive percent (25%) of the total amount due.

Operator agrees to pay to City, in order to enable City to promote, protect, and enhance the healthy, safety, and welfare of the community and its residents and its quality of life, and shall pay the following fees, if holding a Cannabis Non-Storefront Retail Delivery Permit or Cannabis Storefront Retail Permits shall pay:
2) A monthly operating fee(s) of three percent (3%) of Gross Receipts for operations from the Cannabis Non-Storefront Retail Delivery Permits and Cannabis Storefront Retail Permits, to be paid monthly. Fees shall be due to the City on first (1st) of the month. Failure to pay the fee within thirty (30) days after the due date shall result in an additional penalty for nonpayment in a sum equal to twenty-five percent (25%) of the total amount due.

Facilities with multiple licenses must not commingle respective sales proceeds, and blend percentage rate of Gross Receipts.

FISCAL IMPACT:

RECOMMENDED ACTION:

Staff recommends the City Council introduce Ordinance No. 1006-2022 approving Grow Organic 12, Inc. application for Commercial Cannabis Cultivation, Cannabis Development Agreement, Conditional Use Permit, and related land use entitlements. The Planning Commission recommended approval at its October 10, 2022 meeting. The project is exempt from review under the California Environmental Quality Joint Special Council/BFPD
12/21/22 12:00 PM
Building
Christopher Heldreth
Public Hearing
Doc ID: 5218

COUNCIL AGENDA ITEM
Act, per CEQA Guidelines, Cal Code of Regs., tit. 24, sections 15301, 15302, and 15303, 15061, and 15378.

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