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EXHIBIT 4 <br />LS 6.4.19 <br />RESOLUTION NO.2019-xx <br />A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF <br />SANTA ANA ESTABLISHING A CANOPY MEASUREMENT <br />SERVICE FEE AND AN ALLOCATED SQUARE FOOTAGE <br />MEASUREMENT SERVICE FEE <br />BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS <br />FOLLOWS: <br />Section 1. The City Council of the City of Santa Ana hereby finds, determines and <br />declares as follows: <br />A. In November2016, the California Marijuana Legalization Initiative, also known <br />as the Adult Use of Marijuana Act (AUMA or Proposition 64) was approved by the voters of <br />the State of California. The AUMA legalized recreational marijuana. <br />B. In 2017, the Governor signed into law Senate Bill 94 also known as Medicinal <br />and Adult -Use Cannabis Regulation and Safety Act (MAUCRSA) establishing state <br />regulations and licensing for retail sales, manufacturing, distribution, delivery and testing of <br />adult -use (also called recreational) marijuana. <br />C. On November 9, 2017, the City Council created Chapter 40 of the Santa <br />Ana Municipal Code, allowing adult -use commercial cannabis retail businesses in the city, <br />and amended certain sections of Chapters 18 and 21 of the Santa Ana Municipal Code <br />to ensure consistency with State law and Chapter 40. Since 2014, the City has allowed <br />medicinal marijuana collectives/ cooperatives to operate within the City pursuant to <br />regulations set forth in Chapter 18 and Chapter 21 of the Santa Ana Municipal Code. <br />D. On March 20, 2018, the City Council adopted Ordinance NS-2941 and NS- <br />2942, allowing and regulating commercial cannabis testing laboratories. <br />E. A general business license tax based on the gross receipts derived from <br />commercial cannabis businesses and gross square footage would generate essential <br />funds for protecting vital City services and facilities and place such businesses on more <br />equal footing with existing City businesses, including medical marijuana businesses <br />which already pay a business license tax. <br />Resolution No. 2019-roc <br />Page 1 of 3 <br />75A-69 <br />