Agenda — Cudahy City Council, June 20, 2023 (part 2 of 7)

APN RF SYRF MF SYMF CF SYCF Charge
City of Cudahy
Street Lighting District
Fiscal Year 2023/2024 Preliminary Roll
(Sorted by APN)
6225-019-004 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-019-005 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-019-006 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-019-008 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-019-009 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-019-010 62.00 0.00 0.00 0.00 0.00 0.00 35.34
6225-019-011 43.00 0.00 0.00 0.00 0.00 0.00 24.50
6225-019-012 60.00 0.00 0.00 0.00 0.00 0.00 34.20
6225-019-013 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6225-019-014 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-019-015 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-019-016 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-019-017 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-019-018 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-019-021 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6225-019-022 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6225-019-023 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6225-019-024 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6225-019-025 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6225-019-026 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6225-019-027 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6225-019-028 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6225-019-029 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6225-019-030 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6225-020-001 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6225-020-002 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-020-003 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-020-004 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-020-005 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-020-006 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6225-020-008 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-020-009 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-020-011 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-020-012 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-020-013 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-020-014 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-020-015 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-020-017 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-020-018 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-020-019 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-020-023 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-024 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-025 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-026 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-027 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-028 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-029 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-030 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-031 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-032 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-033 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-034 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-036 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-037 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-038 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-039 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-040 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-042 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-043 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-044 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-045 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-046 9.00 0.00 0.00 0.00 0.00 0.00 5.12
Willdan Financial Services Page 16 of 28

Page 162 of 1183 ends

APN RF SYRF MF SYMF CF SYCF Charge
City of Cudahy
Street Lighting District
Fiscal Year 2023/2024 Preliminary Roll
(Sorted by APN)
6225-020-047 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-020-048 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-021-001 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-021-002 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-021-003 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-021-005 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-021-009 45.00 0.00 0.00 0.00 0.00 0.00 25.64
6225-021-010 45.00 0.00 0.00 0.00 0.00 0.00 25.64
6225-021-011 47.00 0.00 0.00 0.00 0.00 0.00 26.78
6225-021-012 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-021-013 129.00 115.00 0.00 0.00 0.00 0.00 106.88
6225-021-014 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-021-015 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-021-016 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-021-022 0.00 0.00 0.00 0.00 50.00 0.00 58.00
6225-021-024 0.00 0.00 0.00 0.00 50.00 0.00 58.00
6225-021-025 0.00 0.00 0.00 0.00 60.00 0.00 69.60
6225-021-026 0.00 0.00 0.00 0.00 50.00 0.00 58.00
6225-021-027 0.00 0.00 0.00 0.00 50.00 0.00 58.00
6225-021-028 0.00 0.00 0.00 0.00 60.00 75.00 112.34
6225-021-030 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-021-032 45.00 0.00 0.00 0.00 0.00 0.00 25.64
6225-021-033 0.00 0.00 264.00 0.00 0.00 0.00 229.68
6225-022-001 40.00 0.00 0.00 0.00 0.00 0.00 22.80
6225-022-002 107.00 0.00 0.00 0.00 35.00 105.00 161.44
6225-022-003 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6225-022-004 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6225-022-005 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6225-022-006 43.00 0.00 0.00 0.00 0.00 0.00 24.50
6225-022-007 62.00 0.00 0.00 0.00 0.00 0.00 35.34
6225-022-008 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6225-022-009 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-022-010 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6225-022-011 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6225-022-014 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-022-015 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-022-016 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-022-017 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-022-018 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-022-019 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-022-020 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6225-022-021 70.00 0.00 0.00 0.00 0.00 0.00 39.90
6225-022-022 45.00 0.00 0.00 0.00 0.00 0.00 25.64
6225-022-023 60.00 0.00 0.00 0.00 0.00 0.00 34.20
6225-022-024 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-022-025 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6225-022-026 38.00 0.00 0.00 0.00 0.00 0.00 21.66
6225-022-027 67.00 0.00 0.00 0.00 0.00 0.00 38.18
6225-022-028 54.00 0.00 0.00 0.00 0.00 0.00 30.78
6225-022-029 51.00 0.00 0.00 0.00 0.00 0.00 29.06
6225-022-033 0.00 0.00 0.00 0.00 40.00 0.00 46.40
6225-022-034 0.00 0.00 0.00 0.00 40.00 0.00 46.40
6225-022-035 0.00 0.00 0.00 0.00 57.00 121.00 135.08
6225-022-037 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6225-022-038 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6225-022-040 0.00 0.00 0.00 0.00 40.00 0.00 46.40
6225-022-042 90.00 0.00 0.00 0.00 0.00 0.00 51.30
6225-023-001 45.00 0.00 0.00 0.00 0.00 0.00 25.64
6225-023-002 60.00 0.00 0.00 0.00 0.00 0.00 34.20
6225-023-003 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6225-023-004 45.00 0.00 0.00 0.00 0.00 0.00 25.64
6225-023-005 60.00 0.00 0.00 0.00 0.00 0.00 34.20
Willdan Financial Services Page 17 of 28

Page 163 of 1183 ends

APN RF SYRF MF SYMF CF SYCF Charge
City of Cudahy
Street Lighting District
Fiscal Year 2023/2024 Preliminary Roll
(Sorted by APN)
6225-023-008 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-023-009 52.00 0.00 0.00 0.00 0.00 0.00 29.64
6225-023-010 75.00 0.00 0.00 0.00 0.00 0.00 42.74
6225-023-012 112.00 156.00 0.00 0.00 0.00 0.00 109.08
6225-023-014 98.00 0.00 0.00 0.00 0.00 0.00 55.86
6225-023-015 130.00 0.00 0.00 0.00 0.00 0.00 74.10
6225-023-016 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6225-023-018 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6225-023-019 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6225-023-020 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-023-021 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-023-022 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6225-023-023 75.00 104.00 0.00 0.00 0.00 0.00 72.90
6225-023-024 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6225-023-025 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6225-023-026 63.00 0.00 0.00 0.00 0.00 0.00 35.90
6225-023-028 89.00 0.00 0.00 0.00 0.00 0.00 50.72
6225-023-029 45.00 0.00 0.00 0.00 0.00 0.00 25.64
6225-023-030 60.00 0.00 0.00 0.00 0.00 0.00 34.20
6225-024-001 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6225-024-002 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-024-003 30.00 0.00 0.00 0.00 0.00 0.00 17.10
6225-024-006 30.00 0.00 0.00 0.00 0.00 0.00 17.10
6225-024-007 30.00 0.00 0.00 0.00 0.00 0.00 17.10
6225-024-008 30.00 0.00 0.00 0.00 0.00 0.00 17.10
6225-024-009 30.00 0.00 0.00 0.00 0.00 0.00 17.10
6225-024-010 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6225-024-011 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6225-024-012 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6225-024-015 81.00 0.00 0.00 0.00 0.00 0.00 46.16
6225-024-016 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-024-017 65.00 0.00 0.00 0.00 0.00 0.00 37.04
6225-024-018 61.00 0.00 0.00 0.00 0.00 0.00 34.76
6225-024-019 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-024-020 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-024-021 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-024-022 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-024-023 60.00 0.00 0.00 0.00 0.00 0.00 34.20
6225-024-024 121.00 163.00 0.00 0.00 0.00 0.00 116.24
6225-024-025 65.00 0.00 0.00 0.00 0.00 0.00 37.04
6225-024-026 65.00 0.00 0.00 0.00 0.00 0.00 37.04
6225-024-027 162.00 0.00 0.00 0.00 0.00 0.00 92.34
6225-025-002 0.00 0.00 0.00 0.00 52.00 0.00 60.32
6225-025-003 0.00 0.00 0.00 0.00 30.00 0.00 34.80
6225-025-004 0.00 0.00 0.00 0.00 30.00 0.00 34.80
6225-025-005 0.00 0.00 0.00 0.00 30.00 0.00 34.80
6225-025-006 30.00 0.00 0.00 0.00 0.00 0.00 17.10
6225-025-007 40.00 0.00 0.00 0.00 0.00 0.00 22.80
6225-025-008 30.00 0.00 0.00 0.00 0.00 0.00 17.10
6225-025-009 30.00 0.00 0.00 0.00 0.00 0.00 17.10
6225-025-010 30.00 0.00 0.00 0.00 0.00 0.00 17.10
6225-025-011 30.00 0.00 0.00 0.00 0.00 0.00 17.10
6225-025-012 30.00 90.00 0.00 0.00 0.00 0.00 43.20
6225-025-013 30.00 0.00 0.00 0.00 0.00 0.00 17.10
6225-025-014 30.00 0.00 0.00 0.00 0.00 0.00 17.10
6225-025-015 0.00 0.00 0.00 0.00 60.00 0.00 69.60
6225-025-016 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-025-017 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-025-019 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-025-020 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-025-022 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6225-025-025 53.00 0.00 0.00 0.00 0.00 0.00 30.20
Willdan Financial Services Page 18 of 28

Page 164 of 1183 ends

APN RF SYRF MF SYMF CF SYCF Charge
City of Cudahy
Street Lighting District
Fiscal Year 2023/2024 Preliminary Roll
(Sorted by APN)
6225-025-026 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-025-027 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-025-028 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-025-029 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-025-031 0.00 0.00 0.00 0.00 78.00 59.00 124.10
6225-025-032 0.00 0.00 0.00 0.00 72.00 0.00 83.52
6225-025-033 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-026-001 0.00 0.00 0.00 0.00 105.00 183.00 226.10
6225-026-002 0.00 0.00 0.00 0.00 105.00 0.00 121.80
6225-026-003 0.00 0.00 0.00 0.00 105.00 0.00 121.80
6225-026-004 0.00 0.00 0.00 0.00 105.00 0.00 121.80
6225-026-005 0.00 0.00 0.00 0.00 50.00 42.00 81.94
6225-026-006 0.00 0.00 0.00 0.00 53.00 66.00 99.10
6225-026-007 0.00 0.00 0.00 0.00 45.00 56.00 84.12
6225-026-009 0.00 0.00 0.00 0.00 120.00 0.00 139.20
6225-026-010 0.00 0.00 0.00 0.00 62.00 0.00 71.92
6225-026-011 0.00 0.00 0.00 0.00 50.00 0.00 58.00
6225-026-012 0.00 0.00 0.00 0.00 50.00 0.00 58.00
6225-026-013 0.00 0.00 0.00 0.00 135.00 0.00 156.60
6225-026-014 0.00 0.00 0.00 0.00 183.00 80.00 257.88
6225-026-015 0.00 0.00 0.00 0.00 90.00 123.00 174.50
6225-027-002 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-027-004 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6225-027-010 0.00 0.00 0.00 0.00 110.00 49.00 155.52
6225-027-011 0.00 0.00 0.00 0.00 42.00 0.00 48.72
6225-027-012 0.00 0.00 0.00 0.00 42.00 0.00 48.72
6225-027-013 0.00 0.00 0.00 0.00 42.00 0.00 48.72
6225-027-016 0.00 0.00 0.00 0.00 60.00 0.00 69.60
6225-027-022 42.00 0.00 0.00 0.00 0.00 0.00 23.94
6225-027-023 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-027-025 0.00 0.00 0.00 0.00 45.00 0.00 52.20
6225-027-027 84.00 0.00 0.00 0.00 0.00 0.00 47.88
6225-027-028 69.00 0.00 0.00 0.00 15.00 0.00 56.72
6225-027-031 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-027-032 10.00 0.00 0.00 0.00 0.00 0.00 5.70
6225-027-033 10.00 0.00 0.00 0.00 0.00 0.00 5.70
6225-027-034 10.00 0.00 0.00 0.00 0.00 0.00 5.70
6225-027-035 10.00 0.00 0.00 0.00 0.00 0.00 5.70
6225-028-001 0.00 0.00 0.00 0.00 105.00 0.00 121.80
6225-028-003 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6225-028-004 45.00 0.00 0.00 0.00 0.00 0.00 25.64
6225-028-005 60.00 0.00 0.00 0.00 0.00 0.00 34.20
6225-028-006 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-028-015 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-028-016 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-028-017 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-028-023 83.00 0.00 0.00 0.00 0.00 0.00 47.30
6225-028-024 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-028-025 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-028-026 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-028-027 75.00 0.00 0.00 0.00 0.00 0.00 42.74
6225-028-028 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6225-028-029 210.00 315.00 0.00 0.00 0.00 0.00 211.04
6225-028-030 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6225-028-031 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6225-028-033 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-028-034 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-028-035 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-028-037 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-028-038 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-028-039 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-028-040 9.00 0.00 0.00 0.00 0.00 0.00 5.12
Willdan Financial Services Page 19 of 28

Page 165 of 1183 ends

APN RF SYRF MF SYMF CF SYCF Charge
City of Cudahy
Street Lighting District
Fiscal Year 2023/2024 Preliminary Roll
(Sorted by APN)
6225-028-041 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-028-042 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-028-043 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-028-044 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-028-045 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-028-046 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-028-047 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-028-048 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6225-028-049 13.00 0.00 0.00 0.00 0.00 0.00 7.40
6225-028-050 13.00 0.00 0.00 0.00 0.00 0.00 7.40
6225-028-051 13.00 0.00 0.00 0.00 0.00 0.00 7.40
6225-028-052 13.00 0.00 0.00 0.00 0.00 0.00 7.40
6225-028-054 10.50 0.00 0.00 0.00 0.00 0.00 5.98
6225-028-055 10.50 0.00 0.00 0.00 0.00 0.00 5.98
6225-028-056 10.50 0.00 0.00 0.00 0.00 0.00 5.98
6225-028-057 10.50 0.00 0.00 0.00 0.00 0.00 5.98
6225-028-058 10.50 0.00 0.00 0.00 0.00 0.00 5.98
6225-028-059 10.50 0.00 0.00 0.00 0.00 0.00 5.98
6225-028-060 10.50 0.00 0.00 0.00 0.00 0.00 5.98
6225-028-061 10.50 0.00 0.00 0.00 0.00 0.00 5.98
6225-028-062 10.50 0.00 0.00 0.00 0.00 0.00 5.98
6225-028-063 10.50 0.00 0.00 0.00 0.00 0.00 5.98
6225-029-015 0.00 0.00 0.00 0.00 207.00 0.00 240.12
6225-029-016 0.00 0.00 201.00 0.00 0.00 0.00 174.86
6225-029-019 0.00 0.00 197.00 148.00 0.00 0.00 235.02
6225-029-022 0.00 0.00 412.00 131.00 0.00 0.00 414.76
6225-029-023 0.00 0.00 0.00 0.00 392.00 0.00 454.72
6225-029-024 0.00 0.00 0.00 0.00 105.00 0.00 121.80
6225-031-001 40.00 0.00 0.00 0.00 0.00 0.00 22.80
6225-031-002 65.00 0.00 0.00 0.00 0.00 0.00 37.04
6225-031-003 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6225-031-004 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-001-009 0.00 0.00 0.00 0.00 200.00 0.00 232.00
6226-001-027 0.00 0.00 0.00 0.00 50.00 0.00 58.00
6226-001-028 0.00 0.00 160.00 79.00 0.00 0.00 173.16
6226-001-034 0.00 0.00 0.00 0.00 10.00 0.00 11.60
6226-001-035 0.00 0.00 0.00 0.00 10.00 0.00 11.60
6226-001-036 0.00 0.00 0.00 0.00 10.00 0.00 11.60
6226-001-037 0.00 0.00 0.00 0.00 10.00 0.00 11.60
6226-001-038 0.00 0.00 0.00 0.00 10.00 0.00 11.60
6226-001-039 0.00 0.00 0.00 0.00 10.00 0.00 11.60
6226-001-040 0.00 0.00 0.00 0.00 10.00 0.00 11.60
6226-001-041 0.00 0.00 0.00 0.00 10.00 0.00 11.60
6226-001-042 0.00 0.00 0.00 0.00 10.00 0.00 11.60
6226-001-043 0.00 0.00 0.00 0.00 15.00 0.00 17.40
6226-001-058 0.00 0.00 0.00 0.00 160.00 0.00 185.60
6226-001-059 0.00 0.00 51.00 0.00 0.00 0.00 44.36
6226-001-061 0.00 0.00 0.00 0.00 20.00 0.00 23.20
6226-001-062 0.00 0.00 192.00 0.00 0.00 0.00 167.04
6226-001-064 0.00 0.00 239.00 52.00 0.00 0.00 230.28
6226-001-065 0.00 0.00 149.00 135.00 0.00 0.00 187.68
6226-001-066 262.00 0.00 0.00 0.00 25.00 0.00 178.34
6226-001-069 0.00 0.00 0.00 0.00 10.00 0.00 11.60
6226-006-005 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-006-006 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-006-014 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-006-018 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6226-006-040 58.00 130.00 0.00 0.00 0.00 0.00 70.76
6226-006-041 114.00 0.00 0.00 0.00 0.00 0.00 64.98
6226-006-042 42.00 0.00 0.00 0.00 0.00 0.00 23.94
6226-006-043 102.00 0.00 0.00 0.00 0.00 0.00 58.14
6226-006-044 71.00 0.00 0.00 0.00 0.00 0.00 40.46
Willdan Financial Services Page 20 of 28

Page 166 of 1183 ends

APN RF SYRF MF SYMF CF SYCF Charge
City of Cudahy
Street Lighting District
Fiscal Year 2023/2024 Preliminary Roll
(Sorted by APN)
6226-006-045 61.00 0.00 0.00 0.00 0.00 0.00 34.76
6226-006-048 61.00 0.00 0.00 0.00 0.00 0.00 34.76
6226-006-049 61.00 0.00 0.00 0.00 0.00 0.00 34.76
6226-006-050 80.00 67.00 0.00 0.00 0.00 0.00 65.02
6226-006-052 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-006-053 61.00 0.00 0.00 0.00 0.00 0.00 34.76
6226-006-054 155.00 0.00 0.00 0.00 0.00 0.00 88.34
6226-007-002 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-007-004 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-007-082 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-007-083 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-008-001 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-008-002 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-008-003 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-008-004 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-008-005 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-008-006 45.00 0.00 0.00 0.00 0.00 0.00 25.64
6226-008-007 87.00 127.00 0.00 0.00 0.00 0.00 86.42
6226-008-008 46.00 0.00 0.00 0.00 0.00 0.00 26.22
6226-008-009 59.00 0.00 0.00 0.00 0.00 0.00 33.62
6226-008-010 58.00 0.00 0.00 0.00 0.00 0.00 33.06
6226-008-012 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-008-013 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-008-017 45.00 0.00 0.00 0.00 0.00 0.00 25.64
6226-008-018 60.00 0.00 0.00 0.00 0.00 0.00 34.20
6226-008-021 47.00 0.00 0.00 0.00 0.00 0.00 26.78
6226-008-022 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6226-008-023 10.00 0.00 0.00 0.00 0.00 0.00 5.70
6226-008-024 43.00 0.00 0.00 0.00 0.00 0.00 24.50
6226-008-027 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-008-028 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-008-029 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-009-001 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-009-002 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-009-003 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-009-004 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-009-005 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-009-006 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-009-007 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-009-008 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-009-009 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-009-010 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6226-010-002 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-010-003 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-010-004 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-010-005 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-010-006 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-010-007 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-010-008 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6226-010-009 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-010-015 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6226-010-016 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-010-022 210.00 0.00 0.00 0.00 0.00 0.00 119.70
6226-012-004 0.00 0.00 0.00 0.00 44.00 0.00 51.04
6226-012-005 0.00 0.00 0.00 0.00 50.00 0.00 58.00
6226-012-006 0.00 0.00 0.00 0.00 50.00 0.00 58.00
6226-012-007 0.00 0.00 109.00 0.00 0.00 0.00 94.82
6226-012-008 0.00 0.00 109.00 0.00 0.00 0.00 94.82
6226-012-009 0.00 0.00 10.00 0.00 0.00 0.00 8.70
6226-012-010 0.00 0.00 10.00 0.00 0.00 0.00 8.70
6226-012-011 0.00 0.00 0.00 0.00 50.00 0.00 58.00
6226-012-012 0.00 0.00 0.00 0.00 55.00 0.00 63.80
Willdan Financial Services Page 21 of 28

Page 167 of 1183 ends

APN RF SYRF MF SYMF CF SYCF Charge
City of Cudahy
Street Lighting District
Fiscal Year 2023/2024 Preliminary Roll
(Sorted by APN)
6226-012-013 48.00 0.00 0.00 0.00 0.00 0.00 27.36
6226-012-014 10.00 0.00 0.00 0.00 0.00 0.00 5.70
6226-012-015 48.00 0.00 0.00 0.00 0.00 0.00 27.36
6226-012-017 0.00 0.00 181.00 130.00 0.00 0.00 213.36
6226-013-002 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-013-003 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6226-013-004 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-013-005 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-013-006 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-013-007 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-013-008 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-013-010 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-013-011 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-013-012 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-013-014 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-013-015 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-013-016 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-013-017 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-013-018 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-013-021 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-013-022 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-013-023 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-013-024 13.25 0.00 0.00 0.00 0.00 0.00 7.54
6226-013-025 13.25 0.00 0.00 0.00 0.00 0.00 7.54
6226-013-026 13.25 0.00 0.00 0.00 0.00 0.00 7.54
6226-013-027 13.25 0.00 0.00 0.00 0.00 0.00 7.54
6226-014-004 40.00 0.00 0.00 0.00 0.00 0.00 22.80
6226-014-005 65.00 0.00 0.00 0.00 0.00 0.00 37.04
6226-014-006 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-014-009 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-014-010 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-014-011 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-014-012 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-014-013 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-014-015 65.00 0.00 0.00 0.00 0.00 0.00 37.04
6226-014-016 40.00 0.00 0.00 0.00 0.00 0.00 22.80
6226-014-017 62.00 0.00 0.00 0.00 0.00 0.00 35.34
6226-014-018 61.00 0.00 0.00 0.00 0.00 0.00 34.76
6226-014-019 54.00 78.00 0.00 0.00 0.00 0.00 53.40
6226-014-020 54.00 0.00 0.00 0.00 0.00 0.00 30.78
6226-014-021 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-014-022 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-014-023 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-014-025 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-014-026 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-014-029 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-014-030 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-014-031 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-014-033 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-014-034 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-014-035 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-014-036 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-014-037 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-014-038 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-014-039 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-014-040 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-014-041 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-014-042 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-014-043 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-014-044 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-014-047 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-014-048 53.00 0.00 0.00 0.00 0.00 0.00 30.20
Willdan Financial Services Page 22 of 28

Page 168 of 1183 ends

APN RF SYRF MF SYMF CF SYCF Charge
City of Cudahy
Street Lighting District
Fiscal Year 2023/2024 Preliminary Roll
(Sorted by APN)
6226-015-001 77.00 97.00 0.00 0.00 0.00 0.00 72.02
6226-015-002 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-015-004 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-015-006 40.00 0.00 0.00 0.00 0.00 0.00 22.80
6226-015-007 40.00 0.00 0.00 0.00 0.00 0.00 22.80
6226-015-008 70.00 0.00 0.00 0.00 0.00 0.00 39.90
6226-015-012 45.00 97.00 0.00 0.00 0.00 0.00 53.78
6226-015-013 30.00 0.00 0.00 0.00 0.00 0.00 17.10
6226-015-014 40.00 0.00 0.00 0.00 0.00 0.00 22.80
6226-015-015 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-016-002 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-016-003 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-016-004 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-016-005 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-016-006 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-016-010 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-016-011 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-016-012 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-016-013 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-016-014 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-016-019 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-016-020 32.00 0.00 0.00 0.00 0.00 0.00 18.24
6226-016-024 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-016-025 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-016-026 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-016-027 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-016-028 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-016-029 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-016-030 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-016-031 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-016-032 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-016-033 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-016-034 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-016-035 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-016-036 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-016-037 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-016-038 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-016-039 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-016-040 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-016-041 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-016-042 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-016-043 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-016-044 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-017-003 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-017-007 5.00 0.00 0.00 0.00 0.00 0.00 2.84
6226-017-010 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-017-014 44.00 0.00 0.00 0.00 0.00 0.00 25.08
6226-017-018 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-017-020 44.00 0.00 0.00 0.00 0.00 0.00 25.08
6226-017-021 51.00 0.00 0.00 0.00 0.00 0.00 29.06
6226-017-022 5.00 0.00 0.00 0.00 0.00 0.00 2.84
6226-017-023 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-017-024 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6226-017-025 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-017-026 58.00 0.00 0.00 0.00 0.00 0.00 33.06
6226-017-027 100.00 0.00 0.00 0.00 0.00 0.00 57.00
6226-017-028 43.00 0.00 0.00 0.00 0.00 0.00 24.50
6226-017-030 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-017-031 8.83 0.00 0.00 0.00 0.00 0.00 5.02
6226-017-032 8.83 0.00 0.00 0.00 0.00 0.00 5.02
6226-017-033 8.83 0.00 0.00 0.00 0.00 0.00 5.02
6226-017-034 8.83 0.00 0.00 0.00 0.00 0.00 5.02
Willdan Financial Services Page 23 of 28

Page 169 of 1183 ends

APN RF SYRF MF SYMF CF SYCF Charge
City of Cudahy
Street Lighting District
Fiscal Year 2023/2024 Preliminary Roll
(Sorted by APN)
6226-017-035 8.83 0.00 0.00 0.00 0.00 0.00 5.02
6226-017-036 8.83 0.00 0.00 0.00 0.00 0.00 5.02
6226-018-002 44.00 0.00 0.00 0.00 0.00 0.00 25.08
6226-018-004 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-018-005 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-018-006 60.00 0.00 0.00 0.00 0.00 0.00 34.20
6226-018-012 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-018-013 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-018-017 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-018-018 3.00 0.00 0.00 0.00 0.00 0.00 1.70
6226-018-019 3.00 0.00 0.00 0.00 0.00 0.00 1.70
6226-018-022 45.00 0.00 0.00 0.00 0.00 0.00 25.64
6226-018-023 64.00 0.00 0.00 0.00 0.00 0.00 36.48
6226-018-024 3.00 0.00 0.00 0.00 0.00 0.00 1.70
6226-018-025 10.00 0.00 0.00 0.00 0.00 0.00 5.70
6226-018-026 40.00 0.00 0.00 0.00 0.00 0.00 22.80
6226-018-028 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-018-029 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-018-030 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-018-031 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-018-032 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-018-033 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-018-034 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-018-035 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-018-036 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-018-037 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-018-038 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-018-039 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-018-040 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-018-041 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-019-001 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-002 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-004 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-005 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-009 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-010 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-011 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-012 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-013 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6226-019-014 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-019-015 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-017 56.00 0.00 0.00 0.00 0.00 0.00 31.92
6226-019-018 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-019 0.00 0.00 0.00 0.00 50.00 50.00 86.50
6226-019-021 0.00 0.00 0.00 0.00 126.00 171.00 243.62
6226-019-022 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-023 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-025 138.00 0.00 0.00 0.00 0.00 0.00 78.66
6226-019-027 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-028 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-019-029 128.00 55.00 0.00 0.00 0.00 0.00 88.90
6226-019-030 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-020-001 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-020-006 0.00 0.00 0.00 0.00 156.00 71.00 221.42
6226-020-010 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-020-011 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-020-012 10.00 0.00 0.00 0.00 0.00 0.00 5.70
6226-020-013 40.00 0.00 0.00 0.00 0.00 0.00 22.80
6226-020-014 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6226-020-015 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-020-020 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-020-028 45.00 0.00 0.00 0.00 0.00 0.00 25.64
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APN RF SYRF MF SYMF CF SYCF Charge
City of Cudahy
Street Lighting District
Fiscal Year 2023/2024 Preliminary Roll
(Sorted by APN)
6226-020-029 45.00 0.00 0.00 0.00 0.00 0.00 25.64
6226-020-031 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-020-034 10.00 0.00 0.00 0.00 0.00 0.00 5.70
6226-020-035 35.00 0.00 0.00 0.00 0.00 0.00 19.94
6226-020-036 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-020-037 36.00 0.00 0.00 0.00 0.00 0.00 20.52
6226-020-039 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-020-040 0.00 0.00 0.00 0.00 105.00 40.00 144.60
6226-021-006 47.00 0.00 0.00 0.00 0.00 0.00 26.78
6226-021-007 58.00 0.00 0.00 0.00 0.00 0.00 33.06
6226-021-008 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-021-010 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-021-011 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-021-012 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-021-013 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-021-015 36.00 0.00 0.00 0.00 0.00 0.00 20.52
6226-021-018 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-021-019 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-021-020 59.00 0.00 0.00 0.00 0.00 0.00 33.62
6226-021-021 10.00 0.00 0.00 0.00 0.00 0.00 5.70
6226-021-023 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-021-027 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-021-028 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-021-029 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-021-030 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-021-031 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-021-032 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-021-033 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-021-034 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-021-035 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-021-036 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-021-037 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-021-038 8.00 0.00 0.00 0.00 0.00 0.00 4.56
6226-022-001 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-022-017 0.00 0.00 10.00 0.00 0.00 0.00 8.70
6226-022-018 0.00 0.00 93.00 0.00 0.00 0.00 80.90
6226-023-001 0.00 0.00 0.00 0.00 50.00 0.00 58.00
6226-023-002 0.00 0.00 105.00 182.00 0.00 0.00 169.60
6226-023-003 0.00 0.00 169.00 0.00 0.00 0.00 147.02
6226-023-004 0.00 0.00 129.00 0.00 0.00 0.00 112.22
6226-023-005 0.00 0.00 0.00 0.00 70.00 0.00 81.20
6226-024-001 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-024-003 44.00 0.00 0.00 0.00 0.00 0.00 25.08
6226-024-004 61.00 0.00 0.00 0.00 0.00 0.00 34.76
6226-024-020 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-024-021 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-024-022 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-024-023 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-024-024 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-024-025 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-024-026 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-024-027 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-024-028 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-024-029 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-025-005 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-025-006 59.00 0.00 0.00 0.00 0.00 0.00 33.62
6226-025-007 46.00 0.00 0.00 0.00 0.00 0.00 26.22
6226-025-010 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-025-011 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-025-012 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-025-013 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-025-014 53.00 0.00 0.00 0.00 0.00 0.00 30.20
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APN RF SYRF MF SYMF CF SYCF Charge
City of Cudahy
Street Lighting District
Fiscal Year 2023/2024 Preliminary Roll
(Sorted by APN)
6226-025-015 0.00 0.00 0.00 0.00 53.00 0.00 61.48
6226-025-016 0.00 0.00 0.00 0.00 50.00 0.00 58.00
6226-025-019 73.00 0.00 0.00 0.00 0.00 0.00 41.60
6226-025-020 158.00 0.00 0.00 0.00 0.00 0.00 90.06
6226-025-021 52.00 0.00 0.00 0.00 0.00 0.00 29.64
6226-025-023 0.00 0.00 0.00 0.00 44.00 0.00 51.04
6226-025-024 0.00 0.00 0.00 0.00 74.00 132.00 161.08
6226-025-025 40.00 0.00 0.00 0.00 0.00 0.00 22.80
6226-025-026 40.00 0.00 0.00 0.00 0.00 0.00 22.80
6226-026-001 0.00 0.00 0.00 0.00 178.00 120.00 274.88
6226-026-003 49.00 0.00 0.00 0.00 0.00 0.00 27.92
6226-026-006 61.00 0.00 0.00 0.00 0.00 0.00 34.76
6226-026-007 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-026-008 43.00 0.00 0.00 0.00 0.00 0.00 24.50
6226-026-011 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-026-012 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-026-015 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-026-016 20.00 0.00 0.00 0.00 0.00 0.00 11.40
6226-026-018 85.00 0.00 0.00 0.00 0.00 0.00 48.44
6226-026-024 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-026-026 65.00 0.00 0.00 0.00 0.00 0.00 37.04
6226-026-027 81.00 0.00 0.00 0.00 0.00 0.00 46.16
6226-026-030 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-026-031 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-026-032 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-026-033 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-026-034 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-026-035 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-026-036 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-026-037 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-026-038 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-026-039 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-026-040 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-026-041 9.00 0.00 0.00 0.00 0.00 0.00 5.12
6226-026-042 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-026-044 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-026-045 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-026-046 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-026-047 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-026-048 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-026-049 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-026-050 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-026-051 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-026-052 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-026-053 14.00 0.00 0.00 0.00 0.00 0.00 7.98
6226-027-002 46.00 0.00 0.00 0.00 0.00 0.00 26.22
6226-027-003 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-027-008 122.00 0.00 0.00 0.00 0.00 0.00 69.54
6226-027-009 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-027-010 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-027-011 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-027-012 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-027-013 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-027-030 52.00 0.00 0.00 0.00 0.00 0.00 29.64
6226-027-035 51.00 0.00 0.00 0.00 0.00 0.00 29.06
6226-027-036 51.00 0.00 0.00 0.00 0.00 0.00 29.06
6226-027-037 51.00 0.00 0.00 0.00 0.00 0.00 29.06
6226-027-038 57.00 0.00 0.00 0.00 0.00 0.00 32.48
6226-027-040 48.00 0.00 0.00 0.00 0.00 0.00 27.36
6226-027-041 48.00 0.00 0.00 0.00 0.00 0.00 27.36
6226-027-042 97.00 64.00 0.00 0.00 0.00 0.00 73.84
6226-027-043 46.00 0.00 0.00 0.00 0.00 0.00 26.22
Willdan Financial Services Page 26 of 28

Page 172 of 1183 ends

APN RF SYRF MF SYMF CF SYCF Charge
City of Cudahy
Street Lighting District
Fiscal Year 2023/2024 Preliminary Roll
(Sorted by APN)
6226-027-044 46.00 0.00 0.00 0.00 0.00 0.00 26.22
6226-027-045 48.00 0.00 0.00 0.00 0.00 0.00 27.36
6226-027-046 48.00 0.00 0.00 0.00 0.00 0.00 27.36
6226-027-049 98.00 46.00 0.00 0.00 0.00 0.00 69.20
6226-027-051 49.00 0.00 0.00 0.00 0.00 0.00 27.92
6226-027-052 51.00 0.00 0.00 0.00 0.00 0.00 29.06
6226-027-054 59.00 0.00 0.00 0.00 0.00 0.00 33.62
6226-027-056 45.00 0.00 0.00 0.00 0.00 0.00 25.64
6226-027-057 60.00 0.00 0.00 0.00 0.00 0.00 34.20
6226-028-004 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-028-007 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-028-011 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-028-012 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-028-015 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-028-016 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-028-017 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-028-018 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-028-020 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6226-028-022 58.00 0.00 0.00 0.00 0.00 0.00 33.06
6226-028-023 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-028-024 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-028-025 82.00 0.00 0.00 0.00 0.00 0.00 46.74
6226-028-027 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-028-029 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-028-030 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-028-031 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-028-032 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-028-033 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-028-034 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-028-035 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-028-036 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-028-037 11.00 0.00 0.00 0.00 0.00 0.00 6.26
6226-028-038 84.00 0.00 0.00 0.00 0.00 0.00 47.88
6226-029-001 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-029-002 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-029-003 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6226-029-004 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-029-006 105.00 0.00 0.00 0.00 0.00 0.00 59.84
6226-029-008 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-029-009 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-029-010 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-029-011 55.00 0.00 0.00 0.00 0.00 0.00 31.34
6226-029-012 52.50 0.00 0.00 0.00 0.00 0.00 29.92
6226-030-001 58.00 0.00 0.00 0.00 0.00 0.00 33.06
6226-030-002 58.00 0.00 0.00 0.00 0.00 0.00 33.06
6226-030-003 58.00 0.00 0.00 0.00 0.00 0.00 33.06
6226-030-004 58.00 0.00 0.00 0.00 0.00 0.00 33.06
6226-030-005 54.00 83.00 0.00 0.00 0.00 0.00 54.84
6226-030-010 100.00 0.00 0.00 0.00 0.00 0.00 57.00
6226-030-011 74.00 0.00 0.00 0.00 0.00 0.00 42.18
6226-030-012 25.00 0.00 0.00 0.00 0.00 0.00 14.24
6226-030-013 99.00 0.00 0.00 0.00 0.00 0.00 56.42
6226-031-001 50.00 0.00 0.00 0.00 0.00 0.00 28.50
6226-031-002 80.00 0.00 0.00 0.00 0.00 0.00 45.60
6226-031-003 70.00 0.00 0.00 0.00 0.00 0.00 39.90
6226-031-004 69.00 0.00 0.00 0.00 0.00 0.00 39.32
6226-031-005 64.00 117.00 0.00 0.00 0.00 0.00 70.40
6226-031-006 73.00 0.00 0.00 0.00 0.00 0.00 41.60
6226-031-007 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-031-008 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-031-009 40.00 0.00 0.00 0.00 0.00 0.00 22.80
6226-031-010 53.00 0.00 0.00 0.00 0.00 0.00 30.20
Willdan Financial Services Page 27 of 28

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APN RF SYRF MF SYMF CF SYCF Charge
City of Cudahy
Street Lighting District
Fiscal Year 2023/2024 Preliminary Roll
(Sorted by APN)
6226-031-014 42.00 0.00 0.00 0.00 0.00 0.00 23.94
6226-031-015 42.00 0.00 0.00 0.00 0.00 0.00 23.94
6226-031-018 42.00 0.00 0.00 0.00 0.00 0.00 23.94
6226-031-019 42.00 0.00 0.00 0.00 0.00 0.00 23.94
6226-031-030 10.00 0.00 0.00 0.00 0.00 0.00 5.70
6226-031-032 42.00 0.00 0.00 0.00 0.00 0.00 23.94
6226-031-033 42.00 0.00 0.00 0.00 0.00 0.00 23.94
6226-031-035 53.00 0.00 0.00 0.00 0.00 0.00 30.20
6226-031-038 15.00 0.00 0.00 0.00 0.00 0.00 8.54
6226-031-039 15.00 0.00 0.00 0.00 0.00 0.00 8.54
6226-031-040 15.00 0.00 0.00 0.00 0.00 0.00 8.54
6226-031-041 15.00 0.00 0.00 0.00 0.00 0.00 8.54
6226-031-042 15.00 0.00 0.00 0.00 0.00 0.00 8.54
6226-031-043 15.00 0.00 0.00 0.00 0.00 0.00 8.54
6226-031-044 15.00 0.00 0.00 0.00 0.00 0.00 8.54
6226-032-005 0.00 0.00 0.00 0.00 105.00 0.00 121.80
6226-032-006 0.00 0.00 175.00 0.00 0.00 0.00 152.24
6226-032-008 0.00 0.00 0.00 0.00 106.00 0.00 122.96
6226-032-009 0.00 0.00 150.00 144.00 0.00 0.00 192.42
6226-032-010 0.00 0.00 88.00 0.00 0.00 0.00 76.56
Total*: $73,043.90
Parcel Count: 1,694
*Total includes handbilled parcels.

Willdan Financial Services Page 28 of 28

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“Serving The People” "Sirviendo A La Comunidad"
Staff Report
06/20/2023 Page 1 of 3

STAFF REPORT
Date: June 20, 2023
To: Honorable Mayor and City Council
From: Alfonso Noyola, City Manager
By: Cecilia Madrigal-Gonzalez, Senior Planner
Concurrence: Stephanie A. Arechiga, City Attorney
Subject: Introduction and Adoption by First Reading of Ordinance No. 738 Repealing Ordinance No. 696, Terminating Development Agreement No. 696 between the City of Cudahy and 420 Realty LLC, and Revoking Commercial Cannabis Permit No. CCP 18-0002

RECOMMENDATION
Staff recommends the City Council open the public hearing, receive public testimony, and consider the following action(s):

1. Adopt by first reading, in title only, Ordinance No. 738 (Attachment A) repealing Ordinance No. 696 (Attachment B), terminating Development Agreement No. 696 between the City of Cudahy and 420 Realty, and revoking related Commercial Cannabis Permit No. CCP 18-0002 is currently held by 420 Realty, LLC (“Owner”).

2. Schedule the second reading of Ordinance No. 738 at the regular City Council meeting on July 18, 2023.

BACKGROUND
• On September 11, 2017, the City Council adopted Ordinance No. 673 authorizing medicinal-only commercial cannabis activities in a specified Overlay Zone in the City, as provided in a development agreement.
• On September 17, 2018, the Planning Commission conducted a public hearing to consider Development Agreement No. 18-002 between the City and Owner (Development Agreement) and Commercial Cannabis Permit No. 18-0002 (Commercial Cannabis Permit), the Planning Commission recommended the disapproval of both Item Number
13C

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“Serving The People” "Sirviendo A La Comunidad"
Staff Report
06/20/2023 Page 2 of 3

permits.
• On November 6, 2018, after receipt of the appeal by the Owner of the Planning Commission decision, the City Council adopted by first reading, Ordinance No. 696, approving the Development Agreement and Commercial Cannabis Permit, Ordinance No. 696 was later adopted by second reading on December 8, 2018, with an effective date of December 9, 2018. The approval authorized Owner to conduct cannabis cultivation, manufacturing, distribution, and non-store delivery at 4311 Santa Ana Street, subject to the conditions of approval.
• On December 19, 2022, the duly appointed Hearing Officer conducted a notice for a Special Review Hearing (“Hearing”) as authorized under the Cudahy Municipal Code (CMC) Section 5.20.080(7) to hear information and evidence submitted by the City of Cudahy. Proper notice was served to Owner of the Hearing but no representative from Owner was present.
• On January 4, 2023, the Hearing Officer issued a written decision-making finding of fact and conclusion of law that Owner had breached the Development Agreement and Commercial Cannabis Permit.
• On March 20, 2023, the Planning Commission adopted Resolution No. 2023-01 (Attachment C) by a 4-0 vote, recommending the City Council repeal Ordinance No. 696, thereby terminating Development Agreement No. 18-002C, and revoking related Commercial Cannabis Permit No. CCP18-0002.

ANALYSIS
Pursuant to the Cudahy Municipal Code (CMC) Section 5.20.080 (7), “any decision regarding the suspension or revocation of a cannabis permit, disqualification of an applicant from the application process, or election not to renew a cannabis permit may be appealed to an independent neutral third-party Administrative Hearing Officer appointed by the City Manager or the City Manager’s designee (The Hearing Officer).” The Hearing Officer issued a written decision making several findings of fact and conclusions and determined that 420 Realty, LLC breached the DA and CCP in the following material aspects:

1. Breach of Payment Obligations: Non-payment of fees on costs totaling $423,118.09.

2. Non-Compliance with State Law: 420 Realty, LLC’s entity status has been canceled by the State of California and the entity is now dissolved.

3. Loss of site control for more than 90-days: 420 Realty, LLC was unable to lawfully operate a commercial cannabis facility at the Site.

4. Failure to implement project within time limits: There is no evidence proving that 420 Realty, LLC has implemented the Project in any fashion. The Hearing Officer findings of fact and conclusions are further elaborated in Attachment 4.

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“Serving The People” "Sirviendo A La Comunidad"
Staff Report
06/20/2023 Page 3 of 3

Pursuant to CMC Section 20.84.070, DA No. 18-0002 and CPP No. 18-0002 were processed. concurrently and approved collectively under Ordinance No. 696. To repeal Ordinance No. 696, the repeal shall occur in the same manner as the original proceedings and pursuant to CMC Section 20.84.500.

PUBLIC HEARING
This Project was noticed in accordance with the City’s public notice requirements, which involved mailed notices sent to property owners within 300 feet of the Project site on June 8, 2023, and publication in the Long Beach Press-Telegram on June 9, 2023. The public hearing notice for this Project is provided in Attachment E.

CONCLUSION
Staff has concluded that the termination of the Development Agreement and revocation of the related Commercial Cannabis Permit is necessary due to the Operator’s breach of the Development Agreement as described in the recommendation by both the Hearing Officer and Planning Commission. The adoption of the proposed Ordinance is consistent with the CMC and the termination procedures as described in the Development Agreement.

STRATEGIC PLAN IMPACT
Not applicable.

FINANCIAL IMPACT
All fees incurred due to the legal proceedings are allocated within the existing Urban Farming budget.

ATTACHMENTS
A. Draft Ordinance No. 738
B. Ordinance No. 696
C. Planning Commission Resolution No. 2023-01
D. March 20, 2023, Planning Commission Staff Report and Attachments. (Includes Hearing Officer Administrative Record)
E. Proof of Publication from the Long Beach Press-Telegram

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ORDINANCE NO. 738

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
CUDAHY, CALIFORNIA REPEALING ORDINANCE NO. 696,
TERMINATING DEVELOPMENT AGREEMENT NO. DA18-002C AND

REVOKING RELATED COMMERCIAL CANNABIS PERMIT NO
CCP18-0002 BETWEEN THE CITY OF CUDAHY AND 420 REALTY,
LLC.

WHEREAS, to strengthen the public planning process, encourage private participation in comprehensive planning and reduce the economic risk of development, the Legislature of the State of California adopted Section 65864 et seq. of the California Government Code (the Development Agreement Statute"); and
WHEREAS, the Development Agreement Statute authorizes the City to enter into a property development agreement with any person having legal or equitable interest in real property for the development of such property in order to establish certain development rights; and
WHEREAS, in accordance with California law, the City of Cudahy has adopted Municipal Code Chapter 20.28 (Development Agreements) establishing the procedures and requirements for the consideration of development agreement with the City; and WHEREAS, on September 11, 2017, the City Council for the City of Cudahy adopted Ordinance No. 673 establishing regulations and a discretionary review process for the allowance of medicinal-only commercial cannabis activities (cultivation, distribution, manufacturing, deliveries, micro-business and laboratory testing) in a specified Overlay Zone through a development agreement; and WHEREAS, on September 17, 2018, the City of Cudahy Planning Commission ("Planning Commission") conducted a properly noticed public hearing to consider approval of a Development Agreement by and between the City of Cudahy and Applicant 420 Realty, LLC, a California limited liability company (the "Development Agreement") [DA#18-002C] and a Commercial Cannabis Permit (the “CCP”) [CCP#18- 0002] to allow a Commercial Cannabis Facility for the Site located at 4311 Santa Ana Street, City of Cudahy, CA as set forth in the Development Agreement. At this hearing, testimony and evidence, both written and oral, were presented to and considered by the Planning Commission;
WHEREAS, by majority vote the members present, the Planning Commission, decided to deny a Commercial Cannabis Permit for the Site and made a recommendation of disapproval of the Development Agreement; and
WHEREAS, the Applicant(s) timely submitted a written notice of appeal to the City Clerk, accompanied by the required filing fees, and including stated grounds for the appeal; and
Attachment APage 178 of 1183

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WHEREAS, the entire matter came properly before the City Council for independent consideration and de novo review; and
WHEREAS, subsequent to receipt of the appeal of the Planning Commission's decision, the City Council conducted a properly noticed public hearing on November 6, 2018, to consider the approval of a CCP and Development Agreement for the Site, at which testimony and evidence, both written and oral, were presented to and considered by the City Council; and
WHEREAS, the City Council determined the Project is: consistent with the objectives, policies, general land uses and programs specified in the general plan, as amended; compatible with the uses authorized in the Overlay Zone; in conformity with good land use practices; will not be detrimental to the health, safety and general welfare of the City; and is in the best interest of the City of Cudahy and its residents; and WHEREAS, on November 6, 2018, the City Council adopted, at first reading, Ordinance No. 696, approving the Development Agreement and the CCP for the Site; and WHEREAS, on November 20, 2018, the City Council adopted, at second reading, Ordinance No. 696 and authorized the Mayor to execute the Development Agreement on behalf of the City; and
WHEREAS, the Effective Date of the Development Agreement is December 8, 2018. Upon approval, Applicant 420 Realty, LLC was allowed to eventually conduct commercial cannabis cultivation, manufacturing, distribution, and non-store front delivery at the Site, provided, among other things, it received State licensing approval and a Certificate of Occupancy for the Site; and
WHEREAS, 420 Realty, LLC, has not complied with the terms and conditions of the Development Agreement and conditions of the CCP (despite notices and opportunity to cure) and remains in material breach of thereof; and
WHEREAS, on December 19, 2022, Elio Palacios, Esq., a duly appointed hearing officer for the City (the “Hearing Officer”), conducted a properly noticed Special Review Hearing (the “Hearing”) under Section 19(c) of the Development Agreement. During the Hearing, information and evidence was submitted by the appearing parties and reviewed by the Hearing Officer; and
WHEREAS, on January 4, 2023, the Hearing Officer issued a written decision (the “Decision”) making several findings of fact and conclusions of law with respect to 420 Realty, LLC’s non-compliance with the Development Agreement and CCP; and WHEREAS, the Hearing Officer determined that 420 Realty, LLC breached the Development Agreement and CCP in three material respects: (1) Breach of Payment Obligations - Non-payment of fees and costs owing to the City totaling $423,118.09; (2) Non-Compliance with State Law – 420 Realty LLC’s entity status has been canceled by the State of California and the entity is now dissolved; (3) Failure to Implement Project within Time Limits – There is no evidence that 420 Realty, LLC has implemented the

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Project in any fashion; and
WHEREAS, the Hearing Officer has recommended that the City Council adopt an ordinance repealing Ordinance No. 696 terminating DA18-002C and revoking CCP18- 0002; and
WHEREAS, the Hearing Decision is now final as to the administrative appeal process. Respondent has not sought judicial review of the Hearing Officer’s decision; and WHEREAS, after a duly noticed public hearing on March 20, 2023, the Planning Commission has reviewed the Hearing Officer’s decision and passed Resolution No. 2023- 01 recommending that the City Council adopt an ordinance to repeal Ordinance No. 696 thereby terminating DA18-002C and revoking CCP18-0002; and WHEREAS, Section 19.d. of the Development Agreement provides in part: “If City Council finds, based upon substantial evidence, that Owner has not complied in good faith with the terms or conditions of this Agreement, City Council may terminate this Agreement notwithstanding any other provision of this Agreement to the contrary, modify this Agreement and impose such conditions as are necessary to protect the interests of City.

The decision of City Council shall be final, subject only to judicial review pursuant to Code of Civil Procedure Section 1094.5”; and
WHEREAS, Section 11.c of the Development Agreement states that termination of the Agreement shall not eliminate the rights of the City to seek any applicable and available remedies or damages based upon acts or omissions occurring before termination; and
WHEREAS, Section 5.20.080(6) of the Cudahy Municipal Code provides the City Manager or designee may revoke a cannabis permit in the event the City Manager or his designee determines the cannabis permittee has failed to comply with the Municipal Code, any conditions of approval or any agreement or covenant with the City; and WHEREAS, all legal prerequisites to the approval and adoption of this Ordinance have occurred.

NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF CUDAHY DOES ORDAIN AS FOLLOWS:

SECTION 1. Findings. That the above Recitals are true and correct and are incorporated as though fully set forth herein.

SECTION 2. Adoption of Hearing Officer’s Findings of Fact and Conclusions of Law. That the City Council has reviewed and considered the Administrative Record and Hearing Decision by the Hearing Officer issued on January 4, 2023, on this matter. A true and correct copy of the Hearing Decision is attached hereto as Exhibit “A” and incorporated herein by this reference. For the reasons stated in the Hearing Decision, the City Council adopts the Hearing Officer’s findings of fact and conclusions of law as its own and determines that 420 Realty, LLC is not in

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compliance with the terms and conditions of the Development Agreement No. 18- 002C and finds that 420 Realty, LLC is in default of its contractual obligations set forth in said Development Agreement and has breached its Conditions of Approval for CCP No. 18-0002.

SECTION 3. Termination of Development Agreement. Pursuant to Section

19.d. of the Development Agreement, the City Council terminates the Development Agreement in its entirety. The City Manager shall take all steps necessary and possible to protect the City’s rights and remedies for the recovery of damages incurred before termination. The City Manager is authorized to report the Development Agreement as terminated on account of material breach by 420 Realty, LLC and its Managers to State Licensing authorities and governmental entities. The City Clerk shall mark the original Development Agreement as “TERMINATED.”
SECTION 4. Revocation of Commercial Cannabis Permit. Pursuant to Cudahy Municipal Code Section 5.20.080(6)(a), the City Council determines that 420 Realty, LLC has failed to comply with the Cudahy Municipal Code, conditions of approval and the Development Agreement and hereby revokes CCP18-0002 in its entirety. The City Clerk shall make a notation in the Planning file for the Site that CCP18-0002 has been “REVOKED.”
SECTION 5. Repeal of Ordinance No. 696. For the reasons stated above, Ordinance No. 696 is hereby repealed and replaced in its entirety by this Ordinance.

SECTION 6. Inconsistent Provisions. Any provision of the Cudahy Municipal Code or appendices thereto that conflicts with the provisions of this Ordinance, to the extent of such conflict and no further, is hereby repealed or modified to the extent necessary to implement the provisions of this Ordinance.

SECTION 7. Severability. That the City Council declares that, should any provision, section, paragraph, sentence, or word of this Ordinance be rendered or declared invalid by any final court action in a court of competent jurisdiction or by reason of any preemptive legislation, the remaining provisions, sections, paragraphs, sentences or words of this Ordinance as hereby adopted shall remain in full force and effect. The City Council declares that this Ordinance would have been adopted by the City Council of the fact that any section, subsection, line, sentence, clause, phrase, word, part, provision, or portion thereof, might be declared to be invalid or unconstitutional.

SECTION 8. Compliance with the California Environmental Quality Act. All procedures of the California Environmental Quality Act (“CEQA”), California Public Resources Code §21080 et seq., and the CEQA guidelines, title 14 of the California Code of Regulations, chapter 3, §15321 et seq. have been satisfied. Further, the City has found that the approval of the ordinance is Categorically Exempt from California Environmental Quality Act (CEQA) requirements under provisions of CEQA Guidelines Section 15321 [Class 21, “Enforcement Actions by Regulatory Agencies”]). This section specifically applies to actions by regulatory agencies to enforce or revoke a lease, permit, license, certificate, or other entitlement for use issued, adopted, or prescribed by the regulatory agency or enforcement of a law, general rule, standard, or objective, administered or adopted by the regulatory

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agency. In this case, the action is to repeal an ordinance.

SECTION 9. Recordation of Memorandum of Termination of Development Agreement. That the City Manager is authorized to record a Memorandum of Termination of the Development Agreement for the Site if advised to do so by legal counsel.

SECTION 10. Effective Date of Ordinance. This Ordinance shall become effective thirty (30) days after the date of its adoption.

SECTION 11. Certification. The City Clerk shall certify the passage and adoption of this Ordinance and shall cause this Ordinance to be published or posted as required by law. This Ordinance shall become effective thirty (30) days after the date of its adoption.

PASSED AND ADOPTED by the City Council of the City of Cudahy at a regular meeting held on the ____day of _____, 2023 by the following vote:

THE CITY OF CUDAHY
________________________
Daisy Lomeli, Mayor
APPROVED AS TO FORM:
____________________________
Stephanie Arechiga
City Attorney
ATTEST:
____________________________
Richard Iglesias

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ORDINANCE NO. 696

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
CUDAHY, CALIFORNIA, APPROVING: (1) A DEVELOPMENT
AGREEMENT BY AND BETWEEN THE CITY OF CUDAHY AND 420

REALTY, LLC, A CALIFORNIA LIMITED LIABILITY COMPANY AND (2) THE ISSUANCE OF A COMMERCIAL CANNABIS PERMIT
WHEREAS, to strengthen the public planning process, encourage private participation in comprehensive planning and reduce the economic risk of development, the Legislature of the State of California adopted Section 65864 et seq. of the California Government Code (the Development Agreement Statute"); and
WHEREAS, the Development Agreement Statute authorizes the City to enter into a property development agreement with any person having legal or equitable interest in real property for the development of such property in order to establish certain development rights; and WHEREAS, in accordance with California law, the City of Cudahy has adopted Municipal Code Chapter 20.28 (Development Agreements) establishing the procedures and requirements for the consideration of development agreement with the City; and WHEREAS, on September 11, 2017, the City Council for the City of Cudahy passed Ordinance No. 673 establishing regulations and a discretionary review process for the allowance of medicinal-only commercial cannabis activities ( cultivation, distribution, manufacturing, deliveries, micro-business and laboratory testing) in a specified Overlay Zone through a development agreement; and
WHEREAS, all procedures of the California Environmental Quality Act ("CEQA"), California Public Resources Code §21000 et seq., and the CEQA guidelines, title 14 of the California Code of Regulations, chapter 3, § 15000 et seq. have been satisfied. The City has found that the proposed Project is Categorically Exempt from California Environmental Quality Act (CEQA) requirements under provisions of CEQA Guidelines Section 15301 - Existing Facilities.

This exemption applies to projects characterized as alterations to existing facilities meeting the conditions described in Section 15301; and
WHEREAS, on September 17, 2018, the City of Cudahy Planning Commission ("Planning Commission") conducted a properly noticed public hearing to consider approval of a Commercial Cannabis Permit [CCP] and a Development Agreement (as defined below), at which testimony and evidence, both written and oral, were presented to and considered by the Planning Commission; and
WHEREAS, by majority vote the members present, the Planning Commission, decided to deny a CCP for the Site and made a recommendation of disapproval of the Development Agreement; and
WHEREAS, the Applicant(s) timely submitted a written notice of appeal to the City Clerk, accompanied by the required filing fees, and inclu.ding stated grounds for the appeal; and Attachment BPage 183 of 1183
Ordinance No. 696

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WHEREAS, the entire matter 1s properly before the City Council for independent consideration and de novo review; and
WH:EREAS, the City Council may reverse, modify or affirm the Planning Commission decision, in whole or in part; and
WHEREAS, the City Council shall approve a development agreement by ordinance; and WHEREAS, subsequent to receipt of the appeal of the Planning Commission's decision, the City Council conducted a properly noticed public hearing to consider the approval of a CCP and Development Agreement, at which testimony and evidence, both written and oral, were presented to and considered by the City Council; and
WHEREAS, the City Council finds the Project is: consistent with the objectives, policies, general land uses and programs specified in the general plan, as amended; compatible with the uses authorized in the Overlay Zone; in conformity with good land use practices; will not be detrimental to the health, safety and general welfare of the City; and is in the best interest of the City of Cudahy and its residents.

NOW THEREFORFE, THE CITY COUNCIL OF THE CITY OF CUDAHY
DOES ORDAIN AS FOLLOWS:

SECTION 1. RECITALS
That the above Recitals are true and correct and are incorporated as though fully set forth herein.

SECTION 2. APPROVAL OF DEVELOPMENT AGREEMENT
That the City Council hereby approves the Development Agreement By and Between the City of Cudahy and 420 Realty, LLC a California limited liability company ("Development Agreement"), a copy of which is attached hereto and incorporated herein by this reference as Exhibit "A," subject to the terms and conditions stated therein.

SECTION 3. APPROVAL OF COMMERCIAL CANNABIS PERMIT
That the City Council hereby approves, by separate resolution, Commercial Cannabis Permit No. CCP 18-0002, subject to the terms and conditions stated therein, to allow a Commercial Cannabis Facility for the Site located at 4311 Santa Ana Street, City of Cudahy, CA as set forth in the Development Agreement. A copy of the permit is attached hereto and incorporated herein by this reference as Exhibit "B." The Commercial Cannabis Permit shall be issued upon execution by the City of the Development Agreement.

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Ordinance 1'1o. 696

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competent jurisdiction or by reason of any preemptive legislation, the remaining provisions, sections, paragraphs, sentences or words of this Ordinance as hereby adopted shall remain in full force and effect.

SECTION 5. EFFECTIVE DATE OF ORDINANCE
That this Ordinance shall take effect thirty (30) days after its second reading by the City Council.

SECTION 6. EXECUTION OF DEVELOPMENT AGREEMENT
The Development Agreement shall not be executed by the City until on or after the effective date of the Ordinance.

SECTION 7. RECORDATION OF DEVELOPMENT AGREEEMENT
That the City Clerk is hereby directed to record the fully executed Development Agreement with the County Recorder for the County of Los Angeles no later than ten (10) days after its execution.

SECTION 8. CERTIFICATION
That the City Clerk shall certify to the passage of this Ordinance and shall cause the same to be published, in full or in summary format, according to law.

PASSED, APPROVED AND ADOPTED by the City Council of the City of Cudahy at the regular meeting of this 20th day of November, 2018.

ATTEST:

Richard Igle .

Deputy City
-
3 Chris Garcia
Mayor

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Ordinance 1\J"o. 696

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STATE OF CALIFORNIA

COUNTY OF LOS ANGELES

CITY OF CUDAHY
)
)
)

CERTIFICATION
SS:

I, Richard Iglesias, Deputy City Clerk of the City of Cudahy, hereby certify that the foregoing Ordinance No.696 was introduced for a first reading on the 6th day of November, 2018 and approved for a second reading and adopted by said Council at its regular meeting held on the 20th day of November, 2018 by the following vote, to-wit:

AYES: Gonzalez, Markovich, Hernandez, and Garcia
NOES: None
ABSTAIN: None
ABSENT: Sanchez
"
Richard Igle
Deputy City
4

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Ordinance No. 696

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EXHIBIT "A"

DEVELOPMENT AGREEMENT

BY AND BETWEEN

THE CITY OF CUDAHY
AND 420 REALTY, LLC

A CALIFORNIA LIMITED LIABILITY COMPANY

SEE ATTACHMENT
5

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Attachment C

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PLANNING COMMISSION STAFF REPORT
MEETING DATE: March 20, 2023
TO: Members of the Planning Commission of the City of Cudahy FROM: Juan Arauz, AICP, Community Development Director
SUBJECT: RESOLUTION NO. 2023-01 OF THE PLANNING COMMISSION OF THE CITY OF CUDAHY, CALIFORNIA, TO CONSIDER THE CITY’S

HEARING OFFICER RECOMMENDATION TO REPEAL ORDINANCE
NO. 696, TERMINATE RELATED DEVELOPMENT AGREEMENT NO.

DA18-002C AND REVOKE RELATED COMMERCIAL CANNABIS
PERMIT NO. CCP18-0002.

RECOMMENDATION
Staff recommends that the Planning Commission of the City of Cudahy (the “City”) to adopt a resolution (Attachment 1) recommending that the City Council take the following actions:

1. Adopt an ordinance to repeal Ordinance No. 696, terminate related Development Agreement No. DA 18-002C, and revoke related Commercial Cannabis Permit No. CCP18-0002.

BACKGROUND/TIMELINE
On September 11, 2017, the City Council passed Ordinance No. 673 establishing for the allowance of medicinal-only commercial cannabis activities in a specified Overlay Zone through a development agreement.

On September 17, 2018, the Planning Commission conducted a public hearing to consider Development Agreement (DA) No. 18-002 and Commercial Cannabis Permit (CCP) No. 18-0002 and recommended the disapproval of both permits.

On November 6, 2018, after the receipt of the appeal of the Planning Commission decision, the City Council approved the first reading of Ordinance No. 696 to approve DA No. 18-002C and CCP No. 18- 0002, and the second reading on December 8, 2018, with an effective date of December 9, 2018. The approval authorized 420 Realty LLC to conduct cannabis cultivation, manufacturing, distribution, and non-store delivery at 4311 Santa Ana Street, subject to the conditions of approval (Attachment 3).

On December 19, 2022, the duly appointed Hearing Officer conducted a notice for a Special Review Hearing as authorized under the Cudahy Municipal Code (CMC) Section 5.20.080(7) to hear information and evidence submitted by the city of Cudahy. No representation from the 420 Realty LLC were present.

On January 4, 2023, the Hearing Officer issued a written decision-making finding of fact and conclusion of law with respect to 420 Realty, LLC has breached the DA No. 18-0002 and CCP No. 18-0002.

Attachment DPage 193 of 1183
2 DISCUSSION
Pursuant to the Cudahy Municipal Code (CMC) Section 5.20.080 (7), “any decision regarding the suspension or revocation of a cannabis permit, disqualification of an applicant from the application process, or election not to renew a cannabis permit may be appealed to an independent neutral thirdparty Administrative Hearing Officer appointed by the City Manager or the City Manager’s designee (The Hearing Officer).” The Hearing Officer issued a written decision making several findings of fact and conclusions and determined that 420 Realty, LLC breached the DA and CCP in following material aspects:

1. Breach of Payment Obligations: Non-payment of fees on costs totaling $423,118.09.

2. Non-Compliance with State Law: 420 Realty, LLC’s entity status has been canceled by the State of California and the entity is now dissolved.

3. Loss of site control for more than 90-days: 420 Realty, LLC was unable to lawfully operate a commercial cannabis facility at the Site.

4. Failure to implement project within time limits: There is no evidence proving that 420 Realty, LLC has implemented the Project in any fashion.

The Hearing Officer findings of fact and conclusions are further elaborated in Attachment 4.

Pursuant to CMC Section 20.84.070, DA No. 18-0002 and CPP No. 18-0002 were processed concurrently and approved collectively under Ordinance No. 696. To repeal Ordinance No. 696, the repeal shall occur in the same manner as the original proceedings and pursuant to CMC Section

20.84.500.

PUBLIC NOTICING
This Project was noticed in accordance with the City’s public noticing requirements, which involved mailed notices sent to property owners within 300-feet of the Project site on March 9, 2023, and newspaper publication in the Long Beach Telegram on March 10, 2023. The public hearing notice for this Project is provided as Attachment F. As of the writing of this report, staff has not received public comments.

RECOMMENDATION
Staff recommends the Planning Commission to consider the recommendations of the Hearing Officers findings of fact and adopt Resolution No. 2023-01 to recommend the City Council to adopt an ordinance to repeal Ordinance No. 696, terminate related Development Agreement No. DA 18-002C, and revoke related Commercial Cannabis Permit No. CCP18-0002.

ATTACHMENT(S):

1. Draft Resolution No. 2023-01

2. Development Agreement No. DA 18-002C

3. Conditions of Approval (Exhibit F) for Commercial Cannabis Permit No. CCP18-0002 and Development Agreement No. 18-0002C

4. Administrative Hearing Record and Decision

5. Ordinance No. 696

6. Public Hearing Notice
Prepared by:

Jessica Guillen
Assistant Planner

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3 Concurrence:

Cecilia Madrigal-Gonzalez
Senior Planner

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ATTACHMENT 1

DRAFT RESOLUTION

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1 DRAFT RESOLUTION NO. 2023-01 ___
___

PLANNING COMMISSION OF THE CITY OF CUDAHY, CALIFORNIA, TO CONSIDER THE CITY’S HEARING OFFICER RECOMMENDATION TO REPEAL ORDINANCE NO. 696, TERMINATE RELATED DEVELOPMENT AGREEMENT NO.

DA18-002C AND REVOKE RELATED COMMERCIAL CANNABIS PERMIT NO.

CCP18-0002.

WHEREAS, to strengthen the public planning process, encourage private participation in comprehensive planning and reduce the economic risk of development, the Legislature of the State of California adopted Section 65864 et seq. of the California Government Code (the Development Agreement Statute"); and
WHEREAS, the Development Agreement Statute authorizes the City to enter into a property development agreement with any person having legal or equitable interest in real property for the development of such property in order to establish certain development rights; and WHEREAS, in accordance with California law, the City of Cudahy has adopted Municipal Code Chapter 20.84 (Part 9) (Development Agreements) establishing the procedures and requirements for the consideration of development agreement with the City; and WHEREAS, on September 11, 2017, the City Council for the City of Cudahy passed Ordinance No. 673 establishing regulations and a discretionary review process for the allowance of medicinal-only commercial cannabis activities (cultivation, distribution, manufacturing, deliveries, micro-business and laboratory testing) in a specified Overlay Zone through a development agreement; and
WHEREAS, on September 17, 2018, the City of Cudahy Planning Commission ("Planning Commission") conducted a properly noticed public hearing to consider approval of a Development Agreement by and between the City of Cudahy and Applicant 420 Realty, LLC, a California limited liability company (the "Development Agreement") [DA#18-002C] and a Commercial Cannabis Permit (the “CCP”) [CCP#18-0002] to allow a Commercial Cannabis Facility for the Site located at 4311 Santa Ana Street, City of Cudahy, CA as set forth in the Development Agreement. At this hearing, testimony and evidence, both written and oral, were presented to and considered by the Planning Commission; WHEREAS, by majority vote the members present, the Planning Commission, decided to deny a Commercial Cannabis Permit for the Site and made a recommendation of disapproval of the Development Agreement; and
WHEREAS, the Applicant(s) timely submitted a written notice of appeal to the City Clerk, accompanied by the required filing fees, and including stated grounds for the appeal; and WHEREAS, the entire matter came properly before the City Council for independent consideration and de novo review; and
WHEREAS, subsequent to receipt of the appeal of the Planning Commission's decision, the

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2 City Council conducted a properly noticed public hearing on November 6, 2018, to consider the approval of a CCP and Development Agreement for the Site, at which testimony and evidence, both written and oral, were presented to and considered by the City Council; and WHEREAS, the City Council determined the Project is: consistent with the objectives, policies, general land uses and programs specified in the general plan, as amended; compatible with the uses authorized in the Overlay Zone; in conformity with good land use practices; will not be detrimental to the health, safety and general welfare of the City; and is in the best interest of the City of Cudahy and its residents; and
WHEREAS, on November 6, 2018, the City Council adopted, at first reading, Ordinance No. 696, approving the Development Agreement and the CCP for the Site; and WHEREAS, on November 20, 2018, the City Council adopted, at second reading, Ordinance No. 696 and authorized the Mayor to execute the Development Agreement on behalf of the City; and
WHEREAS, the Effective Date of the Development Agreement is December 8, 2018.

Upon approval, Applicant 420 Realty, LLC was allowed to eventually conduct commercial cannabis cultivation, manufacturing, distribution and non-store front delivery at the Site, provided, among other things, it received State licensing approval and a Certificate of Occupancy for the Site; and WHEREAS, 420 Realty, LLC, has not complied with the terms and conditions of the Development Agreement and conditions of the CCP (despite notices and opportunity to cure) and remains in material breach of thereof; and
WHEREAS, on December 19, 2022, Elio Palacios, Esq., a duly appointed hearing officer for the City (the “Hearing Officer”), conducted a properly noticed Special Review Hearing (the “Hearing”) under Section 19(c) of the Development Agreement. During the Hearing, information and evidence was submitted by the appearing parties and reviewed by the Hearing Officer; and WHEREAS, on January 4, 2023, the Hearing Officer issued a written decision (the “Hearing Decision”) making several findings of fact and conclusions of law with respect to 420 Realty, LLC non-compliance with the Development Agreement and CCP; and

1. WHEREAS, the Hearing Officer determined that 420 Realty, LLC breached the Development Agreement and CCP in three material respects: (1) Breach of Payment Obligations - Non-payment of fees and costs owing to the City totaling $423,118.09; (2) Non-Compliance with State Law – 420 Realty LLC’s entity status has been canceled by the State of California and the entity is now dissolved; (3) Loss of Site Control for more than 90-days – 420 Realty, LLC was unable to lawfully operate a commercial cannabis facility at the Site; and (4) Failure to Implement Project within Time Limits – There is no evidence that 420 Realty, LLC has implemented the Project in any fashion; and WHEREAS, the Hearing Officer has recommended that the City Council adopt an ordinance repealing Ordinance No. 696 terminating DA18-002C and revoking CCP18-0002; and WHEREAS, the Hearing Decision is now final as to the administrative appeal process.

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3 Respondent has not sought judicial review of the Hearing Officer’s decision; and WHEREAS, after a duly noticed public hearing, the Planning Commission finds and determines that an Ordinance terminating the Development Agreement furthers the public health, safety, and general welfare of the community, and is in the public interest; and WHEREAS, after a duly noticed public hearing, the Planning Commission further finds and determines that the Commercial Cannabis Permit to allow a Commercial Cannabis Facility for the Site should be revoked; and
WHEREAS, all legal prerequisites to the adoption of this Resolution have occurred.

NOW THEREFORE, THE PLANNING COMMISSION OF THE CITY OF
CUDAHY DOES HEREBY RESOLVE, DECLARE AND DETERMINE AS FOLLOWS:

SECTION 1. RECITALS
That the above Recitals are true and correct and are incorporated as though fully set forth herein.

SECTION 2. RECOMMENDATION OF ADOPTION OF HEARING OFFICER’S

FINDINGS OF FACT AND CONCLUSIONS OF LAW
That the Planning Commission has reviewed and considered the Administrative Record and Hearing Decision by the Hearing Officer issued on January 4, 2023, on this matter. A true and correct copy of the Hearing Decision is attached hereto as Exhibit “A” and incorporated herein by this reference. For the reasons stated in the Hearing Decision, the Planning Commission adopts the Hearing Officer’s findings of fact and conclusions of law as its own and determines that 420 Realty, LLC is not in compliance with the terms and conditions of the Development Agreement No. 18-002C and finds that 420 Realty, LLC is in default of its contractual obligations set forth in said Development Agreement and has breached its Conditions of Approval for CCP No. 18-0002.

SECTION 3. RECOMMENDATION OF TERMINATION OF DEVELOPMENT

AGREEMENT
Pursuant to Section 19(d) of the Development Agreement, the City Council may terminate the Development Agreement DA18-002C in its entirety. For the reasons stated in the Hearing Decision, the Planning Commission recommends that the City Council terminate the Development Agreement in its entirety.

SECTION 4. RECOMMENATION OF REVOCATION OF COMMERCIAL

CANNABIS PERMIT
Pursuant to Cudahy Municipal Code Section 5.20.080(6)(a), the City Council or designee may revoke CCP18-0002 in its entirety. For the reasons stated in the Hearing Decision, the Planning Commission recommends that the City Council terminate the Development Agreement in its entirety.

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4 SECTION 5. REPEAL OF ORDINANCE NO. 696
For the reasons stated above, the Planning Commission recommends that Ordinance No. 696 be repealed in its entirety.

PASSED AND ADOPTED by the Planning Commission of the City of Cudahy at a duly noticed meeting held on the 20th day of March, 2023 by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:
_________________________________
Planning Commission Chair
ATTEST:
___________________________________
Planning Commission Secretary

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5 EXHIBIT "A"
HEARING OFFICER’S DECISION

SEE ATTACHMENT

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ATTACHMENT 2
DA 18-002C

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EXHIBIT “A”

LEGAL DESCRIPTION

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EXHIBIT “B”

PARCEL MAP

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EXHIBIT “C”

LANDLORD CONSENT

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[DA#.18-002C] - City of Cudahy Page 1 of 6 Landlord Consent Agreement 420 Realty, LLC

LANDLORD CONSENT AND HOLD

HARMLESS AGREEMENT
THIS LANDLORD CONSENT AGREEMENT (this “Agreement”) is made and entered into this 5th day of June 2018, (the “Execution Date”), by and between the CITY OF CUDAHY, a California municipal corporation (“City”) and EMMANUEL LEAL ROJAS AND EVELIN M. CORTEZ, HUSBAND AND WIFE ("Landlord"). City and Landlord are sometimes referenced together herein as the “Parties.” In instances when a provision hereof applies to each of the Parties individually, either may be referenced as a “Party.” The Parties hereby jointly render the following statement as to the background facts and circumstances underlying this Agreement.

RECITALS
A. Landlord is the fee simple owner of real property located at 4311-4313 SANTA ANA STREET, CUDAHY, CA 90201, City of Cudahy, State of California (the “Site”). The Site includes Assessor’s Parcel Number: 6224-008-012 / 6224-006- 017 as is more fully described in Exhibit A and shown on the map in Exhibit B, both exhibits being attached hereto and incorporated herein by this reference.

The Site is leased to 420 Realty, LLC ("Tenant") pursuant to a written lease agreement attached to this document as Exhibit "C" (the "Lease").

B. Tenant has applied to the City for approval of a Development Agreement to establish certain development rights in a portion of the Site for a period of years. Tenant seeks authorization from the City to establish a medical cannabis facility which may include, but may be limited to, facilities where cannabis is planted, grown, harvested, dried, cured, graded, trimmed, extracted, manufactured into cannabis products, tested, distributed, or transported, or that does all or any combination of those activities. Tenant anticipates making capital expenditures or causing capital expenditures to made in reliance upon the City's approval of its application for a Development Agreement. Landlord acknowledges that the City's approval of a Development Agreement may significantly impact the value of the Site. However, the City makes no representation whether or not approval of the Development Agreement will ultimately be economically beneficial or detrimental to the Landlord.

C. Approval of the Development Agreement will provide for the orderly establishment of a medical cannabis facility at the Site, provide public benefits and set standards and requirements for the development and permitted uses on the Site.

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[DA#.18-002C] - City of Cudahy Page 2 of 6 Landlord Consent Agreement 420 Realty, LLC
E. In consideration for the City entering into the Development Agreement with the Tenant, and as a specific inducement for the City to grant the land use entitlements sought by the Tenant and to effectuate the purposes and intentions for the City and its residents to receive the public benefits set forth therein, the City requires the Landlord for the Site to provide its/his/her express written consent to the execution and recording of the Development and the terms and content thereof, and to hold the City harmless from any from any liability or claims which may arise from the approval of and operations under the Development Agreement.

NOW, THEREFORE, in consideration of the foregoing and for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledge, Landlord, for themselves and their successors and assigns, agrees as follows:

1. Consent. Landlord consents to the Tenant entering into a Development Agreement with the City for the purpose of establishing a medical cannabis facility at the Site which may include, but may be limited to, facilities where cannabis is planted, grown, harvested, dried, cured, graded, trimmed, extracted, manufactured into cannabis products, tested, distributed, or transported, or that does all or any combination of those activities. Landlord agrees that the land use entitlements and restrictions may vest in the Site for a period of years to be set forth in the Development Agreement. Landlord further agrees to fully cooperate in the development and operations of the Site as a medical cannabis facility in accordance with an approved Development Agreement and duly issued Cannabis Permit.

2. Estoppel. Landlord certifies that (1) the Lease is valid and enforceable according to its terms and has not been modified either orally or in writing, and (b) to best of Landlord's knowledge, neither Landlord nor Tenant is in default under the Lease, nor has any event occurred which, with the passage of time, the giving of notice, or both, would constitute an event of default or default under the Lease. Landlord agrees that in the event of any claimed breach or default by Tenant which would entitle Landlord to terminate the Lease and ten (10) days prior to such termination taking effect, Landlord shall notify the City of such claimed breach or default by certified mail, return receipt requested, or by reputable overnight carrier, at the following address:

To City
City of Cudahy
5220 Santa Ana Street
Cudahy, CA 90201
Attn: City Clerk
Courtesy Copy to Special Counsel:

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[DA#.18-002C] - City of Cudahy Page 3 of 6 Landlord Consent Agreement 420 Realty, LLC
Law Office of Glenn Ward Calsada
23283 Ventura Boulevard
Woodland Hills, CA 91364
Attn: Glenn Ward Calsada, Esq.

3. Hold Harmless Agreement. Landlord hereby agrees to, and shall hold the City, its elective and appointive boards, commissions, officers, agents, attorney's, contractors, consultants and employees harmless from any liability for damage or claims for damage for personal injury, including death, as well as from claims for property damage which may arise from Landlord's or Tenant's contractors, subcontractors, agents, or employees’ operations of a medical cannabis facility under the Development Agreement, whether or not such operations be by Landlord or Tenant, or by any of Landlord’s or Tenant's contractors, subcontractors, agents, or employees operations under the Development Agreement, or by any one or more persons directly or indirectly employed by, or acting as agent for Landlord or Tenant or any of said agents' contractors or subcontractors. Landlord agrees to and shall defend the City, its elective and appointive boards, commissions, officers, agents, attorney's, contractors, consultants and employees from any suits or actions at law or in equity for damage caused, or alleged to have been caused, by reason of any of the aforesaid operations.

4. Continued Effectiveness. The effectiveness of this Consent and the City's rights under the Development Agreement shall not be affected by and shall extend to any amendment or modification of the assignment of the Lease or by any sale or transfer of the Site to a new owner. This Consent, including the hold harmless provisions, shall be binding on the Landlord's successors and assigns. Every person who after the Execution Date and recording of this Agreement owns or acquires any right, title, or interest to any portion of the Site, is and shall be conclusively deemed to have consented and agreed to every provision contained herein and in the Development Agreement, whether or not any reference to this Agreement is contained in the instrument by which such person acquired an interest in the Site, and all rights and interests of such person in the Site shall be subject to the terms, requirements, and provisions of this Agreement.

5. Applicable Law. The law governing this Agreement shall be that of the State of California. Any suit brought by any party against any other party arising out of the performance of this Agreement or the breach, termination, enforcement, interpretation or validity thereof, shall be filed and maintained in the County of Los Angeles Superior Court.

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[DA#.18-002C] - City of Cudahy Page 5 of 6 Landlord Consent Agreement 420 Realty, LLC
CITY OF CUDAHY TENANT: 420 REALTY, LLC

Name:LUPE SANTANA
City Manager Title: MANAGING MEMBER

APPROVED AS TO FORM:

Special Counsel for the City of Cudahy

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EXHIBIT “A”

LEGAL DESCRIPTION

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EXHIBIT “B”

PARCEL MAP

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EXHIBIT “C”
LEASE

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EXHIBIT “D”

SITE AND FLOOR PLANS

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MAX. TRAVEL DISTANCE = 140'-0" MAX. TRAVEL DISTANCE = 149'-2" 2 3 4 5 6 7 8 ABCDEF 1 9 2 3 4 5 6 7 8 1 9 ABCDEF JOB NO.: DRAWN BY: PA / PM: DATE REMARKS

INFRASTRUCTURE

ENGINEERS
3060 Saturn Street, Suite 250
Brea, CA 92821
Tel: (714) 940-0100
Fax: (714) 940-0700
www.infrastructure-engineers.com ARCHITECT / CIVIL ENG. CONSULTANT STAMP THIS DOCUMENT, WHICH CONCEPTS, DRAWINGS AND INCORPORATES THE DESIGN SPECIFICATIONS IS THE PROPERTY AND COPYRIGHT OF INFRASTRUCTURE ENGINEERS AND SHALL NOT BE USED IN WHOLE OR IN PART ON ANY OTHER WORK WITH INFRASTRUCTURE EXCEPT BY AGREEMENT CUDAHYGRO ENGINEERS. 4311 SANTA ANA STREET
CUDAHY, CA 90201
Fri, 17 Aug 2018 08/03/18 - CUP RESUPMITTAL A0.5
OCCUPANCY AND EGRESS PLAN A.D. SCALE: OCCUPANCY AND EGRESS PLAN A 1/8"= 1'-0" 716 SQ. FT DELIVERY OFFICE 132 SQ. FT OFFICE 143 SQ. FT JANITOR'S 37 SQ. FT CLOSET GOWNING ROOM 204 SQ. FT NURSERY 1153 SQ. FT 705 SQ. FT & LABELING PACKAGING VAULT 143 SQ. FT 490 SQ. FT RECEIVING SHIPPING & CULTIVATION 1460 SQ. FT EXTRACTION 424 SQ. FT 718 SQ. FT DRY / CURE TRIM 171 SQ. FT POST-PROCESSING 449 SQ. FT COMMERCIAL KITCHEN 885 SQ. FTSECURE 582 SQ. FT STORAGE59 SQ. FT STORAGE COLD SHOW ROOM 59 SQ. FT OFFICE 73 SQ. FT 65 SQ. FT SERVER SECURE VAULT 73 SQ. FT 632 SQ. FT DISTRIBUTION RECEPTION CULTIVATION 1008 SQ. FT UNISEX 112 SQ. FT RESTROOM UNISEX RESTROOM 64 SQ. FT ELECTRICAL ROOM 180 SQ. FT CORRIDOR 198 SQ. FT NURSERY EQUIPMENT YARD FERTIGATION ZONE / LEGEND RESTROOM SUMMARY MAXIMUM TRAVEL DISTANCE TO EXITS: OCCUPANCY & EXIT LEGEND OCCUPANT LOAD CALCULATIONS 456 SQ. FT BUILDING SECURITY FERTIGATION ROOM 128 SQ. FT

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SANTA ANA ST.

SALT LAKE AVE.

CL
CL JOB NO.: DRAWN BY: PA / PM: DATE REMARKS

INFRASTRUCTURE

N LEGENDS SITE NOTES EXISTING BUILDING ±12,000 SF ADDITION EXISTING ±950 SF EXISTING ELECTRICAL ROOM ±212 SF EXISTING SHED TO REMAIN N.I.C. EXISTING SHED TO REMAIN N.I.C. EXISTING SHED TO REMAIN N.I.C. BUILDING SECURITY ±456 SF PARKING CALCULATIONS ZONE: INNOVATIVE INDUSTRIAL APN: APN: ZONE: INNOVATIVE INDUSTRIAL SINGLE FAMILY USE: RESIDENTIAL USE: COMMERCIAL / INDUSTRIAL ZONE: INNOVATIVE INDUSTRIAL WINDOW MANUFACTURER ZONE: INNOVATIVE INDUSTRIAL USE: COMMERCIAL / MANUFACTURER WINDOW INDUSTRIAL PROJECT INFORMATION LANDSCAPE CALCULATIONS BOTH PROPERTIES SHARED ACCESS TO USE: COMMERCIAL / INDUSTRIAL ZONE: INNOVATIVE INDUSTRIAL WINDOW MANUFACTURER ZONE: INNOVATIVE INDUSTRIAL SINGLE FAMILY USE: RESIDENTIAL ZONE: INNOVATIVE INDUSTRIAL SINGLE FAMILY USE: RESIDENTIAL ZONE: INNOVATIVE INDUSTRIAL SINGLE FAMILY USE: RESIDENTIAL ZONE: INNOVATIVE INDUSTRIAL USE: RESIDENTIAL SINGLE FAMILY ZONE: INNOVATIVE INDUSTRIAL USE: RESIDENTIAL SINGLE FAMILY ZONE: INNOVATIVE INDUSTRIAL ZONE: INNOVATIVE INDUSTRIAL SINGLE FAMILY USE: RESIDENTIAL USE: RESIDENTIAL SINGLE FAMILY ZONE: INNOVATIVE INDUSTRIAL USE: COMMERCIAL / INDUSTRIAL ZONE: INNOVATIVE INDUSTRIAL WINDOW MANUFACTURER 6

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JOB NO.: DRAWN BY: PA / PM: DATE REMARKS

INFRASTRUCTURE

N LEGENDS SITE NOTES SCALE: ENLARGED SITE PLAN
B 1/16"= 1'-0"

N EXISTING BUILDING ADDITION EXISTING EXISTING ELECTRICAL ROOM BUILDING SECURITY

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2 3
4 5
6 7
8 ABC
D
E
F
1 9
2 3
4 5
6 7
8 1
9 ABC
D
E
F JOB NO.: DRAWN BY: PA / PM: DATE REMARKS

INFRASTRUCTURE

N LEGENDS DEMOLITION FLOOR NOTES WALL LEGEND

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4 5
6 7
8 ABC
D
E
F
1 9
2 3
4 5
6 7
8 1
9 ABC
D
E
F JOB NO.: DRAWN BY: PA / PM: DATE REMARKS

INFRASTRUCTURE

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EXHIBIT “E”

ADDITIONAL BUSINESS STANDARDS
(IF APPLICABLE)

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EXHIBIT “F”

STANDARDS AND CONDITIONS FOR CONSTRUCTION
(IF APPLICABLE)

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ATTACHMENT 3
CCP 18-0002 CONDITIONS

OF APPROVAL

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CONDITIONS OF APPROVAL – EXHIBIT F
COMMERCIAL CANNABIS PERMIT NO, CCP18-0002
DEVELOPMENT AGREEMENT NO. DA18-002C
4311 SANTA ANA STREET – 420 REALITY

GENERAL CONDITIONS OF APPROVAL
Condition of Approval No. 1 - Financial Responsibility for Compliance Monitoring and Enforcement
a. Cost Responsibilities: The Permittee shall bear the full costs of all City staff time, materials, and City-retained consultants associated with condition compliance review and monitoring, CEQA mitigation monitoring, other permit monitoring programs, and enforcement activities, actions, and processes conducted pursuant to the City of Cudahy Municipal Code (§ 5.20.060) related to this Commercial Cannabis Permit (CCP) and Development Agreement (DA). Such condition compliance review, monitoring and enforcement activities may include (but are not limited to): periodic site inspections; preparation, review, and approval of studies and reports; review of permit conditions and related records; enforcement hearings and processes; drafting and implementing compliance agreements; and attending to the modification, suspension, or revocation of permits. Costs will be billed at the rates set forth in the Planning Division or other applicable City Fee Schedule, and at the contract rates of City-retained consultants, in effect at the time the costs are incurred.

Establishment of Compliance Account: Within 10 calendar days of the effective date of the final decision approving this CCP, the Permittee shall submit a new, updated, and completed reimbursement agreement for Condition Compliance Case No. CCP18-0002 in a form provided by the City, obligating the Permittee to pay all condition compliance review, monitoring, and enforcement costs, and any civil administrative penalties, subject to the Permittee’s right to challenge all such charges and penalties prior to payment.
b. Billing Process: The Permittee shall pay all City invoices within 30 days of receipt thereof. Failure to timely pay an invoice shall subject the Permittee to late fees and charges set forth in the City Fee Schedule, and shall be grounds for suspension, modification, or revocation of this CCP. The Permittee shall have the right to challenge any charge or penalty prior to payment.

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Condition of Approval No. 2 - Defense and Indemnification a. The Permittee shall defend, at the Permittee's sole expense with legal counsel acceptable to the City, against any and all claims, actions, or proceedings against the City, any other public agency with a governing body consisting of the members of the City Board of Supervisors, or any of their respective board members, officials, employees and agents (collectively, “Indemnified Parties”) arising out of or in any way related to the City’s issuance, administration, or enforcement of this CUP. The City shall promptly notify the Permittee of any such claim, action or proceeding and shall cooperate fully in the defense. b. The Permittee shall also indemnify and hold harmless the Indemnified Parties from and against any and all losses, damages, awards, fines, expenses, penalties, judgments, settlements, or liabilities of whatever nature, including but not limited to court costs and attorney fees (collectively, “Liabilities”), arising out of or in any way related to any claim, action or proceeding subject to subpart (a) above, regardless of how a court apportions any such Liabilities as between the Permittee, the City, and/or third parties.
c. Except with respect to claims, actions, proceedings, and Liabilities resulting from an Indemnified Party’s sole active negligence or intentional misconduct, the Permittee shall also indemnify, defend (at Permittee’s sole expense with legal counsel acceptable to City), and hold harmless the Indemnified Parties from and against any and all claims, actions, proceedings, and Liabilities arising out of, or in any way related to, the construction, maintenance, land use, or operations conducted pursuant to this CCP, regardless of how a court apportions any such Liabilities as between the Permittee, the City, and/or third parties. The City shall promptly notify the Permittee of any such claim, action, or proceeding and shall cooperate fully in the defense.
d. Neither the issuance of this CCP, nor compliance with the conditions hereof, shall relieve the Permittee from any responsibility otherwise imposed by law for damage to persons or property; nor shall the issuance of this CCP serve to impose any liability upon the Indemnified Parties for injury or damage to persons or property.

Condition of Approval No. 3 Relationship of CCP Conditions, Laws, and Other Entitlements
The Permittee shall implement the Project in compliance with all applicable requirements and enactments of federal, state, and local authorities. In the event of conflict between various requirements, the more restrictive requirements shall apply. In the event the City Manager determines that any CCP condition contained herein is in conflict with any other CPP condition contained herein, when principles of law do not

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provide to the contrary, the CCP condition most protective of public health and safety and environmental resources shall prevail to the extent feasible.

No condition of this CCP for uses allowed by the City Municipal Code shall be interpreted as permitting or requiring any violation of law, lawful rules, or regulations, or orders of an authorized governmental agency. Neither the approval of this CPP, nor compliance with the conditions of this CPP, shall relieve the Permittee from any responsibility otherwise imposed by law for damage to persons or property.

The Permittee shall obtain a business tax certificate and regulatory licenses for the operation of Commercial Cannabis operations.

Condition of Approval No. 4 - Contact Person
PURPOSE: To establish a contact person responsible for responding to City and/or community complaints.

The Permittee shall designate a contact person(s) to respond to complaints from citizens and the City which are related to the permitted uses of this CUP.

The Permittee shall provide the City with the contact information (e.g., name and/or position title, address, business and cell phone numbers, and email addresses) of the Permittee’s Community Agent who receives all orders, notices, and communications regarding matters of condition and code compliance at the Project site.

Timing: Prior to the issuance of a Zoning Clearance for use inauguration, the Permittee shall provide the Planning Division the contact information of the Permittee’s field agent(s) for the Project file. If the address or phone number of the Permittee’s field agent(s) should change, or the responsibility is assigned to another person, the Permittee shall provide Planning Division staff with the new information in writing within three calendar days of the change in the Permittee’s field agent.

The Planning Division maintains the contact information provided by the Permittee in the Project file. The Planning Division has the authority to periodically confirm the contact information consistent with the requirements of this permit.

Condition of Approval No. 5 - Resolution of Complaints
PURPOSE: To establish a process to resolve complaints.

The following process shall be used to resolve complaints related to the Project:
a. The Permittee shall post the telephone number for the designated Contact Person as identified pursuant to Condition No. 4 in a visible location on the site.

The Contact Person shall be available via telephone on a 24-hour basis.

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Persons with concerns about an activity as it is occurring may directly contact the Contact Person;
b. If City staff receives a written complaint about the Project, the City Manager, or his designee, may contact the Permittee’s Contact Person or the Permittee to request information regarding the alleged violation; and c. If, following a complaint investigation by City staff, a violation of the City Municipal Code or a condition of this CCP is confirmed, City staff may initiate enforcement actions, in accordance with City Municipal Code.

Condition of Approval No. 6 - Reporting of Major Incidents PURPOSE: To ensure that the Planning Director is notified of major incidents associated with, or resulting from, the Project, he Permittee shall immediately notify the Planning Director by telephone, email, FAX, and/or voicemail of any incidents (e.g., fires, explosions, spills, landslides, or slope failures) that could pose a hazard to life or property inside or outside the Project Site.

Upon request of any City, County or State regulatory agency, the Permittee shall provide a written report of any incident that shall include, but not limited to: a description of the facts of the incident; the corrective measures used, if any; and the steps taken to prevent a recurrence of the incident.

Timing: The Permittee shall provide the written report to the requesting agency and Planning Division within seven days of receiving the request.

The Planning Division maintains any documentation provided by the Permittee related to major incidents in the Project file.

Condition of Approval No. 7 - Change of Permittee
To ensure that the Planning Division is properly and promptly notified of any change of Permittee, the Permittee shall file, as an initial notice with the Planning Director, the new name(s), address(es), telephone/FAX number(s), and email addresses of the new owner(s), lessee(s), operator(s) of the permitted uses, and the company officer(s). The Permittee shall provide the Planning Director with a final notice once the transfer of ownership and/or operational control has occurred.

The initial notice must be submitted with the new Permittee’s contact information. The final notice of transfer must include the effective date and time of the transfer and a letter signed by the new Property Owner(s), lessee(s), and/or operator(s) of the permitted uses acknowledging and agreeing to comply with all conditions of this CCP.

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Timing: The Permittee shall provide written notice to the Planning Director 10 calendar days prior to the change of ownership or change of Permittee. The Permittee shall provide the final notice to the Planning Director within 15 calendar days of the effective date of the transfer.

The Planning Division maintains notices submitted by the Permittee in the Project file and has the authority to periodically confirm the information consistent with the requirements of this permit.

COMMERCIAL CANNABIS CULTIVATION (ORD. 673, SEC 5.20.100) PURPOSE: The purpose and intent of this section is to permit and regulate the commercial Cannabis Cultivation in order to promote the health, safety, morals, and general welfare of the residents and businesses within the City. The City is authorized to regulate this activity pursuant to State Law.

Condition of Approval No. 8 - Cultivation Operating Fees.

Operator/Permittee must pay all operating fees as stipulated within Development Agreement No. DA18-002C.

Condition of Approval No. 9 – Outdoor Cultivation.

Outdoor Cultivation is prohibited within the City.

Condition of Approval No. 10 – Indoor Cultivation.

Indoor Cultivation is permitted only on properties within the applicable Permit Zone with a valid Cultivation Permit and other requisite permits and entitlements. Indoor Cultivation may include growing Cannabis plants, harvesting Cannabis plants, and drying Cannabis flowers but shall not include the Manufacturing or of Cannabis Products, unless otherwise authorized pursuant to this Chapter.

Condition of Approval No. 11 – Cultivation Security Control.

Entrance to the Cultivation area, and all storage areas, of the applicable Premises shall be locked at all times and under the control of the staff of such Premises.

Prior to the issuance of a Zoning Clearance for Use Inauguration, the Permittee shall prepare and submit a security plan compliant with and applicable State Law, including MAUCRSA, to the City Manager, or his designee and obtain approval of said plan.

Condition of Approval No. 12 – Zoning and Land Use.

No new premises shall be established, developed, or operated within 600 feet of a Day Care Center, Youth Center, or public or private school providing ng K-12 instruction

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COMMERCIAL CANNABIS PRODUCTS MANUFACTURING (ORD. 673, SEC

5.20.110)
PURPOSE: The purpose and intent of this Section is to permit and regulate the commercial Cannabis Products Manufacturing to promote the health, safety, morals, and general welfare of the resident and businesses within the City. The City is authorized to regulate this activity pursuant to State Law.

Condition of Approval No. 13 - Manufacturing Operating Fees.

Operator/Permittee must pay all operating fees as stipulated within Development Agreement No. DA18-002C.

Condition of Approval No. 14 – Manufacturing Properties.

Commercial Cannabis Products Manufacturing is a permitted use only on properties within the applicable Permit Zone with a valid Cultivation Permit and other requisite permits and entitlements.

Condition of Approval No. 15 – Quality Control Employee.

The Permittee must employ at least one (1) member of its personnel dedicated full time to quality control.

Condition of Approval No. 16 – Standard Operating Procedures and Batch Record.

The Manufacturing Permittee must establish standard operating procedures and batch record that comply with current good manufacturing practices and applicable State Law, including MAUCRSA.

Condition of Approval No. 17 – Labeling and Packaging.
a) All Cannabis Products produced by a Manufacturing Permittee must be packaged in child resistant containers prior to leaving the Premises for such Manufacturing Permittee in accordance with applicable State Law, including MAUCRSA.
b) All Cannabis Products produced by a Manufacturing Permittee must be labeled in compliance with applicable State Law, including MAUCRSA. c) Labeling Requirements – Edibles
i. Before a Manufacturing Permittee prepares any edible Cannabis or edible Cannabis Product for retail sale, it shall be labeled and placed in tamperevident packaging which at least meets the requirements of State Law, including, but not limited to, MAUCRSA.
ii. All items to be sold or distributed shall be individually wrapped at the original point of preparation by the Cannabis Permittee. iii. Labeling must include a warning if nuts or other known allergens are used, and must include the total weight (in ounces or grams) of Cannabis in the package, not to exceed ten (10) milligrams of tetrahydrocannabinol (THC) per serving.

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iv. A warning that the item is a medication and not a food must be clearly legible on the front of the package and/or must comply with state packing requirements.
v. The package must have a label warning that the product is to be kept away from children.
vi. The label must also state that the product contains Cannabis and must specify the date of Manufacture and the Manufacture Permittee’s information, including, but not limited to, address, and phone number. vii. Distribution must be in a properly labeled opaque package when distributed.
viii.The City Manager, or designee, may impose additional packaging and labeling requirements on Cannabis or Cannabis Products.

Condition of Approval No. 18 – Use of Solvents.
a) Manufacturing Permittees may conduct Manufacturing using any type of solvents, including Volatile Solvents, or Manufacturing processes if such Manufacturing complies with the requirements of this Chapter and State or local law, including but not limited to Health and Safety Code Section 11362.775 (or any successive State Law) all applicable fire and building codes in the City and any other laws of the City designed to ensure the safety of such operation. b) Manufacturing Permittees using Volatile Solvents for Manufacturing Cannabis Products must operate in a manner to reduce the risk of explosion or danger to public health, including through the use of a close-loop or solvent dispersion system consistent with the requirements of Health and Safety Code Section 11362.775 (or any successive State Law).

Condition of Approval No. 19 – Use of Hazardous and Flammable Materials.

If hazardous materials, flammable gas, flammable liquefied gas, flammable and combustible liquids, or other flammable material, as those terms are defined in California Fire Code Section 202, are to be used in the processing of commercial Cannabis, then the provisions of California Fire Code Section 407 shall be applicable where hazardous materials are subject to permits under California Fire Code Section 50 (Hazardous Materials) are located on the Premises or where required by the applicable building or fire official.

Timing: Prior to the issuance of a Temporary/Certificate of Occupancy, the Permittee must obtain LA County Fire Approval for site design, water and access, and hazardous materials.

Condition of Approval No. 20 – Compressed Gases.

Storage, use, and handling of compressed gases in compressed gas containers, cylinders, tanks, and systems shall comply with California Fire Code Chapter 53.

Partially full compressed gas containers, cylinders, or tanks containing residual gases

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shall be considered as full for the purposes of the controls required. Compressed gases classified as hazardous materials shall also comply with California Fire Code Chapter 50 for general requirements and California Fire Code Chapter 53 addressing specific hazards, including California Fire Code Chapter 58 (Flammable Gases), California Fire Code Chapter 60 (Highly Toxic and Toxic Materials), California Fire Code Chapter 63 (Oxidizers, Oxidizing Gases and Oxidizing Cryogenic Fluids, and California Fire Code Chapter 64 (Pyrophoric Materials). Prevention, control, and mitigation of dangerous conditions related to storage, use, dispensing, mixing, and handling of flammable and combustible liquids shall be in accordance with California Fire Code Chapters 50 and

57. Timing: Prior to the issuance of a Temporary/Certificate of Occupancy, the Permittee must obtain LA County Fire Approval for site design, water and access, and hazardous materials.

COMMERCIAL CANNABIS AND CANNABIS PRODUCTS RETAIL DELIVERY (ORD. 673, SEC 5.20.120)
PURPOSE: The purpose and intent of this Section is to regulate the Retail Delivery of commercial Cannabis and Cannabis Products in order to promote the health, safety, and general welfare of the residents and businesses within the City. The City is authorized to regulate this activity pursuant to the State Law.

Condition of Approval No. 21 – Retail Delivery Operating Fees.

Operator/Permittee must pay all operating fees as stipulated within Development Agreement No. DA18-002C.

Condition of Approval No. 22 – Retail Delivery Permitted Use Locations.

Retail Delivery of Cannabis and Cannabis Products is a permitted use only on properties within the applicable Permit Zone with a valid Retail Delivery Permit and other requisite permits and entitlements.

Condition of Approval No. 23 – Retail Delivery Customers.

The Retail Delivery of commercial Cannabis and Cannabis Products may only include the Retail Delivery of Cannabis and Cannabis Products by a Retail Delivery Permittee to a customer, patient or primary caregiver, in accordance with State Law, including MAUCRSA.

Condition of Approval No. 24 – Retail Delivery Security. a) Retail Delivery Permittees shall implement sufficient security measures to both deter and prevent unauthorized entrance into areas containing Cannabis and

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Cannabis Products and theft of Cannabis and Cannabis Products from the Retail Delivery Establishment or employees participating in Retail Delivery. b) All Cannabis and Cannabis Products shall be stored in a secured and locked room, safe, or vault, and in a manner as to prevent diversion, theft, or loss.

Condition of Approval No. 25 – Retail Delivery Premises.

Individuals shall not be allowed to remain on the Premises comprising of the Retail Delivery Establishment unless they are engaging in activity expressly related to the operations of the Retail Delivery Establishment or are a customer.

Condition of Approval No. 26 – Retail Delivery 24 Hour Notifications.

A Retail Delivery Permittee shall notify the City Manager or the City Manager’s designee within 24 hours of discovering any of the following:
a) Significant discrepancies identified during inventory. The level of significance shall be determined by the City Manager or the City Manager’s designee. b) Diversion, theft, loss, or any criminal activity involving the Retail Delivery Establishment or any agent or employee of the Retail Delivery Establishment. c) The loss or unauthorized alteration of records related to Cannabis, Cannabis Products, registered qualifying patients, primary caregivers, or Retail Delivery Establishment agents or employees.
d) Any other material breach of security.

Condition of Approval No. 27 – Retail Delivery Compliance.

The Retail Delivery of commercial Cannabis and Cannabis Products shall comply with all State and local Law, including all laws requiring presentment of government-issued identification card, physician's recommendation, or commercial Cannabis identification card at the time of initial purchase.

Condition of Approval No. 28 – Retail Delivery Physician Recommendation Verification.

With respect to commercial Cannabis, physicians' recommendations for commercial cannabis use shall be verified by a Retail Delivery Permittee prior to the Retail Delivery any commercial Cannabis to a qualified patient or primary caregiver and at least every six months thereafter.

Condition of Approval No. 29 – Retail Delivery Physician Employment.

A Retail Delivery Establishment may not employ or enter into any agreements with any physicians who recommend commercial Cannabis; Physician Services are prohibited from any and all Retail Delivery Establishments.

Condition of Approval No. 30 – Retail Delivery Inspection, Quality Testing and Quality Assurance.

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a) A Retail Delivery Permittee shall inspect all Cannabis and Cannabis Products received for quality assurance prior to the Retail Delivery to any Person. b) The Retail Delivery of Cannabis and Cannabis Products shall occur only after such Cannabis and Cannabis Products have been inspected and quality tested in accordance with applicable State Law, including MAUCRSA.

Condition of Approval No. 31 – Retail Delivery Monthly Inventories.

Each Retail Delivery Establishment shall do regular monthly inventories and record the total quantity of Cannabis and Cannabis on the Premises. These records shall be maintained for three years from the date created and shall be open to inspection by the City Manager, the City Manager's Designee, and law enforcement.

Condition of Approval No. 32 – Retail Delivery Registration.

A Retail Delivery Permittee shall register with the City each location where Cannabis or Cannabis Products are stored for purposes of Retail Delivery by such Retail Delivery Permittee within the City.

Condition of Approval No. 33– Retail Delivery Business Records.

A Retail Delivery Establishment shall maintain customer and patient and other business records in a secure location (including electronically or cloud-based) that is compliant with, as applicable, HIPAA and other federal and state privacy laws.

Condition of Approval No. 34 – Retail Delivery Vehicle Driver Documents.

During the Retail Delivery of Cannabis or Cannabis Products, each vehicle driver shall carry a copy of the Retail Delivery Permit, a copy of the Retail Delivery request, a form of government-issued identification, and all other information required by State and local Law. The driver shall present these documents upon the request of law enforcement, the City Manager, or the City Manager's designee.

Condition of Approval No.35 – Retail Delivery Labeling and Packaging.

Prior to Retail Delivery of Cannabis and Cannabis Products, such Cannabis and Cannabis Products shall be labeled and placed in a tamper-evident package. Labels and packages of Cannabis and Cannabis Products shall, at minimum, meet the requirements specified under State Law, including MAUCRSA.

Condition of Approval No. 36 – Retail Delivery Requirements.

All Retail Delivery vehicles shall:
a) Be equipped with, and utilize, a vehicle alarm system. b) Have and utilize a direct communication system with the related Retail Delivery Establishment.
c) Keep all Cannabis and Cannabis Products in a secure and locked container.

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d) Have an internal partition between the driver and all passengers from the Cannabis and Cannabis Products storage containers that prevents access by the driver and passengers to all cannabis products from inside the vehicle. e) Not carry more Cannabis and Cannabis Products than allowed by State and local Law and required to fulfill all immediate Retail Delivery requests f) Not display any logo, signage, or other information that identifies, advertises, or lists the services or the products offered.

COMMERCIAL CANNABIS AND CANNABIS PRODUCTS DISTRIBUTION (ORD. 673, SEC 5.20.130)
PURPOSE: The purpose and intent of this Section is to permit and regulate the Distribution of Cannabis and Cannabis Products between Cannabis Permittees in order to promote the health, safety, morals, and general welfare of the residents and businesses within the City. The City is authorized to regulate this activity pursuant to State Law.

Condition of Approval No. 37 - Distribution Operating Fees.

Operator/Permittee must pay all operating fees as stipulated within Development Agreement No. DA18-002C.

Condition of Approval No. 38 – Distribution Development Agreement and Location.

Distribution of Cannabis and Cannabis Products requires a Development Agreement with the City and must be located within the applicable Permit Zone.

Condition of Approval No. 39 - Distribution Activities.

Distribution activities includes the receiving and releasing of Cannabis and Cannabis Products for inspection, Testing, and quality assurance, as required under applicable State Law and such other activities as are permitted pursuant to State Law.

Condition of Approval No. 40 – Distribution Customers.

A Distribution Permittee shall only Distribute Cannabis and Cannabis Products between Cannabis Permittees or to facilities or portions of facilities wholly controlled by such Distribution Permittee to the extent permitted by State Law.

Condition of Approval No. 41 – Distribution Quality Assurance. a) A Distribution Permittee shall inspect all Cannabis and Cannabis Products received by it for quality assurance prior to Distributing to any Cannabis Permittee, as required under applicable State Law.
b) A Distribution Permittee shall Distribute Cannabis and Cannabis Products to Cannabis Permittees only after such Cannabis and Cannabis Products have been inspected and quality tested in accordance with applicable State Law, including MAUCRSA.

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CONDITIONS OF APPROVAL – EXHIBIT F
COMMERCIAL CANNABIS PERMIT NO, CCP18-0002
DEVELOPMENT AGREEMENT NO. DA18-002C
4311 SANTA ANA STREET – 420 REALITY

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provide to the contrary, the CCP condition most protective of public health and safety and environmental resources shall prevail to the extent feasible.

The Permittee shall obtain a business tax certificate and regulatory licenses for the operation of Commercial Cannabis operations.

Condition of Approval No. 4 - Contact Person
PURPOSE: To establish a contact person responsible for responding to City and/or community complaints.

The Permittee shall designate a contact person(s) to respond to complaints from citizens and the City which are related to the permitted uses of this CUP.

Condition of Approval No. 5 - Resolution of Complaints
PURPOSE: To establish a process to resolve complaints.

The Contact Person shall be available via telephone on a 24-hour basis.

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Timing: The Permittee shall provide the written report to the requesting agency and Planning Division within seven days of receiving the request.

The Planning Division maintains any documentation provided by the Permittee related to major incidents in the Project file.

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The Planning Division maintains notices submitted by the Permittee in the Project file and has the authority to periodically confirm the information consistent with the requirements of this permit.

Condition of Approval No. 8 - Cultivation Operating Fees.

Operator/Permittee must pay all operating fees as stipulated within Development Agreement No. DA18-002C.

Condition of Approval No. 9 – Outdoor Cultivation.

Outdoor Cultivation is prohibited within the City.

Condition of Approval No. 10 – Indoor Cultivation.

Condition of Approval No. 11 – Cultivation Security Control.

Entrance to the Cultivation area, and all storage areas, of the applicable Premises shall be locked at all times and under the control of the staff of such Premises.

Condition of Approval No. 12 – Zoning and Land Use.

No new premises shall be established, developed, or operated within 600 feet of a Day Care Center, Youth Center, or public or private school providing ng K-12 instruction

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COMMERCIAL CANNABIS PRODUCTS MANUFACTURING (ORD. 673, SEC

Condition of Approval No. 13 - Manufacturing Operating Fees.

Operator/Permittee must pay all operating fees as stipulated within Development Agreement No. DA18-002C.

Condition of Approval No. 14 – Manufacturing Properties.

Commercial Cannabis Products Manufacturing is a permitted use only on properties within the applicable Permit Zone with a valid Cultivation Permit and other requisite permits and entitlements.

Condition of Approval No. 15 – Quality Control Employee.

The Permittee must employ at least one (1) member of its personnel dedicated full time to quality control.

Condition of Approval No. 16 – Standard Operating Procedures and Batch Record.

The Manufacturing Permittee must establish standard operating procedures and batch record that comply with current good manufacturing practices and applicable State Law, including MAUCRSA.

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Condition of Approval No. 19 – Use of Hazardous and Flammable Materials.

Timing: Prior to the issuance of a Temporary/Certificate of Occupancy, the Permittee must obtain LA County Fire Approval for site design, water and access, and hazardous materials.

Condition of Approval No. 20 – Compressed Gases.

Storage, use, and handling of compressed gases in compressed gas containers, cylinders, tanks, and systems shall comply with California Fire Code Chapter 53.

Partially full compressed gas containers, cylinders, or tanks containing residual gases

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57. Timing: Prior to the issuance of a Temporary/Certificate of Occupancy, the Permittee must obtain LA County Fire Approval for site design, water and access, and hazardous materials.

Condition of Approval No. 21 – Retail Delivery Operating Fees.

Operator/Permittee must pay all operating fees as stipulated within Development Agreement No. DA18-002C.

Condition of Approval No. 22 – Retail Delivery Permitted Use Locations.

Condition of Approval No. 23 – Retail Delivery Customers.

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Condition of Approval No. 25 – Retail Delivery Premises.

Condition of Approval No. 26 – Retail Delivery 24 Hour Notifications.

Condition of Approval No. 27 – Retail Delivery Compliance.

Condition of Approval No. 28 – Retail Delivery Physician Recommendation Verification.

Condition of Approval No. 29 – Retail Delivery Physician Employment.

Condition of Approval No. 30 – Retail Delivery Inspection, Quality Testing and Quality Assurance.

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Condition of Approval No. 31 – Retail Delivery Monthly Inventories.

Condition of Approval No. 32 – Retail Delivery Registration.

Condition of Approval No. 33– Retail Delivery Business Records.

Condition of Approval No. 34 – Retail Delivery Vehicle Driver Documents.

Condition of Approval No.35 – Retail Delivery Labeling and Packaging.

Condition of Approval No. 36 – Retail Delivery Requirements.

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Condition of Approval No. 37 - Distribution Operating Fees.

Operator/Permittee must pay all operating fees as stipulated within Development Agreement No. DA18-002C.

Condition of Approval No. 38 – Distribution Development Agreement and Location.

Distribution of Cannabis and Cannabis Products requires a Development Agreement with the City and must be located within the applicable Permit Zone.

Condition of Approval No. 39 - Distribution Activities.

Condition of Approval No. 40 – Distribution Customers.

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Condition of Approval No. 42 – Distribution Registration.

A Distribution Permittee shall register with the City each location within the City where Cannabis and Cannabis Products are stored for purposes of Distribution activities within the City.

Condition of Approval No. 43 – Multiple Permit Types.

A Distribution Permittee may also hold any other Permit type to the extent permitted by State Law. To the extent permitted by State law, a Distribution Permittee that also holds another Permit type may self-distribute its Cannabis Products.

OTHER OPERTIONAL CONDITIONS
PURPOSE: To ensure compliance with all applicable City, State and other regulatory agency requirements.

Condition of Approval No. 44 – Final Floor Plan Approval Permittee must submit to and obtain approval from the City Manager, or his designee, on all proposed Final Floor Plans. All Final Floor Plans shall be stamped and dated by the Planning Department. Changes to the floor plan design or other elements (including, but not limited to security, fire or hazmat details) require administrative approval by the Planning Department, prior to any construction activity or Building Permit Issuance.

Timing: Prior to Zoning Clearance for Use Inauguration, Permittee shall prepare and submit a Final Floor Plan which demonstrates compliance with all City and State Commercial Cannabis regulations.

Condition of Approval No. 45 – Payment of Development Agreement Fees Operator(s) must pay all required DA fees in accordance with DA terms. Failure to pay fees, as assessed by the City Manager, will constitute a breach of the DA and may result in suspension or immediate revocation of the DA.

Condition of Approval No. 46 – Additional Plans and Approvals Purpose: To ensure all Commercial Cannabis facilities meet the development standards of the zoning code, policies, goals and programs of the general plan and City economic development activities—including City beautification and future public improvement projects.
i. Landscape Plan – The Operator must submit a landscaping plan, designed by a licensed landscape architect or arborist. The plan must include a five-foot landscaped dedication measured from the property line,

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as illustrated on the approved Site Plan. The plan must include drought tolerant desert plants, approved by the City.
ii. Fencing Plan – Fencing must be provided along the front perimeter of all Commercial Cannabis facilities. Fencing may be constructed between 8 feet and 10 feet in the front and up to 15 feet in the back.

Materials: Corrugated metal, wrought iron, concrete and block wall are all allowed materials. Alternative materials may be allowed with City approval. Chain-link and razor wire are strictly prohibited. Fences may be required to be constructed 5 feet from the property line to allow for future City improvements. All fencing plans must be submitted to and approved by the City prior to construction.
iii. Façade Improvement Plan - All new Commercial Cannabis facilities must submit a Façade Improvement Plan for City approval. The plan must include new paint, siding or other building improvement materials, in a color scheme approved by the City. Plans must also include new paving, as needed, parking striping, and other site improvements, as determined by the City.
iv. LA County Public Health Permit – The Operator must submit obtain a Cannabis Public Health Permit from the Los Angeles County Public Health.
v. City Business License – All operators must file for a City business license to conduct business within the City, pay all required business license fees and obtain a City Business License prior to conducting sales transactions in the City.

Condition of Approval No. 47 – Site Maintenance
PURPOSE: To ensure that the Project site is maintained in a neat and orderly manner so as not to create any hazardous conditions or unsightly conditions which are visible from outside of the Project site.

The Permittee shall maintain the Project site in a neat and orderly manner, and in compliance with the Project description. Only equipment and/or materials which the City Manager, or his designee, determines to substantially comply with the Project description shall be stored within the Project site during the life of the Project.

The Permittee shall maintain the Project site in compliance with Condition No. 1 and the approved plans for the Project.

Monitoring and Reporting: The City Building Inspector, City Cannabis Enforcement staff, or Planning Department staff have the authority to conduct periodic site inspections to ensure the Permittee’s ongoing compliance with this condition.

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Condition of Approval No. 48 – Commercial Cannabis Permit (CCP) Modification Prior to undertaking any operational or construction-related activity which is not expressly described in these conditions, the Permittee shall first contact the City Manager, or his designee, to determine if the proposed activity requires a modification of this CCP. The City Manager may, at his sole discretion, require the Permittee to file a written and/or mapped description of the proposed activity in order to determine if a permit modification is required.

Condition of Approval No. 49 - Construction Activities
Prior to any construction, the Permittee shall obtain a Zoning Clearance for construction from the Planning Division and a Building Permit from the Building and Safety Division.

Condition of Approval No. 50 - Acceptance of Conditions and Schedule of Enforcement Responses
The Permittee’s acceptance of this CCP and/or commencement of construction and/or operations under this CCP shall constitute the Permittee’s formal agreement to comply with all conditions of this CCP. Failure to abide by and comply with any condition of this CCP shall constitute grounds for enforcement action provided in the City Municipal Code which shall include, but is not limited to, the following:
a. Public reporting of violations to the Planning Commission and/or City Council; b. Suspension of the permitted land uses;
c. Modification of the CCP conditions listed herein;
d. Recordation of a “Notice of Noncompliance” on the deed to the subject property; e. The imposition of civil administrative penalties; and/or f. Revocation of this CUP.

The Permittee is responsible for being aware of and complying with the CCP conditions and all applicable federal, state, and local laws and regulations. In the event of any actual and direct conflict between these Conditions of Approval and the terms of the approved Development Agreement, the terms of the Development Agreement shall control and take precedence.

Condition of Approval No. 51. - Time Limits
A. Use inauguration: The approval decision for this CCP becomes effective upon the expiration of the 15-day appeal period following the approval decision, or when any appeals of the decision are finally resolved. Once the approval decision becomes effective, the Permittee must obtain a Zoning Clearance for Use Inauguration in order to initiate the land uses set forth herein. i. This CCP shall expire and become null and void if the Permittee fails to obtain a Zoning Clearance for use inauguration within 90 days – from the date the approval decision of this CCP becomes effective.

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The City Manager may grant an extension of time to the Permittee in order to obtain the Zoning Clearance for use inauguration if the Permittee can demonstrate to the satisfaction of the City Manager that the Permittee has made a diligent effort to implement the Project, and the Permittee has requested the time extension in writing at least 30 days prior to 90-day expiration date.
ii. Within 90 days of the permit effective date, the Permittee must complete construction of Phase I, as indicated on the approved Final Floor plan and obtain a Temporary Certificate of Occupancy from the City Building Department. The City Manager may grant an extension of time to the Permittee to obtain the Zoning Clearance for use inauguration if the Permittee can demonstrate to the satisfaction of the City Manager that the Permittee has made a diligent effort to implement the Project
iii. Within 180 of the permit effective date, the Permittee must complete all Tenant Improvements and construction as indicated on the approved Final Floor Plan and obtain a Certificate of Occupancy from the City Building Department. The City Manager may grant an extension of time to the Permittee to obtain the Zoning Clearance for construction if the Permittee can demonstrate to the satisfaction of the City Manager that the Permittee has made a diligent effort to implement the Project.
iv. Prior to the issuance of the Zoning Clearance for construction or use inauguration, all fees and charges billed to that date by the City, as well as any fines, penalties, and sureties, must be paid in full. After issuance of the Zoning Clearance for Use Inauguration, any final billed processing fees must be paid within 30 days of the billing date or the City may revoke this CCP.

B. Permit Life or Operations Period: This CCP will expire on September 17, 2028. However, the Development Agreement contains terms and conditions for extending o operations for an additional 10 years. The lack of additional notification of the expiration date provided by the City to the Permittee shall not constitute grounds to continue the uses that are authorized by this CCP after the CCP expiration date. The uses authorized by this CCP may continue after the CCP expiration date if:
(1) The Permittee has filed a permit modification application 90 day prior to September 17, 2028; and

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(2) The City decision-maker grants the requested modification.

The uses authorized by this CCP may continue during processing of a timely-filed modification application, at the City Managers sole discretion.

In the event of any actual and direct conflict between these Conditions of Approval and the terms of the approved Development Agreement, the terms of the Development Agreement shall control and take precedence. [end of conditions]

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ATTACHMENT 4

ADMINISTRATIVE OF

HEARING OFFICER

DECISION

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Administrative Record
Review Hearing
12/19/22
420 Realty, LLC
DA18-002C

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INDEX
Description Page
Notice of Default Review Hearing 2
Proof of Service 4
City of Cudahy, Compliance Hearing Staff Report 5
Affidavit of Custodian of Records 11
Attachment 1 – Ordinance No. 696 12
Attachment 2 - Development Agreement No. 18-002C 18
Attachment 3 – CCP18-0002 Conditions of Approval – Exhibit F 120 Attachment 4 – Letter dated May 4, 2021 147
Attachment 5 – Letter dated October 19, 2021 149
Attachment 6 – Certificate of Cancellation 153
Attachment 7 – Judgment for Possession and Money Damages 154 Administrative Record
Review Hearing, 420 Realty LLC
No. DA18-002C
1

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Administrative Record
Review Hearing, 420 Realty LLC
No. DA18-002C
2

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Administrative Record
Review Hearing, 420 Realty LLC
No. DA18-002C
3

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Administrative Record
Review Hearing, 420 Realty LLC
No. DA18-002C
4

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CITY OF CUDAHY

COMPLIANCE HEARING STAFF REPORT
TO: Elios Palacios, Hearing Officer
FROM: Glenn Ward Calsada, Special Counsel
BY: Louis Morales, Cannabis Consultant
SUBJECT: 420 Realty, LLC., Lupe Santana, Representative DA18-002C
SITE: 4311 Santa Ana Street, Cudahy, CA
MEETING DATE: TO BE SET BY HEARING OFFICER
PURPOSE:

To conduct a hearing with the City’s hearing officer and representatives of 420 Realty, LLC (the “Operator”) to determine if the Operator is in compliance with terms and conditions of Cannabis Development Agreement (“DA”) DA18-002C entered into by and between the City and the Operator for a Site located at 4311 Santa Ana Street and to make a recommendation to the City Council whether or not to repeal Ordinance No. 696 and terminate the DA..

At the hearing, the City will present evidence that the Operator is not in compliance with its contractual obligations in the DA or Conditions of Approval for Commercial Cannabis Permit No. CCP18-0002 for the Site.

RECOMMENDATION:

Staff recommends that the Hearing Officer:

1. Hear the evidence presented by the staff

2. Make a determination that Operator is not in compliance with the terms and conditions of its DA with the City and find that the Operator in default of contractual obligations set forth in the DA and Conditions of Approval for CCP18- 0002.

3. Make a recommendation to the City Manager and the City Council whether or not to adopt of an ordinance repealing Ordinance No. 696 and terminating Development Agreement No. 18-002C and revoking CCP18-0002.

BACKGROUND:

On September 11, 2017 the City adopted Ordinance No 673 establishing the City of Cudahy Cannabis regulations which added Chapter 5.20 to the Cudahy Municipal Code Administrative Record
Review Hearing, 420 Realty LLC
No. DA18-002C
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(“CMC”) CMC Section 5.20.040 authorizes medicinal commercial cannabis activities within a designated overlay zone/permit area and pursuant to development agreement adopted in accordance with the Development Agreement Law (Govt. Code Section 65864 et seq.) and Chapter 20.28 of the CMC.

The City Manager or his designee may suspend or revoke a cannabis permit if he or she determines the permittee has failed to comply with any conditions or approval or any agreement or covenant with the City. CMC Sec. 5.20.080(6)(a).

Ordinance No. 673 established a process by which a Cannabis Permit and a related development agreement could be approved and amended depending on the requested change(s). The purpose and intent of Ordinance 673 is to regulate cannabis activities within the City in a responsible manner to protect the health, safety, and welfare of the residents of the City and to enforce rules and regulations consistent with California’s Cannabis laws.

Cannabis Operators with development agreements are obligated to comply with all provisions of Ordinance No. 673. The terms of their respective development agreements and applicable conditions of approval include, but are limited to, building development and improvements, operations and compliance with all state and local ordinances. This report demonstrates that the Operator has also failed to comply with its legal and financial obligations to the City of Cudahy despite being provided with ample notices and opportunities to achieve compliance.

In 2018, the City approved 21 development agreements. 420 Realty, LLC, (DA18-002C) which is among in the 21 development agreements originally approved by the City, is not in compliance with its contractual obligations as shown below.

ANALYSIS:
420 Realty, LLC
On November 6, 2018, the City approved the first reading of Ordinance No. 696 approving DA 18-002C. The second reading of the Ordinance was approved on November 20, 2018 with an Effective Date of December 9, 2018. By approving Development Agreement No. DA18-002C, 420 Realty, LLC was allowed to eventually conduct cannabis cultivation, manufacturing, distribution, and non-store front delivery at 4311 Santa Ana Street, provided, among other things, it received State licensing approval and a Certificate of Occupancy for the Site.

On November 26, 2018, Lupe Santana, Managing Member of 420 Realty, LLC executed Development Agreement No. 18-002C. Prior to approval of the DA, the Operator disclosed to the City that High Hampton Holdings Corp., a Canadian Corporation (“High Hampton”) purchased all the membership interests of 420 Realty, LLC. The City’s consent to this transfer of shares is reflected on pages 34-35 of the DA. Despite the transfer to High Hampton, Lupe Santana was identified by the Operator as the authorized agent for 420 Realty, LLC. See pages 36 and 41 of the DA.

Administrative Record
Review Hearing, 420 Realty LLC
No. DA18-002C
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I. Breach of Payment Obligations – DA Art. 5.b [Community Benefit Fees]; Art. 7.c [Operating Fees]; Art. 8 [Cost Recovery Fees]
The DA provides that 420 Realty, LLC must pay the City an annual community benefit fee in the amount of $66,666.00 ($13,333.40 down payment and monthly payments in the amount of $5,333.36), a cost recovery fee, and an operating fee each year since 2018. See DA Art. 5.b., Art. 7.c and Art. 8. However, the Operator has not made any payments. Additionally, 420 Realty, LLC has failed to pay the entire Community Benefits fees, cost recovery fees and operating fees for 2019, 2020, and 2022 totaling $174,384.82 as of June 17, 2021. The past due payments continue to accumulate.

On May 4, 2021, the City sent 420 Realty, LLC a first default notice pursuant to Section 14 Default and Remedies of the development agreement. The letter stated an outstanding balance through March 18, 2021, in the amount of $146,082.74. The Operator, 420 Realty, LLC did not response and failed to cure the default.

On October __, 2021, the City sent 420 Realty, LLC and second and final notice of default with a balance at that time of $174,384.82 through June 17, 2021. The Operator, 420 Realty, LLC also did not respond and failed to make any attempt to cure the default. Payments continue to accumulate. The Finance Director will provide a total of amounts now due at the time of hearing on this matter.

Staff recommends that the Hearing Officer make the following findings in support of finding 420 Realty, LLC to be in default pursuant to Section 14 of the development agreement with a recommendation to the City Council to repeal Ordinance No. 696 thereby revoking Development Agreement No. 18-002C:

Finding 1: 420 Realty, LLC breached the terms of Development Agreement No. 18-002C by failing to make payments to the City of Cudahy that are required pursuant to the terms of Development Agreement No. 18-002C.

Evidence:

On November 20, 2018, 420 Realty, LLC executed Development Agreement No. 18-002C, which is a legally binding contract between 420 Realty, LLC and the City of Cudahy. Development Agreement No. 18-002C was subsequently recorded with the County of Los Angeles Registrar Recorders office.

Development Agreement No. 18-002C includes various payment obligations to the City of Cudahy. Sections 5 through Section 9 of the development agreement outlines minimum annual amounts 420 Realty, LLC must pay to the City of Cudahy in furtherance of the Community Benefit Program and related fees.

Pursuant to Sections 5 through 9 of Development Agreement No. 18-002C, 420 Realty is legally obligated to pay the City of Cudahy $66,666.00 in annual Community Benefit fees. 420 Realty has failed to pay the entire commitment of Community Benefits for years 2019 through 2022.

Finding 2: 420 Realty, LLC, failed to comply with Conditions of Approval No. 1(a) and (b), which required 420 Realty, LLC to pay all City issued invoices within 30 days of receipt thereof
Administrative Record
Review Hearing, 420 Realty LLC
No. DA18-002C
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Evidence:

The City approved Development Agreement No. 18-002C subject to Conditions of Approval, which are incorporated as part of Development Agreement No. 18- 002C as Exhibit F Condition of Approval 1(b) provides that the 420 Realty, LLC is required to pay all City issued invoices within 30 days of receipt thereof. As outlined in the report, the current outstanding fees owed by 420 Realty, LLC have been owed to the City for longer than 30 days.

Finding 3: Pursuant to Condition of Approval No. 45, 420 Realty, LLC’s failure to pay all fees constitutes a breach of Development Agreement No. 18-002C Evidence:

To date, 420 Realty, LLC has failed to pay in excess of $174,384.82 that are required pursuant to the terms of Development Agreement No. 18-002C.

Condition of Approval No. 45 provides the following:
“Operator(s) must pay all required DA fees in accordance with DA terms.

Failure to pay fees, as assessed by the City Manager, will constitute a breach of the DA and may result in suspension or immediate revocation of the DA.”
Accordingly, 420 Realty, LLC is in breach of its payments obligation under DA No. 18-002C.

II. Non-Compliance with State Law – DA Art. 4.a.

In DA Art. 4.a [Facility Operations], the DA sets forth standard operating procedures. At all times, the operator must be a lawful entity capable of operating in accordance with a state issued cannabis license.

Finding 4: The Operator is unable to lawfully operate a cannabis facility within the City and is therefore in breach of DA Art. 4.a.

Evidence:

The City has learned that 420 Realty, LLC’s legal status as a California limited liability company has been terminated. See “LLC Termination – Certificate of Cancellation” filed with the Secretary of State of California on August 31, 2020. The Cancellation Statement states: “Upon the effective date of this Certificate of Cancellation, the Limited Liability Company’s registration is cancelled and its powers, rights and privileges will cease in California.”
III. Loss of Site Control for more than 90 days – DA Art. 2 Administrative Record
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In DA Art. 2 [Term], the DA provides that the agreement shall remain in full force and effect so long as the subject property is used as a commercial cannabis facility and is not abandoned for a period of more than ninety (90) days.

Finding 5: The Operator is unable to lawfully operate a commercial cannabis facility at the Site.

Evidence:

The City has learned that on June 28, 2021, the Landlord for the Site 4311-4315 Santa Ana Street, Cudahy, CA 90201 was awarded a judgment for possession and money damages of $192,026.32. See Unlawful Detainer Complaint and Judgment. The City has confirmed that the operator has been out of possession since at least June 2021 in violation of DA Art. 2.

IV. Breach of Conditions of Approval for CCP 18-0002 (Condition No. 51 – Time Limits)
CCP Condition No. 51.A. states: the approval decision for this CCP becomes effective upon the expiration of the 15-day appeal period following the approval decision, or when any appeals of the decision are finally resolved. The CCP effective date for the Development Agreement was December 9, 2018. No appeal was ever filed.

CCP Condition No. 51.A.I sets a 90-day time limit from the effective date of the CCP for the Permittee to obtain a Zoning Clearance.

CCP Condition No. 51A.II sets a 90-day time limit from the effective date of the CCP for the Permittee to complete construction of Phase I.

CCP Condition No. 51A.III sets a 180-day time limit from the effective date of the CCP for the Permittee to complete all Tenant Improvements and construction and to obtain a Certificate of Occupancy from the City Building Department.

The City Manager may grant an extension of time if the Permittee has made a diligent effort to implement the Project.

Finding 6: The Operator breached conditions of approval for CCP 18-0002 by failing to implement the Project within the time limits set forth in Conditions of Approval No. 51.

Evidence:

The Operator has not provided the City with any evidence it has obtained a Zoning Clearance, completed construction of Phase I, completed all Tenants Improvements or obtained a Certificate of Occupancy for the Site within the time limits set forth in Condition of Approval No. 51. Without an extension, the deadlines expired in 2019. The City has no record of any request by Operator for an extension of time by the City Manager. The City’s records do not show that the City Manager has ever granted such extensions. There is no evidence the Operator has implemented the Project in any fashion.

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CEQA COMPLANCE AND CATEGORICAL EXEMPTIONS:

City staff expects that the repeal of Ordinance No. 696 will be found to be exempt from environmental review pursuant to Sec. 15321 [Class 21, “Enforcement Actions by Regulatory Agencies] of the Guidelines of the California Environmental Quality Act.

CONCLUSION:

Staff recommends that the Hearing Officer – after independent review, consideration, analysis of staff’s report and the information presented, oral and written testimony by all parties and their witnesses, and the record as a whole – make a determination the Operator, 420 Realty, LLC, has breached the terms and conditions DA No. 18-002C and recommend that the City Council repeal Ordinance No. 696_ and terminate DA18- 002C and revoke CCP No. 18-0002 as specifically outlined in the Recommendation section on page one of this report.

Attachments:

1. Ordinance No. 696

2. Development Agreement No. 18-002C

3. CCP18-0002 Conditions of Approval – Exhibit F

4. Letter dated May 4, 2021

5. Letter dated October 19, 2021

6. Certificate of Cancellation

7. Judgment for Possession and Money Damages
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No. DA18-002C
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Attachments

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ORDINANCE NO. 696

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
CUDAHY, CALIFORNIA, APPROVING: (1) A DEVELOPMENT
AGREEMENT BY AND BETWEEN THE CITY OF CUDAHY AND 420

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NOW THEREFORFE, THE CITY COUNCIL OF THE CITY OF CUDAHY
DOES ORDAIN AS FOLLOWS:

SECTION 1. RECITALS
That the above Recitals are true and correct and are incorporated as though fully set forth herein.

SECTON 4. SEVERABILITY
That the City Council declares that, should any provision, section, paragraph, sentence or word of this Ordinance be rendered or declared invalid by any final court action in a court of l
j
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No. DA18-002C
13 Page 338 of 1183
Ordinance 1'1o. 696

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SECTION 5. EFFECTIVE DATE OF ORDINANCE
That this Ordinance shall take effect thirty (30) days after its second reading by the City Council.

SECTION 6. EXECUTION OF DEVELOPMENT AGREEMENT
The Development Agreement shall not be executed by the City until on or after the effective date of the Ordinance.

SECTION 8. CERTIFICATION
That the City Clerk shall certify to the passage of this Ordinance and shall cause the same to be published, in full or in summary format, according to law.

PASSED, APPROVED AND ADOPTED by the City Council of the City of Cudahy at the regular meeting of this 20th day of November, 2018.

ATTEST:

Richard Igle .

Deputy City
-
3 Chris Garcia
Mayor
Administrative Record
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Ordinance 1\J"o. 696

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STATE OF CALIFORNIA

COUNTY OF LOS ANGELES

CITY OF CUDAHY
)
)
)

CERTIFICATION
SS:

AYES: Gonzalez, Markovich, Hernandez, and Garcia
NOES: None
ABSTAIN: None
ABSENT: Sanchez
"
Richard Igle
Deputy City
4 Administrative Record
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No. DA18-002C
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Ordinance No. 696

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EXHIBIT "A"

DEVELOPMENT AGREEMENT

BY AND BETWEEN

THE CITY OF CUDAHY
AND 420 REALTY, LLC

A CALIFORNIA LIMITED LIABILITY COMPANY

SEE ATTACHMENT
5 Administrative Record
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No. DA18-002C
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l
Administrative Record
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No. DA18-002C
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RECORDING REQUESTED BY
City of Cudahy
AND WHEN RECORDED MAIL TO:

City of Cudahy
5220 Santa Ana Street
Cudahy, CA 90201
Attention: City Manager
------------------------------------------------------------------ ------------------------------------------------------------------ SPACE ABOVE THIS LINE FOR RECORDER'S USE Recording Fee Exempt per Government Code §61 03

COMMERCIAL CANNABIS

DEVELOPMENT AGREEMENT

BETWEEN THE CITY OF CUDAHY AND
420 REALTY, LLC
THIS DEVELOPMENT AGREEMENT (this "Agreement") is made and entered into thislofh day of "'weahl('" , 2018, (the "Execution Date"), by and between the CITY OF CUDAHY, a California municipal corporation ("City") and 420 REAL TV, LLC a California limited liability company ("Owner"). City and Owner are sometimes referenced together herein as the "Parties." In instances when a provision hereof applies to each of the Parties individually, either may be referenced as a "Party." The Parties hereby jointly render the following statement as to the background facts and circumstances underlying this Agreement.

RECITALS
A. The State of California enacted California Government Code Sections 65864 et seq. ("Development Agreement Statutes") to authorize municipalities to enter into development agreements with those having an interest in real property to strengthen the public planning process, encourage private participation in comprehensive planning, and reduce the economic risk of development in connection with the development of real property within their jurisdiction.

B. The purpose of the Development Agreement Statutes is to authorize municipalities, in their discretion, to establish certain development rights in real property for a period of years regardless of intervening changes in land use regulations, to vest certain rights in the Owner, and to meet certain public purposes of the local government.
420 REALTY, LLC
DA# 18-002C

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C. As authorized by the Development Agreement Statutes, the City has adopted Municipal Code Chapter 20.28 (Development Agreements) establishing the procedures and requirements for the consideration of development agreements with the City.

D. Owner currently holds a legal or equitable interest in real property considered in this Agreement which has a development area approximately 13,000 square feet located at 4311 Santa Ana Street, City of Cudahy, State of California (the "Site"). The Site includes Assessor's Parcel Number: 6224-008-012, and is more fully described in Exhibit A and shown on the map in Exhibit B. Both exhibits being attached hereto and incorporated herein by this reference. Note: On September 12, 2018, the City of Cudahy recorded a Certificate of Compliance for Lot Line Adjustment No. 2018- 001 adjusting the property line(s) of the parcels described therein. This document was recorded as Instrument No. 20180936146 and is incorporated herein by this reference as though fully set forth herein.

E. Presently, Owner has a leased interest in a portion of the Site for the purpose of medicinal cannabis related activities which shall include, but not be limited to, facilities where cannabis is planted, grown, harvested, dried, cured, graded, trimmed, extracted, manufactured into cannabis products, distributed, or transported and sold not as a store-front retail dispensary, or that does all or any combination of those activities ("Medicinal Cannabis"). Such Medicinal Cannabis facilities shall operate in accordance with all applicable provisions of Business and Professions Code §§26000-26231.2; California Health and Safety Code Safety Code §§ 11357 -11362.9 and 11362.7- 11362.85; Revenue and Taxation Code §§ 34010-34021.5; Vehicle Code §§ 2429.7 and 23222; Water Code §§ 1831, 1847, and 13276; and the City of Cudahy Municipal Code as it applies to such facilities (collectively the "California Cannabis Laws"). Prior to operating a medicinal cannabis cultivation facility, Owner shall be required to obtain a Medicinal Commercial Cannabis Permit from the City pursuant to City Ordinance No. 673.

F. Ultimately, Owner intends upon obtaining a state license issued, pursuant to California Cannabis Laws, to operate a medicinal commercial cannabis or adult use facility at the Site. The definition of "Owner" hereunder shall mean and refer to the fee simple owner and/or any authorized tenant of the Site to the extent such party holds or is covered by a Regulatory Permit. In the event the City of Cudahy permits adult use cannabis commercial activity, Owner shall receive priority processing for any corresponding City permits for the same to the extent authorized by law.

G. On January 4, 2018 Owner applied to this City for a Medicinal· Cannabis Cultivation Permit, Cannabis Manufacturing Permit and Cannabis Distribution Permit, Medicinal Cannabis Retail Delivery Permit (hereinafter "Regulatory Permit") 420 REALTY, LLC Page 2 of 43
DA# 18-002C
City of Cudahy
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to conduct Medicinal Commercial Cannabis Activities. No such activities are permitted without a Development Agreement within or outside the boundaries set forth in the Overlay Zone/Permit Area illustrated in Exhibit "A" to City Ordinance No. 673.

H. Owner presently intends to develop and open a medicinal marijuana facility on the Site consistent with the California Cannabis Laws and Project Approvals (known as the "Project"). The Project will include planting, growing, cultivating, harvesting, processing, drying, trimming, extracting, manufacturing, distribution and delivery of products of medicinal cannabis of the same only to other legally permitted persons and entities under the California Cannabis Laws ("licensed persons"), who operate retail dispensary outlets or other licensed facilities under the California Cannabis Laws, but would not include the dispensing or sale of Cannabis Products at the Project Site without further authorization by the City.

I. The proposed Project includes a Commercial Cannabis Permit, which is a type of conditional use permit, to allow for a Commercial Cannabis Facility and a Development Agreement (DA) for commercial cannabis activities including, manufacturing, cultivation, distribution, and delivery within an existing, currently vacant, approximately 13,000 square foot industrial building. The site is currently developed with one commercial building. The proposed project wi" be built in one phase. More specifically, the proposed project would include:
• Cultivation: The cultivation area includes six rooms. Room one is 260 square feet and room two is 1153 square feet, in which each room will house flowering.

Room three is 1008 square feet, and room four is 1460 square feet used for Mother Plants/ Clones/ Veg. These four areas will be in racks with LED lighting to maximize canopy space for Cultivation/Nursery. Room five is 889 square feet used as the Drying and Trimming room. Finally, room six is 128 square feet for fertigation room. The total cultivation rooms cover 4,898 square feet. • Manufacturing: The manufacturing area is composed of 873 square feet. Within the total area there will be a prefabricated Class1/Division1 extraction booth and varies equipment for extraction for type 7 non-volatile and volatile manufacturing license that will be stored in compliance with state and fire regulations. Within the manufacturing area there is a dedicated vault and packing and labeling room comprised of 848 square feet. There is also a commercial kitchen component to manufacture edibles that is 885 square feet. The total manufacturing area is 2,606 square feet.
• Distribution: The distribution activities will occur with an area comprised of a 632 square foot room. The total distribution area is 632 square feet. 420 REALTY, LLC
DA# 18-002C

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• Delivery: The dedicated space for deliveries is 716 square feet. Control Access will be for delivery personnel only. Hours of operation and delivery protocol will be in line with state guidelines.

General Business Offices: The facilities office hours will be from 7 a.m. to 7 p.m., 7 days a week and facility internal operations will be 24 hours, with approximately twelve (12) employees per shift.

Parking/Loading/Access: The proposed project provides 8 parking spaces, including 1 accessible van spaces. Loading will take place on-site. Vehicular access to the site will be through an existing driveway on Santa Ana Street. Within the site, access to the structure will be through the secured front office entrance. The project complies with the CAL Green Tier 1 by incorporating stormwater pollution prevention measures, installing energy- and water-efficient equipment, and planting native and drought-tolerant landscaping at the front of the property.

Security: The project will secure the facility against unauthorized entry by installing security lights on the exterior of the building to illuminate the side yards and parking area, installing commercial-grade locks, installing an alarm and video surveillance system, establishing procedures for identifying authorized persons, establish inventory controls, and install a secure surveillance vault to maintain the integrity of records. In addition, the applicant will engage a licensed security company to provide an operational security plan in compliance with Ordinance 673.

The Project will consist of a vertically integrated MAUCRSA compliant cannabis facility that will provide several levels of cannabis production, processing, and distribution.

This includes:
1) Cultivation and processing of young and mature cannabis plants. 2) Research and development of cannabis plants and strains. 3) Manufacturing of cannabis and its derivatives through volatile and non-volatile extraction.
4) Manufacturing of cannabis food products.
5) Packaging and storage of cannabis products.
6) Distribution and retail delivery of cannabis products [X] Co-location, check if applicable:

Note MAUCRSA now authorizes a person to apply for and be issued more than one State license at one location provided the licenses premises are separate and distinct. See also, Cudahy Municipal Code Section S.20.0S0(b)(2). 420 REALTY, LLC Page 4 of 43
DA# 18-002C
City of Cudahy
Development Agreement
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Owner has applied for [four] licenses:
1) Cultivation
2) Manufacturing
3) Distribution
4) Delivery
Please see Section 3 of this Development Agreement for details for separate and distinct locations of each operation within the Premises.

J. On September 11, 2017, the City adopted Ordinance No. 673 permitting Certain Medicinal Commercial Cannabis Activities in strict compliance with the California Cannabis Laws under specified conditions and provisions. A referendum petition was circulated for signatures; however, on November 1, 2017, the County Clerk for the County of Los Angeles determined that the referendum lacked sufficient signatures to delay the effective date of Ordinance No. 673. The City has recently been presented with a citizen initiative to repeal Ordinance 673 and ban all marijuana uses in all zones.

Applicant is advised to consult with legal counsel on this matter.

K. All procedures of the California Environmental Quality Act ("CEQA"), California Public Resources Code §21000 et seq., and the CEQA guidelines, title 14 of the California Code of Regulations, chapter 3, §15000 et seq. have been satisfied.

L. The City has given public notice of its intention to adopt this Agreement and has conducted public hearings thereon pursuant to California Government Code §65867.

The City has found that the provisions of this Agreement and its purposes are consistent with the objectives, policies, general land uses and programs specified in City's General Plan, zoning code and municipal ordinances.

M. The City, in entering into this Agreement, acknowledges that certain City obligations hereby assumed shall survive beyond the terms of the present Council members, that this Agreement will serve to bind City and future Councils to the obligations hereby undertaken, and that this Agreement shall limit the future exercise of certain governmental and proprietary powers of City. By approving this Agreement, the Council has elected to exercise certain governmental powers at the time of entering into this Agreement rather than defer its actions to some undetermined future date. The terms and conditions of this Agreement have undergone extensive review by City and the Council and have been found to be fair, just and reasonable. City has concluded that the pursuit of the Project will serve the best interests of its citizens and that the public health, safety and welfare are best served by entering into this obligation. Owner has represented to City that it would not consider or engage in the Project absent City approving this Agreement.
420 REAL TV, LLC Page 5 of 43
DA# 18-002C
City of Cudahy
Development Agreement

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N. The City agrees that Owner's land use entitlements for the Project shall vest for the term of this Agreement as described below.

O. After conducting a duly noticed hear ing 0 n September 17, 2018, in conjunction with Section 20.28.030 of the City's Municipal Code, the Planning Commission of the City reviewed, considered and recommended disapproval of the execution of this Agreement and denial of a Commercial Cannabis Permit [CCP] for the Site Notwithstanding said disapproval and denial, the Owner made a timely request that the entire matter proceed to hearing before the City Council for independent consideration and de novo review on appeal.

P. After conducting a duly noticed hearing on N"1r.:t"",hLr b .~, in conjunction with Section 20.28.060 of the City's Municipal Code, and after independent consideration and de novo review on appeal, the City Council approved the execution of this Agreement and issuance of a CCP for the Site. The City Council found the Project: consistent with the objectives, policies, general land uses and programs specified in the general plan, as amended; compatible with the uses authorized in the Overlay Zone; in conformity with good land use practices; will not be detrimental to the hea Ith, safety and general welfare of the City; and is in the best interest of the City of Cudahy and its residents.

NOW, THEREFORE, in consideration of the mutual covenants and agreements contained herein, and other good and valuable consideration, the receipt and legal sufficiency of which are hereby acknowledged, the Parties do hereby agree as follows:

1. Government Code and Municipal Code Required Elements a. Description of Property. Land si tuated in the City of Cudahy, County of Los Angeles. State of California: whose street address is 4311 Santa Ana Street, City of Cudahy.
b. Owner and Other Person with Legal or Equitable Interest. 420 REAL TV, LLC
DA# 18-002C
Owner: 420 Realty, LLC
Nature of Interest: Lease for 10 years with Option to Buy or Renew for an additional 5 years.

If Owner is not the fee simple owner of the Site, check box below:

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{xl Owner represents and warrants that the property owner has consented in writing to the execution and recordation of this Agreement against the Site. See attached Landlord Consent agreement, incorporated herein by this reference (Exhibit C).
c. Permitted Uses. The subject property may be used for any medicinal commercial cannabis facility as presently authorized under Sections 5.20.100 [Medicinal Cannabis Cultivation]; 5.20.110 [Medicinal Cannabis Products Manufacturing]; 5.20.120 [Medicinal Cannabis Products Retail Delivery],

5.20.130 [Medicinal Cannabis Products Distribution] of the municipal code, and for any other use as authorized under applicable provisions of the municipal code.
d. Zoning. Owner shall guarantee that such activities outlined in Owner's Medicinal Commercial Cannabis Permit Application ("Application") conducted pursuant to this Agreement and under the Regulatory Permit shall comply with the City's municipal code, including the zoning ordinance and any and all development and construction requirements contained therein. Owner shall not conduct any business under this Agreement or under the Regulatory Permit without having obta.ined all necessary permits, licenses, and approvals from the City and State of California.
e. Reservation or Dedication of Land for Public Purposes. Sufficient roadway, sidewalk, and utility easements shall be reserved or dedicated to City for such purposes.

2. Term
This Agreement shall commence on the Effective Date and it shall end ten (10) years from the starting date, and it shall remain in full force and effect so long as the subject property is used for a commercial cannabis facility as authorized under Sections 5.20.100, 5.20.110, 5.20.120 & 5.30.130 of the municipal code (as amended); provided, however, such use is not abandoned for a period of more than ninety (90) days.

This Agreement SHALL be extended for one (1) additional five (5) year period following the expiration of the initial ten (10) year term upon the occurrence of all of the following:
420 REALTY, LLC
DA# 18-002C
(i) The Owner shall give written notice to the City no later than one hundred twenty (120) days before the expiration of the initial ten

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(10) year term that the Owner desires to extend this Agreement for an additional five (5) year period;
(ii) The Owner shows adequate evidence to the City that it has a legal and/or equitable interest in the Property and/or will have such interests for the duration of the extended term of the Agreement; (iii) The Owner shall deposit all fees required by the City necessary for processing the extension request and drafting necessary documentation;
(iv) The Owner shall not be in default of any provIsion of any agreement between City and Owner relative to the development of the Property or of any condition of approval imposed upon any entitlement granted by the City relative to the development of the Property for which Owner has been given a written notice to cure by the City and for which Owner has not cured or commenced to cure such default within thirty (30) days, if and as provided by such agreement or condition of approval.

3. Owner's Site and Floor Plans
a. Owner's site plan and floor plan for the facility are attached hereto as Exhibit D and incorporated into the Application.
b. A preliminary landscape plan shall be prepared and reviewed and approved by the City Manager and/or Community Development Manager. A final landscape plan shall be prepared and submitted in conjunction with building and site improvement plans prior to issuance of building permits for construction activities.
c. An exterior signage plan shall be prepared and reviewed and approved by the City Manager and/or Community Development Manager in accordance with the procedures and requirements of Section S.20.0S0(d) of the municipal code.

4. Facility Operations
a. Standard Operating Procedures. Owner is a lawful entity that will only sell to other legally permitted persons and entities under the California Cannabis Laws. Prior to operating a medical marijuana cultivation, manufacturing, distribution, or delivery facility, Owner shall be required to obtain a Cannabis Permit from the City pursuant to City Ordinance No. 673. Further, and 420 REALTY, LLC Page 8 of43
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notwithstanding anything to the contrary, Owner may operate such medicinal cannabis-related activities as permitted in accordance with California state law, as may be amended, including without limitation, as long as such activity is not inconsistent with the Cudahy Municipal Code.

During the term of its regulatory Permit and the term of this Agreement, Owner shall lawfully operate in accordance with all state and local laws. Owner shall employ exemplary operating procedures to comply with state and local laws.

Owner's facility shall employ safety and security measures for the safety and security of its employees, visitors, vendors, and neighboring communities and properties.

Owner shall fully comply with the minimum Business Standards regulating Medicinal Commercial Cannabis Activity set forth in new Section 5.20.050 of the Cudahy Municipal Code and such more specific operational requirements set forth in Exhibit E, "Business Standards", attached hereto. b. Security Plan. Owner shall secure approval of its proposed security plan by the Los Angeles County Sheriff or the City prior to operating. The security plan shall include, at a minimum and as appropriate, provisions for video surveillance, perimeter fencing and security, protection of the building(s) from vehicle intrusion, cash handling procedures, internal accounting controls, product handling and storage procedures, and a professionally monitored alarm system.

Equipment and systems used for video surveillance and building alarms shall be approved by City. See Cudahy Municipal Code Section 5.20.050(r) for minimum security requirements.

Video surveillance shall include, at a minimum, all site and facility entrances and access points, all spaces accessible by the public, all secured areas of the facility with restricted access, all interior spaces and rooms where medicinal cannabis products are handled and processed, shipping and receiving areas, cash storage areas, and other areas necessary to protect the safety of employees and the public and to ensure medical marijuana products are received, handled, stored, packaged, shipped, and distributed in compliance with applicable state and local laws and regulations. The video surveillance system shall be web-based with direct access provided to the Los Angeles County Sheriff upon request.

The security system shall also include sensors to detect entry and exit from all secure areas, panic buttons in appropriate locations, and a profeSSionally monitored alarm system with glass breakage sensors and motion detectors. 420 REALTY, LLC Page 9 of 43
DA# 18-002C
City of Cudahy
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Owner shall employ properly trained and licensed third-party security personnel to protect the welfare and safety of Owner and employees, and to ensure public safety to the neighboring community. Owner shall use security personnel 24 hours, 7 days a week. Security personnel may be armed so long as proper licensing and insurance requirements are followed and met by the third-party operator providing such security services.
c. Fire Department Approval. Owner shall not operate any facility, and no permit, license, or other approval issued by City shall be valid unless and until the Los Angeles County Fire Department has approved Owner's site plan, floor plan, safety plan, and any other plans that require its approval. d. Possession of Firearms. Except for licensed and bonded security personnel, no person employed by Owner shall be in possession of any firearm while on the premises or location without having first obtained a license from the appropriate state or local agency authorizing the person to be in possession of such firearm. Every such person in possession of a firearm while on the premises or location must provide the City Manager and the Los Angeles County Sheriff, ten days before bringing the firearm onto the premises, with the following:
1) A copy of the license issued to the person by the appropriate state or local agency authorizing him or her to possess such firearm; 2) A copy of his or her law enforcement identification (if he or she is employed by a law enforcement agency);
3) A copy of his or her California driver's license or California identification card; and
4) Any other information reasonably required by the Los Angeles County Sheriff to show that the individual is in compliance with the provisions of all laws regarding the possession and use of a firearm. e. Identification Display. Each owner, manager, employee, and individual member engaged in the cultivation, processing, manufacturing, distribution, or transporting of cannabis shall at all times while engaged in the duties of his or her position wear in plain sight, on his or her person and at chest level, a valid identification badge, issued by Owner.
f. Employee Background Checks/Procedures for Inventory Control to Prevent Non-Medical Diversion of Medical Cannabis. Only employees who receive clearance from the proper oversight authority shall be permitted to enter 420 REALTY, LLC Page 10 of43
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Owner's facility. Each employee will have to meet a criminal background investigation conducted by the Los Angeles County Sheriff, which at minimum shall include a LiveScan criminal history check, which City shall make a good faith effort to facilitate within a reasonable time following the issuance of a commercial cannabis permit{s) or license(s) to Owner.

Owner shall take all necessary and reasonable steps to prevent the distribution of any of its medicinal cannabis products to minors; prevent revenue from the sale or distribution of its medicinal cannabis and/or infused products from going to criminal enterprises, gangs and cartels; prevent the diversion of cannabis from California to any other state; prevent state-authorized cannabis activity from being used as a cover or pretext for the trafficking of other illegal drugs or other illegal activity; prevent violence and the use of firearms in the cultivation, manufacture, testing, delivery and distribution of cannabis; discourage and educate against drugged driving and the exacerbation of other adverse public health consequences associated with cannabis use; disavow growing cannabis on public lands that creates attendant public safety and environmental dangers posed by such illegal uses; and discourage and educate against cannabis possession or use on federal property.
g. Quality Control and Testing. Owner shall utilize quality control measures and testing to ensure only the highest quality of commercial cannabis and infused products will be produced. Owner shall inspect the product to insure its identity and quantity, and shall have a testing lab perform testing of random samples prior to distribution to its patient collective membership affiliates.

Inspection and testing will be conducted by a testing lab off-site. Testing standards and procedures shall be in accordance with applicable state law and regulations.

All medicinal commercial cannabis products will undergo a quality assurance review in accordance with state law prior to distribution. Inventory procedures will be utilized for tracking and taxing purposes by the state. Owner shall employ an efficient record-keeping system to make transparent its financing, testing, and adverse effect recording, as well as recall procedures. Owner shall employ an efficient record-keeping system that will reflect its financing, testing, and adverse effect recording and product recall procedures.
h. Packaging of Medicinal Commercial Cannabis and Infused Products. All Owner commercial cannabis products shall be packaged and labeled as required by California Cannabis Law and applicable requirements and regulations issued by the State of California pursuant thereto. In addition to those packaging and labeling requirements, and packaging and labeling requirements set forth in 420 REALTY, LLC Page 11 of43 City of Cudahy
Development Agreement
DA# 18-002C

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Owner's Regulatory Permit application, as amended or supplemented, all medicinal commercial cannabis products shall be packaged in an opaque childproof container which shall contain a label or be accompanied by a leaflet or inset that states, at a minimum:
1) The name, address and telephone number of the licensed medicinal commercial cannabis facility to which the medicinal commercial cannabis product is distributed, sold, or transferred;
2) The amount of medicinal commercial cannabis in the container; and 3) The date the medicinal commercial cannabis was transferred to a licensed commercial cannabis facility.

Owner intends to produce infused products and shall secure any approval from the County of Los Angeles Health Department required for manufacturing and handling such products. Owner infused products shall not be produced, manufactured, stored or packaged in private homes. All medicinal commercial cannabis infused products shall be individually wrapped at the original point of preparation.
i. Point of Sale Tracking System. Owner shall maintain an inventory control and reporting system that accurately documents the location of medicinal cannabis products from inception through distribution, including descriptions, weight, and quantity. The inventory control and reporting system shall comply with the track and trace program required by California Cannabis Law and regulations issued thereunder.

Owner shall employ a electronic point of donation/sale system approved by the State of California for all point of donations/sales tracking from seed or inception to product distribution to other licensed commercial cannabis facilities. Such approved system shall track all medicinal commercial cannabis products, each edible, harvested flower, and/or manufactured concentrate, as well as gross sales (by weight and sale). Owner's point of sale system shall have the capacity to produce historical transactional data in accordance with City's requirements.

J. Record Keeping. Owner shall maintain records for all medicinal commercial cannabis and/or infused products. Owner shall comply with all record-keeping responsibilities that are set forth in Municipal Code Sections

5.20.050(s), 5.20.110(e) & 5.20.120(n), including complete and up-to-date records regarding the amount of commercial cannabis cultivated, produced, 420 REALTY, LLC Page 12 of43
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manufactured, harvested, stored, tested, distributed, delivered or packaged at Owner's facility.
k. Processing, Handling, Storing, and Distribution of Medicinal Commercial Cannabis and Related Products. Medicinal commercial cannabis cultivation, handling, storing, and processing shall be concealed from public view at all stages of growth and processing, and there shall be no exterior evidence of cultivation or processing occurring at the premises from a public right-of-way or from an adjacent parcel. Commercial cannabis cultivation, handling, storing, processing, or distribution shall not create offensive odors; create excessive dust, heat, noise, smoke, traffic, or other impacts that are disturbing to people of normal sensitivity residing or present on adjacent or nearby property or areas open to the public; or be hazardous due to use or storage of materials, processes, products, or wastes.

Owner shall store its commercial cannabis and/or commercial cannabis products in a locked safe room with T-card identification access for management only. The safe room shall be constructed of fire-rate walls with numerous cameras installed to view all entries and exits from the safe room, as well as all other activities performed within Owner's facility. Owner will not conduct outdoor operations except as related to lawful delivery and transportation of medicinal commercial cannabis and infused products. Owner will not store medicinal commercial cannabis or related products in its delivery vehicle outside normal operating hours of the facility.

Medicinal commercial cannabis products shall be sold or distributed only to licensed dispensaries in California. Excess or contaminated product will be securely stored on-site until it is properly disposed. Disposal may include composting, incineration, land-fill disposal through the local waste management hauler, or other disposal methodology in accordance with state and county health and safety codes and regulations.

I. Odor Control. All structures shall have ventilation and filtration systems installed that prevent commercial cannabis plant odors from exiting the interior of the structure. The ventilation and filtration system shall be approved by the Building Official and installed prior to commencing cultivation or manufacturing within the allowable structure. Facility air intake, exhaust, and recirculating system shall be of industrial grade. Activated charcoal, recirculating, and closed loop aeration systems will be utilized as necessary for effective odor control and management.
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m. Description of Banking Plan. Owner shall seek to open a bank account under the name of Owner or its associated management company to provide transparency for funds received, operational costs, including payroll, tax payments to the state and federal governments. Should a bank account not be forthcoming, Owner shall implement other industry standard banking and/or other industry standard transactional mechanisms.
n. Transportation Plan. Owner shall comply with all state and local law regarding transportation, including the rules governing delivery service. Owner shall retain a list of names and cellular contact numbers for all employees engaged in transportation of commercial cannabis products and provide it to the applicable oversight authority, keeping the list current and up to date.

Owner will keep complete and up-to-date records documenting each transfer of commercial cannabis to other lawful cooperative corporations, including the amount provided, the form or product category in which the commercial cannabis was provided, the date and time provided, the name of the employee making the transfer, the name and address of the other lawful cooperative corporation to whom delivery is made, and the amount of any related donation or other monetary transaction.

5. Community Relations, Employment. and Wages
a. Public Outreach and Education Program. The Owner shall coordinate and cooperate with City and other Owners of medicinal commercial cannabis facilities located within City of Cudahy in the establishment and implementation of appropriate public outreach and education programs, including but not limited to outreach and interface with public and private schools, youth organizations, religious organizations, health care providers, drug abuse treatment providers and mental health and drug counseling providers. The public outreach and education programs shall be approved by City.
b. Community Benefits Program. The Owner shall coordinate and cooperate with the City and other Owners of medicinal commercial cannabis facilities located within the City of Cudahy in the establishment, implementation, and funding of a community benefits program which could include such items as capital improvements, new community recreation facilities, expansion and/or improvement to existing facilities or other physical improvements that provide a benefit to the community, support of holiday and special community events, and support of local public service, public safety, litigation defense and special districts and social and community organizations. This community benefits program may be implemented by the City. The City will invite public participation 420 REALTY, LLC Page 14 of 43
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in the decision-making process for identifying and prioritizing community needs and benefits, and identifying appropriate projects to be funded by the entity implementing this community benefits program. All projects under the community benefits program must be approved by the City, Owner agrees, as a business expense, to pay the City the yearly sum of $66,666.00. Unless initialed below by the City Manager, this yearly sum shall be deposited in full into a dedicated account set up by the City in order to create, fund and implement a City-approved community benefits program. f initialed here by the City Manager, Owner has been approved for the ollowing payment plan: Within thirty days of the Effective Date of this Agreement, the Owner shall deposit into the City's dedicated account, in good funds, twenty percent (20%) of the yearly sum of $66,666.00 [initial payment calculated at $13,333.40] and shall pay the balance thereof over a period of ten (10) months payable in equal monthly installments of $5,333.36 per month. Each monthly payment shall be due and payable on the 1 st day of each month and shall be deemed late on the 5th day of the month. The amount and schedule of payments may only be modified by the written consent of the City Manager at his sole and complete discretion.

Thereafter, on the anniversary date of the Effective Date of this Agreement, and yearly through-out the entire term of this Agreement and any extension thereof, Owner shall pay to the City, as a business expense, the yearly sum of $66,666.00, payable in the same manner as set forth above. c. Designation of Persons Responsible for Community Relations. At the time of this Agreement, Owner's day-to-day operations manager, Lupe Santana, will be responsible for community inquiries and complaints and on-site during normal business hours.
d. Interface with Los Angeles County Sheriff I Inspections. Owner's day-today operations manager, Lupe Santana, will interface with the Los Angeles County Sheriff Department's assigned designee to ensure its operation complies with state and local laws and regulations. The City Manager, or designee, or the Los Angeles County Sheriff's Department's assigned designee acting at the City Manager's request and per his specific and limiting instructions, shall have the right to enter all Premises from time to time unannounced during hours of operation for the purpose of making reasonable inspections to observe and enforce compliance with this Agreement and state and local laws and regulations, without the requirement of a search warrant, subpoena, or court order, and subject to appropriate cost recovery 420 REALTY, LLC Page 15 of43
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fees set forth in this Agreement, or adopted by the City. See, Cudahy Municipal Code Section 5.20.050(t).
d. ~. Owner's Initials
e. Local Recruitment, Hiring, and Training Programs. Owner is committed to making a good-faith effort to recruit, hire, and train City residents for employment by Owner. A good-faith effort means Owner shall take the following or similar actions to recruit and employ City residents: 1) Contact local recruitment sources to identify qualified individuals who are City residents, 2) Advertise for qualified City residents in trade papers and newspapers of general circulation in the area, and 3) Develop a written plan to recruit and employ City residents as a part of the its workforce. At a minimum, the Owner commits to a local annual hiring goal of 30% of total operational jobs for permanent and apprentice employees. This goal shall apply horizontally, across all departments and managerial positions. The Owner shall not be penalized or deemed in default under this Agreement if it is unable to achieve such a goal. "Local" is defined as within a 1-mile radius of the boundaries of the Overlay Zone. The Owner shall contact and work with a job referral agency assigned by the City Manager to implement a local hiring policy for permanent and apprentice employees. The purpose of the hiring policy is to facilitate the training and employment of local and disadvantaged job applicants for jobs with the Overlay Zone. Applicants for jobs shall not be disqualified from hiring solely on the basis of an arrest or conviction for a Cannabis-related crime that occurred prior to November 8, 2016, and could have been prosecuted as a misdemeanor or citation under current California law. The Owner shall report on compliance with the local hiring goals as part of its annual audit report. f. Living Wages. Living Wages. Owner shall pay all employees of the Facility, at a minimum, a Living Wage. A "Living Wage" is the higher of whatever the Owner currently pays its employees for similar work elsewhere or the following: the Full Cash Wage required to be paid by an employer to any individual under the City of Los Angeles Minimum Wage Ordinance [LAMC Sections 187 and 188], as adjusted annually.
g. Full-time Work. Owner shall make its best efforts to fill every position with a full-time employee. However, at no time shall Owner have a labor force that is composed of less than 50% full-time employees within its labor force, and Owner shall make a good faith effort to maintain a full-time employee level of 75%.

Owner agrees to provide to its eligible employees leave benefits, health and well ness benefits and other employee benefits to the extent such benefits are required to be paid for by Owner under applicable state and federal employment laws.
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6. Indemnification Agreement by each Cannabis Permittee Pursuant to Cudahy Municipal Code Section 5.20.070(g), the City Manager may require each Cannabis Permittee to execute a separate Indemnification Agreement prepared by the City that fully indemnifies the City for all liabilities associated with the Cannabis Permit, the Cannabis Permittee's Commercial Cannabis Activities, and any action taken by the Cannabis Permittee. The Indemnification Agreement shall include the defense of the City and reimbursement of all fees, costs and expenses incurred by the City related to any action arising from this Agreement.

7. Fees, Costs, and Future Taxes
a. Fees. Owner agrees to pay all permit fees and charges referenced in Section 5.20.070(f) of the municipal code, in the amounts adopted by the City Council by resolution, as well as any fees set forth in this Agreement. Permit application, processing, and renewal fees shall be due and payable at the time application is made.
b. Costs. As defined in Article 8, Owner agrees to reimburse City for all additional reasonable costs of City resulting from the operation of a medicinal commercial cannabis facility authorized under applicable provisions of the municipal code, council resolutions and administrative policies and regulations.

Reimbursement to City for such costs shall be due and payable as set forth in Article 8.
c. Operating Fees.

As used herein, "Premises" means the designated structure or structures and land specified in the application that is owned, leased, or otherwise held under the control of the Cannabis Permittee applicant or Cannabis Permittee where the Commercial Cannabis Activity will be or is conducted. The parties stipulate and agree that the square footage for the Premises upon the Effective Date of this Agreement is: 13,000 square feet. The City Manager is specifically authorized to set and adjust the square footage for the Premises and to determine the corresponding operating fee as the Project is expanded and completed.

As used herein, "Commercial Cannabis Activities" means all permitted activities: e.g., cultivation, possession, manufacture, processing, storing, 420 REALTY, LLC
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laboratory testing, packaging, labeling, transportation, delivery or distribution of Cannabis and/or Cannabis Products,.

As used herein, "Gross receipts" shall mean the total amount actually received or receivable in the course of business in a calendar year or calendar month from sales or the performance of acts or services for which charge is made or credit allowed. "Gross receipts" include, without limitation, all receipts, cash, credit, property received in lieu of cash, and any other valuable consideration taken in exchange for goods, services or other valuable consideration. See, Cudahy Municipal Code Section 5.04.030(9).

As used herein, "Production Space" means the area on or within the Premises intended for Commercial Cannabis Activities excluding non-operational common areas such as restrooms, cafeterias, break rooms, hallways, corridors, vestibules, parking structures or surface street lots. The parties stipulate and agree that the square footage for the Production Space shall be determined by the City Manager in his sole and complete discretion as the Project is expanded and completed.

At this time, the Parties estimate that the Production Space is expected to be set as follows:

Cultivation: 4,898 square feet
Manufacturing: 2,606 square feet
Distribution: 632 square feet
Delivery: 716 square feet
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 expanded and completed.

Owner 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 greater of the following monthly fees (1) or (2):
1) a monthly operating fee of [.42 x total square foot of the "Premises"] until Owner is operating on the Premises, and selling product under its City Regulatory Permit and State Regulatory Permit. Once Owner is operational and generating revenue, the monthly operating fee is [.42 x total square foot of "Production Space"];
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or,
2) a monthly operating fee(s) of:
2% of Gross Receipts for operations from the Cannabis
Cultivation Permit on the Premises; and
2% of Gross Receipts for operations from the Cannabis
Manufacturing Permit on the Premises; and
1 % of Gross Receipts for operations from the Cannabis Retail Delivery Permit on the Premises; and
1 % of Gross Receipts for operations from the Cannabis
Distribution Permit on the Premises. This discounted 1% Cannabis Distribution Permit fee shall apply only to the distribution of cannabis product for anyone other than the Owner.

Facilities with multiple licenses must not commingle respective sales proceeds, and blend percentage rate of Gross Receipts.
___ -+--+-_-" If initialed here by the City Manager, Operating Fees shall begin to crue ninety (90) days after the end of month of the Effective Date of this Agreement. Otherwise, Operating fees shall begin to accrue in the month of the Effective Date of this Agreement. The operating fee shall be due and payable on the 10th day of each calendar month through-out the term of this Agreement.

Failure to pay the fee within thirty (30) days after the due date shall result in a penalty for nonpayment in a sum equal to 25% of the total amount due.

Additional penalties will be assessed in the following manner: 10% shall be added to the first day of each calendar month following the month of the imposition of the 25% penalty if the fees remain unpaid in whole or in part - up to a maximum of 100% of the fee payable on the due date.
d. Owner understands and agrees that the fees set forth above shall be paid in a manner and in accordance with a payment schedule set or modified by City.

The cultivation, manufacturing, testing, distribution, and delivery space to which the fee applies is as identified on the attached floor plan. e. If Owner makes any changes to the interior layout of the facility that increases the amount of space allocated to those uses to which the per-squarefoot fee applies, Owner shall notify City of such changes at least fourteen (14) calendar days prior to making such changes, and the per-square-foot fee shall be modified accordingly. If Owner fails to give City notice as required herein, Owner 420 REALTY, LLC Page 19 of 43
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shall be responsible for paying to City a per-square-foot fee based on any increase in the amount of space allocated to those uses to which the per-squarefoot fee applies retroactive to the date the Regulatory Permit became effective.

8. Cost Recovery Fee
City shall assess to Owner fees to recover City's reasonable processing and monitoring costs relating to Owner's business upon issuance of Owner's Manufacturing, Cultivation, Testing, Delivery, and Distribution Permits or any Additional Permits (hereinafter "CRF"). CRFs are separate and apart from any operating fees set forth in Article 7.
a. Processing Fees. Processing fees for the Application are based upon the direct and indirect costs that City incurs in reviewing the Application. The processing fees for the Application shall be based only on costs that are necessary for processing the Application and implementing the Ordinance, including staff time, legal fees, and consultant fees. "Necessary for" means that but for the Application, the costs would not have been incurred. The processing fee shall not include costs for other City management objectives, unless they are necessary for processing the Application.
b. Monitoring Fees. Monitoring fees for the Manufacturing, Cultivation and Distribution Permits are based upon the direct and indirect costs City incurs in confirming the use of the Property in accordance with the municipal code, the Ordinance, this Agreement, and the Application. The monitoring fees shall be based only on costs that are necessary for conducting these reviews. "Necessary for" means that but for the Manufacturing, Distribution, Testing, Delivery and Cultivation Permits, or any Additional Permits, the costs would not have been incurred. The monitoring fee shall not include costs for other City management objectives, unless they are necessary for monitoring the permitted activities. c. Billing and Payment. The City may elect to bill the Owner the Initial CRF on the first day of the month following the Effective Date of this Agreement.

Thereafter, City shall bill Owner the CRF on the first day of each Quarter with an invoice providing the time spent by City and its representatives. Owner shall pay the CRF invoice within thirty (30) days of the date the bill for the CRF is received by Owner.
d. Disputes If Owner disagrees with the dollar amount provided by City on the CRF invoice, Owner may submit a written request before the disputed fee is due for a substitution of alternative CRF invoice to the City Manager. The written request must include supporting documentation. After review of Owner's written request, Owner and City shall work, in good faith to resolve Owner's written 420 REALTY, LLC Page 20 of 43
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9. request. The dispute shall be decided in favor of Owner if City does not respond to the written request within thirty (30) days of actual receipt.

Additional Owner Obligations
a. Reporting of Gross Receipts from Operations
1) Quarterly Receipts. No later than [For example, January 15, 2018], and every three months thereafter (i.e., April 15, July 15, October, and January 15 of each subsequent year), Owner shall deliver to City a report (the "Quarterly Report") showing (i) Gross Receipts from operations for the immediate prior three months received by Owner, and a cumulative total of all amounts of Gross Receipts from Operations received by Owner for the calendar year, (ii) a calculation of the quarterly payment due to City for the prior three months, and (iii) a calculation of the cumulative total of all quarterly payments for the calendar year.
2) Statement of Receipts/Annual Audit. The Owner shall keep complete, accurate and appropriate books and records of all receipts from operations in accordance with generally accepted accounting principles.

For purposes herein, "books and records" shall mean all bookkeeping or accounting documents Owner typically utilizes in managing its business operations relating to the Project. Such books and records, as well as all other relevant documents as the City Manager may reasonably require, shall, upon reasonable written notice, be open for inspection by City, its auditors or other authorized representatives. If at any time during the term such books and records prove inadequate in the reasonable judgment of City to record the Gross Receipts from Operations as herein required, Owner shall, upon the written request of the City, procure and maintain such books and records as shall be of a character and from adequate for such purpose. City shall have the right to audit and examine such books, records and documents and other relevant items in the possession of Owner, on no I.ess than an annual basis, or at any time upon reasonable request by the City, to the extent necessary for a proper determination of Gross Receipts from Operations, and all such books, records, documents and other items shall be held available for such audit and examination.

The City's audit shall be performed by a non-contingency fee independent auditor approved in advance by the City. Upon request by City, Owner shall make all such books, records and documents available to the City Manager, his designee, or to the City approved auditor, and provide removable copies thereof, within thirty (30) of the date of City's request.

Owner shall pay all costs of such audits. Owner shall preserve such 420 REAL TV, LLC
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books, records, documents, and other items in Cudahy for a period of not less than one (1) years for the purpose of auditing or re-auditing these accounts upon reasonable notice; except that, if an audit is made within the seven-year period and Owner claims that errors or omissions have occurred, the books and records shall be retained and made available until those matters are resolved. City shall keep strictly confidential all statements of revenue furnished by Owner and all other information concerning Owner's operation of the Premises obtained by City as a result of the inspection audit and examination privileges of City hereunder, except as otherwise required by law. If City receives a request for such information pursuant to the Public Records Act (California Government Code Section 6250, et seq.), City shall provide Owner notice of any such request prior to disclosing any such information and afford Owner the opportunity to obtain a protective order. Within seven (7) years after the receipt of any statement of receipts under this Agreement, City at any time shall be entitled to carry out an audit of such revenue either by City or agent to be designated by City. If it shall be determined as a result of such audit that there has been a deficiency in any payment due under this Agreement made on the basis of such statement, then such deficiency shall become immediately due and payable within thirty (30) days of such determination.
1) Copies of Tax Filings. Owner shall provide the City with courtesy copies of each and every report Owner is required to provide to the County of Los Angeles or the State of California for sales, use, or other tax purposes at the time such filings are made.
b. Future Revenue Mechanisms. During the term of this Agreement, if the City imposes (by Citizen Initiative or otherwise) an alternative revenue mechanism specifically related to cannabis operations (e.g., a cannabis tax), Owner agrees to renegotiate in good faith the terms of this Development Agreement with the City so as to comply with an alternative revenue mechanism.

As used in this section, "alternative revenue mechanism" does not include taxes, fees, or assessments levied on or collected from both medicinal cannabis and non-cannabis operations.

10. Insurance and Indemnity
a. Insurance. Owner shall require all persons doing work on the Project, including its contractors and subcontractors (collectively, "Owner" for purposes of this Article 6 only), to obtain and maintain insurance of the types and in the 420 REALTY, LLC Page 22 of 43
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amounts described in this section and its subsections with carriers reasonably satisfactory to City.
b. General Liability Insurance. Owner shall maintain commercial general liability insurance or equivalent form with a limit of not less than Two Million Dollars ($2,000,000) (or as otherwise approved, in writing, by City) per claim and Two Million Dollars ($2,000,000) each occurrence. Such insurance shall also:
1) Name City, its elected and appointed councils, boards, commissions, officers, agents, employees, and representatives as "Additional Insureds" by endorsement with respect to performance of this Agreement. The coverage shall contain no special limitations on the scope of its protection afforded to the above-listed additional insured.
2) Be primary with respect to any insurance of self-insurance programs covering City, its officials, employees, agents, and representatives. 3) Contain standard separation of insured provisions.
c. Automotive Liability Insurance. Owner shall maintain business automobile liability insurance or equivalent form with a limit of not less than Two Million Dollars ($2,000,000) for each accident for the vehicles Owner operates in connection with its cannabis business. Such insurance shall include coverage for owned, hired, and non-owned automobiles. Such insurance shall also:
1) Name City, and work in good faith with the City and the insurers to name additional insureds as deemed reasonably necessary. "Additional Insureds" by endorsement with respect to performance of this Agreement.

The coverage shall contain no special limitations on the scope of its protection afforded to the above-listed additional insureds; 2) Be primary with respect to any insurance or self-insurance programs covering City, its officials, employees, agents, and representatives; 3) Contain standard separation of insured provisions.
d. Workers' Compensation Insurance. Owner shall take out and maintain during the term of this Agreement, workers' compensation insurance for all of Owner's employees employed at or on the Project, and in the event any of the work is subcontracted, Owner shall require any general contractor or subcontractor similarly to provide workers' compensation insurance for such contractor's or subcontractor's employees, unless such employees are covered 420 REALTY, LLC Page 23 of43
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by the protection afforded by Owner. In case any class of employee engaged in work on the Project is not protected under any workers' compensation law, Owner shall provide and shall cause each contractor and subcontractor to provide adequate insurance for the protection of employees not otherwise protected. Owner hereby indemnifies City for any damage resulting from failure of Owner, its agents, employees, contractors, or subcontractors to take out or maintain such insurance. Workers' compensation insurance with statutory limits and employer's liability insurance with limits of not less than One Million Dollars ($1,000,000) each accident shall be maintained.
e. Other Insurance Requirements. Owner shall do all of the following:
1) Prior to taking any actions under this Agreement, furnish City with properly executed certificates of insurance that clearly evidenced all insurance required in this Article, including evidenced that such insurance will not be canceled, allowed to expire, or be materially reduced in coverage without thirty (30) days prior written notice to City. 2) Provide to City, upon request, and within seven (7) calendar days of said request, certified copies of endorsements and policies, and properly executed certificates of insurance evidencing the insurance required herein.
3) Replace or require the replacement of certificates, policies and endorsements for any insurance required herein expiring prior the termination of this Agreement.
4) Maintain all insurance required herein from the Effective Date of this Agreement to the earlier of the expiration of the term or the mutual written termination of this Agreement.
5) Place all insurance required herein with insurers licensed to do business in California with a current Best's Key Rating Guide reasonably acceptable to City.
f. Indemnity. Owner agrees to indemnify, defend, and hold City, and its elected and appointed council, boards, commissions, officers, agents, employees, contractors, consultants and representatives, harmless from any and all claims costs and liability for any personal injury or property damage which may arise as a result of any actions or negligent omissions by Owner or Owner's contractors, subcontractors, agents, or employees in connection with the construction, improvement, or operation of the Project. 420 REALTY, LLC Page 24 of 43
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11. Termination
a. Termination Upon End of Term. This Agreement shall terminate upon the expiration of the term, unless it is terminated earlier pursuant to the terms of this Agreement. Upon termination of this Agreement, City shall record a notice of such termination and this Agreement shall be of no further force or effect except as otherwise set forth in this Agreement.
b. Effect of Termination on Owner's Obligations. Termination of this Agreement shall eliminate any further obligation of Owner to comply with this Agreement, or some portion thereof, if such termination relates to only part of the Site or Project. Termination of this Agreement, in whole or in part, shall not, however, eliminate the rights of Owner to seek any applicable and available remedies or damages based upon acts or omissions occurring before termination.
c. Effect of Termination on City's Obligations. Termination of this Agreement shall eliminate any further obligation of City to comply with this Agreement, or some portion thereof. Termination of this Agreement shall not, however, eliminate the rights of City to seek any applicable and available remedies or damages based upon acts or omissions occurring before termination. d. Survival After Termination. The rights and obligations of the Parties set forth in Article 15, Article 21, and Section 23(e), Section 23(f), and Section 23(h), and any right or obligation of the Parties in this Agreement which, by its express terms or nature and context is intended to survive termination of this Agreement, will survive any such termination.

12. Resources Efficiency
Owner shall endeavor to reduce its environmental impact when possible. The design of the facility shall include reasonable water and energy conservation measures in accordance with applicable State regulations.

13. Standard Conditions for Construction
During anyon-site construction activities related to development of the project site and any buildings thereon, or renovation or remodeling of existing buildings, Owner shall comply with all applicable terms and conditions of City's Standard Conditions for Construction, attached hereto and incorporated herein by reference as Exhibit F. The 420 REALTY, LLC Page 25 of 43
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Project shall comply with the applicable parking standards established by the City for cannabis activities.

14. Defaults and Remedies
a. Remedies in general. It is acknowledged by the parties that City would not have entered into this Agreement if it were to be liable in damages under this Agreement, or with respect to this Agreement or the application thereof, except as hereinafter expressly provided. Subject to extensions of time by mutual consent in writing, failure to delay by either party to perform any term or provision of this Agreement beyond a reasonable notice and cure period shall constitute a default. In the event of alleged default or breach of any terms or conditions of this Agreement, the party alleging such default or breach shall give the other party not less than thirty (30) day notice in writing specifying the nature of the alleged default and the manner in which said default may be satisfactorily cured during any such thirty (30) day period, the party charged shall not be considered in default for purposes of termination or institution of legal proceedings.

Notwithstanding the foregoing to the contrary, if the alleged default is of such a nature that it cannot be cured within thirty (30) days, the alleged defaulting party shall not be deemed in default as long as such party commences to cure such default within such thirty (30) day period and thereafter diligently prosecutes such cure to completion.

After notice and expiration of the thirty (30) day period, the other party to this Agreement, at its option, may institute legal proceedings pursuant to this Agreement.

In general, each of the parties hereto may pursue any remedy at law or equity available for the breach of any provision of this Agreement, except that City shall not be liable in monetary damages, unless expressly provided for this Agreement, to Owner, to any mortgagee or lender, or to any successors in interest of Owner or mortgagee or lender, or to any other person, and Owner covenants on behalf of itself and all successors in interest to the Property or any portion thereof, not to sue for damages or claim any damages. 420 REALTY, LLC
DA# 18-002C
1) For any breach of this Agreement or for any cause of action which arises out of this Agreement; or
2) For the impairment or restriction of any right or interest conveyed or provided under, with, or pursuant to this Agreement, including, without limitation, any impairment or restriction which Owner characterizes as a regulatory taking or inverse condemnation; or

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3) Arising out of or connected with any dispute, controversy or issue regarding the application or interpretation or effect of the provisions of this Agreement.

Nothing contained herein shall modify or abridge Owner's rights or remedies (including its rights for damages, if any) resulting from the exercise by City of its power of eminent domain. Nothing contained herein shall modify or abridge Owner's rights or remedies (including its rights for damages, if any) resulting from bad faith intentional acts, the grossly negligent or malicious acts of City and its officials, officers, agents and employees. Nothing herein shall modify or abridge any defenses or immunities available to City and its employees pursuant to the Government Liability Act and all other applicable statutes and decisional law.

Except as set forth in the preceding paragraph relating to eminent domain, Owner's remedies shall be limited to those set forth in this Section 14(a), Section 14(b), and Section 14(c).

Notwithstanding anything to the contrary contained herein, City covenants as provided in Civil Code Section 3300 not to sue for or claim any consequential damages or, in the event all or a portion of the Property is not developed, for lost profits or revenues which would have accrued to City as a result of the development of the Property.
b. Specific Performance. The parties acknowledge that money damages and remedies at law are inadequate, and specific performance and other nonmonetary relief are particularly appropriate remedies for the enforcement of this Agreement and should be available to all parties for the following reasons:
1) Except as provided in Sections 14(a) and 14(e), money damages are unavailable against City as provided in Section 14(a) above. 2) Due to the size, nature and scope of the Project, it may not be practical or possible to restore the Property to its natural condition once implementation of this Agreement has begun. After such implementation, Owner may be foreclosed from other choices it may have had to use the Property or portions thereof. Owner has invested significant time and resources and performed extensive planning and processing of the Project in agreeing to the terms of this Agreement and will be investing even more significant time and resources in implementing the Project in reliance upon the terms of this Agreement, and it is not possible to determine the sum of money which would adequately compensate Owner for such efforts; the 420 REALTY, LLC Page 27 of 43
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parties acknowledge and agree that any injunctive relief may be ordered on an expedited, priority basis.
c. Release. Except for those remedies set forth in Sections 14(a), 14(b), and 14(c), Owner, for itself, its successors and assignees, hereby releases City, its officers, agents and employees from any and all claims, demands, actions, or suits of any kind or nature arising out of any liability, known or unknown, present or future, based or asserted, pursuant to Article 1, Section 19 of the California Constitution, the Fifth Amendment of the United States Constitution, or any other law or ordinance which seeks to impose any other liability or damage, whatsoever, upon City because it entered into this Agreement or because of the terms of this Agreement.

Owner acknowledges that it may have suffered, or may suffer, damages and other injuries that are unknown to it, or unknowable to it, at the time of its execution of this Agreement. Such fact notwithstanding, Owner agrees that the release provided in this Section 14(c) shall apply to such unknown or unknowable claims and damages. Without limiting the generality of the foregoing, Owner acknowledges the provisions of California Civil Code Section 1542, which provide:
"A general release does not extend to claims which the
creditor does not know or suspect to exist in his or her favor at the time of executing the release, which if known by him or her must have materially affected his or her settlement with the debtor."
Owner hereby waives, to the maximum legal extent, the provisions of California Civil Code Section 1542 and all other statutes and judicial decisions of similar effect. z::::::!.~-.J . Owners' Initials
d. Termination of Agreement for Default of City. Owner may terminate this Agreement in the event of a default by City in the performance of a material term of this Agreement and only after providing written notice to City of default setting forth the nature of the default and the actions, if any, required by City to cure such default and, where the default can be cured, City has failed to take such actions and cure such default within sixty (60) days after the effective date of such notice or, in the event that such default cannot be cured within such sixty (60) day period but can be cured within a longer time, has failed to commence 420 REALTY, LLC Page 28 of43
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No. DA18-002C
45 Page 370 of 1183
the actions necessary to cure such default within such sixty (60) day period and to diligently proceed to complete such actions and cure such default.

Notwithstanding anything to the contrary, in the event that Owner deem it is necessary and/or advisable to cease operations in Cudahy, then Owner may terminate this Agreement, and such termination shall be effective upon the date of written notice to the City.
e. Attorneys' Fees and Costs. In any action or proceeding between City and Owner brought to interpret or enforce this Agreement, or which in any way arises out of the existence of this Agreement or is based upon any term or provision contained herein, the "prevailing party" in such action or proceeding shall be entitled to recover from the non-prevailing party, in addition to all other relief to which the prevailing party may be entitled pursuant to this Agreement, the prevailing party's reasonable attorneys' fees and litigation costs, in an amount to be determined by the court. The prevailing party shall be determined by the court in accordance with California Code of Civil Procedure Section 1032. Fees and costs recoverable pursuant to this Section 14(e) include those incurred during any appeal from an underlying judgment and in the enforcement of any judgment rendered in any such action or proceeding.
f. Owner Default. No building permit shall be issued or building permit application accepted for any structure on the Property after Owner is determined by City to be in default of the terms and conditions of this Agreement until such default thereafter is cured by Owner or is waived by City. If City terminates this Agreement because of Owner's default, then City shall retain any and all benefits, including money or land received by City hereunder.

15. Third Party Litigation
a. General Plan Litigation. City has determined that this Agreement is consistent with its General Plan. Owner has reviewed the General Plan and concurs with City's determination.

City shall have no liability under this Agreement or otherwise for any failure of City to perform under this Agreement, or for the inability of Owner to develop the Property as contemplated by the Agreement, which failure to perform or inability to develop is as the result of a judicial determination that the General Plan, or portions thereof, are invalid or inadequate or not in compliance with law, or that this Agreement or any of City's actions in adopting it were invalid, inadequate, or not in compliance with the law.
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b. Hold Harmless Agreement. Owner hereby agrees to, and shall hold City, its elective and appointive boards, commissions, officers, agents, attorney's, contractors, consultants and employees harmless from any liability for damage or claims for damage for personal injury, including death, as well as from claims for property damage which may arise from Owner or Owner's contractors, subcontractors, agents, or employees' operations under this Agreement, whether such operations be by Owner, or by any of Owner's contractors, subcontractors, agents, or employees operations under this Agreement, whether such operations be by Owner, or by any of Owner's contractors, subcontractors, or by anyone or more persons directly or indirectly employed by, or acting as agent for Owner or any of Owner's contractors or subcontractors. Owner agrees to and shall defend City and its elective and appointive boards, commissions, officers, agents and employees from any suits or actions at law or in equity for damage caused, or alleged to have been caused, by reason of any of the aforesaid operations. c. Indemnification. Owner ~hall defend, indemnify, and hold harmless City and its elective and appointive boards, commissions, officers, agents, attorney's, contractors, consultants and employees against and from any and all liabilities, demands, claims, actions or proceedings and costs and expenses incidental thereto (including costs of defense, settlement and reasonable attorneys' fees), which any or all of them may suffer, incur, be responsible for or payout as a result of or in connection with any challenge to the legality, validity or adequacy of any of the following: (i) this Agreement and the concurrent and subsequent permits, licenses and entitlements approved for the Project or Property; (ii) the environmental impact report, mitigated negative declaration or negative declaration, as the case may be, prepared in connection with the development of the Property; (iii) any claims based on or alleging inverse condemnation by any person or entity with an interest in the Property; and (iv) the proceedings undertaken in connection with the adoption or approval of any of the above. In the event of any legal or equitable action or other proceeding instituted by any third party (including a governmental entity or official) challenging the validity of any provision of this Agreement or any portion thereof as set forth herein, the parties shall mutually cooperate with each other in defense of said action or proceeding. Notwithstanding the above, City, at is sole option, may tender the complete defense of any third-party challenge as described herein. In the event City elects to contract with special counsel to provide for such a defense, City shall meet and confer with Owner regarding the selection of counsel, and Owner shall pay all costs related to retention of such counsel. d. Environmental Contamination. Owner shall indemnify and hold City, its elective and appointive boards, commissions, officers, agents, attorney's, 420 REALTY, LLC Page 30 of43
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contractors, consultants and employees free and harmless from any liability, based or asserted, upon any act or omission of Owner, its officers, agents, employees, subcontractors, predecessors in interest, successors, assigns and independent contractors, excepting and acts or omissions of City as successor to any portions of the Property dedicated or transferred to City by Owner, for any violation of any federal, state or local law, ordinance or regulation relating to industrial hygiene or to environmental conditions on, under or about the Property, including, but not limited to, soil and groundwater conditions, and Owner shall defend, at its expense, including attorneys' fees, City, its officers, agents and employees in any action based or asserted upon any such alleged act or omission. City may in its discretion participate in the defense of any such claim, action or proceeding.

The provisions of this Section 15(d) do not apply to environmental conditions that predate Owner's ownership or control of the Property or applicable portion; provided, however, that the foregoing limitation shall not operate to bar, limit or modify any of Owner's statutory or equitable obligations as an owner or seller of the Property.
e. City to Approve Counsel. With respect to Sections 15(a) through 15(d), City reserves the right to approve the attorney(s) which Owner selects, hires or otherwise engages to defend City hereunder, which approval shall not be unreasonably withheld.
f. Accept Reasonable Good Faith Settlement. With respect to Article 15, City shall not reject any reasonable good faith settlement. If City does reject a reasonable, good faith settlement that is acceptable to Owner, Owner may enter into a settlement of the action, as it relates to Owner, and City shall thereafter defend such action (including appeals) at its own cost and be solely responsible for any judgment rendered in connection with such action. This Section 15(f) applies exclusively to settlements pertaining to monetary damages or damages which are remedial by the payment of monetary compensation. Owner and City expressly agree that this Section 15(f) does not apply to any settlement that requires an exercise of City's police powers, limits City's exercise of its police powers, or affects the conduct of City's municipal operations. g. Survival. The provisions of Sections 15(a) through 15(f) inclusive, shall survive the termination or expiration of the Agreement.

16. California Environmental Quality Act
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Owner shall reimburse City for any and all costs incurred by City related to project review under the California Environmental Quality Act (CEQA), Public Resources Code, §§21000-21189.3, and the Guidelines for California Environmental Quality Act, California Code of Regulations, Title 14, §§15000-15387. If reasonably requested by City, Owner shall conduct and pay for any required CEQA reviews and analyses. The City has found that the proposed Project is Categorically Exempt from California Environmental Quality Act (CEQA) requirements under provisions of CEQA Guidelines Section 15301 - Existing Facilities. This exemption applies to projects characterized as alterations to existing facilities meeting the conditions described in Section 15301.

17. Rules. Regulations. and Official Policies
Except as otherwise provided in this Agreement, the rules, regulations, and official policies of City governing permitted uses of the land, governing density, and governing the design, improvements, and construction standards and specifications applicable to the development of the Project subject of this Agreement, shall be those rules, regulations, and official policies of City in force at the time of the execution of this Agreement. This Agreement does not prevent City, in subsequent actions applicable to the property, from applying new rules, regulations, and policies which do not conflict with those rules, regulations, and policies applicable to the property as set forth herein, nor does this Agreement prevent City from denying or conditionally approving any subsequent development project application based on such existing or new rules, regulations, or policies.

18. Regulatory Permit Conditions of Approval
Owner shall comply with all conditions of approval of the Regulatory Permit approved by City Council.

19. Periodic Reviews
This Agreement shall be subject to annual review. Owner and Landlord executing this Agreement, or successor in interest thereto, shall demonstrate good faith compliance with the terms of this Agreement. If, as a result of such periodic review, City finds and determines, based on sUbstantial evidence, that Owner or Landlord executing this Agreement, or successor in interest thereto, has not complied in good faith with the terms or conditions of this Agreement, City may terminate or modify this Agreement (except no modification shall increase Owner's liability nor reduce Owner's rights), provided that City shall first provide Owner notice of its intent to terminate, with a detailed explanation as to why, and provide Owner the reasonable right to cure the same.
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a. Periodic Review. City Council shall review this Agreement annually, on or before each anniversary of the Effective Date, in order to ascertain Owner's good faith compliance with this Agreement. During the periodic review Owner shall be required to demonstrate good faith compliance with the terms of the Agreement, through submitting an annual monitoring report, records, or equivalent written materials to the Planning Department. The Planning Department will schedule a hearing on the periodic review of the Development Agreement on or following the anniversary of the Effective Date, but Owner has no obligation to compel such hearing, and no implication will be made to Owner's detriment if a hearing is not in fact held. Owner shall document any request for an extension of the term due to delays beyond the control of Owner (see Section 230), "Force Majeure").

Owner shall submit an annual review and administration fee deposit not to exceed City's estimated internal and third-party costs associated with the review and administration of this Agreement during the succeeding year, consistent with Section 23(k) ("Deposit with City") below. City shall provide Owner said estimate a reasonable time in advance of the annual review and administration fee deposit being due.
b. Conditional Use Permit. For all intents and purposes, the Regulatory Permit to be issued under this Agreement shall be treated as if it were a Conditional Use Permit issued to Owner for the establishment and operation of its business. The operation of the business at all times shall be required to comply with the terms of this Agreement.
c. Special Review. City Council may order a special review of compliance with this Agreement at any time. The Planning Director or his or her designee shall conduct such special review. During a special review, Owner shall be required to demonstrate good faith compliance with the terms of the Agreement.

The burden of proof on this issue shall be on Owner.
d. Review Hearing. At the time and place set for the review hearing, Owner shall be given an opportunity to be heard. If City Council finds, based upon substantial evidence, that Owner has not complied in good faith with the terms or conditions of this Agreement, City Council may terminate this Agreement notwithstanding any other provision of this Agreement to the contrary, or modify this Agreement and impose such conditions as are reasonably necessary to protect the interests of City. The decision of City Council shall be final, subject only to judicial review pursuant to Code of Civil Procedure Section 1094.5. e. Certificate of Agreement Compliance. If, after a periodic or special review, Owner is found to be in compliance with this Agreement, and if Owner requests it, City shall issue a Certificate of Agreement Compliance ("Certificate") to Owner 420 REAL TV, LLC
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stating that after the most recent periodic or special review, and based upon the information known or made known to the Planning Director and City Council, that (i) this Agreement remains in effect and (ii) Owner is not in default.

City shall not be bound by a Certificate if a default existed at the time of the periodic or special review, but was concealed from or otherwise not known to the Planning Director and City Council, regardless of whether the Certificate is relied upon by assignees or other transferees or Owner.
f. Failure to Conduct Review. City's failure to conduct a periodic review of this Agreement shall not constitute a breach of this Agreement. g. Cost of Review. The costs incurred by City in connection with the periodic reviews shall be borne by Owner.

20. ASSignment
Assignment by Owner. Owner shall not transfer, delegate, sublet or assign its interest, rights, duties, and obligations under this Agreement without the prior written consent of City, which consent shall not be unreasonably withheld. Owner shall submit a transfer application to the City Manager or City Manager's designee and pay any applicable transfer fee. The proposed transferee must show proof of lawful transfer of possession of the applicable location as may be acceptable to the City. Owner is aware it may take the City approximately six (6) months to process a transfer application.

The Owner has disclosed and represented to the City that on or about June 7, 2018, High Hampton Holdings Corp, a Canadian Corporation ("High Hampton ''), as Buyer, and 420 Realty, LLC, a California limited liability company and the members of 420 Realty, as Sellers, entered into a Share Purchase Agreement wherein High Hampton agreed to purchase all the membership interests of Sellers in 420 Realty, LLC. Cudahy Municipal Code § 5.20.020 defines "Owner" as any Person with an aggregate ownership interest of 20% or more in the Person applying for a Cannabis Permit. If initialed below in the space provided, the City hereby consents to High Hampton's purchase of the Sellers' ownership interest in Owner. The City's consent is contingent upon (1) the State's approval of High Hampton's ownership interest in Owner, (2) the continued validity of Owner's state license(s) applicable to the Site through-out the terms of this Agreement and (3) that the majority of High Hampton's board of directors in 420 Realty, LLC are selected from the "Iocal community." Directors from outside the County of Los Angeles shall not be considered from the "Iocal community." A violation of 420 REALTY, LLC Page 34 of 43
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this provision shall be considered an event of default by the Owner subject to the remeclfe~in Section 14 above.
)\)
( ,./ , City Manager.

Any assignment, delegation, subletting or assignment without the prior written consent of City shall be null and void. Any transfer, delegation, subletting or assignment by Owner as authorized herein shall be effective only if and upon the party to whom such transfer, delegation, subletting or assignment is made is issued a Regulatory Permit as required under Section 5.20.070(i) of the municipal code.

21. Operating Commercial Cannabis Facility
Any party to this Agreement, or successor in interest thereto, shall not operate a commercial cannabis facility authorized under the municipal code unless:
a. It is the holder of a valid Regulatory Permit issued by City in accordance with the procedures and requirement of Sections 5.20.100 [Medicinal Cannabis Cultivation]; 5.20.110 [Medicinal Cannabis Products Manufacturing];

5.20.120 [Medicinal Cannabis Products Retail Delivery]; 5.20.130 [Medicinal Cannabis Products Distribution] of the municipal code; and, b. At such time as the State of California requires commercial cannabis facilities and businesses to hold a valid license or permit issued by the State of California, it also holds such license or permit, unless, however, such permit or license is not required by the State of California for the type of commercial cannabis facility or business operation that is the subject of this Agreement.

22. Notice
Any notice or communication required hereunder between City and Owner must be in writing, and may be given either personally, by registered or certified mail (return receipt requested), or by Federal Express, UPS or other similar couriers providing overnight delivery. If personally delivered, a notice shall be deemed to have been given when delivered to the Party to whom it is addressed. If given by registered or certified mail, such notice or communication shall be deemed to have been given and received on the first to occur of (i) actual receipt by any of the addressees designated below as the party to whom notices are to be sent, or (ii) five (5) days after a registered or certified letter containing such notice, properly addressed, with postage prepaid, is deposited in the United States mail. If given by Federal Express or similar courier, a notice or communication shall be deemed to have been given and received on the date delivered, as shown on a receipt issued by the courier. Any Party hereto may at any time, by 420 REAL TV, LLC Page 35 of 43 City of Cudahy
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giving ten (10) days written notice to the other Party her~to, designate ~ny. other address in substitution of the address to which such notice or communication shall be given. Such notices or communications shall be given to the Parties at their addresses set forth below:

If to City:
and
If to Owner:

If to Landlord:

With a courtesy copy to:

23. Miscellaneous Provisions
City of Cudahy
5220 Santa Ana Street
Cudahy, CA 90201
Attention: City Clerk
Special Counsel, Glenn Ward Calsada, Esq.

Law Offices of Glenn Ward Calsada
23283 Ventura Boulevard
Woodland Hills, CA 91364
420 Realty, LLC
clo Lupe Santana
15835 E. Main Street
La Puente, CA91744
clo Emmanuel Leal
3929 Live Oak Street
Cudahy, CA 90201
clo David Argudo
15835 E. Main Street
La Puente, CA 91744
a. Amendment or Cancellation. This Agreement may be amended, or canceled in whole or in part, only by the written mutual consent of the parties to this Agreement or their successors in interest, except that minor amendments that do not affect a substantive provision of this Agreement may be approved by the City Manager on behalf of the City. The decision whether a proposed amendment is "minor" shall be in the exclusive discretion of the City Manager. 420 REALTY, LLC Page 36 of43
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No. DA18-002C
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b. Waiver. Waiver by City of anyone or more of the terms or conditions of this Agreement shall not be construed as waiver of any other term or condition under this Agreement.
c. Enforcement/Reserved Powers. Unless amended or canceled pursuant hereto, this Agreement shall be enforceable by any party hereto, or successor in interest thereto, notwithstanding any subsequent change in any applicable general or specific plan, zoning, subdivision or building regulation, or municipal code amendment adopted by City that conflicts with the terms of this Agreement.

However, this Agreement is subject to the City's "Reserved Powers." For purposes of this Agreement, "Reserved Powers" means the rights and authority excepted from this Agreement's restrictions on the City's police powers and which are instead reserved to the City. The Reserved Powers include the powers to enact regulations or take future discretionary actions after the Effective Date of this Agreement that: (1) are necessary to protect the public health and safety, and are generally applicable on a City-wide basis (except in the event of natural disasters as found by the City Council such as floods, earthquakes and similar acts of God); (2) are amendments to California Marijuana Laws or California Uniform Codes, as adopted by the City of Cudahy, and/or the Cudahy Municipal Code, as applicable, regarding the construction, engineering and design standards for private and public improvements to be constructed on the Site; (3) are necessary to comply with state or federal laws and regulations; or (4) involve sign and parking ordinances and guidelines, changes to the Overlay Zone, Specific Plan or the City's General Plan, whether adopted previous or subsequent to the Effective Date of this Agreement).

If any City ordinance, rule or regulation or addition to the Cudahy Municipal Code is enacted or imposed by a citizen-sponsored initiative or referendum after the Effective Date that would conflict with this Agreement or an associated Regulatory Permit, business license or other authorizations and City approvals, or reduce development rights or assurances provided to the Owner in this Agreement, then such changes, additions or deletions to the Cudahy Municipal Code shall not be applied to the Site or Project; provided, however, the parties acknowledge that the City's approval of this Agreement is a legislative action subject to referendum. The parties shall cooperate with each other and undertake such reasonable actions as may be appropriate to ensure this Agreement remains in full force and effect and is implemented in accordance with its terms and to the fullest extent permitted by state or federal law.

Notwithstanding anything to the contrary in this Agreement, site improvements contemplated by this Agreement shall be completed pursuant to 420 REALTY, LLC
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Cudahy City CouncilJune 20, 2023

Cudahy City Council
June 20, 2023