(Amended by Ord. No. 187,879, Eff. 6/2/23.)
(a) A License is not transferable unless the change to the Licensee’s organizational structure or ownership is submitted to and approved by DCR pursuant to Section 104.03(c). A change from non-profit status to for-profit status by an EMMD is exempt from this requirement if no other ownership change is made in accordance with Proposition D’s ownership rules and notice is provided to DCR within five days. This exemption is not available after a License is issued.
(b) A License for Storefront Retailer or Microbusiness Commercial Cannabis Activity with on-site sales must be prominently displayed at the Business Premises in a manner that makes it readable from the exterior of the Business Premises.
(c) Licensees shall designate a supervisor, manager or person-in-charge at all times during regular business hours.
(d) The name and contact number of the Neighborhood Liaison must be prominently displayed at the Business Premises in a manner that makes it readable from the exterior of the Business Premises.
(e) Cannabis, Cannabis products, and Cannabis- related materials associated with a License or Licensee’s Business Premises shall not be considered “Drug paraphernalia” as defined in LAMC Section 45.19.5.
(f) An Applicants or Licensee shall adhere to all the operational requirements in the Rules and Regulations.
(g) Applicants and Licensees shall be subject to inspection, investigation or audit by DCR or its agents, with no notice required, to determine compliance with this article or the Rules and Regulations. An inspection, investigation or audit is a review of any books, records, accounts, inventory, or on-site operations specific to the Business Premises and License.
1. DCR and its agents may conduct an on-site inspection prior to issuing a new or renewal License, or for the purpose of a compliance inspection resulting from a complaint or investigation, in accordance with the requirements of the State of California and the Rules and Regulations. DCR may record the inspection, investigation, or audit.
2. Failure to cooperate fully with an inspection, investigation or audit is a violation of this article.
(h) In construing and enforcing this article and the Rules and Regulations, any act, omission, or failure of an agent, officer, or other person acting for or employed by a Licensee, within the scope of their employment or office, shall in every case be deemed the act, omission, or failure of the Licensee.
(i) If an Applicant or Licensee contends that any information provided to the City is confidential, the Applicant or Licensee shall mark that information as confidential at the time of submitting it to the City. If the City obtains a request for disclosure of the information, the City may provide the Applicant or Licensee notice of the request for disclosure and allow the Applicant or Licensee a period of time determined by the City for the Applicant or Licensee to seek a court protective order. The City may publically release the information absent the issuance of the protective order or if the City is required by law to release the information.
(j) A Licensee shall make a good-faith effort to have no less than 30% of the weekly hours of the Licensee’s workforce performed by employees whose primary place of residence is within a 3-mile radius of the Business Premises. A Licensee shall make a good-faith effort to have no less than 10% of the weekly hours of the Licensee’s workforce performed by employees who are Transitional Workers. Transitional Worker means a person who, at the time of starting employment at the Business Premises, resides in an Economically Disadvantaged Area or Extremely Economically Disadvantaged Area, as those terms are defined in Section 11.5.6 of this Code, and faces at least two of the following barriers to employment: (1) being homeless; (2) being a custodial single parent; (3) receiving public assistance; (4) lacking a GED or high school diploma; (5) having a criminal record or other involvement with the criminal justice system; (6) suffering from chronic unemployment; (7) being emancipated from the foster care system; (8) being a veteran; or (9) being over the age of 65 and financially compromised. At a minimum, a Licensee is required to contact local community-based organizations, City of Los Angeles WorkSource Centers, and other such similar organizations to facilitate job outreach, development, and placement services. A Licensee is required to provide to DCR a detailed annual report on or before the final day of February every year that provides evidence of its outreach efforts, including the number of persons interviewed, and details on who was hired to satisfy the good-faith effort requirement.
(k) It shall be unlawful for a Licensee or any other party to discriminate in any manner or take adverse action against any employee in retaliation for exercising rights protected under this article. These rights include, but are not limited to: the right to file a complaint or inform any person about any party’s alleged noncompliance with this article; and the right to inform any person of their potential rights under this article and to assist the employee in asserting such rights. Protections under this article shall apply to any Employee who mistakenly, but in good faith, alleges noncompliance with this article. Taking adverse action against an Employee within 90 days of the Employee’s exercise of rights protected under this article shall raise a rebuttable presumption of having done so in retaliation for the exercise of such rights.
(l) All Licensees shall obtain a permit from the Los Angeles County Department of Public Health. If the Licensee is engaged in Storefront Retailer or Microbusiness Commercial Cannabis Activity with on-site sales, the Licensee shall also obtain an Emblem Placard pursuant to Section 104.23.