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ATTACHMENT 2 B.Registration Fee Registration Fees by Business Type The following shows the maximum amount the city could charge for an initial registration fee and renewal registration fee for retail businesses and includes the amount the state charges for a license, for reference. The city’s initial registration cannot exceed $500 or half of the license fee (whichever is less) and the renewal registration fee cannot exceed $1,000 or half of the license fee (whichever is less) The initial registration fee shall include the fee for initial registration and the first annual renewal. Any renewal fee imposed by the local unit of government shall be charged at the time of the second renewal and each subsequent annual renewal thereafter. Business Initial Renewal Cannabis Retailer City (Optional) -$500; State - $2,500 City (Optional) -$1,000; State -$5,000 Lower Potency Hemp City (Optional) -$125; State - $250 City (Optional) -$125; State -$250 Retailer Medical Cannabis City (Optional) -$500; State - City (Optional) -$1,000; State -$70,000 Combination Business$20,000 Cannabis City (Optional) -$500; State - $5,000 City (Optional) -$1,000; State -$10,000 Mezzobusiness Cannabis City (Optional) -$0; State - $0 City (Optional) -$500; State -$1000 Microbusiness Question: Does the City want to impose a registration fee? It should be noted that the City cannot charge any fee unless it is the registering authority. C.Compliance Checks Once the registration is issued, the entity issuing the registration is responsible for annual compliance checks that include assessing compliance with age verification requirements (using underage purchasers), the applicable operational requirements, and the applicable limits on the types of products being sold. D. Limiting Number of Retailers The specific language in the Cannabis Act allowing a limitation on the number of retailers in the City says that “\[a\] local unit of government that issues cannabis retailer registration…may, by ordinance, limit the number of licensed cannabis retailers, cannabis mezzo businesses with retail endorsements, and cannabis mezzo businesses with retail endorsements to no fewer than one registration for every 12,500 residents.” Consenting to have the county issue registrations could mean that the county then has the ability to limit retailers, not cities. Hopefully, the OCM will address this issue in the administrative rules. Question: Does the City wish to limit the number of retailers to up to 3? 4 RS160\\1\\969395.v1-8/8/24 Qbhf!6:!pg!26: