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HomeMy WebLinkAboutC-20-88 Fresh Farms RedactedApplicant (Entity) Information Application Type Proposed Location Commercial Cannabis Business Permit Application C-20-88 Submitted On: Dec 04, 2020 Applicant Kirill Merkulov 303-521-0533 Applicant (Entity) Name: Yuma Way CA LLC DBA: Fresno Farms Physical Address:City: Valley Village State: CA Zip Code: 91607 Primary Contact Same as Above? No Primary Contact Name: Jessica Reuven Primary Contact Title: Chief Compliance Officer Primary Contact Address: Primary Contact City: Valley Village Primary Contact State: CA Primary Contact Zip Code: 91607 Primary Contact Phone: 720-275-8956 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: Limited Liability Company Property Owner Name: KEARNEYS RENTALS LLC / 3849 E Ventura LLC Proposed Location Address: 3849 E Ventura St City: Fresno State: CA Zip Code:Property Owner Phone: Supporting Information Application Certification 93702 303-522-8633 Property Owner Email:Assessor's Parcel Number (APN): 46126510 Proposed Location Square Footage: 1512 List all fictitious business names the applicant is operating under including the address where each business is located: Releaf on Vine (not operating currently, but in progress in Oxnard, CA) Has the Applicant or any of its owners been the subject of any administrative action, including but not limited to suspension, denial, or revocation of a cannabis business license at any time during the past three (3) years? No Is the Applicant or any of its owners currently involved in an application process in any other jurisdiction? Yes If so, please list and explain: City of Oxnard, application process in progress I hereby certify, under penalty of perjury, on behalf of myself and all owners, managers and supervisors identified in this application that the statements and information furnished in this application and the attached exhibits present the data and information required for this initial evaluation to the best of my ability, and that the facts, statements, and information presented are true and correct to the best of my knowledge and belief. I understand that a misrepresentation of fact is cause for rejection of this application, denial of the permit, or revocation of a permit issued. In addition, I understand that the filing of this application grants the City of Fresno permission to reproduce submitted materials for distribution to staff, Commission, Board and City Council Members, and other Agencies to process the application. Nothing in this consent, however, shall entitle any person to make use of the intellectual property in plans, exhibits, and photographs for any purpose unrelated to the City's consideration of this application. Furthermore, by submitting this application, I understand and agree that any business resulting from an approval shall be maintained and operated in accordance with requirements of the City of Fresno Municipal Code and State law. Under penalty of perjury, I hereby declare that the information contained in within and submitted with the application is true, complete, and accurate. Iunderstand that a misrepresentation of the facts is cause for rejection of this application, denial of a permit or revocation of an issued permit. A denial or revocation on these grounds shall not be appealable (FMC 9-3319(d)). Name and Digital Signature true Title CFO Please note: the issuance of a permit will be determined based on the application you submit and any major changes to your business or proposal (i.e. ownership, location, etc.) after your application is submitted may result in a denial. All applications submitted are considered public documents for Public Records Act request purposes. For details about the information required as part of the application process, see the Application Procedures & Guidelines, City of Fresno Municipal Code Article 33 and any additional requirements to complete the application process. All documents can be found online via this link. For questions please contact the City Manager’s Office at 559.621.5555. Table of Contents 1. Business Plan 2 1.1. Owner Qualifications. Resumes.2 1.2. A budget for construction, operation, and maintenance, compensation of employees, equipment costs, utility cost, and other operation costs.9 1.3. Proof of capitalization in the form of documentation of cash or other liquid assets on hand, Letters of Credit, or other equivalent assets.16 1.4. 3-year pro forma for three years of operation.16 1.5. Fully describe hours of operation and opening and closing procedures.20 1.6. Fully describe the day-to-day operations for each license type being sought.22 1.6.1. Day-to-day procedures for a retail permit.23 i. Customer check-in procedures 23 ii. Location and procedures for receiving deliveries during business hours 23 iii. Identify the name of the Point-of-Sale system to be used and the number of Point-of-Sale locations 24 iv. Estimated number of customers to be served per hour/day 26 v. Proposed product line and estimate the percentage of sales of flower and manufactured products 27 (a) Product handling procedures 33 vi. Describe delivery service procedures, number of vehicles and product security during transportation 34 1.6.2. Cash handling procedures.37 1.6.3. Inventory control procedures including identification point-of-sales and track and trace software.38 CONFIDENTIAL: PROPRIETARY AND/OR TRADE SECRET INFORMATION 1 Closing Procedures:​ As part of the company’s closing procedures - which are documented in a series of SOPs and provided to each employee - the Shift Manager will ensure that all customers have left the premises prior to closing the building. Only Yuma employees are allowed to be present within the facility after hours. The closing shift crew will reconcile the physical inventory on hand with the POS once the facility is locked all customers left the premises. Once staff have confirmed all sales records and inventory are accurate, all cannabis product(s) above the daily threshold will be stored in safes/vaults in the Product Storage area. If any discrepancies exist, they will be documented in an Incident Log for review by the General Manager no later than the following business day. The procedures for incident reporting are provided in more detail in the Security Plan as well as throughout the Company’s robust SOPs. Cash will be handled in accordance with the company’s cash handling procedures. After all cannabis products (including edibles and concentrates) and cash deposits have been secured safely in the locked Product Storage area and no other daily or closing tasks remain, the Shift Manager will follow the exit and closing procedures by turning off all lights and locking and verifying all doors and activating the alarm with their personal alarm code. Employees will be escorted by the on-site armed security contractor on their way out of the premises. If there are any issues noted with regard to the alarm or surveillance equipment, they shall be escalated in an immediate report to the General Manager and Chief Compliance Officer. The original copies of both the commercial cannabis business permit and business license issued by the City along with other licenses will be conspicuously posted inside the foyer. Emergencies:​ Yuma will provide the City Manager or his/her designee(s) with the name, telephone number (both landline and mobile, if available) of all on-site management employees and the owners to whom emergency notice can be provided at any hour of the day. CONFIDENTIAL: PROPRIETARY AND/OR TRADE SECRET INFORMATION 21 Table of Contents 3. Neighborhood Compatibility Plan 2 3.1. Proactive response to complaints related to noise, light, odor, vehicle, and pedestrian traffic.2 3.2. Avoiding becoming a nuisance or having an impact on neighbors and the surrounding community.4 3.3. Odor Mitigation Practices 8 3.4. Potential Sources of Odor.8 3.5. Odor control devices and techniques employed to ensure odors are not detectable beyond premises.9 3.6. Describe all proposed staff training, and system maintenance plans.11 3.7. Describe the waste management plan. The plan shall include waste disposal locations, security measures, and methods of rendering all waste unusable and unrecognizable.12 CONFIDENTIAL: PROPRIETARY AND/OR TRADE SECRET INFORMATION 1 Distributors and Suppliers:​ Environmental compliance is a key criterion in our contractor/distributor/supplier selection process. Preference will be given to local Fresno businesses that share our environmental values, and practices, minimize carbon footprint, implement energy conservation plans, utilize and sell green technologies, and obtain organic certification. We will convey this information to customers and support environmental efforts with our marketing strategies. Cleanliness: ​Yuma will make sure that the interior and exterior of the store will be kept clean and presentable. These details are addressed below in ​Section 3.7​. Quality buildout: ​The dispensary buildout will be completed in compliance with current building code standards and will utilize green technology construction practices where possible. All interior elements shall be upgraded using modern environmentally-safe materials that will allow for effective cleaning and disinfection. There will be no cracks on walls, floors, ceilings, or other surfaces. All interior and exterior walls shall be freshly painted. Merchandising Plan:​ The dispensary will further reduce the energy consumption by optimization of product assortment and space utilization. The merchandise plan will thus reduce required shelf space, while improving the customer flow and use of energy (lighting, climate controls, surveillance and security power draw, etc.) Building Envelope:​ During the initial build-out phase, we plan to approach all construction from an energy efficiency standpoint. We have designed the facility to minimize the heat-loss factor, and have the most control of the enclosed environment by surrounding the conditioned living space and separating it from any unconditioned space. Energy efficiency is further increased by the addition of insulation (made from recycled materials where possible). HVAC System:​ We utilize high-efficiency cooling and heating units throughout our facilities. Furthermore, energy-star thermostats are utilized to explore additional fine-tuning, thus using less energy. Hot/cold air recirculation controls are implemented in such a way that the air is balanced throughout the building, depending on the temperature demand. Hardware in-duct controls direct circulation of already-preconditioned air, hence using less energy by not having to condition air again. This reduces the electric load on the system. Carbon filters will be replaced on schedule and documented in logs. Lighting System: ​All existing light fixtures at our retail location will utilize LED lighting, which yields approximately 75% energy savings compared with standard bulbs, and has increased lifespan of over 20,000 hours. Lights will be designed in conformance with neighboring businesses, and to mitigate light nuisance, and will be kept in a good working order. CONFIDENTIAL: PROPRIETARY AND/OR TRADE SECRET INFORMATION 6 Water Management: ​A highly-efficient water management system will be installed at our retail store. It will include a refillable water-bottle station, reducing the use of plastic bottles, and controlling waste. Reduced-flow water faucets and multi-flow toilets will be installed throughout the facility. If possible, the contractor will install water-free urinals in water closets to further minimize the water usage. Packaging Materials and Office Supplies:​ We will attempt to source all office supplies, such as paper, pencils, packing supplies, packaging bags, trays, cleaning supplies, etc. from green-certified, reputable, diverse, and preferably local suppliers that carry a full line of recycled products. Automation of Electrical Controls:​ Given recent advancements in energy-use automation, Yuma will be utilizing some of the most advanced automated controls to maximize energy efficiency in our dispensary. According to recent studies on such systems, automation reduces energy consumption and energy leaks Renewable Energy:​ We intend to explore the option of using renewable energy generation in our dispensary operations. We hope to take advantage of California’s leading solar energy program and install solar power on our site, if feasible. We are currently collaborating with the property landlord to employ solar energy suppliers in evaluating the feasibility and financial implications of converting our operations to renewable energy sources should we receive all necessary approvals from the State of California. Environmental Committee: ​Yuma will create an Environmental Committee that will review the Incident Log, Daily and Monthly Walk-through and Maintenance logs, and revisit the Neighborhood Compatibility Plan initiatives at least quarterly. The Committee will include the General Manager, Chief Compliance Officer, Security and Safety Contractors, representatives from the Waste Management company, at least one of the neighboring businesses, and the Landlord. The Committee will forward their report and recommendations to the CEO. Yuma is proud of our affiliates’ reputation for excellence - with zero violations or complaints against our operations - and positive relationships within our community. We have chosen to implement the above strategies as they have proven to be effective measures in mitigating the negative environmental impact. Additionally, we believe that having a positive impact on the surrounding communities, adjacent businesses and neighboring organizations is of equal importance. We are committed to carefully monitoring and managing the impact the dispensary shall have on all aspects of society around us and will operate our business in a safe and responsible way. CONFIDENTIAL: PROPRIETARY AND/OR TRADE SECRET INFORMATION 7 Table of Contents 4. Safety Plan 2 4.1. The Safety Plan prepared by professional fire prevention and suppression consultant.2 4.2. Describe accident and incident reporting procedures.6 4.3. Describe evacuation routes.9 4.4. Location of fire extinguishers and other fire suppression equipment.12 4.5. Procedures and training for all fire and medical emergencies.16 4. Safety Plan Yuma makes the Safety of its Employees and customers its priority. The Company is committed to ensuring a safe environment that mitigates as much risk as reasonably possible. The following Safety Plan (“Safety Plan”, “Plan”) has been developed in alignment with local and state laws. This Plan will be implemented by the General Manager of Yuma, once appointed, as well as other key members of Yuma’s management team. The Safety Plan will remain available for review by regulatory agencies (including the Fresno Fire Department) and will be updated as any changes to the facility infrastructure, systems, policies or practices are made. The Plan will be amended by Yuma’s General Manager in coordination with Safety Consultant over time to address equipment or policy changes and will include specific details relating to installed safety equipment, contracts, maintenance schedules, logs and evidence of compliance with the routine auditing aspects called for in this Plan. The Plan will be maintained in a manner that ensures sufficient detail is available to future managers who may be required to assume responsibilities as the General Manager. The Plan will be held in confidence, stored in a secure location and accessible only to managers and owners of the facility. 4.1. The Safety Plan prepared by professional fire prevention and suppression consultant. This Safety Plan has been prepared by Jack Collings. ​M​r. Collings is a principal of CFP Engineering, LLC, a fire protection engineering consulting firm located in Ventura, California. Mr. Collings holds a Bachelor of Science Degree in Mechanical Engineering from California State Polytechnic University and is a Professional Registered Engineer (FPE 1545) in Fire Protection in the State of California. Professional Experience: ​Mr. Collings has over thirty-five years of experience in the fire protection industry, including broad experience in the following areas: ●Fire Code Analysis, Interpretation and Consultation ●Code Adoption and Standards Consultation ●Fire and Life Safety System Review for Buildings and Facilities ●CFC Evaluation of Cultivation, Distribution and Extraction Facilities ●Hazardous Material, Flammable & Combustible Liquid Code Consultation ●Design/Build Fire Protection Engineering Peerreview ●Fire Suppression System Design ●Fire Service Water Supplies, System Design, and Hydraulic Analysis ●Building and Fire Suppression System Surveys and Field Inspections ●Project and Construction Management Mr. Collings has served as a fire protection consultant to architects, engineering firms, developers, and governmental authorities on a wide range of projects. He has been involved in the analysis and development of fire protection for commercial and residential buildings, healthcare, biotech facilities, oil production facilities, aircraft hangars, missile test facilities, wineries and storage facilities. Mr. Collings has also designed automatic fire protection systems for a wide variety of occupancies, including industrial, residential, education, military, healthcare, and high hazard facilities. Mr. Collings has provided plan submittal review services for a number of community fire and building departments, including consultation in support of the development of local codes and standards. Mr. Collings is a member of the National Fire Protection Association and of the Society of Fire Protection Engineers. Please note that this is a preliminary evaluation for license application planning purposes. The final Fire Protection and Life Safety Plan will be updated and completed once the license is approved by the City of Fresno and final construction documents are prepared for review and assessment. The purpose of this preliminary evaluation is to assess the proposed use of the newly constructed space, evaluate corresponding fire code requirements, identify deficiencies and to provide recommendations as needed to develop a Safety Assessment Plan in accordance with the City of Fresno’s submittal requirements as listed in Appendix A, Section 3 of the City’s CCB Application Procedure Guidelines. Per the information provided by Yuma, the project will comprise a suite of rooms totaling approximately 1,512 square feet (“sf”) of the proposed 1,512 sf single-story building. Below is a general description of the subject space: Project Area: 1,512 sq. ft Current Occupancy: Retail (M & B Occupancies) Stories: One Construction Type: V-N Fire Sprinklers: Yes, Fully Sprinklered A suite within the proposed building will be constructed for the proposed commercial cannabis retail and delivery uses. A reduced overall building plan is indicated (see architectural plans for enlarged view) in the image below, with the Scope of Work area indicated. Additionally, the following operations will ​not be conducted​ within the retail premises as part of this license application: ●There will be ​no growing​ ​or cultivation​ of cannabis; ●There will be ​no manufacturing or production​ of products; ●There will be ​no extraction of oils or other derivatives​ from cannabis plants; ●There will be ​no cooking, baking, or related​ actions of cannabis products; and ●There will be ​no packaging of cannabis goods​ on the premises. A complete description of the proposed retail/delivery sales operations and procedures are referenced throughout various sections of our application submission. Preliminary Assessment of Fire Code Requirements: ​The references utilized in this evaluation include the following: ●2019 California Building Code (“CBC”) ●2019 California Fire Code (“CFC”) ●Relevant National Fire Protection Association (“NFPA”) Standards, including NFPA 13, 70 and 72 ●Architectural Plans prepared by Yuma Way CA LLC. Since there will be no growing, manufacturing, extraction or production operations at this facility as part of this retail sales license application, the CBC occupancy classification would be based on the sales/delivery of packaged cannabis products and the office spaces dedicated to the support of this effort. Overall, this business qualifies as a ​Business Group B​ occupancy type per the CBC noted below: 304.1 Business Group B​ occupancy includes, among others, the use of a building or structure, or a portion thereof, for office, professional or service-type transactions, including storage of records and accounts. Business occupancies shall include, but not be limited to, the following: Professional services (architects, attorneys, dentists, physicians, engineers, etc.); Radio and television stations; Telephone exchanges; Training and skill development not within a school or academic program. The Retail Showroom space would be considered a ​Mercantile Group M​ occupancy as follows: 309.1 Mercantile Group M. ​Mercantile Group M occupancy includes, among others, the use of a building or structure or a portion thereof, for the display and sale of merchandise and involves stocks of goods, wares, or merchandise incidental to such purposes and accessible to the public. Mercantile occupancies shall include, but not be limited to, the following: ●Department stores ●Markets ●Retail or wholesale stores ●Sales rooms Aside from the retail sales showroom, the remaining areas include the following, which are all classified as ​B​ occupancies: ●Screening Lobby/Waiting Room ●NSF Staging Area and NSF Online Order Area ●Employee Break Room and Restroom ●Vendor Lobby ●Management Office The Product Inventory Storage (secured vault) storage room will be considered an ​S-2​ accessory use to the primary ​M & B​ occupancies due to its limited size as well as the relatively small amounts of merchandise stored on shelving within the 86 sq ft space. The proposed construction can be classified as mercantile and office/business uses. Typical fire and life safety hazards present in retail sales and delivery operations similar to this proposed facility use would be mitigated by the following: ●Maintenance of all required exiting, including signage ●Maintenance of code-compliant fire sprinkler and fire alarm systems ●Safe retail process operations, including: ○proper inventory control and management, including storage ○safe operation of equipment ●No smoking within the building ●Installation and maintenance of fire extinguishers ●Proper staff training, including emergency/medical response protocols Since there are no extraction, manufacturing, or processing operations to be conducted as part of this retail/delivery license, fire hazards, life safety hazards and inhalation issues/threats for this proposed retail/delivery sales and support areas are in line with typical retail operations. Cannabis inhalation hazards will not be a threat and all cannabis-related goods will be pre-packaged. Additionally, a carbon filtration system with a negative pressure component will be installed to reduce any potentially unsafe Volatile Organic Compounds (“VOCs”) from being released. Other than small amounts of typical cleaning products, there will be no hazardous materials located within the retail/delivery sales business. Cleaning products will be stored within a janitorial storage cabinet. 4.2. Describe accident and incident reporting procedures. Emergency situation response and handling of accidents and incidents related to safety is an essential part of the Safety Plan. To report safety accidents and incidents, Yuma utilizes an internal Incident Log, with the appropriate training provided to employees at initial orientation upon hiring (see Labor and Employment Plan). As required, there will be a California Labor Law Poster displayed on a wall in the Break Room, which provides information specific to the Safety Plan as it relates to Workers’ Compensation. The following information will be logged when documenting an accident or incident: ●Date ●Category ●Impact/Urgency/Code ●Names of people involved ●Description of the incident ●Identification of known or suspected causes of the event ●Any corrective actions are taken ●Whether it constitutes a Reportable Event Per Company policy, each facility maintains an Incident Log. The categories of incidents that must be logged include those involving; inventory, compliance, safety, security, community/neighborhood, and law enforcement. Employees are trained that in case of emergency they need to call 911 and follow Emergency Procedures. After an emergency situation is resolved, the Shift Manager will enter the event into the Incident Log, and collect supporting documentation. Not all accidents and incidents become an emergency. There are near miss situations and no harm events that promote awareness, and will also need to be captured in the Incident Log. If an accident/incident results in an injury, the HR Manager will make sure that all Workmans’ Compensation requirements are addressed and provide additional support, as needed. It is an ultimate responsibility of the Shift Manager to log all accidents and incidents, and provide the most relevant details possible. The Shift Manager will identify the impact and urgency, and 4.5. Procedures and training for all fire and medical emergencies. Yuma has developed industry-leading SOPs, safety protocols, and training for fire and medical emergencies, with every reasonable precaution taken to provide a safe environment for employees and customers. This documentation is available to the Bureau and law enforcement, if requested. Fire Mitigation, Prevention, and Preparedness: ​Employees are expressly instructed to keep work areas free from unnecessary combustible materials, to act with caution in handling flammable materials, avoid using the telephone after a fire is reported, and stay away from any fire scene unless removing persons to safety. Employees are also trained to keep unobstructed all evacuation routes, the area near the electric panel, and not to use any electrical extension cables. Fire drills and emergency simulations are enacted at random at least quarterly, and a safety binder is available in the Management Office with emergency phone numbers, the location of emergency-related items, staff cell phone numbers, staff work schedule, yearly safety activity requirements, safety drill procedures, external/self-inspection documents, and critical incident policy and reports. All employees are tested quarterly on their knowledge of emergency exit plans and procedures, and the location of fire pull alarms and emergency exits. Fire Emergencies: ​In the event of a fire emergency, the employee should immediately use an alarm appropriate to the situation (sound or panic button) as soon as possible and dial 911 and ask for the Fire Department. If a fire is small and isolated, employees are instructed to exhaust the fire with one of the fire extinguishers. For a chemical spill, employees shall try to use a chemical spill kit for smaller incidents of a chemical spill. If the chemical spill is large or the employee does not know how to handle the situation, they are instructed to notify the Shift Manager for resolution. Employees who are witnesses to a fire safety threat are instructed to notify their supervisor as soon as they are safely able to do so. Supervisors receiving a report of a fire safety threat are instructed to contact Human Resources immediately. If the aforementioned supervisor is the perpetrator of the act, an employee witness will proceed to report to a more senior supervisor. Employee witnesses may also report the incident directly to Human Resources. In the event of a non-emergency situation, Yuma procedures instruct employees to contact their immediate supervisor prior to dialing 911. Employee witnesses may also report the non-emergency situation directly to Human Resources. Table of Contents 6. Location 2 6.1. Description of Proposed Location.2 6.2. Current View of the Property.7 6.3. Site Diagram.9 6.3.1. Accurate, dimensioned and to-scale site diagram.9 CONFIDENTIAL: PROPRIETARY AND/OR TRADE SECRET INFORMATION 1 Unisex restoroom The interior of the property will be furnished with stylish furniture and ornaments resembling Fresno agricultural history. We will feature pictures of historic Fresno by local artists and photos from the Fresno County Historic museum. There will be no pictures of the product, and product information in the screening lobby. CONFIDENTIAL: PROPRIETARY AND/OR TRADE SECRET INFORMATION 6 sidewalk. The Vendor Lobby can be accessed via the rear entrance off the Parking Lot. Ample parking will be available for both customers and vendors on the north side of the lot. Vegetation and landscaping will be maintained in a way that enhances visibility and security and reduces opportunities for concealment. The Site Plan below accommodates the yards, walls, fences, parking and loading facilities, landscaping and all items required for the development. CONFIDENTIAL: PROPRIETARY AND/OR TRADE SECRET INFORMATION 10 Table of Contents 7. Community Benefits and Investment Plan 2 7.1 Social Responsibility Plan.2 7.1.1. Hosting Expungement Clinics, providing funding, outreach services.8 7.1.2. Incorporating an environmentally sustainable business model including energy efficient buildings and vehicles.9 7.1.3. Utilizing vacant buildings, brownfields land, or blighted areas of the city for the business.12 7.2. Public health outreach and educational program that outlines the risks of youth use of cannabis and resources available to youth related to drug addiction.16 7.3. Describe whether the Business plans to contribute to the Fresno Community Reinvestment Fund, established to support local cannabis equity businesses.18 CONFIDENTIAL: PROPRIETARY AND/OR TRADE SECRET INFORMATION 1 welcomed by neighbors as they appreciate having a clean, compliant, regulated business that will bring healthy traffic, security and surveillance to the area. Pre-Operational Open Houses: ​We understand that cannabis dispensary facilities are often associated with negative stigmas concerning clientele or what is happening behind closed doors. As part of our commitment to the betterment of the community, Yuma will engage with local groups to identify and re-educate pressing public concerns. Before the first day of dispensary operations, the Company will host an open-house style event for members of the community. By opening our doors to those who live and work in the area, we will educate concerned community members on dispensary operations and welcome the opportunity to answer their questions with direct responses from owners and operators. Fostering this culture of transparency during the inaugural stages of dispensary operations will help the company establish a welcoming reputation and correct any residual misconceptions stemming from outdated misinformation. Discount Programs: ​Affordability for our customers, especially in emerging markets, is a key component of our mission. To show our commitment to the most vulnerable populations in Fresno, we provide the following discounts on cannabis products: ●15% for active and reserve military and veterans ●Up to 20% for those on government assistance programs based on Letter of Hardship ●10% for seniors (age 65+) ●10% for Covid-19 essential workers (including farm laborers) ●5% for those who use public transport, ride-sharing, and non-motorized biking to get to our store ●5% discount for groups arriving via private bus; for example, assisted living facilities or retirement communities that would like to partner with us would be eligible for free private bus transportation for their residents - costs which Yuma would cover ●5% discount for ride-share customers who arrive in groups of 3 or more Job Fair and Commitment to Local Hiring: ​Yuma has a target goal of employing at least 80% local Fresno and Fresno County residents. As soon as a license is awarded, we will organize a job fair specifically targeted to City of Fresno and Fresno County residents, veterans, disabled persons, members of the LGBTQ+ community, and those adversely impacted by the War on Drugs. Our carefully-selected team will be chosen, irrespective of past work experience, so long as the individuals are thoughtful, engaged, and dedicated to our corporate values. We also have bilingual staff on premises at all times. Yuma will actively recruit locally and encourage members of the Fresno community to apply by advertising in ​The Fresno Bee​, ​California Advocate​, ​The Collegian​ of Fresno State, and ​Vida en CONFIDENTIAL: PROPRIETARY AND/OR TRADE SECRET INFORMATION 3 el Valle​ in addition to online platforms such as Indeed and other national advertising channels. We will also find candidates by utilizing our partnership with Community Rural Legal Assistance Group (“CRLA”), Central California Legal Services (“CCLS”) and the Fresno Chamber of Commerce, and by utilizing other local non-profit partners, houses of worship, and the Fresno Economic Opportunities Commission. Additionally, we will post on websites such as workplacediversity.com and vetjobs.com in addition to other local channels referenced in the Social Policy Plan​. Community Investment Fund - 2% of Profits: ​We share the City’s vision of enhancing the quality of life for its residents. We plan to advance this by reinvesting a percentage of Yuma’s profits in a Community Investment Fund. Nonprofits will benefit not only from our financial support and resources but also from our time. Yuma has designed programs to fit the needs of our community partners. In seeking out our partners, we look for programs that have the highest direct impact on those in our local community, and particularly organizations that work with women, children, veterans, disabled persons, and those who have been particularly disenfranchised by the War on Drugs. Community Feedback: ​At Yuma, we believe that regular communication with all of our stakeholders helps us proactively address community issues and provide educational opportunities. Therefore, the Company will create a website at www.yumaway.com/fresnofarms, that will give interested parties updates on our specific plans for operation, provide a tool on the site to give feedback on how we are doing, and to learn about how we are enhancing the quality of life in Fresno. The ownership team and the General Manager will further encourage scheduling of quarterly meetings with the City Manager or his/her designees(s) to discuss costs, benefits, and other community issues and opportunities. Co-founder, Ms. Reuven will attend meetings at the request of the City Manager. Supported Charitable Organizations and Community Events Emergency Relief and COVID-19:​ In times of crises, Yuma is here to help. Our leadership team feels blessed to be home, healthy, and safe and we wanted to do something - anything - to show our appreciation and support to the frontline workers who are making the utmost sacrifices on our behalf, and to let our neighbors know they are not alone. To that end, our team has delivered lunch in collaboration with Subway to the frontline Emergency Room healthcare staff at the Veterans Affairs Medical Center (“VAMC”). CONFIDENTIAL: PROPRIETARY AND/OR TRADE SECRET INFORMATION 4 While adapting Yuma Standard Operating Procedures to the specific site in Fresno, we plan to develop and implement environmentally responsible policies and practices specific to the site. We will maintain a close liaison with the Fresno County Environmental Health Department, Cal-EPA Division of Toxics, and the State Office of Emergency Services, and the County Division of Environmental Health. Yuma strives to develop a Green Building, the one that is environmentally friendly in terms of energy consumption, or the waste they produce during its entire life-cycle. A Green Building will have little or no significant impact on the environment. Green buildings are scored by rating systems, such as the Leadership in Energy and Environmental Design (LEED) rating system developed by the U.S. Green Building Council, Green Globes from GBI and other locally developed rating systems. Waste Diversion Prevention.​ The prevention and reduction of generated waste through source reduction, recycling, reuse, or composting. Waste diversion generates a host of environmental, financial, and social benefits, including conserving energy, reducing disposal costs, and reducing the burden on landfills and other waste disposal methods. California Environmental Quality Act (CEQA) environmental quality, encourage environmental resource management, environmental considerations, Investigate and consider implementing economically effective and environmentally beneficial methods of biosolids handling and disposal. Crime Prevention. ​Our comprehensive design approach will incorporate Crime Prevention Through Environmental Design (CPTED) principles and best practices. Strategies for CPTED include, but are not limited to: natural surveillance, territorial reinforcement, and target hardening. Research into criminal behavior demonstrates that the decision to offend or not is more influenced by cues to the perceived risk of being caught than by reward or ease of entry. Consistent with this research, CPTED-based strategies emphasize enhancing the perceived risk of detection and apprehension. Our CPTED plan is further described in the Security Plan, ​Section 5​. Green Energy Design: ​The facility will be a thoughtfully-designed and quality-built establishment using sustainable development practices and green building performance standards which are in line with the City of Fresno General Plan and California Green Building Code (“CALGREEN”), wherever possible. We will promote efficient energy consumption by installing LED lights as per Community Energy Action Plan. We will implement a City of Fresno USBR Water Management Plan CONFIDENTIAL: PROPRIETARY AND/OR TRADE SECRET INFORMATION 10 Zoning Inquiry P20-04600 3849 East Ventura Street Page 2 December 4, 2020 The subject property is not located within 800 feet of the property boundary of any of the above-mentioned uses. The subject property 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 5. There are currently no cannabis retail businesses located in Council District 5. 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 Martinez, Planner I Development Services Division Planning and Development Department Appendix B Proof of Capitalization Yuma Way CA LLC Commercial Cannabis Business Application City of Fresno December 2, 2020 CONFIDENTIAL: PROPRIETARY AND/OR TRADE SECRET INFORMATION ​1 Yuma Way CA LLC December 3, 2020 To whom it may concern: This letter is to state that Yuma Way CA LLC, the Applicant in the Cannabis Permit Application Process in Fresno, CA, will employee within one year of receiving a commercial cannabis business permit, one supervisor and one employee who have completed a Cal-OSHA industry outreach course offered by a duly authorized training provider (per FMC 9-3316(c)). Sincerely, Kirill Merkulov Chief Financial Officer Yuma Way CA LLC kirill.merkulov@yumaway.com