South El Monte City Council
February 17, 2026

Gloria Olmos, Mayor/Chair
Rudy Bojorquez, Mayor Pro Tem/ Vice Chair
Manuel Acosta, Councilmember/
Boardmember
Hector Delgado, Councilmember/
Boardmember
Larry Rodriguez, Councilmember/
Boardmember
Rene Salas, City Manager/Executive
Director
Susie A. Altamirano, City Attorney/
General Counsel
Adrian Garcia, City Clerk/Secretary
Masami Higa, Director of
Finance/Treasurer

CITY OF SOUTH EL MONTE

REGULAR MEETING OF THE SOUTH EL MONTE CITY COUNCIL AND THE

SUCCESSOR AGENCY TO THE SOUTH EL MONTE IMPROVEMENT DISTRICT AGENDA
February 17, 2026, 6:00 PM
1415 Santa Anita Avenue, South El Monte, CA 91733

PUBLIC COMMENT
Those wishing to participate during Public Comment may do so in person at the South El Monte City Hall Council Chambers, or may submit written public comments by emailing [email protected]. Emailed public comments are due by 5:00 p.m., and should be limited to no more than 250 words. Written public comments will be provided to the City Council and will be part of the record but will not be read aloud.

To participate during public comment via teleconference, see below:

Link: https://us02web.zoom.us/j/86581711880
Webinar ID: 865 8171 1880
Or call in: 1 669 900 6833, when prompted, enter 86581711880#

LIVE STREAMING OF MEETINGS
The City of South El Monte live streams the City Council Meetings over the Internet at https://www.cityofsouthelmonte.org/129/Meeting-Agendas-Minutes. After the meetings, recordings are immediately posted. NOTE: Your attendance at this public meeting may result in the streaming and recording of your image and/or voice.

AMERICANS WITH DISABILITIES ACT
In accordance with the Americans with Disabilities Act of 1990, if you require a disability-related modification or accommodation to attend or participate in this meeting, including auxiliary aids or services, please call the City Clerk’s office at (626) 579-6540 at least 72 hours prior to the meeting.

MEETINGS
The City Council holds regular meetings on the first and third Tuesday of every month.

Regular meetings start at 6 p.m. in the Council Chambers at City Hall, 1415 Santa Anita Avenue, South El Monte, California. Special and Adjourned Regular meetings start time are to be determined.

POSTING LOCATIONS OF AGENDA AND/OR CANCELLATION NOTICES Regular meeting agendas will be posted at least 72 hours before the meeting (GC 54954(a)(1)).

Agenda and Cancellation Notices can be viewed online and are also posted at the following three (3) locations: City Hall located at 1415 Santa Anita Avenue, Senior Center located at 1556 Central Avenue and the Community Center located at 1530 Central Avenue, South El Monte, California.

VIEWING OF AGENDA PACKETS
Full agenda packet can be viewed either at
https://www.cityofsouthelmonte.org/129/Meeting-Agendas-Minutes or in the City Clerk’s Office during normal business hours Monday through Thursday, 7:00 a.m. to 5:30 p.m.

Closed on Fridays and major holidays.

ISSUES RELATED TO AGENDA
For issues related to the agenda, including a disability-related accommodation necessary to participate in this meeting, please contact:

Adrian Garcia, MMC, City Clerk
Ph (626) 443-4928
Cell (626) 926-3071
Sabrina A. Muhne, Deputy City Clerk
Ph (626) 652-3121
Cell (626) 374-1998

LEVINE ACT DISCLOSURE
Pursuant to the Levine Act (Govt Code Section 84308), any party to a permit, license, contract, or other entitlement before the City Council is required to disclose on the record any campaign contribution, including aggregated contributions, of more than $500 made by the party or the party's agents within the preceding 12 months to any City official. Participants and agents are requested to make this disclosure as well. The disclosure should be made when the agenda item is called and must include the name of the party, participant, or agent, and any other person making the contribution, the name of the recipient, the amount of the contribution, and the date the contribution was made. Council Members are also required to make such disclosures and recuse themselves.

CONFLICT OF INTEREST
City Council Members with a conflict of interest under the Political Reform Act are required to make disclosure of financial interest when the item is called and recuse themselves.

AGENDA BEGINS ON THE FOLLOWING PAGE

1. CALL TO ORDER AND ROLL CALL
Councilmembers/Boardmembers: Acosta, Delgado, Rodriguez, Mayor Pro Tem/Vice Chair Bojorquez, and Mayor/Chair Olmos

2. PLEDGE OF ALLEGIANCE
Councilmember Hector Delgado

3. INVOCATION
Robert Yrigoyen, Parish Council President, Epiphany Catholic Church

4. PRESENTATIONS

4.a. Presentation of Certificates of Recognition to the Shively Dance Team for their 1st Place win at the Sharp Dance Competition.

4.b. Presentation of Certificates of Recognition to the EM/SEM Jets Cheer teams for the 2nd and 3rd Place at the Las Vegas Cheer Competitions.

4.c. Presentation of Certificates of Recognition to the Veterans of Foreign Wars Post 10218 for their participation in the City of South El Monte's Veterans Day Event.

4.d. Public Works Department Quarterly Report

5. APPROVAL OF THE AGENDA AND WAIVER OF FULL READING OF

ORDINANCES
By motion of the City Council, this is the time to notify the public of any changes to the agenda, remove items from the consent calendar for individual consideration and/or rearrange the order of the agenda.

6. PUBLIC COMMENT
Speakers may provide public comments on any matter within the subject matter jurisdiction of the City Council, including items on the agenda. Each speaker will be limited to five minutes. Unless a majority of the Council objects, the Mayor may provide speakers more or less time to speak. All comments or queries shall be addressed to the Council as a body and not to any specific member thereof.

Pursuant to Government Code Section 54954.2(a)(2), the Ralph M. Brown Act, no action or discussion by the City Council shall be undertaken on any item not appearing on the posted agenda, except to briefly provide information, ask for clarification, provide direction to staff, or schedule a matter for a future meeting.

7. CONSENT CALENDAR - CITY COUNCIL
Items on the consent calendar are considered to be routine and customary and are enacted by a single motion with the exception of items previously removed by a member of the City Council during "Approval of the Agenda" for individual consideration. Any items removed shall be individually considered immediately after taking action on the Consent Calendar.

Consent Calendar Items 7.a. through 7.c. next page.

CONSENT CALENDAR - CITY COUNCIL (CONTINUED)

7.a. CONSIDERATION AND APPROVAL OF THE REGULAR CITY COUNCIL MEETING MINUTES OF JANUARY 20, 2026

Staff is requesting approval of the Minutes of the January 20, 2026, Regular City Council Meeting.

RECOMMENDED ACTION: Staff is requesting approval of the Minutes of the January 20, 2026, Regular City Council Meeting.

7.b. CONSIDERATION AND APPROVAL OF RESOLUTION NO. 26-007, APPROVING WARRANTS FOR THE PERIOD OF JANUARY 29,
THROUGH FEBRUARY 12, 2026

Authorizing payment of City expenditures for the period of January 29, 2026, through February 12, 2026, totaling $1,33,043.19.

RECOMMENDED ACTION: Staff recommends City Council adopt Resolution No. 26-007, authorizing payment of City expenditures.

7.c. ADOPTION OF ORDINANCE NO. 1287 AFFIRMING THE PLANNING COMMISSION’S RECOMMENDATION TO APPROVE ZONE TEXT
AMENDMENT 25-01 TO AMEND THE SOUTH EL MONTE MUNICIPAL
CODE CHAPTER 17.09 AND CHAPTER 5.26 TO ALLOW COMMERCIAL

CANNABIS OPERATIONS IN THE MANUFACTURING ZONE AND TO

AMEND THE EXISTING REQUIRED BUFFER DISTANCES FROM
JURISDICTIONAL BOUNDARIES TO 350 FEET AND MAINTAIN 1,000

FOOT BUFFERS FROM ALL OTHER SENSITIVE USES

Adoption of Ordinance No. 1287, affirming the Planning Commission’s recommendation to approve zoning text amendment to the South El Monte Municipal Code Chapter 17.09 and Chapter 5.26 to allow commercial cannabis operations in the manufacturing zone and to amend the existing required buffer distances from jurisdictional boundaries to 350 feet and maintain 1,000-foot buffers from all other sensitive uses.

RECOMMENDED ACTION: Staff recommends City Council waive the full reading and adopt Ordinance No. 1287, approving Planning Commission’s recommendation and adopting Zone Text Amendment No. 25-01 to:
• Amend the South El Monte Municipal Code Chapter 17.09 to allow retailer commercial cannabis operations as a permitted use within the Manufacturing (M) zone; and
• Amend the South El Monte Municipal Code Chapter 5.26 to add the Manufacturing (M) zone as a permissible zone for retailer commercial cannabis operations and amend the existing required buffer distance of 1,000-foot buffer from all existing sensitive uses except for jurisdictional boundaries, the buffer of which will be 350 feet.

Consent Calendar Items 7.d. and 7.e. next page.

CONSENT CALENDAR - CITY COUNCIL (CONTINUED)

7.d. ADOPTION OF ORDINANCE NO. 1288, AMENDING CHAPTER 5.26 OF TITLE 5 OF THE SOUTH EL MONTE MUNICIPAL CODE THEREBY

AMENDING THE CITY'S CANNABIS REGULATIONS IN RELATION TO

APPLICATION PROCEDURE AND CRITERIA, PERMITTING AND

OPERATIONAL REQUIREMENTS, AND MAKE SUCH OTHER

CHANGES TO ALIGN WITH LEGAL DEVELOPMENTS

Adoption of an ordinance amending Chapter 5.26 of Title 5 of the South El Monte Municipal Code, thereby amending the City’s cannabis regulations, in relation to application procedure and criteria, permitting and operational requirements, clarification changes, and other changes in order to align with legal developments and to improve the administration thereof.

RECOMMENDED ACTION: Staff recommends City Council waive the full reading and adopt Ordinance No. 1288, amending Chapter 5.26 of Title 5 of the South El Monte Municipal Code, thereby amending the City’s cannabis regulations, in relation to application procedure and criteria, permitting and operational requirements, clarification changes, and other changes in order to align with legal developments and to improve the administration thereof.

7.e. CONSIDERATION AND APPROVAL OF RESOLUTION NO. 26-008, ACCEPTING THE TRAFFIC SIGNAL IMPROVEMENTS AT LEE AVE. & GARVEY AVE. AND DURFEE AVE. & PECK RD. – MICHAEL HUNT DR.

PROJECT (HSIPL-5352 (021)) AS COMPLETE AND AUTHORIZING THE

CITY CLERK TO FILE THE NOTICE OF COMPLETION WITH THE LOS ANGELES COUNTY RECORDER.

On February 20th, 2024, the Engineering Department solicited bids for the Traffic Signal Improvements at Lee Ave & Garvey Ave and Durfee Ave & Peck Rd — Michael Hunt Drive. The work involved furnishing all labor, materials, equipment, services, and incidentals required for traffic signal placement, including the installation of conduits, pull boxes, signal heads, sensor units, pedestrian push buttons, traffic signal poles, traffic striping, hauling and disposal, and traffic control at Lee Ave & Garvey Ave and Durfee Ave & Peck Rd - Michael Hunt Drive. On March 26th, 2024, Calpromax Engineering, Inc. (“Contractor”) was awarded a construction contract for the Traffic Signal Improvements at Lee Ave & Garvey Ave and Durfee Ave & Peck Rd - Michael Hunt Drive Project. The final cost for the construction work completed by Calpromax Engineering, Inc. is $496,979.91.

RECOMMENDED ACTION: Staff recommends City Council:

1. Adopt Resolution No. 26-008, accepting the completion of the Traffic Signal Improvements at Lee Ave & Garvey Ave and Durfee Ave & Peck Rd - Michael Hunt Drive Project;

2. Authorize City Clerk to send the Notice of Completion for recordation to the Los Angeles County Recorder’s Office; and

3. Release retention accordingly.

8. CONSENT CALENDAR - SUCCESSOR AGENCY
Items on the Consent Calendar are considered to be routine and customary and are enacted by a single motion with the exception of items previously removed by a member of the Board during "Approval of the Agenda" for individual consideration. Any items removed shall be individually considered immediately after taking action on the Consent Calendar.

8.a. CONSIDERATION AND APPROVAL OF THE SUCCESSOR AGENCY MEETING MINUTES FOR JANUARY 20, 2026

Staff is requesting approval of the Minutes of the January 20, 2026, Successor Agency Meeting.

RECOMMENDED ACTION: Staff is requesting approval of the Minutes of the January 20, 2026, Successor Agency Meeting.

8.b. COUNCIL TO RECEIVE AND FILE SUCCESSOR AGENCY TO THE SOUTH EL MONTE IMPROVEMENT DISTRICT’S APPROVED

RECOGNIZED OBLIGATION PAYMENT SCHEDULE FOR THE
ANNUAL PERIOD JULY 1, 2026 THROUGH JUNE 30, 2027 (“ROPS 26- 27”)

On January 12, 2026, the County Oversight Board approved the Successor Agency’s ROPS 26-27 by adopting Resolution No. OB 26-1. Staff requests City Council receive and file ROPS 26-27.

RECOMMENDED ACTION: Staff recommends City Council and
Successor Agency Board Members receive and file ROPS 26-27.

9. PUBLIC HEARINGS - None

10. GENERAL BUSINESS

10.a. CONSIDERATION OF FIRST READING OF ORDINANCE NO. 1289,

AMENDING SOUTH EL MONTE'S MUNICIPAL CODE SECTIONS

2.48.020 OF CHAPTER 2.48 TO DECREASE THE NUMBER OF

COMMISSIONERS ON THE COMMUNITY SERVICES COMMISSION

FROM SEVEN TO FIVE COMMISSIONERS

Staff is seeking City Council to introduce first reading of Ordinance No. 1289, amending South El Monte's Municipal Code sections 2.48.020 of chapter 2.48 to decrease the number of commissioners on the Community Services Commission from seven to five commissioners.

RECOMMENDED ACTION: Staff recommends City Council waive first reading and introduce Ordinance No. 1289, amending South El Monte's Municipal Code sections 2.48.020 of chapter 2.48 to decrease the number of commissioners on the Community Services Commission from seven to five commissioners.

General Business Items 10.b. through 10.e. next page.

GENERAL BUSINESS (CONTINUED)

10.b. CONTINUED FROM THE FEBRUARY 3, 2026, REGULAR CITY

COUNCIL MEETING - APPOINTMENT OF ADVANCEMENT OF WOMEN

AND GIRLS COMMISSIONERS

Appointments to be made to the Advancement of Women and Girls Commission, which is a five-member commission. The current terms expired on January 31, 2026.

RECOMMENDED ACTION: Staff recommends City Council consider appointing five individuals seeking re-appointment/appointment to the Advancement of Women and Girls Commission for a one-year term ending January 31, 2027.

10.c. CONTINUED FROM THE FEBRUARY 3, 2026, REGULAR CITY

COUNCIL MEETING - APPOINTMENT OF COMMUNITY SERVICES

COMMISSIONERS

Appointments to be made to the Community Services Commission, which is a five-member commission. The current terms expired on January 31, 2026.

RECOMMENDED ACTION: Staff recommends City Council consider appointing five individuals, should the City Council approve the Ordinance decreasing the number of Community Services Commissioners from seven to five commissioners, seeking reappointment/appointment to the Community Services Commission for a one-year term ending January 31, 2027.

10.d. CONTINUED FROM THE FEBRUARY 3, 2026, REGULAR CITY

COUNCIL MEETING - APPOINTMENT OF PATRIOTIC

COMMISSIONERS

Appointments to be made to the Patriotic Commission, which is a fivemember commission. The current terms expired on January 31, 2026.

RECOMMENDED ACTION: Staff recommends City Council consider appointing five individuals seeking re-appointment/appointment to the Patriotic Commission for a one-year term ending January 31, 2027.

10.e. CONTINUED FROM THE FEBRUARY 3, 2026, REGULAR CITY

COUNCIL MEETING - APPOINTMENT OF PLANNING

COMMISSIONERS

Appointments to be made to the Planning Commission, which is a fivemember commission. The current terms expired on January 31, 2026.

RECOMMENDED ACTION: Staff recommends City Council consider appointing five individuals seeking reappointment/appointment to the Planning Commission for a one-year term ending January 31, 2027.

General Business Items 10.f. through 10.i. next page.

GENERAL BUSINESS (CONTINUED)

10.f. CONSIDERATION AND APPROVAL OF RESOLUTION NO. 26-009,

ADDING PROVISIONS FOR DENTAL AND VISION OPT-OUT BENEFITS

Consideration and approval of Resolution No. 26-009, adding provisions for dental and vision opt-out benefits.

RECOMMENDED ACTION: Staff recommends City Council adopt Resolution No. 26-009, adding provisions for dental and vision opt-out benefits.

10.g. CONSIDERATION AND APPROVAL OF RESOLUTION NO. 26-010,

UPDATING THE PROVISIONS OF BASIC LIFE INSURANCE BENEFITS

Consideration and approval of Resolution No. 26-010, updating the provisions of basic life insurance benefits.

RECOMMENDED ACTION: Staff recommends City Council adopt Resolution No. 26-010, updating the provisions of basic life insurance benefits.

10.h. DESIGN OF FREEWAY ORIENTED PYLON SIGN LOCATED AT 1223

SANTA ANITA AVENUE

Review and provide staff direction regarding design alternatives of freeway oriented pylon sign located at 1223 Santa Anita Avenue.

RECOMMENDED ACTION: Staff recommends the City Council review and provide staff direction regarding the design alternatives associated with the proposed freeway oriented pylon sign at 1223 Santa Anita Avenue and the preferred design, single pole, double pole or skirt, and with or without an electronic readerboard.

10.i. CONSIDERATION AND APPROVAL OF THE PROPOSED 2026 STATE

OF THE CITY PROGRAM

The State of the City address is a vital annual program designed to provide residents, business owners, and stakeholders with a comprehensive update on the City’s past year's accomplishments, financial health, strategic goals and upcoming projects. The City has historically hosted this event to foster transparency and public engagement.

RECOMMENDED ACTION: Staff recommends the City Council discuss, review, and approve the proposed State of the City program.

General Business Items 10.j. through 10.l. next page.

GENERAL BUSINESS (CONTINUED)

10.j. CONSIDERATION AND APPROVAL OF COMMUNITY MURAL DESIGN

FOR THE UPCOMING MAJOR SPORTING EVENTS

Staff is requesting City Council's approval of a proposed mural design intended to support the upcoming 2026 FIFA World Cup and LA28 Summer Olympics public viewing events hosted by the City of South El Monte. The mural will serve as a visual backdrop for community gatherings including the City's Night Market Series, and is designed to promote civic pride, global unity, and athletic excellence while remaining compliant with intellectual property guidelines.

RECOMMENDED ACTION: Staff recommends City Council discuss and provide direction on the proposed community mural design.

10.k. CONSIDERATION AND APPROVAL OF THE 2026 BAND

PERFORMANCES FOR THE NIGHT MARKETS AND FOURTH OF JULY

CELEBRATION

Staff is requesting City Council to consider and approve the proposed 2026 Night Markets and Fourth of July Celebration band performances.

RECOMMENDED ACTION: Staff recommends City Council consider and approve the proposed 2026 Night Markets and Fourth of July Celebration band performances.

10.l. CONSIDERATION AND APPROVAL OF COMMUNITY MURAL DESIGN

FOR THE CITY HALL ENTRY WALL WEST OF CENTRAL AVE

Staff is requesting City Council select and approve a preferred alternative mural design to create an artistic gateway along Central Avenue visible to vehicles and pedestrians. The mural will serve as a visual landmark to welcome visitors and community members and is designed to promote civic pride, tourism, and community excellence while remaining compliant with intellectual property guidelines.

RECOMMENDED ACTION: Staff recommends City Council discuss and provide direction on the proposed community mural design.

General Business Item 10.m. next page.

GENERAL BUSINESS (CONTINUED)

10.m. APPROVAL OF RESOLUTION NO. 26-011, AUTHORIZING THE

FUNDING OF WATER MAIN EXTENSION ON SANTA ANITA AVENUE
AND PAYMENT OF $510,000 TO SAN GABRIEL VALLEY WATER

COMPANY AND APPROVING A MEMORANDUM OF

UNDERSTANDING BETWEEN THE CITY AND SANTA ANITA

COMMERCIAL GROUP LLC ESTABLISHING REIMBURSEMENT
REQUIREMENTS FOR THE PROPERTY LOCATED AT 1127-1223
SANTA ANITA AVENUE ("PROPERTY")

The City has identified the Santa Anita Avenue corridor as a priority area for economic revitalization. The proposed development at 1127-1223 Santa Anita Avenue, which includes a new In-N-Out Burger and up to five additional tenant spaces, requires significant off-site water infrastructure improvements to meet modern fire flow and domestic capacity standards.

To facilitate this project, the City will provide an upfront payment of $510,000.00 directly to the San Gabriel Valley Water Company (SGVWC).

To protect the public’s investment, the City is entering into an MOU with the property owner, Santa Anita Commercial Group, LLC, requiring that any future refunds issued by SGVWC be paid back to the City until the full $510,000.00 is recouped.

RECOMMENDED ACTION: Staff recommends City Council:

1. Adopt Resolution No. 26-011, authorizing the funding of water main extension on Santa Anita Avenue and payment of $510,000 to San Gabriel Valley Water Company and approving a Memorandum of Understanding (MOU) between the City and Santa Anita Commercial Group LLC establishing reimbursement requirements for the property located at1127-1223 Santa Anita Avenue ("Property"); and

2. Authorize the City Manager or designee to negotiate and execute the MOU.

11. COMMITTEE REPORTS, INCLUDING AB 1234 REPORTS
AB 1234, section 53232.3(d) requires Members of a legislative body to provide brief reports on meetings attended at the expense of the local agency (i.e., League of California Cities Conferences, ICSC conferences, etc.) at the next regular meeting of the legislative body.

Correspondence next page.

12. CORRESPONDENCE

12.a. LETTER FROM SOUTH EL MONTE NATIONAL LITTLE LEAGUE

REQUESTING A FACILITY FEE WAIVER FOR THE USE OF NEW

TEMPLE PARK FIELDS, MARY VAN DYKE PARK COMMUNITY ROOM,

SENIOR CENTER DINING ROOM, CONSIDERATION TO WAIVE THE

PARK LIGHTING FEES, AND CONSIDERATION TO WAIVE THE FEES

FOR THE INSTALLATION AND TEAR DOWN OF FIELD FENCES

The South El Monte National Little League ("SEMNLL") is requesting reservation facility fee waivers for the use of New Temple Park fields, Senior Center Dining Room, Mary Van Dyke Park Community Room, and requesting the City Council consider waiving the reservation light fees and associated labor cost incurred to install and remove four (4) fences at New Temple Park.

RECOMMENDED ACTION: Staff recommends City Council:

1. Discuss and consider the facility reservation fee waiver request for the use of the New Temple Park fields, Senior Center Dining Room, and Mary Van Dyke Community Room for the estimated amount of $36,825.00;

2. Discuss and consider the request to waive the light fees in the estimated amount of $7,740.00; and

3. Discuss and consider waiving the associated labor cost incurred to install and remove four (4) fences at New Temple Park in the estimated amount of $4,700.00.

13. COUNCILMEMBERS’ AGENDA

13.a. COUNCILMEMBER HECTOR DELGADO

1. Discussion/Action/Direction on funding for infrastructure projects that have the potential for our city to benefit.

2. Discussion/Action/Direction on supporting our South El Monte High School CSF program in the amount of $500.00 dollars.

3. Discussion/Action/Direction on the Brewers Baseball application for waiver of fees.

14. CLOSED SESSION

14.a. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED
LITIGATION: Pursuant to Government Code Sections 54956.9(d)(2): one matter

15. ADJOURNMENT OF CITY COUNCIL AND SUCCESSOR AGENCY MEETING NEXT REGULAR CITY COUNCIL MEETING:

Tuesday, March 3, 2026, at 6:00 p.m.

CERTIFICATION
I, Adrian Garcia, MMC, City Clerk of the City of South El Monte, or my designee, hereby certify under penalty of perjury that a true, accurate copy of the foregoing agenda was posted on this February 12, 2026, seventy-two (72) hours prior to the meeting per Government Code 54954.2 at the following locations: City of South El Monte City Hall, Senior Center and Community Center and made available at www.cityofsouthelmonte.org.

Adrian Garcia, MMC

City Council Agenda Report
Agenda Item No. 4.a.

DATE: February 17, 2026
TO: Honorable Mayor and Members of the City Council
APPROVED BY: Rene Salas, City Manager
SUBMITTED BY:

SUBJECT: Presentation of Certificates of Recognition to the Shively Dance Team for their 1st Place win at the Sharp Dance Competition.

SUMMARY:

RECOMMENDED ACTION:

FISCAL/FINANCIAL IMPACT:

DISCUSSION:

ATTACHMENT(S):

None

City Council Agenda Report
Agenda Item No. 4.b.

DATE: February 17, 2026
TO: Honorable Mayor and Members of the City Council
APPROVED BY: Rene Salas, City Manager
SUBMITTED BY:

SUBJECT: Presentation of Certificates of Recognition to the EM/SEM Jets Cheer teams for the 2nd and 3rd Place at the Las Vegas Cheer Competitions.

SUMMARY:

RECOMMENDED ACTION:

FISCAL/FINANCIAL IMPACT:

DISCUSSION:

ATTACHMENT(S):

None

City Council Agenda Report
Agenda Item No. 4.c.

DATE: February 17, 2026
TO: Honorable Mayor and Members of the City Council
APPROVED BY: Rene Salas, City Manager
SUBMITTED BY:

SUBJECT: Presentation of Certificates of Recognition to the Veterans of Foreign Wars Post 10218 for their participation in the City of South El Monte's Veterans Day Event.

SUMMARY:

RECOMMENDED ACTION:

FISCAL/FINANCIAL IMPACT:

DISCUSSION:

ATTACHMENT(S):

None

City Council Agenda Report
Agenda Item No. 4.d.

DATE: February 17, 2026
TO: Honorable Mayor and Members of the City Council
APPROVED BY: Rene Salas, City Manager
SUBMITTED BY: Gerardo Marquez, Director of Community Development & Public Works
SUBJECT: Public Works Department Quarterly Report
SUMMARY:

RECOMMENDED ACTION:

FISCAL/FINANCIAL IMPACT:

DISCUSSION:

ATTACHMENT(S):

None

Successor Agency Agenda Report
Agenda Item No. 7.a.

DATE: February 17, 2026
TO: Honorable Chairperson and Members of the Board
APPROVED BY: Rene Salas, Executive Director
SUBMITTED BY: Adrian Garcia, MMC, City Clerk
SUBJECT: CONSIDERATION AND APPROVAL OF THE REGULAR CITY COUNCIL MEETING MINUTES OF JANUARY 20, 2026
SUMMARY: Staff is requesting approval of the Minutes of the January 20, 2026, Regular City Council Meeting.

RECOMMENDED ACTION: Staff is requesting approval of the Minutes of the January 20, 2026, Regular City Council Meeting.

FISCAL/FINANCIAL IMPACT:

DISCUSSION:

ATTACHMENT(S):

A. Draft Reg CC and SA Minutes 1-20-26

CITY OF SOUTH EL MONTE

REGULAR CITY COUNCIL AND SUCCESSOR AGENCY MEETING MINUTES Tuesday, January 20, 2026 - 6:00 PM
1415 Santa Anita Avenue, South El Monte, California 91733 Mayor Olmos called the meeting to order at 6:00 P.M.

1. ROLL CALL
PRESENT: Councilmember/Board
Member(s):

Acosta, Delgado, Rodriguez, Mayor Pro
Tem/Vice Chair Bojorquez, and
Mayor/Chair Olmos
ABSENT: Councilmember/Board
Member(s):

None

STAFF PRESENT: Rene Salas, City Manager; Susie A. Altamirano, City Attorney; Adrian Garcia, City Clerk; Gerardo Marquez, Director of Community Development and Public Works; David De Vries, Director of Economic Development; and Sabrina Muhne, Deputy City Clerk.

Zoom was provided for the public to participate during Public Comment via teleconference.

2. PLEDGE OF ALLEGIANCE – Councilmember Acosta led the Pledge of Allegiance.

3. INVOCATION – Robert Yrigoyen, Parish Council President, Epiphany Catholic Church, offered the invocation.

4. PRESENTATIONS

4.a. Mayor and City Council presented Certificates of Recognition to the South El Monte High School Girls Volleyball team for their triumphant win at CIF Championships.

4.b. Mayor and City Council presented Certificates of Recognition to the Los Angeles County Bookmark Contest winners from South El Monte.

4.c. Mayor and City Council presented plaques to the 2025 Holiday Home Decorating Contest winners.

4.d. This item will be presented in February.

4.e. Deputy Ayers presented the Sheriff's Department Report for the months of October, November, and December 2025.

PRESENTATIONS (CONTINUED)

4.f. Code Enforcement Supervisor Rodriguez presented the Code Enforcement and Public Safety Department Report for the months of October, November, and December 2025.

4.g. Community Development and Public Works Director Gerardo Marquez presented the Community Development/Homeless Commission Updates.

5. APPROVAL OF THE AGENDA AND WAIVER OF FULL READING OF

ORDINANCES
Councilmember Acosta requested to pull Agenda Items 7.e. and 7.f. from the Consent Calendar for discussion.

Motion by Councilmember Delgado, seconded by Councilmember Acosta, to approve the agenda as amended. Motion passed 5-0, by the following vote:

AYES: Councilmember(s): Acosta, Delgado, Rodriguez, Mayor Pro Tem Bojorquez, and Mayor Olmos
NAYS: Councilmember(s): None
ABSENT: Councilmember(s): None

6. PUBLIC COMMENT
Mayor Olmos opened Public Comment.

1. Alejandro Ibarra, Field Representative, Office of Senator Susan Rubio, provided updates on the senator’s changing leadership roles in Sacramento, and announced that the nomination period for the Woman of the Year Awards is now open.

2. Colin Wu, on behalf of the owner of 9535 Rush Street, spoke on Agenda Item 10.a. and presented a mixed-use development project proposal.

3. Sebastian Diaz, on behalf of the owner of 9535 Rush Street, spoke on Agenda Item 10.a. and presented a mixed-use development project proposal.

4. Christle Chumney, Regional Administrator, LA County Library, introduced the appointment of Amanda Rodarte-Contreras, the new South El Monte Library Manager.

5. Amanda Rodarte-Contreras, Library Manager, South El Monte Library, provided updates on upcoming library programs, the African American and Black History Month Programs, and celebrating Alma Thomas' artwork.

6. Richard Angel, resident, spoke on informing residents on development projects through the newsletter and thanked the Mayor for her work in getting In-N-Out Burger in the City.

PUBLIC COMMENT (CONTINUED)

7. Robert Yrigoyen, resident, expressed concerns on Agenda Item 7.e.

8. Eduardo Saucedo spoke on the Kruse property as a boxing facility, updating City Hall, Quimby fees, the Starlite Community and Mayans Development projects, the cannabis ordinance, councilmembers' unpaid fines, and the City’s economic growth.

9. Roseanne Angel, resident, spoke on the Home Decorating Contest Winner awards, and informing residents of upcoming large developments near residential areas.

10. Denise Silva, Community Services Commissioner, commended the Homeless Commission’s activities, and introduced Come As U R Inc., a nonprofit 501(c)(3) mobile shower program.

11. John Ventura, resident, presented a letter signed by residents on Leafdale Avenue and Haig Street requesting Councilmember Acosta to read aloud, expressed concerns on paving activity at Allgeyer Avenue, being served with a restraining order, use of SB1 funds, and called for the resignation of Mayor Pro Tem Bojorquez and the City Manager.

There being no further public comments, Mayor Olmos closed Public Comment.

7.e. CONSIDERATION AND APPROVAL OF RESOLUTION NO. 26-003,

APPROVING PROJECT ACCEPTANCE AND NOTICE OF COMPLETION
FOR THE CITY HALL AND COUNCIL CHAMBER’S RESTROOM
REMODEL (CDBG), CITY PROJECT NO. 637

Councilmember Acosta directed questions to staff on the bid solicitation process, the project completion timeline, and contingency funds.

Other discussion topics included the bid selection process, council’s prior approval of the project, ADA compliance, and clarification on additional project expenses.

Motion by Councilmember Acosta, seconded by Councilmember Delgado, to adopt Resolution No. 26-003, accepting the completion for the City Hall and Council Chamber’s Restroom Remodel (CDBG) Project, to authorize City Clerk to send the Notice of Completion for recordation to the Los Angeles County Recorder’s Office, and to release retention accordingly.

Motion passed 5-0, by the following vote:

AYES: Councilmember(s): Acosta, Delgado, Rodriguez, Mayor Pro Tem Bojorquez, and Mayor Olmos
NAYS: Councilmember(s): None
ABSENT: Councilmember(s): None

CONSENT CALENDAR (CONTINUED)

7.f. CONSIDERATION AND APPROVAL OF RESOLUTION NO. 26-004,

ACCEPTING THE MERCED AVENUE GREENWAY PROJECT AS

COMPLETE AND AUTHORIZING THE CITY CLERK TO FILE THE

NOTICE OF COMPLETION WITH THE LOS ANGELES COUNTY

RECORDER
Councilmember Acosta directed questions to staff on any additional work done not part of the original scope.

Motion by Councilmember Acosta, seconded by Councilmember Delgado, to adopt Resolution No. 26-004, accepting the completion of the Merced Avenue Greenway Project, to authorize City Clerk to send the Notice of Completion for recordation to the Los Angeles County Recorder’s Office, and to release retention accordingly. Motion passed 5-0, by the following vote:

AYES: Councilmember(s): Acosta, Delgado, Rodriguez, Mayor Pro Tem Bojorquez, and Mayor Olmos
NAYS: Councilmember(s): None
ABSENT: Councilmember(s): None

7. CONSENT CALENDAR – CITY COUNCIL
Motion by Councilmember Rodriguez, seconded by Councilmember Delgado, to approve the balance of the Consent Calendar. Motion passed 5-0, by the following vote:

AYES: Councilmember(s): Acosta, Delgado, Rodriguez, Mayor Pro Tem Bojorquez, and Mayor Olmos
NAYS: Councilmember(s): None
ABSENT: Councilmember(s): None

7.a. Approved the Minutes for the December 2, 2025, Special City Council Meeting.

7.b. Approved the Minutes for the November 18, 2025, Regular City Council Meeting.

7.c. Adopted Resolution No. 26-001, authorizing payment of City expenditures for the period of November 27, 2025, through January 14, 2026, totaling $4,241,928.89.

7.d. Adopted Resolution No. 26-002, authorizing City of South El Monte officers holding specified titles, or their successors in office, to invest in LAIF.

7.e. This item was heard before approval of the Consent Calendar.

7.f. This item was heard before approval of the Consent Calendar.

8. CONSENT CALENDAR – SUCCESSOR AGENCY
Motion by Vice Chair Bojorquez, seconded by Board Member Acosta, to approve the Consent Calendar. Motion passed 5-0, by the following vote:

AYES: Board Member(s): Acosta, Delgado, Rodriguez, Vice Chair Bojorquez, and Chair Olmos
NAYS: Board Member(s): None
ABSENT: Board Member(s): None

8.a. Approved the Minutes for the November 18, 2025, Successor Agency Meeting.

9. PUBLIC HEARINGS – None

10. GENERAL BUSINESS

10.a. CONSIDERATION OF ARTS DISTRICT OVERLAY AND SELECTION OF

PREFERRED ALTERNATIVE
Mayor Olmos introduced the item, and David De Vries, Director of Economic Development, provided a presentation.

Discussion topics included resident support for arts districts, the district’s potential environment and reputation, the number of expected versus needed visitors for sustainability, potential impacts on cannabis buffer zones, funding options, the business options in the district, artists willing to contribute towards murals, existing murals, and other local examples.

Staff was directed to review Alternative 1: West Industrial and Alternative 2: Central Civic as preferred options for the Arts District Overlay.

This item was received and filed.

10.b. DISCUSSION RELATED TO EXPRESSIVE CONDUCT AT CITY NIGHT

MARKET AND POTENTIAL REGULATION OPTIONS
Mayor Olmos introduced the item, and Susie A. Altamirano, City Attorney, provided a presentation.

Discussion topics included freedom of speech, right to protest, incidents that prompted this discussion, the potential application process, First Amendment, public safety issues, designated spaces at events, family-friendly spaces, unwanted solicitations at events, hate speech issues occurring across the country under expressive conduct, establishing code of conduct, common courtesy in public spaces, upholding speaking rights, City-hosted events versus public space area events, and the difference once violence gets involved.

This item was received and filed.

11. COMMITTEE REPORTS, INCLUDING AB 1234 REPORTS
Councilmember Rodriguez announced he had nothing to report.

Councilmember Delgado announced he attended the following: the Employee Recognition Dinner, the Greater Los Angeles County Vector Control District Board of Trustees Meeting, a Valle Lindo School District Christmas dance program, and a Free Food Distribution with Emergency Resources Association, Vietnamese Alliance Church, and Valle Lindo School District.

Mayor Pro Tem Bojorquez announced he attended the following: the Christmas Wish Toy Giveaway, a Free Food Distribution with Emergency Resources Association, Vietnamese Alliance Church, and Valle Lindo School District, the Valle Lindo School District Christmas dance program, the Santa’s Sleigh drive around, the Senior Center’s Christmas Luncheon, and the Senior Center’s New Year’s Luncheon.

Councilmember Acosta announced he attended the following: a Free Food Distribution with Emergency Resources Association, Vietnamese Alliance Church, and Valle Lindo School District, the CIF South El Monte High School Varsity Football game, the Employee Recognition Dinner, the Christmas Wish Toy Giveaway, the Santa’s Sleigh drive around, the Senior Center’s Christmas Luncheon, and the Senior Center’s New Year’s Luncheon.

At 9:17 p.m., Councilmember Rodriguez left the chambers.

At 9:19 p.m., Councilmember Rodriguez returned to the chambers.

Mayor Olmos announced she attended the following: the Senior Center’s Christmas Luncheon, the Senior Center’s New Year’s Luncheon, the Employee Recognition Dinner, a Free Food Distribution with Emergency Resources Association, Vietnamese Alliance Church, and Valle Lindo School District, the Christmas Wish Toy Giveaway, the CIF South El Monte High School Varsity Football game, the VACCO Industries Christmas Luncheon, the Los Angeles County Sanitation District No. 15 Board of Directors Regular Meeting, the Santa’s Sleigh drive around, the San Gabriel Valley Economic Partnership Merry Mingle, the League of California Cities Los Angeles County Division All Cities Holiday Reception, and the Senior Center’s December Birthdays & Spirit Week Social.

12. CORRESPONDENCE – None

13. COUNCILMEMBERS’ AGENDA

13.a. COUNCILMEMBER HECTOR DELGADO

1. Consideration of $5,000.00 donation to South El Monte High School’s Volleyball Team in support of their CIF Championship Run. Donation would help cover the cost of rings for student/athletes.

COUNCILMEMBERS’ AGENDA (CONTINUED)
Councilmember Delgado summarized his item and requested the donation due to the majority of the students not being able to afford the championship rings on their own.

Mayor Olmos clarified that the school is not allowed to purchase the rings for the students and welcomed other donations from the public.

Motion by Councilmember Acosta, seconded by Councilmember Delgado, to donate $5,000.00 to the South El Monte High School’s Volleyball Team to help cover the cost of championship rings. Motion passed 5-0, by the following vote:

AYES: Councilmember(s): Acosta, Delgado, Rodriguez, Mayor Pro Tem Bojorquez, and Mayor Olmos
NAYS: Councilmember(s): None
ABSENT: Councilmember(s): None

13.b. COUNCILMEMBER MANUEL ACOSTA

1. City Manager’s Authority to Approve Unscheduled, Unapproved Projects
Discussion/Action: What, if any, is the city manager’s authority to approve projects under a contingency budget (i.e., a construction project)? What is the interplay between a contingency budget and unscheduled or unapproved scope of work within a project? The construction contingency budget is defined as a budgeted item for unforeseen circumstances.

Councilmember Acosta referenced the letter that was presented during Public Comment, summarized his item, and directed questions to staff on current paving projects.

This item was continued to a future meeting.

2. Speed Mitigating Actions for Michael Hunt Drive
Discussion/Action: A common theme among residents that live on Michael Hunt Drive is drivers driving through the street excessively.

The installation of speed mitigating items such as speed bumps should be evaluated.

Councilmember Acosta summarized his item.

Discussion topics included prior liability coverage issues because of damage to emergency vehicles, rumble strip options, checking with the insurance carrier, nearby neighborhoods that have speed bumps, speed bump signage, stop signs with lights, and other crosswalk strips.

Staff was directed to review options and bring back at a future meeting.

14. CLOSED SESSION
At 9:47 p.m., Mayor and City Council recessed into Closed Session.

14.a. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Pursuant to Government Code Section 54956.8)
PROPERTY: 9617 Alpaca St, South El Monte, California 91733 Agency Negotiator: Rene Salas, City Manager
Negotiation Parties: Alpaca Park LLC
Under Negotiation: Price and terms of payment as it relates to interests in real property.

14.b. CONFERENCE WITH LEGAL COUNSEL- ANTICIPATED LITIGATION (Pursuant to Government Code Section 54956.9(d)(2) and (e)(1)): (four matters)

14.c. CONFERENCE WITH LEGAL COUNSEL- ANTICIPATED LITIGATION (Pursuant to Government Code Section 54956.9(d)(4)): (one matter) At 12:09 a.m., Mayor Olmos reconvened the meeting with all councilmembers present.

Susie A. Altamirano, City Attorney, announced City Council discussed Items 14.a. through 14.c., reports were provided, feedback given, no reportable action, and at 10:25 p.m., Mayor and City Council voted to extend the meeting past 10:00 p.m.

Motion to extend the meeting passed 5-0, by the following vote:

AYES: Councilmember(s): Acosta, Delgado, Rodriguez, Mayor Pro Tem Bojorquez, and Mayor Olmos
NAYS: Councilmember(s): None
ABSENT: Councilmember(s): None

15. ADJOURNMENT
There being no further business coming before this body, at 12:09 a.m., Mayor Olmos adjourned the meeting in Memory of Allen J. Parker, former City Manager, to a Regular City Council Meeting on Tuesday, February 3, 2026, at 6:00 p.m.

Minutes prepared by Sabrina A. Muhne, Deputy City Clerk. ___________________________ ______________________
Adrian Garcia, MMC, City Clerk Gloria Olmos, Mayor

City Council Agenda Report
Agenda Item No. 7.b.

DATE: February 17, 2026
TO: Honorable Mayor and Members of the City Council
APPROVED BY: Rene Salas, City Manager
SUBMITTED BY: Masami Higa, Director of Finance
SUBJECT: CONSIDERATION AND APPROVAL OF RESOLUTION NO.
26-007, APPROVING WARRANTS FOR THE PERIOD OF
JANUARY 29, THROUGH FEBRUARY 12, 2026
SUMMARY: Authorizing payment of City expenditures for the period of January 29, 2026, through February 12, 2026, totaling $1,33,043.19.

RECOMMENDED ACTION: Staff recommends City Council adopt Resolution No. 26- 007, authorizing payment of City expenditures.

FISCAL/FINANCIAL IMPACT:

DISCUSSION:

ATTACHMENT(S):

A. Resolution No. 26-007
B. 2.17.26 Warrant

ATTACHMENT A

RESOLUTION NO. 26-007

A RESOLUTION OF THE SOUTH EL MONTE CITY COUNCIL

ALLOWING CERTAIN CLAIMS AND DEMANDS FOR THE
PERIOD OF JANUARY 29, 2026, THROUGH FEBRUARY 12,
2026, TOTALING $1,333,043.19.

THE CITY COUNCIL OF THE CITY OF SOUTH EL MONTE DOES HEREBY RESOLVE, DETERMINE, AND ORDER AS FOLLOWS:

SECTION 1: That in accordance with Section 37202 of the Government Code, the Finance Director hereby certifies to the accuracy of the following demands and the availability of funds for payment thereof.
_____________________________________
Finance Director
SECTION 2: That the following claims and demands have been audited as required by law and that the same are hereby allowed in the amount hereafter set forth.

CLAIMANT CLAIM PERIOD WARRANT #’S AMOUNT
FY 25/26 Electronic Warrants 1/29/26-2/11/26 DFT0003364-3390 $253,731.12 FY 25/26 Regular Warrants 1/29/26-2/11/26 17898-18004 $875,688.23 Payroll Direct Deposit PPE 2/5/26 12384-12508 $199,050.88 Payroll Check PPE 2/5/26 2321-2324 $4,572.96
TOTAL EXPENDITURES RESOLUTION NO. 26-007 $1,333,043.19.

PASSED, APPROVED, AND ADOPTED this 17th day of February 2026. _____________________________
Gloria Olmos, Mayor
ATTEST:
__________________________________
Adrian Garcia, MMC, City Clerk
Attachment: Exhibit A – Expense Report

STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS:

CITY OF SOUTH EL MONTE )
I, Adrian Garcia, MMC, City Clerk of the City of South El Monte, do hereby certify that the foregoing Resolution, being Resolution No. 26-007, was duly passed and approved by the City Council of the City of South El Monte at a regular meeting of said Council held on the 17th day of February 2026, and that said Resolution was adopted by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

_________________________________
Adrian Garcia, MMC, City Clerk

South El Monte, CA
Account Number Vendor Name Payment Number Payment Date Description (Item) Amount

36.0360.3600.5204 JOSHUA JASSO-ORTEGA 17898 01/28/2026 JAN'26 H.C MEETING ATTENDANCE 150.00

36.0360.3600.5204 JOSHUA JASSO-ORTEGA 17898 01/28/2026 DEC'25 H.C MEETING ATTENDANCE 150.00

36.0360.3600.5204 MICHAEL SHORT 17902 01/28/2026 JAN'26 H.C MEETING ATTENDANCE 150.00

36.0360.3600.5204 MICHAEL SHORT 17902 01/28/2026 DEC'25 H.C MEETING ATTENDANCE 150.00

15.0450.4510.6025 BRIDGEROCK CONSTRUCTION INC 17924 01/29/2026 PO 2969 SHIVLEY RESTROOM IMPROV 10,500.00

01.0000.0000.2245 INTERNATIONAL BROTHERHOOD OF 986 TCWH 17925 01/29/2026 JAN - 2026 BILLING PERIOD - ADMIN 1,587.00

01.0000.0000.2245 INTERNATIONAL BROTHERHOOD OF 986 TCWH 17925 01/29/2026 JAN - 2026 BILLING PERIOD - MISC 594.00

01.0130.1330.5215 MODERN IT, INC 17926 01/29/2026 CSEM - AUTOPILOT FOR DEVICE SETUPS 3,937.50

01.0151.1541.5215 ROMAN GALLARDO JR. 17927 01/29/2026 Youth Basketball Officials Fee 140.00

01.0000.0000.2270 STATE OF CA FRANCHISE TAX BOARD 17928 01/29/2026 A. REYES #1108750875 8.15

01.0151.1541.5215 VIEN HO 17929 01/29/2026 Youth Basketball Officials Fee 140.00

01.0000.0000.2240 VONS CREDIT UNION 17930 01/29/2026 #81995 - JAN.2026 BILLING PERIOD ASSOC. FEEES 100.50

01.0100.1020.5215 ARCHITECTURAL DESIGN & SIGNS, INC. 17931 01/29/2026 CITY OF SOUTH EL MONTE SIGN DESIGN 3,000.00

01.0151.1541.5215 ANDREW WING 17932 02/03/2026 Youth Basketball Officials Fee 140.00

01.0151.1541.5215 DUANE TAKAYAMA 17933 02/03/2026 Youth Basketball Officials Fee 140.00

01.0151.1541.5215 JOSHUA MORENO 17934 02/03/2026 Youth Basketball Officials Fee 140.00

01.0000.0000.2510 KB HOME GREATER LOS ANGELES 17935 02/03/2026 2540 ROSEMEAD BLVD/ GRADING PERMIT REFUND 126,077.70

01.0151.1541.5215 MIGUEL MURRIETA 17936 02/03/2026 Youth Basketball Officials Fee 140.00

40.0900.9000.6025 PTM GENERAL ENGINEERING SERVICES INC 17938 02/03/2026 RELEASE OF RETENTION HSIP 5352(025) 16,895.15

01.0000.0000.2225 STANDARD INSURANCE 17939 02/03/2026 JANUARY - LIFE INSURANCE AD&D & ST DISABILITY 7,420.53

01.0000.0000.2224 STANDARD INSURANCE 17940 02/03/2026 FEBRUARY - SUPP. LIFE AND AD&D 389.06

01.0170.1710.5520 WBF FIRE PROTECTION LLC 17941 02/03/2026 FIRE SURPRESSION INSPECT. 800.00

01.0170.1720.5520 WBF FIRE PROTECTION LLC 17941 02/03/2026 ANN INSPECTION REPAIRS @YARD 2,450.00

01.0100.1040.5922 SOUTH EL MONTE HIGH SCHOOL 17942 02/03/2026 SPONSERSHIP FOR VOLLEYBALL - SEM HIGH SCHOOL 5,000.00

01.0100.1040.5922 SOUTH EL MONTE HIGH SCHOOL 17943 02/03/2026 SPONSERSHIP FOR FOOTBALL - SEM HIGH SCHOOL 5,000.00

01.0100.1010.5406 EL MONTE/SOUTH EL MONTE JETS 17944 02/04/2026 Sponsorship to EM/SEM Jets 500.00

01.0100.1010.5406 TEMPLE STATION SHERIFF'S OUTREACH FOUNDATION17945 02/04/2026 Silver Sponsor/ Gala 2/11/26 2,500.00

01.0100.1010.5406 VET HUNTERS PROJECT 17946 02/04/2026 Sponsorship to EM/SEM Jets 300.00

01.0170.1770.5525 ANDY TRUONG 17947 02/11/2026 #41 SERVICE 155.31

01.0170.1770.5525 AUTOZONE 17948 02/11/2026 #22 NEW MAIN FUSE 6.83

55.0495.4970.5996 BARR & CLARK, INC. 17949 02/11/2026 LBP INSPECTION/ 10444 WEAVER ST 1,000.00

ATTACHMENT B
Warrant Register
City Council Meeting 2/17/26
Payable Dates 1/29/2026 - 2/12/2026

Account Number Vendor Name Payment Number Payment Date Description (Item) Amount

01.0170.1020.5515 BASE HILL, INC. 17950 02/11/2026 1/26 JANITORIAL SVCS CCTR 3,240.00

01.0170.1020.5515 BASE HILL, INC. 17950 02/11/2026 1/26 JANITORIAL SVCS CHALL 1,005.00

01.0170.1020.5515 BASE HILL, INC. 17950 02/11/2026 1/26 JANITORIAL SVCS PSO 145.00

01.0170.1020.5515 BASE HILL, INC. 17950 02/11/2026 1/26 JANITORIAL SVCS SCTR 600.00

01.0170.1020.5515 BASE HILL, INC. 17950 02/11/2026 1/26 JANITORIAL SVCS MCTR 600.00

01.0170.1020.5515 BASE HILL, INC. 17950 02/11/2026 1/26 JANITORIAL SVCS MCTR 250.00

01.0170.1020.5515 BASE HILL, INC. 17950 02/11/2026 1/26 JANITORIAL SVCS SCTR 2,495.00

01.0150.1540.5951 BASE HILL, INC. 17950 02/11/2026 3L CLUB SCTR SP CLEANING 240.00

01.0160.1650.5520 BRIDGEROCK CONSTRUCTION INC 17951 02/11/2026 Fencing for New Temple Park Snack Bar 1,500.00

44.0800.8010.5908 CALIFORNIA ASSOCIATION FOR COORDINATED TRANS17952 02/11/2026 Transportation CalAct Membership Fee 880.00

01.0160.1650.5520 DDC ELECTRIC SUPPLY, INC. 17953 02/11/2026 GREEN CABLE NTP SCOREBOARD 143.96

01.0160.1640.5520 DDC ELECTRIC SUPPLY, INC. 17953 02/11/2026 LIGHTING REPAIR @ POOL 426.37

01.0151.1543.5430 DDC ELECTRIC SUPPLY, INC. 17953 02/11/2026 ELEC SUPPLIES FOR SPECIAL EVENTS 289.19

01.0150.1510.5204 DENISE R. SILVA 17954 02/11/2026 COMMUNITY SERVICES COMMISSION MTG. 2-11-26 100.00

06.0300.3010.5430 DRIFTWOOD DAIRY, INC 17955 02/11/2026 Congregate Program 321.98

06.0300.3020.5430 DRIFTWOOD DAIRY, INC 17955 02/11/2026 Home Delivered Program 35.77

06.0300.3010.5430 DRIFTWOOD DAIRY, INC 17955 02/11/2026 Congregate Program 289.79

06.0300.3020.5430 DRIFTWOOD DAIRY, INC 17955 02/11/2026 Home Delivered Program 32.19

01.0170.1720.5520 ECOLAB PEST ELIM. DIVISION 17956 02/11/2026 1/29 PEST CONTROL 160.43

01.0170.1710.5520 ECOLAB PEST ELIM. DIVISION 17956 02/11/2026 1/29 PEST CONTROL CHALL 222.56

01.0160.1620.5520 ECOLAB PEST ELIM. DIVISION 17956 02/11/2026 1/29 PEST CONTROL SCTR 341.15

01.0140.1430.5406 EL MONTE PRINTING 17957 02/11/2026 DEPT. SUPPLIES 55.38

01.0160.1670.5520 EWING IRRIGATION 17958 02/11/2026 CATCHY CAN @ MVD 55.38

15.0450.4510.6025 EWING IRRIGATION 17958 02/11/2026 NTP IRR IMPROVEMENTS 253.87

01.0170.1770.5525 FORD OF MONTEBELLO 17959 02/11/2026 #11 SPARK PLUGS 101.00

01.0130.1330.5931 GOGOV, INC 17961 02/11/2026 4/1/26-3/31/27 CRM SOFTWARE 6,756.00

01.0160.1620.5520 GRAINGER 17962 02/11/2026 FAUCET SCTR 280.18

01.0170.1520.5430 GRAINGER 17962 02/11/2026 N95 MASKS TYLER FIRE 168.26

37.0670.6720.5977 GRANT'S TRUE VALUE HARDWARE 17963 02/11/2026 ST/RD BEAUTIFCATION STORAGE 232.02

01.0170.1770.5525 GRANT'S TRUE VALUE HARDWARE 17963 02/11/2026 DRAGGER WHEELS & ASSEMBLY 44.93

01.0170.1770.5525 HACKER EQUIPMENT CO., INC. 17964 02/11/2026 BOBCAT REPAIR 362.85

01.0170.1720.5520 HAJOCA CORPORATION 17965 02/11/2026 WATER FILTER @ YARD 52.83

01.0160.1650.5520 HAJOCA CORPORATION 17965 02/11/2026 BREAKER BOX NTP 197.93

01.0130.1310.5215 HCA ASSET MANAGEMENT, LLC 17966 02/11/2026 PROFESSIONAL FEE 2ND PROGRESS 12,500.00

01.0130.1310.5903 HDL COREN & CONE 17967 02/11/2026 JAN'26-MAR'26 PROPERTY TAX 2,441.25

06.0300.3010.5215 HUNTINGTON CULINARY 17968 02/11/2026 Congregate Program 6,382.50

06.0300.3020.5215 HUNTINGTON CULINARY 17968 02/11/2026 Home Delivered Program 726.00

06.0300.3010.5215 HUNTINGTON CULINARY 17968 02/11/2026 Congregate Program 4,945.00

06.0300.3020.5215 HUNTINGTON CULINARY 17968 02/11/2026 Home Delivered Program 580.80

01.0120.1210.5920 ICC GENERAL CODE, INC 17969 02/11/2026 CODIFICATION SVCS/ SEMMC SUPPLEMENT 265.00

Account Number Vendor Name Payment Number Payment Date Description (Item) Amount

01.0160.1650.5520 INDUSTRIAL PIPE & STEEL 17970 02/11/2026 NTP PLAYGROUND REPAIR 12.30

01.0150.1510.5204 ISRAEL ALACIO 17971 02/11/2026 COMMUNITY SERVICES COMMISSION MTG. 2-11-26 100.00

37.0670.6720.5977 JCL TRAFFIC SERVICES 17972 02/11/2026 YELLOW N MARKERS 738.14

37.0670.6720.5977 JCL TRAFFIC SERVICES 17972 02/11/2026 ST/RD MNTC PARKING SIGNS 913.84

37.0670.6720.5977 JCL TRAFFIC SERVICES 17972 02/11/2026 SPEED LIMIT SIGNS ST/RD MNTC 1,384.57

37.0670.6720.5977 JCL TRAFFIC SERVICES 17972 02/11/2026 NO PARKING SIGNS ST/RD MNTC 1,370.75

37.0670.6720.5977 JCL TRAFFIC SERVICES 17972 02/11/2026 ST/RD MNTC CHALK LINE 32.87

37.0670.6720.5977 JCL TRAFFIC SERVICES 17972 02/11/2026 RIVET DRIVE SET ST/RD MNTC 546.98

01.0170.1520.5430 JCL TRAFFIC SERVICES 17972 02/11/2026 TYLER FIRE MESSAGE BOARD 175.00

37.0670.6720.5977 JCL TRAFFIC SERVICES 17972 02/11/2026 STREET SIGNS ST/RD MNTC 1,341.91

01.0000.0000.2510 KEYSER MARSTON ASSOCIATES, INC 17973 02/11/2026 AUG. '25 - PROFF SVCS. FOR KB HOME 2,287.50

01.0000.0000.2510 KEYSER MARSTON ASSOCIATES, INC 17973 02/11/2026 JAN. '26 - PROFF. SVCS FOR KB HOME 152.50

01.0160.1660.5520 LBC LIGHTING 17974 02/11/2026 LIGHT REPAIRS @ SHIVELY 387.63

01.0160.1650.5520 LBC LIGHTING 17974 02/11/2026 WALLPACK LIGHTS @ NTP 191.04

01.0151.1543.5430 LBC LIGHTING 17974 02/11/2026 LIGHTS @ KRUSE 199.35

01.0170.1770.5525 LUIS VELASQUEZ 17975 02/11/2026 MISC EQUIPMENT REPAIR PARTS 263.43

01.0170.1770.5525 LUIS VELASQUEZ 17975 02/11/2026 NEW SPRAY HOSE FOR CONCRETE MIXER 37.88

01.0000.0000.4554 MARINA CORTES 17976 02/11/2026 CC GYM DMG DEP RFND 600.00

37.0670.6720.5977 MEISTER SEALCOAT & SUPPLIES, LLC 17977 02/11/2026 POT HOLE PATCH REPAIR 1,368.63

37.0670.6720.5977 MEISTER SEALCOAT & SUPPLIES, LLC 17977 02/11/2026 POT HOLE PATCH REPAIR 1,249.63

01.0170.1710.5520 MISSION FENCE & PATIO BUILDERS 17978 02/11/2026 CHAINLINK REPAIR CIVIC CTR 24.34

51.0510.5100.5996 MNS ENGINEERS, INC 17979 02/11/2026 NOV'25 PLHA SERVICES 600.00

55.0495.4970.5996 MNS ENGINEERS, INC 17979 02/11/2026 DEC'25 CAL HOME SERVICES 6,120.00

01.0130.1330.5215 MODERN IT, INC 17980 02/11/2026 CSEM VASQUEZ AUDIT 1,750.00

01.0130.1330.5215 MODERN IT, INC 17980 02/11/2026 #1956 FORENSIC HOLD REQUEST 1,400.00

01.0130.1330.5215 MODERN IT, INC 17980 02/11/2026 FEB'26 MANAGED SVCS 13,530.00

01.0130.1330.5950 MRC SMART TECHNOLOGY SOLUTIONS 17981 02/11/2026 10/30/25 - 1/29/26 COPY COVERAGE 2,227.62

01.0140.1430.5406 NEW SIGN SOLUTION, INC. 17982 02/11/2026 ZONING MAP 66.45

01.0151.1543.5430 NICHOLS LUMBER & HARDWARE CO 17983 02/11/2026 CONCRETE FORM 22.76

01.0130.1330.5932 NTEGRATED CONSULTING, LLC 17984 02/11/2026 INTERNET FIBER LINES / CHALL 327.04

01.0100.1030.5215 OLIVAREZ MADRUGA LAW ORGANIZATION, LLP 17985 02/11/2026 NOV'25 HUMAN RESOURCES SERVICES 3,182.00

37.0670.6720.5977 PACIFIC PRODUCTS AND SERVICES LLC 17986 02/11/2026 CITY PAINT STENCILS ST/RD MNTC 1,392.13

37.0670.6720.5977 PACIFIC PRODUCTS AND SERVICES LLC 17986 02/11/2026 RUMBLE BAR KITS ST/RD MNTC 1,705.91

37.0670.6720.5977 PACIFIC PRODUCTS AND SERVICES LLC 17986 02/11/2026 ST/RD MNTC MISC SIGN POLES 2,046.11

37.0670.6720.5977 PACIFIC PRODUCTS AND SERVICES LLC 17986 02/11/2026 ST/RD MNTC MISC SIGN POLES 2,433.73

37.0670.6720.5977 PACIFIC PRODUCTS AND SERVICES LLC 17986 02/11/2026 ST/RD MNTC SUPPLIES & BUCKLE 1,299.98

37.0670.6720.5977 PACIFIC PRODUCTS AND SERVICES LLC 17986 02/11/2026 RUMBLE BAR KITS ST/RD MNTC 1,604.77

37.0670.6720.5977 PACIFIC PRODUCTS AND SERVICES LLC 17986 02/11/2026 ST/RD MNTC SIGN POLES 1,787.95

37.0670.6720.5977 PACIFIC PRODUCTS AND SERVICES LLC 17986 02/11/2026 ST/RD MNTC SIGN POLES 1,993.50

Account Number Vendor Name Payment Number Payment Date Description (Item) Amount

37.0670.6720.5977 PACIFIC PRODUCTS AND SERVICES LLC 17986 02/11/2026 ST/RD MNTC SIGN POLES 1,787.95

01.0000.0000.4250 PAUL OU 17987 02/11/2026 Duplicate App. Contractor and owner applied 248.00

01.0160.1610.5520 POST ALARM SYSTEMS 17988 02/11/2026 MAR'25 ALARM SVCS/ CCTR 54.61

01.0160.1620.5520 POST ALARM SYSTEMS 17988 02/11/2026 MAR'25 ALARM SVCS/ SCTR 54.61

01.0160.1630.5520 POST ALARM SYSTEMS 17988 02/11/2026 MAR'25 ALARM SVCS/ MCTR 54.61

01.0160.1640.5520 POST ALARM SYSTEMS 17988 02/11/2026 MAR'25 ALARM SVCS/ POOLS 54.61

01.0160.1650.5520 POST ALARM SYSTEMS 17988 02/11/2026 MAR'25 ALARM SVCS/ NTP 113.40

01.0160.1670.5520 POST ALARM SYSTEMS 17988 02/11/2026 MAR'25 ALARM SVCS/ MVD 113.40

01.0170.1710.5520 POST ALARM SYSTEMS 17988 02/11/2026 MAR'25 ALARM SVCS/ PSO 104.58

01.0170.1710.5520 POST ALARM SYSTEMS 17988 02/11/2026 MAR'25 ALARM SVCS/ CHALL 140.76

01.0170.1720.5520 POST ALARM SYSTEMS 17988 02/11/2026 MAR'25 ALARM SVCS/ YARD 164.46

44.0800.8010.5982 REGIONAL TAP SERVICE CENTER 17990 02/11/2026 JAN'26 BUS PASSES 28.80

01.0150.1510.5204 ROBERT BECERRA 17991 02/11/2026 COMMUNITY SERVICES COMMISSION MTG. 2-11-26 100.00

01.0151.1543.5430 SOUTHEAST CONSTRUCTION PRODUCTS,INC 17993 02/11/2026 CONCRETE MIX FOR REPAIR 182.74

01.0170.1020.5962 SOUTHEAST CONSTRUCTION PRODUCTS,INC 17993 02/11/2026 SMALL TOOLS 72.87

01.0170.1760.5540 SOUTHEAST CONSTRUCTION PRODUCTS,INC 17993 02/11/2026 ST/RD MNTC TOOLS 44.41

06.0300.3010.5430 SUPERIOR WAREHOUSE GROCERS 17994 02/11/2026 Congregate Program 75.33

06.0300.3020.5430 SUPERIOR WAREHOUSE GROCERS 17994 02/11/2026 Home Delivered Program 8.37

06.0300.3010.5430 SUPERIOR WAREHOUSE GROCERS 17994 02/11/2026 Congregate Program 30.08

06.0300.3020.5430 SUPERIOR WAREHOUSE GROCERS 17994 02/11/2026 Home Delivered Program 3.34

01.0170.1770.5525 SUPERKLEEN CARWASH, INC. 17995 02/11/2026 PARKING CODE CAR WASH 144.95

44.0800.8010.5525 SUPERKLEEN CARWASH, INC. 17995 02/11/2026 TRANSPO CAR WASH 244.98

01.0100.1040.5921 THE SAUCE CREATIVE SERVICES CORP. 17996 02/11/2026 Monthly Newsletter - February 2026 6,298.82

01.0170.1770.5525 THE SMOG SPOT 17997 02/11/2026 #15 SMOG CHECK 50.00

01.0100.1020.5215 TOWNSEND PUBLIC AFFAIRS 17998 02/11/2026 FEB'26 CONSULTING SERVICES 9,500.00

01.0130.1350.5215 TPX COMMUNICATIONS CO 17999 02/11/2026 FEB'26 TPX CHARGES 25.09

01.0170.1105.5215 TRANSTECH ENGINEERING, INC. 18000 02/11/2026 DEC'25 MTHLY ENG SVCS 18,303.50

01.0140.1440.5215 TRANSTECH ENGINEERING, INC. 18000 02/11/2026 DEC'25 PLAN CHECK/1118-1221SA 2,886.10

01.0170.1105.5215 TRANSTECH ENGINEERING, INC. 18000 02/11/2026 DEC'25 TRF/SA COFFEE SHOP 992.00

01.0170.1105.5215 TRANSTECH ENGINEERING, INC. 18000 02/11/2026 DEC'25 TRF/SEMHS CIRCUL 4,572.50

01.0150.1530.6020 ULINE 18001 02/11/2026 SCTR BIKE RACK 1,210.31

01.0170.1020.5956 ULINE 18001 02/11/2026 STOP/STOP PADDLES 925.52

01.0170.1170.5966 VICTORIA MORA 18002 02/11/2026 1/12/26 -2/3/26 CG SUP FUEL 42.00

01.0170.1710.5520 WHITTIER FERTILIZER 18003 02/11/2026 CHALL HOLIDAY LANDSCAPE 318.96

01.0160.1650.5520 WHITTIER FERTILIZER 18003 02/11/2026 NTP FIELD REPAIR 58.14

01.0160.1670.5520 WHITTIER FERTILIZER 18003 02/11/2026 STEER MVD INFIELD REPAIR 34.89

01.0140.1430.5215 WILLDAN ENGINEERING 18004 02/11/2026 NOV. '25 - CONSULTANT SVCS. 7,920.00

01.0140.1430.5215 WILLDAN ENGINEERING 18004 02/11/2026 DEC. '25 - CONSULTANT SVCS. 12,474.00

01.0000.0000.1410 SAN GABRIEL VALLEY WATER 18005 2/12/2026 INSTALLATION OF WATER FACILITIES 510,000.00

01.0000.0000.2225 AFLAC WORLDWIDE HEADQUARTERS DFT0003364 02/03/2026 JANUARY '26 BILLING 1,021.48

Account Number Vendor Name Payment Number Payment Date Description (Item) Amount

01.0150.1530.5430 AMAZON CAPITAL SERVICES, INC DFT0003365 02/03/2026 Supplies for Galatine Senior Social 52.03

06.0300.3020.5430 AMAZON CAPITAL SERVICES, INC DFT0003365 02/03/2026 Home Delivered Program 57.86

01.0120.1210.5406 AMAZON CAPITAL SERVICES, INC DFT0003365 02/03/2026 Passport supplies 59.05

01.0150.1530.5952 AMAZON CAPITAL SERVICES, INC DFT0003365 02/03/2026 SPECIAL EVENTS SUPPLIES (TAPE/GLUE) 69.20

06.0300.3010.5430 AMAZON CAPITAL SERVICES, INC DFT0003365 02/03/2026 C1 SUPP. (COVERS FOR NUTR. TABLE CLOTHS, DECOR.) 19.17

01.0150.1530.5952 AMAZON CAPITAL SERVICES, INC DFT0003365 02/03/2026 Placemats for St. Patrick's Luncheon 67.28

01.0150.1530.5952 AMAZON CAPITAL SERVICES, INC DFT0003365 02/03/2026 Placemats & Fortune cookies for Lunar Luncheon 42.99

01.0150.1530.5952 AMAZON CAPITAL SERVICES, INC DFT0003365 02/03/2026 Placemats for St. Patricks Luncheon 22.14

01.0150.1530.5952 AMAZON CAPITAL SERVICES, INC DFT0003365 02/03/2026 Giveaways for St. Patrick's Luncheon 107.28

01.0000.0000.2250 CALPERS DFT0003366 02/03/2026 ACTIVE EMPLOYEE PREMIUM 105,049.28

01.0100.1050.5941 CALPERS DFT0003366 02/03/2026 ADMIN FEE FOR RETIRED 6.12

01.0100.1050.5941 CALPERS DFT0003366 02/03/2026 ADMIN FEE FOR ACTIVE 84.04

01.0100.1050.5945 CALPERS DFT0003366 02/03/2026 EMPLOYER SHARE OF RETIRED PREMIUM 1,296.00

01.0160.1610.5520 QUENCH USA, INC. DFT0003367 02/03/2026 City Hall Monthly Water Filter Services 134.45

01.0160.1610.5520 QUENCH USA, INC. DFT0003367 02/03/2026 Senior Services Monthly Water Filter Services 71.49

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1500 N CENTRAL AVENUE 537.72

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1415 SANTA ANITA AVENUE 479.36

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1824 CENTRAL AVENUE 380.10

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1556 CENTRAL AVENUE 339.23

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1530 CENTRAL AVENUE 245.86

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1946 MERCED AVENUE 1,547.91

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1819 N CENTRAL AVENUE 222.49

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 10452 RUSH STREET 556.17

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1710 DURFEE AVENUE 237.48

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1502 PECK ROAD 237.48

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1508 PECK ROAD 237.48

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1675 DURFEE AVENUE 146.76

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1660 DURFEE AVENUE 146.76

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1900 CENTRAL AVENUE 143.82

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 N/E MERCED SANTA ANITA 139.25

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1652 TYLER AVENUE 115.87

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1109 PECK ROAD 237.48

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 2218 ROSEMEAD BLVD 111.03

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1628 DURFEE AVENUE 237.48

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 2000 SANTA ANITA AVENUE 73.67

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1819 N MERCED AVENUE 56.17

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 2022 N CENTRAL AVENUE 56.17

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1222 PECK ROAD 237.48

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 MERCED N/W SANTA ANITA 43.91

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 THIENES/PARKWAY 27.81

Account Number Vendor Name Payment Number Payment Date Description (Item) Amount

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 1707 N MERCED AVENUE 20.34

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 2004 ROSEMEAD BLVD 19.49

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 FARNDON-PECK 71.15

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003368 02/03/2026 12/9/25 - 1/8/26 N LERMA/MILLET 199.10

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003369 02/03/2026 12/17/25 - 1/12/26 2464 ROSEMEAD BLVD 206.95

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003369 02/03/2026 12/17/25 - 1/12/26 2620 ROSEMEAD BLVD 125.51

01.0170.1730.5720 SAN GABRIEL VALLEY WATER DFT0003370 02/03/2026 12/11/25 - 1/8/26 1450 LIDCOMBE AVE 237.48

01.0000.0000.2255 VISION SERVICE PLAN DFT0003371 02/03/2026 VISION - FEBRUARY 2026 936.98

01.0000.0000.2224 WASHINGTON NATIONAL INSURANCE CO DFT0003372 02/03/2026 JANUARY - SUPPLEMENTAL LIFE INSURANCE 1,729.52

01.0150.1530.5406 AMAZON CAPITAL SERVICES, INC DFT0003373 02/11/2026 Item for Seniors Galantines Social 103.24

01.0150.1530.5952 AMAZON CAPITAL SERVICES, INC DFT0003373 02/11/2026 Stage Backdrop for Lunar New Year Luncheon 117.38

01.0160.1650.5520 AMAZON CAPITAL SERVICES, INC DFT0003373 02/11/2026 NTP SCOREBOARD REPAIR 34.63

01.0130.1330.5406 AMAZON CAPITAL SERVICES, INC DFT0003373 02/11/2026 PRINTER INK 420.60

01.0150.1530.5430 AMAZON CAPITAL SERVICES, INC DFT0003373 02/11/2026 Painting Canvas for Galatine's Social 42.07

01.0140.1430.5406 AMAZON CAPITAL SERVICES, INC DFT0003373 02/11/2026 DEPT. SUPPLIES 13.83

01.0140.1440.5406 AMAZON CAPITAL SERVICES, INC DFT0003373 02/11/2026 DEPT. SUPPLIES 49.80

01.0150.1530.5952 AMAZON CAPITAL SERVICES, INC DFT0003373 02/11/2026 Supplies (tape) for special events decor 17.72

01.0150.1530.5406 AMAZON CAPITAL SERVICES, INC DFT0003373 02/11/2026 Items for Galatine's Senior Social 90.77

01.0100.1050.5406 AMAZON CAPITAL SERVICES, INC DFT0003373 02/11/2026 HR SUPPLIES-INK 582.50

01.0160.1650.5520 AMAZON CAPITAL SERVICES, INC DFT0003373 02/11/2026 NTP SCOREBOARD SUPPLIES 16.93

01.0000.0000.2021 CALPERS RETIREMENT DFT0003375 02/11/2026 SERVICE CREDIT PURCHASES - ANTONIO OLIVOS 155.77

01.0000.0000.2020 CALPERS RETIREMENT DFT0003376 02/11/2026 RATE PLAN 23047 MISC (CLASSIC TIER 2) 3,683.63

01.0000.0000.2020 CALPERS RETIREMENT DFT0003377 02/11/2026 RATE PLAN 685 MISC (CLASSIC) 9,551.51

01.0000.0000.2020 CALPERS RETIREMENT DFT0003378 02/11/2026 RATE PLAN 27216 MISC (PEPRA) 22,778.41

01.0000.0000.2205 DEPARTMENT OF THE TREASURY DFT0003379 02/11/2026 FEDERAL PPE 1/31/26 25,566.18

01.0000.0000.2215 DEPARTMENT OF THE TREASURY DFT0003379 02/11/2026 FICA PPE 1/31/26 35,581.28

01.0000.0000.2215 DEPARTMENT OF THE TREASURY DFT0003379 02/11/2026 MED PPE 1/31/26 8,321.36

01.0000.0000.2030 EMPLOYMENT DEVELOPMENT DEPT. DFT0003381 02/11/2026 TNG (TRAINING TAX WITHOLDING) 101.38

01.0000.0000.2030 EMPLOYMENT DEVELOPMENT DEPT. DFT0003381 02/11/2026 UI TAX WITHHOLDINGS 1,621.54

01.0000.0000.2210 EMPLOYMENT DEVELOPMENT DEPT. DFT0003381 02/11/2026 STATE WITHHOLDINGS 9,818.74

01.0000.0000.2230 EMPOWER RETIREMENT, LLC DFT0003382 02/11/2026 EMPLOYEE BEFORE TAX 3,190.00

01.0000.0000.2230 EMPOWER RETIREMENT, LLC DFT0003382 02/11/2026 EMPLOYER MATCH 3,955.00

01.0000.0000.2235 EMPOWER RETIREMENT, LLC DFT0003382 02/11/2026 EMPLOYER MATCH AFTER TAX 37.50

01.0000.0000.2235 EMPOWER RETIREMENT, LLC DFT0003382 02/11/2026 EMPLOYEE AFTER TAX 1,977.60

01.0000.0000.2270 EXPERT PAY - STATE DISBURSEMENT UNIT DFT0003383 02/11/2026 CASE 200000002135289 429.50

01.0000.0000.2270 EXPERT PAY - STATE DISBURSEMENT UNIT DFT0003383 02/11/2026 CASE 200000002163990 448.75

01.0000.0000.2270 EXPERT PAY - STATE DISBURSEMENT UNIT DFT0003383 02/11/2026 CASE 0980438 150.00

01.0160.1610.5520 QUENCH USA, INC. DFT0003384 02/11/2026 CC' WTR FLTR FEB'26 38.77

01.0170.1730.5705 SO CAL GAS DFT0003385 02/11/2026 1/2 - 1/30/26 1415 SANTA ANITA AVE 22.99

01.0170.1730.5710 SOUTHERN CALIFORNIA EDISON DFT0003388 02/11/2026 10/23/25 - 11/23/25 VARIOUS LOCATIONS 1,257.64

Account Number Vendor Name Payment Number Payment Date Description (Item) Amount

01.0170.1730.5710 SOUTHERN CALIFORNIA EDISON DFT0003389 02/11/2026 12/30/25 - 1/28/26 2144 TYLER AVE PED 63.86

02.0170.1760.5966 US BANK VOYAGER FLEET SYS DFT0003390 02/11/2026 1/24 Fuel 658.65

37.0670.6720.5966 US BANK VOYAGER FLEET SYS DFT0003390 02/11/2026 1/24 Fuel 3,579.74

44.0800.8010.5966 US BANK VOYAGER FLEET SYS DFT0003390 02/11/2026 1/24 Fuel 750.53 $ 1,129,419.35

City Council Agenda Report
Agenda Item No. 7.c.

DATE: February 17, 2026
TO: Honorable Mayor and Members of the City Council
APPROVED BY: Rene Salas, City Manager
SUBMITTED BY: Gerardo Marquez, Director of Community Development & Public Works
SUBJECT: ADOPTION OF ORDINANCE NO. 1287 AFFIRMING THE
PLANNING COMMISSION’S RECOMMENDATION TO
APPROVE ZONE TEXT AMENDMENT 25-01 TO AMEND THE
SOUTH EL MONTE MUNICIPAL CODE CHAPTER 17.09 AND
CHAPTER 5.26 TO ALLOW COMMERCIAL CANNABIS

OPERATIONS IN THE MANUFACTURING ZONE AND TO

AMEND THE EXISTING REQUIRED BUFFER DISTANCES
FROM JURISDICTIONAL BOUNDARIES TO 350 FEET AND
MAINTAIN 1,000 FOOT BUFFERS FROM ALL OTHER

SENSITIVE USES
SUMMARY: Adoption of Ordinance No. 1287, affirming the Planning Commission’s recommendation to approve zoning text amendment to the South El Monte Municipal Code Chapter 17.09 and Chapter 5.26 to allow commercial cannabis operations in the manufacturing zone and to amend the existing required buffer distances from jurisdictional boundaries to 350 feet and maintain 1,000-foot buffers from all other sensitive uses.

RECOMMENDED ACTION: Staff recommends City Council waive the full reading and adopt Ordinance No. 1287, approving Planning Commission’s recommendation and adopting Zone Text Amendment No. 25-01 to:
• Amend the South El Monte Municipal Code Chapter 17.09 to allow retailer commercial cannabis operations as a permitted use within the Manufacturing (M) zone; and
• Amend the South El Monte Municipal Code Chapter 5.26 to add the Manufacturing (M) zone as a permissible zone for retailer commercial cannabis operations and amend the existing required buffer distance of 1,000-foot buffer from all existing sensitive uses except for jurisdictional boundaries, the buffer of which will be 350 feet.

FISCAL/FINANCIAL IMPACT: No Anticipated Fiscal Impact.

DISCUSSION:

On November 8, 2022, the voters of South El Monte approved Measure CM, which led to the adoption of Ordinance No. 1260. This Ordinance added Chapter 5.26 to Title 5 of the South El Monte Municipal Code (SEMMC) to allow for the permitting and regulation of retail commercial cannabis operation within the City, allowing for the future issuance of a maximum of three retailer commercial cannabis operation permits. On September 26, 2023, City Council adopted Ordinance No. 1268, amending Chapter 5.26 to Title 5 of the SEMMC.

Only cannabis retailers issued a valid commercial cannabis operation permit, among other approvals, are allowed to operate in the City. The City has not yet issued any commercial cannabis operation permits. Chapter 5.26 specifies zoning and locational restrictions for cannabis retailers, and requires that prospective applicants for a retailer commercial cannabis operation permit obtain site control of a property meeting the City’s zoning and locational restrictions in order to be eligible for consideration in the licensing application process. The City’s current zoning and locational restrictions result in four (4) compliant parcels, as depicted on the map in Attachment C; specifically, Chapter 5.26 allows for cannabis retail as a permitted use within the Commercial (C) and CommercialManufacturing (C-M) zones, including any overlay zone districts covering the C or C-M zones, and includes a buffer requirement that cannabis retailers be located at least 1,000 feet from the following (“sensitive uses”):
• Other Cannabis Retail Operations
• Alcohol or Drug Treatment Facility
• Day Care Centers
• Religious Institutions
• Schools
• Youth Centers
• City Jurisdictional Boundary
• Residential Zoned Properties
• Parks
Notably, although Commercial (C) zones are permissible under Chapter 5.26, no Czoned properties are eligible locations under the City’s current sensitive use and buffer requirements due to proximity to enumerated sensitive uses.

Pursuant to California Business and Professions Code Section 26054(b), state law sets 600-foot buffers from schools, daycare centers, and youth centers, but allows local jurisdictions to specify different buffer requirements.

At the March 18, 2025 City Council Meeting, staff was directed to provide different variations of the Cannabis Retailer Buffer map showing alternative buffer distances as well as the inclusion of Manufacturing Zoned lots.

At the November 18, 2025 City Council Meeting, staff presented different variations of Cannabis Retailer Buffer maps including Manufacturing Zoned lots and showing alternative buffer distances. At the December 17, 2025 Special Planning Commission Meeting, staff presented different variations of Cannabis Retailer Buffer maps including Manufacturing Zoned lots and showing alternative buffer distances the same alternatives as Zone Text Amendment (ZTA) 25-01 to the Planning Commission at the December 17, 2025 Special Planning Commission Meeting. After reviewing all of the alternatives and the inclusion of the Manufacturing Zone, Planning Commission initiated by motion Zoning Text Amendment (ZTA) 25-01 to amend SEMMC Chapters 17.09 and 5.26 to allow retailer commercial cannabis operations as a permitted use within the Manufacturing (M) zone and to maintain the 1,000-foot buffer from all sensitive uses, with the exception of the jurisdictional buffer, which would be reduced to 350 feet, approved Resolution No. 25-08 recommending City Council approve ZTA 25-01.

On February 3, 2026, the City Council conducted a public hearing, took public testimony, introduced Ordinance No. 1287, and determined that Ordinance 1287 is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines Section 15061 (b)(3) (Common Sense Exemption). See the staff report from February 3, 2026, attached as Attachment F, regarding the introduction of Ordinance No. 1287. Ordinance No. 1287 is now before the City Council for approval.

The table below shows the number of parcels available under the current zoning and locational requirements and under the alternative requirements recommended by Planning Commission:

Number of Eligible Lots
Current Zoning and
locational requirements
1000 ft w/ 350 ft
Jurisdictional Boundary
CommercialManufacturing Zone4

23 Manufacturing Zone N/A 82
Commercial Zone 0 0

The map in Attachment D displays the lots that would be eligible locations for future cannabis retailers if City Council approves Planning Commission’s recommendation to add Manufacturing (M) zone and reduce buffers from jurisdictional boundaries to 350 feet. The pink lots represent the Commercial-Manufacturing (C-M) zoned lots and the blue lots represent the Manufacturing (M) zoned lots.

FINDINGS
Per SEMMC Sections 17.03.150 (E)(3) and (F)(3), a recommendation by Planning Commission for approval of a Zone Text Amendment and a decision by City Council regarding such recommendation must each be based on the following findings:

1. Substantial proof exists that the proposed change will promote the public health, safety, convenience and general welfare of the citizens of the city; Unregulated commercial cannabis activities have the potential to adversely affect the public health and safety of South El Monte residents and those engaged in licensed commercial cannabis operations. The amendment of land use regulations, in alignment with State requirements, specific only to future cannabis retailers vetted by the City’s licensing application process and ultimately awarded a commercial cannabis operation permit, that will sell cannabis and cannabis products that will be tested and only sold to those that are lawfully permitted under State law to purchase the products, substantially reduces this threat to the public health and safety. Per SEMMC Chapter 5.26, operating standards, permit application procedures and restrictions have been established to ensure that all amendments made to the code shall not be detrimental to the city in general. The City’s screening process (i) requires applicants to hold site control of a location compliant with City zoning and buffer requirements, ensuring a future permittee is located in appropriate location; (ii) ensures that applicants have operational experience, and bars applicants with past violations, disciplinary actions, or evidence of detriment to public health and safety from being awarded a permit; (iii) requires applicants to provide detailed operational and security measures, so only an applicant with plans ensuring full compliance may receive a permit. Chapter 5.26 for allows the City to review each future permittee annually for compliance with all local and State laws, so a permittee that receives a permit then relaxes its operational or security measures would be required to correct deficiencies or be subject to disciplinary actions, including revocation of its permit.

2. The proposed change is in conformance with the purpose of this chapter and with all applicable, officially adopted policies and plans; The proposed amendment will allow for commercial cannabis retailer uses that have received a permit through the City’s licensing application process to be located within the Manufacturing zone, which is compatible with surrounding industrial and employment-oriented uses, as the footprint of cannabis retailers matches those of other general retail operations. The amendment does not change the operational and security requirements and safeguards established in Chapter 5.26 that ensure future cannabis retailers established in the City will not adversely affect existing businesses. In addition, the proposed amendment to the buffer distance from sensitive uses maintains appropriate separation and continues to protect nearby land uses. Thus, the amendment is consistent with all applicable, officially adopted policies, regulations, and plans.

3. Streets and public facilities existing or proposed are adequate to serve all uses permitted when the property is reclassified; Cannabis retailer uses typically have building and operational footprints of other general retail uses, and therefore do not require additional streets and public facilities nor impose undue strain on existing infrastructure and services. Proposed modifications to subject sites must meet all applicable Planning and Building & Safety regulations. As such no change in service use will occur to the subject properties.

4. All uses permitted when the property is reclassified will be compatible with present and potential future uses, and further, existing regulations applying to the property in question; The proposed amendment will ensure that future uses meet all applicable standards and requirements per SEMMC Chapter 5.26 and Chapter

17.09 and thus will be compatible with present and future uses.

ENVIRONMENTAL ANALYSIS/DETERMINATION
Staff reviewed the proposed project in accordance with the California Environmental Quality Act (CEQA) guidelines and has been determined that the project is exempt pursuant to CEQA Regulation 15061(b)(3). The amendment does not approve any development or construction, and any future projects will be subject to review pursuant to CEQA. The amendment does not allow for cannabis retailers to establish locations in the City without undergoing the licensing application process and receiving a permit, nor increase the number of available cannabis retailer licenses, and it does not change any building regulations or requirements that could have an environmental impact. In addition, Section 15061(b)(3) includes the general rule that CEQA applies only to activities which have the potential for causing a significant effect on the environment.

Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.

Additionally, retailer commercial cannabis operations are similar to other commercial uses, subject to the same development and parking standards. Therefore, no further action is required under CEQA.

On February 3, 2026, the City Council determined that Ordinance 1287 is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines Section 15061 (b)(3) (Common Sense Exemption).

ATTACHMENT(S):

A. Ordinance 1287
B. Current Buffer Map
C. 1000 ft & 350 ft City Boundary Buffer Map
D. RESO 25-08
E. Public Hearing Notice
F. February 3, 2026 Staff Report for Ordinance No. 1287

ATTACHMENT A
ORDINANCE NO. 1287

AN ORDINANCE OF THE CITY OF SOUTH EL MONTE CITY
COUNCIL ADOPTING ZONE TEXT AMENDMENT (NO. 25-
01) TO AMEND SOUTH EL MONTE MUNICIPAL CODE
CHAPTER 17.09 AND CHAPTER 5.26 TO ALLOW

COMMERCIAL CANNABIS OPERATIONS IN THE

MANUFACTURING ZONE AND TO AMEND THE EXISTING

REQUIRED BUFFER DISTANCE FROM JURISDICTIONAL
BOUNDARIES TO 350 FEET AND MAINTAIN 1,000 FOOT

BUFFERS FROM ALL OTHER SENSITIVE USES
WHEREAS, on January 1, 2016, a series of bills commonly referred to as Medical Cannabis Regulation and Safety Act (“MCRSA”) became effective which established a comprehensive State licensing and regulatory framework for the cultivation, manufacturing, transportation, testing, and distribution and sale of medical cannabis and which affirmed the authority of local governments to impose additional regulations or to prohibit certain activities related to the cultivation, manufacture, transportation, storage, distribution, delivery, and sale of medical cannabis; and
WHEREAS, on November 8, 2016, California voters approved the Control, Regulate, and Tax Adult Use of Marijuana Act (“AUMA”) legalizing possession, cultivation, and use of cannabis for recreational use by individuals over the age of twenty-one (21), established a State licensing and regulatory framework which made it legal to sell and distribute cannabis through regulated business as of January 1, 2018, and authorized local governments to impose additional regulations or to prohibit certain activities related to adult use cannabis; and WHEREAS, on June 27, 2017, the California Legislature passed Senate Bill 94 which integrated the MCRSA with AUMA to create the Medicinal and Adult-Use Cannabis Regulation and Safety Act (“MAUCRSA”) creating a single regulatory system governing the medical and adult-use cannabis industry in California; and
WHEREAS, the MAUCRSA preserved local control by authorizing local jurisdictions to adopt and enforce local ordinances to exercise control over cannabis-related operations; and WHEREAS, the MAUCRSA provides that a State commercial cannabis license may not be issued to an applicant whose operations would violate the provisions of any local ordinance or regulation; and
WHEREAS, on November 8, 2022, the voters of the City of South El Monte (“City”) adopted Ordinance No. 1260, which added Chapter 5.26 to Title 5 of the South El Monte Municipal Code (“SEMMC”) which authorized and taxes certain cannabis businesses within the City; and WHEREAS, Section 14 of Ordinance No. 1260 and SEMMC Section 5.26.250 permit the City Council of the City (“City Council”) to amend the voter -approved cannabis regulations, provided that such amendments do not increase the adopted tax rate and, further, do not amend SEMMC Section 5.26.060; and
WHEREAS, on September 26, 2023, the City Council adopted Ordinance No. 1268 amending SEMMC Chapter 5.26; and

Ordinance No. 1287

WHEREAS, on November 18, 2025, the City Council reviewed maps of and discussed different variations on the zoning and locational requirements for retailer commercial cannabis operations under Chapter 5.26; and
WHEREAS, a retailer commercial cannabis operation is already a permitted use in the Commercial (C) and Commercial-Manufacturing (C-M) zones, is subject to the same development standards as other commercial retail uses, including but not limited to parking and setbacks; and WHEREAS, the proposed Ordinance would not result in the approval of any construction or development, any future cannabis retailer uses would have to undergo the licensing application process under Chapter 5.26 and would be subject to review pursuant to the California Environmental Quality Act (“CEQA”) (Pub. Res. Code § 21000 et seq.); and WHEREAS, pursuant to SEMMC Section 17.03.150, a Zone Text Amendment (“ZTA”) may be initiated by a motion of the Planning Commission; and WHEREAS, pursuant to SEMMC Section 17.03.150, Planning Commission must hold at least one public hearing on all ZTAs with notice of such public hearing made in accordance with SEMMC Section 17.03.130; and
WHEREAS, pursuant to SEMMC Section 17.03.150, Planning Commission may disapprove, continue to a later meeting, or recommend approval of a ZTA; and WHEREAS, recommendations for approval of a ZTA must be based on the findings enumerated in SEMMC Section 17.03.150(E)(3); and
WHEREAS, pursuant to SEMMC Section 17.03.150, City Council must hold at least one public hearing on each Planning Commission recommendation to approve a ZTA and may decide to modify, approve, continue, or return to Planning Commission for further study and recommendations the ZTA, based on the required findings contained in SEMMC Section

17.03.150(E)(3); and
WHEREAS, at the December 17, 2025 special meeting, the Planning Commission of the City of South El Monte initiated by motion ZTA 25-01 to amend the South El Monte Municipal Code to allow retailer commercial cannabis operations as a permitted use in the Manufacturing (M) zone and to amend the required buffer distance from jurisdictional boundaries to 350 feet and maintain existing required 1,000 foot buffer distances from all other sensitive uses; and WHEREAS, a public hearing was held before the Planning Commission on December 17, 2025, to consider the ZTA. All evidence, both written and oral, presented during said public hearing was considered by the Planning Commission of the City of South El Monte; and WHEREAS, on December 17, 2025, the Planning Commission adopted Resolution No. 25- 08 recommending City Council approve ZTA 25-01; and
WHEREAS, a notice of public hearing was posted in the San Gabriel Valley Tribune on January 22, 2026, for the first reading of Ordinance No. 1287 to be considered by City Council on February 3, 2026; and

Ordinance No. 1287

WHEREAS, a public hearing was held before the City Council on February 3, 2026, to consider the recommendation by Planning Commission to adopt ZTA 25-01. All evidence, both written and oral, presented during said public hearing was considered by City Council in making its determination.

THE CITY COUNCIL OF THE CITY OF SOUTH EL MONTE HEREBY FINDS, RESOLVES, AND ORDERS AS FOLLOWS:

SECTION 1: The City Council hereby approves the first reading of Ordinance No. 1287 which approves a ZTA to the SEMMC as set forth in Section 2 of this Ordinance.

SECTION 2: Based on the record of the hearing, including all information presented at the hearing, including the Staff Report dated February 3, 2026, which is hereby incorporated into this Ordinance No. 1287 by reference, the City Council approves Planning Commission’s recommendation to adopt ZTA 25-01, adopts ZTA 25-01, and hereby makes the following findings concerning ZTA 25-01:

A. Pursuant to South El Monte Municipal Code (“SEMMC”) Section 17.03.150, there shall be substantial proof that the proposed change will promote the public health, safety, convenience and general welfare of the citizens of the city.

B. As conditioned, the proposed change is in conformance with the purpose of this chapter and with all applicable, officially adopted policies and plans.

C. As conditioned, streets and public facilities existing or proposed are adequate to serve all uses permitted when the property is reclassified.

D. As conditioned, uses permitted when the property is reclassified will be compatible with present and potential future uses, and further, existing regulations applying to the property in question.

SECTION 3: In accordance with SEMMC Section 17.03.150(A), the proposed ZTA is consistent with the City’s General Plan and other officially adopted policies and plans, and the goals and objectives stated therein. No goal or policy will be impaired.

SECTION 4: In accordance with SEMMC Section 17.03.150(C), the proposed ZTA does not relate to hazardous waste facilities, and therefore shall be consistent with the portions of the County of Los Angeles hazardous waste management plan as approved November 30, 1989, relating to siting of and siting criteria for hazardous waste facilities.

SECTION 5: Based on the findings enumerated in Section 2, City Council approves ZTA25-01, attached hereto as Exhibit “A” amending the SEMMC as follows:

A. Amend SEMMC Chapter 17.09 to allow retailer commercial cannabis operations as a permitted use within the Manufacturing (M) zone; B. Amend SEMMC Chapter 5.26 to provide that retailer commercial cannabis operations are a permitted use subject to Chapter 5.26 in the Manufacturing (M) zone;
C. Amend the sensitive use and buffer requirements under SEMMC Chapter 5.26 to maintain 1,000-Foot buffers from all sensitive uses with the exception of buffer requirements for jurisdictional boundaries, which will be amended to 350 feet.

Ordinance No. 1287

For the purposes of Exhibit A, strikethroughs represent deletions and double underline represents additions.

SECTION 6: City Council determines that this project is exempt from the California Environmental Quality Act (“CEQA”) pursuant to CEQA Section 15061(b)(3) (common sense exemption), and a Notice of Exemption has been prepared. The exemption applies only to projects where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment.

SECTION 7: Any interested party may appeal this decision to the City Council pursuant to Section 17.03 of the South El Monte Municipal Code.

PASSED, APPROVED AND ADOPTED this 17th day of February 2026. _________________________________
Gloria Olmos, Mayor
ATTEST:
________________________________
Adrian Garcia, MMC, City Clerk

STATE OF CALIFORNIA )

COUNTY OF LOS ANGELES ) SS

CITY OF SOUTH EL MONTE )
I, Adrian Garcia, City Clerk of the City of South El Monte, hereby certify that the foregoing Ordinance, being Ordinance No. 1287 was duly introduced and placed upon its first reading at a regular meeting of the City Council on the 3rd day of February 2026, and that thereafter, said Ordinance was duly passed and adopted by the City Council of the City of South El Monte at a regular meeting of said Council held on the 17th day of February 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN: ____________________________________
Adrian Garcia, MMC, City Clerk

EXHIBIT A TO ORDINANCE 1287

5.26.120 Retailer operating standards and restrictions.

C. Location and Design Requirements. Pursuant to the authority delegated by the state to the city under Section 26054(b) of the State Business and Professions Code and overriding the location and design requirements contained in Section 26054(b) of the State Business and Professions Code, retailer commercial cannabis operations in the city shall be subject to the following location and design requirements:

1. Retailer commercial cannabis operations shall be a permitted use subject to this chapter on property: (a) located more than one thousand feet of any retailer commercial cannabis operation permitted under this chapter, alcohol or drug treatment facility, day care center, religious institution, school, or youth center, park or residentially zoned property; (b) located more than three hundred and fifty (350)one thousand feet from the city's jurisdictional boundary or any park or residentially zoned property; and (c) zoned M (manufacturing zone), C (commercial zone) or C-M (commercial-manufacturing zone) including any overlay zone districts covering the M (manufacturing zone), C (commercial zone) or C-M (commercial-manufacturing zone).

Table 17.09.020-A Uses for Industrial Zones – Manufacturing Zone (M) The following row is added to Table 17.09.020-A:

Retailer commercial cannabis operations in
accordance with Chapter 5.26 of Title 5 of this
Code
P

ATTACHMENT D

Exhibit “A” to Resolution 25-08
EXHIBIT A TO ORDINANCE 1287

5.26.120 Retailer operating standards and restrictions.

C. Location and Design Requirements. Pursuant to the authority delegated by the state to the city under Section 26054(b) of the State Business and Professions Code and overriding the location and design requirements contained in Section 26054(b) of the State Business and Professions Code, retailer commercial cannabis operations in the city shall be subject to the following location and design requirements:

1. Retailer commercial cannabis operations shall be a permitted use subject to this chapter on property: (a) located more than one thousand feet of any retailer commercial cannabis operation permitted under this chapter, alcohol or drug treatment facility, day care center, religious institution, school, or youth center, park or residentially zoned property; (b) located more than three hundred and fifty (350)one thousand feet from the city's jurisdictional boundary or any park or residentially zoned property; and (c) zoned M (manufacturing zone), C (commercial zone) or C-M (commercial-manufacturing zone) including any overlay zone districts covering the M (manufacturing zone), C (commercial zone) or C-M (commercial-manufacturing zone).

Table 17.09.020-A Uses for Industrial Zones – Manufacturing Zone (M) The following row is added to Table 17.09.020-A:

Retailer commercial cannabis operations in
accordance with Chapter 5.26 of Title 5 of this
Code
P

ATTACHMENT E

City Council Agenda Report
Agenda Item No. 8.b.

DATE: February 3, 2026
TO: Honorable Mayor and Members of the City Council
APPROVED BY: Rene Salas, City Manager
SUBMITTED BY: Gerardo Marquez, Director of Community Development & Public Works
SUBJECT: CONSIDERATION OF FIRST READING OF ORDINANCE NO. 1287 AFFIRMING THE PLANNING COMMISSION’S

RECOMMENDATION TO APPROVE ZONE TEXT
AMENDMENT 25-01 TO AMEND THE SOUTH EL MONTE
MUNICIPAL CODE CHAPTER 17.09 AND CHAPTER 5.26 TO

ALLOW COMMERCIAL CANNABIS OPERATIONS IN THE

MANUFACTURING ZONE AND TO AMEND THE EXISTING

REQUIRED BUFFER DISTANCES FROM JURISDICTIONAL
BOUNDARIES TO 350 FEET AND MAINTAIN 1,000 FOOT

BUFFERS FROM ALL OTHER SENSITIVE USES
SUMMARY: Consideration to introduce Ordinance No. 1287, affirming the Planning Commission’s recommendation to approve zoning text amendment to the South El Monte Municipal Code Chapter 17.09 and Chapter 5.26 to allow commercial cannabis operations in the manufacturing zone and to amend the existing required buffer distances from jurisdictional boundaries to 350 feet and maintain 1,000-foot buffers from all other sensitive uses.

RECOMMENDED ACTION: Staff recommends City Council:

1. Conduct a public hearing;

2. Take public testimony;

3. Determine that Ordinance 1287 is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines Section 15061 (b)(3) (Common Sense Exemption); and

4. Waive the full reading and introduce Ordinance No. 1287 by title only, approving Planning Commission’s recommendation and adopting Zone Text Amendment No. 25-01 to:
• Amend the South El Monte Municipal Code Chapter 17.09 to allow retailer commercial cannabis operations as a permitted use within the Manufacturing (M) zone;

• Amend the South El Monte Municipal Code Chapter 5.26 to add the Manufacturing (M) zone as a permissible zone for retailer commercial cannabis operations and amend the existing required buffer distance of 1,000-foot buffer from all existing sensitive uses except for jurisdictional boundaries, the buffer of which will be 350 feet.

FISCAL/FINANCIAL IMPACT: No Anticipated Fiscal Impact.

DISCUSSION:

On November 8, 2022, the voters of South El Monte approved Measure CM, which led to the adoption of Ordinance No. 1260. This Ordinance added Chapter 5.26 to Title 5 of the South El Monte Municipal Code (SEMMC) to allow for the permitting and regulation of retail commercial cannabis operation within the City, allowing for the future issuance of a maximum of three retailer commercial cannabis operation permits. On September 26, 2023, City Council adopted Ordinance No. 1268, amending Chapter 5.26 to Title 5 of the SEMMC.

Only cannabis retailers issued a valid commercial cannabis operation permit, among other approvals, are allowed to operate in the City. The City has not yet issued any commercial cannabis operation permits. Chapter 5.26 specifies zoning and locational restrictions for cannabis retailers, and requires that prospective applicants for a retailer commercial cannabis operation permit obtain site control of a property meeting the City’s zoning and locational restrictions in order to be eligible for consideration in the licensing application process. The City’s current zoning and locational restrictions result in four (4) compliant parcels, as depicted on the map in Attachment C; specifically, Chapter 5.26 allows for cannabis retail as a permitted use within the Commercial (C) and CommercialManufacturing (C-M) zones, including any overlay zone districts covering the C or C-M zones, and includes a buffer requirement that cannabis retailers be located at least 1,000 feet from the following (“sensitive uses”):
• Other Cannabis Retail Operations
• Alcohol or Drug Treatment Facility
• Day Care Centers
• Religious Institutions
• Schools
• Youth Centers
• City Jurisdictional Boundary
• Residential Zoned Properties
• Parks
Notably, although Commercial (C) zones are permissible under Chapter 5.26, no Czoned properties are eligible locations under the City’s current sensitive use and buffer requirements due to proximity to enumerated sensitive uses.

Pursuant to California Business and Professions Code Section 26054(b), state law sets 600-foot buffers from schools, daycare centers, and youth centers, but allows local jurisdictions to specify different buffer requirements.

At the March 18, 2025 City Council Meeting, staff was directed to provide different variations of the Cannabis Retailer Buffer map showing alternative buffer distances as well as the inclusion of Manufacturing Zoned lots.

At the November 18, 2025 City Council Meeting, staff presented different variations of Cannabis Retailer Buffer maps including Manufacturing Zoned lots and showing alternative buffer distances. At the December 17, 2025 Special Planning Commission Meeting, staff presented different variations of Cannabis Retailer Buffer maps including Manufacturing Zoned lots and showing alternative buffer distances the same alternatives as Zone Text Amendment (ZTA) 25-01 to the Planning Commission at the December 17, 2025 Special Planning Commission Meeting. After reviewing all of the alternatives and the inclusion of the Manufacturing Zone, Planning Commission initiated by motion Zoning Text Amendment (ZTA) 25-01 to amend SEMMC Chapters 17.09 and 5.26 to allow retailer commercial cannabis operations as a permitted use within the Manufacturing (M) zone and to maintain the 1,000-foot buffer from all sensitive uses, with the exception of the jurisdictional buffer, which would be reduced to 350 feet, approved Resolution No. 25-08 recommending City Council approve ZTA 25-01.

The table below shows the number of parcels available under the current zoning and locational requirements and under the alternative requirements recommended by Planning Commission:

Number of Eligible Lots
Current Zoning and
locational requirements
1000 ft w/ 350 ft
Jurisdictional Boundary
CommercialManufacturing Zone4 23
Manufacturing Zone N/A 82
Commercial Zone 0 0
The map in Attachment D displays the lots that would be eligible locations for future cannabis retailers if City Council approves Planning Commission’s recommendation to add Manufacturing (M) zone and reduce buffers from jurisdictional boundaries to 350 feet. The pink lots represent the Commercial-Manufacturing (C-M) zoned lots and the blue lots represent the Manufacturing (M) zoned lots.

FINDINGS

Per SEMMC Sections 17.03.150 (E)(3) and (F)(3), a recommendation by Planning Commission for approval of a Zone Text Amendment and a decision by City Council regarding such recommendation must each be based on the following findings:

1. Substantial proof exists that the proposed change will promote the public health, safety, convenience and general welfare of the citizens of the city; Unregulated commercial cannabis activities have the potential to adversely affect the public health and safety of South El Monte residents and those engaged in licensed commercial cannabis operations. The amendment of land use regulations, in alignment with State requirements, specific only to future cannabis retailers vetted by the City’s licensing application process and ultimately awarded a commercial cannabis operation permit, that will sell cannabis and cannabis products that will be tested and only sold to those that are lawfully permitted under State law to purchase the products, substantially reduces this threat to the public health and safety. Per SEMMC Chapter 5.26, operating standards, permit application procedures and restrictions have been established to ensure that all amendments made to the code shall not be detrimental to the city in general. The City’s screening process (i) requires applicants to hold site control of a location compliant with City zoning and buffer requirements, ensuring a future permittee is located in appropriate location; (ii) ensures that applicants have operational experience, and bars applicants with past violations, disciplinary actions, or evidence of detriment to public health and safety from being awarded a permit; (iii) requires applicants to provide detailed operational and security measures, so only an applicant with plans ensuring full compliance may receive a permit. Chapter 5.26 for allows the City to review each future permittee annually for compliance with all local and State laws, so a permittee that receives a permit then relaxes its operational or security measures would be required to correct deficiencies or be subject to disciplinary actions, including revocation of its permit.

2. The proposed change is in conformance with the purpose of this chapter and with all applicable, officially adopted policies and plans; The proposed amendment will allow for commercial cannabis retailer uses that have received a permit through the City’s licensing application process to be located within the Manufacturing zone, which is compatible with surrounding industrial and employment-oriented uses, as the footprint of cannabis retailers matches those of other general retail operations. The amendment does not change the operational and security requirements and safeguards established in Chapter 5.26 that ensure future cannabis retailers established in the City will not adversely affect existing businesses. In addition, the proposed amendment to the buffer distance from sensitive uses maintains appropriate separation and continues to protect nearby land uses. Thus, the amendment is consistent with all applicable, officially adopted policies, regulations, and plans.

3. Streets and public facilities existing or proposed are adequate to serve all uses permitted when the property is reclassified; Cannabis retailer uses typically have building and operational footprints of other general retail uses, and therefore do not require additional streets and public facilities nor impose undue strain on existing infrastructure and services. Proposed modifications to subject sites must meet all applicable Planning and Building & Safety regulations. As such no change in service use will occur to the subject properties.

4. All uses permitted when the property is reclassified will be compatible with present and potential future uses, and further, existing regulations applying to the property in question; The proposed amendment will ensure that future uses meet all

applicable standards and requirements per SEMMC Chapter 5.26 and Chapter

17.09 and thus will be compatible with present and future uses.

ENVIRONMENTAL ANALYSIS/DETERMINATION
Staff reviewed the proposed project in accordance with the California Environmental Quality Act (CEQA) guidelines and has been determined that the project is exempt pursuant to CEQA Regulation 15061(b)(3). The amendment does not approve any development or construction, and any future projects will be subject to review pursuant to CEQA. The amendment does not allow for cannabis retailers to establish locations in the City without undergoing the licensing application process and receiving a permit, nor increase the number of available cannabis retailer licenses, and it does not change any building regulations or requirements that could have an environmental impact. In addition, Section 15061(b)(3) includes the general rule that CEQA applies only to activities which have the potential for causing a significant effect on the environment.

Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.

Additionally, retailer commercial cannabis operations are similar to other commercial uses, subject to the same development and parking standards. Therefore, no further action is required under CEQA.

ATTACHMENT(S):

A. Ordinance 1287
B. Current Buffer Map
C. 1000 ft & 350 ft City Boundary Buffer Map
D. RESO 25-08
E. Public Hearing Notice

City Council Agenda Report
Agenda Item No. 7.d.

DATE: February 17, 2026
TO: Honorable Mayor and Members of the City Council
APPROVED BY: Rene Salas, City Manager
SUBMITTED BY: Gerardo Marquez, Director of Community Development & Public Works
SUBJECT: ADOPTION OF ORDINANCE NO. 1288, AMENDING
CHAPTER 5.26 OF TITLE 5 OF THE SOUTH EL MONTE

MUNICIPAL CODE THEREBY AMENDING THE CITY'S

CANNABIS REGULATIONS IN RELATION TO APPLICATION

PROCEDURE AND CRITERIA, PERMITTING AND

OPERATIONAL REQUIREMENTS, AND MAKE SUCH OTHER

CHANGES TO ALIGN WITH LEGAL DEVELOPMENTS
SUMMARY: Adoption of an ordinance amending Chapter 5.26 of Title 5 of the South El Monte Municipal Code, thereby amending the City’s cannabis regulations, in relation to application procedure and criteria, permitting and operational requirements, clarification changes, and other changes in order to align with legal developments and to improve the administration thereof.

RECOMMENDED ACTION: Staff recommends City Council waive the full reading and adopt Ordinance No. 1288, amending Chapter 5.26 of Title 5 of the South El Monte Municipal Code, thereby amending the City’s cannabis regulations, in relation to application procedure and criteria, permitting and operational requirements, clarification changes, and other changes in order to align with legal developments and to improve the administration thereof.

FISCAL/FINANCIAL IMPACT: No fiscal impact is expected from this item.

DISCUSSION:

On November 8, 2022, the voters of South El Monte approved Measure CM, which led to the adoption of Ordinance No. 1260. This Ordinance added Chapter 5.26 to Title 5 of the South El Monte Municipal Code (SEMMC) to allow for the permitting and regulation of retail commercial cannabis operation within the City, allowing for the future issuance of a maximum of three retailer commercial cannabis operation permits, and prescribing a detailed application selection process and criteria, permitting requirements, and operational requirements (“Commercial Cannabis Operations Regulatory Program”).

Ordinance No. 1260 also contained provisions permitting the City Council to make

amendments without resubmission to the voters provided that the number of permits cannot be changed. On September 26, 2023, City Council adopted Ordinance No. 1268, amending Chapter 5.26 to Title 5 of the SEMMC.

On March 28, 2024, the City solicited a Request for Proposals (RFP) seeking a cannabis consultant to implement the Commercial Cannabis Operations Regulatory Program. SCI Consulting Group was selected through this RFP process, and on September 10, 2024, the City Council authorized entry into a professional services agreement with SCI Consulting Group.

On February 3, 2026, the City Council introduced Ordinance No. 1288, and determined that Ordinance No. 1288 is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines Section 15061 (b)(3) (Common Sense Exemption). See the staff report from February 3, 2026, attached as Attachment E, regarding the introduction of Ordinance No. 1288. Ordinance No. 1288 is now before the City Council for approval.

Only cannabis retailers issued a valid commercial cannabis operation permit, among other approvals, are allowed to operate in the City. The City has not yet issued any commercial cannabis operation permits.

In order to update SEMMC Chapter 5.26 to align with changes in State law, case law, and other recent developments, the proposed Ordinance would make amendments including but not limited to:
• Application procedure, process, and selection criteria; • Permitting provisions, including term and related administrative items; • Operational requirements.

While the proposed amendments to SEMMC Chapter 5.26 are shown in Attachment B, the amendment to Section 5.26.120(C)(1) shown therein is subject to City Council’s approval of the recommendation by Planning Commission to adopt Zoning Text Amendment (ZTA) 25-01, considered at the February 3, 2026 City Council Meeting as a public hearing, and is before the City Council for approval separate from this item under Agenda Item 7.c.

ATTACHMENT(S):

A. Ordinance No. 1288
B. Draft redlined cannabis ordinance
C. Ordinance 1260
D. Ordinance 1268
E. February 3, 2026 Staff Report for Ordinance No. 1288

ATTACHMENT A
ORDINANCE NO. 1288

AN ORDINANCE OF THE CITY OF SOUTH EL MONTE CITY
COUNCIL AMENDING CHAPTER 5.26 OF TITLE 5 OF THE

SOUTH EL MONTE MUNICIPAL CODE THEREBY

AMENDING THE CITY'S CANNABIS REGULATIONS IN

RELATION TO APPLICATION PROCEDURE AND CRITERIA,

PERMITTING AND OPERATIONAL REQUIREMENTS, AND

MAKE SUCH OTHER CHANGES TO ALIGN WITH LEGAL

DEVELOPMENTS

THE CITY COUNCIL OF THE CITY OF SOUTH EL MONTE HEREBY FINDS, RESOLVES, AND ORDERS AS FOLLOWS:

WHEREAS, on January 1, 2016, a series of bills commonly referred to as Medical Cannabis Regulation and Safety Act (“MCRSA”) became effective which established a comprehensive State licensing and regulatory framework for the cultivation, manufacturing, transportation, testing, and distribution and sale of medical cannabis and which affirmed the authority of local governments to impose additional regulations or to prohibit certain activities related to the cultivation, manufacture, transportation, storage, distribution, delivery, and sale of medical cannabis; and
WHEREAS, on November 8, 2016, California voters approved the Control, Regulate, and Tax Adult Use of Marijuana Act (“AUMA”) legalizing possession, cultivation, and use of cannabis for recreational use by individuals over the age of twenty-one (21), established a State licensing and regulatory framework which made it legal to sell and distribute cannabis through regulated business as of January 1, 2018, and authorized local governments to impose additional regulations or to prohibit certain activities related to adult use cannabis; and WHEREAS, on June 27, 2017, the California Legislature passed Senate Bill 94 which integrated the MCRSA with AUMA to create the Medicinal and Adult-Use Cannabis Regulation and Safety Act (“MAUCRSA”) creating a single regulatory system governing the medical and adult-use cannabis industry in California; and
WHEREAS, the MAUCRSA preserved local control by authorizing local jurisdictions to adopt and enforce local ordinances to exercise control over cannabis-related operations; and WHEREAS, the MAUCRSA provides that a State commercial cannabis license may not be issued to an applicant whose operations would violate the provisions of any local ordinance or regulation; and
WHEREAS, on November 8, 2022, the voters of the City of South El Monte (“City”) adopted Ordinance No. 1260, which added Chapter 5.26 to Title 5 of the South El Monte Municipal Code (“SEMMC”) which authorized and taxes certain cannabis businesses within the City; and
WHEREAS, Section 14 of Ordinance No. 1260 and SEMMC Section 5.26.250 permit the City Council of the City (“City Council”) to amend the voter -approved cannabis regulations, provided that such amendments do not increase the adopted tax rate and, further, do not amend

Ordinance No. 1288

SEMMC Section 5.26.060; and
WHEREAS, on September 26, 2023, the City Council adopted Ordinance No. 1268 amending SEMMC Chapter 5.26; and
WHEREAS, the City Council desires to amend its commercial cannabis operations regulatory program regulations provided in SEMMC Chapter 5.26.

THE CITY COUNCIL OF THE CITY OF SOUTH EL MONTE HEREBY FINDS, RESOLVES, AND ORDERS AS FOLLOWS:

SECTION 1: The recitals set forth above are true and correct incorporated herein by reference.

SECTION 2: Chapter 5.26 is hereby amended in its entirety as provided in Exhibit A of this Ordinance. For the purposes of Exhibit A, strikethroughs represent deletions and underline represent additions. Notwithstanding the foregoing, the amendments to Section 5.26.120(C)(1) depicted in Exhibit A are subject to City Council adoption of Ordinance No. 1287 approving ZTA 25-01.

SECTION 3: If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this Ordinance, or any part thereof is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof, irrespective of the fact that any one or more section, subsection, subdivision, paragraph, sentence, clause or phrase would be subsequently declared invalid or unconstitutional.

SECTION 4: City Council determines that this project is exempt from the California Environmental Quality Act (“CEQA”) pursuant to CEQA Section 15061(b)(3) (common sense exemption), and a Notice of Exemption has been prepared. The exemption applies only to projects where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment.

SECTION 5: The City Clerk is directed to certify to the passage and adoption of this Ordinance and to cause this Ordinance to be posted or published as required by law.

PASSED, APPROVED AND ADOPTED this 3rd day of February 2026. ______________________________
Gloria Olmos, Mayor
ATTEST:
________________________________
Adrian Garcia, MMC, City Clerk

Ordinance No. 1288

STATE OF CALIFORNIA )

COUNTY OF LOS ANGELES ) SS

CITY OF SOUTH EL MONTE )
I, Adrian Garcia, City Clerk of the City of South El Monte, hereby certify that the foregoing Ordinance, being Ordinance No. 1288 was duly introduced and placed upon its first reading at a regular meeting of the City Council on the 3rd day of February 2026, and that thereafter, said Ordinance was duly passed and adopted by the City Council of the City of South El Monte at a regular meeting of said Council held on the 17th day of February 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN: ________________________________
Adrian Garcia City Clerk

EXHIBIT A – AMENDMENTS TO CHAPTER 5.26
CHAPTER 5.26

COMMERCIAL CANNABIS OPERATIONS REGULATORY PROGRAM
§ 5.26.010. Purpose and intent.

A. The purpose of this chapter is to establish a comprehensive set of regulations with an attendant regulatory permit applicable to the operation of certain types of commercial cannabis operations, while simultaneously establishing an express prohibition on certain other types of commercial cannabis operations.

B. The regulations for, and prohibitions on, specific types of commercial cannabis operations are enacted to preserve the public health, safety, and welfare of the residents and visitors of the city, consistent with the state's Compassionate Use Act of 1996, Medical Marijuana Program Act of 2003, Adult Use of Marijuana Act of 2016, MAUCRSA, and all applicable state laws governing commercial cannabis operations.

C. The issuance of a commercial cannabis operation permit shall constitute a revocable privilege and shall not create or establish any vested rights for the development or use of a property.

D. This chapter and any administrative regulations adopted pursuant to this chapter shall be known as the "commercial cannabis operations regulatory program" or the "program." (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.020. Commercial cannabis operation prohibited without city commercial cannabis operation permit.

It is unlawful to own, establish, operate, use, or permit the establishment or activity of a commercial cannabis operation, or to participate in commercial cannabis operations as an employee, contractor, agent, volunteer, or in any manner or capacity, other than as provided in this chapter and pursuant to both a current and valid city commercial cannabis operation permit, as well as the equivalent state license for such commercial cannabis operation as provided for by Section 26050 of the State Business and Professions Code, and as amended from time to time.

The prohibition contained in this section shall include renting, leasing, or otherwise permitting a commercial cannabis operation to occupy or use a location, vehicle, or other mode of transportation. (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.XXX Right to Occupy and Use Property
Prior to the City’s issuance of a commercial cannabis operation permit pursuant to this Chapter, an applicant shall first provide sufficient evidence of the legal right to occupy and use the proposed property for the proposed use, including, without limitation, a lease, sublease, purchase agreement, assignment of purchase agreement, or lease or purchase option, in the name of the applicant, which may include nominal consideration and be contingent upon issuance of a commercial cannabis operation permit or other approvals. The city shall only consider one applicant per property address or county assessor's identification number. In the event that more than one applicant applies for a commercial cannabis operation permit application at a given property address or a given county assessor's identification number, the commercial cannabis operation permit application with the earliest effective date for the evidence of the legal right to use the proposed property for the proposed use in the name of the applicant shall be accepted, and commercial cannabis operation permit

ATTACHMENT B

applications demonstrating any later effective date for the evidence of the legal right to use the proposed property for the proposed use shall be rejected. § 5.26.030. Definitions.

As used in this chapter, the following words and phrases shall have the following meanings. Words and phrases not specifically defined below shall have the meanings ascribed to them elsewhere in this Code or shall otherwise be defined by common usage. For definitions of nouns, the singular shall also include the plural; for definitions of verbs, all verb conjugations shall be included.

Any reference to state statutes include any regulations promulgated thereunder and is deemed to include any successor or amended version of the referenced statute or regulatory provision. "Adult use" (i.e., "recreational" or "nonmedical") refers to activity involving cannabis or cannabis products, which is restricted to adults twenty-one years of age and older and who do not possess a physician's recommendation, in contrast to an activity involving medical cannabis or medical cannabis products.
"Alcohol or drug treatment facility" shall have the same definition as "alcoholism or drug abuse recovery or treatment facility" as defined in Section 11834.02(a) of the State Health and Safety Code, which currently defines the term as "any premises, place, or building that provides residential nonmedical services to adults who are recovering from problems related to alcohol, drug, or alcohol and drug misuse or abuse, and who need alcohol, drug, or alcohol and drug recovery treatment or detoxification services." Further, "alcohol or drug treatment facility" shall also include such a facility that provides treatment for minors to the extent permitted by law. "Applicant" means a person who files an application for a commercial cannabis operation permit under this chapter (and shall not include the owners or the managers of the applicant). "Cannabis" means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. "Cannabis" also means the separated resin, whether crude or purified, obtained from cannabis. "Cannabis" does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted therefrom), fiber, oil, or cake, or the sterilized seed of the plant which is incapable of germination.
"Cannabis concentrate" means cannabis that has undergone a process to concentrate one or more active cannabinoids, thereby increasing the product's potency. Resin from granular trichomes from a cannabis plant is a concentrate for purposes of this chapter. A cannabis concentrate is not considered food, as defined by Section 109935 of the Health and Safety Code, or a drug, as defined by Section 109925 of the Health and Safety Code.
"Cannabis products" means cannabis that has undergone a process whereby the plant material has been transformed into a concentrate, including, but not limited to, concentrated cannabis, or an edible or topical product containing cannabis or concentrated cannabis and other ingredients. "City" means the city of South El Monte, state of California. "City attorney" means the city of South El Monte city attorney, and includes his or her designee(s). "City council" means the city council of the city of South El Monte. "City manager" means the city of South El Monte city manager, and includes his or her designee(s).

"Code" means the city of South El Monte Municipal Code, as may be amended. "Commercial cannabis operation" includes the cultivation, possession, manufacture, distribution, processing, storing, laboratory testing, packaging, labeling, transportation, delivery, or sale (including retail and wholesale, and including medical-only and adult-use sales) of cannabis and cannabis products; except, as applicable, the activities provided in Section 5.26.220(A) or as preempted by state law.
"Commercial cannabis operation permit" shall mean a city permit issued pursuant to the procedures provided for in this chapter allowing the permit holder to operate a specific type of commercial cannabis operation in the city subject to the requirements of this chapter, state law, and the specific permit.
"County" means the county of Los Angeles, state of California. "Cultivation" means any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis.
"Customer" means a natural person twenty-one years of age or over or a natural person eighteen years of age that is a qualified patient or primary caregiver. "Day care center" means, a facility other than a family day care home, infant centers, toddler, preschool, and school age children licensed by the State Department of Social Services pursuant to Section 1596.951 of the State Health and Safety Code other than a family day care home, and includes but is not limited to child day care facilities, child care centers, and preschools serving infants, toddlers, and school age children. Pursuant to the authority delegated by the state to the city under Section 26054(b) of the State Business and Professions Code, this definition of "day care center" under this chapter shall override the definition of "day care center" in MAUCRSA at Section 26001 of the State Business and Professions Code. "Delivery" means the commercial transfer of cannabis or cannabis products to a customer, and includes the use of any technology platform owned and controlled by the same person making such use.
"Director" means the city of South El Monte community development director, and includes his or her designee(s).
"Distribution" means the procurement, sale, and transport of cannabis and cannabis products between entities licensed for and/or engaged in commercial cannabis operations under state law. "Distributor" means a person engaged in distribution.
"Edible" means cannabis product that is intended to be used, in whole or in part, for human consumption, including, but not limited to, chewing gum, but excluding products set forth in Division 15 (commencing with Section 32501) of the Food and Agricultural Code. An edible cannabis product is not considered food, as defined by Section 109935 of the State Health and Safety Code, or a drug, as defined by Section 109925 of the State Health and Safety Code. "Employee" means any person (whether paid or unpaid) who provides regular labor or regular services for a commercial cannabis operation, including, but not limited to, at the location of a commercial cannabis operation. The term "employee" includes managers and owners as used in this chapter.
"Extraction" means the process of obtaining cannabis concentrates from cannabis plants, including, but not limited to, through the use of solvents like butane, alcohol or carbon dioxide. "Finance director" means the city of South El Monte finance director, and includes his or her

designee(s).
"Fire chief" means the Los Angeles County fire department chief, and includes his or her designee(s).
"Gross receipts" means, except as otherwise specifically provided herein, whether designated as a sales price, royalty, rent, commission, dividend, or other designation, the total amount (including all receipts, cash, credits, and property of any kind or nature) received or payable for sales of goods, wares, or merchandise without any deduction therefrom on account of the cost of the property sold, the cost of materials used, labor, or service costs, interest paid or payable, losses, or any other expense whatsoever. However, the following shall be excluded from gross receipts:

1. Cash discounts where allowed and taken on sales;

2. Any tax required by law to be included in or added to the purchase price and collected from the consumer or purchaser;

3. Such part of the sale price of any property returned by purchasers to the seller as refunded by the seller by way of cash or credit allowances or return of refundable deposits previously included in gross receipts;

4. Receipts derived from the occasional sale of used, obsolete or surplus trade fixtures, machinery, or other equipment used by the taxpayer in the regular course of the taxpayer's business;

5. Cash value of sales, trades, or transactions between departments or units of the same business;

6. Whenever there are included within the gross receipts amounts which reflect sales for which credit is extended and such amount proved uncollectible in a given year, those amounts may be excluded from the gross receipts in the year they prove to be uncollectible; provided, however, if the whole or portion of such amounts excluded as uncollectible are subsequently collected, they shall be included in the amount of gross receipts for the period when they are recovered;

7. Receipts of refundable deposits, except that such deposits when forfeited and taken into income of the business shall not be excluded when in excess of one dollar; and

8. Any proceeds resulting from a transfer or change of ownership or control in the business. "Identification card" has the same definition as provided for in Section 11362.7(g) of the State Health and Safety Code, and as may be amended, defined as "a document issued by the [State Department of Health Services] that identifies a person authorized to engage in the medical use of cannabis and the person's designated primary caregiver, if any." "Labeling" means any label or other written, printed, or graphic matter upon cannabis or a cannabis product, upon its container or wrapper, or that accompanies any cannabis or cannabis product. "Labor peace agreement" means an agreement between a cannabis retailer and any bona fide labor organization that, at a minimum, protects the city's proprietary interests by prohibiting labor organizations and members from engaging in picketing, work stoppages, boycotts, and any other economic interference with a permittee or applicantcannabis retailer. This agreement means that the permittee or applicantcannabis retailer has agreed not to disrupt efforts by the bona fide labor organization to communicate with, and attempt to organize and represent the permittee or applicantcannabis retailer's employees. The agreement shall provide a bona fide labor organization

access at reasonable times to areas in which the permittee or applicantcannabis retailer's employees work, for the purpose of meeting with employees to discuss their right to representation, employment rights under state law, and terms and conditions of employment. "Liquid assets" means assets that can be readily converted into cash. "Liquid assets" include, but are not limited to, the following: funds in checking or savings accounts, certificates of deposit, money market accounts, mutual fund shares, publicly traded stocks, and United States savings bonds. "Liquid assets" does not mean household items, furniture and equipment, vehicles, cannabis or cannabis products, business inventory, or real property and improvements thereto. "Location" means any parcel of land, whether vacant or occupied by a building, group of buildings, or accessory buildings, and includes the buildings, structures, yards, open spaces, lot width, and lot area.
"Lighting" means the act of illuminating as well as the effect achieved by the arrangement of lights. "LiveScan" means a system for inkless electronic fingerprinting and the automated background check developed by the California Department of Justice ("DOJ") that involves digitizing fingerprints and electronically transmitting the fingerprint image data along with personal descriptor information to computers at the DOJ for completion of a criminal record check; or such other comparable inkless electronic fingerprinting and automated background check process as determined by the city council.
"Manager" means an employee responsible for management and/or supervision of a commercial cannabis operation, including, but not limited to, any person designated by the permittee to act as the representative or agent of the commercial cannabis operation in managing day-to-day operations with corresponding liabilities and responsibilities, or the person in apparent charge of the premises where the commercial cannabis operation is located. Evidence of management includes, but is not limited to, evidence that the individual has the power to direct, supervise, or hire and dismiss employees, controls hours of operation, create policy rules, or purchase supplies.:
(1) manager or managing member or other officer of a limited liability company; or (2) president, chief executive officer, secretary, treasurer, chief financial officer, or other officer of a for profit corporation.
"Manufacture" or "manufacturing" means to compound, blend, extract, infuse, or otherwise make or prepare a cannabis product; includes the activities of a manufacturer. "Manufacturer" means a person that conducts the production, preparation, propagation, or compounding of cannabis or cannabis products either directly or indirectly or by extraction methods, or independently by means of chemical synthesis, or by a combination of extraction and chemical synthesis at a fixed location that packages or repackages cannabis or cannabis products or labels or relabels its container; includes the activity of manufacturing. "Marijuana" has the same definition as provided for "cannabis" in this chapter. "MAUCRSA" means the State Medicinal and Adult-Use Cannabis Regulation and Safety Act, codified at Section 11018 et seq., of the State Health and Safety Code, Section 26001 et seq., of the State business and Professions Code, Section 34010 of the State Revenue and Tax Code, and Section 81000 et seq., of the State Food and Agriculture Department Code, as may hereinafter be amended.
"Medical" refers to activity involving medical cannabis or medical cannabis products, in contrast to an activity involving adult-use cannabis or adult-use cannabis products. "Medical cannabis" or "medical cannabis product" means cannabis or a cannabis product used in

compliance with state law for medical purposes, pursuant to the Compassionate Use Act (Section 11362.5 of the State Health and Safety Code), the Medical Marijuana Program Act (Section 113262.7 et seq., of the State Health and Safety Code), and the MAUCRSA. "Microbusiness" shall have the same definition as provided for in Section 26070 of the State Business and Professions Code, and as may be amended.
"Minor" means a person under twenty-one years of age.
"Nursery" means a person that produces only clones, immature plants, seeds, and other agricultural products used specifically for the planting, propagation, and cultivation of cannabis. "Operations officer(s)" shall refer to the director, the fire chief, the police chief, the finance director, and the city manager, and their designee(s), individually or collectively. "Owner" means any of the following:

1. A person owning in the aggregate equity interests representing ten percent or more of the voting power of all outstanding equity in the applicant or a commercial permittee;

2. An individual who manages, directs, or controls the operations of the permittee or applicant, including, but not limited to:
a. An individual with the authority to provide strategic direction and oversight for the overall operations of the commercial cannabis business, such as T the president, chief executive officer, secretary, treasurer, or chief financial officer of an nonprofit applicant or permittee;
b. 3. A member of the board of directors of an nonprofit applicant or permittee. c. A general partner of a permittee or applicant that is organized as a partnership. d. A non-member manager or managing member of a permittee or applicant that is organized as a limited liability company.
e. The trustee(s) and all persons who have control of the trust and/or permittee or applicant that is held in trust.
f. An individual with the authority to execute contracts on behalf of the permittee or applicant.

Notwithstanding the above and/or any specifications for disclosure in the application procedures and review criteria adopted pursuant to this Chapter, every applicant and permittee must have at least one individual person designated as an "owner" for the purpose of compliance with this chapter, including the review and evaluation of any commercial cannabis operation permit application.
"Package" means any container or receptacle used for holding cannabis or cannabis products. "Packaging" or "packages" means an activity involved with placing cannabis or cannabis products in a package.
"Park" means public land which has been designated for park or recreational activities, including, but not limited to, a park, playground, nature trails, swimming pool, athletic field, basketball court, tennis court, pedestrian or bicycle paths, beaches, open space, or similar public land within the city or which is under the control, operation or management of the city recreation and parks department. "Park" shall not include any youth center.
"Permittee" means a person issued a commercial cannabis operation permit by the city. "Person" means any individual, firm, co-partnership, joint venture, association, corporation,

limited liability company, estate, trust, business trust, receiver, syndicate, or any other group or combination acting as a unit.
"Person with an identification card" has the same definition as provided for in Section 11362.7(c) of the State Health and Safety Code, and as may be amended, defined as "an individual who is a qualified patient who has applied for and received a valid identification card pursuant to this article."
"Physician's recommendation" means a determination from a physician that a patient's medical cannabis use is deemed appropriate and is recommended by the physician on the basis of the physician has determined that the patient's health would benefit from the use of cannabis in the treatment of cancer, anorexia, AIDS, chronic pain, spasticity, glaucoma, arthritis, migraine, or any other illness for which cannabis provides relief, in strict accordance with Section 11362.5 of the State Health and Safety Code.
"Police chief" means the Los Angeles County sheriff, and includes his or her designee(s). "Police department" means the Los Angeles County sheriff's department. "Premises" means the designated structure or structures and land specified in a commercial cannabis operation permit application that is owned, leased, or otherwise held under the control of the applicant or permittee where commercial cannabis operation will be or is conducted. The premises shall be a contiguous area and shall only be occupied by one permittee. "Primary caregiver" has the same definition as provided for in Section 11362.7(d) of the State Health and Safety Code, and as may be amended, defined as "the individual, designated by a qualified patient or by a person with an identification card, who has consistently assumed responsibility for the housing, health, or safety of that patient or person." A "primary caregiver" shall also meet the requirements of Section 11362.7(e) of the State Health and Safety Code, and as may be amended, which provide that a "primary caregiver shall be at least eighteen years of age, unless the primary caregiver is the parent of a minor child who is a qualified patient or a person with an identification card or the primary caregiver is a person otherwise entitled to make medical decisions under state law pursuant to Section 6922, 7002, 7050, or 7120 of the Family Code." "Qualified patient" has the same definition as provided for in Section 11362.7(f) of the State Health and Safety Code, and as may be amended, defined as "a person who is entitled to the protections of Section 11362.5, but who does not have an identification card issued pursuant to this article." "Religious institution" means any church, synagogue, mosque, temple, or building which is used primarily for religious worship, religious education, and related religious activities. "Residentially zoned property" means any parcel of land located within the city zoned: R-1 (singlefamily residential zone), R-2 (multiple residential zone), or R-3 (multiple residential zone). "Retailer" means a person engaged in the retail sale or delivery of cannabis or cannabis products to a customer. "Retailer" includes "retailer (medical-only)" and "retailer (medical/adult use)." "Retailer (medical-only)" refers to a retailer which is restricted by the terms of its commercial cannabis operation permit to engaging in the retail sale or delivery of medical cannabis or cannabis products as stated in Section 5.26.120(A). "Retailer (medical/adult-use)" refers to a retailer which is not so restricted by the terms of its commercial cannabis operation permit, and which accordingly may engage in the retail sale or delivery of medical or adult-use cannabis or cannabis products to a customer.
"Retail sale(s)" means any commercial cannabis operation involving the retail sale of cannabis or cannabis products from a retailer.

"Sale(s)" means any sale, exchange, or barter or other transaction for any consideration. "School" means as evidenced by the State Department of Education school directory, a public school instructing children in grades kindergarten through grade 12, as authorized by the State Department of Education or a private school instructing children in grades kindergarten through grade 12 that has filed a verification of private school affidavit with the State Department of Education pursuant to Section 33190 of the State Education Code, excluding any private school in which education is primarily conducted in a private home. Pursuant to the authority delegated by the state to the city under Section 26054(b) of the State Business and Professions Code, this definition of "school" under this chapter shall override the definition of "school" used in MAUCRSA or Section 11362.768 of the State Health and Safety Code. "Site" means the premises and actual physical location of a commercial cannabis operation, as well as its accessory structures and parking areas.
"State" means the state of California.
"Testing laboratory" or "testing" refers to a laboratory, facility, or entity that offers or performs tests on cannabis or cannabis products; includes the activity of laboratory testing. "Youth center" means: (1) any public or private facility that is primarily used to host recreational or social activities for minors, such as private youth membership organizations or clubs, social service teenage club facilities; or (2) a park, playground, or recreational area specifically designed to be used by children that may have play equipment installed, including public grounds designed for athletic activities such as baseball, softball, soccer, or basketball or any facility located on a public or private school grounds, or on city, county, or parks. "Youth center" shall not include any private martial arts, yoga, ballet, music, or similar studio of this nature nor shall it include any private athletic training facility, pizza parlor, restaurant, video arcade, dentist office, or doctor's office primarily serving children. Pursuant to the authority delegated by the state to the city under Section 26054(b) of the State Business and Professions Code, this definition of "youth center" under this chapter shall override the definition of "youth center" in MAUCRSA at Section 26001 of the State Business and Professions Code.
(Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.040. Prohibited commercial cannabis operations.

A. Unless otherwise provided by California law, including without limitation as required by the Medicinal Cannabis Patients’ Right of Access Act (Business and Professions Code Sections 26321, et seq.), cCommercial cannabis operations (including nonprofit operations) within the city that involve the activities of non-storefront retailer (whether medical-only or medical/adult-use), cultivation, manufacturer, testing, distribution, or microbusiness are prohibited, including, but not limited to, commercial cannabis operations licensed by the state in the license classifications listed below as provided in Section 26050 of the State Business and Professions Code:

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

2. Type 1A = Cultivation; Specialty Indoor; Small.

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

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

5. Type 2 = Cultivation; Outdoor; Small.

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

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

8. Type 3 = Cultivation; Outdoor; Medium.

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

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

11. Type 4 = Cultivation; Nursery.

12. Type 5 = Cultivation; Outdoor; Large.

13. Type 5A = Cultivation; Indoor; Large.

14. Type 5B = Cultivation; Mixed-Light; Large.

15. Type 6 = Manufacturer 1.

16. Type 7 = Manufacturer 2.

17. Type 8 = Testing.

18. Type 9 = Non-Storefront Retailer (Delivery Only).

19. Type 11 = Distributor.

20. Type 12 = Microbusiness.

B. The prohibition provided by above subsection A includes any similar activities authorized under new or revised state licenses, or any other state authorization, to allow any type, category or classification of cannabis commercial operations that involve the activities of nonstorefront retailer (Type 9, i.e., delivery only) (whether medical-only or medical/adult- use), cultivation, manufacturer, testing, distribution, microbusiness, or similar operations (including nonprofit, collective or cooperative operations). (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.050. Permitted commercial cannabis operations.

A. Unless otherwise provided by California law, including without limitation as required by the Medicinal Cannabis Patients’ Right of Access Act (Business and Professions Code Sections 26321, et seq.), cCommercial cannabis operations (including nonprofit operations) within the city which involve the activity of retailer (Type 10: medical-only and medical/adult-use) are allowed subject to issuance and maintenance of a valid and current city commercial cannabis operation permit, continuing adherence to this entire chapter and all applicable city and state regulations and laws, and issuance and maintenance of a valid and current equivalent state license type listed below, as provided for in Section 26050 of the State Business and Professions Code:

1. Type 10 = Retailer (Medical-Only; Medical/Adult-Use).

B. The requirements provided by above subsection A apply to any similar activities authorized under new or revised state licenses, or any other state authorization, to allow any type, category or classification of cannabis commercial operations that involve the activity of retailer (medical-only and medical/adult-use) or similar operations (including nonprofit,

collective or cooperative operations).
(Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.060. Maximum number of commercial cannabis operation permits.

A. The number of commercial cannabis operation permits for retailer (medical/adult-use) commercial cannabis operations based within the city shall be no more than one.

B. Notwithstanding subsection A of this section, if the city council opts, in its sole discretion, to reinstitute the application procedure after the first year following the operative date of this chapter pursuant to Section 5.26.070(H), then two additional retailer (medical/adult-use) commercial cannabis operation permits may be issued such that the maximum number of commercial cannabis operation permits for retailer (medical/adult-use) commercial cannabis operations based within the city shall be increased to no more than three retailers (medical/ adult-use).

C. The number of commercial cannabis operation permits for non-storefront retailer (delivery only) (whether medical-only or medical/adult-use) (including retailers or microbusinesses engaged in delivery) commercial cannabis operations based outside the city to engage in delivery within the city shall be zero. However, should a court of competent jurisdiction, as a judicial remedy, order the city council to increase the maximum number of commercial cannabis operation permits for non-storefront retailer (delivery only) (including retailers or microbusinesses engaged in delivery) commercial cannabis operations based outside the city to engage in delivery within the city, the number of commercial cannabis operation permits for non-storefront retailer (delivery only) (including retailers or microbusinesses engaged in delivery) commercial cannabis operations based outside the city to engage in delivery within the city shall be no more than two.

D. The maximum number of commercial cannabis operation permits issued for retailer (including medical-only and medical/adult use retailer, individually and collectively) commercial cannabis operations based within the city or non-storefront retailer (delivery only) (including retailers or microbusinesses engaged in delivery) based outside the city may not be amended by the city council or regulations promulgated by the city manager pursuant to this chapter. However, the city council may and shall increase the maximum number of commercial cannabis operation permits issued for retailer commercial cannabis operations based within the city or non-storefront retailer (delivery only) (including retailers or microbusinesses engaged in delivery) based outside the city: (1) if ordered to do so by a court of competent jurisdiction as a judicial remedy; or (2) by a vote of the people of the city. (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.070. Commercial cannabis operation permit application procedure.

A. By resolution, the City Council may adopt procedures and review criteria for the City's evaluation of commercial cannabis operation permit applications. A commercial cannabis operation permit application shall be required prior to review and approval of any land use entitlement, business license or other City authorization.

B. The procedures shall provide the process for soliciting commercial cannabis operation permit applications including time frames, limitations, forms, and rules for completing applications.

C. The review criteria shall include detailed instructions on the methodology to be used to evaluate applications on a point, or other evaluation system, tied to particular sets of criteria.

D. The scoring on review criteria shall be used to determine which candidates will be eligible to proceed to the final selection process as determined by City Council resolution.

E. The City Manager or designee shall be authorized to prepare any necessary forms and adopt any necessary rules to implement the procedures guidelines and review criteria.

F. The City reserves the right to reject any or all applications for a commercial cannabis operation permit, to issue less than the maximum number of commercial cannabis operation permit, and/or to issue no commercial cannabis operation permits. The City reserves the right to suspend, cancel, postpone, or modify any request for applications, at any time, without liability, obligation, or commitment to any applicant, person, party, entity, individual, firm, organization, or similar, to the maximum extent permitted under law. Persons submitting applications do so at their sole risk and assume the risk that all or any part of the City’s commercial cannabis operation permit program, or any particular category of permit potentially authorized under this chapter, may be cancelled at any time prior to issuance. The City reserves the right to request and obtain additional information from any person submitting an application. In addition to a failure to comply with the requirements of this chapter and/or of any procedure and review criteria adopted by resolution of City Council, an application may be rejected for reasons including but not limited to the following: (i) receipt after the designated time and date of the deadline; (ii) failure to respond to the criteria or format of the process requirements set by Council resolution.

G. Reserved.

H. Per Section 5.26.060(B), City Council may, by resolution or minute action, reinstate the application procedure.

A. Following the effective date of this chapter, the city manager, pursuant to Section 5.26.140, shall, as a ministerial duty, make available the necessary forms, adopt any necessary application rules for the submission, intake, review, and approval of applications for retailer (medical-only and medical/adult-use) commercial cannabis operations up to the maximum number of commercial cannabis operation permits authorized in Section 5.26.060.

B. The city manager shall, as a ministerial duty, cease acceptance of commercial cannabis operation permit applications for retailer (medical-only and medical/adult-use) commercial cannabis operations thirty days after making available the necessary forms and adopting any necessary application rules for the submission, intake, review, and approval of commercial cannabis operation permit applications for retailer (medical-only and medical/adult-use) commercial cannabis operations.

C. Within thirty days of ceasing the acceptance of commercial cannabis operation permit applications for retailer (medical-only and medical/adult-use) commercial cannabis operations, the city manager shall, as a ministerial duty, review timely submitted commercial cannabis operation permit applications for retailer (medical-only and medical/adult-use) commercial cannabis operations for the following minimum requirements:

1. Payment of an application fee established by resolution of the city council to cover all costs incurred by the city in the application process;

2. Sufficient evidence of the legal right to use the proposed property for the proposed use, including, without limitation, a lease, sublease, purchase agreement, assignment of purchase agreement, or lease or purchase option, in the name of the applicant, which may include nominal consideration and be contingent upon issuance of a commercial cannabis operation permit or other approvals. The city shall only consider one applicant per property address or county assessor's identification number. In the event that more than one applicant applies for a commercial cannabis operation permit application at a

given property address or a given county assessor's identification number, the city manager shall, as a ministerial duty, only accept the commercial cannabis operation permit application with the earliest effective date for the evidence of the legal right to use the proposed property for the proposed use in the name of the applicant;

3. Sufficient evidence to demonstrate that the proposed property complies with the location and zoning requirements in Section 5.26.120;

4. Proof that an owner or owners of the applicant with an aggregate ownership interest of fifty percent or more has served as an owner or owners with an aggregate ownership interest of fifty percent or more of six or more other retailer (medical-only or medical/ adult-use) commercial cannabis operations by a city, county, or state since at least January 1, 2022;

5. Proof of funds showing that the applicant has access and control of over five hundred thousand dollars in liquid assets (which such liquid assets having been under possession for at least ninety days prior to the date of the application submission under this section), which may be shown via a binding legal agreement in the name of the applicant such as a promissory note so long as said legal agreement is accompanied by a proof of funds in the name of a party to the agreement that demonstrates access and control of over five hundred thousand dollars in liquid assets under possession for at least ninety days prior to the date of the application submission under this section. Applicants and permittees shall not be required to show that the applicant or permittee has access and control of over five hundred thousand dollars in liquid assets except on initial application pursuant to this Section 5.26.070, a change in location application pursuant to Section 5.26.100, or an ownership transfer application pursuant to Section 5.26.100;

6. For an applicant with two or more employees, proof of a labor peace agreement between a bona fide labor organization and the applicant (the applicant shall provide the city with a copy of the labor peace agreement that contains the signatures of the union representative and the cannabis business). For applicants with less than two employees who have not yet entered into a labor peace agreement, the applicant shall provide a notarized statement indicating that the applicant will enter into and abide by the terms of a labor peace agreement within thirty days after employing two employees;

7. A set of plans, including a site development plan, floor plan(s), building elevations (all four sides), and a conceptual landscape plan with the percentage of landscaping in the parking lot, setback areas, and tree size and species;

8. Colored interior and elevation renderings;

9. A completed background check application and receipt for each owner and manager of the applicant pursuant to Section 5.26.110(H);

10. The following application components: (a) qualifications of the applicant's owners and managers, (b) business and operations plan, (c) security plan, (d) safety plan, (e) neighborhood compatibility plan, (f) labor and employment plan, and (g) community benefits plan; and

11. Disclosure of whether the applicant is applying for a commercial cannabis operation permit as a retailer (medical-only) or retailer (medical/adult-use).

The city manager shall, as a ministerial duty, reject any commercial cannabis operation permit application that fails to meet the minimum requirements contained in this subsection C, and applicants shall not have the right to supplement or amend their commercial cannabis operation permit applications.

D. Within sixty days of completing the application review under subsection C above, the city manager shall, as a ministerial duty, review and score any complete applications pursuant to the following objective review criteria according to the following quantitative evaluation scale, with retailer (medical-only) applicants ranked only against other retailer (medicalonly) applicants and retailer (medical/adult-use) applicants ranked only against other retailer (medical/adult-use) applicants unless otherwise provided by administrative regulations promulgated pursuant to Section 5.26.140:

1. Qualifications of the Applicant's Owners and Managers—Two Hundred Fifty Points.

The people of the city find that a proven track-record of for retailer commercial cannabis operations that successfully generate tax revenue carries out the purpose and intent of the program and are, therefore, critical for an applicant to demonstrate the qualifications of the applicant's owners and managers. Accordingly, one hundred fifty of the two hundred fifty points awardable under this subsection shall only be awarded, as a ministerial duty, if an owner or owners of the applicant with an aggregate ownership interest of fifty percent or more is currently at the time of application submission under this section an owner or owners with an aggregate ownership interest of fifty percent or more of a single licensed and lawfully operating retailer commercial cannabis operations (excluding any non-retailer microbusiness, cultivation, manufacturing, distribution, or other nonretailer commercial cannabis operation components) that has generated at least five million dollars in gross receipts in a consecutive six-month period in the year immediately preceding the date of the application submission under this section, as demonstrated by tax payment receipts from, tax filings to, or tax returns filed with a city, county, or state.

The remaining one hundred of the two hundred fifty points awardable under this subsection shall be awarded, as a ministerial duty, pursuant to the following objective criteria:
a. Up to fifty points—A description of the applicant's owner and manager qualifications detailing any special business or professional qualifications or licenses of the applicant's owner and manager that would add to the quality of services that the retailer commercial cannabis operation would provide, including in areas related to cannabis, such as legal, finance, business ownership/ administration, waste management, real estate development, scientific, or healthcare or wellness fields.
b. Up to fifty points—Documentation that the applicant's owners and managers have experience operating retailer commercial cannabis operations in any jurisdiction where retailer commercial cannabis operations are permitted.

2. Plans, Renderings, and Overall Location—Fifty Points. The fifty points awardable under this subsection shall be awarded, as a ministerial duty, pursuant to the following objective criteria:
a. Up to ten points—A premises diagram in accordance with Section 5006 of Division

42 of Title 16 of the State Code of Regulations.
b. Up to ten points—A site development plan that provides information on existing conditions and proposed improvements to the site and how it meets or will meet the development standards outlined in this Code. Information on existing conditions shall include:
i. Exterior photographs showing all sides of any existing structure(s); ii. Photographs of existing parking areas, landscaping, trash enclosure, and signage;
iii. Information on existing use on the site, including the addresses, uses, and square footages;
iv. Photographs of the existing site if the site is vacant; and v. Photographs of adjacent properties for context.
c. Up to ten points—A floor plan showing information on the existing layout and proposed layout of the building interior.
d. Up to ten points—Building elevations that provide information on existing conditions and proposed improvements.
e. Up to five points—A conceptual landscape plan with the percentage of landscaping in the parking lot, setback areas, and tree size and species. f. Up to five points—Colored interior renderings and exterior elevation renderings (for both existing and/or proposed improvements).

3. Business and Operations Plan—One Hundred Points. The one hundred points awardable under this subsection shall be awarded, as a ministerial duty, pursuant to the following objective criteria:
a. Up to ten points—A written description of the total square footage of the facility with estimated square footage of proposed uses.
b. Up to ten points—A schedule for beginning operations, including a narrative outlining any proposed construction improvements and a timeline for completion. c. Up to ten points—A budget for construction, operation, maintenance, compensation of employees, equipment costs, utility costs, and other operating costs.
d. Up to five points—A description of the sources(s) of capital and use(s) of capital. e. Up to ten points—Pro forma financial statements for at least three years of operation.
f. Up to five points—A description of the type of products to be sold and the estimated quantity and value of product(s) to be sold.
g. Up to five points—A description of marketing procedures and tactics. h. Up to ten points—A description of day-to-day operations that should acknowledge

both state and local laws and should be consistent with industry best practices. i. Up to five points—A description of hours of operation and opening procedures. j. Up to ten points—A description of cash handling procedures. k. Up to ten points—A description of inventory control procedures to include identification of point-of-sale systems, and track and trace software. l. Up to ten points—A description of transportation, loading and unloading, distribution, or delivery procedures.

4. Security Plan—One Hundred Points. The one hundred points awardable under this subsection shall be awarded, as a ministerial duty, pursuant to the following objective criteria:
a. Up to twenty points—The security plan shall be prepared by a professional security consultant.
b. Up to ten points—A premises security diagram.
c. Up to fifty points—A description of access control, inventory control, cash handling, and other security procedures and security equipment demonstrating compliance with the security requirements under this chapter. d. Up to ten points—A description of the intrusion alarm and monitoring system including the name and contact information for the monitoring company. e. Up to ten points—A description of the services of on-site security guards to include the: (i) number of security guards; (ii) hours security guards will be on site; (iii) locations where security will be positioned; and (iv) security guard responsibilities.

5. Safety Plan—One Hundred Points. The one hundred points awardable under this subsection shall be awarded, as a ministerial duty, pursuant to the following objective criteria:
a. Up to twenty points—The safety plan shall be prepared by a professional fire prevention and suppression consultant.
b. Up to ten points—A premises safety diagram to include: (i) a description/ illustration of evacuation routes; and (ii) location of fire extinguishers and other fire suppression equipment.
c. Up to fifty points—A description of safety procedures, training for emergency situations, and safety equipment demonstrating compliance with the safety requirements under this chapter.
d. Up to ten points—Identify all gases, pesticides, and chemicals to be used and their storage locations.
e. Up to ten points—A description of the firm alarm and monitoring system including the name and contact information for the monitoring company.

6. Neighborhood Compatibility Plan—One Hundred Points. The one hundred points awardable under this subsection shall be awarded, as a ministerial duty, pursuant to the

following objective criteria:
a. Up to forty points—A "Good Neighbor Policy" that: (i) includes policies and measures in place to protect adjacent uses from any potential impacts (e.g., noise, light, odor, traffic, etc.) related to the proposed cannabis business; and (ii) describes how the cannabis business and its operating characteristics will be proactively managed so the business is not detrimental to the public health, safety, convenience, or welfare of persons residing, working, visiting, or recreating in the surrounding area and will not result in the creation of a nuisance. b. Up to twenty points—A description of odor mitigation practices to include: (i) identifying potential sources of odor; (ii) a description of odor control devices and techniques employed to ensure that odors from cannabis are not detectable beyond the permitted premises; and (iii) all proposed staff odor training and system maintenance.
c. Up to twenty points—A description of a waste management plan that includes waste disposal locations within the proposed premises and the applicant's security measures and methods of rendering waste unusable and unrecognizable. d. Up to twenty points—A description of efforts at sustainability/environmental impact mitigation.

7. Community Benefits Plan—Three Hundred Fifty Points. The people of the city find that monetary donations to local nonprofit organizations, financial support of city sponsored activities or organizations, in kind donations to the city or other charitable organizations, and economic incentives to the city, carry out the purpose and intent of the program and are, therefore, critical for an applicant to demonstrate an effective community benefits plan.

Accordingly, two hundred of the three hundred fifty points awardable under this subsection shall only be awarded if the applicant pledges to voluntarily provide a public benefit to a public use (or a combination thereof), which is defined as a direct financial contribution equal to two percent of projected gross receipts of the applicant to a public school located within the city, a public park located within the city, and/or a public or nonprofit community organization serving the city or its residents. Beyond the above and as a ministerial duty, no further direct financial contributions shall be considered as part of an applicant's community benefits plan.

The remaining one hundred fifty of the three hundred fifty points awardable under this subsection shall be awarded, as a ministerial duty, pursuant to the following objective criteria:
a. Up to fifty points—A description of a social responsibility plan to include identification of a community liaison, plans to serve as a social equity business incubator, plans to aide and participate in the work of local nonprofits, communitybased organizations, civic organizations, or social services organizations. b. Up to fifty points—A description of a plan to develop a public health outreach and educational program that outlines the risks of youth use of cannabis and that identifies resources available to youth related to drugs and drug addiction. c. Up to fifty points—A proposal and description of any community benefits agreement proposed by the applicant pursuant to Section 5.26.130.

8. Labor and Employment Plan—Two Hundred Points. The people of the city find that a proven track-record of cannabis retailer operations with high labor standards and

commitment to labor peace carries out the purpose and intent of the program and are, therefore, critical for an applicant to demonstrate an effective labor and employment plan. Accordingly, one hundred of the two hundred points awardable under this subsection shall only be awarded if the applicant provides documentation that the individual or natural person owner or owners of the applicant (disregarding any intervening or intermediary entity owner or owners of the applicant) with an aggregate ownership interest of fifty percent or more have entered into collective bargaining agreements with a labor organization that currently represents cannabis workers in the United States effective since at least July 1, 2021, inclusive of renewals (and remaining effective, inclusive of renewals, on the date of the application submission under this section) and such collective bargaining agreements accrete or automatically apply to all cannabis retailers permitted or licensed in the state after July 1, 2021 (notwithstanding the fact that employees of such cannabis retailers permitted or licensed in the state after July 1, 2021 (if any), have yet to have had an opportunity to recognize the labor organization that currently represents cannabis workers in the United States), by the individual or natural person owner or owners of the applicant (disregarding any intervening or intermediary entity owner or owners of the applicant) with an aggregate ownership interest of ninety percent or more referenced above.

The remaining one hundred of the two hundred points awardable under this subsection shall be awarded, as a ministerial duty, pursuant to the following objective criteria:
a. Up to ten points—An organizational chart of showing owners, managers, and employees.
b. Up to ten points—A description of the owner's and manager's roles in day-to-day operations and decisions.
c. Up to ten points—A description of the number of employees, title/position, and their respective responsibilities.
d. Up to fifteen points—A description of compensation to employees, opportunities for continuing education, and employee training.
e. Up to fifteen points—A description of whether the cannabis business is committed to offering employees a living wage.
f. Up to fifteen points—A description of benefits provided to employees such as health care, vacation, and medical leave, to the degree they are offered as part of employment.
g. Up to fifteen points—A description of a plan to recruit employees from socially and economically disadvantaged backgrounds.
h. Up to ten points—A description of a plan to have at least fifty percent of employee positions filled and hours worked by employees residing in the city.

E. Upon timely receipt of a commercial cannabis operation permit application, the city manager shall conduct background checks in accordance with Section 5.26.110(H). Following review and scoring of applications completed pursuant to objective review criteria under subsection D, the city manager shall, as a ministerial duty, recommend that the city council issue commercial cannabis operation permits to applicants in order of their rank under subsection D up to the maximum number of commercial cannabis operation permits authorized in

Section 5.26.060. The city council shall consider the city manager's recommendations, and may conduct its own independent review and scoring of applications completed pursuant to objective review criteria under subsection D and substitute such review and scoring for that of the city manager in whole or in part if it sees fit to do so, and shall thereupon, as a ministerial duty, issue commercial cannabis operation permits to applicants in order of their rank under subsection D up to the maximum number of commercial cannabis operation permits authorized in Section 5.26.060. For the initial iteration of the application process pursuant to this section, the number of commercial cannabis operation permits issued shall be no more than the maximum number of commercial cannabis operation permits authorized in Section 5.26.060(A). In the event of a tie in the order of ranking under subsection D between one or more applicants up to the maximum number of commercial cannabis operation permits authorized in Section 5.26.060, the city council shall, as a ministerial duty, break the tie and issue commercial cannabis operation permits to the applicants with the highest scoring application component in the following order: (1) qualifications of the applicant's owners and managers; (2) community benefits plan; (3) labor and employment plan; (4) security plan; (5) safety plan; (6) neighborhood compatibility plan; (7) business and operations plan; and (8) plans, renderings, and overall location. In the event of a tie on all application components between one or more applicants up to the maximum number of commercial cannabis operation permits authorized in Section 5.26.060, the city manager shall arrange for the tied applicants to provide public presentations before the city council, after which the city council shall publicly rank the applicants pursuant to ranking sheets prepared by the city manager that achieve a forced ranking based on all of the objective review criteria and quantitative evaluation scale in subsection D, and the city council shall issue commercial cannabis operation permits to applicants in order of their rank up to the maximum number of commercial cannabis operation permits available following the city manager's/city council's original ranking and issuance of commercial cannabis operation permits and the limits contained in Section 5.26.060. However, the city council shall not issue a commercial cannabis operation permit to any applicant with an applicant, owner, or manager that:

1. Provided false or misleading information on the applicant's commercial cannabis operation permit application;

2. Has been convicted of (or pled no contest to) "an offense that is substantially related to the qualifications, functions, or duties of the business or profession for which the application is made" as that term is defined in Section 26057(b)(4) of the State Business and Professions Code; or

3. Has been sanctioned by a licensing authority or a city, county, or state for unlicensed commercial cannabis operations or has had a license suspended or revoked under MAUCRSA in the three years immediately preceding the date the application was submitted.

F. Any decision of the city council under this section shall be a final administrative decision not subject to administrative appeal under any provisions of this chapter or any provisions of this Code but, rather, subject to judicial review and remedies.

G. In the event that: (1) the number of issued commercial cannabis operation permits falls below the maximum number of commercial cannabis operation permits for retailer (medical-only or medical/adult-use) commercial cannabis operations authorized in Section 5.26.060; or (2) the city council is ordered to increase the maximum number of commercial cannabis operation permits issued for retailer (medicalonly or medical/adult-use) commercial cannabis operations by a court of competent jurisdiction as a judicial remedy (e.g., if a court of competent jurisdiction orders the city council to make commercial cannabis operation permits available

for non-storefront retailer (delivery only) (including retailers or micro- businesses engaged in delivery) commercial cannabis operations based outside the city to engage in delivery within the city), the city manager shall, as a ministerial duty, within thirty days reinstitute the application procedure under this section, subject to the maximum number of commercial cannabis operation permits authorized and available for issuance pursuant to Section

5.26.060. However, if the city council determines to not issue any permits pursuant to Section

5.26.070(I), then the city manager shall not be required to reinstitute the application procedure provided herein unless directed to do so by a majority of the city council.

H. Additionally, pursuant to Section 5.26.060(B), at any time after the first year following the operative date of this chapter, the city council may, by resolution or minute action, reinstitute the application procedure under this section for the purpose of considering issuance of one additional retailer (medical/adult-use) commercial cannabis operation permits up to the maximum provided in Section 5.26.060.

I. Notwithstanding anything to the contrary in this chapter, the city council is not required or obligated to issue any commercial cannabis operation permits to any applicants pursuant to this chapter if the city council determines that the issuance of such permits would be detrimental to the public health and safety.
(Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.080. Limitations on the city's liability.

To the fullest extent permitted by law, the city shall not assume any liability whatsoever with respect to having issued or having failed to issue a commercial cannabis operation permit pursuant to this chapter or otherwise approving or rejecting any retailer commercial cannabis operation and/or commercial cannabis operation permit application. As a condition to the submittal of a commercial cannabis operation permit application and/or the approval of any commercial cannabis operation permit, the applicant shall be required to meet all of the following conditions before they can receive a commercial cannabis operation permit:

A. Execution of an agreement, in a form approved by the city attorney, agreeing to indemnify, defend (at applicant's sole cost and expense), and hold the city, and its officers, officials, employees, representatives, and agents harmless, to the fullest extent permitted by law, from any and all claims, losses, damages, injuries, liabilities, or losses which arise out of or which are in any way related to the city's issuance of the commercial cannabis operation permit or any associated land use entitlements, the city's decision to approve, allow, prohibit, or deny anythe retailer commercial cannabis operation, any commercial cannabis operation permit or associated land use entitlement, the process used by the city in making its decisions including but not limited to any decision to issue, approve, deny, suspend, revoke, or impose conditions on a commercial cannabis operation permit, any enforcement of conditions of the commercial cannabis operations permit, the City’s drafting, adoption, and passage of any ordinances, resolutions, rules, policies, and/or amendments thereto, or the alleged violation of any federal, state, or local laws by the retailer commercial cannabis operation or any of its owners, managers, officers, employees, or agents, and to reimburse the City for all associated fees, costs, and expenses incurred by the City, including but not limited to, attorney fees and costs and court costs.

B. Maintain insurance at coverage limits and with conditions thereon determined necessary and appropriate from time to time by the city attorney.

C. Agree to dDefend and indemnify, to the fullest extent permitted by law, the city, its elected

and appointed officials, employees and attorneys for all costs and expenses, including, but not limited to, attorneys' fees and court costs, that the city may be required to pay as a result of any legal challenge related to the city's approval of the applicant's commercial cannabis operation permit, any matter arising from the commercial cannabis operations in the Cityoperations of said cannabis business and/or related to the city's approval or denial of retailer commercial cannabis operations and/or commercial cannabis operations permit, including but not limited to any appeals of commercial cannabis operation permit or land use entitlement permit licensing processes or decisions including but not limited to the issuance, denial, revocation, or suspension thereof or imposition of conditions thereon, any enforcement of conditions of the commercial cannabis operations permit, the City’s drafting, adoption, and passage of any ordinances, resolutions, rules, policies, and/or amendments thereto. The city, at its sole discretion, may participate at its own expense in the defense of any such action, but such participation shall neither relieve nor increase any of the obligations imposed on the applicant hereunder.

D. Provides written authorization to the operations officers to conduct reasonable unannounced inspections of the sitelocation of the commercial cannabis operation at the reasonable discretion of the city, including, but not limited to, inspection of security, inventory, and written records and files pertaining to the commercial cannabis operation, for the purposes of ensuring compliance with this chapter and all laws of the city and the state. (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.090. Commercial cannabis operation permit term., renewal.

A. Subject to this section and Section 5.26.160, the term of each commercial cannabis operation permit shall be indefinite one year from the date of issuance, unless sooner revoked. Commercial cannabis operation permits may be renewed annually as set forth in this Section 5.02.090.

B. Upon the one-year anniversary of the date of issuance for each commercial cannabis operation permit and every year thereafter, or at any time as set forth in Sections 5.26.080(D) and

5.26.110(D), the city manager and/or operations officers shallmay conduct a performance review of the permittee to assess compliance with the requirements of this chapter and state law. Within thirty days of the conclusion of the annual performance review of the permittee, the city manager shall and may issue a letter of compliance or noncompliance outlining all items to be corrected to ensure full compliance, which shall include deadlines for completion of such items. The city manager may revise such deadlines if he or she determines that additional time is needed to complete such items.

C. The permittee shall pay a fee in an amount to be set by the city council via resolution to cover the costs of conducting the performance review, together with any costs incurred by the city to administer the program created under this chapter.

D. An application for renewal of a commercial cannabis operation permit shall be filed at least 60, but no more than 120 calendar days prior to expiration, unless a different time period is set forth by the City Manager.

E. The application for renewal shall be submitted on a form issued or approved by the City Manager.

F. At the time of filing the application for renewal, the applicant shall pay a fee in an amount established by resolution of the City Council. Any applicant submitting an application less than 60 days before its expiration shall be required to pay a late renewal application fee, as established by resolution of the City Council.

G. An application for renewal of a commercial cannabis operation permit may be rejected if any of the following exists:

1. Any grounds for suspension or revocation of the commercial cannabis operation permit under Section 5.26.160;

2. The commercial cannabis operation permit has been suspended or revoked at the time of the application for renewal;

3. The permittee has not been in regular and continuous operation for a minimum of 30 consecutive days prior to the submittal or consideration of renewal application.

4. The permittee fails to or is unable to renew its Cannabis State License, or otherwise does not have an active Type 10, inclusive of suspension or revocation, or similar State license authorizing the permittee to engage in retail commercial cannabis operations.

5. The permittee has made a material false, misleading or fraudulent statement or omission of fact as to any information provided to City pursuant to the South El Monte Municipal Code or the initial selection and award process that was later discovered.

6. The City Manager or designee(s) are authorized to make all decisions concerning the renewal of a commercial cannabis operation permit. In making the decision, the City Manager or designee(s) are authorized to impose additional conditions to the renewal of a permit, if it is determined to be necessary to ensure compliance with State or local laws and regulations or to preserve the public health, safety, or welfare.

7. If a permittee submits the required renewal application within the time periods specified in subsections (D) and (F) of this Section, but a written decision from the City has not been received prior to the expiration of the commercial cannabis operation permit, such permit shall be deemed conditionally renewed until issuance of a written decision on the renewal application.

8. Appeals from the decision of the City Manager shall be conducted as set forth in Section 5.26.170 and shall be subject to a fee as established by resolution of the City Council.
(Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.100. Change in location—Transfer—Updated application information.

A. A commercial cannabis operation permit issued under this Chapter is valid only as to the premises identified in and approved by the commercial cannabis operation permit and is therefore nontransferable to other locations or premises except as authorized in this section.

NoA permittee may change the premisesbusiness location specified in a commercial cannabis operation permit until any such change in premises is first approved by the City Manager. A permittee seeking to change the premises of its commercial cannabis operation shall be required to submitupon submission and approval of a change in location application promulgated, as a ministerial duty, by the city manager pursuant to regulations adopted under Section 5.26.140, and any further documentation requested by the City Manager in its sole and absolute discretion. The permittee shall pay an application fee established by resolution of the city council to cover all costs incurred by the city in the review and processing of change in location applications. The city manager shall review the proposed change in

location application for requirements including but not limited to compliance of the new premises with all applicable requirements of this Code, including but not limited to Section

5.26.120(C).process such change in location applications as a ministerial duty within thirty days of receipt.

B. An owner of a commercial cannabis operation permit shall not transfer fifty percent (50%) or more of ownership or control of such commercial cannabis operation permit to another person unless and until the permittee and transferee obtain an amendment to the commercial cannabis operation permit that is approved by the City Managercity council upon recommendation from the city manager stating that the permit may be transferred. A permittee seeking to may change fifty percent (50%) or greater of the ownership specified in a commercial cannabis operation permit shall be required to upon submitssion and approval of a change in ownership application promulgated, as a ministerial duty, by the city manager pursuant to regulations adopted under Section 5.26.140. The permittee shall pay an application fee established by resolution of the city council to cover all costs incurred by the city in the review and processing of change in ownership applications. The city manager shall reviewprocess such change in ownership applications for requirements including but not limited to: toas a ministerial duty within thirty days once the city manager reasonably determines that the transferee passed the background check required for owners, the transferee is not prohibited from holding a commercial cannabis operation permit or employment with a permittee pursuant to Section 5.26.110(H), and meets all other requirements of this chapter.

C. The existing permittee may conduct business under the existing commercial cannabis operation permit while the city manager reviews the change of ownership application. Denial of a change of ownership application does not result in revocation of the existing commercial cannabis operation permit. Notwithstanding subsection B, during the first three years following the issuance of a commercial cannabis operation permit, the city manager shall not process any application to change the ownership or control of a commercial cannabis operation permit that results in the permittee altering its ownership composition in a manner that would result in the permittee not being entitled to points it was awarded when the permittee was an applicant pursuant to Section 5.26.070. For example, if a permittee received one hundred points when it was an applicant for providing documentation that the individual or natural person owner or owners of the applicant (disregarding any intervening or intermediary entity owner or owners of the applicant) with an aggregate ownership interest of ninety percent or more have entered into a collective bargaining agreement with a labor organization that currently represents cannabis workers in the United States effective since at least July 1, 2021, inclusive of renewals (and remaining effective, inclusive of renewals, on the date of the application submission under this section), the city manager shall not process or authorize any change in ownership or control of the permittee if the change would result in the permittee being unable to continue to satisfy the aforementioned criteria subsequent to its approval.

D. Notwithstanding subsection B, no commercial cannabis operation permit may be transferred when the city manager has notified the permittee that its commercial cannabis operation permit has been or may be suspended or revoked.

E. Any attempt to transfer a commercial cannabis operation permit either directly or indirectly in violation of this section is hereby declared void, and such an unpermitted transfer shall be deemed a ground for revocation of the permit.

F. An applicant or permittee shall notify the city manager or designee(s) within fifteen calendar days of any change in the information provided in the applicant or permittee's commercial cannabis operation permit application or any change in status of compliance with the

provisions of this chapter, including any change in ownership or management of less than fifty percent (50%). Any new owners, managers, or employees shall be required to undergo a background check and not be prohibited from holding a commercial cannabis operation permit or employment with a permittee pursuant to Section 5.26.110(H). (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.110. General operating standards and restrictions.

A commercial cannabis operation shall operate in conformance with the following minimum standards, and such standards shall be deemed to be part of the conditions on the permit for a commercial cannabis operation to ensure that its operation is in compliance with state law and this Code, and to mitigate any potential adverse impacts of the commercial cannabis operation on the public health, safety or welfare.

Additional minimum standards may be adopted from time to time either by resolution or ordinance of the city council, or by the city manager pursuant to Section 5.26.140.

A. State Standards. All state requirements and regulations that govern the operation of a commercial cannabis operation, including, but not limited to, ones related specifically to certain types of commercial cannabis operations, shall apply as minimum requirements and regulations and requirements for commercial cannabis operations within the city of South El Monte, in addition to the requirements and regulations of this chapter and this Code.

B. Security. Commercial cannabis operations must comply with the following minimum security requirements. Additionally, any security plan provided by an applicant in its commercial cannabis operation permit application shall be incorporated into the terms and conditions under which the commercial cannabis operation will operate with the City’s approval, if and when a commercial cannabis operation permit is issued; such terms and conditions shall be in addition to the requirements of this chapter.

1. General. All cannabis, cannabis products and cash present or kept at the premises shall be securely stored against both unauthorized access as well as theft.

2. Security Cameras.
a. Security cameras shall be installed and maintained in good condition, with at least ninety days of digitally recorded documentation in a format approved by the city manager and the police chief.
b. The camera and recording system must be of adequate quality, color rendition, and resolution to allow the identification of any individual present at the site of the commercial cannabis operation.
c. The cameras shall be in continuous use twenty-four hours per day, seven days per week.
d. The recording system must be capable of exporting the recorded video in standard MPEG formats to another common medium approved by the city manager, such as DVD and/or a USB drive.
e. The areas to be covered by the security cameras include, but are not limited to, the storage areas, operation areas, all doors and windows, the parking lot, all exterior sides of the property adjacent to the public rights-of-way, and any other areas as

determined by the city manager and police chief.
f. Remote log-in information will be provided to the operations officers to allow them to view live and recorded security camera images remotely at any time.

3. Alarm System. The location of the commercial cannabis operation shall be alarmed with a centrally-monitored fire and burglar alarm system, and monitored by an alarm company properly licensed by the State Department of Consumer Affairs Bureau of Security and Investigative Services in accordance with Section 7590, et seq., of the State Business and Professions Code and whose agents are properly licensed and registered under applicable law.
a. Permittees shall ensure that burglar, fire, and panic alarms are operational and monitored by a licensed security company 24 hours a day, seven days a week, and shall provide the City contact information for each licensed security company responsible for monitoring the permittee’s alarm systems. Permittees shall promptly notify the City in writing of any change in licensed security company responsible for monitoring the permittee’s alarm systems and/or associated contact information.

4. Locked Entrances. All entrances into the building housing a commercial cannabis operation shall be locked from the exterior at all times with entry controlled by employees or security personnel.

5. Windows. All windows on the building that houses the commercial cannabis operation shall be secured against entry from the outside.

6. No employee shall refuse, impede, obstruct or interfere with an inspection conducted pursuant to the authorizations provided by this chapter.

7. A commercial cannabis operation shall notify the City Manager within twenty-four (24) hours of the discovery of any of the following:
a. Significant discrepancies identified during inventory. The level of significance shall be as determined by the regulations promulgated by the City Manager, or, if not established therein, as set forth in Section 15034 of Division 19 of Title 4 of the California Code of Regulations, as amended from time to time; b. Diversion, theft, loss, or any criminal activity involving the permittee, commercial cannabis operation, or any agent or employee thereof;
c. The loss or authorized alteration of records required to maintained pursuant to this Chapter or otherwise related to inventory, customers, employees, or agents of the permittee or commercial cannabis operation;
d. Any other breach of security.

C. Odors.

1. A commercial cannabis operation shall have an air treatment system that ensures off-site odors shall not result from its activities.

2. This requirement at a minimum means that the commercial cannabis operation shall be

designed to provide sufficient odor absorbing ventilation and exhaust systems so that any odor generated inside the location of the commercial cannabis operation is not detected outside the building, on adjacent properties or public rights-of-way, or within any other unit located within the same building as the commercial cannabis operation, if the use only occupies a portion of a building.

D. Authorizations.

1. The operations officers shall have the right to enter all areas of the commercial cannabis operation from time to time unannounced for the purpose of making reasonable inspections to observe and enforce compliance with this chapter and all laws of the city and state.

2. In addition to ongoing remote live access to security camera images as set forth in Section 5.26.110(B)(2)(f), rRecordings made by security cameras required pursuant to this chapter shall be made available to the operations officers upon verbal request; no search warrant or subpoena shall be needed to view the recorded materials.

E. Records.

1. Commercial cannabis operations shall maintain on site the following records either in paper or electronic form compatible with the City’s software and hardware:
a. The full name, address, and telephone numbers of the owner and lessee of the property.
b. The name, date of birth, address, and telephone number of each employee of the commercial cannabis operation; the date each was hired; and the nature of each employee's participation in the commercial cannabis operation. c. Copies of all required state licenses.
d. An inventory record documenting the dates and amounts of cannabis and cannabis products received at the site, the daily amounts of cannabis and cannabis products on the site, and the daily amounts of cannabis and cannabis products leaving the site for any reason, including, but not limited to, being sold, delivered, or distributed.
e. A written accounting of all expenditures, costs, revenues and profits of the commercial cannabis operation, including, but not limited to, cash and in-kind transactions.
f. A copy of all insurance policies related to the operation of the commercial cannabis operation.
g. A copy of the commercial cannabis operation's most recent year's financial statement and tax return.
h. Proof of a valid and current permit issued by the city in accordance with this chapter, and the equivalent state of California license to operate the commercial cannabis operation. Every commercial cannabis operation shall display at all times during business hours the city permit issued pursuant to the provisions of this chapter, and the equivalent state license, in a conspicuous place so that it may be

readily seen by all persons entering the premiseslocation of the commercial cannabis operation.

2. All records required to be maintained by the commercial cannabis operation must be maintained for no less than seven years and are subject to immediate inspection (consistent with requirements pertaining to qualified patient confidentiality pursuant to applicable state and federal law) upon a lawful written request by an operation officer.

3. A commercial cannabis operation shall report any loss, damage, or destruction of these records to the operation officers within twenty-four hours of the loss, damage, or destruction.

F. Site Management.

1. Commercial cannabis operations shall not result in a nuisance or adversely affect the health, welfare, or safety of nearby persons by creating dust, glare, heat, noise, noxious gases, odors, smoke, traffic, vibration, or other impacts, or be hazardous due to use or storage of materials, processes, products or waste. The permittee shall promptly and diligently both prevent as well as eliminate conditions on the site of the commercial cannabis operation that constitute a nuisance.

2. A permittee shall maintain the exterior of the site, including any parking lots under the control of the permittee, free of litter, debris, and trash.

3. The commercial cannabis operation permittee shall properly store and dispose of all waste generated on the site, including chemical and organic waste, in accordance with all applicable laws and regulations.

4. Notwithstanding any provisions of this Code to the contrary, the commercial cannabis operation permittee shall remove all graffiti from the site and parking lots under the control of the commercial cannabis operation permittee within seventy-two hours of discoveryits application.

G. State Board of Equalization Seller's Permit Required.

1. Commercial cannabis operations must obtain a seller's permit from the State Board of Equalization as applicable.

2. Such permit shall be displayed in a conspicuous place so that it may be readily seen by all persons entering the premiseslocation of the commercial cannabis operation.

H. Background Checks; Personnel prohibited from holding a commercial cannabis operation permit or employment with a permitteeEmployees.

1. All employees must submit to fingerprinting and criminal background checks by the city or its designee.
a. No employee convicted within the last ten years of a felony substantially related to the qualifications, functions or duties of an employee of a commercial cannabis operation (such as a felony conviction for distribution of controlled substances, money laundering, racketeering, etc.) shall be employed by a commercial cannabis operation, and no owner convicted of any of the aforementioned offenses shall be eligible to obtain a commercial cannabis operation permit, unless such employee or owner has obtained a certificate of rehabilitation (expungement of felony record)

under state law or under a similar federal statute or state law where the expungement was granted.
b. At the request of the commercial cannabis operation, the city manager and police chief shall determine the applicability of this section to a potential employee within a reasonable period of time after a written request has been made to the city manager and police chief for such determination.

2. All employees must possess a valid government issued (or equivalent) form of identification containing an identifying photograph of the employee, the name of the employee, the date of birth of the employee, and the residential address of the employee.

Color copies of such identification shall be maintained at the location of the commercial cannabis operation. A valid state driver's license will satisfy this requirement.

3. In addition to the disqualifying offenses set forth in Section 5.26.110(H)(1)(a), a person shall not be eligible to obtain a commercial cannabis operation permit or employment with a permittee if the person:
a. Provided false or misleading information on the applicant's commercial cannabis operation permit application;
b. Has been convicted of (or pled no contest to) "an offense that is substantially related to the qualifications, functions, or duties of the business or profession for which the application is made" as that term is defined in Section 26057(b)(4) of the State Business and Professions Code; or
c. Has been sanctioned by a licensing authority or a city, county, or state for unlicensed commercial cannabis operations or has had a license suspended or revoked under MAUCRSA in the three years immediately preceding the date the application was submitted.

I. Cannabis Transfer Between Permitted Operations Only. A commercial cannabis operation shall not transfer cannabis or cannabis products to or from another commercial cannabis operation, unless both operations are in possession of all required state and local licenses and permits.

J. Commercial Cannabis Operation Signage.

1. Signs on the premises shall not obstruct the entrance or the video surveillance system.

The size, location, and design of any signage must conform to the sign provisions in this Code.

2. Business identification signage shall be limited to that needed for identification only, consisting of a single window sign or wall sign that shall comply with the appropriate sign requirements within the applicable zoning district.

K. Prohibited Personal Activities.

1. Cannabis Use. No person shall smoke, ingest, or otherwise consume cannabis in any form on, or within twenty feet of, the site of the commercial cannabis operation.

2. Alcohol Use. No person shall possess, consume, or store any alcoholic beverage on the site of the commercial cannabis operation.

L. No Minors. No minor shall be an employee of, or participate in, a commercial cannabis operation in any capacity, including, but not limited to, as a manager, employee, contractor,

adviser, or volunteer.

M. Exterior Lighting. The exterior of the premises upon which the commercial cannabis operation is operated shall be equipped with and, at all times between sunset and sunrise, shall remain illuminated with fixtures of sufficient intensity and number to illuminate every portion of the property with an illumination level of not less than one foot-candle as measured at the ground level, including, but not limited to, landscaped areas, parking lots, driveways, walkways, entry areas, and refuse storage areas.

N. Building Design. A permittee must maintain the design of the buildings on the site in accordance with the plans that are approved by the city pursuant to this chapter and otherwise approved by the city. No permittee shall modify the buildings on the site contrary to the approved plans, without the approval of the city manager, in addition to any other applicable review and approval of such proposal by the designated City review body pursuant to Title 17 of this Code.

O. Nuisance. A permittee shall take all reasonable steps to discourage and correct conditions that constitute a nuisance in parking areas, sidewalks, alleys and areas surrounding the premises and adjacent properties during business hours if related to the members of the subject commercial cannabis operation.

1. "Reasonable steps" shall include immediately calling the police department upon observation of the activity, and requesting that those engaging in activities that constitute a nuisance or are otherwise illegal to cease those activities, unless personal safety would be threatened in making the request.

2. "Nuisance" includes, but is not limited to, disturbances of peace, open public consumption of cannabis, alcohol or controlled substances, excessive pedestrian or vehicular traffic, including the formation of any pedestrian lines outside the building, illegal drug activity, harassment of those passing by, excessive littering, excessive loitering, illegal parking, excessive loud noises, especially late at night or early in the morning hours, lewd conduct or law enforcement detentions and arrests.

P. Upon and after receiving possession of a commercial cannabis operation permit as provided for in this chapter, a permittee shall:

1. Maintain continuing compliance with criminal background check requirements of this chapter by ensuring that:
a. Upon the hiring, association or retention of an employee by the commercial cannabis operation, the requirements of subsection H are immediately met for such employee by provision of appropriate documentation to the city manager; and b. The city manager and police chief are immediately informed in writing of any felony conviction as described in subsection H for any current employee.

2. Maintain continuing compliance with all applicable insurance requirements, including, but not limited to, those imposed by the city and this chapter.

Q. Track and trace requirements. Permittees shall create and maintain an active account within the state's track and trace system, as required by the state cannabis laws, prior to commencing any commercial cannabis operation activity. In the event of system failure, the permittee shall keep a hard copy record and transfer the information to the track and trace system

within 24 hours of the system being available, which must be provided to the City upon request.

Q. Workforce Plan. A permittee shall implement a workforce plan that includes at least the following provisions:

1. Commitment for thirty percent of employees to be local hires; this local hiring requirement is satisfied when a permittee shows that it has either hired or made a good faith effort to hire bona fide residents of the city or persons that may establish residency after initial employment with the permittee;

2. Commitment to offer apprenticeships and/or compensation for continuing education in the field of commercial cannabis operations; and

3. Paying a living wage to employees. "Living wage" means compensation equivalent to twenty dollars per hour inclusive of benefits but excluding tips.

R. Exemption. The regulations contained in this chapter shall not apply to a commercial cannabis operation engaged in the following uses, as long as such use complies strictly with applicable law, including this Code, regulating such use and the location of such use, including, but not limited to, Section 11362.5 of the State Health and Safety Code and Section 11362.71 et seq., of the State Health and Safety Code: A clinic licensed pursuant to Chapter 1 of Division 2 of the State Health and Safety Code; a health care facility licensed pursuant to Chapter 2 of Division 2 of the State Health and Safety Code; a residential care facility for persons with chronic life-threatening illness licensed pursuant to Chapter 3.01 of Division 2 of the State Health and Safety Code; a residential care facility for the elderly licensed pursuant to Chapter

3.2 of Division 2 of the State Health and Safety Code; and a residential hospice or a home health agency licensed pursuant to Chapter 8 of Division 2 of the State Health and Safety Code.

S. Reporting and Tracking of Product and of Gross Sales. Each permittee shall have in place a point-ofsale or management inventory tracking system to track and report on all aspects of the commercial cannabis operation including, but not limited to, such matters as cannabis tracking, inventory data, gross sales (by weight and by sale) and other information which may be deemed necessary by the city.

The permittee shall ensure that such information is compatible with the city’s record-keeping systems.

In addition, the system must have the capability to produce historical transactional data for review.

Furthermore, any system selected must be approved and authorized by the city manager prior to being used by the permittee.
(Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.120. Retailer operating standards and restrictions.

A retailer commercial cannabis operation shall operate in conformance with both Section 5.26.110, as well as the following minimum standards, and such standards shall be deemed to be part of the conditions of the commercial cannabis operation permit for a retailer commercial cannabis operation to ensure that its operation is in compliance with state law and this Code, and to mitigate any potential adverse impacts of the commercial cannabis operation on the public health, safety or welfare. It shall be the responsibility of the Permittees, Owners, and Managers of a Commercial Cannabis Operation to ensure that a Commercial Cannabis Operation is, at all times, operating in a manner compliant with all applicable federal, state and local laws, including for as long as applicable, all state cannabis laws, any subsequently enacted state law or regulatory, licensing, or certification standards or requirements, this Chapter, and any specific, additional operating procedures or requirements which may be imposed as conditions of approval of a required license or permit, including but not limited to the Commercial Cannabis Operation Permit.

Additional minimum standards may be adopted from time to time either by resolution or ordinance from the city council, or by the city manager pursuant to Section 5.26.140.

A. City Permit and State License. No person shall engage in retailer commercial cannabis operations without both a current and valid commercial cannabis operation permit and a current and valid equivalent state license as provided for under Section 26200 of the State Business and Professions Code, and as may be amended. Retailer (medical-only) commercial cannabis operations shall only sell, dispense, or provide medical cannabis or medical cannabis products to a qualified patient with a written physician's recommendation, a person with an identification card, or a primary caregiver with written documentation attesting to lawful status as a primary caregiver.

B. State Standards. All state requirements and regulations that govern retailer commercial cannabis operations, including, but not limited to, the regulations promulgated by the State Department of Cannabis Control, and as may be amended, shall apply as minimum requirements and regulations and requirements for retailer commercial cannabis operations within the city, in addition to the requirements and regulations of this chapter and this Code.

C. Location and Design Requirements. Pursuant to the authority delegated by the state to the city under Section 26054(b) of the State Business and Professions Code and overriding the location and design requirements contained in Section 26054(b) of the State Business and Professions Code, retailer commercial cannabis operations in the city shall be subject to the following location and design requirements:

1. Retailer commercial cannabis operations shall be a permitted use subject to this chapter on property: (a) located more than one thousand feet any retailer commercial cannabis operation permitted under this chapter, alcohol or drug treatment facility, day care center, religious institution, school, or youth center, park or residentially zoned property; (b) located more than three hundred and fifty (350) one thousand feet from the city's jurisdictional boundary or any park or residentially zoned property; and (c) zoned C (commercial zone) or C-M (commercial-manufacturing zone) including any overlay zone districts covering the C (commercial zone), or C-M (commercial- manufacturing zone), or M (manufacturing) zone.

2. The distances specified in subsection C shall be measured from those sensitive uses in existence at the time the commercial cannabis operation permit application is submitted, the horizontal distance shall be measured in a straight line from the parcel line of the sensitive use to the closest parcel line of the lot on which the cannabis retailer is to be located without regard to intervening structures. The one thousand foot distance specified in subsection C may be reduced to as little as nine hundred feet by administrative regulation pursuant to Section

5.26.140 if necessary to allow for issuance of the number of commercial cannabis operation permits provided by this chapter.

3. Each retailer commercial cannabis operation shall:
a. Be constructed in a manner that prevents odors to surrounding uses, and promotes quality design and construction, and consistency with the surrounding properties.

Odors from the cannabis retailer shall not be detectable from outside the premises and adequate odor control technology shall be utilized; b. Be provided with adequate electricity, sewerage, disposal, water, fire protection, and storm drainage facilities for the intended purpose; and

c. Provide and maintain a neighborhood compatibility plan so the city manager or designee(s) may find that the cannabis retailer and its operating characteristics are not detrimental to the public health, safety, convenience, or welfare of persons residing, working, visiting, or recreating in the surrounding neighborhood and will not result in the creation of a nuisance. Any neighborhood compatibility plan provided by an applicant in its commercial cannabis operation permit application shall be incorporated into the terms and conditions under which the commercial cannabis operation will operate with the City’s approval, if and when a commercial cannabis operation permit is issued; such terms and conditions shall be in addition to the requirements of this chapter.

D. Customers.

1. Prior to dispensing medical cannabis or medical cannabis products to a qualified patient, a retailer commercial cannabis operation shall verify the age and all necessary documentation of each customer to ensure the customer is not under the age of eighteen years and obtain verification from the recommending physician that the person requesting medical cannabis or medical cannabis products is a qualified patient, and shall maintain a copy of the physician recommendation, or identification card, as described in Section 11362.71 et seq., of the State Health and Safety Code, as may be amended from time to time, on site for period of not less than seven years.

2. Prior to dispensing cannabis or cannabis products to an adult-use customer, a retailer (medical/adult-use) commercial cannabis operation shall verify the age and all necessary documentation of each customer to ensure the customer is not under the age of twentyone years.

E. Opaque Packaging. All cannabis or cannabis products sold to a customer shall be prohibited from leaving the site unless placed in opaque exit packaging which conceals the nature of the product from human vision.

F. Dispensing and Storage Areas. Entrance to the retailer sales floor and any storage areas shall be locked at all times, and under the control of employees or security personnel.

G. Interior Lighting. The premises within which the commercial cannabis operation is operated shall be equipped with and, at all times during which is open to the public, shall remain illuminated with over-head lighting fixtures of sufficient intensity to illuminate every place to which members of the public or portions thereof are permitted access with an illumination of not less than two foot-candles as measured at the floor level.

H. Signs. A retailer commercial cannabis operation shall notify customers (verbally or by written agreement) and by posting a notice or notices conspicuously at least fifteen-point type within permitted premises that state as follows:

1. "The sale or diversion of cannabis or cannabis products without a license issued by persons entering the site, the city of South El Monte is a violation of state law and the South El Monte 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. "Customers must not loiter in or near these premises and may not consume cannabis or cannabis products in the vicinity of this business or in any place not lawfully permitted.

These premises and vicinity are monitored to ensure compliance."

4. "WARNING: The use of cannabis or cannabis products may impair a person's ability to drive a motor vehicle or operate heavy machinery."

5. "CALIFORNIA PROP. 65 WARNING: Smoking 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 and reproductive harm."
I. No Recommendations On Site. A retailer commercial cannabis operation shall not have a physician or any person licensed to recommend medical cannabis for medical use at the location of the retailer commercial cannabis operation to provide a recommendation or physician's recommendation, for the use of medical cannabis.

J. Sanitation. A permittee shall establish and implement written procedures that maintain the highest industry standards of sanitation and cleanliness for the operation so as to ensure cannabis and cannabis products sold to the public are free of harmful contaminants.

K. Training. A permittee shall establish and implement written procedures that provide for the highest industry standards of training for employees.

L. Prohibited Activities. Retailers may not conductNo cannabis cultivation, testing or manufacturing, and no cannabis cultivation, testing, or manufacturing shall occur within the premises of the retailer operation.

M. No Alcohol. Retailer commercial cannabis operations shall not hold or maintain a license from the State Department of Alcoholic Beverage Control to sell alcoholic beverages, or operate a business that sells alcoholic beverages.

N. No Lounge or Café. Retailer commercial cannabis operations shall not operate as a lounge, café or restaurant serving food or drinks for consumption on site. There shall be no seating area, tables, couches, or chairs for the gathering or congregating of members.

O. Age Restriction. Minors, except qualified patients or primary caregivers over the age of eighteen years old as verified customers, are prohibited from entering the premiseslocation of the retailer cannabis operation.

P. Public Information. The permittee shall make available to customers a list of the rules and regulations governing medical cannabis use and consumption within the city and recommendations on sensible medical cannabis etiquette. (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.125. Delivery operating standards and restrictions.

A. Delivery shall comply with state law at all times.

B. Security plans developed pursuant to this chapter shall include provisions relating to vehicle security and the protection of employees and product during loading and in transit which shall be incorporated, in addition to all requirements of this Chapter, as binding terms and conditions under which the commercial cannabis operation may operate with the City’s approval, if and when a commercial cannabis operations permit is issued in accordance with Section 5.26.110(B).

C. A commercial cannabis operation engaged in delivery shall facilitate the delivery of cannabis or cannabis products with a technology platform owned by or licensed to the delivery-only commercial cannabis operation engaged in delivery that uses point-of-sale technology to track and database technology to record and store the following information for each transaction involving the exchange of cannabis or cannabis products between the commercial cannabis operation engaged in delivery and customer:

1. The identity of the individual dispensing cannabis or cannabis products on behalf of the commercial cannabis operation engaged in delivery;

2. The identity of the customer receiving cannabis or cannabis products from the commercial cannabis operation engaged in delivery;

3. The type and quantity of cannabis or cannabis products dispensed by the retailer and received by the customer;

4. The gross receipts charged by the commercial cannabis operation engaged in delivery and received by the individual dispensing cannabis or cannabis products on behalf of the commercial cannabis operation engaged in delivery for the cannabis or cannabis products dispensed and received; and

5. The location or address where the sale or retail sale took place or closed.

D. A commercial cannabis operation engaged in delivery shall maintain a database and provide a list of the individuals and vehicles authorized to conduct delivery, and a copy of the valid state driver's license issued to the driver of any such vehicle on behalf of the commercial cannabis operation engaged in delivery to the city manager.

E. Individuals making deliveries of cannabis or cannabis products on behalf of the commercial cannabis operation engaged in delivery shall maintain a physical copy of the delivery request (and invoice) and shall make it available upon the request of agents or employees of the city requesting documentation.

F. During delivery, a copy of the commercial cannabis operation engaged in delivery's commercial cannabis operation permit and state license shall be in the vehicle at all times, and the driver shall make it available upon the request of agents or employees of the city requesting documentation.

G. A commercial cannabis operation engaged in delivery shall only permit or allow delivery of cannabis or cannabis products in a vehicle that is: (1) insured at or above the legal requirement in the state; (2) capable of securing (locking) the cannabis or cannabis products during transportation; (3) capable of being temperature controlled if perishable cannabis or cannabis products is being transported; and (4) does not display advertising or symbols visible from the exterior of the vehicle that suggest the vehicle is used for cannabis delivery or affiliated with a commercial cannabis operation engaged in delivery.

H. A commercial cannabis operation engaged in delivery shall facilitate deliveries with a technology platform owned by or licensed to the commercial cannabis operation engaged in delivery that uses global positioning system technology to track, and database technology to record and store the following information:

1. The time that the individual conducting delivery on behalf of the commercial cannabis operation engaged in delivery departed its premises.

2. The time that the individual conducting delivery on behalf of the commercial cannabis operation engaged in delivery completed delivery to the customer.

3. The time that the individual conducting delivery on behalf of the commercial cannabis operation engaged in delivery returned to its premises.

4. The route the individual conducting delivery on behalf of the commercial cannabis operation engaged in delivery traveled between departing and returning to its premises to conduct delivery.

5. For each individual delivery transaction, the identity of the individual conducting deliveries on behalf of the commercial cannabis operation engaged in delivery.

6. For each individual delivery transaction, the vehicle used to conduct delivery on behalf of the commercial cannabis operation engaged in delivery.

7. For each individual delivery transaction, the identity of the customer receiving cannabis or cannabis products from the commercial cannabis operation engaged in delivery.

8. For each individual delivery transaction, the type and quantity of cannabis or cannabis products dispensed and received.

9. For each individual delivery transaction, the gross receipts charged by the commercial cannabis operation engaged in delivery and received by the individual conducting deliveries on behalf of the commercial cannabis operation engaged in delivery for the cannabis or cannabis products dispensed and received.

I. The individual making deliveries on behalf of the commercial cannabis operation engaged in delivery shall personally verify for each individual delivery transaction the identity of the customer receiving cannabis or cannabis products from the commercial cannabis operation engaged in delivery and: (1) for medical cannabis or medical cannabis products to a qualified patient, the age and all necessary documentation of each customer to ensure the customer is not under the age of eighteen years and obtain verification from the recommending physician that the person requesting medicinal cannabis or medicinal cannabis products is a qualified patient, and shall maintain a copy of the physician recommendation or identification card as described in Section 11362.71 et seq., of the State Health and Safety Code, as may be amended from time to time, on site for period of not less than seven years; or (2) for cannabis or cannabis products to an adult-use customer, age and all necessary documentation of each customer to ensure the customer is not under the age of twenty-one years. (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.130. Community benefit agreement.

Any community benefit commitments, including but not limited to monetary, volunteer hour, inkind, or other contributions and/or donations provided by an applicant in its commercial cannabis operation permit application shall be incorporated into the terms and conditions under which the commercial cannabis operation will operate with the City’s approval, if and when a commercial cannabis operation permit is issued; such terms and conditions shall be in addition to the requirements of this chapter. The applicant may propose entering into a community benefit agreement in an amount and by terms set by city council resolution with the city setting forth the terms and conditions under which the facility will operate that is in addition to the requirements of this chapter, including, but not limited to, public outreach and education, community service, payment of fees and other charges as mutually agreed, and such other terms and conditions that

will protect and promote the public health, safety, and welfare of the city and its residents and visitors.
(Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.140. Administration.

A. Consistently with stated requirements of this chapter (and in particular not to repeal or constructively repeal this chapter), in addition to any regulations adopted under state law, the city manager is authorized to establish any additional rules, regulations, and standards governing the issuance or denial of commercial cannabis operation permits, the ongoing operation of commercial cannabis operations and the city's oversight thereof, or concerning any other subject determined to be necessary to carry out the purposes of this chapter.

B. Such regulations shall be approved by resolution of the city council published on the city's website.

C. Regulations promulgated, by the city manager, shall become effective upon date of publication on the city's website or posting at the location for the city council's meeting agendas. Commercial cannabis operations shall be required to comply with all state and local laws and regulations, including, but not limited to, any rules, regulations or standards adopted by the city manager.
(Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.150. Fees.

An application fee set by resolution of the city council shall be required for formal processing of every application made under this chapter. The city council is further authorized to pass resolutions or ordinances to recover any and all fees and costs incurred by the administration and implementation of this chapter through an appropriate fee recovery mechanism to be imposed upon commercial cannabis operations.
(Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.160. Suspension, modification, and revocation.

A. The city manager is authorized to suspend, modify, and/or revoke a commercial cannabis operation permit issued pursuant to this chapter upon the determination through written findings of a failure to comply with any provision of this chapter, any commercial cannabis operation permit condition, or any agreement or covenant required or made pursuant to this chapter.

B. Notwithstanding subsection A, the city manager may suspend or revoke a commercial cannabis operation permit if any of the following occur:

1. The equivalent state license has been suspended or revoked by the state; or

2. Operations cease for more than one hundred eighty consecutive or cumulative days in any one year period; or

3. Ownership is changed or transferred without complying with Section 5.26.100; or

4. The commercial cannabis operation fails to maintain required security camera recordings; or

5. The commercial cannabis operation fails to allow inspection of the security recordings, the activity logs, the records, or of the site by operations officers pursuant to this chapter; or

6. The commercial cannabis operation fails to timely make the corrections required pursuant to Section 5.26.090; or

7. The commercial cannabis operation fails to pay any fees required by this chapter.

C. Conditions (if any) of suspension or revocation are at the reasonable discretion of the city manager and may include, but are not limited to, a prohibition on all owners, managers and employees of the suspended or revoked commercial cannabis operation from operating within the city for a period of time set forth in writing and/or a requirement (when operations may resume, if at all, pursuant to the city manager's reasonable determination) for the holder of the suspended or revoked commercial cannabis operation permit to resubmit an application for a commercial cannabis operation permit pursuant to the requirements of this chapter. (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.170. Appeals.

Any decision regarding denial of advancement in the commercial cannabis operation permit application process at each phase leading to and including the final selection process, the city manager's suspension or revocation of a commercial cannabis operation permit pursuant to Section

5.26.160, the modification or addition of conditions to a commercial cannabis operation permit, or denial of the renewal of a commercial cannabis operation permit may be appealed to the city council by a permittee or interested party as follows:

A. All appeals shall be heard by a third-party hearing officer. If the appellant wishes to appeal a decision to the city council, the appellant must file a written appeal with the city clerk within ten calendar days of the decision. The written appeal shall specify the person making the appeal, the decision appealed from, state the reasons for the appeal, and include any evidence in support of the appeal which the applicant seeks to be considered by the city council.

B. Notice of the time and place of an appeal hearing shall be providing to the appellant within thirty days of receipt by the city clerk of the written appeal.

C. The appeal hearing shall be held within sixty days of the filing of the written appeal with the city clerk, unless the sixty-day time limit is waived by the appellant, or unless the city council continues the appeal hearing date for good cause and upon written notification to the appellant.

D. The hearing officer city council shall review the facts of the matter, written documents submitted for review, the basis for making the decision which is under appeal, and then determine whether the appealed decision should be reversed or affirmed. The determination made shall be in writing, shall set forth the reasons for the determination, and shall be final.

E. The provisions of Section 1094.6 of the Code of Civil Procedure set forth the procedure for judicial review of any final determination. Parties seeking such judicial review shall file such action within ninety days of a determination being made final. (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.180. Violations and penalties—Public nuisance.

A. Any violation of the provisions of this chapter is punishable as a misdemeanor or an infraction, at the discretion of the city attorney, pursuant to Chapters 1.14 and 1.16 of this Code, except for as preempted by state law and any violation of the provisions of this chapter is subject to administrative citation, at the reasonable discretion of the city, pursuant to Chapters 1.14 and 1.16 of this Code.

B. Public Nuisance Abatement.

1. Any commercial cannabis operation that is conducted in violation of any provision of this chapter is hereby declared to constitute a public nuisance and, as such, may be abated or enjoined from further operation, in accordance with the procedures set forth in Chapter 8.36 of this Code.

2. All costs to abate such public nuisance, including attorneys' fees and court costs, shall be paid by the person causing the nuisance, including the commercial cannabis operation and the property owner where the nuisance is occurring.

C. The remedies described in this section are not mutually exclusive. Pursuit of any one remedy shall not preclude city from availing itself of any or all available administrative, civil, or criminal remedies, at law or equity.

D. Any violation of the provisions of this chapter shall constitute a separate offense for each and every day during which such violation is committed or continued. (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.190. Service of notices.

Any notice required by this chapter is deemed issued and served upon the earliest date that either:
the notice is deposited in the United States mail, postage pre-paid, addressed to the most recent mailing address provided to the city pursuant to the requirements of this chapter; or, the date upon which personal service of the notice is provided to a responsible party. (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.200. Prohibitions.

A. Any commercial cannabis operation in violation of this chapter, or any other applicable state law is expressly prohibited.

B. It is unlawful for any commercial cannabis operation in the city, or any agent, employee or representative of such commercial cannabis operation, to permit any breach of peace or any disturbance of public order or decorum by any tumultuous, riotous or disorderly conduct at the site of the commercial cannabis operation.
(Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.210. Nonconforming use.

No use which purports to have engaged in commercial cannabis operations of any nature prior to the enactment of this chapter shall be deemed to have been a legally established use under the provisions of this Code, or any other city ordinance, rule or regulation, and such use shall not be entitled to claim legal nonconforming status.
(Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.220. Exceptions.

A. To the extent that the following activities are permitted by state law, nothing in this chapter shall prohibit a person twenty-one years of age or older from:

1. Possessing, processing, purchasing, transporting, obtaining or giving away to persons twenty-one years of age or older, without compensation whatsoever, not more than twenty-eight and one-half grams of cannabis not in the form of concentrated cannabis;

2. Possessing, processing, purchasing, transporting, obtaining or giving away to persons twenty-one years of age or older, without compensation whatsoever, up to eight grams of cannabis in the form of concentrated cannabis;

3. Possessing, transporting, purchasing, obtaining, using, manufacturing, or giving away cannabis accessories to persons twenty-one years of age or older without compensation whatsoever; or

4. Engaging in the indoor cultivation of six or fewer live cannabis plants within a single private residence or inside an accessory structure located upon the grounds of a private residence that is fully enclosed and secured, to the extent such cultivation is authorized by Sections 11362.1 and 11362.2, of the State Health and Safety Code, as may be amended from time to time.

B. This chapter shall also not prohibit any commercial cannabis operations that the city is required by law to permit within its jurisdiction pursuant to state law. (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.230. Operative date.

This chapter shall be operative ten days after the date that the city council declares that a majority of the city's voters voting at the November 8, 2022, election have voted in favor of this chapter at such election.
(Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.240. Severability.

If any section, subsection, subdivision, sentence, clause, phrase, word, or portion of this chapter is, for any reason, held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this chapter.

The people of the city of South El Monte hereby declare that they would have adopted this chapter and each section, subsection, subdivision, sentence, clause, phrase, word, or portion thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, sentences, clauses, phrases, words or portions thereof be declared invalid or unconstitutional. (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)
§ 5.26.250. City council authority to amend.

The city council has the right and authority to amend this chapter, with the exception of Section

5.26.060 (which may only be amended: (i) if ordered to do so by a court of competent jurisdiction as a judicial remedy; or (ii) by a vote of the people of the city), to further its purposes and intent (including, but not limited to, amendment for more efficient administration as determined by the city council), in any manner that does not increase a tax rate, or otherwise constitute a tax increase for which voter approval is required by Article XIII C of the California Constitution, pursuant to Elections Code Section 9217.
(Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)

§ 5.26.260. City councilmember conflicts of interest.

Notwithstanding any other provision of this chapter, prior to participating in any decision relating to a cannabis business, each city councilmember shall do all of the following A. Disclose on the record any financial interest in the cannabis business that is subject to the decision.

B. Disclose on the record any campaign contributions and benefits or gifts received from the cannabis business that is subject to the decision.

C. Disclose on the record any ex parte communications that the city councilmember may have had with a cannabis business that is the subject of the decision.

D. Each city councilmember shall warrant and represent, on the record and in a form approved by the city council, that they have complied with these requirements and all applicable law.

If it is later determined that a city councilmember has not complied with the above requirements or if it is determined that a city councilmember has violated applicable law, then the city councilmember is disqualified from all decisions relating to the cannabis business subject to the decision. The requirements of this Section 5.26.260 shall be in addition to any applicable law, including, without limitation, the California Political Reform Act and the related regulations of the Fair Political Practices Commission. (Ord. 1260 §2, 2022; Ord. 1268 §3, 2023)

ORDINANCE NO. 1260
AN ORDINANCE (" ORDINANCE") OF THE PEOPLE OF THE CITY OF SOUTH EL MONTE, CALIFORNIA, AMENDING CHAPTER 5. 26 ( CANNABIS ACTIVITIES) OF TITLE 5 OF THE SOUTH EL MONTE MUNICIPAL CODE TO

ONLY PERMIT CANNABIS COMMERCIAL OPERATIONS THAT INVOLVE THE ACTIVITY OF RETAILER ( MEDICAL/ ADULT USE); REPEALING CHAPTER 17. 31 OF TITLE 17 OF THE SOUTH EL MONTE MUNICIPAL CODE, RELATING TO CANNABIS ACTIVITY PROHIBITIONS; AMENDING SOUTH EL MONTE MUNICIPAL CODE SECTIONS 17. 14. 030, 17. 16. 030, AND

17. 18. 030( 0), RELATING TO PERMITTED USES IN THE COMMERCIAL ( C),

COMMERCIAL - MANUFACTURING ( C- M), AND MANUFACTURING ( M) ZONES; ADDING SECTION 9. 08. 045 TO CHAPTER 9. 08 OF TITLE 9 OF THE SOUTH EL MONTE MUNICIPAL CODE; AMENDING SOUTH EL MONTE
MUNICIPAL CODE SECTION 5. 04. 045, RELATING TO BUSINESS LICENSE REQUIREMENTS FOR COMMERCIAL CANNABIS RETAILERS; AND

APPROVING A GENERAL CANNABIS BUSINESS TAX BY ADDING
CHAPTER 3. 40 ( CANNABIS BUSINESS TAX) TO TITLE 3 OF THE SOUTH EL

MONTE MUNICIPAL CODE
WHEREAS, in 1996 State of California (" State") voters approved Proposition 215, the Compassionate Use Act of 1996 (" CUA"), codified as Section 11362. 5 ofthe State Health and Safety Code, to exempt certain patients and their primary caregivers from criminal liability under state law for the possession and cultivation of cannabis for medical purposes; and WHEREAS, in 2003 the State legislature enacted Senate Bill 420, the Medical Marijuana Program Act ("MMPA"), codified as Sections 11362. 7, et seq., of the State Health and Safety Code, and as later amended, to clarify the scope of the CUA relating to the possession and cultivation of cannabis for medical purpose, and to authorize local governing bodies to adopt and enforce laws consistent with its provisions; and
WHEREAS, in October 2015, the State legislature adopted AB 266, AB 243, and SB 643, collectively referred to as the Medical Cannabis Regulation and Safety Act (" MCRSA"), which established a comprehensive regulatory and licensing scheme for commercial medical cannabis operations; and
WHEREAS, at the November 8, 2016 general election, the Control, Regulate and Tax Adult Use of Marijuana Act (" AUMA") was approved by State voters as Proposition 64, which established a comprehensive regulatory and licensing scheme for commercial adult -use ( recreational) cannabis operations, and which also legalized limited personal recreational cannabis use, possession, and cultivation; and
WHEREAS, on June 27, 2017 Governor Brown signed Senate Bill 94, the Medicinal and Adult Use Cannabis Regulation and Safety Act (" MAUCRSA"), which merged the regulatory regimes of MCRSA and AUMA; and
WHEREAS, under MAUCRSA the State began issuing licenses in 2018 for both medical and adult -use ( recreational) cannabis businesses in twenty ( 20) different categories, which are found 01257. 0002/ 840389. 1 Ordinance No. 1260

ATTACHMENT C

in Section 26050 of the State Business & Professions Code, to include licensing categories cannabis cultivators, manufacturers, testers, retailers, distributors, and microbusinesses; and WHEREAS, the MAUCRSA, through Section 26200( a)( 1) of the State Business and Professions Code, provides local jurisdictions the right to completely prohibit the establishment or operation of any or all of the twenty ( 20) different categories of medical and recreational business operations to be licensed by the State under Section 26050 of the State Business and Professions Code; and
WHEREAS, the MAUCRSA, through Section 26055( d) of the State Business & and Professions Code, provides that a State commercial cannabis license may not be issued to an applicant whose operations would violate the provisions of any local ordinance or regulation; and WHEREAS, the MAUCRSA, through Section 26200( a)( 1) of the State Business & Professions Code, provides local jurisdictions the right to adopt and enforce local ordinances to regulate any or all of the twenty ( 20) different categories of medical and adult -use business operations to be licensed by the State under Section 26050 of the State Business and Professions Code, including, but not limited to, local zoning and land use requirements; and WHEREAS, the MAUCRSA, Section 26201 of the State Business and Professions Code, provides that any standards, requirements, and regulations regarding health and safety, environmental protection, testing, security, food safety, and worker protections established by the state for the twenty ( 20) different categories of medical and adult -use business operations to be licensed by the State under Section 26050 of the State Business and Professions Code shall be the minimum standards, and a local jurisdiction may establish additional standards, requirements, and regulations; and
WHEREAS, pursuant to the above -described express statutory authority and its police power, the City of South El Monte ( the " City") now desires to amend Chapter 5. 26 ( Cannabis Activities) of Title 5 ofthe City Municipal Code to permit certain commercial adult -use cannabis uses ( retail (medical / adult -use / non -medical) sales); and WHEREAS, pursuant to the above -described express statutory authority and its police power, the City now desires to amend Chapter 5. 26 ( Cannabis Activities) of Title 5 of the City Municipal Code so as to expressly authorize the City Manager to issue administrative rules and regulations governing commercial cannabis uses within the City; and WHEREAS, as part of this Ordinance, the City desires to impose a tax upon commercial cannabis operations, to be known as the " Cannabis Business Tax," pursuant to voter approval, so that every person engaged in conducting a commercial cannabis operation shall pay a cannabis business tax, regardless of whether such operation has a valid permit pursuant to the South El Monte Municipal Code; and
WHEREAS, pursuant to subdivision ( b) of Section 2 of Article XIIIC of the California Constitution and Section 53720 et seq. of the Government Code, the City Council is authorized to impose a general tax upon submission of such general tax to the voters ofthe City and approval by a 01257. 0002/ 840389. 1 Ordinance No. 1260

majority of the voters voting on the issue, at an election consolidated with a regularly scheduled general election for members of the City Council; and
WHEREAS, presently the City has no specific local tax on cannabis commercial operations; and
WHEREAS, MAUCRSA and AUMA do not preempt local taxation ofcommercial cannabis operations; and
WHEREAS, pursuant to Government Code Section 9222 and Government Code Sections 53720 et seq., on August 2, 2022, the City Council approved this Ordinance for submittal to the voters ofthe City, and called a General Municipal Election for that purpose to be held on November 8, 2022, and consolidated with the Statewide General Election that will be held on the same date; and
WHEREAS, although the City does not desire nor intend by this Ordinance to allow any commercial cannabis uses in the City other than the medical cannabis retailers that may be permitted pursuant to Chapter 5. 26 of the City' s Municipal Code, the City does desire to seek voter approval for a broad cannabis tax that is applicable to permitted commercial cannabis uses, any unlawful or unpermitted commercial cannabis uses which may be in operation at any time, and any potential commercial cannabis uses that may be allowed in the fixture; and WHEREAS, ifthis Ordinance is approved by a majority of voters, then this Ordinance will, among other amendments, amend the South El Monte Municipal Code to add a new Chapter 3. 40 Cannabis Business Tax") to Title 3 ( Revenue and Finance) of the South El Monte Municipal Code to enact the Cannabis Business Tax, which includes a " commercial cannabis tax" and a " commercial cannabis cultivation tax," as such terms are used in said Chapter 3. 40; and WHEREAS, the City desires and intends that revenue generated from said cannabis taxes can be spent for unrestricted general revenue purposes; and WHEREAS, the City finds that this Ordinance is not subject to the California Environmental Quality Act (" CEQA") pursuant to both the exemption provided by Section 26055( h) of the State Business and Professions Code as well as Sections 15060( c)( 3) and 15061( b)( 3) of the CEQA Guidelines; and
WHEREAS, nothing in this Ordinance shall be construed to allow any person to engage in conduct that endangers others or causes a public nuisance;

NOW, THEREFORE, THE PEOPLE OF THE CITY OF SOUTH EL MONTE, CALIFORNIA FIND AND ORDAIN AS FOLLOWS:

SECTION 1. FINDINGS. The people of the City of South El Monte hereby make the following findings:

A. The recitals set forth above are all true and correct and are incorporated herein as findings of fact.

B. The regulation of commercial cannabis activities established by this Ordinance amendment are to protect and promote the public health, safety and welfare, and are enacted pursuant to the authority granted to the City by State law. 01257. 0002/ 840389. 1 Ordinance No. 1260

C. Tax revenue from commercial cannabis operations can provide funds for additional City services to promote and protect the general health and welfare of the citizens of the City.

SECTION 2. NEW CANNABIS REGULATIONS. Chapter 5. 26 ( Cannabis Activities) of Title 5 Business Taxes, Licenses, and Regulations) of the City Municipal Code is hereby retitled and amended in its entirety to read as follows:

CHAPTER 5. 26 - COMMERCIAL CANNABIS OPERATIONS REGULATORY

PROGRAM
Sec. 5. 26. 010 - Purpose and intent.

Sec. 5. 26. 020 - Commercial cannabis operation prohibited without City Commercial Cannabis Operation Permit.

Sec. 5. 26. 030 - Definitions.

Sec. 5. 26. 040 - Prohibited commercial cannabis operations.

Sec. 5. 26. 050 — Permitted commercial cannabis operations.

Sec. 5. 26. 060 - Maximum number of Commercial Cannabis Operation Permits.

Sec. 5. 26. 070 - Commercial Cannabis Operation Permit application procedure.

Sec. 5. 26. 080 - Limitations on the City' s liability.

Sec. 5. 26. 090 - Commercial Cannabis Operation Permit term.

Sec. 5. 26. 100 - Change in location; transfer; updated application information.

Sec. 5, 26. 110 - General operating standards and restrictions.

Sec. 5. 26. 120 - Retailer operating standards and restrictions.

Sec. 5. 26. 120. 5 - Delivery operating standards and restrictions.

Sec. 5. 26. 130 — Community benefits agreement.

Sec. 5. 26. 140 - Administration.

Sec. 5. 26. 150 - Fees.

Sec. 5. 26. 160 - Suspension and revocation.

Sec. 5. 26. 170 — Appeals.

Sec. 5. 26. 180 — Violations and penalties; public nuisance.

Sec. 5. 26. 190 - Service of notices.

Sec. 5. 26. 200 - Prohibitions.

Sec. 5. 26. 210 - Nonconforming use.

Sec. 5. 26. 220 — Exceptions.

Sec. 5. 26. 230 — Operative date.

Sec. 5. 26. 240 -- Severability.

Sec. 5. 26. 250 — City Council Authority to Amend.

Sec. 5. 26. 260 — City Councilmember Conflicts of Interest. 01257.0002/ 840389. 1 Ordinance No. 1260

Sec. 5. 26. 010 - Purpose and intent.

A. The purpose ofthis chapter is to establish a comprehensive set ofregulations with an attendant regulatory permit applicable to the operation of certain types of commercial cannabis operations, while simultaneously establishing an express prohibition on certain other types of commercial cannabis operations.

B. The regulations for, and prohibitions on, specific types of commercial cannabis operations are enacted to preserve the public health, safety, and welfare of the residents and visitors ofthe City , consistent with the State' s Compassionate Use Act of 1996, Medical Marijuana Program Act of 2003, Adult Use of Marijuana Act of 2016 MAUCRSA, and all applicable State laws governing commercial cannabis operations.

C. The issuance of a Commercial Cannabis Operation Permit shall constitute a revocable privilege and shall not create or establish any vested rights for the development or use of a property.

D. This chapter and any administrative regulations adopted pursuant to this chapter shall be known as the " Commercial Cannabis Operations Regulatory Program" or the Program".

Sec. 5. 26. 020 - Commercial cannabis operation prohibited without City Commercial Cannabis Operation Permit.

It shall be unlawful to own, establish, operate, use, or permit the establishment or activity of a commercial cannabis operation, or to participate in commercial cannabis operations as an employee, contractor, agent, volunteer, or in any manner or capacity, other than as provided in this chapter and pursuant to both a current and valid City Commercial Cannabis Operation Permit, as well as the equivalent State license for such commercial cannabis operation as provided for by Section 26050 of the State Business & Professions Code, and as amended from time to time. The prohibition contained in this section shall include renting, leasing, or otherwise permitting a commercial cannabis operation to occupy or use a location, vehicle, or other mode oftransportation.

See. 5. 26. 030 - Definitions.

As used in this chapter, the following words and phrases shall have the following meanings. Words and phrases not specifically defined below shall have the meanings ascribed to them elsewhere in this Code or shall otherwise be defined by common usage. For definitions of nouns, the singular shall also include the plural; for definitions of verbs, all verb conjugations shall be included. Any reference to State statutes includes any regulations promulgated thereunder and is deemed to include any successor or amended version of the referenced statute or regulatory provision.

A. " Adult use" ( i.e., " recreational" or " non -medical") refers to activity involving cannabis or cannabis products, which is restricted to adults 21 years of age and older and who do not possess a physician' s recommendation, in contrast to an activity involving medical cannabis or medical cannabis products.

B. " Alcohol or drug treatment facility" shall have the same definition as " alcoholism or drug abuse recovery or treatment facility" as defined in Section 11834. 02( a) of the State Health and Safety Code, which currently defines the term as " any premises, place, or building that provides residential nonmedical services to adults who are 01257. 0002/ 840389. 1 Ordinance No. 1260

recovering from problems related to alcohol, drug, or alcohol and drug misuse or abuse, and who need alcohol, drug, or alcohol and drug recovery treatment or detoxification services." Further, " alcohol or drug treatment facility" shall also include such a facility that provides treatment for minors to the extent permitted by law.

C. " Applicant" means a person who files an application for a Commercial Cannabis Operation Permit under this chapter. ( and shall not include the owners or the managers of the applicant).

D. " Cannabis" means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin.

Cannabis" also means the separated resin, whether crude or purified, obtained from cannabis. " Cannabis" does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks ( except the resin extracted therefrom), fiber, oil, or cake, or the sterilized seed of the plant which is incapable of germination.

E. " Cannabis concentrate" means cannabis that has undergone a process to concentrate one or more active cannabinoids, thereby increasing the product's potency. Resin from granular trichomes from a cannabis plant is a concentrate for purposes ofthis division.

A cannabis concentrate is not considered food, as defined by Section 109935 of the Health and Safety Code, or a drug, as defined by Section 109925 of the Health and Safety Code.

F. " Cannabis products" means cannabis that has undergone a process whereby the plant material has been transformed into a concentrate, including but not limited to, concentrated cannabis, or an edible or topical product containing cannabis or concentrated cannabis and other ingredients.

G. " City" means the City of South El Monte, State ofCalifornia.

H. " City Attorney" means the City of South El Monte City Attorney, and includes his/ her designee( s).

1. " City Council" means the City Council ofthe City of City of South El Monte.

J. " City Manager" means the City ofSouth El Monte City Manager, and includes his/ her designee( s).

K. " Code" means the City of South El Monte Municipal Code, and may be amended.

L. " Commercial cannabis operation" includes the cultivation, possession, manufacture, distribution, processing, storing, laboratory testing, packaging, labeling, transportation, delivery, or sale ( including retail and wholesale, and including medical -only and adult -use sales) of cannabis and cannabis products; except, as applicable, the activities provided in Section 5. 26. 220( A) or as preempted by State law.

M. " Commercial Cannabis Operation Permit" shall mean a City permit issued pursuant to the procedures provided for in this chapter allows the permit holder to operate a specific type of commercial cannabis operation in the City subject to the requirements ofthis chapter, State law, and the specific permit.
01257, 0002/ 840389. 1 Ordinance No. 1260

N. " County" means the County of Los Angeles, State of California.

O. " Cultivation" means any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis.

P. " Customer" means a natural person twenty- one ( 21) years of age or over or a natural person eighteen ( 18) years of age that is a qualified patient or primary caregiver.

Q. " Day care center" means, a facility other than a family day care home, infant centers, toddler, preschool, and school age children licensed by the State Department ofSocial Services pursuant to Section 1596. 951 of the State Health and Safety Code. Pursuant to the authority delegated by the State to the City under Section 26054( b) of the State Business and Professions Code, this definition of "day care center" under this chapter shall override the definition of "day care center" in MAUCRSA at Section 26001 of the State Business and Professions Code.

R. " Delivery" means the commercial transfer of cannabis or cannabis products to a customer, and includes the use of any technology platform owned and controlled by the same person making such use.

S. " Director" means the City of South El Monte Community Development Director, and includes his/ her designee( s).

T. " Distribution" means the procurement, sale, and transport of cannabis and cannabis products between entities licensed for and/ or engaged in commercial cannabis operations under State law.

U. " Distributor" means a person engaged in distribution.

V. " Edible" means cannabis product that is intended to be used, in whole or in part, for human consumption, including, but not limited to, chewing gum, but excluding products set forth in Division 15 ( commencing with Section 32501) of the Food and Agricultural Code. An edible cannabis product is not considered food, as defined by Section 109935 ofthe State Health and Safety Code, or a drug, as defined by Section 109925 of the State Health and Safety Code.

W. " Employee" means any person ( whether paid or unpaid) who provides regular labor or regular services for a commercial cannabis operation, including, but not limited to, at the location of a commercial cannabis operation. The term " employee" includes managers and owners as used in this chapter.

X. " Extraction" means the process of obtaining cannabis concentrates from cannabis plants, including but not limited to through the use of solvents like butane, alcohol or carbon dioxide.

Y. " Finance Director" means the City of South El Monte Finance Director, and includes his/ her designee( s).

Z. " Fire Chief' means the City of Los Angeles County Fire Department Chief, and includes his/ her designee( s).

AA. " Gross receipts" means, except as otherwise specifically provided herein, whether designated as a sales price, royalty, rent, commission, dividend, or other designation, the total amount ( including all receipts, cash, credits, and property of any kind or nature) received or payable for sales of goods, wares, or merchandise without any deduction therefrom on account ofthe cost of the property sold, the cost of materials used, Iabor, or service costs, interest paid or payable, losses, or any other expense 01257. 0002/ 840389. 1 Ordinance No. 1260

whatsoever. However, the following shall be excluded from gross receipts:
l . Cash discounts where allowed and taken on sales;

2. Any tax required by law to be included in or added to the purchase price and collected from the consumer or purchaser

3. Such part ofthe sale price of any property returned by purchasers to the seller as refunded by the seller by way of cash or credit allowances or return of refundable deposits previously included in gross receipts;

4. Receipts derived from the occasional sale of used, obsolete, or surplus trade fixtures, machinery, or other equipment used by the taxpayer in the regular course of the taxpayer' s business

5. Cash value of sales, trades, or transactions between departments or units of the same business

6. Whenever there are included within the gross receipts amounts which reflect sales for which credit is extended and such amount proved uncollectible in a given year, those amounts may be excluded from the gross receipts in the year they prove to be uncollectible; provided, however, if the whole or portion of such amounts excluded as uncollectible are subsequently collected, they shall be included in the amount of gross receipts for the period when they are recovered

7. Receipts of refundable deposits, except that such deposits when forfeited and taken into income of the business shall not be excluded when in excess of one dollar; and

8. Any proceeds resulting from a transfer or change of ownership or control in the business.

BB. " Identification card" has the same definition as provided for in Section 11362. 7( g) of the State Health and Safety Code , and as may be amended, defined as " a document issued by the [ State Department of Health Services] that identifies a person authorized to engage in the medical use of cannabis and the person' s designated primary caregiver, if any."
CC. " Labeling" means any label or other written, printed, or graphic matter upon cannabis or a cannabis product, upon its container or wrapper, or that accompanies any cannabis or cannabis product.

DD. " Labor peace agreement" means an agreement between a cannabis retailer and any bona fide labor organization that, at a minimum, protects the City' s proprietary interests by prohibiting labor organizations and members from engaging in picketing, work stoppages, boycotts, and any other economic interference with a cannabis retailer. This agreement means that the cannabis retailer has agreed not to disrupt efforts by the bona fide labor organization to communicate with, and attempt to organize and represent, the cannabis retailer' s employees. The agreement shall provide a bona fide labor organization access at reasonable times to areas in which the cannabis retailer' s employees work, for the purpose of meeting with employees to 01257. 0002/ 840389. 1 Ordinance No. 1264

discuss their right to representation, employment rights under State law, and terms and conditions of employment.

EE. " Liquid Assets" means assets that can be readily converted into cash. " Liquid assets" include, but are not limited to, the following: funds in checking or savings accounts, certificates of deposit, money market accounts, mutual fund shares, publicly traded stocks, and United States savings bonds. " Liquid assets" does not mean household items, furniture and equipment, vehicles, cannabis or cannabis products, business inventory, or real property and improvements thereto.

FF. " Location" means any parcel of land, whether vacant or occupied by a building, group of buildings, or accessory buildings, and includes the buildings, structures, yards, open spaces, lot width, and lot area.

GG. " Lighting" means the act of illuminating as well as the effect achieved by the arrangement of lights.

HH. " Live scan" means a system for inkless electronic fingerprinting and the automated background check developed by the California Department of Justice (" DOJ") that involves digitizing fingerprints and electronically transmitting the fingerprint image data along with personal descriptor information to computers at the DOJ for completion of a criminal record check; or such other comparable inkless electronic fingerprinting and automated background check process as determined by the City Council.

11. " Manager" means an employee responsible for management and/ or supervision of a commercial cannabis operation including but not limited to, any ( i) manager or managing member or other officer of a limited liability company or ( ii) president, chief executive officer, secretary, treasurer, chief financial officer, or other officer of a for profit corporation.

JJ. " Manufacture" or " manufacturing" means to compound, blend, extract, infuse, or otherwise make or prepare a cannabis product; includes the activities of a manufacturer.

KK. " Manufacturer" means a person that conducts the production, preparation, propagation, or compounding of cannabis or cannabis products either directly or indirectly or by extraction methods, or independently by means of chemical synthesis, or by a combination of extraction and chemical synthesis at a fixed location that packages or repackages cannabis or cannabis products or labels or relabels its container; includes the activity of manufacturing.

LL. " Marijuana" has the same definition as provided for " cannabis" in this chapter.

MM. " MAUCRSA" means the State Medicinal and Adult -Use Cannabis Regulation and Safety Act, codified at Sections 11018 et seq. of the State Health and Safety Code, Sections 26001 et seq. of the State Business and Professions Code, Section 34010 of the State Revenue and Tax Code, and Sections 81000 et seq. of the State Food and Agriculture Department Code, as may hereinafter be amended.

NN. " Medical" refers to activity involving medical cannabis or medical cannabis products, in contrast to an activity involving adult -use cannabis or adult -use cannabis products.

00. " Medical cannabis" or " medical cannabis product" means cannabis or a cannabis product used in compliance with state law for medical purposes, pursuant to the 01257. 0002/ 840389. 1 Ordinance No. 1260

Compassionate Use Act (Section 11362. 5 ofthe State Health and Safety Code § ), the Medical Marijuana Program Act ( Sections 113262. 7, et seq. of the State Health and Safety Code), and the MAUCRSA.

PP. " Minor" means a person under twenty- one ( 21) years of age.

QQ. " Owner" means any of the following:

1. A person owning in the aggregate equity interests representing ten ( 10) percent or more of the voting power of all outstanding equity in the applicant or a commercial permittee.

2. The president, chief executive officer, secretary, treasurer, or chief financial officer of a nonprofit applicant or permittee; or
A member ofthe board of directors of a nonprofit applicant or permittee.

Notwithstanding the above, every applicant and permittee must have at least one individual person designated as an " owner" for the purpose of compliance with this chapter, including the review and evaluation of any Commercial Cannabis Operation Permit application.

RR. " Microbusiness" shall have the same definition as provided for in Section 26070 of the State Business and Professions Code, and as may be amended.

SS. " Nursery" means a person that produces only clones, immature plants, seeds, and other agricultural products used specifically for the planting, propagation, and cultivation of cannabis.

TT. " Operations Officer( s)" shall refer to the Director, the Fire Chief, the Police Chief, the Finance Director and the City Manager, individually or collectively.

UU. " Package" means any container or receptacle used for holding cannabis or cannabis products.

VV. " Packaging" or " packages" means an activity involved with placing cannabis or cannabis products in a package.

WW. " Park" means public land which has been designated for park or recreational activities, including but not limited to a park, playground, nature trails, swimming pool, athletic field, basketball court, tennis court, pedestrian or bicycle paths, beaches, open space, or similar public land within the City or which is under the control, operation or management ofthe City Recreation and Parks Department. " Park" shall not include any youth center.

XX. " Permittee" means a person issued a Commercial Cannabis Operation Permit by the City.

YY. " Person" means any individual, firm, co -partnership, joint venture, association, corporation, limited liability company, estate, trust, business trust, receiver, syndicate, or any other group or combination acting as a unit.

ZZ. " Person with an identification card" has the same definition as provided for in Section 11362. 7( c) of the State Health and Safety Code, and as may be amended, defined as an individual who is a qualified patient who has applied for and received a valid identification card pursuant to this article."
01257. 0002/ 840389. 1 Ordinance No. 1260

AAA. " Physician' s recommendation" means a determination from a physician that a patient' s medical cannabis use is deemed appropriate and is recommended by the physician on the basis of the physician has determined that the patient' s health would benefit from the use of cannabis in the treatment of cancer, anorexia, AIDS, chronic pain, spasticity, glaucoma, arthritis, migraine, or any other illness for which cannabis provides relief, in strict accordance with Section 11362. 5 of the State Health and Safety Code.

BBB. " Police Chief' means the Los Angeles County Sheriff, and includes his/ her designee( s).

CCC. " Police Department" means the Los Angeles County Sheriff' s Department.

DDD. " Premises" means the designated structure or structures and land specified in a Commercial Cannabis Operation Permit application that is owned, leased, or otherwise held under the control of the applicant or permittee where commercial cannabis operation will be or is conducted. The premises shall be a contiguous area and shall only be occupied by one permittee."
EEE. " Primary caregiver" has the same definition as provided for in Section 11362. 7( d) of the State Health and Safety Code, and as may be amended, defined as " the individual, designated by a qualified patient or by a person with an identification card, who has consistently assumed responsibility for the housing, health, or safety of that patient or person". A " primary caregiver" shall also meet the requirements of Section 11362. 7( e) of the State Health and Safety Code , and as may be amended, which provide that a " primary caregiver shall be at least 18 years of age, unless the primary caregiver is the parent of a minor child who is a qualified patient or a person with an identification card or the primary caregiver is a person otherwise entitled to make medical decisions under state law pursuant to Sections 6922, 7002, 7050, or 7120 of the Family Code."
FFF. " Qualified patient" has the same definition as provided for in Section I I362. 7( f) of the State Health and Safety Code, and as may be amended, defined as " a person who is entitled to the protections of Section 11362. 5, but who does not have an identification card issued pursuant to this article."
GGG. " Religious institution" means any church, synagogue, mosque, temple, or building which is used primarily for religious worship, religious education, and related religious activities.

HHH. " Residentially zoned property" means any parcel of land Iocated within the City zoned: R- 1 ( Single -Family Residential Zone), R- 2 ( Multiple Residential Zone), or R3 ( Multiple Residential Zone) I11. " Retailer" means a person engaged in the retail sale or delivery of cannabis or cannabis products to a customer. " Retailer" includes " Retailer ( Medical -Only)" and Retailer ( Medical/ Adult Use)." " Retailer ( Medical -Only)" refers to a retailer which is restricted by the terms of its Commercial Cannabis Operation Permit to engaging in the retail sale or delivery of medical cannabis or cannabis products as stated in Section 5. 26. 120( A). " Retailer ( Medical/ Adult- Use)" refers to a retailer which is not so restricted by the terms of its Commercial Cannabis Operation Permit, and which accordingly may engage in the retail sale or delivery of medical or adult -use cannabis or cannabis products to a customer.

JJJ. " Retail sale( s)" means any commercial cannabis operation involving the retail sale 01257.00021940389. 1 Ordinance No. 1260
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of cannabis or cannabis products from a retailer.

KKK. " Sale( s)" means any sale, exchange, or barter or other transaction for any consideration.

LLL. " School" means as evidenced by the State Department of Education school directory, a public school instructing children in grades kindergarten through 12, as authorized by the State Department of Education or a private school instructing children in grades kindergarten through 12 that has filed a verification of private school affidavit with the State Department of Education pursuant to Section 33190 of the State Education Code, excluding any private school in which education is primarily conducted in a private home. Pursuant to the authority delegated by the State to the City under Section 26054(b) of the State Business and Professions Code, this definition of" school" under this chapter shall override the definition of "school" used in MAUCRSA or Section 11362. 768 ofthe State Health and Safety Code.

MMM." Site" means the premises and actual physical location of a Commercial Cannabis Operation, as well as its accessory structures and parking areas NNN. " State" means the State of California.
000. " Testing laboratory" or " testing" refers to a laboratory, facility, or entity that offers or performs tests on cannabis or cannabis products; includes the activity of laboratory testing.

PPP. " Youth center" means, ( A) any public or private facility that is primarily used to host recreational or social activities for minors, such as private youth membership organizations or clubs, social service teenage club facilities, or (B) a park, playground, or recreational area specifically designed to be used by children that may have play equipment installed, including public grounds designed for athletic activities such as baseball, softball, soccer, or basketball or any facility located on a public or private school grounds, or on City, County, or parks. " Youth center" shall not include any private martial arts, yoga, ballet, music, or similar studio of this nature nor shall it include any private athletic training facility, pizza parlor, restaurant, video arcade, dentist office, or doctor' s office primarily serving children. Pursuant to the authority delegated by the State to the City under Section 26054( b) of the State Business and Professions Code, this definition of "youth center" under this chapter shall override the definition of "youth center" in MAUCRSA at Section 26001 of the State Business and Professions Code.

Sec. 5. 26. 040 - Prohibited commercial cannabis operations.

A. Commercial cannabis operations ( including non- profit operations) within the City that involve the activities of non -storefront retailer ( whether medical -only or medical/ adult- use), cultivation, manufacturer, testing, distribution, or microbusiness are prohibited, including but not limited to commercial cannabis operations licensed by the State in the license classifications listed below as provided in Section 26050 of the State Business and Professions Code:

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

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

3. Type 1B = Cultivation; Specialty Mixed Light; Small. 01257. 0002/ 840389. 1 Ordinance No. 1260

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

5. Type 2 = Cultivation; Outdoor; Small.

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

7. Type 213 = Cultivation; Mixed -light; Small.

8. Type 3 = Cultivation; Outdoor; Medium.

9. Type 3A = Cultivation; Indoor; Medium.
10, Type 3B = Cultivation; Mixed -Light; Medium.

11. Type 4 = Cultivation; Nursery.

12. Type 5= Cultivation; Outdoor; Large.

13. Type 5A = Cultivation; Indoor; Large

14. Type 5B = Cultivation; Mixed -Light; Large.

15. Type 6 = Manufacturer 1.

16. Type 7 = Manufacturer 2.

17. Type 8 = Testing.

18. Type 9 = Non -Storefront Retailer ( Delivery Only)

19. Type 11 = Distributor

20. Type 12 = Microbusiness.

B. The prohibition provided by above subsection ( A) includes any similar activities authorized under new or revised State licenses, or any other State authorization, to allow any type, category or classification of cannabis commercial operations that involve the activities of non -storefront retailer ( Type 9, i.e., delivery only) ( whether medical -only or medical/ adult- use), cultivation, manufacturer, testing, distribution, microbusiness, or similar operations ( including non- profit, collective or cooperative operations).

Sec. 5. 26. 050 - Permitted commercial cannabis operations.

A. Commercial cannabis operations ( including non-profit operations) within the City which involve the activity of retailer ( Type 10; medical -only and medical/ adult-use) are allowed subject to issuance and maintenance of a valid and current City Commercial Cannabis Operation Permit, continuing adherence to this entire chapter and all applicable City and State regulations and laws, and issuance and maintenance of a valid and current equivalent state license type listed below, as provided for in Section 26050 of the State Business and Professions Code:

1. Type 10 = Retailer ( Medical -Only; Medical/Adult-Use).

B. The requirements provided by above subsection ( A) apply to any similar activities authorized under new or revised State licenses, or any other State authorization, to allow any type, category or classification of cannabis commercial operations that involve the activity of retailer ( medical -only and medical/ adult- use) or similar operations ( including non- profit, collective or cooperative operations). 01257. 0002/ 840389. 1 Ordinance No. 1260