Request for Qualifications for Cannabis Operator
Permits for Retail Sales Eligibility List
REQ
UEST FOR QUALIFICATIONS
Cannabis Operator Permits for Retail Sales Eligibility List
April 22, 2025
QUALIFICATIONS DUE: June 26, 2025
The City of San Pablo (“City”) invites qualified firms, partnerships, corporations, associations, persons or professional organizations (collectively, “Respondents”) to respond to this Request for Qualifications (“RFQ”) to be eligible to apply for a limited number of up to three (3) Cannabis Operator Permits in the City of San Pablo.
Interested
firms or persons are invited to submit their Qualifications in response to this RFQ as described below, with one (1) electronic copy on a USB drive, and five (
5) bound copies of requested materials addressed to:
Ci
ty of San Pablo
Attention: City Clerk’s Office
1000 Gateway Avenue
San Pablo, CA 94806
All responses must be received by June 26, 2025 not later than 5:00 p.m.
Qu
alifications will not be accepted after the deadline.
This
RFQ is not a formal request for bids or an offer by the City to contract with any party responding to this RFQ. The City reserves the right to reject any and all responses, to waive minor irregularities and/or insignificant mistakes, or to request additional information from any Respondent, to the extent such action is determined by the City to be in its best interest. The City also reserves the right to amend this RFQ as necessary.
All materials submitted to the City in response to this RFQ will remain the property of the Exhibit A
Request for Qualifications for Cannabis Operator
Permits for Retail Sales Eligibility List
City. Respondents are solely responsible for all costs incurred in responding to this RFQ including site investigation and due diligence.
ABO
UT SAN PABLO
San P
ablo is located in West Contra Costa County off Interstate 80, minutes away from the Bay Area cultural centers of Berkeley, Oakland and San Francisco. Interstate 80 is the principal arterial route between the Bay Area and Sacramento. The City of San Pablo is nestled between the cities of Pinole and Richmond and by the neighbo ring cities of El Cerrito and Hercules. Historically one of the oldest Spanish settlements in the region, San Pablo has become a thriving residential and business community with a population of about 30,000 in an area of approximately two and one-half (2.5) square miles.
San P
ablo is located less than 40 minutes away from international airports in Oakland and San Francisco. Access to the Bay Area Rapid Transit (BART) system and Amtrak passenger train service is closely located in the vicinity. AC Transit bus line service includes San Pablo in its route from Fremont to Pinole. Containerized shipping, ports and railway access are located in Richmond and Oakland. The City’s Rumrill Boulevard serves as a major commercial/light industrial corridor and San Pablo Avenue is a major regional arterial in the East Bay region. Both corridors are designated as major Priority Development Areas (PDAs) undergoing significant infrastructure and traffic improvement planning.
More i
mportantly, San Pablo's diverse and multi-cultural community, housing affordability, and access to the entire Bay Area region are noted highlights of this small, urbanized Bay Area community. Currently, according to 2010 U.S. Census figures data, San Pablo has a population of nearly 63% between the ages of 18 and 64 years, with a significant population of nearly 28.3% under the age of18 years.
(S
ource: http://www.bayareacensus.ca.gov/cities/SanPablo.htm).
Request for Qualifications for Cannabis Operator
Permits for Retail Sales Eligibility List
PROJECT DESCRIPTION, OBJECTIVES AND BACKGROUND
Project Description: As part of the City Council’s priority to Focus on Economic Development and Diversification, the City is interested in permitting Cannabis retail sales and identifying eligible applicants through the RFQ process . The City ’s RFQ selection committee will evaluate and present a ranked list of eligible Respondents to the City Council for
approval. Up to three (3) top-r anked Respondents selected by the City Council will be eligible to apply for up to three (3) of Cannabis Operator Permits through the City’s Zoning Administrator. In order to apply for and be eligible to receive a Cannabis Operator Permit, the physical location of a proposed retail sales site must be in the designated zones identified in Exhibit B.
Receiving approval to apply for a Cannabis Operator Permit does not constitute an entitlement approval. All proposals that approved by the City Council must thereafter successfully obtain a Cannabis Operator Permit , and obtain a Conditional Use Permit, State license, and other applicable regulatory approvals. Applicants who are applying for more than one permit must meet each of the foregoing requirements for each proposed location. Submitted proposals must include the following information in the ensuing order. All information submitted to the City must be current. Applicants have a continuing duty to confirm that any requested information submitted previously as part of the RFQ submittals remains accurate, and notify the City immediately of any inaccuracies:
SUBMITTAL REQUIREMENTS
Each proposal must include, at a minimum, the following items:
1. Provide Evidence of Secured Location for the Cannabis Business. Evidence of a secured location for a cannabis business includes, but is not limited to: a real estate letter of intent (RELOI) to lease or purchase property from a party authorized to lease or sell such property; a purchase agreement, a lease, an option to purchase, an option to lease or purchase property; or evidence of the applicant’s ownership of the property. These terms are defined more specifically below:
Letters of interest of any kind are not acceptable. RELOIs, leases or options to lease or purchase must clearly and specifically state that the RELOI, lease, or option to lease or purchase is for the type of cannabis business listed in the proposal. The RELOI, lease, or option to lease must reflect that the applicant will have control of the property for a minimum of two years. A month-to month lease or rental agreement is not acceptable. • Real Estate Letter of Intent: A signed written term sheet, letter of intent, or exclusive negotiating agreement between two or more parties, including the applicant, to sell, lease, or sublease property, outlining the terms by which the applicant will have control of the property for two or more years. These terms may be further negotiated but must provide the basis for a proposed written agreement.
• Purchase Agreement: A signed written agreement that a person will purchase a specific property and the owner cannot sell to anyone else unless the terms of the agreement are not fulfilled.
Request for Qualifications for Cannabis Operator
Permits for Retail Sales Eligibility List
• Lease: A signed written agreement that gives a lessee exclusive rights to use and occupy specific property for at least two years. • Real Estate Purchase or Lease Option: A signed written agreement for the purchase or lease of specific real property by which the purchaser or lessee has the exclusive right to purchase or lease the property for at least tw o y
ears.
• Proof of Ownership: A written document, such as a deed, that shows that title to the real property is vested in the applicant.
2. Provide a Statement Confirming that the Cannabis Business Location is Outside of Buffer Zone for Sensitive Uses. State that the location secured for the cannabis business operations is outside of the buffer zone for sensitive uses as set forth in the cannabis ordinance (see Exhibit B). Furnish evidence and a map supporting the foregoing s
tatement. Any proposal located within the buffer zone for sensitive uses will automatically be disqualified from further consideration.
3. P
rovide a Statement of Qualifications. Describe the Cannabis Business Owner’s qualifications relative to the proposal, including experience running businesses similar to the one proposed, including cannabis and/or non -cannabis businesses. CV/resumes may be attached as an exhibit to this Section of the proposal. “Cannabis Business Owner” means “Owner,” as defined in State law, including b y r
egulation, in addition to any of the following:
a. Each person with an aggregate ownership interest of 20 percent or more in a person, as defined herein, who applies for a Permit or is a Cannabis Business Permittee, unless the interest is solely a security interest, lien, or encumbrance. When an entity (not a natural person) has an aggregate ownership interest of 20 percent or more, then the chief executive officer and/or members of the board of directors of each entity shall be considered owners.
b. The chief executive officer of a person, as defined herein, who applies for a Permit or is a Cannabis Business Permittee.
c. A member of the board of directors of a nonprofit of a person, as defined herein, who applies for a Permit or is a Cannabis Business Permittee. d. The trustee(s) and all persons that have control of the trust and/or a person, as defined herein, who applies for a Permit or is a Cannabis Business Permittee that is held in trust.
e. Any person, as defined herein, who assumes responsibility for the Permit. f. An "employee ownership panel" which is a group of individuals who collectively own 50% or more of the employee-owned business.
g. Each person who participates in the direction, control, or management of person, as defined herein, who applies for a Permit or is a Cannabis Business Permittee. Such an individual includes any of the following:
i. A general partner of a partnership.
ii. A non-member manager or managing member of a limited liability company. iii. An officer or director of a corporation.
4. Proposal Implementation Provide verifiable, detailed descriptions and other background information for any Cannabis Business Owner. Describe other resources, Request for Qualifications for Cannabis Operator
Permits for Retail Sales Eligibility List
including financial resources, dedicated to implement this application. (500 word maximum)
5. U
nderstanding and Approach Provide a statement demonstrating the applicant’s understanding and approach to running the proposed cannabis business and how that approach will integrate the business into the community in which it is located. (500 word maximum)
6. C
ommunity Benefits A description of the benefits that the cannabis business would provide to the local community, such as employment for residents of the City, community contributions, significant improvements to the property where the cannabis business is proposed to be operated and adjoining properties, or economic incentives to the City.
Describe the applicant’s involvement in community/non-profit organizations in the City of San Pablo, Contra Costa County and/or the applicant’s community. (500 word maximum)
7. P
roposed schedule Provide a schedule for opening the cannabis business. The schedule should include dates for the following:
a. Conditional Use Permit/Design review
b. Signage approval, if applicable
c. Issuance of State license(s)
d. Issuance of Building permit
e. Issuance of other regulatory permits
f. Completion of construction
g. Opening and commencement of operations
8. Local Hire Program/Local Ownership/Former Student/Employee Ownership (optional) Responding to this Section is voluntary. Describe the business plan, if any, to maximize the following:
a. Loca
l hire program: Applicants may provide a plan demonstrating how they would hire locally. A local hire plan could address:
i. A minimum percentage of the business’ employment base hired locally. ii. A recruitment plan for new hires, including outreach methods. iii. The hourly wage of the lowest-paid employee.
iv. Estimated number of employees in the first year, second year, third year, fourth year and fifth year.
v. Available job pathways.
vi. Describe any plans to train employees and promote lower -level employees.
vii. Estimated number of full- time and part -time positions in years one through five. (350 word maximum)
b. Local ownership: More than 50% ownership of the business by a three- year resident(s) or business owner(s) constitutes local ownership. Maximum points will be awarded for 100% local ownership. The local owners must provide verifiabl e i
nformation regarding the number of years each owner has lived in, and/or owned a bus
iness in, San Pablo. If an applicant meets one or both of these standards, specify who each local owner is and how that person meets the criteria. Provide verifiable i
nformation such as business license information, property tax bills, business Request for Qualifications for Cannabis Operator
Permits for Retail Sales Eligibility List
name(s) and address(s), and the number of years each owner has lived in and/ or owned a business(s) in San Pablo.
c. Fo
rmer student: More than 50% ownership of the business attended no less than two years or four semesters at an elementary, middle-school/junior-high, high- school, college or vocational school in the City of San Pablo. Provide an official transcript from the institution(s) attended, which clearly shows the name, graduation date (if applicable), and course details and/or a signed and dated letter from the school registrar confirming your attendance and graduation dates. d. E
mployee ownership: There are three main types of broad- based employee ownership. Employee Stock Ownership Plans (ESOPs), worker cooperatives and Employee Ownership Trusts (EOTs). Maximum points will be awarded for vendors that are one of the above- mentioned employee- owned businesses, if not, consideration will be given to a potential vendor's experience with employee-owned businesses, their ability to design and implement such plans, their understanding of employee ownership models, their expertise in valuation, and their commitment t o
pr
omoting a culture of employee ownership within the company, including details on communication and education strategies for employees regarding their ownership stake
RA
NKING PROCESS AND REQUIREMENTS
The selection committee will consist of City staff. Qualifications will be evaluated and proposals will be scored based upon criteria and maximum point values shown below:
1. B
usiness Experience & Qualifications 20 points
2. Location Suitability & Compliance 20 points
3. Business & Operating Plan 10 points
4. Community Benefits 10 points
5. Financial Stability & Resources 20 points
6. Proposal Clarity & Implementation 20 points
7. Local Hire/Ownership Plans (Optional but incentivized) 20 points The selection committee will rank proposals and may invite the top- ranking applicants to an interview.
QU
ALIFICATION PROPOSAL AND TIMELINE
• Release of RFQ: April 22, 2025
• Final requests for information/questions due: May 8, 2025 by 5:00 PM • Proposals due: June 26, 2025 by 5:00 PM
• Interviews: To be determined
• Anticipated City Council adoption of ranked list of eligible applicants: To be determined
RE
QUESTS FOR INFORMATION
Respondent requests for information and/or questions pertaining to this RFQ shall be submitted no later than 5:00 PM, May 8, 2025 by email to Request for Qualifications for Cannabis Operator
Permits for Retail Sales Eligibility List
[email protected]. Responses to questions submitted within the specified time period will be answered by addendum to this RFQ, which will be posted on the City’s bid website. Any requests or questions not submitted within the time and manner described above shall be deemed waived. The City is not bound by the oral representations of any City employees or officials.
DI
SCLAIMERS AND RESERVATION OF RIGHTS
Upon receipt, each and every submittal becomes sole property of the City and will not be returned. Each applicant is solely responsible for the costs it incurs to prepare and submit any submittals. The City reserves, in its sole discretion, the right to reject any and all submittals, including the right to cancel or postpone the RFQ at any time, or to decline to move forward with any or all applicants. The City reserves the right to waive any immaterial irregularities in a submittal. The City reserves the right to reject any submittal that is determined to contain false, misleading, or materially incomplete information.
C
ONFLICT OF INTEREST
City employees are prohibited from participating in the selection process for this RFQ if they have any financial or business relationship with any applicant. This RFQ process will be conducted in compliance with all laws regarding political contributions, conflicts of interest, or unlawful activities.
DI
SCLOSURE OF PROPOSAL CONTENTS
Upon completion of the evaluation process, the proposals and associated materials will be open for review by the public to the extent allowed by the California Public Records Act, (California Government Code Section 6250 et. seq.). By submitting a proposal, Respondents acknowledge and accept that the contents of the proposal and associated documents will become open to public inspection. Respondents may clearly label part of the proposal as “CONFIDENTIAL” if the Respondent thereby agrees to indemnify and defend the City for honoring such a designation. The failure to so label any information that is released by the City will constitute a complete waiver of all claims for damages caused by any release of the information. If a Respondent submits an entire proposal marked “CONFIDENTIAL”, it will be considered non-responsive. Each Respondent should be aware that although the California Public Records Act recognizes that certain information may be protected from disclosure, the City might not be in a position to establish that the information, which a Respondent submits, is exempt form disclosure. If a request is made for information marked “CONFIDENTIAL,” the City will provide the Respondent who submitted such information with reasonable notice to allow the Respondent to independently seek protection from disclosure by a court of competent jurisdiction.
A
PPEALS / REQUESTS FOR RECONSIDERATION
Upon the City Council’s approval of a ranked list of eligible Respondents, such decision may be appealed by any Respondent by submitting a request for reconsideration to the City Clerk within fifteen (15) days following such decision. All appeals shall (i) be submitted in writing, (ii) specifically state the basis or grounds of the appeal, (iii) be accompanied by the required filing fee for appeals, as set forth on the City’s Master Fee Schedule, and (iv) be conducted in accordance with the procedures established by City Council resolution.
Request for Qualifications for Cannabis Operator
Permits for Retail Sales Eligibility List
ATTACHMENTS
Exhibit A: City of San Pablo Cannabis Ordinance
Exhibit B: Map of San Pablo Zoning Districts outside of the buffer zones for sensitive uses where Cannabis Operator's Permits are allowable
Exhibit A
City of San Pablo Cannabis Ordinance