§ 5002. Annual License Application Requirements
(a) Applications may be completed and submitted online at www.bcc.ca.eov or completed in hard copy and submitted by delivering a printed copy to the Bureau’s office(s).
(b) Applicants who submit their applications online shall first register for a user account. To register for a user account, the applicant shall do all of the following:
(1) Create a user name, password, and security question and answer;
(2) Provide an email address; and
(3) Provide the owner’s first and last name, primary phone number, social security number or individual taxpayer identification number, date of birth, and mailing address.
(c) An application must be completed by an owner as defined by section 5003 of this division. An application must be submitted to the Bureau for each cannabis license applied for. An application for an annual cannabis license includes the following:
(1) The name of the applicant. For applicants who are individuals, the applicant shall provide both the first and last name of the individual. For applicants who are business entities, the applicant shall provide the legal business name of the applicant.
(2) If applicable, the business trade name (“DBA”) of the applicant.
(3) The license type the applicant is applying for, including A-license ar M-License designation for all license types other than testing laboratories.
(4) Payment of an application fee pursuant to section 5014 of this division.
(5) Whether the owner is serving or has previously served in the military. Disclosure of military service is voluntary. An applicant who has served as an active duty member of the Armed Forces of the United States and was honorably discharged and who can provide evidence of such honorable discharge shall have his or her application expedited pursuant to Business and Professions Code section 115.4.
(6) A list of the license types and the license nwnbers issued from the_ Bureau and all other state cannabis licensing authorities that the applicant holds, including the date the license was issued and the licensing authority that issued the license.
(7) Whether the applicant has been denied a license or has had a license suspended ar revoked by the Bureau or any other state cannabis licensing authority. The applicant shall provide the type of license applied for, the name of the licensing authority that denied the application, and the date of denial
(8) The physical address of the premises.
(9) The mailing address for the applicant, if different from the premises address.
(10) The telephone number for the premises.
(11) The website address and email address of the applicant’s business.
(12) The business’ federal employer identification. number.
(13) Contact information for fhe applicants designated primary contact person including the name, title, phone number, and email address of the individual.
(14) A description of the business organizational structure of the applicant, such as partnership or corporation.
(15) The business-formation documents, which may include, but are not limited to, articles of incorporation, operating agreements, partnership agreements, and fictitious business name statements. The applicant shall also provide all documents filed with the California Secretary of State, which may include, but are not limited to, articles of incorporation, certificates of stock, articles of organization, certificates of limited partnership, and statements of partnership authority.
(16) A list of every fictitious business name the applicant is operating under including the address where the business is located.
(17) A commercial cannabis business that is a foreign corporation shall include in its application the certificate of qualification issued by the Secretary of State of California.
(18) The applicant shall supply the following financial information:
(A) A list of funds belonging to the applicant held in savings, checking, or other accounts maintained by a financial institution. The applicant shall provide, for each account, the financial institution’s name, the financial insfitution’s address, account type, account number, and the amount of money in the account.
(B) A list of loans made to the applicant. For each loan, the applicant shall provide the amount of the loan, the date of the loan, terms) of the loan, security provided for the loan, and the name, address, and phone number of the lender.
(C) A list of investments made into the applicant’s commercial cannabis business. For each inveshnent, the applicant sha11 provide the amount of the investment, the date of the inveshnent, terms) of the investment, and the name, address, and phone number of the investor.
(D) A list of all gifts of any kind given to the applicant for its use in conducting commercial cannabis activity. For each gift, the applicant shall provide the value of the gift or description of the gift, and the name, address, and phone number of the provider of the gift.
(19) A complete list of every individual who has a financial interest in the commercial cannabis business as defined in section 5004 of this division, who is not an owner as defined in Business and Professions Code section 26001(al).
(20) A complete list of every owner of the applicant as defined in Business and Professions Code section 26001(al). Each individual named on this Hst shall submit the following information:
(A) The full name of the owner.
(B) The owner’s title within the applicant entity.
(C) The owner’s date of birth andplace of birth.
(D) The owner’s social security number or individual taxpayer identification number.
(E) The owner’s mailing address. (
F) The owner’s telephone number. This may include a number for the owner’s home, business, or mobile telephone.
(G) The owner’s email address.
(H) The owner’s current employer.
(I) The percentage of the ownership interest held in the applicant enrity by the owner.
(J) Whether the owner has an ownership or a financial interest as defined in sections 5003 and 5004, respecfively, of this division in any other commercial cannabis business licensed under the Act.
(K) A copy of the owner’s government-issued identification. Acceptable forms o£identification are a document issued by a federal, state, county, or municipal government that includes the name, date of birth, physical description, and pichue of the person, such as a driver license.
(L) A detailed description of the owner’s convictions. A conviction within the meaning of this section means a plea or verdict of guilty or a conviction following a plea of polo contendere. Convictions dismissed under Penal Code section 1203.4 or equivalent non-California law must be disclosed. Convictions dismissed under Health and Safety Code section 11361.8 or equivalent non-California law must be disclosed. Juvenile adjudications and traffic infractions under $300 that did not involve alcohol, dangerous drugs, or controlled substances do not need to be included. For each conviction, the owner shall provide the following:
(i) The date of conviction.
(ii) Dates of incarceration, if applicable.
(iii) Dates of probation, if applicable.
(iv) Dates. of parole, if applicable,
(v) A detailed description of the offense for which the owner was convicted.
(vi) A statement of rehabilitation for each conviction. The statement of rehabilitation is to be written by the owner and may contain evidence that the owner would like the Bureau to consider that demonstrates the owner’s fitness for licensure. Supporting evidence may be attached to the statement of rehabilitation and may include, but is not limited to, a certificate of rehabilitation under Penal Code section 4852.01, and dated letters of reference from employers, instructors, or professional counselors that contain valid contact information for the individual providing the reference.
(M) If applicable;a detailed description of any suspension of a commercial cannabis license, revocation of a commercial cannabis license, ar sanctions for unlicensed commercial cannabis activity by a licensing authority orlocal agency against the applicant or a business entity in which the applicant was an owner or officer within the three years immediately preceding the date of the application.
(N) Attestation to the following statement: Under penalty of perjury, I hereby declare that the information contained within and submitted with the application is complete, true, and accurate. I understand that a misrepresentation of fact is cause for rejection of this application, denial of the license, or revocation of a license issued.
(21) Evidence that the applicant has the legal right to occupy and use the proposed location that complies with section 5007 of this division. (22) Evidence that the proposed premises is in compliance with Business and Professions Code section 26054(b).
(23) For an applicant with 20 or more employees, the applicant shall attest that the applicant has entered into a labor peace agreement and will abide by the terms of the agreement, and the applicant shall provide a copy of the agreement to the Bureau. For applicants who have not yet entered into a labar peace agreement, the applicant shall provide a notarized statement indicating that the applicant will enter into and abide by the terms of a labor peace agreement.
(24) The applicant shall provide a valid seller’s permit number issued by the California Department of Tas and Fee Administration, if applicable. If the applicant has not yet received a seller’s permit, the applicant shall attest that the applicant is currently applying for a seller’s permit.
(25) A diagram of the premises as required by section 5006 of this division.
(26) Proof of a bond as required by section 5008 of this division.
(27) For testing laboratory applications, the certificates) of accreditation as required by section 5702 of this division, or the information required for a provisional license as required by section 5703 of this division.
(28) When an applicant provides a license, permit, or other authorization from the local jurisdiction where the licensed premises will be or is located, the Bureau will notify the applicable local jurisdiction to confine the validity of the authorization. If the local jurisdiction does. not.respond within l0 calendar days, the Bureau shall consider the authorization valid.
(29) All licensee applications shall include a detailed description of the applicant’s operating procedures including the following (if applicable):
(A) Transportation Procedures
(i) A description of the applicant’s procedure far transportation of cannabis goods, including whether or not the applicant will be transporting cannabis goods or contracting for transportation services.
(i) A description of the applicant’s procedure for receiving shipments of inventory:
(ii) Where the applicant’s inventory will be stored on the premises and how records of the inventory will be maintained.
(iii) The applicants procedure for performing inventory reconciliation and for ensuring that inventory records are accurate.
(C) Non-Laboratory Quality Control Procedures
(i) The applicant’s procedures for preventing the deterioration of cannabis goods held by the applicant.
(ii) The applicant’s procedures for ensuring that cannabis goods aze properly packaged and labeled prior to retail sale.
(iii) The applicant’s procedures for ensuring that licensed testing laboratory samples and analyzes cannabis goods held by the applicant
(D) Security Procedures
(i) The applicant’s procedure for allowing individuals access to the premises.
(ii) A description of the applicants video surveillance system including camera placement and procedures for the maintenance of video surveillance equipment.
(iii) How the applicant will ensure that all access points Yo the premises will be secured, including the use of security personnel.
(iv) A description of the applicant’s security alarm system.
(30) For applicants applying for a microbusiness license, the application shall include a detailed description of the applicant’s operating procedures required by this section for each cannabis activity the applicant intends. to engage in.
(31) For applicants applying for a testing laboratory license, in addition to the operating procedures required under subsection (c)(29) of this section, the standard application shall include the operating procedures required by chapter 6 of this division.
(32) The limited waiver of sovereign immunity required by section 5009 of this division, if applicable.
(33) Evidence of exemption from, or compliance with, the California Environmental Quality Act as required by section 5010.
Proposed Regs. – October 19, 2018
Proposed subsection (c)(15) has been amended to clarify that all business formation documents must be provided to the Bureau to ensure the Bureau can properly evaluate the application. Additionally, the subsection has been amended to include bylaws in the list of business-formation documents that must be provided. This modification was necessary to clarify that the Bureau considers bylaws to be a part of the business-formation documents that must be disclosed with the application. The subsection was also amended to clarify that for a commercial cannabis business held in trust, the applicant shall provide the certificate of trust establishing trustee authority. The subsection previously stated the applicant shall provide a copy of the trust. The amendment clarifies the specific document that must be provided.
Subsection (c)(17) has been amended to include foreign limited liability company to account for this type of business structure. The subsection has also been amended to include a certificate of registration or certificate of status in addition to a certificate of qualification. The Bureau determined that not all foreign business entities would have a certificate of qualification, and thus amended the section to include the other certificates that a foreign corporation is issued by the Secretary of State. This subsection also made a grammatical change which amended “Secretary of State of California” to “California Secretary of State,” and replaced “the” with “a.”
Subsections (c)(19) and (c)(20) have been amended to reflect the appropriate cross reference to section 5003. This change was necessary to assure that the reader may accurately cross reference the appropriate language.
Subsection (c)(27) amends the term “provisional” to “interim” license for testing laboratories. This change is necessary to avoid terminology confusion due to a recent change in legislation that created a provisional license category for all commercial cannabis licensees.
Subsection (c)(29) incorporates by reference several forms to which changes have been made, including updating the “7/18” date to “10/18” for all of the forms to reflect the date the forms were amended. The Transportation Procedures Form, BCC-LIC-015 (New 10/18) was amended to correct for typographical and grammatical errors. Specifically, section 2(d) was amended to correct the spelling of “responsibilities,” and section 2(g) was amended to correct for the removal of a comma after “parcel of land.”
The Non-Laboratory Quality Control Procedures Form, BCC-LIC-017 (New 10/18) was amended to correct for typographical and grammatical errors. Specifically, section 1(a) was amended to correct the spelling of “transferring,” and section 1(b) was amended to correct the spelling of “verifying”, and to make a grammatical correction of adding “and” between primary panel labeling and informational panel labeling, to indicate that these are both inclusive in the materials to be verified. Section 1(d) was also amended to make consistent the heading format, and (1)(d)(i) was amended to correct the spelling of “including.”
The Security Procedures Form, BCC-LIC-018 (New 10/18) was amended to correct for typographical and grammatical errors. Specifically, section 3(b) was amended to correct a typographical error that omitted language that was intended to be included. Language was added to complete the sentence in its entirety so as to clarify to applicants that the description to be provided under this subsection is pertaining to how the applicant will ensure that only authorized persons have access to the licensed premises and its licensed access areas. Section 5(f) was amended to correct a typographical error that omitted language that was intended to be included. Language was added to complete the sentence in its entirety so as to clarify to applicants that the description to be provided under this subsection is pertaining to how the applicant will produce copies of video recordings at the licensed premises immediately upon request by the Bureau. Section 7(e) was amended to correct a typographical error that omitted language that was intended to be included. Language was added to complete the sentence in its entirety so as to clarify to applicants that the description to be provided under this subsection is pertaining to how the applicant will be sharing the alarm system with other licenses (when sharing services at the same location), if applicable.
The Cannabis Waste Management Procedures Form, BCC-LIC-019 (New 7/18) has been removed to no longer require cannabis waste management procedures be submitted to the Bureau. Due to changes made to the sections on cannabis waste, this section is no longer necessary.
The Delivery Procedures Form, BCC-LIC-020 (New 10/18) was amended to correct for typographical and grammatical errors. Specifically, section 1 was amended to correct for the removal of a comma after “Provide” starting in the second sentence. This section was also renumbered to subsection (c)(29)(E) based on the removal of a subsection.
Subsection (c)(33) has been amended to add additional references to sections related to the California Environmental Quality Act for clarity. The section has also been amended to correct a grammatical error.
Subsection (c)(34) has been added to require applicants to provide their State Employer Identification Number (SEIN) issued by the California Employment Development Department. This number is necessary to ensure that all applicants that are required to obtain such a number have obtained it and are thus, in compliance with California law.
Subsection (c)(35) has been added to require applicants with more than one employee, to attest that they currently employ, or will employ within one year of receiving a license, at least one supervisor and one employee who have successfully completed a Cal-OSHA 30-hour general industry outreach course offered by a training provider that is authorized by an OSHA Training Institute Education Center. This addition is necessary to align with approved and filed Assembly Bill 2799, amending Business and Professions Code section 26051.5 to include such a requirement. This will also provide the Bureau a comprehensive application and the necessary attestations to ensure that the applicant is fit for licensure.