2013/10/16 Council Agenda Packet

7 License Limits o Licensed entity or principals limited to three producer licenses o Licensed entity or principals limited to three processor licenses o Licensed entity or principals limited to three retail licenses. Multiple-location licensees not allowed to hold more than 33 percent of the allowed licenses in any county or city. Production Limits o The maximum amount of space for marijuana production is limited to two million square feet. o Applicants must designate on their operating plan the size category of the production premises and the actual square footage in their premises that will be designated as plant canopy.There are three categories: O Tier 1:Less than 2,000 square feet; O Tier 2:2,000 square feet to 10,000 square feet; O Tier 3: 10,000 square feet to 30,000 square feet. o The LCB may reduce a licensee's or applicants'square footage designated to plant canopy for the following reasons: If the total amount of square feet for production of all licensees exceeds the two million square feet maximum,the LCB will reduce the allowed square footage by the same percentage. • If 50 percent production space used for plant canopy in the licensee's operating plan is not met in the first year of operation,the board may reduce the tier of licensure. O If the total amount of square feet of marijuana production exceeds two million square feet,the LCB may reduce all licensees' production by the same percentage or reduce licensee production by one or more tiers by the same percentage. o Maximum Allowable Amount on Licensed Location o Producer license • Outdoor or greenhouse: 125 percent of its year's harvest 2 Indoor:six months of its annual harvest o Processor license • Six months of their average useable marijuana(plant material); and O Six months average of their total production (finished product). o Retailer license ▪ Four months of their average inventory O Licensed Location: 1'000 foot Measurement o Distance will be measured along the most direct route over or across established public walks, streets, or other public passageway between the proposed building/business location to the perimeter of the grounds of: an elementary or secondary school, playground, recreation center or facility,child care center, public park,public transit center, library or arcade where admission is not restricted to those age 21 and older. A Costs and Fees o $250 application fee o $1,000 annual renewal fee o Additional fees for background check and filing for local business license v Taxes o License applicants must submit a signed attestation that they are current on taxes owed to the Washington State Department of Revenue September 4,2013 33