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Nye County BOCC Public Hearing Staff Report; SU-14-0015 July 16, 2014 Page 2 of 5 Findings for SU-14-0015 based upon Nye County Code Chapter 17.06 Medical Marijuana Establishments: The application is a complete submittal which includes all required documents such as a site plan, business plan, etc. The proposed use is located within a zoning district which allows for medical marijuana establishments. The subject property is designated as Heavy Industrial within the adopted 2003 Pahrump Regional Planning District Master Plan-as amended; the Heavy Industrial designation is intended to provide areas allowing for manufacturing, production, wholesale trade, storage yards, and similar uses. The proposed use (dispensary) complies with all distance separation requirements (separation from schools, parks, churches, etc.), or, a waiver from such separation requirements has been granted by the Board. The applicant has submitted a straight-line drawing prepared by a professional land surveyor along with written certification that the proposed use meets all separation requirements. 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: A proforma financial for Start-Up Year 1 has been provided, showing projected revenue, labor expenses, operating expenses, maintenance costs, insurance, taxes, etc. 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: A detailed dispensary operations plan has been provided which includes information on record keeping, secured access, employee training, audits/inventory control, visitor procedures, etc. Application indicates that BioTrack THC cannabis tracking software will be utilized across all aspects of the proposed operations from cultivation through customer sale. Comprehensive information about the features of the BioTrack THC software are included. The system tracks and records the entire life cycle of the product. All customer data will be tracked in the system. A detailed security plan has been provided including information on alarm system installation, use of electronic door lock mechanisms, lighting, video cameras, etc. 3. Criteria: An adequate transportation plan that addresses product security during the transport of medical marijuana from seed to sale has been presented. Finding: Transportation procedures and security plan has been provided. Information on delivery events, transportation security and shipping information, theft and loss, and safety procedures has been submitted. Transport vehicle security information is included. 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 contains information concerning child-resistant packaging. Packaging and labeling information has been provided. The facility s proposed product line may include flowers (dried cannabis "buds" that can be smoked in a pipe, rolled into a cigarette, or smoked using a water pipe); extracts such as hashish (concentrated doses of a specific part of the cannabis plant); edible foods cooked with butter or oil infused with cannabis; books, DVDs relating to cannabis use and cultivation gardening, nutrients and pesticides; and apparel.

Nye County BOCC Public Hearing Staff Report; SU-14-0015 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 dispensary establishment is proposed to be new construction consisting of approximately 2,736 square feet. Existing buildings/structures are to be demolished. The application includes detailed architectural drawings showing the proposed exterior of the facility which will have a professional modern medical facility appearance. Detailed floor plans have also been included showing proposed customer entrance/lobby, display counter, security room, secure storage area, delivery/receiving area, etc. Proposed landscaping and parking information has also been provided. 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: Crime or other factors in the area of the proposed medical marijuana establishment do not appear to pose an undue threat to the security of the proposed establishment, its product, employees or prospective patrons. 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: The proposed dispensary location would provide convenient access to those authorized to use medical marijuana. The location is approximately 2½ miles north of the geographic center of Pahrump. 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 Heavy Industrial (HI) Heavy Industrial Manufactured office building (not currently used) NORTH Heavy Industrial (HI) Heavy Industrial Vacant, undeveloped SOUTH Heavy Industrial (HI) Heavy Industrial County landfill EAST Heavy Industrial (HI) Heavy Industrial Modular office with industrial building WEST Heavy Industrial (HI) Heavy Industrial Recycling facility External Comments: The Town of Pahrump 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. No letters of opposition to the proposal have been received as of the publication deadline. ANALYSIS Application Details: This application is a request for approval of a special use permit for a medical marijuana establishment (dispensary) in a Heavy Industrial (HI) zoning district located in Pahrump. The establishment is proposed to be new construction consisting of approximately 2,736 square feet. Existing buildings/structures are to be demolished. The application includes detailed architectural drawings showing the proposed exterior of the facility which will have a professional modern medical facility appearance.

Nye County BOCC Public Hearing Staff Report; SU-14-0015 July 16, 2014 Page 4 of 5 Supplemental information pertaining to security, transportation, packaging, design and appearance, accessibility, operations protocol, and background information on the organization s members has been provided. Approval of a Special Use Permit requires a simple majority vote of the Board. Zoning: The subject property is zoned Heavy Industrial (HI), which is a zoning district which allows for medical marijuana establishments according to Nye County Code Section 17.06.030. Conceptual drawing of the proposed Dispensary: Distance Separations: The applicant has submitted a statement/certification and straight-line drawing indicating that the proposed use complies with all distance separation requirements (separation from schools, parks, churches, etc.). A waiver from such separation requirements is not required for this special use permit application. 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.

Nye County BOCC Public Hearing Staff Report; SU-14-0015 July 16, 2014 Page 5 of 5 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 conditional use permit. 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.

Dupont Dr Kittyhawk Dr Ave of the Stars Board of County Commissioners -- Creekside Inv., Owner / MM Development Co., Applicant BOCC HEARING -- 16 JUL 2014 -- SU-14-0015 Trever Ln Desert Rose Dr Tommy Ln Mesquite Av Ë EXHIBIT "A" -- AREA ZONING NOTIFIED PROPERTIES 1500 FOOT BUFFER HI; Heavy Industrial RE-2; Rural Estates Residential GC; General Commercial RH 4.5: Rural Homestead Residential CF; Community Facilities 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.

Dupont Dr Kittyhawk Dr Ave of the Stars Board of County Commissioners -- Creekside Inv., Owner / MM Development Co., Applicant BOCC HEARING -- 16 JUL 2014 -- SU-14-0015 Trever Ln Desert Rose Dr Tommy Ln Mesquite Av Ë EXHIBIT "B" -- MASTER PLAN CATEGORIES NOTIFIED PROPERTIES 1500 FOOT BUFFER HI: Heavy Industrial MU: Mixed Use LDR: Low Density Residential GC: General Commercial BP/LI: Business Park/Light Industrial 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.

Board of County Commissioners -- Creekside Inv., Owner / MM Development Co., Applicant BOCC HEARING -- 16 JUL 2014 -- SU-14-0015 Ave of the Stars Trever Ln m Tom Mesquite Av Dupont Dr Kittyhawk Dr y Ln Desert Rose Dr Ë EXHIBIT "C" -- AERIAL PERSPECTIVE NOTIFIED PROPERTIES 1500 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.

Board of County Commissioners -- Creekside Inv., Owner / MM Development Co., Applicant BOCC HEARING -- 16 JUL 2014 -- SU-14-0015 Kittyhawk Dr Mesquite Av 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.

Sharon Cole 1750 N. Kittyhawk Pahrump, Nv Nye County Planning commission Nye County Commissioners RE: SU-14-0015, 0016, &0017 Commissioners, I too am opposing the application for the special use permit to allow a Medical marijuana Dispensary, Cultivation Facility and a Production at 1530 E. mesquite Avenue (apn#27-411-47) for the same reasons ad my husband mentioned in his letter. My additional concerns are that this will create much traffic coming in and out to purchase the stuff. I further want to mention to you that I have been able to contact only 4 of the very few residential property owners to discuss this. They too are opposed to this facility, but tell me that it does no good to write a letter or even come in person to oppose this because they feel that the Commissioners will not listen to little property owners. So because of this attitude no one else wants to send letters. They all tell me that the Commissioners only listen to the BIG commercial owners. I know this first hand when we were at the meeting of the County wanting to change the zoning in that area to Heavy Industrial. Now that the rezoning occurred, the vast majority of the properties within the 300 are commercial, or heavy industrial zoned, and those properties don t give a hoot about anything that happens up there. There now are too few residential properties left in this area and these re zonings, special use permits, etc. have changed the beautiful, quiet area where people want to construct homes and live. Please know if the situation were different those other residents would come and voice their opposed vote as well. Sharon Cole

Ned Cole 4720 Santa Luc Pahrump, NV 89061 Board of County Commissioners County of Nye, State of Nevada 2100 E. Walt Williams Dr. Pahrump NB 89048 Re: SU 14-0015,0016 & 0017 Commissioners: We have record notices that applications for special use on July 16, 2014. Permits are being presented to the Board, to allow a Medical marijuana Dispensary, Cultivation Facility and a Production Facility on property located at 1530 E. Mesquite Ave. ( apn# 27-411-47). This letter is to advise you that we are strongly apposed to this application. We own the residential property located at 1750 N. Kittyhawk which is within 300 of the proposed establishment. We have owned this property since 2006 and have installed a well, power transformer, a 200 amp service, and underground power to this property with the intent of some day constructing a home there. Since we purchased this land, you have allowed several neighboring parcels to be rezoned H-I and have allowed construction of such businesses as a recycling facility with multiple free-standing signs and trailers with signage, tastelessly advertising that they BUY JUNK, You allowed a prison to be built in the area. Even the public dump, which has done a nice job of screening the actual landfill area, is now storing numerous large dumpsters with public view. Now you are considering the allowance of a marijuana growing, production and sales facility. If the intent is to make this area as undesirable as possible for any residential or even any quality commercial development, you are doing a great job! Please count our vote as opposed to this development Thank you Thank you, Ned and Sharon Cole