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HomeMy WebLinkAboutItem 5 - WenItem 5 - 1ADMINISTRATIVE APPEALS BOARD STAFF REPORT DATE: May 25, 2022 SUBJECT: APPEAL OF THE ADMINISTRATIVE FINE OF $5,000 TO OG ARABIAN NIGHTS, LLC FOR VIOLATION OF 5.55.200(A)(3) and 5.55.200(21) OF THE PALM SPRINGS MUNICIPAL CODE BY: Office of Special Programs Compliance Department SUMMARY Phillip Wen, on behalf of OG Arabian Nights, LLC has requested an appeal of the administrative citation and fine of $5,000.00 for failure to provide current register of names upon reasonable request, as required and failure to provide employee information within ten (10) days prior new employment. RECOMMENDATION: 1) Open the Appeal Hearing and accept public testimony. 2) Adopt Resolution No. __ , A RESOLUTION OF THE ADMINISTRATIVE APPEALS BOARD OF THE CITY OF PALM SPRINGS, CALIFORNIA, ON THE APPEAL OF THE ADMINISTRATIVE FINE OF $5,000 TO OG ARABIAN NIGHTS, LLC FOR VIOLATION OF 5.55.200(A)(3) and 5.55.200(21) OF THE PALM SPRINGS MUNICIPAL CODE BACKGROUND: On November 6, 2019, City Council adopted Ordinance 2005 amending Palm Springs Municipal Code ("PSMC") 5.55, Cannabis Related Business and Activities. Prior to the amendment Chapter 5.55 did not establish penalties and enforcement for violations of the municipal code. The intent of the amendment was to establish significant penalties and provisions for enforcement. On October 14, 2021, City Council adopted a Resolution updating the City of Palm Springs Administrative Fine Schedule, establishing fine amounts for violations of the cannabis regulations contained in PSMC Chapter 5.55. The City provided outreach materials to cannabis businesses and stakeholders informing them of these changes (ATTACHMENT "4"). Additionally, in October 2021, the Department of Special Program Compliance monthly newsletter provided a copy of the administrative fee schedule to all business owners and stakeholders (ATTACHMENT Item 5 - 2Administrative Appeals Board Staff Report May 25, 2022 -Page 2 Cannabis Related Business and Activities Appeal -OG Arabian Nights, LLC "5") and in February 2022 introduced the implementation of code enforcement for cannabis (ATTACHMENT "6"). Prior to the issuance of citations, code enforcement staff provided in-person outreach and warnings to cannabis businesses advising of violations (ATTACHMENT "7"). STAFF ANALYSIS: OG Arabian Nights, located at 232 N. Palm Canyon Drive operates as a dispensary and lounge, They commenced operations in November 2020. In June 2021, during a random inspection it was found that OG Arabian Nights did not have a security guard on duty during their operational hours (ATTACHMENT "8"). Both the State and Local regulations require that a security guard be present during operational hours: Department of Cannabis Control Medicinal and Adult-Use Commercial Cannabis Regulations. §15045. Security Personnel. (a) A licensed retailer or licensed microbusiness authorized to engage in retail sales shall hire or contract for security personnel who are at least 21 years of age to provide onsite security services for the licensed retail premises during the hours of operation. All Emergency Readopt Final Text of Emergency Regulations Medicinal and Adult-Use Commercial Cannabis Regulations Page 63 of 187 security personnel hired or contracted for by the licensee shall be licensed by the Bureau of Security and Investigative Services and shall comply with chapters 11.4 and 11. 5 of division 3 of the Business and Professions Code. Palm Springs Municipal Code 5.55.095 Required Findings and Conditions for Dispensaries i. Areas where cannabis consumption is permitted shall provide adequate security and lighting on-site to ensure the safety of persons and protect the premises from theft at all times in conformance with the security plan submitted with the application. All security guards shall be licensed and possess a valid Department of Consumer Affairs "Security Guard Card" at all times. On June 16, 2021, the owners provided verification of security to the Department of Special Program Compliance ("DSPC"). On April 20, 2022, during a random inspection no security was present during operational hours. On April 21, 2022, Code Officer Nabhan returned to the business to follow up with staff, at that time it was determined that a new security guard was employed. The information for the new employee had not been submitted to the DSPC; and it was determined that a live scan for the employee had not been received by the DSPC. Officer Nabhan spoke with the Store Manager, Ivette Flores and communicated the necessity to provide the relevant information. On April 26, 2022, Code Officer Nabhan again reached Item 5 - 3Administrative Appeals Board Staff Report May 25, 2022 -Page 3 Cannabis Related Business and Activities Appeal -OG Arabian Nights, LLC out to OG Arabian Nights requesting the employee information (ATTACHMENT "9"). On April 27, 2022, a citation for violations of PSMC 5.55.200 (A)(3) and 5.55.200 (A)(21) (ATTACHMENT "1 O") was issued by Code Officer Nabhan. The following Palm Springs Municipal Code Sections are applicable to this matter: The Palm Springs Municipal Code §5.55.200 (A)(3) Definitions, reads as follows: 3. Each Permittee shall maintain a current register of the names and the contact information (including the name, address, and telephone number) of anyone owning or holding a financial interest in the Adult-Use Cannabis Business, and separately of all the officers, managers, supervisors, employees, and volunteers currently employed or otherwise engaged by the Adult-Use Cannabis Business. The register required by this paragraph shall be provided to the City Manager or his/her designee(s) upon a reasonable request. Palm Springs Municipal Code §5.55.200 (A)(21) reads as follows: 21. Any new supervisors, employees or other persons otherwise engaged in the operation of the Adult-Use Cannabis Business must submit their information to the City Manager within ten (1 OJ days prior to their new ownership, employment, or engagement, including fingerprints and other necessary information for a background check. VJJ&lJJl (fJ6Jfj Veronica Goedhart, Director Special Program Compliance Attachments: Resolution no. __ Decision of the Administrative Appeals Board 1 Notice of Appeal Hearing 2 Administrative Citation Appeal Letter 3 Outreach Correspondence re Cannabis Code Revisions 4 Outreach Newsletter and Administrative Fine Schedule 5 Outreach Newsletter re Implementation of Code Enforcement 6 Email to OG Arabian Nights Warning of Violations 7 June 2021 Emails re Security Guard 8 Email to OG Arabian Nights 04/26/2022 9 Notice of Violation and Citation AB 6001 10 Item 5 - 4 ATTACHMENT 1 RESOLUTION NO. ___ A RESOLUTION OF THE ADMINISTRATIVE APPEALS BOARD OF THE CITY OF PALM SPRINGS, CALIFORNIA, ON THE APPEAL OF PHILLIP WEN, ON BEHALF OF OG ARABIAN NIGHTS, LLC FOR APPEAL OF THE ADMINISTRATIVE FINE OF $5,000 TO OG ARABIAN NIGHTS, LLC FOR VIOLATION OF 5.55.200(A)(3) and 5.55.200(21) OF THE PALM SPRINGS MUNICIPAL CODE Jurisdiction: This administrative hearing is conducted in accordance with Palm Springs Municipal Code 2.50 which confers jurisdiction upon the Administrative Appeals Board. WHEREAS, OG ARABIAN NIGHTS failed to provide a current register of employees and failed to ensure the live scan had been completed and approved ten (10) days prior to employment; WHEREAS, any person who operates a Cannabis Business and fails to submit a, shall be liable to the City an administrative fine in the amount of Five Thousand Dollars ($5,000.00); and WHEREAS, the City investigated and determined that the Cannabis Business, OG Arabian Nights, 232 N. Palm Canyon Drive, Palm Springs failed to provide a current register of employees and failed to ensure the live scan had been completed and approved ten (10) days prior to employment; and WHEREAS, Administrative Citation No. AB6001 failure to provide current register and names upon reasonable request, as required and new employee information not submitted within 10 days prior to new employment; and WHEREAS, Phillip Wen, on behalf of OG Arabian Nights, LLC filed an administrative appeal of the Administrative Citation No. AB6001 for with the City Clerk and paid the appeal fee; and WHEREAS, the Administrative Appeals Board opened and conducted a duly noticed Administrative Appeal Hearing on May 25, 2022; and WHEREAS, the Administrative Appeals Board was presented prima facie evidence that OG Arabian Nights violated Sections 5.55.200 (A)(3) and 5.55.200 (A)(21) of the Palm Springs Municipal Code; and WHEREAS, the Administrative Appeals Board has carefully reviewed and considered all the evidence presented in connection with said appeal on May 25, 2022.; and THE ADMINISTRATIVE APPEALS BOARD HEREBY FINDS, after due consideration given to the relevancy, weight and credibility of testimony and evidence, Item 5 - 5 Resolution ____ Page 2 and based upon a preponderan ce of the evidence in accordance with the Board’s procedures, as follows: SECTION 1. The Appellant is in violation of Palm Springs Municipal Code 5.55.200 (A)(3) and 5.55.200 (A)(21). The Administrative Appeals Board upholds the administrative decision the Administrative Citation and Fine of $5,000.00 to OG Arabian Nights, 232 N. Palm Canyon Drive, Palm Springs. The Appellant is not in violation of Palm Springs Municipal Code 5.55.200 (A)(3) and 5.55.200 (A)(21). The Administrative Appeals Board overturns the administrative Citation and the Administrative Fine of $5,000.00 to OG Arabian Nights, 232 N. Palm Canyon Drive, Palm Springs. SECTION 2. The Administrative Appeals Board directs the City Clerk to deliver a copy of this Resolution to each party and to file a disposition report with the Palm Springs City Council. PASSED, APPROVED, AND ADOPTED BY THE PALM SPRINGS ADMINISTRATIVE APPEALS BOARD THIS DAY OF 2022. Michael Paonessa Chair ATTEST: MONIQUE LOMELI, CMC Interim City Clerk STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, MONIQUE LOMELI, Interim City Clerk of the City of Palm Springs, do hereby certify that Resolution No. ____ is a full, true and correct copy, and was duly adopted at a meeting of the Administrative Appeals Board of the City of Palm Springs on the day of , by the following vote: AYES: NOES: ABSENT: ABSTAIN: RECUSE: MONIQUE LOMELI, CMC Interim City Clerk Item 5 - 6 • • Item 5 - 7 ATTACHMENT 2 Item 5 - 8 TO: Philip Wen NOTICE OF ADMINISTRATIVE HEARING CITY OF PALM SPRINGS, CALIFORNIA BEFORE THE ADMINISTRATIVE APPEALS BOARD 232 N. Palm Canyon Dr. Palm Springs, CA 92262 stacyyang@horasgold .com NOTICE IS HEREBY GIVEN, pursuant to Palm Springs Municipal Code §2.50.080(d), of the Appeal Hearing before the Administrative Appeals Board, on the decision of the Department of Special Program Compliance, Violation of the Palm Springs Municipal Code 5.25, with respect to vacation rental operations located at 232 N. Palm Canyon Dr, Palm Springs , CA. Hearing Date : Hearing Time: Wednesday, May 25 , 2022 5 :30 p.m. Location : Zoom Meeting : https ://us02web .zoom .us/j/83222019463 or Call (669) 900-6833, Zoom Meeting ID 832 .2201.9463 The Administrative Appeals Board requests that if you have supplemental documentation/evidence , that you provide such documentation 24-hours in advance of the hearing. You may submit your documentation in person or via email at CityClerk@palmspringsca.gov . Documentation submitted at the meeting will be accepted; however, if the Board does not think it has adequate time to review your documentation, your appeal hearing may be continued to a future meeting . A bilingual and/or ASL interpreter will be made available, at no cost, upon request at least 48-hours in advance of the hearing. Please contact the Office of the City Clerk at (760) 323 -8204 or via email at CityClerk@palmspringsca.gov . AFFIDAVIT OF MAILING State of California ) County of Riverside ) ss. City of Palm Springs ) I, MONIQUE LOMELI, City Clerk , of the City of Palm Springs , California, do hereby certify that the Notice of Hearing before the Administrative Appeals Board was emailed and mailed to the parties at the address above, on May 4 , 2022 , postage prepaid, and depositing same in the U.S. Mail at Palm Springs , California. I declare under penalty of perjury that the foregoing is true an Item 5 - 9 ATTACHMENT 3 Item 5 - 10 CITY/ CIUDAD Reserved for Filing Stamp Appeal Form "r. 1 ' \' 1 ED Formulario de Apelaci6n h '"·-~' ·· • ·pRIHGS CIT 'i O ~ t' LI-\ 5 City ofpalm Springs "022 Mf( -4 AH\\: 50 TEL {760) 323-8204 I FAX (760) 322-833± . STATE/ EST ADO • > ,,. r-11'\/ Cl ,. ' ,-F•r 1= n~ 1 1lt. 'J ' ' L,.-• J • ¼vi.-Vi ZIP/ C DIGO FAX/ EL FAX POSTAL The date the decision being appealed was rendered/ he application or project was entitled/ La aplicaci6n o La fecha en que se emiti6 la decisi6n que se esta apelando: 1 Proyecto tenla derecho: ., SPECIFY THE BASIS FOR THE APPEAL IN DETAIL (YOU MAY USE AS MANY ADDITIONAL SHEETS AS NECESSARY)/ ESPECIFIQUE LA BASE PARA LA MEDIDA EN DETALLE (PUEDE UTILIZARTANTAS HOJAS ADICIONALES COMO SEA NECESARIO): 0 Appeal to City Council •'Appeal to Administrative Appeal Board This completed form must be sent to: City of Palm Springs Office of the City Clerk _ 3200 E. Tahquitz Canyon Way, Palm Springs, CA 92262 Item 5 - 11Appeal Form Formulario de Apelacion City of Palm Springs TEL (760) 323-8204 I FAX (760) 322-8332 Reserved for Filing Stamp C\Oq-04i -302 4 CITY/ CIUDAD STATE/ ESTADO ZIP/ C DIGO FAX/ El FAX POSTAL SUBJECT OF APPEAL/ OBJECTO DE APELACION The date the decision being appealed was rendered/ he application or project was entitled/ La aplicaci6n o La fecha en que s~ emiti6 la decisi6n que se esta apelando: Proyecto tenra derecho: SPECIFY THE BASIS FOR THE APPEAL IN DETAIL (YOU MAY USE AS MANY ADDITIONAL SHEETS AS NECESSARY)/ . ESPECIFIQUE LA BASE PARA LA MEDIDA EN DETALLE (PUEOE UTILIZAR TANTAS HOJAS ADICIONALES COMO SEA NECESARIO): ... . . . C\\CA\-\on Y'\G: f\B~OO\ -~·-zo-v . ~f<'Le t\'\\s m\SJm1o~\ ht ~;ed ~n tffitx)\«: 'OOSttR ~~\o nt nttdec\ ,\-\J\\ trt ~nu o~ m <\°'~ CJ nl'l \°'\& t-\ \2112.2. \\ t °'~ ~rut~ \~ett \\l~-s~ Y-\\ . a\\ -\-n~, °'\J~rui \f\klRm(\t\(){\ uro (!uo.~ lo.PO c.tm\t,ccxt\of\s wn\l~ Y\t o.\ru:oo~ · u~c,t\t(J\ '¾rt 50\lrt ~" nt ll\'f\t ~n -\tt rr{)~nW,1: TY't '5toxit mcxrcatQ ct,q not set tn°'t tm{X\\ tAS \"\tR 31\H-tncb l\t 3 :00~1. Snt W\teRrnec\ \i~n1 ntQ \~ro\ tnre,~H-('t~-1.\Jis} a\)ll\f'P\ ~ ~\5\t w,,n \JrotR)t°'"d,nt1 m,ttrt\\ stn\ Ci\ ~CAme u\U\\\ t() \\'f S\t\te owntll:) on A~\\ 22nd we,Jw'th \~cfD,t \-\T'<le \i\)0,S nowid \i)\Q us -\D tesnonc\ ~ ~ mt \rt\uotd/\'r\\lON tY\ mt o~ \nll\ s\-. r-FOR STAFF USE ONLY . • Appeal to City Council .:~;:-.,i-~~-~ ;;~i-.;<"~::,r Q,Appeal to Administrative Appeal Board ,. ·: ,;!' ,,. ;,..~····,: ·:·.: This completed form must be sent to: City of Palm Springs Office of the City Clerk 3200 E. Tahquitz Canyon Way, Palm Springs, CA 92262 Item 5 - 12 Reserved for Filing Stamp CITY/ CIUDAD , Appeal Form Formulario de Apelaci6n City of Palm Springs TEL (760) 323-8204 I FAX (760) 322 -8332 STATE/ ESTADO ZIP/ C DIGO FAX/ EL FAX POSTAL The date the decision being appealed was rendered/ he application or project was entitled/ La aplicad?~ o · La fecha en que se emiti6 la decisi6n que se esta apelando: 1Proyecto tenfa derecho: ·.. ···· · · ,,,r' SPECIFY THE BASIS FOR THE APPEAL IN DETAIL (YOU MAY USE AS MANY ADDITIONAL SHEETS AS NECESSARY)/ ESPECIFIQUE LA BASE PARA LA MEDIDA EN OETALLE (PUEDE UTILIZAR TANTAS HOJAS ADICIONALES COMO SEA .. NECESAR IO): .• C,\\0.\-\U<\ Y\O '-(\ ¾ \ ~ ~ C\- USf\tf\ m,tctt\\ a~voea OK-\'ft c,,oJ,on tt51fX\td tmt h: \te\s we ald not-unV\~ -tD como,\ .~us.t ~e-c.,\\C.l no\ r.esrona to n\5 e«\a\\ o.r \re tnd ot tnt da.\l \W-t ht WO!\®. \-\t ~ \'\W\\\ff-\ \\fct\t \r().\ sre CCAn\ to.V-~ t\'ffie Ott, 5\l"(t 'l°'e \~S~e 'f(\OX\U(\t-g_ Of\Oi nas 10 ~\')bhl -ro -\t\t C\~ PtR t\')t\(l t\me. f\.)~\ntrnm.e, rie \S now 1~ \nq Ql.tltt o~ outt ~t ooe-s ro\-'rtA\Je \\\fe:sc<Ans WhKh °" to.\St S\Ci:\61'tf\~ trt\\ fO.\lef\ (A Whllt (Jl)fJ . L\\JtSiCO\\'Y~ u£Qt (1\\S{) p~\l\dtcl f\) Yf\\Chgt\ D':\\bll H)R SU\ etv\~\O\letS . 5\J:\O(:St\Gf\S (J\f\(A commm'\S ~ e'(V\U\\ S\)'O~t5 G\~ (,\\\ (A-ttOO"t(l \'(\ m 2>0\ffit ~MO.\l c'r)~l'\ ( t\'Y'Ll.\\S Ctt10Ched) \J.,')'f\'Ln ott& ~av._ cont\B,nq O'R. CQY" ~\\] \ ~.EO.(; 9-0~ ('{)~I.OW e \l Y\OU\O. \')t ~nt 5e\J:r-ait\\( \-~0..VOld • Appeal to City Council • Appeal to Administrative Appeal Board r:' This completed form must be sent to: City of Palm Springs Office of the City Clerk 3200 E. Tahquitz Canyon Way, Palm Springs, CA 92262 Item 5 - 13 513/22, 7: 10 PM Gmail -OG Arabian Nights -Employee Roster ,-,. Gmail Ivette Flores <lvetteogan@gmell.com> OG Arabian Nights -Employee Roster 6me!ISllges Mitchell Nabhan <mitchaU.nabhan@palmspringsca.gov> To: Ivette Floras <ivatteogan@gmaif.com> Cc: Michael Milan <Michael.Milan@palmspringsca.gov> Hi Ivette, So I checked in with Michael and the only security personnel that we have a record of as currently employed at the business is Um berth Estrada, and I believe you mentioned;~t they no longer work at the business. As a reminder, it is the responsibility of the business to inform the Office of Special Programs within three days anytime there are changes to the employee roster (new hires/employees who quit or get fired). As a business that hires their security in-house and does not contract with a security company, you would also be responsible for ensuring that the security personnel are included on the business's employee roster and designated as such. For the purpose of keeping our records up-to-date, please reply to this email with information related to your current roster of Employees, including Licensed Security Personnel, in the following format: • First Name/Middle Name (if available)/Last Name • Position • Hire/Start Date • Date of Birth • Date of completed/cleared LiveScan In addition to this, please attach a copy of the 8S1S License (guard card) for all personnel designated as security personnel. Along with replying to me, please Cc Michael at michael.milan@palmspringsca.gov as well. We need this information ASAP, end of business 4/22/22 at the very latest. Mitch Nabhan I Code Compliance Officer Palm Springs Police Department a: 200 S Civic Dr, Palm Springs . CA 92262 e: mitchell.nabhan@palmspr1ngsca .gov w: www.palmspringsca.gov p: 760-323-8116 x8745 Ivette Florea <ivetteogan@gmail.com> To : Mitchell Nabhan <m~cheH.nabhan@palm5pringsca .gov> [Ouolod ,. .. hidden] Ivette Florea <ivetteogan@gmail.com> To: Mitchell Nabhan <mitchell.nabhan@palmspringsca .gov> [Ouoled text htddenl -- IMG_ 1507.Jpeg 223K f873c5bb-5bae-4c1a-bc.4a.f47e94Dbda47.JPG 242K Thu, Apr 28, 2022 at 3: 15 PM https:/lmail.google.com/mail/u/0l?ik=c0b48cbbc5&view=pt&search=all&permthid=thread-I%3A 1.730750624616157299&simpl=msg-I%3A 17307506246... 1 f7 Item 5 - 14 5/3/22, 7 10 PM Gmail -OG Arabian Nights -Employee Roster t)~~~~06269.pdf \2-Q~t 0~ UUCl~ cettd) t) 0206201968315BBFD23.pdf l " 7 44K (A I{\ \-0{\ I (t(\ \ ¥1) '(L C,\f\{V\ Mitchell Nabhan <mitcheH.naohan@palmspringsca.gov> Thu, Apr 28, 2022 at 5:04 PM To : Ivette Flores <ivetteogan@gmail.com> Hi Ivette, Received, Thank you! Mitch Nabhan I Code Compliance Officer Palm Springs Police Department a: 200 S Civic Dr . Palm Springs, CA 92262 e: mitchell .nabhan@palmspringsca .gov w: www.palmspringsca.gov p: 760-323-8116 x8745 From: Ivette Flores <ivetteogan@gmail.com> Sent: Thursday, April 28, 2022 3:15 PM To: Mitchell Nabhan <mitchell.nabhan@palmspnngsca.gov> Subject: Re : OG Arabian Nights -Employee Roster j NOTICE: This message originated outside of The City of Palm Spnngs ·· DO NOT CLICK on links or open attachments unless yo u are sure the content is safe. [Quoted text h1adenJ Michael Milan <Michael.Milan@palmspringsca.gov> Thu, Apr 28, 2022 at 6.05 PM To : Ivette Flores <ivetteogan@gmail.com> Cc: Philip Wen <info@florasgold .com>, "stacyyang@ftorasgold .com" <stacyyang@florasgold.com>. Veron ica Goedhart <Veronica.Goedhart@palmspringsca .gov>, Patrick Clifford <Patrick.Clifford@palmspringsca .gov>. Shantel Sterling <Shantel.Sterling@pa lmspringsca.gov>, Mitchell Nabhan <m1tchell .nabhan@palmspringsca.gov> Good Afternoon Ms . Flores, Thanks very much for providing an updated list of all current employees . Please be advised that only~ employees are permined to work unlil alter LiveScan clearance has been verified by our office . All employees listed have been successfully verified as of today, except for Victor Bot11ll0, Alan Harris, and Antonio lngCT!.!l!., Our office will provide confirmation once cleared LiveScan status for them is verified, after which time they will be permined to start work. Following my previous email to you on 03/1 5i2022 , please be advised lhat in accordance with Ordinance 2048 adopted on July 11, 2021 , the records maintained by our office must reflect that a currently executed current labor peace agreement copy is on file for all cannabis businesses with 5 or more employees . For your convenient reference . a copy of Ordinance 2048 which outline s the standards adopted by City of Palm Springs 1s attached . It is important to note that the City has set standards which are more stringent than those establ ished by State of Cali fo rn ia (specifically. the City of Palm Springs threshold of 5 employees is !2wfil than State of California threshold of 20 employees). Documentation of a currently executed labor peace agreement ,s a condition to the issuance by the City of any new permit or for the renewal or transfer. and must be provided no later than one hundred eighty (180) days following perm it issuance, renewal . or transfer Please provide this required documentation to our office as early as possible . Respectfully, Michael Milan I Account Clerk II Department of Special Program Compliance I Office of the City Manager Email : Michael.Milan@palmspringsca.gov I Office: 760 .322.8369 I Fax 760.322.8317 425 N Civ ic Dr, Palm Springs . CA 92262-0331 IN ACCORDANCE WITH PSMC SECTION 5.55.115 A LABOR PEACE AGREEMENT IS REQUIRED FOR ALL CANNABIS BUSINESSES WITH 5 OR MORE EMPLOYEES. https://mail. google .com/mail/u/O/?ik=c0b48cbbc5&view=pt&sea rch =all&permth id =thread-f%3A 1 730750624616157299&si mpl=msg-f%3A 17307 506246.. 2 /7 Item 5 - 155/3/22, 7:10 PM From: Mitchell Nabhan <nutchell.nabhan@palmspringsca go·,> Sent: Thursday, April 28, 2022 4:59 PM To: Michael Milan <Michael.M!lan@palmspnngsca.gov> Subject: Fw: OG Arabian Nights -Employee Roster Gmail -OG Arabian Nights • Employee Roster FYI, updated employee roster with the addition of all security personnel Mitch Nabhan I Code Compliance Officer Palm Springs Police Department ;1: 200 S Civic Dr, Palm Springs, CA 92262 e: rnitchell.nabhan@palmspringsca.gov w: www.palmspringsca.gov p: 760-323-8116 x8745 From: Ivette Flores <ive1teogan@gma1l.com> Sent: Thursday, April 28, 2022 1: 10 PM To: Mitchell Nabhan <mitchell.nabhan@palmspr1ngsca.gov> Subject: Re OG Arabian Nights -Employee Roster ,----------~---··-·--·····-· -----NOTICE: This message originated outside of The City of Palm Springs •• DO NOT CLICK on links or open attachments unless you are sure the content 1s safe. On Thu, Apr 21~022 at 1:20 PM Mitchell Nabhan <m1tchell.nabhan@pahsr::ingsca.gov> wrote: !O•;otocte<th,dderj ~-(Df\\\))\(\'1 o ~ GY\CA \'(\ emu\ \S tocy,N-~ ~ '\U)\"{\ 0\ ffim-\h CA.JO -····· Forwarded meRa'P _j_r,t Sf.A'(Y'-0 c~c~c fl ,wY\ +-From: Michael Milan <Michael.Milan@palmspringsca.gov> To: Ivette Flores <ivetteogan@gma1l.com> Cc: Philip Wen <info@fiorasgold.com>, Veronica Goedhart <Veronica.Goedhart@palmspringsca.gcv>, Patrick Clifford <Patrick.Clifford@palmspringsca.gov>, Shantel Sterling <Shantel.Sterling@palmspringsca.gov>, Mitchell Nabhan <mitchell.nabhar.@palrnspringsca.gov> Bee: Date: Tue. 15 Mar 2022 17:46:39 +0000 Subject RE: OG Arabian Nights Cannabis Dispensary Inspection. Find,ngs Good Morning Ms. Flores, Thanks very much for providing a list of all current employees. Please be advised that only verified employees are permitted to work until after L,veScan clearance has been verified by our office. All employees listed have been successfully verified as of today, except for Jonathan Flores and Limberth Estrada. Please provide documentation to serve as proof that they submitted their fingerprints at an authorized LiveScan location. Additionally, in accordance with Ordinance 2048 adopted on July 11, 2021, the records maintained by our office must reflect that a current labor peace agreement copy is on file for all cannabis businesses with 5 or more employees. This documentation is a condition to the issuance by the City of any new permit or for the renewal or transfer, and must be provided no later than one hundred eighty (180) days following permit issuance, renewal, or transfer. Respectfully. @ Michael Milan I Account Clerk II Department of Special Program Compliance I Office of the City Manager Email. Michael Milan@palmspr,ngsca gov I Office 760.322.8369 I Fax: 760.322.8317 425 N Civic Dr, Palm Springs, CA 92262-0331 IN ACCORDANCE WITH PSMC SECTION 5.55.115 A LABOR PEACE AGREEMENT IS REQUIRED FOR ALL CANNABIS BUSINESSES WITH 5 OR MORE EMPLOYEES https://mail.google.com/mail/u/0/?ik=c0b48cbbc5&view=pt&search=all&permthid=thread-f%3A 1730750624616157299&simpl=msg-f%3A 17307506246. 317 Item 5 - 16 5/3122, 7:10 PM Gmail -OG Arabian Nights -Employee Roster Hi Mic:heel. Thanks for letting us know. I have contacted our agent at UFCW on this matter. They should have submitted a confirmation on our behavior. I will follow up the status as soon as I hear back from him. Thank you. StacyYang Floras Gold I Cathedral City, CA 92234 Mobile : 909.348.3024 I Stacyyang@norasgolc .com Mitch Nabhan I Code Compliance Officer Palm Springs Police Department a: 200 S Civic Dr, Palm Springs, CA 92262 e: mitchell.nabhan@palmspringsca.gov w: www.palmspringsca.gov p: 760-323-8116 x8745 From: Ivette Flores <ivetteogan~il.com> s.nt: Thlnday, April 28, 2022 1: 10 PM To: a.4itchell Nabhan <milchell.nabhan@palmspnngsca.gov> Subjec;t: Re: OG Arabian Nights• Employee Roster NOTICE: This message originated outside of The City of Palm Springs -DO NOT CLICK on links or open attachments unless you are sure the content Is safe. On Tllu. Ar,r 21. 2022 at t:20 PM MitcheU Nabhan <mitchell .nabhan@palmspringsca .gov> wrote : Hi Ivette, So I checked in with Michael and the only security personnel that we have a record of as currently employed at the business is Limberth Estrada, and I believe you mentioned that they no longer work at the business. As a reminder, it is the responsibility of the business to inform the Office of Special Programs within three days anytime there are changes to the employee roster (new hires/employees who quit or get fired). As a business that hires their security in-house and does not contract with a security company, you would also be responsible for ensuring that the security personnel are included on the business's employee roster and designated as such. For the purpose of keeping our records up-to-date, please reply to this email with information related to your current roster of Employees, including Licensed Security Personnel, in the following format: • First Name/Middle Name (if available)/Last Name Position • Hire/Start Date • Date of Birth • Date of completed/cleared LiveScan In addition to this, please attach a copy of the BSIS License (guard card) for all personnel designated as security personnel. Along with replying to me, please Cc Michael at michael.milan@palmspringsca.gov as well. We need this information ASAP, end of business 4/22/22 at the very latest. Mit<h Nabhan I Code Compliance Officer https://mail.google.com/mail/u/0/?ik=c0b48cbbc5&view=pt&search=all&permthid=thread-f%3A 1730750624616157299&simpl=msg-f%3A 17307506246... 6/7 Item 5 - 17 5/3/22, 7:08 PM ~ Gmail New Hire Antonio Ingram OGAN 2 messages Ivette Flores <ivetteogan@gmail.com> To: ivetteogan@gmail.com tliii"'l'i 0206201968315BBFD23.pdf w 744K Gmail -New Hire Antonio Ingram OGAN Ivette Flores <ivetteogan@gmall.com> Tue, Mar 29, 2022 at 11 :30 AM Thu, Apr 21, 2022 at 11 :39 AM Ivette Flores <ivetteogan@grnaitcom> To: Mitchell Nabtia'n<mltchell.nabhan@patmsprfngsca.gov> OGAN ---Forwarded message ------ From: Ivette Flores <ivetteogan@gmail.com> Date: Tue, Mar 29, 2022 at 11:30 AM • Subject: New Hire Antonio Ingram OGAN To: <ivetteogan@gmail.com> https://mail.google.com/maiVu/0/?ik=c0b48cbbc5&view=pt&search=all&permthid=thread-f%3A 1728659977086891854&simpl=msg-f%3A 17286599770... 1/1 Item 5 - 18 5/3/22, 7:08 PM ~ Gmail Ogan 1 message Ivette Flores <ivetteogan@gmail.com> To: Mitchell Nat,mln <mitcheff.nabhan@palmspringsca.gov> - IMG_ 1507 .jpeg 223K Gmail-Ogan Ivette Flores <ivetteogan@gmail.com> Thu, Apr 21, 2022 at 11 :40 AM https://mail.google.com/mail/u/0nik=c0b48cbbc5&view=pt&search=all&permthid=thread-a%3Ar-2438324027586045565&simpl=msg-a%3Ar61958225... 1/1 Item 5 - 19 5/3/22, 715 PM t-,, Gmail OG Arabian Nights 1 message Ivette Flores <ivetteogan@gmail.com> To: Michael Milan <michael.milan@palmspringsca.gov> Live scans for Victor Botello, Antonio Ingram, Alan Harris 3 attachments ~ 20220502_victor live scan.pdf 503K ~ 20220502_tony live scan.pdf 498K ~ Scanned Documents.pdf 587K Gmail -OG Arabian Nights Ivette Flores <ivetteogan@gmail.com> Mon, May 2, 2022 at 2:30 PM https://mail.google .com/mail/u/0/?ik=c0b48cbbc5&view=pt&sea rch=al l&permthid=th read-a%3Ar3 772527 76792537 2025& simpl=msg-a%3Ar652011280. . . 1 /1 Item 5 - 20 City of Palm Springs, CA FINANCE DEPARTMENT PO Box 2743 Palm Springs, CA 92263-2743 +l (760) 323-8299 000382-0001 Shahriar 05/04/2022 11:53AM MISCELLANEOUS OTHER CHARGE CURRENT SVC (OTHCHG) 2022 Item: OTHCHG Balance unpaid: -172.00 OTHER CHARGE CURRENT SVC (OTHCHG) Subtotal Total CHECK Check Number 1586110489 Change due 172.00 172. 00 172.00 172.00 172.00 0.00 Paid by: PHILLIP WEN I APPEAL -AB6001 / CITY CLERK Thank you for your payment City of Palm Springs, CA COPY DUPLICATE RECEIPT Item 5 - 21 ATTACHMENT 4 Item 5 - 22 City of Palni Springs Department of Special Program Compliance 425 North Civic Drive • Pahn Springs, California 92262 Tel: 760 .322-8382 • Fax: 760 .322.8317 • TDD 760 .864.9527 • www.palmsprinpca.gov June 16, 2020 OG Arabian Nights LLC Dr. Philip Wen 12 Via C ondotti Rancho Mirage, California 92270 SENT VIA EMAIL AND US MAIL RE: Change in Palm Springs Municipal Code f or Cannabis Operat ors Dear Dr. Wen: On Dece mber 4, 2019, the City Council of the City of Palm Springs amended the Palm Springs Mu nicipal Code to require updated requirements for cannabis businesses, which became effective on January 4, 2020. The new ordinance can be found in Palm Springs Municipal Code ("PSMC•) 5.55. Some of the add itional requirements are outlined for you below: PSM C: 5.55.080 (23) (a) 5.55.095(k) Reauirement: Applicants that are not a natural person or group of natural people that will be identified on the application must submit a Public Integrity Disclosure. Disclosing: The names of all natural persons who are officers, directors, members, managers, trustees, and other fiduciaries serving trusts or other types of organizations (attorneys, accountants, etc.) The name of persons owing a financial interest of ftve percent (5%) or more in the entity. Owners/investors who have such an interest hold either investment power or vote power, i.e., they can (i) sell or transfer their interest, or (i) vote their interest in management decisions. Permittee shall provide law enforcement and all neighbors within one hundred feet of the business with the name and phone number of an on-site community relations employee to notify if there are operational problems with the establishment. A c tion Needed : Enclosed is a Public D isclosure form. Complete and return to the Department of Special Program Compliance as soon as possible. This requirement is for dispensa ry owners only. The permittee is required to provide this in formation to the Department of Special Program Compliance. Item 5 - 23 June 16, 2020 Pagel 2 5.55.102 (E) 5.55.125 5.55.140 (E) (2) 5.55 .210 (A) (8) Point-of-Sale inventory control reporting Provide to the Department of Special system. 1. Adult-Use Cannabis Businesses Program Compliance the name of the shall employ the use of track-and-trace Point-of-Sale reporting system with software. All transactions, business expenses, product identifying information (such and operations must be tracked in compliance as brochure and/or website) with State Track-and-Trace regulations. The software must provide documentation and information that meets State compliance requirements and have the ability to integrate with the California Cannabis Authority track- and-trace system. Specific Requirements Retail. Ability to provide inventory management and Point of Sale documentation and records to manage cannabis retails from seed to sale. Generate monthly sales and tax liabilities. Reports must be submitted with monthly tax remittance. Effective with your first monthly City Tax Return filing , and each subsequent month thereafter, you must provide a report that summarizes and totals your monthly sales and tax liabilities with your tax remittance form. Your return will not be accepted if the report is not provided . Tax Incentives. An Adult-Use Cannabis Effective January 1, 2020 all cultivation operation located in the Cannabis businesses identified in the Cannabis Overlay Zone shall pay a cultivation tax equal Overlay zone shall pay the reduced to fifty percent (50%) of the applicable tax rate of $5/ per sq. ft. of canopy . cultivation tax. Maintain insurance at coverage limits, and with Provide proof of insurance to the conditions thereon as determined necessary Department of Special Program and appropriate from time to time by the City Compliance . Manager. In no event shall the insurance required aggregate less than $2 million dollars and no Jess than $1 million for each loss. Security personnel must be licensed by the Provide request for authorization of State of California Bureau of Security and armed security to Department of Investigative Services and shall be subject to Special Program Compliance with the prior review and approval of the City required information regarding armed Manager or their designee(s), with such services , if you elect to employ the approval not be unreasonably withheld. use of armed security . Security personnel may be permitted to carry a firearm while providing security for any Adult- Use Cannabis Business provided written authorization from the City Manager or designee is obtained after submittal of the name of the armed security company, number of officers and shifts when armed security will on ,:,resent. Item 5 - 24 June 16, 2020 Page 13 While this letter highlights some of the code revisions that will impact your business , this is not an exhaustive list of every requirement found in the City 's Municipal Code . It is your responsibility to review Ordinance 2005 and 2007 in their entirety as additional requirements may be applicable. The ordinances can be found on the City's website, www.palmspringsca.gov, Cannabis Related Business and Activities page. If you have any questions determining how these changes impact your business please call (760) 322- 8382 or email veronica.goedhart@palmspringsca.gov. Sincerely , Veronica Goedhart, Director Department of Special Program Compliance Item 5 - 25 ATTACHMENT 5 Item 5 - 26 Labor Peace Agreement Deadline 12/06/2021 Equity Program Application Deadline 12/16/2021 For more information: https:// ~.palmspringsca.g ov/government/ departments/special- program-compliance/ cannabis-related- business-and- activities/social-equity Palm Springs Cannabis- Ata Glance The City of Palm Springs has issued 74 Cannabis Permits. There are a total of 40 can- nabis business operating in he City of Palm Springs. here are five (5) applica- ons pending review for li'ermitting. DEPARTMENT OF SPECIAL PROGRAM COMPLIANCE CANNABIS MONTHLY NEWSLETTER Together Our Knowledge Expands Volume 1, Issue 5 October 2021 Earlier this month, Governor Newsom vetoed Assembly Bill 273 which would have allowed canna- bis advertisements on freeway billboards in most of California. This veto means that a licensee cannot advertise or market on a billboard or similar advertisi ng device located on an Interstate, Highway or on a State Highway which crosses the California border (Bus iness & Professions Code §26152 (d)). Advertising serves a critical purpose by enabling businesses to effectively compete with each other for the attention of consumers. Advertising in a responsible, legally compliant manner is im- portant. There are many State restrictions on cannabis advertising, this month we will be providing information related to cannabis advertising. Cannabis Advertising-At a Glance Adverti sements Can Only be Targeted to a 21+ Audience According to section 26151 of California's Proposition 64, any cannabis advertisement can only be dis- played where at least 71.6 percent of the audience is suspected to be 21 years of age or older. This in- cludes advertisements in broadcast, cable, radio, print, and digital communications. The proposition states that "any advertising or marketing involving direct, individualized communication or dialogue controlled by the licensee shall utilize a method of age affirmation to verify that the recipient is 21 years of age or older." California also restricts cannabis advertisements from marketing in a way that is attractive to children. California's Restrictions on Cannabis Advertisement Placement California pla_ces a range of restrictions on where cannabis ads can be placed. These placement restrictions include regulations on cannabis advertisements placed along the road. This means that there can not be marijuana advertisements on billboards located along an Interstate or State Highway that crosses the bor- der of California. The state also bans all cannabis advertising "within 1,000 feet of a day care center, school providing instruction in kindergarten or any grades 1 to 12 inclusive, playground, or youth center." This again reinforces the fact that cannabis companies must be very careful to not advertise to those under the age of 21. No False or Misleading Statements The proposition makes it clear that the false and misleading advertisement of cannabis is not allowed. All claims used in advertisements for cannabis must be supported by true information. This also means that there can be no unsupported or misleading claims of health benefits from a cannabis product. Other Cannabis Advertisi ng Restrictions in California One more restriction included in California's Proposition 64 is that companies can not give away cannabis products or accessories as part of a promotion. This means that these companies can not give away any- thing for free. This does exclude the donation of cannabis to a patient. When advertising in California, make sure to double -check restrictions in the state and locally. Also, contact a lawyer to confirm you are following the law and reach out to peers in the cannabis marketing community. It is important to be care- ful when advertising cannabis so your company does not face any consequences. Item 5 - 27 _c~. ANN~·. :B-.· 1}s ,.t-.·1.. ~ I~ A . DVER .. TISl~l'('e; ·"'··· ~ l. J_ ~ ,:..:J'! . . '». •. --r ·--,. '"'~· -...,.. • ,.Jtl/llttl' . . , ·7 -..,_: ·-· . . ....._ ... , . . • . . ~ "11. ,_ r • ._,. ... " The Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA) places a series of specific prohibitions on forms of advertising and marketing by cannabis licensees. Cannabis licensees may not do any of the following: • Advertise or market in a manner that is false or untrue in any material particular, or that, irrespective of falsi- ty, directly, or by ambiguity, omission, or inference, or by the addition of irrelevant, scientific, or technical matter, tends to create a misleading impression. • Publish or disseminate advertising or marketing containing any statement concerning a brand or product that is inconsistent with any statement on the labeling thereof. • Publish or disseminate advertising or marketing containing any statement, design, device, or representation which tends to create the impression that the cannabis originated in particular place or region, unless the label of the advertised product bears an appellation of origin, and such appellation of origin appears in the advertisement. • Advertise or market on a billboard or similar device located on an Interstate Highway or State Highway which crosses a California border. • Advertise or market cannabis or cannabis products in a manner intended to encourage persons under 21 years of age to consume cannabis or cannabis products. • Publish or disseminate advertising or marketing that is attractive to children. • Advertise or market cannabis or cannabis products on an advertising sign within 1,000 feet of a day care cen- ter, school providing instruction in kindergarten or any grades 1 to 12 inclusive, playground, or youth center. • Publish or disseminate advertising or marketing while the licensee's license is suspended. In addition to these statutory requirements and prohibitions, the Department of Cannabis Control regulations in- clude a number of additional provisions relating to cannabis advertising. • Advertisements placed in broadcast, cable, radio, print, and digital communications may only be displayed after a licensee has obtained reliable up-to-date audience composition data demonstrating that at least 71.6% of the audience viewing the advertising or marketing is reasonably expected to be 21 years of age or older. • Advertisements also may not depict images of minors, objects likely to be appealing to minors, or state- ments regarding free cannabis goods or giveaways. • All outdoor signs must be affixed to a building or permanent structure and must comply with the Outdoor Advertising Act. Palm Springs Sign Program Recognizing that Palm Springs is one of the country's foremost desert resorts, the City Council finds that proper sign control is necessary to maintain the high aesthetic values which both residents and visitors to the city have come to expect. Signs shal I complement the architecture of the building on which they are placed and/or the immediate surroundings, including such elements as size, color, location, graphic presentation, landscaping, lighting and construction material. Any sign not specifical- ly authorized by the Sign Ordinance shall be prohibited unless required by law or utilized by a proper governmental agency. All signs must be reviewed and approved by Planning. To submit your application, complete the Sign Permit/Sign Program Application and file with the City's Planning Department. https://www .pal mspri ngsca .gov /government/ departments/planning/applications-fees Item 5 - 28 EMPLOYEE SPOTLIGHT-Shantel Sterling This month get to know Shantel Sterling, Senior Account Technician . Shantel has been with the City 5 years and with the Department of Special Program Compliance for 3 years. Shantel's job duties include cannabis application renewal intake and processing. What's your favorite way to spend a day off? I like being productive and getting things done. But I also like to sneak a nap in there as well. What type of music are you into? I like most music. It will depend on my mood of the day. What was the best vacation you ever took and why? I love going to Lake Powell. It is so beautiful and peaceful. What was your favorite age growing up? 16 - I got my driver's license, car and job on my 16th birthday and that equaled freedom. What was the last thing you read? Outlander series Would you say you're more of an extrovert or an introvert? I'm an introvert. I like to sit back in a corner and watch what other people are doing. What was the last TV show you binge-watched? Manifest What's your favorite quote from a TV show/movie/book? "Do you understand the words that are coming out of my mouth?!" Rush Hour 1998 What song always gets you out on the dance floor? Brown eyed girl. But I'm not a dancer so it has to be under the right conditions. What's your favorite thing about your current job? My co workers. I love my co workers, we all truly care about our job and doing things right. I also love making things organized and putting processes in place that make things easier and run smooth. If you could have a superpower, what would it be? It's not really a super power but I'd like to just snap my fingers and it's done or I'm ready or I'm there. Cannabis Administrative Fine Schedule On October 14, 2021 the City Council adopted a Resolution 24946 adopting an administrative fine schedule for violation of Palm Springs Municipal Code 5.55. A copy of the fine schedule is provided with this month's newsletter for your reference. Is there something you want to know about the cannabis industry? Do you have a story you would like to see fea- tured in our monthly newsletter? Maybe you just want to let us know what you like or even dislike. Send your comments to: Bryan.Valle@palmspringsca.gov Item 5 - 29 INSPECTIONS Applicants will submit to an inspection prior to approval of local permit. Inspection may include, but is not limited to, employees or agents of the following City Departments: Building and Safety, Police Department and Fire Department. Permittees shall be subject to inspection, investigation or audit by the Department of Specia l Program Compliance or other City Departments to determine compliance. An inspection , investigation or audit is a review of any books, records, accounts, inventory, or on-site operations. Specific to the business. Inspections, investigations, or audit may include, but are limited to employees of the following departments: Department of Special Program Compl iance, Building and Safety, Police Department, Fire Department, and Finance Department. ReauirementNiolation General Point-of-Sale Inventory Control and Reporting System . Adult-Use Cannabis Busin esses shall employ the use of track-an d-trace software. All transa ctions, business expenses, and operations must be tracked in compliance with State Track-and-Trace regulations . The software must provide documentation and information that meets State compliance requirements and have the ability to integrate with the California Cannabis Authority (CCA) track-and-trace system. Specific Requirements : a. Retail. Ability to provide inventory management and Point of Sale documentation and records to manage cannabis retails from seed to sale. Generate monthly sales report that provide total gross monthly sales and tax liabilities. Reports must be subm itted with monthly tax remittance. b. Cultivation . Ability to track and control operations from planting through harvesting, to curing and packaging. C. Manufacturing. Ability to manage each stage of the manufacturing process from extraction and refinement to finished product. Inventory management, electronic batch records, specification management, equipment control and document management for compliance with state cannabis regulation should be provided . Generate monthly report that demonstrates all gross month ly sales and tax liabilities. Reports must be s ubmitted with monthly tax remittance. d. Distribution. Ability to manage vendor, facilities and wholesaler partner. Ability to automatically generate purchase orders , invoices , and manifests . Generate monthly report that demonstrates all gross monthly sales and tax liabilities . Reports must be submitted with monthly tax remittance. (PSMC 5.55.102 E) 10.04.2021 31 Page Violation TvD& Penaltv Moderate 1st 2,500 2nd 5,000 3rd 10,000 3A-10 Item 5 - 30 Reaulrement/Violatlon Permittee shall keep the City and law enforcement updated with the names, addresses, and relevant criminal histories of all employees, supervisors, and other relevant parties for the Adult- Use Cannabis Business at all times. Relevant criminal histories shall include any drug-related or felony convictions, the nature of such offenses, and the sentences received for such convictions. (PSMC 5.55.140 E (4)). Security Inspection The Business Premises shall have a digital video surveillance system with a minimum camera resolution of 1280 x 720 pixels. The video surveillance system shall at all times be able to effectively and clearly record images of the area under surveillance. Each camera shall be permanently mounted and in a fixed location . Each camera shall be placed in a location that allows the camera to clearly record activity occurring within 20-feet of all po ints of entry and exits on the Business Premises, and allows for the clear and certain identification of any person and activities in all areas required to be filmed. Areas that shall be recorded on the video surveillance system include, but are not limited to, the following: (a) Areas where cannabis goods are weighed, packed, stored, loaded and unloaded for transportation, prepared, or moved within the Business Premises; (b) Limited-access areas; (c) Security rooms; (d) Areas storing a surveillance-system storage device with at least one camera recording the access points to the secured surveillance recording area;·and (e) Entrances and exits to the Business Premises, which shall be recorded from both indoor and outdoor vantage points . Retailers shall also record point-of-sale areas and areas where cannabis goods are displayed for sale on the video surveillance system. At each point of sale location, camera placement must allow for the recording of the facial features of any person purchasing or selling cannabis goods , or any person in the retail area, with sufficient clarity to determine identity. Cameras shall record continuously 24 hours per day and at a minimum of 15 frames per second (FPS). The physical media or storage device on which surveillance recordings are stored shall be secured in a manner to protect the recording from tampering or theft. Surveillance recordings shall be kept for a minimum of 90 days. Surveillance recordings are subject to inspection by the City and shall be copied and sent to or otherwise provided to the City or shall be kept in a manner that allows the City to view and obtain copies of the recordings at the Business Premises immediately upon request. The Permittee shall also send otherwise provide copies of the recordings to the City upon request within the time specified by the City. Recorded images shall clearly and accurately display the time and date. Time is to be measured in accordance with the Un ited States National Institute Standards and Technology standards. The video surveillance system shall be equipped with a failure notification system that provides notification to the Permittee of any interruption or 10.04.2021 41 Page Violation Type Penaltv Moderate 1st 2 ,500 2nd 5,000 3rd 10,000 Serious 1st 5,000 2nd 10,000 3rd 25,000 3A-11 Item 5 - 31 ReQuirement/Violatlon failure of the video surveillance system or video surveillance-system storage device. (PSMC 5.55.210 A (4)} Alarmed with an alarm system that is operated, maintained, and operated by a reputable security company. (PSMC 5.55.210 A (6)). All cannabis goods shall be stored in a secured and locked safe room, safe or vault, and in a manner to prevent diversion, theft and loss, except for limited amounts of cannabis used for display pu rooses, samoles, or immediate sale. (PSMC 5.45.200 A (18)). Retail Facilities: Dispensaries shall implement and maintain sufficient security measures to both deter and prevent unauthorized entrance into areas containing Cannabis good in compliance with Section 260700) of the California Business and Professions Code and any rules promulgated by the State licensing authority. Security measures shall include, but are not limited to, the following: a. Prevent individuals from loitering on the premises of the dispensary if they are not engaging in activity expressly related to the operations of the dispensary; b. Establish lim ited access areas accessible only to authorized dispensary personnel ; C. Store all Cannabis goods in a secured and locked safe room, safe, or vault, and in a manner as to prevent diversion, theft, and loss, except for limited amounts of Cannabis goods used for display purposes, samples, or immediate sale; d. Install security cameras on site; and e. Provide for on-site security personnel meeting the requirements and standards contained within applicable State regulations and applicable City requirements . (PSMC 5.55.205 A (2)). Cultivation Facilities: Security measures sufficient to restrict access only to authorized personnel and to deter trespass and theft of Cannabis goods shall be provided and maintained. (PSMC 5.55.205 B (2) (b)). Manufacturing Facilities: Security measures sufficient to restrict access to only authorized personnel and to deter trespass and theft of Cannabis goods shall be provided and maintained. Security measures shall include, but are not lim ited to, the following: i. ii. iii. 10.04.2021 51 Page Prevent individuals from loitering on the premises of the manufacturing facility if they are not engaging in activity expressly related to the operations of the manufacturing facility; Store all Cannabis goods in a secured and locked safe room, safe, or vault, and in a manner as to prevent diversion, theft, and loss; Install security cameras on site; and Violation Tvoe Penaltv Serious 1st 5,000 2nd 10,000 3rd 25,000 Serious 1st 5,000 2nd 10,000 3rd 25,000 Serious 1st 5,000 2nd 10,000 3rd 25,000 Serious 1st 5,000 2nd 10,000 3rd 25,000 Serious 1st 5,000 2nd 10,000 3rd 25,000 3A-12 Item 5 - 32 ·ReCluiremenWiolation iv. Provide for on-site security personnel meeting the requirements and standards contained within applicable State regulations and applicable City requirements. (PSMC 5.55.205 C (e)}. Testing Facilities: Security measures sufficient to restrict access to only authorized personnel and to deter trespass and theft of Cannabis goods shall be provided and maintained. Security measures shall include , but are not limited to, the following: i. Prevent individuals from loitering on the premises of the testing facility if they are not engaging in activity expressly related to the operations of the testing facility; ii. Store all Cannabis goods in a secured and locked safe room, safe, or vault, and in a manner as to prevent diversion, theft, and loss; iii. Install security cameras on site; and iv. Provide for on-site security personnel meeting the requirements and standards contained within applicable State regulations and applicable City requirements. PSMC 5.55.205 D (b)). Distribution Facilities: Security measures sufficient to restrict access to only authorized · personnel and to deter trespass and theft of Cannabis goods shall be provided and maintained. Security measures at distribution facilities shall include, but are not limited to, the following: i. Prevent individuals from loitering on the premises of the distribution facility if they are not engaging in activity expressly related to the operations of the distribution facility; ii. Store all Cannabis goods in a secured and locked safe room, safe, or vault, and in a manner as to prevent diversion, theft, and loss; iii. Install security cameras on site; and iv. Provide for on-site security personnel meeting the requirements and standards contained within applicable State regulations and applicable City requirements. (PSMC 5.55.205 E (e)). Operational Audit General A Permittee must maintain insurance, the insurance required aggregate less than $2 million dollars and no less than $1 million dollars for each loss. (PSMC 5.55.140 E (2)) Each Permittee shall maintain an inventory control and reporting system that accurately documents the present location, amounts and descriptions of all cannabis goods for all stages of the growing and production or manufacturing, laboratory testing and distribution processes. (PSMC 5.55.200 A (5)) 10.04.2021 61 Page Violation Type Penaltv Serious 1st 5,000 2nd 10,000 3rc1 25,000 Serious 1st 5,000 2nd 10,000 3rc1 25,000 Serious 1st 5,000 2nd 10,000 3rc1 25,000 Serious 1st 5,000 2nd 10,000 3rc1 25,000 3A-13 Item 5 - 33 ReQuiremenWlolatl on All Adult-Use cannabis businesses must pay all applicable sales taxes and fees pursuant to all federa l, State, and local law and the owner and/or operator shall not be delinquent in the payment of such taxes and fees. (PSMC 5.55.200 A (9)) All cannabis goods shall be tested. Upon request, Permittee to provide Certificate of Ana lysis within 48 hours to City Staff. (PSMC 5.55.205 C (2) (g)). A Permittee shall ensure that the City is notified in writing of a crimina l conviction rendered against the Permittee, employee, supervisor or any other relevant party, either by mail or electronic mail, within 48 hours of the conviction. A Permittee shall ensure that the City is notified in writing of a civil penalty or judgment rendered against the Permittee, either by mail or electronic mail. A Permittee shall ensure that the City is notified in writing of the revocation of a state license, permit, or other local authorization, either by mail or electronic mail within 48 hours of receivinQ notice of the revocation. (PSMC 5.55.140 E (4)). Violation Ty pe Moderate Serious Moderate A Permittee shall notify the City within 24 hours of discovery of any of the following situations: Serious (a) The Permittee discovers a significant discrepancy in its inventory; (b) The Permittee becomes aware of or has reason to suspect diversion, theft, loss, or any other criminal activity pertaining to the operation of the Permittee's b usiness; (c) The Permittee becomes aware of or has reason to suspect diversion, theft, loss, or any other criminal activity by an agent or employee pertaining to the operation of the Permittee's business; (d) The Permittee becomes aware of or has reason to suspect the loss or unauthorized alteration of records related to cannabis goods, registered medical cannabis patients or primary caregivers, or dispensary employees or agents; or (e) The Permittee becomes aware of or has reason to suspect any other breach of security. (PSMC 5.55.210 E). Applicants and Perm ittees Shall Cooperate with City Manager Employees. Serious 1. Applicants and Permittees must cooperate with employees and investigators of the City Manager who are conducting inspections or investigations relevant to the enforcement of laws and regulations related to this Chapter. 2. No Applicant or Permittee shall by any means interfere with, obstruct, or impede the City Manager or employee or investigator of the City Manager from exercising their duties under the provisions of this Chapter and all rules promulgated pursuant to it. This would include, but is not limited to: 10.04.2021 71 Page a. Threatening force or violence against an employee or investigator of the City Manager, or oth erwise endeavoring to intimidate, obstruct, or impede employees or investiQators of the City Manager, their supervisors, or any peace officers from Pe na ltv 1st 2,500 2nd 5,000 3rd 10,000 1st 5,000 2nd 10,000 3rd 25,000 1st 2,500 2nd 7,500 3rd 25,000 1st 5,000 2 nd 10,000 3 rd 25,000 1st 5,000 2nd 10,000 3 rd 25,000 3A-14 Item 5 - 34 -Reaulrement/Violatlon exercising their duties. The term "threatening force" includes the threat of bodily harm to such individual or to a member of their family; b. Denying employees or investigators of the City Manager access to an Adult- Use Cannabis Business during business hours or times of apparent activity; c. Providing false or misleading statements; d. Providing false or misleading documents and records; e. Failing to timely produce requested books and records required to be maintained by the Permittee; or f. Failing to timely respond to any other request for information made by the City Manager in connection with an investigation of the qualifications, conduct or compliance of an Applicant or permittee. (PSMC 5.55.400 (C)) A Permittee, its employees, agents, and officers must obey all applicable labor laws of the State of California and the City of Palm Springs. (PSMC 5.55.200 (27)). No person who is less than twenty-one (21) years of age may be employed or otherwise engaged in the operation of the Permittee (PSMC 5.55.200 A (15)). Each Permittee shall keep and maintain the following records for at least seven years: (a) Financial records including, but not limited to, bank statements, sales invoices, receipts, tax records, and all records required by the California State Board of Equalization, other State of California agencies, the Office of Finance, or the City; (b) Personnel records, including each employee's full name, social security, or individual tax payer identification number, date of beginning employment, and date of termination of employment if applicable; (c) Training records, including, but not limited to, the content of the training provided and the names of the employees that received the training; contracts with other Permittees; (d) Permits, licenses, and other local or state authorizations to conduct Adult-Use Cannabis Activity. (PSMC 5.55.102 C). The Permittee shall maintain clear and adequate records and documentation demonstrating that all Cannabis goods have been obtained from and are provided to other permitted and licensed Cannabis operations. The City shall have the right to examine, monitor, and audit such records and documentation, which shall be made available to the City upon request. (PSMC 5.55.200 A (7). 10.04.2021 Bl Page Violation Type Penaltv _ Moderate 1st 2,500 2nd 5,000 3n1 10,000 Serious 1st 5,000 2nd 10,000 3n1 25,000 Serious 1st 5,000 2nd 10,000 3n1 25,000 Serious 1st 5,000 2nd 10,000 3n1 25,000 3A-15 Item 5 - 35 RaauiremenWlolati on A Permittee must maintain adequate records of all activities and transactions that involve financial implications for seven years. Such Permittees are required to utilize electronic Track and Trace Systems and point of sale terminals (if applicab le). The equipment must be capable of recording and monitoring business activities, inventories, transportation, sales transactions, and generating reports on demand. The equipment must be fully integrated to process and maintain data that includes information about any business from whom the goods were received, the type and amou nt of goods received, the party who holds title to the goods, and the unique identifiers or lot number of the goods. Electronic equipment may include, but is not limited to: (a) Radio-Frequency Identification Devices; (b) Bar code identifiers; (c) Scanning equipment and software; (d) Cash registers; (e) Desktop computers; (f) Mobile devices; and (g) Cloud-based technologies that can manage all aspects of the cannabis life cycle from "seed to sale." Data storage and reporting features must incorporate all aspects of revenue transactions inclusive of accurate inventory levels, transactional history, sales receipts and entry of all point of sales data inclusive of wholesa le and retail sales. The data must also allow for the City or its authorized agents to clearly distinguish the activities of medical Cannabis from non-medical · Cannabis. For Permittees engaging in Retailer Adult-Use Cannabis Activity, information required to be tracked includes the sale the Cannabis Goods, such as the date of sale, type of goods purchased and quantity of each good, and re lated sale prices. For Permittees engaging in Distributor Adult-Use Cannabis Activity, the Permittee must disclose when it uses its own Distributor License to transport the Cannabis Goods to one or more Permittees conducting Retailer Adult-Use Cannabis Activity and enter that transport event into the Track and Trace System database. This information includes the distributor state license number, amount of Qoods transported, vehicle information, and date of transport. (PSMC 5.55.102 E). The City shall utilize the State of Ca li fornia Track and Trace System for unique identifiers of cannabis and cannab is products, which all Permittees conducting Adu lt-Use Cannabis Activity shall use. Permittees shall meet all Track and Trace System requirements of the State of California at all times. (PSMC 5.55.102 E). Retail Dispensaries shall implement and maintain sufficient security measures to both deter and prevent unauthorized entrance into areas containing Cannabis good in compliance with Section 26070(i) of the California Business and Profess ions Code and anv rules promulQated 10.04.2021 9I Page Violation Tvoe Penaltv Serious 1st 5,000 2nd 10,000 3n1 25,000 Serious 1st 5,000 2nd 10,000 3n1 25,000 Serious 1st 5,000 2nd 10,000 3n1 25,000 3A-16 Item 5 - 36 Requirement/Violation Vi olation TvDe Penaltv by the State licensing authority. Security measures shall include, but are not limited to, the following: a. Prevent individuals from loitering on the premises of the dispensary if they are not engaging in activity expressly related to the operations of the dispensary; b. Establish limited access areas accessible only to authorized dispensary personnel; c. Store all Cannabis goods in a secured and locked saf~ room, safe, or vault, and in a manner as to prevent diversion, theft, and loss, except for lim ited amounts of Cannabis goods used for display purposes, samples, or immediate sale; d. Install security cameras on site; and e. Provide for on -site security personnel meeting the requirements and standards contained within applicable State regulations and applicable City requirements. (PSMC 5.55.205 (A)(2)) Retail Delivery: If the dispensary operations are proposed to include transportation and Serious distribution, all employees of a dispensary delivering Cannabis goods shall carry a copy of the documentation listed below when making deliveries. This information shall be provided upon request to law enforcement officers and to employees of state and local agencies enforcing this Chapter. a. A copy of the dispensary's current permits, licenses, and entitlements authorizing them to provide transportation and distribution services; b. The employee's government-issued identification; c. A copy of the transportation and distribution request; and d. Chain of custody records for all goods being delivered. (PSMC 5.55.205 (A)(3)) Dispensaries shall ensure that all Cannabis goods at the dispensary are cultivated, Serious manufactured, transported, distributed, and tested by licensed and permitted facilities that maintain operations in full conformance with state and local regulations. (PSMC 5.55.205 (4)). Dispensaries shall not distribute any Cannabis goods unless the Cannabis goods are labeled Serious and in a tamper-evident package in compliance with Section 26120 (a) of the California Business and Professions Code and any additional rules promulgated by the licensing authority and such label shall include the name and contact information of the dispensary that dispensed the Adult- Use Cannabis.(PSMC 5.55.205 (A)(5)) Possession or tra nsportation and distribution of any other form of illegal drugs wi t hout proper Serious legal authorization shall be grounds for revocatio n of permits. (PSMC 5.55.205 (A) (6). 10.04.2021 10 I P age 1st 5,000 2nd 10,000 3rd 25,000 1st 5,000 2nd 10,000 3rt1 25,000 1st 5,000 2nd 10,000 3rd 25,000 1st 5,000 2nd 10,000 3rt1 25,000 3A-17 Item 5 - 37 R&QuiremenWlolatlon Dispensary shall facilitate the dispensing, making available, sale, and delivery of cannabis goods with a technology platform 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 goods between the Dispensary and customer: a. The first name and employee number of the Dispensary employee who processed the sale of cannabis goods on behalf of the Dispensary. b. A list of all the cannabis goods purchased , including the quantity purchased. C. The total amount paid for the sale, including the individual prices paid for the Cannabis goods, and any amounts paid for tax. (PSMC 5.55.205 (A) (7)). Cultivation Adult-Use Cannabis Cultivation shall comply with all of the following regulations: a. All Cultivation activities permitted under this Chapter shall comply with the state requirements for unique identifiers and the trace and track program. b. Security measures sufficient to restrict access only to authorized personnel and to deter trespass and theft of Cannabis goods shall be provided and maintained. C. Pesticides and fertilizers shall be properly labeled and stored to avoid contamination through erosion, leakage, or inadvertent damage from rodents, pests, or wildlife. d. Water conservation measures, water capture systems, or grey water systems shall be incorporated in Adult-Use Cannabis Cultivation operations in order to minimize use of water where feasible. e. On-site renewable energy generation shall be required for all indoor Adult-Use Cannabis Cultivation activities, if feasible. Renewable energy systems shall be designed to have a generation potential equal to or greater than one-half of the anticipated energy demand. f. Cannabis plants shall not be visible from offsite. No visual markers indicating that Cannabis is cultivated on the site shall be visible from offsite. g. The Permittee shall ensure that the total canopy size of Adult-Use Cannabis cultivated at the site does not exceed the cumulative canopy size authorized by State Law or regulation. (PSMC 5.55.205 (B)(2)) Manufacture Adult-Use Cannabis manufacturing shall comply with all of the following regulations: a. The manufacturing of food or other products infused with or which otherwise contain Cannabis may be manufactured within the appropriate manufacturina zonino districts 10.04.2021 11 I Page Violation Type Penaltv Moderate 1st 2,500 2nd 5,000 3rd 10,000 Serious 1st 5,000 2nd 10,000 3rd 25,000 Serious 1st 5 ,000 2nd 10,000 3rd 25,000 3A-18 Item 5 - 38 ReauiremenWlolatlon subject to the regulations set forth in this Chapter, and subject to whatever additional regulations may be promulgated hereunder by an ordinance or resolution of the City Council. Except as otherwise provided in this Chapter, all Cannabis manufacturing within the City is prohibited. b. Adult-Use Cannabis manufacturing facilities may be located within the same building or structure as an indoor Adult-Use Cannabis Cultivation facility only if the Adult-Use Cannabis manufacturing facility is located in separate rooms of the building or structure. C. Subject to the further requirements of this Section, only State manufacturer license classification type 6 or type 7 will be allowed to operate in the City using nonvolatile solvents in accordance with MAUCRSA and Business and Professions Code Sections 26130(a} and (b}. d. All Cannabis manufacturing operations shall ensure that Cannabis is obtained from permitted and licensed Cultivation sources and shall implement best practices to ensure that all manufactured Cannabis is properly stored, labeled, transported, and inspected prior to distribution at a legally permitted and licensed dispensary. e. Security measures sufficient to restrict access to only authorized personnel and to deter trespass and theft of Cannabis goods shall be provided and maintained. Security measures shall include, but are not limited to, the following: (i} Prevent individuals from loitering on the premises of the manufacturing facility if they are not engaging in activity expressly related to the operations of the manufacturing facility; (ii} Store all Cannabis goods in a secured and locked safe room, safe, or vault, and in a manner as to prevent diversion, theft, and loss; (iii} Install security cameras on site; and (iv} Provide for on-site security personnel meeting the requirements and standards contained within applicable State regulations and applicable City requirements. f. Any employees of an Adult-Use Cannabis manufacturing facility operating potentially hazardous equipment shall be trained on the proper use of equipment and on the proper hazard response protocols in the event of equipment failure. In addition, employees handling Edible Cannabis Products or ingredients shall be trained on proper food safety practices. g. Adult-Use Cannabis manufacturing is allowed only within Fully Enclosed and Secure Structures that are inaccessible to minors. 10.04.2021 121 Page Violation Type Penaltv 3A-19 Item 5 - 39 ReauirementNiolation h. Adult-Use Cannabis manufacturing shall not exceed the square footage authorized pursuant to any applicable land uses entitlement. i. From any public right-of-way, there shall be no visible exterior evidence of any Adult- Use Cannabis manufacturing activity. j. Adult-Use Cannabis manufacturing shall not adversely affect the health or safety of the nearby residents by creating dust, glare, heat, noise, smoke, traffic, vibration, or other impacts , and shall not be hazardous due to use or storage of materials, processes, products, or wastes. k. All Adult-Use Cannabis manufacturing facilities shall fully comply with all of the applicable restrictions and mandates set forth in State Law. All Adult-Use Cannabis manufacturing facilities shall comply with all size requirements for such facilities as imposed by State Law. Adult-Use Cannabis manufacturing facilities shall not engage in any activities not allowed by Adult-Use Cannabis manufacturing facilities pursuant to State Law. All Adult-Use Cannabis manufacturing facilities shall comply with all horticultural, labeling, processing, and other standards required by State Law. I. There is no set restriction on the hours of operation of Adult-Use Cannabis manufactu!jng facilities; however, restricted hours of operation may be established as a condition of approval of the manufacturing permit or the applicable land use entitlement. m. Adult-Use Cannabis manufacturing facilities shall not distribute , sell, dispense, or administer Cannabis from the facility to the public. Adult-Use Cannabis manufacturing facilities shall not be operated as Adult-Use Cannabis dispensaries. n. The Permittee of all Adult-Use Cannabis manufacturing facilities shall provide the City Manager with the name, phone number, and email address of an on-site representative to whom the City and the public can provide notice if there are any operational problems associated with the Adult-Use Cannabis manufacturing facility. All Adult-Use Cannabis manufacturing facilities shall make every good faith effort to encourage residents and the pub lic to call this representative to resolve any operational problems before any calls or complaints are made to the City or law enforcement. o. All finished products produced by an Adult-Use Cannabis manufacturing facility must be labeled in compliance with MAUCRSA, Business and Profession Code Section 26120, and the labeling requirements outlined by the State Department of Public Health. p. All finished products produced by an Adult-Use Cannabis manufacturing facility must be packaged in child resistant containers prior to leaving the facility or becomi ng commercially available in accordance with MAUCRSA, Business and Profession Code 10.04.2021 131 Page Vlolatlon TvD& Penaltv 3A-20 Item 5 - 40 Reaulrement/Violatlon Section 26120, the State Department of Public Health regulations, and other applicable State Laws. q. All batches of final Cannabis goods must be tested by a qualified third-party testing facility prior to distribution to a dispensary as required by MAUCRSA, Business and Professions Code Sections 26101, 26102, and 26104, and the State Department of Public Health regulations. r. Adult-Use Cannabis manufacturing facilities shall only use nonvolatile solvents that have been approved by the State Department of Public Health for Adult-Use Cannabis level 1 manufacturing. Until such time as any such nonvolatile solvents are approved by the State Department of Public Health for Adult-Use Cannabis level 1 manufacturing, Adult-Use Cannabis manufacturing facilities shall only use nonvolatile solvents that have been approved by the Food and Drug Administration for the processing and preparation of botanical dietary supplements or food grade products. s. All processing and analytical testing devises used for Adult-Use Cannabis manufacturing facilities must be UL listed, or otherwise approved for the intended use by the City's Building Official or the Fire Department. Any processing devices using only non-pressurized water are exempt from such approval. t. Unless otherwise prohibited, all processing devices used by an Adult-Use Cannabis manufacturing facility that utilize hydrocarbons or otherwise flammable solvents must operate in a closed loop, or in such a way that all solvent material is re covered in the process. All hazardous material must be disposed of in a manner which is compliant with all local, State, and federal guidelines for the disposal of hazardous materials. (PS MC 5.55.205 (C)(2)) Testing Labs Adult-Use Cannabis testing facilities shall comply with all of the following regulations : a. Adult-U se Cannabis testing facilities shall be independent from all other persons and entities involved in the Adult-Use Cannabis industry. b. Security measures sufficient to restrict access to only authorized personnel and to deter trespass and theft of Cannabis goods shall be provided and maintained. Security measures shall include, but are not limited to, the following: 10.04.2021 141 Page (i) Prevent individuals from lo itering on the premises of the testing facility if they are not engaging in activity expressly related to the operations of the testing facility; Violation Tva>e Penalty Serious 1st 5,000 2nd 10,000 3ro 25,000 3A-21 Item 5 - 41 RaquiremenWiolation (ii) Store all Cannabis goods in a secured and locked safe room, safe, or vault, and in a manner as to prevent diversion, theft, and loss; (iii) Install security cameras on site; and (iv) Provide for on-site security personnel meeting the requirements and standards contained within applicable State regulations and applicable City requirements. c. Adult-Use Cannabis testing facilities shall adopt standard operating procedures using methods consistent with general requirements for the competence of testing and calibration activities, including sampling, using standard methods established by the International Organization for Standardization, specifically ISO/IEC 17020 and ISO/IEC 17025 to test Cannabis goods that are approved by an accrediting body that is a signatory to the International Laboratory Accreditation Cooperation Mutual Recognition Arrangement. d. Adult-Use Cannabis testing facilities shall obtain samples for testing according to a statistically valid sampling method. e. If a test result falls outside the specifications authorized by law or regulation, the Adult- Use Cannabis testing facility shall follow a standard operating procedure to confirm or refute the original result. f. Adult-Use Cannabis testing facilities shall destroy the remains of any samples of Cannabis goods tested upon completion of the analysis. g. A licensed Cannabis Testing Facility shall issue a certificate of analysis for each lot, with supporting data, in compliance with State laws and regulations. (PSMC 5.55.205 (0)(2)) Distribution Adult-Use Cannabis transportation and distribution facilities shall comply with all of the following requirements. a. Cannabis goods shall only be transported between permitted and licensed Adult-Use Cannabis Businesses. b. Prior to transporting Cannabis goods, the transporter shall complete an electronic shipping manifest. The shipping manifest shall include the unique identifier information from the Cultivation source. c. A physical copy of the shipping manifest shall be maintained during transportation and shall be made available upon request to law enforcement or any agents of the State or City charQed with enforcement of this Chapter. 10.04.2021 151 Page Violation TvDe Penalty Serious 1st 5,000 2nd 10,000 3rd 25,000 3A-22 Item 5 - 42 ReauirementNiolation d. Distribution facilities shall maintain appropriate records of transactions and shipping manifests. An organized and clean method of storing and transporting Cannabis goods shall be provided to maintain a clear chain of custody. e. Security measures sufficient to restrict access to only authorized personnel and to deter trespass and theft of Cannabis goods shall be provided and maintained. Security measures at distribution facilities shall include, but are not limited to, the following: (i) Prevent in dividuals from loitering on the premises of the distribution facility if they are not engaging in activity expressly related to the operations of the distribution facility; (ii) Store all Cannabis goods in a secured and locked safe room, safe, or vault, and in a manner as to prevent diversion, theft, and loss; (iii) Install security cameras on site; and (iv) Provide for on-site security personnel meeting the requirements and standards contained within applicable State regulations and applicable City requirements. f. Distributors shall ensure that appropriate samples of Cannabis goods are tested by a licensed testing facility prior to distribution. g. Prior to distribution, the distributor shall inspect Cannabis goods for quality assurance. h. Cannabis goods shall be packaged and labeled in accordance with the requirements of State Law. (PS MC 5.55.205 (E)(2)) 10.04.2021 161 Page Violation Type Penalty 3A-23 Item 5 - 43 CODE ENFORCEMENT All Permittees must adhere to the requirements listed below. The indicated characterization of the violations are suggestions only and may vary depending on the circumstances of the violation. Violation: General The Permittee shall post or cause to be posted on site all required city and state permits and licenses required to operate. Such posting shall be in a central location, visible to the patrons, at the operating site, and in all vehicles that deliver or transport Cannabis goods (PSMC 5.55.200 A (4)). The entrances and all window areas shall be illuminated during evening hours. The facility shall comply with the City's lighting standards regarding fixture type, wattage, illumination levels, shielding, etcetera, and shall secure the necessary lighting approvals and permits as needed. (PSMC 5.55.210 A (10)). An Adult-Use Cannabis Business shall notify the City Manager or his/her designee(s) within twenty-four (24) hours after discovering any of the following: 1. Significant discrepancies identified during inventory. The level of significance shall be determined by the regulations promulgated by the City Manager or his/her designee. 2. Diversion, theft, loss, or any criminal activity involving the Adult-Use Cannabis Business or any agent or employee of the Adult-Use Cannabis Business. 3. The loss or unauthorized alteration of records related to the Adult-Use Cannabis Business. 4. Any other breach of security. (PSMC 5.55.210 E). Any adult-use cannabis business with the word "organic" in its name must place signage no smaller than 8 ½ inches by 11 inches with a font no smaller than 72 pt. in its place of business visible upon entry and at the point-of-sale that reads, "Product Being Sold Is Not Organic Unless Exolicitlv Labeled". (PS MC 5.55.220 B). No cannabis goods, or graphics depicting cannabis goods shall be visible from the exterior of the premises. (PSMC 5.55.200 A (17)). With the exception of storefront retail dispensary No person who is less than twenty-one (21) years of age may be employed or otherwise engaged in the operation of the Permittee (PSMC 5.55.200 A ( 15)). 10.04.2021 171 Page Violation Type Moderate Minor Serious Minor Moderate Serious Penaltv 1st 2,500 2nd 5,000 3rd 10,000 1st 500 2nd 1,000 3rd 5,000 1st 5,000 2nd 10,000 3rd 25,000 1st 500 2nd 1,000 3rd 5,000 1st 2,500 2nd 5,000 3rd 10,000 1st 1,000 2nd 5,000 3rd 25,000 3A-24 Item 5 - 44 Retail (Dispensarvl The sale or consumption of alcohol or tobacco products is not allowed on the premises. (PSMC 5.55.095(8 )(6)(b)) It shall be a violation of this Chapter for a permittee to cultivate, process, manufacture, test, distribute, transport, deliver, provide, or allow to be provided Cannabis to any person under twenty-one years of age except for Cannabis Medical Use Dispensaries which may permit qualified patients, or primary caregivers of qualified patients pursuant to applicable State law. (PSMC 5.55.200 (1 )). Each Permittee shall maintain a current register of the names and the contact information (including the name, address, and telephone number) of anyone owning or holding an financial interest in the Adult-Use Cannabis Business, and separately of all the officers, managers, supervisors, employees and volunteers currently employed or otherwise engaged by the Adult- Use Cannabis Business. The register required by this paragraph shall be provided to the City Manager or his/her desionee(s) upon a reasonable reauest. (PSMC 5.55.200 (3)). Signage for any Adult-Use Cannabis Business facility and/or location shall include the name of the business and shall be in compliance with the City's sign ordinance and any applicable City design standards. (PSMC 5.55.200 A (11 ). Dispensaries shall ensure that all Cannabis goods at the dispensary are cultivated, manufactured, transported , distributed, and tested by licensed and permitted facilities that maintain operations in full conformance with state and local regulations. (PSMC 5.55.205 A (4)). All Cannabis goods shall be stored in a secured and locked safe room, safe or vault, and in a manner to prevent diversion, theft, and loss, except for limited amounts of Cannabis used for display purposes, samples, or immediate sale. (PSMC 5.55.200 A (18)). Each permittee shall be responsible and liable for safety and security in and around the Adult- Use Cannabis Business, and shall provide adequate security on the premises, including lighting and alarms, to ensure the safety of persons and to protect the premises from theft and other crimes. Each permittee shall install and maintain in proper working order, video monitoring equipment capable of providing surveillance of both interior and exterior areas of the permitted establishment. Each permittee shall maintain such surveillance video tapes for a period of at least thirty (30) days and shall make such videotapes available to the City upon demand. (PSMC 5.55.200 A (19)). Dispensaries shall not distribute any Cannabis goods unless the Cannabis goods are labeled and in a tamper-evident package in compliance with Section 26120 (a) of the California Business and Professions Code and any additional rules promulgated by the licensing authority and such label shall include the name and contact information of the dispensary that dispensed the Adult-Use Cannabis. (PSMC 5.55.205 A (5)). 10.04.2021 181 Page Moderate 1st 2,500 2nd 5,000 3rd 10,000 Serious 1st 5,000 2nd 10,000 3rd 25,000 Serious 1st 5,000 2nd 10,000 3rd 25,000 Minor 1st 500 2nd 2,500 3rd 10,000 Serious 1st 1,000 2nd 5,000 3rd 25,000 Serious 1st 1,000 2nd 5,000 3rd 25,000 Serious 1st 5,000 2nd 10,000 3rd 25,000 Serious 1st 1,000 2nd 5,000 3rd 25,000 3A-25 Item 5 - 45 The Permittee shall maintain clear and adequate records and documentation demonstrating that all Cannabis goods have been obtained from and are provided to other permitted and licensed Cannabis operations. The City shall have the right to examine, monitor, and audit such records and documentation, which shall be made available to the City upon request. (PSMC 5.55.200 A (7)). Physician services shall not be provided on the premises. "Physician services" includes without limitation the evaluation of patients for the issuance of a medical Cannabis recommendation or card. "Physician services" does not include social services, including counseling, help with housing and meals, hospice, and other care referrals which may be provided on site. (PSMC 5.55.200 A (12)). Consumption Lounge Sale of Cannabis Goods. Cannabis goods may be sold on the premises of a Cannabis Lounge, subject to the following: (i) The Permittee must hold an Adult-Use Dispensary permit. (ii) Permittees shall not permit patrons to bring their own personal cannabis or cannabis goods to the Cannabis Lounge Facility. (iii) All cannabis or cannabis goods purchased and opened at the facility must be smoked, inhaled, consumed or ingested on site, and shall not be permitted to leave the facility unless repackaged in a container that is compliant with all applicable state law and regulation. (iv) Permittees shall only permit patrons to leave the Cannabis Lounge Facility with cannabis and cannabis goods that remain in originally sealed and unopened packaging or have been transferred by the Operator for repackaging in a container that is compliant with all applicable state law and regulation . (PSMC 5.55.095 (6) (c)). Minors. Access to the Cannabis Lounge Facility shall be restricted to persons twenty-one (21) years of age and older (PSMC 5.55.095 (6) (f)). Visibility. The smoking, inhalation, consumption or ingestion of cannabis or cannabis goods shall not be visible from any public place or any area where minors may be present. The Cannabis Loum:ie shall be located within a completely enclosed buildina. (PSMC 5.55.095 B (6) (a)). Alcohol and Tobacco Products. The sale or consumption of alcohol or tobacco products is not allowed on the prem ises. (PSMC 5.55.095 B (6) (e)). Permittee shall place and properly maintain solid waste receptacles and recycling bins, in sufficient numbers and locations to service the needs of the proposed use at peak business 10.04.2021 191 Page Serious 1st 1,000 2nd 5,000 3rd 25,000 Moderate 1st 2,500 2nd 5,000 3rd 10,000 Serious 1st 5,000 2nd 10,000 3rd 25,000 Serious 1st 5,000 2nd 10,000 3rd 25,000 Serious 1st 5,000 2nd 10,000 3rd 25,000 Serious 1st 1,000 2nd 5,000 3rd 25,000 Moderate 1st 2,500 2nd 5,000 3A-26 Item 5 - 46 periods and shall ensure all areas at least one hundred feet from the consumption area are free of anv waste or litter i::ienerated bv the use. (PSMC 5.55.095 (6) (I)). Retail Deliverv If the dispensary operations are proposed to include delivery, all employees of a dispensary delivering Cannabis goods shall carry a copy of the documentation listed below when making deliveries. This information shall be provided upon request to law enforcement officers and to employees of state and local agencies enforcing this Chapter. a. A copy of the dispensary's current permits, licenses, and entitlements authorizing them to provide transportation and distribution services; b. The employee's government-issued identification ; C. A copy of the transportation and distribution request; and d. Chain of custody records for all goods being delivered. (PSMC 5 .55.205 A (3)). Dispensaries shall not distribute any Cannabis goods unless the Cannabis goods are labeled and in a tamper-evident package in compliance with Section 26120 (a) of the California Business and Professions Code and any additional rules promulgated by the licensing authority and such label shall include the name and contact information of the dispensary that dispensed the Adult- Use Cannabis.(PSMC 5.55.205 A (5)). Dispensary shall facilitate the dispensing, making available, sale, and delivery of cannabis goods with a technology platform 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 goods between the Dispensary and customer: a. The first name and employee number of the Dispensary employee who processed the sale of cannabis goods on behalf of the Dispensary. b. A list of all the cannabis goods purchased, including the quantity purchased. C. The total amount paid for the sale, including the individual prices paid for the Cannabis goods, and any amounts paid for tax. (PSMC 5.55.205 A (7)). 10.04.2021 201 Page 3rn 10,000 Serious 1st 5,000 2nd 10,000 3rd 25,000 Serious 1st 5,000 2nd 10,000 3rn 25,000 Serious 1st 5,000 2nd 10,000 3rn 25,000 3A-27 Item 5 - 47 Cultivation All Cultivation activities permitted under this Chapter shall comply with the state requirements for unique identifiers and the trace and track program. (PSMC 5.55.205 B (2) (a). Security measures sufficient to restrict access only to authorized personnel and to deter trespass and theft of Cannabis goods shall be provided and maintained. (PSMC 5.55.205 B (2) (b)). Pesticides and fertilizers shall be properly labeled and stored to avoid contamination through erosion, leakage, or inadvertent damage from rodents, pests, or wildlife. (PSMC 5.55.205 B (2) (c)). Water conservation measures, water capture systems, or grey water systems shall be incorporated in Adult-Use Cannabis Cultivation operations in order to minimize use of water where feasible. (PSMC 5.55.205 B (2) (d)). On-site renewable energy generation shall be required for all indoor Adult-Use Cannabis Cultivation activities, if feasible . Renewable energy systems shall be designed to have a generation potential equal to or greater than one-half of the anticipated energy demand. (PSMC 5.55.205 B (2) (e)). Cannabis plants shall not be visible from offsite. No visual markers indicating that Cannabis is cultivated on the site shall be visible from offsite. (PSMC 5.55.205 B (2) (f)). The Permittee shall ensure that the total canopy size of Adult-Use Cannabis cultivated at the site does not exceed the cumulative canopy size authorized by State Law or regulation. (PSMC 5.55.205 B (2) (f)). Manufacturina The manufacturing of food or other products infused with or which otherwise contain Cannabis may be manufactured within the appropriate manufacturing zoning districts subject to the regulations set forth in this Chapter, and subject to whatever additional regulations may be promulgated hereunder by an ordinance or resolution of the City Council. Except as otherwise provided in this Chapter, all Cannabis manufacturing within the City is prohibited. (PSMC 5.55.205 C (2) (a)). Adult-Use Cannabis manufacturing facilities may be located within the same building or structure as an indoor Adult-Use Cannabis Cultivation facility only if the Adult-Use Cannabis manufacturing facility is locate9 in separate rooms of the building or structure. (PSMC 5.55.205 C (2) (b)). Subject to the further requireme nts of this Section, only State manufacturer license classification type 6 or type 7 will be allowed to operate in the City using nonvolatile solvents in accordance with MAUCRSA and Business and Professions Code Sections 26130(a) and (b). (PSMC 5.55.205 (2) (c)). 10.04.2021 211 Page Serious 1st 5,000 2nd 10,000 3rc1 25,000 Serious 1st 5,000 2nd 10,000 3rc1 25,000 Moderate 1st 2,500 2nd 5,000 3rc1 10,000 Serious 1st 5,000 2nd 10,000 3rc1 25,000 Serious 1st 5,000 2nd 10,000 3rc1 25,000 Serious 1st 5,000 2nd 10,000 3rc1 25,000 Serious 1st 5,000 2nd 10,000 3rc1 25,000 Serious 1st 5,000 2nd 10,000 3rc1 25,000 Serious 1st 5,000 2nd 10,000 3rc1 25,000 Serious 1st 5,000 2nd 10,000 3rc1 25,000 3A-28 Item 5 - 48 All Cannabis manufacturing operations shall ensure that Cannabis is obtained from permitted and licensed Cultivation sources and shall implement best practices to ensure that all manufactured Cannabis is properly stored, labeled, transported, and inspected prior to distribution at a leaallv oermitted and licensed disoensary. (PSMC 5.55.205 (2) (d). Any employees of an Adult-Use Cannabis manufacturing facility operating potentially hazardous equipment shall be trained on the proper use of equipment and on the proper hazard response protocols in the event of equipment failure. In addition, employees handling Edible Cannabis Products or ingredients shall be trained on proper food safety practices. (PSMC 5.55.205 (2) (f)). Adult-Use Cannabis manufacturing is allowed only within Fully Enclosed and Secure Structures that are inaccessible to minors . (PSMC 5.55.205 (2) (g). From any public right-of-way, there shall be no visible exterior evidence of any Adult-Use Cannabis manufacturing activity. (PSMC 5.55.205 (2) (i)). Adult-Use Cannabis manufacturing facilities shall not distribute, sell, dispense, or administer Cannabis from the facility to the public. Adult-Use Cannabis manufacturing facilities shall not be ooerated as Adult-Use Cannabis dispensaries. (PSMC 5.55.205 (2) (m)). All finished products produced by an Adult-Use Cannabis manufacturing facility must be labeled in compliance with MAUCRSA, Business and Profession Code Section 26120, and the labeling requirements outlined by the State Department of Public Health. (PSMC 5.55.205 (2) (o). All finished products produced by an Adult-Use Cannabis manufacturing facility must be packaged in child resistant containers prior to leaving the facility or becoming commercially available in accordance with MAUCRSA, Business and Profession Code Section 26120, the State Department of Public Health regulations, and other applicable State Laws. (PSMC 5.55.205 (2) (p)). All batches of final Cannabis goods must be tested by a qualified third-party testing facility prior to distribution to a dispensary as required by MAUCRSA, Business and Professions Code Sections 26101, 26102, and 26104, and the State Department of Public Health reQulations. (PSMC 5.55.205 (2) (q)). Adult-Use Cannabis manufacturing facilities shall only use nonvolatile solvents that have been approved by the State Department of Public Health for Adult-Use Cannabis level 1 manufacturing. Until such time as any such nonvolatile solvents are approved by the State Department of Public Health for Adult-Use Cannabis level 1 manufacturing, Adult-Use Cannabis manufacturing facilities shall only use nonvolatile solvents that have been approved by the Food and Drug Administration for the processing and preparation of botanical dietary suoolements or food orade oroducts. (PSMC 5.55.205 (2) (r)). 10.04 .2021 22I Page Serious Moderate Serious Serious Serious Serious Serious Serious Serious 1st 5,000 2nd 10,000 3rd 25,000 1st 2,500 2nd 5,000 3rd 10,000 1st 5,000 2nd 10,000 3rd 25,000 1st 5,000 2nd 10,000 3rd 25,000 1st 5,000 2nd 10,000 3rd 25,000 1st 5,000 2nd 10,000 3rd 25,000 1st 5,000 2nd 10,000 3rd 25,000 1st 5,000 2nd 10,000 3rd 25,000 1st 5,000 2nd 10,000 3rd 25,000 3A-29 Item 5 - 49 All processing and analytical testing devises used for Adult-Use Cannabis manufacturing facilities must be UL listed, or otherwise approved for the intended use by the C ity's Building Official or the Fire Department. Any processing devices using only non-pressurized water are exempt from such aooroval. (PSMC 5.55.205 (2) (s)). Unless otherwise prohibited, all processing devices used by an Adult-Use Cannabis manufacturing facility that utilize hydrocarbons or otherwise flammable solvents must operate in a closed loop , or in such a way that all solvent material is recovered in the process . All hazardous material must be disposed of in a manner which is compliant with all local, State, and federal guidelines for the disposal of hazardous materials. (PSMC 5.55.205 (2) (t)). Transportation and Distribution Cannabis goods shall only be transported between permitted and licensed adult-use cannabis businesses. (PSMC 5.55.205 E (2) (a)). Prior to transporting cannabis goods, the transporter shall complete an electronic shipping manifest. The shipping manifest shall include the unique identifier information and cultivation source. (PSMC 5.55.205. E (2) (b)). A physical copy of the shipping manifest shall be maintained during transportation and shall be made available upon request to law enforcement or any agents of the State or City. (PSMC 5.55.205 E (2) (c)). Distribution facilities shall maintain appropriate records of transactions and shipping manifests. An organized and clean method of storing and transporting cannabis goods shall be provided to maintain a clear chain of custody. (PSMC 5.55.205 E (2) (d)). Distributors shall ensure that appropriate samples of cannabis goods are tested by a licensed testing facility prior to distribution. (PSMC 5.55.205 E (2) (f)). Cannabis goods shall be packaged and labeled in accordance with the requirements of State law. (PSMC 5.55.205 E (2) (h)). Alternative fuel vehicles shall be provided as part of an Adult-Use Cannabis transportation fleet. (PSMC 5.55.205 E (2) (i)). 10 .04 .2021 231 Page Serious Serious Serious Serious Serious Serious Serious Serious Moderate 1st 5,000 2nd 10,000 3rd 25,000 pt 5,000 2nd 10,000 3rd 25,000 1st 1,000 2nd 5,000 3rd 25,000 1st 1,000 2nd 5,000 3rd 25,000 1st 1,000 2nd 5,000 3rd 25,000 1st 1,000 2nd 5,000 3rd 25,000 1st 1,000 2nd 5,000 3rd 25,000 pt 1,000 2nd 5,000 3rd 25,000 1st 2,500 2nd 5,000 3rd 10,000 3A-30 Item 5 - 50 Odor Violations Notwithstanding any other provision of this Chapter, in the event any adult-use cannabis activity surpasses the odor detection threshold while complying with an approved Odor Protection Plan, the permittee will be issued a written warning and the permittee shall work with the City to modify any existing odor control plan to mitigate odor issues within seven (7) days . If the permittee cannot mitigate the odor issues within seven (7) days, then Adult-Use Cannabis Activity causing the odor issues must cease until effective odor control measures are in place. (PSMC 5.55.435 A). In the event any Adult-Use Cannabis Activity surpasses the odor detection threshold while not complying with an approved Odor Protection Plan, the permittee shall be issued an administrative citation for ten thousand dollars ($10,000 .00). The permittee shall have thirty (30) days to remedy any odor issues. The permittee shall be issued an administrative citation for ten thousand dollars ($10,000.00) for each subsequent month the permittee fails to remedy the odor issue and comply with the approved Odor Control Plan. If a permittee receives three (3) administrative citations pursuant to this subsection, the permit shall automatically be revoked upon issuance of the third citation. (PSMC 5.55.435 B). In the event an Adult-Use Cannabis Businesses with an Adult-Use Cannabis Permit is confirmed to have a verified odor complaint based on Adult-Use Cannabis Activity that it is not permitted for, the permittee shall be issued an administrative citation for twenty five thousand dollars ($25,000.00) and all permits issued to permittee shall automatically be revoked. (PSMC 5.55.435 C). 10 .04 .2021 24I Page 3A-31 Item 5 - 51 ATTACHMENT 6 Item 5 - 52 Volume 2, Issue 2 DEPARTMENT OF SPECIAL PROGRAM COMPLIANCE CANNABIS MONTHLY NEWSLETTER Together Our Knowledge Expands February, 2022 California Now Permits the Manufacture and Retail Sale of Hemp-Derived Products -Including CBD On October 6, 2021, Governor Newsom signed AB-4S into law. The bill, which takes effect immediately, permits the sale of food, beverages, dietary supplements, pet products, and cosmetics containing hemp-derived ingredients, in- cluding CBD. (Though, of course, the Food and Drug Administration still maintains that CBD is not permitted in food and dietary supplements.) The passage of AB-4S overrides the California Department of Public Health's infamous FAQ prohibiting sale of all CBD products in California. Below is a high-level summary of AB-45's key provisions: General Permissibility of Hemp Products • The sale of dietary supplements, food, beverages, cosmetics, or pet food cannot be restricted based solely on the inclusion of industrial hemp or cannabinoids, extracts, or derivatives from industrial hemp. • Subject to AB-45's requirements, a dietary supplement, food, beverage, cosmetic, or pet food is not adul- terated by the inclusion of industrial hemp or cannabinoids, extracts, or derivatives. Registration with the California Department of Public Health (CDPH) and General Manufacturing Requirements • Manufacturers and manufacturing facilities that produce, package, label, or hold a hemp food, beverage, cosmetic, or a raw hemp extract, must register with the CDPH Food and Drug Branch and comply with good manufacturing practices. • Out-of-state manufacturers importing raw hemp extract into California must register with the CDPH Food and Drug Branch. • A manufacturer of pet food must register with the CDPH as a company that processes pet food and comply with good manufacturing practices. • In addition to registering with CDPH, hemp manufacturers must obtain an "industrial hemp enrollment and oversight authorization" from the CDPH. Manufacturers have a three month grace period from the law's effec- tive date to obtain the enrollment and oversight authorization. • Industrial hemp can only be used in dietary supplements or food products if all of the hemp-derived parts used in such products: • (1) "come from a state or country that has an established and approved industrial hemp program that in- spects or regulates hemp under a food safety program or equivalent criteria to ensure safety for human or ani- mal consumption" and • (2) the hemp grower is in good standing and compliance with the laws of the state or country of origin. • Although AB-45 generally applies in equal force to human and animal products, the term "animal" excludes livestock or a "food animal." • Industrial hemp cannot be included in any products containing nicotine, tobacco, or alcohol. Integration with the Cannabis Supply Chain No later than July 1. 2022. the Department of Cannabis Control (DCC) is required to prepare a report outlining the steps necessary to incorporate hemp into the cannabis supply chain, including allowing hemp as an ingredi- ent in manufactured cannabis products and the sale of hemp-only products at cannabis retailers. Item 5 - 53 In January, 2022 the Department of Special Code Compliance welcomed Ca nnabis Code Comp liance Officer Mitch Nabhan. Officer Nabhan will be conducting inspections to ensure compliance. His duties include, but are not limited to: • Responds to complaints from citizens and other sources; locates and in t erviews appropriate parties to gather information and facts related to alleged violations. • Conducts scheduled and unannounced field inspections and/or investigations observes conditions to verify facts indicating potenti al violations. • Coordinates resolution of violations or concerns with local community members, property owners and other public and pri- vate agencies issues appropriate corrective action notices and/or citations for violations. • Responds to and resolves difficult and sensitive inquires and complaints from other agencies and/or departments; maintains effective working relationships by appropriately explaining applicable codes, ordinances, policies and procedures. • Prepares reports of investigations and other required documentation or correspondence for use by administrative and/or judicial au t horities supporting civil actions and/or criminal prosecutions; may testify or represent the City at court hearings, administrative proceedings and public meetings. If you have any questions about compliance, or would like to schedule an inspection to address your compliance concerns, you may reach out directly to Officer Nabhan via email: Mitchell.Nabhan@palmspringsca.gov EMPLOYEE SPOTLIGHT -Mitch Nabhan Th is month get to know Cannabis Co de Offi cer, Mitch Nabhan . M itch ha s been with the City of Palm Springs for 3 years and recently joined the Depa rtme nt of Spec ial Program Com p lia nce. What's your favorite way to spend a day off? Days off are focused on relaxing and resetting from the previous week. I generally keep my days light with as few scheduled errands/tasks as possible and take the day as it comes. I enjoy being outside, especially in the winter, so I usually end up on a golf course or in the mounta ins hiking. What type of music are you into? I listen to a wide range of genres, but will generally listen to anything that's upbeat and up-tempo. Music can play an important role in setting the mood, so I like to listen to high energy tunes in the morni ng to get me going and switch to more easy listening/ambient acoustics as my day is winding down. What was the best vacation you ever took and why? A few years ago I took a trip with some friends to Grand Cayman. Was there for a week and we would go diving every morning along the north wall and come back and spend the rest of the day lounging on the white sands of Seven Mile Beach. It was an all-around great time with some good people. What was your favorite age growing up? Mid to late twenties comes to mind. 28 was a solid year. I was in a good place in my professional life as well as my personal life. Was the last thing you read? The Department of Cannabis Control Medicinal and Adu lt-Use Commer- cial Cannabis Regulations. It's robust and a bit interpretive, but full of very useful information. Overall a good read. Would you say you're more of an extrovert or an introvert? I am definitely more of an introvert. If you think you're introverted, wait until you never meet me! What was the last TV show you binge-watched? I just re-binged Game ofThrones. Started at episode 1 and got through all eight seasons in about two weeks. What's your favorite quote from a TV show/movie/book? "The Dude Abides" -The Big Lewboski What song always gets you out on the dance floor? "Can't Help Falling in Love" the Kina Grannis edit. It's a slow jam, but it's the only song that is exempt from my strict stay off the dance floor at all costs policy. What's your favorite thing about your current job? Hands down, it's the people that I get to work with here in the office at the Department of Special Program Compliance. Such a great group! If you could have a super power, what would it be? The ability to fly like Superman. What an incredible sense of freedom to be able to just walk outside and fly off to any- where you want to go. Item 5 - 54 EMPLOYEE SPOTLIGHT -David Williams This month get to know David Williams, Code Compliance Officer. David has been with the City five years and with the Department of Special Program Compliance for five years. What's your favorite way to spend a day off? By the pool with a margarita. What type of music are you into? I am so stuck in the 80's. What was the best vacation you ever took and why? Definitely London, Paris and Amsterdam in 2016. Up and until then, the only places I had been out of the country were Mexico and Canada. It was just amazing sights, food, and people . What was your favorite age growing up? 22, the year I packed up and left the cold for California. Was the last thing you read? Made in Hollywood by Gina Shock. Would you say you're more of an extrovert or an introvert? Introvert. What was the last TV show you binge-watched? The Morning Show. What's your favorite quote from a TV show/movie/book? "Be cool .... Don't be all uncool" -Countess Luan. What song always gets you out on the dance floor? Goodbye to You by Scandal. What's your favorite thing about your current job? My co-workers!! It is so important to like the people you work with. We have a great team and it makes the day go by so much faster. If you could have a super power, what would it be? Teleportation-so I can go somewhere witho ut all the traffic. Cannabis Tax Appointments All cannab is tax payments are by appointment only. There are limited appointments available. To avoid missing the cannabis tax deadline schedu le your appointment as soon as possib le . Cannabis tax payments may be made by cash, check, credit card or ACH transfer. Please note, if you are pla nning to pay by ACH transfer you must notify City staff pri- or to remitting payment. To schedule an appointment email: Fi na nce .cannabis@palmspringsca.gov Special Program Compliance By Appointment Only The Department of Special Program Compliance will continue to operate by appointment on ly. To schedule an appointment email: M ichael.M ilan@palmspringsca.gov Item 5 - 55 ATTENTION CANNABIS OPERATORS-PER CALIFORNIA STATE LAW, AT LEAST ONE SUPERVISOR AND ONE EMPLOYEE ARE REQUIRED TO COMPLETE THE CAL/OSHA 30-HOUR GENERAL INDUSTRY TRAINING. COLLEGE OF THE DESERT IS OFFERING THIS TRAINING FOR FREE FOR A LIMITED TIME. Safety starts with training, and a great opportunity awaits you! PaCE i s now offering Occupational Safety and Health Administration (OSHA) trai ning at NO COST to you! This training i s geared for those who face hazards on the job. OSHA30 30-hour OSHA O utreac h: Intended to provide a variety of training to workers with safety responsibility, and will emphasize hazard identification, avoidance, control and prevention . NO COST, funded through a State Grant Training Value of $599 ENROLL TODAY! https://codpace.asapconnected.com/ Training Dates OSHA 30 March 21 -25, 2022 LIVE-REMOTE WEBINAR SESSIONS Monday -Friday, 9 a.m. -4 p.m. Partner>hip and Communtty fdtltation I todpace.~etted.com f 7flJ.776.7420 Is there somet hing you want to know about the cannab is industry? Do you have a story you would like to see featu red in our m o nthly news letter? Maybe you just want to let us know what you like or even dislike. Send your co m ments to: Bryan.Va l le@pa lmspringsca.gov Item 5 - 56 ATTACHMENT 7 Item 5 - 57 Veronica Goedhart From: Sent: To: Cc: Fernando Gomez Wednesday, June 16, 2021 1 :55 PM Veronica Goedhart Mitchell Nabhan Subject: Re: OG Arabian Nights I contacted Ivette, she stated as of yesterday they hired a Security guard and she will be forwarding me the job offer letter by 3pm. Sent from my iPhone On Jun 16, 2021, at 9:41 AM, Veronica Goedhart <Veronica.Goedhart@palmspringsca.gov> wrote: Thank you . Veronica E. Goedhart Director, Department of Special Program Compliance Office -760-322 -8370 / Ext. 8370 Email : veronica .goedhart@palmspringsca .gov FOR CORONAVIRUS UPDATES AND RESOURCES: www.palmspringsca .gov Or CONTACT THE HOTLINE AT coronavirusquestions@palmspringsca.gov O r Phone #760-902-1155 The Eisenhower Coronavirus Hotline can be reached at 760-837-8988 From: Fernando Gomez <Fernando.Gomez@palmspringsca.gov> Sent: Wednesday, June 16, 2021 9:41 AM To: Veronica Goedhart <Veronica.Goedhart@palmspringsca.gov> Cc: Mitchell Nabhan <mitchell.nabhan@palmspringsca.gov> Subject: Re: OG Arabian Nights I haven't received a response to my email that was sent last week to Ivette. I am on my way to the location to gather the information. I will work on getting you the report by today. Sent from my iPhone On Jun 16, 2021, at 9:36 AM, Veronica Goedhart <Veronica.Goedhart@palmspringsca .gov > wrote: 1 Item 5 - 58 Were you able to follow up about their secur it y guard? Also, can a report be prepared with dates vis it ed and in the findings of no guard . Thanks . Veronica E. Goedhart Director, Department of Special Program Compliance 425 North Civic Drive Palm Springs, California 92262 Office -760 -322-8370 / Ext. 8370 Email: veronica.goedhart@palmsprings ca.gov FOR CORONA VIRUS UPDATES AND RESOURCES: www.palmspringsca.gov Or CONTACT T HE HOTLINE AT coronavirusguestions@palmspringsca.gov Or Phone #760-902-1155 The Eisenhower Coronavirus Hotline can be reached at 760-837-8988 <image00l.jpg> CONFIDENTIAL COMMUNICATION This message is for the sole use of the intended recipients and may contain confidential material, legally privileged information, and/or information exempt from disclosure under applicable law. Any unauthorized review, use, disclosure or distribution is prohibited If you have received this e-mail in error, please so notify the sender by reply email and destroy all copies of the original. 2 Item 5 - 59 ATTACHMENT 8 Item 5 - 60 5/18/22, 3: 17 PM Mail -Mitchell Nabhan -Outlook Re: OG Arabian Nights Cannabis Dispensary Inspection -Findings Ivette Flores <ivetteogan@gmail.com> Fri 3/4/2022 6:23 PM To: Mitchell Nabhan <mitchell.nabhan@palmspringsca.gov> I 1 attachments (1 KB) Employee Information report null 03.04.2022 (1).csv; I~ This messap O!Wnated outside ofl'heatyof Plllm Spmas-DO NOT CLICK on Unlcs or open lltachmenb unless yo11 ant sure the content Is safe. Sorry for the late reply. These are all active employees at OG ARABIAN NIGHTS LCC On Thu, Jan 27, 2022 at 12:14 PM Mitchell Nabhan <mjtchell nabhan@p.il.l.ro.iRCingsca.gQ:i> wrote: Hello, Please see the attached inspection form which displays my findings related to the recent cannabis dispensary inspection at the business. The following i tems listed were found to be out of compliance and need to be corrected immediately. Going forward, if violations of any state and local laws are observed it could result in the issuance of administrative citations and/or suspension of the businesses operating permit. PSMC 5.55.205(A(2)) Dispensaries shall implement and maintain sufficient security measures to both deter and prevent unauthorized entrance i nto areas containing Cannabis good in compliance with Section 260700) of the California Business and Professions Code and any rules promulgated by the State licensing authority. Security measures shall include, but are not limited to, the following: e. Provide for on-site security personnel meeting the requirements and standards contained within applicable State regulations and applicable City requirements. PSMC 5.55.205 (A(7)) Dispensary shall facilitate the dispensing, making available, sale, and delivery of cannabis goods with a technology platform 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 goods between the Dispensary and customer: a. The first name and employee number of the Dispensary employee who processed the sale of cannabis goods on behalf of the Dispensary. PSMC 5.55.210 (A(4) Serious Moderate Insta lling 24-hour security surveillance cameras and used in an ongoing manner with at least two hundred forty (240) concurrent hours of digitally recorded documentation of at least HD-quality in a format approved by the City Manager to monitor all entrances and exits to and from the premises, all interior spaces within the adult-use cannabis business which 5 . are open and accessible to the public, and all interior spaces where cannabis, cash or currency, is being stored for any enous period of time on a regular basis, including cultivation areas and any other areas as determined by the City Manager. Video recordings shall be maintained for a minimum of ninety (90) days and shall be made available to the City Manager or law enforcement upon verbal request. CCR 15043 // PSMC 5.55.110 All agents, officers, or other persons acting for or employed by a licensee conducting retail sales or participating in a temporary cannabis event shall display a laminated or plastic-coated identification badge issued by the licensee at all tjmes while engaging in commercial cannabis activity. The identification badge shall, at a minimum, include the Minor licensee's •doing business as# name and license number, the employee's first name, an employee number exclusively ~sslgned to that employee for identification purposes, and a color photograph of the employee that clearly shows the full ~ront of the employee's face and that is at least 1 inch In width and 1.5 inches in height. 1st: $5,000 .2nd : $10,000 !3rd: $25,000 1st: $2,500 2nd: $5,000 3rd: $10,000 1st: $5,000 2nd: $10,000 ,3rd: $25,000 1st: $500 2nd: $1,000 !3rd: $5,000 I Additionally, please provide a current register of names, date of birth, and date of hire of all employees, Including supervisors, managers, and volunteers to me within 24hrs as required within P5MC S.SS.200(6} httn<>· /In, ,ttnnlr nffir,A~A!'\ r.nm/nmil/in/AAOkAGYzYiA 1 MWNmL TY0ZDYtNGMxNi1 hM D14LWViNTY 4Yik 1 ZDl3OQAQAOirtD1 yiVZNiCbQoWnBsn8%3D 1 /2 Item 5 - 61 5/18/22, 3:17 PM Mail -Mitchell Nabhan -Outlook If you have any questions related to the inspection that was done or would like clarification regarding my findings, feel free to reach out. Thanks, Mitch Nabhan I Code Compliance Officer Palm Springs Police Department a: 200 S Ovic Dr, Palm Springs, 0. 92262 e: mitchell.nabhan@P.!;!lmsRring~gQl! w: www.J:!almspriogsca.gQY p: 760-323-8116 x8745 https://outlook.office365.com/mail/id/AAQkAGYzYjA 1 MWNmL TYOZDYtNGMxNi1 hMDl4LWViNTY 4Yjk1 ZDl30QAQAOirtD1 yiVZNiCbQoWnBsn8%3D 2/2 Item 5 - 62 5/18/22, 3:47 PM Mail -Mitchell Nabhan -Outlook Re: OG Arabian Nights Fernando Gomez < Fernando.Gomez@palmspringsca.gov> Wed 6/16/2021 1:55 PM To: Veronica Goedhart <Veronica.Goedhart@palmspringsca.gov> Cc: Mitchell Nabhan <mitchell.nabhan@palmspringsca.gov> I contacted Ivette, she stated as of yesterday they hired a Security guard and she will be forwarding me the job offer letter by 3pm. Sent from my iPhone On Jun 16, 2021, at 9:41 AM, Veronica Goedhart < Veronica.Geed ha rt@pal mspri ngsca.gov > wrote: Thank you. Veronica E. Goedhart Director, Department of Special Program Compliance Office -760-322-8370 / Ext. 8370 Email: veronica.goedhart@RalmsRringsca.gov FOR CORONAVIRUS UPDATES AND RESOURCES: www.P-almsP-ringsca.gov Or CONTACT THE HOTLINE AT coronavirusguestions@P-almsP-ringsca.gov Or Phone #760-902-1155 The Eisenhower Coronavirus Hotline can be reached at 760-837-8988 From: Fernando Gomez <Fernando.Gomez@palmspringsca.gov> Sent: Wednesday, June 16, 2021 9:41 AM To: Veronica Goedhart <Veronica.Goedhart@palmspringsca.gov> Cc: Mitchell Nabhan <mitchell.nabhan@palmspringsca.gov> Subject: Re: OG Arabian Nights I haven't received a response to my email that was sent last week to Ivette. I am on my way to the location to gather the information. I will work on getting you the report by today. Sent from my iPhone On Jun 16, 2021, at 9:36 AM, Veronica Goedhart <Veronica.Goedhart@.Ralmswingsca.gov> wrote: Were you able to follow up about their security guard? Also, can a report be prepared with dates visited and in the findings of no guard. httos://outlook.office365.com/mail/id/AAQkAGYzYiA 1 MWNmL TY0ZDYtNGMxNi1 hMDl4LWViNTY 4Yik1 ZDl3OQAQAE2r9IOESUWukDL 7%2FvW4y4... 1 /2 Item 5 - 63 5/18/22, 3:47 PM Mail -Mitchell Nabhan -Outlook Thanks. Veronica E. Goedhart Director, Department of Special Program Compliance 425 North Civic Drive Palm Springs, California 92262 Office -760-322-8370 / Ext. 8370 Email: veronica.goedhart@P.almsRringsca.gov FOR CORONAVIRUS UPDATES AND RESOURCES: www.P-almsP-ringsca.gov Or CONTACT THE HOTLINE AT coronavirusguestions@P-almsP-ringsca.gov Or Phone #760·902·1155 The Eisenhower Coronavirus Hotline can be reached at 760-837-8988 <image001.jpg> CONFIDENTIAL COMMUNICATiON. This message is for the sole use of the intended recipients and may contain confidential material, legally privileged information, and/or information exempt from disclosure under applicable law. Any unauthorized review, use, disclosure or distribution is prohibited. If you have received this e-mail in error, please so notify the sender by rep!y email and destroy all copies of the original. httos://outlook.office365.com/mail/id/AAQkAGYzYiA 1 MWNmL TY0ZDYtNGMxNi1 hMDl4LWViNTY 4 Yik1 ZDl3OQAQAE2r9IOESUWukDL 7%2FvW4v4... 2/2 Item 5 - 64 5/18/22, 3:47 PM Mail -Mitchell Nabhan -Outlook FW: Security guard Fernando Gomez < Fernando.Gomez@palmspringsca.gov> Wed 6/16/2021 4 :14 PM To: Veronica Goedhart <Veronica.Goedhart@palmspringsca.gov> Cc: Mitchell Nabhan <mitchell.nabhan@palmspringsca.gov> From: Ivette Flores <ivetteogan@gmail.com> Sent: Wednesday, June 16, 20213:03 PM To: Fernando Gomez <Fernando.Gomez@palmspringsca.gov> Subject: Re: Security guard ~~ This in~ssage originated outside of The City of Palm Springs -DO NOT CUCI( on llnks or open attachments uq1eS$ yo~ are sure the! content fs safe. .. . Good afternoon Fernando, Attached is the security guards offer letter and guard card. Please let me know if you need anything else. Hire date was 6/15/2021 httos://outlook.office365.com/mail/id/AAOkAGYzYiA 1 MWNmL TY0ZDYtNGMxNi1 hMDl4LWViNTY 4Yik 1 ZDl3OQAQAKr3WcQv341 Lvra%2Fax7pahk%3D 1 /1 Item 5 - 65 5/18/22, 3:48 PM Mail -Mitchell Nabhan -Outlook R tlmirGI y Pmbidlcm: Pl~ l"IOht lh~ 15 ~ nlnttv (9fl} day 4u ~g iru:la t,1it1II provld~ an emj:llovee Slnet•r ly 0G ARAB AN GffiS LC httos://outlook.office365.com/mail/id/AAQkAGYzYiA 1 MWNmL TY0ZDYINGMxNi1 hMDl4LWViNTY 4Yik1 ZDl3O0AOAKr3WcOv341 Lvra%2Fox7oahk%3... 1 /2 Item 5 - 66 -~ B ureau of Security and ·1nvest1·gatlve; Services ..... • •• • SA4.t • owtw:•• . P.O. Box 989002 .. :. · .. · · · ...... ~a -WestSacram~n.to, CA 9579a· .. 9002 ·· L.....l&.....i-(800) 95275210 ... ' . Email: bsls@:~ca·~ca -.gov -{:, • GUARD 'REGISTRATION --· . . . Must Hofd V alid BSIS Fire arms Permit 'to ·Work Armed . . . . . . . "' ' ~-. ~ . ,. , .. o. 6500522 . ·-Eipiration 06/30/2022 Item 5 - 67 ATTACHMENT 9 Item 5 - 68 5/18/22, 5:17 PM Mail -Mitchell Nabhan -Outlook Fw: OG Arabian Nights -Employee Roster Mitchell Nabhan < mitchell.nabhan@palmspringsca.gov> Tue 4/26/2022 9:45 AM To: philipwen@hotmail.com < philipwen@hotmail.com> ;stacyyang@florasgold .com < stacyyang@florasgold.com> Hello, Please see the email below that was sent out last week requesting information related to the Adult-Use Cannabis Business, OG Arabian Nights, in Palm Springs. The request was made in response to an inspection that was made that found there were discrepancies in the employee roster on file with the office of special programs vs personnel who were actually on-site at the business. As of now, our office has still not received the information as requested. Per PSMC 5.55.200 (A(3)) -Adult-Use Cannabis Operating Requirements. "Each Permittee shall maintain a current register of the names and the contact information (including the name, address, and telephone number) of anyone owning or holding a financial interest in the Adult- Use Cannabis Business, and separately of all the officers, managers, supervisors, employees and volunteers currently employed or otherwise engaged by the Adult-Use Cannabis Business. The register required by this paragraph shall be provided to the City Manager or his/her designee(s) upon a reasonable request." Should the business fail to provide this information to me as requested by the end of business today, Tuesday, April 26, 2022, it will be considered a violation of the Adult-Use Cannabis Operating Requirements, and the business will be subject to administrative penalties. From: Mitchell Nabhan Mitch Nabhan I Code Compliance Officer Palm Springs Police Department a: 200 S Civic Dr, Palm Springs, CA 92262 e: mitchell.nabhan@palmspringsca.gov w: www.RalmsRringsca.gov p: 760-323-8116 x8745 Sent: Thursday, April 21, 2022 1:20 PM To: Ivette Flores <ivetteogan@gmail.com> Cc: Michael Milan <Michael.Milan@palmspringsca.gov> Subject: OG Arabian Nights -Employee Roster Hi Ivette, So I checked in with Michael and the only security personnel that we have a record of as currently employed at the business is Limberth Estrada, and I believe you mentioned that they no longer work at the business. As a reminder, it is the responsibility of the business to inform the Office of Special Programs within three days anytime there are changes to the employee roster (new hires/employees who quit or get fired). As a business that hires their security in-house and does not contract with a security company, you would also be responsible for ensuring that the security personnel are included on the business's employee roster and designated as such. https://outlook .office365.com/mail/id/AAQkAGYzYjA 1 MWNmL TY0ZDYINGMxNi 1 hMDl4LWViNTY 4 Yjk 1 ZD I3OQAQAAC5HN5HYcpCs2Wt9t1 DyeE%30 1 /2 Item 5 - 69 5/18/22, 5:17 PM Mail -Mitchell Nabhan -Outlook For the purpose of keeping our records up-to-date, please reply to this email with information related to your current roster of Employees, including Licensed Security Personnel, in the following format: • First Name/Middle Name (if available)/Last Name • Position • Hire/Start Date • Date of Birth • Date of completed/cleared LiveScan In addition to this, please attach a copy of the BSIS License (guard card) for all personnel designated as security personnel. Along with replying to me, please Cc Michael at michael.milan@palmspringsca.gov as well. We need this information ASAP, end of business 4/22/22 at the very latest. Mitch Nabhan I Code Compliance Officer Palm Springs Police Department a: 200 S Civic Dr, Palm Springs, CA 92262 e: mitchell.nabhan@palmspringsca.gov w: www.RalmsRringsca.gov p: 760-323-8116 x8745 https://outlook.office365 .com/mail/id/AAQkAGYzYjA 1 MWNmL TY0ZDYtNGMxNi1 hMDl4LWYiNTY 4Yjk1 ZDl3OQAQAAC5HN5HY cpCs2Wt9t1 DyeE%3D 2/2 Item 5 - 70 ATTACHMENT 10 Item 5 - 71 NOTICE OF VIOLATION CITY OF PALM SPRINGS Department of Special Program Compliance 425 N Civic Drive, PO Box 2743, Palm Springs CA 92263 Date of Issuance: 4/27/2022 To: OG Arabian Nights 232 N Palm Canyon Dr Palm Springs, CA 92262 Citation No .: AB6001 In accordance with Chapter 5.55 of the Palm Springs Municipal Code (PSMC}, you are hereby notified that a Municipal Code Violation has been determined to exist on the property described below. You are specifically responsible to ensure that this violation is corrected in compliance of the Notice . Your failure to do so may result in the assessment of certain costs and expenses against you as described below. Further, per the PSMC, this violation constitutes a public nuisance which subjects the property and you to additional enforcement remedies. The violation which is the subject of this notice exists on the following property: Street Address: 232 N Palm Canyon Dr Business : OG Arabian Nights City Permit: C-2018-044 A description of the Violation(s) and the relevant code section(s) is as follows : Failure to provide the current register of names and contact information upon a reasonable request, as required. Failure to inform the city of new employees engaged in the operation within ten (10) days prior to their employment or engagement. Code Description PSMC 5.55.200 (A(3)) Adult-Use Cannabis Operating Requirements Item 5 - 72 PSMC 5.55.200 (A(21 )) Adult-Use Cannabis Operating Requirements I •••••••• .1 Property so maintained is in violation of the City municipal code and constitutes a public nuisance. This condition must be corrected by 5/04/2022 in the following manner: PLEASE PROVIDE A CURRENT REGISTER OF THE NAMES AND THE CONTACT INFORMATION OF ALL THE OFFICERS, MANAGERS, SUPERVISORS, EMPLOYEES AND VOLUNTEERS CURRENTLY EMPLOYED OR OTHERWISE ENGAGED BY THE ADULT-USE CANNABIS BUSINESS . ADDITIONALLY , PLEASE PROVIDE A COPY OF A VALID "SECURITY GUARD CARD" FOR ALL CURRENT SECURITY EMPLOYEES . EACH PERMITTEE SHALL MAINTAIN A CURRENT REGISTER OF THE NAMES AND THE CONTACT INFORMATION OF ALL THE OFFICERS , MANAGERS , SUPERVISORS, EMPLOYEES AND VOLUNTEERS CURRENTLY EMPLOYED OR OTHERWISE ENGAGED BY THE ADULT-USE CANNABIS BUSINESS . THE REGISTER REQUIRED SHALL BE PROVIDED TO THE CITY MANAGER OR HIS/HER DES IGNEE(S) UPON A REASONABLE REQUEST. Should the violation not be corrected within the time period specified in this Notice, the violat ion may be abated by the City through further administrative proceedings , including but not limited to, added inspections and directions to remediate the violation, administrative citations, judicial process or by entry upon the property by City employees or contractors for purposes of effecting those actions necessary to correct the violation. If such further action by the City is necessary, you will be charged a fee equal to the actual costs incurred by the City in obtaining compliance with the Notice , including , but not limited to, subsequent inspection costs, staff time , overhead and legal expenses includ ing attorney's fees . Current fees for the City costs are as follows : Administrative citations can be issued if violations are not corrected, the second administrative citation is $10,000 per violation and may result in a six (6) month permit suspension, and the third citation in a twelve-month period is $25,000 per violation and may result in the revocation of all permits. As the owner of the property at issue or as the individual or entity responsible for the violation, you are individually responsible for correcting the violation. General staff and inspection time @$101.00/hr. City attorney time @ $200.00/hr. YOU HAVE THE RIGHT TO APPEAL THIS CITATION Payment of this administrative fine must be made within fifteen (15) days from the mailing date of this letter. Should you file an appeal, the appeal and hearing provisions of Palm Springs Municipal Code, Chapter 2.50 will apply. If you choose to appeal this citat ion, payment of the admin istrative fine is suspended pending a final decision by the Administrative Appeals Board . However, you must pay the current non-refundable appeal fee of $802 .00 and submit the request for appeal form no later than fifteen (15) days from the mailing date of this letter. Please see the City website at www .palmspringsca.gov/government/city-clerk for the appeal form and further instructions . Note: Your adm inistrative fine must be paid to the City's Citation Process ing Center in Newport Beach ; and your appeal form and appeal fee must be sent to the Palm Springs, Attention : Office of the C ity Clerk. Mitchell Nabhan Code Compliance Officer (760) 323-8116 x8745 Mitchell.Nabhan@palmspringsca .gov City of Palm Springs Item 5 - 73 CITY OF PALM SPRINGS ~ a Special Prt:ga,, ~ Administrative Citation AB6001 DATE 4/27/20'22. DAY OF WEEK Wednesda TIME 8:30 {j PM LOCATION OF VIOLATION I ~ ::;~rtyOwner . At Business Owner NAME (First, Middle, Last): OG Arabian Nights DLor ID ADDRESS CITY STATE ZIP 92262 232 N Palm Canyon Or Palm Springs CA You are being issued an Administrative Citation for the following Code provision{s). Count PSMC Description 1. 5.55.200 (A(3)) Failure to provide current register of names upon reasonable request, as required 2. 5.55.200 (A(21)) New employee Information not submitted within 10 days prior to new employment COMPLIANCE ORDER J4 You are ordered to correct or otherwise remedy this/these violations by: 5104"!022. (1( You are further ordered to pay an Administrative Fine as prescribed In the schedule below for each count listed above. Payment must be paid In full by the compliance date to avoid additional penalties. The total CITATION D D PENALTY due is $5,000.00. ADMINISTRATIVE FINE SCHEDULE First violation -An administrative citation issued for the first violat io n c 1 this Chapter may not exceed one thousand dollars ($5,000.00). Second violation -An administrative citation issued for a second violation may not exceed five thousand dollars ($10,000.00) and may result in a six (6) month permit suspension Third violation -Third violation -An administrative citation issued fo1 a third violation may not exceed twenty-five thousand dollars ($25,000 .00) and may result in revocation of all permits Other/Description: __________________ _ Mitchell Nabhan -CODE/DSPC ~ementOfficer Signature 4/27/22 Date of Issuance Type of Service Id, Personal • Mail COPY TO PROPERTY OWNER/AGENT; PROCESSING; FILE