01/28/2019 BOARD OF SELECTMEN Agenda Packet

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CCC Mashpee Holdings, LLC 7NATURALA Natural Ventures Company approved. Having all of our main operations located in Mashpee would afford us the opportunity to enter into several host agreements with the Town,which would greatly increase the.aggregate impact fees payable to Mashpee. It would also create a material amount of new direct and indirect jobs and serve to stimulate the local economy.We have outlined the immediate job creation under Tab 9 in the Enclosure. We also intend to apply for a license to operate a production facility. Our envisioned"open" business model allows other Cape Cod specialty stores and locals to create Cannabis edibles providing us and the Town the opportunity to support some of the interested community members to build or expand businesses ancillary to our industry and that do not require a large capital investment. To show you our commitment,we have enclosed the relevant purchase and sales agreements for the aforementioned property lots. Our vertically integrated business model would provide three different revenue streams that could be charged by the Town with impact fees of three percent each. Based on our conservative financial models,Mashpee could receive up to $146,625 for the first partial year of 2019. The impact fee for the first full year 2020 based solely on our retail revenues will amount to approximately$541,497. Over time these fees will trend upward based on our cultivation capabilities and branded Cannabis products. The five-year total for just retail sales could easily reach or exceed$2,31.2,615. We can generate these highly competitive fees based on the three different revenue streams built into our total revenues, cultivation,production, and retail sales all in one vertically integrated enterprise. In addition,we will certainly honor our obligation under section 5 of the Host Agreement to pay the prorated Annual Donation of $62,500 in 2019 independent of our commencement date. It is clearly not optimal from a competitive or transparency standpoint to have only one company control the pricing and distribution of both medicinal and recreational Cannabis products in the same geographic area. We are serious and enthusiastic in our interest, and fully qualified to operate an exceptional recreational Cannabis retail store. Our group strongly believes that also locating its cultivation and production operations in Mashpee will be beneficial to all, and create competition that guarantees better product and pricing for the Town's residents. We look forward to your further questions and thank you for your objective consideration. Yours truly, David R. Pike Manager, and President of all Natural Ventures Companies 2 101 Arch Street, 8th Moor Boston, Massachusetts 02110 drpike@nv-ccc.com