CITY MANAGER' S REPORT ITEM 5. 3
MARCH 14, 2022 CITY COUNCIL REGULAR MEETING
ITEM: CONSIDER RESPONSE TO CITY RFP FOR A
COMMERCIAL CANNABIS RETAIL DISPENSARY IN
THE CITY OF LATHROP
RECOMMENDATION: Review Response Received and Consider Selecting the Proponent to Proceed to the Next Step in the
Application Process to Establish a Commercial
Cannabis Retail Dispensary in the City of Lathrop
BACKGROUND
The City Council, in its desire to regulate commercial cannabis business operations within the City passed and adopted Ordinance No. 21- 428 on December 13, 2021 and thereby amended the Lathrop Municipal Code (" LMC") to allow one commercial cannabis retail dispensary business within the City.
On February 14, 2022, City Council approved the issuance of a retail cannabis dispensary request for proposal (" RFP") with a response deadline of 6 p. m. on March 8, 2022. Council also approved a revised merit- based selection criteria and appeal procedures for the selection and subsequent application steps for the potential establishment of a commercial cannabis retail dispensary business within the City of Lathrop. The RFP was posted on the City of Lathrop website on February 15, 2022.
A total of one ( 1) response was received to the RFP on March 8, 2022 by the 6 p. m. deadline. Staff determined, pursuant to the submittal deadline established by Council and specified in the RFP, that this response from Donald Jimenez, CEO of Central California Greens, INC. was timely. The City also received one ( 1) additional response to the RFP on March 9, 2022 which staff determined, pursuant to the submittal deadline established by Council and specified in the RFP, was untimely and therefore considered a " late RFP Response" and is not provided for Council consideration. Staff reviewed the one RFP response timely received and confirmed said response meets the minimum requirements of LMC 5. 26 and the requirements of the RFP. Staff provides the following summary of the timely RFP response received below:
Meets Criteria
Description of Criteria
Yes No
Section 1: Prioritize Medicinal Cannabis Access
a) RFP Response includes combined medicinal/ adult use X dis ensa
b) RFP Response includes Delivery Services X
CITY MANAGER' S REPORT PAGE 2
MARCH 14, 2022 CITY COUNCIL REGULAR MEETING
CONSIDER RESPONSE TO CITY RFP FOR A COMMERCIAL CANNABIS RETAIL
DISPENSARY IN THE CITY OF LATHROP
Section 2: Geographical Preference/ Neighborhood Relations a Pro osed location is within 1, 200 feet of local trans ortation X b) RFP Response includes a process and schedule for at least X two public outreach meetings per year that meet City
re uirements
c) Business plan includes a schedule for communication and X receiving feedback from all entities within 300 feet of the business at least two times er ear
d) RFP Response includes appointment of an employee as a X desi nated liaison to the nei hborhood
Section 3: Facility Plan
a) Business is and/ or was associated with a non- cannabis- X related business in the Ci of Lathro
b) RFP Response includes daily site inspection to ensure X maintenance of the interior and exterior of the facility ( i. e., free of trash, raffiti, etc.
c) Commercial cannabis business will be open more than five X da s a week and at least six hours er da
d) Location is within an existing building or facility with ability X to be open for business within six months of approval by the Ci
Section 4: Standards and Procedures for the Safe Operation of Facilities a) RFP Response includes documented employee safety X
trainin ro ram
b) RFP Response includes documented employee cannabis X educational trainin ro ram
c) Business Plan includes enhanced security measure, with at X least three of the following: panic buttons, dye packets, bulletproof window film ( with break strength of 400 Ibs. per inch or better), a UL- approved safe with a fire rating that is 2- hour 1, 700 degrees F or better with a complex locking device; motion sensing lighting; or other enhanced security measure acce table to the Ci
d RFP Res onse includes climate- controlled environment X e) RFP Response includes a comprehensive documented X
process for 24- hour minimum response time to cannabis
roduct recall notifications
fi RFP Response includes plan for disposal of all solid waste X based on best ractices of the State
CITY MANAGER' S REPORT PAGE 3
MARCH 14, 2022 CITY COUNCIL REGULAR MEETING
CONSIDER RESPONSE TO CITY RFP FOR A COMMERCIAL CANNABIS RETAIL
DISPENSARY IN THE CITY OF LATHROP
g) RFP Response includes more than one on- site security guard X durin business hours
h) RFP Response includes plans and procedures on how all X cannabis products on the premises or held by the Applicant meet the testin re uirements as defined b the State
i) RFP Response includes a separate lobby where identification X is checked to ensure that only qualified individuals gain access to separate, locked areas where cannabis products are dis la ed
j) RFP Response includes electronic storage of required X records of sales, delivery manifests, patient information ( if medicinal and required by State), inventory, etc., which can be rovided to Ci ersonnel u on re uest
k) RFP Response includes participation in web-based public X safety application or equivalent that provides law
enforcement with confirmation of local and state licenses I) RFP Response includes proposed " green" business practices X related to energy and climate, water conservation, and
materials/ waste stora e
m) RFP Response includes secured loading/ unloading area for X deliveries
Section 5: Prior Experience in Business Ownership and Management a) Combined prior experience of proposed owners includes X more than three years of verified successful management of an non- cannabis le al retail facili
b) Owners are listed on State approved commercial cannabis X licenses.
c) Combined prior experience of proposed owners is more X than three years with a commercial cannabis business in compliance with California law, with proof of timely payment of taxes
Section 6: Qualifications of Principals/ Business Plan
a) At least one proposed owner is a military veteran with an X honorable dischar e
b) Does the business qualify as a Disadvantaged Business X Enterprise ( DBE) as defined by the U. S. Department of Trans ortation?
c) Does the business have documented proof of access to at X least $ 150, 000 in capital ( or enough capital to pay all startup costs lus at least three months of o eratin costs?
CITY MANAGER' S REPORT PAGE 4
MARCH 14, 2022 CITY COUNCIL REGULAR MEETING
CONSIDER RESPONSE TO CITY RFP FOR A COMMERCIAL CANNABIS RETAIL
DISPENSARY IN THE CITY OF LATHROP
d) Does the Business Plan contain a valid pro forma for at X least three ears of o eration
e) Does the proposed commercial cannabis business have X documented agreements with cannabis distributors to supply roducts to their business?
Section 7: Employee and Public Relations
a) The proposed commercial cannabis business will promote X local hiring or provide incentives for City residents to work for the business
b) The proposed commercial cannabis business provides X em lo ee health benefits for all full- time em lo ees
c) The proposed commercial cannabis business will employ X more than five people full-time, not counting the owners or securi ersonnel
d) RFP Response includes an ongoing public information X program to inform City residents of cannabis issues and proper/ safe/ legal use of cannabis products
Section 8: Community Benefits
a) RFP Response includes offer to deposit funds to cover the X costs of a lication and entitlement rocessin
b) RFP Response includes offer to provide a percentage of X annual gross receipts as a community benefit to be allocated b the Ci
c) RFP Response includes benefits to the community, such as X monetary contributions to local community organizations, or volunteer work for local community organizations, or any other proposed community benefit deemed acceptable to
the Ci
If initially selected by the City Council, the Cannabis Business applicant will be required to apply for a Conditional Use Permit ( CUP) and Development Agreement DA). The application submittal materials will be reviewed by City staff to ensure that the application contains all of the required information. Once the application is deemed complete and the environmental review pursuant to the California Environmental Quality Act ( CEQA) has been prepared, staff will advertise the CUP and DA for public hearings. The CUP is reviewed and approved by the Planning Commission at a Public Hearing. The DA is also reviewed by the Planning Commission for General Plan conformity at a public hearing, preferably at the same meeting as the CUP hearing. The Planning Commission' s recommendation on the DA is then considered by the City Council at an additional Public Hearing.
CITY MANAGER' S REPORT PAGE 5
MARCH 14, 2022 CITY COUNCIL REGULAR MEETING
CONSIDER RESPONSE TO CITY RFP FOR A COMMERCIAL CANNABIS RETAIL
DISPENSARY IN THE CITY OF LATHROP
REASON FOR RECOMMENDATION: Staff recommends City Council consider all information provided, and, if determined to be appropriate, provide direction to staff based on decision( s) made by the City Council.
FISCAL IMPACT:
None other than staff time to review the RFP Response and prepare this report.
ATTACHMENTS:
A. RFP Response
CITY MANAGER' S REPORT PAGE 6
MARCH 14, 2022 CITY COUNCIL REGULAR MEETING
CONSIDER RESPONSE TO CITY RFP FOR A COMMERCIAL CANNABIS RETAIL
DISPENSARY IN THE CITY OF LATHROP
APPROVALS:
3 - a
ZSalvador Navarrete Date
City Attorney
3• la• zZ
Step en J. Salvatore Date
City Manager
ATTACHMENT A Exhibit A
CANNABIS DISPENSARY APPLICATION PROCESS
The City will utilize a merit- based approach to determining which applicant will receive a commercial cannabis business permit to operate a dispensary under Lathrop Municipal Code Chapter 5. 26. The information contained in this Request for Proposals includes the minimum requirements necessary to administer Chapter 5. 26 of the Lathrop Municipal Code.
The selection process starts with all interested applicants submitting a response to the RFP to the City( the" RFP Response"). Applicants do not need to have secured ownership or physical control over a location to submit an RFP Response, but must include a proposed location, site plan, and floor plan in the RFP Response. City staff will review each RFP Response and provide comment to the City Council as to whether each meets the requirements of Lathrop Municipal Code Chapter
5. 26 and this Request for Proposals.
City staff will submit all RFP Responses to the City Council. The City Council, in its sole discretion, may invite some or all applicants to attend interviews to be conducted as part of public meetings of the City Council. Following review and interviews, if held, the City Council may select a top-ranked RFP Response to be awarded a commercial cannabis business permit to operate a dispensary. The City Council may, in its sole discretion, reject all applications. The successful applicant must comply with all other requirements in Lathrop Municipal Code Chapter 5. 26 and State law before operating a commercial cannabis business and, therefore, preliminary award of a license by the City Council creates no rights to operate a cannabis dispensary, the applicant selected must comply w ith all other requirements of that Chapter and obtain the other approvals it requires.
Unsuccessful applicants will be timely notified of the City Council' s decision and may appeal the City Council' s decision pursuant to appeal procedures established by the City in the time those rules permit.
PROPOSAL REQUIREMENTS
Documents Required in Response to Request for Proposals:
Applicants shall submit the following information in their responses to the Request for Proposals:
Required Submittal Item # 1: Completed ApplicandOwner Information Form, attached as Attachment " A" hereto.
Required Submittal Item# 2: Cover Letter
Required Submittal Item # 3: Applicant' s Business Plan. Sections of the Business Plan shall include:
o Section l: Qualifications ofApplicant/ Owners, addressing:
Experience: Owners' experience in owning, managingand operating the commercial cannabis businesses.
1 2se
Cannabis Industry Knowledge: Knowledge of the cannabis industry, including identification of how industry best practices and state regulations have been incorporated in any existing or earlier legal business outside the City of Lathrop.
Ownership Team: Involvement of the owners in on- site day- to- day operation.
Compliance with Lathrop Municipal Code: Understanding and ability to comply with operational standards in the Lathrop Municipal Code including, but not limited to, Lathrop Municipal Code sections
5. 26. 090 and 5. 26. 100.
Satisfaction of the Criteria forAward of a Cannabis License adopted by City Council Resolution No. 21- 4983 and amended by Resolution No. 22-
o Section 2: Business Plan, addressing:
Standard Operating Procedures ( SOP): Proposed operating procedures for all aspects of the proposed business, including incorporation of industry best practices. Applicant should show specific examples of where practices referenced have worked before.
Financial Plan: Financial plan and/ or budget to start and to operate the business ( e. g., business pro forma, cash flow, accounting procedures, etc.). Proposals should provide clear and complete details about the financial position, plan & operating procedures of business.
Funding/Proof of Capitalization: Demonstration of access to adequate capital and/ or on- going line of credit to operate the business.
Records Software: Standard operating procedures for electronic tracking and storage of required records of sales, delivery manifests, and inventory.
Track- and- Trace: Standard operating procedures for track- and-trace, include detailed California Cannabis Track-and-Trace ( CCTT) procedures as outlined by the State.
State Testing Requirements: Standard operating procedures for ensuring all cannabis products on the premises or held by Applicant have met the testing requirements as defined by the State.
Employee Training: Proposed employee training including, for example, training on differences in products, potency of products, customer service, and/ or laws governing" adult use" vs medical use.
2 269
Customer Education: Plan for educating customers regarding cannabis products, including the potency and effects of products, and variety of cannabis products offered for sale.
Marketing: Key aspects of Applicant' s marketing strategy that would be generated and incorporated into Applicant' s marketing plan. The proposed marketing strategy should describe compliance with local regulation related to advertising( i. e., local sign regulations).
Product Procurement: Procurement plan, including due diligence performed before executing purchase contracts and quality control of incoming products.
Emergency Contact: Applicant must designate and provide contact information for an Emergency Contact who is be an on- site employee or owner to whom emergency notice can be provided 24 hours per day. o Section 3: Comrnunity Benefit, addressing:
Council Goals: How the business will further the City Council' s goals to support and promote the quality of life, enhance the local community, and help sustain the local economy through a community engagement plan that demonstrates an understanding of the community, its values and unique aspects, and how the business will integrate into the community.
Job Creation: How the business plans to create well- paying, high- quality jobs with benefits via a share in ownership, management or other employment opportunities.
Community Assistance: How the business plans to assist organizations in our community that provide help to those persons most harmed by cannabis criminalization and poverty.
l on- ProFt Support: How the business plans to work with local non- profits and other community groups. Non-profits or groups located in or serving Lathrop are preferred.
Business Support: How the business plans to partner with existing Lathrop businesses( e.g., procurement of goods and services from local businesses).
Youth Education: How the business plans to educate the youth in the community about the dangers of substance abuse. Such planned outreach may include to local schaols and youth groups.
Community Relations Contact: Applicant shall designate and provide contact information for a Community Relations Contact who shall be the person notified of problems associated with the commercial cannabis business. If selected, Applicant will be required to provide the designated 3 270
Community Relations Contact' s contact information to all property owners located within 100 feet of the commercial cannabis business. o Section 4: Neighborhood Compatibility& Enhancement, addressing:
Exterior Design Concept: A contextual exterior design which reflects the best of the City' s architecture, the use of quality materials and the level of investment that can be expected for the architecture, landscaping, signage, lighting, entry experience, parking, etc.
Site Plan & Floor Plan: Applicant shall provide a site plan and floor plan for the proposed commercial cannabis business. The Site Plan and Floor Plan shall include: ( 1) physical boundaries of the site including, but not entrances and exits; ( 2) location of all cannabis- related activities; and 3) any space on the property shared with non- cannabis-related businesses.
Integration of Security Measures: Applicant' s plan to integrate security enhancements into the physical design concept, so as not to be overly noticeable by customers or the public. Applicants should provide details about physical and technolagical security components as well as crime prevention efforts through environmental and site planning.
Air Quality/Odor Control: Description of proposed ventilation and air purification system, including demonstrated effectiveness and any nuisance mitigation.
o Section 5: Security Plan, addressing:
Security Experience: Experience of individual/ firm designing the security plan. Individual/ firm should be identified, and experience described. If relevant, the RFP Response should include information on the quality of delivery driver security, safety procedures, and vehicle security, including driver education related to potential hazards and response thereto.
Designated Security Contact: Applicant must designate a Security Representative/City Liaison who shall be reasonably available to meet with the City Manager or his/ her designee at any time regarding any security related measures or operational issues.
Background Checks: Applicant should describe whether it intends to use background checks in the employee hiring process. Provide detail about level of checks and use of the information obtained.
Employee Safety Education: Employee safety education plan, including training regarding product handling, burglary protocols, robbery protocols, and other potential hazards of the commercial cannabis business. 4 2
Employee Theft Reduction Measures: Employee theft reduction measures, including audits and check in/ out.
Cash Management Plan: Cash management plan, including cash counting/ reconciliation procedures, cash storage, cash transport, deposit into a banking institution ( if any), and employee training.
Product Access Protocols: Business plan details product access protocols.
Product access protocols must include, but are not limited to, a separate check-in area where identification is checked to ensure that only qualified employees gain access to where cannabis products are stored.
Product Deliveries: Plan for securing product deliveries to the business i.e., from delivery vehicles to building).
Security Guards: Anticipated security guard plan for the business, including number of guards, hours, protocols, and day-to-day proceduresloperations.
Video Camera Surveillance: Security plan includes video camera surveillance. Additionally, overall quality of Applicant' s plan to use cameras, including number of cameras, locations, resolution, and how long footage is saved and how access is granted by investigative/ regulatory agencies.
o Section 6: Hazardous Materials Management Plan.
A Hazardous Materials Management Plan, in compliance with all federal, state and local requirements for management of hazardous materials, is necessary only to the extent that Apglicant intends to use any hazardous materials in its operations. " Hazardous materials" includes any hazardous substance regulated by any federal state or local laws or regulations intended to protect human health or the environment from exposure to such substances
Required Submittal Item # 4: Completed Criterion Matrix, attached as Attachment " B" hereto.
Further Information Regarding Required Items:
ApplicanbOwner Information Forms — Each RFP Response shall complete the ApplicantlOwner Information Forms ( Required Submittal Item # 1). This form includes basic information on Applicant, owners, and non- owners with a financial interest in the business. The information requested is similar to that requested by the State. The City Council may disqualify any Application that includes an owner who checks " YES" on one or more ofthe boxes included in Section C: Declarations.
5 2 2
Caver Letter — The Cover Letter ( Required Submittal Item # 2) shall be a concise overview af Applicant' s RFP Response, including the proposed business concept. The Cover Letter may not exceed three pages.
Detail of Applicant' s Business Plan — This section is the main portion of the RFP Response Required Submittal Item# 3). Applicant shall provide as much detail as possible to clearly describe the day- to- day operations of the proposed commercial cannabis business. Applicants shall label each of the sections noted above.
Required Format and Submittal Guidelines for RFP Response:
Length— RFP Responses shall be no longer than 100 pages for each permit type. The page total does not include the applicant/ owner information forms or the cover letter ( cover letter cannot exceed three pages). Double- sided pages count as two pages. Please avoid duplicating informafion.
All pages shall be numbered.
Fant and Page Size— 11- point font minimum shall be used in the nanative portions of the RFP Response. All pages shall be 8. 5 x 11.
Submittal Deadline— RFP Responses may be submitted to the City no later than 6: OOpm( Pacific Time} on March 16, 2022. RFP Responses received after the established due date will be considered a" late RFP Response", will not be accepted and will not be considered. No additional weight will be given to RFP Responses submitted earlier than other RFP Responses. The City assumes no responsibility for any delays caused by delivery service. Postmarking by the due date will not substitute for actual timely delivery.
Document Submittal— All RFP Responses shall be submitted before the Submittal Deadline. Ten 10) hard copies of the RFP Response and one electronic PDF version of the proposal on a flash drive shall be provided in a sealed envelope or box with Applicant' s return address, and addressed to the following:
City of Lathrop
Ciry Attorney' s Office
390 Towne Centre Drive
Lathrop, CA 95330
Applications must be complete when submitted; there will be no later opportunity to supply missing and/ or supplemental information after the Submittal Deadline.
Other Key Information:
Baekground Check— A background check ofApplicant whose RFP is selected will be required.
Applicant, owners, and non-owners with a financial interest in a commercial cannabis business will also be required to complete the background check. 6 273
Permits Not Transferable — The assignment of, or attempt to assign, any commercial cannabis business permit is unlawful and any such assignment or attempt to assign a permit shall render the permit null and void.
Public Records Requests and Proprietary Data— All RFP Responses will become the property of the City when received. Information contained in the RFP Responses may be subject to disclosure under the California Public Records Act. Any sections or pages of the RFP Response Applicant considers proprietary should be clearly marked as such, although such marking is not determinative of whether it is proprietary under state law. The City reserves the rigltt to disclose and/ or withhold any information contained therein in accordance with the law.
Ownership Stake in Multiple Applications— Individuals may not be party to or listed as Owners in more than one RFP Response. The definition of Owner is provided on the Applicant/Owner Information Form and is consistent with the State definition of" Owner." Original Ordinance — Ordinance No. 21- 428 can be found following the text of this document and as codified in the Lathrop Municipal Code under Chapter 5. 26. A copy of this Ordinance may also be obtained by submitting a Public Records Act request with the City Attorney' s Office at 209) 941- 7235.
Disclosure Regarding Changes to Published Information— While the City does not anticipate any changes to the published information, the City reserves the right to update the informatian as necessary to resolve any unanticipated issues that may arise before or during the screening period.
Any updated information will be made by written addendum and posted on the City' s website. The failure of an applicant to read any addenda shall have no effect on the validity of such update or modification.
Limitations on City Liability:
To the fullest extent permitted by law, the City of Lathrop shall not assume any liability whatsoever with respect to having issued a commercial cannabis business permit pursuant to this chapter or otherwise approving the operation of any commercial cannabis business. As a condition to the approval of any commercial cannabis business permit, Applicant shall, and hereby does agree to:
l. Indemnify, defend( at applicant' s sole cost and expense), and hold the City of Lathrop, and its afficers, officials, employees, representatives, attomeys and agents, harmless, from any and all claims, losses, damages, injuries, or liabilities which arise out of, or which are in any way related to, the City' s issuance of the commercial cannabis business permit, the City' s decision to approve the operation of the commercial cannabis business or activity, the City' s decision-making process, or the alleged violation of any federal, state or local laws by the commercial cannabis business or any of its officers, employees or agents.
2. Maintain insurance at coverage limits, and with conditions thereon determined necessary and appropriate from time to time by the City Manager or his or her designee, to provide coverage for the obligations reyuired by the Lathrop Municipal Code, and provide evidence of coverage upan request.
7 274
3. Reimburse the City of Lathrop for all costs and expenses, including, but not limited to, legal fees and costs, which the City may incur as a result of any legal challenge related to the City' s action on Applicant' s commercial cannabis business permit, or related to the City' s action on a commercial cannabis activity. The City of Lathrop may, at its sole discretion, participate at its awn expense in the defense of any such action, but such parkicipation shall not relieve an Applicant of any of the obligations imposed hereunder.
Applicant Signature:
I, as Applicant for a commercial cannabis business permit, certify under penalty of perjury that the infarmation contained in this application package is true and correct to the hest ofmy knowledge.
I acknowledge my obligation to abide by and canform to the conditions of all perrnits issued by the Cify of Lathrop related to the proposed cammercial cannabis business and all provisions ofthe Lathrop Municipal Code pertairung to establishment an:d operatian ofthe commercial cannabis use I
including, but not limited to, the provisions of Lathrop Municipal Code Chapter 5. 2b. I further aclrnowledge approval of a commercial cannabis business permit shall, in no way, permit activity i contrary to the Lathrop Municipal Code or any activity in violation of applicable laws.
Applicant/ Agent Signature m
i Printed Name and Title: (", , r. z C O Date t o / 2.
i
I
8 2T5
Required Submittal Item #1
Applicant/ Owner Information Forms
AFFIDAVIT f3F LANDLURD
City of Lathrop February 18, 2022
City Attorney' s 4ffice
390 Towne Centre C rive
Lathrop, CA 95330
Effective Date. x . , 202..,
RE; Acknowledgement of premises to be used for commercial cannabis activity at the premises located at 16925 S. Harian RD 103, Lathrap CA 95330 Parcel No. 198- 210- 100- 000}.
We, as the awner( s) of the subject property, consent to the filing of this application and use of the property for the purposes of a retail cannabis storefront business by Central California Greens Inc. The lease agreernent is attached.
PROPERTY OWNERS: Alf signatures must be notarized.)
1 Gl 2
Print Name:
T... r-.
i' 1 Date: ..? — 7 `,: Z.-
Signat4re
Print Name
Date:
Signature
All•purpose Acknowledgment California
A notary pubiic r other o cer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
State of California
Counry of Ch ' lG+ r i+
On 3 before me, v'v ' L'' 2-, `n( k ir f 10 ( here insert name and title of the o cer),
personally appeared ' 4f c1/ 1
who proved to me on the basis of satisfactory evidence to be the person(' fwhose name(
r'j0 subscribed ta the within instrument
an acknowledged ta me that lti y executed the same
an um n u uanuu u• in i / tl, c r authorized capacity;+ e^S'), and that b hi r/t r signature(}' on the instrument the person;(, or the entity upon behalf of which the person acted, executed the instrument. Moa/Nrrt/yt, c. q/ y, y
i lnfiN/# llUw i
I certify under PENALTY OF PERJURY under the laws of the State i iui n u i uiiu af California that the foregoing paragraph is true and correct.
Notary Seal
WIT my han
official seal.
Signature
For Bank Purposes On1y
Description of Attached Document
Type or Title of Document A, i c. i- t1 . 1 t t c
Document Date _,,,, - a (' Z Number of Pages 1
5igner( s) Other Than Named Above 1_-},
Account Number( if applicable)
F001 — OOODSG5350CA - 01
DSG5350CN585577{ Rev OS- 0512t)
Applicant/ 0wner Information Form*
Commercial Cannabis Screening Applicafion
Porfions of fiae nforr at+oi disr.losed in thrs apntrrat;on u trhlrc mfn, mar,on pursuant to fhe Catilom a Fi bfir Rzccrds Act.
INSTRUCTIONS: Complete the pe tinent sections for each owner, applicant, entity owner and non• owner with financial interest in the business.
A separate form is required for each individual.
Type: Entity Owner( Complete Sections A and E)
Owner( Complete Sections B, C, D and E)
Applicant( Complete Sections B, C, D and E)
Non- owner with financiai interest( Complete Sections B and E) f 1 ' /
An entity is anything other than an individual. If an entity is an owner of the commercial cannabis business, as defined in 16 CCR§ 5023, you will need to complete the following information. Attach additional pages if needed.
Name of Entity: Phone Number:
Ownership°/ a; Organizational Structure: Email:
Authorized Agent: Tiile;
List entity members below( attach additional sheets if necessary):
Name: Title:
Name: Title:
Name: Title:
Name: Title:
Name: Title:
Name: Title:
Name: Title:
Name: Title:
Name: Title:
Name: Title:
Pursuant to 16 CCR§ 5023, an owner is defined as a person with an aggregate ownership interest of 20% or more, chief executive officer, member of the board of directors of a nonprofii, or an individual participaGng in the direction, control, or management of the applicant. A{I business owners must be listed, inGuding ihe appficant.
Full Name: Travis Corey Date of birth:
Last First M.l.
Mailing
Address; PO BOX 254606
Sheet Address ApaRment/ Unif#
SACRAMENTO CA 95865
City State ZIP Code
Phone; 415- 890- 4480 Email: corey@zen209. com
Ownership% 4% Title: Owner
Social Security No. _ Current Emp oyer
Zen Garden Wellness
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3- 7- 2022
Prinq d Nan; Corey Travis
P e3d3
Owiner Information Form ( continued)
Sec tion C- 1: Other Licensed Cannabis Businesses
Agency: BCC
Lice nse No.: C12- 0000392- LIC
Date Issued: 1- 7- 2022
Description: Microbusiness
Ca I iforn i '` , aaivEa c rr
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Applicantl0wner Informatian Form'
Comrnerciai Gannabis Screening Application
Pariions olthe infomiafron dlsr.osed ua thrs pJrcati n rs puhirc mto m bnn pursuant to the Co!]Iornia Frrhfi R.ecord,t Ac1.
lNSTRUCTIONS: Complete the peRlnent tectiont far each owaer, appticant, entlty+owner and non-ownerwith flnancial interest in the businesa.
A s eparate fortn is required for each individual.
7ype: Entity Owner{ Complete Sections A and E}
Owner( Compfete SecGons B, C, D and E)
J Applicant( Complete Sections 9. C, D and E)
Nonowner with financial interest( Complete Sections B and E) I f' ' •
An enfity is anything other than an individu. If an entity is an owner of the commercial cannabis business, as defined in 16 CCR§ 5023, you will need to complete the following infwmation. Attach additional pages if needed.
N2ime of Entity: L, x. 1 1' y ( 1 TU" 1'' 1" ( Sl t" Z.¢ t^- l n G Phone Number: ) Q s-{ 3" C Ovunership o: i t7D Organizational Siructure: Lt, Gy-(> Email: i rt' U C- G-+ r`'' S2- C o fi' 1 Authorized Agent: ot - C i'^- Z- Title:
List entity members be4ow( atiach addiUonal sheets if necessary), Na me;
TiUe:
Na me:
Title:
Na me:
Title:
Name: Title:
Na me:
Tkte;
Na me:
Title:
Naune: Title:
N2 me:
Title:
Na me:
TiUs:
N2 me:
Title:
Pursuant to 16 CCR§ 5023, an owner is defined as a person with an aggregate ownership interest of 20% or more, chief executive officer, mf; mber of the board of directors of a nonprofd, or an individual participating in the direction, conirol, or management of the appiicani. All business owners must be listed, induding the appiicant.
Fult Name: 4-^- Z- 1_) a v.. a--, Date of birth:
Lesl First MJ.
M ailing
Acldress: C. l c- v-t --""
StreetAddress qApeAmenNUnit#
rU 1 533
City Stafe ZIP Code
Phione: Email:. n<.Z/ b L, Cl- wti ' C hn
O Nnership% Title: i L
Sc cial Security No. Current Employer: J ' ^ r° p t-- d
277
i ' I
1. Do ypu have an ownership or flnanaal interest( as defined in Title 16 CCR 5003 and 500d) in a licensed cannabis twsiness? YES N If yes", complete section C• 1. 0
2. Have you ever bcen denied a pennit or state license io engage in commeraal can abis activiry, or had a permlt or siate YES NO/ license to engage in commerciai cannabis activity suspended and not reinstated, or revaked, by any city, couniy, city and O C?' i caunty, or any oiher state cannabis liaensing authcxityl If" yes", complete section G2 YES NO
3. Have you ever been convicted of a aime? If' yes', complete section C• 3.( NSC 6PC§ 2fi057)
4. Have you ever failed to pay federal, state, or local taxes andlor fees when notified by the appropriate agencles? Y N IJse additional sheets rfnecessary.
I
Agency: License No. Date Issued:
I escription ot
business:
4gency: License No. Date Issued:
IDescription of
I usiness;
Agency: License No. Oate issued:
Desaiption of
business:
Use additiona/ sheefs if necessary.
License Suspension or
Aufhority: 7ype Revocation Date:
Deiails:
n license Suspension or
Authority: Type Revocation paie;
Detaiis:
License License Suspension or
Autharity; Type Revocation Daie:
Detai{s;
278
r
Usa additional shests if necessary.
Dai:e of Code Felony or
Conviction: Section: Misdemeanor7
Date of Oate of
inc rce ation: Probation Date of Parole:
Del; ails:
Daie of Code Felony or
Conviction: 5ection: Misdemeanor?
Da4e of Date of
inGarcera6on: Probation: Date of Parole:
Dei:a1s:
Dai.e of Code Felony or
Coi viction: SecUon: Misdemeanoft
Da1;e of Date of
inc arceration: Probation Date of Parole:
Dei.ails:
C1 Copy of a currentiy valid government- issued identification Under penalty of perjury,! hereby declars that the informa6on contained within and su6mitted with the application is complete, tnre ar+d accurate. l understand that misrepresentation of fact is cause lar rejection ol this screening appl'rcation, denial of a license, or revocabon of a lic:ense issued.
Signature: Date: 3 `j_?
Prinfed Name. C.-- r. , eZ
I
i
I
279
l
Applicant/ 0wner information Form*
Commercial Cannabis Screening Applicafion
P trorrs of the m ormatron disctosed n thrs elxpGcation s puhl c nfn marmn purstran! to the Calilnnna Fubfre Recerds Act.
IMSTRUCTIONS: Complata the perUn nt secdons for each own r, applicant, entfitty owner and non- ownar wfth fieaneial interest 1n tbe bucinesa.
A uparaM form Is roquirad for each InEividuat.
Type: Entity Owner{ Canpiete Sections A and E)
Owr er( Compiete Sec6ons 8, C, D and E)
Q Applicant( Complete Sections B, C, D and E)
Non owner wilh financiai interest( Complete Sec6ons B and E) i f 1
A,n entity is anything other than an individual. If an entity is an owner of the commercial cannabis business, as defined in 16 CCR§ 5023, you w i l need to complete the following infwmation, Attach additional pages if needed. lame of Entity: Phone Number.
Ch nership° k: Organirational Structure: Email:
Authorized Agent: Title;
List entity members be{ow( attach additional sheets if necessary):
Name: Title:
Name: Title:
Name: TiUe:
Name: Tit e:
Name: Titie;
Name; TiUe:
Name: Tiile:
Name: Title:
Name; TiBe:
Name; TiUe:
Pursuant to 16 CCR§ 5023, an owner Is deflned as a person with an aggregate ownership interest of 20 0 or more, chief executive officer, member of the board of direclors of a onprofit, or an individual paficipaUng in the direction, wntrol, w management of the applicant. All business owners must be 1pistjed, inciuding the applicant.
Full Name: V S S 2 r{ r..-., p rt], pate of birth:
Last Fusf M.i.
Mailing
Address: Q,- t„ - v,.Q_
S6sef Address Apertment/Unif#
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G` Slate ZIP Code
Phone: l p SN (
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Sociai Security No. Current Emp( oyer. , ic-t—.
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1, Do you have an ownership or finanpal interest( as defined in Title 16 CCR 5003 and 5004) m a licensed cannabis business7 YES NO If" yss", complete secfion C- 1.
2. Have you ever been denied a peRnit a state license to eogage in commercial cannabis acGvity, or had a permii or staie YES NO license to engage in comme cial canrrabis activity suspended and not reinsiated, w revaked, by any city, couniy, ciiy and O O county, or any other sta#e cannabis licensing authorit/ If yes', canplete sectlon C- 2 YES NO
3. Have you ever bteen oonvicted of a crimellf' yes', complete section C- 3.( NSC 8PC§ 26057) 0
4. Nave yau ever failed to pay federal, siate, or local taxes andior fees when notified by the appropnate agencies? YES No o
Use additional sheefs if necessary.
Agency; License No, Date Issued:
description of
busineu:
Agency: License No. Date Issued;
Description of
business:
Agency: License No. Date Issued:
Description of
business:
Use addrtionaf sheets ifnecessary.
License License 5uspension or
Autharity: Type Revocation Date:
Details:
License License Suspensian or
Authoriry: Type Revocalion Date:
Details:
License License Suspension or
Authoriry: Type Revocatioo Date:
Details,
278
i
Use additronal sheets if necessary.
Date of Code Felony or
Conviction: 5ection: Misdemeanor?
Date of Date of
incarceration: Probation Date of Parole:
Details:
Date of Code Felony or
Conviction: Section: Misdemeanor?
Date of Oate of
incarceration: Probation: Date of Parole:
Deta7s:
Date of Code Felony or
Cooviction: Section, Misdemeanor?
Daie of Date of
incarceraGon: Probation Daie of Parofe:
Details:
Q Gopy of a currenUy valid government- issued identification Undei penalfy ol perjury, l hereby deciare that the informa6on contained within and submitted with the application is comp/ ete, tnre and accurate. t understand that misrepresenfation of fact is cause for rejection of this screening applicafion, deniai of a ficense, or revocaGon of a license issued.
Signature: Date: 31 a--
PriMed Name: i'-' t 1 1SS-Q- r--t_
i
zrs
i
Applicant/ Owner Information Form*
Commercia! Cannshis Scresning AppJication
F,.vt;ans of f•4e« forr at,a dur.Gsed ui lhis ep{: ficati n u puh!!c nlrrmar on pursaanl to fhe CnBtorn a r rbli Reccrd:. Arl.
INSTRUCTi0N5: Compleb itta peRlnant sacnons for each ovmar, appiicant, enttty ovmer ind nan-ownerwith financia! intenit( n tna busineas.
R Ra m+ is required for s h indhrlduai,
jYPe EntRy O rs er( Complete Secli ns A and E)
O vner{ Complete SecQo 8, C, D and E)
Applicant( Complete SecGons B, C, D aod E)
Nort- owner wifh financiai interesi f Complete Sections B and E) f 1• •
An enfity is anything other than an individual. K an enGty is an owner oF the commerciaf cannabis business, as defined in 16 CCR§ 5023, you wili need to compiete! he foliowing infamation. Attach addflionai pages if needed.
Flame of Entity:} tiG 71 1' l iG- r' t,n t, Yl L Phone Number. P J" t D{ Ownership° k: OrganizaGonai Strudure:_ r{ rG. 7 b t Email: p,.. p . m, v AuthorizedAgent: 1 IWIQ, t/„' 7,, Title: , Q
List en ty members below( attach additional sheets if necessary):
Name: 2 ! rc.. V TiUe: Uwv?.—
Name: Title: ` I,}„--
Name: 1 y,^+ c i1 c : nn.-Qnn- 2._'L. Title: wy a.rr
Name; Title:
Name: Ti;
Name: TiUe:
i1e Title:
Name; Titie:
Name: Title:
Name: Title:
r
Pursuant ta 18 CCR§ 5023, an owner is defined as a person with an aggregate ownership interest of 20% or more, chiei execufive officer, member of the board of diredors of a nonprofit, or an individual paAicipating( n the direction, control, or management of the appliqnt. All business owners must be listed, induding the applicant. I
Fuil Name: Date of birih:
Lasr Fasr Al.i.
Mailing
Address:
Shee! Addreu ApartmendUnrt#
Gty Stefe ZtP Cada
Phone: Email:
Ownership% 7iile:
Sodal Security No. Current Employer:
277
1. Do you have an ownership w financ[ ai inierest( as defined in Title 16 CCR 5003 and 5044) in a licensed cannabis business? YES NO If' yes`, complete section C- 1.
2. Have yau ever been denied a permit or state license 10 engage in commeraai cannab' s ac6vity, or had a permit pr state YES NO license to engage in comme ciai cannabis activiry suspended and noi reinstaied, or revoked, by any city, caunty, aiy and county, or any othe siate cannabis licensing authortty? If' yes", complete sectian G2.
YES NO
3. Have you ever been oonvicted of a aime? If" yes', complete section C-3.( NSC BPC§ 26057J
4. Have you ever failed to pay federal, state, or local taxes andlor fees when noiitied by ihe apprapnate agencies? YES rt0 Use additional sheets if necessary.
Agency: Ucense No. Date Issued:
Description of
business:
Agency: License No, Date Issued:
Oescription of
business:
Agency: License No. Date fssued:
Description of
business:
Use add'rtiona! sheets ifnecessary.
License icense Suspension or
Auihority: Type RevocaGon Daie:
Details:
License License Suspension or
Auihority: Type Revocation Date:
Details:
License License Suspension or
Authority; Type Revocation Date;
Details:
278
i
I
Use atididonal sheets if necessary.
Date of Code Felony or
Conviction: Section: Misdemeano?
Daie of Date of
incarceration: Rrobation Date of Parole:
Details:
Date of Code Felony or
Conviction: Section: Misdemeano(
Date of Date of
incarceration: Probation: Date of Parole:
Details:
Date of Code Felony or
Conviction: Seciion: Misdemeanor?
Date of Date of
incarceration: Probation Date of Parole:
Details:
i i•
Copy of a currently valid govarnment- issued identification Under penaity of perjury, l hereby dec/are that the information contained wifhin and submitted with the apptication is complete, true and accurate.! undersiand that misrepresentation of/ act is cause/ or rejection of thls screening applicatlon, denia! of a license, or revoca6on of a license issued.
Signature: Date: 3 a
Printed Name: ( h . 1 ---
279
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Required Submittal Item #2
Cover Letter
March 3, 2022
City of Lathrop
City Attorney' s Office
390 Towne Centre Drive
Lathrop, CA 95330
RE: Application for Medical/ Retail Cannabis Dispensary with Delivery:
Zen Garden Wellness For location at 16925 S. Harlan Road # 103 To Whom It May Concern;
We at Central California Greens, Inc. dba. Zen Garden Wellness appreciate this opportunity to submit our Application for a Retail Cannabis Dispensary to the City of Lathrop. It is our mission to provide our community with top-quality, tested, and where possible organic and sustainably grown cannabis and cannabis- based products to verified customers over the age of twenty-one ( 21) or qualified patients over the age of eighteen ( 18).
We are confident that our location and overall application meets or exceeds expectations and standards set by both the City of Lathrop and the State of California. For ease of reference, we have provided a Table of Contents delineating all the Review Criteria documents. We have made every effort to order the materials based on the Review Criteria Application while ensuring within such ordering a full and complete response to all requested items found in the City Ordinances and the overall Application Procedures.
This application represents a knowledgeable team of industry professionals, City of Lathrop residents, and business owners who are experienced in the operation of regulated commercial cannabis enterprises. As such, the application is not a theoretical discussion on potential best practices, but rather a description of real- world systems and processes that have been developed and put into place in retail cannabis stores operating in good standing in the greater Sacramento/ San Joaquin area. With over a 10-year operating track record, and over a dozen cannabis stores opened under our leadership, The City of Lathrop can be assured this group of operators represents the experience, readiness, and knowledge needed to effectively service the City' s retail cannabis clientele.
Our team places compliance with regulations and public/ employee safety as a central tenant in our business operations. To that end we see documented policies, procedures, inventory controls, and strict corporate compliance and oversight as essential components of our functioning business model. We have provided a sampling of checklists, employee manuals, and standard operating procedures which have been developed to ensure consistency and transparency at every level of the organization. Product acquisition and distribution will be done in accordance with State regulations from licensed distributors, and producers with checks and balances at every stage in which product is handled. Strong executive oversight augments operational procedures to ensure corporate and legal compliance.
In addition to compliance, many of our team members are long-term residents of Lathrop, which you can be confident, will lead Zen Garden in a manner that is well- suited for our local residents and will represent and elevate Lathrop across the state. Our group is highly tuned into the needs of Youth & Seniors in the community, and have developed a robust community benefits program to support those groups, along with local residents of Lathrop through good paying jobs, local hiring, and stimulation of the local economy.
The members of our ownership team remain a resource to the City, and are available at any time to address questions or concerns as they relate to this application.
Respectfully submitted,
Donald Jiminez
Owner/ Operator
Central California Greens, Inc.
C .
Zen Garden
WELLNESS
Required Submittal Item #3
Business Plan
Submittal # 3— Business Plan Page 1
sC z
Zen Garden
WELLNESS
Tabfe of Contents
SECTION 1
A. 1 Owners Experience
Industry Knowledge, Ownership Team, Compliance with Lathrop Municipal Code SECTION 2
A.2 Finances
A. 2. 1. Proof of Capitalization
A.2. 2 Pro- Forma ( 5 Years)
A. 2. 3 Operating Budget
A.2. 4. Construction Budget and Schedule
A. 3 Daily Operations
A. 3. 1 Statement of Operations
A. 3. 2 Opening and Closing Procedures
A.3. 3 The Applicant's Position in the State' s Mandated Cannabis Supply Chain A. 3. 4 Best Practices/ Standard Operating Procedures
A.3. 5 Customer Check- in Procedures
A. 3. 6 Receiving of Cannabis Deliveries
A.3. 7 Point- of-sale System and Inventory Control ( FLOWHUB) A.3. 8 Number of Customers per Day
A.3. 9 Sales Floor Area Operations
A. 3. 10 Proposed Product Line& Percentage of Sales
A.3. 11 Delivery
A.4 Conformance with Local and State Laws
A.4. 1 Compliance and Legal Team
A.4. 2 Delivery Operations Industry Best Practices for Retailer A.4. 3 General Cannabis Business Operating and Conduct Requirements A.4.4 General Business Regulations
Submittal # 3— Business Plan Page 2
sC(1 z
Zen Garden
WELLNESS
A.4. 5 Marketing Plan
A. S. Inventory Control Procedures
A.5. 1Cannabis Inventory Control and Track and Trace Technology System: FLOWHUB A.5. 2 Inventory Storage
SECTION 3: Communitv Benefit
SECTION 4: NeiEhborhood Comnatibilitv
SECTION 5: Securitv Plan
Exhibit 1 SAMPLE SOP ( STANDARD OPERATING PROCEDURE)
Exhibit 2. Sample Educational Training Material Packing/ Adult/ Medical Exhibit 3 FLOOR AND SITE PLANS
Exhibit 4 Record Keeping Policy
Submittal# 3— Business Plan Page 3
c
Zett Gorden
WELLNESS
A. 1 Owners Experience
Corey Travis
Holding a B. S. in Business Administration, Mr. Travis has been involved in the regulated cannabis industry for the past 10 years. During that time, he has grown from running one small store in the City of Sacramento, to Director of Compliance and Operations for several highvolume retail and production- based companies across the State. Mr. Travis' s substantial engagement in the industry during its early stages of development resulted in the formation of key relationships within the space, as well as with its regulators.
With his home base in Sacramento, CA, the birthplace of California' s commercial cannabis industry, Mr. Travis was able to develop real world experience running retail cannabis stores as an early- stage licensee. That experience has since translated to Travis' s implementation of industry best practices as multi- state awardee of licenses, both as a principal, and operator, many times over.
Mr. Travis has continued to maintain an active presence within the industry, and his community.
As both an applicant and operator, Mr. Travis has been responsible for ensuring his businesses deliver on the commitments they make to their communities, their customers, and their business partners.
In order to maintain successful expansion within the evolving regulated cannabis industry, Mr.
Travis has had to develop a keen understanding of the changing regulatory and compliance aspects of the business. Director of CannaLicensed Consultants, Travis evaluates local operating ordinances and trending changes in the State regulatory text to develop proper standard operating procedure manuals, and systems of best practice for cannabis licensees. Travis understands that compliance is a key component to maintaining proper licensure, and has a dedicated team who ensure product is safe, tested, and distributed in accordance with applicable regulations.
Mr. Travis is familiar with State Track and trace inventory systems and has written standard operating procedures ( SOP)' s that place high priority on monitoring for non- diversion. He believes in strict oversight over the chain of custody, and ensures that b isinesses properly report their cannabis purchases and sales in accordance with State law.
With such a tremendous increase in the competitiveness and expense of entering the marketplace, it' s more important than ever to distin uish paper thin applicants from business owners who can deliver tax revenue to their regulators and profit to their investors. Mr. Travis continues to remain intimately involved in a number of commercially successful cannabis businesses across several well-regulated jurisdictions to meet that standard of review.
In anticipation of pending regulatory changes, and broadened access to an increasing customer base, Mr. Travis believes it prudent to continue pursuit of the first mover advantage in new State Submittal# 3— Business Plan Page 4
S
Zen Gorderi
WELLNESS
and Local markets, while developing the infrastructure, branding, and production sides of the industry. He believes a successful portfolio of cannabis interests include participation at m iltiple levels of the value chain.
The following sites were entitled by Mr. Travis as the applicant and/ or operator, via public hearing, and remain in good standing with their respective governing authorities. His knowledge of proprietary business systems, community action, and public policy yielded successful results in an extremely competitive process.
Two Rivers, Sacramento, CA Opened 07/ 11
Green Solutions, Sacramento, CA Opened 08/ 09
Green Door Metro, Sacramento, CA Opened 02/ 1 S
Zen Garden Wellness, Sacramento, CA Opened 04/ IS
Tahoe Hydroponics Company, Carson City, NV Opened 07/ IS Joy of Life Wellness Center, Palm Springs, CA Opened 10/ 16 Zen Garden Wellness, Stockton, CA Opened 08/ 18
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Anthony " Romeo" Ussery
Anthony Ussery is the co- founder and president of Alpha Zeta Logistix and Verve Last Mile , two full scale logistics frms that primarily operate in the San Francisco Bay Area . These firms have a combined workforce comprised of over 250 employees from various ethnicities and backgrounds. f ie has been featured as one of the 30 under 30 young African American entrepreneurs in the state of California for his work with growing successful logistics firms that employs many ninorities.
He prides himse(f on a commitment of being a truly equa( opportunity employer. The workforce he employs is the backbone and cornerstone of his business. In addition to the workforce he along with his Partner ponald Jit nenez own $ 8. 6 million in assets including 127 vehicles in their fleet.
Submittal# 3— Business Plan Page 5
c
Zen Gorden
WELLNESS
Before devoting his work full time to his firms, Anthony Ussery served as Regional Operations Manager for Synctruck , a natio al logistics firm. He lead a team of over 500 emp( oyees in the California region , operating at high levels across the board in Delivery Success , Employee Retention and Re iability.
Ussery is obsessed with leveling the playing. In 2020 he started on a journey helping other centered around the vision that small businesses should be able to thrive as much as big business.
Since then he has i lvested time effort and resources in fourteen other entrepreneurs businesses that he has assisted in scaling to mid six figures. He has also donated and vo(unteered at many charitable organizations which align with his mission to directly impact the lives of his community including St. Jude Hospital, Silicon Valley Community Foundation, and About My Father' s Business just to name a fiew.
In tl e future Anthony Ussery hopes to create two foundations of his own. One to help solve the California homelessness crisis by providing comprehensive assistance to those living in this condition to receive an education and provide housing. The other would provide grants to young business owners, looking to do start ip businesses and requiring them to gain handson experience with veteran entrepreneurs.
Donald Jiminez
Donald Jimenez is a San Joaquin native; and a 1 st generation college graduate from the University of Calif'ornia Davis. Before entrepreneurship, Jimenez began as a Project Manager for a start up in Silicon Valley Synctruck LLC. Soon turning this entity into a national ( ogistics brand, with moving delivery vehicles in California, Texas, Utah, Reno, and New Jersey.
Donald' s strength was employee relations due to diversity connections, and maintaining retention.
Professionally, Donald Jimenez is chief officer of operations for two LLC' s Alpha Zeta Logistix and Verve Last Mile. 3oth businesses cover ground between the Peninsula of San Francisco and East Bay territory' s. His firms proudly deliver to on average of 17, 500 c istomers daily across these communities. Only possible through maintaining a workforce of 250 employees on payroll.
In addition to have 127 vehicles readily available for road departure. Donald' s urban roots with entrepreneurial gifts have been instrumental to creating these entities that now produce 1 1 M in annual revenL e.
Aside from financial success, Jimenez' s ptiire joy is in Lathrop as a home owner in the River islands community. This is where he has made the decision to raise his family composed of his wife and two daughters. Jimenez shares the vision for Lathrop as a thriving community full of development and good promise to its residents.
Submittal# 3— Business Plan Page 6
Zen Garden
WELLNESS
Ownership Team Involvement:
The Ownership team will maintain a hands on approach with the business, with all owners serving as managing partners of the business, handling day-to- day operations such as procurement of the menu, safety, marketing, operations, as well as the executive duties on the Board, guiding the Company. The owners are local, and live/ work in Lathrop- this will ensure a productive partnership between the City and the Dispensary.
Compliance with Lathrop Municipal Code:
In order to ensure compliance with the Lathrop municipal code, the Company has hired a compliance officer to monitor any proposed changes to the code that may affect the business, as well as conduct audits to ensure ongoing operations remain in sync with the ordinance.
A.2 Finances
Zen Garden financial projections are conservatively based on first-hand knowledge of multiple current licensed commercial cannabis enterprises as well as published industry statistics regarding market share, consumer spending, and demographic trends across the State.
A. 2. 1. Proof of Capitalization
Zen Garden is well capitalized with a total of nearly $ 1M in committed capitaL The financial backing for Zen Garden will first come directly from the Company' s owners. Ownership funds of$ 450, 000 are readily available to build- out the facility, make initial hires, develop a customer base and procure inventory. Additional private loans have been secured with a promissory note for up to and additional $ 500, 000 as needed. Given our sufficient cash reserves, we have the ability to cover additional costs as necessary given the uncertain nature of construction costs and timelines.
FOUNDING CAPITAL Capital$
Anthony Ussery 200, 000
Corey Travis 250, 000
Submittal# 3— Business Plan Page 7
c
z@R GOrden
WELLNESS
SUBTOTAL $ 450,000
LOANS
Zen Garden Wellness Corporate 500, 000
GRAND TOTAL $ 950, 000
NOTE: Documentary evidence for capitalization is attached.
A. 2. 2 Pro- Forma { 5 Ysars)
Based on estimated costs of start- up, operating costs, and costs of goods sold, Zen Garden anticipates recouping its investment within three years of operation with a 3 YR net after tax profit of over$ 1, 500, 000 and thereafter averaging $ 1-$ 2M per year by which it can then ramp up staff wages and benefit packages, and make more substantial contributions to the Community Benefits Programs outlined below.
Similar to other California adult- use cannabis dispensaries, we expect cost of goods sold for our retail and delivery business lines to be equal to approximately fifty eight percent ( 58%) of our respective gross revenues. Other costs of goods including supplies and materials, and vehicle fuel/ maintenance charges will result in gross profit margins ranging from thirty- eight percent 38%) to forty-five percent ( 45%) through the first five( 5) years.
Year 1 Year 2 Year 3 Year 4 Year S
Total Revenue 3, 166, 620 6, 333, 240 9,499, 860 11, 874, 825 13, 656, 049 COGS 1, 868, 306 3, 736, 612 5, 604, 917 7, 006, 147 8, 057, 069 Gross Profit 1, 298, 314 2, 596, 628 3, 894, 943 4, 868, 678 5, 598, 980 Lease Payment 84, 000 86, 520 89, 116 91, 789 94, 543
Marketing 195, 000 204, 750 214, 988 225, 737 237, 024
Insurance 21, 600 24, 840 43, 840 43, 840 43, 840
Utilities 48, 000 48, 000 48, 000 48, 000 48,000
Supplies 30, 000 189, 997 284, 996 356, 245 409, 681
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Wages/ Salaries 407, 412 419, 634 432, 223 445, 190 445, 190 Payroll Withholding 36, 667 36, 667 36, 667 36, 667 36, 667 Alarm/ Internet 30, 000 30, 000 30, 000 30, 000 30, 000 Security 262, 800 262, 800 262, 800 262, 800 262, 800
Legal/ Lobby 7, 000 7, 000 7, 000 7, 000 7, 000
Operations 112, 248 117, 860 123, 753 129, 941 136, 438 Permit( City/ State) 101, 000 101, 000 101, 000 101, 000 101, 000 Est. Local Taxes 158, 331 316, 662 316, 662 316, 662 316, 662 EBITDA Net Profit/
Loss) 37, 413j 1, 067, 559 2, 220, 560 3, 090, 469 3, 746, 797 EBITDA% 3470. 2% 243. 2% 175. 4% 157. 5% 149. 4%
Year 1 Year 2 Year 3 Year 4 Year 5
3 60, 000)
37, 413) 1, 067, 559 2, 220, 560 3, 090, 469 3, 746, 797 397, 413) 1, 067, 559 2, 220, 560 3, 090, 469 3, 746, 797 229, 8b8) ( 501, 230) ( 772, 554) ( 975, 677) ( 1, 129, 041) 950, 000 322, 719 1, 891, 509 4, 884, 624 8, 950, 771
322, 719 1, 891, 509 4, 884, 624 8, 950, 771 13, 826, 608 A. 2. 3 Operating Budget
Zen Garden' s initial funding resources will originate from capital contributions comprised of approximately $ 950, 000 of cash from the owners & financiers. The $ 950, 000 of cash will be allocated across the numerous costs outlined in charts below, which includes: ( i) Real Estate Tenant Improvements for the store, ( ii) two ( 2) delivery vehicles with lockbox systems, ( iii) startup inventory, ( iv) startup expenses until steady state of operations, ( v) the first three( 3) months of operating expenses, ( vi) additional cash reserves.
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A. 2. 4. Construction Schedule
The following Construction Budget and Schedule for our buildout have been provided by our General Contractor. The proposed site is within an existing building, and has the ability to be open within 6 months within issuance of an operating permit.
A. 2. 4. 1 Construc# ion Budget
We expect completion of the entire entitlement and rehabilitation of the new cannabis dispensary within 6 months. Due to the prime location of the dispensary, we do not expect the need for any ramp- up period during our initial months of operations.
Capi#al Expenditures..
POS Equipment 25, 000 4. 2%
Support Equipment 0. 0%
General Fit- Out Expenses 200, 000 33. 3°/ a
Delivery Vehicle 55, 000
Office Furniture& Equip 15, 000 2. 5%
Incidentals/ Pre- Launch Labor $ 15, 000 2. 5%
Soft Costs 20, 000 3. 3%
Contingency 30, 000 5. 0%
Working Capital 240, 000 40. 0%
Total Capital Expenditures 600, 000
A, 2. 4. 2 Construction Schedule
Subsequent to full review of Zen Garden building plans and considering the City' s permitting process, our General Contractor has provided us with the conservative timeline below. Because many of these activities will occur simultaneously, we anticipate operations commencing a total of 6 months from submission.
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PROJECT SCHEDULE
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We anticipate our Grand Opening approximately six ( 6) months after notification of selection. This period of time allows for the subsequent submission of applications for our Conditional Use Permit and negotiation of other required permits as may be required by the City. Preliminary designs and plans, some of which are included herein under our site plans have already been completed to minimize future delays.
In case of unforeseen delays, we are sufficiently capitalized with capital reserves to carry our operations for several additional months and longer with slight alterations to immediate plans.
We are aware of the time needed to obtain building permits and other City approvals, along with an expected review by the BCC for a State license estimated at approximately three ( 3) months. Our intent will be to handle as many of the permit/ license applications concurrently to cut down on time until operations, as the sooner we can operate the quicker we can start serving our community and contributing to the local economy.
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The construction timeline for the actual build- out is expected to take three to four months, which will be initiated as soon as permits are approved by the City. After discussions with local City general contractors, we are confident that, although aggressive, with the right planning this schedule of construction is manageable. In case of unforeseen delays, we are sufficiently capitalized with capital reserves to carry our operations for several additional months and longer with slight alterations to immediate plans.
A. 3 Daily Operations
A. 3. 1 Statemer t of Operations
Central California Greens, Inc., a California C- Corporation, dba. (" Zen Garden", " Applicant", or " Company"), will establish and operate a Commercial Cannabis Storefront Retailer with Delivery that, will engage in delivery at 16925 S Harlan Road. Lathrop. CA 95330 ( the Facility"). At a high- level overview, Zen Garden will conduct the following activities as part of its cannabis dispensary operations:
A. Procurement of finished, i. e. final form, cannabis and cannabis products ( together referred to herein as " cannabis goods") from licensed distributors with a focus- on sourcing and featuring products cultivated and manufactured in Sacramento, San Joaquin, and/ or nearby areas;
B. Store and stage with proper security features finished cannabis goods prior to retail sale; and
C. Offer a specifically curated menu of finished cannabis goods for retail sale to qualified patients over the age of eighteen ( 18), their primary caregivers, and customers over the age of twenty- one ( 21) ( collectively, " Customers") at the Facility by operating as a cannabis Retailer Storefront.
Offer finished cannabis goods for retail sale to Customers via delivery vehicles by operating as a cannabis retail storefront with delivery operations.
E. Adopt and implement Best Practices from the cannabis industry Standard Operating Procedures. ( For an example, see ( SOP) " Cash Handling Policy and Procedures" attached herein.)
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A, 3. 2 Opening and Closing Procedures
I. Dispensary Daily Operating Schedule
On days in which the Dispensary is open for operations, staff will operate the Dispensary pursuant to the following daily regular schedule:
A. Morning- shift personnel open the Facility for non- public operations at 7: 00 a. m.
B. From 7: 00 a. m. to 8: 00 a. m., morning- shift personnel stage cannabis goods for display and ultimate retail sale.
C. Morning- shift Dispensary personnel open the Dispensary for public operations at 10: 00 a. m.
D. From 10: 00 a. m. to 9: 00 p.m., the Facility is open to the public and Customers may engage in the retail purchase of cannabis goods.
E. Evening- shift Dispensary personnel close the Dispensary and customer delivery service for non- public operations at 9: 00 p. m.
F. From 9: 00 p. m. to 10: 00 p. m., evening- shift personnel ftnalize and log transactions from the day in accordance with the Applicant' s record- keeping policies. A visual inspection is conducted for all cannabis remaining on display. tf any discrepancies are found it will trigger an audit and if needed, a full inventory reconciliation.
II. Opening Procedures ( Managers and Team Leads)
Activities in this section apply only to Managers and Team Leads. The opening procedures in this section begin no later than one ( 1) hour before store opening.
Guard service to be on site to pre- screen premises 30 minutes in advance of scheduled arrival time of opening manager to deter/ prevent robberies at opening of business.
Opening manager to drive perimeter of business looking for unusual circumstances and confirming presence and welfare of guard( s).
A. Enter through the rear delivery entrance
Disable alarm. Iffound in disabled condition, retreat to position of safety and have guard clear interior of any hazards. Investigation into alarm failure is triggered.
Turn on lights
Put on ID badge.
Employees starting the shift can come in through either the front entrance or through the rear entrance ( those who park in the back lot). Security will confirm employee identity and allow employees through lobby. Ordinance requires door to be secured at all times, even during business hours. Guard will buzz staff in, verify they are scheduled, and issue their employee ID from the staff ID safe in the reception area.
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Unlock front door just prior to opening.
B. Turn on the equipment at each POS register that is starting the shift:
Tablet ( screen).
Scanner( wait for confirmatory beep)
IV. Opening ( Budtenders, Security and Intake)
Activities in this section apply to the rest of the crew ( not Managers and Team Leads).
A. Enter through the front entrance.
B. Put on ID badge provided by Security; badges will be stored in the Reception Safe where each night the manager places badges for the next day' s scheduled staff.
C. Pick up intercom headset, as applicable
D. Pick up walkie taikie/radio. Radios to be carried by Security, on duty manager, retail shift leads, reception staff, and delivery drivers.
IV. Daily Inventory Staging for Sales Floor
A. Inventory Manager to open limited access Secured Product Storage area and move daily cannabis products to Internal Transfer Area
B. Budtenders to be assigned certain products from Internal Transfer Area to sales floor showcases and storage areas behind showcases to meet daily sales requirements V. Opening: Cash Count
A. Manager retrieves cash drawers from vault and works with Budtenders in Internal Transfer Area to ensure each register has starting balance of$263. 00 that Budtender shall be responsible for during their shift.
B. Budtender counts cash total with Manager prior to taking to POS station/ register.
VII. End of Day Closing: Last Shift ( Budtenders Only)
A. Budtenders organize their station and replenish bags and receipt papers. They shall also wipe clean the touch- screen monitors.
B. As directed by the manager on duty, budtenders perform partial inventory reconciliation. See Section A: Business Plan, 5. Inventory Control Procedures.
C. Return any equipment, badges, and intercom headsets to Security/ Reception D. When done with all the tasks, budtenders may clock out and leave.
E. Budtenders should normally leave through the front entrance of the store and are normally escorted by security ( unless requested otherwise) for personal safety reasons. Security provides escort to the employee' s vehicle.
F. Team leads and managers stay behind to perform additional tasks as the budtenders disperse.
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VIII. Closing: Inventory Count
Activities in this section apply to Budtenders, Team Leads, and Managers.
A. Hard Count ( Budtenders, Team Leads)
Budtenders and Team Leads organize the inventory and do a hard count using a notepad.
B. Verification ( Team Leads)
A Team Lead takes the notepad with the count and reconciles it with the live inventory system ( the inventory count is only accessible by the Team Leads and Managers).
Ifthere are discrepancies, the items still in the Secured Product Storage may also be counted.
Ifthere are still discrepancies between hard count and FLOWHUB inventory count, the Team Lead highlights the items and presents the findings to the Manager.
C. Verification ( Manager)
The manager takes the notepad with the count and reconciles it with the live inventory system (the inventory count is only accessible by the manager).
The manager may choose to perform another hard re- count of the item.
The manager can adjust actual count in live inventory.
IX. Closing: Closing Cash Drawers
A. The last budtender at a particular POS register logs out.
B. Manager: Turn off the register and print out daily receipt.
C. The receipt gives the receipt of totals for the entire drawer for the day.
D. Final register count confirmed by Manager and Budtender in Internal Transfer Area
E. Manager leaves $ 250 in register drawer that is placed in the vault overnight to start next day. Amounts over$ 250 are stored within a separate area of vault and scheduled for armored car cash pick up
F. Empty register left open overnight to show any potential criminal that no funds are available.
G. Write down the register number on the receipt.
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H. Move to the next POS register and repeat steps.
XI. Closing: Total Count
A. Manager and respective budtender to re- count the money ( using the currency scanner/ counter) for all the drawers and compare the total from the currency counter to the actual Daily Total.
B. Get the batch ticket reflecting the total revenue for the entire day.
C. The cash for Daily Total is combined into a bag, and secured with a rubber band and placed into vault by Manager along with cash within cash drop safe from daily drops.
D. In FLOWHUB, indicate that the cash has been moved to the main vault, and indicate the day in Notes field. This sends information to accounting, indicating the revenue for the day.
E. The cash bag is transferred into the main vault.
XII. Closing: Ending Shift( Managers and Team Leads)
A. Each manager and team lead complete the End of Day Checklist in FLOWHUB.
1. Login and select PM shift
2. Do not mark" check" on items you did not personally perform ( unless the manager verifies that he/ she performed the task).
3. End of Shift
4. Reset till, print totals report receipt, and attach to end of shift report
5. Inventory Check
6. Verify nightly inventory count sheet. If there are any corrections, submit a new Inventory Count Sheet.
7. Walkie- Talkies
a. Confirm that all walkie- talkies have been returned to the charging station. b. Sign Off
8. Verify & sign off on all daily procedures.
9. Clock Out and ID Badges— clock out and turn in badge to Manager.
10. Manager to review schedule for following day and place ID badges for scheduled staff in the Reception Safe for distribution by Security the following morning. All other badges to be stored in Manager' s office.
11. Employees shall exit through rear delivery entrance while Security monitors doorways and Manager is the last to leave.
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B. Manager to ensure all registers are open and empty, all limited access areas are closed and locked, night lights are turned on and security alarm activated. Lock doors.
A. 3. 3 The Applicant' s Position in the State' s Mandated Cannabis Supply Chain
As a cannabis storefront dispensary engaged in the retail sale of cannabis goods and cannabis accessories to Customers, Zen Garden represents the final link in the State of California' s ( the " State") mandated Commercial Cannabis Supply Chain. Pursuant then to the State Cannabis Law, Zen Garden must procure all finished cannabis goods at wholesale from licensed distributors, who have already ( i) procured the cannabis goods from licensed cultivators and manufacturers; ( ii) arranged for the finished cannabis goods to receive a Certificate of Analysis (" COA") from a testing laboratory that the finished cannabis goods have passed the testing requirements pursuant to the State Cannabis Law; and ( iii) performed quality assurance inspections on the finished cannabis goods. Zen Garden, therefore, will confirm a Distributor' s valid license number and associated shipping manifest with an approved / passed COA prior to accepting products as discussed in the Inventory Control Procedures in Section 5 ofthis Business Plan.
In furtherance of this, Zen Garden has already obtained written commitments from Licensed Distributors, who are willing to supply product to the retailer for operations. Terp Wholesale, LLC in Sacramento California, is one of these such distributors who is already engaged in supplying San Joaquin County dispensaries.
The State' s Mandated Cannabis Supply Chain
Cultivators
Dispensaries'
Qistributors
Manufacturers
Extraction}
Delivery
i Manufacturers TtStln
ncl des retailers, • micro9 businesses" and " nonprofits Infusion) aboratories licensed under Section 26070. 5 of the 68P Code"
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A, 3. 4 Best Practices / Standard t perating Procedures Zen Garden shall adopt operational best practices in the form of Standard Operating Procedures across the totality of their operating activities. These industry-standard SOPs include, but are not limited to: Shipping, Receiving and Material Handling, Inventory Control, Destruction of Product, Handling of Damaged Product, Sanitation and Maintenance, Complaint Management, Employee Health and Hygiene, and Equipment Management.
Please see Sample SOP: Cash Management and Handling)
A. 3. 4. 1 Facility Requirements
The Facility shall be constructed and maintained in a manner that ensures public and employee safety, and encourages sustainability as discussed in the Safety and Security Plans in Sections C and D.
Designated Employee Areas
No person may store clothing or other personal effects in any area used for the storage, or preparation for sale, of cannabis goods. Areas designated for employees to eat or drink ( e.g., break rooms or conference rooms) shall be located so that cannabis goods are protected from contamination.
Restrooms
There shall be employee restrooms with toilets in the Facility. The number of toilets and ADA accessible facilities provided are in accordance with local building ordinances. Restroomsshall be separated from other portions of the Facility by wellfitted, self-closing doors that prevent passage of insects, dust, or odors. Restrooms shall be vented to the outside air by means of an open- able screened window, an airshaft, or a light switch- activated exhaust fan, consistent with the requirements of local building codes. As a progressive company, Zen Garden will consider and designate the restrooms as gender- neutral. All restrooms shall remain locked and under control of Company management.
Facility Equipment Requirements
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materials, and shall be constructed, installed, and maintained to be easily cleaned.
Cannabis Storage
Zen Garden shall store all cannabis in areas of the Facility that are ( i) completely enclosed and designed to permit control of temperature and humidity and prevent the entry of environmental contaminants such as smoke and dust ( ii) within refrigerated safes or vaults where necessary that are bolted to the floor or structure of the Facility and ( iii) are only accessible by authorized personnel through key card, biometric or other similar limited access mechanism.
Facility Security Requirements
The Applicant shall implement security measures reasonably designed to prevent unauthorized entrance into areas containing cannabis goods and theft of cannabis goods from the Facility. Zen Garden' s security measures are contained in the Security Plan found in Section D. Please note our use of a contact- free screening lobby protecting staff from those as yet unidentified, a triple layer access control model to access retail, coupled with a door redundant, triple door exit path as referenced in greater detail in the Security Plan.
Security During Hours of Operation
Unless otherwise required by the State Cannabis Law or the City Cannabis Law, the Facility shall be open to the public between the hours of 8: 00 a. m. and 9: 00 p. m.
Monday through Sunday. There will be, Q deliveries of cannabis goods to customers outside of this time frame. Further, any deliveries to residential properties within 600 feet of a public or private K- 12 school shall not occur during school hours ( 8: 00 am and 3: 00 pm Monday- Friday). As confirmed with City staff, the Applicant may hold non- public Facility hours for activities such as opening and closing the Facility, employee training, and accepting distributor shipments of goods during non- public hours except that no shipments of cannabis oods shall be accepted before 6: 00 a. m. or after 10: 00 p. m., pursuant to BCC Regulations § 5422( c).
Any time the Facility is not open for operations the Applicant shall ensure the following:
A. The Facility shall be securely locked with commercial- grade, nonresidential door locks.
B. The Facility' s alarm system shall be active at all times.
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c. All cannabis goods shall be stored in a locked safe, vault, secure product storage room, or secure display.
Only authorized employees and contractors escorted by an authorized employee shall be allowed to enter the Facility.
Storefront Dispensary
Zen Garden shall prevent unauthorized entrance into the Eacility and, in particular, the dispensary Sales Floor and theft or misuse of cannabis goods through the following Facility requirements:
Customer Waiting Area
The Applicant shall post a sign at the Customer waiting area, which states that smoking, vaping, ingesting, or otherwise consuming cannabis in the Facility or in the areas adjacent to the Facility is strictly prohibited. No person will be admitted to the retail area without first verifying through examination of a government- issued identification card that he or she is at least the minimum age under state law to enter the premises as Adult Use or Medical patient, as applicable. The waiting area will be physically separated from the retail area by a wall as illustrated on the Floor Plan. Absolutely Q, cannabis goods will be accessible to Customers in the waiting area.
Access to the Dispensary Retail Sales Area
Zen Garden shall ensure that the entrances into the dispensary Sales Floor Area are always secured with entry strictly controlled by on- site security.
At least one ( 1) employee will always be physically present in the retail area when any non- employee is in the retail area. Within the retail area, the number of nonemployees will not exceed twice the number of employees at any time.
Daily Sales Limits
A. In accordance with State Law, the Company shall not sell more than
28. 5 grams of non- concentrated cannabis flower in a single day to a single adult- use customer. Furthermore, the Applicant shall not sell more than 8 grams of concentrated cannabis, as defined by B& P Code section 26001, including concentrated cannabis contained in cannabis goods to same.
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B. Notwithstanding the above, if a qualified patient or primary caregiver has a physician' s recommendation pursuant to the State Cannabis Law that
28. 5 grams of non- concentrated cannabis or 8 grams of concentrated cannabis do not meet the qualified patient' s current medicinal needs, the qualified patient or primary caregiver may purchase an amount of cannabis consistent with the qualified patient's needs as recommended by a physician.
A. 3. 4. 2 Nuisance Mitigation 8 Consumer Protection
1. Zen Garden shall implement and enforce the following operational requirements to prevent the Facility from becoming a public nuisance and to protect the well- being of its customers and staff:
A. Prominently display a
copy of its City-issued cannabis
dispensary CUP, Commercial Cannabis Permits, and State- Issued BCC Type 10 Retailer permit in a conspicuous location visible and accessible to members of the public.
B. Have uniformed BSIS security officers present to serve as a visible deterrent to any criminal activity or nuisances, including ensuring no loitering occurs on or adjacent to the Facility premises.
C. At no time shall any of the following items be allowed at the Facility: ( i) any controlled substance, other than cannabis; ( ii) any paraphernalia used for the ingestion of any type of controlled substance, including cannabis ( except for cannabis accessories for incidental retail sale to Customers); ( iii) alcoholic beverages; or ( iv) firearms, except in strict compliance with federal, State, and County laws and regulations.
Shall not sell alcoholic beverages or tobacco.
E. Shall prohibit smoking, vaporization, ingestion, or
consumption of alcohol, tobacco, or cannabis in any form at the Dispensary or the surrounding area.
F. Shall not have an on- site physician for the purpose of evaluating patients for issuance of a medicinal cannabis recommendation or identification card nor shall Zen Garden give or offer to give any form of remuneration to a physician if the physician or his or her immediate family have a " financial interest" ( as that term is defined in Section 650. 01 of the B& P Code) in the dispensary.
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G. Shall not distribute any form of advertising for physician recommendations for medicinal cannabis unless the advertisement bears the notice to consumers contained in Section 2525. 5 of the B& P Code.
H. Shall not allow any individual under the age of eighteen ( 18) in the Dispensary.
Shall not hire or employ any person under twenty- one ( 21) years of age at the Dispensary.
J. Shall ensure litter removal services as needed in front of the Facility and, if necessary, on public sidewalks within one hundred 100) feet of the Facility.
K. Shall ensure that all areas recorded by the digital video surveillance system shall at all times have adequate lighting to allow the surveillance cameras to effectively record the identity of individuals and suspicious activities.
L. Shall prohibit loitering on the premises and adjacent public areas and post signage as well as use roving security to enforce the prohibition.
A.3. 5 Customer Check-in Procedures
Zen Garden shall operate the Storefront Dispensary, in particular the Sales Floor Area, pursuant to the following requirements and procedures.
Zen Garden shall only allow individuals into the secure Sales Floor Area for the purpose of purchasing cannabis goods after a Company staff inember has identified the individual as being over the age of twenty- one ( 21), a qualified patient over the age of eighteen ( 18), or a primary caregiver by verifying that the individual has the following:
A. A valid ( i) physician recommendation to use cannabis goods for medicinal purposes pursuant to the State Cannabis Law or( ii) medicinal marijuana identification card issued by a County Health Department.
s. A valid proof of identification and age; acceptable forms of identification include the following:
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1. A document issued by a federal, state, county, or municipal government, or a political subdivision or agency thereof, including, but not limited to, a valid motor vehicle operator' s license, that contains the name, date of birth, height, gender, and photo of the person.
2 A valid identification card issued to a member of the Armed Forces that includes a date of birth and a photo of the person.
3. A valid passport or passport card issued by the United States or by a foreign government.
c. In the case of a primary caregiver, valid written documentation containing the signature and the printed name of the qualified patient designating the individual as a primary caregiver for the particular qualified patient.
Per City Ordinance 5. 42. 310, the same identification verification must also be shown again at the point of sale station at the time of purchase.
A. 3. 6 Receivin of Cannabis Deliveries
All cannabis product deliveries shall be received via the secure access notated on the Floor Plan.
NOTE: Please see the secure/ indoor loading system described in greater detail in Section C: Security Plan.
A. Prior to transporting finished cannabis goods to Facility, the licensed distributor shall complete an electronic shipping manifest, which shall contain the following information:
1. Zen Garden name and license number.
2. The distributor' s name and license number.
3. The names of authorized transport vehicle drivers and driver' s license number.
4. A list of all of the finished goods, including a description of the quantity transported and
any discounts applied.
5. All unique identifiers associated with the cannabis goods.
6. The time and location of departure.
7. The time and location of expected arrival.
g. The make, model, and license plate number of the transport vehicle.
9. Any other information required elsewhere by the State or City Cannabis Laws.
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10. Such records shall be maintained for a minimum of seven ( 7) years and shall be made available by Company to the agents or employees of City upon request, with the exception of HIPPA protected records.
B. During transportation, a licensed distributor shall maintain a physical copy of the shipping manifest and make it available upon request to any law enforcement officers.
c. Prior to receiving the cannabis goods from and during transportation by a licensed distributor, Company will maintain each electronic shipping manifest and will make it available upon request to any law enforcement officers.
Upon receipt of a shipment of cannabis goods from a licensed distributor, Company shall create a record verifying receipt of the shipment and the details of the shipment.
Upon accepting a shipment of cannabis, Company shall immediately place the products in a secured and locked room/ display case, safe, or vault in a manner as to prevent diversion, theft, and loss.
F. To ensure the health and safety of our Customers, all inventory intake staff shall be trained to only intake cannabis goods with compliant packaging and labeling.
G. Pursuant to the State and City Cannabis Laws, the Applicant shall only offer finished cannabis goods that were cultivated, manufactured, and transported by licensed facilities that maintain operations in full conformance with State and local regulations, As a result, the Applicant shall only purchase finished cannabis goods from a licensed distributor, transporting finished cannabis goods in compliance with State and local regulations.
A. 3. 7 Point- of-sale System and Inventory Control { FLOWHUB) Zen Garden shall utilize a point of sale and inventory tracking information technology system ( the " track and trace system") that will provide technical infrastructure for the entire dispensary operations. We will utilize FLOWHUB: Cannabis Inventory Control and Track& Trace Technology System, with 8 POS registers in the secure sales area. Please see the Inventory Control Procedures in Section 5 of this Business Plan for more information regarding track& trace - FLOWHUB.
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Zen Garden' s process and procedures for the handling and accounting of cash are encompassed within the use of FLOWHUB software system' s fully integrated supply chain management " seed- to- sale" software system with enterprise resource planning, complete inventory tracking, point- of-sale, marketing, financial reporting, and regulatory compliance features.
A. 3. 7. 1 Track and Trace System integration
Zen Garden' s process and procedures for the handling and accounting of cash are encompassed within the FLOWHUB software system' s management " seed- to- sale software system with enterprise resource planning, complete inventory tracking, pointof-sale, marketing, financial reporting and regulatory compliance features." A.3. 7. 2 Cash Management and Handiing Poiicies
Cash is not to be accepted or disbursed by employees unless that employee has been authorized by the Facility' s general manager, (" Manager") to handle cash for a specified purpose. When an employee receives cash, it is to be deposited promptly into the appropriate authorized cash register. Any employee that handles cash is responsible for that cash. Retention of cash received from outside sources for use as petty cash or for making change is prohibited. Use of cash funds or cash receipts for cashing checks is prohibited. Our cash handling policy is more specifically detailed in our security plan Section 5).
A. 3. 8 Number of Cus#omers per Day
Following is our projected customer volume over the course of a 13- hour day, with opening at 8am and closing at 9pm. The bulk of customer activity tends to fall at the end of the day from 6pm to 9pm. There is also a predictable " bump" upon opening - from a specific market segment - and again around the lunch hour ( on weekdays). Using an average of 270 transactions per day, we expect a typical weekday traffic pattern to approximate the below:
8am - 9am 20 Customers
9am - 10am 10 Customers
10am - 11am 10 Customers
11am - 12pm 15 Customers
12pm- 1pm 25 Customers
1pm- 2pm 20 Customers
2pm - 3pm 15 Customers
3pm - 4pm 15 Customers
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5pm- 6pm 15 Customers
6pm - 7pm 35 Customers
7pm - 8pm 35 Customers
8pm - 9pm 30 Customers
It should be noted that patterns and trends of customer volume are easily affected by either location or time of year. For example, the proximity of a large employer or a larger retail operation often results in a more pronounced increase over the lunch hour.
A, 3. 9 Sales Floor Area Operations
A. 3. 8. 1 Storefront Dispensary Operational Facility Layout Floor Plan
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A. 3. 9. 2 Retail Staging and Display
A. Zen Garden shall designate storage and staging areas with controlled access behind the points of sale, which shall be locked up when not in active use and under surveillance, and will be restocked as needed. As product is moved from the storage area to the sales area, the inventory transfer shall be reflected in the track and trace system. Only the amount of inventory required for the day' s operations will be brought into the retail area each day.
At business opening, the average daily sales inventory of the most common products as evidenced by the preceding month' s receipts) will be staged in locking cabinets behind/ beneath retail counters. As the day progresses, retail room inventory will wane, reducing the risk: reward ratio of a potential bad actor. Also as the afternoon and evening progresses, the pass- thru system will be increasingly used to fulfill Submittal # 3- Business Plan Page
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retail customer orders. After busineses hours, remaining floor stock will be loaded into rolling, welded wire, locking metal carts and rolled into the secure product room for overnight storage.
B. During retail staging and replenishment, Company staff shall verify that the cannabis goods have not exceeded their expiration or sell- by date if one is provided. c. Zen Garden shall not sell, permit to be sold, offer for sale, or display for sale any cannabis good by means of self-service display, vending machine, rack, passthrough, or counter-top within reach of Customers. All cannabis goods will be offered for sale only by means of employee assistance.
D. Display cannabis goods may be removed from their packaging and placed in containers to allow for customer inspection. Employees shall destroy display cannabis goods by rendering useless in accordance with the BCC regulations once no longer used for display. Cannabis goods used for display and removed from packaging shall j1 Q' be sold or in any way transferred to Customers.
E. An employee authorized by Company to handle cannabis goods shall be physically present on the Sales Floor Area at all times when Customers are present.
A Manager shall be on duty during all hours of operation.
A. 3. 10 Proposed Prod c# Lin & Percentage o# Sales
Zen Garden will initially offer a product line based on both our personal direct experience in operating a medical cannabis delivery enterprise, and on our ongoing research of the California market.
Specific product types will range from flower, pre- rolls, edibles, tinctures, concentrates, topicals and extracts. We anticipate that the percentage of sales of flower will make up 36% of our sales and manufactured products will make up 64% of our sales.
We will onty stock prafucta that meet ail relavant laws and directives. Products that are sotd in simllar aperations in CA include:
Smokable Flower Topicals EtNWes Pre roil Ti ture Apothecary Extracts Over the course of our past experience in the cannabis market, we have established relationships with licensed supply chain operators with strong reputations for providing safe products and we intend to re- initiate contracts with them, as well as newly emerged distributors, once we have been licensed.
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A. 3. 1' 1 Delivery
A. 3. 11. 1 Delivery Vehicle Safety Requirements
Company' s delivery vehicle (" Vehicle") shall be an environmentally friendly hybrid vehicle owned by the Applicant and insured at or above the legal requirement for the State and capable of securing ( locking) cannabis goods during delivery. The Vehicle shall be outfitted with a dedicated Global Positioning System (" GPS") device and interior cameras as described below. The Vehicle will not display advertising or symbols visible from the exterior of the Vehicle that suggest the driver or Vehicle is used for the delivery of cannabis. This will also provide safety and discretion to Customers by being inconspicuous when performing deliveries.
Zen Garden shall provide to City and maintain an accurate database of the Vehicle, which includes the following information: Vehicle' s make, model, color, VIN, and license plate number. Additionally, Company shall maintain proof of ownership or lease of the Vehicle and proof of insurance as required by Section 5. 42. 220. B2 of City Cannabis Laws. Company will update the City within thirty ( 30) days of any changes to the above information related to any Vehicle.
All cannabis goods shall be stored in the trunk of the Vehicle or within a fully enclosed cage that will be built in and bolted into the rear storage cab during delivery operations for security and to keep cannabis goods from being visible to the public. No portion of the enclosed cage shall be comprised of any part of the body of the Vehicle. Delivery employees shall store all cash while in active delivery mode in a safe mounted and bolted to the Vehicle with access through a four to six 4- 6) digit keypad. The safe will be enclosed within the cage where cannabis goods are stored. All cash collected while out on deliveries will be put directly into the safe.
The Vehicle shall also be capable of being temperature controlled if perishable cannabis goods are being transported.
The Vehicle will be equipped with a vehicle alarm system that will be active anytime the Vehicle is unoccupied or if an employee is assembling an order in the back of the vehicle to maximize safety and security of personnel, cash, and inventory. The Vehicle will have Slicklocks, if compatible, installed on doors where cannabis goods are stored for added security. The Vehicle shall be equipped with SecuriLock Passive Anti- Theft System ( PATS) and/ or a Lo- Jack- like system to prevent the vehicle from being stolen.
A.3. 11. 2 Delivery Drivers Safety and Security Requirements A. Delivery drivers shall not consume, or be under the influence of, cannabis, controlled substances, drugs, or alcoholic beverages while operating a Vehicle. Delivery drivers shall be at least twenty-one ( 21) years of age and have and maintain clean driving records without any material citations.
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B. The delivery Vehicle drivers shall ensure that cannabis goods are not visible to the public from the exterior of the Vehicle. The delivery drivers will be outfitted with nondescript shirts that have no visible symbols that suggest the driver is delivering cannabis goods so as to not draw attention to the product or cash being exchanged.
C. In addition to internal training, delivery drivers will be required to obtain a guard class card and complete transportation security training through a licensed security training center guard card class prior to engaging in deliveries on behalf of Zen Garden. This will allow the drivers to protect themselves while out on deliveries and to be better aware of their surroundings. Delivery drivers will carry cannabis goods in non- descriptive odor- proof backpacks that will be sealed until they have verified the Customer' s identification. Once the Customer has been verified the driver will open the bag and deliver the package that meets all State required exit packaging standards.
D. Delivery drivers will not deviate from the delivery path, except for necessary rest, fuel, orvehicle repair stops, or because road conditions make continued use of the route unsafe, impossible, or impracticable. In the case of dynamic delivery, drivers may deviate from their path when an order is received as long as it is within a thirty ( 30) minute interval. Delivery drivers will only deliver cannabis goods to a verified physical residential address in the City not owned by a public entity and will under no circumstances leave the State of to complete a delivery or delivery attempt. Deliveries shall only occur between the hours of 8: 00 am and 9: 00 pm PST unless the residential property is located within six hundred ( 600) feet of a public or private K- 12 school, in which case deliveries will not take place until after 3: 00 pm if it is a weekday.
E. All delivery employees, during deliveries, will carry a copy of the retailer' s current local and State license/ permit, the employee' s government- issued identification, a copy of each delivery invoice, chain of custody records, and their Zen Garden- issued identification badge. The identification badge will include the following information: ( a) Company' s name; ( b) Company' s logo; c) Company' s license number; ( d) full name of the employee; ( e) their individualized ID number; and ( e) a color photograph that clearly depicts the employee' s face and is at least 1 inch in width and 1. 5 inches in height. The badge will not be displayed when the driver is outside of the vehicle.
F. Each driver will leave the Facility with a limited amount of cash in assorted small bills solely to allow for making change. Customers will be requested to provide exact change for payment. When the delivery driver is outside of the vehicle making the delivery, they will only have the money for making change and the single delivery order with them at any time.
G. Zen Garden understands that sometimes no matter how many safety and security measures are taken that theft and robbery can still occur. In the Submittal # 3— Business Plan Page
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event a delivery driver is held up with a deadly weapon we advise them to not try to forcefully engage with the perpetrator and simply allow them to take whatever they are after. As soon as the perpetrator leaves, we advise our drivers to immediately call 911 and report the incident to the local authorities.
A. 3. 113 Cannabis Payioad imitations
During deliveries, drivers shall not carry a total of more than five thousand dollars 5, 000. 00) in finished cannabis goods as determined using the retail price of all finished cannabis goods carried by the driver and delivery vehicle. The delivery vehicle' s payload of finished cannabis goods for which a delivery order was not received and processed prior to the delivery employee departing from the Facility may not exceed three thousand dollars ($ 3, 000. 00).
A, 3. 11. 4 Patient and Custflmer Safety
Zen Garden shall take the necessary steps to not only ensure that the drivers are safe, but also the Customers we will be serving. We will take the following measures to protect our Customers:
Once the Customer has been verified and their order confirmed, they will be sent a confirmation via text, phone, or email with the following information:
A. The estimated time of arrival;
B. The full name of the delivery driver dropping off the cannabis products;
C. A direct contact number for the delivery driver dropping off the cannabis products.
Upon the delivery driver' s arrival at the physical address, they shall text or call the Customer letting them know they have arrived.
A, 3. 11. 5 Customer and Patient Validation Procetiures Zen Garden will use the same validation procedures as described in section A. 3. 1 Customer Intake and Validation ( above) prior to confirming a delivery. This verification process for delivery is done through the track and trace system, FLOWHUB, in which the Customer uploads a photo of their ID directly to the system via the app or website. The Customer can also send a photo via text. This will allow the Company to verify the Customer' s identity and age. If the Customer is not able to send a photo, the delivery driver must verify identification upon arrival to the delivery location. In the case of delivering to a medical patient, they must present their doctor' s recommendation upon their first delivery. The Company shall maintain a copy of the physician' s recommendation or patient' s medical card, as described in Health and Safety Code Section 11362. 71 through 11362. 77, for a period of seven ( 7) years. Only when the Customer is verified will the driver open the bag and deliver the package that meets all state- required exit packaging standards.
In the case of a primary caregiver, valid written confirmation will also need to be uploaded to the FLOWHUB system as well as be presented upon the delivery Submittal # 3— Business Plan Page
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driver' s arrival.
The verification details shall be stored in the FLOWHUB track and trace system for future use and for access by the delivery drivers on Company issued tablets connected to the FLOWHUB securedsystem.
A. 3. 11. 6 Tracking and Maintaining Communication with Delivery Drivers The delivery vehicle shall be outfitted with a dedicated GPS device for identifying the real- time geographic location of the delivery vehicle. The GPS will be permanently affixed to the delivery vehicle and will remain active and inside the delivery vehicle at all times. The Facility Management or Security will monitor the GPS system to ensure the delivery driver is not diverting from their route and only stopping at verified addresses.
The delivery vehicle will be outfitted with cameras to record the interior of the vehicle. One camera will be affixed in the driver' s cabin and the other in the back of the vehicle. The delivery vehicle cameras will be monitored by security staff at the dispensary.
The Applicant shall utilize the industry' s leading seed to sale point of sales technology platform, FLOWHUB, that integrates with METRC and the vehicle' s GPS system to track, record, and store the following information:
A. The time that the driver and vehicle departed the Facility; B. The time that the driver and vehicle completed a delivery to the Customer;
C. The time that the driver and vehicle returned to the Facility; D. The route the driver and vehicle traveled between departing and returning to the Facility;
E. For each individual delivery transaction:
The identity of the driver, delivery vehicle, identity of the Customer, and their total purchase history to ensure daily limits are preserved;
The type and quantity of cannabis goods purchased and sold; The dollar amount charged and received by the driver for the cannabis goods purchased.
Zen Garden will also keep track of the driver by using the FLOWHUB software to see the exact time deliveries have been fulfilled and dropped off to Customers.
Additionally, the delivery driver shall maintain a log including all stops made from the time the vehicle leaves the Facility to the time of return back to the Facility and the reason for each stop. This log shall be turned into the Delivery Manager upon return and kept in accordance with Company record- keeping policies.
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A. 3. 1. 7 Vsrifying Deliveries and Providing Accurate Manifest for Audit Purposes
Zen Garden employees shall compile and pre- assemble orders at the Facility for the purpose of placing delivery vehicles and drivers on delivery routes that maximize the number oftransactions that the driver can complete on a particular route or set of routes. Under this model, delivery vehicles shall not leave the Facility unless there is a scheduled order to be fulfilled.
Before leaving the Facility, the delivery driver shall have a delivery inventory ledger of all finished cannabis goods provided to the delivery driver. The delivery inventory ledger shall include the following pieces of information for each cannabis product:
type of cannabis good;
the brand of the cannabis good;
the retail value of the cannabis goods;
the track and trace identifier- UID; and
the weight, volume or other accurate measure of the cannabis goods.
All orders received and processed by the Applicant prior to the delivery driver' s departure from the Facility will be clearly identified on the inventory ledger. After each delivery, the ledger will be updated through FLOWHUB to reflect the current inventory in possession of the delivery driver.
Upon returning to the Facility, all undelivered cannabis goods shall be returned to inventory by the Inventory Manager and any track- and- trace records that were not able to be electronically recorded shall be updated by the end of the day.
The Applicant shall always maintain a physical copy of the delivery request in the vehicle, and the driver shall make it available to agents or employees of the City upon request. The driver shall provide written or electronic documentation of the delivery transaction to the Customer upon completion of the sale and purchase of finished cannabis goods. The delivery request/ invoice will include the following information:
t. Zen Garden' s name, license number and Facility address;
2. the first name and employee number of the delivery driver who delivered the order and the employee who prepared the order;
3. the first name and uniquely identified number of the Customer who requested the delivery;
4. the date and time the delivery request was made;
5. the delivery address;
6. a list of all finished cannabis goods requested for delivery including:
a. weight
b. volume, or
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c. any other accurate measure.
7. the total amount paid for the delivery, including
a. any taxes or fees,
b. the cost of the finished cannabis goods, and
c. any other delivery charges;
s. upon delivery, the handwritten or electronic signature of the customer who received the delivery; and
9. upon delivery, the date and time the delivery was made; Each delivery will also contain required educational hand- out materials via a link to Zen Garden website. These materials will provide information regarding the name and type of product purchased, instructions for use, and expected effects.
Additionally, information regarding edible cannabis products and cannabis concentrate products will include safe storage and use and warnings against child access and exposure, of potential side effects concerning brain development of individuals under the age of twenty- five ( 25) years, and of potential harm to pregnant women. Further, Company shall notify all Customers in writing, likely in the form of a receipt of the following:
1. " The sale or diversion of cannabis or cannabis products without a permit issued by the City of Lathrop is a violation of State law and Lathrop Municipal Code."
2. " Secondary sale, barter, or distribution of cannabis or cannabis products purchased from a permittee is a crime and can lead to arrest."
3. " Warning: the use of cannabis or cannabis products may impair a person' s ability to drive a motor vehicle or operate heavy machinery."
4. " CALIFORNIA PROP. 65 WARNING: Smoke of cannabis and cannabis- derived products will expose you and those in your immediate vicinity to cannabis smoke. Cannabis smoke is known by the State of California to cause cancer." Submittal# 3— Business Plan Page
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A.4 Conformance with Local and State Laws
Zen Garden commits to operate, in all ways necessary and possible, in full conformance with current local and state laws, and to maintain compliance over time as and if either source modifies its requirements.
A.4. 1 Compliance and Lega1 Tearn
Compliance in the cannabis arena is both transactional and via statute. Zen Garden has engaged) ennifer McGrath as our Legal Counsel and CannaLicensed Consultants will serve as our compliance and operations expert. CannaLicensed Director, Corey Travis has had hands- on managerial experience for multiple commercial cannabis retail shops, in Sacramento, Stockton, Palm Springs, and several other jurisdictions. He oversaw the transition from locally regulated to state- regulated compliance operations in the wake of Proposition 64.
A. 4. 2 industry Best Practices for Retailer
Zen Garden will fully comply with Applicable Law, specifically, but not limited to Lathrop Municipal Code LMC 5. 26.090 and 5. 26.100 as well as State Cannabis Laws, any restrictions imposed by the City of Lathrop, Planning Commission, Council, or other governmental agency with purview over the operation, and ensure those conditions are strictly followed by all managers, employees, and agents:
A. We will diligently pursue, obtain and maintain all required City licenses, including Cannabis Business Permit, Conditional Use Permit, along with all requisite State licenses, State seller' s permit, local building permits, and other applicable permits and approvals. Zen Garden shall not alter the size of our premises without an approved amendment to our Cannabis Business Permit.
B. Zen Garden Owners and managers shall only hire employees that are at least twenty- one ( 21) years old.
C. Zen Garden shall sell from its Retail Dispensary, Adult and Medical- Use Cannabis or Cannabis Products ( hereinafter referred to collectively as ' cannabis products') only to customers that are verified with a government- issued ID to be at least twenty- one ( 21) years old or to qualified patients at least eighteen ( 18) years old with a verified governmental- issued ID and required doctor' s recommendation and/ or County-issued Medical Marijuana Identification Card (" MMID") in compliance with Health and Safety Code 11362. 71. Zen Garden shall not allow physicians on- site to evaluate patients or provide medicinal cannabis recommendations. We shall post signage at the door barring entry to any persons under the age of eighteen ( 18) years old unless they are a qualified patient and accompanied by a parent or legal guardian. No person under the age of twenty- one 21) shall be allowed on the premises unless they are a qualified patient.
D. Zen Garden will at all times, during regular business hours of 8: 00 am to 9: 00 pm, Sunday through Saturday ( or as further restricted by the City' s Planning Submittal# 3— Business Plan Page
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Commission), conspicuously display our ( i) Cannabis Business Permits and ( ii) Cannabis Public Safety License so they may be seen by all entering the premises.
E. Zen Garden will not hold or maintain a license from the State Alcoholic Beverage Control or operate a business on Retailer premises that sells alcoholic beverages, or that otherwise allows the possession, distribution, or consumption of alcoholic beverages, nor shall Applicant be a retailer of tobacco products.
F. Further, Zen Garden shall conduct Deliveries, as more particularly described in the Delivery Section herein.
G. Zen Garden shall operate at all times in compliance with the City' s and State' s Cannabis Laws and regulations, including, but not limited to specifically not selling:
i) more than 28. 5 grams or one ( 1) ounce of non- concentrated cannabis in a single day to a single customer; ( ii) more than eight ( 8) grams or eight thousand ( 8,000) milligrams of cannabis concentrate, including cannabis concentrate contained in cannabis products, in a single day to a single customer; ( iii) more than six ( 6) immature cannabis plants in a single day to a single customer; ( iv) edible cannabis products containing more than ten ( 10) milligrams of THC per serving; ( v) edible cannabis products containing more than one- hundred ( 100) milligrams of THC per package or ( vi) cannabis products that are in the shape of a human being, either realistic or caricature, animal, insect or fruit. All cannabis shall be only sold as prepackaged consumer products, in a uniform amount per package, shall be placed in a child resistant exit packaging and Zen Garden shall make available for sale or provide information on how to obtain lock bags for more securely protecting cannabis from unintended third parties. Further, Zen Garden shall only have readily available for sale in our sales area only that quantity of cannabis products reasonably expected to meet daily demand. Additional cannabis products shall be stored in our secured and locked inventory storage area which customers, vendors, and visitors shall not be able to access.
H. Zen Garden also shall refrain from providing free cannabis products to any Person, specifically including any ` buy one, get one free' promotions and refrain from the illegal redistribution or sale of cannabis products obtained, or the use or distribution of cannabis products which in any manner which violates City or State Cannabis Laws.
I. Zen Garden will at all times ensure proper odor control procedures are in place to ensure odors are not detected outside of the retail location by use of a carbon filtration HVAC system, double- doors and other methods as required to ensure odor compliance.
J. Zen Garden will at all times fully comply with our Security Plan as provided in Section D of this Application and implemented by our Security Advisor, Matt Carroll of Carroll Security. As part of our Security Plan, Zen Garden shall have uniformed and BSIS- licensed security personnel ( 21 and older) present at all times to ensure patrons strictly adhere to onsite anti- consumption rules and do not loiter on or about the premises and comply with all such restrictions or are reported to the appropriate authorities and potentially banned from future visits for failure to Submittal# 3— Business Plan Page
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heed warnings. Additionally, all restrooms shall always remain locked and under the control of our management team.
K. Zen Garden will ensure that all advertising and signage fully complies with State Cannabis Laws, including specifically Section 26151 of the B& P Code and City' s Code, including specifically Chapter 6. 40. Further, we shall only sell drug paraphernalia in compliance with Health and Safety Code Section 11364. 5.
L. All records related to the Cannabis Business including but not limited to records of finance, personnel, training, contracts, permits, security, waste, and inventory shall be kept for a period of seven ( 7) years. Financial records shall be kept electronically and specifically contain a ledger of all cash, receipts, credit card transactions, reimbursements, and any and all reasonable compensation for services provided by Zen Garden as well as operational expenditures and costs incurred by Zen Garden. All records will be made available to City police or finance department representatives during regular business hours.
M. All our POS areas and areas where cannabis goods are displayed for sale shall be recorded on our video surveillance system and the video recording shall allow for facial recognition of any person purchasing or selling cannabis goods, or any person in the retail area, with sufficient clarity to identify.
N. Limited Access Areas. Zen Garden shall establish limited- access areas and permit only authorized individuals to enter the limited access areas. Only employees, as well as vendors, contractors or other individuals conducting business on the premises that require access to such areas and are accompanied by a Zen Garden employee shall be granted access. Any non- employees that enter such limited access areas will be escorted and their visit logged and stored to be provided to City Police upon request.
0. Educational Materials. Zen Garden shall provide written materials to all customers regarding each product sold, instructions for use and its effects along with how to store such products, and warnings against child access. Additionally, materials will explain potential side effects concerning brain development and warnings of potential harm to pregnant women.
P. Zen Garden will train all employees and management team members who interact with customers within our first year of operation and within the first year of each employee' s hiring to ensure competency. As referenced in subsection L above, we will exceed the two- year requirement for maintaining such records and instead store them for up to seven ( 7) years so they may be provided to the City Manager upon request.
A. 4. 3 General Cannabis Business Operating and Conduct Requirements In addition to the specific requirements that Zen Garden will follow as a Retailer, there are general operating and conduct requirements that we shall adhere to as a licensed commercial cannabis business to ensure the safety of customers, neighbors, and staff. First and foremost, there will be a strict policy against onsite consumption of cannabis products Submittal# 3— Business Plan Page
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along with a complete prohibition against the sale, dispensing, or consumption of alcoholic beverages or tobacco products on the Facility' s premises. Zen Garden shall take all reasonable steps to prevent the use and consumption of cannabis on the premises.
To limit unwanted exposure to those under twenty-one ( 21) years of age and for other safety reasons as determined by the City, at no time shall cannabis be visible from the exterior of our premises or from any vehicles owned or used by Zen Garden as part of its business or delivery operation. Furthermore, Zen Garden will never store cannabis products or engage in retail activities outside of our Facility at any time. All cannabis products and retail activities shall be at all times take place ONLY within the Facility with secured access areas that will be locked and under physical security personnel protection, along with various other security safeguards as detailed in Zen Garden' s Security Plan.
Zen Garden has entered into a contract with FLOWHUB, one of the State' s leading point-ofsale inventory tracking system and customer flow management system to track and report on all aspects of our business, including inventory, cannabis tracking via UIDs, gross sales by weight/ volume and by sale), customer flow data, including waiting times, purchase history and limitations and such other information as deemed necessary by the City.
FLOWHUB is compatible with the State' s METRC system and will be capable of compatibility with any system utilized by the City as well for record- keeping purposes, all the while providing historical transactional data for review, as necessary.
As part of Zen Garden' s standard operating procedures (" SOPs"), Zen Garden will ensure that all cannabis products sold shall be cultivated, manufactured, and transported by only licensed Commercial Cannabis businesses in good standing and that maintain in full conformance with City and State Cannabis Laws, California Department of Food and Agriculture (" CDFA"), and/ or California Department of Public Health (" CDPH"), as applicable. Eurther, Zen Garden shall have an Operator on premises during all hours of operations and shall provide to the City Operator the name and telephone number including cell phone number) of an on- site Operator to whom emergency notice may be provided twenty- four ( 24) hours per day.
A notice will be conspicuously posted within the premises letting all patrons know that any consumption, including smoking or ingesting of cannabis products on the Facility' s premises is strictly prohibited. Along with such warning notice, Zen Garden shall display our Cannabis Use Permit, Cannabis Public Safety License and other City Business Licenses within the premises in a conspicuous place readily visible by the public. Further, Zen Garden shall ensure it maintains a Seller' s Permit at all times during operations. Finally, we will not host, partake and/ or support Cannabis Temporary Events within the City, as described in the B& P Code Section 26200, until expressly authorized.
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A. 4. 4 General Business Regulations
Zen Garden will not only comply with cannabis- specific laws and regulations but will ensure we fully comply with all rules, regulations, and laws imposed upon all legal businesses within the City. This shall include restrictions imposed at a federal, state, or local level ( outside of cannabis- specific laws and regulations). For instance, in addition to all cannabis licenses, Zen Garden shall ensure through operation we maintain all required and applicable planning, zoning, building, and other applicable licenses, permits, and approvals from relevant City departments and divisions. Further, Zen Garden shall ensure full compliance with the Americans Disability Act (" ADA") as well all other applicable local, state, and federal laws pertaining to people with disabilities and shall refrain from discriminating or excluding patrons or employ discriminatory hiring practices in violation of all applicable laws. Zen Garden shall pay in a timely manner for all licenses, fees and charges associated with the operation of a Commercial Cannabis Business as resolved by the City Council, as amended from time to time in addition to timely paying all taxes, including but not limited to all sales, use, business taxes and all other fees as required under federal, state and local law. Further, Zen Garden shall fully comply with any City requests for audits of our records to ensure compliance with Applicable Laws.
A4. 5 Marketing Plan
Zen Garden will ensure marketing is done in age- appropriate channels, abiding by State and Local rules. Zen Garden shall NOT advertise in a medium geared towards youth, or utilize graphics or depictions which may be similar to cartoons, candy, or the like. Industry specific channels, such as age- verified subscription based services and directories like:
Weedmaps, Leafly, etc. are platforms designed to attract specific demographics. Signage will be discrete and in accordance with Lathrop Municipal Code.
Emergency Contac#
Donald Jiminez, shall serve as the Emergency Contact. As a local, and owner of the business, he can be reached 24 hours/ day.
A. 5. Inventory Control Procedures
A. S.' I Cannabis Inventory Con#rol and Track and Trace Technology System:
FLOWHUB
Zen Garden intends to utilize FLOWHUB, a state- of-the- art METRC- compliant point of sale and inventory tracking information technology system ( a" track and trace system") that Submittal # 3— Business Plan Page
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will provide technical infrastructure for the retail sale of cannabis goods at the Storefront Dispensary with delivery. At its most basic technical level, the track and trace system tracks and records unique identifiers (" UIDs") assigned to cannabis goods. The track and trace system shall be capable of producing historical transaction data for review and is compatible with the State' s track and trace provider, METRC. FLOWHUB will be used to track and report on all aspects of our retail commercial cannabis business including, but not limited to, customer tracking, cannabis tracking, inventory data, gross sales ( by weight and by sale), and other information which may be deemed necessary by the City. As indicated on our floor plan, we will utilize eight ( 8) Point- of-Sale locations. Prior to entering into a contract with FLOWHUB, Zen Garden will confirm the system is compatible with the City' s record- keeping systems and will obtain written approval and authorization by the City Manager or designee.
A. 5. 1. 1 Hflw FLOWHUB Interacts with METRC
A. Sales are reported in real time to the State track and trace system, METRC.
B. Zen Garden is insulated against METRC outages with a proprietary automation layer.
C. Built- in tools safeguard Zen Garden from selling above state- specific purchase limits.
D. Taxes are collected dynamically based on product type, customer classification, and delivery destinations.
A. 5. 1. 2 Track and Trace Systern METRC Requirements
A. Zen Garden shall create and maintain an active account with METRC prior to buying or selling any cannabis goods.
B. Zen Garden' s Owner and Director of Operations, Charles Burton shall serve as the initial Inventory Control Manager shall serve as the Applicant' s designated METRC track and trace administrator. All Managers will undergo METRC training.
1. The designated track and trace administrator ( Inventory Manager) may authorize additional representatives (" Inventory Control Agents") to obtain track and trace system user account access and credentials.
2. Each Zen Garden employee who is authorized to access the track and trace system on behalf of the Applicant, shall obtain his or her own unique track and trace system user log- on and password only after having successfully completed the track and trace training.
3. Only authorized representatives of Zen Garden shall log into and submit information to the track and trace system using a log-in that has been assigned to that licensee representative.
4. Zen Garden management shall maintain a complete and accurate list of all track and trace system users, consisting of their full names and usernames. This will allow for proper tracking of inventory and further protection against diversion of products.
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5. All managers and owners will be required to take part in METRC training in a
timely manner. The Bureau of Cannabis Control (" BCC")
Primary Contact shall sign up and complete this training within five 5) calendar days of license issuance by the BCC.
C. Zen Garden shall ensure that only authorized individuals are able to access the track and trace system.
D. Zen Garden shall accurately record all transactions involving the purchase, sale, physical movement, or destruction of cannabis goods into the track and trace systems.
E. Zen Garden shall enter all transactions into the track and trace system no later than the end of the day that the transaction occurred, but BEST practice will be encouraged to enter into the system in real- time.
F. If, for any reason, METRC is inaccessible, the Applicant can rely on FLOWHUB in order to create and maintain records detailing all transactions that would have been entered into the track and trace system. Upon the restoration of access to METRC, all transactions that occurred while access to the track and trace system was not available shall be accurately entered into the track and trace system within three ( 3) business days. During any period of inaccessibility Zen Garden will not receive any finished cannabis goods until access is restored and everything is updated into the system.
G. Zen Garden shall only enter accurate information into the track and trace system and shall correct any known errors in the information entered into the track and trace system by the Applicant immediately upon discovery with verification to METRC.
H. Zen Garden staff will reconcile its physical inventory of finished cannabis goods with the track and trace data at a minimum of every thirty ( 30) calendar days as required by the BCC. If there is a significant discrepancy ( a significant discrepancy is deemed anything over three percent ( 3%) of the average monthly sales (" AMS"), in accordance with the BCC Regulations Regulations"). AMS will be calculated by taking a per month average of the total sales for the previous six ( 6) months. Until there are six ( 6) months of operational sales only the months in which there were sales will be used in determining the AMS.) between the physical inventory and the track and trace system, this will trigger the Inventory Control Manager to perform a full audit of its inventory and contact the BCC with the findings.
A. 5. 1. 3 lntake of Cannabis Goods inventory
Zen Garden will enter into distribution agreements with BCC- licensed Distributors for the procurement of cannabis goods. Executed copies of such agreements will be kept on file at the Facility. As we are equipped to receive deliveries out of public sight ( within our locked Facility through a roll- up door), deliveries can occur during all business hours but will be scheduled whenever possible either first thing in the morning or just prior to closing when customer flow is the slowest. Zen Garden Submittal# 3— Business Plan Page
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ensures that inventory receiving will not be visible to the public, regardless of time of delivery. All distribution/ delivery vehicles will pull into our fully enclosed secure loading area and the unloading of finished cannabis products will be monitored by an Inventory Control Agent and at least one ( 1) security guard. No shipments of goods may be accepted before 6: 00 a. m. and after 10: 00 p. m. pursuant to BCC Regulations § 5422( b). Upon receipt of cannabis goods from a licensed Distributor, Zen Garden shall enter the following information into FLOWHUB with an Application Programming Interface compatibility function to allow for METRC data entry, which is required to be provided by the authorized Distributor on their invoice and shipping manifest ( such that any discrepancies will be immediately reported to the Distributor):
A. The Cultivator or Manufacturer as applicable, and Distributor' s name and state license number, and direct point of contact. This information shall be verified by a Zen Garden Inventory Control Agent using the BCC, California Department of Fish and Agriculture (" CDFA"), or California Department of Public Health (" CDPH") licensing web portal.
B. Name and type of cannabis goods.
C. Amount received, by weight or count, and total wholesale cost, as applicable.
D. Best- by, sell- by, or expiration date of the batch.
E. The person who holds title to the cannabis goods.
F. The date and time of receipt of the cannabis goods.
G. The UIDs associated with the cannabis goods.
H. Any other information required elsewhere by the State or City Cannabis Law.
Inventory Control Agents are responsible for inspecting all incoming cannabis goods and verifying that the packaging and labeling of all goods intended for retail sale complies with Zen Garden' s internal Cannabis Product Packaging and Labeling policy, which can be made available upon request. The Inventory Control Agent will confirm that the COA from a licensed testing laboratory matches the primary panel percentages of THC and CBD. After the information is recorded in FLOWHUB an electronic copy of the shipping manifest and invoice are sent to accounts payable. A hard copy of the invoice ( with the shipping manifest attached) and the COA will be stored onsite in a " Receiving Binder" or scanned and stored via cloud- based storage in accordance with Zen Garden' s record- keeping policy outlined in our RecordKeeping Policy as attached hereto as an Exhibit. The information will also be logged into METRC via the FLOWHUB platform.
A. 5. 1. 4 Retail Sale of Canr abis Goods
Upon the retail sale of cannabis goods to a Customer, Zen Garden shall enter the following information into the track and trace system:
A. Whether the Customer is a patient, caregiver, or adult- use customer ( the FLOWHUB system stores this data along with photo identification and expiration of recommendation, if a medical patient).
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B. The name or internal identification number ( for repeat visitors) of the Customer who made the purchase.
C. The date and time of the transaction.
D. The identification of the budtender/ sales associate who conducted the transaction.
E. A list of all of the cannabis goods, including a description of the quantity purchased.
F. The UIDs associated with the cannabis goods.
G. The total dollar amount sold from each package before tax and after any discount, if applicable.
H. Any other information required elsewhere by the State or County Cannabis Laws.
A. 5. 1. 5 Return of Cannabis Goods by Customers
Zen Garden shall implement a customer- friendly return policy for finished cannabis products purchased by Customers so that we and our licensed distributors will be made aware, as soon as possible, of( i) any consumer complaints associated with the finished cannabis goods or ( ii) the possibility that the finished cannabis goods may be defective, misbranded or adulterated.
After accepting the returned finished cannabis goods from a Customer, we will immediately contact the distributor and the testing laboratory that provided the COA of the finished cannabis goods, if applicable, and work to determine the next appropriate step, which may entail ( i) destruction and disposal of the cannabis product at the Facility; ( ii) transferring the returned products back to the licensed manufacturer/ distributor; and/ or (iii) institution of recall procedures.
Upon the return of cannabis goods by a Customer, Zen Garden shall enter the following information into the track and trace system:
A. The name of the Zen Garden employee who processed the return.
B. The name of the Customer who made the return.
C. The date and time of the transaction.
D. A list ( and if possible a picture) of all of the cannabis goods, including a description of why the product was returned and the quantity.
E. The UIDs associated with the cannabis goods.
F. Any other information required elsewhere by the State or County Cannabis Laws.
The returned cannabis goods shall be placed in the Facility' s quarantine area for a minimum of twenty- four ( 24) hours. The cannabis goods shall be set for destruction.
A. 5. 1. 5. 1 Return ot'Cannabis Goods to Distribufors
Upon the return of cannabis goods to a licensed distributor, a Zen Garden inventory employee shall enter the following information into FLOWHUB:
A. The distributor' s name and license number.
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B. Type and kind of cannabis goods.
C. Amount received, by weight or count.
D. Best-by, sell-by, or expiration date of each item or product returned.
E. The date of return of the cannabis goods.
F. Explanation of defect, recall or reason for return of cannabis goods.
G. UIDs associated with the cannabis goods.
H. Any other information required elsewhere by the State or County Cannabis Law.
A. S,'. 5. 2 Destruction of Cannabis
Upon the destruction of cannabis goods Zen Garden Inventory Control Agent shall enter the following information into FLOWHUB:
A. The name of the Zen Garden employees ( two staff inembers at all times) who performed the destruction.
B. The date and time of the destruction.
C. Name and type of the cannabis goods.
D. The UIDs associated with the cannabis goods.
E. Amount of the cannabis goods, by weight or count, and total wholesale cost ofthe cannabis goods, as applicable.
F. The reason for the destruction and disposal.
G. The entity disposing of the cannabis waste. Whether self-hauling or using a third- party company, we shall obtain contact and receipts of drop- offs.
H. A description for any adjustments made in the track and trace system, including, but not limited to spoilage or fouling of the cannabis or any event resulting in damage, exposure, or compromise of the cannabis goods.
I. Any other information required elsewhere by the State or City Cannabis Laws.
A. 5. i. 6 Recall Procedures
Given that Zen Garden will not produce ( i.e., cultivate or manufacture) or distribute finished cannabis goods but, rather merely offer for retail sale finished cannabis goods produced by other licensed vendors to qualified Customers, our primary responsibilities in the event of a recall will be to ( i) collect information from Customers and pass that information to other parties in the supply chain, ( ii) inform Customers who purchased the recalled product, and ( iii) to offer the Facility as a drop- off point and waypoint for the transfer and/ or disposal of the recalled finished cannabis products. While the BCC does not provide express guidance on recall procedures, we will notify customers within 24hours of notice of such a recall by utilizing the POS records to contact potentially affected customers, as well as posting notices physically, and electronically.
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Zen Garden' s track and trace system, FLOWHUB, will have the ability to pull the contact information from each customer that purchased the recalled product so they may be immediately contacted. Employees and management will email and/ or call each Customer to notify them of the recall and provide details as to how they can return the product to the dispensary. Once the recalled product is received at the Facility, we will follow the distributor' s instructions to properly return or destroy the product preventing diversion. In the case that a manufacturer chooses to have Zen Garden destroy a cannabis product on- premises, we will do so in accordance with CDPH regulations section §40297 by quarantining the product for a minimum of seventy- two ( 72) hours prior to rendering it unusable and unrecognizable as described in our Waste Procedures Plan.
A. 5. 2 Inventory Storage
A. 5. 2. 1 Storage Areas
In the Facility, adequate and suitable space shall be provided for the storage of supplies, equipment, and finished cannabis goods. The Secure Storage Area as displayed on our provided site plan will be an alarmed, limited access area for management access only and contain the storage of all cannabis inventory when not in use on the Sales Floor. A janitor' s room, off of the employee break room, separated from any cannabis goods storage or staging area, or ware- washing or storage area, shall be provided for the storage of cleaning equipment and supplies.
A. 5. 2. 9. 9 Cannabis Goods Storage
Zen Garden shall store all finished cannabis goods ( i) in the completely enclosed and alarmed Secured Product Storage area designed to permit control of temperature and humidity and prevent the entry of environmental contaminants such as smoke and dust, ( ii) within alarmed and locked limited access area the Facility and shall be refrigerated, when applicable, and ( iii) are only accessible by authorized personnel with management key fob access. At no time shall cannabis be stored outside.
A. 5. 2. 9. 2 Refrigeration
Should refrigeration be required for any products, all reach- in and walk- in refrigeration and freezer units in the Facility shall be located within the Secured Product Storage area or and shall:
A. Be adequate in capacity and usage to meet the needs of the proposed operation and shall;
B. Have shelving that is nonabsorbent, corrosion- resistant, easily cleanable and shall meet or be equivalent to applicable ANSI standards ( wood is not acceptable);
C. Be provided with an accurate, readily visible thermometer; and Submittal # 3— Business Plan Page
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D. Drain condensate and other liquid waste in a sanitary manner to a floor sink or other approved receptor that is properly connected to the drainage system. Condensate from reach- in refrigerators and freezers may be drained to a properly installed and functioning evaporator.
SECTION 3: Community Benefit
Our Team understands the importance of playing an integral role within the communities we serve. If we are honored with the privilege to serve and operate in the City of Lathrop, we plan on being model stewards and neighbors. Our team will be looking to hire 23 employees, many of whom will be hired from right here within the Lathrop community. These team members will be spending their dollars patronizing many of the local surrounding businesses 7 days a week 365 days out ofthe year, consistently stimulating the Lathrop economy.
For the last 10 years, between the City of Sacramento and Stockton, we have worked with many organizations that serve our youth and seniors throughout the community.
Although recognizing that the tax that the city of Lathrop will be receiving from the opening of our cannabis retail storefront/ Delivery. Our Team has worked to ensure that specific needs are addressed, for our Youth, seniors, and veteran populations in the city of Lathrop.
Lathrop Youth
Youth play a vital role with the long- term sustainability within a community. They are truly our future. We look to support local youth sports programs, by helping purchase necessary equipment for the specific local petitioning program, support local fundraising efforts by using our clientele base, and setting aside funds annually to help sponsor children that may be economically disadvantaged. No child in the richest country in the world should be left out of participating in extracurricular activities due to financial hardships. ln addition we would like to work with the city of Lathrop, Manteca Unified, Banta, and the San Joaquin office of Education to do an annual " Say No To Drugs" event at the Lathrop Generation center. We would look to create a fun healthy environment with many activities, with food and music. We would work to bring out mentors and motivational speakers to help inspire our future leadership.
We would further support our local Lathrop Economy by making sure that we use local vendors in producing this event.
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Lathrop Seniors & Veterans
The City of Lathrop has done a fantastic job with providing much needed Brown Bag for its senior populations. Our team would look to assist with potentially expanding the Brown Bag giveaways to include our American heroes, our service women and men. Understanding that there is a cost associated with expansions of any program, We would look to offer incentives to
our customers to encourage them supporting food drives at our store. We would offer discounts to our clients for bringing in non- perishable food items, as well as potentially instituting a system similar to what Walgreens is doing by allowing customers to donate their extra change, or round up to the nearest hundred and make donations seasonally.
Furthermore, we would also look to use a portion of the funds raised to go into a pot that could be earmarked for a water bill subsidy for our Seniors and Veterans. Depending on how much is raised, the city could allow for those funds to be used for economically disadvantaged Seniors & Veterans to help offset some cost that may be incurred. Based on some of the past comments from Councilmembers Torres- O' Callaghan, Diallo, and Vice- Mayor Lazard. We feel that making it a priority in supporting our Seniors and Veterans would positively impact our Lathrop community. We will also be offering in store discounts for Seniors, Veterans, Cancer patients and survivors.
Neighborhood Re1a# ions
The proposed dispensary is within 1000' of public transportation, via the bis stop at E Louise and S Harlan Road. This ensures equal access to community members who rely on public transportation.
The Company has identified all entities / businesses within 300' of the property, and will provide a forum for public outreach and feedback on a bi- yearly basis.
Mr. Donald Jiminez, of Lathrop, will administer the program, and ensure the outreach list is updated and systems of communication properly maintained.
Submittal# 3— Business Plan Page
46 Zen Garden
WELLNESS
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Security measures will be integrated into the existing facility' s design, so as not to interfere in the neighborhood design. Crime Prevention Through Environmental Design ( CPTED) elements integrated into tenant improvements for the proposed dispensary include, but are not limited to:
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Exterior lighting shall be white light using LED lamps with full cutoff fixtures to limit glare and light trespass. Color temperature shall be between 2700K and 4100K with a color rendering index of 80 or better and a light loss factor of 0. 95 or better.
Daily inspections of the property for trash, graffiti, or other unwanted blight.
Entry drives, drive aisles, parking and bicycle parking shall be illuminated to a maintained minimum of 1. 5 foot candles per square foot of parking area at a 6: 1 average to minimum ratio.
All mature landscaping shall follow the two- foot, six- foot rule. All landscaping shall be ground cover, two feet or less and lower tree canopies of mature trees shall be above six feet. This increases natural surveillance and eliminates hiding areas within the landscape.
Fences shall be a minimum of six feet in height, constructed of decorative tubular steel, no climb type. This shall apply to newly constructed fencing.
Any graffiti painted or marked upon the premises or any adjacent area under the control of the applicant shall be removed or painted over with matching paint within 72 hours of being applied.
The operator shall be responsible for the daily removal of litter from the site.
Air Quality / Odor Con#roi
1. FACILITY ODOR EMISSIONS INFORMATION
Odor Emittin Activities
Odors are most commonly associated with unsealed flower. Therefore plant material must be kept in tightly sealed bags in rooms with proper filtration systems.
When done according to plan, this should mitigate any potential adverse impacts to air quality.
This plan addresses the impacts of processing and handling cannabis products.
All odor emitting activities are to be performed in sealed rooms equipped with odor control devices operated in " sealed ecosystems".
Phases ( timin , h, etc.) of odor- emitting activities
Odors have the potential to be most intense during intake processing.
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2. ODOR MITIGATION PRACTICES ( all based on industry- specific best control technologies and best management practices)
Administrative Controls
i. Procedural activities
Cannabis related products are processed, and handled within sealed rooms in the facility. As a secure facility, doors and windows remain closed at all times. Staff is instructed to close doors to sealed rooms after entering or exiting, so the odor control devices can effectively scrub the air.
Cured cannabis arrives fully sealed in final form packaging and is stored in airtight containers with. adequate filtration. Displays are kept in scent controlled devices, which also minimize airflow and transmission of odor. ii, S#aff training procedures
All new Staff inembers will be required to attend a company odor control training and orientation. This is a site specific plan that addresses the facilities odor control devices, proper usage, maintenance, and how to report if a device goes offline. Inspection of the odor control devices are part of staff' s daily duties.
Recor Jkeeping systems and forms
The company will keep logs of any maintenance, repair, or malfunction of the odor control devices. These logs will be reconciled with reports from the Community Relations Manager. Ifthe company has received calls regarding odor, the facility manager shall cause immediate inspection and testing of the odor control system to verify is status.
Engineering Controfs
iv. The best control technology for cannabis facilities is carbon filtration.
The facility has been equipped with a number of activated carbon filtration devices as noted on the Odor Control diagram. These devices have been fitted to the rooms based on the activity and the potential intensity of odors in each respective room.
v. The system is designed to utilize 12" FS Industrial High Output In- line fans ( 2320 CFM) connected to activated carbon filters. Filters are to be Submittal# 3— Business Plan Page
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changed every 6 months, or as needed. The following table depicts the volume of each room, and the number offans needed to obtain the proper number of air changes/ hour.
vi. The facility averages 39 air changes/ hour. The number of air changes per hour is dependent on the area' s use and the corresponding odor emissions potential. The intensity scale denoted below:
Cubic Feet
Room volume CFM Fans Chan e Per Hour
Vendar Room 1Q60 cubic feet 1160 Q. 5 66
Cannabis
Storage 2180 cubic feet 1160 0. 5 32
Sales Floor 14390 cubic feet 4640 2 19
The system can be expanded to increase the negative pressure of each sealed room as well as the number of CFM' s if needed.
This odor control plan should effectively mitigate any potential adverse impacts to air quality. Its effectiveness will be closely monitored throughout the company' s operation.
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FLC7{ R AND SITE PLANS
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F1oor Plan
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52 Section 5: Security Plan pages 53- 58
RECEIVED BUT OMITTED FROM PUBLIC COPY
City Attorney
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Zen Garden
WE LNESS
SECTION 6: Hazardous Materials Management Plan
N/ A.
The Company will not have hazardous materials in sufficient quantities on site, to warrant a Hazardous Materials Management Plan.
Submittal# 3— Business Plan Page
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Exhibit 1
SAMPLE SQP
STANDARD OPERATING PROCEDURE)
Cash Handling Policy and Procedures
I. INTERNAL CONTROLS
A. Access to cash shall be limited and all funds shall be kept secure at all times.
B. Cash receipts/ handling operations are subject to management review. In all instances, one person will check the work performed by another.
C. All cash receipts must be completely and accurately recorded in the financial records of the Facility.
D. Appropriate separation of duties shall be employed in all cash operations/ handling functions.
E. All cash receipts shall be deposited daily.
II. SAFEGUARDS
A. Employees shall count all cash drawers and safe transfers in the Internal Transfer Area in the Facility ( as viewable on our Security Site Plan) that is not accessible or visible by Customers. Employees shall have direct access from this Internal Transfer Area to a drop safe within the Secure Product Storage room and shall be moved after hours to the Vault by management.
B. Cashiers shall not count or reconcile cash drawers while standing at the cash register during business hours, but rather shall change out cash drawers in the Internal Transfer Area in accordance with the above.
C. All change funds and cash register drawers shall be kept in a locked safe within the Vault room when not in use.
D. Deposits bags shall be stored in a separate, locked section of the safe.
E. Only the Manager and owners shall have access to the safe combination and the safe room.
III. CASH DRAWER [ NTEGRITY
The Manager shall assign a register to each employee prior to the beginning of each shift.
Each employee shall be solely responsible for all transactions completed during their shift on their assigned register.
Each employee shall open and close their own cash drawer, regardless of the length of his or her shift.
Sharing registers shall be strictly prohibited
A. CASH DRAWER OPENING BALANCE
1. Each cash drawer shall open with a beginning balance of$ 250. 00 to allow for purchases by Customers or make change for purchases from the Facility.
2. Cash drawers shall be reconciled prior to the start of the shift within the Internal Transfer Area of the Facility to ensure the accuracy of the opening balance ( see Submittal # 3— Business Plan Page
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Subsection G ." CASH DRAWER RECONCILIATION" of this policy for further instruction).
3. Employees may not accept a drawer that they have not had the opportunity to count.
4. Any discrepancies ( overage/ shortage) in the cash drawer shall be documented and remedied prior to the start of the shift.
B. PERFORMING CASH TRANSACTIONS
1. Ring transaction into register.
2. Subtotal sale and tell Customer total amount owed.
3. Take cash from Customer and lay cash on top of the cash drawer. Do not put the Customer' s money in the cash drawer until you' ve counted their change back to them. This avoids any misunderstandings pertaining to how much money was originally given and how much change is needed.
4. Do not accept foreign coins, currency, or foreign travel checks.
5. Enter the amount of cash received, then press the cash tender key on the register.
6. Count out the change to the Customer, if any, by starting with the amount of the sale and counting up to the amount they paid with. Put the change into the Customer' s hand whenever possible.
7. Put payment in drawer in appropriate slots; face up in one direction.
8. Close cash drawer.
9. Place merchandise in bag and hand the Customer their receipt.
C. CASH DRAWER MAINTENANCE
1. Lay bills and charge slips in tray with all bills and charge slips face up and in the same direction in the cash drawer.
2. Coins shall remain wrapped until needed.
3. Exchanging money between registers is strictly prohibited. Employees shall notify the Manager to request change, if necessary.
4. If additional change is provided, the Employee shall count the change before placing it in the cash drawer.
D. CASH PULLS
1. Cash register drawers shall contain only the amount of cash needed for change purposes. Excess cash shall be removed from the drawer and deposited in the safe periodically throughout each shift. Such transfers shall take place only in the Internal Transfer Area out of public' s sight for additional security and protection. We shall utilize this out-of-sight area to resist the ability of bad actors from "casing" the Facility and becoming familiar with our procedures.
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2. The Manager shall inspect each cash drawer in the middle of each shift to ensure cash drawers are within established limits. Again, such confirmation shall be completed in the Internal Transfer Area.
3. Employees shall discretely notify the Manager in the event of large cash receipts. The Manager shall remove excess large bills in multiples of$ 100 and secure them in the safe, clearly labeled with which drawer and shift they came from.
4. Both the Manager and the employee responsible for the cash drawer should count the amount taken from the drawer together to confirm accuracy.
E. CHANGE FUND
1. A" Change Fund" may be established to provide change for payments received for goods or services rendered by the Facility.
2. The Change Fund may not be used to procure goods or services, make cash advances, or for petty cash needs.
3. Change funds must be reconciled on a weekly basis by the Manager.
4. It is the responsibility of the Manager to limit the use of the Change Fund to legitimate and allowable Facility- related financial transactions.
5. Change Funds may not be commingled with other types of Facility funds or personal funds. Change Funds must be approved by the Manager and the amount is the sole discretion of the Manager.
F. CASH DRAWER SECURITY
1. All unattended cash register drawers shall be locked.
2. Keys shall not be left in the register or in plain sight of the Customer.
3. Employees shall log off before leaving a register unattended.
4. In the evening, employees shall ensure all cash is removed from registers and registers are to remain open showing any potential bad actors that all cash has been removed without the need for further damage to the Facility.
G. CASH DRAWER RECONCILIATION
1. Cash drawers shall be reconciled upon opening, shift changes, and closing.
This process requires two ( 2) employees to work side by side to count all cash in the cash drawer. Neither employee shall leave the Internal Transfer Area or the cash drawer in the possession of the other employee, until the cash is secured in the drop safe, Vault room, or returned to the cash register.
2. Cash drawers shall be reconciled one ( 1) drawer at a time.
3. One ( 1) employee shall start with the bills of the highest denomination and count the number of bills.
4. Once counted, the employee shall annotate that count on a piece of paper.
5. The second employee shall count the same stack of bills and annotate his/ her count on a separate piece of paper.
Submittal# 3— Business Plan Page
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6. Each employee shall continue through the drawer counting each denomination in the same manner.
7. Once all cash is counted the employees shall compare their counts for accuracy.
8. If reconciling the cash drawer at the beginning of the shift:
a. Promptly place and secure the cash drawer in the register. b. Repeat the steps above for each cash drawer prior to opening each additional register.
9. If reconciling the cash drawer at the end of the shift or at closing:
a. Complete the Cash Drawer Reconciliation Form
b. Print and attach a copy of the Industry Standard Software System Closing Report to the Cash Drawer Reconciliation Form.
10. Prepare the Deposit ( see below Section 6. 1. 11 " Deposits"); Place the remaining bills ( the beginning balance) into a bank bag and secure the cash drawer and the bank bag containing the next day' s opening balance in the safe.
11. If any drawer has a discrepancy in the count, a recount must take place immediately. If there is still a discrepancy after a recount, the Manager shall investigate and determine the reason for the discrepancy before leaving the store for the day.
IV. DEPOSITS
A. A deposit shall be prepared and secured in the safe immediately after reconciling each cash drawer at closing or at the end of a shift.All cash in excess of the opening balance shall be deposited.
B. Once confirmed, all cash in excess of the opening balance from that drawer will be placed in an envelope and sealed.
C. Once the envelope is sealed the date and time shall be placed on the envelope.
D. The envelope shall be placed in a bank bag and secured in the safe separate from any other funds.
V. CASH HANDLING DURING DELIVERY
A. All delivery orders and payments shall be processed through Applicant' s FLOWHUB system for proper tracking.
B. Cashless delivery transactions will be utilized whenever possible. This will protect both driver and Customer and shall improve now-desired ' contactless' transactions.
C. When cash is accepted, it shall be stored in the safe, which will be mounted and bolted to the interior of the delivery vehicle.
D. Drivers shall begin their route with limited cash for purposes of solely providing change.
E. In accordance with BCC Regulations, the delivery employee shall not carry cannabis goods valued in excess of$ 5, 000 at any time, with no more than $3, 000 of cannabis Submittal # 3— Business Plan Page
63 S . Z
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goods that are not already part of a Customer order that was processed prior to leaving the Facility.
Submittal# 3— Business Plan Page
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EX 1I JJIt
Rec rd Keepir g Policy
Central California Greens, Inc. ( the " Company")
Polic,L: 1. 0
Effective Date: Upon Commencement Revision Date: June 2021
RECORD KEEPING POLICY
Purpose: This policy is the method by which the Company shall create and maintain records for their storefront retail dispensary. In compliance with Section 26013 of the California Business and Professions Code, the Company shall utilize the FLOWHUB seedto- sale software system to ensure a proper track and trace system for their operation.
Res onsible Partv: The Company and its authorized personnel
POLICY STATEMENT & PROCEDURES
I. Policy Statement
The Company is dedicated to proper, accurate, and confidential record keeping practices consistent with the Medicinal Adult Use Cannabis Regulation and Safety Act MAUCRSA") and Health Insurance Portability and Accountability Act, (" HIPAA"), if applicable, taking into account the State regulations ( the " Regulations") issued by the California Bureau of Cannabis Control ( the " Bureau" or " BCC"). In accordance with the above and applicable local cannabis laws, including City of Lathrop ( the " City") Municipal Code ( collectively, " Applicable Law"), this policy provides a plan that will provide and ensure safe dispensing, adequate record- keeping and security, theft prevention, and the maintenance of confidential information.
II. Procedure
The Company shall utilize the FLOWHUB software system to track and maintain records, which will be readily available to law enforcement and any other official charged with enforcing the provisions of Applicable Law (" Law Enforcement"). Accordingly, Law Enforcement may enter the Company' s Facility at any time during the hours of operation without notice and inspect the location, records, as well as the recordings and records maintained for seven ( 7) years in accordance with Submittal # 3— Business Plan Page
65 Ze t Gorden
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MAUCRSA. As a result, all the Company staff shall be notified of this policy and to strictly adhere to its compliance.
Company records will be protected from loss, damage, or unauthorized use through the FLOWHUB software system. The Company' s point of sale software shall be compliant with the State Unique Identifier and Track and Trace Program ( Chapter 6. 5 of Division 10 of the California Business and Professions Code). The Company will also maintain all other records in compliance with Bureau Regulations.
A. All records described in this section shall be maintained by the Company for a period of seven [ 71 vears.
B. The Company will utilize the FLOWHUB software system to record purchases including recordation by internal clock, denials of sale, delivery options, and other pertinent records.
C. The Company shall utilize the FLOWHUB software to maintain accurate books and records in an electronic format, detailing all of the revenues and expenses of the Company, and all of its assets and liabilities and on no less than an annual basis at or before the time of the renewal of its cannabis License, or at any time upon reasonable request of the City, submit to the City, in a form approved thereby, a statement, sworn as to accuracy, detailing Company' s revenue and number of sales during the previous twelve- month period, or shorter period based upon the timing of the request, provided on a per- month basis. The statement shall also include gross revenues for each month, and all applicable taxes paid or due to be paid.
D. Further, on an annual basis, the Company shall submit to the City a financial audit of the Company' s operations conducted by an independent certified public accountant.
E. The Company shall also maintain a current register of the names and the contact information ( including the name, address, and telephone number) of anyone owning or holding an interest in the Company and separately of all the Owners, Officers, Managers, employees, agents and volunteers currently employed or otherwise engaged by Company and shall provide to City Manager promptly upon request.
F. The Company shall also maintain personnel records, including employee training records, certifications, and training acknowledgments including METRC, OSHA, and internal compliance training, as well as security personnel licenses issued by the Bureau of Security and Investigative Services.
G. As applicable, the Company shall maintain all shipping manifests generated through the track and trace system.
Submittal # 3— Business Plan Page
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H. Upon a first visit to the Facility, customer, patient, and/ or caregiver collectively, " Customer") information is entered into Company' s electronic identification verification system by a Company employee and will include all required information for the FLOWHUB software system entry including:
1. A scan of Customer' s valid government ID;
2. For patients, a current valid physician' s recommendation;
3. The Customer' s name;
4. The Customer' s date of birth;
5. The Customer' s emergency contact;
6. This record is dated and signed for all subsequent Customer transactions.
I. The records shall clearly show the source, amount, price, date, and Distributor of all cannabis products received or purchased, and the amount, price, dates, and Customer for all cannabis sold.
J. In accordance with Section 26001 of the California Business and Professions Code and Section 5409 of the Regulations, the Company will utilize FLOWHUB to ensure Customers do not exceed the mandatory limits as follows:
Adult-Use Customers:
The Company shall sell no more than twenty- eight and one- half
28. 5) grams of non- concentrated cannabis in a single day to a single Adult-Use Customer.
The Company shall sell no more than eight ( 8) grams or eight thousand ( 8, 000) milligrams of concentrated cannabis as defined in Section 26001 of the California Business and Professions, including concentrated cannabis contained in cannabis products, in a single day to a single Adult- Use Customer.
The Company shall sell no more than six ( 6) immature cannabis plants ( known, commonly as ' clones') in a single day to a single AdultUse Customer.
Medical cannabis patients or primary caregivers:
The Company shall sell no more than eight ( 8) ounces of inedical Submittal # 3— Business Plan Page
67 Zen Gorder
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cannabis in the form of dried mature flowers or the plant conversion in a single day to a single patient or the patient' s primary caregiver.
The Company shall sell no more than twelve ( 12) clones in a single day to a single patient or the patient' s primary caregiver.
If a qualified patient or primary caregiver has a physician' s recommendation that this quantity does not meet the qualified patient' s medical needs, the Company may sell the amount of medicinal cannabis consistent with the patient' s documented needs.
K. An inventory record documenting the dates and amounts of cannabis sold at the Facility and the daily amounts of cannabis stored at the Facility shall be maintained on- site.
L. The Company shall keep a complete set of books of account, invoices, copies of orders and sales, bills of lading, weigh bills, bank statements including canceled checks and deposit slips, and all other records necessary to show fully the business revenues, expenses, assets, and liabilities of such licensee.
M. In accordance with Applicable Law, the original copies of its Commercial Cannabis Permits issued by the City shall be posted in a location readily visible to the public at all times.
N. All records must be identified as confidential, and any disclosure shall be limited in a manner that maintains the confidentiality of the information contained therein.
O. All records kept and maintained by the Company shall at all times protect the confidential information of the Customer.
P. Entries are to include the Facility employee' s information for tracking purposes and may only be made by the staff inember who is recording the transaction.
Q. No changes should be made which make any entries illegible. The Company shall notify the Law Enforcement within twenty-four ( 41hours if there is anv concern that an entry was altered or otherwise changed.
R. FLOWHUB Reconciliation Procedures:
1. The Company shall reconcile the physical inventory of cannabis goods with the records in the track and trace FLOWHUB database at least once every thirty( 30) days.
2. The Company shall conduct an audit and notify the City and the Bureau and any other agency required under Applicable Law of any reportable activity pursuant to Section 5036 of the Regulations if Submittal # 3— Business Plan Page
68 ZGl1 C',Qrderl
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the Company discovers a discrepancy between its physical inventory and the FLOWHUB database.
S. Receipts shall be maintained via a computer program or by pre- numbered receipts and used for each sale.
T. Safeguards to prevent unauthorized use of the FLOWHUB software system includes separate log- in information for users, and all terminals are recorded by security cameras.
U. In conjunction with the Company' s educational support for Customers, records will be generated for each interaction where Customer education and support materials are provided to the qualifying Customer.
Recordation of a description of the materials and the date the materials were provided shall be made. This will be in addition to a Company website provided with each Customer receipt to allow Customer' s educational access to any cannabis products purchased from the Company.
V. If an otherwise qualifying Customer requests cannabis and does not obtain it from the Facility ( due to daily limits, sobriety, or other reasons), the following shall be recorded in the record:
1. The date;
2. The name of the individual who requested the cannabis; and
3. The Facility' s reason for refusing to provide the cannabis (* if applicable).
Submittal # 3— Business Plan Page
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HIPAA COMPLIANCE
The Company' s recordkeeping policy shall be subject to any restrictions under the Health Insurance Portability and Accountability Act ( HIPAA) regulations. All Facility staff, principal officers and board members are required to complete HIPAA training.
The following is written into all offer letters and board member requirements:
Certificate of HIPAA completion must be accepted thirry( 30) days from date of written offer of employment or board
certification. Failure to complete training will result in withdrawal ofinembership or offer letter. Candidates will not be able to assume employment or membership prior to
presenting proof of certification hard copy':
The Company is considered a covered employer that is required to comply with the HIPAA Privacy Rule. The Privacy Rule states that Private Health Information (" PHI") is confidential and that no one associated with the Company ( such as Facility staff, volunteers, or contractors) may use or disclose such information without the customer' s written authorization except under limited and specific circumstances:
A. To the particular person ( the Company' s authorized personnel do have to be concerned with the HIPAA Privacy Rule when discussing the consumer' s health information with that consumer; with the exception of some mental health related information, which in most cases carries a warning that the report or diagnosis should not be discussed with the patient);
B. For treatment, payment, and health care operations;
C. For informal reasons, as long as the patient has the opportunity to agree or object;
D. For purposes incidental to another permitted PH( disclosure; E. For Public Interest and Benefit Activities, in compliance with the MAUCRSA and the CDPH regulations and policies governing the release of information for this purpose; or
F. For the purposes of research, public health, or health care operations in compliance with the CDPH regulations and policies governing the release of information for this purpose.
In accordance with the above H[ PPA limitations, the Company shall allow City officials to have access to its books, records, accounts, together with any other data or documents relevant to its commercial cannabis business activities, for the purpose of conducting an audit or examination. The Company shall produce requested books, records, accounts, and any and all relevant data or documents no later than twenty- four ( 24) hours after Submittal# 3— Business Plan Page
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receipt of the City' s request unless otherwise stipulated by the City. The Company shall submit materials in an electronic format that is compatible with the City' s software and hardware if required by the City.
Submittal# 3— Business Plan Page
71 EXHIBIT 5
Capital Commitments
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Stockton Partners, Inc.
dba. Zen Garden Wellness
7632 Pacific Ave.
Stockton, CA 95207
March 8, 2022
Re: Central California Greens, Inc.
Commitment of Capital
To Whom It May Concern:
Per our discussion, Zen Garden Wellness has committed up to$ 500, 000 in capital loans towards the development of Central California Greens, Inc. dba Zen Garden Wellness dispensary in Lathrop, CA.
These funds are on deposit at the Company' s financial institution, and accessible to the project.
Sincerely,
Corey Travis
Director, Stockton Partners, Inc.
corey@zen209. com
415- 890- 4480
Stockton Partners Inc. DBA Zen Garden Wellness Account Statement( 3 pages)
RECEIVED BUT OMITTED FROM PUBLIC COPY
City Attorney
To wham ii m y concem:
Please ac ept khis letter as praQf tFaat I , A,nthflny Usse , Mar aging Par#ner and President offylpl a Zeta Log s#x have authority ta mak a11 decis ions t; garding my cQmpany' s affair. T is inducies access c ali ass ts, bat tan ibks and intangibl.
I: QGiST[ X
Thi! e#k+er is ta confirm Anthony Ussary is the majority stakehc lt er caf Alpha Zeta. A,nth y Ussery is in cantrol of° 009b of the funds, 8est Reg ds,
Anthc Ussery
President
Alph Zeta Lc gistix
9"! 6- 544- 3464
Alpha Zeta Logistix LLC Account Statement( 3 pages)
RECEIVED BUT OMITTED FROM PUBLIC COPY
City Attorney
March 8, 2022
Re: Central California Greens, Inc.
Commitment of Capital
To Whom It May Concern:
Per our discussion, I have committed up to$ 250, 000 in capital towards the development of Central California Greens, Inc. dispensary in Lathrop, CA. These funds are on deposit at my financial institutions, and accessible to the project.
Sincerely,
Corey Travis
coreyRtravis@ mail. com
415- 890- 4480
Corey Travis Account Statement( 1 page)
RECENED BUT OMITTED FROM PUBLIC COPY
City Attorney
Required Submittal Item #4
Criterion Matrix
w, . m ,
ATTACHMENT uB" — CRITERION MATRIX
j ' lects C` r+teri x
1) scriE tiuri trf C' x• itc- i.
es __._ 1_,_.
Seetion 1: Prioriti.tie I leciicinat Cannabis Access
a) RFP Res nse includes combined medi inaUadult use dis X b) RFP Response includes Delivery Services x
ec#ic c ?: Geo z s i iGal t' i t fe cn c i' ci ht c 1 tat IZclations a) ' r E
u.. c i I rc tiE n i:, 4 iEl lit 1 f! t le; t t l: c, tl Cr t urtatiui i b) RFP Itesponse in ludes a
proc; ess and schedule for at least two X
ublic outreach meetin s ear that meet Ci r uirements
c) Business plan includes a schedule for cammunication and receiviag feedback from all entities within 300 feet of the business X at least two times er ear
d) RFP Response includes appointment af an employe e as a X
c esi ate i iiaison to the ne barhaod
a) Business is andlor was associated with a non- cannabis- related X
business in the Ci of Lathro
b) RFP Response include daily site inspection to ensure maintenance of the interior and exteriar af the facility( i.e., free 4f trash, graffiti} X etc.
c) Comrnercial cannabis business will be ape rnore than five days a X
week and at least six hc urs er da
d} Lacatian is within an exisEing building or facility with ability to be X
c> pen f r husiness s° ithin six tn t ths t f i
rc,• al hy° the C' itv
j ec i€xn . iE r c i c1s a c1 }'• occ: fu- i i<a the (} c tia i o# t acilities u A_,.. ,_. .. nww ... . ._. ,_ _, . .... ... e .., .... . .. . ... ... . ... v , a} RFP Resp nse includes dactimented emplayee safety training X ro am
b) RFI Respvnse includes documented employee cannabis
X
educational trainin co T am
c) Business Plan includes enhanceci ecurity measure, with ac least three af the follawing: panic buttons, dye packets, bulletpraof window film( with break $ trength af 4Q0 lbs. per inch or better), a X UL- appraved safe with a fire rating that is Z- hour 1, 700 degrees F or better with a Gomplex locking device; motivn sensing lighting; or other enhanceci securit measure acce table to the Ci d RFP Res onse includes climate- controlled environment X 10 280
j
t' Ieefs (' rikcria !
t) cscri icr t f' riter i
cs ( I c (
e) RF' Resporise in luc es a camprehensive docuanented prc cess for 24- haur minimum response time to cannabis prt duct recall X notifications
fl RFP Respor se includes plan for disposal of all solid waste based on X
best ractices of thc State
g) RFP Response includes more than one on- site security uard during X business hours
h} RFP Response includes plans and procedures on haw all cannabis pmducts on the premises or held by the Applicant meet the testing X r uirennents as defined b the State
i) RFP Response includes a separate lobby where identi ication is checked to ensure that only qualified individuals gain access to X
s arate, lack l areas where cannabis roducts are dis la ed j} RFF Response includes electronic storage of required records of sales, delivery marxifests, patient infarmatian( ifinedicinal and X
required by State}, invento' y, etc., which can be prc vided to City ersonnel u n r uest
k) RFP Response includes participation in web-based public safety application or equivalent that provides law enforcement c rith X confirmation of lacal and state licenses
1) RFP Respc nse includes propased " green" business practices related to energy and climate, water conservation, and materialslwaste X stora e
m) RFP Response includes secured loadin hmlc ading area for x
cicli ric:;
s cti r ;: PriQr E l erien c i I3 isinec Q 4 c: a s aip ar i < i a e e t a) Cambined priar experi nc of pr pasec owners includ s mflre than three years of verified successful managernent af any non- cannabis X le al retail facili
b Owners are listed on State a roved commercial cannabis Iicenses. X c) Combined prior experience afproposed awners is more than three X
years with a wmmercial cannabis business in compliance with liti- ni t l, t v, ti itl rE,{ F t t t:l•. a' rcnt f 1'? L i_ _ _._. . _ . E'____ __. _ _ cti ra +. Quai ficati r s ut' I' t i ci} atsli txsi e s ['[ n a) lt le st one pi} t s4d uw ne is a il ilit ir} ti•eterai w itii ail X
hanorable dischar e
b) Does the business qualify as a Disadvantaged Business Enterprise X
DBE as defined b the U. S. D artment af Trans rtation?
c) Does the business have documented proof of access to at teast 150, OQ4 in capit I ( r enough capital ta pay all startup costs plus X at least tllree months of a eratin costs?
11 a
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cscri€ itar c' C' e- itcri.
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t I);) il S ii;: l ' l Ll 111! ll: . t A<< 1. l?t t: l11. i u: 11 C_ t'. i. i1, il ears af' a eratian
e) Does the proposed commercial cannabis business have
documente, agreements with cannabis distributors t supply X
products to their btasiness`
Scetit n 7: ; r i lc+' cc « c }' kl li I€ l i€ ns
1} { 1C 1CO';: lj Cl) lili]' ICI I' t ; 1I1P,cli> 1`: ;? I. Ii1C 5 '.; 11 7! tll;? tsli l.'':? 1 hiring or provide incentives far City residents ta work far the X business
b} The proposed cairunercial cannabis business pravides ernpioyee X
health benefits for atI full-time em Ia ees
c) The proposed commercial cannabis business wilt em loy mare than five people full- time, not counting the owners or securify X ersonnel
d) RFP Response includes an ongoing public informatiQn program to inform City residents af cannabis issues and properlsafeJlegal use X of cannabis products
a RFP Response ineludes oi er to deposit funds to cover the costs of X
a li ation and entitlement rocessin
b) RFP Respc>nse includes offer ta prc vide a percentage of annual X oss recei ts as a cammunit benefit to be allocated b the Cit c) RFP Response includes benefits to the cvmmunity, sueh as t monetazy cc ntxihut t ns to local community organizations, or X
valunteer work for locai eammunity organizations, ar any other ro sed communit benefit deemed acc table to the Cit
The Critertan 11 atrix is intended solely to provzde additional informntion to the Citv Council and daes not reflect mrnimum eriteria for RFP Res onses ** 12 2a2