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a.Every owner of a proposed retail cannabis business shall complete an application furnished by the City Manager’s Office. The person(s) authorized to sign on behalf of and legally bind the cannabis business shall print their name and sign the application under penalty of perjury. All applications shall be filled out completely and include the following:

1.Payment of fees.

2. Business Plan.Describe the business operation plans and philosophy. Describe the quality of cannabis strains and derivative product offerings.

3.No physical address for the proposed cannabis business shall be listed on the retail permit application.

4.The name, address, and contact information for the business owners(s) and the percentage of ownership interest held in the applicant entity. If the owner is a corporation, limited liability company, partnership or other type of entity, legal documents outlining the business structure shall be provided along with the name, address, and phone number for each officer. The following documents, if applicable to the business structure, shall be provided: articles of incorporation, articles of organization, certificate of limited partnership, statement of partnership authority, and/or fictitious name statements. All entities and individuals with a financial interest in the entity shall be disclosed to the City and may be considered owners of the cannabis business. Ownership of any cannabis business operating in the City is a matter of public record.

5. Security Plan.Provide a detailed security plan which includes measures to be used to prevent unauthorized access, protect the physical safety of employees and surrounding properties, and protect against theft/loss of cannabis, cannabis products, and all other related materials and equipment. Identify surveillance equipment and locations, physical barriers, alarm systems, and storage of samples and records.

6. Transportation Plan.Each cannabis business shall have a storage and transportation plan and describes in detail the procedures for safely and securely storing and transporting all cannabis, cannabis products, any hazardous materials that may be used by the business, and any currency.

7. Experience.Previous experience in a cannabis business that was subject to state cannabis regulation, or experience in a similarly state-regulated activity (by way of example and not limitation, alcohol sales).

8.Employee training, wages, and benefits, and compliance with local, state, and federal employee nondiscrimination policies.

9.Ability to conform with the City’s general plan, any applicable specific plans, and design standards.

10.Steps the cannabis business will take to ensure the cannabis it receives is sourced from cultivators that provide safe working conditions and pay wages to laborers for work performed.

11.Steps the cannabis business will take to reduce the carbon footprint of cannabis by reducing greenhouse gas emissions.

12.Community engagement including past, present, or planned activities that demonstrate how the cannabis business plans to integrate into the community, and involvement in local nonprofits/charitable/volunteer organizations.

13.Description of accounting software system to provide point of sale data and audit trails of both product and cash.

14.Demonstrate how compliance with the state’s track and trace system for cannabis and cannabis products will be achieved.

15.Additional information that demonstrates a connection to the City, ability to serve the City, familiarity with the City, and innovative business models consistent with the City’s community.

16.An executed release of liability and hold harmless in the form set forth in the City’s application form.

b.All information submitted by applicants shall be true, correct, whole, and free of any material misrepresentation or omission.

c.If any items required by the application are not met or provided, the City Manager may notify the applicant of the deficiency in writing, after which the applicant will have ten (10) business days from the date of the notice to correct the deficiency.

d.The City reserves the right to reject any or all applications for a cannabis permit. Persons submitting applications assume the risk that all or any part of this code authorizing cannabis businesses may be repealed at any time prior to license issuance.

e.Pursuant to California Penal Code Sections 11105(b)(11) and 13300(b)(11), which authorizes City authorities to access state and local summary criminal history information for cannabis employment, licensing, or certification purposes and authorizes access to federal level criminal history information by transmitting fingerprint images and related information to the Department of Justice to be transmitted to the Federal Bureau of Investigation, every person listed as an owner or employee must submit fingerprints and other information deemed necessary by the Chief of Police or their designee for a background check by the City of Monterey Police Department and/or its agents or employees.

f.Prior to cannabis business permit issuance, the City may modify, postpone, or cancel any request for applications, at any time without liability, obligation, or commitment to any party, firm, or organization, to the extent permitted under California law. Persons submitting applications assume the risk that all or any part of the cannabis business permit program, or any category of cannabis business potentially authorized under this Article, may be cancelled at any time prior to permit issuance. The City further reserves the right to request and obtain additional information from any candidate applying. (Ord. 3679 § 5, 2024; Ord. 3674 § 11, 2023)