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Commercial cannabis indoor cultivation facilities must comply with all of the following requirements:
A. The cultivation of all cannabis must occur indoors only, and outdoor cultivation is prohibited.
B. From a public right-of-way, there should be no exterior evidence of cannabis cultivation except for any signage authorized by this Code.
C. The general public is not permitted on the cannabis cultivation premises. Only owners, managers, employees, agents and volunteers of the cannabis cultivation permittee and agents or employees of the City of Culver City, the County of Los Angeles or the state are permitted to be on-site.
D. A permittee shall only be allowed to cultivate the square feet of canopy space permitted by state law and in the Commercial Cannabis Business Permit issued for the premises.
E. Cannabis cultivation shall be conducted in accordance with state and local laws related to electricity, water usage, water quality, discharges, waste disposal and similar matters.
F. A cultivation permittee shall comply with all applicable federal, state and local laws and regulations regarding use and disposal of pesticides and fertilizers.
G. Pesticides and fertilizers shall be properly labeled and stored to avoid contamination through erosion, leakage or inadvertent damage from pests, rodents or other wildlife.
H. The cultivation of cannabis shall at all times be operated in such a way as to ensure the health, safety, and welfare of the public, the employees working at the commercial cannabis business, neighboring properties, and the end users of the cannabis being cultivated, to protect the environment from harm to waterways, fish, and wildlife; to ensure the security of the cannabis being cultivated; and to safeguard against the diversion of cannabis.
I. Prior to transportation, a cannabis cultivation permittee shall package and seal all cannabis or cannabis products in tamper-evident packaging and use a unique identifier, such as a batch and lot number or bar code, to identify and track the cannabis or cannabis products.
J. All applicants for a Commercial Cannabis Business Permit pertaining to cannabis cultivation shall submit the following in addition to the information otherwise required for a Commercial Cannabis Business Permit:
1. A cultivation and operations plan that meets or exceeds minimum legal standards for water usage, conservation and use; drainage, watershed and habitat protection; waste disposal; and proper storage of fertilizers, pesticides, and other regulated products to be used on the parcel, and a description of the cultivation activities and schedule of activities during each month of growing and harvesting, or explanation of growth cycles and anticipated harvesting schedules for all-season harvesting.
2. A description of a legal water source, irrigation plan, and projected water use.
3. Identification of the source of electrical power and plan for compliance with applicable Building Codes and related Codes.
4. Plan for addressing odor and other public nuisances that may derive from the cultivation site.
(Ord. No. 17-018 § 2 (part); Ord. No. 2017-020 § 2 (part); Ord. No. 2018-007 § 2 (part))
Commercial cannabis manufacturing businesses shall comply with all of the following requirements:
A. From a public right-of-way, there should be no exterior evidence of cannabis manufacturing except for any signage authorized by this Chapter.
B. The general public is not permitted on the cannabis manufacturing premises. Only owners, managers, employees, agents and volunteers of the cannabis manufacturing permittee and agents or employees of the City of Culver City, the County of Los Angeles or the state are permitted to be on-site.
C. All cannabis manufacturing shall comply with the standards set by state and local law, including but not limited to those related to safety, discharges, waste disposal and similar matters.
D. Any compressed gases used in the manufacturing process shall not be stored on any property within the City of Culver City in containers that exceeds the amount which is approved by the Fire Chief and authorized by the Commercial Cannabis Business Permit. Each manufacturing premises subject to a Commercial Cannabis Business Permit shall be limited to a total number of tanks as authorized by the Fire Chief on the property at any time.
E. Cannabis manufacturing facilities may use the hydrocarbons N-butane, isobutane, propane, or heptane or other solvents or gases exhibiting low to minimal potential human-related toxicity approved by the Fire Chief. These solvents must be of at least ninety-nine percent (99%) purity and any extraction process must use them in a professional grade closed loop extraction system designed to recover the solvents and work in an environment with proper ventilation, controlling all sources of ignition where a flammable atmosphere is or may be present.
F. If an extraction process uses a professional grade closed loop C02 gas extraction system every vessel must be certified by the manufacturer for its safe use. Closed loop systems for compressed gas extraction systems must be commercially manufactured and bear a permanently affixed and visible serial number.
G. Certification from an engineer licensed by the State of California must be provided to the Fire Chief for a professional grade closed loop system used by any commercial cannabis manufacturing manufacturer to certify that the system was commercially manufactured, is safe for its intended use, and was built to codes of recognized and generally accepted good engineering practices, including but not limited to:
1. The American Society of Mechanical Engineers (ASME);
2. American National Standards Institute (ANSI);
3. Underwriters Laboratories (UL); or
4. The American Society for Testing and Materials (ASTM).
H. The certification document reference in Subsection G. above must contain the signature and stamp of the professional engineer and serial number of the extraction unit being certified.
I. Professional closed loop systems, other equipment used, the extraction operation, and facilities must be approved for their use by the Fire Chief and meet any required fire, safety, and building code requirements specified in the California Building and Fire Codes, as adopted by the City.
J. Cannabis manufacturing facilities may use heat, screens, presses, steam distillation, ice water, and other methods without employing solvents or gases to create keef, hashish, bubble hash, or infused dairy butter, or oils or fats derived from natural sources, and other extracts.
K. Cannabis manufacturing facilities may use food grade glycerin, ethanol, and propylene glycol solvents to create or refine extracts. Ethanol should be removed from the extract in a manner to recapture the solvent and ensure that it is not vented into the atmosphere.
L. Cannabis manufacturing facilities creating cannabis extracts must develop standard operating procedures, good manufacturing practices, and a training plan prior to producing extracts for the marketplace. Such plan shall be submitted to the City as part of the application process.
M. Any person using solvents or gases in a closed looped system to create cannabis extracts must be fully trained on how to use the system, have direct access to applicable material safety data sheets and handle and store the solvents and gases safely.
N. Parts per million for one gram of finished extract cannot exceed state standards for any residual solvent or gas when quality assurance tested.
(Ord. No. 17-018 § 2 (part); Ord. No. 2017-020 § 2 (part); Ord. No. 2018-007 § 2 (part))
Commercial cannabis distribution businesses shall comply with all of the following requirements:
A. From a public right-of-way, there should be no exterior evidence of cannabis distribution except for any signage authorized by this Chapter.
B. The general public is not permitted on the cannabis distribution premises. Only owners, managers, employees, agents and volunteers of the cannabis distribution permittee and agents or employees of the City of Culver City, the County of Los Angeles or the state are permitted to be on-site.
C. A cannabis distribution permittee shall only procure, sell, or transport cannabis or cannabis products that is packaged and sealed in tamper-evident packaging that uses a unique identifier, such as a batch and lot number or bar code, to identify and track the cannabis or cannabis products.
D. A cannabis distribution permittee shall maintain a database and provide to the City a list of the individuals and vehicles authorized to conduct transportation on behalf of the cannabis distribution licensee.
E. Individuals authorized to conduct transportation on behalf of the cannabis distribution permittee shall have a valid California driver's license.
F. Individuals transporting cannabis or cannabis products on behalf of the cannabis distribution permittee shall maintain a physical or electronic copy of the transportation request (and/or invoice) and shall make it available upon request of City employees and agents.
G. During transportation, the individual conducting transportation on behalf of the cannabis distribution permittee shall maintain a copy of the cannabis distribution permittee's Commercial Cannabis Business Permit and shall make it available upon request of City employees and agents.
H. A cannabis distribution permittee facility shall only transport cannabis or cannabis products in a vehicle that is:
1. Insured at or above the legal requirement in California;
2. Capable of securing (locking) the cannabis or cannabis products during transportation; and
3. Capable of being temperature controlled if perishable cannabis products are being transported.
(Ord. No. 17-018 § 2 (part); Ord. No. 2017-020 § 2 (part); Ord. No. 2018-007 § 2 (part))
Commercial cannabis testing businesses shall comply with all of the following requirements:
A. Cannabis testing shall take place within an enclosed locked structure.
B. From a public right-of-way, there should be no exterior evidence of cannabis testing except for any signage authorized by this Chapter.
C. The general public is not permitted on the cannabis testing premises. Only owners, managers, employees, agents and volunteers of the cannabis testing permittee and agents or employees of the City of Culver City, the County of Los Angeles or the state are permitted to be on-site.
D. All cannabis testing shall be performed in accordance with state law.
E. A cannabis testing permittee shall adopt a standard operating procedure using methods consistent with general requirements established by the International Organization for Standardization, specifically ISO/IEC 17025, to test cannabis or cannabis products, and shall operate in compliance with state law at all times.
F. A cannabis testing permittee shall be accredited by a body that is a signatory to the International Laboratory Accreditation Cooperation Mutual Recognition Arrangement.
G. A cannabis testing permittee shall establish standard operating procedures that provide for adequate chain of custody controls for samples transferred to the testing laboratory for testing.
H. A cannabis testing permittee shall destroy the remains of samples of any cannabis or cannabis product upon completion of analyses.
(Ord. No. 17-018 § 2 (part); Ord. No. 2017-020 § 2 (part); Ord. No. 2018-007 § 2 (part))
A. Each permittee of a commercial cannabis business shall maintain accurate books and records in an electronic format, detailing all of the revenues and expenses of the business, and all of its assets and liabilities. On no less than an annual basis (at or before the time of the renewal of a Commercial Cannabis Business Permit issued pursuant to this Chapter), or at any time upon reasonable request of the City, each permittee shall file a sworn statement detailing the commercial cannabis business' revenue and number of sales during the previous twelve (12)-month period (or shorter period based upon the timing of the request), provided on a per-month basis. The statement shall also include gross revenues for each month, and all applicable taxes paid or due to be paid. On an annual basis, each permittee shall submit to the City a financial audit of the business' operations conducted by an independent certified public accountant. Each permittee shall be subject to a regulatory compliance review and financial audit as determined by the City Manager.
B. Each permittee of a commercial cannabis business shall maintain a current register of the names and the contact information (including the address, e-mail address and telephone number) of anyone owning or holding an interest in the commercial cannabis business, and separately of all the officers, managers, employees, responsible persons and volunteers currently employed or otherwise engaged by the commercial cannabis business. The register required by this paragraph shall be provided to the City Manager upon a reasonable request.
C. All records collected by a permittee pursuant to this Chapter shall be maintained for a minimum of seven years and shall be made available by the permittee to the agents or employees of the City upon request, except that private medical records shall be made available only pursuant to a properly executed search warrant, subpoena, or court order.
D. All permittees shall maintain an inventory control and reporting system that accurately documents the present location, amounts, and descriptions of all cannabis and cannabis products for all stages of the growing and production or manufacturing, laboratory testing and distribution processes until purchase as set forth MAUCRSA.
E. Subject to any restrictions under the Health Insurance Portability and Accountability Act (HIPAA) regulations, each permittee shall allow City of Culver City officials to have access to the business's books, records, accounts, together with any other data or documents relevant to its permitted commercial cannabis activities, for the purpose of conducting an audit or examination. Books, records, accounts, and any and all relevant data or documents will be produced no later than 24 hours after receipt of the City's request, unless otherwise stipulated by the City. The City may require the materials to be submitted in an electronic format that is compatible with the City's software and hardware.
(Ord. No. 17-018 § 2 (part); Ord. No. 2017-020 § 2 (part); Ord. No. 2018-007 § 2 (part))
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