Loading...
HomeMy WebLinkAboutC-20-103 Nectar RedactedApplicant (Entity) Information Application Type Proposed Location Commercial Cannabis Business Permit Application C-20-103 Submitted On: Dec 04, 2020 Applicant Jeremy Pratt 503-805-7523 applications@nectarpdx.com Applicant (Entity) Name: Nectar Markets, LLC DBA: Nectar Physical Address: 18066 NE Airport Way City: Portland State: Oregon Zip Code: 97230 Primary Contact Same as Above? No Primary Contact Name: Matthew J. Cleary, Esq. Primary Contact Title: Director of Regulatory Operations Primary Contact Address: 18066 NE Airport Way Primary Contact City: Portland Primary Contact State: Oregon Primary Contact Zip Code: 97230 Primary Contact Phone: Primary Contact Email: applications@nectarpdx.com HAS ANY INDIVIDUAL IN THIS APPLICATION APPLIED FOR ANY OTHER CANNABIS PERMIT IN THE CITY OF FRESNO?: No Select one or more of the following categories. For each category, indicate whether you are applying for Adult-Use (“A”) or/and Medicinal (“M”) or both Both Please make one selection for permit type. If making multiple applications, please submit a new application for each permit type and proposed location. Permit Type Retail (Storefront) Business Formation Documentation: Limited Liability Company Property Owner Name: Anthony E. Cox Living Trust c/o Erik Barbic Proposed Location Address: 1752 W. Shaw Ave. City: Fresno State: California Zip Code:Property Owner Phone: Supporting Information 93711 831-464-5039 Property Owner Email: ErikB@SBAcommercial.com Assessor's Parcel Number (APN): 41727028 Proposed Location Square Footage: 5140 List all fictitious business names the applicant is operating under including the address where each business is located: Nectar - Storefront Retailer Identifier Address OLCC License Number Portland - 89 5918 SE 89th Ave, Portland, OR 97266 1005285C05B Portland - 122 1019 NE 122nd Ave, Portland, OR 97230 1011298F0B2 Aloha – TV HWY 20595 SW Tualatin Valley Hwy, Beaverton, OR 97006 1011685A401 Portland – 53 10931 SW 53 Ave, Portland, OR 97219 100149904F1 Beaverton – Allen 14195 SW Allen Blvd, Beaverton OR 97005 1008285A7DD Beaverton – Hall 8705 SW Hall Blvd, Beaverton OR 97008 10081197FAB Beaverton – Hillsdale 4709 SW Beaverton Hillsdale Hwy, Portland OR 97221 10100114EFC Beaverton – Regatta 15930 SW Regatta Ln, Beaverton, OR 97006 10087509BD5 Eugene – 6 698 W 6th Ave, Eugene OR 97402 1010695C070 Eugene – River Rd 340 River Road, Eugene, OR 97404 1003305612E Forest Grove – Pacific Ave 3331 Pacific Ave, Forest Grove, OR 97116 1011718F505 Gresham – Burnside 505 NW Burnside Rd, Gresham, OR 97030 1003306A6B6 Milwaukie – McLoughlin 13800 SE McLoughlin Blvd, Milwaukie OR 97222 10109253AEE Portland - Mississippi 4125 N Mississippi Avenue, Portland, OR 97217 100150093E2 th nd rd rd th Application Certification Salem – Commercial 1130 Royvonne Ave SE, Salem, OR 97302 10150638165 Salem – Liberty 4142 Liberty S, Salem OR 97302 1000206828A Portland - Sandy Blvd 3350 NE Sandy Boulevard, Portland, OR 97232 10001759551 Springfield – Main St 3650 Main St, Springfield OR 97478 1009286BD03 Portland - Stark 9127 SE Stark St, Portland, OR 97216 1005889ADB7 Portland - Terwilliger 8601 SW Terwilliger Blvd, Portland, OR 97219 10067226DF1 Tillamook - Main 575 North Main Street, Tillamook, OR 97141 1003307ED92 Milwaukie – Harmony 6335 SE Harmony Road Milwaukie, OR 97222 10159858AEB Has the Applicant or any of its owners been the subject of any administrative action, including but not limited to suspension, denial, or revocation of a cannabis business license at any time during the past three (3) years? Yes If so, please list and explain: Nectar Markets, LLC (wholly owned subsidiary of Nectar Holdings, Inc., of which Jeremy Pratt is the sole shareholder and CEO), was subject to a seven (7) day suspension of its wholesale license beginning on June 22, 2020, as a result of miscommunication and negligence from a delivery driver employee while transporting cannabis waste material. No other licenses were implicated or affected and Nectar Markets, LLC, is considered in good standing with the Oregon Liquor Control Commission. Applegate Valley Organics, LLC (wholly owned subsidiary of Nectar Holdings, Inc., of which Jeremy Pratt is the sole shareholder and CEO), was subject to a thirty (30) day suspension of its producer license in Rogue River, OR, beginning on July 20, 2019, as a result of surveillance footage being stored for 75 days out of 90 days required due to a hardware failure that had not been discovered previously and racks of cannabis being left outdoors overnight rather than returned to the interior rooms designated for cannabis storage. These errors were immediately correct and the company adjusted its SOPs to address more frequent hardware inspections and product drying processes. Is the Applicant or any of its owners currently involved in an application process in any other jurisdiction? No Owner Information I hereby certify, under penalty of perjury, on behalf of myself and all owners, managers and supervisors identified in this application that the statements and information furnished in this application and the attached exhibits present the data and information required for this initial evaluation to the best of my ability, and that the facts, statements, and information presented are true and correct to the best of my knowledge and belief. I understand that a misrepresentation of fact is cause for rejection of this application, denial of the permit, or revocation of a permit issued. In addition, I understand that the filing of this application grants the City of Fresno permission to reproduce submitted materials for distribution to staff, Commission, Board and City Council Members, and other Agencies to process the application. Nothing in this consent, however, shall entitle any person to make use of the intellectual property in plans, exhibits, and photographs for any purpose unrelated to the City's consideration of this application. Furthermore, by submitting this application, I understand and agree that any business resulting from an approval shall be maintained and operated in accordance with requirements of the City of Fresno Municipal Code and State law. Under penalty of perjury, I hereby declare that the information contained in within and submitted with the application is true, complete, and accurate. Iunderstand that a misrepresentation of the facts is cause for rejection of this application, denial of a permit or revocation of an issued permit. A denial or revocation on these grounds shall not be appealable (FMC 9-3319(d)). Name and Digital Signature true Title Director of Regulatory Operations Please note: the issuance of a permit will be determined based on the application you submit and any major changes to your business or proposal (i.e. ownership, location, etc.) after your application is submitted may result in a denial. All applications submitted are considered public documents for Public Records Act request purposes. For details about the information required as part of the application process, see the Application Procedures & Guidelines, City of Fresno Municipal Code Article 33 and any additional requirements to complete the application process. All documents can be found online via this link. For questions please contact the City Manager’s Office at 559.621.5555. Owner Name: Jeremy Pratt Owner Title: CEO Owner Address: 18066 NE Airport Way Owner City: Portland Owner State: Oregon Owner Zip: 97230 Has Owner Completed Background Check Application? Yes Ownership Percentage (%): 100 11/18/2020 Maps Insurance 4625 Commercial St SE Salem OR 97306 Carol Bolton (503) 779-1850 (503) 779-1854 cbolton@mapsinsurance.com JJS Holdings LLC 18066 NE Airport Way Portland OR 97230 United Speciality Insurance A 05/24/2020 05/24/2021 2,000,000 100,000 5,000 2,000,000 4,000,000 Excluded RE: 1752 W. Shaw Ave. Fresno, CA. 93711 Operations of the named insured subject to policy terms, conditions and exclusions. Certificate holder is included as Additional Insured on General Liability as required by written contract or agreement as respects Operations of the Named Insured subject to policy terms, conditions and exclusions. Anthony E.Cox Living Trust Christine Cox Living Trust 1260 41st Ave, Suite O Capitola CA 95010 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. INSURER(S) AFFORDING COVERAGE INSURER F : INSURER E : INSURER D : INSURER C : INSURER B : INSURER A : NAIC # NAME:CONTACT (A/C, No):FAX E-MAILADDRESS: PRODUCER (A/C, No, Ext):PHONE INSURED REVISION NUMBER:CERTIFICATE NUMBER:COVERAGES IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. OTHER: (Per accident) (Ea accident) $ $ N / A SUBR WVD ADDL INSD THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. $ $ $ $PROPERTY DAMAGE BODILY INJURY (Per accident) BODILY INJURY (Per person) COMBINED SINGLE LIMIT AUTOS ONLY AUTOSAUTOS ONLY NON-OWNED SCHEDULEDOWNED ANY AUTO AUTOMOBILE LIABILITY Y / N WORKERS COMPENSATION AND EMPLOYERS' LIABILITY OFFICER/MEMBER EXCLUDED? (Mandatory in NH) DESCRIPTION OF OPERATIONS below If yes, describe under ANY PROPRIETOR/PARTNER/EXECUTIVE $ $ $ E.L. DISEASE - POLICY LIMIT E.L. DISEASE - EA EMPLOYEE E.L. EACH ACCIDENT EROTH-STATUTEPER LIMITS(MM/DD/YYYY)POLICY EXP(MM/DD/YYYY)POLICY EFFPOLICY NUMBERTYPE OF INSURANCELTRINSR DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) EXCESS LIAB UMBRELLA LIAB $EACH OCCURRENCE $AGGREGATE $ OCCUR CLAIMS-MADE DED RETENTION $ $PRODUCTS - COMP/OP AGG $GENERAL AGGREGATE $PERSONAL & ADV INJURY $MED EXP (Any one person) $EACH OCCURRENCE DAMAGE TO RENTED $PREMISES (Ea occurrence) COMMERCIAL GENERAL LIABILITY CLAIMS-MADE OCCUR GEN'L AGGREGATE LIMIT APPLIES PER: POLICY PRO-JECT LOC CERTIFICATE OF LIABILITY INSURANCE DATE (MM/DD/YYYY) CANCELLATION AUTHORIZED REPRESENTATIVE ACORD 25 (2016/03) © 1988-2015 ACORD CORPORATION. All rights reserved. CERTIFICATE HOLDER The ACORD name and logo are registered marks of ACORD HIRED AUTOS ONLY Pursuant to FMC 9-3316, Nectar Markets, LLC, hereby commits to the following statements: •Nectar Markets, LLC, will employ within one year of receiving a commercial cannabis permit, one supervisor and one employee who have completed a Cal- OSHA industry outreach course offered by a duly authorized training provider (FMC 9-3316(c)). •All information contained in the application is true and correct. A subsequent finding of false information shall be grounds for denial or revocation of the commercial cannabis business permit. A denial or revocation on these grounds shall not be appealable. X Name: Jeremy Pratt Title: CEO Jeremy Pratt Section 1 – Business Plan Company Overview Nectar Markets, LLC, referred to herein as “Nectar” or the “Company”, is one of the largest cannabis retail brands in the State of Oregon. The Nectar model is based on providing access to all customers legally allowed to purchase cannabis while maintaining exceptional customer service. Nectar stores are open every hour allowed by local and state regulations. In the City of Fresno, that means 6:00 AM to 10:00 PM, 365 days per year (366 on leap years). Customers can count on Nectar to (1) be open and available to them whenever they need; (2) treat each customer with respect and help advise and/or educate them on products according to their needs; and (3) offer consistent products that are held to the highest quality standards. Figure 1 - The many faces of Nectar Markets, LLC. Nectar promotes diversity, equity, and inclusion in the cannabis industry. Nectar has been operating in the State of Oregon since 2014, initially as a vertically integrated medical cannabis operation before transitioning all of the Company’s licenses to the recreational regulatory framework in 2016. As of the time of submission, Nectar consists of twenty-two (22) licensed and operational retail storefronts, two (2) licensed and operational wholesale distribution centers and six (6) licensed and operational cultivation facilities (Appendix 1). Combined, Nectar’s licenses in Oregon aggregate to a total of approximately seventy-seven (77) years of active operations. Nectar’s locations span the entire I-5 corridor of Oregon, with cultivation operations in Central Point, Grants Pass, and Rogue River, and retail operations from Eugene to Portland, including facilities in Tillamook, Salem, Springfield, Beaverton, Milwaukie, Forest Grove, and Gresham. The Company’s administrative (Accounting, Compliance, IT, Nectar Markets, LLC Section 1 – Business Plan Page 2 of 43 Licensing, METRC Management, etc.) and logistics teams have extensive experience navigating locations spread across hundreds of miles, working with vendors to carry and maintain consistent products across twenty-two (22) retail locations, and ensuring all operations are conducted compliantly and exceed local and state requirements. In 2019, Nectar received the Better Business Bureau (“BBB”) Northwest + Pacific Spark Award, and was a finalist for the BBB 2019 Torch Award for Ethics. In addition to the recognition from the BBB, Nectar was recognized as a 2019 Top 50 Cannabis employer by “mg” Magazine, the 1st annual Greenbits Gram’y Awards – Best Brand of the Year. Additionally, the Portland community voted for Nectar as the Best Dispensary in Portland 2020 in the Willamette Week Readers’ Poll. The Company is honored to have received these awards and recognitions; however, Nectar recognizes that the commitment to the community is an ongoing task and continues to maintain and surpass the expectations of our customers and communities. Figure 2 - Nectar Markets, LLC is a valued member of the community and has been awarded for excellence in the cannabis industry. Nectar Markets, LLC Section 1 – Business Plan Page 3 of 43 Nectar is an advocate for the community and uses the company’s platform to promote initiatives supporting diversity, equality, social justice, and inclusion. An example of this can be seen through the Nectar Cares program. Nectar Cares is a recent initiative that the Company began in Oregon as a response to police violence in America. Nectar collaborated with twenty-three (23) vendors and 5,220 customers to raise for local, state, and national organizations working to end police violence in America. Figure 3 - Nectar CARES campaign to end Police violence in remembrance of George Floyd. The Company allocated one day of gross sales in all retail stores in Oregon, resulting in a total donation of over . Nectar Markets, LLC Section 1 – Business Plan Page 4 of 43 The Oregon Justice Resource Center, a 501(c)(3) non-profit organization focusing on the promotion of civil rights and improvement of legal representation for underserved communities, acknowledged the importance of donations like these to continue their hard work for our communities. Nectar understands that to make a difference, action must be taken in support of causes that are important to its community. Nectar will actively seek out the opportunity to make a difference in the Fresno community by promoting local nonprofits, funding resources for underrepresented communities, working with social equity firms, and providing the Nectar platform to instill and promote positive change. Most recently, the Nectar Cares program has partnered with the Wounded Warrior Project in a Veterans Day event held on November 11, 2020. Nectar has committed to donating ten percent (10%) of all sales made on Veterans Day to the Wounded Warrior Project, a 501(c)(3) organization that offers a variety of programs, services, and events for Veterans and service members who incurred a physical or mental injury, illness, or wound while serving in the military on or after September 11, 2001. This event resulted in a donation of , which will assist the Wounded Warrior Project with its goal of assisting Veterans as they transition to civilian life. Figure 4 - Nectar CARES campaign with the Oregon Justice Resource Center resulting in a dollar donation to the organization Figure 5 - Nectar CARES campaign on Veterans Day to support the Wounded Warrior Project resulting in a donation to the organization Nectar Markets, LLC Section 1 – Business Plan Page 5 of 43 1.1 - Owner Qualifications Jeremy Pratt is the sole owner of Nectar Holdings, Inc., the parent company of Nectar Markets, LLC. He has recruited a talented team with significant experience in the cannabis industry. A full description of Nectar’s internal leadership team is provided in Appendix 2. Jeremy is a cannabis visionary who was inspired by a simple goal of making cannabis as accessible as possible for patients and customers. Growing up in North Platte, Nebraska, he watched his father build a successful distribution company from the ground up. Jeremy worked in the family business, learning accounting, sales, and operations. His experiences ignited an entrepreneurial spirit, and he was constantly dreaming up a variety of ways to put money in his pocket. One of his most memorable endeavors was swimming in golf course ponds to collect golf balls and then resell them at a snack bar he set up at the local golf courses. In addition to his go-get-it mentality, Jeremy is a natural leader having led multiple competitive sports teams throughout his life, culminating with his time playing college football. This competitive nature and extreme determination to win has followed through in his business ambitions. After receiving a BA in Finance from the University of Nebraska, Jeremy worked in sales for several large distributors in the consumer-packaged goods and food industries. He quickly built a legacy as a driver of high-volume sales. Jeremy eventually made his way to Oregon where he ventured into real estate by purchasing renovating, and ultimately flipping homes. Simultaneously, he began dipping his toes into the cannabis industry as a landlord over properties he rented to medical cannabis growers. At this point, he still viewed cannabis more as a recreational drug, giving little thought to the plant's medicinal qualities. This is where the story comes together. Jeremy had been dealing with an old back injury from football, and the pain was something he dealt with as part of his everyday life. Figure 6 - Jeremy Pratt, Founder and CEO of Nectar Markets, LLC Nectar Markets, LLC Section 1 – Business Plan Page 6 of 43 He experienced around a thousand (1000) back-spasms a day. In hopes of relieving pain, he endured countless therapy sessions experiencing no relief. During a long road trip, Jeremy decided that cannabis could be the answer to his pain. After giving cannabis a try, the relief he found from the constant pain shed a spotlight on the true power of the plant! His passion for the plant matched with his entrepreneurial spirit, leading Jeremy to launch a business in the Cannabis industry, a vertically integrated medical dispensary and cultivation operation that has grown into the largest locally-owned vertically integrated brand in Oregon with twenty-two (22) active retail locations, six (6) cultivation locations, and two (2) wholesale/distribution location in Oregon. As President and CEO over the Nectar organization, Jeremy oversees the corporate direction and strategy including operations, sales, marketing, and alliance-building. He has obtained numerous licenses and built Nectar’s retail brand from one (1) store to twenty-two (22) stores. Jeremy has built the culture of Nectar around the values that he was raised with, leading and inspiring teams with his Midwest work ethic and his commitment to treating every employee like family. Now the leading cannabis retail brand in Oregon, Nectar has succeeded in providing great products and excellent service to a huge percentage of the market. Jeremy’s passion for his company is relentless and contagious. Under his leadership, Nectar has received many honors including recognition for being one of the top 50 cannabis employers to work for in the nation, becoming the first cannabis company recognized by the BBB with an A+ rating, in addition to the various best dispensary and fastest-growing companies awards from multiple publications. One piece of recognition that stands out is a top 10 ranking in Oregon for Corporate Philanthropy where Nectar led the way donating a full days’ worth of gross retail sales, valued over , in honor of George Floyd, to multiple charities that are working for the betterment of our communities. Jeremy also set up a scholarship fund at his hometown High School that is in memory of his favorite teacher, who helped inspire him to be an entrepreneur. Additionally, Nectar actively donates to various youth sports initiatives, school fundraisers, veterans’ charities, and humanitarian efforts. Jeremy and Nectar are excited to bring this spirit of generosity and community-building efforts to the Fresno area. Nectar now employs 410 “Nectarines” and will continue growing and expanding its commitment to excellence in new markets going forward. In Oregon, Jeremy serves on the Board of the Oregon Cannabis Association and leads an advisory committee with the Oregon Liquor Control Commission (“OLCC”) meant to protect industry interests by revising the OLCC licensing and enforcement procedures. In addition to his involvement in the Oregon Cannabis Association, Jeremy is also an Advisory Board Member of the Better Business Bureau – Pacific Northwest, a member of the Beaverton Chamber of Commerce, and a member of Figure 7 - Beaverton Chamber of Commerce Nectar Markets, LLC Section 1 – Business Plan Page 7 of 43 the Gresham Chamber of Commerce. Jeremy is committed to making cannabis safely accessible to all individuals of legal age, developing an organization that serves as the role model for ethical cannabis business operations, and providing customers with the best customer service experience possible. 1.2 - Budget A complete breakdown of the budget for the retail storefront in Fresno located at 1752 W. Shaw Avenue, Fresno, CA 93711, can be found in Appendix 3. 1.3 - Proof of Capitalization Proof of Capitalization for Nectar Markets, LLC can be found in Appendix 4. 1.4 - Pro Forma A complete breakdown and description of the Pro Forma financial statements for the retail storefront can be found in Appendix 5. 1.5 - Hours of Operations; Opening & Closing Procedures A. Hours of Operations Nectar will operate as a retail storefront under the California Cannabis Retail License – Type 10.  The hours of operation for the retail storefront in the City of Fresno will be 6:00 AM – 10:00 PM and the store will be open 365 days per year (366 on leap years). Signage denoting the hours of operations will be displayed on the customer entrance to the retail storefront (a sample has been provided below from the Company’s existing retail stores). Figure 9 – Actual retail hours for Fresno store. Figure 8 - Gresham Chamber of Commerce Nectar Markets, LLC Section 1 – Business Plan Page 8 of 43 B. Opening Procedures Nectar opening procedures detail specific tasks that must be completed before opening the store to the public. These procedures include a checklist with tasks specific to ensuring that a clean and compliant showroom is ready to serve customers.  An opening employee performs an initial inspection each day to examine the Premises, ensuring that it is clean and there is no odor present.  Additionally, the initial inspection includes cleaning up any litter that may have accumulated overnight, as well as anything else that could become a nuisance to the community.  Simultaneously, another employee examines the interior of the licensed premises to ensure that all signage is posted and visible to the public.  Members of the opening staff make sure that all Point-of-Sale (“POS”) stations  utilized during the opening shift are stocked with the appropriate materials to for compliant sales transactions, including a counterfeit marker, Nectar Rewards Program sign-up sheets, compliance cards, calculator, stapler, pen, small exit bags, large exit bags, paper bags, receipt printer, carbon paper for printing receipts, daily limit guides, hand sanitizer, bud gloves, pricing sheets, product menus, weekly deal sheets, compliance cards, and a product scanner. While the retail staff is working on preparing the sales floor for compliant business operations, the Senior Lead/Lead Budtender on staff reviews the shift reports from the prior day and verifies the proper accounting for all METRC transactions. Once the Senor Lead/Lead Budtender has finished their task list, they begin counting each drawer while being monitored by the surveillance cameras within the vault. The Senior Lead/Lead Budtender counts to make sure that each drawer has in bills and change. This action has been completed the night before by the closing Lead Budtender and if any discrepancies are found that were not noted by the closing Lead Budtender from the night before, the opening Lead Budtender notifies the accounting department immediately. After all drawers’ opening value is confirmed, one-by-one budtenders recount their drawers in the vault under the surveillance of the Senior Lead / Lead Budtender and the surveillance cameras. This triple verification of cash drawers before the drawers leave the vault is a standardized process that is taught to all employees as they go through onboarding and training at the Nectar Academy. Figure 10 - Sample educational material from Nectar Academy Training Program Nectar Markets, LLC Section 1 – Business Plan Page 9 of 43 After completing the drawer counting, the Senior Lead/Lead Budtender on staff returns to the sales floor to oversee setup and preparation for the day’s operations. Once all opening tasks on the checklist have been completed and the time for legal cannabis sales in Fresno has commenced, the “Open” sign is be turned on and business operations begin for the day.  Figure 11 - Opening Checklist from OR retail stores C. Closing Procedures The closing procedure checklist details specific tasks that must be completed before the staff leaves the Premises after operating hours. This task list ensures that all products and cash are properly accounted for and stored in compliance with state and local regulations. In addition to the proper overnight storage of cash and product, the checklist outlines specific cleaning protocols for employees to follow before clocking out of their shift. These tasks are outlined to provide a clean showroom for customers and employees the following shift. While employees are completing tasks on the checklist, they are selected one-by-one to count their drawers in the vault under the surveillance of the Senior Lead/Lead Budtender on staff and the vault’s security cameras. This drawer count begins with the cash drawer being reset to allowing it to be ready for the next day’s operations. The Senior Lead/Lead Budtender counts each cash drawer to confirm the value. Next, the budtender counts the remaining cash that they acquired throughout the day’s transactions, which becomes their individual sales drop for the shift. The Senior Lead/Lead Budtender confirms the amount and transcribes that value onto the cash drop form. The budtender confirms the value and signs the cash drop form. After the retail staff has counted its drops Nectar Markets, LLC Section 1 – Business Plan Page 10 of 43 and drawers, the Senior Lead/Lead Budtender confirms a total drop amount for the shift and creates a cash bag and drop form for the shift. Copies of the drop form are sent to accounting for filing. The last step of this checklist is to double-check that all entrances and/or access points (i.e. windows) are locked and secured before staff leaves the Premises. Following this, all alarm systems are armed, and overnight surveillance will be monitored by the Company’s alarm service provider Turner Security Systems, Inc. a local Fresno security service provider since 1970. In addition, the Company’s overnight surveillance technician tasked with the surveillance systems at all Nectar locations will monitor surveillance for the Fresno retail store in collaboration with Turner Security Systems. Figure 12 - Closing checklist from OR retail stores 1.6 - Daily Operations Nectar has conducted retail operations since 2014, before the legalization of recreational cannabis for adult-use in Oregon in 2015. The company has grown with the industry thus evolving procedures to meet and exceed existing and recently developed regulatory ordinances. The company commits to continuous improvement in its operational procedures and utilizes data to guide business decisions as the industry continues to evolve. A. Cash Handling All employees learn cash handling procedures as part of the Nectar Academy curriculum. Employees perform drawer counts in the vault under the surveillance cameras and monitored by Leads or Senior Leads before every shift. This process is done in reverse to end the night. This includes counting the drawers down to with the excess funding being counted and submitted as the employee’s cash drop for the day. Once all drops are Nectar Markets, LLC Section 1 – Business Plan Page 11 of 43 received, the Senior Lead / Lead Budtender confirms all drop quantities in the vault while being monitored by the camera. The lead completes a cash drop form including the following information: store identification number, date, shift, the total quantity of cash bags, last four (4) digits of the bag identification number, and the total quantity of cash. Following the completion of the cash drop form, the lead scans and submits all documentation to the accounting department to ensure the proper recording of cash. Following confirmation of receipt, the lead locks the cash in the cash safe within the vault until the next cash pickup. As a result of these procedures, vaulted cash is stored behind multiple levels of security and constantly monitored by a surveillance camera that is solely dedicated to the cash safe. Cash is picked up from the retail site on a staggered, need-based schedule. Nectar opts to not plan for cash pickups on a standardized schedule to mitigate the risks of theft or drivers being followed. There are an average of two to three (2-3) pickups each week with the potential for increased frequency as needed. In Fresno, cash pickup will be managed by Fresno armored car service, GardaWorld, located on 152 N Broadway St, Fresno, CA 93701. Nectar has worked with GardaWorld in Oregon for cash services and looks forward to the opportunity to work with the local Fresno team. Drivers will be checked in on-site as visitors. The driver will remove the cash from the safe under the supervision of a Senior Lead, Retail Manager, or General Manager, then sign the cash drop log before leaving the retail site. The driver will then proceed to deliver the cash to the designated bank for the retail site. The driver will obtain a receipt of deposit for submission to the Company’s accounting team for confirmation and filing. This process is designed to ensure both the safety of the Company’s retail staff and that cash is handled in compliance with state and local regulations. B. METRC Nectar has years of utilizing the METRC tracking system in Oregon and has a team of METRC specialists managing all product tracking within the Company. Nectar has further committed itself to operational excellence through its ongoing development of a company- wide Enterprise Resource Planning (ERP) system with the intent of being utilized in both Figure 13 - Nectar Markets, LLC retail cash drop form Nectar Markets, LLC Section 1 – Business Plan Page 12 of 43 Oregon and California. This ERP system will begin trial use in December 2020, before rolling out to all locations in early 2021.   To ensure that METRC is managed properly and that all cannabis within the Company’s supply chain is properly accounted for, Nectar has internal METRC Management and Compliance teams. The METRC Management team handles all tasks related to METRC, including, but not limited it, tagging physical products, managing inventory data, performing adjustments, preparing waste logs for product being destroyed, and performing audits to ensure that product in stores is accompanied by its specific METRC tag. The Compliance team oversees all aspects of the organization to ensure that commercial cannabis operations comply with state and local regulatory ordinances. For this proposed location in Fresno, Nectar will be hiring METRC and Compliance managers dedicated to the Fresno store who will oversee operations based on direction from the Director of Regulatory Operations. These positions will carry compensation packages well above the living wage in Fresno and these employees will receive extensive training which will open career advancement opportunities within the Company. As Nectar is applying for a Type 10, California Cannabis Retail License, the Company does not intend to distribute cannabis products from this location. Nectar will not perform commercial cannabis distribution functions at this time, but does reserve the right to amend the business model to include delivery services in the future. METRC is utilized to ensure that all necessary data for compliant cannabis sales is stored in a database with the ability for information to be quickly and easily accessed following a request by regulatory authorities. Nectar has utilized METRC in all retail stores in Oregon, and has trained all Senior Leads and Lead Budtenders to properly utilize the system, both physically and digitally. Additionally, the Nectar METRC Management team is available to assist the retail staff with their METRC questions as they come up. The METRC Management team audits all retail stores to ensure that product is being properly accounted for within the METRC database. This is completed through daily audits of sales transaction data compared to inventory levels to assess discrepancies. Any inconsistencies are noted and brought to the attention of regulatory staff. Once the development of the Company’s ERP system is finalized, all inventory management and tracking will be housed in one location which ties directly to the accounting systems to financial reporting as well. Within METRC, all sales transaction data from the first day of operations are stored and accessible within the database to be accessed upon request. On a product-specific label, METRC holds all tags and product labels as the cannabis goes from seed-to-sale and from cultivator to distributor to testing facility to retail. Additional blank METRC tags are retained on site which have been assigned to the store’s license that can be utilized in the event of an error in product labeling. Nectar takes compliance in seed-to-sale tracking very seriously and is continuously improving processes to ensure accuracy and compliance throughout the supply chain and commercial cannabis retail operations. The internal Nectar compliance team manages and assigns METRC retail audits three (3) times per week. The first audit is a brand-specific product line audit in which the retail Nectar Markets, LLC Section 1 – Business Plan Page 13 of 43 team will audit all products within a designated category for a brand. The second weekly audit is of all cannabis flower at a designated price level. The third weekly audit is for high value products, such as dabs. These weekly audits are done to ensure that all product is being tracked and represented accurately in METRC. Additionally, these audits are done to inform the internal Nectar purchasing department to provide stores with the product that caters to the trends of that market. C. Securing Cash & Product Nectar stores are designed to ensure that only authorized personnel have access to cannabis products. Limited access areas are clearly defined with signage and restricted access through card-access, numeric, or key locks preventing access from non- employees. A limited access “vault” will be utilized for product storage.  The vault space will be secured with numeric and/or key locks with all products being kept in lockable cabinets and/or safes, providing two additional layers of protection from theft. Additionally, security shutters will be placed at all entrances, and the vault to provide a second layer of security in addition to the commercial grade locks. Nectar has identified Vortex Doors, a local Fresno security installation company, to install these security shutters, as discussed further below. This design has been utilized in all Nectar retail storefronts and has successfully prevented the theft of cannabis products. In the showroom, all displayed products will be in locked display cases. These display cases also serve as a physical barrier between the customer and all products. Following the completion of operating hours, all employees of the retail site will begin the retail closing procedures documented on the Closing Checklist. This includes multiple tasks around cleaning and resetting the consumer sales area. Any cannabis products that have been brought out to the consumer sales area during operating hours will be organized and prepared to be placed into their respective product-specific safes within the retail store’s vault. This is done nightly to ensure that all cannabis products are stored behind multiple layers of security with cameras constantly monitoring the designated limited-access storage areas and vaults. Figure 14 – Security shutters are equipped on all doors, windows, and access points. The vault in Fresno will feature security shutter to supplement the commercial grade locks. Nectar Markets, LLC Section 1 – Business Plan Page 14 of 43 Figure 15 - Sample display case of static products from OR retail stores. Static Display packaging, while appearing identical to inventory, do not contain cannabis products. Storing product efficiently and effectively, labeled bins are produced specific to product type and brand. Employees will share the responsibility of storing products in their respective bins. All product from the retail sales floor is secured within their respective bins then taken to the vault. The product will be stored in the vault behind multiple levels of security, including combination secured safes and multiple levels of locked. Once product is secured the Senior Lead/Lead Budtender on duty will do a sweep of the Premises to ensure that no product is left on the retail floor and will then lock all safes, limited access areas, and arm the alarm system and motion detectors before leaving the Premises. All aspects of the closing procedures are monitored via the retail store's surveillance camera system to ensure that all product is constantly being monitored by surveillance cameras, that product is secured behind multiple layers of security, and to ensure that no product is visible after hours. Figure 16 - Sample of product storage within vaults behind multiple levels of security from OR retail stores Nectar Markets, LLC Section 1 – Business Plan Page 15 of 43 The retail storefront in Fresno will feature extensive security technology that exceeds the regulatory requirements. In conversations with Larry Larrison, Service Manager at local Fresno door supplier, Vortex Doors, located at 2546 N Business Park Ave, Fresno, CA 93727, Vortex has offered installation services for the Nectar retail storefront’s security shutters covering all doors and windows, and automated commercial grade lock systems such as keypad entry, card entry, and buzz-in entry for a lobby trap room. Nectar is excited to partner with a local Fresno business to ensure that the community remains safe as commercial cannabis operations commence. D. High Volume Contingency Plan To ensure that all sales transactions are completed within the designated time frame for legal cannabis sales in the State of California and compliance with Fresno Municipal Code, Nectar has taken steps to enforce proper hours of operation. Nectar has designed signage that educates customers of this policy and trains staff to adequately communicate with customers still onsite as the store approaches closing to keep everyone aware and to maintain customer satisfaction. The Company’s online order management system, Dutchie, is set to stop accepting online orders thirty (30) minutes before closing. The purpose of this is to ensure that there is adequate time for the online orders to be filled, the customer to drive to the site, and the transaction to be completed compliantly. Nectar strictly enforces this policy in all its retail establishments. To ensure that the retail storefront is properly staffed and prepared to serve a high volume of customers before closing time, the Company has implemented the standardization of employee breaks. This procedure denotes that all breaks must be taken before the last hour of operations. This procedure has been implemented to ensure that the retail storefront is fully staffed and ready to serve a high volume of clientele before the completion of the legal hours to sell cannabis in Fresno. Nectar’s internal Data & Analytics department conducts analyses utilizing transaction data across the Company’s retail storefronts. This data is utilized to identify high volume periods throughout the day based on foot traffic and sales data. This data is then utilized by the retail operations and scheduling departments to ensure that stores are adequately staffed to serve customer needs. Nectar takes this extra step in the staffing process to ensure that all operational decisions are supported by data which in turn allows the Company to make sure customers are served in a timely and compliant manner, and lastly to ensure that Nectar is turning over customers at an efficient rate to prevent having a line out the door so that the Company and its patrons aren’t contributing to pedestrian traffic. Figure 17 - Dutchie, the Company's e-commerce provider Nectar Markets, LLC Section 1 – Business Plan Page 16 of 43 Figure 18 - Nectar Markets, LLC. transaction data from OR retail stores Nectar Markets, LLC Section 1 – Business Plan Page 17 of 43 1.6.1 Day-to-Day Operations i. Customer Check-In Procedures A standard customer experience will begin with a customer being greeted outside of the only public entrance to the retail establishment by the Company’s state-certified security guard. A preliminary visual ID check will be done at this time before the customer is granted access to the retail storefront. Next, there will be a greeting and ID check by the Company’s receptionist within the store lobby. At this time, the customer will be checked into the Company’s POS system. First-time customers will be asked if they would like to sign-up for Nectar’s loyalty rewards program and returning customers will be linked to their loyalty account, so all purchases are tracked for in-store benefits. By signing up, customers provide consent for the Company to store their data within the POS system. In exchange, the customer will be able to utilize this data to refer to previous transactions. A customer may choose to conduct their transaction as a one-time recreational customer which will result in the customer data still being put in the system for the purposes of the transaction after which the one- time recreational customer’s name will automatically be removed by the POS system, protecting the customer’s identity. With both options, the customer’s Date of Birth and ID expiration date data will always be stored, but not retained for the one-time recreational customer, to ensure compliance with state and local regulations. Following this check-in and ID verification, the customer will be granted access to the showroom of cannabis products. There, they will be greeted by a budtender and experience a third ID verification prior to completing any purchase. To ensure that ID verification is done properly, all Nectar employees are trained on how to utilize ID checking guides during the verification process. Figure 19 - One-time recreational customer check in procedure Nectar Markets, LLC Section 1 – Business Plan Page 18 of 43 Once the third ID verification is completed the transaction process will begin with the budtender acquiring need-based information from the customer while also providing product knowledge to the customer. The selected products for purchase will then be scanned into the Company’s POS system. Simultaneously, METRC will be receiving data regarding which products have been purchased out of the store’s inventory and in what quantities. Lastly, the transaction will be completed with an exchange of cash from the customer to the budtender. Before handing the product over, our budtender will do a final scan of the product to ensure that everything is packaged according to compliance standards as well as properly noted in METRC. A thank you will end the transaction with the customer leaving the Premises to enjoy their cannabis at home, away from the retail site. To ensure that compliance standards are upheld in the retail storefront, the Company has created and distributed a standard operating procedure (“SOP”) guidebook consisting of over 350 pages of detailed operating procedures. The guidebook provides step-by-step processes that serve as a resource for retail employees in any procedure they will need to execute. A copy of this guidebook is retained in physical form at each Nectar location and is also accessible through Nectar’s internal database that each employee is able to open and view as needed. Figure 20 - Loyalty Program Member sign-up procedure Nectar Markets, LLC Section 1 – Business Plan Page 19 of 43 ii. Location and Procedures for Receiving Deliveries During Business Hours Nectar has secured 1752 W. Shaw Avenue, Fresno, CA 93711 (the “Premises”), as the proposed location for this retail cannabis store. A draft floor plan for the Premises is included herein as Appendix 6. On the draft floor plan, there are multiple entrances designated: (1) Entrance A is the entrance for customers and opens into the check-in area; (2) Entrance B is intended for use by employees coming and going from the store; and is intended for use as access to the receiving/intake space. Vendors delivering to the Premises will be instructed to report to Entrance B before unloading any product from their delivery vehicle. Vendor staff will be signed in on the Company’s visitor’s log and given visitor badges for the extent of their time on the Premises and will be escorted by Company staff at all times. Figure 22 - Nectar Markets, LLC. Visitor Log Figure 21 - Visitor ID Badge Nectar Markets, LLC Section 1 – Business Plan Page 20 of 43 Product delivered during business hours will be inspected to ensure it is compliant with all state and local packaging, labeling, and quality requirements, including verification of the vendor’s license status with the California Bureau of Cannabis Control and reviewing test results for each product. Company staff will either accept or reject each line item on the METRC manifest and retain all accepted products while those being rejected will leave with the delivery vendor. iii. Point-Of-Sale System and Number of Point-Of-Sale Stations Flowhub has been the POS system utilized across the Company’s existing operations. Flowhub already operates out of California and has since 2018 allowing Nectar to utilize its company-wide knowledge of the Flowhub system for the California market. Based on our projected sales and number of employees, Nectar intends to utilize at least sixteen (16) POS stations in the showroom as well as a possible curbside terminal if COVID-19 temporary procedures are granted permanent status. The location of all POS stations can be found in the floor plan included in Appendix 6. POS stations will be outfitted with a computer & keyboard, cash drawer, scanner, exit bags of various sizes, hand sanitizer, gloves specific for handling cannabis products, an illuminated magnifying glass to provide customers with a closer view of cannabis products while retaining them in the employee’s possession, a stapler, and a video surveillance camera solely dedicated to Figure 23 - Nectar POS station sample from existing retail stores Nectar Markets, LLC Section 1 – Business Plan Page 21 of 43 watching cash handling and transactions. The purpose of this camera placement is to ensure that all cash and transactions are being handled accurately and in accordance with both internal and regulatory compliance protocols. The recorded content can be utilized in a multitude of situations such as matters concerning customer change issues or internal performance reviews. The content will always be accessible at the request of any state or city regulatory agent. Nectar will source all POS hardware and servers from local Fresno business, CMI Technology, located at 6753 N Cedar Ave, Fresno, CA 93710. The Company’s Director of IT, Daniel Teixeira has been in contact with CMI Technology’s Operations Manager, Randy Carrillo, and is currently awaiting a quote. Nectar is happy to support local business in Fresno as it begins build-out of the retail storefront. iv. Estimated Number of Customers Served per Hour/Day The Premises is located at 1752 W Shaw Ave, Fresno, CA 93711, along West Shaw Avenue and North West Street. There are approximately 46,000 vehicles per day along West Shaw Avenue and another 14,600 vehicles per day along North West Street. Nectar’s internal Data & Analytics department developed a forecast based on three (3) different earnings scenarios: . This was done to provide adequate data to properly allocate labor for the retail storefront in Fresno. The Company is anticipating the store to bring in between in sales annually. Additional visualizations from the data report will be included in Appendix 7. Referencing the volume of clientele that the Company has experienced in its existing stores, and the projected level of customer traffic based on the location and population of the surrounding area, the Company anticipates hiring a minimum of sixty (60) employees to the proposed Fresno location. This number was decided upon based on the Company’s analysis for a store with a potential of at maturity. Given this projection, we estimate thirty-seven (37) customers to be served per hour, totaling five-hundred ninety-three (593) customers per day with an average transaction total of Figure 24 - Nectar Data & Analytics sales forecasts for Fresno based on market research of California. Regarding retail staffing, there will always be a Lead Budtender (Nectar’s title for a shift lead/ assistant manager) and licensed Security professional on-site during operating hours, as well as the presence of either a Senior Lead, Retail Manager, or General Manager at any given time for additional support. Nectar will employ enough individuals to fully staff both a morning and evening shift, totaling a minimum of ten (10) budtenders, two (2) Leads, and a Senior Lead. The Nectar Markets, LLC Section 1 – Business Plan Page 22 of 43 purpose of additional employees is to ensure that there is coverage in the case of sickness or an employee “calling-out”. Nectar takes pride in the customer experience and staff with the intention of providing an intimate, one-on-one customer service experience. The internal Nectar Data & Analytics team will continue to monitor customer traffic to staff according to market dynamics. v. Proposed Product Lines & Sales Estimates The Company has the experience of operating twenty-two (22) retail establishments within the State of Oregon. Nectar carries many of the top brands both in Oregon and across multiple recreational cannabis jurisdictions, including Select and Wyld. The Company will look to operate similarly within the City of Fresno, utilizing existing relationships with California vendors and creating new vendor relationships through Nectar’s experienced purchasing department. Below is a chart detailing data of the Company’s sales separated by product category from existing retail operations over the period from 12/1/2019 to 11/30/2020. It was found that the majority of the Company’s sales were in flower, accounting for approximately sixty-four percent (63.6%) of the total. The second largest category was held by edibles, accounting for fourteen and a half percent (14.5%). The next largest inventory category was held by vape products at a little over ten percent (10.2%). Vape products include 510 threading cartridges which made up approximately ninety percent of vape products (90.31%), as well as battery specific cartridges like the PAX line (9.69%). The remaining sales consisted of extracts (5.7%), accessories (3.2%), tinctures (1%), hemp (0.8%), concentrates (0.4%), topicals (0.2%), and other cannabis products at (0.5%). For retail operations in Fresno, Nectar will look to adjust inventory levels in a dynamic manner based on market trends found in sales data. This will require a time window for data to be collected. The Company’s data and analytics department was able to find data on the California market and will utilize these assumptions to guide initial inventory allocation. The data aggregated sales data from 910 retailers in California and found that flower accounted for thirty-six (36%) of sales, concentrates were at thirty-three percent (33%), of which Figure 25 - Nectar Markets, LLC. Sales by Product Category (2/1/2020 -11/1/2020) Nectar Markets, LLC Section 1 – Business Plan Page 23 of 43 eighty-three (83%) were vape cartridges, edibles were at seventeen percent (17%), pre-rolls at eleven percent (11%) and all other products taking up the remaining two percent (2%). Until adequate data has been collected to inform decisions, Nectar will operate under these assumptions. Figure 26 – CA Recreational Cannabis sales estimate by category from statista.com A full description of estimated sales data is included in Appendix 7. All cannabis and cannabis products sold will be sourced from licensed facilities that maintain operations in full conformance with state and local laws. vi. Delivery Nectar does not intend to conduct delivery services immediately upon licensing but will reserve the right to do so at a later date. If and/or when Nectar chooses to offer delivery services, Nectar will ensure all vehicles are equipped with (1) GPS devices owned by Nectar to track all delivery routes, (2) alarm systems capable of immediately alerting Nectar of any unlawful breach, and (3) storage space that allows for cannabis products to be concealed from view from the exterior of the vehicle. APPENDIX 1 Page 1 of 2 Appendix 1 - Nectar Commercial Cannabis Active Licenses Storefront Retail Licenses in Oregon Storefront Retailer Identifier Address OLCC License Number Portland - 89th 5918 SE 89th Ave, Portland, OR 97266 1005285C05B Portland - 122nd 1019 NE 122nd Ave, Portland, OR 97230 1011298F0B2 Aloha – TV HWY 20595 SW Tualatin Valley Hwy, Beaverton, OR 97006 1011685A401 Portland – 53rd 10931 SW 53rd Ave, Portland, OR 97219 100149904F1 Beaverton – Allen 14195 SW Allen Blvd, Beaverton OR 97005 1008285A7DD Beaverton – Hall 8705 SW Hall Blvd, Beaverton OR 97008 10081197FAB Beaverton – Hillsdale 4709 SW Beaverton Hillsdale Hwy, Portland OR 97221 10100114EFC Beaverton – Regatta 15930 SW Regatta Ln, Beaverton, OR 97006 10087509BD5 Eugene – 6th 698 W 6th Ave, Eugene OR 97402 1010695C070 Eugene – River Rd 340 River Road, Eugene, OR 97404 1003305612E Forest Grove – Pacific Ave 3331 Pacific Ave, Forest Grove, OR 97116 1011718F505 Gresham – Burnside 505 NW Burnside Rd, Gresham, OR 97030 1003306A6B6 Milwaukie – McLoughlin 13800 SE McLoughlin Blvd, Milwaukie OR 97222 10109253AEE Portland - Mississippi 4125 N Mississippi Avenue, Portland, OR 97217 100150093E2 Salem – Commercial 1130 Royvonne Ave SE, Salem, OR 97302 10150638165 Salem – Liberty 4142 Liberty S, Salem OR 97302 1000206828A Portland - Sandy Blvd 3350 NE Sandy Boulevard, Portland, OR 97232 10001759551 Springfield – Main St 3650 Main St, Springfield OR 97478 1009286BD03 Portland - Stark 9127 SE Stark St, Portland, OR 97216 1005889ADB7 Portland - Terwilliger 8601 SW Terwilliger Blvd, 10067226DF1 APPENDIX 1 Page 2 of 2 Portland, OR 97219 Tillamook - Main 575 North Main Street, Tillamook, OR 97141 1003307ED92 Milwaukie – Harmony 63335 SE Harmony Road Milwaukie, OR 97222 10159858AEB Cultivation licenses in Oregon Cultivation Location Identifier Address OLCC License Number Applegate 15310 HWY 238, Grants Pass, OR 97527 101490736A3 Meadows 8554 Old Stage Rd, Central Point, OR 97502 10017577A3E Clubhouse 7205 Foley Ln, Central Point, OR 97502 1001758A0F3 Farley 7215 Foley Ln, Central Point, OR 97502 1001759E7E2 Happy Camp 7225 Foley Ln, Central Point, OR 97502 1013280A46C Red House 2571 E Evans Creek Rd, Rogue River, OR 97537 10017603833 Distribution licenses in Oregon Distribution Center Identifier Address OLCC License Number Airport Way (APW) 18032 NE Airport Way, Gresham, OR 97302 1005999C2FD Applegate 15310 HWY 238, Grants Pass, OR 97527 101490736A3 APPENDIX 2 Page 1 of 2 2 - Nectar Leadership Amber Fidler, Director of Human Resources Amber Fidler started her Human Resources career in 2004 at InterContinental Hotels Group and has worked in the Cannabis Industry for five (5) Years. She has a BS in Public Administration from Ashford University in San Diego, CA. Amber served as the Director of Human Resources at Cura Cannabis Solutions, a cannabis titan that reported in sales for 2018. That landed the company third spot on the Business Journal's 2019 list of fastest-growing private companies in the state. She then started with Cura in 2016, and worked on their expansion team as they began operations in California, Nevada, Michigan, and Arizona. She then spearheaded efforts to create Employee Resource Groups focusing on Diversity and Inclusion. After successfully establishing two groups at Cura, she brought that same energy and passion with her to her next adventure, building Sentia Wellness. Fidler served as a member of the Executive team for Sentia Wellness, a CBD company operating in the consumer packaged goods industry, boasting brands like Sports Illustrated, Volcom, and Social CBD. At Sentia she was responsible for establishing another Employee Resource Group and was a keynote speaker at their first event, sharing her story and the importance of diversity in the workforce. Under Amber’s leadership, her team organized a fundraising event that brought in over to charities local to Portland, OR and was able to sponsor over 50 foster children in partnership with Morrison Child & Family Services. Since joining the Nectar family, Amber has shown what hard work and dedication are able to accomplish, by building strong relationships across the organization, finding areas to improve communication and efficiency. With her expansion experience, industry knowledge, and diverse background, Nectar is confident that Fidler will be a great asset to our Fresno, CA team. Mark Wheeler, Chief Development Officer Mr. Wheeler has over 30 years of retail real estate and development experience with major corporations such as Blockbuster and Boston Market. During his tenure with Blockbuster, Mr. Wheeler led development in twelve (12) countries, growing the company from fifty (50) to four thousand (4,000) locations worldwide. Following his experience at Blockbuster, Mr. Wheeler went on to work with a new concept, Boston Chicken (now Boston Market). Mr. Wheeler managed the opening of 63 restaurants throughout Northern California as well as the acquisition and operation of another 30 stores. Following this success with Boston Market, Mr. Wheeler continued to demonstrate his development skillset by founding the Retail Resource Group, a consulting agency focused on expansion and consolidation for retail businesses. Retail Resource Group has experienced success with major retailers such as TGIFriday’s, Figure 28 - Mark Wheeler, Chief Development Officer Figure 27 - Amber Fidler, Director of HR APPENDIX 2 Page 2 of 2 Blockbuster, Buffalo Wild Wings, Krispy Kreme, Wendy’s, Whataburger, and more. Mr. Wheeler brings a unique skill set to the Nectar team, offering a holistic approach to the development process, creating a mutually beneficial opportunity for both the incoming business and the local community. Under Mr. Wheeler’s guidance, Nectar plans on bringing its development experience into the City of Fresno. Matthew Cleary, Esq., Director of Regulatory Operations Mr. Cleary is an experienced cannabis attorney with over five (5) years of practice in the cannabis industry. Mr. Cleary has advised over two hundred (200) cannabis clients from California, Oregon, and Washington. In addition to his legal practice experience, Mr. Cleary has held the title of CEO for ICH Holdings Ltd., a company with holdings in the cannabis industry in Washington and California valued at over . Before joining Nectar, Mr. Cleary held the title of Director of Licensing and Compliance for ManifestSeven, a cannabis logistics and supply chain company based out of Irvine, California. At ManifestSeven, Matt was responsible for ensuring all ManifestSeven licensed entities operated in a compliant manner through regular audits, employee training, and strategic planning. With Mr. Cleary’s impressive resume and extensive experience in the cannabis industry, he is an asset to the Nectar team. Mr. Cleary puts his experience on display as he has helped to develop compliance protocols, a standard operating procedure (“SOP”) guidebook containing over 350 pages of protocols used by the Company throughout its operations, and continuously advises all branches of the Company on compliance and regulatory measures. With Mr. Cleary’s prior experience in the cannabis industry in California, Nectar can take their retail and operational excellence developed in Oregon and transfer it to the City of Fresno with confidence. Figure 29 - Matthew Cleary, Esq., Director of Regulatory Operations APPENDIX 6 Page 1 of 4 6 Showroom Layout Beaverton – Regatta Ln Figure 33 - Nectar showrooms are designed with the intent of keeping all customers separated from cannabis product by physical barrier while also providing customer's visibility of the products that Nectar has to offer. This is the interior of Nectar’s retail storefront on Regatta Ln. in Beaverton, OR. APPENDIX 6 Page 2 of 4 Forest Grove – Pacific Ave Figure 34 - This is the interior of Nectar’s retail storefront on Pacific Ave. in Forest Grove, OR. Showrooms are organized, well-lit spaces, with signage to denote product categories. APPENDIX 6 Page 3 of 4 Figure 35 - POS stations and display cases serve as a physical barrier between customers and cannabis product. **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** APPENDIX 7 Page 1 of 8 7 Estimated Sales Data Figure 37 - Sales data from existing retail stores separated by product category (no including cannabis flower) from 12/1/2019 - 11/30/2020. This data will be used to inform purchasing decisions and inventory in the Fresno retail storefront until adequate consumer purchase data is available to guide the supply chain. **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** APPENDIX 7 Page 2 of 8 Figure 38 - Sales data from existing retail storefronts for packaged cannabis flower from 12/1/2019-11/30/2020. This data will be used to inform purchasing decisions and inventory in the Fresno retail storefront until adequate customer purchase data is available to guide the supply chain. Section 2 – Social Policy & Local Enterprise Plan Nectar is excited about the opportunity to offer living-wage jobs, benefits, career development, and community outreach programs to the people of Fresno. The Company has a demonstrated record of giving back to the communities we serve while building sustainable growth and creating job opportunities. Nectar has built a culture based on the idea that we create careers, not just jobs focusing on developing our employees with further education opportunities, internal advancement and employee retention policies. Many of the Nectar employees in administrative and leadership roles began as budtenders in a Nectar retail store, and were trained, encouraged, and developed into successful professionals and great leaders. The Company takes pride in providing value to our community through outreach programs. Nectar recently pioneered the “Nectar CARES” program, which has been a resounding success in Oregon. Nectar is eager to promote positive change through supporting local initiatives, providing resources to the underrepresented through volunteer work, and utilizing Nectar’s retail platform to elevate and increase the visibility of local Fresno cannabis producers, processors, manufacturers, and social equity cannabis program licensees. 2.1 Living Wage Nectar is committed to providing a living wage for every employee. Many positions will be created at pay scales exceeding the living wage formulas for Fresno, and we will offer specialized training for roles that can put employees on track to high-wage positions in the future. Examples include IT Manager, METRC Manager, and Compliance Manager roles. 2.2 Employee Benefits Nectar believes in investing in the health and well-being of our employees. One of the ways that we show our appreciation is through the benefits package we provide to our team. After sixty (60) days of employment, all Nectar employees who average at least thirty (30) hours per week become eligible for medical, dental, and vision insurance. Specifically, Nectar offers a variety of Health Maintenance Organization (“HMO”) and Preferred Provider Organization (“PPO”) insurance options, two different dental insurance plans, vision insurance, and an Figure 1 - Nectar CARES is a community outreach program introduced in 2020 to raise funds for donation to community-focused nonprofits and organizations working to improve the quality of life for member of the community. Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 2 of 37 Employee Assistance Program (“EAP”). Nectar pays 50% of the insurance premiums for the employee on all plans, and offers an Alternative Care program through each plan, which enables employees to utilize insurance coverage for acupuncture, chiropractor, naturopathy, or massage. The EAP provides employees access to the following benefits: Counseling sessions, 24/7 crisis help, adult/eldercare, end-of-life services, legal services, financial services, will preparation, identity theft services, a homeownership program, parenting services, and a multitude of wellness resources. In addition to these benefits, the Company offers access to a Flexible Spending Account, (“FSA”), which can be used for dependent care, health care costs, childcare, and transit expenses. Nectar automatically enrolls each employee in the OregonSaves program, an Oregon-based Roth IRA. Nectar offers a five percent employer match contribution for each enrolled employee and will absolutely work to provide a similar retirement savings plan for employees in Fresno.  At Nectar, we are committed to providing a healthy work/life balance, and to reinforce that, all Nectar employees accrue Paid Time Off (“PTO”). We also offer time and a half on major holidays, as well as an additional paid day off for each employee’s birthday. Compensation varies depending on the job title and tenure of the employee; however, Nectar offers competitive wages for all positions with the ability for up to a seven percent (7%) pay raise every six months at the employee's bi-annual performance review. Additionally, we have built our recruitment system to prioritize internal mobility and encourage professional development. The majority of our Lead Budtenders and Managers have been promoted from within and will continue to grow with the company. A full description of the employee benefits package can be found in Appendix 1. Figure 2 - Nectar Employee Engagement events, company outreach, and employee of the month benefits. Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 3 of 37 In addition to our benefits package, Nectar goes even further to promote a healthy work-life balance by encouraging employees to take time for self-care and community-building. Nectar regularly sponsors events like a weekly bowling night, a community clean-up volunteer day, company nature hikes, weekend yoga classes, and various organized community outreach activities. These events are a way for employees to interact with each other outside of the workplace and to develop more meaningful relationships, while also participating in activities that invigorate them and benefit our community. Nectar believes in recognizing and rewarding the outstanding performance of its employees. Each Nectar location selects an Employee of the Month, based on the contributions of an exceptional team member. Employees of the month receive special recognition in the Company-wide newsletter, “The Gold Leaf” (Figure 3 and Appendix 2), showcasing a brief description of the employee, their photo, and an example of their extraordinary efforts in the workplace. In addition to organization-wide recognition, employees of the month are rewarded with box seat tickets to a Portland Trail Blazers basketball game. Nectar’s commitment to excellent customer service is embodied by our retail employees. This incredible team exhibits an exceptional work ethic and unparalleled service every day. Nectar is committed to making sure that these efforts do not go unnoticed and that employees are rewarded accordingly. This dedication to recognizing and developing our team has led to positive results in employee satisfaction, retention, and performance. Nectar will maintain this level of employee satisfaction in Fresno by providing equivalent rewards and benefits to the Company’s California employees.  Figure 3 - Employee of the Month recognition in the Company newsletter, "The Goldleaf." Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 4 of 37 2.3 Compensation & Training Nectar is committed to providing a living wage for every employee. Compensation structures will vary based on the job description, duties, and title, and will take into account the cost of living and median income for each region. All employees have the potential for up to a seven percent (7%) pay raise at their bi-annual performance review. These pay raises are based on the individual’s performance and ability to meet the clear deliverables outlined in their job description. With the Company’s promote-from-within business model, employees are granted numerous avenues for increasing their earning potential along with Company-sponsored training. Nectar values its employees and is committed to providing a path for each employee to achieve financial security and career fulfillment. A few of the ways that Nectar demonstrates a commitment  to the professional development of its employees are by (i) holding regular one-on-ones and individual review sessions in which the employee receives performance feedback, (ii) offering education/course-work reimbursement for employees interested in learning a new skill that can bring value to the Company (Nectar employees in Fresno will be provided the opportunity to take educational courses at Fresno City College located at 1101 East University Ave, Fresno, CA 93741 with full tuition reimbursement for work-related courses subject to the Nectar Tuition Reimbursement Policy), and (iii) a Company-wide commitment to hiring/promoting from within to give all employees advancement opportunities. Many administrative employees and managers in various departments began as budtenders with Nectar before moving to the METRC, Accounting, Compliance, and/or IT departments. Training is central to everything we do at Nectar, so we invest in training each employee from day one. Each new Nectar employee attends Nectar Academy, a fully functional mock dispensary where they participate in a two-day intensive class that covers Nectar’s values and policies, product knowledge, compliance rules, and point-of-sale (“POS”) transaction training. Each new-hire is required to score 100% on their exam at the end of class in order to move on to in-store training. Once a new employee has graduated Nectar Academy, they are paired with an experienced Lead Budtender for their first full week of training shifts. During this time, they are taken through a new-hire training checklist and are provided with additional material to help them give useful product suggestions and accurate product information to customers. Once the new employee is prepared to help customers with confidence, they will begin to have weekly one-on-one meetings in order to receive timely feedback from their store’s Senior Lead, culminating in receiving their official Budtender Certification, along with an automatic pay increase. This commitment to training does not end after completing Budtender Certification. Nectar’s Compliance team provides additional training for all Budtenders being promoted to Lead Budtenders designed to cover all of the new responsibilities and requirements that go along with the position, including, but not limited to, inventory management, leadership techniques, METRC requirements, and product intake and inspection. All Lead Budtenders being promoted to Senior Leads again receive training for the added elements of compliance and store management. Employees need to score 100% on certification exams before they will be allowed to begin receiving shifts at the new employment level. Examples of individuals that have taken advantage of professional development at Nectar are provided in Appendix 3. Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 5 of 37 2.4 Recruitment Plan Nectar commits to maintain a minimum of ninety-five percent (95%) local hires and placing emphasis on individuals that meet the criteria expressed in Social Policy Section 9-3316 (b)(1) of the Fresno Municipal Code. The Company will combine with Fresno City College’s Veterans Resource Center and Career and Employment Center, participating in Workforce Connection Fresno Hiring Events, advertisements in the Fresno Bee, and posting to local job boards. Recruitment plans for each position are included below. 1) Position to Be Filled – Retail General Manager The role of a Nectar General Manager is vital to the success of our stores and our employees. This role is accountable for creating a highly productive environment in which customers have an extraordinary experience, employees do their best, and the business thrives. This requires a constant balancing of priorities, including strategic, operational, and leadership excellence with an authentic approach. As a GM, they are the field captain for the store’s local team. The GM ensures that all transactions and the implementation of other retail processes comply with state and local laws and regulations, under the guidance of the Company’s Director of Regulatory Operations, and that service exceeds customer expectations. The GM collaborates with the District Manager to implement practices, policies, and strategies that support performance and results-driven culture. The GM reports directly to the District Manager. a) Intention It is the intention of the hiring manager to fill the position(s) listed above by hiring one (1) full-time employee. The new hire will be hired to work for forty (40) hours per week with an approximate rate of . b) Target Group Based on the unique demands placed upon a General Manager at Nectar Markets, LLC., we will target possible job applicants who are specifically mentioned in Fresno Municipal Code Social Policy Section 9-3316 (b) (1) and also possess the following traits: i) Communicate effectively with internal team and customers ii) The ability to achieve financial targets through a strategic approach focused on developing, monitoring and the improvement of measurable statistics that drive the business. iii) A proven history of overseeing the development of clientele through leading by example in the ability to build and maintain relationships with customers, produce strong results from proactive outreach and the development of a client business through your retail team. iv) Expertise in modeling and supervising the selling environment, providing consistent coaching on sales, product and client training in order to ensure the highest level of customer service and sales. v) Experience Ensure disciplined management of store expenses vi) The capacity to manage your people resources to maximize sales, traffic flow, floor coverage and customer engagement. Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 6 of 37 vii) Proactiveness in communicating about product buying & allocation according to your customer demographic & business potential. viii) Experience partnering with corporate teams to analyze, interpret & strategically apply data (both internal measures & external trends) to identify key issues and maximize your business. ix) Willingness to run your business with agility, changing direction & continuously improving based on key indicators and lessons learned. x) Passion for the cannabis industry and a focus on how it can positively impact our community. xi) Maintain the ability to learn and implement Company standard operating procedures in compliance with regulatory ordinances. xii) Experience leading retail teams, and with inventory management and sales xiii) Experience in purchasing and managing inventory for retail storefronts xiv) Subject Matter Expert in regulatory ordinances and compliance xv) Proven ability to develop talent, coach team, counsel customers and handle disciplinary tasks if necessary. c) Method We will connect with possible applicants using the following means. i) Workforce Connection Fresno Hiring Events ii) Partnering with Fresno City College’s Veterans Resource Center and Career and Employment Center iii) Local Posts to Job Boards in Fresno iv) Signage Posted on the retail storefront during build out v) Group interviews and local hiring events vi) Advertising openings in The Fresno Bee vii) Promotion through the company’s Digital Media (Website, LinkedIn, Instagram, Facebook, Twitter, etc.) d) Evaluation of Applicants We will evaluate the first round of applicants using a weighted system that takes into account the following: i) In-person interview (20%) ii) Professional references (10%) iii) Job assessment (20%) iv) Work experience (30%) v) Education (20%) The five (5) applicants with the highest combined scores will be called back for a second interview. During this panel interview, the candidates will be asked a standard set of questions corresponding to the primary core competencies of the role. After this interview, without conferring, each interviewer will record their scores for that candidate’s level of mastery in each core competency. These responses will be turned in to HR and tabulated. The candidate with the highest scores will Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 7 of 37 be offered the position. The successful candidate will be contacted via phone and presented with an offer within 24 hours of the decision being made. 2) Position to Be Filled – Inventory Specialist The Inventory Specialist role exists to receive and organize material, and to supervise storing and sell-through of products/supplies. The Inventory Specialist will be responsible for the supervision/optimization of all daily inventory operations, which will include order management, inventory control/hard counts/reconciliations, product storage/rotation, receiving operations, logistics/warehouse, and special assignments. a) Intention It is the intention of the hiring manager to fill the position listed above by hiring one full-time employee. This new employee will be hired to work for 40 hours per week with an approximate rate of pay of . b) Target Group Based on the unique demands placed upon an Inventory Specialist at Nectar Markets, LLC., we will target possible job applicants who are specifically mentioned in Fresno Municipal Code Social Policy Section 9-3316 (b) (1) and also possess the following traits: i) Keep project and inventory storage organized and accessible. ii) Provide material handling and kitting support to manufacturing. iii) Check goods received against purchase orders or packing lists. iv) Perform Inventory cycle counts. v) Log information related to the management of RMA's. vi) Shipping/Receiving. vii) Excellent customer service skills. viii) Compliance with all BCC guidelines. ix) Excellent organizational skills. x) High attention to detail and accuracy. xi) Ability to read, write, speak, and understand English. xii) Ability to follow direction, is engaged and is flexible and adaptable to changing conditions. xiii) Ability to multi-task, prioritize and work with minimal supervision. xiv) Ability to work in a team environment. xv) MUST have Shipping/Receiving experience Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 8 of 37 c) Method We will connect with possible applicants using the following means: i) Workforce Connection Fresno Hiring Events ii) Partnering with Fresno City College’s Veterans Resource Center and Career and Employment Center iii) Local Posts to Job Boards in Fresno iv) Signage Posted on the retail storefront during build out v) Group interviews and local hiring events vi) Advertising openings in The Fresno Bee vii) Central California Society for Human Resource Professionals viii) Promotion through the company’s Digital Media (Website, LinkedIn, Instagram, Facebook, Twitter, etc.) d) Evaluation of Applicants We will evaluate the first round of applicants using a weighted system that takes into account the following: i) In-person interview (20%) ii) Professional references (10%) iii) Job assessment (20%) iv) Work experience (30%) v) Education (20%) The five applicants with the highest combined scores will be called back for a second interview. During this panel interview, the candidates will be asked a standard set of questions corresponding to the primary core competencies of the role. After this interview, without conferring, each interviewer will record their scores for that candidate’s level of mastery in each core competency. These responses will be turned in to HR and tabulated. The candidate with the highest scores will be offered the position. The successful candidate will be contacted via phone and presented with an offer within 24 hours of the decision being made. 3) Position to Be Filled – Supply Chain Specialist The Supply Chain Specialist is responsible for implementing and maintaining effective organization and management best practices, and for maintaining a thorough understanding and knowledge base concerning retail best practices within the Cannabis Industry. a) Intention It is the intention of the hiring manager to fill the position listed above by hiring one full-time employee. This new employee will be hired to work for 40 hours per week with an approximate rate of pay of annually. b) Target Group Based on the unique demands placed upon a Supply Chain Specialist at Nectar Markets, LLC., we will target possible job applicants who are specifically mentioned in Fresno Municipal Code Social Policy Section 9-3316 (b) (1) and also possess the following traits: Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 9 of 37 i) Anticipates and communicates inventory needs with management and staff in a timely and efficient manner; Supports all store staff in understanding inventory compliance and shop processes ii) Independently leads cross-functional projects to develop statistical and mathematical models that tackle supply chain problems across the business iii) Maintains full compliance with BCC regulations in respect to evaluation, handling, storage, selling, and tracking of products iv) Effectively manages inventory and shop organization, supporting retail associates in delivering excellent customer service with the right products in the right place at the right time; Works on the sales floor, in a customer-facing capacity, as needed v) Reconciles inventory counts and audits within a regular schedule that aligns with Compliance team's expectations vi) Works side by side with the General Manager and retail team to achieve and maintain store financial goals and expectations vii) Coordinates and effectively communicates with retail purchasing team in a timely and efficient manner viii) Demonstrated ability to manage highly regulated inventory and abide by strict compliance expectations. ix) Analyzes model outputs and generates reports to provide recommendations to key partners. Effectively communicates and presents results to the stakeholders and senior management. x) Proven ability to give direct feedback to, coach, and develop employees. xi) Ability to maintain strong and positive relationships with both vendors and various Nectar teams xii) Attention to detail, ability to maintain focus, and strong organizational skills c) Method We will connect with possible applicants using the following means: i) Workforce Connection Fresno Hiring Events ii) Partnering with Fresno City College’s Veterans Resource Center and Career and Employment Center iii) Local Posts to Job Boards in Fresno iv) Signage Posted on the retail storefront during build out v) Group interviews and local hiring events vi) Advertising openings in The Fresno Bee vii) Central California Society for Human Resource Professionals viii) Promotion through the company’s Digital Media (Website, LinkedIn, Instagram, Facebook, Twitter, etc.) Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 10 of 37 d) Evaluation of Applicants We will evaluate the first round of applicants using a weighted system that takes into account the following: i) In-person interview (20%) ii) Professional references (10%) iii) Job assessment (20%) iv) Work experience (30%) v) Education (20%) The five applicants with the highest combined scores will be called back for a second interview. During this panel interview, the candidates will be asked a standard set of questions corresponding to the primary core competencies of the role. After this interview, without conferring, each interviewer will record their scores for that candidate’s level of mastery in each core competency. These responses will be turned in to HR and tabulated. The candidate with the highest scores will be offered the position. The successful candidate will be contacted via phone and presented with an offer within 24 hours of the decision being made. 4) Position to Be Filled – Accounting Manager The Accounting Manager exists to oversee the day-to-day operations for the assigned areas and those assigned to staff that may include accounts payable, payroll, program accounting, and/or treasury. This role will be a liaison between the company and its tax professionals and will perform various tax compliance tasks with accuracy and timeliness. They will create and manage a calendar of tax-related tasks and due dates for planning purposes. a) Intention It is the intention of the hiring manager to fill the position listed above by hiring one full-time employee. This new employee will be hired to work for 40 hours per week with an approximate rate of pay of . b) Target Group Based on the unique demands placed upon an Accounting Manager at Nectar Markets, LLC., we will target possible job applicants who are specifically mentioned in Fresno Municipal Code Social Policy Section 9-3316 (b) (1) and also possess the following traits: i) Bachelor’s degree or higher in Accounting, Finance or Business ii) Experience with overall Accounting functions iii) At least 5 years of experience in an Accounting, Audit, or Financial Analysis role iv) Prior analysis experience; coupled with relaying insights and recommendations to stakeholders v) Previous supervisory experience; managing/mentoring/developing others vi) Experience with the cannabis industry or other emerging markets preferred Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 11 of 37 vii) CPA, CIA, or similar advanced certification preferred viii) Advanced experience with Internal Financial Controls (develop, analyze, risk/gap analysis, implementation) ix) Experience with integrated financial systems (SAP preferred) x) Experience with analysis and data visualization tools (i.e. Power BI, Tableau, VBA, Hyperion, etc.) xi) Previous experience researching and providing technical accounting and process guidance to internal customers or clients xii) Experience with system implementations, system upgrade, testing and/or reconciling transactions between multiple systems c) Method We will connect with possible applicants using the following means: i) Workforce Connection Fresno Hiring Events ii) Partnering with Fresno City College’s Veterans Resource Center and Career and Employment Center iii) Local Posts to Job Boards in Fresno iv) Signage Posted on the retail storefront during build out v) Group interviews and local hiring events vi) Advertising openings in The Fresno Bee vii) Promotion through the company’s Digital Media (Website, LinkedIn, Instagram, Facebook, Twitter, etc.) d) Evaluation of Applicants We will evaluate the first round of applicants using a weighted system that takes into account the following: i) In-person interview (20%) ii) Professional references (10%) iii) Job assessment (20%) iv) Work experience (30%) v) Education (20%) The five applicants with the highest combined scores will be called back for a second interview. During this panel interview, the candidates will be asked a standard set of questions corresponding to the primary core competencies of the role. After this interview, without conferring, each interviewer will record their scores for that candidate’s level of mastery in each core competency. These responses will be turned in to HR and tabulated. The candidate with the highest scores will Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 12 of 37 be offered the position. The successful candidate will be contacted via phone and presented with an offer within 24 hours of the decision being made. 5) Position to Be Filled – Security Guard The Security Guard exists to ensure a safe environment for the dispensary workers and customers. a) Intention It is the intention of the hiring manager to fill the position listed above by hiring six full-time employees. These new employees will be hired to work for 40 hours per week with an approximate rate of pay of . b) Target Group Based on the unique demands placed upon a Security Manager at Nectar Markets, LLC., we will target possible job applicants who are specifically mentioned in Fresno Municipal Code Social Policy Section 9-3316 (b) (1) and also possess the following traits: i) Mastery of de-escalation tactics ii) Possession of a current a BSIS certified California Guard Card iii) The ability to quickly assess a situation and act with wisdom iv) Must be able to work weekends and holidays v) Dedicated to ensuring a safe environment for staff and patrons vi) Protect the integrity of the property vii) First point of contact, must be able to provide high quality customer service viii) Ensure all rules are followed inside and outside the dispensary ix) Ability to perform tasks such as customer check-in x) Must be friendly and energetic xi) Familiarity with completing daily security logs xii) Any other security related tasks requested by management xiii) Ability to pass a criminal background c) Method We will connect with possible applicants using the following means: i) Workforce Connection Fresno Hiring Events ii) Partnering with Fresno City College’s Veterans Resource Center and Career and Employment Center iii) Local Posts to Job Boards in Fresno iv) Signage Posted on the retail storefront during build out Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 13 of 37 v) Group interviews and local hiring events vi) Advertising openings in The Fresno Bee vii) Promotion through the company’s Digital Media (Website, LinkedIn, Instagram, Facebook, Twitter, etc.) d) Evaluation of Applicants We will evaluate the first round of applicants using a weighted system that takes into account the following: i) In-person interview (20%) ii) Professional references (10%) iii) Job assessment (20%) iv) Work experience (30%) v) Education (20%) The ten (10) applicants with the highest combined scores will be called back for a second interview. During this panel interview, the candidates will be asked a standard set of questions corresponding to the primary core competencies of the role. After this interview, without conferring, each interviewer will record their scores for that candidate’s level of mastery in each core competency. These responses will be turned in to HR and tabulated. The six candidates with the highest scores will be offered the position. The successful candidates will be contacted via phone and presented with an offer within 24 hours of the decision being made. 6) Position to Be Filled – Senior Lead The role of being a Nectar Senior Lead is one of the most prestigious jobs we offer. As a Senior Lead you are the field captain for the store’s local team. The Senior Lead ensures that all transactions and the implementation of other retail processes comply with state and local laws and regulations and that service exceeds customer expectations. The Senior Lead collaborates with the District Manager to implement practices, policies, and strategies that support performance and results-driven culture. The Senior Lead reports to the District Manager. a) Intention It is the intention of the hiring manager to fill the position(s) listed above by hiring one (1) full- time employee. The new hire will be hired to work for forty (40) hours per week with a minimum pay of per hour. b) Target Group Based on the unique demands placed upon a Lead Budtender at Nectar Markets, LLC., we will target possible job applicants who are specifically mentioned in Fresno Municipal Code Social Policy Section 9-3316 (b) (1) and also possess the following traits: i) Maintain professionalism at all times ii) Are personable in the customer service process Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 14 of 37 iii) Are punctual and will consistently show up for their shifts iv) Communicate effectively with internal team and customers v) Is excited and passionate about the cannabis industry and community vi) Maintain the ability to learn and implement Company standard operating procedures in compliance with regulatory ordinances. vii) Ability to acquire a Cannabis Worker Permit viii) Have experience leading teams ix) Have experience in retail inventory management and sales x) Possess extensive retail management experience xi) Experience in purchasing and managing inventory for retail storefronts xii) Subject Matter Expert in regulatory ordinances and compliance xiii) Proven ability to develop talent, coach team, counsel customers and handle disciplinary tasks if necessary c) Method We will connect with possible applicants using the following means: i) Workforce Connection Fresno Hiring Events ii) Local Posts to Job Boards in Fresno iii) Signage Posted on the retail storefront during build out iv) Group interviews and local hiring events v) Promotion through the company’s Digital Media (Website, Instagram, Facebook, Twitter, etc.) vi) Partnering with Fresno City College’s Veterans Resource Center and Career and Employment Center vii) Advertising openings in The Fresno Bee d) Evaluation of Applicants We will evaluate the first round of applicants using a weighted system that takes into account the following: i) In-person interview (20%) ii) Professional references (10%) iii) Job assessment (20%) iv) Work experience (30%) v) Education (20%) Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 15 of 37 The five (5) applicants with the highest combined scores will be called back for a second interview. During this panel interview, the candidates will be asked a standard set of questions corresponding to the primary core competencies of the role. After this interview, without conferring, each interviewer will record their scores for that candidate’s level of mastery in each core competency. These responses will be turned in to HR and tabulated. The six candidates with the highest scores will be offered the position. The successful candidates will be contacted via phone and presented with an offer within 24 hours of the decision being made. 7) Position to Be Filled – Lead Budtender The Lead Budtender is a subject matter expert on the dispensary floor, providing product knowledge and continuously improving Nectar culture and process while on shift. The Lead Budtender’s role is to ensure good processes and provide superior product knowledge to every customer, patient, and Budtender by explaining and educating the benefits and differences between the products. The Lead Budtender is responsible for supporting the Store Manager with all aspects of the daily retail operations. The Lead Budtender will assist, guide, and develop the Budtenders to ensure they have the ability to provide excellent customer service and achieve company goals. The Lead Budtender ensures the well-being of the store and employees while the Store Manager is not on shift. This position requires the Lead Budtender to take charge of all floor, back of house, and other operations during their shift. The Lead Budtender is responsible for the following; report to work as soon as arrived and confirm others do so as well, ensure all employees take their breaks, handle all customer service issues, receive and intake inventory, conduct product conversions, fill out and submit shift logs, shift drawer check out forms, break-fix requests, non-cannabis inventory and other forms, delegate tasks among staff, count and drop cash, help patients and customers on the floor, promote teamwork, deliver a can-do attitude, ability to execute all essential duties, arrive to work consistently and punctually, and strive for the betterment of Nectar. a) Intention It is the intention of the hiring manager to fill the position(s) listed above by hiring five (5) full- time employee(s). These new hires will be hired to work for forty (40) hours per week with an approximate rate that is equivalent to their determined living wage in Fresno. b) Target Group Based on the unique demands placed upon a Lead Budtender at Nectar Markets, LLC., we will target possible job applicants who are specifically mentioned in Fresno Municipal Code Social Policy Section 9-3316 (b) (1) and also possess the following traits: i) Maintain professionalism at all times ii) Are personable in the customer service process iii) Are punctual and will consistently show up for their shifts iv) Communicate effectively with internal team and customers v) Is excited and passionate about the cannabis industry and community vi) Maintain the ability to learn and implement Company standard operating procedures in compliance with regulatory ordinances. Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 16 of 37 vii) Ability to acquire a Cannabis Worker Permit viii) Have experience leading teams ix) Have experience in retail inventory management and sales x) Able to develop talent, coach team, counsel customers and utilize proper reporting systems for disciplinary issues c) Method We will connect with possible applicants using the following means: i) Workforce Connection Fresno Hiring Events ii) Local Posts to Job Boards in Fresno iii) Signage Posted on the retail storefront during build out iv) Group interviews and local hiring events v) Promotion through the company’s Digital Media (Website, Instagram, Facebook, Twitter, etc.) vi) Partnering with Fresno City College’s Veterans Resource Center and Career and Employment Center vii) Advertising openings in The Fresno Bee d) Evaluation of Applicants We will evaluate the first round of applicants using a weighted system that takes into account the following: i) In-person interview (20%) ii) Professional references (10%) iii) Job assessment (20%) iv) Work experience (30%) v) Education (20%) The ten (10) applicants with the highest combined scores will be called back for a second interview. During this panel interview, the candidates will be asked a standard set of questions corresponding to the primary core competencies of the role. After this interview, without conferring, each interviewer will record their scores for that candidate’s level of mastery in each core competency. These responses will be turned in to HR and tabulated. The six candidates with the highest scores will be offered the position. The successful candidates will be contacted via phone and presented with an offer within 24 hours of the decision being made. 8) Position to Be Filled – Budtender The role of being a Nectar budtender is one we are most proud of. This position is our opportunity to help patients and customers make informed and educated decisions when purchasing medicated and/or non-medicated products. A Nectar budtenders objective should be to strive to connect with Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 17 of 37 each person that visits any of our expanding Nectar locations to build a relationship and ensure excellent customer service. Each budtender is expected to provide the best available customer service in the industry for every customer. Budtenders are expected to provide and perform the following: ability to demonstrate a wealth of product knowledge, keep a clean and positive work environment, be on-time, have a flexible schedule, keep a positive and can-do attitude at all times, be a team player, be responsible for a cash drawer, ability to execute all budtender shift tasks, report to work at arrival, as well as arrive to work consistently and punctually. a) Intention It is the intention of the HR department to fill the position(s) listed above by hiring twenty-five (25) full-time/part-time employee(s). These new hires will be hired to work for forty (40) hours per week at the full-time rate and twenty to thirty-five (20-35) hours per week for part-time with a minimum pay of $per hour. b) Target Group Based on the unique demands placed upon a Budtender at Nectar Markets, LLC., we will target possible job applicants who are specifically mentioned in Fresno Municipal Code Social Policy Section 9-3316 (b) (1) and also possess the following traits: i) Maintain professionalism at all times ii) Are personable in the customer service process iii) Are punctual and will consistently show up for their shifts iv) Communicate effectively with internal team and customers v) Is excited and passionate about the cannabis industry and community vi) Maintain the ability to learn and implement Company standard operating procedures in compliance with regulatory ordinances. vii) Ability to acquire a Cannabis Worker Permit c) Method We will connect with possible applicants using the following means: i) Workforce Connection Fresno Hiring Events ii) Local Posts to Job Boards in Fresno iii) Signage Posted on the retail storefront during build out iv) Group interviews and local hiring events v) Promotion through the company’s Digital Media (Website, Instagram, Facebook, Twitter, etc.) vi) Partnering with Fresno City College’s Veterans Resource Center and Career and Employment Center vii) Advertising openings in The Fresno Bee Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 18 of 37 d) Evaluation of Applicants We will evaluate the first round of applicants using a weighted system that takes into account the following: i) In-person interview (20%) ii) Professional references (10%) iii) Job assessment (20%) iv) Work experience (30%) v) Education (20%) The forty (40) applicants with the highest combined scores will be called back for a second interview. During this panel interview, the candidates will be asked a standard set of questions corresponding to the primary core competencies of the role. After this interview, without conferring, each interviewer will record their scores for that candidate’s level of mastery in each core competency. These responses will be turned in to HR and tabulated. The six candidates with the highest scores will be offered the position. The successful candidates will be contacted via phone and presented with an offer within 24 hours of the decision being made. 9) Position to Be Filled – Receptionist This position is one of the most crucial positions within the store. The receptionist is the first impression a patient or customer receives when visiting any of our expanding Nectar locations. Every customer that visits Nectar represents unlimited amounts of possible purchases, referrals, reviews, and recommendations. This makes it the receptionist’s responsibility to ensure that each individual is provided excellent customer service. Receptionists are expected to perform the following tasks daily; smile, greet people as they enter the building, verify each individual is 21 or older and present a valid ID, check people in the system, answer the phone, provide friendly customer service, execute essential duties, report to work at arrival, as well as arrive to work consistently and punctually. a) Intention It is the intention of the hiring manager to fill the position(s) listed above by hiring a minimum of three (3) part-time employee(s). These new hires will be hired to work for 25-35 hours per week with a minimum pay of per hour. b) Target Group Based on the unique demands placed upon a Receptionist at Nectar Markets, LLC., we will target possible job applicants who are specifically mentioned in Fresno Municipal Code Social Policy Section 9-3316 (b) (1) and also possess the following traits: i) Maintain professionalism at all times ii) Are personable in the customer service process iii) Are punctual and will consistently show up for their shifts iv) Communicate effectively with internal team and customers Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 19 of 37 v) Is excited and passionate about the cannabis industry and community vi) Maintain the ability to learn and implement Company standard operating procedures in compliance with regulatory ordinances. vii) Ability to acquire a Cannabis Worker Permit c) Method We will connect with possible applicants using the following means: i) Workforce Connection Fresno Hiring Events ii) Local Posts to Job Boards in Fresno iii) Signage Posted on the retail storefront during build out iv) Group interviews and local hiring events v) Promotion through the company’s Digital Media (Website, Instagram, Facebook, Twitter, etc.) vi) Advertising openings in The Fresno Bee vii) Partnering with Fresno City College’s Veterans Resource Center and Career and Employment Center d) Evaluation of Applicants We will evaluate the first round of applicants using a weighted system that takes into account the following: i) In-person interview (20%) ii) Professional references (10%) iii) Job assessment (20%) iv) Work experience (30%) v) Education (20%) The seven (7) applicants with the highest combined scores will be called back for a second interview. During this panel interview, the candidates will be asked a standard set of questions corresponding to the primary core competencies of the role. After this interview, without conferring, each interviewer will record their scores for that candidate’s level of mastery in each core competency. These responses will be turned in to HR and tabulated. The six candidates with the highest scores will be offered the position. The successful candidates will be contacted via phone and presented with an offer within 24 hours of the decision being made. 2.5 Management Nectar Markets, LLC, will not feature an owner who has resided in and/or owned a commercial business within the City of Fresno for at least one year prior to March 2, 2020. Nectar does intend to hire a local General Manager who will oversee all aspects of the retail storefront in Fresno. The General Manager will be a local Fresno hire with applicants being sourced through local Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 20 of 37 organizations such as the Fresno City College’s Veterans Resource Center and Career and Employment Center, participating in Workforce Connection Fresno Hiring Events, advertisements in the Fresno Bee, and posting to local job boards. The Company is excited to offer this career opportunity with the Company and can’t wait to meet the talented applicants that Fresno has to offer. 2.6 Number of Employees – Roles and Responsibilities Based on forecasted foot traffic and customer volume, the Company anticipates hiring a minimum of sixty (60) employees. The store will be overseen by one (1) General Manager who will manage all aspects of the retail storefront. Under the General Manager, lies the departmental leaders: (1) Director of Retail Operations, (2) Purchasing Manager, (3) Regulatory Operations Manager, (4) IT Manager, (5) Security Manager, who will oversee all six (6) guards that are sourced from local Fresno business, Turner Security Systems, Inc., (6) Human Resources Manager, and (7) Accounting Manager. The Director of Retail Operations and Purchasing Manager will also have teams under them. Beginning with the Purchasing Manager, the rest of the team will consist of a Supply Chain Specialist and an Inventory Specialist. The Director of Retail Operations will have the most extensive team, consisting of employees that will perform the majority of front of house operations and customer interactions. This team will begin with the Senior Lead who will be assisted by their five (5) Lead Budtenders in managing the team of thirty-six (36) Budtenders and four (4) Receptionists to provide customers with an exemplary in-store experience while exceeding state and local regulations for compliant cannabis sales transactions. An Organization Chart has been provided in Appendix 4. In addition to the organization chart, full job descriptions for customer facing positions in retail have been provided in Appendix 5. 2.7 Labor Peace Agreement The Company will develop a labor peace agreement with United Food & Commercial Workers International Union – 8, providing employees with the opportunity to unionize without interference. The UFCW represents tens of thousands of cannabis workers across the nation. Nectar is looking forward to the opportunity to work alongside an experienced and reputable labor union to ensure that employees are being provided the resources for success within the cannabis industry. 2.8 Workforce Plan Below, is a sample workforce plan detailing the allocation of resources in order to effectively and compliantly operate the retail storefront in Fresno. Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 21 of 37 Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 22 of 37 2.8.1 Commitment to Hiring Local Nectar is committed to hiring a workforce that consists of a minimum of ninety-five percent (95%) local hires. This commitment will be led by Nectar’s Director of Human Resources, Amber Fidler, who has an extensive network of HR professionals and numerous resources for recruiting local employees. Ms. Fidler has been a Director of HR in the cannabis industry since 2017 and started her HR career in California in 2004. She brings experience in all aspects of HR in multiple states and will be spearheading talent acquisition and recruitment in the City of Fresno. In the past, Amber has organized and led several high-volume hiring events in the Sacramento area. She was sent to California to set up a production team and, when demand for supply grew, she went again to lead the HR team in hiring 50+ new employees. Nectar will offer jobs that have the potential for promotion under the Company’s “promote-from-within” business model and provide the training required for success in each new role. Nectar Markets, LLC Section 2 – Social Policy & Local Enterprise Plan Page 23 of 37 2.8.2 Commitment to Continued Education Nectar has developed an education reimbursement program in which employees will be provided the opportunity to (i) receive in-house training and development through continued education provided by the Nectar Academy and the relevant departments with specialized knowledge, such as METRC inventory management and general cannabis compliance, (ii) apply for the coursework reimbursement programs in which employees will be able to take additional external coursework in a field or skill that will allow them to bring additional value to the Company with current recipients being offered full tuition reimbursement for “Bootcamp” or “Certification Program” style training in computer coding and accounting systems, and (iii) the opportunity for advancement through the Company’s commitment to elevating internal employees through promotion from within. Many administrative employees within Nectar began as budtenders before moving to the METRC management, accounting, compliance, and/or IT departments. 2.8.3 Commitment to a Living Wage The company commits to provide a living wage to all employees. 2.9 Social Equity Business Incubator The Company is willing to contribute to the emerging cannabis industry within the City of Fresno by sharing its knowledge and experience regarding operations and best practices in the cannabis industry to increase the Company’s added value to the community of Fresno. Nectar commits to providing shelf space to social equity business products local to Fresno. This allows the local social equity business to capitalize on Nectar’s platform to increase their visibility and brand awareness in the Fresno commercial cannabis market. The Company is excited for the opportunity to provide its retail storefront and shelf space to social equity businesses local to Fresno. Additionally, as a vertically integrated operator in the medical and recreational cannabis industry since 2014, Nectar can provide mentorship in all facets of commercial cannabis operations that are not only insightful but have been implemented and practiced within the cannabis industry. Nectar looks forward to the opportunity to provide mentorship to Fresno social equity businesses as they traverse the emerging commercial cannabis market. Matthew Cleary, Esq., the Company’s Director of Regulatory Operations, is willing to offer advice regarding licensing and compliance for social equity business owners. Mr. Cleary has been a cannabis attorney since 2015, has represented more than two hundred (200) cannabis businesses, and has held executive positions in cannabis companies with operations in California, Oregon, and Washington, including cultivation, distribution, manufacturing, and retail. Based on this experience, Mr. Cleary can contribute to any social equity business owner’s operations, regardless of the license type they hold or intend to hold. Amber Fidler, the Company’s Director of Human Resources is also willing to offer mentoring for social equity businesses to assist in HR development and avoiding common pitfalls in California employment requirements. Nectar broadly is willing to offer general mentorship and will look to host mentoring events in the City of Fresno if awarded a retail storefront license. APPENDIX 1 Page 1 of 1 Appendix 1 - Employee Benefits Package Figure 4 - All employees averaging 30 hours per week will receive benefits APPENDIX 2 Page 1 of 1 Appendix 2 - Gold Leaf Figure 5 - The Gold Leaf monthly newsletter includes employees’ birthdays, work anniversaries for the month, company events, product knowledge, employee of the month shout-outs, and interviews with Nectarines. APPENDIX 3 Page 1 of 5 Appendix 3 - Professional Development Kris Meyer Ms. Meyer is an example of a Nectar professional development success story. Ms. Meyer held a connection to cannabis through individuals in her network. These individuals with whom Ms. Meyer had personal relations, had utilized cannabis for medicinal purposes following a severe auto accident. This medicinal quality of cannabis and the positive impact cannabis had on Ms. Meyer’s acquaintances, is what first attracted her to the industry. After a move to Oregon and a visit to a Nectar retail site, Ms. Meyer was soon an applicant and new hire of the Company. Ms. Meyer joined Nectar in 2017 as a receptionist in a retail store in northeast Portland. She immediately showed promise with an eagerness to support the staff and retail operations by leveraging her administrative skillset. Following a continued display of going above and beyond, Ms. Meyer was promoted to the position of Lead Budtender for a new retail site that was set to open in southwest Portland. This posed to be a unique development opportunity, allowing Ms. Meyer to acquire valuable one-on-one experience in developing and managing retail operations from multiple Nectar District Managers. Ms. Meyer was able to learn all aspects of developing a retail site for a successful launch while ensuring operational efficiency. After two successful store openings, Ms. Meyer was promoted to Senior Lead of Nectar’s flagship store. During her time as a Senior Lead, Ms. Meyer oversaw a retail renovation project, gained valuable management experience, further developed her administrative skill set, and would train new hires as well as newly promoted retail staff. Ms. Meyer was given a large amount of responsibility and delivered consistently because she held a high level of determination, willingness to get the job done, and was able to leverage her training and experience.    Ms. Meyer has continued to display an entrepreneurial mindset throughout her time at Nectar. This is apparent in her detail-oriented planning ability that was further nurtured through lived experience and training as a store opener. With Ms. Meyer’s success on the retail front, it was time for the next challenge. This became a discussion point between Ms. Meyer and the greater Nectar team, with Ms. Meyer looking to utilize her administrative and managerial skillset in a different fashion that would benefit the company. The result ended with a new position being developed for Ms. Meyer in the compliance department. Now, Ms. Meyer was able to capitalize on the training and experience that she had gathered in opening multiple Nectar retail locations and managing a retail site. Since then, Ms. Meyer has worked on developing SOP’s, store builds, licensing documents, working cross-functionally, leading teams, assisting in the oversight of warehouse operation, developing backend compliance protocols, monitoring retail procedures to ensure that Figure 6 - Kris Meyer, Product Control Lead APPENDIX 3 Page 2 of 5 the Company is operating in compliance with state and local legislation, and manages relationships within her team and department.    The opportunities presented to Ms. Meyer were provided by the Company in recognition of the hard work and consistent above-and-beyond performance displayed by Ms. Meyer. Nectar looks to build its employees up and places large amounts of trust and responsibility in its employees. There is room for success and growth within this company and Meyer embodies that every day. As the Company continues to expand, there is more room for Ms. Meyer to grow. Ms. Meyer has stated that her upcoming goals are to continue to develop professional management skills, specifically managing a multi-tiered organizational structure and mastering communication pathways to ensure efficient, clear, and consistent communication across all levels of a department. Nectar not only praises Ms. Meyer on her success and a continuous drive for improvement but looks to continue to support her development and provide new opportunities for success for both Ms. Meyer and the employees of Nectar as a whole. Myisha De Simone Ms. De Simone has a Nectar success story based on hard work and leveraging a skillset. Ms. De Simone had experience in the cosmetic retail industry and was considering a switch to the cannabis industry. With this, she began applying to multiple cannabis companies before ultimately deciding to accept employment at Nectar. Ms. De Simone opted with Nectar for a multitude of reasons, the most prominent being the Company’s emphasis on providing customers with the best customer service experience possible, continuous and consistent education and training being provided to employees, and the Companies promote from within business model that emphasized employee development and growth. This last point was especially important to Ms. De Simone as she was passionate about the industry and ultimately hoped to build a career. With that, Ms. De Simone began her Nectar journey as a budtender, where she excelled quickly, leveraging her prior experience in the retail cosmetic industry to provide exemplary customer service to all patrons. This commitment to the customer led to Ms. De Simone receiving more and more responsibility around the storefront. Little did she know, but Ms. De Simone had been given tasks that were normally reserved for Nectar Lead Budtenders and Senior Leads. Following, her third week as a budtender, Ms. De Simone was updated that she was on track to be a Lead Budtender, with her first offer coming very shortly after. Ms. De Simone accepted a Lead Budtender position at Nectar Sandy, a retail storefront in Northeast Portland. Ms. De Simone continued her high levels of performance, noting that with the constant support from her district managers and Lead Budtender team, she was able to develop at an accelerated rate. Continuing on her path of success, Ms. De Simone introduced a new operating tool, termed the quarantine log, allowing retail staff to collaborate with the product control and Figure 7 - Myisha De Simone, Hiring & Training Coordinator APPENDIX 3 Page 3 of 5 purchasing departments about product inventory levels, increasing accuracy in Nectar ordering and purchasing. Ms. De Simone was comfortable with sharing her ideas at appropriate times and in the appropriate context, facilitating positive change. These characteristics began to rub off on other retail employees, developing a store culture around consistent improvement and operational efficiency to better serve customers of Nectar. Ms. De Simone’s desire for professional development and willingness to add value to the company was no surprise as she had already impressed Nectar with the passion for cannabis expressed in her interview. While not previously being a member of the cannabis industry, Ms. De Simone had mentioned a desire to attend the Cannabis Collaborative Conference, (“CCC”), for the valuable education that it would provide her and the ability to better provide customers with product knowledge. This was noted by her District Manager, Michelle Karlebach, who ultimately suggested that Ms. De Simone be brought to represent the Company at CCC following her stellar performance at the retail level. The Company was happy to reward Ms. De Simone’s hard work, providing her with opportunities to represent the Company on a larger platform and stage. Since then, Ms. De Simone has also represented the Company alongside Ms. Karlebach on the “Living Well Show” with Nicolette Hume in which Ms. De Simone told her Nectar development story along with providing viewers with valuable cannabis knowledge that they may not have been exposed to previously. After a recommendation from Ms. Karlebach, Ms. De Simone developed a position proposal and presented it to the Company. Ms. De Simone went on to leverage her retail skillset that had been acquired through in-store experiences and detailed her abilities in vendor management, talent acquisition, hiring, and onboarding, as well as training and education. While the proposed position didn’t come to fruition, Ms. De Simone’s initiative coupled with a stellar track record of high performance in the retail sphere led to the creation of a new position for Ms. De Simone as a Hiring and Training Coordinator for the Nectar Academy, the Company’s in-house training program for all new hires in the retail team. Ms. De Simone serves as a perfect example of the go-getter in all of us. She spoke her desires into existence, supporting her spoken word with consistent performance, reliability, and deep care for the industry, brainstorming new ways to enhance the experience for the customer. Looking forward, Ms. De Simone hopes to continue to develop the company’s educational resources as expansion occurs both in Oregon and other states, such as California. She sees this as an opportunity to provide more educational resources and training to new hires as well as creating new departments and regional teams which will be filled by elevating high performing budtenders to the Nectar Academy team. Ms. De Simone is always thinking a step ahead with the experience of the customer in mind. Her mantra of always growing and always learning is something for new hires to look up to. Ms. De Simone has provided a pathway for others to follow and Nectar is immensely thankful for her hard work. As the Company continues to expand, Ms. De Simone will play a valuable role in helping to develop the next set of Nectarines, preparing them for success in the cannabis industry. APPENDIX 3 Page 4 of 5 Calvin Bauer Mr. Bauer has lived by the mantra, “Show me what you can do” even before his time at Nectar. Mr. Bauer was a double major in Economics and Geology at the University of Puget Sound. Within this academic experience, Mr. Bauer developed a deep appreciation for data analysis and the insight it can provide businesses as they navigate the market. Mr. Bauer was originally intending to utilize his developed skillset at the winery he had grown up at, however, as graduation approached it was no longer a possibility. Mr. Bauer still had a desire to utilize his skillset in the vice industry and was a fan of consuming cannabis more so than alcohol. This is what ultimately led Mr. Bauer into Nectar. Following a conversation with former budtender and now Director of Nectar Academy, Stephen Melfi, Mr. Bauer was soon an applicant of the Company. In that initial conversation, Mr. Bauer had described his desire to utilize data to analyze market trends within the cannabis industry to better serve the emerging market. Mr. Bauer was especially excited about the data generation that would occur within a new industry. He wanted to observe this data and ideate ways to incorporate the findings into logistics to standardize processes and increase operational efficiency. Mr. Bauer, like other successful Nectarines, had been very communicative about his skillset and the added value he could provide the Company if given the opportunity. This was quickly noticed by Mr. Bauer’s District Manager, Michelle Karlebach. By Mr. Bauer’s third week of employment, there was an internal position open in which data would be a major proponent. However, Mr. Bauer wasn’t aware of the opening as the position had been posted while he was on a weekend trip away from cellular service. That next Monday, Mr. Bauer received a call that he had an interview for a position in the Product Control department in which he would be working with data to inform purchasing decisions. Mr. Bauer hadn’t even known about the position, Ms. Karlebach had submitted his resume and provided her recommendation. This was a true elevation of an employee Ms. Karlebach believed to have untapped value to provide the Company. Mr. Bauer took the opportunity and ran with it. His new position granted him access to all components of the Product Control department. First, Mr. Bauer was trained extensively on the METRC and Point-Of-Sale (“POS”) systems to ensure that all inventory was being tracked in compliance with state and municipal regulations. Following this, Mr. Bauer was trained in all aspects of the Company’s supply chain. While observing and soaking in the newly acquired knowledge of the Product Control department, Mr. Bauer noted some inefficiencies in operations that could be improved. Bauer consulted with his manager and was granted permission to develop a more efficient process as long as his primary responsibilities were completed. Mr. Bauer went on to develop a “Quick Math Sheet” which standardized processes, making operations 50-70% more efficient. This success led to Mr. Bauer being promoted to work with the purchasing department. In this new role, he developed excel templates to compare inventory by Figure 8 - Calvin Bauer, Head of Data & Analytics APPENDIX 3 Page 5 of 5 SKU by retail location. This fixed a bottleneck in the supply chain allowing the company to better serve the market demand, resulting in weekly sales growth. Now with multiple successes, Mr. Bauer was promoted yet again and granted the task of building a Data and Analytics team. The most notable success that Mr. Bauer imparted on this journey has been his ability to utilize his training and experience to implement new procedures that increase the development of other employees in the department. By standardizing processes, Mr. Bauer was able to train his peers and develop their data analysis abilities while still innovating within the company. Mr. Bauer not only leveraged his skills to develop himself, but he was able to take the acquired experience and translate it into shareable knowledge. Mr. Bauer stated that his ambitions are to continue to incorporate data into more aspects of the company, working cross-functionally to improve operational efficiency while implementing and standardizing the process along the way. Nectar is proud to have been able to provide Mr. Bauer with the training and opportunity to grow. He has surpassed expectations and provided immense value to all those around him. Mr. Bauer is a professional development success story and he, along with Nectar, is looking to provide the next opportunity to a new hire to develop and innovate within the Company and the greater cannabis industry as a whole. APPENDIX 4 Page 1 of 1 Appendix 4 - Organization Chart Figure 9 - Nectar anticipates hiring a minimum of sixty (60) employees of which a minimum of ninety-five percent (95%) will be local hires. APPENDIX 5 Page 1 of 6 Appendix 5 - Job Descriptions – Customer Facing Positions Receptionist Overview: This position is one of the most crucial positions within the store. The receptionist is the first impression a patient or customer receives when visiting any of our expanding Nectar locations. Every customer that visits Nectar represents unlimited amounts of possible purchases, referrals, reviews, and recommendations. This makes it the receptionist’s responsibility to ensure that each individual is provided excellent customer service. Receptionists are expected to perform the following tasks daily; smile, greet people as they enter the building, verify each individual is 21 or older and present a valid ID, check people in the system, answer the phone, provide friendly customer service, execute essential duties, report to work at arrival, as well as, arrive to work consistently and punctually. ESSENTIAL DUTIES: 1. Answers the phone professional and greets any visitors to the facility. 2. Check the customer’s ID as they enter the building. Verify they are twenty-one (21) years old or older, as well as, present a valid ID card. 3. Check-in customers on POS by name and DOB, unless they are medical. If medical, check- in by first and last name. If a medical patient cannot be found already in the system, create a new patient profile and enter in their OMMP information available on their card. 4. Check customers discount category as they are being checked in and use the NUD device to ensure if the customer does fall into one of the applicable discount groups of Employee, Vendor, Senior, Military or other, the reception has placed that customer in the proper discount category during check-in to ensure the budtender knows what discounts are applicable during the transaction. 5. Keep all Menus’: In House, Leafly, Weedmaps; and any other social media applications consistently updated throughout the shift. Check with budtenders daily to make any product additions, removals, or informational changes. Ensure we are applying a neat and uniformed format on all menus. 6. Actively post updates to Leafly and Weedmaps on any new product, specials, and store relevant information. 7. Keep station organized. Countertops should be neat at all times. Paperwork, such as, patient ID’s, intake sheets, manager messages, etc., should be organized systematically and placed in a locked file cabinet, within clearly labeled file folders. 8. Scan/upload Intake Sheets and patient ID’s into POS. Intake sheets and patient ID’s should be organized first by alphabetical or numerical order, scanned and saved into identifiable folders within the computer system, uploaded into POS, then filed in a lockable file cabinet. 9. Answer the phone. The phone should be answered promptly and efficiently. This means within the first two rings. 10. Assists the inventory and production team with ordering supplies and consumables. 11. Receives packages and documents all incoming materials. 12. This is a start-up environment mentality. From time to time you may be asked to perform additional tasks. APPENDIX 5 Page 2 of 6 Budtender OVERVIEW: The role of being a Nectar budtender is one we are most proud of. This position is our opportunity to help patients and customers make informed and educated decisions when purchasing medicated and/or non-medicated products. A Nectar budtenders objective should be to strive to connect with each person that visits any of our expanding Nectar locations to build a relationship and ensure excellent customer service. Each budtender is expected to provide the best available customer service in the industry for every customer. Budtenders are expected to provide and perform the following; ability to demonstrate a wealth of product knowledge, keep a clean and positive work environment, be on-time, have a flexible schedule, keep a positive and can-do attitude at all times, be a team player, be responsible for a cash drawer, ability to execute all budtender shift tasks, report to work at arrival, as well as, arrive to work consistently and punctually. ESSENTIAL DUTIES: 1. Responsible for achieving sales goals by providing best-in-class service that consistently exceeds our customer’s and patient’s expectations. 2. Responsible for maintaining the store in a clean, organized, safe manner with special attention paid to merchandising standards. 3. Inspire customer and patient confidence and create loyalty to our brand. 4. Educate the customer and patient on the products. 5. Make product recommendations. 6. Contribute to a work environment that is positive, customer-service oriented, and compliant with established policies and procedures. 7. Accountable for accurately utilizing the POS system(s) including but not limited to: all discount codes, returns, exchanges, and other transactions. 8. Accountable for understanding and implementing the proper discount groups and discount levels for all categories and promotions Nectar provides including, but not limited to: Employee, Vendor, Senior, Military, and other. 9. Acknowledge any inventory issues and properly report them to management. 10. Act with integrity, honesty, and knowledge that promote the culture, values, and mission of Nectar. 11. Maintain a calm demeanor during periods of high volume or unusual events to keep the store operating to standard while setting a positive example. 12. Anticipate customer and store needs by constantly evaluating the environment and customers for cues. 13. Communicate information to manager so that the team can respond as necessary. 14. Contribute to a positive team environment by recognizing alarms or changes in morale and performance and communicating them to the store manager. 15. Act with a customer-comes-first attitude, especially while connecting with the customer. 16. Discover and respond to customer needs. 17. Follow operational policies and procedures, including those for cash handling, safety, and security to ensure the safety of all employees. 18. Maintain a clean and organized workspace. 19. Recognize and reinforce individual and team accomplishments. 20. Maintain regular and punctual attendance. APPENDIX 5 Page 3 of 6 21. Remain knowledgeable of products offered and discuss available options. 22. Understanding and relaying information on product equivalencies and responsible use of products. 23. Knowing your product and how it relates to customer purchasing limits. 24. Maintain a positive attitude that creates a positive work environment. 25. Ensure the sales floor is properly stocked and the presence of the store is well maintained. 26. Promote a work environment that is positive, customer-service oriented, and compliant with established policies and procedures. 27. Ensure compliance with all local, state, and federal regulations 28. Other duties as assigned. 29. Works under the direct supervision of the Lead Budtender and the Senior Lead on duty. 30. This Budtender role does not supervise other employees. Lead Budtenders OVERVIEW: The Lead Budtender is a subject matter expert on the dispensary floor, providing product knowledge and continuously improving Nectar culture and process while on shift. The Lead Budtender’s role is to ensure good processes and provide superior product knowledge to every customer, patient, and Budtender by explaining and educating the benefits and differences between the products. The Lead Budtender is responsible for supporting the Store Manager with all aspects of the daily retail operations. The Lead Budtender will assist, guide, and develop the Budtenders to ensure they have the ability to provide excellent customer service and achieve company goals. The Lead Budtender ensures the well-being of the store and employees while the Senior Lead is not on shift. This position requires the Lead Budtender to take charge of all floor, back of house, and other operations during their shift. The Lead Budtender is responsible for the following; report to work as soon as arrived and confirm others do so as well, ensure all employees take their breaks, handle all customer service issues, receive and intake inventory, conduct product conversions, fill out and submit shift logs, shift drawer check out forms, break-fix requests, non- cannabis inventory and other forms, delegate tasks among staff, count and drop cash, help patients and customers on the floor, promote teamwork, deliver a can-do attitude, ability to execute all essential duties, arrive to work consistently and punctually, and strive for the betterment of Nectar. ESSENTIAL DUTIES: 1. Responsible for achieving sales goals by providing best-in-class service that consistently exceeds our customer’s and patent’s expectations. 2. Responsible for maintaining the store in a clean, organized, safe manner with special attention paid to merchandising standards. 3. Inspire customer and patient confidence and create loyalty to our brand. 4. Educate the customer and patient on the products. 5. Make product recommendations. 6. Execute selling standards to meet the team and individual sales goals and metrics. 7. Assist the sales team to drive sales and customer experience by maintaining a tidy, safe, and well-merchandised store environment. 8. Contribute to and lead a work environment that is positive, customer-service oriented, and compliant with established policies and procedures. 9. Accountable for accurately utilizing the POS system(s) including but not limited to: all discount codes, returns, exchanges, and other transactions. APPENDIX 5 Page 4 of 6 10. Accountable for understanding and implementing the proper discount groups and discount levels for all categories and promotions Nectar provides including, but not limited to: Employee, Vendor, Senior, Military, and other. 11. Acknowledge any inventory issues and properly report them to management and Warehouse & Distribution and lead the issue to actively work to ensure the issue is being addressed. 12. Act with integrity, honesty, and knowledge that promote the culture, values, and mission of Nectar. 13. Welcome customers and patients into the sales area, introduce them to an associate. 14. Ensure the store is optically ideal - the store must be inviting and welcoming for the customers and patients. 15. Assist the sales team to ensure the sales floor is properly stocked and the presentation of the store is well maintained. 16. Ensure product is available on the shelves for the customers and patients and ensure as a lead you understand all qualities and attributes of that product and can educate customers and execute sales. 17. Model best-in-class service experience that consistently exceeds our customer’s and patient’s expectations. 18. Inspire customer confidence and create loyalty to our brand. You are more than a Brand Ambassador as a Lead Budtender, you are a brand leader. 19. Maintain awareness at all times and be in constant motion and communication. 20. Promote a work environment that is positive, customer-service oriented, and compliant with established policies and procedures by executing on all Nectar policies and by leading through example. 21. Assist to track inventory through daily audits and follow policies and procedures tracking product from seed to sale. 22. Assist to verify and receive all deliveries and implement daily deliveries in an accurate and compliant manner and time frame. 23. Assist with organizing all products according to FIFO, Bulk, Hold, and Active. 24. Assist with barcoding all products including 3rd party orders and jars. 25. Prepare and stock active shelves for flower, concentrates, topicals and edibles. 26. Assist to dispose of/waste of products according to the procedure. 27. Assist with technical leadership and direction to designated employees. 28. Assist with organization of team lunches, breaks, and shift changes. 29. Assist with initial and ongoing training for employees to ensure an adequate level of understanding regarding guidelines, policies, and procedures. 30. Assist with compliance with individual and team performance meeting the Company’s standards of service and quality. 31. Work collaboratively with all of the Company’s employees and business partners. 32. Assist with providing effective leadership to employees to ensure a complete understanding of and alignment to the Company’s vision, mission, and values to maintain a positive work environment and a high level of morale. 33. Ensure all shift reports are being filled out properly, with thought, care, and attention to detail. 34. Other tasks as assigned. APPENDIX 5 Page 5 of 6 Senior Lead OVERVIEW: The role of being a Nectar Senior Lead is one of the most prestigious jobs we offer. As a Senior Lead you are the field captain for the store’s local team. The Senior Lead ensures that all transactions and the implementation of other retail processes comply with state and local laws and regulations and that service exceeds customer expectations. The Senior Lead collaborates with the General Manager and District Manager to implement practices, policies, and strategies that support performance and results-driven culture. The Senior Lead reports to the District Manager. ESSENTIAL DUTIES: 1. Lead the employees assigned to work in the store they manage through example. At Nectar we always lead through example and never from the backroom or manager's office. 2. Train all employees on the Nectar methodology and manner of accomplishing goals, tasks, standard operating procedures, working with customers in a positive and exemplary manner. 3. Responsible for always ensuring customers receive the best experience possible. 4. Responsible for all POS transactions and ensuring they are properly implemented by all employees. 5. Responsible for verifying all employees' time is accurate and correct before each pay period is reported to HR. 6. Manage inventory daily and advise purchasing, intake, and management on levels needed to ensure success, product, and selection. Ensure product counts in the inventory system reflect the correct amount reflected in the store’s inventory. Reconcile any inventory needing adjustments. Work with purchasing and intake to immediately resolve inventory issues and ensure that all available product is properly in the system and available for sale. 7. Ensure intake and receive inventory shipments. Ensure product deliveries are properly entered into the system within thirty (30) minutes of receipt of delivery. Organize with the deliverer if any bins, returns, or products need to be returned to the intake department. 8. Ensure back stocks product is well organized. 9. Ensure continuous connectivity and information flow via email. 10. Fill out and submit the following forms daily; Shift Logs and Shift Drawer Check out Form. 11. Fill out and submit the following forms when appropriate; Break-fix Requests, Non- Cannabis Inventory Report. 12. Responsible for all: inspector visits, guests, visitors, or other official visits. 13. Post employee schedule in-store. 14. Ensure proper staffing levels. Escalate staffing needs to GM. 15. Ensure all reception, budtender, Lead Budtender, and all employees are working diligently and to the betterment of Nectar. 16. Ensure accuracy and compliance in all transactions. 17. Perform the required duties to record all sales and inventory transactions following state and local laws and regulations. 18. Maintains established standards of presentation, customer service, and compliance. 19. Coordinates with the GM and Training team to ensure all employees have accurate, up-to- date knowledge and materials related to their position. 20. Communicate the details of daily operations to the General Manager and/or District Manager. APPENDIX 5 Page 6 of 6 21. Implement and oversee procedures related to the opening and closing of the retail store. 22. Participates in the training, development, and success of employees. 23. Stay informed and knowledgeable about state and local laws, regulations, and industry news. 24. Performs inventory reconciliations daily, weekly, and as needed. 25. Ensure all equipment, material and assets are properly working. If not working or damaged, the store manager is responsible for all reporting issues, receiving quotes to fix broken items, receiving approval for service quote of an item, managing fixing the broken items in a timely fashion, and restoring the equipment is back to working order. 26. Additional duties as requested. Section 3 – Neighborhood Compatibility Plan At every Nectar location, the Company and its employees follow cannabis regulations and display signage to dissuade the availability of cannabis to minors, as well as offering educational information to legitimate patrons. The Company strongly stands by the policy to “Educate Before You Recreate” and extends customers the same information that is offered to Nectar employees during training and onboarding at the Nectar Academy. The Company strictly prohibits the consumption of cannabis on dispensary property and within its vicinity, with every dispensary property being actively monitored by employees and video surveillance for unlawful activity. To help create a safe environment for the Company’s customers and the surrounding neighborhood, the Company keeps all Nectar locations clean, well-maintained, and orderly. Nectar dispensaries offer ample, well-lit parking spaces with video monitoring to ensure customer safety and security. Any disruptive or negative behavior is not tolerated and is immediately reported to local authorities. The Company welcomes all feedback from our neighbors and will take their concerns and suggestions seriously. Budtenders are trained to escalate all concerns or complaints from neighboring businesses or residences to management immediately. Nectar is proud to be a responsible and valuable business in every community where operations are located and will add value to the City of Fresno.  Nectar has labeled all retail storefronts as safe spaces for diversity, equity, and inclusion. Nectar accepts all individuals of any age, race, gender, sexuality, ethnicity, or place of origin. The Company accepts individuals of all background provides these individuals with the best cannabis experience possible. Nectar supports and stands with the members of the communities that it serves. Figure 1 - Nectar promotes diversity, equity, and inclusion in the commercial cannabis industry. Nectar Markets, LLC Section 3 – Neighborhood Compatibility Plan Page 2 of 29 3.1 Responding to Complaints from the Community For all inquiries concerning the City, regulatory compliance, and/or licensing please contact Mat Cleary, Esq., Director of Regulatory Operations: m.cleary@nectarpdx.com; office phone 503- 912-6773; cell phone Upon approval of the Company’s application for a Commercial Cannabis Business in Fresno, CA, and the hiring of a local management team, the Company will update all regulatory agencies with the contact information for these individuals. Nectar will have one (1) local Senior Lead, Retail Manager, and General Manager available for receiving all in-person complaints and additional contact information will be available for the District Manager overseeing this store in Fresno, as well as the Director of Retail Operations. Complaints The procedure for any complaints that the Company receives is as follows: 1) In-person complaints at the store level will be heard by the Senior Lead, Retail Manager, General Manager, or Lead Budtender on staff. These complaints will then be relayed to the Director of Retail Operations and the Director of Regulatory Operations. These complaints will be investigated and addressed as needed, whether that is through additional training of the staff, additional education to the community, or simply allowing the complainant to be heard and demonstrating a willingness to accept constructive criticism. 2) Governmental and/or formal complaints will be received and immediately relayed to the Director of Retail Operations and the Director of Regulatory Operations. Again, all complaints will be investigated, addressed, and will receive a direct response from Nectar, as applicable. 3) Regarding the possible complaints listed in this application, Nectar will respond to each individually: a) Noise. Nectar stores do not project noise outside of the store and keep volumes at a reasonable level inside the store to avoid any disturbance to the local community. Nectar stores are also designed as quick retail experiences that do not offer features which would encourage loitering, such as benches or fountains. Nectar is proactively addressing this concern by designing the Premises such that noise will not be emitted to the surrounding area and avoiding any fixtures that might promote loitering which could create a noise nuisance. b) Light. The location selected for this application is a former Mexican restaurant in a well-lit shopping plaza. As such, Nectar’s store at this location would not add any lighting that may be considered a nuisance. Standard Nectar buildouts do not involve lighting fixtures beyond an “Open” sign and ensuring the parking areas are lit which is already taken care of within this plaza. c) Odor. Cannabis retailers do not have the same odor concerns as cultivators or manufacturers. All cannabis products sold by Nectar are stored in child-resistant packaging and do not emit an odor until consumed. As such, the primary odor Nectar Markets, LLC Section 3 – Neighborhood Compatibility Plan Page 3 of 29 concern for the Premises is the consumption of cannabis products in and around the facility. Nectar trains all staff to discourage public consumption and educates customers on these requirements. Nectar’s on-site security guards will be tasked with ensuring customers do not consume any cannabis products near the retail store. Any offenders will be reported to local law enforcement and will not be allowed to continue shopping with Nectar. d) Litter. Nectar’s current practices involve retail employees performing exterior inspections before opening and closing each day. Beyond that, retail employees are tasked with walking the exterior of the store at regular intervals throughout the day to monitor for litter and other refuse that may develop. These procedures will quickly rectify any littering. Nectar will also ensure there are exterior trash receptacles to further disincentivize littering. e) Vehicles. The Premise is situated in a shopping plaza with plenty of dedicated parking available and the retail Premises will have eight (8) reserved parking spaces which means customers to Nectar’s retail store will not need, nor will customers have access to, street parking or other access points which could be considered a nuisance to the local community. In the event this nuisance does arise, Nectar will communicate with customers where they should be parking and will establish signage for dedicated Nectar parking as needed. f) Pedestrian Traffic. Similar to the answer above regarding vehicles, the Premises is located in a preexisting shopping plaza which offers plenty of room and access for pedestrian traffic. That being said, the Premises is also in an area that is primarily dominated by vehicle traffic and a Nectar retail store is unlikely to increase pedestrian traffic. Nectar has also implemented procedures for dealing with potential lines of customers, especially during COVID-19 temporary restrictions on the number of customers allowed in-store at any given time. Some of these procedures are curbside pickup and pre-ordering online so the shopping experience is limited to ID verification and payment. 3.2 Nuisance Mitigation Nectar will not create or retain exterior features that invite public use or lingering (i.e. benches, fountains, landscape features, etc.). As seen in Appendix 1, Nectar stores emphasize clean exteriors that are aesthetically appealing but do not offer space desirable for loitering. Any exterior landscaping will be designed in a manner that precludes its use as a hiding place for persons on the Premises. Nectar Markets, LLC Section 3 – Neighborhood Compatibility Plan Page 4 of 29 Figure 2 - Sample Nectar Storefront Elevation. Stores are designed with no exterior features to reduce the potential for unlawful loitering becoming a nuisance Nectar will be operating solely as a store-front retail establishment with all pre-packaged products. The product will either be sold in child-resistant packaging or will be placed in child- resistant exit bags  to ensure that all products leaving the store are child-safe and odor-proof. With a pre-packaged product, the only risk of odor would be via individual consumption on or around the Premises. Nectar will mitigate this risk through clearly posted signage prohibiting the on-site consumption of cannabis. In addition to this signage, our staffed security guard(s) will make regular rounds to prevent unlawful loitering and consumption on the Premises and in parking areas surrounding the Premises. Nectar Markets, LLC Section 3 – Neighborhood Compatibility Plan Page 5 of 29 Nectar aims to mitigate any risk that could be a nuisance to the surrounding community and neighborhoods that the Company serves. Signage will be posted in both English and Spanish around the Premises in a manner that will be easily visible to the public denoting that loitering as well as cannabis consumption on-site and/or in surrounding areas is prohibited. The purpose of this signage is to educate the community around cannabis legality and rules to ensure that customers are not at risk of breaking the law or degrading the community of Fresno as well as to ensure the retail site is adhering to state and local compliance regulations. In addition to clear and visible signage (Appendix 2), the Company will feature security personnel on staff that will be making rounds of the business perimeter and surrounding areas periodically throughout the day. These rounds serve the purpose of prohibiting on-site consumption, littering, loitering, noise pollution, as well as excessive noise. The staff on duty will examine the surrounding area for any possibility of smell being emitted from the cannabis retail establishment. If a smell were to be found, the Senior Lead would be notified immediately and would investigate the source to prevent future odor concerns. In addition to preventing nuisances by consistent and thorough monitoring of the Premises and surrounding areas, Nectar also provides ample parking spaces for the retail business. By providing a company parking lot, there is no need for customers to park in the streets, potentially taking away accessibility to other businesses or crowding the surrounding area. Along with this, having a parking lot on Premises allows the Company to monitor all activity occurring in the parking lot. This provides an extra layer of safety for Nectar customers as the Company can closely monitor any activity in the parking lot. This safety measure also allows the Company and its staff to ensure that patrons are not purchasing cannabis to immediately be consumed in their car in the parking lot. This is yet another example of Nectar going above and beyond to ensure that the Company, its customers, and the community are not negatively impacted by the presence of a cannabis retailer, especially one operated by Nectar. To ensure that pedestrian traffic is accounted for and that there is adequate space on crosswalks for pedestrians to safely travel by foot without feeling overcrowded or uncomfortable, Nectar has developed a queueing plan that accommodates customers and members of the community passing Figure 3 – Nectar signage will be posted in highly visible areas in both English & Spanish to ensure that customers are informed of local regulations Nectar Markets, LLC Section 3 – Neighborhood Compatibility Plan Page 6 of 29 by (Appendix 4). When considering the proposed Premises for the retail site, the Company is fortunate to have ample parking, mitigating the potential for retail operations to cause parking issues for surrounding businesses or residences. To mitigate the potential of light nuisances, Nectar retail establishments will not feature illuminated signage, rather all signage will feature up-lighting (Appendix 4) to mitigate the potential of light pollution to the surrounding neighborhood. Additionally, the retail site will only be outfitted with the necessary lighting to ensure that the site is visible to nearby traffic. After legal operating hours, all up-lighting will be turned off with the only lighting being that which is involved in the Company’s overnight surveillance system. This design feature is intentional to ensure that the branding of the retail storefront matches the Company’s style guide, to reduce the potential for loitering on-site, and to reduce the potential for light nuisance to the nearby community or other businesses. Signage will be sourced from Fresno Neon Sign Co., license number 193265, located at 5901 E. Clinton Ave., Fresno, CA 93727. Fresno Neon Sign Co. is one of the oldest sign manufacturers in the City of Fresno with projects dating to the 1930s. All product that is sold and leaves the retail storefront with the customer will be packaged in child- proof packaging. While Nectar primarily possesses prepackaged products in inventory, some products don’t come in childproof packaging. In this case, any products that require additional packaging to ensure compliant sales. The exit packaging features dual zip-locks that secure all products ensuring that childproof security measures are met. All staff is trained on which product shall be placed into childproof exit packaging. In addition to this training, the POS software includes a pop-up on-screen warning that appears anytime a product without child-proof packaging is scanned into the system. Nectar will supply and provide exit bags at no cost to the customer, to ensure that all sales comply with State and local regulations Figure 4 – Nectar exterior signage will be sourced from local Fresno businesses and will be designed in a way that mitigates light nuisances to the surrounding businesses. Nectar Markets, LLC Section 3 – Neighborhood Compatibility Plan Page 7 of 29 . Figure 6 - Compliance Exit Bags will be provided to ensure that all products leaving the store are in child-proof packaging to reduce the potential of cannabis getting into the hands of the youth in Fresno. 3.3 Odor Mitigation Odor mitigation practices have been developed into the supply chain and logistics process of the company. All flower arrives at the store prepackaged, mitigating the risk of odor. With no cannabis production, distribution, or wholesale occurring within the Premises, there is very limited potential for the odor to be emitted from the storefront. Nectar will actively monitor the Premises for any odor sources, including customer consumption, and will respond immediately to all complaints regarding odors. Figure 5 – Cannabis flower will be prepackaged to mitigate the risk of odor as well as preserve product quality. Nectar Markets, LLC Section 3 – Neighborhood Compatibility Plan Page 8 of 29 3.4 Sources of Odor All products sold by Nectar are prepackaged before arriving at the retail store. Nectar will not be cultivating or processing cannabis at the Premises which eliminates the primary sources of odor associated with cannabis businesses. At times it will be necessary for Nectar to dispose of, and destroy, cannabis products onsite, either due to damage, recalls, or expiration. Cannabis waste is required to be rendered unusable and unrecognizable in order to be disposed of and this process typically involves mixing unpackaged cannabis products with soil, sand, cat litter, or liquid dyes. This process would be the only time products will be unpackaged on the premises. Combining the cannabis products with destruction materials will drastically reduce any possible odors and any remaining odor and/or odor-emitting debris will be addressed by onsite ventilation systems. The only additional potential for odor would be if a customer decided to open their cannabis products and/or consume them on site. Being that this is not compliant with state and local regulation, the Company will have posted signage in a manner that is visible to patrons and educates them about the prohibition of on-site cannabis consumption as well as consumption of cannabis in public. To further ensure that this compliance standard is met, Nectar employees will be sent out on hourly rounds to ensure that no cannabis is being consumed on-site, in the parking lot, or in public surrounding areas. Another layer of monitoring is available with the presence of armed security guards on-site. Nectar’s security guards will be tasked with monitoring and surveying the Premises and surrounding areas for any potential nuisances or loitering occurring. 3.5 Odor Control Devices The retail storefront will feature an HVAC system on-site that will filter the air throughout the building. With jars being prepackaged, there is limited opportunity for the smell to be emitted by retail operations. The HVAC system will filter the air throughout the retail storefront, preventing any odor from leaving the retail establishment though, as discussed above, there should not be any odors emitted in and/or around the Premises. 3.6 Staff Odor Training; System Maintenance As discussed above, the only possible odor-producing elements of a cannabis retail operation are consumption onsite and the wasting of cannabis products. All Nectar employees are trained that consumption on or around licensed premises is strictly prohibited, and this information is conveyed to customers as well through the placement of signage within the consumer sales area and by the customer exits. This information is included in Nectar Academy training for all new employees as well as the Company’s SOP guidebook for future reference as needed. Waste management and all system maintenance will be handled by Nectar’s internal specialists designated for those tasks. Wasting processes have been developed by the Nectar Compliance team in collaboration with the Director of Retail Operations, Director of Regulatory Operations, the METRC Management team, and the retail District Managers. In addition to the process development, the Compliance team has gone out to each retail site to train Lead Budtenders and Senior Leads on how to physically waste products to a point where it is both unusable and unrecognizable as a cannabis product in compliance with state and local regulations. The teams involved in designing the waste process will also be involved in system maintenance. With twenty-two (22) retail stores in operation, Nectar has been able to gather extensive experience in the wasting process. As the Company continues to grow, the waste process is constantly being Nectar Markets, LLC Section 3 – Neighborhood Compatibility Plan Page 9 of 29 monitored by the Compliance team to ensure that all matters are handled in compliance with state and local regulations. With the Compliance team having the ability to be hands-on throughout the training process, they can identify inefficiencies and room for improvement firsthand. If either of these aspects are noticed in the wasting process, the Compliance team will bring this to the attention of the greater system maintenance team in which they will develop a course of action, a new SOP to be introduced, and a plan for rollout and training. This is done to ensure that Nectar is constantly improving processes to better serve the evolving cannabis industry and market. Additionally, the Company wants to ensure that all retail stores are operating according to the same processes, allowing for close monitoring of the wasting process. The end result of these efforts is a compliant 3.7 Waste Management Nectar has developed in-house waste standard operating procedures (“SOPs”) detailing each step of the wasting process, including the physical wasting of the cannabis products and the digital wasting of the cannabis products in METRC. Nectar also has an existing relationship with Waste Management in Oregon to properly dispose of all waste derived from commercial cannabis activity. All of the processes that have been developed by the Company while operating in Oregon will be implemented in the storefront location in the City of Fresno. The physical and digital wasting of cannabis products will be handled by a select group of individuals. All wasting will be completed by Nectar’s METRC Management team, General Manager, and Senior Leads. The General Manager and Senior Lead are responsible for ensuring all products designated for wasting are logged in the store's waste as well as completing the physical wasting of the product. Simultaneously, the METRC Management team will be responsible for the digital processing of all products and wasting of METRC tags. This collaborative process involves constant communication amongst the retail leadership and METRC Management team. Digital wasting is the process of ensuring that all product that has been physically wasted at the retail site has been accounted for in the METRC inventory system, as well as the completion of METRC tags featuring a zero-quantity and labeled as waste. Physical wasting is the process of destroying cannabis products and ensuring that they will not be consumed, resulting in the product being unusable and unrecognizable. This process includes mixing the cannabis products with waste material (flower and solid concentrates/extracts will be wasted with soil, sand, or other garbage; liquid concentrates and extracts will be wasted with cat litter, sand, or other absorbent substances). Once thoroughly mixed, the contents will be sent through a grinder/shredder to be destroyed. This process shall be done entirely within the Premises under clear view of the surveillance cameras before being disposed of in compliance with state and local regulations. Nectar provides these procedures with detailed step-by-step instructions in the SOP Guidebook. Nectar has developed a working relationship with Waste Management as its facilities partner for all retail operations in Oregon. The Company will continue working with Waste Management and seek out its services in Fresno. All services will be sought out by Waste Management at the address, 5608 So. Villa Ave, Fresno, CA 93725. Additionally, GAIACA Cannabis Waste Management will be retained for the disposal of large cannabis batches as needed. GAIACA has Nectar Markets, LLC Section 3 – Neighborhood Compatibility Plan Page 10 of 29 been approved by the California Bureau of Cannabis Control and offers cannabis waste disposal service throughout the State. Figure 7 - Waste Management has been a partner for facility and trash services for Nectar in all operations in Oregon. This working relationship will continue in Fresno. APPENDIX 2 – PROPOSED SIGNAGE Page 1 of 9 2 Proposed Signage Figure 18 - Nectar storefronts are equipped with ample security to ensure the safety of all patrons, employees, and surrounding community members. Figure 19 - Service animals are always welcome in Nectar Retail establishments. Nectar promotes an inclusive and comfortable cannabis experience for all customers. APPENDIX 2 – PROPOSED SIGNAGE Page 2 of 9 Figure 20 - Consumption of Cannabis on-site is prohibited and will be monitored by the Company’s security team. APPENDIX 2 – PROPOSED SIGNAGE Page 3 of 9 Figure 21 - Under California regulation, Cannabis may not be consumed in public. Nectar will actively monitor public areas surrounding the retail storefront to mitigate the risk of public cannabis consumption. APPENDIX 2 – PROPOSED SIGNAGE Page 4 of 9 Figure 22 - Minors are not allowed on the Premises to prevent cannabis presence amongst the youth of Fresno. APPENDIX 2 – PROPOSED SIGNAGE Page 5 of 9 Figure 23 - Cannabis products are pre-packaged to mitigate odor and preserve product quality. Nectar uses recyclable packaging and manages a jar recycling program to reduce waste. APPENDIX 2 – PROPOSED SIGNAGE Page 6 of 9 Figure 24 - Nectar is a BBB accredited business and winner of the BBB PNW 2019 Spark Award for Ethics. The Company will continue its pattern of excellence in Fresno. APPENDIX 2 – PROPOSED SIGNAGE Page 7 of 9 Figure 25 - Nectar prides itself on its customer experience. The Company is here to serve the community members and will ensure that every visit is a safe, comfortable, and educational experience for the people of Fresno. APPENDIX 2 – PROPOSED SIGNAGE Page 8 of 9 Figure 26 - All cannabis flower will be prepackaged to mitigate odor. Menus will be provided to customers, in both English and Spanish, that contain a detailed description of the cannabis flower to educate consumers about the product. Figure 27 - Concentrates will be sourced from the highest quality vendors to ensure the safest, highest quality products are available to the community of Fresno. APPENDIX 2 – PROPOSED SIGNAGE Page 9 of 9 Figure 28 - Pre-rolls will be in child-proof tubes to mitigate youth usage of cannabis. Figure 29 - Edibles will be provided in packaging that doesn't mimic other big candy brands that would appeal to children. Packaging will denote the product as containing THC. APPENDIX 3 – FLOOR PLAN Page 1 of 1 3 Floor Plan – Queue The queueing plan has been created to manage customers during high volume times to ensure that the showroom is comfortable and that the line is managed to maintain clear sidewalks with ample space for pedestrian traffic. Additionally, this queue was created to keep customers safe while waiting for entry. The queue plan will ensure that waiting customers are organized into an orderly line under the surveillance of security cameras 42 & 43. By placing the queue in this area, Nectar Security and employees will be able to monitor the line for any nuisances, maximize available sidewalk space for pedestrian traffic, and can easily differentiate between waiting customers and individuals that may be loitering unlawfully on premises so that security can manage the premises accordingly. Figure 30 - Floor plan for the retail storefront in Fresno, CA. Section 4 – Safety Plan The fire suppression & safety plan has been prepared by John Stauder, P.E., of The Fire Consultants, Inc., a licensed professional engineer holding both Mechanical Engineering (M 33333) and Fire Protection Engineering (FP 1668) licensed in California. This plan was designed to ensure Nectar satisfies the requirements of the Fresno regulatory ordinances and municipal code. To upgrade existing fire equipment as needed and inspect fire extinguishers, Nectar has been in conversation with George Moran, Office Manager, of Fire System Solutions, located at 4277 W Richert Ave Ste 103, Fresno, CA 93722. Nectar will look to utilize the local Fresno business for any fire equipment needs as they emerge ranging from extinguisher services, sprinkler equipment installation, designs, and upgrades. Nectar is proud to partner with a local Fresno business in maintain the safety of customer and community members of Fresno. 4.1 Fire Prevention & Suppression Consultant The fire safety plan has been prepared by John Stauder, P.E., of The Fire Consultants, Inc., an engineering and consulting firm whose focus is to help clients address fire protection, building code, and fire issues in the built environment. The full Safety Plan is included as Appendix 1. 4.2 Accident & Incident Reporting Accident and incident reporting procedures have been detailed and included in Appendix 1. 4.3 Evacuation Routes A floor plan detailing the evacuation routes can be found in Appendix 1 4.4 Fire Extinguishers & Other Suppression Equipment A floor plan detailing the specific location of fire extinguishers and other suppression equipment can be found in Appendix 1. 4.5 Training for Fire & Medical Emergencies Training protocols and procedures for fire and medical emergencies have been detailed and included in Appendix 1. Appendix 1 Safety Plan Prepared by The Fire Consultants, Inc. 1777 N. California Blvd, Suite 200 ph: (925) 979.9993 internet: Walnut Creek, CA 94596 fax: (925) 979.9994 www.thefireconsultants.com FIRE SAFETY PLAN 1752 W SHAW AVE CANNABIS RETAIL STORE FRESNO, CA Prepared for: Nectar Markets LLC 1742 W Shaw Ave Fresno, CA 92660 20-2388 December 3, 2020 PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 1 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 INTRODUCTION Nectar Markets LLC (Nectar) is planning to develop a retail store commercial cannabis business located at 1752 W Shaw Ave in Fresno, CA and they have retained The Fire Consultants, Inc. (TFC) to evaluate the project and develop a fire safety plan to identify applicable fire protection criteria for the facility. This report will identify the major applicable fire protection requirements pertaining to the facility and will serve as the basis of discussion between design team members and the City Manager’s Office along with the Authorities Having Jurisdiction (AHJ), including City of Fresno Planning, Building and Fire Departments. The major design objectives are to protect the occupants and inventory from a potential fire and achieve and maintain compliance with the applicable codes. This report does not provide requirements from the insurer but incorporates these where they have been provided to us by the operator. APPLICABLE CODES The project will be subject to the requirements of the 2019 California Building Code (CBC) and California Fire Code (CFC) with City of Fresno amendments, Fresno Municipal Code and City of Fresno Administrative Regulations for Commercial Cannabis Business. BUILDING DESCRIPTION The Nectar retail store will be approximately 4,850 square feet, will occupy an existing restaurant built in 1975 and will have a layout as shown in Section 4.3. The City-approved floor plan will be finalized later, after City approval of the proposed project. The building will include approximately 3,550 SF front-of house (public access) and the rest will be back-of-house (employee only). OVERVIEW The Nectar retail store is classified as Mercantile Group M per the Building Code and will include both front-of-house areas and back-of-house areas. The front-of-house areas will include lobby, bathrooms, consumer sales area and sale counters. The back of house area will include the vault, intake area, and office. The retail store will sell a variety of cannabis products, including flower, pre-rolls, vapor products, edibles, capsules, topicals, tinctures, concentrates and other accessories. The products will come pre-packaged to the retail store. The retail store will not include any operations related to cannabis packaging, growing, processing, or extraction. Construction Type and Allowable Area The building housing the retail store is an existing restaurant (Group A-2), and the Nectar retail store will occupy the entire space. As an existing Group A-2 occupancy, the new Nectar retail PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 2 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 store space already complies with Group M height and area requirements as Group M requirements are less restrictive than Group A-2 requirements. Use and Occupancy Nectar will contain a consumer sales area, a lobby, vault, and supporting spaces associated with the retail store. The retail store will be classified as Mercantile Group M, as the retail store will be used for the display and sale of merchandise, and will include associated storage/stock of the goods incidental to the store per CBC Section 309.1, as well as assembly use spaces (with under 50 occupants) incidental to the store per CBC Section 303.1.2. Based on discussion with the operator, the Nectar retail store will not contain flammable or combustible liquids or other hazardous materials as listed by CBC Tables 307.1(1) or 307.1(2). Any potentially hazardous materials in the facility would consist of limited amounts (5 gallons or less) of cleaning supplies. The intended operation by these standards is not classified as a hazardous occupancy. Housekeeping Nectar management will maintain controls to prevent accumulation of combustible waste on the premises in accordance with CFC Section 304. All combustible waste material will be stored in approved containers or as acceptable to the Authority Having Jurisdiction until such waste can be removed from the premises. Trash containers with a capacity exceeding 40 gallons are required to be provided with lids and constructed of noncombustible materials, or of combustible materials with a peak heat release rate not exceeding 300 kW/m2 where tested in accordance with ASTM E1354 at an incident heat flux of 50 kW/m2 in the horizontal orientation. Dumpsters will need to comply with CFC Section 304.3.3. Outside the building, the space within 30 feet of the building or to the lot line is required to be maintained free of flammable vegetation or brush per CFC Section 304.1.2. Site Access The project will be a tenant improvement remodel within an existing building. As this is a renovation to an existing building with change of use from Group A-2 to Group M, re-evaluation of fire apparatus access roads, fire flow and fire hydrants based on Appendices B, C and D of CFC may be required once the project is awarded to Nectar. These requirements are always subject to review and approval of the Authority Having Jurisdiction. Inhalation Issues/Threats The project will only include retail sales of cannabis products. The products will come pre- packaged from distributors, and there will be no packaging operation in the store. The retail store will not include any operations related to cannabis growing, processing, or extraction. PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 3 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 Therefore, there will be very limited to no inhalation issues or threats from the retail sales operation or Nectar business at this location. SAFETY PLAN The City of Fresno requires a Safety Plan for cannabis retail stores. This document is provided to address City requirements for a Safety Plan for the Nectar cannabis retail store at 1752 W Shaw Ave. 4.1 SAFETY PLAN PREPARED BY A PROFESSIONAL FIRE PREVENTION AND SUPPRESSION CONSULTANT The Fire Consultants, Inc. (TFC) is a fire protection engineering and consulting firm with widespread experience conducting fire protection and life safety assessments, developing fire protection reports and code compliance assessments, as well as, designing fire alarm, sprinkler and special suppression systems and reviewing those designs by others. Since 2006, our firm has consulted on thousands of projects in multiple states, including California, Oregon and Washington. Our clients are primarily architects and owners/developers. We are engaged on both new construction and existing buildings. We have experience providing fire assessments and fire protection engineering consulting on cannabis extraction facilities, cultivation, microbusinesses, and retail stores in California. Our recent cannabis projects include Blythe, Chula Vista, El Monte, Fairfield, Oakland, Oxnard, Pomona, San Francisco, Santa Rosa, Sonoma, and Watsonville. We have experience following various cannabis application processes and preparing the required safety plan to meet those requirements. Mr. John Stauder, P.E. is a licensed professional engineer, holding both Mechanical Engineering (M 33333) and Fire Protection Engineering (FP 1668) licenses in California. Mr. Stauder is also licensed in the states of Arizona, Oregon and Washington. 4.2 ACCIDENT AND INCIDENT PROCEDURES Nectar has a form to document, track and submit accidents and incidents to the proper authorities. The retail store manager will discuss/interview employees and customers as necessary to understand the accident and incident, capture the important details and then submit the forms and other paperwork as required to the proper entities. Copies of these forms will be stored on site, in a binder (or similar) and located in the employee area of the store (manager’s office). Employees will be trained as part of the hiring process on accident and incident reporting procedures. As a retail store, with no processing, extraction or manufacturing operations, the nature of any accidents or incidents is anticipated to be equivalent to any comparable retail establishment. PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 4 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 Accident and Incident reporting form 4.3 DESCRIBE EVACUATION ROUTES The proposed retail site building includes four evacuation routes as shown in Figure 1; three through the public access areas including retail area and lobby and one through the employee only back of house space. The rear exit permits only employee access to an exit while maintaining security and separation between public and employee areas and may be used as an additional exit as permitted for intervening rooms by CBC Section 1016. The blue dimensional arrows in Figure 1 show the adequate exit separation, as required by Code. PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 5 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 Figure 1- Egress travel path, common path of travel and exit separation for 1752 W Shaw. The occupant load for the uses of the spaces in the retail store is tabulated below per CBC Table 1004.5. Use of Space Occupant Load Factor (sq ft/person) Space Approx. Area (sq ft) Occupant Load (persons) Unconcentrated Assembly 15 net Lobby 326 22 Intake Area 325 22 Mercantile 60 gross Retail Area 1860 31 Storage, Stock, Shipping Areas 300 gross Vault 68 1 Retail Counters 860 3 Business Areas 150 gross Office 77 1 Restroom (W) 290 2 Restroom (M) 193 2 Total 84 The retail store is separated into front-of-house areas and back-of-house areas. The retail store layout provides separate exiting from each area without passing through the other area. The occupant load for the public-accessed front-of-house area is 60 (including lobby, sales area, restrooms and retail counters), and the occupant load for the back-of-house area is 24. The occupant load for the public area is 60, requiring two exits while the back-of-house area has less than 50 occupants, requiring one exit from that area. The egress path of travel limitations (measured in feet) for the occupancy within the retail store is provided below per CBC Chapter 10 for sprinkler protected buildings, as the existing building is sprinkler protected. This is required to be measured along the natural path of travel. The proposed layout is within these travel distances for sprinklered buildings, as shown in Figure 1. PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 6 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 Occupancy Common Path of Travel Exit Access Travel Dead End Length Group M (Sprinklered) 75 250 50 Where the occupant load will exceed 49, or where the common path limitation is exceeded, a minimum of two exits are required per CBC Table 1006.2.1. These exits are required to be separated by a minimum of one-third the area longest diagonal of the area served for sprinkler protected buildings. The overall retail store facility will contain four separate exits, to meet the required separation; three at the public area, and another at the rear, back-of-house area as shown in Figure 1. Nectar will install listed panic hardware on the exterior exit doors to meet CBC 1010.1.10 and UL 305. CBC 1010.1.9 requires all egress doors to be readily openable from the egress side at all times, requiring only one operation to open the door, without the use of a key or special knowledge or effort, except in specific situations. The Ordinance Article 33 of the City of Fresno Code for Commercial Cannabis Business requires the retail area access door be locked at all times with “buzz-in” access through the electronically secured door from lobby. This door shall be unlocked and readily openable from egress side (retail side), all times. The main door is allowed to be provided with a locking device on the egress side, provided the following requirements are met: a. The locking device is readily distinguishable as locked, and b. A readily visible durable sign is posted on the egress side of the door (inside) on or adjacent to the door, stating “THIS DOOR TO REMAIN UNLOCKED WHEN THIS SPACE IS OCCUPIED” in 1-inch black letters on a contrasting background. Certain egress doors in the retail store will be provided with card readers to control access into the retail store, back-of-house area, and vault, as noted on the sketch in Figure 2. This is to meet Article 33 of the City of Fresno Code for Commercial Cannabis Business. These doors will be arranged to meet the following provisions per CBC Section 1010.1.9.10 to allow for free egress: a. The door hardware that is affixed to the door leaf has an obvious method of operation that is readily operated under all lighting conditions. b. The door hardware is capable of being operated with one hand and does not require more than one operation for unlatching. c. Operation of the door hardware directly interrupts the power to the electric lock and unlocks the door immediately. d. Loss of power to the electric locking system automatically unlocks the door. e. Operation of the panic hardware releases the lock. f. The locking system units are listed in accordance with UL 294. The exit path from the occupied spaces in the rooms or through corridors will need to be a minimum unobstructed width of 36 inches where serving less than 50 occupants; the width increases to 44 inches if serving 50 or more occupants per CBC Table 1020.2. The aisles are required to meet these widths, and the aisle accessways (if not required to be accessible) are required to be at least 30 inches wide per CBC Section 1018.3 and 1018.4. As discussed above, the retail store is separated into a front-of-house area and a back-of-house area, where each area has independent exiting. As the public space has an occupant load more than 50, two exits are PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 7 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 required. The employee area serves less than 50 people such that one exit is required from the back-of-house area. The public area exit path is allowed to pass through intervening rooms that are accessory to one another, provided that the required width is met, and a discernable path of egress travel is provided per CBC 1016.2. Exit signs are required for rooms where two exits are required, per CBC Section 1013. The facility will be provided with illuminated exit signs to facilitate egress. Emergency lighting will be provided for the means of egress in the facility to meet CBC Section 1008. The facility will be provided with emergency access and emergency evacuation plans to meet state and local fire standards. The facility will not employ any devices that emit any medium such as smoke or fog that could obscure the means of egress in the building as prohibited per CFC Section 316.5. 4.4 FIRE EXTINGUISHERS AND OTHER FIRE SUPPRESSION EQUIPMENT LOCATION Sprinklers The existing building includes automatic sprinkler system. The retail store facility shall maintain the existing automatic sprinkler system, as this greatly enhances life safety, enables code compliance more easily and provides property protection and can reduce business interruption in case of a fire. The secured cannabis goods storage and inventories will include storage of the products on racks or shelves in cardboard packaging. The retail display area will contain products in display cases. The inventory is anticipated to include up to a Class IV commodity per the CFC and NFPA 13, Standard for the Installation of Sprinkler Systems, containing primarily the cannabis products in cardboard and plastic packaging. This is not considered a high-hazard commodity such as flammable liquids or rubber tires or Group A plastics. The product stacking on the display shelving and storage shelving will need to be maintained where the top of storage is no higher than 12 feet above the floor or at least 18 inches below the ceiling sprinklers (subject to NFPA 13 requirements). The inventory is not considered a high-hazard commodity and therefore should not be classified as high-piled combustible storage per the CFC if the top of the storage is maintained under 12 feet. Subject to the capability of the available water supply, fire main and existing sprinkler system design, the existing automatic sprinkler system can be utilized to protect the new layout of the retail store. The retail display and storage may be up to 10 feet in height or at least 18 inches below the ceiling sprinklers (subject to NFPA 13 requirements) and will require protection as Ordinary Hazard Group II (OH2) per NFPA 13 Table 13.2.1. The storage may contain up to 15% unexpanded plastic by weight or 25% by volume. If the existing sprinkler system can’t meet NFPA 13 OH2 design criteria, the storage arrangement will require modification to meet the available sprinkler system limitations and NFPA 13 requirements. Storage of any plastics or foams such as shipping supplies will need to be maintained under 6 feet to avoid classification as high-piled combustible storage and be maintained under 5 feet in order to be protected as Ordinary Hazard Group 2 per NFPA 13 Table 13.2.1. PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 8 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 As the design progresses, the existing sprinkler system will need to be evaluated by a licensed sprinkler contractor (C-16 Contractor). The sprinkler system design shall be in accordance with NFPA 13, Standard for the Installation of Sprinkler Systems and California Building and Fire Code and City of Fresno amendments. The sprinkler system will need to be inspected, tested, and maintained in accordance with the California amended version of NFPA 25, Standard for the Inspection, Testing, and Maintenance of Water-Based Fire Protection Systems. Fire Alarm and Monitoring System The Nectar retail store will be protected by a fire alarm system as required by Code and local ordinance. Based on discussion with the Owner/operator, we understand that the existing retail store location is provided with a fire alarm system. The fire alarm including initiation devices and occupant notification will be maintained or upgraded as part of the tenant improvement once the project is awarded to Nectar. Typically, the fire alarm will consist of combination smoke / carbon monoxide / heat detection and sprinkler waterflow connected to a fire alarm control panel, and that initiation of such devices will automatically notify emergency responders and employees and public customers. A licensed C-10 fire alarm contractor will also be utilized for the required inspection, testing and maintenance (IT&M) and monitoring of the fire alarm system. Since an automatic sprinkler system is provided, the facility shall include at least one exterior approved audible device, activated by sprinkler water flow as required by CBC Section 903.4.2. Upon actuation of the automatic sprinkler system, the fire alarm notification appliances throughout the facility will activate. The fire alarm system will also be required to monitor the sprinkler system. The fire alarm system will need to be installed, inspected, tested, and maintained in accordance with NFPA 72, National Fire Alarm and Signaling Code and California Fire Code and Title 19. Fire Extinguishers The retail store is anticipated to contain Class A fire hazards, which are ordinary combustibles such as paper and wood, and Class C fire hazards, which are electrical fires. The primary hazard in the facility is anticipated to be Class A fire hazards. The fire extinguishers in the facility are required to be rated at a minimum 2A:10B:C for the hazards in the building and spaced up to 75 feet travel distance per CBC Table 906.3(1). The fire extinguishers are required to be located in conspicuous locations per CFC Section 906, either mounted on brackets or inside fire extinguisher cabinets, where they will be readily accessible and immediately available for use, with the top no more than 5 feet above the floor. See Figure 2 for the proposed locations of fire extinguishers in the retail store. The fire extinguishers will need to be installed and maintained in accordance with CFC Section 906.2 and California Code of Regulations, Title 19, Division 1, Chapter 3. Exact fire extinguisher locations will be provided to meet 2019 California Building and Fire Code Section 906 as part of the tenant improvement permit submittal. . PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 9 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 The possible location of devices for fire alarm system and fire alarm control panel is provided in Figure 2. The location of manual pull station shall be confirmed with AHJ. Figure 2- Possible location of fire alarm devices including smoke detectors and CO detectors, fire alarm control panel and fire extinguishers. The fire alarm contractor shall provide the final drawings and verify it meets requirements of NFPA 72. CO detectors are required if a gas water heater is located in building. No other hazardous gas will be utilized or stored in the property. 4.5 PROCEDURE AND TRAINING FOR ALL FIRE AND MEDICAL EMEGENCIES Nectar will establish an employee training program to provide training to employees for response to common fire and medical emergencies. General safety procedures will be documented and reviewed with new hires as part of the formal hiring process and reviewed annually with all staff members. The local emergency contact phone numbers will be conspicuously displayed in the employee break room and at the reception desk in case of fire or medical emergency. Employees will be trained to evacuate the building upon any fire alarm signal and at least two employees will be trained to assist public customers with evacuation during a fire emergency. Employees will also be trained to assist if a customer requires medical assistance within the store. During emergency situations when an employee requires medical treatment for an occupational injury or illness, the local emergency ambulance shall be used to provide transportation for that employee unless other arrangements have been made. In all other cases a representative of Nectar will transport personnel to clinics and medical facilities. PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 10 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 First Aid Log Any work-related injury or illness that is reported to a first-aid facility or medical facility must be recorded on a First-Aid Log form. This includes non-occupational cases and injuries, or illnesses treated that involve vendors, suppliers, Contractors/Subcontractors, client personnel, and any other third party. First-Aid Logs or any portion of a log are not for general distribution. Requests for such information shall be processed by the human resource manager/supervisor. First Aid Kits First aid supplies shall be easily accessible when required. First-aid kits and required contents are maintained in a serviceable condition. Unit-type kits have all items in the first-aid kit individually wrapped, sealed, and packaged in comparable sized packages. The commercial or cabinet-type kits do not require all items to be individually wrapped and sealed, but only those which must be kept sterile. Items such as scissors, tweezers, tubes of ointments with caps, or rolls of adhesive tape, need not be individually wrapped, sealed, or disposed of after a single use or application. A roster, denoting the telephone numbers and addresses of doctors, hospitals and ambulance services available to the Nectar retail store, shall be posted at or near each first-aid station. Safety Rules for All Employees It is the policy of Nectar that everything possible will be done to protect employees from accidents, injuries and/or occupational disease while on the job. Safety is a cooperative undertaking requiring an ever-present safety consciousness on the part of every employee. If an employee is injured, positive action must be taken promptly to see that the employee receives adequate treatment. No one likes to see a fellow employee injured by an accident. Therefore, all operations must be planned to prevent accidents. To carry out this policy, the following rules will apply: 1. All employees shall follow the safe practices and rules contained in this manual and such other rules and practices communicated on the job. All employees shall report all unsafe conditions or practices to the proper authority, including the human resources manager/supervisor. 2. The human resources supervisor/manager shall be responsible for implementing these policies by insisting that employees observe and obey all rules and regulations necessary to maintain a safe workplace and safe work habits and practices. 3. Good housekeeping must be practiced at all times in the work area. Clean up all waste and eliminate any dangers in the work area. 4. Suitable clothing and footwear must be worn at all times, shoes with thin or torn soles are not permitted. 5. All employees will participate in safety meetings conducted by their supervisor on a regular basis to continuously provide a safe workplace for all. This is an essential part of the PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 11 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 Nectar program for protecting our employees from accidents and illness. 6. Anyone under the influence of intoxicating liquor or drugs, including prescription drugs which might impair motor skills and judgment, shall not be allowed on the job. 7. Horseplay, scuffling, and other acts which tend to have an adverse influence on safety or well-being of other employees are prohibited. 8. Work shall be well planned and supervised to avoid injuries in the handling of heavy materials and while using equipment. 9. No one shall be permitted to work while the employee's ability or alertness is so impaired by fatigue, illness, or other causes that it might expose the employee or others to injury. 10. There will be no consumption of alcohol or cannabis on the job. 11. All injuries should be reported to the Supervisor, or 911 so that arrangements can be made for medical or first aid treatment. 12. When lifting heavy objects, use the large muscles of the leg instead of the smaller muscles of the back. 13. Do not throw things, especially material and equipment. Dispose of all waste properly and carefully. PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 12 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 13 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page 14 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 CONCLUSION This report presents the fire safety plan for the proposed retail store at 1752 W Shaw Ave under consideration by Nectar Markets LLC in Fresno, CA. If a protection approach as described in these sections is employed and the facility, inventory, and arrangement is as described herein, our opinion is that the design will meet the applicable requirements and provide adequate protection in accordance with the CBC, CFC, and City of Fresno amendments. We recommend that the information in this report be discussed with the City Manager’s Office and the various Authorities Having Jurisdiction to confirm the approach. Prepared by: Reviewed by: THE FIRE CONSULTANTS, INC. THE FIRE CONSULTANTS, INC. 12/3/2020 12/3/2020 Hamed Salehi, E.I.T. Date John R. Stauder, PE Date HS/JRS 20-238/ RPHS Nectar Cannabis Retail Store Fire Plan 1752 W Shaw rev1 PROPOSED CANNABIS RETAIL STORE – FRESNO, CA 20-2388 – Page A-1 1752 W SHAW AVE FIRE SAFETY PLAN December 3, 2020 Section 5 – Security Plan Section 6 – Location The Nectar retail storefront location at 1752 W. Shaw Avenue, Fresno, CA 93711 has been selected in compliance with regulations outlined in the Fresno Municipal Code Secs. 9 -3307 & 9-3308. The following sections will provide an overview of the location specifics. Excerpts from the Company’s internal site development plan have been included in Appendix 1. Figure 1 - Nectar will transform this former Mexican restaurant into a modern storefront that is aesthetically pleasing, discreet, and powered by renewable energy to add value to the City of Fresno. 6.1 Location Summary The Premise is located at the address 1752 W. Shaw Avenue, Fresno, CA 93711. This address is located in District 2, under Council Member Mike Karbassi. The City of Fresno zone designation for the Premise is CMX. The Premise is more than 800 feet from a sensitive use and has been zoned for cannabis retail. The Premise is located along W. Shaw Avenue and N. West Street. The Premise is part of a larger shopping center and has ample parking. Nectar was able to secure eight (8) reserved parking spots directly in front of the existing entrance to the building. Besides the Company’s reserved spots there are at least twenty additional parking spaces nearby for customers to utilize. Figure 6, below, shows all parking spots available to Nectar customers. The Premises can be accessed from two (2) separate driveways along N . West Ave, and a single driveway along W. Shaw Ave. The building is 5,140 square feet and it is curre ntly designed as a Mexican restaurant. Renderings of the proposed building design have been provided in Appendix 2. 6.2 Street View Figure 2 - Street view of premises Figure 3 -Street view 2 of premises Figure 4 - Street view 3 of premises 6.3 Premises (Site) Diagram Figure 5 - Boundary Premises Sketch for retail storefront in Fresno, CA, Figure 6 – This shows the dedicated Nectar parking spaces as well as the available spaces for all plaza customers. Figure 7 - The Nectar retail storefront in Fresno, CA will feature ample parking for customers with eight (8) reserved spots. 6.3.1 Premise (Site) Diagram – To Scale The Premises includes eight (8) dedicated parking spots immediately in front of the customer entrance, as seen in Figure 6, above. Figure 10 also details the multiple access points/entrances customers have to reach the Premises within the shopping plaza from each direction. Figure 7 - Floor plan for retail storefront in Fresno, CA. **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** APPENDIX 1 – Nectar Site Plan Page 1 of 12 Appendix 1 Nectar Site Plan Figure 8 - Cover page of Nectar internal site plan approval package. These packages are utilized any time Nectar is considering a new retail location. **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** APPENDIX 1 – Nectar Site Plan Page 2 of 12 Figure 9 - The proposed location for the retail storefront is located in District 2 under City Council Member Mike Karbassi. **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** APPENDIX 1 – Nectar Site Plan Page 3 of 12 Figure 10 - The proposed location will feature three (3) access points for customers and eight (8) dedicated parking spots solely for Nectar customers. **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** APPENDIX 1 – Nectar Site Plan Page 4 of 12 **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** Figure 11 - The retail storefront will be visible from W Shaw Ave. **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** APPENDIX 1 – Nectar Site Plan Page 5 of 12 Figure 12 - Nectar utilizes market demographics to inform forecasts created by the internal Data & Analytics department to better serve the city of Fresno based on market trends. **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** APPENDIX 1 – Nectar Site Plan Page 6 of 12 Figure 13 - The retail location is in a high-traffic area which will make it easier for customers to access the Premises and leaves the potential to generate higher revenues and thus higher taxes for the City of Fresno. **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** APPENDIX 1 – Nectar Site Plan Page 7 of 12 Figure 14 - The retail storefront is located nearby restaurants and retail storefronts that attract a large volume of customers. With good visibility along W Shaw Ave, the Company will be able to increase brand awareness and name recognition as cars pass by. **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** APPENDIX 1 – Nectar Site Plan Page 8 of 12 Figure 15 - A summary of the decision logic was presented to the Nectar internal development team, CDO, CFO, and CEO prior to approval. **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** APPENDIX 1 – Nectar Site Plan Page 10 of 12 **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** APPENDIX 1 – Nectar Site Plan Page 11 of 12 **THE CONTENTS OF THIS PAGE ARE CONFIDENTIAL** APPENDIX 1 – Nectar Site Plan Page 12 of 12 Section 7 – Community Benefits and Investment Plan Nectar is an ally for social equity businesses. While not qualifying as a social equity applicant, the Company looks forward to the opportunity to work alongside these businesses and looks to incorporate social equity products into the retail supply chain and inventory. With the introduction of the Nectar CARES program in Oregon, the Company looks forward to expanding its philanthropic and community-oriented mindset to Fresno. Nectar will work alongside the City, local nonprofits, and other community-centric organizations to ensure that Nectar is doing its part to add value to the community beyond the walls of the retail establishment. 7.1 Social Responsibility Plan Nectar is committed to making a positive impact in the communities it serves. The Nectar brand stands for quality products, excellent customer service, and a drive to always get better. Nectar goes above and beyond regulatory requirements to ensure that customers of the Company are provided safe, compliant products along with an exceptional cannabis experience. The Company continues to prove its dedication to its communities through initiatives and campaigns designed to give back to the neighborhoods that Nectar serves.  Along with the Company’s efforts to preserve the quality of the community through responsible and ethical business practices, Nectar also leads initiative and events, donates to non-profits and social service organizations, and promotes positive change through its platform to add value to and positively impact the community that it serves. In pursuing Fresno as a location for a retail storefront, Nectar has highlighted a few nonprofit partners that the Company believes it can add value to through participation. The first organization that Nectar hopes to partner with is the National Diversity & Inclusion Cannabis Alliance (NDICA), a 501(c)(3) organization whose mission is, “to create an ethical and equitable cannabis industry to reduce barriers contributing to the lack of representation of those most impacted by the War on Drugs, including people of color and other marginalized community members.” (www.theNDICA.org/our-missions/) The NDICA has a local Figure 1 – Figure 2 - Nectar CARES is a community outreach program introduced in 2020 to raise funds for donation to community-focused nonprofits and organizations working to improve the quality of life for member of the community. Figure 3 - The NDICA is a 501(c)(3) that hosts expungement clinics and incubator programs to create an ethical and equitable cannabis industry. Nectar Markets, LLC Section 7 – Community Benefits and Investment Plan Page 2 of 10 Fresno chapter in which Nectar hopes to partner with to participate in expungement clinics, provide mentorship and education around commercial cannabis best practices, and provide the possibility for individuals of the marginalized and underrepresented community a potential job with room for growth in the cannabis industry. In addition to partnering on expungement clinics, industry best practices education & mentorship, and job opportunities, Nectar also looks to partner with the NDICA’s Youth Empowerment & Educational Programs. Nectar also looks to provide avenues for their employees and customers to actively support the community of Fresno. This will be done through a partnership with the Central California Food Bank (CCFB), a 501(c)(3) organization in Fresno that “Provide(s) food to more than 220 agencies in Fresno, Madera, Kings, Kern, and Tulare Counties to serve over 280,000 people each month totaling over 40 million pounds of food served in the fiscal year 2019.” (ccfoodbank.org/about-us/) Nectar would look to host fund drives and food drives in the retail shop, providing the CCFB with visibility in the community and the potential to gather more donations. Additionally, Nectar is always looking to provide its employee network with the opportunity to give back to the community through volunteering in food allocation or distribution services that benefit their communities and will continue to do so in Fresno. Nectar would also like to partner with Workforce Connection (WFC) as a potential employer for individuals going through the program. “WFC prepares the people in Fresno for careers that promote self-sufficiency, not just jobs to carry them through to the next paycheck.” With the competitive wages that Nectar offers employees, the compensation and benefits package provided, and the Company’s promote-from-within business model, a partnership between WFC and Nectar would provide the community of Fresno with a potential career and the guidance through WFC to be successful in the application process. Additionally, by partnering with WFC, the community of Fresno would get the opportunity Figure 4 - The CCFB serves meals to over 280,000 people each month. Figure 5 - Workforce Connection provides job training and placement for the underrepresented community of Fresno. Nectar Markets, LLC Section 7 – Community Benefits and Investment Plan Page 3 of 10 to learn more about the newly introduced commercial cannabis market and have the opportunity to shape an evolving industry. In addition to the benefit that the community would receive from a partnership between WFC and Nectar, this partnership would also ensure that local applicants are getting the assistance they need to be successful and are employed by Nectar. Nectar will emphasize hiring local and looks forward to the opportunity to meet new employees and develop working relationships with the WFC. Another volunteer opportunity that the Company would like to provide its employee’s is the opportunity to participate in the Park Beautification Weekly Cleanups organized by the City of Fresno Parks, After School, Recreation & Community Services. With the City of Fresno seeking out volunteers every weekend, the Nectar internal events team will relay this information to employees, increasing visibility of the Park Beautification program. Additionally, the company will seek to develop company events based around the Park beautification to increase the number of volunteers and ultimately add value to the community of Fresno. Nectar CARES Fundraising Campaign to Support Fresno Community Oriented Programs The Nectar CARES program has been a great success in the Company’s retail store, resulting in large cash donations to local nonprofits and community centric organizations. Nectar is eager to introduce the Nectar CARES program to the city of Fresno. The proven fund-raising model has found success in raising funds for the ACLU Oregon, the Oregon Justice Resource Center, & Don’t Shoot PDX resulting in a has been donated and the remaining is allocated for donation in January 2021.) by donating a portion of revenues earned in the retail storefront. Since then, a second Nectar CARES campaign supported the Wounder Warriors Project on Veterans day (November 11th. 2020). The Company values the ways in which these organizations contribute to bettering the lives of community members and is excited for the opportunity to do good in Fresno. The following organizations have been selected by the Company as partners for Nectar CARES Campaign. Additionally, the Company would like to invite any organization that is serving the community of Fresno to reach out to the company’s Marketing and Events Department representative, Amy Bohannan with their contact information, a short description of the organization and the value it adds to the City of Fresno, as well as a plan for what the donated funds will be utilized for and its added value to the citizens of Fresno. Ms. Bohannan has been instrumental in initiating, managing, and executing Nectar CARES campaigns and the company is fortunate to have her talents, passion, and dedication to serving the communities where Nectar operates. Figure 6 - Fresno Parks, After School, Recreation & Community Services holds weekly volunteer clean up events in which Nectar employees will help preserve the beauty and resources of Fresno Nectar Markets, LLC Section 7 – Community Benefits and Investment Plan Page 4 of 10 A full description of the Nectar CARES program can be found in Appendix 1. Below are non- profit groups Nectar has identified as possible partners to work with in the City of Fresno. I. Fresno Area Hispanic Foundation (FAHF) The Fresno Area Hispanic Foundation was founded in 2001 by local business owners to meet the needs of an ever-growing Hispanic business community. Since then, the FAHF has developed strategy and policies to better serve all Spanish and English-speaking business owners interested in the welfare of the Fresno-area Hispanic Community. Nectar promotes this cause for its dedication to increasing diversity, equity, and inclusion in business in Fresno by supporting Hispanic small business owners who traditionally haven’t received support for their initiatives. The Nectar CARES campaign would raise funds to support the programs managed by FAHF with the purpose of aiding and supporting the community of Hispanic Business Owners. Specifically, Nectar would like to donate to the FAHF Micro-Loan Program and Latinapreneur/Womanpreneur programs. The Micro-Loan program is based on the principles of micro-loans made famous by Nobel Peace Prize Winner, Muhammad Yunus and the Grameen Bank, where they successfully introduced micro-loans to an impoverished community and with the entrepreneurs experiencing great success and the community prospering from microfinance and microloans. This financial model creates a shared value to the community where funds support a small business owner that traditionally wouldn’t qualify for a loan and provides them with necessary financial support to better serve the community of Fresno. Shared value is efficient and equitable, and Nectar looks to promote champions of shared value. By donating funds raised in a Nectar CARES Campaign, Nectar will provide the FAHF with the ability to better server aspiring Hispanic entrepreneurs in their goal of better serving the community of Fresno to earn success in the business market. A separate donation will be made to the FAHF Latinapreneur/Womanpreneur program. This program consists of eight (8) workshop designed for woman entrepreneurs who want to grow their business and develop a strategic marketing plan. Nectar has multiple women in leadership and management positions throughout operations in Oregon and will maintain and continue to increase the level of diversity, equity, and inclusion within the workplace and larger cannabis industry as a whole. This donation would present the Latinapreneur/Womanpreneur program with additional funding to promote the program as well as funding to invest into the program to enhance the experience for all members. Nectar is proud to support a group that is looking to support business owners that have traditionally been underrepresented in the market. II. Fresno Fire Chief Foundation (FFCF) Figure 7 - The Fresno Area Hispanic Foundation is a business incubator designed to support Hispanic business in Fresno Nectar Markets, LLC Section 7 – Community Benefits and Investment Plan Page 5 of 10 The Fresno Fire Chief Foundation was created in 2004 by members of the Fresno Fire Department (FFD) and caring community leaders to address the unmet needs of fire prevention and safety education through community outreach. The FFD has managed and executed the Central California Burn Aware program since 1985. This program is an assembly-based format providing fire safety education to the first (1st) through third (3rd) grade students of Fresno. With the devastation caused by the fires all along the West Coast, fire safety is more important than ever, and Nectar wants to support the FFCF in its outreach efforts. The Nectar CARES campaign funding would provide the FFCF the ability to invest more into their community outreach and better serve the youth of Fresno. In addition to the Burn Aware program, the FFCF also hosts an annual Girls Empowerment Camp in which fifty (50) young women (Age 14-18) are provided hands on training with actual firefighting tools, equipment, and classroom instruction administered by the Fresno Fire Department. This program aims to support young women in their pursuit of a career with the Fire service, to increase workforce diversity and gender equity in the Fresno Fire department. As mentioned previously, Nectar loves to promote champions of diversity, equity, and inclusion such as the FFCF Girls Empowerment Camp. The Nectar CARES campaign will provide funding to support the teachers of the Empowerment camp, purchase better equipment for hands-on training, and perhaps even increase the total number of participants form the current standing of fifty (50). In Oregon, Nectar has donated to multiple organizations with programs to serve the youth. An example is Portland based nonprofit, Friends of The Children. This nonprofit seeks to impact generational change by empowering youth who are facing the greatest obstacles through relationships with professional mentors. The FFCF Girls Empowerment Camp combines youth with professional mentors to provide good role models for the youth of the community. Nectar values these youth-oriented programs and will continue to seek out partnerships in Fresno that cater to the development of local youth. III. Fresno/Madera Toys for Tots (MCL Det 14) The Fresno/ Madera Toys for Tots program provides gifts to the less fortunate children in the community of Fresno during the holiday season. The program is managed by the Marine Corps League Fresno Detachment 014 who supported 43,902 children in Fresno in 2019 by distributing 59,742 toys. Nectar will look to support the Toys for Tots program by placing toy donation bins at the retail storefront as well as managing a nectar CARES campaign to fundraise for the organization. Nectar can’t wait to support the Toys for Tots program and get toys to the less fortunate children in the community of Fresno. Figure 8 - The Burn Aware program managed by the FFCF, has provided fire safety education to the youth of Fresno since 1985. Figure 9 - The 2019 Fresno/ Madera Toys for Tots program brought 59,742 toys to 43,902 less fortunate children in Fresno for the holidays. Nectar Markets, LLC Section 7 – Community Benefits and Investment Plan Page 6 of 10 IV. Central Valley Veterans (CVV) The Central Valley Veterans is a 501(c)(3) that strives to respond to the emergency needs of local (Fresno) veterans, service members, and their families to fill in gaps that aren’t fulfilled by other veterans’ organizations due to program restrictions. Examples of the CVV service are showcased in the organization sponsored holiday meal delivery service to. Veterans and the “To the Mat” scholarship project which was created in memory of Mat Conway, U.S. Army Veteran and father of 2. Mr. Conway after being honorably discharged for medical reasons was a student at the University of Phoenix -Fresno, studying to be a School Counselor. In this pursuit, Conway made friends and formed a study group with five other students. Conway would create schedules for projects assigned to the group and would hold everyone accountable. Sadly, days before their final class, Mr. Conway passed away. In Mr. Conway’s honor the CVV developed the “To the Mat” scholarship program to support active duty, guard, reserve, and veteran children. Nectar would love to support both the holiday meal delivery program and the “To the Mat” Scholarship program. The Company will host a volunteer event in which employees and community members can sign up to participate in the home delivery drive. The CVV would gain increased community awareness and outreach through the reach of a Nectar retail storefront, ultimately contributing to success in the holiday meal delivery program. For the “To the Mat” program, the Company will host a Nectar CARES campaign in which a portion of the revenue will be a direct donation to the fund, allowing the CVV to donate more to a deserving child of a veteran in Fresno. Nectar recently partnered with the Wounded Warrior Project, resulting in a Veteran’s day fundraiser of over . Nectar is a supporter of those who have served for us and looks forward to opportunity to work with the community of Veterans in Fresno. Figure 10 - The Central Valley Veterans program supports Fresno Veterans in ways that other Veterans organizations can't. Additionally, the CCV provides academic scholarships to children of Veterans with the "To the Mat" scholarship program in honor of Mat Conway, Fresno local and U.S. Army Veteran. Nectar Markets, LLC Section 7 – Community Benefits and Investment Plan Page 7 of 10 V. Membership – Fresno Chamber of Commerce In addition to the multiple Nectar CARES campaigns, the Company will also look to acquire membership in the Fresno Chamber of Commerce. Nectar wants to be active in the community of Fresno and with membership in the Fresno Chamber of Commerce, the Company will be able to participate in law making by sharing concerns and providing insight into commercial cannabis regulation and best practices based on the company’s six years of experience in Oregon. This will be a mutually beneficial opportunity in which Nectar will be provided an avenue to share its cannabis experience and where Fresno and the Chamber of Commerce will have a highly experienced organization in which they can partner. Nectar looks to share its knowledge of the commercial cannabis market to create more revenue for the City of Fresno to utilize to enhance the quality of life for all community members. Nectar is already an active member of both the Gresham Chamber of Commerce and the Beaverton Chamber of Commerce in Oregon and intends to offer the same commitment to the City of Fresno. 7.1.1 Expungement Clinics Nectar is an active member of the Oregon Cannabis Association (the “OCA”) and Jeremy Pratt serves as an elected member of the OCA’s board. Through the OCA, Nectar has helped fund, organize, and run expungement clinics in Oregon since 2016. Nectar will look to continue this practice of expungement clinics and outreach services through in the City of Fresno either on its own or through a partnership with the National Diversity & Inclusion Cannabis Alliance’s (NDICA) Fresno Chapter. NDICA already holds experience with hosting expungement clinics and providing mentorship to the underserved and marginalized community as they enter the cannabis industry. The partnership would serve as the first step in beginning to make up for the damage caused by the War on Drugs in America, providing impacted individuals with the ability to apply for loans, housing, and jobs that they would not be eligible for without expungement. Nectar believes in this mission and wants to continue these efforts in all communities Nectar serves. This work may also provide these individuals with the possibility for employment with Nectar, a cannabis company with a promote-from-within business model. This provides an individual with a direct opportunity to become active in the cannabis industry and learn from a retailer that has had proven success in the field. Figure 11 - The Fresno Chamber of Commerce serves as the catalyst that helps industry grow in Fresno. Nectar is excited to offer its cannabis industry acquired in Oregon over the past six years to provide insight as the cannabis industry emerges in Fresno. Nectar Markets, LLC Section 7 – Community Benefits and Investment Plan Page 8 of 10 7.1.2 Sustainable Business Model All Nectar facilities are powered by 100% renewable energy, to reduce greenhouse gas emissions and provide carbon offsets. Each location is powered by pollution-free, renewable resources that offset conventional energy generation. In Fresno, the Company will add solar to the existing building and install Tesla Powerwalls. The Tesla Powerwalls provide Nectar with the unique ability to utilize solar energy stored during peak sun to power the retail store during when needed. The Solar panels and Tesla Powerwalls will be purchased, installed, and maintained by local Fresno business, SunPower by Quality Home Services. SunPower by Quality Home Services is a 2019 Distinguished Winner of the Better Business Bureau’s Ethics Award for Marketplace Excellence” and a member of the Fresno Chamber of Commerce. Nectar is committed to utilizing the services of Fresno business to implement innovative technology in the retail storefront to reduce the Company’s carbon footprint. In addition to the retail storefront being powered by solar and Tesla Powerwalls, the Nectar retail location in Fresno will feature a cannabis packaging recycling program. To reduce the amount of waste the cannabis industry produces; Nectar welcomes all patrons to return empty containers to the retail store for recycling. Currently, Nectar cannot accept cartridges or extract containers under state regulation. 7.1.3 Zoning The specified location for the Nectar retail site, 1752 W. Shaw Avenue, Fresno, CA 93711 does meet the qualifying criteria of vacant buildings based on the definition outlined in the Fresno Municipal Code section 10-603(o). The building was formerly occupied by Los Amigos Mexican restaurant but has been sitting vacant approximately since December 2019. This Nectar location Nectar Markets, LLC Section 7 – Community Benefits and Investment Plan Page 9 of 10 will renovate an unused building and turn it into a vital, active part of the local community. Nectar’s proposed site design will give the area a modern, updated appearance which will add to the neighborhoods visual appeal to both nearby residents and those driving through. Figure 12 - City of Fresno Zoning GIS Map. The proposed location is zoned CMX, in District 2 under Council Member Mike Karbassi. 7.2 Public Health Outreach & Educational Programs The Company’s PR team will work in collaboration with the Compliance and Human Resources Department to develop physical assets in the forms of pamphlets and flyers to be displayed and available at all retail locations and will be printed by local Fresno business Dumont Printing, located at 1333 G Street, Fresno, CA 93706. These assets will detail the importance of keeping children off of cannabis, the risks of cannabis usage amongst youth, proper cannabis storage, and identifies resources available for youth struggling with drugs and drug addiction. This physical asset will specifically mention local nonprofit, Family & Youth Alternatives, located at 2550 W Clinton Ave, Building B Room 128, Fresno, CA 93705. This organization offers substance abuse treatment through three different services: Juvenile Drug Court and Post-Release Outpatient, Nectar Markets, LLC Section 7 – Community Benefits and Investment Plan Page 10 of 10 which are court ordered programs, and Outpatient Drug Free, which is available to any adolescent who wants to attend. 7.3 Fresno Community Reinvestment Fund The Company plans to contribute to the Fresno Community Reinvestment Fund in the form of a donation of , or one percent (1%) of revenue annually, whichever is greater. In addition to this financial commitment, Nectar will look to host workshops in which the Company will provide insight into successful retail best practices and create shared value in the community of Fresno by providing valuable information to the community and creating a more cannabis- informed talent pool. INDEMNIFICATION AND HOLD HARMLESS AGREEMENT FOR COMMERCIAL CANNABIS BUSINESS PERMIT APPLICATION To the fullest extent permitted by law, the City of Fresno (City) shall not assume any liability whatsoever with respect to having issued a commercial cannabis business permit pursuant to Fresno Municipal Code Section. 9-3333 or otherwise approving the operation of any commercial cannabis business or cannabis retail business. In consideration for the submittal of an application for a commercial cannabis business permit application and/or issuance of a cannabis business permit, and to the furthest extent allowed by law, Applicant does hereby agree to indemnify, hold harmless and defend the City and each of its officers, officials, employees, agents and volunteers from any and all loss, liability, fines, penalties, forfeitures, costs and damages (whether in contract, tort or strict liability, including but not limited to personal injury, death at any time and property damage) incurred by City, Applicant or any other person, and from any and all claims, demands and actions in law or equity (including reasonable attorney's fees and litigation expenses), arising or alleged to have arisen directly or indirectly out of the issuance of a cannabis business permit. Applicant’s obligations under the preceding sentence shall not apply to any loss, liability, fines, penalties, forfeitures, costs or damages caused solely by the gross negligence, or caused by the willful misconduct, of City or any of its officers, officials, employees, agents or volunteers. Applicant must, at the time of permit issuance, maintain insurance at coverage limits and with conditions thereon determined necessary and appropriate from time to time by the City Manager. Applicant shall conduct all defense at his/her/its sole cost. The fact that insurance is obtained by Applicant shall not be deemed to release or diminish the liability of Applicant, including, without limitation, liability assum ed under this Agreement. The duty to indemnify shall apply to all claims regardless of whether any insurance policies are applicable. The duty to defend hereunder is wholly independent of and separate from the duty to indemnify and such duty to defend exists regardless of any ultimate liability of Applicant. The policy limits do not act as a limitation upon the amount of defense and/or indemnification to be provided by Applicant. Approval or purchase of any insurance contracts or policies shall in no way relieve from liability nor limit the liability of Applicant, its officials, officers, employees, agents, volunteers or invitees. City shall be reimbursed for all costs and expenses, including but not limited to legal fees and costs and court costs, which the city may be required to pay as a result of any legal challenge related to the city's approval of the applicant's commercial cannabis business permit. The City may, at its sole discretion, participate at its own expense in the defense of any such action, but such participation shall not relieve any of the obligations imposed hereunder. This Indemnification and Hold Harmless Agreement shall survive the expiration or termination of the Application and/or Permit. The undersigned acknowledges that he/she (i) has read and fully understands the content of this Indemnification and Hold Harmless Agreement; (ii) is aware that this is a contract between the City and Applicant; (iii) has had the opportunity to consult with his/her attorney, in his/her discretion; (iv) is fully aware of the legal consequences of signing this document; and (v) is the Applicant or his/her/its authorized signatory. Signed on this day of 2020. Applicant Signature City Employee Signature Print Name and Company Name Print Name Address Title Telephone Number Telephone Number Jeremy Pratt Nectar Markets, LLC 18066 NE Airport Way, Portland, OR 97230 503-805-7523 4 December DocuSign Envelope ID: 6244C554-657C-4F5A-AB3B-18A5E7D40B2D LETTER OF INTENT November 20, 2020 Nectar Markets, LLC Attn: Jeremy Pratt 18066 NE Airport Way Portland, OR 97230 RE: Letter of Intent to Lease – 1752 W Shaw Avenue, Fresno, CA 93711 Dear Jeremy: At this time JJS Holdings LLC (“JJS”) would like to present the following terms and conditions for a new lease agreement:. Property: Approximately 5,140 SF space (the “Space”) located at 1752 W Shaw Avenue, Fresno, CA 93711 (the “Property”). Landlord: JJS Holdings, LLC Tenant: Nectar Markets, LLC Use: Tenant shall be permitted to use the Premises for any lawful use. Term: Sixty Two (60) months from Effective Date. Base Rent: Approximately per month plus additional NNN Rent Increases: Commencing the 12th month, the monthly rate shall be increased by two percent (2%). Options: Five (5) renewal options of five (5) years for each option term. NNN Expenses: Tenant shall repair and maintain the Property and Building, and pay Tenants’ taxes, utilities, and insurance. Please include an estimate of first year project expenses to your proposal. Lease Term Effective Date: Upon receipt of license approval from the State of California to operate Rent Commencement: Upon receipt of license approval from the State of California to operate DocuSign Envelope ID: 76AB092B-9095-4E60-8061-7E5DCE521072 2 Tenant Improvements: Tenant shall accept the Premises as-is and may improve the Premises as needed for Tenant use. Tenant will provide Landlord with its plans for their review prior to submitting for building permit. Parking: Please define the parking allocation associated with this space. Signage: Tenant shall be allowed to place its signage on the Building, as permitted by governing authorities. Lease Form: Landlord will provide Tenant with draft lease for review. Confidential: All parties agree to keep all information regarding this Proposal and all subsequent proposals confidential, and will not disclose this information in the marketplace. Landlord agrees to keep confidential any information it learns about Tenant in the course of discussions concerning this Proposal. It is understood and agreed that the foregoing constitutes a Letter of Intent setting forth the major business points from our discussions. It is further understood that neither party intends to create any contractual rights or obligations as a result of entering into this Letter of Intent. No binding agreement or rights or obligations shall arise as the result of executing this letter or with respect to the proposed transactions, unless and until we execute definitive documentation incorporating the above provisions and other appropriate terms, except with respect to the provisions contained herein above relating to confidentiality. Despite the foregoing, it is understood and agreed that this non-binding Letter of Intent binds the parties to negotiate in good faith for a period of at least 10 days. Thank you for your time and consideration. Sincerely, Michael Olson, Manager JJS Holdings DocuSign Envelope ID: 76AB092B-9095-4E60-8061-7E5DCE521072 PLANNING AND DEVELOPMENT DEPARTMENT 2600 Fresno Street • Third Floor Jennifer K. Clark, AICP, Director Fresno, California 93721-3604 (559) 621-8277 FAX (559) 498-1026 November 25, 2020 Please reply to: Marisela Martínez (559) 621-8038 Mat Cleary Nectar Markets, LLC 18066 NE Airport Way Portland, OR 97230 m.cleary@nectarpdx.com Dear Applicant: SUBJECT: ZONING INQUIRY NUMBER P20-04345 REQUESTING INFORMATION REGARDING CANNABIS RETAIL FOR PROPERTY LOCATED AT 1752 WEST SHAW AVENUE (APN 417-270-28) Thank you for your inquiry regarding the allowance of new cannabis retail uses. The requested information about cannabis retail uses was analyzed using Article 27, Chapter 15 of the Fresno Municipal Code (FMC) of the City of Fresno. Please note, all research for this inquiry is based on existing land development of the subject property. If there are multiple buildings on the subject property, this research was based on the address provided in the request. This research does not take into effect of future development unless provided in your application request. With that, research of a proposed cannabis retail business on the subject property conveys the following: 1. All cannabis retail businesses must be located on property zoned DTN (Downtown Neighborhood), DTG (Downtown General), CMS (Commercial Main Street), CC (Commercial Community), CR (Commercial Regional), CG (Commercial General), CH (Commercial Highway), NMX (Neighborhood Mixed- Use), CMX (Corridor/Center Mixed-Use), RMX (Regional Mixed-Use), and must meet all of the requirements for development in these zones, including, but not limited to, parking, lighting, building materials, etc. The subject property is zoned CMX, which is one of the allowable zone districts for cannabis retail businesses. Development standards of the CMX zone district are available in Sections 15-1103, 15-1104, and 15-1105 of the FMC. The subject location meets the zone district requirement, per Section 15- 2739.B.1.a of the FMC, for a cannabis retail business. 2. All building(s) in which a cannabis retail business is located shall be no closer than 800 feet from any property boundary containing the following: (1) A cannabis retail business; (2) A school providing instruction for any grades pre- school through 12 (whether public, private, or charter, including pre-school, transitional kindergarten, and K-12); (3) A day care center licensed by the state Zoning Inquiry P20-04345 1752 West Shaw Avenue Page 2 November 25, 2020 Department of Social Services that is in existence at the time a complete commercial cannabis business permit application is submitted; and, (4) A youth center that is in existence at the time a complete commercial cannabis business permit is submitted. The subject property is not located within 800 feet of the property boundary of any of the above-mentioned uses. The subject building meets the separation requirements, per Section 15-2739.B.1.b of the FMC, for a cannabis retail business. 3. Prior to commencing operations, a cannabis retail business must obtain a Cannabis Conditional Use Permit from the Planning and Development Department per Section 15-2739.N of the FMC. 4. No more than two cannabis retail businesses may be located in any one Council District. If more than 14 are ever authorized by Council (more than two per Council District), they shall be dispersed evenly by Council District. The subject property is in Council District 2. There are currently no cannabis retail businesses located in Council District 2. This location requirement is satisfied for a cannabis retail business. Please review the entirety of Article 33, Chapter 9 (Cannabis Retail Business and Commercial Cannabis), and Section 15-2739 (Adult Use and Medicinal Cannabis Retail Business and Commercial Cannabis Business) of the FMC to understand other requirements of cannabis retail businesses, including but not limited to, application requirements, signage, etc. This information was researched by the undersigned per the zoning request. The undersigned certifies that the above information contained herein is believed to be accurate and is based upon, or relates to, the information supplied by the requestor. The City of Fresno assumes no liability for errors and omissions. All information was obtained from public records held by the Planning and Development Department. A copy of the Fresno Municipal Code may be obtained by contacting the City Clerk’s office at 559-621-7650. The Fresno Municipal Code may also be searched on the Internet, free of charge, by going to www.fresno.gov. If you have questions regarding this matter, please contact me by telephone at 559-621-8038 or at Marisela.Martinez@fresno.gov. Cordially, Marisela Martínez, Planner I Development Services Division Planning and Development Department