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Phase 2 Priority Processing Tier 1 Fee Deferral Program
At this time, only applicants who applied for a License for Non-Retailer Commercial Cannabis Activity pursuant to Los Angeles Municipal Code (LAMC) Section 104.08 (Phase 2 Priority Processing) and meet the Tier 1 Social Equity Application ownership requirements stated in LAMC Section 104.20(c) may register for the Social Equity Program’s Tier 1 Fee Deferral Program .

Pursuant to LAMC Section 104.20(c), a Tier 1 Social Equity Applicant shall meet the following criteria at time of applying for a License: 1. Low Income and prior California Cannabis Conviction; or 2. Low Income and a minimum of five years cumulative residency in a Disproportionately Impacted Area. A Tier 1 Social Equity Applicant shall own no less than a 51 percent equity share of the business that would benefit from the issuance of the License.

By registering for the Tier 1 Fee Deferral Program, the applicant agrees to the following:

1. A Tier 1 Social Equity Applicant owns no less than 51% of the Equity Shares of the applicant applying for Phase 2 Priority Processing. Equity Share means a share of the following: (i) a business’s profits, including dividends, distributions or other payments; (ii) the proceeds of a sale of a business’s assets, liquidation of a business, merger of a business into another business, or another transaction that would constitute the end of an original business; and (iii) the voting rights on fundamental decisions relating to the business.

2. The applicant shall register for the Tier 1 Fee Deferral Program with the owners currently identified in its application and it shall shall not be permitted to add a new owner to its application that it contends meets the criteria to be a Tier 1 Social Equity Applicant.

3. If DCR determines that the applicant is not eligible for the Tier 1 Fee Deferral Program, the applicant shall pay the LAMC 104.08 application fee within 10 days of being instructed by DCR, or its application shall be withdrawn (or DCR shall deem it abandoned).

4. If DCR determines that the applicant is eligible for the Tier 1 Fee Deferral Program, the applicant will not be permitted to modify its business structure in a way that would reduce the Tier 1 Social Equity Applicant’s Equity Share of the applicant below 51%. If the applicant violates this restriction, it shall withdraw its application (or DCR shall deem it abandoned) and it shall waive or be deemed to have waived all rights to a Temporary Approval or License under LAMC Sec 104.08 or any other law. Under no circumstance will the applicant be permitted to amend its application to proceed as a Tier 2 or Tier 3 Social Equity Applicant.

Does the Applicant agree to the terms and conditions for Tier 1 Fee Deferral Program described above? *
Phase 2 (LAMC Sec. 104.08) Application No.: *
Please include letters, dashes, and replace the zeros with your unique application number. Format: LA-C-18-000000-APP
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Legal Business Name *
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Business Premises Address *
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Tier 1 Social Equity Applicant Name (First and Last Name) *
First Name and Last Name of the Tier 1 Social Equity Applicant with the largest ownership percentage in the business entity. Other Tier 1 Social Equity Applicants associated with this application may be added further below.
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Tier 1 Social Equity Applicant Ownership Percentage *
Enter numbers only; the number must be less than or equal to 100.
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If Applicable, Identify Any Additional Tier 1 Social Equity Applicant Name(s) & Ownership Percentage(s) Associated With This Application
Example: First Name & Last Name - Ownership Percentage; one line per additional Tier 1 applicant.
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Is the Tier 1 Social Equity Applicant associated with this application an owner of another Phase 2 applicant? *
Example: Name and application number of other application(s).
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A copy of your responses will be emailed to the address you provided.
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