PROPERTY OWNER: Freedom Associates, LLC, 21 Brennan Street #16, Watsonville, CA 95076

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2 PROPERTY OWNER: Freedom Associates, LLC, 21 Brennan Street #16, Watsonville, CA OVERVIEW Background At the regular meeting of January 26, 2016, the Watsonville City Council adopted Ordinance , repealing Chapter 5 (Medical Marijuana Dispensaries) of Title 6 (Sanitation and Health) in its entirety and adding a new Chapter 5 (Medical Cannabis Facilities) of Title 6 (Sanitation and Health) of the Watsonville Municipal Code (WMC). The purpose of this new ordinance is to permit medical cannabis facilities, upon application and approval of a regulatory permit in accordance with the criteria and procedures set forth in the code. Also at the regular meeting of January 26, 2016, the Watsonville City Council adopted Ordinance , amending WMC Section (Conditional uses) of Part 5: IP Industrial Park District and WMC Section (Conditional uses) of Part 6: IG General Industrial District of WMC Chapter (District Regulations) for medical cannabis facilities. The indoor cultivation of medical cannabis requires first obtaining a Special Use Permit. At the regular meeting of May 10, 2016, the Watsonville City Council provided direction on the allowable square footage and the criminal background check process for medical cannabis facilities. The allowed maximum growing (cultivation) area is 5,000 square feet per property. Special Use Permits may be issued with a California criminal background check only until such time that a nationwide criminal background check can be completed. In addition, Special Use Permits must be conditioned to require annual submittal of a Live Scan criminal background check to the City. At the upcoming meeting of June 14, 2016, the Chief of Police will request that the Watsonville City Council adopt a resolution authorizing the City to access the State of California s Department of Justice Live Scan system for local, state and federal level criminal history information on prospective employees and owners of medical cannabis cultivation businesses. Please note that presently the Live Scan system does not provide criminal history background information at the federal level for anyone associated with a medical cannabis facility. Proposal On March 3, 2016, the applicant, Nick Bryan on behalf of Rooted Republic, submitted an application for a Special Use Permit for the establishment of a medical cannabis cultivation facility located at 124 Manfre Road. The proposed project would involve the conversion of an existing 9,760± square-foot building into a medical cannabis cultivation facility. The proposed floor plan indicates the building would be divided into twelve (12) rooms totaling 5,090± square-feet (of which 90 percent, or 4,580± square-feet, would be utilized as canopy area for medical cannabis cultivation), three (3) curing rooms, three (3) trimming rooms, one (1) processing and packaging area, one (1) storage and waste area, three (3) general storage areas, two (2) offices, one (1) reception area, and bathroom facilities (ATTACHMENT 2). M:\CDD\PC PACKET\PCPKT 2016\ \124 Manfre\124 Manfre (Rooted Republic) staff report.doc\6/2/2016\ 2

3 PROCESS WMC Section allows indoor cultivation of medical marijuana, up to 5,000 square feet, with approval of a Special Use Permit in the Industrial Park (IP) zoning district. While WMC Section authorizes the Planning Commission to issue Conditional Use Permits, because this is the first of several new applications for establishing medical cannabis cultivation facilities, the City Manager directed staff to bring the item for consideration by the Planning Commission with the final decision to be made by the City Council. DISCUSSION Site The property contains three buildings, including the subject 9,600± square-foot building, on approximately 9.8 acres. Other onsite and nearby light industrial uses include warehousing, wholesaling and wood working. Open space traverses the western portion of the property. The Watsonville Municipal Airport borders the site along the eastern and southern property boundaries. Zoning and Location Limitations WMC Section indicates that no permit to operate a medical cannabis facility shall be issued except in the IG and IP zoning districts. The proposed facility is consistent with the locational limitations for medical cannabis facilities, in that it is not located within: 300 feet of a residential zone, as drawn by the closest path of foot travel from the property line of residential property to the nearest entrance of the cannabis facility; or 600 feet of a school, park, or church, as drawn by the closest path of foot travel from the property line of the school, park, or church, to the nearest entrance of the cannabis facility (ATTACHMENT 3). In addition, all proposed cultivation operations are indoors, and the windows into the existing building do not provide views of cultivation areas, ensuring cannabis plants at any stage of growth would not be visible from the outside of the building, consistent with WMC Section (f). Parking WMC Section requires ten (10) off-street parking spaces for the proposed land use (GLU 91). As shown on the Site Plan, the property has sufficient room in front of the subject building to provide at least 10 parking spaces. Application Requirements for a Special Use Permit for a Medical Cannabis Facility WMC Section lists the application requirements for a medical cannabis facility, which shall include, but are not limited to, the following information: 1) The legal name, and any other names, under which the facility will operate. Response: The applicant submitted the required information. facility would operate under the name Rooted Republic. The proposed M:\CDD\PC PACKET\PCPKT 2016\ \124 Manfre\124 Manfre (Rooted Republic) staff report.doc\6/2/2016\ 3

4 2) The address of the location and the on-site telephone number, if known, of the medical cannabis facility. Response: The applicant submitted the required information. The proposed facility address is 124 Manfre Road. A telephone number is not yet available. 3) The following information for each owner (defined as any person having an economic interest in the applicant or applicants), officer, director, and manager of the medical cannabis facility: i) Complete legal name and any alias(es), address, and telephone number; ii) Date and place of birth; iii) Copy of a valid California government-issued photo identification card or license; vi) One (1) set of fingerprints in a form acceptable to the Police Department; v) A detailed explanation of the owner s or manager s involvement with any other medical cannabis applicant or applicants or licensee, including, but not limited to, the name and address of the applicant or applicants or licensee; the city in which the owner or manager is or was involved with the applicant or applicants or licensee; whether the applicant or licensee is or was the subject of any criminal investigation or prosecution, civil investigation, administrative action or civil lawsuit; whether the owner or manager or the applicant or licensee with which the owner or manager is or was associated has ever been denied, or is in the process of being denied registration, a permit, a license or any other authorization required to operate in any other city, City or State; and whether the owner or manager or the applicant or licensee with which the owner or manager is or was associated has ever had a registration, license, permit or any other authorization required to operate in any other city, City or State, suspended or revoked, and the reasons therefor; and vi) A detailed explanation of the owner s or manager s involvement with any other retail business in the City of Watsonville, including, but not limited to, the name and address of such business; the type of business; the city in which the owner or manager is or was involved with the business; whether the business is or was the subject of any criminal investigation or prosecution, civil investigation, administrative action or civil lawsuit; whether an owner or manager of the business with which the owner or manager is or was associated has ever been denied, or is in the process of being denied registration, a permit, a license or any other authorization required to operate a business requiring licensing through the State of California or any other city, county, or state; and whether an owner or manager of the business with which the owner or manager is or was associated has ever had a registration, license, permit or any other authorization required to operate a business that requires a license in the State of California, or any other city, or county, suspended or revoked, and the reasons therefor. M:\CDD\PC PACKET\PCPKT 2016\ \124 Manfre\124 Manfre (Rooted Republic) staff report.doc\6/2/2016\ 4

5 Response: The applicant submitted, or has been conditioned to submit, the required information. The proposed facility s directors and managers are Nick Bryan, Robert Seastrom, Isiah Dawid, Joshua Rich and Daniel Goss. Their required information is provided in Table 1. These individuals indicate that they do not have involvement with any other medical cannabis facility applicant or any other retail business in the City of Watsonville. Presently, The Police Department cannot conduct a background check on anyone associated with a medical cannabis facility. On June 14, 2016, the Police Department will request that City Council adopt a resolution authorizing the City to access the Live Scan system for criminal history information. After adoption, the applicant and all medical cannabis facility employees shall be required to have a criminal history background check conducted at the state level only until such time that a federal background check is made available. Results shall be provided to the City Council for consideration of the requested Special Use Permit. TABLE 1. Medical Cannabis Facility s Officers Information Nick Bryan Robert Seastrom Title Director/Manager Director/Manager Address 2742 Freedom Boulevard Watsonville, CA Freedom Boulevard Watsonville, CA Telephone no. (831) (831) Date of birth 10/4/80 9/30/85 Place of birth Indianapolis, IN Indianapolis, IN Isiah Dawid Joshua Rich Title Director/Manager Director/Manager Address 13 Winward Place Scotts Valley, CA Woodrow Avenue Santa Cruz, CA Telephone no. (951) (831) Date of birth 5/7/87 4/2/72 Place of birth Santa Cruz, CA Newport, CA Daniel Goss Title Director/Manager Address 335 Ice Cream Grade Telephone no. (831) Date of birth 8/16/81 Place of birth Menomeonee Falls, WI 4) An estimate of the size of the group of primary caregivers and/or qualified patients who will be served by the medical cannabis facility. Response: The applicant submitted the required information. Rooted Republic serves over 20,000 patients. 5) An operations plan which shall be in conformance with the requirements of this chapter and shall include: M:\CDD\PC PACKET\PCPKT 2016\ \124 Manfre\124 Manfre (Rooted Republic) staff report.doc\6/2/2016\ 5

6 i) A list of the names, addresses, telephone numbers, and responsibilities of each owner and manager of the facility. ii) The hours and days of operation for the facility. iii) Designation of the cultivation locations of the applicant or licensee inside and outside the City, and the location of any dispensaries outside the City. iv) Whether delivery service of medical cannabis to any location outside the medical cannabis facility will be provided and the extent of such service. v) A site plan and floor plan of the facility denoting the layout of all areas of the medical cannabis facility, including storage, cultivation, reception/waiting, and all ancillary support spaces, and the relationship of the facility to adjacent properties and land uses. vi) A security plan, including lighting, alarms, and video cameras, to ensure the safety of persons, and to protect the premises from theft, vandalism, and fire. The security plan shall address both interior and exterior areas of the facility and its premises. vii) The medical cannabis cultivation procedures to be utilized at the facility, including a description of how chemicals and fertilizers will be stored, handled, used and disposed of; manufacturing methods, the transportation process, inventory procedures, and quality control procedures. viii) Procedures for identifying, managing, and disposing of contaminated, adulterated, deteriorated or excess medical cannabis product. ix) Procedures for inventory control to prevent diversion of medical cannabis to nonmedical use, employee screening, storage of medical cannabis, personnel policies, and recordkeeping procedures. Response: The applicant submitted the following information: Hours of Operation 9:00 a.m. to 6:00 p.m., Monday through Sunday Dispensary/Cultivation Locations Rooted Republic will potentially provide medical cannabis to every dispensary operating within CA state and local guidelines. This is the initial and currently only cultivation site for Rooted Republic. Delivery Service We do not provide delivery service. Security Plan Rooted Republic will have a comprehensive security system complete with motion-detecting cameras covering the entire facility inside and out. It will M:\CDD\PC PACKET\PCPKT 2016\ \124 Manfre\124 Manfre (Rooted Republic) staff report.doc\6/2/2016\ 6

7 feature contacts on all doors and points of entry. All windows will be reinforced with steel bars to prevent theft and vandalism. The camera system will be accessible to management at all times online through a secured connection. Rooted Republic will also feature an alarm system supported by a nationally recognized alarm company on all points of entry. Gated Property, entire perimeter of property has chain link w barb wire, 24 Video surveillance with direct link to police and fire. Chemical and Sensitive Product Storage and Handling All chemical and sensitive products will be stored and disposed of according to OSHA and Department of Agriculture. Product Disposal Disposing of medical cannabis waste will be composted onsite in a locked container with limited employee access. Inventory Management Protocol Final product is weighed after waste removal and identified by lot and batch number. Record of each batch will be stored in an inventory management system monitored by multiple levels of management. Medical cannabis product will be stored short term onsite in a locked area, until transportation. All employees will have passed a back ground check. Pursuant to WMC Sections and , Standard Conditions of Approval have been added to the draft Resolution requiring the applicant to maintain an inventory control and reporting system, an electronic point of sale system, and all other records and documents required by WMC Chapter 6-5 and listed in WMC Section (d). 6) The name and address of the owner and lessor of the premises and a copy of the lease or other such proof of the applicant or licensee s right to possess the premises and the owner s acknowledgement that a medical cannabis facility will be operated on his/her property. Response: The applicant submitted the required information. The applicant provided a signed copy of the lease agreement (ATTACHMENT 4) and a letter from the property owner, Freedom Associates, LLC (i.e., Glenn Kramer of Burgstrom/Dramer, Inc. Realtors), acknowledging that Rooted Republic would use the premises as a medical cannabis cultivation facility (ATTACHMENT 5). 7) Authorization for the Zoning Administrator or designee to seek verification of the information contained within the application, including, but not limited to, a criminal history investigation by the Police Department with the California Department of Justice and any other law enforcement agencies. Response: A Condition of Approval has been added to the draft Resolution requiring the applicant to submit for a criminal history background check for all facility employees from the Policy Department annually. M:\CDD\PC PACKET\PCPKT 2016\ \124 Manfre\124 Manfre (Rooted Republic) staff report.doc\6/2/2016\ 7

8 8) A statement in writing by the applicant that he or she certifies under penalty of perjury that all the information contained in the application is true and correct. Response: The applicant has certified under penalty of perjury that all submitted information is in all respects true and correct. 9) Before any fees are collected, any such additional and further information as is deemed necessary by the Zoning Administrator or designee to administer this section or to show that the applicant or licensee is in compliance with the provisions of this chapter. Response: The applicant was not required by the Zoning Administrator to provide any additional or further information. CONCLUSION As conditioned, the proposed project meets all requirements outlined in the Watsonville Municipal Code. The project will allow Rooted Republic to establish a medical cannabis cultivation facility. Staff recommends that the Planning Commission recommend that the City Council approve the project, as conditioned. ATTACHMENTS 1. Vicinity Map 2. Site Plan, Floor Plan, and Elevations 3. Distance Map Residents, Parks and Schools 4. Rooted Republic Lease 5. Letter from property owner M:\CDD\PC PACKET\PCPKT 2016\ \124 Manfre\124 Manfre (Rooted Republic) staff report.doc\6/2/2016\ 8

9 Attachment 1 - Site and Vicinity Map LAS PALMAS MANFRE RD INDUSTRIAL JENNINGS Legend JENNINGS DR PARK BL AIRPORT 581 Z Street Project Site 300' Buffer Zone Parcel Watsonville City Limit PROJECT: PP APPLICANT: Nick Bryan APN#s: LOCATION OF PROJECT: 124 Manfre Rd Prepared by Watsonville GIS Center 3/7/2016 (CODD1614). Attachment 1 Page 1 of 1 This Document is a graphic representation only of best available sources. The City of Watsonville assumes no responsibility for any errors.

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12 21' 34' DOOR SCHEDULE NUMBER LABEL QTY SIZE WIDTH HEIGHT DESCRIPTION D R 144 " 120 " GARAGE GARAGE DOOR P01 D R EX 42 " 80 " EXT. HINGED-GLASS D R EX 48 " 80 " EXT. HINGED-SLAB D L IN 36 " 80 " HINGED DOOR P R IN 36 " 80 " HINGED DOOR P04 D R IN 28 11/16 " 80 " HINGED DOOR P04 WINDOW SCHEDULE NUMBER LABEL QTY WIDTH HEIGHT EGRESS DESCRIPTION W FX 4 48 " 76 " FIXED GLASS W FX 1 52 " 163 " FIXED GLASS W FX 1 52 " 246 3/16 " FIXED GLASS W LS 3 72 " 48 " LEFT SLIDING 122' 15' 41' 1 80' 80' 122' Attachment 2 Page 3 of 5

13 W01 W02 D03 D04 16'-6" D04 EP D04 1'-6" 15'-10" 5'-4" 25'-4" 4'-4" 25'-4" 1 D04 D04 16'-6" D04 D01 EP 16'-6" D04 D06 D04 EP D04 EP 16'-6" '-6" 16'-6" 16'-6" 16'-6" 16'-6" 10' 10' 29'-6" 9'-9" 9' D04 EP EP 21'-5" 16'-6" D04 5'-6" 21'-4" UP D01 UP ' 27'-8" 27'-3" 22'-10" W03 W04 W04 W01 D02 W01 W04 W01 D02 Attachment 2 Page 4 of 5

14 18' D07 15'-4 1/2" 23' 23' 10' 1 4' D04 DN DN 15'-4 1/2" 23' 23' 11' Attachment 2 Page 5 of 5

15 Attachment 3 - Residential/Sensitive Use Separation Map for Compliance with Medical Cannabis Facilities Ordinance A Legend Medical Cannabis Facility Facility Entrance Manfre Rd Buffer of 279Facility 286 Entrance Buffer Distance ft ft General Plan General Plan Designation ZURICH AV RLD - Residential Low Density 44 RMD 42 - Residential Medium Density RHD - Residential High Density Park School Property 38 Church Property 52 Tax Parcels 77(B-C) EUCALYP LUCERNE AV TUS DR 58 Watsonville City Limit inch = 400 feet B MANFRE RD Prepared by Watsonville GIS Center 5/27/2016 (CODD1632). This Document is a graphic representation only of best available sources. The City of Watsonville assumes no responsibility for any errors JENNINGS INDUSTRIAL PARK JENNINGS DR SUITES NIELSON ST Z Y X AIRPORT BL HANGAR WY W Suites. 1A, Stes.A-E A B C D 547

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