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1. 420 College

2. Presented by
Education | Licensing | Management
420 College has been serving the cannabis entrepreneurs since 2009. Having more than 30,000
cannabis business people come through cannabis school doors to get educated on starting and
operating any type of cannabis business.
Are you ready to enter the cannabis industry? Get started today, check out our cannabis business
seminars and the many other ways we can help you get your cannabis business started and set
for success.

3. Disclaimer
● The following presentation and materials provided therein is not legal advice but information solely
for the purpose of informing you on current laws regulating cannabis in the state of California. The
information pertaining to cannabis law in California is solely intended to provide you with greater
knowledge on the state of cannabis law within the borders of California. Legal advice, which is the
application of law to an individual's specific circumstances, is not being provided in any manner.
Only a California Bar certified attorneys may give legal advice. 420 College, and the provided
information about the medical cannabis industry, regulations guiding the industry and associated
state programs and agencies is designed to help the reader safely and accurately assess their need
to pursue legal counsel. Though we strive to maintain the most accurate legal information, we
recommend that you seek legal counsel if you desire more specific legal guidance on a matter that
pertains to your personal needs.
● Be aware that possessing, using, distributing, cultivating and selling cannabis are all Federal crimes
and no legal information provided within this book complies with Federal law. 420 College does not
promote, endorse or encourage illegal sales or use of marijuana in any way.
PLEASE NOTE:
Cannabis in virtually all forms remains illegal under Federal law and is considered a Schedule I drug. Anyone caught with cannabis in Federal jurisdictions including buildings,
parks, facilities or other designated Federal properties can face criminal charges.
Shipping cannabis through USPS Mail, UPS or FedEx is strictly prohibited and subject to Federal prosecution.
Anyone found to be out of compliance with Proposition 215, SB420, and California Attorney General’s Guidelines in the state of California & California Health & Safety Code
11362.775 & in possession or distribution of medical marijuana without proper authorization, can face criminal charges.

4. Legal Statement
● 420 College courses, guides, seminars, materials and consulting do not encourage readers to
break, transgress, aid in the violation of any laws or propagate and/or foster any activities deemed
to be Federally illegal or in violation of the laws, regulations or ordinances of any states,
commonwealths, districts, counties, parishes, cities or municipalities wherein they are presented
to the reader.
● 420 College courses, guides, seminars, materials and consulting are presented with the sole
purpose of educating consenting adults on the most recent and relevant facts relating to medical
cannabis, laws relating to medical cannabis, case law and court precedents on medical cannabis
and other information provided by the judicial system to guide the safe and compliant operation of
cannabis businesses in their respective jurisdictions.
● 420 College participants agree to take full responsibility for any actions deemed to be out of
compliance with local or Federal law and hereby release 420 College of any legal liability from any
local, State or Federal legal violations the participant may be engaged in.
● 420 College, its instructors, lawyers, presenters, employees and others affiliated with the 420
College network do not accept responsibility for participants using the information contained
herein to engage in any illegal activities and are hereby held harmless should the participant
choose to act or conduct themselves, their businesses or their activities in a manner inconsistent
with all local, State and Federal laws.

5. Marijuana Regulation: Federal Position
Statutory position
● Controlled Substances Act: (CSA) Title II of the Comprehensive Drug Abuse Prevention
and Control Act of 1970:
○ Under the Controlled Substances Act, marijuana is a schedule I drug. That classification
declares, marijuana “has a high potential for abuse…has no currently accepted medical use
in treatment in the United States [and] there is a lack of accepted safety for use of the drug
or other substance under medical supervision” [21 U.S.C 812(b)(1)]
● Any marijuana possession, cultivation, or use is a federal crime, subjecting a defendant to
fines, prison time, or both. Large-scale cultivation and trafficking (transporting or selling marijuana,
often across state lines) incurs harsher penalties.
● The CSA draws no distinction between medical and recreational use, and includes additional
provisions which incorporate: transportation, paraphernalia, manufacturing processes, related
financial activities, aiding and abetting prohibited acts into the statutory prohibition.

6. Marijuana Regulation: Federal Position

7. California Cannabis Timeline
● 1996- Proposition 215, or Compassionate Use Act, passes with 55.58% of the vote.
● 2003- SB 420 passes and requires Attorney General to issue guidelines for MMJ
● 2004-SB 420 active Jan. 1, 2004, begins State MMP Act measures
● 2007- CA Board of Equalization issues Special Notice
● 2008- Attorney General Jerry Brown issues Attorney General Guidelines per SB420
● 2015- MMRSA- Medical Marijuana Regulation Safety Act.
● 2016- Adult Use of Marijuana Act, or Proposition 64, approved in November 2016
MCRSA-Medical Cannabis Regulation and Safety Act.
● 2017- MAUCRSA Passes, Combining MCRSA & AUMA per SB 94
● 2018- MAUCRSA Licensing and Regulations Effective Jan. 1, 2018

8. M.A.U.C.R.S.A.
In the summer of, 2017, the California Legislature voted to adopt Senate Bill 94, and incorporated into
California law the Medicinal and Adult-Use Cannabis Regulation and Safety Act, (“MAUCRSA”). The
highly anticipated act, combines features of the previously accepted, MCRSA related to medical
cannabis regulation, and AUMA, related to adult recreational cannabis. MAUCRSA presents a
comprehensive set of codes, which will provide the regulatory framework for medical and recreational
cannabis at state level.
What does MAUCRSA do?
● Amends and references previously
codified sections of:
■ CA Health and Safety Code;
■ CA Business & Professions Code;
■ CA Penal Code;
■ CA Government Code;
■ CA Civil Code;
■ CA Revenue & Taxation Code;
■ CA Transportation Code;
■ CA Fish & Game Code, etc.
● Provides a regulatory framework:
○ Details Regulations for Commercial
Cannabis Applications and Operations;
○ Redefines Non-Profit Activities under
the Compassionate Use Act.
● Creates Governmental Authority
○ Delegates regulatory tasks to multiple
departments;
○ Provides framework for enforcement;
○ Presents clearly defined rules for
taxation.

9. What does regulation look like

10. M.A.U.C.R.S.A. & Commercial Cannabis
The Role of Local Government
● The provisions of MAUCRSA, afford substantial latitude to local government for the regulation of
commercial cannabis activities. Local jurisdictions (city or county), maintain the authority to: ban,
place moratoriums, restrict, or allow commercial cannabis activities. Cities and counties have the
authority to draft independent regulations for marijuana-based businesses before January 1,
2018. Jurisdictions which have not banned, regulated, or requested leave for more time to do so,
prior to the first of the year, will accept the default regulations as set forth by the state.
● Local ordinances must meet or exceed the standards set by the state of California under
MAUCRSA. Cities and counties may, within their authority, draft regulations that are more
restrictive than those of MAUCRSA, but may not draft regulations which are less restrictive than
those of MAUCRSA.
● Although licenses under MAUCRSA will not be available to applicants until after the first of
January, 2018, it is possible to operate provisionally in local jurisdictions which have regulations in
place. In order to commence commercial activities for marijuana business activities in an open
jurisdiction, one must obtain a permit, license, or other regulated authority from the local
jurisdiction, operate compliantly during the provisional period, and submit an application for a state
license no later than July 1, 2018.

11. What’s the deal?
Virtually every application is different but have similar components. Application fees can range from
$400.00 to $160,000.00, depending on location & license type.
What can I expect?
This isn’t an easy process and it is highly competitive since state licenses won’t be issued until 2018.
Patience is a virtue in pursuing a local license right now unless you have the capital to move quickly
and strategically.
Is the process worth it
That’s up to you – just know that you will be spending a substantial amount of capital before you start
generating revenue.
What city/county will open up next?
Unless you’re paying an attorney, researcher or consultant to follow every development statewide,
start your own research immediately.

12. What are some common issues?
City or County Bans and Moratoriums
Limited opportunities to apply in cities and counties across the state creates a highly competitive
environment for applicants.
Budgetary Limitations
Identifying the right partnerships is critical to pooling the needed resources to mobilize for a licensing
application.
Property Zoning or Availability
Is your property in the correct zoning area? Do you even have a property in mind? Are you planning to
lease or buy? If so, does your landlord know and consent to what you’re doing?
Limited Cannabis Experience
Your cannabis business expertise is limited and you don’t have the insider knowledge to launch.
The Right People in the Right Place
Have you hired the right cannabis consultant who knows how to prepare your licensing application or

13. Trust the strategic experts at FTG Management Group To provide you with the expertise
needed to navigate the complexities of local and state licensing

14. Prepare for What Lies Ahead
● The regulatory structure and licensing demands within MAUCRSA can be cumbersome – be
prepared to deal with other consultants and experts such as security consultants, fire safety and
suppression consultants, civil engineers, architects, CPAs, attorneys and others depending on the
nature of your project.
Turnkey Process
● With FTG Management Group, we strive to make every step of the licensure application process
seamless. Though issues arise and challenges occur, no problem is too big for us to tackle.

15. Dispensary, Delivery, Distribution &
Cultivation
● Let FTG Management Group put our
expertise to work for you by managing and
growing your business.
Expertise
● From strategic planning to implementation,
we have developed and build-out cannabis
cultivation facilities and retail businesses, in
California, Oregon & Washington.
Complete Turnkey Solutions
● From the first day, we’ll start working on your
project by developing a strategy to seek out
and secure your local cannabis license, by
scheduling meetings with your local
government officials.
Network of Experts
● Working with various professional in the
cannabis industry, we are able to provide
your business with the best service in the
industry.
Build-out Service
● Cultivation and Retail cannabis business
build-out. Construction services, furnishings,
security system.
Day-to-Day Business Operation
● FTG Management Services include
managing your day-to-day business
operation. We Provide HR services for your
employees, including firing and training.
Bookkeeping & accounting, track & trace
software management, inventory
management, branding, marketing and just
about everything that goes into operating
your business.

16. Principal George Boyadjian, brings over 10 years of extensive cannabis business
experience in California, Washington and Oregon, coupled with professional
experience in technology marketing and education with 420 College.
(855) 420-8255 | www.ftgmanagementgroup.com