Loading...
HomeMy WebLinkAboutC-20-13 The Green Habit Inc RedactedApplicant (Entity) Information Application Type Proposed Location Commercial Cannabis Business Permit Application C-20-13 Submitted On: Dec 03, 2020 Applicant Omar Alghazali 5594779007 Applicant (Entity) Name: The Green Habit, Inc DBA: -- Physical Address: 2434 N Weber Ave City: Fresno State: CA Zip Code: 93705 Primary Contact Same as Above? Yes Primary Contact Name: Omar Alghazali Primary Contact Title: Owner Primary Contact Phone: 559-477-9007 Primary Contact Email:HAS ANY INDIVIDUAL IN THIS APPLICATION APPLIED FOR ANY OTHER CANNABIS PERMIT IN THE CITY OF FRESNO?: Yes 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: S-Corporation Property Owner Name: DE SANTIS PASQUALE & CARMELA TRUSTEES % PAT DESANTIS Proposed Location Address: 2434 N Weber Ave City: Fresno State: CA Zip Code: 93705 Property Owner Phone: 559-299-9836 Property Owner Email: Assessor's Parcel Number (APN):Proposed Location Square Footage: Owner State: CA Owner Zip: 93705 Has Owner Completed Background Check Application? Yes Ownership Percentage (%): 100                                                                  !        !  "              #$% & '('(       )   #%*    +, - #%*   . $            )   #% $ /        )    $                                    !    " # $ %&&'()(  * ++,+-,'-'-          .$ /       * /                               !"!  #   $  %      &"'( )           * +      !"!  #   $  %      &"'( )       " +    $  ,  $  +  -  + .  !"!  #   $  %      &"'( )       !   "/// 0 ,           + +  1  2     $ 1  2   1  + .           3 2            4+       1                   1                                         0    $ 1*%)23&                UVe bi]file.VoV.ca.goY foU online filingV, VeaUcheV, bXVineVV UecoUdV, and UeVoXUceV.   DEPARTMENT OF THE TREASURY INTERNAL REVENUE SERVICE CINCINNATI OH 45999-0023 Date of this notice: 11-23-2020 Employer Identification Number: Form: SS-4 Number of this notice: CP 575 A GREEN HABIT INC 2434 N WEBER AVE FRESNO, CA 93705 For assistance you may call us at: 1-800-829-4933 IF YOU WRITE, ATTACH THE STUB AT THE END OF THIS NOTICE. WE ASSIGNED YOU AN EMPLOYER IDENTIFICATION NUMBER Thank you for applying for an Employer Identification Number (EIN). We assigned you EIN 85-4011157. This EIN will identify you, your business accounts, tax returns, and documents, even if you have no employees. Please keep this notice in your permanent records. When filing tax documents, payments, and related correspondence, it is very important that you use your EIN and complete name and address exactly as shown above. Any variation may cause a delay in processing, result in incorrect information in your account, or even cause you to be assigned more than one EIN. If the information is not correct as shown above, please make the correction using the attached tear off stub and return it to us. Based on the information received from you or your representative, you must file the following form(s) by the date(s) shown. Form 1120 04/15/2021 If you have questions about the form(s) or the due date(s) shown, you can call us at the phone number or write to us at the address shown at the top of this notice. If you need help in determining your annual accounting period (tax year), see Publication 538, Accounting Periods and Methods. We assigned you a tax classification based on information obtained from you or your representative. It is not a legal determination of your tax classification, and is not binding on the IRS. If you want a legal determination of your tax classification, you may request a private letter ruling from the IRS under the guidelines in Revenue Procedure 2004-1, 2004-1 I.R.B. 1 (or superseding Revenue Procedure for the year at issue). Note: Certain tax classification elections can be requested by filing Form 8832, Entity Classification Election. See Form 8832 and its instructions for additional information. IMPORTANT INFORMATION FOR S CORPORATION ELECTION: If you intend to elect to file your return as a small business corporation, an election to file a Form 1120-S must be made within certain timeframes and the corporation must meet certain tests. All of this information is included in the instructions for Form 2553, Election by a Small Business Corporation. (IRS USE ONLY) 575A 11-23-2020 GREE B 9999999999 SS-4 If you are required to deposit for employment taxes (Forms 941, 943, 940, 944, 945, CT-1, or 1042), excise taxes (Form 720), or income taxes (Form 1120), you will receive a Welcome Package shortly, which includes instructions for making your deposits electronically through the Electronic Federal Tax Payment System (EFTPS). A Personal Identification Number (PIN) for EFTPS will also be sent to you under separate cover. Please activate the PIN once you receive it, even if you have requested the services of a tax professional or representative. For more information about EFTPS, refer to Publication 966, Electronic Choices to Pay All Your Federal Taxes. If you need to make a deposit immediately, you will need to make arrangements with your Financial Institution to complete a wire transfer. The IRS is committed to helping all taxpayers comply with their tax filing obligations. If you need help completing your returns or meeting your tax obligations, Authorized e-file Providers, such as Reporting Agents (payroll service providers) are available to assist you. Visit the IRS Web site at www.irs.gov for a list of companies that offer IRS e-file for business products and services. The list provides addresses, telephone numbers, and links to their Web sites. To obtain tax forms and publications, including those referenced in this notice, visit our Web site at www.irs.gov. If you do not have access to the Internet, call 1-800-829-3676 (TTY/TDD 1-800-829-4059) or visit your local IRS office. IMPORTANT REMINDERS: * Keep a copy of this notice in your permanent records. This notice is issued only one time and the IRS will not be able to generate a duplicate copy for you. You may give a copy of this document to anyone asking for proof of your EIN. * Use this EIN and your name exactly as they appear at the top of this notice on all your federal tax forms. * Refer to this EIN on your tax-related correspondence and documents. If you have questions about your EIN, you can call us at the phone number or write to us at the address shown at the top of this notice. If you write, please tear off the stub at the bottom of this notice and send it along with your letter. If you do not need to write us, do not complete and return the stub. Your name control associated with this EIN is GREE. You will need to provide this information, along with your EIN, if you file your returns electronically. Thank you for your cooperation. (IRS USE ONLY) 575A 11-23-2020 GREE B 9999999999 SS-4 Keep this part for your records. CP 575 A (Rev. 7-2007) ---------------------------------------------------------------------------------------------- Return this part with any correspondence so we may identify your account. Please CP 575 A correct any errors in your name or address. 9999999999 Your Telephone Number Best Time to Call DATE OF THIS NOTICE: 11-23-2020 ( ) - EMPLOYER IDENTIFICATION NUMBER: _____________________ _________________ FORM: SS-4 NOBOD INTERNAL REVENUE SERVICE GREEN HABIT INC CINCINNATI OH 45999-0023 2434 N WEBER AVE FRESNO, CA 93705 DocuSign Envelope ID: 65F8EF0B-2864-4072-9409-FA8A024E282B Pat DeSantis, Trustee Post Office Box 3377, Fresno, CA 93650 | 559-299-9836 | dpigroupllc@sbcaglobal.net Date: 10/15/2020 Letter of Intent to Lease Proposed Location: 2434 N. Weber, Fresno, CA 93705 Please find summarized below some of the essential terms upon which Green Habit, INC, a California Company, willing to enter lease negotiations with Pat DeSantis. “Landlord" for space in the above-referenced retail location. Obviously, not all of the essential terms required for a lease are contained herein. Additional items may arise if our discussions continue. This letter is not intended to bind any of the persons or entities referred to herein to either conduct negotiations for or enter into a lease. No person or entity referred to in this letter shall have any rights against or obligations to the other unless and until a fully executed lease has been entered into and delivered to the Tenant Tenant: Green Habit, Inc. Use of Premises: A Cannabis Retail Store Premises Location: 2434 N. Weber, Fresno CA 93705 APN # of Location: 442-212-49 Square Footage: 2,800 Sq Ft Lease Term: Six (6) Months Option Term: 2 - Five (5) year options Minimum Monthly Base Rent: er month for 6 months, commencing November 1, 2020 Option Term Rent: (1) First Option:ommencing May 1, 2021 (5% Annual Base Rent increase thereafter) CAM, Taxes, & Insurance Charges (NNN): per month/Prop Rata Share, Adjusted annually Percentage Rent: N/A Security Deposit: payable at the time of signing Letter of Intent NON-REFUNDABLE Prepaid Rent: Equal to one month’s minimum rent and NNN charges, to be applied to the first month’s minimum rent and other charges that are due following the Rent Commencement Date. DocuSign Envelope ID: 65F8EF0B-2864-4072-9409-FA8A024E282B Insurance Limits: Per Standard Lease Requirements Turnover Date of Premises: November 20, 2020 Condition of Premises Landlord agrees to deliver the Premises to the Tenant in “AS-IS, WHERE-IS Condition”, with the exception of the following: Upon 60 days of the turnover date, Landlord shall cause the roof to be in leak free condition. . Improvement Allowance: Tenant’s Construction: Tenant shall be responsible for the design and construction of its store. One Year Exit Option: N/A Assignment / Subletting: Signs and Advertising: Lease Form: Landlord’s Standard Lease Form. Should the above general understanding meet with your approval, please execute and return a fully executed copy of this proposal to me and have the Landlord prepare the lease document for Tenant’s review. AGREED AND ACCEPTED: LANDLORD: TENANT: By: By: Printed Name: Pat DeSantis Title: Trustee for DeSantis Family Trust 11/21/2020 Date: Phone Printed Name: Omar Alghazali Title: CEO 11/20/2020 Date: Phone: Address: P O Box 3377, Fresno CA 93650 Address: Email: Email: Zoning Inquiry P20-04362 2434 North Weber 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 1. There are currently no cannabis retail businesses located in Council District 1. 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 Page 7 of 8 Important Messages - Please Read We want to make sure you stay up-to-date on changes, reminders, and other important details that could impact you. Our Deposit Agreement and Disclosures were updated to include recordkeeping requirements for Federal Deposit Insurance Corporation (FDIC) insurance coverage. These requirements apply to deposit accounts opened on behalf of beneficial owners (for example, as a trustee). For more details, please review the "Special Provisions for Pass-Through Accounts" section of our Deposit Agreement at bankofamerica.com/depositagreement. GREEN HABIT INC 1.5 HOURS OF OPERATION/ OPENING AND CLOSING PROCEDURES Hours of Operation: Sunday - Saturday (7 days a week), 9:00 am – 9:00 pm Opening Procedures: ROLES • 4 Budtenders • 1 Receptionist • 1 Assistant Manager • 1 Manager • 2 Security Guards TIMING Every day, all eight employees are to arrive at the facility by 8:00am, one hour before the store opens to customers/patients; so, all procedures set forth in the following plan will take place seamlessly. PURPOSE The opening process starts the moment a Manager or Store Lead unlocks the front door and ends when the store opens for that day’s business. Opening is one of the times of greatest risk for dispensaries, so Green Habit has created standard operating procedures (SOP) on entering the building and preparing for the day, including counting cash, preparing products, cleaning, and auditing. Green Habit has gone to great lengths to develop these procedures not only because failing to properly conduct opening tasks is a compliance issue, but even more it is a safety issue for our employees and store. This SOP details every step in the opening process, including unlocking the door, stocking products, preparing drawers/workstations, and welcoming the first customers of the day. GREEN HABIT INC Note: Prior to Green Habit’s official Grand Opening, ownership will create opening checklists per role, so that employees will be able refer to them. The checklists will be made available in several formats for the convenience of the employees, including a printed/laminated sheet and Google document. There is presently exploration of a third-party system requiring photo proof of task completion. MANAGER: OPENING PROCESS This process outlines Manager responsibilities at opening, with a focus on back of house. 1. The Opening Manager is to arrive 10 minutes before Budtenders arrive to handle all money tasks and have the safe open for as short a time as possible. 2. Go to the (TBD) location and audit the safe to ensure the amounts match what was recorded during the prior evening’s audit. Upon approval of this application for a cannabis permit by the City of Fresno, specific information will be added about what to count, how to record, etc. If the safe purchased has a delay, Green Habit will account for that here too. 3. Check cameras every 5 minutes to ensure nothing looks suspicious. 4. Prepare drawers with starting amount in varying denominations. Make sure every drawer has enough change. 5. As other employees arrive, Opening Manager must ensure that “Entering the Building Process” (see below) is conducted before the Security Guard let all other employees in. 6. Budtenders will come grab their drawers; they will count their drawers to ensure the correct starting amount. 7. If the store has any nearly expired products to discount, bring them out onto the sales floor and notify Budtenders. 8. If there are any code-based or new specials for the day, Manager will print out a cheat- sheet for Budtenders with the code and details of the special. 9. Divvy up opening tasks with Budtenders using appropriate checklists. 10. Schedule lunches and breaks scheduled around slower periods of business. 11. Have a team huddle to start the day. GREEN HABIT INC 12. Five minutes before opening, ensure Receptionist, Budtenders, and all customer-facing spaces are clean, stocked, and ready for the day. Also ensure every employee has their badge visible. 13. At opening time, unlock the front door and welcome any waiting customers. BUDTENDER: OPENING PROCESS This process outlines Budtender responsibilities at opening, with a focus on the Bud Room. 1. Turn on all computers and navigate to POS (Flowhub Cashier). 2. Turn on any other tech including music, televisions, and kiosks. 3. Go to the Manager and get their drawer a) Count drawer to ensure the correct starting denomination. b) If any change is needed, Budtender will inform the Manager. c) Put drawer into the till. d) Budtender assigns the drawer to his/her name in Flowhub. e) Log into the POS system on the computer. 4. Bring products out to the Bud Room. (Upon approval from the City of Fresno, ownership will outline exactly what products must be brought out in the morning, where they are stored overnight, and other pertinent details, like what cases get unlocked.) 5. Ensure all products are stocked based on expected sales for that day. Aim to have enough product stocked to get through at least mid-day. 6. Refresh bud pods. If jars were cleaned the night before, fill and label as appropriate. If not cleaned, ensure the flower is fresh, fragrant, correctly labeled, and free from dust/debris. 7. Ensure the checkout area is clean, tidy, and well-stocked. 8. Ensure the Bud Room is clean and tidy. Spot clean any areas missed by closing staff. 9. Fifteen (15) minutes before opening, you must be done with opening tasks and ready to start helping customers. Ensure your badge is visible. 10. Throughout the day: a) Package up cash into appropriate bundles to make it easier to count at the end of the shift or at closing (1’s = $25; 5’s = $50; 10’s = $100). GREEN HABIT INC b) Sanitize regularly as outlined by your regional and business’s COVID protocols. c) Clean and tidy the Bud Room and check out area as time allows to make the closing cleaning process smoother. RECEPTIONIST: OPENING PROCESS This process outlines Reception/front desk staff responsibilities at opening, with a focus on the waiting room. 1. Visually inspect the front desk/waiting room area and note immediate tasks to complete before customers start arriving. 2. Turn on the front desk computer. Log into Flowhub. 3. Make sure all tech is charged and ready for use. If not, plug it in immediately. a) Check trash cans, water stations, coffee stations, and refill, as necessary. b) Do not bring trash out when the doors are locked, wait until about one hour after opening, or a dedicated time in the afternoon, to bring trash out to the dumpster. Receptionist must use the buddy system when bringing the trash out. 4. Check chairs, furniture, and magazines/educational materials. Spot clean and straighten, as necessary. 5. Tidy, refold, or restock merchandise or other non-cannabis items for sale in your waiting area [if applicable]. 6. Ten (10) minutes before opening, receptionist must be done with opening tasks, seated at the front desk, and ensure that his/her badge is visible. PROCESS FOR ENTERING THE BUILDING - ALL STAFF 1. As Opening Manager arrives, he/she will drive around the building to make sure nothing looks suspicious. 2. If the exterior of the dispensary looks safe and normal, Manager will park in employee parking. If Manager spots something suspicious, he/she will have to call 911 and notify security immediately. GREEN HABIT INC 3. After ensuring all is safe, Manager may unlock the door and enters the building; the Opening Manager may enter only in the presence of the Security Guard. 4. Manager/Security Guard must immediately lock the door after entering. 5. Manager disarms the security alarm. 6. Manager turns on the lights and does a visual inspection of the interior of the store, including whether the closing staff had completed their procedures adequately, and looking for any possible water or rodent issues from overnight. 7. As other staffs arrive, Manager must first check the cameras to make sure no other un- permitted individual is waiting outside. If all is clear, Manager may ask Security Guard to let employees in through the front door. Manager/Security must immediately lock the door behind them. 8. Manager is to clock in, securely store personal belongings, and get started on opening procedures by job type. EQUIPMENT • Computer • Flowhub account and login information • Cash drawers • Safe and access to the safe • Cleaning equipment • Keys to all exterior doors • Metrc access and login information Closing Procedures: ROLES • 4 Budtenders • 1 Receptionist • 1 Assistant Manager • 1 Manager • 2 Security Guards GREEN HABIT INC • TIMING Every day - during the last hour of business and after the store closes to customers/patients. PURPOSE The closing process starts around an hour before closing time and concludes after the last employee leaves the store for the night. Closing is one of the times of greatest risk for dispensaries, so it is important to have thoughtful processes. Failing to properly conduct closing tasks is a compliance and safety issue for Green Habit’s employees and the store. This SOP details every step in the closing process, including managing products, counting drawers, cleaning, and locking the door/leaving the building. Note: Prior to Green Habit’s official Grand Opening, ownership with create opening checklists per role, so that employees can refer to them. The checklist will be made available in several formats for the convenience of the employees including a printed/laminated sheet and Google document. There is presently exploration of a third-party system requiring photo proof of task completion. BUDTENDER: CLOSING PROCESS This process outlines Budtender responsibilities at closing, with a focus on the Bud Room. 1. If the store is not busy, begin closing drawers one at a time. a) Budtenders on closed drawers will count their drawer, then begin closing duties, focusing on back of house duties so as to not disturb customers. b) Budtenders who are still serving customers are expected to provide great service but aim to get all customers out by closing time. 2. Count drawers and submit for review: Within Flowhub, select “Drawers” > “Details” > Submit for Review. a) Manually count drawer’s final cash totals down to zero. Enter each coin and dollar denomination. GREEN HABIT INC b) Add relevant notes. c) Select “Submit Drawer for Review.” d) The closing manager will verify and close the drawer. 3. Divide up closing duties and utilize appropriate checklists. 4. Lock up every product for the evening. 5. Empty and clean bud pods. Compliantly dispose of old flower or safely secure fresh flower while cleaning the containers. Clean the containers with alcohol and set out to dry (the opening staff will restock the flower in the clean/dry containers in the morning). 6. Ensure the checkout area is clean, tidy, and well-stocked. a) Knock the kief out of keyboards, especially if you do bulk bud, using canned air. b) Use the buddy system to takeout trash when the doors are locked. c) Ensure the Bud Room is clean and tidy. The evening staff cleans the store (opening staff will tidy and spot clean where necessary). d) Do multiple walk-throughs of the store to make sure no messes remain, and that no products are hidden somewhere. Log out of Flowhub and turn off all computers. Plug in any devices that need to be charged. Turn off any other tech. RECEPTIONIST: CLOSING PROCESS This process outlines Reception/front desk staff responsibilities at closing, with a focus on the waiting room. 1. If the store is not busy, begin closing cleaning/tidying tasks as appropriate. 2. At closing time, the Manager will come to lock the front door. 3. After all customers have been served, check Flowhub and make sure no customers are left waiting in the queue. 4. Tidy and fold merchandise or other non-cannabis items for sale in your waiting area [if applicable.] 5. Tidy chairs, furniture, and magazines/educational materials. Sweep/vacuum floors, with special focus on entryway rugs. Wipe down any customer-facing surfaces. Note: GREEN HABIT INC Receptionist may not bring trash out to the dumpster individually. The buddy system must be used. 6. Close out of all computers, plug in anything that needs to be charged. MANAGER: CLOSING PROCESS This process outlines manager responsibilities at closing, with a focus on back of house. 1. Prior to closing, start doing closing tasks. a) Exchange tips. Count small bills or change and swap out for larger bills from a drawer. b) Divvy up tips. c) Assign closing duties. d) Bring in outdoor signage. 2. At closing time, lock the front door and turn off the Open sign. 3. Stay up front (or station a staff member at the door to let customers out) and let out any customers who are still shopping at the time of closing. 4. After the last customer leaves the store, perform (or if needed designate a staff member to perform) a store security check, making sure no customers remain anywhere in the store. 5. Go to (location TBD) and watch the cameras every 5 minutes to look for anything suspicious. 6. Reconcile all drawers. Note: Some drawers may be closed and reconciled prior to closing on days where sales transactions are slower. Budtender informs the Closing Manager that their drawer is ready for review. 7. Review the counts and notes submitted by the Budtender into Flowhub. Compare the expected cash with the actual cash and look for over/unders for debit or cash. a) If totals match, close the drawer. b) If totals do not match, recount and update totals and reconcile the difference. c) Count out your daily starting amount for each drawer for the morning shift. Put in secure bags in the safe. GREEN HABIT INC d) Put empty drawers back in the till and leave the till open. Note: This so that if someone breaks in, they won’t destroy the till trying to get to the drawers. Let them see the drawer is empty. 8. Verify that all drawers are closed in Flowhub. Note: If all drawers are not closed, End of Day (EOD) PDF Report will not be able to be generated. 9. Run EOD Sales PDF Report in Flowhub to help verify drawer totals and find discrepancies. 10. Upload daily sales to Metrc. 11. Count the safe and record totals. Keep the safe open for as short a time as possible. 12. Send a closing email note to the Opening Manager. This helps ensure Managers are on the same page. This is an opportunity to pass on information about problem customers, any issues that occurred that night, changes to orders, if a customer is coming back the next day for a return, etc. 13. As other employees complete their duties, Closing Manager has to ensure the “Leaving the Building Process” is conducted before the Security Guard let all employees out the door. PROCESS FOR LEAVING THE BUILDING - ALL STAFF 1. Clock out and grab personal belongings. 2. Closing Manager lets employees out. First, check cameras to make sure no one is outside. Immediately lock the door behind them. No employees may leave alone, either two at a time, or everyone as a group. 3. Closing Manager and last employee to leave should: a) Do a final visual inspection of the interior of the store, confirming all products are put away and all areas are clean. Turn off all lights, leaving one set of lights on until it’s time to exit the building. b) Check the camera to make sure no one is outside. c) If all clear, activate the alarm. d) Turn off the remaining lights, lock the door, and step outside. e) Confirm that the door is locked. GREEN HABIT INC f) Closing Manager drives around the building to confirm no suspicious activity is going on. 4. Closing Manager and last employee must leave together. The Security Guard escorts the closing manager and last employee out and Security Guard will leave the facility as well. No employees will be allowed to leave alone at night. EQUIPMENT • Computer • Flowhub account and login information • Cash drawers • Safe and access to the safe • Cleaning equipment • Keys to all exterior doors • Metrc access and login information 1.6 DAILY OPERATIONS 1.6.1 This section of the Business Plan is written to demonstrate Green Habit’s day-to-day operations meet industry best practices. It includes information regarding customer check-in procedures, receiving deliveries, point-of-sale (POS), number of customers served per day, and proposed product line and sales percentages. i. Customer Check-in Procedures ROLE Front Desk Staff/Receptionist TIMING Ongoing - Anytime a customer enters the dispensary. PURPOSE GREEN HABIT INC The check-in process starts the moment a customer or patient opens the front door of Green Habit. It’s imperative to have strict procedures around how and where customers are greeted, how they’re checked in, when/how ID’s and/or medical cards are verified, where they wait, and when they enter the store. Failing to effectively manage the flow of customers and verify identity is a compliance and safety issue, and could result in fines, revocation of your license, and consumer safety concerns. This SOP details every step in the check-in process, including ID/age/medical card verification, waiting room protocol, and how customers move throughout the store. PROCESS FOR GREETING CUSTOMERS/PATIENTS This process starts the moment a customer or patient enters Green Habit. 1. Customer enters the dispensary. 2. Receptionist verbally greets the customer within 3 seconds. a) If there is a line to check in say, “Welcome. I’ll be right with you” or “Hello. Please step in line and I’ll be with you momentarily.” b) If there is no line, the customer steps up to the Receptionist’s desk for check in. CHECK-IN PROCESS USING FLOWHUB GREET APP This process starts the moment a recreational customer and/or medical patient is ready to be checked into the dispensary. 1. Customer steps up to Receptionist desk 2. Receptionist verbally greets the customer within 3 seconds, and says, like “Welcome to Green Habit. Could I please see your ID and/or med card?” a) Recreational Customer hands receptionist their California approved identification information, like ID or passport. GREEN HABIT INC b) Medicinal Patient hands Receptionist their ID and medical card 3. Receptionist logs into Greet using their Flowhub username/password (if not already logged in). 4. Receptionist looks at the ID/med card to verify age and authenticity, then checks the customer in using one of three compliancy approved methods. 5. Scan the ID barcode using the Nug scanner device (recommended) or use the camera to scan the ID barcode. a) Hold the Nug 6-8 inches away from the barcode on the bottom of the back of the ID (look for the 2d/complex barcode). b) Click one of the side buttons on the Nug sled and scan the light over the barcode. c) Listen for a beep and look to see that the customer’s information loads on the screen. d) You will either see “Welcome Back” if they are a returning customer, or “New Customer” if they are new. I. Recreational Customer name, date of birth, and Rec will automatically populate a new customer profile. II. Medicinal Patient full name, date of birth, state of residence, Med ID, and Med ID expiration are required when creating new Med profiles. III. Use “Look up customer profile” within Greet to search for an existing customer profile. IV. Tap “Look up customer profile.” Select “REC” or “MED.” Type in at least 3 characters to search for an existing customer. V. Cross reference the DOB on the customer’s ID to verify it’s the right profile. 6. Once verified, tap into the customer profile, and select “Check in as REC Customer” or “Check in as a MED Customer” to add them to the queue. a) Create a new customer profile manually. b) Tap the plus sign in the lower right corner of the screen. c) Tap “Create New Profile Manually.” GREEN HABIT INC I. Recreational: Make sure “REC” is selected. Enter the customer’s full legal name, state, and date of birth. II. Medical: Tap “MED,” enter the patient’s full legal name, state of residence, date of birth, Med ID, and Med ID expiration. III. Select “Save & Check In.” 7. If the customer has been flagged as a potential risk to your dispensary in the past, you will be notified on the app. 8. If the customer is new, or information has changed for a returning customer, edit their profile, and tap “Save.” 9. Add them to loyalty program by adding the customer’s phone number. 10. Add the customer to pre-set customer groups (if applicable). a) Add “Customer Sources” information (if applicable). 11. Check them in and add them to the queue. a) Recreational: Tap “Check in as Rec Customer.” b) Medical: Tap “Check in as Med Customer.” 12. Receptionist will inform the customer to take a seat in the waiting room until they are called by a Budtender. ii. Procedures for Receiving Deliveries ROLE Inventory Lead (this role is occupied by the Manager on duty) TIMING Whenever product is delivered to the store. PURPOSE Having detailed SOP for inventory intake is crucial to Green Habit. The company has strict controls for how it manages every stage of the inventory process for cannabis products and goods. Failing to properly account for products is a compliance concern and could result in hefty fines or a revocation of Green Habit’s license. GREEN HABIT INC This SOP is intended to detail every step in the process from the time inventory arrives at our dispensary until it is ready to sell. This SOP, to the best of the owner’s ability, accounts for how inventory comes into the dispensary, and how to handle inventory from the back-of-house perspective, including who handles product, how it is handled, what we track, how it’s tagged/labeled, where we track it, how it’s stored, where it’s stored, who has access to stored product, how product ends up on the sales floor, and more. STEPS *Steps 1-5 MUST be done at the time of delivery *If the Inventory Lead is unable to begin steps 6+, then product must be stored in a secure location separate from another inventory. 1. Complete a 5-point manifest compliance check on all products arriving at your store, comparing the invoice to the manifest. a) Verify the products and items names/strains, quantities, compliance information, and Metrc tags. b) Verify the time window in which the product is being delivered. c) Verify the courier signature. d) Verify the license numbers are correct. e) Sign the manifest after receiving the product into Metrc. 2. Make sure all products are compliant. a) Green Habit will post regulations beside this SOP. This includes an: b) Insert CA’s MEDICAL compliance regulations for labeling and packaging. c) Insert CA’s ADULT-USE compliance regulations for labeling and packaging. 3. Follow in-store protocol for invoices [this will be detailed further upon approval of this application]. Save a copy for our records and keep a copy of the invoice and manifest to facilitate in importing the products. Receive or reject transferred packages in Metrc. Note: This step is where we will need to make sure we receive what was ordered and that it is compliant. GREEN HABIT INC a) When the courier/vendor arrives, receive the transporter and product into the counting room (They must sign into the visitor log and have a visitor badge before entering any secure area). b) Make sure the counting area is secure, clear of other products, and ready to review your incoming product. c) Log in to Metrc under the correct license you’re working under, and verify the order is there to receive (Do not receive it yet!) by clicking “transfers” at the top of the page, then select the “Incoming” tab, then select the correct incoming transfer by comparing the manifest number. d) Count and check each item off the copy of the invoice. Either you or the transport driver will also need to check it off the manifest. 4. Do not count cases or boxes, verify that they hold the exact quantity and correct product that is on the manifest and invoice. Check each individual product to ensure nothing wrong is mixed in. Match the product name. 5. Ensure that flower has no mold, seeds, seed pods, or bad quality in general. a) Match the product and Metrc tag to the manifest. Note: This could be a production batch/source package instead, seen next to the Metrc tag in Metrc. b) Use the compliance regulations listed above to ensure the product is compliant. c) Double-check your work to ensure accuracy. 6. Walk the transporter out, take their visitor badge. Ensure they sign out of the visitor log. 7. Use the invoice and manifest to import the product into Flowhub 8. Print labels/barcodes and add them to every product. 9. As product is barcoded, either put it in the vault (or secure storage area) or on the sales floor, depending on product availability. 10. Products are now successfully through intake and ready to be moved to the sales floor and sold. 11. Move the product in Flowhub to the proper room or sales floor (AU or MED) BEFORE physically moving the product. 12. Using the Flowhub Stash app: GREEN HABIT INC a) Select which inventory item(s) to move by scanning them with the Nug. (You can also search for the product by category or room.) b) Select "All Categories" to filter by category. c) Select "All Rooms" to filter by room. d) Once you have all the items selected to move, click "Move.”. e) To change the amount of product you are moving, select "Change,” adjust the quantity to the correct amount, select “Confirm.” f) Verify the "Receiving Room" by selecting the "Room" drop-down at the top of the Nug. g) Select "Move." h) Select "Start Another Move" if you would like to move more items. i) If not using Stash, the package needs to be moved within Flowhub. j) Log into Flowhub. k) Go to” Inventory.” l) Search by product name, package ID, or SKU. m) Select package. n) Click “Move/Transfer” o) A pop-up window will appear: I. Select the room to move to. II. Enter the quantity to move. III. Click “Save/Close. EQUIPMENT • Manifest • Invoice • Barcodes • Barcode printer • Computer • Printer/Scanner • Metrc account and login information • Flowhub account and login information GREEN HABIT INC • Flowhub Nug with Stash app (if applicable) DEFINITIONS • Inventory = the products that you sell in your store • Intake = the process of receiving products that you ordered in your physical store • Metrc = the State’s tracking system used in many legal states • Stash = a mobile app, on Flowhub’s mobile Nug scanner device, that allows you to scan barcodes to audit inventory, move inventory between stores or rooms, and more. iii. Point-of-Sale (POS) System Green Habit will utilize Flowhub as its point-of sale system. There will be a total of five POS systems: one in the check-in area and four used on the sales floor The owner selected this technology as it is considered the gold standard cannabis retail management platform for legal dispensaries in Alaska, Arizona, California, Colorado, Florida, Maine, Maryland, Massachusetts, Michigan, Missouri, Montana, Nevada, Oklahoma, and Oregon. Since 2015, Flowhub has innovated how cannabis retailers manage complex compliance mandates, supply chain data, sales transactions and reporting by delivering compliance, point of sale, inventory tracking, and business intelligence data from a single, highly customizable platform. As such, Green Habit will use complementary apps and hardware to maintain continuity. These include Flowhub’s mobile app Stash and mobile Nug scanner device. Such products allow Green Habit employees the ability to be more agile, accessible, and attentive to customers. Additionally, Metrc is integrated into Green Habit’s network. It is the state’s track and trace system used in most legal cannabis markets, and helps cannabis retailers automate and simplify business operations through technology to keep companies and government transparent, keep cannabis products off the black market, and build a robust scalable industry that is approachable for all adults and medical patients. GREEN HABIT INC v. Proposed Product Line The Green Habit will offer its patients and customers a variety of quality cannabis flowers, concentrates, edibles, and topical salves. Consumption products, seeds, and clones will be available as well. The following items, and their quantity will be offered, in addition to their proposed retail sales listed: vi. Proposed Delivery Service Procedures To ensure full compliance with all track and trace regulations, and further ensure the security of assets and safety of all employees, Green Habit will implement and enforce the following policies and procedures for shipping and receiving: GREEN HABIT INC • Product will be packaged in compliance with all regulatory requirements that identify the contents of each package. Product origin or inventory numbers, and any and all additional internal, city or state mandated tracking requirements will apply. • Shipments will be scheduled as often as needed to ensure that the supply and demands of the operators and their clients are met and that: o The Green Habit’s policies and procedures are followed to avoid the transport of excessive amounts of product with a high total value. o Shipments are scheduled at random times and hours in order to avoid predictability that can elevate the risk of theft. o Shipments will be conducted through the use of a licensed, insured and state authorized transport company or by Green Habit’s trained transport personnel, if allowed to do so by the city of Fresno and the state of California. o When shipments are scheduled, this information will only be provided to individuals who occupy a “need to know” position in order to avoid risk of theft. • At the time of the shipment: o Product transportation personnel will notify The Green Habit security guard of their impending arrival 5-10 minutes prior to arrival to the location. o The Green Habit on-site security guard will then make the announcement that no employees are allowed to use their cell phones in any manner except for that of an emergency until 5 minutes after the transportation company departs the location, in order to avoid the sharing of information that might place the transport at risk. o Transport vehicle will be inspected to ensure that it is empty or contains no other items than those specified for transport or that other owner’s products are secured in lockers to guarantee compartmentalization. o Transportation team members and the vehicle will be logged onto the site as visiting vendors upon each visit. o Product to be shipped will be presented to transportation personnel by the specified employee, or The Green Habit operations personnel, for the inspection GREEN HABIT INC and sign-over process. o The Green Habit security guard or applicable employee will verify that the shipment paperwork, amount and manifest are in order prior to allowing transporters to leave the site. o The Green Habit security guard will check visually, or by surveillance camera, that the exterior is clear of threats prior to opening the gate and allowing the vehicle to exit. o If the electronic track and trace system is down, all entries must be done by hand and entered when the system is back up and running. The transportation company will comply with any and all regulations and requirements as set forth by the city of Fresno or state of California. The transportation company will follow any and all track and trace protocols and will operate within the full scope of the requirements of the city of Fresno. If The Green Habit is authorized to perform its own transports, these policies and procedures will apply to those activities. Transportation personnel will: • Adhere to all aforementioned policies, procedures and/or protocols. • Follow the route designated by the Transport Manifest. In the event a deviation is incurred, the transport personnel will immediately notify The Green Habit of this occurrence and its cause and remedy. • Adhere to all company policies and procedures encompassing the transport and delivery of product/assets. • Relinquish product to clients of The Green Habit and obtain necessary signatures and confirmations with consistent professionalism, safety, and effectiveness. • Return any undelivered product (or refused product) to The Green Habit and adhere to all other predetermined arrangements relating to such occasions. Product security will be maintained as a priority, and all employees and contractors will strictly adhere to The Green Habit policies and procedures or disciplinary/removal measures will be GREEN HABIT INC taken. In compliance with the city of Fresno requirements, and the state of California, The Green Habit will implement the below policies and procedures in order to secure all cannabis product, and ensure that none is lost or diverted to individuals who are not authorized to possess it, or person/s under the age of 18. Secured rooms will be built inside the facility with reinforced walls and ceilings to prevent entry by an intruder. These rooms will incorporate biometric access controls that prevent unauthorized entry. All product will be stored in these limited access, locked rooms that are under constant video surveillance. At the end of each day, all loose product will be inventoried and placed in the secured rooms until the next day when operations resume. Employee lockers will be provided in the office and/or reception area, outside the product storage or sales floor, and employees will be required to store all bags, containers and oversized or baggy clothing outside the marijuana product areas in order to prevent theft. Employees will submit to an inspection upon entering the site in order to prevent the entry of weapons or other prohibited items, and upon exit in order to prevent the unauthorized removal of marijuana products or other valuables. A list of items prohibited from removal will be displayed at the entrance of The Green Habit and searching area for employees to reference. GREEN HABIT INC Section 2: Social Policy & Local Enterprise Plan The Green Habit, Inc 2434 N. Weber Avenue Fresno, CA 93705 GREEN HABIT INC 2.1 Living Wage Commitment The Green Habit is committed to meeting all labor regulation requirements set by the State and Local government. To that end, The Green Habit will comply with Wage Order requirements, including but not limited to minimum wage requirements, overtime wage requirements, meal and rest periods, uniforms and protective equipment, and posting of the complete order at the premises. The Green Habit will also look at the living wage calculation for Fresno County that can be found in https://livingwage.mit.edu/counties/06019 . The Green Habit employees will be entitled to overtime pay at 1.5 times their regular rate of pay for all work performed in excess of eight hours, up to and including a 12-hour workday. The Green Habit employees are also entitled to 1.5 times their regular rate of pay for work performed in the first eight hours worked on the seventh consecutive day of work in a work week. In addition, The Green Habit will comply with California’s employee friendly labor laws, which allow an employee to earn overtime at 1.5 times their regular rate of pay once performed in excess of 40 hours in one work week. The Green Habit employees will be paid double their regular rate of pay for any work performed in excess of 12 hours in any workday and for all hours worked in excess of eight on the seventh consecutive day of work in a work week. The Green Habit will adhere to the Labor Code, which states an employer must provide a thirty-minute lunch break to any employee who works more than five hours in one day. A second meal period of the same duration will be provided for The Green Habit employees who have worked more than ten hours in one day. The Green Habit will permit each employee to take a ten-minute rest break for each four hours of work completed. 2.2 Employee Benefits The Green Habit will offer its employees a competitive benefits package that will include: • Personal Time Off accrual upon hire to be used after ninety days. • Adequate breaks in compliance with the California labor standards and laws, as discussed above. GREEN HABIT INC • Health, life, short term disability and long-term disability coverage. In addition, The Green Habit may offer other benefits which may include flexible spending accounts, 401K, bonuses and/or profit sharing; • Written non-discrimination, Equal Opportunity, and sexual harassment policies; and • Providing a diverse workplace The Green Habit will also offer employment incentives to increase employee engagement, as well as employee discounts for The Green Habit. 2.3 Continuing Education and Employee Training The Green Habit recognizes the value of professional development and personal growth for employees. First and foremost, employees will be trained on the policies and procedures of the company. Additionally, The Green Habit has submitted an “OSHA Commitment Letter” to the city of Fresno that after one year in business one supervisor and one employee will attend a 30-hour general industry training. The Green Habit also encourages its employees who are interested in continuing education and job specific training to research these further and get approval before signing up for the seminars or courses. As we progress through the permit application process, we are considering mutually beneficial best practices for monetary compensation and reimbursement. Even more, because we are in the business of medicinal and recreational cannabis, an industry that directly impacts the health and wellbeing of our customers, we are committed to formalizing Continuing Cannabis Education Program. After operating for a minimum of one year we intend to conduct a needs assessment focusing on three levels: organizational, occupational, and individual. We will use the following rubric to help us develop a program: 1. Needs assessment and learning objectives. This part of the framework development we will consider what kind of training is needed in our organization. Once we have determined the training needed, we can set learning objectives to measure at the end of the training. GREEN HABIT INC a) Organizational assessment. Here we determine the skills, knowledge, and abilities our cannabis dispensary needs in order to meet our strategic objectives. We will consider things such as changing laws, demographics, and technology trends. Overall, we will look at how the organization as a whole can handle our weaknesses while promoting strengths. b) Occupational (task) assessment. We analyze the specific tasks, skills, knowledge, and abilities required of our employees to do the jobs necessary within our dispensaries. c) Individual assessment. An individual assessment looks at the performance of an individual employee and determines what training should be accomplished for that individual. 2. Consideration of learning styles. We will make sure that whether we teach internally, engage in using outside experts, or leverage the expertise of existing professional organizations to teach our employees that we cater to a variety of learning styles to the information is absorbed optimally. 3. Delivery mode. Similar to the previous step we need to consider: What is the best way to get our message across? Is classroom or web-based training more appropriate, or should one-on-one mentoring be used? 4. How much money can we allocate to spend on training? We will look beyond things like the cost of materials, such as the cost of time. Consideration will also be given to the costs associated with not investing in training. 5. Timelines. How long will it take to develop the training? Is there a deadline for training to be completed, and if so, what risk analysis can be used to determine the consequences of not meeting that deadline? What is the timeline consideration in terms of when people should take the training? 6. Communication. How will employees know the training is available to them? Letting people know when and where the training will take place is part of communication. 7. Measuring effectiveness. How will we know if your training worked? What ways will we use to measure this? GREEN HABIT INC Until then, there is already a wealth of information and experience to share among our existing employees. We are presently discussing coaching and mentoring implementation: encouraging managers to coach employees on specific skill areas where they need help, and pair employees with more experienced ones who can mentor them. The goal is to build confidence, shorten learning curves, clarify expectations, and boost employee retention rates. 2.4 Recruitment The Green Habit’s goal is to hire and retain 100% of its employees from the city of Fresno. Additionally, the dispensary will comply with Social Policy Section 9-3316 (b) (1) of the Fresno Municipal Code (FMC) In short, the Code requires that cannabis dispensaries must hire individuals who are among the disparate populations listed. These individuals must be hired for a minimum one-third (1/3) of the total annual work hours performed at the business. To that end, Green Habit has conducted research on the best way to advertise employment opportunities with the dispensary. A 2017 study conducted by the Pew Research Center found that a digital divide still exists with lower income citizens. An article published in the center’s electronic newsletter states: Roughly three-in-ten adults with household incomes below $30,000 a year (29%) do not own a smartphone. More than four-in-ten do not have home broadband services (44%) or a traditional computer (46%). And a majority of lower-income Americans are not tablet owners. By comparison, each of these technologies is nearly ubiquitous among adults in households earning $100,000 or more a year. Because of this, Green Habit will do more than simply rely on digital advertisements on platforms including jobs@fresno.gov, Indeed, LinkedIn, Monster, and Craig’s List. Green Habit will use a more conventional advertising approach by creating and disseminating posters and flyers advertising job opportunities with the dispensary. These materials will be distributed to: GREEN HABIT INC 2.5 Locally Managed Enterprise The Green Habit’s owner, Omar Alghazali resides in the city of Fresno and has owned several successful businesses within the city limits since 2011. BUSINESSES IN THE CITY OF FRESNO BUSINESS NAME ANNUAL REVENUE # OF EMPLOYEES YEARS IN BUSINESS Spacetel 650+ 9 Valley Stars Import 3 1 Baby Nutrition Shop MC 30 2 Premium Bottled Waters 12 1 Mobilize 8 1 Two Tree Construction 4 1 As demonstrated by the chart, Mr. Alghazali is an advocate and ambassador for the city of Fresno. As such, we will strive to continue to employ the city’s homegrown talent in management and all staffing positions. 2.6 Employees, Roles, and Responsibilities ROLES • 4 Budtenders • 1 Receptionist • 1 Store Manager • 1 Assistant Manager • 2 Security Guards Store Manager: Responsible for product and business compliance, in addition to community outreach for The Green Habit. Oversees all administrative functions, controlling scheduling and handling much of the day-to-day business. Charged with implementing and overseeing the compliance programs. GREEN HABIT INC Budtenders/Receptionist: Responsible for check-in & dealing with the customers and dispensing the products. Assistant Manager: Responsible for ensuring enough product is on hand to satisfy customer demand, without overstocking. Regular inventory counts and reconciliations will be performed to ensure the transactional data line up with the product on hand. Security: Responsible for securing the interior and exterior of the premises. See 5.5.4. for a full list of roles and responsibilities. Community Relation Liaison: This is a potential position at the moment and has shared responsibilities with the Store Manager. Responsible for product and business complaints, in addition to community outreach for The Green Habit. 2.7 Right to Unionize The Green Habit will have a minimum of eight employees at all times, and will not disrupt efforts made by a credible labor organization to communicate with, attempt to organize, and represent our employees as required by California law. The Green Habit will agree to allow a credible labor organization access at reasonable times to meet with employees to discuss their right to representation, employment rights under state law, and terms and conditions of employment. The Green Habit is in fact already in communication with the labor union, the United Food and Commercial Workers Union, UFCW 8-Golden State, and ready to submit a completed and signed agreement within 30 days after we have reached 5 or more employees, to show that we are committed in allowing our employees to be unionized. A signed agreement copy is available for review at the end of Section 2. GREEN HABIT INC 2.8 Workforce Plan The Green Habit will develop a strategic hiring process of analyzing, forecasting, and planning workforce supply and demand, assessing gaps, and determining target talent management interventions to ensure that the dispensary has the right people - with the right skills in the right places at the right time - to fulfill its mandate and strategic objectives. 2.8.1 Local Hires The Green Habit is committed to creating new jobs and prioritizing the hiring of local individuals - at least 30% of employees will be local hires. These new hires will be current residents of Fresno and will not have established residency after the submission of an application. 2.8.2 Apprenticeships & Continuing Education The Green Habit has outlined a continuing education action plan in Section 2.3. Additionally, GREEN HABIT INC the dispensary is committed to offering apprenticeships and plans to use its Community Liaison to help implement it. 2.8.3 A Living Wage As previously mentioned in Section 2.1, The Green Habit is committed to paying a competitive wage to its employees and comply with Wage Order. 2.9 Social Equity Business Incubator The Green Habit is excited to serve as a Social Equity Business Incubator by offering support to local cannabis social equity businesses in the form of employment, mentorship and training. To allow for a multifarious workforce, The Green Habit will adhere to equity standards. Through the Incubator model, The Green Habit will promote a diversified hiring process and various opportunities for persons who qualify for social equity programs. In addition, The Green Habit will offer specific mentoring and training for individuals in need. __________________________________________________________________________ Labor Peace Agreement Page 1 Labor Peace Agreement (“the Company") and the United Food and Commercial Workers Union Local 8-Golden State ("the Union") hereby agree to the following terms: 1.Neutrality and Non-Disparagement. The Company agrees to take a neutral approach to unionization of workers, meaning that the Company, which also includes any managers, agents, and representatives, will neither help nor hinder the Union’s organizing effort, including making any statement or taking any action that directly or indirectly indicates or implies any opposition to workers selecting the Union as their collective bargaining representative, or directly or indirectly supporting or assisting in any way any person or group who may oppose the Union. This includes the Company refraining from making negative comments or otherwise demean by word or action the Union, Union representatives, or unionization. The Union agrees to refrain from exercising its rights to picket, handbill, boycott, work stop- page nor engage in any other economic interference against the Company's facilities or operations; however, if the Company recognizes another union as the bargaining representative of any workers, the union's obligation will automatically cease to apply to those workers' facilities or operations. 2.Bargaining Unit. The Union will notify the company of the facilities and/or operations for which the union seeks to invoke this agreement's unionization process and, in this notice, the Union will designate the bargaining unit. The Union will invoke this agreement’s unionization process for any of the Company’s employees no more than 1 (once) per Quarter. If the unit of employees to be covered by this Agreement is one in the exclusive jurisdiction of the California Agricultural Labor Relations Act, the Parties will meet within ten days of such knowledge and modify the Agreement to comply with that law as mandated by its terms. 3.Access. The Company grants the Union and its Union representatives access onto the Company's premises during working hours to speak with bargaining unit employees for any duration during any non-working time, including meal periods and rest breaks. The Company will cooperate with the Union in making arrangements to permit these conversations to be held in areas where the employees will be able to speak to the Union representatives without monitoring by the Company. If the Company believes that the Union’s access on the premises is disrupting operations, it may discuss the issue with the Union. The Green Habit Inc __________________________________________________________________________ Labor Peace Agreement Page 2 4.Meeting. At the Union’s request, the Company will conduct a meeting on a mutually agreeable date(s) and time(s) with all of the bargaining unit employees on Company time. At the meeting, the Company will tell the employees that it is neutral, does not object to their talking to and supporting the Union, and will negotiate a collective bargaining agreement (CBA) with the Union if a majority of the bargaining unit employees designate the Union as their collective bargaining representative. Union representatives will attend the meeting and, after the Company has introduced them and left the meeting, the Union representatives will talk with the employees about the Union. The Union will request this meeting no more than once per Quarter. 5.Contact information. At the Union’s request, the Company shall furnish to the Union the names, job classifications, home addresses, cell phone numbers, home phone numbers and email addresses, if known, of the bargaining unit employees (collectively, "contact information"). The Company further agrees thereafter to provide updated worker contact information, as reasonably requested by the Union. 6.Recognition. When a majority of bargaining unit employees designates the Union as their collective bargaining representative, the Company will recognize the Union as the exclusive representative of the bargaining unit, provided that the Union may assign jurisdiction and representation rights to any of its affiliates. At ei ther party’s request, a neutral third party may confirm majority authorization. The Company and the Union will comply with all requirements necessary to obtain certification of the Union as the exclusive bargaining representative of these employees. 7.Elections. The Company waives the right under the National Labor Relations Act to file any petition with the National Labor Relations Board for any election in any bargaining unit subject to this agreement by itself or as part of a larger unit, and agrees to refrain from directly or indirectly supporting any such petition. If any election petition is filed, the Company agrees that, a t the Union’s request, the Company will enter into a full consent election agreement under Section 102.62(c) of the NLRB’s Rules an d Regulations under the terms the union determines. The Company waives the right to file any unfair labor practice charge related to or based on this agreement, the Union’s demand for recognition under this agreement, the Union’s election, or any other mat ter related thereto, and further agrees to refrain from directly or indirectly assisting with or supporting any such unfair labor practice charge. As long as the Company and the Union have complied with Arbitrator’s orders as described below. 8.Bargaining. No later than 90 days from the date of recognition (or 45 days from a request by the Un- ion to bargain a successor contract for a contract with an impending expiration date), the parties will begin good faith bargaining for a CBA covering the bargaining unit. This timeline can be extended through mutual agreement by both parties. If the Union and Company are unable to agree to a collective bargaining agreement within 120 days of commencement of negotiations, the parties agree that either the Company or the Union may require that all open provisions and issues be submitted to final and binding interest arbitration per the subsection titled herein "Arbitration." The arbitrator shall be guided by the: __________________________________________________________________________ Labor Peace Agreement Page 3 (i)Company's size, type of business, and financial ability; (ii)The employees' ability to sustain themselves, their families and dependents on the wages, hours, and benefits they earn from the Company, and the living wage for their family size and region, as indicated in the MIT Living Wage Calculator (http://livingwage.mit.edu/) 9.Arbitration. The parties agree that final and binding arbitration will be the exclusive remedy for any alleged violations of this Agreement and any dispute or claim arising from or relating to the interpretation or application of any provision of this Agreement. Unless they promptly agree on an arbitrator, the parties will proceed to expedited arbitration using the American Arbitration Association’s rules and procedures. The arbitrator is authorized to compel the attendance of witnesses and the production of documents at the arbitration hearing, and to award appropriate monetary, injunctive and declaratory relief. The parties agree not to challenge the arbitrator’s decision in court and consent to the entry of the arbitrator’s award as the order of judgment of a United States District Court, without notice. Company waives the right to challenge any aspect of this agreement before the NLRB, any other state or federal government agency, or any court. 10.Successorship, affiliated companies and subcontractors . This agreement will be binding on the parties’ successors and assigns, including all purchasers of the Company’s assets or business, and in the event of a merger. This agreement is also binding on any and all corporations, partnerships, organizations and sole proprietorships affiliated with or related to the Company’s business activities. If the Company intends to subcontract any work performed by bargaining unit employees, the Company agrees to require the subcontractor in writing, to comply with this agreement. Should the company be subject to a complete sale of the stock, the purchaser shall comply with this agreement and any labor peace agreement(s) which are applicable. Upon completion of the transfer of all of the stock, the company shall be relieved of its obligations under this agreement. 11.Severability. If any provision of this Agreement is held illegal, void or invalid under any applicable law, the parties will meet and confer to amend the provision to make it legal, valid and binding, and the remaining provisions of this Agreement will remain binding and enforceable according to their terms and the parties’ intent. 12.Term of Agreement. The term of this agreement is one (1) year from the date of this agreement. The term will renew for additional 1-year terms unless and until either party gives the other written notice no sooner than 60 days and no later than 30 days prior to the expiration. 13.Confidentiality. The Company and Union agree that all terms and conditions of this agreement are confidential and proprietary between the parties and shall not be disclosed to anyone else, except as may be necessary to effectuate this agreement, as required by law or court order, or as mutually agreed upon in writing prior to disclosure. GREEN HABIT INC Section 3: Neighborhood Compatibility Plan The Green Habit, Inc 2434 N. Weber Avenue Fresno, CA 93705 GREEN HABIT INC 3.1 Proactive Approach to Complaints The Green Habit’s Company’s Community Engagement Strategy (“CES”) objectives are to establish a process by which the community, including its residents and businesses, can express themselves regarding our operations; to inform the community about marijuana and developments; and to ensure that our approach genuinely reflects the community’s needs. We will proactively complete our outreach efforts through follow-up correspondence to community stakeholders, informing them that Green Habit and its management team have received their concerns. We will then work to develop procedures and/or programs in response to the concerns raised. Responding to Complaints Any complaints that are caused by cannabis activities (odor, light, noise, litter, vehicles and pedestrian traffic) will be documented on a form or in a manner prescribed by the Store Manager. Completed forms will be forwarded to the Record Keeping Manager. The form or documentation will contain, at a minimum: 1. The date and time of complaint 2. The name of the employee reporting the problem 3. The name and contact information of the person who noticed the violation or complaint, if not an employee, if he or she chooses to disclose that information 4. The date, time, and frequency of the complaint. 5. The distance from the building that the complaint identifies. 6. The outcome of the inspection of the incident. 7. The nature and date of any corrective action that was taken in the course of the inspection Resolution A complaint is considered resolved when: 1. The Store Manager confirms that the issue has been effectively inspected and any necessary corrective actions have been taken. GREEN HABIT INC 2. The equipment maintenance log and complaint response documentation is complete and filed. 3. Any official enforcement action is completed or resolved to the satisfaction of the agency or department initiating the action, if applicable. Mandatory Notification The Store Manager will notify the executive staff of the company on any citation, notice, warning or other official communication alleging a nuisance activity or other violations related to the facility within 24 hours of learning of or receiving such communication. 3.2 Nuisance Prevention The Green Habit is committed to mitigating any nuisances or negative impacts that may result from the addition of our business. Because our operations are conducted within the premise, noise outside of the facility will not be an issue. We will follow a comprehensive security plan for the premises, including advanced security technologies that guard against un-permitted entry. The building will feature security cameras covering each entrance and much of the interior. The exterior of the premises will also be under surveillance, providing added security to the surrounding area. The Green Habit facility plans to be mindful of the Fresno community in terms of culture and customs, noise and visual blight, and concerns such as traffic, pollution and other interactions. Proposed Ways to Impose Positive Impacts Within the Surrounding Communities Green Habit, through its dispensary, plans on creating new jobs and prioritizing the hiring of local individuals. Our goal is two-fold as economic development will occur from new job creation as well as programs aimed at supporting other local businesses. We also intend on educating the city of Fresno and its surrounding communities on marijuana, the local and state Adult-Use Marijuana related laws and regulations, through hosting and/or attending local events and reaching out to local organizations to educate the community on the benefits of marijuana. GREEN HABIT INC Green Habit has devised a strategic Local Community Engagement and Outreach Strategy and shall implement it through the following: 1. General Educational Advocacy 2. Mutually Beneficial Supplemental Partnerships 3. Local Hiring 4. Working with Local Leadership 5. Coordination with Local Law Enforcement GENERAL EDUCATION ADVOCACY The Green Habit will create public awareness for our dispensary by offering free workshops and seminars to potential customers and the general public on topics related to cannabis as well as legal and policy updates. By embedding ourselves into the fabric of the community, our dispensary will emerge as a touchstone for information related to the cannabis industry. Below is a sample of the types of educational materials The Green Habit intends on distributing: • Factsheets utilizing photographic examples with associated descriptions, charts and graphs that discuss topics pertaining to the consumption of cannabis. • Brochures explaining cannabis strains, the potential palliative benefits of those strains, and an overview of the array of cannabis products available. The dispensary’s contact information, website and direct contact email for the Community Liaison and Store Manager will also be provided. • The Community Liaison will compose an instructional guide on test dosing distinguishing by the type of cannabis to be consumed by the customer. The instructional guide will include directions on how to keep a cannabis logbook allowing the customer to generate anecdotal evidence on what type, stain and strength works best for them. GREEN HABIT INC Cannabis Education Educating customers on the different strains of Tetrahydrocannabinol (THC) is extremely important so that the individual may choose a specific product that complements their lifestyle. The General Manager and Sales Representative will be responsible for ensuring that each customer receives the most accurate up-to-date information regarding the use, variety of strains, application and possible side effects of cannabis and cannabis products. This will be executed with Cannabis Education materials such as educational handouts, cannabis products, methods of administration & effects, logbook (for customer to track systems and effects) and more. The Green Habit will also create a website that will allow individuals to have access to cannabis education as well as helpful information on how to get involved with the cannabis program. We will utilize the website for educational purposes maintaining a weekly blog with the latest news regarding cannabis health, technology, updates to state and federal laws, links to noteworthy scientific articles, and customer testimonials. The website will include a designated portal where members of the community are encouraged to leave feedback and ask questions. The main purpose of the “listening corner” is to listen and find new ways for The Green Habit to engage with the community. We will be able to post real time responses to queries and encourage an open dialogue between all participants on the website. MUTUALLY BENEFICIAL SUPPLEMENTAL PARTNERSHIPS An important element of The Green Habit’s community-centered approach is the assistance the dispensary will offer to customers in finding services to handle other aspects of their physical, mental and emotional wellbeing. Acting as a facilitator, we will build strategic partnerships with ancillary local business owners and organizations to help improve the quality of life for our customers. A key component of this outreach initiative will be educating our partners on the palliative benefits and legal limitations of cannabis. The Green Habit’s CES encompasses non-cannabis businesses to enhance a customer’s overall wellness and lifestyle. We will encourage local ancillary businesses to leave informational materials and flyers about our products and/or services, which we will showcase, GREEN HABIT INC at the dispensary. The Green Habit will also host days where local vendors can come and demonstrate lifestyle related services such as the following: • Nutrition • Yoga Studios • Local Arts Events/Projects • Massage • Local Food This type of strategic collaboration with non-cannabis providers will ensure The Green Habit offers a unique resource marketplace in order to fulfill our community-centered mission of helping individuals improve or enhance their quality of life. LOCAL HIRING We are committed to making The Green Habit a source of economic stimulus for the city and county as a whole. From initial build-out of the facility to the implementation of our community development initiatives, we intend to contract, buy, and hire locally, taking advantage of local recruitment resources to offer employment. We will advertise available positions by coordinating through the community organizations we will support. We believe that initial day-to-day operations will add approximately eight full-time employment opportunities in the city’s economy. The dispensary will contribute directly to the revitalization of its immediate neighborhood by funneling an influx of visitors from in and around the vicinity of the facility bringing incremental business to shops, restaurants, and other services in the area. To fulfill our goal to support local businesses, we will focus at every opportunity to reach out to the local hiring organizations/companies for employment both as employees but also in the contracting of projects throughout the process. We will work closely with local, regional and statewide agencies for guidance on how to best serve this community. We will utilize ongoing outreach including supporting local and regional job fairs to build our staffing plan to be representative of the community we serve. GREEN HABIT INC WORKING WITH LOCAL LEADERSHIP Applicant intends to develop and maintain relationships with local leadership in order to ensure we are supporting the community through the development of our dispensary in a matter the community needs. COORDINATION WITH LOCAL LAW ENFORCEMENT The Green Habit’s Management will participate in an ongoing dialogue with local law enforcement to ensure that there are no instances of concern and to develop an anti-abuse campaign. Local police and fire personnel will be invited to the facilities for regular updates and tours to ensure our facility is not vulnerable to break-ins and community residents are secure. The facility will perform regular outreach to community watch groups to apprise them of activities taking place at The Green Habit to address any questions or concerns they may have about keeping cannabis safe and properly stored and out of the hands of children. We will also work with local law enforcement to host a “take-back day” and set up a drug box drop-off station to provide residents with a safe place to properly dispose of expired or cannabis or unneeded prescription drugs. Programs such as these are important for the community as a whole; to prevent prescription drugs from winding up in the community’s drinking water or in the hands of children or other unintended users. 3.3 Odor Mitigation The Green Habit will take extreme measures to eliminate all odor emitting from the facility during operations. The multiple layers of odor control that the dispensary will install will be more than sufficient to mitigate all odors produced. These include, redundant carbon filtration located throughout the facility, odor ionization technology and employee standard operating procedures. We will take active measures to eliminate any cannabis odor that may possibly emanate from the Facility to mitigate disturbances to local businesses and residents. There are several industry best-practices that we will install into our Facility to ensure that the air poses zero health risks to any employee or visitor, or the surrounding businesses. GREEN HABIT INC The fo llowing pages describe our hardware and systems, procedural activities, staff training processes and how we will keep records of all aspects of our odor control policy. Polarized Filters with Activated Carbon Inserts We will be using polarized media filters with activated carbon insert pads to provide a medical-grade air quality to the Facility. Polarized media filters utilize electromagnetic polarization to maximize the collection of dust and pollutants in the air, which increases the effectiveness of air filtration and odor control. The carbon pads provide an additional layer of odor removal, providing maximum efficiency and benefit. Upgrading filters are relatively inexpensive, and the costs are heavily offset by the reduced labor and cost of replacing those filters less frequently. These technologies are utilized by hospitals, laboratories and other clean facilities around the world and are an excellent option for cannabis facilities. Carbon Scrubbers We will use activated carbon scrubbers in the storage rooms where the highest concentration of products is located. These types of filters use pelletized granule carbon to remove odor, dust, and pollutants from the air and can be used as a standing unit in a space or as an exhaust filter. Just like the carbon in the air filters mentioned previously, these pellets remove dust, odor, and other pollutants through the air as it passes through the filter. Ozone Generators Ozone generators use ultraviolet bulbs or corona discharge (an electrical discharge) to produce ozone gas that works on a molecular level to eliminate virtually all odor, molds, mildews and bacteria - we will use these in the waste area and storage room. Ozone can be used safely and efficiently by utilizing generators that fit directly into your exhaust lines. This is one of the most effective methods for removing odors in the exhaust system. GREEN HABIT INC Any air that is emitted from the facility is dual-filtered through HEPA and charcoal filters to ensure clean, odor-free air. The Green Habit will ensure that no airborne emissions will be produced that are readily detectable off-site without instruments by the average person, or that cause any damage to human health, animals, vegetation, or property. In addition, The Green Habit will adhere to the following standards regarding emissions in the City of Fresno: • Visible emissions will not exceed the rules and regulations of the City of Fresno Air Quality Management District. • No emission of odorous gases or other odorous matter will be produced in such quantities as to be readily detectable off-site by the average person. • No activities will produce electrical disturbance that affects the operations at any point of any equipment other than that of the creator of such disturbance. • No humidity, heat or cold will be produced that is perceptible without instruments by the average person off-site. • No bright or flashing lights will be visible off-site. • No security bars will be installed on the exterior of windows or doors of structures in the industrial zoning districts. Circulation fans Air circulators and air cannons move air indoors and outdoors for a variety of tasks, such as cooling workers, animals, and equipment, drying surfaces, and exchanging stale air with fresh air. They have a motor-operated fan blade that turns to move air. Air circulator fans and air cannons can be wall mounted, ceiling mounted, or floor standing. Air Quality Enhancing Plants Researcher has been studying the effects of plants on air quality for about twenty years and their research confirms, common house plants are natural air purifiers. The following plants are documented as being especially good at improving indoor air quality and will be used within the interior design of The Green Habit facilities: GREEN HABIT INC • Aloe Vera • Bamboo Palm • Peace Lily • Spider Plant • Parlor Palm • Gerbera Daisy Cleaning and Sanitation Strict cleaning and sanitizing procedures are part of the standard operating procedures for all operations in the Dispensary Facility. Product-contact surfaces will be cleaned before and after operations and between shift changes. Additionally, surfaces are cleaned after contact with potentially hazardous items. Employees must wash their hands with warm water and antibacterial soap after eating or using the restroom before returning to operational areas. Operational areas will be easy to clean and maintain by using appropriate, durable finishes for each functional space; careful detailing of finishes to avoid hard-to-clean crevices; adequate and appropriately located maintenance spaces; and incorporation of antimicrobial surfaces. Maintaining Reports An electronic platform will be maintained for the following information sets: 1. Daily values for odor within the storage room, dispatch room and outside the building at the front door and rear doors. 2. Maintenance schedules. 3. Staff training schedules 4. Logged issues. 3.4 Identifying Odor Sources Specific Odor Emitting Activities 1. Live plants emit natural odors, which increase throughout the life cycle of the plant. GREEN HABIT INC 2. Mature cannabis plants emit odors during the process of being cut for harvest. 3. Trimming, curing, cooking, extracting, and packaging cannabis causes odors to be emitted. 4. Stored cannabis may emit odors if it is not tightly sealed, or if the storage containers are opened for any reason. Intensity of Odor Emitting Activities Stage/Activity Odor Level Plants Prior to Flowering Low Flowering plants High Harvesting High Curing High Trimming High Packaging Medium Storage Low 3.5 Odor Control Devices and Techniques High efficiency carbon filtration and air purification units will be installed throughout the facility. These units will be changed out and maintained on a fixed schedule. The filtration and purification units will minimize potential sources of odor while also cleaning the area of harmful spores, mold, and dust. The carbon filtration units fight odor with 60 lbs. of carbon and industrial grade hardware that keeps air moving through the filters. The units use standard high efficiency particulate air (HEPA) filters across the HVAC equipment. GREEN HABIT INC Physical Measures The Store Manager is responsible for ensuring the equipment related to the odor control system is functioning properly on a day-to-day basis. Negative Air Pressure A Combination of intake fans and exhaust fans are used continuously to create negative air pressure inside the main perimeter the building. This results in air being pulled in through any openings and cracks around the building, rather than positive pressure, which would push potentially odorous air outward. ● The primary intake fans are 12” Max Fans (Model EL 012-E201), which will bring outside air into the facility through MERV 11 filters. ● Five (5) internal room-to-room circulation fans move air throughout the facility. The proposed air movement fans are 8” Max Fans (Model EL 012-E201). Exhaust Air exits the individual rooms and the facility through separate exhaust fans of sufficient capacity to ventilate the entire interior. In the main area inside the perimeter of the building, the exhaust fans have a higher capacity than the intake fans, creating negative air pressure. This prevents odor-containing air from exiting the building through cracks or doors. The storage rooms are designed with positive pressure, such that insects, molds, bacterial and fungal spores are deterred from entering rooms where product quality could be negatively affected. The intake fans in these rooms have a higher capacity than the outtake fans to create positive air pressure. Filtration All air leaving the building and the cannabis product-containing rooms passes through an activated charcoal filter [or receives ozone or other equivalent treatment]. The filtration system uses thirteen (13) 12” Uvonair fans to scrub air before it is released from the facility. GREEN HABIT INC Doors and Windows All exterior doors and windows remain closed when not in use, and no windows are used for routine ventilation. This prevents accidental or unnecessary odor emissions. Similarly, interior doors to areas used for processing, and storing cannabis remain closed when not in use. Internal doors will be equipped with spring-loaded auto-closing systems so they cannot inadvertently be left open. 3.6 Staff Odor Training and System Maintenance A rigorous staff training program has been created for The Green Habit to ensure that all staff are sufficiently trained in all aspects of the business operations, particularly product handling and odor control. Staff training will be comprehensive and, specifically, for odor management will include understanding of the odor management system, basic maintenance and product handling to reduce odor output. The Green Habit will require all retail (delivery) employees to undergo a course in "Cannabis Odor Control" in which they will learn the following: • How different odor control tools, equipment and products work • Safety concerns related to odor control • Mastering effective odor control strategies • Odor system maintenance • Maintaining records for the Odor Management System • Strategies to actively reduce odor • Reporting issues to management Odor Management Services The Green Habit will retain the services of a 3rd party odor management professional. This professional will perform inspections to identify sanitation, structural, and storage efficiency options and make recommendations to The Green Habit for any adjustments or improvements. GREEN HABIT INC System Maintenance Schedule The equipment used for odor mitigation will be inspected on a schedule determined by the Facilities Manager, consistent with manufacturer’s guidelines, and/or whenever personnel or visitors detect a problem with odor control. The Store Manager is responsible for developing a reminder protocol to ensure activities are carried out in a timely manner. Equipment to be inspected will include: Equipment Responsible Personnel Frequency Exhaust fans in work areas Facilities Manager or trained designee Weekly Exhaust fans outside work areas Facilities Manager or trained designee Weekly Ozone generator Facilities Manager or trained designee Weekly Ventilation ducting Facilities Manager or trained designee Monthly Activated charcoal filter Facilities Manager or trained designee Every 6 months Equipment Maintenance Log The Facilities Manager or a trained designee will maintain an equipment maintenance log for all equipment related to odor control. The log will be maintained according to the Record Keeping Plan. See Appendix A for the Odor Control Equipment Maintenance Log. At a minimum, logs will contain: GREEN HABIT INC 1. Specific identification of the equipment inspected using the code on the floor plan; 2. The date of the inspection; 3. The name of the personnel conducting the inspection; 4. Clear notes about the condition of the equipment; and 5. What action, if any, the inspector carries out to correct or report a malfunction. GREEN HABIT INC Appendix A Odor Control Equipment Maintenance Log Maintenance Frequencies (equipment code) Weekly: Exhaust fans (EF), ozone generator (OG) Monthly: Ventilation (Vent) Twice yearly: Activated charcoal filter (ACF) Attachments Calendar showing maintenance schedule Map showing all equipment locations with code labels Date Equip. Code Room/ Location Check if Normal Describe Problem (use as many rows as needed) Describe Action Check when Fixed Submit a copy of this completed form to the Store Manager and the Record Keeper. GREEN HABIT INC 3.7 Waste Management Plan The waste management procedures for The Green Habit are as follows: A, Waste Generation The Green Habit will generate waste from the following waste streams: • Hazardous Waste • Universal Waste • Recyclable materials with and without THC contaminants • Solid Waste B. Waste Streams • Hazardous Waste o RCRA Regulated  Flammable Liquid  Flammable Solids – Solvent contaminated materials o Non-RCRA Regulated  Pump Oils  Coolant Oils  Poly Glycol o THC Waste products rendered non-recoverable • Universal Waste o Office lights o Office devices using batteries • Recyclable Materials o Non-THC contaminated recyclables  Plastics, glass, and general office administrative waste.  Packaging waste to and from service providers  Hazardous Waste o THC contaminated recyclables rendered nonrecoverable  Plastics, glass, and packaging waste to and from distributors and services providers. GREEN HABIT INC  Solid waste • Minimal general trash from daily operations Waste Disposal: The Green Habit will identify and separate all organic waste (as defined by Public Resource Code (PRC) § 42649.8(c)) from hazardous waste as defined by PRC § 40141 generated in the process of cannabis manufacture for the purposes of potential organic waste recycling as set forth in PRC § 42649.81(a)(3) and commercial hazardous waste disposal set forth in California Health and Safety Code § 25117. All cannabis waste will be removed from its packaging (if applicable) and rendered unrecognizable and unusable prior to disposal. Glass cartridges containing the oil used for pens will be separated from the battery storage compartment. Waste Hauling Agency: The Green Habit will hire and use a 3rd party waste hauling company, which handles organic waste and hazardous waste. If necessary, Green Habit will use other approved waste hauling companies for its hazardous and commercial solid waste as mandated by applicable Public Resources and California Health and Safety codes. We will maintain and provide to the California Department of Public Health (CDPH) all relevant business information regarding the approved hauling company including business name, address, contact person, phone number, and documentation evidencing subscription to a waste collection service. We will never be engaged in self-hauling of cannabis waste of any kind. The transfer of all waste bins from the secure area will be overseen by an appointed track- and-trace system trained employee. The appointed employee will be responsible for overseeing the physical transfer of waste to the approved waste hauling company, collect a copy of the certified weight ticket or receipt from them to keep on file, and record the transaction in the track-and-trace system. GREEN HABIT INC Summary Early planning is the key to effective odor control for cannabis operations. The Green Habit will use a matrix approach to controlling odor - leveraging both mechanical means to control odors, as well as filters, scrubbers, plant-based solutions, air curtains, food grade surfactants and professional third-party consultants. All of this will be supplemented with a rigorous training program and systems in place to ensure all items are properly documented. GREEN HABIT INC Section 4: Safety Plan The Green Habit, Inc 2434 N. Weber Avenue Fresno, CA 93705 4.1 Fire Prevention and Suppression Consultant Because of the complex nature of a dispensary which combines professional services and finished goods made available to a limited pubic, it needs to meet safety standards for B (professional service), and M (merchant) occupancy classifications. To make sure we develop a fire protection plan adequate in all of these occupancy categories, we have partnered with the following third-party consultants to evaluate our building and assist us in crafting a comprehensive plan. In this section we give the details of our Fire Safety Plan crafted with their input: The Green Habit Fire Prevention & Suppression Consultant: AR Fire Protection 1630 E Francis St., Ontario, CA 91761 Name of Consultant: Ausencio Reyes Phone: 909-837-4078 Email: arfireprotection@verizon.net Construction license: C16/C10/902448 State of California Fire Marshal License: License for Fire Suppression: A0418 License for Fire Extinguisher: E2130 The Green Habit Architect/Contractor: RookSpire Inc 4644 W Jennifer Ave. #107, Fresno, CA 93722 Owner/Architect: Art Lancaster Phone: 559-360-2631 Email: rookspire1@gmail.com Mr. Ausencio Reyes and Mr. Art Lancaster have worked together to create a carefully thought out safety plan for The Green Habit facility to make sure the safety of the employees and customer are always prioritized while they are inside the Green Habit facility. GREEN HABIT INC Standardization of Procedures Standardization of procedures is the only way to ensure accountability and comprehensive preparedness. Accordingly, The Green Habit, with the help of Mr. Reyes, has developed a set of standardized forms and checklists to ensure that our safety procedures are correctly implemented and followed. We provide a sample of these safety-procedure forms and checklists in the Exhibits appended to this Fire Safety Plan: ● Fire Risk Survey – Exhibit A ● General Fire Prevention Checklist – Exhibit B ● Exits Checklist – Exhibit C ● Flammable and Combustible Material Checklist – Exhibit D GREEN HABIT INC Exhibit A – Fire Risk survey/reporting Type of Fire Hazard Location Emergency Actions Required PPE GREEN HABIT INC Exhibit B – Fire prevention checklist Use this checklist to ensure fire prevention measures conform with the general fire prevention requirements found in OSHA standards. □ Yes □ No Is the local fire department acquainted with your facility, its location, and specific hazards? □ Yes □ No If you have a fire alarm system, is it tested at least annually? □ Yes □ No If you have interior stand pipes and valves, are they inspected regularly? □ Yes □ No If you have outside private fire hydrants, are they on a routine preventive maintenance schedule and flushed at least once a year? □ Yes □ No Are fire doors and shutters in good operating condition? □ Yes □ No Are fire doors and shutters unobstructed and protected against obstructions, including their counterweights? □ Yes □ No Are automatic sprinkler system water control valves, air pressure, and water pressure checked weekly or periodically? □ Yes □ No Has responsibility for the maintenance of automatic sprinkler systems been assigned to an employee or contractor? □ Yes □ No Are sprinkler heads protected by metal guards? □ Yes □ No Is proper clearance maintained below sprinkler heads? GREEN HABIT INC □ Yes □ No Are portable fire extinguishers provided in adequate number and type? * □ Yes □ No Are fire extinguishers mounted in readily accessible locations?* □ Yes □ No Are fire extinguishers recharged regularly with the recharge date noted on an inspection tag? * □ Yes □ No Are employees periodically instructed in the use of extinguishers and fire protection procedures?* *(NOTE: Use of fire extinguishers is based on company policy regarding employee fire fighting in your Emergency Action Plan and local fire code.) Exhibit C – Exits checklist Use this checklist to evaluate The Green Habit’s compliance with OSHA's standard on emergency exit routes. □ Yes □ No Is each exit marked with an exit sign and illuminated by a reliable light source? □ Yes □ No Are the directions to exits, when not immediately apparent, marked with visible signs? □ Yes □ No Are doors, passageways, or stairways that are neither exits nor access to exits, and which could be mistaken for exits, marked “NOT AN EXIT” or other appropriate marking? □ Yes □ No Are exit signs provided with the word “EXIT” in letters at least five inches high and with lettering at least one inch wide? GREEN HABIT INC □ Yes □ No Are exit doors side-hinged? □ Yes □ No Are all exits kept free of obstructions? □ Yes □ No Are there at least two exit routes provided from elevated platforms, pits, or rooms where the absence of a second exit would increase the risk of injury from hot, poisonous, corrosive, suffocating, flammable, or explosive substances? □ Yes □ No Is the number of exits from each floor of a building and from the building itself appropriate for the building occupancy? (NOTE: Do not count revolving, sliding, or overhead doors when evaluating whether there are sufficient exits.) □ Yes □ No Are exit stairways that are required to be separated from other parts of a building enclosed by at least one-hour fire-resistant walls (or at least two-hour fire-resistant walls in buildings over four stories high)? □ Yes □ No Are the slopes of ramps used as part of emergency building exits limited to one foot vertical and 12 feet horizontal? □ Yes □ No Are glass doors or storm doors fully tempered, and do they meet the safety requirements for human impact? □ Yes □ No Can exit doors be opened from the direction of exit travel without the use of a key or any special knowledge or effort? □ Yes □ No Are doors on cold storage rooms provided with an inside release mechanism that will release the latch and open the door even if it's padlocked or otherwise locked on the outside? □ Yes □ No Where exit doors open directly onto any street, alley, or other area where vehicles may be operated, are adequate barriers and warnings provided to prevent employees from stepping into the path of traffic? GREEN HABIT INC □ Yes □ No Are doors that swing in both directions and are located between rooms where there is frequent traffic equipped with glass viewing panels? Exhibit D – Flammable and Combustible material checklist Use this checklist to evaluate The Green Habit’s compliance with OSHA's standards on flammable and combustible materials: □Yes □No Are combustible scrap, debris, and waste materials such as oily rags stored in covered metal receptacles and removed from the worksite promptly? □Yes □No Are approved containers and tanks used for the storage and handling of flammable and combustible liquids? □Yes □No Are all connections on drums and combustible liquid piping vapor and liquid tight? □Yes □No Are all flammable liquids kept in closed containers when not in use? □Yes □No Are metal drums of flammable liquids electrically grounded during dispensing? □Yes □No Do storage rooms for flammable and combustible liquids have appropriate ventilation systems? □Yes □No Are NO SMOKING signs posted on liquefied petroleum gas tanks? GREEN HABIT INC □Yes □No Are all solvent wastes and flammable liquids kept in fire-resistant covered containers until they are removed from the worksite? □Yes □No Is vacuuming used whenever possible rather than blowing or sweeping combustible dust? □Yes □No Are fuel gas cylinders and oxygen cylinders separated by distances or fire-resistant barriers while in storage? □Yes □No Are fire extinguishers appropriate for the materials in the areas where they are mounted? * □Yes □No Are appropriate fire extinguishers mounted within 75 feet of outside areas containing flammable liquids and within 10 feet of any inside storage area for such materials? * □Yes □No Are extinguishers free from obstruction or blockage? * □Yes □No Are all extinguishers serviced, maintained, and tagged at least once a year?* □Yes □No Are all extinguishers fully charged and in their designated places? * □Yes □No Where sprinkler systems are permanently installed, are the nozzle heads directed or arranged so that water will not be sprayed into operating electrical switchboards and equipment? □Yes □No Are NO SMOKING signs posted in areas where flammable or combustible materials are used or stored? □Yes □No Are safety cans utilized for dispensing flammable or combustible liquids at the point of use? GREEN HABIT INC □Yes □No Are all spills of flammable or combustible liquids cleaned up promptly? □Yes □No Are storage tanks adequately vented to prevent the development of an excessive vacuum or pressure that could result from filling, emptying, or temperature changes? *(NOTE: Use of fire extinguishers is based on company policy regarding employee fire-fighting in your Emergency Action Plan and local fire code.) Completed by:______________________ Date:__________________ GREEN HABIT INC GREEN HABIT INC 4.3 Evacuation Routes - see the complete diagram at the end of this section Per the above Safety Plan, exits are available as emergency exits in the event of a fire emergency. These doors will remain locked but can always be opened from the inside of the building. All exits will be clearly marked and lights for exits will always be illuminated and on backup power in the event of a power loss. In the event of a fire emergency that triggers the building’s fire alarm system, The Green Habit's policy is to immediately evacuate all employees and customers from the building. Evacuating employees will direct customers using the nearest exit, and then to the parking lot, where the Security Guard and Manager or designated supervisor will take attendance to account for all personnel. Fire emergency exit maps, with primary and secondary routes, will be located on all interior room doors. The Green Habit will coordinate with the Fresno Fire Department to prepare a comprehensive fire evacuation plan and conduct fire drills to assess fire emergency preparedness. All employees will receive instruction on the following general evacuation procedures: How and where to assemble and who to report to — this is critical in order to be able to account for all employees. How to evacuate disabled employees or customers. How to evacuate persons in all possible circumstances and scenarios (periodic fire drills will test the effectiveness of these procedures). 4.4 Location of Fire Extinguishers and Other Fire Suppression Equipment A fire alarm system will be designed and installed for The Green Habit in conformance with the city of Fresno requirements. Three (3) approved fire extinguisher cabinets, with fire extinguishers and suppression equipment, will be positioned in the lobby, dispensary, and work rooms, conspicuously located. A fire sprinkler system, an active fire protection method consisting of a water supply system, GREEN HABIT INC will be installed in the ceilings throughout the building. Access to all available firefighting equipment will always be maintained. All firefighting equipment will be maintained in operation condition, and periodically inspected. Any equipment found defective will be immediately replaced. 4.5 Procedures and Training for All Fire and Medical Emergencies The Green Habit staff will be trained upon hire and on a quarterly, on-going basis. The training is a requirement of employment on our standard operating procedures, including our medical and fire safety plan. Random drills conducted at least twice a year will give employees the opportunity to practice protocols and allow The Green Habit to access the effectiveness of the employee’s training and drill. a. Training One goal of training is to make sure employees understand the structural safeguards that are built into our facility so they can rely on them appropriately and know if they are obstructed or malfunctioning. This means making sure employees: ● Are aware of the emergency exits and the location and types of fire extinguishers; ● Are aware of the fixed fire extinguishing systems at the facility and understand how these systems are designed to operate in a fire emergency; ● Are aware of the emergency lighting system and how it is supposed to work; ● Are familiar with the alarm system, knowing how to operate it, including methods of voice communication and activating sound signals such as bells, whistles, and horns; and ● Know the evacuation plan, including exit routes from building, the correct procedures to follow, locations of exit signs, and the meaning of different evacuation signals they may hear. All employees will know: ● How to raise the alarm if there is fire. GREEN HABIT INC ● How to contact the fire department. ● How to use fire-fighting equipment, including portable fire extinguishers. ● That exits are to remain clear of obstructions and that fire doors are to be unblocked and are not to be locked when employees are inside. Evacuation plans will identify three employees per floor who will serve as floor wardens. Floor wardens are the go-to people during an emergency who will provide direction to the rest of the staff. Floor wardens receive special training on the execution of their functions. Evacuation plans will also specify a) who stays behind to shut down critical facility equipment and b) how these individuals are to be evacuated. Every employee will be briefed on the fire hazards specific to his or her individual job and on general matters such as: ● Proper handling and packaging of flammable waste. ● Housekeeping procedures for storage and cleanup of flammable materials and flammable waste. ● Proper cleaning and maintenance of heat producing equipment and storage of flammables away from this equipment. All employees will receive instruction on the general evacuation procedures: ● How and where to assemble and whom to report to. This is critical in order to be able to account for all employees. ● How to evacuate disabled employees. b. Drills The Green Habit will conduct fire drills twice a year to assess everyone’s fire emergency preparedness. The Green Habit management will periodically test employees on their knowledge of fire safety matters within the facility. All employees are required to participate in GREEN HABIT INC fire drills to test their knowledge in practice. In case they do not implement emergency procedures properly, employees will be required to review procedures and attend additional training and drill exercises. Results of fire drills are recorded in The Green Habit’s fire log, utilizing a check list that evaluates the following items: ● Communication o Was the fire alarm clearly heard in all areas? o Was the public address system clearly heard in all areas? o Was Fire Department notified? o Was Security notified? ● Evacuation Team Personnel o Did Floor Wardens report to respective stations? o Did Floor Wardens carry out all assigned duties (building search, head count, etc.) ● Containment of Fire o Were all doors closed but not locked? o Was a fire extinguisher taken to the location of the fire? ● Evacuation o Were corridors and exits found clear of obstructions? o Did the evacuation proceed in a smooth and orderly manner? o Did visitors to the building take part in the drill? o Was a status report given after relocation? ● Utilities o Were electrical appliances turned off? o Were emergency lights left on? GREEN HABIT INC o Was ventilation system shut down? ● Records/Valuables o Were important documents/cash, etc. secured or prepared for removal? GREEN HABIT INC Section 5: Security Plan The Green Habit, Inc 2434 N. Weber Avenue Fresno, CA 93705 GREEN HABIT INC Section 6: Location The Green Habit, Inc 2434 N. Weber Avenue Fresno, CA 93705 GREEN HABIT INC Section 7: Community Benefits & Investments Plan The Green Habit, Inc 2434 N. Weber Avenue Fresno, CA 93705 GREEN HABIT INC A Community Benefits and Investment Plan boils down to simply being a good corporate citizen. This is the corner stones of any business wishing to build goodwill in their community and be woven into the fabric of it. Many of the methods we outlined in Section 3: Proactive Approach to Complaints are mirrored here because they serve both objectives. 7.1 Social Responsibility Plan The cannabis industry was created by a social grassroots movement — and at a time when consumers are increasingly putting pressure on companies to focus on their social impact. Because of this, the cannabis industry as an opportunity to act as the poster child for what capitalism could look like. Simultaneously, on the national level, consumers want to see the businesses and brands they support do the right thing on their behalf and the world in which they live. This isn’t true just in the cannabis industry, where consumers have been criminalized and often violently arrested for decades, but across all industries. This is evidenced by a 2019 survey of 420 consumers in the U.S. that found "fewer people (44%) say price is among the most important attributes of a company compared to environmentally friendly business practices (71%), social responsibility (68%), and giving back to the local community (68%)." Even though a Social Responsibility Plan is a mandate of the application process, it is for these reasons The Green Habit had already positioned itself to step forward and do its part in addressing some of the biggest social issues facing Californians, and the city of Fresno in particular. The issues taking center stage include income inequality, diversity, and the environment. CHARITABLE CONTRIBUTIONS The Green Habit will work to identify local charitable organizations/programs to partner with in order to address the community’s needs. As part of our core values, we will continually reach out to the local and regional leadership for areas to support the community goals. According to the August 26, 2020 Fresno Bee: GREEN HABIT INC “Total homelessness in Fresno and Madera grew from 2,508 people in 2019 to 3,641 people in 2020, according to results from January’s point-in-time count — three months before the coronavirus pandemic hit the central San Joaquin Valley and devastated the national economy.” Because he is a resident and business owner in the city of Fresno, Mr. Alghazali wants to help the municipality aid and combat its growing population of hungry and homeless citizens. As part of The Green Habit’s corporate giving campaign, he pledges the following to benefit the city of Fresno funded entity, Fresno Madera Continuum of Care (FMCoC): • Year 1 in operation: • Year 2 in operation: • Year 3 in operation: However, that is, just the first step. Mr. Alghazali will work FMCoC and the city’s trauma- informed social workers on a new program called “Food for Thought”. “Food for Thought” is an effort wherein: • Mr. Alghazali will rent a food truck to feed the home and food insecure. • Food is used as a way to build trust among the city’s hungry and homeless. • Trauma-informed social workers will be present at the event and approach people in need, • talk to them about the city’s many helpful programs, • give literature and contact information, • and hopefully help several on the spot with relocating to shelter and accessing much- needed resources. The Green Habit’s Community Liaison will create a calendar and work with the city of Fresno, FMCoC, and Mr. Alghazali to implement this program. *Note: FMCoC’s mission is “Helping people, changing lives and making our community a better place to live by providing resources and services that inspire personal growth and independence.” GREEN HABIT INC At the behest of The Green Habit owner, Omar Alghazali, and working in concert with Store Managers and the Community Relations Liaison, the dispensary’s Social Responsibility Plan will: • Create a Community Relations Liaison position. The incumbent will ensure focus in community and be responsible for arranging benefits in the form of volunteer services, monetary donations, financial support of sponsored activities or organizations in the city of Fresno. • Educate Fresno and its surrounding communities on marijuana, the local and state Adult-Use Marijuana related laws and regulations, host and/or attending local events and reach out to local organizations to educate the community on the benefits of marijuana • Commit to hiring and maintaining a diverse and inclusive employee base. The Green Habit will be socially responsible by willing to accommodate all walks of life, including disabled and disadvantaged workers” • Be mindful of the Fresno community in terms of culture and customs, noise and visual blight, and concerns such as traffic, pollution, and other interactions • Support the Lincoln Training Center’s mission that states it "turns disabilities and disadvantages into possibilities through employment, independence, and community participation." • Consider sponsoring community activities and contributing to local causes. • Protect the environment, both locally and globally, by setting goals for becoming "green," avoiding the use of toxic chemicals whenever possible, and learn where our products and materials come from and how they are produced Lastly, The Green Habit also plans to participate in charitable work and/or deliver contributions to the following non-profits of Fresno: GREEN HABIT INC . • Lincoln Training Center - 2350 W. Shaw Ave. #135k, Fresno, CA 93711 - provide the Community Based Integration Program, Customized Employment, and Disabled Veterans Workforce Program • Valley Dream Center - 1835 N. Winery Ave., Fresno, CA 93703 - provides programs that offer a pathway out of homelessness, addiction, hunger, and poverty for those in need • Poverello House - 412 F St., Fresno, CA 93706 - provides meals, social services, and temporary shelter for those in need • Veterans - The Green Habit will also have a Veteran Discount Program, which will provide 10% off all purchases for veterans. 7.1.1 Outreach Services The purpose of The Green Habit’s outreach services is to ensure that a positive net impact is felt in the neighborhoods where we operate. The Community Liaison, working in concert with the store’s Managers, will be responsible for ensuring ongoing improvement and execution of operating standards that impact city of Fresno, and building and executing local community outreach plans. The incumbent’s duties include: • Discovering and understanding the needs and specific opportunities in the neighborhood where we operate and how our operations will impact that neighborhood and those in a 10-mile radius. Develop a Community Outreach Playbook • Support the owner and Managers in discussions with local government officials and business leaders • Participate in local town halls, task forces, and other events and community groups to gather feedback on the impact of our operations in communities and opportunities for partnership on community outreach GREEN HABIT INC • Drive end-to-end operational standards in line using the Community Outreach Playbook for community outreach, conduct audits as required and collaborate with stakeholders to drive operational changes • Consider Green Habit’s reputation in surrounding neighborhoods where we operate and recommend ways to increase awareness of the dispensary • Drive community outreach campaigns using public relations tactics • Work with The Green Habit’s leadership team to increase engagement in dispensary- related initiatives and maintain a culture of responsible corporate citizenship • Actively participate in community/local government events, tracking activities and event recaps • Pioneer new ideas, challenge current thinking, and engage in necessary challenging conversations in order to influence outcomes and meet program goals • Manage Community Outreach contact list • Foster a workplace that upholds The Green Habit’s aim to be the Best Place to Work, and cannabis dispensary 7.1.2 Green Environmental Technology The Green Habit plans to incorporate an environmentally sustainable business model by using green environmental technology on the premises and creating an energy efficient building. To create a healthier and cleaner community, The Green Habit will recycle all applicable items and attempt to eliminate waste as much as possible and lower waste disposal costs. The Green Habit will plan to use biodegradable, instead of packaging material and product in paper or plastic. The Green Habit will use cleaning products that have natural ingredients and are safe to use. The cleaning agents used within The Green Habit will be free of chemicals that are toxic to the environment and/or harmful to humans. GREEN HABIT INC We will also create a website that will include: • cannabis education and helpful information on how to get involved with the cannabis program • the latest news regarding cannabis health, technology, updates to state and federal laws, links to noteworthy scientific articles, and customer testimonials. • a designated portal where members of the community are encouraged to leave feedback and ask questions. o The main purpose of the feedback is to listen and find new ways for The Green Habit to engage with the community. The Green Habit will be able to post real time responses to queries and encourage an open dialogue between all participants on the website. o The same will apply for the creation and upkeep of social media accounts, including Instagram, Twitter, Facebook, etc. Additionally, the Community Liaison will spearhead and develop a public health outreach and educational program that outlines the risks of youth use of cannabis and that identifies resources available to youth related to drugs and drug addiction. The program will rely heavily on the US Department of Health & Human Services, Substance Abuse and Mental Health Services Administration (SAMHSA), and National Institution on Drug Abuse (NIDA) as references. 7.3 Fresno Community Reinvestment Fund The Green Habit is dedicated to helping fight income inequality and poverty in the community. Therefore, the dispensary will make financial contributions to the Fresno Community Reinvestment Fund monetarily and is exploring the efficacy of implemented a match program as part of our community benefits and investment plan.