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Once cured,the cannabis flower shall be processed,packaged,and labeled as batches of cannabis flower for storage. The finished cannabis flower will be packaged in air-sealed Mylar Bags in 1-pound and 5-pound quantities and placed in lockable storage Totes. The bags and storage totes will be appropriately labeled with the Unique Identifier Number associated with the Harvest Batch from which it came. Once the finished product is appropriately bagged,organized,and labeled for storage,the plastic totes shall be pad-locked with lock keys accessible only to the Operations Manager. The Locked Totes will then be transported directly into the Harvested Cannabis Storage room for storage until the product is shipped off-site by a licensed distributor. Harvested Cannabis Storage Room [Limited Access Area] The Harvested Cannabis Storage Room shall house HDC finished cannabis flower batches,and currency which will be stored inside locked steel safes within this room.It shall be accessible only to the Security Manager,Operations Manager and HDC Executives. The safes to be utilized will be floor mounted,with an 11-bolt digital locking system and a 75-minute 1200-degree fire rating. The Harvested Cannabis Storage Room shall be climate controlled and ventilated with appropriate air filtration systems including at least one (1) industrial carbon filter to ensure that no offensive odor emanates outside of the facility. The Harvested Cannabis Storage Room shall be monitored by interior surveillance cameras accessible to the Operations Managers,the Site Security Manager,Security Administrators,HDC Executives,as well as the San Joaquin County Sheriff's Office upon request. Cannabis Waste Holding and Destruction Room Upon accumulation of cannabis waste,such waste will be rendered unrecognizable by mixing it with the spent organic mediums or soil utilized for delivery of water and nutrients to individual cannabis plants. The organic mediums and cannabis waste shall be co-mingled and grinded down to a uniform mixture, such that the cannabis waste is destroyed and unrecognizable from its original state.In the event a HDC finished cannabis flower batch is not fit for distribution,it shall be deemed cannabis waste and become subject to destruction and disposal. HDC shall dispose of cannabis waste in secured waste containers located within Buildings 13 and 17.As organic waste accumulates on site,Cultivation Technicians will be responsible for collecting,destroying and placing said waste into the container.Once the container has reached capacity,the organic waste will be transferred by select Cultivation Technicians to an off-site waste disposal facility.All cannabis waste will be identified,weighed,and tracked,both while on premises and at the time of disposal. The Operations Manager will be responsible for monitoring the collection and disposal of waste and entering information into the State's"Track and Trace System" as necessary.HDC shall maintain comprehensive records regarding cannabis waste that accounts for,reconciles,and evidences all activity related to the generation or disposition of cannabis waste. HE DEVELOPMENT CORP 12