HPC‘S ECO-FRIENDLY INITIATIVE

As part of our program with Love Earth W.E.C., HPC will launch a customized cannabis recycling program to offer loyalty rewards points for customers who return used containers and those who use reusable opaque exit bags.

HPC will work to encourage suppliers to choose environmentally safe products when packaging their products. To this end, HPC has teamed up with local farms, shops and artists, and industry leaders. More broadly, we are leaders in cutting waste, litter, and exhaustion of natural resources across the industry.

“HPC is the FIRST dispensary to step up and actively work to reduce their carbon footprint by taking the “LoveEarth Eco-Initiative Pledge.” They are working with our team monthly to incorporate more sustainable products and services, introduce a recycling program that will reduce a massive amount of waste in the cannabis industry, and constantly encourage their employees and clientele to go green through various incentive programs.” – Chelsie Schuko CEO/Founder Love Earth W.E.C.

Indeed, we have determined the following green principles will likely be applied to the initial construction and renovation of the dispensary facility:

• Utilize the existing infrastructure where possible, to avoid the need for new materials and generation of waste from existing infrastructure;
• Use eco-friendly insulation;
• Incorporate the use of alternative energies;
• Use only low to zero-volatile organic compounds (VOC) adhesives, finishes, and paints for designing, constructing, or renovating the interior of the facility;
• Use HPC‘s proven recycling/reusing/repurposing policy—and use recycled content, sustainable and/or salvaged materials for interior décor. This includes using previously owned office equipment, and any materials that meet adult-use retail standards for equipment, such as tables, display cases, and shelving;
• Implement floor plans that include one or more of the following: FSC-certified, salvaged material, renewable material, recycled content, and/or concrete;
• Apply the existing, firm-wide recycling/reusing/repurposing program to divert waste from landfills through recycling or donation where possible; and
• Use efficient lighting equipment and HVAC designs to reduce power draw and lighting heat load/temperature management requirements. We believe in supporting a local, sustainable supply-chain and will make a commitment to purchasing eco-friendly products in an effort to minimize our ecological footprint whenever possible.

At the same time, we will aim to carry out the following environmentally friendly policies in our business:

• Use sustainable packaging material (whether renewable or made from recycled content) including recyclable exit bags;
• Purchase general operating supplies with a high percentage of recycled materials, especially post-consumer content;
• Purchase recycled, non-chlorine-bleached paper. Higher percentage recycled content should be used whenever it is cost-effective. We will consider buying 100% recycled-content., and use tree-free papers, such as hemp, bamboo, banana, or other materials;
• Ensure that office supplies—such as highlighters, pens, and paper—are non-toxic and, where applicable, made using recycled or renewable resources;
• Purchase unbleached, recycled fiber napkins, toilet tissue, paper towels, and coffee filters;
• Include a clause in contracts with suppliers requiring equipment and tool manufacturers to provide environmentally sustainable alternatives;
• Partner with ISO 14001 compliant suppliers;
• Select products that are certified green.
• Favor the use of rechargeable batteries over disposable ones for battery-operated products. Dispose of batteries properly to avoid hazardous waste.

HPC will implement aggressive plans to curtail its use of electricity over time and to minimize its water usage. HPC will make every effort to utilize technologies, designs and practices that will help conserve water and, reclaim and reuse it. The company is in a great position to succeed in this endeavor as it has ample environmentally conscious experience with its current cannabis facilities.

HPC will ensure our retail store has waste management systems in place that exceed municipal requirements for diverting waste from landfills and reducing greenhouse emissions. Organic partnering would include the disposal of food waste, composting, and biodiesel.

HPC will also aim to do the following:

• Prohibit the use of polystyrene-based products (e.g. Styrofoam);
• Purchase used or refurbished office equipment and furniture;
• Purchase a hand dryer system to meet its goal for continual reduction of solid waste going into landfills by significantly reducing paper consumption throughout the dispensary facility;

Our goal is to partner with the State of California to cut carbon emissions and waste and to use natural energy sources whenever possible; and

• For any light bulbs or electronic devices that require toner cartridges, purchase cartridges made from recycled content or refillable cartridges that are recycled after use.

HPC will recycle these products with already established programs at Home Depot, Staples, True Value, and IKEA. We will also ensure that any electronics and hazardous waste that cannot be recycled through local programs will be properly disposed of at an appropriate waste site.

Improperly managed cannabis retail facilities can be resource and energy-intensive operations. HPC will make every effort to estimate the amount of energy needed to operate before construction and will select a combination of energy-efficient and renewable energy technologies, services, and practices to reduce energy consumption.

To that end, HPC already does, or plans to do, the following:

• Explore the use of alternative technology as a viable energy source for some or all of the energy needs of the facility;
• Establish a green energy contract through the local gas and energy provider to support renewable energy into the power grid from which we will draw electricity.
• Purchase and install Energy Star rated appliances and include these in all technical aspects of the facility;
• Install windows that are double-pane, low-E, and energy-efficient;
• Install a High-Efficiency Heating & Air Conditioning (HVAC) unit with a SEER (Seasonal Energy-Efficiency Rating) greater than 13;
• Install and use programmable thermostats in all areas of the facility, including those areas where cannabis will be stored;
• Insulate all water heaters, storage tanks, and hot water;
• Use ceiling fans to promote air circulation in all areas of the facility;
• Install either a solar water heater or a high-efficiency water heater and appropriately insulate the unit;
• Use weather stripping to seal air gaps around all windows and doors to reduce risk of loss of heating and cooling and unnecessary contribution to greenhouse gas emissions;
• Have warranties in place and a preventative maintenance schedule for all appliances;
• Use lighting that includes the following: fluorescent T-8 or T-5 bulbs (as opposed to T-12), compact fluorescent, LED, or energy-saving halogen lamps;
• Use EXIT signs with LED or electroluminescent alternatives;
• Use lighting controls such as dual technology occupancy (motion) sensors, photocells, or time clocks (these are mandatory for low traffic areas such as restrooms, conference rooms, and closets);
• Reduce standby power usage by powering down electronics when not in use, setting computers to standby and utilizing smart strips or other technologies to reduce total standby (vampire) power; and
• Encourage employees to car-pool whenever practical, utilize public transportation, or bike to work – the company plans to offer incentives if available/applicable.