(Amended by Ord. No. 187,879, Eff. 6/2/23.)
(a) Application – Pre-Application Record. Prior to filing a Temporary Approval or Annual License Application, an Applicant shall submit a Pre-Application Record through the DCR Licensing Portal, including all information, forms and documents required by the Rules and Regulations, and pay a Pre-Application Review Fee pursuant to Section 104.19, for DCR to determine if the proposed Business Premises location complies with Section 104.04(b). Pre-Application Records that are incomplete shall not be eligible for further processing. If the Pre-Application Record is eligible for further processing, the Applicant shall submit a Temporary Approval Application or Annual License Application through the DCR Licensing Portal, including all required information, forms, and documents, within one (1) calendar year of the date DCR notifies the Applicant by electronic mail that the Pre-Application Record is eligible for further processing. A Pre-Application Record shall be abandoned pursuant to Section 104.03(f) if a complete Temporary Approval Application or Annual License Application is not timely submitted within one (1) calendar year. DCR may request additional information, forms, or documents from the Applicant at any time during its review of the Pre-Application Record, subject to payment of any additional fees under Section 104.19. If the Applicant fails to provide the additional information, forms or documents in the time allotted by DCR, the Application shall be abandoned. An Applicant whose Business Premises location is ineligible shall not be permitted to amend the Pre-Application Record, but may submit a new Pre-Application Record subject to the payment of applicable fee(s) in Section 104.19.
1. Public Convenience or Necessity (PCN) Process. If the Applicant's proposed Business Premises is located in a Community Plan Area that has reached Undue Concentration, the Applicant must request that the City Council find that approval of the License Application would serve the public convenience or necessity. Prior to seeking a finding from the City Council, the Applicant shall submit Pre-Application Record and pay a Pre-Application Review Fee pursuant to Section 104.19 for DCR to determine if the proposed Business Premises location complies with Section 104.04(b).
(i) If DCR determines that the Pre-Application Record is not eligible for further processing, the Applicant shall not file a request that the City Council find that approval of the License application would serve the public convenience or necessity and DCR shall not further process the Application. The Applicant may submit a new Pre-Application Record for a new proposed location, subject to the payment of fees under Section 104.19.
(ii) If DCR determines the Pre-Application Record is eligible for further processing, the Applicant shall file a request, on a form provided by DCR, that the City Council find that approval of the License Application would serve the public convenience or necessity, supported by evidence in the record. The Applicant also shall pay a Public Convenience or Necessity Application Fee pursuant to Section 104.19 within 30 days from the date of invoice issuance. DCR shall transmit the request to the City Clerk within 30 days of the Applicant's payment of the Public Convenience or Necessity Application Fee. Within 10 days of DCR transmitting an Applicant's request to the City Clerk, DCR shall provide notice by electronic mail to: (1) the Applicant; (2) the closest Neighborhood Council; (3) the relevant business improvement district, if one exists; and (4) and the City Council Office within which the Business Premises is situated. The notice shall contain the following information: purpose of the notice, name of the Applicant, Application number, Business Premises address, Commercial Cannabis Activities requested, and the Council District and Community Plan Area in which the Business Premises is located. The notice shall also inform interested parties about how to provide DCR with information concerning the Application. DCR shall also post the notice to its website.
(iii) The Applicant shall engage with and seek written input from key stakeholders in the area in which the proposed Business Premises will be located, which at a minimum should include: the relevant area Neighborhood Council; Los Angeles Police Department (LAPD) Division; local chamber of commerce; and at least one substance abuse intervention, prevention and treatment organization within the Community Plan Area. LAPD shall provide the City Council with crime data for the area, and a letter stating LAPD's position on the application request. DCR shall promulgate standards subject to City Council approval by resolution, which may be amended from time to time.
(iv) If the City Council does not act on the Applicant's request within 90 days of the City Clerk's date of receipt, the City Council shall be deemed to have not made the necessary findings to support the public convenience and necessity, the request shall be denied by operation of law, and the Application shall not be processed by DCR. If the City Council finds that approval of the License Application would serve the public convenience or necessity, the Applicant shall pay a Temporary Approval Application Fee pursuant to Section 104.19 within 30 days of the City Council's action becoming final.
(b) Application Withdrawal. An Applicant may withdraw an Application prior to the City's approval or denial of the License by submitting the Application Withdrawal Form through the DCR Licensing Portal. An Application shall not be considered withdrawn until DCR has consented to its withdrawal in writing. If eligible, an Applicant may re-apply if an Application is withdrawn or abandoned, but the Applicant must file a new Application. DCR shall not refund any fee for a withdrawn or abandoned Application. Withdrawal shall not, unless consented by DCR, deprive DCR of its authority to institute or continue a proceeding against the Applicant for the denial of the License upon any ground provided by law or to enter an order denying the License upon any such ground.
(c) Modifications. Modifications shall not be made to any record, including an Application, License, or Operating Permit, without prior written approval by DCR in accordance with this subsection. For all modifications, an Applicant or Licensee shall submit a modification request on a form provided by DCR through the DCR Licensing Portal and pay the applicable modification request fee pursuant to Section 104.19 within 30 days of the invoice date. After payment, DCR, in its sole discretion, will approve or deny the request. DCR's determination is final and not appealable. If requested, the Applicant or Licensee shall submit any additional information, forms or documents that DCR deems necessary to process the request and pay any additional modification fee(s) pursuant to Section 104.19. Modification requests shall not be processed until all required information, forms, documents, and fees have been submitted. DCR may require Licensees to obtain approval for the proposed modification(s) from the State licensing agency or other applicable agency(ies).
1. Modification Documents. DCR shall require the modification information, documents, and/or forms that are described in the Rules and Regulations for each type of modification request.
2. Business Tax Registration Certificate (BTRC). A BTRC does not constitute a permit, license or authorization to conduct Commercial Cannabis Activity. A BTRC signifies that the Person named on the face of the BTRC has fulfilled the requirements of Article 1 of Chapter II of the Los Angeles Municipal Code by registering with the Director of Finance for the purpose of paying business tax for the classification of business for which the BTRC is issued. A BTRC does not authorize a Person to operate an Unlawful Establishment, to conduct any unlawful business, to conduct any lawful business in an illegal manner, or to conduct within the City the business for which this certificate has been issued without strictly complying with all the provisions of this article.
3. Legal Business Entity Record.
(i) Ownership Structure, Owner, and Primary Personnel Changes. Licensees shall not perform changes to a Person's ownership structure, Owners, Indirect Owners, and/or Primary Personnel without written approval from DCR. Persons formed as corporations, limited partnerships, or limited liability companies shall update their filings with the California Secretary of State prior to submission of the modification request. The Applicant or Licensee shall pay the applicable modification fees pursuant to Section 104.19, as determined by DCR, and submit the following: (1) a copy of the Statement of Information filed with the Secretary of State, if applicable; (2) a copy of the Amended Articles of Organization or Incorporation, if applicable; (3) Ownership and Financial Interest Holder Disclosure Form for all Persons associated with the BTRC, Applicant, or Licensee; (4) organizational chart showing all Owners and Indirect Owners in any multi-layer business structure; and (5) any additional information or documents DCR deems necessary to consider the request. Persons subject to Section 104.20 also shall provide all business records and agreements necessary to demonstrate compliance with the minimum Equity Share requirements.
(A) All Persons with a financial interest in the Applicant or Licensee shall be disclosed to DCR. This includes all Persons in a multi-layer business structure, as well as the chief financial officer, members of the board of directors, partners, trustees, and all Persons who have control of a trust, and managing members or non-members managers of the entity. Each entity disclosed as having a financial interest must disclose the identities of Owners and Indirect Owners until only individuals remain.
(B) After submitting an application under Section 104.06.1, an Applicant shall not be permitted to modify its Application to remove or replace the individual Owner who is the Social Equity Individual Applicant, as defined in Section 104.20(a) or (b).
(C) If DCR determines that the Application, License or Operating Permit has been sold, leased, lent, or otherwise transferred without DCR approval, DCR may abandon the existing Application and require that a new Application be submitted.
(ii) Legal Entity Name Change. Licensees shall not change the legal entity name under which the Person's Application, License, or Operating Permit was submitted or issued without written approval from DCR. The legal entity name can be modified provided that the entity or file number registered with the California Secretary of State, and the BTRC issued to the Person, remain the same. DCR may require that the Applicant or Licensee submit the documents to demonstrate that the changes have been filed with the Secretary of State or approved by the State licensing agency.
(iii) Fictitious Business Name Change. Persons who register a Fictitious Business Name (FBN) with the Los Angeles County Registrar must disclose the FBN. A new FBN, or a change to the existing FBN, must be disclosed by submitting a modification request form. Persons shall submit the necessary documents to demonstrate that the changes have been registered with the Los Angeles County Registrar and the City's Office of Finance.
4. Pre-Application Record. Persons shall not be permitted to modify a Pre-Application Record. Pre-Application Records filed as sole proprietorships may be converted to a different type of legal entity by submitting a new entity on the Temporary Approval or Annual Application information, forms, and documents. The Person identified in the Pre-Application Record may be modified a single time during the application process, after which it may not be further modified and/or amended until a License is issued.
5. Temporary Approval Application. Applicants with pending Temporary Approval Applications may submit only the types of Temporary Approval Application modification requests permitted in the Rules and Regulation. Persons shall not be permitted to sell, lease, lend, or otherwise transfer a Temporary Approval Application.
6. Temporary Approval. Licensees with Temporary Approval may submit only the types of Temporary Approval modification requests listed in Paragraphs (i) - (iii), or as permitted in the Rules and Regulation. Persons shall not be permitted to sell, lease, lend, or otherwise transfer a Temporary Approval. Temporary Approval is not transferable or assignable to another Person unless an Entity Substitution modification request is approved by DCR.
(i) Business Premises Relocation. Licensees shall not relocate Commercial Cannabis Activity without prior written approval by DCR. DCR shall review the relocation request and notify the Licensee if the new proposed Business Premises location complies with Section 104.04(b). If the proposed location complies with Section 104.04(b), Licensees shall: (1) provide a copy of an executed lease or property deed for the new location; (2) provide a landowner acknowledgment that the Licensee has the right to occupy the property for purposes of conducting the Commercial Cannabis Activity associated with the License; (3) provide a Business Premises diagram; and (4) pay the Business Premises Relocation Fee pursuant to Section 104.19. If the relocation is deemed to be a discretionary project under CEQA, compliance with CEQA will follow the procedures in Section 104.06(d).
(A) Licensees authorized to conduct Commercial Cannabis Activities for cultivation (Types 1A, 1C, 2A, 3A, 5A), volatile manufacturing (Type 7), and Storefront Retailer or Microbusiness Commercial Cannabis Activity with on-site sales (Types 10 or 12), may relocate within the same Community Plan Area or to a new Community Plan Area that has not reached Undue Concentration.
(B) Licensees authorized to conduct Commercial Cannabis Activities not identified in Subparagraph (A) may relocate to another location within the City.
(C) Licensees shall meet the Temporary Approval and/or Operating Permit requirements at the new Business Premises before conducting Commercial Cannabis Activity at the new Business Premises. Licensees shall request cancellation of the Temporary Approval issued to the Business Premises from which it seeks to relocate before Temporary Approval or an Operating Permit can be issued for the new Business Premises.
(D) Any Temporary Approval and/or Operating Permit issued for Storefront Retailer or Microbusiness Commercial Cannabis Activity with on-site sales (Types 10 or 12) at the original Business Premises shall expire no later than 180 days from the date the Business Premises Relocation Fee is paid. DCR may grant an extension beyond the initial 180 days by allowing a Licensee to renew, in 90 day increments, a Temporary Approval and/or Operating Permit issued at the prior Business Premises location if it would not prevent DCR from issuing a Temporary Approval and/or Operating Permit to another commercial cannabis business. The original Business Premises for a Licensee approved to relocate shall not be considered for the purposes of distancing requirements under LAMC Section 105.02(a)(1)(B) during the initial 180 day period.
(ii) Physical Modification of Business Premises. Licensees shall not perform interior physical modifications, alterations, additions, or expansions of the Business Premises without written approval from DCR. DCR may require: (1) a copy of an executed lease with proof of a deposit or property deed if the expansion includes additional adjacent units; (2) landowner acknowledgement that the Licensee has the right to occupy the Business Premises; (3) a site plan if the Business Premises diagram has been expanded; (4) any additional documents or information DCR deems necessary to consider the request; and (5) an inspection.
(A) Licensees may increase the cultivation area within the existing Business Premises provided that the resulting cultivation area does not exceed the maximum cultivation area allowed for the license type under which the License was issued.
(iii) Entity Substitutions. A Licensee may submit a request to substitute the entity associated with the License. Licenses may be transferred to a new entity provided a new Application is filed for the new entity, and all required application fees are paid. Any previously-issued License shall be canceled before a License is issued to the new entity. The new entity shall not operate until a new Temporary Approval or Operating Permit has been issued by DCR. An entity substitution request shall include notarized signatures from the Authorized Agent, as defined in DCR's Rules and Regulations, and, if applicable, the Social Equity Individual Applicant(s). If an Authorized Agent has not been designated, notarized signatures are required from a majority of the Owners that own the Applicant or Licensee entity directly without any intervening entities or Persons. If an Owner is an entity, the CEO or President, or equivalent executive position, may sign on behalf of the entity. If the Application or License is subject to the requirements of Section 104.20, the request shall also include a notarized signature from the Social Equity Individual Applicant(s) associated with the Application or License.
7. Annual License Application. Persons shall not be permitted to sell, lease, lend, or otherwise transfer an Annual License Application. An Applicant may submit only the types of the Annual License Application modification requests permitted in the Rules and Regulation.
8. Annual License. Licenses are not transferable or assignable to another Person unless a request is submitted and approved by DCR. Annual Licensees may submit only the Annual License modification request types permitted in the Rules and Regulation.
9. Operating Permit. Operating Permits are not transferable or assignable to another Person. If a Licensee has been issued an Operating Permit for the Business Premises from which it seeks to relocate, the Licensee shall request cancellation of its Operating Permit at the original Business Premises before an Operating Permit for the new Business Premises may be issued. The Licensee shall meet all Temporary Approval or Operating Permit requirements at the new Business Premises prior to conducting Commercial Cannabis Activity. Any Temporary Approval and/or Operating Permit issued for Storefront Retailer or Microbusiness Commercial Cannabis Activity with on-site sales (Types 10 or 12) at the original Business Premises shall expire no later than 180 days from the date the Business Premises Relocation Fee is paid. DCR may grant an extension beyond the initial 180 days by allowing a Licensee to renew, in 90 day increments, a Temporary Approval and/or Operating Permit issued at the prior Business Premises location if it would not prevent DCR from issuing a Temporary Approval and/or Operating Permit to another commercial cannabis business. The original Business Premises for a Licensee approved to relocate shall not be considered for the purposes of distancing requirements under LAMC Section 105.02(a)(1)(B) during the initial 180-day period.
10. Other Modifications. DCR may consider other modifications on a case-by-case basis. The Applicant or Licensee shall submit a modification request form and pay the required modification fees to Section 104.19.
(d) Calculation of Time. Unless otherwise specified, when the final day for the filing of an application or appeal, or the payment of fees, falls on a Saturday, Sunday or City holiday, the time for filing shall be extended to the close of the next Business Day, and the effective or final date of any action, decision or determination shall be extended by the same amount of time.
(e) Payments. Unless otherwise specified, all payments due under this article may be considered timely paid if enclosed in a properly addressed envelope with sufficient postage, deposited in the mail, and postmarked by the payment deadline. Unless otherwise specified, payments also may be considered timely paid if an Applicant or Licensee schedules and confirms a payment appointment with the Office of Finance by the date of the payment deadline, notwithstanding that the payment appointment may occur after the date of the payment deadline.
(f) Abandonment.
1. An Application or modification request may be deemed abandoned if DCR determines, at any time and in its sole discretion, that:
(i) the Application or modification request is incomplete;
(ii) fee payments required under Section 104.19 are not timely paid;
(iii) the Application is not associated with a Business Premises location that complies with Section 105.02(c) and/or the Applicant submits the Business Premises Surrender Form for the location listed on the Application; or
(iv) required information, forms, or documents have not been provided within the time allotted by DCR.
2. Unless another period of time is specified, all required information, forms and/or documents shall be submitted through the DCR Licensing Portal within 30 days, and all fees shall be paid within 30 days of the date of the invoice issuance. DCR shall not refund fees for an abandoned Application or modification request.
(g) Refiling – Social Equity Applications. The Social Equity Individual Applicant associated with a Social Equity Applicant that has an Application abandoned under Section 104.03(f) after January 1, 2022, or a License that expired under Section 104.12, may refile an Application subject to the requirements of this subsection. Applications abandoned after June 30, 2023, may not be refiled unless the Application was filed pursuant to Sections 104.05(a) or 104.06(a). If more than one Social Equity Individual Applicant is listed on the initial Application or License, the refiled Application shall be submitted by the original Social Equity Applicant entity. An Application abandoned after June 30, 2023 must be refiled as an Annual Application unless the Applicant has an active corresponding State provisional license. The refiling process shall be initiated through the DCR Licensing Portal within three (3) years of the date DCR notifies the Social Equity Applicant by electronic mail that the original Application is abandoned or the License expired.
1. To refile, the Applicant shall submit a new Pre-Application Record pursuant to Section 104.03(a). If DCR determines that the proposed Business Premises location complies with Section 104.04(b), within one (1) calendar year of the date DCR notifies the Applicant by electronic mail that the Pre-Application Record is eligible for further processing, the Applicant shall submit an Application with all required information, forms, and documents, including all business records and agreements necessary to demonstrate that the Social Equity Individual Applicant(s) owns the minimum Equity Share required under Section 104.20(a)(2). If a Pre-Application Record filed pursuant to this subsection is ineligible, the Applicant shall be permitted to submit a new Pre-Application Record(s) identifying new Business Premises location(s), subject to the payment of any applicable fee in Section 104.19, and provided that the new Pre-Application Record(s) is submitted within the original three (3) year time limitation.
2. The refiled Application may not seek authorization to conduct any Commercial Cannabis Activities that were not listed in the original Application. A refiled Application is not subject to a finding of Undue Concentration provided it is refiled in the same Community Plan Area as the original Application or a Community Plan Area that has not reached Undue Concentration. Applications originally subject to a finding of public convenience or necessity under Section 104.03(a)(1) shall be refiled at the same proposed Business Premises.
3. A refiled Application that is later deemed abandoned for any reason may not be refiled.
4. An Application abandoned, for any reason, prior to January 1, 2022, may not be refiled.
5. An Application previously denied, denied by operation of law, or deemed ineligible for further processing may not be refiled.
(h) Refiling – General Applications. Provided that the Applicant is not subject to the provisions of Section 104.20, an Applicant may refile an Application subject to the requirements of this subsection if the Application was deemed abandoned under Section 104.03(f) after January 1, 2022. An Applicant also may refile an Application subject to the requirements of this subsection if the Applicant possessed a License that expired under Section 104.12. Applications abandoned after June 30, 2023, may not be refiled unless the Application was deemed filed pursuant to Sections 104.05(a) or 104.06(a). An Application abandoned after June 30, 2023 must be refiled as an Annual Application unless the Applicant has an active corresponding State provisional license. The refiling process shall be initiated through the DCR Licensing Portal within three (3) years of the date DCR notifies the Applicant by electronic mail that the original Application is abandoned or expired.
1. To refile, the Applicant shall submit a new Pre-Application Record pursuant to Section 104.03(a). If DCR determines the proposed Business Premises location complies with Section 104.04(b), the Applicant shall submit an Application with all required information, forms and documents within one (1) calendar year of the date DCR notifies the Applicant by electronic mail that the Pre-Application Record is eligible for further processing. If a Pre-Application Record filed pursuant to this subsection is ineligible, the Applicant shall be permitted to submit a new Pre-Application Record(s) identifying new Business Premises location(s), subject to the payment of any applicable fee in Section 104.19, and provided that the new Pre-Application Record(s) is submitted within the original three (3) year time limitation.
2. The refiled Application may not seek authorization to conduct any Commercial Cannabis Activities that were not listed in the original Application. A refiled Application is not subject to a finding of Undue Concentration provided it is refiled in the same Community Plan Area as the original Application or a Community Plan Area that has not reached Undue Concentration. Applications originally subject to a finding of public convenience or necessity under Section 104.03(a)(1) shall be refiled at the same proposed Business Premises.
3. A refiled Application that is later deemed abandoned for any reason may not be refiled.
4. An Application abandoned, for any reason, prior to January 1, 2022, may not be refiled.
5. An Application previously denied, denied by operation of law, or deemed ineligible for further processing may not be refiled.
(i) Processing Timeframes. Application and modification processing shall occur within the timeframes specified in this subsection. Processing timeframes begin upon the filing of the relevant Application or modification record, i.e., the submission of all required and completed information, forms, and documents through the DCR Licensing Portal for that particular Application or modification process, and the payment of all relevant fee(s) pursuant to Section 104.19 for that Application or modification process. Processing timeframes shall be automatically suspended when DCR's personnel vacancy rate is 20% or higher.
1. Pre-Application Record Processing.
(i) Within 10 days of the submission of a Pre-Application Record through the DCR Licensing Portal, DCR shall issue the Applicant a Pre-Application Review Fee invoice. Pre-Application Records shall comply with the requirements in the Rules and Regulations.
(ii) Within 30 days of the filing of a Pre-Application Record, DCR shall determine whether the Applicant's proposed Business Premises complies with Section 104.04(b) and notify the Applicant of DCR's determination by electronic mail.
(iii) If the Applicant's Business Premises complies with Section 104.04(b), the Applicant shall submit a Temporary Approval Application or Annual License Application through the DCR Licensing Portal in accordance with subdivision 2. The Pre-Application Record will be deemed abandoned if a Temporary Approval Application or Annual License Application is not timely submitted.
2. Temporary Approval Processing.
(i) The Applicant shall submit a Temporary Approval Application through the DCR Licensing Portal, including all required information, forms, and documents, within one (1) calendar year of the date DCR notifies the Applicant by electronic mail that the Pre-Application Record is eligible for further processing. Temporary Approval Application records shall comply with the requirements in the Rules and Regulations. The Applicant shall submit payment of the Temporary Approval Fee(s), pursuant to Section 104.19, by the date listed on the invoice.
(ii) Within 60 days of the filing of a Temporary Approval Application through the DCR Licensing Portal, DCR shall determine if the Temporary Approval Application is complete.
(A) If the Applicant files a modification request through the DCR Licensing Portal within 60 days of the submission of a Temporary Approval Application, DCR shall review the modification request within 30 days of the filing of the modification request, and, if approved, complete its review of the Temporary Approval Application within 60 days of the approval of the modification request.
(B) Once DCR completes its review of the Temporary Approval Application, an Applicant may submit only the modification request types permitted in the Rules and Regulation until a License is issued.
(iii) If DCR determines that the Temporary Approval Application is complete, DCR shall update the Application status to "Local Compliance Underway" within seven (7) days of its determination. If DCR determines there are any deficiencies in the Temporary Approval Application, DCR shall notify the Applicant by electronic mail of the specific information, forms or documents required by DCR, and the Applicant shall provide the required information, forms or documents through the DCR Licensing Portal within 30 days of that notification. Within 30 days of an Applicant's submission of the required additional information, forms or documents through the DCR Licensing Portal, DCR shall complete its follow-up review.
(iv) Within 45 days of a request for an Initial Inspection through the DCR Licensing Portal, DCR shall conduct the Initial Inspection.
(v) Within 15 days of an Applicant passing the Initial Inspection or DCR determining that all Temporary Approval information, forms and documents are submitted and complete, whichever occurs last, DCR shall issue Temporary Approval.
3. Relocation Modification Processing.
(i) Within 15 days of the submission of a relocation request through the DCR Licensing Portal, DCR shall issue the Licensee an invoice for the Business Premises Relocation Fee.
(ii) Within 30 days of the filing of a relocation request, DCR shall determine whether the proposed Business Premises complies with Section 104.04(b) and shall notify the Licensee of DCR's determination by electronic mail. If DCR determines that the proposed Business Premises complies with Section 104.04(b), the Licensee may submit a new Temporary Approval Application for the new Business Premises.
4. Ownership Modification Processing.
(i) Within 15 days of the submission of an ownership modification request through the DCR Licensing Portal, DCR shall issue the Applicant or Licensee an invoice for the applicable modification fee(s) pursuant to Section 104.19.
(ii) Within 30 days of the filing of an ownership modification request, DCR shall grant or deny the modification request and notify the Applicant or Licensee of DCR's determination by electronic mail. If DCR determines that the proposed ownership modification violates any provision of this article or the Rules and Regulations, upon notice from DCR, the Applicant or Licensee shall be permitted to further amend its request within 30 days to correct any deficiencies, if possible.
(iii) If all Owners are transferring their ownership interest, the Applicant or Licensee shall resubmit all Application information, forms and documents, and pay all required fees, within 30 days of the date DCR notifies the Applicant or Licensee by electronic mail that the modification request is approved.
5. Entity Substitution Processing.
(i) Within 15 days of the submission of a modification request to substitute the Applicant or Licensee listed on an Application, License or Operating Permit through the DCR Licensing Portal, DCR shall issue the Applicant or Licensee an invoice for the applicable modification fee(s) pursuant to Section 104.19.
(ii) Within 30 days of the filing of a modification request to substitute the Applicant or Licensee, DCR shall approve or deny the modification request. If DCR approves the modification request, the Applicant or Licensee shall submit a new Application and all required information, forms and documents for the new Applicant entity within 30 days of the date DCR notifies the Applicant by electronic mail that the modification request is approved. Once a new Application is filed, upon request from the State, DCR shall update the Application status to "Local Compliance Underway."
(iii) DCR shall not issue a Temporary Approval, License, or Operating Permit to the new Applicant entity until it meets the relevant requirements. If the original Licensee has been issued a License or Operating Permit, it shall request cancellation of that License or Operating Permit before a License or Operating Permit may be issued to the new Applicant entity. The original Licensee may continue to conduct Commercial Cannabis Activity until the License expires or the original Licensee requests cancellation of the License issued to it, whichever is earlier.