HomeMy Public PortalAboutCity Council - 06 Jun 2017 - Agenda - Pdf
Agenda
City of Beaumont City Council Meeting
Closed Session 5:00 PM
Regular Session 6:00 PM
Beaumont Financing Authority
Beaumont Utility Authority
Beaumont Successor Agency (formerly RDA)
550 E 6th Street, Beaumont, Ca
Tuesday, June 6, 2017
Materials related to an item on this agenda submitted to the City Council after distribution of the agenda
packets are available for public inspection in the City Clerk’s office at 550 E. 6th Street during normal business
hours
Any Person with a disability who requires accommodations in order to participate in this meeting should
telephone the City Clerk’s office at 951 769 8520, at least 48 hours prior to the meeting in order to make a
request for a disability related modification or accommodation.
Any one person may address the City Council on any matter not on this agenda. If you wish to speak, please
fill out a “Public Comment Form” provided at the back table and give it to the City Clerk. There is a three (3)
minute limit on public comments. There will be no sharing or passing of time to another person. State Law
prohibits the Council from discussing or taking actions brought up by your comments.
Page
Closed Session
A Closed Session of the City Council / Beaumont Financing Authority / Beaumont Utility Authority / Beaumont Successor
Agency (formerly RDA), may be held in accordance with state law which may include, but is not limited to, the following
types of items: personnel matters, labor negotiations, security matters, providing instruc tions to real property negotiators
and conference with legal counsel regarding pending litigation. Any public comment on Closed Session items will be taken
before the Closed Session. Any required announcements or discussion of Closed Session items or actio ns following the
Closed Session with be made in the City Council Chambers.
CALL TO ORDER THE MEETING OF THE BEAUMONT CITY COUNCIL AND THE BEAUMONT
FINANCING AUTHORITY
Mayor White, Mayor Pro Tem Carroll, Council Member Lara, Council Member Orozco, and Council Member
Martinez
1. Public Comments Regarding Closed Session
2. Conference with Legal Counsel Regarding Existing Litigation - Pursuant to
Government Code Sections 54956.9(d)(1) Robert Duh et.al. v. City of
Beaumont Case No. 5:17-cv-00831-JGB-DTB
3. Conference with Legal Counsel - Anticipated Litigation: Significant
Exposure to litigation pursuant to Government Code Section 54956.9(d)(2)
and/or (4) - Consideration of one (1) claim and discussion of possible
acceptance, rejection or settlement of claim: Shird
Page 1 of 215
4. Conference with Legal Counsel Regarding Existing Litigation - Pursuant to
Government Code Section 54956.9(d)(1) – Ramon Osorio v. City of
Beaumont, Case No. RIC 1611674
5. Conference with Legal Counsel - Anticipated Litigation: Significant
exposure to litigation pursuant to Government Code Section 54956.9(d)(2)
and/or (3) – (1 potential case). This matter involves an investigation by the
Securities and Exchange Commission.
Adjourn to Closed Session
REGULAR SESSION
CALL TO ORDER
Mayor White, Mayor Pro Tem Carroll, Council Member Lara, Council Member Orozco, and Council Member
Martinez
Report out from Closed Session:
Action on any Closed Session items:
Action on any requests for excused absence:
Pledge of Allegiance:
Approval/Adjustments to Agenda:
Conflict of Interest Disclosure:
ANNOUNCEMENTS/RECOGNITIONS/PROCLAMATIONS/CORRESPONDENCE
1. Staff Report - Limitation of City Council Authority to Remove a Member
Item 1
7
PUBLIC COMMENT PERIOD (ITEMS NOT ON THE AGENDA)
Any one person may address the City Council on any matter not on this agenda. If you wish to speak, please fill out a
“Public Comment Form” provided at the back table and give to the City Clerk. There is a three (3) minute time limit on
public comments. There will be no sharing or passing of time to another person. State Law prohibits the Council from
discussing or taking actions brought up by your comments.
CONSENT CALENDAR
Items on the consent calendar are taken as one action item unless an item is pulled for further discussion here or at the
end of action items.
Approval of all Ordinances and Resolutions to be read by title only.
2. Ratification of Warrants dated May 18, 2017
Item 2
9 - 29
3. Approval of Minutes dated May 16, 2017
Item 3
31 - 39
4. Purchase of 4x4 Chevrolet Truck for Detective Bureau
Item 4
41 - 42
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5. Approval of Invoices in Excess of $10,000
Item 5
43 - 50
6. Notice of Award - Transit Camera System Server and Storage Equipment
Purchase
Item 6
51 - 56
7. Issuance of Request for Proposals (RFP) for Information Technology (IT)
Service and Support
Item 7
57 - 71
8. Approval of Second Amendment to the Tolling Agreement with Aklufi and
Wysocki Attorneys at Law
Item 8
73 - 74
9. Resolution Setting Forth the City of Beaumont's Support for Riverside
County's Broadband Fiber to the Premise Master Plan
Item 9
75 - 77
10. Resolution Ordering the Collection of Delinquent Sewage and Sanitation Fees
and Directing the County Auditor to Collect Such Fees on the Tax Rolls
Item 10
79 - 81
11. Award of Contract for Classification and Compensation Study
Item 11
83 - 84
ACTION ITEMS/PUBLIC HEARINGS/REQUESTS
Approval of all Ordinances and Resolutions to be read by title only.
12. Appointment to the Finance and Audit Committee
Recommended Council Action(s):
1. Appoint two applicants to the Finance and Audit Committee.
2. Appoint two alternate members.
Item 12
85 -
103
13. An Interim Urgency Ordinance for a Moratorium on the Issuance of
Telecommunications Facilities within the Public Right-of-Way
Recommended Council Action(s):
1. Approve Ordinance "An Interim Urgency Ordinance of the City of Beaumont,
Enacting a Temporary Moratorium on the Issuance of Any Permits for New and
Relocated Wireless Telecommunications Facilities Within Public Right-of-Ways,
Pursuant to Government Code Section 65858"
Item 13
105 -
114
14. Adopt Ordinance to increase Sewer Connection/Capacity Fee to $5,125 per
Equivalent Dwelling Unit
Recommended Council Action(s):
115 -
118
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1. Hold a Public Hearing
2. Adopt ordinance at its first hearing.
Item 14
15. Opposition to Proposition 64 (Adult Use of Marijuana Act) Trailer Bill
Recommended Council Action(s):
1. Vote to oppose the proposed Trailer Bill to Proposition 64 (Adult Use of
Marijuana Act).
2. Authorize the mayor to execute and submit the attached letter of opposition to
Governor Edmund G. Brown, Jr.
Item 15
119 -
202
16. Designation of Voting Delegates and Alternates for the League of California Cities
Annual Conference
Recommended Council Action(s):
1. Designate a voting delegate.
2. Designate up to two alternate voting delegates.
Item 16
203 -
206
17. Assignments to Committees, Boards and Commissions
Recommended Council Action(s):
1. Review and discuss to reorganize as neccessary.
Item 17
207 -
212
18. Reimbursement of Travel Expenses to Mayor Lloyd White
Recommended Council Action(s):
1. Approve the reimbursement request in the amount of $133.22
Item 18
213 -
215
COUNCIL REPORTS
• Carroll
• Lara
• Martinez
• Orozco
• White
CITY TREASURER REPORT
CITY MANAGER REPORT
CITY CLERK REPORT
CITY ATTORNEY REPORT
FUTURE AGENDA ITEMS
Adjournment of the City Council of the June 6, 2017 Meeting at ____ p.m.
Page 4 of 215
The next regular meeting of the Beaumont City Council, Beaumont Financing Authority, Beaumont Utility
Authority, and the Beaumont Successor Agency (formerly RDA), is scheduled for Tuesday, June 20, 2017, at
5:00 p.m. or thereafter as noted on the posted Agenda for Closed Session items in the City Council Board Room
No. 5, followed by the regular meeting at 6:00 p.m. or thereafter as noted on the posted Agenda at City Hall.
Beaumont City Hall – Online www.ci.beaumont.ca.us
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AGENDA ITEM NO.
I DO HEREBY CERTIFY THIS WARRANT LIST HAS BEEN COMPILED AND PREPARED TO MEET
THE DAILY OPERATIONS FOR THE FISCAL YEAR JULY 1,2016 -JUNE 30,2017
Payroll $369,913.33 PPE 05/04/17
Guardian $17,033.68 May-17
94933-94984 Issued checks $711,188.93 FY17
APTOta1 $711,188.93
94845 Voided check $883.56 Proforma
WARRANTS TO BE RATIFIED
Thursday,May 18,2017
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Check Report Date Range:05/12/2017-05/17/
2017VendorNumberVendorNamePaymentDatePaymentTypeDiscountAmountPaymentAmountNumber
CONTRACTUALSERVICES PROFESSIONALSERVICES 4,886.25
Invoice 05/17/2017 PROFESSIONALSERVICES 0.00 3,117.50
CONTRACTUALSERVICES PROFESSIONALSERVICES 3,117.50
1454 ELIZABETHGIBBS 05/17/2017 Regular 0.00 232.68 94950
Payable it Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/2017 PURCHASEOF DOMAIN&WEB PAGESOF 0.00 232.68
COMPUTERSUPPLIES/MAPURCHASEOF DOMAIN&WEB 232.68
1473 EMPLOYMENTDEVELOPMENTDEPT.05/17/2017 Regular 0.00 3,818.00 94951
Payable #Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/16/2017 PROFESSIONALSERVICES 0.00 3,818.00
CONTRACTUALSERVICES PROFESSIONALSERVICES 3,250.00
CONTRACTUALSERVICES PROFESSIONALSERVICES 568.00
1476 ENGINEERINGNEW RECORDS 05/17/2017 Regular 0.00 134.00 94952
Payable it Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/2017 SUBSCRIPTIONTO ENR 0.00 134.00
DUES 8:SUBSCRIPTIONS SUBSCRIPTIONTO ENR 134.00
2577 EPIC LANDSOLUTIONS,INC.05/17/2017 Regular 0.00 7,222.36 94953
Payable #Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/2017 Right of Way Support Services for Potrero 0.00 7,222.36
POTREROBRIDGEPROJEC Right of Way Support Services f 7,222.36
1519 FORD MOTOR CREDITCO.05/17/2017 Regular 0.00 2,224.03 94954
Payable #Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/2017 VEHICLEPAYMENT 0.00 2,224.03
VEHICLES VEHICLEPAYMENT 2,224.03
1533 FRONTIERCOMMUNICATIONS 05/17/2017 Regular 0.00 750.53 94955
Payable ti Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/201.7 PHONEUTILITY 0.00 50.72
TELEPHONE PHONE UTILITY 50.72
Invoice 05/17/2017 PHONE UTILITY 0.00 101.44
TELEPHONE PHONE UTILITY 101.44
Invoice 05/17/2017 PHONE UTILITY 0.00 237.45
TELEPHONE PHONE UTILITY 237.45
Invoice OS/17/2017 PHONE UTILITY 0.00 57.69
TELEPHONE PHONE UTILITY 57.69
Invoice 05/17/2017 PHONE UTILITY 0.00 303.23
TELEPHONE PHONE UTILITY 303.23
1679 INTERWESTCONSULTINGGRP,INC.05/17/2017 Regular 0.00 13,310.00 94956
Payable ii Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/2017 PROFESSIONALSERVICES 0.00 11,900.00
CONTRACTUALSERVICES PROFESSIONALSERVICES 7,140.00
CONTRACTUALSERVICES PROFESSIONALSERVICES 2,975.00
CONTRACTUALSERVICES PROFESSIONALSERVICES 1,785.00
Invoice 05/17/2017 PROFESSIONALSERVICES 0.00 1,410.00
CONTRACTUALSERVICES PROFESSIONALSERVICES 450.00
CONTRACTUALSERVICES PROFESSIONALSERVICES 480.00
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Check Report Date Range:05/12/2017-05/17/
2017VendorNumberVendorNamePaymentDatePaymentTypeDiscountAmountPaymentAmountNumber
Payable It Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/2017 EMPLOYEETRAINING 0.00 722.53
TRAVELANDMEETINGS EMPLOYEETRAINING 722.53
2238 SAN GORGONIOMEMORIALHOSPITAL 05/17/2017 Regular 0.00 429.45 94974
Payable It Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/2017 EMPLOYEEMEDICALSERVICES 0.00 429.45
FIRSTAID EMPLOYEEMEDICALSERVICES 429.45
2267 SGP DESIGNAND PRINT O5/17/2017 Regular 0.00 1,200.92 94975
Payable It Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice OS/17/2017 DEPT SUPPLIES 0.00 1,200.92
SPECIAL DEPT SUPPLIES DEPTSUPPLIES 1,200.92
2282 SHRM DISTRIBUTION 05/17/2017 Regular 0.00 883.56 94976
Payable It Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice OS/17/2017 SUBSCRIPTIONPAYMENT 0.00 883.56
DUES8:SUBSCRIPTIONS SUBSCRIPTIONPAYMENT 883.56
2888 SKILLPATH/NSTSEMINARS 05/17/2017 Regular 0.00 199.00 94977
Payable II Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice O5/17/2017 EMPLOYEETRAINING 0.00 199.00
EDUCATION,TRAINING EMPLOYEETRAINING 199.00
2311 SOUTHERNCALIFORNIAEDISON 05/17/2017 Regular 0.00 19,435.59 94978
Payable Ii Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/2017 ELECTRICUTILITY 0.00 19,435.59
UTILITIES ELECTRICUTILITY 2,412.57
UTILITIES ELECTRICUTILITY 16,837.65
UTILITIES ELECTRICUTILITY 185.37
2329 ST.FRANCISELECTRIC 05/17/2017 Regular 0.00 3,338.50 94979
Payable #Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/18/2017 PROFESSIONALSERVICES 0.00 389.50
CONTRACTUALSERVICES PROFESSIONALSERVICES 389.50
Invoice 05/17/2017 PROFESSIONALSERVICES 0.00 1,120.00
CONTRACTUALSERVICES PROFESSIONALSERVICES 1,120.00
Invoice 05/17/2017 PROFESSIONAL SERVICES 0.00 709.00
CONTRACTUALSERVICES PROFESSIONALSERVICES 709.00
Invoice 05/17/2017 PROFESSIONALSERVICES 0.00 1,120.00
CONTRACTUALSERVICES PROFESSIONALSERVICES 1,120.00
2340 STATE OF CALIFORNIA 05/17/2017 Regular 0.00 100.00 94980
Payable It Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/2017 FY2015-16 STATEREVENUESCONFIRMATI 0.00 100.00
CONTRACTUALSERVICES FY2015-16 STATEREVENUESCO 100.00
2407 THE GAS COMPANY 05/17/2017 Regular 0.00 317.15 94981
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Vendor Name Payment Date Payment Type Discount Amount Payment Amount Number
Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/2017 GASUTILITY 0.00 137.29
UTILITIES GASUTILITY 137.29
Invoice 05/17/2017 GAS UTILITY 0.00 24.63
UTILITIES GAS UTILITY 24.63
Invoice 05/17/2017 GAS UTILITY 0.00 61.21
UTILITIES GAS UTILITY 61.21
Invoice 05/17/2017 GAS UTILITY 0.00 28.05
UTILITIES GAS UTILITY 28.05
Invoice 05/17/2017 GAS UTILITY 0.00 65.97
UTILITIES GAS UTILITY 65.97
VOYAGER 05/17/2017 Regular 0.00 22,967.34 94982
Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/2017 GAS CARDS 0.00 22,967.34
FUEL GAS CARDS 71.19
FUEL GAS CARDS 999.62
FUEL GAS CARDS 28.57
FUEL GASCARDS 10,189.70
FUEL GAS CARDS 101.31
FUEL GAS CARDS 441.07
FUEL GASCARDS 840.38
FUEL GASCARDS 4,958.01
FUEL GAS CARDS 3,258.08
FUEL GAS CARDS 109.37
FUEL GAS CARDS 1,884.31
FUEL GASCARDS 85.73
WASTE MANAGEMENT,INC.05/17/2017 Regular 0.00 465,868.98 94983
Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/2017 WASTE MANAGENTSERVICES 0.00 465,868.98
REFUSECOST -RESIDENTI WASTE MANAGENTSERVICES 465,868.98
WESTCOASTLIGHTS&SIRENS 05/17/2017 Regular 0.00 2,337.31 94984
Payable Type Payable Date Payable Description Discount Amount Payable Amount
Account Number Account Name Item Description Distribution Amount
Invoice 05/17/2017 EQUIPMENTFORVEHICLES 0.00 2,337.31
VEHICLES EQUIPMENTFORVEHICLES 1,610.00
VEHICLES EQUIPMENTFORVEHICLES 727.31
Payment Type
Regular Checks
Manual Checks
Voided Checks
Bank Drafts
EFT's
Bank Code APBNKSummary
Payable Payment
Count Count Discount
122 50 0.00
0 0 0.00
0 2 0.00
O O 0.00
0 O 0.00
122 52 0.00
Date Range:05/12/2017-05/17/
2017
Payment
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0.00
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711,188.93
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Canceled Payable:
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Motion by Council Member Lara
Second by Mayor Pro Tem Carroll
To approve a proposed settlement subject to approval by another
agency.If Approved,a settlement agreement will be prepared and
made available to the public.
Approved by a 4-0 vote
Absent:Council Member Orozco
4 Conference with Legal Counsel Regarding Existing Litigation -Pursuant
to Government Code Section 54956.9(d)(1)Urban Logic Consultants,
Inc.v.City of Beaumont,Case No.RIC 1707201
Motion by Council Member Lara
Second by Council Member Martinez
To defend the lawsuit and authorize the filing of a cross complaint.
Approved by a 4-0 vote
Absent:Council Member Orozco
5.Conference with Legal Counsel —Anticipated Litigation:Significant
Exposure to Litigation Pursuant to Government Code Section
54956.9(d)(2)-Claim of Alan Kapanicas
Motion by Mayor White
Second Mayor Pro Tem Carroll
To reject the claim.
Approved by a 4-0 vote
Absent:Council Member Orozco
Adjourn to Closed Session
REGULAR SESSION
Report out from Closed Session:See above
Meeting of the Beaumont City Council,Beaumont Financing Authority,
Beaumont Utility Authority,and the Beaumont Successor Agency
CALL TO ORDER at 7:05
Mayor White,Mayor Pro Tem Carroll,Council Member Lara,and Council Member Martinez
were present
Action on any Closed Session items:
Action on any requests for excused absence:Council Member Orozco
Pledge of Allegiance
Approval/Adjustments to Agenda:Pull item 19 and move Council Reports up on the agenda.
Conflict of Interest Disclosure:None
City Council
May 16,2017
Page 32 of 215
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0 Lara —Gave a personal statement in light of the recent allegations
o Martinez —Gave a personal statement regarding current allegations and
committed to moving forward with the focus on the City.
0 White —Gave a personal statement regarding the status of the City and the
issues that the City has recently overcome as well as the current allegations.
Motion by Mayor White
.Second by Council Member Lara
To continue this item after action items at the end of the meeting
Approved by a 4-0 vote
Absent:Council Member Orozco
CONSENT CALENDAR
Items on the consent calendar are taken as one action item unless an item is pulled for further
discussion here or at the end of action items.
Approval of all Ordinances and Resolutions to be read by title only.
4.Ratification of Warrants dated April 27,2017
Ratification of Warrants dated May 4,2017
Ratification of Warrants dated May 11,2017
Approval of Minutes dated March 27,2017
Approval of Minutes dated May 2,2017
One Year Contract Extension for Geographic Information System ''GIS''
Services with IntenNest Consulting Group
10.One Year Contract Extension for Building and Safety Inspection Services with
Willdan Engineering and CSG Consultants Inc.
11.Approval of Second Amendment to Tolling Agreement with McFar|in &
Anderson LLP
12.Approval of City Attorney Invoices for the Month of April in the amount of
$52,497.07
13.Recommend Approval of Second Amendment to the Joint Exercise of Powers
Agreement of the Eastern Riverside County Interoperable Communications
Authority
14.Notice of Completion and Exoneration of Performance Bond No.
52BSBDL9433 for Sewer Improvements on Tract Map #31288
15.Notice of Completion and Exoneration of Performance Bond No.8696089 for
Sewer Improvements on Tract Map #31288-5
16.Notice of Completion and Exoneration of Performance Bond No.8696090 for
Sewer Improvements on Tract Map #31288-4
City Council
May 16,2017
Page 34 of 215
W
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17.
18.
19.
12.
Notice of Completion and Exoneration of Performance LOC No.3117528 for
Sewer,Storm Drain,and Street Improvements and LOC No.3124925 for
Landscaping on Tract Map #31426 Located South of the 60 Interchange and
West of Potrero Blvd
Santa Ana Watershed Project Authority Invoice in the amount of $20,180 for
Basin Monitoring Program Task Force Contributions
Approve Change Order No.1 in the Amount of $84,241 for the 8th Street
Sidewalk Improvement Project to G.J Gentry General Engineering,Inc.
Items pulled:19,17,9,12
Motion by Council Member Lara
Second by Mayor White
_/_Council Member Martinez
_absent_Council Member Orozco
_w/_Council Member Lara
_x/_Mayor Pro Tem Carroll
_~/_Mayor White
To approve the remainder of the Consent Calendar
Carried by a 4-0 vote
One Year Contract Extension for Geographic Information System ''GIS''Services with |ntenNest
Consulting Group
Mayor White recused himself
Motion by Council Member Lara
Second by Council Member Martinez
_/_Council Member Martinez
_absent_Council Member Orozco
_\/_Council Member Lara
_/_Mayor Pro Tern Carroll
_recused_Mayor White
To approve a one year contract extension for Geographic Information System ‘‘GIS’’
services with lnterwest Consulting Group.
Carried by a 3-0 vote
Approval of City Attorney Invoices for the Month of April in the amount of $52,497.07
City Attorney John Pinkney recused himself
Motion by Council Member Lara
Second by Council Member Martinez
_\/_Council Member Martinez
_absent_Council Member Orozco
City Council
May 16,2017
Page 35 of 215
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Page 36 of 215
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_/_Mayor White
To approve the preliminary design for the Wastewater Treatment Plant
Expansion and Salt Mitigation Project for submittal to the Regional Board
and to approve Purchase Order for MBR and R0 equipment submittals
for Wastewater Treatment Plant Expansion and Salt Mitigation Project in
the amount of $75,000 and $41,377 to Fibracast and H20 Innovation
respectively.
Carried by a 4-0 vote
COUNCL REPORTS
Carroll —Attended the Women ’s Club 100 year anniversary.
Lara -Announced that the Beaumont Cherry Valley Parks and Recs District
will be celebrating their 45 year celebration,the School districts ground
breaking and the upcoming Cherry Festival
Martinez —Attended the student's recognition banquet,the Mello Roos
workshop,and the Women's Club 100 year celebration
White -Attended the Women’s Club 100 year celebration,the Memorial Wall
contribution,the Miss Beaumont Pageant.
CITY TREASURER REPORT
No report
CITY MANAGER REPORT
No report
CITY CLERK REPORT
Reported that the Laser?che issue has been resolved.
CITY ATTORNEY REPORT
23.
FUT
ADJ
The next regular meeting of the Beaumont City Council,Beaumont Financing Authority,
Status of Litigation
Public Comment opened at 10:34
J.Bingham —Asked about litigation not listed.
URE AGENDA ITEMS
Review of Committeeassignments
OURNMENT
Adjournment of the City Council of the May 16,2017 Meeting at 10:35 p.m.
Beaumont Utility Authority,and the Beaumont Successor Agency (formerly RDA),is
scheduled for Tuesday,June 6,2017,at 5:00 p.m.or thereafter as noted on the posted
City Council
May 16,2017
Page 38 of 215
Page 39 of 215
Page 40 of 215
Page 41 of 215
Page 42 of 215
Page 43 of 215
r____-
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Wilmington Trust,NationalAssociatio
TOTALDESCRIPTIO
Page 44 of 215
INVOICE
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DESCRIPTIO TOTA
20170406-M-60153-A
$121008-000BeaumontFinancing Authority2012LocalAgency‘RevenueBonds.Series A
i,(Improvement Area No.8C)
i?0’i’6-”ti0“0“B’e‘a‘EFn‘6iit‘F‘i”i'{aEAfiE"I?c:‘r"i'ry"23’r’j1T2"LBa3ii§EncyReveriiieab'rTd“sT§‘e?iEs"§
l(Improvement Area No.20)
’171I)”"1‘§-‘66i)”EiErTmi”i3i‘i?5?Ein§"Ai.iihB’riEi01i‘iFc3l"5§'e?i?y"I2’§i7si‘nu?ia”6FJ§,'§EeTE
(Improvement Area No.7B and Improvement Area No.7C)
”i*2‘:’I’0§’1‘-“(i'(>”t’)’li3‘i’e‘5TiEii’I=0ir1'zi'ri<?i?gA1'i?Fi”6r’i ty‘2013”[oéaI ?(§‘€rTc7EEJeiTJEBi3?f£f§I’SiE?ie"sA‘
(Improvement Area No.19C)
121”‘t)”§‘§4‘i)’t3‘6"????Eh3W§5i§‘[EiTiii§FiE§’R‘everiiTe"Bc?a”s.‘I<3'eries6
(Improvement Area No.17A)
?1io"4’T-‘0“66‘B"Eé'iI”"rimmT=‘iT1‘a‘riEi‘?§AG't’ITEr'i"'t3T2’K1 ;i"'Lci”iEEiiii\§‘e‘ncyRefunding RevenuoiebnaafsaiarA(Improvement Area No.7A1)
f2"16?i”6'50o6"B?m?i‘E‘Firia?cin§‘iiGth’6fii§‘20i§’E7\gé?cyRefiindingRevenueEcTri'ds'f§e‘r'i?l‘
B (Improvement Area No.19A)
"1"2'1’074'é'-TEE)”’éeaumon???H?K?lE?W20i5F&FA’g‘e‘iTcyR’éfun‘di'ngRevenuEBi?Is.‘Se.7rIEE'l"”""
C (Improvement Area No.18)
1”2‘i0§'iT0i)’6‘B“E3'E?1"iaTi't"’Fir‘i3n_cirE"Au‘{h?rii37'2‘61"5T6?aTR§e"ncyRefun“ding'Rev'enu铧o‘ri"d’sT’seriEs"“'
Dtlmprovement Area No.16)‘i
f2’0§3§T6IJ'6“§EEFnT6?’F€5Fn'in’iTn?TF?ciIiiEi5E'i?'&i’i~T6T§”iiispeci5If5:Bands,19<§il”S:eriesA I
for Improvement Area Nos.1—6Band 9-12
i209‘2iiL"cS‘66‘BEi;Tri?‘c"6'"nTn“wTii3T?EiI’if?e?i5EF?’KIBT§3iT‘specialTaxBondsZ‘§?4 §e'r'i'e?c '
§(ImprovementArea No.BA)
ff0§4’§36F6 ”é EIiIi??6??T\ToT§§?1"sTaEE'iaITax 8oiid1sT20f)‘§‘.<7¢Eiiia”'s'A
(Improvement Area No.6A1)
1209535650ia?in7HEcTrFi?ET1ii§?aciiitiés'bié?féf?aféaii (specialTax Bands,2005seri‘駒c
i(Improvement Area No.6A1)
|1f09sa1000"3EaGmE?iéciTnTiiTi'?ii§raciiiiifsoi‘s’irTci“N6.93-1SpecialTax Bonds,2006sen’e‘sA
iamprovementArea No.190
120969-000 Beaumont Community FEili?i§§('l5’i's‘.?t7kTIA?I’3."’9'2-lg-E1'”S.'p3e_ci‘a'|‘I5?ABor1-63,‘iii?tfs?iigia’
i(Improvernent Area No.8B)|
'1§‘(>‘¢.i‘70"Si-’Tl'”0i0)"§e“ai‘tTi'i'1’6'rF'c"c%Fi'it"§:‘F5EiIiiIéEbi§T?&Tv379§Ti‘§?ecialTaxBands?20o7”sE?Es'A“T'
kdmprovementAreaNos.3.11,14,and 14B)
._.._,~.v_—...—.e........4£ :
.__s-
1§0!§V80¥0l):0<Beaumont‘EommunityFacilitiesEJis't*r’i‘E't'T\'lw<3.“.S):.‘4I‘3.3rS"p—ecia|*TaxBonds.l20‘07SeriesB
g?mprovementAreaNo.8)
i”2“O”‘§“8“?I7t)O7O"’§é§'i]?i1"6?ii‘“CtTr?i‘r?E1Ity’FEiIiiIE§’Di§FiE?I<i6T§§‘3TSpecialTaxBonds.iO0‘i’§TriEs"C7l)'.
_1_1«(Improvement Area Nos.9.10A,12A,and 14A)
’1"2"<T9‘3“s‘i’-"t)“tTo‘I3Ei'6r':'tTommunityF’a'ElTt—iE?I‘)i§t‘i7iE£l'§jl‘c3-."9'§‘-cf‘@115):'BoI:i'ds,'2g00£7’§eriesii I
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(Improvement Area No.8C)
m _
7
120995-000Beaumont community"FacilitiesDistrictNo.33:SpecialTax Bonds,2003 Series A I
‘(Improvement Area No.19C)l
1§“17)_0=§:00T)"§eaumontCornmuniTyFEi|itie?E 33?pecia|TaxBonds,2009Series ,
‘(ImprovementArea No.8D)and City of Beaumont Community FacilitiesDistrict No.93-1 Special
’
3TaxBonds,2009 Series (Improvement Area No.178)
'1‘2100’S‘T0700WBeaumontCommunityFacilitiesDistrictNo.93-1SpecialTax Bonds,2011SeriesA
(Improvement Area No.178)and City of Beaumont Community Facilities District No.93-1 Special I
Tax Bonds.2011 Series B(lmprovement Area No.17B)1
1'§’i"6(Ts9‘-T)TJ"o”éF5FFn’€???fi??EnTt';7TaTciii*Ei?a?IS;EirTc'iT\I'67é”f1’"§;?EEET1'?a§i‘Bb"r1‘<Is.‘2:oi2:S?ri"eTA’“
(Improvement Area No.BC)
121013-OD0Beaumont Community FacilitiesDistrict No.93-1 Special Tax Bonds,2012 Series B
i:(Improvement Area No.20)
l1’211‘J’i>i1'-'6titi”B?a’u?n”i7.i?i'f'f6'r?
i'm’?ity‘F”aEili?E§bEfFiEt‘N‘6T§3i1"Sp3EiSl’Ta7Itéf?dir7§
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(Series C (Improvement Area No.7B),SpecialTax Bonds,2012 Series D (Improvement Area No.
!7B),Special Tax Refunding Bonds,2012 Series E (Improvement Area No.7C)and SpecialTax
Bonds,2012 Series F (Improvement Area No.7C)i
71“2‘?J§§-'0T>TJ”Ee’?En{"communi"37‘i=§c'iIitE o'i‘siriEiTvb.9311S>;3m:;T'|;a?x§I'O7\mJ§:“2“f)'i43’LS:t-e?i‘e'§—:V\7—-‘IF
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,,(Improvement Area No.17A)
51,800.00
“$00.55
$1,800.00
$1,800.00
——__.._.‘
$1,300.00 I
$1,300.00
$1,800.00 I
$1,800.00
$1,800.00
$1,800.00
$1,800.00
$1,800.00
$1,800.00
$1,800.00
$1,800.00
$1,800.00
$1,800.00
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$1,300.00
$1,800.00
'
$1,800.00 -
$1,800.00
$1300.00 _
$1,800.00 (
$1,800.00
$1,800.00
51.
Page 45 of 215
Page 46 of 215
M NT
-1!
PROUDLY SERVING THE
UNINCORPORATED ARF 5
OF RIVERSIDE COUNTY
AND THE CTTIES OF:
BANNING
BEAUMONT
CALIMESA
CANYON LAKE
COACHELLA
DESERT HOT SPRINGS
CAL FIRE —RIVERSIDE UNIT
RIVER$IDE COUNTY FIRE DEPARTMEN
T
John R.Hawkins -Fire Chief
210 West San Jacinto Avenue,Perris,Ca 92570-1915
Bus:(951)940-6900 Fax:(951)940-6373 www.rvcfire.org
May 9.2017
Data:
App.-
JURUPA VAL.LEY
..».KE ELSINORE
LA OUINTA
MENIFEE
MORENO VALLE
KG:mrm
Enclosures
cc:Chief Talbot
Chief Beach
Chief Smith
by:
KcmmLnpsern
Karen Gipson
Administrative Services Officer
EASTVAI E
INDIANWELLS
INDIO
NORCO
PALM DESERT
PERRF3
RANCHO MIRAGE
Ruaiooux CSD
SAN JACINTO
TEMECULA
WILDOMAR
BOARD OF’
SUPERVISORS:
KEVINJEFFRIES
DIsrRic'r 1
JOHN TAVAGLIONE
DISTRICT 2
CHARLES WASHlNGTON
DISTRICT3
VAC ANT
DISTRICT 4
MARION ASHLEY
DISTRICT 5
City of Beaumont
550 E.6"‘Street
Beaumont.CA 92223
Attn:City Manager
RE:Fire Protection Services
3rd Qtr.FY 16/17
Please find enclosed invoice #232456 in the amount of $637,120.55 for ?re protection
services provided for the period of January 13‘through March 31st,2017.There are no
estimated costs in this invoice for Safety Staf?ng Personnel.All costs are actual or based on
your Exhibit “A”.
Please note that January A0-17 “Extended Duty Week"include an extra "Work Period"due to
the 28-day pay period cycle.
AMRTransport Cost Reimbursement was based on Estimate and will be reconciled to Actual
in 4"’Quarter billing.
Included with this invoice is the FY1611?3'“Qtr.Cost AllocationProjected Reconciliation.
Payments can also be made via Wire Transfer or ACH.infonnation as follows:
Union Bank
1980 Saturn Street
Monterey Park,CA91755
Account Name:Riverside County Treasurer
ABA#:122000496
Account #:0050173925
Reference lnfomiation to be included on check,wire transfer or ACH
FPARC —City abbreviation,Invoice #.FY,Q#(is:FPARC-BM.232456.Q3)
If you have any questions regarding this billing,please contact Karen Gipson at (951)940-
6333.
JOHN R.HAWKINS
COUNTY FIRE CHIEF
Page 47 of 215
#T
Invoice Date
5/9/2017
Invoice #232456
COU TY OF
29,820.20
Annunl Tu Crcdll Quarterly Tm:Cred“InM).
Page 48 of 215
tyler
*7‘?mo
Questions:
NET45 06/01/2017
Terms Due DateustomerNo.Ord No PO Number
De riin
Empowering people who serve the public’
W Tyler Technologies.Inc.
(F EIN 75-2303920)
P.O.Box 203556.Invoice No Date Pa e/t€Chn0|08|eS Da|las.TX75320-3556 9
025-186472 04/17/2017 1 of
Tyler Technologies -Local Government
Phone:1-800-772-2260 Press 2,then 2
Fax:1-866-673-3274
Email:ar@tylertech.com
BillTo:Beaumont.CA.City of
550 E 6th St.
Beaumont.CA 92223
Ship To:Beaumont,CA,City of
550 E 6th St.
Beaumont.CA 92223
42174”67581 2016-0124
Schedule 3 -New Tyler Software Added to SaaS:05/01/2017 04/30/2018 5356930
Mll.es.t.<zn.e..D.e.ta1l§
Descrlptlon:Contract Amount:Percent Involced:Amount lnvoiced:
Annual Subscription Fee-Schedule 3 -New lncode Software 195,461.14 14%27,923.02
Added to Saas
Annual User Fee (30 Named Users)-Schedule 3 -New Tyler 120,960.00 14%17,280.00
Software Added to Saas
Annual Subscription Fees —Schedule 3 -New EnerGov Software 163,561.86 14%23_365_9a
Added to Saas
Page 49 of 215
°-:32.tyler
Questions:
NET45 O6/0‘:/2017
ustomer No.Ord No PO Number Currency Terms Due Date
D i tio
Empowering people who serve the public’
Tyler Technologies,Inc.I i
(FEIN 75-2303920)
P.O.Box 203556 Invoice Na.Date Pa e
/T9Chn°'08|eS Dal|as,TX75320-3556
9
025486471 04/17/2017 1 of 1
Tyler Technologies -Local Government
Phone:1-800-772-2260 Press 2,then 2
Fax:1-866-673-3274
Email:ar@tyIertech.com
BillTo:Beaumont,CA,City of
550 E 6th St.
Beaumont.CA 92223
Ship To:Beaumont.CA,City of
550 E 6th St.
Beaumont.CA 92223
/00-/94>——7071-
'7
67581 2016-0124 USU
Scheduie 2 -Tyier Software Migration to SaaS:05/01/2017 -04/30/2018 1419770
0M.iJ.es1szn9_D.e.tajLs
Description:Contract Amount:Percent lnvoiced:Amount lnvolcedz
Annual Subscription Fee -Schedule 2 -Tyler Software Migration to 104,839.00 14%14,977.00
Saas
**ATTENTION**14 977 00
Order your checks and forms from
Subtotal ''
Tyler Business Forms at 877-749-2090 or Sales Tax Q00
ty|erbusinessforms.com to guarantee
1 00%compliance with your software.Invoice Total 14L_977
Page 50 of 215
Page 51 of 215
Page 52 of 215
Page 53 of 215
OWServiceIProductDescriptson Unit Cost Tota
VAS Securiiy Systems,inc.Estimate
2360 Shasta Way
Unit F P’”°“e
Simi Va?ey,CA 93065 Email
Client Phone
Service Address
#507624
805-915-021 3
info@vassecurity.com
9517698521
550 E Sixth Street
Beaumont,Caiifornia 92223
Page 54 of 215
Service J Product 'Total
VAS Security Systems,inc.Estimate
2360 Shasta Way
Unit F Phone
Simi Vailey,CA 93065 Emaii
Client Phone
Service Address
#507624
805915-0211
im‘o@vassecurity.com
951 7698521
550 E Sixth Street
Beaumont,Caiifomia 92223
Equipment
Equipment
Equipment
Equipment
Equipment
Equipment
Equipment
Aruba 2530-48G—PoE+Switch —48 Ports Managed
Flach-mountable
5 years Lifetime Limited Warranty
Aruba 2920-48G Switch —48 Ports Managed Rack-
mountable
5 years Lifetime LimitedWarranty
APC Smart-UPS X 3000 Rack/Tower LCD
3 Year Manufacturer Warranty
HPE Power Supply Shelf -1U
Limited Lifetime Manufacturer Warranty
HPE X332 Power Supply -Hot-Plug/Fteduntanto 575
Watt
Limited Lifetime Manufacturer Warranty
HPE Power Cable —3.3 ft
Limited Lifetime Manufacturer Warranty
Tripp Lite Enclosure Cabinet 10 Pieces Cooling
Blanking Panel 1URM
5-year Limited Manufacturer Warranty
1
1
1
$1,950.73
$2,422.61
$1,670.34
$1,513.60
$481.17
$109.66
$379.63
$1 ,950.73
$2,422.61
$1,670.34
$1,513.60
$481.17
$109.66
$379.63
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“MNT
REQ E F RPR AL.
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this RFP.Additionally,the City reserves the right to negotiate all final terms and conditions of any proposal
received before entering into a final contract.
Conflict of Interest
The consultant shall disclose any financial,business,or other relationships with the City,its officials and staff.
The consultant shall also list current clients who may have a financial interest in the outcome of this contract.
Proposal Evaluationlselection
The City intends to engage the most qualified consultant available that demonstrates a thorough understanding
of the City's needs.City staff will use the following criteria to evaluate the proposals:
1.Understanding the scope of services Available Points =10
2.Demonstrated professional skill and credentials Available Points =15
3.Related experience Available Points =15
4.Quality of proposal Available Points =10
5.Approach to performing this type of service Available Points =10
6.Approach to communicating Available Points =10
7.Familiarity with City,County,and State entities Available Points =20
8.References/satisfaction of previous clients Available Points =10
Total Points Available =100
The City may request a qualification interview with the highest ranked consu|tant(s)prior to determining the final
ranking.This selection will be conducted according to the City’s adopted procedures.The City reserves the right
to reject any and all proposals.
ADDITIONAL CONSULTANT RESPONSIBILITIES (See Exhibit B)
The Consultant shall be responsible for completing the specified services in accordance with the City's Professional
Services Agreement.
TERM
The term of the agreement shall be determined upon need of services and consistent with the City’s policies.The
initial period of the contract is for one year,with extensions as approved by City Council,subject to agreement
terms and the Beaumont Municipal Code.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Request for Proposal for Information Technology (IT)Service and Support
Page 5
Council A roval of RFP
Advertisement
Deadline to Submit Pro osal
Interview Panel in Beaumont
Contract Award b Cit Council
Tuesda .June6
Wednesda June 7,2017
Frida Jul 7,2017
Week ofJuI 10th,2017
Jul 18,2017
TIMELINE:
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Qualifications:
My top 10 strengths and qualifications include:
1.I have a bachelor's degree in Public Administration with a minor in
Economics from Cal State Polytechnic University Pomona.I took several
classes within this degree that pertained to audit and finance,including
Financial Accounting,Public Finance,Planning and Policy analysis,
Managerial Finance,Money and Banking,and Government and Not for Profit
Accounting.I also hold a teaching credential in both Mathematics and Social
Science from Cal Poly Pomona and a Master's degree in Education from
Concordia University Irvine.
I teach AP Macroeconomics,AP U.S.Government and Economics at Beaumont
High School.Therefore,have a keen understanding of how to effectively
communicate advanced economic,mathematical,and political concepts.For
examples of howl do this,please see my website,vandernomics.weebly.com.
I have a strong desire to create a stronger link between my government and
economics classroom and the City of Beaumont.I am optimistic that service
on this committee will allow me to effectively communicate to the students of
Beaumont High School how they can serve their city.
As an educator,I have a natural desire to empower the people of Beaumont
regarding how they can participate in public service in order to enhance the
well being of the city of Beaumont.
I have experience in California State politics,having worked for California
State Assembly members Robert Pacheco and Carol Liu several years ago.
I have an acute ability to research in order to learn what is necessary to solve
problems.For example,I have educated myself regarding the financial
challenges the city faces from watching past videos of Finance and Audit
Committee meetings.
I have excellent questioning skills and am not afraid to ask whatever is
necessary to get the job done right.
I have a strong desire to participate in public service in order to better the
standard of living of the people of Beaumont.
I have a passion for public policy.I regularly read periodicals such as The
Economist and the Wall Street Iournalas well as local periodicals such as the
Press Enterprise and the Record Gazette.In addition,I regularly read the
works of PhDs in Economics such as Dr.Greg Mankiw of Harvard,Dr.]ohn
Taylor of Stanford,Dr.Glenn Hubbard of Columbia Business School,and Dr.
Page 96 of 215
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Ph°ne=-951-251-6779
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19 years 6 months
PREVIOUS EMPLOYMENT
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Duration of
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3.
JobTitle:Unemployed
Describe your Duties:
Employer:
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Phone:
Duration of
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Employer:
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Describe your Duties:
Phone:
Duration of
employment
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Employer:
Address:
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Duration of
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*Deadline to apply is May 26,2017 at 12:00 11oon*
I’age2of2FinanceandAuditAppointmentApplication
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Page 99 of 215
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Steven S.Coolev
Beaumont CA 92223
Experience
Auditor
Citywide Home Loans January 2013 —April 2016
Instrumental in developing and implementing internal audit programs meant to comply
with CFPB self-examination process.Wrote and implemented multiple audit programs
including but not limited to S.A.F.E.Compliance,GLB Act Compliance,TILA
Compliance,Dodd-FrankCompliance,ECOA Compliance and Fair Lending
Compliance.
Developed and conducted branch of?ce audits used to documentcompliance with
HUD/FHA,state and local laws and rules.Currently monitoring compliance in 37
branch offices in approximately 40 states.
Developed and implemented advertising compliance program including creating required
record keeping processes needed to comply with federal and state requirement.Monitor
and frequently update state laws,rules and regulator interpretations of state and federal
requirements.
Develop and maintain working relationships with state regulators and administrators
responsible for monitoring,auditing and reviewing mortgage banking operations.
Auditor
State of Utah Consumer Protection November 2004 -April 2012
Audited applications,?nancial records,?nancial statements,operations and other ?lings
of entities holding permits and licenses issued by the Utah Division of Consumer
Protection.These included charities,professional ?md raisers,post secondary schools
and health spas.Discovered several organizations engaged in fraudulent business
practices.Obtained signi?cant cash recoveries,rehabilitated several organizations and
caused closure of multiple organizations that would not or could not comply with State
and Federal laws and regulations.
Developed practices and policies of audit section of Consumer Protection
Trained staff
Page 102 of 215
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Implementedvarious audit programs to test compliance with state code and rules
Provided training and consultation to licenseesconcerning State code and Rules
Coordinated with IRS Charitable Organizations Section to coordinate State and Federal
reporting needs
Audited organizations for compliance with government contracts
Identi?ed organizations operating without registration and secured compliance with
registration requirements emphasizing voluntary compliance
Audited IRS Forms 990 for accuracy and completeness
Tested and recommend internal controls for licensees
Audited and tested for fraud by licensed and unlicensed organization
Providedall internal auditing functions for State of Utah Department of Commerce
Accounting Manager
JP Realty/General Growth Properties June 1997 —November 2004
(JP Realty was acquired by General Growth in 2002)
Coordinated accounting activities of multiple mall and property accountants and clerks
Audited tenant accounting records to insure compliancewith lease terms
Calculated and billed common area maintenance (CAM)fees
Calculated and billed lease payments including gross,triple net and various modi?catio
nProvided?nancial analysis for leasing agents and property managers
Education
M.B.A.Westminster College,Salt Lake City,UT
B.A.Accounting Westminster College,Salt Lake City,UT
SoftwareSkills
Pro?cient in all Microsoft Of?ce products
Skilled in multiple accounting products including off the shelf and proprietary systems
ProfessionalA?iliations
National Association of State Charity Of?cials (NASCO)
National and State Associations of Certi?ed Fraud Examiners
AICPA
Page 103 of 215
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Proposed Urgency Ordinance
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ORDINANCE NO.
AN INTERIM URGENCY ORDINANCE OF THE CITY OF
BEAUMONT,ENACTING A TENIPORARY
MORATORIUM ON THE ISSUANCE OF ANY PERMITS
FOR NEW AND RELOCATED WIRELESS
TELECOMMUNICATIONS FACILITIES WITHIN PUBLIC
RIGHT-OF-WAYS,PURSUANT TO GOVERNMENT
CODE SECTION 65858.
THE CITY COUNCIL OF THE CITY OF BEAUMONT DOES ORDAIN
AS FOLLOWS:
SECTION 1.Findings.
The City Council ?nds and declares as follows:
A.Under Public Utilities Code §7901.1,a municipality can adopt reasonable
time,place and manner regulations with respect to the manner in which public rights-of-
way may be accessed by telephone companies,including wireless communication
companies which have been granted state authorization permitting the construction of
facilities in public rights-of-way.
B.Title 47,United States Code §332 appears to authorize municipalities to
regulate the placement,construction and modi?cation of wireless telecommunication
facilities,subject to speci?ed limitations.
C.As used in this ordinance,"Wireless Facilities"means all equipment
installed for the purpose of providing wireless transmission of voice,data,images or
other information including,but not limited to,cellular telephone service,personal
communications services and paging services,consisting of equipment and network
components such as towers,utility poles,transmitters,base stations and emergency power
systems."Wireless Facilities"shall not be deemed to include facilities constructed by and
operated by suppliers of electric,gas or water utilities.
Page 107 of 215
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D.The BEAUMONT Municipal Code (BMC)is silent with respect to the
development,siting,installation,and operation of Wireless Facilities within City rights-of-
way.
State and federal law addressing the scope and manner of local regulation of
Wireless Facilities continues to develop and evolve as evidenced by the following cases and
rule changes:
i.In Sprint Telephone PCS,L.P.v.County ofSan Diego (2008)543 F.3d
571 ("Sprint Telephone"),the Ninth Circuit Court of Appeals overruled seven years
of Ninth Circuit jurisprudence relating to 47 U.S.C.§253,a provision of Federal
Telecommunications Act that,until this case was decided,had been interpreted to
severely limit local authority to regulate Wireless Facilities.
ii.In Sprint PCS Assets,LLC v.City of Palos Verdes Estates (2009)
583 F.3d 716 ("Sprint PCS"),the Ninth Circuit Court of Appeals set out
signi?cant new standards establishing how municipalities may consider and.
decide applications for Wireless Facilities to be located within the public right-of-
way.
iii.On February 22,2012,section 6409(a)of the Middle Class Tax
Relief and Job Creation Act of 2012 ("Act")was enacted and changed how co-
located Wireless Facilities must be evaluated,and in some cases must be
approved,changing more than a decade of national jurisprudence relating to 47
U.S.C.§332 that,until the passage of the Act allowed local governments wide
latitude and discretion in considering co—location of Wireless Facilities in the
public right-of-way,and on public and private property.
iv.On October 17,2014,the Federal Communications Commission
("FCC")issued a Report and Order updating its rules and procedures governing
new and modified Wireless Facilities,which includes clari?cations on local
zoning powers with respect to Wireless Facilities and the procedures for the
review of siting applications.
Page 108 of 215
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V.The case of T-Mobile West,LLC et al.vs.City and County
of San Francisco et al.3 Cal.App.5th 999 (2016)the court upheld the legal authority
of municipalities to regulate timing,location and manner of construction of Wireless
Facilities.
F.The City has recently received and anticipates receiving additional requests
by telecommunications providers to establish new or expanded Wireless Facilities within the
City.However,as noted above,the existing provisions of the BMC are inadequate and time
is needed to review,study and revise the BMC to fully take into account the impacts related
to the timing,location and manner of construction of Wireless Facilities by multiple
telecommunication providers within the public rights-of-way as well as other public and
private property,including the public health,safety and welfare concerns of pedestrian and
vehicular traf?c.
G.In addition to detracting from public views and neighborhood character,
unsightly Wireless Facilities and their related visual clutter can lead to or exacerbate
public safety hazards such as distracted driving.This poses a safety concern in Beaumont
where members of the public,including children,commonly walk along public right-of-
ways.For these reasons,the City Council ?nds that it must consider regulating the
appearance and location of Wireless Facilities within the public right-of-ways in order to
promote the public health,safety and welfare.
H.The BMC must be updated in order to protect the public against the
potential threats to the health,safety and welfare of the public arising from
telecommunication providers constructing Wireless Facilities throughout the City.The
City requires additional time to prepare,evaluate and adopt reasonable regulations
regarding the use of the public rights-of-way and other public and private property within
the City for Wireless Facilities.
I.The absence of this ordinance would impair the orderly and effective
implementation of contemplated amendments to the BMC,and any further authorization to
construct Wireless Facilities in the City's rights-of-way or other public or private property
Page 109 of 215
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within the City during the period of this moratorium may be in con?ict with or may frustrate
the contemplated updates and revisions to the BMC.
J.Without the enactment of this ordinance,multiple telecommunication
providers could quickly receive permits to install Wireless Facilities that pose a threat to
the public health,safety and welfare.For example,without this ordinance,Wireless
Facilities could:
i.Create land use con?icts and incompatibilities including excessive
generators;
ii.Create visual and aesthetics blights and potential safety concerns
arising from excessive size,heights,noise or lack of camou?aging of Wireless
Facilities including the associated pedestals.meters,equipment boxes and power
iii.Create unnecessary visual and aesthetic blight by failing to utilize
alternative technologies or capitalize on collocation opportunities;
iv.Cause substantial disturbances to rights-of-way through the installation
and maintenance of Wireless Facilities;
V.Create traf?c and pedestrian safety hazards due to the unsafe location
of Wireless Facilities;and
vi.Negatively impact the unique quality and character of the City.
K.The City Council further ?nds that this moratorium is a matter of local and
City-Wide importance and is not directed towards any particular telecommunication provider
that currently seeks to establish a Wireless Facility.
L.Government Code §§36937 and 65858 authorize the adoption of an urgency
ordinance to protect the public health,safety and welfare,and to prohibit certain land uses
that may con?ict with land use regulations that the City's legislative bodies are considering
or intend to study within a reasonable time.
M.The City Council finds that there is a current and immediate threat to the
public health,safety and welfare based on the above ?ndings,and upon that basis has
Page 110 of 215
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Wireless Facility,provided that the exterior physical dimensions of the existing Wireless
Facility are not substantially changed or increased;
B.The maintenance,updating,repair or improvement of an existing Wireless
Facility,provided that the physical dimensions of the Wireless Facility are not substantially
"changed.The detennination of whether the physical dimensions will be substantially
changed shall be in accordance with criteria stated in the FCC Report and Order dated
October 17,2014.
SECTION 5.Report.
The City Manager or his designee is authorized and directed to prepare and issue,on
behalf of the City Council,a written report describing the measures taken by the City to
alleviate the conditions which have led to the adoption of this ordinance,at least ten (10)
days prior to the expiration of this ordinance.A copy of the same shall be subsequently
provided to the City Council for review.
SECTION 6.CEQA Review.The City Council hereby ?nds that this ordinance is
not subject to review under the California Environmental Quality Act (CEQA)pursuant to
CEQA Guidelines sections 15060(c)(2)[the activity will not result in a direct or
reasonably foreseeable indirect physical change in the environment],l5060(c)(3)[the
activity is not a project as de?ned by CEQA],and 1506l(b)(3)[there is no possibility the
activity in question may have a significant effect on the environment].These ?ndings are
premised on the fact that the adoption of this urgency interim ordinance will maintain
existing environmental conditions arising from the City's current land use regulations
without signi?cant change or alteration.The City Manager is hereby directed to ensure
that a Notice of Exemption is ?led pursuant to CEQA Guidelines section 15062 [14
C.C.R.§15062].
SECTION 7.No Liability.The provisions of this ordinance shall not in any way be
construed as imposing any duty of care,liability or responsibility for damage to person or
property upon the City of BEAUMONT ,or any of?cial,employee or agent thereof.
Page 112 of 215
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SECTION 8.Pending Actions.Nothing in this ordinance or in the codes hereby
adopted shall be construed to affect any suit or proceeding pending or impending in any
court,or any rights acquired,or liability incurred,or any cause or causes of action acquired
or existing,under any act or ordinance or code repealed by this ordinance,nor shall any just
or legal right or remedy of the City of any character be lost,impaired or affected by this
ordinance.
SECTION 9.Severability.If any section,subsection,subdivision,paragraph,
sentence,clause or phrase of this ordinance,or its application to any person or
circumstance,is for any reason held to be invalid or unenforceable,such invalidity or
unenforceability shall not affect the validity or enforceabilityof the remaining sections,
subsections,subdivisions,paragraphs,sentences,clauses or phrases of this ordinance,or
its application to any other person or circumstance.The City Council of the City of
Beaumont hereby declares that it would have adopted each section,subsection,
subdivision,paragraph,sentence,clause or phrase hereof,irrespective of the fact that any
one or more other sections,subsections,subdivisions,paragraphs,sentences,clauses or
phrases hereof be declared invalid or unenforceable.
SECTION 10.Construction.The City Council intends this ordinance to
supplement,not to duplicate or contradict,applicable state and federal law and this
ordinance shall be construed in light of that intent.To the extent the provisions of the
Beaumont Municipal Code as amended by this ordinance are substantially the same as
provisions in the Beaumont Municipal Code existing prior to the effectiveness of this
ordinance,then those amended provisions shall be construed as continuations of the
earlier provisions and not as new enactments.
SECTION 11.Urgency;Effective Date;Duration and Publication.
This ordinance is adopted by the City Council pursuant to the California
Constitution,article XI,section 7 and Government Code section 65858 by a four-fifths
(4/5)or greater vote,as an urgency measure to protect the public health,safety and
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The League has stated that the MMRSA established three fundamental tenets:1)advancing local
control;2)protecting public safety;and 3)creating uniform health and safety standards that
ensure the lawful distribution of medical marijuana in those cities and counties in which it is
authorized.
According to the League’s analysis of the Administration’s proposed trailer bill it includes
language which would invalidate the MMRSA in its entirety,including the local government
protections which it put in place.It proposes to do the following:
Trigger a sales tax hit to cities by repealing the state Medical Marijuana ID card program
and drop the ID card requirement from the criteria to qualify for the sales tax exemption
for medical marijuana retail sales.As a practical matter,this means consumers will
migrate to medical marijuana,the market where cities can no longer impose sales
tax.Cities yielded $23.7 million from marijuana sales in 2016.That revenue is expected
to dry up because the recreational market will shrink if the ID card goes away.
Return cities to an Alcoholic Beverage Control enforcement model by only empowering
the state to inspect businesses,and is silent on such authority for local governments.
Repeals the provision imposing a 10-day time limit on state licensing entities to begin an
investigation once noti?ed by local governments that they have revoked a business’local
permit —undermining local enforcement.
Scrap a provision of law invalidating a business’ability to operate legally once a local
permit has been revoked.
Key issues/talking points developed by the League with regard to this issue are listed below:
Unless MMRSA provisions are actually in con?ict with Prop.“64,there is no reason to
repeal them.MMRSA resulted from a 2-year stakeholder process balancing interests of
local government,industry,labor,and law enforcement.
0 Prop.64 passed largely because it built on the MMRSA framework.
0 Prop.64 did not itself repeal MMRSA.To do so now arguably is a question that
would require returning to the voters,notwithstanding the Governor’s directive to
create a single regulatory system for both medical and recreational marijuana.
Repealing the medical marijuana ID card program is premature.
Repealing the state ID card program will have the effect of encouraging all consumers,
regardless of why they use it,to migrate to medical marijuana,on which local
governments carmot impose sales tax.
[Notes The League has con?rmedthat cities collected at least $23.7 million in sales tax
revenue in 2016.]
The carmabis industry’s biggest ask is that they be allowed to control their own
distribution.This is something the League and Police Chiefs have already agreed
to.Local governments are simply asking for reasonable oversight:Either an independent
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0 Effect of revocation of local permit —Business &Professions Code Section 19320(b)(not
included in initial draft of Trailer Bill):Localpermits,once revokedshouldsuspend a state license
pending a resolutionofthe defectthat led to the local revocation.
Beaumont willoppose any cannabis regulatory measure that fails to sufficiently protect local control,
including the local ability to regulate these businesses.This would be anathema to the health,safety and
welfare of Beaumont,the region and the State.
it has been reported in the news media that because Prop.64 was approved by voters by a comfortable
margin,it should trump any Act of the Legislature.However,the Legislature craftedthe regulatory scheme
upon which Prop.64 relied at the time it was pitched to the voters.In_several places the text of Prop.64
references the Medical Cannabis Regulation and Safety Act,which the Trailer Billnow attempts to repeal.
Furthermore,Prop.64 states very clearly that amendments to the Act must "further the purposes and
intent of the Act."Amendments to Sections 5 and 6 of Prop.64 must be "consistentwith and further the
purposes and intent"of the Act.(Section 10,"Amendment.”)Section 3(c)within the "Purpose and
lntent"portion of the Act states that the intent of the law is to "(a)al|ow local governments to enforce
state laws and regulations for nonmedical marijuana businesses....”The changes proposed by the Trailer
Bill,particularly those referenced above related to fire safety standards and local inspection rights,
therefore directly conflictwith the purpose and intent of the legislation related to localcontrol.Section
3(k)states that another intent of the Act is to "(strengthen the state's existing medicalmarijuana system
by requiring patients to obtain”new doctor recommendations and to provide privacy protections for
individualswho obtain Medical Marijuana |.D.cards.Clearly a driving force of the purpose and intent of
Prop.64 was to strengthen—not weaken—the medical marijuana system.The proposed changes weaken
the medical marijuana system and therefore do not further the purpose and intent of Prop.64.as
required under the Act.Such changes not only diminish local control,but make all of the amendments in
the Trailer Billsusceptible to litigation.
For these reasons,the City of Beaumont respectfully opposes this measure.
Sincerely,
LloydWhite
Mayor
cc:Honorable Marc Steinorth,State of California23”’Senate District
Honorable Chad Mayes,State of California42”"Assembly District
Ms.Erin Sasse,Riverside County Regional PublicAffairs Manager (via email:esasse@cacities.org)
Ms.Meg Desmond,League of California Cities (via email:mdesmond@cacities.org)
Page 2 of 2
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Background:In 1996,voters approved Proposition 215,which legalized the use of medicinal
cannabis in California.Since the proposition was passed most regulation was done by local
governments.
In 2015,California enacted three bills —AB 243 (Wood,Chapter 688);AB 266 (Bonta,Chapter
689);and SB 643 (McGuire,Chapter 719)—that collectively established a comprehensive state
regulatory framework for the licensing and enforcement of cultivation,manufacturing,retail
sale,transportation,storage,delivery and testing of medicinal cannabis in California.This
regulatory scheme is known as the Medical Cannabis Regulation and Safety Act (MCRSA).Senate
Bill837 (Committee on Budget,Chapter 32,Statutes of 2016)built upon the MCRSAframework
and added comprehensive environmental safeguards that require the State Water Resources
Control Board,in consultation with the Department of Fish and Wildlife,to adopt principles and
guidelines governing the use of water for cannabis cultivation with the goal of protecting
streams and rivers from illegal diversion.
In November of 2016,voters approved Proposition 64,the Adult Use of Marijuana Act (AUMA).
Under Proposition 64,adults 21 years of age or older can legally grow,ipossess,and use cannabis
for non-medicinal purposes,with certain restrictions.in addition,beginning on January 1,2018,
AUMA makes it legal to sell and distribute cannabis through a regulated business.
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{6}No person or designated primary caregiver in possession of a valid h sician ’s recommendation or
a coun issued identi?cation card shall be subject to arrest for possession,transportation,delivery,or
cultivation of medical marijuana in an amount established pursuant to this article,unless there is
reasonable cause to believe that the information contained in the card is false or falsi?ed,the card has
been obtained by means of fraud,or the person is otherwise in violation of the provisions of this article.
Section 11362.715 of the Health and Safety Code is amended to read:
11362.7l5.
(a)--~-----
....-:A uali zed atient shall assess a h sician ’s
recommendation that rovides the ollowin .'
(1)The name of the person,and proof of his or her residency within the county.
(2)Written documentation by the attending physician in the person’s medical records stating that the
person has been diagnosed with a serious medical condition and that the medical use of marijuana is
appropriate.
(3)The name,of?ce address,of?ce telephone number,and California medical license number of the
person’s attending physician.
(4)The name and the duties of the primary caregiver.
(5)A govemment-issued photo identification card of the person and of the designated primary
caregiver,if any.If the applicant is a person under 18 years of age,a certi?ed copy of a birth certi?cate
shall be deemed sufficient proof of identity.
(b)If the p uali zed atient lacks the capacity to make
medical decisions,the app-1-ieat-ion-may-be-madeh sician ’s recommendation ma be maintained by
the person’s legal representative,including,but not limited to,any of the following:
(1)A conservator with authority to make medical decisions.
14]Page
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(2)An attorney-in—factunder a durable power of attorney for health care or surrogate decision maker
authorized under another advanced health care directive.
(3)Any other individual authorized by statutory or decisional law to make medical decisions for the
person.
Section 11362.72 of the Health and Safety Code is deleted:
11362.72.
Section 11362.735 of the Health and Safety Code is deleted:
11362.735.
15:Page
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(f)A quali?ed patient ''''',or the designated primary caregiver
of that quali?ed patient or person,may possess amounts of marijuana consistent with this article.
Section 11362.775 of the Health and Safety Code is amended to read:
11362.775
(a)Subject to subdivision (d),quali?ed patients,and the designated
primary caregivers of quali?ed patients who associate within the
State of California in order collectively or cooperatively to cultivate carmabis for medical purposes,shall
not solely on the basis of that fact be subject to state criminal sanctions under Section 11357,11358,
11359,11360,11366,11366.5,or 11570.
(b)A collective or cooperative that operates pursuant to this section and manufactures medical cannabis
products shall not,solely on the basis of that fact,be subject to state criminal sanctions under Section
11379.6 if the collective or cooperative abides by all of the following requirements:
(1)The collective or cooperative does either or both of the following:
(A)Utilizes only manufacturing processes that are either solventless or that employ only non?ammable,
nontoxic solvents that are generally recognized as safepursuant to the federal Food,Drug,and Cosmetic
Act (21 U.S.C.Sec.301 et seq.).
(B)Utilizes only manufacturing processes that use solvents exclusively within a closed-loop system that
meets all of the following requirements:
(i)The system uses only solvents that are generally recognized as safe pursuant to the federal Food,Drug,
and Cosmetic Act (21 U.S.C.Sec.301 et seq.).
(ii)The system is designed to recapture and contain solvents during the manufacturing process,and
otherwise prevent the off-gassing of solvents into.the ambient atmosphere to mitigate the risks of ignition
and explosion during the manufacturing process.
(iii)A licensed engineer certi?es that the system was commercially manufactured,safe for its intended use,
and built to codes of recognized and generally accepted good engineering practices,including,but not
limited to,the American Society of Mechanical Engineers (ASME),the American National Standards
Institute (ANSI),Underwriters Laboratories (UL),the American Society for Testing and Materials
(ASTM),or OSHA Nationally RecognizedTesting Laboratories (NRTLs).
(iv)The system has a certi?cation document that contains the signature and stamp of a professional
engineer and the serial number of the extraction unit being certi?ed.
(2)The collective or cooperative receives and maintains approval from the local ?re of?cial for the closed-
loop system,other equipment,the extraction operation,and the facility.
(3)The collective or cooperative meets required ?re,safety,and building code requirements in one or more
of the following:
(A)The California Fire Code.
(B)The National Fire Protection Association (NF PA)standards.
(C)International Building Code (IBC).
(D)The International Fire Code (IFC).
(E)Other applicable standards,including complying with all applicable ?re,safety,and building codes in
processing,handling,and storage of solvents or gasses.
(4)The collective or cooperative is in possession of a valid sel1er’s permit issued by the State Board of
Equalization.
(5)The collective or cooperative is in possession of a valid local license,permit,or other authorization
speci?c to the manufacturing of medical cannabis products,and in compliance with any additional
conditions imposed by the city or county issuing the local license,permit,or other authorization.
18|Page
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Section 26001 of the Business and Professions Code is amended to read:
26001.
For purposes of this division,the following de?nitions shall apply:
a “A-license ”means a state license issued under this division or cannabis or cannabis roducts that
are intended or adults 21 ears 0 a e and over who do not ossess a h sician ’s recommendation.
“A-licensee ”means an erson or enti holdin a license under this division or cannabis or
cannabis roducts that are intended or adults 21 ears 0 a e and over who do not ossess a
h sician ’s recommendation.
(c)“Applicant"means an owner a l in or a state license ursuant to this
division.
(rh “Ran.-h"means /1 s eci m uanti n hnmn eneous medicinal cannabis or medicinal cannabis
roduct and is one o the ollowin es:
1 “Harvest batch”means a s eci zcall identi zed uanti 0 dried ower or trim leaves and
other cannabis lant matter that is uni orm in strain harvested at the same time and i a licable
cultivated usin the same esticides and other a ricultural chemicals and harvested at the same
time.
2 “Mann actured cannabis batch”means either:
A An amount 0 cannabis concentrate or extract roduced in one roduction c cle usin the
same extraction methods and standard 0 eratin rocedures and is om the same harvest batch.
B An amount 0 a e o manu actured cannabis roduced in one roduction c cle usin the
same ormulation and standard 0 eratin rocedures.
(e)"Bureau"means the Bureau 0 Cannabis Control within the
Department of Consumer Affairs,ormerl named the Bureau 0 Medical Cannabis Re ulation and
Bureau 0 Medical Mari 'uana Re lation.
(f)“Cannabis”means all arts 0 the [ant Cannabis sativa Linnaeus Cannabis indica or
Cannabis ruderalis whether rowin or not‘the seeds thereo 'the resin whether crude or uri zed
extracted om an art o the [ant and eve com ound manu acture salt derivative mixture or
re aration o the lant its seeds or resin.“Cannabis”also means the se arated resin whether
crude or uri zed obtained om cannabis."Cannabis ”also means mari 'uana as de med b Section
11018 0 the Health and Sa e Code as enacted b Cha ter 1407 o the Statutes o 1972.
“Cannabis”does not include the mature stalks 0’the lant zber roduced am the stalks oil or
cake made om the seeds 0 the lant an other com ound manu acture salt derivative mixture
or re aration o the mature stalks exce tthe resin extracted there rom zber oil or cake or the
sterilized seed 0 the lant which is inca able 0 ermination.For the ur ose 0 this cha ter
“cannabis ”does not mean “industrial hem "as de med b Section 81000 0 the Food and
A ricultural Code or Section 11018.5 0 the Health and Sa e Code.
‘
(g)"Cannabis accessories"has the same meanin as mari ‘uana accessories in Section 11018.2 0
the Health and Sa e Code.
21|
(h)Cannabis concentrate means manu actured cannabis that has under one a rocess to
concentrate one or more active cannabinoids thereb increasin the roa’uct’s otenc .Resin om
ranular trichomes used in manu acturin is a concentrate or ur oses 0 this
cha ter.Residue mm a cannabis lant that is collected as a b roduct o the cultivation or
cleanin rocess that contains anular trichomes is not a concentrate or ur oses 0 this
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cha ter.A cannabis concentrate is not considered ood as de med 1)Section 109935 0 the Health
and Sa e Code or a dru as de med b Section 109925 0 the Health and Sa e Code.
(j)"Child resistant"means designed or constructed to be signi?cantly difficult for children under
?ve years of age to open,and not dif?cult for normal adults to use properly.
(k)"Commercial-marijuana cannabis activity"includes the cultivation,possession,manufacture,
distribution,processing,storing,laboratory testing,labeling,transportation,distribution,delivery or
sale of mai=ij~uanacannabis and ma1=ij-uanacannabis products as provided for in this division.
(1)"Cultivation"means any activity involving the planting,growing,harvesting,drying,curing,
grading,or trimming of marijuana cannabis.
(In)"Cultivation site”means a location where cannabis is lanted own harvested dried
cured raded or trimmed or that does all or an combination 0 those activities.
(n)"Customer"means a natural person 21 years of age or over.
(0)"Day care center"shall have the same meaning as in Section 1596.76 of the Health and Safety
Code.
(p)"Delivery"means the commercial transfer of ma-rijua-nacannabis or marij-uanacannabis
products to a customer."Delivery"also includes the use by a retailer of any technology platform
ownedandcontrolledbytheretailer.:'.--.-~-.:.-:-.--:.-~:--:--::--
(q)"Director"means the Director of the Department of Consumer Affair.
(r)"Distribution"means the procurement,sale,and transport of marijuana cannabis and
marijuana cannabis products between entities licensed pursuant to this division.
(S)“Dried ower”means all dead cannabis that has been harvested dried cured or otherwise
rocessed excludin leaves and stems.
(t)“Edible cannabis roduct"means manu actured cannabis that is intended to be used in whole or
in art or human consum tion includin but not limited to chewin um but excludin roducts set
orth in Division 15 commencin with Section 32501 0 the Food and A ricultural Code.An edible
medical cannabis roduct is not considered ood as de med b Section 109935 0 the Health and Sa e
Code or a dru as de med b Section 109925 0 the Health and Sa e Code.
(u)“Fund"means the M-a1=ij~uaaaCarmabis Control Fund established pursuant to Section 26210.
(V)"Kind"means applicable type or designation regarding a particular marijuana cannabis variant or
marijuana cannabis product type,including,but not limited to,strain name or other grower trademark,
or growing area designation.
p
(W)"Labelin ”means an label or other written rinted or a hic matter it on a medical cannabis
roduct or u on its container or wra er or that accom anies an medical cannabis roduct.
(X)"License"means a state license issued under this division and includes both an A-license and an
M-license.
(y)"Licensee"means any person or entity holding a license under this division re ardless it is an A-
license and an M-license.
(2)"Licensing authority"means the state agency responsible for the issuance,renewal,or
reinstatement of the license,or the state agency authorized to take disciplinary action against the
Licensee.
(aa)“Live lants ”means livin cannabis owers and lants includin seeds immature lants and
ve etative sta e lants.
(bb)"Local jurisdiction"means a city,county,or city and county.
(cc)“Lot”means a batch or a s eci zcall identi zed ortion o a batch.
(dd)“M-license ”means a state license issued under this division or cannabis or cannabis roducts
that are intended or use solel b an individual who assesses a h sician ’s recommendation.
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(ee)“M-licensee ”means an erson or enti "holdin a license under this division or cannabis or
cannabis roducts that are intended or use solel b an individual who assesses a h sician ’s
recommendation.
(ff)"Manufacture”means to compound,blend,extract,infuse,or otherwise make orprepare a
marijuana cannabis product.
(gg)"Manufacturer"means a person that conducts the production,preparation,propagation,or
compounding of marijuana cannabis or marijuana cannabis products either directly or indirectly or by
extraction methods,or independently by means of chemical synthesis,or by a combination of
extraction and chemical synthesis at a ?xed location that packages or repackages marijuana cannabis
or marijuana cannabis products or labels or re-labels its container,that holds a state license pursuant to
this division.
(kk)"Medicinal cannabis ”“medicinal cannabis roduct ”means a roduct containin cannabis
includin but not limited to concentrates and extractions intended to be sold or use b medical
cannabis atients in Cali ornia ursuant to the Com assionate Use Act 0 1996 Pro osition 215
ound at Section 11362.5 0 the Health and Sa e Code.For the ur oses '0 this cha ter “medical
cannabis”does not include “industrial hem "as de med b Section 81000 0 the Food and A icultural
Code or Section 11018.50 the Health and Sa e Code.
(11)"Nursery"means a licenseethat produces only clones,immature plants,seeds,and other
agricultural products used speci?cally for the planting,propagation,and cultivation of marijuana
cannabis.
(mm)"Operation"means any act for which licensure is required under the provisions of this division,
or any commercial transfer of marijuana cannabis or marijuana cannabis products.
(nn)“Owner "means an 0 the ollowin .'
(1)All ersons with an a re ate ownershi interest 0 20 ercent or more in the erson a l in or
a license unless such interest is solel a securi lien or encumbrance’
(2)The chie executive 0 zcer 0 an enti or non ro It‘
(3)All members 0 the board 0 directors 0 a non ro t'or
(4)An individual that will be artici atin in the direction control or mana ement 0 the licensed
commercial cannabis business.
(00)"Package”means any container or receptacle used for holding marijuana cannabis or marijuaaa
cannabis products.
(pp)"Person"includes any individual,?rm,co-partnership,joint venture,association,corporation,
Limited Liability Company,estate,trust,business trust,receiver,syndicate,or any other group or
combination acting as a unit,and the plural as well as the singular.
(qq)“Ph sician ’s recommendation”means a recommendation that a atient use cannabis rovided in
accordance with Section 113 62.5 0 the Health and Sa e Code.
(rr)"Purchaser"means the customer who is engaged in a transaction with a licensee for purposes of
obtaining marijuana cannabis or marijuana cannabis products.
(ss)"Sell,""sale,"and "to sell"include any transaction whereby,for any consideration,title to
marijuana cannabis is transferred from one person to another,and includes the delivery of marijuana
cannabis or marijuana cannabis products pursuant to an order placed for the purchase of the same and
soliciting or receiving an order for the same,but does not include the return of marijuana cannabis or
23|Page
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rnarijuana cannabis products by a licensee to the licensee from whom such marijuana cannabis or
marijuana cannabis product was purchased.
(tt)"Testing laborato service"means a laboratory,facility,or entity in the state,that offers or
perfonns tests of marijuana cannabis or marijuana cannabis products,m
and that is both of the following:
(1)Accredited by an accrediting body that is independent from all other persons involved in
commercial marifuanacannabis activity in the state.
(2)Regis-tered—w-ith Licensed b the bureau.
uu "To ical cannabis”means a roduct intended or external use.A to ical cannabis roduct is
not considered a dru as de med b Section 109925 0 the Health and Sa e Code.
(vv)"Unique identi?er"means an alphanumeric code or designation used for reference to cannabis
associated with a license &w
person:
(ww)"Youth center"shall have the same meaning as in Section 11353.1 of the Health and Safety
Code.
Chapter 2.Administration
Section 26009 is added to Business and Professions Code:
26009.
There is in the De artment 0 ConsumerA airs the Bureau 0 Cannabis Control under the su ervision and
control 0 the director.The director shall administer and en orce the rovisions 0 this cha ter related to the
bureau.
Section 26010 of the Business and Professions Code is amended to read:
26010
a The Governor shall a oint a chie 0 the bureau sub ‘ed to con rmation b the Senate at a sala to
be xed and determined b the Director 0 ConsumerA airs with the a roval o the Director 0
Finance.The chie shall serve under the direction and su ervision o the director and at the leasure o
the Governor.
Eve ower ranted to or du im osedu on the Director 0 ConsumerA airs under this division
ma be exercised or er ormed in the name 0 the director b a de u or assistant director or b the
chie sub 'ect to conditions and limitations that the director ma rescribe.In addition to eve ower
ranted or du im osed with this cha ter the director shall have all other owers and duties enerall
a licable in relation to bureaus that are art 0 the De artment o ConsumerA airs.
c The Director 0 ConsumerA airs ma em lo and a oint all em lo ees necessa to ro erl
administer the work 0/the bureau,in accordance with civil service laws and regulations.The Governor
ma also a oint a de u chie and an assistant chie counsel to the bureau.These ositions shall hold
0 ice at the leasure o the Governor.
d The bureau shall hereto ore have the ower du ur ose res onsibili and urisdiction to
re ulate commercial cannabis activi as rovided b this division.
e The bureau and the director shall succeed to and are vested with all the duties owers ur oses
res onsibilities and 'urisdiction ormall vested in the Bureau 0 Medical Mari 'uana Cannabis
Re ulation under Cha ter 3.5 0 Division 8 as amended b Cha ter 32 Statutes 0 2016.
U on the e ective date 0 this section whenever “Bureau 0 Medical Cannabis Re lation"or
Bureau 0 Medical Control”a ears in statute or re ulation or contract or in an other code it shall
be construed to re er to the bureau.
4.160-1-0:
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26013.
(a)Licensing authorities shall make and prescribe reasonable rules and regulations as may be necessary to
implement,administer and enforce their respective duties under this division in accordance with Chapter 3.5
(commencing with Section 11340)of Part 1 of Division 3 of Title 2 of the Government Code.Such rules and
regulations shall be consistent with the purposes and intent of the Medicinal and Adult Use Cannabis
Re lation andSae Act.--'---.:-:...-:..:.Forthe e ormanceo
its duties each licensin authori has the ower con erred b Sections 11180 to 11191 inclusive 0 the
Government Code.
Each licensin authori ma ado temer enc re lations to im lement this division.
1 Each licensin authori ma reado tan emer enc re ulation authorized b this section that is the
same as or substantiall e uivalent to an emer enc re ulation reviousl ado tedb this section.An such
reado tion shall be limited to one time or each re ulation.
2 Notwithstandin an other law the initial ado tion 0 emer enc re ulations and the reado tion 0
emer enc re ulations authorized b this section shall be deemed an emer enc and necessa or the
immediate reservation o the ublic eace health sa e or eneral wel are.The initial emer en
re ulations and the reado ted emer enc re ulations authorized b this section shall be each submitted to the
0 ice 0 Administrative Law or zlin with the Secreta 0 State and shall remain in e ect or no more than
180 do s b which time znal re ulations ma be ado ted.
.A...X1-..n.aA
(c)Regulations issued under this division shall be necessary to achieve the purposes of this division,
based on best available evidence,and shall mandate only commercially feasible procedures,
technology;or other requirements,and shall not unreasonably restrain or inhibit the development of
alternative procedures or technology to achieve the same substantive requirements,nor shall such
regulations make compliance so onerous that the o eration 0 a cannabis establishment is not worth 0
bein carried out in racticeb a reasonabl rudent business erson mEew
Section 26013.5 is added to the Businessand Professions Code:
26013.5
Noticeo an actiono alicensin authori re uired b this division to be iven ma be si ned and iven b
the director 0 the licensin authori or an authorized em lo ee 0 the licensin authori and ma be made
ersonall or in the manner rescribed b Section 1013 o the Code 0 Civil Procedure or in the manner
rescribed b Section 124 o this code.
Section 26014 of the Business and Professions Code is amended to read:
26014.
(a)The bureau shall convene an advisory committee to advise the bui=eau—andlicensing authorities
on the development of standards and regulations pursuant to this division,including best practices and
guidelines that protect public health and safety while ensuring a regulated environment for
commercial marijuana cannabis activity that does not impose such ume
barriers so as to perpetuate,rather than reduce and eliminate,the illicit market for marijuana
cannabis.
(b)The advisory committee members shall include,but not be limited to,representatives of the
rnarij-uanacannabis industry,includin medicinal cannabis representatives of labor organizations,
appropriate state and local agencies,public health experts,and other subject matter experts,
including representatives from the Department of Alcoholic Beverage Control,with expertise in
26I Page
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regulating commercial activity for adult-use intoxicating substances.The advisory committee
members shall be determined by the director.
(c)Commencing on January 1,2019,the advisory committee shall publish an annual public
report describing its activities including,but not limited ‘to,the recommendations the advisory
committee made to the bureau and licensing authorities during the immediately preceding
calendar year and whether those recommendations were implemented by the bui=eau—ei=licensing
authorities.
Chapter 3.Enforcement
Section 26030 of the Business and Professions Code is amended to read:
26030..
Grounds for disciplinary action include but are not limited to:
(a)Failure to comply with the provisions of this division or any rule or regulation adopted
pursuant to this division.
(b)Conduct that constitutes grounds for denial of licensure pursuant to Chapter 3 ;_(commencing
with Section 1§_0_490)of Division 1.5.or disci line 0 a license ursuant to Cha ter 3 commencin
with Section 490 0 Division 1.5.
(c)Any other grounds contained in regulations adopted by a licensing authority pursuant to
this division.
(d)Failure to comply with any state law including,but not limited to,the payment of taxes as
required under the Revenue and Taxation Code,except as provided for in this division or other
California law.
(e)Knowing violations of any state or local law,ordinance,or regulation conferring worker
protections or legal rights on the employees of a licensee.
(I)Failure to comply with the requirement of a local ordinance regulating commercial marijuana
cannabis activity.
(g)The intentional and knowing sale of marijuana cannabis or marijuana cannabis products by an
,_4_-licenseeto a person under 21 ears 0 a e tk
The intentional and knowin sale 0 medicinal cannabis or medicinal cannabis roducts b an
M-licensee to a erson without a h sician ’s recommendation.
1'Failure to maintain sa e conditions or ins ection b a licensin authori .
'Failure to com I with an o eratin rocedure submitted to the licensin authori ursuant to
subdivision 0 Section 26050.5
Section 26031 of the Business and Professions Code is amended to read:
26031.
(a)Each licensing authority may suspend,er—revokelieenses,lace on robation with terms and
conditions or otherwise disci line licenses issued b that licensin authori and me a licensee after
proper notice and hearing to the licensee,if the licensee is found to have committed any of the acts or
omissions constituting grounds for disciplinary action.The disciplinary proceedings under this chapter
shall be conducted in accordance with Chapter 5 (commencing with Section 11500)of Part 1 of Division
3 of Title 2 of the Government Code,and the director of each licensing authority shall have all the
powers granted therein.
(b)A licensin authori ma revoke a license when a local a enc has noti ted the licensin
authori that a licensee or a licant or an 0 its owners within its 'urisdiction is in violation 0 state
rules and re lation relatin to commercial cannabis activities and the licensin authori throu h an
investi ation has determined that the violation is rounds or revocation o the license.
c Each licensin authori ma take disci lina action and assess znes a ainst a licensee or an
violation 0 this division when the violation was committed b the licensee's o cers directors owners
a ents or em lo ees while actin on behal 0 the licensee or en a ed in commercial cannabis activi .
d A licensin authori ma recover the costs 0 investi ation and en orcement 0 a disci lina
roceedin ursuant to Section 125.3 0 the Business and Pro essions Code.
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e U onsus ension or revocation 0 a license the licensin authori shall in orm the bureau.The
bureau shall then in orm all other licensin authorities.
Section 26032 of the Business and Professions Code is deleted:
26032.
Section 26034 of the Business and Professions Code is amended to read:
26034.
.mg”1 ..1“1.
All accusations against licensees shall be filed by the licensing authoritv within in?wars atter the
er ormance o the act or omission alle ed as the round or disci lina action‘rovided however that
the ore oin rovision shall not constitute a de ense to an accusation alle in mud or
misre resentation as a round or disci lina action.The cause or disci lina action in such case
shall not be deemed to have accrued until discove b the licensin authori 0 the acts constitutin
the mud or misre resentation and in such case the accusation shall be zledwithin ve ears a ter
such discove
Section 26036 of the Business and Professions Code is amended to read:
26036.
Q1)Nothing in this division shall be interpreted to supersede or limit state agencies from exercising their
existing enforcement authority,including,but not limited to,under the Fish and Game Code,the Food
and Agricultural Code,the Government Code,the Health and Safety Code,the Public Resources Code,
the Water Code,or the application of those laws.
Nothin in this division shall be inter reted to su ersede or limit existin local authori or law
en orcement activi en orcement 0 local zonin re uirements or local ordinances or en orcement 0
local license ermit or other authorization re uirements.
c Nothin in this division shall be inter reted to re uire a licensin authori to undertake local law
en orcement res onsibilities en orce local zonin re uirements or en orce local licensin ermittin or
other authorization re uirements.
Section 26038 of the Business and Professions Code is amended to read:
26038.
(a)A person engaging in commercial marijuana cannabis activity without a license required by
this division shall be subject to civil penalties of up to three times the amount of the license fee for
each violation,and the court may order the destruction of marijuana cannabis associated with that
violation in accordance with Section 11479 of the Health and Safety Code.Each day of operation
shall constitute a separate violation of this section.All civil penalties imposed and collected
pursuant to this section by a licensing authority shall be deposited into the General Fund except as
provided in subdivision(b).A violator shall be res onsible or the cost 0 the destruction 0 cannabis
and remediation associated with his or her violation in addition to an amount covered b a bond
re uired as a condition o licensure.
(b)If an action for civil penalties is brought against a licensee pursuant to this division by the
Attorney General on behalf of the people,the penalty collected shall be deposited into the General
25;:
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Fund.Ifthc action is brought by a district attorney or county counsel,the penalty shall ?rst be used
to reimburse the district attorney or county counsel for the costs of bringing the Action for civil
penalties,with the remainder,if any,to be deposited into the General Fund.If the action is brought by
a city attorney or city prosecutor,the penalty collected shall ?rst be used to reimburse the city
attorney or cityprosecutor for the costs of bringing the action for civil penalties,with the
remainder,ifany,to be deposited into the General Fund.
(c)Notwithstanding subdivision (a),criminal penalties shall continue to apply to an unlicensed
person engaging in commercial marijuana cannabis activity in violation of this division.
Chapter 4.Appeals
Section 26040 of the Business and Professions Code is amended to read:
26040.
(a)There is established in state government a Maeij-uanaCannabis Control Appeals Panel which shall
consist of three members appointed by the Governor and subject to con?rmation by a majority vote of
all of the members elected to the Senate.Each member,at the time of his or her initial appointment,
shall be a resident of a different county from the one in which either of the other members resides.
Members of the panel shall receive an annual salary as provided for by Chapter 6 (commencing with
Section 11550)of Part 1 of Division 3 of Title 2 of the Government Code.
(b)The members of the panel may be removed from of?ce by the Governor,and the Legislature shall
have the power,by a majority vote of all members elected to each house,to remove any member from
of?ce for dereliction of duty,corruption or incompetency.
(c)A concurrent resolution for the removal of any member of the panel may be introduced in the
Legislature only if ?ve Members of the Senate,or ten Members of the Assembly,join as authors.
Section 26043 of the Business and Professions Code is amended to read:
26043.
(a)A ter roceedin s ursuant to Sections 2603]Section 26058 or Cha ters 2 or Cha ter 3 0 Division
1.5 an ersona rievedb the decisiono alicensin authori den in the .ers0n’sa lication or an
license den in the erson’s renewal 0 an license lacin an license on robation im osin an
condition on an license im osin an me on an license assessin an enal on an license or
cancellin sus endin revokin or otherwise disci linin an license as rovided or under this division
ma a eal the licensin authori 's written decision to the anel.
v'vC-u‘—v vi-<-v .n.--.uv -
(c)The panel shall review the decision subject to such limitations as may be imposed by the
Legislature.In such cases,the panel shall not receive evidence in addition to that considered l9y—t-he
bu1=eau——erthelicensing authority.
(d)Review by the panel of a decision of the—l9ua=eau—er=a licensing authority shall be limited to the
following questions:
(1)Whether the laureau—er—anylicensing authority has proceeded without or in excess of its
jurisdiction.
(2)Whether the bursa-u—e1=-anylicensing authority has proceeded in the manner required by law.
(3)Whether the decision is supported by the ?ndings.
(4)Whether the ?ndings are supported by substantial evidence in the light of the whole record.
Section 26044 of the Business and Professions Code is amended to read:
26044.
(a)In appeals where the panel ?nds that there is relevant evidence which,in the exercise of
reasonable diligence,could not have been produced or which was improperly excluded at the hearing
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before the ba1=e&u—e1=licensing authority,it may enter an order remanding the matter to the bweau—e1=
licensing authority for reconsideration in the light of such evidence.
(b)Except as provided in subdivision (a),in all appeals,the panel shall enter an order either
affirming or reversing the decision of the bui=eau—e1=licensing authority.When the order reverses the
decision of the burea=a—e1=licensing authority,the board may direct the reconsideration of the matter in
the light of its order and may direct the bm=eau—e1=licensing authority to take such further action as is
specially enjoined upon it by law,but the order shall not limit or control in any way the discretion
vested by law in the bureawer licensing authority.
Section 26045 of the Business and Professions Code is amended to read:
a No court 0 this state exce t the Su reme Court and the courts 0 a eal to the extent s eci zed in this
article shall have urisdiction to review a zrm reverse correct or annul an order rule or decision 0 a
licensin authori or to sus end sta or dela the o eration or execution thereo or to restrain en bin or
inter ere with the de artment in the er ormance 0 its duties but a writ 0 mandate shall lie rom the
Su reme Court or the courts 0 a eal in an ro er case
Anv L son anected bv a final order of the panel including?a licensinv authori:v mm am:-Ivto the
Su reme Court or to the court 0 a eal or the a ellate district in which the roceedin arose or a writ 0
review 0 such mal order.
c The a lication or writ or review shall be made within 30 da s a ter the zlin o the ma]order.
d The rovisions 0 the Code 0 Civil Procedure relatin to writs 0 review shall inso ar as a licable
a I to roceedin s in the courts as rovided b this article.A co 0 eve leadin zled ursuant to this
article shall be served on the anel the licensin authori and on each ar who entered an a earance
be ore the anel.
e No decision 0 a licensin authori which has been a ealed to the anel and no nal order o the anel
shall become e ective durin the eriod in which a lication ma be made or a writ 0 review as rovided
b Section 26045.].
The zlin o a etition or or the endenc o a writ 0 review shall not 0 itsel sta or sus end the
0 eration 0 an order rule or decision 0 the licensin authori but the court be ore which the etition is
zled ma sta or sus end in whole or in art the o eration o the order rule or decision 0 the licensin
authori sub 'ect to review u on the terms and conditions which it b order directs.
Section26046 is added to the Business and Professions Code:
26046.
a The review b the court shall not extend urther than to determine based on the whole record 0 the
licensin authori as certi ted b the board whether:
'The licensin,,authori”has roceeded without or in excess 0 its 'urisdiction.
2 The licensin authori has roceeded in the manner re uired b law.
3 The decision 0 the licensin authori is su orted b the zndin s.
4 The zndin s in the licensin authori ’s decision are su orted b substantial evidence in the li ht o the
whole record.
5 There is relevant evidence which in the exercise 0 reasonable dili ence could not have been roduced
or which was im ro erl excluded at the hearin be ore the licensin authori .
b Nothin in this article shall ermit the court to hold a trial de novo to take evidence or to exercise its
inde endent 'ud ment on the evidence.
Section 26047 is added to the Business and Professions Code:
2604 7.
The ndin s and conclusions 0 the licensin authori on uestions 0 act are conclusive and rm]and are
not sub 'ect to review.Such uestions 0 act shall include ultimate acts and the zndin s and conclusions 0
30]Page
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6 Provide the a licant ’s valid seller ‘s ermit number issued rsuant to Part I commencin with Section
6001 '0 Division 2 o the Revenue and Taxation Code or indicate that the a licant is current]a l in
or a seller ‘s ermit.
7 Provide an other in ormation re uired b the licensin authori .
8 For an a licant seekin a cultivation license rovide a statement declarin the a licant is an
“a icultural em lo er ”as de med in the Alatorre-Zenovich-Dunla -BermanA ricultural Labor Relations
Act 0 1975 Part 3.5 commencin with Section 1140 0 Division 2 o the Labor Code to the extent not
rohibitedb law.
9 Pa all a licable ees re uired or licensure b the licensin authori
10 Provide roo 0 a bond to cover the costs 0 destruction 0 medical cannabis or medical cannabis
roductsi necessitatedb aviolationo licensin re uirements.
@An a lication or a license under this division shall include evidence that the ro osed
location meets the restriction in subdivision 0 Section 26054 'and
c For a licants seekin licensure to cultivate distribute test sell or manu acture
nonmedicinal cannabis or cannabis roducts the a lication shall also include a detailed descri tion
0 the a licant’s o eratin rocedures or all 0 the ollowin as re uired b the licensin authori
(1)Cultivation
(2)Extraction and in usion methods.
(3)The trans ortation rocess.
(4)The invento rocess.
(5)uali control rocedures.
(6)Securi rotocols.
(7)For cultivators the -Thesource or sources 0 water the a licant will use ort-he 1-iee?sed
cultivation as rovided in subdivisions a throu h c described in Section 26060.1.For ur oseso
this ara a h “cultivation”as used in Section 26060.1 shall have the same meanin as de zned in
Section 26001.The De artment o Food and A riculture shall consult with the State Water Resources
Control Board and the De artmento Fish and Wildli e in the im lementation 0 this ara ra h.
(b)Thea licant shall rovide a com lete detailed dia ram 0 the ro osed remises wherein the
license rivile es will be exercised with su zcient articulari to enable read determination o the
bounds o the remises showin all boundaries dimensions entrances and exits interior artitions
walls rooms and common or shared ent a S and include a brie statement or descri tion 0 the
rinci al activi to be conducted therein and or licenses ermittin cultivation measurements 0 the
lanned cano includin a re ate s uare oota eand individual s uare oota e 0 se arate
cultivation areas i an .
(c)Providea com lete listo eve erson witha znancial interest in the ersona l in or the license
as re uiredb the licensin authori
Section 26051 of the Business and Professions Code is deleted to read:
26051.
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Page 157 of 215
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(c)Except as provided in subdivision (b),a person er—ent-itymay apply for and be issued more than
one license under this division rovided the licensed remises are se arate and distinct.The licensee
ma conduct either adult use commercial cannabis or commercial medical cannabis activi at the
licensed remises but not both es 0 activities unless otherwise s eci ed in re ulation.
(d)Each (1 licant or licensee shall a l or and i a roved shall obtain a se arate license or
each location where it en a es in commercial cannabis activi .
(e)No testin laborato licensee shall em lo a erson also em lo ed b an other licensee who
does not hold a license as a testin laborato
Section 26054 of the Business and Professions Code is amended to read:
26054.
(a)A licensee shall not -..:-._
tebaeee-predaets sell alcoholic bevera es or tobacco ro
this division.
(b)No licensee remises licensed under this divisionshall be located within a 600-foot radius of a
school providing instruction in kindergarten or any grades 1 through 12,day care center,or youth
center that is in existence at the time the license is issued,unless a licensing authority or a local
jurisdiction speci?es a different radius.The distance speci?ed in this section shall be measured in the
same manner as provided in paragraph (c)of Section 11362.768 of the Health and Safety Code unless
otherwise provided by law.
(c)It shall l not be a violation of state or local law,
for a business engaged in the manufacture of rnarijnana cannabis accessories to possess,transport,
purchase or otherwise obtain small amounts of rnarijnana cannabis or inarij-Hanacannabis products
as necessary to conduct research and development related to such marijuana cannabis accessories,
provided such inarij-Hanacannabis and marijuana cannabis products are obtained from a person or
entity licensed under this division permitted to provide or deliver such
inarij-aana cannabis or rnarijnana cannabis products.
(d)It shall not be a violation 0 state or local law or an a ent 0 a licensin authori to ossess
trans art or obtain cannabis or cannabis roducts as necessa to conduct activities reasonabl
related to the duties 0 the licensin authori .
ducts on or at an remises licensed under
Section 26054.1 of the Business and Professions Code is deleted:
Section 26054.2 of the Business and Professions Code is amended to read:
26054.2
(a)A licensing authority shall give priority in issuing licenses under this division to applicants that can
demonstrate to the authority's satisfaction that the applicant operated in compliance with the
Compassionate Use Act and its implementing laws before September 1,201
(b)The bureau licensin authorities‘shall request that local jurisdictions identify for the lsareaa
licensin authorities the otential applicants for licensure based on the applicants‘prior operation in the
local jurisdiction in compliance with state law,including the Compassionate Use Act and its
implementing laws,and any applicable local laws.mm
.1 I 1 1..I ..
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(c)In addition to or in lieuof the information described in subdivision (b),an applicant may furnish
other evidence as deemed a ro riate b the licensin authori to demonstrate operation in compliance
with the Compassionate Use Act_The bureau and licensing authorities may
accept such evidenceto demonstrate eligibility for the priority provided for in subdivision (a).
(d)This section shall cease to be operable on December 31,2019 unless otherwise provided by law.
Section 26055 of the Business and Professions Code is amended to read:
26055.
(a)Licensing authorities may issue state licenses only to quali?ed applicants.
(c)Revocation of a state license issued under this division shall terminate the ability of the licensee to
operate ursuant to that license Within California until-the
license:a new license is obtained.
(d)ne—]j_o_licensee shall change or alter the premises in a manner
which materially or substantially alters the premises,the usage of the premises,or the mode or character of
business operation conducted from the premises,from the plan contained in the diagram on ?le with the
application,unless and until p1=ier—writtenaggroval-assent e£l_)_vthe licensing authority eebureau-has been
obtained.For purposes of this section,material or substantial physical changes of the premises,or in the
usage of the premises,shall include,but not be limited to,a substantial increase or decrease in the total area
of thelicensed premises previously diagrammed,or any other physical modi?cation resulting in substantial
change in the mode or character of business operation.
(e)Licensing authorities shall not approve an application for a state license under this division if
approval of the state license will violate the provisions of any local ordinance or regulation adopted in
accordance with Section 26200.
(t)Ana licant ma voluntaril rovide r00 0 a license ermit or authorization rom the
local urisdiction veri in that the a licant is in com liance with the local urisdiction.
(g)Be ore Janua I 2018 each local urisdictions shall rovide to the bureau a co 0 an
ordinance or re lation related to commercial cannabis activi and the name and contact
in ormation or the erson who will serve as the contact or state licensin authorities re ardin
commercial cannabis activi within the urisdiction.Whenever there is a chan e in a local
ordinance or re lation ado ted ursuant to Section 26200 or a chan e in the contact erson or
the 'urisdiction the local ’urisdiction shall rovide that in ormation to the bureau.The bureau will
share the in ormation re uired b this subdivision with the other licensin authorities.
(h)In instances where a local urisdiction allows cannabis business to a crate but does not issue
ermits licenses or local authorizations the a licant will be res onsible or ensurin com liance
with division 13 0 the Public Resources Code.
Without limitin an v other statutorv exemption or categorical exem
Public Resources Code does not a l to the ado tion 0 an ordinance rule or re ulationb a ci
coun or ci and coun that authorizes discretiona review and a roval o ermits licenses
or authorizations to en a e in commercial cannabis activi .To uali or this exem tion an
such law ordinance rule or re lation shall set orth re uirements that ensure that such ro osed
activities are not ermitted licensed or authorized unless the ollow strict environmental
standards.Nothin in this subdivision shall reclude a ct coun or ci and coun rom
re arin and certi in a ro rammatic environmental im act re ort as described in Public
Resources Code sections 21093 and 21094 to assist in the discretiona review 0 later
commercial cannabis activi ursuant to the ado ted ordinance rule or re ulation.
(i)A local or state ublic a enc ma char e and collect a ee rom a erson ro osin a ro 'ect
ursuant to subdivision a 0 section 21089 0 the Public Resources Code.
4.‘-..,1:-..'..:,.--1:!,.41.-
36|Page
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(4)The applicant,owner,or licensee has been convicted of an offense that is substantially related to the
quali?cations,functions,or duties of the business or profession for which the application is made,except
that if the licensing authority determines that the applicant,owner,or licensee is otherwise suitable to be
issued a license,and granting the license would not compromise public safety,the licensing authority shall
conduct a thorough review of the nature of the crime,conviction,circumstances,and evidence of
rehabilitation of the applicant or owner,and shall evaluate the suitability of the applicant,owner,or
licensee to be issued a license based on the evidence found through the review.In determining which
offenses are substantially related to the quali?cations,?mctions,or duties of the business or profession for
which the application is made,the licensing authority shall include,but not be limited to,the following:
(A)A violent felony conviction,as speci?ed in subdivision (c)of Section 667.5 of the Penal Code.
(B)A serious felony conviction,as speci?ed in subdivision (c)of Section 1192.7 of the Penal
Code.
(C)A felony conviction involving fraud,deceit,or embezzlement.
(D)A felony conviction for hiring,employing,or using a minor in transporting,carrying,
selling,giving away,preparing for sale,or peddling,any controlled substance to a minor;or
selling,offering to sell,furnishing,offering to ?1I‘l’1lSl'l,administering,or giving any controlled
substance to a minor.
(E)A felony conviction for drug traf?cking with enhancements pursuant to Health and Sa e
?e Sections 11370.4 or 11379.8.
(5)Except as provided in subparagraphs (D)and (E)of paragraph (4)and notwithstanding Chapter 2 of
Division 1.5,a prior conviction,where the sentence,including any term of probation,incarceration,or
supervised release,is completed,for possession of,possession for sale,sale,manufacture,transportation,
or cultivation of a controlled substance is not considered substantially related,and shall not be the sole
ground for denial of a license.Conviction for any controlled substance felony subsequent to licensure shall
be grounds for revocation of a license or denial of the renewal of a license.
(6)The applicant,or any of its of?cers,directors,or owners,has been subject to ?nes or penalties for
cultivation or production of a controlled substance on public or private lands pursuant to Sections 12025 or
12025.1 of the Fish and Game Code.
(7)The applicant,or any of its of?cers,directors,or owners,has been‘sanctioned by a licensing
authority or a city,county,or city and county for unauthorized commercial marijuana cannabis
activities or commercial medical cannabis activities,has had a license revoked under this division
in the three years immediately preceding the date the application is
?led with the licensing authority,or has been sanctioned under Sections 12025 or 12025.1 of the
Fish and Game Code.
(8)Failure to obtain and maintain a Valid seller's permit required pursuant to Part 1 (commencing with
Section 6001)of Division 2 of the Revenue and Taxation Code.
(9)Any other condition speci?ed in law.
Section 26058 of the Business and Professions Code is amended to read:
26058.
Upon the denial of any application for a license,the licensing authority shall notify the applicant in
writing.Within 30 da s 0 service 0 the notice the a licant ma zle a written etition or a license
with the licensin authori .U on recei t 0 a time]iled etition the licensin authori shall set the
etition or hearin .The hearin shall be conducted in accordance with Cha ter 5 commencin with
Section 11500 0 Part I 0 Division 3 0 Title 2 0 the Government Code and the director 0 each
licensin authori shall have all the owers anted therein.An a
‘eal om a mal decision 0 the
licensin authori shall be conducted in accordance with Cha ter 4.
Chapter 6.Licensed Cultivation Sites
Section 26060 of the Business and Professions Code is amended to read:
26060.
38I Page
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(a)The De artment 0 Food and A riculture shall have the authori necessa or the
im lementation o the re lations it ado ts ursuant to this division includin re lations overnin
the licensin o indoor outdoor mixed-li ht cultivation site nurse and s ecial cotta e.Regulations
issued by the Department of Food and Agriculture governing the licensing of indoor,outdoor,nursery,
s ecial cotta e and mixed-light cultivation sites shall apply to licensed cultivators under this Division.
(b)The re lations shall do all 0 the ollowin .'
(1)Provide that wei hin or measurin devices used in connection with the sale or distribution 0
cannabis are re uired to meet standards e uivalent to Division 5 commencin with Section 12001
(2)Re uire that cannabis cultivation b licensees is conducted in accordance with state and local
laws.
(3)Establish rocedures or the issuance and revocation o uni ue identi zers or activities associated
with a cannabis cultivation license ursuant to Cha ter 6.5 0 this division.All cannabis shall be
labeled with the uni ue identi ter issued b the De artment 0 Food and A riculture.'
(4)Prescribe standards in consultation with the bureau or the re ortin 0 in ormation as necessa
related to uni ue identi zers ursuant to Cha ter 6.5 0 this division.
c The De artment 0 Food and A riculture shall serve as the lead a enc or ur oses o the
Cali ornia Environmental uali Act Division 13 commencin with Section 21000 0 the Public
Resources Code related to the licensin o cannabis cultivation.
J.I 1 .1 1 .i....
d The De artment o Pesticide Re lation shall develo uidelines or the use 0 esticides in the
cultivation 0 cannabis and residue in harvested cannabis.
(e)1 Pursuant to Section 13149 0 the Water Code the State Water Resources Control Board in
consultation with the Department ofFish and Wildlifeand the Department ofFood and Agriculture,shall
ensure that individual and cumulative e ects 0 water diversion and dischar e associated with cultivation o
cannabis do not a ect the instream ows needed or tsh s awnin mi ration and rearin and the ows
needed to maintain natural ow variabili .
[_2)_TheDepartment of Food and Agriculture shall include t?conditions rovided or in subdivisions d
e and 0 Section 26060.]in each license or cultivation.For ur oses 0 this ara a h “cultivation”
as used in Section 26060.1 shall have the same meanin as de zned in Section 26001.The De artment 0
Food and A riculture shall consult with the State Water Resources Control Board and the De artment o
Fish and Wildli e in the im lementation 0 this
Agriculture is not responsible /or en«or"im)the conditions imoosed bl the Department or Fish and Wildli:‘?
and State Water Resources Control Board.U on zndin a violation o the conditions the De artment 0
Fish and Wildli e and State Water Resources Control Board will noti the De artment 0 Food and
A riculture which ma take a ro riate action with res ect to the licensee in accordance with Cha ter 3.
(f)The regulations promulgated by the Department of Food and Agriculture under this division shall,at
a minimum,address in relation to commercial marijuana cannabis acti?w
subdivision c throu h o Section 26060.1 ef—€hapte1=
3 5 FE...8(i)The DepartmentofPesticide Reyla?on
shall require that the application of pesticides or other pest
control in connection with the indoor,outdoor,nursery,sgecialty cottage,or mixed light cultivation
of marijuana cannabis maH com lies with Division 6 (commencing with
Section 11401)of the Food and Agricultural Code and its implementing regulations.
39|Page
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Section 26060.1 is added to the Business and Professions Code:
26060.1
a An a lication ora license or cultivation shall identi the source 0 water su l
1 A I water will be su lied b a retail water su lier as de med in Section 13575 0 the Water Code
the a lication shall identi the retail water su lier.
B Para ra hs 2 and 3 shall not a l to an water sub eat to sub ara ra h A unless the retail water
su lier has 10 or ewer customers the a licant receives 10 ercent or more 0 the water su lied b the
retail water su lier 25 ercent or more 0 the water delivered b the retail water su lier is used or
cannabis cultivation or the a licant and the retail water su lier are a zliates as de med in Section
2814.20 0 Title 23 0 the Cali ornia Code 0 Re ulations.
2 I the water su 1 includes a diversion within the meanin 0 Section 5100 o the Water Code the
a lication shall identi the aim a diversion and maximum amount to be diverted.
3 I water will be su lied om a roundwater extraction not sub 'ect to ara ra h 2 the a lication
shall identi the location 0 the extraction and the maximum amount to be diverted or cannabis cultivation
in any year.
An a lication or a cultivation license issued b the De artment 0 Food and A riculture that identi zes
the sources 0 the water as a diversion within the meanin 0 Section 5100 o the Water Code and that will
be submitted be are Janua 1 2019 shall include one 0 the ollowin :
1.!A com 0/a small irrigation use raoistration certi/zscate.permit,or license issued under Part 2
commencin with Section 1200 0 Division 2 o the Water Code that coversthe diversion.
2 A co 0 a statement 0 water diversion and use zled with the State Water Resources Control Board
be are Jul 1 2017 that covers the diversion ands eci zes the amount 0 water used or cannabis
cultivation.
3 Aco 0 a endin a lication ora ermit toa ro riate water zledwith the State Water Resources
Control be are Jul 1 2017.
4 Documentation submitted to the State Water Resources Control Board be ore Jul 1 201 7
demonstratin that the diversion is sub 'ect to subdivision a c d or e 0 Section 5101 o the Water
Code.
5 Documentation submitted to the State Water Resources Control Board be ore Jul 1 2017
demonstratin that the diversion is authorized under a ri arian ri ht and that no diversion occurred a ter
Janua 1 2010 and be ore Janua 1 2017.The documentation shall be submitted on or accom an a
'orm rovided b the State Water Resources Control Board and shall include all 0 the in ormation outlined
in Section 5103 subdivision a -d and o the Water Code.The documentation shall also include a
eneral descri tion 0 the area in which the water will be used as outlined in Section 5103 subdivision
0 the Water Code and the ear in which the diversion is lanned to commence.
c An a lication or a cultivation license issued b the De artment 0 Food and A riculture that identi ies
the source 0 water as diversion within the meanin 0 Section 5100 o the Water Code and that willbe
submitted a ter December 31 2018 shall include one o the ollowin .-
1I A C01,:V o«a small irriuafion use registration certi/Icate.ccrmit,or license issued under Part 2
commencin with Section 1200 0 Division 2 o the Water Code that covers the diversion.
2 A co 0 a statement 0 water diversion and use zled with the State Water Resources Control Board
that covers the diversion and s eci zes the amount 0 water used or cannabis cultivation.
3 Documentation submitted to the State Water Resources ontrol Board ''that the diversion is
sub'ect to subdivision a c d or e 0 Section 5101 o the Water Code.
4 Documentation submitted to the State Water Resources Control Board '‘that the diversion is
authorized under a ri arian ri ht and that no diversion occurred in an calendar ear between Janua I
2010 and the calendar ear in which the a lication is submitted.The documentation shall be submitted on
or accom an a orm rovided b the State Water Resources Control Board and shall includeall 0 the
in ormation outlined in Section 5103 subdivisions a -d and o the Water Code.The documentation
shall also include a eneral descri tion 0 the area in which the water will be used as outlined in Section
5103 subdivision 0 the Water Code and the ear in which the diversion is lanned to commence.
40I Page
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(0)Except as otherwise provided by law:
(1)Type 5,or "outdoor,"means for outdoor cultivation using no arti?cial lighting greater than one
acre,inclusive,of total canopy size on one premises.
(2)Type 5A,or "indoor,"means for indoor cultivation using exclusively artificial lighting greater than
22,000 square feet,inclusive,of total canopy size on one premises.
(3)Type 5B,or "mixed-light,"means for cultivation using a combination of natural and
supplemental arti?cial lighting at a maximum threshold to be determined by the licensing authority,
greater than 22,000 square feet,inclusive,of total canopy size on one premise.
(d)No Type 5,Type 5A,or Type 5B cultivation licenses may be issued before January 1,2023.
(e)Commencing on January 1,2023,A Type 5,Type 5A,or Type 5B licensee may apply for and hold a
Type 6 or Type 7 license and apply for and hold Type 10 license.A Type 5,Type 5A,or Type 5B licensee
shall not eligible to apply for or hold a Type 8,Type 11,or Type 12 license.
Section 26062 of the Business and Professions Code is amended to read:
26062...I..."......
a No later than Janua 1 2020 the De artment 0 Food and A riculture shall make available a certi tea
’or anic desi nation and or anic certi zcation ro ram or medical cannabis cultivation i ermitted under
ederal law and the National Or anic Pro ram Section 651 7 o the ederal Or anic Foods Production Act
0 1990 7 U.S.C.Sec.6501 et se .and Article 7 commencin with Section 110810 0 Cha ter 5 0 Part
5 0 Division 104 o the Health and Sa e Code.
Section 26063 of the Business and Professions Code is amended to read:
26063.
(a)No later than Janua 1 2020 the burea-u De artment 0 F 00a’and A iculture shall
establish standards for recognition of a particular appellation of origin applicable to marijuana
cannabis grown or cultivated in a certain geographical area in California.
(b)Marijuana cannabis shall not be marketed,labeled,or sold as grown in a California
county when the-ma-rijuaaa cannabis was not grown in that county.
(c)The name of a California county shall not be used in the labeling,marketing,or packaging of
marijuana cannabis products unless the mar-ijaana cannabis contained in the product was grown
in that county.
Section 26064 of the Business and Professions Code is deleted:
26064.
Section 26065 of the Business and Professions Code is amended to read:
26065.
An employee engaged in the cultivation of mar-ijuana cannabis under this division shall be subject to
Wage Order No.4-2001 of the Industrial Welfare Commission.
Section 26066 of the Business and Professions Code is amended to read:
26066.
Indoor and outdoor na-a1=ij~uanacannabis cultivation by persons and entities licensed under this
division shall be conducted in accordance with state and local laws related to land conversion,
42|Page
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grading,electricity usage,water usage,water quality,woodland and riparian habitat protection,
agricultural discharges,and similar matters.State agencies,including,but not limited to,the
Board of Forestry and Fire Protection,the Department of Fish and Wildlife,the State Water
Resources Control Board,the California regional water quality control boards,and traditional
state law enforcement agencies,shall address environmental impacts of mar-ij-Hanacannabis
cultivation and shall coordinate when appropriate with cities and counties and their law
enforcement agencies in enforcement efforts.
Cha ter 6.5 Uni ue Identi ters and Track and Trace
Section 26067 is added to the Business and Professions Code:
26067
a The De artment 0 Food andA riculture in consultation with the bureau shall establish a track and
trace ro ram or re ortin the movement 0 cannabis and cannabis roducts throu hout the distribution
chain that utilizes a uni ue identi er ursuant to Section 11362.777 o the Health and Sa e Code and
secure acka in and is ca able 0 rovidin in ormation that ca tures at a minimum all 0 the
ollowin :
1 The licensee receivin the roduct.
2 The transaction date.
3 The cultivator om which the roduct ori inates includin the associated uni ue identi ter ursuant to
(‘l,_4!,,,1 161‘!"I"l'I _41.,‘FT.#141.4....’(7..-/‘l,_.1..
I The De artment 0 Food and A riculture in consultation with the State Board 0 E ualization shall
create an electronic database containin the electronic shi in mani ests to acilitate the administration
0 the track and trace ro ram which shall include but not be limited to the ollowin in ormation:
A The uanti or wei ht and varie o roducts shi ed.
B The estimated times 0 de arture and arrival.
C The uanti or wei ht and varie 0 roducts received.
D The actual time 0 de arture and arrival.
E A cate orization o the roduct.
F The license number and the uni ue identi er ursuant to Section 11362.777 o the Health and Sa e
Code issued b the licensin authori or all licensees involved in the shi in rocess includin but not
limited to cultivators manu acturers distributors and dis ensaries.
2 A The database shall be desi ned to a irre larities or all licensin authorities in this cha ter to
investi ate.All licensin authorities ursuant to this cha ter ma access the database and share
in ormation related to licensees under this cha ter includin social securi and individual tax a er
identi zcations notwithstandin Section 30.
B The De artmento Food and A riculture shall immediate]in orm the bureau u on the zndin 0 an
irre ulari or sus icious zndin related toalicensee a licant or commercial cannabis activi or
investigatogy Qurgoses.
3 Licensin authorities and state and local a encies ma at an time ins ect shi ments and re uest
documentation ,or current invento.,.
4 The bureau shall have 24-hour access to the electronic database administered b the De artment 0
Food and A riculture.The State Board 0 E ualization shall have read access to the electronic database
or the ur ose o taxation and re lation o cannabis and cannabis roducts.
5 The De artment 0 Food and A riculture shall be authorized to enter into memoranda o
understandin s with licensin authorities or data sharin ur oses as deemed necessa b the
De artment 0 Food andA riculture.
6 In ormation received and contained in records ke tb the De artment 0 Food and A riculture or
licensin authorities or the ur oses 0 administerin this cha ter are con tdential and shall not be
disclosed ursuant to the Cali ornia Public Records Act Cha ter 3.5 commencin with Section 6250 0
Division 7 0 Title 1 o the Government Code exce tas necessa or authorized em lo ees o the State 0
Cali ornia or an ci coun or ci and coun to e orm o cial duties ursuant to this cha ter or a
local ordinance.
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7 U on the re uest o a state or local law en orcement a enc licensin authorities shall allow access to
or rovide in ormation contained within the database to assist law en orcement in their duties and
res onsibilities ursuant to this division.
Section 26068 is added to the Business and Professions Code:
£6-1—70:26068
(a)The De artment 0 Food and A riculture in consultation with the bureau and the State Board 0
E ualization shall ensure that the ro ram can also track and trace the amount 0 the cultivation tax
due ursuant to Part 14.5 o the Revenue and Taxation Code.The track and trace ro am shall
include an electronic seed to sale so More trackin s stem with data oints or the di erent sta es 0
commercial activi includin but not limited to cultivation harvest rocessin distribution
invento and sale.
(b)The De artment in consultation with the bureau shall ensure that licensees underthis division
are allowed to use third-ar a lications ro rams and in ormation technolo s stems to com I
with the re uirements 0 the ex anded track and trace ro ram described in subdivision a to re ort
the movement 0 cannabis and cannabis roducts throu hout the distribution chain and communicate
such in ormation to licensin a encies as re uired b law.
(c)An so More database or other in ormation technolo s stem utilized b the De artment to
im lement the ex anded track and trace ro ram shall su ort intero erabili with third-ar
cannabis business software applications and allow all licensee-facing vrstem activities to be
er ormed throu h asecure a lication ro rammin inter ace AP or com arable technolo
which is well documented bi-directional and accessible to an third-ar a lication that has been
validated and hasa ro riate credentials.The API or com arable technolo shall have version
control and rovide ade uate notice o u dates to third-ar a lications.Thes stem should rovidea
test environment or third-ar a lications to access that mirrors the roduction environment.
Section 26069 of the Business and Professions Code is amended to read:
2-606-126069
(a)The Department of Food and Agriculture shall establish a Marijuana Cannabis Cultivation
Program,to be administered by the secretary.The secretary shall administer this section as it
pertains to the cultivation of marijuana cannabis.For purposes of this division,marijuana cannabis
is an agricultural product.
(-13)A person or entity shall not cultivate m-aeijuana cannabis without first obtaining a state
license issued by the department pursuant to this section.
{6}(c)(l)The department,in consultation with,but not limited to,the bureau,the—State.g-_..;....-_.---..
implement a unique identi?cation program for marijuana cannabis.In implementing the
program,the department shall consider issues including,but not limited to,water use and
environmentalimpacts.In im lementin the ro ram the de artment shall ensure
com liance with Section 26060.1 0 the Business and Pro essions Code.
(2)The de artment in consultation with De artmento Pesticides shall include in re ulation the
esticides that will be banned or use or the cultivation 0 cannabis.
(3)The department shall establish a program for the identi?cation of permitted mar-ij-Hana
cannabis lants at a cultivation site during the cultivation period.A unique identi?er shall be
issued for each marijuana cannabis lant.The department shall ensure that unique identi?ers are
44|Page
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issued as quickly as possible to ensure the implementation of this division.The unique identi?er
shall be attached at the base of each plant or as otherwise required by law or regulation.
(A)Unique identi?ers will only be issued to those persons appropriately licensed by this section.
(B)Information associated with the assigned unique identi?er and licensee shall be included in the trace
and track program speci?ed in Section 926-14026067.
(C)The department may charge a fee to cover the reasonable costs of issuing the unique identi?er and
monitoring,tracking,and inspecting each mar-ijuana cannabis plant.
(D)The department may promulgate regulations to implement this section.
(4)The department shall take adequate steps to establish protections against fraudulent unique
identi?ers and limit illegal diversion of unique identi?ers to unlicensed persons.
(a)Uni ue identi ter and associated identi in in ormation administered b a ci coun or ci
and coun are authorized but shall not su lant the de artment ’s track and trace ro am.
(e)?z(1)This section does not apply to the cultivation of niarijaana cannabis in accordance with
Section
11362.1 Of the Health and Safety Code or the Compassionate UseAct.
-(3)Subdivision (b)of this section does not apply to persons or entities licensed under either
..........subdivision (b)of Section 26070.5.
"Department “for purposes of this section means the Department of Food and Agriculture’.(6)
Section 26069.1 of the Business and Professions Code is added:
26069.1.
The secreta ma enter into a coo erative a reement with a coun a ricultural commissioner other
state or local a encies to car out the rovisions 0 this cha ter related to state license activities
includin but not limited to administration investi ations ins ections licensin and assistance
ertainin to the cultivation o cannabis.Com ensation under the coo erative a reement shall be aid
rom ees collected and de osited ursuant to this cha ter and shall rovide reimbursement to the coun
a ricultural commissioner state or local a encies or associated costs.
Chapter 7.Retailers and Distributors
Section 26070 of the Business and Professions Code is amended to read:
26070.Retailers and Distributors
(a)State licenses to be issued by the D bureau related to the sale
and distribution are as follows:
(1)"Retailer,"for the retail sale and delivery of marijuana cannabis or marijuana cannabis products
to customers.A retailer with an M-T e license shall onl sell or deliver cannabis or cannabis
roducts to individuals with a h sician ’s recommendation.A retailer with an A-T e license shall
onlv sell or deliver mari/uana or mariiuana oroducts to individuals 21 ‘tears or a re or older.
(2)"Distributor,"for the distribution of marijuana cannabis and marijuana cannabis products.A
distributor licensee shall be bonded and insured at a minimum level established by the licensing authority,
A distributor with an M-T e license shall onl distribute cannabis to M-licensees.A distributor with A-
T e license shall onl distribute cannabis to A-licensees.
(3)(a)"Microbusiness,"for the cultivation of marijuana on an area less than 10,000 square feet and to act as
a licensed distributor,Level 1 manufacturer,and retailer under this division,provided such licensee c:a_n
demonstrate com liance complies with all requirements imposed by this division on licensed cultivators,
distributors,Level 1 manufacturers,and retailers to the extent the licensee engages in such activities.
Microbusiness licenses that authorize cultivation of marijuana shall include conditions requested by the
Department of Fish and Wildlife and the State Water Resources Control Board to ensure that individual and
cumulative effects of water diversion and discharge associated with cultivation do not affect the instream
?ows needed for ?sh spawning,migration,and rearing,and the ?ow needed to maintain ?ow variability,
and otherwise protect ?sh,wildlife,?sh and wildlife habitat,and water quality.
45|Page
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(1)con?rms the license applicant's status as a nonpro?t entity registered with the California
Attorney General's Registry of Charitable Trusts and that the applicant is in good standing with all
state requirements governing nonpro?t entities;
(2)licenses and regulates any such entity to protect public health and safety,and so as to require
compliance with all environmental requirements in this division;
(3)provides notice to the bureau of any such local licenses issued,including the name and location
of any such licensed entity and all local regulations governing the licensed entity's operation,and;
(4)certi?es to the bureau that any such licensed entity will not generate armual gross revenues in
excess of two million dollars ($2,000,000).
(c)Temporary local licenses authorized under subdivision (b)shall expire after twelve months unless
renewed by the local jurisdiction.
((1)The bureau may impose reasonable additional requirements on the local licenses authorized under
subdivision (b).
(e)(1)No new temporary local licenses shall be issued pursuant to this section after the date the bureau
determines that creation of nonpro?t licenses under this division is not feasible,or if the
Bureau determines such licenses are feasible,after the date a licensing agency commences issuing
state nonpro?t licenses.
(3)If the bureau determines such licenses are feasible,no temporary license issued under
Subdivision (b)shall be renewed or extended after the date on which a licensing agency commences
issuing state nonpro?t licenses.
(2)Ifthe bureau determines that creation of nonpro?t licenses under this division is not feasible,
the bureau shall provide notice of this determination to all local jurisdictions that have issued
temporary licenses under subdivision (b).The bureau may,in its discretion,permit any such local
jurisdiction to renew or extend on an armual basis any temporary license previously issued under
subdivision (b).
Chapter 8.Distribution and Transport
Section 26080 of the Business and Professions Code is amended to read:
26080.
(a)This division shall not be construed to authorize or permit a licensee to transport or distribute,or
cause to be transported or distributed,marijuana cannabis or marijuana cannabis products outside
the state,unless authorized by federal law.
(b)A local jurisdiction shall not prevent transportation of marijuana cannabis ormarijuana
cannabis products on public roads by a licensee transporting marijuana cannabis or marijuana
cannabis products in compliance with this division.
Chapter 9.Delivery
Section 26090 of the Business and Professions Code is amended to read:
26090.
(a)Deliveries,as de?ned in this division,may only be made by a licensed retailer or microbusiness,or a
licensed nonpro?t under Section 26070.5.
(b)All em lo ees 0 a retail microbusiness or non ro it deliverin cannabis or cannabis roducts shall
car a co 0 the licensee ’s current license and a overnment-issued identi zcation with a hoto 0 the
em 10 ee such as a driver ’s license.The em lo ee shall resent that license and identi zcation u on
re uest to state and local law en orcement em lo ees 0 re ulato authorities and other state and local
a encies en orcin this cha ter.
(c)A customer requesting delivery shall maintain a physical or electronic copy of the
delivery request and shall make it available upon request by the licensing authority and
law enforcement of?cers.
(d)A local jurisdiction shall not prevent delivery of marijuana cannabis or marijuana
cannabis products on public roads by a licensee acting in compliance with this division and
local law as adopted under Section 26200.
47|Page
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(g)All testin laboratories e ormin tests ursuant to this section shall-obtain and maintain
ISO/IEC 17025 accreditation as re uired b the bureau in re ulation.
(h)Any pre-sale inspection,testing transfer,or transportation of-Ina-r-ijuana cannabis roducts
pursuant to this section shall conform to a speci?ed chain of custody protocol and any other
requirements imposed under this division.
Section 26102 of the Business and Professions Code is deleted:
Section 26104 of the Business and Professions Code is amended to read:
26104.
(a)A licensed testingsenviee laborato shall,in performing activities concerning marijuana
cannabis and marijuana cannabis products,comply with the requirements and restrictions set forth in
applicable law and regulations.
‘
(b)The bureau shall develop procedures to:
(1)Ensure that testing of marijuana cannabis and marijuana cannabis products occurs prior to
distribution to retailers,microbusinesses,or nonpro?ts licensed under Section 26070.5;
(2)Specify how often licensees shall test inar-ijuana cannabis and marijuana cannabis
products,and that the cost of testing mar-ijuana cannabis shall be borne by the licensed
cultivators and the cost of testing marijuana cannabisproducts shall be borne by the licensed
manufacturer,and that the costs of testing marijuana cannabis and inanijuana cannabis products
shall be borne a nonpro?t licensed under Section 26070.5;and
(3)Require destruction of harvested batches whose testing samples indicate noncompliance with
health and safety standards re uired b the bureau
Health,unless remedial measures can bring the marijuana cannabis or marijuana cannabis
products into compliance with quality assurance standards as s eci zed b the bureau.promulgated
(4)Ensure that a testin Zaborato em 10 ee takes the sam le 0 cannabis and cannabis
roducts am the distributor ’s remises or testin re uired b this division and that the testin
laborato em lo ee trans orts the sam le to the laborato
Section 26106 of the Business and Professions Code is amended to read:
26106.
Standards for the production and labeling of all marijuana cannabis products developed by the
Department of Public Health shall apply to a_ll licensed manufacturers and microbusinesses,and
nonpro?ts licensed under Section 26070.5 unless otherwise speci?ed by the Department of Public
Health.
Chapter 11.Quality Assurance,Inspection,and Testing
Section 26110 of the Business and Professions Code is amended to read:
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a All cannabis batches are sub 'ect to uali assurance and testin rior to sale at a retailer
microbusiness or non ro zt exce t or immature cannabis lants and seeds as rovided or in this
division.
A licensee who holds a valid distributor license m act as the distributor or the licensee ’s
cannabis and cannabis roducts.
c The distributor shall store as determined b the bureau the cannabis batches on the remises 0
the distributor be ore testin and continuous!until:
I The cannabis batch asses the testin re uirements ursuant to this division and is trans orted to
a licensed retailer or
2 The cannabis batch ails the testin re uirements ursuant to this division and is destro ed or
trans orted to a manu acturer or remediation as allowed b the bureau.
d The distributor shall arran e or a testin laborato to obtain a re resentative sam le 0 each
cannabis batch at the distributor ’s licensed remises.A ter obtainin the sam le the testin
laborato re resentative shall maintain custod 0 the sam le and trans art it to the testin
laborato
e U on issuance 0 a certi zcate 0 anal sis b the testin laborato that the cannabis batch has
assed the testin re uirements ursuant to this division the distributor shall conduct a uali
assurance review rior to distribution to ensure the labelin and ackin 0 the cannabis and
cannabis roducts con orm to the re uirements 0 this division.
A ter testin all cannabis and cannabis roducts t or sale ma be trans orted onl mm the
distributor ’s remises to the remises 0 a licensed retailer microbusiness or non ro it.
A licensee is not re uired to sell cannabis or cannabis roducts to a distributor and ma directl
contract or sale with a licensee authorized to sell cannabis and cannabis roducts to urchasers.
A distributor e ormin services ursuant to this section ma collect a ee om the licensee or
the services rovided.The ee ma include but is not limited to the costs incurred or laborato
testin .A distributor ma also collect a licable state or local taxes and ees.
Nothin in this section rohibits a licensee om er ormin testin on the licensee ’s remises or
the u oses o uali assurance 0 the roduct in con'unction with reasonable business 0 erations.
The testin conducted on the licensee ’s remises b the licensee does not meet the testin
re uirements ursuant to this division.
Chapter 12.Packaging and Labeling
Section 26120 of the Business and Professions Code is amended to read:
26120.
(a)Prior to delivery or sale at a retailer,mar-ijuaua cannabis and 1-narijua-nacannabis products
shall be labeled and placed in a resalable,tam er evident child resistant package and shall include a
uni ue identi zer as rescribed b the De artment 0 Food and A iculture or the ur ose o
identi in and trackin cannabis and cannabis roducts
(b)Packages and labels shall not be made to be attractive to children.
(c)All marijuana cannabis and mar-ijuana cannabis product labels and inserts shall include the
following information prominently displayed in a clear and legible fashion in accordance with the
requirements,including font size,prescribed by the bureau or the Department of Public Health:net
:
éH
(1)The following statements,in bold print:
(A)For marijuana cannabis:"GOVERNMENT WARNING:THIS PACKAGE CONTAINS
MAR-IJ-UAl>~lACANNABIS,A SCHEDULE 1 CONTROLLED SUBSTANCE.KEEP OUT OF REACH
OF CHILDREN AND ANIMALS.h CANNABIS MAY ONLY BE POSSESSED OR
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Chapter 13.Manijnana Cannabis Products
Section 26130 of the Business and Professions Code is amended to read:
26130.
(a)The De artment 0 Public Health shall romul ate re lations overnin the licensin o
cannabis manu acturers and standards or the manu acturin and labelin 0 all manu actured
cannabis roducts.Licenses to be issued are as ollows:
(1)"Manu acturin Level I "or sites that manu acture cannabis roducts usin nonvolatile
solvents or no solvents.A Manu acturin Level 1 T e 6-M license shall onl manu acture
cannabis roducts or sale b a retailer with a T e I 0—Mlicense.
(2)”.Manu acturin Level 2 ”or sites that manu acture cannabis roducts usin volatile
solvents.A Manu acturin Level 1 T e 7-M license shall onl manu acture cannabis roducts
or sale b a retailer with a T e I0-M license.
(b)Mafijuana Edible cannabis products shall be:
(1)Not designed to be appealing to children or easily confused with commercially sold candy or
foods that do not contain marijuana cannabis.
(2)Produced and sold with a standardized dosage concentration of cannabinoids not to exceed ten
(10 milligrams tetrahydrocannabinol per serving.
(3)Delineated or scored into standardized serving sizes if the marijuana cannabis product
contains more than one serving and is an edible mar-ij-uanacannabis product in solid form.
(4)Homogenized to ensure uniform disbursement of cannabinoids throughout the product.
(5)Manufactured and sold under sanitation standards established by the Department of Public
Health,in consultation with the bureau,that are similar to the standards for preparation,storage,
handling and sale of food products.
(6)Provided to customers with suf?cient information to enable the informed consumption of
Such product,including the potential effects of the mar-ij-Hanacannabis product and directions as to how
to consume the manijnana cannabis product,as necessary.
(c)Marijuana Cannabis,including concentrated cannabis,included in a marijuana cannabis
product manufactured in compliance with law is not considered an adulterant under state law.
Section 26131 of the Business and Professions Code is added to read:
26131
a A cannabis roduct is adulterated i it is an 0 the ollowin .'
1 It has been roduced re ared acked or held under insanita conditions in which it ma have
become contaminated with zlth or in which it ma have been rendered in 'urious.
2 It consists in whole or in art 0 an zlth utrid or decom osed substance.
3 It bears or contains an oisonous or deleterious substance that ma render it in 'uri0us to users under
the conditions 0 use su ested in the labelin or under conditions as are customa or usual.
1 1--.1 ‘l .1-1 .1 .1 7.1 1..1 .-
romul ated ursuant to this cha ter and the level 0 substance in the roduct exceeds the limits s eci zed
ursuant to this cha ter or in re ulation.
5 Its concentrations di er mm or its uri or uali is below that which it is re resented to ossess.
6 The methods acilities or controls used or its manu acture ackin or holdin do not con orm to or
are not 0 erated or administered in con ormi with ractices established b re lations ado ted under
this cha ter to ensure that the cannabis roduct meets the re uirements 0 this cha ter as to sa e and has
the concentrations it ur orts to have and meets the uali and uri characteristics that it ur orts or is
re resented to ossess.
7 Its container is com osed in whole or in art 0 an oisonous or deleterious substance that ma
render the contents in 'urious to health.
8 It is an edible cannabis roduct and an substance has been mixed or acked with it a ter testin b a
testin laborato so as to reduce its uali or concentration ori an substance has been substituted
wholl or in art or the edible cannabis roduct.
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It is unlaw ul or a erson to manu acture sell deliver hold or 0 er or sale a cannabis roduct that
is adulterated.
c It is unlaw l or an erson to adulterate a mari ‘uana roduct.
d It is unlaw ul or an erson to receive in commerce a cannabis roduct that is adulterated or to
deliver or ro er or delive an such cannabis roduct.
Section 26132 of the Business and Professions Code is added to read:
26132
a When the De artment 0 Public Health has evidence that a cannabis roduct is adulterated or
misbranded the de artment shall noti the manu acturer.
The De artment 0 Public Health ma order a manu acturer to immediatel cease distribution 0 a
cannabis roduct and recall the roduct i the de artment determines both 0 the ollowin .'
I The manu acture distribution or sale 0 the cannabis roduct creates or oses an immediate and
serious threat to human li e or health.
2 Other rocedures available to the De artment 0 Public Health to remed or revent the occurrence 0
the situation would result in ‘an unreasonable dela .
c The De artment 0 Public Health shall rovide the manu acturer an o ortuni or an in ormal
roceedin on the matter as determined b the de artment within ve da s on the actions re uired b the
order and on wh the roduct should not be recalled.F ollowin the roceedin the order shall be
a /irmed.modified.or set aside as determined at-.v21‘7:7riatebv the Department of Public Health.
a’The De artment 0 Public Health ’s owers set orth in this section ex ressl include the ower to order
movement se re ation isolation or destruction 0 cannabis roducts as well as the ower to hold those
roducts in lace.
e I the De artment 0 Public Health determines it is necessa it ma issue the mandato recall order
and ma use all a ro riate measures to obtain reimbursement om the manu acturer or an and all costs
associated with these orders.All unds obtained b the De artment 0 Public Health om these e orts
shall be de osited into a ee account s eci ic to the De artment 0 Public Health to be established in the
Cannabis Control Fund and will be available or use b the de artment u on a ro riation b the
Le islature.
It is unlaw ul or an erson to move or allow to be moved a cannabis roduct sub 'ect to an order
issued ursuant to this section unless that erson has irst obtained written authorization om the
De artment 0 Public Health.
Section 26133 of the Business and Professions Code is added to read:
26133
a Whenever the De artment 0 Public Health znds or has robable cause to believe that an cannabis
roduct is adulterated or misbranded within the meanin 0 this cha ter or the sale 0 the cannabis roduct
would be in violation 0 this cha ter the de artment shall a ix to the cannabis roduct or com onent
thereo a to or other a ro riate markin .The De artment 0 Public Health shall ive notice that the
cannabis -roduct is or is sus./ccted 0/beinz».adulterated or misbranded.or the sale 0,which would be in
violation 0 this cha ter and has been embar oed and that no erson shall remove or dis ose o the
cannabis roduct b sale or otherwise until ermission or removal or dis osal is iven b the De artment
0 Public Health or a court.
It is unlaw l or an erson to remove sell or dis ose o a detained or embar oed cannabis roduct
without written ermission 0 the De artment 0 Public Health or a court.A violation 0 this subdivision is
sub 'ect to a zne 0 not more than ten thousand dollars I0 000 .
c I the adulteration or misbrandin can be corrected b ro er labelin or additional rocessin o the
cannabis roduct and all 0 the rovisions 0 this cha ter can be com lied with the claimant or licensee
ma re uest the De artment 0 Public Health to remove the ta or other markin .I under the su ervision
o the De artment 0 Public Health the adulteration or misbrandin has been corrected the de artment
ma remove the ta or other markin .
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a’When the De artment 0 PublicHealth znds that a cannabis roduct that is embar oed is not
adulterated misbranded or whose sale is not otherwise in violation 0 this cha ter the De artment o
Public Health ma remove the ta or other markin .
e The cannabis roduct ma be destro ed b the licensee ursuant to a corrective action lan a roved
b the De artment 0 Public Health and under the su ervision o the de artment.The cannabis roduct
shall be destro ed at the ex ense o the claimant or licensee.
A roceedin or condemnation 0 an cannabis roduct under this section shall be sub 'ect to
a ro riate notice to and the o ortuni or a hearin with re ard to the erson a ected in accordance
with Section 193 08.
U on a zndin b the administrative law ‘ud e that the cannabis roduct is adulterated misbranded
or whose sale is otherwise in violation 0 this cha ter the administrative law 'ud e ma direct the cannabis
roduct to be destro ed at the ex ense 0 the claimant or owner.The administrative law 'ud e ma also
direct a claimant or licensee o the a ected cannabis roduct to a ees and reasonable costs includin
the costs 0 stora e and testin incurred b the bureau or the De artment 0 Public Health in investi atin
and rosecutin the action taken ursuant to this section.
When under the su ervision o the De artment 0 Public Health the adulteration or misbrandin has
been corrected b ro er labelin or additional rocessin o the cannabis roduct and when all
rovisions 0 this cha ter have been com lied with and a ter costs ees and ex enses have been aid the
De artment 0 Public Health ma release the embar o and remove the ta or other markin and the
cannabis oroduct shall no loncer be held tor sale in violation or this chapter.
i The De artment 0 Public Health ma condemn an cannabis roduct under rovisions 0 this cha ter.
The cannabis roduct shall be destro ed at the ex ense o the claimant or owner.
Section 26134 of the Business and Professions Code is added to read:
26134
A
a The De artment o Public Health ma issue a citation which ma contain an order o abatement and
an order to a an administrative me assessedb the de artment where the licensee is in violation o this
cha ter or an re lation ado ted ursuant to it.
1 Citations shall be in writin and shall describe with articulari the nature 0 the violation includin
s eci zc re erence to the rovision 0 law determined to have been violated.
2 Whenevera ro riate the citation shall contain an order 0 abatement zxin a reasonable time or
abatement o the violation.
3 In no event shall the administrative zne assessed b the De artment 0 Public Health exceed zve
thousand dollars 5 000 or each violation unless a di erent zne amount is ex ressl rovided b this
cha ter.In assessin a zne the licensin authori shall ive due consideration to the a ro riateness o
the amount 0 the me with res ect to actors such as the ravi o the violation the ood aith o the
licensee and the histo o revious violations.
4 A citation issued or a zne assessed ursuant to this section shall noti the licensee that i the licensee
desires a hearin to contest the zndin o a violation that hearin shall be re uested b written notice to
the Deuartment 0 Public Health within 30 dats ot the date o issuance o,the citation or zne.1-a hearin
is not re uested ursuant to this section a ment 0 an ne shall not constitute an admission 0 the
violation char ed.Hearin s shall be held ursuant to Cha ter 5 commencin with Section 11500 o Part
1 o Division 3 0 Title 2 o the Government Code.
5 Failure 0 a licensee to a a ne within 30 da s 0 the date 0 assessment 0 the me unless assessment
o the me or the citation is bein a ealed ma result in urther le al action bein taken b the
De artment 0 Public Health.I a licensee does not contest a citation or a the me the ull amounto the
me shall be added to the ee or renewal o the license.A license shall not be renewed without a ment 0
the renewal ee includin the amount 0 the me.
6 A citation ma be issued without the assessment 0 an administrative ne.
7 The De artment 0 Public Health ma limit the assessment 0 administrative mes to onl articular
violations o the cha ter and establish an other re uirement or im lementation o the citation s stem b
regulation.
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Notwithstandin an other law i a me is aid to satis an assessment based on the zndin o a
violation a mento the ne shall be re resented as satis acto resolutiono the matter or ur oseso
ublic disclosure.
Section 26135 of the Business and Professions Code is added to read:
26135.
The bureau ma seize cannabis and cannabis roducts in the ollowin circumstances:
(1)The cannabis or cannabis roduct is sub 'ect to recall or embar o b an licensin authori
(2)The cannabis or cannabis roduct is sub 'ect to destruction ursuant to this division‘or
(3)The cannabis or cannabis roduct is seized related to an investi ation or disci lina action or
violation o this division.
Chapter 14.Protection of Minors
Section 26140 of the Business and Professions Code is amended to read:
26140.
(a)No xilicenseeshall:
(1)Sell marijuana cannabis or marijuana cannabis products to persons less than 21 years of age.
(2)Allow any person less than 21 years of age on its premises.
(3)Employ or retain persons less than 21 years of age.
(4)Sell or transfer rnarij-uana cannabis or rnarijuana cannabis products unless the person to whom
the marijuana cannabis or inarij-uana cannabis product is to be sold ?rst presents documentation
which reasonably appears to be a valid govemment—issuedidenti?cation card showing that the
person is 21 years of age or older.
(b)Persons under 21 years of age may be used by peace of?cers in the enforcement of this division
and to apprehend licensees,or employees or agents of licensees,or otherpersons who sell or fumish
marijuana cannabis to minors.Notwithstanding anyprovision of law,any person under 21 years of
age who purchases or attempts to purchase any marijuana cannabis while under the direction of a
peace of?cer is immune from prosecution for that purchase or attempt to purchase marijuana
cannabis.Guidelines with respect to the use of persons under 21 years of age as decoys shall be
adopted and published by the bureau in accordance with the rulemaking portion of the Administrative
Procedure Act (Chapter 3.5 (commencing with Section 11340)of Part 1 of Division 3 of Title 2 of the
Government Code).
(0)Notwithstanding subdivision (a),anjjll-licensee
may:
(1)Allow on the premises any person 18 years of age or older who possesses a valid
-------.--~----‘h sician’srecommendationandavalid
government-issued identi?cation card or a coun issued identi cation card;’
(2)Sell marijuana cannabis,marijuana cannabis products,and marijuana cannabis
accessories to a person 18 years of age or older who possesses a valid
h sician ’s recommendation and a
valid govemment-issued identi?cation card or a coun issued identi cation card.
Chapter 15.Advertising and Marketing Restrictions
Section 26150 of the Business and Professions Code is amended to read:
26150.
For purposes of this chapter:
(a)"Advertise"means the publication or dissemination of an advertisement.
(b)"Advertisement"includes any written or verbal statement,illustration,or depiction which is
calculated to induce sales of marijuana cannabis ornaarijuana cannabis products,including any
written,printed,graphic,or other material,billboard,sign,or other outdoor display,public transit card,
other periodical literature,publication,or in a radio or television broadcast,or in any other media;
except that such term shall not include:
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(c)All license fees shall be set on a scaled basis by the licensing authority,dependent on the size of the
business.
((1)The licensing authority shall deposit all fees collected in a fee account specific to that licensing
authority,to be established in the Marijuana Cannabis Control Fund.Moneys in the licensing authority
fee accounts shall be used,upon appropriation by the Legislature,by the designated licensing authority
for the administration of this division.
Section 26181 of the Business and Professions Code is amended to read:
26181.
The State Water Resources Control Board,the Department of Fish and Wildlife,and other agencies may
establish fees to cover the costs of their mar-ijuana cannabis regulatory programs.
Chapter 19 Annual Reports;Performance Audit
Section 26190 of the Business and Professions Code is amended to read:
._...............-.......................a...w...it —.u -w u --1---1
Be innin on March I 2023 and on or be are March I 0 each ear therea ter each licensin authori
shall re are and submit to the Le islature an annual re art on the authori ‘s activities in com liance
with Section 9795 o the Government Code and ost the re ort on the authori ’s Internet Web site.The
re ort shall include but not be limited to the ollowin in ormation or the revious zscal ear:
a The amounto nds allocated ands ent b the licensin authori or cannabis licensin en orcement
and administration.
The number 0 state licenses issued renewed denied sus ended and revoked b state license
category.
c The avera etime or rocessin state licensea lications b state license cate 0
d The number 0 a eals om the denial 0 state licenses or other disci lina actions taken b the
licensin authori and the avera e time s ent on these a eals.
e The number 0 com laints submitted b citizens or re resentatives 0 cities or counties re ardin
licensees rovided as both a com rehensive statewide number and b eo ra hical re ion.
The number and e 0 en orcement activities conducted b the licensin authorities and b local law
en orcement a encies in con 'unction with the licensin authorities or the bureau.
The.number e and amount 0 enalties mes and other disci lina actions taken b the licensin
authorities.
A detailed list 0 the etitions or re lato relie or rulemakin chan es received b the 0 ice om
licensees reuttcstins?modincations 0/the en/orcement 0;rules under this division.
(i)For the zrst ublication o the re arts the licensin authorities shall rovide a 'oint re ort to the
Le islature re ardin the state 0 the cannabis market in Cali ornia.This re ort shall identi an
statuto or re lato chan es necessa to ensure that the im lementation 0 this division does not:
(1)allow unreasonable restrains on com etition b creation or maintenance 0 unlaw ul
monopoly power;
(2)er etuate the resence 0 an ille al market or cannabis or cannabis roducts in the state or
out 0 the state‘
(3)encoura e undera e use or adult abuse 0 cannabis or cannabis roducts or ille al diversion 0
cannabis or cannabis roducts out 0 the state‘
(4)result in an excessive concentration 0 licensees in a iven ci coun or both'
(5)resent an unreasonable risk 0 minors bein ex osed to cannabis or cannabis roducts‘or
(6)Result in violations 0 an environmental rotection laws.
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For ur oses 0 this section ”excessive concentration”means when the remises ora retail
license microbusiness license or a license issued under Section 26070.5 is located in an area where
eithero the ollowin conditions exist:
(2)The ratio o a licensee to 0 ulation in the census tract or census division in which the
a licant remises are located exceeds the ratio 0 licensees to 0 ulation in the coun in which
the a licant remises are located unless denial o the a lication would undul limit the
develo ment 0 the le al market so as to er etuate the ille al market or cannabis or cannabis
roducts.
(3)The ratio 0 retail licenses microbusiness licenses or licenses under Section 26070.5 to
o ulation in the census tract division or 'urisdiction exceeds that allowable b local ordinance ado ted
under Section 26200.
Section 26191 of the Business and Professions Code is amended to read:
26191.
(a)Commencing January 1,2019,and by January 1 oileaeh-year triennial]thereafter,the Bureau
of-St&te—A:ud-it-s0ice 0 State Audits and Evaluations ’within the De artment 0 Finance shall conduct
aperformance audit of the bureau's activities under this division,and shall report its findings to the
bureau and the Legislature by July 1 of that same year.The report shall include,but not be limited to,
the following:
(7)The actual costs of the program.
(8)The overall effectiveness of enforcement programs.
(9)Any report submitted pursuant to this section shall be submitted in compliance with Section 9795
of the Government Code.
(b)The Legislature shall provide suf?cient funds to the Bme De artment 0 Finance
to conduct the annual triennial audit required by this section.
Chapter 20.Local Control
Section 26200 of the Business and Professions Code is amended to read:
26200.
(a)Nothing in this division shall be interpreted to supersede or limit the authority of a local
jurisdiction to adopt and enforce local ordinances to regulate businesses licensed under this division,
including,but not limited to,local zoning and land use requirements,business license requirements,
and requirements related to reducing exposure to second hand smoke,or to completely prohibit the
establishment or operation of one or more types of businesses licensed under this division within the
local jurisdiction.
(b)Nothing in this division shall be interpreted to require a licensing authority to undertake local
law enforcement responsibilities,enforce local zoning requirements,or enforce local licensing
requirements.
(c)A local jurisdiction shall notify the bureau upon revocation of any local license,permit,or
authorization for a licensee to engage in commercial marijuana cannabis activity within the local
jurisdiction.Within 10 days of noti?cation,the bureau shall inform the relevant licensing
authorities.':-5::v~::--;-:':----::--:.-:,_I_herelevant licensing
authorities shall determine whether a
license issued to the licensee should be suspended or revoked ursuant to Cha ter 3 0 this
Division.
(d)Notwithstanding paragraph (1)of subdivision (a)of Section 11362.3 of the Health and Safety Code,a
local jurisdiction may allow for the smoking,vaporizing,and ingesting of marijuana cannabis or
marijuana cannabis products on the premises of a retailer or microbusiness licensed under this division
if:
(1)Access to the area where marijuana consumption is allowed is restricted to persons 21 years of age
and older;
(1)Maaijuana Cannabis consumption is not visible from any public place or non-age restricted area;
and
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(2)Sale or consumption of alcohol or tobacco is not allowed on the premises.
26201.
Any standards,requirements,and regulations regarding health and safety,environmental protection,
testing,security,food safety,and worker protections established by the state shall be the minimum
standards for all licensees under this division statewide.A local jurisdiction may establish additional
standards,requirements,and regulations.
Section 26202 of the Business and ProfessionsCode is amended to read:
26202.
(a)A local jurisdiction may enforce this division and the regulations promulgated by the bureau or
any licensing authority if delegated the power to do so by the bureau or a licensing authority.
(b)The bureau or any licensing authority shall implement the delegation of enforcement authority in
subdivision (a)through a mm an a reement between the bureau or licensing
authority and the local jurisdiction to which enforcement authority is to be delegated.
Chapter 21.Funding
Section 26210 of the Business and Professions Code is amended to read:
26210.
(a)The Medical Marijuana Regulation and Safety Act Fund established within the State
Treasugg is hereby renamed the Marijuana Cannabis
Control Fund.Mone s in the und shall be available it on (1 r0 riation b the Le islature.
Notwithstandin Section 16305.7 o the Government Code the und shall include an interest and
dividends earned on the mane s in the und.
(b)Upon the effective date of this section,whenever "Medical Marijuana Regulation and Safety
Act Fund"appears in any statute,regulation,or contract,or in any other code,it shall be construed
to refer to the Marijuana Cannabis Control Fund.
c An General Fund or s ecial und loan that was used to establish and su art the re ulato activities
0 the state licensin entities under this division and shall be re aid b the initial roceeds rom ees
collected ursuant to this cha ter or an rule or re ulation ado ted ursuant to this cha ter b Janua 1
2022.Should the initial roceeds rom ees not be su zcient to re a the loan mone s om the Medical
Cannabis Fines and Penalties Account shall be made available to the bureau to re a the loan.
(d)Except as otherwise provided,all moneys collected pursuant to this division as a result of ?nes or
penalties imposed under this chapter shall be deposited directly into the Medical Carmabis Fines and
Penalties Account,which is hereby established Withinthe fund,and shall be available,upon appropriation
by the Legislature to the bureau,for the purposes of funding the enforcement grant program pursuant to
subdivision (d).
(e)(1)The bureau shall establish a grant program to allocate moneys from the Medical Cannabis Fines and
Penalties Account to state and local entities for the following purposes:
(A)To assist with medical cannabis regulation and the enforcement of this chapter and other state and local
laws applicable to cannabis activities.
(B)For allocation to state and local agencies and law enforcement to remedy the environmental impacts of
cannabis cultivation.
(2)The costs of the grant program under this subdivision shall,upon appropriation by the Legislature,be
paid for with moneys in the Medical Carmabis Fines and Penalties Account.
(3)The grant program established by this subdivision shall only be implemented after the loan speci?ed in
this section is repaid:
Section 26211 of the Business and Professions Code is amended to read:
26211.
(a)Funds for the initial establishment and support of the regulatory activities under this
division,including the public information program described in subdivision (c),and for the
activities of the Board of Equalization under Part 14.5 of Division 2 of the Revenue and Taxation
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(1)Site development and maintenance,erosion control,and drainage features.
(2)Stream crossing installation and maintenance.
(3)Riparian and wetland protection and management.
(4)Soil disposal.
(5)Water storage and use.
(6)Irrigation runoff.
(7)Fertilizers and soil.
(8)Pesticides and herbicides.
(9)Petroleum products and other chemicals.
(10)Cultivation-related waste.
(1 1)Refuse and human waste.
(12)Cleanup,restoration,and mitigation.
Amend Section 1831 of the Water Code as follows:
1831.
(a)When the board determines that any person is violating,or threatening to violate,any requirement
described in subdivision (d),the board may issue an order to that person to cease and desist from that
violation.
(b)The cease and desist order shall require that person to comply forthwith or in accordance with a time
schedule set by the board.
(c)The board may issue a cease and desist order only after notice and an opportunity for hearing pursuant
to Section 1834.
(d)The board may issue a cease and desist order in response to a violation or threatened violation of any of
the following:
(1)The prohibition set forth in Section 1052 against the unauthorized diversion or use of water subject to
this division.
(2)Any term or condition of a permit,license,certi?cation,or registration issued under this division.
(3)Any decision or order of the board issued under this part,Section 275,Chapter 11 (commencing with
Section 10735)of Part 2.74 of Division 6,or Article 7 (commencing with Section 13550)of Chapter 7 of
Division 7,in which decision or order the person to whom the cease and desist order will be issued,or a
predecessor in interest to that person,was named as a party directly affected by the decision or order.
(4)A regulation adopted under Section 1058.5.
(5)Any extraction restriction,limitation,order,or regulation adopted or issued under Chapter 11
(commencing with Section 10735)of Part 2.74 of Division 6.
(6)Any diversion or use of water for cannabis cultivation if any of the following applies:
(A)A license is required,but has not been obtained,
Cha ter 6 commencin with Section 26060 or Cha ter 7 commencin
with Section 26070 0 Division 10 o the Business and Professions Code.
(B)The diversion is not in compliance with an applicable limitation or requirement established by the
board or the Department of Fish and Wildlife under Section 13149.
(C)The diversion or use is not in compliance with a requirement imposed under
S 0 subdivision c 0 Section 26060 0 or ara m h 3 0 subdivision a 0 Section
260 70 of the Business and Professions Code.
(e)This article does not alter the regulatory authority of the board under other provisions of law.
Amend Section 1847 of the Water Code as follows:
(a)A person or entity may be liable for a violationof any of the requirements of subdivision (b)in an
amount not to exceed the sum of the following:
(1)Five hundred dollars ($500),plus two hundred fifty dollars ($250)for each additional day on which the
violation continues if the person fails to correct the violation within 30 days after the board has called the
violation to the attention of that person.
(2)Two thousand five hundred dollars ($2,500)for each acre—footof water diverted or used in violation of
the applicablerequirement.
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(g)The tax stamps and product bags shall be capable of being read by a scanning or similar device and
must be traceable utilizing the track and trace system pursuant to Section 2-6-1-7-026068 of the Business
and Professions Code.
(h)Persons required to be licensed to cultivate manij-uana cannabis pursuant te-Ghapteid_»§—e£
Division 10 of the Business and Professions Code
shall be responsible for payment of the tax pursuant to regulations adopted by the board.No
mar-ijnana cannabis may be sold unless the tax has been paid as provided in this part.
(i)All manij-uanacannabis removed from a cultivator's premises,except for plant waste,shall be
presumed to be sold and thereby taxable under this section.
(j)The tax imposed by this section shall be imposed on all manijuana cannabis cultivated in the
state pursuant to rules and regulations promulgated by the board,but shall not apply to marijuana
cannabis cultivated for personal use under Section 11362.1 of the Health and Safety Code or cultivated
by a quali?ed patient or primary caregiver in accordance with the Compassionate UseAct.
(k)Beginning January 1,2020,the rates set forth in subdivisions (a),(b),and (c)shall be adjusted by
the board armually thereafter for in?ation.
l The De artment 0 Food and A riculture is not res onsible or en orcin an rovisions 0 the
cultivation tax.
Section 34013 of the Revenue and Taxation Code is amended to read:
34013.
(a)The board shall administer and collect the taxes imposed by this part pursuant to the Fee
Collection Procedures Law (Part 30 (commencing with Section 55001)of Division 2 of the Revenue
and Taxation Code).For purposes of this part,the references in the Fee Collection Procedures Law
to "fee"shall include the tax imposed by this part,and references to 'fee payer"shall include a
person required to pay or collect the tax imposed by this part.
(b)The board may prescribe,adopt,and enforce regulations relating to the administration and
enforcement of this part,including,but not limited to,collections,reporting,refunds,and appeals.
(c)The board shall adopt necessary rules and regulations to administer the taxes in this part.Such
rules and regulations may include methods or procedures to tag mar-ijuana cannabis or manij-Hana
cannabis products,or the packages thereof,to designate prior tax payment.
(d)The board may prescribe,adopt,and enforce any emergency regulations as necessary to
implement,administer and enforce its duties under this division.Any emergency regulation
prescribed,adopted,or enforced pursuant to this section shall be adopted in accordance with Chapter
3.5 (commencing with section 11340)of Part 1 of Division 3 of Title 2 of the Government Code,
and,for purposes of thatchapter,including Section 11349.6 of the Government Code,the
adoption of the regulation is an emergency and shall be considered by the Of?ce of Administrative
Law as necessary for the immediate preservation of the public peace,health and safety,and general
welfare.Notwithstanding any otherprovision of law,the emergency regulations adopted by the
board may remain in effect for two years from adoption.
(c)Any person who fails to pay the taxes imposed under this part shall,in addition to owing the
taxes not paid,be subject to a penalty of at least one-half the amount of the taxes not paid,and shall
be subject to having its license revoked pursuant to Section 26031 of the Business and Professions
Code .-'''
(f)The board may bring such legal actions as are necessary to collect any de?ciency in the tax
required to be paid,and,upon the board's request,the Attorney General shall bring the actions.
Section 34014 of the Revenue and Taxation Code is amended to read:
34014.
(a)All persons required to be licensed involved in the cultivation and retail sale of mar-ij-Hanacannabis
or marijuana cannabis products must obtain a separate permit from the board pursuant to regulations
adopted by the board.No fee shall be charged to any person for issuance of the permit.Any person
required to obtain a permit who engages in business as a cultivator,dispensafyh,retailer;microbusiness or
nonpro?tpursuantto -::-.:E .--=-::==:=Divisionl0of
e5|Page
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nlu'rljwu1'Iu
except as otherwise provided by law,shall may be punished by imprisonment pursuant to
subdivision (h)
of Section 1170 of the Penal Code if:
-the person has one or more prior convictions for an offense speci?ed in clause (iv)of
subparagraph (C)of paragraph (2)of subdivision(e)of Section 667 of the Penal Code or for an
offense requiring registration pursuant to subdivision (c)of Section 290 of the Penal Code;
-the person has two or more prior convictions under subdivision(e);or (3)the offense
resulted in any of the following:
(A)violation of Section 1052 of the Water Code relating to illegal diversion of water;
(B)violation of Section 13260,13264,13272,or 13387 of the Water Code relating to discharge
of waste:
(C)violation of Fish and Game Code Section 5650 or Section 5652 of the Fish and Game
Code relating to waters of the state;
(D)violation of Section 1602 of the Fish and Game Code relating to rivers,streams and lakes;
(E)violation of Section 3 74.8 of the Penal Code relating to hazardous substances or Sections
25189.5,25189.6,or 25189.7 of the Health and Safety Code relating to hazardous waste;
(F)violation of Section 2080 of the Fish and Game Code relating to endangered and
threatened species or Section 3513 of the Fish and Game Code relating to the Migratory Bird
Treaty Act;or
(G)intentionally or with gross negligence causing substantial environmental harm to public
lands or other public resources.
11359.Possession for sale
Every person who possesses for sale any marijuana cannabis,except as otherwise provided by law,
shall be punished as follows:
(a)Every person under the age of 18 who possesses mai=ij~uaaacannabis for sale shall be
punished in the same manner provided in paragraph (1)of subdivision (b)of section 11357.
(b)Every person 18 years of age or over who possesses marijuana cannabis for sale shall be
punished by imprisonment in a county jail for aperiod
_
of not more than six months or by af?ne
of not more than ?ve hundred dollars ($500),or by both such ?ne and imprisonment.
(c)Notwithstanding subdivision (b),a person 18 years of age or over who possesses marij-ua-na
cannabis for salemay be punished by imprisonment pursuant to subdivision (h)of Section 1170 of
the Penal Code if:
(1)the person has one or more prior convictions for an offense speci?ed in clause (iv)of
subparagraph (C)of paragraph (2)of subdivision (e)of Section 667 of the Penal Code or for an
offense requiring registration pursuant to subdivision (c)of Section 290 of the Penal Code;
(2)the person has two or more prior convictions under subdivision (b);or
(3)the offense occurred in connection with the knowing sale or attempted sale of marijuana
cannabis to a person under the age of l8years.
(c)Notwithstanding subdivision (b),a person 21 years of age or over who possesses
cannabis for sale may be punished by imprisonment pursuant to subdivision (h)of Section 1170 of
the Penal Code if the offense involves knowingly hiring,employing,or using a person 20 years of
age or younger in unlawfully cultivating,transporting,carrying,selling,offering to sell,giving
away,preparing for sale,or peddling any marijaana cannabis.
11360.Unlawful transportation,importation,sale,or gift
(a)Except as otherwise provided by this section or as authorized by law,every person who
transports,imports into this state,sells,furnishes,administers,or gives away,or offers to transport,
import into this state,sell,furnish,administer,or give away,or attempts to import into this state or
transport any maasijaaaacannabis shall be punished as follows:
(1)Persons under the age of 18 years shall be punished in the same manner as provided in
paragraph (1)of subdivision (b)of section 1 135 7.
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Page 205 of 215
Phone:
K LEAGUE®
OF CALIFORNIA
ZZCITIES
2017 ANNUAL CONFERENCE
VOTING DELEGATE/ALTERNATE FORM
Please complete this form and return it to the League office by Friday,Se tember 1 2017.
Forms not sent by this deadline may be submitted to the Voting Delegate Desk located in
the Annual Conference Registration Area.Your city council may designate one votin
dele ate and u to two alternates.
In order to vote at the Armual Business Meeting (General Assembly),voting delegates and alternates must
be designated by your city council.Please attach the council resolution as proof of designation.As an
alternative,the Mayor or City Clerk may sign this form,af?rming that the designation re?ects the action
taken by the council.
Please note:Voting delegates and alternates will be seated in a separate area at the Annual Business
Meeting.Admission to this designated area will be limited to individuals (voting delegates and
alternates)who are identi?ed with a special sticker on their conference badge.This sticker can be
obtained only at the Voting Delegate Desk.
1.VOTING DELEGATE
Name:
Title:
2.VOTING DELEGATE -ALTERNATE 3.VOTING DELEGATE -ALTERNATE
Name:Name:
Title:Title:
PLEASE ATTACH COUNCIL RESOLUTION DESIGNATING VOTING DELEGATE
AND ALTERNATES.
QB
ATTEST:I af?rm that the information provided reflects action by the city council to
designate the voting delegate and altemate(s).
Name:E-mail
Mayor or City Clerk
(circle one)(signature)
Date:
League of California Cities FAX:(916)653-8240
ATTN:Carly Shelby E-mail:cshelby@cacities.org
1400 K Street,4”‘Floor (916)658-8279
Sacramento,CA 95814
Please com lete and return b Frida Se tember 1 2017
Page 206 of 215
Page 207 of 215
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Exhibit A
List of Committees,Boards and Commissions
Page 208 of 215
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Beaumont Cherry Valley Water District
Water distribution for the Beaumont,Cherry Valley and a portion of Calimesa
Mike Lara —Liaison
Julio Martinez —Alternate Liaison
Meets the second Wednesday of the month at 7:00pm
560 Magnolia Ave,Beaumont
Beaumont Unified School District
Meeting for the Board of Trustees to discuss topics within the district.
Mike Lara -Liaison
Lloyd White —Alternate Liaison
Meets the second and fourthTuesday of the month at 6:30pm
350 W.Brookside Ave,Beaumont
Legislative Liaison
Representation of Beaumont at Sacramento and Washington DC events.
Lloyd White
Collaborative Agency
A joint meeting between agencies within the City to collaborate on events and issues,initially
started as an emergency operations agency.
Lloyd White -Representative
Mike Lara —Alternate Respresentative
Meets every three months
City Manager and Mayor's Breakfast
Ajoint meeting between the Mayors and City Mangers of Banning,Beaumont,Morongo,
Calimesa and Riverside County Supervisor.
Lloyd White —Representative
City Manager —Representative
Meets the first Thursday of the month at 7:00am
Eastern Riverside County Interoperable Communications Authority (ERICA)
Joint Powers authority of cities regarding radio communications
Lloyd White —Representative
Kari Mendoza -Board Member
Meets on the even months at 2:00
68700 Avenida Lalo Guerrero,City Hall,Cathedral City
Page 210 of 215
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Southern California Association of Governments
Joint Powers Authority under State Law to address regional issues
Mark Orozco —Representative
Nancy Carroll —Alternate
818 West 7th Street,12th Floor,Los Angeles
Memorial Committee
Committee to oversee the City memorials (i.e Police and Fire Memorial,Veteran's Memorial)
Julio Martinez —Committee Member
Mark Orozco —Alternate Committee Member
Meets on an as needed basis
550 E 6”’St,City Hall,Beaumont
Finance and Audit Committee
Promotes enhanced fiscal responsibility,accountability,integrity and transparency.
Nancy Carroll —Committee Member/CouncilMember
Mike Lara —Committee Member/CouncilMember
Sharon Geiser —Committee Member/Treasurer
Elaine Morgan —Chair
Rey Santos —Vice Chair
Vacant —Committee Member
Vacant —Committee Member
John Halliwill—Committee Member
Richard Bennecke —Committee Member
Vacant—Alternate
Vacant -Alternate
Meets the first Monday of the month at 6:00pm
550 E 6”’St,City Hall,Beaumont
Economic Development Committee
Evaluate and provide advice and recommendations to the City Council concerning Economic
Development matters.
Mark Orozco —Committee Member/CouncilMember
Julio Martinez —Committee Member/Council Member
Sharon Geiser —Committee"Member/Treasurer
Bernie Balland —Committee Member
Bertha Barraza —Committee Member
Randy Harris —Committee Member
Jennifer Higgins —Committee Member
Vacant —Local development representative
Page 211 of 215
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Page 213 of 215
CITY OF BEAUMON1’RESIDENT TRAVEL AUTHORIZATION AND EXPENSE REPORT FORM
NAME
ab MA-L am L Eiwmo/UT -I -I T EDILALCJ -1 «:7
H II ATHE —I EA in NT -I -i
METHOD OF
TRANSPORTAHON
NAME (Deita,Amtrak,etc.)NAMEOF CITY DATE TIME NAME OF CITY DATE TIME
AUTHORIZED BY:DATE:
LLO)/D WHITE ozT\{coo/\Jc1L.5«!l-I7
om]coo/«car,?.I2.I.C.A-.
DEPARTMENT DATE OF ADVANCE REQUEST I CLAI
IS A (check one).'REQUESTFORTRAVELADVANCEor PER DIEM “AIM FOR REIMBURSEME
%3 =
Page 214 of 215
CITY OF BEAUMONT RESIDENT TRAVEL AUTHORIZATION ANDEXPENSE REPORT FORM
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rm
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M&|.El“1 B 0 H7 AMJAULSMMsjakul/I3 :1
Page 215 of 215