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manufacture, salt, derivative, mixture, or Preparation of the mature stalks (except the resin extracted therefrom), fiber, oil, or cake, or the sterilized seeds of the plant are incapable of germination. (c) "Collectives" and "cooperatives" when referring to medical cannabis organizations, both mean associations of five or more qualified patients, persons with identification cards, or primary caregivers of qualified patients and persons with identification cards, who associate, as an incorporated or unincorporated association, to collectively or cooperatively cultivate and distribute medical cannabis for use exclusively by their registered members, in strict accordance with California Health and Safety Code sections 11362.5 and 11362.7 et seq. (d) "Director" means the Executive Director of the Planning and Building Agency or his or her designee. (e) "Medical cannabis identification card" and "identification card" mean a document issued by the State Department of Health Services pursuant to California Health and Safety Code sections 11362.7 et seq. that identifies a person authorized to engage in the medical use of cannabis and the person's designated primary caregiver, if any, or identifies a person as a primary caregiver for a medical cannabis patient. "Medical cannabis transfer" means: (1) The transfer of medical cannabis from a primary caregiver to that primary caregiver's qualified patient for such consideration as is sufficient to reimburse that primary caregiver for the primary caregiver's out -of- pocket expenses and for the primary caregiver's services which shall not be subject to the City's gross receipts tax; or (2) Transfers of medical cannabis among qualified patients or primary caregivers facilitated through an association of those qualified patients and primary caregivers who are operating as a cooperative or collective which shall be subject to the City's gross receipts tax. (g) "Medical marijuana" and "medical cannabis" means cannabis that is rg own, used, and distributed pursuant to the provisions of California Health and Safety Code sections 11362.5 and 11362.7 - 11362.83, including all cannabis products, infusions, and concentrates containing the active ingredients of the cannabis plant. (h) "Notice of Completed Registration" means a written notice to an applicant for collective or cooperative registration issued by the director as a minesterial duty indicating that the application is complete and accurate. i) "Overhead expenses" means all expenses incurred by the collective or cooperative including but not limited to accounting, advertising, cultivation materials and equipment depreciation, insurance, legal fees, mortgage payments, rent, repairs, supplies, taxes, utilities volunteer compensation and reimbursements, wages, salaries, payroll, fees paid to comply with the requirements of this Article, and any other expenses associated with the establishment and