Findings for SU based upon Nye County Code Chapter Medical Marijuana Establishments:

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2 Nye County BOCC Public Hearing Staff Report; SU July 16, 2014 Page 2 of 5 Findings for SU based upon Nye County Code Chapter Medical Marijuana Establishments: The application is a complete submittal which includes all required documents such as a site plan, business plan, etc. At the time the application was submitted, the proposed use is not located within a zoning district which allows for medical marijuana establishments (if applicable). However, there is a pending Zone Change application (ZC ) for the Business Opportunity Overlay Zone, which is scheduled for final action by the BOCC at the July 15, 2014 meeting. The subject property is designated as Low Density Residential within the adopted 2003 Pahrump Regional Planning District Master Plan as amended; the Low Density Residential designation is intended to allow for single family residential on lots with one acre minimum lot sizes. The proposed use complies with all distance separation requirements (separation from schools, parks, churches, etc.). The applicant has submitted a straight-line drawing prepared by a licensed surveyor, showing the separations of 300 to any residential use; 300 to a community use; and 1,000 to a school. There are no residential uses, community uses or schools within each of their respective boundaries. Scoring Findings: 1. Criteria: A sufficient and viable financial plan has been submitted showing the resources of the applicant and proof the applicant has adequate funds to support the business plan as presented. Finding: The application submitted provides a financial plan which identifies the resources of the applicant in order to demonstrate adequate funds to support the applicant s business plan. 2. Criteria: A sufficient and viable electronic verification system, inventory control system, and measures for adequate building security and fire protection have been presented. Finding: The applicant has stated they will utilize the Agrisoft cannabis tracking system for inventory control. The applicant has also submitted a detailed operations manual for security, inventory control, employee training, and processing operations for the various products provided. A discussion or narrative of fire protection and suppression was not discussed in the documentation provided. This property is outside any utility tariff area and it will be served by an onsite well. There are no hydrants in the immediate vicinity to provide adequate fire flow to this property. 3. Criteria: An adequate transportation plan that addresses product security during the transport of medical marijuana from seed to sale has been presented. Finding: The application submitted provides operations manuals including a transportation plan, indicating product will only be transported by registered medical marijuana establishment agents, utilizing Transport Tracking Logs. Vehicles will have locked, secured compartments for product transport to protect against contamination, theft or deterioration, and it will not be visible from outside the vehicle. There will be no identifying markings on the transport vehicles. 4. Criteria: The capability to provide safe and secure packaging of medical marijuana products that would assist in reducing the exposure of children to the dangers of medical marijuana has been presented. Finding: The application provided an operations manual with a detailed section covering packaging, labeling, tracking and documentation, which will be instrumental in reducing exposure to children and underage or illegal sales.

3 Nye County BOCC Public Hearing Staff Report; SU July 16, 2014 Page 3 of 5 5. Criteria: The design of the proposed establishment will have a professional appearance and will be compatible with the existing or future uses in the proposed area of development. Finding: The proposed facility is an existing greenhouse constructed in 1959 with two pre-fabricated metal buildings from 1974 and The subject property has the potential to be of a professional appearance, but there was not enough information provided to make a determination. The site plan submitted with the application does not provide elevations and there was no narrative discussing design standards, surfacing, textures or color palettes, etc. The application documentation provided does state that this facility will be maintained and conducted in a clean and professional manner. 6. Criteria: Crime or other factors in the area of the proposed medical marijuana establishment do not pose an undue threat to the security of the proposed establishment, its product, employees or prospective patrons. Finding: The subject property is located in a very low density residential area. Based upon the operations manuals provided for security, intrusion detection and transport of the product, it appears this facility will be secure and the location will not pose an undue threat to the security of the facility. 7. Criteria: (For dispensaries only) The proposed dispensary will provide convenient access to those authorized to use medical marijuana, and will allow for the sufficient distribution of marijuana for medical use. Finding: Not applicable to this application. LAND USE MATRIX CURRENT ZONING (if applicable) LAND USE PLAN DESIGNATION (PRPD Master Plan, Nye County Comprehensive/Master Plan, Amargosa Valley Area Plan) CURRENT LAND USE SITE Rural Homestead (RH-4.5) Low Density Residential Agricultural Operation NORTH Rural Homestead (RH-4.5) Low Density Residential Single Family Residential and Vacant SOUTH Brothel (BR) General Commercial Brothel and Vacant EAST Rural Homestead (RH-4.5) Low Density Residential Agricultural Operation WEST Rural Homestead (RH-4.5) Mixed Use Single Family Residential and Agriculture External Comments: The Town of (Pahrump, Amargosa Valley, Tonopah) has been notified of this application. All owners of property located within 300 feet, and all owners of the 30 nearest parcels to the subject property have been notified of this application. Staff has received no letter(s) in support or opposition of the application at the time of publication. ANALYSIS Application Details: This application is a request for approval of a special use permit for a medical marijuana establishment (production) in a Rural Homestead Residential (RH-4.5) zoning district located in Pahrump. Approval of a Special Use Permit requires a simple majority vote of the Board.

4 Nye County BOCC Public Hearing Staff Report; SU July 16, 2014 Page 4 of 5 Zoning: The subject property is zoned Rural Homestead Residential (RH-4.5), which is not a zoning district which allows for medical marijuana establishments according to Nye County Code Section There is a pending Zone Change application (ZC ) to change the property to the Business Opportunity Overlay (BO) Zoning District. This application is scheduled for final action with the Board of County Commissioners at their July 15, 2014 meeting. Should this Zone Change application be approved by the Board, this property will have the appropriate zoning district to allow medical marijuana establishments. Distance Separations: The applicant has submitted a statement and a straight-line drawing indicating that the proposed use complies with all distance separation requirements (separation from schools, parks, churches, etc.). MANDATORY CONDITIONS OF APPROVAL The approval of any special use permit authorizing the operation of a medical marijuana establishment must contain at a minimum the following conditions: 1. The special use permit grantee must provide to the Nye County Planning Director a copy of the registration certificate issued by the State of Nevada prior to commencing operations. 2. The establishment must continue to meet all requirements for a medical marijuana establishment to qualify for and maintain its certificate of registration as set forth by State law. 3. The establishment must comply with all operating procedures required by State law. 4. The establishment must prohibit anyone from consuming marijuana on the premises. 5. If the establishment has signage, the signage shall be limited to one wall sign not to exceed two square feet in size. 6. The establishment must prohibit anyone under the age of eighteen years on the premises. 7. The establishment must prohibit medical marijuana activities including, without limitation, cultivating, growing, processing, displaying, selling or storage from being conducted outdoors. 8. All cultivation or production of marijuana that a cultivation facility carries out or causes to be carried out must take place in an enclosed facility. 9. The establishment must prevent medical marijuana or paraphernalia from being displayed or kept in a manner that is visible from outside the facility. 10. The establishment must install security surveillance cameras that monitor all entrances, along with the interior and exterior of the premises. Recordings from these cameras must be maintained in a retrievable manner for at least 90 days from the date recorded. 11. The establishment must install and maintain in good working condition robbery and burglary alarm systems. 12. The establishment must post a legible sign inside the facility stating that: a. The use or distribution of marijuana is a violation of federal law. b. The possession, use, or distribution of marijuana for non-medical purposes is a violation of state law. c. Consumption of marijuana on the premises is prohibited. d. No one under the age of eighteen years is permitted on the premises. 13. The special use permit grantee shall record a notarized affidavit in which the grantee acknowledges that the operation of a medical marijuana establishment is a violation of federal law. 14. The special use permit grantee shall record a notarized statement in which the grantee agrees to hold Nye County harmless against any federal law enforcement actions that may result from the activities of the medical marijuana establishment that is the subject of the special use permit.

5 Nye County BOCC Public Hearing Staff Report; SU July 16, 2014 Page 5 of 5 SPECIAL CONDITIONS OF APPROVAL 15. If the State of Nevada, Division of Public and Behavioral Health, issues a Medical Marijuana Establishment (MME) Provisional Registration Certificate for the establishment for which the special use permit was granted by December 31, 2015, then the establishment must commence operations within 18 months of the date of issuance of the Provisional Registration Certificate otherwise the special use permit will expire. If the State of Nevada does not issue a MME Provisional Registration Certificate for the establishment for which the special use permit was granted by December 31, 2015 the special use permit will expire. 16. Property owner/applicant/grantee shall obtain all required local and state approvals, building permits, plan reviews, inspections, etc., for the establishment. 17. The special use permit grantee shall provide to the Planning Department prior to commencement of the establishment a copy of the recorded notarized affidavit in which the grantee acknowledges that the operation of the medical marijuana establishment is a violation of federal law. 18. The special use permit grantee shall provide to the Planning Department prior to commencement of the establishment a copy of the recorded notarized statement in which the grantee agrees to hold Nye County harmless against any federal law enforcement actions that may result from the activities of the medical marijuana establishment.

6 Orville St Squaw Valley Rd Board of County Commissioners -- Seid & Settlemeyer, Owner -- CW Nevada, LLC, Applicant BOCC HEARING JUL SU Begonia St Wall St Camellia St Homestead Rd Tillman St Silver St Ë EXHIBIT "A" -- AREA ZONING NOTIFIED PROPERTIES 900 FOOT BUFFER RH 4.5: Rural Homestead Residential RE-2; Rural Estates Residential GC; General Commercial R; Reserve BR; Brothel DEPARTMENT OF PLANNING Pahrump Regional Planning District (PRPD) The information shown hereon is approximate and for exhibit use only. Nye County is not responsible for any claims, injuries or liabilities resulting from the use of htis document beyond the prupose for which it is intended. This drawing is not to scale.

7 Orville St Squaw Valley Rd Board of County Commissioners -- Seid & Settlemeyer, Owner -- CW Nevada, LLC, Applicant BOCC HEARING JUL SU Begonia St Wall St Camellia St Homestead Rd Tillman St Silver St Ë EXHIBIT "B" -- MASTER PLAN CATEGORIES NOTIFIED PROPERTIES 900 FOOT BUFFER LDR: Low Density Residential GC: General Commercial BLM: Bureau of Land Management MU: Mixed Use DEPARTMENT OF PLANNING Pahrump Regional Planning District (PRPD) The information shown hereon is approximate and for exhibit use only. Nye County is not responsible for any claims, injuries or liabilities resulting from the use of htis document beyond the prupose for which it is intended. This drawing is not to scale.

8 Board of County Commissioners -- Seid & Settlemeyer, Owner -- CW Nevada, LLC, Applicant BOCC HEARING JUL SU Begonia St Camellia St Homestead Rd Tillman St Squaw Valley Rd Wall St Orville St Silver St Ë EXHIBIT "C" -- AERIAL PERSPECTIVE NOTIFIED PROPERTIES 900 FOOT BUFFER DEPARTMENT OF PLANNING Pahrump Regional Planning District (PRPD) The information shown hereon is approximate and for exhibit use only. Nye County is not responsible for any claims, injuries or liabilities resulting from the use of htis document beyond the prupose for which it is intended. This drawing is not to scale.

9 Board of County Commissioners -- Seid & Settlemeyer, Owner -- CW Nevada, LLC, Applicant BOCC HEARING JUL SU Tillman St Ë EXHIBIT "D" -- CLOSE UP AERIAL DEPARTMENT OF PLANNING Pahrump Regional Planning District (PRPD) The information shown hereon is approximate and for exhibit use only. Nye County is not responsible for any claims, injuries or liabilities resulting from the use of htis document beyond the prupose for which it is intended. This drawing is not to scale.