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implements strategies that create incentives for employees and customers to use alternative modes of <br />transportation. As part of this initiative, we provide a bulletin for our employees with information on <br />public transit routes, ridesharing information, bicycle/metro route and safety information and other <br />pertinent information and materials. Our employees and customers can enroll in our public transportation <br />voucher program, which reimburses all costs for the use of transportation. We also provide funding for <br />safe bicycle storage, such as racks or lockers, bike U-locks, helmets, and other equipment for customers <br />who qualify for low-income discounts. California Organics' facilities maintain proper sidewalk clearance <br />space from bike racks for wheelchairs, and ensure an adequate number of curb cuts, in compliance with <br />the Americans with Disabilities Act. <br />Materials/Waste Storage and Disposal: We always practice the Three R's of Sustainability: Reduce, <br />Reuse, Recycle. Separate recycling containers are placed throughout the facility for both employees and <br />patrons and ensure that regular pickups are conducted with ease. Electronic waste is also be collected and <br />brought to appropriate outlets. California Organics' recordkeeping system incorporates the goal of <br />eliminating paper records in the scope of compliance whenever possible to reduce our overall waste <br />contribution. California Organics creates a lighthearted competitive atmosphere amongst the staff by <br />tracking the amount of waste produced at the facility and introducing incentives for reducing the amount <br />of landfill waste generated. Further, we will work with our rockwool grow cube provider to find the best <br />solutions for reusing or recycling our grow media. <br />Equipment & Policies: We use environmentally friendly equipment whenever feasible and have <br />established green company policies for the sole purpose of creating environmental consciousness <br />amongst the staff. Equipment and materials include fuel efficient distribution vehicles, "Energy Star" <br />rated appliances, integration of recycled materials with respect to interior design elements, and <br />photovoltaic panels. We plan to purchase at least two (2) distribution vehicles and to outfit each to meet <br />Local and State specifications. We are also looking into the feasibility of adding photovoltaic/solar panels <br />to help offset our energy consumption. As a cannabis cultivator solar panels offer a great way to reduce <br />our energy consumption while showing our commitment to sustainable practices and the overall <br />environment. <br />F. CALIFORNIA ORGANICS COMMUNITY BENLFITS SUMMARY: California Organics is committed to <br />becoming an integrated member of the greater Santa Ana community and hopes to provide continued <br />support to local non-profit and community organizations in the form of charitable contributions and <br />volunteer service. Our management team will be available to field any public concerns about our <br />operations and will do their best to resolve any issues in a timely and professional manner. We look <br />forward to the possibility of bringing new business opportunities to Santa Ana as well as to contributing <br />to local community service initiatives. California Organics looks forward to the opportunity of applying a <br />community -first approach in Santa Ana and creating beneficial relationships with the community and our <br />neighbors. <br />13 <br />